Lease Agreement with
Surf City Partners, LLC
for 21 and 22 Main Street
at the Huntington Beach Pier
October 1, 2024
Project Overview
Project Background
• 2021: City released an RFQ for
an 800 SF concession space at
21 Main Street.
• Surf City Partners, LLC (SCP)
was selected to convert the
space into a restaurant and bait-
and-tackle shop.
• 2022: Exclusive Negotiation
Agreement was amended to
include the restroom building at
22 Main Street.
Project Proposal
• Huntington’s: New restaurant/bar with
outdoor seating and a walk-up window.
• 21 Main Street: 220 SF addition to
existing building, allowing for a total
occupancy of 75.
• 22 Main Street: Remodel of public
restrooms, addition of bait-and-tackle
shop, and new storage area.
• Approvals: Design Review Board,
Conditional Use Permit (CUP), and
Coastal Development Permit (CDP).
Lease Boundary
Proposed Floor Plans
Public Restroom Remodel
Bait Shop Relocation
Lease Terms
Base Rent $66,000 per year ($5,500 per month), with 3% annual increases
Percentage Rent 3% of gross sales over $2 million per year Rent Commencement Earlier of business opening or 15 months following lease execution
Rent Credit $300,000 for restroom improvements at 22 Main Street (applied over approx. 5 yrs)
Term
Initial term (approx. 19 years) to align with City's lease (2043) with the State with three 10-year extension
options
Permit Fees Waiver of up to $50,000 in plan check and building inspection fees
Project Benefits
• New restaurant and bar with outdoor
seating and walk-up window.
• Remodeled public restrooms with
enhanced ADA compliance.
• New bait-and-tackle shop and additional
fishing pole holders/recycling bins.
• Biannual fishing derby for youth.
• 20-25 new jobs created.
• $1 million in building improvements
• Public Art Mural
• Locally Owned & Managed
Recommendation
Approve and authorize the Mayor and City Clerk to execute the “Lease Between the City of Huntington Beach and Surf City Partners, LLC” Approve the waiver of up to $50,000 in City permit fees affiliated with plan check and building division inspection fees.
Thank you