Report Prepared by: Amanda Williams, Economic Development Associate
Title
SUBJECT: Approval of Six-Month Lease Extension Between the City of Merced and USPS (United States Postal Service) at the Bell Station (415 W. 18th Street)
REPORT IN BRIEF
Considers approving a six-month lease extension with USPS for office space at Bell Station, with a monthly rental rate of $5,563.25.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving the Lease Extension Agreement with the United States Postal Service for office space at the Bell Station with a monthly rate of $5,563.25; and,
B. Authorizing the City Manager to execute all necessary documents; and,
C. Authorizing Finance Officer to make the necessary budget adjustments.
Body
ALTERNATIVES
1. Adopt the motion as recommended by staff; or
2. Modify the action (specify in motion); or
3. Deny the action.
AUTHORITY
Section 200 of the City of Merced Charter.
CITY COUNCIL PRIORITIES
City of Merced Adopted Budget Fiscal Year 24/25, Section 7 - Bell Station Facility: Mission - Maintain and preserve the Bell Station as a historic icon in Downtown Merced.
DISCUSSION
The USPS currently occupies 4,305 square feet at the Bell Station that includes 3,740 square feet of dedicated space to their operations; the remaining square footage accounts for their share of the loading dock and lobby area (See Bell Station Floor Plan).
The United States Postal Service (USPS) has been a tenant of the Bell Station since 1933. Staff retained USPS as a tenant when the City acquired the Bell Station from the U.S. General Services Administration (GSA) in 2007.
Notable terms of the Lease Agreement include:
Parties: Lessor: City of Merced
Lessee: United States Postal Service (USPS)
Premises: The subject site is a portion of the City-owned Bell Station, located at 415 W. 18th Street.
Term: Six (6) month lease
Monthly Rate: $5,563.25
IMPACT ON CITY RESOURCES
The rent revenues generated are deposited into the Bell Station Fund Facilities Rental account 30022520-417309.
ATTACHMENTS
1. Lease Extension Agreement
2. Bell Station Floor Plan