HomeMy WebLinkAboutReso 94-063 - Approve entering into a 5 yr lease dated 03/01/94 between COR & Ronald G Mygrant Et al covering premises at 1500 & 1550 California St RESOLUTION NO. 94-Z,03
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING ENTERING INTO A FIVE-YEAR LEASE DATED MARCH 1,
1994, BETWEEN THE CITY AND RONALD G. MYGRANT, ET AL. ,
COVERING THE PREMISES AT 1500 AND 1550 CALIFORNIA STREET.
IT IS HEREBY RESOLVED that the City Council of the City of
Redding hereby approves entering into the above-mentioned Lease
effective March 1 , 1994 , a true copy of which is attached hereto
and incorporated herein by reference.
BE IT FURTHER RESOLVED that the Mayor of the City of Redding
is hereby authorized and directed to sign said Lease on behalf of
the City; and the City Clerk is hereby authorized and directed to
attest the signature of the Mayor and to impress the official seal
of the City of Redding thereto.
I HEREBY CERTIFY that the foregoing Resolution was introduced
and read at a regular meeting of the City Council of the City of
Redding on the 15th day of March , 1994, and was duly adopted at
said meeting by the following vote:
AYES: COUNCIL MEMBERS: Anderson, Kehoe, Moss and Arness
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Dahl
ABSTAIN: COUNCIL MEMBERS: None
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CARL ARNESS, Mayor
City of Redding
ATTEST: FORM APPROVED:
r2K—
CONNIE
STROHMAYER, ity Clerk RANDALL A. HAYS, City Attorney
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LEASE
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THIS LEASE is made this 1st day of March, 1994, by and
between Ronald G. Mygrant, Margaret A. Mygrant, Charles R.
! Chain, Ellen G. Chain, Trustees of the Chain Family
Revocable Living Trust dated June 17, 1979: 4 Links, Inc.
Retirement Trust, a California Corporation, James J. Bauman,
D. Jeanne Bauman, Trustees for the Bauman Family Revocable
Trust, and Bauman Realty, Inc. , a California Corporation,
hereinafter referred to as "Lessor" , and the CITY OF REDDING
UTILITIES, hereinafter referred to as "Lessee" .
Lessor hereby lets to Lessee and Lessee hereby hires
from Lessor, upon. the terms and conditions hereinafter set
forth, those certain premises which are identified as Suite
1 and Suite 2a in Exhibit "C" , and which are fully described
in Exhibit "A-1" and Exhibit "A-2" attached hereto. The
premises consists of 5600 feet of floor space, together with
5600 square feet of space in the basement located under
Suite 1 and 2a as shown in Exhibit "C" in the building, at
1550 California Street, Redding, Shasta County, California.
Also, 2644 square feet of office space located at 1500
California Street, Redding, Shasta County, California, as
outlined in Exhibit "D" .
1. TERM
(A) The term of this lease shall be for five (5) years
from March 1, 1994, to February 28th, 1999.
(B) Lessee has the right to terminate this lease at
the end of three (3) years with a six (6) month advance
notice given to the Lessors.
2. RENTAL
Lessee shall pay to Lessor a monthly rental in the
amounts as follows: The rent beginning March 1st, 1994
shall be $6983.00 (Sixty-Nine Hundred-Eighty-Three) ,
including utilities. On July 1st, 1994, the rent increases
to $7483.00 (Seventy-Four Hundred-Eighty-Three) , and on
July 1st, 1995 increases to $7983.00 (Seventy-Nine-Eighty-
Three) , and remains that amount including utilities, until
the end of the lease term.
3. PAYMENT OF RENT
Lessee agrees to pay the rent as set forth in paragraph
2 to the Lessors, on the first of each month commencing on
March 1st, 1994, and continuing on the first day of each
succeeding month for the term of the lease, and free of any
and all claims and demands against the Lessors of any kind
or character.
4 . USES
The Lessee agrees not to replace the original business
to be placed in the let premises with any substantially
different type or types of business without the written
consent of the Lessor; except Lessor will not object to any
department of the City of Redding occupying the premises.
The basement space consisting of 5600 square feet is to be
used for storage purposes only. Lessee shall not make use
of premises that will cause the premises to be uninsurable.
5. PARKING
Lessee shall have the exclusive right to use sixteen
( 16) of the parking spaces in the area described in Exhibit
"B" which arelocated at the south end of the building and
five (5) spaces in the area as depicted in Exhibit "D" . Any
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enforcement problems relating to the exclusive use of these
twenty-one (21) spaces shall be the responsibility of the
Lessee.
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6. CONFORMANCE TO LAW
The Lessee, in conducting business upon the premises,
shall comply with and conform to all laws, ordinances and
regulations governing the conduct of the business.
7. INSPECTION
The Lessor, or their agent, shall have the right during
normal business hours during the existence of this lease to
enter into any part of the leased premises to ascertain its
condition, and to do any act or thing required by Lessee to
be done in respect to which it may be in default, and for
any other purpose incident to the rights of Lessors.
8. SUITABILITY
By entry into possession of the premises hereunder, the
Lessee acknowledges that the premises and every part
thereof, with the addition of the agreed upon improvements,
are suitable for their purposes, and that on the last day of
the term or upon other sooner termination of this lease, the
Lessee shall peaceably and quietly leave, surrender and
yield up to Lessor all of the leased premises, with the
appurtenances and fixtures in good order and condition and
repair, reasonable use and wear thereof and damage by acts
of God or the elements excepted.
9. ABANDONMENT
Lessee shall not vacate or abandon the premises at any
time during the lease term; and if Lessee shall abandon,
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vacate or surrender the premises, any personal property
belonging to Lessee and left on the premises shall be deemed
to be abandoned, at the option of Lessor.
10. REPAIRS
(A) Lessee' s Responsibilities: Lessee shall keep and
maintain in good order, condition, and repair, except for
reasonable use and wear, the premises and every part
thereof, including fixtures, interior walls, floor, ceiling,
signs, and interior appliances and similar equipment and all
doors, windows, plate glass, except for the heating and air
conditioning units which shall be the responsibility of
Lessor.
(B) Lessor' s Responsibilities: Lessor shall be
responsible for maintenance of the exterior of the building,
the roof, the parking lot, and the heating and air
conditioning units.
11. UTILITIES
Utilities for the Lessee' s use shall be paid for by the
Lessor except Lessee shall be responsible for the separate
water meter in the parking lot.
12 . INDEMNIFICATION OF LESSORS
The Lessors shall not be liable for any destruction of
or any injury to any goods, wares, merchandise, furniture,
property or effects in or upon the leased premises by reason
of damage caused by gas, sewage, defective electric wires,
gas pipes, refrigeration pipes, tanks, drains, or fire, or
for any injury to any person or persons in or about the
leased premises during the term of this lease, nor shall the
Lessors, their successors or assigns be liable for any
injury to the property or to the Lessee for causes mentioned
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herein, or to its patrons or to third persons, during the
occupancy by reason of the occupation and enjoyment of the
premises by the Lessee, except as to those losses incurred
by the negligence of Lessor, its agents, servants, and
employees.
13. INSURANCE
j (A) Lessor acknowledges and Lessee warrants that
Lessee is self-insured for bodily injury and property
damage.
(B) The Lessor shall maintain a policy of fire
insurance at its sole cost and expense.
14 . HOLDING LESSORS HARMLESS
The Lessee agrees during the full term of this lease to
indemnify and save the Lessors harmless from any and all
liability whatever for damages to persons or property,
including death, resulting from the use of the premises, or
any activity or operation conducted thereon by Lessee or its
agents or employees. Lessee shall not be required to
indemnify nor hold harmless Lessor from any claims or causes
of action for injuries or damages, if such injuries or
damages may be attributed to the negligence or willfullness
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of lessor.
15. FREE FROM LIENS
The Lessee agrees to keep the leased premises free from
all liens and encumbrances including mechanics' liens and
the Lessors shall have the right to enter the premises
during normal business hours for the purpose of posting any
notices of nonresponsibility that they desire.
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16. EMINENT DOMAIN
In the event proceedings in eminent domain are
instituted to condemn the premises, or in the event that the f
premises are purchased by a public agency for public use,
this lease shall be forth with terminated and cancelled and
both parties relieved from further liability hereunder. Any
unused rental shall be returned to the Lessee and the Lessee
shall be entitled to any compensation awarded for
merchandise, fixtures, and other property owned by it.
17 . REMOVAL OF PERSONAL PROPERTY
Upon termination of this lease, the Lessee shall have
the right to remove any personal property which it may have
installed and which is unattached. Trade fixtures used by
the Lessee shall be handled pursuant to Paragraph 18. All
floors, walls and ceilings of the premises shall be restored
by Lessee so that the removal of personal property will not
damage or deteriorate the Lessor' s premises, reasonable wear
and tear excepted.
18. TRADE FIXTURES
Subject to the provisions of Paragraph 17 of this
lease, the Lessee shall have the right to install trade
fixtures in the leased premises so long as these fixtures do
not damage or injure the premises. On the termination of
this lease, or any renewed term, the Lessee shall be
entitled to remove any trade fixtures which have been
installed to the walls, ceiling and/or floor provided Lessee
agrees to restore the premises to their original condition
after removal of the trade fixtures. Any free standing
trade fixtures such as racks, unattached counters, and other
such trade fixtures may be removed by the Lessee provided
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that the Lessee restores the premises to its original
condition after removal.
19. NON-WAIVER OF DEFAULT
If the Lessee should default as to any of the
conditions; or covenants, or agreements herein contained and
the Lessors, having knowledge of such breach, should not
take advantage of the same, such failure on their part shall
not be construed as a waiver of such conditions, covenants
or agreements, and the right of termination shall remain in
full force and effect unless expressly waived in writing.
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20. HOLDING OVER AFTER TERM
In the event the Lessee occupies the premises from and
after the term of this lease, such occupancy shall be deemed
a month-to-month tenancy and on the same terms and
conditions as set forth herein, except the monthly rental
shall be increased five percent (5%) during the first year
of the hold over and an additional five percent (5%) per
month for each additional year the tenant holds over.
21. ATTORNEY'S FEES
Should either party hereto be compelled to resort to
legal action to enforce their rights hereunder, the
prevailing l action shall
p g art p y in such legal g be awarded
reasonable attorney' s fees in such action as may be
determined by the Court.
22. LOSS BY FIRE
In the event the premises are destroyed or are damaged
by fire or other perils to render the same untenantable, at
Lessors ' option the premises shall be restored with all
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reasonable speed by Lessors, and Lessee shall pay a
reasonable rent during the period of restoration for such
part of the premises as are fit for occupancy,
notwithstanding anything herein to the contrary, if the
repairs cannot be made in sixty (60) working days, the lease
may be terminated at the option of either party.
23. ASSIGNMENT AND SUBLEASING
This lease, or any interest herein, shall not be
assigned, nor sublet, nor subleased, nor underlet by Lessee
or any part hereof without the written consent of the Lessor
first hand and obtained, except Lessee may assign the Lease,
or any interest under it, to any other department within the
City of Redding.
24 . ENTIRE AGREEMENT
This lease, including Exhibit "A-1" , Exhibit "A-2" ,
Exhibit "B" , Exhibit "C" and Exhibit "D" , contains the
entire agreement between the parties as to the premises.
All previous and collateral to agreements, representations,
promises and conditions relating the subject matter of this
lease are superseded by this lease. Any representation,
promise or condition not incorporated in this lease shall
not be binding on Lessor and any condition not incorporated
in this lease shall not be binding on Lessor or Lessee.
25. SUBORDINATION
Lessee agrees that this lease shall be subordinate to
any purchase money mortgages or purchase money deeds of
trust in the nature of mortgages in which TCB Real Estate
Corporation is named as the mortgagee or beneficiary that
may hereafter be placed upon the premises, to any and all
advances made or to be made under them, to the interest on
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all obligations secured by them, and to all renewals, replacements,
and extensions of them. If the mortgagee or beneficiary elects to
have this lease superior to its mortgage or deed of trust and gives
notice of its election to Lessee, then this lease shall be superior
to the lien of any such mortgage or deed of trust, whether this
lease is dated or recorded before or after the mortgage or deed of
trust.
26. RIGHT OF FIRST REFUSAL
The City of Redding Utilities will have the right of first
refusal on 1530 California Street (Police Unit) , if or when it
becomes vacant.
27. BINDING ON SUCCESSORS
The provisions and conditions of this lease shall be binding
upon and inure to the benefit of the heirs, executors,
administrators, personal representatives, successors, and assigns
of the parties hereto.
IN WITNESS WHEREOF, the parties hereto and their duly-
authorized signatories have hereunto executed this Lease, to be
effective March 1, 1994.
RONALD G. MYGRANT MARGARET A. MYGR.ANT
CHAIN FAMILY REVOCABLE LIVING TRUST DATED 6/17/79
By: By:
CHARLES R. CHAIN, Trustee ELLEN G. CHAIN, Trustee
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SIGNATURES TO LEASE DATED MARCH 1, 1994, OF 1500 AND 1550
CALIFORNIA STREET, CONTINUED:
4 LINKS, INC. RETIREMENT TRUST
A California Corporation
By:
CHARLES R. CHAIN, President
BAUMAN FAMILY REVOCABLE TRUST BAUMAN REALTY, INC.
By: By:
JAMES J. BAUMAN JAMES J. BAUMAN
CITY OF REDDING
By:
CARL ARNESS, Mayor
ATTEST:
CONNIE STROHMAYER, City Clerk
APPROVED:
RANDALL A. HAYS, City Attorney
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