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HomeMy WebLinkAboutResolutions - 1985.02.14 - 10981February 14, 1935 Miscellan e ous Resolution B501S BY PLANNING AND BUILDING COMMITTEE IN RE: 52/4 DISTRICT COURT - LEASE (CORPORATION COUNSEL - REAL ESTATE srcT1 ox) _ _ TO THE 0A7LAND COUNTY BOARD OE COMMISSIONERS Mr. Chairperson, Ladies and Gentlemen: WHEREAS the County of Oakland is the control unit for the 52/4 District Court; and WHEREAS the currant lease for the 52/4 District Court premises, which provides for 10,089 square feet of space, expired March 1984: and WITEUAS the City of Troy is desirous of leasing office space For the 52/4 District Court for a term of five (5) years commcncin ,4 on thy. 1st day of March, 1985, and endinF: on the 28th day of February 1990, in the total slim of Three :Hundred Eighty- Five Thousand Eight Hundred Tbirty-Eight Dollars ($385,338), subject to adjustmeni_ as provi ,:led for in Section 4, b, plus conference room rentals; and WHEREAS your Committee has reviewed and is recommending a fi ,Je (5) vear lease agreement between the County of Oakland and the Cit-‘, of Troy. NOW THEREFORE BE IT RESOLVED that the Chairperson of the OakLand County Board of Commissioners is hereby authorized to execute the necessary leose agreement, a copy of which is attached, for the 52/4 District Court facilities in the City City of Troy, Mr. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoinr6 resolution. PLANNING 8 MS -ILE:INC COMMITTEE LEASE THIS LEASE AGREEMENT made and executed this day. of A.D., 19 , by the CITY OF TROY (the "Lessor") and the COUNTY OF OAKLAND, a Michigan Constitutional Corporation (the 'lessee"). It is agreed by the parties in consideration of the terms, conditions, covenants and agreements set forth that: 1. The Lessor does lease to the Lessee, that portion of a building identified in Exhibits "A" and 'Irt, for the 52nd Judicial District Court, 4th Division, Oakland County, Michigan, 'consisting of approxi- mately ten thousand eighty-nine (10,089) square feet of office space for a term of five (5) years, commencing 'on the 1st day of March , A.D., 1985 and ending on the 28th day of February, A.D., 1990, and , the address of the District Court is 500 West Big Beaver Road, Troy, Michigan 48084. 2. The Lessee does agree to lease the premises from Lessor, for the District Court, for the term, and covenants to pay the Lessor rent in the total sum of Three Hundred Eight-Five ThOusand Eight Hundred Thirty-Eight ($385,838), subject to adjustment as provided for in Section 4,b below, plus conference roam rentals. Payment shall be made to the Lessor in advance, monthly during the lease term. 3,a. The Lessor does lease to the Lessee those conference rooms reserved for court purposes as provided fer in Section 5, M below as needed by the District Court, and the Lessor also agrees to provide 15 reserved parking spaces in the east lot (identified on Exhibit "C") for the use by court employees from 7:30 a.m. to 5:30 p.m on days Court offices are open, for a term of five (5) years, commencing on the 1st day of March, A.D., 1985, and ending on the 28th day of February, A.D., 1990, and the address also being 5.00 West Big Beaver Road, Troy, Michigan 48084. $6,305.67 $75,668.00 3,b. In the event that Lessor and Lessee shall, prior to this expiration date, enter into a new agreement under the terms of which the City shall construct a separate court facility to be leased to the County for occupancy by the District Court, then when said new facility is determined by the Chief Building Inspector of the CiLy of Troy to be completed and ready for occupancy, this lease shall terminate, and be superceded by Said new lease referred to above. The Lessee agrees to lease the premises referred to in Sections 1 and 3 above for the aforesaid term, and covenants to pay the Lessor rent on the following basis: IL a Area - Courtrooms, Council Chamber and Office area as per Ekhibits A and B Rate Per Day 302.67* Monthly Rate $6,305.67 Annual Rate $75,668.00** Conference Rooms 6.00 ea. rate x days, rate x days used used 4,b. TOTAL: *Computed on basis of 250 days per year. ** $7.50 per square foot - see Exhibit D Payment shall be made to Lessor in advance, monthly. During the len,se term, rent payments Shall be adjusted upward or downward to reflect upward or downward Changes to Lessor in the cost of labor, supplies., utilities and insurance. Following notification to Lessee at least 30 days in advance, adjustments shall be made annually by Lessor effective as of March 1 in the years 1986, 1987, 1988 and 1989. Such notification of change in the lease rental shall be accompanied by a summary of operation and maintenance costs for the Municipal Building/justice Center for the fiscal year ending June 30 preceeding, together with an ex- -2- (contd) 4,b. planation of the factors taken into consideration in raking this change in the lease rental rate. 5. The Lessee agrees and convenants ns follows: A. That it will not permit the use of the leased premises in any manner which will substantially increase the rate of insurance,' or for any purpose which may result in a violation of local, state, or federal laws, rules or regulations now or hereafter in force; B. That the- Lessee shall observe all reasonable regulations and requirements of underwriters concerning the use and condition of the premises, tending to reduce fire hazards and insurance rates, and not to permit, cause or allow any rubbish, waste material or products to accumulate on or about the premises; C. That the Lessee Shall neither sublet nor assign the interest or use the premises, or any part, without the prior written consent of Lessor endorsed hereon; D. That should Lessee hold over the premises after the eXpiration of the lease term, without renewal in writing, for a period of one (1) month or more, the Lessee shall be deemed a tenant for calendar month to calendnr month at the same terms and conditions as provided herein; E. The Lessee Shall furnish, at its own expense all furniture, equipment and furnishings, as it deems advisable; and, furniture, equipment and furnishings furnished by Lessee shall be maintained and repaired by Lessee, and shall remain in its ownership and possession; and, furnishings, equipment and furniture provided by the Lessor shall be maintained and repaired by Lessor and shall remain in Lessor's ownership and possession.; -3- F. That the Lessee shall allow the Lessor full access to and about the leased premises, during the regular business hours, for the purpose of making inspections and repairs as Lessor may be re- quired to make, provided Lessor shall not necessarily or unreasonably disrupt the usual operations of the Court; G. That the Lessee shall keep the leased premises in as good repair as the same shall be at the commencement of the term, wear and tear from the reasonable use of same, and damage by the elements excepted; H. That Lessee shall make no alterations or improvements to or upon the leased premises without the prior written consent of the Lessor; I. That all improvements made to or upon the leased premises shR11. became an integral part, and shall belong to the Lessor upon termination of the lease, unless otherwise agreed by the parties, in writing, at the time the alterations or improvements are approved by the Lessor; J. That nothing in this lease shall authorize the Lessee to do any act which Shall in any way encumber title of the Lessor in and to the premises. The interest of the Lessor shall not be in anyway subject to any claim of lien or encumbrance, whether claimed by operation of law or by virtue of express or implied contract by the Lessee. Any claim to a lien upon the premises, arising frau any act or omission of the Lessee, shall accrue only against the lease- hold estate of the Lessee and shall in all respects be subject to the paramount title and rights of the Lessor in and to the premises; (contd) The Lessee further agrees and covenants that it Shall not enter into any contract with any person, firm or corroration, for labor, service or material in connection with any building or improvements upon the premises, which contract involves an amount in excess of $100, unless it shall be stipulated in and be a condition of the , contract that no lien shall arise, attach or be claimed on account of the contract on account of any work done or materials furnished under the contract as against the title or interest of the Lessor in the premies, unless it shall be agreed in the contract that the contractor, person, firm or corporation entering into such contract shall, by the terms thereof, waive any or all right or claim to the lien on the premises, so far as the Lessor's interest thereon is concerned. Any lien which may arise or be claimed under the contract shall attach only to the leasehold interest of the Lessee. The Lessee agrees that it will, cause waivers of liens as against the interest of Lessor on the premises to be executed by contractors furnishing labor, services or materials in or about the work so involved upon such buildings or improvements, and to be furnished to Lessor as soon as any contractor shall commence performance of work, or the furnishing of such material, in all cases wherein the absence of waiver, the person, firm or corporation might claim a lien on the interest of the Lessor in or to the premises; K. That, if the Lessee desires to further lease the premises after the term, the Lessee shall give written notice to the Lessor at least six (6) months prior to the expiration date of the term, or extensions or renewals of same, if any; -5- L. That the Lessee Shall use and occupy the leased premises as and for District Court only, and for operations and offices necessarily related, unless the Lessor should give written consent for deviation of such use and occupancy; M. That Lessee shall have access to the City Council Chambers (Exhibit "A") for court pUrposes between the hours of 8 a.m. and 6 p.m., Monday through Friday. Lessee will have the use of mini-conference rooms only during those times when not required for City government purposes and when necessary for the use as a jury room and upon having previously scheduled the room for jury room purposes through the office of the City Clerk, a minimum of two (2) weeks prior to the date of such usage. Lesse?may, from time to time and during other hours of the day, schedule use of City Council Chatbers shown in Exhibit "A" for purposes required by the regular functions performed by the District Court; the scheduled use to'be submitted for approval by the City Manager through the office of the City Clerk two(2) weeks in advance of the scheduled date of usage, which in no event will interfere with the normal meeting of the City Council and the various boards and committees of the City of Troy; N. That the Lessor, may from time to time, schedule use Of courtrooms shown in Exhibit 'Ir' for meeting purposes as required by various general govern- ment purposes and functions performed by Lessor for the inhabitants and citizens of the City of Troy. The scheduled use is to be submitted for approval by the presiding judge of the Fourth Division through the office of the Court Administrator two (2) weeks in advance of the scheduled date of usage, which in no event will interfere with the nornnl hours of operation of the District Court. -6- 6, The Lessor agrees and covenants as f,ollows; A. That the Lessee, on payment of the rental at the time and in the manner required and performing all covenants made by it, may peacefully and quietly have, hold and enjoy the demised premies for the term and purpose; B. That the Lessor shall provide suitable locks for all doors to the offices of the District Court Judge(s); the Court Administrator, and to the Jury Roan with only authorized Court personnel and the Lessor having access keys to the offices and roams; the Lessor to use the keys and enter the offices and rooms for authorized inspections, repairs, maintenance and/or cleaning only; C. That the Lessor Shall provide 'bonded' custodial services. The general interior cleaning is to be done after regular working hours of the District Court. The services to be provided shall be the same quality and standRrd as those provided for Troy Municipal offices; D. That the Lessor shall insure that the leased premises conform to all local, county and state fire codes and building codes, and that this lease and premises will conform with Public Act No. 1 of 1966, as amended, regarding accommodations for the handicapped; . E. That the Lessor will be solely responsible for all maintenance of the leased space, removal of snow and ice fram the parking area,. all custodial services, including supplies, on a daily basis and assume the cost of heat, electricity and water; F. That the Lessor shall invoice Lessee monthly and 15 days prior to the due date. 7. That Lessor and Lessee mutually agree and covenant as follows: A. It is understood and agreed that if the premises leased be damaged or destoryed in whole or in part by fire or other casualty during -7- .(contd) 7. A. during the term, the Lessor will repair and restore the same to good tenantable condition. If the Lessee shall fail to adjust his own insurance or to remove his damaged goods, wares, equipment or property within a reasonable time, and as a result the repairing and restoration is delayed, there shall be no abatement of rental during the period of resulting delay. There shall be no abatement of rental if fire or other cause damaging or destroying the leased premises shall result from the negligence or willful act of Lessee, his agents or employees. If the Lessee shall use any part of the leased premises for storage during the period of repair a reasonable charge shall be made against the Lessee. In case the leased premises, or the building of which they are a part, Shall be destroyed to the extent of more than one-half of the value, the Lessor may at . his option terminate this lease forthwith by a written notice to the Lessee; B. That Lessee Shall, at its own expense, maintain insurance to insure all of its personal property and trade fixtures against damages occasioned by 'Acts of God', fires, or other similar causes which are beyond the control of the Lessor and shall designate the City of Troy, Lessor', as its interest may appear, as additional party insured under the policy and provide Lessor with a Certificate of Insurance evidencing these coverages; C. Lessor shall, at its own expense, maintain insurance to insure the demised premises against damages occasioned by 'Acts of God', • fires, or other similar causes which are beyond the control of the Lessee and shall designate 'Oakland County', Lessee, as its interest may appear, as additional party insured under the policy and provide -8- (contd) C. Lessee with a Certificate of Insurance evidencing these coverages; Lessor and Lessee agree to cover their respective interest with One Million Dollars ($1,000,000.00) comibined single limit per occurrence Comprehensive General Liability. Each party shall designate the other party, as its interest may appear, as an additional party insured under its policy and provide each other with a Certificate of Insurance evidencing these coverages; It is mutually agreed between the Lessor and Lessee that any property loss which is covered by insurance carried by the Lessor or Lessee, each party, to the extent that such damages are covered by insurance and paid to such party by the insurance carrier, shall waive any claim for compensation for damage which it may have against the other property. In WITNESS 'WHEREOF said Lessor and the County of Oakland, Michigan, by its Board of Commissioners, have each caused its name to be signed to this duly authorized officers, the day and year first above written. This Lease has been executed in duplicate. LESSOR instrument by its Witness By: COUNTY .OF OAKLAND,.a Michigan Constitutional Corporation By: Witness Witness -9- STATE OF MIU-11GAN) )SS =TY OF ofimANT) On this day of , 19 , personally appeared - , and acknowledged said instrument to be their free act and deed. Notary Public, Oakland County, Michigan My commission expires: STATE OF mimIGAN) )SS County of Oakland) On this appeared' day of , 19 , personally , and did say that he is the Chairman of the Oakland County Board of Commissioners and as such ha affixed his signature to the foregoing Agreement, and that said instrument was signed and sealed on behalf of said County of Oakland, by authority of its Miscellaneous Resolution No , dated and acknowledges said instrument to be the free act and deed of said County of Oakland. Notary 7ub1ic, Oakland County, Michigan My commission expires: -10- to " i ,..p..5,....7.4.,,,,•, :-/,:///...;// ',•"/././2 f`t-' r• r //V • ° .•`` • ,l/t. ' ;:. 7ri , 3 !,,,/, • r r:, ... 7/7 .•.///-7,/,;17 ' . .„,",/,,,,:" • :,,://27.4 ef COFt, DO 2.".5 4 Ten...L. T R.0.0 1 -"t5C06 •-• • / ' " -n•n de. Exl-itrzirS )- (r to r It i I I 1 • -1 0 I ct I 4 a. 4 - .1) / 00 ,/ P 17 / I / Ill A . Nal. A t Cr/ t tki rfinv t JP tr. VP! FiK 17../Can JO. Fv.r)11;YA..-1 10.1....4"Pi TOW MON lION .1 6 _•1 - 0.4 I EKHIBIT D MUNICIPAL 13UILDF.NG AND a:Ts= carrER 1983-84 OPERATION AND M.ADTIMTANCE COSTS custodial Services $ 73,073 Building Maintenance Costs 35,245 Utilities 226,726 Insurance 10,096 Contract Equipment Maintenance 1,727 Rent 31,000 Miscellaneous 72 Proration of Civic Center Maintenance Costs 38,579 $416,518 Cost per square foot = $7.45* *Gross square footage = 71,931 Less Garage and Basement -16,019 Used for square footage computation 55,912 square feet 19 85 . ALLEN Counky Clerk/Register of Deeds #85018 February 14, 1985 Moved by Rewold supported by Hassberger the resolutPon be adopted. AYES: Price, Rewold, Skarritt, Webb, Wilcox, Caddell, Calandro, Doyon, Fortino, Gosling, Hassberger, R. Kuhn, Lanni, Law, McConnell, Moffitt, Moore, Nelson, Pernick. (19) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lynn D. Allen, Clerk of the County of Oakland and having a seal, do hereby certify that I have compared the annexed copy of Miscellaneous Resolution adopted by the Oakland County Board of Commissioners at their meeting held on February 14, 1985 with the orginial record thereof now remaining in my office, and that it is a true and correct transcript therefrom, and of the whole thereof. In Testimony Whereof, I have hereunto set my hand and affixed the seal of said County at Pontiac, Michigan this