Pajarito Brewpub Partners Form New LLC Hoping to Provide Food & Beverage Operation at Golf Course

Landscaping in place today at the Los Alamos Golf Course Community Building. Photo by Chris Clark/ladailypost.com
 
Staff Report
 
Council Vice Chair Kristin Henderson introduced an ordinance this evening in Council Chamber authorizing a lease for a portion of the County-owned Golf Course Community Building to Pajarito Golf Group, LLC.
 
Patrick Mockler-Wood and his partners in the Pajarito Brewpub and Grill formed the Pajarito Golf Group, LLC under which, if approved by Council, they plan to provide a food and beverage operation at the Golf Course Community Building for general golf course operations, golf tournaments and events, special events in the community room and to the public through their year-round restaurant service.
 
Although the proposed Lessee, Pajarito Golf Group, LLC, is a separate business entity from the Pajarito Brew Pub, the managing partners are the same and the proposed business plan presented in their RFP response was developed from the recent experience of opening and operating the Pajarito Brewpub.
 
The ordinance goes before the Council for consideration May 27.

July 12, 2010, Council approved the Capital Improvement Program Phase II application to proceed with design and construction of the Golf Course Community Building and Clubhouse. The scope of the project is an approximately 15,000 square foot building which will accommodate golf operations, the community (with a large multi-function meeting room), and a kitchen for food service. The site work consists of providing utilities to the building, grading, site work, paving and landscaping of the site.

June 12, 2012, Council approved the construction contract of the new Golf Course Building in the amount of $3,812,250, plus applicable gross receipts tax, and the construction is close to completion.

Highlights of the lease terms area as follows:
  • 4,050 square feet of net usable kitchen and restaurant seating space open daily no less than 95 percent of the hours of the golf course operations;
  • County will own and lease the kitchen equipment and restaurant furniture for an additional monthly rate;
  • Lessee will provide a varied menu consisting of breakfast, lunch, snacks and evening meals that are competitively priced with similar golf operations and local food establishments;
  • Provide food and beverage services at the Golf Course for special events and tournaments and provide space management services for events in the multi-purpose room;
  • Lessee is entitled to use the existing Los Alamos Golf Course Governmental Liquor License;
  • Rent to be equal to ten percent (10%) of gross sales per month anticipated to be in excess of $100,000 annually but no less than $43,200 annually in order to ensure the County’s baseline costs of owning and operating the facility are satisfied; and
  • The first three months rent payment will be deferred and paid in equal installments in addition to the monthly rent for months five through 24.

The approval of this lease will require a Golf Course Community Building project budget revision in the amount $400,000 (included in a separate year-end budget revision June 27). This funding will come from the CIP Fund balance. This additional capital investment is for the purchase of kitchen equipment, furniture, signage and requested tenant modifications such as an ability to close off the balcony area seating to inclement weather. It may also be used for other project close-out items due to extenuating circumstances.
 

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