TITLE
Recommendation to authorize City Manager to execute all necessary documents to amend and restate Lease No. 25092, by and between the City of Long Beach and Choura Venue Services, a California Corporation, for City-owned property located at 2400 Studebaker Road, for a term of five years with three five-year renewal options; and authorize City Manager to execute future amendments to extend the lease term and adjust the minimum annual rent. (District 5)
DISCUSSION
Mr. James Choura, President of Choura Venue Services (Choura) has been operating the food and beverage concession at EI Dorado Golf Course Restaurant under James J. Choura, dba EI Dorado Restaurant, since 1981. In 1997, the Department of Parks, Recreation and Marine (PRM) conducted a Request for Proposal process in which Mr. Choura was awarded Lease No. 25092 (Lease) based on his experience, proposed rent, and proposed improvements. Between 1997 and 2003, Choura has completed facility improvements with a value of over $300,000.
During the spring of 2007, Choura worked with the City's Fire Department to ensure that the event center at EI Dorado Golf Course, known as the Garden Pavilion, met fire safety codes, investing $250,000 in the reconstruction. As a result, the Garden Pavilion has become a premier wedding location offering patrons a tented event center that sits on the beautiful 18-hole EI Dorado Golf Course. This area provides beautiful photo venues, permanent amenities while enjoying outdoor beauty, and is a full-service event center, capable of hosting golf tournaments, special events, and corporate parties.
In order to amortize the capital investment over time, Choura requested an extension to the term of the Lease, which expires on March 31, 2012. The Department agreed to reopen negotiations due to the fact that the current Lease does not contain provisions for additional capital projects or increases in rent. Under the amended Lease, over time, Choura will make capital improvements ...
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