2002-24967 Reso
RESOLUTION NO.
2002-24967
A RESOLUTION OF THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, APPROVING A FIRST AMENDMENT TO THE
LEASE AGREEMENT, DATED MAY 8, 2001, BETWEEN
THE CITY OF MIAMI BEACH AND RT TRAVEL OF
AMERICA, FOR THE LEASE OF SUITE 202, OF THE
CITY-OWNED PROPERTY LOCATED-AT 1701 MERIDIAN
AVENUE (A1K1A 777-17TH STREET), MIAMI BEACH,
FLORIDA, BY REDUCING THE NUMBER OF SQUARE
FEET BEING LEASED, FROM 872 SQUARE FEET (AS
REFLECTED IN THE LEASE AGREEMENT), TO 409
SQUARE FEET; WITH ALL OTHER TERMS AND
CONDITIONS REMAINING IN FULL FORCE AND
EFFECT.
WHEREAS, on May 8, 2001, RT Travel of America (RT Travel) entered into a Lease
Agreement with Gazit Meridian, Inc. for the use of Suite 202 (Premises)(approximately
872 square feet as reflected in the Lease Agreement), at 1701 Meridian Avenue (a/k/a
777-1ih Street), Miami Beach, Florida (Property); and
WHEREAS, said Lease Agreement has an initial term of three (3) years and one (1)
month with a termination date of June 30, 2004; and
WHEREAS, the Lease Agreement provides RT Travel two (2) options to extend the
term of the Lease for a period of two (2) years each, provided they are not in default;
and
WHEREAS, on January 31,2002, the Mayor and City Commission adopted Resolution
No. 2002-24734, approving the purchase of the Property from Gazit Meridian, Inc.; and
WHEREAS, RT Travel's source of business primarily involved booking trips to Israel,
and subsequent to the tragic events of September 11, 2001, they have experienced a
tremendous decline in their business; and
WHEREAS, RT Travel approached the City Administration requesting that it consider
reducing the size of the Premises because of the downturn in their business; and
WHEREAS, the City Administration has determined that moving forward with the
aforementioned reallocation of space and providing RT Travel the reduction in office
space they requested would not adversely affect the plans the City has for the Property
and is in keeping with the policy that is in place for same; and
WHEREAS, the City Administration and RT Travel have agreed to enter into a First
Amendment to the Lease Agreement.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission herein approve a First Amendment to the Lease Agreement, dated May 8,
2001, between the City of Miami Beach and RT Travel of America, for the lease of Suite
202, of the City-owned property located at 1701 Meridian Avenue (alk/a 777-17th
Street), Miami Beach, Florida, by reducing the number of square feet being leased,
from 872 square feet (as reflected in the Lease Agreement), to 409 square feet; with all
other terms and conditions remaining in full force and effect.
PASSED and ADOPTED this 11 th day of September, 2002.
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CITY CLERK
ATTEST:
JMG:CMC:JD:rlr
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APPROVED AlTO
FORM & LANGUAGI
& FOR EXECUTION
~L~L
CITY OF MIAMI BEACH
COMMISSION ITEM SUMMARY
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Condensed Title:
A Resolution approving a first amendment to the lease agreement, dated May 8, 2001, between the City of
Miami Beach and R T. Travel of America, for the lease of Suite 202, by reducing the number of square feet
bein leased from 872 s uare feet as reflected in the lease a reement to 409 s uare feet.
Issue:
RT. Travel has requested to reduce its leased space. If approved City would recoup office space for City
administrative use.
Item Summary/Recommendation:
While the City Administration has firmly stated that any existing leases will not be renegotiated, RT. Travel
purported it would go out of business and ultimately the City would have limited recourse because the
business has little or no assets. Alternatively, RT. Travel offered to occupy less space in an attempt to
honor, to the largest extent possible, the terms of the lease and is pursuing other business opportunities.
The reduction in space will inure to the City's benefit as the area they vacate will be used by the CIP Office
and/or other administrative users. The Administration deems that moving forward with the reallocation of
space and providing RT. Travel their requested reduction in office space would not adversely affect the
City's plans the 1701 Property and is in keeping with the policy that is in place for same. In the event
construction is initiated on the City's Amended City Center Master Plan, which would impact the parking lot
north of the Property, RT. Travel has agreed to the relocation of the parking space it is currently provided
at same.
The Administration recommends: Approval of the Resolution.
Advisory Board Recommendation:
IN/A
Financial Information:
Source of
Funds:
D
Finance Dept.
Ci Clerk's Office Le islative Trackin
Jose Damien, Asset Management
Si n-Ofts:
Department Director
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AGENDA ITEM
DATE
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9-/1-0;;-"
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.miami-beach.f1.us
COMMISSION MEMORANDUM
From:
Mayor David Dermer and
Members of the City Commission
Jorge M. Gonzalez \-~.
City Manager c)-- ()
Date: September 11, 2002
To:
Subject:
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, APPROVING A FIRST AMENDMENT TO
THE LEASE AGREEMENT, DATED MAY 8,2001, BETWEEN THE CITY
OF MIAMI BEACH AND R.T. TRAVEL OF AMERICA, FOR THE LEASE OF
SUITE 202, OF THE CITY-OWNED PROPERTY LOCATED AT 1701
MERIDIAN AVENUE (A1K1A 777-17TH STREET), MIAMI BEACH, FLORIDA,
BY REDUCING THE NUMBER OF SQUARE FEET BEING LEASED FROM
872 SQUARE FEET (AS REFLECTED IN THE LEASE AGREEMENT) TO
409 SQUARE FEET; WITH ALL OTHER TERMS AND CONDITIONS
REMAINING IN FULL FORCE AND EFFECT
On May 8, 2001, RT. Travel of America entered into a Lease Agreement with Gazit
Meridian, Inc. for the use of Suite 202 (Leased Premises), consisting of approximately 872
square feet (as reflected in the Lease Agreement) at 1701 Meridian Avenue (a/k1a 777 _17th
Street), Miami Beach, Florida (1701 Property). On January 31,2002, the Mayor and City
Commission adopted Resolution No. 2002-24734, approving the purchase of the 1701
Property from Gazit Meridian, Inc.
. The Lease Agreement between the City and RT. Travel has an initial term of three (3)
years and one (1) month with a termination date of June 30,2004. The Lease Agreement
provides R.T. Travel two (2) options to extend the term of the Lease for a period two (2)
years each, provided they are not in default.
RT. Travel's source of business primarily involved booking trips to Israel, and subsequent
to the tragic events of September 11,2001, they have experienced a tremendous decline
in their business. RT. Travel approached the City Administration requesting that it
consider reducing the size of the Leased Premises because of the downturn in their
business.
While the City Administration has firmly stated that any existing leases will not be
renegotiated, RT. Travel purported it would go out of business and ultimately the City
would have limited recourse because the business has little or no assets. Alternatively,
RT. Travel has offered to occupy less space in an attempt to honor to the largest extent
possible, the terms of its lease and is pursuing other business opportunities. The reduction
in space will inure to the City's benefit because the vacated area will be utilized by the
Capital Improvement Project (CIP) Office and/or other administrative users. Therefore, the
City
Administration has determined that moving forward with the aforementioned reallocation of
space and providing RT. Travel the reduction in office space they requested would not
adversely affect the plans the City has for the 1701 Property and is in keeping with the
policy that is in place for same.
The City Administration and RT. Travel have agreed to enter into a First Amendment to
the Lease Agreement, by amending the same in accordance with the provisions outlined
below.
. All references to the Leased Premises in the lease Agreement are deleted in their
entirety and replaced with the following language:
Leased Premises shall include Suite 202 (approximately 409 square feet) at
the Property located at 1701 Meridian Avenue (alkla 777 1 ih Street) Miami
Beach, Florida 33139.
. Rental Rates and any other sums due and payable to the landlord by the Tenant, that
are based on the leased square footage, including but not limited to Operating Costs,
Common Area Maintenance (CAM), Ad Valorem Taxes, Insurance, and all applicable
sales and use tax shall be calculated and applied in accordance with the revised square
footage provided herein above.
. Since the City, in accordance with its Amended City Center Master Plan, may initiate
construction projects in, or in proximity to municipal parking lot 5M (1721 Meridian
Avenue) directly north of the 1701 Property, RT. Travel has agreed and understands
that it may be necessary for the City to relocate the parking space provided to RT.
Travel in said parking lot to an alternate location to be determined by the City.
. Unless specifically amended herein, all other terms and conditions of the lease
Agreement 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 First
Amendment shall govern.
The City Administration recommends that the Mayor and City Commission approve a First
Amendment to the lease Agreement, dated May 8, 2001, between the City of Miami
Beach and R.T. Travel of America, for the lease of Suite 202, of the City-owned property
located at 1701 Meridian Avenue (a1k1a 777-1ih Street), Miami Beach, Florida, by reducing
the number of actual square feet being leased from 872 square feet (as reflected in the
Lease Agreement) to 409 square feet; with all other terms and conditions remaining in full
force and effect.
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'"
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FIRST AMENDMENT TO THE LEASE AGREEMENT
This First Amendment to the Lease Agreement, dated May 8, 2001, for Suite 202
(Premises), located at 1701 Meridian Avenue (a/k/a 777-17th Street), Miami Beach, Florida
(Property), between the City of Miami Beach (City), a Florida Municipal Corporation, having
its principal office at 1700 Convention Center Drive, Miami Beach, Florida, (hereinafter
referred to as the "Landlord"), and RT Travel of America (RT Travel), having its principal
office at 1701 Meridian Avenue, Suite 202, Miami Beach, Florida (hereinafter referred to as
the "Tenant") is entered into this 15th day of July, 2002.
WITNESSETH
WHEREAS, on May 8, 2001, RT Travel entered into a Lease Agreement with Gazit
Meridian, Inc. for the use of Suite 202 (approximately 872 square feet as reflected in the
Lease Agreement), at 1701 Meridian Avenue (a/k/a 777-17th Street), Miami Beach, Florida;
and
WHEREAS, said Lease Agreement has an initial term of three (3) years and one (1)
month with a termination date of June 30, 2004; and
WHEREAS, the Lease Agreement provides RT Travel two (2) options to extend the term
of the Lease for a period of two (2) years each, provided they are not in default; and
WHEREAS, on January 31, 2002, the Mayor and City Commission adopted Resolution
No. 2002-24734, approving the purchase of the Property from Gazit Meridian, Inc.; and
WHEREAS, RT Travel approached the City Administration requesting that it consider
reducing the size of the Premises; and
WHEREAS, the City Administration has determined that moving forward with the
aforementioned reallocation of space and providing RT Travel the reduction in office space
they requested would not adversely affect the plans the City has for the Property and is in
keeping with the policy that is in place for same; and
WHEREAS, the City Administration and RT Travel have agreed to enter into a First
Amendment to the Lease Agreement, in accordance with the conditions outlined below.
NOW, THEREFORE, the Lease Agreement is hereby amended as follows:
1 . All references to the Premises in the Lease Agreement, as amended, extended and
assigned, are deleted in their entirety and replaced with the following language:
Premises shall include Suite 202 (approximately 409 square feet) at
the Property located at 1701 Meridian Avenue (a/k/a 7771ih Street)
Miami Beach, Florida 33139.
Page 1
.
2. Rental Rates and any other sums due and payable to the Landlord by the Tenant,
that are based on the leased square footage, including but not limited to Operating
Costs, Common Area Maintenance (CAM), Ad Valorem Taxes, Insurance, and all
applicable sales and use tax shall be calculated and applied in accordance with the
revised square footage for the Premises provided herein above.
3. Tenant agrees and understands that the City, in accordance with its Amended City
Center Historic Convention Village Redevelopment and Revitalization Area Plan
(Amended City Master Plan), may initiate construction projects in, or in proximity to,
municipal parking lot 5M (1721 Meridian Avenue), directly north of the Property. As
such, Tenant further agrees and understands that in the event Landlord, at its sole
option and discretion, may relocate Tenant's one (1) parking space provided in said
parking lot to an alternate location, to be determined solely by the Landlord.
4. Unless specifically amended herein, all other terms and conditions of the Lease
Agreement, including any amendment(s), assignment(s) and extension(s) thereto,
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,
as amended, extended and assigned, the provisions of this First Amendment to the
Lease Agreement shall govern.
IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to the
Lease Agreement to be executed by their duly authorized officials on the day first above
indicated.
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CITY CLERK
I BEACH, FLORIDA
ATTEST:
RT TRAVEL OF AMERICA
· JE --
Adi Fogel, esident
JMG:
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