Fiscal Note
The Parking Division estimates annual lease revenues of $50,160 annually, based on the rate of 110% of the effective residential night permit rate (currently $95/month).
Title
Authorizing the Mayor and City Clerk to execute a long-term parking lease agreement with Beitler Real Estate Services LLC or assignees, for 40 overnight parking spaces at the replacement Government East parking garage being constructed on Block 88. (4th AD)
Body
WHEREAS, Beitler Real Estate Services, LLC has a development agreement with the City of Madison to construct a hotel on Block 105 (the “Block 105 Hotel”), following the demolition of the existing Government East Parking Garage; and
WHEREAS, parking will be needed for the guests and visitors of the Block 105 Hotel; and
WHEREAS, a parking garage is being constructed on Block 88 to replace the existing Government East Parking Garage, which is expected to be demolished in late 2019/early 2020; and
WHEREAS, the Government East Parking Garage has historically had excess capacity during evenings and weekends, with peak demand occurring during weekday hours; and
WHEREAS, additional uses that generate peak parking demand on evenings and weekends, such as that of a hotel, would be a compatible shared-parking use for the Government East Parking Garage; and
WHEREAS, the terms of a lease have been negotiated between Beitler Real Estate Services, LLC, and City Parking Division management;
NOW, THEREFORE, BE IT RESOLVED, that the Mayor and City Clerk are authorized to execute a lease with Beitler Real Estate Services, LLC, or its permitted successor and assigns, for 40 overnight parking spaces at the replacement Government East Parking Garage upon substantially the following terms and conditions:
1. The term of the lease will be ten (10) years with the option for two (2) five (5) year extensions by mutual agreement. The lease will begin upon the opening of the hotel to the public.
2. Number of Parking Stalls: Forty (40)...
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