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HomeMy WebLinkAboutR10-Economic Development Agency c c c .... - - o ,..-.., .....) DEVELOPMEIIT DEPARTMEIIT OF TIlE CITY OF SAB R1nI1IARDmo OODEST FOR COIMISSIOII/COlIIICIL ACTIOII From: KENNETH J. HENDERSON Executive Director Subject: FEDERAL RA...."'rrCY COURT u;rJUr.rIOR - DCA PARKIIIG LOT Date: April 30, 1993 ------------------------------------------------------------------------------- SvnoDsis of Previous CnMMissionlCnnn~i1/C~ittee Action(s): None ------------------------------------------------------------------------------- Recommended Motion(s): (COImUIlitv Deve101llllent Comaission) MOTIOR: That the Community Development Commission approve in concept the leasing of a vacant land parcel owned by the YMCA, the construction of parking lot improvements on said parcel and the subleasing of the improved parcel to the Federal Bankruptcy Court's landlord. Further, that the Economic Development Agency budget be increased by $280,000 plus monthly ground lease and maintenance costs. ~ Administrator ~ Executive Dire tor ------------------------------------------------------------------------------- Contact Person(s): Ken Henderson/John Wood 5081 Phone: Project Area(s): Central Citv (CC) Ward(s) : One (1) Supporting Data Attached: Staff ReDort. Plat MaD FUNDING REQUIREMENTS: Amount: $280.000 Plus Lease and Maintenance Source: Bond Proceeds Budget Authority: Reauested ------------------------------------------------------------------------------- Commission/Council Rotes: ------------------------------------------------------------------------------- KJH:JMW:0135g COIMISSIORIlEETIRG AGEIIDA Meeting Date: 05/10/1993 /0 Agenda Item IIuIIber: c c c o o DBVBLOPMBRT DBPARTMBRT OF THE CITY OF SAIl 1l1i:llllA'RDIRO STAFF REPORT Federal 1lJm1r.......tcv Court Retention - DICA par1rin. Lot In connection with our Federal Bankruptcy Court retention efforts, the local YMCA has offered to lease a vacant lot which it owns to BDA. This offer is important because one of the chief complaints of the judges about the Court's current location is a shortage of adequate, served parking. The lot is an approximately 40,000 square foot portion of Assessor's Parcel Number 0135-031-23 and may need to be split off from a portion of the parcel which has already been developed as a parking lot. The subject parcel is located on the east side of Arrowhead Avenue, between Sixth and Seventh Streets, and is situated a short distance south of the building occupied by the Bankruptcy Court at 699 North Arrowhead Avenue. Councilman Maudsley and staff met with representatives of the YMCA on Friday, April 30, 1993, and proposed a ground lease to Agency for ten (10) years with two (2) five (5) year extensions. The rent would be $1,000 per month for the first five (5) years, $1,200 for the second five (5) years, $1,450 for the third five (5) years and $1,850 for the final five (5) year period. Agency would be responsible for constructing the parking lot improvements, maintaining same and, at the end of the twenty (20) year lease term, would deed the improvements over to the YMCA for $1.00. The representatives of the YMCA stated that they would discuss the proposal at the next meeting of their Board of Directors. Staff has also worked with the Department of Public Works to arrive at a reasonably dependable estimate of parking lot construction costs for the subject property. The estimate assumes a fairly high grade of improvements including a short block wall with wrought iron fencing around the perimeter of the property and a security control access gate, and totals approximately $280,000 or $7.00 per square foot. This figure would probably set the lower limit of construction costs, given the level of amenities that the judges are likely to expect. If a still higher grade of improvements is desired including additional landscaping and higher candlepower lighting, such options could drive the per square foot cost to $9.00 or $10.00. ------------------------------------------------------------------------------- KJH:JMW:0135g COIMISSIOR MBBTIIIG AGBlUlA Meeting Date: 05/10/1993 /0 Agenda Itelll "'ber: c c c o o DEVELOPIIBIIr DBPh:...m.u STAFF IlBPORr YMCA PAllnIlG LOT April 30, 1993 Page II1aber -2- Beyond the expenses of ground leasing and construction of parking lot improvements, there are also maintenance expenses to consider. City Facilities Manager Steve Griffin has estimated the annual cost of maintaining a facility of this size at approximately $10,000 or $833 per month. City Risk Manager Victor Lorch has informed staff that there would be no new, ongoing expense for liability insurance, as the lot could simply be added to the list of other Agency-owned parking lots and vacant land at no additional cost. For purposes of subleasing the completed parking lot to the owners of the building in which the Bankruptcy Court is located, in staff's opinion the Agency should receive an eight percent (8%) return on its invested capital. Using the earlier construction estimate of $280,000, this would equate to an annual rental of $22,400 or $1,867 per month. Passing through the Agency's land rental expense of $1,000, and adding the investment return for parking lot construction of $1,867 results in a recommended base monthly rental amount of $2,867. In reality, however, the building owners can be expected to argue that, since the rental amount in their lease to the Bankruptcy Court is fixed, they cannot afford to pay anything for rental of the subject parking lot. Because of this, the Agency may have to consider these expenses as a contribution to the efforts to retain the Bankruptcy Court in downtown San Bernardino. Attached for your reference is a plat map showing the location and configuration of the subject property. Staff recommends adoption of the form motion. J. ERSOII, Executive Director Developaent De artaent ------------------------------------------------------------------------------- KJH:JMW:0135g ClRIISSIOII ImBTIIIG AGDDA Meeting Date: 05/10/1993 /0 Agenda Item llullber: c c c o o C I T Y 0 F SAN B ERN A R D I INTEROFFICE MEMORANDUM CITY ADMINISTRATOR'S OFFICE DATE: April 20, 1993 fij)~'';)150n l~r; :~~ I L____...._ irr!',\,,'" .----- Administrator l:: EDA'"'' i- ------~_.. TO: Timothy steinhaus, Agency FROM: Shauna Clark, City Administrator SUBJECT: Information Item -- May 10th Regular Agenda COPIES: ------------------------------------------------------------------- Attached is a letter from John Kennedy, Judge of the Superior Court, dated April 19, 1993, which we received via fascimile. Judge Kennedy is requesting that in the event the Bankruptcy Court vacates its current location the three family law judges from the Superior Court be relocated to the vacated quarters. The Mayor would like this item on the agenda for the next regular meeting of the Community Development Commission to be held May 10th. Please place this item on the agenda for "information only". ./I5u/:'~/ cIty Administrator SCjdjn Attachment (0 SBeD SUP CT/CNTY CLRK TEL No.7143873055 c::: Apr 19.93 9:48 No.002 P.Ol o f"'" ,,,,~,f ~/jA/ ;v,}J {lIf1f?' ~ if ~I ~jrJ r(rr fAX IKAIS!lIIAL !E!D TODAY'S DATE: if-fCJ-13 NO. OF PAGES 3 (iN}, CbWt) ................................................................. . TO: rn~or w.K" Holcomb c/f) LOrraJhe Vdarie... COMPANY: ~~ t>f" Sa." (;).no lOCATION: 3D!) N, 1'1))0 '5+.,C;Cdno '7~'ftg' , C FAX NO. :3 'l t.f~ 5 tffD I TELEPHONE NO. 3<tt.f - ~/ 33 COMMENTS: 'l~ aJl P113t's no+ -trMsm,'1IJ., ~ e~s< coJ1 AnY) lJa.,J ke1 a;;f 5 ~ 7 - 31' Q) ................................................................. FRO.h Jv-J.~c John W, k'Wnt:~" Jr. COMPANY: S~.e.rl' or (-Ok.rf f c..()~ ~f"' S, Cdno LOCATION: ~,'"O- ~ . FAX NO. 3~7 - 30~S" TELEPHONE 10. :sg7- 3gb/ .- ~ It) ~~LU ~U~ ll/lNTY CLRK TEL No.7143873055 ,... .,' c c C) Apr 19.93 9:48 No.002 P.02 :) CH"MI!U;Ae or ~4t '-1l.JTtrior <lI~ltd .JOt04N w. K~NNlEbv. .....,.JUDOI ".. NO"'... A""OWHI"~ AveNUE SIAN 8tHNA"OINO, C:,., .141.-0..0 April 19, 1993 The Honorable W. R. Holcomb Mayor CIty of San Bernardino 300 North "0" Street San Bernardino, CA 92418 Dear Bob: This follows up on our telephone conversation of last Thursday. If the Benkruptcy Court vacatas Its current location, it Is the wish of the three family law judges located In the San Bemarcllno COurt Housa that our departments be moved to the space vacated by the Bankruptcy Court. I should hasten to add that we have not lOOked over the faclllty now used by the Bankruptcy Court, and therefore, we are engaging In a certain amount of guesswork as to whether the space available WOUld suit our need8. Also, please keep In mind that any final decision would come from the Executive Committee of the Superior Court after consultation with the Board of Supervisol'$ and would depend on financial considerations beyond my power to control. The considerations that Impel Judge Ingro, Commissioner Vincent. and myself to seek a move to the Bankruptcy facility are: The current courthouse Is busting at Its seams. Removing three departments from the courthouse would free up space desperately needed to manage our burgeoning caseloads. Family law disputes tend to generate the highest level of danger and, corresPondingly, the highest need for security of any of the various JUdicial activities. If we were removed from the courthouse, with its numerous entrances and exits, and put In a smaller facility, security could be much better attended to. Our existing arrangement In the courthouse Is not user-friendly to litigants who lack child care and who are therefore required to bring their children with them to court. If we could design family law facilities from scratch, we could probably make adequate provision for child care. {;7 / !H~U ,SU, CT/CNTY CLPK c> o o TEL No ,7143873055 Rpr 19.93 9:48 No,002 P,03 ., . o c:> Judge Kennedy letter to Mayor Holcomb April 18, 1883 Page 2 ,.. we diSCU8Hd on the phone, the volume of family laW butin... Is enormous. and adequate parking would be Indispensable to making efficient UB& of the Bankruptcy Court facility. It would be necessary that the City or the landlord attend to our substantial parking needs. Sincerely, copy to: The Honorable Dennis G. Cole Presiding Judge of the Superior Court The Honorable John F. Ingro Judge of the Superior Court The Hon()rable Bobby R. Vincent Commissioner of the Superior Court (0