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HomeMy WebLinkAboutContract 52731 111 CONTRACT NO. 2 7 I LEASE AGREEMENT This Lease Agreement("Agreement")is entered into this Sept. ,2019("Effective Date") by and between the City of Fort Worth, Texas, a liome-rule municipal corporation of the State of Texas ("City"),and 2019 Forest Park,LLC("Tenant"). WHEREAS, Tenant owns certain property located at Lots 1, 2 and part of 3, Block S-6, Field's Hillside Addition,on which are sited two office buildings("Tenant's Property'); WHEREAS, City owns a certain piece of land containing approximately 12,201.34 square feet located adjacent to Lots 1, 2 and part of 3, Block S-6, Field's Hillside Addition,as more particularly described in Exhibit"A",attached hereto and made apart hereof("Premises"); WHEREAS,the Property was leased to Tenant's predecessor-in-title to Tenant's Property,as approved by M&C L-4890, dated April 21, 1975, and set forth in a lease between the parties (City Secretary Contract No. 8520)(the"Initial Lease")for the purpose of providing parking for Tenant's Property and for signage for Tenant's Property, beautification and landscaping;and WHEREAS,the Initial Lease was not properly renewed in accordance with its terms,and the parties hereto now wish to enter into a new lease for the Premises for the same purposes, in accordance with the terms and conditions of this Agreement. WITNESSETH: 1. Premises. City hereby leases to Tenant and Tenant leases from City the Premises. Approximately 8,000 square feet of the Premises is for use as signage for Tenant's Property,beautification and landscaping and the remaining approximately 4,200 square feet will be used for parking, as set forth on Exhibit "A". Under no circumstances during the Agreement will Tenant use or cause to be used on Premises any hazardous or toxic substances or materials, or store or dispose of any such substances or materials on Premises;provided that the presence of fuel,engine oil and hydraulic fluids used for or stored in vehicles parked on Premises will not be deemed a violation of this Section.Tenant must abide by all City guidelines,rules and regulations and obtain any and all required permits for installation of signs,advertising rnedia,and lettering on Premises. Tenant will have access to Premises 24 hours a day,7 days a week. City agrees to provide Tenant with reasonable prior notice in the event City desires to access Premises;provided that City may not interfere with Tenant's use of Premises in accordance with this Agreement. 2. Condition of Premises.Tenant taking possession of Premises shall be conclusive evidence that (a)Premises is suitable for the purposes and uses for which same are leased;and(b)Tenant waives any and all defects in and to Premises, its appurtenances,and in all the appurtenances thereto. Further,Tenant takes Premises and all appurtenances in"AS IS"condition without warranty, expressed or implied,on the part of City. City shall not be liable to Tenant,Tenant's agents,employees, invitees, lessees, or guests for any damage to any person or property due to Premises or any part of any appurtenance thereof being improperly constructed or being or becoming in disrepair,except such damage that may be caused by City,its,agents, employees or contractors in its capacity as landlord,provided that nothing herein shall be construed as a Lease between City of Fort Worth and 2019 Forest Park,LLC Page I of I I OFFICIAL RECOR' CITY SECIRE F R) FT. WORTHr T waiver of the City's governmental and sovereign immunity. 3. Term. (a) Primary Term: Subject to the earlier termination as hereinafter set forth, this Agreement shall be fora term("Primary Term")of twenty five(25)years,commencing on August 29,2019 and expiring on August 28,2044. (b) Renewal Option: Tenant shall have the option to renew the Primary Term for one (1) additional term of ten(10)years("Renewal Term") with City approval. This Agreement shall continue in full force and effect for the duration of the Renewal Term upon the same terms and conditions as are contained herein. (c) Holdover: Tenant may occupy Premises after this Agreement expires on a month to month holdover status basis, cancellable by either party on thirty (30) days' written notice to the other party. All terms of this Agreement will remain in force during holdover status. 4. Rental;Time of essence. (a) Primary Term Rental: Tenant will pay City rental of$6,000.00 per year for use of the Premises during the Primary Term("Primary Term Rental"). (b) Renewal Period Lease Fee: The rental for the renewal period shall be $6,600.00 per year("Renewal Term Rental"). (c) Rental Payments;Time of Essence: Fee is due to City on or before January I`of each calendar year.If the payment of fees is not received by City as provided herein,then after five(5)days after receipt of written notice from City,all amounts due and payable to City hereunder shall bear interest from the date the payment of fees was due until paid,at a per annum rate of interest equal to the lesser of(a)twelve percent (12%)or(b)the highest non-usurious rate permitted by applicable law. Time is specifically of the essence of this provision and of every provision of this Agreement. Payment of lease fees are to be made payable to the City of Fort Worth and delivered to: City of Fort Worth Lease Management Property Management Department 900 Monroe St. Fort Worth,Texas 76102 5. No Services.City shall not furnish Tenant with any utilities,cleaning, lighting,security,or any other items or services for Premises.All operating costs of Premises shall be Tenant'sole cost and expense. If Tenant wants or needs any utilities, cleaning, lighting, security, or any other items or services while occupying Premises,then Tenant shall first obtain permission and approval from the City to contract,add or install any of the above items, such approval not to be unreasonably withheld,conditioned or delayed, and will be responsible for providing same at Tenant' sole cost. Lease between City of Fort Worth and 2019 Forest Park,LLC Page 2 of 11 6. Alterations,Additions,Improvements,and Signage. Landlord consents to the extension of and encroachment of the existing building into the Premises as shown on Exhibit"B"attached hereto(the "Extension Improvement"). Tenant agrees to pay all all costs and expenses to construct the Extension Improvement. Other than the Extension Improvements,Tenant shall make no alterations on or additions to the Premises without the prior written consent of City, including but not limited to installation of fencing, lighting,and gates which shall not be unreasonably withheld,conditioned or delayed,Any alterations made to Premises by the Tenant shall be at Tenant's sole cost and expense. All alterations and additions to the Premises that exist as of the Effective Date have been previously approved by City in its capacity as landlord. All alterations,additions and improvements made to or fixtures or other improvements placed in or upon Premises and not removed by Tenant prior to the end of the Term shall be deemed a part of Premises and the property of City at the end of the Lease Term. All such alterations, additions, improvements, and fixtures shall remain upon and be surrendered with Premises as a part thereof at the termination of this Agreement.Tenant may at its sole option and expense remove any Tenant alterations at any time during the Lease Term, provided Tenant repairs any damage caused by such removal. At the termination of this Agreement, whether by lapse of time or otherwise, Tenant shall (i) deliver Premises to City in as good a condition as the sarne was as of the date of the taking of possession thereof by Tenant, subject only to ordinary wear and tear and damage caused by casualty or condemnation and(ii)upon City request,remove any alterations and make any repairs to Premises as needed in order to comply with the provisions of Section 13 below. 7. Indemnity. (a) TENANT SHALL AND DOES AGREE TO INDEMNIFY, PROTECT, DEFEND AND HOLD HARMLESS CITY, CITY'S OFFICERS, AGENTS, SERVANTS, AND EMPLOYEES (COLLECTIVELY, "INDEMNITEES") FOR, FROM AND AGAINST ANY AND ALL CLAIMS,LIABILITIES,DAMAGES, LOSSES, LIENS,CAUSES OF ACTION,SUITS,JUDGMENTS AND EXPENSES, (INCLUDING REASONABLE COURT COSTS, REASONABLE ATTORNEYS' FEES AND REASONABLE COSTS OF INVESTIGATION), OF ANY NATURE, KIND OR DESCRIPTION TO THE EXTENT ARISING OR ALLEGED TO ARISE BY REASON OF INJURY TO OR DEATH OF ANY PERSON OR DAMAGE TO OR LOSS OF PROPERTY(1)RELATING TO THE USE OR OCCUPANCY OF PREMISES BY TENANT, ITS EMPLOYEES, AGENTS AND LESSEES OR (2) BY REASON OF ANY OTHER CLAIM WHATSOEVER OF ANY PERSON OR PARTY OCCASIONED OR ALLEGED TO BE OCCASIONED BY ANY ACT OR OMISSION ON THE PART OF TENANT OR ANY LESSEE, EMPLOYEE, DIRECTOR, OFFICER, SERVANT, OR CONTRACTOR OF TENANT OR(3)BY ANY BREACH,VIOLATION OR NONPERFORMANCE OF ANY COVENANT OF TENANT UNDER THIS AGREEMENT (COLLECTIVELY, "LIABILITIES"), EXCEPT TO THE EXTENT ARISING OUT OF OR RESULTING FROM THE NEGLIGENCE OR WILLFUL MISCONDUCT OF ANY INDEMNITEE. IF ANY ACTION OR PROCEEDING SHALL BE BROUGHT BY ORAGAINSTANY INDEMNITEE IN CONNECTION WITH ANY SUCH LIABILITY OR CLAIM, TENANT, ON NOTICE FROM CITY, SHALL DEFEND SUCH ACTION OR PROCEEDING, AT TENANT' EXPENSE, BY OR THROUGH ATTORNEYS REASONABLY SATISFACTORY TO CITY. THE PROVISIONS OF THIS PARAGRAPH SHALL APPLY TO ALL ACTIVITIES OF TENANT WITH RESPECT TO THE USE AND OCCUPANCY OF PREMISES, WHETHER OCCURRING BEFORE OR AFTER THE COMMENCEMENT DATE OF THE LEASE TERM AND BEFORE OR AFTER THE TERMINATION OF THIS AGREEMENT. THIS INDEMNIFICATION SHALL NOT BE LIMITED TO DAMAGES, COMPENSATION OR BENEFITS PAYABLE UNDER INSURANCE POLICIES, WORKERS' COMPENSATION ACTS, DISABILITY BENEFIT ACTS OR OTHER EMPLOYEES'BENEFIT ACTS. Lease between City of Fort Worth and 2019 Forest Park,LLC Page 3 of 11 (b) IT IS AGREED WITH RESPECT TO ANY LEGAL LIMITATIONS NOW OR HEREAFTER IN EFFECT AND AFFECTING THE VALIDITY OR ENFORCEABILITY OF THE INDEMNIFICATION OBLIGATION UNDER THIS PARAGRAPH 7, SUCH LEGAL LIMITATIONS ARE MADE A PART OF THE INDEMNIFICATION OBLIGATION AND SHALL OPERATE TO AMEND THE INDEMNIFICATION OBLIGATION TO THE MINIMUM EXTENT NECESSARY TO BRING THE PROVISION INTO CONFORMITY WITH THE REQUIREMENTS OF SUCH LIMITATIONS, AND AS SO MODIFIED, THE INDEMNIFICATION OBLIGATION SHALL CONTINUE IN FULL FORCE AND EFFECT. 8. Waiver of Liability. ALL VEHICLES AND ALL PERSONAL PROPERTY WITHIN VEHICLES USING PREMISES, WHETHER PURSUANT TO THIS AGREEMENT OR OTHERWISE SHALL BE AT THE RISK OF TENANT ONLY, AND NO INDEMNITEES SHALL BE LIABLE FOR ANY LOSS OR THEFT OF OR DAMAGE TO PROPERTY OF TENANT,ITS EMPLOYEES,AGENTS, PATRONS, INVITEE, OR TO OTHERS, REGARDLESS OF WHETHER SUCH PROPERTY IS ENTRUSTED TO EMPLOYEES OF CITY OR SUCH LOSS OR DAMAGE IS OCCASIONED BY CASUALTY, THEFT OR ANY OTHER CAUSE OF WHATSOEVER NATURE, UNLESS DUE IN WHOLE OR IN PART TO THE NEGLIGENCE OR WILLFUL MISCONDUCT OF ANY INDEMNITEE. 9. Insurance. Tenant shall procure and maintain at all times, in frill force and effect, a policy or policies of insurance as specified herein, which liability policy shall name the City of Fort Worth as an additional insured and covering all public risks related to the leasing,use,occupancy,maintenance,existence or location of the Premises. Tenant shall obtain the following insurance coverage at the limits specified herein: * Commercial General Liability:$1,000,000.00 per occurrence(Including Products and Completed Operations); In addition, Tenant shall be responsible for all insurance to any personal property of Tenant or in Tenant's care, custody or control. Tenant is allowed to self-insure without the prior written consent of City. Any self-insured retention or other financial responsibility for claims shall be covered directly by Tenant in lieu of insurance. 10. Abandoned Property. Tenant's personal property not promptly removed by Tenant from Premises at the termination of this Agreement, whether termination shall occur by the lapse of time or otherwise, shall thereupon be conclusively presumed to have been abandoned by Tenant to City. Fixtures attached to Premises become the property of City, if not removed as required herein. 11. Assignment and Subletting.Tenant shall not assign this Agreement, or any right of Tenant under this Agreement, or sublet Premises, for consideration or no consideration, whether voluntarily, by operation of law, or otherwise, and any attempt to do so shall be void, and any such attempt shall cause immediate termination of this Agreement;all provided that Tenant's lessees,licensees,employees,invitees, contractors and agents may use Premises in accordance with the terms and provisions hereof. Notwithstanding the foregoing: (1)Tenant shall have the right to assign this Agreement to the new owner of the Tenant's Property upon the sale or conveyance by Tenant of the Tenant's Property, subject to the approval of Landlord's governing body, and(2)in the event of a foreclosure of a mortgage or deed of trust Lease between City of Fort Worth and 2019 Forest Park, LLC Page 4 of 11 lien on the Tenant's Property, the purchaser at such foreclosure sale shall succeed to all of the rights and obligations of Tenant under this Agreement,subject to the approval of Landlord's governing body. . 12. Damage to Property or Property of City. If,at any time during the Lease Term, by the acts or omissions of the Tenant, its employees, contractors, invitees,agents, or lessees. to the Premises or any property therein is damaged or destroyed,other than normal wear and tear,Tenant shall be obligated to pay, on demand,all costs to repair same together. 13. Repairs and Maintenance. City has no obligation to make repairs of any sort to Premises, City's sole obligation hereunder being to make Premises available to Tenant in accordance with and subject to the covenants,restrictions and limitations set forth herein.Tenant shall,at its expense,use and maintain Premises in a neat, clean, careful, safe, and proper manner including, but not limited to, any snow and/or ice removal, repair damage caused by automobiles accessing and/or parking on the Premises and comply with all applicable laws,ordinances,orders,rules,and regulations of all governmental bodies(state,county, federal, and municipal). At no time may there be any maintenance of any vehicles within Premises or Premises by Tenant and if a spill of hazardous materials takes place arising from the actions of Tenant, Tenant must notify the Property Manager immediately and is responsible for all required clean up and repairs to the extent arising from the spill. Notwithstanding the foregoing, to the extent any damage is caused by the negligence or willful misconduct of City,City shall be responsible for the same at City's sole cost and expense. 14. Severability. If any clause or provision of this Agreement is or becomes illegal, invalid or unenforceable because of present or future laws or any rule or regulation of any governmental body or entity,effective during the Lease Term,the intention of the parties hereto is that the remaining parts of this Agreement shall not be affected thereby unless such invalidity is,essential to the rights of both parties, in which event either party has the right, but not the obligation,to terminate this Agreement on written notice to the other party. 15. Default and Termination. (a) Tenant'Default.If Tenant shall fail to perform or observe any of its obligations hereunder, and such failure continues for more than fifteen(15)days after written notice from City(provided that such 15 day period shall be extended if such failure cannot reasonably be cured within 15 days and Tenant begins to cure such failure within such 15 day period and thereafter proceeds with due diligence to complete such cure),then City may terminate this Agreement by giving Tenant written notice of such termination prior to the curing of the default. Such rights of City in the case of a default by Tenant hereunder are not exclusive, but are cumulative of all other rights City may have hereunder,at law or in equity;and any one or more of such rights may be exercised separately or concurrently to the extent provided by law. (b) City's Default. Should City commit a default under this Agreement and such dafault continues for more than fifteen(15)days after written notice from Tenant(provided that such 15 day period shall be extended if such failure cannot reasonably be cured within 15 days and City begins to cure such failure within such 15 day period and thereafter proceeds with due diligence to complete such cure), Tenant may terminate this Agreement by giving Citywritten notice of such termination prior to the curing of the default. Such rights of Tenant in the case of a default by City hereunder are not exclusive, but are cumulative of all other rights Tenant may have hereunder, at law or in equity; and any one or more of such rights may be exercised separately or concurrently to the extent provided by law. Lease between City of Fort Worth and 2019 Forest Park,LLC Page 5of11 16. Notice. Any notice hereunder must be in writing. Notice deposited or sent by nationally recognized overnight courier service,such as,but not limited to,Federal Express,by certified mail with return receipt requested,or by express mail properly addressed,postage paid,shall be effective-upon deposit.Notice given in any other manner herein shall be effective upon receipt at the address of the addressee. For purposes of notice,the addresses of the parties shall,unless changed as hereinafter provided,be as follows: To City: To Tenant: City of Fort Worth 2019 Forest Park,LLC Lease Management Attn:D. Randall Stepp Property Management Department 5300 Camp Bowie Blvd. 900 Monroe,Suite 400 Fort Worth,TX 76107 Fort Worth,TX 76102 With a copy to: With a copy to: City Attorney's Office Russell Norment City of Fort Worth Brackett&Ellis, PC 200 Texas Street 100 Main Street Fort Worth,TX 76102 Fort Worth,TX 76102 The parties hereto shall have the continuing right to change their respective address by giving at least ten (10)days'notice to the other party. 17. Audit. Pursuant to Chapter 2,Article IV,Division 3, Section 2-134, Administration, Powers and Ditties of the Department of Internal Audit, of the Code of Ordinances of the City of Fort Worth, City may at City's sole cost and expense, at reasonable times during Tenant' normal business hours and upon reasonable notice,audit Tenant's books and records,but only as it pertains to this Agreement and as necessary to evaluate compliance with this Agreement.Any information obtained from such audit shall be maintained confidentially by the City. 18. Entire Agreement.This Agreement constitutes the entire agreement between City and Tenant relating to the use of Premises and no prior written or oral covenants or representations relating thereto not set forth herein shall be binding on either party hereto. 19. Amendment. This Agreement may not be amended, modified, extended, or supplemented except by written instrument executed by both City and Tenant. 20. Counterparts.This Agreement may be executed in several counterparts, each of which shall be deemed an original, but all of which shall constitute but one and the same document. 21. Lien Waiver. Notwithstanding anything to the contrary contained in this Agreement, neither City nor City's employees,contractors,agents,successors or assigns shall under any circumstances levy or cause to be levied any lien or encumbrances of any kind upon the personal property located on Premises which is not owned by Tenant, whether pursuant to this Agreement or otherwise. City expressly agrees there will be no exception,exclusion or other provision which can override or be constructively read Lease between City of Fort Worth and 2019 Forest Park,LLC Page 6 of I to override this,provision or condition. To the extent any applicable law imposes a lien in favor of City on the personal property located on Premises,said lien is hereby waived and disclaimed by City. 23. Broker Commissions.The City is not responsible for payment of any real estate broker commissions associated with this Agreement. 24. Rieht of First Refusal. Tenant is hereby granted first right of refusal to purchase the Premises upon the following terms. If before or during the term of this Agreement,the City receives from a third party a bona-fide, direct sale offer to purchase the Premises or any portion thereof which the City desires to accept, or if before or during the term of this Agreement the City makes an offer to sell the Premises or any portion thereof,the City agrees to deliver a written notice to Tenant to inform Tenant of the contemplated conveyance and its terms and conditions.Tenant will then have 10 days,starting on the date that Tenant receives the notice,to exercise its right of first refusal to purchase the Premises at Fair Market Value by informing the City in writing. In the event the Tenant does not exercise its right of first refusal after receiving a notice from the City and the Premises is not thereafter sold to a third party,the right of first refusal shall be reinstated and the City must comply with the terms of this Section 24 in the event it thereafter receives a bona-fide direct sale offer to purchase the Premises from a third party or desires to make an offer to sell the Premises. Notwithstanding anything in this paragraph to the contrary, any sale of the property shall be subject to the approval of the Fort Worth City Council. (SIGNATURES APPEAR ON FOLLOWING PAGES) Lease between City of Fort Worth and 2019 Forest Park, LLC Page 7 of 11 In witness whereof,the parties hereto have caused this Lease to be executed as of the day and year first above set forth. CITY: TENANT: U- 1--"OF FOR WORTH 2O19 FORES Fr ,LLC B B Y� Y: vin Gunn Name: d. sist7/t ,/Ity Ci Manager Title: / ti Date Date: ACKNOWLEDGEMENTS THE STATE OF TEXAS § COUNTY OF TARRANT § his instrument was acknowledged before me on this _aday of AlrIfAAAA A.14 J 2019, by Assistant City Manager of the City of Fort Worth,a home-rule munlicipAl corporation,on behalf of the City of Fort Worth. PAvP MARIA S.SANCHEZ Nota Public—State of Texas •: *: My Notary'ID#2256490 ',F ;',y Expires December 19,2021 o'F +; T TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on this day of 5 t" , 2019, by 9'A tvPALL S} (� YN,vuC of �C! 7 �`or� c I fC�LLC. Tenant,as described in the above Lease and Easement Agreement. �,r• YOLANDA COMBS Notar P blic—State of Texas NOrAM PINIJC•lTATE OF 1E1W ��+ 100 1 218463-7 COMP.ExP.04-30-1023 Lease between City of Fort Worth -- --- - and 2019 Forest Park,LLC ®FFICIAL SEC Page 8 of 11 CITY SECRETAR FT. WORTH. TX e 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 a,4 reporting requirements. Name: Title: , !�� h4l f 44,41/ / Datc: �f/�PV/i2?I �yf ! APPRO D AS O ORM AND LEGALITY: By: Leann Guzman Senior Assistant City Attorney Date: l% `"t 46 ATT ST: By: Y �� ary Kayser :Z City Secretary Date: Form 1295:2019-523894 Contract Authorization: OS j)l j i M&C: 19-0106 Lease between City of Fort Worth OFFICIAL RECORD and 2019 Forest Park,LLC Page 9 of 11 CITY SECRETARY FT. WORTH,TX Exhibit"A" Wk > � � . � PROPERTY . iLy - - 7 .l � � Survey (Premises highlighted in yellow) X4 "' ice'.11. IZ!, S111(y2SURNILYMS ko. LAND 11IMMEY TMOT 1-0.2M ACRE TPMI I-U 145 ACRE 959162-v2n784-198000 a N m o B i ! U � � i J i I Y I � a O (0 i of ---------- - - --- ----- ------------ ----------- F- LL U) Q `�Z STAIR 1 dWOMENNS OFFICE i t t x163 a _= co 0 I OFFICElowls.s MIENSo c3 I� OFFICE 90A y 001J OMSCC E foxf 1.6 a Lj OFFICE p IOxt1b STOR 71 ,1 OFFICE OFFICE i COY p OFFICE r I RECEPT. !r/ OFFICE OFFICE CONFERENCE 9.Got113 L—————————————— ! ------ - � r 585+/-SF ADDITION SECOND FLOOR ° — 8 NORTH 100 N. FOREST PARK BLVD. 6/l/19 Offkial site of the City of Fort worth,Texas CITY COUIVCIL AGENDA FoRr� WORT lI Ir— DATE: 8/27/2019 REFERENCE NO.: **M&C 19-0106 LOG NAME: 212019 FOREST PARK LLC CODE: L TYPE: CONSENT PUBLIC NO HEARING: SUBJECT: Authorize Execution of a Lease with 2019 Forest Park, LLC for a Certain Piece of Land Containing Approximately 12,201.34 Square Feet, Located Adjacent to the Building at 100 North Forest Park Blvd., Fort Worth,Texas 76102 being Purchased by 2019 Forest Park, LLC.,for the Purpose of Providing Parking, Signage, Beautification and Landscaping for the Building. (COUNCIL DISTRICT 9) RECOMMENDATION: It is recommended that the City Council authorize execution of a lease with 2019 Forest Park, LLC for a certain piece of land containing approximately 12,201.34 square feet, located adjacent to the building at 100 North Forest Park Blvd., Fort Worth,Texas 76102 being purchased by 2019 Forest Park, LLC., for the purpose of providing parking, signage, beautification and landscaping for the Building. (COUNCIL DISTRICT 9) DISCUSSION: On April, 21, 1975(M&C L-4890), City Council approved the execution of a lease agreement ("Agreement")with Armac, Incorporated("Armac")for the Lot to be used for parking, signage, beautification and landscaping for a building Armac planned to construct adjacent to the Lot.The Agreement(City Secretary Contract No. 8520)commenced on November 1, 1975 and expired October 31,2000 with a rental rate of$200.00 per year The Agreement provided for a twenty five(25)year renewal period to expire October 31,2025 per notification from the Armac. Armac did not provide notification to renew and by mutual agreement of both parties,the Agreement has been in holdover status since October 31, 2000. Armac is in the process of selling the constructed building to 2019 Forest Park, LLC who desires to execute a new lease agreement with the City for the Lot. Approval of this Mayor and Council Communication will authorize the execution of a Lease Agreement with 2019 Forest Park, LLC with the following terms: 1. Primary term of twenty five (25) years at a rental rate of$6,000.00 per year 2. A ten (10) year renewal option at a rental rate of$ 6,600.00 per year. 3. The option to purchase the Lot from the City at Fair Market Value contingent upon agreed upon terms between all parties, subject to City Council approval. 4. The option to assign the Lease Agreement to the new owner of the adjacent building If sold by 2019 Forest Park, LLC., subject to City Council approval. This property is located in Council District 9. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that this action will have no material effect of City Funds. TO Fund Department Account Project Program Activity Budget Reference# Amount ID ID Year Chartfield 2 FROM Fund I Department Account 710 roject Program Activity Budget Reference# Amount IQ 1 1 Year (Chartfield 2) Submitted for City Manager's Office by: Kevin Gunn(2015) Originatina Department Head: Roger Venables(6334) Additional Information Contact: Mark Brown (5197) ATTACHMENTS 2019 FOREST PARK LLC MAP.gdf