Watertown City Council to Hold Vote on 25-Year Dynoair Hangar Lease at Watertown Regional Airport
- Steve Jurrens
- 2 days ago
- 2 min read
Northeast Radio SD News – Watertown, SD - The Watertown City Council will hold a formal public hearing Monday night before considering approval of a 25-year ground lease agreement with Dynoair, LLC for private hangar space at the Watertown Regional Airport.
The item, listed on the regular agenda for the Monday, Aug. 17 meeting, follows the council’s approval of Resolution No. 26-31 on Aug. 3, which established the required public hearing notice published on Aug. 8.
Lease Terms and Financial Breakdown
Under the proposed agreement, the city will lease 5,625 square feet of municipal airport property to Dynoair, LLC to accommodate a privately owned 75-foot by 75-foot aircraft hangar.
Key financial and structural terms of the lease include:
· Initial Rent: Set at $0.20 per square foot annually, bringing the initial annual ground rent to $1,125.00.
· Annual Rate Escalation: Rent will automatically increase by 2% on Jan. 1 of each year throughout the initial 25-year term.
· Renewal Option: Includes an option to extend the lease for one additional 10-year term, subject to renegotiated lease rates.
· Utilities & Fees: The lessee is responsible for all utility costs and will pay a city fuel flow fee—currently set at $0.07 per gallon—for any aircraft self-fueling conducted on-site.
Infrastructure & Operational Requirements
The agreement, authorized on behalf of Dynoair, LLC by Andrew Wicks, outlines specific operational guidelines and infrastructure obligations for the property:
· Apron Construction: Within six months of hangar completion or reconstruction, Dynoair LLC must construct an asphalt apron connecting the hangar to the adjacent taxi lane. The lessee must maintain the apron and handle all snow removal on the approach. No ground rent will be charged for the apron footprint.
· Primary Use: Permitted activities include the storage, maintenance, and repair of company-owned or operated aircraft, as well as aviation-related educational activities. Outside storage is prohibited, and temporary aircraft parking in front of the hangar is limited to under 24 hours within any 48 hours.
· Liability & Security: Requires a minimum $1,000,000 single-limit liability insurance policy naming the City of Watertown as an additional insured. All personnel accessing the airfield must display an airport-issued Access Gate Card.
The public hearing and vote will take place during the Watertown City Council meeting on Monday, Aug. 17, 2026, at 5:30 p.m. at City Hall.
