Tech firm may locate in old Surprise City Hall

A startup technology company has expressed interest in locating in a portion of old Surprise City Hall, City Manager Randy Oliver announced.

Oliver would not disclose the name of the company pending further discussions.

Surprise in June will begin relocating from the old Bell Road City Hall to its new $61 million facility southwest of Litchfield and Bell roads. The city is seeking proposals from parties interested in buying or renting the old facility, which once was a shopping center. A recent appraisal valued the complex at $8.5 million, excluding the portion already leased by Desert Palms Restaurant.

The 52,000-square-foot complex includes four buildings, with some second-story office space.

The prospective client is looking to lease 5,000 to 10,000 square feet in the old facility, Oliver said. While the city will not move until June, the tech company would like to move in by January, Oliver said. That could be made possible with some juggling of city offices, he said.

The city will consider proposals through December, when it will make a final decision.

At this point, all options are being weighed, Oliver said. That includes leasing space, selling the facility or retaining it for city use.

Adding to the discussion is the fact the city has secured a $2.2 million Community Development Block Grant as part of a neighborhood revitalization program. A portion of the grant could be used to modernize the old City Hall, Oliver said..

Desert Palm Restaurant's lease runs through September 2012. Though the restaurant was late on its September rent, the account has since been brought current, Oliver said.