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HomeMy WebLinkAboutRESOLUTIONS-1988-014-R-88U 14-R-88 A RESOLUTION Authorizing the City Manager to Enter into a New Lease Agreement and Building Management Contract with the Evanston Community Development Corporation (ECDC) for the Rental of a Portion of 1817 Church Street WHEREAS, the City Council of the City of Evanston finds that it would be advantageous to and in the best interest of the City of Evanston to renew a lease of a portion of the property owned by the City and located at 1817 Church Street, Evanston, Illinois; and WHEREAS, the City has negotiated to such ends with the Evanston Community Development Corporation; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EVANSTON, COOK COUNTY, ILLINOIS Section 1: The City Manager of the City of Evanston is hereby authorized and directed to negotiate and enter into a new lease agreement and building management contract by and on behalf of the City of Evanston as lessor and the Evanston Community Development Corporation as lessee for the rental of the premises known and described as follows to wit; Approximately 185 square feet located on the first floor, all of the second floor, approximately one thousand seven hundred seventy-five and one-half (1,775.5) square feet in area, and all of the third floor, approximately four hundred fifty-two and one-fourth (452.25) square feet in area, located in the structure on the premises commonly known as 1817 Church Street, Evanston, Illinois. The first floor has one door which opens onto the north side of Church Street right-of-way and two doors and three garage doors which open onto the first east -west alley north of Church Street. Section 2: This Resolution shall be in full force and effect from and after the date of its passage and approval. �c �)L Cc,/Y" �'ayor ATTEST: City Clerk ADOPTED: / c� 1988 29Y60 v LEASE DATE OF LEASE TERM OF LEASE: 1 YEAR Beginning March 1, 1988 Ending February 28, 1989 With Option to Renew (See Paragraph 29) TERM OF RENT: $1.00 total for entire period and leased property management as set forth in Exhibit A LOCATION OF BUILDING AND PREMISES: 1817 Church Street, Evanston, Illinois the "premises" is the property shown in Exhibit A hereto and located near the NE corner of Church Street and Dodge Avenue in Evanston, Illinois. The "Building" is the building located on the premises at the date hereof. PURPOSES FOR USE OF SPACE IN BUILDING: To operate a local community development corporation which provides various support services and economic development assistance to the residents and merchants of the Church/Dodge neighborhood and west side target area. Leased space will be used to conduct administrative operations and meetings and community development programs. Leased space will consist of approximately 185 square feet located on the first floor, 1,775.5 square feet on the second floor, and 452.25 square feet on the third floor. These portions are to be found as shaded areas of the floor plan marked as Exhibit B and attached hereto. LESSEE LESSOR Name: Evanston Community Name: City of Evanston, Illinois Development Corporation a municipal corporation (E CD C) • Address: 1817 Church Street Address: 2100 Ridge Avenue Evanston, Illinois 60201 Evanston, Illinois 60204 In consideration of the mutual covenants and agreements herein stated, Lessor hereby leases to Lessee and Lessee hereby leases from Lessor solely for the above purposes the Building designated above and that portion 6f the Premises on which the Building is situated, together with the appurtenances thereto (collectively the "LEASED PROPERTY"), for the above term, and Lessor grants to Lessee a license for use of the remainder of the Premises during such Lease to rm. 1. To the best of its knowledge, Lessee has examined and knows the condition of the premises, and acknowledges that no representations as' to the condition and repair thereof have been made by Lessor, or his agent, prior to or at the execution of this Lease that are not herein expressed. Lessee has the right and responsibility to keep the interior and exterior premises in good repair (as described in paragraphs 2 and 3) and Loon the termination of this Lease, in any way, will yield up the premises. to Lessor, in good condition and repair, loss by fire and ordinary wear excepted, and will deliver the keys therefore at the place of payment of rent. Lessee will not allow any waste of the water or misuse or neglect the water on the premises and will pay all damages to the premises as well as all other damage to other tenants of the Building, causes by such waste or misuse. 2. The Lessee covenants throughout the term of the Lease, at its sole cost and expense, to maintain and take good care of the demised premises and all fixtures located therein and all the items listed in Category A, attached hereto, and to maintain an keep the same in good order and condition and for the purposes permitted in this Lease and shall, promptly at the Lessee's own cost and expense maintain and make all necessary repairs, interior and exterior, ordinary as well as extraordinary, foreseen as well as unforeseen, as related to the demised premises, to all fixtures located therein and the • items listed in Category A. (p.3) The Lessee shall inform Lessor of all repairs and/or maintenance of the above described items, if the total cost exceeds $500. Lessee shall, at its sole cost and expense, without prior notice to Lessor, be authorized to expend up to and including five hundred dollars ($500) per each individual emergency repair and/or regular maintenance repairs to the 1817 Church Street structure. Any expenditures for repairs to the demised premises and all fixtures therein and items listed under Category A which are estimated in value to exceed said amount ($500) shall be forwarded to the City Building Maintenance Director and/or other firms for review and possible action. No such repair and/or maintenance shall be undertaken by the Lessee without permission in writing first having been obtained from the Lessor. When used in this article the term "repairs" shall include replacements or renewals when necessary, and all such repairs made by the Lessee shall, to the extent feasible, be equal in quality to the original work. If the Lessee does not maintain or make repairs, as required hereunder, promptly and adequately, the Lessor may but need not make such maintenance or repair and pay the cost thereof, and such cost shall be so much additional rent immediately due from, and payable to, the Lessor. The Lessee shall be responsible for any and all damages interior, exterior, structural, non-structural, • foreseen, as well as unforeseen, resulting from its failure to maintain in good order and repair the demised premises, the fixtures located therein and the items listed in Category A. 3. Upon notification by Lessee, Lessor shall repair and/or replace as needed in its sole - discretion, major structural items and all the items listed in Category B. (p.3). Structural repair means non -cosmetic work on foundation, roof, walls, and subflooring necessary to protect the stability of the structure. The Lessee shall repair and/or replace major structural items or the items listed in Category B., if said repair or replacement is due to the negligence of the Lessee or Lessee's agent. In the event the estimated cost to the Lessor for any repair pursuant to the above paragraph is greater than $750, the Evanston City Council shall have the right upon ninety (90) days written to cancel and terminate this lease. CATEGORY A Any and all electrical, plumbing, heating, and structural components not stated in Category B. CATEGORY B Plumbing, 1. Sewer from street to main building 2. All supply and waste pipes Electrical 1. Main services lines 2. Main electrical panel 3. Distribution panel Heating 1. Feed pump 2. Circulating pump 3. Supply return pipes 4. Expansion tanks 5. Radiators 6. Valves 7. Traps Structural 1. Roof 2. Non -cosmetic items pursuant to Paragraph 3 (p.2) 3. Cutters, walkways, tuckpointing, exterior walls, etc. 4. It is the understanding and agreement of the parties that commencing March 1, 1988 this is a net Lease except as to obligations assumed herein by the Lessor and that the Lessee shall have and hereby assumes, except as otherwise expressly provided (paragraph 3), all duties and obligations with elation to the demised premises, the improvements thereon, and the appurtenances thereto, and the use, maintenance, and operation thereof, so that no matter from what source arising, if anything shall become necessary to be done or required by law in, upon, or about the demised premises, the improvements thereon, or the appurtenances thereto, all shall be done and fulfilled at the sole expense and responsibility of the Lessee without any expense, liability, or • obligation whatsoever to or upon the Lessor, so long as said improvements (over the cost of $500) have been approved by the Lessor. 5. Lessee will not permit any alteration and/or addition to any part of the premises, except by written consent of Lessor; all alterations and additions to the premises shall remain for the benefit of Lessor unless otherwise provided in the consent aforesaid. The Lessee shall be responsible for any and all damage, interior, exterior, structural, non-structural, foreseen as well as unforeseen, resulting from any addition, or alteration, undertaken without prior written approval of Lessor. No such alteration or addition shall be undertaken by the Lessee without permission in writing first had and obtained from the Lessor. 6. It is hereby agreed by and between the Lessee and the Lessor that for good and valuable consideration, Lessee will be property manager of the premises and is therefore representative for the Lessor in matters regarding the daily maintenance, upkeep, repair, control and operation of the Building as set forth in Exhibit A. 7. Lessee will 'not allow the premises to be used for any purpose other than that hereinbefore specified, and will not sublet the same or any part thereof, nor assign this Lease, and Lessee will not permit any transfer by operation of lave of the interest in the premises acquired through this Lease, and %will n.ot ,permit the premises to be used for any unlawful purpose or for any purpose that will injure the reputation of the Building or increase the fire hazard of the Building or disturb the tenants or the neighborhood, and will not permit the sarne to rr-nain vacant or unoccupied for more than thirty (30) co7secutive days; -l- and will not allow any signs, cards or placards to be posted, or placed thereon except signs appropriately identifying the Evanston Community Development Corporation and advertising special events conducted by it. All such external signs shall be approved in advance by the Lessor and shall comply with all applicable City Ordinance. 8. Lessee shall maintain all equipment furnished by Lessor and shall replace any said eauipment damaged or destroyed as the result of Lessee's activities and/or negligence 0 to keep Building and its equipment in good repair. 9. Lessee will not permit any mechanic's lien or liens to be placed upon the premises or any building or improvement thereon during the term hereof, and in case of the filing of any such lien Lessee will promptly pay same. If default in payment thereof shall continue for thirty (30) days after written notice thereof from Lessor to the Lessee, the Lessor shall have the right and privilege at Lessor's option of paying the same or any portion thereof without inquiry as to the validity thereof, and any amounts so paid, including expenses and interest, shall be so much additional indebtedness hereunder due from Lessee to Lessor and shall be repair to Lessor immediately on rendition of bill therefore. 10. Lessor shall not be liable for any damage occasioned by failure to keep the Building in repair, nor for any damage done or occasioned by or from plumbing, gas, water, sprinkler, steam or other pipes or sewage or the bursting, leaking or running of any pipes, tank or plumbing fixtures, in above, upon or about the Building, nor for any damage occasioned by water, snow or ice being upon or coming through the roof, skylights, trap door or otherwise, nor for any damages arising from acts or neglect of any owners or occupants of adjacent or continguous property. 11. The Lessee agrees to pay all charges for water, electric and gas service used, rented, or supplied upon or in connection with the premises throughout the term of this Lease, in addition to the costs described in Paragraph 2 herein. Lessee, at his own expense, shall provide garbage and refuse containers, and the containers and location of same must be approved by Lessor. 12. Lessee shall, during the entire term hereof, keep in full force and effect a Comprehensive General Liability policy with expect to the leased premises, and the business operated by the Lessee in the Leased Property, in which bodily injury limits shall not be less than $1 million aggregate per person and per accident, and in which the property damage limits shall not be less than $100,000. The Lessor shall be named as an additional insured in the body of the Certificate of Insurance. 13. Lessee shall also insure the following indemnity provisions, and such agreement shall be clearly recited in the body of the Certificate of Insurance: Lessee covenants and agrees that it will protect and save and keep �. Lessor forever harmless and indemnified against and from any penalty or damages or charges imposed for any violation of the laws or ordinances, or as a rC'sult of accidents or other occurrences, whether occasioned by neglect of Lessor or those holding under Lessee." In the event of any conflict between the language of the insurance policy(s) and the above -recited indemnity provisions, the indemnity provision shall govern. Lessee shall furnish copies of the Certificate of Insurance with the Lessor named as an additional insured with an insurance company acceptable to the Lessor. The Lessee shall furnish, where requested, a certified copy of the policy(s) to the Lessor. The Policy(s) shall provide, in the event the insurance should be changed or cancelled, such gochange or cancellation shall not be effective until thirty (30) days after the Lessor has received written notice from the insurance company(s). An insurance company having less than a B+ Policyholder's Rating by the Alfred M. Best Company will not be considered acceptable. 14. Lessee will allow Lessor free access to the premises for the purpose of examining or exhibiting the same, or to make any needful repairs, or alterations thereof which Lessor may see fit to make and will allow to have placed upon the premises at all times notice for "For Sale" and will not interfere with the same. 15. If Lessee shall abandon or vacate the premises, or if Lessee's right to occupy the premises be terminated by Lessor by reason of lessee's breach of any of the covenants herein, the same may be relet by Lessor for such rent and upon such terms as Lessor may deem fit; and if a sufficient sum shall not thus be realized monthly (or quarterly), after paying the expenses of such reletting and collecting to satisfy the rent hereby .reserved, Lessee agrees to satisfy and pay all deficiency monthly during the remaining period of this Lease. 16. Lessee will, at the termination of Lease by lapse of time or otherwise, yield up • immediate possession to Lessor, and failing to do so, will pay as liquidation damages, for the whole time such possession is withheld, the sum of one hundred dollars ($100) per day; but the provisions of this clause shall not be held as a waiver by Lessor of any right of re-entry as hereinafter set forth; nor shall the receipt of said rent or any part thereof, or any other act in apparent affirmation of tenancy, operate as a waiver of the right to forfeit this Lease and the term hereby granted for the, period still unexpired, for a breach of any of the covenants herein. 17. If default be made in the payment of the above rent, or any part thereof, or in any of The covenants herein contained to be kept by the Lessee, it shall be lawful for Lessor at any time thereafter at its election, with written thirty (30) days notice to declare said term ended, and to re-enter the premises, or any part thereof, with or without process of law, and to remove Lessee, or any persons occupying the same, without prejudice to any remedies which might otherwise be used for arrears of rent, and Lessor shall have at all times the right to distrian for rent due, and shall have a valid and first lien upon all personal property which Lessee now owns, or may hereafter acquire, or have an interest in, whether exempt by lam- or not, as security for payment c: the rent herein reserved. -5- I & There shall not be allowed, kept, or used on the premises any inflammable or explosive - liquids or materials save such as may be necessary for use in the activities of the Lessee, and in such case, any such substances shall be delivered and stored in amount, unused, in accordance with rules of the applicable Board of Underwriters and statutes and ordinances now or hereafter in force. 19. Lessee shall take all necessary steps on a continuing basis to prevent any loitering, • which may be caused by Lessee's activities, outside the premises and any activities which would interfere with the peaceful enjoyment of their premises by residents and/or businesses of the area. 20. As the purchase and subsequent rehabilitation of this structure at 1817 Church Street for reuse as a neighborhood center is an eligible activity and element of the City of Evanston Community Development Block Grant (CDBG) Program, authorized by Title I of the Housing and Community Development Act of 1974, Lessee agrees to comply with Title VI of the Civil rights Act of 1967 and the regulations of 24 CFR Part I, which provides that no person in the United States shall on the basis of race, color, or national origin be excluded from participating in, be denied the benefit of, or be otherwise subject to discrimination under any program of activity for which federal assistance has been extended. 21. In case the premises shall be rendered untenantable by fire, or other casualty Lessor may, at its option, terminate this Lease, or repair the premises within one hundred twenty (120) days, and failing so to do, or upon the destruction of said premises by fire or other casualty, the term hereby created shall cease. . 22. Lessee will pay and discharge all reasonable costs, attorney's fees and expenses that may be incurred by Lessor in enforcing the covenants and agreements of this Lease, arising from Lessee's failure to perform any of its obligations hereunder, and Lessor will pay and discharge anyosuch costs incurred by Lessee for failure of Lessor to perform its obligations hereunder, and this Lease and all covenants and agreements herein contained shall be binding upon, apply, and inure to their respective heirs, executors, successors, administrators, and assigns of all parties to this Lease. 23. Ninety (90) days prior to the termination of this Lease, Lessee shall provide written notice to the Lessor of its intention to negotiate a new Lease. In the event that the Lessor, its successors, attorneys or assigns shall desire to regain the possession of the premise's herein described for any reason, Lessor shall have the option of so doing. upon giving the Lessee sixty (60) days notice of Lessor's election to exercise such option. ' 24. If the Board of Directors of Lessee shall at any time elect to discontinue the operation of its agency or materially decrease the size thereof, then Lessee may terminate this Lease upon at least ninety (90) days notice. 25. Lessor hereby grants Lessee, Lessee's employees, licensees and invitees, a license to use the premises (other than the Leased Property) during the term of this Lease in a manner incidental to the use of the Building, including the paths, wal.kways and sidewalks for access to the Building. Lessee agrees to meet with the Lessor at least semi-annually to determine the usage of the Building. In the event the Lessor and Lessee cannot agree on said usage, the determination of the Lessor shall be final. Lessee and Lessor shall establsih additonal procedures necessary for the efficient management of said building as Lessor shall require. 26. Lessee's liability hereunder shall be enforceable only against Lessee's assets and not against its officers, directors, employees or members. • 27. Wherever in this Lease Lessor's consent or approval is required on any matter such consent or approval shall be granted or denied on a reasonable basis and with reasonable promptness in writing in response -io a written request. 28. Be it agreed that all mutual covenants of this Lease Agreement herein stated supersede any or all previous Building agreements made between the Lessor and Lessee. 29. Lessee has the option to re -lease subject premises for an additional one (1) year term commencing on March 1, 1988 and terminating on February 28, 1989. The rental for each lease term shall be on dollar ($1). Lessee shall provide Lessor one hundred twenty (120) days notice of its intent to exercise the aforesaid option. This option shall automatically be declared null and void and shall have no further effect whatsoever if not exercised as set forth herein. Further, this option is contingent upon Lessee maintaining full compliance of the Lease terms. IN WITNESS THEREOF this Lease had been executed on the date indicated below. LESSOR: CITY OF EVANSTON LESSEE: EVANSTON • DEVELOPMENT CORPORATION BY: _ BY: TITLE TITLE: DATE: 115Y1/7 11 COMMUNITY ma`s' HiVAMAXAMT/51, nt- --fir. _:-'` ° '�`• n3 ^ -DG?�;� .. .. __ - APPENDIX A THE FOLLOWING LIST CONSTITUTES THE NORMAL MAINTENANCE EXPENSES TO BE INCURRED AND EXPENDED BY THE EVANSTON COMMUNITY DEVELOPMENT CORPORATION FOR SAID PREMISES AT 017 CHURCH STREET, EVANSTON, ILLINOIS. 1. Commonwealth Edison Account # A006-EA-1135-A 2. City of Evanston Water Service 3. Northern Illinois Gas Account #1300121637 4. Active Service Company Evanston, Illinois 5. City of Evanston Building Maintenance Department • EXHIBIT A BUILDING MANAGEMENT CONTRACT FOR PROPERTY LOCATED AT 1817 CHURCH STREET EVANSTON, ILLINOIS It is hereby agreed by and between the City of Evanston (hereinafter EVANSTON) and the Evanston Community Development Corporation (hereinafter ECDC) that for good and valuable .consideration ECDC will be property manager of the premises located at 1817 Church Street, Evanston, Illinois. The parties hereto mutually covenant and agree for good and valuable consideration upon the following terms and conditions: 1. ECDC shall be the property manager of the premises located at 1817 Church Street and is therefore the representative for the City of Evanston in matters regarding the daily maintenance, upkeep, repair, control and operation of said building (specifically outlined in Lease). 2. ECDC shall assure that the building is locked and secured at all exists and windows whenever the building is not officially open and shall notify EVANSTON whenever there is damage to any lock, door and/or window. 3. ECDC shall assure that both the building and grounds are free from litter and debris, and are kept in a clean and attractive condition, appropriate for a community center open to the public and maintained as a civic service. 4. ECDC as the property management agent shall be responsible for the financial management of said property and shall maintain the necessary journals, log receipts, vouchers for payments, as well as a separate building account to be used only for its activities, receipts, payments and deposits under thi3 agreement at designated Evanston financial institutions. ECDC shall be authorized to pay those expenditures deemed normal maintenance as outlined in APPENDIX A which is attached to this contract and incorporated herein, and those determined to be an emergency. • 5. ECDC shall collect the rents from all tenants on the first weekday of each month, shall deposit said sums in a mutually agreed upon account, shall issue receipts, shall notify EVANSTON that said sums were deposited and shall maintain records of the sum collected and transmitted, \7,•hich shall become part of the quarterly summary of activities and which shall be submitted to and reviewed by the Community Development staff. 6. ECDC shall also secure from all tenants a quarterly activity and service report which summarizes .each tenant's activities for said period, and shall submit said summaries as part of a quarterly report to be submitted to and reviewed by the Community Development Staff. 7. ECDC shall obtain bids and select a janitorial service, subject to review and approval of its recommendation by EVANSTON, ECDC shall be a party to the contract and shall oversee the performance of said services, assure that the janitorial services are performed as contracted, and shall notify EVANSTON of any failure in performance of contracted -for -services. 8. ECDC shall not assume, incur nor obligate the City or the property for expenditures over the available assets and shall maintain accurate records of all expenditures, which shall be available for review on demand by the Community Development staff. 9. ECDC shall take all reasonable steps to assure that tenants and public clientele, in their activities in and about the premises, do not disturb the peace or otherwise constitute a nuisance to the immediate community. 10. ECDC shall be responsible for determining the need for emergency and on -going repairs and shall promptly correct said conditions and notify EVANSTON of said activity in the next quarterly report submitted to the Community Development staff. . 11. This contract shall be for a term of twelve 0 2) months effective March 1, 1988. 12. Upon one (1) month written notice, (which explains reasons for said actions) this contract may be terminated by either party. 13. ECDC and EVANSTON shall establish additional procedures necessary for the efficient management of said building as EVANSTON shall require. 14. ECDC shall review semi-annually the structural condition of the building and recommend the appropriate actions to the Community Development staff for review. 15. ECDC shall allow the records and all appropriate receipts, journals, financial statements to be audited once a year by the appropriate authorized personnel.. m CITY OF EVANSTON EVANSTON COMMUNITY DEVELOPMENT CORPORATION m Joel M. Asprooth, City Manager BY • ATTEST ATTEST: 115Y8/9