By Carlie Kollath/NEMS Daily Journal
TUPELO – Real estate developer Tommy Morgan on Wednesday proposed a deal to the Tupelo Redevelopment Agency in which his company would be the exclusive marketer and developer for the Fairpark District.
TRA currently is marketing the property, as well as handling the land sales.
In the proposed deal, which the TRA board has not voted on, Morgan recommended a 7 percent commission on sales made by his Coldwell Banker Tommy Morgan agents. The commission would be 15 percent if Morgan has money involved in the development.
If it is a joint sale or project with another real estate company, a 6 percent commission would go to the Coldwell Banker agent and a 7 percent commission would go to the partner company.
The proposal comes after TRA, which is a city-created group charged with developing Fairpark, let an exclusivity contract lapse in November 2009 with Henry Turley Co., a Memphis-based developer hired in 1999 to come up with a concept for the urban renewal project.
As part of the contract, Turley received about a 22 percent commission on all land sales in Fairpark. According to city liaison Debbie Brangenberg, part of that commission included an undisclosed cut for Coldwell Banker Tommy Morgan Realtors.
When TRA formally ended the Turley contract earlier this year, the board in a letter said it could not renew the agreement because of the “economic realities facing everyone.”
At Wednesday afternoon’s meeting, Morgan said he would add value to TRA because he knows the Tupelo market and he would be available to meet with the agency at any time for no cost.
The TRA board members did not vote on the proposal at the meeting.
Chairman John Oxford said after the meeting that the proposal is “just a starting point.”
“Discussion will follow as it’s appropriate,” he said. “We have open doors. If anyone else wants to talk to us, they’re welcome.”
Contact Carlie Kollath at (662) 678-1598 or firstname.lastname@example.org.