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HomeMy WebLinkAboutAGENDA REPORT 2006 0301 CC REG ITEM 09BI'T'EM q. E'. -)F rotOORPARk, CALIFORNIA CRy Ct3unr..ii mooting of ACT ®N MOORPARK CITY COUNCIL BY:_�_�' AGENDA REPORT TO: The Honorable City Council FROM: Hugh R. Riley, Assistant City Mana DATE: February 17, 2006 (CC Meeting of March 1, 2006) SUBJECT: Approve Acquisition of Property at 5156 Commerce Avenue for Use as An Interim City Hall DISCUSSION One of the City Council's top ten priority projects is the development of a new Civic Center and City Hall. Site master planning and preliminary design for the new permanent facility is well underway with project completion and occupancy a minimum of three years away. The City continues to occupy operating and office facilities in different locations. Conditions are extremely crowded to the point that the addition of new staff to meet the growing service needs of the community is prevented due to the lack of space. The electric power capacity of the main city hall building has been reached or exceeded and frequent power service interruptions have been experienced. In addition, the location of administrative departments in various locations is a continuing inconvenience to the public and to the efficiencies of good customer service. Staff has identified an existing building at 5156 Commerce Avenue that could serve as an interim City Hall. The building contains 31,233 square feet including 10,565 square feet of office space on two floors and 20,668 square feet of open warehouse space and ample parking for employees and the visiting public. Staff has completed a preliminary study and has determined that the conversion of the building for use as an interim city hall is feasible and could be accomplished at a reasonable cost. To meet the current needs of the City, approximately 10,000 square feet of office and public counter space would need to be added along with additional office partitions in the existing office areas. Design and construction of these improvements would take approximately five months. There would also be costs associated with the relocation of the city's operations to the interim facility. Staff is recommending that the City Council Chambers and television broadcasting facilities remain at the current location. 000036 Honorable City Council March 1, 2006 Page 2 The cost to acquire the building will be approximately $3 million. Preliminary estimates for renovations and moving costs are approximately $1 million. Based on current industry property value appreciation trends for combined office and warehouse facilities, staff believes that the improved facility could be sold following the opening of the new city hall downtown. It is staff's opinion that much if not all of the city's property and remodeling investment can be recovered upon sale. There are several advantages to acquiring this property for an interim city hall: • Provides enough space and a comfortable working environment for city employees with adequate restrooms, conference rooms, safe, secure storage and ample parking. • Improves service to the public by consolidating existing city functions and departments in one location and improving supervisory control. This would include having Engineering, Building and Safety, Community Development and Public Works at the same location. • Improves parking for employees and the visiting public and relieves parking congestion for the Active Adult Center located at the current civic center site. • Provides interim storage space through use of the warehouse space that is not needed for office use. It can be utilized for secure material and equipment storage for the permanent city hall and other projects. The space could also be leased for other uses, creating revenue. • Allows the City to proceed with the development program for the new City Hall with adequate time to address the challenges and impediments at the designated site. • Allows projects planned for property where present city offices are located to proceed including the Public Works Office Building at 798 Moorpark Avenue, the AnimalNector Control Facility at 782 Moorpark Avenue, and the Engineering Department Building at 18 High Street. • Allows the reuse of the existing City Hall building at 799 Moorpark Avenue for other community or revenue producing purposes. There are some short term disadvantages to this proposal: • City Hall would temporarily be situated away from the downtown area. • Mailing and delivery addresses would change twice rather than once. 000037 Honorable City Council March 1, 2006 Page 3 • The visiting public would have to be directed to the new location with an accompanying period of confusion. This impact can be minimized with an appropriate public relations effort. • Office relocation costs would increase with two moving scenarios as opposed to one. • Possible loss of investment interest revenue if the building's appreciated value at sale does not match current investment interest rates. • City Council Chambers would remain at the current location. STAFF RECOMMENDATION Authorize staff to proceed with the acquisition and conversion of the property at 5156 Commerce Street for an interim City Hall. Attachment 1: Property Description 000'038 AVAILABLE 31,233 Square Feet 5156 Commerce Avenue Moorpark, California Building Features ♦ Corporate Headquarter Facility ♦ Rare Freestanding Building ♦ Highly Visible Site with Prominent Building Signage ♦ 8,138 SF of Ground Floor Window -lined Office Space ♦ 2,427 SF of Second Floor Window -lined Office Space ♦ 2 Dock Highs & 1 Ground Level Loading Door ♦ 311,000 Parking ♦ 1,200 Amps of Power * Large Training Room & Employee Lunchroom * Close Proximity to Restaurants & Retail Amenities ♦ Excess land ATTACHMENT I 0000�!J