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Agenda 10/23/2018 Item #16C 110/23/2018 EXECUTIVE SUMMARY Recommendation to approve a First Amendment to Lease Agreement with Kraft Office Center, LLC, to extend the lease term for the temporary office space utilized by the University Extension Office. OBJECTIVE: To allow for the University Extension Office’s continued occupancy of the temporary office space at the Kraft Center. CONSIDERATIONS: On December 12, 2017, Item 16.D.4, the Board approved a Lease Agreement (Lease) with Kraft Office Center, LLC, for the temporary relocation of the University Extension Office (Extension) due to damage caused by Hurricane Irma. The office is located at the Kraft Center location on Pine Ridge Road west of Interstate 75. The Board-approved Lease provides for a one-year term that is scheduled to expire on December 14, 2018. The landlord has offered to extend the term of the Lease for two additional months, should the repairs at the Extension not be completed prior to the expiration date. At this time, staff has confirmed that the completion date for the repairs will not be met by the expiration of the Lease term, therefore, the extension will be required. All terms contained in the Lease shall remain the same with the exception of the County being allowed to terminate at any time by providing a fifteen-day written notice. FISCAL IMPACT: The rent shall remain the same as in the original lease ($4,336.67 per month) and continue to be withdrawn from the Hurricane Irma Recovery cost center for University of Florida Extension in the Countywide Capital Improvement Fund (301-157112-649990) project number 50154, and reimbursed through County property insurance funds. GROWTH MANAGEMENT IMPACT: There is no impact to the Growth Management Plan. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for Board action. - JAB RECOMMENDATION: To approve and authorize the Chairman to execute the Amendment to Lease Agreement with Kraft Office Center, LLC. Prepared By: Michael Dowling, Sr. Property Management Specialist, Facilities Management Division ATTACHMENT(S) 1. Kraft Center First Amendment 2018 (PDF) 16.C.1 Packet Pg. 605 10/23/2018 COLLIER COUNTY Board of County Commissioners Item Number: 16.C.1 Doc ID: 6397 Item Summary: Recommendation to approve a First Amendment to Lease Agreement with Kraft Office Center, LLC, to extend the lease term for the temporary office space utilized by the University Extension Office. Meeting Date: 10/23/2018 Prepared by: Title: Property Management Specialist, Senior – Facilities Management Name: Michael Dowling 08/10/2018 1:01 PM Submitted by: Title: Deputy Department Head – Public Utilities Department Name: Dan Rodriguez 08/10/2018 1:01 PM Approved By: Review: County Attorney's Office Emily Pepin CAO Preview Completed 09/18/2018 10:00 AM Facilities Management Toni Mott Additional Reviewer Completed 08/10/2018 1:15 PM University Extension Services Twyla Leigh Additional Reviewer Completed 08/10/2018 4:21 PM Public Utilities Department Dan Rodriguez Additional Reviewer Completed 08/13/2018 11:31 AM Public Services Department Steve Carnell Additional Reviewer Completed 08/23/2018 4:55 PM Public Utilities Department Sarah Hamilton Level 1 Division Reviewer Completed 09/02/2018 9:09 PM Public Utilities Department George Yilmaz Level 2 Division Administrator Review Completed 09/04/2018 9:38 AM County Attorney's Office Jennifer Belpedio Level 2 Attorney of Record Review Completed 09/14/2018 8:42 AM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 09/14/2018 10:15 AM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 09/14/2018 11:13 AM Office of Management and Budget Susan Usher Additional Reviewer Completed 09/17/2018 4:16 PM County Manager's Office Geoffrey Willig Level 4 County Manager Review Completed 10/15/2018 11:59 AM Board of County Commissioners MaryJo Brock Meeting Pending 10/23/2018 9:00 AM 16.C.1 Packet Pg. 606 I 2 FIRST AMENDMENT TO LEASE AGREEMENT THIS FIR.ST AMENDMENT TO LEASE AGREEMENT ('Am.ndm.or"} ontrEd tob lnrs _ dry of 201t, by ud bc(\lsr KRAFT OFFICE CENTE& LLC,. flaidr limitcd lirbility compmy, who.c mrilinS .ddrcai i3 1500 Jrh Avcnrr Sorrh tlll, Nrpt6, Flcid. l4llD, hrGriodfcr rrfc."Gd ro rs 'LESSO&" and Collicr County, r poliric.l 3$divbir of thc Sr c o,f Flaidl, wtor mriliru ddrrrs is c/o Rrd Propcr9 Mtnr8?mcot, 3335 E.3I T.nLmi Tnil, SulE l0l, N+|G., Florld. 3,ll12, hc.!ilndlcr rcftrrlod b r! "L8SSEE." RECNALS WHEREAS, thc LESSEE lrd I.ESIX)R hrvc prwiourly catlcd hb r l,t!. Agw'lcnl drlld DccGmhr 12, 2017, hcrcinrftcr Efcrrld to 13 fic 'Ir.rc, .!.ohcd hctrcao .r Bxhibh "A"; WHEREAq rhc LESSEE rod LESSOR .r! do.iro$ of acodiry lho lr.ro io lxtad dE tcrn ud to nodiS thc tcrminrthn Fovkioq rnd NOW, TIIEREFORI, ir cooddcrrhn of thc co E:r.rtt rnd .grlcm t paoviH wilfiin thc Las?, rttd Tcn Dollur (t10.00) rd othcs vllutblc cqltHcrrtiotl thG P.rti6 lirc. r! fullow': Thc forcgoing Rccitels rr! tn5 rad cercsl ud rrc incorpcrtcd by rcfutrn hcrtinl Aniclc 2, Tonrl of t uc, k rmdcd ro cf,Gd lhc lc!$ lctrt lo Fcbaryy 14, 2019, lrd thc rcond prngnpb is rmadcd rs followr: LESSEE en*I#tse* rcrcrvGt thc righr to t3.rlitr.tc rk laro, rt rtry dmG, vifh a wlihout c.[rc, by pmvidlnt i*S.d.'.(60) fifrlGndqv {l5l prlo wrlocn rctkr of &Eh bnnin lim lo ltc dGFr} LEssoR.l thc ddlra sd fonh in Arriclc l3 of this Lcrro. LESSEE shdt bc rcrpootibh lo mly pry fio pmrrlld rmount fa llpl should thc LESEEE not ccllpy tho Dcmird ft,cmha for el cmirt mmtL 3. Ercopt u crprcrrly Fovifcd hgcit\ UlG Lc.t Efi.ht h ftll fttoc lrd ftct Esdiry b tbc tstrtt .nd oonditimr c trircd th€rcftr, rd l.id Lrrr rtd coditinr ue mlicrDlc h.do cilo.Fa r ctF!$ly PEYldod odslbc hstin. IN WITNESS WHEREOF, lt. LESSEE .trd LEIISOR hew trsoro crcltlod dfr Atmdnclr drc dry rnd ,tar firl rborc *rlnar AS TO THE LESSOR:KRAFr OFFTCE CENTE& LrC, r Floridr limitod lirbility DATED: BY w I t .iofzn ( Pdnt Nrm. (pnnt ) @ nlMG I.ESSEE's lign ur! rppcrrs an thc following prgc' Pd Tillc 16.C.1.a Packet Pg. 607 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) AS TO THE LESSEE: DATED: ATTEST: Cryrtrl K, KinzE l, Clcrl of $s Cirruit C.oun rnd ComFrcll€r BY: , DEPUry CLERK Approvcd !s to form .0d letrlitla Jcnnifcr A. Bchodio, Assiglnt County BOARD OF COUNTY COMMISSIONERS COTIIER COUNTY, FLORIDA BY ANDY SOLIS, Erq., CHAIIMAN ^*"y*o" @ 2 16.C.1.a Packet Pg. 608 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) Exhibit'A' Lease # LEASE AGREEMENT THIS LEASE AGREEIVfENT entered into this l2th day of December, 2U17, between KRAFT OFFICE CENTER, LLC, a Florida limited liability company, wirose mailing address is 1500 5th Avenue South #1 I I, Naples, Ftorida 34102, hereinafter referred to as "LESSOR", and COLLIER COLJNTY' a political subdivision of the State of Fiorida, whose mailing address is 3335 Esst Tamiami Trail, Naples, Suite l0l , Ftorida 341 I 2, hereinaffer referred as "LES SEE". WITNES SETH ln consideration ol the mutual covenaots contained herein, and other valuable consideration, the parties agree as follows: ARTICLE I Demis cd Premiscs LESSOR hereby leases to LESSEE and LESSEE hereby leases tiom LESsU-t(- approximately 2,602 square feet of office space locatcd at 3530 Kraft Road, Naples, Florida 34105, Suite 201, as seen on Exhibit .A' which is attached hereto and made a part of this Lease, for the sole purpose of operating a govemrnenl office, together with employee parking, orimight p*king for three County vehicles and Parking for a fwenty- foot-lonitrailer. LESSfE ittuli tuu" Ir.d acceis or another form of entry to the building and to thc Demised Premises at all times, seven days, twenty-four hours' LESSIIE covena3ts and agrees not to us€, occupy, suffer or perrnit said Demised Premises or any part thereof to be used or occupied io, *y pu.poaa contrary to law or the rules or regulations of any public authority. ARTICLE 2.f LeaseTcrm o LESSEE shall have and hold the Demised Premises for a term of one (1) year ('Initial Term') commencing on December 15, 2017 and ending December 14' 2018' LESSEE and LESSSOR reserve the riSht to terminate this Lease, at any time, with or without cause' by providing sixty-day (60) <lays prior written notice of such termination to the other party at the address set forth in ARTICLE 13 of this trase. LESSEE shall not bc required to providc LESSOR with any advanced rent such as security deposit or holding rent. LESSEE is tax exempt a.rd shall provide LBSSOR with its Tax certificate showing its exempt status. ARTICLE 3. Rent LESSEE hereby coveuants and agrees to Pay as base renr for the Demised Premises the sum of Fifty- f*o ffrour-a forty Iiott-s tSiZ,OaO.O6l for thi f:[st year's rent 10 be paid in equal monthly installments of Four Thousand Three Hundred Thirty-Six Dollars and Sixty-Seven cents ($4'336'67). All rental payments shall be due and payable in advance on the first day of every calendar month during the term hireot If the tenns of this Liaie shall commence on a day other than the first day of the 16.C.1.a Packet Pg. 609 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) monrlL LESSEE shalt pay rental equal to onc thinieth (y30th) ofthe monthly renal muhiptied by the number ofrental days ofsuch fractional month. ARTiCLE 4. l,eft blank inrentionally. ARTICLE 5. Other Expenses and Charces Inadditiontothemonthlyrent,theLEsSEEshallpayLEssoRsnadditionalTwoThousandone Hun&eJ Forty-Four Dollars and Fotty-Eigh, C"ott ($2,144.q8). per montl for Corruron Ares Mainlcnansc fees, which intludes electricity, watcr, Irash removal, and janitorial service' LEssEEshallpayallmonthlycostsassociatedwithtelephoneandcommunicationscharges. LESSOR shall be responsiblc for all elements ofthe maintenaoc€ and repair of the bui]diag, exterior landscaping and irrigation, .o.ior p.* control, plumbing and eleckical systems, air<onditioning rcpair' maintenance and replacernent, -i -uit 1,"-. within the Dc;ised Prcmises not statcd above' LESSOR shall provide and pay fol water/sewer monthly charges at the Domised Premises' ARTICLE 6 Modilt ml ls Priortomakinganychanges,alterations,additionsorimPtovementsrotheDemisedPrerniscs' LESSEE will provide to LESSoX-i'fi propoJs and plans for alterations, improvements, changes or additions to the Dernised premises ro, r,ei36ns p;o. *ritr"o approval, spccifying in writing the nature and extent of rhe dcsir.d alreration, i-p,o""-"n,,- Jh*g", o, *iditioo, aLng 'wirh the contemplated, sta'ting ard completion time for such proj""r i*son-o, its designee will rhin have sixty (60) days within which to approve or deny in writing saiO requesr for chaoges, imfrovements, alteralions or additions' LESSOR shall ,'"i ,*"*.r"tfy wi*rfroia ir, .o*.ttt to ,"quittd or aPproPriate alterations, improvcrnents, changcs or additions proposcd by LESSEE. If after ti*t, tOOl aayt if,ete has beeu no written rejection delivered by LESSOR ro LESSEE regardingr*Jpr"p"J' i";h",;h* such silence shall be deemed as en APPROVAL to such rcquest ofLESSEE. LESSEE covenants and agrees in corurcction with any maintcDAnce, -r€pair work, crectioo, gonstruction, impro.,,cmenl, adoition or alterarion of any authorized modificationq additiors or improvements to the Demised pr.iir"t,l to obcrve and comit"."ith all rhen and fthuc applicable laws' ordinances, nrtes, rcsulatioq J;;;;;;J oi the united dtatcs of Anerica, srarc ofrlorids' countv of Collicr, and any and aI govemn.rai agencies having jurisdiction over thc Dcmised Premises' A.llalterations,iErprovemenls,andadditionstotbeDemisedPremisesshallatonce,whenmadeor installed, be deemed "" "ou"n"a -to ,t. fteohold and to havc becornc property of LESSOR ?rior to the terminsrion of this L*sse ,. *;;;";;r- thr"or, pr within thirty '(30) &ys thereafter, if LESSoR so dirccts, LESSEE ,tal pro.pltf',ilw" "u "t* liaip*' impio"tents' 4J"1t':::'iot** *d installarions which were ptacca il - or upon tt " O".ised Prcmiscs iy or on bchalf of LESSEE and whicb are dcsignated in said notice, *a *"u uly aalouga occasioned to thc Demised Prrmiscs by zuch rcmoval La in alfarrtr Oo"of, LESSOR may comptirc said.rcmovals and rqnirs at LESSEE S expenso, ARTICLE 7. Access to Demised Premises LESSO& its duly authorized agents' rcprcs€ntativcs ,and employeeg shatl bave thc right after reasonable oral norice ro LESS;;;; ;;r iia ila upon thc oi-i."d Piemiscs or EDv Pan thcreof at all 2 16.C.1.a Packet Pg. 610 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) reasonable hours for the purposc of examining sane and making repairs or janioria.l servioc therein' and for rhe purposes of inspection for compliance with provisions of this Lcase Agrcemcnt' ARTICLE 8. Assiqnment and Subl€ttins LESSEE covenants and agrees not to assiSn lhis Lease or ro sublcl the whole or any pan of the Demised premises, or to permit ;y other persons, othcr than anothcr county ageDsy, to occupy same ,"i f,ort O. prio, "*p.e.."d written consent oi LgSSOn, Any such assignmcnt or subletting, cven with the consent of LESSOR, shall not relieve LESSEE liom liability for paymenl of rcnt or other sgms herein piovideA or from the obligatio. io t<c"p and be bound by the tirms, ionditions and covenanls oflhis Lease' The scceptance ofrent from -y'ot", p"..oo shal'l nor be decmcd to be a waivcr of any of the provisions of this Lcase or to be a consent to tbe assigrrment ofthis lcasc or subletting ofthe Demised Premises' ARTICLE 9. lndemnitv and lrsuiance Subject ro the limitations of Section 768.28, Florida statucs, LESSEE sball indemniff and save harmlcss the LESSOR torn *a .gui*i *V *a "ff .hioo, u"tion, and suits, and from and sgal4st eny and alt losses, damages, *.t., .i,*gJ., r*iable anomeys' feeg Payments' exper,* and liabilities which LESSOR may sustain o, ir,our to"the extent arising tom ttre ncgligent &ct or negliSe omission of I'ESSEE or its agents, contractors or employces. LESSORs}rallindemnisandsaveharnlesst}eLEssEEfromandagainstanyandallclains,sctions and suits, and from and against any aod all losses, daDsges' costs, chalg€s, rcasonable attorneys' fees, ;;;;";a; "*p"*", ana tia'bi;ries *t i"t tpsser may suslain or incur due to the sole negligent ,ct or negigcnt omission of LESSOR. LEssEEsha.llmairrrainduringthecourseofthisLease,oranyrenewalthereof,comprchcnsive g"rrefut ti"Uitity coverage including uJaity i"1"ty and -property damage' premises and operations coverage' ;;;; il ;r,,pf"ruf, operurioii *r.."g", Umaa forn prip.rty auorg" covcrage., .automobile lisbilitv cove'r'e including o,,r.r"a urto-.obitr, n-oo-rrrr"a automobies' and hired automobiles' and contractusl liability coveruge in - r-ou.rt oiooi less than one Million and 00/100 Doltars ($1,000,000 00) combined single limits. If LESSEE falls under ths Stetp of Florida Worke/s Compensation Law, ooverag€ shall .be provided for dl employees. Tt e cor"r"g; .iuli bc for starutory limits in complianc" yth 9j applicable State and Fcderal taws. The policy must ;l;de Employe/s l-iaUitity wittr a iimit of Onc Hun&cd Thousaod and 00/100 Dollan ($100,000.00) cach accident LEssoRaudLEsSEEonbebalfoflhemselvesandallothenclaimingtmderthem,includingany insruer, waive all claims "g*nrr l""t oo"., including atl righF of subrogalion, fo-r loss or damage to thcir ;;;ii"" property (includlng, Uri r", limiiea to, thc-Oemised Prsr.ises) arising tom firc, smoke darnage' windstorm, hail, vandalism, thcft, malicious mischief and Eny of the other pcrils normally ioswed against in an ..all risk , of physical fo., p"ii"l,, r"Jrrafess of whether ln.u.o,"" ugni*t fhosc pcrils is in effect with respocr to such party's prop".ty u"i'rig"iaf*s of tho.ncgligence of cither party. If either party so requests, the other party shall obtain from its insuri a written waiver o1 utl tigt a of subrogation- that il. may havc against d*;fi iurty. I-essEr.uI *". p..pt notic_e rc LESSOR in casc of fire or accidcnrs in thc Prcmiscs or in tbe Building or of defects tfi*ii o. in the fixturcs or cquipmcnt. I,FSSEE heroby lcknowledges that LESS6R shall not be liable ro, -i i"t"r*prion to LESSEEi. Lusiness for any causc whatsocver, and thal 3 16.C.1.a Packet Pg. 611 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) LEssEEshallobtainbusincssinterruPtioninsurancecoveragcshouldLEsSEEdesiretoprovidecoverage for such risk. ARTICLE IO. LESSOR shatl provide janitorial scrvice to lhe Demiscd Prcmis€s on a weekly basis' ARTICLE I l. Default bv LESSEE rcquired to correct such default)' ARTICLE 12. Detault bv I'ESSOR required to correct suoh dcfault)' ARTICLE 13. Notices Any notice wbich LESSoR or I,ESSEE may bc requircd to givB to the othcr party shall be in writing to the othci party at the following addresses: LESSoR: arur+-! llaregarrra# esnp,tlL fdene$€c€.i$d*b 1500 5t Avenue South, Suilc t l1 Naples, Flori& 34JJ4' ltDL LESSEE'S control excePted. ARTICLE 15, General Provisions Mainlenance !'ailure of LESSEE to comply with any provision or covelumr of tbis Lesse shall const ute a defsult and LESSOR -ay, ut lrsso#5";ili'#il;-iiir r.*r" affer thirtv (30) days written noticc to LESSEE, wrlcss the a"rurrt u" *.ir#*iil-it., ,.,1". paoj-1o. tr"t, ad'ditional timc as is reasonablv FailrueofLEsSoRtocomplywithalyprovisionor-covenaolofthisLcaseshallconstituteadcfault and LESSEE m8y. at LEssE;:"d'il;;;"il;aic ois Lease aier rhirry (30) devs written notice to LESS.R. unlcss rhe a"rrut u. J,#'*irf"'ii" *r* p"foJ tot ,u"h aidiional timc as is rcasonably LESSEE: Board of County Commi ssionoe c./o Real ProP€rtY Management 333 5 Tsmiarni Trail East Naplcs, Florida 341 12 ARTICLE 14. Surrcnder of Premises LEssEEfullyunderstandsthatthepoliceand.Ialenforcerncntsecr:rityprotecrionprovidedbylaw enforcemenr agencies to ttrc oernil-ciFr".i-J, i, riorlt"a to a"t pi"ia.d to ooy otLi u*i,ess or agcncy situatcd in Collier County, and lrssdn- a"L"o"ledcs llrat 'ly #;1:;;ty'tt*""t deerned ococssarv for additional protection of tn u"iir"i-irJ#rJ.f,"U t ,it";i. t tpdJUflitv and cost of LESSEE aad shall involve noiost or exPense to LESSOR' LESSEE oovc[8nB 8nd agrees !o dclivcr up and zunender to LESSOR posscssion of lhe Demised premises upon expirarion of ,hi, I:;;;;;;;;t'r"tt"r,-;o-rnclean a,d in as good condition and repair as rhe sarne sbau be a t" *r;;"r-J.*;;,h. tcrm of ttris trase ot may hsvc bcar -put by LESSOR ot LEssEE d.ring the "o",i"u** J"*or-".ar"-y wear snd ,";;-d-"d by fire or the clements bcyond 4 16.C.1.a Packet Pg. 612 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) LESSEE expressly agrces for itself, its succ€ssor 8nd assigns, to refrain &om aly use-of the Demised Premiscs which would intcrferc with or a&ersely affect thc oPeration or mainteDance of LESSOR'S sUndard h compliance with section 404.056, Plorida stBtutcs, all partics arc hereby made aware ofthe following: Radon is a nahralty occunfurg mdioactive g8s thar, whcn it has accumulatcd in a building in sufrcienr quantities, may present health risks io p".** who are exposcd to i1 ovel time. Levels of radon that cxcecd fldcral and state'guidelincs have been found in buildiags in l'torida. Additional information regarding radon and radon testing may be obtained from your County Public Health Department' operatrons. ARTICLE 16 Radon Gas ARTICLE 17, Effectivc Date This Lease Agreement shall become effectivc upon cxecution by both LESSOR and LESSEE ARTICLE I E. Govcming Law This Lease Agrecment shall be govemed and construEd iu accordance with the laws of the State of Florida. IN WITNESS WHEREoF, 1he panies hereto have hereunder set forth their hands and seals AS TO THE LESSOR:KRAFT OFF]CE CENTEN, Lrc DnrED: l2'tq't BY: Signahlle Tirle t prinl name S (signature) LESSEE's signa re appcars on the following page' ,Jrra,,e-rrr- r.l, $ra,rrrr-s print nrune 16.C.1.a Packet Pg. 613 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) AS TO THE LESSEE: /2 ./ 2 /2 BOARD OF COUNTY COMMISSIONERS' COLLIER COUNTY, FLORIDA PENNY TA AT"I'ES'I': D DATEfi: 1., H.TEB Clerk as to form and lcgality: BY: Couory Aftomey tg tt4 . $l! Jcnnifer "Pt+s 6 16.C.1.a Packet Pg. 614 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC) Exhibit'A' Suite 201 3530 Kraft Road Naples, Florida 34105 S-*L.- .ft! I tl ui lr F r I, I I Il t- I I I iltlL- j j- 16.C.1.a Packet Pg. 615 Attachment: Kraft Center First Amendment 2018 (6397 : First Amendment to Lease Agreement with Kraft Office Center, LLC)