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1981-1119_HUSBY, KNUT_Ground Lease AgreementGROUND LEASE AGREEMENT THIS GROUND LEASE, made and entered into this 19th day of November 1981 , by and between KNUT HUSBY hereinafter called "OWNER," and the CITY OF SAN JUAN CAPISTRANO, ereinafter called "CITY." WITNESSETH: WHEREAS, OWNER owns certain real property located in the City of San Juan Capistrano, County of Orange, State of California, more particularly described in Exhibit "A" attached hereto and by this reference made a part hereof; and WHEREAS, City desires to use a portion of the aforesaid property for a multimodal transportation terminal. NOW, THEREFORE, in consideration of the foregoing facts and the terms and conditions hereinafter contained, OWNER hereby leases to CITY that unimproved real property, hereinafter called "Premises" and described in Exhibit "A." 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 multimodal terminal 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 (SO) years from the first day of the next full calendar month following the commencement date. 2. WARRANTY OF TITLE. OWNER covenants that he is vested with good and sufficient tee title in and to the premises, and that there are no restrictions, encumbrances or limitations of whatsoever kind or nature other than those shown in the title documents which would prevent CITY from using the premises as a multimodal transporta- tion terminal and related uses. 3. USE OF PREMISES. The premises shall be used as a parking area in conjunction with a multimodal transportation terminal and such uses as are reasonably related thereto. 4. RENT. City shall pay OWNER the total sum of $31,578.51 Ground Lease Agreement Page 2 5. IMPROVEMENTS. All improvements constructed upon the premises by orlon ee alf of "CITY" shall be and remain the exclusive property of "CITY" or its successors or assigns, during the term of this lease. "CITY" shall bear all expenses in connec- tion with the improvement of the premises and shall save "OWNER" harmless therefrom. 6. CHARGES. "OWNER" agrees to pay or cause to be paid, before delinquency, any and all public charges levied, that would accrue if the property had not been used as a multimodal transporta- tion center, assessed or imposed or which may become payable during the term hereof upon the premises and any improvements thereon installed or located on the premises by "OWNER." Any charges that would be imposed upon the property solely because of its use as a multimodual transportation center over and above the aforementioned charges shall be paid by the CITY. 7. ASSIGNMENT AND SUBLETTING. "CITY" will not assign or sublet the premises without the prior written consent of the State and "OWNER." Upon any assignment or subletting of this ground lease, "City" shall not be relieved of any liability or obligation hereunder. 8. OPTION TO RENEW. So long as CITY is not in default in the performance of any terms or condition of this lease on its part to be performed, it shall have an option to renew this lease for an additional period of 50 years or such lesser time as may be mutually agreed upon between the parties hereto, their respec- tive heirs, successors or assigns. The rental shall be negotiated and mutually agreed upon at the time of extension; the remaining terms and conditions shall, however, continue in full force and effect. If neither party notifies the other before the end of the inital term, the term shall be deemed to have been automatically extended for an additional 50 year period. 9. SUCCESSORS AND ASSIGNS. This lease shall be binding upon and inure to the benefit of the successors and assigns of the parties hereto. 10. DEFAULT. "CITY" shall be deemed in default under the terms of this lease if "CITY" shall fail to perform or observe any covenant, condition, or agreement to be performed by "CITY" under this lease, and such failure shall continue for a period of sixty (60) days after written notice from "OWNER" to "CITY" specifying the nature of the default. In the event of a default by "CITY," "OWNER" may, without taking possession of the premises, require strict performances of all covenants and obligations herein as the same shall accrue and have the right of action therefor. Ground Lease Agreement Page 3 41 IN WITNESS WHEREOF this Lease was executed in duplicate as of the date first above written. CITY OF SAN JUAN CAPISTRANO G'„ s By GARY L. HAUSDORFER, MAYOR ATTEST: MARY ANN HANOVER, CITY CLERK APPROVED AS TO FORM: AMES S. OKAZAKI, CITY ATTORNEY By KNUT HUSBY • o SHEET / oz Zd _ K Q � V p a v 15Y.3114 J• M p 12f "TRACT SO \ •�' R. Z55 6g 9 6KOrf'� �.� X4,30 .� 1609 �l �1���, ,APlu-/41-26 �O �� 5 �of"abl ►��! '' /O T � SSO 8� a Al a •�.�, � `"�,+�Ql�� :1 � � T� � 68054 �— \g�. ,p' !\n 4: SSS• �DF�ar �`2'" gO SL- 4J 3 i W J' q p j i2P %9f-0d 39 /04/3/255 S,07-,g FOR • 77RACT 154 EASEMENTS 40 `w ,lZ O /_44 7 GR055, h O i' esm*r :Z3ACRE IW ago" Z � g1.00'. 230` rrt 5 AR6U�LL0 WAY .... '364-02W /87S `n F Zl-p i��i �I�. '� µ♦i4 '� I .2F ACRE !�n1'1. o i gT 1'' cOrj�1 AP !zl• I41-1/ 1 VOTE: I Lor 4 TRACT 134 N i F TRACT MAP 134 ' TRACT MAP 50•157 3/6 92 • �o' SCALED Dinr-,4 E " :50o'? � , _ I50. �'�. — s02'W �__._ ...... 5------7 VE R DUB � ST. 5. APPROVAL OF AMENDMENT TO GROUND LEASE - MULTI-MODAL TRANSPORTATION TERMINAL ✓(38) Written Communications: (88) 1) Report dated February 3, 1981, from the Administrative Assistant to the City Manager forwarding an amendment to the Ground Lease Multi-Modal Transportation Terminal Agreement. Knut Husby and Sue DiMaio, joint owners of land which will become part of the multi- modal terminal, have requested an amendment to the ground lease agreement previously approved by Council. The amendment covers parking requirements, the construction of their building, and a rental arrangement should the building not be constructed. (Z) Memorandum dated February 17, 1981, from the City Clerk advising that Mrs. DiMaio had requested that the matter be deferred for 30 days to allow further review. Conditional Approval of Amendment: It was moved by Councilman Buchheim, seconded by Councilman Friess and unanimously carried to approve the proposed Amendment as submitted; staff was authorized to make minor adjustments to the Amendment with the approval of the City Attorney and the applicants; any proposed major adjustments to the Amendment are to be returned for Council review. • MULTI -MODAL TRANSPORTATION TERMINAL u(38) Councilman Auchheim commended the Director of Community (88) Planning and Development for the content of the January 26, 1981, letter addressed to Knut Husby regarding the proposed multi -modal parking lease and development approval for the adjacent project. AGENDA ITEM TO: FROM: SUBJECT: SITUATION: 0 James S. Mocalis, City Manager 40 February 3, 1981 Pamela Hallan, Administrative Assistant Amendment to Ground Lease, Multi -Modal Transportation Terminal (Husby/DiMaio) Knut Husby and Sue DiMaio, joint owners of land which will become part of the multi -modal terminal, have requested an amendment to the ground lease agreement previously approved by Council. The amendment covers parking requirements, the construction of their building, and a rental arrangement should their building not be constructed. If Council agrees with the amendment, it will be presented to Mr. Husby and Mrs. DiMaio for their approval and brought back to Council for execution. FINANCIAL CONSIDERATIONS: It is essential that the original lease agreements be signed as soon as possible. Funds cannot be drawn from the State without the signed lease. The owners are reluctant to sign without the amendment. One difficulty with the amendment is that it ties the City to certain contingencies. While these eventualities may never occur, they do commit the City to future financial obligations. ALTERNATE ACTIONS: 1. Approve the proposed amendment as submitted. 2. Approve the proposed amendment with changes. 3. Request further information. RECOMMENDATION: By motion, approve the proposed amendment as submitted. Respectfully submitted, Pamela Hallan PMH:ch Attachment FOR CITY COUNCIL AGENDA •. J�