HomeMy Public PortalAbout16) 7M Temple City Chamber Lease AgreementDATE :
TO:
FROM:
MANAGEMENT SERVICES DEPARTMENT
MEMORANDUM
Novem ber 17 , 2015
The Honora ble City Counci l
Bryan Co ok , City Manager
By: Giselle Corella , Exec ut ive Assistant to th e City Manager
AGENDA
ITEM 7.M.
SUBJEC T : TEMPLE CITY CHAMBER OF COMMERCE LEASE AGREEMENT
RECOMMENDATION:
It is recommended that the City Council:
a) Appro ve a three -ye ar lease agreement between the City of Temple City and Temp le
City Chambe r of Comm erce for the property at 9050 Las Tunas Drive; and
b) Author ize the City Man ager to e xec ute said agreeme nt with the T emp le City Chamber
of Commerce .
BACKGROUND:
1. O n May 22 , 2002 , as part of t he annual budget process , the City Council approved
renewal of the Chamber lease agreement at $1 per month .
2. In Septe mber 2012, it was discovered th ere is no forma l record of such an amended
or re newe d lease ag reement. The City Attorney's office was subsequ e ntly asked to
draft a new lease .
3. On December 4, 2012 , the City Council approved a new three-year lease agreement
betwe en the City of Temple City and Temple City Chamber of Commerce for the
property at 9050 La s Tunas Drive (Attachment "A ").
4 . On August 4 , 20 15, the City Counci l approv ed an Annual Services Agreement with the
Chambe r of Commerce to continu e promoting a nd informi ng the loca l bus in ess
commun ity.
City Cou ncil
November 17 , 2015
Page 2 of 3
5 . On O ctobe r 27, 2015 , the Chamber Pr es id ent/CEO requested via email , to renew
another three-year lease agreement effecti ve December 4 , 2015 t o December 3,
2018 .
ANALYSIS:
The Chamber's 2012 lease agree me nt at $1 per month with the City will expire on
De cember 3, 20 15 . In order for the Chamb er to co ntinu e providing services to its
membersh ip and continue promoting the business community in Temple C it y , it is
necessa ry to execute a new lease agreement before the lease agree ment expi res late r
this year. Und e r th e Chamb er's cu rrent lease agreement there is a provision al lowing
the Chamber to request a two-year exte ns ion to their lease . Although the Chamber did
not reque st a lease extension , the Chamber wishes to continue using the 9050 Las
Tunas Drive property for its headquarters and has requested a three-year lease
agreement re newal.
Generally , th e 2012 lease agreement provisions remain t he same with the exception of
t he follow ing changes:
• The tenant's normal business hours are now 10:00 a .m. to 5 :00 p .m. Monday
thro ugh Friday . In the 2012 lease agreement the norm a l business hours were 9 :00
a.m . to 6 :00 p .m. Monday through Thursday ;
• The City w i l l now p rovide landscaping and gardening services to the property . The
2012 lease ag reement indicated that the Landlord will not provide norma l
landscap i ng or gardening services; and
• When possible , the Chamber wil l support com munity groups and res idential
associations based in the City by making t he conference room availab le to them for
th e purpose of a ll owing those e ntities to ho ld meetings and simi l ar events.
Key provisions of the proposed lease are as follows (i.e ., these provisions remain
un chang ed from t he original 2012 agreement):
• A term of three years with a tw o-year option . This arrangement provides long-term
stabi lity and branding for Chambe r operations , while al lowing th e City to re ne gotiate
terms (afte r the lease expires) to refl ect changes in th e law;
• Rent in the amount of $1 a mo nth. This provisio n a llo ws the Chamber to focus its
financial resources on business promotion. The C hamber wou ld st i l l pay all taxes
and utility cha rges associated wit h th e building 's use ;
City Council
November 17 , 2015
Page 3 of 3
• Terms that hold the Chamber respo ns ible for day-to-day maintenance but like most
commercia l leases , require the City to take on s ubstantial maintenance
responsibi lities (e .g ., the replacement of walls and w indows , heating and a ir
cond itioning system upg rades , etc.). This allows t he City to monitor the property's
structura l and systematic soundness, while requiring that all cap ital improvements to
the bu ilding (over $5 ,000 ) be identified and p lanned as part of the annual and mid -
term C ity Budget processes ; and
• Public liability and property damage insurance po li cies are to be maintained by the
Chamber, naming the City as an add itiona l insured, in form and in an amount of at
least $1 m il lio n per occurrence . T hi s requirement ensures that all indemnities are up-
to-date pursuant to industry sta ndard.
Continuing the lease with the Chamber will allow the Chamber to continue providing its
services to the loca l bu s i ness comm unity .
CITY STRATEGIC GOALS:
Approva l of the lease agreement (Attachment "B") wil l promote the City's Strateg ic Goa l
of Good Governance. By continui ng to provide an affordable long-term lease to the
Chamber, the Chamber will be ab le to continue to focus its resources on business
promotion .
FISCAL IMPACT:
Th ere is no fiscal imp act to the Fiscal Year (FY) 2015-16 Ci ty Budget as rent reven ues
will remain unchanged .
ATTACHMENTS:
A. 2012 Lease
B . Draft Lease
ATTACHMENT A
LEASE AGREEMENT
by and between
THE CITY OF TEMPLE CITY
and
TEMPLE CITY CHAMBER OF COMMERCE
Dated D-e 4:::... l-\ 1 '24>\ '2._ ,
LA 1148 13-7924-4817 v I
LEASE AGREEMENT
Th is LEASE AGREEMENT ("Lease"}, dated as of D.e~, 4 , 2012, is entered
into by and be tw een the CITY OF TEMPLE CITY, a charter law city and municipal
corpora tio n (the "Landlord"), and the TEMPLE CITY CHAMBER OF COMMERCE, a
California 501 (c)(6) nonprof it corporat ion (the ''Tenant"), who agree as follows:
REC ITALS
This Lea se is made with reference to the following facts and circumstances, which
are a part of this Lease and are agreed to be correct:
A. Landlord is the owner of certain real property (the "Property") located in the
City of Temple City, County of Los Angeles, State of Californ ia commonly known as 9050
Las Tunas Drive. A lega l description of the Property is set forth in attached Exhib it "A",
an d dep icte d in the diagram attached as Exh ib it "B".
B. The Prop erty is improved w ith a one story bu il ding (the "B uilding") consisting
of app rox imately one thousand fifty-six (1 ,056) square feet of fl oo r area .
C. Tenant wishes to Lease th e Building (the "Premises") and Landlord is will ing
to leas e the Pre mises to Tenant, all subject to the terms an d provi sion s of this Le ase. The
partie s acknowle dge and agree that the Build ing is located adjacent to a pub lic parkin g lot
owned by Landlord and occup ying the Property, and that the parking lo t does not
constitute any portion of th e Premises leased by Tenant.
D . T ena nt wishes to secu re parkin g for its operations in the Building from
parking available in Landlord 's parking lot locat ed on and adjacent to the Property, an d
Landlord is willing to dedicate a number of parking spaces to T enant during Tenant's
normal business ho urs.
1 . Demise.
(a) On and subject to the te rms and provisions of th is Lease, Landlord leases to
Te nant and Tena nt leases from Landlord the Premis es.
(b) In connection with Tenant's lease of the Premises, Landlord agrees to
reserve for Tenant's exclus ive use, and post notices to that effect , four (4) parking spaces
in the public parking lot owned by Landlord and located on and adjacent to the Property.
During Tenant's normal bus iness hours of 9:00 a.m. to 6:00 p.m., Monday through
Thursday, these four (4) pa rki ng spaces shall be reserved for t he use of Tenant and
T ena nt's guests, agents, emp loyees, a nd invitees . Te nant agrees that Tenant has no
other right under t hi s Lease to the publ ic parking lot an d that if T enant des ires to use
said parking lo t for a ny purpose oth er than utilization of the four (4 ) parking spaces as
p rovided in this section , Tenant sha ll request a permit to use the parking lot and
L andlord shall re view such request and may approve or deny such request in its sole
and absolute discretion .
LA 114 8 13-1924-18 11 "I
'-------------------------------
2 . Term. The term of t his Lease com mences on the date hereof and continues
thereafter for a period of three (3) years and, unless earlier terminated, automatically
expires on 't:>e"-?::> • , 2015, without the necessity of any notice or other action on
Landlord's part . Not~it h st and i ng the foregoing, Tenant may at its sole discretion and
with sixty (60) days notice to Landlord , request and upon su ch request shall be granted
a two (2) year extens ion of the Term . Su ch extension shall be immediately effectiv e but
t he parties shall thereafter execute an amendment to this Lease memor ializing such
extension. No further extension beyond the three (3) year base term and two (2 ) year
extension may be requested or granted under this Lease, and a new agreement
between the parties shall be requ ired to effe ctuate any such further extens ion .
3. Use ; Compliance with Laws .
(a) The Premises must be used by Tenant as a Chamber of Commerce
Building and Visitors' Center. This includes receiving visitors to the city of Temple City,
holding meetings related to the purposes for wh ich Ten ant is incorp orated , serving as a
site for the dissemination of information about the City and its businesses, allowi ng
business owners and employees in Temple City to interact on the Premises, and
serving as an office for the planning and implementation of these and similar activities.
(b) Tenant and Land lord currently have a service agreement under which
Tenant performs services related to public information , business promotion and
assistance with City economic development projects . Should that service agreement be
terminated by either party, Landlord may, at its sole option and in the exercise of its sole
discretion , terminate this Lease prior to the end of the Term.
(c) Tenant agrees that the Prem ises and its us e of the Premises will at all
times be in strict compliance with all applicable laws, rules and regulations of all
governmental authorities having jurisdiction, and Tenant, at its sole cost and expense,
agrees to comply with all such laws, rules and regulations , i ncluding, without li mitation ,
all laws, rules and regulat ions requiring the making of structural or extraord inary repairs
or replacements to the Premises .
4 . Rent. As rent for the Premises , Tenant agrees to pay to Landlord the sum of
$1 .00 per month . Rent is to be paid in advance by check or wire transf er. The first
installment of monthly rent is due on the date hereof and subsequent installments are
due and payab le on the same day of each succeeding monthly during the term of this
Lease.
5. "AS-IS" Lease. Tenant acknowledges that it has i nspected the Premises and
Tenant warrants and agrees that it is thoroughly familiar with the Premises and all
aspects thereof, including, w ithout limitation, the physical condition of the Premises , the
zoning of the Premises and all other rest rict ions and lim itations applicable to the
Prem ises (whether or not of public record). Tenant acknowledges and agrees that th e
Premi ses are satisfactory to Tenant in all resp ects. Tenant agrees that neither
Landlord nor anyone acting on Landlord's behalf has made any representation or
LA 114813· 7924-4817 vl
warranty of any kind or nature whatsoever respecting the condition of the
Premises, their suitability for Tenant's use, or any other matter relating to the
Premises (including, but not limited to, the environmental condition of the
Premises) or this Lease, and Tenant agrees that it is leasing the Premises in their
"AS-IS CONDITION AND WITH ALL FAULTS".
6. Maintenance.
(a) Tenant agrees that it will , at its sole cost and expense, maintain the
Premise s and all portions thereof, in a good, clean and safe condition and state of
repair , including the making of all necessary repairs or replacements due to normal
wear and tear and use of external and internal port ions of the Premises. The foregoing
includes, without limitation, Tenant's duty to provide for normal janitorial servicing of the
Premises. Landlord will not provide normal la ndscaping or gardening services on the
Property , as no portion of the Property that is landscaped is included in the leased
Premises. Tenant agrees that Tenant is solely responsible for the security, protection
and insuring of its equipment, materials and other property, and that of its employees,
servants and contractors, located on or about the Premises . Tenant agrees that
Landlord will have no liability of any kind or nature respect ing any loss or theft of, or
damage to, any such equipment, materials or other property.
(b) Landlord agrees that it will, at its sole cost and expense, provide for
maintenance of a substantial nature required for the upkeep of all plumbing , heating, air
conditioning, ventilating, electrical and other facilities and utilities serving the Premises,
and the structure of all walls, floors, ceilings, roofs, windows, doors, driveways,
sidewalks, and parking Jots on the Property and Property. For purposes of this
Subsection 6(b), "mainten ance of a substantial nature" shall be defined as maintenance
estimated to cost more than $5,000. Tenant shall provide Landlord with notice of the
required main tenance and with no fewer than two (2) estimates showing costs
anticipated to exceed $5,000. Such notice shall be provided to Landlord prior to
Landlord's annual or mid-year budget approval so that the cos t of the maintenance can
be included in the budget or budget revision. Should unanticipated emergency
maintenance of plumbing, heating, air conditioning, ventilating, electrical or other
facilities or utilities arise, Tenant may either perform the maintenance itself and seek
reimbursement from Landlord or may immediately request that Landlord undertake the
maintenance work to ensure continued habitability of the Premises.
7. Insurance. Tenant agrees to keep and maintain public liability and property
damage insurance respect in g the Premises, naming Landlord as an additional ins ured,
in form and amounts (not less than $1,000,000 per occurrence) and with insurers
reasonably satisfactory to Landlord. Tenant also agrees to keep and maintain a policy
or poli cie s of fire and extended coverage insurance, with vandalism and malicious
mischief endorsements, in the name of Landlord and with loss payable to Landlord, to
the extent of the full replacement cost of the imp rovements located on the Premises and
otherwise in form and with insurers reasonably satisfactory to Landlord. Tenant also
agrees to keep and maintain worker's compensation insurance coverages for its
LA 11~1113-7924-48 I 7 "I
employees in the minimum amounts requi red by California law. All such insurance will
be primary and no t contributing with any insurance which Landlord may maintain, and
the insurer providing such insurance must agree that such insurance will not be
changed or cancelled except upon at least thirty (30) days prior written notice to
Landlord. Tenant waives any and all rights of recovery against Landlord and its
officials, officers, agents and emp loyees on account of loss or damage occasioned to
Tenant or its property or the prope rty of others under its control, to the extent that such
loss or damage is in sured agains t under the fire and extended coverage policy required
to be kept and maintained by Tenant und er this Lease; and Tenant s hall cause each
policy required to be kept and maintained by it under this Lease to provide that the
insurer waives all right of recovery by way of subrogatio n against Landlord in connection
with any damage covere d by such policy. Tenant w ill provide Landlord with copies of
the policies of such insurance or cert ifi ca te s evidencing such insurance upon execution
of this Lease and from time to time thereafter as reaso nably requested by Landlord.
8. Indemnification . In addition to, and without lim iting , Tenant's other obligations of
indemnity under thi s Lease, Tenant agrees to indemnify, protect, defend (by counsel
reasonably satisfactory to Landlord) and hold Landlord and its officials, officers, agents
and employees, and each of them, harmless from and against all claims, losses,
li abilities, actions, judgments, costs and expenses (including reasonable attorneys' fees
and costs) wh ich they, or any of them, may s uffer or incur arising from or relating to (a)
Tenant's use of the Premises, (b) any negligence, act or omission of Tenant, its agen ts,
employees, contractors, guests or invitees in or abo ut the Premises or (c) any default by
Tenant under this Lease.
9. Utilities. Tenant agrees to pay, as additional rent, before delinquency, for all
water, sewer, gas, heat, light, power, telephone service, refuse removal and all other
utilities or services of any kind sup plied to the Premises. It is agreed that Landlord is
not liable for any failure or interruption of any utility or service, and the failure or
interruption of any utility or service will not entitle Tenant to terminate this Lease or stop
making any rental or other payments due under this Lease.
10. Taxes . Tenant shall pay, as additional rent, before delinquency all real property
taxes and assessments (both general and specia l) levied or assessed against the
Premises during the term of this Lease. Tenant shall promptly furnish Landlord with
satisfactory evide nce that such taxes and assessme nts have been paid. If any such
taxes and assessments cover any period of time after the expiration of the term of this
Lease, Tenant's share of such taxes and assessments will be equitably prorated to
cover only the period of t im e within the tax fiscal year this Lease is in effect. Tenant
shall also pay before delinquency all taxes levied or assessed against Tenant's trade
fixtures, equipment and personal property located at the Premises or elsewhere. If
Tenant fails to pay any taxes or assessments required to be paid by it under this Lease,
Landlord, at its option, may pay the same and Tenant agrees to reimburse Landlord
therefore immediately upon demand. Tenant acknowledges that this Lease may create
a possessory interest subject to taxation and that Ten ant may be subject to payment of
any and all taxes levied on that possessory interest.
LA 114R 13· 7924-48 17 ,.,
11. Alterations. Tenant agrees that it will not make any alterations or imp rovements
to the Bui ldin g or Premise s, or any portion of the Building or Premises , without
Landlord 's prior wri tten consent , which will not be unreasonab ly withheld; provided , that
if th e alterations or additions would affe ct the structural portions of the Premises,
including , without limi tati on, t he exterior or in terior load-bearing walls, the foundation or
the roof of the Premises, Landlord shall be under no obl iga ti on to give its consent. If
Landlord consen ts to th e making of any alterations or improvements, Tenant agrees
that s uch alterations or improvements will be made in strict co mpliance w ith all
applicable laws, ru le s and regulations of all governmental authorit ies having jurisdiction,
will be performed i n a good and wo rkm anlik e manner, and will be made in comp l iance
with such other conditions , including, witho ut limitation , the obtain i ng of performance
and complet ion bonds, as Landlord may require in connection with the granting of its
consent. Tenant ag rees that it wi ll pay, when due, all claims for labor or materials
furnished or alleged to have been furnished to or for Tenant at or fo r use on t he
Premises, whic h claims are or may be sec ured by any mechanics' or materialmen's lien
against the Premises or any interest th ere in. All alterations and improve ments made by
Tenant shall , at Landlo rd 's option and at Tenant's so le cost and expense, be removed
from the Premises at the end of the term of t his Lease and the Premises restore d to
th eir condition prior to the making of such al terations or imp ro vements.
12. Ten ant's Property . Al l trade fi xtu res , equipment and pe rsonal property of Tenant
located at the Premises will remain the property of T enant during the te rm of this Lease
and may be removed by Tenant at any time and shall be removed by T enant p ri or to the
expiration or othe r termination of the term of this Lease. Tenant, at Tenant's cost and
expense , must promptly repair all damage to the Premises occasioned by the removal
of its trade fixtures, equ ipm ent and personal property.
13. Damage and Destruction. If the Premises or any portion thereof are damaged or
destroyed by any casualty (wheth er or not i nsu red), and the cost of repairing or
resto ri ng the Premis es exceeds one month's rent or if the repa i rs and restorations
wo uld require more than one month to comp le te once commenced, then either Landlord
or Tenant may ca ncel th is Lease upon the giving of written notice to the other. Upo n
any ca ncell atio n of th is Le ase pursuant to the provisions of this Section, all proceeds of
in surance shall be th e so le property of Landlord, and Tenant shall have no right or
interest therein.
15. Sub lease or Assignment. Ten ant ma y no t su blease or assign this Lease or
sublet or assign the right s to all or any part of the Premises nor perm it the occupancy
th ereof by any other person or en tity without the express written consent of Landlord,
whic h consent may b e withheld in Landl o rd 's sole discretion .
16. Default. The occurrence of any one or more of the following shall consti tute a
default by T enant:
(a) Vacatio n or ab andonme nt of t he Premis es by T ena nt.
LA #48 13-7924-4RI7 vi
(b) Default of the services agreement between Landlord and Tenant referenced
in section 3(b), when such default is not cured as required by that agreement.
(c) Failure by Tenant to make payment of rent or any other payments required
to be made by Tenant hereunder as a nd when due.
(d) Failure by Tenant to keep and maintain any of the insurance required to be
kept and maintained by Tenant under this Lease.
(e) Suspension of Tenant's active corporate status due to failure to file required
paperwork with the State of California or for any other reason, or loss of Tenant's tax
exempt status due to failure to file required paperwork with the State of California or United
States government or for any other reason.
(f) Failure by Tenant to observe or perform any of the covena nts or provisions
of this Lease, other than as provided in subsections (b) and (c) above, when such failure
continues for a period of 30 days after written notice of such failure is given by Landlord to
Tenant; provided, that if the nature of Tenant's failure is such that more than 30 days are
reasonably required for its cure, then Tenant will not be deemed to be in default if Tenant
commences such cure within said 30 day period and thereafter diligently prosecutes such
cure to completio n.
17. Remedies. If Tenant is in default, then, in addition to all other rights and remedies
which Landlord may have at law or in equity, Landlord has the following rights and
remedies which are not exclusive but are cumulative:
(a) To the extent permitted by law, Landlord can, with or without terminating this
Leas e, reenter the Premises and remove all property and persons therefrom, and any
such property may be removed and stored in a public warehouse or e lsewhere at the cost
and for the account of Tenant. If Landlord elects to reenter or shall take possession of the
Premises pursuant to legal proceedings or pursuant to any notice provided by law, and if
Land lord has not elected to terminate this Lease, Landlord may either recover all rent as it
becomes due under this Lease or relet the Premises or any part or parts thereof for such
term or terms and upon such provisions as Land lord may deem advisable and will have
the right to make repairs to and alterations of the Prem ises. No ree ntry or taking
possession of the Premises by Landlord is to be construed as an election to terminate this
Lease unless a written notice of such intention is given to Tenant by Landlord .
Notwithstanding any reletting without termination by Landlord because of Tenant's default,
Landlord may at any time after such reletting elect to terminate this Lease because of such
default. If Landlord elects to relet the Premises without terminating this Lease, then rent
received by Landlord therefrom will be applied as follows:
(i) First, to any indebtedness from Tenant to Landlord other than rent
due f rom Tenant;
LA #48 1 ~-7924-4RI7 v I
(ii) Second, to all costs and expenses, including, without limitation, for
maintenance, repairs or alterat ions, incurred by Landlord in connection with reletting the
Premises; and
(iii) Third, to the payment of rent due and unpaid under this Lease and
the residue , if any, will be held by Land lord and applied in payment of future rent as the
same may become due and payable under th is Lease and to any damages and other
amounts which Landlord is otheiWise entitled to under this Lease. Should that portion of
such rent received from such reletting during any month, which is applied to the payment
of rent hereunder, be less than the rent payable hereunder during that month by Tenant,
then Tenant agrees to pay such deficiency to Landlord immed iately upon demand. In no
event will Tenant be entitled to any excess rent received by Landlord from such reletting.
(b) Landlord can terminate Tenant's right to possession of the Premises at any
time. No ac t by Landlo rd other than giving written notice to Tenant will terminate this
Lease. Acts of maintenance, efforts to relet the Premises, or the appointment of a receiver
on Landlord's initiative to protect Landlord's interest under this Lease shall not constitute a
termination of Tenant's right to possession. On termination, Landlord has the right to
recover from Tenant:
(i) The worth, at the time of the award, of the unpaid rent that had been
earned at the time of termination of this Lease;
(ii) The worth, at the time ot the award, of the amount by which the
unpaid rent that would have been earned after the date of termination of this Lease until
the time of award exceeds the amount of the loss of rent that Tenant proves could have
been reasonably avoided;
(iii) The worth, at the time of the award, of the amount by which the
unpaid rent fo r the balance of the term after the time of award exceeds the amount of the
lo ss of rent that Tenant proves could have been reasonably avoided; and
(iv) Any other amount, and court costs, necessary to compensate
Landlord for all detriment proximately caused by Tenant's default.
"T he worth, at the time of the award," as used in (i) and (ii) of this
subsection (b), is to be computed by allowing interest at the maximum rate an individual is
permitted by law to charge. MThe worth, at the time of the award," as referred to in (iii) of
this subsection (b), is to be computed by discounting the amount at the discount rate of the
Federal Reserve Bank of San Francisco at the time of the award, plus 1%.
(c) Landlord can have a receiver appointed to collect rent and conduct Tenant's
business . Neither the filing of a petition for the appointment of a receiver nor the
appointment itself shall constitute an election by Landlord to terminate this Lease.
LA 848 1:\·7924-48 17 vi
(d) Without waiving the default, Land lord can, at its sole option, pay such sums
and/or take such actions as are necessary in Landlord's reasonable judgment in order to
cure the default , and all sums expended or incurred by Land lord in connection therewith,
together with interest thereon at the max imum rate permitted by law, shall be paid by
Tenant to Landlord immediately on demand.
18 . Landlord Entry . Landlord and its au thorized representatives shall have t he right
up on two (2) business days' written notice to T enant to enter all portions of the Premise s
for any of the following purposes: (a) to determine whether the Premises are in good
condition and whether Tenant is co mply ing with its ob ligati ons under this Lease ; (b) to
inspect the Premises; (c) in connection with Landlord's design and construction planning
respecting Landlord's future use of the Premises; and (d) to post not ices of
nonresponsibil ity. Notwithstanding the foregoing to the contrary, Landlord an d its
authorized representatives shall have the right to enter the Premises at any time, and
without notice to Tenant , where an emergency situatio n necessitates such entry. No
exercise by Landlord of its rights under this Sect ion shall entitle Tenant to any damages for
any injury or inconvenience occasioned thereby or to any abatement of rent or othe r
amounts payable und er th is Lease.
19. Surrender of Premises. Upon t he exp iration or other termination of the term of
this Lease, Tenant agrees to surrender possession of the Premises, and every party
thereof, to Landlord in good order, condition and repair, ordinary wear and tear alone
excepted . "Ordinary wear and tear'' does not include any damage or deterioration that
would have been prevented by good maintenance practice or by Tenant performing all
of its obligations under this Lease.
20 . Notices . Except as otherwise provided, all notice s required or permitted to be
given under this Lease must be in writing and addressed to the parties at their
respective notice addresses set forth below; provided, that notices to Tenant may also
be effectively given in writing and addressed to Tenant at the Premises address .
Notices must be given by persona l delivery (including by commercia l delivery service) or
by first-class mail, postage prepaid. Notices will be deemed effectively given, in the
case of personal delivery, upon receipt (or if recei pt is refused, upon attempted
delivery), and in the case of mailing, three (3) days following deposit into the custody of
the United States Pos tal Service . The notice addresses of the parties are as follows :
If to Landlord :
LA ~4RI3-7924-41\17 '1
City of Temple Cit y
9701 Las Tunas Drive
Temple Cit y, California 91780
Attention: City Manager
With a copy to:
Eric S . Vail, Assistant City Attorney
Burke, Williams & Sorensen, LLP
228 0 Market Street, Suite 300
Riverside, Cal ifornia 9250'1-2121
If to Tena nt: Temple City Cham be r of Commerce
9050 Las Tunas Drive
Temple City, California 91780
21. Waiver a nd Re lease of Be nefits. L essee ack no wledges th at upon expiration of
th e T e rm, including any extensio n thereof, or upon termination of any holdover tenancy
(collectively "Exp irat io n of Tenancy"), Le ssee migh t be or become eligible to receive
compensation, re imburs eme nt, assistance, i ncluding, but no t limited to , th e fair market
value of rea l and personal property, loss of goodwill, loss of p rof its, actual and
reasonable expenses for moving a bu siness , loss of tangible personal property as a
result of moving the business , expenses incu rr ed in searching for a replacement site for
the business, expenses to rees tablish the busine ss at t he new site, "in-lieu payments,"
and other such ben efits (co llectively "Benefi t s") un der the California Relocation
Ass is tance Act (Govern ment Code §7260 , et seq.), T itle 25 of the Ca lifornia Code of
Regulations, Article 1, § 19 of the California Constitution, the Ca l ifornia Eminent Domain
Law (Code of Civil Procedure § 1230.010, et seq.), or other similar local, st ate, or federal
statute, ordi nan ce, regulat ion, rule, or decisional law (co lle ctively "Co mpensatory
Laws "). Lessee furth er acknowledges that it has received full and fa ir compensation of
all Benefits Lessee is or might be or might become entitled to recover f rom the City of
Temple City as a resu lt of, or in any way related to, Expira tion of t he Tenancy, City's
acquisition of the Premises , and City's occupancy and possession of the Premises.
Therefore, being fully in f orme d of and und e rstanding the acknowledgments made
herein and of Lessee's right s or potential righ ts to Benefits under the Compensatory
Laws, Lessee hereby expressly and uncon dit ionally waives, and Releases the City
from, any an d all rights of Lessee to claim, demand, sue for, or receive any Benefits
which Lessee is or might be o r might become entitled to rec over from the City as a
result of, or in any way related to, Expiration of th e Ten a ncy, City's acqu isition of the
Prem ises , and City's occupa ncy and possess ion of the Premises .
22. General.
{a) The acc eptance by Landlord of any renta l or other payments due hereunde r
with knowledge of the breach of any of the terms, covenants or provis ions of this Lease by
Tenant shall not be construed as a waiver of any such breach. The acceptance at any
tim e or times by Landlord of any sum less th an that which is required to be paid by Tenant
shall, unless La ndlord specifically agrees otherwise in writing, be deemed to have been
received only on account of the ob ligation for which it is paid , an d shall not be deemed an
accord an d satisfaction notwithstanding any provisions to the cont rary written on any
check or contained in any writing transmitting the same.
(b) The titles to th e sections of this Lease are for co nvenie nce of reference onl y
and are not a part of t his Lease and shall have no effect up on the construction or
interpretat io n of any part of th is Lease. Any exhibits attached to this Lease are , however,
a part of th is Lease. This Le ase shall be govern ed by and construed in accordance with
the laws of the State of California, without regard t o any oth erwise governing principles of
L1\ #48 1 ~·7924-18 1 7 v I
conflicts of law. In construing this Lease, none of the parti es to it shall have any term or
provision construed against it solely by reason of its having drafted the same.
(c) Any provision of this Lease that is invalid, illegal or unenforceable shall be
ineffective to the extent of such invalidity, illegality or unenforceab i lity without invalidating,
diminishing or ren dering unenforceable the rights and obligations of the parties under the
remaining provisions of this Lease.
(d) No term or provision of this Lease may be amended, altered, modified or
waived orally or by a course of conduct, but only by an instrument in writing signed by a
duly authorized officer or representative of the party against which enforcement of such
amendment, alteration, modification or waiver is sought. Any amendm ent, alteration,
modification or waiver shall be for such period and subject to such conditions as sha ll be
specified in the written instrument effecting the same. Any waiver shall be effective only in
the specific instance and for the specific purpose for which given.
(e) This Lease and all exhibits attached to it constitutes the entire agreement of
the parties with respect to the subject matter hereof and supersedes all pr ior or
contemporaneous agreements (whether written or o ral) with respect to that subject matter.
(f) This Lease may be executed in several counterparts, each of which shall be
deemed an original, but all of which together shall constitute one and the same instrument.
(g) If either party hereto brings an action to enforce the terms hereof o r declare
rights hereunder, the prevailing party in such action, on trial or appeal, shall be entitled to
reasonable attorneys' fees to be paid by the losing party as fixed by the co urt.
The parties have caused this Lease to be duly executed by their respective du ly
authorized officers or representatives as of the date first set fort h above.
LA N4Rt:l-i924-GR17 \'I
[Notary Acknowl edgement Required]
[Not ary Acknowledgement Required]
Attest:
City Clerk
By : ~~~~~~~~
Eric S. V a il
City Attorney
LA ~48 1 3·i9::'~-4SJ/ 'l
TEMPLE CITY
CH AMBER OF COMMERCE
' By: Y4:ecr-ch,cn
~{· I'J
President
TEMPLE CITY
CHAMBER OF COMMERCE
By: ~a~~ c_~~e2
s~:bC'~
C IT Y OF TEMPLE CITY
By: .l~::l~ I ~
~se~ijSe-Tracey Hause
~~~Acting City Manager
•
EXHIBIT"A"
{Lega l Description of Premises)
That Building located on the Parce l consis ting of a portion of Sunny View Tract Land
describe d in Parce l 3 of Document 919187,052901 , portion of Lot 8.
See attached Map "Exhibit 8" for further descrip tio n of the Parcel.
LA J14S 13-792~ -~ 817 ' I
LA 114RD-792.:1-ISI7 ''I
EXHIBIT "B"
(Map Diagram)
PROVIDED ON THE NEXT PAGE
Temp le City Chamber of Commerce
90 50 Las Tunas Drive
"Exhibit B"
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
¢¢&'~~-«~~«««..«'«~-«~~«-««««.etQ.¢<".('X'~««.<:f.et.CS
State of California }
county of l... .. os An c?]e-1-es
On De~ . 13 I :z_o 12-before me, J?fA?lg~ K_uo ' N 0 m w
Oale ~7-f Here lnser1 Name and Tollo o1 1roo "oiit;,
personally appeared -'N'--'--"'-'(t'-1""-dj'-""O_Y'_-,-=~:..___}~C('-'-n..!...'e""-----.-2Chtt~· ~t/'::-:i'e.~z_=--------'~ame(•l of Siglilr(s)
PEGGYKUO
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NoW}< Public -Clllforftta
lot Angetu County ?:
Comm . Ex Ires Dec 5. 2014
Place Nolary Seal AbcMI
who proved to me on the basis of satisfactory evidence to
be the person(s) whose name(s) is/are subscribed to the
within instrument and acknowledged to me that
he/she/they executed the same in his/her/their authorized
capadtyOes), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is
true and correct.
WITNESS my ha
---------------------OPTIONAL-------------------------
Though the information below is not requi red by taw. It may prove valuable to persons relying on the document
and could prevent fraudulent r emoval and reaNachment of this fo r m to another docum ent.
Description of Attached Document
nueorTypeofDocument:!. c... Cha.mberof em~ U tt St. .A-c;;retm~
Document Date: De c... . 4 I 2-0 I 2-Number of Page s: _ __,_I -~!.-.._ ___ _
Slgner(s) Other Than Named Above:
Capacity(ies) Claimed by Signer(s)
Signer's Name:-------------
0 Individual
0 Corporate Offi cer-Title(s):
0 Partner-0 Limited 0 Genera l
0 Attorney in Fact
0 Trustee
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0 Other: ________ _
Signer Is Representing: ___ _
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Signer's Name: _____________ _
0 Individual
0 Corporate Officer -Ti Ue(s): ---------
0 Partner -0 Limited 0 Genera l
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O Tru stee
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Signer Is Re presenting : ____ _
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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
~..eym~~««««««.s:ro««~.cr.&««~~.¢f,<i<?«.(;'('..c<)C<'«QM-«.s:xte<'e~
State of California
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On De c.. 13. '7-0 12. before me, Pet?y;r,.J K..u 0 I N Q m 1--'-..J PCAbl:.v
Oato r :r H&re lnsort N;'II"Y'M' nnt1 T1fl e o f t'lo 011 ccr -/
personally appeared v e+u j u n g sl-J I K th 0 .I
Norne(sl ol Slgoer(sl
who proved to me on the basis of satisfactory evidence to
be the person(s) whose name(s) is/are subscribed to the
within instrument and acknowledged to me that
he/s he/they executed the same in his/her/their authori zed
capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
I ce rtify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is
true and correct.
Plaoo Notary Soel A.bcMJ
WITNESS my ·f:t and official seal.
Signature J?~ :a OiN0\8rYPUiiC
OPTIONAL-------------------------
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and realla chmcnt of this form to another document.
Description of Attached Document
Title or Type of Document: .I:_ t . Cd:? arnb&t 0 f f!awme.a _g d UM e &!jY l!:tl~
Document Date: D..e. C . tf 1 bO I a_ Number of Pages: _--L.I4---'------
Signer(s) Other Than Named Above:
Capacity(ies) Cl aimed by Signer(s)
Signer's Name:-------------
0 Individual
0 Corporate Officer-Tille(s):
0 Partner -0 Limited 0 General
0 Attorney in Fact
0 Trustee
0 Guardian or Conservator
0 Other: ________ _
Signer Is Representing: ___ _
Signer's Name: _____________ _
0 Individual
0 Corporate Officer-Title(s): ---------
[1 Partner -D Lim ited 0 General
Ll Attorney in Fact
C Trustee
~ Guardian or Conservator
=:Other: _________ _
Signer Is Representing: ____ _
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0 2007 Nal.orul Nolary Assoc::aolllOn • 9350 De Solo A..,. . PO Bo• ~'102 • ct.atswo<th. CA 91313-2;102 •......, Natian<IN .. Lary "'11 llem •5907 AOO<der: Call TQjj.Freo .aoo.876-6827
LA #~SIJ-792~-1 8 1 7 vi
LEASE AGREEMENT
by and between
THE CITY OF TEMPLE CITY
and
TEMPLE CITY CHAMBER OF COMMERCE
Dated Novembe r 17 , 2015
ATTACHMENT B
LEASE AGREEMENT
This LEASE AGREEMENT ("Lease"), dated as of De cember 4 , 2015 , is entered
into by and between th e CITY OF TEMPLE CITY, a charter law city a nd municipal
corporation (the "Landlord "), and th e TEMPLE CITY CHAMBER OF COMMERCE , a
California 501 (c )(6) nonprofit corporation (th e 'T en ant"), who agree a s follows:
RECITALS
This Lease is made with reference to th e following facts and circumstances , which
are a part of this Lease and are agreed to be correct:
A. Landlord is the owne r of certain real property (the "Property") located in the
City of Temple City, County of Los Angeles, State of California commonly known as 9050
Las Tunas Drive . A legal description of the Property is set forth in attached Exhibit "A ",
and depicted in the diagram attached as Exhibit "B".
B . The Property is improved with a on e story building (the "Building ") consisting
of approximately one thousand fifty-six (1 ,056) square feet of floor area .
C . Tenant wishes to Lease the Building (the "Premises") and Landlord is willing
to lease the Premises to Tenant, all subject to the terms and provis ions of this Lease . The
parties acknowledge and agree that the Building is located adjacent to a public parking lot
owned by Landlord and occupying the Property, and that the parking lot does not
constitute any portion of the Pre mises leased by Tenant.
D. Tenant wishes to secure parking for its operations in the Building from
parking available in Landlord 's parking lot located on and adjacent to the Property , and
Landlord is willing to dedicate a number of parking spaces to Tenant during Tenant's
normal business hours .
1. Demise .
(a) On and subject to the terms and provisions of this Lease , Landlord leases to
Tenant and Tenant leases from Landlord the Premises .
(b) In connection with Tenant's lease of the Premises , Landlord agrees to
reserve for Tenant's exclusive use, and post notices to that effect , four (4) park ing spaces
in the public parking lot owned by Landlord and located on and adjacent to the Property.
During Tenant's normal business hours of 10:00 a .m . to 5 :00 p.m ., Monday through
Thursday , these four (4) parking spaces shall be reserved f or the use of Tenant and
Tenant's guests , agents , employees , and invitee s . Tenant agrees that Tenant has no
other right under this Lease to the public parking lot and that if Tenant des ires to use
said parki ng lot for any purp ose oth e r than utili z ati o n of th e four (4 ) parking s paces a s
provid ed i n t h is section , T e na nt s hall request a pe rmit to us e the pa rki ng lot and
Landlord shal l re vi ew suc h req ues t a nd ma y app ro ve or deny s uc h req uest i n its so le
a nd absolute d iscretio n.
L A #-1 8 13-792-1--18 17' I
2 . Term. The term of this Lease commences on the date hereof and contin ues
thereafter for a period of three (3) years and, unless earlier terminated , automatica lly
expires on December 3 , 2018 , without the necess ity of any notice or oth e r action on
Landlord 's part. Notwithstand ing the foregoing , Tenant may at its so le discretion and
with sixty (60) days notice to Landlord, request and upon s uch request shall be granted
a two (2) year extension of the Term . Such extension shall be immediately effect iv e but
t he parties shall thereafter execute an amendment to this Lease memorializing such
extension . No further extension beyond the three (3) year base term and two (2) year
extension may be request ed or granted und er this Lease , a nd a new agreement
between the parties shall be required to effectuate any such furthe r extension .
3. Use ; Compliance with Laws .
(a) The Prem ises must be us ed by Tenant as a Chamber of Commerce
Building and Visitors' Center. This includes receiving visitors to the city of Temple City,
holding meetings re lated to the purposes for which Tenant is incorporated, servi ng as a
site for the disse mination of information about the City and its businesses , allowing
business owners and employees in Temple City to interact on the Premises , and
serving as an office for the planning and implementation of these and similar activities .
(b) Tenant and Landlord currently have a service agreement under which
Tenant performs services related to public information , business promotion and
assistance with City economic development projects. Should that service agreement be
terminated by either party, Landlord may, at its sole option and in the exerc ise of its sole
discretion , terminate this Lease prior to the end of the Term .
(c) Tenant agrees that, in addition to the services set forth in the service
agreement and as partial conside ration for Landlord 's willingness to enter into this
Lease at the rental amount set forth below , Tenant will make the conference room
available to Temple City based com munity groups and res identia l associations that are
not eligible for Chamber membership for the purpose of allowing those entities to hold
meetings and similar events -following the same rules and regulations per the
Chamber's conference room renta l agreement. Tenant recognizes that the confere nce
room in the Prem ises is an asset to the people of the City of Temple City and that
geographic location of the premises makes it attractive to entities wishing to hold
meetings near the City's business district. In recognition of these facts and in concert
with Tenant's promotion of the City and its businesses , Tenant agrees to work with
Landlord 's staff to determin e appropriate times and conditions for the use of the
Premises by the above-referenced groups .
(d) Tenant agrees that the Premises and its use of the Premises will at all
times be in strict compliance with all applicable laws, rules and regulations of all
governmental autho riti es hav i ng jurisdiction , and Tenant, at its sole cost and expense,
agrees to co m p ly with all such laws , rule s a nd regu lation s, including , without limitation,
all laws , rules and regulation s requiring the making of st ructura l or extraordinary re pairs
or replacements to the Premises.
I !\ I/-I XI 3·792 1-l817' I
4. Rent. As rent for the Premises, Tenant agrees to pay to Landlord the sum of
$1.00 per month. Rent is to be paid in advance by check or wire transfer. The first
installment of monthly ren t is due on the date hereof and subsequent installments are
du e and payab le on the same day of each succeeding monthly during the term of this
Lease .
5. "AS-IS" Lease . Tenant acknowledges that it has i nspected the Premises and
Tenant warrants a nd agrees that it is thoroughly familiar with the Premises and a ll
aspects the reof, including, without limitation , the physical condition of the Premises , the
zon ing of the Premises and al l other res tri ct ions and limitation s applicable to the
Premises (whether or not of public record). Tenant acknowledges and agrees that the
Premises are satisfactory to Tenant in all respects . Tenant agrees that neither
Landlord nor anyone acting on Landlord's behalf has made any representation or
warranty of any kind or nature whatsoever respecting the condition of the
Premises, their suitability for Tenant's use, or any other matter relating to the
Premises (including, but not limited to, the environmental condition of the
Premises) or this Lease, and Tenant agrees that it is leasing the Premises in their
"AS-IS CONDITION AND WITH ALL FAULTS".
6. Maintenance.
(a) Tenant agrees that it will , at its sole cost and expe nse, maintain the
Premises and all portions thereof, in a good, clean and safe condit ion and state of
repa ir, including the making of all necessary repai rs or replacements due to normal
wea r and tear and use of externa l and internal portions of the Premises. The foregoing
includes , wit hout limitation , Tenant's duty to provide for normal janitorial servicing of the
Premises . Tenant agrees that Tenant is solely responsible fo r the security, protection
and insuring of it s equipment, materials and other property, and that of its employees,
servants a nd contractors, located on or about the Premises . T enant agrees that
Landlord w ill have no liability of any kind or nature respecting any loss or theft of, or
damage to , any such equipment, materials or other property .
(b) Landlord agrees that it will, at its sole cost and expense , provide for
maintenance of a substantial nature required for the upkeep of all plumbing , heating , air
conditioning , ventilating , electrical and other facilities and utiliti es serving the Premises ,
and the structure of all walls , floors , ceilings, roofs , windows , doors , driveways ,
sidewalks, and parking lots on t he Property and Property. For purposes of this
Subsection 6(b), "ma inten ance of a substantial nature" shall be defined as maintenance
estimated to cost more than $5 ,000. Tenant shall provide Landlord with notice of the
required maintenance and with no fewer than two (2) estimates showing costs
ant icipated to exceed $5,000 . Such notice shall be provided to Landlord prior to
Landlord's annual or mid -ye ar budget approval so that the cost of the maintenance can
be included in the budget or budg et revision . Should unanticipated emergency
m ai ntenance of plumbing , heating , air conditioning, ventilating , electrical or oth e r
fac iliti es or utilities a ri se, Tenant may e ith er perform the ma i ntenance itself and see k
LJ\ #48 13 -792-1--18 17 'I
reimbursement from Landlord or may immediately request that Landlord undertake the
maintenance work to ensure continued habitabil ity of the Premises.
7 . Insurance. Tenant agree s to ke e p and maintain public l iabi lity and property
damage insurance respecting the Premises , naming Landlord as an additional insured ,
in form and amounts (not less than $1,000,000 per occurrence) and with insurers
reasonably satisfactory to Landlord . Tenant also agrees to keep and maintain a policy
or policies of f ire and extended cove rage insurance, with vandalism and malicious
mischief endorsements, in the name of Landlord and with loss payable to Landlord, to
the extent of the full replacement cost of the improvements lo cated on the Premises and
otherwise in form and with insurers reasonably satisfactory to Landlord . Tenant also
agrees to keep and ma intain worker's compensation insurance coverages for its
emp loyees in the minimum amounts required by California law . All such insurance will
be primary and not contributing w ith any insurance which Landlord may maintain , and
the insurer providing such insurance must agree that such insurance will not be
changed or cancelled except upon at least thirty (30) days prior written notice to
Landlord . Tenant waives any and all rights of recovery against Landlord and its
officials , officers , agents and employees on account of loss or damage occasioned to
Tenant or its property or the property of others under its control , to the extent that such
loss or damage is ins ured against under th e fire and extended coverage policy required
to be kept and maintained by Tenant under thi s Lease; and Tenant shall ca use each
policy required to be kept and maintained by it under this Lease to provide that the
insurer waives all right of recovery by way of subrogation against Landlord in co nnection
with any damage covered by such policy . Tenant will provide Landlord with copies of
the policies of such insurance or cert ificates evidencing such insurance upon execution
of this Lease and from time to time thereafter as reasonably requested by Landlord .
8 . Indemnification. In addition to , and without l imiting , Tenant's other obligations of
indemnity under this Leas e , Tenant agrees to indemnify, protect , defend (by counsel
reasonably satisfactory to Landlord) and hold Landlord and its officials, officers , agents
and employees, and each of them, harmless from and against all claims , losses ,
liabilities, actions , judgments , costs and expenses (including reasonable attorneys ' fees
and costs) which they, or any of them , may suffer or incur arising from or relating to (a)
Tenant's use of the Premises , (b) any negligence , act or omission of Tenant , its agents,
employees , contractors , guests or invitees in or about the Premises or (c) any default by
Tenant under this Lease.
9 . Utilities . Tenant agrees to pay, as additional rent , before delinquency, for all
water, sewer, gas, heat, light , power, telephone service, refuse removal and all other
utilities or services of any kind supplied to the Premises . It is agreed that Landlord is
not liabl e for any failure or interruption of any uti lity or service , and the failure or
interruption of a ny utility or service will not entit le Tenant to terminate this Lease or stop
making any rental or other payments due under t his Lease .
10 . T axes . T e na nt s ha ll pay , as additio na l re nt , before de linqu e ncy all re al p rop e rty
taxes a nd assessm ents (both g e ne ra l and spec ial) lev ied or assessed aga inst t he
l .t\ #.J 8 13-792.J-l817 ' I
Premises duri ng the term of th is Lease . Tenant shall promp t ly furnish Landlord with
satisfactory evidence that such taxes and assessm e nts have been paid . If any such
taxes and assessments cover any period of tim e afte r the e xpiration of the term of this
Lease , Tenant's share of such ta xes and ass es sments will be equitably prorated to
cover only the period of time within the ta x fisc a l y e ar this Lease is in effect. Tenant
shall also pay before delinqu e ncy a ll ta xes lev ie d or a sse ssed against T e nan t's t ra de
fixtures , equ ipment and personal property lo ca t ed at the Prem ises or elsewhere . If
Tenant fails to pay any ta xes or assessmen ts re qu ired to be pa id by it under this Lease ,
Landlord , at its option , may pay the same and T e nant agree s to reimburse Landlord
therefore immediate ly upon demand . Tenant a cknow ledges t hat this Lease may create
a possessory interest subject to taxation and that Tenant may be subject to payment of
any and all taxes levied on that possessory interest.
11 . Alterations . Tenant agrees that it will not make any alterations or improvements
to the Building or Premises , or any portion of the Bu ilding or Premises , without
Landlord 's prior written consent , which will not be unreasonably withheld ; provided , that
if the alterations or additions would affect the structural portions of the Premises ,
including , without li m itation , the exterior or interior load-bearing walls, the foundation or
the roof of the Premises, Landlord s hall be unde r no obligation to give its consent. If
Landlord consents to the making of a ny alterations or improvements, Tenant agrees
that such alte rations or improveme nts wil l be made in strict comp l iance with al l
app licable laws , ru les and regu lations of a ll governmenta l authorities having juri sd ict ion,
will be performed in a good and workmanlike manner, and wil l be made in compliance
with such other co nd it ions , including, without limitation , the obta ining of performance
and completion bo nds, as Landlord may require in connection with the granting of its
consent. Tenant ag rees that it will pay , when due , all claims for labor or materia ls
furnished or alleged to have been furnished t o or for Tenant at or for use on the
Premises , wh ich cla ims are or may be secured by any mechanics' or materialmen 's lien
aga i nst the Premises or any interest therein . All alterations and improvements made by
Tenant sha l l, at Land lord's option and at Tenant's sole cost and expense , be removed
from the Premises at the end of the term of this Lease and the Premises restored to
their condition prior to the making of such alterations or improvements .
12 . Tenant's Property . All trade f ixtures , equ ipment and pe rsonal property of Tenant
located at the Prem ises will re main the property of Tenant du ri ng the term of th is Lease
and may be removed by Te nant at any time and shall be removed by Tenant prior to the
expiration or other termination of the term of this Lease . Tenant, at Tenan t's cost and
expense, must promptly repair all damage to the Premises occasioned by the removal
of its trade fixtures , equipment and persona l property .
13 . Damage and Destruction . If the Premises or any portion thereof are damaged or
destroyed by any casualty (whether or not insured), and the cost of repair i ng or
restoring t he Pre mises excee d s on e month 's re nt or if th e re pairs and res to rations
would requ ire more than on e month to co mplete o nce c omm e nce d , th e n e it her Lan dlo rd
or T en an t may cance l th is Lease upon th e g iving of w ritten notice to th e other . U pon
any cancellat ion of t hi s Lea se purs uant to the prov isions of thi s Sectio n , all proceeds of
I .A #-18 13-79:."!-1--181 7' I
insurance shal l be t he sole property of Landlord , a nd T enant s hall have no right or
interest there i n.
15. Sublease or Assignmen t. Tena nt may not sublea se or assign this Lease or
sublet or assig n the righ ts to a l l or any part of the Prem ises nor pe rmi t the occupancy
thereof by any oth e r person or e nti ty without the express written consent of Landlord ,
wh ic h consent may be wi thheld in Land lord 's sole discretion .
16 . Default. The occurrence of any one or more of the fol lowing shall constitu te a
default by Ten ant:
(a) Va cation or abandonment of the Premises by Te nant.
(b) Defau lt of the services agreement between Landlo rd and Tenant refere nce d
in section 3(b), when such default is not cured as req uired by that agreement.
(c) Fa il u re by Tenant to make payment of rent or any other payments requ ired
to be made by Te nant hereunder as and when due .
(d) Fai lure by Tena nt to keep and maintain any of the in su ranc e requi red to be
kept and maintained by Tenant under this Lease .
(e) Suspension of Tenant's active co rporate status due to failure to file re quired
paperwor k with the State of Cal ifornia or for any other reason , or lo ss of Tenant's tax
exempt sta tus due to fai lure to file required paperwork w ith the State of California or United
States governm e nt or for any other reason .
(f) Failu re by T ena nt to observe or perform any of the covenants or provis ion s
of this Lease , other than as provided i n subse ctio ns (b) and (c) above , when suc h failure
continues fo r a period of 30 days after written notice of such fai lu re is given by Landlord to
Tenant; provided, that if the nature of Tenant's failure is such that more tha n 30 days are
reasonably required for its c ure, t hen Tenant will not be deemed to be in default if T e nant
commences such cure within said 30 day period and thereafter diligently prosecutes such
cure to comp letion .
17 . Remedies . If Tenant is in default, then , in addition to all other rights an d reme dies
which Landlord may have at law or in equity, Land lord has the following rights and
remed ies which are not e xclusive but are c umul ative :
(a) To the extent permitted by law , La ndl ord ca n , with or without termi nat ing this
Leas e, reenter the Prem ises and remove all property and persons therefrom , and any
such property may be removed and stored in a public ware house or elsewhere at the cost
and for the account of Tenant. If Land lord ele cts to ree nter o r sha ll take possession of the
Premises pursuant to legal proceedings or pursuant to any notice provided by law , and if
Landlord has not elected to terminate this Lease, Landlord may either recover all rent as it
becomes due under this Lease or relet the Prem ises or any part or parts thereof for such
L i\ #.JX 1 3-79~-i-48 17 ' I
term or terms and upon such provisions as Landlord may deem advisable and will have
the right to make repairs to and a lte rations of the Premises. No reentry or taking
possession of the Premises by Land lord is to be construed as an election to terminate this
Lease unless a written notice of such intention is given to Tenant by Landlord.
Notwithstanding any reletting without termination by Landlord because of Tenant's default ,
Landlord may at any time after such reletting elect to terminate this Lease because of such
default. If Landlord elects to relet t he Premises witho ut terminating this Lease , then rent
rece ived by Landlord th erefrom will be appl ie d as follows:
(i) Fi rst, to any ind ebtedness from Tenant to Landlord other than rent
due from Tenant;
(ii ) Second , to al l costs and expenses, incl udin g , w ithout limitation , for
maintenance , repairs o r alterations , incurred by Landlord i n connection with reletting the
Premises; and
(i ii ) Third , to the payment of rent due and unpaid under this Lease and
the residue , if any , will be held by Landlord and applied in payment of future rent as the
same may become due and payable under this Lease and to any damages and other
amounts which Landlord is otherwise ent it led to under this Lease . Should that portion of
suc h rent received from suc h reletting during any month , which is applied to the paymen t
of rent here und er, be less t ha n the rent payab le hereunder during that month by Tenant,
t hen Tenant agrees to pay such deficiency to Land lord immediately upon demand . In no
event will Tenant be entitled to any excess rent received by Landlord from such reletting .
(b) Land lord ca n termi nate T ena nt 's right to possession of t he Premises at any
time. No act by Landl ord other t han giving written no ti ce to Tenant will terminate this
Lease . Acts of maintenance , efforts to relet the Premises , or the appointment of a receiver
on Landlord's initiative to protect Landlord's interest under this Lease shall not constitute a
termi nation of Tenant's right to possession . On term in ation , Landlord has the right to
recover from Tenant:
(i) Th e worth , at the time of the award , of the unpaid rent that had been
earned at the time of te rm ination of t hi s Lease ;
(ii) Th e worth , at the time of the award , of the amount by which the
unpaid rent that would have been earned after the date of termination of this Lease until
the time of awa rd exceeds the amount of the loss of rent that Tenant proves cou ld have
been reasonably avo id ed ;
(iii) T he worth , at the time of the award , of the amount by wh ich the
unpaid rent for the ba lan ce of th e term after th e time of award exceeds the amount of the
loss of re nt that Tena nt proves could have been reasonably avoid ed ; and
(iv) Any oth er amount , and co urt costs, neces sary to com pensate
La ndl ord for a ll detrim e nt p roximately ca use d by Tena nt's default.
I/\ #-IXIJ-792-I-1817 'I
"The worth , at the time of the award ," as used in (i) and (ii) of this
subsection (b), is to be computed by allowing interest at the maximum rate an individual is
permitted by law to charge . "The worth , at the time of the award ," as referred to in (ii i) of
this subsection (b), is to be computed by discounting the amount at the discount rate of the
Federal Reserve Bank of San Francisco at the time of the award , plus 1%.
(c) Landlo rd can have a receiver appointed to collect rent and conduct Tenant's
business. Neither th e filing of a petition for the appointment of a receiver nor the
appointment itse lf shall constitute an e lection by Landlord to terminate this Lease .
(d) Without waiving the default, Landlord can , at its sole option , pay such sums
and/or take such actions as are necessary in Landlord's reasonable judgment in order to
cure the default, and all sums expended or incurred by Landlord in connection therewith ,
together with interest thereon at the maximum rate permitted by law, shall be paid by
Tenant to Landlord immediately on demand .
18. Landlord Entry. Landlord and its authorized representatives shall have the right
upon two (2) business days' written notice to Tenant to enter all portions of the Premises
for any of the following purposes : (a) to determine whether the Premises are in good
condition and whether Tenant is complying with its obligations under this Lease ; (b) to
inspect the Premises ; (c) in connection with Landlord's design and construction p lanning
respecting Landlord's future use of the Premises; and (d) to post notices of
nonresponsibility. Notwithstandi ng the foregoing to the contrary, Landlord and its
authorized representatives shall have the right to enter the Premises at any time , and
without notice to Tenant, where an emergency situation necessitates such entry . No
exercise by Landlord of its rights under this Section sha ll entitle Tenant to any damages for
any injury or inconvenience occasioned thereby or to any abatement of rent or other
amounts payable under this Lease.
19 . Surrender of Premises . Upon the expiration or other termination of the term of
this Lease , Tenant agrees to surrender possession of the Premises , and every party
thereof, to Landlord in good order, condi t ion and repair, ordinary wear and tear alone
excepted . "Ordinary wear and tear" does not include any damage or deterioration that
would have been prevented by good mainte na nce practice o r by Tenant performing all
of its obligations under this Lease.
20. Notices . Except as otherwise provided , all notices required or permitted to be
given under this Lease must be in writing and addressed to the parties at their
respective notice addresses set forth below ; provided , that notices to Tenant may also
be effectively given in writing and addressed to Tenant at the Premises address .
Notices must be given by personal de liv ery (including by commercial delivery service) or
by first-class mail , postage prepaid . Notices will be deemed effectively given , in the
case of personal delivery , upon receipt (or if receipt is refused , upon attempted
delivery), and in the case of mailing, three (3) days following deposit into the custody of
t he Un ited State s Postal Se rv ice . T he no tice addre sse s of th e parti es a re a s foll ows :
I ,\ #..J S I .1-79~..J -18 1 7 ' I
If to Landlord :
If to Te na nt:
City of Temple City
Attentio n : City Manager
9701 Las Tun as Drive
Temple C ity, Ca lifornia 91780
With a cop y to:
Eri c S . Vail , Assistant City Attorn e y
Burke , Williams & Sorense n, LLP
2280 Market Street, Suite 300
Riverside , Californ ia 92501-2121
T emp le City Chamber of Commerce
9050 Las Tunas Drive
Temp le City, Ca lifornia 91780
21 . Waiver and Release of Benefits . Lessee acknowledges that upon expirati o n of
the Term , inc luding any extension thereof, or upon termination of any holdover tena ncy
(collectively "Expi rat ion of Tenancy"), Lessee might be or become eligibl e to rece ive
compensa t ion , reimb ursement, assistance , including , but not limited to , the fa i r m a rk et
value of re al and personal property, loss of goodwi ll , loss of profits , actual a nd
reasonable e xpenses for moving a busin e ss , loss of tangible personal property as a
resu lt of moving the bus iness , expenses incurred i n search in g for a repla cement site for
the busin ess , expe ns es to reestab l is h the business at the new site , "in-lieu payments ,"
and other s uc h be nefits (collect ive ly "Benefits ") under the California Re location
Assistance Act (Go vern ment Code §7260, et seq.), Title 25 of the California Code of
Re g u lations, Article 1, § 19 of the Cal ifo rn ia Constitution , the California Emin e nt Domain
Law (Code of Civi l Procedure §1230.010 , et se q .), or other sim ilar local , state, orfederal
statute , ordinance, reg ulation , rule , or decis ional law (collectively "Compensatory
Laws "). Lessee furt he r acknowledges that it has rece iv ed full and fa ir compensation of
all Benefits Lessee is or might be or might become e ntitled to recover from the City of
T emp le City as a result of, or in any way re lated to , Expiratio n of t he Tenancy , City's
acquisition of the Premises , and City's occupancy an d possession of the Premises .
Therefore , be ing fu ll y informed of and understanding the acknowledgments made
herei n and of Lessee's rights or potenti al rights to Benefits under the Compe nsa tory
Laws , Lessee he reby expressly and unconditionally waives , and Re leases the City
from , any and all rig hts of Lessee to claim , demand , sue for, or receive a ny Ben ef its
wh ic h Lessee is or might be or migh t become e ntitled to recover from the C ity as a
result of, or in any way related to , Exp iration of the Tenancy , City 's acquisition of the
Premises , and City's occupancy and possession of the Premis e s.
22 . Ge neral.
(a) T he accepta nce by Land lord of any re nta l or other payme nts due here und e r
w it h knowledge of the brea ch of an y of th e terms, c ovenants or provisio ns of th is Lease by
T enan t shall not be co nstrued as a wa ive r of any suc h breach . T he acceptance at any
time or times by Land lord of any sum less than that whic h is re q ui red to be pa id by Te nant
l ;\ #.J 8 13-792.J--18 17 'I
shall, unless Landlord specifically agrees otherwise in writing , be deemed to have been
received only on account of the ob ligation for which it is paid , and shall not be deemed an
accord and satisfaction notwithstanding any provisions to the contrary written on any
check or contained in any writing transmitting the same.
(b) The titles to the sections of this Lease are for convenience of reference only
and are not a part of this Le ase and shall have no effect upon the construction or
interpretation of any part of this Lease. Any exhibits attached to this Lease are , however,
a part of this Lease . This Lease shall be governed by and construed in accordance with
the laws of the State of Ca lifornia , without regard to any otherwise governing principles of
conflicts of law. In construing this Lease , none of the parties to it shall have any term or
provision construed against it solely by reason of its having drafted the same .
(c) Any provision of this Lease that is invalid , illegal or unenforceable shall be
ineffective to the extent of such invalidity, illegality or unenforceability without invalidating ,
diminishing or rendering unenforceable the rights and obligations of the parties under the
remaining provisions of this Lease.
_ __ -(d) No term or provision of this Lease may be amended , altered , modified or
waived orally or by a course of conduct, but only by an instrument in writing signed by a
duly authorized officer or representative of the party against which enforcement of such
amendment , a lteration , modification or waiver is sought. Any amendment , alteration ,
modification or waiver shall be for such period and subject to such cond itions as shall be
spec ified in the written instrument effect i ng the same . Any waiver shall be effective only in
the specific instance and for the specific purpose for which given .
(e) This Lease and all exhib its attached to it constitutes the entire agreement of
the part ies with respect to the subject matter hereof and supersedes all prior or
contemporaneous agreements (whether written or oral) with respect to that subject matter.
(f) This Lease may be executed in several counterparts, each of which shall be
deemed an orig ina l, but all of which together shall constitute one and the same instrument.
(g) If either party hereto brings an action to enforce the terms hereof or declare
rights hereunder, the prevailing party in suc h action , on trial or appea l, shall be entit led to
reasonable attorneys ' fees to be paid by the losing party as fixed by the court.
The parties have caused this Lease to be duly executed by their respective du ly
authorized officers or representatives as of the date first set forth above .
L.J\ #-I S 13-79~-I...JS 17 ' I
~------------------------------------
TEMPLE CITY
CHAMBER OF COMMERCE
[No tary Acknowledgement Required ] By: _________ _
President
TEMPLE CITY
CHAMBER OF COMMERCE
[Notary Acknowledgement Required ] By : _________ _
Attest:
Peggy Kuo
City Clerk
Approved as to Form:
By :
Eric S . Vail
City Attorney
I.A #-ISI J -79:!-l-IS 17 ' I
Secretary
CITY OF TEMPLE C ITY
By : ----------
Bryan Cook
City Manager
EXHIBIT "A "
(Lega l Description of Premises)
That Building located o n the Parcel consisting of a portion of Sunny View Tract Land
described in Parcel 3 of Document 919187 ,052901 , portion of Lot 8.
See attached Map "Exhibit B" for furthe r descript ion of the Parcel.
I 1\ Il lS I I· 79:! I-I X I 7 ' 1
l.t\ #.J 813-792.J--18 I 7 ' I
EXH IBIT "B"
(Map D iagram)
PROVIDED ON THE NEXT PAGE
EXHIBIT "B"