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HomeMy WebLinkAbout199-04 RESOLUTION• e RESOLUTION NO. 199-04 A RESOLUTION TO APPROVE A LEASE OF CITY PROPERTY TO SEVEN HILLS HOMELESS CENTER, INC. WHEREAS, Seven Hills Homeless Center, Inc. is a nonprofit agency established and dedicated to provide homeless shelter, transitional housing and supportive housing for persons with disabilities; and WHEREAS, Seven Hills Homeless Centers' services are badly needed, valid public purposes for Fayetteville residents; and WHEREAS, the City Council has determined that the value of the services to be offered by Seven Hills Homeless Center to Fayetteville residents is sufficient and adequate consideration for the rental value of the city property to be leased to Seven Hills for this purpose. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby agrees to a long term lease of city property to Seven Hills Homeless Center, Inc. (Attached as Exhibit A) near Huntsville Road so it can construct transitional housing and supportive housing to serve Fayetteville residents. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Coody to sign the lease to Seven Hills Homeless Center, Inc. (attached as Exhibit A). PASSED and APPROVED this 7th day of December, 2004. Bv: ATTEST: APPROVED: AN COODY, Mayo 4(>•• 6 Y O 0,4p% • •�tr. SONDRA SMITH, City Clerk c ;FAYETTEVILLE; \9;,$�'KANSPt' 1‘''o;�GTON �,.`.. By: ipGudu d Attaer--- o . ' • • LEASE AGREEMENT This Agreement, made and entered into this 11-11 day of December, 2004, by and between the City of Fayetteville, Arkansas, Lessor, and Seven Hills Homeless Center, Inc. (hereinafter "Seven Hills"), Lessee, Witnesseth: WHEREAS, Seven Hills is a non-profit agency established and dedicated to provide a Homeless Shelter and to provide transitional housing for the homeless; and, WHEREAS, providing transitional housing to Fayetteville citizens and permanent supportive housing for persons with disabilities are valid public purposes; and, WHEREAS, Seven Hills will provide such service to Fayetteville citizens so that these citizens can reestablish themselves, obtain employment, and move to private housing within a fairly short period of time and to disabled citizens for permanent supportive housing. NOW, THEREFORE, the City of Fayetteville and Seven Hills agree as follows: 1. Leased Premises. For and in consideration of Seven Hills' promise to promptly provide transitional housing for needy, homeless Fayetteville citizens and permanent supportive housing and the covenants and agreements herein entered into and agreed upon by Seven Hills as obligations to the City of Fayetteville, the City lets, leases and demises unto Seven Hills, subject to the terms and conditions contained herein, the following described property situated in Washington County, Arkansas. (Attached as Exhibit A is the legal description and map.) To have and to hold said premises unto the said Seven Hills for and during the term herein stated, subject to the covenants, terms and conditions herein contained. 2. Term. This lease shall commence on December I, 2004, and shall extend for a term of Ninety -Nine (99) years, ending at midnight on November 30, 2103. 3. Consideration. The primary consideration for the City is Seven Hills' agreement in paragraph 4 to serve Fayetteville citizens by promptly constructing its transitional housing project. 4. Use. Seven Hills agrees to use the lease premises for the purpose of constructing, operating and maintaining a transitional housing facility. If at any time the property ceases to be used for this purpose, the lease shall terminate. Seven Hills agrees to furnish rent subsidized transitional housing for Fayetteville citizens and residents throughout this lease period. Seven Hills shall deliver quarterly written reports to the Mayor's office concerning the number of Fayetteville citizens/residents housed or otherwise assisted by Seven Hills. 5. Improvements. Seven Hills may make any such improvements as are necessary to carry out the service of providing rent subsidized transitional housing facilities. Design for any such improvements shall be approved by the City of Fayetteville. Upon termination of this lease, all improvements shall become the property of the City. • • • • 6. Taxes. Seven Hills shall pay any and all ad valorem taxes and special improvement district taxes levied and assessed against said premises and the improvements located thereon during the term of this lease. 7. Notices. All notices, requests, demands and other communications required by or permitted hereunder shall be in writing and shall be directed to the following: City of Fayetteville 113 W. Mountain St. Fayetteville, AR 72701 Seven Hills Homeless Centcr, Inc. P.O. Box 474 Fayetteville, AR 72702-0474 8. Assignment. Seven Hills shall not assign this lease or sublet the lease premises without prior written consent of the City. Any such assignment or subletting shall in no way relieve Seven Hills from liability for the obligation imposed by this lease. Seven Hills may only be released from liability for the obligation imposed by this lease by a specific written release executed by the City. 9. Insurance. A. Seven Hills shall be solely responsible for maintaining insurance on its property, including movables, trade fixtures, furniture, furnishings and inventory, as well as improvements to the property. B. Seven Hills shall, during the term of this lease, maintain public liability insurance. The limits of such public liability insurance shall not be less than $500,000.00 per person and $500,000.00 per accident. The policy shall contain a clause that the insurer will not cancel or change the insurance without giving the City of Fayetteville, ten days prior written notice. A certificate of such insurance shall be delivered to the City. 10. Maintenance. Seven Hills shall be responsible for all maintenance, routine preventative or corrective, on any and all improvements made to the leased property. Sage House and Seven Hills shall cooperate and jointly equip, use and maintain the playground located between their leased premises. 11. Compliance with Laws. Seven Hills agrees not to violate any law, ordinance, rule or regulation of any governmental authority having jurisdiction of the leased premises. This agreement shall be governed by the laws of the State of Arkansas. 12. Waste/Nuisance. Seven Hills agrees not to commit waste, nor permit waste to result or to be done to or upon the aforesaid premises. Further, Seven Hills agrees not to operate, nor permit to be operated, nor to exist thereon or therein, any public or private nuisance. 13. Title and Quiet Enjoyment. The City of Fayetteville covenants and warrants that it is the owner in fee simple absolute of the leased premises and may lease said premises as herein provided. Upon the observance and performance of all the covenants, terms and conditions upon Seven Hills' part to be observed and performed, Seven Hills shall peaceably and quietly hold and enjoy the demised premises for the term hereby demised without hindrance or interruption by the City or any other person or persons lawfully or equitably claiming by, through or under the City, subject to the terms and conditions of this lease. 2 • • • 14. Entire Agreement. This lease agreement contains the entire agreement of both parties hereto, and no other oral or written agreement shall be binding on the parties hereto IN WITNESS WHEREOF, the parties hereto have hereunto set their hand and seals on this the 71h day of December, 2004. ATTEST: By: `i,,,vunrrr.,ll 5.•' w 71 ok >>_- S:4789 ~• t •> W z IOC Sondra Smith, City Clerk ATTEST: u Wi"'byt tt Ti�tY : tetla, u-(,..Q4e -res. 'BucsTInale. nmu,. CITY OF FA _,TTEVILLE, Lessor By AN COOD •, Mayo SEVEN HILLS HOMELESS CENTER, INC., Lessee By: 3 LOWELL GRISHAM, President Board of Directors of Seven Hills Homeless Center, Inc. NAME OF FILE: CROSS REFERENCE: Item # Date • Resolution No. 199-04 w/Agreement Document i 1 12/07/04 Alderman Agenda Request Form 2 draft resolution 3 draft agreement 4 map of area 5 memo to Brenda Thiel 6 7 8 9 10 11 12 13 14 15 16 NOTES: ALD MAN AGENDA REQUESTTORM SA.IS Sec,e.r\ A U s Lease 726(5 FOR: COUNCIL MEETING OF DECEMBER 7, 2004 /L/7/07' is y Si t.24 ss C'il€ %ase - FROM: ALDERMAN BRENDA THIEL ORDINANCE OR RESOLUTION TITLE AND SUBJECT: A Resolution To Approve A Lease Of City Property To Seven Hills Homeless Center, Inc. APPROVED FOR AGENDA: Bren:T hiel, Alderman late ttorney s to form) ll-29-o`t Date • • RESOLUTION NO. A RESOLUTION TO APPROVE A LEASE OF CITY PROPERTY TO SEVEN HILLS HOMELESS CENTER, INC. WHEREAS, Seven Hills Homeless Center, Inc. is a nonprofit agency established and dedicated to provide homeless shelter, transitional housing and supportive housing for persons with disabilities; and WHEREAS, Seven Hills Homeless Centers' services are badly needed, valid public purposes for Fayetteville residents; and WHEREAS, the City Council has determined that the value of the services to be offered by Seven Hills Homeless Center to Fayetteville residents is sufficient and adequate consideration for the rental value of the city property to be leased to Seven Hills for this purpose. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby agrees to a long term lease of city property to Seven Hills Homeless Center, Inc. (Attached as Exhibit A) near Huntsville Road so it can construct transitional housing and supportive housing to serve Fayetteville residents. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Coody to sign the lease to Seven Hills Homeless Center, Inc. (attached as Exhibit A). PASSED and APPROVED this 7th day of December, 2004. ATTEST. By: SONDRA SMITH, City Clerk By: APPROVED: DAN DAN COODY, Mayor • • LEASE AGREEMENT This Agreement, made and entered into this day of December, 2004, by and between the City of Fayetteville, Arkansas, Lessor, and Seven Hills Homeless Center, Inc. (hereinafter "Seven Hills"), Lessee, Witnesseth: WHEREAS, Seven Hills is a non-profit agency established and dcdicated to provide a Homeless Shelter and to provide transitional housing for the homeless; and, WHEREAS, providing transitional housing to Fayetteville citizens and permanent supportive housing for persons with disabilities are valid public purposes; and, WHEREAS, Seven Hills will provide such service to Fayetteville citizens so that these citizens can reestablish themselves, obtain employment, and move to private housing within a fairly short period of time and to disabled citizens for permanent supportive housing. NOW, THEREFORE, the City of Fayetteville and Seven Hills agree as follows: 1. Leased Premises. For and in consideration of Seven Hills' promise to promptly provide transitional housing for needy, homeless Fayetteville citizens and permanent supportive housing and the covenants and agreements herein entered into and agreed upon by Seven Hills as obligations to the City of Fayetteville, the City lets, leases and demises unto Seven Hills, subject to the terms and conditions contained herein, the following described property situated in Washington County, Arkansas. (Attached as Exhibit A is the legal description and map.) To have and to hold said premises unto the said Seven Hills for and during the term herein stated, subject to the covenants, terms and conditions herein contained. 2. Term. This lease shall commence on December 1, 2004, and shall extend for a term of Ninety -Nine (99) years, ending at midnight on November 30, 2103. 3. Consideration. The primary consideration for the City is Seven Hills' agreement in paragraph 4 to serve Fayetteville citizens by promptly constructing its transitional housing project. 4. Use. Seven Hills agrees to use the lease premises for the purpose of constructing, operating and maintaining a transitional housing facility. If at any time the property ceases to be used for this purpose, the lease shall terminate. Seven Hills agrees to furnish rent subsidized transitional housing for Fayetteville citizens and residents throughout this lease period. Seven Hills shall deliver quarterly written reports to the Mayor's office concerning the number of Fayetteville citizens/residents housed or otherwise assisted by Seven Hills. 5. Improvements. Seven Hills may make any such improvements as are necessary to carry out the service of providing rent subsidized transitional housing facilities. Design for any such improvements shall be approved by the City of Fayetteville. Upon termination of this lease, all improvements shall become the property of the City. • • 6. Taxes. Seven Hills shall pay any and all ad valorem taxes and special improvement district taxes levied and assessed against said premises and the improvements located thereon during the term of this lease. 7. Notices. All notices, requests, demands and other communications required by or permitted hereunder shall be in writing and shall be directed to the following: City of Fayetteville 113 W. Mountain St. Fayetteville, AR 72701 Seven Hills Homeless Center, Inc. P.O. Box 474 Fayetteville, AR 72702-0474 8. Assignment. Seven Hills shall not assign this lease or sublet the lease premises without prior written consent of the City. Any such assignment or subletting shall in no way relieve Seven Hills from liability for the obligation imposed by this lease. Seven Hills may only be released from liability for the obligation imposed by this lease by a specific written release executed by the City. 9. Insurance. A. Seven Hills shall be solely responsible for maintaining insurance on its property, including movables, trade fixtures, furniture, furnishings and inventory, as well as improvements to the property. B. Seven Hills shall, during the term of this lease, maintain public liability insurance. The limits of such public liability insurance shall not be less than $500,000.00 per person and $500,000.00 per accident. The policy shall contain a clause that the insurer will not cancel or change the insurance without giving the City of Fayetteville, ten days prior written notice. A certificate of such insurance shall be delivered to the City. 10. Maintenance. Seven Hills shall be responsible for all maintenance, routine preventative or corrective, on any and all improvements made to the leased property. Sage House and Seven Hills shall cooperate and jointly equip, use and maintain the playground located between their leased premises. 11. Compliance with Laws. Seven Hills agrees not to violate any law, ordinance, rule or regulation of any governmental authority having jurisdiction of the leased premises. This agreement shall be governed by the laws of the State of Arkansas. 12. Waste/Nuisance. Seven Hills agrees not to commit waste, nor permit waste to result or to be done to or upon the aforesaid premises. Further, Seven Hills agrees not to operate, nor permit to be operated, nor to exist thereon or therein, any public or private nuisance. 13. Title and Quiet Enjoyment. The City of Fayetteville covenants and warrants that it is the owner in fee simple absolute of the leased premises and may lease said premises as herein provided. Upon the observance and performance of all the covenants, terms and conditions upon Seven Hills' part to be observed and performed, Seven Hills shall peaceably and quietly hold and enjoy the demised premises for the term hereby demised without hindrance or interruption by the City or any other person or persons lawfully or equitably claiming by, through or under the City, subject to the terms and conditions of this lease. 2 • • 14. Entire Agreement. This lease agreement contains the entire agreement of both parties hereto, and no other oral or written agreement shall be binding on the parties hereto IN WITNESS WHEREOF, the parties hereto have hereunto set their hand and seals on this the day of December, 2004. ATI EST: By: Sondra Smith, City Clerk ATTEST: By: Title: CITY OF FAYETTEVILLE, Lessor By: DAN COODY, Mayor SEVEN HILLS HOMELESS CENTER, INC., Lessee By: LOWELL CRISHAM, President Board of Directors of Seven Hills Homeless Center, Inc. 3 Seven -Hills Lease Property De nption: • A part of the Northeast Quarter (NE%) of the Northeast Quarter (NE%) of Section Twenty-two (22), Township Sixteen (16) North, Range Thirty (30) West of the 5th Principal Meridian, being more particularly descnbed herewith as follows: Beginning at a point South 02° 47' 37" East 44.29 feet from the Northwest comer of the NE% of the NE% of said Section 22, said point being on the West 40 acre tract line and the south right of way line of Huntsville Road; thence running along said south nght of way line of Huntsville Road South 87° 50' 21" East 155.34 feet; thence leaving said south right of way line of Huntsville Road and running South 01° 28' 11" East 258.35 feet; thence South 87° 28' 11" East 60.00 feet; thence South 01 °28' 11" East 65.00 feet; thence South 02° 47' 36" West 396.89 feet; thence North 87° 50' 21" West 239.38 feet to the west line of the NE% of the NE% of said Section 22; thence along said west line North 02° 47' 36" East 720.00 feet to the Point of Beginning, containing 3.51 acres, more or less, being subject to rights of way and easements of record. • • eiritS ttAski Z.5 dvew c.* A;,ve.� +4 0.4 J S l 114 • • 1 NW comer NE--NE-22-16-30 155.34 sar5O2 E 8 5 m 00 NSr5O21'\v 0 239.38 SR715O21•E 0 Remainder 12.40 Acres aye evi e ARKANSAS City Clerk Division 113 West Mountain Fayetteville, AR 72701 Telephone: (479) 5754323 Fax: (479) 718-7695 city_clerio@cilayetteville.ar.us DEPARTMENTAL CORRESPONDENCE To: From: Date: Re: Brenda Thiel Alderman Clarice Buffalohead-PearmanW City Clerk Division December 13, 2004 Res. No. 199-04 The City Council passed the above resolution, December 7, 2004, approving a lease agreement with Seven Hills Homeless Center, Inc. I have attached a copy of the resolution recognizing that decision along with a copy of the contract. The resolution will be recorded in the city clerks office and microfilmed. If anything else is needed please let the clerk's office know. Thanks. /cbp attachments cc. Internal Auditor