HomeMy WebLinkAbout48-City Administrator
"CITAF SAN _RNARDlNc9. R.Q..T FOR COUNCI~ION
From: MarBhal1 W. Julian
City AtiRinistratOlt"
Subject: . Parlting Agre.eGle"t with 235 Inv....l.-olts,
Inc. for 360 "I?"'-" in 5-1evel pl!itting
structure.
Oept:
Om: August 11, 1969
Synopsis of Previous Council action:
May 4, 1969 - ReeolutiClll No. ~122 ap(Z'OVed authorizing the exec:utiClll of a
paddng agn ,t and ag~.t for constructiClll of pedestrian
/11&&1 n..;,ys in the 5-1eve1 parking structure between the Redevelopoent
Agency; City of San Bernardino, and 235 InWou.....IQ, Inc.
Recommended motion:
1. 'l1Iat the City .IldiDinistrator be directed to terminate the agre .t with 235
:rnw..u......t8, Inc. pursuant to the terms of the agre.-et.t.
CR
CR
CR
2. 'l1Iat the paddng agreement with 235 Investments, Inc. be referred to staff
to initiate the &WL--.iate aIIII!DdIDel.ts as directed by the Mayor and CaIBln
Council.
~/4I~.v...
Sig re
Contact person:
FRED A. WILSC>>I
Phone:
384-5122
Supporting data attached:
YES
Ward:
FUNDING REQUIREMENTS:
Amount:
Source: (Acct. No.)
(Acct. DescriPtion)
Finance:
Council Notes:
75-0262
Agenda Item No
~8"
,t,;
.
o.
,~~- 'i. fl.,
'C
..
o
~-
CITY 0., sur BBRDRDllIO
STAJ'I' RBPORT
On May 4, 1989, the Mayor and Common Council authorized the
execution of a parking agreement and agreement for
construction of pedestrian walkways in the 5-level parking
structure between the Redevelopment Agency, the City and 235
Investments, Inc. This agreement stipulated the terms and
conditions under which 360 parking spaces in the 5 level
parking structure would be leased to the Thrifty Building.
The agreement also outlined the provisions for the
construction of the pedestrian walkways.
with respect to parking, 235 Investments, Inc. was granted
185 designated parking spaces on various levels of the
parking structure and 175 undesignated parking spaces on the
5th level of the parking structure. The agreement further
specified that the allocation of 175 undesignated parking
spaces did not obligate the City to ensure that the parking
spaces would be available at any particular time on any given
day. Quarterly payments in the amount of $18,263.00 were
required to be paid to the City in advance for the leasing of
these spaces. The first quarter payment of this fee was
received on July 3, 1989. The second quarter under the terms
of this agreement commenced on August 10, 1989. Payment for
this quarter has not been received as of this date.
The agreement also required 235 Investments, Inc. to
construct two pedestrian walkways, section 14 required that
plans be submitted within 90 days, for the construction of a
pedestrian bridge and walkway. This facility was to span the
area between the westerly side of the second level of the
parking structure and the easterly side of the Thrifty
Building. Section 15 required the owner to submit plans,
within 90 days, for the construction of a covered pedestrian
ramp. The ramp was to span the area from the 5th level of
the parking structure to the second floor of the Thrifty
Building.
These plans were received by the city Engineer on August 9,
1989. An initial review revealed that no plans were
submitted for the pedestrian bridge and walkway. Plans were
submitted for the covered pedestrian bridge. However, the
plans submitted did not show a connection to the second
floor; rather, the connection was shown at the third level of
the parking structure. Further, the plans indicated an at-
grade crossing on the service alley, with steps down to the
first level of .the parking structure. This was never
contemplated in the orginal agreement.
Although the City Engineer
relative to the placement of a
has identified some concerns
pedestrian ramp on the second
::)
~~~
'" ;
;"",~ ,;.~~!:
,~
~
',(
.
~o 0 0
floor of the parking structure, failure to submit the
in accordance with Section 14 and 15 of the agreement,
the time limit specified, could constitute grounds
breach of this agreement.
It is recognized that 235 Investments, Inc. has made a good
faith attempt to comply with the terms of the agreement.
Plans were submitted within the required timeframe and
payment for the first quarter parking lease was received.
o
plans
within
for a
Two alternatives have been identified below for consideration
by the Mayor and Common Council relative to the agreement
with 235 Investments, Inc.:
1. That the failure to submit plans as specified in
~ection 14 and 15 in the agreement are sufficient
grounds to initiate termination proceedings. The
term of the agreement provides that the lease may
be terminated by either party without cause upon
giving a 90-day written notice.
2. That staff be directed to initiate the appropriate
amendments to the parking agreement to resolve the
concerns of the City Engineer relative to the
construction of the pedestrian walkways and that a
specific timeframe be established for the
! construction of the pedestrian walkways.
~.,.~~~t4JtJ;I-:" .~
MARSHALL W. IAN,
City Administrator
MWJ/sh
8/11/89
.." '.-
\1
'.
-0
o
o
.:>
CITY OF
San Bernardino
'U.LIC WORKI DIP.IITM.M'
ROGER G, HARDGRAVE
DIRECTOR OF PUBLIC WORKS/CITY ENGINEER
Augus t 11, 1989
File No. 6.50
Mr, Donald Lew
235 Investments, inc.
235 Montgomery Street, Suite 972
San Francisco, CA 94104
RE: Parking Agree.ent -- Five-Level Parking Structure
Dear Mr. Lew:
A Parking Agreement was entered into on 5-10-89, between 235 Invest-
ments, Inc., the Redevelopment Agency and City of San Bernardino. This
Agreement stipulates the terms and conditions under which 360 parking
spaces in the five-level parking structure are leased for the Thrifty
Building.
Quarterly payments, in the amount of $18,263.00, are to be paid to the
City in advance, Payment of this amount has been received as the first
quarter payment, and to serve as the required performance bond,
The second quarter under the terms of this Agreement commenced on
8-10-89. Payment for this quarter has not been received as of this
date.
Section 14 provides that the owner will submit plans, within 90 days,
for the construction of a pedestrian bridge and walkway. This facility
is to span the area between the westerly side of the second level of
the parking structure and the easterly side of the Thrifty Building.
No plans were submitted for this pedestrian bridge and walkway.
Section 15 provided that the owner will submit plans, within 90 days,
for construction of a covered pedestrian ramp. This ramp is to span
the area from the fifth level of the parking structure to the second
floor of the Thrifty Building. The plan submitted does not show a
connection to the second floor. The plans also indicate an at-grade
crosswalk on the service alley, with steps down to the first level of
the parking structure. This was never contemplated in the Agreement.
300 NORTH 'D' STREET, SAN BERNARDINO
CALIFORNIA. 92418.0001 714'1'4.1111
'h.~," .
~,. ,:",;'.'1
.. ".' A
~~
.-"..;
...,
c
o
o
~;. 0
~
' t'., .
'.."
..;'1,... .
.,....
'\~+:"'.,
.'."0
.
Mr. Donald Lew
Parking Agreement
AUfust 10, 1989
Fi e No. 6.50
Page -2-
,>~
. ~-'''-:
Failure to submit the second quarter payment in advance, and plans, as
stipulated in Section 14 and 15 of the Agreement, within the time-limit
specified, constitutes grounds for a breach of this Agreement.
The City Administrator will be presenting a report on the discrepancies
to the Mayor and Council, at their meeting of 8-21-89. The report will
permit compliance, or finding that there is a default in complying with'
the terms and provisions of the Agreement, and that cancellation is,
therefore, in order. You would be well advised to be present at this
Council meeting.
Please contact me at (714) 384-5025 if you have any questions.
Very truly yours,
,.
ROGER G. HARDGRAVE
Director of Public Works/City Engineer
RGH/ckc
cc: ~arshall Julian
/'" Steve Dukett
Jim Penman
Wayne Overstreet
,
~9
1
-
c'
o
o
o
PARKING AGREEMENT
(Five-Level Parking structure - 5th Level)
THIS PARKING AGREEMENT (referred to as "Agreement") is
entered into between the REDEVELOPMENT AGENCY OF THE CITY OF SAN
BERNARDINO, referred to as "Agency", the CITY OF SAN BERNARDINO,
a municipal corporation, referred to as "City", and 235
INVESTMENTS, INC_, a Nevada corporation, referred to as "Owner".
CITY and OWNER agree as follows:
1. RECITALS.
( a ) Ci ty and Agency executed a Lease Agreement
dated September 4, 1972, wherein the Agency leased to
City for a period of 50 years the Parking Facility
adjoining City Hall, San Berna~'d,tr:o, ::::illi);m:ni.s, \;hj,cn
would prcvide necessary public parking to the users of
the commarcial, civic and cultural complex.
Said
Parking Facilities are described'in Exhibit "A", a copy
of which is at't:ached hereto and by this reference made
a part hereof.
(b) Section 4 of the Lease Agreement provides for
the use of the Parking Facility as follows:
"a. It is understood and agreed that the
leased premises shall be maintained and used
as a parking facility for the benefit of the
public patronizing the Commercial, Business
and Cultural Areas which facility shall be
available to the public without charge,
provided, however, that City shall adopt and
enforce reasonable regulations and controls
with respect to such use, including parking
JFW:ss
1
@.
c'
o
.~
o
time limits, which regulations and controls
shall be substantially in accordance with the
parking assignments and allocations set forth
in the report of Armstrong-Ulmer Gruen
Associates, Inc., entitled San Bernardino
Central City Parking Structures Operation,
attached hereto as Exhibit 'D' and by this
reference made a part hereof: provided,
however, said assignments and allocations
may be varied or changed from time to time
upon the recommendation of Agency or City
subject to the concurrence of Agency and
City, such concurrence not to be unreasonably
withheld.
b. Ci ty agrees that the use of the leased
premises shall be restricted solely to uses
consistent with the purposes specified in
subparagraph a. of this paragraph."
(c) The Lease Agreement, although prohibiting the
imposi tion of charges upon the public patronizing the
Commercial, Business and Cultural areas, permits the
imposi tion of charges for parking upon regular users
with reserved spaces, and upon employees of tenants and
owners of property in the immediate downtown area.
(d) The owner is the owner of certain real
property more particularly described on Exhibit "B"
attached hereto, upon which is constructed an office
building.
(e)
Owner has requested
the designation of
certain spaces for use by its officers, employees,
tenants, and invitees, and City has determined that no
adverse impact on public parking in the Parking
Facility will result from the allocation of these
parking spaces.
JFW:ss
2
c'
o
o
o
( f ) The parties have agreed to enter into this
agreement to provide parking as required by San
Bernardino Municipal Code Section 19.56.190, for the
use of Owner's officers, employees, tenants and
invitees to the building described in Exhibit "B".
NOW, THEREFORE, the parties hereby agree as follows:
2. TERM.
The term of this agreement shall commence upon the
effective date of this agreement, and terminate at 12:00 a.m., on
June 15, 1994. Owner shall have the option to renew this
agreement for three (3) successive five-year periods provided
that Owner is not in default of any of the provisions of this
agreement at the time of renewal. This lease may be terminated
by either party without cause upon the giving of written notice
of the termination to be effective no sooner than ninety (90)
calendar days from the date of notice.
3. PAYMENT.
OWner shall pay to City the sum of $22.34 per month per
per designated parking space and $11.17 for each of the
undesignated parking spaces for a total base cost of $73,052.00
per year, payable quarterly, in advance. This sum shall be
adjusted annually based on changes in the Los Angeles/Long Beach
Consumer Price Index, provided said adjustment shall be limited
to a maximum of ten percent (10%) annually. Upon acceptance of
this Agreement, Owner shall deposit with City the amount of
$18,263.00, which will be held by City as a performance bond.
JFW:ss
3
-
c
o
o
o
C~ty agrees to apply the performance bond funds toward the first
quarterly payment.
Failure by OWner to pay to C~ty, quarterly
payments in advance shall consitute a breach of this agreement.
4. PARKING RIGHTS.
c~ty hereby covenants, grants, and agrees that the
fOllowing park~ng rights (collect~vely the "Park~ng R~ghts") will
be provided and maintained on the Garage s~te to provide parking
for the use of any tenants, subtenants, guests, l~censees,
customers, visitors, invitees, and employees of the bu~ldings now
and hereafter located on the off~ce building site on the terms
and cond~tions contained herein:
(a) 185 designated park~ng spaces on various
levels of the park~ng Facilit~es; and,
(b) 175 undesignated parking spaces on the
fifth level of the Parking Fac~lity; and,
( c ) OWner acknowledges and agrees that the
allocation of 175 undesignated parking spaces
does not obl~gate the c~ty to ensure that
such parking space or any park~ng space w~ll
be ava~lable at any particular time on any
g~ven day.
5. OPERATION AND MAINTENANCE
The C~ty shall, at its own expense:
(i) operate, maintain and furnish the
Parking Facilities, including but not limited
to accessways, driveways, stairways, and
elevators, in accordance with the usual
standards of operation and maintenance of
park~ng structures, and in accordance with
all applicable laws, statutes, ordinances and
regulations;
(ii) restripe the spaces required for
handicapped parking;
JFW:ss
4
IU
-
c
o
o
o
.
(iii) develop traffic patterns within
the Parking Facilities satisfactory to City
after consultation with the owner, including
new and improved signage clearly directing
users from the parking facility to the
owner's Building.
6. APPLICABLE REQUIREMENTS
Owner hereby promises that no use or combination of
uses shall be permitted of the real property described in Exhibit
"B" which shall require a number of parking spaces which pursuant
to the San Bernardino Municpal Code is in excess of those
provided under this agreement, except as may be otherwise
provided by law.
Nothing herein shall be construed as exempting the owner
from any other requirements or from compliance with any other law
or regulation with respect to the occupancy of such real
property.
Subject to the qualifications set forth above, City
represents that the parking provided pursuant to this covenant
complies with all applicable state and local zoning, building,
fire, safety, and other requirements in connection with parking
required for the use and operation of the office building.
7. LAWS GOVERNING AGREEMENT
This Agreement shall be governed under the laws of the
State of California.
8. GENERAL PROVISIONS
Each party agrees to perform any further acts and to
execute and deliver any further documents which may be reasonably
necessary to carry out the provisions of this Agreement.
JFW:ss
5
c
o
o
o
.
9. POSSESSORY INTEREST
The City and the Owner hereby agree and understand that
this Agreement may create a possessory interest subject to
property taxation and that if such possessory interest is
created, the Owner shall pay the property taxes, if any, levied
on such possessory interest. The Owner shall promptly provide to
the City upon such payment a written certification, signed by an
authorized agent of the Owner, that all such taxes due, if any,
have been paid by the Owner.
10. PARKING CREDIT
This agreement does not grant, authorize, or otherwise
effect in any manner any parking credit to which owner mayor may
not be entitled as owner of a building subject to assessment by
the Central City Parking D~strict.
11. HOLD HARMLESS
Owner agrees to, and shall, hold City, its elective and
appointive boards, commissions, officers, agents and employees
harmless from any liability for damage or claims for damage for
personal injury, including death, as well as from claims for
property damage which may rise from Owner's operations under
this Agreement, whether such operations be by Owner, its
officers, employees, tenants or invitees, or by anyone or more
persons directly or indirectly employed by or acting as agent for
Owner. Owner agrees to and shall defend City and its elective
and appointive boards, commissions, officers, agents and
employees from any suits or actions at law or in equity for
JFW:ss
6
c
o
o
o
.
damages caused, or alleged to have been caused, by reason of any
of the operations hereunder.
12. INSURANCE PROVISION
Owner agrees to procure and maintain in force during
the terms of this Agreement and any extension thereof, at its
expense, public liability insurance adequate to protect against
liability for damage claims through public use of or arising out
of accidents occurring in or around said parking spaces, in a
minimum amount of $1,000,000 for injuries in anyone accident,
and $100,000 for property damage. Such insurance policies shall
provide coverage for City's contingent liability on such claims
or losses. City shall be named as an additional insured in such
pOlicy of insurance. Documentation of insurance shall be
delivered to City's Risk Management Division. Owner agrees to
obtain a written obligation from the insurers to notify City in
writing at least thirty (30) days prior to cancellation or
refusal to renew any such pOlicies.
13. REVOCABLE LICENSE
This Agreement shall constitute a revocable license and
does not constitute an easement or covenant running with the
land. Owner shall not assign any parking spaces which are the
subject of this Agreement without the prior written consent of
the City. The parties contemplate that the parking spaces will
be devoted to occupants of Owner's building and customers.
JFW:ss
7
o
o
o
o
14. PEDESTRIAN BRIDGE AND WALKWAY
OWner hereby promises that within ninety (90) days of
the effective date hereof, OWner shall file with the appropriate
departments of the City of San Bernardino plans for the
construction of a pedestrian bridge and walkway to span the area
between the Westerly side of the second floor of the Parking
Facility and the Easterly side of the real property described in
Exhibit "B" attached hereto, commonly known as the Thrifty
Building. The Easterly facade of the Thrifty Building shall be
suitably remodeled to look like the front entrance of the
Thrifty Building. Within ninety (90) days of the date of the
notice advising OWner of the final approval of plans, OWner shall
commence construction of the pedestrian bridge/walkway span and
remodeling of the Easterly facade of the Thrifty Building.
15. COVERED PEDESTRIAN RAMP
OWner hereby promises that within ninety (90) days of
the effective date hereof, OWner shall file with the appropriate
departments of the City of San Bernardino plans for the
construction of a covered pedestrian ramp spanning the area from
the Westerly side of the fifth floor of the Parking Facility to
the second floor of the property described in Exhibit "B",
commonly known as the Thrifty Building. Within ninety (90l days
of the date of the notice advising OWner of the final approval of
plans, Owner shall commence construction of the covered
pedestrian ramp.
JFW:ss
8
o
o
o
o
.
16. ASSIGNMENT.
Owner shall not assign any parking spaces which are
the subject of this Agreement without first having received the
written consent of C~ty. C~ty hereby agrees not to unreasonably
withhold its consent. The parties contemplate that the parking
spaces will be devoted to occupants of Owner's building and
customers, business invitees and employees thereof.
Any other
use shall be subject to strict scrutiny.
17. AMENDMENT.
This Agreement may be amended or modified only by
written agreement signed by both parties and failure on the party
of either party to enforce any provision of this Agreement shall
not be construed as a waiver of the right to compel enforcement
of such provision or provisions, nor act to release any surety
from its obligations under this Agreement.
18. NOTICES.
All notices herein required shall be in writing and
delivered in person or mailed by certified mail, postage prepaid,
addressed as follows:
OWNER
CITY
235 Investments, Inc.
235 Montgomery Street
Suite 972
San Francisco, CA 94104
C~ty Clerk
City of San Bernardino
300 North "D" Street
San Bernardino, CA 92418
19. VALIDITY.
If any terms, conditions, provisions or covenants of
this Agreement shall to any extent be judged invalid,
JFW:ss
9
-
o
o
o
o
unenforceable, void or voidable for any reason whatsoever by a
court of competent jurisdiction, each and all remaining terms,
conditions, promises and covenants of this Agreement shall not be
affected and shall be valid and enforceable to the fullest extent
permitted by law.
20. CONCURRENCE BY REDEVELOPMENT AGENCY.
The foregoing provisions of this Agreement and the
assignment and allocation of parking spaces is concurred in by
the Redevelopment Agency of the City of San Bernardino, without
waiving its rights to insist upon full compliance with the terms
of the lease referred to in Section 1.
IN WITNESS WHEREOF the parties have executed this
Agreement on crn(Uf / () , 19 if
~ OF SAN B~INO
~'L-1J ~
Evlyn Wl1cox, Mayor
City of San Bernardino
ATTEST:
~~..Pd!~~e/
. City C1erk
APPROVED AS TO FORM
AND LEGAL CONTENT
~J
ency Counsel
~1? ~";F'"
BY: ,~~ /)~7
t,
APPROVED AS TO FORM
AND LEGAL CONTENT:
235
IjjSTMENTS, INC.
, t'lt.-,,ei jilL, ~ #b;.td-
JAMES ~
BY:~
./
BY:
JFW:ss
10
J
~
o
o
o
o
EXHIBIT "A"
Parcel 28 of Parcel Map No. 688, as per plat thereof
recorded in Book 25 of Parcel Maps, pages 47 through 58,
inclusive, records of the County Recorder of San Bernardino
County, State of California.
JFW:ss
11
-_.
-
o
o
o
c,
EXHIBIT -B-
Parcel 27 of Parcel Map No. 688, as per plat thereof
recorded in Book 25 of Parcel Maps, pages 47 through 58,
inclusive, records of the County Recorder of San Bernardino
County, State of California.
JFW:ss
12