Port signs Northland Services to Long-Term Lease

The Port of Seattle Commission today approved a long-term lease with Northland Services, a barge operator carrying a wide range of cargoes from Seattle to Alaska, Hawaii and Russia.

"This agreement will help Northland and the Port fulfill their critical roles in maritime transportation," said Port of Seattle Commission Chair Patricia Davis. "Our community is vitally interested in activities that link our economy to Alaska, and Northland plays a key role in moving goods between Alaska and the Lower 48 States. The services to Hawaii and Russia complement the connections the Port and its customers have to those markets."

The Port's ability to expand Northland's facility at Terminal 115, along the Duwamish River, was a key factor for Northland, which through its affiliate Jore has leased a portion of the terminal for 16 years.

"Our business is growing and we expect that to continue," said Larry Stauffer, Senior Vice President of Northland. "The acreage we'll gain at Terminal 115 will provide us with efficiencies that will help us remain competitive. The longer lease gives us the stability we need to plan for the future."

Under the terms of the lease, Northland will move from a month-to-month arrangement to a 15-year lease and increase the size of its facility from its current 24 acres to 42 acres in 2004. As part of the agreement the Port will invest $588,000 to upgrade utilities, relocate one building and repair the surface of three piers.

The agreement with Northland was put together by the Seaport Division's New Business Development Team, which was assembled as part of the Division's restructuring late last year.

"The New Business Development Team is charged with helping existing customers grow, as well as developing new cargoes and new customers for seaport facilities," said Port of Seattle CEO M. R. Dinsmore. "We are taking an aggressive approach to developing new cargo business and utilizing our marine terminals. I think we'll be announcing more good news in the first half of 2003."