HomeMy WebLinkAboutRDA CITY RELOCATION 01-07-91DATE:
TO:
FROM:
SUBJECT:
JANUARY 71 1990
WILLIAM A. HUSTON, EXECUTIVE DIRECTOR
COMMUNITY DEVELOPMENT DEPARTMENT
RDA N0. 5
1-7-91
Inter - Com
CITY HALL RELOCATION - AUTHORIZATION FOR PREPARATION OF TENANT
IMPROVEMENT PLANS
RECOMMENDATION
Authorize the Executive Director to sign an authorization for Catellus
to begin preparation of construction plans for tenant improvements at
15222 Del Amo Avenue.
BACKGROUND
The Tustin Redevelopment Agency at a regular meeting on August 20, 1990
authorized the Executive Director to select and negotiate a temporary
relocation site for City Hall operations during construction of the
expansion to Civic Center. On October 1, 1990, the Executive Director
approved a Letter of Intent with Catellus Development for lease of
approximately 24,300 square feet of a larger building located at 15222
Del Amo Avenue, just south of Edinger Avenue. Staff are finalizing the
terms and conditions of the lease in negotiation with Catellus and would
anticipate that a completed lease document would be available for review
and approval by the Redevelopment Agency at their meeting of January 21,
1990.
While approval of a lease is normally required prior to any working
drawings for tenant improvements being prepared or work commencing on
such improvements, a landlord may begin preparation of said construction
plan prior to a lease being approved provided the prospective tenant is
willing to assume the costs of said plan preparation if said lease
agreement is not ultimately approved. To take advantage of the next
three weeks prior to the anticipated completion of the lease, staff
would recommend that the Agency authorize the Executive Director to
permit work on tenant improvement plans to begin. A draft agreement
between Catellus and the Agency to indemnify Catellus against their
incurred risks will be available for the Agency's consideration.
Christine Shingl � n
Director of Commixfiity Development
CAS:kf/reloc.ccr
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INDEMNIFICATION
THIS INDENINIFICATION, dated January 3, 1.991, by and between
Redevelopment Agency of the City of Tustin ("Tenant"), and Catellus Development
Corporation ("Landlord").
WHEREAS, the parties to this Indemnification are negotiating but have not
executed a lease agreement for approximately 24,300 usable square feet of space in the
building located at 15222 Del Amo Avenue, Tustin, California.
WHEREAS, it is the desire of Tenant to take occupancy as soon as reasonably
possible;
THEREFORE, if such a lease is not executed and delivered by Tenant to
Landlord on or before January 30, 1991, Tenant shall immediately indemnify Landlord for
any reasonable expenses incurred that are directly related to the engineering and
mechanical drawings, and construction of the Demised Premises for Tenant. In no event
will Tenant be responsible for expenses in excess of $20,000 without prior written notice.
LANDLORD:
CATELLUS DEVELOPMENT
CORPORATION
TENANT:
REDEVELOPMENT AGENCY OF
THE CITY OF TUSTIN
8y; Ey:
Kelley S. Johnson
Title:
William Huston