DEPARTMENT: Center City Development and Operations
DEPARTMENT HEAD: John Jacks
COUNCIL DISTRICTS IMPACTED: 1
SUBJECT:
Third Renewal of Lease Agreement with the San Antonio Economic Development Foundation
SUMMARY:
This ordinance authorizes the Third Renewal of Lease Agreement with the San Antonio Economic Development Foundation (EDF) for the continued use of 2,824 S.F. of office space located at 203 S. St. Mary's Street, the City-owned International Center Building, for an additional five-year term effective October 1, 2019, for the initial annual rent of $38,343.36 increasing to an annual rent of $41,505.72 during the final year of the renewal term.
BACKGROUND INFORMATION:
In response to the constantly evolving development of policies and programs aimed at building upon San Antonio's long standing support of international trade, the City recently formulated a strategy that designates the EDF as the primary partner for fostering trading relationships between the local community, Mexico and Latin America. This action will extend the occupancy of the EDF programs currently located at the International Center Building through September 31, 2024 and serve to continue the City's support of the mission of the EDF.
ISSUE:
The current term of the lease has expired and as such, the lease term needs to be extended in order to ensure the continuation of the EDF's tenancy at the International Center Building.
ALTERNATIVES:
The City could choose not to renew the EDF Lease Agreement, however that would create an undue financial burden on the organization resulting from allocating resources to fund relocation expenses and potentially higher rental payments, rather than those funds being utilized to implement EDF's mission of promoting development of business opportunities in San Antonio.
FISCAL IMPACT:
Effective October 1, 2019, EDF will pay rent as follows:
Term
Monthly Rent
October 1, 2019 - September 30, 2020
$3,195.28
October 1, 2020 ...
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