HomeMy WebLinkAbout2001-24530 RESO
RESOLUTION NO. . 2001-24530
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA,
AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE A LEASE AGREEMENT BETWEEN THE CITY
OF MIAMI BEACH AND THE CONCERT ASSOCIATION OF
FLORIDA, INC., FOR THE MANAGEMENT AND
OPERATION OF THE COLONY THEATRE, LOCATED AT
1040 LINCOLN ROAD, MIAMI BEACH, FLORIDA, FOR A
THREE YEAR TERM, COMMENCING ON AUGUST 1,2001,
AND ENDING ON JULY 31, 2004; FURTHER WAIVING, BY
5/7THS VOTE, THE APPRAISAL REQUIREMENT, AS SET
FORTH IN SECTION 82-39 OF THE MIAMI BEACH CITY
CODE, FINDING SUCH WAIVER TO BE IN THE BEST
INTEREST OF THE CITY
WHEREAS, on July 27, 1988, the Mayor and City Commission adopted Resolution
No. 88-19309, approving a Lease Agreement between the City and the Concert Association of
Greater Miami, Inc. (subsequently renamed the Concert Association of Florida, Inc.), for the
management and operation of the Colony Theater, located at 1040 Lincoln Road, which term oflease
was to expire on August 31, 1994; and
WHEREAS, on December 15, 1993, the Mayor and City Commission adopted Resolution
No. 93-20990, approving the execution of a new Lease Agreement with the Concert Association,
which term of lease was to expire on August 31, 1997; and
WHEREAS, on July 16, 1997, the Mayor and City Commission adopted Resolution
No. 97-22464, approving an amendment to the aforestated December 15, 1993, Lease Agreement,
extending its term for one three (3) year period, terminating on August 31, 2000; and
WHEREAS, on July 12,2000, the Mayor and City Commission adopted Resolution No.
2000-23984, authorizing the Administration to negotiate an extension to the existing Lease
Agreement with the Concert Association until the issuance and award of an RFP and subsequent
contract authorization for the future management and operation of the Colony Theatre; and
WHEREAS, the Administration concluded that it would be in the City's best interest to
issue an RFP, and competitively bid for the future management and operation of the Colony Theatre;
and
WHEREAS, on July 26, 2000, the Mayor and City Commission adopted Resolution
No. 2000-24034, authorizing the Administration to issue an RFP for the future management and
operation of the Colony; and
WHEREAS, only one organization, the Concert Association, responded to the RFP; and
WHEREAS, on March 12, 2001, the Evaluation Committee, which reviewed the proposal,
voted unanimously to recommend to the City Manager that the Concert Association be awarded the
management and operation of the Colony Theatre, subject to the City Administration negotiating a
lease agreement; and
WHEREAS, on April 18,2001, the Mayor and City Commission adopted Resolution
No. 2001-24321, accepting the City Manager's recommendation and authorizing the Administration
to negotiate a lease agreement; and
WHEREAS, the City and the Concert Association negotiated and agreed to the terms and
conditions contained in the attached Lease Agreement.
WHEREAS, on June 6, 2001, the Mayor and City Commission adopted Resolution
No. 2001-24454, setting a Public Hearing on June 27, 2001, to consider the Lease Agreement; and
WHEREAS, on June 27, 2001, the Mayor and City Commission opened and continued to
July 18,2001, said Public Hearing, to consider said Lease Agreement; and
WHEREAS, Section 82-39 of the Miami Beach City Code, governing the sale/lease of
public property, provides for the waiver of competitive bidding and appraisal requirements, by 517ths
vote of the Mayor and City Commission, upon a finding by the Mayor and City Commission that the
public interest would be served by waiving such conditions; and
WHEREAS, waiver of the competitive bidding requirements is not necessary due to the fact
that the lease being awarded is pursuant to a competitive RFP process.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission authorize the Mayor and City Clerk to execute a lease agreement between the City of
Miami Beach and the Concert Association of Florida, Inc., for the management and operation of the
Colony Theatre, located at 1040 Lincoln Road, Miami Beach, Florida, for a three year term,
commencing on August 1,2001, and ending on July 31, 2004; further waiving, by 517ths vote, the
appraisal requirement, as set forth in Section 82-39 of the Miami Beach City Code, finding such
waiver to be in the best interest of the City.
PASSED and ADOPTED this
July 18,2001.
ATTEST:
APPROVED AS TO
FORM & LANGUAGE
& FOR DIOUTION
III MAYOR
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T:IAGENDAI2001IJULl801IREGULARICOLONY AJliIJAIt I j i- "1-1).. - &J /
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EXHIBIT 1
Operating Budgets
COLONY THEATRE FY 1998.99 FY 1999-2000 FY 2000-2001
Operating Budgets Actual Actual Proiected
Fiscal Year 7/1 to 6/30
REVENUES
Theatre Rental 139,530 103.643 100,000
Insurance Reimbursement 12,925 9,877 9.000
Interest Income 210 82 100
Grant - MBVCAlMBCAC 0 0 0
Grant - City of Miami Beach 50.000 45,000 45,000
Grant - MDCAC Capital Development & CMB Match 10,859
Box-Office Ticket Fees 21.248 23.588 24,000
Concession Sales/Cafe Lease - Net Incl. Util. 334 7,560 30,600
Per Service Staff 8.767 9,317 10,500
Equipment Rental 7,434 12,136 10,000
TOTAL REVENUES 240,448 222,062 229,200
EXPENSeS
Colony Management Staff 110.821 109.111 99,700
House Manager 8,950 5,889 7.000
Payroll Taxes/Insurance & Fringes 10,077 11,699 11,500
Professional Services - Grants, Accounting & Legal 4,305 1,152 2,500
Cleaning Service / Exterminator 3,155 4,487 4,300
Per Service Staff 7,390 5,289 10,000
Stage Expense & Equipment Rental $,192 1,833 800
CAF Administration Allocation 30,000 30,000 30,000
Telephone 4,043 4,045 4,500
Security 3,677 760 700
Office Supplies & Expenses 2.235 2,592 2,200
Insurance (gross-subject to tenant reimbursement) 17,000 15,083 16,000
License & Sales Taxes 12,649 12,497 12,500
Bank Charges 81 101 150
Utilities 25,809 20,913 22,000
Trash Pick-Up 5,774 2,375 6.588
Maintenance & Renovations 6.12t 10,561 2,700
Advertising / Marketing 9,832 0 0
Printing I Brochures 0 150 0
Miscellaneous
TOTAL EXPENSES 267,111 238,637 233,138
SURPLUS / (DEFICIT) -26,663 -16.475 -3,938
COLONY THEATER FY 2001-2002 FY 2002-2003
Operating Budgets Projected Projected
Fiscal Year 7/1 to 6/30 [Closed for 6 mos.
Renovations]
Theater rental 50,000 108,000 Note 1
Insurance reimbursement 4,500 10,000 Note 1
Interest income 100 100
Grant - MBVCAlMBCAC 16,000 20,000 Note 2
Grant - City of Miami Beach 60,000 60,000 Note 3
Grant - MDCAC Capital Deve/. + CMB Match 0 0
Box Office Commissions & ticket fees 12,000 25,000 Note 1
Concession sales/Cafe lease - net inc/. uti/. 26.000 32,000 Note 4
Per Service staff 4,050 11,000 Note 1
Equipment Rental 5,000 11 ,000 Note 1
TOTAL REVENUES 177,650 277,100
EXPENSES
Colony Management Staff 64,500 111,500 Note 5
House Manager 4,000 7,500 Note 5
Payroll taxes, insurance & fringes 6,500 12,500 Note 5
Professional Svc. - grants, accting. legal 2,500 3,100
Cleaning service, exterminator 2,500 4,500
Per Service staff 5,000 10,000
Stage expense & Equipt. rental 800 3,000
CAF Administrative allocation 30,000 30,000 Note 6
Telephone 2,500 4,500
Security 700 1,000
Office supplies & expenses 1,400 2,250
Insurance (gross - subject to tenant reimb.) 8,000 16,000
Licenses & sales taxes 12,500 12,500
Bank Charges 150 150
Utilities 14,000 25,000 Note 7
Trash pick-up 6,600 6,600
Maintenance & renovations 0 0
Advertising, marketing 15,000 25,000 Note 2
Printing & brochures 1,000 2,000 Note 2
Miscellaneous 0
TOTAL EXPENSES 177,650 277,100
SURPLUS/(DEFICIT) 0 0
Note 1:
Note 2:
Note 3:
Note 4:
Note 5:
Note 6:
Note 7:
*
The theater will be closed for @ 6 mos. for renovations.
No rental or service incomes are recognized for that period.
Marketing/advertising contemplates resumption of Marketing grant
funding from MSCAC &Ior MBVCA.
See narrative - Marketing/Advertising
CMS annual subsidy required based on historic profit/loss statements
Although Colony Cafe will remain open during most of renovations,
it is expected that construction will reduce sales, and may force
short-term closure of cafe, thus reducing rental income.
Some Colony staff will be furloughed while closed for construction.
Includes ratable expenses of bookkeeping, reporting, mailing, other services
Utilities expenses will continue for Cafe while theater is closed.
Income from Cafe includes costs of utilities.
MDCAC Capital Development Funds are recognized when released for
current use. Release of funds is contingent on receipt of City
matching funding.
EXHIBIT 2
Lease Agreement
COMMISSION MEMORANDUM NO.
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CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
http:\\ci.miami-beach.f1.us
TO:
FROM
SUBJECT:
Mayor Neisen O. Kasdin and
Members of the City Commission
Jorge M. Gonzalez \ . .~
City Manager c) t-N 0
DATE: July 18,2001
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE A LEASE AGREEMENT BETWEEN THE
CITY OF MIAMI BEACH AND THE CONCERT ASSOCIATION OF
FLORIDA, INC., FOR THE MANAGEMENT AND OPERATION OF THE
COLONY THEATRE, LOCATED AT 1040 LINCOLN ROAD, MIAMI
BEACH, FLORIDA, FOR A THREE YEAR TERM, COMMENCING ON
AUGUST 1,2001, AND ENDING ON JULY 31, 2004; FURTHER WAIVING,
BY S!7THS VOTE, THE APPRAISAL REQUIREMENT, AS SET FORTH
IN SECTION 82-39 OF THE MIAMI BEACH CITY CODE, FINDING SUCH
WAIVER TO BE IN THE BEST INTEREST OF THE CITY
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANALYSIS
On July 27, 1988, the Mayor and City Commission adopted Resolution No. 88-19309, approving
a Lease Agreement between the City and the Concert Association of Greater Miami, Inc.
(subsequently renamed the Concert Association of Florida, Inc.), for the management and
operation of the Colony Theatre, located at 1040 Lincoln Road. Said Lease Agreement expired on
August 31,1994.
On December 15, 1993, the Mayor and City Commission adopted Resolution No. 93-20990,
approving the execution of a new Lease Agreement with the Concert Association. In accordance
with the terms of said Lease Agreement, the City would provide an operating subsidy to the
Concert Association of $70,000 in 1995, $65,000 in 1996, and $60,000 in 1997, and would be
responsible for the maintenance of the facility. Said Lease Agreement expired on August 31, 1997.
On July 16,1997, the Mayor and City Commission adopted Resolution No. 97-22464, approving
an amendment to the Lease Agreement extending its term for one (I) three-year period, which
commenced September I, 1997 and expired on August 31, 2000. During that time period, the City
provided an operating subsidy to the Concert Association of $55,000 in Fiscal Year 97/98, $50,000
in FY 98/99, and $45,000 in FY 99/00. The City continues to fund an operating subsidy of $45,000
during FY 00/01. A copy of the Concert Association's "Operating Budgets" (Exhibit I) reflects an
AGENDA ITEM _R'l e
DATE 7-{?-O (
ongoing annual operating deficit, inclusive of the City's $45,000 subsidy and $30,000 management
fee payments.
In light of the fact that the Lease was set to expire on August 31, 2000, the matter was referred to
the Miami Beach Cultural Arts Council (MBCAC), along with a copy of a draft of a new Request
for Proposals, for their review and recommendations.
On May 5, 2000, the MBCAC approved a motion recommending to the City Commission that the
current Lease Agreement for the Colony Theatre be extended until the issuance and award of the
Request for Proposals (RFP) and subsequent contract authorization.
On July 12,2000, the Mayor and City Commission adopted Resolution No. 2000-23984, authorizing
the Administration to negotiate an extension to the existing Lease Agreement with the Concert
Association until the award of a contract for the future management and operation of the Colony
Theatre.
On July 26, 2000, the Mayor and City Commission adopted Resolution No. 2000-24034, authorizing
the Administration to issue an RFP for the future management and operation of the Colony Theatre.
The RFP addressed the existing sublease with the cafe adjacent to the Theatre, and required that the
successful proposer retain Colony Cafe, Inc. as the cafe operator, in accordance with the terms the
existing sublease. On October 19, 1999, the City Commission approved a sublease between the
Concert Association and Colony Cafe, Inc. for an initial period of six (6) years, a term which extends
well beyond the Concert Association's remaining Lease term, which was to expire on
August 31, 2000. Said sublease includes a non-disturbance and attornment clause which requires
that any subsequent lease would be subject to the existing cafe sublease. The cafe has been operating
since June 2000.
On August 8, 2000, RFP No. 86-99/00 was issued and notices were sent to 302 individuals/firms,
with seven (7) individuals/firms requesting a copy of the RFP. The Concert Association was the
sole respondent.
Letter to Commission (LTC) No. 265-2000, appointed the following individuals to serve as
Evaluation Committee (the Committee) members:
David Alt
Rick Sisser
Steve Sauls
David Whitman*
Beth Boone*
Grisette Roque
Joseph Fontana
*Recused as a result of conflict of interest. Robert Reboso was added to the Committee as a
replacement for David Whitman.
2
On February 20, 2001, the Committee convened and reviewed the proposal package/materials
submitted by the Concert Association, and also conducted a question and answer session with
several Concert Association staff members. The Committee decided that deliberations would be
scheduled and held at a later date.
On March 12,2001, the Committee re-convened and proceeded to discuss the various options
available (i.e. re-bid the project, recommend for/against the Concert Association). After much
discussion, the Committee voted unanimously to recommend to the City Manager that the Concert
Association be awarded the management and operation of the Colony Theatre for a three year term.
On April 18, 2001, the Mayor and City Commission adopted Resolution No. 2001-24321, accepting
the City Manager's recommendation and authorizing the Administration to negotiate a lease
agreement. On June 6, 2001, the Mayor and City Commission adopted Resolution No. 2001-24454,
setting a Public Hearing on June 27, 2001, to consider a lease agreement. On June 27, 2001, the
Mayor and City Commission opened and continued the Public Hearing to the July 18,2001, City
Commission meeting.
The Administration has negotiated the proposed Lease Agreement (Exhibit 2) which provides for
a three (3) year term, commencing on August 1, 2001, and ending on July 31, 2004, and addresses
the anticipated renovation project and its effect on Theatre operations. The Agreement contains
language which continues to encourage booking priority and reduced rental rates for not-for-profit
performing arts groups, as well as providing the City the use of the Theatre, rent free, for up to 12
days per year for City sponsored events. It must be noted that although the Concert Association's
proposal included a request for a $60,000 annual subsidy from the City, the proposed Lease
Agreement continues to provide a minimum guaranteed $45,000 annual subsidy (which is deemed
appropriate based on the financial information provided by the Concert Association, see Exhibit 1).
However, the Administration further negotiated the use of the Theatre for an additional 12 days per
year, rent free, for the Cultural Arts Council's Second Thursday events each month. In so doing, the
City has agreed to consider an additional subsidy of no more than $15,000 per lease year, contingent
upon verification of need based on quarterly reviews of the Concert Association's financial
statements. If additional subsidies are deemed appropriate, said subsidies would be disbursed in
amounts sufficient to offset the quarterly deficit. Said additional subsidies shall be cumulative and
will not exceed $15,000 per lease year (August I through July 31).
Section 82-39 of the Miami Beach City Code, governing the sale/lease of public property, provides
that the lease of any City-owned property for a period of five years or less, including option periods,
requires the following:
. a public hearing to obtain citizen input
. a Planning Department analysis
. an independent appraisal to determine the value of the leasehold interest
. a public bidding process
3
As such, and in light of the above public hearing requirement, the Administration recommended that
at its June 6, 2001, meeting, the Mayor and City Commission schedule a Public Hearing for June 27,
2001, as required, including compliance with the minimum fifteen (15) day advertised notice
advising of said Public Hearing. At the June 27, 2001, City Commission meeting, the
Administration recommended that the Mayor and City Commission open and continue the Public
Hearing to allow the Administration time to revisit certain issues raised by the Concert Association.
The Public Hearing was opened and continued until July 18, 2001.
Attached hereto is the required Planning Department analysis which does not reflect any negative
impact related to the proposed lease of the Property.
Section 82-39 further provides for the waiver of the appraisal requirements, by 5/7ths vote ofthe
Mayor and City Commission, upon a finding by the Mayor and City Commission that the public
interest would be served by waiving such conditions.
The Administration concurs with the Evaluation Committee and deems that because of the Concert
Association's track record and experience with this venue and the assistance and flexibility required
during the renovation, that it is in the City's best interest to execute the attached Lease Agreement
under similar terms as with the previous Lease Agreement and waive the appraisal requirements.
JMG:C~D:rlr
T:\AGENDA\2001\JULl80J\REGULAR\COLONY,MEM 07/11/01
LEASE AGREEMENT
THIS LEASE AGREEMENT, executed this 18th day of July ,2001, by and
between the CITY OF MIAMI BEACH, a Florida municipal corporation, (Lessor), and the
CONCERT ASSOCIATION OF FLORIDA, INC., a non-profit corporation incorporated under
the laws of the State of Florida (Lessee).
WI TNE SSE TH:
WHEREAS, the Lessor is the owner of a certain parcel ofland and certain facility at 1040 Lincoln
Road Mall, Miami Beach, Florida, known as the Colony Theatre, and the Lessee desires to use the
facility for a performing arts center; and
WHEREAS, the Lessor desires to promote cultural programs and facilities; and
WHEREAS, the proposed use of the facility as a performing arts center would provide an
important cultural component to the City of Miami Beach; and
WHEREAS, the Lessor desires to actively participate in providing such facilities in the City of
Miami Beach.
NOW, THEREFORE, in consideration of the mutual covenants hereinafter contained, the parties
herein covenant and agree as follows:
1. Description of Premises - The Lessor does hereby lease to the Lessee, the facility
known as the "Colony Theatre", located at 1040 Lincoln Road Mall, Miami Beach, Florida (Leased
Premises or Premises).
2. Irnn - The initial term of this Lease shall be fot a period of three (3) years,
commencing on the 1st day of August, 2001, and terminating on the 31st day of July, 2004.
3. Option to Renew - Provided Lessee is not otherwise in default, Lessor may, at its sole
option and discretion, extend this Lease for two one (1) year renewal terms, upon the same terms and
conditions, except the operating subsidy referenced in Paragraph 24 will be renegotiated at said time,
by giving the Lessee notice in writing at least sixty (60) days prior to the expiration of the initial
term of this Lease, or any extension thereof, and further having said renewal option approved by the
Mayor and City Commission.
4. Use and Possession of Leased Premises - The Leased Premises shall be used by
the Lessee as a multiple use performing arts center. It is understood and agreed that the Leased
Premises shall be used by the Lessee during the term of this Lease only for the above purpose(s), and
for no other purposes or uses whatsoever. Lessee will not make or permit any use of the Leased
Premises which, directly or indirectly, is forbidden by public law, ordinance or govemment
regulation or which may be dangerous to life, limb or property. Lessee may not commit waste on
the Leased Premises, use the Premises for any illegal purpose, or commit a nuisance on the Premises.
In the event that the Lessee uses the Leased Premises for any purposes not expressly permitted
herein, then the Lessor may terminate the Lease without notice to Lessee, and/or restrain such
improper use by injunction or other legal action.
1
5. Utilities and Telephone - The Lessee, during the term of said Lease, shall pay all costs
incurred for all utilities, including but not limited to, water, gas, and electricity. The Lessee, during
the term of said Lease, shall also pay all costs incurred for telephone usage.
6. Lessor's Right ofEntt:y - The Lessor, or its authorized agent or agents, shall have the
right to enter upon the Leased Premises at all reasonable times for the purpose of inspecting the
same, preventing waste, making such repairs as the Lessor may consider necessary and for the
purpose of preventing fire, theft or vandalism. Nothing herein shall imply a duty on the part of the
Lessor to do any work which under any provisions of this Lease the Lessee may be required to
perform, and the performance thereof by the Lessor shall not constitute a waiver of the Lessee's
default.
If the Lessee shall not be personally present to open and permit entry into the Leased
Premises at any time, for any reason, the Lessor, or its agents, may enter the Leased Premises by
master key, or may forcibly enter the space without rendering the Lessor or such agents liable
therefore (if during such entry the Lessor or its agent or agents shall accord reasonable care to the
Lessee's property), and without in any manner affecting the obligations and covenants of this Lease.
Lessee shall not change the locks to the Leased Premises without the prior written consent
of Lessor, and in the event such consent is given Lessee shall furnish Lessor duplicate keys to said
locks in advance of their installation.
7. Insurance - Lessee shall, at its sole cost and expense, comply with all of the following
insurance requirements of the Lessor. It is agreed by the parties that the Lessee shall not occupy the
Premises until proof of the following insurance coverage has been furnished to the Lessor.
(a) Comprehensive General Liability in the amount of$ I ,000,000 Single Limit Bodily
Injury and Property Damage coverage for each occurrence. Contractual Liability,
Products and completed operations coverage included.
(b ) Workers' Compensation and Employers' Liability coverage within the statutory limits
ofthe State of Florida.
(c) All insurance must be furnished by an insurance company rated A:X or better, or its
equivalent according to Best's Guide Rating Book, or such other rating as may be
approved by the City's Risk Manger. The insurance provided must be signed by a
Florida Resident Agent and/or countersigned by a Florida Resident Agent for
property, casualty and surety insurance required by the Florida Statutes.
(d) The City of Miami Beach must be named as an Additional Insured on all insurance
coverage, followed by the statement: "This coverage is primary to all other coverage
the City of Maim Beach has for this specific Lease only."
(e) Thirty (30) days prior written notice of cancellation of any coverage must be given
by the Lessee to City of Miami Beach c/o City of Miami Beach, Risk Management
Division, 1700 Convention Center Drive, Miami Beach, Florida, 33139.
(f) If Lessee or Lessee's agent sells or distributes beer, wine or liquor, Lessee shall
obtain Liquor Liability insurance, in the amount of $1 ,000,000, for death or bodily
injury and property damage per occurrence and name the City of Miami Beach as an
Additional Insured.
8. Exculpation and Indemnification Clauses - Lessor shall not be responsible for any
damage, theft or injury that may occur to Lessee, its sublessees, agents, exhibitors, servants,
employees, invitees, licensees or property from any cause during the period covered by this
2
Agreement. Lessee hereby expressly releases Lessor from and agrees to indemnify, defend and hold
Lessor harmless against any and all claims for any such loss, damage, or injury, whether in contract
or in tort, including any claims or liability for compensation under the Florida Worker's
Compensation Act, and any and all other public liability which may arise or accrue by reason of the
use by Lessee, and/or its sublessees, agents, exhibitors, servants, employees, invitees, and/or
licensees, of the Leased Premises. The Lessor shall not be responsible for any violations of Federal
or State law resulting from the sale or trafficking of counterfeit goods, personal property, or
trademark, copyright and patent violation by any natural persons or business entities on the Premises.
Lessee further releases Lessor from and agrees to indemnify, defend, and hold Lessor
harmless against any and all claims for any such loss, damage, or injury, whether in contract or in
tort, which may arise or accrue by reason of the cancellation, for whatever reason, of any
performance or event scheduled and/or held at the Leased Premises, whether directly or indirectly
sponsored by Lessee.
9. Maintenance and Repair - Lessee shall, at its sole cost and expense, maintain the
interior portion of the Leased Premises and the fixtures and appurtenances therein, to the extent that
Lessee shall only be responsible for such day-to-day housekeeping and minor repairs to the extent
necessary (and customary within the ordinary course of business of managing and operating public
performing arts venues of comparable size and type as the Leased Premises) to preserve the Leased
Premises in good working order and condition, ordinary wear and tear excepted. This shall include,
but not to be limited to, day-to-day maintenance of, and minor repairs to, the electrical, plumbing,
and air-conditioning systems. Lessee acknowledges that it has obtained and shall maintain during
the term herein warranties for the lighting and sound systems. Lessor acknowledges that it shall be
solely responsible for all major maintenance of and repairs for the roof, the exterior portiones) of the
building, as well as the electrical, plumbing, and air-conditioning systems.
All damage or injury of any kind to the Leased Premises and to its fixtures, glass,
appurtenances and equipment, except damage caused by the wrongful acts or negligence of the
Lessor, shall be the obligation of Lessee, and shall be repaired, restored or replaced promptly by
Lessee at its sole cost and expense to the satisfaction of Lessor.
All of the aforesaid repairs, restorations and replacements shall be in quality and class equal
to the original work or installations and shall be done in good and workmanlike manner. If Lessee
fails to make such minor repairs or restorations or replacements, as those contemplated above, the
same may be made by the Lessor, at the expense of Lessee, and all sums spent and expenses incurred
by Lessor shall be collectable as additional rent and shall be paid by Lessee within ten (10) days after
rendition of a bill or statement therefore. In all other respects, the Premises are being leased in their
present "as is" condition. It shall be Lessee's obligation to insure that the Premises comply with all
applicable building codes and life safety codes of governmental authorities having jurisdiction,
except as to the roof and exterior.
10. Governmental Regulations - With regard to its management and operation of the
Leased Premises, the Lessee covenants and agrees to fulfill and comply with all statutes, ordinances,
rules, orders, regulations, and requirements of any and all governmental bodies, including but not
limited to, Federal, State, County and City governments, and any and all oftheir departments and
bureaus applicable to the Leased Premises, and shall also comply with and fulfill all rules, orders,
and regulations for the prevention of fire, all at Lessee's own cost and expense.
The Lessee shall pay all costs, expenses, claims, fines and penalties, and damages that may
be imposed because ofthe failure of the Lessee to comply with this Paragraph, and shall indemnify
the Lessor from all liability arising from each non-compliance.
3
11. ~ - If exterior signs are requested, they will be of a design and form approved by
the Lessor. Lessee shall assume the cost of any such signs. All signs shall be removed by Lessee
upon the termination of this Agreement and any damage or unsightly condition caused to the Leased
Premises because of, or due to, said signs shall be corrected or repaired by Lessee to the satisfaction
of Lessor.
12. The Lessee shall not injure, mar, nor in any manner deface or cause to be destroyed,
defaced, altered, modified or physically changed, the Leased Premises or any portion thereof, or any
equipment, fixture, or other item contained therein. If the Leased Premises, or any portion thereof,
or any structure attached thereto, or any equipment, fixture or other item contained shall be
destroyed, damaged, marred, altered, or physically changed in any manner whatsoever, and such is
not done by or with the prior written approval of Lessor, but is the act, default or negligence of
Lessee, its agents, employees, patrons, guests, or any person admitted to the Leased Premises by
Lessee, then and in that event, Lessee will pay such sum as shall be necessary to repair, replace or
restore the Leased Premises or item(s) contained therein, to their previous, whole and uninjured or
unaltered condition. Lessee hereby assumes full responsibility for the character, acts and conduct of
all persons admitted to the Leased Premises during the term of this Agreement by the Lessee or by
or with the consent of any person acting for or on behalf of Lessee.
13. Lessee is entrusted to properly care for all equipment owned by the City and used by
the Lessee and located on the Leased Premises during the term of this Agreement and all such
equipment which shall become lost, stolen, or which shall have disappeared shall be the sole
responsibility of Lessee and Lessee shall pay the full replacement cost thereof to City. Lessee shall
not remove any article, piece of equipment or other property fumished to the Leased Premises
without the prior written permission of the Lessor. An inventory of City-owned equipment is
attached hereto as Exhibit A, and by reference hereto made a part hereof.
All personal property of Lessee or of third parties placed or removed into the Leased
Premises shall be at the risk of the Lessee or the owner thereof. Lessor shall not be liable to. the
Lessee for any damage to said personal property unless caused by or due to the negligence of Lessor,
its agents, servants or employees.
14. Liability for Damal:e or Iniury - Lessor shall not be responsible for any damage or
injury that may occur to Lessee, its agents, servants, employees or property, from any cause during
the term covered by this Agreement, unless due to the negligence of Lessor, its agents and/or
employees.
15. Peaceful Possession - Subject to the terms, conditions and covenants, Lessor agrees
that Lessee shall and may peaceably have, hold and enjoy the Premises without hindrance or
molestation by Lessor.
16. Surrender of Premises - Lessee agrees to surrender to Lessor at the end ofthe term
of this Lease or any extension thereof, or upon any cancellation of the Agreement, said Leased
Premises in as good condition as said Premises were at the beginning of the term of the Agreement,
ordinary wear and tear, and damage by fire and windstorm or other acts of God, excepted.
17. Destruction on ,eased Premises - In the event the Leased Premises shall be damaged,
destroyed, or otherwise rendered unusable for the purpose of this Agreement, and thereby the
fulfillment ofthe Lease by Lessor is rendered impossible, this Agreement shall terminate and Lessee
4
shall make no claim against Lessor, its agents or servants, for damages or compensation should this
Agreement be so terminated.
18. Addresses for Notices - The addresses for all notices required under this Lease shall
be as follows, or at such other address as either party shall, in writing, notify the other:
LESSOR:
Asset Manager
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
with a copy to:
City Attorney
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
LESSEE:
Judy Drucker, President
Concert Association of Florida, Inc.
1130 Washington Avenue
Fifth Floor
Miami Beach, Florida 33139
All notices shall be hand delivered and a receipt requested, or by certified. mail with return
receipt requested, and shall be effective upon receipt.
19. ~ - During the term of hereof the Lessee shall pay any and all taxes of whatever
nature lawfully levied upon or assessed against the Leased Premises, the operations within the
Premises, or the personal property located on the Premises.
20. Records Audit - The Lessee agrees to establish and maintain such records as may be
prescribed by the Lessor in the future to provide evidence that all terms of this Agreement have been
and are being observed. Lessee grants to Lessor the right and authority to audit all records,
docwnents, and books pertaining to the management of the Colony Theater and any other expenses
shared between the Lessor and the Lessee. Such audit will be conducted at locations and at a
frequency determined by Lessor and communicated to the Lessee. The Lessee agrees to provide
materials for the audit at the designed place within three business days after Lessors notice is
received.
Lessee shall inform all entities retained by it to provide services in connection with Lessee's
lease of Lessor's premises pursuant to this Agreement, that they must also agree to this provision
relating to an audit upon request of Lessor.
21. Assignment and Subletting - Lessee shall not assign this Agreement, nor shall Lessee
have the right to sublet the Leased Premises, in whole or in part, or enter into Concession
Agreements, without the prior written consent of Lessor. Notwithstanding the preceding sentence,
Lessor acknowledges approval of that certain sublease between Lessee and Colony Theatre Cafe,
Inc., dated October 20, 1999, and attached as Exhibit B hereto.
22. Lessor's Proposed Improvements - Lessee acknowledges that the City intends to
5
develop and implement a series of capital improvements for the Premises (the Colony Theatre
Restoration Project) which may entail closure of all, or a portion of, the Leased Premises, at Lessor's
sole discretion and determination.
In the event that the City closes down all, or a portion of, the Premises for the purpose of
undertaking the afore stated capital project, Lessor shall provide Lessee with sixty (60) days prior
written notice of same and the parties agree that this Lease, and the parties' respective obligations
hereunder, shall be stayed during the pendency of construction without liability to either party.
Accordingly, Lessee acknowledges and agrees that it shall not have any claim, demand, or cause of
action of whatever kind or nature, against the City, its agents, servants and employees including, but
not limited to, claims for interference in business or damages for interruption of services or
interference in the operation of either the Theatre, and/or the adjacent cafe.
23. Rental Fees - A schedule ofrental fees to be charged to users of the Colony Theater
is attached hereto as Exhibit C. Lessee shall not change the scheduled rental fees without the prior
written consent of Lessor.
24. Subsidies - In consideration of Lessor's desire to actively participate in providing
cultural facilities in the City of Miami Beach, and recognizing the unique cultural benefits provided
by the Lessee herein, Lessor shall forego receiving a fair market rental value on the Premises. As
further consideration for Lessee operating and managing the Leased Premises, Lessor will provide
Lessee with a minimum operating subsidy, in the amount of $45,000 annually, for a total subsidy
of $ 135,000 for the initial Lease term ending on June 30, 2004.
Lessor may consider an additional subsidy of no more than $15,000 per lease year,
contingent upon verification of deficit based on quarterly reviews of the Concert Association's
financial statements. If additional subsidies are deemed appropriate by Lessor, said subsidies shall
be disbursed in amounts sufficient to offset the quarterly deficit reflected in said financial statements.
Said additional subsidies shall be cumulative and shall not exceed $15,000 per lease year (July 1
through June 30).
Additionally, any revenues derived from the cafe, as described in Exhibit B, throughout the
initial term, and any renewal terms, of this Lease will be disbursed as follows:
(a) Seventy percent (70%) of said revenues will be paid to the Lessor by the Lessee, and
the Lessor will use said monies to repay a non-interest bearing loan to the City from
the City of Miami Beach Cultural Arts Council. Upon repayment of said loan, in
full, Lessor will use said monies to offset the cost of any maintenance and capital
improvements, required at the Colony Theatre, that are the responsibility of the
Lessor.
(b) Thirty percent (30%) of said revenues will be retained by the Lessee, and the Lessee
will use said monies solely for the funding of maintenance and capital improvements
not performed by the Lessor to the Colony Theatre.
Notwithstanding the operating subsidy provided to Lessee pursuant to this Paragraph 24, any
obligation of Lessor within this Lease which extends beyond any current Fiscal Year within the
initial Lease term is subject to and conditional upon budget appropriations by the Mayor and City
Commission of the City of Miami Beach. In the event that any monies payable to Lessee pursuant
to this Paragraph 24 are not appropriated by the City Commission, then this Lease shall
automatically terminate without further liability to the parties hereto or, in the alternative, upon
mutual agreement of the parties, this Lease may continue without the subsidy(ies) provided for
herein.
Additionally, the operating subsidy provided herein may be subject to renegotiation if and
6
when any extension to this Lease Agreement is exercised by the Lessor.
Lessor reserves the right to use the Premises twelve (12) days per year at no fee for special
not-for-profit events which may be beneficial to the City or may be City-sponsored special events.
Said events shall be scheduled in advance so as to not conflict with dates or events already scheduled
by the Lessee.
In addition to the aforestated twelve (12) days, Lessee acknowledges that the City of Miami
Beach Cultural Arts Council (CAe) currently sponsors a series of cultural events throughout
multiple venues in the City entitled "Second Thursdays." To that end, and in consideration of Lessor
and Lessee's continued mutual commitment to nourish the cultural arts in the City of Miami Beach,
Lessee shall use its best efforts to coordinate with Lessor or, in this case, Lessor's designated
representative, the City of Miami Beach CAC, to utilize the Premises as a scheduled venue/facility
for such "Second Thursdays" events as may be mutually agreed upon by Lessor, through its CAC,
and Lessee. Said events shall be scheduled in advance so as to not conflict with dates or events
already scheduled by the Lessee.
25. Default and Termination
(a) If Lessee abandons or vacates the Leased Premises prior to the expiration of any term
hereof; or
(b) If Lessee fails to discharge or bond off any lien filed on the Leased Premises within
thirty (30) days of written notice from Lessor to Lessee; or
(c) If Lessee fails.to perform in accordance with any of the terms and conditions herein
contained, and such default is not cured within thirty (30) days after written notice
is given to Lessee, then Lessor may terminate the Agreement without further notice
to the Lessee and pursue any and all legal remedies available to seek redress for such
default, with the prevailing party paying all reasonable legal fees; provided, however,
that if such failure to perform is curable but of such nature that the cure cannot be
completed within such thirty (30) day period, such failure shall not be deemed a
default if Lessee promptly commences a cure upon receipt of such notice and
diligently prosecutes such cure to completion; provided, however, that such cure
period shall not exceed sixty (60) days.
26. Booking Policy - Lessee shall actively solicit, promote or co-promote performances
for the Leased Premises during the term of this Agreement thereby maximizing the revenues to the
Theatre. Booking priority and reduced rental rates may be considered for not-for-profit performing
arts groups. In booking performance dates for cultural, special and/or other events, Lessee shall
assure that a diverse mix of performances are presented at the Colony Theatre which address the
needs and interest of a multi-cultural community such as the City of Miami Beach. Such
performances may include, but not be limited to, a variety of multi-ethnic cultural events and
performances, and events for children and young adults.
27. Venue - This Agreement shall be enforceable in Miami-Dade County, Florida, and
if legal action is necessary by either party with respect to the enforcement of any or all of the terms
or conditions herein exclusive venue for the enforcement of same shall lie in Miami-Dade County,
Florida.
28. Limitation of Liability - The Lessor desires to enter into this Agreement only if in
so doing Lessor can place a limit on Lessor's liability for any cause of action for money damages due
to an alleged breach by Lessor of this Agreement, so that its liability for any such breach never
7
exceeds the sum of $10,000. Lessee hereby expresses its willingness to enter into this Lease
Agreement with Lessee recovery from Lessor for any damage action for breach of contract to be
limited to a maximum amount of $10,000.
Accordingly, and notwithstanding any other term or condition of this Agreement, Lessee
hereby agrees that Lessor shall not be liable to Lessee for damages in an amount in excess of
$10,000, for any action or claim for breach of contract arising out of the performance or non-
performance of any obligations imposed upon Lessor by this Agreement. Nothing contained in this
Paragraph or elsewhere in this Agreement is in any way intended to be a waiver of the limitation
placed upon Lessor's liability as set forth in Florida Statutes, Section 768.28.
29. Subsequent Changes - Any alterations, variations, modification or waivers of the
provisions of this Agreement shall be only valid when they have been reduced to writing and duly
signed by both parties. This Agreement contains the entire agreement between the parties hereto
and all previous negotiations leading thereto and it may be modified only by resolution approved by
the governing body of each party.
IN WITNESS WHEREOF, the parties have hereunto set their hands and seals the day and
year stated above. Signed, sealed and delivered in the presence of:
LESSOR:
Attest:
CITY OF MIAMI BEACH
BY:_~~ ~~~
City Clerk
By:
LESSEE:
CONCERT ASSOCIATION OF FLORIDA, INC.
#/
.
Secretary
By9~~
Pre sid
By:
APPROVED AS TO
FORM & LANGUAGE
'FOR N
1~/1 ~o f
Date
T:\AGENDA \200 I IJUL 180 I lREGULARICOLONY ,LSE 07/12/01.1
8
EXHIBIT A
CITY-OWNED INVENTORY
Ma~ 23 01 02:22p
Colon~ Theater
305-534-5026
p.2
Jqqq- 2000
Lighting Inventory:
Unit stock
ETC Source Four 36' 10
Altman 25/50 Zooms 13
Allman 20/40 Zooms 16
Altman 6X16 18
Altman 6X12 24
Century 6XI2 (fair condition) 10
Altman 6X9 23
Century 6X9 (fair condition) 2
Par 64 Cans (house: MFL) 30
Altman Skycycs 3 Circuit 5
Lycian Long Throw 1
Estimate $35,000.
Control:
105 - 2.4k dimmer/circuits
ETC Insight w/ color monitor.
Estimate $80,000.
Sound Inventory:
Speakers:
House: Directional center cluster; House left and right main (13" drivers) and bass cabinet (17"
woofers). Stage: 2 JBL slant monitors
Control:
Soundcraft 24 Channel mixer console
Yamaha SPX-900 FX
Rane compressorllimiter/expander (House P.A.)
Tascam 1/4" R/R, 1 Cassette player (dual). 1 CD player (single)
Estimate $75,000.
Accessories:
Large selection of microphones (SM 58,57) including floor and Sony Wireless
4 Hotspot speakers with volume control
24 channel snake (SR)
Clearcom headset system, soundllightlFS positions, SL, SR, dressing rooms
Estimate $25,000
MAY-23-2001 15:21
305 534 5026
P.l'l2
Ma~ 23 01 02:23p
Colon~ Th..at....
305-534-5026
p.3
Projection:
16mm Projector
35mm Projector (Victoria V, platter system).
Stewart Automated roll up screen 20 x 36 with I SO grain surface
Dolby Digital eP4S Sound system with 3 EAW mains, I JBL (Double 18") Sub.
Estimate $85,000
Other Equipment
Black scrim 20 x 40
Black marley dance floor
Piano
2-1200 Watt slide projectors w/9mm and 3Smm lenses
A V Pro Video Projector
Infrared Hearing Impaired system
Estimate $38.000,
Total Value ofTeohnica\ Equipment: $338,000.
MAY-23-20I'l1 15:22
305 534 5026
99%
P.12l3
Ma~ 23 01 02.22p
Colon~ Theater
305-534-5026
p.1
tlmml
c()l()ny
E T
1040 LINCOLN ROAD
MIAMI BEACH, FLORIDA 33139
305 - 6 74 -1040 (T E L) ... 305 - 534- 5026 ( FAX )
I'A.CSIMILE TRANSMITTAl. SHEET
TO,
Robett Robozo
fR.OM:
Ku-en Kodand Caru.,o
COU"ANY'
City of j',Iiami Beach
F~NUMBJill:
305-604-2437
OATE.~
5-23-01
roTA!. NO. OF ~^GliS lNUUDlNG COVER.;
PHONB NmDJE.R:
RE,
Colony Theatre Inventory
o URGENT 0 FOR REvIEW 0 PLEASE coMMENT 0 PLEASIi REPLY
[J PLlBSE RECYCLE
Robert - attached i., the Colony Inventory.. . Please not that the of lice L-quipment along with
our Ticket MIlSter S}'Stem belongs to the Concert Association of folom.
Lighting and Sound equipment and other is property of the City of Miami Beach
Theatrically,
Karen
MAY-23-2001 15:21
PROM THE DfiSK OF
KARliN KORLA!>iD CARUSOJGENBRA1. MANAGER
3ffi 534 5026
96%
P.01
EXHIBIT B
CAFE SUBLEASE
COMMERCIAL LEASE AGREEMENT
I. Parties. This Lease is made effective as at the ;).oI~ day of October, 1999
between CONCERT ASSOCIATION OF FLORlDA,INC. ("Landlord") and COLONY THEATER CAFE,
INC., a Florida corporation ("Tenant").
2. Demised Premises. Subject to the terms and provision of this Lease, Landlord
hereby leases to Tenant and Tenant hereby leases from Landlord, a portion of the Colony Theater located at
1040 Lincoln Road (Lenox A venue and Lincoln Road), Miami Beach, Florida (the "Building") consisting of
space as follows:
(a) approximately eight hundred (800) square feet restaurant space adjacent to the
Colony Theater;
(b) Rear storage room above cafe only when shows are not in process; (excess
equipment in this room not being utilized by Landlord may be removed, but this area must be padlocked
every evening with a key provided to the Colony Theater Teclmical Director); Front storage room must be
kept clean of all cafe equipment as it is to be utilized by the Colony Theater staff only.
(c) bar extending between the cafe and Colony Theater lobby; and
(d) seating area in the Colony lobby
(the llPremises").
3. Use of Premises.
3.1 Permitted Use and Business Name. The Premises shall be used and
occupied only as a restaurant/cafe. This Lease shall be contingent upon Tenant obtaining an alcoholic
beverage license and being able to serve liquor, beer and wine.
3.2 Hours of Business and Continuous Occupancy.
continuously occupy and utilize the premises during the tenn of this Lease.
Tenant shall
3.3 Opening and Continuous Occupancy. The Tenant shall continuously.
actively and diligently carry on the business specified in Section 3.1 on the whole of the Premises during the
term. during such hours and upon such days as are herein required, except when prevented from doing so by
force majeure. The Tenant acknowledges that its continued occupancy of the Premises and the regular
conduct of its business therein are of utmost importance to the Landlord. The Tenant acknowledges that the
Landlord is executing this Lease in reliance thereupon and that the same is a material element inducing the
Landlord to execute this Lease.
3.4 Tenant's Covenants as to Use and Occupancy. Tenant shall exercise
reasonable care in its use of the Premises or Building and shall not do or permit anything to be done in or
about the Premises or Building, nor bring nor keep anything in the Premises or Building which will in any
way affect the fire or other insurance upon the Building, or any of its contents, or which shall in any way
conflict with any statute, ordinance, rule, regulation, order, law or other requirement (collectively the
"Laws") affecting the occupancy and use of the Premises or Building, which is now, or may hereafter be,
enacted or promulgated by any public authority. Tenant recognizes that the use of the Premises is an adjunct
to the use of the Colony Theater as a theater and must, at all times, be compatible with the operation of the
Colony Theater and sensitive to the needs and requirements thereof. Tenant shall not obstruct or interfere
with the rights of other occupants of the Building, or injure or annoy them. Tenant shall not use, or allow the
Premises to be used, for any illegal purpose or purpose constituting a public or private nuisance or for
sleeping purposes, and nothing shall be prepared, manufactured, or mixed in the Premises which would emit
an odor and/or fumes of any type into or around the Theater, nor will the Tenant permit any noise levels to
emanate from the Premises that wilt interfere with any other occupant of the Building. Tenant shall
promptly comply with and execute all of the aforesaid, and any Laws and all rules, orders and reasonable
regulations of the Southeastern Underwriters Association for the prevention of fires, at Tenant's own cost
and expense. At all times during the tenn of this Lease and any extensions or renewals thereof, Tenant shall,
at its expense, obtain and maintain all permits, licenses and other governmental authorizations which are
necessary for the operation of its business in accordance with Section 3.1.
3.5 Lobby Use. The Colony lobby may not be used to store any cafe equipment,
freezers, food or office supplies. All cafe materials must be stored in the cafe, behind the cafe bar or in the
upstairs storage room. The small lobby bar must remain accessible for Renters to use for T-shirt, music or
other sales approved by the Theater management. Renters are not permitted to sell or serve any food or
beverages in the premises, except for Renters that have sponsors or product underwriters who may serve
food or beverages at no charge. Renters shall be limited to persons or entities renting the theater for
performances.
During a performance, the only cafe transactions to be conducted in the Colony
lobby are the selling of concession food. andlor beverage service to Colony patrons. Any other food or bar
service from one hour prior to advertised curtain time is limited to the cafe premises only. From one hour
prior to curtain, the sound system in the cafe must be turned to a minimal until the performance conclusion.
When a performance is in session, the cafe partition must remain closed and
blocked off with stanchions. All restaurant patrons and employees must use the cafe restroom during this
time, but may use the Colony Theater restrooms at such other times and under such circumstances as are
reasonably agreed to by the Theater management, considering security matters, among other things.
Notwithstanding the foregoing, in the event Tenant requires the use of such Colony Theater restrooms in
order to comply with code requirements, Tenant and Tenant's patrons and employees shall have the right to
use the Colony Theater restrooms so long as such use does not conflict with any perfonnances in progress or
create a problem with restaurant patrons attempting to gain access to the Theater auditorium. It is the
intention of the parties that tenant will not need to construct any bathrooms for the operation ofits business
at the Premises.
Tenant, at Tenant's option and expense, may construct a glass wall and door in the lobby
to separate the lobby area from the Theater area in order to minimize noise levels.
Landlord agrees to use its best efforts to have Tenant reimbursed for the cost of such
wall and door from restoration grants to be applied for.
3.6 Outside Theater Use. Tenant is granted the right to utilize the space outside of
the Building to the extent permitted by law, without additional charge by the Landlord. However, no such
use shall interfere with the operations of the Theater, the box office, or in any way interfere with the normal
and appropriate access, ingress and egress of our Theater patrons.
4. Teml. The term of this Lease shall be for a period of six (6) years commencing
on the execution by both parties of this Lease and ending on the 6th anniversary thereafter.
5. Rent. As rental for the lease of the Premises, Tenant shall pay to Landlord, at
Landlord's address set forth in Paragraph IS hereof. for the initial term of this Lease, base rent ("Base Rent")
in the monthly amount of FOUR THOUSAND and 00/100 ($4,000.00) DOLLARS. All rent during the term
of this Lease shall be due on the first day of each calendar month during the term of this Lease, free from all
claims, demands or setoffs against Landlord of any kind or character whatsoever. If the term of this Lease
shall begin or terminate on other than the first or last day respectively of a calendar month, all rent and other
charges accruing under this Lease for such portion of the partial calendar month shall be apportioned and
paid on the basis of a thirty day month. In the event any installment of Base Rent or other charges accruing
under tbis Lease is not paid within ten (10) days of the due date, a late charge of five percent (5%) of the
delinquent surn may be charged by Landlord. If my installment of Base Rent or other charges accruing
under this Lease remain overdue for more than twenty (20) days, an additional late charge in an amount
equal to 1-1/2% per month or part thereof (18% per annunl) of the delinquent amount may be charged by
zilla/cao fico 1 on Ise. doc
-2-
Landlord. stich charge to be computed for the entire period for which the amount is overdue. All late
charges shall he due immediately upon demand by Landlord without set-off or defense.
5.1 Base Rent Increases. The Base Rent shall be increased annually
commencing on the first anniversary date of each Lease and shall be adjusted annually on each anniversary
date of each year thereafter, (the "Change Date") by an amount equal to any increase in the cost of living as
reflected by the United States Department of Labor. Consumer Price Index for All Urban Consumers: U.S.
Southern City Average, as applicable to Miami, Florida all items (1982-84 ~ 100) (hcreinafier refmed to as
the "Index"). Such adjustment shall be accomplished by multiplying the then current annual rent by a
fraction, the numerator of which shall be the Index for the month which is three (3) months prior to the
Change Date for which such adjustment is to be made, and the denominator of which fraction shall be the
corresponding monthly index for the same month of the preceding calendar year. In the event such Index
shall be discontinued with no successor or comparable successor Index, Landlord shall select a reasonable
substitute index. In no event shall the Base Rent. as adjusted from time to time. be decreased ,:It any time
duri ng any Lease or Option year.
Such rent always being paid in advance in equal monthly installments on the first
day of each month. A lease year shall be each period of 12 calendar months beginning on the date of the
signing of this Lease by both parties.
5.2 Payment of RCIl!. Tenants rent shall be payable on the following
schedule:
Monthly in advance commencing ninety (90) days after the execution of this Lease by
the Tenant, Landlord and Owner, it being the intention that the Tenant shall have three (3) months
occupancy without paying rent.
6. Sales Tax. All payments of Base Rent and any other charges arising under this
Lease shall be considered to be rent and shall be paid by Tenant together with applicahle Florida Sales Tax,
and any other tax on rent payments that may be imposed by any governmental agency or authority,
excluding income taxes.
7. Improvements and Delivery of Possession. Tenant acknowledges that Tenant
has inspected the Premises and Tenant is accepting the same in "as is" condition. No representations except
those expressly contained herein have been relied on by Tenant with respect to the condition, design,
amenities of the Building or Premises. Tenant \'I/ill make no claim against Landlord on account of any
representation of any kind, whether made by any renting agent, broker, officer or other representative of
Landlord or which may be contained in any advertisement relating to the Building unless such representation
is specifically set forth in this Lease. Notwithsl.mding anything to the contrary contained in this Lease
(including, without limitation, Section 3.4), the obtaining and maintenance of all permits, licenses. zoning
and governmental authorizations required for Tenant's occupancy or business operations shall he Tenant's
sole responsibility and at Tenant's sole cost and expense and, except as to the alcoholic beverage license in
no case shall the obtaining or maintenance of such be a condition to Tenant's obligations hereunder.
8. Assignment and Subletting. Tenant shall not assign, mortgage, pledge, or
hypothecate this Lease, or any interest therein, nor shall Tenant permit the use of the Premises by any person
or persons other than Tenant, nor shall Tenant sublet the Premises, or any part thereof. Any sale of stock of
Tenant (if a corporation), assignment of partnership interest (if a partnership), assignment of beneficial
interest (if a trust), or other device which has the effect of transferring the practical benefits of this Lease
from the parties currently controlling Tenant, shall be a prohibited transfer and will be considered a default.
Tenant may, however, transfer stock or other ownership indicia between present stockholders or partners
upon written notice to Landlord without it being deemed an assignment for the purposes of this paragraph.
Tenant shall furnish Landlord with the names of its Stockholders, if applicable, upon execution of this Lease.
9. Condition of Demised Premises: Maintenance and Repairs.
zin a/ caofl co Ion Ise.doc
-3-
9.1 Notwithstanding anything herein to the contrary, the
Tenant recognizes that the Colony Theater is scheduled to undergo a major restoration during the tenn of this
Lease and agrees to cooperate and understands that such restoration will result in inconveniences to the
Tenant, none which should prohibit the Tenant from continuing with the operation of its business. Should
the Tenant be precluded from operating its business during such periods, the Landlord will endeavor to
restrict such times to the summer months, and Tenant's rent shall be abated during such periods. Further, in
the event ofa restoration of the facade and/or lobby of the Colony Theater, the space allocated to the Tenant
in the present lobby, as the existing bar, may be relocated, at Landlord's expense, however the space in the
lobby currently used for restaurant seating may be reoriented as lobby space and may be discontinued for
restaurant use. moved or even eliminatedj and such action shall not give rise to any cause of action or claim
for rent reduction or otherwise by the Tenant for any reason. However, such renovation shall not in any way
rcstrict the use of the two (2) Colony Theater bathrooms (or replacements thereot) by Tenant and Tenant's
cmployees and customers. Landlord represents that the two (2) Colony Theater bathrooms are in compliance
with all code and handicap requirements for use for the Colony Theater or, if not in compliance, it will be
Landlord's responsibility, at Landlord's expense, to bring the bathrooms up to code and in compliance with
handicap requirements if required by any governmental authority.
10. Alterations, Additions or Improvements. Tenant shall not commence any work
or make or allow any other repairs, replacements, additions or modifications to the Premises (collectively the
"Alterations!!) without the Landlord's prior written approvaL All such work, if allowed, shall be perfonned:
(i) at the sole cost of the Tenant; (ii) by licensed contractors and subcontractors and workmen approved in
writing by the Landlord; (iii) in good and workmanlike manner; (iv) in accordance with the drawings and
specifications approved in writing by the Landlord; (v) in accordance with all applicable laws and
regulations; (vi) subject to the reasonable regulations, supervision. control and inspection of the Landlord;
and (vii) subject to such indemnification against liens and expenses as the Landlord reasonably requires. If
any alterations would affect the structure of the Building or any of the electrical, plumbing, mechanical, gas,
water, heating, ventilating or air conditioning systems or other base Building systems, such work shall be
perfonned by licensed contractors and architects and engineers, as reasonably required by the Landlord.
Plans shall be submitted to Landlord in advance and shall be subject to Landlord's approval. If such plans
contemplate work affecting the structure or any base systems, Landlord may employ a consulting architect
and/or engineer as Landlord reasonably may require to evaluate such plans and/or construction, and any
expenses or fees incurred by the Landlord shall be reimbursed or paid by Tenant upon presentation.
Notwithstanding the foregoing, Tenant may construct or remodel the Premises during
the tcrm of this Lease without Landlord's prior consent so long as such construction or remodeling is to the
interior of the Premises, is non-structural and is in the area East of the partition only and not in the Lobby.
Upon installation, all alterations such as walls, ceilings, and any fixtures shaH
become the property of Landlord and shall remain upon aild be surrendered with the Premises. Tenant shall
have no right or power to create mechanics' liens on the Premises, Building, underlying property, or attached
fixtures and shall so advise any suppliers of material or labor for work on the Premises.
11. Damage by Fire or Other Cause.
Il.l If the Demised Premises shall be partially damaged by fire or other cause
without the fault or neglect of Tenant, Tenant's servants, employees, agents, visitors or licensees, such
danlages shall be repaired by and at the expense of Landlord and the base minimum rent and Tenants share
of operating costs, until such repairs shall be made, shall be abated according to the part of the Demised
Premises which is usable by Tenant. However, if such partial damage is due to the fault or neglect of
Tenant, Tenant's servants, employees, agents, visitors or licensees, without prejudice to any other rights and
remedies of Landlord and without prejudice to the rights of subrogation of Landlord's insurer, the damages
shall be repaired by Landlord but there shall be no apportionment or abatement of rent. No penalty shall
accrue for reasonable delay which may arise by reason of adjustment of insurance on the part of Landlord
and for reasonable delay on account of "labor troubles", or any other cause beyond Landlord's control.
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Tenant shall give immediate notice to Landlord in case of fire in the Demised Premises. Notwithstanding
the foregoing, if the Demised Premises are totally or substantially damaged or are rendered wholly or
substantially untenantable by fire or other cause, and if Landlord shall decide not to restore or not to rebuild
the same, or if50% or more of the Building shall be so damaged (whether or not the Demised Premises have
been damaged), or if the Building shall be so damaged that Landlord shall decide to demolish it or to rebuild
it (whether or not the Demised Premises have been damaged), then, or in any of such events, Landlord may,
within forty five (45) days after such fire or other cause, give Tenant a notice in writing of such decision
(which notice shall be given as herein provided), and thereupon the term of this Lease shall expire by lapse
of time upon the third day after such notice is given, and Tenant shall vacate the Demised Premises and
surrender the same to Landlord. I Upon the tennination of this Lease under the conditions provided for in
the sentence immediately preceding, Tenant's liability for rent shall cease as of the day following the
casualty. In no event shall the Landlord be liable to the Tenant for damages for the casualty, cause thereof,
or temlination of the Lease. If the damage or destruction be due to the fault or neglect of Tenant, the debris
shall be removed by, and at the expense of, Tenant and, if Tenant shall fail to remove same, such removal
may be done by Landlord at the expense of Tenant.
11.2 No damages, compensation or claims shan be payable by Landlord for
inconvenience. loss of business or annoyance arising from any repair or restoration of any portion of the
Demised Premises or of the Building. Landlord shall use its best efforts to effect such repairs promptly and
in such manner as not unreasonably to interfere with Tenant's occupancy.
12. Entry and Inspection. Tenant will permit Landlord and its agents to enter the
Premises at all reasonable times for the purpose of examining or inspecting the same, or for the purpose of
protecting Landlord's reversions, or to make alterations, repairs, or additions to the Premises or to any other
portion of the Building, or for maintaining any service provided by Landlord to tenants in the Building, or
for the purpose of removing placards. signs, fixtures, alterations or additions which do not confoml to this
Lease or the rules and regulations of the Building. or for any other purpose which Landlord reasonably
deems necessary for the safety. comfort or preservation of the Premises or Building. Tenant will permit
Landlord at any time within six (6) months prior to the expiration of this Lease to bring prospective tenants
upon the Premises for purposes of inspection and to put or keep upon the doors or windows thereof a "For
Rent" and/or "For Sale" notice. In furtherance of such rights, Landlord shall retain a key to the Premises and
Tenant shall not install any new locks to the Premises without the prior written consent of Landlord and
unless Tenant furnishes Landlord with a copy of such key. No entry pursuant to this Paragraph shall in any
way be deemed a breach of the covenant of quiet enj0yment.
13. Indemnity. Except in the event of Landlord's gross negligence or intentional
acts. Landlord shall not be liable to Tenant, Tenant1s agents, employees, or invitees for any injury or damage
that may result to any person or property (including, without limitation, any of Ten ant's property) by or from
any cause whatsoever, including, without limitation, any act or omission of any co~tenant or occupants of the
Building or of any other entity or person whomsoever (without limiting the generality of the foregoing,
whether caused by gas, fire, oil, electricity, bursting of pipes or defective construction or maintenance) in, on
or about the Premises, or any part thereof, and Tenant covenants not to bring or abet any such action. Tenant
agrees to indemnify, defend and hold Landlord and its officers, directors, agents and employees harmless
from and against any and all claims, liabilities, costs or expenses whatsoever (including attorneys' fees and
court costs at all tribunal levels) for any injury or damage to any person or property whatsoever arising from
any occurrence at the Premises occasioned by any act or omission of Tenant, its agents, contractors,
employees, or invitees..
14. Utilities and Services. Electricity is billed to Landlord and there is an internal
meter to monitor monthly electric consumption to Tenant thus Landlord will bill Tenant for its portion of the
electricity. Garbage is $590.20 per month for a 5 day week pick-up and the Landlord uses $233.70 two days
a week so the Tenant will pay the difference. Water consumption will be billed by the Landlord and will be
split 50/50. The cost and performance of janitorial, telephone, and security service for the Premises shall be
Tenant's sole responsibility. Landlord shall not be liable to Tenant for any interruption in the service of any
utility. No interruption or failure of such utilities or services shall relieve Tenanl from the obligation to pay
zinaJ caof! co Ion Ise .doc
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the full amount of rent and other charges herein reserved, nor shall the same constitute a constructive or other
eviction of Tenant unless caused by the Landlord.
IS. Notices. All notices required or permitted to be given under this Lease by either
party to the other shall be given in writing and shall be given by personal delivery or hy registered or
certified mail, return receipt requested, or by Federal Express, postage prepaid, sent to Landlord c/o Concert
Association of Florida, Inc., 55 17th Street, Miami Beach, FL 33139 or at such other place and to such
other person as Landlord may from time to time designate in writing. Any notice to be given to Tenant under
this Lease, if given by registered or certified mail or Federal Express, as above provided, shall be sent to
Tenant, with a copy to Betty M. Capote, Esq., 1101 Brickell Avenue, 17th floor, Miami, Florida 33131.
Notice given by personal delivery shall be effective as of the date ofdeIivery; notice mailed shall be effective
as of the third day (not a Saturday, Sunday or legal holiday) next following the date of mailing; notice by
Federal Express shall be effective on the next business day following the date of sending.
16. Default. Tenant covenants and agrees that any of the following events shall be a
default under this Lease: (i) if Tenant or any guarantor of any of Tenant's ohligations hereunder shall fail to
perform or observe any covenant, condition or agreement to be performed or observed by such party
hereunder or under any guaranty agreement; or (ii)ifTenant or any guarantor of any of Tenant's obligations
hereunder shall cease doing business as a going concem, make an assignment for the benefit of creditors,
admit in writing its inability to pay its debts as they become due, become insolvent (Le., greater liabilities
than assets), or take any action looking to its dissolution of liquidation; or (Hi) if Tenant or any guarantor of
Tenant's obligations should file for relief, or have filed against them, an action under any provision of any
state or federal bankruptcy or insolvency law; (iv) if Tenant shall abandon or vacate the Premises; (v) if
Tenant fails to pay all charges for gas, sewer, electricity and other utilities which are separately metered for
the Premises within fifteen (IS) days afier such are due; or (vi) if Landlord determines, in its reasonable
discretion, that lUlpleasant noises or odors emanate from the Premises and Tenant does not eliminate such
noises and odors permanently within five (5) days after written notice from Landlord, then, in the event of
any such default, Landlord may, at its option, elect any ofthe following remedies:
(a) Re-take and recover possession of the Premises, tenninatc this Lease. and retain
Tenant's security deposit.
(b) Re-take and recover possession of the Premises, without terminating this Lease,
in which event Landlord may re-rent the Premises as agent for and for the account of
Tenant and recover from Tenant the difference between the rental herein speci fied and
the rent provided in such re~rental including, without limitation, attorneys' fees.
(c) Permit the Premises to remain vacant in which event Tenant shall continue to be
responsible for all rental and other payments thereunder.
(d) Re-take and recover possession of the Premises, and accelerate and collect all
rent due herelUlder for the balance of the tenn of this Lease.
(e) Take any other action as may be permitted under applicable law.
Except as provided in paragraph (vi) above, the remedies available to Landlord in the
event of Tenant's default shall not be available to it, in the event of non-monetary defaults only, until after
Landlord has delivered written notice of such default to Tenant and Tenant has failed to cure same within
fifteen () 5) days after receipt of such notice, or has undertaken such cure, assuming that same cannot be
completed within the IS day period.
All of the Landlord's remedies contained in this Lease shall be cumulative and election
by Landlord to take anyone remedy shall not preclude Landlord from taking any other remedy not by its
nature absolutely incompatible with any previously or contemporaneously elected remedy.
17. Attorneys' Fees and Costs. Prevailing party shall be entitled to recover all costs,
including reasonable attorneys' fees at all tribunal levels, incurring by such party in enforcing this Lease or
any covenant hereof or in the collection of any rent, or other sum of money, becoming due hereunder or in
the re<.:overy of possession of the Premises, in the event of the breach by Tenant of any of the tenns or
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provisions of this Lease, or any other dispute between the parties relating to the interpretation or enforcement
of this Lease.
18. Non-Waiver of Breach. Landlord's failure to take advantage of any default or
breach of covenant on the part of Tenant shall not be construed as a waiver thereof, nor shall any custom or
practice which may grow between the parties in the course of administering this Lease be construed or to
waived or to lessen the right of Landlord to insist upon the strict performance by Tenant of any term,
covenant or condition hereof, or to exercise any rights of Landlord on account of any such default. A waiver
of a particular breach or default shall not be deemed to be a waiver of the same or any other subsequent
breach or default. The acceptance of rent hereunder shall not be, or be construed to be, a waiver of any
breach of any term, covenant or condition of this Lease. The presentation of any rent or other charge
hereunder in the fonn of a check marked by Tenant to constitute a waiver of any default shall not constitute
such waiver even though endorsed and cashed by Landlord unless Landlord expressly agrees to waive such
default by separate Mitten instrument. No surrender of the Premises for the remainder of the teon hereof
shall operate to release Tenant from liability hereunder.
19. Subordination, Attornment and Non-Ilisturbance This Lease and Tenant's rights
hereunder, are hereby made expressly subject and subordinate to any and all security agreements, mortgages,
ground or underlying leases, or like instruments resulting from any financing or refinancing affecting the
Premises or Building which are currently in existence or which may hereafter be created by Landlord, or its
successors or assigns, including any and all extensions and renewals, substitutions, and amendments thereof,
and to any and all advances made or to be made under same (collectively the "Mortgage"). Tenant agrees to
execute any instrument or instruments which the Landlord may deem necessary or desirable to further
evidence the foregoing subordination. Tenant agrees that in the event of any act or omission by Landlord
which could constitute a default by Landlord or give Tenant the right to terminate this Lease or claim a
partial e\'iction, Tenant shall not exercise any such right until (i) Tenant notifies Landlord in writing of such
default and Landlord fails to cure such default within fifieen (lS)days of such notice. This Lease is
subordinate and subject to all of the terms and conditions of the J ,ease between the Landlord, as Lessee, and
the City of Miami Beach (the "Owner") dated September 27, 1994, as amended and extended, (the "Master
Lease"). 1ne Owner, by its joinder herein, agrees for itself and on behalf of any future tenant that so long as
Tenant is not in default under this Lease this Lease shall remain in full force and effect and the Tenant shall
not be disturbed and in the event the Master Lease is terminated, Owner shall succeed to the interest of
Landlord under this Lease, and the Tenant agrees to attorn to the rights of the Owner or any future lessee of
the Owner so long as the rights of the Tenant are not affected, it being the intention that the Tenant shall
have and remain with all of the rights, obligations, terms and conditions of this Lease in full force and effect
during the entire ternl of this Lease, including any option periods, notwithstanding any change in the
Landlord. Upon the temlination of the Master Lease with the (lwner, the Landlord shall be released from
any further liability or responsibility to the Tenant so long as OWJlcr assumes such liability and responsibility
and the Tenant agrees to look to the Owner or substituted Landlord exclusively for all matters.
20. Time. It is understood and agreed between the parties hereto that time is of the
essence of this Lease, and to all of the tenns, conditions and provisions contained herein. any time period
herein described of ten (10) days or more shall mean calendar days; less than ten (10) days shall mean
business days.
21. Sublease. This is a Sublease. The Landlord's interest in the Premises is as
Lessee under the Master Lease between it and the City of Miami Beach dated September 27, 1994, as
amended and extended, a copy of which initialed for identification, is attached hereto. This Sublease is
expressly made subject to all the terms and conditions of the Master Lease. The Lessee shall use the
Premises in accordance with the tenns of the Master Lease and not do or omit to do anything which will
breach any of its terms. The Tenant shall assume the obligati1m for perfomlance of all the Landlord's
obligations under the Master Lease regarding and restricted 10 the Premises leased hereby, excluding
paragraphs 22 and 28 thereof. and Landlord shall assume the obligations for performance of Owner's
obligations under paragraph 9 thereof.
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22. Amendment of Lease. This Lease may not be altered, changed, or amended,
except by an instrument in writing, signed by the party against whom enforcement is sought. This Lease and
any exhibits contain the entire agreement reached in all previous negotiations between the parties hereto and
there are not other representations, agreements or understandings except as specifically set forth herein.
23. Condemnation.
23.1 In the event that the whole of the Demised Premises shall be condemned
or taken in any manner for any public or quasi-public use, this Lease and the tenn and estate hereby granted
shall forthwith cease and terminate as of the date of vesting of title. In the event that only a part of the
Demised premises shall be so condemned or taken, then effective as of the date of vesting of title, the base
minimum rent hereunder for such part shall be equitably abated and this Lease shall continue as to such part
not so taken; provided, however, that if Tenant shall, in its reasonable judgment, decide that its business is
not economically viable as a result of such taking, Tenant shall have the right to tenninate the Lease. In the
event that only a part of the Building shall be so condemned or taken, then (a) if substantial structural
alteration or reconstruction of the Building shall, in the reasonable opinion of Landlord, be necessary or
appropriate as a result of such condemnation or taking (whether or not the Demised Premises be affected),
Landlord may, at its option, temlinate this Lease and the ternl and estate hereby granted as of the date of
such vesting of title by notifying Tenant in writing of such ternlination within 60 days following the date on
which Landlord shall have received notice of vesting of title, or (b) if Landlord does not elect to terminate
this Lease, as aforesaid, this Lease shall be and remain unaffected by such condemnation or taking, except
that the base minimum rent shall be abated to the extent, if any, hereinbefore provided. In the event that only
a part of the Demised Premises shall be so condemned or taken and this Lease and the term and estatc hereby
granted are not terminated as hereinbefore provided, Landlord will, at its expense, restore with reasonable
diligence the remaining structural portions of the Demised Premises as nearly as practicable to the same
condition as it was in prior to such condemnation or taking.
23.2 In the event of tennination in any of the cases in this Article provided,
this Lease and the term and estate hereby granted shall expire as of the date of such termination with the
same effect as if that were the date hereinbefore set for the expiration of the teml of this Lease, and the base
minimum rent hereunder shall be apportioned as of such date.
23.3 In the event of any condemnation or taking of all or part of the Building
or the Demised Premises, Landlord shaH be entitled to receive the entire award in the condemnation
proceeding, including any award made for the value of the estate vested by this Lease in Tenant, and Tenant
hereby expressly assigns to Landlord any and all right, title and interest of Tenant now or hereafter arising in
or to any such award or any part thereof, and Tenant shall be entitled to receive no part of such award.
Notwithstanding the foregoing, Tenant may file a claim and receive a separate award for the unamortized
value of its leasehold improvements, personal property and fixtures, business dislocation damages. and all
expenses involved in relocation.
24. Surrender of Demised Premises. Tenant agrees to surrender the Premises and the
Inventory at the tennination of the tenancy herein created in the same condition as received by Tenant,
reasonable use and wear thereof excepted.
25. Holding Over. In case of holding over by Tenant after expiration or termination
of this Lease, Tenant will pay for each month of such holdover period double the amount of the rent and
other charges accruing for the last month during the term of this Lease. No holding over by Tenant after the
ternl of this Lease shall operate to extend the Lease, except that any holding over with the consent of
Landlord in writing shall thereafter constitute this Lease as a month to month tenancy.
26. Interpretation. The parties hereto intend that the interpretation and enforcement
of this Lease be governed by the laws of the State of Florida. If there is more than one Tenant, the
obligations hereunder imposed upon Tenant shall be joint and several. The words "Landlord" and "Tenant"
shall also extend to and mean the successors in interest of the respective parties hereto although this shall not
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be construed as conferring upon the Tenant the right to assign this Lease or sublet the Premises or confer
rights of occupancy upon anyone other than Tenant. AU charges due from Tenant to Landlord hereunder,
including, without limitation, any charges against Tenant by Landlord for services or work done on the
Premises by order of Tenant, except sales tax, shall be decmed additional rent, shall be included in any lien
for rent, and shall be paid (including sales tax) without setoff or defense of any kind. This Lease has been
fully negotiated and reviewed by the parties and their counsel and is the work product of both Landlord and
Tenant; it shall not be more strictly construed against either party.
27. Quiet Enjoyment. Tenant shall and may peaceably have, hold and enjoy the
Premises subject to the terms of this Lease and provided Tenant pays the rental herein reserved and performs
all the covenants and agreements herein contained. However, this covenant shall be subject to the terms of
the underlying Lease and of any mortgages which may now or later affect the Premises.
28. Estoppel Certificate Within five (5) days afier request therefor by Landlord,
Tenant shall deliver to Landlord, in a form satisfactory to Landlord, a certificate certifying (i) the good
standing and absence of default under this Lease; (ii) the absence of set-offs to charges hereunder; (iii) the
validity and completeness of a copy of this Lease and all amendments to be attached to the certificate; (iv)
the amount of pre-paid rent; (v) the amount of security deposit; (vi) the commencement and expiration dates
hereof; (vii) the dates and amounts of the last made and next due rental installments; and (viii) such other
matters as Landlord shall request.
29. Signage. Except with the prior written consent of Landlord, the Tenant shall not
erect, install, display, inscribe, paint or affix any signs, lettering or advertising mediums, in, upon, or above
any exterior or interior portion of the Premises including, without limitation, the storefront as well as the
exterior glass surfaces thereof. Nevertheless, it is contemplated that signage will be allowed by the
Landlord, in keeping with Landlord's building standards in Landlord's sole and uncontrolled discretion, al1d
in keeping with a first class arts/business district and the design of the Colony Theater.
30. Parking. Tenant shall be responsible, at Tenant's sole cost and expense. for the
payment of all parking, impact or other fees, if any, related to Tenant's use or occupancy of the Premises or
Iluilding.
31. All attachments and exhibits to this Lease shall be considered a part hereof.
32. Brokera~e. The parties represent and warrant to each other that there are no
brokers involved in this Lease transaction and agree to indemnify, defend and hold harmless the indemnified
party from and against all costs. claims, liabilities, expenses or damages of any kind whatsoever (including
but not limited to attorneys' fees and costs at all tribunal levels) arising from any such brokerage claim made
against the indemnified party by anyone claiming a commission or fee of any kind as a result of actions by
the indemnifying party.
33. Recording. Landlord may record a short form of memorandum (the
"Memorandum") of this Lease. Within five (5) days of written request by Landlord, Tenant shall execute
Landlord's form Memorandum and promptly return such to Landlord for recordation.
34. Authority. Tenant and person signing on behalf of Tenant have full right and
authority to enter into this Lease, and each of the persons signing on Tenant's behalf are authorized to do so.
In addition, Tenant warrants that it is not necessary for any other person, firm, corporation, or entity to join
in the execution of this Lease to make the Tenant's execution complete, appropriate and binding.
35. Severability. Inapplicability, invalidation, or unenforceability of anyone or
more of the provisions of this Lease or any instrument executed and delivered pursuant hereto, by judgment,
comt order or otherwise, shall in no way affect any other provision of this Lease or any other such
instrument, which shall remain in full force and effect.
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36. Radon Gas. 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
unit.
37. Rules and Regulations. The rules and regulations as may be hereafter adopted by
Landlord for the safety, cleanliness and operation of the Building and the preservation of good order therein
and for the most efficient use by all tenants, agents, employees, jnvitees and visitors of the automobile
parking spaces provided by Landlord, if any, are expressly made a part of this Lease and Tenant agrees to
comply with such rules and regulations. No rules and regulations shall prohibit the reasonable use of the
Premises by Tenant, its agents, employees, invitees and visitors for the purposes permitted by this Lease.
The Landlord shall not be responsible to Tenant for any nonobservance of such rules and regulations by any
other tenant of the Building. The rules and regulations shall be binding upon the Tenant upon delivery of a
copy of them to Tenant.
38. Lien Upon Tenant's Property. Landlord hereby waives its Landlord's statutory
lien on all of the furniture, fixtures, equipment, goods and chattels of Tenant which shall or may he brought
or put into the Premises with the exception of those items identified on Exhibit I and any replacements
thereof/ Tenant hereby expressly waives and renounces for himself and family any and all homestead and
exemption rights he may now or hereafter acquire under or by virtue of the constitution and laws of the State
of Florida or of any other state, or of the United States, as against the payment of said rent or any other
obligation or damage that may accrue under the terms of this Lease.
39. Trial by Jury. Tenant and Landlord hereby waive any and all right to a jury trial
of any issue or controversy arising under this Lease.
40. Displays. The Tenant Illay not display or sell merchandise or allow grocery carts
or other similar devices within the control of Tenant to be stored or to remain outside the defined exterior
walls and pem1anent doorways of the Premises. Tenant further agrees not to install any exterior lighting,
amplifiers or similar devices or use in or about the Premises any advertising medium which may be heard or
seen outside the Premises, such as flashing lights, searchlights, loudspeakers, phonographs or radio
broadcasts.
41. Covenant of Rent. Tenant agrees that the provisions for payment of Rent herein
are independent covenants of Tenant and Tenant shall not interpose any counterclaim or counterclaims in a
summary proceeding or in any action based upon non-payment of rent or any other payment required of
Tenant hereunder.
42. Indemnity for Toxic Waste. Tenant (and any guarantor) hereby agree not to emit
or discharge or cause to be emitted or discharged any toxic or hazardous waste or environmental pollution
and to indemnify, defend and hold the Landlord, any Mortgagee as hereinafier defined, and their successors
and assigns harmless from and against any cost, claim, damage, expense or liability of any kind whatsoever
including, but not limited to, attorney's fees and costs at all tribunal levels arising out of any act or omission
of Tenant, its agents or any other person on the Premises under color of authority of Tenant, giving rise to
any toxic waste, chemical pollution, or similar environmental hazard regardless of whether any such act or
omission is, at the time of occurrence, a violation of any law or regulation. The foregoing indemnity shall
survive the tennination or expiration of this Lease, anything else herein to the contrary notwithstanding.
43. Option to Renew:
A. In the event that the Tenant is not then in default hereunder, Landlord
grants T cnant the option to renew this Lease for an additional tenn of three (3) years under all of the same
tenns and conditions of this Lease with the exception of rent. The rent to be charged for the first Option
Year (Base Rent) of the renewal (Option) period shall be the rent charged during the sixth (6th) year plus an
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adjustment pursuant to Paragraph 5.1 hereof. Such Base Rent shall further be adjusted annually pursuant to
Paragraph 5.1 hereof, and all other terms and conditions of this Lease shall remain in full force and effect.
Tenant shall give Landlord written notice of its intention to exercise this option during
the last six months of the last Lease year. If the Tenant fails to furnish such notice within such time, this
renewal Option shall terminate and be null-and-void.
44. Tenant Improvements. Tenant agrees to make improvements to the Premises for a
minimum of$SO,OOO.OO.
45. lnventorv. All of the property set forth in Exhibit I attached hereto shall remain at
the Premises and Tenant shall have the right to use such property in connection with Tenant's operation of
its business at the Premises. Tenant agrees to replace such items as required by wear and tear, and all such
items (including the replacements) shall remain the property of the Landlord and returned to the Landlord at
the termination of this Lease.
In the event there are less than eight (8) performances in any given month during the
teml of this Lease, the Base Rent for any and all such months shall be reduced to $1,500.00 per month.
46. During the term of this Lease, Tenant shall be the exclusive concessionaire and
caterer for the Theater, and agrees to service the patrons of the Theater at all intermissions with appropriate
Theater concession services. Landlord further agrees that except as to Tenant, no part of the Building
(including outside the Building) shall be leased or used for the sale of food or food products.
IN WITNESS WHEREOF, Landlord and Tenant have duly executed this Lease in
several counterparts effective as of the day and year first above written, each of which counterpart shall be
considered an executed original. In making proof of this Lease it shall not be necessary to produce or
account for more than one counterpart.
WITNESSES:
~"o~>.
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LANDLORDILESSOR:
CONCERT ASSOCIA nON OF FLORIDA, INC.
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TENANTILESSEE:
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JOINED BY TilE CITY OF MIAMI BEACH ("OWNER")
PURSUANT TO PARAGRAPH 19
(As to own[) fc
UC!V-( if' UlCev-
Print Name Robert Parcher
City Clerk
~~E~~t41 BEACH
By:
Title Neisen 8sdin, Mayor
APPROVED Ni TO
FORM & LANGUAGE
& FOR EXECUTION
114.
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Date
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ADDENDU1\'1 TO LEASE
Addendum to Commercial Lease Agreement (the "Lease") of even date herewith by and
between CONCERT ASSOCIATION OF FLORIDA, INC., as Landlord, and COLONY
THEATER CAFE, INC., a Florida corporation. as Tenant. for a portion of [he premises located
at 1040 Lincoln Road, Miami Beach, Florida.
Notwithstanding any clause in the Lease to the contrary. the' following shall prevail:
1. The Tenant shall pay to the Landlord as security deposit simultaneously with the
execution of this Lease the sum of FOUR THOUSAND and NOIlOO ($4,000.00) DOLLARS.
to be held by Landlord without interest as a security deposit for the full and faithful perfonnance
by Tenant of the tenns and conditions of this Lease.
2. The second paragraph of section 45 of the Lease is hereby amended to read as
foiiows:
"In the event there are five (5) to seven (7) perfonnances in any given month during the
tenn of this Lease, the Base Rent for any and all such months shall be $2,500.00. In the event
there are less than five (5) perfonnances in any given month during the tenn of this Lease, the
Base Rent for any and all such months shall be $1,500.00."
3. Section 44 of the Lease is hereby amended to read as follows: "Tenant
Imorovements. Tenant agrees to make improvements to the Premises for a minimum of
$200,000.00, such amount includes the COSt of the liquor license. furniture, tableware,
equipment, and all other expenses required for Tenant to open for business."
Capitalized tenns used herein and nO! defined or amended herein shall have the meaning
ascribed to them in the Lease. If there are any conflicts between the Lease or this Addendum
to Lease, this Addendum to Lease shall control.
IN WITNESS WHEREOF" Landlord and Tenant have caused this Addendum to Lease
to be exe tes set forth below.
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CONCERT ASSOCIA nON OF FLORIDA.
INC.
By:
Name:~~u~u
Title;; ",.. -.(,..' .
TENANT:
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COLONY THEATER
a Florida co /
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EXHIBIT C
RENT AL FEES
RIDER TO COLONY THEATRE CONTRACT
Licensee:
Performance:
Contact Name:
Address:
Phone:
Fax:
1. PAYMENT SCHEDULE
Theatre Rental & House Fees
DUE
THEATRE RENTAL $
HOUSE FEES $
TOTAL $
50.4 non-refundable security deposit $ DUE
Balance $ DUE
Ticketing Charges
2% of Gross Sales at Colony Box Office Window Deducted from TiCket Master settlement
Ticket Printing Cost of $.15 GA or $.20 ReselVed Seating Deducted from Ticket Master settlement
(Box Office Sales only)
2% of Gross Sales at Ticket Master Outlets Deducted from Ticket Master settlement
3% of Gross Sales through Ticket Master Phones Deducted from Ticket Master settlement
TiCket Master Surcharge of $.10 per tiCket on Box Office Sales Deducted from TiCket Master settlement
Printing Cost & Ticket Master Surcharge a/so apply to free events & compliments tickets
Insurance Requirement
Payment of $275 Daily or Receipt of Certificate of Insurance
Labor & Equipment Rental
Labor Invoice with Payment to Individual Technicians
Equipment Rental Invoice
CERTIFICATE or $ DUE
Due upon load-out
Due upon load-out
2. LICENSEE DESIGNATION
() Non-Profit organization designated by Section 501 @ 3 of the Internal Revenue Code
Applicant must provide a copy of the IRS determination letter
(I Sales tax-exempt organization as designated by the Florida Department of State
Applicant must provide a copy of the State of Florida sales tax exemption certificate
(I Commercial Organization
licensee FederallD#:
3. THEATRE RENTAL RATES & SCHEDULE TOTAL: $
Non-Profit Oraanization
Applicant must provide audited copy of Non-Profit Group's Annual Budget for FY 2000-2001.
Annual Operating Budget
$1,000,000 or more
$ 500,000 - 999,999
$ 250,000 - 499,999
$ 100,000 - 249,000
$ less than $100,000
2"" Performance in Same Day
Load-In - Rehearsal Period
Overtime:
After 6 hour day
Late Storage Fee
Commercial Oraanization
Performance Period
2"" Performance on Same Day
Load-In or Rehearsal Period
Overtime:
After 6 hour day
Late Storage Fee
LOAD-IN DATES:
TIME-IN:
TIME-OUT:
RATE:
PERFORMANCE DATES:
TIME:
RATE:
THEATRE RENTAL SUB-TOTAL:
SALES TAX @ 6.5%:
THEATRE RENTAL TOTAL:
$700 for 6-hour performance period
$600 for 6 hour performance period
$500 for 6 hour performance period
$400 for 6 hour performance period
$350 for 6 hour performance period
$200 for additional performance
$250 for 6 hour period
$ 50 per hour
$150 Daily
$800 for 6-hour period, or 10% of Box
Office Gross Receipts, whichever is greater
$400 for additional performance, or 10% of
Box Office receipts, whichever is greater
$450 for 6 hour period
$100 per hour
$150 daily
$
$
$
4. HOUSE FEES
TOTAL: $
Front of House Fee, Includes:
Box Office Personnel, Ticketing Set-up & Servicing
House Manager, Ushers & Ticket Takers
Maintenance Crew
Front of House Fee, Additional Performance on Same Day
Front of House/House Manager Fee for Receptions
Merchandising Commission
Videotaping for Commercial Use or Broadcast
$250 per performance
$100 per performance
$18.00 per hour with a 2-hour minimum
10% Gross Sales
$600 Flat Fee
PERFORMANCE DATES:
TIME:
RATE:
HOUSE FEES SUB-TOTAL:
SALES TAX@ 6.5%:
TOTAL HOUSE FEES:
$
$
$
5. CONCESSIONS & RECEPTION INFORMATION
CAF's authorized concessionaire shall have exclusive right to operate the concession facilities at all times
and to cater all events held on premises. Please contact the General Manager/Karen Kor1and Caruso for
catering information at 305-674-1040.
6. BOX OFFICE INFORMATION
The Colony Theatre has an exclusive agreement with Ticket Master for all ticketing for every performance.
The Ticket master system produces an audited final settlement of all ticket sales generated at the Colony
Box Office, Outlet & Phone Sales, and tickets promoter takes off the system to sell. Licensor and Licensee
acknowledge and agree that the Ticket Master settlement provides the most reliable information available
regarding ticket revenues and shall be binding and conclusive as to the obligations between Licensee and
Licensor.
1. The Colony will program your event on-line, without a Ticket Master set-up fee.
2. The Colony will service your performance fully with our Box Office personnel responsible for advance sales
through the Colony Box Office Window and Ticket Master Will Call, Day of Performance Sales and
Preparation of Final Settlement. The Colony Theatre Box Office Window does not take phone orders and
accepts only cash for all sales, no checks or credit cards.
3. The Colony will permit Licensee to request up to 250 tickets for each performance to sell through their own
office at a ticket printing cost of $.15 per ticket for General Admission events, and $.20 per ticket for
Reserved Seating Events, in addition to $.10 per ticket charged by Ticket Master. Licensee may retum any
unsold portion of this allotment to the Colony Theatre Box Office up to 48 hours prior to performance for
sales, but no later than that time. The Colony is not responsible for any monies generated from Licensee's
off-site sales. Licensee is responsible for providing any off-site sales figures for inclusion in the final
settlement purposes of determining commercial gross receipts against minimum rental payment. The Coiony
The;;tre will not duplicate the printing of tickets for any of Licensee's off-site allotment.
4. The Colony will permit Licensee to submit an alphabetized, approved list of complimentary tickets no less
than two hours prior to curtain at a ticket printing cost of $.15 General Admission or $.20 Reserved Seating
per ticket by the Colony Box Office as well as $.10 per ticket by Ticket Master.
5. The Colony will permit Licensee only one representative in the Box Office at one hour prior to curtain and
requests that one representative of Licensee remain in the Box Office to sign off on the performance audit
with the Box Office Manager.
6. No ticket monies may be removed from the Colony Box Office prior to final Ticket Master settlement without
the express permission of the Colony Theatre General Manager.
7. In al advertising or other promotional materials, which Licensee creates, Licensee must include the full
Ticket Master logo as included in the rental packet.
Ticketing Set-up information:
The Colony Theatre will place all performances on the Ticket Master system for sale no later than two weeks after
the receipt of two signed copies of the Rental Agreement and payment of the theatre rental's non-refundable 50%
security deposit. Prior to the sale of any admission tickets, Licensee must provide the Colony Theatre with the
information to be printed on all tickets. Should Licensee change ticketing information after performances have been
approved and built on the Ticket Master system. any adjustments may take at least an additional 48 hours to take
effect.
Bookkeeping & Final Settlement Information
1 . The Colony Box Office will be responsible for keeping a daily log of ticket sales and will hold all ticket revenues
until final settlement.
2. The Licensee shall permit any agent or representative of the Colony Theatre to inspect any and all books and
records of the Licensee under this Agreement in order to determine the amount payable by the Licensee to the
Colony Theatre under this Agreement.
3. The Colony Theatre shall be entitled to up to six (6) complimentary tickets for each performance to be used at
the discretion of the Colony Theatre Management.
4. The Colony Box Office does not refund any ticket purchases except with the written authorization of Licensee.
5. On the first Thursday following the final performance of the program. The Colony Box Office will issue a check
payable to Licensee for all ticket revenues minus Ticket Master commissions.
Final settlement check may be held until all Colony Labor and Equipment Invoices have been paid in full.
7. INSURANCE REQUIREMENT
TOTAL: CERTIFICATE or $ DUE
1. Licensee is required to fumish $1,000,000.00 bodily injury/property damage with coverage obtained either
through (1) coverage under the Concert Association of Florida at a cost of $275 per day; or (2) fumishing a
Certificate of Insurance covering general liability in the amount of $1 ,000,000.00 naming the Concert Association
of Florida and the City of Miami Beach as additional insured.
2. Licensee is required to fumish written proof that adequate Workman's Compensation insurance has been
obtained covering all Licensee employees including, but not limited to, stagehands.
8. TECHNICA.L POLICIES A.ND RATES
Licensee must complete the attached Technical Questionnaire and retum to the Colony Theatre Production Manager
no less than 2 weeks prior to performance in order to process their event.
1. All labor invoices are payable in full before the final performance. If performance period is longer than one week,
restitution must be made at the end of each week, before that week's final performance. Final settlement check may
be held until all Colony Labor and Equipment Invoices have been paid in full.
2. All labor checks must be payable to the individual technician. Any payments for labor payable to the 'Colony Theatre'
are subject to a 20% surcharge for payroll taxes and administrative fees.
3. Licensee is required to use Colony Crew Heads for all events, consisting of a minimum of 1 Sound Technician, 1
Lighting Technician and 1 Stage Technician. Additional labor will be provided by the Colony Theatre as needed and
coordinated through the Colony Technical Director at the rates listed below.
4. Crew will get a lunch or dinner break after 5 hours of consecutive work. Crew will be considered off the clock if given
1-hour break. Crew will be considered on the clock if given half an hour break.
5. Double time rates will apply on the following holidays: Christmas Eve and Day, New Year's Eve and Day, Fourth of
July, Martin Luther King Day, Thanksgiving, Memorial Day and Labor Day.
6. Anytime a 1Bchnician is requested to work past midnight or before 8:00AM, technician shall be paid time-and-a-half
regardless of how many hours they have previously worked.
7. After 10 minutes past the hour it will be considered as a full half an hour time billed.
8. Technicians must be on the clock one hour prior to performance.
9. All equipmef1t and company property must be removed from the facility immediately after the final performance. Any
equipment and company property not removed at that time may be discarded or stored at the rate of $150 per day.
labor Rates - Non-Profit Oraanization
Technician - Performance Period
3 hour ca/l from advertised time of curtain
Technician - Load-in or Rehearsal Period
3 technicians & 4-hour minimum on all calls
Overtime
After 8 hours on a day or after 3 hours of a performance call
$45.00 flat fee per man
$12.00 per hour per man
$18.00 per hour per man
Commercial Oraanization
Technician - Performance Period
3 hour oall from advertised time of ourtain
Technician - Load -in or Rehearsal Period
3 teohnioians & 4-hour minimum on all calls
Overtime
After 8 hours on a day or after 3 hours of a performance oall
$50.00 flat fee per man
$15.00 per hour per man
$22.50 per hour per man
labor Surcharae
For Labor Checks payable to "Colony Theatre"
20% Administrative Fee
EQuipment Rental Rates
Marle Dance Floor
Follow spot
Piano Rental
Piano Tuning
Wireless Microphone (each)
Storage Fee
Items left in theatre or lobby after finalload-{)ut
Equipment Sales Tax
$ 65.00/day
$ 45. OO/day
$ 70.00/day
Market Rate
$ 50.00/day
$150.00/day
$155.00Iweekly
$135.00Iweekly
$210.00Iweekly
$150.00Iweekly
6.5% Sales Tax
9. ADVERTISING & PLAYBILL INFORMATION
1 . Licensee is solely responsible for supplying his or her own theatre programs for all performances. Any theatre
program distributed at the Colony Theatre must include the following billing information:
The Colony Theatre is managed by the Concert Association of Florida
Judy DruckerIPresident
Funding lor the Colony Theatre is provided in part by the Metro-Dade Cultural Affairs Council,
The Miami Beach Visitor & Convention Authority, and the City of Miami Beach.
Karen KorlandCaruso/General Manager
Eric FlisslProduction Manager
John Schneider/Assistant Technical Director
Jay Jensen/House Manager
Scott EmstJHouse Manager
2. At their discretion, the Colony may advertise in The Miami Herald, New Times or other publications with a strip
advertisement of coming allractions. Licensee is encouraged to submit program and ticket pricing information to
the Colony for inclusion in these advertisements, but the Colony accepts no responsibility for the accuracy of
Licensee's information or frequency of advertisements placed in any publications.
Licensee agrees to the terms and conditions of this RIDER TO COLONY THEATRE CONTRACT as part of
the RENTAL AGREEMENT.
LICENSOR: CONCERT ASSOCIATION OF FLORIDA:
LICENSEE:
CITY OF MIAMI BEACH
Planning Department
Interoffice Memorandum
m
To:
Christina Cuervo
Assistant City Manager
Date: July 11, 2001
From: Thomas R. Mooney, AICP
Design and Preservation Manag
Subject: Analysis of the City Owned Property at the Colony Theatre for Lease to the
Concert Association of Florida.
Pursuant to your request, this memorandum will serve as an analysis of the Lease
Agreement between the City of Miami Beach and the Concert Association of Florida, Inc.,
for the management and operation of the Colony Theatre, located at 1040 Lincoln Road.
Such Lease Agreement will be for a three (3) year term commencing on August 1, 2001
and ending on July 31,2004.
Section 82-38 of the Code of the City of Miami Beach requires that any proposed sale or
lease of city-owned land be analyzed from a planning perspective so that the City
Commission and the public are fully apprised of all conditions relating to the proposed sale
or lease. The following is an analysis of the eight criteria delineated in Section 82-38 of
the Code:
1. Whether or not the proposed use is in keeping with City goals and objectives
and conforms to the City Comprehensive Plan.
The subject property, the Colony Theatre, is characterized as a Cultural Institution, serving
the needs of the entire community and contains several public facilities. The Future Land
Use Map of the City's Comprehensive Plan designates the site as GU, Municipal Use.
The Lease Agreement between the City and the Concert Association for the management
and operation of the Colony Theatre would be consistent with the land use designation
contained in the Comprehensive Plan.
2. The impact on adjacent property, including the potential positive or negative
impacts such as diminution of open space, increased traffic, noise level or
enhanced property values, improved development patterns and provision of
necessary services. Based on the proposed use of the property, the City shall
determine the potential impact of the project on City utilities and other
infrastructure needs and the magnitude of costs associated with needed
infrastructure improvements. Should it become apparent that further
evaluation of traffic impact is needed, the proponent shall be responsible for
obtaining a traffic impact analysis from a reputable traffic engineer.
Page 2
Date: July 11, 2001
Analysis of Colony Theatre Property
The site currently contains a Cultural Institution and the Lease Agreement between
the City and the Concert Association for the management and operation of the
Colony Theatre is not expected to have any negative impact on the surrounding
area.
3. A determination as to whether or not the proposed use is in keeping with a
public purpose and community needs, such as expanding the City's revenue
base, reducing City costs, creating jobs, creating a significant revenue stream
and improving the community's overall quality of life.
The Lease Agreement between the City and the Concert Association for the
management and operation of the Colony Theatre is in keeping with the community
needs to provide adequate cultural amenities for the surrounding area, thereby
improving the community's overall quality of life.
4. Determination as to whether or not the development is in keeping with the
surrounding neighborhood, will block views, or create other environmental
intrusions, and evaluation of the design and aesthetic considerations of the
project.
The City's Historic Preservation Board has approved the new construction
associated with the proposed expansion of the Colony Theatre.
5. The impact on adjacent properties, whether or not there is adequate parking,
street, and infrastructure needs.
There should be no negative impact on adjacent properties. While parking is a
problem throughout the City, the proposed lease should not significantly increase
the need for parking, since the facility is currently in operation and there is no
proposed increase in seats, no further infrastructure needs are anticipated.
6. A determination as to whether or not alternatives are available for the
proposed disposition, including assembly of adjacent properties, and whether
the project could be accomplished under a private-ownership assembly.
There are very few alternative locations with the appropriate zoning/land use
classification to accommodate the proposed expansion of the existing Cultural
Institution in the neighboring area. Assembly of adjacent properties is not feasible.
7. Within the constraints of public objectives, the department should examine
financial issues such as job generation, providing housing opportunities, and
the return to the City for its disposition of property.
Page 3
Date: July 11, 2001
Analysis of Colony Theatre Property
The proposed lease agreement provides for maintenance assistance by the Concert
Association, thereby reducing costs to the City. No housing opportunities will be
created.
8. Such other items as the Planning Department may deem appropriate in
analysis of the proposed disposition.
Planning Staff has not identified any further items.
TRM:tm
F:IPLANI$ALL IGEN _ CORRIINTEROFFlcolony-shapiro.doc