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HomeMy WebLinkAboutCAO-15-033 - City Hall Lease Open Sesame Committee of the Whole REPORT TO: Council - DATE OF MEETING: October 5, 2015 SUBMITTED BY: Cory Bluhm, Manager, Downtown Development, 519-741-2200 x 7065 PREPARED BY: Monika Grau, Business Development Officer, Downtown Development 519-741-2200 x 7066 WARD (S) INVOLVED: Ward 10 DATE OF REPORT: September 29, 2015 REPORT NO.: CAO-15-033 SUBJECT: City Hall Lease - Open Sesame: Art, Books and Objects ________________________________________________________________________________________ RECOMMENDATION: That the Mayor and Clerk be authorized to execute a one year lease with the owner of Open Sesame: Art, Books and Objects, for space at City Hall municipally known as 220 King Street W., said agreement to be satisfactory to the City Solicitor. BACKGROUND: The City Hall retail unit has been vacant since February.Unfortunately, the retail industry has been hit hard in the last 8 months, with significant local and national retail closures; in addition, the difficulties of ION construction. Staff needed to take a pro-active approach to finding a new tenant. REPORT: In response to these challenges, City Staff initiatedconversations with local entrepreneurs about using the space for a retail/convergence/community gathering space focused on contemporary art. Through these discussions, one community member has offered to undertake this initiative as their own private venture. Called ‘Open Sesame: Art, Books and Objects’, the primary function would be for the retailing of contemporary art works, books, gifts, etc. To complement the primary function, the user intends to host a series of public workshops, exhibits, art installations, etc., to bring the local contemporary art community into the space. This would add vibrancy to Carl Zehr Square, thus contributing to the community and enhancing the Downtown experience. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 8. - 1 ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: The recommendation of this report supports the achievement of the City’s Strategic Vision through the delivery of core service. FINANCIAL IMPLICATIONS: A one-year lease supports operating budget projections for the upcoming year. The terms of the lease represent fair market value for the space in the given context. COMMUNITY ENGAGEMENT: City Staff initiatedconversations with interested local entrepreneurs about using the space for a retail/convergence/community gathering space focused on contemporary art. – INFORMThis report has been posted to the City’s website with the agenda in advance of the council / committee meeting. CONCLUSION: Should the retail market change over the next year, the City could initiate an RFP in a year’s time, where the existing tenant could bid on the space, leading to a potential long-term lease. ACKNOWLEDGED BY: Jeff Willmer, CAO 8. - 2