TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary for a Second Amendment to the Lease between Dignity Health, a California nonprofit public benefit corporation, and the Housing Authority of the City of Long Beach, for leasing of approximately 395 rentable square feet of office space. (Citywide)
DISCUSSION
The Housing Authority of the City of Long Beach (Housing Authority) currently occupies approximately 395 rentable square feet of office space at St. Mary’s Medical Center (Hospital) for the purpose of providing HIV housing support services in coordination with the Hospital’s Comprehensive Aid Resource Education (CARE) Program.
The Housing Authority has provided services onsite at the Hospital since 1999, which is funded annually through Housing Opportunities for Persons with HIV/AIDS (HOPWA) grant funding. The services currently provided to CARE clients at the Hospital 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 Second Amendment to the current lease agreement has been negotiated containing the following terms and provisions:
• Landlord: Dignity Health, a California nonprofit public benefit corporation.
• Tenant: Housing Authority of the City of Long Beach, a municipal corporation.
• Premises: Approximately 395 rentable square feet of office space at 1045 Atlantic Avenue, Suite 1016A.
• Price: $889.00/monthly base rent at $2.25 per square foot, with an annual 3 percent increase. Base rent will be abated for five months of the Lease term.
• Term: Sixty (60) months beginning December 1, 2020.
• Option to Renew: No options to renew the Lease.
• Tenant Improvements: No tenant improvements allowance will be provided.
• Option to Terminate: In the event the CARE Program’s contract is terminated at this facility the Housing Authority’s lease will terminate and be subject to renegotiation.
All remaining terms and provisions of the Lease will remain in full force and effect.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on January 26, 2021 and by Revenue Management Officer Geraldine Alejo on January 28, 2021.
TIMING CONSIDERATIONS
Housing Authority Commission action is requested on February 9, 2021, to execute the Lease amendment in a timely manner.
FISCAL IMPACT
The total annual base rent under the Lease is $10,988 and includes an annual 3 percent increase per the Lease agreement. The annual rent does not include any auxiliary services. Sufficient appropriation is budgeted in the Housing Authority Fund Group in the Health and Human Services Department. This recommendation has no staffing impact beyond normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KELLY COLOPY
DIRECTOR
HEALTH AND HUMAN SERVICES
APPROVED:
THOMAS B. MODICA
EXECUTIVE DIRECTOR
JOHN KEISLER
DIRECTOR OF ECONOMIC DEVELOPMENT