HomeMy WebLinkAboutResolutions - 1975.06.19 - 14705MISCELLANEOUS RESOLUTION 7163 June 19, 1975
BY: FINANCE COMMITTEE, Henry W. Hoot, Vice Chairman
IN RE: LEASE AGREEMENT FOR 52ND DISTRICT COURT, DIVISION 2, PROJECT 75-4
TO: THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairman, Ladiea and Gentlemen:
WHEREAS by Miscellaneous Resolution #7063 the Board of Commissioners at
their April 17, 1975 meeting directed that the Central Services Department
advertise for and receive bids for the leasing of a minimum of 4,200 square
feet of floor area completely finished for use by the 52nd District Court,
2nd Division; and
WHEREAS pursuant to Miscellaneous Resolution #7063 bids were received on
June 4, 1975 •For Project 75-4R; and
WHEREAS the Central Services Facilities and Operations Division and the
Planning and Building Committee recommend that a lease be awarded to Warren
R, Newsted, the lowest responsible bidder, as follows:
I„ Provide at the rate of $23,000 per year with Oakland County
furnishing all utilities, complete court facilities in the
premises known as 5873 Dixie Highway, Independence Township,
Michigan, with the lease for said facilities contingent upon
the approval by Independence Township of a zoning variance for
said premises; or
2. In the event the above zoning variance is not approved, provide
at the rate of $23,000 per year with Oakland County furnishing
all utilities, complete court facilities in the premises known
as 4782 Sashabaw Road, Independence Township, Michigan.
WHEREAS the Finance Committee on its meeting of June 12, 1975, concurred
in the recommendation of the Planning and Building Committee to accept the
bid of the lowest responsible bidder as listed in the amount of $23,000 per
year, with Oakland County furnishing all utilities; and during 1975 to pro-
vide a total funding of $8,500, which includes a three month rental cost of
$7,000 and $1,500 for initial advertising, telephone installation, and co-
ordination and inspection service costs,
NOW THEREFORE BE IT RESOLVED that the Chairman of the Board of Commissioners
be and hereby is authorized and directed to execute a lease, in accordance with
the terms of this resolution, with Warren R„ Newsted to provide the 52nd District
Court, 2nd Division with complete court facilities containinga minimum of 4200
square feet of floor area at an annual rate of $23,000 per year which includes the
provision that Oakland County will furnish all utilities,
AND BE IT FURTHER RESOLVED that pursuant to Rule XI-C of this Board, the
Finance Committee finds the sum of $8,500 is available for transfer from the Con-
tingent Fund to the 1975 District Court Budget - Rent line item,
The Finance Committee, by Richard R„ Wilcox, Chairman, and with the con-
currence of the Planning and Building Committee moves the adoption of the
foregoing resolution
FINANCE COMMITTEE
I HERM° APPROVE THE FOREGOING RESOLUTION
Daiiiel L Miiit.thyl;tiV
#7163
Moved by Hoot supported by Patterson the resolution be adopted.
AYES: Aaron, Button, Daly, Dunleavy, Fortino, Hoot, Houghten, Lennon,
McDonald, Moffitt, Nowak, Page, Patterson, Perinoff, Pernick, Price, Roth,
Simmons, Wilson. (19)
NAYS: Dearborn, Olson. (2)
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
Resolution #7163 adopted by the Oakland County Board of Commissioners
at their meeting held on June 19, 1975 ... 0. • • ...... 0 ..... • ....... • • e • • ......... 0 • ................... • • • •
with the original 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
19th June
L
0 75 ,- this day 0
▪
,..papsoep ...... OP-tV
Lynn D. Allen........„.. ........... Clerk
By .............. ..... Clerk
LEASE
THIS LEASE AGREEMENT made andecpted his 4 L day
of December , A.D. 1975, by and between WARREN R. NrEWSTED and
MARTHA A. NEWSTED, his wife (hereinafter referred to as the
Lessor") and the COUNTY OF OAKLAND, a Michigan Cons.titptional
Corporation (hereinafter referred to as bh!,(LeSsbei
WITNESSETH:
WHEREAS, the 'Lessee desires to relocate the District
Court for the 52nd Judicial District (Second Division), Oakland
County, Michigan; and,
WHEREAS, the Lessee has publicly advertised and invited
bids for Leased Space for said Court, under County Project 75-4R;
and,
WHEREAS, the Lessor is the successful bidder therefor;
the Lessee having accepted Lessor's bid and proposal to provide
said space, on a five (5) year lease basis, with option to renew,
of 4,200 square feet of completely finished floor space, for the
use of, and occupancy by, said District Court, pursuant to the
published requirements (as revised) of and by the Lessee; and,
WHEREAS, the Lessor is seized in fee simple of land in
the Township of Independence, County of Oakland, State of Michigan,
described as:
Lots 27 and 28, WINDIATES WATERFORD SUBDIVISION,
according to the plat thereof as recorded in
Liber 3 of Plats, Page 42, Oakland County Records;
AND, ALSO; Part of the SW 1/4 of Section 33,
T4N, R9E, Independence Township, Oakland County,
Michigan, beginning at the SW corner of said
Lot 27, thence S 71'4500 W 20ft, thence N 81 0
4500' W 67,80ft, thence. S 72°08'00" W 25ft,
thence N 17 0 48 1 00" W 90ft, thence N 72 0 0800"
E 60ft, thence N 71°45'00" E 45ft, to the NW
corner of said Lot 28, thence S 18 0 15 1 00" E 120ft,
to the point of beginning;
commonly known, at this time, as 5873-75 Dixie Highway, Waterford,
Michigan 48095; and,
WHEREAS, the Lessor intends to erect a new building upon
said premises, a portion of which the Lessee desires to lease and
use as and for said District Court upon completion of construe
tion thereof by the Lessor;
IT IS THEREFORE AGREED by and between the parties
hereto, in consideration of the terms, conditions, covenants and
agreements hereinafter set forth that
I. The Lessor does hereby let and lease to the Lessee
a portion of said building, for said District Court to be con-
structed, consisting of a minimum of 4,200 square feet of working 1
area, in conformance with the express requirements heretofore set
forth by Lessee; upon the aforedescribed land, for a term of five
(5) years, commencing ten (10) days after written notice is given
to the Lessee that said premises are ready for occupancy, and end-e
ing on the day and date five (5) years from the day and date of
commencement; the address of said District Court to be 5871 Dixie
Highway, Waterford, Michigan 48095.
II. The Lessee does hereby agree to lease said premises
from Lessor, for said District Court, for the aforesaid term, and
covenants to pay the Lessor rent therefor in the total sum of ONE
HUNDRED FIFTEEN THOUSAND ($115,000.00) DOLLARS (being $23,000.00
per year), payable as follows: Five Thousand Seven Hundred Fifty
($5,750.00) Dollars upon assuming use, occupancy, and/or possess- -,-
ion of said leased premises (or any portion thereof), or upon
commencement of the lease term (as provided in paragraph I, supra)
whichever sooner occurs; and, a like sum of Five Thousand Seven
Hundred Fifty ($5,750.00) Dollars, in advance quarterly install- .
ments, every three (3) months after such date, during the lease
term hereof; PROVIDED, that the parties hereto may mutually agree
upon and make an initial adjustment of the payment day and date,
and for proration of the initial installment, to conform to the
Lessee's accounting and disbursement practices, which agreement
(if any) shall be executed in writing by the within parties and
attached hereto, as a designated addendum to this Lease; and,
PROVIDED, FURTHER, that the Lessee shall pay to the Lessor a late ,
charge of Four (4%) per cent of any such quarterly installment
not received by the Lessor within fifteen (15) days after such
installment is due hereunder, which late charge shall be due and
payable upon expiration of such fifteen (15) day period(s).
III. The Lessee agrees and covenants as follows:
1. That it will not permit the use of said leased
premises in any manner which will substantially increase the rate
of insurance thereon, or for any purpose which may result in a
violation of local, state or federal laws, rules or regulations
now or hereafter in force and applicable thereto; and, Lessee shall
hold the Lesser harmless and indemnified at all times against any
loss, cost, damage or expense by reason of any accident, less,
casualty or damage to any person or property, through any use,
misuse or non-use of said leased premises, or by reason of any actl
or thing done, on, in or about said leased premises, or in rela-
tion thereto;
2. That the Lessee shall observe all reasonable regula-
tions and requirements of underwriters concerning the use and
condition of said 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 said premises:.;
3. That the Lessee shall neither sublet nor assign the
interest or use of said premises, or any part thereof, without the
prior, written consent of Lessor endorsed hereon;
4. That, should Lessee hold over said premises after
the expiration of said lease term, without renewal thereof in
writing, for a period of one (1) month or more, the Lessee shall
be deemed a tenant for calendar month to calendar month terms only
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5. That Lessee will be solely responsible for, and
defray the costs of all utilities and utility services to and for
said District Court and its facilities (including heat, lights,
air conditioning, power, telephone, and the township sewer use
fee); said District Court to be provided separate meters for said
and said sewer use fee to be assessed on a square
footage basis;
6. That Lessee shall furnish, at its own expense, all
such furniture, equipment and furnishings, as it deems advisable
and not shown on the Drawings and/or Specifications (Exhibit "B") ,
as being provided by the Lessor; and, such furniture, equipment
and furnishings furnished by Lessee shall be maintained and repair
Jed 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.;
9 7. That, in the event real estate taxes upon the afore -
described land and premises are increased as a result of the use ;
and occupancy thereof by the Lessee, then that portion of such tax incre ase as is solely attributable to said use and occupancy of
and by the Lessee shall be paid by Lessee upon showing, proof and
demand thereof; PROVIDED, HOWEVER, that this provision shall not
I.De construed to insure against increases in such taxes (if any)
'Af.hich are wholly and solely the result of the fact that a building
is built, or to be built, upon said land which was previously
Ounimproved or only slightly improved; and, that the Lessee shall ,
not be held accountable to the Lessor for such tax increases (if ;
any) which may result from reappraisal or reassessment, by the
taxing unit, concerning improvements, uses, occupations or other
criteria clearly unrelated to the uses and operations of the
:,Lessee, per se.
8. 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;
9. That the Lessee shall allow the Lessor full access
tJci and about the leased premises, during regular business hours,
for the purpose of making inspections and such repairs as Lessor
T.r,ay be required to make, provided Lessor shall not unnecessarily
or unreasonably disrupt the usual operations of the Court in the
-iDerformance thereof;
10. That Lessee shall make no alterations or improvements
or upon said leased premises without the prior written consent
of the Lessor;
11. That all improvements made to or upon the leased
"premises shall become an integral part thereof, and shall belong
to the Lessor upon termination of the lease, unless otherwise
agreed by the within parties, in writing, at the time said altera-
tions or improvements are approved by the Lessor;
12. 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, nor shall the interest of the Lessor
be in any way 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, and any claim to a lien upon the premises,
.arising from any act or omission of the Lessee, shall accrue only
:against the leasehold estate of the Lessee and shall in all re-
spects be subject to the paramount title and rights of the Lessor
in and to said premises.
And, the Lessee agrees to not enter into any contract
:with any person, firm or corporation, or with any contractor, for
•labor, service or material in connection with the building and
improvements upon said premises, which contract involves an amount
in excess of $100.00, unless it shall be stipulated in and be a
,condition of such contract that no lien shall arise, attach or be
claimed on account of such contract or on account of any work done
or materials furnished under said contract, as against the title
or interest of the Lessor in the premises, and unless it shall be
agreed in such contract that the contractor, person, firm or carp -
oration entering into such contract shall by the terms thereof
,raive any and all right of or claim to a lien on said premises, so
Ofar as the Lessor's interest therein is concerned, and that any
jien which may arise or be claimed under such contract shall attach,
cpilly to the leasehold interest of the Lessee; and, the Lessee
agrees that it will cause waivers of liens as against interests of
tthe Lessor in the premises to be duly 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 contractors shall commence performance of
such work, or the furnishing of such material, in all cases wheree
the absence of such waiver such person, firm or corporation
might claim a lien on the interest of the Lessor in or to said
oremises.
13. That, if the Lessee desires to further lease said •
.premises after the term hereof, the Lessee shall give written
notice thereof to the Lessor at least six (6) months prior to the
expiration date of such term, or extensions or renewals of same,
if any.
14. That the Lessor shall have a lien upon all fixtures
furniture, furnishings, and equipment placed in and upon the
:ileased premises by the Lessee, to secure the rental herein provide;
ed, and the Lessee shall not remove any such property from the
::premises if in default of rent payment due hereunder; and,
15. That the Lessee shall use and occupy said leased
:premises as and for said District Court only, and for such opera-
Htions and offices necessarily related thereto, unless the Lessor
should give prior written consent for any deviation of such use
and occupancy.
IV. The Lessor agrees and covenants as follows:
1. That the Lessee, on payment of the rental at the
time and in the manner required hereunder and performing all
covenants made herein by it, may peacefully and quietly have, hold
and enjoy the said demised premises for the aforesaid term and
:purpose ;
2. That the Lessor shall provide an acceptable septic
system (as may be required by local code and ordinance) or sanitary
sewer facility for said leased premises, for the purposes and said
use thereof;
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3. That the Lessor shall pay all real estate taxes upon
'the premises, except as may be otherwise specified herein;
4. That the Lessor shall have and maintain fire and
:public liability insurance for damages resulting from Lessor's
!negligence;
5, 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 Room, with only authorized Court
.personnel and the Lessor having access keys to said offices and
rooms; the Lessor to use said keys and enter said offices and rooms
for authorized inspections, repairs, maintenance and/or cleaning
6. That the Lessor shall provide "bonded" custodial
qservices, as listed in the Specifications marked Exhibit"A"; the
general interior cleaning to be done after regular working hours
(Jf the District Court;
7, That the Lessor is responsible for building mainten- !
ance and repair (including, roofs, ceilings, walls, floors, foundaH
tions, heating and cooling systems, electrical systems, plumbing, '
sidewalk and building glasswork);
8. That, at the time of commencement of occupancy of
-the leased premises, all portions thereof will conform to all
ilocal, county and state fire codes and building codes, and that
this lease and said premises will conform with Public Act 190 of
1974, amending Public Act 1 of 1966, regarding accomodations for
the handicapped;
9. That the Lessee may attach, install or erect, on
interior and exterior walls of the premises, such signs as may be
reasonably necessary to identify the Lessee and premises and to
direct its personnel and the public to specific areas thereof;
10. That the Lessor shall provide, for the use and occu-
oancy of the Lessee, a minimum of 4,200 square feet of working
area, which must conform to the express written requirements here-
-t.ofore established by the Lessee and its departments involved
Therewith;
11. That the attached site requirements will be met prior
to occupancy by the Lessee;
12. That the attached building requirements will he met
orior to occupancy by the Lessee;
13. That the aforesaid leased premises will be ready for
:occupancy by Lessee within 120 days from the date of execution of
:this Lease by Lessor and Lessee; and, that, in the event said
leased premises are not ready for occupancy by Lessee within said
:time, a sum of Fifty ($50.00) Dollars per day will be deducted
from the first payment of rent, as liquidated damages for losses
j_ncurred by Lessee due to such delay and not as a penalty; it
being understood that "ready for occupancy" means the completion
of all construction work required to allow said leased premises to
be occupied and used by Lessee for full daily operations of said
•District Court, under duly issued "Certificate of Occup ancy " by
the responsible local governmental units;
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V. The Lessor and Lessee mutually agree and covenant
.a.s follows:
1. That, if during the tern of this lease, the leased
premises should be destroyed or rendered wholly untenantable by
the elements, or by fire or other causes not the fault of the
„Lessee, to the extent that said premises cannot be restored and
repaired within thirty (30) days, then this lease shall be void-
able, at Lessee's option, as of the date of such destruction, and
:the Lessee shall immediately vacate said premises, paying rent to
the date of surrender of possession thereof, in the event Lessee
elects to so terminate;
And, that, if during said term, the leased premises
should be rendered partially untenable, because of said causes,
-the Lessor shall repair and restore the same at all convenient
speed, and the Lessee shall be responsible for rent during said
repairs and restoration;
_ 2. That, if during the term of this lease, proceedings 1 ,
shall be instituted under the power of eminent domain, which shalll
result in substantial or total eviction of the Lessee, that, upon
final determination thereof, by judgment or settlement, this lease
shall be void, leaving the Lessee as a month-to-month tenant for
so long as it maintains possession of said premises;
3. That the Lessee shall have the right of first refusal
of a new lease of said premises, for price and terms to be then
:agreed upon, before said premises are leased to any other party,
provided Lessee gives notice of said request for new lease as
1-tereinabove provided;
4. That the Lessor shall not cause or allow any of the
subject land or buildings, containing the leased premises herein,
:to be used or occupied for any purpose other than as btsiness or
professional offices, unless first approved by the Lessee as being
'reasonably harmonious with said District Court use and operation;
provided, however, that the Lessee shall not unreasonably withhold
(3.r refuse such approval; and
5. That, if Lessor finds it impossible to complete the
work herein required, within the time specified (or as may be
extended in accordance herewith), the Lessor may, at any time prior
)to the expiration of such time, as extended, make written request .
the Lessee for an extension of time, setting forth the reasons
to allegedly justify the same; it being understood that the mere
fact that insufficient time was originally established is not a
!valid excuse; and, if the Lessee finds that the work was delayed '
for reasons beyond the control of the Lessor, it may grant exten- <
sions for completion as the conditions justify, and such extended
time for said completion shall be treated the same as if originally
agreed upon by and between the parties hereto.
6. That time is of the very essence of this agreement.
IN WITNESS WHEREOF, said Lessor and the County of
Oakland, Michigan, by its Board of Commissioners, have each caused :
Lease has been executed in duplicate,
/ LESSO
'1,-A57°7
This
DV:
W=E27 R. NESTED
BY:±r1
MARTHA A. NEWSTE1
COUNTY OF OAKLAND, a Michigan
Constitutional Corporation
Pcol
. _
Agf) 7 i
f4i2ness - Su -LJ nson
/2
Witness Lvecfr'"Ow rred-M. Hough
Oakland Count
Chairman
Board of Commissioners:
BY:
My Commission Expires: 1/22/77
rSue 711en (Strang) Tdon
Notary Public, Oakland County,
Michigan
,411w,
Bernadine Twarog
Notary Public, Oakland Co
Michigan
ts name to be signed to this instrument by its duly authorized
:officers, the day and year first above written.
:STATE OF MICHIGAN)
ss.
'COUNTY OF OAKLAND)
J)-4 On this day of':.... -- , 1975,
.appeared WARREN R. NEWSTED and MARTHA A. NEWSTED, his
.acknowledged said instrument to be their free act and
personally
wife, and
deed.
STATE OF MICHIGAN)
ss.
:COUNTY OF OAKLAND)
On this 2nd day of December , 1973, personally
appeared FRED D. HOUGHTEN, and did say that he is the Chairman of
the Oakland County Board of Commissioners and as such has affixed
hi s 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 7163, dated June 19,
1975, and acknowledges said instrument to be the free act and deed
of said County of Oakland.
14y Commission Expires: 9/19/76
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