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HomeMy WebLinkAboutContract 46101-A1 r C?Y 8ECR9ARY JUN 2 8 2419 FIRST AMENDMENT crrv�FF��� BETWEEN THE CITY OF FORT WORTH AND r''rYSECq �d�7y TOWN CENTER MALL, L.P. (CSO #46101) WHEREAS, the City of Fort Worth, a Texas home rule municipal corporation("Tenant") entered into a Lease Agreement ("Lease") (City Secretary Contract No. 46101) effective as of October 1, 2014, with Town Center Mall, L.P., a Texas Corporation ("Landlord") for leased premises known as Suites 2100,2200, and 2300,as well as other common facilities and other areas outlined in the Lease, located at 4200 S. Freeway, Fort Worth, Texas, 76115, more particularly described in the Lease ("Premises"); and WHEREAS,the Lease will expire September 30, 2019; and WHEREAS,the Tenant and Landlord desire to amend the Lease to extend the Lease Term by five(5)years to expire September 30, 2024;to set Annual Rents for the extended Term; and to add a termination provision granting Tenant and Landlord the right to terminate the Lease for any reason by providing the other party a 180-day written notice; NOW THEREFORE, in consideration of the terms outlined below and set forth in the Lease, the parties agree to amend the Lease as follows: I. The parties agree that Article 1.2 is arn,.;nded by adding the following: "The Term of the Lease shall be extended for an additional five(5)years for a total term of ten(10)years. The Term began on October 1,2014, and continued through September 30, 2019, and shall now expire on September 30, 2024." II. The parties agree that Article 1.3 is amended by updating Rent terms for the additional five(5) year Term to begin on October 1,2019, and expire on September 30, 2024, and the Annual Rental shall be as follows for each suite and each Term: First Amendment to City Secretary Contract No.46101 OFFICIAL RECORD CITY SECRETARY 1 FT. WORTH,TX SUITE 2100 1000 SQUARE FEET (SF) ANNUAL ANNUAL FEE MONTHLY RATE FEE RENEWAL TERM October 1, 2019 - September 30, 2020 $ 12.50 $ 12,500.00 $ 1,041.67 October 1, 2020 - September 30, 2021 $ 12.74 $ 12,740.00 $ 1,061.67 October 1, 2021 - September 30, 2022 $ 13.00 $ 13,000.00 $ 1,083.33 October 1, 2022 - September 30, 2023 $ 13.26 $ 13,260.00 $ 1,105.00 October 1, 2023 - September 30, 2024 $ 13.52 $ 13,520.00 $ 1,126.67 SUITE 2200 19,548 SQUARE FEET (SF) ANNUAL/SF ANNUAL FEE MONTHLY FEE RENEWAL TERM October 1, 2019 - September 30, 2020 $ 17.09 $ 334,075.32 $ 27,839.61 October 1, 2020 - September 30, 2021 $ 17.43 $ 340,721.64 $ 28,393.47 October 1, 2021 - September 30, 2022 $ 17.60 $ 344,044.80 $ 28,670.40 October 1, 2022 - September 30, 2023 $ 17.78 $ 347,563.44 $ 28,963.62 October 1, 2023 - So-tember 30, 2024 $ 17.95 $ 350,886.60 $ 29,240.55 SUITE 2300 3749 SQUARE FEET(SF) ANNUAL SF ANNUAL FEE MONTHLY RATEFEE RENEWAL TERM October 1, 2019 - September 30, 2020 $ 17.09 $ 64,070.41 $ 5,339.20 October 1, 2020 - September 30, 2021 $ 17.43 $ 65,345.07 $ 5,445.42 October 1, 2021 - September 30, 2022 $ 17.60 $ 65,982.40 $ 5,498.53 October 1, 2022 - September30, 2023 $ 17.78 $ 66,657.22 $ 5,554.77 October 1, 2023 - September 30, 2024 $ 17.95 $ 67,294.55 $ 5,607.88 First Amendment to City Secretary Contract No.46101 2 IV. The parties agree that Article 1.7 is amended by adding a carbon copy to the Address of Tenant as follows: "With a copy to: City of Fort Worth Neighborhood Services, 908 Monroe Fort Worth, Texas 76102 ATTN: Sonia Singleton/Gail Duncan" VI. The parties agree that Article 19 is amended by deleting "Intentionally Deleted" in its entirety and adding the following to serve as Article 19 in the Lease: "42. TERMINATION FOR ANY REASON WITH 180 DAY NOTICE. Regardless of anything contained in the Lease to the contrary, Tenant or Landlord shall each have the right to terminate this Lease at any time for any reason by giving the other party a180 days' written notice prior to the intended termination date. Tenant,:r Landlord may terminate a portion of the Lease by giving the other part;-- a 180 days' written notice prior to the intended termination date and specifying which suit is to be removed from the Premises. If this Lease is terminated in its entirety under this Section, or as a result of the expiration of the Lease Term or any renewal period, neither party shall have any further obligation or liability to the other under this Lease. If Tenant or Landlord terminate the Lease as to a specific suite modifying the Premises, Tenant will only be obligated to pay Rent for the suites remaining as part of the Premises, and the Rent shall continue to be as outlined in this Amendment for the remaining suites. Tenant and Landlord shall be bound by the terms, covenants and conditions expressed herein until Tenant surrenders the Premises,regardless of whether the date of surrender coincides with the date of termination of the Lease." VII. All other terms and conditions of the Lease remain unchanged and in full force and effect. EXECUTED this day of 2019. First Amendment to City Secretary Contract No.46101 3 [SIGNATURES APPEAR ON FOLLOWING PAGE] TENANT: City of Fort Worth LANDLORD: Town Center Mall,L.P. By: Boxer Property Management Corp. Management Compny for Landlord By: Jesus J. Chapa Assistant City Manager Name: 61kchak4 �l Title: kZ7bk — �(j AA bC,(XX- Date: 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&:equirements. Name: �!-;RweVTitle: �� ec, APPROVED A O FORM AND LEGALITY: By: /- Jessica San v ng k_ ® T z. Senior Assistant City Attorney �C ATTES ~ ' U; By:_ f "r , Mary e City Secretary r Form 1295: First Amendment to City Secretary Contract No.46101 [FT. ICIAL RECORD Y SECRETARY 4 WORTH,TX Contract Author iization: M&C: 11i1 Date: Cj First Amendment to City Secretary Contract No.46101 OFFICIAL RECORD CITY SECRETARY 5 FT. WORTH,TX M&C Review Page 1 of 2 Official site of the City of Fort Worth,Texas CITY COUNCIL AGENDA FORTIVORT11 COUNCIL ACTION: Approved on 6/18/2019 REFERENCE ** 21 LAGRAN PLAZA LEASE DATE: 6/18/2019 NO.: L-16228 LOG NAME: AMENDMENTS CODE: L TYPE: CONSENT PUBLIC NO HEARING: SUBJECT: Authorize Execution of the First Amendment to a Lease (City Secretary Contract No. 46101) with Town Center Mall, L.P. to Extend the Term Five Years and Set Rent Starting at an Annual Rate of$410,645.73 with Specified Annual Increases for Office and Storage Space Located at 4200 South Freeway, Suites 2100, 2200, and 2300 for the Park and Recreation Department and the Neighborhood Services Department(COUNCIL DISTRICT 9) RECOMMENDATION: It is recommended that the City Council authorize execution of the first amendment to a lease (City Secretary Contract No. 46101) with Town Center Mall, L.P. to extend the term for five years and to set annual rents starting at$410,645.73 with specified annual increases for office and storage space known as Suites 2100, 2200, and 2300 located at 4200 South Freeway, Fort Worth for the Park and Recreation Department and the Neighborhood Services Department. DISCUSSION: On September 23, 2014 (M&C C-27018), City Council approved the execution of a lease (City Secretary Contract No. 46101)with Town Center Mall, L.P. for office and storage space located at 4200 South Freeway, Fort Worth, Texas. The current lease includes 19,548 square feet of office space known as Suite 2200 for use by Park and Recreation Department administrative staff and 3,749 square feet of office space known as Suite 2300 for the Community Action Partners (CAP) section of the Neighborhood Services Department. The lease also includes 1,000 square feet of storage space known as Suite 2100 for CAP. These sections of City departments have been located in LaGran Plaza since October 1992 under various lease agreements and City organizational structures. The current lease, which expires on September 30, 2019, is considered a full service lease which includes electrical,janitorial, HVAC, water, general maintenance, and approved City network installation. Staff negotiated the First Amendment to the lease to provide for an extended term of five (5) years, to set annual rents for each suite, and to add a 180-day termination provision for either party. Annual rent will increase at two (2) percent each year for Suite 2100. Annual rent for Suites 2200 and 2300 will increase at two (2) percent for years one and two and increase at one(1) percent in years three, four, and five. The rent rates compare favorably with current market rents. In Fiscal Year 2020, annual rents for each suite are listed below: Suite 2100 - $12,500 (Neighborhood Services) Suite 2200 - $334,075.32 (Park & Recreation Department) Suite 2300 - $64,070.41 (Neighborhood Services) Total - $410,645.73 This property is located in Council District 9. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendation, funds are http://apps.cfwnet.org/council_packet/me review.asp?ID=26973&councildate=6/18/2019 6/19/2019 M&C Review Page 2 of 2 available in the operating budget, as appropriated, of the General Fund for the Park and Recreation Department and the Grants Operating Federal Fund for the Neighborhood Services Department. 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 I ID Year Chartfield 2 Submitted for City Manager's Office by. Jay Chapa (5804) Originating Department Head: Roger Venables (6334) Additional Information Contact: Jean Petr(8367) ATTACHMENTS LaGran 1295 Redacted.pdf MCLAGRANPLAZALEASEAMENDMTS.pdf http://apps.cfwnet.org/council_packet/mc review.asp?ID=26973&councildate=6/18/2019 6/19/2019 ► ► 0 0 ► • ► wnsl�rarw„¢ rrr'fwr rirE�l9IF+iaAdit y -- t . •a '���1��• i i��� � .Ai AP. +at rK Kilt �r�I 4ri Fi 4 9 pool, aYJ'fraf F i.'+M-^•T��iaYF�R PAR'!�Fy i�:.� ����J��.-�IA�����9FY7? � if T�' �'�4�����i!► .'. - F irrr ( '� .._- i w a.0 k .�. .ar } L.rr i t 1t - .�-- ' ,. + Saks ► '. ttisi_it�S `� �I,wr k.,a..r .'r[ ':a+r; �w r, r . r.•aY ,'.�. is �. IoTi �" e.i t1}llrtiv.':rG{ ,•a.. sac aL >r Lo aw a r 1(ri� (fix Belli ,r•' i.:r N 11# a}ti 1RnkT iw A� �' �b�• / �Fr ,s � F.ii �•l..a -A. rxr, Ir 7"+P#"*'q �, v .�( :sie• N llM sY' w'xnr�i fLi. .1wir t A,a, ` ! # -- . 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