HomeMy WebLinkAboutRes1991-114
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Sponsored by: Schaefermeyer
CITY OF SEWARD, ALASKA
RESOLUTION NO. 91-114
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, AUTHORIZING AMENDMENT NO. 1 TO
LEASE NO. RE-040, LOT 6, BLOCK I, MARINA SUBDIVISION
WHEREAS, lessee Milos Nikolic desires to construct an addition
to his business on Lot 6, Block I, Marina Subdivision; and
WHEREAS, financial institutions require at least a IS-year
remaining lease term in order to provide construction loan funds;
and
WHEREAS, there are less than ten years remaining on the
current lease term; and
WHEREAS, the city does not foresee a public need for the
leased property at the end of the present lease term; and
WHEREAS, the construction of a major addition to the existing
business would have a positive effect on the local economy; and
WHEREAS, the lease term of the agreement may be extended by
resolution of Council following public hearing; and
WHEREAS, the Council conducted a duly notice public hearing
regarding the proposed lease extension at its September 23, 1991,
meeting;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The City Manager is hereby authorized to execute
Amendment No. 1 to Lease No. RE-040 (Lot 6, Block I, Marina
Subdivision). A copy of the amendment is attached and incorporated
herein by reference.
Section 2. This resolution shall take effect immediately upon
its adoption.
PASSED AND APPROVED by the City Council of the city of Seward,
Alaska, this 14th day of October, 1991.
THE CITY OF SEWARD, ALASKA
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Beverly D nham, Vice Mayor
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CITY OF SEWARD, ALASKA
RESOLUTION NO. 91-114
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Burgess, Crane, Dunham, Krasnansky, Swartz & White
None
Cripps
None
APPROVED AS TO FORM:
Perkins Coie, Attorneys for the
city of Seward, Alaska
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(City Seal)
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Fred B. Arvidson
City Attorney
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LEASE AMENDMENT NO. 1
RE-040
THE CITY OF SEWARD, ALASKA, a home rule municipal corporation,
organized and existing under the laws of the state of Alaska,
hereinafter referred to as "CITY", and MILOS NIKOLIC, hereinafter
referred to as "LESSEE", hereby agree that the Lease between them
for Lot 6 Block 1, Marina Subdivision, and originally approved by
City of Seward Resolution 84-035 on April 23, 1984 is hereby
amended as follows:
Add section 4, under Article V Lease Term.
4. Lease Extension. Not withstanding the provisions of section
2 above, the term of this lease is extended through June 30,
2010 subject to the terms outlined in section 5. following.
Add section 5, under Article V Lease Term.
5. Construction Reauirements. Lessee, as partial consideration
for the lease extension granted in section 4. above, expressly
undertakes at Lessee's sole expense to (1) to report to the City in
writing, not later than January 1, 1992 as to the status of
planning, financing and construction of Lessee's planned building
expansion as shown on attached Exhibit Ai (2) begin construction
of said addition to Lessee's business structure not later than June
1, 1992, (2) to complete construction of said addition not later
than september 1, 1992. If Lessee fails to timely meet any of
these requirements, the city may, by giving written notice to
Lessee, elect to terminate the lease extension granted in section
4. above, with all other aspect of the lease and this amendment
remaining in effect.
Delete section 1. Article VI.Rent on page 4, and substitute in its
stead the following:
1. Any and all annual rental due under this Lease shall be
paid in advance in quarterly installments in January, April,
July and October.
Delete paragraph 1 under section 2. Article VI Rent and substitute
in its stead the following:
RE040 AMEND
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2. The rental shall be determined as follows:
The annual rental rate during the period January 1, 1987
through December 31, 1991 shall be $4,011.36 per annum. A new lease
rate based upon an MAl certified appraisal shall be in effect
January 1, 1991 through June 30, 1995. Thereafter at the expiration
of every five years, the City, at its own expense, shall employ an
independent MAI certified appraiser to determine the fair market
rental value of the Leased Land exclusive of the land unless that
use is coincidentally the highest and best use of the Land.
IN WITNESS WHEREOF, the parties h,reto have executed this
document, and it is effective this I~ day of Oc;:tobc:lr'"
1991.
LESSOR:
LESSEE:
CITY OF SEWARD, ALASKA
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CITY MANAGER
MILOS NIKOLIC
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ATTEST:
APPROVED AS TO FORM:
PERKINS COIE
Attorneys for the
City of Seward
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BY: FRED B. ARVIDSON
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RE040 AMEND
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STATE OF ALASKA )
) SS.
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this :J:J day of vi'.J.ob.....r , 1991,
before me, the undersigned, a Notary Public in and for the state of
Alaska, personally appeared fh; Lo ~ 1.JIKo 1.-1 ~ ,
known to me and to me knows to be the ~ndividual named in and who
executed the foregoing document, and he acknowledged to me that he
was authorized to execute the foregoing document by authority
granted him in the Bylaws or by resolution of the Board of
Directors of said corporation for the uses and purposes therein set
forth.
WITNESS my hand and notarial seal the day and year first
hereinabove written.
Alaska
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Return to
city of Seward
P.O. Box 167
Seward, Alaska 99664
RE040 AMEND
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