The Westhampton Beach Village Board last week approved a lease agreement with CVE North America Inc. of Delaware, which plans to install a commercial solar power farm on village-owned property on Quiogue.
The solar array will be constructed on 10 acres of the 13.56-acre property at 172 South Country Road, the site of the village’s former Department of Public Works yard.
The land was dedicated to the village in 1953 by Henry Steel Roberts and Sylvester McGarry, and has sat mostly vacant for about 15 years after the DPW yard was moved to Old Riverhead Road in the village. The property was last appraised in 2008 for $3.3 million.
Trustee Bryan Tymann brought the proposal from CVE to the village in October 2021 to lease the property. In June 2022, the company offered an official proposal to lease the land for 25 years, with the option to renew the lease for two additional five-year terms after that.
Under the terms of the lease, the village will receive a minimum of $22,000 annually, and possibly more, depending on the size of the array that is built. The company will still need approvals from Southampton Town for the array, as it is outside the village. A change of use or special zoning exemption also would be required.
The lease payments would increase annually, based on the consumer price index, or a 2 percent annual increase, whichever is greater.
The village wouldn’t see the full rent payment until the facility is constructed. The lease allows for payments of $4,000 annually while the company plans the facility, and $6,000 per year while it is being constructed. It’s assumed that the company would take several years to plan and construct the facility.
The village would also receive a $50,000 bonus once the project is complete and goes operational. The company would be responsible for paying any property taxes on the parcel.
Board members were happy with the final terms of the lease, they said during a board meeting on February 2.
“Brian, thank you for bringing this to us,” Mayor Maria Moore said to Tymann. “You’re the one that initially advocated for this. It’s going to be a pretty fun project if they can get the approval from the town.”
Tymann said he was confident it would be approved, saying the town “seems to be headed in the right direction.”
“I think it’s the perfect solution for the property,” he said. “It’s an income producer. We retain the property, and we return money on property that just sat there. And, obviously, it’s doing a lot of good for environmental protection. It will reduce rates for residents who subscribe to it. It’s just a win-win-win all around.”