TITLE
Recommendation to authorize City Manager to execute any and all documents necessary for a Lease between the City of Long Beach (City), the Board of Water Commissioners of the City of Long Beach (Water), and Don Temple Storage, LLC for the use of City-owned and Water-owned property at 3750 East Spring Street; and
Authorize City Manager to execute a Memorandum of Understanding between the City of Long Beach and the Board of Water Commissioners of the City of Long Beach for administration of said Lease. (District 5)
DISCUSSION
In 1988, the City, Water and Kilroy Realty, L.P. (Kilroy) executed leases for the development of the Kilroy Airport Center (Center). The lease for Phase IV of the Center included a 5-acre parcel owned by the City known as Parcel 7 and a 4.7-acre parcel owned by Water known as Parcel 10. Don Temple Storage, LLC (Temple Storage) was located on the property prior to execution of the Phase IV lease and Kilroy agreed to continue to lease to Temple Storage until such time as the property was needed for development. In 2009, the Phase IV lease was terminated due to economic reasons and the Temple Storage sublease was assigned to City and Water. As the majority of the leasehold is on Water-owned property, and in order to provide Temple Storage with one point of Landlord contact, Water administered the assigned sublease on behalf of City and itself.
The Temple Storage sublease terminated on March 31, 2013, but has continued on a month-to-month holdover while Water and Temple Storage negotiated terms for a new agreement. Negotiations have concluded and the proposed Lease contains the following major terms and provisions:
· Lessor: City of Long Beach, a municipal corporation, and the Board of Water Commissioners of the City of Long Beach, on its own behalf in its official capacity
· Lessee: Don Temple Storage, LLC, a California limited liability company
· Leased Premises: The Leased Premises shall consist of Parcel 10 and approxim...
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