PC Leader wonders why government would lease a building at six times the value

    Wednesday, 31 January 2024 07:00

    By Tonya Organ

    Wakeham says government recently entered into a sole source, exclusive contract with Airport Comfort Inn/Clayton Hospitality for $7 million a year for three years ($21 million total) to provide up to 140 transitional housing beds.

    PC Party Leader Tony Wakeham is raising serious concerns about the transitional housing agreement signed between government and Clayton Hospitality to lease the Airport Comfort Inn for almost six times the property’s value. The City of St. John’s Property Tax Assessment shows that the property in question is valued at $3.7 million. Wakeham says government recently entered into a sole source, exclusive contract with Airport Comfort Inn/Clayton Hospitality for $7 million a year for three years ($21 million total) to provide up to 140 transitional housing beds. He says “The proponent, who has Liberal ties, apparently made an unsolicited proposal that quickly turned into a $21 million windfall.” Wakeham wonders why the Liberals would lease a building for nearly six times its value without a tender or RFP. 

     

    To report an error, submit a news tip, or provide feedback, please e-mail news@bayfm.ca or call (709) 637-0183.

    More from Local News

     

     

     

    BayFM recognizes support from the following agencies:

                        

    Today's Weather

    • Corner Brook

      Light rain

      High: 21°C | Low: 10°C

    • Deer Lake

      Medium-level cloud

      High: 21°C | Low: 8°C

    • Stephenville

      Light rain

      High: 19°C | Low: 12°C

    Recently Played

    Podcasts

    • BayFM On-Demand

      Borders and Bridges, June 11, 2026

      “Borders and Bridges” airs every second Thursday on Bay Fm.

    • Sunday Scoffs and Scuffs

      Roblo's Rock on "Sunday Scoffs and Scuffs"

      Roblo's Rock are going to drop their new album on Friday June 19

    • Sunday Night Geek

      Sunday Night Geek, June 14, 2026

      Sunday Night Geek, June 14, 2026