2021/05/05 Council Agenda Packet

`EVERETT City Council Agenda Item Cover Sheet Project title: Lease agreement with Jasmine's Coffee LLC at Everett Station Council Bill # interoffice use Agenda dates requested: May 5, 2021 Briefing Proposed action Consent X Action Ordinance Public hearing Yes No X Budget amendment: Yes No X PowerPoint presentation: Yes No X Attachments: Lease Agreement Department(s) involved: Real Property Legal Contact person: Darcie Byrd Phone number: 425-257-7910 Email: dbyrd@everettwa.gov Initialed by: DE Department head PM Administration DB Council President Project: Lease agreement with Jasmine's Coffee LLC at Everett Station Partner/Supplier : Jasmine's Coffee LLC Location: 3201 Smith Ave. (Everett Station) Preceding action: Fund: 425 Fiscal summary statement: Jasmine's Coffee LLC, operating as Diedrich Coffee, has agreed to a lease term through December 31, 2026, with two five-year extension options, to operate a cafe at Everett Station. The initial monthly base rent for the remainder of 2021 for approximately 1,227 square feet is $1,450, which has been discounted in consideration of capital improvements to be made by Lessee. Beginning January 1, 2022, the monthly rent shall be $2250/month with an annual escalation of 3%. Project summary statement: The cafe at Everett Station is currently not occupied by a tenant as of April 1, 2021. The cafe space has been occupied since 2011 by businesses that provide coffee and food items. Jasmine's Coffee LLC, doing business as Diedrich Coffee, is a local chain of espresso stands and cafes that has agreed to lease the cafe space for the continued service of providing coffee and food items for an initial term until December 31, 2026, with two five-year options to extend. Recommendation (exact action requested of Council): Authorize Mayor to execute the lease agreement with Jasmine's Coffee LLC at Everett Station.