Quesnel council agreed to enter into a five-year lease with Kismet Management Ltd. for 1.56 hectares of land at the Quesnel Regional Airport during the Nov. 24 council meeting. (City of Quesnel Photo)

Quesnel council agreed to enter into a five-year lease with Kismet Management Ltd. for 1.56 hectares of land at the Quesnel Regional Airport during the Nov. 24 council meeting. (City of Quesnel Photo)

Quesnel council approves new lease agreement for airport lands

The five-year lease with Kismet Management Ltd. would generate additional revenue for the city

There has not been a lot of good news at the Quesnel Regional Airport during the COVID-19 pandemic, as Central Mountain Air (CMA) suspended its flights in and out of Quesnel in April, and city council is expecting the airport to run a deficit this year.

But council heard some promising news at its Nov. 24 meeting, where it was asked to approve a five-year lease with Kismet Management Ltd. for approximately 1.56 hectares of land at the airport.

Jeff Norburn, the city’s director of community services, says the lease will generate approximately $17,900 annually for the city, which is about $11,500 more than was generated by the previous lease with Westside Logging Ltd.

The City of Quesnel had entered into a 20-year agreement with Westside Logging Ltd. back in 2014 for Westside Logging to lease approximately 5,600 square metres of land at the airport. Westside Logging Ltd. and C&C Wood Products Ltd. constructed a hangar on the lands. Earlier this year, Westside Logging and C&C Wood Products went into receivership and were acquired by Quesnel Investment Corporation; their assets included the hangar at the airport.

Kismet Management has made an offer to purchase the hangar from Quesnel Investment Corporation and would like to enter into a five-year lease agreement with the city for the lands previously leased to Westside Logging, as well as an adjacent hectare of land.

Working in partnership with Firewolf Contracting Ltd., Kismet Management plans to use the hangar for a light manufacturing operation for the distribution of prefabricated housing units using structural insulated panels, explained Norburn.

“Firewolf Contracting Ltd. has indicated they are interested in constructing additional hangars and facilities on the property and upgrading or constructing new taxiways at the airport,” Norburn told council. “Initially, it is anticipated that the structural insulated panel housing units will be provided to support a business in the region, but the company anticipates that in the future, they expect to ship these units by air to locations throughout northern Canada. There are significant economic benefits to the community and to the airport should this business venture succeed and expand its operation to include shipping these units by air throughout northern Canada.”

The city must grant its consent for the transfer of ownership of the hangar and approve the lease agreement, as the agreement with Westside Logging stipulates that any buildings constructed on the leased lands will be vested in the city upon termination of the agreement. Council granted its consent for the hangar transfer of ownership at the Nov. 24 meeting and agreed to enter into a five-year lease with Kismet Management Ltd. The lease is effective Dec. 1, 2020, to Nov. 30, 2025.

“With all the COVID challenges we’ve been having with the airport lands and the discussions we’ve been having for years even before that about trying to get investment at the airport, this is extremely exciting,” said Coun. Scott Elliott. “I want to thank the manager of the airport [Jon Pucek]. I know he’s been working diligently to look at different alternatives and ways to make money and advertise what Quesnel has to offer, and I think this is just fantastic news for us, and I couldn’t be happier.”

Coun. Martin Runge asked what happens with the timber if there is logging on that hectare of land and if the city might see any financial benefit.

“I think it’s appropriate we take a look at the timber on there and make a value decision when we do that,” said city manager Byron Johnson.

Mayor Bob Simpson wondered if the city needed to do some subdivision of the airport property if it’s bringing that new portion of land into the lease.

Norburn says staff had budgeted some funding this year to look at subdividing some of the airport lands, but with the revenue shortfall resulting in the loss of CMA flights, it was one of the things they chose not to proceed with to save money.

“It was largely sort of being initiated in case people wanted to purchase land, in which case we would definitely have to do the subdivision,” he said. “We’ve leased the land we have there now without going through a formal subdivision process, so there’s no reason why we can’t do it in this case, but the idea of subdividing that into lots is still a good idea, and it’s something we would like to see done at the airport if we can.”

READ MORE: No commercial flights until 2021 at Quesnel Airport



editor@quesnelobserver.com

Like us on Facebook and follow us on Twitter

Quesnel

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

City workers build scaffolding as work begins on refurbishing Quesnel’s gold pan. (Cassidy Dankochik Photo - Quesnel Cariboo Observer)
Quesnel gold pan discussion flares during council’s capital plan debate

Councillor Ron Paull wanted to move the landmark instead of investing in a backdrop

The Jan. 20 Quesnel Cariboo Observer features team photos from the Quesnel and District Minor Hockey Association. (Cassidy Dankochik Photo - Quesnel Cariboo Observer)
Minor Hockey shines in Observer special section

This week’s paper features one of the few sporting activities still allowed to continue

This BC Hydro map shows some of the power outages across Northern BC. Many were caused by high winds. (BC Hydro Website)
Power out across much of Northern BC

BC Hydro anticipates some may be without power overnight

Administering naloxone to a person experiencing a benzo-related overdose event won’t help. Naloxone is used to neutralize opioids. (Jenna Hauck/The Progress file photo)
Northern Health warning drug users of potential benzo contamination

The drug does not respond to naloxone, and is being included in street drugs

Robert Dale Stanton of Clinton was last heard from on Jan. 9, and police are asking for the public’s assistance in locating him. (Photo credit: RCMP)
Police ask for help in locating missing Clinton man

Robert Dale Stanton was last heard from on Jan. 9 and is believed to be in the Clinton/70 Mile area

Syringe is prepared with one of B.C.’s first vials of Pfizer vaccine to prevent COVID-19, Victoria, Dec. 22, 2020. (B.C. government)
B.C.’s COVID-19 caseload stays steady with 465 more Tuesday

No new outbreaks in health care facilities, 12 more deaths

New Westminster TV production designer, Rick Whitfield, has designed an office in a box for British Columbians in need of a private workspace. (BC Box Office photo)
PHOTOS: B.C. man designs ‘box office’ solution for those working from home

‘A professionally designed workspace on your property, away from the distractions of home’

Chilliwack ER doctor Marc Greidanus is featured in a video, published Jan. 18, 2021, where he demonstrates and describes effectiveness of various styles of masks. (Youtube)
VIDEO: Emergency room doctor runs through pros and cons of various masks

‘We’ve been asked to wear a mask and it’s not that hard,’ Greidanus says.

(Pixabay photo)
VIDEO: Tip to Metro Vancouver transit police helps woman 4,000 km away in Ohio

Sgt. Clint Hampton says transit police were alerted to a YouTube video of the woman in mental distress

A woman types on her laptop in Miami in a Monday, Dec. 12, 2016, photo illustration. THE CANADIAN PRESS/AP/Wilfredo Lee
British Columbia government lax on cybersecurity practices, auditor reports

The audit did not highlight a specific threat, but it found breaches in cybersecurity are increasing globally

Cranbrook Food Bank coordinator Deanna Kemperman, Potluck Cafe Society executive director Naved Noorani and Sunshine Coast Community Services Society executive director Catherine Leach join B.C.’s new Municipal Affairs Minister Josie Osborne on a video call about B.C. gaming grants, Jan. 19, 2021. (B.C. government)
B.C. gaming grants reorganized for COVID-19 priorities

Minister highlights community kitchens, food banks

(Pixabay photo)
‘Cocaine bananas’ arrive at Kelowna grocery stores after mix up from Colombia: RCMP

Kelowna RCMP recently concluded an international drug investigation after finding cocaine in local grocers’ banana shipments in 2019

A new video from NCCIH and BC Northern Health titled ‘Healing in Pandemic Times: Indigenous Peoples, Stigma and COVID-19’ was animated by Joanne Gervais. (Photo Provided By: NCCIH Archives)
VIDEO: Stigma against Indigenous people is a ‘social sickness’

A new short animated video is aiming to educate the public on the stigmatization

A pinniped was attacked by an unseen predator off the shores of Dallas Road Monday night. (Courtesy of Steffani Cameron)
VIDEO: Seal hunting, not being hunted in video shot off Victoria waterfront

Victoria woman captures footage of pinniped activity off Dallas Road

Most Read