Laserfiche WebLink
<br />.REPORT <br /> <br />6.1E <br />Page 1 <br /> <br />To. the H,ono.ra:():le l\'Jayot a'nd C.ity Co'unc'U 8!nd <br />The: R$de-velopment Agency Board <br />P.ro'",'" the. ~:. ::.'.:. .11a.~".~'r a:~~'EJ l!xec'ulive D'irectot <br /> <br />November 9, 2009 <br /> <br />SUBJECT <br />Courthouse Square lease for kiosk 2A with Redevelopment Agency; Courthouse <br />Square license for food service in license area 2A with City <br /> <br />RECOMMENDA rrON <br />1. Authorize, by motion, the Redevelopment Agency to execute a lease with Froyola <br />LLC doing business as "Froyola Yogurt" for Lease Area 2A in Courthouse Square. <br />2. Authorize, by motion, the City to execute a license with Froyola LLC doing business <br />as C1Froyola Yogurt" for License Area 2A in Courthouse Square. <br /> <br />BACKGROUND <br />Frank Shih, Lin Wang, and Hsiu Hui Wong have submitted a business plan to operate a <br />food service kiosk called "Froyola Yogurt" that will be owned and operated under their <br />newly formed Froyola Limited Liability Company ("Froyola LLC"). The proposed menu <br />items consist of yogurt with various fruit and other toppings. Additional menu items to <br />provide customers during the winter months are under consideration. Staff <br />representing Engineering and Construction, Building and Inspection. Planning. Housing <br />and Economic Development divisions reviewed the business plan and interviewed the <br />applicants. All of the preliminary requirements have been met, including proof of funds <br />available for the tenant improvements and preliminary approval for food service <br />operation from the San Mateo County Health Department. The anticipated opening <br />date is April 2010. <br /> <br />Daily Boost (coffees, smoothies and breakfast sandwiches) and Hidden Dragon Tea <br />House (Asian food, pearl drinks, teas) now operate in two of the four kiosks as lon9- <br />term tenants. The third kiosk is occupied by a month-to-month business called Lulu's <br />(greeting cards, gifts and sundries) and is available to lease for a long-term business. <br /> <br />Froyola lLC Lease <br />Froyola LLC proposes to operate a food service within Lease Area 2A located near the <br />Hidden Dragon Tea House kiosk in Courthouse Square as shown in Exhibit A <br />(Attachment 1). The key terms of the lease are as follows: <br /> <br />. Five year term; <br />. Two five-year options to extend the term; and <br />. Lease rate of $400 per month for the 191 square foot space. <br /> <br />In an effort to ensure a successful start in today's economy, Froyola LLC will pay $1.00 <br />per month to the Agency for the first six months, commencing April 1, 2010 to ease its <br />business start-up costs and operations. This provision would allow for a ramp-up <br />period, until all vendor spaces are occupied and operating. As a result, more activity is <br />