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March 27, 2007; LAS CRUCES, New Mexico (AP) -- New Mexico officials have set the ground work to lease part of its commercial spaceport to Virgin Galactic as a base for its space tourism company.
British entrepreneur Richard Branson and the state signed a 37-page memorandum of agreement Monday, setting the terms of a lease that calls for the company to pay the state $27.5 million over 20 years.
The agreement isn't legally binding, but state Economic Development Secretary Rick Homans said he expects a lease based on the agreement to be signed within three months.
Spaceport America launched a rocket from a temporary launch pad last fall, and authorities expect to complete the $198 million facility in late 2009 or early 2010.
The state already has appropriated $115 million for the project and expects about $25 million in federal funds over the next five years with the goal of creating a home for future public space flight.
Under the agreement, Virgin Galactic pledged to lease about...(click here to read more)
