Port approves 10-year lease and interim licenses with Bowers Intelligent Transportation at Pier 50

The Port Commission approved a 10-year lease and two interim licenses with Bowers Intelligent Transportation to consolidate and expand the company's waterfront operations at Pier 50 and adjacent properties.

Jay Edwards, senior property manager in the Port—s real estate division, described negotiated lease terms that provide roughly 68,777 square feet of shed space, about 50,000 square feet of yard and approximately 4,370 square feet of office space. The lease includes stepped rents designed to help the company ramp operations, a seven-month rent abatement while build-out takes place and rent credits of up to $515,000 for core-and-shell improvements (bathrooms, electrical and mechanical work) that the company will undertake.

Bowers told the commission the Pier 50 site will allow the company to consolidate operations, improve dispatch and staging, and support its commuter and event-transportation business. Gary Schwartz, Bowers' chief financial officer, said the company transports thousands of riders daily and praised the port staff's negotiation efforts.

Staff estimated the total 10-year rent stream at parameter rent and described a structure that allows the company to invest in build-out while the port preserves long-term value; because of the lease term and dollar totals the lease is subject to Board of Supervisors approval. The commission approved Resolutions 11-83, 11-84 and 11-85 to authorize the lease and the two interim licenses subject to final execution and required supervisory approvals.