The San Diego City Council approved a Krispy Kreme doughnut shop, Chili's restaurant and an Arco AM-PM gas station, following several years of negotiations, according to Arena Group 2000, which holds a master lease of the property.

The reason for the long delay was ironing out naming rights for the 13,000-sf sports arena. Arena Group 2000 agreed to give the city 10% of any deal it reaches for naming rights. Officials for the sports arena operator say two entities are interested in the rights at a cost of between $500,000and $1 million a year.

The 38-acre Sports Arena site is owned by the city, along with a nearby five-acre commercial parcel to the east known as Sports Arena Square. Arena Group 2000's lease on the Sports Arena site will run out in 2017 and its lease on Sports Arena Square expires in 2006.

The city approved 30-year agreements last Tuesday with the three businesses, which extend 15 years after Arena Group 2000's lease runs out. The city may terminate the leases after 21 years to redevelop the property.

Arena Group 2000 will pay about $950,000 to upgrade the pads prior to construction, money that will be deducted from the rents over the first 10 years of the lease, according to the agreement. The city and Arena Group 2000 will split the remaining lease revenue.