Committee approves 20-year parking lease with Foundry on Third for 100 reserved stalls; vote 3–1

The Infrastructure and Facilities Committee on May 8 voted to approve a 20-year parking lease reserving 100 stalls on the Sears East Ramp for Foundry on Third LLC, with a 20% discounted monthly rate for the tenant. The measure passed 3–1.

Randy, presenting the agreement, said the lease would begin Dec. 1 and provide a guaranteed revenue stream for the city. "For this long term commitment of the agreement, we provided a 20% discount within the agreement for the foundry," he said. Randy also noted a proposed packet change to remove a city sweeping provision from the city's responsibilities.

Committee members exchanged concerns about ramp lifespan and whether the discount was appropriate. One member questioned future maintenance exposure, noting the city previously demolished an older ramp and asked whether the Sears ramp would remain serviceable for the term. City staff responded that the Sears and Penneys ramps are post-tension structures in comparatively good condition and that the city budgets annual ramp maintenance and inspections. Staff said Walker Consultants inspects the ramps and that a planned $600,000 maintenance project will be applied to the Jefferson ramp this summer and then rotated to Sears.

Supporters said the agreement converts unused capacity into revenue and formalizes reserved stalls that otherwise skew occupancy calculations. Opponents objected to the size of the discount given a history of tax and development concessions; that objection was voiced in committee debate but the dissenting member did not prevail.

Outcome: motion to approve the parking lease passed with a tally of yes 3, no 1. No monetary amendment was made during the committee meeting. The committee did not direct immediate additional maintenance beyond planned ramp upkeep.

Ending: The committee approved the lease and the agreement will proceed according to the terms in the packet.