After the GUARDIAN broke the story of the Idaho Land Board advertising for a construction manager to build a brew pub in downtown Boise, it was revealed they were spending the endowment fund money to attract a new tenant to the building with an 86% vacancy rate.
One of our readers provided the results of a public records request that shows a less than stellar occupancy rate for some state-owned downtown Boise properties.
Here is what the lands department provided our reader:
While the commercial real estate business may have been lucrative at one time, we submit high vacancy rates combined with investments meant to attract renters may not be a “best business practice.”
All of the properties are exempt from local taxes to the city, county, schools, and ACHD. The schools get a return in theory if the “profit” were to exceed the current private property tax levy. The proceeds are also exempt from state and federal income tax.
To insure more advertising-free Boise Guardian news, please consider financial support.