Thursday, January 21, 2016

More details on the airport land deal

The Jackson Municipal Airport Authority agreed to provide an option to lease 130 acres of land in Rankin County for $25,000 to Freedom Real Estate .  JJ obtained a copy of the lease agreement through a public records request.  Freedom Real Estate is owned by Ron Harvey.  The highlights of the resolution to lease the property are:

  • JMAA leases 130 acres bounded by Lakeland Drive and Airport Drive
  • Freedom's proposal was unsolicited.
  • The contract is an option to lease real estate.  The option is good for no more than 270 days.  There is an initial term of 180 days that can be extended for another 90 days. Freedom has the "exclusive opportunity to determine the fitness of the property for the proposed project" within that time period.  The option fee is $25,000. 
  • Freedom must agree to lease at least 50 acres of the property to exercise the option and lease another 50 acres to "exercise any subsequent commitment" under the option. 
  • Lease shall be for 40 years.  Rent is determined by the Airport Authorities Law. Rent is to be recalculated every fifth year.  CPI is to be used to determine if any increases are warranted.
  • Freedom shall deliver prepaid rents for twelve months at closing.
 JMAA announced the deal on January 11.  A press release (posted that day on this website) stated:

Freedom Real Estate, LLC approached the Jackson Municipal Airport Authority and ultimately submitted an unsolicited proposal for an exciting opportunity for the Airport, the City of Flowood and Rankin County. The proposed commercial and retail development project also includes, but is not limited to, clothing and apparel, sporting goods, restaurants, jewelry, household goods, and banks. The Project site is bound by Lakeland Drive on the north and Airport Road to the west, excluding the Parkway Shopping Center.

The proposed project included financing components that are time sensitive and necessitated an expedited evaluation and decision by the Board of Commissioners for JMAA to move forward with the Option to Lease Agreement.

Manager and principal owner, Ron Harvey, Jr. is a graduate of Jackson State University and the Mississippi State University School of Engineering.

The Jackson Municipal Airport Authority is not selling but only leasing the land to Freedom Real Estate. Since the Project is not that of the JMAA but rather is that of Freedom Realty, the developer will assume all risks of the development.
 The map of the subject property is on page 14 of the lease agreement posted below.


Anonymous said...

Local news outlets rip off JJ in 3 ... 2 ... 1 ... BOOM

Anonymous said...

Seems like a wise move to allow development on this land and drive some sales tax. Of course, the resort areas in Pearl and South Ridgeland will blow a gasket because of new competition.

Anonymous said...

We don't need any more nail salons, cash advance stores, wireless stores or Mexican restaurants.

Anonymous said...

Supply and Demand baby!

Anonymous said...

This all sounds pretty reasonable to me. Perhaps Kingfish can find out more about Freedom Real Estate, LLC. All I know is what's on the Secretary of State's website. It says the agent is Ron Harvey of Columbia, MS 39429. It says the manager of the LLC is Ron Harvey Jr. of Slidell, LA.

Anonymous said...

Isn't this really why Harkens wants to take over the airport? Sounds like one of his buddies got cut out of a deal. This is about way more than just taking your family to vegas on a cheap flight.

Who takes their family to Vegas?

Anonymous said...

They must know how to work it!

2 more Mississippi malls approved for sales tax subsidy

"Pinelands would be an entirely new shopping center, spearheaded by Ron Harvey, who leads Freedom Real Estate of Slidell, Louisiana. He told MDA he plans to buy property facing busy Lakeland Boulevard in Flowood from property owners who developed the Pinelands residential subdivisions and construct 750,000 square feet of space, including stores, theaters and a hotel.

It's unclear if Flowood, which hosts four large shopping centers flanking the corners of Lakeland Boulevard and Old Fannin Road, could support so much additional development. The application approved by MDA shows a $162.5 million investment, which would be eligible for up to $48.8 million in sales tax breaks."

Anonymous said...

Tuesday, July 15, 2014 You can't be serious. More tax breaks for shopping centers.

"Dammit, if the free market won't support more shopping centers, we'll do it. Jeff Amy reports for the AP that the state is going to kick in mo' money for mo' shopping centers in Jackson. He writes:

Mississippi taxpayers could help pay for two more malls that squeezed in approvals before a law allowing sales tax subsidies expired June 30.

The Mississippi Development Authority approved applications in June for $29.6 million in tax money to expand Renaissance at Colony Park in Ridgeland and $48.8 million to build Pinelands Lifestyle Center in Flowood. That brings to five the number of qualified malls.

Anonymous said...

MDA is raping taxpayers by approving this nonsense. It's a big box get rich scheme and the public gets screwed.

Anonymous said...

This very subject is the headlines in the Northside Sun this week. I can't retype everything I am reading, but the property this guy is talking about in the above in which he says he is "buying" from the property owners seems to be not the airport property. The MDA signed off on the CRS credits and the NS Sun is saying the location listed on the development certificate of approval is located along Lakeland Drive from Wirtz Road to Hugh Ward Blvd which is across from the Walmart.

Anyway if you want more info, read the Northside Sun.

Anonymous said...

He said he went to San Diego dumb ASS. Read the article and get your shit straight.

Anonymous said...

Brilliant....Jackson will reap sales tax from property in Rankin County using tax credits for private developers.

They can't do that to our pledges. Only we can do that to our pledges!....said the white developers with in-laws in the legislature.

I smell a rat in the legislature that is unhappy with the airport board doing what it is supposed to do.

Anonymous said...

It will be almost impossible to finance a large scale project with only a 40 year ground lease.

Pass the chips and salsa said...

Odds are it will turn into another Mexican restaurant. Lakeland Drive should be renamed Mexican Lane. Ironically the Mexicans get pulled over on Lakeland Dr by Flowood PD just for sneezing

Anonymous said...

According to this week's Northside Sun, Jackson city limit property is behind the security fence and includes the terminal, car rental facilities and parking facilities. Flowood mayor says that the property in question for the mall is Flowood property, and the site plan would have to be approved by Flowood and all permits issued by Flowood. All tax dollars would go to Flowood, not Jackson, so, no sales tax for Jacktown. Nice try, though.

Anonymous said...

Dear January 21, 2016 at 2:44 PM / "Anyway if you want more info, read the Northside Sun."
If you want emotional, defensive, paranoid, martyred info, that is.

Mac Holliday said...

750,000 sq ft is less than 19 acres ain't it? Is Dr. Sethi somewhere in this deal? How about a Sonic and a Western Sizzlin just past Pier 1.....

We need a bait store out that way too. Maybe in with a sushi bar. And a tamale shack in with a vet clinic.

Things is happenin' in Rankin......

Anonymous said... does the Jackson Airport Authority even play into this if its not their property?

Anonymous said...

Follow the money......look at Harkins finance report.

Anonymous said...

Harkins is simply trying to make America great again. He is trying to make everything so much better that you want believe it. Everyone will be so much better off that we won't believe it.

Anonymous said... does the Jackson Airport Authority even play into this if its not their property?
According to the Norhtside Sun article:JMAA owns more than 3,300 acres of land around the airport. 1,000-1,200 acres was ANNEXED by Jackson, 2,100-2,300 is OWNED by Jackson, but located in other municipalities. Apparently, Jackson bought the land surrounding their little island of Jackson in Rankin County.

Anonymous said...

Jackson bought and paid for this land many decades ago - when Flowood was nothing more than a pimple on Pearl's ass, and Pearl wasn't much more than the Gold Coast. Lakeland Drive/Highway 25 wasn't even a glean in MDOT's eyes at the time. The property in question was bought and annexed by Jackson at the time with the concept that Jackson would expand to it - but then Pearl objected and the expansion didn't occur. But the annexation did. Rankin County needs to get over it and accept the fact that they don't own the airport. There is nothing in law that requires a city to be confined into one county - in fact part of Jackson extends into Madison County as well. Hattiesburg, although mostly in Forrest extends into Lamar.

If Rankin (or their Senator) think that they should have say so and control just because its in Rankin, all those folks down south west of I55 in Hattiesburg better hold on to your wallet cause the state might take what's yours next.

Anonymous said...

Land in question for lease is owned by Jackson but not annexed. Suggest you get over it.

Anonymous said...

Maybe someone knows the answer to this. Since the airport is Jackson / Hinds county property would stores be able to sale liquor? If so this would be a perfect spot for Costco.

Would sales tax collections go to Jackson? If so understand the airport take over proposal now.

Anonymous said...

Property in question to be leased owned by Jackson but not annexed. Property in question IS NOT part of municipality operating as the City of Jackson. Sales taxes go to Flowood. Rankin County alcohol rules apply.

Anonymous said...

The property is Jackson. It was indeed annexed back in the '60s. It is in Rankin County and has nothing to do with Hinds County.

Please CATCH UP said...

Pay real close attention now Sparky. Excerpt from Northside Sun:

However, because the property is located in Flowood, none of the tax dollars generated from the project would go to the capital city.

JMAA owns more than 3,300 acres of land around the Jackson-Evers airport. Between 1,000 and 1,200 acres is in the Jackson city limits, while another 2,100 to 2,300 acres is owned by Jackson, but located in other municipalities.

Property in the Jackson city limits is located behind a large security fence, and includes the airport terminal, the vehicle rental facilities and parking facilities.

Flowood Mayor Gary Rhoads said even if the project is approved by JMAA, it still would have to go through his city’s site plan and architectural review processes, and obtain building permits from the city of Flowood, not Jackson.

Anonymous said...

Pay real close attention now Sparky.

The city of Jackson annexed land in Rankin County for it's new jet available airport.

Flowood then annexed land that the city of Jackson owned. There may have even been a court case over it.

Anonymous said...

OK Spanky spanker.

There are two parcels of land here. Jackson owns some 3300 acres of land in Rankin County. About 1/3 of it has been annexed by Jackson. The rest has not been annexed by Jackson. Part of that remaining portion has been annexed by Flowood. Another part has been annexed by Pearl. And - there have been multiple court cases over the subsequent annexations. But the original annexation of the property that contains the airport was not subject to a court case, and is clearly a part of the city of Jackson. Hell, it has its own voting precinct in Jackson city elections, although it is not a precinct in the Hinds County elections. Why? Because it is in Jackson and it is not in Hinds County.

Now - understand? If not - go back and read again and this time pay real, real close attention and quit spanking yourself while reading.

Anonymous said...

@3:49 is incapable of understanding any of it. Die is cast, JMAA will be kaput.

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