Loading...
HomeMy WebLinkAboutRes1994-183 . . . Sponsored by: Jones CITY OF SEWARD, ALASKA RESOLUTION NO. 94-183 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, APPROVING AN AGREEMENT BETWEEN THE CITY OF SEWARD AND NSI PARTNERSHIP FOR OFFICE SPACE RENTAL IN THE RAY BUILDING WHEREAS, in June, 1994, the city administration requested bids for office space rental to accommodate staff needs which cannot be met in existing city facilities; and WHEREAS, only two bids were received; and WHEREAS, NSI Partnership submitted the low bid and agreed to make certain modifications to their office spaces to better meet the needs of the city; and WHEREAS, on October 10, 1994, the City of Seward conducted a public hearing to solicit public comment on the proposed lease agreement between the city and NSI Partnership; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The agreement between the City of Seward and NSI Partnership, a copy of which is attached and incorporated herein by reference, for lease of office space in the Ray Building, is hereby APPROVED. Section 2. This resolution shall take effect thirty days after passage and posting as required by law. PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 10th day of October, 1994. THE CITY OF SEWARD, ALASKA ~~L& (O~ Dave W. rane, Mayor J AYES: NOES: ABSENT: ABSTAIN: Anderson, Crane, Darling, Deeter, King, O'Brien, Sieminski None None None CITY OF SEWARD, ALASKA RESOLUTION NO. 94-183 ATTEST: APPROVED AS TO FORM: Wohlforth, Argetsinger, Johnson & Brecht, Attorneys for the city of Seward, Alaska ~r~ City Attorney (City Seal) . . . OFFICE SPACE LEASE AGREEMENT Between NSI Partnership, Inc. and the City of Seward, Alaska This Agreement, made this 10th day of October, 1994, between the NSI Partnership, Inc., hereinafter designated as "NSI", and the City of Seward, Alaska, hereinafter designated as "CITY", is drafted and entered into by the parties for the purposes of the rental of NSI properties for CITY office space. NSlleases to CITY office space and common areas shown of the floor plans attached hereto as Appendix A, consisting of 2,467 square feet ("premises"), situated in the Ray Building ("Building"), 5th & Adams, Seward, Alaska, upon the following terms and conditions: 1. TERM: The premises are rented for a period of four (4) years, commencing the 1st day of September, 1994, and terminating the 31st day of August, 1998, when the Agreement may be extended at the CITY's discretion for up to a maximum of two (2) one-year periods. 2. RENT: The CITY shall pay rent in the amount of $0.80 per square foot of office space and common areas (accessing hallways, restrooms, stairway) per month on the 1 st day of each month tfl NSI. The monthly rental rate in the preceding sentence shall be subject to adjustment at the commencement of the third year of the lease term ("adjustment date") as follows: The monthly rental rate for the remainder of the lease term and any extension thereof shall be the greater of (i) the monthly rental rate in the first sentence of this section, and (ii) the rate determined by multiplying the rate in the first sentence of this section by a fraction, the numerator of which is the Anchorage Index, published by the U.S. Department of labor ("index'1, which is in effect on the adjustment date, and the denominator of which is the index which is in effect on the date of the commencement of the lease term. 3. UTILITIES: The CITY shall be responsible for the payment of the electric utility bill for the square footage rented. 4. SUBLET: The CITY agrees not to sublet said premises nor assign this Agreement nor any part thereof without the prior written consent of NSI, such consent not to be unreasonably withheld. 5. VACATING OF PREMISES: NSI acknowldeges the space being rented is for . . . RAY BLDG. AGREEMENT Page two CITY office space and personnel activities. Furthermore, NSI acknowledges vacancies of office space(s) could occur due to reduction in force caused by lack of available funds or reduction in services by the CITY. The City shall have the option to surrender a portion of the premises to NSI in any amount not to exceed twenty percent (20%) of total space occupancy at any time upon 120 days written notice to NSI that a lack of available funds or reduction in services will cause that portion of the premises to be in excess of the CITY's office space requirements. The portion of the premises so surrendered shall be reasonably arranged to maximize NSI's ability to relet that portion without disrupting CITY operations in the remainder of the premises. Upon the exercise of this option, the CITY's obligation to pay rent for the portion of the premises surrendered shall cease and the total monthly lease payment by the CITY to NSI shall include the pro rata rent reduction. 6. ALTERATIONS: A. The CITY agrees not to make alterations or do or cause to be done any painting or wallpapering to said premises without prior written consent of NSI, such consent not to be unreasonably withheld. . B. The CITY may during the term of this Agreement make requests of NSI for office improvements and renovations. C. NSI shall respond to requests for such alterations described in Section B above within fourteen (14) calendar days or the CITY shall proceed with such alterations. In which case, the CITY will invoice NSI for the actual cost of alterations. 7. CODE COMPLIANCE: NSI agrees throughout the term of this lease to make necessary repairs or improvements to conform with all municipal, borough, state and federal codes, statutes, ordinances and regulations concerning the use and occupancy of the Building. Any improvements, remodeling or repairs shall be performed within twenty (20) days upon receipt of written notification from the CITY. NSI shall, in writing, notify the CITY of any delays beyond this time period caused by availability of contractors and/or materials with a statement when the work is expected to be completed. 8. USE OF PREMISES: The CITY shall not use the premises for any unlawful purposes. The CITY will use the premises for normal office space and provision of services to the public. 9. CITY'S OBLIGATIONS: The CITY agrees to assume the following obligations: (1) To keep office spaces and rented common areas in a clean and sanitary condition. (2) To properly dispose of waste and rubbish in a proper manner at reasonable and regular intervals. (3) To properly use and operate all electrical, heating, plumbing facilities, fixtures. . . . RAY BUILDING AGREEMENT Page three (4) To not intentionally or negligently destroy, deface, damage, impair or remove any part of the premises, their facilities or equipment. 10. MAINTENANCE OF PREMISES: The CITY agrees to perform the following: (1) To replace in a neat and workmanlike manner all glass and doors broken during occupancy should such damage be caused by conduct of ordinary city business. (2) Shall be responsible to perform janitorial services to office areas and common areas which include hallways and restrooms. (3) To provide snow and ice removal of adjacent sidewalks. . 11. NSI OBLIGATIONS: A. General Obligation and Indemnification. With respect to CITY's use of the premises, NSI hereby assumes all risk of nQncompliance by CITY with all applicable building, safety, handicap access, fire and other codes, statutes or regulations. NSI agrees to defend, indemnify, and hold CITY harmless with respect to any suit or complaint filed in any. court or agency alleging noncompliance with any such codes, statutes or regulations relating to either the CITY's use of the premises or access thereto by CITY personnel or the public. B. Soecific Obliaations. In addition to the above general obligations, NSI agrees to perform the following: (1) Maintain all structural components in good repair. (2) Keep common areas clear and safe from defects and/or hazards that would increase the likelihood of fire or accidents. (3) Maintain all electrical, plumbing, heating and other facilities and appliances supplied by NSI in reasonably good working order and in conformity with the applicable Uniform Electrical, Fire and Building Codes. (4) Make necessary upgrades to the electrical systems to accommodate office needs and machines. (5) Shall make renovations to carpeting, flooring, ceiling and lighting as needed to provide quality, safe office work areas. (6) Have all carpeting shampooed at least twice a year. (7) Provide a reasonable program for the control of infestation by insects, rodents and other pests. (8) Shall wash exterior window surfaces twice per year. . . . . RAY BUILDING AGREEMENT Page four C. Soecific Renovations. Within twenty (20) days of adoption of this Agreement, NSI shall perform the following renovations: (1) Construct interior walls and doorways as requested in the master floor plan (Appendix A) for the second floor office spaces. (2) Replace or renovate south entrance doors. (3) Provide necessary steps to eliminate and maintain control of sources of obnoxious, nuisance odors inside the north entrance and throughout the facility as addressed by the CITY during the term of this Agreement. (4) Brace flooring for City-occupied second floor offices. (5) Remove bathtub in first floor restroom to allow for conference room wall relocation. (6) Move wall in first floor conference room as described in master floor plan. . (7) Resolve low overhead clearance hazard in stairway caused by second floor landing. Tenant Relief. Should obligations specified within this Agreement and/or additional requests for remedy of office space/building problems reported fail to be corrected within a period of twenty (20) days or as prescribed within any other time period specifically addressed within this Agreement, the Agreement shall be considered in default and the Agreement may be terminated. D. 12. ACCESS: NSI reserves the right of access to the premises for the purposes of: (1) inspection; (2) repairs, alterations or improvements; (3) to supply services; or (4) to exhibit or display the premises to prospective or actual purchasers, mortgagees, tenants, workmen or contractors. 13. SURRENDER OF PREMISES: Termination of this Agreement shall be by written notice of at least ninety (90) days, preceding the end of any monthly rental period, given by either party to the other. Termination will be caused only under the terms stated in the Agreement or through any cause that would render the facility unsuitable or unsafe for office space use or caused by CITY's lack of appropriated funding. The CITY shall give NSI at least 10 days notice of the failure of the City Council to appropriate funds for the performance of the CITY's obligations under this lease during the next CITY fiscal year. . . . RAY BUILDING AGREEMENT Page five 14. COSTS AND ATTORNEY'S FEES: If, by reason of any default or breach on the part of either party in the performance of any provisions of this Agreement, a legal action is instituted, the losing party agrees to pay all reasonable costs and attorney's fees in connection therewith. 15. ADDITIONAL TERMS: If any additional terms are agreed to by the parties, they shall be described and attached to this document. 16. APPENDICES: Appendices which have been referred to in this Agreement and new terms as described in Section 15 above are and/or shall be attached to this document and considered parts of the Agreement. IN WITNESS WHEREOF. the Tenant and Landlord. ea~h hereunto sets his hand. ~.~C\~ For NSI Partnership Po ~ 151/ Address For City of Seward Title ~ ~ ~G1(Pl.e'L City/State - '<...... ~rP AREA = 1887 ! OFFICE AREA ~ 'WOMENS BATHROOM COpy ROOM MAff~ E""" rlAM SQ, FTo - 1138 SQ, FTo FILE ROOM BOB JEFF KA THY 9' -S"X12' -4" 9'-S'Xll'8' 9' -9'X11 '10' . . MOVE 'WALL 15'-4"Xll'-W DAVE MARIL YN . -- \. . \ 10\j CD \r>~ , 0 'rr.:J Y ..~ "~d [SJ, ~ "'t.; '" f q~,< ~\ to I . D -... " II 4:: ~rM~')/Y. A -) " ~.~\_ i- = -\ 0 >'l '" ~ '" It '" '" " t. '" . ~ < 1 ,. -'. 1 ~ ~ 0 1 ." ~ < " , '" " .. t t '" -\ . ,~ . ~ ... -t , " ... .... '" .., 1\ .:::::-- . ~ .- ,. ... , :. . ;\ "' l .. j . 't " -. ,. " ,. ,. 1 > .. ;, or . ~ '1\ .. , oJ< % .. , ... ~ e l. ~ T .. 1 . "\ '4 '" t ... ~ . .. ,. ~ ~ .i ~ '1 a ! -1 ~ <. ..... " r to \r-" .,.. \ ';: i 6" ~ . ~ <.. ~ \ ;I r 0' , r " .. " ~ , \ \ \ \ \ \ \ . . 1-"'", \-:J;- ... \ \ . ~ r ~'" .~ . . . . . . ''''.. "I. ~ ~ t ~ ~ " o ~ 1 G . -:, ~ <:> 'I " " ... ~~ \ ~~r- \ \' - New loNjl."'\" ;-0 ' -