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HomeMy Public PortalAboutORD10770 BILL NO. 86-164 SPONSORED BY COUNCILMAN HALSEY ORDINANCE NO. AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI, AUTHORIZING THE EXTENSION OF THE TERMS OF THE LEASE BETWEEN THE CITY OF JEFFERSON, MISSOURI, AND CHESEBROUGH-POND'S, INC. , INCLUDING THE OPTION TO PURCHASE FACILITIES. WHEREAS, the City of Jefferson, Missouri, and Chesebrough- Pond' s, Inc. , entered into a certain lease agreement dated November. 1, 1965, as part of an industrial development package as evidenced by Ordinance NO. 7700 and 7701 which provided for the leasing of the facilities built through industrial revenue bonds and general obligation industrial bonds to Chesebrough-Pond's, Inc. ; and WHEREAS, the terms of said lease included options to extend the lease and extended the option to purchase the facility to Chesebrough-Pond's, Inc. , on certain terms and conditions; and WHEREAS , Chesebrough-Pond ' s , Inc . , is desirous of maintaining the options to extend and the options to purchase the facility as provided in the original lease; and WHEREAS, Chesebrough-Pond's, Inc. , is hereby referred to as "Tenant" and the City of Jefferson is hereby referred to as "Landlord"; therefore BE IT ENACTED BY THE COUNCIL OF THE CITY OF JEFFERSON, MISSOURI, AS FOLLOWS: Section 1. The term of the lease, dated November 1, 1965, a copy of which is attached marked Exhibit A, is hereby extended from and after the date of the original expiration until the 31st day of October, 1990. In consideration of the extension of this lease, Tenant agrees to pay forthwith the sum of Twenty-four Thousand Dollars ($24,000) and to make payments to Landlord on or before November 1, of each of the years 1987, 1988 and 1989, as rent in lieu of the basic rent provided for under Article II of the lease, the sum of Twelve Thousand Dollars ($12,000) per year less any amounts which the Tenant shall pay during the calendar year next preceding the year in which such Twelve Thousand Dollars ( $12, 000) rent payment is due to be made to either Landlord or any political subdivision or taxing authority as real property taxes or assessments with respect to the Facility, other than special assessments levied on account os special benefits. Section 2. Article XVI of the lease is hereby extended and re-enacted with the following changes: A Tenant shall have and is hereby given the right and option to extend the terms of the lease for three (3) consecutive periods of five (a) years each, provided that Tenant shall give Landlord written notice of its intention to exercise any of such options at least 90 days but not more than 120 days prior to the expiration of the then current term of this lease, and (b) Tenant is not in default hereunder in the payment of basic rent at the time it gives Landlord such notice. In the event Tenant exercises any of said options, the terms, covenants, conditions and provisions set forth in this lease shall be in full force and effect and binding upon the Landlord and Tenant during said extended terms except that Tenant covenants and agrees to pay to Landlord on or before November 1 of each of the years, 1987, 1988 and 1989, as rent in lieu of the basic rent provided for under Article II of this lease, the sum of $12,000 per year less any amounts which the Tenant shall pay during the calendar year next preceding the year in which such $12,000 rent payment is to be made to either Landlord or any political subdivision or taxing authority as real property taxes or assessments with respect to the Facility, other than special assessments levied on account of special benefits. Section 3. All of the terms and conditions contained in Exhibit A, including Article XVII of the lease relating to the Tenants option to purchase the facility are hereby extended and re--enacted with all terms, covenants, conditions and provisions set forth in the original lease incorporated by reference as if more fully set out herein, except as amended by this ordinance. Section 4. This ordinance shall be in full force and effect from and after its passage and approval. Passed �� .. 15'i /9�� Approved Pr siding Officbr May r ATTEST: �` City Clerk