The Vancouver Port Commission unanimously approved a land option agreement with Sutherland Development in a special meeting March 4, 2008, despite reservations about the developer's commitment to the deal.Seattle-based Sutherland Development had no representative present at the meeting and would not be required to give the port significant hard cash for the property until Dec. 31.
"Seattle's not that far away," said Commission Secretary Jerry Oliver. "They do not evince a strong interest by their absence this morning."
Nevertheless, port commissioners approved the option agreement to sell or lease at least 30 acres of the 58-acre property to Sutherland, who has the option to develop all or part of the land. The light industrial property was part of the former Rufener Farm and is across from the port's headquarters, north of Lower River Road in Vancouver.
Sutherland has plans to develop the property into a light industrial area and has a manufacturing tenant in mind that could bring 600 to 800 family-wage jobs. The tenant will be named to the public no later than Dec. 1.
A purchase or lease price will be determined by appraisals. The agreement is effective today through May 25, 2009, and would allow the port to move forward with next steps in the negotiation process.
The agreement is contingent on the participation of the designated tenant and its use of the land for manufacturing as well as its offer of significant employment opportunities.
The port can continue to market the property until the developer puts hard cash down on the deal. The port would have the option to repurchase the property if development doesn't occur within five years.
The possibility of the tenant bringing family-wage jobs was a point of conversation throughout the meeting.
"I have a lot of reservations but if the staff thinks this is the right thing to do to provide those jobs to the community, I'll reluctantly go along with it," Commission President Brian Wolfe said via a conference call.
Commission Vice President Nancy Baker also expressed reservations about the development, but was enthused about the job prospects.
"I'm excited about the (tenant)," said Baker. "The jobs they will bring, the input into our community will be important. So I'm willing to cut a little slack there."
Eric Holmes, the City of Vancouver's economic development director, and Bart Phillips, Columbia River Economic Development Council president, both emphasized possible job growth in their support for the development.
Another driving factor in the agreement was a federal new markets tax credit, which Sutherland is currently applying for. Community development entities can apply for the credit if they are for making investments in low-income communities.
Charity Thompson can be reached at cthompson@vbjusa.com.
