4.4.
CC Regular Session
- Meeting Date:
- 06/24/2014
- By:
- Patrick Brama, Administrative Services
Information
Title
Approve One Year Lease Agreement Extension to PACT Charter School for use of 6701 Hwy 10 Cold Storage Area.
Purpose/Background:
Purpose of Case:
Approve One Year Lease Agreement extension.
Background:
Premier Commercial Properties, the City's contracted property management company, recently approached Staff regarding a request from PACT Charter School to renew their existing Lease Agreement with the City of Ramsey by one year. PACT Charter's existing Lease Agreement is set to expire on July 31, 2014.
Currently, PACT Charter utilizes approximately 5,400 square feet of space at 6701 U.S. Highway 10 for the storage of ten school buses. PACT Charter made a couple improvements to the City's property that will remain when the tenant no longer occupies this space (i.e. power garage door openers and electrical outlets for engine block heaters).
Approve One Year Lease Agreement extension.
Background:
Premier Commercial Properties, the City's contracted property management company, recently approached Staff regarding a request from PACT Charter School to renew their existing Lease Agreement with the City of Ramsey by one year. PACT Charter's existing Lease Agreement is set to expire on July 31, 2014.
Currently, PACT Charter utilizes approximately 5,400 square feet of space at 6701 U.S. Highway 10 for the storage of ten school buses. PACT Charter made a couple improvements to the City's property that will remain when the tenant no longer occupies this space (i.e. power garage door openers and electrical outlets for engine block heaters).
Notification:
NA
Observations/Alternatives:
SUMMARY OF LEASE:
Premises: 5,460 square feet (420 heated, 5,040 square feet cold storage)
Term: one-year term, beginning August 1, 2014
Insurance: $1,000,000 public liability insurance
Rent: The lease price would be $1.00 per square foot which calculates to $5,460 per year or $455.00 per month.
Electric: Self-metered. Will pay city directly for monthly usage at current monthly electric rates.
Property Taxes: Will remain tax exempt - City and PACT are both tax-exempt entities
Permitted Use: the Subject Property will be used and occupied by tenant solely for the purpose of storage of ten school buses with Tenant’s primary business operation located at 6701 West Highway 10.
Premises: 5,460 square feet (420 heated, 5,040 square feet cold storage)
Term: one-year term, beginning August 1, 2014
Insurance: $1,000,000 public liability insurance
Rent: The lease price would be $1.00 per square foot which calculates to $5,460 per year or $455.00 per month.
Electric: Self-metered. Will pay city directly for monthly usage at current monthly electric rates.
Property Taxes: Will remain tax exempt - City and PACT are both tax-exempt entities
Permitted Use: the Subject Property will be used and occupied by tenant solely for the purpose of storage of ten school buses with Tenant’s primary business operation located at 6701 West Highway 10.
Funding Source:
NA. Proceeds will be deposited into the designated RALF account.
Recommendation:
To date, PACT Charter has been a responsible and cooperative tenant; and has paid rent consistently on time. Based on input from the City's real estate broker, the proposed lease rate is competitive with the private market; and the tenant has maintained a positive and professional relationship.
Recommendation:
Approve the attached one year Lease Agreement extension: PACT Charter School use of 6701 Hwy 10 Cold Storage Area.
Recommendation:
Approve the attached one year Lease Agreement extension: PACT Charter School use of 6701 Hwy 10 Cold Storage Area.
Action:
Motion:
Approve the attached one year Lease Agreement extension to PACT Charter School for use of 6701 Hwy 10 Cold Storage Area.
Approve the attached one year Lease Agreement extension to PACT Charter School for use of 6701 Hwy 10 Cold Storage Area.
Attachments
Form Review
| Inbox | Reviewed By | Date |
|---|---|---|
| Diana Lund | Diana Lund | 06/17/2014 01:41 PM |
| Kurt Ulrich | Kurt Ulrich | 06/19/2014 11:18 AM |
- Form Started By:
- Patrick Brama
- Started On:
- 06/17/2014 11:51 AM
- Final Approval Date:
- 06/19/2014