TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, ICMA-CM, MPA, City Manager
TITLE: Approval of the Revised Tower Lease Agreement By and Between the City of North Port, Florida and 1 Source Towers II, LLC for Construction of a Cellular Tower Located at 3195 Chickasaw Avenue, North Port, Florida 34288.
Recommended Action
Option 1: Approve the revised Tower Lease Agreement by and between the City of North Port, Florida and 1 Source Towers II, LLC for construction of a cellular tower located at 3195 Chickasaw Avenue, North Port, Florida 34288.
City Commission Options
Option 1: Approve the revised Tower Lease Agreement by and between the City of North Port, Florida and 1 Source Towers II, LLC for construction of a cellular tower located at 3195 Chickasaw Avenue, North Port, Florida 34288.
• Pros: Approval allows the cellular tower project to move forward in compliance with the updated Unified Land Development Code (ULDC) requirements. It also provides dedicated space for City public safety communications equipment.
• Cons: Approval accepts revised financial terms that reduce the City's monthly tower rent obligation from the previously approved Agreement.
Option 2: Deny the revised Tower Lease Agreement by and between the City of North Port, Florida and 1 Source Towers II, LLC.
• Pros: Denial would allow the District to retain the terms of the previously approved Tower Lease Agreement.
• Cons: Denial prevents the revised Tower Lease Agreement from taking effect and could delay or prevent the construction of the cellular tower and the City's ability to utilize dedicated space on the proposed tower for public safety communications equipment.
Background Information
The City Commission previously approved construction of a cellular tower and the associated Tower Lease Agreement between the North Port Road and Drainage District, and 1 Source Towers II, LLC on February 27, 2024.
Following Commission approval, amendments to the Unified Land Development Code (ULDC) affected the proposed project and required revisions to the previously approved Tower Lease Agreement before construction could proceed. Compliance with the updated ULDC requirements increased the anticipated cost of the project to 1 Source Towers II, LLC. As a result, the parties negotiated revisions to certain financial provisions of the Agreement to accommodate the additional project costs while allowing the project to move forward.
The revised Tower Lease Agreement maintains the overall project structure, including construction of the cellular tower; dedicated tower space for City communications equipment; lease terms; renewal provisions; and annual rent escalations. The primary revision reduces the City's monthly rent for tower space from $100.00 to $50.00.
The revised Tower Lease Agreement dedicates tower space to the City for communications equipment. The Agreement has an initial term of five (5) years and automatically renews for successive terms unless terminated by either party through written notice provided a minimum of six (6) months prior to the expiration of the then-current term.
Beginning on the commencement date, the City will pay monthly rent of $50.00 ($600 annually) and is responsible for its electrical service usage. The annual rental rate increases by two percent (2%) on each anniversary of the commencement date.
The revised Tower Lease Agreement by and between the City of North Port, Florida and 1 Source Towers II, LLC has been reviewed by the City Attorney’s Office and is legally correct as to form.
The revised Tower Lease Agreement by and between the City of North Port, Florida and 1 Source Towers II, LLC was submitted to the City Clerk’s Office on August 31, 2026, for signature, subject to City Commission approval.
Strategic Plan
Infrastructure & Facilities Integrity
Financial Impact
Funding in the amount of $600.00 is available in the Fiscal Year 2026 budget, as reflected in account number 001-0710-516.44-00 for the Tower Lease Agreement utilized by Fire, Police, and Emergency Management. This will be a term of five years with a 2.0% yearly increase.
Procurement
Not applicable.
Attachments:
1. Revised Tower Lease Agreement
2. Map
Prepared by: Rita Puglise, Real Estate Coordinator
Department Director: Chuck Speake, Director of Public Works