Title
Introduction of Ordinance Approving A Purchase And Sale Agreement of Building 40, Located At 800 West Tower Avenue at Alameda Point, with Bladium, Inc., a California Corporation (Purchase Price: $7,900,000); and Recommendation to Accept a Reduction in the Exclusivity of Recreational Use Clause Included in the Original Lease. [In accordance with the California Environmental Quality Act (CEQA), this project is Categorically Exempt under the CEQA Guidelines Section 15301(c) - Existing Facilities.] [Requires Four Affirmative Votes]. (Base Reuse 819099)
Body
To: Honorable Mayor and Members of the City Council
From: Jill Keimach, City Manager
Re: Introduction of Ordinance Approving A Purchase And Sale Agreement of Building 40, Located At 800 West Tower Avenue at Alameda Point, with Bladium, Inc., a California Corporation (Purchase Price: $7,900,000); and Recommendation to Accept a Reduction in the Exclusivity of Recreational Use Clause Included in the Original Lease. [In accordance with the California Environmental Quality Act (CEQA), this project is Categorically Exempt under the CEQA Guidelines Section 15301(c) - Existing Facilities.] [Requires Four Affirmative Votes].
BACKGROUND
The Alameda Reuse and Redevelopment Authority entered into a long term lease with Bladium, Inc. on February 1, 2000. Bladium was awarded the lease after a competitive bid process for the Building 40 hangar. Because of the investment needed to bring the building into compliance and to develop a sports facility, the lease was 35 years in term (10-year initial, a 5-year option, and two 10-year options) with an expiration of June 30, 2035. The lease included a general use provision which states, "the sole purpose for which the leased premises may be used, by the Subtenant or authorized contractors, subcontractors or licensees of Subtenant, is for light industrial use or general warehouse, office and/or recreational uses including but not limited to arena soccer, in-line voll...
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