Special Notice/Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Michael P. Callagy, County Executive
Subject: Lease Agreement with Coastside Fire Protection District for 531 Obispo Road, El Granada (Lease No. 1347)
RECOMMENDATIONS:
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Adopt a resolution authorizing:
A) The President of the Board of Supervisors to execute a Lease Agreement (“Agreement”) with the Coastside Fire Protection District, to allow the Sheriff’s Office and County’s Emergency Services Bureau to lease the property known as 531 Obispo Road, El Granada, San Mateo County Assessor’s Parcel Number 047-264-030 (“Property”), for an initial term of twenty years, commencing August 1, 2024 through July 31, 2044, at an initial monthly Base Rent of $5,547 ($1.50 per square foot), with 3 percent annual increases thereafter, together with two additional five-year options to extend; and
B) The County Executive, or their designee, to accept or execute notices, options and documents associated with the Agreement including, but not limited to, extension or termination of the agreement under the terms set forth therein.
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BACKGROUND:
The County leases locations for general Sheriff’s Office use throughout the County. This Board has permitted the Sheriff’s Office use of additional leased sites for Sheriff’s operations and activities.
The Property is comprised of an approximately 3,698 square feet building within a parcel of approximately 12,458 square feet, located at 531 Obispo Road in El Granada.
The County proposes to occupy the Property as an office for the all-hours use of the personnel and the storage of the Sheriff’s Office and the County’s Emergency Services Bureau.
DISCUSSION:
It has been determined that the Property is suitable for the intended use by the Sheriff’s Office and the County’s Emergency Services Bureau.
An Agreement has been negotiated for a term of twenty years at an initial base rent of $5,547 per month, with annual 3 percent increases through the end of the term, with two five-year options to extend. The County is responsible for all taxes, insurance, repairs, and maintenance of the Property subject to certain structural exclusions. Certain site improvements to the building and premises will be made at the cost and expense of the County.
|
Cost of Lease Assessment |
Lease Base Rent 531 Obispo Road El Granada |
Avg. Base Rent Coastside |
|
Monthly Rental Rate: |
$1.50 NNN |
$2.91 NNN & Modified Gross |
Sea Level Rise Impact evaluation has been conducted in accordance with the 2019 San Mateo County Sea Level Rise Policy for County Facilities which requires evaluation of sea level rise risk at least 50 years beyond the date of acquisition. Based on a review of the property characteristics, this property is not subject to the Sea Level Rise Policy.
EQUITY IMPACT:
The County of San Mateo is dedicated to ensuring equitable access to quality services for all residents. The County acquires and leases real property to ensure all residents can access services in the locations and facilities best suited to their specific purposes and location. This acquisition will further the County’s ability to ensure that critical services for residents can continue to be met.
FISCAL IMPACT:
The funds set forth herein are included in the Sheriff’s Office Fiscal 2023-2024 Budget.