Item Description:
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Neg Lease Agmt LS00000032 with St. Olaf’s Catholic Church of Minneapolis, Minnesota for temporary winter safe space at 819 2nd Avenue South, Mpls, 12/15/23 - 4/30/24, $1 base rent plus ordinary operating costs, NTE $25,000 for tenant improvement expenses.
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Resolution:
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BE IT RESOLVED, that the County Administrator be authorized to negotiate Lease Agreement LS00000032 with St. Olaf’s Catholic Church of Minneapolis, Minnesota for rental of 11,281 square feet of space located at 819 2nd Avenue South in Minneapolis, during the period of approximately December 15, 2023 through April 30, 2024, in the amount of $1 base rent plus ordinary operating costs, and an amount not to exceed $25,000 for tenant improvement expenses; that following review and approval by the County Attorney’s Office, the Chair of the Board be authorized to sign the Agreement on behalf of the County; and that the Controller be authorized to accept and disburse funds as directed.
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Background:
St. Olaf’s Catholic Church of Minneapolis, Minnesota (“St. Olaf’s”) owns an existing building at 819 2nd Avenue South, Minneapolis (“Building”). The Building was the former location of the Exodus Residence supportive housing facility prior to its relocation to Catholic Charities’ “Endeavors” project in Elliot Park. The Building is currently vacant and planned for future renovation and conversion to affordable housing.
Hennepin County Health and Human Services (“County”) proposes to lease a portion of the Building for a short-term period of up to 5 months for winter safe space for families with children experiencing homelessness who have nowhere else to stay in instances when demand exceeds supply for family shelter. St. Olaf’s will charge the County a nominal base rent of $1. The County will be responsible for its share of Building operating costs (estimated at $25,000 for the lease period) and for any tenant improvements required to convert the vacant space to winter safe space (estimated at up to $25,000).
Hennepin County has had a shelter-all policy for families with children since 2005, but recently that practice has been severely tested. As of December 1st, family shelter and overflow sites are currently at more than 380% of normal capacity. Levels of family homelessness began increasing steeply following the end of pandemic-related federal rent assistance and the eviction moratorium in 2022.
Hennepin County remains committed to sheltering families and making homelessness rare, brief, and nonrecurring. Through the temporary lease of this Building, Hennepin County can ensure that an option can be made available for families with children if occasions arise this winter where temporary shelter capacity is otherwise full on the day it is needed.
Current Request:
Authorization is sought to negotiate LS00000032 with St. Olaf’s Catholic Church of Minneapolis, Minnesota, for the rental of 11,281 square feet of space located at 819 2nd Avenue South in Minneapolis, during the period of approximately December 15, 2023, through April 30, 2024, in the amount of $1 for base rent, plus operating costs and an amount not to exceed $25,000 for tenant improvement expenses.
Impact/Outcomes:
Approval of Lease Agreement LS00000032 will allow the County to provide emergency winter safe space for families experiencing homelessness during the winter months.
recommendation
Recommendation from County Administrator: Recommend Approval