Record #: O2014-4249   
Type: Ordinance Status: Passed
Intro date: 5/28/2014 Current Controlling Legislative Body: Committee on Housing and Real Estate
Final action: 6/25/2014
Title: Lease agreement with Chicago Park District for use of property at 6871 W Belden Ave
Sponsors: Emanuel, Rahm
Topic: AGREEMENTS - Lease
Attachments: 1. O2014-4249.pdf
OFFICE  OF THE MAYOR
CITY OF CHICAGO
RAHM EMANUEL
MAYOR
May 28, 2014
 
 
 
 
 
 
 
 
 
TO THE HONORABLE, THE CITY COUNCIL OF THE CITY OF CHICAGO
 
 
Ladies and Gentlemen:
 
At the request of the Commissioner of Fleet and Facility Management, I transmit herewith ordinances authorizing the execution of access, license and lease agreements.
 
Your favorable consideration of these ordinances will be appreciated.
 
Mayor
 
Very truly yours,
 
ORDINANCE
 
 
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO:
 
 
SECTION 1: On behalf of the City of Chicago, the Commissioner of the Department of Fleet and Facility Management is authorized to execute a Lease with the Chicago Park District, governing the City's use of property located at 6871 West Belden Avenue by the Chicago Public Library, payment of rent, and indemnification; such Lease to be approved by the Commissioner of the Chicago Public Library and approved as to form and legality by the Corporation Counsel in substantially the following form:
 
LEASE NO. 19052
 
LEASE
 
THIS LEASE is made and entered into this      day of      , 2014
(the "Effective Date"), by and between, THE CHICAGO PARK DISTRICT, a body politic and corporate and unit of local government (hereinafter referred to as the "District") and, THE CITY OF CHICAGO, a municipal corporation and home rule unit of government (hereinafter referred to as the "City").
 
RECITALS
 
WHEREAS, the District is the owner of the Sayre Park Field House (the "Building") located at 6871 West Belden Avenue, Chicago, Cook County, Illinois; and
 
WHEREAS, the District has agreed to lease to the City, and the City has agreed to lease from the District, the Community/Library Room located in the northeast portion of the Building and comprised of approximately 420 square feet of space for use as the Galewood-Montclare branch of the Chicago Public Library; and
 
WHEREAS, the Illinois Intergovernmental Cooperation Act (5 ILCS 220 el. seq.) authorizes municipalities and other branches of government to collaborate jointly in the effective delivery of public services.
 
NOW THEREFORE, in consideration of the covenants, terms and conditions set forth herein, the parties hereto agree and covenant as follows:
 
SECTION 1. GRANT
 
The District hereby leases to the City the following described premises situated in the City of Chicago, County of Cook, State of Illinois, to wit:
 
The Community/Library Room comprised of approximately 420 square feet of space located in the northeast portion of 6871 West Belden Avenue, Chicago, Cook County, Illinois (part of PIN # 13-31-116-002 -the "Premises").
 
SECTION 2. TERM
 
The term of this Lease (the "Term") shall commence on the Effective Date and shall end on December 31, 2016 unless sooner terminated as set forth in this Lease.
 
SECTION 3. RENT, TAXES. AND UTILITIES
 
3.1      Rent. The City shall pay the District rent for use of the Premises in the amount
of:
 
 
 
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LEASE NO. 19052
 
One Dollar ($1.00) for the entire Term, the receipt and sufficiency of said sum being herewith acknowledged by both parties.
  1. Utilities and Other Services. The District shall provide and pay for water, electricity, and gas for the Building. The City shall pay when due all charges for, telephone, cable, alarm systems, and all other communication systems that may be charged to the Premises during, or as a result of, the City's occupancy of the Premises.
  2. Leasehold Taxes. To the extent that the City is not exempt from taxes or fees, the City shall pay when due any and all leasehold taxes or other taxes assessed or levied on the Premises assessed on or after the date of occupancy and in connection with this Lease or the City's use of the Premises. The City shall cooperate with the District in resolving any leasehold or other tax issues that may arise from the City's occupancy. The City shall not be responsible for any taxes assessed against third parties or the District's use or ownership of the Building or any portion thereof.
 
SECTION 4. ENJOYMENT  OF  PREMISES,  ALTERATIONS   AND ADDITIONS, SURRENDER
  1. Covenant of Quiet Enjoyment. The District covenants and agrees that the City, upon observing and keeping the covenants, agreements and conditions of the Lease on its part to be kept, observed and performed, shall lawfully and quietly hold, occupy and enjoy the Premises (subject to the provisions of the Lease) during the Term without hindrance or molestation by the District or by any person or persons claiming under the District.
  2. The District's Duty to Maintain Premises and Right of Access. The District shall take reasonable efforts to maintain the Building and the Premises in a condition of good repair and good order and in compliance with all applicable provisions of the Municipal Code of Chicago. The District shall have the right of access to the Premises for the purpose of inspecting and making repairs to the Premises, provided that, except in the case of emergencies, the District shall first give notice to the City of the District's desire to enter the Premises, or any portion thereof, and the District will schedule the District's entry so as to minimize any interference with the City's use of Premises.
  3. Use of the Premises. The City shall not use the Premises in a manner that would violate any law. The City further covenants not to do or suffer any waste or damage, comply in all respects with the laws, ordinances, orders, rules, regulations, and requirements of all federal, state and municipal governmental departments which may be applicable to the Premises or to the use or manner of use of the Premises. Any activities on the Premises must be limited to use as public library branch. The promotion and operation of a public library branch does not include direct or indirect participation or intervention in political campaigns on behalf of, or in opposition to, any candidate for public office. The City shall not use said Premises for political or religious activities. The City agrees that it in providing programming on the Premises the City shall not discriminate against any member of the public because of race, creed, religion, color, sexual orientation, or national origin.
 
 
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LEASE NO. 19052
 
4.4 Alterations and Additions. The City may make alterations, additions, and improvements to the Premises but only with the prior written approval of the District. The District shall not unreasonably withhold consent. Any such alterations and additions shall be made in full compliance with any applicable codes, laws, or standards.
 
SECTION 5. ASSIGNMENT AND LIENS
  1. Assignment. The City shall not assign the Lease in whole or in part, or sublet the Premises or any part thereof without the prior written consent of the District in each instance. The District shall not unreasonably withhold such consent.
  2. The City's Covenant against Liens. The City shall not cause or permit any lien or encumbrance, whether created by act of the City, operation of law or otherwise, to attach to or be placed upon the District's title or interest in the Premises and/or the Building.
 
SECTION 6. INSURANCE AND INDEMNIFICATION
  1. Indemnification. Subject to allocation of adequate appropriations and other applicable legislative procedures, approvals, and requirements, the City shall indemnify, defend, and hold the District harmless against all liabilities, judgments, amounts paid in settlement, arbitration or mediation awards, costs, damages, and expenses (including reasonable attorney's fees, expenses, and court costs), whether such claim is related to or arises from personal injury or property damage which may be expended by or accrue against, be charged to, or be recovered from the District by reason of the City's performance of or failure to perforin any of the City's obligations under this Lease or the City's negligent acts or failure to act, or resulting from the acts or failure to act of the City's contractors, respective officers, directors, agents, employees, or invitees or any liabilities, judgments or settlements that may arise from any access to the Premises by the City's invitees or any third parties.
  2. Self-Insurance. The City is self-insured and will provide the District with a letter executed by an authorized official indicating that the City is self-insured. This letter shall be provided to the District on an annual basis.
 
SECTION 7. CONFLICT OF INTEREST AND GOVERNMENTAL ETHICS
  1. Conflict of Interest. No official or employee of the City of Chicago, nor any member of any board, commission or agency of the City of Chicago, shall have any financial interest (as defined in Chapter 2-156 of the Municipal Code), either direct or indirect, in the Premises. Nor shall any such official, employee, or member participate in making or in any way attempt to use his/her position to influence any governmental decision or action with respect to this Lease.
  2. Duty to Comply with Governmental Ethics Ordinance. The City and the District shall comply with Chapter 2-156 of the Municipal Code of Chicago, "Governmental Ethics," including but not limited to section 2-156-120, which states that no payment, gratuity, or offer of employment shall be made in connection with any City of Chicago contract, as an inducement
 
 
LEASE NO. 19052
 
for the award of that contract or order. Any contract or lease negotiated, entered into, or performed in violation of any of the provisions of Chapter 2-156 shall be voidable as to the City.
 
SECTION 8. HOLDING OVER
 
8.1 Holding Over. Any holding over by the City shall be construed to be a tenancy from month to month beginning on January 1, 2017 (the "Holding Over") and the rent shall be the same as listed in Section 3.1 of this Lease. During such Holding Over all other provisions of this Lease shall remain in full force and effect.
 
SECTION 9. MISCELLANEOUS
 
9.1 Notice. All notices, demands or requests which may be or are required to be given, demanded or requested by either party or to the other shall be in writing. All notices, demands and requests to the City shall be delivered by national overnight courier or shall be by United States registered or certified mail, return receipt requested, postage prepaid, addressed to the City as follows:
Chicago Public Library Attn: Commissioner's Office 400 South State Street, 10th Floor Chicago, Illinois 60605
 
With a copy to:
 
The City of Chicago
Department of Fleet and Facility Management Office of Real Estate Management 30 North LaSalle - Room 300 Chicago, Illinois 60602
 
or at such other places as the City may from time to time designate by written notice. All notices, demands and requests to the District shall be delivered by national overnight courier or shall be by United States registered or certified mail, return receipt requested, postage prepaid, addressed to the District as follows:
 
Chicago Park District
Attention: General Counsel
541 North Fairbanks Court, 7n Floor
Chicago, Illinois 60611
 
or at such other place as the District may from time to time designate by written notice. Any notice, demand or request which shall be served upon to any party, in the manner aforesaid, shall be deemed to be sufficiently served or given for all purposes hereunder at the time such notice, demand or request shall be mailed.
 
 
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LEASE NO. 19052
  1. Partial Invalidity. If any covenant, condition, provision, term or agreement of this Lease shall, to any extent, be held invalid or unenforceable, the remaining covenants, conditions, provisions, terms and agreements of this Lease shall not be affected thereby, but each covenant, condition, provision, term or agreement of this Lease shall be valid and in force to the fullest extent permitted by law.
  2. Governing Law. This Lease shall be governed by and construed in accordance with the internal laws of the State of Illinois, without regard to the principles of conflicts of law thereof. If there is a lawsuit under this Lease, each party agrees to submit to the jurisdiction of the courts of Cook County, the State of Illinois and the United States the District Court for the Northern the District of Illinois.
  3. Entire Agreement. All preliminary and contemporaneous negotiations are merged into and incorporated in this Lease. This Lease contains the entire agreement between the parties and shall not be modified or amended in any manner except by an instrument in writing executed by the parties hereto.
  4. Captions and Section Numbers. The captions and section numbers 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 of this Lease nor in any way affect this Lease.
  5. Binding Effect of Lease. The covenants, agreements, and obligations contained in this Lease, shall extend to, bind, and insure to the benefit of the parties and their representatives, heirs, successors, and assigns.
  6. Time is of the Essence. Time is of the essence of this Lease and of each and every provision hereof.
  7. No Principal/Agent or Partnership Relationship. Nothing contained in this Lease shall be deemed or construed by the parties hereto or by any third party as creating the relationship of principal and agent or of partnership or of joint venture between the parties hereto.
  8. Authorization to Execute Lease. The parties executing this Lease hereby represent and warrant that they are the duly authorized and acting representatives of the City and the District respectively and that by their execution of this Lease, it became the binding obligation of the City and (he District respectively, subject to no contingencies or conditions except as specifically provided herein.
  9. Termination of Lease. The City and the District shall have the right to terminate this Lease for any reason without penalty at any time by providing the other party with sixty (60) days prior written notice.
  10. Force Majeure. When a period of time is provided in this Lease for either Party to do or perform any act or thing, the Party shall not be liable or responsible for any delays due to strikes, lockouts, casualties, acts of God, wars, governmental regulation or control, and other
 
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LEASE NO. 19052
 
causes beyond the reasonable control of the Party, and in such event the time period shall be extended for the amount of time the Party is so delayed.
  1. Amendments. From time to time, the parties hereto may administratively amend this Lease with respect to any provisions reasonably related to the City's use of the Premises and/or the District's administration of this Lease. Provided, however, that such amendment(s) shall not serve to extend the Term hereof nor serve to otherwise materially alter the essential provisions contained herein. Such amendment(s) shall be in writing, shall establish the factual background necessitating such alteration, shall set forth the terms and conditions of such modification, and shall be duly executed by both the City and the District. Such amendment(s) shall only take effect upon execution by both Parties. Upon execution, such amendment(s) shall become a part of this Lease and all other provisions of this Lease shall otherwise remain in full force and effect.
  2. No Personal Liability. No elected or appointed official or member or employee or agent of the City or the District shall be individually or personally liable in connection with this Lease because of their execution or attempted execution or because of any breach hereof. This limitation on liability survives any termination or expiration of this Lease.
  3. No Construction against Preparer. This Lease shall not be interpreted in favor of either the City or the District. The City and the District acknowledge that both parlies participated fully in the mutual drafting of this Lease.
  4. District Responsibilities for the Park. As part of the District's standard responsibilities, the District shall perform snow and ice removal from the park sidewalks including the sidewalks at the front of the Building. As part of the District's standard responsibilities, the District shall perform landscaping for the Park including the areas that immediately abut the Building.
 
SECTION 10. ADDITIONAL CITY RESPONSIBILITIES
  1. Satisfaction with Condition. The City has inspected the Premises and all related areas and grounds and the City is satisfied with the physical condition thereof. The City agrees to accept the Premises "as is," "where is," and "with all faults."
  2. Air-Conditioning. The City acknowledges that the Building does not have an air conditioning system. The City may elect to supply, repair, and replace portable window units to provide air-conditioning to the Premises.
  3. Custodial Services. The City shall maintain the Premises in a clean, orderly, and presentable condition.
  4. Security. The City shall secure the Premises. The District shall secure the Building.
 
 
 
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LEASE NO. 19052
  1. Repairs for Negligence. Vandalism, or Misuse. The City shall assume all responsibility for any repairs to any portion of the Premises or the Building necessitated by the negligence, vandalism, misuse, or other acts on any portion of the Premises by the City's employees, clients, invitees, agents, contractors, invitees, or third parties.
  2. Illegal Activity. The City, or any of its agents or employees, shall not perform or permit any practice that is injurious to the Premises or Building, is illegal, or increases the rate of insurance on the Premises or Building.
  3. Hazardous Materials. The City shall keep out of the Premises materials which cause a fire hazard or safety hazard and shall comply with reasonable requirements of the District's fire insurance carrier. The City shall not destroy, deface damage, impair, nor remove any part of the Premises or facilities, equipment or appurtenances thereto.
  4. No Alcohol or Drugs. The City shall ensure that no alcoholic beverages or illegal drugs of any kind or nature shall be sold, given away, or consumed on the Premises.
  5. Fire Extinguishers. The City shall provide fire extinguishers for the Premises as required by any applicable laws.
  6. No Substitute for Required Permitting. For any activity which the City desires to conduct on the Premises and for which a license or permit is required, said license or permit must be obtained by the City prior to using the Premises for such activity. The District must be notified of any such license or permit. Failure to obtain a required license or permit shall constitute a breach of the terms of this Lease. The City understands that this Lease shall not act as a substitute for any other permitting or approvals that may be required to undertake activities on the Premises.
  7. Condition upon Termination. Upon termination of this Lease, the City shall surrender the Premises to the District in a comparable condition to the condition of the Premises at the beginning of the City's occupancy, with normal wear and tear taken into consideration.
  8. Trade Fixtures. Upon the termination of this Lease, the City shall remove or demolish the City's property, equipment, and trade fixtures from the Premises. Provided, however, that the City shall repair any injury or damage to the Premises or the Building which may result from such removal or demolition. If the City does not remove the City's property, equipment, and trade fixtures and all other items of property from the Premises upon termination, the District may, at its option, remove the same and deliver them to any other place of business of the City or warehouse the same. In such event, the City shall pay to the District the cost of removal, including the repair for such removal, delivery and warehousing. In the alternative, the District may treat such property as being conveyed to the District with this Lease acting as a bill of sale, without further payment or credit by the District to the City.
  9. No Other Rights. This Lease does not give the City any other right with respect to the Premises or the Building. Any rights not specifically granted to the City by and through this
 
 
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LEASE NO. 19052
 
Lease are reserved exclusively to the District. Execution of this Lease does not obligate District in any manner and the District shall not undertake any additional duties or services.
 
 
 
 
 
 
 
 
 
 
 
 
 
[SIGNATURES APPEAR ON THE FOLLOWING PAGE]
 
LEASE NO. 19052
 
IN WITNESS WHEREOF, the parties have executed this Lease as of the Effective
Date.
 
CITY OF CHICAGO,
an Illinois municipal corporation and home rule unit of government
 
DEPARTMENT OF FLEET AND FACILITY MANAGEMENT
 
By:      
Commissioner
CHICAGO PUBLIC LIBRARY
Commissioner
CHICAGO PUBLIC LIBRARY BOARD OF DIRECTORS
By:      
President
APPROVED AS TO FORM AND LEGALITY: BY: THE DEPARTMENT OF LAW
By:      
 
By:
 
Deputy Coiporation Counsel - Real Estate Division
 
 
 
CHICAGO PARK DISTRICT,
a body politic and corporate and unit of local government
BY: CHICAGO PARK DISTRICT
By:      
General Superintendent
 
 
 
Approved as to legal form:
 
 
General Counsel Chicago Park District
 
 
 
 
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6871 West Belden Avenue Chicago Public Library Lease No. 19052
 
SECTION 2:
passage and approval.
 
 
This Ordinance shall be effective from and after the date of its