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HomeMy WebLinkAbout(0177) M&C 21-0980City of Fort Worth, Texas Mayor and Council Communication DATE: 12/14/21 M&C FILE NUMBER: M&C 21-0980 LOG NAME: 21CASA IMPROVEMENTS AND LEASE EXTENSION SUBJECT (CD 9) Authorize the Execution of an Agreement with Casa Manana, Inc. for the Construction of Additional Space and Improvements to the Facility Located at 3101 West Lancaster Avenue, Authorize City of Fort Worth Funding Participation Up to $500,000.00, Authorize the Waiver of All Building and Trade Permit Fees for the Construction, and Authorize the Execution of an Amendment to the Lease Agreement Between the City of Fort Worth and Casa Manana, Inc. to Extend the Term for an Additional Ten (10) Years Commencing on January 1, 2025 to December 31, 2034 RECOMMENDATION: It is recommended that the City Council: 1. Authorize the execution of an agreement with Casa Manana, Inc. for the construction of additional space and improvements to the facility located at 3101 West Lancaster Avenue; 2. Authorize City of Fort Worth funding participation of up to $500,000.00; 3. Authorize waiving the building and trade permit fees for the construction; and 4. Authorize the execution of an amendment to the lease agreement between the City of Fort Worth and Casa Manana, Inc. to extend the term for an additional ten (10) years commencing on January 1, 2025 and expiring on December 31, 2034; and DISCUSSION: The City of Fort Worth (City) and Casa Manana, Inc. (CMI) have negotiated an agreement to facilitate the funding and construction of improvements to the facility located at 3101 West Lancaster Avenue. Planned improvements include constructing additional office space, expanding the 1,400 square foot theater and expanding the kitchen area. Under the terms of the agreement, CMI will construct the improvements according to the following conditions: CMI must submit planned improvements to the City for approval prior to construction, utilize the competitive bidding process, obtain all required permits and provide and maintain necessary insurance during construction. CMI has also agreed to obtain any necessary financing for constructing the improvements. The completed additions and improvements will be subject to the existing Lease Agreement for the facility (Mayor & Council Communication C- 27074). It is recommended that the City waive the Building and Trade Permit Fees for the construction to this City -owned facility. Following issuance of required Certificates of Occupancy, the City will reimburse CMI fifty (50) percent of the actual costs of constructing the improvements, up to a maximum amount of $500,000.00 from future Community Partnership Funds. CMI has also requested a ten (10) year extension to the Lease Agreement with the City to commence on January 1, 2025 and expire on December 31, 2034 in consideration for their contribution to the additional improvements. All other terms under the lease and subsequent renewals and amendments shall remain in effect. The Casa Manana Theater is on COUNCIL DISTRICT 9. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the current programmable capital project budget, as previously appropriated, in the General Capital Projects Fund for the purpose of funding the Casa Manana Improvements project to support the approval of the above recommendations and execution of the agreement. Prior to an expenditure being incurred, the Property Management Department has the responsibility to validate the availability of funds. Submitted for City Manager's Office by. Dana Burghdoff 8018 Originating Business Unit Head: Steve Cooke 5134 Additional Information Contact: Mark Brown 5197 Ricardo Salazar 8379 Expedited