patio space lease agreement at naftzger park … presentations/2019-09...2019/09/10 · patio space...
TRANSCRIPT
Patio Space Lease Agreement at Naftzger Park
(District I)
Department of Park and Recreation
September 10, 2019
Background
• Business will occupy commercial space on the east side of Naftzger Park
• Outdoor dining has been identified as a desired amenity in the redevelopment
• Lease agreement with Douglas Development, LLC
• Real property in the Naftzger Park Walk Area
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Analysis
• Leased premises used solely for outdoor dining
• Including service of food, alcoholic and non-alcoholic beverages
• Serving alcohol will require proper permitting and follow state laws
• Approximately 10 feet from the building and 175-225 feet running parallel to the building
• Construction or improvements on the leased premises will require written approval of the City
• Maintenance will be the responsibility of lessee with the exception of sidewalks, floors and pavers
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Leased Premises4
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Financial and Legal Considerations
• 10-year term
• First year rate of $2.50 per square foot
• Annual rate increase of 1.25%
• Anticipated annual revenue of $5,000 directed into park OCA for maintenance, repairs and operations
• Lease agreement written and approved as to form by Law Department
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Recommendation
• It is recommended that City Council approve the contract and authorize the necessary signatures
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Department of Park and Recreation
Serving You, In Many Ways, Every Day
Patio Space Lease Agreement at Naftzger
Park (District I)