LEASE OF REAL PROPERTY LOCATED AT 120 S.
BRADFORD STREET, PLACENTIA, CALIFORNIA
This LEASE OF REAL PROPERTY ("Lease") is dated November 7, 2023 and is entered into by and between the CITY OF PLACENTIA, a Charter City and municipal corporation (hereinafter referred to as "City"), and the PLACENTIA CHAMBER OF COMMERCE, a California non-profit corporation (hereinafter referred to as "Tenant").
1. Recitals.
This Lease is entered into based upon the following facts, circumstances and understandings:
1. City owns that certain parcel of real property, located at 120 S. Bradford Avenue, the legal description of which is set forth in Exhibit A, (the "Property") attached hereto and incorporated herein by this reference.
2. Tenant desires to lease a portion of the Property as expressly described and depicted on Exhibit B, hereinafter referenced as the "Premises."
3. Tenant desires to continue to operate its business operations on the Property and in the leased Premises.
4. Based on the foregoing facts, circumstances and understandings and on the terms and conditions set forth below, City is willing to lease the Premises to the Tenant for Tenant's proposed use subject to the terms and conditions of this Lease.
5. All legal prerequisites to the making of this Lease have occurred.
WHEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and in consideration of the facts, circumstances and understandings set forth above (which are incorporated into the body of this Lease by this reference) and the terms and conditions set forth herein, the parties, intending to be legally bound, hereto agree as follows:
2. Premises; Use of Certain Rooms
City hereby agrees to lease to Tenant and Tenant agrees to lease from City that certain space as depicted on Exhibit B of the Property, specifically the rooms identified as room number 110, 111, 112, and 113. The City to purchase the office furniture for the stated rooms on Exhibit B. The City will consult with the Tenant but the final decision on the furniture rests with the City.
Tenant shall also have the right to use the Courtyard up to four (4) times per month for Chamber of Commerce -sponsored events in connection with its business operations, not to exceed five (5) hours per use, as available, provided that each use is reserved on the City's master reservation calendar no less than one (1) week in advance, and such scheduling shall be subject to the availability of the courtyard and shall not occur during the Fire and Life Safety Department's normal business hours. Longer periods may be allowed at the City's discretion.
Tenant shall also have the right to use certain restrooms space numbers 132 and 131 as depicted on Exhibit B of this Agreement.
Chamber Lease Agreement Page 1 of 16
Tenant shall also have the right to use one (1) designated parking stall in the back of Old City Hall's off-street parking lot for its business operations.
Tenant shall be issued one (1) key FOB, which is a keyless entry remote transmitter which will provide electronic access control in and out of the parking lot at Old City Hall. Tenant will be provided with keys for all exterior doors within its leased space as well as the exterior mailbox provided by the City. Tenant shall be issued one (1) remote control to open and close the motorized gate to the parking lot. City shall provide Visitor Center furnishings which shall remain the property of the City through the lease term.
Tenant shall have access to a designated City -provided mailbox for Chamber business use with the property address listed as 120 S. Bradford Avenue, Placentia, CA 92870.
3. Term; Extension Option
The term of this Lease shall be for five (5) years, commencing on November 7, 2023, and ending on November 7, 2028.
Tenant can submit a request to the City to extend the term of this Lease for an additional five (5) years (the "Extension Term") by giving written notice of the extension to the City at least two (2) months prior to the expiration of the initial five (5) year term. The City Council shall have the discretion to approve or deny the extension request. This Lease may be terminated by City, with or without cause, and without liability to City, on sixty (60) days prior written notice to Tenant.
4. Rent
Commencing on November 7, 2023, Tenant agrees to pay to City, as rent without prior notice or demand by the City, the sum of $271.00 per month, on or before the first day of each calendar month during the term of this Lease, subject to the following annual increases.
The monthly rent shall be increased annually, effective November 7th of each year (including the first day of the Extension Term and November 7th of each year during the Extension Term, if any), by three percent (3%) of the monthly rent in effect for the previous year, as depicted in Exhibit C.
Rent for any period during the term hereof which is for less than one (1) month shall be a prorated portion of the monthly payment required herein, based upon a thirty (30) day month. Said rental shall be paid to City without deduction or offset, in lawful money of the United States of America at 401 E. Chapman Avenue, Placentia, California, 92870.
5. Use
Tenant shall use the Premises and Courtyard for professional office purposes in connection with its Placentia Chamber of Commerce business operations and shall not use or permit the Premises to be used for any other purpose without the prior written consent of City at its sole and absolute discretion. Tenant shall not do or permit anything to be done in or about the Premises nor Chamber Lease Agreement Page 2 of 16
bring or keep anything therein which will in any way increase the existing rate of or affect any fire or other insurance upon the Premises or any of its contents, or cause cancellation of any insurance policy covering the Premises or part thereof or portion of its contents. Tenant shall not do or permit anything to be done in or about the Premises which will in any way obstruct or interfere with the operations of the Placentia Fire and Life Safety Department or the rights of other parties or injure or annoy them or use or allow or permit the Premises to be used for any improper, immoral, unlawful or objectionable purpose. Tenant understands that the Placentia Fire and Life Safety Department can be disruptive at times due to the nature of their operations. Likewise, Placentia Fire and Life Safety Department shall endeavor to not unreasonably do or permit anything to be done in or about the Premises which will obstruct or interfere with the operations of the Placentia Chamber of Commerce or the rights of other parties or injure or annoy them or use or allow or permit the Premises to be used for any improper, immoral, unlawful or objectionable purpose. Nor shall Tenant cause, maintain or permit any nuisance in or about the Premises. Tenant shall not commit or suffer to be committed any waste in or upon the Premises. Tenant shall maintain the Premises so as to be free from risk hazards to the public health, safety, or welfare.
6. Compliance with Law
Tenant shall not use the Premises or Courtyard or permit anything to be done in or about the Premises or Courtyard which will in any way conflict with any law, statute, ordinance or other governmental rule or regulation now in force or which may hereinafter be enacted or promulgated.
Tenant shall, at its sole cost and expense, promptly comply with all law,statutes, ordinance and other governmental rules, regulations or requirements now in force or which may hereinafter be enacted or promulgated, and with the requirements of any board of fireinsurance underwriters or other similar bodies now or hereafter constituted, relating to, or affecting the condition, use or occupancy of the Premises, excluding structural changes not related to or affected by Tenant's improvements and acts. The judgment of a court of competent jurisdiction or the admission of Tenant in any action against Tenant, whether City is party theretoor not, the Tenant has violated any law, statute, ordinance or any other governmental rule or regulation shall be conclusive of that fact as between City and Tenant.
7. Alterations and Additions
Tenant shall not make or suffer to be made any alterations, additions or improvements in or about the Premises or any part thereof without the written consent of the City Administrator. Any alterations, additions or improvements in, to or about the Premises including, but not limited to, wall coverings, paneling and built-in cabinet work, but excepting movable furniture and trade fixtures, shall on the expiration or sooner termination of the term hereof, become a part of the realty shall belong to City and shall be surrendered with the Premises. In the event City consents to the making of any alterations, additions or improvements to the Premises by Tenant, the same shall be made by Tenant at Tenant's sole cost and expense.
8. Physical Condition of Premises; Limited City Maintenance Responsibilities By taking possession of the Premises, Tenant shall be deemed to have accepted the Premises (and Conference Room) As -Is and as being in good sanitary order, condition and repair. Tenant shall, as Tenant's sole cost and expense, keep the Premises and any part thereof in good condition and Chamber Lease Agreement Page 3 of 16
repair. Tenant shall, upon the expiration or sooner termination of this Lease, surrender the Premises to City in good condition. City shall have no obligation whatsoever to alter, remodel, improve, repair, decorate or paint the Premises, or any part thereof, and the parties hereto affirm that City has made no representations to Tenant respecting the conditions of the Premises or the building thereon except as specifically set forth herein. Tenant further agrees that it shall submit to City, prior to applying for any permits to renovate, reconstruct, improve, alter or in any other way modify the premises, plans and specifications for City's approval. The City shall provide routine custodial maintenance of the restrooms and courtyard. Tenant shall be responsible to provide routine custodial maintenance of its leased office spaces.
City shall not be liable for any failure to make any repairs, or to perform any maintenance with respect to the Premises, except as specifically provided herein. Except as may otherwise expressly be provided herein, there shall be no abatement of rent and no liability of City by reason of any injury to or interference with Tenant's business arising from the making of any repairs, alterations or improvements in or to any portion of the building or the Premises or the Courtyard or in or to any fixtures, appurtenances and equipment therein. Tenant hereby specifically waives the right to make repairs at City's expense under any law, statute or ordinance now or hereafter in effect.
Notwithstanding the foregoing, City shall, at City's expense (except for damage caused by Tenant or its contractors, employees or agents), maintain and repair the HVAC serving the Premises and the lighting system within the Premises; however, City shall not be in default for failure to maintain or repair (or for failure to comply with any other provisions of this Lease) unless Tenant shall have given written notice to City of the failure and City shall have failed to cure the failure within thirty (30) days after such notice; provided, however, that if the nature of the cure is such that more than thirty (30) days are needed to cure, then City shall not be in default provided City commences the cure within the thirty (30) day period and thereafter diligently prosecutes the cure to completion.
9. Claims Against Premises
Tenant shall not suffer or permit to be enforced against the Premises, or any part thereof, any mechanic's, materialman's, contractor's or subcontractor's liens arising from, or any claim for any work of construction, repair, restoration, replacement or improvement of or to the Premises or any other claim or demand howsoever the same may arise, but Tenant shall pay or cause to be paid any and all such claims or demands before any action is brought to enforce the same against the Premises. Tenant agrees to indemnify, defend and hold the City and the Premises free and harmless of all liability for any and all such claims and demands, together with City's reasonable attorneys' fees and all costs and expenses in connection therewith.
10. Utilities
City and Tenant agree that the rent specified in Section 4 of this Lease includes the base cost of all water, electrical, gas and other utility services, but excludes telephone costs and internet (which Tenant shall procure at its sole cost and expense). Tenant shall not run any new utility or communication service lines without City's prior written consent. The rent also includes the Tenant's fair share of maintenance and operation of the percentage of the building occupied by the Chamber Lease Agreement Page 4 of 16
tenant.
11. Taxes
Tenant shall pay, or cause to be paid, before delinquency, any and all taxes levied or assessed and which become payable during the term hereof upon all of Tenant's possessory interest in and to the Premises, leasehold improvements, equipment, furniture, fixtures and personal property located in or about the Premises. Tenant agrees that, without prior demand or notice by City, Tenant shall, not less than fifteen (15) days prior to the date upon which any such possessory interest or other such tax is due, provide City with proof of payment of such tax.
12. Rules and Regulations
Tenant shall faithfully observe and comply with all the rules and regulations as they pertain to the Premises and/or the Courtyard, that City shall from time to time promulgate. City reserves the right from time to time to make reasonable modifications, to said rules and regulations. City shall endeavor, but not be required to, consult with Tenant prior to implementing any changes that will affect Tenant's operations. The additions and modifications to those rules and regulations shall be binding upon Tenant upon delivery of a copy thereof to Tenant.
13. Holding Over
If Tenant remains in possession of the Premises or any part thereof after the expiration of the term hereof, with the express written consent of City, such occupancy shall be a tenancy from month-to-month at a rental in the amount of one hundred and ten percent (110%) of the last monthly rental, plus all other charges payable hereunder, and upon all the terms and conditions hereof applicable to a month-to-month tenancy.
14. Entry by City
Tenant hereby agrees that representatives of the City, as designated by the City Administrator, shall have the right to enter the Premises without escort for its employees and agents, twenty-four (24) hours a day, seven (7) days per week, and inspect the same to determine if the same complies with each and every term and condition of this Lease and with all applicable City, County, State and Federal laws, rules, ordinances and regulations relating to building occupancy and the conduct of Tenant's business. City shall endeavor, but not be required to, notify Tenant within twenty-four (24) hours of entering the Premise. Tenant hereby waives any claim for damages or for any injury or inconvenience to or interference with Tenant's business, any loss of occupancy or quiet enjoyment of the Premises and any loss occasioned thereby. For each of the aforesaid purposes, City shall at all times have and retain a key with which to unlock all of the doors in, upon and about the Premises, excluding Tenant's vaults, safes and files, and City shall have the right to use any and all means which City may deem proper to open said doors in an emergency, in order to obtain entry to the Premises without liability to Tenant except for any failure to exercise due care for Tenant's property. Any entry to the Premises obtained by City by any of said reasons, or otherwise, shall not, under any circumstances, be construed or deemed to be a forcible or unlawful entry into, or a detainer of, the Premises, or an eviction of Tenant from the Premises or any portion thereof.
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15. Default
The occurrence of any one or more of the following events shall constitute a default and breach of this Lease by Tenant:
A. Vacating or abandonment of the Premises by Tenant;
B. The failure by Tenant to make any payment of rent or any other payment required to be made by Tenant hereunder, as and when due, where such failure shall continue for a period of thirty (30) days after written notice thereof by City to Tenant; C. A failure by Tenant to observe or perform any of the covenants, conditions or provisions of this Lease to be observed or performed by, Tenant, where such failure shall continue for a period of thirty (30) days afterwritten notice thereof by City to Tenant; provided, however, that if the nature of the default involves such that more than thirty (30) days are reasonably required for its cure, then Tenant shall not be deemed to be in default if Tenant commences such cure within such thirty (30) day period and thereafter diligently prosecutes said cure to completion; and D. The making by Tenant of any general assignment or general arrangement for the benefit of creditors; or the filing by or against Tenant of a petition to have Tenant adjudged a bankrupt, or a petition or reorganization or arrangement under any law relating to bankruptcy (unless, in the case of a petition filed against Tenant, the same is dismissed within sixty (60) days); or the appointment of a trustee or a receiver to take possession of substantially all of Tenant's assets located in or about the Premises or of Tenant's interest in this Lease, where possession is not restored to Tenant within thirty (30) days; or the attachment, execution or otherjudicial seizure of substantially all of Tenant's interest in this Lease, where such seizure is not discharged in thirty (30) days.
16. Remedies for Default
In the event of any such material default or breach by Tenant, City may at any time thereafter and without notice or demand and without limiting City in the exercise of a right or remedy City may have by reason of such default or breach:
A. Terminate Tenant's right to possession of the Premises by any lawful means in which case this Lease shall terminate and Tenant shall immediately surrender possession of the Premises to City. In such event, City shall be entitled to recover from Tenant all damages incurred by City by reason of Tenant's default including, but not limited to, the cost of recovering possession of the Premises, expenses of reletting, including necessary renovation and alteration of the Premises, for reasonable attorneys' fees and costs, any real estate commission actually paid, or the worth at the time of award by the court having jurisdiction thereof of the amount by which the unpaid rent for the balance of the term after the time of such rental loss for the same period that Tenant proves could be reasonably avoided. Unpaid installments of rent or other sums shall bear interest from the due date thereof at the rate of ten percent (10%). In the event Tenant shall have abandoned the Premises, City shall have the option of (1) taking possession of the Premises and recovering from Tenant the amount specified in this subparagraph, or (2) proceeding under the Chamber Lease Agreement Page 6 of 16
provisions of the following subparagraphs.
B. Maintain Tenant's right to possession, in which case this Lease shall continue in effect whether or not Tenant shall have abandoned the Premises. In such event, City shall be entitled to enforce all of City's rights and remedies under this Lease, including the right to recover rent as it becomes due hereunder.
C. Pursue any other remedy now or hereafter available to City under the laws or judicial decisions of the State of California. Furthermore, Tenant agrees that no election by City as to any rights or remedies available hereunder or under or pursuant to any law or judicial decisions of the State of California shall be binding upon City until the time of trial of any suchaction or proceeding.
17. Eminent Domain
If more than twenty-five percent (25%) of the Premises shall be taken or appropriated by any public or quasi -public authority under the power of eminent domain, either party hereto shall have the right, as its option, to terminate this Lease, and City shall be entitled to any and all income, rent, award, or any interest therein whatsoever which may be paid or made connection with such public or quasi -public use or purpose, and Tenant shall have no claim against City for the value of any unexpired term of this Lease. If either less than or more than twenty-five percent (25%) of Premises is taken, and neither party elects to terminate as herein provided, the rental thereafter to be paid shall be equitably reduced.
18. Offset Statement
Tenant shall at any time and from time to time upon not less than ten (10) days prior written notice from City, execute, acknowledge and deliver to City a statement in writing (a) certifying that this Lease is unmodified and in full force and effect or, if modified, stating the nature of such modification and certifying that this Lease, as so modified, is in full force and effect and the date to which the rental and other charges are paid in advance, if any, and (b) acknowledging that there are not, to Tenant's knowledge, any incurred defaults on the part of City hereunder, or specifying such defaults if any are claimed. Any such statement may be reliedupon by any prospective purchaser or encumbrancer of all or any portion of which the Premises are a part.
19. Assignment and Subletting
Tenant shall not assign or transfer this Lease or any right hereunder to any other party or parties nor shall Tenant sublet all or any portion of the Premises or the Courtyard without first obtaining the written consent of City. Any assignment or subletting without such prior written consent shall be void for all purposes and City may, at its option, declare a forfeiture of the same in any manner provided by law. Consent to any such assignment or subletting shall beat City's sole and absolute discretion and City is not required hereunder to consent to any such proposed assignment or subletting.
20. Attorneys' Fees
In the event that any action or proceeding is brought by either party to enforce any term or Chamber Lease Agreement Page 7 of 16
provision of this Lease, the prevailing party shall recover its reasonable attorneys' fees, experts' costs, and all other costs of suit.
21. Fixtures
All trade fixtures installed in or on the Premises by Tenant may be removed by Tenant at any time during the term of this Lease so long as the same may be removed without permanent damage to the Premises. Tenant shall repair all damage which may result therefrom to the reasonable satisfaction of City.
22. Indemnification
Tenant agrees that Tenant will defend, indemnify and hold City and their elected officials, officers, agents and employees free and harmless from all liabilities, claims, losses, damages, costs and expenses for damage to persons or property by reason of Tenant's negligence or Tenant's acts or those of Tenant's employees, agents, guests or invitees in connection with Tenant's use and occupancy of the Premises and the Courtyard and any common areas of the Building or other portions of the Building.
23. Insurance
A. Fire and Extended Coverane
1) Tenant's Duty to Keep Improvements Insured
Throughout the term here of at Tenant's sole cost and expense, Tenant shall keep or cause to be kept insured, for the mutual benefit of City and Tenant, all improvements located on or appurtenant to the Premises against loss or damage by fire and such other risks as are now or hereafter included in an extended coverage endorsement in common use for such structures, including vandalism and malicious mischief. The amount of the insurance shall be the then replacement cost but without deduction for depreciation (herein called "Full Insurable Value"). City shall not carry any insurance the effect of which would be to reduce the protection or payment to Tenant under any insurance that this Lease obligates Tenant to carry. If any dispute as to whether the amount of insurance complies with the above cannot be resolved by agreement, City may, not more than once every three (3) months, request the carrier of the insurance then in force to determine the Full Insurable Value as defined in this provision, and the resulting determination shall be conclusive between the parties for the purpose of this paragraph.Tenant shall include the holder of any mortgage on the Lease as a loss payee to the extent of that mortgage interest. 2) Proceeds of Fire and Extended Coverage Insurance
City shall, at Tenant's sole cost and expense, cooperate fully with Tenant to obtain the largest possible recovery, and all policies of fire and extended coverage insurance required by subparagraph 22, above, shall provide that the proceeds shall be paid to Tenant as follows:
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a) The proceeds shall be deemed to be held in trust by the recipient to the uses and purposes prescribed by this Lease.
b) Disbursements of proceeds for repair, restoration, reconstruction of improvements shall be made monthly on architect's certificates until all the work is completed and accepted; provided, however, that such disbursements shall not exceed ninety percent (90%) of the work in place until completion, acceptance, expiration of time for lien claims, and elimination of all liens claimed.
c) Any insurance proceeds remaining after complying with the provisions of this Lease relating to maintenance, repair, and reconstruction of improvements shall be the sole property of Tenant.
B. Commercial General Liability Insurance
Throughout the term hereof, at Tenant's sole cost and expense, Tenant shall keep or cause to be kept in full force and effect, for the mutual benefit of City and Tenant, commercial general liability insurance against claims and liabilities for personal injury, death, and/or property damage arising from the use, occupancy, disuse, or condition of the Premises, improvements, or adjoining areas or ways, providing protection of at least One Million Dollars ($1,000,000) for bodily injury or death to any one person, One Million Dollars ($1,000,000) for any one accident or occurrence and at least Five Hundred Thousand Dollars ($500,000) for property damage.
C. Policy Form, Contents and Insurer
All insurance required by express provision of this Lease shall be carried only in responsible insurance companies licensed to do business in the State of California. All such policies shall contain language providing that (1) the insurer waives the right of subrogation against City and against City's employees, agents and representatives, (2) the policies are primary and noncontributing with any insurance that may be carried by City, and (3) they cannotbe canceled or materially altered except after thirty (30) days' notice by the insurer to City. Tenant shall furnish City with copies of all such policies promptly upon receipt of them, or certificates evidencing the insurance. Prior to the commencement of this Lease, Tenant shall furnish City with certificates and endorsements representing all insurance required by this Lease.The required policy shall name the City of Placentia and their respective elected officials, officers, agents and employees as additional insureds. Tenant may affect for its own account any insurance not required under this Lease.
D. Failure to Maintain Insurance; Proof of Comnliance
Tenant shall deliver to City, in the manner required for notices, copies of certificates and endorsements of all insurance policies required by this Lease, together with evidence satisfactory to City of having procured and currently maintaining all required policies,with the following time limits.
For insurance required at the commencement of this Lease, upon execution of this Lease; for insurance becoming required at a later date, at least ten (10) days before that requirement Chamber Lease Agreement Page 9 of 16
takes effect, or as soon thereafter as the requirement, if new, takes effect; For any renewal or replacement of a policy already in existence, at least twenty (20) days before expiration or other termination of the existing policy.
If Tenant fails or refuses to procure or maintain insurance as required by this Lease, or fails or refuses to furnish City with required proof that the insurance has been procuredand is in full force and paid for, City shall have the right, at City's election and on thirty (30) days' notice, to procure and maintain such insurance. The premiums paid by City shall be treated as added rent due from Tenant with interest at the rate of ten percent (10%) to be paid on the first day of the month following the date on which the premium was paid. City shall give prompt notice of the payment of such premiums, stating the amounts paid and the names of the insurer or insurers, and interest shall run from the day of the notice.
24. Authority of Parties
Each individual executing this Lease on behalf of Tenant represents and warrants that he or she is fully authorized to execute and deliver this Lease on behalf of Tenant and that this Lease is binding upon Tenant in accordance with terms.
25. Waiver
The waiver by City of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition, on any subsequent breach of the same or any other term, covenant or condition herein contained. The subsequent acceptance of rent hereunder by City shall not be deemed to be a waiver of any preceding breach by Tenant of any term, covenant or condition of this Lease, other than the failure of the Tenant to pay the particular rental so accepted, regardless of City's knowledge of such preceding breach at the timeof the acceptance of such rent.
26. Time
Time is of the essence of this Lease and each and all of its provisions in which performance is a factor.
27. Late Charles
Tenant hereby acknowledges that late payment by Tenant to City of rent or other sums due hereunder will cause City to incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting charges. Accordingly, if any installment of rent from Tenant shall not be received by City or City's designee within fifteen (15) days after written notice that said amount is past due, then Tenant shall pay to City a late charge equal to ten percent (10%) of such overdue amount. The parties hereby agree that such late charges represent a fair and reasonable estimate of the cost that City will incur by reason of the late payment by Tenant. Acceptance of such late charges by City shall in no event constitute a waiver of Tenant's default with respect to such overdue amount, nor prevent City from exercising any of the rights and remedies granted hereunder.
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28. Inability to Perform
This Lease and the obligations of Tenant hereunder shall not be affected or impaired because City is unable to fulfill any of its obligations hereunder or is delayed in doing so, if such inability or delay is caused by reason of strike, war, civil, insurrection, acts of God, or any other cause beyond the reasonable control of City.
29. Signs
Tenant shall not place any permanent signage upon the Premises without City's prior written consent. Temporary signage must be approved by the City.
30. Performance Bond
Tenant shall obtain prior to the commencement of any repair, alteration, addition, renovation or improvement as may be required or permitted herein if the work is in excess of $10,000, Tenant shall file with the City Clerk of City a corporate surety bond satisfactory to City's City Council and conditioned that the Tenant shall well and truly observe, fulfill and perform each and every repair, alteration, addition, renovation or improvement contemplated. The corporate surety bond shall be in the penal sum of one hundred and ten percent (110%) of the reasonable value of any such repair, alteration, addition, renovation or improvement as determined by City's Building Official, whose decision shall be final. In the event of any breach of any condition of the aforesaid bond, the whole amount of thepenal sum therein named shall be deemed to be liquidated damages, and the same shall be recoverable from the principal and sureties upon the bond. This corporate surety bond will be required for any repair, alteration, addition, renovation or improvement over $10,000, as estimated by the City.
Upon completion of the repairs, alterations, additions, renovations or improvements secured by said corporate surety bond, Tenant may apply to City's Building Official for a reduction in the penal sum of said bond and said Building Official, upon satisfactory proof being presented shall reduce the penal sum thereof to an amount not exceeding fifty percent (50%) of the reasonable value of said repairs, alterations, etc.
31. Successors
Subject to the provisions of this Lease with respect to assignment and subletting, each and all of the covenants and conditions of this Lease shall be binding upon and inure to the benefit of all successors in interest of the parties.
32. Notices
Any notice required or permitted under the terms of this Lease shall be deemed served when personally served on Tenant or City's City Clerk or when the same has been placed in the United States mail, postage prepaid and addressed as follows:
Chamber Lease Agreement Page 11 of 16
Tenant: Placentia Chamber of Commerce
120 S. Bradford Avenue
Placentia, CA 92870
Attention: President
City: City of Placentia
Attention: City Administrator
401 E. Chapman Avenue
Placentia, CA 92870
33. Execution by City Not a Waiver
Tenant understands and agrees that City, by entering into and executing this Lease, shall not have waived any right, duty, privilege, obligation or authority vested in City to approve, disapprove or conditionally approve any application which Tenant may be required to make under any laws, rules, ordinances or regulations now or hereafter in effect which City may be empowered to apply, including, but not limited to, any use permit or approval whether similar in nature or not.
34. Entire Aereement
This Lease contains the entire agreement between the parties with respect to the subject matter herein. No promise, representation, warranty, or covenant not included in this Lease has been or is relied on by either party. Each party has relied on its own examination of this Lease, the counsel of its own advisors, and the warranties, representations, and covenants in the Lease itself.
The failure or refusal of either party to inspect the Premises or improvements, to read the Lease or other documents or to obtain legal or other advice relevant to this transaction constitutes a waiver of any objection, contention, or claim that might have been based on such reading, inspection, or advice.
WHEREFORE, the parties hereto have entered into the Lease as of the date set forthbelow opposite the name of each signatory hereto.
CITY: TENANT:
CITY OF PLACENTIA,
a political subdivision of the
State of California
Damien R. Arrula
City Administrator
PLACENTIA CHAMBER OF
COMMERCE, a California non
profit corporation
Walt Lyncci,1 resident
Placentia Chamber of Commerce
Chamber Lease Agreement Page 12 of 16
Approved as to Form:
Christian Bettenhausen, City Attorney
Attest:
Robert S. McKinnell, City Clerk, City of Placentia
Chamber Lease Agreement Page 13 of 16
EXHIBIT "A"
LEGAL DESCRIPTION
The land referred to herein below is situated in the City of Placentia, in the County of Orange, State of California, and is described as follows:
Parcel 2 of Parcel Map No. 85-378, in the City of Placentia, County of Orange, State of California as shown on a Map filed in Book 208, Pages 13 and 14 of Parcel Maps, in the office of the County Recorder of said Orange County; excepting therefrom a portion of said Parcel 2, more particularly described as a whole as follows:
Beginning at the most Westerly corner of said Parcel 2; thence along the Northwesterly and Northeasterly boundary line of said Parcel 2 through the following courses North 13°59'25" East
65.00 feet; thence South 76°01'54" East 71.26 feet; thence North 13°58'06' East 2.00 feet', thence South 76°01'54" East 20.00 feet to an angle point in said Northeasterly boundary line; thence leaving said Northeasterly line and along the Southeasterly prolongation of said Northeasterly line South 76°01'54" East 29.99 feet to a point on the Southeasterly boundary line of said Parcel 2; thence along said Southeasterly line, South 13°59'25" West 67.00 feet to the most Southerly corner of said Parcel 2; thence leaving said Southeasterly line and along the Southwesterly line of said Parcel 2; North76°01'54" West 121.25 feet to the point of beginning.
Containing an area of 7,981 square feet (0.183 acres)
Assessor's Parcel Numbers(s):
1: 339-052-28
2: 339-052-29
Chamber Lease Agreement Page 14 of 16
Chamber Lease Agreement
COURTYARD
-
LI
CHAMBER
OFFICE OFFICE
11101
209 SF
CHAMBER
OFFICE
11111
141 SF
I U Lavr
CHAMBER
STORAGE
11121
32SF
CHAMBER
CONFERENCE
ROOM
11131
160 SF
LECESSIBLE
ErlICOCTE
1111:1111
ET SE
EVA
TOILET
a
-.L
PARKING
(1 RESERVED PARKING
STALL FOR CHAMBER)
f I
OROUTII EWE
L1
COTEPEPIENCE
/LOOM
u£1,, IIiIIHX1
EXHIBIT "C"
PAYMENT SCHEDULE
Year Monthly Payment
November, 2023 $271.00
November, 2024 $279.13
November, 2025 $287.50
November, 2026 $296.13
November, 2027 $305.01
November, 2028 $314.16
Year Monthly Payment
November, 2029 $323.59
November, 2030 $333.30
November, 2031 $343.29
November, 2032 $353.59
November, 2033 $364.20
Chamber Lease Agreement Page 16 of 16