city of San Antonio


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File #: 19-1445   
Type: Real Property Lease
In control: City Council A Session
On agenda: 1/31/2019
Posting Language: Ordinance amending a 5 year lease agreement with Hackberry Investors, Ltd., for office space located at 512 E. Highland Blvd., expanding the space to be used by the San Antonio Metropolitan Health District, for the rental amount of $2,693.83 per month during the first year, increasing to $2,788.00 per month during the fifth year. The amended portion of the lease will be paid through the REACH Grant that was approved through Ordinance 2018-06-21-0486. [Lori Houston, Assistant City Manager; John Jacks, Director, Center City Development and Operations].
Attachments: 1. Lease Amendment, 2. Form 1295, 3. Disclosure Form, 4. Draft Ordinance, 5. Ordinance 2019-01-31-0101
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DEPARTMENT: Center City Development & Operations


DEPARTMENT HEAD: John Jacks


COUNCIL DISTRICTS IMPACTED: 3


SUBJECT:

Amendment of Lease Agreement with Hackberry Investors, Ltd.


SUMMARY:

An Ordinance authorizing an Amendment of Office Lease between the City of San Antonio and Hackberry Investors, Ltd., for office space located at 512 E. Highland Blvd., for the expansion of space to be utilized by the Metropolitan Health District (SAMHD) for its Racial and Ethnic Approaches to Community Health (REACH) Program, for a term of five years, for the initial monthly rental amount of $2,693.83 during the first year, escalating to $2,788.00 during the fifth year, with the option to terminate the lease annually with 150 days' notice.



BACKGROUND INFORMATION:

The Metropolitan Health District (SAMHD) has been a tenant at 512 E. Highland Blvd. since February 2014, as a location for its Sexually Transmitted Disease Clinic. In September of 2018, the SAMHD was awarded up to five years of grant funding from the Centers for Disease Control and Prevention to implement the Racial and Ethnic Approaches to Community Health (REACH) Program and authorized 10 positions. The purpose of the REACH grant is to reduce the health disparities experienced by people of color in San Antonio, and strategies include tobacco prevention, improving food systems, and creating community-clinical linkages. In effort to accommodate the REACH Program Staff, the SAMHD would like to take advantage of the opportunity to locate the program in the building at 512 E. Highland Blvd., by amending their current lease agreement to add 1,662 square feet of office space to the existing 12,251 square foot leased premises, for a term of five years.


ISSUE:

The SAMHD has an immediate need for space in which to locate its REACH Program. This action will serve to resolve that need by timely providing space with favorable lease terms, ample parking and termination options.



ALTERNATIVES:

The City c...

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