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85-918 WHITE - CITV CLERK PINK - FINANCE GITY OF SAINT PAUL Council ' S! � `/ CANARV - DEPARTMENT X BLUE - MAVOR �U File N�.—_ , Return copy to: Caunc ' e olution Valuations — Room 21 (Jebco) Presented By ��l��''� �. Referred To Committee: Date Out of Committee By Date RESOLVED, that the Council of the City of Saint Paul does hereby authorize and direct the proper City Officials to execute on behalf of the City of Saint Paul a two (2) year lease agreement commencing on July l, 1985 and exter�ling through June 30, 1987 between Jebc;o Properties, Inc. and the City of Saint Paul for 7,061 square feet more-or-less located � the ninth floor of the building located at 82 4th Street (Commerce Building) to be used for the Cable Division and Risk Management Division. Consideration for the use of the spac�e shall be $140,513.90 plus additional rent for the second year which will include a Cost of Living Increase based on the Consumer Price Index and lessee's proportionate share of any increase in real estate taxes exceeeding the taxes paid in 1985. The City of Saint Paul will also be responsible for the electrical usage in the leased premises. BE IT FUR7.�R RESOLVID, that the proper City Officials are also hereby authorized to execute a sub-lease between the City of Saint Paul and the County of Ramsey for the use of a portion of the above referenced leased area subject to substantially the same terms as the lease between the City and Jebco Properties, Inc. COU[VCILMEN Yeas Nays Requested by Department of: Drevv � Masanz ' In Favor Nicos�a scr,e�nei _ � __ Against BY — Dire r Sonnen �' Tec�,sseo . �_L y_J�� WiiBpn J�L - 9 1985 Form Ap roved by Ci Attorney Adopted by Council: Date _ C �� Certified • �s ounc� r y BY• y gy, C � Appro by ;Navor. D e _ `�UL' � � ��J Appro y Mayor for Sub ' si n td�Council B — BY Pi.;���.;i?�:0 ��:;'- %� "�,' �`��5� Finance & ManaQement Services DEPARTMENT Cl�"7•f 7`d ND 2191 Dav NP1 enn C�°FACT 298-5317 PHONE � A� June 19, 1985 DATf ��✓ e Qi ASSIGN NUMBER FOR ROUTING ORDER (Clip All Locations for Signature) : Department Director 4 Director of Management/Mayor inance and Manageme t Services Director City Clerk U i rector�� �Z 5 Lease Ma.naQement - Finance �'City Attorney WHAT WILL BE ACHIEVED BY TAKING ACTION ON THE ATTACHED MATERIALS? (Purpose/ Rationale) : Authority to execute a two year lease agreement (FMS/10) between the City of Saint Paul and the Jebco Properties, Inc. on behalf of the Cable and Risk Management Divisions at 82 4th Street, 9th Floor (Commerce Building) and authority to execute a sub-lease agreement (FMS/1� between the City of Saint Paul and the County of Ramsey. � � ��� ���� COST/BENEFIT, BUDGETARY AND PERSONNEL IMPACTS ANTICIPATED: The rent is a base of $I40;513.9Q plus a cost of living increase and the City's share of the tax increase over 1985 taxes for the second year. A1so, the City will pay for its electrical usage. The compensation will be reduced by approximately 20�: due to a sub-lease between the City and the County of Ra.msey. FINANCING SOURCE AND BUDGET ACTIVITY NUMBER CHARGED OR CREDITED: (Mayor's signa- ture not re- Total Amount of Transaction: quired if under $10,000) � Funding SOUrce: CABLE RISK MGMT. 31121 - 282 (rent) 01370-282 (rent) Activity Number: - 3�1 (elect.) -- -s�i (elect.) R�'CEIVED _�. ATTACHMENTS (List and Number All Attachments) : ...I��n� � �i 1955 1. Council Resolution to be considered �"" 'e; . O� THE L�IRECTOR 2. Copy of Budget Director s report ,;� .r ,�,_ 3. Copy of Valuation Engineer's report '�T nF FiiVANCE 4. Copy of Lease Agreement - not for signature at this time. �"'�' '•"y 'A:�'�+�iENT SERV10ES DEPARTMENT REVIEW CITY ATTORNEY REVIEW x Yes No Council Resolution Required? Resolution Required? Yes No X Yes No Insurance Required? Insurance Sufficient? Yes No Yes X No Insurance Attached: City is self-insured for liability. (SEE REVERSE SIDE FOR INSTRUCTIONS) Revised 12/84 . � � �s- 9rg � �� �::o:F ,,-„T�.� CITY OF SAINT PAUL INTERDEPARTMENTAL MEMORANDUM To: Mayor George Lati.mer and Members of the City Council Fr�n: Greg Blees r � �- City Budget Director � ' .� Date: June 20, 1985 ,\ Re: Budget Director's Report on Space Lease Agreement No. FMS/10 between the Jebco Properties, Inc. and the City of Saint Paul I have examined the referenced agreement and found the follawing: l. It is a two (2) year lease agreement between Jebco Properties, Inc. and the City of Saint Paul, for 7,061 square feet of space more-or-less located at 82 4th Street (Commerce Building) for the entire ninth floor. 2. The compensation to the Jebco Properties, Inc. will be $70,256.95 annually plus a cost of livinq increase and the City's share of the tax increase over the 1985 taxes for the second year. Also, the City will pay for its electrical usage. 3. The compensation paid to Jebco Properties, Inc. will be reduced by approximately 20� due to a sub-lease between the City of Saint Paul and the County of Ramsey. 4. The City of Saint Paul is self-insured for liability. GB:RF:ag (Latimer) . �� � �.�- �id� ����` T�� CITY OF SAINT PAUL INTERDEPARTMENTAL MEMORANDUM To: Mayor George Latimer and M�nbers of the City Counci \�/ _ From: J. William Donovan �-"1 Valuation and Asse sment Engineer Date: June 21, 1985 Re: VALUATION ENGINEER'S REPORT ON THE LEASE AGREIIKENT BETWEEN THE CITY OF SAINT PAUL ADID JEBCO PROPERTIES, INC. LEASE AGREEMENT N0. FMS/10 Pursuant to Chapter 51.01(9) Lease of City Property, I have examined the referenced agreanent and found the follaving to be acceptable: 1. The space to be leased is 7,061 square feet more-or-less located at 82 4th St. (Commerce Building) for the entire ninth floor. 2. The cost to the City will be a base rent of $70,256.95 annually, plus a cost of living increase and lessee's proportionate share of any increase in taxes exceeding the taxes paid in 1985 for the second year. The City will pay for their electrical usage in the leased area. I reco�mend approval of FMS/10. JWD:DN:DM (JEBCOPROPERTIES) �� � ������ CITY OF SAINT PAUL � ",..,.;,, OFFICE OF THE CITY COIINCZL �I�M�N�M� ����`�! � � Date ; July 8, 1985 � COMM (TTEE RE PORT TO = Saint PQUi Cit�r Council F R � M � C o rrtm ii�t e�e p n C i ty Deve 1 opment and TransPOrtat i on CHAIR Wi 1 1 iam �. Wi lson 1 . Resolution authorizing an agreernent between th� City and the Riverfront Redevelopment Corp. WhiCh will authorize PED to provide accounting, auditing and other financiai administration services to the Redevelopment Corp. (Committee recommends approvai ) � 2. Resolution authorizing issuance of Port Authority tax exempt mortgage note in the amount of $7U0,000 to finance the acquisition and rehabilitation of the old Van Wat�rs and Rogers building . at 23i3 Wycliff in St. Paul by Update Co. (Committee recommends approval - Jim Hart wiil review for possible amendrnent before Council meeting) 3�. Selby/Dale UDAG (Committee recommenhs approvai ) 4. Le�se' agreement with J�bco Properties for space on th� ninth floor of the Commerce 8uiiding. (Cornmittee recommends approvai wit.n an amendment - directing the Mayor to appoint someone to cto a lon� range space s�Cudy and report back to the committee . in three months. ) CT��I-I- SEVENTH FLOOR SAIN'I'PAUL,MINNESOTA SSI02 �„ �� . . . . , � � ��9��' CITY OP` SAINT PAUL =������� OFFICE OF THE CITY COIINCIL ,.�.......... '��'�'u�'= . - D d t e ; June 24, 1985 COMM (TTEE RE PORT TO = Sa�nt PQU I City Council FROM = Committee Oh City Develapment and Transportation CHAIR William L. Wilson � 1 . kesotution approving St. .Paul F2iVerfront Enterprise "Lone administration agreement (Committee recommends approval as amended) 2. Iota Oevelopment (Enterprise Zone) (Committee recommencls approval ) 3 . Ten year lease between Gity and Northwestern Bell Telephone Company for rental of i50 square feet of unused space located at 17 West Exchange 5treet (Committee recommends approval 4. Resolution �uthorizing city to execute five year � lease agreement between the city and Suburban Plumbing Supply Company (Committee recommends approval as amended) 5. .lackson Street Shops (Referred to Council without recommendation) Not on printed agenda: 5moke Detectors (Amendment will be submitted for approval at Council ) � �,��5 =#���n :Jeta�.o,. .Prope�t� Ps and C i tY of Sa'i nt ��#�g�erred to Counc i 1 w i t?�ou'�" �*'�enda.t j,�n) CI'I'1'HAI-I- SEVENTH FLOOR SAINT PAUL, MINNESOTA 55102 ��� {" 5 i - M ��". t t �'cM1 � 1 � S".' 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I ,f t � . ,�# ;a`.,� �2t 6 `` `r fi � 2 . /,: �y _ �, ,✓,i �' ' ° _ �'.t �. � � - � � '�� t I•' k. �;� t �; � � Y y r �� 4 i ; � ' , _ , �� -_ - .. . �. , . _�. . . . . . . , , , . , ... . . .. .. _ . . __ _ _.. *. . ,. � � . � � �.�-��� LEASE THIS LBASE, mad�e this day of ,19 , by and between JEBCO PROPERTIES , INC. her�inafter called "Lessor", and CITY OF SAINT PAUL (DEPARTMENT OF FINANCE) hereinafter called "Lessee" �1ITNBSSETH: That Lessor, in consideration of the rents and convenants hereinafter mentioned, does hereby demise, lease and let unto Lessee, and Lessee does hereby hire and take from the Lessor the following described premises located in 8 4th St. , 9th Floor (Com me.rce Building), County of Ramsey, and State of Minnesota namely: That portion of the premises located on the e.ntire 9th consisting of approximately 7,061+ square feet, in accordance with Exhibit "A" attached hereto and made a part hereof . 1.TERM AND IISE. To have and to hold said premises without any liability or obligation on the part of said Lessor of making any alterations, improvements or repairs of any kind on or about the said premises except as provided herein in Exhibit "B", for the term of 2 years , from the , day of , 1985 and continuing to and including the day of , 1987 , unless extended or sooner terminated as hereinafter provided, for the purpose of office space only. Lessor hereby grants to Lessee an option to let the sub�ect , premises for a period of two years from and afte.r the expiration of the present term of this lease. In order to exercise this option, Lessee must give Lessor written notice 90 days prior to the expiration of the present term of this lease. The terms of the lease for the option periqd shall be the identical term of this lease except chat Lessor shall not be obligated for any further leasehold improvements, there shall not be any additional options to renew, and the rent shall be at a rate to be negotiated. 2. POSSESSION. Except as hereinafter provided, Lessor shall de.liver possession of the leased premises in the condition required by this Lease on or before the date hereinabove specified for commencement of the term, sub�ect to unavoidable delays beyond Lessor's control, buC delivery of posse.ssion prior to such commencement date shall not affect the expiration date of this Lease. Lessor shall have no responsibility or liability for . loss or damage Co fixtures , facilities , or equipment installed or left on the premises , unless caused by the negligence of Lessor, its agent or employees. If said premises shall not be available to Lessee for occupancy on the firsC day of said term, Le.ssor shall not be liable to Lessee for damages but a pro rata part of the rent shall be abate.d until the premises are ready for occupancy. The taking of possession of the leased premises by 1 � � � ��s-� 9�s� Lessee shall be conclusive evidence that the premises were in the agreed upon conditi.on at the commencement of the lease term, unless otherwise agreed upon by the parties. 3. FI%ED RENT. Lessee agrees to pay to Lessor at Lessor's office at The Empire Building, Sth and Robert Streets, Saint Paul, Minnesota 55101 , or at such other places as Lessor �nay hereafter from time to time designate in writing, without demand, a Fixed Rent of $5,854.75 per month for each and every calendar month of said term payable in advance. In the event of any fractional months occurring during the te.rm of this Lease, Lessee shall pay rent on a pro rata basis calculated on the ratio of the actual number of days of possession by Lessee to the total days in the month in question. Fixed rent includes lessee's pro rata share of the 1985 real estate taxes . 4. ADDITIONAL RENT. In addition to the Fixed Rent , Lessee shall pay such additional rent as is set forth in the Addendum attached hereto, as Exhibit "C" and incorporate.d by this reference. 5. UTILITIBS AND SERVICES. Lessor shall furnish without additional cost to lessee during normal working hours , excluding Saturdays , Sundays and holidays the following: a) heat and air- conditioning, during the respective heating and air-conditioning seasons , b) HVAC maintenance, c) elevator service, d) janitorial service, which includes furnishing starters and ballasts exclusive of main floor area, e) periodic window washing, and f) publi.c lavatories accessible. from the corridor. Lessor shall pay all sewer, water and special assessments that shall become due and payable upon said real estate during the term of this lease. All services provided under this paragraph shall conform to governmental energy conservation regulations . 6.CARB OF PRE MISES. Lessee agrees : (a) to keep the leased premises in as good conditi.on and repair as they were in at the time that Lessee took poss.ession of same, reasonable wear and tear and damage from fire and other casualty for which insurance is normally procurred excepted; (b) not to commit any nuisance or waste on the leased premises , throw foreign substances in plumbing facilities or waste any of the utilities furnished by Lessor; (c) not to obstruct en[rie.s , halls, elevators , stairways , lavatories or other commo.n areas , nor use the same for anything other than their intended purpose; (d) not to erect signs on or about the lease.d premise.s without writte.n permission of Lessor. If Lessee shall fail to keep and preserve these premises in the state of condition required by the provisions of this Lease, the Lessor shall provide written notice to the Lessee of the alleged infraction(s) and the Lessee shall have 5 days or some other agreed upon period to correct the condition. Should Lessee fail to correct the condition the Lessor may, at its option, put or cause the same to be put in the condition and state of repair agreed upon, and in such case, the Lessee, on demand, shall pay the cost thereof. Lessee agrees that the use of the leased premises and the common areas shall be sub� ect to such Rules and 2 � � , . � �s -9�� Regulation as may be reasonably promulgated by Lessor for the comfort and convenience of the owners, occupants and visitors of said building. 7. UNLAWFUL USE. Lessee agrees not to commit or permit any act to be performed on the premises or any omission to occur which will be in violation of any statute., regulation or ordinance of any governmental body or which will increase the insurance rates on the building or which will be in violation of any insurance policy carried on the premises by the Lessor. The . Lessee shall not disturb other occupants of the building by making any undue or unseemly noise or otherwise and shall not do or pe.rmit to be done in or about the leased premises anything which will be dangerous to life or limb. 8. LSSSOR'S ACCESS. The Lessor , its employees and agents shall have the right to enter the leased premises at all reasonable times for the purpose of inspection, cleaning, repairing, altering, or improving the premises or said building, or to exhibiC the premises to prospective tenants , purchasers or others . 9. ALTERATIONS. Lessee will not make any alterations , additions, or improvements in or to the leased premises or add, disturb or in any way change any plumbing or wiring herein without the written consent of the Le.ssor as to the character of the alterations , additions or improvements to be. made, the manner of doing the work and the persons to do the work. 10. ASSIGNMENT AND SUBLETTING. Lessee shall have the right to sub�let any portion of the leased premises to Ramsey County for the purpose of office space, sub�ect to substantially the same terms and conditions as those included in this lease. 11. DAMAGE BY FIRE OR OTHER CASUALTY. If fire or other casualty shall render the leased premises untenatable, this Lease shall terminate forthwith, and any prepayme.nts of renC shall be refunded by the Lessor pro rata: provided, however, that if the. leased premises can be repaired within ninety (90) days from the date of such event, then at Lessor's option, by notice in writing to Lessee, mailed within thirty (30) days after such damage or destruction, this Lease shall remain in full force and effect, but the rent for the period during which the premises are untenable shall be abated pro rata. 12. WAIVER OF SUBROGATION. Lessor and Lessee. hereby mutually waive as against each other any claim or cause of action for any loss , cost, damage or expense as a result of the occurrence of perils covered by the Minnesota Standard Fire Insurance Policy and extended coverage endorsements . 13. B KINBNT DOPiAIN. If the leased premises are taken by any publie authority under the power or threat of eminent domain, then the term of the Lease shall cease as of the day possession shall be taken by such public authority, and Lessor shall make a 3 � . ��'�9�� pro rata refund of any rent that may have been paid in advance. All damages awarded for such taking shall belo.ng to and be the property of Lessor, irrespective of the basis upon which they are awarded. 14. SIIRSBNDER. On the last day of the term of this Lease or on the last day of the extension period if any extension is made as provided in Paragraph 1 of this lease or on any sooner termination of this lease , Lessee shall peaceably surrender the leased premises in good condition and repair consistent with Lessee's duty to make repairs as provided in Paragraph 6 hereof. On or before the last day above referenc�d, Lessee shall at its expense remove all of its equipment from the leased premises, and any property not removed shall be deemed abandoned. Al1 alterations, additions and fixtures , other than Lessee's equipment which have been made or installed by either Lessor or Lessee upon the leased premises shall remain as Lessor's property and shall be surrendered with the leased premise.s as a part thereof. If the leased premise:s be not surrendered at the end of the lease term, extension te.rm or sooner termination thereof, Lessee shall indemnify Lessor against loss or liability resulting from delay by Lessea in so surrendering the premises , includin�, without limitation, claims made by any succeeding tenant founded on such delay. Lessee shall promptly surr�nder all keys for the leased premises to Lessor at the place then fixed for payment of rent and shall inform Lessor of combinations on any locks and safes on the leased premises . 15. HOLDING OVER. In the event Lessee remains in possession of the premises herein leased after the expiration of this lease. or it's extesion period and without the execution of a ne.w lease, it shall be deemed to be occupying said premises as a tenant from month-to-month, sub,ject to all the conditions , provisions and obligations of this lease insofar as the same can be appiicable to a month-to-month tenancy. � 16. NON-PAYMSNT OF RENT:DEFAIILTS. If any one or more of the following occurs , (a) a rent payment from Lessee to Lessor shall be and remain unpaid in whole or in part for more. than ten ( 10) days after same is due and payable; (b) Lessee shall violate or default any of the other covenants , agreements , stipulations , or conditions herein, and such violation or default shall continue for a period of ten ( 10) days after writte.n notice from Lessor of such violation or default; or (c) if Lessee shall be adjudged bankrupt or file a petition in bankruptcy or for any arrangement under the Bankruptcy Act or become insolvent or have appointed a receiver of its property: then it shall be optional for Lessor to declare this Lease forfeited and the said term ended, and to re- enter said premises with or without process of law, using such force as may be necessary to remove all persons or chattels therefrom , and Lessor shall not be liable for damage by reason of such re-entry or forfeiture. Notwithstanding re-entry by Lessor or forfeiture or termination of this Lease, the liability of Lessee for the rent provided for herein shall not be relinquished or extinguished for the balance of the term of this Lease. Lessee shall pay, in addition to the rentals and other sums agreed to be 4 � , ������ paid hereunder, such additional sums as the court may adjudicate reasonable as attorney's fees in any sui:t or action instituted by Lessor to enforce the provisions of this Lease, or the collection of the rentals due Lessor hereunder. 17. SECURITY INTEREST. Lessee hereby grants to Lessor a security interest in all goods , chattels , fixtures and personal property belonging to Lessee, which now are or may hereafter be. placed in said leased premises, to secure all rents due hereunder and all other covenants and obligations of Lessee hereunder. In the ev�nt there exists any security interest in said property which security interest is paramount and superior to the security interest herein created, Lessor may satisfy said paramount security interest and all sums paid in satisfying said seeurity interest will considered additional sums owed Lessor by Lessee hereunder. Lesse.e hereby acknowledges receipt of a true, full and complete copy of this Lease. Lessor, in the event of a default by Lessee of any covenant or condition herein contained, may exercise (in addition to any rights and remedies herein granted) all the rights and remedies of a secured party under the Uniform Commercial Code or any other applicable law. 18. DSFAIILT OF LESSOR. Lessor shall not be deemed to be in default under this lease until Lesse.e has given Leasor written notice specifying the nature of the default and Lessor does not cure such default within thirty (30) days after receipt of such notice or within such reasonable time thereafter as may be necessary to cure such de.fault where such default is of such a character as to reasonbly require more than thirty (30) days to cure. 19. COVENANTS TO HOLD HARMLESS. Except in the case of negligence of Lessor, its agents or employees , Lessee agrees to hold Lessor harmless. for any liability for damages to any person or property in or about the leased premises. Lessor shall not be liable to Lessee, its agents , employees , representatives, customers or invitees for any personal in�ury, death, or damage to property caused by theft , burglary, water, gas , electricity, fire or for any other cause occurring on or about the leased premises except in th� case negligence of Lessor, its age.nts or employees. All property kept , stored, or maintained in the leased premises shall be so kept , stored , or maintained at the sole risk of Lessee. Lessee agrees to pay all sums of money in respect of any labor, services, materials , supplies or equipment furnished or alleged to have been furnished to Lessee in or about the leased premises , and Lessee shaJ�l not permit any mechanic's , materialmen's or other lien to be filed against the leased premises. Lessor shall have the right to post and maintain on the leased pre.mises , notices of non-responsibility und�r the laws of Minne.sota. 20. SUBORDINATION. Lessee agrees that at Lessor's election, this Lease shall be subordinate to any land le.ase, mortgages or trust deeds now on or hereafter placed upon the leased premises and to any and all advances to be made thereunder, and to the 5 � . ��s- ��� interest there.on, and all renewals , replacements , and extensions theteof. 1,essee hereby appoints Lesaor as it attorney-infact to execute such documents as may be required to accomplish such subordination. 21. GENERAL. This Lease does not create the relationship of principal and agent or af partnership or of ,joint venture or of any association between L�ssor and Lessee, the sole relationship between Lessor and Lessee being that of landlord and tenant. No waiver of any default of Lessee hereunder sha11 be implied from any omission by Lessor to take any action on account of such default if such default persists or is repeated, and no express waiver shall affect any default other than the default specified in the express waiver and that only for the time and to the extent there.in stated. Each term and each provision of this Lease performable by Lessee shall be construed to be both a convenant and a condition. The marginal or topical headings of the several paragraphs and clauses are for convenie.nce. only and do not define, limit or construe the contents of such paragraphs or clauses. All preliminary negotiations are merged into and incorporated in this Lease. This Lease can only be modi£ied or amended by an Agreement in writieg signed by the parties hereto. All provisions hereof shall be binding upon the heirs , successors and assigns of each party hereto. Any notice required to be serve.d in writing hereunder shall be delivered personally or sent by registered mail to Lessee at the address of the leased premises and to the Lessor at the address then fixed for payment of rent. Any and all indebtedness owing by the Lessee to the Lessor pursuant to the terms of this Lease which remains unpaid for a period of thirty (30) days after it first becomes due and payable shall bear interest from and after the ].apse. of such thirty (30) day period at the rat of fifteen per cent ( 15%) per annum. 22. INSURANCE REQUIRBMBNT. Lessor shall maintain and issue certification of insurance to the lessee during the term of this lease and u�pon the leased premises certain insuance coverage which is described as follows : (a) WORKERS' COMPENSATION INSURANCE with coverage not less than the statutory limits and EMPLOYERS LIABILITY INSURANCE with limits of not less than: $100,000 PER ACCIDENT (b) COMPREHENSIVE GENERAL LIABILITY insurance including blanket contactual liability coverage and personal liability coverage with a combined single limit of not less than: $ 600, 000 PER OCCURRENCE $ 1 , 000 , 000 AGGREGATE Such insurance shall ( 1) name the City of Saint Paul and Ramsey County its elected an appointed officers as additional insureds; (2) be primary with respect to any Lessee's insurance or self- 6 � � � ��� ���` insurance program. (c) PROPERTY INSURANCE including fire, extended � coverage and all—risk insurance. covering the demised premises and all property located herein belonging to LESSOR, in an amount equal to 90y of the full replacement and reconstruction cost of the property 7 � � . ��"� ���' IN W�TNBSS WHEREOF, the parties hereto have executed this Lease the day and year first above written. In the presence of LESSOR: JEBCO PROPERTIES , INC. By Its And Its In the presence of LESSEE : City of Saint Paul By ItsMayor And ItsCity Clerk And Its Director Of Finance 8 � „v„ ZIfIIHX3 x Z _ — - o n II . I j � O y . � N�t -1 �11. U m � ' • _ ' D �¢• � �1 . te�. c " m � x m m ' "7� �^ yog r o A�� � o 9 O. Z <� � ----------- c� o o . -: � f o � � ;� ° . . � >y S , . N �� p V�� { , N� � m g `" X N 2�� . , ^. � -�.� p . ' p � 9 \..-, O -�0i y Z. v' � � . a 2 � 9 T .� y • 9 m . rD- O � m Z rn ' O � � N ' Z m ' m m s '^ .°i i = r . o p � z = D � OO � a � � Q'""_"a ' y r � . m,_ . ' o � - i r� O O T� Z T m O O �p x g � c � > ' < � , Nm �� m �/� 5 � (>x� l J N �d . N T ; y �a i.V 'T� • - 111 � '�1 � 1.n _�� . � A � � C o � r o r—�-- ° 'o o � � , °s ; (J1 � a c = �� Z o >_ �� m � y N r �'^' v<-i = ...� I y 7c P 9 n rn/�- . v, 0 � � �i � . U� u� � Z � � � V . 9 p � 2 • ° .�,.'.. � - T --I � m . m p m •� -� p O � p 0 � � 9 � � � D Z A � � � I" Cl •w� 9 D O N � r T � D y m � � : x y � Z V O` �' � s V � ;"'� •t � � � � r ! o � � � v_ o • '- ' z W :U 'z z ~ � � � m�m � n �9 m � p N �{ T H r '�. T.9 m � � Z �` . n n � � � �ii ,v m p �Z � n m ' j 9 O p�, � a a c� r m � �' .��•� V� ZD � � r � . °, � m �.mm mm 9 J � � � • o p m Z .=.3 � > '� O m.� T'r S �. r' O �0 �:Q � � O O. m �'m r '� m G�m � 0 9 y a mT � � ~ 0 111 A �S � � � \ � � . � � ��--q��' E%HIBIT "B° Lessor shall provide and install new carpeting, wall covering, mini blinds and paint walls within the leased premises. Lessee shall have the rights to select the type, color, and material of the carpet , mini blinds , wall coverings and paint . 9 � - ��� ���' E%HIBIT "C" CPI CLAUSE Beginning the second year of the lease, in addition to the fixed rent provided for in article #3 of the lease, the Lessee shall pay, as additional rent , a Cost of Living Increase based on the increase in the National Consumer Price Index. a. "National Consumer Index" shall mean the Monthly Consumer Price Index for All Urban Consumers, New Series , all items (1967=100) as published by the United States Department of Labor, Bureau of Labor Statistics , each year for the month of July; b. "Base Index" shall mean the National Consumer Price Index for July 1985 ; c. "Comparison Index" shall mean the National Consumer Price Index for each July, during the term, following the date of this lease; d. "Percentage of Change" shall mean the Comparison Inde.x less the Base Index quantity divided by the Base Index. In the event the Comparison Index for any one year differs from the Base Index, then the rent specified in this lease ( Annually) shall be increased for the lease year im mediately following the Comparison Index year, in the amount determined by the Percentage of Change. This percentage increase shall not exceed 5X for only one lease year. 10 . . . �" �,� -��� EXHIBIT "C" CONT. TAX CLAUSE Included in the fixed rent from July 1 , 1985 to Deceber 31 , 1985 is tl�e lessee's pro rata share of the re.al estate taxes. Commencing on January 1 , 1986 and each calendar year thereafter lessee shall pay as additional rent its pro rata share oE any increase in real estate taxes over and above that amount payable in 1986 for the Lessor's building. Lessee's proportionate share of any increase shall be based upon the pe.rcentage of the number of square feet in Lessee's demised premises to the total number of square feet in the entire building. Additional rent payable hereunder shall be calculated in the same manner as soon as possible after January 1 of each year. One-twe.lfth of the additiona� rent payable as a result of these real estate tax increases , if any shall be payable monthly together with the fixed rent. Any increases shall be for a full twelve month period except in the final year of the. lease, in which case the additional rent payable shall be spread over the remaining months of the le.ase and in equal fractional parts . 11 . - , . � � q�� EXHIBIT "C" CON.T. ELECTRICAL CLAUS� The lessee shall pay as additional rent the exact monthly electicity charge for the leased premises. Either the lessor or Lesse� may inieiate at attytime a audit and if necessary a recalculation of additional rent based on changes in Lessee's electieity consumption or chane in Lessor's electicity costs . The Lessee shall also pay the. cost of new electric lamps and Lessor shall at it's own expense install all replacement electric lamps due. to failure of any kind. 12