HomeMy WebLinkAboutRESOLUTIONS-1999-035-R-99•
6/2/99
35-R-99
A RESOLUTION
Authorizing the City Manager to Enter Into
a Hotel Parking Lease Agreement
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EVANSTON,
COOK COUNTY, ILLINOIS:
SECTION 1: That the City Manager is hereby authorized and directed to sign,
and the City Clerk hereby authorized and directed to attest on behalf of the City of
Evanston, a Hotel Parking Lease Agreement by and between the City of Evanston and
AHC Evanston L.L.C. Such Agreement shall be in substantial conformity with the Agreement
• marked as Exhibit A attached hereto and incorporated herein by reference.
SECTION 2: That the City Manager is hereby authorized and directed to
negotiate any additional conditions of the lease as may be determined to be in the best
interests of the City.
SECTION 3 That this Resolution shall be in full force and effect from and
after its passage and approval in the manner vided by law.
Mayor
ATTEST:
i C rk
Adopted: / , 1999
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HOTEL PARKING LEASE •
THIS PARKING LEASE (hereinafter referred to as the "Lease") is made this 24th
day of June, 1999, by and between the CITY OF EVANSTON, a municipal corporation
(hereinafter referred to as "Landlord") and AHC Evanston LLC, a limited liability
company (hereinafter referred to as "Tenant").
WITNESSETH
1. Demise. Landlord, for and in consideration of Ten Dollars ($10.00) and
the covenants and agreements set forth herein, does hereby lease to Tenant and
Tenant hereby takes from Landlord the number of parking spaces required to comply
with the City of Evanston's Zoning Ordinance, as that ordinance may be modified from
j time to time it of the Tenant's real estate, as improved and as legally described on
Exhibit A and by this reference incorporated herein (the "Hotel Parcel"). The Spaces
shall be unassigned and unreserved automobile parking spaces and shall be located at
the planned new Public Parking Garage (hereinafter referred to as "Garage") located on
the real estate legally described on Exhibit B hereto and by this reference incorporated
herein. The Spaces shall be used by the Tenant to provide parking for the Hotel and to
maintain compliance with the City of Evanston Zoning Ordinance for the Parcel. Tenant
shall have, as appurtenant to the Spaces, rights to use in common: (a) the common
lobbies, corridors, stairways, stairwells, escalators, elevators, of the Garage in commo�
with others, and (b) common walkways, parking areas and driveways necessary for
common ingress and egress to the Garage. The availability of Spaces is the Garage is
based upon the Planned Development Ordinance (41-0-99).
2. Term. The term of the Lease (hereinafter referred to as "Term") shall
commence on the day the Hotel opens for business as a Hotel (hereinafter referred to
as the "Commencement Date") and shall expire on the fortieth anniversary of the
Commencement Date.
3. Rent. All Hotel users who park in the Garage shall be charged the
parking rate that the City charges the general public for the spaces leased hereunder.
4. Maintenance. Landlord shall maintain the Garage in accordance with the
level of maintenance it performs for other comparable Garages in the City of Evanston
and shall perform all repairs, restoration and maintenance thereto. In the event
Landlord finds it necessary to restrict access to the Garage to perform maintenance
required hereunder, it will give reasonable prior written notice of such necessity to
Tenant, except in case of emergency, provided however Landlord shall at all times,
provide the Spaces. Landlord shall, at its sole cost keep and maintain the Garage and
all sidewalks and parking areas, safe, secure, and clean, specifically including, but not
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by way of limitation, snow and ice clearance, landscaping and removal of waste and
• refuse matter.
5. Rules and Regulations. Tenant agrees to abide by the requirements
and regulations relating to the use of the Garage promulgated by Landlord upon not
less than thirty (30) days' prior written notice thereof, providing said requirements apply
to all users.
6. Use. Tenant agrees to limit its use of the Garage to the parking of
motorized vehicles for nine (9) passengers or less.
7. Successors and Assigns. The rights and obligations of the parties
hereto shall inure to the benefit of the- parties hereto and each of their successors and
assigns. The interest and rights of Tenant hereunder shall be assignable subject to
Paragraphs 31 and 44 of the Redevelopment Agreement as amended'.
.; 8. Changes in Zoning Requirements. In the event the zoning
requirements for the Cinema are changed by the action of the Evanston City Council so
that the Hotel Parcel is not required to provide the number of spaces leased hereunder,
the City may, upon thirty (30) days' written notice decrease the number of Spaces
leased hereunder to the number then required. In the event the zoning requirements
for the Project are changes by the action of the Evanston City Council so that the Hotel
• Parcel is required to provide additional parking spaces in excess of the number of
Spaces leased hereunder, the Spaces shall be so increased.
9. Utilities. Landlord agrees to pay all charges for water, gas, electricity and
other utilities incurred in connection with the Garage.
10. Mortgages. If Tenant mortgages its leasehold estate created hereby and
the mortgagee or holder of the indebtedness secured by the leasehold mortgage or
trust deed shall notify Landlord, in the manner provided for the giving of the notice, of
the execution of such mortgage or trust deed and name the place for service of notice
upon such mortgagee or holder of such indebtedness, then, in such event, Landlord
agrees for the benefit of such mortgagee or holder of such indebtedness from time to
time, as follows:
(i) Landlord agrees to give any such mortgagee or holder of such
indebtedness simultaneously with service on the Tenant, a duplicate of any and
all notices of default given by Landlord to Tenant. Such notices shall be given in
the manner and shall be subject to the terms of the notice provisions of this
Lease.
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(ii) Such mortgagee or the holder of such indebtedness shall have the •
right to perform any of Tenant's covenants under this Lease and to cure any
default of Tenant pursuant to terms of this Lease.
(iii) No liability for the payment of Rent or the performance of any
Tenant's covenants and agreements shall attach to or be imposed upon any
mortgagee or the holder of such indebtedness unless such mortgagee or holder
of such indebtedness forecloses its interest and becomes the successor Tenant
under this Lease.
(iv) Tenant agrees that any mortgage or security interests it may grant in
this leasehold will provide that it is subject to and subordinate to Landlord's
estate.
11. Tenant Default. A. The occurrence of the following shall be.an "Event of
Default" hereunder:
(i) If Tenant fails to observe or perform any of the other terms, conditions,
covenants or agreements of this Lease and such failure shall continue for a period of
forty-five (45) days after written notice thereof from Landlord specifying such failure;
provided, however, that if such failure cannot reasonably be cured within such forty-five
(45) day period, no Event of Default shall be deemed to exist so long as Tenant shall •
have commenced curing the same within such forty-five (45) day period, and shall
thereafter diligently and continuously prosecute the same to completion.
B. Upon the occurrence of an Event of Default, by or against Tenant,
Landlord shall have the following rights and remedies:
(i) Landlord may, at its option, at any time upon fifteen (15) days
written notice to Tenant, and upon the date specified in such notice from Landlord to -
Tenant recover from Tenant Landlord's damages caused by such Default together with
all other sums payable to Landlord hereunder, including reasonable attorneys' fees,
costs and expenses.
(ii) Landlord may, at its option, but shall not be obligated to, take
such action as appropriate to correct or remedy such default (including performing or
causing to be performed any of Tenant's obligations hereunder) and all sums expended
by Landlord in doing so shall be payable from Tenant to Landlord upon demand.
(iii) In the event of any breach by Tenant of any of the covenants,
agreements, terms or conditions in this Agreement, Landlord shall, in addition to the
rights and remedies provided hereunder, have the right to invoke any right or remedy
allowed at law or in equity or by statute or otherwise. 0
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(iv) Landlord shall not have the remedy of terminating this lease by
• any reason of Tenant's default.
12. Notices. All notices herein required shall be in writing and shall be
served on the parties, either personally or mailed by certified or registered mail, return
receipt requested or by expedited messenger, and all such notices shall be deemed
received on receipt or if delivery is refused upon the date of attempted delivery
addressed as follows:
If to the Landlord: City of Evanston
2100 Ridge Avenue
Evanston, Illinois 60201
Attention: City Manager
Facsimile: (847) 448-8083
With a` copy to: Burke and Ryan
33 North Dearborn Street, Suite 402
Chicago, IL 60602
Fax: (312) 236-2556
If to the Tenant: Arthur Hill
Arthur Hill & Co. LLC
• 5 Revere Drive, Suite 300
Northbrook, Illinois 60062
Facsimile: (847) 498-4947
With a copy to: Mark Yates
Sonnenschein, Nath & Rosenthal
8000 Sears Tower
Chicago, Illinois 60606-6404
Facsimile: (312) 876-7934
Either party may, by notice, change the addresses set forth above. Facsimile
transmission is not authorized as a means of notice under this Lease.
13. Option. Tenant shall have the option ("Option") of renewing this lease for
an additional fifty-nine (59) years (the "Option Period"). Written notice of the exercise of
said Option shall be provided to Landlord no later than ninety (90) days prior to the
expiration of the original term thereof.
14. Demolition. Should the Garage deteriorate so that at anytime during the
Option Period it is necessary to demolish said structure and build a new parking
• structure or to repair said structure in an amount that exceeds Fifty Thousand Dollars
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($50,000.00) in any calendar year (hereinafter referred to as the "New or Remodeled •
Structure") in order the provide the Spaces, the Tenant agrees to pay to the Landlord its
pro rata share (hereinafter referred to as the "Tenant's Share") of the actual out-of-
pocket costs incurred by Landlord to construct the New or Remodeled Structure to
accommodate the Spaces. The Tenant's Share shall be equal to a percentage equal
to the ratio of the number of the spaces divided by the total number of parking spaces
to be located in the New or Remodeled Structure. The Tenant's Share shall be paid to
the Landlord within thirty (30) days after completion of the New or Remodeled Structure
and after presentation to Tenant of evidence reasonably satisfactory to Tenant of all of
the actual out-of-pocket costs so incurred by Landlord to construct the New or
Remodeled Structure. Notwithstanding anything herein contained, at such time as the
Tenant pays the Tenant's Share to the Landlord, the Rent shall be reduced to be an
amount equal to the Tenant's Share to the Landlord, the Rent shall be reduced to be an
amount equal to the Tenant's percentage of the net amount of annual costs and
expenses incurred to operate and maintain the New or Remodeled Structure.
15. Miscellaneous.
A. Captions and Attachments. The headings of sections and
paragraphs hereof are for convenience only and shall not be deemed to be relevant in
resolving any question of interpretation or construction of any paragraph of this lease.
Exhibits and addenda attached or affixed hereto are deemed a part of this lease and •
are incorporated herein by reference.
B. Estoppel Certificates. The City and the Tenant agree that at any
time and from time to time, upon not less than ten (10) days' prior notice by the other
party, such party will execute, acknowledge and deliver to the other a statement in
recordable form certifying that this Lease is unmodified and in full force and effect (or if
there have been modifications that the same as so modified are in full force and effect
and setting forth such modifications) and the_ date to -which the Rent and other charges
and obligations hereunder have been paid in advance, if any, it being intended that any
such statement delivered pursuant to this Section may be relied upon by any
prospective purchaser, Mortgagee, assignee of any mortgage or assignee of the
respective interests under this Lease, made in accordance with the provisions of this
Lease.
C. Governing Law. The laws of the State of Illinois shall govern the
validity, performance and enforcement of this Lease.
D. Severability. If any provision of this Lease shall be determined 'by a
court of competent jurisdiction to be invalid or unenforceable, the remainder of this
Lease shall not be affected thereby, and each term and provision of this Lease shall be •
valid and enforceable to the fullest extent permitted by law.
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•E. Condition of the Premises. Tenant's occupancy of the Garage after
the Commencement Date shall constitute an acknowledgment by Tenant that, the
Garage was, on the date possession was taken, in good order and satisfactory
condition.
IN WITNESS WHEREOF, the parties hereto have executed this lease this day
and year first above written.
TENANT: AHC EVANSTON LLC
By: AH ;anagement, Inc., Manager
By: - - - --
LANDLORD CITY OF EVANSTON
By: ; <1
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EXHIBIT A .
LOT 5 OF THE CHURCH MAPLE RESUBDIVISION BEING A RESUBDIVISION OF PART OF DEMPSTER'S
SUBDIVISION OF BLOCK 66 OF THE VILLAGE OF EVANSTON, COOK COUNTY, ILLINOIS; PART OF
THE CHICAGO AND NORTHWESTERN RAILROAD RIGHT OF WAY (FORMERLY CHICAGO, MILWAUKEE
AND ST. PAUL RAILROAD RIGHT OF WAY); PART OF BLOCK 18 IN THE VILLAGE OF EVANSTON; ALL
OF BLOCKS 2 AND 3 IN CIRCUIT COURT SUBDIVISION IN PARTITION OF LOT 22 IN THE COUNTY
CLERK'S DIVISION OF UNSUBDIVIDED LANDS; AND PART OF VACATED. CLARK STREET AND EAST
RAILROAD AVENUE; BEING IN THE NORTHWEST QUARTER AND THE SOUTHWEST QUARTER OF
SECTION 18, TOWNSHIP 41 NORTH, RANGE 14 EAST OF THE THIRD PRINCIPAL MERIDIAN, IN THE
CITY OF EVANSTON, COOK COUNTY, ILLINOIS.
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EXHIBIT B
LOT 4 OF THE CHURCH MAPLE RESUBDIVISION BEING A RESUBDIVISION OF PART OF DEMPSTER'S
SUBDIVISION OF BLOCK 66 OF THE VILLAGE OF EVANSTON, COOK COUNTY, ILLINOIS; PART OF
THE CHICAGO AND NORTHWESTERN RAILROAD RIGHT OF WAY (FORMERLY CHICAGO, MILWAUKEE
AND ST. PAUL RAILROAD RIGHT OF WAY); PART OF BLOCK 18 IN THE VILLAGE OF EVANSTON; ALL
OF BLOCKS 2 AND 3 IN CIRCUIT COURT SUBDIVISION IN PARTITION OF LOT 22 IN THE COUNTY
CLERK'S DIVISION OF UNSUBDIVIDED LANDS; AND PART OF VACATED CLARK STREET AND EAST
RAILROAD AVENUE; BEING IN THE NORTHWEST QUARTER AND THE SOUTHWEST QUARTER OF
SECTION 18, TOWNSHIP 41 NORTH, RANGE 14 EAST OF THE THIRD PRINCIPAL MERIDIAN, IN THE
CITY OF EVANSTON, COOK COUNTY, ILLINOIS.
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