HomeMy WebLinkAbout2021-02-25 POB LTR-COB Parking Agreement 6mo Update PORT OF Commissioners
7�'' '`� T 3 Cary Bozeman
BREMERTONSWSTA WAE 98312HWY Axel Strakeljahn
xl 8850 portofbremerton.org Gary Anderson
,- y; tli` # Tel (360) 674-2381
Fax (360) 674 2807 Chief Executive Officer
Jim Rothlin
Bremerton National Airport
(360)674-2381
February 25, 2021
Olympic View Business&
Industrial Park
(360-)674-2381
Greg Wheeler,Mayor Port Orchard Marina
City of Bremerton (360)876-5535
345 6th Street, Suite 6o0
Bremerton,WA 98337 Bremerton Marina
(360)373-1035
RE: Request for Six-Month Extension of Existing Parking Agreement
Dear Mayor Wheeler,
Thank you for considering this letter.The Port of Bremerton appreciates the cooperative
agreement with the City of Bremerton for temporary marina parking during construction of the
Marina Square Project.The agreement has been beneficial for Bremerton citizens,the marina
tenants, and the Port of Bremerton.This correspondence is intended to serve as formal request
for another six-month extension of said contract terms,per Section 3.2 of the existing
agreement.
The Port of Bremerton looks forward to the successful construction of the Marina Square project
as a beneficial addition to the City of Bremerton and to the local waterfront,bringing much
needed housing,hotels, and commerce to the area. The approval of this extension assists in
moving toward that mutual goal.
Please do not hesitate to contact me if there are any questions or additional needed
documentation. I hope this is helpful and thank you again.
Sincerely,
7/hi, eh//7
Jim Rothlin(Feb 25,2021 09:19 PST)
Jim Rothlin
Chief Executive Officer
Attachment: Executed Parking Lease Agreement-Marina Square, signed o2-27-2019
No
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PARKING LEASE AGREEMENT
THIS LEASE AGREEMENT (hereinafter "Lease") is between the CITY OF
BREMERTON, a municipal corporation of the State of Washington, with offices located at 345
6th Street, Suite 100, Bremerton, Washington 98337 (hereinafter "City"), and the PORT OF
BREMERTON (hereinafter"Lessee").
RECITALS
WHEREAS, the City owns certain property commonly known as the Washington Avenue
Garage located on Washington Avenue between 4th and 5th Street in Bremerton; and
WHEREAS, the parties' entered into a lease on May 25, 2018 for parking spaces in the
Washington Avenue Garage for use by occupants of the property owned by Lessee during
upcoming construction on its property located at 405 Washington Avenue in Bremerton; and
WHEREAS, the parties desire to enter into a new lease, replacing the prior lease entered
into by the parties on May 25, 2018, to change the term dates of the lease and to make other
related changes;
NOW, THEREFORE, the City and Lessee agree as follows:
AGREEMENT
1. PROPERTY.
1.1 Property Defined. The City leases to Lessee and Lessee leases from the City
parking spaces in the Washington Avenue Garage (hereinafter "Parking Garage"), said Parking
Garage legally described as follows:
LOTS 18 TO 25, BLOCK 6, BREMERTON, AS RECORDED IN VOLUME 2 OF PLATS,
PAGE 30,RECORDS OF KITSAP COUNTY,WASHINGTON.
The parking spaces leased include thirty (30) full time parking spaces located on level two (P2)
of the Parking Garage ("Parking Spaces"). The specific location of the Parking Spaces may be
changed as mutually agreed between the parties.
2. USE.
2.1 Permitted Use. Lessee shall use parking spaces exclusively for the use by Lessee
and/or occupants authorized by Lessee who are currently using the property owned by Lessee to
be developed as Marina Square. The Property shall not be used for illegal purposes.
2.2 Conformance with Laws. Lessee shall, at all times, keep current and comply with
all conditions and terms of any pennits, licenses, certificates, regulations, ordinances, statutes,
and other government rules and regulations regarding its use or occupancy of the Property.
2.3 Liens and Encumbrances. Lessee shall keep the Property free and clear of any
liens and encumbrances arising out of or relating to its use or occupancy of the Property.
Parking Lease Agreement-
Marina Square
2.4 Parking Enforcement. Parking enforcement will be performed by the City as
deemed appropriate.
3. TERM.
3.1 Term Defined. The term of this Lease is eighteen (18) months (the "Term") as
follows:
(a) The lease will begin on a date to be established by Lessee between March 1,
2019 and June 1,2019 upon providing the Lessor fourteen(14)days prior written notice.
(b) The lease will expire on a date to be established between August 31, 2020 and
November 30, 2020 (the "Expiration" date) based on the 18 month period from the established
beginning date,unless terminated sooner under the terms of this Lease. Lessee may terminate the
lease during the Term by providing the other party thirty (30) days prior written notice of
termination.
3.2 Option to Extend. Lessee shall have the option to extend the Term of this lease
for up to two (2) additional six (6) month terms upon delivering written notice to the City sixty
(60) days prior to the expiration of the term except that, during the additional six (6) month term
extensions, either party may terminate the lease for convenience by providing the other party
thirty(30)days prior written notice of termination.
3.3 End of Term. Upon the expiration or termination of the Term, as applicable,
Lessee shall surrender the Property to the City as existed on the Commencement Date.
3.4 Hold Over. If Lessee remains in possession of the Property after the Termination
Date, the occupancy shall not constitute an extension or renewal of the Term. The occupancy
shall be a month-to-month tenancy, on terms identical to the terms of this Lease, which may be
terminated by either party on thirty (30) days written notice. The monthly rent during the
holdover shall be the same rent which would be due if the Lease were still in effect and all
adjustments in rent were made in accordance with its terms. If the City provides a notice to
vacate the Property in anticipation of the termination of this Lease or at any time after the
Termination Date and Lessee fails to do so within the time set forth in the notice, then Lessee
shall be a trespasser and shall owe the City all amounts due under applicable law.
4. LEASE PAYMENT.
4.1 Monthly Payment. Lessee shall pay to the City a monthly payment of$4,500.00
plus a leasehold excise tax as set forth in Subsection 5.3 below. The first installment shall be due
and payable on or before the Commencement Date, and subsequent installments shall be due and
payable on or before the same day of each month thereafter.
4.2 Payment Place. Payment is to be made to the City of Bremerton, Attn: Financial
Services, 345 6`h Street, Suite 100, Bremerton, Washington 98337.
4.3 Leasehold Excise Tax, Other Taxes and Assessments. In addition to the Lease
Payment, Lessee shall pay a leasehold excise tax, pursuant to RCW 82.29A.030, on all Lease
Payment amounts paid to the City, currently in the amount of 12.84 percent and as may be
adjusted pursuant to Ch. 82.29A RCW, on the monthly Lease Payment. Lessee shall pay the
Leasehold tax with the applicable lease payment. Lessee shall also pay all taxes assessments, and
all other governmental charges, of any kind whatsoever, applicable or attributable to the
Premises, Lessee's leasehold interest, the improvements, or Lessee's use and enjoyment of the
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Parking Lease Agreement-
Marina Square
Premises. Lessee shall pay these taxes and assessments when due or as otherwise requested by
the City.
4.4 Signage and Related Costs. Lessee agrees to reimburse the City for new signage
for the Parking Spaces and for relocation and re-striping of two handicap spaces located within
the Parking Spaces in an amount mutually agreed upon by the parties.
5. LATE PAYMENTS AND OTHER CHARGES.
5.1 Late Charge. if any rental payment is not received by the City within (10) days of
the date due, Lessee shall pay to the City a late charge equal to one percent (1%) per month of the
amount of the lease until the delinquency is paid.
6. ASSIGNMENT AND SUBLETTING.
6.1 City Consent Required. Lessee shall not sell, convey, mortgage, assign, pledge,
sublet, or otherwise transfer or encumber all or any part of Lessee's interest in this Lease or the
Property without the City's prior written consent.
6.2 Rent Payments Following Assignment. The acceptance by the City of the
payment of rent following an assignment or other transfer shall not constitute consent to any
assignment or transfer.
7. INDEMNIFICATION.
7.1 Each party shall indemnify, defend, and hold the other party harmless for its acts,
omissions or negligence relating to its performance of this Lease Agreement.
8. DAMAGE OR DESTRUCTION.
8.1 In the event of any damage to or destruction of the Property or any improvements,
Lessee shall promptly give written notice to the City. Lessee acknowledges that use of the
Parking Spaces are at Lessee's risk and that any damage to vehicles occurring while in the
Parking Garage is at Lessee's, or Lessee's authorized occupants of the Parking Spaces, own risk.
The City shall not be liable for any damage to vehicles or other property while using the Parking
Spaces unless caused directly by the City.
9. DEFAULT AND REMEDIES.
9.1 Acts Constituting Default. Lessee shall be in default of this Lease on the
occurrence of any of the following:
(a) Failure to pay Rent or other expenses when due;
(b) Failure to comply with any law, regulation, policy, or order of any lawful
governmental authority;
(c) Failure to comply with any other provision of this Lease;
(d) Failure to cure a default pursuant to Section 9.2 below; or
(e) Proceedings are commenced by or against Lessee under any bankruptcy
act or for the appointment of a trustee or receiver of Lessees' property.
9.2 Failure to Cure. A default shall become an event of default("Event of Default") if
Lessee fails to cure the default within thirty (30) days after the City provides Lessee with written
notice of default, which specifies the nature of the default.
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Parking Lease Agreement-
Marina Square
9.3 City's Remedies Upon Default. Upon an Event of Default and Failure to Cure as
defined in 9.2, the City may terminate this Lease.
10. NOTICE. Any notices required or permitted under this Lease may be personally
delivered, delivered by facsimile machine, or mailed by certified mail, return receipt requested, to
the following addresses or to such other places as the parties may direct in writing from time to
time:
The City: City of Bremerton
Attn: DeWayne Pitts
345 6111 Street, Suite 100
Bremerton, Washington 98337
Lessee: Port of Bremerton
Attn: Jim Rothlin
8850 SW State Highway 3
Bremerton, Washington 98312
A notice shall be deemed given and delivered upon personal delivery, upon receipt of a
confirmation report if delivered by facsimile machine, or three (3) days after being mailed as set
forth above, whichever is applicable.
11. MISCELLANEOUS.
11.1 Authority. Lessee and the person or persons executing this Lease on behalf of
Lessee represent that Lessee is qualified to do business in the State of Washington, that Lessee
has full right and authority to enter into this Lease, and that each and every person signing on
behalf of Lessee is authorized to do so.
11.2 Successors and Assigns. This Lease shall be binding upon and inure to the benefit
of the parties, their successors and assigns.
11.3 Entire Agreement. This Lease, including the exhibits and addenda, if any,
contains the entire agreement of the parties. All prior and contemporaneous agreements,
promises, representations, and statements relating to this transaction or to the Property, if any, are
merged into this Lease. This lease replaces in its entirety the lease executed between the parties
May 25, 2018.
11.4 Waiver. The waiver by the City of any breach or default of any term, covenant, or
condition of this Lease shall not be deemed to be a waiver of such term, covenant, or condition;
of any subsequent breach or default of the same; or of any other term, covenant, or condition of
this Lease. The City's acceptance of a rental payment shall not be construed to be a waiver of
any preceding or existing breach other than the failure to pay the particular rental payment that
was accepted.
11,5 Cumulative Remedies. The rights and remedies of the City under this Lease are
cumulative and in addition to all other rights and remedies afforded to the City by law or equity
or otherwise.
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Parking Lease Agreement-
Marina Square
11.6 Time is of the Essence. TIME IS OF THE ESSENCE as to each and every
provision of this Lease.
11.7 Invalidity. If any provision of this Lease shall prove to be invalid, void, or illegal,
it shall in no way affect, impair, or invalidate any other provision of this Lease.
11.8 Applicable Law and Venue. This Lease shall be interpreted and construed in
accordance with the laws of the State of Washington. Any reference to a statute shall mean that
statute as presently enacted or hereafter amended or superseded. Venue for any action arising out
of or in connection with this Lease shall be in the Superior Court for Kitsap County, Washington.
11.9 Modification. Any modification of this Lease must be in writing and signed by
the parties. The City shall not be bound by any oral representations or statements.
11.10 Survival of Covenants. The covenants contained herein survive the termination or
expiration of the Lease for the applicable statute of limitation periods.
11.11 Recording of Lease. Neither the City nor Lessee may record this Lease without
the other's prior approval
11.12. Duplicate Originals. This Lease Agreement may be executed in duplicate
originals.
THIS AGREEMENT is executed as of the date of the last signature below.
CITY OF BREMERTON PORT OF BREMERTO
By: I Wheeler : : Jim Rothlin
Its: Mayor Its: Chief Executive Officer
Date: "2- I�Z 201.9 Date: Z/ 2,6//�1
R;\Legal\Legal\Files\Current Active Files\Marina Square\Parking Lease Agreement•Manna Square-Final 10-OI-l8.doc
5
Parking Lease Agreement-
Marina Square
ity of arerking Agreementi
Request
Final Audit Report 2021-02-25
Created: 2021-02-24
By: Ginger Waye(gingerw@portofbremerton.org)
Status: Signed
Transaction ID: CBJCHBCAABAA8ARp2BT4gAAyYum1SczYguOzFkpeAQMv
"City of Bremerton Parking Agreement Extension Request" Histo
ry
Document created by Ginger Waye (gingerw@portofbremerton.org)
2021-02-24-10:53:38 PM GMT-IP address:208.8.163.73
Document emailed to Jim Rothlin (jimr@portofbremerton.org) for signature
2021-02-24-10:54:35 PM GMT
fi Email viewed by Jim Rothlin (jimr@portofbremerton.org)
2021-02-25-5:19:18 PM GMT-IP address:24.113.231.200
(}cp Document e-signed by Jim Rothlin (jimr@portofbremerton.org)
Signature Date:2021-02-25-5:19:37 PM GMT-Time Source:server-IP address:24.113.231.200
Agreement completed.
2021-02-25-5:19:37 PM GMT
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