Second Amendment to City of San Diego Percentage Lease (Interim Sports Arena Lease) with Midway Rising Venue Management, LLC

[PROJECT TITLE CONTINUED]: for City-owned real property located at 3500 Sports Arena Blvd., San Diego, CA 92110 City of San Diego City Council (City Council) approval of a Second Amendment to the City of San Diego Percentage Lease with Midway Rising Venue Management, LLC (Lessee), for the City-owned real property located at 3500 Sports Arena Boulevard (Midway Site) to provide for the continued interim operation of the existing Sports Arena while the City and Midway Rising work towards the planned redevelopment of the Midway Site. The proposed Second Amendment extends the Interim Sports Arena Lease through December 4, 2031, to maintain arena operations while the Midway Rising redevelopment advances through negotiation and approval processes. The Amendment continues the existing rent structure, including annual 3% rent increases, ticket revenue payments to the City, and percentage rent provisions. It also provides greater flexibility for minor, non-structural improvements while maintaining City oversight of major alterations. Administrative updates are included, and the lease will terminate upon closing of a future redevelopment ground lease, if approved and executed.