HomeMy WebLinkAbout2002 Ordinance No. 027•
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ORDINANC::: NO .,ll_
SERIES OF 2,10 2
BY AUTHORITY
COUNC IL BILL NO. 25
I NTRODU CE D BY COUNC IL
MEMBER WOLOSYN
AN ORDINANCE AUTHORIZING THE CITY OF ENG LEW OOD'S EXERCISE OF
ITS RIGHT OF FIRST REFUSAL TO PURCHASE PRO PU'IT SYSTEMS, INC .
WHEREAS, by the passage of Resolutio n No. 1, Series of 1988, the City Co uncil of
the City of Englewood authorized an Agreeml..'nt with Pro Putt Sys tems, Inc. which
provi ded for u 54-hole t\iliniature Go;f facility at th e En glewood Golf Course; and
WHEREAS, by the passage of Resolution No. G7, Series of 1990, th e Englewood
City Co uncil amended the co ntract with Pro Putt to include a Go-Kart facility and
red uced th e number of miniature go lf holes to 45: and
WHEREAS, by the passage of F<esolution No, 95, Se r ies of 1990, the C ity and Pro
Pu tt e nte red into nn Entry S ign Lease Agreement: and
WHEREAS, by the passage of Resolution No. 49, Series of 1992, the E n glewoo d
Caty Co uncil authorized tl:e amending of the exis ting Agreement regli:-d.irn_! foes; a nd
WHEREAS, by the passage of Ordinance No. 30, Se ries of 1994 , the Englewood
City Co ur .-:il auth ori zed th e City's purcha 6(' of t he clubhouse building a nd lease of s uch
buildin~ to Pro Putt: and
WHEllEAS, by the passage of Resolution No. 40 , Series of 1995, the Englewoo d
City Council authori zed the ame nding of the Agreement to set fees which included a
Drag S tnp and exte nd ed the Co ntract to the year 2010: nnd
WHEREAS, by the pa ssage of Ordinance No . 63, Series of 1998, the Englewood
City CC'uncil authorized the amendi,1g of the Co ntract allowing Pro Putt to d educt
in sura nce costs from their mo nthly fee payments to the City; and
WHEREAS, the Con t ract with Pro Putt Systems, Inc. a llow s the City of Englewood
the right of first re fu sa l on any va.Hd off~r to purchase the existing bu ~i ness; a nd
WHEREAS, Pro Pu tt Systems received 3 va li d offe r to purcha se the exis ting
bu !:t in 1_•s!i1 fo r $35,000 .00; a.nd
WH EREAS, with tlv passage of thi s Ordinance the Ci ty Co uncil a uthori zes the City
to e xercise it's nght of fir st refusal und er the Co ntract;
NO W, THEREFORE, !JP IT ORDAJ NED BY "."HE CITY COUNC IL OF THE CITY OF'
ENGLEWOOD, COLOIUDO, AS FOLLOWS :
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~-The City Co un cil of the City of Englewood, Golorado hereby authorizes
the City to e xe rcise the right of first refu sal to purchase Pro Putt, Inc .
Se.d.i!ln.l. The Mayor a nd the City Clerk are hereby a uthori zed to s ign and attest
thi s Ordinance as an exerCl!31! u: ~he City's option,
Introduced, read in full , nnd passed on first readi ng on the 6" day of May, 2002 .
Published as a Sill fo r a n Ordinance on the 10th day of May, 2002.
Read by title and passed c . fin al reading on the 20th day of May, 20 02.
Published by title as Ordinance No.ll, Series of 2002, on the 24th day of May,
2002.
~tf(jj
Loucrishi,1 A. Ellis, City Clerk
I, Louc,ishia A. Ellis, City Clerk of the City of Englewood, Colorado, hereby certify
that the above and foregoing is a true CORY, of the Ordinance pas d on final reading
and publi shed by title a s Ordinance No&'_l_, Series of 20 2.
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COUNCIL COMMUNICATION
Dat e
May 6, ~002 I Agenda ,tem I Subject
11 a ii Purchase of Pro Putt Systems, In c.
Initiated By
Departm ent of Parks and Rec:eation I Staff Source
Dave Lee, Manager of O pen Space
COUNCIL GOAL AND PREVIOUS COUNCIL ACTION
1 Y88-lri•ial agreem ent with Pro Putt Systems , Inc. was to provide 54-hole Miniature Golf faci lity.
Term was forseven years. (Resoluti o n #1 )
1990-Chan ge in ~on lrac t to include a Go-Ka rt fac il ity anJ re duce th e number of golf holes to 45.
Term of contract was fo r ten years. (Reso luti on #67) Ded11ction fo r in suran ce was included in
co ntr act.
1990-Sign agreeme nt fo r lease of entry sign. (Resolution #95)
1992-Am end exis tin g ag ree m ent rega rdin g fee s, (Reso lution #49)
1994-Purchase of clubhouse b u ildin g and leas e of bui ldin g to Fro Putt Sys tems, Inc. (Ordinance
#30)
1995-An•end exis tin g agr ee m ent to set fee s, in cluding Drag strip and ex tending co ntrac t to the
vea r 201(. (Reso lution #40)
1998-Amend ex isting contrac t to all ow Pro Pu tt Sys tems, In c IO cied uct ins urance costs fr o m
m o nth l\' iee payments. (Ordinan ce #63)
RECOMMENDED ACTION
Staff recommends City Coun c il ado pt a bill for orciinance e.<e rcising right of first refusa l to p urchas e
Pr o Pull, In c ior the amount of 53 5,000.
IIACKGROUND , ANALYSIS , AND ALTERNATIVES IDENTIFIED
Pro Putt Syste ms, In c. (Riverside Miniature Golf/Go Kart s) began a miniat•Jre go lf o perati on in 198e.
Th ~ Ci ty o f Eng lewood has lease d th e pr o perty to Pro Putt Systems, In c. and Pro Putt :yst ems , 'nc.
pays 15% o f -·,e gross sa les of user fees and I 0% o f food/drink concess ions to th e En glewood Golf
Course. Sco tt Simpson, owner o f Pro Putt Systems , In c. gave us his six ty-da y w ritten noti ce to
terminate the agreeme 11t with th e City of En glewood wi th hi s las t day oi OJ., ,rati o n to b e MJy 19•,
2002. On April 18'", 2002, Sco tt Simpso n received a bona fide offer '.n p urchase Riversid e
Minra:u re Golf/Go Karts in th e amount of $35,000. The contrac t v •ith Pro Putt Sys tems, In c . all ows
th e Ci ty oi Eng lewood th e right of first refusa l on ,111y valid offer to purchase th e ~xis tin g bus iness .
FINANCIAL IMPACT
Starr believes the financial impact to be a loss of S8,000 to $12 ,000 per yea r. The demr!::i on cos t
will be arou nd $80,000-$100,000. The funds for the purcha~e and demolition of ~-,e site will come from the EnglewooJ Golf Course fund balance.
LIST OF ATTACHMENTS
Pro Putt Systems , In c Ag re ement
Building Lease Agreement
Offer lo Purchase Pro Putt, Inc
Sixty-Day Notification from Scott Simpson
Proposed Bili for an Ordinance
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AGREEMENT FOR OPER:1,TION OF
M!NT :l,T URE GOLF COURSE :\NP GO KART TRACK · 199§
THIS AGREEMENT is a co ntract that is binding upon the parties, who are the CITY OF
ENGLEWOOD [hereinafter "City") and PRO :: PUTT SYSTEMS , INC . [hereinafter
•operator"].
IT IS THE INTENTION of the parties that there be a twenty-seven (27) hole miniature
golf course and Go Kart facility to be constructed and operated in a beneficial and
aeathetically co mp atible ma nner upon a portion of the premises of the existing Englewood
Munici pal Golf Co urse.
NOW , THEREFORE . in consideration of the covenants and agreements herein co ntained
and of the fees and monies hereinafter set forth, the parties mutually agre, and co ntract as
follow s:
1. ~ to Occupv and Onecare
The City hereby grants the exclusive right, license, and privilege to Operator to
co nstruct, operate . maintain and provide amenities fo r a tw enty~seven (27) bole
miniature golf co ur se. Go Kart facility, miniature drag strip, boat ride facility, bike and
trail re nt al facility and clubhouse upon a parcel of la nd described in Exhibit A
attached he reto , and wluch is presently a part of the e:risting Englewood Ylunicipal
Golf Course . The Clubhouse and eightee n (18) holes shall be wheelchair accessi ble .
Such construct1o n, operation, maintenance and provisio n of amenities shall he reinafter
be referred to as ''Concess ion."
The City .ihall at all nmes retain ::ind maintain itS ow nership of the real prope rty so
occ:.ipied .
No other ac th;t:,.• may be co nd1.1 ·.ced pursuant to this . .\greement without the ?.-ritten
consent oi the City :'<lanager.
2. Con ce<;sioo ~ubiect to ;\,ppro val
The Conce ssion and its operation. including co nstruction, design, sigt1age ,
maintenance, and provision of amenities, as well as all activities se t fo rth in the
following paragr,µh , shall be subj ect to t he approval of the City, through its
designated representative. which ~;:pri,val may be granted or with.held in the City's
sole discretion fo r any reacc.r, when acting in good faith . The City must act promptly in
deciding to :;rant or witr.ho ld its a pproval fo r any action of the Operator affecting the
Concession .
The Oper>tor must prom f t!)' provide the City with any and all details of, or changes
in . or mak e availab le upon request to the City any and all de tails of, or changes in, the
foUowing : Go Kart equipn1ent, co nstructio n design. location. landscaping, scheduling,
materials. standards, co ntra cto rs, subcontractors, working personnel. came,
oper3tional design, la yout, loc:itio n, landscaping, hours and da ys of opern.tio o,
materials, standards, signage, employees, employee dress, food and drink, sale goods,
concession items, all business accounts and books, receipt totala, and any and all
buaillesa records reasonably necessary to determine accurate, true and correct fees due
and owing to the City.
Operator shall keep and maintain detailed reC<lrds of all sales of any kind whatever
and of all expenditures in the conscruction and operation of the concession.
If at any time, co me or any portion of the conatruction or design of the concesaion or its
operation is unsatisfactory to the City in its sole discn:tion, then the City may order
and requin, that such concession and/or operation be altered and changed forthwith in
a fashion determined by the City in its sole satisfaction and at the Operator's sole
expense.
3. '.Ill.m.
11iis Agree m ,nt shall be in effect through Septec:b,,: 1. 2010, unless soo ner
terminated 1,urs uant to the terms set forth herein; and the Operator shall have the
exclusive right to renew for two (2) successive, additional five (5) year terms. ·
Renewal shall be automatic 11nless either party gives writte r.1. :iotice no le ss than sixty
(6 0) days ~rior to the expiration of the then current term of I.his Ap-eement that
renewal i terminated.
Thia Agreement is not and s hall not be construed as a franchise, and the City and
Operator shall have the right to mutually and/or unilaterally cancel this Agreement as
set forth herein.
The operator •hall co mpensate the City by monthly payments for the following items:
A. Miniature Golf -beginning January 1, 1995 • 10% of the gross income from the gross
gate fee or of any other fee for admission fo r the miniature golf concession.
Beginning January 1, 1996 • 11 % of the gross income from the gross gate fee or of any
other fee fo r admission fo r the miniature go lf concession.
Beginning January I , 1997 -12% of the gross income from the gross gate fee or of any
other fee fo r admission for the miniature golf concession .
Beginning January 1, 1998 • 13% of the gross income from the gross gate fee or of any
other fee for admission fo r the miniature golf co ncession.
Beginning January I, 1999 • 14% of the gross income from the gross gate fee or of any
other fee for admission for the miniature golf concession .
Beginning January 1, 2000 -15% of the gross income from the gross gate fte or of any
othe r fee for admission for the miniature golf conceaaio n. ·
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B. Go-Kart, Jr. Dragster and Boat Rental• beginning January I, 1995 . l0% of the gross
income from the gross gate fee or of any other fee for admission for tbe Go-Kart, Jr .
Dragster and Boat Rental concession.
Beginn.ng January I , 1996 • 11 !-I of the gross income from tbe gross gate fee or of any
other fee for admission for the Go -Kart, Jr. Dragster and Boat Rental concession.
Beginning January I, I ~"~ · 12% of the gross income from the gross gate fee or of any
other fee for admission ,r the Go-Kart, Jr. Dragster and Boat Rental concession.
Beginning January I . 1998 · 13% of the gross income from the i;ross gate fee or of any
other fee for admission for the Go -Kart, Jr. Drag,ter and Boat Rental concession.
Beginning January I, 1999 · 14% of the gross income from the gross gate fee or of any
other fee for admission for the Go-~. Jr. Drag,ter and Boat Rental concession.
Beginning January I , 2000 • 15% of the gross income from the gross gate fee or of any
other fee for admission for the Go-Kart, Jr. Dragscer and Boat Rental concession.
C. PRO :: P UTT SYSTEMS . INC . will be allowed to deduct the liability insurance cost
(not to exce ed $2,000 annually) for Go-Kart and Dragster concessions from its monthly
fee payments to the City of Englewood.
D. Mountain Bike and ot her Trail Rental -15 % of the gross income for the term of the
Agreement.
E. Food and drink sales 10% of the gross inco me for the term of the Agreec,ent .
All fees shall be due and payable within fifteen (15) days after the end of the prior
month. Reports with s ufficient information and approval by the Dirc <to r of Financinl
Services shall be made for each month the co ncession is operated.
Failure to m:i ke timely payments as required 3hall cause :1 finance charge to accrue
against the Operator and fo r the C:icy in :1.n amount tqual to one and one-half percent
(1.5 %) of the unpaid balance per ruon th.
Any such fail ure to make payment shall be conside red a material br•ach of this
Agreem ent.
Parking shall include those existing parking s paces presently available to the
Englewoo d Municipal Golf Course .
6. Citv Particioation -
In addition to those matters set forth elsewhere herein. the City shall also pay the
charge for the water tap and the sewer tap . The water tap and sewer tap shall at all
times be the property of the City of Englewood, The City shall pay for the installation
of a 6.re hydrant within one hundred (lOO) feet of the clubhouse. The City shall pay for
the ins tallatio n of the water and sewer lines. The Operator shall be esp onsible for all
service charges on water and sewer service.
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7. Utilities ond Security .
The Operator shall be responsible for installation, provision and payment for all
utilities (ucept water and sewer to the extent they are considered and construed to be
utilities as set forth previously herein). Security shall be the responsibility of the
Operator, who shall ensure that the public, and any trespasser(s), shall not occupy
and use the concession and its premises when it is not open for bwiness. 8. Personnel
and Maintenance.
The Operator shall be responsible for providing any and all personnel for operation of
the concession, and for proper maintenance thereof, sub1e ct to the City's approval as
set forth above .
The Operator shall be reasonable for maintaining that area two feet (2')·outside
perimeter fen ce to the sole satisfaction of the City . The Ci ty shall be responsible for
maintenance of remaining Ci ty property , including easements.
9. Sofetv of r.be Public
The Operator shall operate the co nces sion so as to keep the public and its users safe
fr om reasonably foreseeable harm . Any and all injuries or damage to the public s hall
be rep orted to the City witlun one hour thereoi, or if s ame s ho ul d occur after City hours
or on weeke nds , then by 8:30 a.m . the next working day.
10 . Obedience to :\H t aws and p3.y;,;nent 2f all Cha r& .. s
Operator shall obey ,nd immediotely comply w', ~ ~uy a nd all applicable local, sta,,
and fede ral requirements . ordinances , regufa ::vu..:, : ".'":, :.lws and ~tatute s. Operator
shall also comply 1vith all ordinances . r•sol ·,r.,ons and rules of the City of Englewood.
Oper:itor shall pay all ta.-c es. fees and ch:ll"g'!'J imposed by othe rs on it's concession
ope rat ion .
11. P"rformonc:e Bond
The Operotnr shall furnish ,o the City• perfo r:nancs bond in the amount of Ten
Thousand uollars (S 10 .000) guar,nteeing faithful performance and payment of all
terms , covenants, and conditions herein. as well as co mpliance with any and all
applic:ib le local , state and federJ l requirements, regulations, rules , law s and statutes
as well as in the event of constructio n of improvements .
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12 . Indemni6c:ation and Insurance
Before any constrUction or any activity related to construction s hall commence, the
amount of wluch will exceed Ten Thousand Dollus ($10 ,000) in whole or in part, or
any activity related to construction, the Operator s hall provide a payment and
performance bond to insure payment of all obligations incurred as a result of said
construction or activity. The performance bond shall be in a form approved by the
City.
The Operator shall before any construction begins procure and maintain in full force
and effect at it's sole expense a public liability insurance policy naming the City aa an
additional named insured. This policy shall remain in full force and effect continuoualy
during this and any successive term of this Agreement, and it shall include
comprehensive liability cow,rage a. follows : $1 ,000 ,000 for injury or death of any one
or more persons : Sl million for inj 1uy or death occurring as a result of any one accident;
Sl ,000 ,000 for property dru..~age : ~l.000,0 00 for product liability.
A certificate evidencing said ir ~c r.1"·:e policy shall be kept on file at all times with the
Cicy and it shall contain a provision ~hat it may not be altered, amended or canceled
without fir st giving written notice to the City thirty (30) or more days prior thereto .
Such ;,olicy or policies s hall co ntain no right of subrogation against the City .
The Operator hereby indemnifies the City from any and all claims against it arising
fro m any activities pur suant to this .-.\greement. The City owns and operates a
munici pal go lf co urse nearby and e3ch party is res ponsible for its own operations .
The Oper:i.tor agr ees to carry adequate lost business. ge neral bus iness, fire , theft,
personal in jury and property damage in surance covei.ng all aspects of the concesei1Jn
op e ratio n in :in amount and with a co mpa ny to be a.pp roved by the City Director of
Financial Servic-.s.
_.\.ll policy or policies s hall co ntain no right of subrogation against the Ci ty.
13 . Insnt:c tian 2£ Pren'i se-=.
The Ci ty shall have the right to e,amine ~nd ins pect the premises. including, on
reasonable notice , private office are as .
14. No ;\-:sirnment or Subletting
The Operator , may not sell, assign . mortgJ.ge. sublet or otherwise co nvey, release or
pass on any part of its interest in the co ncession without the prior permission of the
City , which has a right of fir st refusal as set forth below . The Operator, may not suffer
or cause a lien to be filed against the co ncession or any part thereof.
The Operntor shall be responsible and liable to the City for any and all fees and
pa yments to the City , ad well as any and all other terms and co nditions of this
Agreement.
Such assignment to the Bank/SBA is conditioned ,pan the City having a right of first
refusal to approve s u ccessor Operator appointed by the Bank/SBA. If the City refuses
a pr opos ed successor operator other than for cause, City will cash out the lo an.
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15 . Material Breach
The parties agree that the happening of any of the following events shall constitute a
material breach of this Agreement and City may, at its election, terminate the
Agreement upon the happening of any of the following events:
a . Operator shall fail to maintain and operate the concession according to the terms
of this Agreement.
b . Operator shall fail to pay the City the fees provided in Paragrapba 4 or 5,
whichever is applicable, within thirty (30) days of date when they are due.
c. Operator shall deny the City the right to inspect the concession at reasonable
times upon notice .
d. Any •••ignment or transfer of any interest of Operator without the City's approval.
e. Operator shall be bankrupt as defined by the laws of the United States, of
America, be come insolvent, or a rec~iver , whether permanent or temporary, for all
or s ubstantially all of the Operator's property s hall be appointed by any Court, or
Operator shall make a general assignment for the benefit nf it's creditors, or a
voluntary or involuntary petition under any bankruptcy law shall be filed with
respect to Operator .
f. Operator shall fail to keep in effect insurance as provided herein.
16. Riibt of Fir"t Refusal.
In the event :bat the City gives its permi ssio n to the Operator to sell the concession,
the City may exercise a first right oi' refusal as fo llows : Operator must present a bona
fide offer of sale-purchase to the City. The City may then match or e,ceed the sale -
purchase price and purchase the concessio n.
17. Effect ofTt:1nninarion bv Cjcy .
lipon termination of this Agreement by the City upon a material breach, the City shall
have the option for thirty (30) days following ,uch termination to purchase Ope_rator's
leasehold improvements, 6.:ttures , signs, equipment and other property for 3 sum
equal to the fair market value less all monies due to the City under this Agreement.
Fair market value shall be determined by two ap praisers, one appraiser selected by
the City and one appraiser selected by the Operator . If these two appraisers fail to
agree on fair market value , then the two appraisers shall select a third appraiser who
determine fa ir market value of the proper ty.
If the City refuses to purchase the improvements then the Operator shall have thirty
(30) days to remove the thtures and equipment. The City may withhold sufficient
fi-nures and property in c•der to pay all monie s due to the City under this Agreement.
Any sum to be paid shall be offset by any payment to third parties.
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18. Trade Name
The trade name of RIVERSIDE MINIATURE GOLF CLUB shall remain at all times
the property of Operator unless purchased by City.
19. Tenninarinn bv Oncrotor
This Agreement may be terminated by Operator upon sixty (60) days' written notia, to
the City. Operator shall, at it's option. have the right to remove all buildings ,
t'untiture, fixtures, signs, equipment and other property and leasehold improvements
within thirty (30) daya of notia, of termination delivered to the City other than thoee
improvements aupplied by City, which are water and sewer tap and fire hydrant.
20 . Peliverv TlPon Tenninarion -
Subject to the terms of thia Agreement, Operator shall deliver the concession and
premises to the City at termination of this Agreement in as good condition and state of
repair as when rea,ived, except for ordinary wear and tear or loss or damage caused by
act of God.
21. Force :\i[aiuett-
Performance of this Agreement shall be excused if rendered impossible by act of God .
22. Attornev F"'CS
Any breach or failure to pay any fee required b.ereby shall entitle the successful party,
who was required to collect a fee sum or charge or enforce this Agreement , reasonable
attorneys fees an:i costs of collection.
SO AGREED .
CITY OF E:-IGLEWOOD
PRO :: P UTT, INC.
By: fJ~J, Al ✓ ,Q..,, ,,.,,::_ ./ ~~
Secretary/Treasurer
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BUILDING LEASE
This !ease, dated , -r;; ,, • £ I '? '1'.r is between the CITY OF ENGLEWOOD,
3400 South Elati Street , Engle wood, Colorado 80110, as Landlord and PRO ::Ptm
SYSTEMS , INC ., 11s Tenant.
In co nsideration of the payment of the rent and the performance of the covenants and
agreements by the Tenant set forth herein, the Landlord does hereby lease to the Tenant the
following des cribed premises situate in Arapahoe County, in the State of Colorado; the
address of which is tbe Clubhouse Building at Riverside Miniature Golf Course 2201 West
Oxfor d Avenue , Englewood, Colorado 80110.
Said premises, with all the appurtenances, are leased to tbe Tenant from tbe date of
signing through September 1, 20 10, at and for a rental of Three Thousand Four Hundred
Dollars ($3 ,400.00 ) per year, payable according to the following schedule:
$100.00 per month for the months of January, February and March
October, November and December
$200 .0 0 per month for the months of April and September
$600 .00 per month for the months of May, June, July and Augu,t.
The Tenant may with a pproval of the Landlord extend this lease in co njunction with the
1995 .weement for Operation of :Miniature Golf Course :ind Go Kart Track between the
City oi Englewood :1nd Pro ::Putt System s, Inc., notice of extension shall be giv en in
writing be iore the termination oi this lease.
THE TI:.'1,UiT, IN CONS IDERATIO N OF THE LEASING OF THE PREMISES AGREES
A.S FOLLOWS:
1. To pay the rent for the premi ses above-described.
2. To kee p the im proveme nts upo n the premi ses including, dramage, storm sewer; fences,
sewer con nection s , plum bing, wiring and glass in good re pair, all at Tenant's exp ense,
and at the expiration oi this lease to surrender the premi ses in as _good a condition as when
the Tenant entered the premises , loss by 6re, inevitable accident, and ordinary wear
exc•pted. To ke ep all si dewo.lks on and around the premises free and clear of ice and
snow, and to keep the entire premises fr ee from all litter, dirt, debris and obstructions; to
keep the premi ses in a clean :ind sanitary condition as required by the ordinances of the
city ond count-; in which the property is situated with no storage of derelict or junk
vehicles .
3. To sublet no part of the premises, and not to assign the l,.ase or any interest therei>..
without the written co nse nt of the Landlord.
4. To use the premises for no purposes prohibited by the laws of th,e United States or the State
of Colorado , City of En glew ood, or oi the ordinances of the city or town in wbich said
premises are located, and fo r no improper or questionable purposes whatsoever, _and to
neither permit nor suffer :1ny di sorderly conduct, noise or nuisance bavini a tendency to
annoy or di.turb any pe rs ons occupying' adjacent premises.
5. To neither bold nor attempt to hold the Landlord liable for any inj ury or damage, either
pr~tim,te or remote, occurring through or caused by the repairs, alterations, injury or
acddent to th e premises, or acljacent premises, or other parts of the above premises not
herein de mis ed, or by reason of the negligence or default of the owners or occupants th<-reof
or any other perso n, nor to hold the L:indlord li able for any injury or damaiie occasioned by
defective ele ctric wiring, storm water, nor said premises to be 113ed for any purpose which
would re nder the insur:inc e thereon vo id or the in surance risk more hazardous, nor make
any alterations in or c:h.:inge s in , up on, or about a,jd ob ►aining the written consent of the
Landl ord therefor.
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6. To allo w the LJ.11d lor d to enter upon th e prem is es at J.11y reasonable hour.
r r IS EXPRE SS LY l;:-I DERST OOD AND AGREED BETWEE:-1 LA.'IDLORD AND
TE:-IA..'i T A.S FOLL OWS :
7. No assent, «pr ess or implied, to auy breach of any one or mor e of the agreements hereof
shall be deemed or t:iken to be a waiver of any suc ceedi ng or ot her breach .
8. If, after th e «;,iution of this lease, the Tenant shall remain in possession of the
premises and continue to pay ren t without ,1 written agreement as to such possession, then
such tenancy shall be regarded as a month-to-month tenancy , at a monthly rental, payable
in advan ce, equi valent to the last month"s ren t paid under this lease, and subject to all the
terms and conditions of this lease.
9. If the premises are left vacant and a11y part of the rent reserved hereunder is not paid,
then the Landlord may, without being obligated to do so, and without terminating this lease,
retake possession of the said premises, making such changes and repairs as may be
required, giving credit for the amount of rent so received less all expenses of such changes
and r epairs, and the Tenant shall be liable for the balance of the rent herein reserved until
the e:tpiro.t ion of the tenn of th.is lease.
10 . The Landlord acknowledges receipt of a deposit in the amount of S-0-.
ll. At the Landlord's option, it sh c..1 1 be deemed a breach of this lease if the Tenant deiaults
(a ) in the paymen t of the rent or any other mone t:u·y oblig,tion herein; or (b) in the
pen·ormance of any ot.',er term or condition of this lease. The Landlord may elect to cure
such defau lt and any expen s es of curing may be ,dded to the rent and shall bec ome
immedia:.e ly due :ind pay able .
In the eve nt th at t.'ie Landlord elects to decl are a breach of this lease, the Landlord shall
have th e right to giv e the Tenant three (3) days wri t:en notice requiring payment of the rent
or compliance wit.1 other terms or provisions Jf the les.~e . or deli very of the possessio n of the
prem is es. In the event any default remains uncor.ec::ad after three (3) days wri tten notice,
the Land lo rd, at Lan dlor d's option, m:iy decl are the term ended , repossess the premises,
expe l t.he T enant and th ose cl a iming through or Wl C.er :.1.e Tenant and remove the effects of
the Tenant, :ill •Ni t:lout being deemed gui lty in trespass or of a fo rcible entr:, and detainer
an d ·Nit.i.out ;,r ej u ciice :.o an y other re m edie s to which t.i.e Landlo rd may be entitled. If at
an y ;;i mt? th is lease is te rminate Wlder th is par::igr:iph , the Tenant agrees to pe acefully
surrendec t~e ;,re :-:i ise s t o the Landlord immediately u pon te r:nination , and ii the Tenant
rem ai ns in possession of the pr emises, the Tenant shall be d~emed guilty of unlawful
detenti on of the premises . The Landlord shall be entitled to recover from the Tenant all
damages by re:i.s on of the Tenant"; defaul t, including but not limited to the cost to recover
and repossess th e ;,re mises, the expenses of re le eting, necess2r1 renovation and alteration
expen ses, commist'ons and the rent for the balance oithe term oithis lease.
12. In the event of any dispute arising under the terms of this lease, or in the event of non-
payment of an ? su."Ils arising under this lease and in the event the ruatter is turned over to
an at::orney , t.',o party prevaili ng in such dispute shall be entitled, in addition 1:0 other
damages or costs, to receive reasonable attorneys' fees from the other part'/.
13 . In the ~vent any payment required hereunder is not made within (10) da ys after the
payment is du e, a late c~arge in the amount of five percent (5%) of the payment ,,..;n be paid
by the Tenant.
14 . In the event of a condemnation or other taking by any go vernmental agency, all
proceeds sh,ll be ;,ai d to the Landlord hereunder, the Tenant waiving all right to any such
payments .
15. Th is le:,.,e is made with the express understandi ng o..nd agr eement that in the event the
Tenant be co mes ins ol vent, the Lan cii ord ma y declare this lease ended , and all rights of the
Tenant here under shall terminate and cease.
16. Tenan t shall insure the prem ises for public liabilk/ and property damage in the sum of
Cne :Vlill ion Do ll ars with the City of Englewood as an addi tio na l insu· . d.
-'.!-
SHOULD ANY PROVISION of this lease V1olat1t any federal, state, or local law or
ordinance, that provision shall be deemed amended '.o so comply with such law or ·
ordinance, and shall be construed in a manner so u to comply.
This lease ,hall be binding on the parties, thei:· penonal represent.atives, successors and
assigns.
When used herein, the singular shall include thu plu.r:i.1, ar.-\ tho 115a of any gender shall
apply to both genders .
LANDLORD TENANTS
CITY OF ENGLEWOOD PRO ::PUTl' SYSTEMS, INC .
~ (!lb,. J! ~ By~, 1,1/!r? _ Bv·~~ I --Scott m,pson
STATE OF COLORADO )
)ss .
c.;ouNTY OF ARAPAHOE )
The foregoing instrument wa.s acknowledged before me tlus .J.i!'3.ay of
~~ 1995, by Scott L. Simpson as President of Pro::Putt Systems, Inc .
. IN WITNESS WH"..-:REOF, I have hereunto set my hand and affixed my official seal the
day and year first a..,ove written.
My commission expires : -'/.,'/....1.,0,.:./ ..... ?'_.,_7 __ 7 I
. 3.
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1641H Samord ~ ...
Awon. co 10015
, ""°""J0J-69J.94n
· Fu: J0l •l64-IU2
c,11 , no.J6J-ma
.OFFER PURCHASE R IVERSIDE l\illNI GOLF AND GO-KARTS
4-18-02
On this dale , I, Jay Summey offer to Scott Simpson , owner of Riverside Miniature Golf and Go-Kart
speedway , to purchase ex isting contract with the City of Englewo cd and the assets of Riv ers ide for S35 ,000
(thirty-five thousand dollars) I have attached an amortization schedule showing the terms of this offer.
As li:ne i$ of the essence please give th is your immediate attention and consideration .
Thank you tor this opportun ity .
March 6, 02
Jerrell Black
Bob Spada
Scott & Debbie Simpson
Options Concerning Contract Between
City of Englewood And Pro Putt Systems Inc .
1) Sixty Day Written Notice : At this time we are projecting
May 19, 02 as are last day of operation, thi s date would mean
March 21 ,02 is the offic al notification date of termination .
2) If contract is termin ated We are requesting payment from the
City of Englewood for two pe1minate lease hold improvments .
First the go-kart main tenance ;hop at fair market vaule approx.
(S 18 ,000 -S20 ,000 ) our cost of ,;onstrucrion minis labor. This
building is in great condition and would have multi use for the
Emtlewood Golf Course . Second is the outdoor Musko Overhead
Ligthin g System and the electrical servic e to operate them at fair
market value (SI 1,000-$13 ,000 ) our cost . This system lights
the entire 3 acre property with bright white light. Today 's
replacement cost would be well over S25 ,0 00 .
3) Pending : As of 3-5-0 2 there is one quaified buyer for the
business at a price of 560 ,000 we ha ve a meeting with this party
today. We will keep the City informed about this prospect.
4) As always time is of imponance for the operating season is upon
us , and ways heavy on all options concerning this issue .
Thank you for your concern in this matter . •