SPA agrees to $3 million sale of Beaufort rail line

The State Ports Authority agreed Tuesday to sell about 25 miles of railroad in Beaufort County for $3 million to the Beaufort-Jasper Water and Sewer Authority.

The track, known as the Yemassee Rail Corridor, runs from Yemassee to Port Royal.

Proceeds will be used to fund other port projects, the SPA said.

The tracks were unused by the ports authority, and the water authority wanted to acquire the land for right of way, said Byron Miller, SPA public relations director.

The final mile-long stretch of rail line that terminates on the agency's Port of Port Royal property was not included in the sale.

The deal comes as the SPA renews its efforts to sell its shuttered Port Royal terminal.

Miller said after the agency's monthly board meeting that representatives from two prospective buyers have visited the site in recent weeks, and the SPA's real estate agents have received about a dozen other inquiries about the property.

"There continues to be interest," Miller said.

In March, the SPA was forced back to square one in its efforts to sell the 50-acre property when a developer pulled out of a $26 million deal to acquire the site. The buyer, Port Royal Harbour LLC, blamed the move on the real estate downturn and turmoil in the financial and credit markets.

The 50-year-old terminal near Beaufort was put up for sale in late 2005. A development agreement calls for a marina, residences, commercial space and a hotel on the site.

In other business, United Contractors Inc. of Great Falls was awarded a contract valued at almost $200,000 to replace the decking panels of the Immigration Street bridge on the SPA's Columbus Street terminal.

The 90-foot-long by 40-foot-wide span across Vardell Creek was built in 1976. The work is scheduled to begin next month and last about two weeks. The work will be conducted at night to minimize traffic congestion, port officials said.

In financial matters, the ports authority reported revenue for the 10 months that ended April 30 of $134.3 million, up 5 percent from the same period last year. Operating expenses for the period were $88.5 million, a 3.3 percent increase. Earnings rose 3.5 percent to $43.6 million.

Container volume dropped 11.7 percent during the period to the equivalent of 1.39 million 20-foot-long shipping containers.

Reach Peter Hull at 937-5594 or phull@postandcourier.com.