The Burlington City Council did not sign a purchase agreement for the US Bank Building downtown last night, voting down the resolution on the agenda in a split 3-2 vote in order to bring the bank back to the negotiating table for a different purchase-lease agreement.
Councilmen Becky Anderson was concerned about the terms of the lease agreement, which would allow US Bank to lease around 37,000 square feet of the building temporarily from the city after the purchase while it expanded into it’s branch bank on Roosevelt Avenue. The agreement would have had the bank lease the space for a little under $5,750 per month.
Mayor Shane McCampbell was among those who voted against the agreement. He said that he thinks the city should increase the cost of the leasing agreement with US Bank to pressure the bank to move out of the building faster.
“It’s too much time. We need to put a little more pressure on them. I don’t think we’re making enough money back.” McCampbell told KBUR, “If they’re just breaking even, if there’s no pressure on their pocket, then where is the motivation to move faster and get it done?”
Councilman Jim Davidson voted for the agreement, saying that there was no time to delay the purchase and that it was “not worth haggling over”. Councilman Bob Fleming joined Davidson in voting for the resolution. City Manager Jim Ferneau also expressed concern.
“I do hesitate to see this drag out for too long.” Ferneau told the council, “I don’t want to interrupt the construction cycle over this next year.”
In November, voters authorized an up-to $4.4 million bond agreement in order to purchase the US Bank Building for use as a Police Station.
Ferneau said that city staff will meet with the bank again in the coming weeks.
