HomeMy WebLinkAbout05. Set Public Hearing for December 5, 2024 at 2:30 p.m. to receive comments and declare portions of 4737 Imhoff Place (APN 159-150-057) as currently unneeded, and authorize the General Manager or designee to execute lease agreementsPage 1 of 3
Item 5.
DCENTRALSAN
MEETING DATE: NOVEMBER 7, 2024
BOARD OF DIRECTORS
POSITION PAPER
SUBJECT: SETA PUBLIC HEARING FOR DECEMBER 5, 2024AT2:30 P.M. TO
RECEIVE COMMENTS AND DECLARE PORTIONS OF 4737 IMHOFF
PLACE (APN 159-150-057) AS CURRENTLY UNNEEDED, AND AUTHORIZE
THE GENERAL MANAGER OR DESIGNEE TO EXECUTE LEASE
AGREEMENTS FORA PERIOD NOT TO EXCEED TEN YEARS
SUBMITTED BY:
DANEA GEMMELL, PLANNING AND
DEVELOPMENT SERVICES DIVISION
MANAGER
INITIATING DEPARTMENT:
ENG-PDS-DIVISION MANAGER
REVIEWED BY: GREG NORBY, DEPUTY GM - ENGINEERING & OPERATIONS
Roger S. Bailey
General Manager
ISSUE
Leah Castella
District Counsel
The Board of Directors (Board) must conduct a public hearing to declare the land as unneeded and
authorize staff to execute a lease agreement on this land.
BACKGROUND
Central Contra Costa Sanitary District (Central San) owns approximately one and a half acres at 4737
Imhoff Place, just west of the Martinez Treatment Plant (Property). The parcel features a pre-existing,
permitted warehouse structure with 11 loading bays that have been used many years for commercial and
light industrial uses, storage, and loading and unloading uses in conformity with the local zoning code and
land use regulations. Central San has utilized parts of the Property in accordance with its needs, which use
varies from time to time, and leased the unneeded parts of the Property to obtain revenue for Central San.
November 7, 2024 Regular Board Meeting Agenda Packet - Page 17 of 40
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The leased area to tenants is currently 7,974 square feet with three current tenants (Ferros Woodworking,
Workman Glove, and AgLantis); Central San staff occupies 13,776 square feet within the warehouse
building.
To enter into new lease agreements with a term not to exceed ten years, the Board must declare the
Property as currently unneeded for Central San's purposes, functions, and duties. This designation will
allow staff to lease unneeded bays and generate market -rate income.
CEQA
The proposed lease of the Property is exempt from the requirements of the California Environmental
Quality Act (CEQA) under District CEQA Guidelines §15301, since it involves leasing an existing public
facility use.
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
unneeded if the property is to be leased.
Agreements to leases on property owned by Central San typically include provisions to terminate leases if
the property is ever needed for Central San's operations.
FINANCIAL IMPACTS
Leasing Criteria Item No. 3 of Board Policy BP 043 — Buffer Property Management states that "Market
lease rates or a comparable public benefit shall be charged to provide additional revenue to Central San
and its ratepayers." A rental survey for the current market rental rate was completed by Dunn & Associates
Real Estate Appraisers & Consultants on December 7, 2021, and a monthly lease rate was established
for the current tenants.
COMMITTEE RECOMMENDATION
The Real Estate, Environmental and Planning Committee reviewed this matter at its meeting on October
15, 2024 and recommended setting the public hearing.
RECOMMENDED BOARD ACTION
Set a public hearing for December 5, 2024 at 2:30 p.m. to receive comments and declare portions of
4737 1 mhoff Place (APN 159-150-057) as currently unneeded, and authorize the General Manager or
designee to execute lease agreements for a period not to exceed ten years.
Strategic Plan re -In
GOAL FOUR: Governance and Fiscal Responsibility
Strategy 3 - Maintain financial stability and sustainability
ATTACHMENTS:
1. Location Map
November 7, 2024 Regular Board Meeting Agenda Packet - Page 18 of 40
Page 3 of 3
Central San Property Management ATTACHMENT 1
On 4737 Imhoff Place Map Date9+30%2024
iQ Lease Number
0 Central San Operations
Q Lease/Use Agreement
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Note: Central San data as of November, 2021 This map is intended for property management reference purposes only-
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November 7, 2024 Regular Board Meeting Agenda Packet - Page 19 of 40