HomeMy WebLinkAbout2020.04.03 BW.pdf-1-
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LEASE AGREEMENT
THIS LEASE AGREEMENT (“Lease”) is made and entered into this 1st day of April, 2020
(“Effective Date”), by and between Y&Y Property Management Inc., a California corporation, located
at 3110 N. Blackstone Avenue, Fresno, CA 93703, (“LESSOR”), and the COUNTY OF FRESNO, a
political subdivision of the State of California, 333 W. Pontiac Way, Clovis, CA 93612 (“LESSEE”).
LESSOR and LESSEE may be referred to in this Lease individually as a “Party” or collectively at
times as the “Parties”. This Lease is entered into pursuant to, among other authorities, the
Governor’s State of Local Emergency Proclamation dated March 4, 2020 and the Proclamation
of Local Health Emergency, in response to COVID-19, is entered into at the direction of the
Director of Public Health of Fresno County, and is directly related to that emergency and
necessary for the preservation of public health and safety.
W I T N E S S E T H:
WHEREAS, LESSOR owns that certain property commonly known as Best Western Village
Inn, located at 3110 N. Blackstone, Fresno, CA 93708, which contains hotel rooms available for rent;
WHEREAS, on March 4, 2020, the Governor proclaimed a State of Emergency in the State of
California, on March 14, 2020, the County Health Officer Issued a Declaration of Local Health
Emergency, and subsequent orders, and on March 17, 2020, the County of Fresno issued a
Proclamation of Local Emergency, all in response to COVID-19, and as necessary for the
preservation of public health and safety;
WHEREAS, LESSEE and LESSOR desire to provide a safe and secure environment in order
to offer temporary shelter and services to those experiencing homelessness in the County of Fresno;
and,
WHEREAS, LESSEE and LESSOR desire to enter into a short-term Lease of the Premises,
as defined herein, to allow LESSEE to provide temporary shelter for individuals experiencing
homelessness, in order to support the LESSEE’s efforts to mitigate the impact of the COVID-19
pandemic.
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NOW, THEREFORE, in consideration of the mutual covenants, terms and conditions herein
contained, the parties hereto agree as follows:
1.PREMISES – LESSOR hereby leases to LESSEE 20 guest rooms (with one or two
beds in each guest room), at the real property commonly known as Best Western
Village Inn, at the location commonly known as 3110 N. Blackstone, Fresno, CA
93703, which is a Hotel/Motel (the “Building”), together with surrounding common area
parking and common areas (collectively, the “Premises”), as depicted on Attachment
“A”, which is attached and incorporated by this reference . LESSEE shall have access
to and use of the common areas, including the parking lot and the outdoor areas, and
the Premises 24 hours per day, 7 days per week, with no exceptions.
2.PARKING – Parking spaces shall be unobstructed and completely accessible for
LESSEE’s use. LESSEE shall be entitled to use 20 of the parking spaces at the
Premises.
3.ALLOWED USES – LESSEE covenants and agrees to use the Premises to house and
care for individuals experiencing homelessness (“Allowed Uses”). LESSOR
acknowledges that rapidly-evolving public health issues may warrant the shelter or
treatment of other populations at the Premises, in which case the LESSEE shall make
a request to expand the Allowed Uses in writing, and LESSOR will not unreasonably
withhold its consent.
4.TERM – The term of this Lease shall commence on the Effective Date, and shall
continue month-to-month. Rights of termination are as set forth in Section 6.
5.RENT - LESSEE shall pay to LESSOR on a weekly basis rent (“Rent”) according to the
schedule described as follows:
Room Rental Daily Rate Schedule
Number of Rooms Rented Rental Rate (including Breakfast)
20 $50.00 plus taxes
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A. LESSEE shall pay rent in arrears bi-weekly, with the first such payment for
the week ending April 18, 2020. Rent shall be paid to LESSOR at the
address specified in Section 26, or to such other address as LESSOR may
designate by a notice in writing.
6. TERMINATION - LESSEE may terminate this Lease at any time by giving written
notice to LESSOR at least 15 days prior to the date when such termination shall
become effective. If LESSEE fails to move out within the notice period, and remains in
the Premises, additional rent shall be paid and prorated on a 30-day month, based on
the actual number of days LESSEE occupies the Premises following the effective date
of termination.
After the initial term, LESSOR may terminate this Lease by giving written notice to
LESSEE at least 30 days prior to the date when such termination shall become
effective.
7. CONDITION OF PREMISES UPON TERMINATION – Upon the termination of this
Lease for any reason, LESSEE shall vacate the Premises and deliver it to LESSOR in
good order and condition, damage by the elements, fire, earthquake, falling objects
and ordinary wear and tear excepted. Immediately prior to vacating the Premises,
LESSEE shall clean the Premises in conformity with the then-current health and safety
protocols established by public health officials. Upon vacating the Premises, LESSEE
and LESSOR shall conduct a walkthrough of the Premises to determine if there is any
damage attributable to the LESSEE that must be repaired. Accordingly, if LESSOR
makes any repairs to the Premises for damages caused by LESSEE, LESSEE shall
reimburse LESSOR for the actual costs of the repairs on submission of appropriate
documentation, including receipts.
8. SECURITY – LESSEE shall provide security at the Premises for the areas occupied by
LESSEE during the term of this Lease.
9. SERVICES, UTILITIES and SUPPLIES – LESSOR, at LESSOR’s sole cost and
expense during the term of this Lease, shall furnish the following services, utilities, and
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supplies to the Premises, and the common areas: (a) sewer, trash disposal and water
service, including both hot and cold water to the lavatories; (b) elevator (if any) service;
(c)electricity and/or gas as necessary to provide power for heating, ventilating and air
conditioning, and electrical or gas service as needed for LESSEE’s operations; and (d)
pool, pool area, and pool equipment, if any. In the event LESSOR fails to furnish any
of the above services or utilities in a satisfactory manner, LESSEE may furnish the
same at its own cost, and, in addition to any other remedy LESSEE may have, may
deduct the amount thereof, including LESSEE’s administrative costs, from the Rent
that may then be, or thereafter become, due hereunder.
LESSOR shall provide general cleaning services (Housekeeping Service and Linen
Change) as requested by LESSEE at a minimum of weekly, or upon change of room
occupancy.
10.REPAIR AND MAINTENANCE – During the term of this Lease, LESSEE shall
maintain the Premises in good repair. Notwithstanding the foregoing, LESSOR shall
maintain the foundation, walls, roof, Building exterior including doors and glass, floors,
floor coverings, parking lot, parking lot lighting, pest and bird control, encased
electrical system, encased plumbing, water and sewage disposal systems, fire
sprinkler system, and HVAC system, and shall provide all maintenance and repair
required to be performed in connection therewith. LESSOR shall have no
responsibility for maintenance which may be required by reason of sole neglect or
misconduct of LESSEE, its agents, servants, employees, contractors, or patrons.
In the event of any failure of any building system or element in the Premises
that is a LESSOR responsibility pursuant to the terms of this Lease, LESSEE shall not
be liable for any loss or damage arising out of or relating to any death, bodily injury, or
property damage resulting from such failure, except as to any loss or damage as may
arise from the sole negligence of LESSEE.
11.HVAC MAINTENANCE – The parties agree that maintenance and operation of
Premises HVAC and utilities is critical. Because of the need to maintain certain
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temperature, air, negative and/or forced air, and other conditions in the alternative care
site care spaces, LESSOR shall cause and maintain HVAC, utility, and related
services at levels and in specifications set by LESSEE, based on existing Premises
equipment and facility capability. LESSOR shall be responsible, at no separate charge
to LESSEE, for all related equipment, scheduling, coordination, and costs.
12.QUIET POSSESSION – LESSOR agrees that LESSEE, while keeping and performing
the covenants herein contained, shall at all times during the existence of this Lease
peaceably and quietly have, hold, and enjoy the Premises without suit, trouble or
hindrance from LESSOR or any person claiming under LESSOR.
13.DESTRUCTION OF PREMISES – If the Premises or any portion of the Premises
should be destroyed by any cause, or declared unsafe or unfit for occupancy by any
authorized public authority for any reason, either wholly or in such a degree as to
materially impair LESSEE’s use of the Premises, then all Rent due under the terms of
this Lease shall cease as of the date of such destruction or declaration. If LESSOR
makes the necessary repairs within 180 days, rendering the Premises as suitable and
serviceable as they existed the day LESSEE occupancy commenced, no right of
termination by LESSEE shall exist. If repairs are not made within 180 days, ordinary
wear and tear excepted, LESSEE may terminate this Lease effective on the 180th day
after said destruction by mailing written notice to LESSOR of LESSEE’s intention to
terminate. If, during a period of partial destruction, LESSEE desires to continue
occupancy, Rent shall be abated in the same ratio as the portion of the Premises
rendered unfit for occupancy. If the partial destruction of the Premises is not repaired
within 180 days, LESSEE shall have the option to terminate this Lease or remain in
possession at the reduced Rent.
14.CONDEMNATION – If a public authority under the power of eminent domain should
take the whole of the Premises, then the term of this Lease shall cease on the day of
possession by said public authority. If a part only of the Premises should be taken
under eminent domain, LESSEE shall have the right to either terminate this Lease, or
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to continue in possession of the remainder of the Premises. If LESSEE remains in
possession, all of the terms hereof shall continue in effect, with Rent payable being
reduced proportionately for the balance of the term of this Lease. If such taking under
the power of eminent domain occurs, those payments attributable to the leasehold
interest of LESSEE shall belong to LESSEE, and those payments attributable to the
reversionary interest of LESSOR shall belong to LESSOR.
15.TAXES AND ASSESSMENTS – LESSOR shall pay all ad valorem taxes, other taxes
and assessments levied against the Premises covered by this Lease.
16.INSURANCE - Without limiting LESSEE’s right to obtain indemnification from LESSOR
or any third parties, LESSOR, at its sole expense, shall maintain in full force and
effect, the following insurance policies or a program of self-insurance, including but not
limited to, an insurance pooling arrangement or Joint Powers Agreement (JPA)
throughout the term of the Lease:
A.Commercial General Liability – Commercial General Liability Insurance with limits
of not less than Two Million Dollars ($2,000,000.00) per occurrence and an annual
aggregate of Four Million Dollars ($4,000,000.00). This policy shall be issued on a
per occurrence basis. LESSEE may require specific coverages, including
completed operations, products liability, contractual liability, Explosion-Collapse-
Underground, fire legal liability or any other liability insurance deemed necessary
because of the nature of this contract.
B.Worker's Compensation – A policy of Worker's Compensation insurance as may be
required by the California Labor Code.
C.Fire Insurance – Fire and extended coverage insurance on the Premises shall be
the sole responsibility of LESSOR.
LESSOR hereby waives its right to recover from LESSEE, its officers, agents, and
employees any amounts paid by the policy of worker’s compensation insurance
required by this Agreement. LESSOR is solely responsible to obtain any endorsement
to such policy that may be necessary to accomplish such waiver of subrogation, but
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LESSOR’s waiver of subrogation under this paragraph is effective whether or not
LESSOR obtains such an endorsement.
Within Thirty (30) days from the date LESSOR signs and executes this
Agreement, LESSOR shall provide certificates of insurance and endorsement as
stated above for all of the foregoing policies, as required herein, to the LESSEE, (Y&Y
Property Management Inc., a California corporation, located at 3110 N. Blackstone
Avenue, Fresno, CA 93703), stating that such insurance coverage has been obtained
and is in full force; that the County of Fresno, its officers, agents and employees will
not be responsible for any premiums on the policies; that for such worker’s
compensation insurance the CONTRACTOR has waived its right to recover from the
COUNTY, its officers, agents, and employees any amounts paid under the insurance
policy and that waiver does not invalidate the insurance policy; that such Commercial
General Liability insurance names the County of Fresno, its officers, agents and
employees, individually and collectively, as additional insured, but only insofar as the
operations under this Agreement are concerned; that such coverage for additional
insured shall apply as primary insurance and any other insurance, or self-insurance,
maintained by LESSEE, its officers, agents and employees, shall be excess only and
not contributing with insurance provided under LESSOR's policies herein; and that this
insurance shall not be cancelled or changed without a minimum of thirty (30) days
advance, written notice given to LESSEE.
In the event LESSOR fails to keep in effect at all times insurance coverage as
herein provided, LESSEE may, in addition to other remedies it may have, suspend or
terminate this Agreement upon the occurrence of such event.
All policies shall be issued by admitted insurers licensed to do business in the
State of California, and such insurance shall be purchased from companies
possessing a current A.M. Best, Inc. rating of A FSC VII or better.
17.HOLD HARMLESS – LESSOR will indemnify, defend, and hold LESSEE harmless
from and against any and all liabilities, claims, demands, actions, proceedings, costs,
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expenses or damages of any kind or nature (collectively, “Claims”) in any manner
directly or indirectly caused, occasioned or contributed to by reason of the negligence,
whether active or passive, of LESSOR or anyone acting under its direction or control
or on its behalf in connection with or incidental to the performance of LESSOR’S
obligations pursuant to this Lease.
LESSEE will indemnify, defend, and hold LESSOR harmless from and against
any Claims in any manner directly or indirectly caused, occasioned or contributed to by
reason of the negligence, whether active or passive, of LESSEE or anyone acting
under its direction or control or on its behalf in connection with or incidental to the
performance of this Lease or any Claims otherwise arising in connection with
LESSEE’S use and occupancy of the Premises.
18.HAZARDOUS SUBSTANCES – LESSEE agrees that it will comply with all applicable
laws existing during the term of this Lease pertaining to the use, storage,
transportation and disposal of any hazardous substance, as that term is defined in
such applicable law.
19.EMERGENCY-RELATED ALTERNATIVE CARE SITE - The parties agree that to the
fullest extent possible and consistent with the designation and use of the Premises as
a health emergency-related alternative care site, the Premises and the subject building
constitute a mass care center, first aid station, temporary hospital annex, and a
necessary facility for mitigating the effects of the COVID-19 local emergency, local
health emergency, and State of California state of emergency, and as such should be
entitled to the fullest protections and immunities available under applicable law,
including California Civil Code section 1714.5.
20.NONDISCRIMINATION – During the term of this Lease, LESSOR shall comply with all
applicable laws and regulations regarding the Premises, the services to be rendered,
and performance under this Lease. LESSOR shall not deny benefits to any person on
the basis of religion, color, ethnic group identification, sex, age, physical or mental
disability, nor shall they discriminate unlawfully against any employee or applicant for
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employment because of race, religion, color, national origin, ancestry, physical
handicap, mental disability, medical condition, marital status, age, sex, or any other
protected or prohibited basis. LESSOR shall ensure that the evaluation and treatment
of employees and applicants for employment are free of such discrimination.
21.ASSIGNMENT – LESSEE shall have the ability to assign this Lease.
22.TIME OF ESSENCE; BINDING UPON SUCCESSORS – Time is of the essence of this
Lease, and the terms and provisions of this Lease shall extend to and be binding upon
and inure to the benefit of the heirs, executors, administrators, successors, and
assigns of the respective parties hereto.
23.WAIVER – A waiver by either party of any default or breach by the other party in the
performance of any of the covenants, terms or conditions of this Lease shall not
constitute or be deemed a waiver of any subsequent or other default or breach.
24.PARTIAL INVALIDITY – If any term, covenant, condition or provision of this Lease is
found by a court of competent jurisdiction to be invalid, void or unenforceable, the
remainder of the provisions hereof shall remain in full force and effect and shall in no
way be affected, impaired, or invalidated thereby.
The parties acknowledge that as between LESSOR and LESSEE, each is
responsible for any Claims arising from the acts or omissions of its own employees
and invitees and notwithstanding anything to the contrary in this Section 24, each
Party hereby waives any claim for or right to consequential or punitive damages.
25.INDEPENDENT CONTRACTOR – In performance of the work, duties and obligations
assumed by LESSOR under this Lease, if any, it is mutually understood and agreed
that LESSOR, including any and all of the LESSOR'S officers, agents, and employees
will at all times be acting and performing as an independent contractor, and shall act in
an independent capacity and not as an officer, agent, servant, employee, joint venture,
partner, or associate of the LESSEE. Furthermore, LESSEE shall have no right to
control or supervise or direct the manner or method by which LESSOR shall perform
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its work and function; provided, LESSOR shall satisfy and comply with its obligations
as set forth herein.
LESSOR and LESSEE shall comply with all applicable provisions of law and the rules
and regulations, if any, of governmental authorities having jurisdiction over matters the
subject thereof.
Because of its status as an independent contractor, LESSOR shall have
absolutely no right to employment rights and benefits available to LESSEE’S
employees. LESSOR shall be solely liable and responsible for providing to, or on
behalf of, its employees all legally required employee benefits. In addition,
LESSOR shall be solely responsible and save LESSEE harmless from all matters
relating to payment of LESSOR’S employees, including compliance with Social
Security withholding and all other law and regulations governing such matters. It
is acknowledged that during the term of this Lease, LESSOR may be providing
services to others unrelated to the LESSEE or to this Lease.
26.NOTICES – The persons and their addresses having authority to give and receive
notices under this Lease include the following:
LESSEE: LESSOR:
County of Fresno Y&Y Property Management, Inc.
County Administrative Officer (CAO) Bob Young Yoon
2281 Tulare Street, Suite 304 3110 N. Blackstone Ave.
Hall of Records Fresno, CA 93708
Fresno, CA 93721
(559)600-1710
with copies to:
County of Fresno
Director of Internal Services
333 W. Pontiac Way
Clovis, CA 93612
(559)600-6200
All notices between the LESSEE and the LESSOR provided for or permitted
under this Lease must be in writing and delivered either by personal service, by first-
class United States mail, by an overnight commercial courier service, or by telephonic
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facsimile transmission. A notice delivered by personal service is effective upon service
to the recipient. A notice delivered by first-class United States mail is effective three
LESSEE business days after deposit in the United States mail, postage prepaid,
addressed to the recipient. A notice delivered by an overnight commercial courier
service is effective one LESSEE business day after deposit with the overnight
commercial courier service, delivery fees prepaid, with delivery instructions given for
next day delivery, addressed to the recipient. A notice delivered by telephonic
facsimile is effective when transmission to the recipient is completed (but, if such
transmission is completed outside of LESSEE business hours, then such delivery shall
be deemed to be effective at the next beginning of a LESSEE business day), provided
that the sender maintains a machine record of the completed transmission. For all
claims arising out of or related to this Lease, nothing in this section establishes,
waives, or modifies any claims presentation requirements or procedures provided by
law, including but not limited to the Government Claims Act (Division 3.6 of Title 1 of
the Government Code, beginning with section 810).
27.COUNTERPARTS – This Lease may be executed in one or more counterparts (which
may be facsimile or .pdf e-mail counterparts followed by originals), each of which will
be deemed an original, and all, taken together, will constitute one and the same
instrument.
28.GOVERNING LAW – Venue for any action arising out of or relating to this Lease shall
be in Fresno County, California. This Lease shall be governed by the laws of the State
of California.
29.AUDITS AND INSPECTIONS – LESSOR shall at any time during business hours, and
as often as the LESSEE may deem necessary, make available to the LESSEE for
examination all of its records and data with respect to the matters covered by this
Agreement. The LESSOR shall, upon request by the LESSEE, permit the LESSEE to
audit and inspect all of such records and data necessary to ensure LESSOR
compliance with the terms of this Agreement.
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If this Agreement exceeds ten thousand dollars ($10,000.00), LESSOR shall be
subject to the examination and audit of the California State Auditor for a period of three
(3) years after final payment under contract (Government Code Section 8546.7).
30.AUTHORITY – Each individual executing this Lease on behalf of LESSOR represents
and warrants that such individual(s) are duly authorized to execute and deliver this
Lease on behalf of LESSOR, and that this Lease is binding upon LESSOR in
accordance with its terms.
31.ENTIRE AGREEMENT – This Lease constitutes the entire agreement between the
LESSOR and LESSEE with respect to the subject matter hereof, and supersedes all
prior leases, negotiations, proposals, commitments, writings, advertisements,
publications, and understandings of any nature whatsoever unless expressly
referenced in this Lease.
///
///
///
///
///
///
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IN WITNESS WHEREOF, the parties have executed this Lease as of the day and year first
hereinabove written.
LESSOR: LESSEE:
Y&Y Property Management Inc., a California
corporation COUNTY OF FRESNO
By: By:
Bob Young Yoon, President Jean Rousseau
County Administrative Officer
County of Fresno
APPROVED AS TO LEGAL FORM:
Daniel C. Cederborg, County Counsel
By:
APPROVED AS TO ACCOUNTING FORM:
Oscar J. Garcia, C.P.A., Auditor-Controller/
Treasurer-Tax Collector
By:
FOR ACCOUNTING USE ONLY:
FUND: 0001
SUBCLASS: 10000
ORG NO: 56107300
ACT NO: 7870
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ATTACHMENT “A”
Site Map