Agenda 05/24/2016 Item #16E 6 5/24/2016 16.E.6.
EXECUTIVE SUMMARY
Recommendation to approve a First Amendment to Lease Agreement with Horseshoe Drive
Development,L.C.for office space to be utilized by the Growth Management Division.
OBJECTIVE: To revise the commencement date of a previously approved Lease Agreement.
CONSIDERATION: At its January 26, 2016 regular meeting (Item 16-E-5), the Board of County
Commissioners approved a Lease Agreement with Horseshoe Square Development, L.C. (Landlord), for
office space to accommodate approximately 36 expanded positions within the Growth Management
Division. The leased space is located within walking distance of the GMD building on Horseshoe Drive
North in the building known as Horseshoe Square.
The original commencement date of the Lease was February 1,2016,which was later delayed to March 1,
2016, by mutual consent of the Landlord and the County. The County, however, has been unable to
occupy the leased space due to delays in completing certain improvements promised by the Landlord.
The purpose of this First Amendment is to revise the commencement date and term of the Lease. The
new lease term will run for thirty-four months beginning on May 1, 2016 and expiring on February 28,
2019 (Initial Term). All other terms and condition of the Lease Agreement will remain the same. The
Lease includes a provision for the Lease to automatically renew annually. The Lease also allows the
County to terminate the Lease any time following the Initial Term by providing 90-day written notice.
FISCAL IMPACT: As stated in the January 26th Executive Summary, the annual rent of$100,842 will
be paid in equal monthly installments of $8,403.50, and monthly utility charges to the appropriate
companies,shall be withdrawn from(113) Community Development, (131)Planning Services.
GROWTH MANAGEMENT: There is no Growth Management Impacts associated with this Executive
Summary.
LEGAL CONSIDERATIONS: The County Attorney has reviewed this item and approved it as to form
and legality. Majority support of the Board is required for approval. -JAK
RECOMMENDATION: That the Board of County Commissioners approves and authorizes its
Chairman to sign the attached First Amendment to Lease Agreement.
PREPARED BY: Michael Dowling, Senior Property Management Specialist
Division of Facilities Management
Attachments: 1) First Amendment to Lease Agreement
[16-RPR-02829/1253561/11
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COLLIER COUNTY
Board of County Commissioners
Item Number: 16.16.E.16.E.6.
Item Summary: Recommendation to approve a First Amendment to Lease Agreement
with Horseshoe Drive Development, L.C., for office space to be utilized by the Growth
Management Division.
Meeting Date: 5/24/2016
Prepared By
Name: DowlingMichael
Title:Property Management Specialist, Senior,Facilities Management
5/2/2016 9:13:25 AM
Approved By
Name:AmannStephanie
Title:Manager-Financial&Operational Support,Operations &Regulatory Management
Date: 5/2/2016 10:28:17 AM
Name: MottToni
Title:Manager-Property Acquisition&Const M,Facilities Management
Date: 5/2/2016 10:51:48 AM
Name: KovenskyKenneth
Title: Division Director-Operations Support,Operations &Regulatory Management
Date: 5/2/2016 3:52:46 PM
Name: LinguidiDennis
Title:Division Director-Facilities Mgmt,Facilities Management
Date: 5/2/2016 3:59:01 PM
Name: FrenchJames
Title:Deputy Department Head-GMD,Growth Management Department
Date: 5/4/2016 2:06:51 PM
Name: KlatzkowJeff
Title: County Attorney,
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5/24/2016 16.E.6.
Date: 5/9/2016 11:11:40 AM
Name: PriceLen
Title: Department Head-Administrative Svc,Administrative Services Department
Date: 5/11/2016 10:39:07 AM
Name: KlatzkowJeff
Title: County Attorney,
Date: 5/11/2016 1:14:58 PM
Name: IsacksonMark
Title: Division Director-Corp Fin&Mgmt Svc, Office of Management&Budget
Date: 5/13/2016 9:14:47 AM
Name: WellsLaura
Title: Management/Budget Analyst, Senior,Office of Management&Budget
Date: 5/13/2016 4:30:48 PM
Name: CasalanguidaNick
Title:Deputy County Manager, County Managers Office
Date: 5/15/2016 10:34:05 PM
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Lease#GMD- 102
FIRST AMENDMENT TO LEASE AGREEMENT
THIS FIRST AMENDMENT TO LEASE AGREEMENT entered into this day of
, 2016, by and between Horseshoe Square Development, L.C., c/o
Pelconcepts, Inc., whose mailing address is 650 15th Avenue South,Naples, Florida 34102, hereinafter
referred to as "LESSOR," and Collier County, a political subdivision of the State of Florida, whose
mailing address is c/o Real Property Management, 3335 East Tamiami Trail, Suite 101, Naples,
Florida 34112,hereinafter referred to as"LESSEE."
WITNESSETH
WHEREAS, the LESSOR and LESSEE have previously entered into a Lease Agreement dated
January 26, 2016, a copy of which is attached hereto and hereinafter referred to as"Lease Agreement;"
and
WHEREAS, the LESSOR and LESSEE are desirous of amending the Lease Agreement to
revise the commencement date of the Lease Agreement; and
NOW THEREFORE, in consideration of the covenants and agreements provided within said
Lease Agreement, which is attached herein and made a part hereof, and Ten Dollars ($10.00) and other
valuable consideration, said Lease Agreement is hereby amended as follows:
1. ARTICLE 2. (Term of Lease), is hereby amended to read as follows:
LESSEE shall have and hold the Demised Premises for a term of three(3)years, commencing
on February 1, 2016 May 1, 2016 and ending January 31, 2019 February 28, 2019, hereinafter
referred to as the"Initial Term."
* * * * *
2. Except as expressly provided herein, the Lease Agreement remains in full force and effect
according to the terms and conditions contained therein. If there is a conflict between the terms of this
First Amendment and the Lease Agreement,the terms of this Amendment shall prevail.
Signatures appear on the following page.
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IN WITNESS WHEREOF, the LESSOR and LESSEE have hereto executed this First
Amendment to Lease Agreement the day and year first above written.
AS TO THE LESSOR:
HORSESHOE SQUARE DEVELOPMENT, L.C.,
ATTEST: By: Pelconcepts,Inc.,its managing member
BY:
Antoinette Pelc, Secretary W. VINCE PELC,President
AS TO THE LESSEE:
BOARD OF COUNTY COMMISSIONERS,
ATTEST: COLLIER COUNTY,FLORIDA
DWIGHT E. BROCK,Clerk
BY: BY:
,Deputy Clerk DONNA FIALA, Chairman
Approved s ; f • legality:
11111111
Jeffrey A. 4 . .kow
County Atte
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Lease # 447
j 6
LEASE AGREEMENT
1/ _
THIS LEASE AGREEMENT entered into this y 0 day of J4d --4 A ,
2016, between Horseshoe Development, L.C., cio Pelconcepts, Inc., whose mailing addres is 650 1511'
Avenue South, Naples, Florida 34102, hereinafter referred to as "LESSOR", and COLLIER COUNTY, a
political subdivision of the State of Florida, whose mailing address is 3335 East Tamiami Trail, Naples,
Florida 34112,hereinafter referred as "LESSEE".
WITNESSETH
In consideration of the mutual covenants contained herein, and other valuable consideration, the
parties agree as follows:
ARTICLE 1. Demised Premises
LESSOR hereby leases to LESSEE and LESSEE hereby leases from LESSOR the property
described as 2685 Horseshoe Square, Units 103, 104 and 105, Naples Florida, totaling 7,203 square feet,
hereinafter referred to as the "Demised Premises," as shown on Exhibit 'A' which is attached hereto and
made a part hereof this Lease Agreement ("Lease"), for the sole purpose of operating a government
office.
ARTICLE 2. Term of Lease
LESSEE shall have and hold the Demised Premises for a term of three (3)years, commencing on
\�� FQ ) 1, 2016 and endingJa"xuei -3-1-,2019, here n'afler referred to as the"Initial Term".
i,4 Lei- J%CAxu.�2re.j .2 'F V
LESSEE is granted the option, provided in default of any of the terms of this Lease, to
automatically renew this Lease annually following the Initial Term, under the terms and conditions as
provided herein.
LESSEE reserves the right to terminate this Lease, at any time following the Initial Term, by
providing the LESSOR with ninety (90) days prior written notice of such termination to the address set
forth in ARTICLE 14 of this Lease. Said notice period shall be effective upon placement of the written
notice in an official depository of the United States Post Office, Registered or Certified Mail, Postage
Prepaid.
ARTICLE 3. Rent
LESSEE hereby covenants and agrees to pay as rent,which includes Common Area Maintenance
("CAM") charges, for the Demised Premises, the sum of One Hundred Thousand Eight Hundred Forty-
Two Dollars and No Cents ($100,842.00) per annum in equal monthly installments of Eight Thousand
Four Hundred Three Dollars and Fifty Cents ($8,403.50) each, LESSOR acknowledges that LESSEE
shall not provide LESSOR with any security deposit.
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All rental payments shall be due payable in advance on the first day of every calendar month
during the term hereof. If the terms of this Lease shall commence on a day other than the first day of the
month, LESSEE shall pay rental equal to one thirtieth (1/30th) of the monthly rental multiplied by the
number of rental days of such fractional month.
ARTICLE 4. Renewal Term Rent
Following the first full year of tenancy, the annual rental amount shall increase by four (4)
percent, compounded, for each ensuing year thereafter and any renewal terms thereof.
ARTICLE 5. Other Expenses and Charges
LESSOR shall be responsible for all costs associated with the operation and maintenance of the
air-conditioning/heating, electrical and lighting systems, plumbing system, and pest control at the
Demised Premises.
LESSEE shall be responsible for the procurement and the payment of electric and
communications utilities and those monthly charges, and janitorial services used, rendered or supplied
thereupon or in connection with the Demised Premises.
LESSEE shall be responsible for any minor plumbing and electrical maintenance issues,
including light bulbs and light ballasts, at the Demised Premises caused by LESSEE'S occupancy and
use thereto, as well as the cost of the installation, repair and maintenance of any additional electrical
outlets or power poles, other than those provided by LESSOR in the existing space, needed by LESSEE
for its office configuration and operation.
ARTICLE 6. Modifications to Demised Premises
Prior to making any changes, alterations, additions or improvements to the Demised Premises,
LESSEE will provide to LESSOR all proposals and plans for alterations, improvements, changes or
additions to the Demised Premises for LESSOR'S written approval, specifying in writing the nature and
extent of the desired alteration, improvement, change, or addition, along with the contemplated starting
and completion time for such project. LESSOR or its designee will then have sixty (60) days within
which to approve or deny in writing said request for changes, improvements, alterations or additions.
LESSOR shall not unreasonably withhold its consent to required or appropriate alterations,
improvements, changes or additions proposed by LESSEE. If after sixty (60) days there has been no
response from LESSOR or its designee to said proposals or plans, then such silence shall be deemed as
an approval to such request of LESSEE.
LESSEE covenants and agrees in connection with any maintenance, repair work, erection,
construction, improvement, addition or alteration of any authorized modifications, additions or
improvements to the Demised Premises, to observe and comply with all then and future applicable laws,
ordinances, rules, regulation, and requirements of the United States of America, State of Florida, County
of Collier, and any and all governmental agencies.
All alterations, improvements, and additions made to the Demised Premises shall at once, when
installed, be deemed as attached to the freehold and to have become property of LESSOR. Prior to the
termination of this Lease or any renewal term thereof, or within ten (10) days thereafter, if LESSOR so
directs, LESSEE shall promptly remove the additions, improvements, alterations, fixtures and
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installations which were placed in, on or upon the Demised Premises by LESSEE and which are
designated in said notice, and repair any damage occasioned to the Demised Premises by such removal
and in default thereof, LESSOR may complete said removals and repairs at LESSEE'S expense.
LESSEE covenants and agrees not to use, occupy, suffer or permit said Demised Premises or any
part thereof to be used or occupied for any purpose contrary to law or the rules or regulations of any
public authority.
ARTICLE 7. Access to Demised Premises
LESSOR, its duly authorized agents, representatives and employees, shall have the right after
reasonable notice to LESSEE, to enter into and upon the Demised Premises or any part thereof at all
reasonable hours for the purpose of examining same and making repairs or janitorial service therein, and
for the purposes of inspection for compliance with the provisions of this Lease.
ARTICLE 8. Assignment and Subletting
LESSEE covenants and agrees not to assign this Lease or to sublet the whole or any part of the
Demised Premises to any entity other than a County agency, or to permit any other persons to occupy
same without the written consent of LESSOR. Any such assignment or subletting, even with the consent
of LESSOR, shall not relieve LESSEE from liability for payment of rent or other sums herein provided
or from the obligation to keep and be bound by the terms, conditions and covenants of this Lease. The
acceptance of rent from any other person shall not be deemed to be a waiver of any of the provisions of
this Lease or to be a consent to the assignment of this Lease or subletting of the Demised Premises. The
LESSOR reserves the right to assign this Lease subject to the term of the Lease.
ARTICLE 9. Insurance
The LESSEE will at all times carry comprehensive general liability insurance to include bodily
injury in an amount not less than the sum of One Million Dollars and 00/100 Cents ($1,000,000.00)
single occurrence. The cost of all such premiums on all such policies shall be paid and borne by the
LESSEE insuring LESSOR and LESSEE against any liability arising out of the use, occupancy or
maintenance of the Demised Premises, including loss of income. The insurance policy or policies shall
contain provisions prohibiting the modification or cancellation of insurance without at least thirty (30)
days prior written notice to LESSOR. LESSEE shall deliver said policies or certificates thereof to
LESSOR prior to LESSEE'S occupancy of the Demised Premises, and thereafter, renewal policies or
certificates shall be delivered to LESSOR not less than thirty (30) days prior to expiration. The limit of
any such insurance shall not limit the liability of LESSEE hereunder. LESSEE may provide this
insurance under a blanket policy provided said insurance shall have a LESSOR'S protective liability
endorsement attached thereto.
ARTICLE 10. Claims Arising from LESSEE'S Use of Premises
To the extent permitted in Florida Statute, 768.28, LESSEE shall indemnify and hold LESSOR
harmless against and from any and all claims arising from LESSEE'S use of the Premises, or from the
conduct of its business, or from any activity, or work done, permitted or suffered in or about the
Demised Premises, and LESSEE shall further indemnify and hold LESSOR harmless against and from
any and all claims arising from any act or negligence of LESSEE, its officers;ants, employees, guest
or invitees. If any action or proceeding is brought against LESSOR by reason of such claim, LESSEE,
3
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upon notice from LESSOR, shall defend the same at LESSEE'S expense by counsel reasonably
satisfactory to LESSOR. LESSEE shall give prompt notice to LESSOR in case of casualty or accidents
in or about the Demised Premises.
LESSOR shall indemnify and hold LESSEE harmless against and from any and all claims arising
from LESSOR'S use of the Premises, or from the conduct of its business, or from any activity, or work
done, permitted or suffered in or about the Demised Premises, and LESSOR shall further indemnify and
hold LESSEE harmless against and from any and all claims arising from any act or negligence of
LESSOR, its officers, agents, employees, guest or invitees. If any action or proceeding is brought
against LESSEE by reason of such claim,LESSEE, upon notice from LESSOR, shall defend the same at
LESSOR'S expense by counsel reasonably satisfactory to LESSEE.
ARTICLE 11. Maintenance
LESSEE shall, at its sole cost and expense, keep the Demised Premises clean at all times. If said
Demised Premises are not kept clean in the opinion of LESSOR, LESSEE'S manager will be so advised
in writing. If corrective action is not taken within thirty (30) days of the receipt of such notice, LESSOR
will cause same to be cleaned and corrected and LESSEE shall assume and pay all necessary cleaning
costs and such costs shall constitute additional rent which shall be paid by LESSEE within thirty (30)
days of receipt of written notice of costs incurred by LESSOR.
ARTICLE 12. Default by Lessee
Failure of LESSEE to comply with any provision or covenant of this Lease shall constitute a
default, and LESSOR may, at LESSOR'S option,terminate this Lease after sixty(60)days written notice
to LESSEE, unless the default be cured within the notice period(or such additional time as is reasonably
required to correct such default). Subject to LESSEE'S good faith effort to correct such default.
ARTICLE 13. Default by Lessor
LESSOR shall in no event be charged with default in the performance of any of its obligations
hereunder unless and until LESSOR shall have failed to perform such obligations within ninety (90)
days (or such additional time as is reasonably required to correct such default) after notice to LESSOR
by LESSEE properly specifying wherein LESSOR has failed to perform any such obligations.
ARTICLE 14. Notices
Any notice which LESSOR or LESSEE may be required to give to the other party shall be in
writing to the other party at the following addresses:
LESSEE: LESSOR:
Property Management Specialist Horseshoe Square Development, L.C.
Real Property Management c/o Pelconcepts,Inc.
3335 East Tamiami Trail, Suite 101 650 15th Avenue South
Naples,Florida 34112 Naples,Florida 34102
cc: Administrator, Growth Management
Department
4
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ARTICLE 15. Surrender of Premises
LESSEE covenants and agrees to deliver up and surrender to LESSOR possession of the
Demised Premises upon expiration of this Lease, or its earlier termination as herein provided, broom
clean and in as good condition and repair as the same shall be at the commencement of the term of this
Lease or may have been put by LESSOR or LESSEE during the continuance thereof, ordinary wear and
tear and damage by fire or the elements beyond LESSEE'S control excepted.
ARTICLE 16. General Provisions
LESSEE fully understands that the police and law enforcement security protection provided by
law enforcement agencies to the Demised Premises is limited to that provided to any other business or
agency situated in Collier County, and LESSOR acknowledges that any special security measures
deemed necessary for additional protection of the Demised Premises shall be the sole responsibility and
cost of LESSEE and shall involve no cost or expense to LESSOR.
LESSEE expressly agrees for itself, its successor and assigns, to refrain from any use of the
Demised Premises which would interfere with or adversely affect the operation or maintenance of
LESSOR'S standard operations where other operations share common facilities.
ARTICLE 17. Radon Gas
In compliance with Section 404.056, Florida Statutes, all parties are hereby made aware of the
following:
Radon is a naturally occurring radioactive gas that, when it has accumulated in a building in
sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of
radon that exceed federal and state guidelines have been found in buildings in Florida. Additional
information regarding radon and radon testing may be obtained from your County Public Health
Department.
ARTICLE 18. Effective Date
This Lease shall become effective upon execution by both LESSOR and LESSEE.
ARTICLE 19. Governing Law
This Lease shall be governed and construed in accordance with the laws of the State of Florida.
(Signatures appear of the following page.)
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IN WITNESS WHEREOF, the parties hereto have hereunder set forth their hands and seals.
AS TO THE LESSOR:
DATED: 2 0 HORSESHOE SQUARE DEVELOPMENT,L.C.
By: Pelconcepts, Inc.,its managing member
ATTEST:
14i" 4.'e Pe& BY: 6'%i
4
Antoinette Pelc, Secretary W.VINCE PELC, President
AS TO THE LESSEE:
DATED: /-- 26, /c," BOARD OF COUNTY COMMISSIONERS,
r � = COLLIER COUNTY, FLORIDA
ATTEST
DWIGHT.BRICK, Clerk
_ r „
BY: 944-77710-- -
eti y Glerlc k=ttest as;t Chairma r s .....6U,r'/t4 6=/4Lel-, L- 1A .0 1" A ^/
A
signature'On .:
Approved a.toV
and-legality:
' f
Jeffrey A. K4 r
atz <' 'w, County Attorney
i
6 11:) ?:
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Exhibit 'A'
2685 Horseshoe Drive South
Units 103,104 and 105
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