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HomeMy WebLinkAboutO-1519ORDINANCE NO. 1519 BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF FAIRHOPE, ALABAMA, AS FOLLOWS: SECTION 1. It is hereby established and declared that the following described real property of the City of Fairhope, Alabama, is not needed for public or municipal purposes during the term of this lease, to -wit: TAX PARCEL 46-03-37-0-015-211.000 A fractional part of the Eastern end of the Baron DeFerriet tract in Baldwin County, Alabama, as more fully described as follows: From the intersection of Sections 19, 20, 29 and 30, Township 6 South, Range 2 East, as a starting point, run North 2238.72 feet along the dividing line between Sections 19 and 20; thence run North 31 degrees 15 minutes East, 1346.4 feet to a point on the Northern line of the Baron DeFerriet Grant Section 18; thence run South 58 degrees 45 minutes East along said Grant line 822.16 feet to the Point of Beginning, said point being situated North 58 degrees 45 minutes West, 1556 feet from the Northeast corner of said DeFerriet Grant Section 18, according to old deed records; from said point of beginning, run South 30 degrees 58 minutes 43 seconds West, 648.50 feet to a set rebar and cap and to the North right of way of Pecan Street; thence along said right of way North 58 degrees 44 minutes 57 seconds West, 473.93 feet to a found rebar and cap (Moore); thence North 30 degrees 53 minutes 01 seconds East, 648.50 feet to a point on said grant line; thence South 58 degrees 45 minutes 00 seconds East, 475.00 feet to the Point of Beginning and lying in Section 25 and Grant Section 37, Township 6 South, Range 2 East, Baldwin County, Alabama. SECTION 2. The City of Fairhope, Alabama, having received an offer from QNO Production South, LLC to lease that real property described in Section 1, above, it is hereby declared to be in the best interest of the public and the City of Fairhope, Alabama, to lease said real property to QNO Production South, LLC under the following terms and conditions, to -wit: The term of this lease agreement shall begin on September 2, 2014 and ending at midnight on September 18, 2014; The rent for said lease shall be a flat fee of $2,500.00 for use of the building payable on September 2, 2014; and then a $200.00 fee for every day past September 18, 2014, which lessee agrees to pay to LESSOR at P.O. Drawer 429, Fairhope, Al 36533, or at such other place or places as LESSOR may from time to time designate. SECTION 3. Pursuant to the authority granted by Section 11-47-21 of the Code of Alabama of 1975, the Mayor of the City of Fairhope, Alabama, is hereby directed to execute said lease agreement in the name of the City of Fairhope, Alabama. SECTION 4. This ordinance shall become effective immediately upon its adoption and publication as required by law. Ordinance No. 1519 Page -2- SECTION 5. The sections, paragraphs, sentences, clauses and phrases of this ordinance are severable, and if any phrase, clause, sentence, paragraph or section of this ordinance shall be declared unconstitutional by a court of competent jurisdiction, then such ruling shall not affect any other paragraphs and sections, since the same would have been enacted by the municipality council without the incorporation of any such unconstitutional phrase, clause, sentence, paragraph or section. SECTION 6. This ordinance shall take effect immediately upon its due adoption and publication as required by law. ADOPTED THIS 8TH DAY OF SEPTEMBER, 2014 )\.-. - �—�- T moth Kant, N lay or ATTEST: 4 isa A. ails, MMC City Cler a LEASE STATE OF ALABAMA COUNTY OF BALDWIN THIS LEASE agreement made and entered into this day of September, 2014, at Fairhope, Alabama by and between the CITY OF FAIRHOPE, ALABAMA, hereinafter referred to as "Landlord" or "Lessor" and QNO PRODUCTION SOUTH, LLC, an Alabama limited liability company, hereinafter referred to as "Tenant" or "Lessee". 1. Premises and Term. Landlord does hereby lease and demise unto Tenant that premises situated in Baldwin County, Alabama, commonly known as 451 PECAN AVENUE, FAIRHOPE, ALABAMA and which is described in attached Exhibit "A", which is made a part hereof and incorporated herein by this reference, for continuous use and occupancy for and during the term beginning September 2, 2014 and ending September 18, 2014. This period is herein referred to as the "term" or "period" of said lease and shall include any extensions. 2. Rent. Tenant promises and agrees to pay to Landlord for the term of this lease a flat fee of $2,500.00 for use of the facility payable on September 2, 2014; and then a $200.00 fee for every day past September 18, 2014. 3. Use of Premises. The premises, during the term of this, lease shall be used and occupied solely for the purposes film production. Tenant shall not use nor permit the same to be used for any other purpose or purposes without the prior written consent of the Landlord. Tenant at all times shall fully comply with all laws, ordinances and regulations of any lawful authority having jurisdiction of said premises including, but not limited to, such as shall relate to health, safety, sanitation and cleanliness. Tenant will not commit any waste to said property nor permit the same to be done and will take good care of said premises at all times, and will not, by any act or omission, render Landlord liable for any violation thereof. When vacating the building, Tenant will remove all set materials. 4. Condition of, Damage to and Maintenance of Premises. Tenant shall examine said premises before taking possession, and Tenant's entry into possession shall constitute conclusive evidence that, as of the date thereof, the said premises were in satisfactory condition. Landlord does not warrant the condition of the premises or that the property is fit for any particular purpose, except as hereinafter set out. Tenant shall return the premises at the end of the lease in at least the same or better condition as said premises were in at the beginning of the lease. 451 Pecan Avenue Lease Page 1 of 8 Landlord shall not be liable for any loss or damage caused by, or growing out of, any breakage, leakage, disorder or defective condition of the heating, air conditioning, or mechanical installations and/or systems, electric wiring, pipes, or plumbing. Landlord shall not be liable for any damage to any property on said premises caused by, or growing out of, fire, rain, lightning, wind, high water, over -flow water, freezing or other causes. 5. Fixtures. All improvements and additions to the leased premises shall become the property of the Landlord, with the exception of furniture or trade fixtures. Said furniture and trade fixtures remain the property of the Tenant, and may be removed by the Tenant upon the expiration of this lease, provided the Tenant shall have complied with all terms, conditions and covenants of this lease. No improvements by Tenant, including painting, shall be made upon said property without the prior written consent of Landlord. Landlord shall have the right to require a written waiver of mechanics' or materialmen's liens by the contractor prior to executing written consent to place said improvements on the property. 6. Indemnity and Insurance, Waiver of Subrogation. Tenant will indemnify, protect and save harmless Landlord, its officers, officials, agents, appointees and employees, from any loss, cost, damage, liability or expense including Court costs, attorney's fees and any other legal costs, caused by injury or damage to any person or to property of any person other than Tenant while in or on said premises herein leased; and, the Landlord shall not be liable for any loss of any property of Tenant, however occurring. The Landlord, its officers, officials, agents, appointees, and employees, shall be indemnified by the Tenant against such liability arising from all causes, except the acts or omissions of Landlord. In furtherance hereof, Tenant will obtain and provide a copy to Landlord of a policy of general liability insurance subject to approval of Landlord in amounts of not less than $1,000,000.00 showing Landlord as an additional loss payee. The amount of said insurance shall be increased by twenty (20%) percent of the original amount every two (2) years, on or before the anniversary date of this lease. The policy shall at all times provide that the Landlord shall be notified not less than thirty (30) days in advance of any proposed cancellation of the policy. Tenant shall maintain insurance covering its stock of goods, inventory, leasehold improvements and other property located in the above described premises, and insurance covering the building and other improvements owned by either Landlord or Tenant on the above described premises for the full value of said improvements with a copy of said policy to be deposited with Landlord and non -cancelable until not less than thirty (30) days notice has been given to Landlord of the proposed cancellation. Tenant agrees not to assign to any insurance company any right or cause of action for damage to the property of Tenant located on the above described premises which Tenant now has or may subsequently acquire against Landlord during the term hereof. This agreement not to assign rights or causes of action shall apply only where such insurance as described herein and applicable law allow the Insured to enter into such an agreement; and, this agreement shall apply only as respects insured loss occurring on the property described herein. 451 Pecan Avenue Lease Page 2 of 8 Tenant shall maintain such insurance as will indemnify and hold harmless the City of Fairhope from Workmen's Compensation and Public Liability claims from property damage and personal injury, including death, which may arise from Tenants operations under this Lease, or by anyone directly or indirectly employed by him/her. 7. Overloads. Tenant will not overload the building, its floors, roof, or walls, the bulkheads, pier and concrete apron and shall be liable for all damages to the premises or other consequences of overloading. 8. Default. Upon the happening of any one or more of the events as expressed in subparagraphs hereof below (which said events shall separately and severally constitute a default hereunder at Landlord's option), the Landlord shall have the right at the option of the Landlord to: (1) annul and terminate this lease, and thereupon re-enter and take possession of said premises; or (2) re-enter and re -let said premises from time to time, as agent of the Tenant, and such re-entry and/or re -letting shall not discharge Tenant except that net rents (that is, gross rents less the expense of collecting and handling, and less commissions) collected as a result of such re -letting shall be a credit against the Tenant's liability for rents under the terms of this lease. Nothing herein shall be construed to require the Landlord to reenter and re -let in such event. Nor shall anything herein be construed to postpone the right of the Landlord to sue for rents, whether matured by acceleration or otherwise; Landlord shall have the right to demand, collect and/or sue therefore at any time after default. Each of the following may be treated by Landlord as a default: Tenant's failure to pay any one or more of said installments of rent as and when the same becomes due, or failure to pay on demand any amount due Landlord and secured as additional rent hereunder. Tenant's removal, attempt to remove or permitting of removal from said premises (except in the usual course of trade) the goods, furniture, effects or other property of the Tenant brought thereon. Execution or other legal process upon the goods, furniture, effects or other property of the Tenant brought on said premises or upon the interest of the Tenant in this lease. Filing of a petition in bankruptcy or a petition under the bankruptcy laws by or against the Tenant, or commission by the Tenant of an act of bankruptcy. An assignment for the benefit of creditors by the Tenant or appointment of a receiver of Tenant's property. 451 Pecan Avenue Lease Page 3 of 8 Before the expiration of the term hereof, and without the written consent of the Landlord, Tenant vacates said premises or abandons the possession thereof, or uses the same for purposes other than herein specified or ceases to use said premises for the purposes herein specified. Tenant's failure to provide records, tax filings and returns and books of account to Landlord as provided for herein. Tenants failure to properly insure the property as provided for herein. Tenant's violation of any other term, condition or covenant on the part of the Tenant herein contained. Upon default, upon breach of condition, or upon any termination of this lease or re-entry of said premises, the rents hereunder or the entire rental period and any other indebtedness payable under provisions hereof shall be and become immediately due and payable and without regard to whether or not possession of the premises shall have been surrendered to or taken by the Landlord. Said sum shall bear interest at the maximum legal rate. 9. Attorney fees and exemption waiver. Tenant agrees to pay a reasonable attorney's fee and all costs, if it becomes necessary for Landlord to employ an attorney to collect any of the rent agreed to be paid, to enforce any of the provisions of this lease, to obtain possession of the leased premises, or otherwise to exercise any option or enforce any right given to Landlord upon default by Tenant. Tenant expressly waives any exemptions secured to Tenant, whether a corporation or individual, under the laws of any state or the United States of America as against the collection of any debts herein or hereby incurred or secured. 10. Relation of Parties. The execution of this lease or the performance of any act pursuant to the provisions hereof shall not be deemed or construed to create between Landlord and Tenant the relationship of principal and agent, partnership, or joint venture, and the relationship between them shall be that only of Landlord and Tenant. 11. Landlord's reservation of rights. The failure of Landlord to insist upon a strict performance of any of the covenants or conditions of this lease or to exercise any option herein conferred in any one or more instances shall not be construed as a waiver or relinquishment of any such covenants, conditions or options, but the same shall remain in full force and effect. The receipt by Landlord of rent with the knowledge of the breach of any covenant hereof shall not be deemed a waiver of such breach. No waiver of Landlord of any provisions hereof shall be deemed to have been made unless expressed in writing and signed by Landlord. 451 Pecan Avenue Lease Page 4 of 8 12. Signs. The Tenant shall not erect on, display on, or cause to be painted on or affixed to the demised premises any lettering, signs, advertisements, awnings, or other projections thereon, without the prior written consent of the Landlord, which consent shall not be unreasonably withheld. The Tenant's request therefore shall be in writing and shall contain such information as to the proposed lettering and/or signs as the Landlord may reasonably require. 13. Condemnation. If the whole of the demised premises shall be taken by Federal, State, County, City, public utility, or other authority for public use or under any statute, or by right of eminent domain, the term hereby granted and all rights of the Tenant hereunder shall immediately cease and terminate, and the Tenant shall be entitled only to that part of any award that may be made for such taking, to the extent of Tenants improvements thereon. If but a part of the demises premises be taken by right of eminent domain, this lease shall continue in full force and effect as to the property remaining, provided such property remaining is capable of continued enjoyment by the Tenant for the uses and purposes provided for hereunder. Tenant shall not be entitled to any award that may be made for such taking, except to the extent of Tenants improvements thereon, nor shall such taking constitute a termination of this lease, or a constructive eviction of Tenant. However, the rent payable hereunder shall be adjusted as of the time of such taking to equitably reflect the change in the size of said remaining property. 14. Subordination to mortgage. This lease shall at all times be subject and subordinate to the lien of any bonds, warrants, or mortgages now on or hereafter placed upon the premises, and to all advances made or hereafter to be made upon the security thereof. The Tenant binds and obligates himself to execute and deliver such further instrument or instruments subordinating this lease to the lien of any such bonds, warrants, or mortgages at any time same shall be requested by the Landlord. Whether or not this lease is subordinate to any such bond, warranty or mortgage, the Tenant's right to quiet enjoyment of the premises demised hereby shall be maintained so long as Tenant shall pay all rentals and perform all duties required of Tenant hereunder. 15. Prohibition on Transfer by Tenant. Each and every transfer or assignment of this lease by the Tenant or any interest therein, and each and every subletting of said premises, or any part thereof, or any interest therein, shall be null and void, unless the prior written consent of the Landlord be obtained. Any violation hereof constitutes a substantial and material breach of condition of this lease, with all of the rights thereunto pertaining as in the case of default for any other cause hereunder. 16. Waste or Nuisance. Tenant shall not permit, cause or allow any act or omission in, on or about said premises which shall unreasonably cause or be likely to unreasonably cause injury or damage to any person, or to the premises, or to the right of way adjoining the premises. Tenant shall not allow, cause or allow any unreasonably obnoxious, disturbing or offensive odors, fumes, gases, smoke, dust, steam or vapors or any loud or disturbing noise, sound or vibration to originate on or be omitted from said premises. Tenant shall at all times keep said premises in orderly condition and shall keep the entranceways adjoining the premises free from rubbish and dirt. Tenant agrees to 451 Pecan Avenue Lease Page 5 of 8 permit no waste of the property, but on the contrary to take good care of the same and upon termination of this lease to surrender possession of the same in as good condition as at the commencement of the term or as they may be put in during the term as reasonable use and wear thereof will permit. 17. Bindin effect. The covenants, conditions and agreements contained in this lease shall bind and inure to the benefit of the Landlord and Tenant and their respective heirs, executors, administrators, successors and assigns. This provision shall not permit the assignment of the lease or subleasing of the premises, except as heretofore provided. 18. Landlord's Access. Landlord, its agents or representatives, at all reasonable times may enter said premises to inspect to insure compliance with the terms hereof and to exhibit the premises to prospective tenants or purchasers. 19. Notice. Any notices, demands, communications, or election to exercise any option herein, whether intended for the Landlord or the Tenant, shall be in writing and may be delivered in person or by registered or certified mail to the address of the party intended as the recipient thereof at such address as stated hereon, or to such other address as the parties may from time to time designate in writing. 20. Cumulative rights. All rights and remedies provided herein for the Landlord are cumulative and are in addition to any other remedies accruing to Landlord by operation of law. 21. Additional terms. Lessee agrees to comply with the following additional requirements of Lessor: (a) Trees on the leased premises may not be cut or removed, except those marked and approved by Lessor. Any hardwood trees, other than those approved by Lessor, which are cut or die from damage, which, if in the opinion 6f the Fairhope Tree Committee, was an intentional, willful, or neglect act, shall cause Lessee to pay $2,000 per such tree into the City Tree Fund, which is maintained for the planting and preservation of trees within the municipality. (b) The leased premises shall be kept free of debris and litter at all times, including, but not limited to, adjacent parking areas. Sufficient containers shall be approved by Lessee in and around the leased premises to provide for proper disposal of litter and debris. 451 Pecan Avenue Lease Page 6 of 8 IN WITNESS WHEREOF, Landlord and Tenant have executed this Lease by affixing their signatures and seals on the day and year first above set forth. LANDLORD: CITY OF FAIRHOPE IM STATE OF ALABAMA COUNTY OF BALDWIN i .. I, the undersigned, a Notary Public in and for said County in said State, do hereby certify that TIMOTHY M. KANT whose name is signed to the foregoing conveyance as Mayor of the City of Fairhope, and who is known to me acknowledged before me on this day, that being informed of the contents of said instrument, he with full authority executed the same voluntarily on the day the same bears date. Given under my hand and seal on this the -0 day of September, 2014. f� ViFFIX SEAL) Trt � ST�1,ti ' '451 Pecan Avenue Lease Page 7 of 8 of Public My Commission Expires: Q/fig'/fig STATE OF ALABAMA COUNTY OF BALDWIN / I, the undersigned Notary Public in and for said County in said State, do hereby certify that TPrEV9P " Y whose name as Manager of QNO Production South, LLC is signed to the foregoing document as Tenant, and who is known to me acknowledged before me on this day, that being informed of the contents of said instrument, he as such officer and with full authority executed the same voluntarily for and as the act of said limited liability company on the day the same bears date. �!�ti►►►, iven under my hand and seal on this the,90 day of September, 2014. 9AFFID.SEAL) otary P blic R: J My Commission Expires: 14� INSTRUMENT PREPARED BY: Marion E. Wynne City Attorney P. O. Box 1367 Fairhope, AL 36533 (251)928-1915 451 Pecan Avenue Lease Page 8 of 8 lient#: 793556 QNOSOUTH `ACORD. "IFICATE OF LIABILITY INSURANCE DATE(MMIDDIYYYY) THIS CERTIFICATE IS ISSUED_ -_ A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE __..TIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER NAME CT Craig Warren Hub International PHONE 310.568-7606 No : 213-947-4090 A/C No Ext HUB int'I Insurance Serv. Inc. ADDRESS: craig.warren@hubintemational.com 40 East Alamar Avenue INSURER(S) AFFORDING COVERAGE NAIC # Santa Barbara, CA 93105 ,wci Atlantic Specialty Insurance Co 127154 r21;311c14•. QNO Productions South, LLC QNO, LLC 100 N. Crescent Dr. Beverly Hills, CA 90210 INSURER B : INSURER C : CAVFRAGFS CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. LTR OF INSURANCE ADDLSINSRTYPE UBWVD POLICY NUMBER IPOL11 YFF MPIOLICY E LIMITS A GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITY CLAIMS -MADE 7 OCCUR X X CP0454500 9/27/2013 09/2712014 EEpAApCM�Hpp��OEECTCURRENCE $1 000 000 PREMISESO !occ9u rrce 000 000,000 MED EXP (Any one person) $ 5 000 PERSONAL S ADV INJURY $1 000,000 GENERAL AGGREGATE s2,000,000 GEITL AGGREGATE LIMIT APPLIES PER: RO- El LOC X POLICY F—ISEC PRODUCTS - COMP/OP AGG $1 000,000 $ A AUTOMOBILE LIABILITY ANY AUTO ALL OWNED SCHEDULED AUTOS AUTOS NON -OWNED X HIRED AUTOS E AUTOS X CP0454500 9/27/2013 09/27/201 COMBINED SINGLE LIMIT a 'd nt 1,000,000 BODILY INJURY (Per person) $ BODILY INJURY (Per accident) $ PReOPERTYtDAMAGE $ E A X UMBRELLA DAB EXCESS LIAB OCCUR CLAIMS -MADE X EX0178700 9/27/2013 09/27/2014 EACH OCCURRENCE s4.000000 AGGREGATE $4 OOO 000 DIED RETENTION $ $ A WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNERIEXECUTIVE Y! N OFFICER/MEMBER EXCLUDED? � (Mandatory in NH) If yes, describe under DESCRIPTION OF OPERATIONS below N / A 406-04-12-40-0000 9/27/2013 09/27/201 X WC STATU RYUMITS OTH- E.L. EACH ACCIDENT $1 00O 000 E.L. DISEASE - EA EMPLOYEE $1 000 000 E.L. DISEASE - POLICY LIMIT $1,000 000 A Production Pkg MPOO62700 0912712013 09127/2014 See Attached DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (Attach ACORD 101, Additional Remarks Schedule, If more space Is required) Re: "Somnia", the Certificate Holder is included as Additional Insured as respects the operations of the Named Insured and as Loss Payee as their interests may appear. (See Attached Descriptions) CERTIFICATE HOLDER CANCLLLA 1 IUN City of Fairhope Contact: Sherry Sullivan SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE One Bayou Drive THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN y ACCORDANCE IMTH THE POLICY PROVISIONS. Fairhope, AL 36532 (251) 990-021 8 AUTHORIZED REPRESENTATIVE 01988-2010 ACORD CORPORATION. All rights reserved. ACORD 25 (2010105) 1 of 2 The ACORD name and logo are registered marks of ACORD #S2511748/M2451635 CW44 DESCRIPTIONS (Continued from Page 1 Production Package Coverage: Miscellaneous Equipment - $1,000,000 Limit/ $2,500 Deductible Props, Sets & Wardrobe - $1,000,000 Limit/ $2,500 Deductible Third Party Property Damage - $1,000,000 Limit/ $2,500 Deductible Hired Auto Physical Damage - Limit is included under Miscellaneous Equipment / Deductible is 10% of Loss, subject to a minimum of $2,500 and a maximum of $7,500. SAGITTA 25.3 (2010/05) 2 of 2 #S2511748/M2451635 SCOTT LUMPKIN LLC 16901 Sweeney Road Summerdale, AL 36580 PAY TO THE ORDER OF Cf_� il-M 0 1695 63-7511631 10587 2000035950123 DATE l l.cNIII c Wells Fargo Bank, NA e 0 Florida wells(argo.com FOR n'000000 L69Sn' I:063 L07S L31: AV 20000 3 S 9 SO L 2 3n'