Consider recommending approval of a lease agreement extension with First National Tower, Ltd for property located at 400 N. Pennsylvania Avenue, Roswell, NM 88201, inclusive of a ratification for January 1, 2026 through March 31, 2026. (Caroline Brooks)

Initiated by: Caroline Brooks

This request is to consider recommending approval for the City of Roswell to enter into a lease agreement extension with First National Tower, Ltd from January 1 through March 31, 2026, while repairs and preparations continue for a move to a property at the Roswell Air Center. The First National Tower property had been used by the museum department under a $1/month waived fee following the October 2024 flood for collection storage and staff through September 2025. As continued use required a rental fee, a lease extension was approved by Council for October through December 2025 with a rental fee of $10,897/month, during which repairs to the air center property commenced.

Rent of Ten Thousand Eight Hundred and Ninety-Seven Dollars ($10,897) per month for two months for a total of $21,794. Calculated at $12 per square foot per year x 10,897 square feet divided by 12 months = $10,897 per month. A request to reimburse the expense under the fine art insurance claim is pending.

The City Attorney has reviewed the lease agreement.

The Finance Committee recommended approval (4-0) of a budget adjustment on October 2, 2025; City Council approved (9-0) on October 9, 2025. The Legal Committee recommended approval (5-0) of a lease agreement extension from October through December 2025 on October 23, 2025; City Council approved (10-0) on November 13, 2025. Legal Committee will be the first to consider the lease agreement extension for January 1, 2026 through March 31, 2026, inclusive of ratification.

Staff recommends to proceed as presented.