COUNTY OF SAN MATEO

Inter-Departmental Correspondence

County Manager’s Office

 

DATE:

January 14, 2008

BOARD MEETING DATE:

January 29, 2008

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

Steve Alms, Manager, Real Property Division

SUBJECT:

Second Amendment to Lease Agreement with the City of East Palo Alto for the use of Space at the County's Community Services Building, 2415 University Avenue, East Palo Alto (Lease No. 5108).

 

RECOMMENDATION:

Adopt a resolution:

    1. Authorizing execution of a Second Amendment to Lease Agreement with the City of East Palo Alto of 8,343 square feet of office space together with 6,200 square feet of fenced parking at 2415 University Avenue, East Palo Alto, California, which extends the expiration date to June 30, 2012 at an initial annual rate of $148,190, and

    2. Authorizing the County Manager or his designee to execute notices, options and documents associated with the Second Amendment and the Lease including, but not limited to, termination of the agreement under the terms set forth therein.

 

VISION ALIGNMENT:

Commitment: Responsive, effective and collaborative government

Goal 22: County and local governments effectively communicate, collaborate and develop strategic approaches to issues affecting the entire County. This Amendment contributes to this commitment and goal by extending an agreement that benefits both the County and the City of East Palo Alto.

 

BACKGROUND:

The City of East Palo Alto has leased space from the County in the County Services Building located at 2415 University Avenue in East Palo Alto since 1995. The Lease provides for rental adjustments each fiscal year based upon the estimated operating costs for the building, with reconciliation at the end of each year.

The rental rate for Fiscal Year 2007-2008 is $148,190 and is paid quarterly in advance by the City.

The Term of the Lease expired on June 30, 2007 and the lease remains in effect under the holdover provision.

 

DISCUSSION:

Real Property Services has negotiated the Second Lease Amendment which extends the termination date to June 30, 2012 at an initial annual rate of $148,190, and is otherwise on the same terms and conditions contained in the Lease. On November 6, 2007, the City Council of East Palo Alto authorized the Lease Amendment.

 

County Counsel has reviewed and approved the Amendment as to form. The Director of Public Works concurs with this recommendation.

 

FISCAL IMPACT:

The initial year’s revenue of $148,190 will be deposited into the Land and Building Maintenance Fund in the Department of Public Works.