Item Coversheet

NEW BUSINESS  9.

COMMITTEE MEMORANDUM

TO: Finance and Citywide Projects Committee Members


FROM:
Jimmy L. Morales, City Manager


DATE: March 22, 2019


SUBJECT:

DISCUSSION REGARDING A NEW LEASE BETWEEN THE CITY (LANDLORD) AND STATE SENATOR JASON PIZZO (TENANT) CONSISTING OF APPROXIMATELY 109 SQUARE FEET OF OFFICE SPACE FOR USE AS A DISTRICT OFFICE, LOCATED AT 1701 MERIDIAN AVENUE, MIAMI BEACH, FLORIDA, WITH AN INITIAL TERM OF TWELVE (12) MONTHS, WITH THREE (3) RENEWAL OPTIONS OF ONE (1) YEAR EACH, AT CITY MANAGER’S SOLE DISCRETION.


HISTORY:

In November 2018, Jason Pizzo was elected to represent District 38 in the Florida State Senate. Senate District 38 includes a diverse cross-section of northeast Miami-Dade, including most communities bordering either side of Biscayne Bay from Miami Beach north to Golden Beach. Members of the Florida Legislature are each provided a small budget to operate a local office in their representative district.  

 

The City of Miami Beach has customarily provided other governmental entities with low-cost or rent-free office space at City-owned facilities, including the County District 5 Commissioner, the Miami-Dade Clerk of Courts, Congresswoman Ileana Ros-Lehtinen and State Representative David Richardson.  It serves the City’s interest to have Senator Pizzo’s district office within the City Hall complex by increasing access for Miami Beach constituents to an elected official. 

 

Although the ground floor of 1701 Meridian Avenue is rented to commercial retail tenants, all floors above are occupied by the City or other public-sector tenants. Starting in 2013, the City began leasing space on the fourth floor of 1701 Meridian Avenue to State Rep. Richardson, who used the office to provide services to constituents of Florida Congressional District 113.  Senator Pizzo has requested the City provide a local office to better serve Miami Beach constituents.


ANALYSIS:

The Office of Real Estate has negotiated a draft lease in substantial form (Attachment A), containing the following key terms:

 

Term and Renewals.   Initial term of 12 months, with 3 possible renewal terms of 1 year each, at the City Manager’s sole discretion. The Senator requested only single-year terms, and the 4-year possible length (inclusive of renewals) represents one senatorial term.   

 

Premises and Use.   Approximately 149 SF of office space located at 1701 Meridian Avenue, Suite 402B, for use as the Senate District 38 local office.

 

Rent.   None

 

Operating Expenses.   $894 annually ($74.50 per month), for Tenant’s proportionate share of Operating Expenses.

 

Insurance.    $134.16 annually ($11.18 per month), for Tenant’s pro-rata share of insurance costs.

 

Maintenance and Repairs.    Tenant is responsible for maintenance and repair of the Demised Premises. Cleaning and trash removal are the Tenant’s responsibility.



CONCLUSION:

The proposed lease with Senator Pizzo would enable use of the premises by a State legislator who serves Miami Beach constituents.  In addition to the County District 5 office, this lease would provide Miami Beach residents with direct access to municipal, County, and State representatives—all within the City Hall complex. Therefore, the Administration recommends that the FCWPC accept the Administration's proposed lease terms and recommend approval of the lease to the City Commission.


ATTACHMENTS:
DescriptionType
Attachment A - Draft Lease (substantial form)Contract or Agreement