City of Alexandria, Virginia
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MEMORANDUM
DATE: MAY 27, 2025
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
THROUGH: JAMES F. PARAJON, CITY MANAGER
FROM: HASHIM T. TAYLOR, DIRECTOR, RECREATION, PARKS & CULTURAL
ACTIVITES
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Consideration of One-Year Lease Extensions to Artists and Arts Organizations ranging from September 30, 2026 through September 30, 2028, at the Torpedo Factory Art Center Located at 105 N. Union Street.
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ISSUE: Consideration of one-year lease extensions to artists and arts organizations ranging from September 30, 2026 through September 30, 2028, at the Torpedo Factory Art Center located at 105 N. Union Street.
RECOMMENDATION: City Council schedule a public hearing on June 14, 2025, regarding the form and content of the proposed lease extension for leases at the Torpedo Factory Art Center, and at the conclusion of the public hearing authorize the City Manager to extend current leases in good standing for artists and arts organizations.
BACKGROUND: The Torpedo Factory Art Center leases most of its space studios and galleries to approximately 110 artists and arts organizations. During the course of a year, leases may be amended as the artists within a studio may change or subleasing artists added to the space.
In 2022, for the first time in the history of the Art Center, the City undertook re-jurying for artist studios. Existing studios were divided into three groups with each group undergoing re-jurying and new artists being eligible to apply for studios. Selected artists were granted three-year leases for their studios. Currently, leases issued in 2022 expire September 30, 2025, leases issued in 2023 expire September 30, 2026, and leases issued in 2024 expire in 2027. All artists completed the process with the third Open Call in 2024. Founding members (artists who have maintained studios since 1974) and galleries have been exempted from the re-jurying process and are offered year-to-year leases.
DISCUSSION: On December 14, 2021, City Council directed the City Manager to explore a separate governance entity for the Art Center. As part of that effort, the City issued a Request for Information (RFI) in April, 2025 for preliminary planning purposes in support of the City’s decision-making process regarding the future governance of the Art Center seeking information from potential operators that have a proven combination of experience, financial capacity/credit worthiness and expertise in the management, operation, and marketing of successful art centers with the ability to manage artist studios, galleries, arts programming, and facility rentals. Due to the issuance of the RFI, and the timing involved in future governance decisions, staff is recommending extending all leases in good standing by one year. This will provide time to review the results of the RFI and determine next steps for future governance of the Art Center.
FISCAL IMPACT: The Art Center operates as an enterprise fund within the City government with approximately 80% of earned revenue coming from studio rent. The current lease rate is $17.91 per square foot per year and in accordance with the current lease, the rent will increase by 3% per year.
ATTACHMENT:
Lease Extension of Real Estate Lease of Art Gallery/Studios in City-Owned Torpedo Factory Art Center
STAFF:
Emily A. Baker, Deputy City Manager
Julian J. Gonsalves, Assistant City Manager
Diane Ruggiero, Deputy Director, Recreation, Parks & Cultural Activities