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HomeMy WebLinkAboutItem 18 - Ground Lease Franklin Street and Chruch StreetMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER MEETING DATE: APRIL 19, 2016 SUBJECT: GROUND LEASE RENEWAL — PARKING LOT / NORTHEAST CORNER OF FRANKLIN STREET AND CHURCH STREET RECOMMENDATION: City Council consider approving a Ground Lease Renewal with the First United Methodist Church of Grapevine for a parking lot in the northeast corner of Franklin Street and Church Street, authorize the City Manager to execute said agreement, and take any necessary action. The City has leased the parking lot on the northeast corner of Franklin Street and Church Street from the First United Methodist Church for more than 30 years in 10 year increments to allow for public parking when not in use for Church activities. In -lieu -of rent, the City maintains the parking lot as compensation for public use. The current lease expires in May of this year. The Ground Lease Renewal has a 10 year life with renewal provisions. Staff recommends approval. 4/13/2016 (9:32:04 AM) WHEREAS, the City of Grapevine, hereinafter referred to as Lessee, a home rule city situated in Tarrant County, Texas and the First United Methodist Church of Grapevine, hereinafter referred to as Lessor entered into a (10) year lease agreement on May, 6, 1986 for property described in attached Exhibit 'A' located at the intersection of Franklin and Church Streets; and. WHEREAS, said lease has been renewed for subsequent (10) year periods on May 6, 1996 and May 6, 2006; and WHEREAS, the Lessee and the Lessor do hereby agree to renew said lease for an additional (10) year period. NOW, THEREFORE, Lessor does hereby for and in consideration of the rents, covenants and promises herein contained to be kept, performed and observed by Lessee does hereby lease and demise to Lessee and Lessee does hereby rent and accept from Lessor, all that lot tract and parcel described in Exhibit 'A'. Term of lease is for ten (10) years beginning on the 6th day of May, 2016 and ending on the 6th day of May, 2026 subject, however, to earlier termination as hereinafter provided. At the end of the contract term, this contract shall be renewable upon mutually agreed upon terms for a period of ten gars. Lessee shall not be obligated to pay an annual or monthly rental on said property so long as it remains tax exempt. Should it become taxable, Lessee shall pay annual rent in an amount equal to the taxes. I11�� .' • 1 ►i ' • ►� Lessee constructed a parking lot and improvements during the initial ten (10) year term. Lessee agrees to maintain the parking lot during the term of the lease to a standard that satisfies all City ordinances and requirements. The improvements previously placed on the subject property are as follows: Paving of lot, construction of landscaping, lighting of parking lot, and delineation of parking spaces according to places, attached hereto and incorporated herein as Exhibit 'B'. O:\City Parking Lots\Ground Leases for parking lots\2016 ground lease First United Methodist Franklin parking lot.doc During the term of the lease the property shall be open and available for city use and festival use during Main Street Fest, GrapeFest, and any publicly advertised city-wide event. The Lessor shall have the right to exclusive use of the property during Sundays and the other religious occasions, including, but not limited to, Good Friday, and Christmas Day. Lessee agrees to maintain the property during the term of the contract. Maintenance shall include sweeping, watering and care of landscaping, re -surfacing, and striping of the property. Maintenance of lighting will be the responsibility of the Lessee. Lessee agrees to provide insurance naming Lessor as co-insured for all claims of incidents occurring on the property. Either party may terminate this lease upon expiration of the contract term or upon thirty (30) days written notice. Termination of the contract shall release Lessor and Lessee from the terms and agreements contained in the contract. This contract is performable in Grapevine, Tarrant County, Texas and is subject to all applicable Texas law. Executed this day of , 2016. Bruno Rumbelow, City Manager FIRST UNITED METHODIST CHURCH OF GRAPEVINE Chairman, Board of Trustees O:\City Parking Lots\Ground Leases for parking lots\2016 ground lease First United Methodist Franklin parking lot.doc FAJOUttS J • • `_u John F Boyle, City Attorney IRMSIO N Tara Brooks, City Secretary Vice Chairman, Board of Trustees Secretary, Board of Trustees OACity Parking Lots\Ground Leases for parking lots\2016 ground lease First United Methodist Franklin parking lot.doc Ground Lease Renewal Description A tract of land in the WILLIAM DOOLEYSURVEY, being part of Block 3, CITY OF GRAPEVINE, Tarrant County, Texas, described as follows: BEGINNING at a stake in the comer of a fence 28.5 feet North and 19.5 feet West of the Northeast comer of the J.P. Lipscomb lot, same being the Northeast comer of Lot 4, Block 4, City of Grapevine, Tarrant County, Texas; THENCE with the North line of Franklin Street as used, North 89 degrees 34 minutes West 261 feet to a stake; THENCE North 105.94 feet to stake; THENCE East 260.5 feet to a stake in a fence, the West line of Barton Street, as used; THENCE South 0 degrees 18 minutes East 107.94 feet to the PLACE OF BEGINNING O:\City Parking Lots\Ground Leases for parking lots\2016 ground lease First United Methodist Franklin parking lot.doc Ground Lease: First United Methodist Church at Church St & W Franklin St GRAPEVINE, " CI•TY OF Block.. 3 Lot 10«''�° t. .. GRAPEVINE, '4• s -,;� • 1 ''`.; CITY OF Block "t RAPE NE, 3 Lot 11 ar CITY OFBIock GRAPEVINE, ti 3 Lot 6R ChTiY OF Block 3 Lot 7 PT LOT 7 GRAPEVINE, '1 t CITY OF Block 8t r 3Lrot12 ce GRAPEVINE x CITY OF Block o 43 Lot 13 Z. GRAPEVINE,'. .4 a, CITY OF Block W: -3-N42' FIRST UNITED METH ' GRAPEVINE, �.r CHURCH/GVINE `� CITY OF Block 1 y , R Block 1 Lot i R F c, - t + GRAPEVINE CITY OF Bock 3 ` ,Lot�5�S33,:14e�. � k . .fes ..: r.. � •..:. Y �R. . + W FRANKLtINI ST + *s EXHIBIT B Ground Lease approx location City Parcels N 3/24/2016 GRAPEVINE CI Y OF Block GRAPEVINE 4 N100'5 CITY OF Block 4 of 4 GRAPEVINE, C-ITY OF Block 4S165'S ?,.. 0 50 100 200 Feet N 3/24/2016