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HomeMy WebLinkAboutContract 52376 P-- CITY SECRETARY a� CONTRACT NO. 5(9 31 pF1'4 LEASE AMENDMENT TO LAKE WORTH RESIDENTIAL LEASE AGREEMENT This LEASE AMENDMENT TO LAKE WORTH RESIDENTIAL LEASE AGREEMENT ("Amendment") is entered into by and between John Avanzini ("Tenant") and City of Fort Worth, a Texas home rule municipal corporation("Landlord"). WHEREAS, Landlord entered into a ground lease ("Lease") on February 1, 1982 with the original lessee under the Lease Agreement for property located at 9516 Watercress Drive, with a legal description more particularly described as Lot 4, Block 21, Lake Worth Leases Addition, Fort Worth, Tarrant County, TX (the"Leased Premises"), said Lease attached hereto as Exhibit"A"; WHEREAS, through assignment(s), the Lease is now between Landlord and Tenant for the Leased Premises, and such Lease has a fifty year term ending on January 31, 2032; WHEREAS,pursuant to Section 272.001(h)of the Local Government Code,Landlord is authorized to sell the property to the person leasing the land for the fair market value of the land as determined by a certified appraiser; WHEREAS, Landlord and Tenant desire to effect a sale of the Leased Premises from Landlord to Tenant under Section 272.001(h) of the Local Government Code for the fair market value of the land, and, contemporaneously with this Amendment, is entering into a Purchase and Sale Agreement for the purchase of the Leased Premises by Tenant within eighteen (18) months of the execution of the Purchase and Sale Agreement; and WHEREAS, the existing Lease does not provide for terms of disposition of the Leased Premises in the event of a sale or for the terms of the termination of the Lease in the event of a failure to purchase the Leased Premises under the Purchase and Sale Agreement, and the parties desire to amend the Lease to provide for such terms. NOW THEREFORE, in consideration of the mutual agreements herein and other good and valuable consideration,the parties agree as follows: OFFICIAL RECORD CITY SECRETARY FT. WORM TX 1. Term. The term of the Lease is hereby amended to end upon the closing of the sale of the Leased Premises under the Purchase and Sale Agreement, which shall occur within eighteen (18) months after the Amendment Effective Date ("Closing Deadline"). If the closing of the sale of the Leased Premises has not occurred by the Closing Deadline,this Lease shall expire on the Closing Deadline. 2. Expiration of Lease. Section VII EXPIRATION OF LEASE is hereby deleted in its entirety and replaced with the following: "VII.EXPIRATION OF LEASE A. Any buildings, improvements, additions, alterations, and fixtures (except furniture and trade fixtures)constructed,placed,or maintained on any part of the Leased Premises during the lease term are considered part of the real property of the Landlord and must remain on the Leased Premises and become,Landlord's property when the Lease terminates. B. Before the Lease terminates, Tenant shall remove all personal property, furniture, machinery,or equipment in,under,or on the Leased Premises.Before the Lease terminates, Tenant must repair any damage to any buildings or improvements on the Leased Premises resulting from the removal. Any such items not removed by the lease termination date will become Landlord's property on that date." 3. Ownership of Improvements. Section X OWNERSHIP OF IMPROVEMENTS is hereby amended by adding the following sentence at the end of the Section: "Upon expiration of this Lease through the closing of the sale of the Leased Premises under the Purchase and Sale Agreement, Tenant shall retain all right, title, and interest in the improvements on the Leased Premises; however, upon the expiration of this Lease without a closing of the sale of the Leased Premises under the Purchase and Sale Agreement, all right, title, and interest in the improvements on the Leased Premises shall vest in Landlord without further payment by Landlord to Tenant for the improvements, and Tenant shall not have any right to enter upon the Leased Premises." 4. Continued Terms and Provisions. All of the terms and provisions of the Lease between the parties shall remain in full force and effect except as specifically amended herein. Executed to be effective as of the date this Amendment is notarized by the City ("Amendment Effective Date"). LANDLORD: CITY OF FORT WORTH,TEXAS, a Texas municipal corporation By: Je_ s J. Chapa,Assistant City Manager . APPROVED AS TO FORM AND LEil"T 11 i s A A sistant City Attorneyi M&C: L-15964 1295:N/A F O T O4 , Ali k) Ci ecret PEXP? City of Fort Worth Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. Nalne of Employee: Rick Salazar Title: Sr. Land Agent TENANT: Printed Name: Printed Name: OFFICIAL RECORD CITY SECRETARY FT. WORTH,TX STATE OF TEXAS § COUNTY OF TARRANT § This instrument as acknowled ed before me on the� day of --, 2019, by of the City of Fo�Worth, a Texas municipal corp ration, on behalf of that e ity. MARIA S,SANCHEZ ' A .'- • My Notary ID#2256490 ,,,f of s*.'• Expires December 19,2021 ea o ry Public STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on the day ofiwc/ 2019, by 1 Y Ppe` RICARDO SALAZAR II ' Notary PubUcState of Texas Notary ID#128185792 (Seal) O Commission Exp.FEB.25,2022 Not Public STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on the day of , 2019, by (Seal) Notary Public OFFICIAL RECORD CITY SECRETARY FT. WORTH,TX Exhibit A '`'� _ LEASE AGREEMENT THE STATE OF TEXAS § KNOW ALL MEN BY THESE PRESENTS: ak COUNTY OF TARRANT § i The City of Fort Worth,Lessor,a home-rule municipal corporation situated in Tarrant County,Texas,(hereinafter a sometimes referred to as"City")acting herein by and through M. C_kmog its duly authorized 93 -+ p City Manager,and Fo77 Lae Yost and ,Lessee,hereby make and enter into the following lease agree- Oment. Jean Kallyr Yost = 1 I. For and in consideration of the prompt payment by Lessee,when due,of all rents as herein provided,and further for and in consideration of the full and timely performance by Lessee of all of Lessee's duties and obligations in strict compliance with the covenants,conditions and agreements herein contained,City hereby demises and leases to Lessee, and Lessee hereby accepts from City,the following described real property for the term and uses and subject to the conditions set forth herein_ (Subject to ADDENDUM attached hereto) LOT !E, BLOCK 2 i L&:M 41Q MI IZ-kSF SUWJ-,'Y, ANA,, �'24 Watercress II.TERM The term of the lease shall be 50 years commencing Fad'=c 7 'if and ending January_�I, 2032 The City may offer five(5)year extensions to the term of the lease on each fifth anniversary of the lease.The Lessee may refuse such extension by giving notice to the City,in writing,within sixty(60)days after receipt of notice of any extension. III.LESSEE'S RIGHTS AND OBLIGATIONS Lessee shall: .A. pay annual rent to the City of Fort Worth in the sum of$ 37S.00 ,said rent payable in 12 equal installments,one such installment due on the first of each month. B. pay the rent due under this lease to the Assessor-Collector of Taxes for the City of Fort Worth,or other office designated by the City. C. pay rent for each year after the first year in an amount that shall be adjusted by eighty percent(800%)of the change in the annual average of the Consumer Price Index U.S.City Average,"all items"index,all urban consumers (CPI-U)from the annual average for the previous calendar year,as published by the Bureau of Labor Statistics for the United States Department of Labor,said adjustment to be computed by dividing the CPI-U for the most recent year by the CPI-U for the immediately preceding year,subtracting one(1)from that quotient,multiplying that result by eight-tenths(0.8),adding one(1)to that product,and multiplying that sum by the rent for the previous year. D. be able to use the leased land for residential and water recreational purposes,in compliance with applicable zoning ordinances. E. use and occupy the leased land,in compliance with the laws of the United States of America,the statutes of the State of Texas,and the Charter and Ordinances of the City of Fort Worth,whether now in effect or hereinafter adopted so long as any hereinafter adopted ordinance or charter provision is not adopted solely for the purpose of limiting the rights of Lessee and similarly situated Lessees. F. accept the premises in their present condition as being suitable for all purposes of this lease. G. be deemed to be an independent tenant in possession of the premises and responsible to all parties for his acts and omissions with regard thereto,and the City shall in no way be responsible for any act or omission of the Lessee. H. indemnify,hold harmless and'defend the City,its officers,agents,and employees,from and against any and all claims for damages or injury,including death,to persons or property arising out of or incident to the leasing or the use and occupancy of the leased land by Lessee,his guests or invitees. I. indemnify,hold harmless and defend City from and against any and all mechanic's and materialmen's liens or any other lien,claim or charge imposed upon the leased land or rising as a result of any conduct or activity by the T ocgm Qr?riyo-e on hic behplf J. provide and maintain suitable methods and means for the disposal of trash,body waste,and excreta,in com- pliance with applicable sanitation laws and ordinances. K. not drill or dig any well on the leased land without the prior written approval of the City nor use the water from such well until it has been tested and approved by the appropriate authorities. L. not commit,or allow to be committed,any waste on the premises,nor create or allow any nuisance to exist on the premises. M. not keep or permit any animals on the leased premises other than domesticated dogs and cats. TV.LESSOR'S RIGHTS AND OBLIGATIONS The City of Fort Worth shall: A.approve the sale,or assignment(hereinafter collectively assignment)of this lease or remaining term,provided that: 1.all amounts owed to the City hereunder and City ad valorem taxes are paid current to the date of such assign- ment;and 2. the assignment is evidenced in writing;and 3. in said assignment the assignee expressly accepts,assumes,and agrees to perform all terms,conditions and limitations to be kept and performed by Lessee under this lease;and 4. said writing is executed and acknowledged in recordable form;and 5. said assignment is submitted to the City at the City Manager's office or such other office designated by the City Manager. Within 10 days of receipt of the assignment the City shall determine whether the assignment is in compliance with provisions A-1 through A-5 above and notify both parties to said assignment if the assignment does not comply with those provisions.The City shall acknowledge compliance with the above provisions on the face of said assignment, and assignment shall then be recorded in the office of the County Clerk of Tarrant County,Texas,at Lessee's ex- pense. Compliance with the provisions set out above shall relieve the Lessee from further liability under this lease. B. have the right to inspect the leased premises for compliance with City of Fort Worth Minimum Building Stan- dards Code City Ordinance No.800,at the time of any sale or transfer.The City shall notify the purchaser or assignee in writing of any violations of said ordinance within.10 days of the submission of a proposed assignment to the City. The purchaser or assignee shall not be issued a certificate of occupancy by the City until the requirements of such or- dinance have been complied with. C. shall not convey,sell,or transfer its interest in the leased land without allowing the Lessee the opportunity to ac- quire the leased land unless the conveyance,sale,or transfer is to a governmental entity with the power to condemn the property for the purpose it is acquired.All transfers shall be subject to the competitive bidding laws of the State of Texas and the ordinances and charter of the City of Fort Worth- D. provide yearly statements of the rent due hereunder and in such statement specify the number of years remaining in the term of this lease. E. have the right to enter upon the above described property at reasonable times and under reasonable cir- cumstances for the purposes of examining and inspecting the leased land to determine whether Lessee has complied with his obligations hereunder. This provision shall not be construed to authorize entry into residences or other buildings on the Ieased land except where such entry is specifically authorized by the provisions of this lease, the statutes of the State of Texas,or the ordinances of the City of Fort Worth. F. warrant that Lessee will have quiet enjoyment and peaceful possession of the leased land,and that the City will defend the Lessee in such quiet enjoyment and peaceful possession during the term of this lease. G. The City Manager shall review this lease prior to each fifth anniversary and shall make recommendations to the City Council regarding extensions. V.LESSOR'S OPTIONS The City of Fort Worth may,in the event that Lessee shall give notice to the City that a financial hardship exists in the payment of rentals due hereunder,the City Manager may waive any portion of that year's rent after consideration of said hardship.Lessee shall have the right to present his request to the City Council of Fort Worth should the City Manager deny the request. Any rents waived as a result of such hardship and remaining unpaid shall constitute a lien against the Lessee's im- provements and such unpaid rents shall bear interest at the current legal rate. VI.LESSEE'S OPTIONS Lessee may: A. sell,assign,or sublet this lease or remaining term thereof. B. construct new structures and enlarge existing structures on the leased land provided that such construction is in accordance with all applicable City Codes and Ordinances. C. make alterations,remodel,and make improvements to existing structures and the leased land,provided that such actions shall be in accordance with applicable City Codes and Ordinances. D. terminate this lease without reimbursement for Lessee's structures and improvements at any time by giving the City 30 days notice of intention to terminate. VII.EXPIRATION OF LEASE A. T Tnon expiration of the term of this lease the City shall nay to the Lessee an amount ennal to the then market value of any structures or improvements heretofore made or erected on the leased premises,except that payments for any new structure and enlargements to existing structures made or erected during the final 35 years of the lease term will be a pro rata amount based on the number of years the structure or improvements are in place or the number of years remaining on the lease at the time said structure or improvements were made,whichever is greater,times 2.86 percent,never to exceed 100%of the market value of the new structure and the enlargement to the existing structure. B. Replacement of all or part of structures destroyed in whole or in part by fire,explosion or act of God are deemed structures or improvements heretofore made or erected on the leased premises. C. The City shall pay the Lessee the market value of the structures and improvements as defined above upon possc.:.'on septa_ of fuuaaut offered by the City does.not forfeit Lessee's right to dispute the amount paid,nor shall any acceptance constitute a waiver of any legal remedy Lessee may have to determine market value.In the event that a court of competent jurisdiction determines that the amount paid to the Lessee by the City is in excess of market value of such structures or improvements,the Lessee shall promptly refund such excess to the City. 2. VM.TERMINATION OF LEASE A. In the event the Lessee: 1. is in arrears in the payment of the rents,or other amounts agreed to be paid under the terms of this lease;or 2. has failed to perform any obligation under this lease,then the City may give notice to the Lessee of termina- tion of the lease by default,said notice to specify in detail the defaults upon which the termination would be based.In {: said notice the City shall demand that actions be taken within 45 days to cure the default or defaults upon.which the termination is based or the lease shall be terminated. B. In the event of a default by Lessee,and said Lessee does not take action to cure the default within 45 days of the notice from the City,the lease may be terminated and the City shall have no duty to reimburse the Lessee for struc- tures or improvements to the leased land.The Lessee shall have the right to remove said structure,improvements,and personal property within 90 days from the date of lease termination by default,and shall vacate the leased land at the =!= end of said 90 days.All such property not removed within 90 days shall become the property of the City. il` C. In the event rentals to be paid under the terms of this lease is not paid when due,an additional late penalty of 1.5%per month shall be added to the amount due. D. Upon termination of this lease or expiration of the term of this lease,Lessee shall be entitled and authorized to remove from the premises all items of personal property belonging to Lessee not permanently affixed to the realty and all structures and improvements for which no reimbursement is made under the terms of this lease. IX.MORTGAGES A. So long as no default exists under the terms of this lease,the Lessee or any Assignee may mortgage his leasehold estate and improvements situated thereon to secure a loan or loans of money actually made,or that will be made,or any extension or renewal of the same. B. Such mortgage or deed of trust shall be in every respect subject,subservient and subordinate to all the conditions and covenants of this lease. C. In the event of a default that could result in the termination of this lease without reimbursement to Lessee for the improvements and structures on the leased land,the City shall give notice to the mortgagee as is required to be given to the Lessee,and said mortgagee shall have the right to cure said default and/or perform the terms and conditions of this lease. D. A mortgagee or trustee under a deed of trust shall have the same right and power to assign this lease,in conjunc- tion with a trustee's sale or transfer to satisfy Lessee's obligation to a mortgagee,as does the Lessee under the terms of this lease. E. At any time the City is to pay the Lessee for structures or improvements on the leased land,the City shall give notice to each mortgagee of that payment, and said mortgagee shall have the right to receive payment for any outstanding obligation secured by mortgage or deed of trust on the leasehold and improvements. F. The City Shall be required to give such notice only if the mortgagee has,in writing,informed the City of its in- terest and has supplied an address for said notice. X.OWNERSHIP OF IMPROVEMENTS All structures and improvements situated on the leased land when this lease is entered into are,and shall continue to be,the property of the Lessee,and all improvements hereinafter made by the Lessee on the leased land shall be the property of the Lessee. XI.SUCCESSORS IN INTEREST A. In the event of the death of a Lessee,his successors and estate shall succeed to his interest under this lease,and those entitled by law to succeed to the Lessee's interest in the lease shall continue to enjoy the rights and benefits hereunder of the deceased Lessee; B. In the event that the Lessee or his Assignee is adjudicated a bankrupt,said lease may be assigned as provided above,and any Assignee shall assume the duties and liabilities as set out above. XII.VENUE Venue of any action brought hereunder shall lie exclusively in Tarrant County,Texas. XIII.NOTICE A. Any notice required under this lease,unless otherwise specified,shall be given by depositing in the United States Mail as certified mail,postage prepaid,addressed to the; 1. Lessee's or Assignee's at the address shown on this lease unless said Lessee or Assignee has furnished to the City,in writing,instructions to mail notices to another address; 2. City Manager of the City of Fort Worth,City Hall,Fort Worth,Texas; 3. Mortgagee at the address supplied to the City in writing for the mailing of such amicc. XIV.CONCLUSION This instrument represents the entire agreement between the parties concerning the leasing of the leased land and shall be binding upon and shall be to the benefit of the parties hereto,their successors,assigns,and legal represen- tatives,and all prior leases,assignments,or agreements of any nature concerning the]eased land or property situated thereon are superseded by the terms of this lease. EX CUTED at Fort Worth,Tarrant County,Texas,this �T-'t day of ,1982. 3. ATTEST:' --:ter.. CITY OF FORT WORTH [/�� 3 By APPROVED.AS`I6 FORM AND'TEGALITY: f City Attorney a. Lessee Fvy a Yost STATE OF TEXAS § dean Se4r Yoag COUNTY OF TARRANT§ BEFORE ME,the undersigned authority,a Notary Public in and for the State of Texas,on this day personally appeared — ��J77b-� AQ L ., ,known to me to be the person whose name is subscribed to the foregoing instrument,and acknowledged to me that he executed the same as the a�deed of the City of Fort Worth,a municipal corporation of Tarrant County Texas,and as thereof,and for the purposes and consideration therein expressed and in the capacity therein tated. 67 GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of , A.D.,19a. Notary Public in and for the State of Texas IMy Commissioa,Exp res: STATE OF TEXAS § COUNTY OF TARRANT§ BEFORE ME,the undersigned authority,a Notary Public in and for the State of Texas,on this day personally appeared FOY LEE YOST L JEVI ISLLY YOST ,known to me to be the person whose name is subscribed to the foregoing instrument,and acknowledged to me that he executed the same for the purposes and con- sideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE this It 24 day of ICY A.D. Notary Public in and for $lIDer But1w the State of Texas �LMy Comnus ion Expires: No4atn'ter 30, 1985 4. ADL• E UM TO LEAS E AG ' ; 11ENT 14, BIDG$ 21 THE STATE OF TEXAS KNOW ALL 14EN BY THESE PRESENTS: i COUNTY OF TAPJRANT X 1 Paragraph IV of the foregoing Lease Agreement is amended to include, in addition to all Q of the provisions contained therein, the following supplemental and additional provision: (� H. Have the right to terminate this Lease as to the portion of the leased land which is O nearest to the water and which is separated from the remainder of the leased land by �/� ,$$ a public roadway. Such portion of the 0 leased land (hereinafter waterfront land), is shown on Exhibit 'A', which is attached hereto 1 and incorporated herein. Lessor may terminate the Lease to the waterfront portion of the L leased land on any anniversary date of this Lease after February 1, 1992, by giving thirty D (30) days written notice. ® Lessor shall pay to Lessee the market value of any structures and improvements located 5 on the waterfront land when the Lease is terminated, except for water wells, septic tanks, or other sewage disposal devices. For any water well, septic tank, or other sewage disposal device, the City shall pay the higher of either market value of those improvements or the cost to relocate those improvements onto the remaining portion of the leased land, or as an alternative to such payment, connect, at the City's expense, the water and/or sewage facilities of the structures on the remaining portion of leased land to an existing system for those services. At the time the Lease is terminated as to the waterfront land the annual rent upon the remaining portion of leased land shall be 60 % of the rent on the entire leased land for the previous year. Acceptance of any amount offered by the City does not forfeit Lessee's right to dispute the amount;-paid, nor shall any acceptance constitute a waiver of any legal remedy Lessee may have to determine market value or replacement value. In the event that a court of competent jurisdiction determines that the amount paid to Lessee by the City is in excess of market value,,:, the Lessee shall promptly refund any excess to the City. EXECUTED at Fort Worth, Tarrant County, Texas this 24U day of May 1982. ATTEST CITY OF FOR; WORTH Ci ' ecretary > APPROVED AS TO FORM AND LEGALITY: *.City Attor y Less a oy lee I STATE OF TEXAS Jean Kel Yo COUNTY OF TARRANT � BEFORE ME, the undersigned authority, on this day personally appeared — /��� -.known to me to be the person whose name is subscribed to the foregoing instru- ment, and',acknowledged to me that he executed the same as the act and deed f the City of Fort Worth, a mimigip:al corporation of Tarrant County, Texas,and as thereof, and''for the%purposes and consideration therein expressed and in the capac y t}serein stated. GIVEN UNDERVMY `AND AND SEAT. OF OFFICE this CP day of tIA, A.D. 19q. My Commission,jxpireg,,11. n:. ublic in and for Tarrant Count y, Texas STATE OF TEXAS X COUNTY OF TARRANT,,, BEFORE ME, the un3 T igned authority,on this day personally appeared Foy Lee Yost and known to me to be the person(s) whose name is subr.�-dq•;�he foregoing instrument, and acknowledged to me that he/they executed the same for the„purpase '.and consideration therein expressed. ''•GIVEN,UND ER-KZ HAND AND SEAL OF OFFICE this 24th day of May A.D. 19 My Commission"Fxpires: i�•/JM�� ��,�� November 30,1985 Notary Public in and for Tarrant County, Texas Return Recorded Documents to: Susan Tedder, Administrative Technician City of Fort Worth/Real Property 927 Taylor Street, Fort Worth TX 76102 T - & C;TY OF FORT WORTH 0 � P.EA!. F1: ERTY: 2 '0 2 JnN 10 PN 12 03 v D201295792 CITY FW REAL PROPERTY 001 927 TAYLOR ST FT WORTH, TX 76102 -W A R N I N G-THIS IS PART OF THE OFFICIAL RECORD--D 0 N O T D E S T R O Y I N D E X E D -- T A R R A N T C O U N T Y T E X A S S U Z A N N E H E N D E R S 0 N -- COUNTY CLERK O F F I C I A L R E C E I P T T 0: CITY FW REAL PROPERTY 001 RECEIPT NO REGISTER RECD-BY PRINTED DATE TIME 202071234 DR91 CAP 12/03/2001 14:36 INSTRUMENT FEECD INDEXED TIME 1 D201295792 WD 20011203 14:36 CG T 0 T A L : DOCUMENTS: 01 F E E S: 17.00 B Y: ANY PROVISION WHICH RESTRICTS THE SALE RENTAL OR USE OF THE DESCRIBED REAL PROPERTY BECAUSE OF COLOR OR RACE IS INVALID AND UNENFORCEABLE UNDER FEDERAL LAW. AGENT-. le