AGENDA REPORT
Meeting Date: January 11, 2024
Item Number:
To: Board of Directors, The Parking Authority of the City of Beverly Hills From: Logan Phillippo, Real Property Development Manager Jonathan Gernes, Senior Management Analyst
Subject: APPROVAL OF FOURTH AMENDMENT OF LEASE BY AND
BETWEEN THE PARKING AUTHORITY OF THE CITY OF BEVERLY
HILLS AND ALL TRADE SOLUTIONS, INC. AT 327 NORTH
CRESCENT DRIVE
Attachment: 1. Fourth Amendment of Lease
RECOMMENDATION
Staff recommends The Parking Authority Board of Directors approve the Fourth Amendment of Lease by and between The Parking Authority of the City of Beverly Hills and All Trade Solutions, Inc. (the “Tenant”) for the property located at 327 North Crescent Drive.
INTRODUCTION
The proposed amendment would expand the leased premises to include additional storage space.
DISCUSSION
The City entered into a lease agreement with All Trade Solutions, Inc. at 327 North Crescent Drive in February 1998. The Tenant operates as Tutto Bene, a Mediterranean café and bakery.
The proposed Fourth Amendment of Lease provides the following key terms:
• Expansion Premises: The leased premises shall expand to include additional, non-contiguous storage space effective as of the date of the amendment; • Use: The expansion premises shall be used solely for dry-goods storage; • Expansion Premises Term: The Parking Authority may terminate the Lease as to the Expansion Premises upon 30 days prior written notice, and shall otherwise Meeting Date: January 11, 2024
terminate concurrent with the term of the lease for the remainder of the premises; and
• Base Rent: Base rent shall increase by $350.00 per month beginning as of the effective date of the amendment.
FISCAL IMPACT
The proposed lease amendment expands the leased premises and increases the rent payable by $350.00 per month. In total, $4,087.10 would be collected in additional base rent through the lease expiration date on December 31, 2024.
There are no broker’s commissions associated with this lease amendment.
Ryan Gohlich,
Assistant City Manager
Approved By
Attachment 1
FOURTH AMENDMENT OF LEASE
THIS FOURTH AMENDMENT OF LEASE (this “Fourth Amendment”) is dated as of January 11, 2024, and is entered into by and between THE PARKING AUTHORITY OF THE CiTY OF BEVERLY HILLS (“Landlord”), and ALL TRADE SOLUTIONS, INC., a Wyoming corporation (dba “Tutto Bene”) (“Tenant”).
RECITALS
A. 323 North Crescent Drive, Inc. (“Initial Tenant”) and the City of Beverly Hills (“City”) entered into that certain “City ofBeverly Hills Lease — Site “A” North 333 North Crescent Drive” dated as of February 24, 1998, which was amended by a Memorandum of Lease and Amendment of Lease dated October 7, 2008 recorded on February 4, 2009 as Document No. 20090155193 in the Official Records of Los Angeles County, California and a Second Amendmentof Lease date December 6, 2011 which was recorded on January 18, 2012 as Document No. 20120082360 in such Official Records, and a Third Amendment of Lease dated October 27, 2020 (the “Lease”), for initial premises that were relocated to space (the “Premises”) in the parking structure on that certain land located in the City of Beverly Hills, County of Los Angeles, State ofCalifornia, commonly known as 327 N. Crescent Drive, Beverly Hills, CA 90210 depicted on Exhibit “A” to the Lease.
B. The City has conveyed the Premises to Landlord, and Initial Tenant assigned the Lease to Tenant with the written consent of Landlord in a Consent to Assignment dated September 11, 2012.
C. Capitalized terms used but not defined herein shall have the meaning set forth in the Lease.
D. Tenant and Landlord desire to further amend the Lease as hereinafter set forth.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Tenant and Landlord agree as follows:
1. Addition of Space. As of January 11, 2024 (“Expansion Space Effective Date”), the space described on Exhibit “A” attached hereto (“Expansion Space”) is hereby added to the Premises, and shall be subject to all of the terms ofthe Lease, as modified by this Amendment, except that the monthly Base Rent shall be increased as of the Expansion Space Effective Date by Three-Hundred and Fifty Dollars ($350.00). (Without limiting the foregoing, but for the sake of clarity, the term of the Lease as to the Expansion Space shall terminate or expire, as applicable, concurrently with the termination or expiration of the Lease as to the remainder of the Premises, except that as described below, Landlord may terminate the Lease as to such Expansion Space earlier.)
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Lessee accepts the Expansion Space in its current “AS IS” condition, without representation or warranty, express or implied. Lessee acknowledges that Lessor shall have noobligation to improve or repair the Expansion Space.
Lessor may terminate the Lease as to the Expansion Space (and thereby revoke Lessee’s use of the Expansion Space) at any time upon no less than thirty (30) days’ prior written notice, and upon such termination/revocation, the Base Rent increase described above shall cease (i.e.,Base Rent shall be reduced by the amount of the increase described above).
2. Improvements to Expansion Space. Lessee shall not improve or alter the Expansion Space, or install any fixtures or fencing in the Expansion Space, without the prior written consent of the Executive Director of Landlord.
3. Use of Expansion Space for Storage. The Expansion Space described in Section 1 above may be used for dry-goods storage purposes related to Lessee’s use of the remainder of the Premises (and no other purposes), and shall otherwise be subject to and used in accordance with all of the terms of the Lease (however, in no event may Lessee store or dispose of hazardous materials in the Expansion Space).
4. Conflict. In the event of a conflict or inconsistency between the terms and conditions of the Lease and the terms and conditions of this Fourth Amendment, the terms andconditions of this Fourth Amendment shall prevail and control.
5. Continuing Effect. Except as specifically modified hereby, the Lease shall remain unaffected and unchanged. The Lease is hereby ratified and affirmed by Landlord and Tenant andremains in full force and effect as modified hereby.
6. Counterparts. This Fourth Amendment may be executed in any number of counterparts, each of which, when executed and delivered, shall be deemed to be an original, andall of which, taken together, shall be deemed to be one and the same instrument.
7. Executive Director Authority. The Executive Director of Landlord shall have the authority to execute the Amendment to Memorandum of Lease contemplated by this Fourth Amendment.
8. Amendment of Recorded Memorandum of Lease. Upon its execution and delivery of this Fourth Amendment, Tenant shall concurrently execute and deliver a duly acknowledgedcounterpart of the Amendment to Memorandum of Lease in the form attached hereto as Exhibit ‘‘B.
9. DocuSign. The parties may use DocuSign to execute and deliver this Fourth Amendment, but Tenant must deliver an executed original of the Amendment to Memorandum ofLease to Landlord, duly acknowledged, so that it can be executed and recorded by Landlord.
10. Default. A default by Tenant under this Fourth Amendment shall constitute a default by Tenant under the Lease.
IN WITNESS WHEREOF, the parties hereto have executed this Fourth Amendment as of the date first written above.
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LANDLORD: THE PARKING AUTHORITY OF THE
CITY OF BEVERLY HILLS
By:
Julian A. Go’d, M.D., Chairperson
ATTEST:Huma Ahmed, SecretaryAPPROVED AS TO FORM:Laurence S. Wiener, General CounselAPPROVED AS TO CONTENT:
Nancy Hunt-Coffey, Executive Director
TENANT: ALL TRADE SOLUTIONS, INC.,
a Wyoming corporation (dJa “Tutto Bene”)By:
Jutta ger, President()
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EXHIBIT “A”
DESCRIPTION OF ADDITIONAL/EXPANSION SPACE
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EXHIBIT “B”
FORM OF AMENDMENT TO MEMORANDUM OF LEASE
(Attached.)
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RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:
The Parking Authority of the
City of Beverly HillsOffice of the City Manager
455 North Rexford Drive
Beverly Hills, California 90210
Attn: Secretary
(Space Above Line For Recorder’s Use)
Exempt from Recording Fees under California Government Code 27383.
AMENDMENT TO MEMORANDUM OF LEASE
THIS AMENDMENT TO MEMORANDUM OF LEASE (this “Amendment”) is dated as ofJanuary 11, 2024, and is entered into by and between THE PARKING AUTHORITY OF THE CITY OF BEVERLY HILLS (“Landlord”), and ALL TRADE SOLUTIONS, INC., a Wyomingcorporation (dba “Tutto Bene”) (“Tenant”).
RECITALS
A. 323 North Crescent Drive, Inc. (“Initial Tenant”) and the City of Beverly Hills (“City”) entered into that certain “City of Beverly Hills Lease — Site “A” North 333 North Crescent Drive” dated as of February 24, 1998, which was amended by a Memorandum of Lease andAmendment of Lease dated October 7, 2008 recorded on February 4, 2009 as Document No.20090155193 in the Official Records ofLos Angeles County, California and a Second Amendment of Lease date December 6, 2011 which was recorded on January 18, 2012 as Document No. 20120082360 in such Official Records, and a Third Amendment of Lease dated October 27, 2020 (the “Lease”), for initial premises that were relocated to space (the “Premises”) in the parkingstructure on that certain land located in the City of Beverly Hills, County of Los Angeles, State ofCalifornia, commonly known as 327 N. Crescent Drive, Beverly Hills, CA 90210 depicted on Exhibit “A” to the Lease.
B. The City has conveyed the Premises to Landlord, and Initial Tenant assigned the Lease to Tenant with the written consent of Landlord in a Consent to Assignment dated September 11,2012.
C. Landlord and Tenant have entered into a Fourth Amendment of Lease (“Fourth Lease Amendment”) and consequently, Landlord and Tenant desire to further amend theMemorandum of Lease.
AGREEMENT
NOW, THEREFORE, Landlord and Tenant hereby amend the Memorandum to reflect that the Lease has been amended as set forth in the Fourth Lease Amendment, the terms of which are incorporated herein.iN WITNESS WHEREOF, Landlord and Tenant have executed this Amendment.
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LANDLORD: THE PARKING AUTHORITY OF THE
CITY OF BEVERLY HILLSBy:
Nancy Hunt-Coffey, Executive Director
TENANT: ALL TRADE SOLUTIONS, INC.,
a Wyoming corporation (dba “Tutto Bene”)By:
Jutta Senger, President
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A notary public or other officer
completing this certificate verifies only
the identity of the individual who signedthe document to which this certificate is attached, and not the truthfulness,accuracy, or validity of that document.
State of California )
County of Los Angeles )
On
before me,
(insert name and title of the officer)
Notary Public, personally appeared
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 samein his/her/their authorized 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 certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature______________________________________ (Seal)
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B0785-00012907064v2.doc
A notary public or other officer
completing this certificate verifies only
the identity of the individual who signed
the document to which this certificate isattached, and not the truthfulness, accuracy, or validity of that document.
State of California )
County of Los Angeles )
On
before me,
(insert name and title of the officer)
Notary Public, personally appeared
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 samein his/her/their authorized 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 certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature______________________________________ (Seal)
B-5
B0785-0001\2907064v2.doc