title
Resolution Authorizing the City Manager to Execute a Lease Amendment with Coastal Beverage Company, Inc., for a Portion of the Eighth Floor of the Skyline Center
body
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Department: |
Economic Development |
Meeting Date: |
7/15/2025 |
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Contact Name: |
Aubrey Parsley |
Public Hearing: |
No |
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Contact Phone: |
910-200-8382 |
Advertising Date/Advertised By: |
6/15/2025 |
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Attachments: |
Attachment #1: Resolution |
PURPOSE:
The purpose of this resolution is to authorize the City Manager to execute a lease amendment on the eighth (8th) floor of 929 N. Front St. (Skyline Center) with Coastal Beverage Company, Inc., to extend the term of their lease for up to an additional year.
BACKGROUND:
The City of Wilmington executed a lease that began on August 1, 2024, with Coastal Beverage Company, Inc., for a 4,057 square foot portion of the eighth floor of the Skyline Center. The lease had a term of one year and an annual rental rate of $143,606. Two amendments to the lease were also executed, which brought the area of the total premises to 4,417 square feet and the annual rental rate $159,950. Coastal Beverage Company, Inc. has requested to extend their lease an additional month, thus creating a term that exceeds one year, and requiring public notice and City Council authorization. The updated monthly rental rate would increase from $13,329.17 to $13,729.05. Staff is requesting authorization to extend the lease term by one year, for a total duration not to exceed two years, but anticipates that Coastal Beverage Company, Inc. will vacate the premises prior to September 1, 2025.
budget
BUDGET IMPACT:
$13,729.05 in additional monthly revenue.
recommendation
RECOMMENDATION / ACTION REQUESTED:
Passage of the resolution is recommended.