AGENDA REPORT
Meeting Date: March 4, 2025
Item Number:
To: Honorable Mayor and City Council
From: Logan Phillippo, Real Property Development Manager Jonathan Gernes, Senior Management Analyst
Subject: APPROVAL OF SECOND AMENDMENT OF LEASE BY AND
BETWEEN THE CITY OF BEVERLY HILLS AND UMRO REALTY
CORP. DBA THE AGENCY AT 331 FOOTHILL ROAD, SUITES 100
AND 150; AND
BROKER LEASING COMMISSION AGREEMENT BY AND
BETWEEN THE CITY OF BEVERLY HILLS AND CBRE, INC. FOR
LEASING OF 331 FOOTHILL ROAD; AND
AN APPROPRIATION FROM THE GENERAL FUND OF $153,956.72
Attachment: 1. Second Amendment of Lease
2. Broker Leasing Commission Agreement
RECOMMENDATION
Staff recommends City Council approve the Second Amendment of Lease by and with UMRO Realty Corp. DBA The Agency (the “Tenant”) for the property located at 331 Foothill Road, Suites 100 and 150, and the Broker Leasing Commission Agreement with CBRE, Inc. for leasing of 331 Foothill Road. Staff also recommends that the City Council approve a one-time appropriation from the General Fund of $153,956.72.
INTRODUCTION
The proposed amendment would (i) extend the term of the lease by five years and five months, (ii) provide the Tenant the right to sublease Suite 150 to Closed Escrow Inc. upon the City Manager’s approval of the form of Sublease, and (iii) modify certain monthly parking provisions regarding monthly parking for the parking structure at 9333 W. Third Street to align with the Tenant’s usage patterns.
[Continued to next page}
Meeting Date: March 4, 2025
DISCUSSION
The City entered into a lease agreement with UMRO Realty Corp. DBA The Agency at 331 Foothill Road in September 2012. The Tenant operates as The Agency, a luxury real estate brokerage.
The proposed Second Amendment of Lease provides the following key terms:
• Extension of the Term: The lease shall expire August 18, 2030, subject to being adjusted to coincide with the date that is five years and five months from the sooner of completion of Suite 150 improvement work and September 3, 2025; • Renewal Option: Tenant may further extend the term of the Lease by five-years subject to monthly base rent being adjusted to the then-current fair market rent; • Base Rent: The monthly base rent for Suite 100 shall begin at $48,802.92 and the monthly base rent for Suite 150 shall begin at $11,508.49, each subject to 3.5% annual increases beginning April 1, 2026;
• Base Rent Abatement: The monthly base rent for Suite 100 shall be abated for approximately five months and the monthly base rent for Suite 150 shall be abated up to eleven months subject to sooner completion of the Suite 150 improvement work;
• Right to Sublease Suite 150: Tenant shall have the right to sublease Suite 150 to Closed Escrow Inc., which shall be subject to final approval by the City Manager.
The City Attorney’s Office and staff have already reviewed the sublease, but it is not final as of printing this agenda packet. The sublease will not release the primary Tenant from any of its obligations; and
• Monthly Parking Passes: Tenant shall have the right to purchase up to 36 monthly unreserved parking passes for the parking structure at 9333 W Third Street, and if Tenant purchases all 36 passes, then Tenant shall receive 20 additional parking passes at no charge, however only 36 parking spaces may be used at any one time. For office Tenant’s leasing City property, the City typically allows a tenant to purchase up to 3 monthly parking cards per 1,000 rentable square feet of space and the prevailing parking structure rate, which in this case results in 36 parking spaces. Because of the nature of Tenant’s business, agents are often in and out of the office throughout the day and not necessarily occupying space in the structure. This arrangement allows the Tenant more flexibility in utilizing monthly parking cards while still being subject to a maximum of 36 employees or agents entering at given time. The 37th employee or agent would be denied entry with the monthly parking card and would instead need to pull an hourly/transit ticket.
FISCAL IMPACT
The proposed lease amendment extends the term of the lease through August 18, 2030.
In total, $3,848,918.12 would be collected in base rent over the five-year and five-month extension.
In association with the approval of the Second Amendment of Lease, a broker commission would be payable to the Tenant’s broker, CBRE, Inc. Per the Broker Leasing Commission Agreement, the City would pay CBRE, Inc. a total commission of $153,956.72. The commission would be paid in two installments of $76,978.36, with the first installment due upon lease execution and the second installment due September 1, 2025 (with the appropriated funds carried over into next fiscal year).
Meeting Date: March 4, 2025
The City as property owner was represented by staff in the negotiation; the City did not contract with a Landlord broker. It is standard practice in commercial real estate for the property owner to directly pay all broker commissions associated with the lease of the property and this was a negotiated term of the transaction. To the greatest extent possible, the City avoids paying commissions on renewals and as such the commission payment was not included in the current fiscal year budget. This lease renewal was anticipated to be negotiated principal-to-principal and to not include any broker services, and as such, a broker commission for this lease renewal was not included in the FY2024-25 budget. An appropriation of $153,956.72 would be required if approved.
On June 18, 2024, the City Council approved the Fiscal Year 2024-25 Capital and Operating Budgets, which indicated potential financial challenges on the horizon, including forecasted deficits within the next five years. The forecasted General Fund operating deficit of $2.0 million was projected before one-time public benefit contributions of $12.5 million. The chart below displays the adjusted forecasted General Fund results for Fiscal Year 2024-25, incorporating both approved and proposed mid-year appropriations.
Jeff S. Muir
Director of Finance
Ryan Gohlich,
Assistant City Manager
Approved By Approved By
$ (1,998,905)
Council-Approved Utilization of One-Time Public Benefit Contributions (6/18/24 Item G-2) 2,000,000 Fiscal Year 2024-25 Adopted Balanced Budget[1] $ 1,095
Less Approved and Proposed Mid-Year Appropriations as of 12/10/2024 (1,252,693) $ (1,251,598)
Date Agenda Item Council Mid-Year
Appropriations
8/20/2024 Flag Reinstallation $ 74,708
11/19/2024 Approval of Salary Schedule and Associated Appropriation 306,150 11/19/2024 Flag Display Against Antisemitism 28,156
12/10/2024 Banner and Signage Fabrication - Metro Reimbursable 451,000 12/10/2024 Public Safety Vehicle Purchase (General Fund portion) 18,000 3/4/2025 Brokerage Commission for 331 Foothill Road (Pending) 153,957 3/4/2025 Ambassador Program extension (General Fund portion - Pending) 220,722 $ 1,252,693
General Fund Summary
Fiscal Year 2024-25 Projected Deficit before One-Time Public Benefit Contributions Net Impact on General Fund Unassigned Reserves or Additional Use of One-Time Public Benefit Contributions
Fiscal Year 2024-25 Mid-Year Appropriations Approved by Council [1] Excludes $10.5 million in anticipated one-time public benefit contributions to be considered for earmark towards Committed Fund Balance.
Attachment 1
B0785-0001\3067877v2.doc
SECOND AMENDMENT OF LEASE
THIS SECOND AMENDMENT OF LEASE (this “Amendment”) is dated as of March 4, 2025 (the “Effective Date”), and is entered into by and between the CITY OF BEVERLY HILLS (“Landlord”), and UMRO REALTY CORP., a California corporation (dba “The Agency”) (“Tenant”).
R E C I T A L S
A. Landlord and Tenant entered into that certain Office Lease dated September 11, 2012, and amended it by an Amendment of Lease dated September 12, 2022 (the “Lease”), pursuant to which Landlord agreed to lease and demise to Tenant, and Tenant agreed to lease and accept from Landlord, a portion of the first floor of the building at 331 Foothill Road (the “Building”) in the City of Beverly Hills, County of Los Angeles, State of California, comprising 9,588 rentable square feet, designated as Suite 100 (“Suite 100”) and 2,261 rentable square feet, designated as Suite 150 (“Suite 150”), as more particularly described in the Lease (Suite 100 and Suite 150 collectively are the “Premises”).
B. Landlord and Tenant entered into a Memorandum of Lease dated September 11, 2012, which was recorded on September 28, 2012, as Document No. 20121467411 in the Official Records of Los Angeles County, California, but did not amend such recorded Memorandum in connection with the First Amendment of Lease.
C. Landlord and Tenant desire to further amend the Lease.
A G R E E M E N T
NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Landlord and Tenant agree as follows:
1. Extension of Term. The term of the Lease is hereby extended by five (5) years and five (5) months from March 19, 2025, to August 18, 2030, subject to the following adjustment:
a. Suite 150 Adjustment: If Closed Escrow Inc. (“CEI”), as the subtenant, or Tenant (as the case may be) commences the Suite 150 Work (defined below) and such work is not completed by March 19, 2025, the term shall be adjusted to coincide with the date that is five (5) years and five (5) months from the earlier of (i) the date the Suite 150 Work is completed or (ii) six (6) months from the Effective Date (the date of romanette (i) or (ii) is the “Suite 150 Occupancy Date”).
2. Extension Option, and Fixed Monthly Rent for Additional Extension Term. Tenant may further extend the term by an additional five (5) years (i.e., to August 18, 2035) by written notice to Landlord given at least nine (9) months prior to the end of the then-current term (i.e., by November 18, 2029), and the monthly fixed rent during such additional extension term shall be the “Fair Market Rent” as defined in and determined in accordance with Section 10 of the Amendment of Lease. Landlord approves of any sublease amendment that solely extends the sublease term to Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
be coterminous with the Lease, provided a copy of the amendment is delivered to Landlord in advance.
3. Monthly Rent During Initial Extension; Abatement. Monthly fixed rent for each of Suite 100 and Suite 150 shall be abated in accordance with the following:
Suite 100: Rent shall commence on September 1, 2025 for Suite 100; shall initially be $48,802.92 per month; and commencing on April 1, 2026, shall increase by 3.5% annually on a compounded basis.
Suite 150: Rent shall commence five months after the Suite 150 Occupancy Date; shall initially be $11,508.49 per month; and commencing on April 1, 2026, shall increase by 3.5% annually on a compounded basis. For the purposes of clarity, Tenant shall not have any obligation to pay Rent from the Effective Date through the date that is five (5) months following the Suite 150 Occupancy Date.
4. Monthly Payments for Operating Expenses During Extensions. Notwithstanding Sections 1(e) and 7 of the Lease, until Landlord notifies Tenant in writing that Sections 1(e) and 7 shall apply, Tenant shall instead pay the following as additional rent per calendar month (prorated for any partial calendar months) during the period set forth below as Tenant’s Share of Operating Expenses and Tax Expenses:
Period
(Months)
Additional
Rent
1-12 $710.94
13-24 $1,066.41
25-36 $1,421.88
37-48 $1,777.35
49-60 $2,132.82
61-72 $2,606.78
73-84 $3,080.74
85-96 $3,554.70
97-108 $4,028.66
109-120 $4,502.62
121-132 $4,976.58
133-144 $5,450.54
5. Right to Sublease as to Suite 150. Tenant shall have the right to sublease Suite 150 to an affiliated entity, including, without limitation, CEI provided that Landlord’s City Manager has approved the form of sublease, such approval not to be unreasonably withheld, and provided further that one hundred percent (100%) of all sublease profits for Suite 150 shall be paid to Landlord as and when received by Tenant, as additional rent (such profits to be determined after deducting from subtenant payments to Tenant the reasonable costs incurred by Tenant to improve Suite 150 and reasonable costs incurred by Tenant in connection with such Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
subletting, excluding attorneys’ fees, as shown by reasonable evidence delivered to Landlord, and delivery of the same shall be a condition to such right to sublet to CEI. Tenant shall not be required to pay a processing fee to Landlord as described in Section 22(e) of the Lease for this request to sublease Suite 150.
6. Parking. Pursuant to Section 6 of Amendment of Lease dated September 12, 2022, Tenant may purchase up to thirty-six (36) parking passes for unreserved parking spaces at the prevailing rate charged by Landlord for parking passes for unreserved parking spaces. If Tenant purchases thirty-six (36) parking passes, Tenant shall receive twenty (20) additional parking passes at no charge; however, only thirty-six (36) parking spaces may be used for such parking structure based on such passes at any one time.
7. Counterparts. This Amendment may be executed in any number of counterparts, each of which, when executed and delivered, shall be deemed to be an original, and all of which, taken together, shall be deemed to be one and the same instrument. This Amendment must be executed through the e-signature application known as DocuSign, and such electronic signatures shall be considered binding upon the parties.
8. City Manager Authority. The City Manager of Landlord shall have the authority to execute this Amendment and any and all other documents contemplated by this Amendment.
9. Recordable Amendment of Memorandum of Lease. Upon its execution and delivery of this Amendment, Tenant shall concurrently execute and deliver a duly acknowledged and recordable original counterpart of an Amendment to Memorandum of Lease in the form attached to this Amendment as Exhibit “A”.
10. Brokers. Each party represents to the other that no brokers other than CBRE, Inc. who represents Tenant has been involved with this Amendment. Landlord shall be responsible for the payment of any commission to such Tenant’s broker pursuant to a separate written agreement between Landlord and such broker. Landlord shall defend, indemnify and hold Tenant harmless from any claims, costs, expenses or liabilities for any compensation, commission or charges to realtors, brokers or agents claiming by, through or on behalf of Landlord with respect to this Amendment and/or the negotiation hereof, but the foregoing shall apply to CBRE, Inc. only to the extent of payments due from Landlord to CBRE, Inc. under the separate written agreement between Landlord and CBRE, Inc. Tenant shall defend, indemnify and hold Landlord harmless from any claims, costs, expenses or liabilities for any compensation, commission or charges to realtors, brokers or agents claiming by, through or on behalf of Tenant, with respect to this Amendment and/or the negotiation hereof, except for CBRE, Inc. to the extent of payments due CBRE, Inc. from Landlord under the separate written agreement between Landlord and CBRE, Inc.
11. Time of the Essence. Time is of the essence of each provision of this Amendment in which time is a factor.
[The remainder of this page is intentionally left blank.] Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the Effective Date.
LANDLORD:
ATTEST:
____________________________
Huma Ahmed, City Clerk
CITY OF BEVERLY HILLS
By:
Lester J. Friedman, Mayor
APPROVED AS TO FORM:
______________________________
Laurence S. Wiener, City Attorney
APPROVED AS TO CONTENT:
______________________________
Nancy Hunt-Coffey, City Manager
TENANT: UMRO REALTY CORP.
By:
Rainy Austin, President
Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
EXHIBIT “A”
FORM OF AMENDMENT OF MEMORANDUM OF LEASE
(Attached.)
Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:
City of Beverly Hills
455 North Rexford Drive
Beverly Hills, California 90210
Attn: City Clerk
(Space Above Line For Recorder’s Use)
Exempt from Recording Fees under California Government Code 27383.
AMENDMENT OF MEMORANDUM OF LEASE
THIS AMENDMENT MEMORANDUM OF LEASE (this “Memorandum”) is dated as of March 4, 2025, and is entered into by and between the CITY OF BEVERLY HILLS (“Landlord”), and UMRO REALTY CORP., a California corporation (dba “The Agency”) (“Tenant”).
R E C I T A L S
A. Landlord and Tenant entered into that certain Office Lease dated September 11, 2012 and amended it by an Amendment of Lease dated September 12, 2022 (the “Lease”), pursuant to which City agreed to lease and demise to Tenant, and Tenant agreed to lease and accept from City, a portion of the first floor of the building at 331 Foothill Road (the “Building”) in the City of Beverly Hills, County of Los Angeles, State of California, as more particularly described in the Lease (the “Premises”).
B. Landlord and Tenant entered into a Memorandum of Lease dated September 11, 2012, which was recorded on September 28, 2012 as Document No. 20121467411 in the Official Records of Los Angeles County, California, but did not record an amendment thereof in connection with the First Amendment of Lease.
C. Landlord and Tenant have entered into a Second Amendment of Lease.
D. Landlord and Tenant desire to record this Amendment of Memorandum of Lease, as required under California law for municipal leases, to reflect both of the two lease amendments.
A G R E E M E N T
Landlord hereby leases and demises to Tenant, and Tenant hereby leases and accepts from Landlord, the Premises for the term and subject to the extension option(s) and termination option(s) set forth in the Lease, as amended by the Second Amendment of Lease.
The Premises are leased at the rental rates and upon the other terms and conditions set forth in the Lease as amended by the Second Amendment of Lease, which are incorporated herein by this reference.
Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
IN WITNESS WHEREOF, Landlord and Tenant have executed this Amendment of Memorandum of Lease.
LANDLORD: CITY OF BEVERLY HILLS
By:
Nancy Hunt-Coffey, City Manager
TENANT: UMRO REALTY CORP.
By:
Rainy Austin, President
Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
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 same in 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)
A notary public or other officer
completing this certificate verifies only
the identity of the individual who signed
the document to which this certificate is
attached, and not the truthfulness,
accuracy, or validity of that document.
Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 B0785-0001\3067877v2.doc
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 same in 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)
A notary public or other officer
completing this certificate verifies only
the identity of the individual who signed
the document to which this certificate is
attached, and not the truthfulness,
accuracy, or validity of that document.
Docusign Envelope ID: 06BB3A33-BAA4-4679-9169-BDBE442354F9 Certificate Of Completion
Envelope Id: 06BB3A33-BAA4-4679-9169-BDBE442354F9 Status: Sent Subject: Complete with Docusign: Umro Realty Corp. - Second Amendment of Lease.pdf Source Envelope:
Document Pages: 9 Signatures: 2 Envelope Originator:
Certificate Pages: 3 Initials: 0 Jonathan Gernes
AutoNav: Enabled
EnvelopeId Stamping: Enabled
Time Zone: (UTC-08:00) Pacific Time (US & Canada)
455 N. Rexford Drive
Beverly Hills, CA 90210
[email protected]
IP Address: 198.245.189.166
Record Tracking
Status: Original
2/11/2025 4:25:07 PM
Holder: Jonathan Gernes
[email protected]
Location: DocuSign
Signer Events Signature Timestamp
Rainy Austin
[email protected]
President, The Agency
Security Level: Email, Account Authentication
(None) Signature Adoption: Pre-selected Style
Using IP Address: 70.181.205.179
Sent: 2/11/2025 4:33:18 PM
Viewed: 2/13/2025 9:22:59 AM
Signed: 2/19/2025 12:17:40 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Bruce Galloway for
[email protected]
Security Level: Email, Account Authentication
(None)
Signature Adoption: Pre-selected Style
Using IP Address: 208.87.233.201
Sent: 2/19/2025 12:17:42 PM
Resent: 2/24/2025 4:55:29 PM
Resent: 2/25/2025 8:34:52 AM
Viewed: 2/25/2025 9:41:45 AM
Signed: 2/25/2025 9:41:53 AM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Logan Phillippo
[email protected]
Real Property Development Manager
City of Beverly Hills
Security Level: Email, Account Authentication
(None)
Sent: 2/25/2025 9:41:55 AM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Nancy Hunt-Coffey
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Lester J. Friedman
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Signer Events Signature Timestamp
Huma Ahmed
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
In Person Signer Events Signature Timestamp
Editor Delivery Events Status Timestamp
Agent Delivery Events Status Timestamp
Intermediary Delivery Events Status Timestamp
Certified Delivery Events Status Timestamp
Carbon Copy Events Status Timestamp
Logan Phillippo
[email protected]
Real Property Development Manager
City of Beverly Hills
Security Level: Email, Account Authentication
(None)
Sent: 2/11/2025 4:33:19 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Quinn Edwards
[email protected]
Senior Associate
Security Level: Email, Account Authentication
(None)
Sent: 2/11/2025 4:33:20 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Adrianne Tarazon
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Keith Sterling
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Megan Grilley
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Witness Events Signature Timestamp
Notary Events Signature Timestamp
Envelope Summary Events Status Timestamps
Envelope Sent Hashed/Encrypted 2/11/2025 4:33:20 PM
Payment Events Status Timestamps
Attachment 2
-1-
B0785-0001\3021547v1.doc
BROKER LEASING COMMISSION AGREEMENT
This BROKER LEASING COMMISSION AGREEMENT is dated as of March 4, 2025 and is entered into by and between the CITY OF BEVERLY HILLS, a municipal corporation (“Landlord”) and CBRE, INC., a California corporation (“Tenant’s Broker”) with respect to an amendment (the “Lease Amendment”) by Landlord of an existing lease between Landlord and UMRO REALTY CORP. (“Tenant”) for space at 331 Foothill Road (“The Agency Lease”). Said Lease Amendment extends the term of the Lease, among other things.
RECITALS
A. Tenant engaged Broker, in writing, as Tenant’s Broker in connection with the Lease Amendment; Landlord is not using a broker in connection with such Lease Amendment.
B. Tenant and Landlord have agreed that if the Lease Amendment is approved and executed, Landlord will pay a broker’s commission to Tenant’s Broker in connection with the Lease Amendment subject to and upon the terms and conditions hereinafter set forth.
NOW, THEREFORE, in consideration of the foregoing recitals and other consideration, the sufficiency of which is hereby acknowledged, Landlord and Tenant’s Broker hereby agree as follows:
1. Term. The term of this Agreement shall commence on the date hereof and shall expire on December 31, 2025 if the Lease Amendment between Tenant and Landlord is not approved and executed by such date (in which case, Landlord shall not be obligated to pay anything to Tenant’s Broker).
2. Lease Amendment Commissions for Tenant’s Broker.
4% of base fixed rent to be paid for the initial extension of the term of the Lease (in the Amendment), but not for any further extensions
3. Payment of Commission. Provided the Lease shall not have terminated or been terminated as of the date a payment is due: (i) fifty percent (50%) of the commission shall be paid upon the approval and execution of the Lease Amendment; and (ii) fifty percent (50%) of the commission shall be paid within thirty (30) days after September 1, 2025.
However, notwithstanding the foregoing, if the Tenant is in default as of the date a commission payment is due, the payment shall not be made unless and until the Tenant cures the default.
4. Assignment. Broker may NOT assign its rights or obligations hereunder, in whole or in part, without the prior consent of Landlord, which consent may be given or withheld in Landlord’s sole and absolute discretion.
5. Attorneys’ Fees. If any party institutes legal action to enforce its rights under this Agreement, the prevailing party (as determined by the trier of fact) will be entitled to recover its reasonable attorneys' fees and costs from the other party(s).
Docusign Envelope ID: 7EC8096C-2A48-46C6-8800-F5A2AA8E3C44 -2-
B0785-0001\3021547v1.doc
6. Counterparts. This Agreement may be executed in counterparts, all of which shall be considered one and the same agreement.
7. Entire Agreement. This Agreement constitutes the entire agreement between Landlord and Broker with respect to the subject matter hereof.
8. Applicable Law. This Agreement shall be governed by the laws of the State of California.
9. Addresses for Notices. Notices hereunder shall be in writing, shall be addressed as follows, and shall be delivered by certified mail, return receipt requested (and deemed delivered on the date of delivery or refusal of acceptance shown on the return receipt):
Landlord: City of Beverly Hills
445 N. Rexford Drive
Beverly Hills, CA 90210
Attn: Logan Phillippo
Broker: CBRE, Inc.
2000 Avenue of the Stars
Suite 800
Los Angeles, CA 90067
LANDLORD:
CITY OF BEVERLY HILLS
By:
Lester J. Friedman
Mayor
TENANT’S BROKER:
CBRE, INC.
By:
Andrew Ratner
Executive Managing Director
Attest:
Huma Ahmed
City Clerk
APPROVED AS TO FORM:
___________________________________
Laurence S. Weiner
City Attorney
Docusign Envelope ID: 7EC8096C-2A48-46C6-8800-F5A2AA8E3C44 -3-
B0785-0001\3021547v1.doc
APPROVED AS TO CONTENT:
__________________________________
Nancy Hunt-Coffey
City Manager
Docusign Envelope ID: 7EC8096C-2A48-46C6-8800-F5A2AA8E3C44 Certificate Of Completion
Envelope Id: 7EC8096C-2A48-46C6-8800-F5A2AA8E3C44 Status: Sent Subject: Complete with Docusign: Broker Leasing Commission Agreement with CBRE Inc.
Source Envelope:
Document Pages: 3 Signatures: 2 Envelope Originator:
Certificate Pages: 3 Initials: 0 Jonathan Gernes
AutoNav: Enabled
EnvelopeId Stamping: Enabled
Time Zone: (UTC-08:00) Pacific Time (US & Canada)
455 N. Rexford Drive
Beverly Hills, CA 90210
[email protected]
IP Address: 198.245.189.166
Record Tracking
Status: Original
2/24/2025 4:43:49 PM
Holder: Jonathan Gernes
[email protected]
Location: DocuSign
Signer Events Signature Timestamp
Andrew Ratner
[email protected]
EMD
CBRE - Corporate
Security Level: Email, Account Authentication
(None)
Signature Adoption: Drawn on Device
Using IP Address: 12.75.41.88
Signed using mobile
Sent: 2/24/2025 4:55:09 PM
Viewed: 2/24/2025 5:37:20 PM
Signed: 2/24/2025 5:37:39 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Bruce Galloway for
[email protected]
Security Level: Email, Account Authentication
(None)
Signature Adoption: Pre-selected Style
Using IP Address: 208.87.233.201
Sent: 2/24/2025 5:37:41 PM
Viewed: 2/24/2025 5:51:44 PM
Signed: 2/24/2025 5:51:51 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Logan Phillippo
[email protected]
Real Property Development Manager
City of Beverly Hills
Security Level: Email, Account Authentication
(None)
Sent: 2/24/2025 5:51:53 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Nancy Hunt-Coffey
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Lester J. Friedman
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Signer Events Signature Timestamp
Huma Ahmed
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
In Person Signer Events Signature Timestamp
Editor Delivery Events Status Timestamp
Agent Delivery Events Status Timestamp
Intermediary Delivery Events Status Timestamp
Certified Delivery Events Status Timestamp
Carbon Copy Events Status Timestamp
Logan Phillippo
[email protected]
Real Property Development Manager
City of Beverly Hills
Security Level: Email, Account Authentication
(None)
Sent: 2/24/2025 4:55:09 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Quinn Edwards
[email protected]
Senior Associate
Security Level: Email, Account Authentication
(None)
Sent: 2/24/2025 4:55:09 PM
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Adrianne Tarazon
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Keith Sterling
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Megan Grilley
[email protected]
Security Level: Email, Account Authentication
(None)
Electronic Record and Signature Disclosure:
Not Offered via Docusign
Witness Events Signature Timestamp
Notary Events Signature Timestamp
Envelope Summary Events Status Timestamps
Envelope Sent Hashed/Encrypted 2/24/2025 4:55:10 PM
Payment Events Status Timestamps