CITY OF LAGUNA HILLS
Supplemental Agenda Material Memo
Supplemental Agenda Materials related to an item on a City Council Agenda, SL1bmitted to the City Council after distribution of the agenda packet, will be available for public inspection at the same time the materials are distributed to the City Council. Supplemental Agenda Materials are available for inspection during normal business hours in the City Clerk's office located at 24035 El Toro Road, Laguna Hills, California. In addition, such materials will be made available for public review at the same time the materials are distributed to the City Council on the City's website at: https://www.lagunahillsca.gov/supplementalagenda and at the respective public meeting.
DATE:
TO:
FROM:
September 9, 2024
City Council
City Staff
Kayle McDonald, Deputy City Clerk
SUBJECT: Regular Meeting Agenda Item No. 4.7 First Amendment to Office Lease with Tenant Fay Blix
Please see the attached updated First Amendment to the Lease Agreement Fay Blix, an Individual dba The Law Offices of Fay Blix
AIRCR:5
contracts
First AMENDMENT TO LEASE
THISAMENDMENTTOLEASEismadeandenteredintoasof August 27, 2024 ,byandbetween The City of Laguna Hills, a municipal corporation organized and existing under the laws of the State of California ("Lessor")and Fay Blix, an individual dba The Law Offices of Fay Blix ("Lessee").
WHEREAS, on or about ,June 14 , 2 02 2 a Lease was entered into by and between Lessor and Lessee relating to certain real property commonly known as (street address, city,state, zip): 24031 El Toro Road, Suite 301 Laguna Hills. CA 92653 (the"Premises").and WHEREAS, Lessor and Lessee [J have ~ have not previously amended said Lease, and WHEREAS, the Lessor and Lessee now desire to amend said Lease, NOW, THEREFORE, for payment of TEN DOLLARS and other good and valuable consideration to Lessor, the receipt and sufficiency of which is hereby acknowledged, the parties mutually agree to make the following additions and modifications lo the Lease:
~ TERM: The Expirati~n Date is hereby [j advanced ~ extended lo October 31 , 202 9 [J AGREED USE: The Agreed Use is hereby modified to: _
~ BASE RENT ADJUSTMENT: Monthly Base Rent shall be as follows:
From November 1, 2024 - November 30, 2024 Base Rent shall be abated.
From December l, 2024 - October 31, 2025 Base Rent shall be ~5,54~.80 12er month.
FrQm t:!Qvem!2!:'U,: 1, 2025 - Novemb~~ ;rn, 2Q25 B12se Rent shall !;le 12ba!;ed. [rQ!ll [le!';;ember 1 I ,Q2,:;i - Qct,QQsn.: 31. 202§ B12/;le B~Ilt ;;ib~ll :tie ~;i. 7)!2,22 r;iei;: illQUth.
From November 1, 2026 - November 30, 2026 Base Rent shall be abated.
From December 1, 2026 - October 31, 2027 Base Rent shall be 25,886.72 r2er month.
From November 1 ( 2027 - October 31, 2028 Base Rent shall be ~6,063.32 12er month.
From November 1, 2028 - October 31, 2029 Base Rent shall be $6,245.22 12er month. ~ OTHER: Security Deposit: Lessee currently has a security deposit with Lessor in the amount of S5,679.90. Lessee shall deposit an additional amount of $1,351.90 to bring the security deposit to $7,031.80 pursuant to section 5 of the Lease.
Tenant Im12rovement,s: Lessor shall pr;qvjde Tenant with a TI l\llowance of no more than $14.000 t,o be paid directly to Lessee. Lessee is to perform an tenant, Improvements which incJudPs but not limited to hiring architect. submittfoQ buildincJ ulans, submit ~ing construction permits, hiring licensed and insured contractor and funding any tenant improvement costs. Lessee to provide Lessor with contractor invoices, proof of payment and lien releases once work is 100% complete. Should Lessee not utilize the entire TI Allowance; the remaining balance will be null and void and cannot be utilized at any other time or for any other matter.
PriQr tQ the cormnencement, Qt this Renewal term. Lessor at LessQr's sQle cQst and expense sball have damaged ceiling tiles replaced in the library and hallway areas of the Premises.
Base Year: Section 1.9 of the lease shall be modified to give Lessee a new Rase Year of 2025. Lessee shall have no obligation to pay a share of the Operating Expense Increase applicable to the first 12 months of this Amendment term.
Option to Renew: Provided the Lessee is not in default, Lessee shall have the right to renew !;he Lease under the same t,erms and conditions for an addit,iQnal period of up to five (5l year~ except, the rental rate shall be adjusted to reflect the fair market rate at the time of renewal taking into consideration acceptable market concessions. In addition, the Base Year Exoenses shall be adjusted to reflect the year of the extended
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term. Should Lessee wish Lo exercise said Option(s), Lessee shall notify the Lessor in writing of their desire to exercise their option no later than One hundred and twenty (120) days prior to termination of the term or renewal cerlod.
Accessibility; Americans with Disabilities Act; The Premises have not undergone an inspection by a Certified Access Specialist (CASpl. Note: A CerLlfied Access Specialist (CASp) can inspect the subject premises and determine whether the subject premises comply with all of the applicable construction-related accessibility standards under state law.
Although state law does not require a CASp inspection of the subject premises, the commercial property owner or lessor may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if reauested by the lessee or tenant. The parties shall mutually agree .;,n tb'=' !ilb'Ld'l<.1etw"'11t:;; for the time and manner ot the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises This Amendment shall not be construed against the party preparing it, but shall be construed as if all parties jointly prepared this Amendment and any uncertainty and ambiguity shall not be interpreted against any one party. Signatures to this Amendment accomplished by means of electronic signature or similar technology shall be legal and binding.
All other terms and conditions of this Lease shall remain unchanged and shall continue in full force and effect except as specifically amended herein.
EXECUTED as of the day and year first above written.
By Lessor:
The City of Laguna Hills, a municipal
corporation organized and existing under the
laws of the State of California
By Lessee:
Fay Blix, an individual dba 'I'he Law Offices
of Fay Blix
By:
Name Printed: Jarad L. Hildenbrand
Title: City Manager
Phone:
Fax: ---_
-
Email: _
By:
Name Printed:
Title: _
Phone: _
Fax: _
Email: _
Address: _
Federal ID No.: _
By:
Name Printed: _
Title: _
Phone: _
Fax: _
Email: _
Address: _
Federal ID No.: _
AIR CRE • https://www.aircre.com • 213-687-8777 • [email protected] NOTICE: No part of these works may be reproduced in any form without permission in writing.
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© 2017 AIR CRE. All Rights Reserved.
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A\RCR!
DISCLOSURE REGARDING REAL ESTATE AGENCY RELATIONSHIP
(As required by the Civil Code)
When you enter into a discussion with a real estate agent regarding a real estate transaction, you should from the outset understand what type of agency relationship or representation you wish to have with the agent in the transaction.
SELLER'S AGENT
A Seller's agent under a listing agreement with the Seller acts as the agent for the Seller only. A Seller's agent or a subagent of that agent has the following affirmative obligations:
To the Seller: A fiduciary duty of utmost care, integrity, honesty and loyalty in dealings with the Seller.
To the Buyer and the Seller:
(a) Diligent exercise of reasonable skill and care ill performance uf the ai;ent's du lies. (b) A duty of honest and fair dealing and good faith.
(c) A duty to disclose all facts known to the agent materially affecting the value or desirability of the property that are not known to, or within the diligent attention and observation of, the parties.
An agent is not obligated to reveal to either party any confidential information obtained from the other party that does not involve the affirmative duties set forth above.
BUYER'S AGENT
A Buyer's agent can, with a Buyer's consent, agree to act as agent for the Buyer only. In these situations, the agent is not the Seller's agent, even if by agreement the agent may receive compensation for services rendered, either in full or in part from the Seller. An agent acting only for a Buyer has the following affirmative obligations:
To the Buyer: A fiduciary duty of utmost care, integrity, honesty and loyalty in dealings with the Buyer. -To the Buyer and the Seller:
(a) Diligent exercise of reasonable skill and care in performance of the agent's duties. (b) A duty of honest and fair dealing and good faith.
(cl A duty to disclose all facts known to the agent materially affecting the value or desirability of the property that are not known to, or within the diligent attention and observation of, the parties.
An agent is not obligated to reveal to either party any confidential information obtained from the other party that does not involve the affirmative duties set forth above.
AGENT REPRESENTING BOTH SELLER AND BUYER
A real estate agent, either acting directly or through one or more salesperson and broker associates, can legally be the agent of both the Seller and the Buyer in a transaction, but only with the knowledge and consent of both the Seller and the Buyer.
In a dual agency situation, the agent has the following affirmative obligations to both the Seller and the Buyer:
(a) A fiduciary duty of utmost care, integrity, honesty and loyalty in the dealings with either the Seller or the Buyer. (b) Other duties to the Seller and the Buyer as stated above in their respective sections.
In representing both Seller and Buyer, a dual agent may not, without the express permission of the respective party, disclose to the other party confidential information, including, but not limited to, facts relating to either the Buyer's or Seller's financial position, motivations, bargaining position, or other personal information that may impact price, including the Seller's willingness to accept a price less than the listing price or the Buyer's willingness to pay a price greater than the price offered.
SELLER AND BUYER RESPONSIBILITIES
Either the purchase agreement or a separate document will contain a confirmation of which agent is representing you and whether that agent is representing you exclusively in the transaction or acting as a dual agent. Please pay attention to that confirmation to make sure it accurately reflects your understanding of your agent's role. The above duties of the agent in a real estate transaction do not relieve a Seller or Buyer from the responsibility to protect his or her own interests. You should carefully read all agreements to assure that they adequately express your understanding of the transaction, A real estate agent is a person qualified to advise about real estate. If legal or tax advice is desired, consult a competent professional. If you are a Buyer, you have the duty to exercise reasonable care to protect yourself, including as to those facts about the property which are known to you or within your diligent attention and observation. Both Sellers and Buyers should strongly consider obtaining tax advice from a competent professional because the federal and state tax consequences of a transaction can be complex and subject to change.
Throughout your real property transaction you may receive more than one disclosure form, depending upon the number of agents assisting in the transaction, The law requires each agent with whom you have more than a casual relationship to present you with this disclosure form. You should read its contents each time it is presented to you, considering the relationship between you and the real estate agent in your specific transaction. This disclosure form includes the provisions of Sections 2079.13 to 2079.24, inclusive, of the Civil Code set forth on page 2. Read it carefully. I/WE ACKNOWLEDGE RECEIPT OF A COPY OF THIS DISCLOSURE AND THE PORTIONS OF THE CIVIL CODE PRINTED ON THE BACK (OR A SEPARATE PAGE).
D Buyer D Seller M Lessor ii Lessee
D Buyer [J Seller C Lessor ~ Lessee
_Tl_1_e_C_i~ty~o_f _L_a_g_u_n_a_H_i_ll_s Date: _
Fay Blix Date: 'f {1'/21)2.4
Agent: Essex Realty Management DRELic.11: 00965485
Real Estate Broker (Firm)
I By: Heather Stark
(Salesperson or Broker-Associate)
DRELic, ff: 02153034 Date: 8/27/2024
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THIS FORM HAS BEEN PREPARED BY AIR CRE. NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ADEQUACY OF THIS FORM FOR ANY SPECIFIC TRANSACTION. PLEASE SEEK LEGAL COUNSEL AS TO THE APPROPRIATENESS OF THIS FORM.
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DISCLOSURE REGARDING REAL ESTATE AGENCY RELATIONSHIP
CIVIL CODE SECTIONS 2079.13 THROUGH 2079.24 (2079.16 APPEARS ON THE FRONT) 2079.13. As used in Sections 2079.7 and 2079.14 to 2079.24, inclusive, the following terms have the following meanings:
(al "Agent" means a person acting under provisions of Title 9 (commencing with Section 2295) in a real property transaction, and includes a person who is licensed as a real estate broker under Chapter 3 (commencing with Section 10130) of Part 1 of Division 4 of the Business and Professlons Code, and under whose license a listing is executed or an offer to purchase is obtained. The agent in the real property transaction bears responsibility for that agent's salespersons or broker associates who perform as agents of the agent. When a salesperson or broker associate owes a duty to any principal, or to any buyer or seller who is not a principal, in a real property transaction, that duty is equivalent to the duty owed to that party by the broker for whom the salesperson or broker associate functions. (bl "Buyer" means a transferee in a real property transaction, and includes a person who executes an offer to purchase real property from a seller through an agent. or who seeks the services of an agent in more than a casual, transitory, or preliminary manner, with the object of entering into a real property transaction. "Buyer" includes vendee or lessee of real property. (c) "Commercial real property" means all real property in the state, except (11 single-family residential real property, (2) dwelling units made subject to Chapter 2 (commencing with Section 19401 ofTitle 5, (3) a mobilehome, as defined in Section 798.3, (4) vacant land, or (5) a recreational vehicle, as defined in Section 799.29. (d) "Dual agent" means an agent acting, either directly or through a salesperson or broker associate, as agent for both the seller and the buyer in a real property transaction. (e) "Listing agreement" means a written contract between a seller of re<JI property and an agent, by which the agent has been authorized to sell the real property or to find or obtain a buyer, including rendering other services for which a real estate license is required to the seller pursuant to the terms of the agreement. (fl "Seller's agent" means a person who has obtained a listing of real property to act as an agent for compensation. (g) "Listing price" is the amount expressed in dollars specified in the listing for which the seller is willing to sell the real property through the seller's agent. (h) "Offering price" is the amount expressed in dollars specified in an offer to purchase for which the buyer is willing to buy the real property. (i) "Offer to purchase" means a written contract executed by a buyer acting through a buyer's agent that becomes the contract for the sale of the real property upon acceptance by the seller, (j) "Real property" means any estate specified by subdivision (1) or (2) of Section 761 in property, and includes (1) single-family residential property, (2) multiunit residential property with more than four dwelling units, (3) commercial real property, (4) vacant land, (5) a ground lease coupled with improvements, or (6) a manufactured home as defined in Section 18007 of the Health and Safety Code, or a mobilehome as defined in Section 18008 of the Health and Safety Code, when offered for sale or sold through an agent pursuant to the authority contained in Section 10131.6 of the Business and Professions Code. (k) "Real property transaction" means a transaction for the sale of real property in which an agent is retained by a buyer, seller, or both a buyer and seller to act in that transaction, and includes a listing or an offer to purchase. (I) "Sell," "sale," or "sold" refers to a transaction for the transfer of real property from the seller to the buyer and includes exchanges of real property between the seller and buyer, transactions for the creation of a real property sales contract within the meaning of Section 2985, and transactions for the creation of a leasehold exceeding one year's duration. (m) "Seller" means the transferor in a real property transaction and includes an owner who lists real property with an agent, whether or not a transfer results, or who receives an offer to purchase real property of which he or she is the owner from an agent on behalf of another. "Seller" includes both a vendor and a lessor of real property. (n) "Buyer's agent" means an agent who represents a buyer in a real property transaction. 2079.14. A seller's agent and buyer's agent shall provide the seller and buyer in a real property transaction with a copy of the disclosure form specified in Section 2079.16, and shall obtain a signed acknowledgment of receipt from that seller and buyer, except as provided in Section 2079.15, as follows: (a) The seller's agent, if any, shall provide the disclosure form to the seller prior to entering into the listing agreement. (b) The buyer's agent shall provide the disclosure form to the buyer as soon as practicable prior to execution of the buyer's offer to purchase. If the offer to purchase is not prepared by the buyer's agent, the buyer's agent shall present the disclosure form to the buyer not later than the next business day after receiving the offer to purchase from the buyer. 2079.15. In any circumstance in which the seller or buyer refuses to sign an acknowledgment of receipt pursuant to Section 2079.14, the agent shall set forth, sign, and date a written declaration of the facts of the refusal. 2079.16 Reproduced on Page 1 of this AD form.
2079.17(a) As soon as practicable, the buyer's agent shall disclose to the buyer and seller whether the agent is acting in the real property transaction as the buyer's agent, or as a dual agent representing both the buyer and the seller. This relationship shall be confirmed in the contract to purchase and sell real property or in a separate writing executed or acknowledged by the seller, the buyer, and the buyer's agent prior to or coincident with execution of that contract by the buyer and the seller, respectively. (bl As soon as practicable, the seller's agent shall disclose to the seller whether the seller's agent is acting in the real property transaction as the seller's agent, or as a dual agent representing both the buyer and seller. This relationship shall be confirmed in the contract to purchase and sell real property or in a separate writing executed or acknowledged by the seller and the seller's agent prior to or coincident with the execution of that contract by the seller. (C) CONFIRMATION: The following agency relationships are confirmed for this transaction.
Seller's Brokerage Firm DO NOT COMPLETE, SAMPLE ONLY License Number _ Is the broker of (check one): □ the seller; or□ both the buyer and seller, (dual agent) Seller's Agent DO NOT COMPLETE, SAMPLE ONLY License Number Is (check one): □ the Seller's Agent. (salesperson or broker associate); or□ both the Buyer's Agent and the Seller's Agent. (dual agent) Buyer's Brokerage Firm DO NOT COMPLETE, SAMPLE ONLY License Number Is the broker of (check one): □ the buyer; or□ both the buyer and seller. (dual agent) Buyer's Agent DO NOT COMPLETE, SAMPLE ONLY License Number Is (check one): □ the Buyer's Agent. (salesperson or broker associate); or□ both the Buyer's Agent and the Seller's Agent (dual agent) (d) The disclosures and confirmation required by this section shall be in addition to the disclosure required by Section 2079.14. An agent's duty to provide disclosure and confirmation of representation in this section may be performed by a real estate salesperson or broker associate affiliated with that broker. 2079.18 (Repealed pursuant to AB-1289, 2017-18 California Legislative session) 2079.19 The payment of compensation or the obligation to pay compensation to an agent by the seller or buyer is not necessarily determinative of a particular agency relationship between an agent and the seller or buyer. A listing agent and a selling agent may agree to share any compensation or commission paid, or any right to any compensation or commission for which an obligation arises as the result of a real estate transaction, and the terms of any such agreement shall not necessarily be determinative of a particular relationship.
2079,20 Nothing in this article prevents an agent from selecting, as a condition of the agent's employment, a specific form of agency relationship not specifically
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prohibited by this article if the requirements of Section 2079.14 and Sect-ion 2079.17 are complied with. 2079.21 (a) A dual agent may not, without the express permission of the seller, disclose to the buyer any confidential information obtained from the seller. (b) A dual agent may not, without the express permission of the buyer, disclose to the seller any confidential information obtained from the buyer. (c) "Confidential information" means facts rel a ting to the client's financial position, motivations, bargaining position, or other personal information that may impact price, such as the seller is willing to accept a price less than the listing price or the buyer is willing to pay a price greater than the price offered. (d) This section does not alter in any way the duty or responsibility of a dual agent to any principal with respect to confidential information other than price. 2079.22 Nothing in this article precludes a seller's agent from also being a buyer's agent. If a seller or buyer in a transaction chooses to not be represented by an agent, that does not, of itself, make that agent a dual agent. 2079.23 (a) A contract between the principal and agent may be modified or altered to change the agency relationship at any time before the performance of the act which is the object of the agency with the written consent of the parties to the agency relationship. (b) A lender or an auction company retained by a lender to control aspects of a transaction of real property subject to this part, including validating the sales price, shall not require, as a condition of receiving the lender's approval of the transachon, the homeowner or listing agent to defend or indemnify the lender or auction company from any liability alleged to result from the actions of the lender or auction company. Any clause, provision, covenant, or agreement purporting to impose an obligation to defend or indemnify a lender or an aurrion company in violation of this subdivision Is against public policy, void, and unenforceable. 2079.24 Nothing in this article shall be construed to either diminish the duty of disclosure owed buyers and sellers by agents and their associate licensees, subagents, and employees or to relieve agents and their associate licensees, subagents, and employees from liability for their conduct in connection with acts governed by this article or for any breach of a fiduciary duty or a duty of disclosure.
AIR CRE. 500 North Brand Blvd, Suite 900, Glendale, CA 91203, Tel 213-687-8777, Email [email protected] NOTICE: No part of these works may be reproduced In any form without permission in writing.
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© 2019AIR CRE. All Rights Reserved.
AD-3.00, Revised 01-01-2019
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Last Edited: 9/3/2024 3:05 PM