HomeMy WebLinkAbout296-20 RESOLUTIONGF FAYFT)f
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113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 296-20
File Number: 2020-0691
GFAR LESSEE LLC D/B/A GRADUATE FAYETTEVILLE:
A RESOLUTION TO APPROVE AN AMENDMENT TO THE LEASE AGREEMENT WITH
GFAR LESSEE LLC DB/A GRADUATE FAYETTEVILLE BY RETROACTIVELY REDUCING
THE NUMBER OF LEASED PARKING SPACES IN THE MEADOW STREET MUNICIPAL
PARKING DECK FOR THE PERIOD FROM APRIL 1, 2020 TO JUNE 30, 2020, AND TO
EXTEND THE LEASE AGREEMENT FOR ONE ADDITIONAL SEVEN YEAR TERM
THROUGH 2O33
WHEREAS, since 1990, the City has leased to the owners of the Graduate Hotel 178 parking spaces
located on the first and third levels of the Meadow Street Municipal Parking Deck at a rate of $50.00
per space per month; and
WHEREAS, the Graduate Hotel was forced to close earlier this year because of the COVID-19
pandemic and has requested to retroactively reduce the number of parking spaces that it leased from
the City for the time period of April 1, 2020 through June 30, 2020, by removing the spaces on the
third level of the parking deck from the lease agreement; and
WHEREAS, the Graduate Hotel has requested to add an additional seven (7) year term to the lease
agreement, which would extend the agreement through 2033.
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 authorizes Mayor Jordan
to sign the Amended and Restated Lease of Meadow Street Parking Deck with GFAR Lessee LLC
D/B/A Graduate Fayetteville for the use of parking spaces in the Meadow Street Municipal Parking
Deck, which retroactively reduces the number of leased parking spaces by removing the third level
Page 1 Printed on 12/2/20
Resolution: 296-20
File Number.' 2020-0691
parking for the period from April 1, 2020 to June 30, 2020 and extends the Lease Agreement for one
additional seven year term.
PASSED and APPROVED on 12/1/2020
Attest:
`��.,��•C,LERK,T
o•.�
Kara Paxton, City Clerk Treasured F4k, 'c
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NSAS • . • ��.
Page 2 Printed on 12/2/20
City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
_ (479) 575-8323
Text File
File Number: 2020-0691
Agenda Date: 12/1/2020 Version: 1 Status: Passed
In Control: City Council Meeting File Type: Resolution
Agenda Number: A.2
GFAR LESSEE LLC DB/A GRADUATE FAYETTEVILLE:
A RESOLUTION TO APPROVE AN AMENDMENT TO THE LEASE AGREEMENT WITH GFAR
LESSEE LLC DB/A GRADUATE FAYETTEVILLE BY RETROACTIVELY REDUCING THE
NUMBER OF LEASED PARKING SPACES IN THE MEADOW STREET MUNICIPAL PARKING
DECK FOR THE PERIOD FROM APRIL 1, 2020 TO JUNE 30, 2020, AND TO EXTEND THE LEASE
AGREEMENT FOR ONE ADDITIONAL SEVEN YEAR TERM THROUGH 2O33
WHEREAS, since 1990, the City has leased to the owners of the Graduate Hotel 178 parking spaces located
on the first and third levels of the Meadow Street Municipal Parking Deck at a rate of $50.00 per space per
month; and
WHEREAS, the Graduate Hotel was forced to close earlier this year because of the COVID-19 pandemic
and has requested to retroactively reduce the number of parking spaces that it leased from the City for the time
period of April 1, 2020 through June 30, 2020, by removing the spaces on the third level of the parking deck
from the lease agreement; and
WHEREAS, the Graduate Hotel has requested to add an additional seven (7) year tern to the lease
agreement, which would extend the agreement through 2033.
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 authorizes Mayor Jordan to sign
the Amended and Restated Lease of Meadow Street Parking Deck with GFAR Lessee LLC D/B/A Graduate
Fayetteville for the use of parking spaces in the Meadow Street Municipal Parking Deck, which retroactively
reduces the number of leased parking spaces by removing the third level parking for the period from April 1,
2020 to June 30, 2020 and extends the Lease Agreement for one additional seven year term.
City of Fayetteville, Arkansas Page 1 Printed on 11*ZW20
City of Fayetteville Staff Review Form
2020-0691
Legistar File ID
12/1/2020
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
Justin Clay 11/10/2020 PARKING MANAGEMENT (430)
Submitted By Submitted Date Division / Department
Action Recommendation:
Amending the lease agreement with the GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE for use of parking
spaces in the Meadow Street Municipal Parking Deck
Budget Impact:
Account Number
Fund
Project Number
Project Title
Budgeted Item? NA
Current Budget
$ -
Funds Obligated
$ -
Current Balance
Does item have a cost? NA
Item Cost
Budget Adjustment Attached? NA
Budget Adjustment
Remaining Budget
V20180321
Purchase Order Number: Previous Ordinance or Resolution # 17 5 to
Change Order Number:
Original Contract Number:
Comments:
Approval Date:
CITY OF
FAYETTEVILLE
W4ff ARKANSAS
MEETING OF DECEMBER 1, 2020
TO: Mayor and City Council
THRU: Susan Norton, Chief of Staff
Peter Nierengarten, Environmental Director
FROM: Justin Clay, Parking Manager
DATE: November 10, 2020
CITY COUNCIL MEMO
SUBJECT: Parking Lease Amendment with Graduate Hotel
RECOMMENDATION:
Staff recommends amending the lease agreement with the Graduate Hotel for use of parking
spaces in the Meadow Street Municipal Parking Deck by reducing the amount of spaces to
include the first level of the deck only for the timeframe from April 1, 2020 to June 30, 2020 and
to extend the lease agreement for one additional seven (7) year term.
BACKGROUND:
Since 1990, the City has leased to the owners of the hotel the 178 parking spaces located on
the first and third levels of the Meadow Street Municipal Parking Deck at a rate of $50 per space
per month. The current agreement is in the second seven (7) year term and is set to expire in
2026.
DISCUSSION:
The Graduate Hotel was forced to close earlier this year due to the COVID19 pandemic. The
hotel has since reopened and would like to retroactively reduce the number of parking spaces
that it leased from the City for the timeframe from April 1, 2020, to June 30, 2020, by removing
the spaces on the third level from its lease agreement.
In addition, the Graduate Hotel has requested to add one additional seven (7) year term to the
lease agreement, thus extending the agreement to 2033. Additional amendment language
allows the City to increase the rate up to 20% during the third term and requires the two parties
to discuss the rate structure one year prior to the beginning of the third term.
BUDGET/STAFF IMPACT:
Loss of $13,350 in revenue for the three-month period April -June 2020 during the hotel closure.
Attachments:
Meadow Street Parking Deck Amended and Restated Lease Agreement
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
AMENDED AND RESTATED LEASE OF
MEADOW STREET PARKING DECK
This A_r}�ended and Restate Lease of Meadow Street Parking Deck, made and entered into this
17 day of D!� , 2020 by and between the City of Fayetteville,
Arkansas, a Municipal Corporation, 113 W. Mountain St., Fayetteville, Arkansas, and GFAR LESSEE
LLC DBA GRADUATE FAYETTEVILLE, a Delaware limited liability company, amends and restates
the original agreement made and entered into on September 6, 2011 by and between the City of
Fayetteville and Southwind Hospitality, LLC, as amended by Resolution 193-16, which contained
Amendment # 1 to that certain Lease of Meadow Street Parking Levels 1 and 3 dated July 2016, and that
certain Assignment and Assumption of Lease of Meadow Street Parking Deck 1 and 3 dated as of
December 4, 2018.
WITNESSETH:
The City of Fayetteville, for and in consideration of the rents hereinafter reserved and of the covenants
and agreements hereinafter set forth to be kept and performed by GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE, agrees to lease the premises as later described to GFAR LESSEE LLC
DBA GRADUATE FAYETTEVILLE, and GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE, agrees to pay rents set forth below and to lease from the City of Fayetteville,
eighty-seven (87) parking spaces located on the first level and eighty-nine (89) parking spaces located
on the third level (as further described herein) of the Meadow Street Parking Deck on that parcel of land
situated in the County of Washington and State of Arkansas, and more particularly described as:
A part of Block numbered Fifteen (15) in the original plat of the City of Fayetteville,
Arkansas. described as follows: Beginning at a point 127 feet west of the northeast corner
of said Block Fifteen; and running thence west 177 feet; thence south 206 feet; thence
east 177 feet; thence north 206 feet to the place of beginning.
Said parcel of land and parking spaces may be hereinafter referred to as the "Leased Premises".
1. Term of Lease, The initial term of this Lease shall commence on October 1, 2011 after
the execution of the lease by both parties and shall be for a period of one (1) year and cover only the first
level with 87 parking spaces at $50.00 per month each or $4,350.00 per month. There shall be three
automatic annual renewals: each for a period of seven (7) additional years and upon the same terms and
conditions as this Lease unless otherwise specified herein or agreed by the parties in writing. For each of
the seven (7) year extensions, and unless otherwise stated in this agreement, GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE will lease 176 parking spaces at $50.00 per month on the first and third
levels of the Meadow Street Parking Deck for a total monthly rental of $8, 800.00.
From April 1, 2020, through June 30, 2020, the Leased Premises shall consist of only the first
level with 87 parking spaces at $50.00 per month each or $4,350.00 per month.
2. Right of First Refusal. If at any time during the term of this Lease the City of
Fayetteville receives an acceptable bona fide offer to purchase the Leased Premises, or any part thereof,
the City of Fayetteville shall submit a written copy of such offer to GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE giving GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE
thirty (30) days within which to elect to meet such offer.
3. parking Ste. This Lease shall be for the entire first level of the Leased Premises
consisting of eighty-seven (87) parking spaces of the Fayetteville Municipal Parking Deck located at 25
E. Meadow Street for the term of the first year lease. This lease shall cover the first and third levels
(176 parking spaces) in subsequent years.
4. &Ia. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE shall pay to the City
of Fayetteville as rent for the Leased Premises the following:
a. The sum of fifty doll ars ($50.00) per month per parking space (87) rented on the first
level of the Leased Premises which monthly total shall be Four Thousand Three Hundred
Fifty Dollars ($4,350.00).
b. The sum of fifty dollars ($50.00) per month per parking space (89) rented on the third
level of the Leased Premises which monthly total shall be Four Thousand Four Hundred
Fifty Dollars (4,450).
c. Beginning with the third term commencing on October 1, 2026, the rent payable to the
City for the third term may be increased by up to 20%. The City and GFAR LESSEE
LLC DBA GRADUATE FAYETTEVILLE shall review the future rent amount payable
to the City one year prior to the beginning of the third term.
d. The monthly rental shall be payable in consecutive monthly installments payable in
advance on or before the first day of every calendar month.
Deposit. [Removed].
6. jJ,gg. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE and its subtenant or
occupants shall have the right to use the Leased Premises for parking only; any other use of the Leased
Premises must be pre -approved by the City of Fayetteville and shall meet all present and future
building codes, zoning and other Laws.
7. RCUAim. The City of Fayetteville shall, during the term of this Lease and any renewal or
extension thereof, at its sole expense, keep the Leased Premises in as good order and repair as it is at the
date of the commencement of this Lease, reasonable wear and tear and damage by accidental fire or
other casualty not within the control of City of Fayetteville excepted. GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE shall not knowingly commit or willfully permit to be committed on the
Leased Premises any waste, damaging act, or thing contrary to the rules and regulations prescribed from
time to time by either federal, state or municipal authority.
8. Casually, If at any time the Leased Premises or the building which forms the principal
component of the Leased Premises should be damaged by fire or any major casualty which is not the
fault of GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE and the cost of repairing the
damage does not exceed 35% of the value of the Meadow Street Parking Deck, then the City of
Fayetteville shall as soon as reasonably practical repair the damage caused by said fire or other casualty.
If, however, the damage should exceed 35% of the value of the Meadow Street Parking Deck, the City
of Fayetteville shall have the option of either repairing said premises or terminating this Lease as of the
date of said fire or other casualty by giving notice to GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE within thirty (30) days after said date. If the damages should render the Leased
Premises untenantable for the use of GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE's
business as set forth herein, the rental from the date of said fire, or any major casualty not the fault of the
GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE, to the date of the completion of the
restoration of the premises shall be abated, such abatement being figured on a pro rata basis of the
rentals.
In the event the damage should exceed 35% of the value of the Meadow Street Parking Deck and
the City of Fayetteville makes the decision not to repair the Leased Premises such a decision must be
submitted in writing to GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE. Upon receipt of the
notice from City of Fayetteville, GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE has thirty
(30) days to elect either, or both, of the following options:
a. To purchase the entire Leased Premises from City of Fayetteville at its then fair market value
and/or,
b. To repair the Leased Premises as GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE's sole and exclusive expense with all terms of the Lease, except for
abatement of rent provided for herein, continuing in effect.
9. Lightim-, and Painting. City of Fayetteville shall, during the term of this Lease and any
renewal or extension thereof, at its sole expense, keep, in the same manner as it is as of the date of the
commencement of this Lease, the Leased Premises lighted, and all parking spaces properly striped and
the premises painted.
10. Parking EQuinment. City of Fayetteville shall, during the term of this Lease and any
renewal or extension thereof, at its sole expense, provide revenue control and access equipment for the
Leased Premises. This equipment shall include parking gates, parking card readers, and automatic
revenue control machines located at the entrance of the parking deck.
11. Parking Management Services. The City of Fayetteville shall provide services to
manage the Leased Premises. This service shall include the following:
a. Provide parking revenues and access control equipment for Leased Premises.
b. Program parking cards and distributing them to GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE; activate and deactivate parking cards as requested by GFAR LESSEE
LLC DBA GRADUATE FAYETTEVILLE.
c. Provide routine maintenance on gates, card readers, revenue control machines, etc. Expenses
incurred for maintenance on equipment shall be borne by the City of Fayetteville, unless
damages for required repairs were directly caused by GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE and/or its employees.
d. Provide a minimum of four (4) hours of cleaning services per week; cleaning services include
sweeping; blowing; vacuuming; spot washing of soft drinks, mud, or other spills; and the
emptying of trash containers into the dumpster.
e. Retrieve revenues from revenue control machines at least once per month.
f. Frequently service the revenue control machines to ensure change hoppers have sufficient
coins to make change to customers. City staff will take a sufficient amount of money from
the revenues collected in order to purchase enough quarters and dollar coins to keep revenue
machines fully operational. One hundred percent (100%) of the revenues collected, less
monies used to replenish quarter and dollar coin hoppers, will be deposited into the City's
account; a check will be issued to GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE for one hundred percent ( 100%) of the total revenues, less monies used to
replenish quarter and dollar coin hoppers and/or cost to replenish parking cards. This revenue
shall be reimbursed to GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE within
thirty (30) days of receipt of monies collected.
g. Provide accounting of all revenues received through the revenue control machines on a
monthly basis; provide audit statement; of revenues collected to GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE on a monthly basis.
h. All expenses incurred for the purchase of equipment and supplies for the operations of the
deck shall be borne by the City of Fayetteville. All purchases shall be initiated by the City of
Fayetteville.
i. The City agrees to allocate parking cards only to GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE and employees of the Parking Management Division for purposes of
executing parking services.
j. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE may reallocate parking cards to
a second party as they deem necessary, however. GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE may not resell parking spaces for a greater amount than that paid by
GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE to the City of Fayetteville as set
forth in this contract except that GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE
is free to charge its hotel guests whatever parking fee it determines is appropriate.
12. Tenant Resoonsi GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE
shall provide the following:
a. Reimburse the City of Fayetteville for cost of all parking cards provided for access into the
Leased Premises. The City of Fayetteville shall bill GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE for all parking cards issued to GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE at the actual cost of the card plus applicable sales tax. The City of
Fayetteville shall have the option to bil I GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE for this cost, or may deduct the cost directly from the money collected
from the revenue control machines. If invoiced, GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE shall submit payment within thirty (30) day of invoice date to the City of
Fayetteville.
b. Provide advance notification to the City of Fayetteville and post signage at the Leased
Premises at least forty-eight (48) hours in advance prior to any parking area closure on
Leased Premises.
c. Provide advance notification at least forty-eight (48) hours in advance to the City of
Fayetteville when gates need to be programmed to open/close for special events or any other
reason.
d. Provide advance notification at least forty-eight (48) hours in advance to the City of
Fayetteville when additional parking cards need to be issued and/or programmed.
13. Insurance and Indemnification. GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE shall be solely responsible for insuring its interests in the Leased Premises and
improvements for its protection. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE agrees to
indemnify and hold harmless the City of Fayetteville, its officers and employees from any and all
claims, demands, liabilities, and costs including attorney fees related to Lessee's use of the leased
premises.
14. Taxes. The City of Fayetteville shall pay all real estate taxes and special assessments, if
any, during the term of the Lease.
15. Utilities/Janitorial. The City of Fayetteville shall provide and pay for all utility service
and janitorial service in the Leased Premises.
16. Nuisance. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE covenants and
agrees not to use or allow the Leased Premises to be used for any purpose or in any manner which would
constitute or create a nuisance, which would constitute waste, which would interfere with the lawful
rights of owners or occupants of adjoining property or which would in any way be contrary to the law,
ordinances, orders, rules, regulations or requirements of the federal, state, county or municipal
governments or any department, board or bureau thereof. GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE further agrees to promptly comply with the requirements of any of the aforesaid
authorities with reference to the installation, erection, construction, use, repair or modifications or any
improvements situated upon the Leased Premises during the term of this Lease.
17. Holding Over. Any occupancy by GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE of the Leased Premises beyond the expiration of this Lease as herein provided shall
be a tenancy from month to month.
18. cgs. All notices, demands and requests provided for or permitted to be given under
this Lease must be in writing and shall be deemed to have been properly given or served by depositing
the same in the United States Mail, addressed to the City of Fayetteville or to GFAR LESSEE LLC
DBA GRADUATE FAYETTEVILLE, as the case may be, prepaid and certified mail, return receipt
requested, at the party's last known address. All notices demand and requests shall be effective seventy-
two (72) hours after being deposited in the United States Mail. Rejection or other refusal to accept or the
inability to deliver because of changed address of which no notice was given shall be deemed to be
receipt of the notice, demand or request. Either party shall have the right from time to time and at any
time upon at least ten (10) days written notice thereof, to change their respective addresses and each
shall have the right to specify as its address any other address within the United States of America.
19. Legal Representatives. Successors and Assigns. It is further covenanted and agreed by
and between the City of Fayetteville and GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE,
that all covenants, agreements, provisions, conditions and undertakings in this Lease contained shall
extend to and be binding upon the heirs, executors, successors and assigns of the respective expressed,
and shall be construed as covenants and conditions running with the land and the reversion; and that
wherever in this Lease reference is made to either the City of Fayetteville or GFAR LESSEE LLC
DBA GRADUATE FAYETTEVILLE, it shall be held to include and apply to (wherever and whenever
applicable) the heirs, executors, successors, personal or legal representatives and assigns of the City of
Fayetteville or GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE, the same as if in each and
every case so expressed.
20. Condemnation. If during the term of this Lease, or any renewal thereof, all or
substantially all of the Leased Premises shall be taken or condemned by a competent authority for any
purpose or use, then the Lease shall terminate immediately after the vesting of title in such authority and
rent shall be paid to and adjusted as of that day. The term "all or substantially all' shall be deemed to
mean a taking of all of the Leased Premises or a taking of such portion of the Leased Premises that
GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE cannot reasonably operate in the remainder
in substantially the same manner as before.
21. Rjght Unon Default. The City of Fayetteville may declare GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE in default and terminate this lease (subject to applicable cure periods
provided for herein) if GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE shall do any of the
following:
a. Fail to pay any installment of monthly rent and continue in default for thirty (30) days after
the City of Fayetteville gives GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE
written notice specifying the default; or
b. Fail to timely pay monthly rental payments for two (2) or more months during any
consecutive twelve (12) month period during the term of this lease may, at the discretion of
the City of Fayetteville, constitute default; or
c. Default in any other covenant of GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE in this Lease and fail to commence (subject to unavoidable delay) to take
reasonable steps to remedy such default within twenty (20) days after the City of Fayetteville
gives GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE written notice specifying
the default.
Upon the occurrence of any aforementioned default that has not been fully and timely remedied, the City
of Fayetteville may terminate this Lease upon ten (10) days written notice of its intent to so terminate,
provided such termination shall not be allowed if either of the following provisions are complied with
during the notice period or at any prior time:
i. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE proceeds to cure the default or
takes reasonable remedies to cure the default; or
ii. GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE contests the amount claimed to
be due or any other item for which an amount could be estimated (definite or estimated), and
GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE deposits the contested amount
in an escrow account with instructions to the escrow agent to disburse the amount in
accordance with the written agreement of GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE and the City of Fayetteville or in accordance with the order of a court
exercising jurisdiction over the controversy.
22. Termination. Neither party may terminate this Lease without consent of the other party
unless the other party has committed a default of this Lease, subject to applicable cure periods provided
for herein, if any. If the City of Fayetteville sells this parking garage to a third party, this lease and all
extensions of this lease must be assigned with the sale.
23. Assignabil� GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE shall not,
without the written consent of City of Fayetteville, assign this Lease, or any rights thereunder, or sublet
any part of the Leased Premises, provided however, GFAR LESSEE LLC DBA GRADUATE
FAYETTEVILLE is authorized to assign this Lease as part of any sale of the hotel that is located
adjacent to the Leased Premises provided that, at the time of the closing of the sale, the purchaser
agrees to continue to operate the purchased improvements as a hotel. Upon any approved assignment of
this lease by GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE in which its assignee agrees to
be bound by all terms of this Lease, GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE shall
be released and discharged from any further obligations or liabilities it has hereunder and any assignee
of GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE shall have all rights belonging to GFAR
LESSEE LLC DBA GRADUATE FAYETTEVILLE under this Lease.
24. Estoppel Certificate. Within forty-five (45) days after notice from the other party, each
party shall execute and deliver to the other for the benefit of such party's existing or prospective lender,
purchase, assignee or subtenant, as the case may be, an estoppel certificate.
25. Entire Agreement, All previous negotiations and understandings between the City of
Fayetteville and GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE, or their respective agents
and employees, with respect to the Lease set forth herein are merged in this Lease which alone fully and
completely expresses the parties' rights, duties and obligations.
26. No waivers, alterations or modifications of this Lease shall be valid
unless written upon or attached to the fully executed copies of this Lease and further executed by both
the City of Fayetteville and GFAR LESSEE LLC DBA GRADUATE FAYETTEVILLE herein.
27. BlujiM This Lease shall be binding upon the parties and upon their heirs, successors
and assigns. This Lease shall be construed under the laws of the State of Arkansas.
IN WITNESS WHEREOF, the City of Fayetteville and GFAR LESSEE LLC DBA
GRADUATE FAYETTEVILLE have executed this Lease on or as of the date first written above.
GFAR LESSEE LLC
DBA GRADUATE FAYETTEVILLE
0��
Printed Name: Martin Hanson
Title: President / Collegiate Hotel Group, LLC
dba Graduate Hotels Management -Mgr.
WITNESS: ATTEST: ��������►►►rrr
OERK/ "'i,Pt.• • 6i,nel,,s, "Ica,teA__
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CITYO•;�9J,.�
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Printer Name: Peggy Biggers Kara Paxton, City lerk-TreasureE : FAYErrE0t1E ; ;
Title: Contracts Administration Specialist ��z y
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