john updike? supervisor cohen: thank you, mr. updike. >> thank you, supervisor cohen. acting director of real estate. i'm joined by the mayor's office of housing that will give you the overview of the project. i will speak to you about the technical aspects of the item before you today. the location here is tat 1 kashmire, an overall shot of the location. a more particular look and the area impacted by this proposed easement runs right here on the edge of the cul de sac. simply put, what we have about 850 square feet of these men to be granted. it is determined as part of the resolution before you today is granting -- if it furthers the public interest and therefore, there is no cost involved in the transfer. it is a perpetual easement, but it includes the right to terminate has the terms of conditions are brief in some way. so that, in a nutshell, is the real estate item, and i think john can give you some contact has to why this is before you today. >> good afternoon, supervisors. i am the project manager, and most of you are probably familiar with hunters view, a re

. >> thank you, john updike, acting director of real estate.you have seen previous issues of finance relative to the budget. their comparables to those members on the screen before you now. this is considerably below market rates that we think are actually in the mid 30's to the mid 40's, moving very quickly, unfortunately, in this rapidly changing civic center market. as you average over time the cost for this particular location, it is on average a $30 per square foot rate over a seven-year term. that is a favorable position for the city to be in. and the tenant improvement amount is equivalent or slightly better than what the market is indicating. i will be happy to answer any questions that you might have about the lease proposal itself. chairperson chu: supervisor kim? supervisor kim: i'm happy to see the amount -- immense amount of work that has gone into finding the space that will allow the organization to be in one space, but together they given the market conditions. my question was actually on the tenant improvement. if your asset up

on this item, we have john updike from real estate. >> good afternoon. acting director of real estate. the item before you is a first for lease at 230 golden gate avenue for the tenderloin primary care and wellness center. this is really all about creating some efficiencies within the department of public health and how they deliver clinic care. once restructuring both this facility and two other facilities, the estimate is that almost 1000 patients per year can be served with primary care through this facility. the lease itself i will speak to. i am joined today by mark, who will give you any particular details about operations, should you have questions. the lease is fairly straightforward. as i say, it is about 11,700 square feet on the first floor of this mixed use development. under construction now is a former ymca. the lease rate is $12 a square foot per year. it is a 10-year initial term with five five-year options. those options and renewal process are set forth through a consumer price index adjustment, so that means essentially we are gaining

john updike, i am heartened to hear that i will hear i have a longer life as a golfer. that was wonderful news this morning. this item is an amendment to least less than 2000 square feet for a police substation. the board originally approved 50911, which authorized the initial lease that we are now amending before you today. construction of the project, as noted, was to be funded through the forgivable loan fund redevelopment agency. since the issues created challenges to staff, we went to work to analyze the scope of the improvements to the building, then worked with the landlord on amendments to the least to facilitate a change in how the project would be delivered, as well as to reduce leasing expenses going forward. we had some additional challenges here. reducing the least amount in the first three years by 50% to just $14.49 per month on an annualized basis. that is fixed for the initial three years. rates for increases are set in limited using the consumer price index calculation. in multi-department team of consultants took the opportunity that we had to make ad

for this item, we have john updike. >> good afternoon.s is a lease renewal for the city attorney's office at 39 market street. our landlord at this location is broad reach capital partners. it just trips off the tongue. before i get into the details, i wanted to give you context of the activities this past winter that we have engaged in. i think it will help you to get a sense of where this one is coming from. as many of you know, we have been actively engaged in discussions with various civic center property owners with options for addressing long-term space needs. those discussions entered a very serious stage late in last year through this spring at 1275 market street, with the current owner. 1275 market is the former state compensation insurance fund building. i thought it was appropriate to bring up, at this time, the status of that, because i think it has import to this, as well as many others that you will see. both sides were as creative as possible to develop a mutually acceptable transaction. we were very close, but we were unab

for this item, we have john updike. >> good afternoon.s is a lease renewal for the city attorney's office at 39 market street. our landlord at this location is broad reach capital partners. it just trips off the tongue. before i get into the details