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Oyster Bay to pay $953G to settle storage space rental dispute

Oyster Bay Town Hall in Oyster Bay on

Oyster Bay Town Hall in Oyster Bay on March 27, 2016. Credit: Anthony Lanzilote

The Oyster Bay Town Board has settled two lawsuits over a lease for storage space for $953,517.

In an agreement approved at the Jan. 8 town board meeting, the town will pay Turnwood Associates LLC in a dispute over an 11,758-square-foot storage space in Woodbury.

The town started renting the space in 2009; the current lease runs through April 2020. In 2017, the town stopped paying rent on the space, and Town Supervisor Joseph Saladino announced that the elimination of the rental would save the town $400,000. Since then, Turnwood has sued the town three times for breach of contract, back rent and other costs.

Judges ruled in Turnwood’s favor on the first two suits, ordering the town to pay $213,609 in the first case — including interest and legal fees — and $268,435 in the second for rent with additional costs to be decided. The third lawsuit sought $242,016 for unpaid rent from January 2018 through May 2018.

The company planned to file additional lawsuits as rent came due through the end of the lease, Newsday previously reported. The settlement covered the second and third lawsuits, town documents show.

Oyster Bay plans to resume using the leased space, according to town documents, which a town spokesman said has an $18,618 monthly rent that will go up to $19,176 in May.

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