Weyerhaeuser already discussing expansion plans at airport

Weyerhaeuser could soon become the largest revenue source for the McMinnville Municipal Airport, as the company is already exploring expansion following its February purchase of a hangar.

The timber company chose McMinnville as headquarters for its new wildfire response program using two Blackhawk helicopters retrofitted for aerial firefighting, according to Weyerhaeuser spokesperson Kyleigh Gill.

The company has approached the airport to discuss a lease amendment that adds approximately 22,000 square feet of open space and the 1.35 acres that includes the former Comcast building at 4025 S.E. Nimbus Loop, according to Airport Manager John Paskell.

In addition, Weyerhaeuser would be given right of first refusal on 4.5 undeveloped acres to the east of its hangar.

The agreement would require the city to pay for demolition of the Comcast building, with Weyerhaeuser funding construction of a new building, Paskell said.

“They’d like the building to go away so they could then build their own,” Paskell told the airport commission Monday.

The city spent approximately $70,000 on repairs of the former Comcast building following flooding last year. It has been vacant for several years.

“I know that building’s been a money pit,” Commission Chair Mark Fowle said.

The commission discussed demolition options, including asking McMinnville Fire District to use it for a practice burn.

“I would suggest just contacting the fire department to see if they want to burn that sucker down,” Fowle said.

The contract would stipulate the building be demolished as soon as possible, according to Paskell. Commissioners requested further details on the expected timeline.

If the agreement proceeds, Weyerhaeuser would overtake the Oregon State Police as the highest revenue generating tenant at the airport, according to Paskell.

If Weyerhaeuser leased the former Comcast location, it would be charged the improved ground lease rate of $1.23 per square foot annually — three times higher than the unimproved rate.

If the company took over the Comcast building and the two pieces of land, the city would earn an estimated $160,000 annually in addition to the current Weyerhaeuser lease, according to the airport fee schedule.

“Obviously, this is a good benefit to the airport to start leasing more property,” Paskell said. “They would become our largest revenue source.”

Gill told the News-Register Weyerhaeuser has nothing to report at this time, but more information may be provided in the fall.

“We don’t have any expansion plans to announce at this point,” she said.

The proposal is currently being reviewed by Weyerhaeuser legal staff, according to Paskell.

The airport commission decided not to vote on a recommendation for the lease and asked for more information on demolition costs and timeline. The commission will hold a special meeting in August to vote on Weyerhaeuser and two other lease amendments.

All airport lease amendments will go before city council for final approval.