Title
Cell Tower Lease - Carmel Road Park
Action
ACTION:
Adopt a resolution titled "Mecklenburg County Board of Commissioners Resolution Declaring Intent to Lease Property to Global Signal Acquisitions LLC, a Delaware limited liability company"
Staff Contact: Jacqueline McNeil, Real Estate Management Director
Presentation: No
BACKGROUND/JUSTIFICATION:
In 1997, the County entered into a land lease with AT&T Wireless, PCS, Inc. (which later became Crown Castle) for installation and operation of a cell tower. The leased area includes a 45' x 20' portion of Carmel Road Park (Tax Parcel 209-021-01) including a 20' wide access path from Carmel Road to the cell tower. The 1997 lease was for an initial period of five (5) years with the lessee automatically having the option of renewing for four (4) additional five (5) years terms. Since its installation the tower has continuously provided cell phone service to a large portion of south Charlotte. Global Signal Acquisitions (successor to AT&T and a subsidiary of Crown Castle) would like to enter into another lease with the County at the same location to continue service to the south Charlotte area. The Park and Recreation Department has reviewed the terms of the lease and has determined that continuing to lease the property will not interfere with the use and operation of the park. Staff agreed to the following proposed business terms:
Location - Carmel Road Park
2635 Carmel Road Charlotte, NC
Leased Area - 45' x 20' portion of the park property including a 20' wide access path from Carmel Road to the cell tower location
Term - An initial term of five (5) years
Renewals - Four (4) additional terms of five (5) years each
Rent - $30,170.52 annually, to be paid in equal monthly installments
Escalation - The rent shall increase by an amount equal to 15% of the annual rent for each renewal period
Additional Consideration - In addition to annual rent, the lessee shall pay the County an additional $250,000 in 2032, 2037, and 2042 (for a sum total of $750,000) should the lessee renew the lease. The additional lease payments are intended to be used for the acquisition of parkland and/or upgrades to existing parks.
PROCUREMENT BACKGROUND:
N/A
POLICY IMPACT:
N/A
FISCAL IMPACT:
N/A