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City administrator: potential 3–5 year lease for clubhouse with operator planning significant renovation investment

Little Falls City · December 16, 2024
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Summary

City Administrator Alex said talks with an operator known as 'the Ultimate' are positive and could lead to a 3–5 year lease; the operator indicated he may invest roughly $150,000–$200,000 in renovations, and a draft lease is expected before the next council meeting.

City Administrator Alex reported that he and staff met with Tom, the operator of "the Ultimate," to discuss a possible lease for the city clubhouse and events center. Alex said the parties have reached preliminary agreement on many lease components and aim for a 3- to 5-year lease to provide the operator security for a renovation investment.

Alex told the council that the operator and his vendors have discussed renovation costs and that the operator has indicated investment in the order of about $150,000 to $200,000; Alex said hidden renovation costs are common and that a longer lease term would make the investment more feasible. The city plans to present a draft lease for council review at a future meeting.

Councilmembers asked about alternative options if the deal does not proceed, schedule timing (an April target to have the facility ready for season), and whether city staff would be involved in negotiations. One councilmember noted the operator has expressed personal passion for the project and was prepared to invest significant funds; no formal lease was executed during the session.