REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
June 23, 2026
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
ARLENE MOLINA, Director, Preschool Services Department
SUBJECT
Title
Authorization for Director of Real Estate Services Department to Execute Notice of Lease Termination with TIP Property Caritas, LLC for Office Space in San Bernardino
End
RECOMMENDATION(S)
Recommendation
1. Approve the termination of Lease agreement No. 06-1152 with TIP Property Caritas, LLC, in reference to the building located at 662 South Tippecanoe Avenue in San Bernardino.
2. Authorize the Director of the Real Estate Services Department to execute and issue a 90-day Notice of Termination, approve and execute any related documents, and take any additional actions necessary to complete the termination process, subject to review by County Counsel.
(Presenter: Terry W. Thompson, Director, 387-5000)
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COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally Responsible and Business-Like Manner.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). There is no cost associated with the termination of Lease No. 06-1152 (Lease) with TIP Property Caritas, LLC (TIP).
BACKGROUND INFORMATION
The recommended action will terminate the Lease with TIP with a 90-day termination notice, and authorize the Director of the Real Estate Services Department (RESD) to execute and issue a Notice of Termination for approximately 18,000 square feet of office space at 662 South Tippecanoe Avenue in San Bernardino (Property), for a term that is currently scheduled to expire on December 31, 2027.
On November 28, 2006 (Item No. 21), the Board of Supervisors (Board) approved Lease No. 06-1152 (Lease) with Perris Campus Plaza, LLC for approximately 18,000 square feet of office space for the Preschool Services Department (PSD). The initial Lease term commenced on June 1, 2007 and expired on May 31, 2017. In the 19 years since the Lease was originally approved, the Board has approved seven amendments which extended the term of the Lease through December 31, 2027, adjusted the critical completion date of the building, reflected changes in property ownership from Perris Campus Plaza, to LLC to IV3 662-696 S Tippecanoe Ave LLC and corresponding landlord interests over the course of the Lease term, exercised all three options to extend the term, and updated standard lease agreement language.
On February 4, 2026, IV3 662-696 S Tippecanoe Ave LLC notified RESD of a change of ownership to TIP Property Caritas, LLC and provided a Grant Deed dated February 20, 2026, reflecting the change of ownership. Pursuant to the Amendment No. 4 approved by the Board on December 14, 2021 (Item # 54) and Paragraph 25.B. of the Lease, the RESD Director has the authority, on behalf of the County, to execute a County standard amendment to this Lease with any successor Landlord.
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Amendment No. |
Approval Date |
Item No. |
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1 |
August 21, 2007 |
32 |
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2 |
October 7, 2008 |
51 |
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3 |
July 24, 2018 |
34 |
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4 |
December 14, 2021 |
54 |
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5 |
August 9, 2022 |
43 |
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6 |
December 17, 2024 |
83 |
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7 |
May 5, 2026 |
*- |
*Executed by Director of RESD
On April 14, 2026, PSD notified RESD of its intent to terminate the Lease, as PSD has acquired a new facility to accommodate its operations and is in the process of relocating services to the County-owned property located at 8163 Rochester Avenue in Rancho Cucamonga. Pursuant to the Lease, the County retains the right to terminate the Lease for convenience upon providing the required 90-day written notice. Accordingly, continued use of the Property is no longer necessary, and RESD is recommending issuance of the termination notice in accordance with the terms of the Lease.
Staff has reviewed the recommended action pursuant to the California Environmental Quality Act (CEQA) and has determined that it does not constitute a project. Accordingly, no further action is required under CEQA.
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Summary of Lease Terms |
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Lessor: |
TIP Property Caritas, LLC |
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Location: |
662 South Tippecanoe Avenue, San Bernardino |
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Size: |
Approximately 18,000 square feet of office space |
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Current Lease Expiration: |
December 31, 2027 |
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Right to Terminate: |
County has the right to terminate with 90-days’ notice |
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Reason for Termination: |
PSD has acquired a replacement facility and is relocating operations |
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, 387-5455) on June 2, 2026; Preschool Services (Arlene Molina, Director, 387-2028) on June 2, 2026; Purchasing (Ariel Gill, Supervising Buyer, 387-2070) on June 2, 2026; and County Finance and Administration (Allegra Pajot, 388-0218, and Eduardo Mora, 387-4376, Administrative Analysts) on June 4, 2026.
(AH: 840-266-8977)