HomeMy WebLinkAbout04618 - MERCEDES WARD PS CARRIAGES HORSE LEASE DOCUMENT TRACKING
Page: 1
Report; One Document Detail
p January 28, 2009
Condition: Document Number a5731,
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Document# ❑escriotion Approval Date Expiration Date Closed Date
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A5731 CRA Lease Agreement 232 8elardo Road (one year from 08-01-08 to... 01/27/2009 07/31/2009
Company Name: Leather & Lace
Address: 57828 Calle Way, Yucca Valley, CA 92284
Contact: Roxanne Mishler, Owner
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Group: CITY MANAGER
Service: LEASE AGREEMENT 7
xRef: JENNIFER HENNING (760) 323-8321
Ins. Status: Certificate and Policies are OK
Document Tracking Items:
Due Completed Tracking Amount Amount t
Code item-Description Date Date Date Added Paid I
-01-08 thru 07-31-09 $137.00 per month ($2244 Y
per yr) i
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X-ref A4618-Close when this one signed
kdh to CA for sig 01/07/2009 01/07/2009 t
t
kdh to CM for sig 01/12/2009
kdh distrib to Jennifer H IN FILE 01/28/2009 A
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END OF RE:PORTww
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Mercedes Ward
PS Carriages Lease
L E A S E AGREEMENT #4618
M07235, 1-2-03
THIS LEASE ("Lease") is made and entered into this 2nd day of January,2603
by and between the CITY OF PALM SPRINGS, a municipal corporation ("Landlord"), and
Mercedes Ward d/b/a "Palm Springs Carriages"
("Tenant").
WITNESETH:
1, FUNDAMENTAL LEASE PROVISIONS. Certain Fundamental Lease Provisions are presented in
this Article and represent the agreement of the parties hereto, subject to further definition and
elaboration in the respective referenced Articles and elsewhere in this Lease. In the event of any
conflict between any Fundamental Lease Provision and the balance of this Lease, the latter shall control.
References to specific Articles are for convenience only and designate some of the Articles where
references to the particular Fundamental Lease Provisions may appear.
(a) Property: The term "Property" as used herein shall refer to that certain real property located
in the County of Riverside, State of California, as more particularly described in Exhibit"A hereof
together with the improvements located thereon.
(b) Demised Premises: The "Demised Premises" consist of the area generally crosshatched on
the Plot Plan attached as Exhibit "B" hereof.
(c) Approximate Parcel Area of Premises: 1,782 square feet; approximate frontage:
27 feet; approximate depth: 66 feet (said measurements being to
the center of interior separation partitions and the outside of exterior walls).
1d) Tenant's Trade Name: Palm Springs Carriages . (See Article 31.
let Lease Termination Date:December 31, 2003 {See Article 4).
If) Term: one year ISee Article 41A)1.
(g) Extension Options: one option for a term of_ one — year. (See Article
4113)).
(h) Monthly Rental: $ $156.00 (See Article 5).
W Security Deposit: $ $156.00 (See Article 5(F)).
(j) Use of Demised Premises:Storage of horse-drawn carriages and related supplies.
ISee Article 3).
(k) Address for Notices:
Landlord: City of Palm Springs G "Op
P.O. Box2743
Palm Springs, CA 92263
Attn: Jerry Ogburn
Telephone: (7601 325-8979 JOS00
Tenant: Mercedes Ward dlbla
"'Palm Springs Carriages"
P.O. Box 836
Desert Hot Springs, CA 92240
(ml Party to Pay Utility Costs: fires (See Article 19)•
2. EXHIBITS. The fallowing drawings and special exhibits are attached hereto and made a part
of this Lease:
Exhibit "A" - Legal Description of Property.
Exhibit "B" - Plot Plan of Property Showing the�Location of Demised Premises.
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Exhilait "(" rm.ftieti .,. Qb Y y w-k4A
Exhibit "D" - Tenant's Estoppel Certificate.
Exhibit "E" - Rules and Regulations.
The following addenda are attached hereto and made a part hereof:
3. USE. The Landlord hereby leases to Tenant and Tenant hereby hires from Landlord the
Demised Premises with appurtenances as defined herein, for the purpose of conducting, thereon only
the use specified in Section 1(j) of this Lease. Tenant agrees to use such premises only under the trade
name specified in Article I(d) hereof,
4. TERM.
A. Initial Term. The term of this Lease shall be as specified in Article 1 it) hereof or until this
Lease is earlier terminated as provided herein, including but not limited to the provisions of Article 22
hereof. The term of this Lease shall commence on the earlier of the following dates ("Commencement
Date"): (a) the date which is thirty (301 days after the Landlord notifies Tenant in writing that the
improvements to be provided by Landlord as set forth in Article 8 have been substantially completed
or (b) the date on which Tenant shall open the Demised Premises for business to the public. In the
event that the Commencement Date does not occur on the first day of a calendar month, the term of
this Lease shall be extended by the number of days of the partial month at the commencement of the
term such that the Lease shall end on the last day of a calendar month which date of termination is
specified in Article 1 (el hereof ("Termination Date"). The improvements shall be deemed substantially
completed when "Landlord's Work" as defined in Article 8 has been completed except for minor work
which does not materially prevent Tenant from occupying the Demised Premises,
B. Option Term. Tenant is given the option(s) to extend the term on all of the provisions
contained in this Lease for the period specified in Article 11mi ("extended term") following the expiration
of the initial term or any other extended term properly exercised hereunder, by giving notice of exercise
of the option ("option notice"N to Landlord at least six (6d months but not more than one year before
the expiration of the initial term or any other extended term properly exercised hereunder. Provided
that, if Tenant is in default on the date of giving the option notice, the option notice shall be totally
ineffective, or if Tenant is in default on the date the extended term is to commence, the extended term
shall not commence and this Lease shall expire at the end of the initial term or properly exercised
extended term.
5. RENTAL,
A. Monthly Rental. Tenant shall pay to Landlord, during the term of this Lease from and after
the Commencement Date as monthly rental ("Monthly Rental") for the Demised Premises the sum
specified in Article 1 (h) hereof, which sum shall be paid in advance on the first day of each calendar
month. In the event the Commencement Date does not occur on the first day of a calendar month, the
Tenant shall pay the rental for the fractional month on the Commencement Date on a per diem basis
(calculated on a thirty-day month). All rental to be paid by Tenant to Landlord shall be in lawful money
of the United States of America and shall be paid without deduction or offset, prior notice or demand
at the address designated in Article Ilk) hereof.
B. Additional Rental. For purposes of this Lease, all monetary obligations of Tenant under this
Lease, shall be deemed to be additional rental.
C. Late Payment. Tenant hereby acknowledges that late payment by Tenant to Landlord of
rental or other sums due hereunder will cause Landlord to incur costs not contemplated by this Lease,
the exact amount of which is extremely difficult to ascertain. Such costs include, but are not limited
to, processing and accounting charges and late charges which may be imposed upon Landlord by the
terms of any mortgage or deed of trust covering the Demised Premises. Accordingly, any payment of
any sum to be paid by Tenant not paid when within five (5) days of its due date shall be subject to a
five percent (5%) late charge. Landlord and Tenant agree that this late charge represents a reasonable
estimate of such costs and expenses and is fair compensation to Landlord for its loss suffered by such
late payment by Tenant.
D. Interest. Any sum to be paid pursuant to the terms of this Lease not paid when due shall
bear interest from and after the due date until paid at a rate equal to three percent (3%) over the
reference rate being charged by Bank of America, N.A. from time to time during such period so long
as the rate does not exceed the maximum rate permitted by law in which case interest shall be at the
maximum rate allowed by law at the time the sum became due.
E. Cost of Living Adjustment. Upon each anniversary date of the Commencement Date, or if
the Commencement Date is not on the first day of a month, then on the first day of the next calendar
month, the Monthly Rental shall be adjusted in proportion to changes in the Consumer Price Index.
Such adjustment shall be made by multiplying the original Monthly Rental by a fraction, the numerator
of which is the value of the Consumer Price Index for the calendar month three (3) months preceding
the calendar month for which such adjustment is to be made and the denominator of which is the value
of the Consumer Price Index for the same calendar month immediately prior to Commencement Date.
For example, if the adjustment is to occur effective June 1, 1989, the index to be used for the
numerator is the index for the month of March 1989 and the index to be used for the denominator is
the index for the month of March preceding the Commencement Date. However, in no event shall the
rent be reduced below the Monthly Rental in effect immediately preceding such adjustment. The
"Consumer Price Index" to be used in such calculation is the Consumer Price Index, All Urban
Consumers (All Items), for the Los Angeles-Anaheim-Riverside Metropolitan Area, published by the
United States Department of Labor, Bureau of Labor Statistics (1982-84 = 100). If both an official
index and one or more unofficial indices are published, the official index shall be used. If said Consumer
Price Index is no longer published at the adjustment date, it shall be constructed by conversion tables
included in such new index.
F. Security Deposit. Tenant contemporaneously with the execution of this Lease, has
deposited with Landlord the sum specified in Article I(i) hereof, receipt of which is hereby acknowledged
by Landlord, said deposit being given to secure the faithful performance by the Tenant of all terms,
covenants, and conditions of this Lease by the Tenant to be kept and performed during the term hereof.
Tenant agrees that if the Tenant shall fail to pay the rent herein reserved or any other sum required
hereby promptly when due, said deposit may, at the option of the Landlord (but Landlord shall not be
required to) be applied to any rent or other sum due and unpaid, and if the Tenant violates any of the
other terms, covenants, and conditions of this Lease, said deposit may, at Landlord's option, be applied
to any damages suffered by Landlord as a result of Tenant's default to the extent of the amount of the
damages suffered.
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Nothing contained in this Section F shall in any way diminish or be construed as waiving any of the
Landlord's other remedies as provided in Article 23 hereof, or by law or in equity. Should the entire
security deposit, or any portion thereof, be appropriated and applied by Landlord for the payment of
overdue rent or other sums due and payable to Landlord by Tenant hereunder, then Tenant shall, on
the written demand of Landlord, forthwith remit to Landlord a sufficient amount in cash to restore said
security deposit to its original amount, and Tenant's failure to do so within five (5) days after receipt
of such demand shall constitute a breach of this Lease. Should Tenant comply with all of the terms,
covenants, and conditions of this Lease and promptly pay all of the rental herein provided for as it falls
due, and all other sums payable by Tenant to Landlord hereunder, said security deposit shall be returned
in full to Tenant at the end of the term of this Lease, or upon the earlier termination of this Lease as
specified herein except in the event the Demised Premises are sold as a result of the exercise of any
power of sale under any mortgage or deed of trust, in which event this Lease shall be automatically
amended to delete any reference to this Section F and Tenant shall be entitled to immediate
reimbursement of its security deposit from the party then holding said deposit.
6. REAL ESTATE TAXES. In addition to all rentals herein reserved, Tenant shall pay to Landlord
annual real estate taxes and assessments levied upon the Demised Premises and a pro rata share of
annual real estate taxes and assessments levied upon the parking and common areas of the Property,
if any, as well as taxes of every kind and nature levied and assessed in lieu of, in substitution for, or
in addition to, existing real property taxes. Such amount shall be payable within ten I10) days after
receipt of a semi-annual statement to be sent by Landlord to Tenant setting forth the amount of such
tax based upon the actual tax bill received by Landlord; or Landlord at its option shall have the right to
estimate the amount of taxes next due and to collect from Tenant on a monthly basis the amount of
Tenant's estimated tax obligation. Within thirty (30) days following receipt of the actual tax bill,
Landlord shall provide to Tenant a reconciliation of the amount owed by Tenant and the amount actually
paid by Tenant. If Tenant has underpaid, Tenant shall pay the additional amount owed in a lump sum
within ten (10) days. If Tenant has overpaid, the amount of the overpayment shall be credited against
the payment for such taxes and assessments next coming due. Even though the term of this Lease has
expired and Tenant has vacated the Demised Premises, when the final determination is made of
Tenant's share of such taxes and assessments, Tenant shall immediately pay to Landlord the amount
of any additional sum owed, and any overpayment shall immediately be paid by Landlord to Tenant.
7. PERSONAL PROPERTY TAXES. During the term hereof Tenant shall pay prior to delinquency
all taxes assessed against and levied upon fixtures, furnishings, equipment and all other personal
property of Tenant contained in the Demised Premises, and when possible Tenant shall cause said
fixtures, furnishings, equipment and other personal property to be assessed and billed separately from
the real property of Landlord. In the event any or all of the Tenant's fixtures, furnishings, equipment
and other personal property shall be assessed and taxed with the Landlord's real property, the Tenant
shall pay to Landlord its share of such taxes within ten (10) days after delivery to Tenant by Landlord
of a statement in writing setting forth the amount of such taxes applicable to the Tenant's property.
8. CONSTRUCTION. Landlord and Tenant agree to construct the improvements to the extent
shown on the attached Exhibit "C" ("Landlord's Work" and "Tenant's Work", as applicable) at each
party's sole cost and expense as provided in Exhibit "C".
9. PARKING AND COMMON AREAS.
A. Definitions. The term "parking and common areas" as used herein shall mean those portions
of the Property that are from time to time established by Landlord as automobile parking areas,
roadways, walkways, landscaped areas, malls, service areas, and the like. During the term of this
Lease and any extension thereof, Landlord gives to Tenant for the use and benefit of Tenant, its agents,
employees, customers, licensees and subtenants a non-exclusive license in common with Landlord and
other present and future owners and tenants of the Property and their agents, employees, customers,
licensees and subtenants, and others authorized by Landlord to use the parking and common areas of
the Property for ingress, egress and automobile parking, provided that the condemnation or other taking
by any public authority, or sale in lieu of condemnation, of any or all of such parking and common areas
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shall not constitute a violation of this covenant. Landlord reserves the right in its sole and absolute
discretion (without which right Landlord would not have entered into this Lease) to change the location
of buildings and the entrances, exits. traffic lanes, parking stalls, landscaped areas, the direction and
flow of traffic, and the size, boundaries, location, and configuration of the parking and common areas,
to create temporary and permanent kiosks, and to annex additional property to the Property by
Landlord. The license shall be automatically revoked to the extent portions of the Property are deleted
by Landlord from the parking and common areas and shall be deemed expanded to the extent areas are
added. Nothing herein contained shall be deemed to prevent Landlord from using or authorizing others
to use said parking and common areas for utility lines and appurtenances, pickups and deliveries to and
from buildings within the Property, construction, and other similar purposes. This Lease shall be subject
to any agreement existing as of the date of this Lease or subsequently placed upon the real property
of which the Demised Premises are a part, which agreement provides for reciprocal easements and
restrictions pertaining to the parking and common areas, and in the event of conflict between the
provisions of such agreement and this Lease, the provisions of such agreement shall prevail.
B. Maintenance of Common Areas. During the entire term hereof, Landlord shall, at Landlord's
expense, maintain the parking and common areas in a good, neat, clean and orderly condition and shall
repair any damage to the facilities thereof.
C. Rule and Regulations. In addition to other rules and regulations for the Property, or as part
of such rules and regulations, Landlord may adopt from time to time rules and regulations for the orderly
and proper operation of said parking and common areas. Such rules and regulations may include, but
shall not be limited to, the following: (i) the restricting of employee parking to a limited, designated area
or areas or prohibiting parking by employees in the Property as above provided; hi) the restriction of
designated areas for drive-through banking, savings, restaurant or other drive-through facilities and/or
loading, trash or other storage areas whether or not same are roofed and/or enclosed; (iii) the
establishment of certain limited areas as exclusive parking areas for certain tenants of the Property; and
(iv) the restriction of loading, unloading and deliveries to specified times and areas.
10. USES PROHIBITED. Tenant shall not use, or permit the Demised Premises, or any part
thereof, to be used for any purpose or purposes other than the express purpose or purposes for which
the Demised Premises are hereby leased pursuant to Article 1 (j) hereinabove or carry on its business
other than under the trade name designated in Article I(d). No use shall be made or permitted to be
made of the Demised Premises, nor acts done, which will increase the existing rate of insurance upon
any building in the Property, including the building in which the Demised Premises may be located, or
the parking and common areas (once said rate is established), or cause a cancellation of any insurance
policy covering said building or any part thereof or the parking and common areas. Tenant shall not
sell or permit to be kept, used, displayed or sold in or about the Demised Premises (a) pornographic or
sexually explicit books, magazines, literature, films or other printed material, sexual paraphernalia, or
other material which would be considered lewd, obscene or licentious, (b) any article which may be
prohibited by standard forms of fire insurance policies, or (c) any alcoholic beverages unless expressly
permitted by Article 1 hereof. Tenant shall not use, or permit to be used, the Demised Premises or any
part thereof for the installation or on-premises use of any vending machine, gaming machine or video
or arcade game unless expressly permitted by this Lease. No use shall be made or permitted which
conflicts with any recorded document. Tenant shall, at his sole cost, comply with any and all
requirements, pertaining to the use of the Demised Premises, of any insurance organization or company
necessary for the maintenance of reasonable fire and public liability insurance, covering the building of
which the Demised Premises are a part and appurtenances. In the event Tenant's use of the Demised
Premises results in a rate increase for any building within the Property, or the parking and common
areas, Tenant shall pay annually on the anniversary date of this Lease, as additional rent, a sum equal
to that of the additional premium occasioned by said rate increase. Tenant shall not commit, or suffer
to be committed, any waste upon the Demised Premises, or any nuisance or other act or thing which
may disturb the quiet enjoyment of any other tenant or occupant of the Property.
Tenant shall not without Landlord's prior written consent display or sell merchandise outside the
defined exterior walls and permanent doorways of the Demised Premises. Tenant shall not conduct or
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permit to be conducted any sale by auction in, upon or from the Demised Premises, whether said
auction be voluntary, involuntary, pursuant to any assignment for the payment of creditors, or pursuant
to any bankruptcy or other solvency proceeding nor display any "going out of business" or similar sign.
Tenant shall not advertise, solicit business or give out literature or materials within the parking and
common areas of the Property without Landlord's prior written consent.
Tenant shall not engage in any activity on or about the Demised Premises that violates any
Environmental Law, and shall promptly, at Tenant's sole cost and expense, take all investigatory and/or
remedial action required or ordered by any governmental agency or Environmental Law for clean-up and
removal of any contamination involving any Hazardous Material created or caused directly or indirectly
by Tenant. The term "Environmental Law" shall mean any federal, state or local law, statute, ordinance
or regulation pertaining to health, industrial hygiene or the environmental conditions on, under or about
the Demised Premises, including, without limitation, (i) the Comprehensive Environmental Response,
Compensation and Liability Act of 1980 ("CERCLA"), 42 U.S.C. Sections 9601 et. seq.; (ii) the
Resource Conservation and Recovery Act of 1976 ("RCRA"), 42 U.S.C. "Sections 6901 et. seq.; (iii)
California Health and Safety Code Sections 25100 et. sec.; (iv) the Safe Drinking Water and Toxic
Enforcement Act of 1986, California Health and Safety Code Section 25249.5 et. seq.; (v) California
Health and Safety Code Section 25359.7; (vi) California Health and Safety Code Section 25915; (vii)
the Federal Water Pollution Control Act, 33 U.S.C. Sections 1317 et. sec.; (viii) California Water Code
Section 1300 at. sec.; and (ix) California Civil Code Section 3479 et. sec., as such laws are amended
and the regulations and administrative codes applicable thereto. The term "Hazardous Material"
includes, without limitation, any material or substance which is (i) defined or listed as a "hazardous
waste", "extremely hazardous waste", "restrictive hazardous waste" or "hazardous substance" or
considered a waste, condition of pollution or nuisance under the Environmental Laws; (ii) petroleum or
a petroleum product or fraction thereof; (iii) asbestos; and/or (iv) substances known by the State of
California to cause cancer and/or reproductive toxicity. It is the intent of the parties hereto to construe
the terms "Hazardous Materials" and "Environmental Laws" in their broadest sense. Tenant shall
provide all notices required pursuant to the Safe Drinking Water and Toxic Enforcement Act of 1986,
California Health and Safety Code Section 25249.5 et. sec. Tenant shall provide prompt written notice
to Landlord of the existence of Hazardous Substances on the premises and all notices of violation of
the Environmental Laws received by Tenant.
1 1 . ALTERATIONS AND FIXTURES. Tenant shall not make, or suffer to be made, any alterations
to the Demised Premises, or any part thereof, or the building containing the Demised Premises or
change the appearance of the building containing the Demised Premises without the prior written
consent of Landlord, and any alterations to the Demised Premises, except movable furniture and trade
fixtures, shall become at once a part of the realty and shall at the expiration or earlier termination of
this Lease belong to Landlord. Tenant shall not in any event make any changes to the exterior of the
Demised Premises. Any such alterations shall be in conformance with the requirements of all municipal,
state, federal, and other governmental authorities, including requirements pertaining to the health,
welfare or safety of employees or the public and in conformance with reasonable rules and regulations
of Landlord. Landlord may require that any such alterations be removed prior to the expiration of the
term hereof. Any removal of alterations or furniture and trade fixtures shall be at Tenant's expense and
accomplished in a good and workmanlike manner. Any damage occasioned by such removal shall be
repaired at Tenant's expense so that the Demised Premises can be surrendered in a good, clean and
sanitary condition as required by Article 12 hereof. Any and all fixtures and appurtenances installed
by Tenant shall conform with the requirements of all municipal, state, federal, and governmental
authorities including requirements pertaining to the health, welfare, or safety of employees orthe public.
12. MAINTENANCE AND REPAIR. Tenant shall, subject to Landlord's obligations hereinafter
provided, at all times during the term hereof, and at Tenant's sole cost and expense, keep, maintain and
repair the Demised Premises, Tenant's portion of the building containing the Demised Premises and
other improvements within the Demised Premises in good and sanitary order, condition, and repair
(except as hereinafter provided) including without limitation, the maintenance and repair of any store
front, doors, window casements, glazing, heating and air conditioning system, plumbing, pipes,
electrical wiring and conduits. Tenant shall also at its sole cost and expense be responsible for any
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alterations or improvements to the Demised Premises necessitated as a result of the requirement of any
municipal, state or federal authority. Tenant hereby waives all right to make repairs at the expense of
Landlord, and Tenant hereby waives all rights provided for by the Civil Code of the State of California
to make said repairs. By entering into the Demised Premises, Tenant shall be deemed to have accepted
the Demised Premises as being in good and sanitary order, condition and repair, and Tenant agrees on
the last day of said term or sooner termination of this Lease to surrender the Demised Premises with
appurtenances, in the same condition as when received and in a good, clean and sanitary condition,
reasonable use and wear thereof and damage by fire, act of God or by the elements excepted. Tenant
shall periodically sweep and clean the sidewalks adjacent to the Demised Premises, as needed.
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Landlord shall maintain in good repair the exterior walls, roof and sidewalks. Tenant agrees that
it will not, nor will it authorize any person to, go onto the roof of the building of which the demised
Premises are a part without the prior written consent of Landlord. Said consent will be given only upon
Landlord's satisfaction that any repairs necessitated as a result of Tenant's action will be made by
Tenant at Tenant's expense and will be made in such a manner so as not to invalidate any guarantee
relating to said roof. Landlord shall not be required to make any repairs to the exterior walls, roof and
sidewalks unless and until Tenant has notified Landlord in writing of the need for such repairs and
Landlord shall have had a reasonable period of time thereafter to commence and complete said repairs.
13. COMPLIANCE WITH LAWS. Tenant shall, at his sole cost and expense, comply with all of
the requirements of all municipal, state and federal authorities now in force or which may hereafter be
in force pertaining to the List' of the Demised Premises, and shall faithfully observe in said use all
municipal ordinances, including, but not limited to, the General Plan and zoning ordinances, state and
federal statutes, or other governmental regulations now in force or which shall hereinafter be in force.
Tenant's violation of law shall constitute an incurable default under this Lease. The judgment of any
court of competent jurisdiction, or the admission of Tenant in any action or proceeding against Tenant,
whether Landlord be a party thereto or not, that Tenant has violated any such order or statute in said
use, shall be conclusive of that fact as between the Landlord and Tenant.
14. INSURANCE.
A. Landlord to Provide Property insurance, Landlord shall maintain fire and extended coverage
insurance throughout the term of this Lease in an amount equal to at least ninety percent 190%) of the
replacement value of the building containing the Demised Premises, together with such other insurance,
coverages and endorsements as may be required by Landlord's lender, or as Landlord may determine
in its sole discretion. Tenant hereby waives any right of recovery from Landlord, its officers and
employees, and Landlord hereby waives any right of loss or damage (including consequential lass)
resulting from any of the perils insured against as a result of said insurance. Tenant agrees to pay to
Landlord its pro rata share of the cost of said insurance to be determined by the relationship that the
gross floor area of the Demised Premises hears to the total gross leasable floor area of the building or
buildings for which such policy relates.
B. Tenant to Provide Other Insurance.
1. Food Preparation. Tenant, if involved in food preparation and sales as a cafe. restaurant,
or similar use, and/or food takeout service, shall install at tenant's expense any fire protective systems
in grill, deep fry, and cooking areas which are required by city, county, and state fire ordinances, and
such system when installed shall qualify for full fire protective credits allowed by the fire insurance
rating and regulatory body in whose jurisdiction the Demised Premises are located,
3. Tenant to Provide Liability Insurance. During the entire term of this Lease, the Tenant
shall, at the Tenant's sole cost and expense, but for the mutual benefit of Landlord and Tenant,
maintain comprehensive general liability insurance insuring against claims for bodily injury, death or
property damage occurring in, upon or about the Demised Premises and on any sidewalks directly
adjacent to the Demised Premises written on a per occurrence basis in an amount not less than either
1i) a combined single limit of ONE MILLION DOLLARS (51,000,000.00) for bodily injury, death, and
property damage or 5i) bodily injury limits of $250,000.00 per person, $500,000.00 per occurrence
and $500,000_00 products and completed operations and property damage limits of $100,000.00 per
occurrence and $250,000,00 in the aggregate; provided, however, if Landlord so elects Landlord may
provide such insurance and, in such, event, Tenant agrees to pay its pro rasa share of the cast of said
insurance on the same basis as provided in Section A above.
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4. Tenant to Provide Worker's Compensation Insurance. Tenant shall, at the Tenant's sole
cost and expense, maintain a policy of worker's compensation insurance in an amount as will fully
comply with the laws of the State of California and which shall indemnify, insure and provide legal
defense for both the Tenant and the Landlord against any loss, claim or damage arising from any injuries
or occupational diseases occurring to any worker employed by or any persons retained by the Tenant
in the course of conducting Tenant's business in the Demised Premises.
5. General Provisions Applicable to Tenant's Insurance. All of the policies of insurance
required to be procured by Tenant pursuant to this Section 14.13 shall be primary insurance and shall
name the Landlord, its officers, employees and agents as additional insureds. The insurers shall waive
all rights of contribution they may have against the Landlord, its officers, employees and agents and
their respective insurers. All of said policies of insurance shall provide that said insurance may not be
amended or canceled without providing 30 days prior written notice by registered mail to the Landlord.
Prior to the Commencement Date or such earlier date as Tenant takes possession of the Demised
Premises for any purpose; and at least 30 days prior to the expiration of any insurance policy, Tenant
shall provide Landlord with certificates of insurance or appropriate insurance binders evidencing the
above insurance coverages written by insurance companies acceptable to Landlord, licensed to do
business in the state where the Demised Premises are located and rated A;VII or better by Best's
Insurance Guide. In the event the Risk Manager of Landlord ("Risk Manager") determines that the
Tenant's activities in the Demised Premises creates an increased or decreased risk of loss to the
Landlord, Tenant agrees that the minimum limits of any insurance policy required to be obtained by
Tenant maybe changed accordingly upon receipt of written notice from the Risk Manager; provided that
Tenant shall have the right to appeal a determination of increased coverage by the Risk Manager to the
City Council of Landlord within ten (10) days of receipt of notice from the Risk Manager. Landlord and
Tenant hereby waive any rights each may have against the other on account of any loss or damage
occasioned by property damage to the Demised Premises, its contents, or Tenant's trade fixtures,
equipment, personal property or inventory arising from any risk generally covered by insurance against
the perils of fire, extended coverage, vandalism, malicious mischief, theft, sprinkler damage, and
earthquake sprinkler leakage. Each of the parties, on behalf of their respective insurance companies
insuring such property of either Landlord or Tenant against such loss, waive any right of subrogation
that it may have against the other. The foregoing waivers of subrogation shall be operative only so long
as available in California and provided further that no policy is invalidated thereby.
15. INDEMNIFICATION OF LANDLORD. Tenant, as a material part of the consideration to be
rendered to Landlord under this Lease, hereby waives all claims against Landlord for damage to
equipment or other personal property, trade fixtures, leasehold improvements, goods, wares, inventory
and merchandise, in, upon or about the Demised Premises and for injuries to persons in or about the
Demised Premises, from any cause arising at any time (including but not limited to the police or security
system for the Property); and Tenant will hold Landlord exempt and harmless from and defend Landlord
against any damage or injury to any person, or the equipment and other personal property, leasehold
improvements, goods, wares, inventory and merchandise of any person, arising from the use of the
Demised Premises or the parking and common areas by Tenant or its employees and customers, or from
the failure of Tenant to keep the Demised Premises in good condition and repair, as herein provided.
16. FREE FROM LIENS. Tenant shall keep the Demised Premises, the building containing the
Demised Premises, and the property on which the Demised Premises are situated free from any liens
arising out of any work performed, material furnished, or obligation incurred by Tenant or alleged to
have been incurred by Tenant.
17. ABANDONMENT. Tenant shall not vacate or abandon the Demised Premises at any time
during the term of this Lease; and if Tenant shall abandon, vacate or surrender the Demised Premises
or be dispossessed by process of law, or otherwise, any personal property belonging to Tenant and left
on the Demised Premises shall be deemed to be abandoned, at the option of Landlord, except such
property as may be mortgaged to Landlord.
- 9 -
18, SIGNS. Tenant shall not place or permit to be placed any sign upon the exterior or in the
windows of the Demised Premises without Landlord's prior written consent. Any sign not constructed
in accordance therewith shall be immediately removed by Tenant and, if said sign is not removed by
Tenant within ten (10) days of written notice from Landlord to Tenant, then Landlord may remove and
destroy said sign without Tenant's approval and without any liability to Tenant.
19. UTILITIES. The party identified in Article 1 (m) shall pay before delinquency all charges for
water, gas, heat, electricity, power, sewer, telephone service, trash removal (unless included in the
expenses to maintain the common and parking areas) and all other services and utilities used in, upon,
or about the Demised Premises by Tenant or any of its subtenants, licensees, or concessionaires during
the term of this Lease.
20. ENTRY AND INSPECTION. Tenant shall permit Landlord and his agents to enter into and
upon the Demised Premises at all reasonable times for the purpose of inspecting the same or for the
purpose of maintaining the building in which the Demised Premises are situated, or for the purpose of
making repairs, alterations or additions to any other portion of said building, including the erection and
maintenance of such scaffolding, canopy, fences and props as may be required, or for the purpose of
posting notices of nonliability for alterations, additions or repairs, or for the purpose of placing upon
the property in which the Demised Premises are located any usual or ordinary "For Sale" signs or any
signs for public safety as determined by Landlord. Landlord shall be permitted to do any of the above
without any rebate of rent and without any liability to Tenant for any loss of occupation or quiet
enjoyment of the Demised Premises thereby occasioned. Tenant shall permit Landlord, at any time
within six (6) months prior to the expiration of this Lease, to place upon the Demised Premises any
usual or ordinary "For Lease" signs, and during such six (6) month period Landlord or his agents may,
during normal business hours, enter upon said Demised Premises and exhibit same to prospective
tenants.
21 . DAMAGE AND DESTRUCTION OF PREMISES. In the event of (a) partial or total destruction
of the Demised Premises or the building containing same during the term of this Lease which requires
repairs to either the Demised Premises or said building, or (b) the Demised Premises or said building
being declared unsafe or unfit for occupancy by any authorized public authority for any reason other
than Tenant's act, use or occupation, which declaration requires repairs to either the Demised Premises
or said building, Landlord shall forthwith make said repairs provided Tenant gives to Landlord thirty (30)
days written notice of the necessity therefor. No such partial destruction (including any destruction
necessary in order to make repairs required by any declaration made by any public authority) shall in
any way annul or void this Lease except that Tenant shall be entitled to a proportionate reduction of
Monthly Rental while such repairs are being made, such proportionate reduction to be based upon the
extent to which the making of such repairs shall interfere with the business carried on by Tenant in the
Demised Premises. However, if during the last two (2) years of the term of this Lease the Demised
Premises and/or said building are damaged as a result of fire or any other insured casualty to an extent
in excess of twenty-five percent (25%) of the then replacement cost, (excluding foundations), Landlord
may within thirty (30) days following the date such damage occurs terminate this Lease by written
notice to Tenant. If Landlord, however, elects to make said repairs, and provided Landlord uses due
diligence in making said repairs, this Lease shall continue in full force and effect, and the Monthly Rental
shall be proportionately reduced while such repairs are being made as hereinabove provided.
The foregoing to the contrary notwithstanding, if the Demised Premises or said building is damaged
or destroyed at any time during the term hereof to an extent of more than twenty-five percent (25%)
of the then replacement cost (excluding foundations) as a result of a casualty not insured against,
Landlord may within thirty (30) days following the date of such destruction terminate this Lease upon
written notice to Tenant. If Landlord does not elect to terminate because of said uninsured casualty,
Landlord shall promptly rebuild and repair the Demised Premises and/or the building and the Monthly
Rental shall be proportionately reduced while such repairs are being made as hereinabove provided.
If Landlord elects to terminate this Lease, all rentals shall be prorated between Landlord and Tenant
as of the date of such destruction.
- 10 -
In respect to any partial or total destruction (including any destruction necessary in order to make
repairs required by any such declaration of any authorized public authority) which Landlord is obligated
to repair or may elect to repair under the terms of this Article 21, Tenant waives any statutory right it
may have to cancel this Lease as a result of such destruction.
22. ASSIGNMENT AND SUBLETTING. Tenant shall not assign this Lease or sublet the Demised
Premises, or any interest therein, without the prior written consent of Landlord, which consent shall
not be unreasonably withheld. Landlord may withhold its consent to an assignment or sublease to a
proposed assignee or sublessee, and Tenant agrees that Landlord shall not be unreasonable for doing
so, unless all the following criteria are met: (a) The proposed assignee's or sublessee's general financial
condition, including liquidity and net worth, verified by audited financial statements prepared by a
Certified Public Accountant in conformity with Generally Accepted Accounting Principles is equal to or
greater than that of Tenant; (b) the proposed assignee or sublessee has a demonstrated merchandising
capability equal to or greater than that of Tenant as to the use for which the Demised Premises are
leased; and (c) the proposed assignee or sublessee is morally and financially responsible. Any such
assignment shall be subject to all of the terms and conditions of this Lease, including, but not limited
to, any restriction on use and trade name pursuant to the provisions hereof, and the proposed assignee
shall assume the obligations of Tenant under this Lease in writing in form satisfactory to Landlord. The
proposed assignee shall simultaneously provide to Landlord an estoppel certificate in the form described
in Article 28 hereafter. Consent by Landlord to one assignment, subletting, occupation or use by
another person shall not be deemed to be a consent to any subsequent assignment, subletting,
occupation or use by another person. Any assignment or subletting without the prior written consent
of Landlord shall be void, shall constitute a material breach of this Lease, and shall, at the option of
Landlord, terminate this Lease. Neither this Lease nor any interest therein shall be assignable as to the
interest of Tenant by operation of law.
Landlord shall be under no obligation to consider a request for Landlord's consent to an assignment
until Tenant shall have submitted in writing to Landlord a request for Landlord's consent to such
assignment together with audited financial statements of Tenant and the proposed assignee, a history
of the proposed assignee's business experience and such other information as required by Landlord to
verify that the criteria for assignment as set forth herein are met. If Landlord approves such
assignment, Tenant shall pay to Landlord any consideration received by Tenant for such assignment.
23. DEFAULT AND REMEDIES.
A. Default by Tenant. In addition to the defaults described in Article 22 hereinabove and in
Article 27 hereafter, the occurrence of any one or more of the following events shall constitute a default
and breach of this Lease by Tenant: (a) the failure to pay any rental or other payment required
hereunder to or on behalf of Landlord at the time or within the times herein specified for such payment;
(b) the failure to perform any of Tenant's agreements or obligations hereunder (exclusive of a default
in the payment of money) where such default shall continue for a period of three (3) days after written
notice thereof from Landlord to Tenant which notice shall be deemed to be the statutory notice so long
as such notice complies with statutory requirements, (c) the vacation or abandonment of the Demised
Premises by Tenant; (d) the making by Tenant of a general assignment for the benefit of creditors; (e)
the filing by Tenant of a voluntary petition in bankruptcy or the adjudication of Tenant as a bankrupt;
(f) the appointment of a receiver to take possession of all or substantially all the assets of Tenant
located at the Demised Premises or of Tenant's leasehold interest in the Demised Premises; (g) the filing
by any creditor of Tenant of an involuntary petition in bankruptcy which is not dismissed within sixty
(60) days after filing; or (h) the attachment, execution or other judicial seizure of all or substantially all
of the assets of Tenant or Tenant's leasehold where such an attachment, execution or seizure is not
discharged within sixty (60) days. Any repetitive failure by Tenant to perform its agreements and
obligations hereunder, though intermittently cured, shall be deemed an incurable default. Two (2)
breaches of the same covenant within a sixty (60) day period, a notice having been given pursuant to
(a) or (b) above for the first breach, or three (3) such breaches at any time during the term of this Lease
for which notices pursuant to (a) or (b) above were given for the first two (2) breaches shall
- 11 -
conclusively be deemed to be an incurable repetitive failure by Tenant to perform its obligations
hereunder.
In the event of any such default or breach by Tenant, Landlord may at any time thereafter, without
further notice or demand, rectify or cure such default, and any sums expended by Landlord for such
purposes shall be paid by Tenant to Landlord upon demand and as additional rental, hereunder. In the
event of any such default or breach by Tenant, Landlord shall have the right to continue the lease in
full force and effect and enforce all of its rights and remedies under this Lease, including the right to
recover the rental as it becomes due under this Lease or Landlord shall have the right at any time
thereafter to elect to terminate the Lease and Tenant's right to possession thereunder. Upon such
termination, Landlord shall have the right to recover from Tenant:
(i) The worth at the time of award of the unpaid rental which had been earned at the time of
termination;
(ii) The worth at the time of award of the amount by which the unpaid rental which would have
been earned after termination until the time of award exceeds the amount of such rental loss that the
Tenant proves could have been reasonably avoided;
(iii) The worth at the time of award of the amount by which the unpaid rental for the balance of
the term after the time of award exceeds the amount of such rental loss that the Tenant proves could
be reasonably avoided; and
(iv) Any other amount necessary to compensate the Landlord for all the detriment proximately
caused by Tenant's failure to perform its obligations under the lease or which in the ordinary course
of things would be likely to result therefrom.
The "worth at the time of award" of the amounts referred to in subparagraphs A and 8 above shall
be computed by allowing interest at three percent (3%) over the prime rate then being charged by Bank
of America, N.A. but in no event greater than the maximum rate permitted by law. The worth at the
time of award of the amount referred to in subparagraph C shall be computed by discounting such
amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of award plus one
percent (1 %), but in no event greater than ten percent (10%).
As used herein "rental" shall include the Monthly Rental, other sums payable hereunder which are
designated rental or "additional rental" and any other sums payable hereunder on a regular basis such
as reimbursement for real estate taxes.
Such efforts as Landlord may make to mitigate the damages caused by Tenant's breach of this
Lease shall not constitute a waiver of Landlord's right to recover damages against Tenant hereunder,
nor shall anything herein contained affect Landlord's right to indemnification against Tenant for any
liability arising prior to the termination of this Lease for personal injuries or property damage, and
Tenant hereby agrees to indemnify and hold Landlord harmless from any such injuries and damages,
including all attorney's fees and costs incurred by Landlord in defending any action brought against
Landlord for any recovery thereof, and in enforcing the terms and provisions of this indemnification
against Tenant.
Notwithstanding any of the foregoing, the breach of this Lease by Tenant, or an abandonment of
the Demised Premises by Tenant, shall not constitute a termination of this Lease, or of Tenant's right
of possession hereunder, unless and until Landlord elects to do so, and until such time Landlord shall
have the right to enforce all of its rights and remedies under this Lease, including the right to recover
rent, and all other payments to be made by Tenant hereunder, as they become due. Failure of Landlord
to terminate this Lease shall not prevent Landlord from later terminating this Lease or constitute a
waiver of Landlord's right to do so.
- 12 -
B. No Waiver. Acceptance of rental hereunder shall not be deemed a waiver of any default or
a waiver of any of Landlord's remedies.
C. Landlord's Default. Landlord shall not be in default unless Landlord fails to perform
obligations required of Landlord within a reasonable time, but in no event later than thirty (30) days
after written notice by Tenant to Landlord and to the holder of any first mortgage or deed of trust
covering the Premises whose name and address shall have theretofore been furnished to Tenant in
writing, specifying wherein Landlord has failed to perform such obligation; provided, however, that if
the nature of Landlord's obligation is such that more than thirty (30) days are required for performance
then Landlord shall not be deemed in default if Landlord commences performance within a thirty (30)
day period and thereafter diligently prosecutes the same to completion. In no event shall Tenant have
the right to terminate this Lease as a result of Landlord's default and Tenant's remedies shall be limited
to damages and/or an injunction.
24, SURRENDER OF LEASE. The voluntary or other surrender of this Lease by Tenant, or a
mutual cancellation thereof, shall not work a merger, and shall, at the option of Landlord, terminate all
or any existing subleases or subtenancies, or may, at the option of Landlord, operate as an assignment
to it of any or all of such subleases or subtenancies.
25. HOURS OF BUSINESS. Tenant shall open for business no later than thirty (30) days after
Landlord notifies Tenant that Landlord's Work is substantially completed as provided in Article 4 hereof.
Subject to the provisions of Article 21 hereof. Tenant shall continuously during the entire term hereof
conduct and carry on Tenant's business in the Demised Premises and shall keep the Demised Premises
open for business and cause Tenant's business to be conducted therein during the usual business hours
of each and every business day as is customary for businesses of like character to be open for business
in the county in which the Demised Premises are located. In no event, however, shall such hours of
being open for business be less than (a) 9:00 a.m. through 6:00 p.m. at least five days per week or
(b) the hours of seventy percent (70%) of the number of tenants in the Property; provided, however,
that this provision shall not apply if the Demised Premises should be closed and the business of Tenant
temporarily discontinued therein on account of strikes, lockouts, or similar causes beyond the
reasonable control of Tenant. The Tenant shall also participate in any program sponsored by the
Downtown Business Improvement District to provide evening shopping and entertainment in the Central
Business District.
26. FORCE MAJEURE. If either party hereto shall be delayed or prevented from the performance
of any act required hereunder by reason of acts of God, strikes, lockouts, labor troubles, inability to
procure materials, restrictive governmental laws or regulations or other cause without fault and beyond
the control of the party obligated (financial inability excepted), performance of such act shall be excused
for the period of the delay and the period for the performance of any such act shall be extended for a
period equivalent to the period of such delay; provided, however, nothing in this Article 26 contained
shall excuse Tenant from the prompt payment of any rental or other charge required of Tenant
hereunder except as may be expressly provided elsewhere in this Lease.
27. ESTOPPEL CERTIFICATE. If, as a result of a proposed sale, assignment, or hypothecation
of the Demised Premises or the land thereunder by Landlord, or at any other time, an estoppel
certificate shall be requested of Tenant, Tenant agrees, within ten (10) days thereafter, to deliver such
estoppel certificate in the form attached hereto as Exhibit "Y addressed to any existing or proposed
mortgagee or proposed purchaser, and to the Landlord. Tenant shall be liable for any loss or liability
resulting from any incorrect information certified, and such mortgagee and purchaser shall have the
right to rely on such estoppel certificate and financial statement.
28. CONDEMNATION. In the event a condemnation or a transfer in lieu thereof results in a
taking of any portion of the Demised Premises, Landlord may, or in the event a condemnation or a
transfer in lieu thereof results in a taking of twenty percent (20%) or more of the Demised Premises,
Tenant may, upon written notice given within thirty (30) days after such taking or transfer in lieu
thereof, terminate this Lease. Tenant shall not be entitled to share in any portion of the award and
- 13 -
Tenant hereby expressly waives any right or claim to any part thereof. Tenant shall, however, have
the right to claim and recover, only from the condemning authority (but not from Landlord), any
amounts necessary to reimburse Tenant for the cost of removing stock and fixtures. If this Lease is
not terminated as above provided, Landlord shall use a portion of the condemnation award to restore
the Demised Premises.
29, MISCELLANEOUS.
A. Jurisdiction and Venue. The parties hereto agree that the State of California is the proper
jurisdiction for litigation of any matters relating to this Lease, and service mailed to the address of
tenants set forth herein shall be adequate service for such litigation. The parties further agree that
Riverside County, California is the proper place for venue as to any such litigation.
B. Partial Invalidity. If any term, covenant, condition or provision of this Lease is held by
a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions
hereof shall remain in full force and effect and shall in no way be affected, impaired or invalidated
thereof.
- 14 -
C. Holding Over. Any holding over after the expiration of the term of this Lease, with the
consent of Landlord, express or implied, shall be construed to be a tenancy from month to month,
cancelable upon thirty (30) days written notice, and at a rental equal to one hundred fifty percent
1150%) of the last applicable Monthly Rental and upon terms and conditions as existed during the last
year of the term hereof.
D. Successors in Interest. The covenants herein contained shall, subject to the provisions
as to assignment, apply to and bind the heirs, successors, executors, administrators and assigns of all
the parties hereto; and all of the parties hereto shall be jointly and severally liable hereunder.
E. No Oral Agreements. This Lease covers in full each and every agreement of every kind
or nature whatsoever between the parties hereto concerning this Lease, and all preliminary negotiations
and agreements of whatsoever kind or nature are merged herein, and there are no oral agreements.
Tenant acknowledges that no representations or warranties of any kind or nature not specifically set
forth herein have been made by Landlord or its agents or representatives.
F. Authority. In the event that Tenant is a corporation or a partnership, each individual
executing this Lease on behalf of said corporation or said partnership, as the case may be, represents
and warrants that he or she is duly authorized to execute and deliver this Lease on behalf of said
corporation or partnership, in accordance with a duly adopted resolution of the Board of Directors, if
a corporation, or in accordance with the Partnership Agreement, if a partnership, and that this Lease
is binding upon said corporation or partnership in accordance with its terms.
G. Time is of the essence of this Lease.
H. Consistency. Each provision herein shall be interpreted so as to be consistent with every
other provision.
I. Relationship of Parties. The relationship of the parties hereto is that of Landlord and
Tenant, and it is expressly understood and agreed that Landlord does not in any way or for any purpose
become a partner of Tenant in the conduct of Tenant's business or otherwise, or a joint venturer with
Tenant, and that the provisions of this Lease and the agreements relating to rent payable hereunder are
included solely for the purpose of providing a method whereby rental payments are to be measured and
ascertained.
J. Reservation of Right to Modify Property. In addition to the rights reserved to Landlord
in Section A of Article 9 above, Landlord hereby reserves the right (but not the obligation) to renovate,
modernize, rehabilitate, expand, reduce, reconfigure, enclose and/or otherwise alter all or any portion
of the Property (collectively "Modifications"), in such manner and at such time or times, throughout the
term of this Lease, as Landlord may, in its sole and absolute discretion, deem to be in the best interests
of the Property. Such Modifications may include, without limitation, the right to construct new
buildings in the Property for additional retail, office, hotel and/or other uses, to remove, renovate, repair,
add to, modernize or otherwise alter the building in which the Demised Premises are situated as well
as other buildings, facilities, structures, malls, walkways, landscaping, parking and common areas or
other areas within the Property. In connection with any and all such Modifications, Landlord may enter
the Demised Premises to the extent reasonably required by Landlord to pursue and complete such
Modifications. In addition, Landlord may temporarily close portions of the parking and common areas
and cause temporary obstructions in connection with any Modifications. Tenant agrees that under no
circumstances shall the Modifications as to any portion of the Property or the construction activity that
takes place in the course of making the Modifications, or any aspect thereof, including Landlord's entry
into the Demised Premises, constitute an eviction or partial eviction of Tenant or a breach of Tenant's
right to quiet enjoyment or of any other provision of this Lease, nor entitle Tenant to damages,
injunctive relief or other equitable relief, nor entitle Tenant to any abatement or reduction in the Monthly
Rental, additional rental or other charges or sums due under this Lease; provided Landlord uses
reasonable efforts to mitigate any adverse effects on Tenant caused by the Modifications.
- 15 -
K. Rules and Regulations. Tenant shall faithfully observe and comply with the rules and
regulations that Landlord shall from time to time promulgate and/or modify. The rules and regulations
are attached hereto as Exhibit "E" ("Rules and Regulations"). Any amendment or modification of the
Rules and Regulations shall be binding upon the Tenant upon delivery of a copy of such amendment
or modification to Tenant. Landlord shall not be responsible to Tenant for the nonperformance of any
said rules and regulations by any other tenants or occupants. The Rules and Regulations shall apply
and be enforced as to all tenants in the Property on a uniform basis.
L. Nondiscrimination. Tenant herein covenants by and for itself, its heirs, executors,
administrators and assigns and all persons claiming under or through it, and this Lease is made and
accepted upon and subject to the following conditions: That there shall be no discrimination against
or segregation of any person or group of persons on account of race, sex, marital status, color, creed,
national origin or ancestry, in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment
of the Demised Premises herein leased, nor shall the Tenant itself, or any person claiming under or
through it, establish or permit any such practice or practices of discrimination or segregation with
reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees,
subtenants or vendees in the Demised Premises.
M. Notices. Wherever in this Lease it shall be required or permitted that notice and demand
be given or served by either party to this Lease to or on the other, such notice or demand shall be given
or served in writing and shall not be deemed to have been duly given or served unless in writing, and
personally served or forwarded by certified mail, postage prepaid, addressed as specified in Article 1 (k).
Either party may change the address set forth in Article 1 (k) by written notice by certified mail to the
other. Any notice or demand given by certified mail shall be effective one (1) day subsequent to
mailing.
30. ADDENDUM. This Lease is subject to the terms and provisions of those certain Addenda to
Lease specified in Article 2 hereof.
IN WITNESS WHEREOF, the parties have duly executed this Lease together with the herein referred
to Exhibits which are attached hereto, on the day and year first above written in S ,
California.
CITY OF PALM SPRINGS, a municipal
corporation
City Manager
ATTEST: i
City Clerk
149 �161?
REVIEWED AND APPROVED
- 16 -
By:
w^
City Attor
"LANDLORD"
Its C�- 1 n n��
By:
Its
17 -
EXHIBIT "A"
LEGAL DESCRIPTION;
A portion of lot 24, Block 19 as shown on the townsite map of Palm Springs, recorded in Book 9,
page 432 of maps, records of San Diego County, California, More Particularly decribed as follows:
The easterly 66.00 feet of the northerly 27.00 feet of lot 24, block 19 of said map.
Said description contains 1782 square feet, more or less.
QFtoFESSIoNq,
* No. C-28931
Exp.03-31-2003
Is, CIVIL
qTF OF CP�FO�
DATE G
FILE NO.:
R-02-054
SHEET NO
1 OF 2
EXHIBIT "B"
`.
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I
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LOT 1 ! LOT 2 ! LOT 3
I I I LOT 6
QI __________
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I� I
�I O LOT 24 es.00+BegsD'n'w LOT 7
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MI
PARCEL MAP NO. 11,092
I LOT 23 i M.B. 64/15
QROFESSIOAI
O 92 Z
c� m
* No, C-28931
Exp,03-31-2003
rT CT VI aP
9TF OF CP�IF��
LEASE AREA
DAM
of PALAISA CITY OF PALM SPRINGS
PUBLIC WORKS & ENGINEERING VACATION OF
y RIGHT-OF-WAY
DEPARTMENT
LEGAL DESCRIPTION: DESIGN BY: SCALE: FILE NO.:
A portion of lot 24,as shown on the townalts map of Palm Springs,recorded In Book 9,page 432 of JRM 1 = 50' R-02-054
maps,records of San Diego County,California,More Particularly decribed as follows:
The easterly 66.00 feet and the northerly 27.01)fast of lot 24,block 19 of said map. CHECKED BY: W.O. # SHEET NO.:
2OF2
EXHIBIT "D"
ESTOPPEL
(CE CERTIFICATE
UJ� 44L
Tenant: "�t�.24\. _C;LW t�4�
Landlord: CITY OF PALM SPRINGS, a
municipal corporation
Date of Lease: 2 1L00
Shopping Center:
Demised Premises: V
To:
The undersigned hereby certifies as follows:
1 . The undersigned is the tenant ("Tenant") under the above-referenced lease ("Lease")
covering the above-referenced premises ("Demised Premises").
2. The lease constitutes the entire agreement between landlord under the Lease
("Landlord") and Tenant with respect to the Demised Premises and the Lease has not been modified,
changed, altered or amended in any respect except is set forth above.
3. The term of the Lease commenced on , � and, including any
presentl
exercised option or renewal term, will expire on7 44-9w—
W _. Tenant has accepted
possession of the Demised Premises and is the actual occupant in possession thereof and has not
sublet. assigned or hypothecated its leasehold interest. All improvements to be constructed on the
Demised Premises by Landlord have been completed and accepted by Tenant and any tenant
construction allowances have been paid in full.
4. As of this date, to the best of Tenant's knowledge, there exists no breach or default,
nor state of facts which, with notice, the passage of time, or both, would result in a breach or default
on the part of either Tenant or Landlord. To the best of Tenant's knowledge, no claim, controversy,
dispute, quarrel or disagreement exists between Tenant and Landlord.
EXHIBIT "D"
TO LEASE
5. Tenant is currently obligated to pay Monthly Rent in installments of $ 15(p.0'0 per
month, and such monthly installments have been paid not more than one month in advance. To the
best of Tenant' s knowledge, no other rent has been paid in advance and Tenant has no claim or
defense against Landlord under the Lease and is asserting no offsets or credits against either the rent
or Landlord. Tenant has no claim against Landlord for any security or other deposits except $ 15(0"
which was paid pursuant to the Lease.
6. Tenant has no option or preferential right to lease or occupy additional space within the
Shopping Center of which the Demised Premises are a part. Tenant has no option or preferential right
to purchase all of any part of the Demised Premises nor any right or interest with respect to the
Demised Premises other than as Tenant under the Lease. Tenant has no right to renew or extend the
term of the Lease except as set forth in the Lease.
7. Tenant has made no agreements with Landlord or its agent or employees concerning
free rent, partial rent, rebate of rental payments or any other type of rent or other concession except
as expressly set forth in the Lease.
EXHIBIT "D"
TO LEASE
8. There has not been filed by or against Tenant a petition in bankruptcy. voluntary or
otherwise, any assignment for the benefit of creditors, any petition seeking reorganization or
arrangement under the bankruptcy laws of the United States, or any state thereof, or any other action
brought under said bankruptcy laws with respect to Tenant.
9. All insurance which Tenant is required to maintain under the Lease has been obtained
by Tenant and is in full force and effect and all premiums with respect thereto have been paid.
10. undersigned acknowledges that a'� ra the b ry under the
deed of trust encumbering ping Center, that sa' eed of tru. ns an assignment of rents
due under the Lease, I t suing Center under an
agreement of purchasi
a n b as uyer, and Landlord, as
seller, and that said aeni ains an assignment of the Lea either case, the undersigned
acknowledges _ is materially relying on the represents ' f Tenant herein
m
Dated this ILIA day of 4.
By: J ) „��o ak )'A ,i-"'d
Its
EXHIBIT "D"
TO LEASE
EXHIBIT "E"
RULES AND REGULATIONS
1. All loading and unloading of goods shall be done only at the times, in the areas and through
the entrances reasonably designated for such purposes by Landlord.
2. The delivery or shipping of merchandise, supplies and fixtures to and from the Demised
Premises be subject to such rules and regulations as in the reasonable judgment of Landlord are
necessary for the proper operation of the Demised Premises or of the Village Green generally.
3. All of Tenant's refuse and rubbish shall be removed to central trash bins located in the
Village Green , at Tenant's sole cost and expense.
4. No radio or television or other similar device audible outside the Demised Premises shall
be installed without obtaining in each instance the written consent of Landlord. No aerial shall be
erected on the roof or exterior walls of the Demised Premises or on the grounds of the Village Green
without first obtaining in each instance the written consent of Landlord which consent shall not be
unreasonably withheld or delayed. Any aerial so installed without such written consent shall be subject
to removal without notice at any time.
5. No loudspeakers, televisions, phonographs, radios or other devices shall be used in a
manner so as to be heard or seen outside of the Demised Premises without first obtaining in each
instance written consent of Landlord.
6. The outside sidewalks and loading areas immediately adjoining the Demised Premises shall
be kept clean and free from dirt and rubbish by Tenant to the reasonable satisfaction of Landlord, and
Tenant shall not place or permit any obstructions or merchandise in such areas, except to the extent
specifically permitted by the provisions of Tenant's Lease.
7. Tenant shall not burn any trash or garbage of any kind in or about the Demised Premises
or the Village Green generally.
8. Tenant will not allow animals,except seeing eye dogs and horses directly related to this specific
carriage ride operation in,on or about the Demised Premises or the Village Green generally.
9. Tenant shall not use, and shall not allow anyone else to use, the Demised Premises as a
habitation. Such prohibition shall include, without limitation, sleeping, eating or bathing.
10. Tenant shall make no use of the roof without obtaining the consent of Landlord.
11. Tenant shall not place any rubbish or other matter outside any building within the Village
Green , except in such containers is are authorized from time to time by Landlord.
12. Tenant shall comply with all terms and conditions of the Palm Springs Municipal Code
establishing rules and regulations for horse-drawn carriages, including the provisions of Urgency
Ordinance 1622 adopted on 01/02/03, as well as other applicable City regulations; and shall maintain
a current City of Palm Springs Horse-Drawn Carriage Permit for the term of the lease.
EXHIBIT "E"
TO LEASE