Facebook Twitter Twitter    Archive | www.aapa-ports.org May 28, 2013
   

West Sacramento and SSA Pacific to Enter into New Terminal Lease Agreement

Print Print this Article | Send to Colleague

The Sacramento-Yolo Port Commission has approved a new master lease of its West Sacramento maritime facilities with SSA Pacific, Inc. (SSA). The new lease, which takes effect July 1, 2013, replaces the port’s existing terminal operations management agreement with SSA.

The new agreement provides guaranteed rent payments to the Port of West Sacramento and shifts all maritime-related operational expenses to SSA, enabling the port to reduce administrative costs and focus on development of its real estate assets.

The lease will be for a minimum of five years and can be extended by five-year increments to a maximum of 20 years. Minimum annual rent payments to the port start at $650,000. The lease provides for additional revenues to the port as shipping tonnage increases. As part of the agreement, the port is relieved of $850,000 in existing debt to SSA, while SSA agrees to purchase the port's existing air credits related to bulk cargo handling for $50,000. 
 

Share Share on Facebook Share on Twitter Share on LinkedIn