HomeMy WebLinkAbout1/5/2011 - STAFF REPORTS - 2.H. �0*P A L M SpP
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c4j'F°R CITY COUNCIL STAFF REPORT
DATE: January 5, 2011 CONSENT CALENDAR
SUBJECT: THE PARADIES SHOPS, LLC — SUPPLEMENTAL STORAGE SPACE
AGREEMENT
FROM: David H. Ready, City Manager
BY: Department of Aviation
SUMMARY
This action will allow the short term lease of a small room to the Airport's gift and news
shop concessionaire, The Paradies Shops LLC.
RECOMMENDATION:
1. Approve Supplemental Storage Use Agreement with The Paradies Shops,
LLC for 93 SF Storage Space #5 retroactive to December 1, 2010.
2. Authorized the City Manager to execute all necessary documents.
STAFF ANALYSIS:
The Paradies Shops, the Airport's terminal retail news and gift concessionaire, has a
long-term agreement at Palm Springs International Airport. After recent inspections by
the Health Department, Paradies had discovered that they will require additional storage
space in order to comply with code requirements relevant to the inventory of
consumable goods. Because of the immediate need to comply with the health code
issue it was necessary for the airport to provide the space promptly, subsequently the
agreement's effective date is December 1, 2010. This is only a short term agreement of
less than a year until Paradise determines whether or not they will need to retain the
space for the long term. The room is currently vacant and located under the Bono
concourse. This agreement may be cancelled by either party with a 30-day written
notice and the rates are consistent with the City of Palm Springs Comprehensive Fee of
$20.06 per square foot per annum.
ITEM NO. —�-
City Council Staff Report
January 5, 2011 — Page 2
Paradies Supplemental Storage Space Agreement
The Airport Commission has approved this recommendation and the retroactive nature of
this agreement at its December 15, 2010 meeting
FISCAL IMPACT:
The Supplemental Office Space Use Agreement will result in $1,088.29 of total
additional revenue during the seven month term.
Thomas W a , A.A.E.
Executive Director
David H. Ready
City Manager
Attachment:
Paradies Supplemental Storage Space Use Agreement
SUPPLEMENTAL STORAGE SPACE USE AGREEMENT
THE PARADIES SHOPS, LLC
THIS SUPPLEMENTAL SPACE USE AGREEMENT, made and entered
into as of this First day of December 2010, by and between the CITY OF PALM
SPRINGS, a municipal corporation ("City") and PARADIES SHOPS, LLC, a
Georgia limited liability company and subsidiary of the THE PARADIES SHOPS,
a Georgia Corporation ("TENANT").
RECITALS
A. City is the owner of the Palm Springs International Airport, ("Airport"), and
operates thereon the Palm Springs Airport Terminal building ("Terminal").
B. Tenant currently is party to Lease Agreement No. 4159 for Concessions at
the Palm Springs International Airport.
C. Tenant requires additional storage space on the lower level of the
Terminal for the next seven months.
AGREEMENT
NOW, THEREFORE, in consideration of the promises of the parties
hereto and for good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, City and Tenant agree as follows:
ARTICLE I
PREMISES, RIGHTS AND PRIVILEGES
City hereby offers to Tenant and Tenant accepts from City, for its
exclusive use, except as otherwise noted, certain demised premises located in
the terminal building, consisting of: Lower Level Storage Space (No. 5)
containing 93 square feet as designated on Exhibit "A", attached hereto and
made a part of this Agreement. Demised premises may be used by Tenant as a
storage area for the storage of non-perishable supplies, fixtures and equipment
required for the sale of merchandise.
ARTICLE 11
TERM OF AGREEMENT
The term of this Agreement shall be for a period commencing on
December 1, 2010 and terminating on June 30, 2011.
Paradies. Storage Space No. 5 Agreement t.
Palm Springs International Airport
ARTICLE III
RENTALS, FEES AND OTHER CHARGES
The rental rate for Storage Space No. 5 shall be computed at the rate of
$20.06 per square foot per annum and shall be $155.47 per month, payable by
Tenant to City, beginning on December 1, 2010 and the first day of each month
thereafter. Rental Adjustments shall be based on current City of Palm Springs
Comprehensive Fee Schedule for Lower Level Storage Space / Non Signatory.
ARTICLE IV
IMPROVEMENTS AND ALTERATIONS
No improvements, alterations or additions; other than those heretofore
installed or approved by City, shall be made upon the demised premises by
Tenant without the written consent of City first being obtained,
ARTICLE V
MAINTENANCE AND OPERATION
Section 1. Utilities. City shall provide electricity to the storage space.
Section 2. Repair and Maintenance. Tenant shall, at its sole cost and expense,
maintain the demised premises, including all interior improvements, constructed
or installed by City or Tenant therein and shall keep said premises in good
condition and repair in a neat, clean and sanitary condition, and shall furnish
janitorial service.
Section 3. Trash, Garbage and Other Refuse, Tenant shall provide a complete
and proper arrangement for the adequate, sanitary handling and disposal of all
trash, garbage and other refuse caused as a result of the operation of its
business. Tenant shall provide and use suitable, covered metal receptacles for
all garbage, trash and other refuse on or in connection with the demised
premises. Piling of boxes, cartons, barrels or other similar items in an unsightly
or unsafe manner, on or about the demised premises, is forbidden.
ARTICLE V1
INSURANCE
It is agreed by the parties that the broad insurance provisions provided
under the Tenant's Lease agreement for Concessions No. 4159; a separate
agreement, would also apply to the additional space provided for herein and
Tenant agrees to comply fully with those provisions.
Paradies Storage Space No. 5 Agreement 2
Palm Springs International Airport
ARTICLE VII
TERMINATION
Termination for Convenience. City may terminate this Agreement for its
convenience at any time, in whole or in part, by giving Tenant thirty (30) days
written notice thereof. Upon said notice, City shall pay Tenant those allowable
costs determined by the City, in its sole discretion, to be reasonably necessary to
effect such termination. Thereafter, Tenant shall have no further claims against
City under this Agreement.
Tenant may terminate this Agreement at any time by giving City thirty (30) days
written notice thereof.
In the event Tenant fails to vacate the demised premises within thirty (30) days of
written notice of termination of this Agreement given by either Tenant or City,
Tenant agrees to allow City to remove and dispose of any property belonging to
Tenant and shall reimburse City for the costs associated with said removal and
disposal. Thereafter, Tenant shall have no further claims against City under this
Agreement.
ARTICLE Vill
MISCELLANEOUS
Section 1. This Agreement shall be construed and enforced in accordance with
the laws of the State of California.
Section 2. The mailing address of City shall be:
Palm Springs International Airport
Executive Director of Aviation
3400 E. Tahquitz Canyon Way, Suite GFC
Palm Springs, CA 92262
Until written notice of change thereof has been given to Tenant.
Section 3. The mailing address of Tenant shall be:
The Paradies Shops, Inc.
5950 Fulton Industrial Blvd. S.W.
Atlanta, Georgia 30336
Until written notice of change thereof has been given to City.
Section 4. Corporate Authority. The persons executing this Agreement on
behalf of the parties hereto warrant that (i) such party is duly organized and.
existing, (ii) they are duly authorized to execute and deliver this Agreement on
Paradies Storage Space No. 5 Agreement 3
Palm Springs International Airport
5
behalf of said party, (iii) by so executing this Agreement, such party is formally
bound to the provisions of this agreement, and (iv) the entering into this
Agreement does not violate any provision of any other Agreement to which this
party is bound.
(Signatures on next page)
Paradies Storage Space No. 5 Agreement 4
Palm Springs International Airport
�7
IN WITNESS WHEREOF,the parties have executed and entered into this Agreement as of the date first
written above.
ATTEST: CITY Or-PALM SPRING
a municipal corporation
By....-.-1-
City Clerk City Manager
APPROVED AS TO FORM,
By:
City Attorney
CONTRACTOR. Check one: Individual -Partnership Garporatian
Corporations require two notarized signatures: One from each of the following: A. Chairman of Board,
President,or any Vice President:AND B. Secretary,Assistant Secretary,Treasurer,Assistant Treasurer,or
Chief Financial Officer.
By:
Signatdr otari ed) Signature(notarized)
J1Name: 1, Name
1-itle: Tillw
State of
State of
County of t County of o
On a before me, On l�(-ajto before me,
personally appeared�6 L'� personally appeared Amlae,-'L-
personally known to me(or proved to me on personally known to me(or proved to me an
the basis of satisfactory evidence)to be the the basis of satisfactory evidence)to be the
person(s)whose name(s)is/are subscribed person(s)whose name(s)is/are subscribed
to the within instrument and acknowledged to the within instrument and acknowledged
to me that he/she/they executed the same to me that he/she/they executed the same
in his/her/their authorized capacity(fes),and in his/her/their authorized capacity(ies),and
that by his/her/their signatures(s)an the that by his/her/their signatures(s)on the
instrument the person(s),or entity upon instrument the person(s),or entity upon
behatf of which the person(s)acted, behalf of which the person(s)acted,
executed the instrument executed the instrument.
WITNESS my hand ar�d official seal. WITNESS my hand and official seal.
Notary Signature:A A L L--1,,A-IL,�' Notary Signature:
Notary Seal: oaborah W.CMW Notary Seal: Deborah W.Croker
Not6fy Pdk Notary PublIC
Cd,",�tg Cou"W,GA
CoWeta County,GA
My ComMission Expires 6/8/"
Paradies Storage Space No. 5 Agreement 5
Palm Springs International Airport
IN WITNESS WHEREOF,the parties have executed and entered into this Agreement as of the date first
written above.
ATTEST: CITY OF PALM SPRING
a municipal corporation
By: By:
City Clerk City Manager
APPROVED AS �FOR
B :
Y
City Attorney
CONTRACTOR: Check one: Individual Partnership Corporation
Corporations require two notarized signatures: One from each of the following: A. Chairman of Board,
President, or any Vice President:AND B. Secretary,Assistant Secretary,Treasurer,Assistant Treasurer,or
Chief Financial Officer.
By: By:
Signature(notarized) Signature(notarized)
Name: Name:
Title: Title:
State of State of
County of County of
On before me, On before me,
personally appeared personally appeared
personally known to me(or proved to me on personally known to me(or proved to me on
the basis of satisfactory evidence)to be the the basis of satisfactory evidence)to be the
person(s)whose name(s)is/are subscribed person(s)whose name(s)is/are subscribed
to the within instrument and acknowledged to the within instrument and acknowledged
to me that he/she/they executed the same to me that he/she/they executed the same
in his/her/their authorized capacity(ies),and in his/her/their authorized capacity(ies),and
that by his/her/their signatures(s)on the that by his/her/their signatures(s)on the
instrument the person(s),or entity upon instrument the person(s),or entity upon
behalf of which the person(s)acted, behalf of which the person(s)acted,
executed the instrument. executed the instrument.
WITNESS my hand and official seal. WITNESS my hand and official seal.
Notary Signature: Notary Signature:
Notary Seal: Notary Seal:
Paradies Storage Space No. 5 Agreement 5
Palm Springs International Airport
Exhibit "A"
(see attached)
Paradies Storage Space No. 5 Agreement 6
Palm Springs International Airport
aradi
Bono Lower Level
Storage Space
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storage Space #5
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