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HomeMy WebLinkAbout09439RESOLUTION NO. 9439 A RESOLUTION APPROVING A LEASE EXTENSION AGREEMENT BETWEEN THE CITY OF PUEBLO AND BUELL DEVELOPMENT CORPORATION FOR THE PREMISES KNOWN AS MIDTOWN SHOPPING CENTER, 1000 W. 6 STREET, SUITE R, PUEBLO, COLORADO BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Lease Extension Agreement between the City of Pueblo and the Buell Development Corporation for the Midtown Shopping Center Satellite Court located at Midtown Shopping Center, 1000 W. 6 Street, Suite R, Pueblo, Colorado, a copy of which is attached hereto and incorporated herein, having been approved as to form by the City Attorney, is hereby approved. The President of the City Council is hereby directed and authorized to execute the Agreement in the name and on behalf of the City and the City Clerk is directed to affix the seal of the City thereto and attest same. SECTION 2. Lease payments required under the Lease Extension Agreement shall be paid from Account No. 101 -03 20- 411.44 -01. SECTION 3. This Resolution shall become effective upon final passage. INTRODUCED: November 26, 2001 NCIL P APPROVED: RE�f�ENT OF CITY COUNCIL ley ATTESTED BY: CLERK x � Background Paper for Proposed RESOLUTION 10 ,0 o . -1 �, AGENDA ITEM # 9 DATE: NOVEMBER 26, 2001 DEPARTMENT: CITY MANAGER TITLE A RESOLUTION APPROVING A LEASE EXTENSION AGREEMENT BETWEEN THE CITY OF PUEBLO AND BUELL DEVELOPMENT CORPORATION FOR THE PREMISES KNOWN AS MIDTOWN SHOPPING CENTER, 1000 W. 6 STREET, SUITE R, PUEBLO, COLORADO ISSUE Approval /disapproval of a one -year lease for the Satellite Court facility. RECOMMENDATION The Approval of the one -year lease with Buell Development Corporation. BACKGROUND The Pueblo Municipal Court needs the Satellite Court at Midtown Shopping Center to continue efficient and effective processing of criminal, traffic, zoning, sales tax and health cases. The present 4,500 sq. feet main court is insufficient to run two concurrent court sessions. For the past five years, we have utilized the 2,700 sq. ft. Satellite Court to alleviate customer traffic and vehicular parking problems at the main court building. The Satellite Court houses two of the three JAIBG juvenile diversion programs run by the Municipal Court, including Teen Court. It also is the site for attorney pre -trial conferences and all zoning, sales tax and health arraignment/trials. The Satellite facility is critical in the collection efforts of the court, as it allows for payment of fines whenever concurrent court sessions are scheduled (currently three times per week). FINANCIAL IMPACT Funds for rental of this facility along with other operating costs are from the Municipal Court budget, which has been approved by Council for the past five years. The budget projections for rent for year 2002 have been included in the 2002 budget, which is presently before Council. LEASE EXTENSION AGREEMENT DATED NOVEMBER 26, 2001 WHEREAS, THE BUELL DEVELOPMENT CORPORATION, as Landlord, and PUEBLO, a MUNICIPAL CORPORATION (Municipal Court), as Tenant, entered into a Shopping Center Lease which was Dated December, 1996, and amended by a Lease Extension Agreement dated May 12, 1997, and amended by Lease Extension Agreement dated May 26, 1998, covering the premises known as Midtown Shopping Center, 1000 W. 6th Street, Suite R, Pueblo, Colorado. WHEREAS, Tenant has requested a renewal of their lease, and Landlord and Tenant desire to further amend said Lease; NOW, THEREFORE, Landlord and Tenant agree as follows: 1. TERM: The renewal term of the Lease for the demised premises shall be one (1) year and commence on January 1, 2002 and terminate on December 31, 2002 both dates inclusive. 2. MINIMUM RENT: The Minimum Rent in Article 3 of the Shopping Center Lease Agreement shall be the following amount: $2,780.86 per month from 1/1/02 — 12/31/02, plus a full pro -rata share of all operating expenses. The Shopping Center Lease, as amended by this Lease Extension Agreement shall remain in full force and effect. In the event any portion of said Shopping Center Lease is inconsistent with any provision of this Agreement, the Provisions of the Agreement shall control. That agreement shall include the following provisions: 1. Financial obligations of Tenant payable after the current fiscal year are contingent upon funds for that purpose being appropriated, budgeted, and otherwise made available. 2. Tenant may terminate the Shopping Center Lease as extended, without liability or penalty, for any reason at any time, upon giving Landlord sixty (60) days prior written notice of termination specifying the date of termination, and by paying the unamoritized portion of the leasing commissions. IN WITNESS, WHEREOF, Landlord and Tenant have executed this Lease Extension Agreement the day and year noted below. LANDLORD: BUELL DEVELOPMENT CORPORATION TENANT: CITY OF PUE13LO A MUNICIP4 CORPORATION BY rZ td tjS5/5 _, sore - uX j DATE: BY "-' �I `� ��L —� rPr side t of City Council DATE: November 26, 2001 ATTEST �'1_