HomeMy WebLinkAboutAttachment B SUBTHIS DOCUMENT IS A SUBSTITUTION.
ORIGINAL CAN BE SEEN AT THE END OF
THIS DOCUMENT.
SUBLEASE AGREEMENT
THIS SUBLEASE AGREEMENT ("Sublease"), made this day of , 2017
("Effective Date"), by and between the CITY OF MIAMI, a municipal corporation of the State of
Florida having its offices at 3500 Pan American Drive, Miami, Florida 33133 ("Sublessor" or
"City") and NKMIA, LLC, a Delaware limited liability company, having its offices at 1175 NW
South River Drive, Miami, Florida 33136, ("Sublessee"). The Sublessor and Sublessee, (together
the "Parties") hereby recite:
RECITALS
WHEREAS, Fashion designer Naeem Khan is relocating his New York -based corporate
headquarters to the City, specifically to County -owned property located at 1175 NW South River
Drive, and his company, NKMIA, LLC ("NKMIA") has executed a ninety (90) year lease
agreement with Miami -Dade County ("County") for said County -owned property;
WHEREAS, NKMIA received approval for the construction of two buildings that will
house the corporate headquarters, a manufacturing facility and a fashion school and received
approval for the construction of a public riverwalk and new seawall ("Project");
WHEREAS, NKMIA has requested the City sublease the premises owned by the State of
Florida Department of Transportation ("Department") located under the N.W. 12th Avenue Bridge,
also known as Parcel No. 4454, as more particularly described in Exhibit "A" ("Property") for
parking purposes only;
WHEREAS, the Department approved the City to sublease the Property under that certain
Lease Agreement dated the day of , 2017 ("Lease");
WHEREAS, it is the mutual desire of the Parties that the Property be subleased for the
purposes set forth in this Sublease, subject to and upon the express terms and conditions contained
herein.
NOW THEREFORE, in consideration of the mutual promises of the Parties contained
herein and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the Sublessor and the Sublessee agree as follows:
The foregoing Recitals are hereby incorporated into this Sublease by this reference as if set out in
full in the body of this Sublease.
1. Property and Term. The Sublessor does hereby sublease unto the Sublessee the Property, for
a term of ten (10) years beginning and ending . This Sublease may be
File No. 2276
Page 1 of 14
renewed for an additional ten (10) years term; however, in no event shall this Sublease extend
beyond the expiration of the total term of the Lease. Sublessee shall provide Sublessor (150) days
advance written notice of its intent to exercise the renewal option.
2. Use, The subleased Property shall be used solely for vehicle parking purposes. If the Property
is used for any other purpose, the Sublessor shall have the option to immediately terminate this
Sublease. The Sublessee shall not use or permit any use of the Property in any manner that would
obstruct or interfere with the operation or maintenance of any transportation facilities owned by
the Department. Sublessee shall use the Property in aecordance with applicable federal, state, local
laws, rules and permits, as the same may be constituted including without limitation, those of the
City and the Department.
2.1 Users. The Parties hereby agree to allow the following number of parking spaces to be reserved
for the Sublessor, Sublessee, and the Department's bridge tender, collectively the ("Users"):
• Sublessee: 31 spaces
• Sublessor: 10 spaces
• Bridge Tender: 1 space
2.2 Signage. In addition to any other signage that is required by statue, regulation, ordinance or
applicable law, the Sublessee, at its own cost, may conspicuously display signage on or about the
Property advising that the subject Property is a parking lot for the Sublessee and Sublessor, and all
unauthorized vehicles will be towed at the expense of the vehicle's owner. Such signage may also
advise that the owner, Sublessor and Sublessee, of the Property is not liable for any loss or damage
to any vehicle, or the contents of any vehicle parked on or about the Property. All signage shall be
submitted to Sublessor and the Department for approval, which approval shall not be unreasonably
withheld.
3. Rent. In exchange for the Improvements provided, no rent payments shall be required of the
Sublessee during the initial ten (10) year term. Thereafter, Sublessee shall pay the going market
rate, per a City -approved State of Florida certified appraisal, for those spaces used by the
Sublessee, with Sublessee's total monthly payment made in two (2) equal parts of fifty percent
(50%) each to the City and the Department. The Parties agree that the Sublease shall be modified
accordingly.
4. Improvements. The Sublessee agrees to construct a new parking facility, as described in the
attached Exhibit "B" ("Improvements"), at the Sublessee's sole cost and expense. Sublessee shall
construct the Improvements on the Property within twelve (12) months of the Effective Date.
Sublessee shall submit to the Department and Sublessor for approval (not to be unreasonably
withheld, delayed, or conditioned) its plans (defined below) for the commencement and
completion of the construction of the Improvements. The plans shall include construction and
development plans for the Property ("Plans").
All Plans furnished under this Sublease are expressly subject to the Sublessor's and Department's
written approval. The City Manager is hereby authorized to act on behalf of the City for purposes
of such approval, and which approval he or she may not unreasonably withhold, condition or delay.
Page 2 of 14
In the event that the Department or Sublessor disapproves the Plans, Sublessee shall modify the
Plans in accordance with the reasons set forth in the disapproval notice, if applicable. The modified
Plans shall be resubmitted to the Department and/or Sublessor for final review and approval within
thirty (30) business days of receipt of the notice.
No approval by the City Manager of any Plans furnished under this Sublease pursuant to this
section of this Sublease shall relieve Sublessee of any obligation it may have at law to file such
Plans with any department of the City, if applicable, or any other governmental authority having
jurisdiction over the issues; or to obtain any building or other permit or approval required by
applicable laws. Sublessee acknowledges that any approval given by the City Manager pursuant
to this Section shall not constitute an opinion or agreement by the City that the Plans are
structurally sufficient or in compliance with applicable laws.
Subject to the provisions of this Sublease, Sublessee, at Sublessee's sole cost and expense, at all
times during the Sublease term, shall make all repairs to all Improvements, including, without
limitation, any repair or replacement to the Improvements. The Sublessee shall be responsible for
maintenance and repairs to the Improvements to the Property throughout the term of this Sublease.
Sublessee shall utilize the services of a licensed CEI firm that is pre -qualified with the State of
Florida to perform the work, including all construction and engineering inspection work related to
the Improvements at Sublessee's sole cost and expense. Said CEI shall certify the completion of
the work, in accordance with final approved Plans, at the end of construction, in accordance with
the provisions of the current Department Construction Project Administration Manual (CPAM).
Should any changes to the Plans be required during construction of the Improvements, the
Sublessee shall be required to notify the City and the Department of the changes and receive
approval from the City and the Department prior to the changes being constructed. During
construction, Sublessee shall be responsible for the maintenance of the Property all times, at
Sublessee's sole cost and expense.
Title to all Improvements, shall vest in the Department, free and clear of all liens and
encumbrances.
5. Property to Remain Free of Liens. During the term of this Sublease, the Sublessee shall make,
or cause to be made, prompt payment of all money due and legally owed to all persons doing any
work, including subcontractors, or providing supplies and equipment in connection with the
construction, reconstruction or operation of the Property. The Sublessee shall have no power or
right to, and shall not in any way, encumber the Department's fee simple interest in the Property.
If any liens or encumbrances shall at any time be filed against the Property, the Sublessee shall,
upon acquiring knowledge of such lien or encumbrance, promptly take and diligently pursue a
cause of action to have the same discharged or to contest in good faith the amount or validity
thereof and, if successful in such contest, to have the same discharged. If Sublessee fails to
discharge the lien, the Sublessor, in addition to any other right or remedy that it may have, may
take such action as may be reasonably necessary to protect the City and Department's interests,
and the Sublessee shall be responsible for any and all reasonable costs incurred by the Sublessor
in connection with such action, including all reasonable legal fees, costs and expenses.
Page 3 of 14
6. Insurance. In connection herewith, Sublessee shall obtain and maintain, or cause to be obtained
and maintained, in full force and effect throughout the period of this Sublease, the insurance
coverage set forth in Exhibit "C". Additionally, as may be required by state, county, or city laws
from time to time for work conducted on or use of municipal properties, Sublessee shall obtain
and maintain, or cause to be obtained and maintained, throughout or during the Sublease term, as
applicable, such types and amounts of payment, performance, maintenance, or restoration bond(s)
as shall be required to be reviewed and approved by the City's Risk Management Department.
6.1 Sublessee Contractors. Sublessee shall require any contractor of Sublessee's performing work
on the Property to carry and maintain, at no expense to the Sublessor, those same specific insurance
requirements as may be established by the City's Risk Administrator, and more specifically set
forth in Exhibit "D".
The Sublessor reserves the right to reasonably amend the insurance requirements herein as may be
applicable in connection with the scope contemplated under this Sublease. Sublessor further
reserves the right to request copies of all applicable policies in connection with this Sublease.
7. Indemnification. Sublessee shall indemnify, defend and hold harmless the Department and the
City and its officials, employees and agents (collectively the "Indemnitees") from and against any
and all third party loss, costs, penalties, fines, damages, claims, liabilities or expenses (including
without limitation, reasonable attorneys' fees and costs through litigation and all appeals)
(collectively, "Liabilities") by reason of any injury to, or death of, any person or damage to, or
destruction or loss of, any property arising out of or resulting from or which is caused, in whole or
in part, by the negligence of Sublessee or Sublessee representatives in the construction,
maintenance, repair, and/or removal of the Improvements. Sublessee expressly agrees to
indemnify, defend and hold harmless the Indemnitees, or any of them, from and against all
Liabilities which may be asserted by an employee or former employee of Sublessee, or any of its
contractors, or subcontractors, as provided above, for which the Sublessee's liability to such
employee or former employee would otherwise be limited to payments under state Workers'
Compensation or similar law. Sublessee further acknowledges that, as lawful consideration for
being granted a Sublease to use the Property, Sublessee, on behalf of itself, its agents, invitees and
employees, does hereby release from any legal liability the Department and the City, and its
officers, employees and agents, from and against any and all claims for injury, death or property
damage resulting from Sublessee's use of the Property.
8. Access to the Property. The Department and the City may enter the Property at any time
without prior notice to Sublessee for any purpose, including, without limitation, performance of
this Sublease agreement, observing and inspecting the Property maintaining, repairing and
improving the transportation facilities and for any and all other lawful purpose the Department and
the City determine necessary for the conduct of its business.
9. Termination. This Sublease may be terminated by the City immediately, without prior written
notice, upon default by Sublessee hereunder, and may be terminated by either party without cause
upon thirty (30) days written notice to the other party.
Page 4of14
10. Miscellaneous. Sublessee shall not, at any time during the Sublease term, enter into (i) any
sublease, license, or concession with respect to the entire Property or (ii) sublease, assign or
transfer this Sublease to any third party or parties, without first procuring the prior written consent
of the City, which consent shall not be unreasonably withheld.
Sublessee shall, in all material respects, at Sublessee's sole cost and expense, comply with all
applicable federal, state, and local laws, and all applicable permitting and regulatory requirements,
rules, regulations, codes, ordinances, and written policies now in force, or which may hereafter be
in force, pertaining to Sublessee or its use of the Property, and shall faithfully observe in the use
of the Property or in the performance of any alterations (including, without limitation, the
construction of any Improvements) all applicable laws now in force or which may hereafter be in
force.
Any notice by the Parties required to be given must he served by certified mail return receipt
requested, or by hand delivery, addressed to Sublessor or Sublessee at:
If to Sublessor at:
City Manager
City of Miami
444 SW 2nd Avenue, loth Floor
Miami, Florida 33130
With copies to:
City Attorney
City of Miami
444 SW 2nd Avenue, 9th Floor
Miami, Florida 33130
City of Miami
Director, Depart. of Real Estate & Asset
Management
City of Miami
444 SW 2nd Avenue, 3rd Floor
Miami, Florida 33130
If to Sublessee at:
Naeem Khan
NKIVIIA, LLC
1175 NW South River Drive
Miami, Florida 33136
With a copy to:
Shariq Khan
NKMIA, LLC
1175 NW South River Drive
Miami, Florida 33136
Daniel Zumpano, Esq.
Zumpano Castro, LLC
500 S. Dixie Hwy. Ste. 302
Coral Gables, Fl. 33146
All notices given hereunder shall be effective and deemed to have been given upon receipt by the
party to which notice is being given, said receipt being deemed to have occurred upon hand
delivery, or upon such date as the postal authorities shall show the notice to have been delivered,
refused, or deemed undeliverable, as evidenced by the return receipt or proof of deliver.
Notwithstanding any other provision hereof, Sublessor shall also have the right to give notice to
Sublessee in any other manner provided by law, but notice by publication shall not be valid where
written notice is required by Sublessor. If there shall be more than one Sublessee, any notice
required or permitted by the terms of this Sublease may be given by or to any one thereof, and
shall have the same force and effect as if given to all thereof.
Page 5 of 14
11. Job Creation Requirement and Compliance. Thirty-five percent (35%) of the jobs created
by Sublessee shall be set aside for City residents; with an independent third party, properly licensed
pursuant to Chapter 473, Florida Statutes, and possessing a minimum of two (2) years experience
in contracts compliance, auditing, personnel administration or payroll enforcement, verifying and
confirming monthly compliance with said job creation requirement, at the cost of Sublessee; with
payment of a penalty to the City equal to the monthly fair market value of the parking spaces
allotted to Sublessee per each month of noncompliance.
12. Entire Agreement. This instrument constitutes the sole and only agreement of the Parties,
and correctly sets forth the rights, duties, and obligations of the Parties. There are no collateral or
oral agreements or understandings between the Parties relating to this Sublease. Any promises,
negotiations, or representations not expressly set forth in this Sublease are of no force or effect.
This Sublease shall not be modified in any manner except through an instrument, in writing,
executed by each Party.
13. Venue. This Sublease shall be governed by Florida law and all disputes arising out of the same
shall be subject to the exclusive jurisdiction and venue of the state or federal courts located in
Miami -Dade County, State of Florida, and the Parties consent to the exclusive personal jurisdiction
and venue of these courts. Each party shall bear its own attorney's fees.
14. Non -Discrimination. In connection with the performance of any obligation under this
Sublease, Sublessee agrees not to refuse to hire, discharge, promote or demote, or to discriminate
in matters of compensation, against any person otherwise qualified on the basis of race, color,
religion, national origin, gender, age, military status, sexual orientation, marital status or physical
or mental disability; and further agrees to insert the foregoing provision in all subcontracts related
to the performance of this Sublease.
15. Waiver. No waiver or breach of any provision of this Sublease shall constitute a waiver of
any subsequent breach of the same or any other provision hereof, and no waiver shall be effective
unless made in writing.
16. Third -Party Beneficiaries. Nothing in this Sublease, express or implied, is intended to (a)
confer upon any person, other than the expressed Parties herein, any rights or remedies under or
by reason of this Sublease as a third -party beneficiary, or otherwise; or (b) authorize anyone not a
party to this Sublease to maintain an action pursuant to or based upon this Sublease.
17. Time of Essence. Time shall be deemed of the essence on the part of the Parties in performing
all of the terms and conditions of this Sublease.
Page 6 of 14
THE REMAINDER OF THE PAGE INTENTIONALLY LEFT BLANK
IN WITNESS WHEREOF, Sublessor and Sublessee have executed this Sublease, or have
caused the same to be executed, as of the date and year first above written,
SUBLESSOR:
CITY OF MIAMI, a municipal corporation
ATTEST: of the State of Florida
By: By:
Todd B. Hannon Daniel J. Alfonso
City Clerk City Manager
APPROVED AS TO INSURANCE APPROVED AS TO LEGAL FORM &
REQUIREMENTS: CORRECTNESS:
By: By:
Ann -Marie Sharpe, Director Victoria Mendez
Risk Management Department City Attorney
Page 7 of 14
SUBLESSEE:
NKMIA, LLC
Name of Authorized Agent
Title
ATTESTED BY: CORPORATE SEAL
By:
Narne
Title
Company Naine
By:
Name
Title
Company Name
Page 8 of 14
Exhibit A
Property
Sketch and Legal Description
(TO BE INCORPORATED PRIOR TO EXECUTION)
Page 9 of 14
EXHIBIT B
niF/FAinmppiNiv
EFJ 3E SUPPORT
ttViAtS t'Mf WALK.
PLR/4 M EASE) OFF QFPRESSURENO1TS T.SlaN ON SgTE
AND WILt_ NEFD TO SS •,,,ERFRE5 vio4 SUSYSY
AfialIfTECTONICA
2PLOCAP.4,43444Asert XII 31
R.t.272.1114ft VFLORti ftt'S
vrew,
NAEEN1 KHAN STUDIO
€173 NW SX11-1 =it
o,
2TH AVE BRIDGE PARKING
SK0.01
Each Occurrence $2,000,000
Policy Aggregate $2,000,000
City of Miami and FDOT listed as an additional insured
Excess Follow Form over all applicable liability policies included herein
V. Property
Commercial Property Insurance covering the buildings, fixtures, equipment, inventory or
contents, improvements, and betterments owned by NKMIA, LLC. The property policy shall,
at a minimum, cover the perils insured under the ISO Special Causes of Loss Special Form (CP
10 30), or a substitute form providing equivalent coverages, including debris removal,
windstorm, hail and flood, demolition and increased cost of construction that are caused by
Legal requirements regulating the construction or repair of damaged Facilities, including an
ordinance and law endorsement, in an amount of not less than the replacement cost of the
property insured. In addition, the property policy should include coverage for business
interruption including extra expense coverage written on an actual loss sustained basis, if
available, along with sprinkler leakage and plate glass if applicable.
The amount of insurance shall equal the full estimated replacement cost of the Facilities
owned by NKMIA, LLC.
The City shall be included as an additional insured and loss payee under the commercial
property insurance.
The above policies shall provide the City of Miami with written notice of cancellation or material
change from the insurer in accordance to policy provisions.
Companies authorized to do business in the State of Florida, with the following qualifications, shall issue
all insurance policies required above:
The company must be rated no less than "A-" as to management, and no less than "Class V" as to
Financial Strength, by the latest edition of Best's Insurance Guide, published by A.M. Best Company,
Oldwick, New Jersey, or its equivalent. All policies and /or certificates of insurance are subject to
review and verification by Risk Management prior to insurance approval.
The City reserves the right to request a certified copy of the insurance policy including all
endorsements. In addition, the City must be provided with all applicable additional insured
endorsements as noted in the insurance exhibit, which must be attached to each of the corresponding
certificates of insurance.
Page 12 of 14
Exhibit D
INSURANCE REQUIREMENTS FOR A CERTIFICATE OF
INSURANCE -CONSTRUCTION REQUIREMENTS NKMIA, LLC
I. Commercial General Liability
B. Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $1,000,000
General Aggregate Limit $2,000,000
Products/Completed Operations $1,000,000
Personal and Advertising Injury $1,000,000
C. Endorsements Required
City of Miami & FDOT listed as an additional insured
Contingent and Contractual Liability
Premises and Operations Liability
Explosion, Collapse and Underground Hazard
Primary Insurance Clause Endorsement
IV. Business Automobile Liability
A. Limits of Liability
Bodily Injury and Property Damage Liability
Combined Single Limit
Any Auto
Including Hired, Borrowed or Non -Owned Autos
Any One Accident
B. Endorsements Required
City of Miami & FDOT listed as an Additional Insured
V. Worker's Compensation
Limits of Liability
Statutory -State of Florida
Waiver of subrogation
Employer's Liability
$1,000,000
A. Limits of Liability
$1,000,000 for bodily injury caused by an accident, each accident.
$1,000,000 for bodily injury caused by disease, each employee
$1,000,000 for bodily injury caused by disease, policy limit
IV. Umbrella Policy
Page 13 of 14
A. Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $2,000,000
Aggregate $2,000,000
City of Miami & FDOT listed as an additional insured
Excess Follow Form over all applicable liability policies contained herein
V. Owners & Contractor's Protective
Each Occurrence $1,000,000
General Aggregate $1,000,000
City of Miami & FDOT listed as named insured
VI. Payment and Performance Bond $ Full Value
City of Miami & FDOT listed as an Obligee
VII. Builder's Risk
Causes of Loss: All Risk of Direct Physical Damage or Loss
Valuation: Replacement Cost
Deductibles: 5% Wind, Hail, and Flood, $25,000 AOP
Coverage Extensions included
City of Miami listed as an additional insured and loss payee
The above policies shall provide the City of Miami with written notice of cancellation or material
change from the insurer not less than (30) days prior to any such cancellation or material change, or in
accordance to policy provisions.
Companies authorized to do business in the State of Florida, with the following qualifications, shall issue
all insurance policies required above:
The company must be rated no less than "A-" as to management, and no Tess than "Class V" as to
Financial Strength, by the latest edition of Best's Insurance Guide, published by A.M. Best Company,
Oldwick, New Jersey, or its equivalent. All policies and /or certificates of insurance are subject to
review and verification by Risk Management prior to insurance approval.
Page 14 of 14
THIS SUBLEASE AGREEMENT ("Sublease"), nude this day of 2017
("Effective Date)„ by and between the CITY OF MIAMI, a municipal corporation f the State of
Florida having its offices at 3500 Pan American Drive, Miami, Florida 33133 'Sublessor" or
"City") and. NKMIA, LLC, a Delaware limited liability company, having its o '.ces at 1175 NW
South River Drive, Miami, Florida 33136, ("Sublessee), The Sublessor •and ublessee, (together.
the "Parties") hereby recite:
aa
WHEREAS, Fashion designer Naecin Khan is relocating New York -based emporate
headquarters to the City, specifically to County -owned property 1 eated•at I 175 NW South River
Drive, and his company, NKMIA, LLC ("NKMIA") has e. uted a ninety (90) year lease
agreement with the Miami -Dade County ("County") for said ounty-owned property;
co
WHEREAS, NKMIA received approval for tl construction of two buildings that will
house the corporate headquarters, a manufacturing cility and a fashion school and received
approval for the construction of a public riverwalk d new seawall ("Project");
WHEREAS, NKMIA has requested d City sublease the premises owned by the State of
Florida Department of Transportation ("Dep rtment") located under tbel\L W. 12th Avenue Bridge,
also known as Parcel No, 4454, as more articularly described in Exhibit "A" ("Property") for
parking purposes only;
t‘i
WHEREAS, the Departm t approved the Cityto sublease the Property under that certain..
WHEREAS, it is e mutual desire of the Parties that the Property be subleased for the
purposeset forth in this ublease, subject to and upon the express terins and conditions contained ts.
herein.
NOW T r REFORE, in consideration of the mutual promises of the Parties contained
herein and oth good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledgf 4, the Sublessor and the Sublessee agree as fbIlows;
SUBLEASE AG
E
SUBSTITUTED
WIENT
Leaae Agreement dated the
RECITALS
day of
, 2017 ("Lease");
The forett ng Recitals are hereby ineorporated into this Sublease by this reference as if set out in
:full in e body ofthis Sublease:
1„ P or and Term, The Sublessor does hereby sublease unto the Sublessee: the Property, for
a erm of ten (10) years beginning August 1, 2017 and ending July 31, 2027 This
SUBSTITUTED
Sublease may be renewed for an additional ten (10) years term; however in no event shall is
Sublease extend beyond the expiration of the total term of the Lease. Sublessee shall pr•vi.de
Sublessor (150). clays advance written notice of its intent to exercise the -renewal option.
2. Use, The subleased Property shall be- used solely for vehicle parking purposes. if tr e Property
is used for any other purpose, the Sublessor shall have the option to immediately ..rminate this
Sublease, The Sublessee shall not use or permit any use of the Property in any m ner that would
obstruct or interfere with the operation or maintenance of any transportation f ilities owned by
the 'Department. Sublessee -shall use the Propertyin accordance with applicab ; federal, state, local
laws, rules and permits, .as the same may be constituted including without itati011, those of the
City and the Departrn,ent.
2.1 Users. The Parties hereby agree to allow the fell.owinguumber of r .rking spaces to be reserved
for the Subl.esso:r, Sublessee, and the (Department's bridge tender, lectively the ("Users" ):
Sublessee: 3 ] spaces
Sublessor: 10 spaces
• Bridge Tender:.1 space
2.2 Sig t.ai c. in addition to any other signage that is r. wired by statue, regulation, ordinance or
applicable law,. the Sublessee, at its own cost-, may cispicuously display signage on or about the
-Property-advising that the subject Property is apart mg lot for the Sublessee, the Sublessor and all
unauthorized vehicles will be towed at the expo: e of the vehicle's owner. Stich. signage may also -
advise .that the oww r, Stiblesso.r and Sublesse of the Property is not liable_ for any less- or damage
to any velncl.e, earthe:contents of any vehicl parked an or about the Property. All signage shall be
submiitted to Sublessor and the Departmfor approval, which approval shall not be unreasonably
withheld.
3. Rent. in exchange for the impr n ements provided no rent payments ents shall be required of the
Sublessee during the initial ten (", r) year terra. Thereafter, Sublessee shall pay the going market
rate, per. a City -approved Sta of Florida. certified appraisal, for :those spaces used by the
Sublessee, with Sublessee's rtal monthly payment made in two (2) equal parts of fifty peicent
(50%) each to the city and e Department. The Parties agree that the Sublease .Shall be modified
accordingly.
4. Improverents. e Sublessee agrees to construct •a new parking facility, as described in the
attached Exhibit-": (" ltnpravements"),: at the Sublessee's sole cost and expense, Sublessee shall
construct the liar rovenients on the Property within. twelve (12) rriarutlls of the- Effective late.
Sublessee shal. submit to the Department and Sublessor for Approval (not to be Unteasoraihiy
withheld, d ayed, or conditioned) its plans (defined below) for the con me cernerit and.
completio • of the construction of the Improvements, The plans shall ine.1ude construction and
develop.'' ent plans for the Property ('`Plans").
All Pans furnished under this Sublease are expressly subject to the l~Sublessor.'s and .Departmentt's
ten approvl. The City -Manager is hereby authorized to act on behalf of the City for purposes
such approval., and which. approvathe.or she may not unreasonably withhold:, condition or delay.
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridg
SUBSTITUTED
In the event that the Department or Sublessor disapproves the Pl.ans, Sublessee shall mo ify the
Plans in accordance with the reasons set forth in the disapproval notice, -if applicable.. Th modified
Plans.shall beresubmitted to theDepartment and/or Sublessor for final review and ap oval .within
thirty (3.0) business days .of receipt of the notice.
No approval by the City Manager of any Plans 'furnished ander this Subleas pursuant to this -
section of this Sublease shall relieve Sublessee of any obligation it may hav at law to file such
Plans with any department of the City, if applicable, or any other goyernm tal authority having
jurisdiction over the issues; or to obtain any building or other permit .0 .. approval required by
.applicable laws. Sublessee acknowledges that any approval given by tl City -Manager pursuant
to this Section shall not constitute an opinion or agreement by t City that the Plans are.
structurallysufficient or in compliancewith applicable
Subject to the provisions of this Sublease, Subless-ee, at Su -bless • sole cost and expense, at all
timesduring the Sublease term., shall make all repairs to all mproveinents„ ineluding, without
limitation, any repair or replacement to the ImproVements. •ie. Sublessee shall be responsible for
-maintenance and repairs to the Improvements to the Prop y throughout the term of this Sublease.
Sublessee shal.1 utilize the services of a licensed GE. rn that is pre -qualified with the State of
Eiorida to perform the work, including all and engineerMg inspection work related to
the Improvements at Sublessee's sole cost and ex -n-se. -Said CH shall certify the completion of
the Work, in accordance. with final approved Pia , at the end of construction, in accordance with
the provisions of the current Department ConsI otion Project. Administration Manual (CPAM).
Shouldany changes to the Plans be re' .ired during construction of the Improvements, the.
S ablessee shall be required to notify EtipCity and the Department of the changes and receive.
approval from the City and the Dep talent prior to the changes being constructed. During
construction, Sublessee shall he res onsible for the maintenance of the Property all .times, at
Sublessee's sole cost and expense.
Title to all Improvements, s I vest in the Department, free and cleat Of all liens and
encUmbranees.
S. Proi ert to Remain F e ofLieiis. During the tem adds Sublease, the Sublessee shall 'make,
or cause to be made, prynpt payment of all money due and legally awed to persons doing any
work, including sub ntractors, or providing supplies and equipment in connection with the
construction, Neon mction or operation of the Property. The Sublessee shall have no power or
right to, and shall ot in any way, encumber the Department's fee simple interest in the Property.
If any liens or cumbrances shall at any time be filed against the Property, the Sublessee shall,
upon acquiri knowledge of such lien or encumbrance, promptly take and diligently pursue a
cause of a ion to have the same discharged or to contest in good faith the amount or validity
thereof a d if successful in such contest, to have the same discharged, If Sublessee fails to
discharle the lien, the Sublessor, in addition to any other right or remedy that it may have, may
take .1uch action as may be reasonably necessary to protect the City and Department's interests,
he Sublessee shall be responsible for any and all reasonable costs incurred by the Sublessor
connection with such action, including all reasonable legal fees, costs and expenses.
2276 Authorize Subiease Agreement - NW 12 Ave Bridge)
Attachment: 2276 Attachment B
SUBSTITUTED
6.:insur•an•ce. In connection herewith, Sublessee shall obtain and maintain, or cause to b obtained
and maintained, in hill force and effect throughout the period -of this Sublease, t . -, •insurance
coverage set forth in Exhibit "C". .Additionally, as may be required by state, count ', or city laws
from time to time for work conducted on or -use of municipal properties,. Suble ee shall obtain
acid maintain, or cause to be obtained- and ziaintained, throughout or during the ublease term, as
�rlaplicrable~, such types and amounts- of payment, .performance, maintenance, o restoration bonds)
as shall be required to be reviewed and approved by the City's Risk Manag;- rent Department.
.1 Sublessee Contractors. Sublessee shall require any contractor of Su essee's performing work.
on the Property to carry and mai.n:ta:i.n.,. at no expense to the Sublessor,-ti.: se nine specific insurance ,
requirements as May be established by the City's .Risk A,dministra . , and more specifically set
forth in Exhibit "D",
The Sublessor reserves the right to reasonably amend the insure; ° ce requirements herein as may be
applicable in connection with the scrape contemplated und this Sublease. Sublessor further
reserves the right to request copies of all applicable policie in connection with. this Sublease.
7. Indemnification. Sublessee shall indemnify, defend nd hold harmless the Department and the
City and its officials, employees and agents (coilectivY:y the "Indernnitees") from and against any
and all third party loss, costs, penalties, fines, damages, claims, liabilities or expenses (including
without limitation, reasonable attorneys fees 9 nd costs through litigation and all appeals)
(collectively, "Liabilities") by reason of any i r ury to, or death of; any person or damage to, or
destructi:on or loss of, any property arising or ' of or resulting from or which is caused, in whole or
in part, by the negligence of —Sublessee or Sublessee representatives in the construction,
maintenance, repair; and/or removal :i' the Improvements. Sublessee expressly agrees to
indemnify, defend and hold harnrles the Indernnitees, or any .of them, from and against all
Liabilities which may be asserted by n employee or former employee of Sublessee, or any of its
contractors, or subcontractors, as rovided above, for which the Sublessee's liability to such
employee or former employee ould otherwise be limiteed to payments under state Workers'
Compensation or similar law. ublessee further acknowledges that, as lawful consideration for
being granted a Sublease to e the Property, Sublessee, on behalf of itself, its agents, invitees and
employees, does hereby r lease from any legal liability the Department and the City, and its
officers, employees and . gents, from and against any and all claims for injury, death or prop
damage resulting froi ' 'ublessee's use of the Property.
8. Access to the o tray. The Department and. the City may enter the Property at any time
without prior no ` e to Sublessee for any purpose, including, without limitation, performance of
this Subleasegreernent, observing and inspecting the Property maintaining, repairing and
improving th transportation facilities and for any and all other lawful purpose the Department and
the City de mine necessary for the conduct of its business.
9. Terr nation. This Sublease may be terminated by the City immediately, without prior written
natrc > upon default by Sublessee hereunder, and may be terminated by either party without cause
upo r thirty (30) days written notice to the other party.
SUBSTITUTED
10. Miscellaneous. Sublessee shall not, at any time during the Sublease term, enter into (i) y
sublease, license, or concession with respect to the entire Property or (ii) sublease, ass.i or
transfer this Sublease to any third party or parties, without first procuring the prior written nsent
of the City, which consent shall .not be unreasonably withheld.
Su.blessee .shaft, in all material respects, at Sublessee'ssole cost and expense, coi ply with all
applicable federal, state, and local laws, and all applicable. pemiltting and regulate requirements,
rules, regulations, codes, ordinanees, and written policies now in force, or whiel iay hereafter be
in force, pertaining to Sublessee or its use of the Property, and Shall faithfull observe- in the use
of the Property .or in the performance of any alterations (including, wd out limitation, the
construction of any Improvements) all applicable laws now in force or w h may hereafter be in
force.
Any notice by the Parties requited to be given must be .served b certified mail return receipt
requested, or by hand delivery, addressed to Sublessor or Subless at;
If to Sublessor at:
City Manager
City of Miami
444 SW 2nd Avenue, loth Floor
Miami, Florida 33130
With copies to:
City Attorney
City of Miami
444 SW 2rid Avenue, 9th Floor
Miami, Florida 33130
City of Miami
Director, Depart. of Real
Management
City of Miami
444 SW 2nd Avenue, 31 Floor
Miami, Florida 3313
If to Subles e at:
Naeem el an
NKM • LLC
117. NW South River Drive
arni, Florida 33136
With a copy to:
Shariq Khan
NKMIA, LLC
1175 NW South River Drive
Miami, Florida 33136
Daniel Zumpano, Esq.
state & Asset Zumpano Castro, LLC
500 S. Dixie Hwy, Ste. 302
Coral Gables, FL 33146
All notices give ereunder shall be effective and deemed to have been given upon receipt by the
party to whie notice is being given, said receipt being deemed to have occurred upon hand
delivery, or pan such date as the postal authorities shall show the notice to have been delivered,
refused, 0. deemed undeliverable, as evidenced by the return receipt or proof of deliver.
No -twilit! anding any other provision hereof, Sublessor shall also have the right to give notice to
Subic ..ee in any other manner provided by law, but notice by publication shall not be Valid where
writ .1 notice is required by Sublessor. If there shall be mote than one Sublessee, any notice
e uired or permitted by the terms of this Sublease may be given by or to any one thereof, and
have the same force and effect as if given to all thereof
Attachment: 2276 Attachment B (2276 Authorize Sublease Agreement - NW 12 Ave Bridge)
SUBSTITUTED
11. .Entire A2reement. This instrument constitutes the. .sole and only agreement of e Parties,
and comedy sets forth the rights, duties, and obligations of the Parties. There are no - °Enteral or
oral agreements or understandings between the Parties. relating to. this Sublease, t ny promises,
negotiations, or representations not expressly set forth in this. Sublease- are of n' force or effect.
This Sublease shall. not be mo-dified in any mariner except through, an ins ment„ in writing,
executed by each Party.
12. Venue. ThiS Sublease shall be governed by Florida law and all disput .arising Out of the same
shall be subject to the exclusive jurisdiction and venue of the state -o federal courts 1.oented. in
Miami -Dade Comity, State. of Florida, andthe Parties consent tothee r usive personal jurisdiction
and venue of these courts. Each party shall bear its own attorney's f es,
13. .Non-DiScrimination. In connection with the performat e of any obligation Under this.
Sublease, Sublessee agrees natio refuse to hire, diseharge, pr. note or demote, or to discriminate
in.matters of compensation, -against any person otherwise pall -fled on the basis of race, color,
religion, national. align), gender., age, military status, sexu orieritation,rnarital status or physical.
or mental disability; and further agrees. to insert the fare mg .provision in aU subcontracts related
to the perfonnanee- of this Sublease.
1.4. Waiver. No waiver or broach of any provisi
any subsequent breach of the same or any other
unless made in writing
f this Sublease shall constitute a waiver of
ovision hereof, and no waiver shall be effective
15. Third-.Partv Beneficiaries. Nothing. this• Sublease, express .or implied, is intended to (a)
confer upon any person, other. than the c pressed. Parties herein, any .rights or remedies under or
by reason of this Sublease as a third -pa beneficiary, or otherwise; or (b) authorize anyone not a
party to this Sublease to maintain an n pursuant to or based Upon thi Sublease,
16. Time of Essence. Time shall e deemed. of the essence on the part ofthe Parties in performing
all of the te.ing and conditions &this Stiblease
THE REMAINDER OF THE PAGE INTENTIONALLY LEFT BLANK
2 Ave Bridge)
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - N
SUBSTITUTED
IN WITNESS 'WHEREOF, Sublessor .and Sublessee have executed this Sublease, or .1 ve
caused the same to be exmuted, as of the date and year ,first above written.
ATTEST:
By:
Todd B. Hannon
City Clerk
SUBLESSOR:
CITY OF MIAMI, a munici 1 corporation
of the State of Florida
By:
Daniel J. Alfon
City Manager
• APPROVED AS TO INSURAN E APPROVED AS TO LEGAL FORM &
REQUIREMENTS: CORRECTNESS:
By:
Ann -Marie Sharpe, Dir or Victoria Mondez
Risk Management De artment City Attorney
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridge)
SUBSTITUTED
SUBLESSEE
NKM.JA, LLC
Name of Authorized A r
Title
CORPORA ;r'-, SEAL
ATTESTED BY:
By;
Name
Title
Company Name
By:
Name
Title
Company Name.
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridge)
SUBSTITUTED
Exhibit A
Property
Sketch and .Legal Description
(TO BE INCORPORATED PRIOR TO EXECUTION)
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridge)
9.1tERM1-1011M
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5,,k.VED OF teracUAREMENT:i
MO MU trea-lro e6^..2*FiekEZ WV? P. SO EV".'
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•
KHAN STUD/0
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1 2T/-I AVE ROGE PARKING $0.01
02iniUSEMS
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridge)
SUBSTITUTED
Exhibit C
INSURANCE REQUIREMENTS-NKMIA, LLC OPERATING PHASE
I. Commercial General Liability
A, Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $1,0 0,000
General Aggregate Limit $ ;'it0O,000
Personal and Adv. Injury "1,00O,OOO
Products/Completed Operations $1.,000,00D
B. Endorsements Required
City of Miami and FDOT listed asadditional i ured
Primary Insurance. Clause
Contingent & Contractual Liability
Premises and Operations Liability
Explosion, Collapse and Undergroun Hazard
Il. Business Automobile Liability
A. Limits of Liability
Bodily Injury and Property.ram.age Liability
Corrtbined Single Limit
Owned/ScheduledAu .s
Including Hired, Bar., wed or Nan -Owned Autos
Any One Acclden
Endorsements 'e dired
City of MI t» i and FDOT listed as an additional insured
Worker's rarnpensaton
Limit f I.. ability
Sta ; tory-State of Florida
ver of Subrogation
mployer"s Liability
$1,0OO,0OO
A. Limits of Liability
$1,000,000 for bodily injury caused by an accident, each accident
$1,O0O,000 for bodily injury caused by disease, each employee
$1,000,000 for bodily injury caused by disease, policy limit
IV. Umbrella Liability (Excess Follow Form)
2276 : Authorize Sublease Agreement
Attachment: 2276 Attachment B
SUBSTITUTED
Each Occurrence
Policy Aggregate
$ .,000,000
$ 2,000,000
City of Miami and FOOT listed as an additional insured
Excess Follow Form over all applicable liability policies included herein
Property
Commercial Property insurance covering the buildings, fixtures
contents, improvements, and .betterments owned by NKMIA, 1
at a minimum,. cover the perils insured under the ISO Special
10 30), or a substitute form providing equivalent cover
windstorm, hail and flood, demolition and increased cost
Legal requirements regulating the construction or repa
ordinance and law endorsement, in art amount of no
property insured. In addition, theproperty poli
interruption including extra expense coverage
available, along with sprinkler leakage and plat
The amount of insurance shall equal the
owned by N KM IA, LLC.
equipment, inventory or
The property policy shall,
uses of Loss Special Form (CP
ges, including debris removal,
f construction that are caused by
of damaged Facilities, includingan
s than the replacement cost of the
should include coverage for business
tten on an actual loss sustained basis, if
glass if applicable.
II estimated replacement cost of the Facilities
The City shall be included as ari ads"tional insured and loss payee under the commercial
property insurance..
The above policies shall provide the. City a larni with written notice of cancellation or material
change from the insurer in accordance t.: policy provisions.:
Companies authorized to do business '"n the State of. Florida, with the following qualifications, shall issue
all insurance policies required abov
The company must berated no ess than "A"'" as to management, and no less than "Class V" as to
Financial Strength, by the Cat t edition of Best's Insurance Guide, published by ANL Best Company,
Oldwick, New Jersey, or its equivalent. All policies and /or certificates of insurance are subject to
review and verification b isk Management prior to insurance approval..
The City reserves the fight to request a certified copy of the insurance policy including all
endorsements. In a dition, the City must be provided with all applicable additional insured
endorsements as ,' oted in the insurance exhibit, which must be attached to each of the corresponding
certificates of Trance.
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridge
SUBSTITUTED
Exhibit D
INSURANCE REQUIREMENTS FOR A CERTIFICATE OF
INSURANCE -CONSTRUCTION REQUIREMENTS NKMIA, LLC
Commercial General Liability
B. Limits of Liability
Bodily Injury anal Property Damage Liability
Each Occurrence $1,00a,000
General Aggregate Limit $2,0,000
Products/Cornpleted Operations $ ;,000,000
Personal and Advertising Injury 1,000,000
C. Endorsements Required
City of Miami &. FDOT listed as an additional in red
Contingent and Contractual Liability
Premises and Operations Liability
Explosion, Collapse and Underground Ha ,-:r
Primary Insurance Clause indorsement
I , Business Automobile Liability
A, Limits of Liability
Bodily Injury and Property Da age. Liability
Corn.bined Single Limit
Any Auto
Including Hired, BorrowNon-twined Autos
Any One Accident
Endorsements Rey ired
City of Miami EDOT listed as an Additional Insured
V. Worker's Corn :nsati.on
Limits of Li iIity
Statutory tate of Florida
Waiver .i f subrogation
Ernp *yer's-Liability
$ 1,0.00,000
Limits of Liability
$1,000,000 for bodily injury caused by an accident, each accident.
$1,000,000 for bodily injury caused by disease, each employee
$1,000,000 for bodily injury caused by disease, policy lirnit
V. Umbrella Policy
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Briclg
SUBSTITUTED
A. Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $2,000,000
Aggregate $2,coo;oo0
City of Miami & FDOT listed as an additional insured
Excess Follow Form over all applicable liability policies contained ha ein
V. Owners & Contractor's Protective
Each Occurrence
General Aggregate
City of Miami & FDOT listed as named insured
VI. Payment and Performance Bond
City of Miami & FDOT listed as an Obligee
VII. Builder's Risk
$1400,000
,D00,00D
$ Full Value
Causes of Loss: All Risk of Direct Physic Damage or Loss
Valuatiori: Replacement Cost
Deductibles: 5% Wind, Flail, and Flood, $25,000 AOP
Coverage Extensions included
City of Miami listed as an add ti nal insured and loss payee
The above policies shall provide the City erf' ' ianii with written notice of cancellation or material
change from the insurer notless than (3 w days prior to any such cancellation or material change, or in
accordance to policy provisions.
Companies authored to do bu.sine in the State of Florida, with the following qualiflcations, shall issue
all insurance policies required abar. e:
The company must be rated n' less than "A4" as to management, and no less than 'Class V" as to
Financial Strength, by the la st edition of Best's Insurance Guide, published by A.M, Best Company,
Oldwick, New Jersey, or it, equivalent. Ali policies and /or certificates of insurance are subject to
review and verification Risk Management prior to insurance approval.
Attachment: 2276 Attachment B (2276 : Authorize Sublease Agreement - NW 12 Ave Bridg
SUBSTITUTED
CITY OF MIAMI, FLORIDA
NOTICE OF PUBLIC HEARING
A public hearing will be held by the City Commission of the City of Miami, Florida o Thursday, July
13th, 2017, at 9:00 A.M. at Miami City Hall, located at 3500 Pan American Dri . -, Miami, Florida
33133, for the purpose of granting the following:
A RESOLUTION OF THE MIAMI CITY COMMISSION, AUTHOR ING THE CITY
MANAGER TO EXECUTE A SUBLEASE AGREEMENT ("SUBLEAS r"), BETWEEN THE
CITY OF MIAMI ("CITY") AND NKMIA, LLC, A DELAWARE LIMITED LIABILITY
COMPANY ("NKMIA") FOR PREMISES LOCATED UNDERNEA NORTHWEST 12TH
AVENUE BRIDGE ("PROPERTY"), WITH TERMS AND CONDITIONS MORE
PARTICULARLY DESCRIBED IN SAID SUBLEASE, W . ICH TERMS MAY BE
AMENDED BY THE CITY MANAGER AND APPROVED BY HE CITY ATTORNEY, AS
MAY BE NECESSARY IN ORDER TO MEET THE BEST EREST OF THE CITY.
Said proposed resolution may be inspected by th.e public at tr°e Office of the City Clerk, 3500 Pan
American Drive, Miami, Florida 33133, Monday through Fr'day, excluding holidays, between the
hours of 8 a.m. and 5 p.m., or htto:I/miamifl.igm2.com five •ays before the date of the Commission
Meeting.
The Miami City Commission requests all interested pes be present or represented at the meeting
and may be heard with respect to any proposition efore the City Commission in which the City
Commission may take action. Should any person desire to appeal any decision of the City
Commission with respect to any matter to be con-'dered at this meeting, that person shall ensure that
a verbatim record of the proceedings is made eluding all testimony and evidence upon which any
appeal may be based (F.S. 286.0105).
In accordance with the Americans wi Disabilities Act of 1990, persons needing special
accommodations to participate in this prceeding may contact the Office of the City Clerk at (305)
250-5361 (Voice) no later than five (5) . siness days prior to the proceeding. TTY users may call via
711 (Florida Relay Service) no later t n five (5) business days prior to the proceeding.
(City Seal)
#28774
Todd B. Hannon
City Clerk
Attachments 2276 Notice to the Public (2276 _ Authorize Sublease Agreement - NW 12 Ave Bridge)