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HomeMy WebLinkAboutS5-City Administrator . CITY OF SAN BERt( RDINO ~QUEST I JR COUNCIL ACTION From: Marshall W. Julian City Administrator Subject: Lease of 646 N. Sierra Way -- Sedlak Family Trust Dept: September 28, 1989 Date: Synopsis of Previous Council action: 9/21/87 Resolution #87-330 authorizing one year extension of lease 9/19/88 -- Resolution #88-377 authorizing one year extension of lease Recommended motion: Adopt resolution. . Contact person: Marshall W. Julian Phone: 5122 Supporting data attached: yes Ward: 1 FUNDING REQUIREMENTS: Amount: Source: (Acct. No.) (Acct. DescriPtion) Finance: Council Notes: 75-0262 Agenda I tern No s-~ 1 RESOLUTION NO. 2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A LEASE WITH THE SEDLAK FAMILY TRUST FOR THAT 3 CERTAIN OFFICE BUILDING COMMONLY KNOWN AS 646 NORTH SIERRA WAY AND REPEALING RESOLUTION NO. 89-384. 4 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY 5 OF SAN BERNARDINO AS FOLLOWS: 6 SECTION 1. The Mayor of the City of San Bernardino is 7 hereby authorized and directed to execute on behalf of said City 8 Lease with the Sedlak Family Trust to lease for one year that 10 said lease is attached hereto, marked Exhibit "A" and 9 certain office building commonly known as 646 North Sierra Way, 11 incorporated herein by reference as fully as though set forth at 13 12 length. SECTION 2. Resolution No. 89-384 is hereby repealed. 14 I HEREBY CERTIFY that the foregoing resolution was duly 15 adopted by the Mayor and Common Council of the City of San 16 Bernardino at a meeting thereof, held on the 17 day of , 1989, by the following vote, to wit: 19 18 AYES: Council Members 20 21 22 23 24 25 26 28 NAYS: ABSENT: 27 City Clerk / / / / / / / / / / / / / / / JFW/br 1 9/28/89 10 11 12 13 14 15 16 17 18 20 21 RESO. AUTHORIZING THE EXEC. OF A LEASE WITH THE SEDLAK FAMILY TRUST REPEALING RESO. 89-384. 1 The foregoing resolution is hereby approved this day 2 , 1989. of 3 4 W.R. Holcomb, Mayor City of San Bernardino 5 Approved as to form 6 and legal content: 7 JAMES F. PENMAN, City Attorney 8 9 () By: ~ 1 () '1 Jt-v~-1~ 19 22 23 24 25 26 27 28 JFW/br 9/28/89 2 LEA S E THIS LEASE is executed at San Bernardino, California, this day of 1989, between THE SEDLAK FAMILY TRUST (hereinafter referred to as "Lessor"), and the CITY OF SAN BERNARDINO, a municipal corporation, 300 North "D" Street, San Bernardino, California 92418 (hereinafter referred to as "Lessee"). The parties agree as follows: 1. Demised Premises - Lessor agrees to lease and Lessee hires from Lessor, upon the terms and under the conditions hereinafter set forth; those certain premises located in the City of San Bernardino, County of San Bernardino, State of California, more particularly described as follows: That certain office building commonly known as 646 North Sierra Way containing approximately 7225 sq. feet, together with non-exclusive use of owner's black topped parking areas so as to accommodate approximately 75 spaces, for use by Lessee's employees and patrons, and as otherwise set forth in Exhibit "A" attached hereto and by this reference made a part hereof. 2. Term - The term of this lease shall be for a period of one (1) year, commencing upon the first day of October, 1989, and terminating upon the 30th day of September, 1990. 3. Occupancy of Premises - Lessee shall use and occupy the demised premises for the following purposes and for no other purposes without the prior written consent of Lessor: San Bernardino Employment and Training Agency JFW:ss August 15, 1989 1 4. Rent - As minimum rental for the demised premises, Lessee shall pay to Lessor without deduction or offset, prior notice or demand, three thousand six hundred ninety-two dollars and four cents ($3,692.04) per month payable in advance on the first day of each month, commencing the first day of October, 1989, at such place or places as Lessor may designate from time to time. 5. Use of Premises - Lessee shall not commit, or suffer to be committed, any waste or nuisance upon the demised premises, or any other act or thing which in any manner may disturb the quiet enjoyment of any occupant in the building within which the demised premises are rocated, or of the neighborhood. 6. Utilities - Lessee shall pay for all water, heat, gas, light, power, rubbish removal, landscape and parking lot maintenance and all other utilities and services supplied to the premises. 7. Repairs - The premises, and every part thereof, are at the date hereof in good order, condition and repair. Lessor, at its sole cost and expense, without obligation on the part of the Lessee, shall keep and maintain the premises and appurtenances and every part thereof, including windows, doors, and sidewalks, exterior walls and roofs, in good and sanitary order, condition and repair, any hazards covered by extended coverage casualty insurance, damage by fire, and the elements excepted. Lessor's responsibility with respect to the exterior walls and roofs shall be limited to repair of damage not caused by Lessee, or by reason JFW:ss August 15, 1989 2 of Lessee's occupancy. Lessee shall promptly notify Lessor in writing of any disrepair of the roof and exterior walls. Lessee shall replace damaged glazing at its sole cost. Lessee shall provide a normal maintenance program so as to keep in good working condition the air conditioning, plumbing, heating and electrical fixtures. However, should any major components need replacing the lessor agrees to provide the component and labor to correct the problem. 10. Alterations - Lessee shall not make, or permit to be made, any decorations, improvements, additions or alterations of the premises, or any part thereof, without the written consent of Lessor. Any additions to, or alterations of said premises, when permitted to be made, except movable furniture and trade fixtures, shall become at once a part of the realty and belong to Lessor, and shall not be removed by Lessee at the end of its occupancy, or otherwise, except upon written consent or order of Lessor. Lessee shall maintain in good condition and repair all leasehold improvements in addition to all fixtures, furniture and equipment contained in or about the demised premises, in order to promote a well-kept appearance therein. Any leasehold improvements, including but not limited to additions, flooring, or floor, wall, or ceiling covering, or lighting fixtures, installed by Lessee, shall become at once a part of the realty and belong to Lessor, without obligation on the part of Lessor to compensate Lessee therefor. On condition that Lessee obtains Lessor's written consent not later than thirty days before the JFW:ss August 15, 1989 3 termination date of this lease, to the removal of any of the herein described leasehold improvements, such removal must be completed before the termination date of this lease at Lessee's sole cost. If Lessor should require Lessee by written notice given not less than thirty (30) days before such termination date to remove any such leasehold improvements, Lessee shall complete such removal not later than said termination date at Lessee's sole cost. 11. Access to Premises - Lessee shall permit Lessor and his agents to enter into and upon the demised premises at all reasonable times for the purpose of inspecting the same, and for the purpose of maintaining the building within which the demised premises are situated, and for the purpose of making repairs, alterations or additions to any portion of said building (including the erection and maintenance of such scaffolding, canopies, fences and props as may be required) and for the purpose of posting notices of non-responsibility for alterations, additions, or repairs, and for the purpose of placing upon the property within which the demised premises are located any usual or ordinary "for sale" signs; and Lessor may do any or all of said acts without any rebate of rent and without any liability to Lessee for any loss of occupancy or of quiet enjoyment of the demised premises. Lessee shall permit Lessor, at any time within ninety (90) days prior to the expiration of this lease, to place upon the demised premises any usual or ordinary "for lease" or "for rent" signs. JFW:ss August 15, 1989 4 12. Signs, Etc. - (a) Lessee shall not paint, or place or permit to be placed, or painted, any sign, lettering, marquee, or awning in, upon, or about the demised premises, including windows and doors, without the prior written consent of Lessor. (b) Lessee shall remove, repair, or replace any awnings, marquees, signs, lettering, window shades, or draperies previously permitted by lessor whenever Lessor shall notify Lessee that such removal, repair, or replacement is advisable to promote a well-kept appearance upon the premises. (c) If the installation, existence, servicing and maintenance, or removal of Lessee's signs, awnings, or marquees, shall cause any damage to the roof, walls, or any part of the building in which the demised premises are situated, Lessee, at his sole cost, shall promptly repair any such damage. (d) Any signs, awning, or marquee installed, shall become at once a part of the realty and shall not be removed by Lessee at end of his occupancy, or otherwise, except upon written consent, or order, of Lessor. 13. Assignment, Subletting, Etc. - Lessee shall not assign this lease or any interest therein, and shall not sublet the demised premises or any portion thereof, or any right or privilege appurtenant thereto, or suffer any other person (the employees of Lessee excepted) to occupy or use the demised premises or any portion thereof, without the prior written consent of Lessor. The consent to one assignment, subletting, occupancy, or use by any other person, shall not be deemed to be JFW:ss August 15, 1989 5 a consent to any subsequent assignment, subletting, occupancy or use by any other person. Any such assignment, subletting, occupancy or use without Lessor's prior written consent shall be void and, at Lessor's option, shall terminate this lease. Neither this lease nor any interest therein shall be assignable by operation of law, as to Lessee's interest, without Lessor's prior written consent, which consent shall not be unreasonably withheld. If Lessee shall have obtained Lessor's prior written consent to either assignment, or subleasing, then any rental paid by such assignee, or sublessee, in excess of the rental provided by this lease, shall be for the benefit of and shall be immediately paid to Lessor. In any event, Lessor's consent to any assignment, or subleasing, shall not relieve Lessee from any obligation under this lease. 14. Remedies of Landlord - (a) In the event of any breach of this lease by Lessee, then in addition to any other rights or remedies which Lessor may have, he shall have the immediate right of re-entry and may remove all persons and property from the demised premises; and such property at Lessor's option, may be removed and stored in a public warehouse or elsewhere at the expense of and for the account of Lessee. (b) Should Lessor at any time terminate this lease for any breach by Lessee, then in addition to any other remedy that he may have Lessor may recover from Lessee all damages which lessor may have incurred by reason of such breach, including the cost of recovering the demised premises. JFW:ss August 15, 1989 6 (c) The voluntary or other surrender of this lease by Lessee, or the cancellation thereof by agreement, shall not cause a merger; and any such act, at Lessor's option, shall terminate any and all existing subleases or subtenancies, or, at Lessor's further option, shall operate as an assignment to him of any or all such subleases or subtenancies. In addition to the remedies contained herein, Lessor shall have the remedies provided for under Section 1951.2 of the Civil Code of the State of California. 15. Condemnation - In the event the demised premises are totally condemned by any authority having jurisdiction, this lease shall terminate" on the date possession shall be taken by condemner and the rent herein reserved shall be apportioned and paid in full to that date and all prepaid rent and security held by Lessor shall forthwith be repaid by Lessor to Lessee. Thereupon this lease shall be of no further force or effect and Lessor and Lessee shall have no liability thereafter one to the other. In the event the demised premises are partially condemned by any authority having jurisdiction and the taking shall be fifty percent (50%) of the total premises, then Lessee shall have the option to terminate this lease by giving Lessor thirty days prior written notice, not later than thirty days after date possession shall be taken by condemner. In such event the rent herein reserved shall be apportioned and paid in full to that date and all prepaid rent and security held by Lessor shall forthwith be repaid by Lessor to Lessee. Thereupon this lease JFW:ss August 15, 1989 7 shall be of no further force or effect and Lessor and Lessee shall have no liability hereafter one to the other. In the event the demised premises are partially condemned by any authority having jurisdiction, but to a lesser extent than last above described in this paragraph, the rent reserved shall then be reduced proportionately. Lessor shall be entitled to and shall receive the entire award arising out of the condemnation of all or any portion of the demised premises except as to Lessee's trade fixtures. Lessee hereby assigns to Lessor any right or interest Lessee may have now or hereafter in any such award. 16. Destruction of Premises - (a) In the event of (1) a partial destruction of the demised premises or the building containing the same during the term of this lease which requires repairs either to the demised premises or to said building, or (2) the demised premises or said building being declared unsafe or unfit for occupancy by any authorized public authority for any reason other than Lessee's act, use or occupancy (which declaration requires repairs either to the demised premises or to said building), Lessor forthwith (except as hereinafter further set forth) shall make such repairs if they can be completed within one hundred and twenty (120) working days; and such partial destruction (including any destruction necessary in order to make any repairs required by any such declaration) in no wise shall annul or void this lease, except as otherwise set forth herein; provided, however, that Lessee shall be entitled to a proportionate abatement of rent while such repairs are being JFW:ss August 15, 1989 8 made, such proportionate abatement to be based upon the extent to which the making of such repairs shall interfere with the business conducted by Lessee within the demised premises. Lessor shall have ten (10) days following date of the partial destruction within which to notify Lessee of its determination that repairs will be completed within one hundred twenty (120) days. Failure to do so shall, at Lessee's election, operate as a termination of this lease. (b) In the event of partial destruction, as aforesaid, and in the further event that repairs, as aforesaid, cannot be made within one hundred and twenty (120) working days, then Lessor make said repairs within a reasonable time, and in such event this lease shall continue in full force and effect and the rent shall be abated proportionately, as hereinabove set forth. In the event that such repairs cannot be made within one hundred and twenty (120) working days and in the further event that Lessor may not so elect to make such repairs, then this lease may be terminated at the option of either party. In respect to any partial destruction (including any destruction necessary in order to make repairs as required by the declaration of any authorized public authority, as aforesaid) which Lessor is obligated to repair or may elect to repair under this Paragraph 16, the provisions of Section 1932, subdivision (1) and of Section 1933, subdivision (4), of the Civil Code of the State of California, hereby are waived by Lessee; and provided further, that Lessor shall not be required to commence said repairs until JFW:ss August 15, 1989 9 he shall have received payment in full upon any pOlicies of casualty insurance covering such loss, but in no event later than fifteen (15) days after the occurrence of such partial destruction. Lessor shall have ten (10) days following date of the partial destruction within which to notify Lessee of Lessor's election under this section. Failure to do so shall, at Lessee's election, operate as a termination of this lease. (c) A total destruction (including any total destruction required by any authorized public authority) either of the demised premises or of said building shall terminate this lease. (d) In the event of any dispute between Lessor and Lessee relative to the terms'of Paragraph 16, each party shall select a Realtor as an arbitrator and the two so selected shall choose a Realtor as the third arbitrator; and said three arbitrators shall hear and determine the controversy and their majority decision thereupon shall be final nd binding upon both parties. Lessor and Lessee shall bear the expense of such arbitration in equal shares. 18. Subordination - This lease shall be subject and subordinate to the liens of any mortgages, deeds of trust, or other encumbrances which now exist or may be placed upon the demised premises. 19. Holding Over - Any holding over after the expiration of the term of this lease, with the prior written consent of Lessor, shall be a tenancy from month to month at minimum rental of three thousand six hundred ninety-two dollars and 04/100 JFW:ss August 15, 1989 10 ($3,692.04) per month. Percentage rental rates, if any, and all other conditions and agreements of this lease shall be applicable to such holding over. 20. Termination - On the last day of the term, or sooner termination, Lessee shall peaceably and quietly leave and yield to Lessor the premises, together with the fixtures and appurtenances, all in good order, condition and repair, reasonable wear and tear excepted. Lessee shall leave the premises and appurtenances free and clear of rubbish and broom clean. Lessee at its sole cost shall repair any and all damage to the demised premises and to Lessor's fixtures and appurtenances, resuIting from Lessee's use or occupancy, including but not limited to the removal of Lessee's trade fixtures in conformity with the provisions hereof. In the event Lessee fails to do so, Lessor may charge Lessee for the reasonable cost incurred by lessor in having the same done. 21. Waiver - The waiver by Lessor or Lessee of any breach of any term, covenant or condition shall not be deemed a waiver of such term, covenant or condition or of any subsequent breach of the same or any other term, covenant or condition of this lease. 22. Notices - All notices to be given to Lessee may be delivered personally or by depositing the same in the United States mail, postage prepaid, and addressed to Lessee at the demised premises, whether or not Lessee has departed from, abandoned or vacated the same, and said notice shall be deemed JFW:ss 11 August 15, 1989 delivered upon such mailing. The mailing address for notices from Lessee to Lessor shall be as above designated or such other place, or places, as shall hereafter be designated by Lessor. 23. Insurance - Lessee shall maintain liability and other insurance for the subject premises in like type and manner as Lessee maintains for those premises otherwise owned and occupied by Lessee. This may include self-insurance where such is Lessee's practice with respect to premises owned and occupied by Lessee. 24. Lease Subject to the Laws of the State of California- This lease shall be subject to the laws of the State of California and it is agreed that if any word, phrase, clause, sentence, article, provision, or paragraph of this lease is or shall be held invalid or ~nlawful under the laws of California for any reason, the same shall be deemed severed from the remainder hereof, and stricken therefrom, and shall in no way affect or impair the validity of this lease or of any other portion thereof, and this lease shall otherwise remain in full force and effect. ( a ) Subject to the 25. Miscellaneous Provisions provisions hereof relative to assignment, this lease shall be binding upon and inure to the benefit of the heirs, executors, administrators, successors and assigns of the respective parties; and all of such respective parties shall be jointly and severally liable hereunder. (b) This lease contains the entire agreement of the JFW:ss August 15, 1989 12 parties, and no modifications thereof or statement or representation in connection therewith shall be effective or binding upon either party unless the same is reduced to writing signed by Lessor and Lessee, and attached hereto. (c) Time, and prompt performance of the parties' respective obligations hereunder, are of the essence of this lease. (d) If Lessor and/or Lessee consist(s) of more than on person, then the covenants, agreements, and obligations of the respective parties shall be binding upon such parties, jointly and severally. 26. Option to Renew - Providing Lessee is not in default under this lease, at its termination, it shall have an option to renew said lease for an additional three one-year terms. The rental rate for the additional term shall be agreed upon by Lessor and Lessee at the time of such renewal. Extension of the lease, however, shall be subject to a ninety (90) day written / / / / / / / / / / / / / / / / / / / / / I / / / / / / / / JFW:ss 13 August 15, 1989 notice from Lessee to Lessor, prior to the expiration of the initial term, as to its intention to renew the lease. IN WITNESS WHEREOF, the parties hereto have executed this lease on the date and year first above written. "LESSOR" ATTEST: THE SEDLAK FAMILY TRUST BY~~~ BY: J!~/vffi~t~ , ? Trustee CITY OF SAN BERNARDINO BY: BY: City Clerk W. R. HOLCOMB, Mayor APPROVED AS TO FORM AND LEGAL CONTENT :~AttorneY JFW:ss August 15, 1989 14 EXTENSION OF TERM ~ LEASE This agreement, made and effected this day of , 1989, by and between the Sedlak Family Trust, hereinafter called the Lessor, and the City of San Bernardino, hereinafter called the LesSee,attests: Whereas, by written lease dated the 24th of June, 1980, the Lessor did let and lease to the Lessee certain premises fully described in said lease (and briefly described as that certain office building commonly known as 646 North Sierra Way containing approximately 7225 square feet, along with 75 parking spaces) for a ~erm beginning July 1, 1980, and ending September 20, 1982, and extended for one year periods with agreements dated August 8, 1982, August 19, 1983, August 30, 1984, July 16, 1985, August 5, 1986, September 21, 1987, and September 19, 1988, and under the terms and considerations therein set forth. Now, hereby, it is mutually agreed, the term of said lease is extended for an additional period of one (1) year, beginning the first day of October, 1989, and ending the 30th day of September, 1990, for and under the same terms and conditions of the 1986 lease, that lease included the only rent increase since the inception of the lease (it was a three per cent increase). The rent will be approximately 5l~ per square foot, with the rent being $3692.04, per month. In witness thereof the Lessor and Lessee have set their hands to duplicates of this agreement. APPROVED AS TO FORM AND LEGAL CONTENT: City Attorney ~ ;t.r&~~ /, City Clerk ,/ SEDLAK FAMILY TRUST, Lessor Robert J and Nancy W SEdlak Co-trustees rr<~ City of San Bernardino, Lessee