Bank holds mortgage on ex-Damon’s

PITTSTON TWP. – The search for a tenant to replace the former Damon’s restaurant is in the hands of the bank holding the mortgage on the building, which is on the property of the Wilkes-Barre/Scranton International Airport.

First National Bank has been in discussion with people interested in locating to the Concorde Drive site, said Airport Director Barry Centini.

The bank has been paying the $3,419 monthly rent owed by Dupont Airport Realty Inc., which has defaulted on the lease agreement with the airport, Centini said Thursday at the monthly meeting of the airport bi-county board of commissioners.

In exchange for the bank’s effort to secure a tenant and pay the rent, the airport agreed to hold off initiating legal proceedings until Dec. 31 or the date a tenant is found.

But Centini said he thinks the bank will fill the spot before the end of the year.

“It behooves them to get a tenant in as quickly as possible, because they are the people that are paying the rent.”

The bank, which took over with the merger of State College-based Omega Bank, has foreclosed on the mortgage and is scheduling the property for a sheriff’s sale, according to the forbearance agreement approved by the airport board.

After Damon’s closed in March 2007, the realty company announced a new franchise called National Grille would open in its place. When that fell through, it said it would open a Greene Turtle franchise. On top of the failure to bring in a new restaurant, the tenant owed $102,350 in back rent and $113,165 real estate and property taxes.

Last December, the bank paid the back rent. The taxes also were paid at the Luzerne County Tax Claim Bureau, but it could not be confirmed who had paid them.

Centini said if the airport does not extend its forbearance and the bank cannot find a tenant by the end of the year, the airport will take over the building and take legal action against the bank.

In a related matter, the board agreed to release the Pittston Area Industrial Development organization from the lease agreement with the realty company. The development organization had no intention of operating the restaurant and signed on to assist with financing arrangements with the bank.

In other business, the board approved a $146,317 contract with Wince Construction Inc. of Scranton to expand a storm water basin and close a smaller basin. The board also approved a contract not to exceed $30,653 with Acker Associates Inc., of Moscow to monitor the basin projects.

The board approved low bidder United Rotary Brush Corp. of Marysville, Ohio, to supply runway sweeper brushes at a cost of $5,251 until March 2009 and $5,460 from April 2009 to March 2010.

Airport passenger numbers

The number of people boarding planes at the Wilkes-Barre/Scranton International Airport in March dropped 2.8 percent from a year ago. There were 18,069 boardings compared to 18,598 in March 2007.

The airport reported an increase of 148 boardings or 0.28 percent for the first three months of the year compared to the same period in 2007. Year-to-date boardings were 52,332 compared to 52,184 in 2007.

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Airport passenger numbers

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