Title
Request to Enter Into Lease for Temporary Library Location (Ordinance S-44035)
Description
Request to authorize the City Manager, or his designee, to enter into a lease with HPPC, LLC to provide a satellite library space in the former Park Central Mall site for temporary library services. Further request authorization for the City Controller to disburse all funds related to this item. The anticipated nine-month occupancy will cost approximately $675,000, including tenant improvements, plus applicable taxes.
Report
Summary
Burton Barr Central Library (BBCL) suffered storm and water damage after a strong monsoon swept through Central Phoenix on July 15, 2017. BBCL will be closed until June 2018. In order to continue serving the community, most of the library services at BBCL were relocated to other libraries in the Phoenix Public Library System.
This lease will establish a location for the City to continue to provide library services in Central Phoenix. Services will include public computer access, literacy programs, afterschool homework help, workforce assistance, and access to books for adults, children, and teens. The space to be leased is approximately 29,100 square feet with a blended base rent of $24.38 per square foot per year. Base rent includes the build out of tenant improvements by the landlord and reasonable delivery of utilities and HVAC.
Lease Term
The lease term will be a one-year term from about Dec. 15, 2017 through Dec. 14, 2018 with no option to extend. The City will have the right to terminate the lease any time after nine months without cause with a 60-day notice.
Financial Impact
The anticipated nine-month occupancy will cost approximately $675,000, including tenant improvements, plus applicable taxes. Costs for occupancy for the remaining three months, if needed, are approximately $130,000. Insurance funds resulting from the damage at BBCL will be used for this contract. No General Funds will be used for this contract.
Location
3110 N. Central Ave., Building G
Council District: 4
Department
Responsible Department
This item is submitted by Deputy City Manager Deanna Jonovich and the Library and Finance departments.