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~;tYo, City Council Repot
Santa Monica'
City Council Meeting: April 28, 2009
Agenda Item:
To: Mayor and City Council
From: Andy Agle, Director of Housing and Economic Development
Subject: Office Space Lease at 525 Broadway
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a Second Amendment to Lease No. 7369 (CCS) between the City of Santa
Monica and PRU/JSM Trino LLC, a Delaware Limited Liability Company, Successor In
Interest to Cardinal Broadway Properties, Inc. for space at 525 Broadway.
Executive Summary
The City leases space in a building at 525 Broadway for Code Compliance, City TV and
Information System Department (ISD). The lease between the City and PRU/JSM Trino
LLC terminates on May 17, 2009. City TV has. moved to 1717 4th Street and ISD has
moved to 1901 Main Street. Code Compliance will be moving to space in the Civic
Center Parking Structure when those tenant improvements are complete. In order to
minimize disruption to the Code Compliance operation, the property owner is willing to
allow Code Compliance to remain in tenancy in the portion of the space that it now
occupies, on a month-to-month basis, through July 31, 2009, at the current rental rate of
$9,689.38 per month. The lease extension for Code Compliance is a contingency plan
to address any unforeseen events that may occur during the construction and cabling of
its new office space. The lease can be terminated with a thirty day written notice.
Discussion
The City's lease of office space at 525 Broadway will expire on May 17, 2009.
Therefore,. City TV has relocated on an interim basis to 1717 Ott' Street pending
completion of tenant improvements for its permanent location at 1654 19th Street, and
ISD staff has recently relocated to 1901 Main Street. Code Compliance will move to its
.permanent location, upon completion of its space, at the. Civic Center Parking Structure.
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The property owner is willing to amend the lease with the City to allow Code
Compliance to remain on a month-to-month lease through July 2009 in the portion of
the Premises' Code Compliance now occupies (approximately 2,875 sq. ft.), to ensure
that Code Compliance retains a work space until completion of its tenant improvements
at the Civic Center Parking Structure. The City may terminate the lease at any time
prior to July 31, 2009 by giving the lessor a thirty day written notice.
Financial Impacts & Budget Actions
Funds are available in Account Number 01321.522620..
Prepared by:
Donna Rickman, Senior Administrative Analyst
Forwarded to Council:
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Andy Agle, Director ~ '~P.~~rrydnt Ewell ~~
Housing and Economic evelopment Ci , anager
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