Title
Staff Report for Resolution Approving Amendment to Lease with San Leandro Sailing Club, Inc., dba Spinnaker Yacht Club of San Leandro, for Property at 75 Pescador Point Drive in the San Leandro Shoreline Area
Staffreport
SUMMARY AND RECOMMENDATIONS
The current lease between the City of San Leandro and the San Leandro Sailing Club, Inc., dba Spinnaker Yacht Club of San Leandro (Spinnaker), originally dated August 9, 1971 and amended on numerous occasions, is set to expire on December 31, 2015. A five-year extension of the lease through 2021 has been requested by Spinnaker. City Council adoption of the Resolution Approving Amendment to Lease with San Leandro Sailing Club, Inc., dba Spinnaker Yacht Club of San Leandro is recommended.
BACKGROUND AND ANALYSIS
Spinnaker currently leases an area of approximately 18,700 square feet which includes a 2,020 square foot building, decks, storage cabinets, and a 160-foot dock. Spinnaker currently has approximately 80 members. In addition to social functions, Spinnaker promotes a number of activities which benefit the Marina, including "cruise-ins" by other yacht clubs, the annual lighted boat parade and the junior sailing program during the summer.
The City and Spinnaker have agreed upon the following proposed amendments to the lease:
* A five-year extension of the lease through December 31, 2021.
* A prescribed right for the City to terminate the lease agreement with six months notice between January 1, 2016 and December 31, 2021.
* Elimination of the additional rental fee based upon 10% of gross annual membership income, effective January 1, 2016.
These proposed amendments are generally consistent with other leases in the Shoreline Recreation Area. This lease currently generates $4,200 annually for the Shoreline Enterprise Fund. The lease modifications do not impact the annual revenue as the requirement for additional rent was never triggered.
Previous Actions
* Resolution No.71-...
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