A deal to continue Northrop Grumman Storage Systems Corp.’s presence at Cecil Commerce Center is headed to the City Council.
The Mayor’s Budget Review Committee voted 6-0 on July 13 to advance a five-year lease extension for the global aerospace and technology company at the 56,679-square-foot, city-owned warehouse facility.
The committee’s approval allows the city’s Office of Economic Development to file legislation with Council for a $12,422.15 per month lease with a 3% annual increase written into the agreement, according to a July 8 memorandum from office Executive Director Kirk Wendland to MBRC Chairman Brian Hughes.
Wendland said July 13 the lease extension brings the rent to a market-rate level.
The memo said Northrop Grumman also will pay a $200 monthly common area maintenance fee. The lease has three five-year renewal options.
The city economic development office plans to file the lease renewal bill to be introduced at Council’s July 28 meeting, the memo states.
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 .
Wendland’s 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.
The Falls Church, Virginia-based company 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, 2021.