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Committee approves five‑year lease extension for sheriff’s reentry site at 70 Oak Grove with landlord‑funded ADA upgrades
Summary
The subcommittee approved a five‑year extension of the Sheriff's Department lease at 70 Oak Grove Street at a fixed rate of $44.65 per sq ft, with the landlord providing approximately $300,000 in ADA improvements and a 7‑month early‑termination repayment provision; the Controller was asked to evaluate potential consolidation of reentry programs.
The Budget and Finance Subcommittee approved a resolution on April 30 to exercise a five‑year lease extension for the Sheriff’s Department at 70 Oak Grove Street.
John Updike, Director of Real Estate, told the committee that the extension covers a roughly 10,000 sq ft site used for alternatives to incarceration and reentry programs. The new lease carries a fixed rate of $44.65 per square foot for the five‑year term; landlord‑funded capital improvements to bring restrooms and other elements into ADA compliance were estimated at about $300,000.
Updike noted the agreement includes a limited early‑termination right requiring seven months’ notice and potential repayment of unamortized ADA improvement costs if the city exercises that right. He added the negotiated rate is below comparable market rents in the area.
Budget analyst Mr. Rose reported the proposed option increases base rent substantially from prior terms — the five‑year total rent under the extension was estimated at $2,189,250 versus $950,500 in the prior five‑year period — and recommended amending the resolution to request the Controller evaluate whether reentry programs across the Sheriff’s Department, Adult Probation, Public Defender and District Attorney could be consolidated to reduce lease and related costs.
Breema Hoarder, Chief Financial Officer for the Sheriff’s Department, said the department is open to a Controller‑led study and had previously looked for alternative spaces with the mayor’s office but did not find practical synergies; she said staff welcome broader conversations with justice partners about co‑locating services to improve efficiency.
The committee moved and approved the budget analyst recommendation and the underlying resolution as amended, taken without objection.
Next steps: The committee asked staff to include the Controller in evaluating potential consolidation opportunities and to redraft the item title to remove unnecessary personal‑status language in the property owner listing before the full Board’s consideration.
