DATE: June 4, 2024
TO: Board of Supervisors
SUBMITTED BY: Edward Hill, Chief Operating Officer/Interim Director of Internal Services/Chief Information Officer
Sanja Bugay, Director, Department of Social Services
SUBJECT: Coalinga Plaza Lease Agreement
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute a Lease Agreement, including an Option to Purchase, with McMahan-Kays, LLC, c/o Douglas Kays, for approximately 21,130 square feet of office space, together with related improvements and parking, located in Coalinga, CA, for use by the Department of Social Services, effective upon execution for a ten-year term, with base rent not to exceed $3,360,000, and estimated possible additional rent of $1,301,880, for a total maximum rent of $4,661,880 for the 10-year term, and set the purchase price to $240,000;
2. Authorize the Director of the Internal Services Department/Chief Information Officer, or their designee, to approve and execute, upon review and approval as to legal form by County Counsel, an Estoppel Certificate, and Subordination and Non-Disturbance Agreement relating to the recommended Lease Agreement, if County is so requested by McMahan-Kays, LLC, c/o Douglas Kays, to sign such documents; and
3. Authorize the Director of Internal Services/Chief Information Officer, or designee, to approve and execute (or accept, as applicable), (a) upon review and approval as to legal form by County Counsel, the Memorandum of Lease, and any notices and documents, instruments, certificates, and documents, relating to the consummation of the recommended Lease Agreement, and (b) any notices and documents relating to the County's administration of the leased premises under the recommended Lease Agreement.
REPORT
There is no additional Net County Cost associated with the recommended actions, which will authorize the County, through the Department of Social Services (DSS), to continue to lease the space located at 311 and 353 Coalinga Plaza, Coa...
Click here for full text