Benton Falls Hydroelectric Project
Federal Energy Regulatory Commision
Project #5073


Subject project, located in Benton, Maine, five miles northwest of Waterville, Maine, was built in 1987 at a cost of $10,000,000. The dam is situated on the Sebasticook River on land and rights owned by Everett and Roberta Whitman. It was built by Hydra-Co Enterprises, Inc., a joint venture between Niagara-Mohawk Power and Metropolitan Life Insurance Co.

Hydra-Co leased the land and rights for this project for a period ending in approximately 41 years. The lease is triple net with a schedule of payments (attached), based on a percentage of revenues.

On January 12, 1985 CMS Generation Company of Dearborn, Michigan completed its acquisition of Niagra Mohawk Power Corporation's independent power subsidiary Hydra-Co Enterprises. CMS purchased 100% of Hydra-Co stock at a purchase price of $206.6 million dollars. CMS Generation will manage and operate (8) plants, including Benton Falls Hydro. CMS Generation Co., is a wholly owned subsidiary of CMS Enterprises, Inc. The Company started in 1987 as a provider of natural gas. Its holdings include power generation facilities throughout the United States, the Caribbean and The Pacific Rim. The estimated net worth of the company as of December 31, 1993 was $890,000,000. It has added substantially to its asset base over the past two years as is evidenced by its acquisition of Hydra-Co Enterprises. It is considered an industry leader.

The power output is purchased for the New England Power Grid by Central Maine Power under long term contract. Production revenues for the lease term total $129,373,451, providing lease payments of $6,743,082 for that period. However, actual payments have been averaging approximately five percent higher.

In accordance with the terms of the agreement, ownership of the dam reverts to the owners of the land at the end of he lease period.

Available for inspection are technical data regarding the operation of the dam, as well as copies of the federal licensees and lease agreements.

Price: $1,300,000


Contact Information

John M. "Jack" Peckham III CCIM, CIPS, RECS
Peckham Boston Advisors
(Founded 1963 - Our 47th Year)
Four Longfellow Place, Suite 2003
Boston, MA 02114
Phone 617 523 4441 Ext. 6

Email: info@REOtoCash.com
Web: www.REOtoCash.com

All information is from sources we deem reliable and is submitted subject to errors, omissions, prior sale, lease, withdrawal without notice, or change in price and conditions. While we do not doubt it's accuracy, no representation thereof is made.

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