Council members directed staff on Aug. 14 to reissue a letter of intent offering a five-year extension for the Marina building lease with a city-held right to terminate on one year’s notice, and to request a formal response from the current tenant within 30 days.

Council member Urban said he supports moving the Marina building in a new direction and described the current business as underutilizing a “prime” city asset, while acknowledging the tenant’s past contributions. City staff said an earlier letter of intent had been sent but received no definitive acceptance; staff recommended reissuing terms consistent with a prior market study and the council’s stated desire for flexibility.

Council members asked staff to include a one-year termination clause that would let the city pursue a different use for the property if the council chooses to do so in the future. Staff recommended giving the tenant 30 days to accept or reject the revised proposal; council members signaled support for that approach rather than proceeding immediately to eviction or other action.

Status: The council did not vote on a lease amendment at the Aug. 14 meeting. Staff said it would reissue the letter of intent with the one-year termination provision and ask the tenant to respond within a 30-day window.

Why it matters: The Marina building is a downtown asset the council has discussed redeveloping; the council sought both short-term revenue from a tenant and flexibility to pursue future redevelopment.