Department
Real Estate and Asset Management
Requested Action
title
Request approval of a Resolution approving a Second Amendment to Lease Agreement between Wilmington Trust, National Association, as Trustee, for the benefit of Holders of J.P. Morgan Chase Commercial Mortgage Securities Trust 2018-PTC, Commercial Mortgage Pass-Through Certificates, Series 2018-PTC and the Future Advance Lender (Landlord), and Fulton County, Georgia (Tenant), for Fulton County’s lease of office space at 235 Peachtree Street, Atlanta, Georgia; authorizing the Chairman to approve the Second Amendment; authorizing the County Attorney to approve the Second Amendment as to form and to make modifications thereto prior to execution. Effective on approval through December 31, 2025, with eight (8) automatic 12-month renewal terms beginning on January 1, 2026 and ending on December 31, 2033, with each renewal period being subject to appropriation of funding by the Board of Commissioners. (APPROVED UPON ADOPTION OF THE CONSENT AGENDA)
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Requirement for Board Action
According to O.C.G.A. § 36-60-13, each county or municipality in this state shall be authorized to enter into multiyear lease, purchase, or lease purchase contracts of all kinds for the acquisition of goods materials, real and personal property, services and supplies and O.C.G.A. § 36-10-1 requires that all contracts entered into by a county governing authority be in writing and entered on its minutes
Strategic Priority Area related to this item
Open and Responsible Government
Commission Districts Affected
All Districts ☒
District 1 ☐
District 2 ☐
District 3 ☐
District 4 ☐
District 5 ☐
District 6 ☐
Is this a purchasing item?
No
Summary & Background
Scope of Work: The approval of the Fulton County Board of Commissioners is being requested to amend the terms of the current lease agreement to include (5) five additional years, the receipt of a tenant improvement allowance totalling $150,971.00, that can be used for capital repairs and improvements to the security system and (10) ten free parking spaces being provided by the landlord.
Pursuant to the Second Amendment to Lease Agreement, the "Initial Term" shall be from execution of the Second Amendment, and end on December 31, 2025, with eight (8) automatic 12-month renewal terms beginning on January 1, 2026 and ending on December 31, 2033, with each renewal period being subject to appropriation of funding by the Board of Commissioners.
Community Impact: Approval of the Second Amendment to Lease Agreement will have no impact on those citizens requiring services provided by the Office of the Tax Assessor and will allow continued occupancy from the current location that’s within proximity to the Fulton County Administrative Building and the Fulton County Courts.
Department Recommendation: The Department of Real Estate and Asset Management, DREAM recommends approval of a Second Amendment to Lease Agreement for the purpose of extending the current lease term, securing a long-term low fixed rental rate, ten free parking spaces and a tenant improvement allowance that can be used to make capital repairs to include but not limited to installation of new security cameras and general construction projects.
Project Implications: Extension of the current lease agreement is necessary to formalize rental terms for continued occupancy at 235 Peachtree Street, Atlanta, Georgia. The negotiated lease terms will prevent a significant increase to the rental rate, includes a landlord provided tenant improvement allowance to complete upgrades to the security system and free parking.
Community Issues/Concerns: None
Department Issues/Concerns: None
Fiscal Impact / Funding Source
Funding Line #100 240 2401 1121 will be used to pay the rental payments referenced below.
