Title
Lease of City-Owned Property at University City Blvd Parking Deck
Action
Action:
A. Adopt a resolution to approve a lease agreement with Prime Time Aesthetics LLC, d.b.a Ship Wreck Athletics and Performance Center, with an 87-month term for retail space in the University City Blvd Parking Deck,
B. Adopt a resolution to approve a lease agreement with The FitFat Coach, LLC, d.b.a TFC Barbell Club, with an 87-month term for retail space in the University City Blvd Parking Deck,
C. Authorize the City Manager to renew each lease for up to one, 60-month term, and
D. Authorize the City Manager to negotiate and execute all documents necessary to complete the transactions.
Body
Staff Resource(s):
Brent Cagle, CATS
Kelly Goforth, CATS
Lori Lencheski, CATS
Explanation
* The University City Blvd. (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.
Action A:
* Ship Wreck Athletics and Performance Center proposes using the space as a gym.
* The lease include:
* Premises: Approximately 2,687 square feet of retail space in the UCB Parking Deck (Suite 208);
* Base Rent: $4,590.29 per month ($55,083.48 per year) for year one, escalating at a rate of 3 percent annually for each year thereafter. This rate is consistent with market rates; and
* The tenant would pay a share of common area maintenance costs.
* Tenants are responsible for improvement costs related to upfit of the parking deck office and retail space.
* The city agrees to reimburse tenant for tenant improvement costs only if the city terminates the lease during the initial term for transit-related activity. The total amount of reimbursable expenses shall not excee...
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