NVF:CHD:JMD
2/20/2025
T-49178.001 / 2185094_2 1
Council Agenda: 03-04-2025
Item No.: 8.1
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
RESOLUTION NO. ______________
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN
JOSE AUTHORIZING THE CITY MANAGER OR THEIR
DESIGNEE TO (A) NEGOTIATE AND EXECUTE AN
AMENDED AND RESTATED USE, OPERATION, AND
MANAGEMENT AGREEMENT BETWEEN THE CITY OF SAN
JOSE AND DBH SAN JOSE, LLC, FOR THE PROPERTY
COMMONLY KNOWN AS THE SAN JOSE MUNICIPAL
STADIUM LOCATED AT 588 E. ALMA AVENUE, INCLUDING
ALL ANCILLARY DOCUMENTS NECESSITATED TO
EXECUTE THE AGREEMENT, FOR A TERM OF 25 YEARS,
AT A RENT OF $40,000 PER YEAR FOR THE DURATION OF
THE AGREEMENT AND SUBJECT TO THE TERMS
CONTAINED IN THIS MEMORANDUM ; (B) A LLOW FOR
CAPITAL IMPROVEMENTS TO EXCITE BALLPARK FUNDED
BY DBH SAN JOSE, LLC, SUBJECT TO CITY REVIEW AS A
PROPERTY OWNER AS WELL AS ITS PERMITTING
PROCESSES AS A REGULATORY AUTHORITY TO BRING
THE STADIUM IN COMPLIANCE WITH MAJOR LEAGUE
BASEBALL’S PROFESSIONAL DEVELOPMENT LEAGUE
STANDARDS, AS THEY MAY CHANGE FROM TIME TO TIME;
(C) AUTHORIZE THE REIMBURSEMENT BY THE CITY TO
DBH SAN JOSE, LLC FOR EXPENSES INCURRED TO
RENOVATE THE PLAYING FIELD AND DUGOUTS TOTALING
UP TO $5,000,000 TO BE PAID ANNUALLY AS $714,285 FOR
SEVEN YEARS BEGINNING IN FISCAL YEAR 2027-2028 AND
ENDING IN FISCAL YEAR 2033 -2034; AND (D) APPROVE
THE ASSIGNMENT OF ALL STADIUM NAMING RIGHTS AND
COLLECTION OF ASSOCIATED INCOME TO DBH SAN
JOSE, LLC, AND COLLECTION OF ANY
TELECOMMUNICATIONS REVENUES UNDER A POTENTIAL
LEASE TO BE ARRANGED BY THE CITY OF SAN JOSE, FOR
THE DURATION OF THE LEASE
WHEREAS, the San José Municipal Stadium was opened to the public in 1942, and has been the home of the San José Giants, the Single-A affiliate of the San Francisco Giants that plays in the California League, since 1988, and is also a host site for San Jose State Spartans baseball home games, concerts, and local high school baseball NVF:CHD:JMD
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Council Agenda: 03-04-2025
Item No.: 8.1
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
division championships, with an annual stadium usage of approximately 300,000 attendees; and
WHEREAS, the City and DBH San José LLC (DBH), the San José Giants parent company, entered into the current lease agreement for the stadium on January 1, 2022; the term of the current lease is December 31, 2027, with an option to extend the term for an additional five years to December 31, 2032; and
WHEREAS, capital improvements are needed to bring the Municipal Stadium into full compliance with current and prospective Major League Baseball Player Development League regulations throughout the term of the agreement (“Player Development League Improvements”); and
WHEREAS, DBH proposes a $20,000,000 investment to meet the Player Development League Improvements, and will enter into a restated lease that will create a new term of 25 years, expiring on December 31, 2050; and
WHEREAS, the lease extension will ensure Giants baseball stays in San José for 25 years, and the renovations will improve the City’s Municipal Stadium asset, which is also used to host a variety of camps and events when baseball games are not being played;
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SAN JOSE THAT:
The City Manager or their designee is hereby authorized to:
A. N egotiate and execute an amended and restated use, operation, and management agreement between the City of San José and DBH San Jose, LLC, NVF:CHD:JMD
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Council Agenda: 03-04-2025
Item No.: 8.1
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
for the property commonly known as the San Jose Municipal Stadium, which is currently licensed as “Excite Ballpark,” located at 588 E. Alma Avenue, San José, California including all ancillary documents necessitated to execute the agreement, for a term of 25 years, at a rent of $40,000 per year for the duration of the agreement and subject to the terms contained in this memorandum;
B. Allow for capital improvements to Excite Ballpark funded by DBH San Jose, LLC, subject to City review as a property owner as well as its permitting processes as a regulatory authority, that are required to bring the stadium in compliance with Major League Baseball’s Professional Development League standards, as they may change from time to time;
C. Authorize the reimbursement by the City to DBH San Jose, LLC for expenses incurred to renovate the playing field and dugouts totaling up to $5,000,000 to be paid annually as $714,285 for seven years beginning in Fiscal Year 2027-2028 and ending in Fiscal Year 2033-2034; and
D. Approve the assignment of all stadium naming rights and collection of associated income to DBH San Jose, LLC, and collection of any telecommunications revenues under a potential lease to be arranged by the City of San José, for the duration of the lease.
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NVF:CHD:JMD
2/20/2025
T-49178.001 / 2185094_2 4
Council Agenda: 03-04-2025
Item No.: 8.1
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
ADOPTED this _____ day of ___________, 2025, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
MATT MAHAN
Mayor
ATTEST:
TONI J. TABER, MMC
City Clerk