Loading...
HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 03/04/2003 - RESOLUTION 2003-029 AUTHORIZING THE LEASE OF A 17. AGENDA ITEM SUMMARY ITEM NUMBER: 19 DATE: March 4, 2003 FORT COLLINS CITY COUNCIL Maurice Head STAFkFmball Crangle-Krizman SUBJECT: Resolution 2003-027 Authorizing the Lease of a 17.11 Acre Tract of Affordable Housing Land Bank Property to Tim Ramsey. RECOMMENDATION: Staff recommends adoption of the Resolution. FINANCIAL IMPACT: The lease agreement will generate $600 of revenue for the City in its initial one-year term. If the lease is extended beyond the initial term, the lease payment would be adjusted based on the fair market rental value of the property. EXECUTIVE SUMMARY: This Resolution authorizes the City Manager to enter into a lease agreement with Tim Ramsey for up to two years on approximately 17.11 acres of land owned by the City. The lease authorizes the use of 10 units of Colorado-Big Thompson Water that are tied to this parcel of land for at least the first annual term. The lease agreement allows Tim Ramsey to continue to produce hay on the site as he had previous to the City's purchase of the land. RESOLUTION 2003-027 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE LEASE OF A 17.11 ACRE TRACT OF AFFORDABLE HOUSING LAND BANK PROPERTY TO TIM RAMSEY WHEREAS, the City of Fort Collins is the owner of certain real property located at 6916 South College Avenue, Fort Collins, Colorado that is 17.11 acres in size and known as the Land Bank-Bemhardt Property; and WHEREAS, at the time the City purchased the 17.11 acre tract in 2002, the land was in agricultural production; and WHEREAS,the City of Fort Collins intends to hold the land for a period of five years before pursuing the development of affordable housing opportunities; and WHEREAS, City staff has negotiated with Tim Ramsey (the "Lessee") a lease of the property,as described on Exhibit"A,"attached hereto and incorporated herein by this reference(the "Lease Area"),for agricultural purposes,for a term of up to two years at an annual lease rate of six- hundred dollars ($600); and WHEREAS,the lease agreement that staff has negotiated with Tim Ramsey,called the Land • Bank Ground Lease and dated February 3, 2003, is on file in the office of the City Clerk and is available for public review (the "Lease"); and WHEREAS,the Lease permits the continued use of the ground for the agricultural production of hay and permits the Lessee to utilize available water associated with the property; and WHEREAS,Section 23-114 of the City Code authorizes the Council to approve by resolution the lease of any and all interests in real property owned in the name of the City for a period of two years or less, provided that Council first finds that the lease is in the best interests of the City. NOW,THEREFORE,BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the Council hereby finds that the lease of the Lease Area as described herein and as set forth in the Lease is in the best interests for the City of Fort Collins. Section 2. That the City Manager is hereby authorized to execute the Lease, together with such additional terms and conditions as the City Manager, in consultation with the City Attorney, determines to be necessary or appropriate to protect the interests of the City. • Passed and adopted at a regular meeting of the City Council held this 4th day of March,A.D. 2003. Mayor ATTEST: City Clerk 0 EXHIBIT "A" Affordable Housing Land Bank Ground Lease LEGAL DESCRIPTION A TRACT OF LAND SITUATE IN THE NW 1/4 OF SECTION 13, TOWNSHIP 6 NORTH, RANGE 69 WEST OF THE 6TH P.M., COUNTY OF LARIMER, STATE OF COLORADO, WHICH CONSIDERING THE WEST LINE OF THE SAID NW 1/4 AS BEARING N 00 DEGREES 03' 30" W. AND WITH ALL BEARINGS CONTAINED HEREIN RELATIVE THERETO IS CONTAINED WITHIN THE BOUNDARY LINES WHICH BEGIN AT A POINT WHICH BEARS S 89 DEGREES 50' E 50.00 FEET, AND AGAIN N 00 DEGREES 05' E, 1564.48 FEET, AND AGAIN S 83 DEGREES 52' E, 1228.44 FEET, AND AGAIN S 00 DEGREES 05' W 303.85 FEET FROM THE W 1/4 OF SAID SECTION 13; AND RUN THENCE S 00 DEGREES 05' W, 104.55 FEET; THENCE S 72 DEGREES 57' E, 367.20 FEET; THENCE S 69 DEGREES 14' E, 161.12 FEET; THENCE S 74 DEGREES 10' 30" E, 326.74 FEET; THENCE N 86 DEGREES 29' E, 558.20 FEET TO A POINT ON THE EAST LINE OF THE SAID NW 1/4; THENCE N 00 DEGREES 20' W, 746.50 FEET ALONG SAID EAST LINE TO A POINT WHICH BEARS S 00 DEGREES 20, E 1099.70 FEET FROM THE N 1/4 CORNER OF SAID SECTION 13; THENCE N 51 DEGREES 08' 45" W, 593.49 FEET; THENCE N 84 DEGREES 07' 30" W, 24.50 FEET; THENCE S 19 DEGREES 40' 10" W, 1031.09 FEET; THENCE N 69 DEGREES 14' W, 160.05 FEET; THENCE N 72 DEGREES 57' W, 400.95 FEET TO THE POINT OF BEGINNING. • [LANDBANKGROUNDLEASE.WPD 02/03/031 . GROUND LEASE AGREEMENT THIS AGREEMENT ("the Lease"), is made and entered into this _ day of 2003, by and between THE CITY OF FORT COLLINS, COLORADO, a Municipal Corporation, (the "Lessor") and Tim Ramsey (the "Lessee"). WITNESSETH: WHEREAS, the City is the owner of certain parcel of real property in Larimer County, State of Colorado,which real property is described in Exhibit"A"attached hereto and incorporated by reference together with all improvements and appurtenances thereto (the "Property") WHEREAS, the Tenant desires to lease said Property for the purpose of hay production; and, WHEREAS, on , City Council approved Resolution 2003-_which authorized the leasing of this property. 1. The Property. The Lessor owns that certain parcel of real property located in the County of Larimer, State of Colorado, which real property is described on Exhibit"A" • attached hereto and incorporated by reference together with all improvements and appurtenances thereto (the "Property"). 2. Leased Premises. In consideration of the payment of the rent herein provided for and the keeping and performance of the covenants and obligations herein set forth, the Lessor hereby leases to Lessee and Lessee leases from the Lessor the Property as shown on Exhibit "A" attached hereto and incorporated herein by this reference (the "Premises") During the initial term of the lease and, in any subsequent term as agreed by the parties, Lessee shall also be entitled to the use of that allotment of Colorado-Big Thompson water determined by the Northern Colorado Water Conservancy District to be available for use on the Leased Premises during that lease term (the "C-BT Water"). 3. As Is Condition of Premises. It is understood that Lessee has inspected the Premises and takes them "AS IS". Lessor is not obligated by this Lease to make any changes, removals, or repairs of any kind. Lessee shall use the Premises only in the manner described in paragraph 7 hereof. 4. Rental Payment by Lessee. Lessee shall pay annually, in advance,as rental for the Premises and the use of the C-BT Water, the sum of Six Hundred Dollars($600.00) to be paid upon execution of this Lease and on each.annual anniversary date of this Lease hereafter. Billing or acceptance by Lessor of any rental shall not imply a definite term or otherwise restrict either party from canceling this Lease as provided in paragraph 5. • R 1 Payment of rental specified herein is subject to a late payment charge of one and one-half percent (1.5%) per month (18% per annum), on balance past due over thirty (30) days. 5. Term. This Agreement shall be for the one(1) year period beginning on April 1, 2003, and ending on March 31, 2004, subject to renewal as described herein. Lessor shall provide written notice to Lessee no fewer than one hundred and five(105)days prior to the expiration of the initial term, as to whether the C-BT Water wil I be available after the initial term and the additional rental amount associated with the C-BT Water, if any. The Agreement shall be renewable for an additional one (1) year term at Lessee's option, provided that Lessee shall provide written notice to Lessor no fewer than ninety(90) days prior to the expiration of the initial term of its exercise of this option, and further provided that if Lessee has been in default under the terms of this Agreement, Lessor shall be entitled to refuse to renew this Agreement. Lessee may terminate this Agreement at will on thirty (30) days advance written notice, in which event, Lessee shall remove all property or improvements not owned by Lessor(regardless of who made them), including, without limitation, all foundations, slabs, and fences, and Lessee shall clear the Premises, including filling in and leveling any excavations, and restoring the ground to a condition satisfactory to Lessor, within said thirty (30) days. If Lessee fails to remove said property or improvements within the above time limit, Lessee hereby grants the Lessor the absolute right to keep, convey, destroy, or otherwise dispose of them in any manner Lessor chooses, and, in addition, Lessee agrees to pay any net costs incurred by Lessor in doing so, within ten (10) days of receipt of Lessors statement therefor. 6. Covenants. Upon Lessee's payment of the rent herein specified and upon Lessee's performance of the terms of this Lease, Lessee shall at all times during this Lease term peaceably and quietly enjoy the Premises without any disturbance from the Lessor or any person claiming through the Lessor except as otherwise expressly provided herein. 7. Permissible Use of the Premises. Lessee shall use and occupy the Premises for the sole and exclusive purpose of maintaining and operating thereon agricultural production of hay, and the Lessee shall not sublease, rent or otherwise make available the Premises to third parties, his employees or agents for possession, occupation or use whatsoever except in regard to the activities directly necessary for the production of hay. 8. Repairs. Maintenance. and Conduct. A. The Lessee, during the term of this Lease, shall keep and maintain the Premises, including without limitation, the grounds in good condition. The Lessee shall maintain the Premises in a clean and orderly and safe condition, and free of litter, debris, and any unsightly or dangerous condition as required by the ordinances, resolutions, statutes and health, sanitary and police regulations of the City of Fort Collins, County of Larimer, State of Colorado, or other governmental authority with jurisdiction over the Premises. The Lessee shall • neither permit nor suffer any disorderly noise or nuisance whatsoever about the Premises having any tendency to annoy or disturb any persons occupying adjacent premises. B. Lessee shall neither commit nor permit any waste upon or of the Premises and shall notify the City promptly of any damage to the same. C. Lessee shall neither commit nor permit any machine fueling on the Premises and shall notify the City promptly of any damage to the same. D. The Lessee shall not affix, erect or maintain on the Premises any sign or advertisement without first obtaining the Lessor's approval as to the sign or advertisement to be erected on the Premises. E. Lessee shall notify the City and obtain approval by the City at least two weeks prior to spraying any of the Premises for the purpose of weed, rodent or animal control. 9. Dangerous Materials. Tenant shall not keep or have on the Premises any article, item or thing of a dangerous, inflammable or explosive character that might unreasonably increase the danger of fire to the Premises or that might be considered hazardous or extra hazardous by any reasonable insurance company, or that may be subject to special handling or management requirements of federal, state or local laws. 10. Taxes. Assessments and Utility Charges. In the event that the Premises, or any portion thereof, shall, for any reason, be deemed subject to taxation, assessments or charges lawfully made by any governmental body, Lessor shall pay all such taxes, assessments and governmental charges when due. 11. Insurance. Lessee shall be responsible for maintaining such general liability and extended coverage insurance on the Premises for any real and personal property stored on the Premises as would be sufficient to insure for casualty loss of all or any portion thereof. 12. Encumbrances. Lessee shall pay all costs and charges for work done by it or caused to be done by it, in or to the Premises and for all materials furnished in connection with such work. In no event shall Lessee be entitled to cause or permit the establishment of any lien or other encumbrance on the Premises. 13. Requirements of Law. At all times during the term of this Lease, Lessee shall observe and comply promptly with all then current laws, ordinances, resolutions, orders, covenants, restrictions, rules and regulations of the federal, state and local n governments, and of all courts or other governmental authorities having jurisdiction over the Premises or any portion thereof, whether the same are in force at the commencement of this Lease or are in the future passed, enacted or directed. 14. Environmental Concerns. Lessee shall not create or permit any condition on the Premises that could present a threat to human health or the environment. Lessor may at its option prior to cancellation of this lease, require Lessee to conduct an environmental audit of the Premises, at Lessee's cost and expense, to determine if any environmental damage to the Premises has occurred during Lessee's occupancy thereof. The audit shall be conducted to Lessor's satisfaction and a copy of the audit report shall promptly be provided to Lessor for its review. Lessee shall pay all expenses for any remedial action that may be required as a result of said audit to correct any environmental damage, and all necessary work shall be performed by Lessee prior to cancellation of this Lease. 16. Default by Lessor. If the Lessor shall breach any of the conditions required to be performed by the Lessor under this Lease, Lessee may elect to terminate this Lease upon giving at least thirty (30) days notice to the Lessor of its intention to so do, in which event this Lease shall terminate upon the date fixed in such notice unless the Lessor shall have meanwhile cured such default. Election by Lessee to terminate under this provision shall not be construed as a waiver of any of Lessee's rights as a non-defaulting party to such other remedies as may be available in law or equity. 16. Default by Lessee. If the rent provided for above, or any part thereof, shall be in arrears, or if default shall be made by Lessee in any of the covenants or agreements herein contained, the Lessor shall give to Lessee five (5) days notice to correct any default in the payment of rent, and five (5) days notice to undertake performance which will cure any other default; and if said rent is not paid within the said five (5) day period, or if Lessee shall not commence within the five (5) day period to cure any other default and to diligently pursue the work thereafter required to correct such other default, it shall be lawful for the Lessor, at the Lessor's election, to declare Lessee's right of possession ended and to enter into the Premises, or any part thereof, and with process of law to expel, remove, and put out Lessee or any person or persons occupying the same, and to repossess and enjoy the Premises as in the first and former state of said Lessor, and to take possession of any growing crop, and in the event of such failure to correct said default. Lessee hereby covenants and agrees to surrender and deliver up the Premises peaceably to the Lessor immediately upon the termination of this Lease, and to remove all personal property upon such termination. If Lessee shall remain in the possession of the same after the termination thereof, Lessee shall be deemed guilty of an unlawful detainer of the Premises under the law and subject to eviction and removal. In the event Lessee fails to remove their personal property from the Premises upon termination of this Lease, Lessee hereby agrees that the Lessor shall at that time be entitled to take possession of said personal property and to dispose of the same in any manner deemed appropriate by the Lessor, in its sole discretion. • 17. Lessor's Right to Enter the Premises. The Lessor, or its agents shall at all reasonable times, be permitted to enter upon the Premises, excluding the improvements, for the purpose of inspecting the Premises. 18. Assignment or Subleasing. This Lease shall not be assigned or subleased by Lessee. 19. Holding Over. If after the expiration of the term of this Lease, Lessee fails to surrender possession of the Premises, Lessee shall be deemed to be in default and subject to the default provisions set forth in Section 16, above. Any personal property on the Premises shall become the property of the Lessor if it remains on the Premises after this Lease termination. 20. Notices. Any notice by either party to the other shall be in writing and shall be deemed to be duly given only if delivered personally, or mailed by certified mail, return receipt requested, in a postage prepaid envelope addressed to the parties as follows: LESSEE: Tim Ramsey 8313 South County Road 13 Fort Collins, CO 80525 LESSOR: City of Fort Collins Attention: Real Estate Services P.O. Box 580 Fort Collins, CO 80522 The addresses hereinabove set forth may be changed by either party by giving written notice to the other party of the change of address. 21. Attorneys' Fees. In the event of litigation between the parties concerning this Lease, the prevailing party shall be entitled to their costs and reasonable attorneys' fees incurred as a result of the litigation. 22. Indemnity: Lessee agrees to indemnify and hold harmless Lessor from any loss, damage, injury or death arising from any act or omission of Lessee, Lessee=s invitees, licensees, employees, or agents, to the person or property of the parties hereto and their employees, and to the person or property of any other person or corporation while on or near the Premises. 23. Miscellaneous. • A. This Lease shall be governed by, construed and enforced in accordance with the laws of the State of Colorado. B. All obligations of the Lessor hereunder are expressly contingent upon the annual appropriation of funds sufficient to carry out the same by the City Council of the City of Fort Collins. C. In construing this Lease, feminine or neuter pronouns shall be substituted for those masculine in form and vice versa, and plural terms shall be substituted for singular and singular for plural in any place in which the context so requires. D. The covenants, terms, condition, provisions and undertakings in this Lease shall extend to and be binding upon the heirs, executors, administrators, successors, and assigns of the respective parties hereto as if they were in every case named and expressed and shall be construed as covenants running with the land. Wherever reference is made to either of the parties hereto, it shall be held to include and apply also to the heirs, executors, administrators, successors, and assigns of such party as if in each and every case so expressed. E. The captions of paragraphs in this Lease are inserted only as a matter of convenience and for reference and in no way define, limit or describe the scope or intent of this Lease or of any provisions herein. F. This Lease contains the entire agreement between the parties and cannot be changed or terminated orally, but only by an agreement in writing signed by the parties hereto. G. If any provisions of this Lease shall be declared invalid or unenforceable, the remainder of this Lease shall continue in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this Lease the day and year first above written. LESSEE: • LESSOR: CITY OF FORT COLLINS, COLORADO, a Municipal Corporation By: City Manager ATTEST: City Clerk APPROVED AS TO FORM: Assistant City Attorney Exhibit A Property Description Legal Description Per County Assessor: APT NW 1/4 13-6-69 DESC: BEG AT PT S 89 50' E 50 FT, N 0 5' E 1564.48 FT, S 83 52' E 1228.44 FT, S 0 5' W 303.85 FT FROM W 1/4 COR, S 0 5' W 104.55 FT, S 72 5T E 367.2 FT, S 69 14' E 161.12 FT, S 74 10' 30" E 326.74, N 86 29' E 558.2 FT TO PT ON E LN NW 1/4, N 0 20' W 746.5 FT ALG SD E LN TO PT S 0 20' E 1099.7 FT FROM N 1/4 COR, N 51 8' 45" W 593.49 FT, N 84 T 30" W 24.5 FT, S 19 40' 10" W 1031.09 FT, N 69 14' W 160.05 FT, N 72 57, W 400.95 FT TPOB CONT 17.1809 AC M/L (SPLIT FROM 96130 00 003) (C32N000330W). Location Address: 6916 S College Avenue, Fort Collins, CO 80525 Affordable Housing Land Bank Property CHARM"T(M CT .. y VINAV�ii- N�T�O:FDk,lptl:SdtR claRTLENST 7-4 m _ C1 -x w F i - Y/i8Bi1{I M��$ 4_r F- r 77 r . r+ *� IAarcn�ed� h-Aa:IME kl Inc.Ep21