Fire Fleet Services Facility First Amendment to Lease Agreement with MS Perris, LLC, Perris
Summary
SCH Number
2025060496
Public Agency
Riverside County
Document Title
Fire Fleet Services Facility First Amendment to Lease Agreement with MS Perris, LLC, Perris
Document Type
NOE - Notice of Exemption
Received
Posted
6/11/2025
Document Description
County Fire currently occupies office space located at 86 E. Rider Street, building 1, Perris, CA 92571, also identified as Assessor’s Parcel Number 303-293-009. On February 27, 2024 under Minute Order (M.O.) 3.19, the Board approved the lease for County Fire to occupy the location at 86 E. Rider Street, building 1, Perris, CA 92571
along with the approved budget to carry out tenant improvements at the building. These tenant improvements would be carried out by the Lessor and reimbursed to the Lessor by Lessee. The tenant improvements were completed and the lease
commenced on November 1, 2024.
The total original tenant improvement amount to be reimbursed to Lessor was $3,378,884.00, where $2,000,000 was to be paid in full once the construction was completed and the remaining balance of $1,378,884.00 would be amortized over ten
years at a nine percent interest rate to Lessor. Due to construction savings, the amortized portion was reduced to $1,349,487.90.
Since the completion of the tenant improvements, Lessee has fully paid the $2,000,000 that was due upon completion of tenant improvements, and Lessee has made monthly rental payments to Lessor that include the base rent and the amortized
portion of the tenant improvements.
County Fire is now requesting approval to prepay the remaining unamortized portion of the tenant improvements to achieve
cost savings to the county over the long term. The Lessor is agreeable to this action conditioned that the County pay a prepayment fee of $50,000, with a projected early payoff date of June 30, 2024.
As of the payoff date the unamortized Tenant Improvements payments will be $1,292,207.80 and estimated interest savings, inclusion of the pre-payment fee will be $622,396.22. The 1st Amendment to the Lease will memorialize the County’s
request to pre-pay the unamortized tenant improvement costs and remove further amortized tenant improvement payments from the remainder of the lease term. Approval of the First Amendment to the Lease Agreement is identified as the proposed project under the California Environmental Quality Act (CEQA). The proposed project is limited to financial restructuring of terms and would not affect the existing use of the industrial warehouse. No expansion of the footprint or increase in
capacity of use would occur as a result of the First Amendment to the Lease Agreement. The operation of the facility will result in the use of an existing building and no additional direct or indirect physical environmental impacts are anticipated.
Contact Information
Name
Mike Sullivan
Agency Name
County of Riverside Facilities Management
Job Title
Facilities Operations Manager
Contact Types
Lead/Public Agency
Phone
Email
Location
Cities
Perris
Counties
Riverside
Regions
Southern California
Parcel #
305-170-009
Other Location Info
86 East Rider Street, Perris, California, 92571; Assessor’s Parcel Number (APN) 305-170-009
Notice of Exemption
Exempt Status
Categorical Exemption
Type, Section or Code
15301
Reasons for Exemption
The proposed project is categorically exempt from the provisions of CEQA
specifically by the State CEQA Guidelines as identified below. The project will not result in any specific or general exceptions to the use of the categorical exemption as detailed under State CEQA Guidelines Section 15300.2. The project
will not cause an impact to an environmental resource of hazardous or critical concern nor would the project involve unusual circumstances that could potentially have a significant effect on the environment. The project would not result in impacts
to scenic highways, hazardous waste sites, historic resources, or other sensitive natural environments, or have a cumulative effect to the environment. No significant environmental impacts are anticipated to occur with the First Amendment to the Lease Agreement.
This categorical exemption includes the operation, repair, maintenance, leasing, or minor alteration of existing public or private structures or facilities, provided the exemption only involves negligible or no expansion of the previous site’s use. The project, as proposed, is limited to a revision in contractual financial terms which will allow the load to be paid off earlier. The project will not increase or expand
the use of the site, and is limited to the continued use of the industrial building in a similar capacity; therefore, the project is exempt as the project meets the scope and intent of the Class 1 Exemption identified in Section 15301, Article 19, Categorical Exemptions of the CEQA Guidelines.
Therefore, the County of Riverside Facilities Management hereby concludes that no physical environmental impacts are anticipated to occur and the project as proposed is exempt under CEQA. No further environmental analysis is warranted.
Exempt Status
Other
Type, Section or Code
15061(b)(3)
Reasons for Exemption
The proposed project is categorically exempt from the provisions of CEQA
specifically by the State CEQA Guidelines as identified below. The project will not result in any specific or general exceptions to the use of the categorical exemption as detailed under State CEQA Guidelines Section 15300.2. The project
will not cause an impact to an environmental resource of hazardous or critical concern nor would the project involve unusual circumstances that could potentially have a significant effect on the environment. The project would not result in impacts
to scenic highways, hazardous waste sites, historic resources, or other sensitive natural environments, or have a cumulative effect to the environment. No significant environmental impacts are anticipated to occur with the First Amendment to the Lease Agreement.
In accordance with CEQA, the use of the Common Sense
Exemption is based on the “general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment.” State CEQA Guidelines, Section 15061(b) (3). The use of this exemption is appropriate if “it can be seen with certainty that there is no possibility that the activity in question may have a
significant effect on the environment.” Ibid. This determination is an issue of fact and if sufficient evidence exists in the record that the activity cannot have a significant effect on the environment, then the exemption applies and no further evaluation under CEQA is required. See No Oil, Inc. v. City of Los Angeles (1974) 13 Cal. 3d 68. The
ruling in this case stated that if a project falls within a category exempt by administrative regulation or 'it can be seen with certainty that the activity in question will not have a significant effect on the environment', no further agency evaluation is required. With certainty, there is no possibility that the project may have a significant effect on the environment. The proposed First Amendment to the Lease Agreement will not result in any direct or indirect physical environmental impacts. The use and operation of the facility will continue to operate as an existing industrial use and will not create any new environmental impacts to the surrounding area. No impacts beyond the ongoing, existing use of the site would occur. Therefore, in no way, would the project as proposed have the potential to cause a significant environmental impact and the project is exempt from further CEQA analysis.
Therefore, the County of Riverside Facilities Management hereby concludes that no physical environmental impacts are
anticipated to occur and the project as proposed is exempt under CEQA. No further environmental analysis is warranted.
County Clerk
Riverside
Attachments
Notice of Exemption
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