Title
Authorization to Amend Lease with BWC, LLC to Extend Term (Ordinance S-44310)
Description
Request to authorize the City Manager, or his designee, to amend Contract 135009 with BWC, LLC to extend the lease term for a one-year period with four additional one-year options. Further request authorization for the City Treasurer to accept all funds related to this item. Rent during the initial one-year extension will be $12,720.48 per year, plus applicable taxes.
Report
BWC LLC leases approximately 1,300 square feet of interior space located at 1945 W. Dunlap Ave., Suite 8. The current contract term expires March 31, 2018. The contract will be amended to extend the term for a one-year period plus four one-year options to extend. Base rent during the initial one-year extension is $1,060.04 per month, plus applicable taxes, which is a three percent increase in the current rent and is within the range of market rents as determined by the Real Estate Division. Each option period will be exercised upon mutual agreement of the City and tenant, with annual base rent adjustments of three percent at the beginning of each option period. BWC is a long-term tenant in good standing.
Financial Impact
Revenue during the initial one-year extension will be $12,720.48 per year, plus applicable taxes.
Concurrence/Previous Council Action
This contract was authorized by Ordinance S-39268, adopted Oct. 17, 2012.
Location
1945 W. Dunlap Ave.
Council District: 5
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit and Finance departments.