Golf course restaurant operator will not be responsible for building maintenance
By Michael S. Hoey
Correspondent
The Delavan Common Council on July 9 approved a 10-year lease extension with George Greenwood to continue operating Greenie’s Restaurant at Delbrook Golf Course.
Negotiations grew contentious as the city’s Finance Committee, based on the recommendation of city attorney Steve Koch, wanted to add a section to the lease that would have held Greenwood and anyone he might turn the business over to in the future responsible for the maintenance of the building. City Administrator Denise Pieroni said the provision is commonly in commercial leases but has never been in the lease between the city and Greenwood.
“It is an old building,” Greenwood said. “By no means did I want to be responsible for it.”
Greenwood said it was unfair after 13 years for the city to try to change the rules and re-write the lease and confirmed he was ready to not renew the lease and vacant the building in October.
Pieroni made the council aware of Greenwood’s discontent in a memo in which she recommended the council approve a lease renewal without the provision Greenwood objected to. Pieroni said the provision originally would have applied to Greenwood but was later modified to only apply to someone Greenwood might sell his business to if he decides to retire before the 10 years is up. She said the city could deal with a potential new owner of Greenie’s if and when that happened.
Pieroni said the provision was only meant to protect the city but was not worth the ill will and anxiety it was causing. She said the city did not want to lose Greenie’s.
Two residents spoke out against the original terms of the lease renewal as well. Joe Bell and John Finley both commended Greenwood for running a fine business and said the city is being very anti-business with the terms of this renewal, including an 8 percent increase in lease payments to the city. They also said the negotiation process had taken too long.
Pieroni said the final agreement did not include as big of an increase. The agreement shows no increase in lease payments for 2014 – payments remain at $3,375. The amount increases $75 every other year after that and not at all in between those years until 2019 when the increase is $50 every other year through the end of the lease.
Pieroni said the negotiation process was long but progress was made at each step along the way. She said Greenwood had until October to let the city know if he wanted to renew his lease and he did so last October, almost a year before he had to. The negotiations went back and forth since then.
Alderman Mary O’Connor said she was appalled that someone who had been running a business in the city for as long as Greenwood has had to go through such a long process. She said the situation has caused disharmony and the city should instead try to recognize successful businesses and make them feel welcome, not put obstacles in their way and potentially drive them away.
Mayor Mel Nieuwenhuis said it is unfortunate the process took so long and the city does not want to lose Greenie’s.
Alderman and Finance Committee Chairman Bruce DeWitt said Greenwood does a superb job and said he believes everyone on the council wants Greenie’s to stay. He made the motion to approve the new lease without the provision requiring Greenwood to be responsible for the maintenance of the building.
Alderman Ryan Schroeder said one benefit to Greenwood in the new lease is that it is for 10 years instead of the usual five as Greenwood requested. Pieroni said the longer lease was originally a concern for the Finance Committee because of the uncertain nature of the economy.
DeWitt’s motion passed unanimously.
“I am happy the whole situation got resolved,” Greenwood said. “I’m content. I don’t want the city mad at me. I have to work with them.”
Greenwood said he is happy the situation is resolved and now everyone can go about their business.
