HomeMy WebLinkAbout08-13-1984 Item #F-2oBACKGROUND: The City entered a Concessionaire Agreement
on March 8, 1982 for the Maintenance and Operation of
Ruby's Restaurant at the end of the Balboa Pier. The
old building was extensively remodeled by the Concession-
aire and Ruby's Restaurant has proved to be an attractive
and successful establishment. The City, during the past
twelve months, has received over $45,000 in Concession-
aire fees from Ruby's Restaurant.
The Concessionaire has requested an extension of the term
of the Concessionaire Agreement by letter dated July 10, 1984.
(attached) Follow up conversations with the Concessionaire
reveal that a ten (10) year extension would be preferred but
that a five (5) year extension would be acceptable.
RECOMMENDATION: In the opinion of this office Ruby's has
proved to be an attractive asset to the City and the Con-
cessionaire has been extremely cooperative and accommodating
when dealing with the City. The restaurant is run in a
very orderly and cleanly manner. The attractiveness and
popularity has been reflected in the fees paid to the City,
which average $3800 per month. The existing Concessionaire
Agreement prevents the transfer of the interests without
the consent of the City. Therefore, there is no concern that
this extension of term is a precursor to sale.
In consideration of the cooperation and expenditures by the
Concessionaire, this office believes that a five (5) year
e tensi on the existing Agreement is appropriate.
KENNETH . DELINO
KJD : mm
attachments
CITY OF NEWPORT BEACH
OFFICE OF THE CITY MANAGER CITY COUNCIL
August 13, 1984
AGENDA N0, F -2(o)
BY THE CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
CITY OF NEWPORT BEACH
FROM: Executive Assistant
Aug. 13 19e4
SUBJECT: RUBY'S RESTAURANT/Balboa Pier
g-19 ._ I G a &
ACTION: If desired, approve Resolution
No. ,q -IDS
to ammend the Concessionaire Agreement to
provide for an additional term
of five (5)
years.
BACKGROUND: The City entered a Concessionaire Agreement
on March 8, 1982 for the Maintenance and Operation of
Ruby's Restaurant at the end of the Balboa Pier. The
old building was extensively remodeled by the Concession-
aire and Ruby's Restaurant has proved to be an attractive
and successful establishment. The City, during the past
twelve months, has received over $45,000 in Concession-
aire fees from Ruby's Restaurant.
The Concessionaire has requested an extension of the term
of the Concessionaire Agreement by letter dated July 10, 1984.
(attached) Follow up conversations with the Concessionaire
reveal that a ten (10) year extension would be preferred but
that a five (5) year extension would be acceptable.
RECOMMENDATION: In the opinion of this office Ruby's has
proved to be an attractive asset to the City and the Con-
cessionaire has been extremely cooperative and accommodating
when dealing with the City. The restaurant is run in a
very orderly and cleanly manner. The attractiveness and
popularity has been reflected in the fees paid to the City,
which average $3800 per month. The existing Concessionaire
Agreement prevents the transfer of the interests without
the consent of the City. Therefore, there is no concern that
this extension of term is a precursor to sale.
In consideration of the cooperation and expenditures by the
Concessionaire, this office believes that a five (5) year
e tensi on the existing Agreement is appropriate.
KENNETH . DELINO
KJD : mm
attachments