REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
September 22, 2026
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
JANKI PATEL, Acting Director, Department of Public Health
SUBJECT
Title
Amendment to Lease Agreement with Wilco San Bernardino DBA Lock and Leave Storage for Storage Space in San Bernardino
End
RECOMMENDATION(S)
Recommendation
1. Find that approval of Amendment No. 4 to Lease Agreement No. 14-73 with Wilco San Bernardino, LLC DBA Lock and Leave Storage for storage space is an exempt project under the California Environmental Quality Act Guidelines, Section 15301 - Existing Facilities (Class 1).
2. Approve Amendment No. 4 to Lease Agreement No. 14-73 through the Real Estate Services Department’s use of an alternative procedure in lieu of a Formal Request for Proposals, as allowed under County Policy 12-02 - Leasing Privately Owned Real Property for County Use to:
a. Extend the term of the lease three years, for the period of October 1, 2026 through September 30, 2029, for approximately 1,445 square feet of storage space for the Department of Public Health, located at 322 South Waterman Avenue, Units A32, A38, G11, G25, K3 and K4 in San Bernardino (Assessor’s Parcel Number 0136-271-01-0000), following a permitted holdover for the period of August 1, 2026 through September 30, 2026, and add one one-year option to extend the term.
b. Amend the Lease to identify the Landlord as Wilco San Bernardino, LLC, doing business as Lock and Leave Storage, reflecting the legal entity operating under the fictitious business name previously referenced in the Lease, with no change in ownership of the property.
c. Adjust the rental rate schedule for the three-year term, resulting in an increase of $62,136, inclusive of $3,186 for the permitted holdover period, from $261,870 to a new total amount of $324,006.
3. Direct the Real Estate Services Department to file the Notice of Exemption in accordance with the California Environmental Quality Act.
(Presenter: Terry W. Thompson, Director, 387-5000)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The total cost of Amendment No. 4 (Amendment) to Lease Agreement No. 14-73 (Lease) with Wilco San Bernardino, LLC DBA Lock and Leave Storage (Landlord) is $62,136, inclusive of $3,186 for the permitted holdover period. Lease payments will be made from the Real Estate Services Department (RESD) Rents budget (7810001000) and reimbursed from the Department of Public Health (DPH) Women, Infants and Children (WIC) program budget (9300001000). The DPH budget for the WIC program is funded with federal pass-through funds. Sufficient appropriation is included in the 2026-27 budget and will be included in future recommended budgets. Annual lease costs are as follows:
|
Lease Year |
Lease Cost |
|
*August 1, 2026 - September 30, 2026 (Two months) |
$3,186 |
|
October 1, 2026 - March 31, 2027 |
$9,537 |
|
April 1, 2027 - September 30, 2027 |
$9,537 |
|
October 1, 2027 - March 31, 2028 |
$9,822 |
|
April 1, 2028 - September 30, 2028 |
$9,822 |
|
October 1, 2028 - March 31, 2029 |
$10,116 |
|
April 1, 2029 - September 30, 2029 |
$10,116 |
|
Total |
$62,136 |
*Permitted Holdover
BACKGROUND INFORMATION
On February 25, 2014 (Item No. 46), the Board of Supervisors (Board) approved the Lease, which included one, three-year option to extend the term, for approximately 2,870 square feet of storage space at 322 South Waterman Avenue in San Bernardino. The original term of the Lease was for the period of March 1, 2014 through February 28, 2017. In the approximately 13 years since the Lease was originally approved, the Board has approved three amendments to extend the term of the Lease, decrease the number of storage units, adjust the rental rate schedule, and update the name of the Landlord, with no change in ownership of the Property.
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Amendment No. |
Approval Date |
Item No. |
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1 |
April 18, 2017 |
41 |
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2 |
April 21, 2020 |
52 |
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3 |
July 25, 2023 |
52 |
Due to protracted negotiations with the Landlord regarding fair market rental rates, the Lease entered a permitted holdover effective August 1, 2026. Following a market survey of comparable properties in the San Bernardino area, RESD determined that the proposed rental rate of $1.10 per square foot per month, with an annual increase of approximately 3%, reflects fair market value and is consistent with current market conditions in San Bernardino and surrounding areas.
The Amendment extends the Lease for three years, from October 1, 2026 through September 30, 2029, following a permitted holdover from August 1, 2026 through September 30, 2026. It also adjusts the rental rate schedule, adds one one-year extension option, provides both parties with a 90-day termination right, identifies the Landlord as Wilco San Bernardino, LLC, doing business as Lock & Leave Storage, and updates standard lease provisions.
The Amendment was reviewed pursuant to the California Environmental Quality Act (CEQA) and determined to be categorically exempt under Section 15301 - Class 1 Existing Facilities because it provides for the continued use of an existing facility with negligible or no expansion of the existing use.
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Summary of Lease Terms |
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Lessor: |
Wilco San Bernardino, LLC DBA Lock and Leave Storage Bradley E. Willard, CEO |
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Location: |
322 South Waterman Avenue, Units A32, A38, G11, G25, K3 and K4, San Bernardino |
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Size: |
1,445 square feet of storage space |
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Term: |
Three years commencing on October 1, 2026 |
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Options: |
One one-year option |
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Rent: |
Cost: $1.10* per square foot per month, full-service gross |
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Monthly: $1,589.50 |
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Annual: $19,074 |
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*Mid-range for comparable facilities in the San Bernardino area per the competitive set analysis on file with RESD |
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Annual Increases: |
Approximately 3% |
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Improvement Costs: |
None |
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Custodial: |
Not applicable |
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Maintenance: |
Provided by Lessor |
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Utilities: |
Provided by Lessor |
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Insurance: |
The Certificate of Liability Insurance, as required by the Lease, is on file with RESD |
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Holdover: |
Upon the end of the term, if permitted by Lessor, the Lease shall continue on a month-to-month term upon the same terms and conditions which existed at the time of expiration |
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Right to Terminate: |
Both parties have the right to terminate with 90-days’ notice |
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Parking: |
Sufficient for County needs |
PROCUREMENT
County Policy 12-02 provides that the Board may approve the use of an alternative procedure to the use of a Request for Proposal (RFP) process whenever the Board determines that compliance with the Formal RFP requirements would unreasonably interfere with the financial or programmatic needs of the County, or when the use of an alternative procedure would otherwise be in the best interest of the County.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, 387-5455) on August 24, 2026; Public Health (Shannon Bailey, Acting Assistant Director, 387-9146) on August 24, 2026; Purchasing (Ariel Gill, Supervising Buyer, 387-2070) on August 21, 2026; and County Finance and Administration (Iliana Rodriguez, 387-4205, and Eduardo Mora, 387-4376, Administrative Analysts) on September 4, 2026.
(PHL: 665-4890)