REPORT TO THE CITY COUNCIL
November 3, 2016
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
BY: ROBERT N. ANDERSEN, PE, Assistant Director
Public Works Department
SUBJECT
Title
Approve the second amendment to a lease for the Construction Management Division office located at 1721 Van Ness Avenue (Council District 3)
Body
RECOMMENDATION
It is recommended that the City Council approve the amended lease agreement for the Construction Management Division (CMD) office located at 1721 Van Ness Avenue and authorize the Public Works Director or designee to execute the lease agreement on behalf of the City.
EXECUTIVE SUMMARY
On December 7, 2004, Council approved an amended lease agreement for the Construction Management Division for office space at 1721 Van Ness Avenue in downtown Fresno. The lease is scheduled to expire at the end of the year.
Staff has negotiated a new seven year lease with the property owner for the same location. Currently, the price is $1.10 per square foot. The new lease will begin in the first year at $1.13 per square foot and in the seventh year the cost will be $1.28 per square foot. Should a more favorable opportunity present itself in the future, there is an "opt out" clause that can terminate the lease without penalty. The City can exercise this option on August 1, 2017.
BACKGROUND
The Construction Management Division is currently in a lease for office space at 1721 Van Ness Avenue in Downtown Fresno. The Construction Management Division provides the City with Capital Inspection, Subdivision Inspection, regulation of street work permits and City Surveying services. There are currently 41 budgeted positions.
The needs of the Construction Management Offices require the space for 30 City vehicles, 37 private vehicles and as many as 30 additional vehicles during large meetings. The public counter can accommodate daily visitors of approximately 25 per day. The meeting room can accommodate up to 50 people ...
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