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HomeMy WebLinkAboutRF Properties, LLC - Lease Warehouse Space for Police Vehicles LEASE THIS LEASE is made this 9th day of October, 2013, by and between and RF PROPERTIES, LLC, a Washington limited liability company, hereinafter referred to as "LESSOR," and the CITY OF YAKIMA, a municipal corporation of the State of Washington, hereinafter referred to as "TENANT," on the following terms and conditions: 1. Parties. The parties are as follows: A. Lessor: RF Properties, LLC is a limited liability company duly formed and existing under the laws of the State of Washington, with offices at Roche Fruit, Ltd., 601 North 1 Avenue, Yakima, Washington 98902. B. Tenant: City of Yakima, a municipal corporation of the State of Washington, with City Hall located at 129 North 2 Street, Yakima, Washington 98901. The Yakima Police Department is a department of the city. C. Purpose of Lease. TENANT, on behalf of the Yakima Police Department, has acquired new police vehicles. Such vehicles must be outfitted with police vehicle equipment such as light bars, on -board systems and similar equipment. TENANT will receive shipment of police vehicles, and needs a suitable facility in which to store such vehicles and install the additional equipment. LESSOR owns warehouse facilities located at 315 North 3rd Avenue (North 3rd Avenue/West D Street), and has warehouse space suitable for storage of TENANT's police vehicles described above, together with installation of such equipment. TENANT and LESSOR understand that the warehouse facilities referenced above and described below are currently listed for sale and /or lease through LESSOR's realtor. The parties have determined that the property described in Section 2 below is sufficient to provide a suitable staging and storage area for storage of the new police vehicles, and installation of police equipment within such vehicles. 2. Property Leased. LESSOR hereby leases to TENANT space within LESSOR's warehouse facilities upon the following described real property owned by Printing Press Properties, LLC, within the City of Yakima, Washington, with street address of 315 North 3 Avenue, Yakima, Washington, legally described as follows: Lots 9, 10 and 11 of Charlton Addition Plat, Section 24, Township 13 North, Range 18 E.W.M; ALSO, Beginning 123 feet Easterly on the North line of said Lot 9 Yakima, thence Westerly 123 feet, thence Southerly to the Southwest 1 corner of Lot 16, thence Easterly to the Southeast corner, thence Northerly along the East line 160 feet, thence Westerly at right angle 17 feet, thence Northerly to Point of Beginning. Situate in Yakima County, State of Washington Yakima County Assessor's Parcel No. 181324 -11440 The parties will mutually designate space within such warehouse facilities to stage, equip and store the police vehicles. Such designated space shall hereafter be referred to as the "Leased Premises." 3. Term. The term of this Lease shall commence October 9, 2013 and continue month to month thereafter through April 1, 2014, unless earlier terminated pursuant to Section 5 below. 4. Rent. LESSOR and TENANT agree that no rental shall be charged by LESSOR or payable by TENANT during the term of this Lease, and that the parties otherwise each receive benefit and valuable consideration pursuant to this Lease. 5. Termination of Lease. This Lease may be terminated at any time by either party upon delivery of thirty (30) days advance written notice of termination to the other party. It is the intention and understanding of the parties that the term of this Lease shall correspond to the term of work necessary to equip the new police vehicles as described above. Upon conclusion of the police vehicle upgrades and installation of equipment, this Lease shall terminate on a date agreed by the parties, which date shall be determined sufficient to allow TENANT to remove all its equipment, business fixtures and property from the Leased Premises, shall restore such premises to its original condition (normal wear and tear excepted), and shall return all keys and premises alarm codes to LESSOR. 6. Use of Premises. The Leased Premises shall be used by TENANT for the purpose of storing newly acquired police vehicles pending installation of police vehicle equipment; for installation of such equipment and vehicle upgrades to enable such vehicles to be introduced into the Yakima Police Department's vehicle fleet for use in law enforcement activities; and for storage of TENANT "s equipment and parts, associated assembly and distribution, staging of TENANT "s employees and vehicles, and other purposes related to TENANT "s performance of such vehicle storage and installation of police vehicle equipment. The storage of flammable materials is prohibited, except for fuel contained within the police vehicle gasoline tanks and 2 incidental flammable materials necessary for the efficient performance of TENANT "S work installation work. Any such flammable materials shall be stored in a manner compliant with applicable provisions of building and fire codes. TENANT shall also have right of ingress and egress during the term of this Lease to the Leased Premises along and upon access routes to and from the Leased Premises to Longfibre Road. 7. Insurance. TENANT shall, during the entire term of the Lease, maintain in full force and effect a policy or policies of public liability or property damage insurance with respect to the leased premises, sidewalks and business operated by TENANT and any subtenant of TENANT in the leased premises. The limits of said policy shall not be less than $1,000,000.00 per occurrence and $2,000,000.00 aggregate as respects public liability, and property damage liability shall not be less than $100,000.00. The Policy shall name the LESSOR, together with its agents and employees, as an additional named insured, and shall contain a clause that the insurer will not cancel or change the insurance without first giving LESSOR twenty (20) days prior written notice. The insurance shall be issued by a responsible insurance company or companies chosen by TENANT, and shall be licensed to do business in the State of Washington. It is understood between the parties that the procurement of customary fire /property insurance on the structure and improvements is the sole responsibility of LESSOR. 8. Operating Expenses — Utilities. TENANT shall reimburse LESSOR for costs of water, sewer and power arising from and attributed to TENANT's use and occupation of the Lease Premises. It is the intention of the parties and they hereby agree that this obligation to reimburse shall be limited to costs incurred by LESSOR for provision of such utility services that are directly attributed to TENANT's use and occupation of the Leased Premises. The parties shall cooperate to individually meter TENANT's utility usage if deemed practicable and appropriate. If such individual metering is not practicable or appropriate, the portion of such utility bills that exceeds the normal amount of utility costs for the Leased Premises, for a comparable period during which the premises were unused or unoccupied, shall be presumed to be the amount of reimbursement to be paid by TENANT, subject to proration as necessary or appropriate to correspond to the actual square footage of the Lease Premises as compared to the square footage of LESSOR's entire warehouse facility. LESSOR shall timely provide TENANT with copies of all applicable utility bills and shall denote the requested amount of reimbursement. LESSOR shall provide supporting documentation deemed necessary or appropriate by TENANT to support such request. TENANT shall thereafter process payment of reimbursement in accordance with its invoice payment procedures. 9. Care of Property. TENANT agrees that it has inspected the premises and knows the condition thereof, and the same are now in good condition, and it agrees and warrants that it will at all times keep the same in as good, clean, and satisfactory condition as the premises are now in, or the condition to which they may be improved, 3 and upon termination of this Lease, it will return the same to LESSOR in as good a condition as the same are now in, or the condition to which they may be improved, less reasonable wear and tear thereof by ordinary use. TENANT further warrants and agrees that it will not commit any waste on said premises nor damage same, nor permit waste or damage by others. It is recognized that TENANT may make certain improvements to the property, with prior written approval of LESSOR, and any such improvements made to the leased property shall remain thereon, and LESSOR shall own all such improvements upon the termination or other expiration of this Lease. 10. Assignment — Subletting. TENANT shall have the right to assign or sublease the Leased Premises but only after receiving the LESSOR'S prior written consent. In the event that TENANT assigns or subleases the Leased Premises pursuant to this section, TENANT shall remain primarily liable for performance of the covenants contained in this Lease. 11. Inspection. LESSOR shall have the right, at all times, to enter upon the Leased Premises at reasonable times for the purposes of inspecting the Leased Premises. TENANT hereby grants to the LESSOR an irrevocable license and right of access, by LESSOR's agents and employees, through, over, and across the Leased Premises for such purposes. 12. Forfeiture. Time is of the essence of this Lease. In the event TENANT fails to pay any installment of utility reimbursement or fails to comply with any other covenant, term or condition of this Lease, the LESSOR may, in addition to any other remedy authorized by law, forfeit this Lease; PROVIDED, however, the LESSOR shall give the TENANT written notice specifying the breach claimed and give the TENANT: (i) Three (3) days to remedy the breach if it involves failure to pay any installment of utility reimbursement or portion thereof, or vacate the property; or (ii) Three (3) days to quit the property if the breach involves the committing or permitting of waste upon the property, setting up or carrying on any unlawful business on the property, or erecting, suffering, permitting or maintaining any nuisance on the property; or (iii) Ten (10) days to remedy the breach if it involves failure or neglect of TENANT to keep or perform any other covenant, term or condition of the Lease. 13. Indemnification of Lessor. TENANT shall protect, defend, indemnify, and hold LESSOR harmless from and against any and all claims, demands, damages, losses, liens, liabilities, penalties, fines, lawsuits, and other proceedings and costs and expenses (including attorneys' fees and disbursements), which accrue to or are incurred by LESSOR and arise directly or indirectly from or out of, related to, or in any way connected with (1) any activities on the Leased Premises during TENANT's possession or use of the property which directly or indirectly result in the property or any other property becoming contaminated with hazardous substances or wastes, (2) the 4 presence, discovery, or cleanup of any hazardous substances released or existing on or under the leased property at any time during the TENANT's possession or use of the property, and (3) any third -party claims resulting from TENANT's use or occupancy of the Leased Premises, or any acts or omissions of TENANT in connection therewith. When used in this Lease, the term "hazardous substance" shall be defined to mean any substance or material defined or designated as hazardous or toxic waste, hazardous or toxic material, a hazardous, toxic or radioactive substance, or other similar term, by the federal, state, or local environmental statute, regulation, or ordinance presently in effect or that may be promulgated in the future, as such statutes, regulations, and ordinances may be amended from time to time, including but not limited to, the federal Resource Conservation Recovery Act of 1976, 42 U.S.C. Section 6901 et seq., the Federal Comprehensive Environmental Response, Compensation, and Liability Act of 1980, 42 U.S.C. Section 9601 et seq., the Federal Toxics Substances Control Act, 15 U.S.C. Section 2601 et seq., the Washington Solid Waste Management- Recover and Recycling Act, Chapter 70.95 RCW, and the Washington Model Toxics Control Act, Chapter 70.105D RCW. 14. Effect. This Lease, and all the terms, conditions and covenants thereof, shall inure to the benefit of LESSOR, its successors and assigns, and shall run and be binding upon TENANT, its successors and assigns. 15. Interpretation. The paragraph headings used herein are for identification purposes only, and shall not be construed as modifying or limiting the actual language and content of the paragraphs or sections themselves. 16. Attorney Fees — Venue. In the event of any litigation arising out of this Lease, the prevailing party shall be entitled to a reasonable attorney fee, and venue for any claim shall lie in Yakima County, Washington. 17. Operational Contact Person. For purposes of day -to -day operations and communication regarding the TENANT's use and occupation of the Leased Premises, TENANT shall designate an Operational Contact Person. This person shall retain control of all keys and alarm codes for the Leased Premises. At the initiation of this Lease, TENANT designates the following person as Operational Contact Person: Jim Yates, YPD Canine Officer Address: City of Yakima Police Department 200 South 3 Street Yakima, Washington 98901 Phone: (509) 575 -6200 FAX: (509) 575 -6007 18. Official Notices. All notices to be given by the parties are to be in writing and may be either served personally or may be deposited in the United States Mail, postage 5 prepaid, either registered or certified mail, with certificate of mailing obtained, and shall be given to the last known address of the party to whom the notice is addressed. The effective date of the giving of the notice, or the day from which any time period shall run, shall be the day notice is deposited in the United States Mail, or the date notice is personally served. The parties have designated the following persons as persons entitled to receive notice hereunder: For TENANT: For LESSOR: City Manager ,Michael Roche, Manager City of Yakima RF properties, LLC 129 North 2 Street 601 North 1 Avenue Yakima, Washington 98901 Yakima, Washington 98902 19. Entire Agreement. This lease agreement constitutes the entire agreement of the parties regarding the Leased Premises and the parties' rights and obligations pertaining to the lease of such premises. This lease agreement shall not be modified or amended except in writing signed by both parties. 20. Effective Date — Date of Occupancy. This Lease shall be effective on the date first referenced above, and TENANT shall be entitled to occupy the premises commencing (0 ` , 2013. TENANT — CITY OF YAKIMA LESSOR — RF PROPERTIES, LLC O B r/ By: / 11- ' 7L1 -- L. • '4'Rol , Thy Manager Michael Roche, Manager ATTEST: 1 1' 4 C • Sonya Claa Tee It % • . ,\D CITY CONTRACT NO. RESOLUTION NO: 6 ATTESTATION STATE OF WASHINGTON ) ) ss. County of Yakima ) This is to certify that on this day personally appeared before me Michael Roche, personally known to me to be the authorized manager of RF PROPERTIES, LLC, who executed the within and foregoing instrument, and acknowledged that he signed the same as his free and voluntary act and deed for the uses and purposes therein mentioned. GIVEN UNDER my hand and official seal this y day of jf;,— , 2013. NOTARY P in Arid for the State of (AAA, Residing My commission expires: - -I STATE OF WASHINGTON ) ) ss. County of Yakima ) This is to certify that on this day personally appeared before me TONY O'ROURKE, personally known to me to be the City Manager of the CITY OF YAKIMA, who executed the within and foregoing instrument, and acknowledged that he signed the same as his free and voluntary act and deed for the uses and purposes therein mentioned. ha nd and official seal this day my % GIVEN UNDER m da of 4/10 , 2013. `0 �t�i1iirv iii ■ �` ..... L T y c o 9 : M ch 0,4,' = the State of Washington, for • d POL�C %�o`� Residing at /r}5 /( � "" � SY yyrris- /, /-11/1111%%1‘` ,wH AS■,.\` My commission exp OM 7 • .. r " - FIRST AMENDMENT TO LEASE This is the FIRST AMENDMENT to the LEASE that was effective on the 9th day of October, 2013, by and between and RF PROPERTIES, LLC, a Washington limited liability company, hereinafter referred to as "LESSOR," and the CITY OF YAKIMA, a municipal corporation of the State of Washington, hereinafter referred to as "TENANT ". WITNESSETH: WHEREAS, the parties hereto executed the Lease on October 9, 2013 on a month to month term that was to end on April 1, 2014; and WHEREAS, the parties now find that they wish to continue the lease relationship in effect on a month to month basis that would apply retroactively from April 1, 2014 through December 31, 2014; and WHEREAS, all other terms and conditions of the underlying Lease shall continue in full force and effect during the Term of the retroactively extended Lease; NOW, THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the parties agree that Section 3 of the Lease is retroactively amended as follows: 3. Term. The term of this Lease shall commence October 9, 2013 and continue month to month thereafter through December 31, 2014, unless earlier terminated pursuant to Section 5 below. All other terms and conditions set forth in the underling Lease shall remain in full force and effect throughout the term of this FIRST AMENDMENT TO LEASE. TENANT — CITY OF Y LESSOR — RF PROPERTIES, LLC B .I A By: ony 0' ke, City Manager Michael Roche, Manager ATTEST: qq 0,1 Mq 11 CITY CONTRAC r NO: - 3-16 I ...... RESOLUTION NO: / //� 'a 311 Tee City Clerk i I ` ~E % 1 'S1-111,16 ATTESTATION STATE OF WASHINGTON ) ss. County of Yakima ) This is to certify that on this day personally appeared before me Michael Roche, personally known to me to be the authorized manager of RF PROPERTIES, LLC, who executed the within and foregoing instrument, and acknowledged that he signed the same as his free and voluntary act and deed for the uses and purposes therein mentioned. rrl Z.014 GIVEN UNDER my hand and official seal this 3 day of J k , 2013. ootioistroo,_ tvtatio 4 / 14 � 'r•A'S NOTARY PUBLIC in and for .t the State of (,)ks � 1 k = Residing at yak,' 1J /1 WOW �.� My commission expires: t o -i6 -Leo . 0 Wfik4t. i irsts 110 STATE OF WASHINGTON ) ss. County of Yakima ) This is to certify that on this day personally appeared before me TONY O'ROURKE, personally known to me to be the City Manager of the CITY OF YAKIMA, who executed the within and foregoing instrument, and acknowledged that he signed the same as his free and voluntary act and deed for the uses and purposes therein mentioned. GIVEN UNDER my hand and official seal this 30 - day of TA Az- , 2013 aip/Le 4 KAARRE ALLYN NOTA Y PUBLIC in and for Notary Public the State of Washington, 6 State of Washington Residing at d // fir My Commission Expires ipqrawirigpmempqrly April 11, 2016 My commission pires: SO •