DEPARTMENT: Office of Eastpoint and Real Estate Services
DEPARTMENT HEAD: Mike Etienne
COUNCIL DISTRICTS IMPACTED: 1
SUBJECT:
Lease Agreement: Human Services Department - Academia America, Inc.
SUMMARY:
An ordinance authorizing the execution of a Lease Agreement between the City of San Antonio as Landlord and Academia America, Inc. for the continued use of approximately 570 square feet of office space located at 1226 N.W. 18th St., the Frank Garrett Multi-Service Center, for a five-year term commencing February 1, 2015 and expiring January 31, 2020, for the annual rental rate of $1.00 plus the reimbursement of Tenant's pro-rata share of operating expenses. This lease may be terminated by either party after the second year of occupancy with 30-days notice.
BACKGROUND INFORMATION:
Academia America, Inc. has occupied space at the Frank Garrett Multi-Service Center since June 2009, as established by the execution of a Memorandum of Understanding with the Human Services Department. Academia America, Inc. provides much needed education, information, and referral services to Spanish speaking immigrants in the San Antonio area. The City of San Antonio and Academia America, Inc. have successfully worked together to establish a cooperative and mutually beneficial relationship with regard to the provision of services to residents of San Antonio who are in need of immigration assistance and to facilitate their participation in the services and programs offered by Academia America, Inc. As such, this action will serve to support the mission of Academia America, Inc. by providing them space in which to conduct training, educational and provide referral services to the Spanish speaking immigrants in the San Antonio area.
ISSUE:
An ordinance authorizing the execution of a Lease Agreement between the City of San Antonio as Landlord and Academia America, Inc. for the continued use of approximately 570 square feet of office space located at 1226 N.W. 18th St., the Frank Garrett Multi-Service Center, for a five-year term commencing February 1, 2015 and expiring January 31, 2020, for the annual rental rate of $1.00 plus the reimbursement of Tenant's pro-rata share of operating expenses. This lease may be terminated by either party after the second year of occupancy with 30-days notice.
The City of San Antonio recognizes the need for the services provided by Academia America, Inc. and therefore supports their mission by proposing this Lease Agreement to ensure no interruption of services to the residents of San Antonio who depend on them.
ALTERNATIVES:
An alternative to entering into this Lease Agreement would be for Academia America, Inc. to start a search for another location with equally favorable lease terms in which to conduct training and provide various support services. However, it is very unlikely that lease terms as economically favorable will be achievable. Additionally, relocating would cause services to be suspended for an undetermined amount of time. By entering into this Lease Agreement with the City of San Antonio, Academia America, Inc. will not risk jeopardizing their ability to accomplish their mission goals and program objectives.
FISCAL IMPACT:
Academia America, Inc. will pay $5.00 in advance for rent for the entire five-year lease term and reimburse the City of San Antonio an estimated $3,677.00 for their pro-rata share of operating expenses, which will be deposited in the General Fund in accordance with the FY 2015 Adopted Budget.
RECOMMENDATION:
Staff recommends approval of this Lease Agreement between the City of San Antonio and Academia America, Inc., for space at the Frank Garrett Multi-Service Center for a five-year term.