Title
Staff Report for a City of San Leandro City Council Resolution to Approve a Right of Entry Agreement Between the City of San Leandro and Satellite Healthcare, Inc. for City Properties Located Adjacent to 801 Davis Street
Staffreport
SUMMARY AND RECOMMENDATIONS
Staff requests that the City Council grant the City Manager the authority to enter into a new Right of Entry Agreement, subject to the City Attorney's approval as to form, with Satellite Healthcare, Inc. for City properties located adjacent to 801 Davis Street for a period of ten years with the option of two additional five-year extensions.
BACKGROUND
The City controls three parcels which total 4,275 square feet immediately adjacent to 801 Davis Street: a portion of West Estudillo Ave (1,981 SF), a portion of APN 075-0047-011-01 (375 SF), and a portion of APN 075-0060-005 (1,919 SF). On June 15, 1992, the City entered into a twenty-five year license agreement with Pethan, Cornelius, Miller & Bronstein for use of a portion of W. Estudillo Avenue and the parcel located at APN 075-0047-011-01 as a parking lot for their facility located at 801 Davis Street. There was no monthly rental rate established under this previous license.
During the license term, the property at 801 Davis Street was renovated and converted into a dialysis and renal care services clinic operated by Satellite Healthcare, Inc. (Satellite) and the agreement was transferred to Satellite. The agreement expired on June 15, 2017 at which time the City agreed to allow Satellite to continue to occupy the premises on a month-to-month basis. Staff recommends entering into a new Right of Entry Agreement (Agreement) with Satellite for ten years with an effective date of August 1, 2018 and with the option of two additional five-year extensions.
Analysis
On the three City controlled parcels, there are seven paved and striped parking spaces on two of the parcels and one parcel is not improved. Satellite is the current licensee of two o...
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