To: MAYOR AND CITY COUNCIL
From: GREG KAPOVICH, WATERFRONT AND ECONOMIC DEVELOPMENT DIRECTOR
TITLE
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ADOPT BY TITLE ONLY RESOLUTION NO. CC-2508-064, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, LEASING CERTAIN PROPERTY TO ZOILA NORWOOD, AN INDIVIDUAL
APPROVE A LEASE WITH ZOILA NORWOOD FOR ADMINISTRATIVE OFFICE SPACE AT 111 W. TORRANCE BLVD., SUITE 100, FOR THE TERM AUGUST 19, 2025 TO AUGUST 18, 2030
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EXECUTIVE SUMMARY
In March 2012, the City purchased the Pier Plaza leasehold and began the process of direct leasing to various tenants. Pier Plaza is comprised of several buildings totaling approximately 75,000 square feet of office and retail uses. The space at 111 W. Torrance Blvd., Suite 100 (Premises) is approximately 858 square feet in size.
The City has negotiated a new office lease with Zoila Norwood, the owner of Savoir Faire Language Institute, the preschool located nearby within Buildings 109 and 117 at Pier Plaza. The proposed lease would allow for a five-year term for the space and includes an option for the landlord to terminate with 12-months’ prior written notice. Monthly rent for the lease, which would accrue to the City’s Harbor Uplands Fund, is $2,274 with an annual 3% increase on the anniversary date.
BACKGROUND
The Pier Plaza leasehold is comprised of buildings 103 to 131 West Torrance Boulevard (on the top level of the Pier Parking Structure) and totals approximately 75,000 square feet of office and retail space. The property is comprised almost entirely of office uses, with the lone exceptions being a restaurant and child care center. Zoila Norwood is the long-time owner of Savoir Faire Language Institute, the international preschool that currently occupies Buildings 109 and 117 at Pier Plaza. The newly leased Premises would be used as an administrative office space.
The proposed lease carries a 5-year term with a minimum monthly rent of $2,274, or approximately $2.65 per square foot, with an annual 3% increase on the anniversary date.
COORDINATION
The Resolution and lease documents were reviewed and approved as to form by the City Attorney’s Office.
FISCAL IMPACT
Lease revenue from the property would accrue to the City’s Harbor Uplands Fund. The proposed lease would result in a minimum monthly rent of $2,274 during the first year, with an annual increase of 3% to the base rent each year thereafter. Over the 5-year term of the lease, revenue to the Harbor Uplands Fund would be $144,876.
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
• Reso - No. CC-2508-064 Leasing Certain Property to Zoila Norwood
• Agmt - Proposed Lease Between the City of Redondo Beach and Zoila Norwood