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Home My WebLink AboutA6529 - ERNEST COFFEE, JAMIE KOWAL - INTERIOR REMODEL GRANT „ QALMS O p'Ci � y c V N CITY OF PALM SPRINGS c4`"Oa`'�pA COMMERCIAL — RETAIL PROPERTY PROPERTY REMODEL GRANT PROGRAM INTERIOR REMODEL GRANT AGREEMENT THIS REMODEL GRANT AGREEMENT (the "Agreement”) is made and entered into this 24 day of March, 2014, by and between the City of Palm Springs, ("City"), and Jaime Kowal the ("Owner/Tenant"). Collectively the City and Owner/Tenant are referred to as the Parties. RECITALS A. City has established a Property Remodel Grant Program for Owners and Tenants of commercial-retail businesses in the City of Palm Springs. B. Owner/Tenant is the owner or tenant of a real property/business (circle one) located within the eligible area at 140 W Via Lola, Suite 1101, Palm Springs, ("Property"), otherwise known as Ernest Coffee (building or business). C. Grant Limitations. The maximum City matching grant shall not exceed $25,000. Example: if the applicant's interior improvement cost is $50,000 the City Match Grant would be $25,000. If the total improvement cost is $10,000, the City Match Grant would be $5,000.00 D. Owner/Tenant has applied for a Grant in the amount of 25,000.00 to make interior improvements to the Property as described in Exhibit "B," Scope of Work. E. Owner/Tenant has received all necessary approvals from the City's Planning, Building or Engineering Departments, which are shown in Exhibit "C", Evidence of Approval. The estimated cost of the work proposed is $190,004.00, as shown in Exhibit "D". F. The City has reviewed the application, the evidence of financial participation by Owner/Tenant, the location of the Property, and the approvals, and has approved the Grant Application. NOW, THEREFORE, in consideration of the promises and mutual agreements contained herein, City agrees to grant to Owner/Tenant the amount of $25,000.00 and Owner/Tenant agrees to undertake the approved improvements, under the following terms and conditions: AGREEMENT 1. Property Ownership/Right to Undertake Work. Owner/Tenant represents that it is the Owner/Tenant of the Property or holds Tenancy in the Property which entitles it to undertake interior physical improvements to the Property. 2. Schedule. The Parties agree that all interior improvements shall be completed within 90 days of the date of this Agreement. 3. Contractor. The Parties agree that Owner/Tenant has sole responsibility for choosing and hiring the contractor, which shall be shown in Exhibit "D", Contra ctorNendor Agreements, and the acceptance of the material used and the work performed is Owner/Tenant's responsibility, and the City is not a party to any agreement with the vendor or contractor and does not guarantee the quality of workmanship of the property improvements, nor have any liability whatsoever therefor. At all times hereunder, the Contractor shall have a valid City of Palm Springs Business License. 4. Design Approval and Permits. The Parties agree that Owner/Tenant has sole responsibility for obtaining design approval and evidence of required permit approvals from the City of Palm Springs as shown in Exhibit C, and ensuring the compliance with those permits. 5. Grant Limitations. The maximum City matching grant shall not exceed $25,000.00. The estimated cost of the work proposed is $190,004.00, as shown in Exhibit "D". 6. Evidence of Completion. The Parties agree that the City will release the Grant funds upon the completion of the work by the Owner/Tenant or his contractor. Evidence of completion shall include but is not limited to: photographs of the finished work; a final inspection by a representative of the City of Palm Springs; and, a copy of the final invoice for the work completed and proof of payment to the contractor. 7. Release of Liens. The Parties Agree that the Owner/Tenant is responsible for obtaining the release of any Mechanics Liens or other liens placed upon Owner/Tenant's property by any contractor or subcontractor hired under this program. 8. Maintenance. Owner/Tenant agrees and covenants that, after the City issues its Certificate of Completion, Owner/Tenant shall be responsible for maintenance of all improvements that may exist at the Property from time to time, including without limitation buildings, parking lots, lighting, signs, and walls in first-class condition and repair, and shall keep the Property free from any accumulation of debris or waste materials. Owner/Tenant shall also maintain all landscaping required pursuant to Property's approved landscaping plan, if any, in a healthy Remodel Grant Program 3-23-10 2 condition, including replacement of any dead or diseased plants with plants of a maturity similar to those being replaced. Owner/Tenant hereby waives any notice, public hearing, and other requirements of the public nuisance laws and ordinances of the City that would otherwise apply. MISCELLANEOUS PROVISIONS 9. Covenant Against Discrimination. Owner/Tenant covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination or segregation in the performance of or in connection with this Agreement regarding any person or group of persons on account of race, color, creed, religion, sex, marital status, disability, sexual orientation, national origin, or ancestry. 10, Notice. Any notice, demand, request, consent, approval, or communication either party desires or is required to give to the other party or any other person shall be in writing and either served personally or sent by pre-paid, first-class mail to the address set forth below. Either party may change its address by notifying the other party of the change of address in writing. Notice shall be deemed communicated seventy-two (72) hours from the time of mailing if mailed as provided in this Section. To City: City of Palm Springs City Manager/City Clerk 3200 E. Tahquitz Canyon Way Palm Springs, California 92262 To Owner/Tenant: Jaime Kowal 1959 Jacques Drive Palm Springs, CA 92262 11. Integrated Agreement. This Agreement contains all of the agreements of the parties and cannot be amended or modified except by written agreement. 12. Amendment. This Agreement may be amended at any time by the mutual consent of the parties by an instrument in writing. 13. SeverabilitV. In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted to carry out the intent of the parties hereunder. Remodel Grant Program 3-23-10 3 14. Indemnification. Owner/Tenant shall indemnify and hold harmless, the City of Palm Springs ("City"), the City Council, its officers, agents, employees and contractors free and harmless from any liability whatsoever based and asserted upon any act or omission of the City for property damage, bodily injury, or death or any other element of damage of any kind or nature, relating to or in any way connected with participation in the Program. 15. Authori . The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties and that by so executing this Agreement the parties hereto are formally bound to the provisions of this Agreement. Owner/Tenant certifies that the above statements are true and accurate to the best of Owner/Tenant's belief. Failure to meet any of the terms of this Agreement shall result in the forfeiture of any Grant funds from the City for this program. Remodel Grant Program 3-23-10 4 IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates stated below. "City„ City of Palm S ring(s Date: By: 6 By: U Community Jt Economic Deyelopment Date: By: irect r, m unity & Economi pment Date: 1 80`� By: avid H. Ready, Esq., City Manager APPROVED BY CITY COUNCIL ATTEST: APPROVED AS TO FORM: ,Tf— VON By: y: es Thompson Dougl s C. Holland 4�11ity, Clerk City A orney "OWNER/TENANT" Date: 04 — L By : Date: Remodel Grant Program 3-23-1 D 5 EXHIBIT "A" MAP See Attached Remodel Grant Program 3-23-10 6 Northern SectionSpecialEconomic • pment Focus Incentive V� 4 1 rV �Q b My1-PIN tim Sen{ez Sp•eW Eeo,aNe 6•.ekpmdz tym hm"a°P•^'Area _ �esen $ PASS iM a�. 431.11, ELSMISW& ASe wra.wF` 1L.bu I, p... 'S W% u. Ynuw. AL.3 s z p.z.s W. x +•,rp. i�,S) �. pM 4 8 rCMOFYt. , PALM • SPRINGS E+ztl••tl zE�M rr., N CNv W vulins 7� [SOli W+awl O.Ma Sp++gaA T,ar+ci+l.y MaWtl YSxY apaggAy Yayyya[ MN Aw N'011 9�yn _---- 0 Buxton EXHIBIT "B" SCOPE OF WORK Complete renovation and combining two vacant spaces for active coffee shop and Tiki Bar, including electrical, plumbing, structural additions, interior improvements and exterior fenced patio. Remodel Grant Program 3-23-10 7 EXHIBIT "C" EVIDENCE OF APPROVAL (PLANNING, BUILDING, ENGINEERING DEPARTMENT) Building permit required on all or a portion of the work described in Exhibit "B" Scope of Work. Yes _X_ No If yes, Building Permit # Community & Economic Development Eligibility Letter Remodel Grant Program 3-23-10 8 °prM'"F City of Palm Springs i BUILDING PERMIT 'CgF�sena� Building Address: 1101 N Palm Canyon Dr Date 1ill 812013 Case No.: Permit Angela LaFrance Submitted Technician Owner Address Phone Chris Pardo 1101 N Palm Canyon Dr 760 329 1654 Palm Springs CA Contractor Address Phone Lic. Number Sean Flannery 970 E Palm Canyon Dr Unit 102 760 422 3082 887597 Palm Springs CA Architect Address Phone Reuben Walters 700 Tahqultz Canyon Way E Ste A 310 804 9069 Palm Springs CA Engineer Address Phone Lot# Block# Tract Parcel Number 505-242-010 Lot Size Zone Occupancy B Business Building Sq.FL GaragelCarport Roofed PatioiPorch Remodeled Area New 0 0 0 0 Use of building Permit Type Const.Type Fixture Units Commercial Commercial Additoinlalteration VB 29 Fire Sprinkler Units Valuation Permit Fees Paid Yes 0 80000,00 3230.55 Describe work in detail: Tenant Improvement to create Earnest Coffee and Tiki Bar. Special Conditions: SEWER CONNECTION CREDIT FOR 11 01-1 1 07 1S - 174 FIXTURE UNITS Existing space 1101 had 5 fixture units Tiki Bar CHARGED 24 NEW FIXTURES UNITS TO SEWER, LEAVING THE NEW TOTAL FPAbJJ brkIAZ 0%TCtVA%ti"Aj 4tFA�WTnr THE WORK IS INSPECTED IMPORTANT The issuance of this permit shall not be held to be an approval of the violation of any provisions of any city or county ordinance or state law. Inspections of work are subject to an approved set of plans being on the job. Changes to plans are not to be made without permission of the Building and Safety Divisions. The owner and/or contractor is responsible for establishing all property lines. All utilities must be underground. This permit will expire if work is not started in 180 days or if more than 180 days elapses between inspections. I certify that I am familiarwith all requirements ofthe City of Palm Springs as they apply to this per " nd understand that these requirements must be completed prior to final inspection and that no certification of occupancy will be issued until suc ea t e requirements are met. I certify that I have read is application and state that the information is true and correct. tO NER/CON RACTORJ GENT ATE S D BY Finaied his is a Building when properly filled out,signed and validated,and is not transferable. PERMITNUMBER 2013-3353 O�QALMSA� ,2 City of Palm Springs Community and Economic Development Department w 3'00 E.A diquirr Canyon IXhry RiIm ri. s Cahmmir ) ,I TU ( 6o) iu)-635) FAX(760) >» `r.35 I❑U(760) hb 9P' OPPi Ea C \P Lo nnum,, R,locd,,i r Agcnp C >nr i.,i;y Dc I � nn¢H RGran, �<<F D,.,[,E,» ,. r„.... o -i.�„„E, i7 ,;�,;; i t.i,EA,r Marc 2014 Jaime Kowal 1101 N Palm Canyon Palm Springs, CA 92262 RE: Interior Remodel Grant Program 1101 N Palm Canyon Drive (140 W Via Lola) Dear Jaime: The City of Palm Springs has received your application for an owner/tenant grant under the Interior Remodel Program. Based on your application you are eligible for a reimbursement grant up to $25,000.00 from the City following completion of the work. The exact reimbursement grant amount will be defined in the Agreement once all the supporting documents are received. The next step is for you to obtain all necessary permits and approvals from the City's Building Department. You may need to submit diagrams or floor plans showing the work proposed. It is recommended that you check with the building department at 760-323- 8242 to determine what permits will be necessary to comply with the 2013 California Building Codes. Please show a copy of this letter to the planning or building staff when you apply for permits as evidence of your enrollment in the Interior Remodel Program. All fees must be paid at the time permits are issued. Once you obtain a permit from the Building Department; have a signed contract with your contractor, you will enter into a Reimbursement Agreement with the City. To complete the Reimbursement Agreement, please provide copies of the contractor's proposal; a copy of their Contractors License and a copy of their City of Palm Springs Business License. When the Agreement is signed you will be notified via email, mail or phone. When you are notified that the Agreement has been fully executed you may authorize your contractor to do the work. When the work is completed you will need to submit proof of payment to the City for reimbursement, as well as a signed job card showing all applicable inspections, including final building inspection. If you have any questions or require further assistance, please don't hesitate to contact me at 323-8175 or email Cathy.Vanhorn6o�palmsprings-ca.gov . Sincerely, I athy Va orn Economic evelopment Administrator P.S. Don't forget to take some digital before and after photos and email them to us! Post Office Box 2743 1 Palm Springs, California 92263-27/13 EXHIBIT "D" CONTRACTORNENDOR AGREEMENT SEE NEXT PAGE Remodel Grant Program 3-23-10 9 Sources & Uses of Funds Source Amount Use Amount y , laws Renovation $163,789 Equipment $26,215 Architecture Fees $40,000 Professional Fees $2,500 Liquor License $28,000 Working Capital $15,000 Starting Inventory $6,000 Rent $4,053 Total Start Up Cost $285,557 APPLICATION FORM PAGE 3 PROJECT DESCRIPTION Description of Requested Improvements: The maximum dollars per building square foot committed by the City would be $30. Complete renovation and combination of two formerly However, the $30/sf is reserved for high potential dollars-per-square-foot projects, vacant retail/office spaces into a vibrant, active coffee meaning major restaurants or clubs projected to produce significant revenue for the City shop and associated tiki bar. Electrical, plumbing, through sales taxes, property taxes and other revenue. For projects that are general retail, structual additions plus general TI on interior and the the maximum would be $10/sf. One criterion to distinguish the types of spaces for one addition of a 24 seat south facing fenced exterior patio. another would be whether Department of Health review was necessary on the project. Estimated Cost: $285.557.00 Another would be whether there were sewer Is this your estimated cost, or have you connect fees charged to the project. obtained a bid or estimate from an The maximum City matching grant shall not architect or contractor? exceed $250,000 at a 3:1 ratio. Example: if Self �contractOr architect the applicant's interior improvement cost is $1,000,000, the City Match would be $250,000. For projects investing less than $1,000,000 in (Please provide a Copy of estimate total renovation cost, the City Match Grant if available) would be$26,000 per commercial space. Please see attached. Amounts pl in for: $ 35,000