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Ordinance 3394 CITY OF ALAMEDA ORDINANCE NO. 3394 AUTHORIZING THE INTERIM CITY MANAGER TO EXECUTE A NEW LEASE WITH KAI CONCEPTS, LLC., A CALIFORNIA LIMITED LIABILITY COMPANY, FOR SIXTY MONTHS FORA PORTION OF BUILDING 168, LOCATED AT 1651 VIKING STREET; AND A LEASE WITH KAI CONCEPTS, LLC., FOR SIXTY MONTHS FOR A PORTION OF PIER 1, LOCATED AT ALAMEDA POINT, ALAMEDA, CA WHEREAS, Kai Concepts, LLC, a California Limited Liability Company (Kai Concepts) has occupied a portion of Building 168 at 1651 Viking Street, Alameda, CA 94501 (Building 168), since 2013, and has used Building 168 for research and development of kite-powered craft; and WHEREAS, Kai Concepts has utilized a portion of Pier 1 at Alameda Point for water access to launch and test its kite-powered crafts since 2013; and WHEREAS, Kai Concepts' existing lease with the City of Alameda expired on October 26, 2025, and Kai Concepts has occupied Building 168, and a utilized a portion of Pier 1, under a temporary license agreement with the City; and WHEREAS; the City and Kai Concepts now desire to enter into a new lease agreement for Building 168 for a term of sixty (60) months (Building 168 Lease), and a new lease agreement for a portion of Pier 1 for a term of sixty (60) months (Pier 1 Lease); and WHEREAS; the monthly base rent for Building 168 is $23,000, or approximately $0.80 per square foot, with annual 3% increase thereafter for the remainder of the term, and the monthly base rent for Pier 1 is $4,150, with an annual increase of 3% for the remainder of the term; and, WHEREAS; the Building 168 Lease includes the City's right to terminate the lease with six (6) months prior written notice; and WHEREAS, the Pier 1 Lease provides that the tenant may be relocated to a substantially comparable section of pier with 90-days prior written notice; and WHEREAS, this action is exempt from the Surplus Lands Act; and WHEREAS; this action does not constitute a "project" as defined in California Environmental Quality Act (CEQA) Guidelines section 15378 and therefore no further CEQA analysis is required. Additionally, this action is categorically exempt from further environmental review pursuant to CEQA Guidelines Sections 15301 (Existing Facilities) and 15061(b)(3) (Common Sense); and WHEREAS; Kai Concepts will comply with all other leasing requirements including provisional insurance that is satisfactory to the City. NOW, THEREFORE, the City Council of the City of Alameda does hereby ordain as follows: Section 1. The Interim City Manager of Alameda is hereby authorized to execute on behalf of the City of Alameda a lease agreement with Kai Concepts, LLC, a California Limited Liability Company, for a portion of Building 168 located at 1651 Viking Street, at Alameda Point, Alameda California, for a term of sixty (60) months, subject to such technical or clarifying revisions as are reasonably determined to be necessary by the Interim City Manager and approved by the City Attorney, and the City Clerk is hereby authorized and directed to attest to the same. Section 2. The Interim City Manager of Alameda is hereby authorized to execute on behalf of the City of Alameda a lease agreement with Kai Concepts, LLC, a California Limited Liability Company, for a portion of Pier 1 located at Alameda Point, Alameda California, for a term of sixty (60) months, subject to such technical or clarifying revisions as are reasonably determined to be necessary by the Interim City Manager and approved by the City Attorney, and the City Clerk is hereby authorized and directed to attest to the same. Section 3. 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. Presidin ffi f e City Council Attest: Lara Weisiger, Citty Jerk City of Alameda * * * * * * I, the undersigned, hereby certify that the foregoing Ordinance was duly and regularly adopted and passed by Council of the City of Alameda in regular meeting assembled on the 3rd day of February 2026, by the following vote to wit: AYES: Councilmembers Boller, Daysog, Jensen, Pryor and Mayor Ezzy Ashcraft— 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 4th day of February 2026. Lara Weisiger, City Jerk City of Alameda APPROVED AS T • Yibin Shen, City orney City of Alame