Bill Type and Number: Ordinance 2007-101

Sponsor: Council President at the request of the Mayor

Date of Introduction: January 23, 2007

Committee(s) of Reference: F, TEUS

Date of Analysis: January 26, 2007

Type of Action: Approval of lease agreement

Bill Summary: The bill approves a lease agreement between the City and VyStar Credit Union for 4,956 sq. ft. of space in the Ed Ball Building for a credit union branch office. The lease is for a term of 5 years with 2 additional 5-year renewals. The lease rate begins at $20 p.s.f. in year one, and includes an escalator clause of 3% per year. The lease also includes 10 parking spaces in the building garage at the current market rate (currently $75 per month).

Background Information: The lease covers 3,072 sq. ft. on the ground floor and 1, 884 sq. ft. in the building’s basement. VyStar will pay a pro rata share of all escalatable building operating expenses.

Policy Impact Area: Public building rental; downtown retail development

Fiscal Impact: The initial lease rate is $8,260 per month or $99,120 per year, escalating at 3% per year.

Analyst: Clements