LA County Board

10. Department of Public Health Lease Agreement\nRecommendation: Authorize the Chief Executive Officer to execute a proposed\nten-year lease with Onni Brand Limited Partnership, a Delaware limited\npartnership (Landlord), for the Department of Public Health’s (DPH’s) use of\napproximately 12,245 sq ft of office space and 50 on-site parking spaces\nlocated at 611 North Brand Boulevard, Suite 1150 in Glendale (5), with an\nestimated maximum first-year base rental amount of approximately $471,000,\nbut with a two-month rent abatement of about $79,000, and parking costs of\n$60,000 will equal $452,000, and an estimated total proposed lease amount,\nincluding costs for Tenant Improvements (TIs) and low-voltage costs, of\n$8,823,000 over the ten-year term, the rental costs will be 100% funded by\nState funds that is already included in DPH’s existing budget, and DPH will not\nbe requesting additional Net County Cost; find that the proposed lease is\nexempt from the California Environmental Quality Act; and take the following\nactions:\nAuthorize the Chief Executive Officer to reimburse the Landlord up to\n$1,103,000 for the County’s TI contribution, if paid in lump sum or\n$1,345,000, if amortized over five years at 8% interest per annum;\nAuthorize the Director of Public Health to contract with, and instruct the\nDirector of Internal Services, in coordination with the Chief Executive\nOfficer, for the acquisition and installation of telephone, data, and\nlow-voltage systems and vendor installation (Low Voltage Items) at a total\namount not to exceed $1,257,000 if paid in a lump sum, or $1,530,000, if\namortized over five years at 8% interest per annum, the cost for the Low\nVoltage Items is in addition to the rental costs and the County’s TI\ncontribution payable to the Landlord; and\nAuthorize the Chief Executive Officer to execute any other ancillary\ndocumentation necessary to effectuate the terms of the proposed lease,\nand take actions necessary and appropriate to implement the terms of\nthe proposed lease including, without limitation, exercising any early\ntermination rights and options to extend the term at market rent.\n(25-1767)