HomeMy WebLinkAboutItem 14 - YMCA Lease - Printer Friendly VersionLease Renewal Negotiations with the
YMCA of the East Valley
Presented by:
William Lampi, Senior Management Analyst, City Manager’s Office
YMCA of the East Valley
Background
Property Location
YMCA Lease History
Conceptual Renewal Proposal
Current Lease Terms
Anticipated Changes
Public Benefit
Disclosures
Next Steps
Negotiations
Final Agreement
YMCA of the East Valley Background
Property Location
•808 E. 21st Street, San Bernardino, CA 92404.
•Two Parcels that form a portion of Perris Hill Park.
Lease History
•Initial 50-year lease established in 1960.
o 2005 – Terminated and re-established for 5 years.
o 2010 – 60-day extension approved.
o 2011 – 5-year extension approved.
o 2016 – Renewed for 10 years + 5-year extension option.
o 2026 – Exercised 5-year extension option.
•Land Lease / Ground Lease
o City owns land
o YMCA owns building
Conceptual Renewal Proposal
Current Lease Terms
•Rate: $1.00 per year.
•Type: Ground Lease.
•Term: 10-year lease with a 5-year extension option.
o Initial Term: March 1, 2016 – March 1, 2026.
o Extension: March 1, 2026 – March 1, 2031.
•Responsibilities:
o All maintenance, repairs, and groundskeeping.
o All utilities and related costs.
o All required insurance coverages.
o All ADA and health and safety code requirements.
•Allowed Alterations:
o Placement of modular units.
o Modification of existing building structures.
Conceptual Renewal Proposal
Changes in Material Terms
•No anticipated changes in material terms.
•Long Term Lease (30 years or more) is desired.
o YMCA desires to make building improvements.
o Long-term lease is more attractive for outside funders.
o Long-term lease is consistent with lease history.
Public Benefit
•Delivered the equivalent of $15 million in services.
•Serves 8,000 children in after school programs.
•Provided 8,827 members with scholarships.
Disclosures
•None / No political campaign contributions on file.
Next Steps
Negotiations
•If authorized by Council, City staff will negotiate a
renewal that is consistent with council direction.
Final Agreement
•Final lease documents will be brought back for the
Council’s review and approval before execution.
Recommendation
It is recommended that the Mayor and City Council of the City of San
Bernardino, California, authorize the City Manager to proceed with lease
renewal negotiations with the YMCA of the East Valley for the property
located at 808 E. 21st Street.
Questions?