1994 AGN MAR 15 I26 - Laserfiche WebLink

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CITY OF COLTON AGENDA REPORT For Council Meeting of March 15, 1994 To: Honorable Mayor and City Council . Date: March 7, 1994 From: Jerry L. Young, City Manager Subject: Consider Approval of Amen Lease Agreement between the City of Colton and A & E Development Company, Incorporated, for Proposed Youth Center at 345 West "H" Street BACKGROUND At its meeting of January 18, 1994, the City Council approved a Lease Agreement between the City of Colton and A & E Development Company to lease certain real property located at 345 West "H" Street to be used as a Youth Center. Shortly after that date, and upon review of the Lease Agreement approved by the City Council, A & E Development Inc., requested a meeting to propose specific changes to the Lease Agreement. The attached amended Lease Agreement is the result of that meeting. DISCUSSION Specifically, the amendment to the Lease Agreement incorporates the following substantial changes. Section 3.2 After the first year where the City pays $1 to lease the building, if the City exercises the option to extend the term of the lease, the City shall pay rent at the rate of $3948 per month plus taxes and insurance, with scheduled annual increases. Section 3.3 Gives the City the option to purchase the premises under the terms and conditions as specified by the Amended Lease Agreement. Section 3.5.3 It is the Lessor's responsibility to provide evidence of public liability and premises insurance satisfactory to the City's Risk Manager and to name the City as co-insured on all such insurance policies. Section 3.6.3 The City shall waive all building fees and expedite the permitting process for construction of agreed upon improvements to the premises. RECOMMENDATION: Staff recommends the City Council approve the amended Lease Agreement between the City of Colton and A & E Development Company, Incorporated, for the proposed Youth Center at 345 West "H" Street. Attachments (1) c:\winword\031594A.AGR March 7, 1994--djp Item No. Orz