Subject:
Title
Fourth Amendment to the Lease Agreement with Janus Research Group, Inc. at the Young-Rainey STAR Center.
label
Recommended Action:
Recommended Action
Approval and execution by the County Administrator of the Fourth Amendment (Amendment) to the Lease Agreement with Janus Research Group, Inc. (Janus) at the Young-Rainey STAR Center (STAR Center). Body
Strategic Plan:
Foster Continual Economic Growth and Vitality
4.1 Proactively attract and retain businesses with targeted jobs to the county and region
Summary:
The purpose of this Amendment is to modify the lease renewal terms and rental increase rate for the next three years. The tenant requested the proposed changes.
Background/Explanation:
Janus has requested their lease renewal options and rates in the Third Amendment be modified to increase the two (2) one-year options to three (3) one-year options; and to reduce the rental rate increase to one (1%) percent for the year starting January 1, 2017 and then lock the rental increase rate at two (2%) percent for the next two (2) years.
The previously agreed upon annual rental rate increase is three (3%) percent. The space is a vehicle maintenance space and the tenant requires no improvements. The rental rate remains comparable to similar on-site space.
Janus leases 2,980 square feet of vehicle maintenance space in Building 700. Janus is a subcontractor to the STAR Center’s anchor tenant, and requires space to maintain federal government vehicle assets. Building 700 is located within the secured perimeter.
The lease has been in effect since January 2013. The First Amendment renewed the lease for one additional year. The Second Amendment renewed the lease for one additional year. The Third Amendment renewed the lease for one additional year with two (2) one-year options.
Fiscal Impact:
The rent payment starting January 1, 2017 will be $1,960.99 per month including sales tax and will increase by two (2%) percent starting January 1, 2018 and by another two (2%) percent starting January 1, 2019.
Delegated Authority:
Authority for the County Administrator to sign this fourth amendment is granted under Code Section 2-62(a)(5).
Staff Member Responsible:
Andrew W. Pupke, Director, Real Estate Management
Partners:
Economic Development Authority
Attachments:
Fourth Amendment to the Lease Agreement
Exhibit A to the Fourth Amendment
Lease Agreement
1st Amendment to Lease Agreement
2nd Amendment to Lease Agreement
3rd Amendment to Lease Agreement