#1 Lease Renewal for 700 South Jackson Street
Economic Development Department Memorandum
December 21, 2009
TO: City Council
FROM: Vic Grassman, Economic Development Director
SUBJECT: Authorization for the City Manager to Renew a Lease of City-
Owned Land Located at 700 S. Jackson Street with Cindy Pelton,
owner of the 708 Club, for a Period of Two Years.
Executive Summary
On November 12, 2007, the Janesville City Council adopted Resolution No.
2007-448 approving a lease with Cindy Pelton, for city owned property located at
700 S. Jackson St. (SW corner of Rockport Road and South Jackson St.). Ms
Pelton owns an adjacent property known as Club 708 and wanted to use the City
property for customer parking. This was a two year lease for the period of
January 1, 2008 to December 31, 2009. The lease rate is $65.00/month and the
lessee is responsible for garbage pickup, snow removal and general
maintenance. The Lessee is asking for a two-year renewal to begin January 1,
2010 and end December 31, 2011.
Staff Recommendation
Staff recommends renewal of this lease for another two year period.
City Manager Recommendation
The City Manager concurs with the recommendation.
Suggested Motion
I move to authorize the City Manager to renew the lease with Cindy Pelton for
City-owned land located at 700 S. Jackson Street for a period of two years.
Background
The City acquired the land at 700 S. Jackson Street approximately 30 plus years
ago as part of a long-term strategy to reconfigure the intersection of Jackson
Street and Rockport Road. The City owns land at three (3) of the four (4) corners
of this intersection. The City has no immediate plans for this site.
Analysis
This lease renewal is for the city-owned land at 700 S. Jackson Street to provide
off-street parking for an adjacent commercial business, Club 708 owned by the
Lessee. It is for the north 60 feet of Lot 16, Riverside Addition, except of the
portion used for street right-of-way. The lease renewal would continue at the
previous rate of $65.00/month and the lessee would be responsible for
maintenance as well as keeping the leased premises in good and responsible
repair. The lessee will also hold the lessor harmless against any claims,
lawsuits, payments or demands due to injuries and/or damages. Because the
City does not have any immediate plans for the property, it would be appropriate
to continue the lease with Ms. Pelton thus generating monthly income and
avoiding maintenance costs.
cc: Eric Levitt
Jacob Winzenz