Jacksonville City Council unanimously approved a deal Aug. 25 to continue Northrop Grumman Storage Systems Corp.’s presence at Cecil Commerce Center.
Council voted 18-0 to approve a five-year lease extension for the global aerospace and technology company at the 56,679-square-foot, city-owned warehouse facility.
Northrop Grumman’s latest lease agreement with the city is $12,422.15 per month with a 3% annual increase, according to a legislative fact sheet filed with the bill from the city Office of Economic Development.
Kirk Wendland, city economic development director, said July 13 the lease extension brings the rent to a market-rate level.
A memo dated July 8 from Wendland to city Chief Administrative Officer Brian Hughes said Northrop Grumman also will pay a $200 monthly common area maintenance fee. The lease has three five-year renewal options.
The aerospace company leased the warehouse space since 2000 when the city took ownership of the building from the U.S. Navy, according to city documents.
The memo said Northrop Grumman uses the building for aerospace parts and component storage. The facility at POW-MIA Memorial Parkway and Crossover Street includes warehouse space with two adjacent surface parking lots.
Falls Church, Virginia-based Northrop Grumman is a government contractor. It has missile defense and advanced missile warning and tracking systems as part of its portfolio, according to its website.
Northrop Grumman is contracted by NASA to build components for the James Webb Space Telescope, which is scheduled to launch March 30.