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HomeMy WebLinkAboutR-5751 Agreement to Extend Lease of San Luis Juior High School Facilities with SLO Coastal Unified School District0 o RESOLUTION NO. 5751 (1985 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING AN AGREEMENT BETWEEN THE CITY AND SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT TO EXTEND THE LEASE OF SAN LUIS JUNIOR HIGH SCHOOL GYM, TENNIS COURTS AND ATHLETIC FIELDS FOR A PERIOD OF THREE YEARS. BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. That certain agreement with addendum hereto marked Exhibit "A" and incorporated herein by reference, between the City of San Luis Obispo and San Luis Coastal Unified School District is hereby approved and the Mayor is authorized to execute the same. SECTION 2. The City Clerk shall furnish a copy of this resolution and a copy of the executed agreement approved by it to: the San Luis Coastal Unified School District; City Finance Director; and Recreation and Parks Director. On motion of Councilman Settle , seconded by Councilman Griffin and on the following roll call vote: AYES: Councilmembers Settle, Griffin, Dovey, Dunin and Mayor Billig NOES: None ABSENT: None the foregoing Resolution was passed and adopted this 6th. day of August , 1985.. ArrxuVEu: City AcWniAhItr ive Officer Fjjkatipe Dire r City A�t orney R creati & Parks Director R 5751 0 ADDENDUM TO LEASE AGREEMENT EXHIBIT "A" This is an addendum to a lease entered into between SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT as Lessor, and the CITY OF SAN LUIS OBISPO as lessee for the term of October lst,1985 through September 30th, 1988. 1. Sublet Rents Lessor shall receive 70 percent (70 %) of all Lessee sublet rents generated, provided that Lessee may deduct its costs, if any, associated with subletting before calculating the 70 percent payment. These payments shall be made to Lessor quarterly. Gross annual income from sublet rents is estimated at $500.00 annually. 2. Inkind Services to be Provided by Lessee a. All day to day maintenance of exterior fields, courts and minor repair of irrigation system. Estimated value of service for three year term: $28,650.00 3. Capital Maintenence and Improvement These maintence projects are not included in regular day -to -day operations and are specialized to keep capital facilities in safe, workable condition. a. Irrigation replacement and upgrading. Estimated value of service for three year term: b. Athletic Field renovation(semi - annual) Estimated value of service for three year term: c. Repair of fences, backstops and other facilities. Estimated value of service for three year term d. Resurfacing of the upper and lower tennis courts. Upper court ($3,200.00) Lower court ($3,700.00) e. Semi- annual debris clean -up for fire suppression. $2,400.00 $3,600.00 $900.00 $6,900.00 Estimated value of service for three year term: $2,250.00 f. Improve Gym security. M &S, Labor for installation $1,900.00 Total three year commitment for In -Kind Service and Capital Maintenence: $46,000.00 Dated: August 6, 1985 ATTEST: J CITY CLE27)IL PAMELA VOG S Equals monthly lease amount of: $1,294.00 TITLE: Mayor BOARD OF EDUCATION SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT, LESSOR By NAME: Bruce L. Johnson TITLE: Assistant Superintendent of Business Services Date: r0 i LEASE OF PROPERTY AND DEPOSIT RECEIPT THIS LEASE is made and executed in triplicate by and between the SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT, hereinafter designated as "Lessor ", and the rTTY nF CAN IIITC nRTePn , hereinafter referred to as "Lessee ". Lessee hereby offers to lease from Lessor the premises situated in the City of San Luis Obispo County of San Luis Obispo State of California described as a portion of the Gymnasium Complex, the Tennis Court Complex and the upper Athletic Field at San Luis Junior High School. upon the following terms and conditions: 1. TERM: Term of this lease shall commence on October 1 ,19 85 and expire on September 30 , 19 88 agreement of Lessor and Lessee. This term may be extended by the mutual 2. RENT: The total rent for the three year term shall be $46,000.00 which equals $ 1,294.00 per month, payable as follows: In -kind Services and Capital Maintenence as outlined in the "Addendum t6 Lease Agreement ". All rents shall be paid to the San Luis Coastal Unified School District located at 1499 San Luis Drive, San Luis Obispo, CA 93401. 3. USE: The above described premises are to be used for the purpose of City Parks and Recreation programs. r ` 4. USES PROHIBITED: Lessee shall not use any portion of the premises for purposes other than those specified hereinabove, and no use shall be made or permitted to be made upon the premises, nor acts done, which will increase the existing rate of insurance upon the property, or cause cancellation of insurance policies covering said property. Lessee shall not conduct or permit any sale by auction on the premises. S. ASSIGNMENT AND SUBLETTING: Lessee . shall not assign this lease or sublet any portion of the premises without prior written consent of the Lessor, which shall not be unreasonably withheld. Any such assignment or subletting without consent• shall be void and, at the option of the Lessor., may terminate this lease. .r 6. ORDINANCES AND STATUTES: Lessee shall comply with all statutes, ordinances and requirements of all municipal, state and federal authorities now in force, or which may hereafter be in force, pertaining to the premises, occasioned by or affecting the use thereof by Lessee. The commencement or pendency of any State or Federal court abatement proceeding affecting the use of the premises shall, at the option of the Lessor, be.deemed a breach hereof. 7. MAINTENANCE, CUSTODIAL, REPAIRS, ALTERATIONS: Lessee acknowledges that the premises are clean and in good order and repair, unless otherwise indicated herein. Lessee shall, at his own expense and at all times, maintain the premises in clean, good and safe condition. Lessee is specifically responsible to maintain glass, accessible wiring and liyhting fixtures and bulbs, accessible plumbing, carpets and floor tiles, and heating units immediately accessible to Lessee, in operating condition. In order to maintain Lessor- quality standards, Lessee shall consult with or have contracting service workers consult with Lessor before repairing or replacing any glass, accessible wiring or lighting fixtures, accessible plumbing, carpets or floor tiles, and heating units immediately accessible to Lessee. Lessor - 2 - will respond to prob ^}s reported by Lessee to the Le -r's property clerk for maintenance problems in the areas of roofing, remote heating plants, piping and plumbing which bring water or hot water to Lessee. Lessee will be responsible for Lessor costs related to repair of sewer stoppages unless such stoppages have been determined by Lessor not to have been caused by Lessee. Any proposed structural or exterior modifications must first be submitted in writing to Lessor for review and written approval, and such approval will not be unreasonably withheld. Except for modifications determined at the time of termination of this lease to be retained for the benefit of Lessor, Lessee shall surrender the premises at the termination hereof in good, clean condition as received, normal wear and tear excepted. 8. ENTRY AND INSPECTION: Lessee shall permit Lessor or Lessor's agents to enter upon the premises at reasonable times and upon reasonable notice, for the purpose Of inspecting the same, and will permit Lessor at any time within sixty (60) days prior to the expiration of this lease, to place upon the premises any usual "To Let" or "For Lease" signs, and permit persons desiring to lease the same to inspect the premises thereafter. 9. INDE7•iIIFICATION OF LESSOP: Lessee agrees to defend, indemnify and save harmless, Lessor and its officers, agents, and employees, from and against any and all claims, demands, liability, costs, expenses, damages, causes of action and judgments made and obtained by third parties or Lessee against Lessor which arise out of this lease, out of the performance or attempted performance of the provisions thereof, or Lessees or third parties use of the premises, including but not limited to, any act or omission to act by Lessee or its agents, employees, invitees, students, or independent contractors directly responsible to Lessee. 10. POSSESSION: If Lessor is unable to deliver possession of the premises at the commencement hereof, Lessor shall not be liable for any damage caused thereby, nor shall this lease be void or voidable, but Lessee shall not be liable for any rent until possession is delivered. Lessee may terminate this lease if possession is not delivered with 30 days of the commencement of the term hereof. - 3 - 11. INSURANCE: (A) LL ee shall take out and maintaintring the entire terra hereof, public liability and property damage insurance in the single limit amount of at least One i4illion Dollars (S1,000,000), provided that all such insurance shall contain the following provisions: (1) It.shall name Lessor as a named insured. (2) It shall cover complete contractual liability. (3) It shall cover personal injury as well as bodily injury. (4) It shall be on an occurrence. basis rather than accident basis. (5) It shall require the insurance carrier to give to Lessor at least 30 days prior written notice of any cancellation thereof, any reduction in cover- age, or any other major change therein.. (6) It shall cover owned, non - owned, and hired cars and trucks. (B) Lessee shall maintain Workers' Compensation insurance for their employees. (C) Lessee shall do no act pursuant to this lease until Lessee has filed with Lessor certificates of insurance certifying Lessee has all the insurance required by this lease. (0) To the maximum extent permitted by insurance policies which may be owned by Lessor or Lessee, Lessee and Lessor, for the benefit of each other, waive any and all rights of subrogation which might othe noise exist. 12. UTILITIES: Lessor agrees that he shall be responsible for the payment of all utilities, unless otherwise agreed upon, including water, gas, electricity, heat and other services delivered to the premises including normal refuse. Lessee agrees to pay $20 for each room per' night where equipment or lights are found to be left on after 10 p.m. or after the premises have been vacated for the night by the Lessee, whichever is later. 13. SIGNS: Lessor reserves the exclusive right to the roof, side and rear walls of the premises. Lessee shall not construct any projecting sign or awning without the prior written consent of Lessor and city planning department which consent by Lessor shall not be unreasonably withheld. - 4 - 0 14. ABANDONMENT OF PREMISES: Lessee shall not vacate or abandon the premises at any time during the term hereof, and if Lessee shall abondon or vacate the premises, or be dispossessed by process of law, or otherwise, any personal property belonging to Lessee left upon the premises shall be deemed to be abandoned, at the. option of Lessor. 15. CONDECONATION: If any part of the premises shall be taken or condemned for public use, and a part thereof remains which is susceptible of occupation here- under, this lease shall, as to the part taken, terminate as of the date the condemnor acquires possession, and thereafter Lessee shall be required to pay such proportion of the rent for the remaining term as the value of the premises remaining bears to the total value of the premises at the date of condemnation; provided, however, that Lessor may at his option, terminate this lease as of the date the condemnor acquires possession. In the event that the demised premises are condemned in whole, or that such portion is condemned that the remainder is not susceptible for use hereunder, this lease shall terminate upon the date upon which the condemnor acquires possession. All sums which may be payable on account of any condemnation shall belong to the Lessor, and Lessee shall not be entitled to any part thereof, provided, however, that Lessee shall be entitled to retain any amount awarded to him for his trade fixtures or moving expenses. 16. TRADE FIXTURES: Any and all improvements made to the premises during the term hereof shall belong to the Lessor, except trade fixtures of the Lessee. Lessee may, upon termination hereof, remove all his trade fixtures, but shall repair or pay for all repairs necessary for damages to the premises occasioned by removal. 17. DESTRUCTION OF PREFIISES: In the event of a partial destruction of the premises during the term hereof, from any cause, Lessor shall forthwith repair the same, provided that such repairs can be made within sixty (60) days under existing governmental laws and regulations, but such partial destruction shall not terminate this lease, except that Lessee shall be entitled to a proportionate reduction of rent while such repairs are being made, based upon the extent to which the making - 5 - of such repairs shall ,-5- nterfere with the business of l ee on the premises. If such repairs cannot be made within said sixty (60) days, Lessor, at his option, may make the same within a reasonable time, this lease continuing in effect with the rent proportionately abated as aforesaid, and in the event that Lessor shall not elect to make such repairs which cannot be made within sixty (60) days, this lease may be terminated at the option of either party. In the event that the building in which the demised premises may be situated is destroyed to-an extent of not less that one -third of the replacement costs thereof, Lessor may elect to terminate this lease whether the demised premises be injured or not. A total destruction of the building in which the premises may be situated shall terminate this lease. In the event of any dispute between Lessor and Lessee with respect to the pro- visions hereof,*the matter shall be settled by arbitration in such a manner as the parties may agree upon, or if they cannot agree, in accordance with the rules of the American Arbitration Association. 18. INSOLVENCY: In the event that a receiver shall be appointed to take over the business of the Lessee, or in the event that the Lessee shall make a general assignment for the benefit of creditors, or Lessee shall tale or suffer any action under any insolvency or bankruptcy act, the same shall constitute breach of this lease by Lessee. 19. REMEDIES OF OWNER ON DEFAULT: In the event of any breach of this lease by Lessee, Lessor, besides other rights and remedies he may have, shall have the immediate right of re -entry and may remove all persons and property from the premises. Such property may be moved and stored in a public warehouse or else:•ihere at the cost of, and for the account of Lessee. Should Lessor elect to re- enter,'or should-he take possession pursuant to legal proceedings or any notice provided by law, he may either terminate this lease or may from time to time, without ter-iinat- ing this lease, relet said premises, or any part thereof, for such term or terms (which may be for a term extending beyond the term of this lease) and at such rental or rentals and upon sS ,'other terms and conditions as', .)ssor, in his sole discre- tion, may deem advisable with the right to alter or repair the premises upon such reletting. In such event, Lessee shall be immediately liable to pay to Lessor, in addition to any other amounts due hereunder: (a) the cost and expense of such re- letting and such alterations or repairs, and any amount by ahich the rent reserved herein for the period of such reletting, but not beyond the term hereof, exceeds the amount agreed to be paid as rent for such period; or (b) at the option of the Lessor. rents received by Lessor from such reletting shall be applied first to the repayment of indebtedness other than rent due hereunder, second to costs and expenses of re- letting and alterations or repairs, and third to the payment of rent due and unpaid hereunder, and the residue, if any, shall be held by Lessor and applied in payment of future rent as the same may become due and payable. Lessee shall be credited only with rent actually received by Lessor. Lessee shall, in such event, pay any de- ficiency between the amount. due from Lessee to Lessor and the amount credited. No such re -entry or taking possession by Lessor shall be construed as an election to terminate this lease unless written notice of such intention is given, or unless termination be decreed by a court of competent jurisdiction. Not,A thstandina any such reletting without termination, Lessor may at any time thereafter elect to terminate this lease on account of such previous breach. Should Lessor at any time terminate this lease for any breach, in addition to any other remedy he may have, he may recover from Lessee all damages he may incur by reason of such breach, in- cluding the cost of recovering the premises, and including the worth at the time of such termination, or at the•time of an award if suit be instituted to enforce this provision, of the amount by which the unpaid rent for the balance of the term exceeds the amount of the rental loss for the balance of the term which the Lessee proves could be reasonably avoided. 20. SECURITY: The security deposit set forth above, if any, shall secure the performance of the Lessee's obligations hereunder. Lessor may, but shall not be obligated to, apply all or portions of said deposit on account of Lessee's obliga- tions hereunder. Any balance remaining upon termination shall be returned to -7- � J Lessee. Lessee shall not have the right to apply the Security Deposit in payment of the last month's rent. 21. ATTORNEYS' FEES: In case suit should be brought for recovery of the premises, or for any sum due hereunder, or because of any act which may arise out of the possession of the premises, by either party, the prevailing party shall be entitled to all costs incurred in connection with such action, including a reasonable attorney's fee. 22. WAIVER: No failure of Lessor to enforce any term hereof shall be deemed to be a waiver. 23. NOTICES: Any notice which either party may or is required to give, shall be given by mailing the same, postage prepaid, to Lessee at the premises, or Lessor at the address shown below, or at such other places as may be designated by the parties from time to time. 24. HOLDING OVER: Any holding over after the expiration of this lease, with the consent of Lessor, shall be construed as a month -to -month tenancy at a rental of per square foot per month, otherwise in accordance with the terms hereof, as applicable. 25. POSSESSORY INTEREST TAX: In the event property leased by Lessee is taxed, it is agreed that Lessee shall pay such tax. 26. TIME: Time is of the essence of this lease. 27. HEIRS, ASSIGNS, SUCCESSORS: This lease is binding upon and inures to the benefit of the heirs, assigns and successors in interest to the parties. 28: Lessor agrees to discuss with the Lessee and give Lessee notice of any plans for placing potential new lessees adjacent to existing Lessee's room(s). Similarly, discussion and notice will take place before any proposed uses are implemented by Lessor of the adjacent rooms. in 0 X ENTIRE AGREEMENT: The foregoing constitutes the entire agreement between the parties and may be modified only by a writing signed by both parties. The following Exhibits, if any, have been made a part of this lease before the parties' execution hereof: Dated: August 6, 1985 ATTEST: / � I CITY LERK PAMELA OGE By _ NAME: TITLE: Mayor Billi LESSEE BOARD OF EDUCATION SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT, LESSOR By NAME: Bruce L. lohncnn- TITLE: Assistant Superintendent of- Raciness Services Date: