Title
Assignment and Assumption of Lease - Little Village Grill
Action
ACTION:
Authorize the County Manager to negotiate and execute an "Assignment and Assumption of Lease" amongst the County, Little Village 2, Inc., and FRRG, Inc for lease space at the Government District Parking Deck (901 E. 4th Street, Suite A, Charlotte, NC)
Staff Contact: Jacqueline McNeil, Real Estate Management Director
Presentation: No
BACKGROUND/JUSTIFICATION:
Little Village 2, Inc. ("Little Village") leases 1,457 square feet of retail space from the County at the Government District Parking which is located at 901 E. 4th Street, Suite A Charlotte, NC. Little Village and the County entered into the lease agreement in 2018. The initial term of the lease was for sixty-six (66) months with an option to renew for an additional four (4) years and 179 days (which is a total lease term, including renewal periods, of less than ten (10) years as required per N.C. General Statutes to avoid declaring the property surplus). Last year, Little Village exercised its right to renew the lease.
Recently, Little Village approached the County with a request to have the remaining lease period assigned to FRRG, Inc. who is under contract to purchase the Little Village Grill restaurant business from Little Village. The new owner has obtained the financing needed to operate the business, including a U.S. Small Business Administration loan commitment from M&F Bank. The existing lease allows for the assignment of the lease conditioned upon County approval. If approved, all terms of the lease will remain the same. Little Village is currently in good standing with the existing lease. The current lease rate is $23.19/SF. FRRG, Inc has agreed to abide by the terms of the existing lease.
PROCUREMENT BACKGROUND:
N/A
POLICY IMPACT:
N/A
FISCAL IMPACT:
N/A