Ordinance 3176CITY OF ALAMEDA ORDINANCE NO. 3176
New Series
APPROVING A LEASE AND AUTHORIZING THE CITY MANAGER
TO EXECUTE DOCUMENTS NECESSARY TO IMPLEMENT THE
TERMS OF THE LEASE WITH DELPHI PRODUCTIONS, INC. FOR
TEN YEARS WITH ONE FIVE -YEAR RENEWAL OPTION IN
BUILDING 39 AT ALAMEDA POINT, 950 WEST TOWER AVENUE
WHEREAS, Delphi Productions Inc. (Delphi) has been a tenant in Building 39
at Alameda Point since 1998; and
WHEREAS, Delphi currently occupies Building 39 on a lease which is set to
expire March 31, 2017; and
WHEREAS, Delphi's current lease for Building 39 will be terminated and
replaced by this new proposed lease once approved and executed; and
WHEREAS, Delphi provides comprehensive solutions for trade shows,
events, museums and retail environments throughout the world; and
WHEREAS, Delphi's capabilities range from creative development, design,
fabrication, production to project management, and total program support, as well
as in -house media and event production and extensive custom rental exhibit
programs; and
WHEREAS, in October 2011, Delphi merged with GGE which created an
organization with deeper expertise, broader capabilities and increased services
for tradeshow, event, museum, media and retail customers; and
WHEREAS, Building 39 is a large hangar of 106,000 square feet with land
and parking area; and
WHEREAS, The monthly base rent over the ten years is $55,120.00 for year
one, $56,773.60 for year two, $58,476.81 for year three, $60,231.11 for year four
$62,038.05 for year five, $63,899.19 for year six, $65,816.17 for year seven,
$67,790.65 for year eight, $69,824.37 for year nine, and $71,919.10 for year ten;
and
WHEREAS, there is one renewal option which would extend the Term for a
period of five years; and
WHEREAS, the tenant will be required to provide a security deposit equal to
$71,919 and the lease contains the standard insurance, indemnity, assignment
and termination clauses the ARRA required in its leases and compliant with the
Lease in Furtherance of Conveyance (LIFOC) with the United States Navy.
NOW THEREFORE, BE IT ORDAINED by the City Council of the City of
Alameda that by four affirmative votes that:
Section 1. The City Manager of the City of Alameda or his designee is hereby
authorized to negotiate, execute, for and on behalf of the City of Alameda, a
lease with Delphi Productions Inc. for Building 39 located at 950 West Tower
Avenue at Alameda Point for ten years with one five -year renewal option, subject
to such technical or clarifying revisions as are reasonably determined necessary
by the City Manager and approved by the City Attorney, and the City Clerk is
hereby authorized and directed to attest to the same.
Section 2. If any section, subsection, sentence, clause or phrase of this
ordinance if, for any reason, held to be invalid or unconstitutional, such decision
shall not affect the validity or constitutionality of the remaining portions of this
ordinance. The City Council of the City of Alameda hereby declares that it would
have passed this ordinance, and each section, subsections, clause, or phrase
hereof, irrespective of the fact that any one or more sections, subsections,
sentences, clauses and phrases are declared to be invalid and unconstitutional.
Section 3. This ordinance shall be in full force and effect from and after the
expiration of thirty (30) days from the date of its final passage.
_P
Presiding Officer of the City Council
Attest:
L &V-U.
Lara Weisiger, Ci Clerk
I, the undersigned, hereby certify that the foregoing Ordinance was duly and
regularly adopted and passed by the Council of the City of Alameda in a
regular meeting assembled on the 21st day of March, 2017, by the following
vote to wit:
AYES: Councilmembers Ezzy Ashcraft, Matarrese, Oddie,
Vella and Mayor Spencer — 5.
NOES: None.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official
seal of said City this 22nd day of March, 2017.
l Weisiger, C ty Clerk
City of Alameda
Approved as to form:
�- cam, ----
Janet C. Kern, City Attorney
City of Alameda