County Approves Bid To Sublease Route 50 Liquor Store

SNOW HILL – County officials this week approved plans to sublease Worcester County’s Route 50 liquor store to the connections of the nearby Friendship Food Mart.

On Tuesday, the Worcester County Commissioners approved a bid from Ankur and Kailas Patel to sublease the county liquor store at 10818 Ocean Gateway. Ankur Patel and his wife Asmitaben have operated the beer and wine store at Friendship Food Mart since 2007.

Though the commissioners initially approved a sublease bid from Ankur and Kailas Patel at their May 6 meeting, it was contingent upon the landlord honoring the full term of the county’s existing 10-year lease.

“The landlord has decided to reassign the lease only for the first five years of the term (through Feb. 11, 2018), which does not meet the conditions of the contingent bid,” Assistant Chief Administrative Officer Kelly Shanahan wrote in a report to the commissioners. “However, it does relieve the county of further obligations under the lease after settlement.”

Because of that, he advised the commissioners to fall back to the second best bid submitted, which was also from Ankur and Kailas Patel. It provides for purchase of the furniture, fixtures and improvements of the store for $50,000 and the purchase of the inventory at the cost paid by the county plus a 25 percent markup. That brings the total price to $364,321.25. It also relieves the county of its remaining lease obligation of $130,500.

Shanahan added that with the reassignment of the lease the county would be absolved of responsibility.

Commissioner Ted Elder expressed concern over the fact that Tuesday’s discussion was taking place long after the bids were opened. Shanahan pointed out that the bid being discussed was still the second best that had been submitted, behind only the original bid from Ankur and Kailas Patel. It had included a 40 percent inventory markup.

“This bid is still your highest bid,” he said. “This is a better position for the county. We’ll have no further liability.”

Attorney Ed Baker, filling in for County Attorney Maureen Howarth, indicated nothing was amiss because all bidders had bid on the same set of circumstances.

The sublease agreement is contingent upon the Worcester County Board of License Commissioners approving issuance of a beer wine and liquor license to Ankur and Kailas Patel.

About The Author: Charlene Sharpe

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Charlene Sharpe has been with The Dispatch since 2014. A graduate of Stephen Decatur High School and the University of Richmond, she spent seven years with the Delmarva Media Group before joining the team at The Dispatch.