Redondo Beach’s City Council approved a property lease agreement and infrastructure finance plan for CenterCal’s The Waterfront project during a late night/early morning deliberations Jan. 31 and Feb. 1.
The council approval formalizes a contractual relationship between Redondo Beach and CenterCal.
CenterCal would pay a minimum annual rent of $250,000 plus a portion of net operating income and increase 10 percent every five years. The minimum annual rent would increase to $1 million per year after 30 years. Rent payment begins 24 months after the lease commences.
Terms of the lease run for 66 years (tidelands) and 99 years (uplands).
The lease agreement was approved weeks ahead of the March 8 election, when Redondo Beach voters will approve or deny a ballot initiative seeking to limit CenterCal’s revitalization of the King Harbor waterfront.
Additional reporting about the lease agreement and ballot initiative will be provided in the February 24 issue of The Log.