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RESOLUTION APPROVING TERMS OF AND AUTHORIZING EXECUTION BY THE COUNTY MAYOR OR THE COUNTY MAYOR�S DESIGNEE OF A LEASE AGREEMENT BETWEEN MIAMI-DADE COUNTY AND ADELL INVESTMENTS, INC., FOR PREMISES LOCATED AT 17601 NW 78 AVENUE, SUITES 107-111, UNINCORPORATED MIAMI-DADE COUNTY, FLORIDA, TO BE UTILIZED BY THE MIAMI-DADE PUBLIC LIBRARY SYSTEM FOR A PUBLIC LIBRARY, WITH A TOTAL FISCAL IMPACT TO THE COUNTY ESTIMATED TO BE $1,654,322.00 FOR THE INITIAL FIVE-YEAR TERM OF THE LEASE AND THE ADDITIONAL FIVE-YEAR RENEWAL OPTION PERIOD; AND AUTHORIZING THE COUNTY MAYOR OR THE COUNTY MAYOR�S DESIGNEE TO EXERCISE ANY AND ALL OTHER RIGHTS CONFERRED THEREIN

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WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum, a copy of which is incorporated herein by reference,

NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that this Board hereby approves the terms of the Lease Agreement between Miami-Dade County and Adell Investments, Inc., for premises to be utilized by the Miami-Dade Public Library System for a public library, with a total fiscal impact to Miami-Dade County estimated to be $1,654,322.00 for the initial five-year term of the lease and the additional five-year renewal option period, in substantially the form attached hereto and made a part hereof; authorizes the County Mayor or the County Mayor�s designee to execute same, for and on behalf of Miami-Dade County; and authorizes the County Mayor or the County Mayor�s designee to exercise any and all other rights conferred therein.

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Date: October 22, 2013

To: Honorable Chairwoman Rebeca Sosa
and Members, Board of County Commissioners

From: Carlos A. Gimenez
Mayor

Subject: Lease Agreement Between Miami-Dade County and Adell Investments, Inc., for the Palm
Springs North Branch Library located at 17601 N.W. 78 Avenue, Suites 107-111,
Unincorporated Miami-Dade County, Florida - Lease No. 30-2010-000-0011-L01

STAFF RECOMMENDATION
Recommendation
It is recommended that the Board of County Commissioners (Board) approve the attached resolution authorizing the execution of a Lease Agreement between Miami-Dade County and Adell Investments, Inc. (Landlord), for the Palm Springs North Branch Library located at 17601 NW 78 Avenue, Unincorporated Miami-Dade County, Florida. More specifically, the resolution does the following:
* Authorizes the leasing of 5,336 square feet of air-conditioned commercial space; and
* Authorizes a lease term of five years, plus one additional five-year renewal option period.

Scope
The property is located in County Commission District 13, which is represented by Commissioner Esteban Bovo, Jr.

Fiscal Impact/Funding Source
The total fiscal impact for the first year of the initial lease term will be $105,724. This amount is comprised of $79,100 in annual base rent ($14.82 per square foot), $15,456 for utilities and alarm monitoring, $6,670 for janitorial and custodial services, a $3,164 lease management fee, and $1,334 for common area maintenance. The total projected fiscal impact for the initial five-year lease term, plus the additional five-year renewal option term is estimated to be $1,654,322. The funding source is Library District funds.

Track Record/Monitoring
The County has no record of negative performance issues with the Landlord, Adell Investments, Inc. Margaret Araujo, in the Real Estate Development Division of the Internal Services Department, is the lease monitor.

Delegation of Authority
Authorizes the County Mayor or the County Mayor�s designee to execute the attached Lease Agreement and exercise the renewal and cancellation provisions.

MANAGER'S BACKGROUND
Background
The Palm Springs North Branch Library has been at this location since 2004, with the original lease between the Landlord and the County approved by the Board through R-306-04. The current lease expires on August 15, 2013, but contains a month-to-month holdover clause if full Board approval is not received by that date.

Additional lease details are as follows:

COMPANY PRINCIPALS: Jorge Quintana, President/Secretary/Director
Julio Quintana, Vice President/Treasurer/Director

JUSTIFICATION: The Miami-Dade Public Library System has a need to continue utilizing this facility to provide services to the residents of District 13.

LEASE TERM: Five years, plus one additional five year renewal option period.

EFFECTIVE DATES: Commencing on the first day of the month following the effective date of the resolution approving the Lease Agreement, and terminating five years thereafter.

RENTAL RATE: The annual rent for the first lease year of the initial lease term will be $79,100, which is equal to $14.82 per square foot on an annual basis. The annual rent for the second lease year of the initial term is $9,401, or $16.94 per square foot annually. The annual rent for the third year of the initial term is $116,407 annually, or $21.82 per square foot annually. The annual rent for the fourth through the fifth lease year of the initial lease term and the subsequent renewal option period, shall be adjusted by the consumer price index, pursuant to Article XVIII of the Lease. In no event shall the increase exceed three percent annually, or be less than the rent for the immediately preceding year.

LEASE CONDITIONS: The Landlord is responsible for water and sewer, maintenance of the building, common areas, air conditioning and the structure of the building. The County is responsible for electricity, janitorial and custodial services, phone, data, security, and its prorated share of the common area expenses.

CANCELLATION PROVISION: The County may cancel at any time by giving the Landlord 90 days written notice prior to its effective date.

CURRENT LEASE The current Lease Agreement was approved by the Board on March 16, 2004 through Resolution R-306-04. The lease period was for five years, with two, two-year option to renew periods. The expiration date of the lease is August 15, 2013, but contains a holdover provision, which allows the County to occupy the space on a month-to-month basis. The current lease rate is $20.76 per square foot.

OTHER PROPERTIES
EVALUATED: 18600 N.W. 67 Avenue, Miami Lakes � $27 per square foot on an annual basis for a triple net lease. The estimated cost of operating expenses is approximately, $8 per square foot on an annual basis.

5700 N.W. 163 Street, Miami Lakes � $25 per square foot on an annual basis for a triple net lease. The estimated cost of operating expenses is approximately, $8 per square foot on an annual basis.

15472 N.W. 77 Court, Miami � $22 per square foot on an annual basis for a triple net lease. The estimated cost of operating expenses is approximately, $7 per square foot on an annual basis.


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Lisa M. Martinez
Senior Advisor