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HomeMy WebLinkAboutContract 52485 �J IV* 4� CITY SECRETARY CONTRACT N0. 5a q 85 T ��' LEASE AGREEMENT c� v This LEASE AGREEMENT(the "Lease") is made and entered into as of 3ut m- P, 1 r' by and between THE CITY OF FORT WORTH, a Texas municipal corporation ("Lessor") and THE HERTZ CORPORATION, a Delaware corporation ("Lessee"): WHEREAS, Lessor is the owner of real property located at 917 Taylor Street, Fort Worth, Texas, which is improved with an office building and an attached parking garage known as the Municipal Parking Garage ("Garage"), and a parking lot commonly known as the Motor Pool Lot at the same address (the "Motor Pool Lot") (the office building and parking areas and the underlying land is collectively hereinafter referred to as the "Property"); WHEREAS, Lessee desires to lease approximately 914 square feet of office space ("Store Premises")as depicted on Exhibit"A"attached hereto,together with six contiguous parking spaces on Level IA of the Garage, eleven non-contiguous parking spaces on the 6th floor of the Garage, as well as three contiguous spaces in the Motor Pool Lot (collectively the "Parking Premises"), all parking spaces are designated on Exhibit"A" attached hereto for all purposes, said Store Premises and Parking Premises are sometimes collectively referred to herein as the Leased Premises; and WHEREAS, Lessor desires to lease to Lessee the Leased Premises on the terms and conditions agreed to below. NOW, THEREFORE, WITNESSETH: ARTICLE ONE LEASE OF PREMISES In consideration of the mutual covenants and agreements of this Lease, and other good and valuable consideration, Lessor demises and leases to Lessee, and Lessee leases from Lessor, the Leased Premises. ARTICLE TWO TERM Section 2.01. Subject to the covenants and conditions herein contained, Lessee shall have and hold the Leased Premises for a term commencing on December 1, 2019 ("Commencement Date"),and ending at midnight on November 30, 2021 (herein called the "Term"). Additionally, this Lease may be renewed for one (1) two (2) year extension (December 1, 2021, through November 30, 2023) which thereafter will be referred to as "Term" for purposes of this Lease. Lessee must give Lessor written notice that it is exercising its extension option at least ninety(90) days prior to the expiration of the previous Term. Section 2.02. Lessee shall have no right to remain in possession of all or any part of the Leased Premises after the expiration of the Term without Lessor's consent. If Lessee remains in possession of all or any part of the Leased Premises after the expiration of tt e Term without the OFFICIAL RECORD CITY SECRETARY F'I. WORTH,TX Lease with Hertz for Taylor Garage Pagel of 16 consent of Lessor, such tenancy shall be deemed a month-to-month extension of this Lease at the last monthly rental, and may be terminated by either party on thirty (30) days' written notice. ARTICLE THREE USE OF LEASED PREMISES; COMPLIANCE WITH LAW Section 3.01. Lessee is granted and shall have the right to use and occupy the Leased Premises solely for the purpose of the operation of a car rental facility, and for no other purpose without the written consent of Lessor. Lessee shall park Lessee's vehicles only in the Parking Premises and shall not park or allow any of its vehicles in any other parking space in the Garage, or Motor Pool Lot and shall not allow any of its vehicles to obstruct any driveway, ramp, or other parking space in the Garage or Motor Pool Lot. Lessee shall not allow employee parking in the Motor Pool Lot. Lessee shall have the right to vacuum its vehicles on the roof of the Garage; provided, however, that Lessee shall be responsible for properly disposing of any trash or debris from cleaning. Section 3.02. Lessee, at its own expense, shall promptly comply with all federal, state, municipal, and other laws, ordinances, rules, and regulations applicable to the Leased Premises and to Lessee's business conducted in the Leased Premises, but only to the extent the necessity of such compliance arises solely out of Lessee's specific manner or method of use of the Leased Premises. Notwithstanding the above,the cost of complying with any such laws,ordinances,rules and regulations which require structural changes to the Leased Premises or require repairs which are the Landlord's responsibility hereunder, shall be borne by the Landlord. Lessee shall not commit any act inconsistent with the operation of its business which is a nuisance or annoyance to Lessor, or which might, in the exclusive and reasonable judgment of Lessor, appreciably damage Lessor's reputation, or tend to injure or depreciate the Leased Premises. Lessor shall promptly comply with all federal, state, municipal, and other laws, ordinances, rules, and regulations applicable to the Property, except for such laws and rules that are Lessee's responsibility as set forth in the Paragraph 3.02. Section 3.03. Under no circumstances will Lessee use or cause to be used on the Leased Premises any Hazardous Substance, or store or dispose of any such substances or materials on the Leased Premises. Hazardous Substances shall mean those materials defined as hazardous or toxic materials,wastes,or substances under CERCLA,P.L. 96-510,as amended,or any other local,state or federal law, regulation, ordinance. Lessor warrants that there is no pre-existing contamination or any Hazardous Substance present in any portion of the Leased Premises. Section 3.04. Lessee taking possession of the Leased Premises shall be conclusive evidence that (a) the Leased Premises are suitable for the purposes and uses for which same are leased; and(b)Lessee waives any and all defects in and to the Leased Premises,its appurtenances, and in all the appurtenances thereto, except for latent defects. Further, Lessee takes the Leased Premises and all appurtenances, in"AS IS" condition without warranty, expressed or implied, on the part of Lessor, subject to Lessor's repair and maintenance duties as provided in Paragraph 6.04 of this Lease Agreement. Lessor shall secure all doors within the existing office space to prevent access into any portion of the office space that extends into the Leased Premises. Lessor shall not be liable to Lessee, Lessee's agents, employees, invitees, licensees, or guests for any damage to any person or property due to the Leased Premises of any part of any appurtenance thereof being Lease with Hertz for Taylor Garage Page 2 of 16 improperly constructed or being or becoming in disrepair unless such injury or damage is caused by or is the result of a breach of Lessor's duty to inspect or make repairs as provided in Paragraph 6.04 of this Lease Agreement. Section 3.05. Lessee shall make no alterations in, or additions to, the Leased Premises without the prior written consent of Lessor. Subject to the provisions of Section 5.04 of this Lease Agreement,any permanent alterations, additions and/or improvements made to or fixtures or other improvements placed in or upon the Leased Premises (with the exception of trade fixtures, shelving, racks, personal property, furniture, machinery or equipment), shall be deemed a part of the Leased Premises and the property of Lessor at the end of the term of the Lease. All such alterations, additions, improvements, and fixtures shall remain upon and be surrendered with the Leased Premises as a part thereof at the termination of this Lease. Lessee shall not install signs, advertising media, and lettering without prior written approval of Lessor. Section 3.06. Lessee shall not paint, erect, or display any sign, advertisement,placard, or lettering which is visible from the exterior of the Facility without Lessor's prior written approval, except that Lessor hereby approves the existing signage. Lessee shall remove all signage at the expiration or termination of this Lease, and shall promptly repair, at its sole cost and expense, any damage to the Leased Premises caused by the signage or its removal. Section 3.07. Lessee shall not permit the use of loud, abusive, foul, or obscene language in the Store Premises or the Garage Premises, nor permit any unlawful, obscene, or immoral acts on the Store Premises or Garage Premises. Lessee further agrees to remove any person using such language or performing such acts. Section 3.08. Lessee agrees not to injure, annoy, or interfere with the rights of any other tenants of Lessor or any other users of the Garage. ARTICLE FOUR RENTS AND DEPOSIT Section 4.01. Lessee shall pay to Lessor monthly rent("Rent"), calculated as follows: (1) For year one of the Lease Term, Lessee shall pay a. Store Premises: $19.75 per square foot of office space for 914 square feet, for a monthly rate of$1,504.29; and b. Parking Premises: $120.00 per parking space for twenty (20) parking spaces, for a monthly rate of$2,400.00. (2) For year two of the Lease Term, Lessee shall pay a. Store Premises: $20.34 per square foot of office space for 914 square feet,for a monthly rate of$1,549.23; and b. Parking Premises: $120.00 per parking space for twenty (20) parking spaces, for a monthly rate of$2,400.00. Lease with Hertz for Taylor Garage Page 3 of 16 (3) For year three of the Lease Term, Lessee shall pay a. Store Premises: $20.95 per square foot of office space for 914 square feet, for a monthly rate of$1,595.69; and b. Parking Premises: $120.00 per parking space for twenty (20) parking spaces, for a monthly rate of$2,400.00. (4) If Lease is renewed, for years four and five of the Lease Term, Lessee shall pay the same amounts as outlined for year three of the Lease in Section 4.01(3) above. Section 4.02. Lessee shall pay to Lessor, at the Department of Transportation and Public Works, Parking Services, 311 West 1 Oth Street, Fort Worth, Texas 76102, or such other address as the Lessor may designate from time to time, the Rent during each month the Lease remains in effect. Lessee shall pay all such Rent monthly in advance and without demand, to be received by Lessor on the tenth day of each month. If the payment of Rent is not received by Lessor as provided herein, then all amounts due and payable to Lessor hereunder shall bear interest from the date the payment of Rent was due until paid, at a per annum rate of interest equal to the lesser of(a) eight percent (8%) or (b) the highest non-usurious rate permitted by applicable law. Notwithstanding the foregoing to the contrary, Lessor shall waive late charges for delinquent Rent payment for the first time Rent is delinquent in a twelve (12) month period. Time is specifically of the essence of this provision and of every provision of this Lease. ARTICLE FIVE TAXES AND OTHER CHARGES; LIENS Section 5.01. Lessor shall be responsible for the payment of all assessments, ad valorem taxes,and other taxes of any kind levied on or assessed as a result of Lessee's operations hereunder, which shall be paid to the assessing entity by the prescribed due date. Lessee shall be responsible for paying all personal property taxes with respect to Lessee's personal property at the Leased Premises. Section 5.02. (a)Lessor shall furnish Lessee with all utilities, lighting, heating, plumbing, water, sewer, and air conditioning systems. Lessee shall provide its own janitorial service. (b) Lessee agrees that Lessor shall not be liable for failure to supply any heating, air conditioning, electric current, or any other utility during any period if Lessor uses reasonable diligence to restore or to supply such services or utility; provided that Lessee may terminate this Lease after any period of thirty(30) consecutive days or thirty(30) days within any lease year that any such services are not available for any reason. Lessor reserves the right to temporarily discontinue such services at times as may be reasonably necessary by reason of accident, repairs, alterations, or improvements, or whenever by reason of strikes, lockouts,riots, acts of God, or any other happening or occurrence beyond the reasonable control of Lessor, provided that such discontinuance may not substantially or materially interfere with Lessee's business operations. Lease with Hertz for Taylor Garage Page 4 of 16 Section 5.03. Lessee will not permit to remain, and will at its cost and expense discharge within thirty (30) days, all liens, encumbrances, and charges upon the Leased Premises or a part thereof, arising out of the use or occupancy of the Leased Premises or a part thereof, or by reason of any labor or materials furnished or claimed to have been furnished, by,through or under Lessee, by reason of any construction, alteration, addition, repair, or demolition of any part of the Leased Premises. Section 5.04. Lessee may, at any time while it occupies the Leased Premises, or within a reasonable time thereafter, not to exceed sixty (60) days, remove personal property, furniture, fixtures, machinery, equipment, or other trade fixtures owned or placed by Lessee, its subtenants or licensees, in, under, or on the Leased Premises, or acquired by Lessee, whether before or during the Term and any extension. Lessee must repair any damage to any buildings or improvements on the Leased Premises resulting from the removal. Any such items not removed within a reasonable time after the Lease termination date, not to exceed sixty(60)days, will become Lessor's property on that date. ARTICLE SIX MAINTENANCE AND REPAIR Section 6.01. Subject to Section 6.04, Lessee shall, at Lessee's sole expense, perform all routine maintenance and repairs to the interior of the Leased Premises consistent with keeping the Leased Premises in good condition and repair, including, without limitation, as to the electrical and plumbing components located within the Leased Premises, and excluding the heating, ventilation and air condition system serving the Leased Premises. Lessee shall provide its own janitorial services. Upon termination of this Lease, Lessee shall surrender the Leased Premises to Lessor in substantially the same condition as at the commencement of the Lease, excepting only ordinary wear and tear and damage and subject to Section 6.02. Section 6.02. On or prior to the beginning of the Term, Lessee shall conduct a thorough and diligent inspection of the Leased Premises. Lessee's taking possession of the Leased Premises shall be conclusive evidence that the Leased Premises are in good order and satisfactory condition as of Lessee's taking possession except for conditions noted from Lessee's inspection of the Leased Premises. No promises of Lessor to alter,remodel,repair, or improve the Leased Premises and no representations respecting the condition of the Leased Premises have been made by Lessor to Lessee, other than as expressly contained in this Lease. Section 6.03. Lessee, at Lessee's sole cost and expense, may make alterations to the Store Premises, with the prior written approval of Lessor, which approval shall not be unreasonably withheld, conditioned or delayed. Notwithstanding the foregoing, upon full execution of this Lease, Lessee may perform certain ADA remediation work to the entrances and point of sales counters, indicated as Item 4 5.00 and 6.00-1 on the attached ADA Remediation Scope ("Exhibit B"). Should Lessee elect to perform the work described herein, Lessee shall be responsible for all costs related to the ADA improvements made pursuant to this section, including costs associated with permitting that may be necessary to complete the construction. Lease with Hertz for Taylor Garage Page 5 of 16 Section 6.04. Lessor shall be responsible, at Lessor's sole cost and expense, for: (i) any necessary structural repairs and maintenance, (ii) maintenance, repair, or replacement of the roof, exterior walls, and foundation, electrical and mechanical systems and the heating, ventilation and air conditioning systems serving the Leased Premises,and(iii)repairs,maintenance of the Parking Premises. Lessee agrees to make all non-structural interior repairs as set forth in Paragraph 6.01. Lessor shall have the right to make inspections of the Store Premises upon reasonable notice and thereafter make reasonable recommendations to Lessee about the Store Premises. Lessee agrees that it shall, within forty-five (45) days from the date of Lessor's recommendations, begin the recommended repairs in accordance with its obligations set forth in Section 6.01. If Lessee fails to undertake the aforementioned recommended repairs within forty-five (45) days, Lessor may, upon reasonable notice to Lessee,undertake the repairs it deems necessary,and the reasonable cost of the repairs by Lessor shall be paid by Lessee within thirty (30) days after notice that the repairs are complete. ARTICLE SEVEN INDEMNIFICATION Section 7.01. LESSEE HEREBY ASSUMES ALL LIABILITY AND RESPONSIBILITY FOR PROPERTY LOSS,PROPERTY DAMAGE AND/OR PERSONAL INJURY OF ANY HIND, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY HIND OR CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH LESSEE'S USE OF THE LEASED PREMISES UNDER THIS LEASE, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR, ITS EMPLOYEES, AGENTS,INVITEES,OR CONTRACTORS. LESSEE COVENANTS AND AGREES TO, AND DOES HEREBY, INDEMNIFY, HOLD HARMLESS AND DEFEND LESSOR,ITS OFFICERS,AGENTS,SERVANTS AND EMPLOYEES, FROM AND AGAINST ANY AND ALL CLAIMS OR LAWSUITS FOR EITHER PROPERTY DAMAGE OR LOSS AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY HIND OR CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH LESSEE'S USE OF THE LEASED PREMISES, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR, ITS EMPLOYEES,AGENTS,INVITEES OR CONTRACTORS. SUBJECT TO LESSEE AND LESSOR'S OBLIGATIONS AS CONTEMPLATED IN PARAGRAPH 7.02 BELOW, LESSEE ASSUMES ALL RESPONSIBILITY AND AGREES TO PAY LESSOR FOR ANY AND ALL INJURY OR DAMAGE TO LESSOR'S PROPERTY WHICH ARISES OUT OF OR IN CONNECTION WITH ANY AND ALL ACTS OR OMISSIONS OF LESSEE, ITS OFFICERS, AGENTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS,LICENSEES, OR INVITEES, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR, ITS EMPLOYEES, AGENTS, INVITEES OR CONTRACTORS. Lease with Hertz for Taylor Garage Page 6 of 16 LESSEE SHALL RELEASE, INDEMNIFY, DEFEND, REIMBURSE, AND HOLD HARMLESS THE LESSOR, ITS AGENTS, EMPLOYEES, INVITEES, OR CONTRACTORS AGAINST ANY AND ALL ENVIRONMENTAL DAMAGES AND THE VIOLATION OF ANY AND ALL FEDERAL, STATE, LOCAL OR MUNICIPAL LAWS, STATUTES, REGULATIONS, RULES OR ORDINANCES RELATING TO THE ENVIRONMENT RESULTING FROM LESSEE'S USE OF THE LEASED PREMISES AND PROVIDED SAID ENVIRONMENTAL DAMAGES OR THE VIOLATION OF SAID ENVIRONMENTAL REQUIREMENTS WERE THE RESULT OF ANY ACT OR OMISSION OF LESSEE, ITS OFFICERS, AGENTS, EMPLOYEES, SUBCONTRACTORS, LICENSEES, OR INVITEES OR THE JOINT ACT OR OMISSION OF TENANT, ITS OFFICERS, AGENTS, EMPLOYEES. LESSEE IS EXPRESSLY NOT LIABLE FOR AND DOES NOT INDEMNIFY FOR ANY ENVIRONMENTAL DAMAGES OR THE VIOLATION OF SAID ENVIRONMENTAL REQUIREMENTS WHICH HAVE OCCURRED PRIOR TO THE DATE OF TENANT'S INITIAL OCCUPANCY OF THE LEASED PREMISES. LESSOR DOES NOT GUARANTEE POLICE PROTECTION TO LESSEE OR ITS PROPERTY. LESSOR SHALL NOT BE RESPONSIBLE FOR INJURY TO ANY PERSON ON THE LEASED PREMISES OR FOR HARM TO ANY PROPERTY WHICH BELONGS TO LESSEE, ITS OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS, LICENSEES, INVITEES OR PATRONS, AND WHICH MAY BE STOLEN, DESTROYED OR IN ANY WAY DAMAGED; AND LESSEE HEREBY INDEMNIFIES AND HOLDS HARMLESS LESSOR, ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES FROM AND AGAINST ANY AND ALL SUCH CLAIMS, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR, ITS EMPLOYEES, AGENTS, INVITEES OR CONTRACTORS. 7.02. LESSOR NOR ITS AGENTS, EMPLOYEES, INVITEES OR CONTRACTORS (INDIVUDALLY AN "INDEMNITEE" AND COLLECTIVELY THE "INDEMNITEES') SHALL BE LIABLE IN ANY MANNER TO LESSEE, ITS AGENTS, EMPLOYEES, INVITEES, CONTRACTORS, OR ANY OTHER PARTY IN CONNECTION WITH THE USE OF THE LEASED PREMISES BY ANY OF THEM, FOR ANY INJURY TO OR DEATH OF PERSONS UNLESS CAUSED BY THE NEGLIGENT ACTS, OMISSIONS, OR INTENTIONAL MISCONDUCT OF SUCH PARTY. IN NO EVENT SHALL ANY INDEMNITEE BE LIABLE IN ANY MANNER TO LESSEE OR ANY OTHER PARTY AS THE RESULT OF THE ACTS OR OMISSIONS OF LESSEE, ITS AGENTS, EMPLOYEES, CONTRACTORS, INVITEES, OR ANY OTHER PARTY, IN CONNECTION WITH THE USE OF THE LEASED PREMISES BY ANY OF THEM. ALL PERSONAL PROPERTY WITHIN VEHICLES USING THE LEASED PREMISES, WHETHER PURSUANT TO THIS LEASE OR OTHERWISE SHALL BE AT THE RISK OF LESSEE ONLY, AND NO INDEMNITEES SHALL BE LIABLE FOR ANY LOSS OR THEFT OF OR DAMAGE TO PROPERTY OF LESSEE, ITS EMPLOYEES, AGENTS, PATRONS, INVITEES, OR TO OTHERS, REGARDLESS OF WHETHER SUCH PROPERTY IS ENTRUSTED TO EMPLOYEES OF LESSOR OR SUCH LOSS OR DAMAGE IS OCCASIONED BY CASUALTY, THEFT OR Lease with Hertz for Taylor Garage Page 7 of 16 ANY OTHER CAUSE OF WHATSOEVER NATURE, EXCEPT AS OTHERWISE PROVIDED IN THIS ARTICLE 7. 7.03. The provisions of this Article Seven shall survive the termination or expiration of this Lease. ARTICLE EIGHT INSURANCE AND CASUALTY 8.01 Lessor shall, at all times during the Term of this Lease maintain a policy or policies of insurance issued by and binding upon an insurance company, insuring the building of which the Leased Premises are a part against loss or damage by fire or other hazards and contingencies. 8.02 Lessee shall maintain its own insurance on Lessee's merchandise, equipment, and possessions in or about the Leased Premises. Any insurance coverage maintained by Lessor shall insure Lessor's property only and will not insure Lessee's property, trade fixtures, or merchandise on the Leased Premises in the event of damage however caused. Any insurance coverage maintained by Lessee shall insure Lessee's property only and will not insure Lessor's property or the Leased Premises in the event of damage however caused. 8.03 Lessee shall procure and maintain for the duration of the Lease insurance against claims for injuries to persons or damages to property which may arise from or in connection with the Lessee's operation and use of the Leased Premises. The cost of such insurance shall be borne by the Lessee, unless otherwise specified. Lessee shall maintain limits no less than: 1. Commercial general liability: $1,000,000.00 combined single limit per occurrence for bodily injury, personal, and property damage. Minimum $2,000,000.00 aggregate. 2. Commercial "All Risk" Property insurance covering Lessee's personal property. Additional Requirements to All Coverages • Deductibles and Self-insured Retentions—Any deductibles or self-insured retentions must be declared to and approved by the Lessor, which approval may not be unreasonably withheld, delayed, denied, or conditioned. • The following provisions shall apply to: General liability and automobile liability coverage o The Lessor, its officers, officials, and employees are to be covered as "additional" Insured's as respects: liability arising out of premises owned, leased, or used by the Lessee. • Each insurance policy required by this agreement shall be endorsed to state that coverage shall not be suspended, voided, canceled, reduced in coverage or in limits requested, except after 30 days' prior written notice by certified mail return receipt requested, has been given to the Lessor. • Acceptability of Insurers — Insurance is to be placed with insurers approved or licensed to do business in the State of Texas with a Best's rating of no less than A-; VII. Lease with Hertz for Taylor Garage Page 8 of 16 • Verification of Coverage — Lessee shall furnish the Lessor with certificates of insurance effecting coverage required by this clause. The certificates for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. In addition, the Lessor, its officers, and employees are to be endorsed as an "Additional Insured". The Lessor reserves the right to obtain complete, certified copies of all required insurance policies, at any time. Notwithstanding anything in this Article 8 to the contrary, Lessee may provide any coverage required herein through its self-insurance program. If Lessee elects to self-insure, no Certificate of Insurance will be issued,but Lessee shall provide other proof satisfactory to Lessor of such self- insurance. 8.04 In case of damage by fire or other insured casualty to the Leased Premises, Lessee shall give immediate notice to the Lessor and to Lessee's casualty insurance provider. Lessee shall cooperate with Lessor in any reasonable manner requested so that Lessor may file a claim(s) for the damage caused by the casualty event. Lessor shall decide, in Lessor's sole discretion, whether to repair, rebuild, or replace the Leased Premises or the building located on the Leased Premises; provided,however, if the Premises is partially damaged, Lessor shall repair and restore the Leased Premises as soon as possible but in no event longer than sixty (60) days following the date of the fire or casualty. Lessee shall be allowed a fair abatement of diminution of rental in proportion to the extent to which the Leased Premises are untenable; but if the Leased Premises or the building of which the Leased Premises are a part shall be deemed by Lessor, in Lessor's sole opinion,to be so damaged as to be unfit for occupancy, or if the Lessor shall decide to not rebuild, this Lease shall terminate and Lessee shall only be liable for rent and other monetary obligations under this Lease to the time of the fire or the casualty. If the Leased Premises cannot be repaired, in Lessee's sole estimation, within sixty (60) days, Lessee at its sole discretion may terminate the Lease. ARTICLE NINE EMINENT DOMAIN If any part of the Leased Premises is taken by eminent domain,either Lessor or Lessee may terminate this Lease. If neither Lessor nor Lessee elects to terminate the Lease, Rent will be reduced in proportion to the area of the Leased Premises taken by eminent domain, and Lessor shall repair any damage to the Leased Premises resulting from the taking. All sums awarded or agreed upon between Lessor and the condemning authority for the taking of the interest of Lessor or Lessee, whether as damages or as compensation, will be the property of Lessor without prejudice; provided, however, that nothing contained herein shall be deemed to give Lessor any interest in or require Lessee to assign to Lessor any award specifically made to Lessee for goodwill, Lessee's trade fixtures, or relocation or all of the foregoing. If this Lease is terminated under this Article 9, Rent will be payable up to the date that possession is taken by the condemning authority, and Lessor shall refund to Lessee any prepaid unaccrued Rent less any sum then owing by Lessee to Lessor. Lease with Hertz for Taylor Garage Page 9 of 16 ARTICLE TEN SUBLETTING, ASSIGNING, AND MORTGAGING Lessee may not assign its interest under this Lease or sublease the whole or any part of the Leased Premises without the consent of Lessor, which shall not be unreasonably withheld, conditioned or delayed, and any attempted assignment or sublease without Lessor's consent shall be void. If the rent and other consideration payable to Lessee under any assignment or sublease of this Lease exceeds the rent payable hereunder, Lessee shall pay to Lessor such excess within thirty (30) days following receipt thereof by Lessee. ARTICLE ELEVEN TERMINATION; EVENTS OF DEFAULT BY LESSEE AND REMEDIES OF LESSOR Section 11.01. If Lessee defaults in performing any material covenant or term of this Lease and does not correct the default within thirty (30) days after receipt of written notice from Lessor to Lessee or an additional reasonable period if Lessee is proceeding with diligence to cure the default, Lessor may declare this Lease, and all rights and interest created by it, terminated. If Lessor elects to terminate, this Lease will cease as if the day of Lessor's election were the day originally fixed in the Lease for its expiration. Section 11.02. [Intentionally omitted.] Section 11.03. Effective at any time during the Term, Lessee may cancel this Lease by giving Lessor at least sixty (60) days prior written notice of its intent to terminate this Lease and paying a fee in the sum of Three Thousand nine hundred four and 29/100 Dollars ($3,904.29) or the required rent amount at the time of such notice. Such notice may be given at any time during the Term. Cancellation of this Lease pursuant to such option shall have the same force and effect as if this Lease had ended on its natural expiration date. Section 11.04.Upon the termination of this Lease, Lessor may then or at any time thereafter re-enter and take complete and peaceful possession of the Leased Premises,with process of law, and may remove all persons therefrom, and Lessee covenants that in any such event it will peacefully and quietly yield up and surrender the Leased Premises to Lessor. Section 11.05. In the event of the termination of this Lease by Lessor as provided for in Section 11.01, Lessor shall be entitled to recover from Lessee all Rent accrued and unpaid for the period up to and including such termination date, as well as all other additional sums payable by Lessee, or for which Lessee is liable or in respect of which Lessee under any of the provisions hereof has agreed to indemnify Lessor, which may be then owing and unpaid, and all costs and expenses, including court costs and reasonable attorneys' fees incurred by Lessor in the enforcement of its rights and remedies hereunder. Lessor shall use commercially reasonable efforts to mitigate its damages. Section 11.06. If a court of competent jurisdiction makes or enters any final,unappealable decree or order other than under the bankruptcy laws of the United States adjudging Lessee to be Lease with Hertz for Taylor Garage Page 10 of 16 insolvent, Lessor may declare the Lease terminated; and upon such declaration, Lessee agrees to give immediate possession to the Lessor of the Leased Premises. Section 11.07. No default by Lessor hereunder will constitute an eviction or disturbance of Lessee's use and possession of the Leased Premises or render Lessor liable for damages or entitle Lessee to be relieved from any of Lessee's obligations hereunder (including the obligation to pay rent) or grant Lessee any right of deduction, abatement, set-off, or recoupment, or entitle Lessee to take any action whatsoever with regard to the Leased Premises or Lessor until thirty(30) days after Lessee has given Lessor written notice specifically setting forth such default by Lessor, and Lessor has failed to cure such default within said thirty (30) day period, or if such default cannot reasonably be cured within said thirty(30)day period,then within an additional reasonable period of time so long as Lessor has commenced curative action within said thirty(30) day period and thereafter is diligently attempting to cure such default. Section 11.08.No waiver by the parties to this Lease of any default or breach of any term, condition,or covenant of this Lease will be deemed to be a waiver of any other breach of the same or other term,condition,or covenant contained in this Lease.No provision of this Lease may under any circumstances be deemed to have been waived by either party to this Lease unless such waiver is in writing and signed by the party charged with such waiver. Lessee agrees that the receipt by Lessor of rent with the knowledge of the breach of any covenant or condition of this Lease by Lessee will not be deemed to be a waiver of such breach, and no provision of this Lease will be deemed to have been waived by Lessor unless such waiver is in a written instrument signed by Lessor. ARTICLE TWELVE MISCELLANEOUS Section 12.01. Neither this Lease nor any provision hereof may be changed, waived, discharged, or terminated, except by an instrument in writing, signed by the party against which the enforcement of the change, waiver, discharge, or termination is sought. This Lease shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. Section 12.02. The headings in this Lease are inserted for reference only, and shall not define or limit the provisions hereof. Section 12.03.This Lease shall be fully executed when each party has signed and delivered to the other(by mail,overnight delivery, facsimile or e-mail)at least one counterpart, even though no one counterpart contains the signatures of all the parties to this Lease. Section 12.04. In the event that any clause or provision of this Lease shall be held to be invalid by any court or competent jurisdiction, the invalidity of such clause or provision shall not affect any of the remaining provisions hereof. Lease with Hertz for Taylor Garage Page 11 of 16 Section 12.05. This Lease expresses the entire understanding and all agreements of the parties hereto with each other and neither party hereto has made or shall be bound by any agreement or any representation to the other party which is not expressly set forth in this Lease. Section 12.06. All notices, consents, or other communications required or permitted hereunder shall be deemed sufficient if given in writing and delivered personally or sent by public or private express mail or by U.S. Certified Mail, Return Receipt Requested, postage prepaid, to the other party at the following addresses: If to Lessee: The Hertz Corporation 8501 Williams Road Estero, Florida 33928 Attention: Senior Vice President, Estate & Facilities Telephone: 23 9-3 01-7000 If to Lessor: Transportation and Public Works Department Attn: Director City of Fort Worth 200 Texas Street Fort Worth, Texas 76102 Copy to: City Attorney's Office City of Fort Worth 200 Texas Street Fort Worth, Texas 76102 or to such other address as such party may hereafter designate by notice in writing addressed and mailed or delivered to the other party hereto. Section 12.07. Lessor and Lessee covenant, warrant and represent to the other party that there was no broker entitled to a commission, fee or other compensation instrumental in consummating this Lease. Lessee shall indemnify and hold Lessor harmless against and from all costs, expenses, damages and liabilities, including without limitation, court costs and reasonable attorneys' fees and disbursements, arising from any claims for brokerage commissions, finder's fees or other compensation resulting from or arising out of any actions by the Lessee or anyone acting on behalf of Lessee other than Brokers. Section 12.08. If Lessor and Lessee litigate any provision of this Lease or the subject matter of this Lease, the unsuccessful litigant will pay to the successful litigant all costs and expenses, including reasonable attorneys' fees and court costs incurred by the successful litigant at trial and on any appeal. [signature page follows] Lease with Hertz for Taylor Garage Page 12 of 16 iv WITNESS WHEREOF, this Lease is executed by the parties to be effective on the 1 S day of IQ 1� LESSOR: LESSEE: CITY OF FORT WORTH, THE HERTZ CORPORATION, a a Texas municipal corporation Delawar orporation cS By: I ` S sq h A 1� S By: Stephen A. Blum A t City Manager Senior Vice President, Real Estate & Facilities Contract Compliance Manager: By signing, I acknowledge that I am the person responsible for t monitoring and administration of this contra , ' ding ensuring all performa orting requirements. . Name: Title Approv as to Form and Legalit . Jessica gWang Senior Assistant City Attorney OR C) ... Attest: U Mary Kayser City Secretary Form 1295: 2018-427332 M&C: C-28987 Date: 1/15/19 OFFICIAL RECORD CITY SECRETARY FT WORTH,TX Lease with Hertz for Taylor Garage Page 13 of 16 EXHIBIT "A" t M � • ♦ x w Y . r r r I r,� Lease with Hertz for Taylor Garage Page 14 of 16 Si i MPI- am Lease with Hertz for Taylor Garage Page 15 of 16 Exhibit B M3ADA Remediation Scope emg Address: 917 T a St.Fat Worth,TX 76102 Prepared W. Jacob Lawrence Date P 10110018 Wisional Cost Estimate l Rem/ SCOM Suety$ Unit Reed 1.00 paft 2 S -Add Installation of New ADA Sqg FarWan 8 Otlieq 1.05,1.06 Ea. 1 3 S -Installation of New Wheel 6-Conc MW 1.05,1.06 Ea. 1 5 Si -Channel Post 1.05 1.06 Ea. 1 11 Painting-RernovelGrind BdsV@ P&Ug Lot Sliong 1.08,1.09 1 ff. 150 12 Painting-Paint New 4"Striping [fa 1 @ 8'Access Aisle+1 @ 8'ADA Space+Feathered Spaces=15Rq 1.08,1.09 1 If. 150 13 1 Painting-Paint New ISA Pavement Ma ' Pue or Wh&Depenft on Site Condition 1.07 Ea. 1 4AO Wakwal s 1 POT 2 Concrete-Install New 4.05 1 sf. 60 3 Concrete-Removal 4.05 1 1 St. 1 60 LOD Mince Doors and VeMAIs 1 ISA Decal-Front Dora 5.01-1 1 1 3 Adpst Closer 5.15-1 1 1 4 TNMng and MOdfiaUM fa new Threshold. 5.12-1 1 1 5 Threshold Romnent 5.121 1 1 UO-1 POS C WN S 2 JAM A].4 CCvlyder 6.0'1.fi 02-2 F I 2 Lease with Hertz for Taylor Garage Page 16 of 16 M&C Review Page 1 of 2 Official site of the City of Fort Worth,Texas CITY COUNCIL AGENDA F`" COUNCIL ACTION: Approved on 1/15/2019 DATE: 1/15/2019 REFERENCE NO.: **C-28987 LOG NAME: 20HERTZ LEASE 2018 CODE: C TYPE: CONSENT PUBLIC NO HEARING: SUBJECT: Authorize Execution of a Three-Year Lease with a Two-Year Renewal Option with the Hertz Corporation for Office Space and Parking Spaces at the Municipal Parking Garage Located at 917 Taylor Street at an Annual Rent of$46,851.48 the First Year (COUNCIL DISTRICT 9) RECOMMENDATION: It is recommended that the City Council: 1. Authorize the City Manager or his designee to execute a lease with the Hertz Corporation for approximately 914 square feet of office space at an annual rent of$18,051.48 the first year and 20 parking spaces at an annual rent of$28,800.00, at the Municipal Parking Garage Premises, 917 Taylor Street; and 2. Authorize a three-year term for the lease beginning December 1, 2018, with an option to extend for one additional two-year term. DISCUSSION: The Hertz Corporation (Hertz) currently leases 914 square feet of office space at $19.75 per square foot and 20 parking spaces at$110.00 per space in the Municipal Parking Garage, 917 Taylor Street, for a car rental facility. The lease expired November 30, 2018, and staff recommends entering into a new lease. The term of the lease will be three years beginning on December 1, 2018, and ending November 30, 2021. The lease also includes one additional two-year term through November 30, 2023 upon the City's receipt of a written notice from Hertz at least 60 days prior to expiration of the lease's initial term. This lease provides for 914 square feet of office space and 20 parking spaces at a total annual rent of $46,851.48 for the first year. The rent will be paid monthly in the amount of$3,904.29, which is $1,504.29 per month for the office space and $2,400.00 for the parking spaces. Six of the parking spaces are contiguous spaces on Level 1A and the remaining fourteen of the parking spaces are non-contiguous spaces on the sixth floor of the parking garage and in the Motor Pool Lot in the 900 block of Taylor Street. Under the lease, rent will increase for the office space to $20.34 per square foot in the second year of the initial term and will increase to $20.95 per square foot on the third year of the initial term. The lease of the parking spaces will increase to $120.00 per space starting in the first year of the new lease. If the lease is renewed, the rent for the parking spaces and office space shall remain the same as outlined in the third year of the initial term. This lease is located in COUNCIL DISTRICT 9. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that the Transportation and Public Works Department, Parking Services Division, is responsible for the collection and deposit of funds due to the City. http://apps.cfwnet.org/council_packet/mc review.asp?ID=26522&councildate=1/15/2019 6/18/2019 ,,M&C Review Page 2 of 2 TO Fund Department Account Project Program Activity Budget Reference# Amount ID ID Year Chartfield 2 FROM Fund Department Account Project Program Activity Budget Reference# Amount ID I ID I I Year Chartfield 2 Submitted for City Manager's Office by: Susan Alanis (8180) Originating_Department Head: Steve Cooke (5134) Additional Information Contact: Peter Elliott (7977) ATTACHMENTS 1295 Form-Hertz Redacted.pdf Hertz Parking Spaces.pdf http://apps.cfwnet.org/council_packet/mc_review.asp?ID=26522&councildate=l/l5/2019 6/18/2019