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HomeMy WebLinkAboutR-98-0901J-98-960 9/15/98 RESOLUTION NO. 9 O— 901 A RESOLUTION, WITH ATTACHMENTS, AUTHORIZING THE CITY MANAGER TO EXECUTE A LEASE AGREEMENT ("AGREEMENT"), IN SUBSTANTIALLY THE ATTACHED FORM, WITH GROVITES UNITED TO SURVIVE, INC. ("GUTS"), FOR USE BY THE CITY OF THE PROPERTY, WITH IMPROVEMENTS, INCLUDING A BUILDING CONTAINING APPROXIMATELY 3,197 SQUARE FEET, LOCATED AT 3686 GRAND AVENUE, MIAMI, FLORIDA, AS A RECREATIONAL FACILITY FOR A TERM OF ONE (1) YEAR, COMMENCING OCTOBER 1, 1998 AND TERMINATING SEPTEMBER 30, 1999, FOR A MONTHLY FEE OF $887.29, WITH THE OPTION TO EXTEND SAID LEASE FOR THREE (3) SUCCESSIVE ONE (1) YEAR PERIODS; ALLOCATING FUNDS THEREFOR FROM THE LAW ENFORCEMENT TRUST FUND, PROJECT NOS. 690001, 690002 AND 690003, SUCH EXPENDITURES HAVING BEEN CERTIFIED BY THE CHIEF OF POLICE AS COMPLYING WITH FLORIDA STATUTE, SECTION 932.7055, AS AMENDED. WHEREAS, on October 1, 1994, the City of Miami and Grovites United to Survive, Inc. (GUTS) entered into a Lease Agreement for the property located at 3686 Grand Avenue, to be used by the City for the operation of a supervised recreational facility to train, coach and teach the youth of Coconut Grove the sport of boxing; and WHEREAS, said Lease Agreement expires September 30, 1998, and the City desires to continue to operate said boxing program at this facility; and WHEREAS, GUTS desires to enter into a new Lease Agreement IATTACNMENT (S)I CONTAINED SEP 2 S M8 R..ek no. with the City of Miami for the City's continued use of the facility for a period of one (1) year, commencing October 1, 1998 and terminating on September 30, 1999, at a first -year monthly fee of $887.29, with the option to extend the Lease for three (3) successive one (1) year periods; and WHEREAS, funds are available from the Law Enforcement Trust Fund, Project Nos. 69001, 69002 and 69003; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. Section 2. The City Manager is hereby authorizedY to execute a Lease Agreement ("Agreement"), in substantially the attached form, with Grovites United to Survive, Inc. ("GUTS"), for the use by the City of the property, with improvements, including a building containing approximately 3,197 square feet, located at 3686 Grand Avenue, Miami, Florida, as a recreational facility, for a period of one (1) year, commencing October 1, 1998 and terminating September 30, 1999, for a monthly fee of $887.29, with the option to extend said lease for three (3) successive one (1) year periods, conditioned upon: (1) the same terms and conditions, and (2) any monthly fee increase being equal to any increase in the Consumer Price Index for the l� The herein authorization is further subject to compliance with all requirements that may be imposed by the City Attorney, including but not limited to those prescribed by applicable City Charter and Code provisions. 2 98- 9() previous year, with funds therefor hereby allocated from the Law Enforcement Trust Fund, Project Nos. 69001, 69002 and 69003, such expenditures having been certified by the Chief of Police as complying with Florida Statute, Section 932.7005, as amended, and with terms and conditions as more particularly set forth in the Agreement. Section 3. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.Z/ PASSED AND ADOPTED this 28th day of September , 1998. JOE CAROLLO, MAYOR In accordance with Miami Code Sec. 2-36, since the Mayor did not indicate approval of this legislation by signing it in the designated place provided, said legislation now becomes effective with the elapse of tma'L ficon action regarding same, without the Mayor exATTEST:erk WALTER J. FOEMAN CITY CLERK AND CORRECTNESS:tj 908:CSK:kC If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. 3 98- 9U1 LEASE AGREEMENT This Lease Agreement (the "Lease Agreement" or "Lease") is made and entered into at Miami, Dade County, Florida, the day of . 1998, by and between Grovites United to Survive, Inc., a Florida Corporation hereinafter called, "Lessor", and the City of Miami, a municipal corporation of the State of Florida, hereinafter called "Lessee", the terms "Lessor" and "Lessee" being intended to include the successors and assigns of the original parties and the heirs, legal repre- sentatives, successors and assigns of the respective persons who from time to time are lessor and lessee, wherever the context of this Lease so requires or admits. Witnesseth That the Lessor, for and in consideration of the rents herein reserved to be paid by the Lessee, for and in consideration of the covenants to be kept and performed by the Lessee does hereby lease, let and demise unto the Lessee, the property with improvements, including a building containing approximately 3,197 s.f., located at 3686 Grand Avenue, Miami, Florida legally described as Lot A of FROW HOMESTEAD, as recorded in Plat Book B, Page 106 of the Public Records of Dade County, Florida (the "Premises"). 1. ACCEPTANCE OF DEMISE BY LESSEE: The Lessee, in consideration of the demise of said Premises by the Lessor, and for the further considerations herein set out, has rented, leased and hired, and does hereby rent, lease and hire the said Premises from the Lessor, on the terms and conditions hereinafter stated. 2. DURATION OF TERM: The Lease Term and duration of this Lease shall be for a period of One (1) year (the "Lease Term" or Term"), commencing October 1, 1998 (the "Commencement Date") and terminating on September 30, 1999. 3. AMOUNT OF RENT AND MANNER OF PAYMENT: A) The Lessee shall pay unto the Lessor for the Term of this Lease the total amount of $887.29/month (the "Rent"). The term "Rent" more specifically refers to all rent due to Lessor by Lessee inclusive of base rent, property insurance, real estate taxes, maintenance, repairs, administrative fees, and all other expenses related to the rental of the Premises, with the exclusion of janitorial services. 98 - 901 4. B) The monthly rent shall be payable, in advance, on the first day of each month, without notice. C) Payments are to be made payable to: Grovites United to Survive 3571 Grand Avenue Miami, FL 33133 A) Provided no default then exists, or if a default does exist, Lessee has received Notice of such default as provided herein, has commenced the curing of said default and thereafter is diligently prosecuting such cure to completion, Lessee is hereby granted options to renew this Lease for three (3) successive terms of one year each, upon the same terms and conditions set forth in this Lease, except Rent which shall be adjusted as provided below. Said options to be exercised by the City Manager on behalf of Lessee giving Lessor Notice of its election to extend the term of this Lease. Upon the Lessee exercising its option, the Lease Term shall be deemed to include the option period. B) Lessee agrees that, as provided for below, the Rent for the option periods shall be increased on the tat day of each lease year (hereinafter "Anniversary Date"), by any increase during the prior year in the index known as the "Consumer Price Index, All Urban Consumers, All Items, Miami - Ft. Lauderdale, Florida, Base Year 1982-84=100" (hereinafter the "CPI"). Said adjustment shall be hereinafter referred to as the "CPI Escalation". The CPI Escalation shall be equal to Rent in effect on the Commencement Date plus the product of that Rent multiplied by the "CPI Percentage" (as defined below). The CPI Percentage shall equal the fraction (i) whose numerator equals the total of (a) the monthly Index published in June immediately prior to the Anniversary Date (or the nearest reported previous month), minus (b) the monthly Index of 160.2 published in June, 1998, and (ii) whose denominator is the same monthly Index as (b) above. If the Index is discontinued with no successor Index, Lessor and Lessee shall select a comparable index. 98- 901 5. LESSEE'S SUBORDINATION TO MORTGAGE: It is specifically understood and agreed by and between the Lessor and the Lessee that the Lessor may, from time to time, secure a construction and/or first mortgage on the Premises from a bank, savings and loan association, insurance company or other recognized lending institution; and that this Lease is and shall be subordinate to the lien of said construction and/or first mortgage; and the Lessee agrees that it will execute such subordination or other documents or agreements as may be requested or required by such lending institution, provided however, that the mortgage and/or subordination agreement, as the lending institution may direct, shall contain a provision which states, in effect, that the Lessee shall not be disturbed in its possession and occupancy of the Premises during the Term of this Lease, notwithstanding any such mortgage or mortgages, provided that the Lessee shall comply with and perform its obligations hereunder. 6. USE: A) The Lessee shall use and occupy the Premises for the purpose of providing a recreational facility. It is, however, agreed that in the event the Lessee shall, in its discretion deem it desirable, the Premises may be used for any other legitimate and lawful business purpose. B) That Lessee will not occupy or use said Premises, nor permit the same to be occupied or used for any business which is unlawful. That it will comply with all lawful requirements of the Board of Health, Police Department, Fire Department, Municipal, County, State and Federal authorities respecting the manner in which it uses the Premises. C) Lessee shall not make any change to the exterior and/or interior portion of the Premises without the express written consent of the Lessor, which consent shall not be unreasonably withheld nor delayed beyond five (5) business days from receipt of Lessee's request, and particularly the Lessee will not cause anything to be done which may impair the over-all appearance of the Premises. 7. CONDITION OF PREMISES AT TERMINATION: Upon the expiration or earlier termination of the Lease, Lessee will quit and surrender the Premises in a good and substantial state of repair, reasonable wear and tear excepted. However, Lessee shall not be obligated to repair any damage which Lessor is required to repair under Article 16(B). 98- 9i1 S. HOLD OVER: In the absence of any written agreement to the contrary, if Lessee should remain in occupancy of the Premises after the expiration of the Lease Term, it shall so remain as a tenant from month -to -month and the Rent shall be the same Rent as the last in effect. All provisions of this lease applicable to such tenancy shall remain in full force and effect. 9. REPAIRS: A) The Lessor, at its sole cost, will keep the Premises and the improvements placed therein in a good state of repair, and it will be responsible for all repairs including, but not limited to, the painting, maintenance and repairs to the interior of the Premises including all windows, doors and openings, all electrical, light bulbs and ballasts, plumbing, fixtures and other systems installed within the Premises. However, any repairs necessitated by the negligence or willful misconduct of Lessee or Lessee's agent, or repairs necessitated for above normal wear and tear will be repaired by Lessor and the Lessor shall have the right to recoup the cost of such repairs by showing Lessee evidence of the Lessee's negligence or willful misconduct or above normal wear and tear. It is further intended that the Lessor, at its sole cost, will maintain the Premises including, but not limited to, the exterior masonry of the Premises, existing rough plumbing, electrical service, and the roof. B) In order to minimize any disruption to Lessee's use of the Premises, Lessor shall notify Lessee no less than 24 hours prior to the commencement of any repair. Upon receiving Lessee's consent, which consent shall not be unreasonably withheld, Lessor may construct, repair or complete any work he deems necessary to maintain the integrity of the Premises. Should any of the Premises be unusable to Lessee as a result of Lessor's repairs, the Lessee shall receive a rent abatement for the period of time such repairs are undertaken. 10. UTILITIES: Lessee shall pay for all water, gas, electricity, telephone and other utilities serving the Premises. 11. COVENANTS OF THE LESSEE: A) The Lessee hereby covenants and agrees with the Lessor as follows: 1) That the Lessee takes all risk of any damage to Lessee's property that may by reason of water or the bursting or leaking of any pipes 4 Qg_ 901 or waste water about said Premises, or fire, or hurricane, flooding or other acts of God, or from any cause whatsoever, including loss or damage as a result of thefts, except for losses or damages caused by the Lessor's negligence. 2) The Lessee is tax exempt, and shall provide upon request a copy of such exemption certificate to the Lessor. B) The Lessee shall pay for all janitorial services and supplies for the Premises. 12. COVENANTS OF THE LESSOR: The Lessor hereby covenants and agrees with the Lessee as follows: A) That Lessor is, at the time of the execution of these presents, the sole owner in fee simple of the Premises herein above described and that it has good and marketable title, and the full right to lease the same for the term aforesaid. B) That Lessor will put the Lessee in actual possession of the Premises on the Commencement Date. C) That Lessor will keep the Premises free and clear of any and all liens on account of any construction, repair, alterations or improvements which Lessor may be obligated to make or perform under this Lease. Lessor shall keep any and all mortgage payments current and in good standing. D) Lessor shall pay, prior to delinquency, real estate taxes and assessments which may be levied or assessed upon the Premises improvements subsequent to the Commencement Date. E) The Lessor further covenants that Lessor will keep the Premises, interior and exterior, in good repair. 13. QUIET ENJOYMENT: Lessee or its sublessee, on payment of the rent herein provided and performance of its obligations, hereunder, shall and may peacefully and quietly have, hold, and enjoy the Premises for the term hereof or any extension or renewal thereof with all rights and privileges and for the use herein provided. Without limiting any of its rights, Lessee may terminate and cancel this Lease upon ten (10) days Notice to Lessor in the event that enjoyment or use of the Premises is prohibited contrary to the previous provisions. 98- 901 14. LESSOR'S INSURANCE: That the Lessor will, during the Lease Term, and any extensions thereof, and at its own expense, carry fire and extended coverage insurance on the completed real estate improvements of the Premises to the full insurable value. 15. INDEMNIFICATION: Lessor agrees to indemnify, defend and hold harmless Lessee, its subtenants and assignees, from and against any and all debts, liens, claims, causes of action, administrative orders and notices, costs (including, without limitation, response and/or remedial costs), personal injuries, losses, damages, liabilities, demands, interest, fines, penalties and expenses, including reasonable attorney's fees and expenses, consultants' fees and expenses, court costs and all other out of pocket expenses, suffered or incurred by Lessee or its subtenants and assignees as a result of: A) the breach of any of the representation and warranties set forth herein; and B) any occurrence, matter, condition, act or omission involving Environmental Laws or Hazardous Materials which existed on or arose prior to Lessee's occupancy and which failed to comply with the Environmental Laws in effect as of that date or any existing common law theory based on nuisance or strict liability in existence as of that date, regardless of whether or not Lessor had knowledge of same as of that date. If Lessee's use and occupancy is materially interfered with as a result of any of the above for which Lessor is responsible under this section, Lessee, in addition to any other available remedy, shall be entitled to an abatement of Rent. 16. ADDITIONAL MUTUAL COVENANTS: The following stipulations and agreements are expressly understood by both the Lessor and the Lessee and they do hereby agree to abide by them: A) That in the event the Lessor shall fail to make the payments on any mortgages, or taxes or other payments on the Premises which Lessor is required to pay, the Lessee may, but shall not be required to, make such mortgage or tax payments or such other payments or do such acts and things as may be necessary to keep the mortgage or taxes on the Premises from being in default, and may deduct the cost thereof from the next ensuing rentals due under this Lease. 6 98- 901 B) In the event improvements in the Premises shall be partially damaged by fire or other casualty but not rendered unrentable, the same shall be repaired with due diligence by the Lessor, and at Lessor's expense. If the Premises shall be damaged by fire, the elements or unavoidable casualty, leaving more than 60% of the Premises usable for Lessee's purposes, and rendering the Premises unfit for occupancy, the Lessor and Lessee shall both have the option of terminating this lease within thirty (30) days from the date of the casualty by providing Notice to the other party. Provided that the Lessor elects to rebuild the Premises, the Lessor shall proceed with such construction and complete same with all reasonable diligence. In the event the Lessor elects not to reconstruct, then and in that event the Lease shall be deemed terminated. If the Premises are rendered untenantable, or Lessee is unable to use a portion of the Premises due to repairs, then and in that event the Rent during the period that the Premises are in said condition shall be reduced in direct proportion to that portion of the Premises which is, in fact, untenantable or under repair. Q The covenants and agreements contained in this Lease are interdepen- dent and are binding on the parties hereto, their successors and assigns. This Lease has been prepared in several counterparts, each of which said counterpart, when executed, shall be deemed to be an original hereof. D) If Lessee shall hereafter install, at its expense, any shelving, lighting and other fixtures, unit heaters, portable air conditioning units, portable partitions or any trade fixtures, or if Lessee shall hereafter install or apply any advertising signs or other standard identifications of Lessee, any article so installed or any identification so applied shall be the property of the Lessee, which Lessee may remove at the termination of this Lease, provided that in such removal Lessee shall repair any damage occasioned to the Premises, in good workman -like manner. The Lessee has the right to install telecommunication services and equipment. The Lessee shall not remove any fixtures, equipment, or additions which are normally considered to affixed to the realty such as, but not limited to, electrical conduit and wiring, panel or circuit boxes, terminal boxes, partition walls paneling, central air conditioning and ducts, plumbing fixtures, etc. E) Each party represents and warrants that it dealt with no broker in connection with this transaction and agrees to indemnify the other party against, and hold it harmless from all liabilities arising from claims of any broker who alleges the right to commission based upon having dealt with said party (including, without limitation, the reasonable counsel fees in connection therewith). 17. PROVISIONS OF DEFAULT: A) By Lessee: If the Lessee defaults in any rent payment required by this Lease and such default continues for thirty (30) days after receipt of Notice thereof by the Lessee, or if the Lessee defaults in any of its other covenants, and within a period of forty-five (45) days after receipt of Notice specifying such default by the Lessee, has not cured the default or defaults, or if they cannot reasonably be cured within this period, has not yet begun to cure such default, the Lessor may at its option, but subject to other provisions of this Lease, terminate this Lease. In the event of such termination, the Lessee is responsible for the payment of rental installments accrued and unpaid to the date of termination. Thereafter, Lessee shall have no further obligations to make rental payments hereunder. B) By Lessor: Should the Lessor default in the payment of any obligation under any mortgage, deed of trust, judgment, assessment, tax or other encumbrance affecting the Premises, or fail to perform any obligation specified under this Lease, Lessee shall have the right but shall not be obligated to pay or discharge any such obligation. Should Lessee elect to pay or discharge any such obligation, Lessor shall, within ten (10) calendar days from the date of Lessee's written demand, reimburse Lessee in the full amount thereof together with Lessee's expense incurred in connection therewith, including but not limited to reasonable attorney's fees and interest from the date of Lessee's disbursement. In the event Lessor fails to reimburse the monies and costs expended by and accrued for Lessee, Lessee shall have the right to deduct from rent(s) thereafter due and payable under this Lease all amounts that have been so paid by, or accruing for Lessee. Notwithstanding anything set forth within this Lease, in the event of Lessor's default, Lessee shall be entitled to pursue any and all remedies available to it at law or equity, including but not limited to the right of Specific Performance. 18. NOTICES: All notices which may be given pursuant to this Lease shall be in writing and shall be given by certified mail, return receipt requested, hand delivery, or courier, ("Notice") addressed to the parties at their respective addresses indicated below or as the same may be changed in writing from time to time: 98 - 901 19. 20. Notice to Lessor: President Grovites United to Survive 3571 Grand Avenue Miami, FL 33133 Notice to Lessee: City of Miami City Manager 444 SW 2 Avenue, loth Floor Miami, FL 33130 and a copy to City of Miami Office of Asset Management 444 SW 2 Avenue, 3rd Floor Miami, FL 33130 If Notice is given by hand delivery or courier, Notice shall be deemed served on the date of such delivery. If the Notice is sent via certified mail, Notice shall be deemed served five (5) business days after the date the Notice is deposited with the U.S. Post Office. LESSEE'S RIGHT TO TERMINATE: Separate and apart from all other rights granted to Lessee to terminate this Lease, the Lessee shall have the right at any time to terminate this Lease by giving the Lessor at least ninety (90) days Notice. Upon any such termination, this Lease shall terminate as though the termination were the date originally fixed as the end of the term. FORCE MAJEURE: In the event that Lessor or Lessee shall be delayed, hindered in, or prevented from the performance of any act required hereunder by reason of strikes, lockouts, inability to procure materials, failure of power, restrictive governmental laws or regulations, riots, insurrection, default of the other party, or other reason beyond their control, the prevented party shall provide Notice to the other party, and the performance of such act shall be excused for the period of the delay and the period for the performance of any such act shall be extended for a period equivalent to the period of such delay. 21. ENVIRONMENTAL: A) Lessor represents and warrants to Lessee that: 9 98- 901 1) no Hazardous Materials (as defined below) have been located on the Premises or have been released into the environment, or discharged, placed or disposed of at, on or under the Premises; 2) no underground storage tanks have been or are located on the Premises; 3) the Premises has never been used as a dump for any Hazardous Materials (as defined below); and 4) the Premises and its prior uses comply with and at all times have complied with, Environmental Laws (as defined below). a) The term "Hazardous Materials" shall mean any substance, material, waste gas, or particulate matter which at the time of the execution of the Lease of any time thereafter is regulated by any local governmental authority, the State in which the Premises is located, or the United States Government, including but not limited to, any material or substance which is: (i) defined as a "hazardous material", "hazardous substance", "extremely hazardous waste", or "restricted hazardous waste" under any provision of State Law; (ii) petroleum; (iii) asbestos (iv) polychlorinated biphenyl; (v) radioactive material; (vi) designated as a "hazardous substance" pursuant to Section 311 of the Clean Water Act, 33 U.S.C. Sec. 1251 et seg. (33 U.S.C. Sec. 1371); (vii) defined as a "hazardous waste" pursuant to Section 1004 of the Resource Conservation and Recovery Act, 42 U.S.C. Sec. 6901 et seg. (42 U.S.C. Sec. 6903); or (viii) defined as a "hazardous substance" pursuant to Section 101 of the Comprehensive Environmental Response, Compensation and Liability Act 42 U.S.C. Sec. 9601 et seg. (42 U.S.C. Sec. 9601). b) The term "Environmental Laws" shall mean all statutes specifically described in the foregoing sentence and all federal, state, and local governmental health and safety statutes, ordinances, codes, rules, regulations, orders and decrees regulating to or imposing liability or standard concerning or in connection with Hazardous Materials. 10 98- 901 22. APPROVAL BY THE OVERSIGHT BOARD: The State of Florida has appointed an Emergency Financial Oversight Board (the "Oversight Board") which is empowered to review and approve all pending City of Miami contracts. As a result, contracts shall not be binding on the Lessee until such time as they have been approved by the Oversight Board. Execution of this Lease Agreement by the City Manager shall constitute evidence of its approval by the Oversight Board. 23. MISCELLANEOUS: A) This Lease may be amended, modified and changed only by written instrument signed by the City Manager and the Lessor. B) This Lease shall be construed according to the laws of the state in which the Premises are located. C) Should any portion of this Lease be declared invalid and enforceable, then such portion shall be deemed to be severable from this Lease and shall not affect the remainder thereof. D) It is expressly understood that this Lease contains all terms, covenants, conditions and agreements between the parties hereto relating to the subject matter of this Lease, and that no prior agreements or understandings, either oral or written, pertaining to the same shall be valid or of any force and effect, and that the terms, covenants, conditions and provisions of this Lease cannot be altered, changed, modified or added to except in writing by all parties hereto. E) Should any party or parties hereto institute any action or proceeding in Court to enforce any provision or provisions hereof, or for damages by reason of any default under this Lease, or for a declaration of such party's or parties' rights or obligations hereunder, or for any other judicial remedies, the Court may adjudge to be reasonable attorney's fees for the services rendered the party or parties prevailing in any such action or proceeding. F) Lessor or Lessee's failure to take advantage of any default hereunder, or breach of any term, covenant, condition or agreement of this Lease on the part of Lessee or Lessor to be performed shall not be (or be construed to be) a waiver thereof, nor shall any custom or practice which may grow between the parties in the course of administering this Lease be construed to waive or to lessen the right of Lessor or Lessee to insist upon the performance by Lessee or Lessor of any term, covenant, condition or agreement hereof, or to exercise any rights given by either of then on account of any such default or breach. Waiver of a particular default 11 98- 901 under or breach of any term, covenant, condition or agreement of this Lease, or any leniency shown by Lessor or Lessee in respect thereto, shall not be construed as or constitute a waiver of any other or subsequent defaults under this Lease, or a waiver of the right of either party to proceed against the other for the same or any other subsequent default under, or breach of any other term, covenant, condition or agreement of this Lease. G) Lessor represents that the Premises are not currently in violation of any building code, environmental regulation or other governmental ordinance or regulation. Lessor further warrants and represents that it has received no notice of any such violation. IT) Lessor hereby grants Lessee an easement for ingress/egress, access, parking and for driveway purpose, for the Premises. n Lessor hereby represents and warrants to Lessee that the drinking water at the Premises is available and is safe, free of all contaminants and harmful chemicals. IQ Lessor hereby represents and warrants to Lessee that there are no rats, rodents, termites, insects, or pests of any kind within the Premises. Should Lessee evidence anything the to contrary, Lessor shall immediately rectify the situation by employing a pest extermination contractor, at Lessor's sole cost and expense, at such reasonable intervals as to keep the Premises free from such pests. L) This Lease Agreement is the result of negotiations between the parties and has been typed/printed by one party for the convenience of both parties, and the parties covenant that this Lease Agreement shall not be construed in favor of or against either of the parties. In Witness Whereof, the parties hereto have hereunto set their hands and seals on the day and year first above written. Lessor: Walter Green, President, Grovites United to Survive, Inc. Witness: (as to Lessor) Date Dated and executed by the City as of , 1998 12 98- 901 ATTEST: Lo Walter J. Foeman, City Clerk APPROVED AS TO INSURANCE REQUIREMENTS: Mario Soldevilla Risk Management Administrator CITY OF MIAMI, a Municipal Corporation of the State of Florida In Donald H. Warshaw City Manager APPROVED AS TO FORM AND CORRECTNESS: Alejandro Vilarello City Attorney 13 98 - 901 CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO: Honorable -Mayor and Members of the City Commission FROM La(ld- H. Warshaw CA=17 DATE: SEP 2 ' 69a8 FILE SUBJECT: Resolution Authorizing the Manager to Execute a Lease Agreement with REFERENCES Grovites United to Survive, Inc. City Manager ENCLOSURES: City Commission Agenda September 28, 1998 RECOMMENDATION: The Administration recommends that the City Commission adopt the attached Resolution, authorizing the City Manager to execute a Lease Agreement, in substantially the attached form, between the City of Miami and Grovites United to Survive, Inc. (GUTS). The Lease is for the use by the City of property with improvements, including a building containing approximately 3,197 square feet of space, located at 3686 Grand Avenue, Miami, Florida, for a term of one year at a fee of $887.29 monthly. The Resolution further authorizes the City Manager to extend the Lease for three (3) additional one year periods. BACKGROUND: The City of Miami and GUTS entered into a Lease Agreement, dated October 1, 1994, for the property located at 3686 Grand Avenue, Miami, Florida. The property is currently being utilized by the City's Police Department for the operation of a safe recreational facility to train, coach and teach the youth of Coconut Grove the sport of boxing. The Lease Agreement expires September 30, 1998 and the Police Department desires to continue to operate the boxing program from this facility. The initial monthly rental fee to be paid by the City is $887.29. This amount represents a 1.5% increase over the current rent and is consistent with the rate of increase in the Consumer Price Index (CPI) over a one year period. The highlights of the Lease Agreement are as follows: Term: One (1) year - commencing October 1, 1998 and terminating September 30, 1999 Option to Extend: Three (3) successive terms of one (1) year each Monthly Fee: $887.29 / monthly ($10,647.48 / annually) 98- 901 Adjustment to _ Monthly Fee: Rent shall be increased on the 1st day of each lease year by any increase during the prior year in the Consumer Price Index Utilities: The City shall pay for all water, gas, electricity, telephone and other utilities serving the Premises. The current officers/directors of Grovites United to Survive, Inc. are as follows: President/Director Vice President/Director Secretary/Director Director Director 0, DHW:DBI i:SA:ResoCoverMemoGUTS Walter Green Thelma A. Gibson Louise F. Roberts Marjorie Woods Kenneth L. Hamilton 98- 90-1