Okaloosa County BOCC — October 21, 2014 — Action Item Printout — reading text

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: October 21, 2014 TO: Honorable Chairman and Members of the Board FROM: Jason Autrey SUBJECT: Requested Lease Modifications by Dominion Capital DEPARTMENT: Public Works BCC DISTRICT: Two STATEMENT OF ISSUE: Requested lease modifications, parking lot license agreement and joint participation agreement relating to property on Okaloosa Island. BACKGROUND: As work progresses on the leased parcels along Okaloosa Island, the long term planning efforts by Dominion Capital have led them to request for modifications to the lease originally approved by the Board of County Commissioners. The request provided has three associated documents as follows: 1. Parking License Agreement: Through the development of Wild Willy’s Adventure Zone Dominion Capital recognized a need to create a shared parking agreement with the parcel leased by Aquagreen. Because Aquagreen does not outright own the parcel, it is necessary to develop a license agreement between the two lessees for shared parking. The intent of this license is to protect the development requirement related to parking for Wild Willy’s Adventure Zone in the event that Aquagreen terminates their lease prior to the Wild Willy’s lease termination. 2. Parking Lot Improvement Project Joint Participation Agreement: As part of the development of the lease parcels, improvements are proposed to the existing parking lot. A portion of the parking lot is contained within the lease boundaries and a portion is to remain public. Because of the age of the existing parking lot, improvements proposed require complete reconstruction of the entire area. As such, staff has worked with Dominion Capital in a partnering effort to make necessary improvements. This proposed agreement provides for the County to contribute $50,000 (paid for from lease fees associated with this site) toward the construction effort by Dominion Capital. Improvements proposed will increase available public parking by 20 spaces, provide proper stormwater management and incorporate required landscape buffers. 3. Lease Modification Agreement: Dominion Capital is requesting three modifications to the existing lease: a. Dominion Capital has merged with another company and will operate Wild Willy’s as DBR Entertainment Productions, LLC. The change in name requires approval by the County. b. Due to an increase in capital expenditures in the development of the site, Dominion Capital is requesting a modification to the term of the lease from a ten year lease with two ten year automatic renewals to a ten year lease with three automatic renewals. c. Dominion Capital is requesting the ability to make monthly payments on the lease versus the current requirement to make a lump sum payment at the  beginning of each fiscal year. Representatives of Dominion Capital have requested the opportunity to make a presentation to the Board of County Commissioners regarding the modifications outlined herein. OPTIONS: Approve/deny the Parking License Agreement, Parking Lot Improvement Project Joint Participation Agreement and Lease Modification Agreement from Dominion Capital for leased parcels on Okaloosa Island. RECOMMENDATIONS: Approve the Parking License Agreement, Parking Lot Improvement Project Joint Participation Agreement and Lease Modification Agreement from Dominion Capital for leased parcels on Okaloosa Island. RECOMMENDED BY: APPROVED BY: John Hofstad, Interim County Administrator