This resolution allows the Department of Homelessness and Supportive Housing to extend its lease for office space at 601 Van Ness Avenue for three years, starting in August 2026, at an annual rent of $345,840, with yearly increases. It also gives the Director of Property the authority to sign necessary documents and make adjustments related to the lease.
Resolution authorizing the Director of Property, on behalf of the Department of Homelessness and Supportive Housing, to enter into a Lease Amendment for approximately 8,646 rentable square feet of office space located at 601 Van Ness Avenue, Suite P, with Opera Plaza L.P., for use as administrative offices, for an extended term to commence on August 1, 2026, and terminate on July 31, 2029, at the annual base rent of $345,840 ($40 per square foot) in the initial year of the extended term, plus an annual $1 per square foot increase each August 1 thereafter; and authorizing the Director of Property to execute documents, make certain modifications and take certain actions in furtherance of Lease Amendment and this Resolution, as defined herein.
How it got here
This legislation originated from the need to extend the lease for administrative offices used by the Department of Homelessness and Supportive Housing at 601 Van Ness Avenue.
The Board adopted Resolution No. 367-21, extending the initial lease term for the Department of Homelessness and Supportive Housing through July 31, 2026.
The City negotiated with Opera Plaza, L.P. to extend the lease term through July 31, 2026, with a rental rate adjustment.
The Director of Real Estate submitted a proposal to the Board to authorize a lease amendment extending the term to July 31, 2029, while lowering the base rent.
The Department recommended extending the lease to maintain operations while searching for a larger site for consolidation.
The resolution for the lease amendment was received from the Department of Homelessness and Supportive Housing.
The resolution was assigned to a committee for further consideration.
Reconstructed from attached documents & the official record