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274911 WHITE - CITV CLERK PINK - FINANCE G I TY O F SA I NT PA U L Council CANARV - OEPARTMENT 44 BI.UE - MAVOR File �0. � 1"�� Co�cncil Resolution Presented By Referred To Committee: Date Out of Committee By Date WHEREAS, Poulssen's Restaurant desires to lease approximately 3, 010 square feet on the ground floor of the City Hall Annex for purposes o� operating a full-service restaurant; and WHEREAS, said space has become available when the Division of Purchasing moved to the City Hall and Court House; and WHEREAS, the City has no proppsed public use contemplated for that portion of the CitX Hall P;nnex; and WHEREAS, the use of the space by Poulssen's Restaurant is compatible with other space uses in the City Hall Annex and adjoining properties; now, there�ore, be it RESOLVED, that the proper City officers are authorized and directed to execute a lease agreement with Poulssen's Restaurant for space in the CitX Hall Annex whereby the tenant would occupy approximately 3,010 square �eet of space on the �irst floor at an annual rent of $9.50 per square £oot, plus the tenant being obligated to pay for electricity, hot water costs and cleaning for a term of five years with two options to renew �or three- year periods each and the City to provide heat, air conditioning, water and sewer charges, copy of the proposed lease agreement being attached hereto. COUNCILMEN Requested by Department of: �,� Yeas Nays -�� �j Finan & Mana e � Hozza [n Favor Hunt Levine � __ Against BY Maddox Showalter � M� i 3 �� Form Approved by`•.Ci Att ney Adopted by Council: Date Certified Ya: • ouncil S r BY � Bl' � ♦ Approved avor: Date — �AV �1 F'i �� App by Mayo for issi ' to Council BY ' — pu�..[�HE� MAY 2 4 1980 , • .,. , • � 131t"";1�/�'�T;� �; : Rev.: 9/8/"t6 , . ,�LANIlT?:�N OF ADM�N.IS1'�ATIV� t)ROEF�_, �`$��� .RE A�.,U?,Ztt#YS,� I�t��CES. � � �� B�E� E ���� f�: ��.: - �, . :MAY � - f9� :Dates �y �.• 1�D �� � : : �' ' �Tt3: P4A1�OR GEtiR� LAi`IA�Et4 , �` T�R�LT: ��naxd Carlson, .IJirecta�, FiM�nce a�d Ma�ac�e�aent �l�vices. � ��,' �R� Miles McE;iri].ey, PrQperty l�tanager�y►t �:� � l R£t z.+e�#.ng` of 3,010 sq. ft. cf space � th� f�,r�t ficoz :o� th�a ci.t�r i�].i ��i tt� �au�seen's Restauran� , ' � ; � ; _ " ,AG�IflN REQU�S"t'��� . `� : , �.. Coua�i� a�rova�.7. of, re�olution to allow the Tc�le Rea� Estate C�pany , �o groce�d �rvith the lease 'arrangements with Pou].ssen'�s R�s�taura�t. � ,s ; ' �URP,�,_„OSE�AI#� R�,A_TS_,QNA�1�E,EDR TNI� ACTIDNs ` � To rent spa�� on the 'first and- secortd flc�ors of the Ci�y Hall An�x �� a. .< . coa�ae��:tive rate that will ev�ntuall.y allow a reduced rat� ta �he �i�� d�g�nts on the upper Eloors. ��C�IE,�t Tc�r�s� �a�nY Prcposal . : Councik Resolu�ion , , . �� ����r�^ LEASE AGREEMENT THIS LEASE, made and entered into this day of , 19 , by and between the CITY OF SAINT PAUL, a municipal corporation of the State of Minnesota, hereinafter referred to as "Lessor" , and POULSSEN'S , a Minnesota corporation, hereinafter referred to as "Lessee" . . I . LEASED PREMISES - TERM Lessor does hereby lease, demise and let unto Lessee and Lessee does hereby hire and lease from Lessor the portion of the building located in the City of Saint Paul, County of Ramsey, State of Minnesota, formerly known as the Lowry Medical Arts Annex and now known as the City Hall Annex, consisting of 3, 010 square feet, and identified on the attached map which is marked Exhibit A, to have and to hold the same for a term, hereinafter called "original term" commencing on the lst day of August, 1980, and ending on the 30th day of July, 1985, unless sooner terminated as hereinafter provided, subject to all the terms, covenants and conditions set forth herein and subject to Lessee' s right and option to extend said term as hereinafter provided. , ����'�� `� zz . RENEWAL At the expiration of the original term, this lease may be renewed at the option of the Lesse2 for two additional extended terms of three years each. Any exter.sion of this lease as pro- vided above shall be upon and subject to all of the terms, covenants and conditions of this lease during the original term except as hereinafter modified and provided that: A. Lessee must give Lesscr written r.otice at least sixty (60) days prior to the expiration of said original term • of Lessee' s desire tc renew and �xtend this lease for an extended term; and B. Lessee must not be in default at the time notice is given or at the comr.iencement of any extended term. III. RENTALS Lessee hereby covenants and agrees to pay rent to Lessor � beginning on the commencement date of this lease at Lessor ' s office of the Department of Finance and Management Services in the City of Saint Paul, Minnesota, or at such other place as Lessor may from time to time designate in writing, annual rent at the rate of $9 .50 per square foot for the intitial term of the lease, or the monthly sum of $2 , 382 . 92 . Rent for extended terms of this lease shall be increased equal to the increases 2 . , �'J��"�'�. in cost of living index and shall be an amount negotiated and agreed upon between the parties at th� time Lessee exercises each option. In the event Lessee is required to pay real estate taxes on ther premises leased herein, annual rent paid to Lessor shall be reduced by the amount of such real estate taxes . IV. USE OF PREMISES Lessee may use the demised premises for a food restaurant only. Any proposed change in use from that of a food restaurant shall first be approved in writing by the Director of Finance of the City of Saint Paul. V. ORDINANCES Lessee agrees not to use or suffer to permit the demised premises or any part thereof to be used for any purpose of use other than herein provided, or in violation of any laws, zoning ordinances or other ordinances, or of the regulation of any governmental authority, or in any manner that will constitute a legal nuisance orin any manner that will violate, suspend, void or make inoperative any policy or policies of insurance of any kind whatsoever at any time carried on the demised premises. 3. ����.���` '� � a ,�;..`��.� �� vz. INDEMNI'I'Y AND LIABILITY INSURANCE Lessor shall not be liabie to ?�essee or to any other person or persons for or on account of any injury, death or damage occasioned in, on or about the demised premises to persons or property of any nature or sort whatsoever, or wheresoever arising, or for or on account of any death or any injury to persons or property that may result by reason of any future lack of repair of said premises, or improvements thereon, or the wiring, equip- ment, furnishings, fixtures or apparatus therein or thereof, or by or from plumbing, gas, water, steam or other pipes or sewage, or by or from the use, misuse, or nonuse of said premises or improvements thereon or any part thereof, or any equipment, furnishings or fixtures therein, or apparatus thereof by any person lawfully or unlawfully upon said premises, or by or from any act, omission or neglect of any such person, or by or from the acts of tenants of adjoining or contiguous property, or in any manner whatsoever growing out of the future condition or use of the demised premises, or improvements, or any part thereof. Lessee covenants and agrees to indemnify and hold Lessor harmless from and on account of any and all loss, damage, claim of damage, liability, expense, costs and counsel fees arising out of or resulting from or incurred in connection with the matters or things hereinbefore specified, and from and against any and all damage or liability arising from any accident or any occurrence 4 . causing injury or death to any person or property whatsoever, or whatsoever and directly due or indirectly due to the use, misuse or nonuse by Lessee or any of its agents, contractors, servants, employees or licensees or the condition of the demised premises or any part thereof, or any appurtenances or equipment thereof or therein, or arising out of any failure of Lessee in any respect to comply with any of the requirements or provisions of this lease. Lessee shall at Lessee ' s sole cost and expense but for the mutual benefit of Lessor and Lessee maintain reasonable and adequate general public liability insurance against claims for personal injury, death or property damage occurring in, upon or about the demised premises and on, in or about the streets, sidewalks and passageways on and adjoining the demised premises. The minimum limits of liability for such insurance shall be $100, 000 for injury or death to any one person and $300, 000 with respect to injury or death to more than ane person, and $300 ,000 with respect to damage to property. Lessee agrees to funish Lessor with certificates evidencing such insurance written in companies acceptable to Lessor and including Lessor as a named insured on the policy. All such certificates shall provide that the insurance evidenced thereby will not be cancelled by the insuror except on ten (10) days ' prior written notice to Lessor. 5. VII. TAXES The Lessee agrees �o pay or cause to be paid before penalty attaches, all taxes, excise taxes, assessments, fees, and other charges of whatsoever nature levied, assessed or imposed by federal, state or local authorities on the demised premises or the ownership thereof or the rents recieved therefrom which are due and payable during the original term and all extended terms, if any. If at any time ar.y such taxes, assessments, fees and other charges due and payable during the originaT term and all extended terms, if any, shall be levied by the State of Minnesota or any political subdivision thereof against the Lessor with respect to its interest in the demised premises, or rentals payable by the Lessee hereunder, the Lessee agrees to pay or cause to be paid when due any and all such taxes, assessments, fees and other charges . VIII . INSURANCE During the original term and all extended terms, if any, Lessee shall keep the demised premises insured against all risks except flood and against war damage when available for the full replacement value in a company or companies to be approved by Lessor with loss payable to Lessor and Lessee as their respective interests may appear. Lessee shall pay promptly when due all 6. premiums on such insurance. The originai policy shall be delivered to and kept and retained by Lessor as additional security for the covenants of Lessee herein, and before the expiration of any such policy of insurance Lessee shall deposit with Lessor a neca policy to replace th� policies so expiring or a rider renewing the same . IX. REPAIRS AND MAINTENANCE Lessee shall at all times and at its own expense keep the demised premises and all improvements thereon in good order, repair and condition, shall make all necessary repairs and replacements to the demised premises whether structural or otherwise and whether ordinary or extraordinary, and further shall repair all damage done to the demised premises from what- e��er source or cause so as to keep the demised premises in good and tenantable condition. Lesse� shall at its sole cost and expense rnaintain the improvements on the demised premises existing on the ccmmencement date of this lease and make such additional improvements as may become reasonably necessary to Lessee 's use of the demised premises. Lessee shall not at any time permit any security interest or any mechanics, laborers or material-men's liens to stan3 against the demised premises. Deposit with Lessor or with any court of competent jurisdiction of sufficient security to cover such liens shall be deemed 7. . � �#�����. compliance with tr.is paragraph. Lessor shall r.ot be require3 to make any expenditures whatsoever in connection with this lewse er to make any repa�rs or to maintain the demised premises in any way during the original term and all extende3 terms, if any. It is expressly understood and agre2d that except as provided herein, this lease is a "net lease" intended to insure �,essor the rent on an absolute net basis. X. DESTRUCTION In the event of damage to or d2struction of the 3emised premises or any part thereof during the original term or exten- sions, if any, Lessee shall promptly restore the demised gremises to substantially the condition existing immediately prior to such damage or destr�action and for that purpose if such damage or destruction was caused by perils insured against, Lessor shall make availabl� to Lessee pro rata as work progresses the net proceeds of such insurance. If such proceeds are insufficient to pay the entire cost thereof, Lessee agrees to pay the remainder of such cost. There shall be abatement of the rents becoming 3ue and payable hereunder during the period of restoration. XI. UTILITIES Lessor agrees that the following utilities are included in the rent: heat and air conditioning. All other utilities and 8. service such as refuse removal, electricity/gas, hot water, cleaning and telephones, shall be at the sole expense of the Lessee during the original and extended term, if any. XII. ASSIGNMENT AND SUBLETTING This lease shall not be assigned, nor shall the demised premises or any part thereof be sublet, used or occupied by any other person, corporation, partnership or other organization without Lessee first obtaining the written consent of Lessor thereto expressed in an Administrative Order issued by the Director of Finance; provided that such consent shall not be unreasonably withheld by Lessor. All of the provisions of this lease shall be binding upon every assignee, sublessee, user or occupant of said premises o� any part thereof with or without the consent of Lessor, and Lessee hereby guarantees the performance of all provisions of this lease by any assignee, sublessee or occupant; but nothing in this paragraph contained shall be interpreted or construed as a waiver by Lessor of the restrictions set forth in the first sentence of this paragraph. Any assignment or subletting by the Lessee of this lease or of the leasehold interest of Lessee here- under shall be made subject to all the rights of the Lessor � expressed in this lease and shall be made without prejudice to or impairment of any of Lessor' s rights as expressed in this lease or otherwise. 9. XIV. SURRENDER OF PREMISES Lessee shall upen the expiration er earlier terminatior. of this lease surrender to Lessor the demised pre:r.ises incl�ading without limitation the building, improvements and fixtures except Lessee"s movable trade fixtures and furniture and equip- mer.t then upon the demised premises, in go�d condition and repair, reasonable wear and tear exc�pted; and all alterations, improve- ments or ether additions which may be made or installed by or at the instance of either party her�to or by any assignee or sub- lessee of the Lessee hereund�r to, in, upon or about the demised premises, except Lesse�'s movable trade fixtures, furniture and equipment, shall be the property of the Lessor, and upon any such expiration or termination shall be surrendered to Lessor by Lessee without any injury, damage or disturbance thereto or pay- ment therefor. In the event that Lessee shall hold the demised premises after the expiration or termination of this lease with the consent of Lessor, expressed or implied, but without renewal as provided in this agreement, such holding over shall in the absence of a written agresment on the subject, be deemed to have created a month-to-month tenancy terminable on thirty (30) days' notice by either party to the other at a monthly rental equal to that hereinbefore provided, and otherwise subject to . all of the terms and provisions of this lease. 10. IN WITNESS WHEREOF, the parties hereto have caused these presents to be executed as of the day and year first above written. � � i � APPROVED AS TO FORM: CITY OF SAINT PAUL ! � Z City Clerk i ' _ Director, Department of Finance and N�anagement Services I STATE OF MINNESOTA I f ) ) ss. � COUNTY OF RAMSEY ) � , � The foregoing instrument was acknowledged before me this day of , 19 , by City Clerk; and Director of Finance and Manage- ment Services, of the City of Saint Paul, a municipal corporation i of the State of Minnesota, on behalf of said C�ity of Saint Paul. I , No�ary Public�� My commission expires: 11. � By ' Its By Its STATE OF MJNNESOTA) ) ss. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this day of , 19 , by and , of � , a Minnesota corporation, on behalf of said company. Notary Publti.c My commissipn expires: � 12 . -'-- -� -r �.. � ._ .. . . . _. . . .. I . . . . ��.���� - � /S"' I _ • . i 1 Zj - � � �i � ;� J �y �. 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