HomeMy WebLinkAbout2014-08-26 - AGENDA REPORTS - LEASE TO SANTA CLARITA STUDIOS (4)CONSEN'TCALLNDAR
DATE:
SUBJECT:
DEPARTMENT:
Agenda Item: 7
CITY OF SANTA CLARITA
AGENDA IREPORT
City Manager Approval:
Item to be presented by:
August 26. 2014
Jason Crawford
LEASE OF CITY PROPERTY TO SANTA CLARITA STUDIOS
17OR USF AS A PARKING LOT
Community Development
.RECOMMENDED ACTION
City Council:
I . Approve a Ground Lease Agreement (Lease Agreement) with Santa Clanta Studios Corp.
(Santa Ciarita Studios) for a ten (10) year lease term, with two (2) optional five (5) year
extensions.
2. Authorize City Manager or his designee to execute the Lease Agreement with Santa Clarita
Studios, subject to City Attorney approval.
BACKGROUND
Santa Clarita Studios is the largest film studio in the City of Santa Clarita. with more than a
dozen sound stages. Currently, six television shows are based at Santa Clarita Studios, and
major feature films and commercialsetre frequently produced there as well. In recent years, Santa
Clint ita Studios has expanded by converting local warehouse space into Sound stages. Because of'
this expansion, along with continued increases in filininiz in Santa Clarita, Santa Clarita Studios
has approached the City about leasing approximately 3.5 acres of Cily-owned land adjacent to
their existing property to be utilized for parking to support their expansion plans.
The City Council has long been supportive of the film industry because of the jobs and economic
impact that it provides to the City ol'Sanla Clarila. We estimate that nearly 6,000 residents work
within the industry, and location filining alone generated an estimated economic impact of $30.5
million in 2013.
The subject property, as shown in the attached map outlined as Exhibit A of the Lease
Agreement, was dedicated to the City from Newhall I -and as part of the Riveipark Project (i.c.
A PPR