AGENDA ITEM REPORT
TITLE:
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An Ordinance of the City of Coconut Creek, Florida, Authorizing the Mayor to Execute a Lease Agreement by and Between the City and T-MOBILE South, LLC. (SECOND READING)
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BACKGROUND:
This item was approved at First Reading with no changes or conditions.
T-MOBILE South, LLC (“T-Mobile”) has applied to lease a portion of city-owned land from the City located at 4800 West Copans Rd. (“Government Center”) for the purpose of constructing and maintaining a communications facilty on the existing tower. The lease provides for an original lease term of ten (10) years from the effective date with two (2) automatic five (5) year renewals (unless T-Mobile advises the City of its intent not to renew at least six (6) months prior to the end of the current term). The lease provides for a rent payment of thirty six thousand dollars ($36,000.00) per year with annual increases. The lease also provides for a one time fee of twenty thousand dollars ($20,000.00) if T-Mobile decides to connect to the City’s generator, with said amount due at the time that T-Mobile exercises its option to connect.
DISCUSSION:
The City is committed to increasing its revenue by permitting T-Mobile to construct and maintain a communications facility on the existing tower located on its property in exchange for a rental payment of Thirty-Six Thousand Dollars ($36,000.00) per year.
RECOMMENDATION:
Staff recommends approval.
FISCAL IMPACT:
REVENUES: $ 36,000
EXPENDITURES: $ 0
BUDGETED? N
NOTES This item will increase revenue by $36,000.00 in Account 01-V36220 Tower Leases.