Sheriff’s Station Picked Again as New Location for City Hall : Government: Council renegotiates its five-year deal to rent 5,000 square feet of space. Officials hope to move by September.

The Malibu City Council once again selected the Malibu sheriff’s station Monday as the new location for City Hall after renegotiating the deal.

The city will rent about 5,000 square feet of office space at the station under a five-year lease, which must also be approved by the County Board of Supervisors. City officials hope to move to the facility at 23555 Civic Center Way by September.

The sheriff’s station became available recently after most of the station’s deputies and administrators were moved to the Lost Hills station in Calabasas. The Malibu station is part of a county-owned complex that includes a library and a municipal court.

The City Council had approved an agreement with Los Angeles County for the space in January. But the deal was put on hold in April after the new owner of the building that now holds the city offices made a new offer. In a last-ditch effort to keep the city as a tenant at Malibu Professional Park on Stuart Ranch Road, Glendale Federal Bank offered the city five months of free rent and a five-year lease with cheaper rent than at the sheriff’s station.

The council decided last month to reopen negotiations to spur competition between the two landlords. After considering the bids in closed session May 10, the council approved an agreement Monday with the county that provides for three months of free rent and a five-year lease that is nearly $75,000 less than the county’s previous offer. It is also about $21,000 less than the final bid by Glendale Federal.

Mayor Walter Keller, who cast the sole vote against the agreement, said he opposed the move because the station is situated in an earthquake liquefaction zone and because the building is 24 years old with potential asbestos problems.

Councilman John Harlow said the main selling point for the sheriff’s station was its ability to accommodate all City Hall offices on one level and its room for substantial expansion if the city needs more space later.

The new lease will cost the city about $467,000 over five years, including property insurance and improvements. The city will pay $7,000 per month for the first year for about 5,000 square feet. Under its current lease on Stuart Ranch Road, it is paying about $6,350 per month for about 2,550 square feet. Over a five-year period, the space will cost an average of $1.41 per square foot, with yearly increases not to exceed 4%.

The county has agreed to provide additional space, including an employee lounge and an emergency operations center, at no charge.

The agreement culminates a series of proposals and negotiations that began in May, 1992, when the council instructed staff members to seek bids on office space that would allow City Hall to expand and reduce its rent.