Explanation
Background: This legislation authorizes the Director of Development to execute a new Lease Agreement with Bongobondu, LLC, as the Subway Restaurant Tenant, for 1,300 rentable square feet of retail space located on the first floor at 1418 Cleveland Avenue. Cleveland Ave Subs, LLC, successor to Subway Real Estate, LLC, has been a tenant in the building since 2004. The Franchisee is selling this location to a new operator requiring the termination of the existing lease with Cleveland Ave Subs, LLC and entering a new lease with Bongobondu, LLC. The new lease will be for a five (5) year term with one (1) renewal option for an additional term of five (5) years.
Emergency action is requested so that the new lease agreement may be in effect prior to the franchise transfer and Subway’s operation may continue uninterrupted.
Fiscal Impact: The lease will generate an annual rental income to the City of $24,700.00.
Title
To authorize the Director of Development to execute a Lease Agreement with Bongobondu, LLC, and terminate the Lease Agreement with Cleveland Ave Subs, LLC, for retail space at 1418 Cleveland Avenue; and to declare an emergency. ($0.00)
Body
WHEREAS, the Department of Development through its Real Estate and Land Redevelopment Office, leases retail space at the City-owned property at 1402-1418 Cleveland Avenue; and
WHEREAS, the existing Subway store is being sold to a new operator, and it is necessary to enter into a new Lease Agreement with the new Tenant, Bongobondu, LLC, and terminate the Lease Agreement with Cleveland Ave Subs, LLC, prior to the corporate transfer of this store; and
WHEREAS, the Department of Development, Real Estate and Land Redevelopment Office, has negotiated the terms and conditions of the new lease that are acceptable to the City; and
WHEREAS, an emergency exists in the usual daily operations of the Development Department in that it is immediately necessary to authorize the Director of the Department of Devel...
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