City Council

F.2.\nRESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST\nHOLLYWOOD APPROVING THE GROUND LEASE WITH THE OPTION\nTO PURCHASE REAL PROPERTY LOCATED AT 8327-8329 SANTA\nMONICA BOULEVARD, IN THE CITY OF WEST HOLLYWOOD [S.\nCAMPBELL, B. LEAGUE, A. BARTLE]:\nSUBJECT:\nThe City Council will consider adopting a Resolution\napproving the ground lease with an option to purchase real property\nlocated at 8327-8329 Santa Monica Boulevard in the City of West\nHollywood. Approval of the property ground lease and purchase option\nAgreement is not a “project” under State CEQA Guidelines section\n15378(a) and, alternatively, is exempt from CEQA review.\nRECOMMENDATIONS:\n1) Adopt Resolution No. 25-________: “A\nRESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST\nHOLLYWOOD APPROVING THE GROUND LEASE WITH AN OPTION\nTO PURCHASE REAL PROPERTY LOCATED AT 8327-8329 SANTA\nMONICA BOULEVARD, IN THE CITY OF WEST HOLLYWOOD”; 2)\nAuthorize the Director of Finance and Technology Services to allocate\n$9,539,164 from Unallocated General Fund Reserves in Fiscal Year 2026\nto account number 301-4-40-57-702030 for the Ground Lease and Option\nto Purchase Agreement. The total purchase price includes the exclusive\n$6,000,000 option to purchase at the end of the 10-year period, the\n$300,000 base rent for the lease per year with an annual 3% escalation, a\ndeposit of $75,000, and up to $25,000 for due diligence and closing costs;\nand 3) Authorize the City Manager to negotiate and execute all necessary\ndocuments for the Ground Lease with the option to purchase and any\neasements or restrictive covenants necessary for the purchase of real\nproperty located at 8327-8329 Santa Monica Boulevard.