HomeMy WebLinkAboutHuntington Youth Shelter - Shank House - 1992-04-20�r-- Ga �- o h�v1,C�yr,
REQ1 ":ST FOR CITY COU"'C1L/ _ J
REDEVES' 6PMENT AGENCY A -&ION ED92-20
April 20, 1992
Date
Submitted to- Honorable Mayor/Chairman & City Council/Redevelopment Agency
Submitted by: Michael T. Uberuaga, City Administrator/Executive Director
Robert J. Franz, Deputy City Administrator/Administrative Service
Preparod by: Barbara A. Kaiser, Deputy City Administrator/Economic -$e
APPR VED BY CITY COUNCIL
Subject: Shank House Leases
Consistent with Council Policy? m Yes t ] New Policy or Excepti _ mg
Statement of Issue, Recommendation, Analysis, Funding Source, Alternative
The Redevelopment Agency of the City of Huntington Beach has proposed leasing the
upper floors of the property located at 204 Fifth Street, Huntington Beach, known as the
Shank House. The following are two prospective tenants and the areas in the building they
would be leasing:
'I) The Huntington Youth Shelter, upstairs unit #204. a 'V
2) The Bolsa Chica Conservancy, upstairs unit *203.
RECOMMENDATION:
q = on
Approve the two leases and authorize the Chairman and Agency Clerk to execute ;=
documents. r
ANALYSIS:
ti
The Redevelopment Agency of the City of Huntington Beach owns the historic structure
known as the Shank House, located on the corner of Sth Street and Walnut Avenue in
downtown Huntington Beach. The Redevelopment Agency has renovated the structure as
close to its original condition as reasonably possible. The property is currently a police
substation on the ground floor. The remaining vacant rooms are proposed to be used for
non-profit organizations in which to maintain their offices. Each tenant will pay their
equitable share of utilities and maintenance for the continued proper care of this historic
structure. The property will thereby be maintained in an efficient manner.
Each of the leases is month -to -month with 30 days termination notice and nominal ($10
per year) rent paid to the Agency. The leases include a clause which provides no
relocation benefits upon termination of the lease.
The property was originally purchased with the intent of a sale with Iease back, with an
option to repurchase by the City. The City intended to sublease the property to Pier
Realty with an option to purchase. These agreements were never executed and the City
Council terminated negotiations on February 4, 1991. On May 20, 1991, the City Council
approved the use of the Shank House as a police substation.
PIO 4184
Since there is little demand for office space downtown, staff recommends against
competing with the private sector in leasing the remaining second floor office space in the
Shank House. Office space is currently available in (1) Pierside Pavilion, (2) Robert
Koury's building, (3) the second block of Main Street buildings, (4) Town Square, and (5) the
proposed Abdelmuti project. Therefore, staff recommends that the second floor of the
Shank House be leased to non-profit organizations, including the Huntington Beach Youth
Shelter and Bolsa Chica Conservancy.
In addition, the remaining office will be used by the Public Works Department as a
construction site office to monitor the Main Street public improvements project recently
approved by the City Council.
FUNDING SOURCE:
None.
Do not lease the structure.
ATTACHMENT:
Copies of the two leases
MTU/RJF/BAK:ls
0099U
LEASE AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY OF
THE CITY OF HUNTINGTON BEACH AND THE HUNTINGTON
YOUTH SHELTER FOR A PORTION OF THE PROPERTY
LOCATED AT 204 5TH STREET, HUNTINGTON BEACH
THIS AGREEMENT is made and entered into this 20th day
2
of April , 1991, by and between the REDEVELOPMENT
AGENCY OF THE CITY OF HUNTINGTON BEACH, a public entity of the
State of California (hereinafter referred to as "LESSOR"), and
the HUNTINGTON YOUTH SHELTER, a nonprofit California
corporation (hereinafter referred to as "LESSEE" or "TENANT").
WHEREAS, LESSOR owns certain real property (hereinafter
referred to as the "PREMISES"), in the City of Huntington
Beach, and TENANT desires to lease said premises for the use
and purposes set forth below,
NOW, THEREFORE, the parties covenant and agree as follows:
I. DESCRIPTION OF PREMISES
LESSOR hereby leases to LESSEE that certain real
property commonly known and described as Unit 204, a portion of
204 5th Street, located in the City of Huntington Beach, County
of Orange, State of California, and more fully described in the
attached Exhibit "A" and incorporated herein by this reference.
2. U5E OF PREMISES
LESSEE shall use the premises for outreach center
related purposes only, meeting the zoning and licensing
regulations of LESSOR and the State of California. Any other
related uses must be approved, in writing, by the LESSOR.
MIM
3. RENT
LESSEE shall pay a rental fee of TEN DOLLARS ($10) per
year, due on the first day of each year hereof, in advance, for
the first twelve months of this lease agreement.
4. TERM
The term of this Agreement shall be month -to -month.
5. TERMINATION
This Agreement is subject to termination by LESSOR
upon giving to LESSEE, thirty (30) days' notice, in writing.
6. SERVICES-ANDMILITIES
LESSEE shall pay for electrical and utility services,
which are jointly metered to the PREMISES, on a rate of ten
percent (10%) of total electrical and utility services per'
month. LESSEE shall arrange for and pay for its own janitorial
services for their individual space. LESSEE shall contribute
to maintenance of the common area on a rate of twenty percent
(20%) of monthly services.
7. ATTORNEY'S FEES
LESSOR shall be reimbursed by LESSEE for all costs or
attorney's fees incurred by LESSOR in enforcing this obligation.
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B. A�S_SIGNMENT AND S!IBLETTING
Without the prior written consent of LESSOR, LESSEE
shall not assign this lease, or subject or grant any license to
use the premises, or any part thereof. A consent by LESSOR to
one assignment, subletting, or license, shall not be deemed to
be consent to any subsequent assignment, subletting, or
license. An assignment, subletting, or license without the
prior written consent of LESSOR, or an assignment or subletting
by operation of law, shall be void, and shall, at LESSOR's
option, terminate this Agreement.
9. INDEMNIFICATION. -DEFENSE, ]HOLD HARMLESS
LESSEE hereby agrees not to sue and to relase,
protect, defend, indemnify and hold harmless LESSOR, its
officers and employees against any and all liability, claims,
judgments, costs and demands, however caused, including those
resulting from death or injury to LESSEE's employees and damage
to property caused either by the condition of the PREMISES, or
some negligent act or omission of LESSEE, or its agents,
officers, employees, invitees or contractors. LESSEE will
conduct all defense at its sole cost and expense. Any costs of
defense or attorney's fees incurred by LESSOR in enforcing this
obligation will be reimbursed to LESSOR by LESSEE or may be
awarded to LESSOR by a court of competent jurisdiction as costs
pursuant to California Code gf_Civil_Procedure § 1021.
10. WORKEES'-COMPENSATION INSURANCE
Pursuant to California for Code Section 1861, LESSEE
acknowledges awareness of Section 3700 et seq. of said code,
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MA
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which requires every employer to be insured against liability
for workers, Compensation; LESSEE covenants that it will comply
with such provisions prior to commencing performance of the
work hereunder.
LESSEE shall maintain such workers' Compensation
Insurance in an amount of not less than Five Hundred Thousand
Dollars ($500,000) bodily injury by accident, each accident,
Five Hundred Thousand Dollars ($500,000) bodily injury by
disease, each employee, and One Million Dollars bodily injury
by disease, policy limit, at all times incident hereto, in
forms and underwritten by insurance companies satisfactory to
LESSOR; and LESSEE shall, prior to the commencement of this
Agreement, furnish to LESSOR, on a form approved by the City
Attorney, a certificate evidencing such insurance; said
certificate shall include a provision that the insurer shall
notify LESSOR at least thirty (30) days prior to any
cancellation or modification of said insurance policy; and
LESSEE shall notify LESSOR at least thirty (30) days prior to
any cancellation or modification of such policy. Said
insurance shall not derogate from the provision for
indemnification of LESSOR by LESSEE under Section 7 of this
Agreement.
11. INSURANCE.
In addition to LESSEE's covenant to indemnify LESSOR,
LESSEE shall obtain and furnish to LESSOR, the following
policies of insurance:
- 4 -
�J
A. General Liability nsurangg. A policy of general
liability insurance, including coverage for bodily injury,
property damage, products/completed operations, and blanket
contractual liability. Said insurance shall also include
automotive bodily injury and property damage liability
insurance. All insurance shall be underwritten by insurance
companies in forms satisfactory to LESSOR for all operations,
subcontract work, contractual obligations, product or completed
operations and all owned vehicles and non -owned vehicles. Said
insurance shall name the LESSOR, its officers, agents and
employees and all public agencies as determined by the LESSOR
as Additional Insureds. LESSEE shall subscribe for and
maintain said insurance policies in full force and effect
during the life of this Agreement, in an amount of not less
than One Million Dollars ($1,000,000.00) combined single limit
coverage. If coverage is provided under a form which includes
a designated general aggregate limit, such limit shall be no
less than twice the per occurrence limit. In the event of
aggregate coverage, LESSEE shall immediately notify LESSOR of
any known depletion of limits. LESSEE shall require its
insurer to waive its subrogation rights against LESSOR and
agrees to provide certificates evidencing the same.
B. Eire Insurpnce. LESSEE shall maintain in force
during the term of this Agreement, a standard broad form fire
insurance policy for full replacement of the structure itself,
in which the LESSOR is named and which any and all losses are
made payable to LESSOR. The face amount of said policy shall
- 5 -
k"..+/
be One Hundred Thousand Dollars ($100,000.00). LESSOR may,
upon thirty (30) days written notice to LESSEE, require said
fire insurance coverage to be increased by an amount determined
by LESSOR.
Prior to the commencement of this Agreement, LESSEE
shall furnish to LESSOR certificates of insurance subject to
approval of the City Attorney evidencing the foregoing
insurance coverages; said certificates shall provide the name
and policy number of each carrier and policy, and shall state
that the policy is currently in force and will not be cancelled
without thirty (30) days written notice to LESSOR. LESSEE
shall maintain the foregoing insurance coverages in force
during the entire term of this Agreement unless waived in
writing by the LESSOR's Risk Manager.
The requirement for carrying the foregoing insurance
shall not derogate from the provisions for indemnification of
LESSOR by LESSEE under Section 7 of this Agreement. LESSOR or
its representative shall at all times have the right to demand
the original or a copy of all said policies of insurance.
LESSEE shall pay, in a prompt and timely manner, the premiums
on all insurance hereinabove required.
12. DES
LESSEE shall pay before they become delinquent, all
real property taxes, or possessory interest taxes and
assessments levied or assessed against the PREMISES by any
governmental agency, including any special assessments imposed
on or against the PREMISES for the construction or improvement
of public works, in, on, or about the PREMISES.
13. CARE QF PREMISES
LESSEE shall at all times maintain the rented premises
in conformity with all state and local laws and regulations,
and no unlawful activities shall be conducted on the PREMISES.
At all times during the term of this Agreement, LESSEE, at its
own cost and expense, shall keep and maintain the PREMISES in a
neat, clean and orderly condition, and shall keep the interior
of the building in good condition and repaired and painted.
Upon demand, LESSEE shall repair any damage to the heating or
water apparatus or electrical lights or wires, or any fixtures,
appliances or appurtenances of the PREMISES, caused by the act
or neglect of LESSEE, or any person in the employ or under the
control of LESSEE.
14. IMPROVEMENTS
LESSEE shall not make any alterations, additions or
improvements to the PREMISES without the consent of LESSOR.
All approved alterations, additions or improvements made by
LESSEE, except movable household or commercial furniture, are
to become the property of LESSOR, and shall remain on the
PREMISES as part thereof, and be surrendered with the PREMISES
at the termination of this Agreement.
15. INSPECTION
LESSOR and LESSOR's agents, including the Police
Department, shall have the right to enter the rented premises
at all reasonable times to inspect same for security purposes.
LESSOR and LESSOR's agents shall be permitted to make repairs,
- 7 -
�'Wl
additions or alterations as may be deemed necessary by LESSOR
with reasonable notice to LESSEE, and to put and keep upon the
doors and windows of the PREMISES a notice indicating that said
premises are for rent at any time within thirty (30) days
before termination of this rental.
16. REL=INQ _OF PREMISES
If LESSEE abandons or vacates the PREMISES, or is
dispossessed for cause by LESSOR, before the termination of
this Agreement, or any renewal thereof, the PREMISES or any
part thereof, may be relet by LESSOR for such rent and on such
terms as LESSOR may see fit, and if the full rental payable
hereunder by LESSEE shall not thus be realized, LESSEE hereby
agrees to pay all deficiencies for a period of three (3)
months, including any expenses incurred by LESSOR by reason of
such reletting.
17. DEFAULT WAIVER
LESSOR's failure to take advantage of any default on
the part of LESSEE shall not be construed as a waiver thereof,
nor shall any custom or practice that may grow up between the
parties in the course of.administering this Agreement be
construed to waive to LESSEE the right of LESSOR to insist on
the performance of the provisions hereof.
In the event the entirety of the PREMISES is destroyed
or rendered untenable by fire, storm, earthquake, or other
casualty not caused by negligence of LESSOR, this Agreement
shall be at an end from such time except for the purpose of
SIM
enforcing rights that may have accrued hereunder. The rental
shall then be accounted for between LESSOR and LESSEE up to the
time of such injury or destruction of the PREMISES, LESSEE
paying up to said date, and LESSOR, refunding the rents
collected beyond such date.
M � • _ 6 •� •
LESSEE understands and agrees that upon surrender of
possession it will not be entitled to a moving cost payment or
any other relocating payment under any State or Federal
Relocation Assistance Program. LESSEE acknowledges that in the
event the Redevelopment Agency decides to vacate or demolish
this rental that LESSEE will receive no relocation benefits.
20. NOTICE
Any written notice, given under the terms of this
Agreement, shall be either delivered personally or mailed,
postage prepared, addressed to the party concerned, as follows:
LESSOR:
Mr. Robert Franz
Director of Administrative
Services
City of Huntington Beach
2000 Main Street
Huntington Beach, CA 92648
21. ENTIRETY, AGREEMENT
LESSEE
Huntington Youth Shelter,
204 5th Street
Huntington Beach, CA 92648
LESSOR and LESSEE agree that this lease constitutes
the entire agreement between the parties.
- 9 -
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be executed by their authorized officers on the
date above written.
LESSEE:
HUNTINGTON YOUTH
SHELTER,
a California nonprofit
corporation
At'd-,
By: Carolyn node
Its: 5 n, Zr
[U
By: Donna Klein
Its• AG�OACr
ATTEST : -^ -
City Clerk--.
REVIEWED AND APPROVED:
City Administrator
REVIEWED AND APPROVED:
Real Property Manager
LESSOR: REDEVELOPMENT AGENCY OF THE
CITY OF HUNTINGTON BEACH,
a municipal corporation
Mayor
APPROVED AS TO FORM:
qi A tp�rney /Iff lellf-M I
INII7, YT PP,ROVED:
Directo't'of Omini�rati
Services
- 10 -
FXH 101T
DESCRIPTION
THE LAND REFERRED TO IN THIS GUARANTEE IS SITUATED IN THE STATE OF
CALIFORNIA, COUNTY OF ORANGE, CITY OF HUNTINGTON BEACH, AND IS
DESCRIBED AS FOLLOWS:
PARCEL Z :
LOTS .2 AND 4 OF BLOCK 204 IN THE HUNTINGTON BEACH TRACT, AS PER HAP
RECORDED IN BOOK 3, PAGE 36 OF MISCELLANEOUS }'LAPS, IN THE OFFICE OF
THE COUNTY RECORDER OF SAID COUNTY.
EXCEPT THEREFROM THE SOUTHEASTERLY 44 FEET.
PARCEL 2:
LOT 6 OF BLOCK 204 IN THE HUTINGTON 'BEACH TRACT, AS PER YAP RECORDED
IN BOOK 3, PAGE 36 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY
RECORDER OF SAID COUNTY.
EXCEPT THEREFROM THE SOUTHEASTERLY 44 FEET.
PARCEL 3:
THE SOUTHWESTERLY 3 FEETOF THE SOUTHEASTERLY 48 FEETOF LOT 8 OF BLOCK.
204 IN THE HUNTINGTON BEACH TRACT, AS PER MAP RECORDED IN BOOK 3,
PAGE 36 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER
OF SAID COUNTY.
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BOOK 24 PAGE 14'
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EXHIBIT "A"
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I PRODUCER THIS CERTIFICATE IS ISSUED AS MATTER OF INFORMATION ONLY AND
CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDEP.. THIS CERTIFICATE
ASSOCIATED AGENCIES, INC. OF CALIFORNI DOES NOT AMEND. EXTEND OR ALTER THE COVEFIAGE AFFORD-cD BY THE
POLICIES BELOW.
POST OFFICE BOX 8797
NWPORT BEACH, CA 92658 COMPANIES AFFORDING COVERAGE
(714) 261-6705 -- ------______
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POLICY NUhLBER
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DATE IMRI.UDrY YI
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Y OF THE ABC)VE DESCRIBED PULICrES E3E CANCELLED C_- Cr:E THE
CITY OF HUNTINGTON BEACH DATE THEREOF, THE ISSUING COMPANY WILL XXIIXXX7CXxx
IT'S OFFICERS AND EMPLOYEES DAYS MITTEN NOTICE TO THE CERTIFIGATc HOLDER >tiA1.!EO TO THE
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LIABILITY V CL 20 12 (Ed. 07 661 L9110
• G 110 (Ed. 10-661
ADDITIONAL INSURED
IState Of Political Subdivision"ermils)
This endorsement modifies such insurance as is afforded by the provisions of the policy relating to the followin
COM?9EHENSIYE GENERAL LIABILITY INSURANCE
MANUFACTURERS' AND CONTR.1;,TOP.S' LT;.2:LITY INSURANCE
OWNERS' AND CONTRACTORS' PROTECTIVE LIABILITY INSURANCE
OWNERS', LANDLORDS' AND TENANTS' LIABILITY INSURANCE
This endorsement. effective . forms a part of policy No.
112.0t A. M , standard rnnel
issued to
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Authorised Rrpeeunutr•e '
SCHIOULE
Oesi;nrtion of State or Politics! Subdivision: CITY OF HINZ TItiGTON BEa1CH
IT'S OFFICERS, LiPLOYEES
2000 ;FAIN ST.
HINTINGTON BEACH, CA. 92649
Premium Limits of Property Damage liability
$ INCraa. S each occurrence
S i4 ag_retate
*SEE DECLARATIONS PAGE
It is agreed that the "Parsons Insured" provision includes as an insured any state or political subdivision thereof designated in the schedule above.
subject to the following additional provisions.
1. The insurance applies only with respect to oeerations performed by or on Wall of the named insured for which the state or political subdivi-
sion has issued a permit.
2. The insurance does not apply to bodily injury or property damage
'a) arising out of operztions performed for the slate or municipality. or
lbl included within the completed operations hazard.
3. If the Property Damage Liabibly Coverage is not alherxise atlorded. such insurance shall nevertheless aDDty with respeCl to operalLDns performed
by or on behalf 0! the named insured for which such permit has been rssied subject to the limits of liability stated herein.
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LgDT . d 15
IA
CITY OF HUNTINGTON BEACH
2000 MAIN STREET
CALIFORNIA 92648
RISK MANAGEMENT DIVISION
(714) 536.5990
In order to comply with City Council Resolution No. 6023,
you are required to provide this office with a worker's
compensation Certificate of Insurance. If you use no
employees in the performance of the work for which this
permit is issued, then you must sign this form and return
it at your earliest convenience to the Risk Management
office at 2000 Main Street, Huntington Beach, California
92648, Attn: Julie Fittery
I certify that in the performance of the activity and/or
work for which this permit is issued, I shall not employ
any person in any manner so as to become subject to the
worker's compensation laws of California.
APPLICANT'S SIGNATURE:
DATE C _ el_ C
II 7�� /
LOCATION: 411.11174) ,,aC//ZJ di
(in which city you are signing this form)
NAME AND ADDRESS OF APPLICANT/INSURED:
1149�A
fl
PHONE NUMBER: '-
'r Ds
This form is not required where permit fee is $100.00 or less.