Sainte Gabriel Communications is buying a Storm Lake IA FM CP from South Central Oklahoma Christian Broadcasting. There is no question as to what price will be paid, but there is question as to when it will be paid.
The CP, for a Class A on 88.1 MHz with 1.4 kW @ 466’, is going for $19K. The contract calls for a $5K escrow deposit and a full payment in cash at closing. The station already has call letter KIOA.
However, the agreement also provides for the establishment of an LMA, allowing the buyer access to the station in advance of closing.
The rent is not to exceed $3K per month, and in fact, it isn’t really a normal rent payment, since it will be credited against the purchase price.
The LMA compensation is further capped at $19K.
So the upshot is that the price of the station may be paid in cash at closing, or it may have been paid in full well ahead of that date.
Storm Lake is in unrated territory in the northwestern portion of Iowa.
