DIVIDENDS THROUGH COMMERCIAL USE OF AIR SPACE

AIR SPACE UTILIZATION AND JOINT DEVELOPMENTS BY HIGHWAY BUILDERS AND OTHER PUBLIC OR PRIVATE AGENCIES ARE DESCRIBED. THE CALIFORNIA DIVISION OF HIGHWAYS RECEIVES AN INCOME FROM AIR SPACE UTILIZATION OR FREEWAY LEASE AREAS OF $874,000 PER YEAR. ALL OF THE LEASE AREAS ARE USED FOR VEHICULAR STORAGE OF SOME KIND. THERE ARE AREAS LEASED FOR PRIVATE PARKING, TO CITIES FOR PUBLIC PARKING, TO CITIES FOR POLICE EMERGENCY VEHICLE PARKING, TO TRANSIT DISTRICTS FOR BUS STORAGE, AND TO PRIVATE PARTIES FOR USE AS USED CAR OR HEAVY EQUIPMENT SALES LOTS. CIRCUNSTANCES ARE FAVORABLE IN CALIFORNIA FOR THESE USES BECAUSE: (1) CALIFORNIA HAS THE POWER TO BUY LANDS IN EXCESS TO THE ACTUAL NEEDS, (2) IMPROVEMENTS, SUCH AS PAVING, LIGHTING, FENCING, AND LANDSCAPING CAN BE MADE TO LEASE AREAS IF THE INCOME JUSTIFIES THE COST, AND (3) THE INCOME FROM HIGHWAY LEASE AREAS IS RETURNED TO THE STATE HIGHWAY FUND FOR RENVESTMENT IN STATE HIGHWAYS. COMMERCIAL LEASING OPPORTUNITIES FALL INTO THE FOLLOWING GENERAL CATEGORIES: (1) A USE WHICH DEVELOPS NATURALLY FROM THE CHARACTER OF THE RIGHT OF WAY TAKE OR ADJACENT LAND USES, (2) WORK ON THE PART OF THE STAFF IN FINDING CUSTOMERS FOR LEASE AREAS EITHER THROUGH ADVERTISING OF PERSONAL SOLICITATION, AND (3) SUPRISE PROPOSALS MADE BY RESTAURANT CHAINS, ETC. THE GREATEST OPPORTUNITIES AND PROBLEMS LIE WITHIN THE 2ND CATAGORY IN WHICH ADVANTAGES OF DEVELOPMENT ABOVE AND/OR BELOW THE FREEWAYS MUST BE SOLD. MODELS AND DISPLAYS WERE PREPARED FOR DISPLAY AT A WIDE VARIETY OF PUBLIC MEETINGS. COMMON TO ALL CATEGORIES OF DEVELOPMENT IS THE TAX PROBLEM. LOCAL GOVERNMENT IN CALIFORNIA HAS INDICATED ITS READINESS TO IMPOSE STANDARD TANES ON THE BUILDINGS PROPOSED AND A POSSESSORY INTEREST TAX ON THE FULL VALUE OF THE LAND OWNED BY THE STATE.

  • Authors:
    • Kagan, H L
  • Publication Date: 1968-12

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Filing Info

  • Accession Number: 00201872
  • Record Type: Publication
  • Report/Paper Numbers: pp 74-79
  • Files: TRIS
  • Created Date: Aug 26 1970 12:00AM