(UNTITLED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-04901A000100020083-5
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 12, 2016
• Document Release Date: June 26, 2001
• Sequence Number: 83
• Publication Date: November 23, 1948
• Content Type: MIN

Approved For Release 2001/08/Oe9sJg1F07>v49b1Z000100020083-5
Houston: Garage facilities are involved here. 25X1A6a
We are renting a building in ~, consisting
of 7,000 sq. ft., space adequate for 3rf cars for over-
night storage. On hand, we have a total of 84 passenger
cars and trucks and 4 trailers, the bulk of which are
not getting inside storage. We have known of the problem
for a long time, but have tried to stay because
of proximity to warehouse and CIA. As Larry knows, we
had been negotiating a year or so ago in connection with
condemnation of Part of the deal with
the owner was that he would turn part of the winery over
to us. A fellow is there with a lease, and various compli-
cations came up. As a result, the fellow is staying there
for at least one and one-half years. Our object is to gain
exclusive control of property for security and other reasons.
The fellow is pretty difficult. had a build-
ing constructed in 1943 for our use and lease at a cost of
$4800 per year. He had another piece of land one-half a
beck from the garage and has gone ahead with construction
of a building. He has had some fifteen to twenty offers
from people to rent. He, tried to get in touch with me
several times. We finally got together and took a look
at the building for the first time. has been
offered a lease in amounts in excess of what he is asking
us to pay, but feels that the Government is reliable. The
building has two stories and will be completed around the
Approved For Release 2001/08/09 : CIA-RDP78-04901A000100020083-5
 Approved For Release 2001/08/09 : CIA-RDP78-04901A000100020083-5
15th of December, but I feel it will be closer to January.
The new building would be leased at a cost of $1250 per
month or 15,000 per year.
What are we paying now?
400 a month or 4$4600 a year. Of course, there is
a difference of about almost three times as much storage
space. In connection with parking cars, another factor I
failed to mention is that we are always buying cars for
so from 5 to 15 cars are parked on the lot
and sit around for 3, 4, or 5 months and deteriorate.
Do we have money?
Saunders: Yes.
What about alterations?
Some money will be required for alterations --
part in the-office,, and we will have to put in our own wash
rack, grease rack, and paint shop. We can tear down
what we have in the present building and,transfer.
is anyeducated fellow, and one can't talk
to him in same manner as other people. We may have to
pay the cost of utilities. My original offer was for
?1000 per month.
the
Houston: Is the rental within/statutory limitation?
We will have to have the property assessed. 10%
would give X14,000.
_: What do we have in the budget to apply?
Saunders : I will have to look -- just how much I don't
know.
About $ 93000 I think.
Approved For Release 2001/08/09 : CIA-RPP78-04901A000100020083-5
 Approved For Release 2001/08/09 : CIA-RDP78-04901A000100020083-5
.~ v
Will that cancel out our other lease as of the first?
That's right.
Saunders: Net increase of 010,000 from what we are paying now.
Houston: Are you sure inprovementscan be worked out within statutory
25X1A9alimitations.
Yes. We can then take our gas pump from and put
25X1A9a along side.
In addition to leasing, can you keep within your budget
for alteration costs so that you won't need to run additional sums
through the P.R.C.?
Yes.
How long is the lease for?
Year to year for a period of ten years. If in the meantime
the value goes down, we can renegotiate.
If approved, some contingencies should be applied -- whether
we are within the legal limitation for rental -- and that the reimburse-
ments will be within statutory limitations,
Houston: Do you think you can get figures on cost or get an appraisal?
25X1A9a
t appraisals.
Larry, forward the project with contingencies,
authorized to go ahead with negotiations for the new lease?
: Yes, go ahead.
Approved For Release 2001/08/09 : CIA-RDP78-04901A000100020083-5