Gale Marshall got his day in front of the Pendleton, Ore., City Council, but he couldn’t convince its members to reconsider leasing land east of Newly Weds Foods to an RV storage company.
The council voted to reaffirm its lease agreement with Horizon Transport, doing business as Queen B Storage, a move Marshall said will significantly hurt his privately owned RV storage business, which shares a property line with the 8.82 acres of city land, the East Oregonian reports.
Storage facilities and related businesses have enjoyed resurgence in recent years as the RV industry reaches new levels across the country.
Both Marshall and a representative from Queen B made their case in front of the council before members made their decision.
First up was Jade Perrenoud, the manager of western operations for Indiana-based Horizon Transport, which is doing business as Queen B in its dealings with the city.
Horizon currently leases space on Marshall’s property, but Perrenoud said the company made the decision to lease with the city because of cost and space concerns.
“It’s kind of a monopoly in the area,” Perrenoud said. “There’s no competition. So you pretty much (pay) what (Marshall) wants or you have to go to a yard way, way far away.”
The land east of Newly Weds is desirable to transport and storage companies because of its proximity to the Keystone RV Co. manufacturing plant.
Perrenaud said Horizon is “bursting at the seams” on the four acres it is currently renting from Marshall. Perrenaud was unsure if Horizon intended to vacate Marshall’s land after signing the lease with the city.
Through Queen B, Horizon will pay the city $1,825 per month to lease the land and make $130,000 worth of improvements to the property over the life of the 12-year contract.
Additionally, Horizon agreed to pay an additional $325 a month in lieu of a property tax since the storage area is on public land.