Thursday, October 27, 2022
5:30 PM
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
Remote Participation
Council Airport Committee
Agenda
October 27, 2022Council Airport Committee Agenda
COVID-19 Notice: Consistent with Assembly Bill 361/Gov Code 54953(e), the Council Airport Committee (CAC) meeting includes teleconference participation by all CAC members and the public.
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A Guide to attend virtual meetings is provided at this link: https://bit.ly/3jmaUxa CALL TO ORDER Pledge of Allegiance: Council Member Zermeño
ROLL CALL
October 27, 2022Council Airport Committee Agenda
PUBLIC COMMENTS:
(The Public Comment section provides an opportunity to
address the City Council Committee on items not listed on the agenda as well as items on the agenda. The Committee
welcomes your comments and requests that speakers present their remarks in a respectful manner, within established time limits, and focus on issues which directly affect the City or are within the jurisdiction of the City. As the Committee is prohibited by State law from discussing items not listed on the agenda, any comments on items not on the agenda will be taken under consideration without Committee discussion and may be referred to staff.)
APPROVAL OF MINUTES
Approval of Minutes of the Council Airport Committee Meeting held on June 24, 2022
MIN 22-1221.
Attachments: Attachment I CAC Minutes for 06-24-2022
REPORTS/ACTION ITEMS
Montecito Development LLC - Ground Lease for California Air National Guard Site
ACT 22-1042.
Attachments: Attachment I Staff Report
Attachment II CANG site map
Raja Indian Cuisine - New Ground LeaseACT 22-1063.
Attachments: Attachment I Staff Report
Attachment II Leasehold Map
Attachment III Renderings
Oral Presentation: Update on Reuse of Skywest PropertyRPT 22-1014.
FUTURE AGENDA ITEMS
Updated 2023 Agenda Planning CalendarRPT 22-1025.
Attachments: Attachment I Staff Report
COMMITTEE MEMBER/STAFF ANNOUNCEMENTS AND REFERRALS
October 27, 2022Council Airport Committee Agenda
ADJOURNMENT
NEXT REGULAR MEETING - 5:30 pm, THURSDAY, JANUARY 26, 2023
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: MIN 22-122
DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT
Approval of Minutes of the Council Airport Committee Meeting held on June 24, 2022
RECOMMENDATION
That the Council Airport Committee (CAC) reviews and approves the June 24, 2022 Committee Minutes.
SUMMARY
The June 24, 2022 CAC meeting minutes are presented for the Committee’s review and approval.
ATTACHMENTS
Attachment I June 24, 2022 Council Airport Committee Meeting Minutes CITY OF HAYWARD Printed on 10/24/2022Page 1 of 1
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DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT Approval of Minutes of the Council Airport Committee Meeting Held on June 24, 2022
CALL MEETING TO ORDER
Council Member (CM) Salinas called the meeting to order at 9:32 a.m. with Mayor Halliday present. CM Zermeño was absent.
City staff: Alex Ameri, Director of Public Works
Doug McNeeley, Airport Manager
Pamela Svrdlin, Airport Operations Supervisor
Todd Strojny, Airport Business Supervisor
Arturo Hurtado, Airport Operations Specialist
Amy Toste, Senior Secretary
Jenny Feliciano, Secretary
Members of the public present:
Eleven members of the public were present on the Zoom presentation.
PUBLIC COMMENTS
None.
REPORTS/ACTION ITEMS
1. Approval of Minutes for April 28, 2022
A motion was made by Mayor Halliday and seconded by Council Member Salinas. The motion passed unanimously; minutes approved as submitted.
2. Raja Indian Cuisine – New Ground Lease
Airport Manager McNeeley presented the report. The current lease expires in January 2023.
The new lease will be 35 years, increase rent to $5,540.06 per month, and include many interior and exterior improvements to existing buildings and landscaping.
Public Comments
Makan Bains, owner of Raja Indian Cuisine, requested a 50-year lease in lieu of the proposed 35-year lease. He also requested a start date for the new lease after completion of construction and improvements.
Committee Comments
Mayor Halliday asked if restaurant operations will change after the improvements. Mr.
McNeeley responded that the business is currently devoted to primarily catering and the owner wants to increase walk-in traffic.
Mr. McNeeley explained the relationship between improvements and length of lease. In general, the more substantial the improvements, the longer the lease term.
Mayor Halliday inquired about planned renovations to Raja Indian Cuisine. Airport Manager McNeeley stated that the facilities will meet current code requirements, in addition to cosmetic improvements.
Director Ameri commented that 35 years is a fair term for a leasehold that has an existing restaurant. Mayor Halliday added that there may be reasons in the future to develop the site for aeronautical purposes. Director Ameri agreed.
Council Member Salinas stated the new design should be modern and clean. He asked about the requirements of a 50-year lease. Airport Manager McNeeley said that 50-year leases generally require the construction of a new facility at substantial cost and provide significant employment opportunities.
CM Salinas asked if there are plans for a meeting space. Mr. McNeeley answered that function has not been discussed, but the tenant is open to the idea.
CM Salinas requested that the tenant prepare a more defined, clear plan with specific improvements.
CM Salinas noted the shopping center across the street will be redeveloped. This section of West Winton Avenue will be an important corridor for the community. Mayor Halliday agreed and thinks a viewing area would be an upgrade to the leasehold.
A motion was made by Mayor Halliday and seconded by CM Salinas for the item to be brought back for further discussion at the next CAC meeting. The motion passed.
3. Update on Reuse of Skywest Property (oral report)
Mr. McNeeley presented the informational report.
Public Comments
Mimi Dean stated that the Eden MAC wants staff to return to discuss updates to plans regarding the reuse of Skywest Property. Ms. Dean stated that neighbors surrounding the former golf course are concerned by the proposed business park. She would like more open space.
Randy Waage spoke of a need for more recreational space in the reuse plans.
Committee Comments
Mayor Halliday asked who will maintain the former golf course property if it remains as open space. Airport Manager McNeeley stated that it depends on the nature of the improvements and whether the space is subleased to a commercial tenant. It is up to City Council to determine the final mix of uses for the property.
Director Ameri added that it would cost about $6 million to lease the entire 126-acre site. It is unlikely one entity would wish to incur such a cost for open space. Therefore, Staff has dedicated a portion of the property for an office park.
4. Aircraft Noise in Community & Annual Noise Report for 2021
Airport Operations Specialist Arturo Hurtado presented the report.
Public Comments
Mimi Dean stated that she stopped calling about aircraft noise. Ms. Dean also had comments regarding flight paths and noise levels for jet and single-engine aircraft. Mr. McNeeley noted that Hayward is the only general aviation airport in the San Francisco Bay Area with a noise ordinance approved by City Council. This ordinance allows staff to levy administrative and monetary penalties for non-compliance.
Committee Comments
Mayor Halliday asked staff to define the term “unique noise signature” for aircraft. Mr.
McNeeley said that some aircraft produce a unique sound that, while noticeable, does not exceed the decibel limits set by the noise ordinance.
Mayor Halliday asked if Reno Air Race aircraft could conduct maintenance flights at other airports. Mr. McNeeley said that the fuel capacity of these aircraft often does not provide sufficient range to permit flights to other airports.
Mayor Halliday asked why there were so many complaints from Los Gatos. Airport Manager McNeeley answered that flight tracking websites allow the public to determine where each flight originated.
Mayor Halliday reminded staff that aircraft noise can be intrusive. Mr. McNeeley agreed. He said that as aircraft technology advances, noise will be reduced. Electric aircraft are generating interest and they will be quieter than today’s piston-powered aircraft, with a lower carbon footprint.
5. Updated 2022/2023 Agenda Planning Calendar
Airport Manager McNeeley presented the informational report of the upcoming items.
Public Comments
None.
Committee Comments
No comments or requests for additional agenda items by the Committee.
Committee Member/Staff Announcements and Referrals
Mr. McNeeley announced that the Airport Open House is scheduled for Sunday, September 11, 2022, from 10:00 AM to 3:00 PM. This year’s event will recognize members of the US Armed Forces and local first responders.
Director Ameri announced the beginning of a paving project along West Winton Avenue. The area to be paved is between the cross street of Santa Clara to the shoreline center at the end of West Winton Avenue.
ADJOURNMENT
The meeting adjourned at 10:44 a.m.
Meeting Attendance
Present Present Excused Absent
06/24/22 to Date This to Date This to Date This
Meeting Calendar Year Calendar Year Calendar Year
Mark Salinas 2 0 0
Barbara Halliday 2 0 0
Francisco Zermeño x 1 0 1
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: ACT 22-104
DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT
Montecito Development LLC - Ground Lease for California Air National Guard Site That the Council Airport Committee (CAC) reviews this report and provides comments and a recommendation to Council to move forward with a new ground lease with Montecito Development LLC (Montecito) for the California Air National Guard (CANG) site.
SUMMARY
The CANG site at the Hayward Executive Airport (Airport) has been vacant since 1980, and it was officially released to the City by the United States Government in 2012. For over ten years, the City has marketed the parcel for aeronautical use, but interest has been minimal due to current market conditions that favor non-aeronautical use.
In the past several years, staff has received several inquiries about non-aeronautical use, with Montecito Development previously expressing strong interest for a “flex” type of development that includes retail, office, and warehouse space, as well as space for a museum honoring the Tuskegee Airmen. After Council requested that the property be re-evaluated for the best and highest use possible, the plan pivoted away from a warehouse to advanced manufacturing, with the museum for the Tuskegee Airmen and the space for community service organizations retained in the new plan.
The developer has agreed, in principle, to enter into a lease agreement with the following deal points:
· 50-year lease term
· A rent amount of approximately $66,400 per month once project is fully developed · A 2,000-square-foot building, which would house the Tuskegee Airmen Museum, leased to the City for $1 per year
· A 4,000-square-foot building, which would provide space for community service organizations, leased to the City for $1 per year
· Use of the site for advanced manufacturing and life sciences · Installation of Hayward History Walk Stations around the development, which will reflect the unique history of the City of Hayward, including events, people, and special places, such as Russell City
Development of the parcel will commence once it is released by the FAA for non-aeronautical use and the CITY OF HAYWARD Printed on 10/24/2022Page 1 of 2
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File #:ACT 22-104
zoning designation for the site is changed from Airport Terminal - Airport Commercial to Airport Terminal - Commercial; both requests will be submitted for review in the near future.
ATTACHMENTS
Attachment I Staff Report
Attachment II CANG site map
CITY OF HAYWARD Printed on 10/24/2022Page 2 of 2
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DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT: Montecito Development LLC – Ground Lease for California Air National Guard Site
RECOMMENDATION
That the Council Airport Committee (CAC) reviews this report and provides comments and a recommendation to Council to move forward with a new ground lease with Montecito Development LLC (Montecito) for the California Air National Guard (CANG) site.
SUMMARY
The CANG site at the Hayward Executive Airport (Airport) has been vacant since 1980, and it was officially released to the City by the United States Government in 2012. For over ten years, the City has marketed the parcel for aeronautical use, but interest has been minimal due to current market conditions that favor non-aeronautical use.
In the past several years, staff has received several inquiries about non-aeronautical use, with Montecito Development previously expressing strong interest for a “flex” type of development that includes retail, office, and warehouse space, as well as space for a museum honoring the Tuskegee Airmen. After Council requested that the property be re- evaluated for the best and highest use possible, the plan pivoted away from a warehouse to advanced manufacturing, with the museum for the Tuskegee Airmen and the space for community service organizations retained in the new plan.
The developer has agreed, in principle, to enter into a lease agreement with the following deal points:
50-year lease term
A rent amount of approximately $66,400 per month once project is fully developed A 2,000-square-foot building, which would house the Tuskegee Airmen Museum, leased to the City for $1 per year
A 4,000-square-foot building, which would provide space for community service organizations, leased to the City for $1 per year
Use of the site for advanced manufacturing and life sciences
Installation of Hayward History Walk Stations around the development, which will reflect the unique history of the City of Hayward, including events, people, and special places, such as Russell City
Development of the parcel will commence once it is released by the FAA for non- aeronautical use and the zoning designation for the site is changed from Airport Terminal – Airport Commercial to Airport Terminal – Commercial; both requests will be submitted for review in the near future.
BACKGROUND
The Airport and all its facilities were originally transferred from the United States Government to the City in 1947 in the form of a quitclaim deed. The City entered into an agreement with the U.S. Government in 1949 for continued use of approximately 27 acres of the Airport by the U.S. Air Force and the CANG site. The CANG site was used by various military units until 1980 when approximately 24 acres was vacated and eventually returned to the City in September 2012. Three acres are still currently leased by the CANG.
The FAA prefers that owners of public-use airports use airport property for aeronautical purposes, and the City has been actively searching for aeronautical tenants for the CANG site. Requests for Proposals (RFP) were released in 2001 and 2007, several responses were received, and one response for the development of corporate aircraft hangars was determined to have merit. However, negotiations were unsuccessful.
A second RFP was released in 2016 in which none of the three respondents met the minimum specified qualifications. Later, staff contacted commercial real estate agents for assistance in identifying prospective tenants, and staff fielded several inquiries. Despite this effort, the CANG parcel could not be leased in whole or in part for aeronautical purposes.
Feedback received from some potential tenants indicated the condition of the CANG site was a factor in their decision to forego the opportunity. The buildings do not meet modern code requirements and are believed to contain some lead paint and asbestos. Potential aeronautical tenants found the estimated cost of demolition and environmental remediation to be prohibitive. As a result, efforts are now focused on non-aeronautical development.
In 2018, staff held preliminary discussions with local developer Montecito Development LLC for the development of the Hayward Airport Commerce Center, an office and warehouse complex. However, upon further review, that proposal was unsuccessful.
Montecito later re-structured their proposal and turned their focus to life sciences and advanced manufacturing development.
Montecito’s experience includes projects in Richmond, Buchannan Field in Concord, and the Livermore Airport. Montecito Development has recently completed eleven advanced manufacturing projects in the life sciences field. Six agreements for advanced manufacturing have been signed with companies such as ThermoFisher and Tenaya. Eleven
projects in the electronic products field have also been completed, including a 248,000 square foot facility for Siemens and a 440,000-square-foot facility for Tesla.
DISCUSSION
Montecito Development is proposing an advanced manufacturing development project.
Advanced manufacturing includes the use of innovative technologies to improve products or processes. Such products or processes include life sciences, such as drugs and therapeutics, or electronic products, such as robotics and energy. Advanced manufacturing is a burgeoning industry, with over 100,000 STEM and 7,000 bio manufacturing jobs within a 30-minute drive of Hayward.
The preliminary site plan submitted by Montecito Development depicts three buildings that total approximately 332,000 square feet. The architectural design of the buildings will be high end and include flexible spaces that can be adaptable for multiple users.
Another key component of this development is a building totaling 2,000 square feet to house a museum honoring the Tuskegee Airmen, and a building of 4,000 square feet to house community service organizations including the Civil Air Patrol, Young Marines, and the U.S. Coast Guard Cadets.
Commensurate with the ground lease for Meridian Hayward and other substantial multi- million-dollar capital projects at the Airport, a lease term of 50 years is anticipated. Other key terms of the lease are as follows:
A rent amount of approximately $66,400 per month once project is fully built A 2,000-square-foot building, which would house the Tuskegee Airmen Museum, would be leased to the City for $1 per year
A 4,000-square-foot building, which would provide space for community service organizations, would be leased to the City for $1 per year Use of the site for advanced manufacturing and life sciences Installation of Hayward History Walk Stations around the development, which will reflect the unique history of the City of Hayward, including events, people, and special places, such as Russell City
Over the 50-year life of the project, the developer estimates the generation of $1 million in sales tax, $94 million in wages, and $177 million in direct economic impact. The annual rental revenue will assist in making the Airport financially self-sustaining in compliance with Council directives and FAA policy guidance, and it will be dedicated to Airport capital projects, equipment needs, and staffing requirements. The existing abandoned buildings on the site will be removed using private resources. Environmental remediation of the site by the federal government was concluded in 2013.
Prior to development, the FAA must review and approve the leasehold for non-aeronautical use. The release process requires a detailed explanation from the airport owner (City) to justify FAA approval, and it also requires review by several levels of the FAA, including their headquarters in Washington, D.C. The process typically takes six to nine months. City
staff is in the process of drafting the written request. In addition, the zoning designation for the site must be changed from Airport Terminal – Airport Commercial (AT-AC) to Airport Terminal – Commercial (AT-C). Initial discussions have started with Development Services to effect this change.
According to the City Attorney, under the California Government Code and provisions of the City Charter, the City has the option to either entertain new business proposals from individuals or companies that may be received from time to time or solicit public interest for development opportunities through a Request for Proposals (RFP). Also, the FAA permits airport sponsors to enter long-term leases by negotiation or solicitation. The City has taken both approaches in the past. For example, Ascend Development contacted the City in 2000 and their proposal for development of aircraft hangars was subsequently approved by Council, and the City also participated in lease negotiations for development of an FBO after being contacted by Meridian Companies. In other instances, the City has issued a RFP, including one for development of the CANG site and, separately, for the lease of an existing commercial hangar.
ECONOMIC IMPACT
The proposed development would generate work for skilled and unskilled tradespeople during the construction phase, and skilled workers in the life sciences and advanced technology fields after the development is fully built. Furthermore, the City’s General Fund would benefit from additional business license fees and sales tax.
FISCAL IMPACT
The Airport is operated as a financially independent enterprise fund. It receives no financial support from the City’s General Fund and must solely rely on the revenue it generates to fund its annual operating and capital improvement budgets. FAA regulations require the airport to be as financially self-sustaining as possible, under the circumstances, and this is also an objective of Council. The development of the CANG parcel by Montecito Development will contribute approximately $800,000 in annual lease revenue for the Airport Operating Fund. The revenue can be dedicated to capital improvements, such as $18 million in paving needs. Over the life of the project, it is also estimated to generate $1 million in sales tax, $94 million in wages, and $177 million in direct economic impact.
STRATEGIC ROADMAP
This agenda item is a routine operational item and does not relate to one of the Council’s six Strategic Priorities.
SUSTAINABILITY FEATURES
The Airport is strongly committed to developing projects that are environmentally responsible. Therefore, staff will ensure than all plans proposed by the developer incorporate features that are in line with the City’s sustainability guidelines.
PUBLIC CONTACT
The agenda and staff report for this item have been posted on the City’s website and distributed to interested parties. Furthermore, this development has been previously discussed with the CAC on April 28, 2022 and with Council on June 14, 2022.
NEXT STEPS
If approved by the CAC, staff will forward this item to Council for their approval in November 2022.
Prepared by: Doug McNeeley, Airport Manager
Recommended by: Alex Ameri, Director of Public Works
Approved by:
Kelly McAdoo, City Manager
Attachment II
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: ACT 22-106
DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT
Raja Indian Cuisine - New Ground Lease
RECOMMENDATION
That the Council Airport Committee (CAC) reviews this report and provides comments and a recommendation to the Council to move forward with a new ground lease with Raja Indian Cuisine.
SUMMARY
Raja entered into an assignment in 2002 for the leasehold previously held by Manzella’s Seafood Loft after the latter decided to sell their leasehold interest. The restaurant is located at 1275 West Winton Avenue and encompasses 60,437 square feet.
The current lease agreement expires in January 2023. However, the principals of the restaurant desire to enter into a new lease agreement with the following deal points:
· Thirty-five-year lease term
· A rent increase to $5,540.06 per month
· Significant interior and exterior capital improvements totaling approximately $1 million This item was initially presented to the CAC during their June 24, 2022 meeting. After review, the CAC suggested changes to the building façade and landscaping plan, commensurate with other improvements planned for the West Winton corridor near the Airport.
ATTACHMENTS
Attachment I Staff Report
Attachment II Leasehold Map
Attachment III Renderings
CITY OF HAYWARD Printed on 10/24/2022Page 1 of 1
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DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT:
Raja Indian Cuisine – New Ground Lease for Property at 1275 West Winton Avenue
RECOMMENDATION
That the Council Airport Committee (CAC) reviews this report and provides comments and a recommendation to the Council to move forward with a new ground lease with Raja Indian Cuisine.
SUMMARY
Raja entered into an assignment in 2002 for the leasehold previously held by Manzella’s Seafood Loft after the latter decided to sell their leasehold interest. The restaurant is located at 1275 West Winton Avenue and encompasses 60,437 square feet.
The current lease agreement expires in January 2023. However, the principals of the restaurant desire to enter into a new lease agreement with the following deal points:
Thirty-five-year lease term
A rent increase to $5,540.06 per month
Significant interior and exterior capital improvements totaling approximately $1 million
This item was initially presented to the CAC during their June 24, 2022 meeting. After review, the CAC suggested changes to the building façade and landscaping plan, commensurate with other improvements planned for the West Winton corridor near the Airport.
BACKGROUND
The subject parcel of land is located on the south side of the Airport at 1275 West Winton Avenue and encompasses 1.4 acres. The property was originally leased to Manzella’s Seafood Loft (Manzella) restaurant in 1972. However, in 2002, Manzella sold their restaurant and leasehold interest to Makhan Bains and Ravinder Singh.
Now known as Raja Indian Cuisine, the restaurant’s business primarily focuses on catering, with limited walk-in traffic.
DISCUSSION
The lease term commenced on February 1, 1973 and ends on January 31, 2023.
However, the principals have requested a new lease. Their leasehold is 60,437 square feet, or approximately 1.4 acres, and contains one building for the restaurant, and outdoor parking.
The following revisions are proposed:
General Terms
The new lease will have a term of thirty-five years.
o Fifty years was requested, but the Airport rarely enters into such lease agreements, the maximum permitted under the City Charter and by the Federal Aviation Administration (FAA). The term limit is a function of future job production and capital investment.
o For refurbishments and improvements to existing buildings, a thirty-five- year lease is appropriate and consistent with past tenants who proposed similar capital improvements.
The new lease will take effect on the first day of the month after full execution of the agreement.
Rent is currently $1,510.93 per month but will increase to $5,540.06 per month. o During the construction period, which is expected to take approximately nine months, the Airport would consider a reduced rental amount until the improvements are completed and a Certificate of Occupancy is issued, and then full rent would be assessed.
Capital Improvements
Per input from CAC members, the proponents for Raja provided an enhanced version of the project, including a more detailed narrative outlining the proposed improvements, as well as revised and enhanced renderings that better depict the vision for the restaurant (Attachment III). Special attention was paid to developing architectural features commensurate with the West Winton corridor, as the restaurant will be a high-visibility gateway to that corridor.
Exterior Improvements
o Addition of new architectural feature shown as “tower element” in the front elevation of the building, existing sloping roof to the east and west wings of the entrance shall be improved to match the roof of the new tower. This will be new construction to provide a covered entrance to the building together with construction of new vestibule area with storefront glass and sliding doors as well as the new roof for the east and west wings. o This extension will include new construction with architectural columns and tower element with new building signage and art fixtures. o New ornate wall light fixtures will also be installed.
o The tower will have backlit art features and new signage on three sides of the tower as well as along the front (south) elevation and the east elevation.
o The façade of the existing wings to the east and west will be improved with new decorative architectural metal panels replacing existing angled wood panels without dividing trim, and six light fixtures. o New double sliding doors and storefront windows will be installed to provide for a new entry vestibule, which will be designed and added to the building.
o The three remaining exterior elevations (north, east and west) will be treated with new paint. Exterior walls will be replaced or repaired as needed and new paint and trim colors will be applied to enhance the building.
o The east elevation will also feature a new, replica tower element similar to the front tower, with a new business sign enclosed within this feature.
This will enhance the easterly elevation as viewed from West Winton Avenue.
o A new or repaired monument sign will be installed to replace the existing monument sign.
o Exterior improvements will also include re-surfacing and striping of the parking lot and upgrading existing landscape in compliance with FAA regulations for the Airport Wildlife Hazard Plan and the Water Efficient Landscape Ordinance.
This list of exterior improvements was reviewed by the City’s Landscape Architect and additional changes were incorporated:
Improvements to the existing sloping to the east and wings of the entrance so that they match the roof of the new tower
New roof for the east and west wings
Improvements to the existing east and west wings via decorative metal panels that would replace the existing angled wood panels without divisions Upgrades to existing landscape should be in compliance with FAA regulations pertaining to the Airport Wildlife Hazard Plan and the City’s Water Efficient Landscape Ordinance.
The requested modifications have been discussed with the proponents, and they have agreed to change the renderings to reflect the noted changes.
Interior Improvements
o The front entrance to the building will be redesigned with the new tower element and include new store front windows, a new entry with double sliding doors, a new vestibule with second set of double sliding doors leading to the restaurant, and a redesigned banquet hall. o The existing raised floor in the food service buffet area will be removed and replaced to the original floor, level with the rest of the interior building flooring.
o Existing floor tiles will be removed and replaced with new flooring featuring newer, modern, and contemporary tiles and design patterns.
o New floor base boards to match and enhance the new flooring will be installed.
o The existing bar fixtures and cabinets will be removed and replaced with new bar and cabinetry. New shelving and undercounter appliances will be installed.
o Both the men’s and women’s bathrooms will be fully remodeled and modernized in a contemporary style. Both restrooms will be upgraded to comply with ADA requirements.
Both restrooms will be gutted, removed, and re-constructed with new tile flooring and baseboards.
New bathroom stalls, shelves, cabinets, and faucets will be installed.
Existing stalls and toilet/urinals will be removed and reconstructed with new partitions and fixtures.
New vanity mirrors and light fixtures will be installed. o Interior walls of the restaurant/banquet hall will be repaired and repainted with accents and contemporary colors.
o Four centrally located interior columns will be removed to provide a more open floor area to the restaurant/banquet hall. Interior structural framing will be redesigned to accomplish this new floor design. o New architectural light fixtures plus a new chandelier will be installed to enhance the new, redesigned floor space.
o All previous code compliance items, including stairs and landing, second floor office space, and storage areas will be corrected per the City's Building Code. The DJ booth has already been removed as previously requested. All electrical items and electrical subpanels will be upgraded and corrected to meet City codes.
ECONOMIC IMPACT
Raja will provide employment opportunities for a variety of workers during the construction of the above noted capital improvements.
FISCAL IMPACT
As noted, Raja is currently paying $1,510.93 per month, or $18,131.16 per year. Under the terms of the new lease, the monthly amount would increase to $5,540.06 per month, or $66,480.70 annually; this new rate reflects the existing non-aeronautical rate charged to all aviation-related tenants of $1.10 per square foot, per year. This amount would remain the same until January 2023, where, along with the other land leases, it will be adjusted by the CPI and by no more than seven percent; this “capping” of the CPI at seven percent is included with other land leases at the Airport. This CPI adjustment is normal and customary for all land leases at the Airport. Assuming the maximum rate of 7%, the monthly rent would increase to $5,927.86 or $71,134.37 annually by January 2023. Therefore, the cumulative, maximum net annual increase by January 2023 over the current amount of $18,131.16 per year would be $53,003.21 ($71,134.37 minus $18,131.16).
STRATEGIC ROADMAP
This agenda item pertains to development at the Airport and does not directly relate to any of the six priorities outlined in the Council’s Strategic Roadmap.
SUSTAINABILITY FEATURES
The Airport is committed to developing projects that are environmentally responsible.
Therefore, staff will ensure than the work scope incorporates features that are in line with the City’s sustainability guidelines.
PUBLIC CONTACT
The agenda and staff report for this item have been posted on the City’s website and distributed to interested parties. In addition, Airport staff have held numerous meetings with Raja over the past year to finalize the terms of the new lease. Furthermore, this item was discussed at the CAC’s June 24, 2022 meeting.
NEXT STEPS
If approved by the CAC, staff will present this item for Council for consideration in November 2022.
Prepared by: Doug McNeeley, Airport Manager
Recommended by: Alex Ameri, Director of Public Works
Approved by:
Kelly McAdoo, City Manager
Attachment II
West Winton Avenue
Restaurant
Leasehold
Attachment III
Attachment III
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 22-101
DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT
Oral Presentation: Update on Reuse of Skywest Property
RECOMMENDATION
That the Council Airport Committee receives an oral presentation on the reuse of the Skywest Property.
SUMMARY
Staff will present an oral update on the reuse of Skywest Property.
ATTACHMENTS
None
CITY OF HAYWARD Printed on 10/24/2022Page 1 of 1
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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 22-102
DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT
Updated 2023 Agenda Planning Calendar
RECOMMENDATION
That the Council Airport Committee reviews and comments on this report.
SUMMARY
The updated 2023 Agenda Planning Calendar is presented for the Committee’s review and comment.
ATTACHMENTS
Attachment I Staff Report
CITY OF HAYWARD Printed on 10/24/2022Page 1 of 1
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DATE: October 27, 2022
TO: Council Airport Committee
FROM: Director of Public Works
SUBJECT: Updated 2023 Agenda Planning Calendar
RECOMMENDATION
That the Council Airport Committee (CAC) reviews and comments on this report.
SUMMARY
The updated 2023 Agenda Planning Calendar is presented for the Committee’s review and comment.
DISCUSSION
For the CAC’s consideration, staff has prepared this updated 2023 Agenda Planning Calendar with topics and anticipated discussion dates listed below.
JANUARY 26, 2023
1. Skywest Property Update
2. Update on Sulphur Creek Project
3. Hangar Repair Project Update – Phase III
APRIL 27, 2023
1. Skywest Property Update
2. Airport Layout Plan with Narrative – Project Update
3. Pavement Management Plan – Project Update
JULY 27, 2023
1. Skywest Property Update
2. Internship Opportunities at Airport
UNSCHEDULED
1. Attracting Small Commercial Flight Operators
2. Report on Summer Activities for Teens at Other General Aviation Airports
3. Partnership Opportunities with Other Airports for U.S. Customs
4. Taxiways Zulu & Foxtrot – Project Update
NEXT STEPS
Upon consideration and approval from the Committee, staff will schedule items accordingly for future CAC meetings.
Prepared by: Douglas McNeeley, Airport Manager
Recommended by: Alex Ameri, Director of Public Works
Approved by:
Kelly McAdoo, City Manager