CITY COUNCIL STAFF REPORT
DATE: April 8, 2026 CONSENT CALENDAR
SUBJECT: AMENDMENT NO. 5 TO THE LEASE FOR THE PALM SPRINGS VISITOR CENTER PREMISES FOR A PORTION OF 2901 NORTH PALM CANYON DRIVE (PORTION OF APN 504-040-001) BY AND BETWEEN THE CITY
OF PALM SPRINGS AND THE AGUA CALIENTE BAND OF CAHUILLA
INDIANS
FROM: Scott C. Stiles, City Manager
BY: Economic Development
SUMMARY:
This action will approve Amendment No. 5 to the Lease for the Palm Springs Visitor Center Premises for a portion of 2901 North Palm Canyon Drive (portion of APN 504- 040-001) by and between the City of Palm Springs and the Agua Caliente Band of Cahuilla Indians (“Tenant”). The amendment formalizes the Tenant’s exercise of an option to extend the lease term and provides for an additional renewal structure, extending occupancy through September 30, 2027, with a potential automatic extension to September 30, 2029, subject to notice provisions.
RECOMMENDATION:
1. Approve Amendment No. 5 to the Lease for Visitor Center Premises with the Agua Caliente Band of Cahuilla Indians subject to final City Manager and City Attorney approval as to form.
2. Authorize the City Manager or designee to execute all necessary documents.
BUSINESS PRINCIPAL DISCLOSURE:
The Agua Caliente Band of Cahuilla Indians is a federally recognized Indian tribe.
Disclosure documentation is not required under City municipal disclosure requirements.
BACKGROUND:
On September 29, 2010, the former Community Redevelopment Agency entered into a lease agreement with the Agua Caliente Band of Cahuilla Indians for the use of space at the Palm Springs Visitor Center.
City Council Staff Report
April 8, 2026 -- Page 2
Amendment No. 5 to Visitor Center Lease with Agua Caliente Band of Cahuilla Indians Ownership of the Visitor Center Premises was transferred to the City of Palm Springs in 2011, subject to the terms of the lease.
Since the original lease term, the City and Tenant have approved a series of amendments extending the lease as follows:
Amendment No. 1 (2014): Extended to September 30, 2015 Amendment No. 2 (2015): Extended to September 30, 2018 Amendment No. 3 (2018): Extended to September 30, 2020 Amendment No. 4 (2020): Extended to September 30, 2025 Amendment No. 5 continues this long-standing partnership and occupancy arrangement at the Visitor Center. The Tenant is currently in hold-over status until this lease is executed.
STAFF ANALYSIS:
Amendment No. 5 formalizes the Tenant’s exercise of its renewal option under the existing lease framework and extends the lease term for an additional two (2) years, from October 1, 2025 through September 30, 2027.
In addition, the amendment provides for an automatic extension for one additional two- year period (through September 30, 2029), unless either party provides written notice of non-renewal at least thirty (30) days prior to the expiration of the current term.
All other terms and conditions of the existing lease remain unchanged unless otherwise mutually amended in writing. The amendment maintains operational continuity at the Visitor Center and preserves an established partnership with the Agua Caliente Band of Cahuilla Indians, which contributes to visitor services and cultural representation at a key gateway location within the City.
The Tribe has also agreed to the terms herein. And, the lease has been reviewed by the General Manager of the Palm Springs Convention Center which oversees use and operation of the Visitor Center pursuant to their management contract executed in 2025.
ENVIRONMENTAL ASSESSMENT:
The proposed action is not a “Project” as defined under the California Environmental Quality Act (CEQA) pursuant to Section 15378, as it constitutes an administrative activity that will not result in a direct or reasonably foreseeable indirect physical change in the environment.
ALIGNMENT WITH STRATEGIC PLANNING:
This item supports the City’s Economic Development Strategic Framework under:
Principle C: Bolster Core Industries, which prioritizes strengthening tourism, hospitality, and cultural assets as key economic drivers; City Council Staff Report
April 8, 2026 -- Page 3
Amendment No. 5 to Visitor Center Lease with Agua Caliente Band of Cahuilla Indians Initiative C5: Expand Palm Springs’ roster of visitor attractions and hospitality businesses, focused on maintaining and enhancing visitor-serving assets; and
Action C5.1: Create and maintain an inventory of visitor experiences, landmarks, and cultural assets, supporting coordinated promotion and activation of key destinations, including the Palm Springs Visitor Center.
Approval of this amendment ensures continued operation and activation of a primary visitor gateway facility, supporting the City’s broader strategy to enhance visitor experience and sustain tourism-driven economic activity.
FISCAL IMPACT:
The amendment extends an existing lease agreement and does not introduce new fiscal obligations beyond those already contemplated in the original lease and prior amendments. Any future rent adjustments for subsequent renewal terms may be negotiated by mutual agreement of the parties.
REVIEWED BY:
Department Director: Wayne Olson
City Attorney: Jeffrey S. Ballinger
City Manager: Scott Stiles
ATTACHMENTS:
A. Amendment No. 5 to the Lease for the Palm Springs Visitor Center premises for a portion of 2901 North Palm Canyon Drive (portion of APN 504-040-001) by and between the City of Palm Springs and the Agua Caliente Band of Cahuilla Indians.