Title
Lease of City-Owned Property at University City Boulevard Parking Deck
Action
Action:
A. Adopt a resolution to approve a lease agreement with Classy Scoops Ice Cream Lounge LLC dba Classy Scoops Ice Cream Lounge for a term of 63 months for retail space in the University City Boulevard Parking Deck,
B. Authorize the City Manager to renew the lease for up to one, 60-month term, and
C. Authorize the City Manager to negotiate and execute all documents necessary to complete the transaction.
Body
Staff Resource(s):
Brent Cagle, CATS
Kelly Goforth, CATS
Lori Lencheski, CATS
Explanation
* The University City Boulevard (UCB) Parking Deck on the LYNX Blue Line Extension (BLE) in Council District 4 incorporates approximately 11,495 square feet of leasable space for office and retail, per the Transit Oriented Development ordinance.
* The leasable spaces provide opportunities for retail and business firms to offer goods and services to customers using the BLE, along with walk-up customers from surrounding areas.
* Classy Scoops Ice Cream Lounge LLC will use the space to operate an ice cream shop and related services and products.
* The lease terms are:
* Approximately 1,696 square feet of retail space in the UCB Parking Deck (Suite 214);
* A 63-month term, with one option to extend the lease term for an additional 60 months;
* Lease amount of $3,038.67 per month ($36,464.04 annually) for year one, escalating at a rate of three percent annually for each year thereafter, which is consistent with market rates; and
* The tenant pays a share of common area maintenance costs.
* Tenants are responsible for improvement costs related to up-fit of the parking deck office and retail space.
* The city agrees to reimburse tenant for tenant improvement costs only if CATS terminates the lease during the initial term for transit related activity. The total amount of reimbursable expenses shall not exceed $40 per square foot or $67,840.
Fiscal Note
Funding: Revenue from...
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