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Sx i! A' City of San Leandro Meeting Date: May 21, 2012 00 Staff Report File Number: 12 -209 Agenda Section: CONSENT CALENDAR Agenda Number: 8.N. TO: City Council FROM: Chris Zapata City Manager BY: Uchenna Udemezue Engineering & Transportation Director FINANCE REVIEW: David Baum Finance Director TITLE: Staff Report for a Resolution Authorizing the City Manager to Execute a Lease Agreement with Family Services Counseling and Community Resource Center for the City Property Located at 2208 San Leandro Boulevard, Contingent upon the Completion of Certain Conditions SUMMARY AND RECOMMENDATIONS Staff requests that the City Council grant the City Manager the authority to enter into a new lease agreement, subject to the City Attorney's approval as to form, with Family Services Counseling and Community Resource Center for the City's property located at 2208 San Leandro Boulevard for a period of five years with the option of an additional five -year extension. le[•]:cr] CzollJ 0I �7 The City entered into a lease agreement for its building located at 2208 San Leandro Boulevard with Family Service of San Leandro on September 1, 1997. The City declared the property surplus. Pursuant to that declaration, the City offered its use to the community. Family Service of San Leandro was chosen as the Tenant for this City surplus property because Family Service would provide professional and affordable counseling services to the community. The rent charged was $1 per year. The lease expires on August 31, 2012. The original agreement allowed the Lessee the option of renewing the lease for an additional 15 years if agreeable to both parties. However, Family Service was required to notify the City at least one year prior to the termination of the lease; it did not do so. Therefore, we will be entering into a new lease agreement effective September 1, 2012. Analysis Staff investigated the property and found a number of maintenance issues that need to be addressed by the Tenant. These items must be completed prior to the parties entering into the new lease. Among the tasks are improvements to the parking lot. Due to the cost of City of San Leandro Page 1 Printed on 511512012