HomeMy WebLinkAbout116-99 RESOLUTION NO. 116-99
RENEWING THE DANVILLE AREA CULTURAL ALLIANCE/
DANVILLE FINE ARTS GALLERY LEASE AGREEMENT
WHEREAS, the Town of Danville owns and manages the Village Theatre; and
WHEREAS, the upper floor of the Village Theatre is suitable for exhibit space for art exhibits;
and
WHEREAS, the Danville Area Cultural Alliance has successfully operated this space as a non-
profit arts gallery for the past seven years; and
WHEREAS, the Town Council believes that the utilization of this space as a gallery benefits the
Town; now, therefore, be it
RESOLVED, by the Danville Town Council that the Town Manager be and hereby is authorized
to execute on behalf of the Town, a Lease Agreement with the Danville Area Cultural Alliance
for use of the Village Theatre Art Gallery in substantially the same form as attached hereto,
together with such changes as may hereafter become necessary, provided such changes do not
materially increase the obligations of the Town thereunder.
APPROVED by the Danville Town Council at a regular meeting on July 20, 1999, by the
following vote:
AYES: Arnerich,
NOES: None
ABSTAINED: None
ABSENT: None
Greenberg, Doyle,
Shima,~J,,,~~nsky, Waldo
CITY ATTORNE;~c~A;~Y
CITY CLERK
LEASE AGREEMENT
THIS AGREEMENT is made this 1st day of July 1999 by and between the Town of
Danville (hereinafter referred to as "Town"), and the Danville Area Cultural Alliance,
(hereinafter referred to as "DACA"), who hereby agrees to rent the upstairs space of the Village
Theatre owned by the Town and located at 233 Front Street, (hereinafter referred to as
"Premises").
Town and DACA hereby agree to the following terms and conditions:
(1) TERM: The term hereof shall commence on July 1, 1999, and continue until June
30, 2002, unless either party shall have earlier terminated same by giving the other party 120 day
written notice or unless Town invokes the termination provisions in paragraph~ 19 and 22.
(2) RENT: DACA agrees to pay rent directly to the Town. Rent shall be paid quarterly
and shall be due on the 15th of the month following the end of each quarter and shall be paid at
a rate of:
$1 00/mo + 3.5% of gross sales
There shall be no cap on the amount of gross sales. Annual review of rental payments and rates
will be conducted, Any adjustment of either flat or percentage rates will be made as an
amendment to this agreement.
(3) USE: The premises shall be used solely for the purpose of operating a non-profit
Art Gallery, and conducting DACA meetings and DACA-sponsored programs.
(4) CONDITION OF PREMISES AND MAINTENANCE: The Town shall be
responsible for the structural maintenance and repair of the Village Theatre building including
additions and modifications required by law. The Town reserves the right to retain keys to the
Gallery and shall give reasonable notice to Gallery management prior to any entry except in case
of emergency unless Gallery management consents at the time of entry. DACA shall provide, at
its own expense, all custodial, minor upkeep, equipment, supplies and furniture for the Gallery.
The Town will provide for Gallery use: two six-foot folding tables and six folding chairs.
(5) PRORATION: Should DACA move or should the lease be terminated during a
period for which rent has been paid to the Town, rent will be prorated as of the date of DACA's
move or as of the date of termination, whichever applies.
(6) REPAIRS OR ALTERATIONS:
DACA shall not make or suffer any alterations or improvements to be made
in or on said property without first obtaining the written consent of the Town.
Any such approved alterations or improvements made by DACA shall be at its
sole cost and expense. Upon mutual agreement, DACA may request services
or materials to be provided by the Town. The Town will have no liability or
responsibility to DACA or any third parties by reason of such alterations or
improvements.
(b)
No alterations or improvements or repairs of any kind or character made by
DACA shall, in any way, impair or impede the Town's right to terminate this
tenancy on 120 day's notice specified in condition (1).
Before commencing any work relating to such alterations and improvements
affecting the premises, DACA shall notify the Town in writing of the expected
date of commencement. The Town shall then have the right at any time to post
and maintain on the premises such notices as the Town reasonably deems
necessary to protect the premises and the Town from mechanics' liens,
materialmen's liens, or any other liens. In any event, DACA shall pay, when
due, all claims for labor or materials fumished to or for DACA at or for use in
the premises. DACA shall not permit any mechanics' or materialmen's liens
to be levied against the premises for any labor or material fumished to DACA
or claimed to have been fumished to DACA or to DACA's agents or
contractors in connection with work in any character performed or claimed to
have been performed on the premises by or at the direction of DACA.
(7) OPERATING AND MAINTENANCE COSTS: DACA will promptly pay when
due any and all operating and maintenance costs for the premises, and the Town shall have no
obligation or liability whatsoever for such costs or for any other cost or expense arising out of
DACA's use and occupancy of the premises.
(8) MAINTENANCE, REPAIR, AND COMPLIANCE WITH LAWS: DACA will
make all necessary repair to the premises in good, clean, neat, orderly and safe condition and
repair at all times. In addition, DACA will not permit any encroachment on any sidewalk or
street area adjacent to the premises. Any and all cost or expense incurred by DACA in
performing its obligations under this paragraph shall be the sole obligation of DACA and the
Town shall have no liability or responsibility whatsoever for such costs.
DACA shall comply with all the requirements of local, State and Federal law now or
hereafter in force pertaining to the premises.
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(9) SIGNS: No additional signs shall be placed upon the premises except with the
express written consent of the Town.
(10) INDEMNIFICATION: DACA hereby agrees to defend, hold harmless and
indemnify the Town, and its members, officers, agents and employees of and from any and all
claims, loss, damage, injury, actions, causes of action and liability of every kind, nature and
description, directly or indirectly, arising from its tenancy its use of the premises, including, but
not limited to:
(a) bodily injury, death or property damage suffered or alleged to have been suffered by
DACA or any of its agents, contractors, employees or invitees;
(b) any approved alteration or improvement, repairs, operations and maintenance, and
insurance.
The foregoing agreement to defend, hold harmless, and indemnify shall enure to the
benefit of the Town regardless of responsibility for negligence, except to the extent caused by the
Town's active negligence or willful misconduct.
The Town hereby agrees to defend, hold harmless and indemnify DACA and its members,
officers, agents and employees of and from any or all liability of every kind, nature and
description, directly or indirectly arising from the Town's use of the premises.
(11) LIABILITY FOR LOSS OR DAMAGE: DACA shall be responsible for any and
all loss or damage to the premises, for any alterations or improvements made thereon, and for any
personal property situated thereon. This responsibility for loss or damage shall include, but is not
limited to, loss or damage caused by water, fire, theft, vandalism and windstorm.
(12) INSURANCE: DACA shall maintain in full force and effect during its tenancy
comprehensive general liability and property damage insurance in the minimum amount stated
below. Said insurance shall name the Town and its members, officers, agents and employees as
additional insureds, and shall cover all legal liability for bodily injury, death and property damage
which may arise out of the use and occupancy of the premises or any part thereof. The minimum
limits are the following:
Bodily Injury or Death
Property Damage
$1,000,000 per person
$1,000,000 one occurrence
(two or more persons)
$1,000,000
or combined single limit for the foregoing of $2,000,000. Such insurance shall be procured and
maintained by DACA at its sole cost and expense. DACA shall fumish the Town prior to
occupancy of the premises a true copy of the policy of such insurance or a certificate evidencing
such insurance, which certificate or policy, as the case may be, shall provide that at least thirty
(30) days prior notice shall be given the Town before such insurance shall be cancelled or
changed in any material way.
(13) ASSIGNMENT AND SUBLETTING: DACA shall not assign this tenancy or
sublet the premises without the express prior written consent of the Town. In the event of breach
of this condition, the Town shall have full and immediate rights of re-entry and possession.
DACA is allowed to charge a special use fee for special activities approved by the Town where
the Gallery space is used by outside groups. DACA shall pay the Town 50% of the fees collected
by DACA for non-DACA uses. DACA is prohibited from sub-leasing the Gallery for any uses
exceeding five days.
(14) PAYMENT OF ASSESSMENTS: DACA promises to pay promptly all lawful
taxes, excises, licenses, permit fees, charges and assessments of whatever nature applicable and
assessed to the operation of its business and the improvements of DACA on the demised
premises. DACA agrees not to allow or suffer any lien to be imposed upon said demised
premises or upon any equipment or personal property located thereon without promptly
discharging the same.
(15) COVENANT: DACA herein covenants by and for itself, its heirs, executors,
administrators, and assigns, and all persons claiming under or through them, that this lease is
made and accepted upon and subject to the following conditions:
That there shall be no discrimination against or segregation of any person or group of
persons, on account of race, color, creed, religion, sex, marital status, national origin or ancestry,
in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises
herein leased, nor shall DACA, or any person claiming under or through DACA, establish or
permit any such practice or practices of discrimination or segregation with reference to the
selection, location, number, use, occupancy, or employment of tenants, lessees, sublessees,
subtenants, vendees, or employees in the premises herein leased. DACA shall include the
foregoing provision in any assignment or sublease of the demised premises permitted hereunder.
(16) SURRENDER OF PREMISES: DACA agrees to vacate said premises at any time
within 120 days after receipt of a notice to do so from the Town. Upon vacating the premises,
DACA shall remove any and all personal property located thereon and shall, in addition, remove
any and all alterations and improvements made thereto, and will restore the premises to the
condition thereof prior to DACA's occupancy of the same. The Town shall have the fight,
without notice or liability, to dispose of in any manner it deems fit, any property left upon the
premises after the DACA has vacated the same.
(17) INELIGIBILITY FOR RELOCATION BENEFITS: It is agreed and understood
that DACA is not eligible for any relocation payments or services by reason of this tenancy or
upon vacation of the premises,
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(18) ENTRY AND INSPECTION: The Town or its representatives may enter upon the
premises at all reasonable times for purposes of inspecting the same, or making necessary repairs.
The Town shall give reasonable notice to Gallery management prior to entry except in an
emergency. After DACA sponsored events, the Tom will receive priority for use of the Gallery
for Town sponsored events. The Town will use its best efforts to provide fourteen (14) days prior
written notice to DACA if it intends to reserve the Gallery and will consult with the Gallery
management as to the nature of the Town's intended use. No use fee will be charged for Town
use.
(19) DEFAULT: Upon violation of any of the terms or conditions of this lease by
DACA, and the failure to remedy the same within 120 days after written notice from the Town,
this lease may, at the option of the Town, be terminated immediately.
The remedies of the Town shall not be exclusive, but shall be cumulative and in addition
to all remedies now or hereafter allowed by law or elsewhere provided for in this Agreement.
(20) WAIVER: The Town's failure to take advantage of any default or breach of
covenant on the part of DACA shall not be construed to be a waiver thereof. Acceptance of a
partial payment of rent shall not be deemed a waiver of the Town's right to the full amount. A
waiver by the Town of a particular breach of default shall not be deemed to be a waiver of any
subsequent breach or default.
(21) COST AND EXPENSES: DACA agrees to pay the Town all costs and expenses,
including attomey's fees in a reasonable sum to be fixed by a court, in any action brought by the
Town to recover any rent due and unpaid hereunder, or for the breach of any covenants or
agreements contained in this rental agreement, or to recover possession of said property, whether
such action progresses to judgment or not.
(22) TERMINATION REQUIRED BY LAW: In the event use of the Premises is
prohibited under state, federal or local law, Town shall have the option of terminating this lease
upon five (5) days written notice to DACA.
(23) NOTICES: Any notice, which either party is required to give, may be given by
mailing the same, postage prepaid, to:
Town of Danville
Attn: Town Manager
510 La Gonda Way
Danville, California 94526
DACA
Attn: Vicky Richardson
233 Front Street
Danvii!e, California 94526
(24) TIME: Time is of the essence of this Agreement.
(25) ENTIRE AGREEMENT: The foregoing constitutes the entire Agreement
between the parties and may be modified only by a writing signed by both parties.
DATED:
Danville Area Cultural Alliance
DATED:
Joseph A, Calabrigo, Town Manager