The Iron Triangle Building in John Day in late November 2023 is up for bid by potential lessees.

JOHN DAY — If all goes according to plan, the Iron Triangle building at 433 W. Patterson Bridge Road in John Day will have new tenants early next year.

The John Day City Council announced at its Tuesday, Nov. 28, meeting that three interested parties have contacted the city seeking to lease what is known in the community as the Iron Triangle Building. In response, the city will open up the option to lease the building to interested parties who will need to bid competitively for the right to lease the structure.

The city will be accepting only sealed bids, and the building will be leased as is.

“I think everything is functional in it at this point in time,” Council President Dave Holland said. “There might be a couple small leaks in the roof in one section of it, but nothing severe.”

Holland added that the bathroom in the building works as far as he knows, there is a heating system, it’s hooked up to city water and sewer and the building appears to be structurally sound.

The building will be advertised to potential bidders for two weeks prior to the close of the advertising period at 4 p.m. Jan. 2, 2024.

The previous tenants of the Iron Triangle Building had a month-to-month lease for $1,250 a month. After the question of continuing a month-to-month lease with the new potential tenants was raised by Councilor Chris Labhart, it was decided that the city will not pursue a month-to-month arrangement in favor of a more long-term agreement.

The minimum lease amount for the building will be $1,250 a month with a minimum lease term of one year. Leasing the building would bring in at least $15,000 in revenue to the city per year. Holland said at the meeting that he spoke to the city recorder, Rob Gaslin, about leasing the building and was told it is in the city’s best interests to lease it to an interested party.

Parties interested in leasing the building can submit their bids at John Day City Hall, 450 E. Main St.