HomeMy WebLinkAboutReso 2024-3660RESOLUTION 2024 -
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH,
FLORIDA, APPROVING AN AMENDED RENTAL AGREEMENT BETWEEN THE CITY
OF SUNNY ISLES BEACH AND LA PLAYA BEACH ASSOCIATES, LLC. FOR THE
PROPERTY LOCATED AT 215 185 STREET, SUNNY ISLES BEACH, FLORIDA, , IN
SUBSTANTIALLY THE FORM ATTACHED HERETO AS EXHIBIT "A"; AUTHORIZING
THE MAYOR TO EXECUTE SAID RENTAL AGREEMENT; AUTHORIZING THE CITY
MANAGER TO DO ALL THINGS NECESSARY TO EFFECTUATE THE TERMS OF THIS
RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on April 18, 2024, via Resolution No. 2024-3653, the City Commission of the
City of Sunny Isles Beach (the "City") approved a Rental Agreement with La Playa Beach
Associates, LLC. ("La Playa") for leasing of the property located at 215 185 Street ("The Spot");
and
WHEREAS, the City Manager and La Playa re -negotiated certain terms of the Rental
Agreement; and
WHEREAS, the City Commission wishes to approve an amended Rental Agreement
between the City and La Playa, in substantially the form attached hereto as Exhibit "A".
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF SUNNY
ISLES BEACH, FLORIDA, AS FOLLOWS:
Section 1. Approval of Amendment. The City Commission hereby approves the amended
Rental Agreement between the City of Sunny Isles Beach and La Playa Beach Associates, LLC.,
of the of a portion of the property located at 215 185 Street, Sunny Isles Beach, Florida, in
substantially the form attached hereto as Exhibit "A".
Section 2. Authorization of Mayor. The Mayor is hereby authorized to execute said amended
Rental Amendment.
Section 3. Effective Date. This Resolution shall become effective immediately upon
adoption.
PASSED AND ADOPTED on first reading this 16th day of May, 2024.
r
ari Svechin, Mayor
R2024 First Amend to Lease Agreement of 215 185 Street FINAL Page 1 of 2
ATTEST:
Milt W�llijIIPAI. !•
MEM.,
AS TO FORM
AND LEGAL SUFFICIENCY:
Y&"4444�
AI in E. Boileau, for Nabors, Giblin
& Nickerson, P.A., City Attorney
Moved by:a v �=� Seconded by:
Vote:
Mayor Svechin
Vice Mayor Lama
Commissioner Joseph
Commissioner Stuyvesant
Commissioner Viscarra
-� (Yes)
(No)
(Yes)
(No)
(Yes)
(No)
(Yes)
(No)
(Yes)
(No)
R2024 First Amend to Lease Agreement of 215 185 Street FINAL Page 2 of 2
LEASE AGREEMENT
THIS LEASE AGREEMENT ("Lease"), is made and entered into this '5041 day of May,
2024 (the "Effective Date"), by and between:
CITY OF SUNNY ISLES BEACH, a municipal corporation
organized under the laws of the State of Florida, whose principal
address is 18070 Collins Avenue, FL 33160 (hereinafter "LESSOR"
or "CITY"),
LA PLAYA BEACH ASSOCIATES, LLC, a foreign limited
liability company organized under the laws of the State of Delaware,
whose principal address is 1300 Brickell Avenue, Miami, FL 33131
(hereinafter "LESSEE").
In consideration of the mutual covenants exchanged herein and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the LESSOR and
LESSEE agree as follows:
1. Premises. LESSOR hereby leases to LESSEE, and LESSEE hereby leases from
LESSOR, the following described premises:
(a) Certain interior portions of the temporary structure located at 215 185th Street,
Sunny Isles Beach, Florida 33160, as more particularly depicted in Exhibit "A," hereinafter
referred to as "Leased Premises."
(b) Together with the right to use in common with LESSOR, its employees, visitors,
and invitees, and LESSOR's other tenants and their employees, invites, and customers, if any, the
parking areas, including 4 parking spaces dedicated, assigned to LESSEE, as well as fenced and
secured, as depicted in Exhibit "A," provided by the LESSOR its successors, and assigns, in the
designated areas for the parking of automobiles, which are contiguous to the building in which the
Leased Premises are located; provided that the LESSOR retains the right to make reasonable rules
and regulations with reference to the use of said parking area, including the right to provide for
certain reserved parking as, from time to time, determined by the LESSOR, and particularly
provided that employees, agents, and principals of LESSEE shall park in designated, fenced, and
secured areas, as depicted in Exhibit "A" so as to assure LESSOR's invitees and visitors
convenient and proximate parking contiguous to the building or buildings in which its employees,
invitees, and visitors are located.
(c) LESSEE acknowledges that LESSEE has inspected the Leased Premises and
hereby accepts same in "as is" condition and further acknowledges that LESSOR has made no
warranties and/or representations regarding the condition of the Leased Premises.
2. Term. The Term of this Lease commences on Effective Date and shall run for an
initial period of forty-two (42) months, unless the parties terminate the Lease earlier, with options
for five (5) twelve (12) month renewals thereafter at the LESSOR's sole discretion. LESSOR and
LESSEE shall have the mutual right to terminate this Lease upon sixty (60) days advance written
notice to the non -terminating party, however this termination right shall not apply to the initial
forty-two (42) month Term.
3. Amount and Payment of Rent. As rent for the Leased Premises, commencing on
the Effective Date, and continuing on the first day of each and every successive calendar month
thereafter for a period of twelve (12) months, LESSEE shall pay to LESSOR the monthly rent of
One Dollars and No Cents ($1.00). Commencing on the first day of the thirteenth (13th) month of
the initial Lease Term, and continuing on the first day of each and every successive calendar month
thereafter through the balance of the Lease Term, which includes any renewal terms, LESSEE
shall pay to LESSOR the monthly rent of Ten Thousand Dollars and No Cents ($10,000.00). Rent
shall be payable to City of Sunny Isles Beach and delivered to City of Sunny Isles Beach, Finance
Department, 18070 Collins Avenue, FL 33160, Attn: Finance Director.
4. CPI Increases. CPI Increases. Beginning May , 2025, the Amount of Rent
shall be modified annually to reflect the change in the Consumer Price Index ("CPI") based on a
twelve (12) month average. The "CPI" shall be the revised Consumer Price Index for all Urban
Consumers for all items — U.S. City Average, published by the Bureau of Labor Statistics, U.S.
Department of Labor, 1982-84=100 (CPI -U). In no event shall the Amount of Rent be reduced and
any increase shall not exceed 4% of the current Rent per year.
5. Late Fees. If any payment of rent due to LESSOR under this Lease Agreement
shall not be paid within five (5) days of the date when due, LESSEE shall pay, in addition to the
payment then due, an administrative charge equal to five percent (5%) of the past due payment.
All rent payments due LESSOR under this Lease Agreement shall bear interest at the maximum
rate allowed by law, accruing from the date the obligation arose through the date payment is
actually received by LESSOR.
6. Additional Rent Payments. In addition to the monthly rent due, all other payments
that LESSEE is obligated to make under this Lease shall be considered "Additional Rent"
regardless of whether the payments are so designated. All additional payments are due and payable
within thirty (30) days after rendition of a statement therefor, with the exception of ad valorem
taxes which must be paid within ten (10) days when due.
7. Taxes, Fees, Special Assessments, etc. To the extent required by law and unless
exempt by law, LESSEE shall pay to LESSOR Sales Tax, as hereinafter defined, on all amounts
paid as Rent hereunder, which sum is to be paid to the State of Florida by the LESSOR in respect
of sales or use taxes. Should such tax rate change under the Florida Sales Tax Statute or other
applicable statutes, LESSEE shall pay LESSOR the amounts reflective of such changes. To the
extent applicable, LESSEE shall pay LESSOR in conjunction with all sums due hereunder, any and
all applicable sales, use or other similar tax and any interest or penalties assessed therein ("Sales
Tax") simultaneously with such payment.
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Except as otherwise provided in this Lease, beginning on May 1, 2024, all costs, expenses, sales
or use taxes, or taxes of any nature or kind, special assessments, connection fees, and any other
charges, fees or like impositions incurred or imposed against the Leased Premises, to the extent
applicable, or any use thereof, including revenue derived therefrom, and any costs, expenses, fees,
taxes or assessments in or upon the real property or improvements constructed thereon shall be
made and paid by LESSEE in accordance with the provisions of this Lease, it being the intent of
the parties that, except as may be specifically provided for herein, LESSEE is responsible for
paying all the expenses and obligations that relate to the Leased Premises or any improvements
thereon and that arise or become due during the Term of this Lease.
LESSOR shall invoice LESSEE for all applicable taxes, and the Tenant shall be required to
pay LESSOR within ten (1 0) days of receipt of said Invoice. If LESSEE fails to timely pay
any taxes, LESSOR may pay them, and LESSEE shall repay such amount to LESSOR upon
demand.
8. LESSEE's Challenge of Tax. LESSEE may contest the validity of any Tax, tax
claim, or charge or assessment, described herein without being in default for nonpayment of Taxes
under this Lease, provided LESSEE complies with terms and conditions of this Section. The
LESSEE must give LESSOR written notice of LESSEE's intention to contest. Unless otherwise
waived by LESSOR, LESSEE must also furnish LESSOR with a bond, acceptable to the
LESSOR'S City Manager, with surety by a surety company qualified to do business in the State
of Florida or cash paid into escrow and held by LESSOR. The bond or cash escrow must be in an
amount that is equal to the amount of the Taxes, claim, charge or assessment being contested and
must be conditioned upon payment of the Taxes, claim, charge or assessment once the validity has
been determined. LESSEE must give the written notice accompanied by evidence of the bond or
escrow to LESSOR not later than sixty (60) days before the contested taxes would otherwise
become delinquent.
9. LESSOR'S Remedy for LESSEE'S Nonpayment. If LESSEE fails, refuses, or
neglects to pay any Taxes, fees, assessments, or other governmental charges under this Article,
unless challenged as provided in Section 8 of this Lease, the LESSOR may pay them. On the
LESSOR's demand, the LESSEE must pay the LESSOR all amounts LESSOR has paid, plus
expenses and attorney's fees reasonably incurred in connection with such payments, together with
interest at the rate of twelve per cent (12%) per annum from the date LESSOR paid such
outstanding Taxes, fees, assessments or other governmental charges, up to but not exceeding the
maximum rate of interest allowable under Florida law. On the day the LESSOR demands
repayment or reimbursement from LESSEE, the LESSOR is entitled to collect or enforce these
payments in the same manner as a payment of rent.
10. Use of Premises. The LESSEE shall use the Leased Premises for office and
meeting space related to the construction management for the St. Regis Residences Project.
LESSEE shall comply with all present and future laws or ordinances applicable to the Leased
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Premises and shall not commit or suffer waste on the Leased Premises, or use or permit anything
on the Leased Premises which may be illegal, or constitute a private or public nuisance, or conflict
with or invalidate or increase the cost of any of LESSOR's fire and extended coverage insurance,
or which may be dangerous to persons or the property of the LESSOR or other tenants of
LESSOR's building, their agents, servants, employees, visitors, and invitees.
11. Repairs, Maintenance, and Changes by Lessee. The LESSEE shall make all the
following repairs and improvements to the interior and exterior of the Leased Premises, at
LESSEE's sole cost and expense, which shall merge with the title of the property upon termination
of the Lease, free of any claim of LESSEE:
a. Addition of fire suppression sprinklers to the entire structure/facility, both within
the Leased Premises and the connected non -leased space to be compliant with the
Miami -Dade Fire Regulations;
b. Addition of restrooms for LESSEE's sole use within the Leased Premises to meet
the minimum requirements under the applicable Building Code;
C. Construct and provide separate and secure ingress and egress for the Lease
Premises;
d. Construct interior walls to completely bifurcate the Leased Area from the remainder
of the building/facility;
e. Complete and construct the build -out of 4 small additional rooms in the remainder
area of the building/facility to be used by LESSOR for its annual Wellness Program,
which will not be accessible from the Leased Premises; and
f. Construct a youth basketball court on the exterior of the building/facility and upon
the Property with fencing and lighting to be completed by the first week of June
2024.
All improvements and repairs must have the appropriate permits issued and approved by the
applicable state and local governmental agencies. LESSEE shall not make any changes, alteration,
additions, or improvements to the Leased Premises without the written consent of the Lessor which
shall not be unreasonably withheld, conditioned, or delayed.
12. ADA. LESSEE shall have the continuing obligation of compliance with the
Americans With Disabilities Act, as same may be amended from time to time, with respect to the
Leased Premises.
13. Utilities. All electric, light, power, water, garbage, and any other utility service
charges and assessments used in the Leased Premises shall be separately metered and invoiced and
shall be paid by LESSEE for the benefit of the Leased Premises. LESSOR shall be permitted to inspect the
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Leased Premises from time to time to assure that LESSEE is complying with this provision.
14. Janitorial Services. LESSEE agrees to keep all rubbish and garbage in containers
while on the Leased Premises and shall dispose of all of such rubbish and garbage in the dumpster
or other containers as required by the garbage service. LESSEE shall perform and provide for all
of LESSEE's janitorial services required on the Leased Premises.
15. Subletting and Assigning. LESSEE shall not sublet any portion of the Leased
Premises nor assign this Lease in whole or in part without the consent of the LESSOR which shall
not be unreasonably withheld, conditioned, or delayed. Notwithstanding the foregoing, LESSEE
shall have the right to assign this Lease or sublease all or any portion of the Premises without the
need to seek the LESSOR's consent to any of the following "Permitted Transferee": (a) any
successor corporation or other entity resulting from a merger, consolidation or reorganization; and
(b) any entity which controls, is controlled by, or is under common control with LESSEE.
LESSEE shall give LESSOR written notice of such assignment or sublease to a Permitted
Transferee within thirty (30) days of its completion. Any Permitted Transferee shall assume in
writing all of LESSEE's obligations under this Lease.
16. Quiet Enjoyment. LESSOR covenants and agrees with LESSEE that upon
LESSEE paying said rent and performing all the covenants and conditions aforesaid on LESSEE's
part to be observed and performed, LESSEE shall and may peaceably and quietly have, hold, and
enjoy the premises hereby leased, for the term aforesaid; subject, however, to the terms of this
Lease, or other instruments now or hereafter created by the LESSOR.
17. Liability for Damages or Injuries. LESSOR shall not be liable for any damage
or injury incurred or sustained in, on or about the Leased Premises when such damage or injury
results from the tortious acts or omissions of any person, including LESSEE's guests, invitees,
servants, agents, employees, or contractors, or trespassers on the Leased Premises; provided,
however, that if the damage or injury is caused by LESSOR's negligence, tortious acts, or
omissions, then, to the extent the damage or injury in question is caused by LESSOR's negligence,
tortious acts, or omissions, then LESSEE's liability to LESSOR hereunder shall be proportionately
abated.
18. Condition at End of Lease Term. At the earlier of the expiration of the Lease
Term or termination of this Lease, LESSEE shall quit the Leased Premises and surrender them to
LESSOR. The Leased Premises must be in good order and condition at the time of surrender
thereof, regular wear and tear excepted. All improvements on the Leased Premises shall become
the property of LESSOR, free of any right, title or claim of LESSEE. LESSEE shall remove all
personal property that belongs to LESSEE, or any of LESSEE'S agents, servants, employees,
independent contractors, or subtenants and shall repair all damage to the Leased Premises caused
by such removal.
19. Liens against the Leased Premises. LESSEE shall have no power or authority
to incur any indebtedness giving a right to a lien of any kind or character upon the right, title or
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interest of LESSOR in and to the real property within the Leased Premises, and no person shall
ever be entitled to any lien, directly or indirectly derived through or under the LESSEE, or its
agents, servants, employees, contractors, or officers or on account of any act or omission of said
LESSEE as to LESSOR's right, title, or interest in and to the real property within the Leased
Premises. All Persons contracting with the LESSEE, or furnishing materials, labor, or services
to said LESSEE, or to its agents, or servants, as well as all persons, shall be bound by this provision
of the Lease Agreement. Should any such lien be filed against the real property within the Leased Premises,
LESSEE shall discharge the same within thirty (30) days thereafter, by paying the same or by filing a bond,
or otherwise, as permitted by law. LESSEE shall not be deemed to be the agent of LESSOR, so as to confer
upon a laborer bestowing labor upon or within the real property underlying the Leased Premises or upon
materialmen who furnish material incorporated in the construction and improvements upon the foregoing,
a construction lien pursuant to Chapter 713, Florida Statutes, as same may be amended from time to time,
or an equitable lien upon the LESSOR's right, title or interest in and to the Leased Premises. These
provisions shall be deemed a notice under Section 713.01 (26), Florida Statutes as well as Section 713.10(1)
& (2)(b) Florida Statutes, as same may be amended from time to time, of the "non -liability" of the LESSOR.
20. Damage to Leased Premises. On LESSOR's demand, LESSEE shall repair all
damages to the Leased Premises that are incurred or sustained during the Lease Term, where such
damages are not caused by LESSOR or any of its agents, servants, employees, contractors or
licensees; provided, however, that if the damage or injury is caused by LESSOR's tortious acts or
omissions, or if the tortious acts or omissions of LESSOR's agents, servants, employees,
contractors or licensees acting within the scope and course of their duties, then, to the extent the
damage or injury in question is caused thereby, then LESSEE's liability to LESSOR hereunder
shall be proportionately abated.
21. Indemnity. LESSEE shall protect, defend, indemnify, and hold harmless the
LESSOR, its officers, officials, employees, and agents from and against any and all lawsuits,
penalties, damages, settlements, judgments, decrees, costs, charges, and other expenses including
attorneys' fees or liabilities of every kind, nature or degree, arising out of or in connection with the
rights, responsibilities and obligations of LESSEE under this Lease, conditions contained therein,
the location, construction, repair, maintenance, use, or occupancy of the Leased Premises, or the
breach or default by LESSEE of any covenant or provision of this Lease, hereinafter, "Claims,"
except for any occurrence arising out of or resulting from the intentional torts or negligence of the
LESSOR, its officers, officials, agents, and employees acting within the scope and course of their
duties and employment. Excluded from this indemnity shall be all lawsuits, penalties, damages,
settlements, judgments, decrees, costs, charges, and other expenses whatsoever including
attorneys' fees or liabilities of every kind and nature which occur as a result of actions by
LESSOR's invitees or guests. Nothing herein shall be deemed a waiver of LESSOR's sovereign
immunity.
Without limiting the foregoing, any and all such claims, suits, causes of action relating to personal
injury, death, damage to property, defects in construction, rehabilitation or restoration of the
Leased Premises, alleged infringement of any patents, trademarks, copyrights or of any other
tangible or intangible personal or real property right, or any actual or alleged violation of any
applicable statute, ordinance, administrative order, rule or regulation or decree of any court, is
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included in the indemnity. LESSEE further agrees to investigate, handle, respond to, provide
defense for, and defend any such claims at its sole expense and agrees to bear all other costs and
expenses related thereto, even if the claim is groundless, false, or fraudulent, and if called upon by
the LESSOR, LESSEE shall assume and defend not only itself but also the LESSOR in connection
with any claims, suits, or causes of action, and any such defense shall be at no cost or expense
whatsoever to LESSOR, provided that the LESSOR (exercisable by the LESSOR's Risk Manager)
shall retain the right to select counsel of its own choosing at its own expense.
22. Insurance. At all times during the term of this Lease Agreement, LESSEE, at its
expense, shall keep or cause to be kept in effect the following insurance coverages, with all policies
to have LESSOR added as an additional insured:
a. A general liability insurance policy, in standard form, insuring LESSEE,
and LESSOR as an additional insured on a primary and non-contributory status in favor of
LESSOR, against any and all liability for bodily injury or property damage arising out of or in
connection with this Lease and the license granted herein with a policy limit of not less than One
Million Dollars ($1,000,000.00) per occurrence and Two Million Dollars ($2,000,000.00) general
aggregate and shall name the LESSOR as an additional insured on a primary and non-contributory
status in favor of LESSOR. All such policies shall cover the activities under the Lease, including,
but not limited to the possession, use, occupancy, maintenance, repair, and construction of
additions, modifications, renovations or demolition of the Leased Premises or portions thereof.
This policy shall not be affected by any other insurance carried by LESSOR.
b. Workers' Compensation Insurance to be in compliance with the "Workers'
Compensation Law" of the State of Florida and all applicable federal laws. In
addition, the policy(ies) shall include Employers' Liability with a limit of One
Hundred Thousand Dollars ($100,000.00) for each accident.
C. Business Automobile Liability for all vehicles owned or used by LESSEE
and LESSEE's contractors that are involved in the operation of the Leased Premises with limits of
no less than One Million Dollars ($1,000,000.00) limits per occurrence, including for Hired and
Non -Owned Auto Liability coverage, with LESSOR as an additional insured on a primary and
non-contributory status in favor of LESSOR.
d. Fire and All Risk Property coverage (including flood), with an endorsement
for increased cost of compliance, on the structures, improvements and fixtures located upon the
Leased Premises in an amount equate to not less than ninety percent (90%) of its full insurable
value, and shall name the LESSOR and LESSEE as Loss Payees on the policy. The deductible
shall be no more than ten percent (10%) of the value of the structures and improvements located
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upon the Leased Premises. The proceeds of such policy shall be exclusively used as provided in
Section 9.3(i) below. At any time during the term of this Lease upon request from LESSEE,
LESSOR may secure Fire and All Risk Property coverage for the improvements on the Leased
Premises, if possible, for the benefit of LESSEE at LESSEE's expense. Parties may to revise
coverage requirements from time to time by mutual consent of the contract administrators.
e. All of the policies of insurance provided for in this Lease:
shall be in the form and substance approved by the Florida Office of
Insurance Regulations ("F1OIR")
ii. shall be issued only by companies licensed by F1OIR,
Certificates of Insurance pertaining to same shall be delivered to
LESSOR, at least fourteen (14) days prior to the Effective of the
Lease Term,
iv. shall be with a carrier having an A Best's Rating of not less than A,
Class VII,
V. shall bear endorsements showing the receipt by the respective
companies of the premiums thereon or shall be accompanied by
other evidence of payment of such premiums to the insurance
companies, including evidence of current annual payment, if on any
installment payment basis, and
vi. shall provide that they may not be canceled by the insurer for thirty
(30) days after service of notice of the proposed cancellation upon
LESSOR and shall not be invalidated as to the interest of LESSOR
by any act, omission or neglect of LESSEE.
a. Umbrella coverage with limits not less than: (1) $5,000,000 each occurrence
and aggregate and (2) follow -form coverage over Commercial General Liability, Automobile
Liability, and Employers' Liability policies.
f. In any case where the original policy of any such insurance shall be
delivered to LESSEE, a duplicated original of such policy shall thereupon be delivered to
LESSOR's Risk Manager. All insurance policies shall be renewed by LESSEE, and certificates
evidencing such renewals, bearing endorsements or accompanied by other evidence of the receipt
by the respective insurance companies of the premiums thereon, shall be delivered to LESSOR's
Risk Manager, at least thirty (30) days prior to their respective expiration dates.
LIV
g. LESSOR does not in any way represent that the types and amounts of
insurance required hereunder are sufficient or adequate to protect LESSEE's or contractor's
interests or liabilities but are merely minimum requirements established by LESSOR's Risk
Management Division.
h. Any and all net insurance proceeds received by or on account of LESSEE
under the Lease shall be deposited LESSEE, and said funds shall be exclusively used for the purpose
of reconstruction or repair, as the case may be, of any of the structures, improvements or fixtures
located within the Leased Premises so damaged or destroyed. Such reconstruction and repair work
shall be done in strict conformity with all applicable building and zoning codes and regulations or
standards promulgated by any governmental agency having subject matter jurisdiction. Should
the costs of regulations or repair exceed the amount of funds available from the proceeds of such
insurance policy, then, and in such event, such funds shall be used as far as the same will permit
in paying the costs of reconstruction or repair.
23. Waiver of Subrogation for General Liability, Workers Compensation,
Business Automobile, and Umbrella Policies. Each of the parties, LESSOR and LESSEE,
hereby releases the other from any and all liability or responsibility to the other or anyone claiming
through or under them by way of subrogation or otherwise for any loss or damage to property
caused by fire or any other perils insured in policies of insurance for any loss or damage to property
caused by fault or negligence covering such property, even if such loss or damage shall have been
caused by the fault or negligence of the other party, or anyone for which such party may be
responsible, including any other licensees or occupants of the Leased Premises; provided however,
that this release shall be applicable and in force and effect only to the extent that such release shall
be lawful at the time and in any event only with respect to loss or damage occurring during such
time as the releaser's policies shall contain a clause or endorsement to the effect that any such
release shall not adversely affect or impair said policies or prejudice the right of the releaser to
coverage thereunder and then only to the extent of the insurance proceeds payable under such
policies. Each of LESSOR and LESSEE agrees that it will request its insurance carriers to include
in its policies such a clause or endorsement. If extra costs shall be charged therefore, each party
shall advise the other thereof and of the amount of the extra cost and the other party, at its election,
may pay the same, but shall not be obligated to do so.
24. Dispossession on Default; Notice and Opportunity to Cure.
a. If LESSEE defaults in the performance of any covenant or condition of this
Lease, LESSOR may give LESSEE written notice of that default with sufficient specificity to
allow LESSEE to identify the default. If LESSEE fails to cure a default in payment of rent or
additional rent within twenty (20) days after written notice is given, LESSOR may terminate this
Lease. For defaults other than nonpayment of rent or additional rent, LESSEE shall cure such
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default within twenty (20) days after written notice is given or within such greater period of time
as specified in the notice however, that if the nature of LESSEE's default is such that more than
the specified period of time is reasonably required for its cure, then LESSEE shall not be deemed
to be in default if LESSEE shall commence the cure of such default within said period of time and
thereafter diligently prosecutes the same to completion.
a. If the default (other than for nonpayment of rent or additional rent) is of
such a nature that it cannot be completely cured within time specified, LESSOR may terminate
this Lease only if LESSEE fails to proceed with reasonable diligence and in good faith to cure the
default. Thereafter, if LESSEE fails to proceed with reasonable diligence and in good faith to cure
the default, termination of this Lease may occur only after LESSOR gives not less than an
additional ten (10) days' advance notice to LESSEE. On the date specified in the notice, the term
of this Lease will end, and, LESSEE shall quit and surrender the Leased Premises to LESSOR,
except that LESSEE will remain liable as provided under this Lease.
b. Upon termination of the Lease, LESSOR may peaceably re-enter the Leased
Premises without notice to dispossess LESSEE, any legal representative of LESSEE, or any other
occupant of the Leased Premises. LESSOR may retain possession through summary proceedings
or otherwise and LESSOR shall then hold the Leased Premises as if this Lease had not been made.
25. Damages on Default. If LESSOR retakes possession, LESSOR shall have the
following rights:
a. LESSOR shall be entitled to any rent and additional rent that is due and
unpaid, and those payments will become due immediately, and will be paid up to the time of the
re-entry, dispossession, or expiration, plus any expenses (including, but not limited to attorneys'
fees, brokerage fees, advertising, administrative time, labor, etc.) that LESSOR incurs in returning
the Leased Premises to good order and/or preparing it for re -rental, if LESSOR elects to re -rent,
plus interest on rent and additional rent when due at the rate of twelve (12.0%) percent per annum.
b. LESSOR shall be entitled, but is not obligated, to re -let all or any part of the
Leased Premises in LESSOR's name or otherwise, for any duration, on any terms, including but
not limited to any provisions for concessions or free rent, or for any amount of rent that is higher
than that in this Lease.
C. LESSOR's election to not re -let all or any part of the Leased Premises shall
not release or affect LESSEE's liability for damages. Any suit that LESSOR brings to collect the
amount of the deficiency for any rental period will not prejudice in any way LESSOR's rights to
collect the deficiency for any subsequent rental period by a similar proceeding. In putting the
Leased Premises in good order or in preparing it for re -rental, LESSOR may alter, repair, replace,
landscape of decorate any part of the Leased Premises in any way that LESSOR considers
advisable and necessary to re -let the Leased Premises. LESSOR's alteration, repair, replacement,
landscape or decoration will not release LESSEE from liability under this Lease.
10
d. LESSOR is not liable in any way for failure to re -let the Leased Premises,
or if the Leased Premises are re -let, for failure to collect the rent under the re -letting. LESSEE
will not receive any excess of the net rents collected from re -letting over the sums payable by
LESSEE to LESSOR under this Section.
26. Insolvency or Bankruptcy. Subject to the provisions hereof respecting
severability, should LESSEE at any time during the Lease Term suffer or permit the appointment
of a receiver to take possession of all or substantially all of the assets of LESSEE, or an assignment
of LESSEE for the benefit of creditors, or any action taken or suffered by LESSEE under any
insolvency, bankruptcy, or reorganization act, such action shall at LESSOR's option, constitute a
breach and default of this Lease by LESSEE and LESSEE agrees to provide adequate protection
and adequate assurance of future performance to the LESSOR which will include, but not be
limited to the following:
a. All monetary and non -monetary defaults existing prior to the breach or
default referenced above shall be cured within the time specified above that
shall include all costs and attorneys' fees expended by LESSOR to the date
of curing the default.
b. All obligations of the LESSEE must be performed in accordance with the
terms of this Lease.
If at any time during the pendency of the bankruptcy proceeding the LESSEE or its successor in
interest fails to perform any of the monetary or non -monetary obligations under the terms of this
Lease, or fails to cure any pre -filing default, or fails to make additional security deposit required
under the Lease for the adequate assurance of future performance clause above, the LESSEE
HEREBY STIPULATES AND AGREES TO WAIVE ITS RIGHTS TO NOTICE AND
HEARING AND TO ALLOW THE LESSOR TOTAL RELIEF FROM THE AUTOMATIC
STAY UNDER 11 U.S.C.§ 362 TO ENFORCE ITS RIGHTS UNDER THIS LEASE AND
UNDER STATE LAW INCLUDING BUT NOT LIMITED TO ISSUANCE AND
ENFORCEMENT OF A JUDGMENT OF EVICTION, WRIT OF ASSISTANCE AND WRIT
OF POSSESSION.
27. Holding Over. LESSEE will, at the termination of this Lease by lapse of time or
otherwise, yield up immediate possession to LESSOR. If LESSEE retains possession of the Leased
Premises or any part thereof after such termination, then LESSOR may at its option, serve written
notice upon LESSEE that such holding over constitutes any one of. (i) renewal of this Lease for
one year, and from year to year thereafter, (ii) creation of a month to month tenancy, upon the
terms and conditions set forth in this Lease, or (iii) creation of a tenancy at sufferance, in any case
upon the terms and conditions set forth in this Lease; provided, however, that the rent shall, in
addition to all other sums which are to be paid by LESSEE hereunder, whether or not as additional
rent, be equal to double the rent being paid to LESSOR under this Lease immediately prior to such
11
termination. If no such notice is served, then a tenancy at sufferance shall be deemed to be created
at the rent in the preceding sentence. LESSEE shall also pay to LESSOR all damages sustained
by LESSOR resulting from a retention of possession by LESSEE, including the loss of any
proposed subsequent LESSEE for any portion of the Leased Premises. The provisions of this
Section shall not constitute a waiver by LESSOR of any right of re-entry as herein set forth; nor
shall receipt of any rent or any other act in apparent affirmance of the tenancy operate as a waiver
of the right to terminate this Lease for a breach of any of the terms, covenants or obligations herein
on LESSEE's part to be performed.
28. Notices.
a. Except as provided in subparagraph (c) below, whenever it is provided
herein that notice, demand, request or other communication shall or may be given to, or served
upon, either of the parties by the other, or either of the parties shall desire to give or serve upon
the other any notice, demand, request or other communication with respect hereto or with respect
to any matter set forth in this Lease, each such notice, demand, request or other communication
shall be in writing and any law or statute to the contrary notwithstanding shall not be effective for
any purpose unless the same shall be given by mailing the same by registered or certified mail,
postage prepaid, return receipt requested, addressed to the party at the address set forth below, or
at such other address or addresses and to such other person or firm as LESSOR may from time to
time designate by notice as herein provided, with a simultaneous copy via electronic mail (e-mail).
b. All notices, demands, requests or other communications hereunder shall be
deemed to have been given or served for all purposes hereunder forty-eight (48) hours after the
time that the same shall be deposited in the United States mail, postage prepaid, in the manner
aforesaid, provided, with a simultaneous copy via electronic mail (e-mail), however, that for any
distance in excess of five hundred (500) miles, air mail service or Federal Express or similar carrier
shall be utilized, if available.
AS TO LESSOR:
City Manager
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, FL 33160
Tel: (305) 792-1776
smorris@sibfl.net
With copy to: City Attorney
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, FL 33160
Tel: (305) 792-1776
aboileaugn aw.com
12
AS TO LESSEE: Ron Choron
La Playa Beach Associates, LLC
1300 Brickell Avenue
Miami, FL 33131
Tel: (786)402-3610
rlchoron&fortuneintlgroup.com
sebastians@chateaugroup.net
casey@srresidencessunnyislesbeach.com
With copy to: Alex D. Sirulnik, Esq.
2199 Ponce De Leon Blvd., Suite
301
Coral Gables, FL 33157
Tel: (305) 443-7211
adsksirulniklaw.com
29. Non -Waiver. LESSOR's or LESSEE's failure to insist upon strict performance of
any covenant of this Lease or to exercise any option or right herein contained shall not be a waiver
or relinquishment for the future of such covenant, right, or option, but the same shall remain in full
force and effect.
30. Captions. The captions and headings herein are for convenience and reference only
and should not be used in interpreting any provision of this Lease.
31. Applicable Law. This Lease shall be governed by and construed under the laws of
the State of Florida. The venue for any action relating to the construction, interpretation, or
enforcement of this Lease shall be in the state courts of Miami -Dade County, Florida. If any
provision of this Lease, or portion thereof, or the application thereof to any person or circumstance
shall, to any extent, be invalid or unenforceable, the remainder of this Lease shall not be affected
thereby, and each provision of this Lease shall be valid and enforceable to the fullest extent
permitted by law. Time is of the essence in this Lease.
32. Successors. This Lease and the covenants and conditions herein contained shall
inure to the benefit of and be binding upon LESSOR, its successors, and assigns; and shall be
binding upon LESSEE, its heirs, executors, administrators, successors, and assigns; and shall inure
to the benefit of LESSEE and only such assigns of LESSEE to whom the assignment by LESSEE
has been consented to by LESSOR.
33. Force Majeure. Neither party shall be obligated to perform any duty, requirement
or obligation under this Lease if such performance is prevented by fire, hurricane, earthquake,
explosion, wars, sabotage, accident, flood, pandemics, acts of God, strikes, or other labor disputes,
riot or civil commotions, or by reason of any other matter or condition beyond the control of either
party, and which cannot be overcome by reasonable diligence and without unusual expense ("Force
Majeure"). In no event shall a lack of funds alone on the part of LESSEE be deemed Force Majeure.
34. Records. Each party shall maintain its own respective records and documents
associated with this Lease in accordance with the records retention requirements applicable to
public records, as applicable. Each party shall be responsible for compliance with any public
documents request served upon it pursuant to Chapter 119, Florida Statutes, to the extent Chapter
119 may be applicable to that entity. IF THE LESSEE HAS QUESTIONS REGARDING THE
APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE LESSEE'S DUTY TO
13
PROVIDE PUBLIC RECORDS RELATING TO THIS LEASE, CONTACT THE CUSTODIAN
OF PUBLIC RECORDS AT (305) 792-1703, CityClerkksibfl.net, 18070 Collins Avenue, 4th
Floor, Sunny Isles Beach, Florida 33160.
(a) LESSEE shall comply with the specific requirements of public records laws:
(i) Keep and maintain public records required by the City to perform the
service.
(ii) Upon request from the City's custodian of public records, provide the City
with a copy of the requested records or allow the records to be inspected or
copied within a reasonable time at a cost that does not exceed the cost
provided in this chapter or as otherwise provided by law.
(iii) Ensure that public records that are exempt or confidential and exempt from
public records disclosure requirements are not disclosed except as
authorized by law for the duration of the contract term and following
completion of the contract if the LESSEE does not transfer the records to
the City.
(iv) Upon completion of the Lease, transfer, at no cost, to the City all public
records in possession of the LESSEE or keep and maintain public records
required by the City to perform the service. If the LESSEE transfers all
public records to the City upon completion of the Lease, the LESSEE shall
destroy any duplicate public records that are exempt or confidential and
exempt from public records disclosure requirements. If the LESSEE keeps
and maintains public records upon completion of the Lease, the LESSEE
shall meet all applicable requirements for retaining public records. All
records stored electronically must be provided to the City, upon request
from the City's custodian of public records, in a format that is compatible
with the information technology systems of the City.
35. Amendments in Writing. 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 Leased Premises, and there are no covenants, promises,
agreements, conditions, or understandings, oral or written, between them other than are herein set
forth. Except as herein otherwise provided, no subsequent alteration, amendment, change, or
addition to this Lease shall be binding upon LESSOR and LESSEE unless reduced to writing and
signed by both parties.
14
EXECUTION COPY
IN WITNESS OF THE FOREGOING, THE PARTIES HAVE SET THEIR HANDS AND
SEALS
WITNESSES
[Witness Print Name]
AS TO LESSOR:
[Witness Print Name]
"C
CITY OF SUNNY ISLES BEACH,
a municipal corporation of the State
of Florida
By:
tan Morris
City Manager
APPROVED AS TO FORM
AND LEGAL SUFFICIENCY
A.
By: KJECC�tuJ
Alain E. Boileau, for Nabors,
Giblin & Nickerson, P.A.,
City Attorney
[ADDITIONAL SIGNATURE PAGE TO FOLLOW]
15
WITNESS
[Witness Printl
5 e0'� r7,,
AS TO LESSEE
<�-A
[Witness Print Name]
Cash- k4o\ -
WITNESS
I
Witness Print N e]
EXECUTION COPY
LA PLAYA BEACH ASSOCIATES, LLC,
a foreign limited liability company,
C
Dated: r day of May, 2024.
LA PLAYA BEACH ASSOCIATES, LLC,
a foreign limited liability company,
Fwz�'
By:
Ron Choron
Dated: day of May, 2024.
EXHIBIT A
17
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