Title
RESOLUTION NO. 2025 - LEASE OF UTILITY PROPERTY AT 1440 INDUSTRIAL WAY
COUNCIL STRATEGIC INITIATIVE ADDRESSED:
Provide sustainable water quality & environmental infrastructure
Continue effective financial management
SUMMARY STATEMENT:
The City has purchased the property at 1440 Industrial Way currently occupied by Old School Choppers, a motorcycle, parts, and accessories sales and repair facility in business more than 4 years at that location. The City purchased this property for expansion of the Utility Operations Center and staff recommends executing a lease allowing the tenant to remain on the property until Utility Operations' plans to utilize the property have been approved and the city council appropriates funds to incorporate the property into the Utility Operations Center.
Staff and the current tenant recommend continuing with a month-to-month lease to provide flexibility to both parties. Based on appraised comparable lease rates, the tenant's current total lease payment of $2,300 per month is appropriate for this property.
Under RCW 35.94.040, the City is required to hold a public hearing and adopt a resolution authorizing declaring the property surplus to the City's current needs and authorizing leasing the property. A copy of the proposed lease is attached.
FINANCIAL SUMMARY:
The recommended total lease payment is $2,300 per month, which will be deposited 50% each into the Water and Sewer Utility funds.
RECOMMENDED ACTION:
Motion to approve Resolution No. 2025.