I have the honor to invite attention to your letter of the 8th of March last, with which you forwarded a report by the Adjutant General of North Carolina concerning the establishment of the Naval Aviation Station at Camp Glenn, Morehead City.

Upon careful consideration of the subject, the Department has reached the conclusion that it will retain this station, provided the property can be leased for a reasonable price.

Accordingly I would request that the Department be advised as to the terms upon which the state will lease the property in question to the Government, said lease to contain an option giving the Government the right to renew the same annually for a period of five years.

It is also desired to incorporate in said instrument a further option under which the Government would have the right to purchase the land at any time during the period mentioned and for that purpose I would be pleased to have you name the lowest price for which the state would sell this land, together with all improvements thereon.

If a satisfactory offer is received in accordance with the foregoing the Department will be in a position to execute a lease without further delay.