REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
March 25, 2025
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
TRACY REECE, Chief Probation Officer, Probation Department
SUBJECT
Title
Lease Agreement and Option to Purchase with KB Tri-City II MT, LLC, a Delaware Limited Liability Company for Office Space in San Bernardino
End
RECOMMENDATION(S)
Recommendation
1. Find that approval of a Lease Agreement and Option to Purchase with KB Tri-City II MT, LLC, a Delaware limited liability company, for office space is an exempt project under the California Environmental Quality Act Guidelines Section 15301 - Existing Facilities (Class 1).
2. Approve Lease Agreement with KB Tri-City II MT, LLC, a Delaware limited liability company, through the use of an alternative procedure, as allowed per County Policy 12-02 - Leasing Privately Owned Real Property for County Use, to lease approximately 59,018 square feet of office space located at 862 East Hospitality Lane in San Bernardino, for 10 years, with one five-year option to extend the term of the lease, which will commence on the later of substantial completion of the tenant improvements or San Bernardino County's receipt of a Certificate of Occupancy obtained by KB Tri-City II MT, LLC, a Delaware limited liability company, for a total amount of $22,504,913, which includes a one-time lump-sum cost for tenant improvements.
3. Approve an Option to Purchase the entire property located at 862 East Hospitality Lane in San Bernardino from the commencement of the third year of the lease term through the expiration of the lease term, with an Option Fee of $100.
4. Authorize the Director of the Real Estate Services Department to exercise and execute any other Lease documents and take any other actions necessary to complete the transaction in Recommendation No. 2, subject to County Counsel review.
5. Authorize the Purchasing Agent to issue purchase o...
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