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HomeMy WebLinkAboutAUGUSTA PORTS AUTHORITY STATE OF GEORGIA ) COUNTY OF RICHMOND ) LEASE AGREEMENT THIS LEASE AGREEMENT, made and entered into, effective the f.Q day of j..tk.- , .~ tiO 7 by AUGUSTA PORTS AUTHORITY, hereinafter called "Lessor," and MOBILE MARINE SERVICE, INC., a corporation organized and existing under the laws of Georgia, hereinafter called "Lessee." WIT N E SSE T H: WHEREAS, Lessor is the owner of a building and real property more particularly described in Exhibit "A" attached hereto and incorporated herein by reference, which is located at One Levee Road in Augusta, Richmond County, Georgia; and WHEREAS, Lessor wishes to lease to Lessee, and Lessee desires to lease from Lessor, said building and property; NOW THEREFORE, the parties hereto, for and in consideration of the mutual promises herein contained, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, DO HEREBY AGREE, each for itself and its successors and assigns, as follows: 1. LEASED PREMISES. Lessor, duly authorized, does hereby lease unto Lessee, and the Lessee does hereby lease and obtain for the purposes herein set forth from the Lessor, for Lessee's exclusive use, except as herein provided in Paragraph 15, the area described in the attached Exhibit "A" (hereinafter called the "Leased Premises.") "Leased Premises" shall also include any changes, additions, alterations, modifications and/or improvements on or to the Leased Premises made in accordance with this Lease Agreement. Said property and improvements thereon being shown on a sketch attached hereto as Exhibit "A", which are commonly known as the "Old Georgia Ports Authority Building". 2. Term. Lessor hereby rents, leases and lets unto Lessee, and Lessee hereby rents and leases from Lessor, the Leased Premises, for the rental and upon and subject to the terms and conditions set forth herein, for an initial term of five (5) years, commencing December 1, 2006. Lessee shall have the first option to renew this lease for an additional five (5) year term, subject to the parties reaching agreement upon the rental for said renewal term. Said option shall expire on or before September 30, 2011. This Lease shall create a usufruct only and not an estate for years. 3. RENTAL. During the term of this Agreement, Lessee agrees to pay Lessor monthly rental of One Thousand Two Hundred Dollars ($1,200.00) beginning December 1, 2006, for the entire initial term hereof, payable in advance. The rental for any renewal term shall be negotiated by parties. 4. Utilities. Lessee shall pay all charges for electricity, gas, water, sewer service, sewer treatment, telephone and any other communication or utility service used in or rendered or supplied to the Leased Premises throughout the term of this Agreement and shall indemnify Lessor and hold it forever harmless against any and all liability or damages related thereto. Lessee acknowledges there are no bathrooms on the premises and shall solely be responsible for renting and maintaining port-a-Iet facilities. 5. Use of the Leased Premises. Lessee shall use the Leased Premises only for the purpose of a boat repair service and other services incident to the marine business. 6. Repairs and Maintenance. Lessee shall maintain the exterior surfaces ofthe Leased Premises, including any changes, additions, alterations, modifications and/or improvements made by Lessee as provided in Section 8 hereof, normal wear and tear excepted. The Lessee shall keep the Premises net, clean, free of trash and in good and well maintained condition with an attractive appearance. 7. Changes, Additions, Alterations, Modifications, Improvements. Lessor agrees to construct, or have constructed, a security fence in the back of the building, provided, however, such fence shall not be greater than 100 fee in length. Lessee shall not without prior written consent of Lessor, make any changes, additions, alterations, modifications and/or improvements, structural or otherwise, in or upon any part of the Leased Premises. The foregoing shall not apply to any exterior signs, notices, placement of machinery or equipment either attached or placed outside of the Leased Premises. Lessee agrees to submit any and all plans for any changes, additions, alterations, modifications and/or improvements to the Leased Premises to Lessor for approval before said alterations, changes or additions are begun. Lessor shall not unreasonably withhold its approval of said plans. 8. Title to Changes, Additions, Alterations, Modifications, Improvements. It IS mutually understood and agreed that title to any changes, additions, alterations, modifications and/or improvements, whether existing on the Leased Premises at the effective date of this Agreement or added to the Leased Premises during the term of this Agreement, and to all of the building and structures and all other improvements of a permanent character that may be built upon the Leased Premises by the Lessee during the term ofthe Agreement shall remain the property ofthe Lessor and that fee simple title to the same shall be vested in Lessor. 9. Inspection by Lessor. Lessor, its authorized agents or representatives shall have the right to enter upon the Leased premises to make inspections during regular business hours when a representative of the Lessee is present, or at any time in case of an emergency to determine whether Lessee had complied with and is complying with the terms and conditions of this Agreement; provided, however, that said inspection shall in no event unduly disrupt or interfere with the operation of Lessee. Any deficiencies noted during the inspection shall be corrected in thirty (30) days. 10. Taxes. Lessee shall pay any and all personal property taxes that may be assessed against its equipment, merchandise, or other property located on or about the Leased Premises and any franchise fees or other taxes which may be imposed or assessed against Lessee or its leasehold interest. 11. Rules and Regulations. Lessee agrees that use of the Leased Premises shall be conducted in compliance with all local, state and federal laws, the ordinances of Augusta, Georgia, and the rules and regulations of the Augusta-Richmond County Commission and the Augusta Ports Authority. Lessee further agrees to endeavor to conduct its business in such a manner as will develop and maintain the good will and active interest of the general public. Lessee specifically agrees that its operations shall be conducted in compliance with all federal, state and local environmental laws, rules and regulations, and agrees to indemnify and hold harmless Lessor (and each of Lessor's elected officials, officers, agents, employees and representatives), from and against any claims, actions, demands or liabilities of any kind arising out of or relating to Lessee's use of the Leased Premises. 12. Indemnity; Insurance. Lessee agrees to indemnify and hold harmless Lessor from any and all claims in any way related to or arising out of any failure of Lessee to perform its obligations hereunder or related to or arising out of any damage or injury to property or persons, occurring or allegedly occurring in, on or about the Leased Premises during the period from the date of this Agreement to the end of the Lease Term, including reasonable attorney's fees and expenses of litigation incurred by Lessor in connection therewith. Lessee further agrees that the foregoing Agreement to indemnify and hold harmless applies to any claims for damage or injury to itself and/or any individuals employed or retained by it in connection with any changes, additions, alterations, modifications and/or improvements made to the Leased Premises, and hereby releases Lessor from liability in connection with any such claims. Without limiting the foregoing, Lessee further agrees to maintain at all times during said period, at Lessee's expense, comprehensive and general public liability insurance coverage against claims for personal injury, death and/or property damage occurring in connection with the use and occupancy of the Leased Premises or arising out of their ownership, improvement, repair or alteration ofthe Leased Premises with limits of coverage of not less than $500,000 per occurrence. Lessee shall also purchase and maintain in effect during the term of this Lease Agreement, any extension or renewal of this Lease Agreement, policies of insurance written by a company or companies qualified to do business in the State of Georgia, providing insurance coverage against fire and casualty to the Leased Premises, which policies shall be in an amount equal and sufficient, subject to approval by Lessor, to cover the value of the Leased Premises. Lessee shall increase such property damages insurance coverage in an amount equal and sufficient to cover the value of any additional changes, additions, alterations, modifications and/or improvements, structural or otherwise, on the Leased Premises, should such changes, additions, alterations, modifications, and/or improvements be made during the term, or any extension or renewal of, this Lease Agreement. The cost of premiums for all policies of insurance required by this Lease Agreement shall be paid by Lessee. Policies shall be jointly in the names of Lessor and Lessee, and duplicate copies of the policies shall be delivered to Lessor. All policies providing insurance coverage required to be maintained by Lessee hereunder shall list Lessor, the Augusta Ports Authority, Lessee and their officers, agents, members, employees and successors as named insureds, as their interests may appear, and shall be issued by an insurance carrier or carriers licensed to do business in the State of Georgia and reasonably acceptable to Lessor. All such policies shall provide that no act or omission of Lessee or its agents, servants, or employees shall in any way invalidate any insurance coverage for the other named insureds. No insurance policy providing any insurance coverage required to be provided by Lessee hereunder shall be cancelable without at least 15 days advance written notice to Lessor. All insurance policies required hereunder, or copies thereof, shall be provided to Lessor by Lessee. 13. Assignments. Lessee shall not, without the prior written consent of the Lessor, assign this Lease or any interest thereunder, sublet the Leased Premises or any part thereof or permit the use ofthe Leased Premises by any party other than Lessee. Any consent to one assignment or sublease shall not destroy or waive this provision, and all later assignments and subleases shall likewise be made only upon prior written consent of the Lessor. Subtenants or assignees shall become liable directly to the Lessor for all obligations of Lessee, without relieving Lessee's liability. 14. Default. In the event that Lessee should fail to observe any of its covenants and obligations as herein expressed or should Lessee abandon the Premises or cease to operate the premises for the purposes set out herein, then upon the happening of such event, Lessor shall give Lessee thirty (30) days notice to comply with the provisions of this Lease Agreement, or if the conditions cannot be remedied with said thirty (30) days period to commence the remedy within said thirty (30) day period and diligently pursue it to completion; and should Lessee fail to do so, Lessor shall have the option to declare this Lease Agreement terminated and at once take possession ofthe Leased Premises. The rights and options given to Lessor under this Paragraph 14 shall not be construed to in lieu of, nor restrictive of, any other rights which Lessor may have under the law for the enforcement of this Lease Agreement. The failure of Lessor avail itself of any remedy which it may have hereunder shall at no time be construed to waiver of Lessor's rights. 15. Quiet Enioyment, Ingress and Egress. Lessor covenants and warrants that Lessee, so long as it shall perform the duties and obligations herein agreed to be performed by it, shall peaceably and quietly have, hold and occupy and shall have the exclusive use and enjoyment of the Leased Premises during the term ofthis Lease Agreement and any extensions thereof; provided however, (a) The outside paved areas of the building would be available for utilization by the Augusta Southern National competition. The outside paved area between the Augusta Ports Building and the river would be available for use for the Head of the South Regatta during the South Regatta to be held in the fall annually; (b) Two (2) no-wake buoys will be installed in front of the property; ( c) Augusta Southern Nationals will be allowed to store equipment in the Augusta Ports Building for a small rental fee under the lease of Mobile Marine Service, Inc. if the Augusta Southern Nationals Committee provides appropriate security measures for the stored equipment; this does not apply to any materials deemed chemical or hazardous that may affect the insurance liability of Mobile Marine Service. Augusta Southern Nationals will provide 10 tickets for the event. 16. Leased Premises accepted "as-is". Lessee acknowledges and agrees that it has inspected the Leased Premises prior to its execution ofthis Lease Agreement, that it is aware of the condition ofthe Leased Premises as of the date of execution of this Lease Agreement, and Lessee leases the Leased Premises "as-is." 17. Miscellaneous. 17.1 Notices. All notices, demands, and requests which mayor are required to be given by either Lessor or Lessee to the other shall be in writing and shall be deemed to have been properly given when sent postage pre-paid by registered or certified mail (with return receipt requested) addressed as follows: If intended for Lessee: MOBILE MARINE SERVICE, INe. 298 PREP PHILLIPS DRNE AUGUSTA, GA 30901 If intended for Lessor: AUGUSTA PORTS AUTHORITY AUGUSTA, GA 30901 Either party may change the address and name of addressee to which subsequent notices are to be sent by notice to the other given as aforesaid. 17.2 Exculpation; Indemnity. Wherever in this Agreement Lessor's liability is limited, modified or exculpated or Lessee agrees to indemnify or hold Lessor harmless or have Lessor named as an additional insured, the term Lessor shall mean and include the Augusta Ports Authority and its members, officer, elected officials, agents, servants, employees and successors in office. 17.3 Covenants Bind and Benefit Successors and Assigns. The provisions of this Agreement shall be binding upon and inure to the benefit ofthe parties hereto and their respective successors and permitted assigns; provided, however, that no one shall have any benefit or acquire any rights under this Agreement pursuant to any conveyance, transfer, or assignment in violation of any of its provisions. 17.4 Governing Law. This Agreement shall be governed and interpreted by the laws of the State of Georgia. 17.5 Venue. All claims, disputes and other matters in questions between all parties arising out of or relating to this Agreement, or the breach thereof, shall be decided in the Superior Court of Richmond County, Georgia. All parties, by executing this Agreement, specifically consent to venue and jurisdiction in the Richmond County and waive any right to contest venue in the Superior Court of Richmond County, Georgia. 18. Entire Agreement. This Agreement contains the entire Agreement of the parties, and no representations, inducements, promises or agreements, oral or otherwise, between the parties not embodied herein shall be of any force or effect. No failure of either party of any obligations hereunder, and no custom or practice ofthe parties at variance with the terms hereof shall constitute a waiver of either party's right to demand exact compliance with the terms hereof. IN WITNESS WHEREOF, the parties hereto have caused these presents to be executed, the day and year first above written. A~~JTY fj2 By: Chairman Attest: , --~ -- .... - a?, / ttI,III!" ~i' .." . ' ~/'/t.--' .... h.'VI...'/ ,S'-.~ N t e. .~ ,. ~ .' 0 ary ~,c f --J l ~p'TA/:Jr \.L ~ ~: -.- : ~ ~ ~ \ ~LJB\.\V ; ~ I ~~. ~ '. <:+ c"".. C!i ~ 'iAt. e. ~ ; '/.~ .'.\. JIll :".... J"A~ "~ van. 013, .....t""' .All' ", :~Otiiteo\)~'.~- ""':,,'ftI;,,~~ MOBILE MARINE SERVICE , ~.~ '" -" -. /?/ ' ,(~' }Z'~. 4-l _, By: As Its President My commission expires .. AUGUSTA PORTS AUTHORITY January 16, 2007 The Honorable Deke Copenhaver The Augusta Commission REF: Renewal of Warehouse Lease and Marina Operating Agreement Dear Mr. Mayor and Commissioners, The Augusta Port Authority voted at it's December 13, 2006 meeting to renew the Warehouse Lease and the Marina Operating Agreement as recommended by the subcommittee. Both renewals are extentions of agreements already in place. Combined, these agreements generate $2,700.00 per month for the City of Augusta. Listed below are the highlights of each agreement. Warehouse Lease - Pertains to the Old Ports building located on the river just below the Boathouse. Lease agreement is for the Ports Warehouse Building and is a 5-year extension of the previous lease which expired November 30,2006. The only exception is we left the lease payment at $1,200 per month instead of upping to $1,500 per month. Marina Operating Agreement - Pertains to the operating of the Riverwalk and Riverfront Marinas by outside company. The Marina Agreement is for operating the Augusta Marinas. It is a 5-year extension to the agreement that expired Dec 31, 2006. The Ports Authority voted to keep the payment at $1,500 per month instead of upping it to $1,700. We also added the 10th Street Dock to the agreement as we have a tour boat interested in using that dock. Nothing else in the agreement changed. I apologize for the delay in bringing this matter to the commission. Being extentions of existing agreements, there was some discussion as to what approval was needed. On the advice of Mr. Shepard, we request that the commission approval of both agreements. Should you have any questions regarding these agreements please feel free to contact me at 706-339-0944. Sincerely, Trent Mercer as Chairman