Subject:
Title
Resolution and Lease Agreement with Star-Tec Enterprises, Inc., dba TEC-Garage, for office space.
label
Recommended Action:
Recommended Action
Approval of the Lease Agreement (Lease) with Star-Tec Enterprises, Inc., dba TEC-Garage (TEC-Garage), for office space within the County building located at 501 1st Avenue North, Saint Petersburg (501 building).
Body
Strategic Plan:
Foster Continual Economic Growth and Vitality
4.1 Proactively attract and retain businesses with targeted jobs to the county and the region
Deliver First Class Services to the Public and Our Customers
5.1 Maximize partner relationships and public outreach
5.3 Ensure effective and efficient delivery of county services and support
Summary:
This Lease Agreement provides office space to the TEC-Garage to accommodate a new business incubator facility. This is intended to be an interim location for the TEC-Garage between their current location and as the Economic Development Authority’s permanent standalone facility. The initial term is one (1) year, with automatic one (1) year renewals.
Background Information:
The County, through its Economic Development Authority (EDA), has committed funding and/or space for business incubator and accelerator activities since 2003. Tampa Bay Innovation Center (TBIC), the current provider of incubator services, was previously located in the County’s STAR Center facility, and operated by STAR-TEC Enterprises, Inc. (STAR-TEC). Furthermore, through a competitive solicitation, TBIC was selected as the EDA’s operator for their future downtown St. Petersburg new business incubator.
Due to a pending sale of the STAR Center, STAR-TEC commissioned a feasibility study to determine if a new incubator elsewhere in the region would be successful. The feasibility study recommended a downtown St. Petersburg location, and subsequently STAR-TEC relocated the TBIC to the downtown campus of St. Petersburg College (SPC) in 2016. Named the TEC-Garage, the program includes both incubating and co-working space components.
The 6,000 rentable square feet (RSF) of space at the downtown SPC campus is too small to accommodate TBIC’s current needs and future growth. The space on the eighth and ninth floors at the 501 Building is significantly larger, with a total of 18,920 RSF. The space at the 501 Building has been vacant since the formal tenant surrendered the space at lease expiration; approximately five (5) years ago.
Fiscal Impact:
No rent will be paid by TEC-Garage for the term of this Lease. The rent free space is being provided in combination with EDA funding for business incubation services. The current operating costs are approximately $5.00-6.00 per square foot.
Staff Member Responsible:
Andrew W. Pupke, Director, Real Estate Management
Mike Meidel, Director, Economic Development
Partners:
Star-Tec Enterprises, Inc.
Attachments:
Lease Agreement
Location Map