Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN AMENDMENT TO THE OPTION AND LEASE AGREEMENT WITH NORTHSTAR TOWERS II, LLC TO INCREASE THE NUMBER OF EXTENDED TERMS FOR THE COMMUNICATIONS TOWER SITE AND TO DO ALL THINGS NECESSARY TO IMPLEMENT THE AMENDMENT.
Brief Description: Consideration of an amendment to the Option and Lease Agreement between the City of Hudson and NorthStar Towers II, LLC to increase the number of five-year extended terms from five (5) to nine (9), allowing a potential total lease term of fifty (50) years for the telecommunications (cell) tower site on City-owned property across from City Hall.
Body
Legislative History
Resolution No. 26-96, adopted July 14, 2026, authorizing the City Manager to enter a lease agreement with NorthStar Towers II, LLC.
Purpose & Explanation
Following Council’s approval of Resolution No. 26-96, the City and NorthStar Towers II, LLC (“NorthStar”) entered into an Option and Lease Agreement dated September 2, 2026, granting NorthStar an option to lease a portion of City-owned property across from City Hall for a telecommunications (i.e., cell phone) tower (the “Lease”). NorthStar has not yet exercised its option.
As currently written, once the option is exercised the Lease provides an initial term of five (5) years with up to five (5) extended terms of five (5) years each, for a maximum of thirty (30) years. NorthStar recently approached the City seeking an amendment to the number of renewable terms. The proposed amendment increases the number of extended terms to nine (9), so the lease may run up to fifty (50) years.
A longer available lease term supports NorthStar’s financing of the tower and makes the site more attractive to wireless carriers seeking to co-locate on it, which in turn advances the improved wireless coverage and public safety communications the Lease was intended to deliver.
The amendment does not change the option term, option fee, rent, co-location fees, or any other terms of the lease, including the City’s right to install public safety and governmental communications equipment on the tower. In short, the amendment extends the potential life of the Lease from 30 to 50 years, and the City’s revenue from the site, without otherwise altering the terms Council previously approved.
Legal Authority for Proposed Legislation
Pursuant to Charter Section 6.04:
Competitively bid and advertised for three consecutive weeks; bid tab attached: [Yes/No/NA])
Joint or Cooperative Purchase Program
Professional Services
X Other - amendment to existing lease of City property; bidding not applicable
Fiscal Impact
Currently Budgeted (Account #, $)
Supplemental Appropriation Required (Account #, $)
X Appropriation Not Required.
Does this legislation require use of an emergency clause?
Yes [if so, explain why]
X No
Recommendation
Suggested Action
Staff recommends that City Council adopt the resolution authorizing the City Manager to execute the Amendment to Option and Lease Agreement with NorthStar Towers II, LLC and to do all things necessary to implement it.
Submitted by,
Thomas J. Sheridan, City Manager