TITLE
Recommendation to authorize the execution of all documents necessary for a space lease agreement between Dignity Health, a California nonprofit public benefit corporation, and the Housing Authority of the City of Long Beach, for office space located at 1045 Atlantic Avenue, Suite 1016, within the St. Mary’s Medical Center. (District 6)
DISCUSSION
The Housing Authority of the City of Long Beach (Housing Authority) currently occupies approximately 395 rentable square feet of office space at the St. Mary Medical Center (Hospital) for the purposes of providing HIV housing support services in coordination with the Hospital’s Comprehensive AIDS Resource Education (CARE) Program. The Housing Authority has provided services on-site at the Hospital since 1999, which is funded annually through Housing Opportunities for Persons With HIV/AIDS (HOPWA) grant funding. The services that are currently provided to CARE clients at the Hospital include the HOPWA Short-Term Assistance Program, Short-Term Rent/Mortgage/Utility Assistance and move-in Permanent Housing Placement grants. Additional services also include housing case management; housing locating services; referrals to emergency and transitional housing; assistance with the Long Beach HOPWA Tenant-Based Rental Assistance voucher process; community and medical referrals; and additional assistance regarding issues with housing as needed.
A proposed space lease agreement has been negotiated containing the following major terms and provisions:
• Landlord: Dignity Health, a California nonprofit public benefit corporation
• Tenant: Housing Authority of the City of Long Beach.
• Leased Premises: Approximately 395 rentable square feet of office space at 1045 Atlantic Avenue, Suite 1016.
• Term: The Lease commenced on November 1, 2016 and shall terminate on March 30, 2019.
• Options to Terminate: Either party shall have the right to terminate the agreement at any time by providing at least ninety (90) days prior written notification.
• Rent: Effective and retroactive to November 1, 2016, the monthly base rent shall be $651.25 per-month ($1.65 per square foot) on a full-service gross basis.
• Operating Expenses: The Landlord shall be responsible for the cost of all utilities, real estate taxes and janitorial services to the Leased Premises.
• Option to Renew: Tenant shall have the right to renew the agreement under the same terms and conditions for an additional one-year period by providing sixty (60) days prior written notice.
This matter was reviewed by Deputy City Attorney Linda T. Vu on July 14, 2017 and by Revenue Management Officer Geraldine Alejo on July 24, 2017.
TIMING CONSIDERATIONS
Housing Authority Commission action is requested on August 8, 2017, to execute the space lease agreement in a timely manner to formalize the occupancy of the leased premises.
FISCAL IMPACT
The total annual base rent under the Lease shall be $7,815. Sufficient funds to cover rental payments are currently appropriated in the Housing Authority Fund (SR 151) in the Health and Human Services Department (HE). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KELLY COLOPY
ASSISTANT EXECUTIVE DIRECTOR
JOHN KEISLER
DIRECTOR OF ECONOMIC AND PROPERTY DEVELOPMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER