Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM Item No. 8i
ACTION ITEM Date of Meeting October 14, 2025
DATE: September 23, 2025
TO: Stephen P. Metruck, Executive Director
FROM: Jennifer Maietta, Director, Real Estate Asset Management
Jessica Carlson, Senior Real Estate Manager
SUBJECT: Fishermen’s Terminal Trowbridge LLC Term Lease
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute a ten (10) year term
lease, with Trowbridge, LLC at Fishermen’s Terminal in its substantiative form as presented.
EXECUTIVE SUMMARY
This is a term lease with Trowbridge, LLC (“Trowbridge”) for the former Fishing Vessel Owner’s
site at Fishermen’s Terminal which has been vacant since 2021. Trowbridge Innovations is a West
Coast contractor, marine service provider, and product supplier in the maritime sector. They will
be investing approximately $2M to bring the warehouse/office space back to a functional state.
The improvements will include additional upgrades to the floating docks, marine ways and yard
area.
JUSTIFICATION
Trowbridge is a financially strong, maritime small business, that has been in operation for 10+
years with over 30 years of experience. Trowbridge is a West Coast contractor, marine service
provider, and product supplier in the maritime sector. This tenant will continue to provide
services and jobs within the maritime industry, bringing 35-50 jobs through this lease. They also
intend to sublease a portion of the warehouse to Walrus Boat Recycling, a non-profit organization
dedicated to saving and upcycling boats while tackling a variety of socioeconomic and
environmental challenges.
The former Fishing Vessel Owner’s (FVO) site at Fishermen’s Terminal has been vacant since
2021. FVO declared bankruptcy which resulted in receivership. Ultimately the parties agreed
upon a settlement amount. During the receivership the Port did not have access to the Premises
and vandalism occurred during this time. The current warehouse/office is effectively unusable in
its current condition due to FVO deferred maintenance and being stripped of interior equipment
and improvements over time requiring significant investment by the Port. Other portions of the
property are at the end of their useful life such as the electrical and utility infrastructure, floating
COMMISSION AGENDA – Action Item No. 8i Page 2 of 4
Meeting Date: October 14, 2025
Template revised June 27, 2019 (Diversity in Contracting).
docks and marine ways. The benefit of this site is its access to the waterway and large yard area.
Trowbridge will be investing approximately two million dollars ($2,000,000) into the
warehouse/office space. The improvements will include additional upgrades to the floating
docks, marine-ways and concrete pier. The 18,483sf warehouse requires electrical, plumbing,
HVAC, building envelope restoration. Additionally, Trowbridge will secure the property with their
own security personnel.
Summary of Lease Terms:
Premises Total Premises is 182,804/sf inclusive of 136,138/sf submerged lands,
28,183/sf yard area, and 18,483/sf warehouse/office space located
within Fishermen’s Terminal.
Term Ten (10) Years
Commencement November 1, 2025
Due diligence period Thirty (30) days period following the Commencement Date, Lessee
shall have the right to review the environmental conditions of the
Premises.
One-time right to terminate by written notice to Lessor prior to
end of 30-day Due Diligence Period.
Otherwise, upon the expiration of the Due Diligence Period, the
Lessee fully accepts the Premises in its present condition.
Rent
Commencement
Rent shall commence May 1, 2026; upon conclusion of due diligence
period and Lessee shall accept Premises in an as is condition.
Base Rent $11,225.43/Month plus 3% annual escalation, and 12.84% Leasehold
Excise Tax
The base rent is market rate for the yard and submerged lands.
The warehouse/office rent is abated during the term of the lease
as the buildings are in a non-functional state.
Security Deposit Security deposit is $35,757
Tenant
Improvement
Allowance
Tenant Improvement Allowance in an amount not to exceed $500,000.
TI to include, but not limited to, electrical, mechanical (HVAC),
plumbing, lighting, fire system, and interior office shell repairs to
flooring, drop ceiling, insulation and floating dock repairs
December 1, 2026, which may be extended at Port’s sole
discretion.
COMMISSION AGENDA – Action Item No. 8i Page 3 of 4
Meeting Date: October 14, 2025
Template revised June 27, 2019 (Diversity in Contracting).
Insurance General Liability: $5M/per occurrence and $10M aggregate
Automobile Liability Insurance: $1M/per occurrence
Protection & Indemnity Liability Insurance: $1M/per occurrence
Maintenance &
Repair
Tenant responsibility. Port shall have no responsibility to maintain.
Utilities Tenant responsible for all utilities costs associated with Premises.
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 – Reject the Lease proposal.
Cost Implications: This alternative would have the Port continuing to be financially responsible
for improvements, maintenance and security of the premises
Pros:
(1) None
Cons:
(1) The Port would not see the substantial increase in revenue from rent.
(2) We would not be supporting a Maritime Industry business and employment.
(3) The Port would continue to pay for vacancy and buildings would continue to
deteriorate– including security, safety, and maintenance of the premises.
This is not the recommended alternative.
Alternative 2 – Agree to the Terms of the Agreement
Cost Implications: $500,000 in Tenant Improvement Reimbursement.
Pros:
(1) Increase to Port revenue.
(2) More Maritime jobs and customers.
(3) Long term well established maritime business activating the premises, which has been
vacant since 2021.
(4) Financial responsibility for improvements as well as maintenance and security of the
space are borne by the Tenant.
Cons:
(1) None
This is the recommended alternative
COMMISSION AGENDA – Action Item No. 8i Page 4 of 4
Meeting Date: October 14, 2025
Template revised June 27, 2019 (Diversity in Contracting).
FINANCIAL IMPLICATIONS
The tenant improvement allowance will be recovered within the first 4.03 years of the term.
Financial Analysis and Summary
Project cost for analysis Tenant Improvement Allowance: $500,000
Business Unit (BU) Portfolio Management
Effect on business performance
(NOI after depreciation)
The lease generates approximately $1.5M over the
course of the primary term (10 years)
IRR/NPV (if relevant) NPV= $585K
TI Allowance Payback=4.03 years
ATTACHMENTS TO THIS REQUEST
(1) Draft Term Lease
(2) Presentation slides
