Public Works Agency
www.santa-ana.org/public-works
Item # 40
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
February 20, 2024
TOPIC: Lease Agreement for Office Space at the Santa Ana Regional Transportation Center
AGENDA TITLE
Approve an Appropriation Adjustment and Lease Agreement with Aldridge Electric, Inc. for Office Space at the Santa Ana Regional Transportation Center for a One-Year Term with Twelve One-Month Extensions for a Total Revenue Amount of $283,944 (Non- General Fund)
RECOMMENDED ACTION
1. Authorize the City Manager to execute a site lease agreement with Aldridge Electric, Inc. for the lease of 2,041 square feet of office space located at the Santa Ana Regional Transportation Center for a one-year term beginning on February 20, 2024 through February 19, 2025, for a total of $283,944 in lease revenue for the entire term of the agreement, including optional extensions (Agreement No. A-2024-XXX).
2. Approve an appropriation adjustment recognizing Fiscal Year 2023-24 lease income in the amount of $44,558 into the SARTC Operations, Rental-Aldridge Electric revenue account and appropriating the same amount into the SARTC Operations, Contractual Services expenditure account. (Requires five affirmative votes)
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
The Santa Ana Regional Transportation Center (SARTC) is a regional transportation hub that brings together Amtrak, Metrolink, Orange County Transportation Authority (OCTA), interstate bus services, and in the future, the OC Streetcar. The facility is open to the public seven days a week from 5:00 a.m. to midnight and contains approximately 35,000 square feet of rental space, including ten bus bays.
The OC Streetcar is the first modern streetcar project to be built in Orange County. It will service Santa Ana’s historic downtown, which includes federal, state, and local courthouses; government offices; colleges; an artists’ village; and a thriving restaurant
Lease Agreement for Office Space at the Santa Ana Regional Transportation Center February 20, 2024
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scene. The OC Streetcar will operate along a 4.15-mile route that connects SARTC and a new transit hub at Harbor Boulevard and Westminster Avenue in Garden Grove.
The City has been contacted by sub-contractors working on the OC Streetcar Project to lease space at SARTC, including Aldridge Electric who is interested in leasing 2,041 square feet of office space due to close proximity to the project site. Aldridge Electric has been an active contractor of this project and has been leasing office space at SARTC since February 2019. As the OC Streetcar project continues, Staff recommends continuing to lease this space for the one-year term beginning on February 20, 2024 through February 19, 2025. The monthly lease will be $10,361, with any partial month prorated at $346 per day. For the optional twelve one-month extension, the monthly lease will increase to $13,469, with any partial month prorated at $449 per day.
FISCAL IMPACT
Approval of the site lease agreement obligates Aldridge Electric, Inc. to compensate the City $283,944 for the term of the lease agreement including renewal options for lease of interior office space at the SARTC. Approval of the appropriation adjustment will recognize Fiscal Year 2023-24 lease income in the amount of $44,558 into the SARTC Operations, Rental-Aldridge revenue account (No. 06717002-53826) and appropriate the same amount to the SARTC Operations, Contractual Services expenditure account (No. 06717650-62300).
The following table summarizes the funds budgeted in FY 2023-24 and available for expenditure.
Fiscal
Year
Accountin
g Unit -
Account #
Fund
Description Accounting Unit,
Account Description Amount
Appropriation Adjustment
2023-24
(Feb-June)
06717650-
62300
Regional
Transportation
Center
PWA-SARTC
Operations, Contract
Services-Professional
$44,558
Renewal Options
2024-25 06717650-
62300
Regional
Transportation
Center
PWA-SARTC
Operations, Contract
Services-Professional
$136,570
2025-26
(July-Feb)
06717650-
62300
Regional
Transportation
Center
PWA-SARTC
Operations, Contract
Services-Professional
$102,816
Total: $283,944
Lease Agreement for Office Space at the Santa Ana Regional Transportation Center February 20, 2024
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EXHIBIT(S)
1. Lease Agreement with Aldridge Electric, Inc.
Submitted By: Nabil Saba, P.E., Executive Director – Public Works Agency Approved By: Tom Hatch, Interim City Manager