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HomeMy WebLinkAboutCOD-009-05 <, ~!![mgron REPORT CORPORATE SERVICES DEPARTMENT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: March 7, 2005 Report #: COD-009-05 File#_ r<e6 ~.' (jiJH l/it' By-law #I.XJ::J '5- ()If J- Subject: Oshawa/Clarington Association for Community Living and John Howard Society Lease Agreements Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report COD-009-05 be received; 2. THAT the Lease agreement (Attachment #1) with the Oshawa/Clarington Association for Community Living in the amount of $11 ,449.46 per annum for one (1) year tenm be approved; and 3. THAT the Lease agreement (Attachment #2) with the John Howard Society in the amount of $11 ,449.46 per annum for one (1) year term be approved; and 4. THAT the attached By-laws marked Attachment #3 and Attachment #4 be approved authorizing the Mayor and the Clerk to execute the necessary agreements; Submitted by: Reviewed bY:U ~ ~ Franklin Wu, Chief Administrative Officer MMILABlcw 12tH , , REPORT NO.: COD-009-QS PAGE 2 BACKGROUND AND COMMENT The Municipality has existing Lease agreements with the Oshawa Clarington Association for Community Living and the John Howard Society for the premises at 132 Church Street, Bowmanville since 1997. Administrative Services, Employment Resource Centre for Youth and the Firehouse Youth Activity Centre are the main activities in the former apparatus bay area and main floor of the building. The proposed lease is effective January 1, 2005, and will expire December 31, 2005. An extension for an additional 1 (one), one year term is subject to successful negotiation of tenms and lease amount. Any proposed extension will be brought forward to Council at that time. The amounts proposed for each of the tenants represents a five (5) percent increase in the monthly rent over the previous lease agreement. Staff will review again at the end of 2005, the operating costs for the building. The tenants are responsible for their own daily maintenance including custodial. CORPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOW MANVILLE, ONTARIO L 1 C 3A6 T(905)623-3379 F (905)623-4169 1202 Attachment #1 THIS LEASE dated as of the _ day of in pursuance of the Short Forms of Leases Act. ,2005, BETWEEN: The Corporation of the Municipality of Clarington (hereinafter called the "Landlord") -and- Oshawa Clarinaton Association for Community L1v1na a corporation incorporated under the laws of the Province of Ontario (hereinafter called the "Tenant") OF THE SECOND PART LEASE AGREEMENT 1203 , [f.,':<.:,;{i'.-",,'vl::i 3. Demised Premises The demised premises is comprised of the administration areas, the former apparatus bay, Courtroom #2, and adjacent office. 4. Licensed Areas The Licensed Areas includes the non-exclusive use of the Court Room One and entrances, exU and stairs of the aforesaid building, the exclusive use of the lower and main floors, and the use of the east ten (10) parking spaces in a designated area, on the east side of the building. 5. Basic Rent During the Term, the Tenant shall pay to the Landiord annual minimum rent of $11,449.46 per year. 6. Tenanfs DulY to Maintain The Tenant at all times throughout the term shall maintain the premises in a satisfactory condUion as determined by the Landlord. Acting reasonably, without limiting the foregoing, the Tenant shall keep the Premises in a dean condition, obtain at its expense, janitorial services, and daily operating expenses. 7. Net Lease The Tenant acknowledges, covenants and agrees that, except as herein expressly set out, U is intended that this Lease and the rentals herein provided to be paid shall be completely net and carefree to the Landlord. All amounts required to be paid by the Tenant hereunder (whether to the Landlord or third parties) shall be additional rent and all additional rent shall be payable and recoverable as Basic Rent, but in the manner herein provided, and the Landlord shall have all rights against the Tenant for default in any such payment as in the case of arrears of Basic Rent. 8, Reoairs and Maintenance The Tenant hereby accepts the Premises on an "as is" basis. The Tenant, at its own expense, shall maintain and keep the Premises and every part thereof, in good working order and condition and promptiy make all needed maintenance, repairs and replacements as would a prudent owner of similar premises (reasonable wear and tear and damage by fire, lightning and tempest and structural defects only excepted). The Tenant shall keep the Premises dean and In such condition as a prudent owner would do. If structural repairs or replacements to the roof, foundation or load bearing walls or the heating equipment of the Premises are required during the Term, then the Landlord shall be obligated, at its expense, to effect such repairs or replacements. The Tenant covenants with the Landlord to leave the Premises in as good repair as the Premises were at the commencement of the Term. PAGE 3 1205 : FAS[~:nCfli,,'" (d) Evidence of insurance satisfactory to the Municipality's Insurance Administrator shall be provided prior to execution of the lease. If requested by the Landlord, Certified Copies of the above-referenced polity must be provided. The Tenant shall indemnify and save harmless the Landlord from any and all claims, demands, causes of action, loss, costs or damages that the Landlord may suffer, incur or be liable for, resulling from the performance of the Tenant of his obligations under the lease agreement, save and except damages, claims, demands, actions or cause of action arising out of or as a result of the actions of the Landlord, its agents or employees. And the Tenant shall provide the Landlord wllh a copy of the policy certified by the insurer. 11. Damaae and Destruction If the Premises are destroyed or damaged by fire, lightning, tempest or other casualty, then and in every such event if, In the opinion of the Landlord's architect, the damage or destruction of such Building renders the whole or any substantial part of the said Building unfit for occupancy or impossible or unsafe for use and occupancy or impossible for the Tenant to continue to carry on its business, ellher the Landlord or the Tenant may at its option, terminate this Lease by giving to the other notice in writing of such termination, in which event, this Lease and the Term shall cease and be at an end as of the date of such destruction or damage, and the rent and all other payments for which the Tenant is liable under the terms of this Lease shall be apportioned and paid in full to the date of such destruction or damage; 12. Quiet Eniovment The Landlord covenants with the Tenant for quiet enjoyment. 13. Govemment Reauirements The Tenant shall, at lis sole cost and expense, during the Term: (a) observe and comply with all applicable govemmentallaws and regulations including, without limllation, federal and provincial legislative enactments, Building by-laws and other governmental or municipal regulations which relate to the Premises or the partitioning, equipment, operation and use thereat and to the making of any repairs, replacements, alterations, additions, changes, substitutions or improvements of or to the Premises. The Tenant shall comply with all police, fire and sanitary regulations imposed by any federal, provincial or municipal authorities, or made by insurance underwriters and shall observe all govemmental and municipal regulations and other requirements goveming the conduct of any business conducted in the Premises; (b) obtain all necessary permits, licenses and approvals relating to the use and occupancy of the Premises and the conduct of business therein; and PAGE 5 1207 , ~.;:, ,~t 15. Richt of Re-Entrv Upon an Event of Default and at the opinion of the Landlord, the Landlord, in addition to any other remedy or right It may have, and without notice or any form of legal process, may forthwith re-enter upon and take possession of the Premises without thereby terminating this Lease and remove and sell the Tenant's goods, chattels, equipment and trade fixtures therefrom, any rule of law or equity to the contrary notwithstanding. The Landlord may seize and sell such goods, chattels, equipment and trade fixtures of the Tenant as are in the Premises and may apply the proceeds thereof to all rent and other payments to which the Landlord is then entitled under this Lease. Any such sale may be effected in the discretion of the Landlord by public auction or otherwise, and either in bulk or by individual item, or partly by one means and party by another, all as the Landlord in its sole discretion may decide. If any of the Tenanfs property is disposed of as provided in this Section, ten (10) days prior notice to the Tenant of disposition shall be deemed to be commercially reasonable. 16. Richt ofTermination In addition to all rights and remedies of the Landlord available to it by any provision of this Lease or given by law to the Landiord, the Tenant agrees that upon an Event of Default the Landlord shall have the right to terminate this Lease upon notice In writing to the Tenant. Upon such notice, this Lease shall terminate immediately without the necessity of any legal proceeding whatsoever. The Tenant shall thereupon within three (3) days quit and surrender the Premises to the Landlord, or if not yet in possession, the Tenant shall no longer have any right to possession of the Premises, and the Landlord, its agents and servants, shall have the right to enter the Premises and dispossess the Tenant and remove any persons or property therefrom without the necessity of legal proceeding whatsoever and without being liable to the Tenant therefor in damages, or otherwise. Either party shall have the right to cancel this Lease at any time during the term by giving the other party no less than three (3) month prior written notice of termination. 17. RiQht to Re-Iet etc. If the Landlord re-enters pursuant to the provisions of either this Lease or any applicable law, the Landlord, without limiting its right to recover damages, may either terminate this Lease under this section or it may from time to time without terminating the Tenanfs obligations under this Lease, make any alterations and repairs considered necessary by the Landlord to facilitate a reletting, and relet the Premises or any part thereof as agent of the Tenant for such term or terms and at such rental or rentals and upon such other terms and conditions as the Landlord in its reasonable discretion considers advisable. Upon each reletting, all rent and other moneys received by the Landlord from the relelling will be applied (i) to the payment of indebtedness other than rent due hereunder from the Tenant to the Landiord (ii) to the payment of costs and expenses of the relelling including brokerage fees, legal fees and costs of the alterations and repairs and (iii) to the payment of rent due and unpaid hereunder. The residue, if any, will be held by the Landlord and applied in payment of future rent as it becomes due and payable. if the rent received from the reletting during a month is less than the rent to be paid during that month by the Tenant, the Tenant shall pay the deficiency to the Landlord. The deficiency shall be calculated by the Landlord and paid monthly in advance on or before the first day of every month by the Tenant. No re-entry by the Landlord shall be construed as an election on its part to terminate this Lease unless a written notice of that intention is given to the Tenant. Despite a relettlng without termination, the Landlord may elect at any time to terminate this Lease for a previous breach. PAGE 7 1209 i>~j(' 24. Notices Any notice that one party hereto may desire or be required to give to the other party hereto shall for all purposes be deemed to have been sufficiently and properly given. if delivered personally or forwarded by registered mall and addressed in the case of the Landlord to: Municipality of Clarington 40 Temperance Street, Bowmanville, Ontario L lC 3A6 Attention: Lou Ann Birkett, Purchasing Manager and in the case of the Tenant to the Premises and shall be presumed to have been received on the date of delivery, if delivered personally, or if forwarded by registered mall on the third business day following such mailing. Any notice shall be in writing, except as expressly otherwise provided herein, and shall be given only by delivery as aforesaid in the event of post interruption. The Landlord The Tenant: Oshawa Clarington Association for Community Living 132 Church Street, Bowmanville, Ontario 25. Rioht to Sublet The Tenant shall have the right to sublease any portion of their useable leased area, provided that the use and occupation of the Area of the Premises remains as permitted by this lease, and is complimentary to the operation of the Tenant. The Tenant must provide the Landlord with written notification of any sublease entered into by the Tenant. It Is the Tenants responsibility to ensure that all terms and conditions of this lease are adhered to by tenants subleasing. At any time during the term of the lease, the Landlord reserves the right to revoke the right to sublease. should the Tenants who have subleased be in violation of the terms of this lease, and or should the intended use of the premises not be maintained. The Tenant will assume all responsibility for any subtenants with respect to Insurance and Indemnification as identified in this lease. The existence of any sublease shall in no way reduce the responsibility ofthe Tenant. 26. Danoerous Use The Tenant shall not commit or permit anything which will increase the cost of the Landlord's insurance or render any insurance on or relating to the Premises subject to cancellation. 27, Rules Reoardino Ooeration of Demised Premises The Municipality's Property Manager from time to time may give the Tenant written notice of rules regarding the operation of the premises. Such rules shall be complied with by the Tenant's and Sub-Tenants during the Term of the Lease and any extensions or renewal thereof. 28. Smoke Free Bulldino The Tenant shall not permit or allow any person to smoke tobacco product anywhere in the building. PAGE 9 1211 Attachment #2 THIS LEASE dated as of the_ day of in pursuance of the Short Forms of leases Act. ,2005, BETWEEN: The Corporation of the Municipality of Clarington (hereinafter called the "Landlord") -and- The John Howard Socletv a corporation incorporated under the laws of the Province of Ontario (hereinafter called the "Tenant") OF THE SECOND PART LEASE AGREEMENT 1213 :-.;. 3. Demised Premises The demised premises is comprised of the administration areas, the former apparatus bay, Courtroom #2, and adjacent office. 4. Licensed Areas The Licensed Areas includes the non-excluslve use of the Court Room One and entrances, exit and stairs of the aforesaid building, the exclusive use of the lower and main floors, and the use of the east ten (10) parking spaces in a desi9nated area, on the east side of the buiiding. 5. Basic Rent During the Term, the Tenant shall pay to the Landlord annual minimum rent of $11,449.46 per year. 6. Tenant's DulY to Maintain The Tenant at all times throughout the term shall maintain the premises in a satisfactory condttion as determined by the Landlord. Acting reasonably, without Iimtting the foregoing, the Tenant shall keep the Premises in a clean condition, obtain at its expense, janttorial services, and daily operating expenses, 7. Net Lease The Tenant acknowledges, covenants and agrees that, except as herein expressly set out, it is intended that this Lease and the rentals herein provided to be paid shall be completeiy net and carefree to the Landlord. All amounts required to be paid by the Tenant hereunder (whether to the Landlord or third parties) shall be addttional rent and all additional rent shall be payabie and recoverable as Basic Rent, but in the manner herein provided, and the Landiord shall have all rights against the Tenant for default in any such payment as in the case of arrears of Basic Rent. 8. Recairs and Maintenance The Tenant hereby accepts the Premises on an "as is" basis. The Tenant, at its own expense, shall maintain and keep the Premises and every part thereof, in good working order and condition and promptly make all needed maintenance, repairs and replacements as would a prudent owner of similar premises (reasonable wear and tear and damage by fire, lightning and tempest and structural defects only excepted). The Tenant shall keep the Premises clean and in such condition as a prudent owner would do. If structural repairs or replacements to the roof, foundation or load bearing walls or the heating equipment of the Premises are required during the Term, then the Landlord shall be obligated, at its expense, to effect such repairs or replacements. The Tenant covenants with the Landlord to leave the Premises in as good repair as the Premises were at the commencement of the Term. PAGE 3 1215 (d) Evidence of insurance satisfactory to the Municipality's Insurance Administrator shall be provided prior to execution of the lease. If requested by the Landlord, Certified Copies ofthe above-referenced polity must be provided. The Tenant shall indemnify and save harmless the Landlord from any and all claims, demands, causes of action, loss, costs or damages that the Landlord may suffer, incur or be liable for, resulting from the performance of the Tenant of his obli9ations under the lease agreement, save and except damages, claims, demands, actions or cause of action arising out of or as a resuit of the actions of the Landlord, its agents or employees. And the Tenant shall provide the Landlord with a copy of the policy certified by the insurer. 11. Damaoe and Destruction If the Premises are destroyed or damaged by fire, lightning, tempest or other casualty, then and in every such event if, in the opinion of the Landlord's architect, the damage or destruction of such Building renders the whole or any substantial part of the said Building unfit for occupancy or impossible or unsafe for use and occupancy or impossible for the Tenant to continue to carry on its business, either the Landlord or the Tenant may at its option, terminate this Lease by giving to the other notice in writing of such termination, in which event, this Lease and the Term shall cease and be at an end as of the date of such destruction or damage, and the rent and all other payments for which the Tenant is liable under the terms of this Lease shall be apportioned and paid in full to the date of such destruction or damage; 12. Quiet Eniovment The Landlord covenants with the Tenant for quiet enjoyment. 13. Government Reauirements The Tenant shall, at its sole cost and expense, during the Term: (a) observe and comply with all applicable govemrnentallaws and regulations including, without limitation, federal and provincial legislative enactments, Building by-laws and other governmental or municipal regulations which relate to the Premises or the partitioning, equipment, operation and use thereof and to the making of any repairs, replacements, alterations, additions, changes, substitutions or improvements of or to the Premises. The Tenant shall comply with all police, fire and sanitary regulations imposed by any federal, provincial or municipal authorities, or made by insurance underwriters and shall observe all governmental and municipal regulations and other requirements governing the conduct of any business conducted in the Premises; (b) obtain all necessary permits, licenses and approvals relating to the use and occupancy of the Premises and the conduct of business therein; and PAGE 5 1217 15, Riaht of Re-Entrv Upon an Event of Default and at the opinion of the Landlord, the Landlord, in addition to any other remedy or right it may have, and without notice or any form of legal process, may forthwith re-enter upon and take possession of the Premises without thereby terminating this Lease and remove and sell the Tenant's goods, chattels, equipment and trade fixtures therefrom, any rule of law or equity to the contrary notw~hstanding. The Landlord may seize and sell such goods, chattels, equipment and trade fixtures of the Tenant as are in the Premises and may apply the proceeds thereof to all rent and other payments to which the Landiord is then entitled under this Lease. Any such sale may be effected in the discretion of the Landlord by public auction or othelWise, and either in bulk or by individual item, or partly by one means and party by another, all as the Landlord in its sole discretion may decide. If any of the Tenant's property is disposed of as provided in this Section, ten (10) days prior notice to the Tenant of dispos~ion shall be deemed to be commercially reasonable. 16. Riaht ofTermination In addition to all rights and remedies of the Landlord available to it by any provision of this Lease or given by law to the Landlord, the Tenant agrees that upon an Event of Default the Landlord shall have the right to terminate this Lease upon notice in writing to the Tenant. Upon such notice, this Lease shall terminate immediately without the necess~y of any legal proceeding whatsoever. The Tenant shall thereupon within three (3) days quit and surrender the Premises to the Landlord, or if not yet in possession, the Tenant shall no longer have any right to possession of the Premises, and the Landlord, its agents and servants, shall have the right to enter the Premises and dispossess the Tenant and remove any persons or property therefrom without the necessity of legal proceeding whatsoever and without being liable to the Tenant therefor in damages, or otherwise. Either party shall have the right to cancel this Lease at any time during the term by giving the other party no less than three (3) month prior written notice of termination. 17. Riaht to Re-Iet etc. If the Landlord re-enters pursuant to the provisions of either this Lease or any applicable law, the Landlord, without limiting its right to recover damages, may either terminate this Lease under this section or it may from time to time without terminating the Tenant's obligations under this Lease, make any alterations and repairs considered necessary by the Landlord to facilitete a reletting, and relet the Premises or any part thereof as agent of the Tenant for such term or terms and at such rental or rentals and upon such other terms and cond~ions as the Landlord in its reasonable discretion considers advisable. Upon each reletting, all rent and other moneys received by the Landlord from the reletting will be applied (i) to the payment of indebtedness other than rent due hereunder from the Tenant to the Landlord (ii) to the payment of costs and expenses of the reletting including brokerage fees, legal fees and costs of the alterations and repairs and (iii) to the payment of rent due and unpaid hereunder. The residue, if any, will be held by the Landlord and applied in payment of future rent as ~ becomes due and payable. If the rent received from the reletting during a month is less than the rent to be paid during that month by the Tenant, the Tenant shall pay the deficiency to the Landlord. The deficiency shall be calculated by the Landlord and paid monthly in advance on or before the first day of every month by the Tenant. No re-entry by the Landlord shall be construed as an election on its part to terminate this Lease unless a written notice of that intention is given to the Tenant. Despite a reletting without termination, the Landlord may elect at any time to terminate this Lease for a previous breach. PAGE 7 1219 24. Notices Any notice that one party hereto may desire or be required to give to the other party hereto shall for all purposes be deemed to have been sufficiently and properly given, if delivered personally or forwarded by registered mail and addressed in the case of the Landlord to: The Landlord Municipality of Clarlngton 40 Temperance Street, Bowmanville, Ontario L lC 3A6 Attention: Lou Ann Birkett, Purchasing Manager and in the case of the Tenant to the Premises and shall be presumed to have been received on the date of delivery, if delivered personally, or if forwarded by registered mail on the third business day following such mailing. Any notice shall be in writing, except as expressly otherwise provided herein, and shall be given only by delivery ,as aforesaid in the event of post interruption. The John Howard Society 132 Church Street, Bowmanville, Ontario The Tenant: 25. Riaht to Sublet The Tenant shall have the right to sublease any portion of their useable leased area, provided that the use and occupation of the Area of the Premises remains as pennitted by this lease, and is complimentary to the operation of the Tenant. The Tenant must provide the Landlord with written notification of any sublease entered into by the Tenant. " is the Tenants responsibility to ensure that all tenns and conditions of this lease are adhered to by tenants subleasing. At any time during the tenn of the lease, the Landlord reserves the right to revoke the right to sublease, should the Tenants who have subleased be in violation of the tenns of this lease, and or should the intended use of the premises not be maintained. The Tenant will assume all responsibility for any subtenants with respect to Insurance and Indemnification as identified in this lease. The existence of any sublease shall in no way reduce the responsibility of the Tenant. 26. Danaerous Use The Tenant shall not commit or penn it anything which will increase the cost of the Landlord's insurance or render any insurance on or relating to the Premises subject to cancellation. 27. Rules Reoardina Ooeration of Demised Premises The Municipality's Property Manager from time to time may give the Tenant written notice of rules regarding the operation of the premises. Such rules shall be complied with by the Tenanfs and Sub-Tenants during the Tenn of the Lease and any extensions or renewal thereof. 28. Smoke Free Buildina The Tenant shall not pennll or allow any person to smoke tobacco product anywhere in the building. PAGE 9 1221 . . Attachment #3 THE CORPORATION OF THE MUNICIPALITY OF ClARINGTON BY-lAW 2005- Being a By-law to authorize a contract between the Corporation of the Municipality of Clarington and Oshawa Clarington Association for Community Living, Oshawa, Ontario, to enter into agreement for the lease space at 132 Church Street, Bowmanville, ON. THE CORPORATION OF THE MUNICIPALITY OF ClARINGTON HEREBY ENACTS AS FOllOWS: 1. THAT the Mayor and Clerk are hereby authorized to execute, on behalf of the Corporation of the Municipality of Clarington and seal with the Corporation Seal, a contract between, Clarington and Oshawa Clarington Association for Community Living, of Oshawa , Ontario, and said Corporation; and 2. THAT the contract attached hereto as Attachment #1 form part of this By-law. By-law read a first and second time this day of ,2005. By-law read a third time and finally passed this day of ,2005. John Mutton, Mayor Patti L. Barrie, Municipal Clerk 1223 . ~ Attachment #4 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON BY-LAW 2005- Being a By-law to authorize a contract between the Corporation of the Municipality of Clarington and John Howard Society, Bowmanville, Ontario, to enter into agreement for the lease space at 132 Church Street, Bowmanville, ON. THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON HEREBY ENACTS AS FOLLOWS: 1. THAT the Mayor and Clerk are hereby authorized to execute, on behalf of the Corporation of the Municipality of Clarington and seal with the Corporation Seal, a contract between, John Howard Society, Bowmanville, Ontario, and said Corporation; and 2. THAT the contract attached hereto as Attachment #1 form part of this By-law. By-law read a first and second time this day of ,2005. By-law read a third time and finally passed this day of ,2005. John Mutton, Mayor Patti L. Barrie, Municipal Clerk 1...." .1 ,,;::,. 1:1