The commission voted to publish a request for proposals (RFP) for the lease and management of Building 39 (9251 Grow Road, the drill hall/Island Athletics facility) after discussing the building's maintenance costs, tenant history and possible alternatives including demolition or conversion to T-hangars.
Background and finances: Staff told the commission the current tenant's lease expires in October. The tenant has been paying a reduced rate and the commission was told the building has been subsidized for many years; Janelle said the commission had previously reduced rent to help the tenant and that the tenant indicated they would not pay the pre-discount rent of $5,000 per month. Commissioners said annual costs and deferred maintenance are substantial; one estimate mentioned earlier repair or demolition costs in the hundreds of thousands.
Discussion highlights: Commissioners debated a short extension versus issuing an RFP now. Concerned points included uncertainty about building condition, risk of major repair claims if the commission extends a short-term lease, and the reduced-rent arrangement. Commissioners noted two individuals had expressed interest by word-of-mouth but no formal advertising had been done.
Decision: The commission passed a motion to publish an RFP for lease and management of Building 39 and to allow the current tenant to respond. Staff said the RFP could be published within a few weeks and that a September 1 timeline would give the current tenant opportunity to respond before the October lease expiration. "If the current manager would like to stay in the building, they can respond to the RFP," a commissioner said during the meeting.
Clarifying details: Staff noted past repairs to the barrel roof and ongoing maintenance; they warned that water intrusion can reveal additional hidden damage. One commissioner said typical market rent for a building of that size was much higher than the current subsidized rate; a figure of roughly $30,000 per year and a 40,000-square-foot estimate were discussed as context for rent comparisons.
Next steps: Staff will draft and publish the RFP, accept proposals including one from the incumbent, and return to the commission for award decisions. The commission also requested a comparative market analysis and a clearer accounting of the building's subsidy and recent repair history to inform final action.