Cedar St. Bridge swap proposed

SANDPOINT — After failing to come to an agreement with the owners of the Cedar Street Bridge Market on a lease extension, the city is proposing a land swap that would transfer ownership of the bridge to Jeff Bond and John Gillham in exchange for a piece of property located near City Hall.

Bond and Gillham purchased the market in 2005 for a reported $2.6 million, but pay the city $1 per year to lease the actual bridge and a small portion of land.

The lease currently extends to 2022, but has a 59-year renewal option. Since January, Bond and Gillham have met numerous times with city officials to negotiate a new, longer lease. The developers were asking to extend the lease to 99 years, as well as adding five 10-year renewals. They also wanted permission to condominiumize the structure, which would allow them to break the market into smaller spaces for resale.

Bond and Gillham removed their request in June after negotiations stalled and the council could not come to an agreement about the plan.

Gillham said he was contacted by the city with a proposed property trade shortly after the lease negotiations broke down. The trade would give the city a small piece of property on the northeast corner of Superior Street and Ella Avenue in exchange for the Cedar Street Bridge.

Gillham’s property, which includes a one-bedroom house and a garage, had been on the market until recently. Both the bridge and the Superior Street property are valued at $135,000, according to city documents.

In addition to being a fair trade, Gillham said the transaction would be less complicated than continuing with lease negotiations.

“I look at the trade really as a win win for both sides,” he said. “I don’t know why we didn’t think of that in the beginning, but we didn’t.”

The council will hold a public hearing on the matter Wednesday at 5 p.m. at City Hall.