DATE: January 14, 2025
TO: Honorable Mayor and City Councilmembers
FROM: Public Works Department
TITLE: AMENDMENT 5 TO LEASE AGREEMENT WITH VISTA COMMUNITY CLINIC TO EXPAND PREMISES AND INCREASE RENT AT LIBBY LAKE RESOURCE CENTER
RECOMMENDATION
title
Staff recommends that the City Council approve Amendment 5 to the Lease Agreement with Vista Community Clinic to lease a portion of the premises located at 4700 North River Road in the Libby Lake Resource Center, expanding the leased premises by 498 square feet, adding rent increases, and increasing common area maintenance costs for a revised total revenue of $804,887 during the current term; and authorize the City Manager to execute the amendment upon receipt of all supporting documents.
body
BACKGROUND AND ANALYSIS
On September 3, 2003, the City entered into a ten-year Lease Agreement ("Agreement") with Vista Community Clinic ("VCC") for the use of 4,442 square feet of space in the Libby Lake Resource Center located at 4700 North River Road ("Premises"). VCC operated a community medical clinic and a teen after school program that provided services to the community at a discounted rate that were otherwise not available to the community at that time. VCC was not charged rent for the Premises, as the City considered these services vital to the local community. However, VCC was responsible for paying its share of the common area maintenance ("CAM") expenses and utilities.
The Agreement has been amended four times as follows:
* Amendment 1 dated August 7, 2013: VCC exercised its option to extend the term for ten years, which extended the term of the Agreement through August 31, 2023.
* Amendment 2 dated February 5, 2014: The leased premises were expanded by 3,143 square feet to include a career center, which is now occupied by the dental clinic, for a revised total of 7,585 square feet.
* Amendment 3 dated February 1, 2017: The leased premises was expanded by 626 square feet for classroom space, for a re...
Click here for full text