HomeMy WebLinkAbout5.a. Storage Facility Lease Agreement - U of M PropertyCITY OF ROSEMOUNT
EXECUTIVE SUMMARY FOR ACTION
CITY COUNCIL MEETI G DATE: October 20, 1992
AGENDA ITEM: Storage
As
Facility Lease Agreement
AGENDA SECTION:
U of
M Property
Old Business
PREPARED BY:
Ron Wasmund
AGENDAME
Public Works Director/Building
Official
._ 5 A
ATTACEME=S :
iemo -
AP ROVED BY--
Y:
As you are aware from previous 1993 Budget discussions, I had budgeted
$40,000 for the construction of a 4,000 square foot cold storage
building in the C.I.P. budget. This item was eliminated due to budget
constraints.
As an alternative the University of Minnesota has offered us 8,000
square feet of space at $1.50/s.f for an annual lease of $12-,000.
this amount has been planned for in the proposed budget.
The University of Minnesota has another opportunity to lease this
space or the space we currently rent from them. The new space is
larger, more open, more accessible thus more desirable. We would like
to commit to the new space, vacate the current lease area and allow
the University of Minnesota to lease that space out.
I am asking f I
r your consideration and approval.
RECOMMENDED ACTI
MOTION TO APPROVE THE RENTAL AGREEMENT FOR ADDED
COLD STORAGE WITH
THE UNIVERSITY OF MINNESOTA RESEARCH CENTER AND
AUTHORIZE THE NECESSARY
SIGNATURES.
COUNCIL ACTION:
P
TO: MAYOR McMENOMY
COUNCIL MEMBERS:
KLASSEN
STAATS
WILLCOX
WIPPERMANN
FROM: RON VVASMUND, PUBLIC WORKS DIRECTOR/BUILDING OFFICIAL
DATE: OCTOBER 16, 1992
RE: EQUI MENT STORAGE RENTAL
1 have been contacted by the University of Minnesota Property Department to
make me aware of some available space for rent at the University of Minnesota
Research Center. This is open warehouse style space which is accessible_ by two
16'x16' overhead doors making it very suitable for equipment storage.
We have been renting 5,600 square feet of space from the University since May
1989. This space is Tess than we need and hard to access with trucks because of
low ceilings and small doors.
We use the storage
jointly with the Park Department and store seasonal equipment
such as lawn mowers,
snowplows, tree spade, jetter trucks, turf equipment,
backhoe, etc. The
rental space is necessary to keep the equipment out of the
weather elements
and keep the area around the maintenance facility and City Hall
neat in appearance.
The biggest benefit is the prolonged life of the equipment by
keeping it out of the
elements.
In addition to the space we currently rent from the University of Minnesota, we
previously had sp ce at District 196 bus facility at their district office on Diamond
Path. Due to their expansion of services we had to vacate that space a year ago..
Since 1989 we have been budgeting $8,100 for the 5,600 square feet ($1.44/s.f.)
we currently rent. The new space that is available, 8,000 s.f., is going for
51.50/s.f./year or $12,000 total. That is an increase of $3,900 over 1992
budget. The proposed 1993 Budget has $12,000 budgeted for this space.
The space is available now and is needed now. With Council's approval we will
execute a lease starting November 1, 1992. The extra $325/mo or $650 total
difference for 1992 is able to be covered with the amounts budgeted under
Government Buildings (101-41940).