Posting Language
Title
Authorize negotiation and execution of a sixth amendment to the lease agreement with Lake Austin Marina 1, L.P, on behalf of Austin Police Lake Patrol Unit, extending the term for 60 months, with one option to extend the term for an additional 60 months, commencing on October 1, 2026, and ending on September 30, 2031. The lease amendment covers approximately 964 square feet of office space and three boat slips, located at 2215 Westlake Dr., Suite 103, Austin, Texas 78746, for a total amount not to exceed $433,896. Funding: $80,064 is available in Fiscal Year 2026-2027 of the Operating Budget of Austin Police. Funding for the remaining contract term is contingent upon available funding in future budgets.
De
Lead Department
Austin Financial Services.
Fiscal Note
Funding in the amount of $80,064 is available in the Fiscal Year 2026-2027 Operating Budget of Austin Police.
Funding for the remaining contract term is contingent upon available funding in future budgets.
Prior Council Action:
October 21, 2021 - Council authorized a fifth amendment for 60-month lease extension.
November 3, 2016 - Council authorized a fourth amendment for 60-month lease extension.
October 6, 2011 - Council authorized a third amendment for 60-month lease extension.
June 21, 2007 - Council authorized a second amendment for leasing one additional wet slip and releasing one mooring spot back to Lessor.
May 4, 2006 - Council authorized a first amendment for 60-month lease extension.
For More Information:
Brandon Williamson, Austin Financial Services, 512-974-5666; Michael Gates, Austin Financial Services, 512-974-5639; Richard Mitchell, Sergeant Austin Police, 512-974-5077.
Additional Backup Information:
Austin Police’s Lake Patrol Unit has occupied space at Lake Austin Marina since 1995. The program is responsible for enforcing local, state, and federal laws on three lakes within the City: Lake Austin, Lady Bird Lake, and Lake Walter E. Long. Officers’ duties include answering emergency calls on the lakes, enforcing the Texas Water Safety Act, inspecting boats for safety equipment, and investigating boat collisions. Officers patrolling the area lakes utilize seven outboard boats and two personal watercrafts. The AP Lake Patrol Unit operates year-round on Lake Austin and seasonally on Lady Bird Lake and Lake Walter E. Long
The current lease expires on September 30, 2026. The proposed sixth amendment includes a 60-month term with one five-year option to extend, a commencement date of October 1, 2026, and provides approximately 964 square feet of office space and three boat slips. The base rent for year one of the office space will start at $29.15 per square foot with 3% annual escalations and operating expenses that are estimated to start at $8.15 per square foot with 3% annual escalations. AP will be responsible for paying for electricity provided for the three boat slips which is separate from operating expenses and currently estimated at $175 per month. The cost per boat slip is $14,000 per year with 5% annual escalations. The landlord will continue to provide three vehicle parking spaces and one trailer parking space at no additional charge.
The following table summarizes the base rent, operating expenses and boat slip rentals
|
Term: |
Office - Monthly Rent |
Office - Monthly OpEx |
Office - Monthly Utilities |
3 Boat Slips - Monthly Rent |
Total Monthly Rents |
Total Annual Rents |
|
10/1/2026 - 9/30/2027 |
$2,342 |
$655 |
$175 |
$3,500 |
$6,647 |
$79,784 |
|
10/1/2027 - 9/30/2028 |
$2,414 |
$667 |
$175 |
$3,675 |
$6,906 |
$82,872 |
|
10/1/2028 - 9/30/2029 |
$2,490 |
$679 |
$175 |
$3,859 |
$7,178 |
$86,136 |
|
10/1/2029 - 9/30/2030 |
$2,571 |
$691 |
$175 |
$4,052 |
$7,464 |
$89,568 |
|
10/1/2030 - 9/30/2031 |
$2,651 |
$703 |
$175 |
$4,254 |
$7,758 |
$93,096 |
|
|
|
|
|
|
TOTAL: |
$431,456 |
City-owned space is the preferred location for City Departments; however, due to the property’s special purpose, location, and the unique operational requirements of the Lake Patrol Unit, no other viable options exist to adequately house and support its functions, making lease renewal at a competitive market rent the only feasible option.
An independent third-party appraisal was procured to establish the fair market rental rate. The appraisal supports the proposed lease terms.
The Strategic Facilities Governance Team has reviewed and approved the proposed lease amendment.