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HomeMy WebLinkAboutResolutions - 1998.12.10 - 25332December 10, 1998 Miscellaneous Resolution # 98324 BY: PLANNING AND BUILDING COMMITTEE, CHARLES E. PALMER, CHAIRPERSON IN RE: DEPARTMENT OF FACILITIES MANAGEMENT - LEASE RENEWAL - ROCHESTER HILLS 62-3 DISTRICT COURT PROBATION DEPT., 141 HAMPTON CIRCLE DRIVE, SUITE 141, ROCHESTER HILLS TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: WHEREAS, the County of Oakland is the control unit for the 52-3 District Court; and WHEREAS, the 52-3 District Court Probation Department is presently leasing a facility in the City of Rochester Hills, identified as 141 Hampton Circle Drive, Suite 141, Rochester Hills, Michigan, a.k.a. Hampstead Office Building; and WHEREAS, the said lease is to expire on December 31, 1998; and WHEREAS, said lease is between Hampstead Properties, East, a Michigan Co-Partnership (Landlord) and the County of Oakland, a Michigan Constitutional Corporation (Tenant); and WHEREAS, the County is presently leasing 1,493 square feet for the Rochester Hills District Court Probation Department at 141 Hampton Circle Drive, Suite 141, Rochester Hills, Michigan a.k.a. the Hampstead Office Building; and WHEREAS, the County of Oakland and Hampstead Properties, East have agreed to a new lease agreement for a period of three (3) years at a rate of $17_40 per square foot per year and shall have the right to terminate during the third year; and WHEREAS, the Department of Facilities Management along with Corporation Counsel has reviewed all the necessary agreements and documents. WHEREAS, the County Executive recommends this new lease agreement between Hampstead Properties, East and the County of Oakland for a period of three (3) years at a rate of $17.40 for 1,493 square feet. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners authorizes the new lease agreement at 141 Hampton Circle Drive, Suite 141, Rochester Hills, between Hampstead Properties, East and the County of Oakland for a period of three (3) years. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners hereby directs its Chairperson to execute the lease Agreement at 141 Hampton Circle Drive, Suite 141, Rochester Hills between Hampstead Properties, East and the County of Oakland. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. PLANNING AND BUILDING t`VMMITTEE , Planning and Building Committee Vote: Motion carried unanimously on a roll call vote with Huntoon and Johnson absent. LIME This Lease is made and entered into as of this day of , 1998, by HAMPSTEAD EAST, LLP, whose address is 3199 Sandy Creek Drive, Shelby Township, MI 48316 (hereinafter referred to as "LANDLORD"), and the COUNTY OF OAKLAND, a Michigan Constitutional Corporation, whose address is 1200 North Telegraph Road, Pontiac, Michigan 48341 (hereinafter referred to as "TENANT"). 1. Leased Premises. LANDLORD, in consideration of the rent to be paid and the covenants to be performed by TENANT, does hereby lease unto TENANT, and TENANT hereby rents from LANDLORD those certain premises at Hampstead Office Building, 141 Hampton Circle Drive, Suite 141, Rochester Hills, Michigan, containing approximately 1,493 square feet of space (hereinafter referred to as the "Premises"). 2. itIM. The term of this Lease shall commence upon January 1, 1998 and shall end on the date three (3) years after such commencement date (hereinafter referred to as the Term"), or shall terminate during the third year with 150 days written notice to quit without penalty. This lease may be renewed by means of a new written agreement, upon such terms and conditions as then may be agreed upon by the Landlord and Tenant. 3. Rent. From the commencement date of this Lease until the date three(3) years after such commencement date, TENANT agrees to pay to LANDLORD, as fixed annual rent hereunder, Twenty Five Thousand, Nine Hundred and Seventy Eight and 00/100 Dollars (25,978.00) per year (based on the approximate rate of Seventeen Dollars and 40/100 ($17.40) per net square foot per year), which sum shall be payable by TENANT to LANDLORD in equal consecutive monthly installments of Two Thousand One Hundred Sixty Five and 00/100 Dollars ($2,165.00), on or before the first day of each month, in advance, without any prior demand therefor and without any deductions or set-offs whatsoever. 4. Partial Month Rent Proration. Should the ;'erm of this Lease commence on a day other than the first day of a calendar month, then the rental for such month and the last month of the term hereof shall be prorated upon a daily basis based upon a thirty (30) day calendar month. 5. Ownership. LANDLORD warrants that it will remain the sole owner of the Premises at all times during the TENANT'S occupancy of the Premises, and shall not transfer ownership of same, without the consent of the County Executive and the Chairman of the Oakland County Board of Commissioners, which shall not be unreasonably withheld. Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 1 6. Place of Payment. Payments due under this Lease from TENANT to LANDLORD shall be paid at the address of LANDLORD set forth above, or at such other place as LANDLORD may designate in writing. 7. liolding Over. In the event TENANT holds over after the expiration of the Original Term of this Lease without a written agreement between LANDLORD and TENANT to further extend the term of the Lease, the same shall be construed to be a tenancy from month- to-month on the same terms and conditions herein specified, so far as applicable, except that the monthly rent to be paid by TENANT to LANDLORD shall be equal to the current lease rate plus 120% of the current lease rate. 8. Extension of Term. If TENANT desires to continue to lease the Premises after the expiration of the Term of this Lease, TENANT shall give LANDLORD written notice of such desire at least six (6) months prior to the expiration of the Term of this Lease; provided, however, that any such further extension of the term of this Lease shall be upon terms and conditions then acceptable to LANDLORD in its sole discretion. 9. Use and Occupancy. The Premises shall not be used in violation of any law, municipal ordinance, or regulation. 10. Equipment and Furnishings. TENANT shall provide, at its own expense, all telephone systems, furniture and equipment it deems necessary in connection with its use and occupancy of the Premises. TENANT shall be solely responsible for the maintenance and repair of all such property at its own expense. 11. Care of Premises. TENANT shall keep the Premises in good repair, wear and tear from reasonable use and damage by the elements excepted. LANDLORD agrees to: (a) either recarpet or clean the existing carpet and (b) repaint the existing painted interior walls as needed and mutually agreed upon. 12. Compliance with Law. LANDLORD agrees, at its own expense, to promptly comply with all applicable federal, state and municipal laws and regulations affecting the Premisv, including any barrier-free requirements. If LANDLORD fails to comply with such laws and regulations, TENANT may give LANDLORD written notice of its intent to quit the Premises upon the date one hundred fifty (150) days after LANDLORD'S receipt of such notice in the event LANDLORD does not comply with such laws and regulations within such one hundred fifty(150) day period. If LANDLORD complies with such laws and regulations within such one hundred fifty(150) day period, TENANT shall not have the right to quit the Premises. 13. Destruction of Premises. In the event the Premises are partially or totally damaged or destroyed by fire or other casualty, the damage to the Premises shall be promptly repaired or Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 2 rebuilt by LANDLORD, unless LANDLORD shall elect not to rebuild as hereinafter provided, and the rent payable by TENANT hereunder shall be reduced in proportion to the fraction of the Premises rendered untenantable until the Premises are repaired or rebuilt. In no event shall LANDLORD be required to repair or replace any property of TENANT. In the event the Premises cannot be repaired or rebuilt within one hundred eighty (180) days after such destruction, TENANT shall have the right to terminate this Lease and vacate the Premises upon written notice to LANDLORD after the expiration of such one hundred eighty (180) day period. If more than thirty-five percent (35%) of the Premises are damaged or destroyed by such casualties as aforesaid, LANDLORD may elect to either repair or rebuild the Premises or to terminate this Lease by giving written notice thereof to TENANT within ninety (90) days after the occurrence of such damage or destruction. 14. Insurance. Landlord shall maintain Commercial General Liability insurance with respect to the Premises, at its expense, in the minimum amount of One Million and 00/100 Dollars ($1,000,000.00) combined single limit coverage per occurrence. The County of Oakland, its elected and appointed officials, employees and volunteers shall be named as additional insureds. Landlord shall provide Tenant with an appropriate certificate of insurance evidencing such insurance coverage as aforesaid. Tenant shall maintain Commercial General Liability insurance or self insurance with respect to the Premises, at its expense, in the minimum amount of One Million and 00/100 Dollars ($1,000,000.00) combined single limit coverage per occurrence. In addition to the foregoing, Tenant shall also maintain a policy of fire and casualty insurance covering Tenant's contents therein. 15. Indemnification. LANDLORD shall at all times save, defend, indemnify and hold TENANT harmless from and against any and all loss, cost, liability, damage, expense (including, without limitation, reasonable attorneys' fees), penalties, fines and claims whatsoever in connection with loss of life, personal injury and/or damage to property arising from any negligent or willful acts or omissions of LANDLORD, its agents or employees. 16. Repairs. LANDLORD shall maintain and keep in good repair the roof, ceilings, walls, floors, foundations, electrical systems, plumbing, sidewalks, parking areas and exterior glass at the Premises. Tenant shall maintain the heating and cooling systems at the Premises, including all general maintenance and minor repairs. 17. Alterations or Improvements. TENANT shall not make alterations or improvements whatsoever to or upon the Premises without the prior written consent of LANDLORD. Any alterations or improvements made upon the Premises shall become an integral part of the Premises and shall become the sole property of LANDLORD immediately upon the completion thereof, unless otherwise agreed to in writing by the parties hereto. Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 3 18. Security. TENANT hereby acknowledges that during any term of this Lease, LANDLORD shall have the right to have keys for access to the Premises and that LANDLORD shall have the right to obtain such keys from TENANT upon written request therefor. In the event LANDLORD obtains such keys from TENANT, LANDLORD shall use such keys only for the purpose of inspecting, repairing and/or maintaining the Premises. LANDLORD agrees to provide lighting for the exterior of the Premises, including parking areas directly adjacent to the Premises, in an adequate manner consistent with other similar office buildings in the metropolitan Detroit area. 19. Access. TENANT shall allow LANDLORD access to the Premises during regular business hours for the purposes of inspecting, repairing and/or maintaining the Premises; provided, however, that LANDLORD shall use its best efforts not to disrupt the usual operations of TENANT at the Premises. In addition to the foregoing, TENANT shall allow LANDLORD access to the Premises at any time in the event of an emergency. 20. signs. TENANT may attach, install or erect such signs on the interior walls of the Premises as may be necessary in connection with the conduct of TENANT'S usual business at the Premises. TENANT may not attach, install or erect any signs whatsoever on the exterior walls of, or the area surrounding, the Premises without the prior written approval of LANDLORD and the City of Rochester Hills as to the form, content, material, lighting and structure thereof. 21. Assignment. TENANT will not assign, sublet or in any manner transfer this Lease or any estate or interest therein without the prior written consent of LANDLORD. 22. Maintenance and Utilities. TENANT shall be solely responsible for and promptly pay all charges for water, gas, heat, electricity, sewer service and any other utility used or furnished to the TENANT. LANDLORD agrees to provide utility service lines into the Premises and separate meters for all utilities used upon or furnished to the Premises. Tenant agrees to be solely responsible for and pay all charges for janitorial services. * 23. Parking. LANDLORD agrees to provide sufficient parking to satisfy the requirements of the City of Rochester Hills as of the date hereof, but in no event less than four(4) dedicated spaces. 24. Taxes. Property taxes are included in this lease agreement. Tenant agrees to pay any increase, and Landlord agrees to reduce the rental rate if property taxes are reduced for any reason. Tenant agrees to pay any special added business tax relating to school funding as part of its prorata share of this building. This increase or decrease shall be based on the year of occupancy of Tenants. Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 4 25. Services. LANDLORD agrees to provide, at its own expense, trash removal, snow and ice removal from sidewalks, steps and parking areas, complete parking lot maintenance and lawn care services. 26. Eminent Domain. If the whole of the Premises shall be taken by any public authority under the power of eminent domain, then the term of this Lease shall cease as of the day possession shall be taken by such public authority. If less than the whole but more than thirty-five percent (35%) of the Premises shall be taken by any public authority under the power of eminent domain, then either party hereto shall have the right to terminate this Lease by written notice to the other within thirty (30) days after the day possession shall be taken by such public authority, in which event neither party hereto shall have any further liability or obligation hereunder. In the event neither party elects to terminate this Lease, the Lease term shall cease only on the part so taken as of the day possession shall be taken by such public authority, and thereafter the fixed annual rent hereunder shall be reduced in proportion to the amount of the Premises taken. 27. Ouiet Enjoyment. Upon payment by TENANT of the rents herein provided, and upon the observance and performance of all of the terms, conditions and covenants required of TENANT hereunder, TENANT shall peacefully and quietly hold and enjoy the Premises for any term of this Lease without hindrance or interruption by LANDLORD or any person legitimately by, through or under LANDLORD, subject, nevertheless, to the terms and conditions of this Lease. 28. Liens. TENANT covenants and agrees that it will not permit any liens or encumbrances of any kind or nature whatsoever to attach to the Premises, by leasehold improvements at the Premises or TENANT'S interest in this Lease by reason of any act or omission of TENANT. 29. Modifications. This Lease may be modified or amended only by the written agreement of LANDLORD and TENANT. 30. Governing Law. This Lease shall be interpreted under and governed by the laws of the State of Michigan. 31. Severability. If any provisions of this Lease, or the application thereof, to any extent becomes invalid or unenforceable, the remainder of this Lease, or the application of such provision to the parties or circumstances other than those to which it is invalid or unenforceable, shall not be affected thereby, and each provision of this Lease shall be valid and enforceable to the fullest extent permitted by law. 32. Waiver. One (1) or more waivers of any covenant, condition or agreement by LANDLORD shall not be construed as a waiver of a subsequent breach of the same covenant, condition or Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 5 agreement. No breach of a covenant, condition or agreement of this Lease shall be deemed to have been waived by LANDLORD unless such waiver be in writing signed by LANDLORD. 33. Entire Agreement. This Lease constitutes the entire agreement of the parties hereto with respect to the Premises, and all prior negotiations, agreements and understandings, either oral or written, are hereby merged herein. 34. Binding Effect. The terms and conditions of this Lease shall be binding and shall inure to the benefit of the parties hereto and their respective heirs, representatives, successors and assigns; provided, however, that no rights shall inure to the benefit of any assignee of TENANT unless the assignment to such assignee has been approved by LANDLORD in writing as provided for herein. 35. Use of Words. The pronouns and relative words herein used shall be read interchangeably in masculine, feminine or neuter, singular or plural, as the respective case may be. 36. Notice. Any notice or other communication required or desired to be given hereunder shall be deemed to have been sufficiently given for all purposes if delivered personally to the party to whom the same is directed, or if sent by registered or certified mail, postage and charges prepaid, addressed to the address of such party as set forth above. Any notice which is served personally shall be deemed to be given on the date on which the same is actually served, and any notice which is sent by mail shall be deemed given two (2) days after the same is deposited in a regularly maintained receptacle for the deposit of United States mail, addressed as provided in the immediately preceding sentence. Any party may change its address for purposes of this Lease by giving the other party notice thereof in the manner hereinbefore provided for the giving of notices. IN WITNESS WHEREOF, the parties hereto have executed this Lease as of the day and year first above written. Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 6 WITNESSES: R. G. DRYDEN (PROPERTY MANAGER) By: HAMPSTEAD EAST, LLP RICHARD G. DRYDEN, PROPERTY MANAGER COUNTY OF OAKLAND, a Michigan Constitutional Corporation (TENANT) By: John P. McCulloch, Chairperson Oakland County Board of Commissioners L. BROOKS PATTERSON, Oakland County Executive By: Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 7 STATE OF MICHIGAN ) ) ss COUNTY OF OAKLAND ) The foregoing instrument was acknowledged before me this day of December, 1998, by RICHARD G. DRYDEN, Property Manager of HAMPSTEAD EAST, LLP. ELAINE G. McCRACKEN Notary Public, Oakland County, Michigan My Commission Expires: STATE OF MICHIGAN ) ) ss COUNTY OF OAKLAND ) The foregoing instrument was acknowledged before me this day of December, 1996, by JOHN McCULLOCH, Chairperson of the Board of Commissioners of the COUNTY OF OAKLAND, a Michigan Constitutional Corporation, on behalf of the Corporation. ELAINE G. McCRACKEN Notary Public, Oakland County, Michigan My Commission Expires: STATE OF MICHIGAN ) ss COUNTY OF OAKLAND ) The foregoing instrument was acknowledged before me this day of , 1998, by L. BROOKS PATTERSON, County Executive of the COUNTY OF OAKLANT6 a Michigan Constitutional Corporation, on behalf of the Corporation. Notary Public, Oakland County, Michigan My Commission Expires: Rochester Hill Distrit Court Probation Dept. Lease December 1, 1998 8 FISCAL NOTE (Misc. #98324) December 10, 1998 BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON IN RE: DEPARTMENT OF FACILITIES MANAGEMENT - LEASE RENEWAL - ROCHESTER HILLS 52-3 DISTRICT COURT PROBATION DEPT., 141 HAMPTON CIRCLE DRIVE, SUITE 141 ROCHESTER HILLS TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: Pursuant to Rule XI-G of this Board, the Finance has reviewed the above referenced resolution and finds: 1. The 52-3 District Court Probation Department is presently leasing 1,493 square feet of space in the facility located at 141 Hampton Circle Drive, Suite 141, Rochester Hills, Mi. at a rate of $17.40 per square foot. 2. A 3 year lease extension is proposed between Hampstead Properties, East, a Michigan Co-Partnership (Landlord) and the County of Oakland, a Michigan Constitutional Corporation (Tenant). 3. The total yearly lease cost for this facility is $25,978, or $2,165 a month; all maintenance, upkeep, and insurance are the responsibility of the landlord. 4. The lease agreement would commence January 1, 1999 and extend through December 31, 2001. 5. The Department of Facilities Management along with Corporation Counsel has reviewed all the necessary agreements and documents; and this cost is currently budgeted, therefore, no budget amendments are needed. FINANCE COMMITTEE FINANCE COMMITTEE VOTE: Motion carried unanimously on a roll call vote. E FOREGOINO RESOLUTION 7/4 Resolution #98324 December 10, 1998 Moved by Wolf supported by Taub the resolutions on the Consent Agenda be adopted and the resolutions on the Consent Agenda being amended to conform with their committee reports be adopted as amended. AYES: Coleman, Dingeldey, Douglas, Garfield, Gregory, Hoffman, Holbert, Huntoon, Jacobs, Jensen, Johnson, Kaczmar, Kingzett, Law, McCulloch, McPherson, Millard, Moffitt, Obrecht,Palmer, Taub, Wolf, Amos. ;23) NAYS: None. (0) A sufficient majority having voted therefor, the resolutions on the Consent Agenda were adopted and the resolutions on the Consent Agenda being amended to conform with their committee reports were adopted as amended. STATE OF MICHIGAN) COUNTY OF OAKLAND') I, G. William Caddell, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on December 10, 1998 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan thls I Oth day of.December, 1998. dea44M, G. William Caddell, County Clerk