Nordic Cold Storage Facility – Greer, SC
March 12, 2013
• Nordic Cold Storage entered into a 40 year lease with the Authority in 1983 and constructed a cold storage facility in Greer, SC.
• The facility reverts to the Authority at the end of the lease term in 11 years.
• Because their location conflicts with the S.C. Inland Port, the Authority entered into discussions with Nordic in late November on their potential relocation.
• We have searched alternative sites for them to relocate and discussed buying out the remaining years of their lease.
• During the design process a number of conflicts and constraints were identified necessitating that the Nordic facility be removed.
• Current recommended design is based on Nordic demolition. A change will require substantial increase in capital costs, increased operating costs and a delay in schedule (post-September opening).
•We are now at an impasse with Nordic and must move to an eminent domain action.
Proposed Board Resolution
• Resolution Findings:
• The Authority has a need for the SCIP project as a public project to be owned and operated by the Authority and condemnation is required for the benefit of the citizens of South Carolina.
• The construction and operation of the SCIP is for a lawful and public use encompassed within the purposes and powers of the Authority.
• To build this project, it is necessary to take and extinguish the remaining leasehold interest held by Nordic on the Authority’s property in Spartanburg County as described in the resolution.
• Fair market value of the leasehold interest has been determined by an appraisal commissioned by the Authority.
• General counsel of the Authority and its executive officers are authorized to take all necessary and lawful steps to acquire the leasehold interest through condemnation.
• Once the condemnation is authorized, the Authority will serve the notice and the condemnation process will begin.