DEPARTMENT: Center City Development and Operations Department
DEPARTMENT HEAD: John Jacks
COUNCIL DISTRICTS IMPACTED: 1
SUBJECT:
La Villita Lease Agreement
SUMMARY:
This ordinance authorizes a La Villita lease agreement with the Orthodox Ecumenical Church, Inc. d/b/a Little Church of La Villita, effective July 1, 2016 through June 30, 2021.
BACKGROUND INFORMATION:
The Orthodox Ecumenical Church, Inc. d/b/a Little Church of La Villita (Little Church) has been a tenant within La Villita for over 50 years. The Little Church occupies buildings 12 and 13 and operates a sanctuary, food pantry, and artist gallery. The Little Church has been a month-to-month tenant since its last agreement expired July 31, 2015. The proposed agreement would allow the Little Church to remain in buildings 12 and 13 for an additional five-years effective July 1, 2016, and provides two, two-year renewal options. The Little Church will pay a monthly base rent rate of $1.15 per square foot for the artist gallery space totaling 642 square feet and $0.32 per square foot for the sanctuary, food pantry, and church administrative space totaling 3,611 square feet. CAM and utilities fees will also be assessed.
ISSUE:
Approval of this ordinance is consistent with the City's practice of leasing City-owned property in support of downtown retail activity.
ALTERNATIVES:
The City may elect not to approve this lease agreement, which would result in the Little Church's occupancy becoming at will or terminating.
FISCAL IMPACT:
The total amount to be paid the Little Church for the lease term effective July 1, 2016 is summarized below. The base rental rate will increase 2.00% annually and CAM and utilities fees will increase 2.5% annually.
Orthodox Ecumenical Church, Inc. d/b/a Little Church of La Villita
Lease Year
Monthly Base Rent
Monthly Utilities & CAM
Monthly Total
Yearly Total
July 1, 2016 - June 30, 2017
$1,893.82
$1,109.89
$3,00...
Click here for full text