TO: Mayor and City Council
THROUGH: Steve Powers, City Manager
FROM: Kristin Retherford, Urban Development Director
SUBJECT:
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Chemeketa Parkade Retail Lease - Rudy’s Steakhouse LLC
Ward(s): 1
Councilor(s): Kaser
Neighborhood(s): CANDO
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ISSUE:
Shall City Council authorize the City Manager to execute the attached lease with Rudy’s Steakhouse LLC for property located at 310 Commercial Street NE?
RECOMMENDATION:
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Authorize the City Manager to execute the attached lease with Rudy’s Steakhouse LLC for property located at 310 Commercial Street NE.
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SUMMARY AND BACKGROUND:
The retail space in Chemeketa Parkade located at 310 Commercial Street NE has been vacant since the previous tenant, Harvey Loveall Hair Care Center, vacated the property on May 31, 2018. In order to market the space, all improvements were removed and the space returned to shell condition. Upon completion, staff marketed the space for lease.
FACTS AND FINDINGS:
Staff has come to terms on a proposed lease (Lease) (Attachment 1) with Rudy’s Steakhouse LLC (Lessee), whose principal is Robert Kunke. Lessee currently rents two other spaces in the Chemeketa Parkade, the 5,224 square foot Rudy’s Restaurant and the 1,774 square foot Rudy’s Banquet Center. The key elements of the proposed Lease are below.
Proposed Use: Mixed-use consisting of an upscale pub, a butcher
shop/deli, and private dining space
Term: December 1, 2018 - July 31, 2037 (coincides with
other two leases)
Square Feet: 2,645
Rate: $2,645 monthly with step increases
Renewal Options: Four 5-year terms (identical to two other leases)
Tenant Improvement Allowance: $60,000
Free Rent: Six months
Clint Dameron
Real Property Services Manager
Attachments:
1. Proposed Lease