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HomeMy WebLinkAbout1987-02-03; City Council; 8875; Employees Federal Credit Union Lease Agreement�r 0 LU O a Q. Li. Q CIT OF CARLSBAD -- AGEND: ,SILL AB # EMIT TLE: DEPT. HD. — MTG. 2 / 3 / 8 7 CARLSBAD EMPLOYEES FEDERAL CREDIT UNION CITY AM `423 nr r LEASE AGREEMENT ^1T-V hmr►o RECOMMENDED ACTION: Adopt Resolution No. authorizing the Mayor to execute the, attached lease agreement for office space between the City of Carlsbad and it's employees Credit Union. ITEM EXPLANATION: In the past, the Carlsbad Employees Federal Credit Union used 75 square feet of office space in the rear building at Fire Station Number 1. With the move of Fire Administration to the Public Safety and Service Center, 450 square feet of office space in that building has become available. The Credit Union is willing to lease this space and the Fire Chief and Credit Union Manager have agreed on a lease rate of $.50 per square foot per month. The Fire Department does not currently need this office space, while the Credit Union greatly needs the room. FISCAL IMPACT: The General Fund will receive $225 in rent payments monthly for a period of 48 months. EXHIBITS: 1. Resolution No. 1 4 11 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO,. R957 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING A LEASE AGRELMENT FOR OFFICE SPACE BETWEEN THE FIRE DEPARTMENT AND THE CARLSBAD EMPLOYEES FEDERAL CREDIT UNION. WHEREAS, in the past, the Carlsbad Employees Federal Credit Union used 75 feet of office space in the rear of Fire Station Number One; and WHEREAS, Fire Administration recently moved from Fire Station Number One to the Public Safety and Service Center, making available 45(, square feet of office space; and WHEREAS, the Fire Department has determined they no longer need this office space while the Credit Union does; and WHEREAS, the Credit Union is willing to lease this office space from the Fire Department and the Fire Chief and Credit Union Manager have agreed on a lease rate of $.53 per square foot per month. NOW, THEREFORE, BE IT RESOLVED by the City Council of the {City of Carlsbad as follows: 1. That the above recitations are true and correct. 2. That the lease agreement between the Fire Department and Carlsbad Employees° Federal Credit Union attached hereto is approved. c2 1 h 1 3. That the Mayor is authorized to sign the attached lease 2 agreement on behalf of the City of Carlsbad. 3 PASSED, APPROVED AND ADOPTED at a regular meeting of the 4 City Council of the City of Carlsbad held on the 3rd 5 day of February 1987 by the following vote, to wit: 6 71 AYES: Council Members Lewis, Kulchin, Pettine and Mamaux 8 NOES: None 9 ABSENT: None 10 11 C A DE A. E I , Mayor 12 13 IATTSST: 141 15 ALETHA L. RAUTENKRANZ, City Cle 16 17- '(SEAL) 18 19 20 21 22 23 24 251 26 27 28 ` EXHIBIT " TO RESOLUTION NO. LEASE AGREEMENT CITY OF CARLSBAD GOVERNMENT OFFICES THIS LEASE AGREEMENT, made and entered into this �' day of /. , 19870 by and between the CITY OF CARLSBAD, hereinafter referred to as "Lessor" and the CARLSBAD CITY EMPLOYEES FEDERAL i CREDIT UNION, hereinafter referred to as "Lessee", whereby the parties hereto agree as follows: WITNESSETH: 1. Abm!NISTRATION. This Lease Agreement (hereinafter referred to as "'_ease") shall be administered on behalf of City by the Fire Chief, City of s Carlsbad, hereinafter referred to as "City's Lease Administrator", and on behalf of Lessee by Darrell Bennett, Credit Union Manager. 2. DESCRIPTION. Lessor hereby leases to Lessee that real property consisting of 450 square feet of office space known as Rear Building, 1275 Elm Avenue, Carlsbad, California, 92006. Said real property (hereinafter referred to as "Demised Premises") is leased on a modified gross basis in accordance with the terms and conditions hereinafter set forth. 3. TERM. This Lease Agreement is effective on the date first above ' written. The term of this Lease shall commence upon the date of acceptance of the Demised Premises by the Lessee. Said date shall be as specified in the letter of acceptance issued by the Lessee to the City Administrator. The term of this Lease shall terminate 48 months from the date of acceptance. Lessee shall have the option to extend this Lease upon expiration thereof for additional one (1) year periods ;pon Uhe samC terms and conditions as stated herein. The option may be exercised by Lessee by giving Written notice of exercise to Lessor at least sixty (60) days in advance of the normal expiration of this Lease or any succeeding extension thereof. 4. EARLY TERMINATION. This Lease may be terminated by City at its sole option at any time after six (6) months from date of acceptance by first giving to Lessee no less than ninety (90) days prior written notice. 5. HOLDING OVER. Any holding over by the Lessee after the expiration of the term of this Lease shall be construed to be a tenancy from month to month at the monthly rental and on the terms and conditions specified herein so far as the same may be applicable. Such holding over shall include any time required by Lessee to remove its equipment and fixtures. 6. RENT. The base rent reserved for the term of this Lease shall oe the sum of .5W per square foot ($225.00) per month. Rent shall be payable ,for that month. If the first day of the term shall not be the first day of the month, the rental for the pr.rtion of the term occurring in the first and last calendar months of the term shall be appropriately prorated. Accrual of rent shall commence upon the date of acceptance of the Demised Premises by Lessee. Installments of rent shall be paid to the City of Carlsbad by Lessee. 7. UTILITIES. City shall pay for all utilities necessary for the use of the Demised Premises by the Lessee. 8. JANITORIAL SERVICES AND TRASH REMOVAL. Lessee shall furnish at its sole expense all Janitorial and trash removal services which may be requried by Its occupancy and use of the Demised Premises. Such services shall be provided at the level necessary to maintain the Demised Premises in a clean and orderly condition. W� 0 9. REPAIRS AND MAINTENANCE. Subject to the provisions of the UAMACE oil OESTUIinr ru^u �V%.1�Vi. Clause hereof, and except for damage caused by any negligent or intentional act or omission of City, its agents, employees, or invitees, Lessee, at Lessee's expense, shall keep the entire interior of the Demised Premises in good order, in a clean, healthful and wholesome condition and repair, including any required eradication of pests and trash removal related to the interior of the building. Lessee shall make repairs required under this clause within a reasonable time after receipt of written notice of the need for such repairs. Lessee agrees by taking possession of the Demised Premises as herein set forth that such Demised Premises are then in a tenatable and gcod condition and that Lessee will take good care of the Demised Premises and the same will not be altered, repaired or changed without the written consent of Lessor. The Lessee is also responsible for all routine maintenance or repairs required of the rented space's heating and air conditioning equipment. 10. NONPERFORMANCE OF SERVICES BY LESSEE. If Lessee fails to provide satisfactory repair and/or maintenance services to the Demised Premises as hereinabove set forth, City may notify Lessee in writing; and if Lessee does not instigate measures to provide satisfactory service and to remedy the unsatisfactory conditions within five (5) working 'iys after such notice has been mailed or delivered by City, City may provide the repair and/or maintenance services necessary to remedy the unsatisfactory condition and assure satisfactory service, or have others do so, and add an amount equal to the cost thereof to the rent thereafter payable. 11. BUILDING AND SAFETY REQUIREMENTS. During the full term of this Lease, Lessee agrees to maintain the Demised Premises in compliance with all applicable building codes, statutes, and orders as they are applicable on the date of this Lease, and as they may be subsequently amended -3- t" 0 Lessee further agrees to naintain the Demised Premises as a "safe place of employment", as the term is used in the California Occupational Safety and Health Act, where the provisions of such Acts are applicable on the date of this Lease. In the event Lessor neglects, fails or refuses to maintain said Demised Premises as aforesaid, City may, notwithstanding any other termination provisions contained herein: A. Terminate this Lease; or B. At City's sole option, cure any such default by performance of any act, including payment of money, and add the cost thereof plus reasonable administrative costs to the rent. Conditions caused solely by City and not subject to the control of Lessee are excluded from this provision. 12. INSTALLATION AND ALTERATION. Lessee may install any and all fixtures or improvements necessary or desirable for Lessee's use of the Demised Premises for the above described purposes but shall make no permanent alterations in, or additions to, said Demised Premises without the written consent of the City administrator, which consent shall not be unreasonably withheld. Such fixtures or equipment installed by City shall remain the property of City and at the option of City may be removed at or before termination of this Lease or extention thereof or may be abandoned to Lessee or shall remain in place as is, and any damage to the Demised Premises occasioned by such removal shall be repaired by City upon request by Lessee within thirty (30) days of the termination of this Lease or any extension thereof. Upon the expiration of this Lease or the sooner termination thereof as herein provided, except in the event of destruction of the property as provided for in the DAMAGE OR DESTRUCTION clause hereof, Lessee shall deliver possession of the Demised Premises to the _4_ 7 City administrator in the same condition it enjoyed at the beginning of this Lease, or as altered, ordinary weA-r and tear -and da„.age by the C1C1i1Cr ts excepted. 13. DAMAGE OR DESTRUCTION. In the event that the Demised Premises should be partially damaged by fire or any other cause during the term of this Lease or extension thereof, other than through the fault or negligence of the City, repairs shall be made by Lessee, at its sole expense, and with all reasonable idispatch, In the event the damage amounts to the substantial destruction of the Demised Premises or cannot be repaired in ninety (90) days, this Lease may be } terminated by either party at its option by giving written notice of intention to the other party within thirty (30) days following said destruction; if this Lease is not so terminated, Lessee shall not be liable for any rent until repairs and reconstruction have been made by the responsible party, subject to the approval of City's Lease Administrator, so that the Demised Premisez are again ready for occupancy. 14. SIGNS. Lessee may erect any signs necessary to identify Lessee's occupancy of the Demised Premises during tls term hereunder subject to approval of Lessor. Signs shall be removed by the Lessee upon termination of this Lease. 15. (QUIET POSSESSION. Lessor for itself, its heirs, devises, successors or assigns, convenants and agrees that Lessee, upon payment of the rental reserved and the compliance with all the terms and conditions of this Lease may lawfully, peacefully and quietly have, hold, use, occupy and enjoy the Demised Premises and each part thereof during the term of this Lease or any extensions thereof without hindrance or interruption from Lessor, its heirs, devises, successors or assigns. Lessor has and reserves the right at any reasonable time to enter upon the Premises to inspect said Demised Premises or to perform any of the -5- r' obligations imposed by this Lease, but in so entering shall conduct itself so as to minimally interfere with Lessee's use and enjoyment of the Demised 16. NOTICE. Any notice or notices given by Lessee or City to the other may be personnaly served upon Lessor or Lessee or any person hereafter authorized in writing to receive such notice, or may be served by depositing the same in the United States Mail, postage prepaid, addreosed to the appropriate address hereinafter set forth or to such oither address as Lessor or City may hereafter designate by written notice. TO: CITY TO: LESSOR City of Carlsbad Carlsbad City Employee's Fira Chief Federal Credit Union 2560 Orion Way 1275 Elm Avenue Carlsbad, CA 92008 Carlsbad, CA 92008 17. INSURANCE. Lessee shall maintain throughout the term of this Lease fire insurance and extended coverage including property damage and personal 1 injury coverage in an amount satisfactory to the City's Risk Manager, on the s Demised Premises to the extent of Lessee's property located in the Demised Premises. Included in the policy or policies of insurance shall be a standard Waiver of rights of subrogation against City by the insurance company issuing said policy or policies. 18. SEVERABILITY. The invalidity of any portion of this Lease as determined by a court of competent jurisdiution shall in no way affect the validity of any other provision hereof. 19. TIME OF ESSENCE. Time is expressly declared to be of the essence of this Lease and of each, every and all of the covenants and conditions herein. 20. ARBITRATION. If the parties hereto should .tot agree as to the terms and provisions of this Lease, such disagreement shall be determined by 7 i arbitration pursuant to the provisions of the California Code of Civil Procedure. 21. ENTIRE AGREEMENT. This Lease contains the entire agreement between the parties hereto and no term or provision hereto may be changed, waived, discharged or terminated unless the same be in writing executed by both parties hereto. 22. INDEMNITY. Lessee agreas to indemnify and hold harmless the City of Carlsbad against and from any and all damages to property or injuries to or 1 death of any person or persons, including property employees or agents of the City, and shall defend, indemnify and save harmless the City, its officers, i i agents, and employees, from any and all claims, demands, suits, actions, or f b proceedings or any kind or nature including workers compensation claims of or by anyone whomsoever, in any way resulting from or arising out of the negligent or intentional acts, errors or omissions of lessee or any of its officers, agents or employees. IN WITNESS WHEREOF, we have hereunto set our hands and seals. CITY OF CARLSBAD LESS : LESSEE: yor Tttle ATTEST: 7'/-0V ED AS TO FORM: Let -CC . /Z ze• Fb City Clerk Assistant City Attorney -7-