HomeMy WebLinkAbout00159C - THEODORE HOLMQUIST CASA DEL CAMINO LEASE 1447 NPC PA6 • Theodore W. Holmquist, dba
LEASE Casa del Camino, 1447 N. Palm
CASA DEL CAMINO Canyon, PA6
AGREEiENT ;#159
Resolution 466, 4-1-87
THIS LEASE, dated June 1 1987, between Community
Redevelopment Agency of the City of Palm Springs "CRA" (Lessor) , and THEODORE
W. HOLMQUIST, doing business as Casa del Camino (Lessee) , is based upon
the following;
RECITALS OF FACT:
A. Lessor is the owner of certain premises and improvements in the City
of Palm Springs, County of Riverside, State of California, located at
1447 North Palm Canyon Drive, (which said premises are known as the
Casa del Camino; ) and
B. Lessee desires to lease said premises and improvements for the purpose
of conducting therein a day and weekly hotel rental , and for no other
purpose.
AGREEMENT: Lessor, in consideration of the covenants herein contained hereby
agrees to lease the building UPON THE FOLLOWING TERMS AND CONDITIONS:
1. TERM - This lease shall be for a term of four (4) years commencing on
June 1, 1987, and terminating on May 31, 1991.
2. RENTAL - In return for making approximately $50,000 of improvements
to the property, a rental fee of $35,000/year shall be charged to the
Lessee for the term of this lease, payable on a monthly basis.
3. BUSINESS HOURS - Lessee will operate the property on a full time basis.
4. REIMBURSEMENT FOR WORK PERFORMED - The Lessor agrees to reimburse Lessee
20,000 to compensate for the amount of improvements made to the property
and lost income for each year this Agreement is reduced from the four
year term should it become necessary to redevelop the property earlier
than anticipated.
5. RENEWAL - The Lessee may continue on a month to month basis after the
term of this lease expires, if he so chooses, and shall submit to the
Community Redevelopment Agency in writing at least ninety (90) days
prior to the termination of the Agreement, a statement of intent to
continue. Continuation of this Agreement shall be subject to the approval
of the Community Redevelopment Agency and shall not be construed as
an automatic right.
6. CONDUCT BUSINESS - Lessee agrees at all times to maintain and conduct
lessee's business in a lawful manner and in strict compliance with and
observance of all Government rules, regulations, ordinances and laws.
Lessee will so conduct its business so as not to invalidate or increase
the cost of any policy of insurance carried by Lessor on -the premises,
improvements and equipment.
7. ASSIGNMENT AND SUBLETTING - The premises shall be used for no other
purpose than as above specified without the written consent of Lessor,
and Lessee shall not sublet the premises or any part thereof, nor assign
nor hypothecate this lease nor any rights therein nor in the leasehold
premises without such written consent being first obtained. Any sublet-
ting, assignment or hypothecation without such written consent shall
be void and shall be cause for cancellation of this lease by Lessor
at its option. Consent to a sublease will not be unreasonably withheld.
8. ALTERATIONS - Lessee agrees to make approximately $50,000 in improvements
to the property.
All such alterations shall be made by Lessee at its own expense and
Lessor shall be held harmless from any costs or liens as a result of
such alterations or improvements.
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9. FIXTURES - Lessee shall furnish all fixtures, equipment and furniture
necessary to conduct and operate its business except those specifically
agreed to be provided by Lessor. Lessee 's fixtures, equipment and furni-
ture shall not nor shall any part thereof be permanently affixed to
the buildings or to the floors or walls of the demised premises. At
any time prior to expiration or termination of this lease, Lessee may
remove said fixtures, however, such removal shall not in any way damage
the walls, floors, ceilings, doors or any other part of the demised
premises belonging to the Lessor. Any injury to the premises caused
by such removal shall be repaired by Lessee.
10. CONDITION OF PREMISES AND REPAIRS - The premises are accepted by Lessee
in their present condition, and Lessee will at all times keep the interior
and the premises neat, clean and in a sanitary condition. Lessee, at
its expense, shall repair and maintain the mechanical equipment and
shall maintain outside walls, roof and foundation in a reasonable condi-
tion. Lessee, at its expense, shall make all other repairs and maintain
the premises in a good repair as they now are or may be hereafter.
11. HOLD HARMLESS - Lessee agrees to indemnify, defend and save Community
Redevelopment Agency and its agents and employees harmless from any
and all liability, claims, damages or injuries to any person, including
injury to Lessee' s employees and all claims which arise from or are
connected with the negligent performance of or failure to perform the
work or other obligations of this agreement, or are caused or claim
to be caused by the negligent acts of Lessee, its agents or employees,
and all expenses of investigating and defending against same; provided,
however, that this indemnification and hold harmless shall not include
any claim arising from the sole negligence or willful misconduct of
the Agency, its agents or employees.
12. LIABILITY INSURANCE - During the entire term of this Agreement, Lessee
agrees to procure and maintain public liability insurance at its sole
expense to protect against loss from liability imposed by law for damages
on account of bodily injury, including death therefrom, suffered or
alleged to be suffered by any person or persons whomsoever, resulting
directly or indirectly from any act or activities of Lessee, or any
person acting for Lessee or under its control or direction, and also
to protect against loss from liability imposed by law for damages to
any property of any person caused directly or indirectly by or from
acts or activities of Lessee, or any person acting for Lessee, or under
its control or direction. Such public liability and property damage
insurance shall also provide for and protect the City against incurring
any legal cost in defending claims for alleged loss. Such public
liability and property damage insurance shall be maintained in full
force and effect throughout the term of the Agreement and any extension
thereof in the following minimum limits:
Bodily Injury $ 500,000 each person
$1,000,000 each occurrence
$1,000,000 aggregate products
& completed operations
Property Damage $ 500,000 each occurrence
$ 500,000 aggregate
A combined single limit policy with aggregate limits in the amount of
$1,000,000 will be considered equivalent to the required minimum limits.
All of such insurance shall be primary insurance and shall name the
Community Redevelopment Agency of the City of Palm Springs as an
additional insured.
If the operation under this Agreement results in an increased or decreased
risk in the opinion of the Executive Director, then Lessee agrees that
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the minimum limits hereinabove designated shall be changed accordingly
upon request by the Executive Director; provided, however, that Lessee
may appeal to the Redevelopment Agency within 10 days after any increase
is requested and such requirement for increased coverage shall be subject
to determination by the Redevelopment Agency.
Lessee agrees that provisions of this paragraph as to maintenance of
insurance shall not be construed as limiting in any way the extent to
which Lessee may be held responsible for the payment of damages to persons
or property resulting from Lessee's activities, or the activities of
any person or persons for which Lessee is otherwise responsible.
13. WORKER'S COMPENSATION INSURANCE - Lessee shall procure and maintain,
at its sole expense, Worker' s Compensation Insurance in such amount
as will fully comply with the laws of the State of California and which
shall indemnify, insure and provide legal defense for both Lessee and
the CRA against any loss, claim, or damage arising from any injuries
or occupational diseases happening to any worker employed by Lessee
in the course of carrying out the within Agreement.
14. EVIDENCE OF INSURANCE - A Certificate of Insurance, or an appropriate
insurance binder, evidencing the above insurance coverage with a company
acceptable to the City's Risk Management Officer shall be submitted
to the CRA prior to execution of this Agreement on behalf of the CRA.
15. NOTICE TO CITY, INSURANCE COVERAGE CHANGE - The terms of the insurance
policy or policies issued to provide the above insurance coverage shall
provide that said insurance may not be amended or cancelled by the
carrier, for non-payment of premiums or otherwise, without thirty (30)
days prior written notice of amendments or cancellation to the City.
In the event the said insurance is cancelled, Lessee shall , prior to
the cancellation date, submit to the City Clerk new evidence of insurance
in the amounts heretofore established.
16. FIRE & EXTENDED COVERAGE INSURANCE - Community Redevelopment Agency
✓ agrees to procure and maintain, at its sole expense, during the term
of this Agreement, and any extension thereof, a policy of fire, extended
coverage and vandalism insurance on all buildings, structures and
permanent property, of Lessor's (CRA) , of an insurable nature located
upon the lease premises.
Lessee shall be financially responsible for the first $5,000, per loss.
In the event of damage or loss, resulting from insured perils to the
permanent structure and fixtures, payment of such loss shall be made
to the Agency for the replacement or repair of damages, at the discretion
of the Agency.
Lessee ' s personal property shall be insured at its sole expense, the
nature and extent of such insurance shall be determined by lessee.
17. TAXES - Lessee agrees to pay when due all business, personal property
and possessory interest taxes levied against its personal property located
on the demised premises and any taxes levied against Lessee by reason
of the operation of its business on the demised premises. In no event
shall Lessor be held liable for payment of such taxes.
18. AN INDEPENDENT CONTRACTOR - It is understood and agreed that the Lessee
is, and at all times shall be, an independent contractor and nothing
contained herein shall be construed as making the Lessee, or any indivi-
dual whose compensation for services is paid by the Lessee, an agent
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or employee of the CRA, or authorizing the Lessee to create or assume
any obligation or liability for or on behalf of the CRA.
19. BANKRUPTCY - If any adjudication of bankruptcy or insolvency be rendered
against Lessee, or if a receiver of the business or of the assets of
Lessee be appointed, or if any writ of attachment of execution should
be levied on any property of Lessee on the demised premises and not
removed within forty-eight (48) hours, or if any sale or attempted sale
of the leasehold interest hereby created should be made under or by
virtue of any execution or other judicial process, Lessor may at its
option immediately terminate this Lease, and no person shall have the
right to use, possess or occupy the premises by virture thereof.
20. DEFAULT - Should default be made by Lessee in payment of the rent herein-
above specified to be paid, or in performance of the agreements and
covenants herein contained, it shall be lawful for Lessor at its option
to declare the term of this Lease ended and to re-enter the demised
premises or any part thereof, and to expel or remove Lessee or any other
person who may be upon the demised premises, together with all goods
and chattels found therein, and to repossess and enjoy said premises
again as in its former estate. If at any time said term shall be ended
at the election of Lessor as aforesaid, or in any other way, Lessee
hereby covenants and agrees to surrender and deliver up the demised
premises to Lessor immediately upon such termination.
21. ATTORNEY'S FEES - Lessee agrees to pay and discharge all costs and
expenses including reasonable attorney's fees that may be incurred by
Lessor in enforcing the covenants of this lease or the rights of Lessor
in the demised premises. Lessee agrees at the termination of this Lease
for any reason to quietly vacate and surrender the demised premises
in good condition, reasonable wear and tear excepted.
22. HEIRS AND ASSIGNS - Each and all of the provisions hereof shall be binding
upon and inure to the benefit of the successors and assigns of Lessor,
the heirs and executors of Lessee, and assigns of Lessee if any assign-
ments be made with the written consent of Lessor.
23. WAIVER BY LESSEE - Lessee waives all rights under Section 1942 of the
Civil Code of the State of California, and agrees not to deduct the
expenses of any repairs from rental payable to Lessor.
24. UTILITIES - Lessee agrees to pay promptly all continuing charges against
the leased premises for public utilities, including but not limited
to the electricity, waste disposal , gas, water and security alarm.
Lessee agrees at its expense to keep the surrounding garden, walks and
lawn in good condition.
25. POSSESSORY INTEREST - Lessee recognizes and understands that this Lease
may create a possessory interest subject to property taxation and that
the Lessee may be subject to the payment of property taxes levied on
such interest.
IN WITNESS WHEREOF the parties have executed this Lease on the day and year
first above written.
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ATTEST: COMMUNITY REDEVELOPMENT AGENCY
CITY OF PALM SPRINGS, CALIFORNIA
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I_�ASSISTANT SECRETARY �a �z CHAI AN
REVIEWED AND APPROVED: / izlj,
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