The city shall grant to the owner of upland property adjacent to tide and submerged land (the upland owner) a first preference over other applicants to lease the tide and submerged land for the amount of the rental value of such tide and submerged land. The upland owner shall be notified by certified mail or by a posting of a notice for three consecutive weeks of their right to exercise this preference. The upland owner shall then have 90 days to exercise their preference under this section. If the preference is not exercised by the upland owner, then the city may lease the tide and submerged land to others. It shall not be required that the city offer its tide and submerged lands for lease should the city determine that it is not in its best interests to lease the lands. The city may itself make such use of its tide and submerged lands as it may consider in the public interest without offering the tide and submerged lands to others.