1 Contract Number 10857 (CCS)
(Former Contract Number 4553)
REINSTATEMENT AND FIRST MODIFICATION OF
ANTENNA SITE SUBLEASE AGREEMENT
This Reinstatement and First Modification of Antenna Site Sublease Agreement No. 10857 (CCS) (“First Modification”), entered into as of _____________ (“Execution Date”), by and between the City of Santa Monica, a municipal corporation (“City”), and Bear Communications Inc., a California corporation (“Bearcom”), is made with reference to the following:
RECITALS
A. On or about February 8, 2005, City and Advanced Electronics, Inc., a California corporation (“AEI”) entered into Antenna Lease Agreement No. 10857 (CCS) (“Original Agreement”) for the sublease by City from AEI of a portion of the real property and improvements located at 2050 Cyperan Drive in the City of Los Angeles, County of Los Angeles, California (the “Premises”). The Original Agreement permitted City the use of the antenna site located on the Premises through April 30, 2009, and granted City the right to extend the agreement twice for periods equal to five years each in duration.
B. In March 2009, City exercised its option to extend the Original Agreement through April 2014. In March 2014, City exercised its second option to extend the Original Agreement through April 2019.
C. Bearcom is the successor in interest to AEI and assumed all rights and obligations under the Original Agreement effective as of AEI’s dissolution in or about August 2018.
D. City and Bearcom desire to reinstate and modify the Original Agreement to extend the term of the Original Agreement through April 30, 2020, provide City with four (4) options to extend the Original Agreement for additional one (1) year periods, and modify the rent to be paid by City during the extended term of the Original Agreement.
TERMS AND CONDITIONS
Now, therefore, the undersigned parties do hereby mutually agree to reinstate and modify the Original Agreement as follows:
1. Section 2 of the Original Agreement entitled “Sublease Term: Option to Review” shall be deleted in its entirety and replaced with the following:
SECTION 2. SUBLEASE TERM; OPTIONS TO RENEW.
This Sublease shall commence as of May 1, 2004 (“Commencement Date”) and shall continue in effect until April 30, 2020 (the “Sublease Term”), unless terminated earlier or extended as provided herein.
2.1 Options to Extend Sublease Term. Unless terminated earlier as provided herein, City, in its sole and complete discretion, shall have four (4) separate options to extend this Sublease for additional (1) year periods (each DocuSign Envelope ID: A5A82E32-A7BE-4BC6-8850-1C93BD4EB814 7/16/2019
2 an “Extension Term”), on the same terms and conditions set forth in this Sublease. City may exercise its option by written letter delivered to Bearcom at least thirty days prior to expiration of the Sublease Term (with respect to the first option to extend) and at least thirty days prior to expiration of the Extension Term (with respect to each of the subsequent three options to extend). Delivery of the written letter exercising the City’s option shall automatically extend the term of this agreement through the end of the next Extension Term, that is, through April 30 of the next year. All of the terms and conditions of this Sublease shall apply during each Extension Term.
2. Section 4 of the Original Agreement entitled “Monthly Rent: Annual Increase” shall be deleted in its entirety and replaced with the following:
SECTION 4. MONTHLY RENT; ANNUAL INCREASE.
For use and occupancy of the Premises, during the period from the Commencement Date through April 30, 2019, City agrees to pay to AEI the sum of One Thousand Five Hundred Fifty-Five Dollars per month without set off or deduction. Commencing one (1) year following the Commencement Date, and annually thereafter through April 30, 2019, AEI shall have the right to increase the monthly rent to be paid by City by an amount not to exceed four percent (4%) of the preceding year’s monthly rent.
For use and occupancy of the Premises, during the period from May 1, 2019 through the end of the Sublease Term and any Extension Terms, City agrees to pay Bearcom the sum of Two Thousand Seven Hundred One and 46/100 Dollars ($2,701.46) per month without set off or deduction. At the end of the Sublease Term, and at the end of any succeeding Extension Term, Bearcom shall have the right to increase the monthly rent to be paid by City by an amount not to exceed five percent (5%) of the preceding year’s monthly rent.
The monthly rent to be paid by City during the Sublease Term and any Extension Terms shall not exceed $507,000.
3. Section 19 of the Original Agreement entitled “Notices” shall be amended to provide that all notices, demands, requests or approvals from City to Bearcom shall be addressed to Bearcom at:
Bear Communications, Inc.
2601 Manhattan Beach Blvd.
Redondo Beach, CA 90278
Attn: Vickie L. Dubois, Customer Service Manager
4. All references in the Original Agreement to AEI shall be deemed to refer equally to Bearcom, as the successor in interest to AEI.
5. Except as expressly modified by this First Modification, all other terms and conditions of the Original Agreement shall be and remain in full force and effect. ///
DocuSign Envelope ID: A5A82E32-A7BE-4BC6-8850-1C93BD4EB814 3 ///
IN WITNESS WHEREOF, the parties have executed this First Modification as of the date and year first written above.
ATTEST:
______________________________
DENISE ANDERSON-WARREN
City Clerk ANDERSON-WARR
City Clerk
APPROVED AS TO FORM:
______________________________
LANE DILG
City Attorney
LANE DILG
City Attorney
CITY OF SANTA MONICA,
a municipal corporation
By:
______________________________
RICK COLE
City Manager
BEARCOM Corporation
Bear Communications Inc.
#VENDOR
By:
_______________________________
DocuSign Envelope ID: A5A82E32-A7BE-4BC6-8850-1C93BD4EB814 George S. Cardona
7/12/2019
Special Council / Chief of Staff
7/12/2019
George S. Cardona
Special Council / Chief of Staff
7/12/2019
Vickie L. Dubois
Vickie L. Dubois
Customer Service Manager
City Manager
Rick Cole
7/16/2019
City Clerk
7/16/2019
Denise Anderson-Warren