DEPARTMENT: Parks & Recreation
DEPARTMENT HEAD: Janet Martin, Acting Director
COUNCIL DISTRICTS IMPACTED: 10
SUBJECT:
License Agreement for use of Salado Creek Greenway Property located on Ira Lee Road
SUMMARY:
This Ordinance authorizes a three (3) year License Agreement with two (2) administrative one-year renewal options with Northeast Golf Center, LLC for use of Salado Creek Greenway property at 450 Ira Lee Road located in Council District 10 for the operation of a golf driving range and related activities consistent with parkland use.
BACKGROUND INFORMATION:
In 2006, the City accepted a donation of property from Oakwell Holdings, LLC as part of the Salado Creek Greenway development. The donation of the land included the assignment of a lease for the Northeast Golf Center, which sits entirely upon a former landfill of approximately twenty-one (21) acres. At the time of assignment to the City, rent was established at $31,000.00 annually and allowed for an adjustment based on market rate. This agreement ended January 31, 2015.
Though the previous ground lease was market driven, local conditions such as prolonged road construction in the immediate area; San Antonio Water System sewer development along Ira Lee Road; and a heavy equipment staging area adjacent to the property, the operator has determined business is no longer viable under the same operating terms. Due to property use constraints, existing compatible public recreational opportunities, and benefit of sustaining an ongoing presence on this isolated segment of the greenway, a revised rental rate methodology is recommended.
The term of the proposed new License Agreement is for three (3) years with two (2) administrative one-year renewal options effective February 1, 2015, through January 31, 2018. This includes annual rent in the amount of $7,800.00, full maintenance responsibility for the Northeast Golf Center, and a minimum of $2,000.00 annually in ...
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