Loading...
HomeMy WebLinkAboutResolution No. 98-17 CITY OF THE COLONY, TEXAS RESOLUTION NO. 98-17 A RESOLUTION OF THE CITY OF THE COLONY, TEXAS, AUTHORIZING THE MAYOR TO EXECUTE A LEASE AGREEMENT BETWEEN THE CITY AND DENTON COUNTY FOR THE SENIOR CENTER LOCATED AT 6301B MAIN STREET, THE COLONY, TEXAS; PROVIDING AN EFFECTIVE DATE. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS: Section 1. That the Mayor of the City of The Colony, Texas, is hereby authorized and empowered to execute a Lease Agreement with Denton County £or the Senior Center located at 630113 Main Street, The Colony, Texas. Section 2. That a true and correct copy of the Lease Agreement is attached hereto and incorporated herein. Section 3. That this resolution shall take effect immediately from and after its passage. PASSED AND APPROVED by the City Council of the City of The Colony, Texas this _ 19th day of October , 1998. Mary Blab Watt~ Mayor ATTEST: Patti A. Hicks, TRMC, City Secretary Senior Center LeaseAc~reement - 98-99 LEASE AGREEMENT This Lease Agreement is made and entered into by and between the City of The Colony, Texas, referred to in this lease as the Lessee, and Denton County, Texas, referred to in this lease as Lessor. WITNESSETH: ARTICLE I Demised Premises 1.! In consideration of the mutual covenants and agreements set forth in this lease, and other good and valuable consideration, Lessor does hereby demise and lease to Lessee, and Lessee does hereby lease from Lessor, 'approximately 5,200 square feet of floor space located at 6301 Main St., The Colony, Texas together with all rights, privileges, easements, and appurtenances belonging to or in any way pertaining to the said premises and together with the building and other improvements now situated or to be erected upon Demised Premises. These premises are referred to in this lease as "the premises", or "the leasaed premises". Lessee has inspected the premises and by its execution of this Lease, Lessee accepts the Demised Premises. 1.2 The connected parking facilities may be used by the Lessee and the Lessor. Lessee shall not be required to maintain the parking facilities. ARTICLE 2 Term 2.1 The term of this lease shall be one (1) year, commencing the 1st day of October 1998 and ending September 30, 1999, (the "Initial Term") unless otherwise terminated or extended in accordance with this lease, at the end of the Initial Term and each successive term (as hereinafter defined). Thereafter, this lease shall be automatically renewed for a one-year period of time (the "successive term"); provided, however, that this lease shall not be renewed if, at least 120 days prior to the end of the Initial Term or any successive term, as the case may be, the LEASE AGREEMENT - THE COLONY Page I Lessee or the Lessor provides notice to the other party that it desires that this lease not be automatically renewed. ARTICLE 3 Rent 3.1 Lessee will pay to Lessor the sum of $!.00 per year at the commencement of the term of this lease as basic rent. 3.2 It is agreed that in the event that this lease is renewed, the basic rent may be increased at the discretion of the Commissioners Court; provided, however, that the basic rent ska!! not be increased by more th~n the fair market rental value of the Demised Premises. Written notice of said increase shall be given on or before June 1 each year to allow budget considerations. If the rent is increased, Lessee shall have thirty (30) days in which to terminate this lease by giving written notice as provided in section 13.1. 3.3 Lessee will do all things lawful within its power to obtain, maintain and properly request and pursue funds from which the lease rental payments provided for herein may be paid. in the event that no funds or insufficient funds are appropriated for the lease rental payments due under this agreement of the period covered by such budget or appropriation, this agreement shall terminate without penalty to Lessee. ARTICLE 4 Use of Premises 4.1 Lessee will use the leased premises for Senior Citizens' services or other civic or governmental purposes approved by Lessee's City Council. If the premises are determined to be unsuitable for those purposes, both Lessee and Lessor shall have the option to terminate this lease. 4.2 Lessee shall not use, nor permit the use of, the premises in any manner that results in waste of the premises or constitutes a nuisance. Nor shall Lessee use, or permit the use of, the premises for any illegal purpose. Lessor will join Lessee, if necessary, in the application for any permit of authorization with respect to any legal requirements. LEASE AGREEM]ENT-THECOLONY Page2 4.3 Lessee shall pay the cost of all utility services, including but not limited to initial connection charges, and all charges for gas, water, garbage collection and electricity used on the premises, but excluding any portion of the Demised Premises retained by Lessor under section 1.2. ARTICLE 5 Services, Maintenance, Surrender, Alterations, and Additions 5.1 So long as Lessee is not in default under the terms of this lease, Lessor shall furnish the leased premises, with the following services at Lessor's sole expense: a. heating system; b. air conditioning equipment; c. interior and external plumbing; d. electric current for service or lighting and ordinary business appliance; e. foundation, roof and the structural portions of exterior walls (including windows), and floors. Lessor shall not be obligated to make repairs to Demised Premises. 5.2 Lessee shall provide, at Lessee's sole expense, the following for the Demised Premises: a. pest control, including termite eradication; and b. maintenance of the public and common areas of the building and the premises on which the building is situated, including lobbies, stairs, corridors, restrooms, walkways, and courtyards in reasonably good order and condition, including appropriate landscaping of outdoor areas. Lessee shall effect emergency repairs to the Demised Premises within 24 hours of notification of the need for such emergency repairs. Emergency repairs shall include, but not be limited to, situations involving the air conditioning units, electrical wiring, plumbing leaks into occupied areas, roof leaks, disruption of water delivery to or drainage from any portion of the plumbing system, access into and out of lease space, and environmental control. LEASE AGREEMENT - THE COLONY Page 3 5.2 Additionally, Lessee shall maintain the leased premises throughout the lease term, and any extensions of that term, and keep them free from waste and nuisance. At the termination of the lease, Lessee shall deliver the premises in as good a state of repair and condition as they were in at the time Lessor delivered possession to Lessee, reasonable wear and tear, and damage by fire, tornado, or other casualty, or Taking excepted. Lessee shall remove from the premises on or prior to the expiration or earlier termination of this lease all of its property situated thereon and shall repair any damage caused by the removal. In the event Lessee should neglect to reasonably maintain the leased premises, and after at least twenty (20) days notice to Lessee of any item requiring maintenance and demanding cure of such item by Lessee, Lessor shall have the right, but not the obligation, to cause repairs or corrections for which Lessee is responsible under this section, and such reasonable costs shall be payable by Lessee to Lessor as additional Basic Rent. 5.3 If there is no continuing Event of Default, Lessee may make additions or improvements to or alterations of the premises upon receipt of written consent from Director of Facilities Management, or Lessor; such consent shall not be unreasonably withheld. Each such addition, improvement, or alteration (a) must not, individually or in the aggregate, subst~ntia!ly lessen the Fair Market Value of the premises or materially affect the premises' usefulness in Lessee's business, (b) shall be completed expeditiously in a good and workmanlike manner, and in compliance with all legal requirements and (c) shall become part of the premises and subject to this Lease. 5.3.1If the Denton County Commissioners Court elects to provide notice to the City that this Lease shall not be automatically renewed under section 2.1, Lessor shall reimburse Lessee the Depreciated Value for all improvements made by Lessee to the Demised Premises pursuant to section 5.3. The Depreciated Value shall be determined by subtracting from the Lessee's actual cost of said improvement ("Cost") an LEASE AGREEMENT - THE COLONY Page 4 amount calculated by dividing the number of years and any portion of a year that the improvement has been in service by the Useful Life of the improvement and multiplying said fraction by the Cost. The "Useful Life" shall be defined as fifteen (15) years. The "Cost" shall be defined as the actual ex-pense paid by the Lessee for materials and labor, excluding any labor provided by employees of Lessee. 5.4 Lessee, at Lessee's own expense, may install or place or reinstall or replace upon and, if there is no continuing Event of Default, remove from the premises and trade fixtures, signs, machinery_, equipment and fire and/or burglar alarm system. Such trade fixtures, signs, machinery, equipment and alarra system shall not become the property of Lessor. However, replacement of Lessor's trade fixtures, machinery, and equipment shall remain Lessor's property. 5.5 If notice of termination has been given per A3.TICLE 13, section 13.1, a~d reason for termination cannot be resolved by Lessor and/or Lessee within 30 days of the receipt of said notice by Lessee, Lessee shall have 60 days following the said 30-day period to vacate said premises. A~TICLE 6 Liability Insurance 6.1 Lessee shall, at its o~m e:cpense, maintain a policy or policies of comprehensive general liability insurance with the premiums thereon fully paid Qn or before the due date, issued by and binding upon an insurance company acceptable to Lessor, such insurance to afford minimum protection in limits of not less than $1,000,000.00 combined single limits of coverage for personal injury and property damage and $1,000,000.00 annual aggregate. At least fifteen (15) days prior to Lessee's occupancy of the Leased Premises, Lessee shall deliver to Lessor a copy of all policy provisions intended to be included in the coverage to be provided by Lessee, and a valid ~certificate of insurance issued to Lessor, effective as of the dates applicable under the terms of this Lease, which said certificate of insurance shall include, without LEASE AGREEMENT - THE COLONY Page limitation: (A) provisions recfuiring notice by the insurer to Lessor at least thirty (30) days in advance of any contemplated, intended or effective cancellation, nonrenewa!, or material change or modification, or coverage provisions or limits; and (B) a Waiver of Subrogation in favor of Lessor and agents, employees, servants, officers, directors, contractors and subcontractors of Lessor, with respect to the insurance coverage and claims of Lessee. AETICLE 7 Indemnity 7.1 Lessor shall not be liable to Lessee, or to Lessee's agents, servants, employees, customers, or invitees, for any damage to person or property caused by any act, omission, or neglect of Lessee, its agents, se~-vants or employees under this Lease, and to the fullest extent permitted by law, Lessee agrees to indemnify and hold Lessor harmless from all liability and claims for any such damage. ARTICLE 8 Damage or Destruction 8.1 If the Demised Pre.n%ises, or any structures or improvements on the Demised Promises, should be damaged or destroyed by fire, tornado, or other casualty, Lessee shall give immediate written notice of the d~age or destruction to Lessor, as provided in section 13.1, including description of the damage and, as far as known to Lessee, the cause of the damage. 8.2 If the Demised Premises are totally destroyed by fire, tornado, or other casualty not the fault of Lessee or any person in or about the Demised Premises with the express or implied consent of Lessee, or if it should be so dau-aaged by such a cause that rebuildinq or repairs cannot reasonably be completed within 120 working days, this lease shall terminate, and rent shall be abated for the unexpired portion of this lease, effective as of the date of written notification as provided in section 8.1. 8.3 If the Demised Premises are damaged by fire, tornado, or other casualty not the fault of Lessee or any person in or about the LEASE AGREEMEaNT-THECOLONY Pag¢6 Demised Premises with the express or im_D!ied consent of Lessee, but not to such an extent that rebuilding or repairs cannot reasonably be completed within 120 working days this lease shall not terminate except as provided in subsections (a) and (b) of this section. a. If partial destruction of the Demised Premises occurs prior to the final four (4) months of the lease term, Lessor shall, at its sole cost and risk, proceed immediately to rebuild or repair the Demised Premises to substantially the condition in which they existed prior to such damage. If the Demised Premises are untenantabte in whole or in part following such damage, the rent payable during the period in which they are untenantable shall be adjusted equitably. In the event that Lessor shall fail to com_Dlete such rebuilding or repairs within 120 workinq days from the date of written notification ~ Lessee to Lessor of the occurrence of the damage, Lessee may terminate this lease by written notification to Lessor. Upon such notification, all rights and obligations under this lease shall cease b. If partial destruction of the Demised Preraises occurs in the final four (4) months of the lease term, Lessor need not rebuild or repair the premises. If Lessor elects not to rebuild or repair the premises, and the Demised Premises are untenantable in whole or in part following such damage, Lessee may elect to terminate the lease or to continue the lease with the rent for the remainder of the lease period adjusted equitably. ARTICLE 9 Condemnation 9.1 If any proceedings or negotiations are instituted which do or may result in a Taking, each party will promptly give notice thereof to the other, describing its nature and extent. 9.2 If during the term of this lease or ~y extension or renewal of the lease, all of the leased premises should be taken for any public or quasi-public use under any governmental law, ordinance, LEASE AGREEN~NT-THECOLONY Page7 or regulation, or by right of eminent domain, or should be sold to the condemning authority under threat of condemnation, this lease shall terminate as of the date of the taking or the premises by the condemning authority. 9.3 If less than all of the leased premises is taken for any public or quasi-public use under any gover~mental law, ordinance, or regulation, or by right of eminent domain, or is sold to the condemning authority under threat of condemnation, either party may terminate the lease by giving written notice to the .other party within thirty (30) days after possession of the condemned portion is taken by the entity exercising the power of condemnation. If the leased premises are partially condemned and neither party elects to terminate the lease this lease shall not terminate, but the rent shall be adjusted equitably during the unexpired portion of this lease. 9.4 Lessor shall receive the award from any condemnation. All amounts paid pursuant to an agreement with a condemning authority in connection with any Taking shall be deemed to constitute an award on account of such Taking. D~TICLE 10 Inspection by Lessor 10.1 Lessor and its officers, agents, employees, and representatives shall have the right to enter into and upon any and all parts of the leased premises at all reasonable hours for purposes of inspection, maintenance, repairs, alterations or additions as Lessor may deem necessary (but without any obligation to perform any of these functions except as expressly provided in this lease). Lessee shall not be entitled to any abatement or reduction of rent by reason of the entry of Lessor or any of its officers, agents, representatives, or employees pursuant to this article, nor shall such entry be deemed an actual or constructive eviction. LEASE AGR~F_MENT - THE COLONY Page 8 ARTICLE il Events of Default, Remedies 11.1 Any of the following occurrences, conditions, or acts shall constitute an ~Event of Default" under this Lease: a. if Lessee (i) defaults in making payment when due of any Basic Kent and the default continues for twenty (20) days after receipt by Lessee of written notice from Lessor specifying the default and demanding that it be cured, or (ii) defaults in the observance or performance of any other provision of this Lease, ~nd the default continues for thirty (30) days after written notice specifying the default and demanding that it be cured. However, if the default cannot be cured by the payment of money and cannot with due diligence be wholly cured within the thirty (30) day period, Lessee may have any longer period that is necessary to cure the default, so long as Lessee proceeds promptly to cure it within that period, prosecutes the cure to completion with due diligence, and advises Lessor from time to time, upon Lessor's request, of the actions that Lessee is taking and the progress being made; b. if the premises are abandoned by Lessee for a period of forty-five (45) consecutive days. 11.2 Upon the occurrence of any event of default specified in section 11.1, the following shall occur: a. the rent shall immediately become due and be paid up to the time of reentry, expiration, and/or dispossession; b. Lessor may relet the premises or any part or parts of it, either in Lessor's name or otherwise, for a term or terms which may, at Lessor's option, be less than or exceed the then remaining term of this lease. 11.3 If Lessor defaults in the performance of any term, covenant, or condition required to be performed by it under this agreement, LEASE AGREE~xxfI'-TI-{ECOLONY Page9 Lessee may terminate this lease upon giving at least five (5) days' notice to Lessor of such intention. In the event Lessee elects this option, the lease will be terminated on the date designated in Lessee's notice, unless Lessor has cured the default prior to expiration of the five (5) day period. 11.4 Pursuit of any of the remedies provided in this lease by either Lessor or Lessee shall not preclude pursuit of any of the other remedies provided in this lease or by law or in equity. Pursuit of any remedy provided in this lease or by law by either party shall not constitute a forfeiture or waiver of any damages accruing to either party by reason of the violation of any of the terms, provisions, and covenants contained in this lease. These rights and remedies are given in addition to any other rights the parties may have by law, statute, ordinance, or otherwise. 11.5 No waiver by either party of any default or violation or breach of any of the terms, provisions, and covenants contained in this lease shall be deemed or construed to constitute a waiver of any other violation or breach of any of the terms, provisions, and covenants of the lease. Forbearance by either party to enforce one or more of the remedies provided in this lease or by law upon an event of default shall not be deemed or construed to constitute a waiver of such default. Lessor's acceptance of rent following an event of default under this lease shall not be construed as Lessor's waiver of the default. ARTICLE 12 Subordination and Nondisturbance 12.1 This Lease and all rights of Lessee hereunder are and shall be subject and subordinate to the lien of any and all mortgages, or consolidated mortgage or mortgages, which may now or hereafter affect the premises, or any part thereof, and to all renewals, modifications, consolidations, replacements, and extensions thereof. LEASE AGREE~MENT - TIKE COLONY Page 10 ARTICLE 13 Notices and Addresses 13.1 All notices to be given under this agreement shall be given by certified mail or registered mail, addressed to the proper party, at the following addresses: Lessee: The City of The Colony 5151 N. Colony Blvd. The Colony, Texas 75056 Lessor: Denton County, Texas 110 West Hicko~i Denton, Texas 76201 With a copy to: District Attorney's Office, Civil Division 1450 East McKinney Denton, Texas 76201 Danny Brumley Director Facilities Management 306 N. Loop 288, Suite 115 Denton, TX 76205 Either party may change the address to which notices are to be sent by giving the other party notice of the new address in the manner provided in this section. ARTICLE 14 Miscellaneous 14.1 No amendment, modification, or alteration of the terms of this agreement shall be binding unless the same is in writing, dated subsequent to the date of this agreement, and duly executed by the parties to this agreement. 14.2 This agreement shall be binding upon, and inure to the benefit of, the parties to the agreement and their respective heirs, executors, administrators, legal representatives, successors, and assigns when permitted by this agreement. 14.3 In case any one or more of the provisions contained in this agreement shall by any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceabi!ity shall not affect any other provision of the agreement, and this agreement shall be construed as if such LEASE AGREEM;~NT-TH]ECOLONY Pag¢ll invalid, illegal, or unenforceable provision had never been included in the agreement. 14.4 This agree~nent constitutes the sole and only agreement of the parties to the agreement and supersedes any prior understandings or written or oral agreements between the parties respecting the subject matter of this agreement. 14.5 This agreement shall be construed under, and in accordance with, the laws of the State of Texas, and all obligations of the parties created blz this agreement are performable in Denton County, Texas. 14.6 If, as a result of a breach of this agreement by either party, the other party employs an attorney or attorneys to enforce its rights under this lease, then the breaching or defaulting party agrees to pay the other party the reasonable attorney's fees and costs incurred to enforce the lease. 14.7 All terms used in this Lease, regardless of the number or gender in which they are used, shall be deemed and construed to include any other number, singular or plural, and by other gender, masculine, feminine, or neuter, as the context or sense of this Lease or any section, subsection, or clause herein may require as if such terms had been fully and properly written in such manner or gender. 14.8 No changes, additions, or interlineation made to this Lease shall be binding unless initialed by both parties. 14.9 No del~y or failure by either party to exercise a right under this Lease, and no partial or single exercise of that right, shall constitute a waiver of that or any other right, unless otherwise expressly provided herein. 14.10 Time is of the essence of this agreement. 14.11 Neither Lessor nor Lessee shall be required to perform any term, condition, or covenant in this lease so long as such performance is delayed or prevented by force majeure, which shall mean acts of God, strikes, lockouts, material or labor restrictions by any governmental authority, civil riot, floods, and any other cause not reasonably within the control of Lessor or LEASE AGRF-~-MENT - THE COLONY Page 12 . Lessee and which by the exercise of due diligence Lessor or Lessee is unable, wholly or in part, to prevent or overcome. 14.12 Article and Section headings are for convenience and reference only and shall not be used to limit or otherwise affect the meaning of any provision of this Lease. 14.13 This Lease will be simultaneously executed in two or more counterparts, each of which shall be deemed a fully enforceable original but all of which together shall constitute one and the same instrument. 14.14 Lessor and Lessee shall not be considered or deemed to be joint ventures or partners and neither shall have the power to bind or obligate the other. 14.15 The County Judge, or the presiding officer of Denton County Cor~tissioners Court, has the authority to execute this agreement upon the Denton County Commissioners Courts' .approval of the agreement. The undersigned Lessor and Lessee execute this Agreement in duplicate originals. LESSEE LESSOR T~e~f The~Colony~ /.-~ Denton County, Texas BY:~/ ,~ ~/~-~J~{~<~/.~.~ By: Mayor~ ~ Jeff A. Moseley City of The Colony Denton County Judge Date of Execution: j)-~7-~ Date of Execution: Approved as to form: Approved as to form: ~orney Assistant District Attorney LEASE AGREE1V[ENT - THE COLONY Page 13