Legislation Details

File #: 24-639   
Type: Consent Calendar Status: Passed
File created: 9/3/2024 In control: City Council/Public Financing Authority
On agenda: 9/17/2024 Final action: 9/17/2024
Title: Approve and authorize execution of a Lease Agreement with Ares Investment Group, LCC for a new police substation lease at 7711 Center Avenue, Huntington Beach
Attachments: 1. Att #1 Lease Agreement, 2. 9/13 Sup Com
REQUEST FOR CITY COUNCIL ACTION

SUBMITTED TO: Honorable Mayor and City Council Members

SUBMITTED BY: Eric G. Parra, Interim City Manager

VIA: Eric Parra, Chief of Police

PREPARED BY: Capt. Ryan Reilly and Ingrid Ono, Exec. Asst.

Subject:
title
Approve and authorize execution of a Lease Agreement with Ares Investment Group, LCC for a new police substation lease at 7711 Center Avenue, Huntington Beach
body

Statement of Issue:
The city currently rents a 1,030 square foot police substation at 17477 Beach Blvd. (the Oakview Substation) for $2,678 per month ($32,126 annually) and includes an annual CPI adjustment. The lease commenced on June 1, 2022, and is "month to month." The substation is not marked or staffed and does not accommodate interface with the public. The new police substation location at 7711 Center Avenue would accommodate the department's needs at a reduced cost.

Financial Impact:
The proposed lease at 7711 Center Avenue is set to commence on October 1, 2024, with an initial term of five years, and the transitioning to a month-to-month basis thereafter. The rent for the first five years is $0 per month. Upon approval, the city will terminate the existing Oakview Substation lease, leading to an estimated savings of approximately $175,000 in rent over the next five years.

Recommended Action:
recommendation
Approve and authorize the Mayor and City Clerk to execute lease agreement with Ares Investment Group, LCC for the lease of a new police substation lease at 7711 Center Avenue, Huntington Beach.
end

Alternative Action(s):
Do not approve the recommended action, and direct staff accordingly.

Analysis:
The police department requests the City Council to approve the attached lease agreement for a new 1,595 square foot police substation at 7711 Center Avenue, Suite 110. This lease will commence on October 1, 2024, with a term of five years, transitioning to a month-to-month basis thereafter. The rent for the first five years is $0 pe...

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