CITY OF GLENDALE, CALIFORNIA
REPORT TO THE SPECIAL CITY COUNCIL
AGENDA ITEM
Report: Lease Agreement for City Owned Property 250 North Orange Street
1. Introduction of an Ordinance Authorizing Lease of a City-owned commercial premises located at 250 North Orange Street to “The Center for Armenian Arts” a DBA of Knowledge Truck, Inc., a nonprofit California public benefit corporation (“Tenant”), for a lease term exceeding five years.
2. Motion Authorizing City Manager to execute a lease with Tenant at a base rent of $2,927 per month, following adoption of the Ordinance authorizing said lease, as subject to the review and approval as to form by the City Attorney.
COUNCIL ACTION
Item Type: Action
Approved for September 1, 2026 calendar
EXECUTIVE SUMMARY
The Economic Development Division is committed to supporting a robust downtown environment which includes a focus on arts, cultural amenities, and entertainment. A City-owned forefront located at 250 N. Orange Street has been leased to The Center for Armenian Arts (“Tenant”) since September 2023. That lease expired on January 31, 2026, and shifted to a month-to-month holdover. The lessee is seeking to extend their tenancy by an additional five years and continue programming the space for various arts exhibits, workshops, speaker series, and related activations.
Glendale City Charter Article VI, Section 15, requires the Council to adopt an ordinance for the lease of City-owned property for a period of longer than five (5) years. The City originally entered into a three-year lease with the Tenant in September 2023. This lease will extend the original and hold over term to total of eight (8) years. 2 7
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9 RECOMMENDATION
That the Council introduce the Ordinance authorizing the City to enter into the proposed lease and adopt a motion authorizing the City Manager to execute said lease following adoption of the Ordinance.
ANALYSIS
The City of Glendale owns the Orange Street Garage, a public parking structure in downtown Glendale. Within the structure are two ground floor office suites, and the tenant space at 250 N. Orange has been leased to Knowledge Truck, Inc., (DBA The Center for Armenian Arts), since September 23, 2023. That lease expired on January 31, 2026, and shifted to a month-to-month holdover until this proposed lease which extends the term by an additional five years is executed, or other direction is provided by the City Council.
The site is 2,770 square feet, and the original rental amount was based on $1/square foot, which is lower than market rate, in order to help tenant activate the space within the City’s arts and culture corridor and support other economic development activities in the downtown area. The original lease included a base rent escalator linked to the Consumer Price Index (CPI) not to exceed 10% for any adjustment period. Based on the nature of the non-profit, and the desire to encourage and further develop the arts, entertainment, and cultural opportunities in the downtown, staff recommends continuing to offer this space at the cost of $1.00/square foot for an additional five-year term, with a new base rent of $2,927 a month based on the CPI adjustment. “Armenian Arts” DBA Knowledge Truck, Inc. is a Nonprofit California public benefit Corporation established January 22, 2015, as an “Educational & Cultural Endeavor with a Mission Statement” focused on increasing public awareness about Armenian culture and history through social activities and publications designed to promote and preserve the heritage and cultural identity of the Armenians. Armenian Arts links artists and audiences by presenting art exhibitions, acoustic performances, screenings, discussions, readings, workshops, and other unique gatherings. Since 2000 Armenian Arts has showcased exceptional Armenian talent in the fields of visual and musical arts.
Over the years, the organization has presented numerous prestigious events, including concerts at venues like the Hollywood Bowl, the J. Paul Getty Museum, Barnsdall Gallery Theatre, and the Ford Amphitheater. Armenian Arts published the “Armenian Arts” magazine, and the “Yes, We Have” series, which highlights Armenian contributions to humanity.
This tenant’s activity is in line with the City’s and community’s interests of supporting and contributing to a vibrant and vital downtown area which has been long-established as a arts and culture corridor in Glendale; this opportunity offers an appropriate utilization of the City’s property to support arts, culture and economic development in line with the City’s Economic Development Program set forth in Glendale Municipal Code Chapter 2.30.
STAKEHOLDERS/OUTREACH
3 7
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9 N/A
FISCAL IMPACT
The base rent for the lease will begin at $2,927 per month, or $35,124 annually, subject to annual CPI adjustment.
ENVIRONMENTAL REVIEW (CEQA/NEPA)
The proposed lease of an existing City-owned tenant space with no proposed tenant improvements or changes to the premises is exempt from CEQA pursuant to CEQA Guidelines section 15301 (Existing Facilities) which exemption applies to the operation, repair, maintenance, permitting, leasing, licensing or minor alteration of existing public or private structures, facilities, etc., involving negligible or no expansion of existing or former use.
CAMPAIGN DISCLOSURE
The names and business addresses of the members of the board of directors, the chairperson, CEO, COO, CFO, Subcontractors and any person or entity with more than 10% interest in the company proposed for contract in this Agenda Item Report are attached in Exhibit 2, in accordance with the City Campaign Finance Ordinance No. 5744.
ALTERNATIVES TO STAFF RECOMMENDATION
Alternative 1: Do not move forward with the Lease and Applicant.
Alternative 2: The Council may also consider any other alternative not proposed by staff.
ADMINISTRATIVE ACTION
Submitted by:
Roubik Golanian, P.E., City Manager
Prepared by:
Domenica K. Megerdichian, Assistant to the City Manager Approved by:
Roubik R. Golanian, P.E., City Manager
EXHIBITS/ATTACHMENTS
Exhibit 1- Draft Lease Agreement
Exhibit 2- Campaign Disclosure Form