HomeMy WebLinkAboutFIRST AMERICAN TRUST COMPANY (S.T.C. CORP.) (2)LEASE EXTENSION �' A-2000-9 0 4
THIS LEASE EXTENSION is and is intended to be part of that lease entered into on the 20"' day of
April, 1987, by and between S.T.C. Corporation, a general partnership, and the CITY OF SANTA ANA, a
Municipal Corporation, Lessee.
RECITALS:
It is understood that on February 5, 1992 this property transferred owners by Grant Deed #92-6900 from C
& T Properties, a partnership, to WILLIS J_ CLEMONS AND CLAYTON B. TILLOTSON, each an undivided
one-half interest as Tenants in Common. And on February 5, 1992 by Grant Deed #92-
069098, WILLIS J. CLEMONS, an undivided one-half interest as Tenant in Common
transferred the property to FIRST AMERICAN TRUST COMPANY, Trustee of the Clemons
Family Trust dated June 30, 1988. On May 16, 1997 the interest of Clayton B. Tillotson
transferred to Dorothy E. Tillotson as surviving spouse, and on August 21,.1997, Dorothy E.
Tillotson transferred the property to Dorothy E. Tillotson and William C. Tillotson, Trustees
of the Dorothy E. Tillotson and William C. Tillotson, Trustees of the Dorothy E. Tillotson
1997 Inter Vivos Trust.
The parties hereto agree:
1. Lease Extension:
The lease shall be extended for a period of two (2) years.
Said period beginning May 1, 2000.
2. Ex iration Date:
The expiration of the lease shall be April 30, 2002
3. 'Base Rent:
For May 1, 2000, through April 30, 2001 the base rent shall be $3029.73
(Current Base $2950.00 + $79.65 CPI Adjustment (April 2000) = $3029.73)
4. Rental Increases:
The monthly base rental payable pursuant to Paragraph III above shall be calculated as
follows:
The base rent payable from the first month of the term of this amendment shall be
multiplied by a fraction, the denominator of which shall be the C.P_L for All Urban
Consumers (1967=100) Los Angeles- Riverside- Orange Co. , of April 2000, and each
anniversary date thereafter. The increase amount will have a 7% cap with no floor. The
calculation for the adjustment shall be made utilizing standard practices for such
adjustments as described by the American Industrial Real Estate Association,(66 e
5. Taxes:
Lessor shall be responsible for the payment of the property taxes.
6. Insurance:
Lessor shall be responsible for the payment of liability and property insurance.
7. Utilities:.
Lessor shall be responsible for the payment of all utilities_
8. Option To Extend Lease Terris:
If Lessee has fully and faithfully kept and performed all terms, covenants and conditions
of the lease, Lessee shall have an option to extend the lease period of (1) year through
April 30, 2003. Lessee shall provide Lessor with written notification of their decision to
exercise the option to extend the lease period one hundred twenty (120) days prior to the
termination of the lease tern.
9. Terms and Conditions:
All other terms and conditions contained in the original Lease dated April 1,1987 shall
remain the same.
"LESSEE" "LESSOR"
CITY OF SANTA ANA, a Municipal
Corporation of the State of -California
Date: jr- —uJ
/;OV€D TOP RIV!
BENJA 1 KAUFMAN
ief Asslsta t City Attorney
FIRST AMERICAN TRUST, formerly
known as FIRST AMERICAN TRUST
COMPANY, In its fiduciary capacity
as Trustee of the Willis J. Clemons
Family Trust
Gail Dennis, Vice President
Terri Harner, Real Estate Officer
Dorothy E. Tillotson, Trustee of the
Dorothy E. Tillotson 1997 Inter Vivos Trust
Dorothy C. Tillotson
William C. Tillotson, Trustee of the
Dorothy E. Tillotson 1997, Inter Vivos Trust
William C. Tillotson
Date:
Page 2 of 2
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RENT ADJUSTMENT(S)
STANDARD LEASE ADDENDUM
First Arerican Tart,a • ■r . cTazity, ^ Wass i . -- if a r■ i
(Lessee) atY Of Sarta Am
Address of Premises: 1415 - 1417 :; , arx,, Cn 927111
t
Paragraph
A. RENT ADJUSTMENTS:
The monthly rent for each month of the adjustment periods) specified below shall be increased using the method(s) indicated below:
(Check Method(s) to be Used and Fill in Appropriately)
1. Cost of Living Adjustment(s) (COLA)
a. On (Fill in COLA Dates): M3Y 1, 20M $ b1gy 1, 20M
the Base Rent shall be adjusted by the change, if any, from the Base Month specified below, in the Consumer Price Index of the Bureau of Labor
Statistics of the U.S. Department of Labor for (select one): ❑CPI W (Urban Wage Earners and Clerical Workers) 0 1 U (All Urban
Consumers), for (Fill in Urban Area):
Tr e el� _tit:sir� All Items
(1982-1984 = 100), herein refrred to as "CPI"
b. The monthly rent payable in accordance with paragraph A.I.a. of this Addendum shall be calculated as follows: the Base Rent
set forth in pafagf&ph4,5-of the attached Lease, shall be multiplied by a fraction the numerator of which shall be the CPI of the calendar month
two -months prior to the month(s) specified in paragraph A.I.a. above during which the adjustment is to take effect, and the denominator of which
shall be the CPI of the calendar month which ism months prior to (select one). Litho first month of the term of this Lease as set forth in
pe ap44.a ("Base Month") or ZlFill in Other "Base Month"):,, , - Z ri l . The sum so calculated shall constitute the
new monthly rent hereunder, but in no event, shall any such new monthfq rent be less than the rent payable for the month immediately preceding
the rent adjustment.
c. In the event the compilation and/or publication of the CPI shall be transferred to any other governmental department or
bureau or agency or shall be discontinued, then the index most nearly the same as the CPI shall be used to make such calculation. In the event
that the Parties cannot agree on such alternative index, then the matter shall be submitted for decision to the American Arbitration Association
in accordance with the then rules of said Association and the decision of the arbitrators shall be binding upon the parties. The cost of said
Arbitration shall be paid equally by the Parties.
❑ 11. Market Rental Value Adjustment(s) (MRV)
a. On (Fill in MRV Adjustment Date(s):
the Base Rent shall be adjusted to the "Market Rental Value" of the property as follows:
1) Four months prior to each Market Rental Value Adjustment Date dPscri above, the Parties shall attempt to agree upon
what the new MRV will be on the adjustment date: If agreement cannot be reached with' dldays, then:
(a) Lessor and Lessee shall immediately appoint a tually acceptable appraiser or broker to establish the new
1virRV within the next thirty days. Any associated costs will be split equally b een the Parties, or
(b) Both Lessor and Lessee shall each i ediately make a reasonable determination of the MRV and submit such
determination, in writing,to arbitration in accordance wit�fol g provisions:
(i) Within fifteenfter, Lessor and Lessee shall each select an ❑ appraiser or ❑ broker
("Consultant— check one) of their choice to act as he two arbitrators so appointed shall immediately select a third mutuaily
acceptable Consultant to act as a third arbitrator.
r (ii) e three arbitrators shall within thirty days of the appointment of the third arbitrator reach a decision
as to what the actual MRV for the Pre es is, and whether Lessors or Lessee's submitted MRV is the closest thereto. The decision of a majority
of the arbitrators shall be binding he Parties. The submitted MRV which is determined to be the closest to the actual MRV shall thereafter be
used by the Parties.
(it!) If either of the Parties falls to appoint an arbitrator within the specified fifteen days, the arbitrator timely
appointed by one o am shall reach a decision on his or her own, and said decision shall be binding on the Parties.
(iv) The entire cost of such arbitration shall he paid by the party whose submitted MRV is not selected,
ie. the .on at is NOT the closest to the actual MRV.
2) Notwithstanding the foregoing, the new MRV shall not be less than the rent payable for the month immediately preceding
e rent adjustment
Initials:
RENT ADJUSTMENT(S).
Page 1 of 2
Initials:
For this form, write: American Industrial Real Estate Association, 700 S. Flower Street, Suite 600, Los Angeles, Calif. 90017
01997 —,American Industrial Real Estate Association
b. Upon the establishment of each New Market Rental Value:
1) the new MRV will become the new "Base Rent"for the purpose of calculating any further Adjt
2) the first month of each Market Rental Value term she[[ become the new "Base Month" for the
further Adjustments.
❑ Ill. Fixed Rental Adjustment(s) (FRA)
The Base Rent shalt be increased to the following amounts on the dates set forth below:
On (Fill in FRA Adjustment Date(s)): The New Base Rent shall be:
B. NOTICE:
I -
Unless specified otherwise herein, notice of any such adjustments, other than
paragraph 23 of the Lease.
C. BROKER'S FEE:
The Brokers specified in paragraph 1.10 shall be paid a Brokerage Fee fore &
15 of the Lease.
Initials:
and
of calculating any
Rental Adjustments, shall be made as specified in
adjustment specified above in accordance with paragraph
RENT ADJUSTMENT(S)
Page 2of2
Initials:
sociation, 700 S. Flower Street, Suite 600, Los Angeles," Calif. 90017
For this form, write: American. Industrial Rea[ estate As
11997 -- American Industrial Real Estate Association.