TEN YEAR LEASE AGREEMENT (2)
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BUSINESS LEASE CONTRACT
THIS LEASE CONTRACT, entered into this J1-1f-- day of L~NJI---- ,2004, between the
FLORIDA STATE COUNCIL OF THE PENTECOSTAL ASSEM~E WORLD, INC., a
corporation sole organized and existing under the laws of the State of Florida ("Lessor"), and the
CITY OF CLEARWATER, FLORIDA, a Florida municipal corporation ("Lessee"), collectively
("Parties").
WIT N E SSE T H:
That the Lessor does lease to the Lessee the following premises consisting of approximately
4300 square feet of land located at 1304 North Greenwood Avenue, Clearwater, Pinellas County,
Florida, and being more specifically described as follows:
The East 36 feet of the North 50 feet of Lot 7, and the North 50 feet of Lot 8, LESS
the east 5 feet, Block 3, C. E. JACKSON'S SUBDIVISION, according to the plat
thereof as recorded in Plat Book 2, Page 96, Public Records of Hillsborough
County, Florida of which Pinellas County was formerly a part, the same being
depicted in EXHIBIT "A" appended hereto.
Such property shall hereinafter be referred to as the "lease premises" or "leased property."
1. LEASE TERM.
The term of this lease shall be for 10 years; which term will commence on the 20th day of May,
2004, and shall continue through midnight on the 19th day of May, 2014 (herein called the "initial
term"). The Lessee shall have the option to extend the term of this lease for one successive period
of 10 years (the "extended term"). No such renewal or extension shall be deemed a waiver by Lessor
of any breach or default which may then exist. The extended term shall be upon the same conditions
and terms, and the rent shall be determined and payable, as provided in this agreement, except that
there shall be no privilege to extend the term beyond the expiration of the extended term period as
hereinabove specified. The Lessee shall exercise the option for an extended term by notifying the
Lessor in writing at least two (2) calendar months prior to the expiration of the then current term.
Upon such exercise, this lease shall be deemed to be extended without the execution of any further
lease or other instrument. Failure to exercise the option as required herein shall nullify the option for
the extended term.
2. RENT.
The Lessee agrees to pay and the Lessor agrees to accept as rent during the initial term of
this lease the sum of Twelve Thousand and 00/100 Dollars ($12,000.00), the sufficiency of which is
hereby acknowledged. Initial annual payment of Twelve Hundred and 00/100 Dollars ($1,200.00) is
due within 15 days following execution of this lease by Lessee, and thereafter nine additional annual
payments of Twelve Hundred and 00/100 Dollars shall be due and payable on the 1 st day of May of
each succeeding year throughout the initial lease term. Should Lessee exercise its option to extend
this lease for an additional term as provided above, the rent for the extended term shall be
established at time of exercising the option so as to maintain the same ratio of annual rent to the then
assessed land value as determined by the Pinellas County Property Appraiser as the ratio of the
present annual rent; Le., $0.279 per square foot to the current assessed value of $3.00 per square
foot.
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3. USE OF PREMISES.
The premises are leased to Lessee solely for the following uses and no other use can be
made of the premises during the term without the written consent of the Lessor: The premises will be
integrated with Lessee owned property adjacent and contiguous on both the north and south of the
leased premises, the total to be utilized as a non-commercial parking facility (hereafter "parking lot")
available for patrons of neighborhood businesses and other recognized organizations, including but
not limited to the congregation, membership and invitees of Lessor. Lessee may make reasonable
rules and regulations concerning any and all the persons who may use the parking lot and the times
and manner in which it shall be used.
4. UTILITIES.
Water, sewer, electric and all other utilities of any kind as are currently paid by each of the
parties shall remain unchanged and continue to be be billed to the respective party, notwithstanding
entry by the parties into this lease contract.
5. TAXES.
At the time of entry into this Lease contract both parties hereto are exempt from payment of ad
valorem and other taxes that may be levied on the property or the leasehold created by this
instrument. In the event that either party should lose such exemption, or convey title to a portion or all
of its property comprising the subject parking lot to a successor owner not similarly exempt, then the
successor owner shall be responsible for payment of any and all taxes lawfully imposed without
effect on any and other terms and conditions contained herein.
6. OBSERVANCE OF LAWS AND ORDINANCES.
Lessor and Lessee agree to respectively observe, comply with and execute promptly during the
term hereof, all laws, rules, requirements, orders, directives, codes, ordinances and regulations of
governmental authorities and agencies and of insurance carriers which relate to each party's use or
occupancy of the lease premises.
7. ASSIGNMENT OR SUBLEASE.
Lessee shall not, without first obtaining the written consent of Lessor, assign, mortgage,
pledge, or encumber this lease, in whole or in part, or sublet the premises or any part thereof. Lessor
expressly covenants that such consent to sublet shall not be unreasonably or arbitrarily refused. This
covenant shall be binding on the legal representatives of Lessee, and on every person to whom
Lessee's interest under this lease passes by operation of law.
If the premises are sublet or occupied by anyone other than Lessee, and Lessee is in default
hereunder, or if this lease is assigned by Lessee, Lessor may collect rent from the assignee,
subtenant, or occupant, and apply the net amount collected to the rent herein reserved. No such
collection shall be deemed a waiver of the covenant herein against assignment and subletting, or the
acceptance of such assignee, subtenant, or occupant as Lessee, or a release of Lessee from further
performance of the covenants herein contained.
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8. ALTERATIONS AND IMPROVEMENTS.
The Lessee shall not make any structural alterations or modifications or improvements which
are part of the leased property without the written consent of the Lessor, and any such modifications
or additions to said property shall become the property of the Lessor upon the termination of this
lease or, at Lessor's option, the Lessee shall restore the leased property at Lessee's expense to its
condition as existed prior to such alterations or modifications. The restrictions of this paragraph shall
not apply to maintenance of the leased property, but shall apply to any change which changes the
architecture or purpose of the property. In the event Lessee desires to make any alterations or
modifications, written notice shall be given to the Lessor. Unless the Lessor objects to such
proposals by notice to Lessee within twenty (20) days after written notice from Lessee, the proposal
shall be deemed approved. Lessee shall have no power or authority to permit mechanics' or
materialmen's liens to be placed upon the leased property in connection with maintenance,
alterations or modifications. Lessee shall, within fifteen (15) days after notice from Lessor, discharge
any mechanic's liens for materials or labor claimed to have been furnished to the premises on
Lessee's behalf. Not later than the last day of the term Lessee shall, at Lessee's expense, remove all
of Lessee's personal property and those improvements made by Lessee which have not become the
property of Lessor, including trade fixtures and the like. All property remaining on the premises after
the last day of the term of this lease shall be conclusively deemed abandoned and may be removed
by Lessor and Lessee shall reimburse Lessor for the cost of such removal.
9. RISK OF LOSS.
All personal property placed or moved onto the lease premises shall be at the risk of the
Lessee or owner thereof. The Lessor shall not be responsible or liable to the Lessee for any loss or
damage that may be occasioned by or through the acts or omissions of persons occupying adjoining
premises or any part of the premises adjacent to or connected with the lease premises.
10. RIGHT OF ENTRY.
The Lessor, or any of its agents, shall have the right to enter said premises during all
reasonable hours, to examine the same to make such repairs, additions or alterations as may be
deemed necessary for the safety, comfort, or preservation thereof.
11. MAINTENANCE I RESTORATION.
Lessee represents that the lease premises are in good, sanitary and tenantable condition for
use by Lessee. Lessee's acceptance or occupancy of the leased premises shall constitute a
recognition of such condition. Lessee hereby accepts the premises in the condition they are in at the
beginning of this lease and agrees to maintain said premises in the same condition, order and repair
as they are at the commencement of said term, excepting only reasonable wear and tear arising from
the use thereof under this agreement. In consideration of Lessee entering into this lease contract,
and for the priviledge of Lessor's congregation, membership and invitees reasonable use thereof,
Lessor agrees to maintain the parking lot (EXHIBIT "B"), defined as encompassing and including all
of the following described parcels: C. E. JACKSON'S SUB. ,Block 3, Lots 9 & 10, LESS road on
north and east, said parcels being adjacent on the north to lease premises, and C. E. JACKSON'S
SUB., Block 3, the South 100 feet of Lots 5, 6, 7, and 8, LESS the East five feet of Lot 8, said parcels
being adjacent on the south to the lease premises, in a clean and orderly manner. Maintenance by
Lessor shall include both weekly landscape maintenance and litter control.
Page 3 of 8
12. INSURANCE.
Lessee shall maintain, or provide through self-funding, throughout the lease term and at
Lessee's sole expense, public liability insurance including bodily injury and property damage equal to
the maximum limits of liability provided for in Section 768.28, Florida Statutes, plus any excess
liability insurance coverage that may be purchased by Lessee. Any policies of insurance provided for
herein to be carried by Lessee shall be issued by insurance companies certified to do business by he
State of Florida and its insurance regulatory bodies; provided, however, lessee may self-fund any risk
provided for in this paragraph in lieu of purchasing insurance coverage therefore. Certificates of
insurance or letters of self-funding shall be delivered to Lessor within fifteen (15) days following
execution of this lease contract by Lessor and Lessee.
13. DESTRUCTION OF PREMISES.
In the event that the lese premises should be totally destroyed by fire, flood, earthquake or
other cause, to such an extent that it cannot be rebuilt or repaired within one hundred twenty (120)
days after the date of such destruction, either party may terminate this lease.
If, however, the improvements should be partially damaged by fire, flood, earthquake or other
cause, but only to such an extent that it can be rebuilt or repaired within one hundred twenty (120)
days after the date of such destruction, this lease contract shall be void or voidable, but not
terminated, except as otherwise provided herein. If the Lessor intends to rebuild or repair the
premises, Lessor shall, within fifteen (15) days after the date of such damage, give written notice to
Lessee of the intention to rebuild or repair and shall proceed with reasonable diligence to restore the
improvements to substantially the same condition as existed immediately prior to the destruction.
During the period of rebuilding or repairing, there shall be no diminution of rents. If, after rebuilding or
repairing has commenced, such rebuilding or repairing cannot be completed within one hundred
twenty (120) days after the date of commencement, either Lessor or Lessee, at their respective
option, may terminate the lease.
14. EMINENT DOMAIN.
If the whole or any part of the premises hereby leased shall be taken by any public authority
under power of eminent domain, then the term of this lease shall cease on the part so taken from the
date title vests pursuant to such taking, and the rent and any additional rent shall be paid up to that
day, and if such portion of the demised premises is so taken as to destroy the usefulness of the
premises for the purpose for which the premises were leased, then from that day the Lessee shall
have the right to either terminate this lease or to continue in possession of the remainder of the same
under the terms herein provided. The parties agree that the Lessee shall not be entitled to any
damages by reason of the taking of this leasehold, or be entitled to any part of the award for such
taking, or any payment in lieu thereof.
15. SUBORDINATION.
This lease and the rights of the Lessee hereunder are hereby made subject and subordinate
to all bona fide mortgages now or hereafter placed upon the said premises by the Lessor and any
other owner provided, however, that such mortgages will not cover any fixtures or equipment on the
Page 4 of 8
lease premises owned by the Lessee. The Lessee further agrees to execute any instrument of
subordination which might be required by mortgagee of the Lessor.
16. DEFAULT; TERMINATION
(a) Termination by Lessor: Thjis lease contract shall be subject to termination by Lessor 1) in
the event of material default by Lessee in the performance of any of the terms, covenants or
conditions, and in the failure of Lessee to remedy, or undertake to remedy, to Lessor's commercially
reasonable satisfaction such default for a period of 30 days after receipt of notice from Lessor to
remedy same, or 2) in the event Lessee shall abandon or vacate the lease premises.
(b) Termination by Lessee: This agreement shall be subject to termination by Lessee in the
event of material default by Lessor in the performance of any of the terms, covenants or conditions,
and in the failure of Lessor to remedy, or undertake to remedy, to Lessee's commercially reasonable
satisfaction such default for a period of 30 days after receipt of notice from Lessee to remedy same.
(c) Exercise: Exercise of the rights of termination set forth in this Section shall be by notice
to the other party. Forbearance of timely notice shall not be deemed a waiver of any breach.
17. NOTICE
Any notice given by one party to the other in connection with the lease contract shall be sent
certified mail, return receipt requested, with postage and fees prepaid:
a) If to the Lesser, addressed to:
Dr. Earl Parchia
Pentecostal Assemblies of the' World, Inc.
P. O. Box 68
Killarney, Florida 34740
b) If to the Lessee, addressed to:
City Attorney
City of Clearwater
P. O. Box 4748
Clearwater, FI. 33758-4748
18. MISCELLANEOUS
(a) Both the Lessor and Lessee shall have the unrestricted right of assigning this lease at any
time, and in the event of such assignment, the assignor shall be relieved of all liabilities hereunder.
(b) This contract shall bind the Lessor and its assigns or successors, and the Lessee and
assigns and successors of the Lessee.
(c) It is understood and agreed between the parties hereto that time is of the essence of this
contract and this applies to all terms and conditions contained herein.
(d) It is understood and agreed between the parties hereto that written notice sent by certified
or registered mail, or hand delivered to the office of the City Attorney, shall constitute sufficient notice
to the Lessee, and written notice sent by certified or registered mail or hand delivered to the office of
the Lessor shall constitute sufficient notice to the Lessor, to comply with the terms of this contract.
Page 5 of 8
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(e) The rights of the Lessor under the foregoing shall be cumulative, and failure on the part of
the Lessor to exercise promptly any rights given hereunder shall not operate to forfeit any of the said
rights.
(f) It is hereby understood and agreed that any signs to be used by Lessee shall be subject to
the prior approval of the Lessor, which approval shall not be unreasonably wiwthheld.
(g) It is understood that no representations or promises shall be binding on the parties hereto
except those representations and promises contained herein or in some future writing signed by the
party making such representations or promises.
19. SUBROGATION.
The Lessor and Lessee do agree that each will cause its policies of insurance for fire and
extended coverage to be so endorsed as to waive any rights of subrogation which would be
otherwise available to the insurance carriers, by reason of any loss or damage to the lease premises
or property of Lessor. Each party shall look first to any insurance in its favor before making any claim
against the other party. Nothing contained herein shall in any way be considered or construed as a
waiver or release by the Lessor of any and all of the other covenants and conditions contained in this
lease to be performed by the Lessee.
20. ESTOPPEL LETTER.
In the event Lessor shall obtain a loan from an institutional lender, and if the following shall be
a requirement of such loan, the Lessee agrees to execute an estoppel letter in favor of the lender
verifying the standing of the lease, the terms thereof, and all amounts paid thereunder and such
other matters as may be reasonably requested.
21. INDEMNIFICATION.,
The Lessee shall save and hold harmless the Lessor, its successors and assigns, from any
and all liability arising during the lease term from injury to person or property occasioned wholly or in
part by any negligent act or omission of the Lessee or Lessee's servants, agents and employees in
use of the premises described herein, provided, however, the Lessee shall not be liable to the Lessor
for any damage or injury to the extent that the Lessor's insurance provided coverage therefore, and
provided, further, that the Lessee shall not be liable for any negligence of teh Lessor, its servants,
agents, employees, successors or assigns, and provided, further, that the total amount to be
indemnified by the Lessee in any event under any circunstances shall not exceed the statutory limits
set forth in Section 768.28, Florida Statutes, plus any excess liability insurance coverage purchased
by Lessee.
22. "AS IS" CONDITION.
The Lessee accepts the leased premises on an "as is" basis, and Lessor shall have no
obligation to improve the leased premises preliminary to the commencement date of thsi lease.
Page 6 of 8
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23. CONSTRUCTIVE EVICTION.
Lessee shall not be entitled to claim a constructive eviction from the premises unless Lessee
shall have first notified Lessor in writing of the condition or conditions giving rise thereto and, if the
complaints be justified, unless Lessor shall have failed within a reasonable time after receipt of such
notice to remedy such conditions.
24. SEVERANCE.
The invalidity or unenforceability of any portion of this lease shall in nowise affect the
remaining provisions and portions hereof.
25. CAPTIONS.
The paragraph captions used throughout this lease are for the purpose of reference only and
are not to be considered in the construction of this lease or in the interpretation of the rights or
obligations of the parties hereto.
26. NO HAZARDOUS MATERIALS.
The Lessee herewith covenants and agrees that no hazardous materials, hazardous waste, or
other hazardous substances will be used, handled, stored or otherwise placed upon the property or,
in the alternative, that such materials, wastes or substances may be located on the property, only
upon the prior written consent of the Lessor hereunder, and only in strict accord and compliance with
any and all applicable state and federal laws and ordinances. In the event such materials are
utilized, handled, stored or otherwise placed upon the property, Lessee expressly herewith agrees to
indemnify and hold Lessor harmless from any and all costs incurred by Lessor or damages as may
be assessed against Lessor in connection with or otherwise relating to said hazardous materials,
wastes or substances at anytime, without regard to the term of this lease. This provision shall
specifically survive the termination hereof.
27. CONFORMANCE WITH lAWS.
The parties mutually agree to comply with all applicable federal, state and local laws during the
life of this Contract.
28. ATTORNEY'S FEES.
In the event that either party seeks to enforce this Contract through attorneys at law, then the
parties agree that each party shall bear its own attorney fees and costs.
29. GOVERNING lAW.
The laws of the State of Florida shall govern this Contract; any action brought by either party
shall lie in Pinellas County, Florida.
Page 7 of 8
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IN WITNESS WHEREOF, the parties hereto have executed this Contract as of the date set
forth above.
Countersigned:
BrianJ.A~
Mayor-Commissioner
Approved as to form:
CiJh
Laura Lipo~ski
Assistant ~ity Attorney
KIMBLEY HALE
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Page 8 of 8
CITY OF CLEARWATER, FLORIDA
~~/J~-g:
William B. Horne II
City Manager
FLORIDA STATE COUNCIL OF THE
PENTE\COST AL ASSEMBLIES OF
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