For some time the City of Petersburg has been contemplating the purchase of the Reid waterfront and warehouse property.
During the June 11 City Council meeting requests were made for an appraisal and survey of the property to be performed along with the preparation of a business plan to assess the possible benefits for this facility to the city.
Several statements of positive feedback from the business community were introduced to help guide the council toward a favorable decision regarding the purchase of the property.
“Our fishing community needs more infrastructure to bring fishing gear, bait sheds and equipment on and off their vessels,” Dave Ohmer of Piston & Rudder Services stated. “I believe that the Reid property is a key component to the best economic development opportunity we have available.”
The availability of waterfront property in Petersburg is a concern many businesses in the area agree upon.
“Petersburg’s economy is dependent on a healthy commercial fishing industry and local fleet,” Julianne Curry, Director of the Petersburg Vessel Owners Association wrote. “Waterfront property in Petersburg is difficult to come by and waterfront property that is large enough to develop for the commercial fishing industry and is zoned for industrial use is a rarity.”
Seth Scrimsher, CEO and co-owner of Tonka Seafoods states that industrial property is a very rare and important part of our community and he would urge the City of Petersburg to do everything possible to acquire the Reid property.
Petersburg City Council member Don Koenigs voiced more of a concern for the acquisition of this property. “I would like the Harbor Master to produce a business plan to show this council how the property would be used and the possibilities there are for it to pay for itself.”
“I worked with Liz Cabrera and came up with a business plan for the use of this property,” Petersburg Harbor Master Glorianne Wollen said. “We just began with the asking price of $1.4 million and added $20,000 for an estimated startup cost.”
Possible products and services that will be found within this property would be a loading dock and gear storage to be used for the storage of commercial fishing gear. Bait sheds, seine skiffs and herring pounds can also be stored at one location.
“The price for this service will be $.24 per square foot,” Wollen stated. “Which is very competitive to other private and public storage fees across the region.”
Warehouse space is another possible use of the property. The space is currently leased and could be available for private industry to lease at $5,000 per year.
Reid’s has been used as an offload point for sand and gravel for large projects on Mitkof Island. “This service will continue to be available under city ownership,” Wollen said. “We anticipate charging market price of $.50 per ton.”
An underwater dive survey of the Reid dock piling was conducted by Diver Randy Lantiegne and a video of the survey was viewed at the meeting.
“I inspected all aspects of the pilings for the property,” Lantiegne stated. “I did find some rust, but it was not a substantial amount. The pilings are in pretty good shape and is in sufficient condition for use.”
The council recessed into executive session to discuss a price in which City Manager Stephen Giesbrecht would be able to negotiate with the family for the property.
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