CITY OF EL PASO, TEXAS
AGENDA ITEM SUMMARY FORM
Details
District 2
Airport, Sam Rodriguez, (915) 212-7301
End
public hearing date: Click or tap to enter a date.
strategic goal:
Goal 1 - Create an Environment Conducive to Strong Sustainable Economic Development
subgoal: Choose an item.
SUBJECT:
APPROVE a Resolution / Ordinance / lease to do what? OR AUTHORIZE the City Manager to do what? Be descriptive of what we want Council to approve. Include $ amount if applicable.
Title
This Resolution is to authorize the City Manager to sign a Butterfield Trail Park Site Lease between the City of El Paso (“Lessor”) and CLK New-Star RE, LP (“Lessee”) for a portion of Lot 1, Block 3, Butterfield Trail Industrial Park, Unit One, Replat C, City of El Paso, El Paso County Texas, municipally known and numbered as 7120 Airport Road, El Paso, Texas. The initial lease term is five years with three (3) five-year options. The site is 51,251square feet at $1.12 per square foot and the annual rental rate is $57,401.12. The rate increased to $1.12 from $.51 an increase of $.61 per SF over the expiring lease and the square footage was reduced from 128,618 to 51,251.
End
Background / DISCUSSION:
Discussion of the what, why, where, when, and how to enable Council to have reasonably complete description of he contemplated action. This should include attachment of bid tabulation, or ordinance or resolution if appropriate. What are the benefits to the City of this action? What are the citizen concerns?
The original lease agreement between CLK New-Star, Inc. and the City of El Paso expired July 31, 2020. CLK requested a new lease and a reduction in square footage from 128,618 SF to 51,251 SF. The area removed from the ground lease was undeveloped and was designated for additional parking if needed. The requirements for parking did not increase during the previous lease term and due to the increase in the rental rate, CLK requested the undeveloped area be removed from the lease.
PRIOR COUNCIL ACTION:
Has the Council previously considered this item or a closely related one?
Council approved the expiring lease on July 11, 2000 with an effective date of August 1, 2000.
AMOUNT AND SOURCE OF FUNDING:
How will this item be funded? Has the item been budgeted? If so, identify funding source by amount numbers and description of account. Does it require a budget transfer?
N/A This is a revenue - generating item.
********************REQUIRED AUTHORIZATION********************
If Agenda Item Summary Form is initiated by Purchasing, client department should sign also