REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Al Zelinka, City Manager
VIA: Ursula Luna-Reynosa, Director of Community Development
PREPARED BY: Kriss Casanova, Economic Development Manager
Subject:
title
Approve and authorize execution of Amendment No. 1 to License Agreement between the City of Huntington Beach and PCH Beach Resort, LLC, for the beach concession at 21529 Pacific Coast Highway
body
Statement of Issue:
The City Council is asked to approve Amendment No. 1 ("Amendment") to the License Agreement ("Agreement") between the City and PCH Beach Resort, LLC ("Licensee") to operate the beach concession located at 21529 Pacific Coast Highway ("Shor Concession"). The Amendment outlines all necessary permits and conditions to serve alcohol responsibly on the licensed site and updates the site plan.
Financial Impact:
The Agreement generates approximately $13,500 annually in base rent revenue to the City in addition to shared percentage of revenue based on low (5%), middle (10%), and peak (12%) seasons. Revenue is deposited into the General Fund and is expected to increase with the addition of alcohol sales.
Recommended Action:
recommendation
A) Approve "Amendment No. 1 to License Agreement Between the City of Huntington Beach and PCH Beach Resort, LLC" for the Concession Stand at 21529 Pacific Coast Highway; and,
B) Authorize the Mayor, City Manager, and City Clerk to execute the Amendment and other related documents.
end
Alternative Action(s):
Do not approve the Amendment and direct staff accordingly.
Analysis:
In 2017, the City and Licensee entered into an Agreement for the Shor Concession affiliated with the Hyatt Regency Huntington Beach Resort and Spa. The concession provides amenities for beachgoers and hotel guests including food, ice, sunscreen, and firewood. The Agreement has a ten-year term with two five-year extension options and includes a monthly base rent with sha...
Click here for full text