Title
Authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a lease or sublease agreement with the Philadelphia Municipal Authority for use by the City, of a portion of the premises located at 9353 Krewstown Road, under certain terms and conditions.
Body
THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:
SECTION 1. The Commissioner of Public Property is hereby authorized, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority for use by the City of a portion of the premises, located at 9353 Krewstown Road, Philadelphia, Pennsylvania 19115, pursuant to certain terms and conditions set forth in the document attached hereto as Exhibit “A”.
SECTION 2. The Commissioner of Public Property is hereby authorized to take all actions deemed by the Commissioner to be necessary and appropriate to carry out the provisions and intent of this Ordinance, including executing any and all instruments and ancillary documents necessary and appropriate for the City to enter into the lease agreement and carry out the purpose of this Ordinance pursuant to the terms set forth in Exhibit “A”.
SECTION 3. The City Solicitor is authorized to review, negotiate, and approve all instruments and ancillary documents deemed by the City Solicitor to be necessary and appropriate to carry out the provisions and intent of this Ordinance, which instruments and documents shall contain such terms and conditions deemed by the City Solicitor to be necessary, desirable, and in the best interests of the City.
EXHIBIT “A”
Terms of Proposed Lease
For 9353 Krewstown Road, Philadelphia, Pennsylvania 19115
1. Landlord: Krewstown Shopping Center Associates (a Pennsylvania limited partnership).
2. Tenant: Philadelphia Municipal Authority.
3. Subtenant: City of Philadelphia.
4. Premises Address: 9353 Krewstown Road, Philadelphia, Pennsylvania 19115.
5. Use of the Premises: Approximately 4,994 rentable square feet of space for use by the City as offices, including offices for the Department of Licenses and Inspection.
6. Term of Lease: Ten (10) years and six (6) months.
7. Renewal Term: N/A.
8. Rent: Base rent for Lease Years one (1) through five (5) will be $19.27 per square foot, which is $8,020.83 per month or $96,250.00 per year. Base rent for Lease Years six (6) through ten (10), plus an additional six (6) months will be $20.62 per square foot, which is $8,583.33 per month or $103,000.00 per year. Landlord to provide Tenant with $25,749.99 rent credit after the 5th Lease Year anniversary.
9. Utilities: The City shall be responsible for paying for tenant/subtenant utilities expenses.
10. Operating Expenses: The City shall be responsible for its proportionate share of operating expenses.
11. Tenant Improvements: Landlord shall provide a tenant improvement allowance.
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