DATE: December 28, 2020
SUBJECT:
Title
RESOLUTION CONSENTING TO ASSIGNMENT AND ASSUMPTION OF THE LEASEHOLD INTERESTS FROM HII SAN DIEGO SHIPYARD INC. TO HELIOS ACQUISITION, LLC, WHICH WILL BE RENAMED CONTINENTAL MARITIME OF SAN DIEGO, LLC UPON THE EFFECTIVENESS OF THE ASSIGNMENT
ORDINANCE GRANTING AMENDED AND RESTATED LEASE TO HELIOS ACQUISITION, LLC, WHICH WILL BE RENAMED CONTINENTAL MARITIME OF SAN DIEGO, LLC, FOR CONTINUED OPERATION OF A SHIPYARD AT 1995 BAYFRONT STREET IN SAN DIEGO
Body
EXECUTIVE SUMMARY:
HII San Diego Shipyard Inc., a California corporation (HII SDSY), is an existing District tenant which operates a shipyard facility at 1995 Bayfront Street, San Diego, as further described on Attachment A - Location Map (Premises). HII SDSY has been operating at the Premises since 1985 and currently has a 22-year lease with the District which expires December 31, 2032 (Existing Lease). The Existing Lease covers approximately 12 acres of landside area that includes industrial facilities, production shops, offices and other related utilities. The waterside parcel is approximately 18 acres and currently has three working piers to moor large naval and commercial vessels. HII SDSY provides a broad set of naval sustainment services which include topside maintenance and modernization to naval surface vessels, amphibious ships and auxiliary ships as well as advanced naval logistics.
HII SDSY is proposing to transfer its assets, including its leasehold interest under the Existing Lease, to Helios Acquisition, LLC, a Delaware limited liability company (Helios) and subsidiary of MHI Holdings, LLC, a Delaware limited liability company (MHI Holdings), which is in turn owned by Titan Acquisition Holdings, LP, a Delaware limited partnership (Titan). Attachment B - Post Assignment Organization Chart reflects Titan's organizational structure as it will exist should the transactions described in this agenda be approved and consummated. Concurrently with closi...
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