Opus East LLC will start construction on the Government and Technology Enterprise project, a 200-acre office and research park just inside APG’s fence and aimed at the defense contractors who work closely with the military.
“We think we’re building the pre-eminent business park for this kind of user, and we do have the advantage of being behind the fence,” said Scott Brody, vice president and general manager of Rockville-based Opus East.
Instead of paying rent for the land, Opus will build and maintain its own facilities and roads, as well as other infrastructure improvements or building projects requested by the Army, Brody said.
Business consultant Joseph Oricchio said some of his clients were worried about the GATE project having lower rents because of the lease, but Ron Descheneaux, senior director of Opus government programs, said rents had to be based upon the real estate market.
Because the GATE project will be built on federal land, the developer and tenants won’t have to pay state or local property taxes, and that has raised major issues with another leasing project at Fort Meade.
The state is considering legislation that would allow the Army to make payments to local governments instead of taxes.
At Fort Meade, a similar situation exists. Developer Trammell Crowe is negotiating with Army officials to build office space on base property.
Anne Arundel officials also are concerned about Trammell Crowe not paying taxes and fees, though Army Col. Kenneth McCreedy, the fort’s commander, has said impact fees could be part of the contract.
That contract is still in negotiations, fort officials said.
“While it may seem as though the negotiations between the developer and Fort Meade is taking longer than expected, it is also important to understand the importance of making sure the terms and conditions of this 50-year lease are mutually beneficial for Trammel Crowe and the United States Army,” said fort spokeswoman Jennifer Downing.
Staff Writer Jason Flanagan contributed to this report.
msantoni@baltimoreexaminer.com
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