HomeMy WebLinkAboutPrado Lease Agmt approved 11.20.07LEASE OF A PORTION OF REAL PROPERTY LOCATED AT 45 PRADO ROAD FOR
THE PRADO DAY CENTER
APN 53- 051 -45
This lease is made and entered into this day of &h , 2008by and
between the CITY OF SAN LUIS OBISPO (hereinafter "CITY "), a municipal corporation, and
the ECONOMIC OPPORTUNITY COMMISSION OF SAN LUIS OBISPO (hereinafter
"EOC "), a community based non - profit organization.
WITNESSETH:
WHEREAS, the CITY entered into a lease with the EOC, dated January 12, 2000, for the
operation of a homeless services day center ( Prado Day Center) located on 43 Prado Road and
known as a portion of APN 53- 051 -45, San Luis Obispo County, California; and
WHEREAS, this lease agreement including two three (3) year extensions will expire on
December 1, 2007 and the EOC has requested a new lease for an additional three (3) year period;
and
WHEREAS, the EOC is the County's Head Start and Community Action program
agency and the administrator of the Maxine Lewis Memorial Emergency shelter and has
administered the Prado Day shelter for the last seven (7) years; and
WHEREAS, the EOC has the expertise, service agreements and work force required to
provide the necessary services to run the Homeless Services Day Center;
NOW, THEREFORE, in consideration of the promises and agreements, covenants and
conditions stated herein, the parties agree as follows:
PREMISES LEASED
City leases to Lessee that portion of APN #53- 051 -45, real property as shown on Exhibit
A to this lease, subject to any rights and/or easements as may be legally recorded with the
County Recorders Office for the county of San Luis Obispo.
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Prado Day Center Lease
2. TERM
The term of this lease shall commence on December 1, 2007 and extend for a period of
three (3) years.
3. RENEWAL
This lease may be renewed for two (2) additional three (3) year periods, each renewal
period to be by mutual agreement of the Parties.
4. RENTAL
Lease of this property for the purposes described herein shall be at no charge to the
Lessee. Lessee agrees to provide homeless services at no charge to the City and community as a
public benefit.
5. UTILITIES
Lessee shall make all arrangements for any payment due for all utilities and services
furnished to or used by it on the leased premises. However, the City shall provide water, sewer,
and trash services at no cost to Lessee. The City assumes no responsibility and makes no
warranties regarding any utilities, and Lessee hereby holds the City harmless in this regard.
6. PROPERTY OR POSSESSORY INTEREST TAX
If this lease should result in the assessment of taxes for this real property, including, but
not limited to, possessory interest taxes, Lessee agrees that any tax liability will result in an
increase in the amount of rent due to the City, equal to the amount of any such tax liability.
USE OF PROPERTY
Lessee shall be entitled to use said property for the purpose of operation of a homeless
day services center, and for no other purpose. Operation of the center shall consist of the
provision of social services to the homeless, including food services. Lessee agrees that the use
of said property as described shall be for the sole purpose of supporting Lessee's non - profit
homeless services and programs and in no way shall be used for "for profit" activities. Lessee
further agrees that a full description of the use of said property, and activities and improvements
occurring on the property will be provided to the City Administrative Officer annually, and, any
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Prado Day Center Lease
change in use will be submitted to the City for approval prior to commencement of that use or
improvement.
8. ALTERATIONS AND REPAIRS
Lessee shall be responsible for any and all alterations, improvements, or repairs to the
property necessary for the orderly conduct of Lessee's operations. Lessee shall provide to the
City for approval, prior to commencement of any work or activity, a complete description of any
physical alteration of the property. Lessee further agrees to remove and return to original, any
alterations to said property made by Lessee as requested by the City upon termination of this
Lease at Lessee's sole cost. Lessee shall be responsible for any and all repairs of said property
and improvements there -on. Any and all improvements and alterations to said property shall be
made in conformance to applicable laws and requirements. Lessee shall be responsible for
obtaining any necessary permits and the cost of such permits as may be necessary to complete
the improvements and/or alterations.
9. MAINTENANCE OF PROPERTY
Lessee shall maintain property in an orderly and first class condition at all times,
satisfactory to the City Administrative Officer or his /her designee. Lessee shall maintain adjacent
properties free of litter resulting from Lessee's activities. Lessee shall at all items maintain
property in a manner consistent with any applicable Federal, State, or City laws, regulations, or
grant requirements and in such a manner as to ensure the protection of the public, lessee's
employees, volunteers, invitees, and the environment.
10. TRAFFIC CONTROL
Lessee shall be responsible for control of traffic related to Lessee's operations. Lessee
shall establish adequate controls, traffic flow, parking locations and procedures so as not to
interfere with the flow of traffic on Prado Road and the Water Reclamation Facility (WRF)
access road. Lessee shall provide and maintain the controls, clearances and visibility necessary to
ensure the safe and orderly ingress and egress of the public, employees, volunteers and invitees
to and from the property. All vehicles shall be properly parked within the boundaries of the
leased property. No vehicles shall be parked on the WFR access road. Lessee shall at all times
ensure a minimum clearance of twenty (20) feet of available roadway for Fire access on the
WRF access road.
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Prado Day Center Lease
11. COORDINATION WITH CITY
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Lessee shall coordinate with the City any activities which have potential to impact in any
way City operations. Upon notification by the City, Lessee shall immediately cease any
operation deemed to interfere with the conduct of the orderly business of the City in its
operations.
12. PERMITS
Lessee shall maintain any and all permits necessary for the conduct of the Lessee's
business at the site as required by Law.
13. INDEPENDENT CONTRACTOR
Lessee and all of its agents, representatives, and participants in any manner connected
with Lessee's operations shall be independent contractors or volunteers for Lessee and shall not
for any purpose be considered as employees or agents of City.
14. SUBJECT TO ALL LAWS AND BINDING
This lease shall be subject to and subordinate to all Federal, State and City laws, rules,
regulations and grant requirements, including any and all conditions imposed by the City
Council.
15. TERMINATION FOR CAUSE
Each of the terms, covenants and conditions of this lease are mutual and dependant, and
any breach of any of the said terms, covenants or conditions shall constitute grounds for the
termination, cancellation or forfeiture of this lease.
16. INDEMNIFICATION
Lessee shall defend, indemnify and save harmless the City and its agents, officers and
employees against any and all claims, demands, damages or liabilities (whether or not caused by
negligence) including civil or criminal fines, arising out of or relating to any of the following:
a) any damage, injury.or death suffered by any person or corporation and caused by
any act or omission of Lessee, its agents, employees, volunteers, tenants, invitees or assigns
under this agreement;
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Prado Day Center Lease
b) any damage caused by any act or omission of Lessee, its agents, employees,
volunteers, tenants or assigns under this agreement to any property of the City and its agents,
officers and employees;
C) any damage, injury or death suffered by Lessee, its agents, employees, volunteers,
tenants, invitees or assigns under this agreement , except for claims and demands resulting from
the sole negligence or willful misconduct of the City and its agents, officers, and employees;
d) Lessee's violation of any law, any regulation or any term or condition of any
permit.
Lessee shall also defend, indemnify and save harmless the City and its agents, officers and
employees against any and all expense of investigating and defending against such claims and
demands, including, but not limited to, attorney's fees and costs.
17. INSURANCE
Lessee shall provide insurance, including but not limited to workers compensation
insurance, if necessary, as described in Exhibit B to this lease, Insurance Requirements for
Operation & Maintenance Contracts, including additional coverage for Automobile.
18. ASSIGNMENT
Lessee shall not assign this lease in whole or in part nor sublet the premises in whole or
in part without the prior written consent of the City. If the City consents to a sublease, Lessee
shall remain, responsible for the performance of all the terms, covenants and conditions of this
lease including and in particular the use of the property as described in Paragraph 7 of this
agreement. If Lessee assigns or subleases said lease or any portion thereof without the prior
written consent of the City, then said sublease or assignment shall be void, and the option of the
City, this lease shall immediately cease and terminate. .
No interest of Lessee in this lease shall be assignable by operation of law. Each of the
following acts shall be considered an involuntary assignment:
a) If lessee is or becomes bankrupt or insolvent, makes an assignment for the benefit
of creditors;
b) If a writ of attachment or execution is levied on this lease;
C) If, in any proceeding or action in which Lessee is a party, a receiver is appointed
with authority to take possession of the premises.
Prado Day Center Lease
Any involuntary assignment shall constitute a default by lessee and City shall have the
right to elect to terminate this lease.
19. INSPECTION
The City shall have the right at all reasonable times to enter upon the property for the
purpose of inspecting the same, determining that all the terms, covenants and conditions of this
lease are being kept and performed by Lessee.
20. ENFORCEMENT
The City Administrative Officer or his/her designee shall have all necessary authority to
enforce the terms, covenants and conditions of this lease. Upon notice of violation of any of the
terms, covenants and conditions of this lease, Lessee shall take whatever actions are necessary to
correct the violation. All violations shall be corrected within thirty (30) days from the date of
Notice and Lessee shall provide to the City a report outlining the cause of the violation and
corrective measures taken to remedy the violation and prevent its recurrence.
Significant violation shall be defined as any violation of the terms, covenants and
conditions of this lease occurring and noticed more than two times in any calendar year, or,
violation and notice of violation of any three terms, covenants and conditions of this lease
occurring within an calendar ear, or, failure to correct a violation of any of the terms, covenants
and conditions of this lease within 90 days from the date of Notice. Significant violations as
defined herein will result in a hearing before the Council of the City of San Luis Obispo to
determine appropriate remedies up to and including termination of this lease as defined under
Paragraph 15 of this agreement.
21. LIENS
Lessee shall keep the premises free from any liens arising out of any work performed for,
materials furnished to, or obligations incurred by Lessee and shall hold City harmless against the
same.
22. TERMINATION WITHOUT CAUSE
Prado Day Center Lease
The City Council may by motion terminate this agreement at its sole discretion after a
public hearing held upon thirty (30) days written notice to Lessee. Said termination shall be
effective ninety (90) days after City council action to terminate the Lease.
23. APPEALS
Actions and determinations by the city Administrative Officer or his /her designee,
relative to the terms, covenants and conditions of this lease may be appealed to the City Council
pursuant to the provisions of Municipal code chapter 1.20.
24. NOTICE
Any notice required or permitted to be given or served under the terms hereof shall be
considered delivered when sent registered, return receipt requested, through the United States
mail to:
City
City Administrative Officer
City of San Luis Obispo
990 Palm Street
San Luis Obispo, CA 93401
(805) 781 -7114
25. ENTIRE AGREMENT
Lessee
Economic Opportunity Commission
1030 Southwood Drive
San Luis Obispo, CA 93401
This lease and attached Exhibits A and B contains the entire agreement of the parties on
the matters covered and it may not be modified except by written agreement.
IN WITNESS WHEREOF, the parties hereto have executed this agreement on the date first
above written.
CITY OF SAN LUIS OBISPO
Prado Day Center Lease
City Clerk
APPROVED AS TO FORM:
an P. Lowell
City Attorney
A Municipal Corporation
b. I ' I -
Mayor
ECONOMIC OPPORTUNITY COMMISSION
OF SAN LUIS OBISPO
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