HomeMy WebLinkAbout1998-10-13; Housing & Redevelopment Commission; 302; Lease Agreement - Bauer Lumber Building.
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JITG. 10-13-98 LEASE AGREEMENT FOR USE OF CARLSBAD
REDEVELOPMENT AGENCY- OWNED PROPERTY
2787 STATE STREET (BAUER LUMBER BUILDING) IEPT. H/RED
HOUSING ANu REDEVELOPMENT COMMISdON - AGENDA BILL
DEPT. HD.
CITY ATTY.
CITY MGRs$$
RECOMMENDED ACTION:
ADOPT Resolution No. 301 , authorizing the execution of a lease agreement with
Beach Sleep Furniture to lease the Carlsbad Redevelopment Agency property located at 2787 State
Street, (known as the Bauer Lumber Building) for the purposes of operating a retail furniture business.
BACKGROUND:
On November 20, 1997, the Carlsbad Redevelopment Agency assumed ownership of the property
located at 2787 State Street, known as the Bauer Lumber Building. The site was acquired by the
Redevelopment Agency with the intent of facilitating development of a new commercial project on the
site as well as other properties at the corner of Grand Avenue and State Street at some future date in
time. Attached as Exhibit 2 to this report is a project boundary map and a conceptual plan for the
proposed new development for information purposes.
Before the proposed new commercial development can be initiated, a variety of additional actions will
need to occur. These actions include, but are not limited to 1) the addition of property to the project
boundaries; 2) discussions and agreements with North County Transit District regarding joint
development of parking facilities; 3) the selection of a private developer; 4) further development of the
project plans; and, 5) processing of all necessary discretionary and building permits. Acquisition of the
Bauer Lumber Property represents a “first step” towards Agency facilitation of development in the
subject area. Due to the number of complex activities which remain to be completed, it is anticipated
that it will be approximately four to five (5) years before new commercial development can be initiated
within the subject property boundaries. Therefore, a decision needed to be made as to how the subject
property (Bauer Lumber) would be used on an interim basis. This decision was made on April 7, 1998
when the City Council, acting as the Housing and Redevelopment Commission, authorized staff to
advertise availability of the Bauer Lumber Building for a retail business use and to negotiate with an
acceptable tenant for lease of the building for a period of approximately 5 years.
On April 30, 1998, Redevelopment Staff distributed a Request for Proposals package to all persons
who had indicated a prior interest in interim use of the Bauer Building as well as to other persons who
staff identified as potential tenants for the site. The deadline for submitting a proposal to the
Redevelopment Agency was June 30, 1998. The Agency received a total of six (6) proposals for use of
the building. Staff reviewed each of the proposals in detail and met with the potential tenants as
appropriate. After much review and consideration, Beach Sleep Furniture was selected by staff as the
proposed new tenant for the subject building. Staff has completed negotiations with Beach Sleep
Furniture and is now presenting the negotiated lease agreement to the Housing and Redevelopment
Commission for final approval.
TENANT INFORMATION:
Beach Sleep Furniture currently operates two stores in Pacific Beach; the first store opened in 1993
and the second in 1995. According to Beach Sleep Furniture, their business is geared to a retail
furniture audience that can be classified as “young” and “upscale”. Furniture styles are selected with
younger clients in mind, focusing on trends and fashions for first-time homebuyers and newer entrants
to the market place. The current product mix includes furniture for the living, bedroom, and dining
rooms. Mattresses, futons, tables, rustic furniture, lamps and accessories are also available. The sales
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volume for the business was $1.7 million in 1996 and $2.5 million in 1998. Further information on
Beach Sleep Furniture and their business operations is attached as Exhibit 3 to this report.
Staff completed credit and reference checks on Beach Sleep Furniture. These checks found that
Beach Sleep Furniture has been an excellent tenant at the two current store locations in Pacific Beach
and has the financial ability to make the negotiated lease payments to the Redevelopment Agency.
LEASE AGREEMENT TERMS:
Staff has negotiated the attached lease agreement between the Carlsbad Redevelopment Agency and
Beach Sleep Furniture for use of the Bauer Building. The agreement requires final approval by the
Housing and Redevelopment Commission.
The key terms of the agreement are as follows:
1. The entire premises (9750 square feet) shall be used solely for retail furniture sales by the single
tenant Beach Sleep Furniture. No other uses or subleases are permitted.
2. The lease term is for 5 years beginning January 1, 1999 and ending December 31, 2003, with 1
year extensions permitted at the discretion of the Redevelopment Agency, per approval by the
Housing and Redevelopment Commission. Upon execution of the agreement, the tenant will be
allowed to occupy the building for the purpose of constructing appropriate tenant improvements.
3. The rental rate for the IS’ year shall be $9,000 per month (approximately 924 per square foot) and
increases to $10,129 per month (approximately $1.04 per square foot) by the start of the 5th year.
The requirement to make rental payments shall begin on January 1, 1999. However, the tenant
shall receive a rent abatement for the first 5 months (January - May, 1999) of the lease in
exchange for the tenant completing all building improvements at own cost. On June 1, 1999, the
first payment of $9,000 shall be paid to the Agency, and then all subsequent payments as noted
within the rent schedule set forth in the agreement. The rental payment increases by 3% a year.
4. The agency required improvements include: 1) modification of the restrooms to comply with latest
disabled access requirements; 2) relocation of south side exit door or addition of an exit door to
meet current building code requirements for exits; 3) modification of the north wall to meet the
requirements of fire resistive exterior walls; and 4) removal/demolition of the existing mezzanine
area. The tenant is financially responsible for making these improvements as well as any other
desired tenant improvements for operation of the business. These improvements are typical of
code compliance improvements that would be required of any private property owner within the
Village Area. As noted above, the tenant will receive a rent abatement for the first 5 months of the
agreement in exchange for the tenant completing all of the required tenant improvements, which
include the code compliance improvements noted herein. Staff received a construction estimate
which indicated that the code compliance improvements would cost approximately $25,000. This
amount was included in the rental abatement amount of $45,000. It is common for property owners
to require tenants to complete required/desired tenant improvements and then to allow for a rental
abatement.
5. Both the agency and the tenant will have a one-time right to terminate the lease by first giving 90
days written notice to the other party and payment of a $25,000 penalty for early termination.
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SUMMARY AND STAFF RECOMMENDATION:
Execution of the attached lease agreement will allow use of the Bauer Lumber building for retail
purposes while staff continues efforts to facilitate new commercial development at and around the site
The lease will also allow the Agency to recover the acquisition costs related to the Bauer Lumber
property.
Per Redevelopment Law, the Agency is permitted to “rent, maintain, manage, operate, repair and clear
real property purchased for the purposes of redevelopment”. Therefore, it is appropriate for the Agency
to enter into a lease agreement with Beach Sleep Furniture. Staff is recommending approval of the
lease agreement as presented and attached to this report.
ENVIRONMENTAL REVIEW
The Planning Director has determined that the activity, which is a continuation of an allowable land use
pursuant to the Carlsbad Village Redevelopment Area Master Plan and Design Manual and does not
require discretionary approval, is not subject to review under the California Environmental Quality Act,
pursuant to 15061 (b)(3) of the CEQA Guidelines.
FISCAL IMPACT:
The acquisition costs and costs to remove the asbestos within the Bauer Building amounted to
approximately $509,000. Over the five year period of the subject lease agreement, the Redevelopment
Agency will receive $528,372 total in rental payments from Beach Sleep Furniture. The monthly rent for
the first year is $9,000 per month and increases to $10,129 by the first month of the fifth year. The
monthly rental schedule increases by 3% per year. The rental rate is consistent with market rents
within the Village Area. Typical rents for 1000 to 2000 square foot retail space (non-restaurant) range
from $1 .OO to $1.50 a square foot. Staff received input which indicated that larger spaces such as that
provided by the Bauer Building (9750 square feet) typically have a rental rate which is lower, such as
606 a square foot. Therefore, staff believes that the rental rate proposed for the subject building is
consistent with the market and is not being subsidized by the Agency.
The City of Carlsbad will receive additional sales tax revenue for operation of the subject business.
Other than miscellaneous maintenance costs for the building which may occur over the 5 year period
of the lease, the Carlsbad Redevelopment Agency has no other costs associated with execution of the
subject lease. There will be no costs to the General Fund.
EXHIBITS:
1. Housing and Redevelopment Commission Resolution No. 30 I
2. New Commercial Development Project Boundary Map and Conceptual Plan.
3. Beach Sleep Furniture Information/Description.
4. Lease Agreement between Carlsbad Redevelopment Agency and Beach Sleep Furniture.
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l II HOUSING AND REDEVELOPMENT COMMISSION RESOLUTION NO. 301
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A RESOLUTION OF THE HOUSING AND REDEVELOPMENT COMMISSION OF
THE CITY OF CARLSBAD, CALIFORNIA AUTHORIZING EXECUTION OF A LEASE
AGREEMENT BETWEEN BEACH SLEEP FURNITURE AND THE CARLSBAD
REDEVELOPMENT AGENCY TO LEASE AGENCY-OWNED PROPERTY LOCATED
AT 2787 STATE STREET FOR THE PURPOSES OF OPERATING A RETAIL
FURNITURE BUSINESS.
WHEREAS, the Carlsbad Redevelopment Agency assumed ownership of the property located at
2787 State Street, known as the Bauer Lumber Building on November 20, 1997; and,
WHEREAS, the subject site was acquired by the Redevelopment Agency with the intent of
facilitating development of a new commercial project on the site as well as other properties at the corner
of Grand Avenue and State Street at a future date; and,
WHEREAS, it is anticipated that it will be approximately four to five years before the area will
be able to support additional commercial development at the subject site; and,
WHEREAS, there is a need to make use of the building/property for retail purposes until such
time at which new commercial development may occur at the site; and,
WHEREAS, California Redevelopment Law permits the Agency to rent, maintain, manage,
operate, repair and clear real property purchased for the purposes of redevelopment.
NOW, THEREFORE, BE IT RESOLVED by the Housing and Redevelopment Commission of
the City of Carlsbad, California, as follows:
1. That the above recitations are true and correct.
2. The Commission hereby determines that the building located at 2787 State Street shall be
leased for retail business purposes to Beach Sleep Furniture for a five year period.
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HRC Resolution No. 301
3. The Commission hereby authorizes the Chairman of the Housing and Redevelopment
Commission to execute the approved lease agreement between the Carlsbad Redevelopment
Agency and Beach Sleep Furniture for lease of the Agency-owned property located at 2787
State Street, in substantially the form presented to the Commission and subject to approval of
the City Attorney.
PASSED, APPROVED AND ADOPTED at a regular meeting of the Housing and
Redevelopment Commission of the City of Carlsbad, California, on the 13th - day of October , 1998 by the following vote to wit:
AYES: Commissioners Lewis, Finnila, Nygaard and Kulchin
NOES: None
ABSENT: Commissioner Hall
- EXHIBIT 2
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EXHIBIT 3
BEACH SLEEP FURNITURE
Proprietor Name:
Home Address:
Home Phone:
Lorrin Meronoff
755 Van Nuys Street
San Diego, CA 92109
(619) 488-0278
Business Name: Beach Sleep Furniture (Sole Proprietorship)
Business Address
Business Phone:
Business Fax:
1011 Grand Avenue
San Diego, CA 92109
(619) 272-4500 (619) 2724572
Additional Locations: 1345 Garnet Avenue
San Diego, CA 92109 (2nd Store)
4670 Santa Fe Street
San Diego, CA 92109 (Warehouse)
E-mail address: beachl@kts.com
Website domain: wwwheachsleencom
Description of Business/Background
Background: (19761993) Considerable experience in the whoLesale and
manufacturing aspects of the furniture business.
1993: Opened 1” Beach Sleep Furniture Store at 1345 Garnet Avenue (Pacific
Beach), San Diego. Current lease is through March, 2003.
1995: Opened 2”d Beach Sleep Furniture Store nearby at IO11 Grand Avenue, San
Diego. Current lease is through January, 2001.
1997: Leased 7600 square foot warehouse at 4670 Santa Fe Street, San Diego.
Current lease is through December, 2002.
Our business is geared to a retail furniture audience that can be classified as “young” and
“upscale.” Pricing is very aggressive, while the retail climate is relaxed and ‘Sm.” This
is accomplished because:
(1) Sales assistants are on salary and not paid on commission.
(2) The business is stnrctured for high volume; prices are clearly marked at
discount pricing. “Negotiating” for “deals” is not necessary.
(3) Styles are selected with younger clients in mind. We stay focused on the trends
and fashions that first time buyers and newer entrants to the marketplace desire.
This enables us to achieve a “/ookJJ not seen in other tirniture stores that are
trying to reach a much broader client spectrum.
(4) A comprehensive advertising plan is utilized. Our advertising budget includes
The San Diego Union, The San Diego Reader, Pennysaver, Television’ Radio,
Direct Mail, and the World Wide Web.
(5) A large inventory backs up our floored merchandise so that, in most cases, we
can deliver prompt/y and et%cient/y.
(6) Our excellent financial condition and credit history allows us to procure
merchandise’ advertising, trucks, computers, supplies, and personnel as the
business may require.
Why do we expect to be successhl in Carlsbad Village?
Our experience in the furniture business has been vita/ to our past success and should lay
a strong foundation for our future growth.
We consider the North San Diego County Coastai region to have many attributes similar to
our current trading area. We feel there is a “/Zesty/e” along the coast that a/igns itself
closely with the attitude expressed in our retail business. Though we might have similar
success in many in/and communities to the east, we are specifically seeking to expand in
an area that best accommodates our existing business.
Though our advertising has been highly Iimited in San Diego North County we do have a
large number of existing customers a/ready from the region. Many of our North County
customers have expressed strong feelings concerning the potential for our viability in the
area. With the exception of a large cluster of furniture retailers in the San MarcosMwy 78
sector there are few other options for the North County customers we might serve. In terms
of advertising, we can routinely add zone options to our current campaigns.... For example,
add North County San Diego Union, Daniels Cablevision, etc. to our cunent advertising mix.
As such, we would expect to receive at least 50 customer visits per weekday, and at least
100 visits per weekend day.
Normai Hours of Operation:
Monday-Friday IOAM- 8 PM
Saturday IOAM- 7PM
Sunday IlAM-6PM
Current Product Mix:
Living Room Furniture
Bedroom Furniture
Dining Furniture
Mattresses
Futons
Tables
Rustic Furniture
Lamps
Accessories
Sales History:
1996 Sales Volume:
1997 Sales Volume:
1998 Sales Volume:
Approx. 1.7 Million
Approx. 1.9 Million
Approx. 2.5 Million (estimate)
Credit References: See credit references sheet.
Respectfully Submitted,
Lorrin Meronoff 8-20-98
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Home of COOL STUFF & HOT PRICES
OUR COMMERCIALS 1 UPHOLSTERED FURNITURE 1 RUSTIC PINE 1 FUTONS 1 TABLES
DINING ROOM 1 BEDROOM 1 MATTRESSES 1 CONTACT 1 LOCATIONS I SEARCH
.._............ ~.. ~. I-- l
WHAT MAKES BEACH SLEEP FURNITURE UNIQUE?
CUTTING EDGE DESIGNS.... Our customers demand the latest in
fashion and design. We feature the newest styles including Rustic
Pine, Slip Cover Sofas, Brushed Steel Lamps and Accessories, plus
Practical Futon Sofa-Beds.
LOW, LOW PRICES.... We keep our overhead LOW! Furniture typically
requires a high mark-up to pay for Rent, Advertising, Warehousing, and
Sales Commission. We limit our floor space, advertising, and warehouse
to minimal proportion. None of our staff is paid on Commission!
HIGH QUALITY PRODUCTS.... We never sacrifice QUALITY. Shop and
compare in the “fancy” stores. We feature Sofas and Sofa Sleepers from
Sealy-Klasussner and Jonathan Louis, Bedroom Furniture from Belle Reve
and Boyd, top quality mattresses, dining sets, and much, much more!
HOW DID WE GET SO GOOD AT THIS.... In a word - EXPERIENCE!
Our staff has a world experience in the Furniture Industry - in manufacturing,
wholesale, as consultants, and in retail.
A BREATH OF FRESHAIR... You’ll never feel pressured at Beach Sleep.
The values we offer will be readily apparent. Since we don’t have hyped-up
sales and promotions you can count on the best furniture deal 365 days a year!
E-mail: Beach Sleep
BEACH SLEEP BEDROOM FURNITURE
BEACH SLEEP has a broad range of Bedroom Furniture to suit your needs.
Here are a few examples of our in-stock program:
For an upscale, contemporary look many of our
customers prefer the Belle Reve Lido Collection pictured
here. These pieces are made of choice Natural Pine
with a clear coat of lacquer to produce
a stunning finished appearance. The cases are crafted
with a “bowed” effect in a curved, graceful design. Other
quality features include “dovetail” drawer construction
and an Accuride slide system.
As you can see, the Bed Frame is outstanding.
The Perdue Shaker Series offers budget pricing in a
classic Mission Style decor. A wide range of pieces are
available in this collection as well as a choice of color
finishes. Choose from All Natural, Green and Cherry, or
Blue and Natural. The pieces are available individually or
as a set.
Prices start at just $77 per piece.
West Coast Furniture features the St. Andrews Collection which we are proud to offer at Beach
Sleep. This is a huge collection incorporating bedroom and related items in pine construction.
Central to the group is the outstanding Sleigh Bed which features optional iron trim or solid panel
construction. Other pieces include dressers, mirrors, chests, armoires, night stands, and a
lingerie chest.
Coordinating TV centers and desks are also available.
The items each come in two finishes, and it’s so popular that we stock them both!
Hidalgo
Television $3 6800
Armoire
38W x 50H x 27D
I fwwl5L~~P
FUPNITU~5
SPECIAL
VALUES%; Francisco TV
!6W x 33H x
Sabina Ti-unk $ ( 16W x 9H x 12D 38
HANDCRAFTED $;$ Home Fwnishings 13W x 47H x 1:
Each unique piece is handcrafted by artisans and considered
an original piece of art. Solid pine construction with hand
forged antiqued hardware and hand rubbed wax finish.
10 Immediate Availability on all items!
Come,In Todav!
Sale Prices for 14 Days 0
Acapulco Trunk
39W x 16H x 17D
Bandera
Timk Table $188” ~~~~,e $148°0 EiEEi Table $188” Eri% Table $188”
36W x 17H x 36D 24L x 2OW x 2OH 47L x 32W x 18H 47L x 16W x 30H
2 PACIFIC BmCH I OCATtONS
1245 OARNeT AveNUL (61#) 274-3408
1011 DR&ND AVEWU t (MS) 2724!SOO
VISE Mastercard Discover Amorlcrn Cxproms Cash Chock u FI
www.bead&co.cam 1 nrt ARDVAUAU AtSl c V%IDAIII?UAIIT @AU NCfih PN#UW H
Beautifulh
J
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YLarcos - _L
Five Drawer Chest
33W x 35H x 19D
SHOWN RIGHT
Barcelona
Queen Bed $4480°
Headboard 52”H
Footboard 4O”H
62” Wide Alvarado
Console Table
Manchester
7 Drawer Chest
$44EP
36W x 59H x 23D
$1980°
63W x 14D x 30H
Mexicali
Telephone Stand $1680°
24W x 35H x 17D
Manchester
Night Stand
$12800
x 27Hx 17D 25w
Victoria
itertainment Armoire
$5480°
x 71H x 24D
Morelia Entertainment Armoire Sale
Francisco kcase ?5780°
49W x 79H x 24D
Holds 35” Television
Christobal Five Drawer Cabinet
$ 98 00
18W x 25H s 12D
x 71H x 13D
COPY
CARLSBAD REDEVELOPMENT AGENCY
LEASE TO
LORRIN MERONOFF - DJ3.k BEACH SLEEP FURNITURE
OF PWPERTY LQCATED AT
2787 STATE $TR@?I’
CARLSBAD, CALfFC?RNlA 92003
2787 State Street Lease Agreement
Final Revisions: lO/ 9/ 98
LEASE AGREEMENT
THIS LEASE AGREEMENT, made and entered into this 15th day of October, 1998, by and
between the Carlsbad Redevelopment Agency, hereinafter called “Lessor”, and Lorrin
Meronoff, a sole proprietor, d.b.a. Beach Sleep Furniture, hereinafter called “Lessee”, without
reference to number or gender, for property located at 2787 State Street, Carlsbad, California,
92008 (a.k.a. Bauer Lumber Building).
WITNESETH:
WHEREAS, the Carlsbad Redevelopment Agency is the owner of the real property located at
2787 State Street, Carlsbad, California, 92008 (a.k.a. Bauer Lumber Building); and
WHEREAS, Lessee desires use of said Lessor premises to operate a business (as defined below);
NOW, THEREFORE, it is understood and a@eed by and between the parties hereto as follows,
to wit:
TO HAVE AND TO HOLD @id leased pmr.r&es for the term of this 1~ and upon the
conditions as fulIaws:
1. TERM: The term of the lease shall be for a period of five (?!I) years @mrne,mz@g on January
1, 1999 an$, ending ok December 31, 2003. ISrovfded tenant has cornI th@ necessary
and requtied interior improvements and obtained a certificate of afcr.rpaxl~y pior to the
commencement date stated herein, Lessee shall be entitled to co&uct busmess prior to
commencement date. Upon the expiration of this lease, the Lessee s&4 have t&e option to
extend the term for additional one (1) year periods at the discretion of the Lessor, upon the
same terms itnd conditions stated herein, notwithstanding the r~,~~~~ of monthly
lease payments.. Lessee must exercise this option in w&ng at lea& K@ days prior to the
lease terms eXpiratio&
2. RENT:
(a) As and for the rent, Lessee agrees ts pr@ to Lessor the Sum @f &-te thousand dollars
($9,000.00) per month for the first year. The rental p$ym&& shall be abated for the
first five months. 0-n or before Jw 1, @99+ the f&z payment of $9,000.00 per month
will be paid and all sub$eqm@$ ~~~~~~ ~ha!,l be payable in advance on or before
the first day of each and every mon& dtirlng the term of this Agreement.
(b) Rent shall be delivered to the Finance Department of the City of Carlsbad at 1200
Carlsbad Village Drive, Carlsbad, California, 92008. The designated place of
payment and filing may be changed at any time by Lessor upon ten (10) days
written notice to Lessee. Lessee assumes all risk of loss if payments are made by
mail.
(c) In the event Lessee is delinquent in remitting the rent due in accordance with the
rent provisions of this lease, then the rent not paid when due shall bear interest at
the rate of Ten Per Cent (10%) p er annum from the date due until paid. Provided,
however, that the Executive Director of Carlsbad Redevelopment Agency shall have
2787 State Street Lease Agreement
Final Revisions: 10/g/98
2
the right to waive for good cause any interest payment upon written application of
Lessee for any such delinquency period.
(d) Lessee agrees to pay annual increases in monthly lease payments as set forth in
Exhibit “A” attached hereto and by this reference made a part hereof.
(e) Lessee agrees to pay a Security Deposit in the amount of one month’s rent or nine
thousand dollars ($9,000.00) to be paid upon execution of this lease agreement,
Lessee shall submit the Security Deposit in the form of a cashier’s check
simultaneously, and or in conjunction with signed lease agreement. Lessor shall not
cash nor deposit said Security Deposit until lease agreement is signed by Lessor,
resulting in the full execution of this agreement. Security Deposit shall be held in an
interest bearing account (at tl~ 8ame rata the- City uf Carlsbad earns on it’s money)
in which upon expiratisti of this lease, Lessee shaIl retain all interest accrued over
said lease term. Lessor shall mt be required to keep the tiurity Deposit separate
from it’s gene& accounts.
(f) If Lessae fails to pay Rent, or otl~rwise defaults under this lease, Lessor may use,
apply ur retain aI1 or any portion of said Security Deposit for the payment of any
amount due Lessor or to reimburse or compensate Lessor for any I$&lity, expense,
loss or damage which Lessor may suffer or incur by reason thereof. If Lessor uses or
applies all or any portion of said Security Deposit, Lessee &h&l within ten (10) days
after written request therefor deposit monies with Lessor suffi ta restore said
Security Deposit to the full amount required by this Lease. If the Base Rmt increases
during the term of this Lease, Lesgee shaI1, upon written request fgom Lessor,
deposit additional moneys with Lessor SO that the total ~mmzrrt of the Security
Deposit shall at all time bear the same proportion to the increased Bwse Rent as
initial Security Deposit bore to the initial Base Rent.
3. USE: Lessee-agrees that the leased premi@es shall- be used onlymzd ez&m&ely for retail
furniture sales and for no other purposes whatsoever without:the~wriW consent of Lessor.
4. EARLY TERMltLJATIOrV: Lessee or Lessor shall Wve & right to tern&ate lease by first
giving ninety (90) days written not&e t?o the &her party and payment of twenty-five
thousand dollars ($25&00,0@ for penalty of early termination. In the event either party
exercises the option of e&y tern-&ratio& the party seek&~ termination shall pay fifty
percent (50%) or twelve thousand f&e &.md.red dollam ($12,500.00) at the time written
notification of lease termination is given and shall pay the remaining fifty percent (50%) of
the penalty payment or twelve thousand five hundred dollars ($12,500.00) upon expiration
of said 90 day notification period. Any remaining monies via security deposit shall be
applied toward and deducted from the second penalty payment of twelve thousand five
hundred dollars ($12,500.00). Lessor may exercise it’s right of early termination for the sole
purpose of proceeding with it’s master plan for redevelopment.
5. IMPROVEMENTS: As consideration for the rent abatement in months one (1) through five
(5) of the first year, Lessee agrees to obtain required City of Carlsbad permits and licenses
and complete construction of the following tenant improvements prior to occupancy:
(a) Mezzanine shall be removed/demolished;
(b) Restrooms shall be modified to comply with the latest disabled access requirements;
2787 State Street Lease Agreement
Final Revisions: 10/g/98
3
(c) Exit door on the south side of the building shall be moved further from the front
(State Street) exit door, or an additional exit door shall be added at least 70 feet from
either door, to meet current building code requirements for exits; and
(d) The north property line wall shall be modified to meet the requirements of fire
resistive exterior walls. This includes modifying the exterior finish, or treating the
interior finish to achieve a one hour fire resistive equivalency; adding a parapet
finished with a non-combustible surface, or treating the roof framing in accordance
with allowable building code exceptions.
Lessee may, at its own expense, make additional interior alterations or changes in the
leased premises or cause to be built, made or installed thereon any structures, machines,
appliances, utilities, signs or other impr~ements ‘necessary or desirable for the use of said
premises and may alter and.re@r @r$ SW& ~~~~~~~h~es or other improvements;
provided, however, th& w &&&orrs &I@ thangw s%$ made and no structures,
machines, applim# rH@&ies, s&& or &her impr made, built or
installed, and no z&.z+I~ repairs th@$& &$I be made e
prior approval8 fi* ^’ r
acknowledges ?h~& in a
a.ti@ $%oper ~-~~~ from
ng all necessary
t&~ ,City .@f Carlsbad. Lessor
to thk ~~~~ Q (a) t$~ot.$gh $43 c&this Paragraph 5,
Lessee inter%&.to &&aU “show win&*$‘~ ~.~~ edst and
subject to p&r approv&l of Lessor. Such in&&&on will b
and the work perfokned with proper City of Carlsbad permits.
paint the exterior of @re premises in *cord- with standards ,2&epta,b& & Lessor and
with prier approval Qf Lessor. ‘. I ; .’ .r
Lessee sh@l be responsible for manufactu&g and installation o
with the signage regulations set forth within the Carlsbad ttillage
Plan and l&&n Manual. Lessee further agrees that ,no tier:
catching spinners O(I” other advertising devices, nor any temporary s
to be flown, +&&ed8 placed, or-erected cm the premQ&&&cept i&
of Carlsbad VfEhge Redevelopment Master .P%na&‘Design
t ownership as
e by Lessee shall be
. Lessor may, at any
art of the Lessee owned
Paragraph 6(b)
hereof, all Lessee o t the expiration
or termination of this Lease, become the property of Lessor and be surrendered by
Lessee with the premises.
(b) Removal. By delivery to Lessee of written notice from Lessor not later than sixty
(60) days prior to the end of the term of this Lease, Lessor may require that any or all
Lessee owned alterations or utility installations be removed by the expiration or
termination of this Lease. Lessor may require the removal at any time of all or any
part of any Lessee owned alterations or utility installations made without the
required consent.
(c) Surrender/Restoration. Lessee shall surrender the premises by the expiration date
or any earlier termination date, with all of the improvements, parts and surfaces
thereof broom clean and free of debris, and in good operating order, condition and
state of repair, ordinary wear and tear expected. “Ordinary wear and tear” shall not
2787 State Street Lease Agreement
Final Revisions: 10/g/98
4
include any damage or deterioration that would have been prevented by good
maintenance practice. Lessee shall repair any damage occasioned by the
installation, maintenance or removal of trade fixtures, Lessee owned alterations
and/or utility installations, furnishings, and equipment installed by or for Lessee
and the removal, replacement, or remediation or any soil, material or groundwater
contaminated with hazardous substance (as defined in Paragraph 23) by Lessee.
Trade fixtures shall remain the property of Lessee and shall be removed by Lessee.
The failure by Lessee to timely vacate the premises pursuant to this Paragraph 6 (c)
without the express written consent of Lessor shall constitute a holdover under the
provisions of Paragraph 32 below.
7. PARKING: Lessee understands the%%’ &.rt~ $#iva& parking available on the subject
property. Lessee further ~d~s~~~~~~~~~~~~~ “E,t@s., lease agreement in no way
constitutes the granting Q$! ‘?&& . ,@& of @@lit ~~~.~~t to the property. Lessor
shall be responsible far ~o@ssm e for a “no parking”
zone to the rear of the @uilding to the existing delivery
door. , 1
8. RIGHT TQ ~R’~~~~~~ Upc& ~~-~~ this 1
granted acc$atS to the $Wmises to initiate+ &&struct and
improvements as ou@&ed in the Improvements Paragra
improvemehti t&all Complete priop to vaney of the buildin@. ,, ;‘ \: - 1.x
9. BROKEW’9 CO~$SION: Any and all broker’s commissions sh@bp paid
_’
10. WAIVE& 68 Rf%%XATION BENEFITS: Lessee understands
entered mtu &x+ a &$ecified period of time ir’l order to pvide int
a@ t&e, L~Mw’ &ooses to develop th@
,~~~~lop~~~~ h/faster Plam *Lessee
W&%&d in th e a I @Z lif ornitt ~I&&xMion Assist
Section 7260P &&G), .’
11. LIENS: Lessee &&&es t&t it ~~~~~ tin-ted hold L
it against all claims ‘&r lalX$ og
s and indemnify
alterations on the lea~.*~~s~~
ments, repairs, or
t such claims, and
reasonable attorney’s fees , , ‘,’ : .- -., :;, _ :,,; 3s :, ’ i ,.(x i ,. /( i ” j* _ ‘$ i ,,v <* 1 -. i”“.
In the event that any lien or levy“&- &&y &&&e ‘Whatsoever is filed against the lease
premises or the leasehold interests of the Lessee there, the Lessee shall, upon written
request of Lessor, deposit with Lessor a bond conditioned for the payment in full of all
claims upon which said lien or levy has been filed. Such bond shall be acknowledged by
Lessee as principal and by a corporation, licensed by the Insurance Commissioner of the
State of California to transact the business of a fidelity and surety insurance company, as
surety. Lessor shall have the right to declare this lease in default in the event the bond
required by this paragraph has not been deposited with the Lessor within ten (10) days
after written request has been delivered to Lessee.
12. LEASE ENCUMBRANCE: Lessee understands and agrees that it cannot encumber the
lease, leasehold estate and the improvements thereon by a deed of trust, mortgage or other
security instrument. If any deed of trust, mortgage or other security instrument that
2787 State Street Lease Agreement
Final Revisions: 10/9/98
5
encumbers the lease, leasehold estate and the improvements thereon is entered into by
Lessee, Lessor shall have the right to declare this lease in default.
13. ASSIGNMENT-SUBLEASE: Lessee shall not assign or transfer the whole or any part of
this lease or any interest therein, nor sublease the whole or any part of the leased premises,
nor contract for the management or operation of the whole or any part of the leased
premises, nor permit the occupancy of any part thereof by any other person or business
entity, nor permit transfer of the lease by merger, consolidation or dissolution, without the
consent of Lessor, first had and obtained in each instance.
14. DEFAULT: It is mutually understood and agreed that if any default be made in the
payment of rental herein provided or in the performance of the covenants, conditions, or
agreements herein (any covenant ~&%&be construed and considered as a
condition), or should Lem f&I to -Y &e,u@s and purposes for which
said premises are lea&& as above s&ted, &rtd such default s&&l m.2 be cured within or ten
(10) days after written notice there&f F default b in the ~f~~~ of the use obligation
provisions pursu&W &? P*&graph 214 ti th,%.l+@e, at: th&ty (90) day& after written notice
thereof if def&t i9 fn the payment sf tit;:@ ‘m @W ~~&s@xsw~ & &&y other covenant,
condition and agreements (zany covenant ent shall I% mnstrued @d considered as
a conditio$ Lessor shall have the right to iately termin&t-& this &a&e! ad that in the
event of SW% term&t&on, Lessee shall have no further rights hereunder;&@ Lessee shall
thereupon forthwith remove all personal pm- from s&d pr&@es
further ri&t to claim thereto, and Lessor shall immediately there
the courts, haue the tight to reenter and take possession of the leas
further have all other rights and remedies as provided by law, inclu
the right to recover damages from Lessee in the amount necessary t
for all the detriment proximately caused by the Lessee’s failtare ta
under the lease or which in the ordinary course of .thfngs would IXZ #l&y to result
therefrom )i ,’
In the event of the term@Wtion- of this lease pursuant to the p ~~~:~~~is paragraph,
Lessor shall have any tigh@fio which it would be entitledm@@ event& the expiration or
sooner termination of th& lea=;
15. BANKRUPTCY: In the ev@nt: &,qs an assignment for the
benefit of creditors, files 8 p&&&n e subject of a bankruptcy
proceeding, reorganization, ajrrar, ‘ieceivership, liquidation, or
dissolution proceedings, or in the e sale of Lessee’s interest under this
lease, Lessor shall have the right to declare this lease in default.
16. USE OBLIGATION: Lessee shall actively and continuously use and operate the premises
for the limited particular exclusive use as expressly provided for in the Use Paragraph 3 of
this lease, except for failure to so use caused by acts of God. Lessee, however, shall not and
is expressly prohibited from using the premises for any other purpose or use whatsoever,
whether it is purported to be in addition to or in lieu of the particular exclusive use
expressed in said Use Paragraph 3.
17. MAINTENANCE AND REPAIR: As part of the consideration for the leasing thereof,
Lessee agrees to assume full responsibility for the interior operation, maintenance,
including painting, and repair of the premises, throughout the term and without expense to
2787 State Street Lease Agreement
Final Revisions: 10/9/98
6
the Lessor. Lessee will perform all interior maintenance, repairs and replacements,
including glass, necessary to maintain and preserve the premises in a good, safe, healthy
and sanitary condition satisfactory to Lessor and in compliance with all applicable laws.
Lessee further agrees to provide approved containers for trash and garbage and to keep
premises free and clear of rubbish and litter, or any other fire hazards. Lessor shall be
responsible for all exterior maintenance, including roof repairs. Notwithstanding, Lessor
shall not be required at any time to maintain or to make any improvements or repairs
whatsoever on or for the benefit of the leased premises.
For the purpose of keeping the premises in a good, safe, healthy and sanitary condition,
Lessor shall have the right but not the duty, to enter, view, inspect, determine the condition
of and protect its intere
in the condition describe
(10) days after written during the term of the
lease for the prem&e& in the condition
described, Lessor n%%y requu ormance bond, to
assure prompt cor&#ion ti
adequate, in Les~r’s ~l&tion,
this section shall not cn&e‘ar’iy obligations or sor elsewhere
in this Lease.
18. TAXES &+$D UIII.$@ES:
premises. -Les&&&
taxes and usand dollars,
accordance with
titilities, including but not
limited to trash, water, gas and z T ., _: ;”
19. CONFORMANCE WITH RULES AND REGULATIONS: Lessee agrees that in all
activities on or in connection with the leased premises and in all uses thereof, including the
making of any alterations or changes and the installation of any machines or other
improvements, it will abide by and conform to all ordinances, rules and regulations
prescribed by the City of Carlsbad, including, but not limited to, sign regulations and
requirements for outdoor display set forth within the Carlsbad Village Redevelopment
Master Plan and Design Manual, and any applicable laws of the State of California and
Federal Government, as any of the same now exist or may hereafter be adopted or
amended.
20. NON-DISCRIMINATION: Lessee agrees not to discriminate against any person or class
of persons by reason of sex, color, race, religion, or national origin. If the use provided for
2787 State Street Lease Agreement
Final Revisions: 10/9/98
-
21.
22.
23.
24.
25.
26.
7
in this lease allows the Lessee to offer accommodations or services to the public, such
accommodations or services shall be offered by the Lessee to the public on fair and
reasonable terms.
PARTIAL INVALIDITY: If any term, covenant, condition, or provision of this lease is held
by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of
the provisions hereof shall remain in full force and effect and shall in no way be affected,
impaired, or invalidated thereby.
HOLD HARMLESS: Lessee shall defend, indemnify, and hold harmless Lessor, its officers
and employees against causes of action, pense of any kind,
including reasonable attorney’s fe person or persons,
including without limi itees resulting directly or
indirectly from granting m the use and operation
of the leased premise@ & tiy defect Q# :
HAZARDOUS ~~A~~E~~ ~~~~~~ ‘$8
shall mean a$%y ~~~~~~~,~~~~~~,‘~~ $q$$
transportat$& w r~~~~~-~~er by itse& @++
be on the p~em&es, Q &%er: (i) potentially
the envir&@%ent M% t&$premises, (ii) regulated or monitore
or (iii) a b&&S. fur p&entiaI hability -of TA&&.* &irir; go@
under a# @@c&&,Statute or common law th&ry. Lessee shall’
Hazardous ‘~S&I&an& to be spilled or released in, on, under;
(including Mrc&gh the pl umbing or sanitary Sewer system) a&
expense, t&e &Il mvestigatory and/or remedial action reas&b
or not form&~ o&@ed or rquired, for the, cleanup &~‘&y @ant
o~~&@itoring of the pre*$*or
c&&%uted ta by Lessee$&&perta
ght c&&o the pmr&e% during the
in this Lease
covenants and co
administrators,
cessors, executors,
0 all easements
and rights-of-way now existing or heretofore granted or reserved by Lessor in, to or over
the leased premises for any purpose whatsoever, and shall be subject to such rights-of-way
for reasonable access, sewers, pipelines, conduits and such telephone, cable television,
telegraph, light, heat or power lines as may from time to time be determined by Lessor to be
necessary.
Lessor agrees that such easements and rights-of-way shall be so located and installed as to
produce a minimum amount of interference to the business of Lessee.
INSURANCE: Lessee shall maintain insurance acceptable to Lessor in full force and effect
throughout the term of this lease. The policies for said insurance shall, as a minimum,
provide the following forms of coverage:
2787 State Street Lease Agreement
Final Revisions: 10/9/98
8
(a) Comprehensive General Liability - (covering premises and operations) in the
amount of not less than One Million Dollars ($l,OOO,OOO) combined single limit. This
policy shall cover any injury or damage, including death, suffered by any party, for
any act, committed by anyone, including Lessor.
(b) Property Insurance - Lessee shall obtain and maintain insurance coverage on all of
(4
Lessee’s personal property, trade fixtures, and Lessee owned alterations-and utility
installations. Such insurance shall be full replacement cost coverage with a
deductible of not to exceed $l,OOO.OO per occurrence. The proceeds from any such
insurance shall be used by Lessee for the replacement of personal property, trade
fixtures and Lessee owned attemt@ns a& &l&y installations. ., .= -, ._,
Lessor will be r @idBe f@ pzovi$$%g co ’ re itself, exclusive of
the items re be cm@ by L&see
;:,‘, i,,‘_-_ ..i ‘_*’
come and extra
indirect loss of
sees in
es as a
(d) l&i&&+e 06 lTAsurance - Certificatea~ and endorsements ‘-“. .’
L&&or 4&&%+5ng the existence of the necessary insurar$e
f&3 Fit% Lemr during the entire term.of this lease. AU in
Lessor @ w additional insured, pr&eet Lessor against
clairrrsp ,& k$ll not terminate without written.:Aotiee to;
7.2
msurance
Lessor shall n&&n &e at a’ny time to review the cov
insurance requ&& he~%&yt, I,&;$ the opinion of the visions in this
lease do not prc%4& a
the leased prem&&
coverage, form and
reasonable but shall be “Qainst the kind and extent
of risk which exist at th ;-“~k. ’ ,
Lessor shall notify Lessee in writing of changes in the insurance requirements and, if Lessee
does not deposit certificates/endorsements evidencing acceptable insurance policies with
Lessor incorporating such changes within sixty (60) days of receipt of such notice, this lease
shall be in default without further notice to Lessee, and Lessor shall be entitled to all legal
remedies.
The procuring of such required policies of insurance shall not be construed to limit Lessee’s
liability hereunder, nor to fulfil1 the indemnification provisions and requirements of this
lease. Notwithstanding said policies of insurance, Lessee shall be obligated for the full and
total amount of any damage, injury, or loss caused by negligence or neglect connected with
this lease or with the use or occupancy of the leased premises.
2787 State Street Lease Agreement
Final Revisions: 10/9/98
9
27.
28.
29.
30.
Lessee agrees not to use the premises in any manner, even if use is for purposes stated
herein, that will result in the cancellation of any insurance Lessor may have on the premises
or on adjacent premises, or that will cause cancellation of any other insurance coverage for
the premises or adjoining premises. Lessee further agrees not to keep on the premises or
permit to be kept, used, or sold thereon, anything prohibited by any fire or other insurance
policy covering the premises. Lessee shall, at its sole cost and expense, comply with any
and all requirements, in regard to premises, of any insurance organization necessary for
maintaining fire and other insurance coverage at reasonable cost.
WARRANTIES-GUARANTEES-COVENANT% Lessor makes no warranty, guarantee,
covenant, including but not limited to coven&%&-nf t&le and quiet enjoyment, or declaration
of any nature whatsoever ~~~,~.~ ~~~~~~~‘~ d premises, including the
physical condition there#f C$ any clWiW which Y&&Y in leased premises, and it is
agreed that Lessor &I$ r~l be <tieMe for arty $us costs which may be
incurred by Less@ by r&son of anr &&~ ~~~~~ C# CO
DAMAGE Tt$ t%!i ~T~~~~~~ 0g
destruction by Be, t$@- k&nents, aAS of
located wi&& the &I&$& premises Lessee @r&I?, within nin
diligently ‘@ue to edfzlpletion the repair, replacement, or reco
necessary t~*perr~@t ,$zll USF? and o~euptir~?p of the de-d
required b$? @& leml Repair, replacement ot: reconstruction
demised pre&s -4~11 be accomplished in a manner and act
Lessor; prMd&, however, Lessee shall not be obligated to rep
improve-e f#hhng their destruction in whole or substsnti
the loss i$ CCYW$&# by insumce required to be carried @@ Lestee
of this Led (KM wo#l b& wezed whether or not SW& rquir
not t& r&tore, repair or rec&&&izt as L - ’ .*&“; ‘Y, s’ i
.
i , **‘;: ..;
QUITCLAIM ~~~~B~~~~~ EST UPON TE termination of
this lease for any‘ B!zi$C%% in
Lessee, Lessee sh& Gxec#e
receipt of written
interest of Lessee in the Should Lessee fail or
refuse to deliver the re e and record a notice
reciting the failure of Lessee to execut”e,‘& d&Z and deliver such deed and said notice
shall be conclusive evidence of the termination of this lease and of all right of Lessee or
those claiming under Lessee in and to the demised premises.
PEACEABLE SURRENDER: Upon the expiration of this lease or sooner termination or
cancellation thereof, as herein provided, Lessee will peaceably surrender said premises to
Lessor in as good condition as said premises were at the date of this lease, ordinary wear
and tear expected. If the Lessee fails to surrender the premises at the expiration of this lease
or the earlier termination or cancellation thereof, Lessee shall defend and indemnify Lessor
from all liability and expense resulting from the delay or failure to surrender, including,
without limitation, any succeeding Lessee’s claims based on Lessee’s failure to surrender.
2787 State Street Lease Agreement
Final Revisions: 10/9/98
31.
32.
33.
34.
35.
10
WAIVER: Any waiver by Lessor of any breach by Lessee of any one or more of the
covenants, conditions, or agreements of this lease shall not be nor be construed to be a
waiver of any subsequent or other breach of the same or any other covenant, condition or
agreement of this lease, nor shall any failure on the part of Lessor to require or exact full
and complete compliance by Lessee with any of the covenants, conditions, or agreements of
this lease be construed as in any manner changing the terms hereof or to prevent Lessor
from enforcing the full provisions hereof. The subsequent acceptance of rent hereunder by
Lessor shall not be deemed to be waiver of any preceding breach by Lessee of any term,
covenant, or condition of this lease, other than the failure of Lessee to pay the particular
rental so accepted, regardless of Lessor’s knowledge of such preceding breach at the tune of
acceptance of such rent.
NO RIGHT TO HOLD 0.V
any part thereof beyond $$,@
holds over, then
ession of the premises or
In the event that Lessee
ercent (150%) of the
the expiration or
t.by Lessor to any
following upon occupancy:
Lessee to l@ve independent tests perfor&ed prior to
are in the condition &rmnted. . . I
*.‘, ’ _ : i- ‘: 1 )’ _I -, *> : . _.j 5’ _- ‘:. : c / ; ,*
see re@esents ai-fcr.w&Su& that i
‘tests,3nvestigations and observati
Lessee further a&no ses are in the
and that Lessee do@ _,: -.,‘;‘,“l. , __, y~:~ _ ,:t ” ‘;; : ._* . . > -, : % : 1 j .: + <
this Lease occupy the
premises quietly and n ch disturbs the quiet
enjoyment of the property for the L&&V@, ~~~~, any neighbor or other tenant of Lessor.
ENTIRE UNDERSTANDING: This lease contains the entire and only understanding and
agreement of the parties, and Lessee, by accepting the same, acknowledges that there is no
other written or oral understanding or agreement between the parties with respect to the
demised premises and that this lease supersedes all prior negotiations, discussions,
obligations and rights of the parties hereto. No waiver, modification, amendment or
alteration of this lease shall be valid unless it is expressly in writing and signed by
authorized persons of the parties hereto. Each of the parties to this lease acknowledges that
no other party, nor any agent or attorney of any other party, has made any promise,
representations, waiver or warranty whatsoever, expressed or implied, which is not
expressly contained in writing in this lease, and each party further acknowledges that it has
2787 State Street Lease Agreement
Final Revisions: 10/9/98
36.
37.
11
not executed this lease in reliance upon any collateral promise, representation, waiver or
warranty, or in reliance upon any belief as to any fact not expressly recited in this lease.
TIME IS OF THE ESSENCE: Time is of the essence of each and all of the terms and
provisions of this lease and this lease shall insure to the benefit of and be binding upon the
parties hereto and any successors of Lessee as fully and to the same extent as though
specifically mentioned in each instance, and all covenants, stipulations and agreements in
this lease shall extend to and bind any assigns and sublessee of Lessee.
NOTICES: Notices given or to be given by Lessor or Lessee to the other may be personally
serviced upon Lessor or Lessee or any person hereafter authorized by either in writing to
receive such notice or may be served by ~~~~.i~~~ addressed to the appropriate address
hereinafter set forth or e may hereafter designate
by written notice. If se s after deposit in the U.S.
Mail, service will b~~~~~~~~d co@%$%$ted &d bind@ on th~“$%&&,served.
_i ) . (. I“ . II’ ‘* :’ .._ TO LESSEE 1. ‘: ,- -, j . . .’ .‘, ~’ ‘l
Lorrh lq&&~-l- ‘1 ;., ‘: . ‘:
1011 C&qd Av&$u-@
San ~~,.~~~~a 92109
LESSEE: ;
DATE:
C&&ad, C&forr& :92&J&
AGENCY :s ? ’ ;;, ,+ .;: -: : :
APPROVED AS TO FORM
BY:
DATE:
:~ 1’ - .
‘and Lessor
RONALD R. BALL
CITY ATTORNEY
DATE: /o* 1138,
must be
2787 State Street Lease Agreement
Final Revisions: 10/9/98
CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT
.
State of C~LI~L#& Q)
county of a/)&$) J
On %ai?lw% before me, Name, tile - e.g., Jo&n Dae, Notary Public
personally appeared 8’ b&d k@&cp/ &- - Name(s) of Signers(s)
CI Personally known to me Q&
B Proved to me on the basis of satisfactory evidence
to be the person
me that he/ /
9 whose narnep) is/y subscribed to the within instrument and acknowledged to
jzeY@ y executed the same in his&%r/th~ authorized capacity(i@, and that by his/
jkr/V@r signaturep) on the instrument the personp), or the entity upon behalf of which the person($j
acted, executed the instrument. n
The &ta below is not required by law, however it may prove valuable to persons
relying on the document and could prevent fraudulent reattachment of this form,
SIGNATURE AUTHORITY OF SIGNER:
D rNDIvlDuAL
0 CORPORATE OFFICER(S)
Title(S)
CIPARTNER
0 I!JM~TED
0 GENERAL
Q AITORNEY-IN-FACT
Cl TRUSTEE(S)
Q GUARDIAN/CONSERVATOR
Jtr &HER: u#@j&&
NAME(S) OF PERSON(S) OR ENTMIB) SIGNER IS REPRESEN’lWG:
DESCRIPTION OF ATTACHED DOCUMENT
&.b%sTD MetcepWA
TITLE OR TYPE OF DOCWENT
m
ER OF PAGES
DATE OF DOCUMENT
SIGNER(S) OTHER THAN NAMED &KWE:
City of Carlsbad
October 23, 1998
Mr. Lorrin Meronoff
Beach Sleep Furniture
1011 Grand Avenue
San Diego, CA 92109
RE: LEASE AGREEMENT FOR PROPERTY AT 2787 STATE STREET, CARLSBAD
Enclosed for your records are copies of the Carlsbad Housing and Redevelopment
Commission adopted Resolution No. 301 and agenda bill which went before the
Commission on October 13,1998.
Also enclosed is a copy of the fully executed lease agreement for the property located
at 2787 State Street, and commonly referred to as the Bauer Lumber building.
If you have any questions regarding the lease of this building, please call Ms. Debbie
Fountain, Housing and Redevelopment Director, at (760) 434-2810.
KATHLEEN D. SHOUP
Sr. Office Specialist
1200 Carlsbad Village Drive - Carlsbad, CA 92008-1989 - (760) 434-2808 @