HomeMy WebLinkAboutR10-Economic Development Agency
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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
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SvnoDsis of Previous CnMMissionlCnnn~i1/C~ittee Action(s):
None
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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
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Executive Dire tor
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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
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Commission/Council Rotes:
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KJH:JMW:0135g
COIMISSIORIlEETIRG AGEIIDA
Meeting Date: 05/10/1993
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Agenda Item IIuIIber:
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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.
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KJH:JMW:0135g
COIMISSIOR MBBTIIIG AGBlUlA
Meeting Date: 05/10/1993
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Agenda Itelll "'ber:
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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
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KJH:JMW:0135g
ClRIISSIOII ImBTIIIG AGDDA
Meeting Date: 05/10/1993
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Agenda Item llullber:
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C I T Y 0 F SAN B ERN A R D I
INTEROFFICE MEMORANDUM
CITY ADMINISTRATOR'S OFFICE
DATE:
April 20, 1993
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Administrator l:: EDA'"'' i-
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TO:
Timothy steinhaus, Agency
FROM: Shauna Clark, City Administrator
SUBJECT: Information Item -- May 10th Regular Agenda
COPIES:
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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
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SBeD SUP CT/CNTY CLRK TEL No.7143873055
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Apr 19.93 9:48 No.002 P.Ol
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Apr 19.93 9:48 No.002 P.02
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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.
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TEL No ,7143873055
Rpr 19.93 9:48 No,002 P,03
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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
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