HomeMy WebLinkAboutCOD-033-02
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REPORT
CORPORATE SERVICES DEPARTMENT
Meeting:
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
Date:
Monday, June 17, 2002
File # /.JJ1
(f1t-30rJ-O :2-
By-law # .:2CD;;L-!tJ ~
Report #:
COD-33-02
Subject:
LEASE AGREEMENT - COURTlCE COMMUNITY COMPLEX &
CLARINGTON KIDS INC.
Recommendations:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the following:
1 . THAT Report COD-33-02 be received;
2. THAT a monthly fee of $6532.44 for the period July 15, 2002 to July 14, 2003
and $6,653.38 for the period July 15, 2003 to July 14, 2004, and $6,774.19 for
the period July 15, 2004 to July 14, 2005 and $6,895.17 for the period July 15,
2005 to July 14, 2006 be approved; and
3. THAT the attached By-law, marked Schedule "A", authorizing the Mayor and
Clerk to execute the lease agreement with Clarington Kids Inc. (Janice and
Randy Brown) be forwarded to Council for approval.
Reviewed bye) ~ ~
Franklin Wu,
Chief Administrative Officer
MM/LAB/JC/eu
1206
'.
REPORT NO.: COD-033-02
PAGE 2
BACKGROUND AND COMMENT
Clarington Kids Inc. (Janice and Randy Brown) currently lease space at the Courtice
Community Complex at a monthly rate of $5681.00 ($5556.00/month plus
$125.00/month for Exterior Play Area)
Staff have reviewed the cost of operating the building as well as the current market
rates relative to the initial fees received. As with the prior lease, a five (5) year term is
proposed. Staff have been advised the proposed current rental rates are acceptable.
The total monthly fee includes the rental fee of the Exterior Playground Area.
The current lease expires July 14, 2002 and staff respectively recommends that the
proposed rental agreement be accepted, effective July 15, 2002. A copy of the lease is
attached marked Schedule "B".
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1C 3A6 T(905)623-3379 F (905)623-3330
1207
Schedule "A"
THE CORPORATION OF THE MUNICIPALITY OF CLARlNGTON
BY-LAW 2002-
Being a By-law to authorize the execution of a Lease
Agreement between the Corporation of the Municipality
of Clarington and Clarington Kids Inc. in respect of a
lease for space located in the Courtice Community Complex,
Courtice, Ontario.
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON HEREBY
ENACTS AS FOLLOWS:
I. THAT the Mayor and Clerk are hereby authorized to execute, on behalf of the
Corporation of the Municipality of Clarington with the Corporate Seal, a Lease
Agreement with Clarington Kids Inc. and said Corporation.
2. THAT this agreement attached hereto as Schedule "A" form part of this By-law.
By-law read a first and second time this
day of
,2002.
By-law read a third time and finally passed this
day of
,2002.
John Mutton, Mayor
Patti L. Barrie, Municipal Clerk
1208
LEASE AGREEMENT
Page 1
THIS LEASE dated as of the _ day of
,2002.
BETWEEN:
The Corporation of the Municipality of clarington
(hereinafter called the "Landlord")
- and-
Company Limited, a corporation
incorporated under the laws of the Province of Ontario
(hereinafter called the "Tenant")
OF THE SECOND PART
,...
LEASE AGREEMENT
\209
Due to the length of the
Agreement, copies are
available in the Clerk's Dept.
H:';LEASES\2002-CLAR-KIDS.DOC
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LEASE AGREEMENT
Page 2
TARI F OF CONTFNTS
ARTICLE I
PREMISES, TERM, OFFER AND USE ............................................................................
1.1 Grant and Premises .................................................................................... 1
1.2 Term ............................................................................................................ 1
1.3 Use and Conduct of Business..................................................................... 2
1.4 Nuisance...................................................................................................... 2
ARTICLE II
RENT ...................................................... ........................................................................... 3
2.1 Covenant to Pay.......................................................................................... 3
2.2 Net Rent ...................................................................................................... 3
2.3 Payment of Taxes ....................................................................................... 3
2.4 Payment of Estimated Taxes and Operating Costs.................................... 4
2.5 Utilities and Services ................................................................................... 4
2.6 Additional Rent............................................................................................ 5
2.7 Rent Past Due............................................................................................. 5
ARTICLE III
CONTROL OF BUILDING .................................................... ............................................ 6
3.1 Landlord's Services ..................................................................................... 6
3.2 Control by Landlord ..................................................................................... 6
ARTICLE IV
ACCESS AND ENTRY ................................................... ................................................... 7
4.1 Access to Premises..................................................................................... 7
4.2 Entry not Forfeiture......................................... ................. ............................ 8
ARTICLE V
MAINTENANCE, REPAIRS AND ALTERATIONS..__...................................................... 9
5.1 Maintenance by the Landlord ....................__................................................ 9
5.2 Maintenance by Tenant, Compliance with Laws, Repair on Notice ........... 9
5.3 Approval of Tenant's Alterations ................................................................ 10
5.4 Repair where Tenant at Faull..................................................................... 11
5.5 Removal Of Fixtures and Personal Property ............................................. 12
5.6 Liens........................................................................................................... 12
5.7 Notice by Tenant....................................................... .__............................. 12
ARTICLE VI
INSURANCE AND INDEMNITY................... ................................................................... 13
6.1 Tenant's Insurance.................................................................__.................. 13
6.2 Form of Policies.......__...................__............................................................ 14
6.3 Landlord's Insurance...........__....................__............................................... 14
6.4 Release of Landiord ................................................................................... 14
6.5 Tenant's Effect on Other Insurance ..__....................................................... 15
6.6 Indemnity of Landlord......................................................................__......... 16
6.7 Loss or Damage...................__.....................__.............................__.............. 17
6.8 Senefit of Reieases .................................................................................... 18
1210
H:'.,LE.4.SES2002-CLAR-KIDS. DOC
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LEASE AGREEMENT
Page 3
ARTICLE VII
DAMAGE AND DESTRUCTION ...................................................................................... 19
7.1 Damage to Premises, Building or Development........................................ 19
7.2 Insured Damage to Premises..................................................................... 19
7.3 Uninsured Damage to Premises and Last Two years............................... 19
7.4 Damage to Building or Development ......................................................... 20
7 .5 Termination................................................................................................. 20
7.6 Restoration if Lease Not Terminated ......................................................... 20
7.7 Restoration of Premises or Building and Insurance Proceeds .................. 21
7.8 Determination of Matters............................................................................ 21
7.9 Limitation of Liability ................................................................................... 21
ARTICLE VIII
TRANSFERS ..............................................................................................................,..... 22
8.1 Transfers .................................................................................................... 22
8.2 Landlord's Right to Terminate .................................................................... 22
8.3 Conditions of Transfer ................................................................................ 22
8.4 Change of Control...................................................................................... 23
8.5 No Advertising ............................................................................................ 23
8.6 Assignment by Landlord ............................................................................. 23
ARTICLE IX
DEFAULT ......................................................................................................................... 24
9.1 Default and Remedies................................................................................ 25
9.2 Distress....................................................................................................... 25
9.3 Costs.......................................................................................................... 25
9.4 Set-Off and Accord and Satisfaction.......................................................... 25
9.5 Survival of Obiigations................................................................................ 25
9.6 Lien............................................................................................................. 26
9.7 Waiver and Remedies Cumulative............................................................. 26
ARTICLE X
SPECIAL PROViSiONS.............................................. ..................................................... 27
10.1 Parking ................................................................ .............. ......................... 27
10.2 Extension or Renewal................................................................................ 27
10.3 Operation of Licensed Day Care and Indoor Family PlaY9round .............. 27
10.4 Physical Plant and Equipment ................................................................... 27
10.5 Management and Operation of Premises .................................................. 28
10.6 Disposal of Waste ...................................................................................... 28
10.7 Ground Maintenance - Outdoor Play9round.............................................. 28
10.8 Quality Control............................................................................................ 28
10.9 Sponsorship and Advertising Sales ........................................................... 29
10.11 Marketing and Advertising.......................................................................... 29
10.12 Concessions/Catering ................................................................................. 29
10.13 Chattel Mortgage of Playground Equlpment............................................... 29
\"211
1-l:\LEASES\2002-CLAR-KIOS.OOC
LEASE AGREEMENT
Page 4
ARTICLE XI
GENERAL PROViSiONS................................................................................................. 30
11.1 Rules and Regulations ............................................................................... 30
11.2 Delay........................................................................................................... 30
11.3 Overholding ................................................................................................ 30
11.4 Notices........................................................................................................ 30
11.5 Successors ................................................................................ ................. 30
11.6 Covenants and Joint and Several Liability ................................................. 31
11.7 Heading, Table of Contents, Lease Summary........................................... 31
11.8 Extended Meanings.................................................................................... 31
11.9 Partial Invalidity............................................................ ............................... 31
11.10 Entire Agreement ....................................................................................... 31
11.11 Governing Law........................................................................................... 31
11.12 Time of the Essence .................................................................................. 31
11.13 Quiet Enjoyment......................................................................................... 32
11.14 No Partnership or Agency.......................................................................... 32
ARTICLE XII
SPECIAL PROViSiONS................................................................................................... 33
12.1 Schedules................................................................................................... 33
Schedule "A" - Legal Description of Lands
Schedule "8" - Floor Plan
Schedule "C" - Definitions
Schedule "D" - Rules and Regulations
1212
H:"LEASES2002.::::LAR~KIDS_ DOC