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HomeMy WebLinkAboutReso 87-19 Amendment #2 Lease ste 82-85-82W-85W 725 EmbarcaderoRESOLUTION NO. 87=19 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA APPROVING AMENDMENT #2 TO THE MASTER LEASE AGREEMENT FOR LEASE SITE 82-85/82W-85W BETWEEN THE CITY OF MORRO BAY AND 725 EMBARCADERO, LLC, LOCATED AT 725 EMBARCADERO THE CITY COUNCIL City of Morro Bay, California WHEREAS, the City of Morro Bay is the lessor of certain properties on the Morro Bay Waterfront described as City Tidelands leases and properties; and WHEREAS, 725 Embarcadero, LLC (Doug Redican) has been the lessee of Lease Site 82-85/82W-85W since 1988, and is a tenant in good standing; and WHEREAS, 725 Embarcadero, LLC was granted approval of a new Master Lease Agreement on September 25, 2018 for the proposed lease site redevelopment project consisting of conversion of the upstairs building space to hotel rooms, public access and other improvements; and WHEREAS, a provision in the new Master Lease Agreement was inadvertently omitted requiring 725 Embarcadero, LLC to financially participate in the future project known as the Centennial Parkway Concept Plan, should the City of Morro Bay build the project. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Morro Bay, California, as follows: 1. The attached Amendment #2 to the Master Lease Agreement for Lease Site 82-85/82W-85W is hereby approved. 2. The Mayor is hereby authorized to execute said Master Lease Agreement. PASSED AND ADOPTED by the City Council of the City of Morro Bay at a regular meeting thereof held on the 22"d day of October 2019 on the following vote: AYES: Headding, Addis, NOES: None ABSENT: None ATTEST: DMA SWANSON, City Clerk Davis, Heller, McPherson AMENDMENT #2 TO THE LEASE AGREEMENT FOR LEASE SITE 82=85/82W-85W, LOCATED AT 725 EMBARCADERO This Amendment (Amendment #2") is made and entered into as of this day of , 2019, by and among the City of Morro Bay, a municipal corporation of the State of California, whereinafter called "City," and 725 Embarcadero, LLC, a California limited liability company, hereinafter called "Tenant." (Collectively, City and Tenant are sometimes referred to herein as the "Parties.") WHEREAS, this Amendment #2 is to that certain Lease, which was signed on behalf of the Parties and is effective as of September 26, 2018 (the "Master Lease"); WHEREAS, Parties executed a new Master Lease based the Planning Commission and City Council for conversion to ten transient occupancy hotel units, and including otr proposed; on the Concept Plan approval from of the second story restaurant space ier public access improvements as - WHEREAS, Parties negotiated in good faith and Tenant agreed to financially participate in the future project known as the Centennial Parkway Concept Plan, which was to be included as a term in the Master Lease; and WHEREAS, the Centennial Parkway financial participation term was inadvertently left out of the Master Lease, and the Parties now wish to correct that omission. NOW THEREFORE, Parties agree, as follows: 1. Section 13.05 is added to the Master Lease as follows: Section 13.05 TENANT to Financial) Pupate in Centennial Parkway Concept Plan Project TENANT agrees to contribute $20,000, in amutually-agreeable manner, to assist CITY with funding installation of the Centennial Parkway Concept Plan Project, at such time CITY begins construction of that project and within 30 days after a written request from CITY for such contribution. 2. Except as expressly stated herein, all provisions of the Master Lease shall remain in full force and effect. 3. The effective date of this Amendment 4T2 is the date first written above. IN WITNESS WHEREOF, the parties hereto have executed this Amendment #2 as of the date written above. CITY OF MORRO BAY By: John Headding, Mayor APPROVED AS TO FORM: Chris F. Neumeyer, City Attorney ATTEST: Dana Swanson, City Clerk 725 Embarcadero LLC a Limited Liability Company By: Doug Redican, Manager