HomeMy Public PortalAbout012-2023 - Lease renewal for Federal Credit Union LEASE AGREEMENT
This commercial lease agreement is made and entered into on the .04 day of
lefr1ary' , 2023 between the City of Richmond,Indiana, a political
subdivision, referred to in this instrument as"Lessor," and the Richmond City Employees
Federal Credit Union, acting by and through its Board of Directors,referred to as "Lessee."
SECTION ONE TERM AND PREMISES
Lessor leases to Lessee a portion of Lessors premises located at 50 N. 5th Street,Richmond,
Indiana 47374, commonly consisting of four(4)rooms located on the east side, south corridor,
second floor, in the Richmond Municipal Building,the boundaries of which are marked on the
attached Exhibit"A", which is incorporated herein by reference, and more particularly identified
as (the "premises"), for a one month term beginning on the 1st day of February, 2023.
Beginning the 1st day of March, 2023, this Lease will automatically renew for successive one
month terms beginning the 1st day of March 2023 and the first calendar day of each month
thereafter,unless one party has provided the other with 30 days' advance notice that it wishes the
Lease to not renew automatically on the first calendar day of that month.
SECTION TWO RENT
Lessee shall pay to Lessor as rent for each month during the term of this Lease the sum of
$200.00,payable in advance, beginning on the first day of February, 2013. The same amount is
due on the same day of each month thereafter until the expiration of this agreement.
SECTION THREE SECURITY DEPOSIT
Lessee, on execution of this Lease or prior to occupancy, shall pay to the Lessor the sum of Zero
Dollars and 00/100 ($0.00), and at the Lessor's option, with or without the accumulation of
interest, and disposed of in the manner provided for in this Lease and as prescribed in A.I.C. 32-
31-3-12 to 32-31-3-19.
SECTION FOUR PAYMENTS
Rent checks shall be payable and delivered to Lessor at 50 N. 5th Street, Richmond, IN 47374, or
such other place as the Lessor may designate in writing.
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SECTION FIVE LATE RENTS
All sums hereunder shall be due without relief from valuation or appraisement laws and together
with reasonable attorney fees to Lessor's attorney to enforce this Lease. Rents are delinquent
commencing on the day following the Due Date, and if rents are not received by Lessor within
five (5) days after the due date, a late fee of Fifty Dollars and 00/100 ($50.00)will be charged to
offset expenses of collection(excluding attorney fees). When a check is returned "unpaid"by
Lessee's bank for any reason, it will constitute a late payment of rent in which event Lessee shall
be responsible for the late fee of Fifty Dollars and 00/100 ($50.00)per day hereunder until paid.
When sharing the premises, the total rents for such premises must be paid in full by the due date.
No partial payments. No exceptions. The Lessor may refuse to re-submit a"non-sufficient
funds" check for payment or any replacement or subsequent check on the same account, and the
Lessee must thereafter pay by cash or money order. Lessor reserves the option to require the
Lessee to pay rents by cash or money order. Where two or more lessees share a residence, Lessor
also reserves the option to require the Lessees to pay the rent with a single check, money order or
cash payment.
SECTION SIX USE OF PREMISES
The premises shall be used for the purpose of operating a credit union.. Lessee and 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 agrees to pay for all damages caused to the premises 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 consistent with Section Seven
herein, 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
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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 SEVEN THIRD PERSONS
No person, not otherwise named as Lessee on this Lease or related to Lessee, shall be permitted
to reside 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. Such persons shall be deemed to be residing on the premises if they
occupy the premises during all or part of seven(7) days during the term of this Lease, either
personally or by having personal clothing and effects in or stored about the premises. Where a
non-tenant is found to be occupying the premises in violation of this Lease, Lessee agrees to pay
Lessor Ten Dollars and 00/100 ($10.00)per day, or part thereof,that such non-Lessee occupies
the premises,together with costs (including Lessor's attorney fees) of eviction of any non-
Lessee.
SECTION EIGHT CARE AND CONDITION OF PREMISES
Lessee shall maintain and keep the premises in good repair and clean condition(making no
alterations or additions, except as allowed in accordance with Section Fourteen). 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.
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SECTION NINE FURNISHINGS
Appliances, furniture and furnishings ("furnishings"herein) supplied with the premises shall be
used for the purpose for which they were provided and shall at all times remain in the premises
or the premises.None of such items shall be removed from the premises (even temporarily) or at
any time put out-of-doors or in halls,basements or loaned to others. Furnishings of Lessor which
become broken or damaged during this Lease shall not be repaired or discarded by Lessee
without prior consent of the Lessor, and Lessor shall be promptly notified of the same. Lost
items shall be replaced by Lessor at Lessee's expense.
SECTION TEN 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 ELEVEN 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 TWELVE WAIVER OF WARRANTY OF HABITABILITY/PROPERTY
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 use for a particular purpose 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 accepts, occupies and assumes 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.
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SECTION THIRTEEN 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 FOURTEEN SUB-LEASING/ASSIGNMENT
Lessee shall not assign this Lease or sublet any part of the premises without the prior written
consent of Lessor, and any such attempted assignment without such prior written consent shall
be void and shall constitute a breach of this Lease. Sub-Lessees shall pay an additional deposit
equal to one month's rent to Lessor; moreover,the original deposit of all Lessees in this Lease
will be held by Lessor until the Lease has been in all things complied with and expires.
SECTION FIFTEEN 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 SIXTEEN UTILITIES
The Lessee shall pay Lessor$140 per month for all of the utilities associated with the leased
premises. Such payment shall be due and payable on the same date and in the same manner as
the payment of rent as described in Section Two above.
SECTION SEVENTEEN 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
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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
remiums paid for liability, fire, or worker's compensation insurance.
SECTION EIGHTEEN INSURANCE
The Lessee is advised and understands and agrees 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 NINETEEN 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, a proportional reduction of rent shall be allowed Lessee for the
time required for the repairs, except that: (i) if Lessee can use and occupy the premises without
substantial inconvenience,there shall be no reduction of rent; and(ii) if the repairs are delayed
because of the failure of the Lessee to adjust his or own insurance (if any), no reduction shall be
made beyond a reasonable time allowed for the adjustment. 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 facilities
following damage to the premises, Lessee shall be responsible for the cost of the alternate
facilities.
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SECTION TWENTY TERMINATION, DEFAULT AND REMEDIES OF LESSOR
If Lessee shall default in fulfilling any covenant or condition of this lease, including any of
Lessor's Rules and Regulations, 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. Either party may terminate this agreement upon tendering thirty (30) days' written notice
to the other party.
SECTION TWENTY-ONE CONTINUED LIABILITY AFTER PREMATURE
TERMINATION
No termination of this Lease and/or the tenancy created b it, and re ossession of the premises
because of Lessee's default, shall relieve the Lessee of its liability and obligation
under this Lease, including but not limited to the obligation to pay rent until termination of this
Lease as described in Sections One and Two above, 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 abandons or vacates 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 agrees 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-TWO HOLDOVER
If the Lessee remains in possession without the written consent of the Lessor at the expiration of
the term of this Lease or its termination,then Lessor may recover, in addition to possession,the
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monthly rent stipulated above for each month, or portion thereof, during the Lessee's holdover
plus either one and one-half(1 1/2)times the monthly rent or the actual damages sustained by the
Lessor, whichever is greater,plus the Lessor's costs of recovering said amounts and possession,
including reasonable attorney fees.
SECTION TWENTY-THREE 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-FOUR 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-FIVE TAXES
Lessor will pay all real estate taxes assessed against the premises and personal property taxes on
furnishings owned by Lessor.
SECTION TWENTY-SIX MORTGAGES
The Lessor shall have the right to mortgage the premises and the Lessee's rights hereunder shall
be subordinate to all mortgages now or hereafter of record affecting the real estate of which the
premises form a part.
SECTION TWENTY-SEVEN 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.
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SECTION TWENTY-EIGHT 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-NINE MODIFICATIONS
It is agreed, except as herein otherwise provided,that no amendment or change or addition 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 THIRTY NOTICE
Any notices to be given under this Lease shall be given in person or by certified mail (with return
receipt requested) to Lessor at Lessor's address shown herein 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 second weekday after the day of postmark.
SECTION THIRTY-ONE 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 THIRTY-TWO 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
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violate an Indiana statute,the violation is inadvertent. I 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 THIRTY-THREE LESSOR TRANSFERS
If the premises are sold, Lessor will be released from any liability subsequently accruing under
this Lease if Lessor's successor has assumed in writing Lessor's obligations under this Lease. If
any security deposit or prepaid rent has been paid by Lessee, Lessor may transfer the security
deposit or prepaid rent to Lessor's successor, and on the transfer, Lessor will be discharged from
any further liability for the security deposit or prepaid rent on written notification to the Lessee
of the transfer and of the successor's name and address, which shall be sent to the Lessee by
certified mail return receipt requested.
SECTION THIRTY-FOUR JOINT AND SEVERAL
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).
SECTION THIRTY-FIVE CAPTIONS
The captions to the sections in this Lease are inserted only as a matter of convenience.
SECTION THIRTY-SIX SUCCESSORS BOUND
The covenants and agreements contained in the Lease shall bind the respective heirs,
representatives, successors, and assigns of the parties.
SECTION THIRTY-SEVEN JURISDICTION AND VENUE
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All questions concerning the meaning, execution, construction, effect, validity, and enforcement
of the Lease shall be determined pursuant to the laws 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 hereto have signed this Lease as of the date first written above.
"LESSOR" "LESSEE"
City of Richmond, Indiana Richmond City Employees
By and through its Board of Public Works Federal Credit Union
and Safety
vik Ai&Robinson, President
YIck; Printed: v1 nni-t
Title:�y�--}2r;m (..CD
Emily Palmer,Member
Matt Evans,Member
Approved:
avid M. ayor
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