Contact: Carolyn Casey
Port of Bellingham
(360) 676-2500 or
Wayne Weed
Bellwether Gate, LLC
(360)738-1940
FOR IMMEDIATE RELEASE
February 6, 2007
New Mixed-Use Development Proposed for Phase 2 Bellwether on the Bay™
Port Commission Approves Preliminary Agreement
[Bellingham, Wash.] The second phase of the Port of Bellingham’s Bellwether on the Bay ™ project may move forward with two mixed-use buildings proposed by private developers.
Today the port’s Board of Commissioners approved a Memorandum of Understanding (MOU) with Bellwether Gate LLC, which defines specific areas of agreement between the port and Bellwether Gate and sets the stage for negotiations on a Lease Agreement which will include a Design and Development Agreement as part of the lease.
“A successful agreement will begin Phase 2 of Bellwether on the Bay,” said Port Commission President Scott Walker. “Our initial concept in 1997 of a waterfront hotel, business center, restaurants, Coast Guard facility, public park and a sea-level trail has been completed. These additional mixed-use buildings will bring more jobs, energy, customers and public spaces to an already successful development.”
According to the Memorandum of Understanding, the developers agree to enter into a capital lease for 3.13 acres of the 15-acre Bellwether on the Bay™ project. Bellwether Gate’s vision is to build a mixed-use urban development on the two remaining Bellwether parcels with retail, commercial, office, parking and possibly residential on the upper floors.
“We are very pleased to be involved with the Port of Bellingham in the continued development of the Bellwether Peninsula,” said Bellwether Gate Manager David Ebenal. “The port and its tenants have built a very high quality development. We intend to continue in that tradition with a first-class, mixed-use development. We look forward to working with the port staff and commissioners in the design approval process.”
If final agreement can be reached on the capital lease, the company would pay the port $2,002,560 for one parcel and $866,124 for the second parcel for an 80-year lease of the property, according to the memorandum. The payments would become due when the company receives occupancy permits for the new buildings. Further renewals will be subject to negotiation.
The memorandum, which was approved by Bellwether Gate, also states that if a final agreement is reached, the company must begin construction by April 1, 2008, on one parcel and by May 1, 2009, on the other parcel.
The Memorandum of Understanding anticipates that the port and Bellwether Gate will complete their final lease and Design and Development Agreement by May 31, 2007, or else the memorandum could be terminated by the Port. As a fee for entering into the MOU, the company agreed to pay the port a $10,000 option payment on March 1, 2007 and additional $10,000 payments in 2008 and 2009.
Bellwether Gate LLC was one of six developers who responded to the Port’s Request for Proposals for these two parcels last year. Bellwether Gate was chosen because of the quality of the proposal, the enthusiasm of the developers and their ability to build the entire project with their own financing and investment and without additional port contributions for the project or for additional infrastructure on the Bellwether Peninsula.
Bellwether Gate LLC is a newly formed development company with the same principals as Bellingham firm Ebenal Company. The Ebenal Company has completed several major new developments in Fairhaven including the building housing Village Books and Fairhaven Square. The company also is restoring the historic Waldron Building.
The Bellwether on the Bay™ development already includes two mixed-use office buildings, a hotel, and several restaurants. The first phase of this development opened in 1999. Today 40 businesses operate at Bellwether on the Bay™.
-30-
