HomeMy WebLinkAbout; Matteson Greenhouses; 1999-0029084; Lease Related Agreement-.
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1 Rticording Requested I and ‘ 1. I DCIC -ii 1999-0029084
When Recorded Return to: I Jan 13s. 1939 4:L37 F’pf
City Clerk
I -. :mH OFFICIAl Ri C57lG #-I]IEGO t.XHNTY REt CITY OF CARLSBAD 1200 Carlsbad Village Drive Carlsbad, CA. 92008
1999-0029084
T]RKR’S OFFICE EREGORY J. SHITH, MUNTY i?FmI#R -----. ---... . .---,--,
e above this line for Recorder’s Use
Assessor’s Parcel No. 210-090-17
LEASE AGREEMENT
MATTESON GREENHOUSES
CANNONLAKEPARKLAND
A
,
CITY OF CARLSBAD
AGRICULTURAL LEASE
(Cannon Lake Park)
SECTION PARAGRAPH PAGF,
Section 1 USES 1.01 Premises 1 1.02 Deletion of Portion of Leased Premises 1 1.03 Uses 1 1.04 Related Council Action 1
1.05 Quiet Possession 2
1.06 Easements and Reservations 2
Section 2 TERM 2.01 Commencement 3 2.02 Holdover 3 2.03 Quitclaim and Surrender of LESSEE's Interest 3 2.04 Termination of Lease 4
Section 3
3.01
3.02
3.03
3.04
Section 4 4.01
4.02
4.03
4.04
Section 5 INSURANCE RISKS/SECURITY
5.01 Indemnity 5.02 Insurance 5.03 Waste, Damage or Destruction
Section 6 6.01
6.02
6.03
6.04
6.05
6.06
6.07
6.08 6.09
RENT Time and Place of Payment Rent Delinquent Rent Inspection of Records
ASSIGNMENT Time is of the Essence; Provisions Binding on Successors Assignment and Subletting Defaults and Remedies Eminent Domain
IMPROVEMENTS/ALTERATIONS/REPAIRS Acceptance of Premises Entry and Inspection and Channel Maintenance Maintenance Improvements/Alterations Utilities Liens Taxes Signs Ownership of Improvements and Personal Property
9 10 12
12
13
13
14
14
14
15
15
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SECTION
Section 7 GENERAL PROVISIONS 7.01 Notices 7.02 Compliance with Law 7.03 CITY approval 7.04 Nondiscrimination 7.05 Partial Invalidity 7.06 Entire Understanding 7.07 Agricultural Provisions 7.08 Agricultural Operations 7.09 Noxious Weeds, Pests 7.10 Control of Livestock 7.11 Employee Housing Prohibited
Section 8 8.01
Section 9 9.01
Section 10
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RAPB
WARRANTY Warranty
SIGNATURES Signature Page
EXHIBITS Exhibit A Exhibit B
PAGE
16 17 17 17 17 18 18 19 19 20 20
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22 23
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CITY OF CARLSBAD
THIS LEASE AGREEMENT is executed between THE CITY OF CARLSBAD, a
municipal corporation, hereinafter called "CITY", and MATTESON
GREENHOUSES ,hereinafter called "LESSEE".
SECTION l:USES
1.01 Premises. CITY hereby leases to LESSEE and LESSEE
leases from CITY all of that certain real property
.situated in the City of Carlsbad, County of San
Diego, State of California, described in Exhibit "A!, attached hereto and by this reference made part of this agreement. Said real property is
hereinafter called the "premises" or "leased
premises".
1.'02 Deletion of Portion of Leased Premises. In the
event any portion of the leased premises is not
used by LESSEE for its highest and best use, then CITY may, at CITY's option, delete that portion of
the leased premises not used by LESSEE from
Section 1.01, Premises, hereof. Provided,
however, Section 3, RENT, hereof, shall be
adjusted downward by the City Manager on an
equitable basis.
1.03 Uses. It is expressly agreed that the premises,
consisting of approximately 5.5 acres, is leased
to LESSEE solely and exclusively for the purposes
of growing crops and for such other related or
incidental purposes as may be first approved in
writing by the City Manager and for no other purpose whatsoever.
LESSEE covenants and agrees to use the premises for the above specified purposes and to diligently pursue said purposes throughout the term hereof. Failure to continuously use the premises for said purposes, or the use thereof for purposes not expressly authorized herein, shall be grounds for termination by CITY.
1.04 Related Council Actions. By the granting of this
lease, neither CITY nor the Council of CITY is obligating itself to any other governmental agent,
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board, commission, or agency with regard to any other discretionary action relating to development or operation of the premises. Discretionary action includes, but is not limited to rezonings, variances, environmental clearances or any other governmental agency approvals which may be required for the development and operation of the leased premises.
1.05 et Possw3on . LESSEE, paying the rent and performing the covenants and agreements herein, shall at all times during the term peaceably and quietly have, hold and enjoy the premises. If CITY for any reason cannot deliver possession of the premises to LESSEE at the commencement of the term, or if during the lease term LESSEE is temporarily dispossessed through action or claim of a title superior to CITY'S, then and in either of such events, CITY shall not be liable to LESSEE for any loss or damage resulting therefrom, but there shall be determined and stated in writing by the City Manager of CITY a proportionate reduction of the minimum or flat rate rent for the period or periods during which LESSEE is prevented from having the quiet possession of all or a portion of the premises.
1.06 Pasementsd Reservatjmu .
a. CITY hereby reserves all rights, title and interest in any and all subsurface natural gas, oil, minerals and water on or within the premises.
b. CITY reserves the right to grant and use easements or to establish and use rights-of- way over, under, along and across the leased premises for utilities, thoroughfares, or access as it deems advisable for the public good.
C. CITY has the right to enter the premises for the purpose of making repairs to or developing municipal resources and services.
However, CITY shall not unreasonably or substantially interfere with LESSEE'S use of the premises and will reimburse LESSEE for damages, if
any, to the improvements, including crops, located on the leased premises resulting from CITY
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exercising the rights reserved in this section. Such reimbursement may include a reduction in the rent proportionate to the amount of damage as determined by CITY. CITY will pay the costs of maintenance and repair of all CITY installations' made pursuant to these reserved rights.
SECTION 2:TERM
2.01 Commencement. Regardless of the date of execution by the City, the term of this agreement shall be three (3) years commencing on September 15, 1998 and terminating September 14, 2001.
2.02 Holdover. Any holding over by LESSEE after expiration or termination shall not be considered as a renewal or extension of this lease. The occupancy of the premises after the expiration or termination of this agreement constitutes a month- to-month tenancy, and all other terms and conditions of this agreement shall continue in full force and effect; provided, however, CITY shall be entitled to 120% of the monthly rent during any hold over period and to terminate the holdover tenancy at will.
2.03 Quitclaim and Surrender 1 . At termination of this lease for any reason, LESSEE shall execute, acknowledge and deliver to CITY, within five (5) days after written CITY demand, a valid and recordable quitclaim deed covering all of the premises. The premises shall be delivered free and clear of all liens and encumbrances, and in a decent, safe and sanitary condition.
At the expiration or earlier termination of this lease, LESSEE shall surrender the premises to CITY free and clear of all liens and encumbrances, except those liens and encumbrances which existed on the date of execution hereof, and in a decent, safe and sanitary condition. In the case of termination of this lease by CITY prior to the end of the specified lease term, any liens and encumbrances must be approved in writing by the City Manager.
If LESSEE fails or refuses to deliver the required deed, the CITY may prepare and record a notice reciting LESSEE'S failure to execute this lease provision and the notice will be conclusive
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evidence of the termination of this lease and all LESSEE'S rights to the premises.
2.04 ation of Ilease . Either party may terminate this lease at any time upon 120 days notice to the other. If at expiration of the 120 day time period LESSEE still has crops growing, LESSEE shall be permitted to continue raising and tending the crops and shall be permitted to harvest the crops. The right to harvest the crops shall not extend the term of the lease except that the provisions of this lease, other than the extension provision, shall apply. The right to raise, tend and harvest shall apply only to crops planted before notice to terminate has been given.
SECTION 3: RENT
3.01 Time and Place of Payment . Rent is due annually. Checks should be made payable to the City of Carlsbad and mailed or delivered to the Financial Management Director, 1200 Carlsbad Village Drive, Carlsbad, California 92008.
The place and time of payment may be changed at any time by CITY upon thirty (30) days written notice to LESSEE. Mailed rental payments shall be deemed paid upon the date such payment is postmarked by the postal authorities. If postmarks are illegible, the payment shall be deemed paid upon actual receipt by the Financial Management Director. LESSEE assumes all risk of loss and responsibility for late payment charges if payments are made by mail.
3.02 Rent.
a. Rent. The initial rent is $1925.
b. (1) nual Adiustments . Commencing on the anniversary date of this lease agreement, in years 2 and 3 said annual rent shall increase as follows: Year 2 $1,985 dollars per year Year 3 $2,045 dollars per year c. Upon termination pursuant to Section 2.04 of this lease the annual rent may be pro-rated as required.
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3.03 ent Rent If LESSEE fails to pay the rent when due, LESSEE will pay in addition to the unpaid rents, five percent (5%) of the delinquent rent. If the rent is still unpaid at the end of fifteen (15) days, LESSEE shall pay an additional five percent (5%) [being a total of ten percent (10%) 1 which is hereby mutually agreed by the parties to be appropriate to compensate CITY for loss resulting from rental delinquency, including lost interest, opportunities, legal costs, and the cost of servicing the delinquent account.
In the event that the CITY audit, if applicable, discloses that the rent for the audited period has been underpaid in excess of five percent (5%) of the total required rent, then LESSEE shall pay CITY the cost of the audit plus ten percent (10%) per year on the amount by which said rent was underpaid in addition to the unpaid rents as shown to be due CITY as compensation to CITY for administrative costs and loss of interest as previously described herein. LESSEE agrees to pay such amount and further agrees that the specific late charges represent a fair and reasonable estimate of the costs that CITY will incur from LESSEE's late payment. Acceptance of late charges and any portion of the late payment by CITY shall in no event constitute a waiver of LESSEE default with respect to late payment, nor prevent CITY from exercising any of the other rights and remedies granted in this lease.
3.04 section of Recor& . LESSEE agrees to make any and all records and accounts available to CITY for inspection at all reasonable times, so that CITY can determine LESSEE's compliance with this lease. These records and accounts will be made available by LESSEE at the leased premises and will be complete and accurate showing all income and receipts from use of the premises. LESSEE's failure to keep and maintain such records and make them available for inspection by CITY is a breach of this lease and cause for termination.
SECTION 4: ASSIGNMENT
4.01 Time js of the Fssence. . . I . . Provo swns RJnmq on
-. Time is of the essence for all of the terms, covenants and conditions of this lease and,
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except as otherwise provided herein, all of the terms, covenants and conditions of this lease shall apply to, benefit and bind the successors and assigns of the respective parties, jointly and individually.
4.02 . LESSEE shall not assign this lease, or any interest therein, and shall not sublet the premises or any part thereof, or any right or privilege appurtenant thereto, or suffer any other person, except employees, agents and guests of LESSEE, to use or occupy the premises or any part thereof, without the prior written consent of the City Manager in each instance. Such consent by the City Manager shall not be unreasonably withheld. A consent to assignment, subletting, occupation or use by any other person shall not be deemed to be a consent to any subsequent assignment, subletting, occupation or use by another person. Any such assignment or subletting without such consent shall be void, and shall, at the option of CITY, terminate this lease. This lease shall not, nor shall any interest therein, be assignable, as to the interest of LESSEE, by operation of law, without the written consent of the City Manager.
l'Assignmentl', for the purposes of this clause shall include any transfer of any ownership interest in this lease by LESSEE or by any partners, principals, or stockholders, as the case may be, from the original LESSEE, its general partners or principals.
Approval of any assignment or sublease shall be conditioned upon the assignee or sublessee agreeing in writing that it will assume the rights and obligations thereby assigned or subleased and that it will keep and perform all covenants, conditions and provisions of this agreement which are applicable to the rights acquired.
4.03 PefauUs and Remdiss .
a. Default. In the event that:
(1) LESSEE shall default in the performance of
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any covenant or condition required by this lease to be performed by LESSEE and shall fail to cure said default within thirty (30) days following written notice thereof from
CITY; or if any such default is not curable within thirty (30) days, shall fail to commence to cure the default(s) within said thirty-day period and diligently pursue such cure to completion; or
(2) LESSEE shall voluntarily file or have involuntarily filed against it any petition under any bankruptcy or insolvency act or law; or
(3) LESSEE shall be adjudicated a bankrupt; or
(4) LESSEE shall make a general assignment for the benefit of creditors;
then CITY may, at its option, without further notice or demand upon LESSEE or upon any person claiming rights through LESSEE, immediately terminate this lease and all rights of LESSEE and of all persons claiming rights through LESSEE to the premises or to possession thereof; and CITY may enter and take possession of the premises. Provided, however, in the event that any default described in Section 4.03a. (11, Default and RemeU hereof is not curable within thirty (30) days after notice to LESSEE, CITY shall not terminate this lease pursuant to the default if
LESSEE immediately commences to cure the default and diligently pursues such cure to completion.
b. Abandonment- Even though LESSEE has breached the lease and abandoned the property, this lease shall continue in effect for so long as CITY does not terminate this lease, and CITY may enforce all its rights and remedies hereunder, including but not limited to the right to recover the rent as it becomes due, plus damages.
C. -. Any CITY waiver of a default is not a waiver of any other default. Any waiver of a default must be in writing and be executed by the City Manager in order to constitute a valid and binding waiver. CITY delay or failure to exercise a remedy or right is not a waiver of that or any
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other remedy or right under this lease. The use of one remedy or right for any default does not waive the use of another remedy or right for the same default or for another or later default. CITY's acceptance of any rents is not a waiver of any default preceding the rent payment. CITY and LESSEE specifically agree that the property constituting the premises is CITY-owned and held in trust for the benefit of the citizens of the City of San Diego and that any failure by the City Manager or CITY staff to discover a default shall not result in an equitable estoppel, but CITY shall at all times, subject to the applicable statute of limitations, have the legal right to require the cure of any default when and as such defaults are discovered or when as the City Council directs the City Manager to take action or require the cure of any default after such default is brought to the attention of the City Council by the City Manager or by any concerned citizen.
4.04 ent Dow . If all or part of the premises are taken through condemnation proceedings or under threat of condemnation by any public authority with the power of eminent domain, the interests of CITY and LESSEE (or beneficiary or mortgagee) will be as follows:
a. In the event the entire premises are taken, this lease shall terminate on the date of the transfer of title or possession to the condemning authority, whichever first occurs.
b. In the event of a partial taking, if, in the opinion of CITY, the remaining part of the premises is unsuitable for the lease operation, this lease shall terminate on the date of the transfer of title or possession to the condemning authority, whichever first occurs.
C. In the event of a partial taking, if, in the opinion of CITY, the remainder of the premises is suitable for continued lease operation, this lease shall terminate in regard to the portion taken on the date of the transfer of title or possession to the condemning authority, whichever first occurs, but shall continue for the portion not taken. The minimum rent shall be equitably reduced to reflect the portion of the premises taken.
d. Award. All monies awarded in any such taking
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shall belong to CITY, whether such taking results in diminution in value of the leasehold or the fee or both; provided, however, LESSEE shall be entitled to any award attributable to the taking of or damages to LESSEE's then remaining leasehold interest in installations or improvements of LESSEE, including crops. CITY shall have no liability to LESSEE for any award not provided by the condemning authority.
e. Transfer. CITY has the right to transfer CITY's interests n the premises in lieu of condemnation to any authority entitled to exercise the power of eminent domain. If a transfer occurs, LESSEE shall retain whatever interest it may have in the fair market value of any improvements placed by it on the premises in accordance with this lease so long as such rights do not unreasonably or substantially interfere with LESSEE's operations.
f. . The exercise of any CITY right under this lease shall not be interpreted as an exercise of the power of eminent domain and shall not impose any liability upon CITY for inverse condemnation.
SECTION 5: INSURANCE RISKS/SECURITY
5.01 . LESSEE shall at all times relieve, indemnify, protect, and save CITY and any and all of its boards, officers, agents and employees harmless from any and all claims and demands, actions, proceedings, losses, liens, costs, judgments, civil fines, and penalties of any nature whatsoever in regard to or resulting from the use of the premises, including but not limited to expenses incurred in legal actions, death, injury, or damage that may be caused directly or indirectly by:
a. any unsafe or defective condition in or on the premises of any nature whatsoever which may exist by reason of any act, omission, neglect, or any use or occupation of the premises;
b. any operation, use or occupation conducted on the premises;
C. any act, omission, or negligence on the part of LESSEE, its employees, agents, sublessees,
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invitees, licensees; or
d. any failure by LESSEE to comply or secure compliance with any of the lease terms or conditions.
5.02 Insurance. LESSEE shall take out and maintain at all times during the term of this lease the following insurance at its sole expense:
a. e Insurance in the amount of not less than ONE MILLION DOLLARS ($l,OOO,OOO) Combined Single Limit Liability with an occurrence claims form, if available. This policy shall cover all injury or damage, including death, suffered by any party or parties from acts or failures to act by CITY or LESSEE or by authorized representatives of CITY or LESSEE on or in connection with the use or operation of the premises.
b. Fire.Extendednce policy on all insurable property on the premises in an amount to cover 100 percent of the replacement cost. Any proceeds from a loss shall be payable jointly to CITY and LESSEE. The proceeds shall be placed in a trust fund to be reinvested in rebuilding or repairing the damaged property. If there is a mortgage or trust deed on the leasehold in accordance with Section 4.03, Encumbrance, hereof, the proceeds may be paid to the approved mortgagee or beneficiary so long as adequate provision reasonably satisfactory to CITY has been made in each case for the use of all proceeds for repair and restoration of damaged or destroyed improvements on the premises. , # C. Cond>tion . All insurance policies will name CITY as an additional insured, protect CITY against any legal costs in defending claims, and will not terminate without sixty (60) days prior written notice to CITY. All insurance companies must be satisfactory to CITY and licensed to do business in California. All policies will be in effect on or before the first day of the lease, except "course of construction fire insurancel' shall be in force on commencement of all authorized construction on the premises, and full applicable fire insurance coverage shall be effective upon completion of each insurable improvement. A COPY of the insurance policy will remain on file with
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CITY during the entire term of the lease. At least thirty (30) days prior to the expiration of each policy, LESSEE shall furnish a certificate(s) showing that a new or extended policy has been obtained which meets the terms of this lease.
d. . . odlfication . CITY, at its discretion, may require the revision of amounts and coverages at any time during the term by giving LESSEE sixty
(60) days prior written notice. CITY's requirements shall be designed to assure protection from and against the kind and extent of risk existing on the premises. LESSEE also agrees to obtain any additional insurance required by CITY for new improvements, in order to meet the requirements of this lease.
e. Accident Reports . LESSEE shall report to CITY any accident causing more than TEN THOUSAND DOLLARS ($10,000) worth of property damage or any serious injury to persons on the premises.- This report shall contain the names and addresses of the parties involved, a statement of the circumstances, the date and hour, the names and addresses of any witnesses and other pertinent information.
f. Fai lure to Cow& . If LESSEE fails or refuses to take out and maintain the required insurance, or fails to provide the proof of coverage, CITY has the right to obtain the insurance. LESSEE shall reimburse CITY for the premiums paid with interest at the maximum allowable legal rate then in effect in California. CITY shall give notice of the payment of premiums within thirty (30) days of payment stating the amount paid, names of the insurer(s) and rate of interest. Said reimbursement and interest shall be paid by LESSEE on the first (1st) day of the month following the notice of payment by CITY.
Notwithstanding the preceding provisions of this Subsection f., if LESSEE fails or refuses to take out or maintain insurance as required in this lease, or fails to provide the proof of insurance, CITY has the right to declare this lease in default without further notice to LESSEE and CITY shall be entitled to exercise all legal remedies in the event of such default.
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5.03 Haste. Damage or Jmtruction . LESSEE agrees to give notice to CITY of any fire or other damage that may occur on the leased premises within ten (10) days of such fire or damage. LESSEE agrees not to commit or suffer to be committed any waste or injury or any public or private nuisance, to keep the premises clean and clear of refuse and obstructions, and to dispose of all garbage, trash, and rubbish in a manner satisfactory to CITY. If the leased premises shall be damaged by any cause which puts the premises into a condition which is not decent, safe, healthy and sanitary, LESSEE agrees to make or cause to be made full repair of said damage and to restore the premises to the condition which existed prior to said damage; or, at CITY's option, LESSEE agrees to clear and remove from the leased premises all debris resulting from said damage and rebuild the premises in accordance with plans and specifications previously submitted to CITY and approved in writing in order to replace in kind and scope the operation which existed prior to such damage, using for either purpose the insurance proceeds as set forth in Section 5.02, InSurance, hereof.
LESSEE agrees that preliminary steps toward performing repairs, restoration, or replacement of the premises shall be commenced by LESSEE within thirty (30) days, and the required repairs, restoration, or replacement shall be completed within a reasonable time thereafter. CITY may determine an equitable deduction in the minimum annual rent requirement for such period or periods that said premises are untenantable by reason of such damage.
SECTION 6: IMPROVEMENTS/ALTERATIONS/REPAIRS
6.01 Acceptance of Prea. By signing this lease, LESSEE represents and warrants that it has independently inspected the premises and made all tests, investigations, and observations necessary to satisfy itself of the condition of the premises. LESSEE agrees it is relying solely on
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such independent inspection, tests, investigations, and observations in making this lease. LESSEE further acknowledges that the premises are in the condition called for by this lease, that CITY has performed all work with respect to the premises, and that LESSEE does not hold CITY responsible for any defects in the premises.
6.02 Fntry and Inspection and C-e1 M&r&e- CITY reserves and shall always have the right to enter said premises for the purpose of viewing and ascertaining the condition of the same, or to protect its interests in the premises, or to inspect the operations conducted thereon. In the event that such entry or inspection by CITY discloses that said premises are not in a decent, safe, healthy, and sanitary condition, CITY shall have the right, after ten (10) days written notice to LESSEE, to have any necessary maintenance work done at the expense of LESSEE, and LESSEE hereby agrees to pay promptly any and all costs incurred by CITY in having such necessary maintenance work done, in order to keep said premises in a decent, safe, healthy, and sanitary condition. Further, if at any time CITY determines that said premises are not in a decent, safe, healthy, and sanitary condition, CITY may at its sole option, without additional notice, require LESSEE to file with CITY a faithful performance bond to assure prompt correction of any condition which is not decent, safe, healthy and sanitary. Said bond shall be in an amount adequate in the opinion of the CITY to correct the said unsatisfactory condition. LESSEE shall pay the cost of said bond. The rights reserved in this section shall not create any obligations on CITY or increase obligations elsewhere in this lease imposed on CITY.
6.03 Mntenance . Except as hereinafter provided, LESSEE agrees to assume full responsibility and cost for the operation and maintenance of the premises throughout the term. LESSEE will perform all such repairs and replacements necessary to maintain and preserve the premises in a decent, safe, healthy and sanitary condition satisfactory to CITY and in compliance with all applicable laws. Appropriate codes and standards of CITY, state and federal agencies shall be observed in
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all maintenance, repairs and replacements on the premises.
6.04 &uprovements/Alteratiow . No improvements, structures, or installations shall be constructed on the premises, and the premises may not be altered by LESSEE without prior written approval by the City Manager. Further, LESSEE agrees that major structural or architectural design alterations to approved improvements, structures, or installations may not be made on the premises without prior written approval by the City Manager and that such approval shall not be unreasonably withheld. This provision shall not relieve LESSEE of any obligation under this lease to maintain the premises in a decent, safe, healthy, and sanitary condition, including structural repair and restoration of damaged or worn improvements. CITY shall not be obligated by this lease to make or assume any expense for any improvements or alterations.
6.05 JJtilitiw. LESSEE agrees to order, obtain, and pay for all utilities and service and installation charges in connection with the development and operation of the leased premises.
6.06 Liens. LESSEE shall at all times save CITY free and harmless and indemnify CITY against all claims for labor and materials in connection with operations, improvements, alterations, or repairs on or to the premises and the costs of defending against such claims, including reasonable attorney's fees.
If improvements, alterations, or repairs are made to the premises by LESSEE or by any party other than CITY, and a lien or notice of lien is filed, LESSEE shall within five (5) days of such filing either:
a. take all actions necessary to record a valid release of lien, or
b. file with CITY a bond, cash, or other security acceptable to CITY sufficient to pay in full all claims of all persons seeking relief under the lien.
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6.07 Taxes. LESSEE agrees to pay, before delinquency, all taxes, assessments, and fees assessed or levied upon LESSEE or the premises, including the land, any buildings, structures, machines, equipment, appliances, or other improvements or property of any nature whatsoever erected, installed or maintained by LESSEE or levied by reason of the business or other LESSEE activities related to the leased premises, including any licenses or permits. LESSEE recognizes and agrees that this lease may create a possessory interest subject to property taxation, and that LESSEE may be subject to the payment of taxes levied on such interest, and that LESSEE shall pay all such possessory interest taxes. LESSEE further agrees that payment for such taxes, fees and assessments will not reduce any rent due CITY.
6.08 signs. LESSEE agrees not to erect or display any banners, pennants, flags, posters, signs, decorations, marquees, awnings, or similar devices or advertising without the prior written consent of CITY. If any such unauthorized item is found on the premises, LESSEE agrees to remove the item at its expense within 24 hours notice thereof by CITY, or CITY may thereupon remove the item at LESSEE's cost.
6.09 Qyam-s~
a. Any and all improvements, trade fixtures, structures and installations or additions to the premises now existing or constructed on the premises by LESSEE shall at lease expiration or termination be deemed to be part of the premises and shall become, at CITY's option, CITY's property, free of all liens and claims except as otherwise provided in this lease.
b. If CITY elects not to assume ownership of all or any improvements, trade fixtures, structures and installations, CITY shall so notify LESSEE in accordance with notification of termination or default and provisions of Sections 2.04 or section 4.03 of this lease or one hundred eighty (180) days prior to expiration and LESSEE shall remove all such improvements, structures and installations as directed by CITY at LESSEE's sole cost on or
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c5735 before lease expiration or termination. If LESSEE fails to remove any improvements, structures, and installations as directed, LESSEE agrees to pay CITY the full cost of any removal.
C. LESSEE-owned machines, appliances, equipment (other than trade fixtures), and other items of personal property shall be removed by Lessee by the date of the expiration or termination of this lease. Any said items which LESSEE fails to remove will be considered abandoned and become CITY's property free of all claims and liens, or CITY may, at its option, remove said items at LESSEE's expense.
d. If any removal of such personal property by LESSEE results in damage to the remaining improvements on the premises, LESSEE agrees to repair all such damage.
e. -Y necessary removal by either CITY or LESSEE which takes place beyond said expiration or termination thereof shall require LESSEE to pay rent to CITY at the rate in effect immediately prior to said expiration or termination.
f. Notwithstanding any of the foregoing, in the event LESSEE desires to dispose of any of its personal property used in the operation of said premises upon expiration or termination of this lease, then CITY shall have the first right to acquire or purchase said personal property.
SECTION 7: GENERAL PROVISIONS
7.01 Notices
a. Any notice required or permitted to be given hereunder shall be in writing and may be served personally or by United States mail, postage prepaid, addressed to LESSEE at the leased premises or at such other address designated in writing by LESSEE; and to CITY as follows:
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7.02
City Manager 1200 Carlsbad Village Drive Carlsbad, CA 92008
Copies to:
City Engineer 1200 Carlsbad Village Drive Carlsbad, CA 92008
or to any mortgagee, trustee, or beneficiary applicable, at i&ignated in such appropriate address writing by the respective party.
b. Any party entitled or required to receive notice under this lease may by like notice designate a different address to which notices shall be sent.
ce with Law . LESSEE shall at all times in the construction, maintenance, occupancy and operation of the premises comply with all applicable laws, statutes, ordinances, and regulations of CITY, County, State and Federal Governments at LESSEE's sole cost and expense. In addition, LESSEE shall comply with any and all notices issued by the City Manager or his authorized representative under the authority of any such law, statute, ordinance, or regulation.
7.03 WY Approval.. The approval or consent of CITY, wherever required in this lease, shall mean the written approval or consent of the City Manager unless otherwise specified, without need for further resolution by the City Council.
7.04 acre. LESSEE agrees not to discriminate in any manner against any person or persons on account of race, marital status, sex, religious creed, color, ancestry, national origin, age or physical handicap in LESSEE's use of the premises, including, but not limited to the providing of goods, services, facilities, privileges, advantages, and accommodations, and the obtaining and holding of employment.
8 * 7.05 Partial . If any term, covenant, condition or provision of this lease is found invalid, void or unenforceable by a court of
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17
competent jurisdiction, the remaining 'provisions will remain in full force and effect.
7.06 Fntire Understa . This lease contains the entire understanding of the parties. LESSEE, by signing this agreement, agrees that there is no other written or oral understanding between the parties with respect to the leased premises. Each party has relied on its own examination of the premises, advice from its own attorneys, and the warranties, representations, and covenants of the lease itself. Each of the parties in this lease agrees that no other party, agent, or attorney of
any other party has made any promise, representation, or warranty whatsoever which is not contained in this lease.
The failure or refusal of any party to read the lease or other documents, inspect the premises, and obtain legal or other advice relevant to this transaction constitutes a waiver of any objection, contention, or claim that might have been based on these actions. No modification, amendment, or alteration of this lease will be valid unless it is in writing and signed by all parties.
7.07 agricultural . . PYOVlSJ Om . LESSEE shall use standard agricultural practices in growing, tending and harvesting said crops and shall not use the property in such a manner as to constitute a nuisance to adjoining property owners or lessees. LESSEE shall comply with the following requirements:
a. Drip irrigation shall be used whenever possible.
b. All plastic material and debris shall be completely removed from the property at the completion of the lease.
C. No aerial application of pesticides or fertilizers shall be permitted.
d. A llResource Management System" which is a detailed report on what crops will be grown, how crops will be irrigated, what pesticides will be used, what type of fertilizer will be used and the application methods of pesticides and fertilizers, shall be
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18
submitted and approved by the Public Works Director or his designee prior to commencement of agricultural operations of the land.
e. No planting, grading, spraying, cultivating or other disturbance whatsoever shall be allowed in the wetlands area, riparian area, rare and endangered plant species area, or archaeological area.
f. Erosion shall be controlled and monitored by the Universal Soil Loss Equation provided by U.S. Soil Conservation Service. If erosion exceeds three tons per acre CITY may terminate this lease.
9-s No soil is to be
h. No land with an or more shall be
left uncropped.
average slope of 30 percent farmed.
i. All pesticide application shall be approved and supervised by the county agricultural office, with all necessary permits obtained from county in advance. A complete record of fertilization and pesticide application must be kept and made available upon request by CITY.
j. Access roads shall be limited to those approved by the Public Works Director and shall not cause erosion problems.
7.08
7.09
ultual Ooerat7om . LESSEE agrees to abide by the conditions for agricultural operations set forth herein. Failure of LESSEE to cease or cure
any unauthorized practice within 30 days after written notice to do so shall be grounds for, at the option of CITY, an immediate termination of the lease. LESSEE shall not be entitled to additional time to cure the default as otherwise provided for in Section 4.03 of this lease.
ous Weeds. Pests . LESSEE shall corrective action, to the satisfaction prevent the infestation of noxious pests.
take proper of CITY, to weeds and
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19
7.10 wrol of JAvestock . The premises shall be adequately fenced to control livestock without cost to CITY and in a manner satisfactory to CITY. LESSEE shall be solely responsible for all damage of any kind resulting from livestock leaving said premises.
. . 7.11 Employee Housba Promited . LESSEE shall not provide housing for employees or any other persons on the property. LESSEE shall not permit LESSEE's employees or any other persons to reside upon the property in any way.
SECTION 8:WARRANTY
8.01 Warrantv The CITY does not warrant that the premises are suitable for the agricultural purposes for which they are leased.
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SECTION 9: SIGNATURES
9.01 uture Page
IN WITNESS HEREOF, this lease Agreement is executed by the
City of Carlsbad acting by and through its Mayor, and by Lessee,
acting by and through its duly authorized officers.
LESSEE: CITY OF CARL-
MATTESON GREENHOUSES
Date:
BY: 5J%p¶saw BY: Qlgnature)
~Jw+d?#*r~ (l+lnt Name) P+z (rltlel
ATTEST:
BY: (Signature)
(Print Name) APPROVED AS TO FORM: RONALD R. BALL, City Attorney
(Tit
BY:
s City Attorney
EXHIBIT A: Property Description EXHIBIT B: Parcel Map
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21
* . 4 - -4 \x
’ ” CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT . No. 5907
State of
County of
On !O,/P?b!,fti ” before me, ~/an% Mill? hbfW~TAffi&.~,
E, TITLE OF OFFICER - E.G., “JANE DOE,
personally appeared Ic)acrne Rrtcre Mdksati ,
NAME(S) OF SIGNER(S)
17-u - OR -#proved to me on the basis of satisfactory evidence
to be the person(#) whose name@@-
subscribed to the within instrument and ac-
knowledged to me that@MeAhq executed
the same in mw authorized
capacity(M), and that by@-
signature F on the instrument the personti
or the entity upon behalf of which the
acted, executed the instrument.
WITNESS my hand and official seal.
SIGNATUd OF NOTARY
OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent
fraudulent reattachment of this form.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
0 INDIVIDUAL
WCORPORATE OFFICER
TITLE(S)
-
0 TITLE OR TYPE OF DOCUMENT
0 PARTNER(S) 0 LIMITED q GENERAL q ATTORNEY-IN-FACT
G TRUSTEE(S)
NUMBER OF PAGES
i E;WD.lAN/CONSERVATOR
SIGNER IS REPRESENTING:
NAME OF PERSON(S) OR ENTITY(IES)
SIGNER(S) OTHER THAN NAMED ABOVE
01993 NATIONAL NOTARY ASSOCIATION l 8236 Remmet Ave., P.O. Box 7184 l Canoga Park, CA 91309-7184
.
.
.
STATE OF CALIFORNIA )
) ss.
COUNTY OF SAN DIEGO )
65742
On January 13, 1999 before me, Karen R. Kundtz,
Assistant City Clerk of the City of Carlsbad, personally appeared
CLAUDE A. LEWIS, Mayor and ALETHA L. RAlJTElK&lNZ, City Clerk I
personally known to me I,,
z) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that
w/they executed the same in-/their authorized
capacity(ies), and that by-%&her/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.
ant City Clerk
.A
IYINUTRS OP SPECIAL MEETING OF THE 00ARO O? 0IRECTORS
A tpecttl amtin of the Board of Dtr8ctorm of .
the Corporation
at the how of
the !hcretary 0
Jh fOllwing Dirmtorr were prewnt, reprc8enting all
mmbero of thr, Board:
Thorn being no further burinerr to cm bdoro the amtfng,
upon motion duly wda l d l acamded, reetln8 rdjousnai. the Chairman datiamd the
real
, . * *
.--.
c5744
EXHIBIT “A”
All that portion of Lot “H” of the Ranch0 Agua Hedionda, in the City of Carlsbad,
County of San Diego, State of California, according to Partition Map thereof No. 823,
filed in the office of the County Recorder of said County, November 16, 1896 described
as follows:
Beginning at the most Northerly corner of Lot 163 of Terramar Unit No. 5, according
to Map thereof No. 3371 filed in the Office of the County Recorder of said County;
thence along the Easterly prolongation of the Northerly boundary of said Terramar Unit
No. 5 North 59”21’10” East 2.00 feet to the TRUE POINT OF BEGINNING; thence
continuing along said Easterly prolongation of said Northerly boundary of Terramar Unit
No. 5 North 59°21’10” East 226.92 feet to a point on the Westerly Right of Way of the
Atchiso Topeka and Santa Fe Railway Company as said right of Way was established
on September 22, 1948; thence along said Right of Way North 23”06’00” West 937.82
feet to a point; thence South 66’54’10” West 103.11 feet to the beginning of a tangent
3042 foot radius curve concave Northerly; thence Westerly along the arc of said curve
through a central angle of 5O32’30” a distance of 294.2 feet, a radial from said point
bears North 17’33’20” West; thence South 37’35’34” East 95.63 feet; thence South
3OO38’50” East 535.00 feet; thence South 38’33’38” East 218.10 feet; thence South
3OO38’50” East 150.00 feet to the TRUE POINT OF BEGINNING.
22
SEE DETAIL A
EXHIBIT 'B' G5745
SCALE I" = 200'
SCALE I" = 20'
DETAIL A