title
Approve a 30 year Ground Lease Agreement with Solano Community College for a lease area of 45,875 square feet, for an initial annual rate of $42,277 to allow construction of a parking lot and sewer line improvements on the Nut Tree Airport; and Authorize the County Administrator to execute the agreement and any amendments
body
Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Department of General Services recommends that the Board of Supervisors:
1. Approve a 30 year Ground Lease Agreement with Solano Community College for a lease area of 45,875 square feet, for an initial annual rate of $42,277 to allow construction of a parking lot and sewer line improvements on the Nut Tree Airport; (Attachment A); and
2. Authorize the County Administrator to execute the agreement and any amendments.
SUMMARY:
Solano Community College, a California public community college, proposes to construct additional improvements including additional vehicle parking and a new sewer line and connection to the Airport's sewer system. The recommended action includes the approval of a long-term ground lease.
FINANCIAL IMPACT:
Annual rent on the ground lease will start at $42,277 per year and increase annually at a fixed rate of 3% over the term of the lease. The ground lease rate is based on current rates of comparable leases on the Airport and as advertised in Airport development marketing literature. Total rent collected during the first 10-year period of the lease will be $484,659. Over the 30-year lease term, rents collected by the County will total $2,011,348. Rent proceeds will go to the Nut Tree Airport in support of Airport operations and capital improvements.
The costs associated with preparing the agenda item are nominal and absorbed by the department's FY2020/21 Preliminary Budget.
DISCUSSION:
Development of the parking and sewer line improvements will be funded 100% by Solano ...
Click here for full text