HomeMy WebLinkAbout021988 ORD - 07/12/1994AN ORDINANCE
AUTHORIZING THE CITY MANAGER TO EXECUTE A FIVE YEAR LEASE
AGREEMENT WITH BAYFEST, INC. FOR THE USE OF THE GRANDE-
GROSSMAN HOUSE, PARTS OF LOTS 4, 5, AND 9, BLOCK 61,
BEACH ADDITION, IN HERITAGE PARK AS THEIR BUSINESS
OFFICES; FOR A MONTHLY FEE OF $325; AND PROVIDING FOR
PUBLICATION.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS
CHRISTI.
SECTION 1. That the City Manager is hereby authorized to
execute a five (5) year Lease Agreement with Bayfest, Inc. for the
use of the Grande -Grossman House, portions of Lots 4, 5, and 9,
Block 61, Beach Addition, in Heritage Park as their business
offices, 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.
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.
AG5000.528.skp
021988 1
LEASE AGREEMENT
THE STATE OF TEXAS §
COUNTY OF NUECES §
WHEREAS, the City of corpus Christi, Texas, ("City") is the
owner of real property known as the Grande -Grossman House, located
at 1517 N. Chaparral, the west 30' by the north 20' of Lot 4, the
west 30' of Lot 5, the east 50' of Lot and the east 50' by north
20' of Lot 9, Beach Addition, Block 61, City of Corpus Christi,
Nueces County, Texas, together with all improvements thereon
("Property"); and
WHEREAS, Bayfest, Inc. ("Lessee") desires to lease the
Property, rehabilitate the existing improvements, and/or construct
new improvements.
In consideration of the foregoing and the mutual promises
herein contained, City and Lessee agree as follows:
1. Use. City does hereby lease, let, and demise to Lessee
the Property, together with all improvements located thereon.
Lessee agrees to operate the Grande -Grossman House in a manner
consistent with the use plan presented to the City and approval by
the Landmark Commission on the Property. Any other uses of the
property by Lessee shall be prohibited without prior written
approval of the City Manager or his designee. Lessee shall have
AG2730.016. abf
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the right to establish and maintain its administrative offices
within the structure and to provide meeting rooms for the
activities of Lessee or any of its support groups as specified in
the use plan.
2. Construction or Rehabilitation. Lessee shall have the
right, but shall not be obligated, to rehabilitate existing or to
construct additional improvements on the Property, subject to
approval by the Landmark Commission and City Council.
The plans and specifications for the rehabilitation and/or new
construction of improvements, site improvements, parking,
irrigation system and landscaping and any changes thereto must be
approved by the City prior to the start of construction thereof,
and shall be consistent aesthetically and in quality of
construction with other properties in the Bayfront Arts and
Sciences Park and be in conformance with all City codes. Lessee
shall consult with and obtain approval of all irrigation system,
landscaping and site improvements from the Director of Parks and
Recreation.
Local vendors and contractors shall be utilized for all new
construction to the greatest extent possible.
Lessee shall have sole and full responsibility for preparing
the plans, advertising for bids, supervising construction and
accepting the improvements when completed.
The cost of construction, rehabilitation, landscaping,
irrigation and other site improvements under the terms of this
section shall be borne entirely by Lessee. It is understood that
AG2730.016.abf 2
City does not assume and will not in any way be responsible for any
of the financial obligations incurred or created by Lessee in
connection with the construction of the improvements. Lessee
agrees to save and hold City harmless from any and all charges,
claims or liability of any nature whatsoever as provided below.
3. Terms and Hours of Operations. The term of this Lease
Agreement shall begin sixty (60) days after execution of this Lease
Agreement and continue for five (5) years, subject to the
provisions concerning termination as stated herein. The property
shall normally be open to the public weekdays, excluding holidays,
during the regular office hours of Lessee. Lessor shall provide
Lessee with information and materials which lessee shall make
available to visitors concerning the history and restoration of the
premises. Additionally, the City shall have the right to provide
special tours for visiting parties or groups on an appointment
basis. Premises shall also be available to the City for regularly
scheduled tours as determined by the Park and Recreation
Department. Lessee shall provide Lessor with keys to the property
and a current list of names and phone numbers for use by the Lessor
in case of emergency.
(a) Lessor shall be permitted the use of a portion or
portions of the premises not occupied by Lessee's
administrative offices for meetings and other
agreeable uses at times and on dates which may from
time to time, be mutually agreed to by the paries
to this Lease. At all times during which the
A02730.016. abf
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Lessor shall have access to and the use of
premises, it shall be responsible for all security
expense representative of its use or sponsored use
of the structure.
4. Rent. The rental for the Property will be $325 per month
payable on or before the 5th of each month during the entire term
of the Lease Agreement. Payment shall be made to the order of the
City of Corpus Christi and mailed or delivered to Central
Cashiering, P.O. Box 9277, 78469 or 1201 Leopard Street, 78401.
5. Furnishing Building. Lessee is responsible for furnishing
and equipping the interior of the Building and that City has no
obligation to furnish any interior equipment or furnishings for the
use of Lessee. All personal property furnished by or on behalf of
Lessee will remain the property of Lessee unless specifically
donated to City.
6. Maintenance. The City will maintain the lawn and
vegetation and the exterior and structural components of the
Building including termite and pest control at its own expense
subject to annual budget allocation. Building maintenance will
include exterior painting, roof repair, porches and termite pest
treatment, steps, exterior doors and windows weatherproofing.
Interior improvements, including painting and maintenance of
plumbing, wiring, heating, air conditioning etc. will be at Lessee
expense. Lessee will maintain, at its sole expense, the interior
of the Building and all fixtures connected therewith and all
personal property thereon. Maintenance shall be of such quality as
AG2730.016.abf 4
to maintain the Property in a first-class condition, consistent and
in harmony with maintenance of improvements on properties leased by
the City to other tenants in the Bayfront Arts and Science Park.
Lessee shall not undertake exterior construction, remodeling,
redecorating, or signage beyond normal maintenance without prior
written consent of the Landmark Commission and the City. No major
interior construction shall
consent of the City. Lessee
building permits.
7. Indemnity. 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 by Lessee of its obligations under this Lease
Agreement or Lessee's use, operation or occupancy of the Property.
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.
8. Compliance with Laws. Lessee agrees that in the
operation of the Property it will promptly comply with and fulfill
be undertaken without prior written
shall obtain, at its own expense, all
AG2730.016.abf 5
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all ordinances, regulations and codes of Federal, State, County,
City and other governmental agencies applicable to the Property,
and all ordinances or regulations imposed by City for the
correction, prevention and abatement of nuisances or code
violations in or connected with the Property during the term of
this Lease Agreement, at Lessee's sole expense and cost.
9. Signage. Lessee shall not place, paint or otherwise
affix any signs at, or on or about the Property, or any part
thereof, without prior written consent of City Manager. City
Manager shall have the right at any time to require Lessee to
remove, paint or repair the signs allowed. Should Lessee not
remove, paint or repair the said signs within thirty (30) days of
demand therefor in writing, City may fulfill its demands and charge
the expense of same to Lessee. Payment for such work shall be made
within thirty (30) days of receipt of said bill. This paragraph
does not apply to temporary signs, in conformity with city codes,
on the Property for two weeks or less.
10. Right to Enter and Inspect. The City reserves the right
to enter the Property at any reasonable time during business hours
during the existence of this Lease Agreement, after reasonable
notice to Lessee, for the purpose of inspecting the same in order
to determine whether the terms of this Lease Agreement are being
observed and carried out, including but not limited to, both
interior maintenance.
11. Insurance.
AG2730.016.abf 6
a) Lessee shall acquire and maintain the following insurance
coverages during the term of this Lease Agreement:
(i) Comprehensive general liability insurance covering
all activities to be conducted on the Property by
Lessee; minimum limits of coverage for said policy
shall be $300,000 per person for bodily injury or
death, $500,000 for all claims arising out of one
occurrence, and $100,000 for property damage; and
this insurance policy shall name the City of Corpus
Christi as Additional Insured;
(ii) personal property insurance in the amount of the
full replacement value of all furnishings, fixtures
and improvements provided by Lessor; and
(iii) workers compensation insurance on all its employees
which complies with state and federal law.
All policies cannot be canceled, not renewed, or changed
without thirty (30) days prior written notice to the Director of
Park & Recreation.
all such insurance
The City Manager, or his designee, shall review
amounts and coverages annually and may increase
the coverages at that time.
b) In addition, Lessee shall require any contractor for
construction or rehabilitation of any buildings or improvements
under this Lease Agreement to carry insurance coverages throughout
the construction period with terms and amounts as required by the
City Manager, or his designee. The amount and terms of coverages
AG2730.016.abf 7
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required in this paragraph shall be substantially similar to those
required by City for similar operations, and shall be re-evaluated
on an annual basis.
c) Lessee shall provide Director of Park & Recreation with
certificates of insurance reflecting all the above coverages, and
shall, upon request by the City Manager, promptly provide the City
Attorney with copies of all such insurance policies.
12. Subletting or Assignment. Lessee shall not assign this
Lease Agreement nor sublet the Property or any part thereof without
the prior written consent of the City Manager. Acceptable
sublessees would include another non-profit group or a commercial
venture which fits the Heritage Park mission, including a gift
shop, antique store, restaurant, etc. Unacceptable lessees would
be office space for attorneys, CPA's, doctors, etc.
13. Defaults. Upon thirty days prior written notice to
Lessee, City may, at its option, in addition to any other remedy or
right hereunder or by law, terminate this Lease Agreement upon
occurrence of any of the following conditions ("Defaults"),
provided that Lessee has not cured the Default prior to
termination;
(1) Failure to operate the Property for the purposes set
forth in Paragraph 1 except during periods necessary for
repairs or renovation approved by the City Manager in
writing or except as otherwise contemplated by this Lease
Agreement.
AG2730.016.abf 8
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(2) Failure to abate any nuisance specified in writing by the
City Manager within a reasonable time specified in
writing by the City Manager.
(3) Lessee's assignment of this Lease Agreement or attempted
assignment or subletting, without prior written consent
of City.
(4) Failure to have in effect policies of contractor's
insurance, liability insurance, and/or workers'
compensation insurance as required by City Manager.
(5) Abandonment of the Property.
(6) Failure of Lessee to correct any other breach in the
performance or observance of any other covenant or
condition of
Upon termination
provided, or pursuant
this Lease Agreement.
of this Lease Agreement as
hereinabove
to statute, or by summary proceedings or
otherwise, the 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 shall not be
deemed to operate as a waiver of its right to exercise such right
or remedy at any other or future time.
AG2730.016.abf 9
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14. Termination. Lessee shall have the right to terminate
this Lease Agreement by giving City ninety (90) days prior written
notice of the date of termination, in which case all obligations on
the part of Lessee shall also terminate as of the date of
termination, so long as the Property is returned in same or better
condition as upon August 4, 1993, normal wear and tear excepted.
If the Property is not in such condition, Lessee shall repair the
Property to such condition within sixty (60) days after termination
of this Lease.
15. Pronerty of City. Upon expiration of this Lease
Agreement, or upon termination thereof for any reason, all
buildings, improvements, and fixtures placed on the Property by
Lessee shall become property of City.
16. Landlord/Tenant. It is specifically agreed and
understood that the parties intend and do hereby create a
landlord/tenant relationship, and this Lease 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.
17. Amendments. No changes or modifications to this Lease
Agreement shall be made, nor any provision waived, unless in
AG2730.016. abf
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writing signed by a person authorized to sign agreements on behalf
of each party. This Lease Agreement supersedes all previous
agreements between the parties.
18. General Provisions.
A. Invalidity. If any clause or provision of this
Lease Agreement is illegal, invalid or unenforceable under present
or future law effective during the term of this Lease Agreement,
then and in that event, the remainder of this Lease Agreement shall
not be affected thereby, and in lieu of each such clause or
provision, shall be added automatically as part of this Lease, a
clause or provision as similar in terms to such illegal, invalid,
or unenforceable clause or provision as may be possible and be
legal, valid, and enforceable.
B. Publication. Lessee agrees to pay the costs of
newspaper publication of this Lease Agreement and related ordinance
as required by the City Charter.
C. Terms. This Lease Agreement is made and accepted
subject to all ad valorem taxes that may be levied and assessed on
Lessee's personal property or on the Property and/or its
Improvements during the term of this Lease Agreement, the payment
of which is solely the responsibility of Lessee.
D. Utilities. Lessee shall provide, at its own expense
janitorial, electrical, phone and security services, and similar
services during the lease period. Lessor shall provide water,
wastewater and solid waste services and payment of such is to be
considered as part of the monthly lease payment made by Lessee.
AG2730.016.abf
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E. No Waiver. No assent, express or implied, by the
City to any breach of any of Lessee's covenants, agreements,
conditions or terms hereof shall be deemed or taken to be a waiver
of any succeeding breach of any covenant, agreement, condition or
term hereof.
F. Notices: All notices authorized or required under
this lease and all demands made pursuant to it shall be deemed
sufficiently given when posted by certified mail, postage prepaid,
return receipt requested, with the United States Postal Service
addressed to the party to whom directed at the address herein set
forth or at such other address as may be from time to time
designated in writing by the party changing such address:
LESSOR: City of Corpus Christi
P.O. Box 9277
Corpus Christi, Texas 78469
Attention: City Manager
LESSEE: Bayfest, Inc.
P.O. Box 1858
Corpus Christi, Texas 78403
G. Lessee's Acknowledgment. By Lessee's execution
hereof, Lessee acknowledges that Lessee has read this Lease
Agreement and understands that this Lease Agreement is not binding
AG2730.016.abf
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on the City until properly authorized by the City Council and
executed by the City Manager of the City of Corpus Christi, Texas.
H. Nondiscrimination. Lessee will not on the grounds
of handicap, sex, race, color, or national origin, discriminate or
permit discrimination against any person or groups of persons in
any manner.
City hereby reserves the right to take such action as
the United States Government may direct to enforce this covenant.
I. No Debts. Lessee will incur no debts or obligations
on the credit of the City of Corpus Christi.
WITNESS THE HANDS of the duly authorized officers of the
parties hereto, this
day of , 1994.
ATTEST: THE CITY OF CORPUS CHRISTI
Armando Chapa Juan Garza
City Secretary City Manager
APPROVED AS TO FORM THIS
DAY OF , 1994.
JAMES R. BRAY, JR., CITY ATTORNEY
By:
Alison Gallaway
Assistant City Attorney
AG2730.016.abf
13
LESSEE
Bayfest, Inc.
By:
Printed Name:
THE STATE OF TEXAS §
COUNTY OF NUECES S
instrument was acknowledged before me on
, 1994, by Juan Garza,
of Corpus Christi, a Texas municipal
said corporation.
This
the City
behalf of
Title:
ACKNOWLEDGMENT
the day of
City Manager of
corporation, on
Notary Public, State of Texas
ACKNOWLEDGMENT
THE STATE OF TEXAS S
COUNTY OF NUECES §
This instrument was acknowledged before me on the day of
, 1994, by
(name), (title) of Bayfest, Inc.,
a Texas non-profit corporation, on behalf of said corporation.
AG2730.016.abf
Notary Public, State of Texas
14
That the foregoing ordinance was read for the first time and passed
to itq second reading on this the 14 day of _RA -L .
19 Q'f- , by the following vote:
Mary Rhodes
Dr. Jack Best
Melody Cooper
Cezar Galindo
Betty Jean Longoria
Ab
That the foregoing ordinance w s
passe finally on this the IL
19 C1+ , by the following vote:
Mary Rhodes Ctivy
Dr. Jack Best t;___
/T
Melody Cooper l/, -�}/
Cezar Galindo ftcy2
Betty Jean Longoria CLV-
PASS D AND APPROVED, this the 12
19 (A .
Edward A. Martin
Dr. David McNichols
David Noyola
Clif Moss
read for the second time and
day of j U..kci
Edward A. Martin
Dr. David McNichols
David Noyola
Clif Moss
day of
e
1
APPROVED: 61 DAY OF CAA-
JAMES R. BRAY, JR., CITY ATTORNEY
Assistant ity Attorney
\forms\044 515-
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, 19���
PUBLISHER'S AFFIDAVIT
State of Texas, } CITY OF CORPUS CHRISTI
County of Nueces } ss: AD# 43415
PO#
NOTICE OF PASSAGE OF OR-
AINANCE UTHORIj 1Pits
ON READINGCITV
MANAGER TO EXECUTE A
FIVE -NEAR LEASE AGREE-
MENT WITH BAYFEST, INC.
FOR THE USE OF THE
GRANDE-GROSSMAN
HOUSE, PARTS OF LOTS 4,
5, AND 9, BLOCK 61, BEACH
ADDITION, IN HERITAGE
PARK AS THEIR BUSINESS
OFFICES; FOR A MONTHLY
FEE OP $326; AND PROVID-
ING FON PLICATION.
The ordnance was passed
and on on first
City Council of
us Christi on
ths 1of June, 1994.
/y Armando Chapa
1+r1 Secretary
City of Corpus Christi
Before me, the undersigned, a Notary Public, this day personally
came Phyllis Smith, who being first duly sworn, according to law,
says that she is Secretary 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, Nueces, Refugio, San Patricio, Victoria, and Webb
Counties, and that the publication of NOTICE OF PASSAGE OF
ORDINANCE ON FIRST READING AUTHORIZING THE CITY MANAGER TO
EXECUTE A FIVE-YEAR LEASE AGREEMENT WITH which the annexed is a
true copy, was published in the Corpus Christi Caller -Times on
the 19th day of June, 1994.
One Time(s)
$36.80
Subscribed and sworn to before me this 27th day
of June, 1994.
c.
Notd(ry iblic, Nueces Coun , Texas
PUBLISHER'S AFFIDAVIT
State of Texas, } CITY OF CORPUS CHRISTI
County of Nueces } ss: AD# 46574
PO#
Before me, the undersigned, a Notary Public, this day personally
'came Phyllis Smith, who being first duly sworn, according to
law, says that she is Secretary 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, Nueces, Refugio, San Patricio, Victoria, and
Webb Counties, and that the publication of NOTICE OF PASSAGE OF
ORDINANCE NO. 021988 AUTHORIZING THE CITY MANAGER TO EXECUTE A
FIVE-YEAR LEASE AGREEMENT WITH BAYFEST, INC. which the annexed is
a true copy, was published in the Corpus Christi Caller -Times
on the 17th day(s) of July, 1994.
One Time(s)
_$36.80
j,
C`.;
dett
Lxl
G: t;
Lic'
62 -it e
Subscribed and sworn to before me this 2nd day
of August, 1994.
e:cy„w
tary Public,
11677
x.;1994
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to of
ueces County,
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Sunday, July 17, 1994 Corpus Christi Caller -Times
NDTIE OF PASSAC tJ
ORDINANCE NO. 1
AUTHORIZING pe 02111111
CITY
MANAGER TO EXECUTE -•A
FIVE-YEAR LEASE AGREE-
MENT WITH BAYFEST. PC.
FOR THE USE OF THE
GRANDE-GROSSMAN
HOUSE, PARTS OF LOTS -4.
5. AND 9, BLOCK 61. BEACH
ADDITION, IN HERITAGE
PARK AS THEIR BUSINESS
OFFICES; FOR A MONTHLY
FEE OF $325; AND PROVE
ING FOR PUBLICATION. , -
The ordinance was passed
and approved by the City
Council of the City of
Corpus Christi on On lath
day of July. 19114. ...
/s/ Armando **' S
of CChu
usi