HomeMy WebLinkAboutFIESTA MARKETPLACE PARTNERS (2)A-2001 -0 35
;LEASE AGREEMENT BETWEEN
v,j o THE CITY OF SANTA ANA AND
FIESTA MARKETPLACE PARTNER
-0 1
1. PARTIES
This Lease, is made and entered by and between Fiesta Marketplace Partner, a California
limited partnership ("Landlord") and the City.of sgnta Ana, a charter city and municipal
corporation duly organized and existing under the Constitution and laws of the state of
California ("Tenant").
2. PREMISES
Landlord does hereby lease to Tenant, and Tenant hereby leases from Landlord that
certain office space ("Premises") indicated on Exhibit A, attached hereto and
incorporated herein, said Premises being agreed, for purpose of this Lease, to have an
area of approximately Five Thousand Eight Hundred Fifty (5,850) square feet, being
situated within that certain building known as 305 E. Fourth Street Second ' Floor, in the
city of Santa Ana 92701 (-property"). Said Premises must be delivered to Tenant in full
compliance with all federal, state and local laws and regulations, including, but not
limited to the Americans With Disabilities Act.
3. TERM OF LEASE
The term of this Lease shall be for 5ixJO)-y—e4l�, c0l"line"Icing on the first (I st) day of .2007, ioLqne,2001, and ending on the thirtieth (31st) day of 94Ythe event of delay il -I
n delays, the
delivery of possession beyond Rine 1, due to reasonable construct
commencement date shall be the date of delivery of the Prernises, and Tenant's rent shall
be abated during the period between the commencement of said tcnn and the time when
Landlord delivers possession.
a. Standard Rental Payments: Tenant agrees to pay to Landlord as rental, the sump of
Seven Thousand Three hundred Twelve Dollars and Fifty cents $7-- — 31.2.5Q), on or
b-eTore--thc fifth day of the first full calendar month of the terl-n hereof and like sum on or before the first day of each and every successive calendar month thereafter r dit ring the
tenn hereof. Rent for any period during the rental terni which is less than one (1) month
shall be a prorated portion of the monthly installment herein, based upon a thirty (30) day
month.
b. CP1 Adjustment: On the commencement of the third (3"d) lease year, the rent
shall be increased by the amount of the percentage increase in the Consumer Price Index,
All Urban Consumers, Los Angeles -Anaheim -Riverside Area 1982-84=100, from the
commencement date to the date of adjustment, with a minimum increase of 4% and a
maximum increase of 6%. This shall establish the new rental amount for the succeeding
two (2) year period. On the commencement date of the fifth (5"') lease year, the rental
amount then in effect shall be increased again, by the applicable increase in the
amou sub 4% minimum and 6% maximum limitations.
Consumer Price Index, ject to the san-te I
Ill no event shall the adjusted rent be less than the rental in effect during the preceding
lease year,
respective parties. Each sty shall obtain any special endorsements, if required by their
insurer to evidence compliance with the aforementioned waiver.
11. SERVICES AND UTILITIES
Landlord agrees to furnish to the Premises, on all days that the Property is open to the
public, subject to the rules and regulations of the Property, water and electricity suitable
for the intended use of the Premises, heat, ventilation and air conditioning required for
the comfortable use and occupation of the Premises. Landlord agrees to provide janitorial
services pursuant to Exhibit B, "Janitorial Specifications", a copy of which is attached
hereto and incorporated herein. The Landlord shall also maintain the plumbing, air
conditioning and electrical systems on the Property, as well as the common areas of the
Property.
Landlord shall pay the cost of providing the above utilities, and shall determine the
amount expended in the first twelve months of the Lease as a "Base Year". Commencing
in the second (2°d) Lease Year, the Tenant shall pay the cost of all such utilities to the
extent such exceed the cost in the Base Year. Landlord shall bill Tenant for such
additional utility cost as additional rent, on a quarterly or other convenient basis, which
shall be due and payable by Tenant within thirty (30) days after receipt. Tenant shall be
entitled to�accounting records to confirm the cost of utilities over the Base Year cost.
12. RULES AND REGULATIONS
Tenant shall faithfully observe and comply with the rules and regulations that Landlord
shall from time to time promulgate. Landlord reserves the right from time to time to make
all reasonable modifications to said rules. The additions and modifications to those rules
shall be binding upon Tenant upon delivery of a copy of them to Tenant.
13. ENTRY BY LANDLORD
Landlord reserves and shall at any and all times have the right to enter the Premises, with
reasonable notice to Tenant, for the purposes of inspection, supplying janitorial service
and any other service to be provided by Landlord to Tenant hereunder, and to alter,
improve, or repair the Premises, providing that the business of the Tenant shall not be
interfered with unreasonably.
14. RECONSTRUCTION
In the event that the Premises or the building of which the Premises are a part are
damaged by fire or other perils covered by extended coverage insurance, Landlord agrees
to forthwith repair the same; and this Lease shall remain in full force and effect, except
that Tenant shall be entitled to a proportionate reduction, to be based upon the extent to
which the making of such repair shall materially interfere with the business carried on by
the Tenant in the Premises.
In the event that the Premises or the building of which the Premises are a part are
damaged as a result of any cause other than the perils covered by fire and extended
coverage insurance, then Landlord shall repair the same, provided the extent of the
destruction be less than ten percent (10%) of the then full replacement cost of the
Premises or the building of which the Premises are a part. In the event the destruction of
the Premises or the boil g is greater than ten percent (10%) of the full replacement cost,
then Landlord shall have the option: (1) to repair or restore such damage, this Lease
continuing in full force and effect, but the rent to be proportionately reduced as
hereinabove in this article provided; or (2) give notice to Tenant within sixty days (60) of
the damage, at which time this Lease shall expire and all interests of the Tenant in the
Premises shall terminate on the date so specified in such notice and the rent, reduced by a
proportionate amount based upon the extent, if any, to which such damage materially
interfered with the business carried on by the Tenant in the Premises, shall be paid up to
the date of such termination.
The Tenant shall not be entitled to any compensation or damages from Landlord for loss
of the use of the whole or any part of the Premises, Tenant's personal property, or any
inconvenience or annoyance occasioned by such damage, repair, reconstruction,
restoration, or by such termination of the Lease.
15. DEFAULT, REMEDIES
A. Default. The occurrence of any one or more of the following events shall constitute a
default under this Lease by Tenant:
1. Non -curable defaults:
a) The vacating or abandonment of the Premises by Tenant.
b) Any attempted or involuntary transfer of Tenant's interest in this Lease without
Landlord's prior consent.
c) If Tenant makes, or has made, or furnishes any warranty, representation or statement
to Landlord in connection with the Lease which is or was false or misleading in any
material respect when made or furnished.
2. Curable defaults:
a) The failure by Tenant to make any payment of rent or any other payment required to
be made by Tenant hereunder, as and when due, where such failure shall continue for
a period of three (3) days after written notice thereof by Landlord to Tenant, this
Lease shall be terminable at Owner's option, in accordance with the procedures
established in the Code of Civil Procedure, section 1161.
b) The failure by Tenant to observe or perform any of the covenants, conditions, or
provisions of this Lease to be observed or performed by the Tenant, other than the
payment of rent, where such failure shall continue for a period of thirty (30) days
after written notice thereof by Landlord to Tenant; provided; however, that if the
nature of Tenant's default is such that more than thirty (30) days was reasonably
required for its cure, then Tenant shall not be deemed to be in default if Tenant
commences such cure within said thirty (30) day period, and thereafter diligently
prosecutes such cure to completion.
B. Remedies.
In the event of any non -curable default or breach by Tenant, or a curable default which is
not timely cured, Landlord shall have the right to terminate this Lease and Tenant's right
to possession of the Premises, and Tenant shall immediately surrender possession of the
Premises to Landlord. - Landlord terminates this Lease and Tenant's right to
possession for the Premises, Landlord may recover the following from Tenant:
a) The worth at the time of award of the unpaid rent which was due, owing and unpaid
by Tenant to Owner at the time of termination;
b) The worth at the time of the award of the amount by which the unpaid rent for the
balance of the Lease term after the time of award exceeds the amount of rental loss
which Tenant proves could be reasonably avoided;
c) Pursuing any other remedies now or hereafter available to Landlord under the laws or
any judicial decision of the state in which the Premises are located. Landlord shall
also have the remedies provided in Civil Code sections 1951.2 and 1951.4.
16. PARKING
Landlord does not have or provide any parking facilities. Parking is available on the
street, as available, and in the municipal garage located nearby.
17. GENERAL PROVISIONS
Waiver. The waiver by Landlord of any term, covenant or condition herein contained
shall not be deemed to be a waiver of such term, covenant, or condition on any
subsequent breach of the same or any other term, covenant, or condition herein contained.
The subsequent acceptance of rent hereunder by Landlord shall not be deemed to be a
waiver of any preceding breach by Tenant of any term, covenant, or condition of this
lease, other than the failure of the Tenant to pay the particular rental so accepted,
regardless of Landlord's knowledge of such preceding breach at the time of the
acceptance of such rent.
Time. Time is of the essence of this Lease, and each and all of its provisions in which
performance is a factor.
Successors and Assigns. The covenants and conditions herein contained, subject to the
provisions as to assignment, apply to and bind the heirs, successors, executors,
administrators, and assigns of the parties hereto.
Quiet Possession, Upon Tenant paying the rent reserved hereunder, and observing and
performing all of the covenants, conditions, and provisions on Tenant's part to be
observed and performed hereunder, Tenant shall have quiet possession of the Premises
for the entire term hereof, subject to all the provisions of this Lease.
Prior Agreements. This Lease contains all of the agreements of the parties hereto with
respect to any matter covered or mentioned in this Lease, and no prior agreements or
understanding pertaining to any such matters shall be effective for any purpose; no
provision of this lease may be amended or added to except by an agreement in writing
signed by the parties hereto or their respective successors -in -interest. This Lease shall not
be effective or binding on any party until fully executed by both parties hereto.
Inability to Perform. This Lease and the obligations of the Tenant hereunder shall not be
affected or impaired because the Landlord is unable to fulfill any of its obligations
hereunder, or is delayed on doing so, if such inability or delay is caused by reason of
strike, labor troubles, acts of God, or any other cause beyond the reasonable control of the
Landlord.
Severability. Any provision of this lease which shall prove to be invalid, void, or illegal
shall in no way affect, impair, or invalidate any other provision hereof, and such other
provision shall remain in full force and effect.
Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but
shall, wherever possible, be cumulative with all other remedies at law or in equity.
Choice of Law. This Lease shall be governed by the laws of the state of California, with
venue in the courts of Orange County.
18. NOTICES
All such notices and demands which may or are to be required or permitted
to be given by either party to the other hereunder shall be in writing. All notices and
demands sent by either party shall be sent by United States Postal Service, postage
prepaid, addressed as follows:
To Tenant—
City of Santa Ana
Community Development Agency
Downtown Development Division
20 Civic Center Plaza (M-25)
Santa Ana, CA 92701
ATTN: Charles View
To Landlord—
Fiesta MarketPlace Partners
c/o S&A Properties
P.O. Box 10728
Costa Mesa, CA
92627-0728
ATTN: Irving M. Chase
A party may change its address by giving notice in writing to the other party. Thereafter,
any notice, tender, demand, delivery, or other communication shall be addressed and
transmitted to the new address. If sent by mail, any notice, tender, demand, delivery, or
other communication shall be effective or deemed to have been given three (3) days after
it has been deposited in the United States mail, duly registered or certified, with postage
prepaid, and addressed as set forth above. If sent by telefacsimile, any notice, tender,
demand, delivery, or other communication shall be effective or deemed to have been
given twenty-four (24) hours after the time set forth on the transmission report issued by
the transmitting facsimile machine, addressed as set forth above. For purposes of
calculating these time frames, weekends, federal, state, County or City holidays shall be
excluded.
19. CONSTRUCTION OF TENANT REQUESTED IMPROVEMENTS
Landlord shall construct the improvements requested by Tenant, per an approved set
of plans and specifications, to include a garage area storage structure, and customizing of
the trash enclosures, all at a cost to Landlord not to exceed $95,000.00 (Ninety Five
Thousand Dollars). To the extent that the actual cost of such improvements exceeds
$95,000 (the "Excess Construction Costs"), such amount shall be recouped by Landlord
as provided in Paragraph 4 above. The cost of the trash enclosure work shall be
exclusively at the Landlord's expense, and shall neither be recouped from the Tenant, nor
included in the $95,000 budget limitation.
7
IN WITNESS WHEREOF, the parties hereto have executed this Lease Agreement on this
the day of. 2001.
ATTEST:
Patricia E. Healy
Clerk of the Council
Joseph W. Fletcher
City Attorney
BY: Lisa E. Storck
Assistant City Attorney
RECOMMENDED FOR APPROVAL:
"Tenant"
/W
John P. R ekstin, Executive Director
COMMU111ty Development Agency
CITY OF SANTA ANA
APPROVED AS TO CONTENT:
David N. Ream
City Manager
"Landlord"
Fiesta Marketplace Partner
A California Limited Partnership
BY:
TITLE:
TAX ID 4:
EXHIBIT B
JANITORIAL SPECIFICATIONS
It is the intent of this exhibit to provide general guidelines for minimum janitorial service.
Any absence of a specific janitorial service from this Exhibit does not relieve Landlord of
the obligation to provide such service, should it become necessary.
"Three -days -per -work -week, Monday through Friday" janitorial service for Tenant as
required in Section 11 {SERVICES AND UTILITIES} of the Lease Agreement, shall be
inclusive of, but not limited to, the services as detailed below:
OFFICE AREAS
MONDAY, WEDNESDAY, FRIDAY (CITY OF SANTA ANA HOLIDAYS EXCEPTED):
I . Empty and clean all waste receptacles, supply liners for waste receptacles, replace
light bulbs and fluorescent tubes, remove waste materials from the Premises, and
wash receptacles as necessary.
2. Mop all uncarpeted areas,
Vacuum all carpeted areas in offices, lobby, and corridors.
4. Hand -dust all office furniture, fixtures, and all other horizontal surfaces.
5. Remove all finger marks and smudges from doors, door frames, around light
switches, and from private entry glass and partitions.
6. Spot -clean carpet as necessary.
7. Clean sink and wipe down tables and counter areas in all break areas and coffee
bars.
WEEKLY.•
Wipe clean and polish all metal and bright work.
2. Mop and polish all resilient flooring. Use "wet floor" signs to indicate wet areas.
3. Dust in place all picture frames, charts, graphs, and similar wall hangings.
4. Spot -clean all wall marks.
5. Sweep balcony.
6. Clean finger prints/markings from interior windows.
E
7. Clean and maintw. _, balcony drainage.
MONTHLY
1. Dust all miniblinds within the Premises.
2. Vacuum all HVAC vents, high moldings and other areas not reached by nightly or
weekly cleaning.
3. Scrub and wax uncarpeted floors.
4. Clean exterior windows.
SEMIANNUALLY:
1. Clean ceiling light diffusers.
2. Clean carpet in high -traffic areas (corridors, near lunchroom, etc.) and other areas
as needed.
3. Clean interior walls as needed.
4. Strip and wax uncarpeted floors.
ANNUALLY:
Clean carpet throughout Premises.
RESTROOMS
MONDAY, WEDNESDAY, FRIDAY (CITY OF SANTA ANA HOLIDAYS EXCEPTED);
1. Clean and damp -mop floors.
2. Wash all mirrors, bright work and enameled surfaces.
3. Wash and sanitize all basins, bowls, urinals, and toilet seats.
4. Clean, and wash down all partitions, tile walls, dispensers and receptacles.
5. Empty and sanitize all receptacles and sanitary napkin disposals.
6. Provide materials and fill all toilet tissue, towel, seat cover, sanitary napkin and
soap dispensers.
MONTHLY.
1. Machine -strip restroom floors and apply finish/sealer where applicable.
2. Wash all partitions, tile walls, and enamel surfaces.
Vacuum all louvers and vents, and dust light fixtures.
MISCELLANEOUS SERVICES
Maintain building lobby, corridors, stairwell to space, and other public areas in a
clean condition.
JWE:H:office operations:JANITORIAL SPECIFICATIONS