HomeMy WebLinkAbout12/12/1983 Item #F-2c0
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BY THE CITY COUNCII
CITY Of NEWPORT BEACH
DEC 12 1983
MEMORANDUM Qd")
OFFICE OF THE CITY ATTORNEY
December 5, 1983
Agenda Item No. F -2 (c)
Hon. Mayor & Members of the City Council
Robert Burnham - City Attorney
Consent to Balboa Bay Club Sublease
BACKGROUND /DISCUSSION
The International Bay Club has asked the City to
consent to two subleases between the Club and business owners who
operate at the Bay Club. (See attached letter).
The master lease between the City and the Bay Club
obligates the Club to obtain the written consent of the City
before it is entitled to sublease any portion of the Balboa Bay
Club site.
Our office has reviewed the subleases and the terms and
rental rates are identical to agreements previously approved by
the Council.
RECOMMENDATION
It is recommended that the City Council adopt a
resolution approving the subleases between the International Bay
Club and HMS Clipper Ship and Eagle American.
Robert
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November 8, 1983
Mr. Robert Burnham, City Attorney
City of Newport Beach
3300 Newport Blvd.
Newport Beach, CA., 92663
Dear Mr. Burnham:
As I discussed with you by telephone, we renewed our
sub -lease with Eagle American, our jewelry store
concession for a 3 year period commencing 10/15/83
and also modified our sub -lease with HMS Clippership
to include their expanded hair and beauty services
for a 5 year period commencing 9/15/83.
As required by the terms of our City lease, we are
submitting copies of these sub - leases to you for
review and approval.
We have previously reported and paid rent to the City
for these concessions based upon their monthly gross
sales at 02% on the first $1,000, 2% on the next $1,000
and 1� %.on the excess of $2,000.
Please do not hesitate to call should you have any
questions or need additional information.
Yours very truly,
Robert O. Ba.majian
i
Vice Pres nt & Treasurer
ROB /cg
enclosures
CC: Thomas Deemer
1221 West Coast Highway, Newport Beach, California 92663 (714) 645 -5000
RESOLUTION NO. 83 -128
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH AUTHORIZING INTERNATIONAL BAY
CLUBS, INC., TO SUBLET CERTAIN PORTIONS OF THE
BALBOA BAY CLUB PREMISES AND ESTABLISHING THE
RATE OF RENTAL PAYMENTS TO THE CITY FOR
SUBLEASES OF THE BALBOA BAY CLUB PREMISES FOR
COMMERCIAL PURPOSES FOR TERMS IN EXCESS OF ONE
YEAR
WHEREAS, the City of Newport Beach has entered into a
lease dated March.24, 1948., with the predecessors -in- interest to
International-Bay Clubs, Inc., of 'certain City -owned real
property generally referred to as The Balboa Bay Club site; and
WHEREAS,.said lease provides that International Bay
C1ubs,.Inc., shall not sublet.the premises described in said
lease, or any part thereof, for the purposes of operating and
conducting.'.any business enterprise for a term in excess of the
period of one year without the written consent of the City; and
WHEREAS, International Bay Clubs, Inc., has requested
that the City Council'approve.two subleases which, after
consideration thereof, the City Council wishes to approve.
NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Newport Beach as follows:
1. The City Council hereby approves the following
proposed sublease:
a) A sublease between the international Bay
Clubs, Inc., lessor, and Eagle American, a California
corporation, d /b /a Brett Walker Newport, lessee, for a term of
five (5) years. The, purposes for which the premises are
subleased are the operation of a women's beauty parlor and.for
the sale of cosmetics and beauty accessories incidental thereto.
2. It is mutually agreed between the City and
International Bay Clubs, .Inc., that the consideration to be paid
to the City for all subrentals received by International Bay
C1ubs,.Inc., from any and all subtenants carrying on and
conducting a business on any part or portion of the leased
premises under any sublease.or subleases providing for a .term of
more than one year shall be.based upon the following formula:
2 1/2 % of the first $1,000 of gross sales per month;
2% of the second $1,000 of gross sales per month; and
1.1/2% of the balance of gross sales per month.
ADOPTED this. 12th day of December 1983.
ATTEST:
City Clerk
RSP /BayClub-
Mayor
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