M&C Review

COUNCIL ACTION:  Approved on 6/28/2016 
DATE: 6/28/2016 REFERENCE NO.: **L-15923 LOG NAME: 17ED ALLIANCELENDINGCORPLEASE
CODE: L TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT:   Authorize Execution of a Lease Agreement with Alliance Lending Corporation for Office Space in the Fort Worth Business Assistance Center Located at 1150 South Freeway (COUNCIL DISTRICT 8)
RECOMMENDATION:

It is recommended that the City Council authorize the City Manager to execute a Five-Year Lease Agreement with Alliance Lending Corporation for office space at the Fort Worth Business Assistance Center located at 1150 South Freeway.
 
DISCUSSION:

The historic James E. Guinn School campus is owned by the City of Fort Worth and managed by the Economic Development Department.  The Fort Worth Business Assistance Center is located in the former middle school on the campus and provides office, training and conference room space to organizations involved in small business development.

The lease terms of the Agreement between Alliance Lending Corporation (Lessee) and the City of Fort Worth (Lessor) are:

  • The lease begins July 1, 2016 and continues for five-years, with two five-year renewal term;
  • The lease space consists of Suite 215 located at 1150 South Freeway and the base rent will be $12.52 per square foot per year plus a monthly charge of $34.06 per phone line for telephone expenses.  The space will be used solely for the purpose of office space and/or education and training;
  • Lessor will cover building utilities, maintenance, security, janitorial and any taxes, if any, imposed on the property using currently budgeted funds (there will be no new impact to the general fund); and
  • Lessee may terminate the lease for cause or convenience and shall provide a Notice of Intent to Terminate.

The total annual revenue collected from this Agreement will be $44,107.96 which represents a total of $220,539.80 over the five-year term of the Agreement period.

The James E. Guinn School campus is located in COUNCIL DISTRICT 8, Mapsco 77K.
 
FISCAL INFORMATION/CERTIFICATION:

The Director of Finance certifies that the Economic Development Department will be responsible for the collection and deposit of funds due to the City under this Agreement, a total of $220,539.80 is expected to be received during the five years of the Agreement.  Upon receipt, these funds will be deposited into the General Fund, Lease Revenue Guinn School, which has total estimated revenue in Fiscal Year 2016 in the amount of $140,545.00 and year-to-date receipts in the amount of $79,640.98.

TO
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FROM
    Fund Department
ID		 Account Project
ID		 Program Activity Budget
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Submitted for City Manager's Office by:
Jay Chapa (5804)
Originating Department Head:
Robert Sturns (212-2663)
Additional Information Contact:
 
 
 
ATTACHMENTS
  Alliance Lending 1295 form.pdf
  BAC_Reference_Map.pdf