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79-0117_CAPISTRANO UNIFIED SCHOOL DISTRICT_K1a_Agenda Report AGENDA ITEM January 17 , 1979 TO : Honorable Mayor and City Council. FROM: James S. Mocalis , City Manager SUBJECT: Proposed Lease for County Library Site - - C .U. S. D. SITUATION: The City and the Capistrano Unified School District have come to terms in negotiating an appropriate site for the branch Library in the City. The site , consisting of approximately 50 , 000 square feet at the northwest corner of Acjachema and El Camino Real , is considered to be the most acceptable and appropriate site to both City and County (reference Attachment A) . The City has received correspondence from the County indicating that the construction of the library is not contemplated to begin. in 1979 ; however, it would be expedient at this time for Council to review the proposed lease agreement prior to its submittal to the C. U. S.D. and the County for their review. The terms of the lease call for a 50-year lease commencing on the date when construction of the library on the site actually begins . In return for the use of the site , the City will contribute to the C. U. S. D. for the actual cost of construction of the six tennis courts at Capistrano Valley High School , not to exceed a total cost to the City of $135 , 000. In addition, the City agrees to maintain the existing C.U. S. D. tennis courts at the corner of Acjachema and Camino Capistrano as long as unrestricted use of the courts is made available to the public during non-school hours . This is just a preliminary review of the lease by the City Council , and the lease will be brought back to the Council for final approval at a later date . The City Attorney has approved the lease as to form. FINANCIAL CONSIDERATIONS : The lease calls for an expenditure of an amount not to exceed $135 , 000 for the construction of the tennis courts at the Capistrano Valley High School . In addition, it is estimated that the mainte- nance costs of the existing tennis courts in the City will amount to approximately $3 , 000 per year. FUR TY COUNCIL AGENDA a 011�� Agenda Item -- Lease For Library - 2- January 17 , 1979 ALTERNATE ACTIONS: 1 . Approve the terns of the Lease , and direct staff to forward copies to the Capistrano Unified School District and the County for their review. 2 . Amend the lease . 3. Request further information from staff. RECOMMENDATION: By motion, approve the terms of the lease, and direct staff to forward copies to the Capistrano Unified School District and the County for their review. Respectfully submitted, Tames S . Mocalis J-SM: ch Attachment F I R S T D R A F T GROUND LEASE THIS GROUND LEASE, made and entered into this day of , 19 , by and between the Capistrano Unified School District, hereinafter called "Landlord" , and the City of San Juan Capistrano, hereinafter called "Tenant" . W I T N E S S E T H Landlord does hereby lease to Tenant, and Tenant does hereby hire and take from Landlord that certain real property located in the County of Orange, State of California, more particularly described in Exhibit "A" attached hereto and by this reference incorporated herein (the "Premises" herein) . 1. Term. The term of this lease shall be for a period of fifty (50) years commencing on the date upon which construction of the public library upon the premises is commenced. Should the commencement date occur on a day other than the first day of a calendar month, the lease term shall continue for a period of fifty (50) years from the first day of the next full calendar month following the commencement date. 2. Landlord' s Title. Landlord covenants that Tenant' s leasehold estate in the Premises is subject only to covenants, conditions, restrictions, easements, rights-of-way and other matters disclosed on Title Insurance and Trust Company' s Preliminary Title Report No. dated as of , 19 3. Use of Premises. The Premises shall be used for public library and related purposes. 4 . Rent. As and for rental, Tenant shall contribute a sum not to exceed $135, 000. 00 for the construction of six (6) public tennis courts by Landlord at Capistrano Valley High School. Such rental obligation shall become due upon the commencement of construction of library facilities upon the Premises by the County of Orange. Tenant shall, as additional rental , maintain the existing tennis courts at the old Capistrano Union High School site in San Juan Capistrano as long as such facilities shall be available, during non-school hours, for use of the general public without charge. Page 2 Ground Lease S. Construction of Improvements. It is contemplated by the parties that Tenant shall , through the County of Orange, constuct public library facilities upon the Premises. All improvements constructed upon the Premises by or on behalf of Tenant shall be and remain the exclusive property of Tenant or its successors or assigns, during the term of this lease. Upon the expiration of this lease or earlier termination thereof, all such improvements, buildings and structures shall become the property of Landlord without further compensation to Tenant or to those holding under Tenant, and Tenant or those holding under or through Tenant shall have no rights with respect thereto. Such improvements shall be free, clear and unencumbered, and Tenant shall defend and indemnify Landlord against any claims therefrom. This paragraph is not intended to include fixtures or equipment which belong to Tenant. Tenant shall have the right to demolish and remove any and all improvements, trees and plants upon the Premises at the commencement of the term of this lease. Tenant shall bear all expenses in connection with the improvement of the Premises and shall save Landlord harmless therefrom. &. Charges. Tenant agrees to pay or cause to be paid, before delinquency, any and all public charges levied, assessed or imposed or which may become payable during the term hereof upon the Premises and any improvements thereon and upon all furnishings, appliances, equipment and all other personal property installed or located on the Premises. 7 . Assignment and Subletting. This lease may be assigned to any government entity or agency, subject however, to the following provisions: (a) The aforesaid right of assignment shall be specifically conditioned upon the assignor notifying Landlord of the assignment and furnishing Landlord with a copy of said assignment; (b) Such assignment shall provide that the assignee takes assignment subject to the provisions of this lease. 8 . Holding Over. If Tenant shall hold over the Premises after the expiration of the term hereof, with the consent of Landlord, either express or implied, such holding over shall be construed to be only a tenancy from month to month, subject to all the covenants, conditions and obligations hereof. Page 3 Ground Lease 9. Successors and Assigns. This lease shall be binding upon and inure to the benefit of the successors and assigns of the parties hereto. In witness whereof this lease was executed in duplicate as of the date first above written. E i t 34' /70, PRO100S'E"D L ISRl RY 5/7-E V 50, 000 5Q. FT. O v � I j a ! EXHIBIT "A" RECORDED AT THE REQUEST OF 84-216359. RF-COR ING FEES EXEMPT DUE TO AND RETURN TO: C �7RNMEINT CODE SECTION 6103 City of San Juan Capistrano ° City Clerk' s Department - .. 32400 Paseo Ade1agto , Diary AI' Hanover, City Clerk San Juan C psticano, CA 92075 City of San Juan Capistrano, CA AMENDMENT TO GROUND LEASE GROUND LEASE, made and entered into on the 5th clay of November, 1979, 'yIan&` etween the Capistrano Unified School District, hereinafter called ",D �triet� r' and the City of San Juan Capistrano, hereinafter called "City," is hereby amended to read as follows: "Section 4. Rent. As and for rental, City shall contribute a sum not to exceed $1350000 for the construction of pudic tennis courts by District at Capistrano Valley High School. Such _funds shall. be made; available to the District on a reimbursement basis upon and during construction of the tennis courts at Capistrano Valley High School, at such�ti.me said construction shall cEimmence. City s ill, a.s additional rental, maintain and operate the existing tennis courts at the old Capistrano Union High School site in San Juan Capistrano as long as such facilities shall be available, during non-school hours, for use of the general public without charge." IN WITNESS WHEREOF, this Amendment to the Ground Lease was approved by City on November 28, 1979, and by District on the 7th day of April, 1980. 117 1-1 KENNETH. FRTESS, MAYOR CITY..-OF SAN JUAN CAPISTI. NO R"ERT hr. BACHELOR, SR. , PRESIDENT xAPISTRANO UNITTED SCHOOL DISTRICT BOARD OF 'TRUS'T'EES EXHIBIT B (Page 2 of 2) 197 GENERAL ACKNOWLEDGMENT84-216359 No.201 y State of ,��. °( � �z�� _. ` On this#he.)_Zq�ay of � Cie.-� _. _....19m`V-, before me, , SS. County r sem! of the undersigned Notary Public, personally appeared personally known to me ���"�! � � C proved to me on the basis of satisfactory evidence 8 r to be the person(s)whose names) --s to the A within instrument,and acknowledged that Aexecuted it. ORANGE COU, WIT 5 y hand and official seal. kh.^ L,.!;'V°^"'s. -✓'v`vw`'�wn�i:h.���q"�.a.t�:�.t � ..tee'' otary's Signature 7110122 NATinn€ai A€nTan, CORPORATE ACKNOWLEDGMENT NO.202 State of _C-a-li Eornia _ On this the 22ndday of May 19 84 ,before me, SS. County of Orange —YY Mary A. Carlson the undersigned Notary Public, personally appeared 71rt'.51,il: I sennet h E. Fries'� Mi�Y?t♦,'�I!!*?Y I-, C�f�nuSf�NY�A���Akyy�� kir TIOTAfZY fF€h,; b!'cL�fORNRA . , N personally known to me A i zs ❑ proved to me on the basis of satisfactory evidence to be the person(s)who executed the within instrument as Mayor or on behalf of th municl-pa muni as rporatldn herein s OF lC T "T;, ";E t, named,and acknowledged to me that the/corporation executed it. f AAPY A �.A!'1,`)C � WITNESS my hand and official seal. f.„^Sxtry Y Fh €..oaSS NOTARY PV;I#" _. 4 AUd"OANJA crfr,rr� �xlr�� N tl 1 e .� ��' Notary's ign re 7120 122 NATIONAL NOTARY ASSOcfATION•23012 Ventura Blvd.•P.O.Box 4825 o Woodland Hills,GA 91384 RECORDED IN OFFICIAL R CFRO OF ORANSE COUNTY CALIFORNIA -2 !N PM MAY 2 4'84 C—C5g; Y GOUNTY R�C43�F3EFi