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R2023-060 2023-03-06RESOLUTION NO. R2023-60 A Resolution of the City Council of the City of Pearland, Texas, renewing a Lease Agreement with CBL Properties for office space to serve the Pearland Convention and Visitors Bureau. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That certain Lease Agreement Renewal by and between the City of Pearland and CBL Properties, a copy of which is attached hereto as Exhibit “A” and made a part hereof for all purposes, is hereby authorized and approved. Section 2. That the City Manager or his designee is hereby authorized to execute and the City Secretary to attest a Lease Agreement Renewal for the Pearland Convention and Visitors Bureau. PASSED, APPROVED and ADOPTED this the 6th day of March, A.D., 2023. J.KEVIN COLE MAYOR ATTEST: FRANCES AGUILAR, TRMC, MCC CITY SECRETARY APPROVED AS TO FORM: DARRIN M. COKER CITY ATTORNEY DocuSign Envelope ID: 2FF1F313-1DA6-4BE9-B3C7-F76906610774DocuSignEnvelopeID: CA9EA457-6AE0-4BD9-94E0-0CFCCC2D4260 DocuSign Envelope ID: CA9EA457-6AE0-4BD9-94E0-OCFCCC2D4260 Amh 10/11/2022 LEASE MODIFICATION AND EXTENSION AGREEMEN T THIS AGREEMENT, made and entered into as of the I "J day of e° �(C. , 20 Z by and between PEARLAND GROUND, LLC, a Texas limited liability company ("Landlord") and CITY OF PEARLAND ("Tenant"). WITNESSETH: WHEREAS, by instrument dated April 22, 2013 (together with any and all guarantees, modifications, extensions, renewals, assignments and sublettings thereof, collectively the "Lease"), Landlord or Landlord's predecessor -in -interest did lease unto Tenant or Tenant's predecessor -in -interest certain premises in Pearland Town Center, located on or near the intersection of State Highway 288 and State Highway 518 in an area in or near the Town or City of Pearland, County of Brazoria, State of Texas, referred to as space #1390 containing approximately 1,540 square feet, to which Lease reference is hereby made for all terms and provisions; and, WHEREAS, Landlord and Tenant now desire to modify and amend the Lease to reflect changes. NOW THEREFORE, in consideration of the premises, the promises and covenants of the parties hereto, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Lease is hereby modified and amended and the parties mutually agree as follows: 1. The Term of the Lease is hereby extended for an additional five (5) years commencing October 1, 2023 and expiring September 30, 2028 (the "Extended Term"). 2. Effective October 1, 2023, Section 1.1(c) is hereby modified so that Minimum Annual. Rent shall be Twenty Thousand Five Hundred Four and 74/100 Dollars ($20,504.74) per annum for the period of October 1, 2023 through September 30, 2025; Twenty -One Thousand One Hundred Nineteen and 89/100 Dollars ($21,119.89) per annum for the period of October 1, 2025 through September 30, 2026, with annual increases thereafter of three percent (3%) per annum over the amount payable for the previous twelve (12) months through the balance of the Extended Term, prorated for a partial twelve (12) months if applicable. 3. Effective on the Effective Date, paragraph #3 (teuiiination) of the Lease Modification and Extension Agreement dated July 6, 2018 is hereby deleted in its entirety and shall be of no force or effect. 4. Effective on the Effective Date, Section 1.1(h) of the Lease is hereby restated so that Tenant's Notice Address shall be as follows: City of Pearland 3519 Liberty Drive Pearland, Texas 77581 5. Effective on the Effective Date, the Lease is hereby modified to add the following: "Environmental sustainability. i) Tenant shall follow all building recycling requirements and placematerials in the appropriate recycling bins, if provided. ii) Tenant shall make best efforts to utilize environmentally preferred & third party certified cleaning products with ecolabels. iii) In order to monitor the effectiveness of energy efficiency improvements and identify needs for future upgrades as well as monitor waste disposal and recycling needs, upon request Tenant shall provide Tenant's waste, water, gas, recycling information, and electricity usage as they appear in the Tenant's utility bills or other records and Landlord is hereby authorized to request or obtain from third party providers Tenant's waste, water, gas, recycling information, and electricity usage as they appear in the Tenant's utility bills or other records. Additionally, in the event Landlord pursues a sustainable building certification (e.g. LEED, EnergyStar, etc.), Tenant shall cooperate with Landlord and/or any parties designated by Landlord to collect infoiniation necessary to obtain and maintain the certification." and, "Additionally, without entitling Tenant to any abatement of rent or constituting an eviction, from time to time Landlord shall have the right, in Landlord's commercially reasonable judgment, to reduce the Store Hours or hours Tenant is required to operate and/or the Shopping Center hours." 6. Tenant and its parent, subsidiary, affiliates, shareholders, partners, members, predecessors, directors, officers, employees, and agents do hereby waive and release any and all claims, including but not limited to any claims for losses and/or damages and/or right to payments, causes of action, demands, rent credits and/or settlement payments, whether known or unknown, that they have or may have against Landlord, CBL & Associates Management, Inc., CBL & Associates Limited Partnership, CBL & Associates Properties, Inc., CBL Holdings I, Inc. and affiliates of any of them and members, partners, officers, directors of any of them (the "Landlord Group") or any successors to the Landlord Group from the beginning of time through the date of this Agreement. Version #1 — 10 11/2022 Pearland Convention & Visitors 13ureau_Pearland_LEMA_2022-10-10.docx M. Stanley DocuSign Envelope ID: CA9EA457-6AE0-4BD9-94E0-OCFCCC2D4260 7. This Lease Modification and Extension Agreement may be executed in counterparts, all of which taken together shall constitute the same agreement. Further, photocopies and/or facsimile and/or electronic transmission (including, but not limited to, by portable document fo> uiat (.pdf)) signatures shall be deemed as valid as an original. 8. The Effective Date of this Lease Modification and Extension Agreement shall be the date first above written. This Agreement is solely for the benefit of Tenant and Tenant shall keep and hold in strict confidence all of the economic terms of this Agreement including but not limited to: the amount and/or manner of payment of Minimum Annual Rent, Percentage Rent and all items of additional rent including the fouuulations thereof; any payment or other considerations in lieu of Minimum Annual Rent, Percentage Rent and/or items of additional rent; the amount of any rent concessions; and any tecniination rights. In the event Tenant, or any of its agents, employees or contractors shall disclose any economic terms of this Agreement to a third unrelated party then the provisions of this Agreement shall, at Landlord's option, be null and void ab initio and Tenant shall immediately pay to Landlord all sums that would have been due but for this Agreement. Except as hereinabove amended, all terms and conditions of the Lease shall remain unchanged and in full force and effect, including, but not limited to the provisions as set forth in the Lease for the payment of Minimum Annual Rent and all additional rental charges, as the same may be adjusted pursuant to the telt.us of the Lease or as amended hereby. Landlord and Tenant agree that any right or obligation of either party set forth in the Lease that has terminated, lapsed or expired or will terminate, lapse or expire by the express terms of the Lease are in fact terminated, lapsed or expired (or will by their express tei ins) as the case may be, and such rights and obligations are not extended, reinstated or modified by this Agreement unless expressly done so herein. IN WITNESS WHEREOF, the parties have executed this Lease Modification and Extension Agreement as of the day and date first above written. ed by: Fra.tn.Lt,S ttlaar f1T415... Version #1 - 10/11/2022 Pearland Convention & Visitors Bureau_ Pearland_LEMA_2022-10-10.docx M. Stanley 2 LANDLORD: PEARLAND GROUND, LLC, a Texas limited Iiability company, by CBL & Associates Management, Inc., a Delaware corporation, Managing Agent By: Prin Titl Jeffery . urry Chief Legal Officer DATE: Marc 15! 2.013 TENANT: Legal CITY OF PEARLAND Federal Identification Number 74-6029809 ,DDocuSigned by: By: �8 ' 2FFn Print Name: pperson Title: Deputy City Manag DATE: 3/7/2023 j 7:07 AM PST