File #: 23-134    Version: 1 Name:
Type: Consent Item Status: Passed
File created: 1/26/2023 In control: City Council/Public Finance and Economic Development Authority/Parking Authority/Successor Agency to the Redevelopment Agency
On agenda: 5/15/2023 Final action: 5/15/2023
Title: SUBJECT: Approval of a Third Amendment to the Lease Agreement Between the City of Merced and Kaljian Family Revocable Trust for the Evidence Storage Facility at 450/460 Grogan Avenue REPORT IN BRIEF Considers approving the third amendment to the lease agreement exercising an option to extend the lease 5-years with a new lease rate for a ?10,410 square foot warehouse and ?1.12-acre yard for use by the Merced Police Department with the Kaljian Family Revocable Trust. RECOMMENDATION City Council - Adopt a motion: A. Approving the Third Amendment to the Lease Agreement with the Kaljian Family Revocable Trust for the facility and yard at 460 Grogan Avenue extending the lease for five years with new lease rates; and, B. Authorizing the City Manager or Deputy City Manager to execute the necessary documents.
Attachments: 1. Kaljian Lease Agreement 3rd Amendment.pdf, 2. Kaljian Lease Agreement 2nd Amendment.pdf, 3. Kaljian Lease Agreement 1st Amendment.pdf, 4. Kaljian Original Lease Agreement.pdf
Report Prepared by: Lt. Joey Perez, Police Department

Title
SUBJECT: Approval of a Third Amendment to the Lease Agreement Between the City of Merced and Kaljian Family Revocable Trust for the Evidence Storage Facility at 450/460 Grogan Avenue

REPORT IN BRIEF
Considers approving the third amendment to the lease agreement exercising an option to extend the lease 5-years with a new lease rate for a ?10,410 square foot warehouse and ?1.12-acre yard for use by the Merced Police Department with the Kaljian Family Revocable Trust.

RECOMMENDATION
City Council - Adopt a motion:

A. Approving the Third Amendment to the Lease Agreement with the Kaljian Family Revocable Trust for the facility and yard at 460 Grogan Avenue extending the lease for five years with new lease rates; and,

B. Authorizing the City Manager or Deputy City Manager to execute the necessary documents.

Body
ALTERNATIVES
1. Approve, as recommended by staff, or,
2. Approve, subject to other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for reconsideration of specific items (specific items to be addressed in the motion); or,
5. Continue to a future meeting (date and time to be specified in the motion).

AUTHORITY
Charter of the City of Merced, Section 200

CITY COUNCIL PRIORITIES
As provided for in the 2022-23 Adopted Budget

DISCUSSION
The City of Merced negotiated a 5-year Lease Renewal with the Kaljian Family Revocable Trust for a ?10,410 square foot warehouse and ?1.12 acre storage yard on behalf of the Merced Police Department (Attachment 1). Currently, the Police Department are using the building and yard for evidence storage. The proposed lease renewal represents rent for the building and outdoor storage area would be $7,605.00 per month starting March 1, 2023. The monthly rent shall be adjusted annually on March 1st of each year, in accordance with the change in the State of Calif...

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