This resolution approves a lease agreement for coffee shops in Terminal 3 and the Dianne Feinstein International Terminal at San Francisco International Airport. The lease is for 14 years with a potential 2-year extension, requiring minimum annual payments of $400,000 and $167,000 for different locations.
Resolution approving Terminal 3 Boarding Area E and Dianne Feinstein International Terminal Arrivals Coffee Shops Lease, Lease No. 26-0205, between SFO Hospitality Partners LLC, as tenant, and the City and County of San Francisco, acting by and through its Airport Commission, as landlord, for a 14-year term plus one option to extend the term by two years, and an initial minimum annual guarantee of $400,000 for the post security location and $167,000 for the pre security location.
How it got here
The legislation originated from the Airport Commission's decision to award a lease for coffee shops at San Francisco International Airport.
The Airport Commission authorized staff to commence a competitive selection process for the Terminal 3 Boarding Area E and Dianne Feinstein International Terminal Arrivals Coffee Shops Lease through a Request for Proposals (RFP).
Five proposals were received in response to the RFP, all meeting the minimum qualifications set forth in the RFP.
The Airport Commission awarded the Terminal 3 Boarding Area E and Dianne Feinstein International Terminal Arrivals Coffee Shops Lease to SFO Hospitality Partners LLC, based on the evaluation panel's recommendation.
The Airport Commission forwarded the proposed resolution for the lease approval to the Board of Supervisors, as required by the City Charter.
The resolution is currently pending committee action in the Board of Supervisors.
Reconstructed from attached documents & the official record