5. 200 BREWER WAY - AcadÉMIE WESTBORO ACADEMY REVENUE
LEASE RENEWAL
200, VOIE BREWER –
AcadÉMIE WESTBORO ACADEMY
RENOUVELLEMENT DE BAIL À LOYER BRUT
That Council approve and execute a Gross Revenue Lease Renewal Agreement (the “Lease”) for the Académie Westboro Academy (the “Lessee”) to continue to occupy the land and building located at the property municipally described as 200 Brewer Way, for a period of five (5) years.
Que le Conseil approuve et conclu un
accord de renouvellement de bail à loyer brut (le « bail ») avec
l'Académie Westboro Academy (le « locataire ») lui permettant de
continuer d'occuper le terrain et le bâtiment constituant la propriété ayant
pour adresse de voirie le 200 de la voie Brewer, pour une période de cinq (5)
ans.
Documentation
1. City Manager’s report dated 2 March 2010 (ACS2010-CMR-REP-0008).
Report to/Rapport au:
Corporate Services and Economic Development
Committee
Comité des services organisationnels et du développement économique
02 March 2010 / le 02 mars 2010
Submitted by/Soumis par : Kent Kirkpatrick, City
Manager/Directeur des services municipaux
Contact Person/Personne ressource : Robin R. Souchen, Manager /
Realty
Services Branch /
Gest des services immobiliers
(613)
580-2424 x 21549, Robin.Souchen@ottawa.ca
SUBJECT:
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200
BREWER WAY - AcadÉMIE WESTBORO ACADEMY REVENUE LEASE RENEWAL |
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OBJET :
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200,
VOIE BREWER – AcadÉMIE WESTBORO ACADEMY RENOUVELLEMENT DE BAIL À LOYER BRUT |
That the Corporate Services and Economic Development Committee recommend that Council approve and execute a Gross Revenue Lease Renewal Agreement (the “Lease”) for the Académie Westboro Academy (the “Lessee”) to continue to occupy the land and building located at the property municipally described as 200 Brewer Way, for a period of five (5) years.
Que le Comité des services organisationnels et
du développement économique recommande au Conseil d'approuver et de conclure un
accord de renouvellement de bail à loyer brut (le « bail ») avec
l'Académie Westboro Academy (le « locataire ») lui permettant de
continuer d'occuper le terrain et le bâtiment constituant la propriété ayant
pour adresse de voirie le 200 de la voie Brewer, pour une période de cinq (5)
ans.
In March 1999 the Lessee entered into negotiations with the City of Ottawa to lease the Property for a period of five (5) years, from 15 August 1999 to 14 August 2004 to operate a bilingual co-educational school for grades 1 through 8. The proposed lease agreement (the “Original Lease”) was presented to City Council in June 1999 at which time the terms and conditions of the Original Lease were approved.
Under Paragraph 1(b) of the Original Lease the Lessee has a renewal option of three (3) further terms of five (5) years each. The Lessee exercised its first renewal option in February 2004 to continue to occupy the Property for a period of five (5) years from 15 August 2004 to 14 August 2009 (the “First Renewal Term”) at a gross rental rate of $16.80 per square foot plus GST for a total gross annual rent of $195,300.00 plus GST. The rental rates for the First Renewal Term were based on an independent appraisal report prepared on behalf of the City of Ottawa.
In February 2009 the Lessee exercised its second renewal option to continue to occupy the Property for a period of five (5) years from 15 August 2009 to 14 August 2014 (the “Second Renewal Term”) at a gross rental rate of $18.60 per square foot plus GST/HST (as applicable), for a total gross annual rent of $216,225.00 plus GST/HST (as applicable). The rental rates for the Second Renewal Term are based on an independent appraisal report prepared for the City of Ottawa.
The Lease will run for a period of five (5) years from 15 August 2009 to 14 August 2014 at a gross rental rate of $18.60 per square foot plus GST/HST (as applicable). During the Renewal Term, the Lease will be subject to all terms and conditions set out in the Original Lease save and except for the amended annual gross rental rate. The current and proposed uses of the Property are consistent with the current L1-Community Leisure Facility Zone.
There are no environmental implications associated with this Lease.
This is considered to be an internal administrative matter therefore public consultation was not undertaken. The Parks, Building & Grounds Operations and Maintenance Branch of the City of Ottawa’s Public Works Department are aware of staff’s recommendation and endorse the approval of this Lease.
COMMENTS BY WARD COUNCILLOR
“(Ward 17 – Capital) Councillor Doucet concurs
with the revenue lease renewal for Académie Westboro Academy.” As per an email
forwarded on the Councillor’s behalf by Catherine Henry, Councillor’s
Assistant, dated 27 January 2010.
There are no legal / risk management impediments to
implementing any of the recommendations of this report.
This Lease represents revenue totalling $1,081,125.00 for the Second Renewal Term. Rental payments will be deposited into 171316.
Following Council’s approval the Real Estate Partnerships and Development Office and Legal Services Branch will finalize the Lease Renewal Agreement.