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RESOLUTION 87-18981 RESOLUTION NO. 87-18981 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF MIAMI BEACH AUTHORIZING THE MAYOR AND THE CITY CLERK TO EXECUTE A CONSENT TO THE SUBLEASE OF A PORTION OF THE SEVENTH (7TH) FLOOR OF HISTORIC CITY HALL FROM FRANKEL & ASSOCIATES, INC. TO ROBERT BLUM & COMPANY. WHEREAS, the City of Miami Beach (hereinafter referred to as "City" ) entered into a Lease Agreement (hereinafter referred to as "Lease" ) on March 16 , 1987 with Frankel & Associates , Inc . (hereinafter referred to as "Lessee" ) for the eighth ( 8th) floor and a portion of the seventh ( 7th) floor in Historic City Hall ; and WHEREAS , pursuant to the Lease , Lessee has an option to lease approximately 915 feet of the seventh ( 7th ) floor , specified as "L-7B" in Amended Exhibit A to the Lease; and WHEREAS, Lessee has notified the City of its intent to exercise the option , which exercise is to become effective at such time as the City consents to the proposed Sublease between Lessee and Robert Blum & Company ( hereinafter referred to as "Sublessee" ) ; and WHEREAS, the City wishes to consent to the proposed Sublease between Frankel & Associates , Inc . and Robert Blum & Company dated September 8, 1987 , a copy of which is attached hereto. NOW THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF MIAMI BEACH that the Mayor and the City Clerk are hereby authorized to execute the Consent to the Sublease of a portion of the seventh ( 7th) floor of Historic City Hall from Frankel & Associates, Inc. to Robert Blum & Company. PASSED AND ADOPTED this 16th day of September , 1987 . Allert 'au" MAY• • ATTEST: 1' ORM APPkU t_ CITY CLERK �LEGAL DEPT. PNB/mr 09/09/87A Date 9 9.,,ZEZ fr FLORIDA 3 3 1 3 9 VACATlONLAND U. S. A. )FFICE OF THE CITY MANAGER CITY HALL ROB W.PARKINS 1700 CONVENTION CENTER DRIVE CITY MANAGER TELEPHONE: 673-7010 COMMISSION MEMORANDUM NO. 6.2 I-21 DATE: September 16, 1987 TO: Mayor Alex D- • d and Members o ; e City C. iss !ID i - ' FROM: Rob W. Par' City Manager SUBJECT: SUBLEASE AGREEMENT BETWEEN FRANKEL AND ASSOCIATES, INC., AND ROBERT BLUM AND COMPANY, FOR THE BALANCE OF THE 7TH FLOOR OF HISTORIC CITY HALL Background: The City of Miami Beach, as Lessor, and Frankel and Associates, Inc,Agreement dated > as Lessee, entered Into a Lease March 16, 1987, as amended, for the 8th floor and one-half of the 7th floor, with an option to lease the remainder of the 7th floor, of Historic located at 1130 Washington Avenue. City Hall Current Status: Frankel and Associates, Inc., would like to exercise their on option the floorpremises in Historic Citypbalance of the 7th Hall, subject to the City Commission's approval of a Sublease Agreement between Frankel and Associates, Inc., and Robert Blum and Company. The Lease Agreement provides that the City of Miami Beach mus i c' consent in writing to the sublease of Frankel and Associates,.iates, Inc., of any of its space. Prior to the exercise of the option, the rental to the City was $997.50 per month plus tax, and after the option space the total exercise of the 915 square foot p rent will be $1,455 per month plus tax. The rent for the additional optioned space shall commence upon the City's issuance of a w y ritten approval of the Sublease Agreement. ADMINISTRATION RECOMMENDATION: The City Administration recommends that the City Commission approve the Sublease Agreement by and between Frankel and Associates, Inc., and Robert Blum ando C m pany. RWP:WHH:blb Attachments 14 AGENDA ITEM DATE q- 14, -81 CONSENT TO SUBLEASE The City of Miami Beach, Lessor under that certain Lease Agreement between the City of Miami Beach and Frankel & Associates , Inc. , dated March 16 , 1987 , hereby consents to the Sublease dated September 8, 1987 between Frankel & Associates , Inc . , a Florida corporation, and Robert Blum & Company, a sole proprietor , a copy of which Sublease is attached hereto and by reference made a part hereof . Dated this /7 day of September , 1987 . CITY OF MIAMI BEACH A .` op- MAYI ATTEST: `-7{ ;�'�E��L�� ii�,d C U EPT. tpc‘37_, ,,-- CITY CLERK Date_2!/2/22___ PNB/mr 09/11/87r-1 SUBLEASE AGREEMENT This Sublease is made on Beach, Florida, between . 1987 at Miami FRANKEL & ASSOCIATES, INC. , a Florida corporation, hereinafter called "Sublessor, " and ROBERT BLUM &COMPANY, a Sole Proprietor, hereinafter called "Sublessee. " WITNESSETH : 1 . Demise and Descri tion of Pro ert . Sublessor leases to Sublessee and Sublessee hereby ereby leases from Sublessor, for the term and subject to the conditions and covenants hereinafter set forth, the property hereinafter referred to as the "Subleased Premises, " located in Dade County described as follows: , Florida, Approximately 875 sq. feet of office space on the seventh (7th) floor of Historic City Hall at 1130 Washington Avenue, Miami Beach, Florida 33139 , which space is specified as "L-78 pursuantP to the Floor Sketch marked Exhibit A which is "4ttached hereto and incorporated herein by reference. Included in the Subleased Premises is a reception area totallingapproximatelyP 80 sq. feet, which area is to be shared in common by Sublessor and Sublessee. A Sublessee is being charged with rent hereunder for one-half half ) of the said reception area or 40 sq. feet. 2 . Term. The term of this Sublease s o f the ha 11 �be for the remainder five (5) year period designated in that Lease hereinafter referred to as the certain "Main Lease, " dated March 16 , 1987 between the City of Miami Beach, a • Florida Municipal Corp. , as Landlord, and Frankel & Associates, Inc By the terms of the Main Lease, • • • as Lessee. Sublessor has an option to lease the above described property. A copyof • attached hereto the Main Lease is and incorporated herein by reference as Exhibit B. The initial five (5) year habit term of the Main Lease commenced March 16 , 1987 and will end on March 15 , 1992 , on Sublease; provided, as will this however, that this Sublease shall soon terminate at the option of the Sublessor, sooner Paragraph 5 of this as set forth in Agreement, or by surrender or forfeiture the Main Lease. of 3 . Rent. For and during the initial term Sublease , which shall of this commence upon the City' s approval of Sublessor ' s option to rent the subleased in Article 1 above, as providedPremises, as described for in the Main Lease , and end n March 15 , 1992 , Sublessee shall payto Sublessor1 9 subleased premises as rent for the the sum of $6 . 00 per sq. foot for 875 or $5 , 250 . 00per sq. feet year, payable payable in monthly installments $437 . 50 , plus applicable sales tax, anyof cost overrides, special utility charges and any levies and/or assessments required Main Lease. In addition, commencingq by the March 16 , 1990, Sublessee shall also pay the energy surcharge required quired by paragraph 3D of the Main Lease. During the option term (s) , Sublessee ' s rent shall be adjusted annuallyin proportion to changes in the Consumer Price Index (C.P. I . ) , as set forth in paragraph 5A of the Main Lease. 4 . Use of Premises . The Subleased Premises sbe general �1�11 usedby Sublessee as a g ral business office, and for u'Jr!s normall. incident thereto, and for no other purpose . } 5 . Right of Termination. In the event Sublessor needs to expand its present office space into the Subleased Premises any time after the first four (4) years of this Sublease, o tion of Sublessor Sublessee must at the vacate either a minimumof 25% of t e Su Premises,easesuch space • • d to be designated by Sublessor immediately adjacent to the Sublessor, as tenant, 100% space occupied by or of the Subleased Premises. Sublessee ,shall have the option to remain Premises (that in 75% of the Subleased portion to be designated by Sublessor) or to vacate 100% of the Subleased Premises, at which time this Sublease Agreement shall terminate. In the event Sublessee vacates 25% o f the Subleased Premises, a s hereinbefore • ' required, then the rent shall accordingly be reduced 25%. Sublessor must exercise its right to terminate as herein specified by delivering written notice of such intention to Sublessee. Sublessee shall notify Sublessor in writing within fifteen (15) days of receipt of Sublessor 's notice of exercise of right to terminate , whether Sublessee intends to vacate 25% or 100% of the Subleased Premises. Sublessee must then vacate the gp Its Subleased Premises within ninety ( ) days of notification to Sublessor of whether Sublessee will vacate 25% or 100% of Subleased Premises. 6 . Improvements. Sublessee shall of improvingthe pay the cost and expense Subleased Premises with the basic -tenant improvements designated on the Plans Inc. , dated Augustby Frankel & Associates, 19, 1987, which are made apart cost of Sublessee ' s said basic P hereof. The improvements, including Plans, fees and permits, shall bepaid bySublessee ninety and amortized over a • y . (90) month period on a straight-line • basic improvements shall9 basis. The said P have a cost basis of Eighteen Dollars, pursuant to Owner Co g Thousand Owner/Contractor AIA Document 107 , whichi chAgreement is attached hereto, plus $1 , 148 . 44 for ArchitectsEngineers Plans. In the event the Sublessee is vacate 25% or 100% of the Subleased required to Premises after the 4th year of the initial term, as set forth inparagraph 5 of this Agreement, then Sublessor shall reimburse Sublessee for 100% , as the case maybe, of the 25% or balance of the amortization of the initial principal investmentaid bySublessee for the said basic tenant improvements. The required reimbursement required, if any, less cost of repairs re g ► shall be paid at the time Sublessee vacates the Subleased Premises. In addition, the have the option of Sublessor shall p • using the glass interior partition installed by Sublessee, provided Sublessor reimburses Sublessee the balance of the amortization of the $1 , 000. 00 cost • of the said glass partition. 7 . Option to Renew. At the expiration term of this Sublease A p ion of the original Agreement, provided Sublessee is current , in good standing and free from default • • hereunder, and provided Sublessor does not exercise his right 5 g to terminate, as provided in paragraph hereunder, the Sublessee isgiven the option renew and extend this Sublease on ption to , the same terms, conditions and rental as set forth in paragraph 5 (Option the Main Lease and subject P to Extend or Renew) of sect to the same terms and conditions set forth in this Sublease Agreement. 8 . Insurance. Sublessee shall at its own expense comply requirements of Sublessee . P P Y with all insurance Sublessee shall not occupy Subleased Premises until the proof of the following insurancu coverages have been furnished to and approved the Landlord : PP by Sublessor and -2- 1 . Comprehensive general liabilityin the minimum � um amount of $300 ,000 per occurrence for bodily injury yand property damage. Contractual liability coverage is to be included. The City of Miami Beach and the Sublessor must be named as an additional insured on this policy. 2. .Workers ' Compensation and employees' liability aper Florida coverage orida Statutes. Proof of these coverages must be provided by submitting original Certificates of Insurance. All9 policies must provide thirty (30) days written notice of cancellation tion to Sublessor and to the City of Miami Beach' s Risk Manager at 1700 Convention Center Drive, Miami Beach, Florida 33139. The insurance companies providing aboveP P g the coverages are subject to the approval of the City's Risk Manager who shall have the right to reasonably increase the amounts and type of insurance coverage required. 9. Assumption Agreement and Covenants. • A. The Sublessee shall, comply with all of the ' of the Main Lease which are to be observed or performed�rovlsions during the term hereof by the Sublessor as Tenant thereunder, that the payment of rent shall be governed except by the provisions of paragraph. 3 above, and paragraph 3 of the Main Lease, otherwise provided herein, shall be 'inapplicable except as inapplicable to Sublessee. B. In the event of cancellation or termination • expiration of the Main Lease prior to the ex p on date thereof and prior to the expiration date of this Sublease or anyextensions thereof, or in the the and renewals event of the surrender thereof, whether voluntary, involuntary, or by operation of law, the Sublessee shall make full and complete attornment to the Landlord for the balance of the term of this Sublease, including any extensions and renewals thereof, on the same covenants andconditi' ons as are contained herein, so as to establish directrivit contract between the LandlordP y of estate and and the Sublessee and with the same force and effect as though this Sublease was ' directlyfrom the Landlordoriginally made to the Sublessee. The Sublessee shall make all rent payments thereunder directlyto the represents Landlord. The Sublessor re p nts that the Landlord has covenanted that, in the event of the cancellation, termination, ' surrender of the Main Lease, expiration, or the Landlord will accept the Sublessee, its successors and assigns , as its Lessee equal to the fullg for a period unelapsed portion of the term of this Sublease, including any extensions and renewals thereof, and on the same covenants and conditions as are contained herein Landlord will thereafter become � and the the Lessor under this Lease. C. Insofar as , the provisions of the Main Lease se do not conflict with specific provisions herein contained, they and each of them are incorporated into this Sublease as fully as if completely rewritten herein, and the Sublessee agrees to be bound to the Sublessor by all of the terms of the Main assume toward Sublessor Leaseand to and perform all of the obligations and responsibilities that Sublessor bythe Main Lease aSe assumes toward the Landlord, and to indemnify and hold harmless Sublessor from any claim or liability under the Main Lease except rental bySublessor •c Pt in for payment o f lessor. to the Landlord as provided in the Main Lease . The relationshipbetweenthe in Sublessee and Sublessor hereunder shall be the same as that between theSubless• or and the Landlord under the Main Lease. --3- 10 . Limitation of Liability and Indemnity. agrees to indemnifyand Sublessee hold Sublessor and Landlord harmless of, from, and against all claims, actions, damages, liabilities, and expenses asserted against the Sublessor and/or Landlord on account of injuries to person or damage to property h ' the extent that anysuch dangerP P Y w en and to or injury may be caused, either proximately or remotely, wholly or inart omission, whether P by any act or negligent or not, of Sublessee or anyof its ees contractors, agents, servants, emplo • (while Y tors, patrons, or invitees ( ile such invitees are on the Leased Premises) ,, or of any other person entering on the Leased Premises under or with expressed or implied the p invitation of Sublessee, or if anysuch injury or damage may in anyother way arise from or out of the occupancy or use by Sublessee, its agents , em to ees �.nvltees, of the Leased P Y , a nd Premises. This paragraph is for the benefit of the Sublessor and Landlord of the Leased Premises only, and no right of action shall accrue hereunder • to any third party by way of subrogation or otherwise. 11 . Security Deposit. 'Concurrentlywith the execution this Sublease, the Sublessee xecution of e has deposited with the Sublessor the sum of Four Hundred Fifty Dollars ($450.00) for the performance bythefull and faithful Sublessee of each and everyterm covenant and condition of this Sublease. ' In the event that Sublessee defaults in respect of anyof the terms, provisions, covenants and conditions of this Sublease, including limited to, the but not payment of any rentals, the Sublessor mayuse, apply or retain the whole or anypart of the • deposited for Security Deposit so P the payment of such rentals in default or sum which the Sublessor mayany other � expend or be required to expend by reason of the Sublessee 's default, including deficiency in the reletting any damages or of the Demised Premises, whether such damages or deficiency mayaccrue . before or after summary proceedings or other re-entry by Sublessor. In the event that the Sublessee shall fully comply with all of the and faithfully ° • terms, provisions, covenants and conditions of this Sublease, the Security or any balance thereof, shall be returned to the Sublessee after the lawful termination. of this Sublease. Sublessor shall not be required to keep the Security in a segregated account and the Security commingled with other funds may be of Sublessor and in no event shall Sublessee be entitled to any interest on the Security. 12 . Furniture and Fixtures. All furniture and ' laced in the L fixtures and equipment P eased Premises by Sublessee shall remain the property of Sublessee, subject to the rights of Sublessor thereon as provided by law. The Sublessee of the term hereof, may, at the lawful expiration is remove such furniture and fixtures if removal done so as not to damage the Leased Premises. ses. 13 . Assignment. and Subletting. A. No assignment or sublettingof the Leased ' any part thereof shall a ed Premises or be made by Sublessee without Sublesso ' prior written consent, which consent willr s withheld. not be unreasonably B. In the event of an assignment, the ' in writingto g assignee shall agree assume all of the terms, covenants and conditions of this Sublease on Sublessee ' s part to be performed, and a duplicate original of such agreement shall • g be delivered to Sublessor within ten (10) days followingthe date ' execution or its effective of its ° date, whichever is sooner. The liability of Sublessee hereunder and • the liability of any assignee of this Lease shall survive anyassignment ignment or -4- subletting, and such liability shall be unaffected by any extension of time which Sublessor maygrant to any assignee or sublessee for the payment of any rent or other charges due hereunder, or for theperformance of 9 conditionany other term, covenant or of this Lease. 14. Eminent Domain. If the whole or anypart of the Leased Premises shall be taken y any public authority under the power of eminent domain, then the term of this Sublease shall cease on the part so taken from the date the possession of thatart shall public purpose,be required for any �' and the rent shall bea 1 up to that day. p yab e 15. General Provisions. A. This Sublease embodies the entire agreement between etween the parties hereto relative to the subject matter hereof and shall not be modified, changed or altered in anyrespect writing. P except in B. The covenants, agreements and obligations 9 herein contained shall extend to, bind and inure to the benefit not only of the parties hereto but th0r heirs, personal successors and ass ' representatives, assigns. C. Whenever under this Sublease, arovision is notice of any kind, such noticeP made for shall be in writing and signed by art g or on behalf of the party giving or making the same, and it shall be deemed sufficient notice and service thereof,, i f such notice is sent by registered or certified mail, • postage prepaid, to the address furnished for such purpose. All notices to beiven t the Sublessor hereunder shall be9 o given to Frankel & Associates, Inc. at 1521 Alton Road, Miami Beach, Florida September 30 , 1987 , 33139 , until . , and thereafter, at 1130 Washington Avenue, 8th Floor, Miami Beach, Florida 33139, with a copy to its attorney, Marjorie F. Robbins, Esq. , Lazan, Trute, Moss ,oss , Robbins & Howard, 1090 Kane Concourse, Suite 202, Bay Harbor Islands, Florida 33154 , unless and until some otherplace ' writingbythe Sublessor. is designated in All notices to be given to Sublessee hereunder shall be given to it at the DemisedPremises,Premises, 1130 Washington Avenue, Miami Beach, Florida 33139, unless • place is designated and until some other in writing by Sublessee. 16. Contingencies. This Sublease Agreement is c upon the following: g contingent 1 . The Sublessor' s exercising its option to lease ase the balance of the seventh floor in Historic City Hall building, as set forth in the Main Lease and the Landlord' s acknowledging the valid exercise of same; and 2. The Landlord ' s approval of the Sublessee as required bythe 4 Main Lease. In the event either or both of the foregoing • not met, then this Sublease9 n9 contingencies are Agreement shall be considered null and void and all parties released therefrom. . 17 . Parking Permits. The parties acknowledge Sublessee shall have the right that the right to the use of three of thea rkin permits granted by the Main Lease. TheP g parties further agree that one additional parking permit shall be of the Sublessee , thepurchased for the use cost of which permit shall be shared equally by the Sublessor and the Sublessee. IN WITNESS WHEREOF, the partite; hereto r xecuted ' this -5- . Sublease Agreement on the day and year first above written. WITNESSES: AdgeA 1// Aril, ,_ / f" FRANKEL & ASSOCIATES, 'C. , Sublessor 7411F v, 4., .��,_? �1�i�•- By: 7, ____, . /• �filK UA. FRAM , Presi• = t • IP V U‹ P‘itt ROBERT BLUM & P Sublessee WA ilk 11 ,11,__-, "Awls ". By: 1411010,. By: 'OB 'T BLStl r • c -6- ORIGINAL t: RESOLUTION NO. 87-18981 (Authorizing the Mayor and the City Clerk to execute a consent to the sublease of a portion of the seventh (7th) floor of Historic City Hall from Frankel & Assn. Inc. , to Robert Blum & Company)