HomeMy WebLinkAbout95- Montana Dept. of Fish, Wildlife & Parks
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LEASE
THIS LEASE, entered into this /tJ m day of November, 1981,
by and between POLLARD FINANCE, INC. , an Idaho Corporation, of
P.O. Box 84, Mack's Inn, Fremont County, Idaho, hereinafter
referred to as "Landlord," and THE CITY OF BOZEMAN STREET
DEPARTMENT, WATER DEPARTMENT, SEWER DEPARTMENT, all of which are
acting through THE CITY OF BOZEMAN, a municipal corporation, and
all and each of which are known collectively as "'l'enant. II
WIT N E SSE T H:
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WHEREAS, the Landlord has agreed to construct and own in
its own name solely a vehicle storage building for the various
utilities of the City of Bozeman, all of which is more
particularly set out on Exhibit "A", which is attached hereto and
by this reference made a part hereof: and
WHEREAS, the parties desire to negotiate a lease of the
structure for a period of five years, together with three options
to renew said right to lease, each additional renewed lease
periOd under each option to renew being for a period of fivE~
years; and
WHEREAS, the Landlord agrees that upon the completion of
the twentieth year of said lease to transfer and assign the
building and surrounding improvements to the Tenant for the sum
of $10.00 and the further consideration of the Tenant's
performance of this lease.
NOW, THEREFORE, in mutual consideration of the covenants
contained herein, it is hereby agreed as follows: 1-:
l. Description of Premises. Landlord leases to Tenant
the structure to be construed and owned by the Landlord and more
specifically described and set out on Exhibit "A", which is
attached hereto and by this reference incorporated herein and
made a part hereof. This structure, which shall be constructed
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by the L<~ndlorQ, shi.ill be located on real lJrul.J8rty O\v'w:ci by UtE"
'I'cnant.
2. 'l'crm. 'rhe ter:m 01 this lease: is Tor u period at
five years, commencing on the first day of OCCUpancj' of the
stl:ucture b;.' thE: Tenant, which shall be no later than
J;1 AI< CII-.:z" /9 e~~ 'l'herea feer , suoject to the prov~slons provining
tor rene\wls 01. this lease, thl.s lease shall terminate at Ule
expiratl.on of the fifth year of occupancy of the [;tl:ucture by the
'i'enan t.
3. Her! t. 'l'he total rent under thi.s lease for d
period of five :l'(:;ars shall be $173,280.uO. 'l'enan t shd.ll Pa.i'
Landlord that amount in installments of $2,B88.00 pel:' month
beginning upon occupancy of the premises leased hereunder, with
each succeeding paj:'men t du(~ cen UIe next succeeding mon t.h
thereafter during the five-year tEorm of t.lli s lease.
In the eV8nt thE Tenant shall exerci~:>c any OpLiol'Lo;
to renew this lease, then the same rent shall be applicable
throughout th8 term of each addi.tional five-year period.
, Use of Premises. The leased bUl.lding if:) t;o be
'! .. used for a shop and storage facility for the 'I'cnant. rrlle 1'ena~--,t
may also use it for such ether uses as it d~ems necessary under
the corporate purposes authorized under the laws of the State of
Hontana. The Tenant shall not use the premises for any unlawful
or illegal activities.
5. \~aste , Nul ~;ance or Unlawtul Act"i ~;!.}.. Cl'cnElnt
shall not allow any waste or nuisance on the premibcs.
b . Delivery ot Possession. It is agreed tbat the
Tenant shall have possession of the building and improvcm.ents on
';-lr before JtMR.CH q /Cf.l.y, 1982.
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7 . Utillties. 'I\.:nant .shall cli:TuWjC dWJ pd.Y 1()l.:. ,-:.~j_
utilities iurni,,;hed the prcmiu:::;:; fOL "he t(,nn oJ: th i f3 lea.sE. ,
including ~lectriciLy, gas, wcltr::>r, sewe:r and telephone S('TV j,cc.
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H. Repair and Maintenance. Tenant shall maintain the
premises and shall keep them in good repair at its expense;
Tenant shall maintain and repair windows, doors, skylights,
adjacent sidewalks, ~he exterior and interior walls. rl'hif:;
prov ision shall not negate the Landlord's responsibilities
contained in Paragraph hereot.
9. Dc U. vC'J:,"y , Acceptance and SurrE'ncic:c of Premisc:s.
It is specifically understood &nd agreed that the premises to be
leased hereulloer arc preSEntly under construction. 'I'he
construction 18 to be completed according to the plans and
specitications contained on Exhiblt "1'\" . Prior .to occupancy of
the leased premlses by the Tenant, 'l'enant shall be allowed a full.
and complete opportunity to inspect the premises. This lease
shall not become effective and no rent shall become due until and
after said p:r:'emises are accept-pd by the Tenant and are
constructed in accerdance with the provisions of Exhibit "A".
Acceptance of' the premises by the 'l'eni:lrlt shall then be construed
as recognition that the premises i:-.re in (l good st.;;. te of repair
and in sanitary condi~ion. 'l'enant shall surrender the premises
at the end of the lease term, or any renewal thereof, in the S ill':lE
condition as when Tenant took possession, allowlng for reasonable
use and wear, and damage by act~, of God, includirlg fires and
storms. Before redelivery, 'l'enant shall remove all signs placed
on the premises by Tenant and restore the portion of the premises
on which they were placed in the same condition as when received.
10. Partial Destruction ot Premises. Par."t.ial
destruction of the leased premises shall not render this lease
void or voidable, nor: terminate it eAcept as herein providca. If
the premises are partially destroyed under the terms 01 this
lease, Tenant shall repair them when such repairs call be made .1,\
conformity with governmental law and regulations. It is
understood that the TeDont shall, ~,ubj ect to other provlsions of
this l(;ast~ , carry all appropx: iate lIisurance in ox'der t.o tll'--lke the
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aforesaid repairs. If repairs cannot be made, said failure to
make repairs does not reduce the &lliOunt of rent owed to the
Landlord by the Tenant, nor does it reduce or affect the Tenant's
right to lease the building.
11. Improvement. of Premises. 'l'enan.t shall be allowed
to make any improvements, additions, alterations, repairs, or
changes in the building, structural or otherwise, at its sole
discretion and cost. However, such repairs and alteratluns shall
be made according to the appropriate building, plumbing and
electrical codes existing within the City of Bozeman.
12. Non-Liability of Landlord for Damages. Subject to
Paragraph , Landlord shall not be liable for liabil i t:i or
damage claims for injury to persons or property from any cause
relating to the occupancy or use of the premises by Tenant,
including those arlsing out or damages or losses occurring un
sideWalks or other &reas adjacent to the leased premises during
the term of this leasE.: or allY extension t.herr::o:t. Tenant shall
indemnify Landlord from all 1 L;;ib i lit Y , loss or other damage
claims or obligations resulting from .;.tny lnjuries or losses or
this nature.
13. Liclbillty In!:..ur'ance. Tenant shall procure and
maintain in force at his expense during the term of this lease
and any extension thereof lidbility insur:ance. 'I'enan t shall
obtain a written obligation from insurers to notify Landlord in
writing at least 30 days prior to cancellation or refusal to
renew any policy.
14. Assignment, Sublease or License. 1'enant shall be
allowed to assign, sublet or relet any of the demised and leased
premises described herein; however, such assignment, reletting or
subletting shall not excuse, delay, hinder or otherwise abs01ve
the 'l'enan t from the responsibility and liability for the payment
of the rent agreed herein.
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15. Remedies of Landlord for Breach by Tenant.
Landlord shall have the following remedies in addition to its
other rights and remedies in the event that Tenant breaches this
lease agreement..
(a) The Tenant shall have a is-day grace period to
make any rent payment or perform any obligation herein.
(b) Thereafter, Landlord may terminate this lease
according and pursuant to the laws of the State of Montana. On
terminati.on, Landlord may recover from Tenant all damages
proximately resulting from the breach, includif1(J the cost of
recovering the premises and the worth of the balance of this
lease over the reasonable rental value of the premises for the
remainder of the lease term, which sum shall be immediately due
Landlord from Tenant.
(c) After reentering, Landlord may relet the premises
or any par.t thereof, for any term without terminating the lease,
at such rent and on such terms as it may choose. Landlord may
make alterations or repairs to the premises. 'l"he duty and
liabilities of the parties if the premises are relet as provided
herein shall be as tollows:
( 1) In addition to Tenant's liabillty to Landlord for
breach of the lease, 'l'E:nan't shall be liable :1:01:
all expenses of the reletting, tor the alterations
and repairs made, and for the difference between
the rent received by Landlord under the new lease
agreement and the rent installments that are due
tor the same period under this lease.
(2) Landlord at its option shall have the right to
apply the rent received from reletting the
premises (a) to reduce Tenant's indebtedness to
Landlord under the lease, not including
indebtedness for rent, (b) to expenses of the
reletting and alterations and repairs made, (c) .to
rent due under this lease or (d) to paymen't of
future rent under this lease as it becomes due.
If the new Tenant does not pay a ,L'en l i I:. s t ~:.11.rL1(:. ~.1 -t
promptly to Landlord, and the rent installment h",S
been credited in advance or payment to the
indebtedness of Tenant other than rent, or it
rentB.ls from the new 'l'enant have been othe:r:'Wl::;e
applied by Landlord as provided for herein, and
du:c L1g any rei"] t installment per i0d, are less than
the ~"ent pClyable for the con:"espondillg installment
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period under this lease, Tenant shall pay Landlord
the deticiency, separately for each rent
installment deficiency period, and before th~ end
of that period. Landlord may a. t any time after
such reletting t€,rmina te "the lease for "the breach
on which the Landlord based the reentry and relet
the premises.
16. Attorneys I Fees. If the Lanalord files an action
to enforce any agreement contained in this lease, or for: breach
of any covenant or condition, Tenant shall pay Landlord
reasonable attorneys' fees for the services of Landlord's
attorney' in the action, all fees to be fixed by the Court.
17. Option to Henew. Landlord gr"ant.s to 'l'enant three
options to renew this lease tor a period of tive years each aft~r
the expiration of the original term of thls Lease at the same
rental amount., with all of the terms and conditions of the
renewal lease to be the same as those herein. '1'0 exercise this
option to renew, Tenant must give Landlord written notice of
intention to do so at least 30 days before this lease expires.
18. Applicable Law. This .;lgreernent shall be governed
by and construed in accordance with the laws of the State of
Hontana.
19. 1'ime is of the Essence. Time is of the essence in
all provisions of this lease.
20. Total Agreement, Applicable to Successors. This
lease contains the entire agreement between the parties and
cannot be changed or terminated except by a wl:"i tten instrument:
subsequently executed by the parties hereto. '1' his lease and the
terms and conditions hereof apply to and are binding upon the
heirs, legal representatives, successors and assigns hereof.
21. Option of Tenant to Purchase. 1'he rrenant shall
have the option to purchase t.he leased premises at any time
during the lease period or any renewal~ thereof. 'l'nl;'.~ pu:ccr-!Cl. ~c
price shall be the total rent for one five-year period multiplied
by four less all rent paid pursuant to this lease. If this lease
is renewed for the third time, at the end of the twentieth year,
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the Tenant shall receive the building for the sum of $10.00 cash. The
other consideration shall be the continuing of performance of this lease
by the Tenant. The parties designate First Bank of Bozeman, Bozeman,
Montana, as the escrow agent of this agreement. The Landlord shall
deposit a copy of this lease together with a bill of sale and a qui t-
claim deed transferring the structure and improvements to the Tenant.
The Landlord covenants not to albw any liens or encumbrances on the
leased premises during the term of this agreement, and further cove-
nants the transfer of the property to the Tenant shall be free and clear
of all liens, encumbrances and restrictions of record.
22. Escrow Agent. The Tenant shall pay the monthly rental
to the escrow agent. The escrow agent shall forward said rental pay-
ment immediately to the Landlord upon written direction. Upon final
payment of the rent due and thus exercising the option to purchaser,
escrow agent is authorized to close the escrow and forward all docu-
men ts to the T enan t .
23. Liquidated Damages. As an inducement to enter into this
lease and to grant to Tenant the extensions and renewals of this lease,
the Tenant agrees that in the event the Tenant fails to renew the lease
at the end of the original term of the lease or after the first and second
renewal periods, the Tenant shall deposit with the escrow agent the sum
of $175,000.00 cash as liquidated damages for the failure of the Tenant
to renew said lease.
It is further agreed that in the event of default for failure to
renew this lease, the Tenant shall deposit a quitclaim deed to the
real property beneath and immediately surrounding the building to-
gether with reasonab Ie access thereto. The Landlord shall be entitled
to receive this quitclaim deed from the escrow agent upon termination
of the Tenant's occupancy of the building after default.
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24. Guarantees and Warranties of Landlord. It is
understood that the Landlord is constructing said building
according to the specifications and requirements of the 'I'enant.
These specifications and requirements are set out on Exhibit "A" .
The Landlord agrees that it will guarantee and warrant all
workmanship, labor and materials used in the construction of the
building for a period ot one year afler commencemE.:n'L at occupancy
of the building by the Tenant. During the course of that one
year, if the Tenant shall sustain any damage to any of its
property, personnel or equipment located in the bUilding, the
Tenant is authorized to hold such damages from the next rent
payment and may continue to withhold such rent payments until the
Tenant is full~' compensated. This warranty and guarantee for
workmanship, material and labor shall terminate one year after
occupancy and acceptance of the building by the Tenant.
25. I-lechanics' Liens and Liens for Construction. In
addition to the covenant contained in Paragraph 21, the Landlord
agrees not to allow any liens, encumbr:a.nces or any other.'
restrictions to be placed of record against the real property
owned by the Tenant on which the structure is being built. The
Landlord will indemnify and hold the Tenant harmless from any and
all claims, demands, or causes of action that the Tenant may
incur, including attorneys' fees, as a result of any lien~' ,
mechanics' liens, restrictions or encumbrances filed on any
property owned by the Tenant or leased by the 'l'enant which lC the
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subject of this agreement..
26. Warranties of Title and Quiet Possession.
Landlord covenants that Landlord is seized of the demised
premises and has full right to make this lec'ise, <:tEd tha t '1' t..':ii d.n t
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shall have quiet and peaceable possession of the demised
premises, building and improvements during the term hereof.
IT WITNESS WHEREOF, the parties have set their hands and
seals the year and date first written above.
POLLARD FINANCE, INC.
. Ho es, Esq.
A rney-in-fact
Dean pollard, President
ATTEST: ~
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Secretary
"Landlord"
CITY OF BOZEMAN, a Municipal
Corporation
CITY OF BOZEMAN STREET DEPARTMENT
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BY <erln"l / ' J. ('ill) LJ
Director of Public Works
CITY OF BOZEMAN WA'l,'ER DEPARTMENT
BY. r-~);l U~
Director of Public Works
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CITY OF BOZEMAN SEWER DEPARTMENT
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BY \" cJ-lf}2 / )ll. ~/t /&)/{/' J
r \ Director of Pub lC Works
CITY OF BOZEMAN, A Municipal
Corporation _
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BY \Hh[ f" C;' -,j./~ ~\,
\ City Manager
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ATTEST:
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"Tenant"
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POWER OF ATTORNEY
STATE OF IDAHO )
:SS
COUNTY OF MADISON )
Know all men by these presents that I, Dean pollard, the
undersigned, of 82212 Hansen Drive, City of India, State of
California, hereby make, constitute and appoint Roger J. Hoopes
of the firm HOOPES & SMITH, 110 East Main, 2nd Floor, city of
Rexburg, County of Madison, State of Idaho, my true and lawful
attorney-in-fact for me and in my name, place, and stead, given
unto said Roger J. Hoopes full power to do and perform all and
every act that I may legally do through an attorney-in-fact,
and every proper power necessary to carry out the following
purposes:
To execute two (2) particular contracts and any and all
necessary documents related thereto. Said contracts
being between Dean Pollard and William Henderson and
Dean Pollard and the City of Bozeman, State of Montana
I hereby ratify and affirm that which Roger J. Hoopes shall
lawfully do or cause to be done by himself lawfully designated
by virtue of the power herein conferred upon him. This Power
of Attorney shall remain in full force and effect until such
time as it is revoked.
Dated this 28th day of October, 1981.
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Dean pollard
STATE OF IDAHO )
:SS.
COUNTY OF MADISON )
On this 28 day of October, in the year of 1981, before
me, a Notary Public in and for said State, personally
,
I
appeared DEAN POLLARD known to me to be the person whose name
is subscribed to the within instrument, and acknowledged to
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me that he executed the same.
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Notary Public
Residing In:.".,
My Commission Expir'es: ;
POWER OF ATTORNEY
4240a 1
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POWER OF ATTORNEY
STATE OF IDAHO )
:SS
COUNTY OF MADISON )
Know all men by these presents that I, Dean pollard, the
undersigned, of 82212 Hansen Drive, City of Indio, State of
California, herebr make, constitute and appoint Roger J. Hoopes
of the firm HOOPES & SMITH, 110 East Main, 2nd Floo r , City of
Rexburg, County of Madison, State of Idaho, my true and lawful
attorney-in-fact for me and in my name, place, and stead, given
unto said Roger J. Hoopes full power to do and perform all and
every act that I may legally do through an attorney-in-fact,
and every proper power necessary to carry out the following
purposes:
To execute two ( 2) particular contracts and any and all
necessary documents related thereto. Said contracts
being between Dean Pollard and William Henderson and
Dean Pollard and the City of Bozeman, State of Montana
I hereby ratify and affirm that which Roger J. Hoopes shall
lawfully do or cause to be done by himself lawfully designated
by virtue of the.power herein conferred upon him. This Power
of Attorney shall remain in full force and effect until such
time as it is revoked.
Dated this 28th day of October, 1981.
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D~an pollar~ . ,
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STATE OF IDAHO )
: S5.
COUNTY OF MADISON )
On this 28 day of October, in the year of 198+, before
me, a Notary Public in and for said State, personally
I
appeared DEAN POLLARD known to me to be the person whose name
is subscribed to the within instrument, and acknowledged to
. .
me that he executed the same.
r
Notary Public
Residing In:,'.,.
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My Commlsslon Explres:
POWER OF ATTORNEY .
4240a 1
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POWER OF ATTORNEY
STATE OF IDAHO )
:SS
COUNTY OF MADISON )
Know all men by these presents that I, Dean Pollard, the
undersigned, of 82212 Hansen Drive, City of Indio, State of
California, hereby make, constitute and appoint Roger J. Hoopes
of the firm HOOPES & SMITH, 110 East Main, 2nd Floor, City of
Rexburg, County of Madison, State of Idaho, my true and lawful
attorney-in-fact for me and in my name, place, and stead, given
unto said Roger J. Hoopes full power to do and perform all and
every act that I may legally do through an attorney-in-fact,
and every proper power necessary to carry out the following
purposes:
To execute two (2) particular contracts and any and all
necessary documents related thereto. Said contracts
being between Dean Pollard and William Henderson and
Dean Pollard and the City of Bozeman, State of Montana
I hereby ratify and affirm that which Roger J. Hoopes shall
lawfully do or cause to be done by himself lawfully designated
by virtue of the power herein conferred upon him. This Power
of Attorney shall remain in full force and effect until such
time as it is revoked.
Dated this 28th day of October, 1981.
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Dea--n pol'latd" \
STATE OF IDAHO )
:SS.
COUNTY OF MADISON )
On this 28 day of October, in the year of 198+, before
me, a Notary public in and for said State, personally
j
appeared DEAN POLLARD known to me to be the person whose name
is subscribed to the.within instrument, and acknowledged to
,. ,
me that he executed the same.
\
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.- 'Not~ ;~Lpubl ic
Residing In: /'<j'/i""J' /., d
My Commission Expires: ;//:' / ' ..
POWER OF ATTORNEY
4240a 1
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TO: Pollard Finance, Inc., an Idaho corporation
P.O. Box 84
Mack's Inn, Idaho 83433
NOTICE
NOTICE is given that the undersigned, as Lessee of the green metal building, commonly
known as the "Vehicle Storage" building, located at 814 North Bozeman, City of Bozeman,
County of Gallatin, State of Montana, under a Lease Agreement which is to expire on March 9,
1997, hereby requests that the Lease Agreement be renewed to a termination date of 2002.
DATED this 6th day of February 1997.
RON BREY, Ac ' anager
City of Bozeman,
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