Committee approves amendment to Prime Group hangar lease, allows pre-construction tree removal amid bat concerns

The Saratoga County Airborne Improvement Committee on March 4 approved an amendment to a 2022 resolution that adjusts the start and end dates of Prime Group Holdings’ ground lease at the Saratoga County Airport.

The committee amended Resolution 297 of 2022 to move the first 20-year lease term to begin Aug. 1, 2025, and end July 31, 2045, reflecting delays Prime Group experienced obtaining local approvals, Airport Director Chad said. The committee also approved a county license enabling Prime Group to remove trees within the leasehold area before the lease start, subject to insurance and hold-harmless provisions because certain trees could host bat roosts.

“...they reactivated their interest in, their lease. So that's why I'm back here today,” Chad said, describing Prime Group’s intent to build a hangar and asking the committee to amend the original approval to push the lease start date forward three years.

Committee members discussed whether the ground lease allows subletting and what happens to tenant-built structures at lease termination. Mr. Anderson asked whether subletting was permitted; staff replied the hangar is being built for Prime’s private use and “it won't be sublet to anyone.” George, a staff member, said the lease is a ground lease and “at the termination of a ground lease, we acquired the hanger.”

On tree removal, staff said the county attorney's office would prepare a short license allowing Prime Group to cut trees in the leasehold area and that Prime must provide insurance and hold the county harmless. Chad said there is no fee for that license and that tree removal and bat-roost considerations were already included in earlier environmental/secular documentation for the project. “They would have to be, you know, they'd be required to hold us harmless and have all the insurance,” Chad said.

The committee voted “Aye” and the motions carried. Staff said if detailed vetting of insurance or other legal language is needed the matter could be presented to the full board; however, committee approval was considered sufficient to allow the license and move the project forward without delaying Prime Group’s schedule.

The county retains ownership of land under the ground lease; the lease language states buildings and facilities constructed by the tenant “shall become the property of the landlord” at lease expiration or termination. Staff clarified that acquiring the structure at lease end is an acquisition rather than a purchase and that the county would not pay the tenant for the building at that time.

Chad said Prime Group has resumed its plans and intends to proceed with hangar construction once local approvals are resolved and the license is executed. No additional financial commitment was approved at the March 4 meeting; the amendment updates only the lease term dates and authorizes the license for pre-construction tree removal.