FACILITIESPENDING

Valley Metro Joint Boards Meeting Agenda April 2026

Valley Metro Weighs Long-Term Office Lease Amendment

Cost for the extension is $34,315,362 (base rent), plus 4.5% for operating expenses and taxes. The aggregate contract value for the amendment term will not exceed $35,859,553.Regional Intergovernmental Public Transportation AuthoritySKANLANKEMPERBARD COMPANIESApril 16, 2026

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Description

Valley Metro is considering approval of a fifth amendment to its administrative office lease with SkanlanKemperBard Companies for the 101 N. 1st Avenue building, extending the term through September 30, 2042 at a total amendment-term value not to exceed $35,859,553. The amended lease provides rent abatements, landlord-funded tenant improvements, a cash moving allowance, and enhanced parking and flexibility options to support the agency’s long-term administrative space needs.

Contract Details

Contract Amount

Cost for the extension is $34,315,362 (base rent), plus 4.5% for operating expenses and taxes. The aggregate contract value for the amendment term will not exceed $35,859,553.

Vendor

SKANLANKEMPERBARD COMPANIES

Agency

Regional Intergovernmental Public Transportation Authority, AZ

Contract Type

FACILITIES

Document Date

April 16, 2026

Contract Term

Extension of existing administrative office lease through September 30, 2042 (195-month renewal term beginning July 1, 2026)

Renewal Date

2042-09-30

Renewal Info

Fifth amendment renews and extends the existing lease for 195 months starting July 1, 2026, with two additional five-year renewal options at fair market rent, two early termination options in June 2034 and June 2038 with an early cancellation fee, and two contraction opportunities on the same dates with a contraction fee. The amendment resets base years for operating expenses and taxes, adds expansion and right-of-first-refusal options for the 15th and 16th floors, and continues numerous protective provisions from the original lease.