University Medical Center of Southern Nevada
Board of Hospital Trustees
AGENDA ITEM
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Petitioner: |
Mason Van Houweling, Chief Executive Officer |
Recommendation:
title
Approve and authorize the Chief Executive Officer to sign the Third Amendment to Extend the Lease Agreement with Novat Hill, LLC and Lewkowicz/Elhiani Living Trust; or take action as deemed appropriate. (For possible action)
body
FISCAL IMPACT:
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Fund #: |
5420.000 |
Fund Name: |
UMC Operating Fund |
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Fund Center: |
30007270/30007275 |
Funded PGM/Grant: |
N/A |
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Amount: |
$5,298,019.98; annual rent increase of three percent (3%); three (3) months’ rent abatement |
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Description: |
Lease Extension |
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Additional Comments: |
Bid/RFP/CBE: n/a Term: January 1, 2027 - March 31, 2032, with the option to extend the Lease for two (2) additional five (5) years periods |
BACKGROUND:
Since October, 1998, UMC has had a lease agreement with Novat Hill, LLC and Lewkowicz/Elhiani Living Trust (successors in interest to Uptown, LLC and 5 Star Properties, LLC) to lease space for UMC’s Peccole Ranch Quick Care and Primary Care located at 9320 West Sahara Avenue, Las Vegas, Nevada.
On July 7, 2009, the Governing Board approved the First Amendment to the Lease, updating the monthly rent payments and extending the lease term through December 31, 2019, with an option to renew for an additional 5-year term. The Second Amendment on July 2, 2015, further updated the monthly rent payments and extended the lease through December 31, 2026.
This request is for approval of a Third Amendment that will extend the term through March 31, 2032, reduce the per-sq. ft. rental rate from $2.90 to $2.85, beginning January 1, 2027, and allow a one-time tenant improvement allowance not to exceed $25,000. UMC will also receive a 3-month rent abatement in June during years 3, 4, and 5 of the lease term.
This Amendment was reviewed by the Governing Board at their July 29, 2026, meeting and recommended for approval by the Board of Hospital Trustees.