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PORTLAND-The city and the state’s top officials and a host of others will gather at the Port of Portland’s terminal 4 Halloween morning to kick off construction of Toyota Motor Sales new auto processing center and hail the significance of the $60-million lease and development deal. The agreement, approved earlier this month, keeps Toyota processing autos at the Port of Portland for at least another 15 years.

Oregon Gov. John Kitzhaber, Portland Mayor Vera Katz, Port of Portland Executive Director Bill Wyatt, Toyota Administrative Services Group Vice President Bob Pitts, and St. Johns Neighborhood Association Chair Robin Plance will lead off the event shortly before 11 a.m. and speak about the 200 family wage jobs that were retained and the host of efficiency- and environmental-related site enhancements that are part of the project. The speeches will be followed by a tour of the site and a demonstration of Toyota’s auto processing operation.

Toyota, which has processed autos at the port since the 1970s, currently leases around 104 acres; 65 acres down by the river for parking cars and another 40 acres about a mile up a hill behind Terminal 4 that holds aging metal buildings used for processing the cars before shipment to both regional and national dealerships.

Under the new deal, Toyota will consolidate operations onto 82 acres by the river at Terminal 4 and spend $30 million developing six new buildings with greater energy efficiency than the current ones. Toyota will lease the site for at least 15 years at a base rate of $1.4 million that would be adjusted each year according to CPI-U. Toyota’s rent payments under the previous lease agreement totaled about $1 million annually.

The Port, for its part, would invest $9 million in facility upgrades, dock work and environmental improvements, including 1,700 linear feet of restored riverbank for improved wildlife habitat and directional yard lighting that will use one-third the energy of the current system, produce twice the output, and greatly reduce reflection into windows of nearby homes.

The agreement has changed somewhat since negotiations began last year. When GlobeSt.com first reported on the negotiations last October, the deal was for 95 acres, the Port was going to spend $35.5 million to develop the entire site for Toyota and Toyota’s rent payments were going to incorporate the costs of the site’s development. Assuming a 9% annual return on the port’s investment, Toyota’s rent payments would have been closer to $3 million annually.

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