ETSU plans to purchase Millennium Centre
The Johnson City Commission this evening will consider ending the city’s lease of Millennium Centre from the Johnson City Public Building Authority so the PBA can sell the Millennium Centre and its adjoining properties to the state of Tennessee for $5,824,584. Should the city approve the resolutions this evening, the PBA must still give 90 days notice to Sodexo, which operates the property, before the sale can be closed and ETSU takes control of the property.
“The city commission’s actions tonight will be the first steps,” said ETSU communications specialist Amanda Mowell. “There’ll be more to talk about tomorrow.”
The sales agreement pays the PBA enough money to pay off the outstanding bonds on the property, In return, the PBA will convey all of the property it owns to the state (the Millennium Centre, the parking garage, and the adjoining advanced visualization lab Building).
The specific resolutions being considered tonight give authority to the mayor to sign any documents involved in the transaction, including termination of the City’s lease with the PBA, release of any restrictive covenants, termination of the agreements involving the pedestrian bridge across State of Franklin Road, termination of the parking agreement with ETSU, termination of the management agreement with the PBA, agreements regarding defeasing the outstanding bonds, and approval of the sales agreement.
The city has leased the property from the PBA since 2006. The bonds were refinanced in 2016.