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HomeMy WebLinkAboutCC 2025-02-11_10b Lease Agreement for 138 East Branch Street_PP AUTHORIZATION OF LEASE AGREEMENT FOR CITY PROPERTY 138 E. BRANCH STREET 1 Background Current lease – set to expire February 28, 2025 Annual Rental Fee - $1,140 5-year term, two 5-year extensions Gina’s Italian Restaurant seeks new lease 2 Analysis City-owned ROW Proposed Lease Term – 3 years with two 2-year extensions Cost - $425 per month ($5,100 annually) Represents $1 per square foot per month 3 Comparison Similar to outdoor dining leases in area City of SLO - $1 per square foot Consistent with adopted parklet ordinance 4 1) Adopt a Resolution authorizing the City Manager to execute a new lease agreement between the City of Arroyo Grande and Gina’s Italian Restaurant subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney; and 2) Determine that the authorization of a lease agreement is not a project subject to CEQA because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. Recommendation 5