HomeMy WebLinkAboutContract 58433 DocuSign Envelope ID:A68278D3-F221-4883-9361-57E8F893B982
CSC No. 58433
MONTH TO MONTH LEASE AGREEMENT
3rd November
This Month to Month Lease Agreement ("Agreement") is entered into this day of , 2022
("Effective Date)by and between the City of Fort Worth,Texas,a home-rule municipal corporation of the State of
Texas,acting by and through its duly authorized Assistant City Manager,Dana Burghdoff("Lessor"),and Gatik Al,
Inc., a Delaware corporation, acting by and through its duly authorized Vice President and General Counsel, Judi
Otteson("Lessee").
WHEREAS,Lessor owns a certain piece of property known as the Parts/Warehouse Building#11,located
at 2050 Eagle Parkway, Fort Worth, Texas 76177 at the Alliance Maintenance Facility("Property"), said Property
being managed on behalf of Lessor by Hillwood Properties("Property Manager"); and
WHEREAS,Lessee has requested,and the Lessor agrees to grant to Lessee,the use of approximately 17,000
square feet of the ground floor on the Property for temporary truck parking in accordance with the terms and
conditions of this Agreement.
WITNESSETH:
1. Premises. Lessor hereby grants Lessee the Agreement to occupy approximately 17,000 square feet of
space on the first floor of the Property("Premises")as described in Exhibit"A"located at the Alliance Maintenance
Facility for temporary truck parking. Under no circumstances during the Agreement will Lessee use or cause to be
used on the Premises any hazardous or toxic substances or materials, or store or dispose of any such substances or
materials on the Premises;provided that the presence of fuel,engine oil and hydraulic fluids as commonly used for
or stored in vehicles parked on the Premises will not be deemed a violation of this Section. Lessee shall not install
signs, advertising media, or lettering in or on the Premises without prior written approval of Lessor. Lessee will
have access to the Premises twenty-four(24)hours a day, seven(7) days a week. Lessor agrees to provide Lessee
with reasonable prior notice in the event Lessor desires to access the Premises; however, the Lessor reserves the
right to use the Premises in any way that does not materially interfere with Lessee's use of the Premises in accordance
with this Agreement.
2. Condition of Premises. Lessee taking possession of the Premises shall be conclusive evidence that(a)
the Premises is suitable for the purposes and uses for which same are leased; and (b) Lessee waives any and all
defects in and to the Premises, its appurtenances, and in all the appurtenances thereto. Further, Lessee takes the
Premises and all appurtenances in"AS IS"condition without warranty,expressed or implied,on the part of Lessor.
Lessor shall not be liable to Lessee,Lessee's agents, employees, invitees, Lessees, or guests for any damage to any
person or property due to the Premises or any part of any appurtenance thereof being improperly constructed or
being or becoming in disrepair.Notwithstanding the foregoing,Lessor will be solely responsible for any hazardous
waste,remediation,environmental spills,damage or clean up from any activity that happened prior to the Effective
Date. Additionally, Lessor has agreed to resolve an open issue with the large overhead door associated with the
Premises at no cost to Lessee.
3. Lease Term: The Initial Term of this Lease shall commence on the Effective Date and continue on a
month-to-month basis until either party terminates this Agreement,for any reason,by providing the other party with
not less than 30-days written notice prior to the effective date of such termination.
Lease Agreement between the City of Fort Worth and
Gatik AI,LLC
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4. Lease Fee; Time of essence.
(a) Lessee will pay Lessor a Lease fee of$9,916.67 per month to use the Premises during the Lease
Term beginning on the Effective Date.
(b) Fee is due to Lessor on or before the 1st of each month via direct deposit into the Alliance
Maintenance Fund bank account, the information for which shall be provided by Lessor and/or
Property Manager to Lessee promptly after the Effective Date hereof.Checks will not be accepted.
(c) If the payment of fees is not received by Lessor as provided herein, then after ten (10) days after
receipt of written notice from Lessor, all amounts due and payable to Lessor 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)eighteen percent(18%)or(b)the highest non-usurious rate permitted by applicable
law.
5. Services. All utilities(water,electricity,etc.),common area fees and property management fees for the
Premises are included in the Lease fee and shall be furnish by the Lessor to the Lessee.All other operating costs of
Premises, including but not limited to security and cleaning, shall be at Lessee's sole cost and expense. If Lessee
wants or needs any other items or services while occupying the Premises, then Lessee shall first obtain written
approval from the Lessor to contract, add or install any of the above items and will be responsible for providing
same at Lessee's sole cost. Nothing herein shall constitute an obligation of Lessor funds.
6. Alterations,Additions,Improvements, and Signage.Lessee shall make no alterations on or additions
to the Premises without the prior written consent of Lessor. If approved by the Lessor, any alterations made to the
Premises by the Lessee shall be at Lessee's sole cost and expense and shall not interfere with the operations of other
Lessees and/or other operations at the Alliance Maintenance Facility. If interference occurs, Lessee will make
changes and/or remove the alteration to remedy said interference within five (5) days of notice from Lessor. All
alterations, additions and improvements made to or fixtures or other improvements placed in or upon the Premises
shall be deemed a part of the Premises and the property of Lessor at the end of the Lease Term.All such alterations,
additions, improvements, and fixtures shall remain upon and be surrendered with the Premises as a part thereof at
the termination of this Agreement unless otherwise agreed in writing by the parties. Lessee may, at its sole option
and expense, remove any Lessee alterations at any time during the Lease Term with Lessor approval. At the
termination of this Agreement,whether by lapse of time or otherwise,Lessee shall(i)deliver the Premises to Lessor
in as good a condition as the same was as of the date of the taking of possession thereof by Lessee, subject only to
ordinary wear and tear and damage caused by casualty or condemnation, and(ii)upon Lessor request,remove any
alterations and make any repairs to the Premises as needed in order to comply with the provisions as required under
section 12 below.
7. Indemnity. (a) LESSEE SHALL AND DOES AGREE TO INDEMNIFY, PROTECT,
DEFEND AND HOLD HARMLESS LESSOR, LESSOR'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 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 THE PREMISES BY LESSEE, ITS
Lease Agreement between the City of Fort Worth and OFFICIAL RECORD
Gatik AI,LLC
CITY SECRETARY
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DocuSign Envelope ID:A68278D3-F221-4883-9361-57E8F893B982
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 LESSEE OR ANY LESSEE,
EMPLOYEE, DIRECTOR, OFFICER, SERVANT, OR CONTRACTOR OF LESSEE OR (3) BY
ANY BREACH, VIOLATION OR NONPERFORMANCE OF ANY COVENANT OF LESSEE
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 OR AGAINST ANY INDEMNITEE IN CONNECTION WITH ANY SUCH
LIABILITY OR CLAIM, LESSEE, ON WRITTEN NOTICE FROM LESSOR, SHALLDEFEND
SUCH ACTION OR PROCEEDING, AT LESSEE'S EXPENSE, BY OR THROUGH
ATTORNEYS REASONABLY SATISFACTORY TO LESSOR. THE PROVISIONS OF THIS
PARAGRAPH SHALL APPLY TO ALL ACTIVITIES OF LESSEE WITH RESPECT TO THE
USE AND OCCUPANCY OF THE 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.
(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 PERSONAL PROPERTY OF LESSEE, INCLUDING TRUCKS
USING THE PREMISES, WHETHER PURSUANT TO THIS AGREEMENT 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, INVITEE, 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 ANY OTHER CAUSE OF WHATSOEVER NATURE, UNLESS DUE IN
WHOLE OR IN PART TO THE NEGLIGENCE OF ANY INDEMNITEE.
8. Insurance.During the Term,Lessee,at its expense,shall procure and maintain in connection with its use
of the Premises, the following insurance coverages,naming the City of Fort Worth as an additional insured, and in
accordance with all other applicable terms and conditions of this Section 9.
(a) Commercial general liability insurance covering bodily injury and property damage on a "claims
made"basis with limits of no less than One Million Dollars($1,000,000.00)per occurrence and Two Million Dollars
Lease Agreement between the City of Fort Worth and
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($2,000,000.00)in the aggregate,
(b) All Risks Property insurance with respect to Lessee's interest in the Premises and all personal property
of Lessee located at or within the Premises,with coverages in such amounts and against such risks as are customarily
insured against, including,without limitation,business interruption coverage with respect to Lessee's operations at
the Premises,and
(c) Automobile liability insurance covering any owned, non-owned and hired automotive vehicle
(endorsed to provide contractual liability coverage)covering bodily injury and property damage with a limit of One
Million Dollars($1,000,000.00)combined single limit.
8.1 Workers Compensation and Employer's Liability Insurance. Lessee represents that Workers
Compensation and Employer's Liability insurance coverages are maintained by Lessee for all personnel working at
the Premises with a limit of One Million Dollars ($1,000,000.00) for each accident for bodily injury by accident or
One Million Dollars($1,000,000.00)for each employee for bodily injury by disease.Prior to the Effective Date and
upon any modification to or renewal following termination or expiration of any insurance coverages required
hereunder,Lessee will provide to Lessor a certificate of the insurer or an authorized broker evidencing the insurance
coverages and terms described in this Section.
The parties agree that the coverages and limits provided in this Section 9 may be adjusted by Lessee upon no less
than thirty(30) days' prior written notice to Lessor to such coverages and amounts as may be approved by Lessor,
such approval to not be unreasonably withheld.
8.2 Lessee Insurance Policy Conditions. Each insurance policy required by Section 9(i)shall be issued
by an insurer(or insurers)possessing an A-VII A.M.Best Rating or better and of recognized standing and authorized
to issue such policy of insurance in the State of Texas; (ii) shall provide for a waiver of subrogation by each such
insurer with respect to any claims against Lessor solely to the extent of the amount of any payment of a loss by such
insurer pursuant to the applicable insurance coverages; and (iii) shall be endorsed to prohibit cancellation or
substantial reduction of coverage by the insurer without at least thirty(30)days' prior written notice to Lessor. The
liability policies and coverages set forth in clauses (a) through (c) and (e) of Section 9 shall each contain an
endorsement naming Lessor as an additional insured as its interests may appear. Lessee shall be named loss payee
as its interests may appear with respect to the insurance coverages maintained by Lessee pursuant to cause (c) of
Section 9. Prior to the Effective Date and upon any modification to or renewal following termination or expiration
of any insurance coverages required hereunder, Lessee will provide to Lessor a certificate of the insurer or an
authorized broker evidencing the insurance coverages and terms required by Section 9.
8.3 Mutual Release. Lessor and Lessee release each other from all claims for losses of or to(i)the Central
Utility Plant, (ii) Lessee's personal property, equipment and fixtures, and (iii) Lessee's or Lessor's business or
revenues,provided the losses are covered by the releasing party's insurance to the extent of the limits as specified in
section 9.1 and section 9.2 above. The party incurring the loss is responsible for any deductible or self-insured
retention under its insurance. The parties will notify the issuing insurance companies of this Lease and have the
applicable policies endorsed, if necessary,to prevent invalidation of coverage by reason of this provision.
9. Abandoned Property. Lessee's personal property not promptly removed by Lessee from the 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 Lessee to Lessor. Fixtures attached to the Premises become the
property of Lessor,if not removed as required herein.
Lease Agreement between the City of Fort Worth and
Gatik AI,LLC
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1 O.Assignment and Subletting.Lessee shall not assign this Agreement, or any right of Lessee under this Agreement,
or sublet the 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 Lessee's contractors,subcontractors and agents may use the Premises in accordance with the terms
and provisions hereof.
I I.Damage to Premises or Property of Lessor. If,at any time during the Lease Term,by the acts or omissions of the
Lessee, its employees, contractors, or agents of Lessees, the Premises, or any property therein is damaged or
destroyed, Lessee shall be obligated to pay, on demand, all costs to repair or replace such damaged or destroyed
property.
12.Repairs and Maintenance. Lessor has no obligation to make repairs of any sort to the Premises. Lessor's sole
obligation hereunder being to make the Premises available to Lessee in accordance with and subject to the covenants,
restrictions and limitations set forth herein. Lessee shall, at its expense, use and maintain the Premises in a neat,
clean, careful, safe, and proper manner and comply with all applicable laws, ordinances, orders, rules, and
regulations of all governmental bodies(state,county, federal,and municipal). Lessee shall be responsible, at their
sole expense, for any and all clean up and/or repairs to damage to the Premises due to the trucks accessing and
parking in the Premises,including but not limited to,chemical spills and environmental clean-up if required. At no
time may there be any maintenance of any trailers or trucks within the Premises and if a spill of any nature takes
place arising from the actions of Lessee, Lessee 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,Lessor will
be solely responsible for any hazardous waste, remediation, environmental spills, damage or clean up from any
activity that happened prior to the Effective Date pursuant to Section 2 above.
B.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,in the sole determination of the Lessor,essential to the rights of both parties,in which event
Lessor has the right, but not the obligation,to terminate the Agreement on written notice to Lessee.
14.Default and Termination.
(a) Lessee's Default.If Lessee shall fail to perform or observe any of its obligations hereunder then Lessor
may terminate this Agreement by giving Lessee twenty (20) days prior written notice thereof. If Lessee fails to
cure such default within fifteen(15) days of receipt of Lessor's default notice than this Agreement and all interest
of Lessee hereunder shall automatically terminate, but if Lessee does so cure such default within said 15 days,
Lessor's termination notice will be deemed withdrawn. Such rights of Lessor in the case of a default by Lessee
hereunder are not exclusive,but are cumulative of all other rights Lessor 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)Lessor's Default. Should Lessor commit a default under this Agreement,,Lessee may terminate this
Agreement by giving Lessor twenty(20)days prior written notice thereof.If Lessor fails to cure such default within
fifteen(15)days of receipt notice then Lessee may terminate this Agreement- Such rights of Lessee in the case of
a default by Lessor hereunder are not exclusive,but are cumulative of all other rights Lessee 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 Agreement between the City of Fort Worth and
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15.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 Lessee:
City of Fort Worth Gatik Al,LLC
Lease Management c/o Hillwood Properties
Property Management Department 9800 Hillwood Parkway, Suite 300
900 Monroe,Suite 400 Fort Worth,Texas 76177
Fort Worth,TX 76102
With a copy to: With a copy to:
City Attorney's Office Gatik Al,Inc.
Attn: Thomas Royce Hansen 161 E.Evelyn Ave.
City of Fort Worth Mountain View, CA 94041
200 Texas Street Attn: Judi Otteson,General Counsel
Fort Worth,TX 76102
With a copy to the Property
Manager:
Doug Johnson
Hillwood Properties
9800 Hillwood Parkway, Suite 300
Fort Worth,TX 76177
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
Duties of the Department of Internal Audit, of the Code of Ordinances of the City of Fort Worth, Lessor may at
Lessor's sole cost and expense, at reasonable times during Leasee's normal business hours and upon reasonable
notice, audit Leasee's books and records, but only as it pertains to this Agreement and as necessary to evaluate
compliance with this Agreement.
18. Entire Agreement.This Agreement constitutes the entire agreement between Lessor and Lessee
relating to the use of the 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 Lessor and Lessee.
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.
Lease Agreement between the City of Fort Worth and
Gatik AI,LLC
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[SIGNATURES ON FOLLOWING PAGE]
Lease Agreement between the City of Fort Worth and
Gatik AI,LLC
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DocuSign Envelope ID:A68278D3-F221-4883-9361-57E8F893B982
In witness whereof,the parties hereto have caused this Lease to be executed as the day and year first above set forth.
LESSOR: LESSEE:
CITY OF FORT WORTH GATIK Al,LLC DocuSigned by: 1
BDanaBurghdoff(N v10,20 :35Caij B �k t,SDI�,
Y y EEE8HZ4615324Fr
Dana Burghdoff Judi otteson
Assistant City Manager Name:
Date:
Nov 10, 2022 Title: General Counsel
11/3/2022
Date:
CONTRACT COMPLIANCE MANAGER DS
By signing, I acknowledge that I am the person responsible pN
for the monitoring and administration of this contract,including
ensuring all performance and reporting requirements.
Co-founder and CTo�,,4F
Name: Ma� n(Nov8,2ou
Lease Manager,property Management Department
Title:
Date: Nov 8, 2022
APPROVED AS TO FORM AND LEGALITY:
By:
Thomas Royce Hansen
Assistant City Attorney
Date: Nov 9, 2022
ATTEST:
FART��
aoF"o olo�aa
°Tannee 5.Goodall o °c��p
By: JannetteS.Goodall(Nov11,202209:09CSn P V o o=�
Jannette S. Goodall �Pa °o
City Secretary ��a1 nExA`4app
Date: Nov 11, 2022
Form 1295:Not required
Contract Authorization:
M&C:Not required OFFICIAL RECORD
CITY SECRETARY
Lease Agreement between the City of Fort Worth and FT. WORTH, T
Gatik AI,LLC
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DocuSign Envelope ID:A68278D3-F221-4883-9361-57E8F893B982
Exhibit"A"
Aerial View
' ��f F .y {k __ .• i � ,I � - yr;
'f .. -• '•l r J 1' l
'F
> R r+Y7
Lease Premises
Ono> Parts i warehouse Bldg. #11
2050 Eagle Parkway
Fort worth. TX 76177 4x
a
Lease Agreement between the City of Fort Worth and
Gatik AI,LLC
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DocuSign Envelope ID:A68278D3-F221-4883-9361-57E8F893B982
Exhibit"A"
Premises
I T T
�-- - I Ins
- 1lL
.nm n
•
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71
Lease Agreement between the City of Fort Worth and
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DocuSign Envelope ID:A68278D3-F221-4883-9361-57E8F893B982