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HomeMy WebLinkAbout1984 Chamber of Commerce Building Lease i R E C Z i V E 0 MEETING AG=i dDA EE8 2 31984 CITY MGR. M E M O R A N D U M TO: Murray Warden FROM: Larry McPherson SUBJECT: Lease Agreement - Chamber of Commerce DATE: February 21, 1984 It is recommended Council approve the lease agreement between the City of Atascadero and the Atascadero Chamber of Commerce for the property located at E1 Camino Real and Atascadero Mall. As you can see, this lease is for a term of 10 years with an annual rent of $1.00. This agreement has been reviewed and signed by all applicable departments and the Chamber and is ready for Council approval. LAWRENCE McPHERSON LM:vh T0: City Council This formalizes the Chamber' s occupancy of their present location. The old County lease had expired quite some time ago unbeknownst to any of us - but the attached should correct that. Please note the term and annual rent of $1. 00. The Chamber has complied with the insurance requirements. By way of observation only, it should be noted that this is in fact a subsidy to the Chamber to the extenL- of the value of the rental for the premises. Accordingly, they do receive considerable support for the City. LEASE AGREEMENT THIS LEASE, made and entered into this 'ZV day of 1984 by and between the CITY OF ATASCADERO, a municipal corporation and one of the cities in the County of San Luis Obispo, State of California, hereinafter called "Lessor", and the Chamber of Commerce of Atascadero, a non-profit corporation, hereinafter called "Lessee". WITNESSETH In consideration of each and every term, covenant and condition herein contained, Lessor hereby grants and Lessee receives and leases the hereinafter described premises upon the terms and conditions herein- after set forth. 1. PROPERTY. The property to be leased is described as follows: That portion of Lot 8 of Block EB of Atascadero -4_n. the County of San Luis Obispo, State of California, according to the Map thereof filed for record in Book 4, page 1, et. seq. of Maps on October 12, 1914 in the Recorder's office of said county lying northerly of United States Highway 101, a Freeway, as the same existed July 18, 1972 2. TERM. This lease shall be for a term of ten (10) years, commencing , 1984, provided however, as a condition precedent to this Lease becoming effective, Lessee shall place copies of all insurance policies required by Article 5 hereof in the hands of the Lessor, such policies being evidence of full and complete compliance herewith. 3. RENTAL. Lessee agrees to pay to Lessor, as the rent of the leased premises, the sum of One Dollar ($1.00) per year, payable in advance. 4. INSURANCE. Lessee agrees to obtain and keep in force during the term of this lease, at Lessee's expense, worker's compensation and public , liability and property damage insurance in companies authorized to issue such insurance in the State of California. Said insurance policy shall consist of the following: e a. Worker's Compensation and Employer's Liability Insurance: Lessee shall maintain in full force and effect, for the period covered by this Lease, full workers' compensation and employer's liability insurance with limits of at least statutory requirements with an insurance carrier satisfactory to the City. In the event Lessee is self-insured, he shall furnish a certificate of permission of self-insurance signed by the Department of Industrial Relations Administration of Self-Insurance in Sacramento. b. Liability Insurance: Lessee shall maintain in full force and effect, for the period covered by this Lease, bodily injury, and personal injury, including death resulting therefrom and damage to property, resulting from any act or occurrence occurring in or about the premises which are subject to this Lease, or resulting from Lessee's operations, or from Lessee's use of owned or nonowned automobiles. The amounts of insurance shall not be less than the following: Single limit coverage applying to bodily and personal injury, including death resulting therefrom, and property damage or a combination of both- $1,000,000. , The following endorsements must be attached to the policy" 1. If the insurance policy covers on an "accident" basis, it must be changed to "occurrence". 2. The policy must cover personal injury as well as bodily injury. 3. The policy must cover complete contractual liability. Exclusions of contractual liability as to bodily injuries, personal injuries and property damage must be eliminated from the basic policy and endorsements. 4. BROAD FORM property damage liability must be afforded. 2 5. City of Atascadero, and their officers, employees, and agents, shall be named as additional insureds under the policy, and the policy shall stipulate this insurance will operate as primary insurance and that no other insurance effected by the City or other named insured will be called upon to contribute to a loss covered thereunder. C. The following requirements apply to all liability insurance to be provided by Lessee: 1. A certified copy of said policy and a certificate of insurance shall be furnished the Public Works Department within twenty (20) days after execution of this permit. A certificate alone is not acceptable. Certificates and policies shall also state that the City is not liable for the payment of any premiums of assessments on this property. 2. Certificates and policies shall state that the policy shall not be cancelled or reduced in coverage without thirty (30) days written notice to the City. Ten (10) days written notice is not acceptable except in connection with worker's compensation insurance. 3. Insurance required shall be placed in a company or companies acceptable to City and shall have a policy holder's surplus of at least ten (10) times the amount or limit of liability afforded by the insurance company. 4. Approval of the insurance by the City shall not relieve or de- crease the extent to which the Lessee or any sublessee may be held re- sponsible for payment of damages resulting from its operation. 5. No policy is acceptable if it contains an exclusion relating to occurrences in any manner arising out of the use of alcoholic beverages. Provided, however, that said policy will be acceptable if it contains a specific endorsement providing coverage under the limits and provisions set forth hereinabove, for any occurrence arising out of the use of alcoholic beverages. 3 +rw 5. UTILITIES AND TAXES. Lessee agrees that it will pay all charges for electricity, water, gas, telephone and other utility services used on the leased premises. Lessee further agrees to pay all taxes and assessments upon the leased premises which are payable during the lease term. 6. USE OF PREMISES. The leased premises shall be used only for non-profit public informational purposes. Lessee shall not operate or conduct on said premises, any business or commercial activities nor offer or permit to be displayed, offered nor sold thereon, any service for compensation or profit. The use of signs on the premises is to be strictly limited to only that which describes the premises, gives parking information and/or directs as to the ingress and egress to the facility. In the event the premises cease to be used for such informational purposes during the term hereof, this Lease shall immediately and auto- matically terminate. Lessor retains the right of re-entry, and Lessee specifically consents to the immediate exercise thereof in the event that this clause is invoked. Any expenses or damages incurred by the Lessor inthe exercise thereof shall be borne by the Lessee. 7. MAINTENANCE AND PROTECTION OF PREMISES. Lessee expressly agrees at all times during the term of this Lease at its own cost and expense, to maintain and operate such premises and areas adjacent, including but not limited to, the building, parking area, and landscaping, in a clean, safe, wholesome and sanitary condition, free of trash, garbage or obstruction of any kind and in compliance with any and all present and future laws, rules or regulations, of any governmental authority relating to sanitation or public health, safety or welfare, Lessee shall remedy without delay any defective dangerous or unsanitary conditions. Lessee further agrees to take all reasonable precautions to protect the leased premises from damage, theft, vandalism and other such hazards. 4 8. CONSTRUCTION ON PREMISES. Lessee shall have the right on the leased premises, at its own cost and expense, to construct a building to serve as a public informational facility. In conjunction therewith, Lessee agrees to provide an adequate parking area and to landscape the remaining premises. Any and all construction undertaken by Lessee, including the parking area and landscaping, shall be subject to the City of Atascadero Building Ordinance which includes obtaining a Building Permit together with inspec- tion and approval of the City Building Division, Department of Planning. 9. REPAIRS. Lessee shall keep the building to be erected, and all other buildings and improvements which may at any time during the said term be erected upon the premises, and the drains and appurtenances, in good condition and repair. 10. ALTERATIONS. Lessee shall not make any changes, alterations, or improvements (including signs) on the premises, without the prior written consent of, and approval of all plans and specifications by the Lessor. Where such approval is given, any such changes, alterations, or improve- ments shall be made at Lessee's sole cost and expense. 11. INSPECTION. Lessee agrees that Lessor, acting through its authorized agents and employees, shall have the right to enter upon the premises at any reasonable time to inspect them. 12. INDEMNIFICATION. Lessee hereby agrees to indemnify and save Lessor, its officers, agents and employees, harmless from any and all liability arising from the use of premises by Lessee. Lessee further agrees to waive any claim against the Lessor, its officers, agents or employees, from damage or loss caused by any suit or proceedings directly or indirectly attacking the validity of this Lease, or any part thereof, or by any judgment or award in any suit or proceeding 5 declaring this Lease, now, void or voidable, or delaying the same or any part thereof from being carried out. 13. CONVEYANCES. Lessee shall neither assign, sublease, or otherwise convey any interest of any sort granted by this agreement to any person or persons, entity or entities whatsoever, without prior consent and approval of the Lessor. Any document by which an interest is granted, subject to the approval of the Lessor, shall indicate that the person acquiring that interest has been advised of the terms of this Lease and takes his interest subject to the terms and conditions of this agreement, and recognizes that upon termination of the interest of the Lessee granted by this Lease, his interest shall also be terminated. 14. MODIFICATION. Notwithstanding any of the provisions of this Lease, the parties may hereafter, by mutual written consent agree to modifications thereof or additions thereto in writing which are not forbidden by law. 15. EXCLUSIVE RIGHTS. Lessee may not have or enjoy or may not grant, any exclusive rights of any kind which are forbidden by any applicable and pertinent law, statute, ordinance, rule or regulation of any governmental entity or agency. 16. TEP14INATION CONDITION. Lessee accepts the premises as being in good and sanitary order, condition and repair, and agrees, upon the expiration of this Lease or any sooner termination, to peacefully and quietly yield up and surrender possession of said premises unto Lessor, after having removed from said premises any structures placed thereon by the Lessee, and to restore the premises as per the directions and to the approval of the Public Works Department, City of Atascadero. 6 eVOW 17. COMPLIANCE WITH LAWS. This Lease is made under and is subject to the laws of the State of California in all respects as to interpretation, construction, operation, effect and performance. The Lessee shall, at its sole cost and expense, comply with all the requirements of all local, municipal, County, State and Federal authorities now in force, or which may hereafter be in force, pertaining to the said premises, and shall faithfully observe all local, municipal and county ordinances and state and federal statutes, rules and regulations now in force or which may hereafter be enforced. The judgment of any court of competent jurisdiction, or the admission of the Lessee in any action or proceeding against Lessee whether the Lessor by a party thereto or not, that Lessee has violated any such ordinance, statute, rules or regulations in the use of the premises shall be conclusive of the fact as between the Lessor and Lessee. If at any time during the term of this agreement, any law or ordinance (including any zoning laws) shall be passed or applied to prohibit the use of the premises for the uses and purposes provided herein, Lessor may, at its option, terminate this Lease or any portion thereof. 18. NOTICE. All notice to be given concerning this Lease may be given in writing personally or by the depositing of the same in the United States mail, postage prepaid, addressed as follows: Lessor: City of Atascadero, Public Works Department, P.O. Box 747, 6500 Palma, Atascadero, CA 93422; Lessee: Atascadero Chamber of Commerce, 6550 El Camino Real, Atascadero, CA 93422 19. REMEDIES. The use by either party of any remedies specified herein for the enforcement of this Lease is not exclusive and shall not deprive the party using such remedies of, or limit the application of, any other remedy provided by law. 7 Y It is agreed between;:the parties that in case default shall be made by Lessee in the performance of any of the terms conditions, or covenants of said Lease by said Lessee to be performed, and said default shall continue for a period of thirty (30) days after the service of written notice of such default by Lessor or Lessee, then Lessor may enter into and upon the premises of any part thereof and repossess the same, with or without terminating this Lease, and without prejudice to any of its remedies for breach of covenant and in any such event may, at its option, terminate said lease by giving written notice of its election to do so, or may, at its option, let the premises or any part thereof as the agent of Lessee or otherwise. The foregoing rights and remedies given to Lessor are, and shall be deemed to be, cumulative, and the exercise of one shall not be deemed to be an election, excluding exercise by Lessor at any other or different time of a different or inconsistent remedy, shall be deemed to be given to the Lessor in addition to any other further rights granted to said Lessor by the terms of this Lease, or by law, and the failure upon the part of the Lessor at any time to exercise any right or remedy hereby given to it shall not be deemed to operate as a waiver of its right to exercise such right or remedy at any other future time. 8 Aermitteef APPROVED AS TO CONTENT: Official Title Pe� 4L- arden, City Manager Business Address wrence McPherson CITY OF ATASCADERO Director of Public orks APPROVED AS TO FORM: kMar7o *eR. Mackey, Mayor Allen Grimes, City Attorney Permittee accepts the foregoing use permit subject to all of the terms and conditions contained therein. Permittee acknowledges that the permit will not become operative until compliance is made with paragraph relating to insurance. ermittee S gnature 9