Harbor Commission

BOARD OF HARBOR COMMISSIONERS

President Cindy Miscikowski
Vice President David Arian
Commissioner Robin M. Kramer
Commissioner Douglas P. Krause
Commissioner Sung Won Sohn

I. OPENING STATEMENT - AN OPPORTUNITY FOR MEMBERS OF THE PUBLIC TO ADDRESS THIS BOARD

PERSONS IN THE AUDIENCE MAY ADDRESS THIS BOARD IN CONNECTION WITH ANY AGENDA ITEM OR DURING THE PUBLIC COMMENT PERIOD.

AS PROVIDED BY THE BROWN ACT, THE BOARD HAS LIMITED EACH INDIVIDUAL'S SPEAKING TIME TO THREE MINUTES. ANYONE DESIRING TO SPEAK DURING THE PUBLIC COMMENT PERIOD IS REQUESTED TO COMPLETE A SPEAKER CARD AND SUBMIT IT TO THE COMMISSION SECRETARY, VIA THE SERGEANT AT ARMS, PRIOR TO THE START OF THE MEETING.

CONSENT ITEM NOS. 1 & 2

Real Estate

1. Re: RESOLUTION NO. ___________ - ASSIGNMENT AND ASSUMPTION OF PERMIT NO. 520 FROM SAN PEDRO OWNERSHIP, INC., DBA DOUBLETREE HOTEL SAN PEDRO TO LA SKY HARBOR, LLC.

Transmittal 1
Transmittal 2
Transmittal 3

SUMMARY: It is proposed that Permit No.520 covering the Doubletree by Hilton San Pedro - Port of Los Angeles (Hotel) located within the Cabrillo Marina area be assigned from San Pedro Ownership, Inc. (SP Ownership), the current tenant, to LA Sky Harbor, LLC. (LASH). Permit No. 520 grants a 50-year lease terminating on January 23, 2047. Section 10(a) of Permit No. 520 requires the consent of the Board of Harbor Commissioners (Board) to any sublease, assignment or grant of control in the premises.

Recommendation: Board resolve to (1) approve the Assignment and Assumption of Permit No. 520 and consent thereto from San Pedro Ownership, Inc. to LA Sky Harbor, LLC.; (2) authorize the Executive Director to execute and the Board Secretary to attest to the Assignment and Assumption of Permit No. 520 and consent thereto for and on behalf of the Board of Harbor Commissioners; and (3) adopt Board Order No.____________.

2. Re: RESOLUTION NO. ___________ - PROPOSED EIGHTH AMENDMENT TO PERMIT NO. 520 WITH LA SKY HARBOR, LLC.

Transmittal 1
Transmittal 2
Transmittal 3
Transmittal 4
Transmittal 5

SUMMARY: Permit No. 520 grants use of City of Los Angeles Harbor Department (Harbor Department) land at Cabrillo Marina for constructing, operating and maintaining facilities for hotel, dinner and convenience restaurants, banquet facilities, rental of office space, general retail sales and for purposes incidental thereto. Pending approval by the Board of Harbor Commissioners (Board) of the “Assignment and Assumption of Permit No. 520 from San Pedro Ownership, Inc., DBA Doubletree Hotel San Pedro to LA Sky Harbor, LLC.”, concurrently being proposed in a separate Board report, LA Sky Harbor, LLC. (LASH) will become the Tenant of record for Permit No. 520. The Proposed Eighth Amendment to Permit No. 520 will require the Tenant to complete all obligations, including approximately two million dollars of interior and exterior improvements over a period of two years, as required by Hilton Worldwide Corporation for licensing to operate the property as a Doubletree by Hilton hotel; and to continue operating the hotel on the premises as a Doubletree by Hilton or a hotel of similar or better quality as determined by the City’s Executive Director. Except as amended by the proposed Eighth Amendment, all terms and conditions of Permit No. 520 shall remain in full force and effect.

Recommendation: Board resolve to (1) approve the proposed Eighth Amendment to Permit No. 520; (2) direct the Board Secretary to transmit the proposed Eighth Amendment to Permit No. 520 to the City Council for approval pursuant to Section 606 of the City Charter; (3) authorize the Executive Director to execute and the Board Secretary to attest to the proposed Eighth Amendment for and on behalf of the Board of Harbor Commissioners upon approval be the City Council; and (4) adopt Resolution No.____________.