R. REX PARRISKEN MANN
MAYOR COUNCIL MEMBER
LAUREN HUGHES-LESLIECEDRIC WHITE
VICE MAYOR COUNCIL MEMBER
ROCIO CASTELLANOSTROLIS NIEBLA
COUNCIL MEMBER CITY MANAGER
4900-7513-5169v2/022283-0549
44933 Fern Avenue
Lancaster, CA 93534
661.723.6000
cityoflancasterca.org
COMMERCIAL LEASE AGREEMENT
This COMMERCIAL LEASE AGREEMENT (“Agreement”) is made and entered into on this ____ day of _______, 202_, by and between the City of Lancaster (“Landlord” or “City”) and [TENANT NAME], (“Tenant”), who agree as follows:
1.Premises: Landlord rents to the Tenant and Tenant rents from the Landlord the XX square feet commercial real property unit, known as 44857 Cedar Avenue, Room 2XX, Lancaster, California 93534 (the "Premises").Tenant shall have the non-exclusive right to use common areas of the Building, including lobbies, hallways, restrooms, and any shared meeting or collaboration spaces designated by Landlord, subject to reasonable rules and regulations established by Landlord. Tenant acknowledges that no dedicated parking spaces are provided under this Lease. Tenant may utilize available public on-street parking, subject to availability and all applicable laws, regulations, and posted restrictions.
2.Term. The term of this Agreement shall commence on [Month date, 20XX], and expire on [Month date, 20XX – NO MORE THAN 4 YEARS 11 MONTHS]. Any holding over after the term of this Agreement expires, with Landlord’s written consent, shall create a month-to- month tenancy that either party may terminate as specified for month-to-month tenancy below.
Rent shall be at a rate equal to the rent for the immediately preceding month, payable in advance.
All other terms and conditions of this Agreement shall remain in full force and effect. continue as a month-to-month tenancy. Either party may terminate the tenancy by giving written notice to the other at least 30 days prior to the intended termination date, subject to any applicable laws.
3.RENT.
3.1 Monthly Rent. Tenant agrees to pay to Landlord, without any prior demand therefor, monthly rent due in advance on or before the 1st day of each and every month in the amounts shown in the schedule below (“Rent”):
TERM OF AGREEMENT $.65 per sq. ft. per month $XXX.XX per month
3.2 Payment Address and Method. Rent shall be made payable to the “City of Lancaster” and mailed or delivered to Landlord at the following address:
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City of Lancaster
Attn.: Accounts Receivable/PARCS
44933 Fern Avenue
Lancaster, CA 93534
Payment may be made by check, money order, cashier's check, or such other methods as Landlord may designate in writing.
3.3 Late Charges. If Rent is not received within five (5) days after the due date, Tenant shall pay a late charge equal to ten percent (10%) of the overdue amount or $100.00, whichever is greater, to compensate Landlord for administrative costs of collecting late payments. Acceptance of late charges shall not constitute a waiver of Tenant's default.
3.4 Returned Payments. Tenant shall pay a fee of $50.00 for any check or other payment returned for insufficient funds or other reason, in addition to any late charges that may apply.
4.Security Deposit. Tenant agrees to pay Landlord $ XXX.XX as security for performance hereunder.
All of the security deposit may be used, as reasonably necessary, to: (i) cure Tenant’s default in payment of Rent, late charges, non-sufficient funds fees, or other sums due; (ii) repair damage, excluding ordinary wear and tear, caused by Tenant or by a guest or licensee of Tenant; (iii) broom clean the Premises, if necessary upon termination of tenancy; and (iv) cover any other unfulfilled obligation of Tenant. If the security deposit is less than the aggregate amount of the foregoing, then the Landlord shall (after applying the security deposit) invoice the Tenant for the balance and such invoice shall be due and payable by the Tenant within thirty (30) days. The security deposit shall not be used by Tenant in lieu of payment of last month’s rent. If all or any portion of the security deposit is used during tenancy, Tenant agrees to replenish the amount used within 10 days after written notice is delivered to the Tenant; failure to timely replenish the security deposit shall constitute Breach of this Agreement enforceable pursuant to Paragraph 22 hereof.
Within 30 days after Landlord receives possession of the Premises, landlord shall: (i) furnish Tenant an itemized statement indicating the amount of any security deposit received and the basis for its disposition, and (ii) return any remaining portion of security to the Tenant.
4.1Key Deposit. Upon execution of this Agreement and payment of first month's Rent, Key Deposit, and security deposit, Landlord shall provide Tenant with two (2) keys to the Premises.
The “Key Deposit” shall be of $30.00 per key ($60.00 total) and shall be refundable. Tenant may request additional keys at a deposit of $20.00 per key. Key deposits shall be refunded within thirty (30) days after termination of this Agreement upon Tenant's return of all keys in good working condition, ordinary wear and tear excepted. Unreturned or damaged keys (beyond ordinary wear) shall result in forfeiture of the corresponding deposit amount. Upon execution of this Agreement and payment of first month's Rent and security deposit, Landlord shall provide Tenant with two (2) keys to the Premises.
Tenant shall pay a refundable key deposit of $30.00 per key ($60.00 total). Tenant may request additional keys at a deposit of $20.00 per key. Key deposits shall be refunded within thirty (30) days 4900-7513-5169v2/022283-0549
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after termination of this Agreement upon Tenant's return of all keys in good working condition, ordinary wear and tear excepted. Unreturned or damaged keys (beyond ordinary wear) shall result in forfeiture of the corresponding deposit amount.
5.Utilities. The Rent amount includes common area maintenance (CAM), which maintenance includes water, trash, landscape maintenance, security services and exterior utilities. Landlord shall pay or provide for the payment of electrical and gas utility service inside Tenant’s unit.
If Tenant's utility usage materially exceeds typical usage for similar tenants in the Building as reasonably determined by Landlord, Landlord may separately meter the Premises at Tenant's expense, and thereafter Tenant shall pay all separately-metered utility charges.
6.Use of Property. Subject to the conditions stated in this Agreement, the Premises shall be used for the sole purpose of operating and conducting the Tenant’s business known as [TENANT NAME].
Specifically, the following use(s) is/are permitted under this Agreement:
[PURPOSE OF BUSINESS]
No other use(s), other than the use(s) specified in this section 6, is/are permitted without Landlord’s prior written consent. Tenant shall ensure that guests and licensees of Tenant do not, disturb, annoy, endanger, or interfere with other tenants of the building or neighbors, or use the Premises for any unlawful purposes, including, but not limited to, committing a waste or nuisance on or about the Premises. If any use by Tenant causes an increase in the premium on Landlord’s existing property insurance, Tenant shall pay for the increased cost.
7.Condition of Property. Tenant acknowledges and agrees that the Premises are rented to Tenant in an “as is with all faults” condition. Tenant acknowledges and agrees that Landlord has made no oral or written representations or warranties of any nature whatsoever as to condition or use of the Premises.
8. Accessibility Disclosure. Pursuant to California Civil Code Section 1938, Landlord discloses to Tenant that the Premises has not undergone inspection by a Certified Access Specialist.
9.ALTERATIONS.
9.1 Landlord Approval Required. Tenant shall not make any alterations, additions, or improvements ("Alterations") to the Premises without Landlord's prior written consent. Landlord's consent shall not be required for cosmetic, non-structural alterations costing less than $2,500.00 in the aggregate during any 4900-7513-5169v2/022283-0549
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twelve-month period that do not affect building Systems or structure. For all other Alterations, Landlord may grant or withhold consent in its reasonable discretion, considering factors including structural impact, building Systems impact, building code compliance, and compatibility with Building standards.
9.2 Construction Requirements. All approved Alterations shall be performed: (a) in a good and workmanlike manner by licensed contractors holding all required permits and approvals; (b) in compliance with all applicable laws, codes, and regulations; and (c) without creating liens against the Premises or Building. Tenant shall provide Landlord with at least ten (10) days' advance notice of commencement of any Alteration so that Landlord may post a Notice of Non-Responsibility. Landlord may require Tenant to provide payment and performance bonds and final lien releases from all contractors.
9.3 Ownership and Removal. All Alterations shall become Landlord's property upon installation and shall remain upon the Premises at lease termination, except that Landlord may require Tenant to remove any Alterations and restore the Premises to its prior condition if Landlord so specifies in its approval.
Tenant's trade fixtures, movable equipment, and personal property shall remain Tenant's property and shall be removed by Tenant prior to lease termination, with Tenant repairing any damage caused by removal..
10.MAINTENANCE AND REPAIR.
10.1 Landlord's Obligations. Landlord shall maintain and repair, at Landlord's sole cost and expense:
(a) the structural elements of the building, including the roof, foundation, and exterior walls; (b) building systems serving the Premises, including heating, ventilation, air conditioning (HVAC), electrical, plumbing, and water systems (collectively, the “Systems”); (c) common areas; and (d) any Systems or components located outside the Premises. "Maintain and repair" includes all repairs, cleaning, replacements, renewals, alterations, additions, improvements, and betterments necessary to keep such items in good condition and working order, except for reasonable wear and tear, and as required by applicable law. Landlord shall not be responsible for repairs necessitated by the negligence or misuse of Tenant, its employees, agents, or invitees.
10.2 Tenant's Obligations. Tenant shall maintain and repair, at Tenant's expense: (a) the interior non- structural elements of the Premises, including interior paint, and wall coverings; (b) Tenant's trade fixtures, equipment, and personal property; (c) plate glass, windows, and doors from the inside; and (d) any damage to the Premises or building Systems caused by the negligence or misuse of Tenant, its employees, agents, contractors, or invitees. Tenant shall keep the Premises clean and free of waste. In the event the Tenant fails to commence or diligently pursue to completion, any needed repair or replacement of the Systems in the interior of the Premises, or if any needed repair or replacement of the Systems in the interior of the Premises would impact portions of the Systems located exterior to the Premises, Landlord shall make the repairs or replacements at Tenant’s sole expense.
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10.3 Notice and Access. Tenant shall promptly notify Landlord of any needed repairs that are Landlord's responsibility. Tenant shall provide Landlord reasonable access to the Premises to perform Landlord's maintenance and repair obligations.
10.4 Emergency Repairs. In the event of an emergency requiring immediate repair to prevent injury to human life or safety, or property damage, Tenant may undertake necessary emergency repairs without prior Landlord approval. Tenant shall notify Landlord of such emergency repairs as soon as reasonably practicable, but in any event within twenty-four (24) hours after commencing repairs. If the emergency repair relates to items that are Landlord's responsibility under Section 10.1, Landlord shall reimburse Tenant's reasonable costs within thirty (30) days of receiving Tenant's invoice and supporting documentation.
10.5 Surrender Condition. Upon termination of this Agreement, Tenant shall surrender the Premises in the same condition as at the commencement of the Term, reasonable wear and tear excepted, broom-clean, and with all Tenant's personal property removed.
11.Quiet Enjoyment; Nuisance. Tenant shall not use or maintain the Premises in any manner that interferes with other Tenants’ quiet enjoyment of their premises or that constitutes a nuisance pursuant to the Lancaster Municipal Code.
12.Compliance with Law. Tenant warrants to Landlord that it shall comply, at its expense, with all statutes, ordinances, rules, orders, and regulations of the federal, state, county, and municipal authorities now in effect or which may hereafter come into effect, relating in any manner to Tenant’s use or occupancy of the Premises during the Term.
13.Mechanic’s Liens. Tenant shall keep the Premises free from any and all liens arising out of any work performed, material furnished, or obligations incurred by Tenant.
14.Property Tax. Tenant acknowledges and agrees that Tenant shall be solely responsible to pay any and all possessory and/or other unsecured property taxes to Los Angeles County based on the value of this lease.
15.Forum Selection. Any action commenced pursuant to this Lease shall be initiated in the Los Angeles County Superior Court or other appropriate court in that county.
16.Attorney’s Fees. If either party commences any legal action or proceeding (arising out of or relating to this Agreement, the prevailing party (as determined by the court) shall be entitled to recover from the non-prevailing party all reasonable costs and expenses incurred, including court costs, reasonable attorneys' fees, and expert witness fees. Recoverable attorneys' fees shall include fees incurred in any trial, appeal, bankruptcy proceeding, or post-judgment collection effort, as well as reasonable pre-litigation collection efforts. "Prevailing party" means the party who obtains substantially the relief sought, whether by judgment, settlement, or otherwise.
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17.SIGNS AND IDENTIFICATION.
17.1 Exterior Signs. Tenant shall not install any exterior signs, awnings, or advertising displays without Landlord's prior written consent, which shall not be unreasonably withheld for professional business identification signage compatible with the Building's character and the Cedar Creative Incubator's mission. All exterior signs must comply with the Lancaster Municipal Code and all applicable sign regulations. Tenant shall maintain all approved signs in good condition and repair at Tenant's expense.
17.2 Building Directory and Suite Identification. Landlord shall provide Tenant with a listing in the Building directory and standard suite identification signage at the Premises entrance at no additional charge. Tenant may request customized suite signage subject to Landlord's approval and at Tenant's expense, provided such signage conforms to Building standards.
17.3 Removal. Tenant shall remove all signs at lease termination and repair any damage caused by installation or removal.
18.Entry. Tenant shall make the Premises available to Landlord or Landlord’s agent for the purposes of entering to make inspection, necessary or agreed repairs, alternations, or improvements or to supply necessary or agreed services, or to show Premises to prospective purchases, tenants, contractors or lenders.
In the event of Tenant’s continued occupancy of the Premises after the expiration of this Agreement, on a month-to-month tenancy, Tenant shall make the Premises available to Landlord or Landlord’s agent for inspection, at or around the time of the creation of the month-to-month tenancy. Landlord shall have the right to take photographs, measurements and/or videotape of the Premises during any inspection. Landlord and Tenant agree that 24 hours’ notice (verbal or written) shall be reasonable and sufficient notice for any entry pursuant to this section, provided, however, that in an emergency, Landlord or Landlord’s representative may enter Premises at any time without prior notice. If Tenant changes any lock on an entry door, Tenant shall provide Landlord with a copy of the key to the new lock.
19.INSURANCE. Tenant’s personal property, fixtures, equipment, inventory and vehicles are not insured by Landlord against loss or damage due to fire, theft, vandalism, rain, water, criminal or negligent actors of others, or any other cause. Tenant is to carry Tenant’s own property insurance to protect Tenant from any such loss.
19.1 Tenant's Liability Insurance. Tenant shall obtain and maintain throughout the Term commercial general liability insurance with minimum limits of $2,000,000 per occurrence and $4,000,000 general aggregate, covering bodily injury, property damage, and personal injury arising out of Tenant's use and occupancy of the Premises. Such insurance shall name “the City of Lancaster, its elected officials, officers, employees, agents, and volunteers as additional covered parties, but only insofar as the operations under this contract are concerned” with respect to liability arising out of Tenant's operations and Tenant's use and occupancy of the Premises. Tenant's liability insurance shall be primary and non-contributory with respect to any insurance or self-insurance maintained by Landlord. 4900-7513-5169v2/022283-0549
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19.2 Tenant's Property Insurance. Tenant shall obtain and maintain throughout the Term property insurance covering Tenant's personal property, trade fixtures, equipment, inventory, improvements, and betterments in the Premises in an amount equal to full replacement cost. Landlord shall have no liability for damage to or loss of Tenant's property.
19.3 Workers' Compensation. If Tenant has employees, Tenant shall maintain workers' compensation insurance as required by California law.
19.4 Insurance Certificates. Tenant shall deliver certificates of insurance evidencing the required coverage to Landlord prior to the Effective Date and upon each policy renewal. All policies shall provide that coverage may not be canceled, materially changed, or non-renewed without at least thirty (30) days' prior written notice to Landlord. Failure to timely provide such certificates shall constitute a breach of the terms of this Agreement as set forth in Section 22 of this Agreement.
19.5 Waiver of Subrogation. Landlord and Tenant each waive any right of recovery against the other for loss or damage to their respective property (including the Premises and building) to the extent such loss or damage is covered by property insurance (including fire and extended coverage) actually carried or required to be carried under this Agreement, regardless of the negligence of the party against whom the claim would otherwise be asserted. Each party shall cause its property insurance policies to include a waiver of subrogation endorsement in favor of the other party.
20. Release; Waiver; Acknowledgment. Tenant hereby forever releases, discharges and acquits the City, its City Council and the members thereof, and its officers, elected and/or appointed officials, employees and agents, from any and all sums of money, claims, contentions, allegations, demands, accounts, actions and/or causes of action whatsoever heretofore arising or now existing by virtue of any matter, fact, transaction or occurrence whatsoever, whether known or unknown, suspected or unsuspected, relating to any condition(s) at the Premises, past or present (“Claims”).
Tenant acknowledges that it has inspected the Premises and accepts the condition of the Premises as of the Effective Date in accordance with Section 7. Tenant releases Landlord from claims relating solely to the physical condition of the Premises existing as of the Effective Date and disclosed to Tenant in writing, except for (a) latent defects not reasonably discoverable upon inspection, (b) violations of applicable building codes or governmental requirements, (c) Landlord's gross negligence or willful misconduct, and (d) any conditions arising after the Effective Date. This release does not extend to any claims arising during the Term of this Agreement from Landlord's obligations under this Agreement or applicable law.
Tenant understands and acknowledges and expressly agrees that Tenant shall not be entitled to relocation benefits of any kind at any time pertaining to Tenant’s occupancy and/or vacation of the Premises.
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21.Notice. All notices, demands, or other communications required or permitted under this Agreement shall be in writing and shall be deemed delivered and effective: (a) upon personal delivery to the party or its authorized agent; (b) one (1) business day after deposit with a nationally recognized overnight courier service; (c) five (5) days after deposit in the United States mail, postage prepaid, certified or registered mail, return receipt requested; or (d) upon confirmation of transmission if sent by email to the email address below during the recipient's normal business hours (or on the next business day if sent after business hours). Notices shall be sent to the addresses below or such other addresses as either party may designate by written notice:
Landlord: City of Lancaster
Attn.: Parks, Arts, Recreation, and Community Services (PARCS) c/o Trolis Niebla, City Manager
44933 Fern Avenue
Lancaster, CA 93534
Tenant: NAME OF TENANT
ADDRESS OF TENANT
Email: ________________________
Phone:________________________
22.LANDLORD’S REMEDIES UPON TENANT’S DEFAULT.
22.1 Termination and Damages. If Tenant fails to cure any breach within ten (10) days after written notice from Landlord (or such longer period as may be reasonable for defaults not susceptible to cure within ten days, provided Tenant commences cure within ten days and diligently pursues cure to completion), Landlord may terminate this Agreement and Tenant's right to possession. Upon such termination, Landlord shall be entitled to recover from Tenant the following damages pursuant to California Civil Code Section 1951.2:
(a) The worth at the time of award of any unpaid Rent that had been earned at the time of termination;
(b) The worth at the time of award of the amount by which the unpaid Rent that would have been earned after termination until the time of award exceeds the amount of such rental loss that Tenant proves could have been reasonably avoided;
(c) The worth at the time of award of the amount by which the unpaid Rent for the balance of the Term after the time of award exceeds the amount of such rental loss that Tenant proves could be reasonably avoided;
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(d) Any other amount necessary to compensate Landlord for all detriment proximately caused by Tenant's failure to perform its obligations under this Agreement or which in the ordinary course of things would be likely to result therefrom, including without limitation reasonable costs of recovering possession, expenses of re-letting (including necessary cleaning, renovation, alteration, and broker commissions), and reasonable attorneys' fees; and (e) At Landlord's election, such other amounts in addition to or in lieu of the foregoing as may be permitted from time to time by applicable law.
As used in subparagraphs (a) and (b) above, "worth at the time of award" is computed by allowing interest at the maximum rate permitted by law. As used in subparagraph (c) above, "worth at the time of award" is computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of award plus one percent (1%).
Landlord shall use reasonable efforts to mitigate damages as required by California Civil Code Section 1951.2(c)(2).
22.2 Continuation After Default. Even though Tenant has breached this Agreement and abandoned the Premises, this Agreement shall continue in effect for so long as Landlord does not terminate Tenant's right to possession pursuant to Section 22.1, and Landlord may enforce all its rights and remedies under this Agreement, including the right to recover Rent as it becomes due. During any period in which Landlord has not terminated Tenant's right to possession, Tenant shall have the right to assign or sublet its interest in the Premises subject to Landlord's prior written consent, which consent shall not be unreasonably withheld, and subject to reasonable standards and conditions established by Landlord. This remedy is provided pursuant to California Civil Code Section 1951.4.
22.3 Incentive Rent Recapture. In the event Tenant was charged Rent at less than $0.65 per square foot pursuant to any City economic development incentive program, and Tenant terminates this Agreement prior to expiration of the Term or is in material default leading to termination by Landlord, the rent differential shall be treated as a conditional economic incentive subject to recapture. Landlord may recover, as additional damages, the difference between the Rent actually paid through the date of termination and the amount that would have been paid at $0.65 per square foot, which the parties agree represents the City's investment in Tenant's business development that is lost due to early termination.
23. Tenant’s Obligation Upon Vacating Premises. Upon termination of the Agreement, Tenant shall:
(i) give Landlord all keys, including any copies, and/or opening devices to the Premises, including any common areas; (ii) vacate the Premises and surrender it to Landlord empty of all persons and personal property; (iii) vacate all parking and storage spaces; (iv) deliver Premises to Landlord in the same condition as referenced in paragraph 10; (v) clean the Premises; (vi) give written notice to Landlord of Tenant’s forwarding address.
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24.Subletting/Assignment. Tenant shall not sublet or encumber all or any part of the Premises, or assign or transfer this Agreement or any interest in it, without the prior written consent of Landlord.
Landlord's consent may be conditioned upon: (a) the proposed assignee or subtenant demonstrating financial capability to perform Tenant's obligations; (b) the proposed use being compatible with the Cedar Creative Incubator program mission and other tenants; (c) the proposed assignee or subtenant having experience and expertise appropriate for the intended use; (d) the proposed assignee or subtenant agreeing to be bound by all terms of this Agreement; and (e) Tenant remaining liable for all obligations under this Agreement unless expressly released in writing by Landlord. Landlord shall respond to any request for consent within thirty (30) days of receiving Tenant's written request accompanied by all reasonably requested information about the proposed transferee. Any subletting, assignment, or transfer made without Landlord's written consent shall be void and, at Landlord's option, shall constitute a material breach entitling Landlord to exercise remedies under Section 22.
25.Waiver. No covenant, term or condition of this Agreement shall be deemed to have been waived by Landlord unless such waiver is in writing by Landlord. The subsequent acceptance of Rent hereunder by Landlord shall not be deemed to be a waiver of any preceding breach by Landlord of any term, covenant or condition of this Agreement, other than the failure of Tenant to pay the particular rent so accepted, regardless of Landlord's knowledge of such preceding breach at the time of acceptance of such Rent.
26.Indemnification. To the fullest extent permitted by law, Tenant shall indemnify, defend (with counsel reasonably acceptable to Landlord), and hold harmless Landlord and its elected officials, officers, employees, agents, and representatives from and against any and all claims, demands, causes of action, losses, damages, liabilities, costs, and expenses (including reasonable attorneys' fees and court costs) arising out of, resulting from, or in connection with (a) Tenant's use, occupancy, management, or control of the Premises, (b) Tenant's breach of any term, covenant, or condition of this Agreement, (c) Tenant's negligence or willful misconduct, or (d) the acts or omissions of Tenant's employees, agents, contractors, licensees, or invitees, except to the extent such claims are caused by the sole negligence or willful misconduct of Landlord. Tenant's indemnification obligation shall be reduced in proportion to the comparative negligence of Landlord.. Tenant’s obligation to defend shall arise immediately upon notice of a claim. Tenant shall provide prompt written notice of any claim and cooperate in the defense. Tenant shall not settle any claim without City’s prior written consent, which shall not be unreasonably withheld if the settlement includes a full release and no admission of liability by the City.
27.Controlling Law. The laws of the State of California shall govern the validity, performance and enforcement of this Agreement.
28.Entire Agreement. All prior agreements between Landlord and Tenant are incorporated in this Agreement, which constitutes the entire contract. It is intended as a final expression of the parties’ 4900-7513-5169v2/022283-0549
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agreement, and may not be contradicted by evidence of any prior agreement or contemporaneous oral agreement.
29.Authority. Tenant and Landlord each represents to the other that the undersigned agent has authority to execute this Agreement on behalf of its respective party.
30.Counterparts, Signatures. This Agreement may be executed in two or more counterparts each of which shall be deemed to be an original but all of which shall constitute one and the same instrument. It shall not be necessary for every party hereto to sign each counterpart but only that each party shall sign at least one such counterpart. Faxed and/or digital copies of signatures or this Agreement shall have same effect as original signatures and/or original Agreement.
31.DAMAGE AND DESTRUCTION.
31.1 Partial Damage. If the Premises are damaged but not rendered unsuitable for Tenant's continued use and occupancy, Landlord shall repair the damage at Landlord's expense within sixty (60) days, and this Agreement shall continue in full force. Rent shall abate proportionately for any portion of the Premises rendered unusable during the repair period.
31.2 Substantial Damage. If the Premises are damaged such that Tenant cannot reasonably conduct its business, Rent shall abate entirely for the period the Premises are unusable. If Landlord reasonably estimates that repairs cannot be completed within one hundred eighty (180) days, either party may terminate this Agreement by written notice within thirty (30) days after the casualty.
31.3 Destruction. If the Premises are destroyed or damaged to the extent that repair or restoration is not economically feasible in Landlord's reasonable judgment, Landlord may terminate this Agreement by written notice within thirty (30) days after the casualty.
31.4 Last Year of Term. If damage occurs during the final twelve (12) months of the Term and repairs cannot reasonably be completed before expiration, either party may terminate by written notice.
32.FORCE MAJEURE
Neither party shall be liable for any delay or failure to perform its obligations under this Agreement (other than payment obligations) to the extent such delay or failure is caused by force majeure events, including acts of God, fire, flood, earthquake, pandemic or epidemic, acts of war or terrorism, government orders or restrictions, labor disputes, or other events beyond the reasonable control of the affected party. The affected party shall provide prompt written notice to the other party and use reasonable efforts to resume performance. If a force majeure event continues for more than one hundred eighty (180) days, either party may terminate this Agreement upon written notice.
33.HAZARDOUS MATERIALS.
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Tenant shall not cause or permit any Hazardous Materials (as defined below) to be brought upon, stored, used, generated, released, or disposed of on or about the Premises without Landlord's prior written consent. "Hazardous Materials" means any substance, material, or waste that is or becomes regulated as hazardous or toxic under any federal, state, or local law, including petroleum products, asbestos, and polychlorinated biphenyls. Tenant shall immediately notify Landlord of any release of Hazardous Materials on the Premises and shall remediate any such release at Tenant's sole expense in compliance with applicable law.
Tenant shall indemnify and hold Landlord harmless from any claims, costs, or liabilities arising from Tenant's breach of this provision.
34. TENANT DEFAULT.
The occurrence of any of the following shall constitute a material default by Tenant:
(a) Failure to pay Rent or any other sum when due, if such failure continues for five (5) days after written notice;
(b) Failure to perform any other term, covenant, or condition of this Agreement, if such failure continues for ten (10) days after written notice (or such longer period as is reasonably necessary to cure if the default cannot reasonably be cured within ten days, provided Tenant commences cure within ten days and diligently pursues cure to completion);
(c) Abandonment of the Premises;
(d) Assignment, subletting, or other transfer without Landlord's consent as required by Section 24; (e) The filing of a petition by or against Tenant under any bankruptcy or insolvency law, if not dismissed within sixty (60) days; or
(f) A general assignment by Tenant for the benefit of creditors. 4900-7513-5169v2/022283-0549
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California Levine Act Statement
California Government Code Section 84308, commonly referred to as the "Levine Act," prohibits any Lancaster official from participating in any action related to a contract or application if he or she receives any political contributions totaling more than $500 within the previous twelve months, and for twelve months following the date a final decision is rendered.
The Levine Act also requires a Lancaster City official who has received such a contribution to disclose the contribution on the record of the proceeding.
Current Lancaster City Council Members are listed at:
https://www.cityoflancasterca.org/government/city-officials/city-council-copy Current Planning Commissioners are listed at:
https://www.cityoflancasterca.org/government/commissions-appointments/planning Proposers are responsible for accessing this link to review the names prior to answering the following questions.
1. Have you or your company, or any agent/board member on behalf of you or your company/entity, made any political contributions of more than $500 to any Lancaster City Council Member or other city official in the 12 months preceding the date of the submission of your proposal or application, or the anticipated date of any Council action? ___ YES If yes, please identify the Council Member(s)/city official(s):
___ NO
2. Do you or your company/entity, or any agency on behalf of you or your company/entity, anticipate or plan to make any political contribution of more than $500 to any Lancaster City Council Member or other city official in the 12 months following any Council action related to your proposal or application? ___ YES If yes, please identify the Council Member(s) /city official(s)::
___ NO
Answering yes to either of the two questions above does not preclude the Lancaster City Council from awarding a contract or approving an application or any subsequent action. It does however, preclude the identified Council Member(s) from participating in any actions related to your proposal or application. _________________ _____________________________
Date Signature of authorized individual
_____________________________
Company/Applicant Name
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their respective officers thereunto duly authorized.
LESSOR:
CITY OF LANCASTER
LANCASTER, CALIFORNIA
By: ________________________
Trolis Niebla, City Manager
Dated: ________________________
LESSEE
By: ________________________
NAME OF TENANT
Dated: ________________________
ATTEST:
________________________
City Clerk
APPROVED AS TO FORM:
________________________ ______________________
City Attorney RM
CONTRACT SUBMISSION APPROVAL:
________________________
Department Head