HomeMy WebLinkAboutR-80-0501/".
RESOLUTION NO. IU - 501
RESOLUTION APPROVING, CONFIRMING AND
RATIFYING THE LEASE AGREEMENT EXECUTED
AND DELIVERED BETWEEN THE CITY AND DADE
SAVINGS AND LOAN ASSOCIATION
BE IT RESOLVED by the Commission of the City of
Miami, Florida:
Section 1. The Commission finds and determines
that at its meeting held on June 19, 1980, the Commission
received for its consideration and approval a lease agree-
ment by and between the City and Dade Savings and Loan
Association, a State -chartered savings and loan association
("Dade Savings"), providing, among other things, for the
lease by the City to Dade Savings of certain air rights and
other rights and the granting of certain easements in, over
and about the Parking Garage, and the construction by Dade
Savings of a trade center and office building, and by
Resolution No80-43; adopted at such meeting, the Commission
authorized and directed the City Manager to sign such lease
agreement for and on behalf of the City, a fully executed
counterpart of such lease agreement having been presented
and duly considered by the Commission at that time. The
Commission further finds and determines that such lease
agreement has been signed by both parties thereto and has
been delivered, and that it is necessary or desirable that
the Commission approve, confirm and ratify such lease( t Y
of eeRxr-NT {�V�CX
agreement as executed and delivered. D-0cY,.L.,
Section 2. The Commission hereby approves,'
ratifies and confirms the execution and delivery of such
-1-
11SUP°^nT"'r
E FOLLOvV"
CITY COMMISSION
MEETING OF
JUN3 0 19dU
r-
W
lease agreement between the City and Dade Savings as executed
and delivered. The City Manager is authorized and directed
to deliver one fully executed counterpart of said lease
agreement to Dade Savings and one to the City Clerk for
filing as part of the records of the City.
Section 3. This Resolution shall be in force
immediately upon its adoption by the Commission of the City.
PASSED AND ADOPTED THIS 30th day of June, 1980.
(Official Seal)
ATTEST:
O
,�/-RALPH G. ONGIE
CITY CLERK
PREPARED AND APPROVED BY:
V.
@"
ASSISTANTICITY ATTORN Y
AS TO
+war r . a�awn�
CITY AWORNE
CORRECTNESS:
-2-
MATIRTCV A- PER
MA RI E A. FERRH
MAYOR
rksU� -%-,
_n1VV„
80-.501
a
J
eos
STATE OF FLORIDA )
COUNTY OF DADE ;
CITY OF MIAMI )
I, RALPH G. ONGIE, Clerk of the City of Miami, Florida,
and keeper of the records thereof, do hereby certify that
the attached and foregoing pages numbered 1 through 2,
inclusive, contain a true and correct copy of a resolution
adopted by the Commission of said City at a meeting held on
the 30th day of June, 1980.
SAID RESOLUTION WAS DESIGNATED RESOLUTION NO.
IN WITNESS WHEREOF, I hereunto set my hand and impress
the official seal of the City of Miami, Florida, this
day of , 1980.
RALPH G. ONGIE
CITY CLERK
MIAMI, FLORIDA
(Official Seal) By
,,SUPPOPT!`'E Deputy City Clerk
DOCUMEN ► 0
FOLLOW"
80-501
---Noun
LEASE AGREEMENT
dated as of July I, 1980
between
THE CITY OF MIAMI, FLORIDA
a municipal corporation
under the laws of the
State of Florida
and
DADE SAVINGS AND LOAN
ASSOCIATION
a state -chartered savings
and loan association
Prepared by: Marshall S. Harris, Esquire
Sth Floor
21 Northeast First Avenue
Miami, Florida 33131
P.O. Box 330708
Miami, Florida 33133
Attention: City Manager
101 E. Flagler Street
Miami, Florida 33131
Attention: President
7c
IVE
110 'ITS
80..501
TABLE OF CONTENTS
PAGE
PARTIES 1
RECITALS 1
DEMISE 2
ARTICLE 1
DEFINITIONS 3
ARTICLE 0
TERMS 7
SECTION 201 INITIAL TERM 7
SECTION 201 RENEWALS 7
ARTICLE IQ
RENT, GOVERNMENTAL CHARGES AND
OTHER SUMS PAYABLE BY DADE 9
SECTION 301 PAYMENT OF RENT, GOVERNMENTAL CHARGES
AND OTHER SUMS PAYABLE BY DADE 9
SECTION 302 RENT 9
SECTION 303 GOVERNMENTAL CHARGES 13
SECTION 304 UTILITIES 14
ARTICLE IV "SUPPORTIVE
USE DOCUMENTS 16
SECTION 401 CITY'S OBLIGATIONS FOLLOW 16
SECTION 402 DADE'S OBLIGATIONS 16
ARTICLE V
CONSTRUCTION 18
SECTION 501 PLANS AND SPECIFICATIONS 18
SECTION 502 CONSTRUCTION OF THE PARKING GARAGE 19
-i-
►` 80-501
I
SECTION 303
CONSTRUCTION OF THE TRADE CENTER
19
SECTION 504
MANNER OF WORK; COMPLIANCE WITH LAWS
AND REGULATIONS
19
SECTION 505
LIENS
20
SECTION 306
COMPLETION OF THE PARKING GARAGE
21
SECTION 507
EFFECT OF THE CITY'S FAILURE TO
COMPLETE CONSTRUCTION
22
SECTION 508
CITY'S CONTRACTOR
23
SECTION 509
DADE'S FAILURE TO COMMENCE OR
COMPLETE CONSTRUCTION
23
SECTION 510
PLANS AND CHANGES
23
ARTICLE VI
OPERATION AND MAINTENANCE
25
SECTION 601
OPERATION AND MAINTENANCE OF
TRADE CENTER
25
SECTION 602
OPERATION AND MAINTENANCE OF
PARKING GARAGE
25
SECTION 603
DRAINAGE, CLEARING SIDEWALKS
26
SECTION 604
SAFE FLOOR LOADS
26
SECTION 605
STORAGE OR USE OF FLAMMABLE MATERIALS
27
SECTION 606
DEFAULT IN OPERATION OR MAINTENANCE
27
SECTION 607
ALTERATIONS TO TRADE CENTER
28
SECTION 608
ALTERATIONS TO PARKING GARAGE
29
SECTION 609
NON-INTERFERENCE WITH PARKING GARAGE
29
SECTION 610
NON-INTERFERENCE WITH TRADE CENTER
30
ARTICLE VU
SECTION 701 MAINTENANCE OF INSURANCE
SECTION 702 RESPONSIBLE INSURANCE COMPANIES;
COPIES OF POLICIES
SECTION 703 OBTAINING INSURANCE UPON THE OTHER
PARTY'S FAILURE
SECTION 704 INDEMNITIES Its
ARTICLE Vlll
DAMAGE FOLLOW. it
SECTION 801
SECTION 802
SECTION 803
DAMAGE TO TRADE CENTER
DAMAGE TO PARKING GARAGE
ABATEMENT OF RENT
IRE
31
31
35
35
36
38
38
40
41
I
J
ARTICLE IX
CONDEMNATION 42
SECTION 901
TAKING OF TITLE
42
SECTION 902
APPORTIONMENT OF AWARDS
43
SECTION 903
TAKING FOR TEMPORARY USE
44
SECTION 904
PROSECUTION OF FIXTURE CLAIMS
43
SECTION 905
APPEARANCE IN CONDEMNATION
PROCEEDINGS
43
ARTICLE X
ASSIGNMENT. SUBLETTING. MORTGAGING 46
SECTION 1001
CONSENT REQUIRED
46
SECTION 1002
EXCEPTIONS
46
SECTION 1003
REQUIREMENTS FOR ASSIGNMENT,
OR TRANSFER
47
SECTION 1004
CONSENT NOT TO ASSIGN, SUBLET OR TRANSFER
47
SECTION 1005
NOTICE TO LEASEHOLD MORTGAGEE
48
SECTION 1006
NONDISTURBANCE
49
ARTICLE XI
URBAN DEVELOPMENT ACTION GRANT PROVISIONS 50
SECTION 1101
DEFINITIONS
SECTION 1102
ESCROW OF GRANT REVENUES
52
SECTION 1103
GRANT REVENUES APPLIED TO COSTS
52
SECTION 1104
GRANT REVENUES FOR TITLE I ACTIVITIES
52
SECTION 1105
ASSURANCE OF GOVERNMENTAL APPROVALS
52
SECTION 1106
COMPLETION OF PROJECT
52
SECTION 1107
ASSURANCES OF PROJECTED JOBS
53
SECTION 1108
MAINTAINING RECORDS AND RIGHTS TO INSPECT
53
SECTION 1109
ACCESS TO PROJECT
33
SECTION 1110
NO ASSIGNMENT OR SUCCESSION
53
SECTION 1111
SECRETARY APPROVAL OF AMENDMENTS
54
SECTION 1112
DISCLAIMER OF RELATIONSHIP
54
SECTION 1113
OTHER UDAG PROVISIONS "Sl-'nnn;RiTlN1!7
54
D
,. LLow "
i, ►80-501
a
ARTICLE XII
DEFAULT 55
SECTION 1201
EVENTS OF DEFAULT
SS
SECTION 1202
REMEDIES
36
SECTION 1203
DAMAGES
S8
SECTION 1204
WAIVER OF RIGHT OF REDEMPTION
59
SECTION 1205
RIGHTS OF LEASEHOLD MORTGAGEES
60
SECTION 1206
DEFAULTS BY THE CITY
63
ARTICLE XIII
GENERAL PROVISIONS 64
SECTION 1301
OWNERSHIP OF IMPROVEMENTS
64
SECTION 1302
COVENANT OF TITLE; QUIET ENJOYMENT
64
SECTION 1303
END OF TERM
64
SECTION 1304
HEADINGS
65
SECTION 1305
NOTICES
65
SECTION 1306
APPROVAL, CONSENTS
65
SECTION 1307
ESTOPPEL CERTIFICATE
65
SECTION 1308
SUCCESSORS AND ASSIGNS
66
SECTION 1309
MODIFICATIONS OF LEASE
66
SECTION 1310
CITY'S OBLIGATIONS
66
SECTION 1311
GOVERNING LAW
66
EXHIBITS
A Description of Land
B Description of Demised Premises
C Description of Parking Garage
D Description of Trade Center
E Allocation of Space within Trade Center
:1SUPPORI)VE
DOCUMENTS
-i FOLLOW"
PARTIES
THIS LEASE AGREEMENT made and entered into at Miami, Florida as of July
1, 1980 is between THE CITY OF MIAMI, FLORIDA, a municipal corporation under the
laws of the State of Florida, P.O. Box 330708, Miami, Florida 33133, and DADE
SAVINGS AND LOAN ASSOCIATION, a state -chartered savings and loan association,
101 E. Flagler Street, Miami, Florida 33131.
RECITALS
Pursuant to Ordinance No. 7221, adopted by the City of Miami Commission on
July 1, 1964, and the approval of the voters of the City of Miami at an election held
September 29, 1964, the bonds of The City of Miami (the "City") in the principal
amount of $4,500,000 were sold and delivered on May 6, 1969, and the proceeds of such
bonds, with other funds, have been or shall be applied to the payment of the cost of
construction of a convention center for the City, including a parking garage,
appurtenances, land and equipment and any necessary gearing, filling in, extending,
enlarging or improving the site therefor. The convention center is presently under
construction. It is located on the site bounded by a realigned Southeast Fourth Street,
Southeast Second Avenue, the Miami River and property now or formerly of Bauder
Fashion College, Inc.; the parking garage will be located on the site bounded by
Southeast Second Street, Southeast First Avenue, Southeast Third Street and property
now or formerly of Howard Johnson's, Inc.
The Commission of the City on September 13, 1979 adopted Ordinance No.
8979 which authorizes the issuance of Convention Center and Parking Garage Revenue
Bonds in an aggregate principal amount not exceeding Sixty Million Dollars
($60,000,000) for the purpose of paying, with other funds available therefor, the cost
of the Convention Center -Garage (hereinafter mentioned) and approves and authorizes
a trust indenture (the "Trust Indenture") to secure such revenue bonds. The City has
# 0
determined to complete the construction of the Convention Center and to construct a
parking garage (herein called the "Parking Garage") and a connecting walkway,
including machinery, equipment, fixtures, furniture, improved and unimproved land,
landscaping and other facilities appurtenant or incidental thereto (herein called, ir
collectively, the "Convention Center -Garage").
The City has obtained from the United States Department of Housing and
Urban Development an Urban Development Action Grant in the amount of $4,994,000,
pursuant to an agreement between such Department and the City, to construct the
Parking Garage, including support structures for a trade center office building (the
"Trade Center") to be located in the air space above the Parking Garage, which
activities are consistent with the provisions of Section 119 of the Housing and
Community Development Act of 1974, Pub. L. No 93,383, as amended and with the
Urban Development Action Grant Regulations.
The Commission of the City on June 19, 1980 and by Resolution
No. authorized and directed the City Manager, on behalf of the City, to
enter into an agreement with Dade Savings and Loan Association ("Dade"), whereby
the City will construct the Parking Garage, including the support structures and
appurtenant facilities for the Trade Center, and Dade will lease from the City the air
rights above the Parking Garage for the construction and operation of the Trade
Center.
DEMISE
For and in consideration of the rents, benefits, covenants and agreements
herein provided, reserved and contained, the City, demises and leases unto Dade, and
Dade does hire and take from the City the Demised Premises, as hereinafter defined,
and the City and Dade do mutually covenant and agree to and with each other, as
follows:
- 2-
ARTICLE I
DEFINITIONS
The terms defined in this Article (except as herein otherwise expressly
provided or unless otherwise required by the context) shall for all purposes of this
Lease, and any agreements supplemental hereto, have the following respective
m eanings:
"Appraisal" means a determination made by the appraisal firms selected
hereunder, as follows -- (i) The City and Dade shall each choose one independent
appraisal firm of nationally -recognized competence and the two firms so chosen shall
choose a third firm of comparable competence; (ii) the decision of each of said firms
shall be rendered as promptly as possible and the decision of at least two of said firms
shall be final and binding upon both the City and Dade and may be enforced by legal
proceedings. The City and Dade shall compensate the respective appraisal firm
appointed by it and the compensation of the third firm shall be borne equally by the
City and Dade.
"Architects" means such architects as Dade shall designate in connection with
the construction of the Trade Center.
"Bond Rate" means the rate of interest per annum equivalent to the net
interest cost on the City of Miami, Florida, Convention Center and Parking Garage
Revenue Bonds, dated July 1, 1980, initially issued in the amount of $60,000,000 and
any additional or refunding bonds issued under the Trust Indenture, dated as of
July 1, 1980, securing such bonds, or if none of said Bonds is then outstanding, the
rate of interest per annum equivalent to the net interest cost of the City% most recent
revenue bonds or other special obligation bonds.
"City" means The City of Miami, Florida, a municipal corporation under the
laws of the State of Floriaa, and its successors and assigns, as landlord of the Demised
Premises.
"SUPPORTIVE
-3- DOCUMENTS
FOLLOW"
"Consumer Price Index" or "Index" means the Consumer Price Index for All
Urban Consumers -All Items -for Miami, Florida published by the United States
Department of Labor, or such other comparable index which may be in effect from
time to time if said Index is unavailable.
"Dade" means Dade Savings and Loan Association, a State -chartered Savings
and Loan association, and any successor or assign as permitted by the terms of this
Lease, being as tenant of the Demised Premises.
"Demised Premises" means the air space leased hereunder by the City to Dade
for the construction and maintenance of the Trade Center, together with certain
rights and easements and subject to certain reservations, all as more particularly
described herein and in Exhibit B attached hereto and made a part hereof.
"Events of Default" means the events and circumstances described as such in
Section 1201 of this Lease.
"Excepted Premises" means the Land and space above and below the Land and
all rights in connection therewith, except for the Demised Premises and the Trade
Center.
"First Renewal Term" means the first term for which this Lease may be
renewed as provided in Section 202 hereof.
"First Rent Component" has the meaning given in Section 302 hereof.
"Governmental Charges" shall mean all real estate taxes, water and sewer
rents, rates and charges and other governmental charges, impositions and assessments
which may be charged, imposed or assessed on real or personal property or any
improvements hereon or thereto or on the owner thereof with respect to such real or
personal property or improvements, including, without limiting the generality of the
foregoing, assessments for pLblic improvements or benefits; provided, however, that
such taxes, rents, rates and other governmental charges, impositions or assessments
shall be part of a comprehensive scheme of assessment of general applicability to like
property, owners or tenants in the City.
- 4-
t
hereof.
"Initial Term" means the Initial Term of this Lease as provided in Section 201
"Land' means the land, improvements and other property located in Miami,
Dade County, Florida, more particularly described in the plat mentioned in Exhibit A
attached hereto and made a part hereof.
"Lease" means this Lease Agreement as executed and as the same may be at
any time modified, amended or supplemented pursuant to the terms hereof.
"Leasehold Mortgagee" means a holder or holders, unaffiliated with the
mortgagor, of any mortgage upon the leasehold rights of Dade in the Demised
Premises (including the trustee thereunder, if any such mortgage be in the form of a
deed of trust) to secure an issue of bonds, notes or other corporate obligations;
provided that such term shall not have any relevance under this Lease unless and until
the lessee under this Lease shall notify the City that a leasehold mortgage or deed of
trust encumbering the leasehold interest hereunder is then in force between such
lessee and a Leasehold Mortgagee.
"Occupancy" has the meaning given in Section 302 (c) hereof.
"Parking Garage" means the Parking Garage mentioned in the Recitals hereof,
including improvements and appurtenances thereto, to be constructed by the City
pursuant to Article V of this Lease, substantially as described in Exhibit C hereto,
including utilities, equipment, apparatus, machinery and fixtures of every kind and
nature whatsoever forming part of said building, improvements and appurtenances as
provided in said Exhibit C and any buildings, improvements and appurtenances now or
hereafter located upon the Excepted Premises or in replacement of the foregoing, and
shall also be deemed to include any such building, improvement and appurtenance
while in the course of construrtion and prior to its completion.
hereof.
"Parking Garage Completion Date" has the meaning given in Section 306
FOLLOW"
• "Parking Gara f Plans" has the meaning set forth 10 ction 301 hereof.
"Prime Rate" means from time to time the prime rate of interest per annum in effect
in the Borough of Manhattan, City and State of New York, at Citibank, N.A., or its
successors and assigns, as publicly announced by it, or such comparable rate as may
then be in effect at such bank.
"Qualified Space" has the meaning given in Section 301 (c) hereof.
"Rent" means the rent payable pursuant to Article III for the use and
occupancy of the Demised Premises.
"Rent Commencement Date" has the meaning given in Section 302 hereof.
"Second Renewal Term" means the final term for which this Lease may be
renewed as provided in Section 202 hereof.
"Second Rent Component" has the meaning given in Section 302 hereof.
"Term" means from time to time the Initial Term of this Lease and such
extension thereof, if any, then in effect either by the First Renewal Term alone or as
further extended by the Second Renewal Term.
"Trustee" means the trustee, or any successor trustee, designated and then
acting as Trustee under that certain Trust Indenture dated as of July 1, 1980, between
it and the City, securing the City's Convention Center and Parking Garage Revenue
Bonds.
"Trade Center" means the building and other improvements and the
appurtenances thereto, to be constructed by Dade pursuant to Article V of this Lease,
including all plant equipment, apparatus, machinery and fixtures of every kind and
nature whatsoever forming part of said building, improvements and appurtenances, and
any buildings, improvements and appurtenances now or hereafter located upon the
Demised Premises or in replacement of the foregoing, and shall be deemed to include
any such building, improvement and appurtenance while in the course of construction
and prior to its completion.
"Trade Center Plans" has the meaning set forth in Section 501 hereof.
"Trade Purposes" has the meaning given in Section 402 hereof.
_6-
1
ARTICLE 11
TERMS
Section 201 Initial Term.
The Initial Term of this Lease shall be for 35 years and shall commence on the
date of this Lease and end on July 1, 2015, unless sooner terminated pursuant to the
terms of this Lease.
Section 202 Renewals.
If Dade, not fewer than 24 months nor more than 36 months prior to the
expiration of the initial Term, shall have given to the City a written notice, in the
manner specified in Section 1305 hereof, of the election by Dade to effect a first
renewal of this Lease, and if immediately prior to the expiration of the Initial Term,
this Lease shall be in full force and effect and Dade is not in default hereunder, then
in that case upon the expiration of said Initial Term, the First Renewal Term of this
Lease shall be effective. The First Renewal Term shall be 30 years beginning at the
expiration of the Initial Term and expiring July 1, 2045. The parties to this Lease shall
continue to be subject to this Lease during the First Renewal Term to the extent of
their respective rights, privileges, powers, obligations and duties hereunder.
If Dade, not fewer than 24 months nor more than 36 months prior to the
expiration of the First Renewal Term, shall have given to the City a written notice, in
the manner specified in Section 1305 hereof, of the election by Dade to effect a
second renewal of this Lease, and if immediately prior to the expiration of the First
Renewal Term, this Lease shall be in full force and effect and Dade is not in default
hereunder, then in that case upon the expiration of the First Renewal Term, the
Second Renewal Term of this Lease shall be effective. The Second Renewal Term of
this Lease shall be for an additional term such that the aggregate of the Initial Term,
the First Renewal Term and the Second Renewal Term from the Rent Commencement
"SUPPORTIVE
DOCUMENTS
FOLLOW"
r f \ i
Date shall be 90 years. As soon as convenient after the commencement of the Second
Renewal Term, the parties to this Lease shall continue to be subject to this Lease
during the Second Renewal Term to the extent of their respective rights, privileges,
powers, obligations and duties hereunder. Dade and the City agree to join with each
other in the execution, in recordable form, of a written declaration stating the
expiration date of the Second Renewal Term.
-s-
• 1 1
ARTICLE DI
RENT, GOVERNMENTAL CHARGES and OTHER SUMS PAYABLE BY DADE
Section 301
Payment of Rent Governmental Charges and Other Sums Payable By Dade
Dade shall pay Rent, Governmental Charges and all other sums payable by
Dade pursuant to thii Lease promptly as and when the same shall become due and
payable in lawful money of the United States of America at the times, places and in
the manner as provided under applicable law or this Lease. Except as expressly
provided under applicable law or in this Lease, the amount of Rent, Governmental
Charges and all other sums payable by Dade pursuant to this Lease shall not be abated,
reduced, abrogated, waived, diminished or otherwise modified in any manner or to any
extent whatsoever.
Section 302 Rent.
(a) The Rent shall be comprised of the First Rent Component described in
subsection (b) hereof, the Second Rent Component described in subsection (c) hereof,
and the Third Rent Component, if any, described in Subsection (d).
(b) The First Rent Component shall be $150,000 per annum, subject to an
annual increase or decrease, as the case may be, as provided in this subsection W.
Beginning with the second full calendar year after the Rent Commencement Date and
for each year thereafter during the Term of this Lease, the First Rent Component
shall be increased or decreased (but shall not be decreased below $150,000.00) by
seventy percent (70%) of the result obtained by multiplying $150,000 by a fraction, the
numerator of which shall be the difference in the Consumer Price Index between the
first month of the current year (or the nearest reported previous month) and the first
month of the Base Year hereinbelow defined (or the nearest reported previous month),
adjusted on a consistent basis to the earlier of such Index dates to reflect any changes
41-9-
r 80-501 4
made by the Department of Labor in the method of determining the same occurring
prior to the later of such Index dates, and the denominator of which shall be the Index
number for the first month of the Base Year (or the nearest reported previous month).
The Base Year for purposes of this Section 301 (b) shall be the first full calendar year
after the Rent Commencement Date.
Dade shall pay monthly installments of the First Rent Component based upon
the First Rent Component, as adjusted, for the previous calendar year. The City shall
compute the actual adjustment with respect to each year after the close of the year
and the balance over or under the estimated First Rent Component for such year shall
be promptly paid to the City or credited against future Rent obligations of Dade, as
the case may be.
(c) The Second Rent Component shall increase from zero to $150,000 per
annum incrementally or in whole, upon the occurrence of one or more of the following
events, commencing with the next monthly payment of Rent due after such event or
events:
(i) the Second Rent Component small increase to $50,000
per annum upon achievement of 50% Occupancy of the
Qualified Space;
(ii) the Second Rent Component shall increase to $100,000
per annum upon achievement of 75% Occupancy of the
Qualified Space; and
(iii) the Second Rent Component shall increase to $150,000
per annum upon achievement of 90% Occupancy of the
Qualified Space; and
IM
, r ir
(iv) the Second Rent Component shall increase to $150,000
per annum commencing with the first payment of Rent
due in the fifth full calendar year after the Rent
Commencement Date, without regard to achievement
of Occupancy of the Qualified Space.
For the purposes of this Section 302(c) and Section 402 alone, (i) a percentage of
"Occupancy" of the Qualified Space means that percentage of the Qualified Space for
which tenant leases have been signed and tenants are either in occupancy or have
commenced paying rent and (ii) "Qualified Space" shall mean that amount of tenant
space in the Trade Center that remains after deducting the space reserved to or for
the benefit of Dade and that reserved for special services and facilities all as
identified on Exhibit E hereto, as the same may be modified from time to time by
agreement of the parties. Dade shall use its best efforts to promptly lease all the
Qualified Space and to report to the City monthly in writing of its progress.
The Second Rent Component shall be subject to an annual increase or
decrease, as the case may be, as provided in this subsection W. Beginning with the
sixth full calendar year following the Rent Commencement Date and for each year
thereafter during the Term of this Lease, the Second Rent Component shall be
increased or decreased (but shall not be decreased below $150,000), as the case may
be, by seventy percent (70%) of the result obtained by multiplying $150,000 by a
fraction, the numerator of which shall be the difference in the Consumer Price Index
between the first month of the current year (or the nearest reported previous month),
and the first month of the Second Base Year (or the nearest reported previous month),
adjusted on a consistent basis to the earlier of such Index dates to reflect any changes
made by the Department of Labor in the method of determining the same occurring
prior to the later of such Index dates, and the denominator of which shall be the Index
r
f
number for the first month of the Second Base Year (or the nearest reported previous
month). The Second Base Year for purposes of this Section 301(c) shall be the fifth
full calendar year after the Rent Commencement Date.
Dade shall pay estimated monthly installments of the Second Rent Component
in the manner described in Section 302(b) with adjustment after the close of the
calendar year.
(d) Should a majority of the Qualified Space for any reason not be used for
Trade Purposes in any calendar year after the fifth calendar year from the Rent
Commencement Date, Dade shall pay to the City the Third Rent Component, after the
close of each calendar year the City shall compute the Third Rent Component based
on the formula set forth below and the information provided to the City by Dade
pursuant to Section 402 and said amount, if any, shall be promptly paid to the City by
D ade.
The Third Rent Component shall be an amount equal to:
(i) the First Rent Component for the calendar year in question (as
adjusted for any increase or decrease after the close of the year) divided
by the number of square feet of space in the Trade Center reserved to or
for the benefit of Dade, as set forth in Exhibit E to this Lease,
Less
(ii) the Second Rent Component for the calendar year in question (as
adjusted for any increase or decrease after the close of the year) divided
by the number of square feet of space in the Qualfied Space,
Multiplied by
(iii) the number of square feet in the Qualified Space not being used for
Trade Purposes in the calendar year in question.
(e) Except as provided above, Dade agrees to pay the Rent in equal monthly
installments in advance on the first day of each month after the Rent Commencement
-12-
Date, as provided below, and thereafter during the Term of this Lease. Payment of
Rent shall be made to the City except that so long as any of said Revenue Bonds of the
City shall be outstanding, Rent shall be paid to the Trustee, for the benefit of the
City, at such office of the Trustee referred to in Article I hereof, or at such other El
off ire of the Trustee as the Trustee may from time to time by notice in writing
indicate to Dade. Payment of Rent shall commence upon the date (the "Rent
Commencement Date") that is the later to occur of:
(i) issuance by the appropriate local governmental authorities of all permits,
licenses or approvals necessary to enable Dade to legally commence
construction of the Trade Center; and
(ii) the first day of the thirteenth month following receipt by Dade of the
written certificate of Architects ref errred to in Section 503.
Dade agrees to diligently and promptly apply for and seek issuance of said permits,
licenses or approvals, and failure to do so shall result in the commencement of the
payment of Rent upon the occurrence of the event set forth in Item (ii) above.
As soon as may be convenient after the Rent Commencement Date, Dade and
the City agree to join with each other in the execution, in recordable form, of a
written declaration in which such date shall be stated.
If the City and Dade shall be unable to agree upon any matter related to an
increase or decrease of Rent pursuant to Section 302(b) and (c), and such matter shall
not be resolved within 60 days after notice describing the matter has been given by
one party to the other, the matter may be submitted by either party to an Appraisal.
Section 303 Governmental Charges.
(a) Payment of Governmental Charges. From the date of this Lease and
continuing for the balance of the Term of this Lease, Dade shall pay directly to the
assessing governmental body the total amount of any and all Governmental Charges
that may, during the Term of this Lease, be charged, imposed or assessed upon or
"SUPPORTIVE
_13 DOCUMENTS
FOLLOW"
r
r
against the Demised Premises and the Trade Center, within 30 days after the date any
such Governmental Charges shall be payable but before a penalty or interest
commences to accrue for non-payment thereof. If such Governmental Charges are not
separately assessed but are assessed upon or against the Land or all of the
improvements thereon, or both, Dade shall pay its fair and equitable portion of such
Governmental Charges comprising ad valorem taxes based upon the portion of the fair
market value of the Land and all improvements thereon represented by the fair value
of the Demised Premises and the Trade Center and shall pay such Governmental
Charges comprising assessments based upon such other factors as result in a fair and
equitable apportionment under applicable law. Dade may arrange with the
governmental or assessing authority for the payment in installments of any assessment
against the Demised Premises and the Trade Center or its part of any assessment
against the Land or the improvements thereon, or both, provided Dade can make
arrangements satisfactory to the City with the proper governmental authorities for
the payment in equal or substantially equal installments prior to the expiration of the
Term of this Lease of the full amount of such assessment payable by Dade. Dade shall
not be in default under this Section 303(a) if Dade fails to pay such Governmental
Charges while contesting such Governmental Charges in good faith by administrative
or legal proceedings, conducted promptly.
(b) Apportionment of Governmental Charges. Governmental Charges for
the calendar year in which this Lease commences shall be adjusted and apportioned
between the parties hereto as of the date of this Lease. Governmental Charges for
the last year of the Term of this Lease shall be adjusted and apportioned between the
parties hereto as of the date of expiration of the Term of this Lease.
Section 304 Utilities.
Unless otherwise agreed between the City and Dade in writing, Dade at its
own cost and expense, shall arrange and pay for all heat, light, water, gas and any and
-14-
r
r
all other services used on or in connection with the Demised Premises and the Trade
Center. The City shall, at its expense, provide utility, sewer, water and like
connections to the Trade Center on the Demised Premises at the street level to the
service core area of the Trade Center, as shall be set forth in the Plans and
Specifications.
l E
TS
F LL%„
v
t.
AR71CLE 1V
USE
Section 401 City's Obligations. t
The Parking Garage shall have parking facilities for at least 1450 automobiles
and the City covenants that throughout the Term of this Lease it shall use the Parking
Garage or cause the Parking Garage to be used for said purpose.
Section 402 Dade's Obligations.
Dade shall use its best efforts to cause a majority of the Qualified Space to
be used for Trade Purposes, meaning purposes related directly or indirectly to
international banking, law, finance, insurance, transportation, communications,
government, technology, trade, tourism, import and export business and other
international business and activity (" Trade Purposes"). Dade shall, on each occasion
after the fifth calendar year after the Rent Commencement Date that rentable
Qualified Space becomes vacant or shall be due to become vacant within thirty days, if
less than twenty-five percent of the Qualified Space is then used for Trade Purposes,
notify the City thereof, and thereupon the City shall have the right for a period of
thirty days after such notice to lease in the name and on behalf of, and for the benefit
of Dade such space for Trade Purposes to reputable tenants with sufficient net worth
to pay the rent thereunder, on the same terms and conditions as other occupancy
leases in the Qualified Space and at an economically feasible rental, which shall be not
less than 80% of the then current market rate for new commercial office space
tenants in the Trade Center. ^ade shall provide written reports to the City of its
marketing efforts and procedures, proposed and actual rental rates, lease negotiations
and execution of leases, tenant names and information about tenants and such other
information as the City may reasonably request to determine whether Qualified Space
has been used for Trade Purposes. Such reports shall be given monthly
-16-
until the Qualified Space reaches 90% Occupancy, as defined in Section 302, and
annually thereafter. in determining whether Qualified Space has been used for Trade
Purposes in accordance with this Section 402, the amount of the Excepted Space that
is used for Trade Purposes may be substituted for an identical amount of Qualified
Space that is not used for Trade Purposes. The City4. sole remedy for the failure of
Dade to comply with the use provisions contained in this Article 1V shall be as provided
hereinabove and in Section 302(d) of this Lease.
\i
t
ARTICLE V
CONSTRUCTION
Section 501 Plans and Specifications.
(a) Preparation and Delivery. Promptly after the execution of this Lease, and
the presentation to Dade of the plans and specifications for the Parking Garage (the
"Parking Garage Plans"), Dade shall cause the architects to develop final plans and
specifications for the Trade Center (the"Trade Center Plans"). Dade shall deliver one
copy of the Trade Center Plans to the City without expense therefor.
(b) Approval. The Trade Center Plans shall be subject to the approval of the
City. The Parking Garage Plans shall be subject to the approval of Dade provided,
however, the approval of Dade of the Parking Garage Plans shall be limited to its
determination of whether or not said Parking Garage Plans comply with the standards
for the Parking Garage set forth in Exhibit C attached hereto. If Dade disapproves the
Parking Garage Plans as not conforming with said standards and the City does not
concur with said determination by Dade, conformance of the Parking Garage Plans
with said standards shall be determined by the majority decision of three qualified
independent engineers chosen and compensated in the same manner, and whose
determination shall have the same force, as an Appraisal.
(c) Changes. Dade may propose changes or additions to the Parking Garage
Plans to change the architectural and aesthetic features thereof in order to meet the
special needs of any special design of the Trade Center or to harmonize the
appearance of the Parking Garage with the appearance of the Trade Center. If the
City determines that said changes or additions to the Parking Garage Plans are
acceptable to the City, it shall inform Dade that the City consents to such changes
and additions, provided Dade shall enter into an agreement with the City providing for
making such changes and additions in the Parking Garage Plans, as approved by the
-Is-
City, and performing the extra work involved thereby at the sole cost and expense of
Dade, and otherwise as provided in Section 310 hereof..
Section 302 Construction of the Parking Garage.
Unless prevented by events or occurences beyond its reasonable control, the
City, at its cost and expense, shall commence as promptly as possible after approval
by the City and Dade, and any Leasehold Mortgagee of the Parking Garage Plans, the
construction of, and shall thereafter diligently pursue to completion, the Parking
Garage and the facilities appurtenant to the Trade Center located within the Parking
Garage as per Exhibit C. The structural members, footings and foundations for the
Parking Garage shall be capable of supporting, the Trade Center and shall conform
with the standards therefor set forth in Exhibit C hereto attached.
Section 503 Construction of the Trade Center.
Unless prevented by events or occurrences beyond its reasonable control,
Dade, at its cost and expense, shall commence as promptly as possible but, unless so
prevented, no later than 90 days after receipt by it of written certification by the
Architects that the construction to be performed by the City pursuant to Section 302
has progressed to the extent that, Dade can begin construction of the Trade Center,
and shall thereafter diligently pursue to completion, the construction of the Trade
Center. During construction, necessary precautions for the safeguarding of the
Parking Garage and the operation of cars and tho movement of people in and about the
Parking Garage shall be taken by Dade at its expense pursuant to the conditions
specified in Section 609. It is estimated that construction of the Trade Center will
commence on November 1, 1981 and that the Trade Center will be substantially
completed on or before October 31, 1983.
Section 504 Manner of Work; Compliance With Laws and Regulations.
The work provided for in Sections 502 and 503 shall be done in good and
workmanlike manner and in accordance with the Parking Garage Plans and the Trade
"SUPPORTIVE
-19- DOCUMENTS
FOLLOW"
Center Plans and the requirements and regulations of the various departments of any
governmental authorities having jurisdiction in respect of such construction, provided
such requirements and regulations are part of a comprehensive scheme of regulations
of general applicability to like property in the City of Miami. Any such work shall be
subject to inspection and approval by the Architects. in case of the filing of a notice
of violation of any of the regulations of any governmental department in connection
with any of such work, the party to this Lease reponsible for such work, at its own cost
and expense, shall do all necessary things and work in order to cause the same to be
cancelled, and upon the completion of the work shall obtain all certificates required
f rom said department in respect thereof; provided, however that such party at its own
cost and expense, shall have the right in good faith to contest the validity or legality
of any notice of violation filed with respect to said work, and pending such contest
actively conducted by such party, the non-compliance with the requirements of such
notice shall not be deemed a default on the part of such party under this Lease;
provided, further, that such party shall have furnished to the other party indemnity or
security of an amount and kind reasonably satisfactory to the other party which shall
secure it against any loss by reason of non-compliance with the requirements of such
notice.
Section 505 Liens.
Neither the City nor Dade shall permit the commencement of construction or
the delivery to the Land of any materials under a contract or subcontract made by or
for it, unless and until an agreement or agreements in form satisfactory to the other
party shall have been entered into with the contractors, subcontractors and
materialmen providing, to the extent required by the other party and if enforceable
under applicable law, for the waiver of the right to file mechanics' or materialmen's
liens against the Land, or any part thereof, or any improvements thereon. Each party
hereto hereby agrees to indemnify and save harmless the other party hereto from all
-20-
mechanics', materialmen's or other similar liens, including conditional sales
agreements and chattel mortgages, which may arise out of or in connection with any
such contract (for work performed or material furnished thereunder) made by or for it.
In case either party hereto shall fail or neglect to satisfy or discharge or cause the
cancellation of any such lien arising under or in connection with any contract made by
or for it, by bonding, payment or otherwise, within 30 days after notice from the other
party hereto, such failure shall constitute a default under the terms of this Lease. The
party hereto not so in default may satisfy or discharge such lien, conditional sale
agreement or chattel mortgage by bonding or payment, and the cost thereof shall be
paid on demand by the other party hereto with interest thereon at the Prime Rate.
Nothing herein contained shall be deemed to prevent the party obligated to pay or
discharge any such lien from contesting the same in good faith if it shall furnish to the
other party hereto a bond of indemnity or other security of an amount and kind
satisfactory to the party to be indemnified and which will be sufficient to pay in full
the lien and all interest, penalties, costs and expenses in conection therewith. The
remedies provided in this Section shall be in addition to all other remedies provided by
law or this Lease.
Section 506 Completion of the Parking Garage.
Unless prevented by fire, lockout, strike, labor or material shortage, act of
war, enemy hostilities or other cause or casualty beyond the reasonable control of the
City, including acts, failures to act or delays caused by Dade, the City shall complete
the construction of the Parking Garage, and the appurtenant facilities for the Trade
Center to be constructed by the City within the Excepted Premises and the Parking
Garage, not later than February 1, 1982; provided, however, that the foregoing
provision relating to completion of construction by the City shall not be applicable to
work which it is not necessary from the standpoint of the construction of the Trade
Center to complete in such time, and as to such work the City shall complete it, unless
(D U IVE
-21- L`.�!iLI1�.NTS
FOLLOW
prevented by one of the causes referred to above, at such time or times as shall be
necessary in order to avoid delaying the use and occupancy of the Trade Center, but in
no event more than 6 months after the February 1, 1982 date as it may be extended to
a later date in conformity with the provisions of this Section 506. In case of failure to
complete any such construction within the applicable time specified above by reason
of any cause beyond its control, the City shall have the same completed within such
period thereafter as shall be equal to the time that the City shall have been so delayed
by any or all of said causes.
Section 507 Effect of the City% Failure to Complete Construction.
If the City, by failing to commence or to prosecute the work of construction
to be performed by it pursuant to Section 502, or by failing to complete such work as
provided in Section 506, shall prevent commencement of the construction or the use
and occupancy of the Trade Center as provided herein, and within 90 days after notice
from Dade to the City such failure shall not be completely remedied or if such failure
cannot be remedied within such period and the City fails to commence a remedy,
diligently pursue the same and give adequate assurances of such action to Dade, or if
the City for any reason shall fail to fully complete construction of the Parking Garage
by the date that is 24 months subsequent to the Parking Garage Completion Date, then
Dade may elect by notice to the City to prosecute the work of construction of the
Parking Garage so required and the City shall reimburse Dade for all their charges,
costs and expenses theretofore or thereafter paid or incurred in connection therewith,
including any and all sums paid by Dade in or for said construction and any and all
sums required to be paid by Dade for money borrowed in connection therewith,
including, but not limited to, interest, discounts, loan fees, and closing costs. If the
City has not fully completed :he construction of the Parking Garage for any reason by
the date that is 24 months subsequent to the Parking Garage Completion Date, and if
Dade has not elected to complete the construction of the Parking Garage in
-22-
M
accordance with this Section, then Dade may terminate this Lease but only by written
notice to the City given not less than 24 months nor more than 26 months subsequent
to the Parking Garage Completion Date.
Section 30E City's Contractor.
Dade acknowledges that it has received a copy of the Turnkey Design and
Development Centract By and Between the City of Miami, Florida, and Miami Center
Associates, Inc., a Florida corporation, dated as of , 1980,
which provides for the construction of the Parking Garage by said Miami Center
Associates, Inc. for and on behalf of the City.
Section 509 Dade% Failure Timely to Commence
or Complete Construction; Reimbursement of UDAG Funds.
Dade covenants and agrees that if the City is not entitled to retain any UDAG
funds agreed to be paid to the City under the Grant Agreement referred to in Article
XI of this Lease and must refund the same to the United States Department of Housing
and Urban Development or if the City loses its entitlement to said UDAG funds, in
either case as a consequence of Dade's acts or omissions with respect to the
commencement or completion of construction of the Trade Center or the Parking
Garage, Dade will reimburse the City for all of said UDAG funds (i) which the City is
required to refund to such Department and (ii) to which the City loses its entitlement.
Section 510 Plans and Changes.
The City agrees that it will cause Parking Garage Plans to be prepared for the
development of a 1450 car Parking Garage capable of having a 600,000 gross square
foot building built upon it, all in accordance with the standards set forth in Exhibit C
of this Lease. The City will deliver to Dade, not later than September 1, 1980,
structural plans for the Par King Garage, including the foundation design and the
calculations upon which such plans, specifications and design were based, and final
working drawings for the Parking Garage not later than January 3, 1981.
-23- ! ..
,' n ' ►
accordance with this Section, then Dade may terminate this Lease but only by written
notice to the City given not less than 24 months nor more than 26 months subsequent
to the Parking Garage Completion Date.
Section X)3 Cityb Contractor.
Dade acknowledges that it has received a copy of the Turnkey Design and
Development Centract By and Between the City of Miami, Florida, and Miami Center
Associates, Inc., a Florida corporation, dated as of , 1980,
which provides for the construction of the Parking Garage by said Miami Center
Associates, Inc. for and on behalf of the City.
Section 509 Dade% Failure Timely to Commence
or Complete Construction; Reimbursement of UDAG Funds.
Dade covenants and agrees that if the City is not entitled to retain any UDAG
funds agreed to be paid to the City under the Grant Agreement referred to in Article
XI of this Lease and must refund the same to the United States Department of Housing
and Urban Development or if the City loses its entitlement to said UDAG funds, in
either case as a consequence of Dade% acts or omissions with respect to the
commencement or completion of construction of the Trade Center or the Parking
Garage, Dade will reimburse the City for all of said UDAG funds (i) which the City is
required to refund to such Department and (ii) to which the City loses its entitlement.
Section 510 Plans and Changes.
The City agrees that it will cause Parking Garage Plans to be prepared for the
development of a 1450 car Parking Garage capable of having a 600,000 gross square
foot building built upon it, all in accordance with the standards set forth in Exhibit C
of this Lease. The City will deliver to Dade, not later than September 1, 1980,
structural plans for the Par King Garage, including the foundation design and the
calculations upon which such plans, specifications and design were based, and final
working drawings for the Parking Garage not later than January 3, 1981.
Dade shall have the right to notify the City of any changes or additions it
wishes to make in such Parking Garage Plans; providing that such changes and
additions will not impede the construction schedule. The City and Dade will agree in
writing respecting such changes and additions, including the price therefor, and, if
such work is to be done by others, the names of such others and the time schedule for
the completion of such work. In the event that the City and Dade cannot agree on the
price of such work, the City will cause such work to be performed and the price
thereof will be determined as provided in Section 501 (b) hereof. The funds for any
such change or addition as finally agreed upon shall be paid to the Trustee or as
otherwise directed by the City.
Dade shall deliver to the City the schematic drawings for the Trade Center
not later than April 3, 1981.
-24-
r
ARTICLE VI
OPERATION AND MAINTENANCE
Section 601 Operation and Maintenance of Trade Center.
Dade, after construction of the Trade Center and during the Term of this
Lease, at its own cost and expense, shall keep, operate and maintain the Trade Center
in good order, condition and repair, normal wear and tear and damage by fire and other
casualty or taking as provided in Articles Vill and IX hereof excepted, similar to first
class facilities in prime commercial office locations in major cities elsewhere in the
United Staten and in conformity with all requirements of the law and applicable fire
underwriting and rating regulations. Dade shall make and enforce reasonable rules and
regulations of general application for the supervision, control and use of the Trade
Center. Such rules and regulations and any amendment thereof shall not be effective
unless the same are first submitted to the City for its review and comment, but such
review and comment shall not be unreasonably withheld, qualified or delayed. Dade
shall suffer no waste or injury, and shall promptly, and in such manner, if possible, as
will not interfere with the maintenance, operation and use of the Parking Garage,
make all necessary repairs and replacements, structural or otherwise, in and to the
Trade Center. All such construction work, replacements and repairs shall be of high
quality and of the standard applicable to buildings of this type.
Section 602 Operation and Maintenance of Parking Garage.
The City, after construction of the Parking Garage and during the Term of this
Lease at its own cost and expense, shall keep, operate and maintain the Parking
Garage and all facilities therein, including those appurtenant to the Trade Center, in a
first class manner in good order, condition and repair, normal wear and tear and
damage by fire and other casualty or taking as provided in Articles Vill and IX hereof
excepted, similar to first class parking facilities in prime commercial office locations
in major cities elsewhere in the United States and in conformity with all requirements
"SUPPORTIVE
-zs- DOCUpOENTS
FOLLOW
0 r
of the law and applicable fire underwriting and rating regulations. The City shall
make and enforce reasonable rules and regulations of general application for the
supervision, control and use of the Parking Garage and such facilities therein. Such
rules and regulations and any amendment thereof shall not be effective unless the
sarne are first submitted to Dade for its review and comment, but such review and
comment shall not be unreasonably withheld, qualified or delayed. The City shall
suffer no waste or injury, and shall promptly, and in such manner as will not interfere
with the maintenance, operation and use of the Trade Center, make all necessary
repairs and replacements, structural or otherwise, in and to the Parking Garage and
such facilities therein. All such construction work, replacements and repairs shall be
of high quality and of the standard applicable to buildings of this type.
Section 603 Drainage, Clearing Sidewalks.
The Trade Center shall be kept waterproofed and drained by Dade, at its
expense, into the Trade Center's drainage system, so that no water, liquid or waste of
any character shall be permitted to drain or leak into the Parking Garage other than
through designated drainage facilities.
The City, at its cost and expense, shall keep the entrances to, and the
sidewalks, roadways and curbs fronting and abutting, the Land free and clear of
standing water and other substances and of any obstruction to the free and safe use
thereof at all times, and it will continuously maintain, and promptly repair or replace
or renew such sidewalks, roadways and curbing, as necessary.
Section 604 Safe Floor Loads.
Dade and the City will not suffer, allow or permit the loading of any floors of
respectively, the Trade Center or the Parking Garage or any portion or portions
thereof, beyond the loads which the same will safely support.
- 26-
Section 605 Storage or Use of Flammable Materials.
The City and Dade will not use or keep, or permit to be used or kept, in the
Parking Garage or in the Trade Center any oils, materials or substances of a
flammable or explosive nature except in accordance with the rules and regulations of
the Board of Fire Underwriters or those of authorized public authorities having
jurisdiction.
Section 606 Default in Operation or Maintenance.
(a) Right to Effect Compliance.
If Dade or the City (referred to in this Section 606 as the Defaulting Party), at
any time or times during the Term of this Lease, shall fail or neglect after 30 days'
notice from the other (referred to in this Section 606 as the Non -Defaulting Party) to
take such action as may be necessary to place its respective facility in compliance
with the requirements of Sections 601 through 604, the Non -Defaulting Party shall
have the right, in addition to all other rights and remedies, including those provided in
Article XII, and is hereby authorized, on not less than three days' notice, to enter into
the other's facility and every part thereof, and to make such repairs thereto or
therein, or to perform such acts in order to effect compliance with Sections 601
through 604, as may be reasonably necessary, and the cost of any and all such repairs
made by the Non -Defaulting Party as aforesaid, shall be repaid by the Defaulting
Party to the Non -Defaulting Party on demand, with interest thereon at the Prime
Rate.
(b) Right to Contest.
The Defaulting Party shall, however, have the right to contest such violation
in good faith by legal proceedings conducted promptly and at its own expense, in its
name or that of the Non-nefaulting Party, and the pendency of any such legal
proceedings, insofar as it shall suspend the effect of such violation, shall suspend the
right of the Non -Defaulting Party, as set forth in the preceding subsection (a), to enter
r nr7ll/r-
FOLLOW"
into the other facility and to make repairs or to perform other acts, but the Defaulting
Party shall furnish to the Non -Defaulting Party security of a kind and amount
satisfactory to the Non -Defaulting Party sufficient to indemnify and save harmless the
Non -Defaulting Party from loss or damage to it which may arise during such contest or
may arise from failure of the Defaulting Party to perform its obligations when the
contest is ended.
Section 607 Alterations to Trade Center.
Dade shall not, without the prior approval of the City as set forth below, make
any structural changes in the Trade Center or changes, except minor changes, in the
exterior appearance of the Trade Center or in the entrances, exits or passageways to
and from the Trade Center. The plans and specifications showing any such work shall
be submitted and subject to the approval of the City to the same extent as the Trade
Center Plans are subject to such approval pursuant to Article V. All such work shall
be done at the sole cost and expense of Dade, under the supervision of an architect or
engineer satisfactory to the City for such purpose, only in accordance with plans and
specifications first submitted to and approved by the building department of the City
of Miami and the other governmental authorities having jurisdiction thereof, and in
accordance with such rules and regulations as such governmental authorities may from
time to time make in regard thereto. The provisions of Article V shall be applicable to
all such work and also to any changes, alterations and improvements which do not
require the approval of the City except that waivers of liens need not be obtained in
advance by Dade from contractors, subcontractors or materialmen in connection with
any change, alteration or improvement if the cost of the entire amount of work to be
performed and materials to be supplied in connection with such change, alteration or
improvements does not exceed 1% of the replacement cost of the Trade Center as
most recently determined by the insurer thereof.
-28-
Section 60E Alterations to Parking Garage.
The City may make any alterations or changes in the Parking Garage;
provided, however, that the City shall obtain prior written approval of Dade and any
Leasehold Mortgagee to any alterations or changes which may or will materially affect
the appurtenant rights of Dade as described in Exhibit B hereof. Plans and
specifications for any such alterations or changes requiring the approval of Dade and
any Leasehold Mortgagee as above provided, and showing such proposed alterations and
changes, shall be submitted and subject to the approval of Dade and any Leasehold
Mortgagee to the same extent as the Parking Garage Plans are subject to such
approval pursuant to Article V. All such work shall be done at the sole cost and
expense of the City, in accordance with the plans and specifications first submitted to
and approved by the building department of the City of Miami and other governmental
authorities having jurisdiction thereof, in accordance with such rules and regulations
as such governmental authorities may from time to time make in regard thereto.
Section 609 Non-interference with Parking Garage.
The work of constructing, inspecting, maintaining, repairing, altering,
changing, improving or renewing the Trade Center, the columns, foundations,
substructures or other work, or any part thereof, or any of the work performed on the
Land by or for Dade, or any tenant of Dade or any occupant of the Trade Center or
any part thereof, shall be performed so as not in the opinion of the City (reasonably
exercised) to endanger or to interfere materially with the Parking Garage operations
or to endanger or interfere with the use of the Parking Garage by officers or
employees of the City, persons parking in the Parking Garage or any other members of
the general public in or using the Parking Garage or of people using or occupying any
other part of the Excepted Premises or entering or leaving the Land or any part
thereof; and Dade shall arrange and perform any and all work accordingly. Whenever
-29-
any work shall be likely to involve the operations or safety of the persons, property, or
traffic upon or about the Land, such proposed work shall first be submitted to the City
and shall be performed at such times and in such manner as in the reasonable
determination of the City, shall protect the safety and the rights and privileges of
such uses, occupants and other members of the general public.
Section 610 Non -Interference with Trade Center
The work of constructing, inspecting, maintaining, repairing, altering,
changing, improving or renewing the Parking Garage, the columns, foundations,
substructures or other work, or any part thereof, or any of the work performed on the
Land by or for the City, or any tenant of the City or any occupant of the Parking
Garage or any part thereof, shall be performed so as not in the opinion of Dade
(reasonably exercised) to endanger or to interfere materially with the Trade Center
operations or to endanger or interfere with the use of the Trade Center by officers or
employees of Dade, their tenants or any other members of the general public in or
using the Trade Center or of people using or occupying any other part of the Excepted
Premises or entering or leaving the Land or any part thereof; and the City shall
arrange and perform any and all work accordingly. Whenever any work shall be likely
to involve the operations or safety of the persons, property, or traffic upon or about
the Land, such proposed work shall first be submitted to Dade and shall be performed
at such times and in such manner as in the reasonable determination of Dade, shall
protect the safety and the rights and privileges of such uses, occupants and other
members of the general public.
-30-
ARTICLE VII
INSURANCE
Section 701 Maintenance of Insurance.
The City and Dade, each at its own cost and expense, shall keep and maintain
the following insurance:
(a) During the construction of the Parking Garage and Trade
Center, the City and Dade respectively shall have and keep or
cause to be had or kept, W the Parking Garage (including
construction materials on the site and those facilities appurtenant
to the Trade Center located within the Parking Garage), and 60
the Trade Center (including materials to be used in construction)
insured for the benefit of the City, Dade, the Trustee and any
Leasehold Mortgagee and other insureds, named by the City, as
their interests may appear, against all risks of accidental physical
loss or damage under an "All Risks Coverge" builders' risks
insurance policy on a "Completed Value Form" including in all
events collapse, demolition, debris removal and increased cost of
restoration endorsements, in amounts sufficient to prevent the
City or Dade, as the case may be, from becoming a co-insurer
within the terms of any policy or policies, and in any event in
amounts not less that 100% of the replacement cost of,
respectively, the Parking Garage and Trade Center,
(b) The City and Dade, at their respective expense, shall
keep Parking Garage and the Trade Center, respectively, insured
after the construction period against loss or damage as a result of
fire, boiler and machinery, bursting pipes, and those other hazards
"SUPPORTIVE
-31- DOCUMENTS
FOLLOW"
ordinarily insured against from time to time during the term of this
Lease in the City of Miami, Florida, under policies providing for
"All Risks Coverage" for physical damage or loss, to the extent
that such insurance is generally available from insurers of
recognized responsibility authorized to do business in Florida. Such
insurance shall be in an amount sufficient to prevent the City or
Dade, as the case may be, from being co-insurer and shall be
maintained in an amount not less than one hundred percent (100%)
of replacement cost of the Parking Garage or the Trade Center, as
the case may be, as determined by annual evaluation on the
anniversary date of the insurance or by inflation endorsement if
available. Each insurance policy shall contain a loss payable clause
in which the loss shall be paid to the City or Dade respectively, and
to the additional insureds, as their interests may appear.
The City and Dade agree that, with respect to any such loss or
damage which is covered by insurance then carried by them,
respectively, the one carrying such insurance and suffering such
loss releases the other of and from any and all claims with respect
thereto.
(c) Before entering upon the Excepted Premises or the
Demised Premises in connection with the construction of the
Parking Garage or the Trade Center and at all times during the
Term of this Lease, , the City and Dade, as assurance for, but not
in limitation of, the provisions in Section 704, shall provide
comprehensive general public liability insurance for premises and
operations, use and occupancy, including but not limited to,
coverage for explosion, collapse and underground ("X.C.U.")
- 32-
hazards, independent contractors, products and completed
operations, and contractual and personal injury liability, as will
protect Dade or the City, their respective officers, agents and
employees, from any and all claims and damages for personal
injury, injury to persons or death, or damage to any property of the
City or of the public, which may arise out of or in connection with
the performance of any work or operations or use or occupancy by
Dade or the City in, on or over the Parking Garage or the Trade
Center, as the case may be, or the Land or Demised Premises.
This coverage shall include, but shall not be limited to a combined
single limit of Ten Million Dollars ($10,000,000.00), for personal
injury, injury to persons or death or for property damage. The
policy covering this insurance shall be endorsed to cover the
contractual liability of the City or Dade, as the case may be, under
Section 704 to the other party hereto, and their respective
officers, agents and employees, and the other parties hereto shall
be named as an additional insured under this policy. The City and
Dade shall provide such insurance and continue it in effect at all
times throughout the Term of this Lease. Liability insurance with
respect to entrances, exits and passageways to or through the
Parking Garage and all facilities or improvements in connection
therewith, including lobbies, loading areas, mechanical areas,
roadways, ramps, stairs, moving stairs, elevators (and pits and
headhouses therefor) and any other facilities within the Parking
Garage to be used by Dade and the City shall be kept and
maintained at the expense of the City.
Ij
-rIVE
n f -33- TS
F U- LLOwy,
(d) The City and Dade shall, at all times from the date of
commencement of construction of the Parking Garage and Trade
Center, respectively, and during the Term of this Lease, provide
Workmens' Compensation Insurance protecting the City's and
Dade's respective liability under the Workmen's Compensation Act.
(e) At all times from the Rent Commencement Date and
during the Term of this Lease, Dade shall provide, as may
reasonably be required by the City, loss of rent insurance
(providing for the payment to the City for a period of up to 2 years
of an amount equal to the Rent payable under this lease, and
sprinkler leakage insurance protecting both the City and Dade and
in an amount reasonably necessary to cover any such loss.
(f) Dade and the City shall secure and maintain, during and
of ter the construction period, such comprehensive automobile
liability insurance, including non -owned and hired car coverage, as
will p-otect Dade and the City from any and ail claims and
damages for personal injury or death or property damage to any
property of the City or Dade, as the case may be, or of the public
which may arise out of or in connection with the performance of
any work or operations done by or for Dade, or the City in
connection with the development or operation of the Parking
Garage or the Trade Center during and after the construction
period whether such work or operations be by Dade, or the City, or
their respective contractors or sub -contractors, or by anyone
directly or indirectly employed by any of them. The amount of
such insurance shall be not less that a combined single limit of Ten
Million Dollars ($lo,000,000.00) for injury or death or for property
damage.
-34-
During the construction of the Parking Garage and the Trade
Center, respectively, the City shall cause its contractors and
subcontractors and Dade shall cause its contractors and
subcontractors to provide and keep in force the insurance set forth
in subsections (c) and (d) above.
Section 702 Responsible Insurance Companies; Copies of PoUcies.
All insurance required to be carried hereunder shall be covered by a policy or
policies with insurers of recognized responsibility authorized to do business in the
State of Florida. A blanket policy additionally insuring other property or any of the
parties hereto or insuring the interests of all the parties hereto may be acceptable
provided the cost thereof can be properly apportioned. Such policies may provide for
deductibles not to exceed lib of the replacement cost of the respective improvements
as most recently determined by the insurers thereof. Each party will deliver to the
other original, duplicate original or certified copies of all policies of insurance
required under Section 701. Each party will furnish to the other evidence of payment
of premiums on all the above policies; such policies shall provide that they may not be
cancelled or modified without the consent of the City, Dade, the Trustee and any
Leasehold Mortgagee except that cancellation for non-payment of premium may be
made after giving not less than 10 days written notice thereof to the City, Dade, the
Trustee and any Leasehold Mortgagee; and such policies shall contain a standard first
mortgage endorsement substantially equivalent to the New York standard mortgagee
cl au se.
Section 703 Obtaining Insurance Upon the Other Party's Failure.
If either party should fail to procure any insurance required to be maintained
hereunder, or to pay the premiums thereon, the other party may, but shall not be
required to, procure the same and pay such premiums and, if so procured or paid, the
cost thereof shall be due and payable to such procuring party by the other party on
demand with interest at the Prime Rate.
+r VE
Section 704 Indemnities.
The City and Dade shall at all times indemnify and save harmless, or cause to
be indemnified and saved harmless, Dade or the City, respectively, and their
respective officers, agents and employees, from all loss, damage, expense, claims and
actions which they or any of them may suffer or sustain or which may be asserted or
instituted against them or any of them growing directly or indirectly out of loss of life
or damage or injury to persons whomsoever or property to whomsoever belonging,
occuring during and in connection with:
(i) the work of the City or Dade, respectively, and their
respective contractors and subcontractors, and their respective
officers, agents and employees of erecting, constructing,
inspecting, repairing, changing, improving, renewing, rebuilding,
altering or maintaining, both initially and from time to time
throughout the Term of this Lease, the Parking Garage and the
Trade Center, and the sidewalks, roadways and curbs fronting or
abutting the Land, or any part of any thereof, or
(ii) the use, condition, operation or occupancy of the
improvements and facilities on respectively, the Excepted
Premises and the Demised Premises, including with respect to the
Excepted Premises, the areas and facilities therein and in the
Demised Premises that are to be operated and maintained by the
City and including with respect to the Demised Premises, the areas
and facilities therein and in the Excepted Premises that are to be
operated and maintained by Dade, or
-36-
IF
r
(iii) the collapse of all or any part of any of the respective
facilities and improvements referred to in the foregoing clause (ii)
or of any work of the City or Dade, as the case may be, in
connection therewith which may occur at any time or from time to
time,
unless due to the sole negligence of the indemnified party or their officers, agents or
employees.
"SUPPORTIVE
DOCUF,� -NTS
-37-
FOLLOW80-501
ARTICLE Vtt1
DAMAGE
Section 901 Damage to Trade Center.
In the event that, during the Term of this Lease, the Trade Center, or any part
thereof, shall be damaged or destroyed by fire or other casualty, and as often as such
damage or destruction shall occur, and regardless f3f whether or not such damage or
destruction is covered by insurance furnished by Dade as provided in Article VII, then
except as provided below, Dade at its own cost and expense, shall repair, restore or
rebuild the Trade Center to substantially the condition existing or required to be
existing (if the standards of Section 602 have not been maintained) prior to such
damage or destruction or, in the alternative in such other manner as may be agreed
upon by the City, Dade, the Trustee and any Leasehold Mortgagee. Such construction
shall be performed substantially in accordance with the requirements of Article V.
Dade shall commence any work of repair, rebuilding or restoration required hereunder
within three months from the happening of the damage or destruction, subject,
however, to delays in the collection of any insurance proceeds to be used for such
purpose and obtaining necessary approvals of the appropriate governmental authorities
and substantial completion of any work on the underlying Parking Garage as required
by Section 802 hereof. Dade shall diligently prosecute to completion any such work of
repair, rebuilding or restoration. Notwithstanding any provision herein to the
contrary, Dade's obligation to repair, restore or rebuild the Trade Center shall be fully
conditional on the City's restoration of the underlying Parking Garage as required by
Section 802 hereof. Further, in its sole discretion, Dade, if not in default hereunder,
may elect in lieu of repairing, restoring or rebuilding the Trade Center, within twelve
months after such fire or casualty by notice given to the City, to terminate this Lease,
provided that the estimated cost of such work including all costs that may be
capitalized under generally accepted accounting principles, shall exceed 20% of the
- 38-
t
f
estimated replacement cost for the Trade Center as determined by Appraisal, or if as
a result, directly or indirectly, of any casualty to the Trade Center or Parking Garage
or both, the Trade Center shall be substantially untenantable for the purposes leased
hereunder and such condition will not with due diligence be remedied within 12 months
of such casualty. Such notice shall be accompanied by a certified or bank check
payable to the City in an amount equal to the greater of:
W The present value at the time of such casualty of the
Rent !in the same amount per annum as is in effect on the date of
termination) for the period remaining in the initial Term
discounted to its then present value at the Bond Rate; and
GO The balance, if any, of the insurance proceeds received
on account of such casualty after retention by Dade of an amount
equal to the value of Dade's interest in the Trade Center and the
Demised Premises immediately preceding such casualty, as
determined by Appraisal, subject, however, to the requirements of
any Leasehold Mortgagee.
After such termination, Dade shall pay to the City in progress payments during
the course of debris removal resulting from such fire or casualty, if only the Trade
Center debris is to be removed, the total cost of debris removal, or if both the Trade
Center and Parking Garage debris is to be removed, Dade's share of the cost of such
debris removal, being that percentage of the total cost of debris removal equal to the
estimated replacement cost of the Trade Center prior to the casualty divided by the
estimated replacement cost of the combined Parking Garage and Trade Center prior to
the casualty, as agreed to by the parties or, if the parties cannot agree, as determined
by Appraisal. Upon such termination and payment, neither party hereto shall have any
further rights or obligations hereunder or recourse against the other.
-39-
Section 902 Damage to Parking Garage.
In the event that, during the term of this Lease, the Parking Garage and the
appurtenant facilities to the Trade Center within the Parking Garage, or any part
thereof, shall be damaged or destroyed by fire or other casualty, and as often as such
darnage or destruction shall occur, and regardless of whether or not such damage or
destruction is covered by insurance furnished by the City, as provided in Article VII,
then except as provided below, the City at its own cost and expense, shall repair,
restore or rebuild the Parking Garage and such appurtenant facilities to substantially
the condition existing or required to be existing (if the standards of Section 601 have
not been maintained) prior to such damage or destruction or, in the alternative in such
other manner as may be agreed upon by the City, Dade, the Trustee and any Leasehold
Mortgagee. Such construction shall be performed substantially in accordance with the
requirements of Article V. The City shall commence any work of repair, rebuilding or
restoration required hereunder within three months from the happening of the damage
or destruction, subject, however, to delays in the collection of any insurance proceeds
to be used for such purpose and obtaining necessary approvals of the appropriate
governmental authorities. The City shall diligently prosecute to completion any such
work of repair, rebuilding or restoration or rebuilding. If, within three months of the
damage, destruction or condemnation, the City had not commenced such repair,
restoration or rebuilding, or if, having commenced such work, the City at any time
shall not be proceeding diligently with such work, Dade, without waiving its rights
under Section 1206, may give notice to the City specifying that the work has not
commenced or the respect or respects in which the work is not proceeding diligently
and, if, upon expiration of thirty days after giving of such notice, the work has not
commenced or is not proceeding diligently, as the case may be, Dade may perform
such repair and restoration as is necessary to enable its full and unimpeded use and
enjoyment of the Trade Center, and the improvements thereon and the rights and
Iffol!
easements granted hereby and may enter upon any part of the Excepted Premises to
the extent necessary to perform such work and the cost of any and all such repair and
restoration shall be repaid by the City to Dade on demand with interest thereon at the
Prime Rate. Notwithstanding any provision herein to the contrary, the City's
obligation to repair, restore or rebuild the Parking Garage shall be fully conditional on
the agreement by Dade to restore the Trade Center, if damage has occurred to the
Trade Center as required by Section 801 hereof.
Section 303 Abatement of Rent.
If during the Term, the Parking Garage shall be damaged by fire or casualty
interfering with Dade% use of the Demised Premises as contemplated by this Lease,
Rent and other charges thereafter payable by Dade hereunder shall abate
proportionately for the period in which, by reason of such damage, there is such
interference with Dade's use of the Demised Premises In an equitable amount, taking
into consideration the area and type of space remaining in the portion of the Demised
Premises or the Trade Center not so damaged and the gross income which it is
estimated Dade will be able to receive therefrom after such event as compared with
the gross income receivable by Dade before such event.
_41_ i
80-501 1
ARTICLE IX
CONDEMNATION
Section 901 Taking of Title.
If, at any time during the Term of this Lease, the whole or substantially all of
the Demised Premises and the Trade Center and its appurtenant facilities, or such
portion thereof as makes the residue of the Demised Premises and the Trade Center
substantially untenantable for the purposes leased hereunder, shall be taken for any
public or quasi -public purpose by any lawful power or authority by the exercise of the
right of condemnation of eminent domain or by agreement between the City, Dade and
those authorized to exercise such right, this Lease and the Term hereof shall
terminate and expire (without affecting the rights of Dade to recover awards for
damages as provided in Section 902) as of the date title shall vest in, or possession
shall be taken by or on behalf of, the condemning authority, whichever first occurs,
and the Rent to be paid by Dade shall be apportioned and paid to such date and upon
such termination and payment Dade shall have no further rights or obligations
hereunder or recourse against the City. Except as hereinabove otherwise specifically
provided, if less than the whole or substantially all of the Demised Premises or the
Trade Center shall be taken as aforesaid and if the residue of the Demised Premises
and the Trade Center after such condemnation is not substantially untenantable for
the purposes leased hereunder, this Lease and the Term hereof shall continue, but the
Rent thereafter payable by Dade shall be apportioned and reduced, as of and from the
date title shall vest in, or possession be taken by or on behalf of, the condemning
authority, whichever first occurs, in an equitable amount, taking into consideration the
area and type of space remaining in the portion of the Demised Premises or the Trade
Center not so taken, condemned or purchased and the gross income which it is
estimated Dade will be able to receive therefrom after such event as compared with
the gross income receivable by Dade before such event.
-42-
Section 902 Apportionment of Awards.
In the event of a taking of the whole or any portion of the Demised Premises
or the Trade Center (and either with or without a taking of all or a part of the right,
title and interest of the City in the Land or the Excepted Premises or the Parking
Garage), each party shall prosecute its own claim. All the proceeds of the taking
(including interest) to which the City and Dade may be entitled shall be determined as
follows:
(a) The court in such condemnation proceeding, subject to any requirements of
any Leasehold Mortgagee and if not prohibited by law, shall be requested to make
separate awards to the City, and Dade, and the City, and Dade agree to request that
the court make separate awards to each based upon a determination of the value of
their respective interests made in the manner provided in Section 902(b), and the City,
and Dade shall be limited to such separate awards if made by the court, subject to any
rights of appeal by the City, and Dade of such award by the court.
(b) if such court is prohibited by law from making separate awards to the City,
and Dade, or declines to do so, subject to any requirements of any Leasehold
Mortgagee, Dade shall receive that portion of the award which is represented by the
value of its leasehold interest in the Trade Center and the Demised Premises
immediately preceding the taking less, in the case of a partial taking, the value of
their interests in the Trade Center and the dernised Premises immediately after the
taking, as determined by Appraisal, and the City shall receive the balance. Such
award and other proceeds shall be paid to, pooled and held in trust by a savings bank,
bank or trust company, or savings and loan association to be selected by the City, and
Dade, or, if they fail to agree, by the Trustee, pending distribution to the City, and
Dade as above provided.
I,SUPPO
pC, n �RTIyE
�U�i EN i
_43_ FoL L » s
ow
Section 903 Taking for Temporary Use.
If there is a taking for temporary use or occupancy of the whole or any part of
the Demised Premises or the Trade Center or facilities appurtenant thereto at any
time during the Term of this Lease for any public or quasi -public purpose by any lawful
power or authority by the exercise of the right of condemnation or eminent domain or
by agreement between the City, Dade and those authorized to exercise such right, the
Term of this Lease shall not be reduced or affected in any way, and subject to any
requirements of any Leasehold Mortgagee, the entire award shall be disposed of as
follows:
(a) if the period of taking in respect of which the award is made is less than 3
years, so much of the award and other proceeds as is equal to the Rent (in the same
amount per annum as in effect immediately preceding such taking), or, in the case of a
partial taking, that portion of the Rent attributable on a pro rata basis to the portion
so taken, due to the City during the period of such taking, discounted to its then
present worth at the Bond Rate, shall be paid to, pooled and held in trust by a savings
bank, bank or trust company, or savings and loan association (for purposes of this
section referred to as the "Bank") to be selected by the City, and Dade, or if they fail
to agree, by the Trustee, pending distribution in the manner provided below and the
balance of such award shall be paid to Dade. Any sums so deposited in trust shall be
invested in obligations of the United States of America or such other securities as the
City, and Dade may agree upon. The Bank shall during the period of such taking pay
the Rent, from the amount so invested in trust, to the City at the times and in the
manner provided in Article Ill. Any balance of principal or interest remaining in trust
at the termination of such taking shall be paid to Dade.
(b) if the period of the taking in respect of which the award is made is equal to
or more than 3 years, Dade shall furnish assurances in form reasonably satisfactory to
the City as to the payment of Rent or, in the case of a partial taking, such portion of
the Rent, over the period of the temporary taking.
-44-
If, in the case of a taking under either subsections (a) or (b) above, the period
of such taking extends beyond the then current Term of this Lease, Dade shall furnish
assurances in the form satisfactory to the City with respect to the payment of Rent,
should Dade exercise its option to renew. If Dade fails to exercise its option to renew,
the City shall receive that portion of the award representing the period of taking
extending beyond the current Term of the Lease.
Section 904 Prosecution of Fixture Claims.
The City and Dade shall each have the right in any condemnation proceeding
to prosecute its own claim with respect to, and to collect any award for, a taking of
any machinery, equipment, fixtures or personal property which are not included In any
award for land and improvements.
Section 905 Appearance in Condemnation Proceedings.
The City and Dade shall each have the right at its own expense to appear in
any condemnation proceedings and to participate in any and all hearings, trials and
appeals therein. In the event the City and Dade shall receive notice of any proposed
or pending condemnation proceedings affecting the Demised Premises or the Excepted
Premises, the party receiving such notice shall promptly notify the other party of the
receipt and contents thereof.
«n
t ,_ 1
IVc
V,L:, ITS
f OLLp1w„
-45-
80-501 '
ARTICLE X
ASSIGNMENT, SUBLETTING, MORTGAGING
Section 1001 Consent Required.
Except as other wise expressly provided in this Article, Dade covenants (a) not
to assign or otherwise transfer this Lease or the term and estate hereby granted, (b)
not to sublet the Demised Premises and the Trade Center or any part thereof or allow
the same to be used, occupied or utilized by anyone other than Dade and (c) not to
mortgage, pledge, encumber Dade's leasehold interest in the Demised Premises or any
part thereof, in any manner by reason of any act or omission on the part of Dade,
without in each instance obtaining the prior written consent of the City. The City
shall not withhold its consent under this Section 1001 to (i) a mortgage, pledge or other
encumbrance of Dade% leasehold interest by mortgage or other security instrument to
a reputable Leasehold Mortgagee (including a sale to and leaseback from such
Leasehold Mortgagee) or resulting from the foreclosure (termination of such sale and
leaseback transaction) by such Leasehold Mortgagee or a deed in lieu of such
foreclosure, or (ii) or assignment, sublease or other transfer to a reputable corporation
or other entity, if in the case of either (i) or (ii) above, such Leasehold Mortgageee or
transferee, at the time of making such mortgage or transfer, is reasonably determined
by the City to have, after taking into account a reasonable projection of rental income
from the Trade Center, net worth sufficient to pay the Rent and operate and maintain
the Trade Center as required hereunder.
Section 1002 Exceptions.
The provisions of section 1001(a), (b) and (c) shall not apply to: (a) transactions
with a corporation into or with which Dade is merged or consolidated or to which
substantially all of Dade's assets are transferred or to any corporation which controls
or is controlled by Dade and (b) rentals of space in the Trade Center to occupancy
tenants.
-46-
Section 1003 Requirements for Assigrvnents or Transfer.
Any assignment, sublease or transfer, whether made with the City's consent
pursuant to Section 1001 or without the City% consent pursuant to Section 1002(a),
shall be made only if, and shall not be effective until, the assignee, sublessee or
transferee shall execute, acknowledge and deliver to the City a recordable agreement
in form and substance satisfactory to the City, whereby the assignee, sublessee or
transferee shall assume the obligations and performance of this Lease and agree to be
personally bound by and upon all of the covenants, agreements, terms, provisions and
conditions hereof on the part of Dade to be performed or observed and whereby the
assignee, sublessee or transferee shall agree that the provisions in Section 1001 shall,
notwithstanding such an assignment, sublease or transfer, continue to be binding upon
it with respect to all future assignments, subleases and transfers.
Section 1004 Covenant Not To Assign, Sublet or Transfer.
Dade covenants not to assign, sublet or transfer its interest hereunder, except
as allowed by Section 1002 and clause (i) of Section 1001, until substantial completion
of construction of the Trade Center (as defined in the construction contract therefor)
unless such transfer is required, either directly or indirectly, as a result of regulatory
action by any governmental agency having jurisdiction over savings and loan
associations. Further, Dade covenants not to assign, sublet or transfer its interest
hereunder, except as allowed by Section 1002 and clause W of Section 1001, after
substantial completion of construction of the Trade Center unless, at such time, Dade
pays to the City an amount that is the lesser of (a) the Net Proceeds (as defined
below), or (b) $4,104,000 with respect to a transfer during the calendar year in which
substantial completion of construction occurs, and, with respect to a transfer in any of
the next ten years after substantial completion of construction occurs, an amount
equal to $4,104,000, less $410,400 for each year that has passed since substantial
-47- c
FO,_ ,
completion of construction has occured. All Net Proceeds received by Dade after the
City has been paid such amount shall be retained by Dade. This provision shall not
apply to transfers subsequent to an initial transfer by Dade, so long as such transfer is
made at "arms -length" with a non-affiliated transferee. "Net Proceeds" shall mean
the proceeds of such transfer that remain after deduction for the expenses of such
transfer and the return to Dade of the capital invested by it in the Demised Premises
and the Trade Center. Dade's obligation to pay sums to the City as described in this
Section 1003 shall be diminished by any sums reimbursed by Dade to the U. S.
Department of Housing and Urban Development with respect to the UDAG Grant to
the City. Upon an assignment or transfer by Dade of all or substantially all of its
interest under this Lease, made with the City's consent under Section 1001 Dade shall
have no further responsibility or liability hereunder except for obligations accrued
prior to such assignment or transfer.
Section 1005 Notice to Leasehold Mortgagee.
Promptly after a mortgage, pledge or encumber of its leasehold estate,
pursuant to Section 1001 of this Lease, Dade shall furnish the City a written notice
setting forth the name and address of the Leasehold Mortgage. The City shall furnish
the said Leasehold Mortgagee with any notice sent to Dade under this Lease, and no
such notice shall be deemed to have been properly given unless a copy thereof shall
have been sent to such Leasehold Mortgagee; provided, however, (a) the City shall not
be obligated to furnish notices to any Leasehold Mortgagee the name and address of
which have not been provided to the City and (b) prior to receipt by the City of notice
setting forth the name and address of the Leasehold Mortgagee, said Leasehold
Mortgagee shall not have any right whatsoever under those provisions in this Lease
where "approval of" or "concert to" a person, thing, act or omission was required and
the consent or approval of Dade as to such person, thing, act or omission shall be
deemed conclusive.
-48-
C C
Section 1006 Nondisturbance.
The City shall from time to time, promptly upon request of Dade and if the
respective sublease and sublessee are satisfactory to the City, enter into agreements
with Dade and one or more subtenants of Dade which agreements shall provide that in
the event of a termination of this Lease, the possession of such subtenants and the
enjoyment of all rights and privileges hereunder by such subtenants, shall not be
disturbed so long as such subtenants shall agree that upon request of the City following
a termination of this Lease, the subtenants will attorn to the City and will execute and
deliver such instrument as the City may require in order to confirm such attornment.
"SUPPORTIVE
-49- pQCUMENTS
FOLLOW11
r
ARTICLE XI
f
Article:
URBAN DEVELOPMENT ACTION GRANT PROVISIONS
Section 1101 Definitions.
The following terms shall have the following respective meanings in this
(a) "Act" means the Housing and Community Development Act of 1974, Pub.
L. No. 93-383, as amended.
(b) "Grant Agreement" means UDAG Grant Agreement Number B-80-AA-12-
0009 subject to such waivers of provisions therein or extensions of time granted
thereunder granted by the Secretary or his designee.
(c) "Grant Revenues" means the UDAG percentage of any gross income earned
from the disposition of real or personal property acquired in whole or in part by the
use of grant funds; 60 the repayment proceeds (including principal and interest) of any
loan, made in whole or in part by the use of grant funds; and (iii) any gross income from
a grant supported activity where it is specifically declared at Exhibit A to the Grant
Agreement that the income from such activity shall be deemed to be Grant Revenues.
The "UDAG percentage", means an amount computed by applying the percentage of
participation of UDAG funds in the total cost of acquisition of property or in the total
amount of a loan, or in the total cost of grant -supported activity, to the gross income
f rom the disposition of such property, the total repayment proceeds of such loan, or
the gross income from such grant -supported activity.
(d) "Non-UDAG Funded Activities" means those activities not directly assisted
with UDAG Program funds, the assured completion of which was relied upon by the
Secretary in selecting the Recipient for the award of funds under the Grant
Agreement, which activities :.re more particularly described in Exhibit C to the Grant
Agreement.
- 50-
(e) "Participating Party" means, for purposes of this Lease, Dade.
identification as a "Participating Party" signifies that the Secretary, in selecting
Recipient for the award of the grant, relied in material part upon a representation
that the party so identified will, in consideration of the grant, undertake and complete
on or more specified UDAG Funded Activities or Non-UDAG Funded Activities.
(f) "Project" means the group of integrally related activities described in
Exhibits B and C to the Grant Agreement which are to be carried out to meet the
objectives of the UDAG Program, and includes all UDAG Funded Activities together
will all Non-UDAG Funded Activities.
(g) "Recipient" means the local government entity receiving UDAG Program
funds pursuant to the Grant Agreement, as more particularly identified on the cover
page to the Grant Agreement, specifically, in this case the City of Miami, Florida.
(h) "Secretary" means the Secretary of the United States Department of
Housing and Urban Development or any other official of such department to whom the
Secretary has delegated authority to act with respect to matters covered by the Grant
Ag reem ent.
W "UDAG" means Urban Development Action Grant.
(j) "UDAG Funded Activities" means those activities to be directly assisted
with UDAG Program funds, which activities are more particularly described in Exhibit
B to the Grant Agreement.
W "UDAG Program" means the Urban Development Action Grant Program
established by the United States Department of Housing and Urban Development
pursuant to Section 119 of the Act.
(1) "UDAG Regulations" means the regulations set forth in 24 C.F.R. Part 570,
Subpart G, as the same may f •om time to time be amended.
Section 1102 Escrow of Grant Revenues.
Upon instruction by the Secretary, such Grant Revenues as are received by the
Participating Party, prior to the completion of all UDAG Funded Activities, shall be
deposited in escrow under arrangements approved by the Secretary, in order to provide
fu.ids to assure the completion of the UDAG Funded Activities.
Section 1103 Grant Revenues Applied to Costs.
Such Grant Revenues as are received by the Participating Party prior to the
completion of all UDAG Funded Activities, shall be transmitted to the Recipient for
use in reimbursing costs incurred for UDAG Funded Activities.
Section 1104 Grant Revenues for Title I Activities.
Such Grant Revenues as are received by the Participating Party after the
completion of all UDAG Funded Activities, shall, at the option of the Recipient, either
be transmitted to the Recipient or used by the Participating Party, subject to the
approval of the Recipient, for community and economic development activities which
would be eligible for assistance under Title I of the Act.
Section 1105 Assurance of Governmental Approvals.
The Participating Party and the Recipient represent and warrant that they
have obtained, or have reasonable assurance that there will be obtained, all Federal,
State and local governmental approvals and reviews required by law to be obtained by
such Participating Party and Recipient for the Project.
Section 1106 Completion of Project.
The Participating Party acknowledges that the Secretary, in selecting the
Recipient for the award of this grant, relied in material part upon the assured
completion of the activities to be undertaken by the Participating Party in connection
with the Project; and the Participating Party assures the Recipient that such activities
will be completed by the Participating Party.
- 52-
Section 1107 Assurances of Projected Jobs.
The Participating Party represents, warrants, and covenants that it will use its
best efforts to create or cause to be created, within 60 months after the date hereof,
6G0 new job opportunities, including 150 permanent new job opportunities for persons
who, at the time of their employment, will be persons of low and moderate income. In
order to assist and enable the Recipient to report to the Secretary as the Secretary
may require, the Participating Party agrees to report to the Recipient, as the
Recipient may from time to time require, on the numbers and kinds of such jobs
created or caused to be created and filled.
Section 11011 Maintaining Records and Rights to Inspect.
The Participating Party shall keep and maintain books, records and other
documents relating directly to the receipt and disbursement of grant funds; and any
duly authorized representative of the Secretary or Comptroller General of the United
States shall, at all reasonable times, have access to and the right to inspect, copy,
audit, and examine all such books, records and other documents of the Participating
Party until the completion of all close-outs procedures respecting the grant, and until
the final settlement and conclusion of all issues arising out of the grant or under the
Grant Agreement.
Section 1109 Access to Project.
The Participating Party agrees that any duly authorized representatives of the
Secretary shall, at all reasonable times, have access to any portion of the Project in
which the Participating Party is involved. The period of such right to access shall be
the same as that set forth in Section 1108.
Section 1110 No Assignment or Succession.
The Participating Party agrees and acknowledges that no transfer of grant
funds by the Recipient to the Participating Party shall be or be deemed an assignment
-53-i t
of grant funds, and the Participating Party shall neither succeed to any rights, benefits
or advantages of the Recipient under the Grant Agreement, nor attain any rights,
privileges, authorities or interests in or under the Grant Agreement.
Section 111 ! Secretary Approval of Amendments.
During the term of the Grant Agreement, any agreement between the
Recipient and Participating Party required to be submitted to and approved or
accepted by the Secretary shall not be amended in any material respect, after such
approval and acceptance, without the prior written approval of the Secretary, and an
amendment shall be deemed "material", within the meaning of the above provision, if
it cancels or reduces any development, construction, job creating, or financial
obligation of the Participating Party by more than ten percent, or if it changes the
situs or character of any development activity, or if it increases any time for
performance by which the Participating Party by more than ten percent; provided,
that an increase in any time for performance which does not exceed 30 days, shall not
be deemed "material.".
Section 1112 Disclaimer of Relationship.
The Participating Party agrees that nothing contained in the Grant
Agreement, or in any agreement between the Recipient and the Participating Party,
nor any act of the Secretary, or of the Recipient, or of any of the parties hereto, shall
be deemed or construed by any of the parties, or by the third persons, to create any
relationship of third -party beneficiary, or of principal and agent, or of limited or
general partnership, or of joint venture, or any association or relationship involving the
Secretary.
Section 1113 Other UDAG Provisions.
The Participating Party agrees that its activities hereunder are and will be at
all times consistent with the provisions of Section 119 of the Act and the UDAG
Regulations.
- 54-
ARTICLE Xn
DEFAULT
Section 1201 Events of Default.
This Lease and the Term hereof are subject to the limitation that if, at any
time during the Term hereof, any one or more of the following events shall occur, that
is to say:
(a) It Dade shall fail to pay all or any part of the Rent or any other sum of
money called for to be paid when the same shall by the terms of this Lease be
due and payable, and such failure shall continue for thirty days after notice
thereof f rom the City or Dade; or
(b) If Dade shall fail to perform or observe any other requirement of this
Lease (not hereinbefore in this Section referred to) to be performed or
observed by Dade (except for the failure to observe or perform the
requirements of Article IV, the remedies for which shall be limited to those
provided in Section 302(d) and Article 1V of this Lease), and such failure shall
continue for sixty days after notice therof from the City to Dade; provided,
however, that if such failure cannot be cured in sixty days, Dade shall have the
right to begin to cure such default within said sixty days and to proceed
therewith with reasonable promptness and diligence (and in the manner
required by this Lease, including providing indemnity or security to the City if
this Lease provides for the furnishing of same to the City), then such sixty day
period shall be extended for such time as may reasonably be necessary to
enable Dade by proceeding with diligence to remedy its failure; then upon the
happening of any one or more of the aforementioned Events of Default, the
City may terminate this Lease upon giving not less than five days notice to
Dade which shall state the date of termination of this Lease, and, except as
a►StjppORTNE
-55- ly)c �41EN'S
FOLLOW,
r
otherwise provided in Section 1205, at the expiration of such five days or such
longer period as may be specified in the notice, this Lease and all the right,
title and interest of Dade hereunder shall terminate and wholly cease and
expire, and Dade shall quit and surrender the Demised Premises to the City,
but Dade shall remain liable as hereinafter set forth.
Section 1202 Remedies.
In the event of termination of this Lease by the City pursuant to Section 1201,
the City may:
(a) Without prior notice or demand given to Dade or to any tenant or
subtenant of Dade, re-enter upon and take possession of the Demised
Premises, including the Trade Center, and Dade shall peaceably deliver
possession of the same to the City;
(b) With or without re-entering the Demised Premises or the Trade Center,
and without prior notice or demand given to Dade or any tenant, subtenant or
sub -subtenant of Dade, subject to the rights of subtenants and sub -subtenants
under non -disturbance agreements given pursuant to Section 1005 hereof,
remove all persons and their property therefrom, including all tenants,
subtenants and sub -subtenants of Dade, without being liable to any suit or
action, civil or criminal, by reason therof, and Dade hereby expressly waives
service of any notice to quit possession of or intention to re-enter under the
common law or statutes or any other legal authority;
(c) With or without re-entering the Demised Premises or the Trade Center,
subject to such rights of subtenants and sub -subtenants, collect and retain
without accountability to Dade all rents, issues, income and profits from the
Demised Premises or the Trade Center; and
(d) If Dade shall not have completed construction of the improvements to be
made by it pursuant to Article V, the City may demolish and remove all or any
- 56-
part of such improvements and take over and complete, or arrange for another
tenant to take over and complete, the construction work of Dade set forth in
Article V, or may construct or arrange for another tenant to construct other
and different improvements upon the demised Premises, as it shall from time
to time elect. Such improvements on the demised Premises may compete with
any business or activities of Dade or any tenant of Dade or any person, firm or
corporation controlling, controlled by or under common control with Dade. In
such event, Dade shall, if requested by the City, transfer and assign to the
City, to the extent it is legally able to do so and without cost or expense to
the City, all of the plans and specifications, contracts, agreements, rights and
options of Dade relating to the construction, financing or leasing of the
improvements to the Demised Premises and Trade Center. The City shall not
be obligated to pay or to reimburse Dade for the cost or value of any
improvements made by Dade to the Demised Premises, and Dade hereby
waives all claims which it may have for any such payments or reimbursement.
The exercise by the City of any right given by this Section shall not be deemed to be
exclusive or to constitute an election and shall not prevent the City from exercising
the other rights given in this Section or in this Article, including, without limitation,
the collection by the City of damages from Dade for breach of this Lease. The
remedies provided in this Article in case of an Event of Default shall not be deemed
exclusive, but shall be in addition to all other remedies at law or in equity which the
City may have or to which it may be entitled in the case of an Event of Default; and
no action taken or omitted by the City in case of an Event of Default by Dade shall be
deemed a waiver of such default, and the waiver of a particular Event of Default shall
not be deemed a waiver of any other default or a waiver of the same default again
occurring. The rights of the City given by this Section 1202 are expressly subject to
the rights of any Leasehold Mortgagees pursuant to Section 1205.
VE
FU i _ L �,r`,,,,
Section 1203 Domes.
(a) Amount; Reletting. In case of any such termination of this Lease by the
City, Dade shall pay to the City upon demand (i) all expenses which the City may have
then incurred or may thereafter incur for legal expenses, attorneys' fees, brokerage
fees and commissions in repossessing and reletting the Demised Premises and all costs
or expenses incurred by the City in restoring the Demised Premises to good order and
condition, (ii) all past due Rent or other sums owing to the City from Dade under the
terms of this Lease; and (iii) interest at the Prime Rate on the foregoing sums. The
City may relet the Demised Premises, in whole or in part, for such term or terms of
years as the City may choose, which may be for a term longer or shorter than the
remainder of this current term at the time of termination of this Lease, and (unless
the statute or rule of law which governs the proceedings in which damages are to be
proved shall limit the amount of damages which may be proved and allowed, in which
case the City shall be entitled to prove as and for its damages and have allowed an
amount equal to the maximum allowed under such statute or rule of law), Dade shall
be obligated to and shall pay to the City, upon demand and in addition to the amount
hereinbef ore provided for, damages in an amount which is equal to the excess, if any,
of the Rent for the period from the time of termination of this Lease (or from the end
of the period in respect to which the City shall have collected damages from Dade
pursuant to subsection W below) to the original termination date of the then current
term of this Lease, over the net rental value of the Demised Premises from the time
that the City obtained possession of the Demised Premises to the original termination
date of the then current term of this Lease, each discounted to its then present worth
at the Bond Rate, plus interest theron at the Prime rate from the date of termination
of this Lease until such sum is paid. In determining said rental value of the Demised
Premises, the rental value realized by any reletting, if such reletting be accomplished
by the City within a reasonable time after such termination of this Lease and upon
-58-
terms generally comparable to the terms (other than rent provisions and the period or
term of the reletting) of this Lease, shall be deemed prima facie evidence of the said
rental value.
(b) Interim payments. Until such time as the City shall have collected
damages from Dade pursuant to subsection (a) above, Dade shall be obligated to and
shall pay to the City, upon demand and in addition to the other amounts hereinbefore
provided for, damages payable quarterly and continuing until the original termination
date of the then current term of this Lease in amounts equal to the excess, if any, of
the aggregate expenses paid by the City during the preceeding quarter for all items
which by the terms of this Lease were required to be paid by Dade and were not part
of the Rent, plus the Rent (in the same amount per annum as in effect at the time of
such default) which would have been payable by Dade if this Lease had not terminated,
over the rents, if any, collected by the City from the Demised Premises for such
quarter, plus interest theron at the Prime Rate from the end of each quarter until such
sum is paid, and any suit or action brought to collect such amounts due by Dade for
any quarter shall not prejudice in any way the right of the City to collect the
deficiency for any subsequent quarter by a similar proceeding. Dade shall not be
relieved of its obligations to pay such damages by reason of failure of the City to relet
the premises, if the City shall have made reasonable efforts to do so, or if the
improvements to the Demised Premises to be made by Dade were not completed by
Dade and the City shall go forward with construction of any improvements to the
Demised Premises which the City may elect to have made.
Section 1204 Waiver of Right of Redemption.
Subject to the provisions of Section 1205, Dade for itself and all persons
claiming through or under Dad,:, including its creditors, upon the termination of this
Lease as provided in Section 1201, hereby waives to the extent permitted by law any
and all right or equity of redemption provided or permitted by any statute, law or
J
- S9-
decision now or hereafter in force, and does hereby waive, surrender and give up all
rights or privileges which it or they may or might have, under and by reason of any
present or future law or decision, to redeem the Demised Premises or for a
continuation of the Term of this Lease or for relief from the forfeiture of this Lease
and the Balance of the unexpired term and any renewal term hereof.
Section 1205 Ruts of Leasehold MortitMees.
(a) The City agrees to accept performance and compliance by any Leasehold
Mortgagee of and with any term, covenant, agreement, provision or limitation on
Dade's part to be kept, observed or performed by Dade. If a Leasehold Mortgagee
shall acquire the leasehold estate in the Demised Premises by foreclosure or
otherwise, then, in such event, this Lease shall continue in full force and effect so long
as the Leasehold Mortgagee is not in default hereunder. For the period of time during
which the Leasehold Mortgagee or any purchaser at foreclosure of a Leasehold
Mortgagee holds the leasehold estate, the Leasehold Mortgagee or such purchaser shall
become liable and be fully bound by the provisions of this Lease; provided, however,
that the Leasehold Mortgagee or such purchaser shall not be bound by or liable under
the provisions of this Lease for the period of time prior or subsequent to the period of
time during which it holds the leasehold estate, except as provided below.
(b) The City agrees that following an Event of Default it will take no action
to terminate the Term, nor to re-enter and take possession of the Demised Premises
unless it shall first give each Leasehold Mortgagee notice specifying such Event of
Default and stating the City's intention either to terminate the Term or to re-enter
and take possession of the Demised Premises on a date specified in such notice.
Notwithstanding such notice, the Term shall not be terminated, nor shall the City re-
enter and take possession of the Demised Premises if (i) such Event of Default can be
cured by the payment of a fixed monetary amount and within twenty days after the
date such notice is given any Leasehold Mortgagee shall make such payment, or (ii)
-60-
such Event of Default can be cured with the exercise of reasonable diligence by a
Leasehold Mortgagee after obtaining possession of the demised Premises and the
Leasehold Mortgagee, within thirty days after the date such notice is given,
commences such proceedings (including, without limitation, the filing of a petition for
the appointment of a receiver) as it may deem necessary to obtain such possession and
thereafter diligently prosecutes such action and promptly upon obtaining such
possession commenc^s (and thereafter diligently pursues) the curing of such default.
(c) In the event of the termination of this Lease prior to its stated
expiration date, the City shall give all Leasehold Mortgagees notice of such
termination and shall enter into a new lease of the Demised Premises with a Leasehold
Mortgagee or, at the request of such Leasehold Mortgagee but subject to the same
requirements set forth in Section 1001 for an assignment by Dade, with an assignee,
designee, or a nominee of such Leasehold Mortgagee, for the remainder of the Term
effective as of the date of such termination, at the Rent and upon the same covenants,
agreements, terms, provisions and limitations as are herein contained, provided W such
Leasehold Mortgagee makes written request upon the City for such new lease within
thirty days after the giving of such written notice of termination and such written
request is accomanied by payment to the City of all amounts then due to the City of
which the City shall have given the Leasehold %lortgagee notice, (ii) the Leasehold
Mortgagee pays or causes to be paid to the City zit the time of the execution and
deliver of such new lease any and all additioncd sums which would at the time of the
execution and delivery thereof be due under this Lc but for such termination and
pays or causes to be paid any and all expense-, rrn'luding reasonable counsel fees, court
costs and costs and disbursements i; jrred by the City in connection with any such
termination or in connection With the execution and delivery of such new lease, less
the net income from the Demised Prernises collected by the City subsequent to the
date of the termination of this Le.ise and ,)rior to the execution and delivery of such
-AI-
�. _ 80-501
new lease, and (iii) the Leasehold .Mortgagee agrees to cure, within 30 days after the
execution and delivery of such new lease, all uncured events of Default of which the
City shall have given such Leasehold Mortgagee notice, or if any such event of Default
cannot be cured within such period, such Leasehold Mortgagee agrees to commence,
within such period, to cure such Event of Default and thereafter pursues the same with
due diligence. if the City receives written requests in accordance with the provisions
of this Section from more than one person, the City shall only be required to deliver
the new lease to the Leasehold Mortgagee who is, among those Leasehold Mortgagees
requesting a new lease, the holder of the most junior Leasehold Mortgage, provided
that such Leasehold Mortgagee shall, not later than the execution of such new lease,
pay in full the sums secured by all Leasehold Mortgages which are prior in lien to the
Leasehold Mortgage held by such Leasehold Mortgagee. Any new lease made pursuant
to this paragraph shall be prior to any mortgage or other lien, charge or encumbrance
on the fee of the Demised Premises and shall have the same relative priority in time
and in right as this Lease and shall have the benefit of all of the right, title, powers
and privileges of Dade hereunder in and to the Demised Premises and the Trade
center. At Dade's request, the City will enter into an agreement with any Leasehold
Mortgagee granting to such Leasehold Mortgagee the rights set forth in this Section
1205.
(d) This Lease shall not be modified, amended, surrendered, cancelled or
wholly or partially terminated by [fade, nor shall any waiver of Dade's right hereunder
or any approval or consent of Dade required heiol!n,.er be effective, without the
written consent of each Leasehold Mort agee moose name and address shall have been
furnished to the City pursuant to Section 1004.
C
C
Section 1206 Defaults by the City.
If the City at any time during the Term shall fail to observe or perform any of
the Cityls covenants, agreements or obligations hereunder, and if any such default
shall not be cured, as to any default resulting from the nonpayment of money, within
30 days of ter Dade shall have given to the City notice specifying such default or, as to
any other default, within 60 days after Dade shall have given to the City notice
specifying such default or, in the case of any default not resulting from the
nonpayment of money which cannot with diligence be cured within such 60 day period,
if the City shall fail to proceed promptly to cure the same and thereafter prosecute
the curing of such default with diligence, it being intended, in connection with a
default not susceptible of being cured with diligence within such 60 day period, that
the time of the City within which to cure the same shall be extended for such period
as may be necessary to complete the curing of the same with due diligence, then Dade
to the fullest extent permitted by law, shall have the right to elect and pursue any one
or more of the following remedies:
(a) the right to a writ of mandamus. injunction or other similar relief,
available to it under Florida law, against the City and its officers, agents or
representatives in their capacity as such, but not personally; and
(b) the right to maintain any and ,dl ;actions at law for damages or suits in
equity or other proper proceedings to enforce the curing or remedying of such
default
tic rl�n -"IVE
U i 1
_63_ F.ULLOW„
ARTICLE XIII
GENERAL PROVISIONS
Section 1301 Ownership of Improvements.
The title to the Parking Garage and the. Trade Center and to any additions or
improvements to any thereof shall vest in, and shall be and become the sole and
absolute property of the City and Dade, respectively; provided, however, upon
termination of this Lease, either by default or expiration of term, subject to the
provisions of Section 1205, the Trade Center and any additions or improvements
thereto shall become the absolute property of the City, clear of all emcumbrances and
charges, and without cost of any kind to the City.
Section 1302 Covenant of Title; Quiet Enjoyment.
The City covenants and warrants with and to Dade that the City has good
record and marketable title to the Dernised Premises, free of liens, charges or
encumbrances and that the City has good right, full power and lawful authority to
demise and lease the Demised Premises in the manner and form herein done or
intended so to be. Dade, on paying the Rent and other sums payable by Dade
hereunder as and when the same shall becorne due and payable and observing and
performing the covenants, conditions, limitations and agreements herein contained on
the part of Dade to be observed and performed, all as herein provided, shall and may
lawfully, peaceably and quietly have, hold and enjoy the Demised Premises during the
Term, without hindrance, ejection or molestation by the City or any person or persons
claiming by, through or under the City, subject, how:wer, to all the provisions of this
Lease.
Section 1303 End of Term.
Dade shall peaceably give up and surrender possession of the Demised
Premises and every part thereof unto the City at the expiration or sooner termination
of the Term of this Lease, together with the improvements and all fixtures and
-64-
facilities therein, or forming part thereof, or appurtenant thereto, in good condition
and repair, fire or other casualty and reasonable use and wear thereof excepted.
Section 1304 Headings.
The headings of the Articles. Sections and subsections herein are inserted only
as a matter of convenience and for reference and in no way define, limit or prescribe
the scope or intent of this Lease or in any way affect the interpretation of this Lease.
Section 1305 notices.
Any notice, demand, direction, request or other instrument authorized or
required by this Lease to be given shall be given or filed in writing and shall be deemed
to have been sufficiently given or filed for all purposes of this Lease if and when
personally delivered or when deposited in the 11. S. mail, sent by registered mail,
return receipt requested to the respective addresses set forth on the cover hereof or
herein. The parties hereto may, by notice given hereunder, designate any further or
different addresses to which subsequent communications under this Lease may be sent.
Section 1306 Approvals, Consents.
Wherever in this Lease provision is made for "approval of" or "consent to" a
person, act or. omission, unless otherwise specifically provided, in all cases, such
approvals or consents shall be evidenced by a notice in the manner set forth in Section
1305, and such approvals or consents shall not he unreasonably withheld or delayed by
the party required to give the sarne.
Section 1307 Estoppel Certificates.
Each party agrees, at any time: and from time to time, as requested by the
other party, upon not less than ten days' Prior notice, to execute and deliver to the
other a statement certifying that, t;irs Lease is unmodified and in full force and effect
(or if there have been moditications, that the same is in full force and effect as
modified and stating the modifications), certifying the dates to which the Rent and
other charges h-reunder have been paid, and stating whether or not, to the best
"SUP TIVE
_65-
,r
knowledge of the signer, the other party is in default in performance of any of its
obligations under this Lease, and, if so specifying; each such default of which the
signed may have knowledge, it being intended thst any such statement delivered
pursuant hereto may be relied upon by others with whom the party requesting such
certificate in ay be dealing.
Section 1308 Successors and Assigns.
The covenants and agreements herein contained shall be deemed to be
covenants running with the Land and shall inure to the benefit of and be binding upon
the successors and assigns of the respective parties hereto; provided, however, that no
assignment hereof shall be made by Dade except as specifically permitted herein.
Section 1309 Modifications of Lease.
No agreement shall be effective to change or modify or discharge in whole or
in part this Lease or any instrument given in connection herewith unless such
agreement is in writing signed by the parties to this Lease and approved by the Trustee
and any Leasehold 'Mortgagee.
Section 1310 Cityls Obligations.
Any obligation of the City or any liability imposed on the City under or
pursuant to this Lease shall be payable solely out of revenues of the City derived by
the City from the operation of the Parking Garage and from other revenues of the
City lawfully available therefor, exclusive of revenues derived from ad valorem taxes
on real property and intangible personal property.
Section 1311 Governing Law.
This Lease and the rights of the ,)artics hereto shall be governed by and
construed in accordance with the I--, w% of the State of Florida.
-66-
IN WITNESS WHEREOF, THE CITY OF MIAMI, FLORIDA, has caused this Lease
Agreement to be executed in its name and on its behalf by its City Manager, and the official seal
of said City to be affixed and attested by the City Clark or the Deputy City Clerk of said City
thereunto duly authorized and DADE SAVINGS AND LOAN ASSOCIATION has caused this Lease
Agreement to be executed in its name and on its behalf by its President and its corporate seal to
be hereto affixed and attested by its Secretary thereunto duly authorized, as of the day and year
first above written.
(Official Seal)
ATTEST:
,, ,—City Clerk
G
(Corporate Seal)
ATTEST: j I
it
APPROVED AS TO FORM AND
THE CITY OF MIAMI, FLORIDA
DADE SAVINGS AND LOAN ASSOCIATION
Presiden
Ai1l'•:.,1-VED AS TO CONTENT
vrncc-�,'
J. Conngl y, Project
or,..ir or Convention
Center
1.
_67_ '
IN WITNESS WHEREOF, THE CITY OF MIAMI, FLORIDA, has caused this Lease
Agreement to be executed in its name and on its behalf by its City Manager, and the official seal
of said City to be affixed and attested by the City Clark or the Deputy City Clerk of said City
thereunto duly authorized and DADE SAVINGS AND LOAN ASSOCIATION has caused this Lease
Agreement to be executed in its name and on its behalf by its President and its corporate seal to
be hereto affixed and attested by its Secretary thereunto duly authorized, as of the day and year
first above written.
(Official Seai)
ATTEST:
ty Cie
(Corporate Seal)
ATTEST:
1
r
Secretary - � - ; V'
APPROVED AS TO FORM AND
THE CITY OF MIAMI, FLORIDA
DADE SAVINGS AND LOAN ASSOCIATION
Presiden
Al'I ,ol- VED AS TO CONTENT
J nes J. Conngt y, Project
L,irector, Dir or Convention
q�center 61
-67-
r:
.4
�r
i
l ,
STATE OF FLORIDA :
55:
COUNTY OF DADE
I HEREBY CERTIFY that on this day personally appeared before me, an
officer duly authorized to administer oaths and take acknowledgments,
and
respectively City Manager and City Clerk of THE CITY OF MIAMI, to me well known
to be the persons described in and who executed the foregoing instrument and they
duly acknowledged before me that they executed the same for the purposes therein
expressed as the act and deed of THE CITY OF MIAMI.
IN WITNESS WHEREOF, I have hereunt et my hand 1d affixed my official
seal at Miami, said County and State, this day of , 1980.
No ry Public, State of F on a
My Commission Expires:
iJo+sry rutlic, S:-ta of rlor,do at Urge
My Carr"'!_:ion Exp;r:3 January 11, 150
BonCcd Lim Maynard Bonding Agency
STATE OF FLORIDA
SS:
CO:1NTY OF DADE
I HEREBY CERTIFY that on this day personally appeared before me, an
officer duly authorized to administer oaths and take acknowledgments,
RONALD A. LIPTON and HOWARD H. WARD respectively President and Secretary of
DADE SAVINGS AND LOAN ASSOCIATION, a Florida corporation, , to me well known
to be the persons described in and who executed the foregoing instrument and they
duly acknowledged before me that they executed the same for the purposes therein
expressed as the act and deed of the said corporation.
IN WITNESS WHEREOF, 1 have hereunto set my hand and affixed my official
seal at Miami, said County and State, this r I-- day of - , 1980.
Pupfic, State of Florida
My Commission Expires:
NXAV PALIC STAR d iRl WA AT WO
jjW Oo� a■�ai wpm
Go .20wdW61
EXF IHT A
DESCRIPTION OF LAND
That certain parcel of land as described in that sketch of survey entitled
"Tentative Plat of World Trade Center" as prepared by the Department of Public
Works, City of Miami, Florida, under Job # E 1064, File 11 C P 246 and consisting of one
sheet.
C r
FXMWT B
DESCRIPTION OF DEMISED PREMISES
Subject to the as -built determination described herein, the Demised Premnises
shall consist of the volume of space lying above the bottom of the platform at the top
of the Garage within the vertical planes of the perimeter of the Land, as defined in
Exhibit A. The Demised Premises shall include the following appurtenant rights within
the Excepted Premises and the Parking Garage, such rights to be for the exclusive use
of Dade unless otherwise described:
1. For access to and use of, in common with the City (except as otherwise
provided herein), all stairways and other means of ingress and egress
between the Parking Garage and the Base Plane and the Trade Center
and between the Trade Center and SE Third Street, SE First Avenue and
SE Second Street.
2. For access to and use of, in common with the City, the Parking Garage
and between the Parking Garage and the Base Plane and the
Trade Center.
3. For access to and use of the express elevators and the elevator shafts
from the Lobby described below to the Trade Center.
4. For access to and use of an elevator lobby on the Southeast First Avenue
side of the ground floor of the Parking Garage.
S. For use in common with the City of an area sufficient to comply with
local buiiding and zoning codes on the ground level of the Parking Garage
for truck and vehicular loading and unloading and movement of
equipment and supplies.
L:W
EXHIBIT A
DESCRIPTION OF LAND
That certain parcel of land as described in that sketch of survey entitled
"Tentative Plat of World Trade Center" as prepared by the Department of Public
Works, City of Miami, Florida, under Job # E 1064, File # CP 246 and consisting of one
sheet.
6. For use of certain areas to be designed by the City and Dade within the
Parking Garage for mechanical, electrical, storage, maintenance,
utilities and other purposes reasonably supportive of the Trade Center.
7. For use of other areas within the Parking Garage at locations determined
by Dade subject to the approval of the City, which approval shall not be
denied or withheld if such use does not diminish the parking capacity of
the Park.ng Garage or unreasonably interfere with the parking operations
conducted therein, for plumbing, drainage, electrical, telephone, water,
heating, ventilating, air cooling, gas, steam, exhaust, and other utilities,
piping, lines, ducts, shafts and equipment, appurtenant to or supportive
of the improvements which may lawfully be constructed (or
reconstructed as provided herein) within the Demised Premises or in
which Dade is granted a right under any provision hereof, and any
activities conducted therein.
B. For support, in common with the City, in and to all structural members,
footings and foundations to be located within or without the land and
which are necessary for support of improvements which may lawfully be
constructed (or reconstructed as provided herein) witin the Demised
Premises and any improvements with respect to which Dade is granted a
right under any provision hereof.
9. For entry upon, and for passage through, the Excepted Premises and
Parking Garage with men, material anu equipment for maintenance
(including but not limited to, painting and other decorating), operation,
inspection, testing, repair, copnstruction, alteration, replacement and
cleaning of all ur any part of the improvements or equipment of the City
of Dade, whether or not located in the Excepted Premises or Parking
Garage, to enable the use by Dade of the rights granted hereby, including
H-2
80. 501
but not limited to the structural members, footings and foundations
required for support of the improvements to be built in the Demised
Premises as described in Article 5. Such operations shall be performed
in a manner that will not unreasonably interfere with the operation of
the Parking Garage. The rights granted to Dade in this paragraph shall
not impose any affirmative obligation on Dade except where expressly
provided elsewhere in this Exhibit.
10. For entry upon and pasage through the Excepted Premises to the extent
necessitated by an emergency involving risks of personal injury or
property damage.
Excepting and reserving in the Demised Premises for the benefit of the City,
to be used in common with Dade and others entitled thereto, the following rights:
1. For public pedestrian passage in a lobby area on the first level of the
Trade Center between the terminii of the elevators described in items 2
and 3 above.
2. Of support in and to all structural members, footings and foundations
located within the Excepted Premises with respect to which Dade is
granted a right hereunder and which are necessary for support of the
Parking Garage.
3. For maintenance (including but not limited to, painting and other
decoration) operation, inspection, testing, repair, construction,
alteration, replacement and cleaning in any area within the Excepted
Premises with respect to which Dade is granted a right hereunder, the
responsibility for which is required or permitted hereunder to be
performed by the City.
4. For entry upon, and passage through, any areas within the Excepted
Premises with respect to which Dade is granted a right hereunder with
13- 3
e•
men, materials and equipment, to the extent reasonably necessary in the
performance of maintenance (including but not limited to, painting and
other decoration), operation, inspection, testing, repair, construction,
alteration, replacement and cleaning, whether or not located within the
Excepted Premises, the responsibility for which is required or permitted
hereunder to be performed by the City.
S. For ingress and egress through any f acility located within the Excepted
Premises with respect to which Dade is granted a right hereunder to the
extent necessitated by an emergency involving risks to persons or
damage to property.
Notwithstanding any provision in this Lease to the contrary, in recognition of
the fact that the appurtenant rights described above will be further defined upon
completion of the various improvements described herein, from and after substantial
completion of construction of the Parking Garage and the recording of separate
instruments relating thereto, the Base Plane shall be the uppermost surface, at various
elevations, of the roof of the Parking Garage completed to the level described in
Section 502 of the Lease, and the areas in which the rights are granted, excepted or
reserved hereby, if enclosed, shall be located on an as -built basis between the inner
surfaces of the walls of such areas.
B-4
EXFG 1T C
CONVENTION CENTER PARKING GARAGE DESIGN CRITERIA
Structure and Foundation
The garage superstructure framing and garage foundations will be reinforced
concrete. The garage superstructure and foundations will be designed to accommodate
a 600,000 square foot office building tower with atypical gross floor area of 15,000 to
20,000 square feet per floor. The garage will carry a tower superstructure framing
system of reinforced concrete capable of supporting 50 lbs. per square foot live load
and 20 lbs. per square foot dead load all in accordance with the South Florida Building
Code.
The garage columns will be spaced and located so as to produce the most
efficient, functional parking scheme giving due consideration to the needs of the air
rights structure. The garage columns will be designed to pick up the tower loads
concentrically. Each garage column supporting the tower will carry loads computed at
each column as forces in three directions and bending moments in three directions.
These six components of force at each column carrying the tower will then be
transmitted through the garage structure to its foundations.
If it is desired that the tower column grid is shifted off of the garaage column
grid, the tower design will need to incorporate appropriate transfer girders to
accomplish this desire.
Mechanical and Electrical
Provide ground floor ,pace adjoining building exterior for domestic water surge
tanks, fire pumps, domestic water pumps and related piping and equipment. Space
provided: approxitnately 20'X251X151, but at least sufficient to meet applicable code.
C-1
Provide domestic water, sewerage, waste, vent piping, fire system and sleeves
for entering service. Provide sleeves only for piping and risers for the domestic water
and fire water systems at a location determined by the City. Domestic water and fire
water systems shall be sized for the above described tower, in accordance with the
South Florida Building Code and good engineering practice.
Provide sleeves only for primary electrical service in accordance with Code at a
location determined by the City.
Provide a complete HVAC system for ground floor lobby and shell retail spaces.
Elevators:
Shafts for access to tower will be provided through the garage for six elevators.
Four passenger type capable of carrying 6500 lb. and two freight. The passenger type
elevator will be capable of going to the lobby level of the Trade Center. The
responsibility to extend the shaft from the roof deck to the lobby level will rest with
the tower developer.
Fire Stairs:
Fire stairs will be provided throught the garage structure adequate to meet the
code requirement and the type of occupancy expected in a trade center type building
of 600,000 sq. ft., not to exceed 5 feet in width.
Necessary corridor offsets from the office building fire stair locations to the
locations of the exit stairs within the garage shall be handled entirely within the office
building structure. Exits for fire stairs at grade shall be in accordance with the South
Florida Building Code and appropriately co-ordinated with ground floor lobby and
retail space layout.
Roof Deck
Above the last parkin; level a roof deck shall be provided which is designed for a
live loading of 100 lbs. per square foot. No waterproofing membrance will be
provided. Special features and waterproofing of the roof deck beyond the tower
C-2
i
e�"
structure will be the responsibility of the tower developer. Any special considerations
to the roof deck such as special drainage requirements or lighting requirements will be
the responsibility of the tower developer.
Garage Exterior Finishes
An allowance of $450,000 has been provided for the garage exterior and lobby
finishes. This allowance may be transferred to the tower developer should he elect to
provide a curtain wall other than the one proposed for the garage byf the Turnkey
contract. The tower developer is responsible for lobby finishes.
General
Provide off-street loading berths for a 600,000 square foot office building as
described above and as required by the South Florida Building Code and applicable
zoning requirements.
Provide access to the 600,000 square foot office building freight elevators from
the loading dock. Said access shall be planned so as not to interfere with ground floor
layout of the lobby, retail facilities, garage access or the people mover access.
Storm Water Facilities
Provide storm water systems to handle rain water runoff as required by South
Florida Building Code and in accordance with good engineering practice, within the
boundaries of the site.
Schematics
In addition to the written description this exhibit includes the sketches prepared
by I.M. Pei and Partners dated May 29, 1980 and the six sketches prepared by Miami
Center Associates dated June 11, 1980 and attached hereto and made a part hereof.
Construction of Documents
In construing this Exhibit, the applicable provisions of the South Florida Building
Code wil be deemed to control unless there is specific reference either in this Exhibit
or elsewhere in the Lease requiring a higher standard than that set forth in the said
South Florida [wilding Code.
C-3
.'+i�'.�J�'Iw1i�R�►IF.A.-r�i�rw.ir.+.�w..�...�.� .........�e..r,_..,i�w�. - -
+ ��..-- _._—...._--._—�1 Hr11 .r_iY.11•er_+//`—.--- ------.--
�'� — !` raegarf 1 afar I,w - —
i�1•/N/,fJl /11JYa•1 Ilff •I �IIIQa 1
M I�.�M ff•.I .ff /..•. 1.•rw1
Ra trr •.ra lit{ ,
lr.{ Il rr.rr MItI •Il �� fI.\'. yl♦,/
rhr.•r Mesa w /rI .rrl. •. .
WfII .I... l�..If
0- -0-4- -s- -0- ---o
7
0 0 I0
1to
I
I
L
yYwM
I
•1/1.
-�.-. _.L» tY'1` IRON .DIY• N\Y 111iI
l
ii+r. fM.L
1 �•Y• (i li\f' (C' �f0' �f l••
.T+ti �..--. ('--,__�-
f
•—_.O• f f -'{-C'—f _f'!' ,f P� 1{•Or
IiY�•��
-_�—_��
-� ..-..
.t•
---.
''r' ..�-- —`_
rl
�!^
I'
1. T• 1'LI llr I'AIITNI:IIfi, AIICIIITI:CT9
FII�MI MrtKt.0 �Vif
�(N;: ,
-'-
„•,
000.I.'AU1-.()NAVC.Nl.N'V0111%N.V.100:!
pe
41
pq
Is
I_ I � ....... • , ,mot .. �. _.� • ' , re•'� ... • . • _ • � • • , �;
it
JN
"oew," KSOWAL;
too
poi-asa. 0*01 . W—P
J�
IS
80-501
di.
ol
Of,
bi.
. ........
�� 1 '+,� r r � �/� \ � � `ter'• � � ......�.. .�wa � : ... � \hY � ..:. � A ' � !' .
..w.► •r\••.�r`aa+lav �,.••t•r,t•«t•J. r�Mw'ML•.\•.• .w ..►.w '/—•.. -. wrr•••.w�1l,.ww,..•w,.•. Y ..1, ,.
_._.�.. __. ..�._. ..ate .._ .... ...- .. r. ...a.... .. .. .-. -.._ter. �. ... _....•r•r�.. • .... .-.r+�.r..� .r... r_.rr�
f Uo
`y
Y r�
Is S:
.5 -
a
153
(ITS
�10 Lo
=I'1�
LOP�A 7/c.e,A..%gne61AL
Szrl
i
cic,gOr L�'ti'EL. er►ltflC
f
GorNn,--cctnL
2e�yo Vi
y
GtiLGvLArt 3N
✓AsSJf�6
Soa
. who 000.4
rum
L *44Y
1,700
t oo#%
Yo
'
COKE/
Q��Ce�sO
EMENT D
DESCRIPTION OF TRADE CENTER
As per the plans called for in Section 510 hereof.
r
. I ,
EXH1MT E
ALLOCATION OF SPACE WITHIN THE TRADE CENTER
A. TC Special Services and Facilities
r, Qualified Space (see Section 302 (c)
C. Space Reserved for Dade
TOTAL
TENANT SPACE
50,000
300,000
150,000
500,000 Square Feet