This resolution allows the Human Services Agency to expand its lease at 2 Gough Street by adding nearly 8,000 square feet, bringing the total leased area to about 21,876 square feet, with an annual rent of $260,090 until June 30, 2025. It also gives the Director of Property the authority to make minor adjustments to the lease as needed.
Resolution approving and authorizing the Director of Property on behalf of the Human Services Agency, to amend the lease of real property at 2 Gough Street, with RACHRIS, LLC, a California limited liability corporation, adding 7,938 square feet for a total of 21,876 square feet for the remainder of the term expiring on June 30, 2025, at an initial base rent of $260,090 per year, with one option to extend for three years, effective upon approval of this Resolution; and authorizing the Director of Property to enter into any additions, amendments or other modifications to the lease that do not materially increase the obligation or liabilities of the City to effectuate the purposes of the Lease or this Resolution.
How it got here
The legislation originated from the need to expand the Human Services Agency's office space at 2 Gough Street to accommodate staff relocations and improve operational efficiency.
The Board approved Resolution No. 29-15, authorizing the lease of 13,938 square feet at 2 Gough Street for the Department of Disability and Aging Services (DAS).
The Board approved Resolution No. 213-20, allowing the Director of Property to exercise a five-year option to extend the lease at 2 Gough Street, expiring June 30, 2025.
The Director of Real Estate submitted a proposal to amend the lease to expand the premises by 7,938 square feet to facilitate staff relocations from 1650 Mission Street and 170 Otis Street.
The Budget and Finance Committee reviewed and recommended the lease amendment, which included a rent abatement and improvements to the new space.
The Board adopted the resolution approving the lease amendment, allowing the Human Services Agency to expand its office space at 2 Gough Street.
The lease amendment is set to commence, expanding the total leased area to 21,876 square feet with an initial base rent of $260,090 per year.
Reconstructed from attached documents & the official record
