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HomeMy WebLinkAbout020432 ORD - 08/23/1988AN ORDINANCE AUTHORIZING THE EXECUTION OF A 20 -YEAR LEASE TO THE ART COMMUNITY CENTER OF CORPUS CHRISTI, INC. OF A TRACT OF LAND ON SHORELINE DRIVE INCLUDING THE FORMER CITY HALL ANNEX; AND PROVIDING FOR PUBLICATION. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the City Manager is hereby authorized to execute a 20 -year lease to the Art Community Center of Corpus Christi, Inc. of a tract of land on Shoreline Drive including the former City Hall Annex, substantially in the form and with the terms contained in the attached Exhibit A. SECTION 2. Publication shall be made in the official publication of the City of Corpus Christi as required by the City Charter of the City of Corpus Christi. 206JB148.ord 20432 MICROFILMED LEASE AGREEMENT THE STATE OF TEXAS § COUNTY OF NUECES § This agreement of lease by and between the City of Corpus Christi, a municipal corporation, designated herein as Lessor, and the Art Community Center of Corpus Christi, Inc., designated herein as Lessee, W ITNESSET H: That the Lessor does by these presents lease and demise unto the said Lessee the following described property lying and being situated in the City of Corpus Christi, Nueces County, Texas, to -wit: All of that certain tract or block of land designated as "U. S. 0." on map of the Corpus Christi Bayfront, as the same appears of record in Volume 9, Pages 38 to 41, of the Nueces County Map Records. This block lies between East Shoreline Drive and West Shoreline Drive, South of Laguna Street and North of Cooper Alley, as shown by the above mentioned map. See also Deed recorded in Vol. 1880, page 386, Deed Records, Nueces County, Texas. for the term of twenty (20) years beginning sixty (60) days after third reading of the City Ordinance authorizing execution hereof, in consideration for which Lessor and Lessee covenant and agree to perform the following terms and conditions, to -wit: 1. Lessee shall institute a program of restoration and renovation for the rehabilitative use of the structure known as the City Annex located on the above described land, and shall operate the leased premises, in accordance with the following terms, conditions, and procedures: 606JB089.lse.dv 1 (a) The rehabilitation of the original structure and operation of it as an art center for use by local and visiting artists shall be the prime object of the renovation and restoration to be provided by Lessee. (b) The restoration of the structure shall include the renovation of the interior and exterior of the building, generally in conformance with the conceptual plan presented to the City Council on June 23, 1987. The restoration shall incorporate energy and utility conservation features acceptable to Lessor. (c) Lessee has engaged the architectural firm of Green and Associates to plan, direct and supervise such restoration, renovation and rehabilitative use, which architectural firm is acceptable to Lessor. All expenses and fees paid to such architectural firm be paid by Lessee. (d) If the services of such architectural firm should be terminated for any reason prior to completion of such restoration and renovation then Lessee shall engage a replacement architectural firm with knowledge and experience in rehabilitative use restorations, acceptable to Lessor. (e) Prior to commencing such restoration and renovation, the supervising architect shall submit the rehabilitative use plans to the City Manager of the City of Corpus Christi, Texas for his approval and such shall 606JB089.lse.dv 2 approval shall be prerequisite for the issuance of any building permit required by Lessor's Building Official. (f) Lessee shall bring the structure up to code standards established by the City of Corpus Christi. (g) Lessee shall maintain such structure as an attractive and compatible part of the Shoreline area. (h) Excepting City holidays, periods reasonably necessary to accomplish changing exhibits, and vacations not exceeding 14 calendar days per year, Lessee shall keep the building open for local and visiting citizens who desire to visit the Art Center during regularly established hours which shall be not less then five days and 30 hours per week; provided that Lessor may excuse Lessee from this requirement during special events which hinder access to the leased premises. Lessee hereby waives any right it might have to object to street closings during special events. (i) Lessee shall provide the original landscaping for the premises, which landscaping plan shall have been developed in cooperation with Lessor's Park Superintendent and approved in advance by the City Manager. (j) Lessee shall maintain air conditioning and heating equipment in good operating condition at all reasonable times. (k) Lessee shall provide decorating services for the interior of the building. 606JB089.lse.dv 3 (1) Lessee shall provide furnishings and equipment. 2. Lessor, in consideration of Lessee's renovation of the building, shall provide and maintain, at its expense: (a) All usual City utility services (water, wastewater, gas, regular garbage collection and disposal) necessary or proper for the use of such building. All other utilities shall be paid by Lessee. (b) Maintain the exterior painting of the building, and the grounds, including landscaping and parking lots, in good condition and attractive appearance. (c) Property insurance on the full replacement value of all buildings and improvements on the leased premises. Lessor shall transmit any such insurance payments received to Lessee upon Lessee's submission of renovation or replacement plans acceptable to City; provided, the amount paid by City hereunder shall not exceed the actual, reasonable cost of the renovation or replacement. City shall have no obligation to contribute to renovation or replacement of improvements on the leased premises other than to the extent of the insurance provided herein. 3. After completion of the renovations for rehabilitative use, Lessee may utilize the building for the following purposes: (a) Lessee's administrative headquarters and offices. (b) Workrooms for local and visiting artists who desire to continue or improve their artistic endeavors. 606JB089.lse.dv 4 (c) Meeting rooms for non-profit organizations desiring to use the building for meetings. (d) An information center for local and visiting artists which will provide information and directions to local and area works of art. (e) Gift shop for the sale of items of artistic and historic merit, and other gift items normally sold in such facilities. (f) Lunch room where local citizens and visitors may obtain food and drink during their visit to the building. (g) Display areas for the display and sale of the artistic creations of local and visiting artists. (h) Fund raising events normally carried on by non-profit organizations. (i) Areas for art fairs, art jamborees, and art auctions. (j) Workshops, lectures, art classes and facilities for winter tourists to paint. 4. Upon completion of the renovation of the building located upon the leased premises, Lessee: (a) Shall make no structural alterations or additions to the improvements upon the leased premises without the prior written consent of Lessor. (b) May make such nonstructural additions, alterations and improvements upon the leased premises deemed necessary or desirable by Lessee. 606JB089.lse.dv 5 (c) Upon termination of this lease, Lessee may, but shall not be obligated to, remove all such nonstructural additions, alterations and improvements. (d) Shall have the right to authorize individuals, groups of individuals, or organizations to use portions of the leased premises for any purposes for which the Lessee is herein authorized to use the premises. All of said use by said individuals or organizations shall be subject to and in accordance with the spirit and terms of this contract and shall be under the direction and supervision of the Lessee. (e) In the ordinary course of providing or authorizing functions, programs and events under and in accordance with this contract, the Lessee may, without the prior consent thereto of the City Manager or City Council, enter into written contracts and agreements of a routine nature. 5. Lessee may, at any time prior to the completion of the restoration and renovation, terminate this Lease Agreement at its discretion upon written notice to Lessor. Upon the delivery of such notice of rescission, Lessee shall have no further obligations hereunder. 6. Lessee shall annually submit its financial statement to the City Manager. 7. Lessee shall not assign this lease without the prior written consent of Lessor. 606JB089.lse.dv 6 8. Lessee shall not discriminate against the public, its employees, or artists on the basis of race, creed, color, national origin, sex, or handicap in its operations under this Lease. 9. Lessee shall fully indemnify, save and hold harmless City, its officers, employees, and agents against any and all liability, damage, loss, claims, demands and actions of any nature whatsoever on account of personal injuries (including, without limitation on the foregoing, premises defects, workers' compensation and death claims), or property loss or damage of any kind whatsoever, which arise out of or are in any manner connected with, or are claimed to arise out of or be in any way connected with, the performance of this Agreement or Lessee's use, operation or occupancy of the leased premises or the Art Center. Lessee shall at its own expense investigate all such claims and demands, attend to their settlement or other disposition, defend all actions based thereon and pay all charges of attorneys and all other costs and expenses of any kind arising from any such liability, damage, loss, claims, demands, and actions. 10. Lessee agrees that it will promptly comply with and fulfill all ordinances, regulations and codes of Federal, State, County, City and other governmental agencies applicable to said property, at Lessee's sole expense and cost. 11. No assent, express or implied, by the City to any breach by Lessee of any of the covenants, agreements, conditions or terms hereof shall be deemed or taken to be a waiver of any 606JB089.lse.dv 7 succeeding breach of any covenant, agreement, condition or term hereof. 12. City reserves the right to enter said premises at any reasonable time during the existence of this lease for the purpose of inspecting the same in order to determine whether the terms of said lease are being observed and carried out. 13. Lessee shall acquire and maintain the following insurance coverages during the term of the Lease: (a) public liability insurance (personal injury: $100,000 person/$300,000 occurrence; property: $50,000) covering all activities to be conducted on the premises, with the City as an additional insured, noncancellable except upon thirty (30) days written notice to City; (b) workers' compensation insurance on all its employees. In addition, Lessee shall require any contractor for construction of any buildings or improvements under this Lease to carry insurance coverages throughout the renovation period with terms and amounts as required by the City Manager. The amount and terms of coverages required in this paragraph shall be substantially similar to those required by the City for similar operations. City may require reasonable increases in the coverages specified herein so that the present real value of coverage is not diminished over the course of this lease. 606JB089.lse.dv 8 14. City may, at its option, in addition to any other remedy or right hereunder or by law, immediately terminate this Lease without notice except as provided herein, upon occurrence of any of the following conditions: (1) Failure to complete renovation within 12 months from the commencement date of this Lease, or upon City's written objection to Lessee's assertion of completion of renovation, failure to complete construction within an additional period designated by City of not less than thirty (30) nor more than sixty (60) days from the date of City's objection. (2) Failure to operate the leased premises as an Art Center open to the public for a period exceeding 30 days except during periods necessary for repairs or renovation approved by City in writing. (3) Failure to abate any nuisance specified in writing by the City within a reasonable time specified in writing by the City. (4) Lessee's assignment of this Lessee or subletting of the leased premises, or attempted assignment or subletting, except as otherwise authorized herein, without written consent of City. (5) Dissolution of Lessee as a non-profit corporation. (6) Failure to have in effect at all times policies of insurance as required in this lease. (7) Abandonment of the premises. 606JB089.lse.dv 9 Upon (8) Failure of Lessee to complete repairs or reconstruction within 12 months after the Building is damaged beyond use or destroyed by fire, wind, flood or any other cause. In the event of such catastrophe, Lessee shall notify Lessor in writing within thirty days of its plans and schedule for repair or reconstruction, and failure to timely submit such notice shall be sufficient cause for Lessor to terminate this lease. (9) Failure of Lessee, within thirty (30) days of written notice from City, to correct any breach in the performance or observance condition of this lease. termination of this lease of any other covenant or as hereinabove provided, or pursuant to statute, or by summary proceedings or otherwise, City may enter forthwith and resume possession either by summary proceedings, or by action at law or in equity or by force or otherwise, as City may determine, without being liable in trespass or for any damages. The foregoing rights and remedies given to City are, and shall be deemed to be, cumulative of any other rights of City under law, and the exercise of one shall not be deemed to be an election, and the failure of City at any time to exercise any right or remedy shall not be deemed to operate as a waiver of its right to exercise such right or remedy at any other or future time. 15. It is specifically agreed and understood that the parties intend and do hereby create a landlord/tenant 606JB089.lse.dv 10 relationship, and this agreement shall be construed conclusively in favor of that relationship. Nothing herein contained shall be deemed or construed by the parties hereto, nor by any third party, as creating the relationship of principal and agent or of partnership or of joint venture between the parties hereto, it being understood and agreed that no provision contained herein, nor any of the acts of the parties hereto, shall be deemed to create any relationship between the parties herein other than that of Landlord and Tenant. 16. No changes or modifications to the lease shall be made, nor any provision waived, unless in writing signed by a person authorized to sign agreements on behalf of each party. 17. Lessee agrees to pay the costs of newspaper publication of this Agreement and related ordinance as required by the City Charter. 18. Lessee shall invite Corpus Christi based general contractors who are qualified to construct a renovation project of the type and magnitude indicated herein to negotiate or bid for construction of the project, and Lessee further agrees to use its best efforts to involve local contractors and subcontractors in the construction to the extent feasible. 19. Lessee agrees that, within 90 days of written notice from Lessor of intent to solicit construction bids, Lessee will remove the two small additions on the west side of the building as Lessor deems necessary to accommodate the proposed rerouting of Shoreline Boulevard, and will renovate the remaining structure 606JB089.lse.dv 11 to an attractive condition consistent with the rest of the structure. 20. Lessor agrees to grant $5,000 to the Art Community Center in City Fiscal Year 1988-89 for expenses at the South Bluff Park facility, and at the Shoreline premises after the move contemplated by this Agreement. IN TESTIMONY WHEREOF, the parties to this agreement have hereunto set their hands in duplicate this the day of , 1988. ATTEST: LESSOR CITY OF CORPUS CHRISTI By By City Secretary City Manager APPROVED: day of , 1988 By City Attorney ATTEST: By 606JB089.lse.dv 12 LESSEE ART COMMUNITY CENTER OF CORPUS CHRISTI, INC. THE STATE OF TEXAS § COUNTY OF NUECES § BEFORE ME, the undersigned authority, on this day personally appeared Juan Garza, City Manager of the City of Corpus Christi, Texas, a municipal corporation, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the same as the act and deed of said City of Corpus Christi for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of , 1988. Notary Public State of Texas My Commission expires: THE STATE OF TEXAS § COUNTY OF NUECES § BEFOR ME, th undersigned authority, on this day personally appeared g,w.,_ .., ly qq , President of the Art Community Center of Corpus Christi,//Itnc., known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Art Community Center of Corpus Christi, Inc., a corporation, and that she executed the same as the act of such corporation for the purposes and consideration therein expressed and in the capacity therein stated. GIV U ER MY HAND AND SEAL OF OFFICE, this the 1/ day of ��� 1988. 606JB089.lse.dv Notary Public State of Texas My Commission expires: 31 13 .1y Commis .. o ' 4 - - 2 5 That the foregoing ordinance was read for the first time and passed to its second reading on this the fq day of , 19 N g , by the following vote: Betty N. Turner Bill Pruet 1/2 4.2 David Berlanga, Sr. Mary Rhodes „, Leo Guerrero Frank Schwing, Jr. Clif MossMary Pat Slavik G o Linda Strong a-t-fr That the foregoing ordinance was read for he second time and passed to its third reading on this the 24,0 day of , 19 y , by the following vote: Betty N. Turner David Berlanga, Sr. Leo Guerrero Clif Moss Bill Pruet Mary Rhodes Frank Schwing, Jr. Mary Pat Slavik Linda Strong akout That the foregging ordince was rad for thethird time and passed finally on this the .23/12day of �, 19 8 X , by the following vote: Betty N. Turner David Berlanga, Sr. Leo Guerrero Clif Moss Bill Pruet C16Cae.it)L Mary Rhodes Frank Schwing, Jr. Mary Pat Slavik Linda Strong CL&c PASSED AND APPROVED, this the ?j day of (,),V, , 19 6 g . ATTEST: City Secretary APPROVED: �q DAY OF :27V HAL GEORGE, CITY ATTORNEY As tant City Attor 99.044.01 19 /IAYOR THE CITY OF CORPUS CHRISTI, TEXAS 20432 PUBLISHER'S AFFIDAVIT r.State of Texas, 3 City of C C County of Nueces 3 ss: Ad # 12483 4 Befpre me, the undersigned, a Notary Public, this day personally came Deanne D. Palmer, who being first duly sworn, according tp. ,,that she is a Senior Accounting Clerk of the Corpus Chrlti [ ll Tim4s, a daily newspaper published at Corpus Christi said t 'and State, generally circulated in Aransas, Bee, Brooks, *Duval, Hidalgo, Jim Hogg, Jim Wells, Karnes, Kenedy,Yleber9We -\ Oak, Nueces, Refuio, San Patricia, and Victoria Counrzes" *1(,hat the publication of "NOTICE OF PASSAGE OF ORDINANCE Nil `;g1. � of which the annexed is a true copy, was published in the Co Christi Caller -Times on the 28th day of August 1988, and.eacM day thereafter for zero consecutive day(s). •'���� one Times $ 39.20 rAed� Edna Koster Senior Accounting Clerk fore me this 31st day of August, 1988. Notary Public, Nuecb-s County, Texas My commission expires on 11.30.88 OF PASSAGE CI NO. 20432 THE -ART COMMUNITY OF CORPUS CHRIS - 'OP A TRACT OF EUNE DRIVE I�_��� ��' ,��� ,���/�/� and" ved, "rig by the City 10" the City of Corpus Ctitta texas on the 23rd *Ittet Airoust, 1988 and the full/OW.0f said ordinance is avitilab* to the public in the 01944f-afaii-roity Secretary. CROOxl SaCtitary PUBLISHER'S AFFIDAVIT State of Texas, ] CITY OF C C County of Nueces ] ss: Ad # 13777 Before me, the undersigned, a Notary Public, this day personally came Iris Yap, who being first duly sworn, according to law, says that she is a Senior Accounting Clerk of the Corpus Christi Caller - Times, a daily newspaper published at Corpus Christi in said County and State, generally circulated in Aransas, Bee, Brooks, Cameron, Duval, Hidalgo, Jim Hogg, Jim Wells, Karnes, Kenedy, Kleberg, Live Oak, Refugio, San Patricio, and Victoria Counties, and that the 'publication of"NOTICE OF PASSAGE OF ORDINANCE ON SECOND "of which the annexed is a true copy, was published in the Corpus Christi Caller -Times on the 31st day of July 1988 and each day there- after for consecutive day(s) One Times 540.60 Senior Accountiig Clerk Subscribed and sworn to before me this _8th day of August 1988 EDNA KOSTER Notary Public, Nines County, Texas My commission expires on 11.30.1988 1 TIO TO 1.4E AR`F • CENT di PU ` CHF TI. . I 'A TRACT ' ILAN© ON 01�.INE I INCLUDING �ThE F ER ?- CITY ilia ANNEX to t use an r?t comet for local i .and vfs ting artists: lessee is re for renovation qf - the ; , ` shallmein it in trance, average as Sated ,n the agreement;. AND .P79- 't Was passed a approvr" 00014 cefffbn es' 101 Council of the City of `Corpus s Chr•st4, Te on the ' off JulySand erdirance 1. . 1!8$ and the° o - to the public `in the ) the City.Spirit PUBLISHER'S AFFIDAVIT State of Texas, ] City of C C County of Nueces ] ss: Ad # 33080 Before me the undersigned, a Notary Public, this day personally came Deanne D. D ne D 'Palmer' who being first duly sworn, according to law, says ti Clerk of the Corpus Christi Caller - that she is a Senior Accounting Christi in said County Times a daily newspaper published at Corpus ' ll circulated in Aransas, Bee, Brooks, Cameron, Duval, Hidalgo, u and State� generaimyHogg' Jim Wells, Karnes, Kenedy, Kleberg, Live Victoria Counties, and that Oak, Refugio, San Patricia, andNueces'RDINANCE ON FIRST READING" the publication of "NOTICE OF PASSAGEOF O published in the Corpus of which the annexed is a true copy, was p and each the 24th day of July 1988, Christi Caller -Times on e `day thereafter for zero consecutive day(s). one Times $ 40.60 r�bsc�ibed a Edna Koster -� Notary Public, s County, Texas My commission expires on 11.30.88 Senior Accounting Clerk Jefore me this 25th day of July, 1988.