Title
Introduction of Ordinance Authorizing the City Manager to Execute a Lease for Building 39 with Pyka Inc. Located at 950 West Tower Avenue at Alameda Point, Alameda, California, for a Term of Eight Years with a Three-Year Extension Option.
In accordance with California Environmental Quality Act (CEQA), this action is categorically exempt from further environmental review pursuant to CEQA Guidelines Section 15301 (Existing Facilities). (Base Reuse 29061822)
Body
To: Honorable Mayor and Members of the City Council
From: Jennifer Ott, City Manager
EXECUTIVE SUMMARY
Staff recommends that the City Council authorize the City Manager to execute a lease with Pyka Inc. (Pyka), a designer and manufacturer of autonomous electric airplanes, for Building 39 located at 950 West Tower Avenue at Alameda Point for a term of eight years with a three-year extension option. The approximately 106,000-square-foot building is currently vacant and was formerly leased to the Delphi Company. As part of the lease terms, Pyka will also host an annual student science event for Alameda students.
BACKGROUND
The City of Alameda (City) owns the former airplane hangar located at 950 West Tower Avenue referred to as "Building 39" in trust for the State of California. Given that the building is located on lands designated as State Tidelands, the building may be leased, but it may not be sold.
In October 2022, the City issued a Request for Proposals for potential tenants to occupy the City-owned Building 39. In response, the City received three proposals for the building, including Pyka's proposal. Based upon a review of the proposals and the City's leasing, financial and economic development objectives for Alameda Point, staff initiated lease negotiations with Pyka for the building. Pyka is a designer and manufacturer of autonomous electric airplanes. Pyka is currently designing small, electric airplanes for specialized tasks and operations, such as agricultural spray operation...
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