This resolution allows the Department of Child Support Services to lease office and storage space at 101 New Montgomery Street for seven years starting January 1, 2025, at an annual rent of $580,020, with a three percent increase each year. It also gives the Director of Property the authority to make minor changes to the lease as needed.
Resolution approving and authorizing the Director of Property, on behalf of the Department of Child Support Services, to lease real property comprising of 15,445 rentable square feet and 2,000 square feet of storage space located at 101 New Montgomery Street also known as 617 Mission Street from MacLean Properties, LLC and 101 New Montgomery Street LP, for an initial seven-year term, commencing January 1, 2025, through December 31, 2032, at an initial annual base rent of $580,020 with annual rent increases of three percent, plus a five-year option to extend; and to authorize the Director of Property to enter into amendments or modifications to the Lease that do not materially increase the obligations or liabilities to the City and are necessary to effectuate the purposes of the Lease or this Resolution.
How it got here
The legislation originated from the need to renew the lease for the Department of Child Support Services at 101 New Montgomery Street due to the expiration of the current lease.
The existing lease for 33,988 square feet at 101 New Montgomery Street, which has been in place since 1995, is set to expire.
The Real Estate Division, in consultation with the Department of Child Support Services and the City Attorney, negotiated a new lease for 15,445 square feet of office space and 2,000 square feet of storage space.
The Budget and Finance Committee reviewed the proposed lease agreement and recommended it for approval.
The Budget and Finance Committee recommended the resolution for the new lease to the Board of Supervisors.
The Board of Supervisors adopted the resolution approving the new lease for the Department of Child Support Services.
The Mayor approved the resolution, finalizing the lease agreement.
The new lease for 15,445 square feet of office space and 2,000 square feet of storage space officially commences.
Reconstructed from attached documents & the official record
