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HomeMy Public PortalAbout012-2019 - Parks - Lease Agreement with Cardinal GreenwayLEASE AGREEMENT THIS AGREEMENT is entered into this Aq day of FaY7CGt,��j , 2019, by and between the City of Richmond, Indiana, through its Board of Parks and Recreation (hereinafter referred to as "City" or and/or "Lessor"), and the Cardinal Greenway, Inc. (hereinafter referred to as "Cardinal Greenway" and/or "Lessee"), an Indiana not -for -profit corporation with its principal office located at 700 E. Wysor, Muncie,, IN 47305. WITNE S SETH: WHEREAS, City, through its Board of Parks and Recreation, operates and maintains all city parks located within the corporate boundaries of the City; and WHEREAS, Cardinal Greenway is the longest rail --trial in Indiana and spans sixty-two (62) miles from Marion, Indiana through Muncie, Indiana to Richmond, Indiana in East Central Indiana; and WHEREAS, the City maintains offices out of which the Department of Parks and Recreation operate, located at 2200 E. Main Street, Richmond, Indiana 47374; and WHEREAS, the Cardinal Greenway desires to utilize an unoccupied office located that the offices of the City's Department of Parks and Recreation for purposes of having space to carry out and maintain its vision of offering the trail system, as well as education, wellness programs, environmental awareness, and recreation for a wide range of audiences; and WHEREAS, the City acknowledges the benefit that the Cardinal Greenway provides to the residents of the City, and agrees to lease certain office space, which is more particularly described below, to the Cardinal Greenway according to the terms and conditions set forth herein. CONTRACT NO. 12--2019 Now THEREFORE, in consideration of the terms and conditions contained herein, including the above recitals, the parties agree as follows: SECTION ONE TERM AND PREMISES Lessor leases to Lessee the premises located at 2200 E. Main Street, Richmond, Wayne County, Indiana, with such premises being limited to a single office located on the west side of the larger structure, which location has heretofore been identified and agreed upon by the parties, and more particularly identified as (the "premises"), for a term beginning retroactive to the 1" day of January, 2019, and ending on the 3 1 " day of December, 2019 (the "term"). Lessee shall have the option to renew this Lease Agreement for an additional term, with the same terms as set forth herein, by tendering written notice of its election to renew to Lessor at least thirty (30) days prior to the expiration of this Lease Agreement. SECTION TWO RENT Lessee shall pay to Lessor as rent the annual rental sum of One Dollar and 00/100 ($1.00). SECTION THREE USE OF PREMISES The premises shall be used for business purposes only by Lessee. Lessee's guests, invitees, and uninvited visitors shall not use, nor permit any person to use, the premises in violation of the laws of the United States or of the State of Indiana or of the ordinances or other regulations of the local government unit or of any other lawful authority; and Lessee shall comply with all health, fire, and police regulations. Lessee and Lessee's guests, invitees, and uninvited visitors shall not cause, allow, or permit any waste, misuse, or neglect of the premises. Lessee agree to pay for all damages caused to the premises and/or the Parks Department's other offices by Lessee or Lessee's guests, invitees, or uninvited visitors. Lessee will- promptly report to Lessor any damage or defects in and about the premises which require repairs, provided, however, that all repairs ' and service calls attributable to the act, neglect, or omission of the Lessee or Lessee's guests, invitees, or uninvited visitors shall be charged to and paid for by Lessee, including but not limited to repairs to fixtures and any other items furnished by Lessor. Lessee shall also be responsible for any charges by the local government unit or other lawful authority and for the removal of any liens filed as a result of the Lessee's failure to comply with any applicable ordinances or regulations. Additionally, Lessee will not allow the premises to be used for any purpose that will increase the rate of insurance on the premises nor for any purpose other than those specifically allowed in this Lease, nor for any purposes that would injure the reputation of the premises or the neighborhood. Further, Lessee will in every respect comply with the requirements of any underwriter's association so as not to increase the rates of insurance on the premises and contents of the premises. SECTION FOUR THIRD PERSONS No person or entity, not otherwise named as Lessee on this Lease or related to Lessee, shall be permitted to reside and/or carry on any business on the premises for whatever reason without prior written consent of the Lessor. The presence of any such non -Lessee is a violation of this Lease and may be in violation of Housing and/or Zoning Ordinances. SECTION FIVE CARE AND CONDITION OF PREMISES Lessee shall maintain and keep the premises in good repair and clean condition (making no alterations or additions. Lessee shall refund Lessor for the cost of all repairs made necessary by the negligent or careless use of the premises and will surrender the premises at- the termination of this Lease in a similar condition as when taken, with the exception of reasonable wear and tear resulting from careful usage. Lessee shall promptly pay for all expenses for the removal of any wall covering or other items installed by Lessee during the tenancy and for the restoration and repainting of all walls or ceilings affected. If Lessee fails to maintain the premises in good repair or to repair or pay for damages caused by his or her waste, misuse, or neglect, or to pay for the removal, restoration, and repainting, the costs for these matters shall be deemed to be additional rent under this Lease and due from Lessee to Lessor on the first day of the month following the damage. If Lessee fails to carry out all necessary maintenance and repairs, Lessor shall have the option, but not the obligation, to enter on the premises and make the repairs and to charge the expense of the repairs to Lessee as additional rent under this Lease. SECTION SIX FURNISHINGS Appliances, furniture, office equipment of any kind, and fiaxnishings ("furnishings?7 herein) shall be supplied by Lessee, and Lessor undertakes no express obligation to tender any furnishings to allow for Lessee to carry on its intended business purposes hereunder. Any and all ftu-nishings provided by Lessee shall remain the property of the Lessee and the Lessee shall be responsible for the same. Lessor shall not be obligated to reimburse or replace any lost or damaged furnishings of Lessee unless due to the intentional misconduct or gross negligence of Lessor. Further, Lessor is not required to supply any form of technical support, or otherwise, to Lessee. SECTION SEVEN DELAY IN OR IMPOSSIBILITY OF DELIVERY OF POSSESSION In the event possession cannot be delivered to Lessee on commencement of the Lease term, through no fault of Lessor or Lessor's agents, there shall be no liability on the part of Lessor or Lessor's agents, but the rent provided in this Lease Agreement shall abate until possession is given. SECTION EIGHT QUIET ENJOYMENT The Lessor covenants that the Lessee, on paying the rent and performing the covenants hereof, shall and may peaceably and quietly have, hold and enjoy the leased premises for the term herein mentioned. SECTION NINE ANIMALS Lessee may not keep domestic animals within the premises. SECTION TEN WAIVER OF WARRANTY OF HABITABILITYIPROPERTY ACCEPTED "AS IS" As a specific condition and as part of the consideration of this Lease between the parties, Lessee agrees that there shall be no implied warranty of habitability or fitness for a particular use as to hidden or concealed conditions on the premises and any such implied warranty is hereby waived. As part of the consideration of this Lease, Lessee has examined and is satisfied with the premises prior to the making of this Lease and accept, occupy and assume the property in "as -is" condition. There has been no promise to make any specific repair or improvement by Lessor unless noted in writing herein. SECTION ELEVEN ALTERATIONS Lessee shall make no alterations, decorations, additions or improvements in or to the premises without Lessor's prior written consent. All alterations, additions, or improvements made by either party shall become the property of the Lessor and shall remain on, and be surrendered with the premises, as part of the premises at the end of the term. SECTION TWELVE SUB-LEASINGIASSIGNMENT Lessee shall not assign this Lease or sublet any part of the premises without the prior written consent of Lessor and Co -Lessee, if any; and any such attempted assignment without such prior written consent shall be void and shall constitute a breach of this Lease. Sub -letting may be allowed only with the prior written consent from the Lessor and Co -Lessee, if any, remaining on the premises and execution of proper applications and references and sublease forms by all appropriate parties. SECTION THIRTEEN ACCESS TO PREMISES Lessor shall have free access at all reasonable hours to the premises for the purpose of inspecting the premises or making alterations or repairs. Lessor may, in addition, have access to the premises for the purpose of exhibiting the same to prospective purchasers or tenants and will, if practical, give advance notice to Lessee. SECTION FOURTEEN UTILITIES Lessor shall be responsible for all utilities associated with the subject premises including but not limited: electric, Internet, telephone, trash, water, gas, and sever which are currently supplied to the premises and shall arrange for their connection and disconnection. Should E Lessee desire additional utilities, if will first obtain prior written approval from Lessor, and thereafter be responsible for the cost associated with the same. SECTION FIFTEEN COST OF INCREASE MODIFICATIONS The Lessor, without the consent of the Lessee, may alter and adjust any provision of this Lease, at any time during the term of this Lease, on written notice of not less than thirty (30) days to the Lessee for any of the following reasons: (i) changes required by federal, state, or local law, rule, or regulation; (ii) changes in rules relating to the premises, or the property where the premises are located, that are required to protect the physical health, safety, or peaceable enjoyment of Lessee and guests; (iii) changes in the amount of rent payable -to cover additional costs in operating the premises incurred by the Lessor, charges for water and sanitary sewer or other utility services consumed at the premises, refuse pick-up or other such charges, or increases in premiums paid for liability, fire, or worker's compensation insurance. SECTION SIXTEEN INSURANCE The Lessee is advised and understand and agree that personal injury to, and damage to the personal property of, Lessee, Lessee's guests, invitees, or uninvited visitors in or on the premises is not insured by the Lessor for either damage or loss, and the Lessor assumes no liability for any. such damage or loss. Lessee is further advised that, if insurance coverage is desired by Lessee, Lessee should inquire of Lessee's insurance agent regarding a renter's hazard and liability policy of insurance. Lessor shall not be responsible for personal injury, or loss of food, clothing, furniture, or any of Lessee's other possessions in the event of { appliance failure, water leak or water backup, bursting pipes, fire, loss of utility service or other events, and in no event shall Lessor be responsible for theft, vandalism, or mysterious disappearance of Lessee's. property, regardless of the state of security on the premises. Further, if Lessee, Lessee's guests, invitees, or uninvited visitors are injured, or if any property of Lessee, Lessee's guests, invitees, or uninvited visitors is damaged, for any reason whatsoever, Lessee must give Lessor written notice of the injury or damage within seven 7) days of its occurrence. SECTION SEVENTEEN FIRE DAMAGE In case the premises shall be partially damaged by fire or other cause at any time during the term of this lease, the premises shall be repaired by Lessor with all reasonable dispatch, and provided that the damage has not been caused by the acts or omissions to act by Lessee, Lessee's guests, invitees, or uninvited visitors. If the damage caused by fire or other cause shall amount substantially to the destruction of the premises or the building containing the premises, Lessor shall have the option to rebuild and/or repair the damage or to cancel this Lease by notice in writing delivered to Lessee within thirty (30) days after the occurrence of the fire or other casualty resulting in such damage. If Lessee elects to rent or utilize alternate housing facilities following damage to the. premises, Lessee shall be responsible for the cost of the alternate facilities. SECTION EIGHTEEN DEFAULT AND REMEDIES OF LESSOR If Lessee shall default in fulfilling any covenant or condition of this lease, or if Lessor shall deem objectionable or improper any conduct of Lessee or of any of those living in or visiting the premises, the Lessor may, when applicable, give Lessee notice as is prescribed by law, of Lessor's intention to terminate the. tenancy, and at the expiration of the notice period, the term of the tenancy shall expire and the Lessee shall then quit and surrender the premises to Lessor. Notwithstanding any termination of the tenancy, Lessee shall remain fully liable for all rental payments, repairs, and other obligations under this Lease. SECTION NINETEEN CONTINUED LIABILITY AFTER PREMATURE TERMINATION No termination of this Lease and/or the tenancy created by it, and repossession of the premises because of Lessee's default, shall relieve the Lessee of Ats liability and obligation under this Lease, including but not limited to the obligation to pay rent until termination of this Lease, less the proceeds of any re -letting of the premises (after deducting all actual cost and expenses of the re -letting including actual labor expenses) made by Lessor. If Lessee abandon or vacate the premises, the same may be re -let by the Lessor for any rent and on any terms as Lessor may see fit; and if a sufficient sum is not thereafter realized, after paying the expenses of re -letting and collection, to satisfy the rent reserved by this Lease, the Lessee agree to satisfy all deficiencies. Further, in the event that Lessee is in default of this Lease, Lessee expressly agrees to pay all court costs, collection costs, and/or reasonable attorney fees necessarily incurred by the Lessor by reason of any proceedings commenced by the Lessor to compel Lessee's compliance with the terms and conditions of this Lease; any court costs, collection costs, and/or attorney fees shall be paid as allowed by Indiana case law, statutes, and court rules. SECTION TWENTY OPTION TO RENEW The Lease can be renewed or extended only by a written agreement signed by both Lessor and Lessee, but no renewal may extend the term to a date more than 1 year after the Lease begins. A new Lease is required for each year. SECTION TWENTY-ONE WAIVER One or more waivers of any covenant, condition, rule, or regulation by the Lessor shall not - be construed as a waiver of a future or further breach of the same or any other covenant, condition, rule or regulation. SECTION TWENTY-TWO WAIVER OF SUBROGATION Each party releases and discharges the other party, and any agent, employee, or representative of the other party, of and from any liability whatsoever subsequently arising from loss, damage, or injury caused by fire or other casualty for which insurance (permitting waiver of liability and containing waiver of subrogation) is carried by the injured party at the time of the loss, damage, or injury to the extent of any recovery of the insured party under the insurance-. SECTION TWENTY-THREE LIENS Lessee shall not have the right or authority to encumber the premises or to permit any person to claim or assert any lien for the improvement or repair of the premises made by Lessee. Lessee shall notify all parties performing work on the premises at Lessee's request that the Lease does not allow any liens to attach to Lessor's interest. SECTION TWENTY-FOUR FORCE MAJEURE Interruption or curtailment of any service maintained in the building in which the leased premises are- located, if caused by strikes, mechanical difficulties, or any other cause beyond the Lessor's control, whether similar or dissimilar to those enumerated, shall not entitle Lessee to any claim against the Lessor or to any reduction in rent, nor shall the same constitute constructive or partial eviction, unless the Lessor shall fail to take such measures as may be reasonable in the circumstances to restore the service without undue delay. SECTION TWENTY-FIVE MODIFICATIONS It is agreed, except as herein otherwise provided, that no amendment or change or addition - r to this Lease shall be binding upon the Lessor or Lessee unless reduced to writing and signed by the parties. It is further agreed that this is the entire agreement of the parties. SECTION TWENTY, SIX NOTICE Any notices to be given under this Lease shall be given in person or by overnight courier l service to Lessor at Lessor's address and to Lessee at the leased premises or any other address of Lessee listed herein, or at such other addresses- as may be given by -either party to the other in writing by certified mail. Notice, if made by certified mail, shall be deemed received by the other party on the fifth weekday after the day of postmark. SECTION TWENTY-SEVEN RULES AND REGULATIONS Lessee, Lessee's guests, invitees, and uninvited visitors shall comply with any rules and regulations of Lessor given to Lessee from time to time, which shall be incorporated into this Lease by this reference. Any violation of Lessor's rules and regulations shall constitute a default under this Lease. SECTION TWENTY-EIGHT SEVERABILITY AND INTERPRETATION CONSISTENT WITH LAW This Lease is intended to comply with all applicable Indiana statutes relative to rental agreements. If any provision of this Lease is deemed by a court of competent jurisdiction to violate an Indiana statute, the violation is inadvertent. ........ If a provision is found to be so violative, the provision shall be considered void and severed from the Lease and the balance of the Lease shall remain in full force and effect. Nothing contained in this Lease shall be construed as exculpating the Lessor from liability for the Lessor's failure to perform or Lessor's negligent performance of a duty imposed by law. Also, nothing contained in this Lease shall be construed as releasing either party from a duty to mitigate or minimize the damages to the other party. SECTION THIRT k-SEN 4JO1TtD SE In the event that this Lease is executed by more than one person as Lessee(s), then the liability of the persons so signing shall be joint and several and. a judgment against one shall be no bar to an action against the other(s). 1 SECTION THIRTY-EIGHT CAPTIONS The captions to the sections in this Lease are inserted only as a matter of convenience. SECTION THIRTY-NINE SUCCESSORS BOUND The covenants and agreements contained in the Lease shall bind the respective heirs, representatives, successors, and assigns of the parties. SECTION FORTY TIME IS OF THE ESSENCE It is specifically declared and agreed that time is of the essence of this Lease Agreement SECTION FORTY --ONE JURISDICTION AND VENUE All questions concerning the meaning, execution, construction, effect, validity, and enforcement of the Lease shall be determined pursuant to the lags of the State of Indiana. The place for filing any suits or other proceedings With respect to this Lease shall be in the county in which the premises, are located. ACKNOWLEDGMENT IN WITNESS WHEREOF, the parties execute this Agreement as of the date set forth above, although signatures may be affixed as a different time. ccCity» City of Richmond, Indiana through its Board of Parks and Recreation By: President s Mike Foley Date: APPROVED BY: ��,Mayoj M. Sno "Cardinal Greenway, Inc." Title: CuJ Date: