HomeMy WebLinkAbout2006-08-01; City Council; 18676; Parking lease agreement: Wells Fargo Credit GroupCITY OF CARLSBAD - AGENDA BILL
AB# 18.676
MTG. 8-1-06
DEPT. ED
TITLE:
APPROVAL OF A PARKING LEASE AGREEMENT
BETWEEN THE CITY OF CARLSBAD AND WELLS FARGO
CREDIT GROUP FOR A PORTION OF 5815 EL CAMINO
REAL FOR PARKING PURPOSES
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RECOMMENDED ACTION:
ADOPT Resolution No. 2006-220 approving a one year parking lease agreement for the term
August 1, 2006 to July 31, 2007, with Wells Fargo Credit Group, and authorizing the City Manager to
execute all documents.
ITEM EXPLANATION:
The City of Carlsbad is the owner of real property located at 5815 El Camino Real in Carlsbad,
California, formerly known as the Farmers Insurance site. To date no long term plan for the site has
been approved, nor is it likely that any plan for redevelopment of the site will be approved within the
next twelve (12) month period. In 2004, the City was contacted by Wells Fargo Credit Group with
respect to the availability of excess parking at the site that could be used by their employees. They
indicated a need for approximately 51 parking spaces. The City entered into a 12 month parking lease
with Wells Fargo, with one opportunity to extend for an additional year. In 2005, Wells Fargo
requested the extension which ends on July 31, 2006.
Wells Fargo recently contacted the City indicating an interest in continuing the parking lease
arrangement. Staff has evaluated their request and does not feel that entering into a one year parking
lease agreement will delay or impair the ability to continue planning redevelopment of the future
municipal site. Furthermore, the excess parking identified for this purpose is located at the perimeter
of the site and should not impact any current use of the facility. This interim use of the site by Wells
Fargo Credit Group will provide the City with additional revenue that could be used to offset the
ongoing maintenance costs associated with the site.
ENVIRONMENTAL IMPACT:
The Planning Director has determined that the project is exempt from the California Environmental
Quality Act, pursuant to Section 15301 of the CEQA Guidelines. Section 15301 exempts projects or
activities that consist of leasing of existing public facilities involving no expansion of use. Short-term
lease of public property for parking, with an existing use as a parking lot, and no other plan for
development of that property, is such an activity. Should the City decide to pursue development of
the site at a future date, additional environmental review will be conducted.
FISCAL IMPACT:
The term of the lease is one (1) year. The number of spaces to be provided is 51, with a base lease
rate of $23.10 per month per parking stall, or $14,137.20 per year.
EXHIBITS:
1.
2.
Resolution No2006-220of the City Council of the City of Carlsbad, California, approving a
one-year parking lease agreement for the term August 1, 2006 to July 31, 2007.
Lease Agreement between the City of Carlsbad and Wells Fargo gredit Group
1 RESOLUTION NO. 2006-220
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, APPROVING A ONE YEAR
3 PARKING LEASE AGREEMENT BETWEEN THE CITY OF
CARLSBAD AND WELLS FARGO CREDIT GROUP FOR A
PORTION OF THE PROPERTY LOCATED AT 5815 EL
5 CAMINO REAL
6 :
WHEREAS, the City Council of the City of Carlsbad has determined that it is in
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the best interest of the City to lease a portion of the parking lot it owns located at 58158
9 El Camino Real, Carlsbad CA 92008; and
10 WHEREAS, the City has further determined that it accepts the terms of a one yar
11 parking lease agreement with Wells Fargo Credit Group for lease of fifty-one (51)
12 parking stalls located at the property; and
13 WHEREAS, Wells Fargo Credit Group has provided the City with all required
14 documentation under the terms and conditions of the agreement attached hereto/
15 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
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Carlsbad, California as follows:
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1. The above recitations are true and correct.
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19 2. The attached lease agreement between the City of Carlsbad and Wells Fargo
20 Credit Group is approved.
21 3. The City Manager is authorized to execute all lease documents associated
22 with this transaction.
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City
of the City of Carlsbad held on the 1st day of August, 2006, by the following vote
AYES: Council Members Lewis, Hall, Kulchin, Packard, Sigafoose
NOES: None
ABSENT: None
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ATTEST:
- ( —X^KjLxD^-^? n^XJDUvv O
LORRAINE M. WOOD, City Clerk J
Council
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CITY OF CARLSBAD
PARKING LEASE AGREEMENT
WELLS FARGO COMMERCIAL CREDIT GROUP
COMMENCING AUGUST 1, 2006
ENDING JULY 31,2007
PARKING SPACE LEASE AGREEMENT
This parking space lease agreement ("Lease") is entered into on August 2, 2006, by and
between the City of Carlsbad, a California municipal corporation ("Lessor"), and Wells
Fargo Credit Group, Inc., a California corporation ("Lessee").
Subject to the terms and conditions set forth in this Lease, Lessor hereby leases to Lessee
that certain fifty-one (51) parking spaces more particularly described in Exhibit A
attached hereto and incorporated herein by reference ("Leased Space").
I. Term and Termination
The term of this Lease shall be a period of one (1) year commencing on August 1, 2006,
and ending on July 31, 2007. The parties may extend the term of the Lease for an
additional one (1) year period by written agreement executed thirty (30) days prior to the
end of the current term. Notwithstanding the foregoing, Lessee or Lessor may terminate
the lease at anytime and for any reason upon thirty (30) days prior written notice to the
other party.
II. Payment
In consideration for this Lease, Lessee agrees to pay to Lessor the rate of $23.10 per stall
for a total of $1178 per month. Such payment shall be made by the 5th (fifth) of each
month and shall be delivered by mail or in person to Lessor's address listed in the Notices
paragraph below.
III. Use of Space
The Leased Space shall be used by Lessee's employees and visitors to park their vehicles
when working for and/or visiting Lessee. Lessee shall use such space for parking of
personal vehicles only. No commercial vehicles may be parked on the premises at any
time.
IV. Alterations by Lessee
In accordance with all applicable governmental laws, regulations, ordinances and codes,
Lessee may re-stripe and provide appropriate signage that identifies the Leased Space,
subject to Lessor's written approval of plans submitted by Lessee to Lessor.
Notwithstanding the foregoing, Lessee shall not make any other alterations, additions, or
improvements to the Leased Space without the prior written consent of Lessor.
V. Lessee's Obligation
Lessee, at Lessee's sole cost and expense, shall keep in substantially the same condition
and repair as upon the commencement of this Lease, the Leased Space, reasonable wear
and tear excepted. Lessee shall also be responsible to keep the Leased Space reasonably
free of dirt and debris at all times.
VI. Lessee's Insurance
For the mutual benefit of Lessor and Lessee, Lessee shall during the term of this Lease
cause to be issued and maintained public liability insurance covering the Leased Space, in
the sum of at least five hundred thousand dollars ($500,000) per single occurrence, and
one million dollars ($1,000,000) in the aggregate, insuring the Lessee against liability for
injury and/or death to persons or property damage, occurring in or on the Leased Space.
Lessor shall be named as an additional insured entitled to primary coverage.
VII. Non-Liability of Landlord
Lessor, its officials, officers, agents and employees shall not be liable for any personal
injury suffered by Lessee or Lessee's employees or visitors or any damage to or
destruction or loss of any personal property located or stored upon the Leased Space or
property. This provision includes but is not limited to acts of theft, burglary, vandalism,
assault or other criminal activity, as well as loss or damage of Lessee's property in the
Leased Space or on the property that may be caused by fire, windstorm, explosion or
other cause, or by the act, or omission of any other Lessee at the property. Lessee accepts
Leased Space "as is" and Lessee acknowledges that Lessor has not made and is not
making any warranties whatsoever with respect to the Leased Space. Lessee
acknowledges that the Leased Space and adjacent property is not secured or monitored by
Lessor, and that Lessor is not responsible for supervision of any portion of Leased Space.
VIII. Indemnification
Lessee agrees to indemnify, protect, defend, and hold harmless the City of Carlsbad, its
affiliates, subsidiaries, directors, officers, employees, agents, and representatives from
and against any and all obligations, causes of action, claims, costs, injuries, damages,
penalties, demands, expenses, attorneys' fees, judgments, interest and/or liabilities of any
nature or kind, arising from, out of, or in any way related to this Lease. The foregoing
indemnity shall survive the expiration, cancellation, or termination of this Lease.
IX. Waiver of Relocation Benefits
Lessee understands this lease agreement is entered into for a specified period of time in
order to provide interim use of the property. Lessee therefore agrees to waive any and all
relocation benefits defined in the California Relocation Assistance Law (Government
Code, Section 7260, et, seq.) after having the opportunity to consult with legal counsel
about potential entitlements
X. Notices
Except as otherwise expressly provided by law, any and all notices or other
communications required or permitted by this lease or by law to be served on or given to
either party to this lease by the other party shall be in writing, and shall be deemed duly
served and given when personally delivered to the party to whom it is directed or any
managing employee of that party or, in lieu of personal service, when deposited in the
United States mail, first-class postage prepaid, addressed to Lessor at 1635 Faraday
Avenue, Carlsbad, California, 92008, Attention Manager - Economic Development
& Real Estate or to Lessee at Wells Fargo Corporate Properties Group, MAC #
E2064-072,333 S. Grand Avenue. Suite 700, Los Angeles. CA 90071. Attention
Lease Manager/Lease Administration. Additional copy to Wells Fargo Corporate
Properties Group, MAC # E2064-072,333 S. Grand Avenue, Suite 700, Los Angeles,
CA 90071, Attention: Negotiations Manager. Either party may change its address for
purposes of this paragraph by giving written notice of the change to the other party in the
manner provided in this paragraph.
IX. Time of Essence
Time is expressly declared to be of the essence in this Lease.
X. Governing Law
This Lease, and any and all disputes arising out of or relating to this Lease, or the subject
matter, enforceability or breach thereof, shall be governed by, and construed and
interpreted in accordance with, the laws of the State of California, and venues for any
dispute shall be in the courts of San Diego County.
XI. Entire Agreement
This instrument constitutes the sole and only full, final, and complete agreement between
Lessor and Lessee with regard to the subject matter of this Lease and correctly sets forth
the obligations of Lessor and Lessee to each other as of its date. It supersedes all prior
and contemporaneous communications, representations, and agreements, whether oral or
written and has been induced by no representations, statements, or agreements other than
those herein expressed. This Lease may not be extended, amended, modified, altered, or
changed, except in a writing signed by Lessor and Lessee. If any provision herein is
declared invalid, it shall be considered deleted and shall not invalidate the provisions that
remain.
IN WITNESS WHEREOF, the parties have caused this Lease to be executed by
their duly authorized representatives.
LESSOR AND LESSEE HAVE CAREFULLY READ AND REVIEWED THIS LEASE
AND EACH TERM AND PROVISION CONTAINED HEREIN, AND BY THE
EXECUTION OF THIS LEASE SHOW THEIR INFORMED AND VOLUNTARY
CONSENT THERETO. THE PARTIES HEREBY AGREE THAT, AT THE TIME THIS
LEASE IS EXECUTED, THE TERMS OF THIS LEASE ARE COMMERCIALLY
REASONABLE AND EFFECTUATE THE INTENT AND PURPOSE OF LESSOR AND
LESSEE WITH RESPECT TO THE PREMISES.
The parties hereto have executed this Lease at the place and on the dates specified above their
respective signatures.
Executed at:
on: "7
By LESSEE:
By:
Name Printed:
Title:
By:
i-nley
Address:
Telephone: ( ).
Facsimile: ( ).
Federal ID No.
Executed at:
on:
By LESSOR:
By:
<T^Name Printed:
Title:
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KIM A STPUIMK
NEGOTIATOR
Name Printed!)' Raymond R. Patchett
Title: City Manager, City of Carlsbad
Address: 1200 Carlsbad Village Drive
Carlsbad. CA 92008
Telephone: (760 ) 434-2821
Facsimile: (760) 720-9461
STATE OF
COUNTY OF f IS
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Public, personall
personally known to me (or provedWme on the basis of satisfactory evidence) to be the
person(s) whose name(s) Lafare subscribed to the within instrument and acknowledged to
me that h^/sfee7they executed the same in h>^hef7their authorized capacity(ies), and that
by hj^helr/their signature(s) on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument
WITNESS my hand and official seal.
My Conm&plm Jon 30,201
STATE OF CALIFORNIA)
COUNTY OF SAN DIEGO)
On
(V)hiojr Q b h c>
before me,
personally appeared
personally known to me
(or proved to me on the basis of satisfactory evidence) to be the person(sfwhose
is/are~ subscribed to the within instrument and acknowledged to me that
they executed the same in hisiffiefrtheir authorized capacityj(iee)rand that by
_ y/their signature^) on the instrument the personj(s), or the entity upon behalf of
which the personj^acted, executed the instrument.
WITNESS my hand and official seal.
Signature
9HBLA RENAE CO6MN
CommMont 1699681
Notary PUbleSon Dtogo County