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HomeMy WebLinkAboutC-1235 - Lease agreement for office space at 414 32nd Street0 W TO: FINANCE DIRECTOR FROM: City Clerk SUBJECT: Contract No. 1235 Description of Contract Image fb office nWM at 414 gim Stmat 00uncil actim to exwute a lone agreement. authorwizinUty Effective ._ 1. Contract with RAUR J. Peimer end Wit1iam K. Bamett Address 1111 Devon Dane Amount of Contract -city Clerk S.LEASE is made and executed.,pn. f7 , 1969, by and between PHILIP J. REINER and ._WILLIAM K. BARNETT, partners, hereinafter '` lid "Lessor", and the CITY OF NEWPORT BEACH, a municipal corpord..,- ..,.,� hereinafter called '!Lessee ". 1. CONSIDERATION AND DESCRIPTION OF PROPERTY. In consideration of the rents herein rss.erved and of the performance by the parties of the terms, covenants and conditions herein contained, Lessor hereby leases to Lessee and Lessee hires from Lessor those certain premises situated in the City of Newport Beach, County of Orange, State of California, described as follows: Those areas of the building located on the second floor at 414 - 32nd Street, City of Newport Beach, California. 2. TERM. The term of this lease shall be for a.period of twenty -four (24) calendar months, commencing on July 1, 1969, and expiring unless sooner terminated or renewed on June 30, 1971. 3. RENEWAL OPTIONS. Lessee shall have the option to extend this lease for two successive 12 -month terms following the expiration of the initial 24 -month term. If Lessee elects to exercise this option it shall notify Lessor in writing not less than thirty (30) days prior to the expiration of the initial term of this lease of its intention to extend the lease for an additional 12 -month term. If Lessee exercises the first op- tion to extend the lease for an additional 12 -month term, it may extend the lease for one additional 12 -month term by �. I gibing written notice to Lessor- day r tp the expiration o 4. RENTAL PAYME ;. `less than thirty (30) first 12 -month term. The obligation of -f essee_t pp pay rent for the use of the premises shall.commence on July 1, 1969. The rental for the leased" premises- .lie: occupied commencing July 1, 1969, shall be $425 per month, payable in advance on the 1st day of every month thereafter, during the term of this lease and $450 per month, payable in advance on the 1st day of every month thereafter, during the term of any extension thereof. 5. PREPARATION OF PREMISES. Prior to the Lessee taking possession of the premises, the Lessor agrees to undertake the following structural and decorative modifications to the rented premises: (A) installation of new partitioning throughout as needed; (B) installation of sheet rock partitions with wall paneling throughout; (C) installation of new carpeting throughout; (D) installation of new windows in both front and rear portions of the building; (E) application of new acoustical ceiling materials; (F) installation of new entrance at rear of building; (G) installation of new florescent lighting fixtures; (H) installation of new fire -proof doors to offices; (I) some remodeling of upstairs restrooms, in- cluding any new fixtures needed; -2 4 r. y ii�'liuui uGv._.w[ca� ?.�iM .�.i... .� _ t �.... .e. i ... �� I a I :. _+ < =w (J) one -half of the co& .o,€ h central air.- conditioning and heating syst " PARKING. Lessor agrees to provide..three paved., marked parking spaces, on the site #is;,tt exclusive use of Lessee. 7. USE OF P -, (A) Lessee agrees to use the premises for City offices and for.no other purpose without the consent of the Lessor. (B) Lessee agrees not to use the premises or suffer the same to be used for any purpose or purposes or do or suffer to be done anything in violation of any public authority, or of any policy of insurance upon the premises, or do or permit to be done any act which will occasion or constitute a ground for cancellation of any such insurance policy or for any increase in the rate of insurance on said property and not to commit or suffer to be committed any nuisance upon said premises. 8. UTILITIES. Lessee hereby agrees to pay for heat, light, gas, power and all other utilities and services supplied to the premises, except for water service which shall be paid for by Lessor. 9. TAXES. Lessor agrees to pay for all taxes assessed and levied upon this property. 10. MAINTENANCE AND REPAIRS. (A) Lessee agrees to maintain the second floor of the premises, including the stairway leading thereto, in good and sanitary condition and repair, except for reasonable use and wear, by providing at its expense all custodial and I _n maintenance services. (B). Lessee agreeaE; wreplace any glass in the premises which may become damaged or broken by Lessee`s employees, (C) Lessor agrees to maintain.:; good condition and repair the exterior walls, roofs, central heating and air - conditioning system, the entire area on the first floor, and the outside grounds including parking lot. 11. DESTRUCTION OF PREMISES. In the event of partial destruction of the premises by fire, earthquake or other casualty during the agreed term, Lessor shall forthwith repair the same, provided such repairs ? can.be made within thirty (30) days. Such partial destruction shall not render this lease void, except that Lessee shall be entitled to a proportionate deduction of rent while such repairs are being made, such proportionate deduction to be based on the extent to which the making of such repairs shall interfere with the business carried on by Lessee. If such repairs cannot be made within thirty (30) days, this lease may be terminated at the option of either party. A total destruction of the.building in which the premises is situated shall terminate this lease. 12. LIABILITY. From and after the date Lessee enters into possession of the demised premises, Lessee, as a material part of the consideration for this lease, hereby assumes all risk of injury or damage to persons, or property -in or about the rented premises from every source, and Lessee agrees to and will hold and save the Lessor and the premises harmless on account of any such damage or injury and from any and all liability, loss and /or damage resulting from the use of the premises y. i t.'..:.. r ._. ' �..,.. , f ..5.._�sEfA$sx��u � ' -�` � aot7Y.-r i>:�y`.,..e:#..,�o�." ,.::t�:.a.�.':�ai'.�;.. iva.:�h- ,u. .a. vs.t .��aSl�S „.a .. :.vc.. ;, .1 or the operation of Lessee's busjss thereon: 13. LESSOR'S RI(AT`.0 - Ioas�S, Lessor shall havees at all reasonable times to the premises and each and every part then f fgr "the purpose of inspecting same, making repairs, posting such notices as Lessor may deem to be necessary for the protection of the Lessor or the demised premises, for the purpose, as herein provided, of repossessing said premises, and for the purpose of showing same to prospective tenants, purchasers, mortgagees and /or beneficiaries under trust deeds, and during the last one (1) month of the term of this lease, or the last one (1) month of any extension or renewal thereof, Lessor shall have the right to place and maintain in or upon the premises in one or more conspicuous places "For Rent ", "For Lease ", and /or "For Sale" signs. 14. ALTERATIONS AND ADDITIONS. Lessee shall have the right, during the existence of this lease, to make alterations, attach fixtures and erect additions and signs in or upon the premises hereby leased, provided such alterations, fixtures, additions or signs shall not be detrimental to or inconsistent with the rights granted to other tenants on the property or in the building in which said premises are located. 15. REMOVAL OF FIXTURES. All locks, bolts, alterations and additions which may be affixed to.or made by either of the parties hereto upon the premises, except movable furniture and movable fixtures put in at the expense of the Lessee, shall be the property of the Lessor and shall remain upon and be surrendered with the r premises as part thereof at the termination of this lease, without disturbance, molestation or injury. -5- 16 . Lessor shall anyone claiming under to the Lessee, or to Lessee, for any loss and /or damage which may be occasioled by fire, gas, electricity, steam, sewerage, wiring, deluges _ „� „storm or..arthquake. 17. ASSIGNMENT AND SUBLETTING. Lessee agrees not to underlet the whole or any part of the premises, nor to assign this lease or any interest therein (nor may this lease be assigned by operation of law), nor to sublease, or mortgage, or in any way create any lien on this lease or any interest therein without the consent in writing of the Lessor first had and obtained, but consent will not be withheld without just cause. 18. ATTORNEY'S FEES. In the event any suit is. brought by either party against the other to enforce any of the terms or provisions of this lease, then it is agreed that the successful party in such suit shall be entitled to attorney's fees to be fixed by the Court in such action. 19. SUCCESSORS AND ASSIGNS. The covenants and conditions herein contained shall, subject to the provisions as to assignment, apply to and bind the successors, heirs, executors, adminstrators and assigns of the parties hereto. 20. EFFECT OF HOLDING OVER. At the expiration or any sooner termination of this lease or any extension thereof, Lessee agrees to quietly quit and surrender the premises to Lessor, Lessor's successors, assigns, agent or attorney, without notice of any kind, notice being expressly waived, in as good order, condition and repair as same were at the date of occupancy, reasonable use and wear -6- .�...s�.e•ti. „_..__..._:� xxx.�_ m'smu.r. ._�rcr "vn".a> r..�sn?�.x_u. «.%�a+kka�1Y'`... >. E,'u�:� ?�+n - � - �'a �- N Y,iYU 'YA'a�IL ..ui.'. x4._�_'�.�i -�4 >: ..S ._u.. ,.t +�''e��.i2��: v..- ���.v°�..' .,.y tea.. ' i thereof and damage by the elements and by acts and matter beyond Lessee's control excepted,.. 11.. NOTICES. A11 notices, statements, demands, requests, consents, authorizations, offers or agijosents under this lease by either i i party to the other shall be in writing and' -shall be sufficiently given and served upon the other party.if sent by certified mail, return receipt requested, postage prepaid, and addressed as follows: To Lessee, addressed to the City Manager of the City of Newport Beach, City Hall, 3300 Newport Boulevard, Newport Beach, California. To Lessor, addressed to the Lessor and /or its agent, Philip J. Reimer, 1111 Devon Lane, Newport Beach, California, or to such other place as Lessor may from time to time designate by notice to Lessee. IN WITNESS WHEREOF, the Lessor and Lessee have executed this lease as of the day and year first above written. PHILIP J.; LI K.'BARNETT LESSOR APPROVED AS TO FORM Dated: %— ?• 4,9, CITY ORNEY 8y _ ....... gW.. . CITY OF NEWPORT BEACH, a_munieipal..corporation �.0 N_D � ; ..... .. ., a ... _ �'t � � ... � . � . :. J � '.... I .: . _ .. .. � .. ...... . � � r. J .. _ .. . : �. .. ... ..'. ..... � � L . .. .. :. . .. �.. � .... .: .. '..... �. ]. �.... J. i. .. i.. i ... . , ; .: • . � _. . � ; ..... .. ., a ... _ �'t � � ... � . � Index May 12, 1969 �i i Y OF NEWPORT BEA� COUNCILMEN Volume 22 - Page 251 l ADDITIONAL BUSINESS: , 1. Resolution No. 6985, memorializing the Congress of Oil the United States and the Legislature of the State of I Sanctuary California to enact legislation which would prohibit oil ,Legis exploration and production on State and Federal tide j and submerged lands adjacent to the coast of California) between the northerly City limits of the City of Newport{ Beach and the Mexican border, was adopted after the Motion I x further reading of the resolution was waived by Roll Call: unanimous consent of the Council. Ayes x x x x x x x 2. Councilman Gruber made a motion to. remove the Motion i x Asphalt asphalt berms policy statement from the table and I f Berms place it on the agenda for further discussion on May 26:, l Policy which motion carried. I Ayes x x x x xlx x 3. The City Manager was authorized to execute a lease Motion xi City Hall agreement with the owners of the building located at Ayes x x it x x x j Expansion 414 32nd Street for the use of approximately 1, 900 net square feet of office space, in accordance with the terms reviewed by staff with the Council at the May 12 Study Session. Stephen C. Auld spoke from the audience and requested Orange that the matter of the route of the Orange Freeway be ' Freeway placed on a future Study Session so the public could be heard and the City set a: firm determination' -of what'its policy should be. Mayor Marshall explained that the matter had been dis- cussed in Study Session and that the Public Works Director and representaticies' from the Freeway Committee .were directed to meet with Division Seven engineers in Los Angeles at the earliest opportunity to review the matter, j and this will help the City establish a firm policy. The meeting was adjourned at 10:30 P.M. to 7:30 P.M. on Motion x May 19, 1969. Ayes x x x x x x x Page 251 l ,