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MPLT no longer interested in leasing Fund building
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Posted on Dec 12 2011
By Moneth Deposa
Reporter
Reporter
Marianas Public Land Trust has withdrawn its interest in leasing a portion of the NMI Retirement Fund Building, according to Fund administrator Richard Villagomez
Villagomez reported to the board that MPLT chair Alvaro Santos wrote him a letter indicating the agency’s determination that the lease proposal will not be of the best interest of the public land trustee.
Villagomez said Alvaro’s letter came as a response to the Fund’s lease-term proposal which he described as a “standard lease agreement” used by the agency for its previous tenants.
MPLT was looking at leasing a portion of the second floor of the Fund building after its current office, the former Commonwealth Election Commission at Anatahan Drive on Capital Hill, was assigned for the CNMI Homeland Security Office in the planned merger with the Emergency Management Office. MPLT has been using the space free.
While the Fund looks for new tenants after the relocation of Public School System to Susupe, MPLT then agreed to the $1 per square foot deal for the proposed office space. Negotiations between the parties became dim after Santos revealed that the Fund wanted a higher fee and due to some stringent conditions in the proposed lease term.
Saipan Tribune learned that MPLT is now assigned a building in the south side of Capital Hill to build its office. MPLT is a semi-government agency that received land lease payments on government property. These payments, pursuant to law, must be used in investment of which returns and earnings are remitted to the general fund.
Fund chair Sixto Igisomar last Friday instructed management to continue announcing the vacant space until new tenants are identified.
It was earlier disclosed that MPLT had purchased a property in Capital Hill in 2007 for its planned commercial building project where it will also house its office. Due to financial crisis then, this project was shelved. MPLT bought a 4,000-square meter land, which cost about $200,000. Compared to spending $700,000 for the development of commercial building and office, MPLT said it will only be paying about $15,000 yearly in space rental.
