HomeMy WebLinkAboutApproving Agreement City of South Bend, South Bend Community School Corp and to the Civic CenterORDINANCE No. 5879 -75
Passed by the Common Council of the City of South Bend,
AUGUST 25
Presented by me to the Mayor of the City of South Bend,
AUGUST 26
Approved and signed by
IRENE K. GAMMON
75
Clerk
of Common Council
IRENE K. GAMMON
Clerk
/oT
ORDINANCE NO. 5-8 '2 9- -2
AN ORDINANCE APPROVING THE FORM AND TERMS
OF A LEASE AGREEMENT BETWEEN THE CITY OF
SOUTH BEND, INDIANA AND THE SOUTH BEND
COMMUNITY SCHOOL CORPORATION AND AUTHORIZING
THE EXECUTION THEREOF PERTAINING TO THE SOUTH
BEND CIVIC CENTER.
WHEREAS, the South Bend Civic Center Building Authority
has been created under and in pursuance to the provisions of Public
Law 220 of the Indiana General Assembly for the year 1975 and all
acts amendatory thereof or supplemental thereto (hereinafter
referred to as the "Authority ") for the purpose of financing,
acquiring, constructing, equipping and leasing to the City of
South Bend, Indiana (hereinafter referred to as the "City "), land
referred to as the "Civic Center "); and
WHEREAS, the City has requested the Authority to construct
and equip facilities to be used as a civic center for cultural,
governmental, educational, recreational, convention, exhibition,
as well as civic purposes and has or intends to enter into a
lease with the Authority for such purposes; and
WHEREAS, the City and the South Bend Community School
Corporation (hereinafter referred to as "School Corporation ") have
submitted a Lease Agreement, marked "Exhibit A ", attached hereto and
made a part hereof, wherein the City leases to the School Corporation
a portion of the Civic Center for a term of Twenty -Five (25) years,
beginning January 1, 1978 or as soon thereafter as that portion of
the premises is ready for occupancy, for rental in the sum of
One Million Two Hundred Fifty Thousand Dollars ($1,250,000.00)
payable in advance in fifty (50) consecutive, equal
installments of Twenty -Five Thousand Dollars ($25,000.00) each
payable on the 10th day of January and 10th day of July of each
year during the term of this Lease; and
WHEREAS, notice of public hearing on the proposed Lease
Agreement before this Common Council was duly given by the required
legal publication of notice, and said hearing has been held in
accordance with said notice and the governing statute.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of
the City of South Bend, Indiana that:
SECTION I. The form and terms of the Lease Agreement
between the City of South Bend and the South Bend Community School
Corporation, marked "Exhibit A" and attached hereto are hereby
approved.
SECTION II. This Ordinance shall be in full force and
effect from and after its passage by the Common Council and approval
by the Mayor.
Member of t e Common Council
1st READING 75— FILED IN CLERK'S Offlor
PUBLIC HEARING S- as --?5-
2nd READING 8 -,Q 5 -'2 5- AUG 6 1975
NOT APPROVED
REFERRED
PASSED 8 -12 S-'2 S Irene Gammon
CITY CLERK, SOUTH BEND, IND.
THORNsusio. MCGILL.
DEAHL HARMAN.
CAR(Y 0 MURRAY
LEASE AGREEMENT
AGREEMENT, entered into by and between the Civil City
Of South Bend, Indiana,, hereinafter referred to as "Lessor ", and
South Bend Community School Corporation, hereinafter referred to
as "Lessee ", for and in consideration of their mutual promises,
covenants and agreements hereinafter set forth and for other good
and valuable consideration, the parties hereto agree as follows:
1. Lessor hereby leases to Lessee that portion of the
South Bend Century Center located in South Bend, Indiana, described
on the plans and specifications for said South Bend Century Center
as follows:
River Level
E111 Lapidary /Ceramics Studio
D147 Drama Classroom
C103 Music Classroom with C104 and C105, and
Recording Room C -M101
Upper Level
E311 Painting and Drawing Classroom
2. The term of this lease shall begin on January 1, 1978,
or on the day after that date upon which the aforesaid portion of
the South Bend Century Center leased hereunder, hereinafter referred
to as the "Premises ", is completed, ready for occupancy by Lessee and
accepted by Lessee. Acceptance by Lessee shall not be unreasonably
withheld. The term of this lease shall be twenty -five (25) years
beginning
on
the
aforesaid date.
3.
The
rental for the Premises shall be the sum of One
Million Two Hundred Fifty Thousand Dollars ($1,250,000.00) payable
in advance in fifty (50) consecutive, equal instalments of Twenty -
five Thousand Dollars ($25,000.00) each payable on the 10th day of
January and 10th day of July of each year during the term of this
lease.
4. Lessor shall furnish, at its sole expense and cost,
to the Premises during the term of this lease water, gas, heat,
!air conditioning, janitorial and maintenance services and security
.'1 4111 IIAi1MRN
t. n111 �. M11l111A,
guard services. It is intended that this lease be a "Net" lease
to Lessee. Lessor shall during the term of this lease keep the.
corridors, grounds, and common areas of Century Center maintained
at its own expense and in a neat and tidy condition.
5. Students of Lessee may use the following facilities
within South Bend Century Center on weekdays between the hours of
8:00 A.M. and 5:00 P.M., subject to coordination by Lessor with
other authorized users of the following facilities, with no charges
being assessed for such use during such hours: Theater, Recital
Hall, Discovery Hall and Gallery. Use by Lessee, its students,
employees and invitees, of the facilities described in this Para-
graph 5 and other portions (than the leased Premises) of the South
Bend Century Center shall be coordinated between Lessee, other
authorized users and the Lessor. Lessee shall be given considera-
tion and, once Lessee has reserved the facilities (or a portion
thereof) described in this Paragraph 5, such facilities (or portion)
so reserved shall not be preempted by or for other users. For
hours on weekends and after 5:00 P.M. on weekdays, Lessee may use
the facilities described in this Paragraph 5, assuming they are not
otherwise rented, without additional rental being payable by
Lessee. However, if Lessee charges an admission fee involving
its use of such facilities, then Lessee shall pay a reasonable
rental fee to Lessor therefor. Lessee agrees to comply with the
rules and regulations for use of such space when it uses the same.
6. Lessee shall use the Premises for school purposes in
conducting instructional programs and other matters related thereto
in the fine arts. Lessee shall have full, exclusive control and
decision - making power over the nature of the instructional pro-
grams conducted in the Premises, the hours during which such
programs are conducted and the,personnel who shall conduct such
programs. Notwithstanding the foregoing, the Lessee shall have
such control and decision - making power only over those portions
of the Premises that it shall not have sublet, as hereinafter pro-
vided. Any expenses incurred by Lessee in the conduct of Lessee's
programs shall be borne by Lessee.
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111011 N1111 NIi M�Llll
DL.111 NAIIMAN
1P(111 A MI11111AY
7. Lessor shall at its sole expense provide comprehensive
insurance coverage over the South Bend Century Center, including
the Premises, together with waiver of all right to subrogate by
such carrier or carriers of any and all claims it may or might
have against Lessee. Should the Premises be so injured or damaged
by fire, windstorm or other catastrophe as to be rendered untenant-
able, the rent otherwise due hereunder shall abate during the
period the Premises are untenantable. Should the Lessor elect
not to rebuild and make said Premises tenantable, then Lessee shall
have the option to terminate this lease by written notice to Lessor
effective on the 90th day after the date of mailing such notice.
Lessor shall name Lessee and any sublessee of Lessee as additional
parties insured on its general liability policy covering the South
Bend Century Center. Lessee shall obtain at its sole expense
insurance coverage for the contents of the Premises. Lessor shall
have no responsibility for loss of any personal property of Lessee
or of Lessee's subtenants or invitees of either or both of them in
the Premises due to theft, mysterious disappearance, fire, wind-
storm or other casualty unless any act or omission of Lessor, its
employees or agents, shall have prevented Lessee from obtaining and
maintaining insurance coverage at reasonable cost against such risks,
and in such event Lessor shall have responsibility.
8. Lessee has and shall have during the term of this
lease the right and poorer to sublet any part or all of the leased
Premises, including but not by way of limitation the subletting
of Rooms E111 and E311, to a community art center on terms and
conditions acceptable to Lessee. In no event shall any of such
subleases extend beyond the term of this lease. Such sublease
or subleases shall be subject to all of the conditions and limita-
tions of this lease and such sublessee(s) take notice thereof.
9. Lessee covenants that should it make default in its
agreement to pay the rent above provided to be paid, or any part
thereof, or in any of the other covenants and agreements herein
-3-
contained, it will at once deliver peaceable possession of said
Premises to the Lessor and, failing to do so, it shall be lawful
for the Lessor, its successors or assigns, without notice, to
',declare said term ended and to reenter said demised Premises, or
any part thereof, either with or without process of law, and to
expel, remove and put out the Lessee, or any person or persons
occupying the same, using such force as may be necessary so to do,
and to repossess and use said Premises as before this demise,
without prejudice to any remedies which might otherwise be used
'for arrears of rent or preceding breach of covenants, and Lessee
further covenants and agrees that Lessor shall have, at all times,
the right to distrain for rent due, and shall have a lien upon all
personal property of Lessee in the Premises, whether exempt by law
,:or not, as security for the payment of the rent herein covenanted
!to be paid. Provided, however, that Lessee shall have a "grace
:period" of 30 days within which to correct any default hereunder
l after written notice specifying the default is served upon it by
Lessor, and if Lessee shall fail to correct such specified default
;within said period, then Lessee shall be considered in default
under this lease at the option of Lessor. Written notice shall be
served by U.S. registered mail on the Superintendent of Schools at
his office and be effective upon.mailing, postage prepaid.
10. After the service of notice, or the commencement
of a suit, or after final judgment for possession of said Premises,
Lessor may receive and collect any rent due and the payment of said
,rent shall not waive or affect said notice, said suit or said
judgment.
11.. It is expressly agreed that no waiver nor apparent
;waiver, nor the failure of Lessor to require strict performance of
any condition, covenant or agreement shall estop the Lessor from
.enforcing such condition, covenant or agreement, nor any other
condition, covenantor agreement shall at any time be implied.
i
[At the termination of this lease, by lapse of time or otherwise,
I
THORNtlU1tQ MCGILL. I
UEAHL. HAh MAN.
CAREY p MURRAY
-4-
THORNBURG. MCWLL,
OEANE. HARMAN,
CAREYA MURRAY
,Lessee will yield up immediate possession to Lessor.
12. It is also agreed that the Lessee shall pay and
!discharge all reasonable costs, attorney's fees and expenses that
shall be made and incurred by the Lessor in enforcing the covenants
and agreements of this lease, including the agreement to deliver
possession for any reason herein provided; conversely, the Lessor
shall pay and discharge all reasonable costs, attorney's fees and
expenses that shall be made and incurred by the Lessee in enforcing
.the covenants and agreements of this lease incumbent upon the
_Lessor to be performed.
13. It is agreed that all payments herein provided to
be made shall be made without relief from valuation or appraisement
laws, and all payments required to be made which shall not be made
1 .'at the time due shall bear interest at the rate of six per cent.
(6%) per annum from date of delinquency.
14. It is also agreed that any property or equipment
,installed in the Premises by Lessee shall not become a fixture and
the same may be removed by Lessee at any time, provided only that
;Lessee shall promptly repair at its expense any portion of the
',Premises damaged by such removal.
15• This lease shall be effective only in the event of
the approval thereof of the Board of Tax Commissioners as required
by IC 6- 1- 67 -5.5•
16. The parties to this lease agree that the covenants
and agreements herein contained shall be binding upon, apply and
inure to their respective successors and assigns.
IN WITNESS WHEREOF, the undersigned set their hands and
seals this day of , 1975.
CIVIL CITY OF SOUTH BEND, INDIANA
i By
iAttest:
I
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Lessor
ffammitut 1epart
Xv the (IIantawn (Qounril of Or (pity of Ooutl? Ernk
Your Committee of the Whole
to whom was referred
AN ORDINANCE APPROVING THE FORM AND
TERMS OF A LEASE AGREEMENT BETWEEN THE
CITY OF SOUTH BEND, INDIANA, AND THE
SOUTH BEND COMMUNITY SCHOOL CORPORATION,
AND AUTHORIZING THE EXECUTION THEREOF
PERTAINING TO THE SOUTH BEND CIVIC
CENTER.
Respectfully report that they have examined the matter and that in their opinion the Ordinance Should be
recommended favorably to the Common Council.
Odell Newburn
Chairman
FX.. ..... b ,YBLI9XING CO.