HomeMy WebLinkAbout04.e. Set public hearing on declaring property as unneeded and authorizing lease with Willows Center Concord, LLCCentral Contra Costa Sanitary District e
BOARD OF DIRECTORS
• •
POSITION PAPER
Board Meeting Date: September 18, 2014
Subject. SET A PUBLIC HEARING TO DECLARE LANDS AS CURRENTLY
UN- NEEDED AND AUTHORIZE STAFF TO EXECUTE A LEASE
AGREEMENT WITH WILLOWS CENTER CONCORD, LLC (APN
126- 440 -003)
Submitted By. Initiating Dept. /Div.:
Lisa Hiddleson, Prov. Sr. Right of Way Agent Engineering /Environmental Services
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
T. Brightbill — Senior Engineer
D. Gemmell — Environmental Services Division Manager
J. Petit — Director of Engineering
K. Alm Roger S. Bailey
Counsel for the District General Manager
ISSUE: District owned land must be declared un- needed by the Board before it can be
leased out.
RECOMMENDATION: Set November 6, 2014 at 2:00 p.m. as the date and time for a
public hearing to receive comments on declaring a portion of the parcel
(APN 126- 440 -003) contiguous with 1975 Diamond Boulevard, Concord as currently
un- needed, and authorizing the General Manager or his designee to execute a lease
agreement.
FINANCIAL IMPACTS: The proposed yearly rent is $15,256.00 per year with annual
increases at the lesser of 4% or San Francisco Region Consumer Price Index.
ALTERNATIVES /CONSIDERATIONS: The Board may decline to establish the
recommended public hearing date or may elect to choose a different date; however, a
public hearing must be held and the property must be declared as "currently
un- needed" if a new lease is to be executed.
BACKGROUND: The lease is for a portion of the 53,579- square foot strip of land that
the District owns in fee and through which the District's existing 72 -inch diameter A -Line
Interceptor passes. The fee strip is located between the Willows Shopping Center in
Concord and Interstate 680. Willows Center Concord, LLC, Lessee has been in
continuous possession of the property since January 1983. The District and the Lessee
entered into a property lease agreement for the subject property on January 20, 1983.
The lease had an initial term of twenty years, and was to automatically extend for an
additional twenty years at the end of the initial term, unless cancelled by either property.
California Health & Safety Code Section 6514.1(d), which became effective after the
date of the original lease, required that leases for periods longer than 10 years be
awarded through a competitive bid process. In light of the new regulation, the District
and Lessee mutually agreed to terminate the original lease on May 9, 2005 and entered
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POSITION PAPER
Board Meeting Date: September 18, 2014
Subject: SET A PUBLIC HEARING TO DECLARE LANDS AS CURRENTLY
UN- NEEDED AND AUTHORIZE STAFF TO EXECUTE A LEASE
AGREEMENT WITH WILLOWS CENTER CONCORD, LLC
(APN 126- 440 -003)
into the current lease for a term of ten years, expiring May 9, 2015. The lease use is
compatible with District use and County requirements.
RECOMMENDED BOARD ACTION: Set November 6, 2014 at 2:00 p.m. as-the date
and time for a public hearing to receive comments on declaring a piece of property
located within 1975 Diamond Boulevard, Concord (APN 126- 440 -003) as currently un-
needed, and authorizing the General Manager or his designee to execute a new lease
with Willows Center Concord, LLC for a term less than ten years.
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