2001-24250 RESO
RESOLUTION 'NO: 2001-24250
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, APPROVING A LEASE
AGREEMENT BETWEEN THE CITY OF MIAMI BEACH (TENANT) AND
GLORIA MILLER-ROSENTHAL (LANDLORD) IN THE ANNUAL
AMOUNT OF $96,000, FOR THE ENTIRE PROPERTY LOCATED AT 1833
BAY ROAD, MIAMI BEACH, FLORIDA, TO BE USED FOR CERTAIN
POLICE DEPARTMENT OPERATIONS AND FOR THE PARKING
DEPARTMENT SIGN SHOP; SAID LEASE COMMENCING ON
FEBRUARY 1, 2001, AND TERMINATING ON JANUARY 31, 2004; AND
FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE SAID LEASE AGREEMENT
WHEREAS, on January 21, 1998, the Mayor and City Commission adopted Resolution
98-22639, approving a Lease Agreement for the second floor of the building located at 1833-37 Bay
Road (the Property) to house certain off-site operations of the Miami Beach Police Department; and
WHEREAS, on September 9, 1998, the Mayor and City Commission approved an
amendment to the Lease Agreement to include the I st Floor space, thereby increasing the total
number of square feet in the leased Property and the total amount of rent due, in order to
accommodate the Police Department's expanding needs; and
WHEREAS, the existing Lease Agreement expires on January 31, 2001, and the Police
Department continues to require the use of the 2nd Floor of the Property, but has reduced its
operations and is no longer in need of the 1st Floor space; and
WHEREAS, the Parking Department is in need of locating its sign shop, which can be
accommodated in the I st Floor space being vacated by the Police Department; and
WHEREAS, funding for the lease of the Property is available in the respective Department's
budgets; and
WHEREAS, upon review of the existing inventory of available properties that meet the
criteria for the proposed uses, the Administration determined that leasing the entire Property, would
provide the most cost effective arrangement, as well as the most desirable location for the both of
the intended uses.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission herein approve the attached Lease Agreement between the City of Miami Beach and
Gloria Miller-Rosenthal for the entire property located at 1833 Bay Road, Miami Beach, Florida, to
be used for certain Police Department operations and for the Parking Department sign shop, and
further authorize the Mayor and City Clerk to execute said Lease Agreement.
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PASSED AND ADOPT~~day of January 31,
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CITY OF MIAMI BEACH
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COMMISSION MEMORANDUM NO. (PO -01
TO:
Mayor Neisen Kasdin and
Members of the City Commission
DATE: January 31, 2001
SUBJECT:
Jorge M. Gonzalez \
City Manager () ~
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING A LEASE AGREEMENT BETWEEN
THE CITY OF MIAMI BEACH (TENANT) AND GLORIA MILLER-ROSENTHAL
(LANDLORD) FOR THE ENTIRE PROPERTY LOCATED AT 1833 BAY ROAD,
MIAMI BEACH, FLORIDA, TO BE USED FOR CERTAIN POLICE DEPARTMENT
OPERATIONS AND FOR THE PARKING DEPARTMENT SIGN SHOP, AND
FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE SAID
LEASE AGREEMENT
FROM:
ADMINISTRATION RECOMMENDATION:
Adopt the Resolution.
ANALYSIS
On January 21, 1998, the Mayor and City Commission adopted Resolution No. 98-22639 approving
a Lease Agreement between the City of Miami Beach (Tenant) and Gloria MilIer"Rosenthal
(Landlord) for a portion of the property located at 1833 Bay Road (the Property). The leased
Property, included the second floor of the building (approximately 3000 square feet) and a portion
of the rear yard of the Property, all of which have been used to accommodate certain Police
Department operations.
On September 9, 1998, because of the Police Department's need to expand its on site operations, the
Mayor and City Commission approved an amendment to the Lease Agreement, via
Resolution 98-22862, to increase the leased square footage within the building to 6,000, by adding
the use of the first floor space. The current Lease Agreement expires on January 31, 2001.
Over the past several years, the City has invested approximately $ 75,000 in improvements and
upgrades to the property to meet the Department's needs. Effective February 1, 2001, the
Department will no longer be needing the use of the 1st Floor space. However, the City's Parking
Department, which is in need of additional space to house their Sign Division, has requested the use
of the 1 st Floor space. As such, the City has the opportunity to continue to take advantage of the
improvements previously made and maintain control of the whole property, which greatly benefits
the continuing operation and intended use. Additionally, the Lease includes the use of the rear yard,
which along with the fact that the Property is located adjacent to a municipal parking lot, enhances
AGENDA ITEM -Rf'J D
DATE~
Commission Memorandum
January 31, 2001
Resolution Approving Lease of 1833 Bay Road
Page 2
the respective departments' ability to' manage and aperate their respective tasks.
The Lease Agreement far 1833 Bay Raad cansists of approximately six thausand (6,000010) square
feet of interiar space, and includes the use of a rear yard area which measures approximately 4,000:1:
square feet. The propased lease term is for the three-year period cammencing an February 1, 2001,
and expiring at midnight an January 31, 2004, subject to' funding availability. The proposed Lease
Agreement contains a provisian which allaws the City to' terminate the lease with a ninety (90) day
natice if funding far the lease af the Property is nO' langer available.
The rental rate of $16.00 per square foot which is being propased is well under that afthe current
market rate far similar space, which was determined to range from approximately $18,00 to' $24.00
per square faot. Althaugh the newly propased rate af $16 per square foot is higher than that af the
$12 per square foat rate pravided in the current Lease, a review af the matter revealed the fallawing:
. The $12 per square faat rate previausly negatiated was well under the 1997 market rate af $15
to' $17 per square faat.
. Landlord had agreed to' the $12 rate because of the City's cammitment to improve the interiar
space.
Additionally, the Landlard presented informatian to suppart the increase as follaws:
. Landlard's Property Taxes increased by appraximately 31 % ($2,896) aver the past three years
. Cansumer Price Index (CPI) increased by approximately 7.5% ($5,381) over the past three years
. City is provided the use af approximately 464 square feet af interiar space at rto cast
. City is provided the use af approximately 4,000 square feet af rear yard at nucast
Based on the above, the Administratian negotiated the afarementianed $16 per square faat rate,
which equates to' $96,000 per year ($8,000 per manth). The City will nat be respansible for any
ather lease related casts to' the Landlard, including any casts far Property Taxes.
Funding to caver the proposed Lease payments is available in both the Police Department and
Parking Department Fiscal Year 2000/2001 budgets, in accounts 011.1140.000.323 and
480.0462.000.323, repectively, As stated abave, the proposed Lease Agreement pravides that the
City may terminate the lease, with a ninety (90) day natice, if the funding saurce far the lease of the
Property is no langer available, The City Attarney's Office has reviewed and approved the terms af
the Lease Agreement with regards to' liability and legal issues.
In light of the faregaing, the Administratian deems that the negotiated rate is below that of current
market value, the propased Lease Agreement wauld provide the most cast-effective arrangement,
the most desirable locatian for the existing Police Department aperations, as well as providing a
suitable lacation far the Parking Department's Sign Division, and recammends approval of same.
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T:\AGENDA\200 1 IJAN31 0 1 lREGULARI 1833BA Y,MEM t/24/0 1
LEASE AGREEMENT
THIS LEASE AGREEMENT, made and entered into this..3l&. day of January, 2001 , by
and between GLORIA MILLER ROSENTHAL, an individual (Landlord) and the CITY OF MIAMI
BEACH, a Florida municipal corporation (Tenant).
WHEREFORE, in consideration of the rent to be paid herein, and further good and valuable
consideration, receipt of which is hereby acknowledged, and the further consideration of the mutual
covenants each to the other made as follows:
1.
Leased Premises.
The Landlord does hereby lease to the Tenant the whole of the
building, including but not limited to the first and second floor, which measure
approximately six thousand (6,000+/-) square feet, along with all of the land, including but
not limited to all of the yard areas in and around the building, and legally described as
follows:
Lot 10 Block 13
Alton Beach Realty Company Amended Plat
Plat Book 9 Page 146
OR 16472-196107945
Official Records of Dade County, Florida
The Tenant understands and acknowledges that the Landlord makes no warranties or
representations and Tenant is relying on no such warranties or representations that the Yard
Area may be used for parking or storage of vehicles or that there is or will be vehicular
access to the Yard Area.
2. Term. This Agreement is for the three-year period commencing on February 1,2001, and
expiring at midnight on January 31, 2004.
3. Rrn.t. The Tenant agrees to pay to the said Landlord, at the address listed in this Agreement,
an annual rental fee of $96.000.00, to be paid on a monthly basis, in the amount of$8.000,OO
per month, by check. Rent shall become payable on or about the first working day of each
month, commencing on February I, 200 I, and on the first business day of each successive
month until the end of the term of this Agreement, or earlier cancellation. If the Tenant fails
to pay any rental payment due hereunder within ten (10) days of the due date there shall be
added to such payment a late charge of$50.00, If the rental payments due hereunder are not
received within ten (10) days after the normal monthly payment due date, then Landlord shall
provide Tenant with a written notice to remedy such default in payment. Upon failure of
Tenant to cure such default in payment within three (3) days after receipt from Landlord of
such written notice to remedy, Landlord, at its option, may cancel this Agreement and shall
have the right to re-enter and re-possess the Leased Premises.
4, Use ofthe Leased Premises. It is understood and agreed that the Leased Premises shall
be used by the Tenant for the operation, management, business function and direction of the
City of Miami Beach Police Department and City of Miami Beach Parking Department, and
for any and all other lawful uses deemed in the Tenant's best interest by the Tenant.
5. Telephone. Tenant shall pay its own cost for telephones it uses and any additional
installations it orders.
6, Maintenance and Utilities. The Tenant will pay for the utilities attributable to its use of
the Leased Premises. The Tenant agrees to maintain the Leased Premises in order and repair,
including furnishings, utility service connections on the Leased Premises and any routine
mechanical and electrical rearrangements installed by the Tenant, routine janitorial and
custodial service, and other related services necessary to maintain the Leased Premises in
good, safe and sanitary conditions.
7. Structural Alterations by Tenant. The Tenant may not make major structural alterations
and/or improvements upon the Leased Premises without the prior written consent of the
Landlord, which consent shall not be unreasonably withheld. Notwithstanding the foregoing,
Landlord herein agrees to continue to provide hurricane (storm) shutters for the Leased
Premises. Such storm shutters to be provided, at a minimum, shall contain a product control
2
,
approval number from Metropolitan Dade County, and meet all applicable requirements for
same under the South Florida Building Code. Tenant shall be responsible for the installation
and removal of said shutters as the need arises.
8. Destruction of the Leased Premises. In the event that the Leased Premises shall be
damaged, destroyed or otherwise rendered unusable for the purpose of this Agreement and
thereby the fulfillment of the Agreement by the parties is rendered impossible, then and
thereupon this Agreement shall automatically terminate and Landlord shall take back the
premises, and there shall be no further liability as to Tenant with regard to the
terms/conditions contained herein..
9. Assignment and Subletting, The Tenant shall not assign or otherwise transfer this
Agreement nor sublease any portion of the Leased Premises without the prior written consent
of the Landlord.
10. Sigm. Tenant shall assume the cost of any exterior sign. All signs shall be removed by the
Tenant upon the expiration of this Agreement at the Tenant's own expense.
11. Landlord's Right of Entry. Except for non-payment of rent, which is separately addressed
in Paragraph 3 of this Agreement, the Landlord shall have the right to re-enter and repossess
the Leased Premises and to cancel this Agreement in the event of default by the Tenant of
any material covenant or agreement required to be performed by the Tenant, provided the
Tenant shall be given the opportunity to cure, Upon the failure of the Tenant to substantially
cure such default within sixty (60) days after receipt from the Landlord of a written notice
to remedy the default, Landlord shall have the right to re-enter and repossess the Leased
Premises and to cancel this Agreement.
12. Cancellation by the Tenant. In the event that Tenant's funding source for payment,
as approved by the Mayor and City Commissioners in the Police Department's and Parking
Department's respective Fiscal Year budgets, pursuant to this Agreement is discontinued, the
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Tenant may cancel this Agreement, without cause and for convenience, upon the giving of
ninety (90) days written notice to the Landlord of the Tenant's intent to cancel. In such event,
the Tenant shall have no further obligation or liability to the Landlord.
13. Liability for Damage or Injury. The Tenant and its employees, officials or servants
shall not be responsible for any damage or i~ury that may occur to the Landlord, its agents,
servants, employees, clients, other Tenants or property from any cause during the period
covered by the Agreement; provided that this paragraph shall not apply in the event the
damage or injury is caused by the negligence of the Tenant, its agents, servants and
employees.
14. illtl. Landlord shall be responsible for and pay all Federal, State, and local taxes due upon
the Leased Premises or otherwise arising out of this Agreement.
15.
Cancellation upon Purchase.
In the event that the parties hereto successfully
negotiate a purchase agreement for the Leased Premises during the'term of this Agreement,
then this Agreement shall automatically terminate at the closing of such purchase agreement.
16.
Notices,
It is understood and agreed between the parties hereto that written notice,
correctly addressed to Landlord as follows:
Gloria Miller Rosenthal
1310 East Royal Palm Way
Boca Raton, Florida 33432
and notice to the Tenant as follows:
City Manager, clo Jose Damien, Asset Manager
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
with copies to:
City Attorney
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
shall constitute sufficient notice to comply with this Agreement.
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17.
Venue.
Venue in any legal proceedings arising by virtue of this Agreement shall be
in Dade County, Florida.
18,
Limitation of Liability.
Tenant shall look solely to Landlord's interest in the Leased
Premises for the satisfaction of any of Tenant's rights or remedies herein or for the collection
of a judgement or other judicial process requiring the payment of money by Landlord in the
event of any default by Landlord hereunder. No other property or assets of Landlord shall
be subject to the levy, execution, judgement or other enforcement procedure for the
satisfaction of Tenant's rights or remedies under or with respect to this Agreement, the
relationship of Landlord and Tenant hereunder or Tenant's use or occupancy ofthe Leased
Premises.
19. Entire Agreement. Any amendments, alteration, variation or modification of this
Agreement shall only be valid when they have been reduced to writing and duty sign by the
authorized officials of the Tenant or the Landlord,
IN WITNESS WHEREOF, the parties have set their names and assigns hereto the day and
year first above mentioned.
LANDLORD:
TENANT:
CITY OF MIAMI BEACH
MAl~
tn.~~
~A MILLER ROSENTHAL
ATTEST:
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