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HomeMy WebLinkAboutRES.605.03-04-1991 BILL N0. 91-30 RESOLUTION N0.' ��� A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT TO TERMINATE LEASE WITH J . D. TREADWELL AND JOYCE TREADWELL D/B/A CAPE AIRPORT RESTAURANT AT THE CAPE GIRARDEAU MUNICIPAL AIRPORT BE IT RESOLVED BY THE COUNCIL OF THE CITY OF CAPE GIRARDEAU, MI SSOURI , AS FOLLOP7S : ARTICLE 1 . The City Manaaer, for and on behalf of the City of Cape Girardeau, Missouri , is hereby authorized to enter into an Agreement to Terminate Lease with J . D. Treadwell and Joyce Treadwell d/b/a Cape Airport Restaurant at the Cape Girardeau Municipal Airport . A copy of said Agreement is attached to this Resolution and made a part hereof . • PASSED AND ADOPTED THIS _�� DAY OF , 19�_. � rancis E . Rhodes, Mayor ATTEST: _ /� G�� .1:(�-� Vl.�/vC Juli A. Dale Dep y City Clerk } AGREEMENT TO TERMINATE LEASE This Agreement made on this � day of , 1991 , between the City of Cape Girardeau, Missouri , a Municipal Corporation, hereinafter called "Purchaser " and J . D . Treadwell and ,7oyce Treadwell d/b/a Cape Airport Restaurant , 533 Landis, Cape Girardeau, MO 63701, hereinafter called "Sellers" . In consideration of the mutual covenants contained herein, the parties agree as follows : l . The parties to this Aareement are also parties to a Lease agreement dated February 21 , 1990, for use of certain premises located at the Cape Girardeau Municipal Airport Terminal Building for utilization as a restaurant . 2 . By the terms of the above referenced Lease agreement , Sellers have a one ( 1 ) year lease term due to expire February 28 , 1991 , which is renewable for four ( 4 ) successive periods of one ( 1) year each at the option of Sellers. 3 . The parties hereto have agreed to terminate the above referenced Lease agreement on the following terms and conditions : A. Purchaser shall pay to Sellers the total sum of Six Thousand Dollars ( �6 , 000 . 00 ) and in exchange for payment of this sum, Sellers shall surrender their right to renew the lease and shall instead agree that Purchaser may terminate the Lease agreement upon two ( 2 ) weeks �aritten notice to Sellers or September l , 1991, which ever occurs first . The Sum of One Thousand Five Hundred Dollars ( �1 , 500 . 00 ) is paid to Sellers contemporaneously with the execution of this agreement and the balance of Four Thousand Five Hundred Dollars ( $4 , 500 . 00 ) shall be paid upon termination of the Lease agreement . � B . The parties agree and un�erstand that the City desires to renovate and redecorate the terminal building , including the area containing the restaurant which is the subject of the Lease agreement and that it will be in the best interest of both parties if the premises are vacated for this project . Further, Sellers agree that they are desirous of terminating their business operation at the Cape Girardeau Municipal Airport . C. This agreement to terminate the lease cancels all outstanding interests of the Treadwells in the airport restaurant facility and the Lease agreement dated 'February 21 , 1990, at the close of the two ( 2 ) week notice period or September 1 , 1991, which ever occurs first , hereinabove referred to. D . The parties aaree that the City/Purchaser shall keep and maintain liability insurance on the premises beginning March 15 , 1991, until such time as this Lease is finally terminated by the cessation of Sellers ' business activity at the airport restaurant . E . Except as herein provided, the original Lease agreement shall continue in full force and effect and the parties agree to be bound thereby with respect to matters not addressed in this Acrreement to Terminate the Lease . F . In addition to the payment of Six Thousand Dollars ( �6, 000 . 00 ) for purchase of Sellers ' interest in the Lease agreement , Purchaser agrees to purchase Sellers equipment and unused inventory on hand at the restaurant facility at the termination of the restaurant lease . This equipment and inventory will be itemized with values agreed upon between the parties, but -2- � the parties agree and understand that the negotiated value is not to exceed Two Thousand Dollars ( �2 , 000 . 00) . 4 . A copy of the Lease agreement dated February 21, 1990, is attached hereto and made part hereof by reference as though fully set out herein. IN WITNESS WHEREOF , the parties have hereunto caused this instrument to be signed the day and year first herein written. CITY OF CAPE GIRARDEAU, MISSOURI ��i� J,. Ronald Fischer, City Manager � ATTEST: Ju . ale, Deputy City Clerk J . D. TREAD4�'ELL AND JOYCE TREADWELL d/b/a CAPE AIRPORT RESTAURANT ,� � � � .r � . , eadwel G ,_ ' ; - � �_ % l�` ���- _ - ��� ��;�,�'�-�� �yceaI'readwell -3- , � LEASE THIS LEASE made this �� day of , 19 7v ► between the City of Cape Girardeau, Missour , a Municipal Corporation, hereinafter called " Lessor " and J. D. Treadwell and Joyce Treadwell d/b/a Cape Airport Restaurant , 533 Landis , Cape Girardeau , MO 63701 , hereinafter called " Lessee" ; In consideration of the mutual covenants contained herein , the parties agree as follows : SECTION 1 . PREMISES. Lessor hereby leases to Lessee the area in Lessor ' s Airport Terminal Building previously utilized as a restaurant , and more particularly described as the area outlined in red on the attached diagram of the Lessor ' s Airport Terminal Building , attached hereto marked Exhibit "A" and made a part hereof . Said area consists of the restaurant area being approximately 563. 25 squGre feet , and the storage area being approximately 6? square feet , for a total of approximately 627 . 25 square feet . SECTION 2. TERM. The original term of this Lease snall be for ( 1 ) year , beginning on I�'arch 1 , 1990 , and terminating on February 28 , 1991 . Lessee shall have the option to renew this Lease on the same terms and conditions as tne original term for a total of four ( d ) successive periods of one ( 1 ) year each by serving written notice of its election to renew upon the Lessor at least thirty ( 30) days prior to the expiration of the original term or any renewal thereof . SECTION 3. RENTAL. Lessee shall pay to Lessor the sum of Two Hundred Dollars ( �200. 00 ) or three per cent ( 30 ) of the gross receipts of said restaurant per month , whichever is greater . All rental payments shall be made within ten ( 10 ) days after the last day of the month for which the rent is due . Lessor shall have the right at any time to examine or to have examined the sales tax records or sales tax returns of Lessee to verify the authenticity of the rental payments . SECTION 4 . USE OF THE PREMISES The premises are to be used for the purpose of operating and maintaining a restaurant . Lessee shall restrict its use to such � purposes , and shall not use or permit the use of the premises for any other purpose without the written consent of Lessor . SECTION 5 . HOURS OF OPERATION. Lessee agrees to keep open to the public , and operate the airport restaurant at all times revenue producing commercial airline flights depart the airport , excluding all major holidays . Lessee shall be excused from ooerating the airport restaurant at any time during the term of this Lease when Lessee is prevented by strikes , fires , repairs , default of Lessor , or other causes beyond the reasonable control of Lessee . SECTION 6 . UTILITIES . At all times during the term of this Lease, Lessor shall furnish to the demised premises , at no cost of Lessee , gas , electricity, heat , lighting , hot water , ventilation and air-conditioning as r�ay be required by Lessee in the reasonable conduct of its restaurant operations . This obligation of Lessor to furnish the above services or any other services which Lessor may from time to time agree to furnisn to Lessee, shall be excused during any period when Lessor shall be prevented from furnishing said service by strikes , fires, accidents , inability to procure fuel at reasonable prices or other causes beyond the reasonable control of Lessor , and while Lessor shall in good faith be in the process of making necessary repairs to the building or equipment necessary for the furnishing of such services . SECTION 7 . CUSTODIAL SERVICES . Lessee agrees to provide the necessary management , materials and labor , to provide all janitorial and custodial services necessary , and to maintain the airport restaurant in a clean , safe , orderly and sanitary condition . SECTION 8 . MAINTENANCE AND REPAIRS . Lessee shall keep all equipment and fixtures, furnishings and other property installed in good condition and repair . Lessee shall be responsible for all costs of repair to equipment and fixtures owned by Lessor , except that Lessor shall pay for the replacement of parts providing the replacement of said parts becomes necessary through the ordinary wear and tear of said equipment . Sahenever a piece of equipment or a fixture is damaged due to the error of Lessee , Lessee shall be responsible for all replacement and/or repair costs . -2- � T SECTION 9 . INSURANCE. Lessee , at the expense of Lessee , shall keep in force during the term of this Lease, insurance , naming the City as a co-insured , issued by responsible insurance companies and in form acceptable to the attorney for the City of Cape Girardeau for the protection of Lessor against all liabilities , judgments , costs , damages , and expenses which may accrue against , be charged to or recovered from Lessor , by reason of damage to the property of , injury to or death of any person or persons on account of any matter or thing which may occur on the demised premises, in a policy or policies in the amount of $100 , 000 . 00 with respect to any one person and �1 , 000 , 000 . 00 with respect to any one incident and $100 , 000 . 00 with respect to property damage , provided such policies shall protect Lessor from claims against products liability in the amounts set forth above . Each party hereto may keep its , interest in the demised premises , the building in which the demised premises are located , and the equipment and fixtures and other prooerty located in the demised pre;�ises , insured at its own expense aaainst fire , extended coverage and other such risks as it may choose . Lessee shall submit to the City a Certificate of Insurance on all insurance policies r,eld by Lessee affecting the airport restaurant . This would include but not be limited to liability insurance and fire insurance . SECTION 10 . DAMAGE TO PREMISES . In the event the demised premises or tne building of cahich the demised premises are a part shall be damaged or destroyed by fire or other casualty, the same may be repaired or rebuilt by Lessor at its option as soon as funds are available but Lessor shall not be obligated to repair or rebuild any fixture , equipment and other property installed by Lessee . In the event of any damage or destruction by fire or other casualty to the demised premises, Lessee shall immediately, at its expense , replace and repair any and all fixtures , equipment and other property installed by it . SECTION 11 . QUALITY OF FOOD AND SERVICES . In addition to all other legal rights Lessor has to terminate this Lease , Lessor shall additionally have the right to terminate this Lease in the event Lessee shall fail to maintain the quality of food and quality of service equivalent to the better restaurants in the area . Lessee agrees to maintain a good and substantial quality of food and service and further agrees to keep its prices competitive with other fine restaurants in the area . -3- � SECTION 12. NOTICES. For purposes of this Lease , whenever it becomes necessary for the Lessee to serve upon Lessor any notice or demand, it shall be sufficient to send by ordinary mail a written or printed copy of said notice or demand to the City I�ianager ' s Office in the Ci 'ty Hall Building , 401 Independence , Cape Girardeau, Missouri 63701 . The agent selected by Lessor to administer this Lease shall be the City Manager or his designee. Whenever it becomes necessary for the Lessor serve upon Lessee any notice or demand , it shall �e sufficient to send by ordinary mail a written or printed copy of said notice or demand to J . D. Treadwell and Joyce Treadwell , d/b/a Cape Airport Restaurant , 533 Landis , Cape Girardeau , Missouri 63701 . SECTION 13 . FEDERAL AVIATION ADMINISTRATION REQUIREMENTS . Tne Lessee , for himself , his heirs, personal representatives , successors in interest , and assigns , as a part of the consideration nereof , does nereby covenant and agree as a covenant running with the land that in the event facilities are constructed , maintained , or otherwise operated on the said property described in this Lease, for a purpose for which a Department of Transportation program or activity is extended or for another purpose involving the provision of similar services or benefits, the Lessee shall maintain and operate such facilities and services in comDliance with all other requirenents imposed pursuant to 49 CrR Part 21 , Nondiscrimination in Federally Assisted Programs of the Department of Transportation , and as said Regulations may be amended . The Lessee , for himself , his personal representatives , successors in interest , and assigns , as a part of the consideration hereof , does hereby covenant and agree as a covenant running with the land that : ( 1 ) no person on tne grounds of race , color , or national origin shall be excluded from particinating in , denied the benefits of , or be othercaise subjected to discrimination in the use of said facilities , ( 2) that in the construction of any improvements on, over , or under such land and the furnishing of services thereon , no person on the grounds of race, color , or national origin shall be excluded from participation in, denied the benefits of , or otherwise be subjected to discrimination, ( 3 ) that the Lessee shall use the premises in compliance with all other requirements imposed by or pursuant to 49 CFR Part 21 , Nondiscrimination in Federally Assisted Programs of the Department of Transportation, and as said Regulations may be amended . The Lessee assures that it will undertake an affirmative action program as required by 14 CFR Part 152, Subpart E, to insure that no person shall on the grounds of race , creed , color , national origin, or sex be excluded from participating in any employment activities covered by 14 CFR Part 152, Subpart E. The -4- , Lessee assures that no person shall be excluded on these grounds from particioating in or receiving the services or benefits of any program or activity covered by this subpart . The Lessee assures that it will require that its covered suborganizations provide assurances to the Lessee that they similarly will undertake affirmative action programs and that they will require assurances from their suborganizations , as required by 14 CFR Part 152 , Subpart E, to the same effect . It is understood and agreed that notl�ing herein contained shall be construed to grant or authorize the granting of an exclusive right within the meaning of Section 308 of the Federal Aviation Act of 1958 . Lessee agrees to furnish service on a fair , equal and non discriminatory basis to all users thereof , and to charge fair , reasonable and not unjustly discriminatory prices for each unit or service; PROVIDED, that Lessee may make reasonable and nondiscriminatory discounts , rebates , or other similar types of price reductions to volume purchasers . SECTION 14 . ALTERATIONS, IMPROVEMENTS AND ADDITIONS . Lessee shall not make any alterations , improvements , or additions to the demised premises without the prior written consent of Lessor . SECTION 15 . RIGHT TO ENTER. Lessor , its agents or employees shall have access to , and shall have the right to enter the leased premises at all reasonable and necessary times to inspect the premises or for any other purpose reasonably connected with Lessor ' s interest in the premises , including but not limited to the performance of any work or other act found necessary on sucn inspection. SECTION 16 . NO WAIVER OF FUTURE BREACH. The failure of Lessor or Lessee to insist , in any one or more instances , on a strict oerformance of any of the terms or the conditions of tl�is Lease , or to exercise any option herein contained, shall not be construed as a future waiver or a relinquishment of the provisions or options , but the same shall continue and remain in full force and effect . The receipt by Lessor of rent , with knowledge of the breach of any term or condition hereof , shall not be deemed a waiver of the breach and no waiver by Lessor of any provision hereof shall be deemed to have been made unless expressed in writing and signed by Lessor . Even though Lessor shall consent to an assignment of this Lease or to a sublease of the whole or any part of the demised premises , no further assignment and no further sublease shall be made without -5- � the express consent in writing by Lessor . None of the terms or conditions of this Lease shall be altered, waived, modified or abandoned in any manner except by written instrument executed by both parties . SECTION 17 . TERMINATION. Lessor may enforce the performance of this Lease in any manner provided by law, but this Lease may be terminated at Lessor ' s option if Lessee defaults and said default continues for thirty ( 30) days after written notice of such default . A default occurs in any one or more of the following events : 1 . If Lessee shall desert or vacate the demised premises ; 2 . If Lessee shall fail to pay the rent or any part thereof as specified in this Lease ; . 3. If Lessee shall assign this Lease or sublet the demised premises without the consent of Lessor ; 4 . If Lessee shall fail to nerform and comply with any of the terms or conditions of this Lease; 5 . If Lessee shall fail to cor�ply with any of the Statutes , Ordinances , rules or regulations of any governmental body ; or 6 . If Lessee shall file a Petition in Bankruptcy, or make an assignment for the benefit of creditors , or be adjudicated a bankrupt or take advantage of any insolvency act . SECTION 18 . HOLDING OVER. The failure of Lessee to surrender the demised premises on the termination of this Lease and the subsequent holding over by Lessee with or without the consent of Lessor shall result in the creation of a tenancy from month to month at a monthly rental of r^ive Hundred Dollars ( �500 . 00 ) payable on the first day of each month during the month to month tenancy. This provision does not give Lessee any right to hold over at the termination of this Lease . IN WITNESS WHEREOF, the parties have hereunto caused this -6- T instrument to be signed, under their seals, the day and year first herein written . CITY OF CAPE GIRARDEAU, MISSOURI � � �� ' onald Fis her , City Manager ATTEST: Jul � lA. Dale Depu z� City Clerk J. D. 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