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HomeMy WebLinkAboutResolution - 2019-R0419 - Office Lease With Lubbock Housing Authority - 11/19/2019 Resolution No. 2019-RO419 Item No. 6.20 November 19, 2019 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the act of the Deputy City Manager in executing, on behalf of the City of Lubbock, an Office Lease by and between the City of Lubbock and the Housing Authority of the City of Lubbock, a Texas municipal housing authority, and all related documents is hereby ratified in full. Said Office Lease is attached hereto and incorporated in this resolution as if fully set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on Nnvernhe,- 19, 2019 DA Or M. POP•, MAYOR AT'rEST: A- Rebe t Garza, City Secret ry APPROVED AS TO CONTENT: Bi11 Overton, Deputy Ci nager APPROVED AS TO FORM: Ry it S "oke, Assistant City Attorney RES.LHA &CD Office Lease Ratification 11.4.19 Resolution No. 2019-R0419 OFFICE LEASE Terms Date: 19th day of November 2019 Landlord: Housing Authority of the City of Lubbock, a Texas municipal housing authority Landlord's Address: Housing Authority of the City of Lubbock 1708 Crickets Avenue Lubbock,Texas 79401 Lubbock County Tenant: City of Lubbock,aTexas Home Rule Municipal Corporation Tenant's Address: City of Lubbock P.O. Box 2000 Lubbock. Texas 79457 Lubbock County Premises Approximate square feet: 2,500 square feet Name of building: Lubbock Housing Authority Administration Building Street address/suite: 1708 Crickets Avenue City, state, zip: Lubbock,Texas 79401 Base Rent(monthly): $2,083.33 (based on $9.00 per squarefoot plus$1 per square foot to cover utilities) Security Deposit: $-0- Term (months): Six (6) months, subject to provisions of section E.21 of this agreement. Tenant and Landlord retain the right, at its election, to terminate this lease by giving the other Party thirty(30)days written notice that lease is terminated. Commencement Date: November 4, 2019 Termination Date: April 30, 2020 1 Use: City of Lubbock Community Development Department Services and Administrative offices Amount of Liability Insurance Death/bodily injury: $1,000,000 Property: $500,000 Definitions "Rent" means Base Rent plus any other amounts of money due Landlord by Tenant. "Landlord" means Landlord and itsagents,employees, invitees,licensees, orvisitors. "Tenant" means Tenant and its agents, employees, invitees, licensees,or visitors. "Common Areas" means all facilities and areas of the building that are intended and designated by Landlord from time to time for the common,general,and nonexclusive use of all tenants of the building. Landlord has the exclusive control over and right to manage the Common Areas. "Building Operating Hours "means 7:00 a.m. to 6:00 p.m. Monday through Friday, except holidays,but is dependent upon the needs of the programs operated by the Tenant. Clauses and Covenants A. Tenant agrees to: 1. Lease the Premises for the entire Term beginning on the Commencement Date and ending on the Termination Date. 2. Accept the Premises in their present condition "AS IS," the Premises being currently suitable for Tenant's intended Use. 3. Obey all laws, ordinances, orders, and rules and regulations applicable to the use, condition, and occupancy of the Premises, including the rules and regulations of the building adopted by Landlord. 4. Pay monthly, in advance, on the 15th day of the month,the Base Rent to Landlord at Landlord's Address. 5. Pay,as additional Rent, all other amounts due under this lease. 6. Pay for all utility services used by Tenant and not provided by Landlord. 2 7. Allow Landlord to enter the Premises to perform Landlord's obligations, inspect the Premises,and show the Premises to prospective purchasers ortenants. 8. Repair, replace, and maintain any part of the Premises that Landlord is not obligated to repair,replace,or maintain,normal wear excepted. 9. Repair any damage to the Premises caused by Tenant. 10. Submit in writing to Landlord any request for repairs, replacement, and maintenance that are the obligations ofLandlord. 11. Maintain public liability insurance for the Premises and the conduct of Tenant's business, naming Landlord as an additional insured, in the amounts stated in the lease. 12. Maintain insurance on Tenant's personal property. 13. Deliver certificates of insurance to Landlord before the Commencement Date and thereafter when requested. 14. Indemnify, defend,and hold Landlord harmless from any loss, attorney's fees, court and other costs,or claims arising out of use of the Premises,to the extent allowed by law. 15. Vacate the Premises and return all keys to the Premises on termination of this lease. lb. On request,execute an estoppel certificate that states the Commencement Date and Termination Date of the lease,identifies any amendments to the lease,describes any rights to extend the Term or purchase rights, lists defaults by Landlord, and provides any other information reasonably requested. 17. Arrange with Landlord in advance for any heating, air-conditioning, or electrical needs in excess of the services provided by Landlord and pay for such additional services as billed by Landlord. B. Tenant agrees not to: 1. Use the Premises for any purpose other than that stated in the lease. 2. Create a nuisance. 3. Interfere with any other tenant's normal business operations or Landlord's management ofthebuilding. 4. Permit any waste. 3 5. Use the Premises in any way that is extra-hazardous, would increase insurance Premiums,or would void insurance on the building. 6. Change Landlord's lock system without the prior written approval of Landlord. 7. Alter the Premises without the prior written approval of L a n d I o r d. 8. Allow a lien to be on the Premises. 9. Assign this lease or sublease any portion of the Premises. C. Landlord agrees to: 1. Lease to Tenant the Premises for the entire Term beginning on the Commencement Date and ending on the Termination Date,and any additional renewal terms. 2. Obey all laws, ordinances,orders, and rules and regulations applicable to the use, condition,and occupancy of the building. 3. Provide normal utility service connections and service to the building. 4. Repair,replace,and maintain the(a) roof,(b)foundation,(c) structural soundness of the exterior walls, doors, and windows, (d)plumbing infrastructure located in the slab or in the wall or in the ceiling,(e)sewer,and(f) HVAC systems serving the Premises. 5. Insure the building against all risks of direct physical loss in an amount equal to at least 90 percent of the full replacement cost of the same as of the date of the loss and liability; Tenant will have no claim to any proceeds of Landlord's insurance policy. 6. Return the Security Deposit to Tenant, less itemized deductions, if any, within thirty days after the termination of this lease. 7. Provide the following services: (a) air conditioning and heating to the Premises reasonable for Tenant's Use (exclusive of air conditioning or heating for electronic data- processing or other specialized equipment) during Building Operating Hours and at such other times at such additional cost as Landlord and Tenant may agree on;(b)hot and cold water for lavatory and drinking purposes; and (c) electric current for normal office machines and the building's standard lighting reasonable for Tenant's Use. D. Landlord agrees not to: 1. Interfere with Tenant's possession of the Premises as long as Tenant is not in default. E. Landlord and Tenant agree to the following: 4 1. Alterations. Any physical additions or improvements to the Premises made by Tenant will become the property of Landlord. Landlord may require that Tenant, at termination of this lease and at Tenant's expense, remove any physical additions and improvements, repair any alterations, and restore the Premises to the condition existing at the Commencement Date, normal wearexcepted. 2. Abatement. Tenant's covenant to pay Rent and Landlord's covenants are independent. Except as otherwise provided, Tenant will not be entitled to abate Rent for any reason. 3. Release of Claims/Subrogation. Landlord and Tenant release each other from any claim, by subrogation or otherwise, for any damage to the Premises, the building, or personal property within the building, by reason of fire or the elements, regardless of cause, including negligence of Landlord or Tenant. This release applies only to the extent that it is permitted by law, the damage is covered by insurance proceeds, and the release does not adversely affect any insurance coverage. 4. Notice to Insurance Companies. Landlord and Tenant will notify the issuing insurance companies of the release set forth in the preceding paragraph and will have the insurance policies endorsed, if necessary,to prevent invalidation of the insurance coverage. 5. Casualty/Total or Partial Destruction a. If the Premises are damaged by casualty and can be restored within ninety days, Landlord will, at its expense, restore the Premises to substantially the same condition that existed before the casualty. If Landlord fails to complete restoration within ninety days from the date of written notification by Tenant to Landlord of the casualty, Tenant may terminate this lease by written notice to Landlord. b. If the Premises cannot be restored within ninety days, Landlord has an option to restore the Premises. If Landlord chooses not to restore, this lease will terminate. If Landlord chooses to restore, Landlord will notify Tenant of the estimated time to restore and give Tenant an option to terminate this lease by notifying Landlord within ten days. If Tenant does not terminate this lease, the lease will continue and Landlord will restore the Premises as provided in a. above. C. To the extent, the Premises are untenantable after the casualty and the damage was not caused by Tenant, the Rent will be adjusted as may be fair and reasonable. 6. Condemnation/Substantial or Partial Taking 5 a. If the Premises cannot be used for the purposes contemplated by this lease because of condemnation or purchase in lieu of condemnation, this lease will terminate. b. If there is a condemnation or purchase in lieu of condemnation and this lease is not terminated,Landlord will, Landlord's expense,restore the Premises, and the Rent payable during the unexpired portion of the Term will be adjusted as may be fair andreasonable. C. Tenant will have no claim to the condemnation award or proceeds in lieu ofcondemnation. 7. Default by Landlord/Events. Defaults by Landlord are failing to comply with any provision of this lease within thirty days after written notice and failing to provide Essential Services to Tenant within ten days after written notice. 8. Default by Landlord/Tenant's Remedies. Tenant's remedies for Landlord's default are to sue for damages and, if Landlord does not provide services as set out in Section C. (7) of this agreement within thirty days after default,terminate this lease. 9. Default by Tenant/Events. Defaults by Tenant are (a) failing to pay timely Rent, (b) abandoning or vacating a substantial portion of the Premises, and (c) failing to comply within ten (10) days after written notice with any provisions of this lease other than the defaults set forth in (a) and (b) above. 10. Default by Tenant,-"Landlord's Remedies. Landlord's remedies for Tenant's default are to (a) enter and take possession of the Premises, after which Landlord may relet the Premises on behalf of Tenant and receive the rent directly by reason of the reletting, and Tenant agrees to reimburse Landlord for any expenditures made in order to relet; (b) enter the Premises and perform Tenant's obligations; and (c)terminate this lease by written notice and sue for damages. Landlord may enter and take possession of the Premises by self-help, by picking or changing locks if necessary, and may lock out Tenant or any other person who may be occupying the Premises, until the default is cured, without being liable for damages. 11. Default/.-"Waiver/Mitigation. It is not a waiver of default if the nondefaulting party fails to declare immediately a default or delays in taking any action. Pursuit of any remedies set forth in this lease does not preclude pursuit of other remedies in this lease or provided by law. Landlord and Tenant have a duty to mitigate damages. 12. Holdover. If Tenant does not vacate the Premises following termination of this lease, Tenant will become a tenant at will and must vacate the Premises on receipt of notice from Landlord. No holding over by Tenant, whether with or without the consent of Landlord, will extend the Term. 13. Attorney's Fees. If either party retains an attorney to enforce this lease, the 6 party prevailing in litigation is entitled to recover reasonable attorney's fees and court and other costs. 14. Venue. Venue is in the county in which the Premises are located. 15. Entire Agreement. This lease is the entire agreement of the parties, and there are no oral representations,warranties,agreements,or promises pertaining to this lease or to any expressly mentioned exhibits and riders not incorporated in writing in this lease. 16. Amendment of Lease. This lease may be amended only by an instrument in writing signed by Landlord and Tenant. 17. Limitation of Warranties. THERE ARE NO IMPLIED WARRANTIES OF MERCHANTABILITY, OF FITNESS FOR A PARTICULAR PURPOSE,OR OF ANY OTHER KIND ARISING OUT OF THIS LEASE, AND THERE ARE NO WARRANTIES THAT EXTEND BEYOND THOSE EXPRESSLY STATED IN THIS LEASE. 18. Notices. Any notice required or permitted under this lease must be in writing. Any notice required by this lease will be deemed to be delivered (whether actually received or not)when deposited with the United States Postal Service,postage prepaid, certified mail,return receipt requested, and addressed to the intended recipient at the address shown in this lease. Notice may also be given by regular mail, personal delivery, courier delivery, facsimile transmission, or other commercially reasonable means and will be effective when actually received. Any address for notice may be changed by written notice delivered as provided herein. 19. Abandoned Property. Landlord may retain,destroy, or dispose of any property left on the Premises at the end of the Term. 20. Non-Arbitration. The City reserves the right to exercise any right or remedy available to it by law, contract, equity, or otherwise, including without limitation, the right to seek any and all forms of relief in a court of competent jurisdiction. Further, the City shall not be subject to any arbitration process prior to exercising its unrestricted right to seek judicial remedy. The remedies set forth herein are cumulative and not exclusive, and may be exercised concurrently. To the extent of any conflict between this provision and another provision in,or related to,this document,this provision shall control. 21. Non Appropriation. All funds for payment by the Tenant under this lease are subject to the availability of an annual appropriation for this purpose by the Tenant. In the event of non-appropriation of funds by the City Council of the City of Lubbock for the.payment required under the lease,the Tenant will terminate the lease, without termination charge or other liability, on the last day of the then-current fiscal year or when the appropriation made for the then-current year for the lease is spent, whichever event occurs first.At any time,funds are not appropriated for the continuance of this lease, cancellation shall be accepted by the Landlord on 30 days prior written notice,but failure to give such notice shall be of no effect insert and the Tenant shall not be obligated under this lease beyond the date of termination. 7 LANDLORD: HOUSING AUTHORITY OF THE CITY OF LUBBOCK B : y Mike Chapman, Executive Director TENANT: CITY OF LBBOCK E AS By: Daniel M. Pope, Magor ATTEST: '01 J�Ve­4' eb cca Garza, City Secretai APPROVED S TO CONTEN '?, Q'?.,.jQU*1-- Bill erton, Deputy City ager APPROVED AS TO F M: Ry B ooke, Assistant City Attorney 8