AgdaPkt 2007-06-04 - Laserfiche WebLink

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6.1 E Asian Vision Corporation Lease Page 2 The City issued a Request for Proposals for the four available Courthouse Square concession spaces in May 2006, and received two proposals. A Selection Committee consisting of representatives from the Redwood City Downtown Business Group, Redwood City Planning Commission, City staff, real estate and banking professionals, and a high school youth reviewed the proposals. Although one of the proposals was incomplete, the Selection Committee allowed the applicant to resubmit but the applicant declined. The other applicant, Asian Vision Corporation provided a complete proposal that was reviewed and recommended by the Selection Committee. Asian Vision Corporation proposes to operate a gourmet sausage, fresh lemonade and fresh baked cookie concession called "Fatt Dog" within Lease Area 1A located near the corner of Broadway at Middlefield in Courthouse Square as shown in Exhibit A of Lease. Upon approval of the transfer of easement from the City to the Agency, Asian Vision Corporation will enter into a lease with the Agency for the 190 square foot area. The expected opening date of Fatt Dog is Juiy 2007. The key terms of the (ease consist of the fallowing: • Initial five year term; • Two 4-year options; and • Lease rate of $3.00 per square foot. In an effort to ensure a success#ul start, Asian Vision Corporation will pay $1.00 per month to the Agency for the first six months of operations. Immediately after six months of opera#ions, Asian Vision Corporation will pay rent based on a percentage of gross sales to ease its business start-up costs and operations. Since Fatt Dog will likely be the only vendor in operation for the first few months, this provision would allow for a ramp-up period, until all vendor spaces are occupied and operating. As a result, more activity is expected and full charges will be implemented at that time. In February 2007, staff issued a request for qualifications for the remaining three 190 square feet enclosed vendor spaces at Courthouse Square, and is currently determining the feasibility of the proposals that were received. The recommended vendors will be presented to Council and Agency Board for approval within the next few months. Asian Vision Corporation License Asian Vision Corporation will enter into a license with the City for License Area 1A as shown in the plat map and legal description as Exhibit A in the License Agreement. The license area, measuring 43.17' x 36' (1,362.5 square feet) will have 16 tables and 32 chairs provided by the City for Fatt Dog's use, and shall be available to the public without purchase requirement during Fatt Dog's hours of operations. Fatt Dog will take out, clean, and bus the tables and chairs during hours of operations. If the tables and chairs need to be available to the public before and/or after Fatt Dog's hours of operation, the City shall be responsible for the protection of the tables and chairs. The key terms of the license agreement consist of the following: • Month-to-month term • License fee of $.06 per square foot per month for a total of $81.75 per month • Common area maintenance of $600 per month