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HomeMy WebLinkAbout09-165 P Resolution No. 09-165 RESOLUTION AUTHORIZING EXECUTION OF A COMMERCIAL LEASE AGREEMENT WITH THE ELGIN PUMAS SOCCER CLUB, INC. (1080 East Chicago Street) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Sean R. Stegall, City Manager, and Diane Robertson, City Clerk, be and are hereby respectively authorized and directed to execute a written commercial lease agreement with Elgin Pumas Soccer Club,Inc. for the premises commonly known as 1080 East Chicago Street,Elgin,Illinois,a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: July 22, 2009 Adopted: July 22, 2009 Omnibus Vote: Yeas: 5 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk , k , t COMMERCIAL LEASE AGREEMENT THIS LEASE is hereby made and entered into this 0?01 day of � ,2009,by and between the City of Elgin,an Illinois municipal corporation(hereinafter re erred o as the"Lessor"),and the Elgin Pumas Soccer Club, Inc., an Illinois not-for-profit corporation (hereinafter referred to as "Lessee"),and constitutes a lease between the parties of the Premises as identified in the basic lease provisions below,on the terms and conditions and with and subject to the covenants and agreements of the parties hereinafter set forth. WITNESSETH: 1. Basic Lease Provisions The following are certain lease provisions which are part of,and,in certain instances,referred to,in subsequent provisions of this Lease: Term of Lease: Beginnin 2009 and ending December 31,2010, unless otherwis terminated as provided herein. Lessor's Name and Address: City of Elgin 150 Dexter Court, Elgin, Illinois 60120-5555 Lessee's Name and Address: Elgin Pumas Soccer Club, Inc. 1080 East Chicago Street, Elgin, IL 60120 Building: 1080 East Chicago Street, Elgin, Illinois Premises to be Leased within Building: Those portions of the building consisting of approximately 620 square feet identified as"Elgin Pumas Office and Storage Space" as depicted in Exhibit A, dated December 11, 2008, attached hereto and incorporated into this Agreement." Rent: $0 Permitted Use: Office and Storage Security Deposit: None. 2. Grant Lessor is leasing the area depicted on Exhibit"A" attached to this Lease and made a part hereof within the building commonly known as 1080 East Chicago Street,Elgin, Illinois (hereinafter A. + ' referred to as the"Premises")to Lessee in consideration of the rent to be paid and the covenants to be performed by Lessee. 3.Rent Lessee shall be required to pay to the Lessor rent in the amount of$0. 4. Conduct of Business by Lessee Use of Premises. Lessee shall use and occupy the Premises during the continuance of this Lease solely for the Permitted Use set forth in the Basic Lease Provisions, and for no other purpose or purposes without the prior written consent of Lessor.If any governmental license or permit shall be required for the proper and lawful conduct of Lessee's business or other activity carried on in the Premises or if a failure to procure such a license or permit might or would,in any way,affect Lessor or the Premises,then Lessee,at Lessee's expense,shall procure and maintain such license or permit. Lessee shall promptly comply with all laws and ordinances and lawful orders and regulations affecting the Premises and the cleanliness, safety,occupancy,and use of same.Lessee agrees that it will conduct its business in the Premises in a lawful manner and in good faith. Lessee shall not cause or permit the use,generation, storage, or disposal in, on, or about the Leased Premises or the Premises of any substances, materials, or wastes subject to regulation under any Federal, state, or local laws from time to time in effect concerning hazardous,toxic, or radioactive materials. Care of Premises. Lessee shall keep the Premises (including the service areas adjacent to the Premises,windows, and signs) orderly,neat, safe, and clean. 5.Alterations; Lessee and Lessor Alterations Lessee shall not make any alterations to the Premises without the specific written consent of the Lessor. All alterations,decorations,additions,and improvements made by Lessee shall be deemed to have attached to the leasehold and to have become the property of Lessor upon such attachment, and upon expiration of this Lease, Lessee shall not remove any of such alterations, decorations, additions, and improvements. Lessee shall in any event be responsible for repairing any damage caused to the Premises by virtue of any unauthorized alteration,addition,or improvement installed by or on behalf of Lessee. 6. Signs Lessee agrees not to use any advertising media without first receiving written approval from the Lessor.All signage shall be professionally prepared and Lessee further agrees to maintain any such sign,awning,canopy,decoration,lettering,advertising matter,or other thing,as may be approved,in good condition and repair at all times. 7. Maintenance of Leased Premises 2 Lesssor shall provide at its cost for the maintenance of the Premises. Notwithstanding the foregoing, in the event any maintenance or repairs are necessary for any damage to the Premises caused by an act of omission of the Lessee and/or its officers,employees,agents and/or invitees,the costs to repair such damage shall be paid for by the Lessee. Additionally,Lessee shall at its cost keep and maintain the Premises in a clean, sanitary and safe condition in accordance with all applicable legal requirements. Lessee further agrees to comply with any and all requirements of the insurance underwriters insuring the Premises. Lessor also shall maintain the exterior of the Building as well as the Building's mechanical systems and its exterior and interior common areas. 8. Insurance As additional rent for the Premises,Lessee shall procure and maintain policies of insurance written in occurrence form, at its own cost and expense, insuring: A. Lessor and Lessee from all claims,demands or actions for injury to or death of any person in an amount of not less than$1,000,000.00,for injury to or death of more than one person in any one occurrence and an umbrella liability policy in an amount of not less than $1,000,000.00,and for damage to property in an amount of not less than$500,000.00 made by, or on behalf of, any person or persons, firm or corporation arising from, related to or connected with the Premises. B. Lessee from all worker's compensation claims. C. All contents,and Lessee's trade fixtures,machinery,equipment,furniture and furnishings in the Premises to the extent of at least ninety percent (90%) of their replacement cost under standard fire and extended coverage insurance,including,without limitation,vandalism and malicious mischief. The aforesaid insurance shall be in companies and in form, substance and amount(where not stated above)satisfactory from time to time to Lessor.The aforesaid insurance shall not be subject to cancellation except after at least thirty (30) days prior written notice to Lessor.The original insurance policies(or certificate thereof satisfactory to Lessor) together with satisfactory evidence of payment of the premiums thereon, shall be deposited with Lessor at the beginning date of this Lease,and renewals thereof not less than thirty (30) days prior to the end of the term of each such coverage. Lessee shall provide Lessor with a Certificate of Insurance naming Lessor as an additional insured party indicating the above coverage on an annual basis. 9. Covenant to Hold Harmless To the fullest extentpermitted bylaw,Lessee agrees to indemnify,defend and hold harmless Lessor, ln' its officers, employees, boards and commissions from and against any and all claims, suits judgments,costs,attorney's fees,damages or other relief arising out of or resulting from or through or alleged to arise out of anyreckless or negligent acts or omissions of Lessee's officers,employees g 3 • e , or agents in the performance of this agreement. In the event of any action against the Lessor, its officers, employees, agents, boards or commissions covered by the foregoing duty to indemnify, defend and hold harmless, such action shall be defended by legal counsel of the Lessor's choosing. The provisions of this section shall survive any expiration and/or termination of this Lease. 10. Utility Charges Lessor shall be solely responsible for and promptly pay all charges for water, gas,heat, electricity, sewer,and any other utility used upon or furnished to the Premises,provided,however,that Lessee shall be solely responsible for the provision and payment of telephone services for the Premises. 11.No Assignment or Subletting Lessee agrees not to assign or in any manner transfer this Lease or any estate or interest therein without the prior written consent of Lessor,and not to sublet the Premises or any part or parts thereof or allow anyone to come in with, through, or under it without like consent. It is understood and agreed that Lessor's consent hereunder(and wherever else in this Lease required,unless specifically provided to the contrary) may be arbitrarily withheld, notwithstanding any statutory or other provisions of law to the contrary. 12. Waste and Nuisance i Lessee shall not commit or suffer to be committed any uponany waste the Premises or nuisance or other act or thing which may disturb the quiet enjoyment of any other Lessee in the Building.Lessee shall not use or permit to be used any medium that might constitute a nuisance,such as loudspeakers, life rphonographs,radios televisions,or anyother sound producingdevice which will sound amplifiers,s, carry sound outside the Premises. 13.Destruction of Leased Premises In case the Premises shall be rendered untenable by fire,explosion or other casualty,Lessor may,at its option,terminate this Lease or repair the Premises within sixty days.If Lessor does not repair the Premises within said time,or the Building shall have been wholly destroyed,the term hereby created by the Lease shall cease and determine. 14. Default of the Lessee Definition of Event of Default. Each of the following shall be deemed an event of default: (i) Lessee's failure to make payment of rent or other charges as provided in this Lease; (ii) Lessee's failure to perform any of the covenants, terms, conditions, or provisions of this Lease; (iii) if a petition is filed by or against Lessee for relief under the bankruptcy laws, or Lessee shall make an assignment for the benefit of creditors,or if a receiver of any property of the Lessee be appointed in any action,suit,or proceeding by or against Lessee,or if Lessee shall admit that it is insolvent,or it is generally not paying its debts as such debts become due,or if the interest of Lessee in the premises shall be sold under execution or other legal process; (iv)Lessee vacates or abandons the premises; 4 (v) this Lease or the Premises or any part of the Premises are taken upon execution or by other process of law directed against Lessee,or are taken upon or subject to any attachment at the instance of any creditor or claimant against Lessee,and the attachment is not discharged or disposed of within fifteen (15) days after its levy; (vi) Lessee is dissolved. Notwithstanding anything herein to the contrary,Lessee shall not be entitled to more than one (1)notice for monetary defaults during any twelve(12)month period,and if after such notice any monetary default of any kind is not paid when due,an event of material default will be considered to have occurred without further notice.Upon the occurrence of an event of default, Lessor shall have the right to terminate the Lease and shall be entitled to possession of the Premises.Lessor may make its election to terminate known to Lessee by delivery of a notice of termination. Such termination shall be immediately effective and Lessor shall be entitled to forthwith commence an action in summary proceedings to recover possession of the Premises,but such termination shall not terminate Lessee's liabilities hereunder.Lessee waives all notice in connection with such termination,including by way of illustration,but not limitation,notice of intent to terminate, demand for possession or payment, and notice of re-entry. No receipt of money by the Lessor from the Lessee after the termination of this Lease shall reinstate,continue,or extend the term,nor affect or waive any notice given by the Lessor to the Lessee prior to such receipt of money. Right to Re-Enter.If the event of default is for any monetary default,Lessor may,as an alternative to terminating the Lease, serve a notice for possession or payment. Lessor shall be entitled to possession of the Premises and Lessee shall have no further right to possession under the Lease,but Lessee shall not be relieved of any of its liability hereunder.Lessee shall remain liable to Lessor for the payment of all charges which Lessee has agreed to pay under this Lease throughout the remainder of its term. Should Lessor elect to re-enter, as herein provided, it may from time to time, without terminating this Lease, make such alterations and repairs as may be necessary in order to relet the Premises,and relet said Premises or any part thereof for such term or terms(which may be for a term extending beyond the term of this Lease)and at such rental or rentals and upon such other terms and conditions as Lessor in its sole discretion may deem advisable.Notwithstanding anything herein to the contrary,Lessor may,without demand or notice,re-enter and take possession of the Premises or any part of the.Premises, repossess the same, expel Lessee and those claiming through or under Lessee, and remove the effects of both or either, using such force for such purposes as may be necessary, without being liable for prosecution, without being deemed guilty of any manner of trespass,and without prejudice to any remedies for arrears of amounts payable under this Lease or as a result of any preceding breach of covenants or conditions. Other Remedies. The Lessor's rights, remedies, and benefits provided by this Lease shall be cumulative, and shall not be exclusive of any other rights,remedies and benefits allowed by law. Estoppel. The parties agree that they shall rely solely upon the terms of this Lease to govern their relationship. They further agree that reliance upon any representation, act, or omission outside the terms of this Lease shall be deemed unreasonable,and shall not establish any rights or obligations on the part of either party. Independent Covenant.Notwithstanding anything to the contrary,Lessee acknowledges and agrees that its obligation to pay rent under this Lease is an independent covenant,and that such obligation to 5 pay rent is not subject to set-off or recoupment in connection with any action for summary proceedings to recover possession of the Premises. 15. Bankruptcy or Insolvency In the event that a trustee is appointed for Lessee or by Lessee as Debtor-in-Possession, Lessee is liquidated or files a subsequent petition for reorganization or adjustment of debts under the Bankruptcy Code,Lessee be adjudicated a bankrupt,insolvent,or placed in receivership,or should any proceedings be instituted by or against the Lessee for bankruptcy, insolvency, receivership, agreement of composition,or assignment for the benefit of creditors,or if this Lease or the estate of the Lessee hereunder shall pass to another by virtue of any court proceedings,writ of execution,levy, sale or by operation of law,then,and in any of such events,Lessor may,at its option,terminate this Lease and all rights of Lessee hereunder,by giving five(5)days Notice of its election to so terminate to Lessee,or to any trustee,receiver,assignee,or other person in charge of or acting as custodian of the assets or property of the Lessee.Upon the giving of such Notice,this Lease and the term hereof shall end on the date fixed in such Notice, or if no such date is fixed, five (5) days following the proper dispatch of such Notice, and the Lessor shall have the right to remove all persons, goods, fixtures,and chattels from the Premises by force or otherwise,without liability for damages,and all the other rights permitted under this Lease in the event of a default. 16.Access By Lessor Lessor or Lessor's agent shall have the right to enter the Premises at all reasonable times to examine same, and to show them to prospective purchasers or mortgagees, and to make such repairs, alterations, improvements, or additions as Lessor may deem necessary or desirable. 17. Miscellaneous Voluntary Termination of Lease by Lessor. Lessor may at its sole discretion,notwithstanding any provision herein,terminate this Lease,provided,however,that Lessor first provide thirty(30)days written notice to Lessee to vacate the Premises. Waiver.One or more waivers of any covenant,term,condition,or provision of the Lease by either party shall not be construed as a waiver of a subsequent breach of the same covenant, term, condition, or provision, and the consent or approval by Lessor to or of any act by Lessee requiring Lessor's consent or approval shall not be deemed a waiver of Lessor's consent or approval to or of any subsequent similar act by Lessee.No breach of a covenant,term,condition,or provision of this Lease shall be deemed to have been waived by Lessor,unless such waiver(i)is in writing signed by Lessor,(ii)identifies the breach,and(iii)expressly states that it is a waiver of the identified breach. Observance of Lessor's Rules and Regulations. Lessee shall keep and observe such reasonable rules and regulations now or hereafter required by Lessor,which may be necessary for the proper and orderly care of the Premises and the Building. 6 • No Partnership. This Agreement shall not be construed so as to create a joint venture,partnership, employment or other agency relationship between the parties hereto. Construction.Whenever herein the singular number is used,the same shall include the plural,and the masculine gender shall include the feminine and neuter genders.The captions,section numbers, article numbers,and index appearing in this Lease are inserted only as a matter of convenience and in no way define, limit, construe, or describe the scope or intent of such sections or articles of this Lease nor in any way affect this Lease. All ambiguities shall be construed against Lessee. Notice. Any notice, demand, request, consent, approval, or other instrument which may be or is required to be given under this Lease shall be sent by overnight courier or United States certified mail return receipt requested,postage prepaid,and shall be addressed to the addresses and persons set forth hereunder: Elgin Pumas Soccer Club,Inc. Olufemi Folarin 1080 East Chicago Street City Manager Elgin,IL 60120 150 Dexter Court Elgin, IL 60120-5555 With a copy to: William A. Cogley, Corporation Counsel Recording.Lessee shall not record this Lease without the consent of Lessor,which may be withheld for any reason whatsoever, in Lessor's absolute discretion. Governing Law.This agreement shall be subject to and governed by the laws of the State of Illinois. Venue for the resolution of any disputes or the enforcement of any rights pursuant to this agreement shall be in the Circuit Court of Kane County,Illinois. Notwithstanding anything to the contrary in this Lease,and to the fullest extent permitted by law,no action shall be asserted or maintained by the Lessee against the Lessor for monetary damages. Severability. The terms of this Lease agreement shall be severable. In the event any of the terms or provisions of this agreement are deemed to be unenforceable for any reason,the remainder of this agreement shall remain in full force and effect. Partial Invalidity. If any provision of this Lease or the application thereof to any person or circumstances shall,to any extent,be invalid or unenforceable,the remainder of this Lease shall not be affected thereby and each provision of the Lease shall be valid and enforceable to the fullest extent permitted by law, and the remaining provisions of this Lease shall be interpreted so as to nearly as possible conform to the intent of the parties as indicated in this Lease. Corporate Name. Lessee shall retain the use of the word"Elgin" in its corporate name during the term of this Lease. Tax Exempt Status. Lessee hereby warrants and represents that it is a tax exempt organization as defined by the Internal Revenue Service Code Section 501C. Lessee shall notify the Lessor in 7 writing within thirty(30)days of any change in the Lessee's tax status. In the event the Lessee's tax status changes during the term of this Lease,or in the event of the dissolution of Lessee,the Lessor may terminate this Lease upon thirty(30)days written notice to Lessee,and the Lessor shall have no further obligations hereunder. No Discrimination. Lessee shall not discriminate on the basis of race, color, religion, sex or national origin in the use of the Premises. Taxes. Lessee shall pay and be liable for any and all leasehold or other taxes which may be assessed pursuant to or resulting from this Lease. 18. Disclaimers AS IS CONDITION. Lessor has made no warranty,express, implied or with regard to suitability for a particular purpose of the Premises nor any fixture nor equipment subject to this Lease. Environmental Hazards. Lessor expressly disclaims any warranty regarding the presence or absence of any environmental hazard on, upon, beneath or within the Premises to include the presence of asbestos or other material. Lessee will not keep or use or permit to be kept or used in or on the premises or any place contiguous thereto any flammable fluids, hazardous substances, explosives or space heaters. For purposes of this Lease, (a) "hazardous substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmental Law"means federal laws and laws of the jurisdiction where the Premises is located that relate to health,safety or environmental protection;(c)"Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Environmental Law; and(d) an "Environmental Condition"means a condition that can cause,contribute to,or otherwise trigger an Environmental Cleanup. Lessee shall not cause or permit the presence, use, disposal, storage, or release of any hazardous substances, or threaten to release any hazardous substances, on or in the Premises or the Building. Lessee shall not do,nor allow anyone else to do,anything affecting the Premises or the Building(a) that is in violation of any Environmental Law,(b)which creates an Environmental Condition,or(c) which, due to the presence, use, or release of a hazardous substance, creates a condition that adversely affects the value of the Premises or the Building. Lessee shall promptly give Lessor written notice of(a)any investigation,claim,demand,lawsuit or other action by any governmental or regulatory agency or private party involving the Premises and any hazardous substance or Environmental Law of which Lessee has actual knowledge, (b) any Environmental Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any hazardous substance, and(c) any condition caused by the presence, use or 8 • release of a hazardous substance which adversely affects the value of the Premises or the Building. If Lessee learns,or is notified by any governmental or regulatory authority,or any private party,that any removal or other remediation of any hazardous substance affecting the Premises or the Building is necessary, Lessee shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lessor for an Environmental Cleanup. 19. Entire Agreement This Lease and the Exhibits attached hereto and forming a part hereof, set forth all the covenants, promises, agreements, conditions, and understandings between Lessor and Lessee concerning the Premises and there are no covenants,promises,agreements,conditions,or understandings,either oral or written, between them other than are herein set forth. No alteration, amendment, change, or addition to this Lease shall be binding upon Lessor or Lessee unless reduced to writing and signed by the party to be charged. IN WITNESS WHEREOF, Lessor and Lessee have signed this Lease as of the day and year first above written. LESSOR: LESSEE: CITY OF ELGIN, ELGIN PUMAS SOCCER CLUB, INC. an Illinois municipal corporation By: B .Sean'Oa ,/ gallCity anager (Y Attest: Attest: City Clerk F\Legal Dept\Agreement\Lease-Elgin Pumas.doc Exhibit A ' \ . . . . . / .. ( . . . . . , . \ � .. � ] Training Room : ] } . 11- I. 1 _UMW ! ■■ ■■ ■ • Fitness Area ] . L , � \ i II . 2 : . , . . . . : ( Pumas S mega • ( ( ] . . , - «^ ] S • tor [ r � �age } Conference Office / Office ] )jPumas / \ Office Space Ei . \ t ,\ 2 ( >d \ � /.. .| City of Elgin Agenda Item No. 1-1 o? ,'!. a II °41TED40'' June 4, 2009 I. ' _ TO: Mayor and Members of the City Council ` W` A cre recnaf,lzi in and FROM: Olufemi Folarin, City Manager �'ur""'•O}vor uni'"`f" `''`;cna Randy Reopelle, Parks and Recr ation Director SUBJECT: Lease Agreement for Office Space with the Elgin Pumas Soccer Club PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider entering into a lease agreement with the Elgin Pumas Soccer Club. RECOMMENDATION It is recommended that the City Council approve a lease agreement with the Elgin Pumas Soccer Club at no charge. BACKGROUND The Elgin Pumas Soccer Club has been in existence for over 18 years. Currently, they have 28 teams in their Recreation League and 19 teams in their Travel League. The program is very strong, growing each and every year they have been in existence. This past year, one of their teams was state champions, regional champions, and was ranked second nationally. The club serves the lower income residents in Elgin by providing a volunteer based program that charges significantly less than other soccer programs in the area. The Pumas use the Eastside Recreation Center (ERC) indoor soccer field as their primary training facility during the winter months paying annual rent revenues of approximately$8,000. They have also used space within the ERC for their offices and storage of equipment during the past ten years. The total space that these two rooms occupy is 620 square feet. This is space that is not currently needed by the ERC. Having the Puma's office located in the ERC is viewed as a benefit as it brings many families into the building, some of which become customers of the ERC. Now that the City has taken over the operation of the ERC, it was determined that their use of the facility should be formalized in a lease agreement. Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 2 COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Elgin Pumas Soccer Club ?t_..._ FINANCIAL IMPACT There will be no charge for the leased programming space used by the Pumas Soccer Club. EGAL IMPACT \1\Jone. ALTERNATIVES 1. The City Council may choose to approve the lease agreement with Elgin Pumas Soccer Club. 2. The City Council may choose not to approve the lease agreement with the Elgin Pumas Soccer Club. Respectfully submitted for Council consideration. rr Attachment 2 • Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 3 COMMERCIAL LEASE AGREEMENT THIS LEASE is hereby made and entered into this day of , 2009, by and between the City of Elgin, an Illinois municipal corporation (hereinafter referred to as the "Lessor"), and the Elgin Pumas Soccer Club, Inc., an Illinois not-for-profit corporation (hereinafter referred to as "Lessee"), and constitutes a lease between the parties of the Premises as identified in the basic lease provisions below, on the terms and conditions and with and subject to the covenants and agreements of the parties hereinafter set forth. WITNESSETH: 1. Basic Lease Provisions The following are certain lease provisions which are part of, and, in certain instances, referred to, in subsequent provisions of this Lease: Term of Lease: Beginni g , 2009 and ending December 31, 2010, les. othe 'se terminated as provided herein. Lessor's Name and Address: City of Elgin 150 Dexter Court, Elgin, Illinois 60120-5555 Lessee's Name and Address: Elgin Pumas Soccer Club, Inc. 1080 East Chicago Street, Elgin, IL 60120 Building: 1080 East Chicago Street, Elgin, Illinois Premises to be Leased within Building: Those portions of the building consisting of approximately 620 square feet identified as "Elgin Pumas Office and Storage Space" as depicted in Exhibit A, dated December 11, 2008, attached hereto and incorporated into this Agreement." Rent: $0 Permitted Use: Office and Storage Security Deposit: None. 2. Grant 3 Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 4 Lessor is leasing the area depicted on Exhibit"A"attached to this Lease and made a part hereof within the building commonly known as 1080 East Chicago Street, Elgin, Illinois (hereinafter referred to as the"Premises")to Lessee in consideration of the rent to be paid and the covenants to be performed by Lessee. 3. Rent Lessee shall be required to pay to the Lessor rent in the amount of$0. 4. Conduct of Business by Lessee Use of Premises. Lessee shall use and occupy the Premises during the continuance of this Lease solely for the Permitted Use set forth in the Basic Lease Provisions, and for no other purpose or purposes without the prior written consent of Lessor. If any governmental license or permit shall be required for the proper and lawful conduct of Lessee's business or other activity carried on in the Premises or if a failure to procure such a license or permit might or would, in any way, affect Lessor or the Premises, then Lessee, at Lessee's expense, shall procure and maintain such license or permit. Lessee shall promptly comply with all laws and ordinances and lawful orders and regulations affecting the Premises and the cleanliness, safety, occupancy, and use of same. Lessee agrees that it will conduct its business in the Premises in a lawful manner and in good faith. Lessee shall not cause or permit the use, generation, storage, or disposal in, on, or about the Leased Premises or the Premises of any substances, materials, or wastes subject to regulation under any Federal, state, or local laws from time to time in effect concerning hazardous, toxic, or radioactive materials. Care of Premises. Lessee shall keep the Premises (including the service areas adjacent to the Premises, windows, and signs) orderly,neat, safe, and clean. 5. Alterations; Lessee and Lessor Alterations Lessee shall not make any alterations to the Premises without the specific written consent of the Lessor. All alterations, decorations, additions, and improvements made by Lessee shall be deemed to have attached to the leasehold and to have become the property of Lessor upon such attachment, and upon expiration of this Lease, Lessee shall not remove any of such alterations, decorations, additions, and improvements. Lessee shall in any event be responsible for repairing any damage caused to the Premises by virtue of any unauthorized alteration, addition, or improvement installed by or on behalf of Lessee. 6. Signs Lessee agrees not to use any advertising media without first receiving written approval from the 4 • Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 5 Lessor. All signage shall be professionally prepared and Lessee further agrees to maintain any such sign, awning, canopy, decoration, lettering, advertising matter, or other thing, as may be approved, in good condition and repair at all times. 5 Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 6 7. Maintenance of Leased Premises Lessor shall provide at its cost for the maintenance of the Premises. Notwithstanding the foregoing, in the event any maintenance or repairs are necessary for any damage to the Premises caused by an act of omission of the Lessee and/or its officers, employees, agents and/or invitees, the costs to repair such damage shall be paid for by the Lessee. Additionally, Lessee shall at its cost keep and maintain the Premises in a clean, sanitary and safe condition in accordance with all applicable legal requirements. Lessee further agrees to comply with any and all requirements of the insurance underwriters insuring the Premises. Lessor also shall maintain the exterior of the Building as well as the Building's mechanical systems and its exterior and interior common areas. 8. Insurance As additional rent for the Premises, Lessee shall procure and maintain policies of insurance written in occurrence form, at its own cost and expense, insuring: A. Lessor and Lessee from all claims, demands or actions for injury to or death of any person in an amount of not less than $1,000,000.00, for injury to or death of more than one person in any one occurrence and an umbrella liability policy in an amount of not less than $1,000,000.00, and for damage to property in an amount of not less than $500,000.00 made by, or on behalf of, any person or persons, firm or corporation arising from, related to or connected with the Premises. B. Lessee from all worker's compensation claims. C. All contents, and Lessee's trade fixtures, machinery, equipment, furniture and furnishings in the Premises to the extent of at least ninety percent (90%) of their replacement cost under standard fire and extended coverage insurance, including, without limitation, vandalism and malicious mischief. The aforesaid insurance shall be in companies and in form, substance and amount (where not stated above) satisfactory from time to time to Lessor. The aforesaid insurance shall not be subject to cancellation except after at least thirty (30) days prior written notice to Lessor. The original insurance policies (or certificate thereof satisfactory to Lessor) together with satisfactory evidence of payment of the premiums thereon, shall be deposited with Lessor at the beginning date of this Lease, and renewals thereof not less than thirty (30) days prior to the end of the term of each such coverage. Lessee shall provide Lessor with a Certificate of Insurance naming Lessor as an additional insured party indicating the above coverage on an annual basis. 9. Covenant to Hold Harmless 6 Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 7 To the fullest extent permitted by law, Lessee agrees to indemnify, defend and hold harmless Lessor, its officers, employees, boards and commissions from and against any and all claims, suits judgments, costs, attorney's fees, damages or other relief arising out of or resulting from or through or alleged to arise out of any reckless or negligent acts or omissions of Lessee's officers, employees or agents in the performance of this agreement. In the event of any action against the Lessor, its officers, employees, agents, boards or commissions covered by the foregoing duty to indemnify, defend and hold harmless, such action shall be defended by legal counsel of the Lessor's choosing. The provisions of this section shall survive any expiration and/or termination of this Lease. 10. Utility Charges Lessor shall be solely responsible for and promptly pay all charges for water, gas, heat, electricity, sewer, and any other utility used upon or furnished to the Premises, provided, however, that Lessee shall be solely responsible for the provision and payment of telephone services for the Premises. 11. No Assignment or Subletting Lessee agrees not to assign or in any manner transfer this Lease or any estate or interest therein without the prior written consent of Lessor, and not to sublet the Premises or any part or parts thereof or allow anyone to come in with, through, or under it without like consent. It is understood and agreed that Lessor's consent hereunder(and wherever else in this Lease required, unless specifically provided to the contrary) may be arbitrarily withheld, notwithstanding any statutory or other provisions of law to the contrary. 12. Waste and Nuisance Lessee shall not commit or suffer to be committed any waste upon the Premises or any nuisance or other act or thing which may disturb the quiet enjoyment of any other Lessee in the Building. Lessee shall not use or permit to be used any medium that might constitute a nuisance, such as loudspeakers, sound amplifiers, phonographs, radios, televisions, or any other sound producing device which will carry sound outside the Premises. 13. Destruction of Leased Premises In case the Premises shall be rendered untenable by fire, explosion or other casualty, Lessor may, at its option, terminate this Lease or repair the Premises within sixty days. If Lessor does not repair the Premises within said time, or the Building shall have been wholly destroyed, the term hereby created by the Lease shall cease and determine. 14. Default of the Lessee 7 Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 8 Definition of Event of Default. Each of the following shall be deemed an event of default: (i) Lessee's failure to make payment of rent or other charges as provided in this Lease; (ii) Lessee's failure to perform any of the covenants, terms, conditions, or provisions of this Lease; (iii) if a petition is filed by or against Lessee for relief under the bankruptcy laws, or Lessee shall make an assignment for the benefit of creditors, or if a receiver of any property of the Lessee be appointed in any action, suit, or proceeding by or against Lessee, or if Lessee shall admit that it is insolvent, or it is generally not paying its debts as such debts become due, or if the interest of Lessee in the premises shall be sold under execution or other legal process; (iv) Lessee vacates or abandons the premises; (v) this Lease or the Premises or any part of the Premises are taken upon execution or by other process of law directed against Lessee, or are taken upon or subject to any attachment at the instance of any creditor or claimant against Lessee, and the attachment is not discharged or disposed of within fifteen (15) days after its levy; (vi) Lessee is dissolved. Notwithstanding anything herein to the contrary, Lessee shall not be entitled to more than one (1) notice for monetary defaults during any twelve (12) month period, and if after such notice any monetary default of any kind is not paid when due, an event of material default will be considered to have occurred without further notice. Upon the occurrence of an event of default, Lessor shall have the right to terminate the Lease and shall be entitled to possession of the Premises. Lessor may make its election to terminate known to Lessee by delivery of a notice of termination. Such termination shall be immediately effective and Lessor shall be entitled to forthwith commence an action in summary proceedings to recover possession of the Premises, but such termination shall not terminate Lessee's liabilities hereunder. Lessee waives all notice in connection with such termination, including by way of illustration, but not limitation, notice of intent to terminate, demand for possession or payment, and notice of re-entry. No receipt of money by the Lessor from the Lessee after the termination of this Lease shall reinstate, continue, or extend the term, nor affect or waive any notice given by the Lessor to the Lessee prior to such receipt of money. Right to Re-Enter. If the event of default is for any monetary default, Lessor may, as an alternative to terminating the Lease, serve a notice for possession or payment. Lessor shall be entitled to possession of the Premises and Lessee shall have no further right to possession under the Lease, but Lessee shall not be relieved of any of its liability hereunder. Lessee shall remain liable to Lessor for the payment of all charges which Lessee has agreed to pay under this Lease throughout the remainder of its term. Should Lessor elect to re-enter, as herein provided, it may from time to time, without terminating this Lease, make such alterations and repairs as may be necessary in order to relet the Premises, and relet said Premises or any part thereof for such term or terms (which may be for a term extending beyond the term of this Lease) and at such rental or rentals and upon such other terms and conditions as Lessor in its sole discretion may deem advisable. Notwithstanding anything herein to the contrary, Lessor may, without demand or notice, re-enter and take possession of the Premises or any part of the Premises, repossess the same, expel Lessee and those claiming through or under Lessee, and remove the effects of both or either, using such force for such purposes as may be necessary, without being liable for 8 • Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 9 prosecution, without being deemed guilty of any manner of trespass, and without prejudice to any remedies for arrears of amounts payable under this Lease or as a result of any preceding breach of covenants or conditions. Other Remedies. The Lessor's rights, remedies, and benefits provided by this Lease shall be cumulative, and shall not be exclusive of any other rights, remedies and benefits allowed by law. Estoppel. The parties agree that they shall rely solely upon the terms of this Lease to govern their relationship. They further agree that reliance upon any representation, act, or omission outside the terms of this Lease shall be deemed unreasonable, and shall not establish any rights or obligations on the part of either party. Independent Covenant. Notwithstanding anything to the contrary, Lessee acknowledges and agrees that its obligation to pay rent under this Lease is an independent covenant, and that such obligation to pay rent is not subject to set off or recoupment in connection with any action for summary proceedings to recover possession of the Premises. 15. Bankruptcy or Insolvency In the event that a trustee is appointed for Lessee or by Lessee as Debtor-in-Possession, Lessee is liquidated or files a subsequent petition for reorganization or adjustment of debts under the Bankruptcy Code, Lessee be adjudicated a bankrupt, insolvent, or placed in receivership, or should any proceedings be instituted by or against the Lessee for bankruptcy, insolvency, receivership, agreement of composition, or assignment for the benefit of creditors, or if this Lease or the estate of the Lessee hereunder shall pass to another by virtue of any court proceedings, writ of execution, levy, sale or by operation of law, then, and in any of such events, Lessor may, at its option, terminate this Lease and all rights of Lessee hereunder, by giving five (5) days Notice of its election to so terminate to Lessee, or to any trustee, receiver, assignee, or other person in charge of or acting as custodian of the assets or property of the Lessee. Upon the giving of such Notice, this Lease and the term hereof shall end on the date fixed in such Notice, or if no such date is fixed, five (5) days following the proper dispatch of such Notice, and the Lessor shall have the right to remove all persons, goods, fixtures, and chattels from the Premises by force or otherwise, without liability for damages, and all the other rights permitted under this Lease in the event of a default. 16. Access By Lessor Lessor or Lessor's agent shall have the right to enter the Premises at all reasonable times to examine same, and to show them to prospective purchasers or mortgagees, and to make such repairs, alterations, improvements, or additions as Lessor may deem necessary or desirable. 17. Miscellaneous 9 Lease Agreement with the Elgin Pumas Soccer Club June 4,2009 Page 10 Voluntary Termination of Lease by Lessor. Lessor may at its sole discretion, notwithstanding any provision herein, terminate this Lease, provided, however, that Lessor first provide thirty (30) days written notice to Lessee to vacate the Premises. Waiver. One or more waivers of any covenant, term, condition, or provision of the Lease by either party shall not be construed as a waiver of a subsequent breach of the same covenant, term, condition, or provision, and the consent or approval by Lessor to or of any act by Lessee requiring Lessor's consent or approval shall not be deemed a waiver of Lessor's consent or approval to or of any subsequent similar act by Lessee. No breach of a covenant, term, condition, or provision of this Lease shall be deemed to have been waived by Lessor, unless such waiver(i) is in writing signed by Lessor, (ii) identifies the breach, and (iii) expressly states that it is a waiver of the identified breach. Observance of Lessor's Rules and Regulations. Lessee shall keep and observe such reasonable rules and regulations now or hereafter required by Lessor, which may be necessary for the proper and orderly care of the Premises and the Building. No Partnership. This Agreement shall not be construed so as to create a joint venture, partnership, employment or other agency relationship between the parties hereto. Construction. Whenever herein the singular number is used, the same shall include the plural, and the masculine gender shall include the feminine and neuter genders. The captions, section numbers, article numbers, and index appearing in this Lease are inserted only as a matter of convenience and in no way define, limit, construe, or describe the scope or intent of such sections or articles of this Lease nor in any way affect this Lease. All ambiguities shall be construed against Lessee. Notice. Any notice, demand, request, consent, approval, or other instrument which may be or is required to be given under this Lease shall be sent by overnight courier or United States certified mail return receipt requested, postage prepaid, and shall be addressed to the addresses and persons set forth hereunder: Elgin Pumas Soccer Club, Inc. Olufemi Folarin 1080 East Chicago Street City Manager Elgin, IL 60120 150 Dexter Court Elgin, IL 60120-5555 With a copy to: William A. Cogley, Corporation Counsel Recording. Lessee shall not record this Lease without the consent of Lessor, which may be withheld for any reason whatsoever, in Lessor's absolute discretion. 10 Lease Agreement with the Elgin Pumas Soccer Club June 4, 2009 Page 11 Governing Law. This agreement shall be subject to and governed by the laws of the State of Illinois. Venue for the resolution of any disputes or the enforcement of any rights pursuant to this agreement shall be in the Circuit Court of Kane County, Illinois. Notwithstanding anything to the contrary in this Lease, and to the fullest extent permitted by law, no action shall be asserted or maintained by the Lessee against the Lessor for monetary damages. Severability. The terms of this Lease agreement shall be severable. In the event any of the terms or provisions of this agreement are deemed to be unenforceable for any reason, the remainder of this agreement shall remain in full force and effect. Partial Invalidity. If any provision of this Lease or the application thereof to any person or circumstances shall, to any extent, be invalid or unenforceable, the remainder of this Lease shall not be affected thereby and each provision of the Lease shall be valid and enforceable to the fullest extent permitted by law, and the remaining provisions of this Lease shall be interpreted so as to nearly as possible conform to the intent of the parties as indicated in this Lease. Corporate Name. Lessee shall retain the use of the word "Elgin" in its corporate name during the term of this Lease. Tax Exempt Status. Lessee hereby warrants and represents that it is a tax exempt organization as defined by the Internal Revenue Service Code Section 501C. Lessee shall notify the Lessor in writing within thirty (30) days of any change in the Lessee's tax status. In the event the Lessee's tax status changes during the term of this Lease, or in the event of the dissolution of Lessee, the Lessor may terminate this Lease upon thirty (30) days written notice to Lessee, and the Lessor shall have no further obligations hereunder. No Discrimination. Lessee shall not discriminate on the basis of race, color, religion, sex or national origin in the use of the Premises. Taxes. Lessee shall pay and be liable for any and all leasehold or other taxes which may be assessed pursuant to or resulting from this Lease. 18. Disclaimers AS IS CONDITION. Lessor has made no warranty, express, implied or with regard to suitability for a particular purpose of the Premises nor any fixture nor equipment subject to this Lease. Environmental Hazards. Lessor expressly disclaims any warranty regarding the presence or absence of any environmental hazard on, upon, beneath or within the Premises to include the presence of asbestos or other material. 11 Lease Agreement with the Elgin Pumas June 4, 2009 Page 12 Lessee will not keep or use or permit to be kept or used in or on the premises or any place contiguous thereto any flammable fluids, hazardous substances, explosives or space heaters. For purposes of this Lease, (a) "hazardous substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmental Law" means federal laws and laws of the jurisdiction where the Premises is located that relate to health, safety or environmental protection; (c) `Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Environmental Law; and (d) an `Environmental Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Lessee shall not cause or permit the presence, use, disposal, storage, or release of any hazardous substances, or threaten to release any hazardous substances, on or in the Premises or the Building. Lessee shall not do, nor allow anyone else to do, anything affecting the Premises or the Building (a) that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a hazardous substance, creates a condition that adversely affects the value of the Premises or the Building. Lessee shall promptly give Lessor written notice of(a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the Premises and any hazardous substance or Environmental Law of which Lessee has actual knowledge, (b) any Environmental Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any hazardous substance, and (c) any condition caused by the presence, use or release of a hazardous substance which adversely affects the value of the Premises or the Building. If Lessee learns, or is notified by any governmental or regulatory authority, or any private party, that any removal or other remediation of any hazardous substance affecting the Premises or the Building is necessary, Lessee shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lessor for an Environmental Cleanup. 19. Entire Agreement This Lease and the Exhibits attached hereto and forming a part hereof, set forth all the covenants, promises, agreements, conditions, and understandings between Lessor and Lessee concerning the Premises and there are no covenants, promises, agreements, conditions, or understandings, either oral or written, between them other than are herein set forth. No alteration, amendment, change, or addition to this Lease shall be binding upon Lessor or Lessee unless reduced to writing and signed by the party to be charged. Lease Agreement with the Elgin Pumas June 4,2009 Page 13 IN WITNESS WHEREOF, Lessor and Lessee have signed this Lease as of the day and year first above written. LESSOR: LESSEE: CITY OF ELGIN, ELGIN PUMAS SOCCER CLUB, INC. an Illinois municipal corporation By: By: Olufemi Folarin, City Manager Attest: Attest: City Clerk F:'Legal Dept\Agreement\Lease-Elgin Pumas.doc . _ .::::::x _ )::it A - • i. 1 1 ., i , ,, , I, --, . , ,-- 1, ,, . ..J 1 , Training Room I 1 1 I . 1 i t IN i 11 1 .1 11181 1 li I t . i Fitness Area I' 4 il re 1 1 11 1 i i il ---1 1 1 1 1 1 72;.• i - : 1 i • . .... .:.'i g i 11 ''FilP/810$1096' Pat.,, g• ' ._-=,... - ' 1„,,„.,=.,,. ..r.,c...•.---••- ___--=-.=,... .-..... ..... .1 Ei I 1 . P.="."...... '.'•`=°".1 Stor I Conference Office i ': r 4;. ::,',..': Office ; , ::$6 ;- --- lit i Ti $ -,,, an --11 •-----....,.---,. N r City of Elgin Memorandum °leirEDF��^' Date: July 27, 2009 To: Randy Reopelle, Parks and Recreation Director From: Jennifer Quinton, Deputy City Clerk Subject: Resolution No. 09-166, Adopted at the July 22, 2009, Council Meeting Enclosed you will find the agreement listed below. Please retain a copy for your records. If you have any questions please feel free to contact our office 847-931-5660 and we will do our best to assist you. Thank you. • Commercial Lease Agreement with the Elgin Pumas Soccer Club, Inc. (1080 East Chicago Street)