HomeMy WebLinkAbout1979-11-20; City Council; 6043-1; RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD APPROVING A LEASE AGREEMENT FOR OFFICE SPACE AT 800 GRAND AVENUE.
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CITY OF CARLSBAD ’
INITIAL
Dept. Hd. AGENDA BILL NO: . 6 oqz - /rw& . f &/
DATE: N~~~&~~ 713 1979 City Atty.
DEPARTMENT : Housing 6 Redevelopment - City Mgr. .
SUBJEC’r:RESOLUTION OF THE CITY COUNCIL OF THE CITY O’F CARLSBAD
APPROVING A LEASE AGREEMENT FOE OFFICE SPACE AT 800
GRAND AVENUE.
STATEMENT OF THE MATTER:
. As a part of the 1979-80 budget, Council approved $3,000 for the lease of office space to house redevelopment operation. The actual space lease was delayed pending the outcome of reorganization studies.
In June, 1979, the Housing Authority’s Lease on its office
on Jefferson Street expired and the ACithority was placed on month to month tenancy. Effective October 1, 1979, the rental rate for this space was increased from $350.to $475.per *month.
At its meeting of November 6, 1979, Council directed staff to research specific City-owned alternatives. and the attached report submitted for Council consideration.
EXHIBITS
Report from Redevelopment Coordiflator dated 11/13/79
City Council Resolution No. Scjjya
RECOPDENDATION
If Council desires to approve the rental of office space it shoulcl approve Resolutiorl No. 05-972 , authorizing the Mayor to sign EL lease agreement for 146 square feet of office space.
at 800 Grand Avenue until June 30, 1980, at a rental rate of $876.00 per month, and providing for four (4) one year options.
This research is‘ comp
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* ICouncil Action:
11-20-79 The matter was continued.
11-28-79 Council directed Lease not be entered into and that City (
and Redevelopment Personnel
s property or other available land be used to house the Hou
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i 0 rn MEMORANDUM
DATE : November 14, 1979
TO : Wayne Dernetz, City Manager
FROM : Jack Henthorn, Housing & Redevelopment Director
SUBJECT: OFFICE SPACE FOR HOUSING & REDEVELOPMENT
At its meeting of October 16, 1979, Council was advised that
a report would be presented regarding the office space needs of the housing and redevelopment activities. At its meeting of
November 6, 1979, Council directed staff to investigate alterna
sites currently owned by the City,
INTRODUCTION
This issue requires resolution in that: a) The Housing Authority's lease on Jefferson Street expired in June and office space rent has been increased from $350 to $475 per month effective October 1, 1979, with
another increase to $500 scheduled for January 1, 1980;
office space as a function of the approval of the 1979-80 budget.
to fund suitable space.
until space is made available.
Given the above noted factors and the availability of space,
it appears appropriate to address this issue:
NEED
Currently, the Housing Authority maintains an office in a converted house at Jefferson Street. need of numerous repairs and lacks parking and handicapped access. The lessor, Mr. Moe, acknowledges the need for improve ments to the above noted property, but also has a desire to minimize his costs. Although he would consider minor interior improvements at his cost, he would prefer that exterior improve ments and items such as painting, walkway construction, etc,
be done at public expense.
It is highly doubted that this structure could be improved, i.e. adequate heating, electrical, plumbing confines of Mr. Moe's stated desires.
Redevelopment maintains an office in a portion of the Planning Department which also serves as a hallway/exit. completed floor plan modifications contain no space for this operation.
According to a space study conducted by S.U. A in 1978, the
space requirements of the combined Housing and Redevelopment operations approached 1210 square feet exclusive of restrooms,
b) Redevelopment operations were authorized to seek
Rental funds in the amount of $3,000 were allocated
c) The human services position cannot be appointed
The facility is in
etc. within the
Recently
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hallways and conference areas.
ANALYSIS OF ALTERNATIVE PRIVATE SITES
In accordance with Council discussion at its meeting of 6,1979, the following additional information is provided,
Efforts to locate alternative office space for this operation
was instituted when it was recognized that
modular facility was inadequate to house the operational needs of redevelopment, and
department whose area of prirnare responsibility was west of the
freeway, between Buena Vista and Hedionda Lagoons.
The criteria that was used in seeking alternative space was as follows:
a) Location in downtown area ( generally between Laguna
and Oak)
provision of adequate parking facility
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Novemb
a) space at City Hall created by the addition of the
b) the reorganization would create a multi-functional
b)
c) Closeness to transit
d) handicapped access provisions
e) 1200 net square feet minimum
f) availability
g)
Using these criteria four sites were evaluated:
Cost within confines of budget
(Rejected) ill Oak Avenue- $.66 per square foot per month- 500 plus too small to house total operation.
(Rejected) #2- Roosevelt $. 86 per squ.are foot; interior arrani
ment marginal; good accessibility; too institutional in opinion of Hlousing Authority staff; good parking - too costly. Thus site may still be available if square foot costs are not Trohibitive to Council.
(Rejected) #3- Jefferson $.53-$,55 per square foot; this is ex: ing 'Housing Authority Office; lacks adequate parking; location good; no handicapped access; garage used for residential; plumb: and electrical appears in need of repairs; rear office area leal too small
(Rejected) $14- Harding and Grand- this was proposed at the COUI meeting of November 6 1979
These sites are shown in relationship to the general location oJ
existing Section 8 units in the attached map. ( Attachment I)
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Small office spaces ( less than 600 square feet) are readily
available in the Carlsbad Village area. However, 1200 square foot facilities appear to only be available on a limited
basis.
ANALYSIS OF CITY OWNED ALTERNATIVES
At its meeting of November 6, 1979, Council directed staff to
investigate other alternative office locations. Mentioned were Kruger House, Magee Property, Harding Street Center. The sites are shown in relationship to Section 8 units in the map attache as attachment 2,
Magee Property - The City Attorney's Office has researche( the adViZGZmTf using this property for Housing and Re- development office space ( attachment 3). Based upon the condi
of the will which conveyed the property to the City, The attor
recreation programs e
Harding Street Center - Staff of the Parks and Recreatio Department has contacted Parks and Recreation to determine shet or not use of the renovated structure was restricted. State Pa and Recreation advises that funds were granted subject to the
structure being utilized for parks and/or recreation related
activities.
It was furhter indicated that they would not support use of the parks and recreation activity. The Director of Parks and Re- reation indicates that little space if any will be available whc this facility is completed regardless of state pars and recreat.
restrictions.
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advises against use of this property for other than parks and
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Kru er House- This facility is currently being utilized to house *me and 5 part time employees who operate youtl
and adult sports activities as well as instructional classes.
Modular Unit- In addition to these options, staff has investigated the possibility of placing modular units on properi
adjacent ot the main fire station on Elm. This option has been preliminarily dismissed due to locaticin and availability. It
could reasonably be assumed that a 4-61 month time frame would bc
required to accomplish this approach.
CONCLUSION
It is concluded that: city owned facilities offer no opportunity
house this department. It is further concluded that the Grand
Avenue location is the most reasonable option analysed, in that
it is centrally located to serve the needs of Authority clientel while being conveniently located for redevelopment operations.
exterior appearance of the facility is beneficial to the housint
non-institutional setting within close proximily to their units.
The Grand Avenue space is in two sets of offices in a single buj
b7$ehirl the La Jolla Federal complex.
operation in that it allows its clientelle to be served in a
The ground floor set of
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offices contains 900 square feet and includes two restrooms,
storage area and a secretary/reception area in addition to two offices and a conference room. The offices are accessible from Grand Avenue with no barriers to handicapped. Handicapped parking is available within 30 feet of the entrance and a bus stop is available directly across Grand Avenue from the complex
It is anticipated that the ground floor would accommodate the
Director of Housing and Redevelopment, the Housing offices, jail
storage and conference facilities.
The second story set of offices contain 560 square feet inc1udi.r
one restroom and three office areas. It is anticipated that the
redevelopment, block grant and human services personnel would bc located in this space due to the relatively lower level of clier contact, Careful scheduling of appointments should eliminate t€ need to conduct meetings in the second floor space, The acting
Executive Director of Housing has toured the facilities and four them to be acceptable, services, instructional facilities and general offices.
LEASE TERMS (attachment4)
The space ( 1460 square feet) is offered at $.60 per square foot per month, or $876 per month total.
costs are not included.
and utilities will represent a significant increase Over that
paid at the Jefferson Street site,
is provided under the City's policy.
The initial lease period runs through June 30, 1980, to accommod the City's fiscal year. available at a consumer price index adjusted rental.
At the meeting of November of 6, 1979, there appeared to be some
confusion as to the dollar amount being committed to by the coun The committment which is sought would carry the space through
July 1.1980, a total cost of $7,147.80 including a $325.00 secur
deposit. This approach was used for t'he following two reasons:
Tenants currently include counseling
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Utilities and janitoial It is not anticipated that janitorial
Standard insurance coverage
In addition four one year options are
1.) Council cannot commit beyond its approved budget.
2.) The "options"afford the City maximum latitude in
determining whether or not to continue the lease each year as a part of the budget process.
FUND AVAILABILITY
The redevelopment budget contains $3,000 allocated to office space rental. In addition, the budget contains approximately $5,000 in salary savings from the human services position vacanc;
which, upon authorization of the City Manager, could be transfer- to office space rental,
a e
The housing operation has $400/mo allocated to Office space, although there is currently $475/mo liability. In addition,
the housing budget contains funding for utilities and janitoria
AS noted, the total cost of the lease for the remainder of fisc,
year 1979-80 is $7,147.80 including a $325.security deposit.
1979-80 Housing Authority ($400 x 7 mo) 2,800
1979-80 Redevelopment Salary Savings t5, OOG
Availability for Utilities 3653
Telephone & Electricity - 1300
1979-80 Redevelopment Budget (rental) $ 3,000
TOTAL -m-
Lease Cost - 7147
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Projected net salary saving $2353
Funds are available for the lease of space as proposed in the
attached lease.
reasonable found given the City's inability to enter a long term lease.
RECOMMENDATION
Therefore, it is recommended that this item be returned for Council consideration at its meeting of November 20, 1979.
The terms of the lease are among the most
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JEH:
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MEMORANDUM
DATE : November 8, 1979
TO : City Manager
FROM: City Attorney
SUBJECT: USE OF MAGEE HOUSE AND PROPERTY
At the November 6, 1979 meeting of the City Council this
office indicated that there was some chance the buildings
situated on the Magee property could be used temporarily for
purposes other than those strictly related to the City's
parks and recreation programs. Further research indicates
that such use would be improper and could cause the City
to be in breach of the conditions of the Will. To avoid
such a breach, the prudent course of action in this case
would be to use the property and the buildings located thereon solely in conjunction with activities of the City's parks and recreatior: 2rograms.
VINCENT F.
City Attorney
DSH/mla
cc: Housing and Redevelopment Director
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RESOLUTION NO. 5972
RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CARLSBAD, CALIFORNIA, APPROVING
CARLSBAD AND COASTAL FINANCE CORPORATION
FOR THE LEASE OF OFFICE SPACE AT 800 GRAND AVENUE, CARLSBAD CALIFORNIA
A LEASE AGREEMENT BETWEEN THE CITY OF
WHEREAS, the City Council of the City of Carlsbad does
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hereby resolve as follows:
NOW, THEREFORE, BE IT RESOLVED that the City Council
of the City of Carlsbad, California, does hereby approve a
lease agreement submitted by Coastal Finance Corporation, a
of which is attached hereto and incorporated herein by refer
as though set forth in full.
BE IT FURTHER RESOLVED that the Mayor of the City of CE
is hereby authorized and directed to execute said document c
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I behalf of the City of Carlsbad.
PASSED, APPROVED AND ADOPTED at a meeting of the City C
of the City of Carlsbad held on the day of
1979, by the following vote, to wit:
AYES :
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19 NOES : //
20 ABSENT :
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RONALD C. PACKARD, Mayor
24 ~ I ATTEST:
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ALETHA L. RAUTENKRANZ
(SEAL)
I * ,T, CWERCIAL LEASE AND DEPOSIT &ElPT
RECEIVED FROM .......T H.E ....~. 1.T. ~....~.~.... ~~~SBAD .......................................................................................................................................................
. ....................................................................................................................................................................................................................................... hereinafter reft
the sum of $ .............. 1.,.0.2.5.,..Q.k
evidenced by ......... ............................................................................ as a deposit which, upon acceptance of this lease, shall belong to Lessor and shall be
Rent for the period from ...~~o.V.e.m.be.r~...7.~ ..... 19.1.9 to ..&XEXdXX ..... 3.Q.d ..... l.s?.I.g$ ......... Sr.Q .... X.&,.t2 ..............
.... ..... ........ .... ... (.... aNE...!I.HQU.Smn Tw;[EN T.Y... KPJE &lD N.~./l.O.O -.-.-.-.-.-.-.--.--.-.--
$ .... 7.Q.Q ..... 0.
Last .......................... month’s rent ........................................ ...... $ .................................................... $ .....................
Other ...................................................................... $ .................................................... $ ......................
JOJN
’ ‘i’ ’ . . In the event that this lease is not accepted by the Lessor within .............................................................. business days, the total deposit received I
RECEIVED PAYABLE PRll
Security deposit .............................................................. $.. .................................................. $...3.2.5..:..0
f f“ f I I I I I I1 1 I I4 1 I1 1. 6.. ..... ,, I I, I, I I,, I, I$, I, I,, 1,. ......... $.. ...................... ~. .......................... $1.Lo25...1
Lessee hereby offers to lease from Lessor the premises situated in the City of ............................................................ Carlsbad County of .............................. San Dieg California . 800 ......................................................... Grand Avenue Building “B“ .......................................... Suite B-13 ..... tate of, ............. ~ ............................................. descrrbed as .! ................................................. ! .t $t. & Suite B-6,7, 900 Sq. ft. for a total of 1,460 sq. ft. @ 60C per sq
upon the following TERMS and CONDITIONS:
1. TERM: The term hereof shall commence on..
................................................................................................................................................................................................................................................................
................................................................................................................................................................................................................................................................
...................................... November 7 79 ..... .... .............................. f ................................ 19 ........, and expire on J.une 3.0.!
2. RENT: The total rent shall be $..$ ..... 6 L ............ 832 0 .............................. 80 pa able as follows: ...................................................... $700.80 on Nov r .......... 7 r ..................................... 1979 and
the .,... first day of each month thereafYter. See item #28 for lease extensio item #29 6 #30 for additional conditions and terms. ............................................................................................................................................................................................................................................................
................................................................................................................................................................................................................................................................
................................................................................................................................................................................................................................................................
............................................................................................................................................................................. .T ................ I ............................................................ - star Financial. Planning Corp. All rents s a I e paid to Owner qr is authorized 3 nt at the follo in Box 124?, Oceanside, Call!l!Ornla 93f04 address: ...c.g&! ......................................................................................................
................................................................................................................................................................................................................................................................
or at such other places as may be designated by Owner from tim t time.
3. USE: The premises are to be used for the operation of ...........................................................................................................................................................
and for no other purpose, without prior written consent of Lessor.
4. USES PROHIBITED: Lessee shall not use any portion of the premises for purposes other than those specified hereinabove, and no use shall be r to be made upon the premises, nor acts done, which will increase the existing rate of insurance upon the property, or cause cancellation of insurance said property. Lessee shall not conduct or permit any sale by auction on the premises.
5. ASSIGNMENT AND SUBLETTING: Lessee shall not assign this lease or sublet any portion of the premises without prior written consent of shall not be unreasonably withheld. Any such assignment or subletting without consent shall be void and, at the option of the Lessor, may terminate thi
4. ORDINANCES AND STATUTES: Lessee shall comply with all statutes. ordinances and requirements of all municipal. state and federal authorit or which may hereafter be in force, pertaining to the premises, occasioned bv or affecting the use thereof by Lessee. The commencement or pendenc)
7. MAINTENANCE, REPAIRS. ALTERATIONS: Lessee acknowledres that the premises are in good order and reoair, unless otherwise indicated he at his own expense and at all times, maintain the premises in good and safe condition. including plate glass, electrical wiring. plumbing and heating ins other system or equipment upon the premises and shall surrender the same. at termination hereof, in as good condition as received; normal wear and tear
shall be responsible for all repairs required, excepting the ........ A1.l .... o.~~.s.~.d~--.-bui.lding .... and .... gr.0.u nd... mintenancc re.f use .... dis-pasal ...................................................................................................................................................................................... which shall be maintained by Lessor. Lessee shall also maintain in good condition such portions adjacent to the premises, such as sidewalks, driveways, bery, which would otherwise be required to be maintained by Lessor. No improvement or alteration of the premises shall be made without the nrior written consent of the Lessor. Prior to the commencement of any substanti ment, or alteration, Lessee shall give Lessor at least 2 days written notice in order that Lessor may post appropriate notices to avoid any liability for liens
8. ENTRY AND INSPECTION: Lessee shall permit Lessor or Lessor’s agents to enter upon the premises at reasonable times and upon reasonabl purpose of inspecting the same, and will permit Lessor at any time within sixty (601 days prior to the exoiration of this lease, to place upon the premk Let” or “For Lease” signs, and permit persons desiring to lease the same to inspect the premises thereafter.
9. INDEMNIFICATION OF LESSOR: Lessor shall not be liable for any damage or iniury to Lessee, or any other person? or to any property, occurrin premises or any part thereof, and Lessee agrees to hold Lessor harmless from any claims for damages, no matter how caused.
10. POSSESSION: If Lessor is unable to deliver possession of the premises at the commencement hereof, Lessor shall not be liable for any damage nor shall this lease be void or voidable, but Lessee shall not be liable for any rent until possession is delivered. Lessee may terminate this lease if posse:
ered within.. ................. days of the commencement of the term hereof.
11. INSURANCE: Lessee, at his expense, shall maintain plate glass, public liability and property damage insuracce insuring Lessee and Lessor with IT
Girninistrative Offices
...........................................................................................................................................................................................................................................................
federal court abatement proceeding affecting the use of the premises shall, at the option of the Lessor, be deemed a breach hereof.
as follows: ........... .lO.O..,.~.O.Q .... pro er.k. ..;.da.ma.ge .... w.i.t.h .... lessor .... n.amed .... as .... i.n.s;u-r& ..........................................
............................ 8 30.0. .#..O.C).O .... .pub. !i* LC. ... Y .JAZ Lt~y .... w.i .th .... 1.essar .... named ... as .... ins.u..ed ......................................
............................................................................................................................................................................................................................................................
Lessee shall provide Lessor with a Certificate of Insurance Showing Lessor as additional insured. The Certificate shall provide for a ten-day written nr
To the maximum extent permitted by insurance policies which may be owned by Lessor or Lessee, Lessee and Lessor, for the benefit of each other, \
, gas, electricity. heat and other services
the event of cancellation or material change of coverage.
rights of subrogation which might otherwise exist.
12. UTILITIES: Lessee agrees that he shall be responsible for the payment of all utilities, including, premises.
13. SIGNS: Lessor reserves the exclusive right to the roof. side and rear walls of the Premises. Lessee shall not construct any projecting sign or awl prior written consent of Lessor which consent shall not be unreasonably withheld.
14. ABANDONMENT OF PREMISES: Lessee shall not vacate or abandon the premises at any time during the term hereof, and if Lessee shall aband premises, or be dispossessed by process of law, or otherwise, any personal property belonging to Lessee left upon the premises shall be deemed to be al option of Lessor.
15. CONDEMNATION: If any part of the premises shall be taken or condemned for public use, and a part thereof remains which is susceptible of under, this lease shall, as to the part taken, terminate as of the date the condemnor acquires possession, and thEreafter Lessee shall be required to pay of the rent for the remaining term as the value of the premises remain;ng bears to the total value of the premises at the date of condemnation: provid Lessor may at his option. terminate this lease as of the date the condemnor acquires possession. In the event that the demised premises are condemned such portion is condemned that the remainder is not susceptible for use hereunder, this lease shall terminate upon the date upon which the condemnor acq All sums which may be payable on account of any condemnation shall belong to the Lessor, and Lessee shall not be entitled to any part thereof, providt Lessee shall be entitled to retain any amount awarded to him for his trade fixtures or moving expenses.
16. TRADE FIXTURES: Any and all improvements made .io the premises during the term hereof shall belong to the Lessor, except trade fixtures of th may, upon termination hereof, remove all his trade fixtures, but shall repair or pay for all repairs necessary for damages to the premises occasioned
17. DESTRUCTION OF PREMISES: In the event of a partial destruction of the premises during the term hereof, from any cause, Lessor shall fort1 same, provided that such repairs can be made within sixty (60) days under existing governmental laws and regulations. but such partial destruction sha this lease, except that Lessee shall be entitled to a proportionate reduction of rent while such repairs are being made, based upon the extent to whicl such repairs shall interfere with the business of Lessee on the premises. If such repairs cannot be made within said sixty (60) days, Lessor, at his ,Optio same within a reasonable time, this lease continuing in effect with the rent proportionatelv abated as aforesaid, and in the event that Lessor shall no such repairs which cannot be made within sixty (60) days, this lease may be terminated at the option of either party.
In the event that the building in which the demised premises may be situated is destroyed to an extent of not less than one-third of the-replacerner Lessor may elect to terminate this lease whether the demised premises he injured or not. A total destruction of the building in which the pfemises may t terminate this lease. In ?he event of any dispute between Lessor and Lessee with respect to the provisions hereof, the matter shall be settled by arbitratioy in .such a mann may agree upon, or if they cannot agree, in accordance with the rules of the American Arbitration Association.
18. INSOLVENCY: In the event that a receiver shall be appointed to take over the business of the Lessee, or in the event that the Lessee shall make i rnent for the benefit of creditors, or Lessee shall take or suffer acy action under any insolvency or bankruptcy act, the same shal! constitute breach of this
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