Loading...
HomeMy WebLinkAboutOrdinance No. 182 AN ORDINANCE OF THE CITY OF THE COLONY, TEXAS, AUTHORIZING THE CITY MANAGER TO ENTER INTO A LEASE WITH THE COLONY JOINT VENTURE; AUTHORIZING THE APPROPRIATION OF FUNDS; ATTACHING THE APPROVED FORM OF THE CONTRACT AS EXHIBIT "A"; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS: Section 1. That the City Manager of the City of The Colony, Texas, is hereby authorized to execute on behalf of the City a lease agreement with The Colony Joint Venture for office space in The Colony Square Shopping Center to be used by the Park and Recreation Department and the City Library. The approved form of such contract is attached hereto as Exhibit "A", and made a part hereof for such purposes. Section 2. That the City Manager of the City of The Colony, Texas, is hereby authorized to transfer funds in the amount of $10,162.00 from the Contingency Reserve account for monthly rental fees and a common area maintenance charge for building space. Of this sum, $5,081.00 shall be transferred to the Park and Recreation Department Building Rental Account (05-46) and $5,081.00 shall be transferred to the Library Depart- ment Building Rental Account (09-46). This interdepartmental transfer is an amendment to the City's Budget for the 1981-82 fiscal year. Section 3. This ordinance shall take effect immediately from and after its passage by the City Council. PASSED AND APPROVED ON THE /~ DAY OF~~ , 1981. APPROVED DULY RECORDED: JA~E~ CARROLL, CITY SECI~ETARY :/ A~I~ROVED AS TO LEGALITY OF THE FORM: CITY ATTORNEY LEASE AGRF~EMENT STATE OF TEXAS COUNTY OF D]~ § This Lease Agreement. made end entered into by and between ~ COLON~Z JOZN~' (hereinafter referred to as "Landlord") and ~ CZ~ O~ ~ {hereinafter referred to as "Tenant"). WlTNESSETH: In consideration of the obligation of Tenant to pay rent as herein provided andinconsiderationof the other terms, covenants and conditions hereof. Landlord hereby demises and leases to Tenant. and Tenant hereby takes from Landtord Suite No ~_~Q ....having the following approximate dimensrons: _~ ~ sq ft ). such premises being located in the . ~ ~ ~ ........ Shopping Cen er, ._.~ ~_~ Texa* whichislocatedonatracto groun~as smorepar cularydescrbedonExhibi A attachedheretoandm~e~-~rther~ of for ail purposes (the "Shopping Center"), and being as shown and outlined in red on the site plan of the Shopping Center attached hereto as Exhibit "B" and made a part hereof for all purposes (the "demised premises"). TOHAVEANDTOHOLDthedemisedpremisesforatermof 36 (~Z~-SZX~onthscommencingon the Commencement Date as hereinafter defined, except that in the event the Commencement Date is a date other than the first day of a calendar month, said lerm shall extend [or said n umber of months in addition to the remainder of the calendar month following the Commencement Date, all upon the following terms and conditions: ARTICLE I. Construction and Acceptance of Premises.~ A~S ~S~ ~ ZS ~d.l~tne Descrlphon of Landlord's Work" attached hereto as ~i~;;8" ~-~¢~ .......... ;,%ever. that in ,he event such "Landlord's Work" cannot be contracted for or oom~lete, ,;; ;;~:;'nP;r~t; $- % Landlord shall have no obligation hereunder and ma cancelth~ - ~' - Y 's Lease and thereb~er it null and void IfLandlo~d~ldforanyreasonfailtocompletesuchworkonorbefore ~ andlordshallnotbe deemed to be ~ ~b~u~er o,' otherwise liable in damages to Tenant, nor shall the cept that d for antron La~rd'sWork asdescribed n Exhibit"C'isnot ready on or~e_ . Tenant may at its option cance~d terminate his Lease bywritten noticedeliv¢~in thir~ thereafter, in w~c~nt neither ~shall have any further abilities or obf' ions hereunder, except that Landlord shall repay to ~ ~;~'~its. ~i~s h~n~~L~d~ l~atio~an~d that the demis~~uch as to accomodate Tenant's Work~, will promptly ~noe a ~~~ made a part any of Tenan~ completi~ of all ~m- provement, parhes who ~,n ~ers from ' ~ ~s Work; and not- withstanding ~~d ~xh~ "D" hereinabo shall be ' D~R 1, 1981 ~GH ~ 31, 1984 ~e~ces ~h~ch ~ay co~e abou~ as a ~esud o; ~be Dedor~amce o~ lesa~'s ~o~k ~c~ud~ ~he ex s~e~ce o~ ~a~em~ de~ec~s co~s~[uc~on of ~he budd~s~ o~ which ~ Oe~sed ~re~ses a~e a pall. and o~he~ maHe[s beyond ~b8 cos~ro~ o; asd ~o~k~as~ke ~anser ~ accordance w~h ~e D~ass asd sDec~fica~o~s approved by [a~d~o~d Du~suaa~ ~o ~a~ag~a~b 1.2 0e~esd s~d ho~d ha~ess [a~d{o[d ~ro~ and aga~s~ a~ bH~s a~d c~a~ms. ~e~ a~O d~b~s ~o ;~e~s ~o~ ~abo~ a~d materials ARTICLE II. Rent. 2.1 Rental ("Rental") shall accrue hereunder from the Commencement Date of this Lease as defined above. 2.2 Tenant shall pay to Landlord a Rental of $ ~50.00 per month. One such monthly installment shall be due and payable on or before the Commencement Date of this Lease and a like monthly installment shall be due and payable on or before the first day of each succeeding calendar month during the term hereofPprovided that if the Commencement Da~e of this Lease should fall on a date other than the first day of a calendar month, there shall be due and payable on or before such date as Rental for the balance of the calendar month during which such date shall fall a sum equal to that portion of the Rental for a month as herein provided which the number of days from the Commencement Date to the end of the calendar month during which the Commencement Date shall fall bears to the total number of days in such month, and all succeeding installments of Rentar shall be payable on or before the first day of each succeeding calendar month during the term hereof. ARTICLE III. Common Areas. 3.1 Theterm 'Common Area 's de ined for all purposes o thisLeaseasthatpartoftheShoppingCenter as shown on Exhibit "B" intended for the common use of all tenants, including but not limited to. parking area, sidewalks. landscaping, curbs, private streets and alleys lighting facilities and the like. but excluding space in buildings (or any future buildings) designed for rental for commercia'l or other purposes as the same may exist from time to time. and further cfuding streets and alleys mainta ned by a pub ic authority. Landlord reseeds the right to change from time to time the dimensions and locations of the Common Area as shown on Exhibit B", as well as th~dimensions, identity configuration, layout and type of any buildings shown on Exhibit , subject to no restncbons except that without the prior consent of Tenant there shal[ be no material impairment of the size and dimensions of, or access to the demised premises, nor shall the aggregate ground floor rentable space within the shopping Center at any time exceed (except as provided in Section *S~ SP~C[A% 2ROVZS[ON ~22 13 3).. FORTY _percent( 40 %) °f the aggregate area of the whole Shopping Center plus any additional parking area provided by Landlord in reasonable proximity to the Shopping Center, Tenant, and its employees, customers and invdees shah have the non-exclusive right to use the Common Area as constituted from time to time, such use to be in common with Land ord. other tenants of the Shopping Center and other persons entitled to use the same, and subject to such reasonable rules and regulations governing use as Landlord may from time to time prescribe. Tenant shall not solicit any business within the Common Area or take any action which would interfere with the rights of the other persons to use the Common Area. Landlord may temporarily close any part of the Common Area for such reasonable periods of time as may be necessary to prevent Ihe public from obtaimng prescriptive rights or to make repairs or alterations or to prevent a dedication thereof, 3.2 Landlord shall construct at its sole cost and expense a hard surface parking area, with adequate light- ing, in the locations shown on Exhibt"B" or in reasonable proximity thereto, it being expressly agreed, however, that Landlord may from time to time substitute for any parking area shown or~ Exhibit "B" other areas reasonably accessible to the tenants of the Shopping Center, which areas may be elevated, surface or underground, so long as the aggregate g round floor rentable space within the Shopping Center does not exceed (except as provided in Section 13,3) t~)R'I~Z percent( 40 ---%) °f the aggregate area of the whole Shopping Center plus any such additional park_ lng area provided by Landlord 3.3 Landlord shall be responsible for the operation, management, and maintenanceolthe Common Area. The manner of maintenance and the expenditures therefor are in the sole discretion of Landlord. 3.4 Tenant agrees to pay, as hereinafter provided, its proportionate share of the costs of operation and maintenance of the Common Area (including, but not limited to, those incurred for lighting, painting c eaning policing, respecting, repairing and replacing) which may be incurred by Landlord in its discretion, including a reasonable allowance for Landlord's overhead costs and for depreciation of maintenance equipment, the cost of hazard insurance, but excluding ad valorem taxes, assessments, and depreciation of Landlord's original investment. The proportionate share to be paid by Tenant of the costs of operation and maintenance of the Common Area shall be computed on the ratio that the total floor area el the demised premises bears to the total leaseable floor area of all buildings within the Shopping Center. Tenant shall make such payments to Landlord on demand, at intervals not more frequently than monthly. Landlord may at its op- tion make monthly or other periodic charges based upon the estimated annual cost of operation and maintenance of the Common Area payable in advance but subject to adjustment after the end of the year on the basis of the actual cost for such year ARTICLE IV. Use and Care et Premises. 4.1 The demised premises may be used and occupied only for the purpose of OFFI~/PAR~AND_REC~_AND CITY PUBLIC LIBRARY and for no other purpose or purposes without tho pr~or written coesont of Landlord. Tenant shall not at any time leave the demised premises vacant, but shall in good faith continuously throughout the term of this Lease conduct and carry on in the demised premises the type of business for which the demised premises are leased. Tenant shal operate i s business in an efficient, high class, and reputable manner, and shall, except when prevented by circumstances beyond Tenant's con- trol and during reasonable periods for repar nd, cleaning and decorating, keep the demised premises open to the public for business during such days and hours as are customary in the area of the Shopping Center for the type of use to which the demised premises are put pursuant hereto. 4.2 Tenant shall not, without the Landlord's prior written consent, keep anything within the demised premises or use the demised premises for any purpose which increases the insurance premium cost or invalidates any insurance policy carried on the demised premises or on other parts of the Shopping Center. All property kept, stored, or maintained within the demised premises by Tenant shall be at Tenant's sofa risk. Should Tenant's use or occupancy of the demised prem sas, cause an increase in the premium charged to Landlord for any insurance carried on the demised premises or the Shopping Cenler, whether or not such is in conformance herewith or approved by Landlord, Tenant shall promptly reimburse Landlord for the amount of such increase. 4.3 Tenant shall not, without Landlord's prior written consent, permit any objectionable or unpleasant odors to emanate from the demised premises; not place or permit any radio, television or other antenna, loud speaker or amplifier on the roof or outside the demised premmes or where the same can be seen or heard from outside the build nd, nor take any other act ion which would disturborcndangor other tenanlsof the Shopping Center or unreasonably interfere with their use of their respective premises 44 Tenant shall take good care of the demised premises and keep the same free from waste or nuisance at all times. Tenant shall k~ep the demised premises, including windows and signs and sidewalks, serviceways, and loading areas adjacent to the demised premises neat, clean, and free from dirt and rubbish et all times, and shall store all trash and garbage within the demised premises, arranging for the regular pickup of such trash and garbage at Tenant's expense. Receipt and delivery of goods and merchandise and removal of garbage and trash shall be made only by way of the service entrance, jf any, and subject to such regulations as Landlord may from time to time prescribe, 45 Tenant shall include lho address and identity of its business activities in the demised premises ~nd the address and identity of the Shopping Center in all advertisements made by Tenant in which the address and identity of any similar local business activity of Tenant is mentioned and shall not divert from the demised premises any business which normally would be traesacted there 4.6 If there is established an association of the Tenants of the Center, Tenant agrees to cooperate with such association and maintain membership therein, paying such reasonable dues and assessments as may be determined by the association. ARTICLE V. Maintenance and Repair of Premises. 5.1 Landlord shall keep the foundation, the exterior walls (except glass, including plate glass), and roof of the demised premises in good repair, except that Landlord shall not be required to make any repairs occasioned by the act or negligence of ]enant, its agents or ampi ;yeas it being expressly agreed that root repairs required as a result of maintenance work on Tenant's air conditioning equipment shall be the obligation of Tenant, In the event that the demised premises should become in ne(do repa rs rcqu~red to be made by Landlord hereunder, Tenantshallgiveimmediatewrit. ten notice t~er¢of to Landlord; and Landlord shall not be responsib e in anyway for failure to a reasonable hme shall have elapsed after delivcry el such written notice~ ' make any such repatrs unbl 5.2 Tenant shall keep the demised premises in good, clean condition and shall make all needed repairs, including replacement of cracked or broken glass, except for repairs required to be made by Landlord under the provi- s~onsofSeclion5 f above Tenant shall comply ut its sole cost and oxpensa with all govornmental laws, ordinances and regulations applicable to the demised premises, except that Tenant shall eel be obligated to make any structural changes or alterations to the demised premises unless made necessary by the act or omission of Tenant, in which event Tenant shall make such changes or alterations at its expense in accordance with plans and specifications approved by Landlord. If Tenant has failed to make or cause to be made any repairs required hereunder to be made by Tenant within a reasonable time, Landlord may at its option make such repairs, and Tenant shall pay to Landlord on demand as additional rental here- under the cost of such repairs plus interest at the highest rate permitted by taw from the date of payment by Landlord until repaid by Tartan . A he expiration of this Lease and any extensions thereof, Tenant shall surrender the demised premises m good condition, reasonable wear and tear, loss by fire, vandalism or other unavoidable casualty excepted, 5.3 Landlord has the exclusive right to the use of the roof above the demised premises save and except for the use thereof by Tenant to raake the repairs herein required. ARTICLE VI. ., 'ations and Fixtu. res 6.1 Tenant shall n°t make any alteration~ fo the c(emised premises wdhout the prior written consent of the Landlord, except for the Tenant's Work described in Exhibit "D" and the installation of unattached movable Irade fixtures. All alterations, additions, improvements and fixtures (other than unattached, movable trade fixtures) which may be made or installed by either party hereto upon the demised premises shall become the property of Landlord at the termination of this Lease, whether by expiration of time or otherwise, and shall remain upon and be surrendered with the demised prem- ises, unless Landlord requests their removal, in which event Tenant shall immediately remove the same and restore the demised premises to their original condition at enant s expense. Tenant has the right to remove all movable trade fix- T tures placed in the demised premises by Tenant, provided il So removes such removable trade fixtures within five (5) days after the expiration or earlier termination of this Lease Should Tenant fail to remove such movable trade fixtures within such five (5/ day period, they shall thereupon bo considered abandoned and Landlord may do with them as he will ARTICLE VII, Signs and Store Fronts ?,1 Tenant shall not, without Landlord's pr~or written consent (a) make any changes to the store front or (b) install any ex(erior lighting, shades or awmngs, or any exterior decorations or paintings or (c) erect or install any signs, window or door lettering, decora OhS, o~ advertising media of any type which can be viewed from the exterior of the demised premises, excepting only such signs, lettering, decorations and advertising as are in conformance with the pro- vis~ons of the Shopping Center sign handbook which is being delivered to Tenant by Landlord contemporaneously wi~h the execution and delivery hereol. ' ARTICLE VIII. Utilities 8.1 Landlord agrees to cause to be provided and maintained at its expense the normal, usual and neces- sary mains, conduits and other facilities necessary to supply water, gas, electricity and telephone service to the demised premmes, in accordance with and subject to any special provisions contained in Exhibits "C" and "D" attached hereto. 8.2 Tenant shah promptly pay all charges for electricity, water, gas, telephone service, and other utilities furnished to the demised premises. Landlord may, if it so elects, furnish one or more utility services to Tenant, and in such event, Tenant shall purchase the use of such serwces as are required by Tenant, as the services are tendered by Landlord, and shall pay on demand as additional renlal the rates eslablished therefor by Landlord which shall not exceed the rates which would be charged for the same services if furnished to Tenant directly by public utility companies. Landlord mayer any time discontinue furnishing any such service without obligation to Tenant other than to connect the demised premises to the public utility, if any, furnishing such service. 8.3 Tenant agrees that it will not install or use any equipment on the demised premises which will ex- ceed or overload the capacily of any utility facililies on the demised premrses and that if any equipment installed by Ten- ant shall require additional utility facilities, lhe same shall be installed at Tenant's expense in accordance with plans and specifications approved in writing by Landlord. 8~4 Landlord shall not be liable for any interruption whatsoever in utillty services not furnished by it, nor for interruptions in utility services furnished by it which are due to fire, accident, strike, acts of God, or other causes beyond the reasonable control of Landlord in order to make alterations, repairs, or improvements for a reasonable period of time. ARTICLE IX. Insurance and Indemnity. 9.1 Landlord shall not be liable to Tenant or to Tenant's employees, agents, or v s tors, or to any other person whomsoever, for any injury to person or damage to property on or about the demised premises caused by the negligence or misconduc o Tenant, its agents, servants or employees or of any other person entering upon the demised premises under express or implied invitation of Tenant or arising out of the use of the demised premises by Tenant end the conduct of its business thereon or arising out of any breach or default by Tenant in the performance of its obligations hereunder; and Tenant hereby agrees to indemnify Landlord and hold it harmless from any loss, damage, expense, or claim, including, but not limited to, attorney's fees and other legal costs, arising out of such damage or injury. 9.2 Tenant shall procure and rnaintain throughout the term of this Lease a policy or policies of insurance, at its sole cost and expense, insuring Landlord as well as Tenant, from all claims, demands, or actions arming out of Ten- ant's use and occupancy of he demised premises he proper y damage insurance ohavelimisofliabiliyofnotless han $25,000.00 and the pub cliabi ty nsurancetohavolimitsofliabiJiyofnotless han$100,00000forinjurytoordeath of one person and $300,000.00 fo~ injury to or death of mo~ e than one person in any one accident, Such insurance shall be carried with companies satisfactory to Landlord, and Tenant shall obtain a written obligatio ~ on the part of each insurance company to notify Landlord at least ten (10 days pr or to cancellation of such insurance Such policies of insurance shall be delivered to Landlord pr or o tho Commencement Date herin, ruder and renewals thereof as required shall be delivered to Landlord at least thirty (30) days prior to the expiration ol lhe respective policy terms Tenant shall also keep the fix_ tures, decorations and other improvements it has installed on the demised premises insured to at least 80% of the full in- surable value thereof against damage by fire or other casualty, with tho policy evidencing such insurance containing the standard extended coverage endorsement, Such insurance policy shall be obtained from a reputable insurance com- pany licensed to do business in Texas which is approved by Landlord. Tenant shall promptly deliver to Landlord a copy of such policy and shall, prior to thirty (30) days before the expiration of such policy deliver to Landlord a renewal policy of insurance as herein provided. Tenant shall obtain a written obligation on the part of each Insurance company to notify Landlord at least ten (10) days prior to cancellation of such insurance. If Tenant should fail to comply with the foregoing requirements relating to insurance, Landlord may obtain such insurance and Tenant shall pay to Landlord on demand as additional rent hereunder the premium cost thereof plus inleresl at the maximum legal rate per annum from the date of payment by Landlord until repaid by Tenant. ARTICLE X. Non-Liability for Certain Dama~]es. 10.1 Landlord shal~ not be liable to Tenant for any injury to person or damage to property caused by the demised premises becom ng out of repair or by gas, water, steam, electricity or oil eaking or escaping into the demised premises (except where due to Landlord's willful failure to make repairs required to be made by Landlord hereunder, after the expiration of a reasonable time after written notice to Landlord of the need for such repairs), nor shall Landlord be liable to Tenant for any loss or damage that may be occasioned by or through the acts or omissions of other tenants of the Shopping Center or of any other persons whatsoever, excepting only duly authorized employees and agents of Landlord. ARTICLE XI. Access to Premises. 11.1 Landlord shall have the righ ioenter upon the demised premises at all reasonable hours for the purpose of inspecting the same, or of making repairs to the demised premises, orof making repairs, alterations, or addi- tions to adjacent premises when such actions do not unreasonably interfere with Tenant's ability to conduct its business on the demised premises. Landlord may also enter the demised premises during the last six (6) months of the term hereof, or any extension or renewal thereof, for the purpose of placing "for rent" or "for let" signs thereon or for the purpose of displaying the demised premises to a prospective tenant. ARTICLE XII Damage by Casualty. 12.1 TenantshaI~g~veimmediatewrittenn~ic~Landlordofanydamagecausedtothedemisedprem- ises by fire or other casualty. 12.2 In the event that the demised premises shall be damaged or destroyed by fire or other casualty In- surable under standard fire and extended coverage insurance and Landlord or Tenant do not elect to terminate the Lease as hereinafter provided, Landlord shall proceed with reasonable diligence and at its sole cost and expense to rebuild and repair the demised prem ses' provided however that Landlord's obli ati limited by the amount of insistence nro'c ,:,..~.;.,..., ~._ . eedsr ....... ,.,¥ Landlord whmh are evadable to be apphed for such purposeg~, if · .the building in wh(ch the demise¢ amuses are located shall be damaged or des ,ed by fire or other casualty so as to render untenantable more than fi, . per cent 50%} of'~.he floor area thereof, the(, ~ ~her party may elect to terminate this Lease, Should neither party e ecl to lerminate this Lease, LandlOrd shall proceed to rebuild and repair the demised pram- · ises, subject to the limiiations hereinabovo ar, d hereinafter set forth. Each party shall give written notice to the other party of su.ch election within sixty (60 days a (er the occurrence of such casualty and if Landlor · hereto provided ~t shall proceed to do so with reasonable dil qence and af it,~ .¢,1,o ¢. .... ',d elecls to rob?rd and repair as tions hereinabove and hereinafter set forth. -. ' - ....... u~ one expense, sublect to the limita- 123 Landlord's obligation to rebuild and repair under this Article XII shall be limited to restoring Land- ord's Work as described in Exhibit"C", to substantially the condition in which the same existed prior to the casualty, and Tenant agrees that promptly after completion of such work by Landlord, it will proceed with reasonable diligence and at its sole cost and expense to rebuild, repair, and restore its signs, fixtures, equipment and other items of Tenant's Work, as described in Exhibit "D". 12.4 Tenant agrees that dur~r~g anY period of reconstruction or repair of the demised premises it will con. tinue the operation of its business within the de(rased premises to the extent practicable. During the period from the oc- currence of the Casualty until Landlord's repairs ar(., completed Rental shall be reduced to such extent as may be fair and reasonable under the clrcumstnces; however, there shall be no abatement of the other charges provided for herein, 12.5 Landlord and'fenantherebyexpresslywaiveanycauseofactionorrightofrecoverywhicheitherof them may hereafter have against the other for any loss or damage to the demised premises or to the Shopping Center or to the contents thereof belonging to either contained therein caused by fire, explosion, or other risk covered by the Texas standard form of fire and extended (:overage policy ARTICLE Xlll. Eminent Domain 13.1 ff the whole of the demised prom~sesshould be taken for any public or quasi-public use under any governmental law, ordinance or regulation or by right of eminent domain or by private purchase in lieu thereof, this Lease shall terminate and Rental shall be abated during the unexpired portion of this Lease. effective upon the pl3ysicaltaking of the demised premises by tile condemmn9 authority 132 If less than the whole of the demised premises should be taken for any public or quasi-public use under governmental law, ordinance or renu alien, or by right of eminent domain, or by private purchase in lieu thereof, this Lease shall not terminate but Ran(at payable here ruder during the unexpired portion of this Lease shall be reduced to such extent as may be fa r and reasonable under all circumstances 133 If any part °f the C°mmon Area should be taken for any public or quasi_public use under any govern. mental law, ordinance orregulalioo, orbyrightofe~, rontdomain, or by private purchase in lieu thereof, lhis Lease shall not terminate, nor shall Rental payable hereunder be reduced, nor shall Tenant be eh(iliad to any part of the award made for such taking except that Landlord or Tenant may at oither's option terminate Ibis Lease if as a result of such taking the aggregate gr°und fl°°( ran ab e space w th n t he Sh°pping Center sh°uld exceed'l~['~'Z~'-~L'~]Ic~:~erc t~ 33 o ...... _ -- ¢~_ ,, ........... .. pu~.,a~mg) plusanyadd~bonalparking area provided uy Lanuloru in reasonao e proxlml y o he .'~noppmg Center. 13,4 All compensation awarded for any taking or the proceeds of private sale in lieu thereof of the demised premises or Common Area shall be Ihe property of Landlord, and Tenant hereby assigns its interest in any such award to Landlord; provided, however, Landlord shall have no interest in any award made to Tenant for the taking of Tenant's fix- lures and other tangible property if a separate award for such items is made by the condemning authority to Tenant. ARTICLE XIV, Assignment and Subletting. 14.1 Tenant shall not assign or itl any manner transfer this Lease or any estate or interest herein or mortgage or otherwise encumber its leasehold interest created hereunder or sublet the demised premises or any part thereof withou he prior writien consent uft andlord Conserd by t.andlord to one or more assignments, encumbrancings or sublettings shall not operate as a waiver of Landlord's right~ as to any subsequent assignments, encumbrancings and sublettings. Notwithstanding any assignment or subletting, Tenant shall at all times remain fully responsible and liable for the payment of all ran(at herein specified and for compliance with all of its other obligations under this Lease. 14.2 In the event of the transfer and assignment by L. andlord of its in(or est in this Lease and in the building containing the demised premises to a p~rson, firm or corporation assuming Landlord's obligations under this Lease, Landlord shall thereby be released from any further obhgations hereunder and Tenant agrees to look solely to such suc- cessor in interest of the Landlord for performance of the oblig."ttions of Landlord hereunder. Any security given by Tenant to secure performance of its obligations heretJndar may be assigned and transferred by Landlord to such successor in interest of Landlord and Landlord1 shall thereby be discharged of any further obliga ion relating thereto. ARTICLE XV _Pr_operl¥ Ta_xes: l~rd agrees to pay all axes levied against the building of which he de ' sesareapart, but Tenant shall bel~sIp¢~sonalpropertyandtrad ' aced by Tenant in the demised premises, IfanY~roT~een. r~nvti: . Tenant shall pa~~ ~o_ pay.[~n such increase, ' hereunder. he(ac th^-~15'2' If ,d(Jrin.g any real ostah, t,q'~vr,~rofthepr~marytermofthisLeaseordurn an renewal r i n ..... :, .............. ..., ,,~rges ~oweo against the Shopping Center for such tax year shall exceed the general real estate ta:(f.s, assessments and governmental charges levied against the Shopping Center for the first full real estate tax year (as herr,leafier defined), the Tenant shall pay to the Landlord, as additional rental, upon demand, a proportionate share of such increase, computed on the ratio that the total floor area of the demised premises bears to the total leaseable floor area of all buildings within the Shopping Center. The term "first full real estate tax year" shall mean the first full year during which Tenant shall first occupy the demised premises. The payment to be made by Tenant for the tax year m wh ch this Lease terminates shall bear the same ratio to the payment which would be required to be made for the full tax year as tho number of months of such tax year which elapsed prior to termination of this Lease bears to a full tax year ART/CLE XVI. Events of Default and Remedies. 16.1 The following events shall he deemed to be events of default by Tenant under this Lease: (1) Tenant shall hill to pay any iestallme~ d of Rental hereby reserved and such failure shall continue for a period of ten (10) days. Tenant shall fail to corn ply with any term, provision, or covenant of this Lease, other than those relating to the paymen?o)f Rental, and shall not cure such failure within thirty (30) days thereafter. (3) Tenant shall become insolvent, or shall make a transfer in fraud of creditors, or shall make an assign- ment for the benefit of creditors. (4) Tenant shall file a petition under any section or chapter of the National Bankruptcy Act, as amended, or under any similar law or statute of the United States or any State thereof; or Tenant shall be adjudged bankrupt or insolvent in proceedings filed against Tenant thereunder. (5) A receiver or trustee shall be appointed for all or subslantially all of the assets of Tenant. (6) Tenant shall d( ! or vacate the demised premises. Upon the occurrence of any such event of default, Landlord shall have the option to pursue any one or more of the following remedies upon gwing wrdten nolice to Tenant: A. Terminate this Lease in which event Tenant shall surrender the demised premises to Landlord, and if Tenant fails to do so, Land etd may, without prejudice enter upon and take ossession f expeforremoveTenantandanvotherners n ,_,,~o,,~. ........ ;__ ,,.._ .~_ . _P . o thedem~sedpremisesand agrees to pay to Landlord on demand the amount of all loss and damage which Landlord may suffer by reason of such termination, whether through inability to relet the demised premises on satisfactory terms or otherwise, B. Enter upon and take possession of the demised premises and expel or remove Tenant and any other person who may be occupying the demised premises or any part thereof, and relet the demised premises and receive the rent therefor, and Tenant agrees to pay to Landlord on demand any deficiency that may arise by reason of such re- letting, O Enter upon the demised premises and do whatever Tenant is obligated to do under the terms of this Lease, and Tenant agrees to reimburse Landlord on demand for any expenses which Landlord may incur in thus affecting compliance with Tenant's obligations under this Lease. Pursuit of any of the foregoing remedies shall not pre- clude pursuit of any of the other remedies herein provided or any other remedies provided by law, nor shall pursuit of any remedy herein provided constitute a forfeiture or waiver of any rent due to Landlord hereunder or of any damages accruing to Landlord by reason of the violation of any of the terms, provisions and covenants herein contained. For- bearance by Landlord to enforce one or more of the remedies herein provided upon an event of default shall not be deemed or construed to constitute a waiver of such default ARTICLE XVII. L~.andlord's Lien.. 17.1 In addition to the statutory landlord's lien, Landlord shall have at all times, and Tenant hereby grants to Landlord, a valid security interest to secure payment of all rentals and other sums of money, becoming due hereunder from Tenant, and to secure payment of any damages or loss which Landlord may suffer by reason of the breach by Tenant of any covenant, agreement or condition contained herein, upon all goods, wares, equipment, fixtures, furniture, im- provements and other personal property of Tartan presently, °r which may hereafter be, situated on the demised premises, and afl proceeds therefrom, and such property shah not be removed without the consent of Landlord until all arrearages m rent as well as any and all other sums of money then due to Landlord or to become due to Landlord hereunder shall first have been paid and discharged and all the covenants, agreements and conditions hereof have been fully complied with and performed by Tenant Upon the occurrence of an event of default by Tenant, Landlord may, in addition to any other remedies provided herein, or otherwise provided by law, enler upon the demised premises and take possession of any and all goods, wares, equipment, fixtures, furniture, improvements and other personal property of Tenant siluated in the demised premises, without liability for Irespass or conversion, and sell the same at public or private sale, with or without having such property at the sale, after giving Tenant reasonable notice of the time and place of any public sale or the time after which any private sale is to be made, at which sale the Landlord or its assigns may purchase such property unless otherwise prohibited by law Unless otherwise provided by law, and without intending to exclude any other manner of giv- ing Tenant reasonable notice, the requirement of reasonable notice shall be met il such notice is given Jn the manner pre- scribed in this Lease at least five (5) days before the time of sale. Any sale made pursuant to the provisions of this Article shall be deemed to have been a public sale conducted in a commercially reasonable manner if held in the demised premises or where the property is located after the time, place and method of sale and a general description of the types of property to be sold have been advertised in a daily newspaper published in the county in which the property is lo- cated, for five (5) consecutive days before the date of the sale. The proceeds from any such disposition, less any and all expenses connected with the taking of possession, holding and selling of the property (including without limita- tion reasonable attorney's fees and legal expenses), shall be applied as a credit against the indebtedness secured by the security interest granted in h s Article. Any surp us shal bo paid o Tenant or as otherwise required by law the Tenan shall pay anydehciercyforthwth. Upon roquest by Landlord, Tenant agrees to execu e and deliver to Landlord a financing statement in form sufficient to perfect the security interest of Landlord in the aforementioned property and proceeds thereof under the provisions of the Uniform Commercial Code of the State of Texas (being Chapter 9 of the Texas Business and Commerce Code). ARTICLE XVIII, Holding_ Over. 18.1 In the even Tena t remains in possession of the demised premises after the expiration or earlier termination of this Lease and withou he execution of a new lease, it shall be deemed to be occupying the demised prem- ises asa tenant from month to month at a monthly rental aqua to two times the monthly Rental herein provided and other- wise subject to all the condi ions, provisions and obligations of this Lease insofar as the same are applicable to a month o month tenancy. ARTICLE XIX. Subordination. 19.1 Tenant accepts this Lease subect and subordnateto any mortgage, deed oftrus,oro herlen presently existing upon the demised pram sas or upon the Shopping Center as a whole. Landlord is hereby irrevocably vested with full power and authority to subordinate this Lease to any mortgage, deed of trust, or other lien hereafter placed upon the demised premises or upon the Shopping Center as a whole, and Tenant agrees upon demand to execute such further instruments subordinating this Lease as Landlord may request, provided such subordination shall be upon the express condilion that this Lease shall be recognized by the mortgagee, and that the rights of Tenant shall remain in full force and effect during the term of this Lease so long as Tenant shall continue to perform all of the covenants and condi- tions of this Lease. ARTICLE XX. Notices. 20.1 Whenever any notice is required or permitted hereunder such notice shall be Jn writing. Any notice or document required or permitted to be delivered hereunder shall be deemed to be delivered whether actually received or not when deposited in the United States Mail postageprepad. RegisteredMaii, ReturnReceip Requested addressed to the parties hereto at the respective addresses set forth below, or at such other addresses as they have theretofore speci- fied by written nolice delivered in accordance herewith: Landlord: r~]]3 COZE)NY JOINT V~4~JRE ~ 14110 DALLAS PKWY., SUITE 200 DATffAS, TEYu~S 75240 Tenant: TH~ CITY OF THE COLCNY 55%--NEFf~h-~Co-IYny--~ lvd. ~ COLOR~-T~U~ 75056 20.2 l~andwhenincludedwithintheterm'.Landlord'',asusedinthisinstrumenttherearemorethanone person, firm or corporation, al shall jointly arrange among themselves for their joint execution of such a notice specifying some individual at some specific address for the receipt of notices and payments to Landlord; if and when included within t eterm Tenant .asusedmthfslnstrument there are more than one person, firm or corporation al shall ointlyarrange among themselves for the r oint execution of such a notice specifying some ndiv dual at some spec tic address for the receipt of notices and payments to Tenant. All parties included within the terms "Landlord" and "Tenant", respectively, shall be bou nd by notices given in accordance with the provisions of this Article to the same effect as if each had received such notice. ' ARTICLE XXl. sceHaneous, · 21.1 Nothing herein con anedshal be deemed dr construed bv the arti ascreatmgtherelahonsh~pofpnncipalandagentorofpartnershieorotinintv/,~,. P..eshereto~nor. byanythlrdparty, _ _ _ , ...... .Lure ~e[ween the parbes hereto, it being understood and agreed that neither the method of computation of rent, nor any other provisions contained herein, nor any acts of the parties herein, shall be deemed to create any relationship between the parties hereto other than the rela- tionship of landlord and tenant. Whenever herein the singular member is used, the same shall include the plural, and the neuter gender shall include the feminine and masculine genders. 21,2 The captions used in this Lease ere for convenience only and do not in any way limit or amplify the terms and provisions thereoh 21,3 One or more waivers of any covenant, term or condition of this Lease by either party shall eel be construed as a waiver of a subsequent breach of the same covenant, term or condition. The consent or approval by either party to or of any act by the other party req uiring such consent or approval shall not be deemed to waive or render unneces- sary consent to or approval of any subsequent similar act. 21.4 Whenever a period of time is herein prescribed for action to be taken by either party, neither party shall be liable or responsible for and here she I be excluded from the computation of any such per od of me any delays due to strikes, r ets, acts of God, war, governmental laws, regulations, or restrictions, good a th failure tO reach a settle- ment with an insurance carrier or any other causes of any kind whatsoever which are beyond the reasonable control of the respective parties, 21,5 The terms, provisions, and covenants contained in this Lease shall apply to, inure to the benefit of and be binding upon the parties hereto and their respective successors in interest and legal representatives except as otherwise herein expressly provided. 21.6 Landlord hereby acknowledges receipt from Tenant of the sum of $ in payment of Rental for the first month of this Lease. Landlord further acknowledges receipt from Tenant of the sum of $ _ 9"r3'~"9~ - ~- to be held by Landlord as a security deposit for the performance by Tenant el Tenant's covenants and obligations under this Lease, it being expressly understood that such deposit is not an advance payment of rental or a measure of Landlord's damages in case of default by Tenant. Such security deposit may be commingled by Landlord with other funds, and Tenant shall not be entitled to interest on such sum. Upon the occurrence of any event of default by Tenant, Landlord may, from time to time. without prejudice to any other remedy provided herein or provided by law, use such fund to the extent necessary to make good any arrears of Rental and other damage, injury, expense or lia- bility caused to Landlord by such event of default any remaining balance of such deposit to be returned by Landlord to Tenant upon termination of this lease. Should Landlord use all or any part of the security deposit as herein provided to cure a default by Tenant, Tenant agrees to pay to Landlord upon demand an amount of money sufficient to raise the secu- rity deposit to the amount originally so deposited. 21.7 Landlord and Tenant, each upon the request of the other, shall execute and deliver to the other an estoppel certificate in recordable form: (1) ratifying this Lease; (2) expressing the Commencement and termination Dates hereof; (3) certifying that this Lease is in full force and effect and has not been assigned, modified, supplemented or amended (except by such writings as shall be stated); (4) certifying that all conditions under this Lease to be performed by the other party have bean satisfied; (5) certifying that there are no defenses or offsets against the enforcement of this Lease by the other party, or stating those defenses and offsets claimed; (6) certi[ying the amount of advance rental, if any, (or none it such is the case) paid by Tenant; and (7) certifying the date to which rental has been paid. In addition, Tenant agrees to execute and deliver to Landlord such other instruments or documents as may be reasonably requested by Landlord. 21.8 Tenant represents and warrants that the only broker or agent with whom it has dealt Jn connection withthisLeasewas _~.~S__q~.'~'~T _C(~_~whoshallbepaidbyLandlordacommissiono[_ STX _percent 6 ( %) of the rentals due hereunder for such brokerage services. Tenant represents and warrants that there are no other claims for brokerage commissions or finder's fees in connection with this Lease and agrees to indemnify Landlord against and hold it harmless from all liabilities arising from such claims, other than that made by the herein described broker, 21.9 This Lease and the Exhibits, Riders and/or addenda if any attached, set forth the entire agreement between the parties. Any prior conversations or writings are merged herein and extinguished. No subsequent amendment to this Lease shall be binding upon Landlord or Tenant unless reduced to writing and signed by the party to be charged thereby. 21.10 Landlord and Tenant each agree that at the request of either they will execute and deliver a short form lease in recordable form containing the basic provisions of this Lease and reciting the Commencement Date and termination date of this Lease. 21.11 Tenant, upon paying the rents and performing all of the terms on its part to be performed hereunder, shah peaceably and quietly en oy [he rJemised pre 'nisos subject, nevertheless, to the terms of this Lease and to any mort- gage, ground lease or other agreements to which this Lease is subordinaled. Norwi[hstanding anything contained herein to the contrary. Tenant hereby acknowledges that Landlord has not yet acquired tiile to the Shopping Center or the demised premises. Tenant further acknowledges that the enforceability of the Lease is expressly conditional upon the acquisition of title to the Shopping Center and the demised premises by Landlord. EXECUTED the _ 26 __ day of 1981 LANDLORD THE COLONY JOINT VENTURE By:__ . TENANT THE CITY OF THE COLONY By: ATTEST: SPECIAL PROVISIONS 22. In the event Tenant fails to pay any installment of rental due hereunder on the date such installment is due, Tenant shall pay, in addition to the past due rental installment(s), a monthly service and late charge equal to five percent (5~) of the overdue amount. Such 5~ service and late charge shall be due and payable for each month or portion thereof that elapses from the due date of the subject rental installment until such overdue amount is received by Landlord. Such service or late charge is to reimburse Landlord for the cost and expenses that Landlord may reasonably anticipate to suffer and incur as a result of such failure by Tenant to pay the rental due hereunder in a full and timely manner and such service and late charges is in no event to be deemed to be interest. The payment to or collection by Landlord of such service or late charge shall not limit or affect any of Landlord's other rights or remedies hereunder. 23. The term of this lease shall commence upon acceptance of possession of the premises on the effective date hereof and shall continue until the end of Lessee's current fiscal year ending September 30, 1982, and thereafter for such additional fiscal periods as a proper appro- priation and approval of the funds necessary to make required rental payments is made by the governing body of Lessee, provided, that the failure of the governing body to make such appropriation and approval shall terminate all of Lessee's rights in said property and obligations under this lease as of the last day of the last fiscal year for which appropriation and approval is properly made, and further provided, that in no event shall this lease extend beyond three calendar years from the effective date hereof. SITE PLAN OF SI"IOPPING CENYE AND DEMIS[.D PREMISES DESCRIPTION OF LANDLORD'S WORK TENAk~ ACCEPTS PREMISES AS IS. · EXHIBIT "O" DESCRIPTION OF TENANTS WOrK TENANT ACCEPTS PRS~LISES AS IS.