There is a price tag attached to WNCM-FM Harvard IL – completely par for the course in a radio transaction. What makes this deal unusual are the add-ons that tack another 21% worth of financial obligation on the buyer.
The station is a noncom in unrated territory to the east of Rockford IL and just south of the Illinois border with Wisconsin. It’s a Class A on 88.9 MHz with 160 W @ 109’.
The seller is Marian Central Catholic High School. Treasurer Thomas Landers signed off on the deal for MCCHS.
The buyer, Calvary Radio Network Inc., is headed by James Motshagen.
The stated price for the station is $33,363, due in cash at closing.
But added to that is a slate of other payments, none of which are included in the purchase price. They include:
* A $5,000 payment within three days of signing the sales contract that will be used by MCCHS to defray ins legal expenses.
* A $3,336 payment that is considered to be a broker’s fee allowance, which will be going to Sovereign City Radio Services.
* Finally, there will be payments, termed donations in the contract, of $200 to MCCHS on the first of the month beginning 10/1/12 and going to the end of the year — $600 total.
That brings the final expenditure coming from Calvary to $42,299.
