ARLINGTON COUNTY, VIRGINIA

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1 ARLINGTON COUNTY, VIRGINIA County Board Agenda Item Meeting of January 24, 2015 DATE: January 5, 2015 SUBJECT: Deed of Lease between the County Board of Arlington County, Virginia, as Landlord, and Alami Abderrahim, as Tenant, for a portion of the real property and improvements located at 909 S. Dinwiddie St., Arlington, Virginia (RPC# ). C. M. RECOMMENDATIONS: 1. Approve the attached Deed of Lease (Exhibit 1) between the County Board of Arlington County, Virginia, as Landlord, and Alami Abderrahim, as Tenant, for a portion of the real property and improvements located at 909 S. Dinwiddie St., Arlington, Virginia (RPC# ); and 2. Authorize the Real Estate Bureau Chief or his designee to execute the Deed of Lease on behalf of the County Board and any related documents, subject to approval as to form by the County Attorney. ISSUES: This is a request for approval of a 10-year lease for the operation of a restaurant in the retail space in the Arlington Mill Community Center. There are no outstanding issues regarding the approval of the lease. SUMMARY: The lease is for the operation of a restaurant in the retail space in the Arlington Mill Community Center. The term is for 10 years. The initial base rent is $43,200 per year ($23.04 per square foot), and will escalate annually to a high of $56,340 per year ($30.05 per square foot) at the end of the term. The lease requires the County to install certain improvements, listed in Exhibit C to the lease, at the County s cost and expense. BACKGROUND: The subject portion of the Arlington Mill Community Center contains approximately 1,875 square feet, fronting Columbia Pike on the Dinwiddie street level (the second floor) of the building, intended for a food service business as a service to Community Center users and the community. The County previously leased the space to Pan American Cafe, Inc., but the lease was terminated in April 2014 at the tenant s request, before the tenant opened for business, when one of its principals became seriously ill. County Manager: ##### County Attorney: ***** 15. Staff: Doug Raiden, DES Real Estate

2 In order to locate a replacement tenant, staff posted a leasing sign on the building, listed the space with CoStar, and reached out to a number of restaurant chains and local restaurants and to the Columbia Pike Revitalization Organization. Mr. Abderrahim, the proposed new tenant, contacted staff about the space after seeing the building s sign. Mr. Abderrahim is a local entrepreneur with many years experience in the food service business. He managed a Lebanese Taverna restaurant in Washington, D.C. for several years. He later opened his own restaurant, Souk, also in the District. Mr. Abderrahim is a cooking enthusiast and has a cooking channel on YouTube. He currently owns and operates a women s clothing store in the District, Tangerine Boutique, which he plans to continue operating. Staff selected Mr. Abderrahim for the Board s consideration because of his food service and other business management experience; the appropriateness of his product for the Community Center; and the healthy content of his menu. Mr. Abderrahim proposes to operate a gourmet coffee shop called Root Cafe featuring fresh and healthy Mediterranean cuisine and primarily serving coffee and coffee-based drinks, tea, soup, hot and cold sandwiches, salads, juices, breakfast, various entrees, and a small selection of pastries. The menu is posted online at (Also attached to this report) DISCUSSION: The lease term is for 10 years. The lease has no extension options for either party. The base rent schedule is as follows: Year Annual Base Rent Monthly Base Rent Per Square Foot 1 $43,200 $3,600 $ $44,520 $3,710 $ $45,840 $3,820 $ $47,220 $3,935 $ $48,600 $4,050 $ $50,100 $4,175 $ $51,600 $4,300 $ $53,160 $4,430 $ $54,720 $4,560 $ $56,340 $4,695 $30.05 The tenant will pay for his own utilities and will be assessed and billed separately for real estate taxes attributable to his leasehold interest. The tenant must maintain the premises but will not be charged for common area maintenance. In addition to the work already performed in the construction of the Community Center, the lease requires the County to install a separate HVAC system for the premises, oven venting, a water submeter, an electrical panel and meter, and window shades. The estimated cost of the work to the County is $290,000, including staff time and a construction contingency. The tenant will reimburse the County around $7,000 for the cost of the window shades

3 If the County Board approves the lease and the procurement/construction schedule involves no delays, it is estimated that the restaurant will open during the first half of Fiscal Year (FY) FISCAL IMPACT: The FY 2015 adopted budget includes expense projections (ongoing and one-time) for the leased space in the new Arlington Mill Community Center. The payment of rent will not begin until FY 2016 and will be included in the FY 2016 Proposed budget. The cost of the landlord s work is within the Arlington Mill Community Center s current construction budget

4 Menu Menu Caffeine Catering About Breakfast We proudly serve local farm fresh eggs RISE & SHINE Morning Sandwiches PASTRIES & SWEETS Savory Treats Muffins Cookies Scones Pies / Tarts fins Hyde Park 100% wholegrain English oats, milk. sultanas, toasted walnuts and warm spices with fresh seasonal fruits The Joy Sandwich Grilled and vanilla battered French Toast, stuffed with creamy Nutella served with fresh seasonal fruits Wildflower Nutty Root made granola, Fruits and yugurt all with a drizzle of Oregon wildflower honey Natural Refreshments The Root Breakfast Slow roasted tomatoes, poached egg, fresh spinach, basil pesto spread on Ciabatta Columbia pike Avocado guacamole of fresh lime, roasted tomatoes, egg, drizzle of sharp olive oil Virginia Bacon & Egg Free range and no hormones or antibiotics used on a toasted bagel Egg Royale Lightly olive oil dressed arugula, lemon zest smoked salmon, delicious egg on sesame toasted bread Freshly Squeezed Orange Juice Homemade Mint Lemonade Green Tea Avocado Smoothie Almond Banana Smoothie Orange & Carrot Beets & Berries Smoothie Egg & cheddar w/fresh thyme Sharp Vermont Cheddar and fresh Thyme on toasted multigrain bagel Lunch & Dinner SANDWICHES The butcher's All Natural Roast Beef, Harvati, Cucumber, Red Onions, Snappy Chipotle Aioli, French Bread $8 Grilled Wild Tilapia Crunchy Apple Cabbage Coleslaw, Lemon, Arugula, Wholegrain Baguette $7 Tuscan Park Fresh Mozarella, Tomatoes, Fresh Basil, Pesto Aioli, rustic french bread $8 SALADS Root Fall Salad Italian market salad of lentils, Celery, Red Peppers, Crunchy Zucchinis, Extra Virgin Olive Oil $8.5 La Fayette Tuna in olive oil, romaine, long string beans, new potatoes, cherry tomatoes, egg, white dijon vinaigrette $8 Greek Salad Fresh Juicy Tomatoes, Red nions, Creamy Feta, Peppers, Mint, 10:05:13 AM]

5 Menu Grilled Chicken Avocado Cabbage Coleslaw, Tomatoes, Peppery Arugula on wholegrain $7 Mediterranean Tuna Spicy Harissa, Kalamata, Sweet Lemons, Red Onions, Capers, Arugula $7 Pear & Goat chesse Oven Cured Goat Cheese, Lightly Toasted Pear, Crunchy Walnuts $6 Steak N Cheese Home grilled steak cubes, Melting Mozarella, tomato mint salsa Radish, Oregano Lemon Vinaigrette $7 Autumn Steak Salad Brussel Sprouts, Steak Cubes, Cauliflower, Squash, Toasted Almonds, white Bean $8 Apples w/roasted walnuts and blue cheese Fresh Walnuts, Cranberries, Creamy Blue Cheese, Homemade Walnut Vinaigrette $7 Avocado & Shaved Shaved Parmesan Grilled Chicken, Ripe avocados, Tangy Parmesan, Tomatoes, Cucumbers, Toasted Almonds, Cilantro Lime Vinaigrette $8 Mediterranean Couscous Salad Crunchy Zucchinis, Chickpeas, Cherry Tomatoes, Kalamata, Mesculin, Cumin Vinaigrette $8. Comfort Eats Hummos Homemade blend with garlic Lemon ( Add Harissa.50) Stuffed Red Pepper Chick Peas. herbs, saffron infused tomato sauce Cheese Platter Blend of Cheeses, Jams, Crusty Pita Chips Mediterranean Platter Hummos, Lebneh, Olive Tapenade 1Spinach Pie, 1 Feta Pie Daily Special Soup of the day: Daily Meal: Yummy and Fresh, Changes Daily 10:05:13 AM]

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55 Vicinity Map Arlington Mill Communinty Center 909 S Dinwiddie ST RPC# 22001PLA S DINWIDDIE ST S ARLINGTON MILL DR 9TH ST 22001PLA S COLUMBIA PIKE S COLUMBUS ST Feet Pursuant to Section of the Code of Virginia, any determination of topography or contours, or any depiction of physical improvements, property lines or boundaries is for general information only and shall not be used for the design, modification, or construction of improvements to real property or for flood plain determination. Easements and Dedications are approximate. Aerial Photography flown February 2011 Map prepared by Arlington County GIS Mapping Center Produced and June TH ST S /

56 Vicinity Map Arlington Mill Communinty Center 909 S Dinwiddie ST RPC# 22001PLA IE S IDD INW SD T S AR N TO NG LI LL MI DR H 9T 22001PLA ST S M LU O C E PIK A BI S CO LU M0 B US S T 100 Feet T 10 TS S H / Pursuant to Section of the Code of Virginia, any determination of topography or contours, or any depiction of physical improvements, property lines or boundaries is for general information only and shall not be used for the design, modification, or construction of improvements to real property or for flood plain determination. Easements and Dedications are approximate. Aerial Photography 2013 Commonwealth of Virginia Map prepared by Arlington County GIS Mapping Center Produced and March 2014

57 S S Vicinity Map Arlington Mill Communinty Center 909 S Dinwiddie ST RPC# 22001PLA 7TH ST S 8TH ST S 7TH RD S DICKERSON ST 9TH ST S 8TH RD S S DINWIDDIE ST 22001PLA COLUMBIA PIKE S FOUR MILE RUN DR FREDERICK ST S 10TH ST S COLUMBUS ST S BUCHANAN ST S EDISON ST Feet 11TH ST S Pursuant to Section of the Code of Virginia, any determination of topography or contours, or any depiction of physical improvements, property lines or boundaries is for general information only and shall not be used for the design, modification, or construction of improvements to real property or for flood plain determination. Easements and Dedications are approximate. Aerial Photography flown February 2011 Map prepared by Arlington County GIS Mapping Center Produced and June TH ST S /

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