Realtor addresses Caraway Council in search of industry
Caraway Mayor and city council members welcomed Bill Clark-ERA Doty Real Estate at the Aug. 9 meeting.
Clark discussed the city partnering with the real estate company in search of an industry interested in leasing the former Basler Electric building.
The building is owned by the city and is presently being used as a warehouse. Clark gave the council information on a triple net lease. It is a lease on a property where the tenant or lessee agrees to pay all real estate taxes, building insurance and maintenance (the three "nets") on the property in addition to any normal fees that are expected under the agreement (rent, utilities, etc.).
The real estate company will get information on the property to possible companies interested in locating in Caraway.
“We will need to know how many employees would be hired and we would want stipulations on any chemicals going into our system,” Mayor Barry Riley said.
Clark said the city will not be out any money unless the building is leased. There is a six percent fee. For instance, if the city leased the building for $1,000 a month, the cost would be $720 at the end of the year. There would be a start up fee of $299.
“You may want to go higher than $1,000 a month,” Clark said. “That is up to the you.”
The council members were receptive to the idea of getting the word out and hopefully bringing in jobs.
Mayor Riley said he had talked to the manager presently renting the building and he is in favor of anything that would bring in jobs.
After discussion, the council voted unanimously to move forward with the Triple Net Lease proposal through ERA Doty Real Estate.
Council members present included John Boatman, Mitchell Tipton, Bo James, Marvin Browning and Jerry Martin.
Terry Couch, water superintendent, talked about the major problems the city is undergoing. He said to repair the 50 year old well, the city could be out as much as $100,000 and still not get the job done. He estimated a new well would probably start at $200,000 and could go as high as $300,000 to $500,000.
The city is presently purchasing water from Buffalo Island Rural Water.
Couch said a lot of information has to be gathered before a price can be established.
“We had the wastewater plant ($520,000) financed in a 40 year loan and we paid it off early.
The council discussed the long term plans for a new well looking into financing, etc.
Presently, the needs included repairs to the tank, and pressure valves are needed.
“We are presently having to dump 65,000 gallons a day,” Couch said. “We may be a year in this situation and we are presently dumping almost half of the water we are purchasing.”
The council voted to pay the $20,000 bill to Jones Hydro Services for the work they did on the well and purchase the valves at a cost of $12,000.
Couch said there is some money left that was budgeted for line repair. He said he had the worst of the lines repaired and the money could be used for the repairs which is a more pressing problem for the city at the time.
“Right now we are in a state of emergency,” Couch said.
Councilman James asked Couch to get a cost and call a meeting on the tower repairs.
Mayor Riley expressed his appreciation to the workers for their work on fixing the water lines in July.
“We had a couple of lines to blow that day and they got it repaired,” Mayor Riley said.
Couch said Tisha Eldridge had been hired in the water department and he commended the work she is doing. She has good work ethics, Riley said, and will be starting training to receive her license.
James also asked about clean up of the dress factory building.
“I am working on getting it cleaned up and working on our part of repairing the roof,” Riley said.
James requested when citizens bring issues to councilmen's attention that the requests be forwarded to city employees so they can get the work done.
Councilman Martin asked about old vehicles parked around town. An officer present said they are addressing the problem.
Councilman Tipton said the city's air conditioning units needs cleaning. He also requested reports on the Basler factory and the dress factory be included in the financial reports.
Caraway Council meets at 6 p.m. the second Thursday of each month.