DEPARTMENT: Parks & Recreation
DEPARTMENT HEAD: Janet A. Martin
COUNCIL DISTRICTS IMPACTED: 10
SUBJECT:
Assignment of Lease Agreement from SportsAmerica, Inc. to Northeast Independent School District for the operation of Time Warner Cable Park located in Council District 10
SUMMARY:
This Ordinance authorizes the assignment from SportsAmerica, Inc. to Northeast Independent School District (NEISD) of a Lease Agreement for an initial term of twenty-five (25) years for the operation of Time Warner Cable Park located in Council District 10 and authorizing the negotiation and execution of an amendment of the Lease Agreement to effectuate the full transfer of all operations and leasehold interests of the sports complex to NEISD; no City funds are associated with this action.
BACKGROUND INFORMATION:
In August 1990, the City leased a 45.822 acre tract of land near the northeast corner of McAllister Park on Wetmore Road to SportsAmerica, Inc. for an initial term of twenty-five (25) years for the purpose of developing and managing a sports complex currently identified as Time Warner Cable Park. The City only provided property for the tenant funded improvements at the private-for-profit operated sports complex. The Lease Agreement was amended in 1991 to expand the premises to 56.685 acres, and was subsequently amended in support of improvements and extended the term through May 24, 2026.
NEISD informed the City of the proposed purchase of improvements at the sports complex from SportsAmerica, Inc. with the intent to assume full operations on a permanent basis under the assignment of the leasehold interest from SportsAmerica, Inc. While this is allowed under the existing agreement, as a school district NEISD requires a fully amended contract reflecting modified lease terms. As a result, the proposed modified agreement has a term of twenty-five (25) years with one (1) renewal option of the same length, and NEISD will be solely res...
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