COUNCIL OF THE DISTRICT OF COLUMBIA
COMMITTEE OF THE WHOLE
1350 Pennsylvania Avenue, NW
Washington, DC 20004
MEMORANDUM
TO:
FROM: Phil Mendelson, Chairman
DATE:
RE:
Please place that the following measure on the agenda for the July 9, 2019 Additional Legislative Meeting:
- PR 23-405, “Proposed Contract between UDC and the Old Congress Heights School Redevelopment Company, LLC Approval Resolution of 2019
The purpose of this resolution is to approve CA 23-181, a 15-year sublease between the University of the District of Columbia (UDC) and the Old Congress Heights School Redevelopment Company, LLC (Company) for property located at 3100 Martin Luther King Jr. Avenue, S.E. Under the proposed sublease, UDC will pay the Company a total of $2.082 million in rent and $919,545 in operating costs for the first year, with amounts increasing every year thereafter. Specifically, the rent will escalate by 2.75% each year except for years five and 10. During those years, the rent will only increase by three dollars. Additionally, the operating costs are expected to be $736,000 annually. Further, under the proposed sublease, the University will have two options to purchase the property – one at the end of the sixth year of the sublease and one at the end of the end of the initial term. If UDC chooses not to purchase the property, there are two five-year option extensions available to the University.