HomeMy WebLinkAbout06787 ORD - 01/30/1963JKH:I2 -17 -62
AN ORDINANCE
AUTHORIZING AND DIRECTING THE CITY MANAGER TO
EXECUTE, FOR AND ON BEHALF OF THE CITY OF CORPUS
CHRISTI, TEXAS, A LEASE AGREEMENT WITH HARRINGTON
AND CORTELYOU FOR CONSTRUCTION AND OPERATION OF A
GOLF COURSE ON A PORTION OF THE FORMER CLIFF MAUS
AIRPORT PROPERTY, SAID LEASE TO BE FOR A TERM OF
THIRTY (30) YEARS FROM AND AFTER THE DATE OF EXE-
CUTION OF SUCH LEASE BY THE CITY, SAID LEASE
AGREEMENT HAVING BEEN AUTHORIZED BY THE QUALIFIED
VOTERS AT AN ELECTION HELD ON THE 15TH DAY OF
DECEMBER, 1962.
WHEREAS, THE QUALIFIED VOTERS OF THE CITY OF CORPUS CHRISTI,
TEXAS, DID, ON THE 15TH DAY OF DECEMBER, 1962, AT AN ELECTION CALLED
BY ORDINANCE N0. 6697, AUTHORIZE THE CITY COUNCIL TO ENACT AN ORDINANCE
GRANTING A LEASE TO HARRINGTON AND CORTELYOU ON CERTAIN LANDS DESCRIBED
IN SAID LEASE, FOR A TERM OF 30 YEARS; AND
WHEREAS, THE AFORESAID LAND TO BE LEASED TO HARRINGTON AND
CORTELYOU CONSISTS OF APPROXIMATELY 222.37 ACRES OUT OF THE FORMER
CLIFF MAUS AIRPORT PROPERTY, LOCATED IN NUECES COUNTY, TEXAS; AND
WHEREAS, IN ORDER TO COMPLY WITH THE WISHES OF THE MAJORITY
OF THE VOTERS OF THE CITY OF CORPUS CHRISTI, TEXAS, VOTING IN THE
AFORESAID ELECTION, IT IS NECESSARY FOR THE CITY TO ENTER INTO A
LEASE AGREEMENT WITH SAID HARRINGTON AND CORTELYOUI
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF CORPUS CHR ISVII', TEXAS:
SECTION 1. THAT THE CITY MANAGER IS HEREBY AUTHORIZED AND
DIRECTED TO EXECUTE, FOR AND ON BEHALF OF THE CITY OF CORPUS CHRISTI,
TEXAS, A LEASE AGREEMENT WITH HARRINGTON AND CORTELYOU, AS LESSEE,
FOR CONSTRUCTION AND OPERATION OF A GOLF COURSE ON A PORTION OF THE
FORMER CLIFF MAUS AIRPORT PROPERTY, LOCATED IN CORPUS CHRISTI, NUECES
COUNTY, TEXAS, FOR A PERIOD OF 30 YEARS, SAID LEASE AGREEMENT BEING
IN WORDS AND FIGURES AS FOLLOWS, TO -WIT:
67,87
r •
THENCE IN A NORTHWESTERLY DIRECTION ALONG THE ARC OF A
CIRCULAR CURVE TO THE RIGHT HAVING A RADIUS OF 448.43
FEET AND A CENTRAL ANGLE OF 54* 291 30° A DISTANCE OF
426.48 FEET TO A POINT FOR A CORNER OF THIS TRACT;
THENCE N. 35° 341 3011 W. A DISTANCE OF 111.34 FEET TO A
POINT FOR A CORNER OF THIS TRACT;
THENCE IN A NORTHEASTERLY DIRECTION ALONG THE ARC OF A
CIRCULAR CURVE TO THE RIGHT HAVING A RADIUS OF 20 FEET AND
A CENTRAL ANGLE OF 870 451 58" A DISTANCE OF 30.64 FEET TO
A POINT FOR A CORNER OF THIS TRACT;
THENCE IN A NORTHEASTERLY DIRECTION ALONG THE ARC OF A CIR-
CULAR CURVE TO THE LEFT HAVING A RADiUS OF 5�8g05 FEET AND
A CENTRAL ANGLE OF 80 531 42° A DISTANCE OF 90.83 FEET TO
A POINT. SAID CURVE BEING ALONG THE SOUTHEAST RIGHT OF WAY
LINE OF OLD BROWNSVILLE ROAD;
THENCE N. 43° 061 20° E. WITH THE SOUTHEAST RIGHT OF WAY
LINE OF OLD BROWNSVILLE ROAD A DISTANCE OF 4096.99 FEET TO
A POINT FOR A CORNER. OF THIS TRACT;
THENCE IN AN EASTERLY DIRECTION ALONG THE ARC OF A CIRCULAR
CURVE TO THE RIGHT HAVING A RADIUS OF 478.86 FEET AND A
CENTRAL ANGLE OF 23° 351 30^ A DISTANCE OF 197.17 FEET TO
A POINT,
THENCE N. 66° 411 5011 E. A DISTANCE OF 344.36 FEET TO A
POINT FOR A CORNER OF THIS TRACT;
THENCE IN A SOUTHEASTERLY DIRECTION WITH THE ARC OF A CIRCULAR
CURVE TO THE RIGHT HAVING A RADIUS OF 80 FEET AND A CENTRAL
ANGLE OF 1130 151 A DISTANCE OF 158.13 FEET TO A POINT FOR A
CORNER OF THIS TRACT;
THENCE S. 0° 03° 10" E. A DISTANCE OF 3696.65 FEET TO A
POINT FOR A CORNER OF THIS TRACT;
THENCE IN A SOUTHWESTERLY DIRECTION WITH THE ARC OF A CIRCULAR
CURVE TO THE RIGHT HAVING A RADIUS OF 460 FEET AND A CENTRAL
ANGLE OF 90° A DISTANCE OF 722.57 FEET TO THE PLACE OF BEGINNING;
CONTAINING 222037 ACRES; MORE OR LESS, ALL AS SHOWN BY THE
MAP OR PLAT ON FILE IN THE OFFICE OF THE CITY SECRETARY.
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THE STATE OF TEXAS
COUNTY OF NUECES )(
LEASE
THIS LEASE IS EXECUTED IN DUPLICATE THIS DAY OF ,
196_, BY AND BETWEEN THE CITY OF CORPUS CHRISTI, TEXAS, ACTING HEREIN BY
AND THROUGH ITS CITY MANAGER, HEREUNTO DULY AUTHORIZED, HEREINAFTER CALLED
"CITY ", AND HARRINGTON & CORTELYOU, A PARTNERSHIP CONSISTING OF FRANK M.
CORTELYOU, E. M. NEWMAN AND F. M. CORTELYOU, JR., HEREINAFTER CALLED "LESSEE",
W I T N E S S E T H t
THAT FOR AND IN CONSIDERATION OF THE RENT TO BE PAID BY LESSEE
AND THE CONSTRUCTION OF GOLF COURSE AND OTHER IMPROVEMENTS AND SURRENDER
OF THE SAME AT THE TERMINATION OF THE LEASE AND TAE OTHER CONSIDERATIONS
GIVEN BY THE LESSEE HEREIN, CITY HEREBY LEASES TO THE LESSEE, AND LESSEE
HIRES FROM THE CITY, THE FOLLOWING PREMISES, TO -WIT2
BEGINNING AT THE SOUTHEAST CORNER OF LOT 1, GUGENHEIM
AND COHN FARM LOTS OUT OF SECTION 5y RANGE 9, KINNEY
LANDS AS SHOWN BY MAP OR PLAT OF RECORD IN VOL. Ay PAGE
53, MAP RECORDS OF NUECES COUNTY, TEXAS;
THENCE S. S9° 561 50" W. WITH THE SOUTH BOUNDARY LINE OF
SAID LOT 1, A DISTANCE OF 673.44 FEET TO A POINT, SAID
POINT BEING THE BEGINNING POINT OF THE TRACT HEREIN DESCRIBED;
THENCE S. 89° 561 50" W. A DISTANCE OF 2424.51 FEET TO A
POINT FOR A CORNER OF THIS TRACT,
THENCE N. 57° 011 45" W. A DISTANCE OF 23.08 FEET TO A
POINT FOR A CORNER OF THIS TRACT;
THENCE IN A WESTERLY DIRECTION ALONG THE ARC OF A CIRCULAR
CURVE TO THE LEFT HAVING A RADIUS OF 417.33 FEET AND A CEN-
TRAL ANGLE OF 33° 011 2511 A DISTANCE OF 2 0.54 FEET TO A
POINT FOR A CORNER OF THIS TRACT;
THENCE S. 89' 561 50" W. A DISTANCE OF 494.61 FEET TO A
POINT FOR A CORNER OF THIS TRACT;
I'll
TO HAVE AND TO HOLD THE SAID PREMISES UNTO LESSEE, SUBJECT TO
THE CONDITIONS AND COVENANTS HEREIN CONTAINED, FOR THE TERM OF YEARS HERE-
INAFTER SPECIFIED.
THE PARTIES HERETO COVENANT AND AGREE AS FOLLOWS:
ARTICLE I.
TERM OF LEASE
THIS LEASE SHALL BE FOR A TERM OF THIRTY 1'30,. YEARS, BEGINNING
THE DAY OF , 1963, AND TERMINATING AT MIDNIGHT ON
THE DAY OF 9 1993° UPON THE COMPLETION OF THE
CONSTRUCTION OF EACH OF THE IMPROVEMENTS LISTED AND DESCRIBED AS MANDATORY
ITEMS UNDER ARTICLE 11; PARAGRAPH A, EACH SUCH IMPROVEMENT WHICH IS OF A
FIXED NATURE, EXCEPT BUILDINGS, SHALL BE AND BECOME THE PROPERTY OF CITY.
UPON THE COMPLETION Or THE CONSTRUCTION OF EACH OF THE IMPROVEMENTS LISTED
AND DESCRIBED AS OPTIONAL STEMS UNDER ARTICLE 11, PARAGRAPH B, EACH SUCH
IMPROVEMENT WHICH iS OF A FIXED NATURE, EXCEPT BUILDINGS, SHALL BE AND
BECOME THE PROPERTY OF CITY. UPON THE TERMINATION OF' THIS LEASE, ALL
BUILDINGS RETAINED OR CONSTRUCTED BY LESSEE ON THE LEASED PREMISES UNDER
THE PROVISIONS HEREOF, SHALL BE AND BECOME THE PROPERTY OF CITY.
ARTICLE 11.
PURPOSE AND IMPROVEMENTS
THE PURPOSE OF THIS LEASE IS TO PROVIDE FOR THE CONSTRUCTION AND
OPERATION OF A PUBLIC GOLF COURSE AND APPURTENANCES, WHICH LESSEE AGREES TO
D0, AND THE LAND AND PREMISES COVERED HEREBY SHALL BE USED ONLY FOR SUCH
PURPOSES UNLESS CONSENT TO ANY OTHER USE IS OBTAINED FROM THE CITY COUNCIL
OF CITY BY ORDINANCE.
A MINIMUM EXPENDITURE OF $200,000.00 WILL BE MADE BY LESSEE IN
CONSTRUCTING THE GOLF COURSE AND OTHER IMPROVEMENTS LISTED AND DESCRIBED
AS MANDATORY ITEMS UNDER PARAGRAPH A OF THIS ARTICLE 11. CONSTRUCTION OF
THE MANDATORY ITEMS SHALL BE STARTED IN ACCORDANCE WITH THE TERMS OF THIS
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AGREEMENT NOT LATER THAN SIXTY (60) DAYS AFTER THE APPROVAL OF FINAL PLANS
AND SPECIFICATIONS AND SHALL PROCEED WITH DUE DILIGENCE THEREAFTER UNTIL
COMPLETED, BUT THE SAID MANDATORY ITEMS SHALL IN ANY EVENT BE COMPLETED
WITHIN TWO (2) YEARS AND SIXTY (60) DAYS FROM THE DATE OF APPROVAL OF
FINAL PLANS AND SPECIFICATIONS.
A. MANDATORY ITEMS. IN THE INITIAL CONSTRUCTION OF IMPROVEMENTS'
LESSEE COVENANTS THAT IT WILL CONSTRUCT THE FOLLOWING.
1. CHAMPIONSHIP 18 -HOLE GOLF COURSE. A CHAMPIONSHIP 18-HOLE
GOLF COURSE WILL BE CONSTRUCTED ON THE LEASED PREMISES, THE DESIGN AND SUB-
SEQUENT CONSTRUCTION OF ALL FEATURES OF WHICH SHALL BE EQUAL TO OTHER
SIMILAR COURSES IN THE TEXAS AREA. THE DESIGN SHALL INCORPORATE A TOTAL
MINIMUM YARDAGE OF 6800 YARDS; THE PAR SHALL BE 72; THE GREENS SHALL EACH
CONTAIN A MINIMUM AREA OF 6000 SQUARE FEET; THE LAYOUT AND CONSTRUCTION SHALL
CONFORM WITH BEST PRACTICES AND WITH APPLICABLE U. S. GOLF ASSOCIATION RECOM-
MENDATIONS. IN THE CONSTRUCTION OF THE GOLF COURSE PROVISON WILL BE MADE
FOR OPERATION OF ELECTRIC OR GASOLINE GOLF CARTS. PLANNING SHALL INCLUDE
SURFACED CART ROUTES TO PROTECT HEAVILY TRAVELED LOCATIONS AND TO DIVERT
CARTS FROM INVADING THE GREENS AREA.
2. PRACTICE DRIVING RANGE. A LIGHTED PRACTICE TEE AND
FAIRWAY WITH PROVISION FOR THIRTY (30) TEE SPACES WILL BE CONSTRUCTED ON
THE LEASED PREMISES. DESIGN OF THIS FACILITY SHALL INCLUDE PROVISION FOR
INCREASING THE CAPACITY TO NINETY (90) TEE POSITIONS IF SPACE REQUIREMENTS
WILL PERMIT.
3. BUILDINGS. A CLUB HOUSE BUILDING, WHICH WILL INCLUDE
RESTROOMS AND FACILITIES FOR A PRO -SHOP AND FOR SALE OF FOOD AND REFRESH-
MENTS WILL BE CONSTRUCTED ON THE LEASED PREMISES. A BUILDING FOR MAIN-
TENANCE EQUIPMENT AND FOR STORAGE SHALL ALSO BE PROVIDED OR EXISTING
BUILDINGS CONVERTED TO SUCH USE. A SURFACED ENTRANCE SHALL BE PROVIDED
TO THE CLUB HOUSE AREA AND SURFACED PARKING AREA TO ACCOMODATE 200 CARS
SHALL BE PROVIDED AS CLOSE TO THE CLUB HOUSE AS POSSIBLE. PROVISION FOR
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OVERFLOW PARKING SMALL BE MADE AS CONVENIENT AS POSSIBLE. EXISTING
BUILDINGS ON THE LEASED PREMISES NOT REQUIRED FOR THE GOLF COURSE USE
SHALL REMAIN THE PROPERTY OF CITY AND SHALL BE REMOVED FROM THE LEASED
PREMISES BY CITY.
4. WATER SYSTEM. A PERMANENT WATERING SYSTEM WILL BE
PROVIDED FOR ALL TEES, FAIRWAYS AND GREENS. THE SYTEM SHALL BE DESIGNED
EVENTUALLY TO FUNCTION AS AN AUTOMATIC SYSTEM WITH ALL POSSIBLE ELEMENTS
OF THAT TYPE OF DESIGN CONSTRUCTED IN THE INITIAL CONSTRUCTION. INITIAL
OPERATION AS AN AUTOMATIC SYSTEM IS NOT REQUIRED, BUT THE DESIGN SHALL
BE SUCH THAT CONVERSION CAN BE MADE TO AN AUTOMATIC SYSTEM. IT IS ANTICI-
PATED THAT EFFLUENT FROM THE WESTSIDE SEWAGE TREATMENT PLANT LOCATED AT
OR NEAR THE INTERSECTION OF SARATOGA BOULEVARD AND GREENWOOD DRIVE MAY
BE USED ON THE GOLF COURSE AND, FOR THIS PURPOSE, CITY SHALL MAKE AVAIL-
ABLE) WITHOUT COST TO THE LESSEE) EFFLUENT FROM THE SAID PLANT IN THE
MAXIMUM AMOUNT OF ONE MILLION GALLONS PER DAY FOR TRANSPORT TO AND USE
ON THE GOLF COURSE. A RIGHT -OF -MAY CONNECTING GOLF COURSE AND SEWAGE
PLANT FOR CONSTRUCTION) MAINTENANCE) OPERATION AND REPAIR OF A PIPE LINE
AND A SUFFICIENT AREA AT THE SEWAGE PLANT FOR CONSTRUCTION) OPERATION)
MAINTENANCE AND REPAIR OF PUMPING FACILITIES SHALL BE MADE AVAILABLE BY
CITY ALONG PUBLIC ROADS AND/OR PIPE LINE RIGHT -OF -WAY EASEMENTS OWNED BY
CITY, WITHOUT COST TO LESSEE. LESSEE SHALL HAVE THE RIGHT TO CONSTRUCT,
OPERATE, MAINTAIN AND REPAIR, AT ITS OWN EXPENSE, A PIPE LINE FROM SUCH
WESTSIDE SEWAGE TREATMENT PLANT ALONG SUCH RIGHT -OF -WAY TO THE GOLF
COURSE, BUT IS NOT OBLIGATED TO DO SO IF LESSEE CAN SECURE A SUFFICIENT
QUANTITY OF WATER FOR USE ON THE GOLF COURSE BY A MORE ECONOMICAL MEANS.
IF A PIPE LINE IS CONSTRUCTED FROM THE WESTSIDE SEWAGE TREATMENT PLANT
TO THE LEASED PREMISES AND CITY DESIRES TO USE SAID PIPE LINE FOR WATERING
OF OTHER CITY -OWNED LANDS, CITY SHALL HAVE THE RIGHT, TO BE EXERCISED
BY NOTICE IN WRITING TO LESSEE PRIOR TO APPROVAL OF FINAL PLANS AND
SPECIFICATIONS OR WITHIN SIXTY (60) DAYS FROM THE BEGINNING OF THE TERM
OF THIS LEASE, WHICHEVER DATE FIRST OCCURS, TO PAY THE DIFFERENCE BETWEEN
THE COST OF THE PIPE LINE AND PUMPING SYSTEM PROPOSED BY LESSEE FOR THE
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WATERING OF LEASED PREMISES AND THE COST OF THE PIPE LINE AND PUMPING
SYSTEM OF SUCH SIZE AS CITY DESIRES AND TO REQUIRE THAT SAID PIPE LINE
AND PUMPING SYSTEM BE BUILT TO SUCH SIZE AS CITY DESIRES. IN LIEU
THEREOF, CITY AND LESSEE MAY, BY MUTUAL AGREEMENT, PROVIDE FOR JOINT
USE OF THE PIPE LINE AND PUMPING SYSTEM BUILT HEREUNDER BY LESSEE.
SUCH PIPE LINE AND PUMPING FACILITIES SHALL BE CONSIDERED AN IMPROVEMENT
OF A FIXED NATURE AND SHALL BECOME AND REMAIN THE PROPERTY OF THE CITY
AT THE COMPLETION OF CONSTRUCTION OF THE SAME OR AT THE COMPLETION OF
THE CONSTRUCTION OF ALL IMPROVEMENTS LISTED AND DESCRIBED AS MANDATORY
ITEMS PROVIDED FOR IN THIS PARAGRAPH A OF ARTICLE II, WHICHEVER IS THE
LATER. IF A PIPE LINE AND PUMPING SYSTEM LARGER THAN THAT PROPOSED BY
LESSEE IS CONSTRUCTED UPON THE DEMAND OF CITY, OR IF CITY AND LESSEE
ENTER INTO A MUTUAL AGREEMENT FOR JOINT USE OF THE PIPE LINE BUILT
HEREUNDER BY LESSEE, LESSEE SMALL MAINTAIN AND OPERATE THE SAME BUT
CITY WILL SHARE THE COST OF MAINTENANCE AND OPERATION PRO RATA TO THE
AMOUNT OF WATER USED BY CITY AND LESSEE, RESPECTIVELY. IF, DURING THE
TERM OF THIS LEASE, CITY SHOULD REQUIRE THAT SAID PIPE LINE, OR ANY
ONE OR MORE PIPES THEREOF, BE SHIFTED OR ADJUSTED (INCLUDING THE RAISING
OR LOWERING THEREOF), BECAUSE OF THE CONSTRUCTION OF ANY SEWERS, STREETS
OR OTHER PUBLIC WORKS, LESSEE SMALL PROMPTLY SHIFT OR ADJUST SUCH PIPE
LINE, AT ITS OWN EXPENSE, AS AND WHEN REQUIRED BY CITY.
B. OPTIONAL ITEMS. IN ADDITION TO THE FOREGOING IMPROVEMENTS
WHICH LESSEE COVENANTS AND AGREES TO CONSTRUCT AND OPERATE, LESSEE SHALL
HAVE THE OPTION TO CONSTRUCT AND OPERATE THE FOLLOWING:
1. AN ADDITIONAL MODIFIED NINE -HOLE SHORT COURSE TO HAVE
PROVISION FOR OPERATION OF ELECTRIC OR GASOLINE CARTS.
2. A PRACTICE PUTTING GREEN.
PRELIMINARY PLANS SHALL INCLUDE PROVISIONS FOR THE PRACTICE
PUTTING GREEN, THE MODIFIED NINE -HOLE SHORT COURSE, AND SPACE SHALL BE
RESERVED TO ALLOW CONSTRUCTION OF THE SAME UNLESS OTHERWISE AGREED BY
CITY AND LESSEE. IF LESSEE ELECTS TO CONSTRUCT ANY OF SUCH ADDITIONAL
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FACILITIES DURING THE TERM OF THIS LEASE AS HEREINAFTER PROVIDED, FINAL PLANS'
OR SUBSEQUENT PLANS PREPARED AS FINAL PLANS, FOR CONSTRUCTION SHALL BE SUB-
MITTED TO AND APPROVED BY CITY IN THE SAME MANNER AS FINAL PLANS ARE SUBMITTED
AND APPROVED FOR INITIAL CONSTRUCTION OF THE 18-HOLE GOLF COURSE AND OTHER
INITIAL IMPROVEMENTS. ANY CHANGE IN THE NEED FOR CERTAIN FACILITIES OR RE-
QUIREMENTS FOR A DIFFERENT TYPE OF INSTALLATION DEVELOPED AS THE RESULT OF
OPERATING EXPERIENCE AND NOT SPECIFICALLY HEREIN DESCRIBED MAY BE CONSIDERED
AND AGREED UPON BY LESSEE AND CITY. THE RETIREMENT OF AN EXISTING INSTALLATION
OR CONSTRUCTION OF A NEW ONE SHALL BE SUBJECT TO REQUIREMENTS FOR PLANS AND
APPROVAL PRIOR TO SUCH ACTION.
IF LESSEE DOES NOT CONSTRUCT ANY ONE OR MORE OF THE OPTIONAL ITEMS
HEREINABOVE MENTIONED ON OR BEFORE THE 1ST DAY OF JUNE, 19758 THIS LEASE SHALL
TERMINATE ON THAT DATE AS TO THAT PORTION OF THE LEASED PREMISES RESERVED ON
THE APPROVED PRELIMINARY PLANS FOR THE OPTIONAL ITEM OR ITEMS WHICH ARE NOT
THEN CONSTRUCTED.
C. THE GOLF COURSE AND THE OTHER IMPROVEMENTS PROVIDED FOR HEREIN
SHALL EQUALLY BE AVAILABLE TO ALL MEMBERS OF THE PUBLIC WITHOUT DISCRIMINA-
TION.
ARTICLE III
PLANS
A. PRELIMINARY PLANS TO ILLUSTRATE AND OEVELOP THE GENERAL FEATURES
OF THE IMPROVEMENTS TO BE CONSTRUCTED BY LESSEE HAVE HERETOFORE BEEN PROVIDED
AND AGREED UPON BY CITY AND LESSEE. SUCH PRELIMINARY PLANS INDICATE THE
LOCATION OF EACH OF THE FEATURES PROPOSED, BOTH PRESENT AND FUTURE, AND THE
GENERAL EXTENT OF EACH AND THE IMPROVEMENTS TO BE PLACED ON THE LEASED PREMISES
SHALL CONFORM TO THE PRELIMINARY PLANS UNLESS CHANGE IS AGREED UPON BY CITY
AND LESSEE.
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B. FINAL PLANS AND SPECIFICATIONS FOR CONSTRUCTING THE FACILI-
TIES SHALL BE PREPARED WITH REASONABLE DILIGENCE AFTER THE BEGINNING OF
THE TERM OF THIS LEASE. THE FINAL PLANS SHALL BE IN SUFFICIENT DETAIL
TO PERMIT CONSTRUCTION IN ACCORDANCE WITH THE APPROVED GENERAL FEATURES
AND THE SPECIFICATIONS SHALL BE IN SUFFICIENT DETAIL TO PROVIDE FOR
ADEQUATE CONTROL OF MATERIALS AND PROCESSES WHICH CONFORM WITH GOOD
PRACTICE AND MEET CITY CODE REQUIREMENTS WHERE APPLICABLE. IF FINAL
PLANS COVERING THE LAYOUT OF THE COURSE ARE SUBSTANTIALLY THE SAME AS
PRELIMINARY PLANS PREVIOUSLY APPROVED, THE FINAL PLANS WILL BE APPROVED.
APPROVAL OF FINAL PLANS WILL NOT BE UNREASONABLY WITHHELD, AND IF APPROVAL
CANNOT BE REACHED LESSEE SHALL HAVE THE OPTION TO CANCEL THIS LEASE.
C. WHEREVER IN THIS LEASE PROVISION IS MADE FOR "APPROVAL"
OR "REVIEW AND APPROVAL" SUCH "APPROVAL" OR "REVIEW AND APPROVAL" SHALL
BE MADE BY THE CITY MANAGER WHO IS HEREBY DESIGNATED AS THE REPRESENTATIVE
OF CITY TO WHOM ALL SUBMISSIONS REQUIRING PRIOR APPROVAL SHALL BE MADE
BEFORE CONSTRUCTION IS STARTED. PLANS AND SPECIFICATIONS SHALL BE STAMPED
OR NOTED AS "APPROVED" AND SHALL BECOME A PART OF THIS CONTRACT AS A RECORD
OF THE CONSTRUCTED FACILITY. DUPLICATE COPIES SHALL BE SUBMITTED FOR
APPROVAL SIGNATURE IN ORDER THAT CITY AND LESSEE MAY EACH HAVE THE RECORD.
ARTICLE IV.
CONSTRUCTION
ALL CONSTRUCTION PERFORMED BY LESSEE UNDER THIS LEASE SHALL
CONFORM TO THE PROVISIONS OF THE APPROVED PLANS AND SPECIFICATIONS AND
NO CONSTRUCTION SHALL BE UNDERTAKEN UNTIL AGREEMENT AND APPROVAL, AS
PREVIOUSLY OUTLINED, IS REACHED. INSPECTION OF THE CONSTRUCTION PROCESSES
MAY BE MADE BY THE DIRECTOR OF PUBLIC WORKS OF CITY OR HIS REPRESENTATIVES.
IN CASE OF DISAGREEMENT WITH REGARD TO COMPLIANCE WITH APPROVED PLANS,
CITY'S AGENT SHALL ADVISE THE LESSEE IN WRITING OF A DEFICIENCY CLAIMED.
IF THE CLAIMED DEFICIENCY IS NOT CORRECTED BY LESSEE WITHIN THRITY (30)
DAYS, OR WITHIN AN APPROPRIATE PERIOD AS MAY BE OTHERWISE AGREED, THE
m
MATTER SHALL BE SUBMITTED TO A COMPETENT ARBITRATOR OR ARBITRATORS AGREED
UPON BY THE CITY AND LESSEE. UPON A DECISION BY ARBITRATION REQUIRING COM-
PLIANCE BY THE LESSEE, THE DEFICIENCY SHALL BE REMEDIED WITHIN A THIRTY (30)
DAY PERIOD. LESSEE SHALL FURNISH TO CITY A SET OF "AS CONSTRUCTED" PLANS
UPON THE COMPLETION OF CONSTRUCTION, BUT OWNERSHIP OF PLANS AND SPECIFICA-
TIONS SHALL REMAIN IN LESSEE UNTIL THE TERMINATION OF THE LEASE.
IT IS CONTEMPLATED THAT, IN THE CONSTRUCTION OF IMPROVEMENTS
HEREUNDER, LESSEE SHALL NEED TO REMOVE ALL OR PORTIONS OF THE RUNWAYS, PARK-
ING RAMPS AND OTHER OLD AIRPORT FACILITIES LOCATED ON THE LEASED PREMISES,
AND LESSEE IS AUTHORIZED TO REMOVE, DISPOSE OF, OR PUT TO ITS USE ALL OF THE
SAME, EXCEPT BUILDINGS, THE PROVISION FOR USE AND DISPOSITION OF WHICH IS
OTHERWISE PROVIDED FOR HEREIN.
ARTICLE V.
CONSIDERATION
AS CONSIDERATION FOR THE USE OF THE LEASED PREMISES ON WHICH THE
GOLF COURSE FACILITIES WILL BE CONSTRUCTED AND OPERATED DURING THE TERM OF
THIS LEASE, IN ADDITION TO THE SURRENDER TO THE CITY OF ALL FIXED IMPROVEMENTS
AS HEREINASOVE PROVIDED, LESSEE SHALL PAY TO CITY THE FOLLOWING SCHEDULE OF
PAYMENTS,
$1.00 FOR EACH OF THE FIRST FIVE YEARS OF THE TERM.
3% OF GREENS FEES FOR THE SECOND FIVE YEAR PERIOD
OF THE TERM.
5% OF GREENS FEES FOR THE THIRD FIVE YEAR PERIOD OF
THE TERM.
7% OF GREENS FEES FOR THE FOURTH FIVE YEAR PERIOD OF
THE TERM.
10% OF GREENS FEES FOR THE LAST TEN YEARS OF THE TERM.
THE PERCENTAGE PAYMENTS TO BE MADE BY LESSEE SHALL BE BASED UPON THE GROSS
INCOME FROM GREENS FEES, OR OTHER CONSIDERATIONS, IF ANY, RECEIVED BY LESSEE
IN LIEU OF GREENS FEES, FROM THE CHAMPIONSHIP 18-HOLE COURSE AND FROM THE
MODIFIED 9-HOLE SHORT COURSE, IF CONSTRUCTED. OTHER SOURCES OF REVENUE SHALL
NOT BE INCLUDED IN OR SUBJECT TO SUCH PERCENTAGE PAYMENTS.
_g_
PERCENTAGE PAYMENTS DUE TO CITY HEREUNDER AND THE ACCOMPANYING
REPORTS SHALL BE MADE ON OR BEFORE JANUARY 15, APRIL 15, JULY 15, AND
OCTOBER 15 IN EACH APPLICABLE YEAR DURING THE TERM OF THIS LEASE AND
SHALL COVER THE PERIOD OF OPERATION OF THE THREE (3) CALENDAR MONTHS
NEXT PRECEDING THE MONTH IN WHICH THE PAYMENT AND REPORT IS MADE. AT
THE EXPIRATION OF THE TERM SIMILAR PAYMENT AND REPORT SHALL BE MADE TO
COVER THE PERIOD BETWEEN THE LAST SUCH REGULAR REPORT AND END OF THE
TERM
LESSEE SHALL KEEP ACCURATE RECORDS AND ACCOUNTS OF ALL OPERA-
TIONS AND ALL INCOME AND EXPENSES, INCLUDING CAPITAL EXPENDITURES] IN
ACCORDANCE WITH THE FORM PRESCRIBED BY CITY. CITY SHALL HAVE THE RIGHT
TO EXAMINE AND AUDIT SUCH ACCOUNTS AND RECORDS AT ANY TIME DURING REGULAR
BUSINESS HOURS. TO COMPLY WITH THE PROVISIONS OF ARTICLE V11I) SECTION
6 OF THE CITY CHARTER, LESSEES ACCOUNTS SHALL BE KEPT IN ACCORD WITH
A FORM OF ACCOUNTING RECORDS PRESCRIBED BY CITY AT TIME OF EXECUTION
AND DELIVERY OF THIS LEASE. ANNUAL AUDITS SHALL BE MADE WHICH SHALL BE
IN SUCH FORM AND CONTAIN SUCH INFORMATION AS IS INCLUDED IN THE FORM
PRESCRIBED BY THE CITY COUNCIL OF CITY AT TIME OF EXECUTION AND DELIVERY
OF THIS LEASE.
IT 13 CONTEMPLATED THAT LESSEE SHALL BE SUBJECT TO AD VALOREM
TAXATION UPON THE BUILDINGS WHICH REMAIN ITS PROPERTY DURING THE TERM
OF THIS LEASE AND UPON ALL PERSONAL PROPERTY OWNED BY LESSEE AND USED
ON OR IN CONNECTION WITH THE LEASED PREMISES. LESSEE COVENANTS TO PAY
SUCH AD VALOREM TAXES AS MAY BE LAWFULLY ASSESSED AGAINST SUCH BUILDINGS
AND PERSONAL PROPERTY.
ARTICLE VI.
POSSESSION AND MAINTENANCE
LESSEE SHALL HAVE SOLE POSSESSION OFD AND RESPONSIBILITY FOR
MAINTENANCE OFD THE LEASED PREMISES, INCLUDING ALL IMPROVEMENTS CONSTRUCTED
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THEREON, AND THE PIPE LINE AND PUMPING SYSTEM DESCRIBED IN ARTICLE II,
PARAGRAPH A 6. CITY SHALL HAVE THE RIGHT TO INSPECT THE AREA AND TO
IMPOSE REASONABLE REGULATIONS TO INSURE PROPER CARES MAINTENANCES AND
UPKEEP OF THE LEASED PROPERTY. THE DEGREE OF MAINTENANCE SHALL BE IN
KEEPING WITH OTHER PUBLIC COURSES IN THE GENERAL AREA. CITY, THROUGH
ITS DIRECTOR OF PARK AND RECREATION, SHALL HAVE THE RIGHT TO REQUIRE
THAT THE LEASED PREMISES AND IMPROVEMENTS THEREON MEET GENERAL STANDARDS
FOR OTHER GOLF COURSES OPEN TO PUBLIC USE IN THE AREA.
ARTICLE VII.
OPERATION
A. IN ITS OPERATIONS ON THE LEASED PREMISES LESSEE SHALL
OBSERVE ALL FEDERAL, STATE AND CITY LAWS APPLICABLE TO SAFETY AND THE
PROTECTION OF HEALTH, WELFARE AND MORALS OF THE PUBLIC.
B. LESSEE SHALL MEET ALL REQUIREMENTS OF THE CITY AND STATE
HEALTH DEPARTMENTS COVERING THE HANDLING AND DISPENSING OF FOOD AND
BEVERAGES. ADEQUATE TOILET FACILITIES IN ACCORDANCE WITH SPECIFICATIONS
SHALL BE PROVIDED AT THE CLUB HOUSE. REFUSE AND GARBAGE SHALL BE HANDLED
AS PROVIDED BY CITY ORDINANCES.
C. LESSEE AGREES TO PAY ALL PUBLIC UTILITY BILLS FOR ELECTRI-
CITY, GAS AND WATER CONSUMED WITHIN THE AREA COVERED BY THIS LEASE AND
TO PROCURE AT ITS EXPENSE ALL .METERS AND PERMITS NECESSARY FOR MAKING
CONNECTIONS AND CONTINUING THE SERVICE.
ARTICLE VIII.
INSURANCE
DURING THE TERM OF THIS LEASE, LESSEE SHALL PROCURE AND KEEP
IN FORCE, OR SHALL WHERE APPROPRIATE REQUIRE LESSEE'S CONTRACTORS AND
SUB - CONTRACTORS TO PROCURE AND KEEP IN FORCE, THE FOLLOWING INSURANCE:
A. WORKMEN'S COMPENSATION INSURANCE - PROTECTING ALL EMPLOYEES
OF LESSEE AND EMPLOYEES OF ITS CONTRACTORS OR SUB - CONTRACTORS DURING THE
PERIOD OF CONSTRUCTION. THEREAFTER LESSEE SHALL PROVIDE WORKMEN'S COM-
PENSATION INSURANCE TO COVER ITS EMPLOYEES USED IN OPERATION OF THE GOLF
COURSE DURING THE TERM OF THIS LEASE.
B. LIABILITY AND PROPERTY DAMAGE INSURANCE - WITH LIMITS, AS
TO PERSONAL INJURY AND DEATH, OF $100,000.00 AS TO EACH PERSON AND $300,000.00
AS TO EACH ACCIDENT, AND AS TO PROPERTY DAMAGE, OF $10,000.00. SUCH
INSURANCE SHALL BE ON TEXAS STANDARD FORM AND SHALL NAME BOTH LESSEE
AND CITY AS ASSUREDS. SUCH INSURANCE SHALL BE MADE EFFECTIVE PRIOR TO
THE BEGINNING OF CONSTRUCTION AND SHALL COVER CONSTRUCTION AND, THEREAFTER,
OPERATION OF THE IMPROVEMENTS ON THE LEASED PREMISES.
C. FIRE AND EXTENDED COVERAGE INSURANCE — ON TEXAS STANDARD
FORM COVERING ALL BUILDINGS CONSTRUCTED OR USED BY LESSEE DURING THE
TERM OF THIS LEASE IN AN AMOUNT EQUAL TO AT LEAST EIGHTY PER CENT (80 %)
OF THE FULL INSURABLE VALUE OF SUCH BUILDINGS ABOVE FOUNDATIONS. SUCH
INSURANCE POLICIES SHALL BE ISSUED IN THE JOINT NAMES OF CITY AND LESSEE
AND SHALL BE. PAYABLE TO CITY, LESSEE AND TO ANY MORTGAGEES IF ANY, AS
THEIR RESPECTIVE INTERESTS MAY APPEAR.
D. DUPLICATE ORIGINALS OR CERTIFICATES OF ALL INSURANCE POLI-
CIES REQUIRED HEREUNDER SHALL BE DELIVERED TO CITY AND. SHALL BE DELIVERED
EARLY ENOUGH TO ALLOW TIME FOR THE CHECKING AND APPROVAL OF SAME BY THE
CITY ATTORNEY OF CITY. THE ENTIRE AMOUNT COLLECTED FOR LOSSES UNDER ANY
FIRE AND EXTENDED COVERAGE POLICIES SHALL BE HELD UNDER JOINT CONTROL OF
CITY, LESSEE AND ANY MORTGAGEES AND SHALL BE MADE AVAILABLE TO REPAIR
RESTORES OR REBUILD THE DAMAGED IMPROVEMENTS. ANY EXCESS PORTION OF THE
INSURANCE FUND REMAINING AFTER THE COST OF REPAIRS, REBUILDING OR RESTORA-
TION IS PAIDo SHALL BE PAID TO CITY. IN THE EVENT THE INSURANCE FUND IS
INSUFFICIENT TO COVER THE COST OF REPAIRS, REBUILDING OR RESTORATION, THE
EXCESS COST SHALL BE BORNE BY LESSEE.
—12—
ARTICLE IX.
PERFORMANCE AND PAYMENT BOND
UPON APPROVAL OF FINAL PLANS AND SPECIFICATIONS FOR THE INITIAL
CONSTRUCTION, LESSEE SHALL FURNISH TO CITY A PERFORMANCE AND PAYMENT BOND
(TO BE EITHER A DEPOSIT OF CASH OR NEGOTIABLE SECURITIES OR A BOND WITH A
CORPORATE SURETY LICENSED TO DO BUSINESS IN THE STATE OF TEXAS) IN THE AMOUNT
OF $100,000.00, CONDITIONED THAT LESSEE COMPLETE THE INITIAL CONSTRUCTION IN
ACCORDANCE WITH THE FINAL APPROVED PLANS AND SPECIFICATIONS AND THAT LESSEE,
AND ITS CONTRACTORS AND SUB - CONTRACTORS, PAY FOR ALL LABOR, MATERIALS, TOOLS
AND EQUIPMENT FURNISHED FOR THE WORK. THE SAID BOND SHALL BE PAYABLE TO THE
CITY OF CORPUS CHRISTI AND SHALL BE APPROVED BY CITY AS TO FORM.
ARTICLE X.
ASSIGNMENT OF LEASE
EXCEPT AS PROVIDED IN THIS PARAGRAPH, THIS LEASE SHALL NOT BE
ASSIGNED, IN WHOLE OR IN PART, UNLESS AND UNTIL CITY AUTHORIZES SUCH ASSIGN-
MENT BY ORDINANCE. IT IS UNDERSTOOD AND AGREED, HOWEVER, THAT IN THE EVENT
A CORPORATION IS FORMED BY THE MEMBERS OF THE PARTNERSHIP WHICH IS THE LESSEE
HEREIN, WITH SUCH MEMBERS OF THE PARTNERSHIP OWNING THE CONTROLLING STOCK AND
SERVING AS OFFICERS OF THE CORPORATION, AN ASSIGNMENT OF TNIS LEASE, IN WHOLE
OR IN PART, TO SUCH CORPORATION IS HEREBY APPROVED. LESSEE SHALL HAVE THE
RIGHT TO SUBLEASE THE PREMISES OR PARTS THEREOF, FOR USES AND PURPOSES WHICH ARE
IN ACCORD WITH THE PROVISIONS OF THIS LEASE, LESSEE REMAINING LIABLE FOR ALL
PERFORMANCE REQUIRED UNDER THIS LEASE.
ARTICLE XI.
PLEDGE OF LEASE
IT IS UNDERSTOOD THAT IN BORROWING FUNDS LESSEE CANNOT PLACE A
MORTGAGE ON THE LAND COVERED BY THIS LEASE OR ON THE FIXED IMPROVEMENTS
PLACED THEREON, WHICH IMPROVEMENTS SHALL BE AND BECOME THE PROPERTY OF CITY.
HOWEVER, IT IS CONTEMPLATED THAT LESSEE WILL BE REQUIRED TO BORROW FUNDS FOR
THE INITIAL CONSTRUCTION OF IMPROVEMENTS AND THAT FROM TIME TO TIME DURING
THE TERM OF THIS LEASE IT MAY BE DESIRABLE, OR CONVENIENT FOR LESSEE TO
BORROW ADDITIONAL FUNDS FOR ADDITIONAL IMPROVEMENTS, ALTERATIONS, REPAIRS
OR FOR OTHER PURPOSES. ACCOHDINGLY, IT 13 AGREED THAT LESSEE SHALL AT ALL
TIMES DURING THE TERM OF THIS LEASE HAVE THE RIGHT TO MORTGAGE OR CONVEY BY
DEED OF TRUST OR ANY OTHER SECURITY INSTRUMENT THIS LEASE AND THE LEASEHOLD
RIGHTS OF LESSEE CREATED BY THIS LEASE PROVIDED THAT ANY SUCH MORTGAGE, DEED
OF TRUST, OR OTHER SECURITY INSTRUMENT WILL AT ALL TIMES BE SUBJECT TO, AND
WILL RECOGNIZE, THE RIGHT, TITLE AND INTEREST OF CITY AS OWNER OF THE LAND
COVERED BY THIS LEASE AND FIXED IMPROVEMENTS PLACED THEREON, AND THE RIGHT
OF CITY TO REQUIRE THE PAYMENT OF ALL RENTALS DUE HEREUNDER AND THE FULL
AND FAITHFUL PERFORMANCE OF THE COVENANTS AND CONDITIONS OF THIS LEASE BY THE
LESSEE.
SUBJECT TO ANY SUCH MORTGAGE, DEED OF TRUST OR OTHER SECURITY
INSTRUMENT, CITY SHALL HAVE A LIEN UPON ALL PERSONAL PROPERTY NOT DAILY
EXPOSED TO SALE, OWNED BY LESSEE AND USED ON THE PREMISES TO SECURE THE PAY-
MENT OF ANNUAL RENTALS AS THEY RESPECTIVELY COME DUE HEREUNDER, BUT CITY SUB-
ORDINATES ITS LANDLORDS LIEN ON SUCH PROPERTY TO THE RIGHTS OF THE HOLDER OF
ANY SUCH MORTGAGE, DEED OF TRUST OR OTHER SECURITY INSTRUMENT.
IN THE EVENT AT ANY TIME DURING THE TERM OF THIS LEASE LESSEE
OR ANY ONE HOLDING UNDER LESSEE SHALL BE IN DEFAULT OF ANY OF THE COVENANTS
OR CONDITIONS OF THIS LEASE, THEN AND IN SUCH EVENT, BEFORE FORFEITURE IS
INVOKED BY CITY, THE HOLDER OF THE MORTGAGE, DEED OF TRUST OR OTHER SECURITY
INSTRUMENT MAY MAKE ANY AND ALL PAYMENTS AND DO AND PERFORM ANY AND ALL ACTS
AND THINGS WHICH MAY BE NECESSARY OR REQUIRED TO PREVENT A FORFEITURE OF THIS
LEASE AND THE PARTY MAKING SUCH PAYMENTS OR PERFORMING SUCH ACTS OR THINGS
SHALL THEREBY AND THEREUPON BE SUBROGATED TO ALL RIGHTS OF THE LESSEE UNDER
THIS LEASE. CITY AGREES THAT, IF REQUESTED IN WRITING BY THE HOLDER OF ANY
MORTGAGE, DEED OF TRUST, OR OTHER SECURITY INSTRUMENT, CITY WILL SEND TO THE
SAID HOLDER AT THE ADDRESS SPECIFIED IN SUCH WRITTEN REQUEST COPIES OF ALL
WRITTEN NOTICES OR DEMANDS WHICH CITY MAY SERVE UPON LESSEE OR ANYONE HOLDING
UNDER LESSEE UNDER AND PURSUANT TO THE TERMS OF THIS LEASE OR OTHERWISE.
•
IT IS UNDERSTOOD, HOWEVER, TgAT THE MORTGAGEE, TRUSTEE, BENEFI-
CIARY OF SAID DEED OF TRUST OR OTHER HOLDER OF SECURITY ABOVE MENTIONED
SHALL BE IN NO WAY LIABLE TO CITY FOR THE PAYMENT OF ANY RENT OR FOR THE
PERFORMANCE OF ANY OTHER COVENANT AND CONDITION UNDER THIS LEASE UNTIL
SUCH TIME AS IT SHALL ACQUIRE BY CONVEYANCE FROM THE LESSEE, OR BY FORE-
CLOSURE OR OTHER PROCEEDINGS PROVIDED 13Y LAW OR BY THE TERMS OF THE MORT-
GAGE, DEED OF TRUST OR SECURITY INSTRUMENT, ALL THE RIGHT, TITLE AND
INTEREST OF THE LESSEE UNDER THIS LEASC; PROVIDED, HOWEVER, THAT ANY
PARTY WHO SHALL ACQUIRE SAID RIGHT, TITLE AND INTEREST OF THE LESSEE,
AS ABOVE PROVIDED, SHALL THEREUPON AND THEREBY BECOME LIABLE FOR THE
FULL PERFORMANCE AND ALL PAYMENTS THERgTOFORE AND THEREAFTER REQUIRED TO
BE MADE BY LESSEE UNDER THE COVENANTS AND CONDITIONS OF THIS LEASE, AS
FULLY AND AS COMPLETELY AND TO THE SAME EXTENT AS THE LESSEE ITSELF WOULD
HAVE BEEN IF IT STILL HAD RETAINED ITS RIGHT, TITLE AND INTEREST HEREUNDER.
NOTHING IN THIS ARTICLE XI SHALL PREVENT OR DELAY THE TERMINATION OF THIS
LEASE UNDER THE PROVISIONS OF ARTICLE XII, PROVIDED CITY HAS GIVEN ALL
NOTICES AND OPPORTUNITIES OF PERFORMANCE PROVIDED FOR HEREIN AND DEFAULT
HAS NOT BEEN CURED.
ARTI CI;E XI I .
CANCELLATION AND FORFEITURE
IN THE EVENT LESSEE SHALL BE DECLARED BANKRUPT ACCORDING TO LAW,
OR IF ANY ASSIGNMENT SHALL BE ATTEMPTED TO BE MADE OF THIS LEASE FOR THE
BENEFIT OF CREDITORS (OTHER THAN AS HEREIN PERMITTED), OR IF LESSEE SHALL
ABANDON THE LEASED PREMISES OR IN THE EVENT RENTAL FINALLY DETERMINED TO
BE DUE HEREUNDER REMAINS UNPAID FOR SIXTY (60) DAYS AFTER NOTICE OF NON-
PAYMENT GIVEN TO LESSEE, THEN IN ANY OF SAID EVENTS CITY MAY BY ORDINANCE
DECLARE THE LEASE TO BE TERMINATED AND MAY ENTER INTO AND UPON THE LAND
COVERED BY THIS LEASE OR ANY PART THEREOF AND REPOSSESS THE SAME (INCLUDING
CAPITAL IMPROVEMENTS AND INSTALLED FIXTURES) AND EXPEL THE LESSEE AND THOSE
_15-
• R
CLAIMING UNDER IT AND REMOVE ITS EFFECTS, FORCIBLY IF NECESSARY, WITHOUT
BEING DEEMED GUILTY OF ANY MANNER OF TRESPASS AND WITHOUT PREJUDICE TO
ANY REMEDIES WHICH MIGHT OTHERWISE BE USED FOR POSSESSION OR FOR ARREARS
OF RENT. IN THE EVENT OF A DISAGREEMENT AS BETWEEN CITY AND LESSEE
REGARDING THE AMOUNT OF RENTAL PAYMENTS OWED BY LESSEE TO CITY, THE
AMOUNT TO BE PAID SHALL BE FINALLY DETERMINED BY A QUALIFIED AND RECOG-
NIZED FIRM OF CERTIFIED PUBLIC ACCOUNTANTS NOT PREVIOUSLY EMPLOYED BY
EITHER PARTY WITHIN THE IMMEDIATELY PRECEDING TWO (2) YEARS AND WHO HAS
NOT FOR EITHER PARTY AUDITED THE ACCOUNTS OR RECORDS IN QUESTION. IF
SUCH DETERMINATION INDICATES CITY'S FIGURES ARE CORRECT, THE COST OF THE
AUDIT SHALL BE PAID BY THE LESSEE. IF SUCH DETERMINATION INDICATES
LESSEES FIGURES TO BE CORRECT, THE COST OF THE AUDIT SHALL BE PAID BY
CITY. IF NEITHER IS CORRECT, THE COST SHALL BE BORNE EQUALLY, EXCEPT
LESSEE SHALL PAY THE COST OF AUDIT IF THE FIGURES, ACCOUNTS AND/OR RECORDS
FURNISHED TO CITY BY LESSEE ARE INCORRECT.
THE TERMINATION AND CANCELLATION OF THIS LEASE SHALL ONLY BE
MADE BY ORDINANCE OF THE CITY COUNCIL FOR FAILURE OF LESSEE TO COMPLY
WITH THE TERMS AND PROVISIONS OF THE LEASE AND WITH SUCH POWER EXERCISED
ONLY AFTER NOTICE AND HEARING] ALL AS IS PROVIDED IN ARTICLE VIII, SECTION
6 OF THE CITY CHARTER.
ARTICLE XIII.
INDEMNITY
LESSEE SHALL PROTECT, INDEMNIFY AND SAVE HARMLESS CITY FROM AND
AGAINST ANY AND ALL CLAIMS, DEMANDS AND CAUSES OF ACTION OF ANY NATURE
WHATSOEVER FOR INJURY TO OR DEATH OF PERSONS, OR LOSS OR DAMAGE TO PROPERTY,
OCCURRING ON THE LEASED PREMISES OR IN ANY MANNER GROWING OUT OF OR CON-
NECTED WITH THE LESSEE'S USE AND OCCUPATION OF THE LEASED PREMISES OR THE
PIPE LINE AND PUMPING STATION EASEMENT AREA OR THE CONDITION OF THE SAID
PREMISES OR EASEMENT AREA DURING THE TERM OF THIS LEASE.
-16-
ARTICLE XIV.
WAIVER OF DEFAULT
ANY WAIVER BY CITY OF ANY DEFAULT OR BREACH OF THIS LEASE SHALL
NOT BE CONSTRUED TO BE A CONTINUING WAIVER OF SUCH DEFAULT OR BREACH NOR
AS A WAIVER OR PERMISSION, EXPRESS OR IMPLIED, OF ANY OTHER OR SUBSEQUENT
DEFAULT OR BREACH.
ARTICLE XV.
FORCES MAJEURE
IF BY REASON OF STRIKE, LOCKOUT, WAR, REBELLION, MATERIAL OR
LABOR SHORTAGE DUE TO A NATIONAL EMERGENCY, FIRE, FLOOD, HURRICANE OR
OTHER CASUALTY, PERIODS OF EXCESSIVE RAIN, OR BY ANY OTHER MATTER NOT
WITHIN ITS CONTROL, CITY ON LESSEE IS IN GOOD FAITH AND WITHOUT FAULT OR
NEGLECT ON ITS PART PREVENTED OR DELAYED IN THE CONSTRUCTION OF ANY IMPROVE-
MENTS OR IN THE PERFORMANCE OF ANY COVENANT AND CONDuTION WHICH UNDER THE
TERMS OF THIS LEASE IT IS REQUIRED TO DO WITHIN A SPECIFIED PERIOD OF TIME,
THE PERIOD OF TIME WITHIN WHICH SUCH PERFORMANCE WAS TO HAVE BEEN COMPLETED
SHALL BE EXTENDED BY A PERIOD OF TIME EQUAL TO THAT OF SUCH DELAY OR PRE-
VENTION, AND CITY OR LESSEE, AS THE CASE MAY BE, SHALL NOT BE DEEMED TO
BE IN DEFAULT IF IT PERFORMS AND COMPLETES SUCH WORK OR COVENANT OR CONDI-
TION IN THE MANNER REQUIRED BY THE TERMS OF THIS LEASE WITHIN THE SPECI-
FIED PERIOD OF TIME AS SO EXTENDED.
ARTICLE XVI.
DRAINAGE
IT IS CONTEMPLATED THAT THE PRESENTLY EXISTING DRAINAGE DITCH
WHICH EXTENDS FROM THE OLD BROWNSVILLE ROAD ACROSS THE LEASED PREMISES
WESTERLY OF THE WEST END OF THE EAST -WEST RUNWAY WILL BE REPLACED BY A
DRAINAGE DITCH OF EQUAL HYDRAULIC CAPACITY, SAID RELOCATED DRAINAGE DITCH
TO FOLLOW GENERALLY THE COURSE SHOWN ON THE APPROVED PRELIMINARY PLANS.
THE CONSTRUCTION OF THE RELOCATED DRAINAGE DITCH SHALL BE BY LESSEE AT
-17-
•
•
LESSEES EXPENSE. OVERFLOW DRAINAGE FROM THE RELOCATED DITCH WILL BE
BY MEANS OF A DRAINAGE COURSE CONSISTING OF A SWALE, HOLLOW AND/OR
DEPRESSION EXTENDING OR RUNNING FROM SAID PRESENTLY EXISTING OR RELO-
CATED DRAINAGE DITCH AT A POINT ON SAID OLD BROWNSVILLE ROAD TO A POINT
AT OR NEAR THE SOUTHEAST CORNER OF THE LEASED PREMISES. THE ROUTE OF
SAID DRAINAGE COURSE IS SHOWN ON THE APPROVED PRELIMINARY PLANS. SAID
DRAINAGE COURSE SHALL BE CONSTRUCTED AND MAINTAINED BY LESSEE AT LEssEEts
EXPENSE. IT IS UNDERSTOOD AND AGREED BY LESSEE AND CITY THAT SAID
DRAINAGE COURSE WILL CARRY FLOOD WATERS, AND LESSEE ASSUMES ALL LIABILITY
FOR DAMAGE TO THE LEASED PREMISES AS A RESULT THEREOF OR AS A RESULT
OF THE INADEQUACY OF THE CITY °S DRAINAGE DITCHES. ANY FUTURE REVISION
OF THE DRAINAGE OF OR ACROSS THE LEASED PREMISES SHALL BE BY THE IM-
PROVEMENT OR REBUILDING OF THE CHANNEL OF THE RELOCATED DRA6MAGE DITCH
BY CITY AT CITY'S EXPENSE, AND SHALL BE SUBSTANTIALLY IN ACCORDANCE
WITH EITHER THE APPROVED PRELIMINARY PLANS OR WITH THE FINAL PLANS THAT
MAY BE HEREAFTER AGREED UPON AND APPROVED.
ARTICLE XVII.
EASEMENTS
THIS LEASE 15 MADE SUBJECT TO THE FOLLOWING:
A. THE CITY HEREBY RESERVES AN EASEMENT 100 FEET IN WIDTH
ACROSS THE LEASED PREMISES AND FOLLOWING THE COURSE OF THE EXISTING
DRAINAGE DITCH UNTIL THE RELOCATED DRAINAGE DITCH AS SHOWN ON THE AP-
PROVED PLANS IS CONSTRUCTED, WHEREUPON THE EASEMENT FOR THE EXISTING
DITCH SHALL TERMINATE AND THE EASEMENT RESERVED TO THE CITY SHALL FOLLOW
THE COURSE OF THE RELOCATED DITCH. THE COURSE OF THIS EASEMENT FOR THE
RELOCATED DITCH SHALL BE SHOWN ON THE APPROVED FINAL PLANS.
In
•
B. THIS LEASE IS MADE SUBJECT TO THE EXISTING 36" WATER
LINE AND 16" GAS LINE NOW IN EXISTENCE IN THE WESTERLY PORTION OF THE
LEASED PREMISES. THESE LINES ARE NOW GENERALLY IN A LINE PARALLEL TO
AND AN EXTENSION OF BARRERA DRIVE AND RUNNING BN A NORTH -SOUTH DIREC-
TION FROM HORNE ROAD TO OLD BROWNSVILLE ROAD ACROSS THE LEASED PREMISES.
THE CITY HEREBY RESERVES ACROSS THE LEASED PREMISES EASEMENTS OF 25
FEET ON EITHER SIDE OF THE SAID 36" WATER LINE AND THE 96" GAS LINE,
RESPECTIVELY, WHICH SAID 50 FOOT EASEMENTS MAY OR MAY NOT OVERLAP.
C. THE CITY HEREBY RESERVES AN EASEMENT FOR THE TRIANGU-
LAR GAS REGULATOR STATION NOW IN EXISTENCE ON THE NORTHWEST BOUNDARY
OF THE LEASED PREMISES IMMEDIATELY SOUTHWEST OF OLD BROWNSVILLE ROAD.
THE LOCATION AND SIZE OF SAID EASEMENT IS SHOWN ON THE MAP OR PLAT OF
THE LEASED PREMISES ON FILE IN THE OFFICE OF THE CITY SECRETARY AND
ON THE APPROVED PLANS.
D. THIS LEASE IS SUBJECT TO ALL OTHER EASEMENTS ACROSS
THE LEASED PREMISES THAT ARE OF RECORD IN THE OFFICE OF THE COUNTY
CLERK OF NUECES COUNTY, TEXAS, AND TO THE RIGHT OF HUMBLE OIL AND
REFINING COMPANY TO MAINTAIN TWO PIPELINES NOW EXISTING ACROSS THE
LEASED PREMISES WHETHER OR NOT SUCH RIGHT IS COVERED BY RECORDED
EASEMENTS. LESSEE SHALL HAVE THE USE OF THE AREA WITHIN THE PIPE-
LINE AND DRAINAGE EASEMENTS, SUBJECT TO THE EASEMENT USE.
-18A-
ARTICLE XVIII
GENERAL CLAUSES
A. ALL REFERENCES TO THE PARTIES TO THIS LEASE AND ALL COVENANTS,
CONDITIONS AND AGREEMENTS OF THIS LEASE SHALL APPLY TO AND BE BINDING UPON
CITY AND LESSEE AND THEIR RESPECTIVE HEIRS$ EXECUTORS, ADMINISTRATORS, LEGAL
REPRESENTATIVES, SUCCESSORS AND ASSIGNS WHEN ASSIGNMENT IS MADE IN ACCORD
WITH THE PROVISIONS HEREOF) AS IF THEY WERE IN EACH CASE FULLY NAMED AND
STATED. IN THIS LEASE BOTH CITY AND LESSEE ARE REFERRED TO IN THE SINGULAR
AND NEUTER GENDER. HOWEVER$ SUCH WORDS AND ALL OTHER TERMS AND WORDS USED
IN THIS LEASE REGARDLESS OF THE NUMBER AND GENDER IN WHICH THEY ARE USED$ SHALL
BE DEEMED AND CONSTRUED TO INCLUDE ANY OTHER NUMBER (SINGULAR OR PLURAL) AND
ANY OTHER GENDER, MASCULINE, FEMININE OR NEUTER, AS THE SENSE OF THE WRITING
HEREIN MAY REQUIRE$ THE SAME AS IF SUCH WORDS HAD BEEN FULLY AND PROPERLY
WRITTEN IN THE REQUIRED NUMBER AND GENDER.
B. ALL NOTICES TO THE CITY SHALL BE SENT BY CERTIFIED OR
REGISTERED MAIL ADDRESSED TO THE CITY MANAGER, CITY OF CORPUS CHRISTI, P. O.
BOX 1622$ CORPUS CHRISTI, TEXAS, OR AT SUCH OTHER ADDRESS AS CITY MAY IN WRITING
FROM TIME TO TIME DESIGNATE. ALL NOTICES TO LESSEE SHALL BE SENT BY CERTIFIED
OR REGISTERED MAIL ADDRESSED TO LESSEE AT 1004 BALTIMORE AVENUE, KANSAS CITY$ 5$
MISSOURI, OR AT SUCH OTHER ADDRESS AS LESSEE MAY FROM TIME TO TIME DESIGNATE
BY WRITTEN NOTICE TO CITY.
C. WHENEVER CITY'S CONSENT TO ANY ACT TO BE PERFORMED BY LESSEE IS
REQUIRED UNDER THIS LEASE, CITY AGREES THAT ITS CONSENT WILL NOT BE UNREASONABLY
WITHHELD.
D. THIS LEASE IS MADE UNDER THE APPLICABLE LAWS OF THE STATE OF
TEXAS AND THE CITY CHARTER AND ORDINANCES OF THE CITY OF CORPUS CHRISTI, TEXAS,
AND IF ANY TERM, CLAUSE, PROVISION, PART OR PORTION OF THIS LEASE SHALL BE ADJUDGED
INVALID OR ILLEGAL FOR ANY REASON THE VALIDITY OF ANY OTHER PART OR PORTION OF THIS
LEASE SHALL NOT BE AFFECTED THEREBY AND THE INVALID OR ILLEGAL TERM, CLAUSE, PROVISION,
PART OR PORTION SHALL BE DELETED AND IGNORED AS IF THE SAME HAD NOT BEEN WRITTEN.
E. ANY AND ALL PROVISIONS AND CLAUSES IN THIS LEASE CAN BE CHANGED BY CITY
AND LESSEE BY MUTUAL AGREEMENT. ANY SUCH CHANGE SHALL BE IN WRITING AND MUST BE
APPROVED BY THE CITY COUNCIL OF CITY BY ORDINANCE.
F. THIS LEASE WAS AUTHORIZED BY VOTE OF A MAJORITY OF THE
QUALIFIED VOTERS IN THE CITY OF CORPUS CHRISTI AT AN ELECTION HELD THE
DAY OF , tg6_, AT WHICH ELECTION A MAJORITY OF THE
QUALIFIED VOTERS VOTED IN FAVOR OF THE ENACTMENT BY THE CITY COUNCIL OF
THE PARTICULAR ORDINANCE GRANTING THIS LEASE. THE EXECUTION AND DELIVERY
OF THIS LEASE IS FURTHER AUTHORIZED BY ORDINANCE READ AT THREE (3)
REGULAR MEETINGS OF THE CITY COUNCIL, TO -WIT, ON THE DAY OF
1g6_, THE DAY OF
AND THE DAY OF , tg6 , AND FINALLY ENACTED UPON
THE DAY OF , 196_, WHICH DATE OF FINAL ENACTMENT
WAS MORE THAN THIRTY (30) DAYS AFTER THE FIRST READING THEREOF. THE FULL
TEXT OF THIS LEASE WAS FURTHER PUBLISHED ONE TIME IN
, A NEWSPAPER OF GENERAL CIRCULATION IN THE CITY
OF CORPUS CHRISTI, TEXAS, WITHIN FIVE (5) DAYS FOLLOWING EACH OF THE
THREE READINGS OF THE ORDINANCE AND THE EXPENSE OF SUCH PUBLICATION HAS
BEEN BORNE BY LESSEE.
IN WITNESS WHEREOF, THIS LEASE IS EXECUTED IN DUPLICATE AS OF
THE DATE FIRST HEREINABOVE MENTIONED.
CITY OF CORPUS CHRISTI
BY
ATTEST: CITY MANAGER
CITY SECRETARY
APPROVED AS TO LEGAL FORM THIS
THE DAY OF 1g6 .
CITY ATTORNEY
HARRINGTON & CORTELYOU
BY
-20-
LESSEE
THAT THE FOREGOING ORDINANCE WAS E FOR THE FI T TIME AND
PAS D TO ITS SECOND READING ON THIS THE DAY OF
�9 BY THE FOLLOWING VOTE%
BEN F. AICDONALD � �!
TON R. SWANTNER °�---°
DR. JAMES Lo BARNARD
JOSE R. DELEON
Me Po MALDONADO
W. J. ROBERTS
JAMES He YOUNG
THAT THE FOREGOING ORDINANCE WAS E D FOR THE 3 D TIME AND
PA9�% TO ITS THIRD READING ON THIS THE DqY OF
19 BY THE FOLLOWING VOTE:
BEN F. MCDONALD
TOM Re SWANTNER
DRo JAMES Lo BARNARD
JOSE Re DELEON
M. Pe 14ALOOMADO
W. J. ROBERTS
JAMES H. YOUNG
THAT THE FORE G ORDINq E AS READ FOR H THIRD `PIME AND PASSED
FINALLY ON THIS THE DAY OF 19 BY THE FOLLOWING
VOTE: /
BEN Fe CDONAL.
TOM Re SWANTNER
DRo JAMES Lo BARNARD
Jose Re DELEON
M. Po MALDONADO
W. J. ROBERTS ,
JAMES Ho YOUNG
PASSED AND APPROVEDa THIS THE ,fe DAY
ITY SEC ETq
APPROVED AS TO L LJFORM THIS
DAY OF 196
Y y
i96 ;.
MAYOR /
THE CITY OF CORPUS CHRISTI, TEXAS,
0 . 1, . � .
THAT THE FOREGOING ORDINANCE WASP FOR THE T�E AND
PAS VD 10 ITS SECOND READING ON THIS THE / DAY OF
19—L BY THE FOLLOWING VOTES
BEN F. MCDONALD
Tom R. SWANTNER
DR. JAMES Le BARNARD
Jose R. DELEON
M, P. MALDONADO
W. J. ROBERTS
JAMES H. YouNG
TH THE FOREGOING ORDINANCE WAS READ FOR THE -IMAM
TIM pyp
PASSED TO ITS HIRD READING ON THIS THE 1L_DAY OF
BY E FOLLOWING VOTE:
BEN Fu MCDONALD 1 y-
0" Re SWANTNER
DRe Lo BARNARD
JOSE Rc DELEO ,
M. P.
JAMES H. YOUNG
i
THAT THE FORE ING ORDINA E WAS READ FOR THg Ti#kR TIME . PASSED
FINALLY ON THIS THE BAY OF
VOTES �9 /�Z�% D BY THE FOLLOWI N6
BEN F. MCDONALD
TOM Re SWANTNER
DR. JAMES Lo BARNARD
Jose R. DELEoN
M. Po MALDONADO
W. J. ROBERTS
JAMES H. YOUNG
PASSED AND APPROVED, THIS THE _fin DAY
ArMSECRETAR
r /
ITY
APPROVED AS To LEGAL FORM TH'9S
DAY OF D lq6
I Y T ORNEY
Igz a ,>
THE CITY OF CORPUS CHRIST/ TEXAS,
r
PUBLISHER'S AFFIDAVIT
STATE OF TEXAS, �ss c
County of Nueces.
Before me, the undersigned, a Notary Public, this day personally came ............
„.
Baxnmg ...... ..................... who being first duly sworn, according to law, says that he is the
deeFt.]sirlg.1 nAEIK...._.. of the Corpus Christi Caller and The Corpus Christi Times,
Daily Newspapers published at Corpus Christi, Texas, in said County and State, and that the publication of ,
LEGAL - -An Cbdinapoe authoriziaR a lease agreement with Harrington and
Cor�eY�ou 3` r..QOris£rao£ ion �- operation of" °Goff "�eo'urs Hlii3'�a`u8 " " "Arr_MV---,�'t
of which the annexed is a true copy, was published in The Timea 4
on the....... day of....... °D - @o emb er ....... 19.62., and a= ..2_tim�8s....- thereafter tax.___. .... _ _
s e e. a met --- X1,1963 .
.....- -•---- 3 ............. Times.
s•.- •------- 5.5�,eo
tl ed_A ®e"r rl _ _ - --
Subscribed and sworn to before me this ....... 7 .. ...... .....day of.._F.sbr.uarp-
- -.....
.. ........ . . .••. ....19.._6
Louise ®iak
_ of �- Pub ' Nuecea County, Tezaa ���
TELEPHONE MESSAGE
STD form 36
(Rev. 6 -58) Date % oL
To T,C K l
M
Of (comA�T►y)
a.m.
called at p.m.
and left the following message:
�/vtnZW � 44ZL, Fy - � . " �f
Please return caller Phone No. —10 3 f "
Returned your call=] Will call again 0
Bys
Jan. 21, 1963
as addressed the apprentices c
anong other things, "Curre
rends and Problems Co
erning the Moral ___'Co
'ence and Free -Will" and "di
ice and Charity."
The budding barmen also ha
ward balls by union officials i
re practical matters, includil
unetuallty, hygiene, attire az
oDd manners while worldng.
For n= of
Casa
CALL
TU2.3341
1330
KOSTORYZ
SAVE WITH
LOW
DISCOUNT
PRICES:
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DOUBLE,
STAMPS
WED.
WITH $2.50
PURCHASE
OR MORE
BABY BEEF GOVERNMENT INSPECTED
ROUND OR
SIRLOIN
FRESH GROUND
Hamburger ...., 3,s. 89c
PURE PORK BULK f
SAUSAGE ......... 3 Lam. 89c
FRESH COARSE GROUND
CHILI MEAT ..........LB. 39c
SPECIALS FOR MONDAY, TUESDAY
and WEDNESDAY • JANUARY 21, 22, 23
WE RESERVE THE RIGHT TO LIMIT QUANTII
NORTHERN CORN FED
Pork Steaks'.L.. LB. 45c
Pork Fleck BONES 19c
Pork Feet F .. RES........ LB. 19C
FLEECY WHITE
TREND TWIN PACK
OLD DUTCH
LUX
BLEACH
POWDER
CLEANSER
LIQUID
(So OFF) �e
GALLON........ 49c
REG.
BOX........... 35C
REG.
PACK ......... 15c
22 oz.......... 65 �
FRANCO AMERICAN
FRANCO AMERICAN
STALEY WAFFLE
AUNT JEMIMA BUTTERMILK
MACARONI & CHEESIER
SPAGHETTI AND
SYRUP'
PANCAKE MIX
AUSTEX PLAIN
MEAT BALLS
CHILI ................24 .. CAN
67c
CAN
C 1901
25c
QT 43c
PKG 43C
..........
.
CAN ..........
. ............
..........
3 MINUTE REG. OR QUICK
C ox. JAR
OATS ......•••.•••...E -.Box
23c
SCOTTIES
TISSUES .........400 cr.'BOX
25c,
AUSTEX PLAIN
'
CHILI ................24 .. CAN
67c
RANCH STYLE
BEANS NO: 300 CAN 2
I� '
FORM
KRAFT APPLE
SANTA ROSA PINEAPPLE
JUICE NO.2 CAN
......... 3 FOR
19c
CONTADINA SPICED
-/�'
PEACHES ..... NO. 21 /2 CAN
25C
TEMPTING
BOTTLE
SIZE
PLUMS
23c
......... .NO.21/2 CAN
COCK -O -WALK - NO.
Fruit Cocktail 2F..
300 CAN
39c
CHASE b SANBORN INSTANT
COFFEE (20e OFF)
C ox. JAR
/�
79c
3 MINUTE YELLOW
POPCORN ........
2 BAG
29c
ADOLPHUS
`RICE ..................
2 Lb. PKG.37c
KRAFT APPLE
JELLY ...............16
us. JAR
29c
SPEAS APPLE
JUICE ..............QT.
CONGESTAID ROOM
VAPORIZER ...REG:
BOTTLE
SIZE
27c
98C
LOUISIANA NO. 1
1
YAMS .............
2 PFORD5
25c
FRESH
GREEN BEANS ....LB. 25c