Park Bench Café
Lease Agreement
Amendment No. 2
and Assignment
& Assumption of
Lease
October 6, 2026
Analysis
On August 6, 2012, the City Council approved a 10-year
Lease Agreement (“Lease”) with Park Bench Cafe, a
California Corporation for the operation of a food concession located at 17732 Goldenwest Street in Huntington Central Park East. The lease was amended in March 2023, with the new (current) rent structure and 10-year extension ending on August 5, 2032.
Analysis
Park Bench Cafe is currently operated by Michael and Christie Bartusick. This small local business operates as an outdoor café serving residents and visitors out of the approximately 1,300 square foot concession.
Recently, Michael Bartusick approached staff about selling the business to 2R2S, LLC.
2R2S, LLC is a locally rooted ownership group combining decades of experience in restaurant operations, real estate, business management, and community-focused
programming. The team brings a balanced approach of
operational expertise, financial oversight, and a strong commitment to maintaining and enhancing the Park Bench
Café as a valued community asset.
Analysis Continued
In order for 2R2S, LLC to operate Park Bench Cafe, a
formal assignment and assumption of the Lease is needed to transfer the Lease terms, conditions, and all obligations.
Section 34 (a) of the Lease states that the Lessee shall not voluntarily assign or otherwise transfer its interest in the Lease or in the Premises, without prior written consent of the City. The City Attorney’s Office has prepared a Consent to Assignment and Assumption of Lease Agreement for
Park Bench Cafe to complete the transaction.
Analysis Continued
• Term: 10-year term from date of amendment execution
• Options: One 5-year option
• Base Monthly Rent: $1,600.61 - subject to annual CPI increases o The base rent escalates by utilizing the All-Urban Consumers (CPI-U) for the Los Angeles-Long Beach-Anaheim Area (1982-84=100) as published by the U.S. Bureau of Labor Statistics
• Percentage Rent:
o $0 - $100,000 of Gross sales = 8.0%
o $100,000.01 - $150,000 of Gross Sales = 9.0%
o 150,000.01 - $200,000 – 10.0%
o Over $200,000.01 of gross sales = 11.0%
• Lessee is responsible for all existing maintenance requirements and will also be responsible for the roofing system and HVAC systems.
Financial Impact
The Lease Agreement will continue the existing rent structure with a base rent of $1,600.61 and percentage rent of 8%, 9% 10% and 11% according to Gross Sales volume. No impacts to the General Fund are anticipated because of this action.
Recommended Action
A) Approve Amendment No. 2 for Park Bench Café to the
Lease dated August 6, 2012, between the City of
Huntington Beach and Park Bench Café, and;
B) Approve the Consent to Assignment and Assumption
of Lease Agreement to 2R2S LLC, a California Limited
Laability Company for a Huntington Central Park East
Food Concession located at 17732 Goldenwest Street,
Huntington Beach, California.
The Lease Ad-Hoc Committee (EDC) reviewed the
request for Assignment at the May 13, 2026, meeting and recommended approval.
Questions?