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CITY OF HOUSTON - CITY COUNCIL Meeting Date: 10/18/2022 District D
Item Creation Date: 6/16/2022
25CF108 Fourth Amendment to Lease Agreement at 6201 Bonhomme Street for Houston Health Department
Agenda Item#: 22.
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| | | | | | | | Summary:
ORDINANCE approving fourth amendment to Lease Agreement between 6201 BONHOMME, L.P., as Landlord, and the City of Houston, Texas, as Tenant, for space located at 6201 Bonhomme Road, Houston, Harris County, Texas, for use by the City’s Health Department’s Women, Infants, and Children (WIC) Nutrition Program - $1,694,073.96 - Grant Fund - DISTRICT J - POLLARD |
| | | | | | | | Background:
RECOMMENDATION: Approve and authorize Fourth Amendment to Lease Agreement between 6201 BONHOMME, L.P (Landlord) and City of Houston (Tenant) for the lease space at 6201 Bonhomme Street for the Dental Clinic, Specialty Clinic (HIV/STD), Women, Infants and Children (WIC) Nutrition Program, and Disease Intervention Specialists (DIS) Program of the Houston Health Department (HHD).
SPECIFIC EXPLANATION: The General Services Department recommends approval of a Fourth Amendment to Lease Agreement with 6201 BONHOMME, L.P (Landlord) for 11,258 square feet of expansion space on the second floor, 17,700 square feet on the third floor, and 2,519 square feet on the fourth floor, totaling 31,477 rentable square feet at 6201 Bonhomme Street for HHD. HHD has operated various health programs out of this leased space since 2007.
The proposed Fourth Amendment will provide for tenant improvements at the Landlord’s expense. The Landlord will acquire and install new furniture and the City will reimburse the Landlord for the cost of the furniture. All other terms and conditions of the amended lease remain the same.
The rent, including operating expenses and furniture amortization due each month during the lease term under the Fourth Amendment are as follows for the second-floor expanded lease space only:
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Rent Schedule
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From
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To
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Months
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$/SF-YR
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Monthly Rent
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Annual
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Monthly Furniture Cost
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Annual
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Annual TOTAL
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Commencement Date
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Month 12
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12
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$17.25
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$16,183.38
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$194,200.56
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$8,820.23
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$105,842.76
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$300,043.32
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Month 13
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Month 24
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12
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$17.75
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$16,652.46
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$199,829.52
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$8,820.23
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$105,842.76
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$305,672.26
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Month 25
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Month 36
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12
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$18.25
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$17,121.54
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$205,458.48
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$8,820.23
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$105,842.76
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$311,301.26
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Month 37
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Month 48
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12
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$18.75
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$17,590.63
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$211,087.56
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$8,820.23
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$105,842.76
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$316,930.26
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Month 49
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Month 60
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12
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$19.25
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$18,059.71
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$216,716.52
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$8,820.23
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$105,842.76
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$322,559.26
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Total
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60
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$1,556,506.36
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Property Location: 6201 Bonhomme Street, Houston TX 77036
FUNDING SUMMARY:
$ 150,021.66 Rent and Furniture for 6 months FY23
$ 1,406,484.70 Rent and Furniture for out-going years
$ 71,983.10 One-time Security FY23
$ 34,838.10 One-time IT equipment FY23
$ 30,746.40 One-time IT FY23
$ 1,694,073.96 TOTAL
FISCAL NOTE: No fiscal note is required on grant items.
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Estimated Spending Authority
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Department
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FY 2023
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Out Year
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Total
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Houston Health Dept.
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$ 150,021.66
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$ 1,406,484.70
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$ 1,556,506.36
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One Time Security & IT
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$ 137,567.60
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$ 137,567.60
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Total
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$ 287,589.26
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$ 1,406,484.70
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$ 1,694,073.96
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DIRECTOR’S SIGNATURE/DATE:
____________________________
C. J. Messiah, Jr.
General Services Department
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Stephen L. Williams, M. Ed., M.P.A.
Houston Health Department |
| | | | | | | | Prior Council Action:
Ordinance No. 2007-495; April 18, 2007
Ordinance No. 2014-367; April 30, 2014
Ordinance No. 2018-890; November 7, 2018
Ordinance No. 2021-1003; December 1, 2021 |
| | | | | | | | Amount and Source of Funding:
$1,556,506.36 Federal State Local – Pass Through Fund (5030)
$ 137,567.60 Federal Government Grant Funded (5000)
$1,694,073.96 Total |
| | | | | | | | Contact Information:
Enid M. Howard, Council Liaison
General Services Department
Phone: 832.393.8023 |
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