HomeMy WebLinkAboutLease . LAG-09-001
TRIPLE NET LEASE
THIS LEASE is executed and entered into January 1, 2009 by and between
WARREN, BARBER, DEAN & FONTES BUILDING PARTNERSHIP, a Washington
Partnership, (hereinafter "Lessor") and the CITY OF RENTON, a Washington
municipality(hereinafter"Lessee").
In consideration of the rents, covenants, conditions and agreements hereinafter set
forth, Lessor and Lessee agree as follows:
ARTICLE 1. BASIC PROVISIONS
1.1 Location of Premises. The real property and office building and
improvements are commonly located at 100 S. 2°a Street in the City of Renton, King
County, Washington, and legally described as:
That portion of Government Lot 4 in Section 18, Township 23 North, Range
5 East, W.M., AND of Tract 6 of Renton Shoreland Second Supplemental Map,
described as follows:
Beginning at the intersection of the Westerly margin of Lake Street as shown on
sheet 1 of Renton Shorelands Second Supplemental Maps, according to Auditor's
File No. 5581649, records of King County, and the North Margin of Second
Avenue; thence along said North margin North 88° 22' 00" West 140 feet; thence
North 10 38' 00" East 89.15 feet; thence South 88° 22' 00" East 35.20 feet; thence
North 1° 38' 00" East 20.00 feet; thence South 88° 22' 00" East 95.12 feet to the
Westerly margin of said Lake Street; thence along said margin South 3° 26' 05"
East 109.58 feet to the point of beginning; situate in King County, Washington.
1.2 Description of Premises. The leased premises consist of a two-
story office building of approximately 5,700 square feet, together with adjacent
parking lot and common areas, located as set forth in Section 1.1 above.
1.3 Term. The initial term shall be three (3) years, with an option to
renew for one (1)additional year. (See, Article 2)
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1.4 Minimum Rent. For the first three (3) years of the lease term,
the minimum rent shall be Seven Thousand Five Hundred Dollars ($7,500) per
month. The minimum monthly rent shall be adjusted if Lessee exercises its option
for a fourth year on the anniversary date of the Lease, by the percentage increase in
the U.S. Department of Labor, Bureau of Labor Statistics, Seattle-Tacoma-Bremerton
Consolidated Metropolitan Statistical Area Consumer Price Index (CPI-U), as
indicated six months prior to the end of the lease term, in comparison to the June
2008 Seattle-Tacoma-Bremerton Consolidated Metropolitan Statistical Area
Consumer Price Index (CPI-U, 1982-84=100) prior to commencement of this Lease.
The new minimum rent shall become due and payable on January 1 of year four of
this Lease. The rents are due on the first (l') day of each month and if not received
by the tenth (10t`) day of each month, a five percent (5%) late fee will be due which
the parties acknowledge is reasonable. (See,Article 3)
1.5 Use of Premises. The premises shall be used as law offices for
the City of Renton's Office of the City Attorney and incidental and related purposes
thereto.
THE FOREGOING BASIC PROVISIONS are an integral part of this Lease.
The references to other sections designate locations in the Lease that refer to the
Basic Provisions and are for convenience only. In the event of conflict between the
Basic Provisions and other provisions of the Lease, the Basic Provisions shall
control.
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ARTICLE 2. T •
ERM
2.1 Commencement of Initial Term. The term shall commence on
January 1, 2009. The initial term shall continue for the period specified in Section
1.3 above.
2.2 Option Terms. Lessee shall have an option to extend this Lease
for a one (1) year period as set forth in Section 1.3 at Fair Market Rents. The option
.must be exercised by.Lessee giving written notice to Lessor at.least one hundred and
eighty (180) days prior to expiration of the then current term of the Lease, or the
option shall become null and void and the Lease shall expire on the expiration date,
December 31, 2011.
2.3 Holding Over. Any holding over after the expiration or
termination of the initial or any option term hereof shall be construed to be a tenancy
from month to month, with rents at 125% of the rents herein specified for the last
month of the term of the Lease and shall otherwise be on the terms and conditions
herein specified,so far as applicable.
ARTICLE 3. RENT
3.1 Minimum Rent. The rent as specified in Section 1.4 above shall
be due and payable on January 1, 2009 and on the first day of each calendar month
thereafter. If the minimum rent is not received by the tenth (10th) day of each month,
there shall be assessed a five percent (5%) late fee which the parties acknowledge as
reasonable.
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3.2 Place of Payment. All rent, additional rent and other sums required
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by this Lease to be paid by Lessee to Lessor shall be paid to Lessor at its address
stated in.Article 12, Section 12.1, or at such other place as the Lessor may designate
from time to time in writing to Lessee.
ARTICLE 4. TAXES
4.1 Real Property Taxes Defined. Beginning on the date of
commencement of this Lease as set forth in Section 2.1 above and continuing through
the term of this Lease, Lessee shall pay to Lessor as additional rent the amount of
real property taxes and applicable installments of general and special assessments
("Real Property Taxes") which are now or hereafter may be assessed against the
Premises, which sums are included in the minimum .monthly rental.. Taxes and
installments of assessments which are due for any period prior to the commencement
or after the termination of the term of this Lease shall be prorated based upon the
number of respective days to which such taxes and assessments apply.
4.2 Payment. Lessor shall give Lessee annual .notices of the amount
of Real Property Taxes which are payable by Lessee.
4.3 Taxes on Leasehold and Improvements. Lessee shall be
responsible for and shall pay,before delinquency all municipal, county or state taxes
assessed during the term of this Lease against its leasehold interest, the
improvements, moveable trade fixtures and personal property of any kind, owned by
or placed in, upon or about the Premises by the Lessee and shall provide Landlord
with proof of payment, or any tax on rents, if applicable.
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ARTICLE 5. ALTERATIONS
5.1 Alterations by Lessee. Lessee shall not make any alterations,
additions or improvements in, on or to the leased Premises without the prior written
consent of Lessor, which consent may be subject to such conditions as Lessor may
deem appropriate, but which shall not be unreasonably withheld or delayed.
5.2 Costs of Alterations. Any alterations, additions or
improvements consented to by Lessor shall be made at Lessee's sole cost and
expense.
5.3 Signage. Lessee shall provide at least one exterior and one
interior sign of professional quality to identify the leased Premises as "Renton City
Attorney's Office"or similar.designation.
5.4 As-Built Specifications and Drawings. Lessee shall provide
Lessor a complete set of"as built"drawings or specifications upon completion of any
alterations, additions or improvements.
.5.5 Building Permits and Approvals. Lessee shall secure any and all
governmental permits, approvals or authorizations required in connection with any
alterations,additions or improvements at Lessee's sole expense.
ARTICLE 6. MAINTENANCE
6.1 Maintenance. Lessee shall pay for janitorial service to
maintain the premises in a clean, sanitary and professional manner. Lessee shall at
all times throughout the Lease term, at its sole cost or expense, maintain the exterior
doors, entrances, all windows and moldings and trim of all doors and windows,
fixtures, lighting, heating, air conditioning, plumbing fixtures (excluding capital
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repairs or replacements, and unexposed plumbing) and systems serving the leased
Premises in good order, condition and repair. Without limiting the generalities of the
foregoing, Lessee shall: (i) keep the glass of all windows, doors, and showcases
clean and presentable; (ii) immediately replace all broken glass in the leased
Premises; (iii) at reasonable intervals paint and refinish the interior of the leased
Premises (iv) make any necessary ry re airs to or replacements acements of all door closure
apparatuses and mechanisms; (v) keep all plumbing within the walls of the leased
Premises or otherwise serving the leased Premises clean and in good state of repair
including pipes, drains,toilets, wash basins and showers; (vi)keep all utilities within
or otherwise exclusively serving the leased Premises in a good state of repair; (vii)
maintain, service and clean all HVAC equipment serving the leased Premises; (viii)
replace fluorescent lighting tubes, compact fluorescent lights (CFLs) or incandescent
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or halogen lights; (ix) repair or replace fluorescent lighting fixtures or ballasts or
other necessary electrical repairs; and (x) maintain and clean the parking lot to keep
the same free from dirt,trash and.garbage.
6.2 Lessor's Maintenance Responsibility. Lessor shall be
responsible for maintenance of the roof, foundation, outside painting of the premises
and landscaping.
ARTICLE 7, INSURANCE
7.1 Liability Insurance. Lessee shall at its own cost and expense,
keep and maintain in full force and effect during the lease term, a policy of
comprehensive/commercial general liability insurance insuring Lessee's activities
with respect to the leased Premises and against loss, damage or liability for personal
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injury, death, loss or damage. to property with a limit of not less than Two Million
Dollars ($2,000,000.00) combined single limit for policies without a general
aggregate limit. For policies with a general aggregate limit, such aggregate limit
shall be not less than Four Million Dollars ($4,000,000.00). Any policy shall include
an endorsement providing that the Lessor shall be named as an additional insured.
Lessee shall deliver to Lessor upon commencement of the lease term and from time
to time as requested by Lessor, copies of all policies or certificates of insurance
showing Lessor as an additional insured and the applicable policy limits thereof.
7.2 Lessee's Fire. Casualty and Extended Coverages. In
addition to the insurance required in Section 7.1 above, Lessee shall, at its own cost
and expense,keep and maintain in full force and effect during the lease term insuring
both Lessee and Lessor, fire, casualty and extended coverage risk property casualty
insurance covering the entire leased Premises, and risk property insurance covering
Lessee's supplies, personal property, trade fixtures, additions and modifications to or
in the leased Premises, in an amount equal to one hundred percent (100%) of the
replacement cost thereof. The insurance policy shall name the Lessor as an
additional insured and shall bear an endorsement that the policy shall not be
cancelled or the policy limits reduced below the coverage required by this Lease for
any reason other than nonpayment of premiums, except upon forty-five (45) days
prior written notice to Lessor and only after ten (10) days prior written notice to
Lessor for nonpayment of premiums. Lessee shall deliver to Lessor upon
commencement of the lease term, and from time to time thereafter as requested by
Lessor, copies of all policies of such insurance or certificates of insurance thereof.
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7.3 Reimbursement of premium. Lessor shall reimburse Lessee, from
the minimum monthly rental, the amount of Lessee's insurance premium which
Lessee is reasonably estimated as $1,200.00 per annum.
ARTICLE 8. UTILITIES
8.1 Payment of Utilities by Lessee. Lessee shall pay all
utilities for and in connection with the leased Premises, including, but not limited to
electrical service, natural gas, water, sewer, garbage disposal, telephone, satellite
television service and burglary alarm. Lessor may submit invoices for such utilities
to Lessee for payment, or such service providers may directly invoice Lessee. All
invoices for utilities shall be paid in a timely manner by Lessee, and in the event of
any late charges and fees, Lessee shall be responsible for same.
ARTICLE 9. ASSIGNMENT
9.1 Assignment of Lease. Lessee shall not assign or sublease all or
any portion of the Premises without fast obtaining Lessor's written consent, which
shall not be unreasonably withheld. Lessee shall remain jointly and severally liable
for the payment of rent and all terms of this Lease during its term, together with
Lessee's assignee or sublessee.
ARTICLE 10. RIGHT OF ENTRY
10.1 Right of Entry. Lessor or Lessor's agents shall have the right to
enter the Premises to examine the same during normal business hours, and at other
hours upon twenty-four (24) hours written notice given as required by Article 12,
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Section 12.1 herein, or in the event of an emergency, with reasonable notice under
the circumstances.
10.2 Entry for Leasing. During the ninety (90) days prior to the
expiration of the term of this Lease, Lessor may place upon the Premises "For Rent"
notices advertising the availability of the Premises for lease. Lessor may show the
Premises to prospective lessees during such period during normal business hours
with reasonable prior notice to Lessee.
ARTICLE 11. WAIVER
11.1 Waiver. The waiver by Lessor or Lessee of any breach of any
term, covenant or condition herein contained shall not be deemed to be a waiver of
such term, covenant or condition or any subsequent breach of the same or any other
term, covenant or condition herein contained. The subsequent acceptance of rent
hereunder by Lessor shall not be deemed to be a waiver of any preceding breach by
Lessee of any term, covenant or condition of this Lease, other than the failure of
Lessee to pay the particular rental so accepted, regardless of Lessor's knowledge of
such preceding breach at the time of acceptance of such rent.
ARTICLE 12. MISCELLANEOUS
12.1 Notices. All notices under this Lease shall be in writing and sent
by first class and certified mail,return receipt requested to the other party, or by
personal service at the following addresses:
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Lessor Lessee
Lawrence J. Warren Jay Covington, CAO
Warren Barber Dean City of Renton
&Fontes Building Partnership 1055 S Grady Way
100 S 2°d St Renton, WA 98057
PO Box 626
Renton, WA 98057
12.2 Time of Essence. Time is of the essence of each provision of this
Lease.
12.3 Severability. If any term, covenant or condition of this Lease or
the application thereof to any person or circumstance shall, to any extent, be invalid
or unenforceable, neither the remainder of this Lease, nor the application of such
terms, covenant or condition to persons or circumstances other than those thereby
and each term covenant or condition of this Lease shall be valid and be enforced to
the fullest extent permitted by law.
12.4 Controlling Law. This Lease shall be governed by and construed
in accordance with the laws of the State of Washington and venue shall be in the
courts of King County, Washington.
12.5 Successors. This Lease shall be binding on and inure to the benefit
of the parties and their successors, assignees, entities succeeding lawfully and
pursuant to the provisions of this Lease to the rights or obligations of either party.
12.6 Entire Agreement. This Lease supersedes all prior oral or written
discussions or agreements related to this Lease and set forth all the covenants,
promises, agreements, conditions and understandings between Lessor and Lessee
concerning the Premises and there are no covenants, promises, agreements,
conditions or understandings, either oral or written,between them other than herein
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set forth. Except as herein otherwise provided,no subsequent alteration,amendment,
change or addition to this Lease shall be binding upon Lessor or Lessee unless
reduced to writing and signed by them.
EXECUTED BY THE Lessor and Lessee on the dates written below.
LESSOR
Warren,Barber,Dean & Fontes Building Partnership
4awnee Date: /� - v3 I Warr eneral Partner
LESSEE
City of Renton,a Washington municipality
Date:
Denis Law,Mayor
Attest:
4.
Bonnie I. Walton, City Clerk
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STATE OF WASHINGTON )
) ss.
COUNTY OF KING )
On this day personally appeared before me, LAWRENCE J. WARREN,
General Partner of Warren, Barber, Dean & Fontes Building Partnership, known to
be the individual described in and who executed the within and foregoing instrument,
and acknowledged that he signed the same as his free and voluntary act and deed for
the uses and purposes therein mentioned.
GIVEN under my hand and official seal this day of t ,
2008.
Signature: r�
Name(P
E ] NOTARY PUBLIC in and for the State of
' Washington,residing at
My appointment expires:
STATE OF WASHINGTON )
) ss.
COUNTY OF KING )
On this day personally appeared before me, DENIS LAW, Mayor, City of
Renton, known to be the individual described in and who executed the within and
foregoing instrument, and acknowledged that he signed the same as his free and
voluntary act and deed for the uses and purposes therein mentioned.
GIVEN under my hand and official seal this day of ,
2088. acxr�.
Signature:
-� �, '°'� ��-; Name(Print): (Z
Cj..o,�� to;
[SEAL+ NOTARY PUBLIC in and for the State of
pUBL\O Washington,residing at e
9�'•�,`27-��• ��yyy1� My appointment expires: 9�a j Iao►o
or w A N�"
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