HomeMy WebLinkAbout18705 - RESOLUTIONS - 10/4/1995RESOLUTION NO. 18705
OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, ACKNOWLEDGING
AND AGREEING TO THE TERMS, DATES, SQUARE
FOOTAGES AND BASE RENTALS CONTAINED IN
AMENDMENT NO. 1 TO PSL-315.
WHEREAS, in 1989, the City of Palm Springs acquired the leasehold interest in the Convention
Center Master Lease PSL-315 from SENCA Palm Springs, Inc.; and
WHEREAS, said leasehold was acquired subject to existing subleases, one of which was for a
3.01 acre commercial site located at the northeast corner of Tahquitz Canyon Way and Avenida
Caballeros with Voss Investment Properties, a California Partnership (Voss); and
WHEREAS, Voss defaulted under its sublease to the City, as well as on its loan from Sumitomo
Bank of California; and
WHEREAS, on April 7, 1995, Sumitomo Bank foreclosed on the Voss sublease and the City's
leasehold interest in the Voss portion of the Master Lease PSL-315; and
WHEREAS, pursuant to provisions of Article 24 of the Master Lease PSL-315, said foreclosure
resulted in a fractionalization of the Voss portion from the Master Lease, thereby making
Sumitomo Bank obligated as a lessee under Master Lease PSL-315 as to the Voss portion of the
property leased under Master Lease PSL-315; and
' WHEREAS, the City, effective April 7, 1995, the date of foreclosure, no longer had any
obligations under the Master Lease PSL-315 for the Voss portion, but continued to have the
obligation as lessee under the Master Lease for the remaining portion; and
WHEREAS, the Bureau of Indian Affairs, on behalf of the Indian lessors, and Sumitomo Bank
of California have memorialized this fractionalization of Master Lease PSL-315 in Amendment
No. 1 to PSL-315, which hereafter will be referred to PSL-315A as it relates to the Voss
portion; and
WHEREAS, the City has been requested to review and to acknowledge and indicate its
agreement to the various terms, dates, square footage and base rentals contained in said
Amendment No. 1 to PSL-315; and
WHEREAS, the City Council desires to accomodate said request.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Springs,
California, as follows:
SECTION 1. That Amendment No. 1 to PSL-315 is hereby acknowledged and the
following terms contained therein are agreed to:
a. The date of foreclosure was April 7, 1995.
b. The prorated rent for the period April 7, 1995 through December 31,
1995, for the 131,255 square feet of leased premises described in
Exhibit "A" to said Amendment amounts to $65,828, which is the
amount prepaid by and due to the City of Palm Springs.
c. That the Guaranteed Minimum Annual Rental for the 131,255 square
feet, which comprises 10.07% of the total original leased area of
1,303,423.2 under Master Lease PSL-315, currently amounts to
$89,991.
Res. No. 18705
Page 2
d. That the City continues to be the lessee of the remaining 1,172,168.2
square feet of property under Master Lease PSL-315 for a current
Guaranteed Minimum Annual Rental of $803,668.
SECTION 2. That the City Manager is authorized to execute said acknowledgement and
agreement as to the terms contained in Amendment No. 1 to PSL-315 to
the extent such terms are described in Section 1 above.
ADOPTED this
4th day of October , 1995.
AYES: Members
NOES: None
ABSENT: None
ABSTAINED: None
ATTEST:
Hodges, Kleindienst;, Lyons, Reller-Spurgin & Mayor Maryanov
sy:
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REVIEWED & APPROVED
CITY OF PALM SPRINGS, CALIFORNIA
City 1vl��ge: