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HomeMy WebLinkAboutResolution 70-10 (2)TSE :mi 2/23/70 ']/1~/70 LAND LEASE PREMISES TEP~M THIS LEASE, made and entered into as of the 1st day of May, 1970, by and between INDEPENDENT SCHOOL DISTRICT NO. 13, STATE OF MINNESOTA, a school district organized and existing under the laws of the State of Minnesota, (hereinafter called "Lessor"), and City of Columbia Heights, a municipal corporation under the laws of the State of Minnesota, (herein- after called "Lessee"). WITNESSETH THAT: 1. Lessor does hereby demise and lease unto Lessee, and Lessee does hereby hire and take from Lessor subject to all the terms and con- ditions hereof, all that certain tract of land, but excluding any improve- ments hereafter placed thereon, situate in the City of Columbia Heights, County of A~oka and State of Minnesota, described as follows, to-wit: That part of Lots 8 through 16,inclusive,Block 38, Columbia Heights Annex to Minneapolis, Anoka County, Minnesota, and the vacated alley within said Block 38, described as follows to wit: Beginning at the Southeast Corner of said Block 38; thence West along the South line of said Block 38 (assuming the South line to be a due East and West line), a distance of 148 feet; thence N5°20'E, a distance of 131 feet; thence N60° 45'E, a distance of 152.5 feet more or less to a point of inter- section with the East line of said Block 38; thence South along said East line a distance of 204 feet more or less to the point of beginning, containing 0.53 acres more or less. Ail according to the recorded plat thereof, Anoka County, Minnesota. together with all rights, privileges, easements and appurtenances belonging to or in any way pertaining to the above described tract of land, (which tract of land and said rights, privileges, easements and appurtenances are hereinafter called the "Leased Premises"), but subject to restrictions, covenants, reservations and easements of record, if any. 2. The term of this Lease shall commence on the 1st day of May, 1970 and shall continue until the 30th day of April, 1995, and also from year to year thereafter (a year, for purposes hereof, being the period from the 1st day of May to the 30th day of April), until and unless termi- nated by either party hereto by written notice given to the other party not later than February 1 of any year during the term hereof; provided, however, that no such notice of termination shall be given so as to terminate this Lease earlier than April 30, 1995. All dates are inclusive. TSE :mj 1/29/70 RENTAL 3. Rent shall be One Dollar ($1.00) per year, payable in advance on the commencement date of the lease term, and on each anniversary date thereafter for the full term of this Lease, and payable to the Lessor at the address to which notices are then to be sent pursuant to Article 15 hereof. TAXES~ ASSESS- 4. Lessee agrees to pay or cause to be paid before penalty MENTS, ETC. attaches for nonpayment all taxes, special assessments, fees or other charges of whatsoever nature heretofore or hereafter levied, assessed or imposed by federal, state or local authorities on the Leased Premises, including any improvements now or hereafter located thereon or on the ownership thereof, which are due and payable during the term hereof, commencing with those payable in 1970 and concluding with those payable in the calendar year in which the term of this Lease expires without any proration thereof. If at any time any taxes, special assessments, fees or other charges due and payable during the term hereof, commencing with those payable in 1970 and concluding with those due and payable in the calendar year in which the term of this Lease expires, shall be levied by the State of Minnesota or any political subdivision thereof against Lessor with respect to its interest in the Leased Premises, or rentals payable by Lessee hereunder in lieu of, or in substitution in whole or in part for any taxes, special assessments, fees or other charges that might otherwise be levied or assessed by such taxing authority on the Leased Premises or any part thereof, including any improvements thereo~, Lessee agrees to pay or cause to be paid before penalty attaches for nonpayment any and all such taxes, special assessments, fees or other charges. With respect to special assessments for public improvements or benefits which by law are payable, or at the option of the taxpayer, may be paid in installments, Lessee shall pay all such installments together with -2- TSE:mj 1/29/70 accrued interest thereon commencing with those payable in 1970 and con- cluding with those payable in the calendar year in which the term of this Lease expires. Lessee shall not be in default hereunder in respect to the pay- ment of any taxes, special assessments, fees or other charges which Lessee ~shatl be required by any provision hereof to pay so long as Lessee shall first notify Lessor in writing at least fifteen (15) days before the date penalty attaches for nonpayment thereof of its intention to contest such payment and shall thereafter in good faith contest such payment, provided that the interest of Lessor in the Leased Premises is not thereby for- feited. Lessee may file in its name or the name of Lessor, or both, all such protests or other contests, but shall, at the request of Lessor, furnish assurance reasonably satisfactory to Lessor that Lessee will indemnify Lessor against any loss or liability by reason of such contest, such assurance, however, not to exceed, in bond or in cash, one and one- half times the then amount of the items being contested. USE, ORDINANCES, BUILDING RESTRICTIONS, ETC. 5. Lessee agrees to use the Leased Premises only for development thereon of a public park, and Lessee further covenants that in the use of the Leased Premises during the term of this Lease it will, at its own expense, comply with all valid zoning and building restrictions and all valid applicable laws, ordinances and regulations of duly constituted public authorities now or hereafter in any manner affecting the Leased Premises and the improvements thereon or the use thereof whether or not any such laws, ordinances or regulations which may hereafter be enacted involve change of policy on the part of the governmental body enacting the same, and Lessee will do any work or make any alteration in the Leased Premises -3- and the improvements thereon which is required to make such premises conform with the requirements and standards of all valid laws, ordinances and regulations now or hereafter applicable to the Leased Premises whether the work involved is structural or otherwise. Lessee agrees to indemnify and hold Lessor harmless from the consequences of any violation of any such law, ordinance or regulation. Lessee further agrees that it will not permit any unlawful occupation, business or trade to be conducted on the Leased Premises or any use to be made thereof contrary to the use permitted hereby or contrary to any valid law, ordinance or regulation as aforesaid with respect thereto, and further agrees to protect Lessor, the Leased Premises and all improvements, whether heretofore or hereafter constructed thereon, against any tax, fee or other charge or penalty imposed or levied upon the Leased Premises or any improvements thereon on account of any failure to comply with any such valid law, ordinance or regulation or the provisions of this Lease. LESSEE'S RIGHT TO BUILD, ALTER AND DEMOLISH 6. At any time and from time to time during the term of this Lease, Lessee shall have the right, at its own cost and expense: (a) To construct upon the Leased Premises, and thereafter demolish and remove from the Leased Premises such building or buildings and such other improvements as it may at any time and from time to time during the term of this Lease deem desir- able for use of the Leased Premises as and for a public park; (b) To alter, improve, enlarge or remodel for use as and for a public park, any building or buildings or other improve- ments now or hereafter located on the Leased Premises. The rights of Lessee defined in this paragraph 6 are contingent in each instance upon (i) Lessee not then being in default under any of the terms, covenants or conditions of this Lease to be kept or performed by it, and (ii) Lessor having first given, in each instance, its written -4- approval of the work then to be done by Lessee pursuant to this para- graph 6, which approval shall not unreasonably be withheld; provided, however, that no such approval of Lessor~ need be obtained for landscaping, construction and maintenance of sidewalks and paths, or installation and repair of decorative or other lighting systems. Lessor requires that Lessee so obtain Lessor's prior written approval for the purposes, among others, of determining that all buildings and improvements con- structed by Lessee upon the Leased Premises, to the greatest extent possible, will be usable for park purposes and also for the purposes for which Lessor then is using, or thereafter will or may use, its ad- joining property and any improvements then or thereafter constructed thereon, and for determining that such improvements constructed by Lessee will blend aesthetically with the Lessor's adjoining property and any improvements then or thereafter constructed thereon. Ail demolition, construction and other work, once commenced, shall be done as expeditiously as reasonably possible, in a good and workmanlike manner, in accordance with all applicable laws and ordinances and the Leased Premises shall be kept free of mechanics' liens resulting therefrom. LESSEE TO HAVE TITLE TO I~ROVE~NTS 7. Lessee at all times during the term of this Lease shall have title to any and all building, buildings or other improvements hereafter constructed on the Leased Premises. Upon expiration or termination of this Lease by any cause whatsoever, Lessee immediately shall commence to remove all buildings and improvements placed upon the Leased Premises by it and to restore the Leased Premises to the same condition, as nearly as is practicable, they were in at the commencement of the term of this Lease, and such removal and restoration shall be done as expeditiously as rea- sonably possible, in a good and workmanlike manner, in accordance with all applicable laws and ordinances and free of mechanics' liens. If Lessee fails or refuses to remove all such buildings and improvements and to restore the Leased Premises as herein required within thirty (30) days after such expiration or termination, then Lessor shall have the option, exercisable by notice to Lessee given after said thirty (30) day period (i) to remove all such buildings and improvements placed upon the Leased Premises by Lessee and to restore the Leased Premises to the same con- dition, as nearly as is practicabl~ they were in at the co~encement of -5- the term of' th~s Lease and Lessee agrees to pay on demand all costs incur- red by Lessor in so doing, including reasonable attorneys' fees, with interest thereon at 8% per annum until paid, or (ii) to take title to the building, buildings or other improvements then located on the Leased Premises, and if (ii) be elected such title shall automatically, without action on the part of either of the parties hereto, vest in Lessor, its successors and assigns. Lessee covenants and agrees that upon expira- tion or termination of this Lease by any cause whatsoever and election by Lessor of (ii) above, it will execute and deliver to Lessor a bill of sale, without warranties of any kind, to such building, buildings and other improvements and a quit claim deed to the Leased Premises, all to be filed at the expense of Lessee. INSURANCE 8. If during the term of this Lease any building, buildings or PROCEEDS other improvements, now or hereafter constructed upon the Leased Premises are damaged or destroyed by fire or any other casualty whatsoever, Lessee shall be entitled to the entire proceeds of all insurance which are payable by reason of such damage or destruction. LIENS OR 9. Lessee will not permit any mechanics', laborers' or material- ENCUMBRANCES men's liens to stand against the Leased Premises for any labor or material furnished or claimed to have been furnished in connection with any work performed or claimed to have been performed on the Leased Premises; pro- vided, however, that Lessee shall have the right to contest the validity or amount of any such liens if Lessee shall give reasonable security (not to exceed one and one-half times the amount of the lien) as may be de- manded by Lessor to insure payment thereof, and to prevent any forfeiture of the Leased Premises by reason of such nonpayment. Upon final deter- mination of such lien action, Lessee shall immediately pay any judgment rendered constituting a lien against the Leased Premises. MAINTENANCE AND 10. Lessor shall not be required to make any expenditure what- PROTECTION soever in maintenance of the Leased Premises or of any improvements thereon. Lessee, at its own expense, shall keep all buildings and improvements at any time on the Leased Premises in good condition and state of repair, shall keep all grass, trees and shrubs at any time on the Leased Premises trimmed and in a neat and good condition, and shall immediately remove any refuse or debris of any kind deposited by any person in any manner upon the Leased Premises. Lessee further agrees to provide, at its expense, suc]~ po]ice and ortner prokectlon and patrolling as may be necessary to -6- keep the Leased Premises and the property adjoining the same at all times for use by the general public and to prevent property damage, personal injuries, vandalism and malicious mischief from occurring on the Leased Premises or on the property adjoining the same. INDEmnIFICATION 11. Lessee agrees to hold Lessor harmless from any and all OF LESSOR claims for damage or injury arising out of or as a result of Lessee's use of the Leased Premises or any improvements thereon or of any breach or default of Lessee in the performance of any of its covenants hereunder. Without limiting Lessee's liability hereunder, Lessee further agrees to maintain comprehensive general liability insurance protecting Lessor equally with Lessee from liability with respect to accidents occurring on or about the Leased Premises or arising out of the use thereof, in rea- sonable amounts, but not less than $50,000 for injury or death to any person and $300,000 for injuries and/or deaths arising out of any one accident and $50,000 for any property damage claims'arising out of any one accident, written by companies and on policies reasonably acceptable to Lessor and will deliver to Lessor evidence of such insurance. Said minimim amounts shall be increased, from time to time during the term hereof (but not decreased), to the maximum amounts of liability for personal and property damage to which a Minnesota municipality or school district, whoever has the greater liability, may hereafter be made subject by statute or otherwise, and if the liability of Lessor should hereafter be determined by statute or othen~ise to be unlimited, the amounts of liability insurance to be maintained by Lessee pursuant to this paragraph 11 shall be such amounts as shall be required from time to time by Lessor. UTIPlTIES 12. Lessee will pay or cause to be paid all charges for any utility used, rendered or supplied upon or in connection with the Leased Premises or any improvements thereon during the term hereof and will save Lessor harmless against any liability or expense for any such charge. EMINENT 13. If the Leased Premises, or any part thereof, be taken under DO~tN the power of eminent domain, then this Lease shall terminate as of the date of such taking. ASSIGNmeNT AND 14. Lessee shall not assign, mortgage or encumber this Lease or any SUBLETTING interest therein in whole or in part nor sublet the Leased Premises or any part thereof, without first obtaining, in each case, the written consent of Lessor, which shall not unreasonably be withheld, and such consent by Lessor if given, -7- shall not release Lessee from liability for the performance of all obligations imposed upon Lessee herein but Lessee shall continue to be liable for NOTICES performance of all such obligations. 15. Any notice or ~equest herein required or permitted to be given or served shall be deemed given and served if and when mailed in a sealed envelope by United States registered or certified mail, postage prepaid, properly addressed to the address hereinafter specified. Lessee agrees to give notice inm~ediately to Lessor of any notice served upon Lessee which in any manner affects Lessor's interest in the Leased Pre- mises. Unless and until changed by notice as herein provided, notices and communications shall be addressed as follows: If to Lessor: 1400 49th Avenue Northeast Minneapolis, Minnesota 55421 If to Lessee: 590 40th Avenue Northeast Minneapolis, Minnesota DEFAULT~ TRANSFER BY OPERATION OF LAW, RELATED RE~DIES 16. Lessor and Lessee agree to the following provisions re- lating to default, transfer by operation of law and related remedies: (a) At the option of Lessor, Lessee shall be considered in default if, during the term of this Lease, there shall happen or exist any of the events, conditions or circumstances in (i) or (ii) following: (i) If default shall at any time be made by Lessee or any assignee of Lessee in payment of the rent or any part thereof when due to Lessor as herein required, or if default shall be made by Lessee or its assigns in any of the other agreements, conditions or undertakings in this Lease contained and to be kept, observed and performed by Lessee or its assigns, and if such default shall continue for thirty (30) days after notice thereof in writing to Lessee or its assigns(provided that if such other default shall require more than thirty (30) days to correct and Lessee commences action to correct such default within said thirty (30) day period, the Lessee shall have such additional time as is reasonably necessary to correct such default provided correction is thereafter continuously and diligently prosecuted) then, and in that event, Lessor may, at its election, declare said term ended, and said Leased Premises and the build- ings and improvements then situate thereon or any part thereof, either with or without process of law, may forthwith thereafter be re-entered and repossessed by Lessor, and Lessee and every other person occupying said Leased Premises or any part thereof may be expelled, removed and put out, using such force as may be necessary in so doing, and the said Leased Premises and buildings and improvements then situate thereon shall thereupon and thereafter become and belong to Lessor, free and clear of any claims whatsoever of Lessee or any person -8- TSE:mj 1/29/70 or persons claiming under Lessee but subject to the provisions of Article 7 hereof, and upon such termination all obligations of Lessor and Lessee hereunder shall cease except for such obligations of Lessee to Lessor (1) as may then have occurred or accrued, (2) as may thereafter occur or accrue due to the acts or negligence of Lessee occurring prior to such termination, and (3) as may exist pursuant to said Article 7. (ii) Lessee will not permit, by voluntary acts (except as provided in Article 14 of this Lease), by involuntary acts, by bankruptcy or otherwise, any trans- fer by operation of law of the interest in said Leased Premises acquired through this Lease. If any such trans- fer occurs, Lessor after giving the notice required by (i) above and after failure of Lessee within the applic- able period to rescind, withdraw, revoke, re-transfer or prevent any such transfer, may declare this Lease terminated and may take immediate possession of the Leased Premises as provided in (i) above. (b) Lessee waives any demand for possession of said Leased Premises in the event of forfeiture of this Lease and waives any demand for payment of rent hereunder and any notice of intention of Lessor to terminate this Lease or to re-enter said Leased Premises other than the notice of default hereinabove provided for, and waives any and every notice or demand prescribed by the statutes of the State of Minnesota and any other law applicable, and Lessee agrees that written notice of default hereinabove provided for may be given in the manner specified in this Lease. (c) Except for the requirement of notice of default in (a) hereof, no remedy herein or elsewhere in this Lease or otherwise conferred upon or reserved to Lessor shall be con- sidered exclusive of any other remedy, but shall be cumulative and in addition to every other remedy given hereunder or now or hereafter existing at law or in equity or by statute. Every power and remedy given by this Lease to Lessor may be exercised from time to time and as often as the occasion may arise or as may be deemed expedient. No delay or omission of Lessor to exercise any right or power arising from any default shall impair any such right or power or shall be considered to be a waiver of any such default or an acquies- cence therein. No waiver of any breach of any covenant, agreement or provision of this Lease shall be construed or held to be a waiver of any other breach, or waiver, acquies- cence in or consent to any further or succeeding breach of the same covenant, agreement or provision. No waiver shall be effective or binding upon Lessor unless in writing and executed by Lessor and Lessee with the same formality as this Lease. -9- LESSEE PAY ATTORNEYS' FEES 17. If Lessor shall, without any fault on its part, be made party to any litigation commenced by or against Lessee or any assignee or sublessee of Lessee, Lessee shall, and hereby agrees to, pay all costs and reasonable attorneys' fe~s incurred by or imposed upon Lessor by or in connection with such litigation and also to pay all costs and reasonable attorneys' fees which may be incurred or paid by Eessor in enforcing the covenants and agreements of this Lease. LEASE BINDING 18. Ail covenants, agreements, provisions and conditions of ON SUCCESSORS~ ETC. this Lease shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns, and shall be deemed to run with the land. The phrase "Lease term", or similar phrase, as used in this Lease shall mean and include the first twenty-five year term of this Lease and each and every year thereafter during which this Lease is in effect, unless specifically herein stated to the contrary. NO O?~AL 19. It is expressly agreed between Lessor and Lessee that there AGREEMENTS is no verbal understanding or agreement other than expressed herein, and there are no verbal understandings or agreements which in any way change the terms, covenants and conditions herein set forth, and that no modifica- tion of this Lease shall be effective unless made in writing and duly executed by the parties hereto with the same formalities as this Lease. CONDITION OF PREMISES UPON SURRENDER 20. At the expiration of the Lease term, Lessee will quit and surrender the Leased Premises peaceably to Lessor. HOLDING OVER 21. In the event Lessee continues to occupy the Leased Premises THE PREMISES after the expiration of the term of this Lease, then such occupancy shall create a tenancy at will only and shall in no event be deemed a renewal of this Lease and either party may terminate said tenancy at will upon notice to the other party in accordance with the laws of the State of Minnesota. During such tenancy at will the terms and conditions hereof shall apply. SHORT FORM 22. The parties hereto, upon written request of either party, LEASE shall execute and deliver a short-form lease which shall include the -]0- TSE:mj i/[~//O legal description of [he Leased Premises, the purposes for which the Leased Premises are leased, and the length of the term and shall incorporate by reference only the other provisions of this Lease. Such short-form lease shall be recorded at the request of either party, but at Lessee's expense. IN WITNESS ~EREOF, the parties hereto have caused this Lease to be duly executed as of the day and year first above written. In Presence 9f: INDEPENDENT SCHOOL DISTRICT NO. 13 By ~ Its Board Chairman And ~. ~-~J~~4-~'w~-- Its Clerk OF MINNESOTA) ) ss. OF HENNEPI~ this 14th day of May , 1970, before me, Notary ~ithin and for said County personally appeared N. Seim and P. Braun to me personally known , being each by me duly n did say that they are respectively Board Chairman and the Clerk of CITY OF COLUMBIA the corporation named in the foregoing strument, that said instrument was signed and coated in City Council and said H.N. acknowledged said instrument to tion. of said corp by authority of its and R.P. Braun act and deed of said corpora- THOMAS S. ERtCKSON Henne!~in County, Minn. Expires July 20, 1973o STATE OF MINNESOTA) :,,, My COUNTY OF /~) SS. ~/~n this day of , 1970, me, a Notar3~ublic within and for said County personally appeared and to me personally known, who, -]1- STATE OF MiNNESOTA) ) ss. COUNTY OF ) On this __day of , 19~0, before me, a Notary Public within and for said County personally !appeared and to me personally known,.who, being each by me duly sworn did say that they are respectively the and the of CITY OF COLIP4BIA HEIGHTS, the corporation named in the foregoing instrument, and that the seallaffixed to said instru- ment is the corporate seal of said corporation, and that said instrument was signed and Sealed in behalf of said corporation by authority of its City Council and said and acknowledged said instrument to be the free act and deed of said corpora- tion. STATE OF MINNESOTA) ) SS. COUNTY OF HENNEPIN ) On this 14thday of May , 1970, before me, a Notary Public within and for said County personally appeared H. N. Seim and R.P. Braun to me personally known, who, being each by me duly sworn did say that they are respectively the Board Chairman and the Clerk of ih~EPENDENT SCHOOL DISTRICT NO. 13, the school district named in the foregoing instrument,-and that thc that said instrument was signed and 2ca!cd in behalf of said school district by authority of its School Board and said H. N. Seim and R.P. Braun acknowledged said instrument to be the free act and deed of said school district. No~a~ Public, Hennepin Count~, MinN. My ¢ommissio~ ~pires JUly 20, 1973. -12-