Cookeville officials have approved a management agreement for property that the city purchased last month for parking.
The property sits at 29 North Cedar and contains 55 storage rental units. City Manager James Mills said 49 units have leases.
“Since it’s going to be a year before we destroy, demo, and build the parking…we felt like the best way to move forward was to continue to lease those units,” Mills said. “We did some research and we really aren’t set up to do that. I approached the property owner, which is Jerry Gaw, about them continuing to manage the units for us.”
The city will pay Real Estate Professionals $300 per month or 10-percent of the total rent.
“There’s seven units that we (the city) currently lease,” Mills said. “We will no longer be paying those, so that will drop the total monthly rent payment down, but it will save the cost from the compartments that we currently rent.”
City Council unanimously approved the agreement during Thursday night’s meeting.