Council signals support for exclusive negotiations with Junior League on Gatehouse lease; roof and electrification debated

At a study session the City Council solicited direction on a long-term lease framework for the Gatehouse at 555 Ravenswood Avenue, a historic city-owned property currently leased by the Junior League of Palo Alto Peninsula.

City Clerk Judy Herron described options including exclusive negotiations with the Junior League or issuing an RFP, market-based versus CPI-based rent structures, and several models for capital-improvement responsibility: city-funded, tenant-funded, or a shared approach. Staff noted the Gatehouse needs a roof replacement estimated at $600,000 and that the property is listed on the National Register of Historic Places.

Councilmembers broadly favored exclusive negotiations with the Junior League while asking staff to explore rent-level comparisons and to include provisions that increase public access for nonprofits. Several councilmembers said the city should consider covering electrification if grant funds (including a referenced $4.5 million program) can be used; Councilmember Jeff Schmidt asked staff to provide a cost estimate for full electrification beyond program incentives.

Christy Bonham, president-elect of the Junior League, said the organization has a capital-improvement fund established for the Gatehouse and is prepared to fund the roof replacement and continue stewardship of the building. Bonham said the League supports increased community use and is open to coordinating with the city and nonprofits to promote access.

Council provided direction to pursue exclusive negotiations with the Junior League, investigate electrification opportunities with Peninsula Clean Energy and PG&E programs, request a scope and cost estimate for full electrification, and develop transparency and reporting mechanisms to increase community use.