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HomeMy WebLinkAboutC07-353 ERWSD_building leaseEDWARDS ANNEX BUILDING LEASE This lease is made and entered into this 31st day of August 2007, by and between EAGLE RIVER WATER & SANITATION DISTRICT, a quasi -municipal corporation and political subdivision of the State of Colorado ("Lessor") and EAGLE COUNTY ("Lessee"), collectively referred to as "Parties." WHEREAS, Lessor is the owner of certain real property in Eagle County, Colorado more particularly described as Exhibit A, which is attached hereto and incorporated by this reference ("Property"); and WHEREAS, Lessee is in need of a site for a public use facility and desires to lease the Property from Lessor; and WHEREAS, Lessor is a Colorado special district that provides public sewer service within Eagle County, Colorado. The Property is adjacent to Lessor's wastewater treatment plant, and Lessor intends to use the Property in the future as part of its provision of service. At the present time, however, Lessor is willing to assist Lessee, provided that it is clearly understood that Lessor will use the Property at some time in the future; and WHEREAS, Lessor desires to lease Property to Lessee, and Lessee desires to lease Property from Lessor pursuant to the terms and conditions of this Lease. NOW, THEREFORE, in consideration of the terms and conditions of this Lease, the sufficiency of which are mutually acknowledged, Parties agree as follows: Lease Term. Lessor shall lease Property to Lessee for a term of one year beginning on September 1, 2007 and expiring on August 31, 2008. Notwithstanding the aforementioned term, any continuation of the Lease into a subsequent calendar year shall be subject to annual appropriation by Lessee, and termination without penalty if the necessary appropriation is not made. Lessee may terminate this Lease at any time by providing Lessor with 30 days written notice of its intent to so terminate. In the event Lessee shall terminate this Lease prior to August 31, 2008, Lessee shall pay only for actual use. After the initial lease term, Lessee may make written request to Lessor for a renewal of this Lease. Such request must be made at least three months prior to the expiration of the current term. Upon expiration or termination of this Lease for any reason, Lessee shall promptly surrender possession of the Property to Lessor. 2. Rent. Lessee shall pay Lessor rent during the term of this Lease, in monthly installments of $2000.00 on or before the first day of each month beginning September 1, 2007. 3. Lessee's Use of Property. Lessee shall have the right to possess and use the Property for the operation of a public use facility. Lessee may improve the Property as Lessee deems necessary for operation of its facility, including grading, landscaping, and gravel parking areas and driveways. Lessee shall be solely responsible for obtaining and maintaining necessary permits from Eagle County and other governing bodies for the operation of its facility. If at any time during the term hereof Eagle County, Colorado gives notice to Lessor that Lessee's use of the property is a violation of zoning regulations, Lessee shall request relief from such zoning regulation from Eagle County. If such relief is not granted, this Lease will terminate 30 days after the date of Eagle County's notice to Lessor of a zoning violation. If the Property is used for any purpose other than that stated above without Lessor's written consent, Lessor may terminate this Lease at its sole option upon 30 days written notice. 4. Maintenance and Repair. During the term of this Lease, Lessee shall be solely responsible for all maintenance and repairs on any improvements or equipment located on Property including landscape maintenance. No Encumbrance. Lessee shall keep the Property free and clear of any and all liens or encumbrances, including mechanics' liens and liens of contractors, subcontractors, or materialmen. 6. Utilities. Lessee shall be solely responsible for all utility connections, and shall timely pay any and all utilities necessary and owing as a result of Lessee's use of the Property. 7. Taxes. Lessee shall be solely responsible for any and all property taxes assessed against the Property because of Lessee's use of the Property. If Lessee fails to pay any properly assessed taxes, Lessor may at its sole discretion make such payment. In such event, Lessee shall be responsible to reimburse Lessor plus interest at 18% annum. 8. Indemnification and Insurance. To the extent allowable by law, Lessee agrees to indemnify and hold Lessor harmless against any and all claims, loss, damage or liability resulting from Lessee's use of Property, including any attorneys fees or legal costs incurred by Lessor in defending itself against such claims. Lessee shall carry liability insurance in minimal amounts of $2,000,000 per occurrence and $4,000,000 annual aggregate for all claims. At the request of Lessor, Lessee shall provide evidence of such insurance. 9. Default. Should Lessee default under any obligation incurred under this Lease, Lessor shall notify Lessee in writing of the event of default. From the date of receiving such notice, Lessee shall have 30 days within which to cure the event of default. If the default is not cured, Lessor may exercise any one or all of the following options: a. Bring and maintain an action for specific performance, damages, or both. b. Re-enter and take possession of Property, and remove all improvements and equipment. C. Declare the Lease terminated. 10. No Sublease. Lessee shall not sublease this Lease or otherwise permit any other user to occupy the Property without the prior written consent of Lessor. In the event subleasing is approved by the District, Lessee agrees that the total of sublease rents per month shall not exceed the total monthly rent paid the District as provided for in Paragraph 2 above. Further, Lessee agrees to present any sublease to Lessor for consideration of suitability of proposed party to sublease. If acceptable to Lessor, Lessor will sign an acknowledgment of the sublease at the time of initial sublease. 11. Eminent Domain. In the event the Property is lawfully condemned by any public authority, this Lease shall be considered terminated and any compensation awarded shall be the property of Lessor. No damages shall be paid to Lessee as a result of such condemnation and resulting termination. 12. Attorney's Fees. In the event of any legal proceeding to enforce any provision of this Lease, the prevailing Party shall be entitled to the recovery of all reasonably incurred legal fees and costs, including attorney fees. CAWINDOWS\Temporary Intemet Files\OLKSF\07_Ed%vards Annex—EC HHS.doc 2 13. Holding Over. In the event Lessee holds over, remains in possession of Property at the end of the lease term or after termination, such holding over shall not be considered a renewal or extension of this Lease, and Lessor shall be entitled to payment of twice the amount of rent as provided under this Lease for the duration of the hold over. 14. Notices. Any notices under this Lease shall be provided to the following: To the District: Housing & Communications Analyst Eagle River Water & Sanitation District 846 Forest Road Vail, CO 81657 To Eagle County: Facilities Management With a copy to: Health & Human Services Eagle County Eagle County P.O. Box 850 P.O. Box 660 Eagle, CO 81631 Eagle, CO 81631 15. Easements. This Lease, and Lessee's use of Property, shall be expressly subject to any and all existing easements over and across the Property. 16. Severability. If any provision of this Lease is declared by any court of competent jurisdiction for any reason to be invalid, such invalidity shall not affect the remaining provisions; such remaining provisions shall be fully severable and this Agreement shall be construed and enforced as if such invalid provisions had never been inserted into this Agreement 17. Entire Agreement. This Lease constitutes the entire understanding of Parties, and supersedes all prior understandings, discussions or agreements of Parties. 18. Modification or Amendment. This Lease shall not be modified or amended unless in writing executed by both Parties. 19. Acknowledgement and Support of Lessor's Adjoining Uses. Lessee expressly acknowledges that Lessor uses adjoining property as a wastewater treatment plant, and recognizes that despite Lessor's best efforts to minimize the emission of any odors, such odors are occasionally an inherent part of normal operations of a wastewater treatment plant. Lessee agrees to make reasonable efforts to disseminate information to all occupants of its facility regarding the potential for the emission of odors from Lessor's wastewater treatment plant and Lessee's express acceptance of such occurrences and affirmative desire to enter into this Lease fully aware of those occurrences. In the event any members of the public overtly criticize Lessor for such odors as the odors relate to Lessee's facility, Lessee agrees to cooperate with Lessor in making any public statements Lessor deems necessary. 20. Additional Information. In addition to the general indemnification and insurance provided under Section 8 of this Lease, to the extent allowable by law Lessee agrees to indemnify and hold Lessor harmless against any and all claims, loss, damage, or liability brought or incurred occupants of the public use facility, or related persons, resulting from any emission of odors from Lessor's wastewater treatment plant, as relates to use of the leased property for a public use facility. CAWMDOWS\Temporary Internet Fi1es\0LK5F\07_Edwards Annex—EC HHS.doc 3 IN WITNESS WHEREOF, the Lessor and Lessee have affixed their signatures and seals to this Lease effective the date first above written. EAGLE RIVER WATER & SANITATION DISTRICT Lo STATE OF COLORADO) ) ss. COUNTY OF EAGLE ) The foregoing Lease was acknowledged before me this day of , 2007, by Dennis Gelvin as General Manager of the Eagle River Water & Sanitation District. Witness my official seal. Notary Public My commission expires: BOARD of COUNTY COMMISSIONERS Attest: I:A Clerk to the Board of County STATE OF COLORADO) ) ss. COUNTY OF EAGLE ) The foregoing Lease was acknow edged before me this 4� ay of 0- -tr cl- --r -, 2007, by Y )A n of Eagle Board of County Commissioners. Witness my official seal. I ) �J WrGoffmirw6vission E12JIS/20 Notary Public My commission expires: �� �C, �J ys 10 CAWINDOWS\Temporary Intemet Files\OLK5F\07_Edwards Annex—EC HHS.doc 4