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HomeMy WebLinkAbout14652 ORD - 12/13/1978JKH:11- 17- 78;lst TEXAS: AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A LEASE AGREEMENT WITH THE OWNERS OF THE JONES BUILDING, ACTING BY AND THROUGH THEIR DULY AUTHORIZED AGENT, CARL FRASIER, FOR THE LEASING OF PORTIONS OF THE JONES BUILDING AND 30 PARKING SPACES FOR A TERM OF EIGHTEEN (18) MONTHS AND PROVIDING FOR A SIX - MONTHS HOLDOVER PERIOD, ALL AS MORE FULLY SET FORTH IN THE LEASE AGREEMENT, A SUBSTANTIAL COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARKED EXHIBIT "A "; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, SECTION 1. That the City Manager be and he is hereby authorized to execute a lease agreement with the owners of the Jones Building, acting by and through their duly authorized agent, Carl Frasier, for the leasing by the City of portions of the Jones Building and 30 parking spaces, for a term of eighteen (18) months and providing for a six - months holdover period, said lease to commence on November 1, 1978, all as more fully set forth in the lease agreement, a substantial copy of which is attached hereto and made a part hereof. SECTION 2. The necessity to authorize execution of the lease agreement aforesaid at the earliest practicable date creates a public emergency and an imperative public necessity requiring the suspension of the Charter rule that no ordinance or resolution shall be passed finally on the date of its introduction but that such ordinance or resolution shall be read at three several meetings of the City Council, and the Mayor, having declared such emergency and necessity to exist, having requested the suspension of the Charter rule and that this ordinance be passed finally on the date of its introduction and take effect and be in full force and effect from and after its passage, IT IS ACCORDINGLY SO ORDAINED, this the day of November, 1978. Q ATTEST: �l _ APPROVED: 7/ DAY OF NOVEMBER, 1978: J. BRUC AYCOCK, CITY ATTORNEY By Assistant C ttorney 14 (352 iut 0 8 19B THE STATE OF TEXAS COUNTY OF NUECES This agreement of lease is made and entered into, and effec- tive the 1st day of November, 1978, regardless of when actually executed by the parties hereto, by and between Kathleen Jones Alexander; W. W. Jones, II; Lorine Eshleman Vogt; and Florence S. King and Corpus Christi National Bank, Independent Co- executors of the Estate of Benjamin Eshleman, Jr., De- ceased, doing business as Jones Properties and owners of the W. W. Jones Building, by and through their duly authorized agent, Carl Frasier; hereinafter collectively called "Lessor ", and the City of Corpus Christi, Texas, a munici- pal corporation, hereinafter called "City "; WITNESSETH: The said Lessor does by these presents lease and demise unto the City the following described property lying and being situated in the City of Corpus Christi, Nueces County, Texas, to wit: a) 4,932 sq. ft, on the eighth floor and rooms 711, 712, 713, 714 and 715, containing 627 sq. ft. to be used as office space, and 600 sq. ft. on the ground floor, of the W. W. Jones Building, 317 Peoples Street, and being further described as a portion of Lot 7, in Block No. 4, Beach Por- tion, an addition to The City of Corpus Christi, Nueces County, Texas, and b) Thirty (30) parking spaces located on all of Lot No. 11 and Fractional Lot No. 12, Block No. 4, Beach Portion, an addition to The City of Corpus Christi, Nueces County, Texas. 1. The term of this lease shall be for eighteen (18) months, commencing on the 1st day of November, 1978 and terminating on the 30th day of April, 1980. 2. City agrees to pay as rent, the total sum of Forty Six Thousand Four Hundred Fifteen and 70/100 ($46,415.70) Dollars, payable in monthly installments, the first of which installments in the sum of $2,503.56 shall become due and payable the 1st day of November, 1978, and a like installment on the lst day of each succeeding month thereafter through October 1, 1979; then in monthly installments of $2,728.83 each, the first of which installment shall become due and payable on the 1st day of November, 1979, and a like installment on the 1st day of each succeeding month thereafter through April 1, 1980. 1 _ 3. The above rent represents payment for 5559 sq. ft. of office space at the rate of 34¢ per sq. ft, per month; 600 sq. ft. of storage space at the rate of 17¢ per sq. ft. per month; and thirty (30) parking spaces at $17.05 each per month during the first year hereunder, and payment for 5559 sq. ft, of office space at the rate of 37t per sq. ft.; 600 sq. ft. of storage space at the rate of 17� per sq. ft. per month; and thirty (30) parking spaces at $19.00 each per month during the last six (6) months hereof. 4. City shall pay the rent to Lessor at 920 Jones Building, Corpus Christi, Texas, monthly, in advance, as the same shall fall due, for the full term hereof. 5. The Lessor agrees to furnish at its own expense the following: A. Normal janitorial service. B. General electrical services. C. Central heat and air conditioning. U. Routine building maintenance. E. All utilities (with the exception of additional power required for data processing equipment). 6. City agrees that the following items will be furnished at its own expense: A. Electrical power for data processing equipment operation. B. Electrical power service for data processing. C. Supplementary air conditioning or humidity control for data processing computer room and electrical power and service therefor. D. Separate electrical metering for data processing equipment and air conditioning or humidity control. 7. City shall, at the end or other termination of this lease, deliver up the demised premises in good order and condition, natural deterior- ation and damage by fire and elements excepted. 2 8. That the City shall, in case of damage by fire or other hazards included under "extended coverage" insurance, give immediate notice to the Lessor, who shall thereupon cause the damage to be repaired forth- with; but if the premises be by the Lessor deemed so damaged as to be unfit for occupancy or if the Lessor shall decide not to rebuild or remodel the said building, then, at Lessor's option, Lessor may declare this lease at an end and the rent be paid to the time of damage. Should Lessor decide to repair the premises for use of City, in the event of total or partial destruction by fire or other calamity, then, in such event, the rent here - inabove reserved or a just and proportionate part thereof according to the nature and extent of the injury sustained, shall be suspended or abated until said premises shall, by Lessor, be put back, insofar as possible, in the same condition as the same existed prior to the destruc- tion. Notwithstanding anything else herein contained, Lessor shall never be obligated to repair or restore any portion of the premises not covered by Lessor's "extended coverage" insurance policy.. 9. City shall indemnify and hold harmless the Lessor, its successors and assigns, from and against any and all liability for loss, damage or injury to persons or property arising out of City's use and occupancy.of the demised premises. 10. That in case of default in any of the covenants herein, Lessor may enforce the performance of this lease in any mode provided by law, and this. lease may be forfeited at Lessor's discretion if such default continues for a period of thirty (30) days after Lessor notifies City of such default and Lessor's intention to declare the lease forfeited, and thereupon (unless City shall have completely removed or cured such default) this lease shall cease and come to an end as if that were the day originally fixed herein for the ex- piration of the term hereon; and Lessor's agent or authority shall have the right, without further notice or demand, to reenter and remove all persons and City's property therefrom without being deemed guilty of any manner of trespass and without prejudice to any remedies for arrears of rent or breach of covenant; or 3 Lessor's agent or attorney may resume possession of the premises and relet the same for the remainder of the term at the best rent said agent or attor- ney may obtain, for account of City who shall make good any deficiency. Notwithstanding anything else herein contained to the contrary, City may cancel this lease should the present or any future City Council of the City of Corpus Christi not appropriate in any fiscal year funds for the rental payments required by this lease. No penalty shall attach in the event of any such nonappropriation. In the event of nonappropriation, City shall give the Lessor sixty (60) days notice prior to the end of the then current fiscal year (which presently runs from August 1 to July 31) before cancellation of this lease and City shall not be obligated to make any rental payments beyond the end of the sixty -day notice. Lessor shall have all the rights and remedies under the law to take possession of the premises in the event of such cancellation, subject to paragraph 15 below. 11. All notices to be given under the provisions of this lease shall be mailed to City addressed to the demised premises and to Lessor addressed to: W. W. Jones, II P. 0. Box 2766 Corpus Christi, Texas 78403 12. City is presently occupying the eighth floor and 600 sq. ft. on the ground floor of such building and the thirty (30) parking spaces described above. Lessor shall not be under any obligation to make any additions to or alterations of such premises presently occupied by City. City shall take possession of rooms 711 through 715, inclusive, of such building in an "as -is" condition. 13. In the event City holds over after the expiration of the term hereof, such tenancy shall be on a month to month basis and either party may terminate this lease on or after April 30, 1980, by giving the other party at least six (6) months written notice; provided, however, neither party shall have the right to terminate this lease under the provisions of 4 this paragraph prior to April 30, 1980. Notwithstanding anything else herein contained to the contrary, this lease shall terminate on or by October 31, 1980. 14. In the event City holds over on a month to month tenancy as hereinabove provided, City shall pay Lessor monthly rent, in advance, in the sum of Two Thousand Seven Hundred Twenty Eight and 83/100 ($2,728.83) Dollars. Said monthly installments represent payment for 5,559 sq. ft. Of office space at 37t per sq. ft. per month; 600 sq. ft. of storage space at 17¢ per sq. ft. per month; and thirty (30) parking spaces at $19.00 each per month. The rental payments becoming due hereunder shall be paid on the 1st day of each month, in advance, during the time that City occupies said premises between May 1, 1980 and October 31, 1980. 15. All permanent alterations and improvements affixed to such building by City shall become the property of Lessor at the termination of this lease; provided however, that this provision shall not apply to, and City shall have the right to remove and retain ownership of, City's com- puters and computer related equipment, circuitry, air conditioning and air conditioning support systems, and eighth floor computer room flooring. 16. The owner of the above described parking lot is Corpus Christi National Bank and Lessor has entered into an arrangement pro- viding for Lessor's rental of parking spaces thereon, with the right on the part of Lessor to sublease said parking spaces to tenants of the building. In the event Corpus Christi National Bank notifies Lessor that Lessor must vacate said parking lot, Lessor agrees to furnish City the thirty (30) parking spaces on the ground level parking lot owned by Corpus Christi National Bank which adjoins Corpus Christi National Bank's present drive - through banking windows, which parking lot is adjacent and bounded by Water and Peoples Streets and Shoreline Drive, which parking lot is hereinafter referred to as "Bank Parking Lot ". In the event Lessor relocates City's thirty (30) parking spaces to the Bank Parking Lot, there will be no adjustment in the rent hereinabove provided. In the event Corpus Christi National Bank completes construc- tion of a parking garage ( "Bank Parking Garage ") located on Block No. 4, 5 Beach Portion of the City of Corpus Christi, during the term of this lease, or any holding over period, Lessor shall have the right, upon completion of the construction of the Bank Parking Garage, to relocate said thirty (30) parking spaces from the Bank Parking Lot to the Bank Parking Garage. In this event, any rent to be paid by City to Lessor € hereunder shall be increased by the amount of $390.00 per month ($13.00 per parking space per month). Such increases in rent shall commence on I the beginning of any month in which said thirty (30) parking spaces are relocated from the Bank Parking Lot to the Bank Parking Garage; provided, however, such increase shall not commence prior to October 1, 1979. f In the further event that said thirty (30) parking spaces fare relocated to the Bank Parking Garage, such parking spaces shall be on an assigned space basis (such as designating a specific floor or area ;for parking), and Lessor reserves the right to designate and change the +location of the parking space of each user within the Bank Parking Garage. City shall have access to the Bank Parking Garage between the hours of 7:00 A.M. and 6:00 P.M., Monday through Friday of each week, and during such other hours on such other days as Corpus Christi National Bank shall keep the Bank Parking Garage, attended and open for other custo- mers of the Bank Parking Garage, and at such other times as in the sole judgment of Corpus Christi National Bank is deemed reasonable. Addition- ally, Corpus Christi National Bank and Lessor reserves the right to promulgate reasonable rules and regulations for the efficient use, safety, a f nd maintenance of the Bank Parking Garage and its contents. A night watchman or guard service may be provided for the Bank Parking Garage, and every person, if unknown to the security personnel, entering or leaving the Bank Parking Garage may be questioned as to the reason for being in the Bank Parking Garage. The security personnel shall have the right to refuse admission to, or eject therefrom, all persons that shall, in the security personnel's exclusive judgment, not be able to show them- selves lawfully entitled to enter and remain in the Bank Parking Garage. Neither Corpus Christi National Bank nor Lessor shall be liable for any damage whatsoever as a result of the security personnel's refusing ad- mittance to the Bank Parking Garage to any person. 6 If the Bank Parking Garage is totally destroyed during the term City is occupying the same, then City's rights to said thirty (30) parking spaces shall forthwith cease and terminate. Should the Bank Parking Garage or the other parking lots be partially destroyed or damaged so as to cause said parking spaces to become untenable, in the judgment of Corpus Christi National Bank, then it shall be optional with Corpus Christi National Bank to rebuild or replace the Bank Parking Garage or said parking lots to substantially the former condition. Until the Bank Parking Garage or the parking lots are restored to a tenable condition, there shall be an abatement of rent to the extent that the parking spaces, or a portion thereof, are rendered untenable. Should Corpus Christi National Bank not elect to repair or reconstruct, then Lessor's obligation to furnish said thirty (30) parking spaces in the Bank Parking Garage or other parking lots shall cease and terminate, and the payment of any rent apportioned for the thirty (30) parking spaces shall be adjusted accordingly. 17. Notwithstanding anything else herein contained to the contrary, City shall have the right to terminate its lease of (and rental payment for) any or all of the thirty (30) parking spaces provided for in this lease after giving the Lessor at least sixty (60) days written notice. 18. The terms of this lease shall be binding upon and inure to the benefit of Lessor and City, and their respective heirs, successors, personal representatives and assigns; provided, however, nothing contained in this paragraph shall be construed to allow City to assign or sublet the leased premises nor any portion thereof; and provided, further how- ever, Lessor shall have the right to assign this lease, or any portion hereof, in the event Lessor shall sell or otherwise dispose of its in- terests (or all or any part of such interests) in the W. W. Jones Building. IN TESTIMONY WHEREOF, the parties of this agreement have hereunto set their hands, in duplicate, this the _ day of 1978. 7 LESSOR: Jones Properties By Car raster, Manager LESSEE: CITY OF CORPUS CHRISTI, TEXAS ATTEST: By — Marvin Townsend, City Manager Ci ty Secretary APPROVED AS TO LEGAL FORM THIS DAY OF 1978:— City Attorney ecDi� to,r} nce V 8 Corpus Christi, Tex (� /3 day of , 1970 TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, a public emergency and imperative necessity exist for the suspension of the Charter rule or requirement that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be read at three meetings of the City Council; I, therefore, request that you suspend said Charter rule or requirement and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. The Charter rule was suspe Gabe Lozano, Sr. Bob Gulley David Diaz Ruth Gill Joe Holt Tony Juarez, Jr. Edward L. Sample The above ordinance was passed Gabe Lozano, Sr. Bob Gulley David Diaz Ruth Gill Joe Holt Tony Juarez, Jr. Edward L. Sample 14652