COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Kelly Garry, City Attorney
SUBJECT:Title
Discussion and Action: Lease Agreement for 631 London Bridge Road with the Lake Havasu Yacht Club (Kelly Garry)
Body
FUNDING SOURCE:
General Fund (Revenue)
PURPOSE:
To consider a Lease Agreement for 631 London Bridge Road with the Lake Havasu Yacht Club.
BACKGROUND:
Lake Havasu City and the Lake Havasu Yacht Club entered into a Lease Agreement for 631 London Bridge Road in 1986 for a thirty-year term. At that time, 631 London Bridge Road was an undeveloped piece of property. The Lease Agreement authorized the Yacht Club to construct a building on the property as well as to provide parking and landscaping. The Yacht Club was required to maintain all structures, parking surfaces, landscaping, and other appurtenances of the property. Lessee was authorized to use the Property for its club purposes, but the Yacht Club also agreed to provide certain programs, classes and use of its facilities. The parties entered into an Addendum to the Lease Agreement in November of 1999 extending the lease until 2026.
This proposed Lease Agreement is for a ten-year term expiring on June 30, 2036. The Yacht Club must continue to maintain and keep the buildings, parking area, and common facilities in good order, condition, and repair. The Yacht Club agrees to make the facilities available for meetings and functions conducted by service clubs, fraternal orders, charitable organizations, and other civic groups as is reasonable. Further, the Yacht Club agrees to make the facilities available for the City’s use at least four times per month, as agreed upon and scheduled in advance, to conduct classes, programs, meetings, and activities facilitated through the City’s Parks and Recreation Department. The Yacht Club is responsible for all utilities, maintenance, and repair. In consideration of the Yacht Club’s responsibilities with respect to the property and the facilities as well as the City’s use of the facilities, an annual rent is proposed at $1,248. The proposed Lease Agreement may be terminated by either party upon 365 days’ written notice.
COMMUNITY IMPACT:
Supporting beneficial community services.
FISCAL IMPACT:
Annual lease revenue of $1,248.
ATTACHMENTS:
Lease Agreement
POSSIBLE MOTION:Recommended Action
I move to approve the Lease Agreement with the Lake Havasu Yacht Club.
I move to not approve the Lease Agreement with the Lake Havasu Yacht Club.