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2014-28809 Reso RESOLUTION NO. 2014-28809 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECTS COMMITTEE; APPROVING AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AMENDMENT NO. 1 TO THE LEASE BETWEEN THE CITY AND JEWISH COMMUNITY SERVICES OF SOUTH FLORIDA, INC. ("TENANT"), DATED SEPTEMBER 9, 2009, FOR THE DEMISED PREMISES LOCATED ON THE FIRST FLOOR AT 833 6TH STREET, MIAMI BEACH, FLORIDA; SAID AMENDMENT RENEWING THE LEASE FOR THE SENIOR MEALS PROGRAM FOR THE SOLE REMAINING RENEWAL TERM OF FIVE (5) YEARS, RETROACTIVELY COMMENCING OCTOBER 1, 2014 AND ENDING SEPTEMBER 30, 2019; ADDING PERFORMANCE BENCHMARKS TO THE TENANT'S REQUIREMENTS UNDER THE LEASE; INCREASING THE ADDITIONAL RENT FROM $7.68 PER SQUARE FOOT TO $8.81 PER SQUARE FOOT, $9.94 PER SQUARE FOOT AND $11.07 PER SQUARE FOOT FOR YEARS 1, 2 AND 3 OF THE RENEWAL PERIOD, RESPECTIVELY; AND INCREASING THE SIZE OF THE DEMISED PREMISES FROM 289 SQUARE FEET TO 485 SQUARE FEET. WHEREAS, on September 9, 2009, the Mayor and City Commission passed Resolution No. 2009-27186, approving lease agreements between the City and 1) Jewish Community Services of South Florida, Inc. ("Tenant"); 2) Little Havana Activities and Nutrition Centers of Dade County, Inc.; 3) Miami Dade County; and 4) UNIDAD of Miami Beach, Inc.; all agreements being for the use of South Shore Community Center, located at 833 6th Street, Miami Beach, Florida ("South Shore Community enter Leases"); for an initial term of four ears and three hundred sixty four days, all Y ) Y ending on September 30, 2014, with an additional five year renewal term, at the City's sole discretion; and WHEREAS, in considering exercising the sole five year renewal period for all the South Shore Community Center Leases, the Administration noted that the base rents for all of the lease agreements were below market rental rates and that only a portion of the operating expenses were being passed through to the tenants, and requested direction from the Finance and Citywide Projects Committee (FCPC) at its May 20, 2014 meeting; and WHEREAS, the FCPC considered this matter and recommended: 1) not to increase the Base Rent of $1.20 annually, and 2) increase the operating expenses ("Additional Rent") to $11.06 per square foot, in accordance with the total cost of the 2013 operating expenses (with the exception of the cost of insurance) to the tenants; and WHEREAS, in accordance with the agreements, the City provided timely notice to all the tenants, of the City's intention to increase the Additional Rent; however, some tenants expressed objection to the increase, citing financial constraints; and WHEREAS, the Administration submitted the South Shore Community Center renewal issues for reconsideration by the FCPC, at its September 24, 2014 meeting and subsequently at its October 10, 2014 meeting, and the FCPC recommended: 1) to increase the Additional Rent, to $11.06 per square foot, incrementally during the initial three (3) years of the renewal term, increasing the Additional Rent for year one to $8.81 per square foot, year two to $9.94 per square f foot, and year three to $11.07 per square foot; and 2) to incorporate performance benchmarks as a condition of the lease renewal; and WHEREAS, the City and Tenant entered into a lease, dated September 9, 2009 (the "Lease") for the premises at the South Shore Community Center, consisting of 289 square feet on the first floor; and WHEREAS, the City and Tenant wish to renew the Lease, pursuant to Section 2.2 of the Lease, for the sole remaining renewal term of five (5) years, retroactively commencing October 1, 2014 and ending September 30, 2019, pursuant to Amendment No. 1 to the Lease, including the recommendations of the FCPC; and further amending the Lease to increase the size of the Demised Premises from 289 square feet to 485 square feet; and WHEREAS, the Administration recommends that the City Commission adopt the recommendations of the FCPC, from its September 24, 2014 and October 10, 2014 meetings, and approve Amendment No. 1 to the Lease, substantially in the form attached hereto and incorporated herein as Exhibit 1". NOW, THEREFORE, BE IT DULY RESOLVED THAT THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, hereby accept the recommendation of the Finance and Citywide Projects Commission Committee and approve and authorize the Mayor and City Clerk to execute Amendment No. 1 to the Lease between the City and the Jewish Community Services of South Florida, Inc. ("Tenant"), dated September 9, 2009, for the Demised Premises located on the first floor at 833 6th Street, Miami Beach, Florida; said Amendment renewing the Lease for the sole remaining renewal term of five (5) years, retroactively commencing October 1, 2014, and ending September 30, 2019; adding performance benchmarks to the Tenant's requirements under the Lease; increasing the additional rent from $7.68 per square foot to $8.81 per square foot, $9.94 per square foot and $11.07 per square foot for years 1, 2 and 3 of the renewal term, respectively; and increasing the size of the Demised Premises from 289 square feet to 485 square feet. PASSED and ADOPTED this day of >� Ar 2014. ATTEST: r Rafao E. Granado, C't -C� k Phili; �L e, Mayor T:\AGENDA\2014\6.cto'b�r\9but hor 6rprnw ity�Center\South Shor R JCS Meals(10-29-14).docx `ORP ORATED: APPROVED AS TO 'y; /''`� FORM & LANGUAGE Y y el.`,� s� &FOR EXECUTION 0 City Attorney Dote AMENDMENT NO. 1 TO LEASE AGREEMENT This Amendment No. 1 to Lease Agreement is entered into this day of 2014 by and between the CITY OF MIAMI BEACH, a Florida municipal corporation, (hereinafter referred to as "City" or "Landlord"), and JEWISH COMMUNITY SERVICES OF SOUTH FLORIDA, INC., a Florida not-for-profit corporation (hereinafter referred to as "Tenant"). WITNESSETH: WHEREAS, on September 9, 2009, the Mayor and City Commission passed Resolution No. 2009-27186, approving a Lease Agreement between the City and Jewish Community Services of South Florida, Inc. for the use of approximately 289 square feet of City-owned property, located on the 1 St floor of the South Shore Co.m unity Center (a/ r�a the 6t" Street Com unity Center or the "'Bu`ilding"}, I co ated at 83 Sixth St Apt, Miami Beac,, Florida, 33139'; said lease having an iniuffl term of four (4) years an 364 days., commencing on Oo'ber 2, 2009, and ending on September 301 2014; and WHEREAS, on Octobe 2104, the Myor and City Commission adopted Resolution No. 2:014- accepting the recommen ation of the Finance and Cit: ide Projects Committee antl approvinand a rizing the Mayor and City Clerk to exeute the following Amendment No. 1 to t¢he Lease Agree ent; and NOW EREF®:RE, the C itsy and Tenant, for and in consideration of the mutual cove_S ants agreements and um akffi s herein contained, do by these presents mut-may covenant and agree to amend t e Lease Agreement, as follows: 1. Section 1, entitled "Demised Premises", on Page 1 of the Lease Agreement, shall be amended (deleted items and inserted items underlined) as follows: Approximately Nye hundred eighty nine (289) four hundred eighty five 485 square feet of leasable storage space on the 1st floor of the South Shore Community Center (a.k.a. the 6t" Street Community Center or the "Building"), located at 833 Sixth Street, Miami Beach, Florida, 33139, and as more specifically delineated in "Exhibit 1", attached hereto and incorporated herein. 2. Section 2, entitled "Term", on Pages 1-2 of the Lease Agreement, shall be amended (deleted items and inserted items underlined) as follows: 2.1 1-� the iRt°r►cRt of the 'hat the term of th36 I ease Agreement inn dwRg any reneleiall i6 to FUR nonni�rrent with the term of that m �ef�s-,-ra �v �-�r-vv-m a-r�� r EXHIBIT 1 e n r i-S G lF l o ri ra 'FIG., u 4ghL:j§, 2009 v � > ho "f`nnne�t±inn Agre ant"\ Annnrrlingly, Tenant shall be entitled to I 1-1 have and te hold the Demosed Pireirnises fle-F an initial teFm of fauF ye--- 1-41 years and three hundred ivt�r fni,r (364) days, r�nm�mT�TnrGinn on the- Ad Of QGteber,, 2009 (the " eR G��ent Date"), and ending OR the-2Q4 of September, 2014. Tenant shall be entitled to have and to hold the Demised Premises for a term of five (5) years, retroactively commencing on the 1St day of October, 2014 (the "Commencement Date") and ending on the 30th day of September 2019. For purposes of this Lease Agreement, �Iand-TInIT^iIR�R, , with 'ta , SubseGtiens 2.2 and 2.3 herreFeiR,, a "contract year" shall be defined as that certain period commencing on the 1St day of October, and ending on the 30th day of September. 2.2 At the-pyFatien of the initial term rheFeein, and nreyided that (0) us in ggo�Jtanding and free from default(s) i ind SeGtiGR 18 heFeef, and (ii) stated p,-rnnQiz(cz�1--Qqz1q) heFein this Agreement shall be renewed fGF ei;e /7\ ardr•ditinnal five (5) gear renewal term - tierhinh renewal hall he CR7rr�tr�T' -ai--rcr�C. , r�r�r�r��vur$r�ur�v� —ty Manager-to exeGute 9R behalf of the Go Notwithstanding t p enedinrr ��ri nett' !(]n\ rlav� inr to the r ��urr r ,�vvrt Fl�H IT'�sY�'�T-°uT`'� expiFatiGR of the initial ter the Gity ManageF may leGt to ie iieet��� ��T Gity and ,,naRt are nahle to agree then the Gity Manager may f,i eF eleGt to not Fenew t�Agr in whinh nave the Agreement wall teFmiRate and the City shall have no furtheF liability e.F 7 3 Additionally, the ure a♦ the r I option i inner the ette .-T'� r '�CiYG �C77�r � the�v �v«v� Agra 6 not ernic►ed Lease Onre t shall n�,�e�en�� e� , t#�+ham �,-Ge�e��n aut aati^�terGaate aR d shall he null anr-d yai d and of nn fuFtheF feF aR d e#eGt. Additionally, if at any time d gyring the term of this I ear ,�,,,� +�,, r —rr-az Ar feement, the-toterG�eG;eRt-is teFminated 9F ethenG�-v"vise nea�zss to be of any legal fora d e#eat, far whatever reason what.69eyer, then thi6 Lease Agreement shall autematiGaal�,ly terminate and shall be null and veid anr^d of ne fu Fther fnrGe and a#eat 3. Section 3, entitled "Rent", on Pages 2-3 of the Lease Agreement, shall be amended (deleted items strrrnL thror gh and inserted items underlined) as follows: 3.2 Additional Rent: In addition to the Base Rent, as set forth in Section 3.1, Tenant shall also pay the following Additional Rent as provided below: 2 3.2.1 Operating Expenses: . TenanTenant shall nay One The sand Eight H �ndFed Si)dy Seven t �a.-�rrvu�urra--�.Tgn-r-rTarTar�a—vn�r�v��-r share of"Oprc rating Ex ,_116,_6" Wei Gh are defined as follows: Throughout the first year of the Term, Tenant shall pay Three Hundred Fifty Six Dollars and 07/100 ($356.07) per month, for its proportionate share of "Operating Expenses" which are defined below. Throughout the second year of the Term, Tenant shall pay Four Hundred One Dollars and 74/100 401.74) per month, for its proportionate share of Operating Expenses. Throughout the third year of the Term, Tenant shall pay Four Hundred Forty Seven Dollars and 41/100 ($447.41) per month, for its proportionate share of Operating Expenses. Thereafter, the Operating Expenses shall be subject to adjustment pursuant to Subsection 3.2.1.1 below. Expenses" shall mean the foa owing cs antl e pens es incurred in operating, repairing, and mainta,in.ing the Common Facilities ik as hereinafter defined) and shall include electrical service, ter service, sewer service, stormwater costs, rna'ntenance and repairs coslts, and janitorial service to the Build ng (including the Demised iPrse,%i "Common Facilities" shall mean all Building areas, spaces, equipments as well as certain services, available for use by or for the benefit of Tenant and,ors its employees, agents, servants, volunteers, customers, guests and/or invitees. 3.2.1.1 Commencing the fourth year of the Term, irrespective Irre6peGtiye of the items listed above, amounts due by Tenant, associated with Common Facilities Operating Expenses, will be determined based on Tenant's pro-rata share of the items more specifically described in "Exhibit 3.2.1", which is hereby made a part of this Lease Agreement. Pro-rata share shall mean the percent which the Demised Premises bears to the total square footage of leasable space within the Building, which share is hereby agreed to be twe (2%) ner^en+ 3.826%. Tenant agrees and understands that the costs incurred for Operating Expenses may increase or decrease and, as such, Tenant's pro-rata share of Operating Expenses shall increase or decrease accordingly. 4. Section 7, entitled "Use and Possession of Demised Premises", on Page 5 of the Lease Agreement, shall be amended (deleted items and inserted items underlined) as follows: 7.4 Tenant shall be required to meet certain performance benchmarks more specifically described as follows: 3 Senior Meals Program: 9,000 meals served annually (100% shall be Miami Beach residents). 5. Except as otherwise specifically amended herein, all other terms and conditions of the Lease Agreement by and between the Landlord and Tenant shall remain in full force and effect. In the event there is a conflict between the provisions provided herein and the Lease Agreement, the provisions of this Amendment No. 1 to Lease Agreement shall govern. IN WITNESS WHEREOF, this Amendment has been duly executed by the parties hereto as of the day and year first written above. Attest: CITY OF MIAMI BEACH, FLORIDA Rafael Granado, CITY CLERK Philip Levine, MAYOR Attest: JEWISH COMMUNITY SERVICES OF SOUTH FLORIDA, INC. Signature' Fred Stock, CEO Print Name Signature Print Name CORPORATE SEAL (affix seal here) F:\RHCD\$ALL\ECON\$ALL\ASSET\6STREET.CTR\LEASES\JCS\JCS Senior Meals-First Amendment DRAFT(10-10-14).docx 4 EXHIBIT 1 Demised Premises O UP Urddad ME�RU STORAGE .� &JIL 133 SF 276 SF « 'Aiam e Sepia aide 22 SF • - " 443 SF M SF SO • i SF +•- -. its saw Meek ' b a ♦ « °STORAGE MUiMLOAOE J ♦ J b 288 SF � MUM CAR 1,385 SF 464 SF ♦ V V a 1 O .+ 336 J b•V V J J ♦ b 1 J J« 1 •. V J « JCS SerdffM 175E .. . . b AUDRORILM J J 2.792 SF J J VVy b•J C SIECHAMAL F MEMANA "STORAGE 206 SF MSF Ao9er' r � 594 SF -�- SH .tom i ♦ J b .Y�.•�._. 8336 th Street 1st Floor 5 EXHIBIT 3.2.1 Operating Expenses South Shore Community Center 833 6th Street 2013 Fiscal Year Operating Expenses(Total without Insurance) Per Leasable Total Square Foot Cost Cost Utilities Electricity 49,263 3.89 Water 3,454 0.27 Sewer 2,951 0.23 Stormwater(estimate)/ 2,500 0.20 Subtotal $ 58,172 $ 4.59 Maintenance Janitorial 33,189 2.62 E Ie'vator 1,428 0.11 Cooling Tower Treatment 1,644 0.13 Fire Services 362. 0.03 Pest Control 642 0.05 Repairs& Maintenance 44,691 3.53 Subtotal - $ 81,962 $ 6.47 Insurance Property Insurance Hurricane Exposure Subtotal $ - $ - Total Annual Operating Expenses $ 140,135 $ 11.06 Building Square Footage Distribution 1st Floor 2nd Floor Total Leasable Area 8,850 3,826 12,676 Common Area 4,198 990 5,188 Total 13,048 4,816 17,864 6