Hangar Expansion EstPati Heath
From: Pati Heath [pheath@kalispell.com]
Sent: Tuesday, December 09, 2003 8:51 AM
To: 'Susan Moyer'
Cc: 'Chris Kukulski (ckukulski@kalispell.com)'
Subject: RE: Airport Information
Attachments: Hangar Expansion Est.xls
Page 1 of 2Message
1/27/2005
Susan,
After talking with Chris today, he indicated that his thought was of providing the infrastructure and each building
owner would build their own building. Although we have talked about the possibility of building hangars and/or an
FBO facility we have not gotten nearly far enough in that process.
Chris suggested that I send over to you the attached document that was worked up by Dick Amerman last spring
when we were trying to figure out the possibilities of some hangars. It is for only a portion of the infrastructure
(water, sewer, grading & paving) and does not include electric or gas. At this time, it provided 4 hangar taxiways
off the main taxiway. The original drawing included a 100'x100' building with a 75'x50' and a 60'x50' side by side
attached hangar (10,000sf., 3,750sf., and 3,000sf.). The next set included 5 T-hangars with a total measurement
of approximately 125'x50' (6,250sf.). The last bay would include 4 hangers that are 2 each side by side. They
include an 80'x50' and 60'x50' (4,000sf., 3,000sf.), and 60'x50' and 50'x50' (4,000sf., 2,500sf.). At the time Dick
presented his cost work, the Board thought it was high and non-competitive with other operators. None of them
have the experience--nor do I--so of course, we would need to get bids.
At today's lease rate of $.16/sf. times 150% a year, the overall annual revenue is not great. If I have done the
math correctly, the lease revenue totals approximately $8,800 a year, and of course, each owner would pay taxes
on the building. However, we have talked about ways in which we can increase the lease rate or develop a
different fee structure and still stay competitive. Some of the owners would also pay a commercial fee of $150
per month if they operate a business from the hangar. There are several ideas being discussed at the meeting
today.
Scott Richardson has indicated to me that an average hangar (50'x50') would cost the owner about $60,000
upwards to build.
Right now we have a gentleman who indicates that he wants to build 3 hangars right now. Another man has
indicated an interest in several hangars, and I get several calls a month looking for hangar space or a place to
build.
Hope this information helps for now and the committee will continue to work on the plan. Again, let me know your
timeline and I can convey the urgency. Thanks for your help in this.
Pati Heath
Assistant to the City Manager
City of Kalispell, MT 406-758-7774
-----Original Message-----
From: Susan Moyer [mailto:smoyer@kalispell.com]
Sent: Friday, December 05, 2003 1:57 PM
To: pheath@kalispell.com
Subject: Airport Information
During our meeting yesterday, I expressed grave concern over the City's need to sell a bond in the Airport
TIF District this coming year in order to keep district alive. Chris mentioned it would be a good opportunity
to cover the costs of the rental buildings the City is contemplating constructing as well as the runways (?)
up to them. What I need to know is:
1. How many rental units is the Authority contemplating being built?
2. What is the cost for the construction of the buildings?
3. What is the infrastructure costs (sewer, water, paving, etc.) for the development?
4. What rental income will all this generate?
5. What sort of implementation schedule is identified?
6. What other needs might there be that the City would earn income from?
I know you're gone from the 11th. I would appreciate your getting back to me as soon as you can.
Susan
Page 2 of 2Message
1/27/2005