LEASE AGREEMENT (2)LEASE AGREEMENT
THIS LEASE AGREEMENT, made and entered intn this a� af ���12�11, by and
between the CITY OF CLEARWATER, FL�RIDA, a municipal corpoxation, hereinaftex �efexxed
ta as "Lessar", and Clearwate� Angler, L.L.C., 25 Causeway Boulevaxd, Clcarwatex, Florida 33767,
he�einafter xe£exred ta as "Lessee."
WITNESSETH:
That in considetation of the covenants herein contained of the granting of this lease and the
sums paid and ta be paid hexeundex, the Lessox hc�el�y leases to die Lessee and the Lcsscc hcrcby
leases from the Lessor according to the texms, conditions and covenants hexein contained the
t"ollowu�g described premises in the Ciry of Clearwatex, PineAas County, �'lorida, to wit:
See attached Exhibit "A."
THE P1IRTIES HERETO HEREBY C�VENANT AND AGR�E AS FOLLOWS:
1. This lease shall be for a thtee (3) year lease term, with the oprion to �enew fox an,
additional one (1) year texm beginning Octabex 1, 2011, and ending either September 30, 2014 or
2015 (if the opuon is exercised). The I.essor xetains the right ta tetminate this lease for any
xnunicipal need consistent with the Lessor's chartex; as well as failu�e to pay rent in a timely manner
or change in use of the pxoperty. In addirion, Lessor may termuiate tlais lease if rhe State of Florida
or any of its agencies ox political subdivisians the�eof acquires the demised p�opexty or any poxtian
thereof for a public purpose. This right of teYmination is in addition to the xight of termination set
out in paragxaph 14 of this agreement
2. The Lessee hereby covenants and agrees to pay rental thereof as follows:
a. To pay the tatal sum of $10,975.56 plus tax for the £irst yeax of this lease, which
shall be paid in equal monthly payments of $914.C.�3 plus tax through Septembex 30, 2012. If
additional square footage is constructed or occupied, it shall be paid monthly at a rate deterxruned by
market rate surtrey pex square faot. Each monihly payment shall be due and payable on the first day
of the month, and shall be deliuiquent if nat paid an or befoxe the fifth day of the month. In
addition to the monthly rental, the Lessee shall, at the end of each quarter (March, June, Septembex
& Decembex), shall pay additional amaunts equal to eight (8) percent of monthly puxchases of all
alcohol beverages throughout the term of this lease. This payment will be made along with the
Clearwater ringlex, L.L.C., Bait House Lease Page 1
Lessee's payment of the monthly xent. The Lessee will provide the Lessor within 15 days after the
end of each quartet during the term of this lease a statement showing the amount of alcohol
beverage puxchases accounted sepaxately during the quarterly period. The term "alcohol beverage"
means all beve�ages containirig alcohal. No deduction shall be allowed fox uncollected ox
uncollecrible cxedit accaunts. Such term shall not include, however, any sums collected and paid out
for any sales or excise ta� imposed by a govemmental authotity wherein Lessee is regaxded as the
collecting agent. Rental rates ancrease by 3% ovex the previous lease year rate on Octaber 1st of
each subsequent yeax of the lease.
b. Any amount due from Lessee to Lessar under this lease which is not paid befoxe
the day the payment becomes delinquent shall bear intexest at the znaximum rate allowable by law,
plus a late chaxge of Ten Dollaxs ($10.00) ta cover Lessor's expenses in collecting such delinquency.
c. In additi�n to the fitst month's rent of $914.G3 plus tax, which is due and payable
on the �st day of the lease, the Lessee shall pay $281.04 in advance as a deposit including tax to
secure the faithful performance of the Lessee's obligations hereunder. The Lessor may deduct from
the depasit any amount, which might became due ftom the Lessee to the Lessox for damage to the
pxemises o� fox any reason ox cause whatsoevex except xent. 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.
d. Lessee ag�ees to pay any lease for submexged lands that may result from Lessee's
use of premises.
e. If Lessat de.faults in the �ayment of any installment of xent, �ustin Pfaelxer, as
Gua�antors unde� the Guaranty af Payxnent of Rent Undex Lease Agxeement (Exhibit "C", attached
hereto and incorpotated herein), shall pay the amaunt of such installxnent within 30 days aftex
receipt of norice of default and demand for payment as pxovided fdr therein.
3. The demised pxemises shall be used only for the purpose of canducting therein the sale
a£ live and frozen bait and ice, foad, on-premises consumptian of beer and wine with package sales,
the sale, �ental and repaix of sport fishing equipment including but not lixnited to heavy rods and
reels, specialized bait rigs, deep sea sport fishing equipment and oth�r sinvlar equipment. Lessee is
authoxized to Yent boats in the slips lacated on the Narth side of the bait house pier. These xental
baats are to be used stricdy for fishing, no othet use is authorized. The lessee is also autho�ized to
conduct charter activities subject to and limited by docking space to be allocated and assigned by the
Marine & Aviation Di.rectox. Charter activities shall be limited to the inland water of Clearwater
Harbor, Cleanvater Say and surrounding caastal waters, unless specifically exempted from such
Clearwater Anglez, L.L.C., Bait House Lease I'age 2
restricrion by the Marine & Aviarion Director. The sale of other associated commodities such as
nautical gifts and associated sundxies may be pernvtted; hocx�'eve� any use of the premises beyond the
sale of bait, ice, faod, on-ptemises consumption of beer and wine with package sales, and the spoxt
fishing equipment outlined herein will requ.ixe the priox written approval of Lessor, vvhich approval
shall not be unreasonably withheld.
a. The use of the premises to provide :infoxmarion, reservauon ox baol�ing service fox
other commercial sports fishing enterp�ise opexated from the marina is expressly prohibited. Lessee
may, at hex oprian, provide facilities for the maoxing of customer's boats on the Notth and East
sides of the above dock. No mooring faciliries may be provided on the South side �f the dock.
b. No boat of any kind except Lessee's chaxter, rental fishing boats and non-
passenger carrying bait boats may be docked overnight without the prior w�itten consent of the
Lessor.
�. The Lessee hereby covenants and agrees to make no unlawful, impropex, 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 �cxrhole or in paxt without the prior
written c�nsent of Lessot. '�'he consent of Lessor to any assignment, tnortgaging, pledging,
hypothecating ox subletting shall not constitute a waiver of the necessity far such consent to any
subsequent assignxnent, mortgage, pledging, hypothecating o� subletting. If this lease is assigned, or
i£ the premises or any part thexeof are sublet or dccupied by anybody other than Lessee, Lessor may
collect rent ftom the assigr�ee, sub-tenant or occupant, and apply the net amount callected to the
rent herein tequired, but no such occupancy or collecrion shall be deemed a waiver of this covenant,
or the acceptance of the assignee, sub-tenant or occupant as tenant, ar a release af Lessee from the
fuxthe� perfoxmance by Lessee of covenants c�n the patt of Lessee herein contained. If at any time
duririg the term of this lease, any part ox all of the corporate shares of Lessee shall be transferxed by
sale, assignment, bequest, inhezitance, operation of law ar other disposition so as t� result in a
change in the pxesent effective voting control of Lessee by the person, persans or entity which
presently is the ulrimate overner of a majority of such corporate shares on the date of this leases,
Lessee shall p�omptly notify Lessor in wtiting of such change. If the new ownex is a ptivate ox
public corpo�ation, Lessor shall pxompdy advise Lessee if it has any objections thereto and the
r�asons the�efox. Lessox may terminate this lease any time after such change in control by giving
Lessee thixty (30)_days prior written norice af such termuiation. Lessee shall not permit any business
to be opexated in or from the premises Uy any concessionaixe or Licensee.
5. Lessee agrees that it will promptly pay all ad valorezn real propexty taxes and personal
Clearwater �ingler, L.L.C., Bait House Lease Page 3
property taxes tkiat may be assessed and filed against the demised pxoperry or the leasehold cxeated
by this agxeement, or both, during the term of this lease. Lessee futther agrees that it will pay any
state sales tax due on the xental payment made by the Lessee to the Lessor and that it will pay all
ather taxes and fees, including, but not limited to, occupational license, bevexage license, and
perm.its relating the operation of the business conducted on the demised premises, which are
xec�uixed by law. Nothing herein shall obligate Lessee to pay ox to xeunbuxse Lessor for the payment
of assessments fox permanent improvements, including but not limited to sidewalks, sevvers, and
stteets, that wou.ld benefit the demised premises.
6. The Lessee hereby covenants and agrees to pay all bills for electrical service and water
usage to the premises when due, which electrical service shall be provided by 1'xogress Enexgy
Carporation, in accordance with the campany's rates and billing, and water service provided by the
City of Clearwater, in accordance with its standard rates and billing. At na expense to the Lessee,
the Lessor agrees to furnish a refuse disposal locatian and a refuse disposal conta.ine� located outside
the demised pxemises fot the use of the Lessee.
7. The Lessee £urther covenants and a�xees to operate the business authoxized to be
conducted on the pxemises three hundred sixty five (365) days a year during the term of this lease,
except for any period of tixxie involved in natural disasters, including governmental ardexs or
requixements such as evacuation for hurricane prepatarions, and any time necessary to repaix oY
xeplace any datnage caused ta the demised pxemises by as natuxal disaster.
8. The Lessee agrees ta indemnify and hold harmless Lessox fxam and against any and all
claims, demands, acrions, judgments, injuries, damages, costs and expenses including attornep's fees
resulting fxom ox in connection with Lessee's or Lessee's employees, agents, and/or invitees use and
occuparion of the leases pxemises. In addition, duxing the term of the lease, Lessee shall at Lessee's
expense abtain and maantain insutance covexage conformuig to the xequarements in Exhibit "B"
attached hereta. Nothing contained hetein shall be construed as a waiver of any iminunity ftom ox
limitation of liabiliry the Lessor may be entided ta undex the doctxine of sovereign immuniry or
section 7G8.28, Flarida Statutes.
9. If at any time during the term of this lease, the building or premises or any part, system o�
component hereof (hereinafter, the "demised pxemises") shall be damaged ar dest�royed to the extent
that the Lessee cannot operate the business autharized to be conducted thereon, and the Lessor
determuies that said demised pxemises can be restored by making appropriate repaars, the monkhly
rent as provided for in pa�agraph 2a above shall abate until the demised premises have been restored
Cleanvater Anglex, L.L.C., Bait House Lease Page 4
or until cammencement of business by the Lessee, whichevex is sooner.
If the demised ptemises shall be totally desttoyed or so damaged as to rendex it practically useless
during the term of this lease, then and in that event, the Lessee or Lessor may ternvxiate this lease as
of the date of such damage or upon thiurry (30) days written notice to the othex paxry to this lease.
In the event of damage or destruction as enumerated above, and except as otherwise specifically
pravided under this agreement, both parties waive any and all rights af recovery against the other
party for any dixect or indirect loss occurring to the demised premises ot as a xesult of damage ox
destruction of the demised premises.
10. Except as otherwise provided herein, upon the happening of any ane or more oE the
follawing events ("Events of Default"):
a. Lessee's de£ault in the payment of any rental or other sums due for a periad of �ive
(5) days after the due date;
b. Lessee's continued default with respect to any othe� covenant of this lease for a
period o£ fifteen (15) daqs a£ter receipt of written norice of such default by Lessee frorxi Lessar,
pxovided that if such default reasonably xequires more than fifteen (15) days to cuxe, there shall be
no Event or Default if Lessee has commenced curative action with the fifteen (15) day period and
daligendy prosecutes such action to complerion;
c. Thexe shall be f�led by or against Lessee in any court pursuant to any statute eithe�
of the United States or of any state, a perition in bankruptcy ox insolvency or fo� re���arucation o�
axxangement, or far the appointment of a xeceiver or trustee of all or a poxtion of Lessee's pxoperry,
o� if Lessee makes an assignment fox the.benefit of creditots or if there is an assignment by
operarion of law, or if Lessee xnakes applicarion to Lessee's creditars to setde or compound or
extend the time fox payment of Lessee's obligations, ar if execution, seizute or attachment shall be
levied upon any af Lesse�'s; ptoperty or the pxemises are taken or occupied or atteznpted to be taken
ox occupied by someone othex than Lessee; hawevex, in the event of executian, seizuxe ox
attachment, Lessee may post a bond satisfactory to Lessor which bond shall stay the default
resulting fxorn any execution, levy, seizure or attachment for a period of 120 daqs. raaluxe to xemave
the levy, seizure or attachment withixi the 120 day period shall constitute an Event ar Default, and
the bond posted shall be foxfeited; or
d. Lessee's vacating or abandoxvng the pxemises; then Lessox, at its option, may
Cleanvater linglez, L.L,.C., Bait House Lease Page 5
exercise any one or more of the follawing remedies which shall be cumulative;
(1) Termix�ate Lessee's right to possession under this lease and xe-enter and
take possession of the pxemises, and re-let or attempt to xe-let the ptemises on behalf o� Lessee;
hawever, such re-letting or attempt to xe-let shall only invalve a prospective tenant capable of
pxovidi.ng comparable or bettex type service, at such rent and under such terms and conditions as
Lessor maq deem best under the circutnstances for the purpose of reducing Lessee's liability, and
Lessor shall not be deemed to have thereby accepted a surrender of the pxemises, and Lessee shall
remain liable fox all rents and addidonal rents due under this lease and for all damages suffered by
Lessor because af Lessee's breach of any o£ the covenants of this lease. Said damages shall include,
but not be ]amited to, charges for removal and staxage of Lessee's pzoperty, rerraodeling and repairs,
leasing, cominissions and legal fees. In addition to its remedi.es hexeunder, Lessox may accelexate all
fixed rentals due under this lease, in which event the Lessee shall be liable £or all past due rent,
accelerated xent and damages as described above; however, with respect to the acceletated rent,
Lesso� shall xeceive only the present value of such accelerated xent. At any time durin� xepossession
and re-letting 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 pxernises,
termuiate and cancel this lease, and xetake possession and occupancy of the premise on behalf of
Lessor.
(2) Declaxe this lease to be terniuiated, whexeupon the term hexeby granted
and all rights, tide and interest of Lessee in the premises shall end and Lessor may xe-entex upon and
take possession of the premises. Such term�a.nauon shall be without prejudice ta Lessox's ri�ht to
collect f�om Lessee any rental or additional rental which has accrued prior to such termination
together with all damages, incluciing, but not lunited to, the damages specified in subparagraph (1) of
this paragxaph which are suffered by Lessor because of Lessee's bxeaCh of any cavenant under this
lease.
(3) Exexcise any and all rights and privileges that Lessor may have under the
lavvs af the State of Florida and the United States of America.
11. The Lessee hexeby 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 hexeof,
and to xetuxn the pxemises to the Lessor upon the expiration of the term hexeof in as good conditian
as they now are, ordinary wear and tear and damage by the elements only excepted. No alterarion ox
impravements may be made to the premises without the written consent of the Lessor. Any and all
Clearwatei ringler, L.L.C., Bait House Lease Page 6
fixtures attached to the premises shall revert absolutely and become the pxoperty of the Lessor u�on
the expixadon of the term hereof; provided, however, that the Lessoz at its option may require the
Lessee to remave aA fixtures, paxriti.ons, racks, shelves or other improvements from the p�emises
upon the expixation of the te�n of the lease at the cost of the Lessee. Any damage to the pare�.i.ses
occasioned by said remaval shall be repaired at the Lessee's expense.
12. The Lessee, at its own cost, may place only window, wall ot canapy signs on the
demised pxemises, provided said signs are approved as to colox, style and letter size by the
Hatbotmastet of the Lessor, and additionally conform ta the sign axdinance of Lessor p�esently in
force or as may be amended from time to time during the term of the lease. No othex signs shall be
placed or maintained by the Lessee on the prexnises. Any nanconforming sign novv on the preznises
shall be temoved by the Lessee within 30 days of approval of the lease. The Lessee shall, upan
expiration or termination of the lease, completely remove any and all signs that have been placed on
the leased pxemises by the Lessee.
13. If at any tume during the term of the lease the Lessee is authorized to make
itnprovexnents to the demised premises, Lessee agxees in such event to indemnify and save harmless
the Lessor as follows:
pxoperty; and
and
a. �or any mechanic's lien which may be asserted as a claim against the leas�d
b. For the faithful perfo�mance of the covenants contained in paragraph 11 above;
c. To obtain from the contractar a good and sufficient pexformance and payment
bond signed bq a reputable insurance cdmpany doing business in Flarida, which bond shall be in an
amount equal ta one hundxed (100%) percent of the cost of construction of the contemplated
impxovements to the demised preznises, guaranteeing that the improvements will be completed and
that subcontractors, laboxexs and materia�.men will be paid in accordance wzth the contract for the
improvements.
14. In the event of the acquisition of this property or any portion thereof by exexcise of
pxoper authority, by any governmental agency other than Lessor, whether by eminent domain or
otherwise, it is understood and agr�ed that norificarion of the insritution of such action shall be
ptompdy given Lessee, so the Lessee may intervene in such acrion as a party. Lessee agrees to
cnmrly with the results �f any such actions, and agrees to release and hold the Lessox harmless fram
Clearwater ringlei, L.L.C., Bait House Lease T'age 7
any damages resulting thereof.
15. Lessor covenants and agrees that upon payment by Lessee of the xents herein provided,
and upon observance and perfoxmance hy Lessee of all the covenants, terms and conditions
required af the Lessee by the lease, Lessee shall peaceably and quietly hold and enjoy the leased
premises for the term o£ the lease without hindrance or interruption by Lessox.
16. Norices 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 paxty for whom intended at such party's address first herein specified ox to such other address
as xnay be substi.tuted therefor by propex natice hereunder. Lessor's notices shall be directed in care
of its Law Departtnent at the above-cited addxess.
17. As required by Section 404.056(8), Floxida Statutes, the Lessee shall take notice of the
following:
RADON GAS: Radan is a naturally occurring radioacrive gas that, when it has accumulated
in a building in sufficient quantities, may present health risks to persons who are exposed to it ov�x
time. Levels of xadon that exceed federal and state guidelines have been faund in buildings in
Floxida. Additional informarion xegarcling radon and radon testing may be obtained from youx
county public health unit.
18. The undersigned shall personally guarantee to Lessor the tunely pe�formance of all
cavenants and provisions of this Lease Agreement, including, but not limited to the timely payment
of all rent due hereunder.
19. This lease agreement constitutes the entire contract between Lesso� and Lessee
concerning the leasing of the prernises and consideration thereaf.
20. In the event eithe� party seeks to enforce this agreement or interpret any pxovision
thezeof by law, ar thraugh attorneys at law, each paxty agtees to pay for its own attorney's fees and
casts, and that juxisdiction shall be in a court of competent jurisdiction in Pinellas Caunty, Flarida.
Cleanvater �n�ler, L.L.C., Bait House Lease Page S
IN WITNESS WHEREOF, the parties heteto have set theix hands and seals thi$� / day
af , 2011.
Assistant City Attorneq
City of Cleax�vate�, Flotida
By� �,�+�.u^� ,.,.,,,_..,,....�
Wi]]iam B. Harne, II
Attest:
By:
City Manager
Clearwatex 1ingler, L.L.C., Bait House I.ease Page 9
Exhibit "A"
LEGAL DESCRIPTION
Bait House, Slip Numbex 153, includuxg the 70' by 14' dock abutting the north side of Slip
Numbex 152, located on Lot 10 of Ciry Park Subdivision, accordu�g to the map or plat theteof as
recoxded in Plat Book 23, page 37 of the public records of Pinellas County, Florida.
Exhibit "B"
Insurance:
Lissee shall procure at its expense and maintain during the term of this Agxeement, insurance as
sh.own below:
a. Comprehensive General Liability insutance to include premises/opeYato� liability in an amount
not less than $1,000,000 combined single limit Bodily Injury Liability and Pxapexty Damage
Liabzlity.
b. Cove�age far liability resulting fram the dispensing af alcoholic beverages in an amaunt not less
than $500,000.
c. Comprehensive Plate Glass Tnsurance on a replacement cast basis covering loss ax damage by any
zneans, except by fite, ox war, whether declared ox not, to the plate glass windows in the demised
premtses.
d. Woxkex's Compensarion Insurance applicable ta its employees in amount at least equal to the
statutory limits of covexage according to applicable State and Federal laws. In addirion, the policy
shall anclude employer's liability cdverage wir.h a limit af $500,000 pex occurrence.
The City is to be specifically included as an additional insured an all liability coverage desc:ribed
abave.
Notice of Cancellarion ox Restxiction - All policies of insuxance must be endorsed to provide the
City with thirty (30) days notice of cancellati.on or restriction.
Certified Copies of Policies/Cextificate of Insurance. Upan specific written request of the Ciry, the
Lessee shall provide the Lessor with cerrified copies of all policies of insurance as required above.
In the absence of a specific wYitten �equest, the Lessee shall provide the Lesso� with Cextificates of
Insurance showing the Lessee has, at all times, the insurance coverage required by the Lease. Unless
notice is given to Lessee otherwise, such Certificates of Insurance shall be provided to the Marine &
.Elviatian Directot. The ftrst Certificate of Insurance required by the lease shall be provided to the
Marine & Aviation Director before occupancy af the demised premises by the Lessee.
Clearwater �ingler, L.L.C., Bait House Lease Page 10
Exhibit "C"
GUARANTY OF PAYMENT OF RENT UNDER LEASE AGREEMENT
Guaranty is znade this � of �, 2011 by Justin Pfaelzer of thc Clearwater Angler,
L.L.C., City of Clearwater, County af Pinellas, State of Florida, herein xeferxed ta as "Personal
Guaxantox"; being the Lessee, of Bait House hexein xeferred to as "�bligox"; to the CITY OF
CLEARWATER, C/O CITY ATTQRNEY, P.O. BOX 4748, CLEARWATER, FLORIDA 33758,
hexein xeferred to as "Obligee".
RECITALS
1. Obligee has leased premises at 25 Causeway Blvd. To Obligor, whose business addxess is 25
Causeway Blvd., City a£ Cleaxwater, Counry of Pinellas, State of Flarida, fo� use by Obligo�
in canducting its business of a baat house.
2. The lease is conditioned upon guaxantoxs giving secuxity for payment of xent thereundex in
the foxm of a pe�sonal guaranty.
SECTION ONE
STATEMENT OF GUARANTY
Guaxantoxs guarantee payment of rent under the attached lease agreement puxsuant to the
terms theteo£ If obligor defaults in the payment of any installment of rent, guarantors shall pay the
amount of such installtnent within 30 days after receipt of notice of default and demand for
payment. Guarantor's liability hereunder shall not be affected by reason of any extension of time fox
payment of any insta]]zrxent granted by obligee to obligor.
f .9 � C M I w [ �] � � 111 �: �L � 7
DURATTON
This guaranry shall not be revoked during the three year term of the lease. Thereafter, if th�
lease is renewed on the same terxns, rhis guaranty shall xemain in force until receipt by abligee af
written notice of revocation from guarantors, �r until terminated pursuant to Section three hereof.
Renewal of the lease on different terms shall, at the option of the guarantors, operate to terminate
this guaranry as of the end of the thtee yeat period.
Clearwater �ngler, L.L.C., Bait House Lease Page 11
SECTION THREE
LIMTTATION OF LIABILITY
The maximum amount recoverable by obligee from guarantors pu�suant to this guarantee is
$10,975.56, which amount is equal to the total rent due during the first lease yea� of the lease. Tf the
aggxegate of payments made by guaxantors hereunder reaches the above-mentioned amaunt, this
guaranty shall termuiate inu�nediately.
SECTION FOUR
WAIVER NOTICE OF ACCEPTANCE
Notice af acceptance of this guaxanty is expressly waived.
IN WITNESS WHEREOF, guarantoxs have executed this guaranty at Clearwater Municipal
Marina the day and year abave written.
Cleanuater �ngler, L.L.C., Bait House Lease Page 12