File #: 2024-627   
Type: Administrative Item Status: Passed
In control: Board of Commissioners
On agenda: 11/26/2024 Final action: 11/26/2024
Title: Second Amendment to Lease Agreement with Metropolitan Council for Leased Space in the Metro Square Building
Sponsors: Property Management
Attachments: 1. Second Amendment to Lease Agreement, 2. Resolution

                                                                                                         

Sponsor: Property Management

 

Title

title

Second Amendment to Lease Agreement with Metropolitan Council for Leased Space in the Metro Square Building

end

 

Recommendation

recommendation

1.                     Approve the second amendment to the lease agreement with Metropolitan Council, 390 Robert Street North, Saint Paul, MN 55101, for space at Metro Square, 121 7th Place East, Saint Paul, MN 55101, to extend the lease for the period of March 1, 2025 through December 31, 2025, at a negotiated rate.

2.                     Authorize the Chair and Chief Clerk to execute the lease amendment.

end

 

Background and Rationale

body

The Metropolitan Council has leased space at Metro Square since March 2018, initially using it for the Gold Line Bus Rapid Transit (BRT) Project Office. On February 22, 2022, Metropolitan Council expanded the use of the office to include support for the Purple Line BRT Project Office. 

 

The current lease term is to expire February 28, 2025. While the Gold Line BRT is scheduled to open March 2025, there will still be follow-up and closeout tasks to be completed before staff can transition to new projects. The Purple Line BRT is actively evaluating its needs and opportunities through various partnerships. 

 

Since neither project will be ready to vacate the office space by the current lease expiration date, a request has been made for a short-term lease extension until further clarity about the project future is established. 

 

Property Management supports extending the lease for the Metropolitan Council at Metro Square and has negotiated a ten-month lease extension at market-rate pricing.

end

 

County Goals (Check those advanced by Action)

       Well-being             Prosperity                 Opportunity                 Accountability

 

Racial Equity Impact

The racial equity impact of this lease amendment is unknown.

 

Community Participation Level and Impact

There is no community engagement related to the lease amendment.

  Inform              Consult                                 Involve                      Collaborate        Empower                     

 

Fiscal Impact

The second lease amendment includes a rate of $20.89 per square foot or $166,740 for the term of the ten-month lease extension. Revenues from the lease extension and corresponding expenditures will be incorporated into the 2025 Property Management operating budget.

 

 

Last Previous Action

On February 22, 2022, the Ramsey County Board of Commissioners approved the first lease amendment with Metropolitan Council to allow for use of the leased space in Metro Square by the Purple Line BRT Project Office (Resolution B2022-055).

 

Attachments

1. Second Amendment to Lease Agreement