THREE YEAR LEASE AGREEMENT (2)
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LEASE AGREEMENT
J This lease agreement, made and entered into this first day of August, 1999, by and between the
4 CITY OF CLEAR WATER, FLORIDA, a municipal corporation, hereinafter referred to as
"Lessor", and CHUCK]. POLLICK, d/b/a, CLEARWATER BEACH GAZETTE &
\) BEACH VIEWS, 25 Causeway Boulevard, Rooms 30,31 and 32, Clearwater, Florida 33767,
7 hereinafter referred to as "Lessee".
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That in consideration of the covenants herein contained of the granting of this lease and sums
paid and to be paid hereunder, the Lessor hereby leases to the Lessee and the Lessee hereby
leases from the Lessor according to the terms, conditions and covenants herein contained the
following described premises in the City of Clearwater, Pinellas County, Florida, to wit:
See attached Exhibit" A "
THE PARTIES HERETO HEREBY COVENANT AND AGREE AS FOLLOWS:
1. The term of this lease shall be for three (3) years beginning August 1, 1999 and ending July
31,2002. The Lessor retains the right to terminate this lease for any municipal need
consistent with the Lessor's charter; and in addition, Lessor may terminate this lease if the
State of Florida or any of its agencies or political subdivisions thereof acquire the demised
property or any portion thereof for a public purpose. This right of termination is in addition
to the right of termination set out in paragraph 14 of this Agreement. However, should the
Lessor terminate this agreement for any reason, the Lessor will reimburse the Lessee for its
unamortized real property improvements to the site, provided that:
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a. site improvements are permanent and cannot be moved economically to another
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b. in the event that additional improvements are made to the demised premises with
the written consent of the Lessor during the term of this lease, the unamortized
cost of such improvements, as depreciated, shall be reimbursable. The unamortized
cost of any such improvements shall be certified by an Independent Certified
Public Accountant; and
c. the claim for reimbursement shall be supported by independent audited financial
statements prepared by a Certified Public Accountant; which shall attest to the
fairness of the original investment values and subsequent amortization expenses.
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The Lessee hereby covenants and agrees to pay rental thereof as follows:
a. To pay the total sum of $25,003.44 for the 36 month term of this lease, which
shall be paid in equal monthly payments of $694.54. Each monthly payment shall be
due and payable on the first day of the month, and shall be delinquent if not paid on or
before the fifth day of the month. Also, a consumer price index (CPI) increase will be
added to the rent payment on January 1,2000 of the lease, January 1,2001 and January
1, 2002.
b. Any amount due from Lessee to Lessor under this lease which is not paid before the
day the payment becomes delinquent shall bear interest at the rate of fourteen (14%)
percent per anum from date due until paid, plus a late charge of Ten Dollars ($10.00) to
cover Lessor's expenses in collecting such delinquency.
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c. In addition to the first month's rent of $694.54, which is due and payable on the
first day of the lease, the Lessee shall pay $21.69 plus tax, in advance as a deposit to
secure the faithful performance of the Lessee's obligations hereunder. The Lessor may
deduct from the deposit any amount which might become due from the Lessee to the
Lessor for damage to the premises or for any reason or cause whatsoever except rent.
At the end of the term of this lease, the deposit amount or the balance thereof, if any,
shall be credited to Lessee's last monthly rental payment.
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3. The demised premises shall be used only for the purpose of conducting therein the
business of a newspaper publisher.
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4. The Lessee hereby covenants and agrees to make no unlawful, improper, or offensive use
of the leased premises. Lessee further covenants and agrees not to assign, mortgage, pledge,
hypothecate or sublet this lease or any of its right herein in whole or in part without the prior
written consent of Lessor. The consent of Lessor to any assignment, mortgaging, pledging,
hypothecating or subletting shall not constitute a waiver of the necessity for such consent to
any subsequent assignment, mortgage, pledging, hypothecating or subletting. This paragraph
shall be construed to include a prohibition against any assignment of subletting by operation
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of law. If this lease is assigned, or if the premises or any part thereof are sublet or occupied by
anybody other than Lessee, Lessor may collect rent from the assignee, sub-tenant or occupant,
and apply the net amount collected to the rent herein required, but no such occupancy or
collection shall be deemed a waiver of this covenant, or the acceptance of the assignee, sub-
tenant or occupant as tenant, or a release of Lessee from the further performance by Lessee of
covenants on the part of Lessee herein contained. If at any time during the term of this lease,
any part or all of the corporate shares of Lessee shall be transferred by sale, assignment,
bequest, inheritance, operation of law or other disposition so as to result in a change in the
present effective voting control of Lessee by the person, persons or entity which presently is
the ultimate owner of a majority of such corporate shares on the date of this leases, Lessee
shall promptly notify Lessor in writing of such change. If the new owner is a private or
public corporation, Lessor shall promptly advise Lessee if it has any objections thereto and the
reasons therefor. Lessee shall have thirty (30) days from receipt of said objections within
which to try to convince Lessor of the unreasonableness of its objections, failing which Lessor
may terminate this lease any time after such change in control by giving Lessee ninety (90)
days prior written notice of such termination, such notice to be provided within thirty (30)
days following the time period provided to Lessee. Lessee shall not permit any business to be
operated in or from the premises by any concessionaire or Licensee.
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5. Lessee agrees that it will promptly pay all ad valorem real property taxes and personal
property taxes that may be assessed and filed against the demised property or the leasehold
created by this agreement, or both, during the term of this lease. Lessee further agrees that it
will pay any state sales tax due on the rental payment made by the Lessee to the Lessor and
that it will pay all other taxes and fees, including, but not limited to, occupational license,
beverage license, and permits relating the operation of the business conducted on the demised
premises, which are required by law. Nothing herein shall obligate Lessee to payor to
reimburse Lessor for the payment of assessments for permanent improvements, including but
not limited to sidewalks, sewers, and streets, that would benefit the demised premises.
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.}3 6. The Lessee hereby covenants and agrees to pay all bills for electrical service and water
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Corporation, in accordance with the company's rates and billing, and water service provided
by the City of Clearwater, in accordance with it's standard rates and billing. At no expense to
the Lessee, the Lessor agrees to furnish a refuse disposal location and a refuse disposal
container located outside the demised premises for the use of the Lessee.
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7. The Lessee further covenants and agrees to operate the business authorized to be
conducted on the premises three hundred sixty five (365) days a year during the term of this
lease, except for any period of time involved in natural disasters, including governmental
orders or requirements such as evacuation for hurricane preparations, and any time necessary
to repair or replace any damage caused to the demised premises by as natural disaster.
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8. The Lessee assumes full responsibility for and covenants and agrees to save harmless and
indemnify the Lessor from any and all liability for damage to property and injury to persons
resulting from or in connection with the Lessee's use and occupancy of the demised premises
under this lease. In addition, during the term of the lease, Lessee shall at Lessee's expense
obtain and maintain insurance coverage conforming to the requirements in Exhibit "B"
attached hereto.
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9. If at any time during the term of this lease, the building or premises or any part, system or
component hereof (hereinafter, the "demised premises") shall be damaged or destroyed to the
extent that the Lessee cannot operate the business authorized to be conducted thereon, and the
Lessor determines that said demised premises can be restored by making appropriate repairs,
the monthly rent as provided for in paragraph 2a above shall abate until the demised premises
have been restored or until commencement of business by the Lessee, whichever is sooner.
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If the demised premises shall be totally destroyed or so damaged as to render it practically
useless during the term of this lease, then and in that event, the Lessee or Lessor may
terminate this lease as of the date of such damage or upon thirty (30) days written notice to the
other party to this lease.
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In the event of damage or destruction as enumerated above, and except as otherwise
specifically provided under this agreement, both parties waive any and all rights of recovery
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against the other party for any direct or indirect loss occurring to the demised premises or as a
result of damage or destruction of the demised premises.
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In the case of demolition or reconstruction of the marina or major renovation by
construction, the Lessee shall be given the first opportunity to bid for similar space, provided
that space for Lessee's type of business is allocated therein.
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3 10. Except as otherwise provided herein, upon the happening of anyone or more of the
') following events ("Events of Default"):
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11 a. Lessee's default in the payment of any rental or other sums due for a period of five (5) days
12 after the due date;
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b. Lessee's continued default with respect to any other covenant of this lease for a period of
fifteen (15) days after receipt of written notice. of such default by Lessee from Lessor,
provided that if such default reasonably requires more than fifteen (15) days to cure, there
shall be no Event or Default if Lessee has commenced curative action with the fifteen (15) day
period and diligently prosecutes such action to completion;
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c. There shall be filed by or against Lessee in any court pursuant to any statute either of the
United States or of any state, a petition in bankruptcy or insolvency or for reorganization or
arrangement, or for the appointment of a receiver or trustee of all or a portion of Lessee's
property, or if Lessee makes an assignment for the benefit of creditors or if there is an
assignment by operation of law, or if Lessee makes application to Lessee's creditors to settle or
compound or extend the time for payment of Lessee's obligations, or if execution, seizure or
attachment shall be levied upon any of Lessee's; property or the premises are taken or
occupied or attempted to be taken or occupied by someone other than Lessee; however, in the
event of execution, seizure or attachment, Lessee may post a bond satisfactory to Lessor which
bond shall stay the default resulting from any execution, levy, seizure or attachment for a
period of 120 days. Failure to remove the levy, seizure or attachment within the 120 day
period shall constitute an Event or Default, and the bond posted shall be forfeited; or
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d. Lessee's vacating or abandoning the premises; then Lessor, at its option, may exercise any
one or more of the following remedies which shall be cumulative;
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(1) Terminate Lessee's right to possession under this lease and re-enter and take possession of
the premises, and re-Iet or attempt to re-Iet the premises on behalf of Lessee; however, such re-
letting or attempt to re-Iet shall only involve a prospective tenant capable of providing
comparable or better type service, at such rent and under such terms and conditions as Lessor
may deem best under the circumstances for the purpose of reducing Lessee's liability, and
Lessor shall not be deemed to have thereby accepted a surrender of the premises, and Lessee
shall remain liable for all rents and additional rents due under this lease and for all damages
suffered by Lessor because of Lessee's breach of any of the covenants of this lease. Said
damages shall include, but not be limited to, charges for removal and storage of Lessee's
property, remodeling and repairs, leasing, commissions and legal fees. In addition to its
remedies hereunder, Lessor may accelerate all fixed rentals due under this lease, in which event
the Lessee shall be liable for all past due rent, accelerated rent and damages as described above;
however, with respect to the accelerated rent, Lessor shall receive only the present value of
such accelerated rent. At any time during repossession and re-Ietting pursuant to this
subsection, Lessor may by delivering written notice to Lessee, elect to exercise its option
under the following subparagraph to accept a surrender of the premises, terminate and cancel
this lease, and retake possession and occupancy of the premise on behalf of Lessor.
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(2) Declare this lease to be terminated, whereupon the term hereby granted and all rights, title
and interest of Lessee in the premises shall end and Lessor may re-enter upon and take
possession of the premises. Such termination shall be without prejudice to Lessor's right to
collect from Lessee any rental or additional rental which has accrued prior to such
termination together with all damages, including, but not limited to, the damages specified in
subparagraph (1) of this paragraph which are suffered by Lessor because of Lessee's breach of
any covenant under this lease.
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(3) Exercise any and all rights and privileges that Lessor may have under the laws of the State
of Florida and the United States of America.
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11. The Lessee hereby covenants and agrees to keep and maintain the premises and fixtures
located herein in good condition and repair during the term of this lease and any extension
hereof, and to return the premises to the Lessor upon the expiration of the term hereof in as
good condition as they now are, ordinary wear and tear and damage by the elements only
excepted. No alteration or improvements may be made to the premises without the written
consent of the Lessor. Any and all fixtures attached to the premises shall revert absolutely and
become the property of the Lessor upon the expiration of the term hereof; provided, however,
that the Lessor at its option may require the Lessee to remove all fixtures, partitions, racks,
shelves or other improvements from the premises upon the expiration of the term of the lease
at the cost of the Lessee. Any damage to the premises occasioned by said removal shall be
repaired at the Lessee's expense.
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12. The Lessee, at its own cost, may place only window, wall or canopy signs on the demised
premises, provided said signs are approved as to color, style and letter size by the
Harbormaster of the Lessor, and additionally conform to the sign ordinance of Lessor
presently in force or as may be amended from time to time during the term of the lease. No
other signs shall be placed or maintained by the Lessee on the premises. Any nonconforming
sign now on the premises shall be removed by the Lessee within 30 days of approval of the
lease. The Lessee shall, upon expiration or termination of the lease, completely remove any
and all signs that have been placed on the leased premises by the Lessee.
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13. If at any time during the term of the lease the Lessee is authorized to make improvements
to the demised premises, Lessee agrees in such event to indemnify and save harmless the
Lessor as follows:
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a. For any mechanic's lien which may be asserted as a claim against the leased
property; and
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b. For the faithful performance of the covenants contained in paragraph 11 above; and
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c. To obtain from the contractor a good and sufficient performance and payment
bond signed by a reputable insurance company doing business in Florida, which bond
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shall be in an amount equal to one hundred (100%) percent of the cost of construction
of the contemplated improvements to the demised premises, guaranteeing that the
improvements will be completed and that subcontractors, laborers and materialmen
will be paid in accordance with the contract for the improvements.
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14. In the event of the acquisition of this property or any portion thereof by exercise of
proper authority, by any governmental agency other than Lessor, whether by eminent
domain or otherwise, it is understood and agreed that notification of the institution of such
action shall be promptly given Lessee, so the Lessee may intervene in such action as a party.
Lessee agrees to comply with the results of any such actions, and agrees to release and hold the
lessor harmless from any damages resulting thereof.
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15. Lessor covenants and agrees that upon payment by Lessee of the rents herein provided,
and upon observance and performance by Lessee of all the covenants, terms and conditions
required of the Lessee by the lease, Lessee shall peaceably and quietly hold and enjoy the
leased premises for the term of the lease without hindrance or interruption by Lessor.
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16. Notices hereunder shall be given only by registered or certified mail, and shall be deemed
given when the letter is deposited in the mail, postage and other charges prepaid, addressed to
the party for whom intended at such party's address first herein specified or to such other
address as may be substituted therefor by proper notice hereunder. Lessor's notices shall be
directed in care of its Law Department at the above-cited address.
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17. As required by Section 404.056(6), Florida Statutes, the Lessee shall take notice of the
following:
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RADON GAS: Radon is a naturally occurring radioactive gas that, when it has
accumulated in a building in sufficient quantities, may present health risks to persons
who are exposed to it over time. Levels of radon that exceed federal and state
guidelines have been found in buildings in Florida. Additional information regarding
radon and radon testing may be obtained from your county public health unit.
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18. This lease agreement constitutes the entire contract between Lessor and Lessee concerning
the leasing of the premises and consideration thereof.
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IN WITNESS WHEREOF, the parties hereto have set their hands and seals this L
day of Oct~ , 1999.
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By, JC1earwater, Florida
Mic ael J. Roberto
City Manager
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Approved as to form:
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John C. Carassas
Assistant City Attorney
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CY~la E. GoudelHf"."-.. ":"
City Clerk '. . .
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Attest:
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Charles J. Pollick
President & Editor
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Exhibit "A"
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LEGAL DESCRIPTION
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Room/ s 30, 31 and 32, Clearwater Marina Building, located on Lots 11 and 120f City Park
Subdivision, according to the map or plat thereof as recorded in Plat Book 23, page 37 of the
public records of Pinellas County, Florida.
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Exhibit "B"
1. Liability Insurance. Lessee shall maintain:
a. Comprehensive General Liability Insurance to include premises/operator liability
and electrical liability in an amount no less than $300,000 combined single limit
Bodily Injury Liability and Property Damage Liability.
b. Worker's Compensation Insurance applicable to its employees for statutory
coverage limits in compliance with Florida laws.
2. Additional Insurance. The City is to be specifically included as an additional insured on
all liability coverage described above.
3. Notice of Cancellation or Restriction - All policies of insurance must be endorsed to
provide the City with thirty (30) days notice of cancellation or restriction.
4. Certified Copies of Policies. The Lessee shall provide the Lessor (City's Risk
Management Office) with certified copies of all policies as required above before occupancy of
the demised premises, and from time to time as the policies may be renewed, revised or
obtained from other insurers.
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