HomeMy WebLinkAboutLease LAG-07-008
OFFICE LEASE
RENTON CITY HALL
1055 South Grady Way
Renton,WA 98055
This Lease is made this day of A j"il, 2007, by and between the City of Renton,
Washington, a Washington municipal corporation ("Landlord"), and Communities in
Schools of Renton,Washington Nonprofit corporation("Tenant"),who agree as follows:
1. Fundamental Terms. As used in this Lease, the following capitalized terms shall have the
following meaning:
(a) "Land" means the land on which the Building is located, situated in the City of
Renton,County of King, State of Washington,which is described in Exhibit A.
(b) "Building" means the building in which the Premises are located, commonly known
as Renton City Hall,the street address of which is 1055 South Grady Way, Renton, WA 98055.
(c) "Premises" means that certain space cross-hatched on Exhibit B, located on the fifth
(51h)floor of the Building in the Community Services Department area.
(d) "Agreed Areas" means the agreed amount of rentable square feet of space in the
Building and the Premises. Landlord and Tenant stipulate and agree for all purposes under this
Lease that the Building contains approximately 112,000 rentable square feet of space (the
"Building Area") and that the Premises contain approximately _296_ square feet of space (the
"Premises Area"). Landlord and Tenant further agree that the Building area may exclude
portions of the Building which are used for other than office purposes, such as areas used for
retail purposes.
(e) This agreement includes access by the Tenant to common areas of the Building to
include, but not limited to: conference rooms, file storage rooms, parking garage, weight room,
and restrooms.
(f) "Commencement Date" means April 1, 2007, or such earlier date as provided in
Section 4 hereof.
(g)"Expiration Date"means March 31, 2012.
(h) "Minimum Monthly Rent" ($18.80/rsf with a 4% per year escalation factor) means
the following amounts as to the following periods during the Term:
Period Monthly Amount
Year 1 $463.73
Year 2 $482.27
Year 3 $501.56
Year 4 $521.62
Year 5 $542.48
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(i)"Permitted Use"means use for purposes of general business and administrative offices
for Communities in Schools of Renton.
0)"Prepaid Rent"is ZERO.
(k)"Security Deposit"is ZERO.
(1) "Landlord's Address for Notice" means Finance Department, Renton City Hall, 1055
South Grady Way, Renton,WA 98055.
(m) "Landlord's Address for Payment of Rent" means Finance Department, Renton City
Hall, 1055 South Way, Renton, WA 98055.
(n) "Tenant's Address for Notice"means Communities in Schools of Renton, 1055 South
Grady Way, Renton, WA 98055, on and after the Commencement Date.
(o) "Landlord's Agent"means Community Services Department, City of Renton, WA.
(p)"Broker(s)"means Facilities Division, City of Renton.
(q)"Exhibits"means the following Exhibits to this Lease:
Exhibit A: Legal Description of the Property.
Exhibit B: Outline Drawing of the Premises
2. Premises and Appurtenances. Landlord leases to Tenant and Tenant leases from Landlord
the Premises for the Term in an AS IS condition.
3. Term. The Term shall commence on the Commencement Date and expire on the Expiration
Date,unless sooner terminated pursuant to this Lease.
4. Minimum Monthly Rent; Late Charge.
(a)Minimum Monthly Rent. Tenant shall pay to Landlord the Minimum Monthly Rent
without deduction, offset, prior notice or demand, in advance on the first day of each month
during the Term. Minimum Monthly Rent for any partial month shall be prorated at the rate of
1/30th of the Minimum Monthly Rent per day. Minimum Monthly Rent is exclusive of any sales,
franchise, business or occupation or other tax based on rents (other than Landlord's general
income taxes) and should such taxes apply during the Term, the Minimum Monthly Rent shall be
increased by the amount of such taxes. All Rent shall be paid to Landlord at Landlord's Address
for Payment of Rent or at such other address as Landlord may specify by notice to Tenant.
(b)Late Charge. Tenant acknowledges that the late payment by Tenant of any Rent will
cause Landlord to incur administrative, collection, processing and accounting costs and expenses
not contemplated under this Lease, the exact amount of which are extremely difficult or
impracticable to fix. Therefore, if any Rent is not received by Landlord from Tenant by the
fifteenth (15t) calendar day after such Rent is due, Tenant shall immediately pay to Landlord a
late charge equal to five percent(5%) of the amount of such Rent or Fifty and No/100ths Dollars
($50.00), whichever is greater. Landlord and Tenant agree that this late charge represents a
reasonable estimate of such costs and expenses and is fair compensation to Landlord for its loss
caused by Tenant's nonpayment. Should Tenant pay said late charge but fail to pay
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contemporaneously therewith all unpaid amounts of Rent, Landlord's acceptance of this late
charge shall not constitute waiver of Tenant's default with respect to Tenant's nonpayment nor
prevent Landlord from exercising all other rights and remedies available to Landlord under this
Lease or under law.
5. Credit. It is understood and agreed that Tenant is entitled to a one-time credit of $711.90,
based on an adjustment of rental space made during calendar year 2006, in which Tenant
relinquished certain of its previously rented space from Landlord.
6. Personal Property Taxes. If required, Tenant shall pay prior to delinquency all personal
property taxes assessed against and levied upon trade fixtures, furnishings, equipment and all
other personal property of Tenant contained in the Premises or elsewhere. If possible, Tenant
shall cause such trade fixtures, furnishings, equipment and all other personal property of Tenant
to be assessed and billed separately from the Property. The City is not responsible for paying
personal property taxes from rent proceeds.
7. Indemnity.
(a) Generally. Tenant shall hold Landlord harmless from and against any and all
damages arising out of any injury to any persons or property occurring in, on or about the
Premises or the Property resulting from the acts or omissions of Tenant or its authorized
representatives. Landlord shall hold Tenant harmless from and against any and all damages
arising out of any injury to any persons or property occurring in, on or about the Premises or the
Property resulting from the acts or omissions of Landlord or its authorized representatives. A
party's obligation under this Section to indemnify and hold the other party harmless shall be
limited to the sum that exceeds the amount of insurance proceeds, if any, received by the party
being indemnified.
(b) Concurrent Negligence of Landlord and Tenant. Notwithstanding Section 7(a)
above, in the event of concurrent negligence of Tenant, or its authorized representatives, on the
one hand, and that of Landlord, or its authorized representatives, on the other hand, which
concurrent negligence results in damage to any persons or property occurring in, on or about the
Premises or the Property, either party's obligation to indemnify the other party as set forth in
Section 7(a) shall be limited to the extent of the negligence of the indemnifying party, or its
authorized representatives, including the indemnifying party's proportional share of costs and
attorneys' fees incurred in connection with any claims, actions or proceedings brought with
respect to such damage.
(c) Waiver of Worker's Compensation Immunity. The indemnification obligations
contained in this Section shall not be limited by any worker's compensation, benefit or disability
laws, and each indemnifying party hereby waives (solely for the benefit of the indemnified party)
any immunity that said indemnifying party may have under the Industrial Insurance Act, Title 51
RCW and similar worker's compensation,benefit or disability laws.
(d) Provisions Specifically _ Negotiated. LANDLORD AND TENANT
ACKNOWLEDGE BY THEIR EXECUTION OF THIS LEASE THAT EACH OF THE
INDEMNIFICATION PROVISIONS OF THIS LEASE (SPECIFICALLY INCLUDING BUT
NOT LIMITED TO THOSE RELATING TO WORKER'S COMPENSATION BENEFITS AND
LAWS) WERE SPECIFICALLY NEGOTIATED AND AGREED TO BY LANDLORD AND
TENANT.
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8. Commercial General Liability and Property Damage Insurance. Tenant, at its cost, shall
maintain commercial general liability insurance (including contractual liability and products and
completed operations liability) with liability limits of not less than $1,000,000 per occurrence.
Landlord shall be additional named insured on such insurance policy.
9. Waiver of Claims; Waiver of Subrogation. Landlord and Tenant release each other, and
their respective authorized representatives, from, and waive their entire claim of recovery for, any
claims for damages to the Premises and the Building and to Tenant's alterations, trade fixtures
and personal property that are caused by or result from fire, lightening or any other perils
normally included in an "all risk" property insurance policy whether or not such loss or damage is
due to the negligence of landlord, or its authorized representatives, or of Tenant, or its authorized
representatives. Landlord and Tenant shall cause each insurance policy obtained by it to prove
that the insurance company waives all right of recovery by way of subrogation against either
party in connection with any damage covered by such insurance policy.
10. Other Insurance Matters. CISR shall continue to be listed as "additional insured, which is
primary and noncontributory" under the Renton School District's policy. Should CISR obtain its
own primary insurance coverage, the coverage will include naming the City of Renton as an
"additional insured which is primary and noncontributory".
11. Destruction and Condemnation. If during the Term the Premises are partially or totally
destroyed by any casualty or taken by condemnation, then the Term shall terminate as of the date
of such destruction or taking. The insurance proceeds or award for the Premises, the Building
and the Property, shall belong to and be paid to Landlord, Tenant hereby assigning to Landlord
Tenant's interest therein, if any.
12. Assignment and Subletting. Tenant shall not voluntarily assign or encumber its interest in
this Lease or in the Premises, or sublease any part or all of the Premises, without Landlord's prior
consent. Any assignment, encumbrance or sublease without Landlord's consent shall be voidable
and, at Landlord's election, shall constitute a default by Tenant under this Lease.
13. Default. The occurrence of any of the following shall constitute a default by Tenant under
this Lease:
(a) Failure to Pay Rent. Failure to pay Rent when due, if the failure continues for a
period of thirty(30)days after notice of such default has been given by Landlord to Tenant.
(b) Other Defaults. Failure to perform any other provision of this Lease, if the failure to
perform is not cured within thirty (30) days after notice of such default has been given Landlord
to Tenant. If the default cannot reasonably be cured within thirty (30)days,then Tenant shall not
be in default under this Lease if Tenant commences to cure the default within thirty(30) days and
diligently and in good faith continues to cure the default.
14. Remedies. If Tenant commits a default, Landlord shall have the right to terminate Tenant's
right to possession by any lawful means, in which case this Lease shall terminate and Tenant shall
immediately surrender possession of the Premises to Landlord. In such event Landlord shall be
entitled to recover from Tenant all damages incurred by Landlord by reason of Tenant's default
including without limitation thereto, the following: (i) the worth at the time of award of any
unpaid Rent which had been earned at the time of such termination;plus (ii)the worth at the time
of award of the amount by which the unpaid Rent which would have been earned after
termination until the time of award exceeds the amount of such rental loss that Tenant proves
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could have been reasonably avoided, and (iii) any other amount necessary to compensate
Landlord for all the detriment proximately caused by Tenant's failure to perform its obligations
under the Lease, including reasonable attorney fees.
15. Termination and/or Relocation for Convenience. Landlord and its authorized
representatives shall have the right to relocate Tenant to another part of the Building with similar
access and support services for landlord's convenience provided landlord pays the cost of
relocation. Both parties have the right to terminate this lease for convenience with six months
written notice provided to the other party.
16. Transfer of Landlord's Interest. If Landlord sells or transfers the Property,.both parties, on
consummation of the sale or transfer, shall be released from any liability thereafter accruing
under this Lease. If any security deposit or Prepaid Rent has been paid by Tenant, Landlord shall
transfer such Security Deposit or Prepaid Rent to Landlord's successor and on such transfer
Landlord shall be discharged from any further liability with respect to such Security Deposit or
Prepaid Rent.
17. Attorneys' Fees. If either party shall bring any action for relief against the other party,
declaratory or otherwise, arising out of this Lease, including any action by Landlord for the
recovery of Rent or possession of the Premises, the losing party shall pay the successful party a
reasonable sum for attorneys' fees which shall be deemed to have accrued on the commencement
of such action and shall be paid whether or not such action is prosecuted to judgment.
18. Surrender. On expiration or ten (10) days after termination of the Term, Tenant shall
surrender the Premises and all Tenant's improvements and alterations to Landlord broom clean
and in good condition. Tenant shall remove all of its personal property within the time period
stated in this Section. Tenant, at its cost, shall perform all restoration made necessary by, and
repair any damage to the Premises caused by, the removal of personal property, to the Landlord's
reasonable satisfaction within the time period stated in this Section. Landlord may, at its election,
retain or dispose of in any manner any of Tenant's personal property that Tenant does not remove
from the Premises on expiration or within ten (10) days after termination of the Term as allowed
or required by the provisions of this Lease by giving ten (10) days notice to Tenant and title to
any such personal property that Landlord elects to retain shall vest in Landlord. If Tenant fails to
surrender the Premises to Landlord on expiration or ten(10)days after termination of the Term as
required by this Section, Tenant shall pay Landlord rent in an amount equal to twice the monthly
Rent for the entire time Tenant thus remains in possession and Tenant shall hold Landlord
harmless from all damages resulting from Tenant's failure to timely surrender the Premises,
including without limitation, (i) any rent payable by, or any damages claimed by, any prospective
tenant of any part or all of the Premises, and (ii) Landlord's damages resulting from such
prospective tenant rescinding or refusing to enter into the prospective lease of part or all of the
Premises by reason of Tenant's failure to timely surrender the Premises.
19. Miscellaneous Provisions. This Lease sets forth the entire agreement of the parties as to the
subject matter hereof and supersedes all prior discussions and understandings between them.
This Lease may not be amended or rescinded in any manner except by an instrument in writing
signed by a duly authorized officer or representative of each party hereto. This Lease shall be
governed by, and construed and enforced in accordance with the laws of the State of Washington.
In the event any action is brought to enforce any of the provisions of this Lease, the parties agree
to be subject to exclusive in personam jurisdiction in the Superior Court of the State of
Washington, in and for the County of King, or in the United States District Court for the District
of Washington and agree that in any such action venue shall lie exclusively at Seattle or Kent,
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Washington. No waiver of any right under this Lease shall be effective unless contained in
writing signed by a duly authorized officer or representative of the party sought to be charged
with the waiver and no waiver of any right arising from any breach or failure to perform shall be
deemed to be a waiver of any future right or of any other right arising under this Lease. Time is
of the essence in the performance of all covenants and conditions in the Lease for which time is a
factor.
Dated the date first above written.
Landlord: Tenant:
The City of Renton, Washington, a Communitie School of Renton,a
Washington municipal corporation Washingto N nProfit Corporati
By: By: ",""
Kathy eolker Robert E. McBeth
Title: Mayor Title: _Board Chair
Date Executed: Date Executed: `�/Z s��7
ATTEST 4tn
Title:- Cijy Clerk
Date Executed: A 60 7
(Notary Attached)
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STATE OF WASHINGTON )
COUNTY OF KING )
I certify that I know or have satisfactory evidence that , �,�� �c T1�
is the person who appeared before me, and said person acknowledged that he/she signed
this instrument, on oath, stated that he/she was authorized to execute the instrument, and
acknowledged it as the Board Chair of Communities in Schools of Renton, a Washington
nonprofit corporation, to be the free and voluntary act of such party for the uses and
purposes mentioned in the instrument.
Witness my hand and official sea his day of ��, 2007.
Z._
No ry Public
(Print Name)
Residing at
My Commission Expires:
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Legal Description
1055 South Grady Way
That portion of Government Lot 10, Section 17, Township 23 North, Range 5 East, W.M., in King County,
Washington, and of Block 17, Town of Renton, according to the plat thereof recorded in Volume 1 of Plats,
page 135, in King County, Washington, more particularly described as follows:
Commencing at the centerline intersection of South 5ch Street and Main Avenue South;
thence south 00'46'18"west 327.80 feet along the centerline of Main Avenue South;
thence south 00'45'13"west 663.94 feet along said centerline of Main Avenue South to a point on the south
line of said Government Lot 10;
thence south 89°18'37"west 30.01 feet along said south line to a point on the westerly margin of said Main
Avenue South;
thence north 00'45'13"east 53.02 feet along said westerly margin to a point on the north line of the south 53.00
feet as measured at right angles to said south line of Government Lot 10 and the TRUE POINT OF
BEGINNING;
thence south 89°18'37"west 230.63 feet along said north line;
thence north 00°46'08" east 95.14 feet to the northwesterly corner of a tract conveyed to Mike Ruklic by Deed
recorded under King County Recording Number 568802;
thence south 89°18'37"west 57.00 feet along a line parallel to said southerly line of Government Lot 10;
thence north 00°46'08"east 148.79 feet to a point on the southeasterly margin of South Grady Way;
thence north 45'40'13" east 193.72 feet along said southeasterly margin to a point of curvature;
thence continuing along said southeasterly margin northerly 264.78 feet along the arc of a non-tangent curve to
the left, having a radius of 756.20 feet, the radius point of which bears north 44'19'16"west through a central
angle of 20°03'40 to a point of intersection with the westerly margin of said Main Avenue South;
thence south 00'45'13"west 589.92 feet along said westerly margin to the TRUE POINT OF BEGINNING;
EXCEPT that portion conveyed to the City of Renton for road purposes by Deed recorded under King County
Recording Number 8709020544.
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