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HomeMy WebLinkAboutexhibitAMENDMENT NO. 1 TO THE LEASE AGREEMENT BETWEEN THE CITY OF MIAMI AND GOLDEN SANDS ALLAPATTAH CORPORATION This Amendment is entered into as of , 2004, [but effective as of November 20, 2003] by and between Golden Sands Allapattah Corporation, a Florida corporation (the "Lessor") and the City of Miami, a municipal corporation of the State of Florida (the "Lessee"), for the purpose of extending and amending that certain Lease Agreement between the Lessor and Lessee, dated November 20, 2002 (the "Lease") as set forth herein. RECITALS: Whereas, the Lessee entered into a Lease with Lessor for the provision of office space on the ninth floor of the building located at 1313 NW 36 h Street, Miami, Florida (the "Building") for the Internal Affairs Division of the Miami Police Department; and Whereas, the term of the Lease was for one (1) year, terminating on November 19, 2003; and Whereas, Lessee has five options to extend the term of the Lease for periods of one (1) year each, under the same terms and conditions of the Lease, with the exception that the rental amount which was to be negotiated; and Whereas, Lessee currently occupies 9,000 square feet of the Building and pays a rental rate of $14.50 per square foot ("Rental Rate"), in the amount of $10,875.00 per month; and Whereas, Lessor and Lessee wishes to enter into this Amendment to extend the term of the Lease for an additional one year term (the "Extended Term") and to amend the Lease to establish the rental rates for the Extended Term(s); and Whereas, the parties have negotiated that the Rental Rate for the first Extended Term to be $14.50 per square foot, the same amount as the primary term of the Lease; and Whereas, the initial lease requires Internal Affairs Division of the Miami Police Department to pay $15.00 per hour for overtime air conditioning usage, of which the average of air conditioning usage is approximately 40 hours per month; NOW, THEREFORE, in consideration of the foregoing and of the mutual agreements and covenants of the parties as set forth in the Lease, Lessor and Lessee agree as follows: 1. Option to Extend: Pursuant to the provisions of Section 4 of the Lease entitled "Option to Extend", the parties agree to extend the term of the Agreement, for one (I) year commencing on November 20, 2003 and terminating on November 19, 2004 ("Extended Term"). For this Extended Term, the parties hereby waive the provision of Section 4 of the Lease which required the Lessee to give notice to the Lessor of its election to extend the term of the Lease no later than six (6) months prior to the expiration of the current term. 2. Amount of Rent and Manner of Rent Payment: Section 3 of the Lease entitled "Amount of Rent and Manner of Rent Payment" is amended by adding the following as Subsection F: "The Rental Rate for the first Extended Term shall be $14.50 per square foot. Currently, Lessee occupies 9,000 square feet of the Building therefore the total monthly rental is in the amount of $10,875.00. For subsequent Extended Term(s), the Rental Rate shall be adjusted. Lessee agrees to pay Lessor an increase in the Rental Rate which shall be calculated as the lesser of 1) three percent (3%) of the previous Extended Term 's rental rate or 2) the increase in the Consumer Price Index as published by the United States Department of Labor, Bureau of Labor Statistics, Consumer Price Index. U.S City Average for All Urban Consumers, Seasonally Adjusted, Miami -Ft. Lauderdale, All Items (1982-84=100) (hereinafter the "CPI'). The CPI increase shall be calculated by multiplying the Rental Rate at the end of the preceding lease year by a fraction, which numerator shall be the difference in (a) the CPI two (2) months prior to the beginning of the Extended Term for which the adjustment is to be made, minus (b) the CPI published two (2) months immediately prior to the preceding lease year (the "Comparison Year'), and the denominator is the same as (b) above. Example No. 1: If the Rental Rate for the first Extended Term is $14.50 per square foot. The CPI increase is five percent (5%). Then, the increase in the Rental Rate for the second Extended Term shall be three percent (3%). The Rental Rate for the second Extended Term shall be $14.94 [14.50 x 1.03]. Example No. 2: If the Rental Rate for the second Extended Term is $14.94 per square foot. The CPI increase is two percent (2%). Then, the increase in the Rental Rate for the second Extended Term shall be two percent (2%). The Rental Rate for the second Extended Term shall be $15.24 [14.94 x 1.02]. K#03-1135 2 3. Governing Conditions: Except as specifically provided herein, all of the terms and provisions of the Lease shall remain in effect. In Witness Whereof, the parties hereto have executed this Amendment No. 1 to the Lease as of the day and year first above written. Attest: Corporate Secretary Print Name Attest: By: Priscilla A. Thompson, City Clerk APPROVED AS TO FORM AND CORRECTNESS: By: Alejandro Vilarello, City Attorney K#03-1135 3 LESSOR: Golden Sands Allapattah Corporation, a Florida corporation. By: President Print Name LESSEE: City of Miami a municipal corporation of the State of Florida By: Joe Arriola, City Manager APPROVED AS TO INSURANCE REQUIREMENTS: By: Dania Carillo Risk Management Administrator