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TEN YEAR LEASE AGREEMENT , . . J I LEASE AGREEMENT THIS LEASE, made and entered into this~~ay of tJ1A/lA"~ , 2000, by and between the CITY OF CLEARWATER, FLORIDA, ' a municipal corporation, hereinafter called the "City", whose address is Post Office Box 4748, Clearwater, Florida 33758-4748, and CHI CHI RODRIGUEZ, YOUTH FOUNDATION, INC., a Florida no-profit corporation, hereinafter called the "Foundation", whose address is 3030 North McMullen Booth Road, Clearwater, Florida 33761. WHEREAS, the City and the Foundation entered into a Lease Agreement for the "Glen Oaks" Golf Course on January 3, 1984, for an original term of five (5) years, and was subsequently amended on two (2) occasions as follows: A. On January 2, 1989, the First Extension to the Lease Agreement was entered into between the City and the Foundation, extending the term of the lease for an additional five (5) years ending on January 3, 1994. B. On April 24, 1994, the Second Extension to the Lease Agreement was entered into between the City and the Foundation extending the term of the lease for an additional five (5) years ending on April 23, 1999; and WHEREAS, the Foundation is currently operating under a month-by-month agreement with the City until such time as a new Lease Agreement can be executed; and WHEREAS, it is the intent of the City and Foundation to enter into a lease agreement for the premises described herein. NOW THEREFORE, in consideration of the foregoing and the mutual covenants contained hereinafter, IT IS AGREED AS FOLLOWS: GRANT OF LEASE AND TERM 1. That for and in consideration of the covenants to be kept and maintained by the Foundation and the mutual benefit to the parties, the City does hereby lease and let unto the Foundation, its successors and assigns, subject to the terms and conditions hereinafter set forth, that certain real property located in the City of Clearwater, Florida, more particularly described in Exhibit "A" attached hereto and incorporated hereby by reference. The term of this lease shall be for a period of ten (10) years, commencing March 2, 2000 and ending March 1, 2010, unless sooner terminated by the provisions hereof. ,(I:) / (:? /') ~:~/ >.~ I. .~....._ i i ) " : J I MUTUALLY AGREED UPON RENT 2. The Foundation shall pay annually to the City as mutually agreed upon rent for the premises three percent (3.00%) of the gross revenues of the Glen Oaks Golf Course. The Foundation also agrees to pay sales tax applicable to such mutually agreed upon rent. Gross revenues include, but are not limited to green fees, cart fees, food, beverage, and merchandise sales, equipment rental, clubhouse rental, and any other revenues. For the purposes of this lease donations to the Foundation are not considered revenue and are exempt from this provision. The said rent payments shall be paid to the City not later than ninety (90) days after the close of the Foundation's fiscal year. The disposition of remaining funds will be at the discretion of the Board of Directors of the Foundation for the improvement of the course, facilities, and Foundation youth programs and to establish suitable reserves for maintenance, improvement and debt service. LEASE NOT ASSIGNABLE WITHOUT CONSENT 3. It is expressly agreed between the parties that this lease shall not be assignable to any other person, firm or corporation without the express written consent of the City, which consent may be granted or denied in the sole discretion of said City. USE AS PUBLIC GOLF COURSE 4. It is understood between the parties that the real property, which is the subject of this lease, will not be used in any manner other than as a public golf course facility. The Foundation shall use the facility for charitable and educational purposes and benefit youth golf programs run by the Foundation, FOUNDATION COVENANTS TO KEEP AND MAINTAIN A GOLF COURSE 5. The Foundation covenants that it will keep and maintain upon the real property an 18 hole golf course, together with incidental improvements and will use, occupy and make available, as herein contemplated, such premises as a golf course and related facilities for pleasure, recreation and other purposes consistent with such golf course operation and the educational tax exempt purpose of the Foundation, During the term of the within lease and any extensions thereof, such golf course shall be operated and the facilities shall be open for usage during the normal hours of operation of the same or similar facilities in the area; provided, however, that at reasonable times portions of such course may be closed for necessary repair and/or reconstruction and/or maintenance. 2 fO I I AVAILABILITY OF GOLF TO THE PUBLIC 6. The Foundation, in its operation of the course shall, at all times, subject to reasonable rules and regulations common to other similar facilities in the area, make such course available to the public on payment of reasonable green fees. The Foundation will, at all times, conduct its operation in such a manner as will be conducive to greens fee play and will undertake any and all reasonable acts to insure that the public is aware that such course is available for greens fee play and will make reasonable efforts to see that the prevailing atmosphere at the Foundation will be such that greens fee players will feel welcome to use the facility. The provisions of this paragraph shall be a material part of this lease. GREENS FEE PLAYERS RIGHTS AND OBLIGATIONS 7. The City recognizes the right of the Foundation to require greens fee players to comply with rules and regulations. Failure of greens fee players to comply with established rules and regulations may, at the discretion of the Foundation management result in loss of playing privileges. Any complaints relating to play by greens fee players shall be referred to the Liaison Committee established herein for appropriate action. FACILITIES AVAILABLE TO CITY 8. The Foundation agrees to permit the City's use of the Clubhouse and facilities therein for City sponsored events based upon the availability of the Clubhouse and with 48 hours prior notice. The City shall be responsible for all cleaning and damage costs associated with its use and shall be responsible for returning the Clubhouse and its facilities to the Foundation in the same state of sanitation and repair in which they were received. USE AND CARE OF PREMISES 9. The Foundation covenants and agrees that it will, at all times, keep, maintain and operate such course and the facilities thereon, or in any way connected therewith, in a good and prudent manner to the end that such course shall be kept in good, playable condition. The Foundation agrees that it will keep and maintain, in good repair, all permanent improvements, such as buildings, and water systems, including the making of necessary replacements and/or repairs even though the making of such repairs and improvements shall extend the life of such facility or facilities beyond the expressed date of this lease. Foundation and City Parks and Recreation Director shall meet annually to mutually agree upon a capital improvement program to be implemented by the Foundation 3 (X1 J I LANDSCAPING 10, The Foundation agrees to upgrade the landscaping along the Court Street corridor consistent with all applicable city codes and consistent with the median landscaping design on Gulf to Bay Boulevard and Court Street. The City will provide the landscape design, donating the design for lesson plans in the curriculum of the Foundation program, and shall approve the installation. All work must be completed within eighteen (18) months after completion of the design. The landscape design shall be used as an educational program and the Foundation shall provide educational personnel and materials for the completion of the project. NO PERMANENT COURSE LAYOUT CHANGES WITHOUT WRITTEN CONSENT OF CITY 11. The Foundation covenants and agrees that no permanent change in the layout of the course shall be made except with the express written consent of the City, which shall not be unreasonably withheld. Unless otherwise provided, all duties of construction, repair, alteration or maintenance imposed by the within lease are and shall be separate expenses of the Foundation and shall never directly or indirectly be chargeable to the City nor in any way be a mechanic's or materialmen's lien or charge upon any lands. LEASE MAY BE RECORDED TO PROTECT CITY AGAINST LIENS 12. This instrument may be recorded in the public records of Pinellas County, Florida, and all persons, firms or corporations whomsoever are called upon to take due notice of these limitations and the superior rights of the City herein. NO PERMANENT STRUCTURES TO BE REMOVED 13. No permanent structure, once constructed, shall be removed from the premises or materially altered except with written consent of the City which shall not be unreasonably withheld and all persons, firms or corporations are expressly called upon to take due notice of the requirements of this lease. CITY RESERVED RIGHT TO DRAINAGE, UTILITY LINES, ROADS, ETC. 14. The City reserves at all times during the term of this Lease or any extension or renewal thereof the continuing right but not the obligation to utilize any portion of the leased premises for drainage, laying and maintaining utility lines or facilities, including roads, or other necessary rights of way, provided, nevertheless, the City shall use its best efforts to adopt such route or route~ as will be reasonable and economically feasible to minimize interference with the purposes of this Lease. 4 ;)() '. " .<<J , . " I I BANKRUPTCY OR DEFAULT, CITY HAS OPTION TO TERMINATE 15. Should the Foundation hereinafter be adjudged bankrupt or become insolvent or in any other way be financially unable to keep the covenants of this Lease, the City may at its option, terminate the lease, as though for breach of any other covenant. FOUNDATION WILL PERFORM ITS OBLIGATIONS 16. The Foundation, in the performance of the covenants contained in this lease, shall at all times do or perform such acts or actions as shall be reasonably required by the context of this lease to fully perform its obligations hereunder, and shall, conversely, refrain from doing or permitting to be done any acts or actions which would jeopardize either its performance or ability to perform the covenants contained herein or the payment of rentals contemplated by the parties, CONSTRUCTION OF NEW CLUBHOUSE 17. The City agrees to fund the construction of a new 4,400 square foot Clubhouse as determined by the City with the advice of the Foundation. INSURANCE, INDEMNIFICATION AND HOLD HARMLESS 18. The Foundation agrees to indemnify and hold the City and its employees harmless from and against any and all claims, demands, and causes of action or lawsuits of whatever kind or character arising directly or indirectly from this agreement or the performance hereof. This indemnity clause includes, but is not limited to, claims, demands, causes of action or lawsuits for damages or injuries to goods, wares, merchandise and property and for any bodily or personal injury or loss of life in, upon or about the property. The Foundation shall obtain at its own expense, and maintain during the term of this agreement, the insurance coverages set forth below: (1) Prooertv Insurance - Real property including improvements or additions shall be insured. a. Form - All Risk Coverage - Coverage shall be no more restrictive than that afforded by the latest edition of Insurance Services Office forms CF0011, CF0013, CF0420, and CF1210. If available, sinkhole insurance is to be included. If the provisions of the Foundation's All Risk Coverage do not include sinkholes and the unavailability of such coverage is verified by the City's insurance consultants, the Foundation shall be deemed to be in compliance with this paragraph. 5 ~ . ~ I I b. Amount of Insurance - The amount of coverage shall be the full insurable value on a replacement cost basis. c. Flood Insurance - When building or structures are located within an identified special flood hazard area, flood insurance shall be provided for the total insurable value of such buildings or structures or the maximum of flood insurance coverage available under the National Flood Insurance Program, whichever is less. (2) Boiler and Machinery Insurance - If the buildings or structures include boiler(s), pressure vessel(s), or air conditioning/heating equipment, the Foundation shall maintain comprehensive insurance covering loss on the property included liability for damage to property of others, a. Repair and Replacement. b, Amount of Insurance - $1,000,000.00 per accident (3) Comprehensive General Liability 0 Coverage shall be afforded on a form no more restrictive that the latest edition of the Comprehensive General Liability policy filed by the Insurance Services Office and shall include: a. Minimum limits of $1,000,000.00 per occurrence combined single limits for bodily injury liability, personal injury, and property damage liability, b, Premises and Operation. b. Independent Contractors, c, Products or Completed Operations. d. Personal Injury Coverage with employees and contractual exclusions removed. e. Liquor Law Liability, if applicable. f. Golf carts or other golfing appurtenances, not owned by the Foundation but brought onto the property by others. (4) Business Auto Policv - Coverage shall be afforded on a form no more restrictive than the latest edition of the Business Auto Policy filed by the Insurance Services Office and shall include: 6 (JO I I a. Minimum limits of $1,000,000.00 per occurrence, combined single limits for bodily injury liability and property damage liability. b. Coverage on all vehicles (owned, hired, and non-owned). (5) Workers Compensation - Coverage shall apply for all employees for statutory limits in compliance with the applicable State and Federal laws. In addition, the policy shall include employer's liability with a limit of $500,000.00 for each accident. If the State of Florida approves the self-insured status of the Foundation, the City agrees to recognize and accept such status upon proof of such approval. Other Reauirements. (1) The City shall be named as an additional insured on all insurance policies required under this agreement. (2) Copies of insurance certificates for all insurance required by the agreement, and copies of all insurance policies covering insurance required by this agreement, shall be furnished to the City Clerk of the City prior to the use of the property. (3) Not less than sixty (60) days notice of cancellation or restricted modifications of any insurance policy providing the coverage required by this agreement shall be required on all insurance policies. COMPLIANCE WITH EXISTING LAWS AND REGULATIONS 19. The Foundation agrees that in its use and occupancy of the leased property it will comply with all applicable laws, rules, regulations and ordinances of every governmental body or agency whose authority extends to the leased property or to any operations conducted upon the leased property, whether or not such laws, rules, regulations or ordinances are mentioned herein. FOUNDATION TO SUPPLY AUDIT BY C.P.A. 20. The Foundation agrees for determination of the cash rental to be paid hereunder that it shall at least annually, in each year of the term of this lease, at its own cost, furnish to the City a complete audit of its operations, prepared by a Certified Public Accountant, together with such interim accounts as may from time to time be requested. Such annual statement shall be furnished within ninety (90) days after the close of the Foundation's fiscal year. The Foundation shall further submit to the Parks & Recreation Director and annual report of course operation. 7 .<Jd r " I I RIGHT OF ENTRY BY CITY 21. Agents of the City shall be afforded the right at all reasonable times to enter upon the leased property for the purpose of inspecting the leased property. OBLIGATION TO PAY TAXES 22. The Foundation agrees to pay any federal, state or local taxes which may be levied on the property or any improvements or uses placed thereon, but it is agreed that the uses herein serve a public and municipal purpose and the parties do not waive any exemptions permitted by law. WRITTEN CONSENT OF CITY NECESSARY FOR ANY CHANGES 23. Foundation must get City approval which shall not be unreasonably withheld to remove, demolish, remodel or replace any building or other structure on the leased land. LIAISON COMMITTEE 24. The parties agree to maintain a Liaison Committee. The purpose of the Committee is for the continued exchange of information between the parties and to eliminate problems or misunderstandings as well as to keep open the lines of communication between the City and the Foundation. The parties herein establish a Liaison Committee consisting of a person assigned by the Board of Directors of the Foundation and the City Park and Recreation Director. The parties contemplate that the Committee shall meet and discuss any matter of mutual concern, including complaints by greens fee players or other Clearwater residents concerning the operation of the Foundation. The Board of Directors of the Foundation will make an investigation of any such complaint and its findings together with the resultant action taken will be reported back through the Committee to the City. This liaison function of the Committee is not limited to the handling of complaints, nor is it intended to supplant any other channels of communication established or normally observed, between the City and the Foundation. TERMINATION 25. City may terminate this lease with thirty (30) day's written notice to the Foundation if Foundation violates any provision of this lease and fails to cure any alleged default within said thirty (30) day period. City may also terminate this lease for any municipal purpose consistent with City Charter by giving one (1) year written notice to Foundation. 8 ()(} 1,' p() ~, . I I HOLDOVER AFTER TERMINATION ON MONTH TO MONTH BASIS 26. If the Foundation, with the consent of the City, continues in possession of the leased property after expiration of the term of this lease, then the Foundation will be deemed to be holding the leased property on a month to month tenancy subject to all of the other provisions of this lease, but such tenancy by sufferance of the Foundation shall not be construed as a waiver of any right hereunder conferred upon the City. FAILURE TO ACT BY CITY NOT A WAIVER 27. Failure of the City to insist upon performance of any covenant hereunder shall not be deemed to be a waiver of the right to insist upon full performance at any subsequent time. AMENDMENTS MUST BE IN WRITING 28. Any additions or modifications to this lease shall be in writing and shall be executed by both parties and no oral agreement shall be effective to change or modify the terms of this lease, IN WITNESS WHEREOF, the parties have executed this Agreement the day and year first above written, CHI CHI RODRIGUEZ, YOUTH FOUNDATION, INC. CITY OF CLEARWATER By: By: MiCtl J. Roberto City Manager iIIiam C. Hayes President By: ------ J. ~ l~jA Brian J. Auid'st ' Mayor-Commissioner 9 ;, . I I [Continuation of Signature Page of Lease Agreement between City of Clearwater, Florida and Chi Chi Rodriquez, Youth Foundation, Inc.] ATT.rT~rT...:: . ~~ MvCynthia E. Goudeau" ... . U.. City Clerk ." Approved as to form: ~~ John Carassas Assistant City Attorney S:/Agreement ChiChiRYF-Lease 10 ,M 1'.4; r.... ,.a() I I EXHIBIT "A" Commence at the Northeast corner of the Southeast 1/4 of Section 15, Township 29 South, Range 15 East; thence run N 89015'59" W., 30.00 feet; thence run S 0000'21" E, 50.00 feet to the point of beginning; thence run N 89015'59" W., 1300.68 feet; thence run S 0004'58" W., 1229.58 feet; thence run S 89011'25" E, 666.36 feet; thence run N 0003'11" E, 784.67 feet; thence run S 89019'00" E, 505.40 feet; thence run N 0000'21" W., 375.36 feet; thence run S 89015'59" E, 130.01 feet; thence run N 0000'21" W., 70.01 feet to the P,O.B, together with Lots 2 through 7, Block C, Druid Heights, as recorded in Plat Book 24, Page 64, of the Public Records of Pinellas County, Florida. 11