1988-1130_KINOSHITA PROPERTIES_Agreement0 0
AGREEMENT FOR THE LEASE OF THE HISTORIC
JOEL CONGDON HOUSE
This Agreement, made and entered into this cj Ute= day
of November, 1988, by and between Kinoshita Properties,
hereinafter referred to as "LESSOR" and the City of San Juan
Capistrano, hereinafter referred to as "LESSEE".
WITNESSETH:
WHEREAS, LESSEE is a municipal corporation, whose
General Plan encourages the preservation and enhancement of
historic buildings in the community, and
WHEREAS, LESSEE has, by resolution, designated the Joel
Congdon House as an important historic structure, and
WHEREAS, LESSEE wishes to oversee the restoration of
this building and make it available for public viewing, and
WHEREAS, LESSOR is the owner of the Joel Congdon House
and wishes to facilitate its preservation,
NOW, THEREFORE, LESSOR hereby leases to LESSEE, and
LESSEE leases from LESSOR, that portion of LESSOR's property
known as the Joel Congdon House, located at 32701 Alipaz St., San
Juan Capistrano, California, under the terms and conditions
hereinafter set forth:
1. TERM
The term of this lease shall be for five (5) years,
commencing the first day of December, 1988, and renewable on a
year to year basis thereafter.
2. RENTAL
In consideration of the foregoing, the LESSEE agrees to
pay the LESSOR the sum of One Dollar ($1.00) per annum.
3. USE OF PREMISES
The premises herein leased shall be used exclusively
for tours and other interpretive endeavors approved by LESSOR
which promote the history of San Juan Capistrano in general, and
the history of agriculture in the Capistrano Valley in
particular, and to educate the public on techniques used in
preserving wooden structures.
4. RESERVATION TO LESSOR
LESSOR reserves the right to use a portion of the
building for an office and another portion for storage; such use
shall, however, not be exercised in any manner which will
unreasonably interfere with LESSEE'S use and occupancy and
rehabilitation of the demised premises.
5. CONDITION OF DEMISED PREMISES
LESSEE agrees to accept the Demised Premises in an "as
is" condition and acknowledges the deteriorated condition of the
structure.
6. MAINTENANCE
LESSEE agrees to apply for an appropriate grant to
stabilize and rehabilitate the Joel Congdon House. Thereafter,
LESSOR agrees to maintain the structure in a safe and sanitary
condition. Major modifications to the facilities or premises must
be approved by LESSOR, prior to any such modifications.
7. INSURANCE/INDEMNIFICATION
LESSEE shall maintain fire insurance and liability
insurance covering any occurrence arising out of LESSEE's use of
the property pursuant to the terms of this lease agreement. Lesee
shall add the Joel Congdon House to the list of public buildings
which are insured in accordance with the requirements of the
City's Joint Powers Insurance Authority. In addition, Lessee
shall indemnify and hold harmless Kinoshita Properties from any
and all damage and liability of every nature which may arise as a
result and consequence of Lessee's use of the premises, and
Lessee shall list Kinoshita Properties as an additional named
insured with respect to this indemnification.
LESSOR agrees to maintain fire and liability insurance
with respect to any occurrence which may arise out of LESSOR's
use of the property pursuant to the terms of the Lease.
LESSEE'S insurance and indemnity obligtions under this
paragraph shall not become effective until restoration
construction has begun.
8. CONDITIONS OF OPERATION
a. The hours of operation for public purposes, once the
building is safe for public occupancy, shall be the first and
third Sundays of the month, during daylight hours. Other uses and
hours shall be approved by the LESSOR. If construction activities
occur, the hours of operation shall be in accordance with City
regulations during the construction period.
b. LESSEE shall, at all times, keep LESSOR advised of
the name, address, and telephone number of the person responsible
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for the operation of the aforesaid facilities and premises.
c. LESSEE shall at all times take and maintain the
utmost caution and care in every respect of its operation and
shall observe and maintain the highest standard of safety.
d. LESSEE shall at all times take care not to interfere
with the normal farming operations which take place on the site,
even during the construction period.
9. TERMINATION
Notwithstanding the provisions of paragraph 1 herein,
this lease may be terminated at the option of LESSOR if:
a. LESSEE ceases to use Demised Premises for the
purposes set forth in paragraph 3.
b. LESSEE fails to obtain a grant for stabilization and
rehabilitation by June 30, 1989.
Should LESSOR elect to terminate this lease for any of
the foregoing reasons, it shall give LESSEE notice in writing of
such intent not later than 90 days prior to the effective date
thereof.
Should LESSEE elect to terminate this lease for the
foregoing reasons, it shall give LESSOR notice in writing of such
intent not later than 90 days prior to the effective date
thereof.
In either case LESSEE shall commence to terminate its
operations within such time as to enable it to vacate the
premises within the designated time. LESSEE shall, in addition,
remove all of its equipment and materials, clean the premises,
and leave it in a condition substantially similar to that
prevailing at the time of the commencement of this lease, with
the exception of normal wear and tear, acts of God, and events
beyond control of LESSEE.
10. NOTICES
All notices pursuant to this lease shall be addressed
as set forth below or as either party may hereafter designate by
written notice and shall be sent through the United States Mail.
TO: LESSOR
Kinoshita Properties
32701 Alipaz St.
San Juan Capistrano, Ca. 92675
TO: LESSEE
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, Ca. 92675
IN WITNESS WHEREOF, the parties hereto have executed
this Agreement on the date first above written.
LESSEE:
City o n us C istrano
Date November 30, 1988
By
S even B. Jul' n, City Manager
LESSOR:
Kinoshita,Properties
Date November 30, 1988
$�
hi r no hita
Date November 30, 1988 B
B b Y. Kinoshita
ATTEST:
Mar Hanover, City Clerk
,y
M
E
OCTOBER 30, 1990
SPECIAL MEETING OF THE CITY COUNCIL
OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA
The Special Meeting of the City Council of the City of San Juan Capistrano, California,
held jointly with the Community Redevelopment Agency, was called to order by Mayor
Hausdorfer at 8:02 a.m., in the City Council Chamber, to consider the proposed
acquisition of the Kinoshita property.
ROLL CALL PRESENT: Gary L. Hausdorfer, Mayor
Anthony L. Bland, Mayor pro tem
Lawrence F. Buchheim, Councilman
Kenneth E. Friess, Councilman
Phillip R. Schwartze, Councilman
ABSENT: None
STAFF PRESENT: Stephen B. Julian, City Manager; John R. Shaw, City Attorney;
George Scarborough, Assistant City Manager; Cheryl Johnson, City Clerk; David Bentz,
Director of Administrative Services; Thomas L. Baker, Interim Director of Community
Services.
CLOSED SESSION
Council recessed to a Closed Session at 8:04 a.m., for discussion of personnel matters and
acquisition of the Kinoshita Property, the City Clerk being excused therefrom, and
reconvened at 8:35 a.m.
COUNCIL ACTIONS
Written Communication:
Report dated October 30, 1990, from the City Manager, noting that since the
passage of Measure D, the $21,000,000 bond measure for the purchase of open space
and agricultural lands, the City and Community Redevelopment Agency had begun
negotiations with the Kinoshita family to purchase their farm located at the
northwest corner of Alipaz Street and Camino del Avion. The report advised that a
Letter of Intent had been developed to acquire the entire 56.45 -acre property at a
purchase price of $9,500,000. A 20 -year, interest only, tax exempt Promissory Note
will be issued in the principal amount of $9,500,000, with the principal due at the
end of the term. The report recommended that the Mayor, and Community
Redevelopment Agency Chairman and Director be authorized to execute the Letter
of Intent to acquire the property subject to a definitive purchase agreement and to
direct the Executive Director of the Agency to open escrow. As part of the escrow
process, an Agricultural Management Agreement will be developed with the
Kinoshita family to provide the City with ongoing farming operations.
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10/30/90
Mayor Hausdorfer noted the City's long-time commitment to preserving agriculture
and the work to address the economic concerns of the City's farmers. He advised
that up to $6,000,000 will be used from the Bond proceeds, with the remaining
amount to be financed through the California Coastal Conservancy, the Agricultural
Preservation Fund, the Park and Recreation funds and financing from the
Community Redevelopment Agency. He advised that the Agency will purchase the
property and transfer approximately 45 acres to the City; the remaining 10 acres
will be reserved for future relocation of the Adult Education Program facility. He
further noted that the anticipated close of escrow is the end of January 1991.
Approval/Execution of Letter of Intent:
It was moved by Mayor Hausdorfer, seconded by Councilman Schwartze and
unanimously carried to approve the Letter of Intent to acquire the 56.45 -acre
Kinoshita property and to authorize the Mayor to execute the document on behalf of
the City subject to the definitive purchase agreement; and, to approve direction that
the Executive Director of the Agency open escrow on the property.
ADJOURNMENT
There being no further business before the Council, the meeting was adjourned at 8:42
a.m., to the next regular meeting date of Tuesday, November 6, 1990, at 7:00 p.m., in the
City Council Chamber.
ATTEST:
GARY L. HAUSDORFER, MAYOR
Respectfully submitted,
CHERYL JOHNSON, CITY CLERK
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10/30/90
Service, with the obligation on the primary provider to provide secondary
backup in cases of emergency rather than the City establishing a secon-
dary emergency provider contract.
Approval of Agreement:
It was moved by Councilman Buchheim and seconded by Councilman Friess
that the Award of Contract for Ambulance Service Provider be awarded to
Medix Ambulance Service, Inc. for the period January 1, 1989, to December
31, 1992.
The motion carried by the following vote:
AYES: Councilmen Schwartze, Friess,
Buchheim, and Mayor Hausdorfer
NOES: None
ABSENT: Councilman Bland
3• RATIFICATION OF LEASE AGREEMENT - JOEL CONGDON HOUSE (KINOSHITA) (600.30) <-
Written Communications:
Report dated December 6, 1988, from the Senior Management Assistant,
regarding the City's application for a five-year lease and grant funds in
the amount of $310,500 to the California Department of Parks and Recrea-
tion to stabilize and restore the Joel Congdon House, built in 1887 and
the oldest wooden house in the City.
Ratification of Lease Agreement:
It was moved by Council Buchheim and seconded by Councilman Schwartze
that the Agreement for the Lease of the Historic Joel Congdon House with
the Kinoshita family be ratified for the term of five years at a cost of
$1.00 per year.
The motion carried by the following vote:
AYES: Councilmen Schwartze, Friess,
Buchheim, and Mayor Hausdorfer
NOES: None
ABSENT: Councilman Bland
DIRECTOR OF COMMUNITY PLANNING AND DEVELOPMENT
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12/6/88
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12/6/88
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AGENDA ITEM
U
December 6, 1988
TO: Stephen B. Julian, City Manager
FROM: Jennifer M. Williams, Senior Management Assistant
SUBJECT: Ratification of Lease Agreement - Joel Congdon House
SITUATION:
The City of San Juan Capistrano has submitted a grant application to the
California Department of Parks and Recreation to stabilize and restore the
Joel Congdon House. The Joel Congdon House is a historic property
located at 32701 Alipaz Street. The house was constructed in 1877 and is
the oldest wooden house in San Juan Capistrano.
The City has applied for grant funds in the amount of $310,500 to stabilize
and restore this structure. Though this structure is privately owned by
Kinoshita Properties, it is eligible for these grant monies provided the City
can gain site control of the house. The attached agreement for the lease of
the Joel Congdon House would give the City this necessary site control.
The attached lease provides the City control over the site for a five year
period in order to oversee the restoration of the structure and make it
available for public viewing. In general terms, the building would be
available for public viewing on the first and third Sundays of the month
during daylight hours. Kinoshita Properties would still maintain the right
to use a portion of the building during the hours which it is not used for
public education purposes.
The agreement for the lease of this property would only go into effect if
the City is successful in securing grant funding. The lessor has the option
of terminating the lease if grant funds cannot be obtained for stabilization
and rehabilitation by June 30, 1989.
Due to the need to submit the executed lease agreement with our grant
application by December 1, 1988, the City Manager has signed the attached
lease agreement. At this time, it is brought before the City Council for
ratification.
COMMISSION/BOARD REVIEW & RECOMMENDATIONS:
While the actual lease agreement has not been reviewed by the Cultural
Arts and Heritage Commission, this City appointed body is supportive of
the City's efforts to secure grant funding to stabilize and restore the
Joel Congdon House. To this end, they are aware that the City planned to
enter into agreement with Kinoshita Properties for the lease of this
property.
FOR CITY COUNCIL AG A
FINANCIAL CONSIDERATIONS:
The cost to lease the Joel Congdon House is $1.00 per year. Funds are
available within the City Manager's Office Specialized Service Account to
cover the cost of this lease agreement.
NOTIFICATION:
Mr. Shigeru Kinoshita and Mr. Bobby Kinoshita have been notified of this
proposed action.
ALTERNATE ACTIONS:
1. Move to approve the ratification of the attached agreement for the
lease of the Joel Congdon House.
2. Move to ratify the attached agreement for the lease of the
Joel Congdon House in a modified form.
3. Request more information from staff.
RECOMMENDATION:
Move to approve the ratification of the attached agreement for the lease
of the Joel Congdon House.
Respectfully submitted,
nifer . Williams
nior nagement Assistant
JMW:dh
Attachment
E
December 12, 1988
Kinoshita Properties
32701 Alipaz Street
San Juan Capistrano, Caifornia 92675
Attention Shigeru Kinoshita and Bobby Kinoshita
Re: Lease of Joel Congdon House
Gentlemen:
MEMBERS OF THE CITY COUNCIL
ANTHONY L. BLAND
LAWRENCE F. BUCHHEIM
KENNETH E. FRIESS
GARY L. HAUSDORFER
PHILLIP R. SCHWARTZE
CITY MANAGER
STEPHEN B JULIAN
At their regular meeting held December 6, 1988, the City Council of the City of
San Juan Capistrano took action to ratify the agreement with Kinoshita Properties
for the lease to the City of the Joel Congdon House, located at 32701 Alipaz
Street, for a five-year period beginning December 1, 1988, at $1.00 per year.
Thank you for your cooperation in this matter. If you have any questions, please
do not hesitate to call.
Very truly yours,
Mary Ann anover, CMC
City Clerk
MAHJcj
cc: Jennifer Williams
32400 PASEO ADELANTO. SAN JUAN CAPISTRANO, CALIFORNIA 92675 0 (714) 493.1171
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• CITY CLERK'S DEPARTMENT - ACTION REMINDER
TO: Jennifer Williams, Senior Management Assistant
FROM: City Clerk DATE: October 15, 1993
SITUATION:
At their meeting of November 30, 1988, the City Council entered into a Lease
Agreement with Kinoshita Properties regarding lease of the Joel Congdon House.
ACTION REQUESTED:
The term of the lease is for five (5) years commencing on the first day of December,
1988 and renewable on a year to year basis thereafter. The five year term is due to
expire on December 1, 1993. Please inform this office as to the status of this agreement
and if it will be an item for a City Council agenda.
ACTION TO BE TAKEN:
a DATE WHEN NEXT ACTION (S) SHOULD BE TAKEN:
SIGNATURE OF OFFICIAL TAKING ACTION:
DATE SIGNED:
***FOR CITY CLERK'S DEPARTMENT USE ONLY***
Tickler Date: 10/15/93
Deadline Date: 12/01/93
cc: City Attorney
Assistant City Manager
(600.20)
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