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File #: 2017-0430   
Type: Agreement Status: Passed
File created: 6/8/2017 In control: Finance, Budget and Audit Committee
On agenda: 7/19/2017 Final action: 7/27/2017
Title: AUTHORIZE the Chief Executive Officer to execute a seven (7)-year lease agreement ("Lease Agreement") with The City of Los Angeles Board of Airport Commissioners ("City"), having jurisdiction over Los Angeles World Airports ("LAWA"), allowing Metro to continue leasing 2.0177 acres of land and improvements located at Los Angeles International Airport ("LAX") Terminal 27, 6111 W. 96th Street, Los Angeles at a rental amount of $7,770 per month for a total lease value of $714,448 over the (7)-year lease term including an estimated 3.29% CPI adjustment assessed annually.
Indexes: Airport Metro Connector, City of Los Angeles, Land, Los Angeles International Airport, Payment, Property Agreement, Public Transportation, Terminal 27, Terminals (Communications)
Attachments: 1. ATTACHEMENT A - SUMMARY OF KEY LEASE TERMS, 2. ATTACHMENT B - LEASE AREA AND PREMISIS OF TERMINAL 27
Meeting_Body
FINANCE, BUDGET AND AUDIT COMMITTEE
JULY 19, 2017

Subject
SUBJECT: LEASE AGREEMENT WITH THE CITY
OF LOS ANGELES DEPARTMENT OF AIRPORTS
BOARD OF COMMISSIONERS FOR PUBLIC
TRANSIT USE OF LAX TERMINAL 27

Action
ACTION: AUTHORIZE EXECUTION OF SEVEN (7)-YEAR LONG-TERM LEASE

Heading
RECOMMENDATION

Title
AUTHORIZE the Chief Executive Officer to execute a seven (7)-year lease agreement ("Lease Agreement") with The City of Los Angeles Board of Airport Commissioners ("City"), having jurisdiction over Los Angeles World Airports ("LAWA"), allowing Metro to continue leasing 2.0177 acres of land and improvements located at Los Angeles International Airport ("LAX") Terminal 27, 6111 W. 96th Street, Los Angeles at a rental amount of $7,770 per month for a total lease value of $714,448 over the (7)-year lease term including an estimated 3.29% CPI adjustment assessed annually.

Issue
ISSUE

Metro operates Terminal 27 at LAX under an expired five-year lease last approved by the Metro Board on April 28, 2004. Terminal 27 lease expired on June 30, 2009. Upon expiration of the term in 2009, the lease continued on a month-to-month basis as a successor agreement was negotiated with LAWA's Real Estate Department.

LAWA has embarked on an airport modernization program at LAX. A component of this is the Landside Access Modernization Project ("LAMP") which provides for an automated people mover on the land currently occupied by Terminal 27. Within the next two years, LAMP plans require that Terminal 27 be relocated to a new site situated adjacent to the current location under a new configuration but comprised of approximately the same dimensions (See Figures 1 & 2 in Attachment B for details).

Discussion
DISCUSSION

Terminal 27 is an integral part of the transportation network serving the City of Los Angeles and the LAX area. Terminal 27 has served as the hub of public transportation at LAX in its present location for 33 years. Terminal 27 serves several Metro...

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