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HomeMy WebLinkAboutOES 06-07 Citlf c~ REPORT TO EXECUTIVE COMMITTEE Report Number: OES 06-07 Date: January 8, 2007 199 From: Everett Buntsma Director, Operations & Emergency Services Subject: The Canadian Progress Club - Durham South - Lease Renewal- Front Street Centre - File: A-2130-001-07 Recommendation: 1. That Report OES 06-07 be received and; 2. That the Mayor and the Clerk be authorized to execute a renewal lease agreement to permit The Canadian Progress Club - Durham South to continue their use for club and community purposes at the Front Street Centre from January 1, 2007 to December 31, 2010, that is in the form and substance acceptable to the Director, Operations & Emergency Services and the City Solicitor. Executive Summary: The Canadian Progress Club - Durham South have an existing Lease Agreement for the Front Street Centre. The Club have requested to renew this agreement for the next four years. / The Operations & Emergency Services Department recommend that a renewal agreement be initiated with The Canadian Progress Club - Durham South. Financial Implications: The Club is responsible for providing general maintenance services at its expense as well as day-to-day operating expenses. Sustainability Implications: The Canadian Progress Club - Durham South contribute to the City of Pickering's health and well-being through various volunteer and fund raising efforts, community projects and events. Report OES 06-07 January 8, 2007 Subject: Front Street Centre 200 Lease Renewal - The Canadian Progress Club - Durham South Page 2 The Club maintains and operates the Front Street Centre on behalf of the City of Pickering. This reduces the City's staffing requirement to operate this facility. Background: On February 2, 2004, Council enacted By-law 6285/04 authorizing the execution of a Lease AgreElment with The Canadian Progress Club - Durham South for their use of the Front Street Centre for club and community purposes, from January 1, 2004 to December 3'1,2006. The Canadian Progress Club - Durham South have requested to renew this agreement. The renewal lease agreement allows The Canadian Progress Club - Durham South to continue their use at the Front Street Centre from January 1, 2007 to December 31, 2010. The Director, Operations & Emergency Services and Division Head, Culture & Recreation recommend that a renewal agreement be initiated with The Canadian Progress Club - Durham South. Attachments: 1. Lease Agreement 2. Location Map Prepared By: ~ . i . I Len'.! ...., T ,t.. . _.~ Supervisor, Facilities Operations Approved I En~,9rse By: Emergency Services SR:lg Attachments CORP0227-07/01 revised Report OES 06-07 January 8, 2007 201 Subject: Front Street Centre Lease Renewal - The Canadian Progress Club - Durham South Page 3 Copy: Chief Administrative Officer Director, Corporate Services & Treasurer City Solicitor Recommended for the consideration of Pickering C,ity Council ;;~ , I / ,.1 CORP0227-07101 revised 202 .' Or2S #_.""""" PQ~f2 \ 6(:- 8 LEASE AGREEMENT 0(;; ,- t.>7 THIS LEASE is made as of the 1 st day of January, 2007. BET WEE N: THE CORPORATION OF THE CITY OF PICKERING (the "City") - and - THE CANADIAN PROGRESS CLUB - DURHAM SOUTH (the "Club") ARTICLE I INTERPRETATION Definitions 1. In this Lease, (a) "Commencement Date" means January 1, 2007; (b) "Lease" means this lease as it may be amended from time to time; (c) "Premises" means the entire facility known as the Front Street Centre (including the exterior deck and access walks) located on Water Lots 1 and 2 and part of Water Lot 3, Plan 65 in the City of Pickering, Regional Municipality of Durham; (d) "Rent" means the rent payable pursuant to Section 21; and (e) "Term" means the term of this Lease as set out in Section 18. Headings 2. The division of this Lease into articles, sections, subsections and schedules and the insertion of headings are for convenience of reference only and shall not affect the construction or interpretation of this Lease. 2 REFORT -# __Q~ 5.- 00 -. 'CF7 pa cf~ 2 o{"' 8 {)f"\3 g;tJ . Schedule 3. Schedule "A" (City's Alcohol Management Policy) is incorporated into and forms part of this Lease. Severability 4. All of the provisions of this Lease are to be construed as covenants even where not expressed as such. If any such provision is held to be or rendered invalid, unenforceable or illegal, then it shall be considered separate and severable from this Lease and the remaining provisions of this Lease shall remain in force. Number 5. Wherever a word importing the singular number only is used in this Lease, such word shall include the plural. Words importing either gender or firms or corporations shall include the other gender and individuals, firms or corporation where the context so requires. Governing Law 6. This Lease shall be governed by, and interpreted and enforced in accordance with, the laws in force in the Province of Ontario. Entire Agreement 7. This Lease constitutes the entire agreement between the parties concerning the Premises and may only be amended or supplemented by an agreement in writing signed by both parties. ARTICLE II GRANT AND USE Grant 8. In consideration of the performance by the Club of its obligations under this Lease, the City leases the Premises to the Club for its use during the Term. Club Use of Premises 9. The Premises shall be used only for non-profit functions, charity events or non- commercial receptions and for no other purpose without the prior written consent of the City. 10. The Club's use of the Premises shall be in accordance with the City's Alcohol Management Policy (Schedule "A"). 3 204 l ..-" ,.'no'" ')"1' J.' 1'-'C <: C'Y.-. C"--7 ...... __. Kt:l~' i"\ I tf_..!,...,,(., . --") Ie' ) pCLje 3, cA? 8 The Club shall have the exclusive use of the Premises every Saturday and Wednesday evening. 11. Nuisance 12. The Club shall not carryon any activities or do or suffer any act or thing that constitutes a nuisance or which is offensive or an annoyance to the City. City Use of Premises 13. Subje!ct to section 11, the City shall have first right of refusal to use the Premises. The Club shall not be entitled to any rental fees or other remuneration associated with the use of the Premises by the City. Assignment and Subletting 14. The Club shall not assign this Lease or sublet all or any portion of the Premises without the prior written consent of the City. Licences 15. The Club may grant licences to non-commercial licences to use the Premises provided, (a) the term of the licence does not exceed one (1) month; (b) the licensee agrees to comply with sections 9 and 10 of this Lease; and (c) the fee for the licence is the annual fee established by the City. 16. The Club shall retain 100% of all licence fees recovered for the Premises. 17. The Club shall submit a written report to the City every four months documenting the soume and amount of all licence fees received by the Club for the Premises. ARTICLE III TERM Term 18. The term of this Lease shall be four (4) years from the Commencement Date to December 31, 2010. 19. The City may terminate this Lease at any time for any reason provided it has given the Club six (6) months prior notice. 4 \ ",..;'0' Q-' 0 ~<;;. c(:,.'- 0'"1 l"\i..r 1'\ I ff _.~..... . ...._.P(~,Jc 4- c(} 8 205 Overholding 20. If the Club remains in possession of the Premises after the expiry of the Term, there shall be no tacit renewal of this Lease or the Term, notwithstanding statutory provisions or legal presumption to the contrary, and the Club shall be deemed to be occupying the Premises from month to month upon the same terms, covenants and conditions as are set forth in this Lease insofar as they are applicable to a monthly tenancy. ARTICLE IV RENT Rent 21. The Club shall pay to the City as rent for the entire the Term in lawful money of Canada the sum of One (1) Dollar ($1.00). Gross Lease 22. The City acknowledges that this is a gross lease and agrees to pay all charges, impositions and outlays of every nature and kind relating to the Premises except as expressly set out in this Lease. ARTICLE V MAINTENANCE, REPAIRS AND ALTERATIONS Maintenance of Premises 23. The Club shall maintain and operate the Premises so that they shall always be of good appearance and suitable for the proper operation of the Premises. 24. The Club shall provide general maintenance services to the Premises at its expense and shall provide all necessary cleaning and maintenance supplies such as cleaning products, related paper products and cleaning equipment. 25. The Club shall be responsible for all day-to-day operating expenses including all utilities and garbage removal. 26. The City shall provide snow removal services for the parking lot. The Club shall be responsible for snow removal on all sidewalks, walkways and all other areas of pedestrian passage on the Premises. 27. (1) Subject to subsection (2), the City shall be responsible for all inspections and preventative maintenance with respect to the heating equipment, transformer, parking lot, lights and exterior grass cutting and landscaping. " I 5 "~O" l:iEPODJ #- r',E. S C(;,.- C/7 ", . ....L._.. I '" r\ _':..,(". 2 0 6 . pC::t:)"Z 5 c'-c;\ g' (2) The Club shall be responsible for any damages or costs incurred due to the misuse or negligence of the Club, its employees, invitees, servants, agents, or others under its control and the Club shall pay to the City on demand the expense of any repairs including the City's reasonable administration charge necessitated by such negligence or misuse. 28. The City shall repair existing leaks in plumbing in basement and provide a new roof if deemed necessary by the Director, Operations & Emergency Services, which determination shall be final. 29. The Club shall immediately notify the City of any unsafe conditions on the Premises. Security 30. The Club shall be responsible for the security of the Premises. The Club will ensure that no copies of the keys to the Premises are made without the prior written consent of the City. Alterationsllmprovements to Premises 31. The Club shall only be permitted to make alterations and improvements to the Premises that have been approved by the City. ARTICLE VI INSURANCE AND INDEMNITY Club's Insurance 32. The Club, at its sole cost and expense, shall take out and maintain, (a) insurance upon property owned by it which is located on the Premises; and (b) commercial general liability insurance pertaining to the Club's liability to others in respect of injury, death or damage to property occurring upon, in or about the Premises, such insurance to be of an amount which is reasonable and sufficient having regard to the scope of the risk and the current practice of prudent owners of similar premises for the carrying on of similar businesses, but in any event in an amount not less than five million dollars ($5,000,000.00) for claims arising out of one occurrence. Such policy shall also name the City as an additional named insured and may not be cancelled unless prior notice by registered letter has been given to the City by the insurer 30 days in advance of the expiry date. 33. Prior to the Commencement Date, the Club shall file with the City a Certificate of Insurance in a form satisfactory to the City Treasurer, verifying that the commercial \' 6 0" -- / ",' " ".0" RE-t:!OLl'T'#"E;~ C',<;:" (,,/ !:,!iAC!-jf'il:I\l1 if.__..._.. I' r 1'- _"''''''' '-" r p ctje (, ck- fj general liability insurance policy is in effect and setting out the essential terms and conditions of the insurance. 207 34. The provision of the insurance policy required by this section shall not relieve the Club from liability for claims not covered by the policy or which exceed its limits, if any, for which the Club may be held responsible. Insurance Risks 35. The Club shall not do, omit to do, or permit to be done or omitted to be done upon the Premises anything that may contravene or be prohibited by any of the City's insurance policies in force from time to time covering or relevant to any part of the Premises or which would prevent the City from procuring its policies with companies acceptable to the City. If the conduct of business in the Premises or any acts or omissions of the Club on the Premises causes or results in any increase in premiums for any of the City's insurance policies, the Club shall pay such increase to the City. Indemnification 36. Each of the City and the Club shall indemnify and save harmless the other from and against any and all actions, losses, damages, claims, costs and expenses (including solicitors' fees on a solicitor and client basis) to which the party being indemnified shall or may become liable by reason of any breach, violation or non-performance by the party so indemnifying of any covenant, term or provision of this Lease or by reason of any damage, injury or death occasioned to or suffered by any person or persons including the City or the Club, as the case may be, or any property by reason of any wrongful act, neglect or default on the part of the party so indemnifying or any of those persons for whom it is in law responsible. For greater certainty, the limitation of liability set out above in this section does not extend to claims, losses or damages resulting in whole or in part from the gross negligence or wilful misconduct of the party claiming indemnification, its employees or those for whom it is in law responsible. ARTICLE VII REMEDIES ON DEFAULT City's Right to Re-Enter 37. If any amount payable to the City under this Lease shall remain unpaid for fifteen (15) days after the Club has received notice thereof, then it shall be lawful for the City at any time thereafter to re-enter the Premises. 208 7 { ~:t CES f. ",="."""" f C:~~j € -, (;,E '8 o~~ .-. c> '7 City's Right to Remedy Default 38. In addition to all other remedies the City may have under this Lease and in law, if the Club is in default of any of its obligations under this Lease, and such default has continued for a period of ten (10) days after receipt of notice by the Club (or such longer period as may be reasonably required in the circumstances to cure such default, except in an emergency where the City will not be required to give notice), the City, without prejudice to any other rights which it may have with respect to such default, may remedy such default and the Club shall be responsible for all such costs. Waiver 39. No condoning, excusing or overlooking by the City of any default, breach or non-observance by the Club at any time or times in respect of any covenant, obligation or agreement under this Lease shall operate as a waiver of the City's rights hereunder in respect of any continuing or subsequent default, breach or non-observance, or so as to defeat or affect in any way the rights of the City in respect of any such continuing or subsequent default or breach, and no waiver shall be inferred from or implied by anything done or omitted by the Club save only an express waiver in writing. ARTICLE VIII MISCELLANEOUS Quiet Enjoyment 40. The City shall permit the Club to peaceably possess and enjoy the Premises during the Term without any interference from the City, or any person lawfully claiming by, from or under the City provided the Club is not in default. Right of Entry 41. The Club agrees to permit the City and authorized representatives of the City to enter the Premises during normal business hours for the purpose of inspecting the Premises. The City shall use its best efforts to minimize the disruption to the Club's use of the Premises during any such entry. Signs 42. The Club may only erect signs on the Premises with the City's prior approval. All such signs shall be removed from the Premises at the end of the Term. 8 ACJ'WiE!\lT n__.1.__ ~i; 6ES O~-- 6-7 60-0 B 209 f~~ Compliance with Laws 43. The Club, at its sole cost and expense, shall comply with all legal requirements (including statutes, laws, by-laws, regulations, ordinances, orders, rules and regulations of every governmental authority having jurisdiction) that relate to the use of the Premises by the Club or the making of any improvements to the Premises by the Club. Notice 44. Any notice required to be given by the City to the Club under this Lease shall be in writing and shall be delivered to the Premises or such other address of which the Club has notified the City in writing, and any such notice delivered shall be deemed good and sufficient notice under the terms of this Lease. 45. Any notice required to be given by the Club to the City under this Lease shall be in writing and shall be delivered to The Corporation of the City of Pickering, Pickering Civic Complex, One The Esplanade, Pickering, Ontario (Attention: City Clerk) or such other address of which the City has notified the Club in writing, and any such notice delivered shall be deemed good and sufficient notice under the terms of this Lease. Successors and Assigns 46. This Lease shall enure to the benefit of and be binding upon the parties and their respective successors (including any successor by reason of amalgamation or statutory arrangement) and permitted assigns. IN WITNESS WHEREOF the parties have executed this Lease. THE CORPORATION OF THE CITY OF PICKERING PER: David Ryan, Mayor PER: Debi A. Bentley, Clerk THE CANADIAN PROGRESS CLUB - DURHAM SOUTH PER: PER: 2 \~] '\j (~ ~ - - - I I--- _ ~ - ~ - ~3:- !:::!~ ~I-- <C ___ ( a:::~ LL..I-- ....... - ::$ a::: ,_ ___ ~t/)~O ~ ~ BROWNING ~ ~~ l~~- o..WI-- o::F ~ :;;<:1 :<C ~ \~T II ~ ." ""T] ~ ~1 ~REa~ -l WATERP NT STR ET (j) " ( ~ d T CITY / PROPERTY J (670 FRONT ST.) SUBJECT LEASED BUILDING FRENCHMAN'S BAY ~ - =:L/ J ;- -- -- ---.:-1' J. ~; fI OPERATIONS & EMERGENCY SERVICES DEPARTMENT MUNICIPAL PROPERlY & ENGINEERING DIVISION SCALE: DATE: NTS DECEMBER 14/06 #"...<:2E-S C;1(;,--o-1 OLD ORCHARD AVENUE (j) ::s G ::::) o o /~ f ~~NIICA COOK ~ I L4.... 51 Mtl1 ffi LUNA /1 I ~ I ~ AVE. "'. 1l\t::J ILONA PARK ~ ~ ~,,\ '-). \ COMMERCE l=8 ~~ g: I-- U1 - - - RpAD I I-- -~ ~Z::: n STREET ~ ~ ~ ~~-~ ~H ~ ANNLAND /' ..-,- U .........- .L--- I--- R WHARF "\\ I I = ~T ~~ I'~\IIID~ \' \IIT I~ I--- I-- L.-- C - o <C_ ~- SF r--- I--- I--- '- - - - I--- I--- '--- B ~ ;=: f:=: I-- l- f:=: I I-- I--- f-- LEASE AGREEMENT THE CANADIAN PROGRESS CLUB - DURHAM SOUTH L: \MPan<C\ ThtlfTUltic Mapping \MoP8 \!.lP4ei: - Admin \Report