title
Resolution Authorizing the City Manager to Enter Into a New Lease on the Seventh Floor of the Skyline Center with HDR Engineering, Inc. of the Carolinas
body
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Department: |
Asset & Property Management |
Meeting Date: |
6/16/2026 |
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Contact Name: |
Courtney Salgado |
Public Hearing: |
No |
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Contact Phone: |
910-341-1008 |
Advertising Date/Advertised By: |
May 15, 2026 |
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Attachments: |
Attachment #1: Resolution |
PURPOSE:
The purpose of this resolution is to authorize the City Manager to enter into a new lease on the seventh floor of Skyline Center with HDR Engineering, Inc. of the Carolinas.
BACKGROUND:
Attached for your consideration is a resolution authorizing the City Manager to execute a new lease agreement for 4,135 Square Feet of space on the seventh floor of the Skyline Center to HDR Engineering, Inc. of the Carolinas.
City staff have reached a mutually agreeable lease, which consists of an initial term of five (5) years, along with two (2) options to renew for an additional two (2) years. The initial annual rent will be $106,000 and will increase annually thereafter.
The project included tenant upfits with guaranteed rent abatement in the total amount of $119,250 to be applied as a credit against base rent. This includes one year of rent abatement with an additional three months at 50% rent.
This transaction is co-broke between Cape Fear Commercial and Jones Lang LaSalle Americas, Inc so there is 7% commission on the gross aggregated rental for the initial term. The total commission due is $39,394.
budget
BUDGET IMPACT:
The annual rent will be used to support the operations of the Skyline Center and capital needs.
recommendation
RECOMMENDATION / ACTION REQUESTED:
Passage of the attached resolution to authorize a new lease on the 7th floor of Skyline Center to HDR Engineering, Inc. of the Carolinas, is recommended.