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HomeMy WebLinkAboutAgenda Report - July 17, 1996 (72)OF •DI COUNCIL COMMUNICATION 9<FOR� AGENDA TITLE: Consent to Lease Assignment on behalf of Lodi Boys and Girls Club, Inc. MEETING DATE: July 17, 1996 SUBMITTED BY: Randy Hays, City Attorney RECOMMENDED ACTION: That the City Council approve the landlords consent thereby consenting to the assignment of the lease between the Lodi Boys and Girls Club, Inc. with the City of Lodi to the Pacific State Bank. BACKGROUND INFORMATION: By lease dated December 15, 1993, the City of Lodi leased ground to the Boys and Girls Club of Lodi. The lease covered approximately 29,000 square feet of property in the southeast corner of Blakely Park. The lease has a term of 55 years. The purpose of the lease was to provide ground upon which the Boys and Girls Club could build facilities to accommodate their operations. The Boys and Girls Club has arranged a loan in order to assist them in consolidating their debts with Pacific State Bank. As part of that transaction the Bank is requesting that the City consent to an assignment of the mentioned lease to the Bank. Language is included in the consent which provides that the Bank should it need to operate directly under the lease, will only do so in a manner consistent with the lease. In addition I would point out that the property that is covered by the lease is zoned public. Property which bears this zoning classification by its very definition, results in the property only being able to be used for public purposes. The City has been active in providing funds for the development of the facilities at the Boys and Girls Club. Acting as requested would continue the City support for that program as well as assisting the program in managing its debt. FUNDING: None. RAND A. HAYS, Crty orney APPROVED: k D. FLYNN City Manager