File #: 2025-010   
Type: Administrative Item Status: Passed
In control: Board of Commissioners
On agenda: 1/28/2025 Final action: 1/28/2025
Title: Seventh Amendment to Office and Warehouse Space Lease Agreement with State of Minnesota Explore Minnesota Tourism for Lease Space in the Metro Square Building
Sponsors: Property Management
Attachments: 1. Seventh Amendment to Lease Agreement, 2. Resolution

                                                                                                         

Sponsor: Property Management

 

Title

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Seventh Amendment to Office and Warehouse Space Lease Agreement with State of Minnesota Explore Minnesota Tourism for Lease Space in the Metro Square Building

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Recommendation

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1.                     Approve the seventh amendment to the lease agreement with state of Minnesota Explore Minnesota Tourism, 121 7th Place East, Suite 360, Saint Paul, MN 55101, for a reduction of 749 useable square feet of leased space in the Metro Square Building, 121 7th Place East, Saint Paul, MN 55101, for the period of February 1, 2025 through July 31, 2025.

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

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Background and Rationale

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Explore Minnesota Tourism currently leases 9,804 square feet of office space inside the Metro Square building, with a current lease end date of July 31, 2027.   

 

Property Management is completing several important projects at Metro Square that will provide enhanced amenity spaces, perform necessary building repairs, and equip existing and new county tenants from the East Kellogg building with updated workspaces in accordance with the county’s Flexible Workplace Policy and Workplace Standards. As part of a larger building system modification and waterproofing project, work is being completed on the north side of the Metro Square building. Inside the building, some temporary walls were installed to block off construction zones from work areas in a portion of the space leased by the state of Minnesota for Explore Minnesota Tourism.

 

Within the space leased to Explore Minnesota Tourism an area of 749 SF is temporarily unavailable to them in accordance with the sixth amendment. This seventh amendment has been negotiated to extend the period of rent abatement from February 1, 2025 to July 31, 2025 with a total decrease in rent of $7,981.

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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 for this lease amendment.

  Inform              Consult                                 Involve                      Collaborate        Empower                     

 

Fiscal Impact

This lease amendment extends the period of decreased monthly rent, and will decrease total projected revenue by $7,981, which is not accounted for in the 2025 Property Management budget. Explore Minnesota Tourism will continue to pay the difference in monthly rent and existing financed tenant improvements per the lease agreement.

 

 

Last Previous Action

On July 9, 2024, the Ramsey County Board of Commissioners approved the sixth amendment to the Lease Agreement with State of Minnesota Explore Minnesota Tourism (Resolution B2024-124).

 

Attachments

1. Seventh Amendment to Lease Agreement