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HomeMy WebLinkAbout1994 Ordinance No. 030ORDINA.N CE NO. 30 SERIES OF 1994 BY AUTHORITY COUNCIL BILL NO . 34 INTRODUCED BY COUNCIL MEMBER WAGGONER AN ORDINANCE AUTHORiZING 'l'H<: CITY OF E NGLEWOOD TO LEASE TO THE PRO ::PUTT SYSTEMS, INC. CLUBHOUSE BUILDING WHICH IS LOCATED AT THE ENGLEWOOD GOLF COURSE. WHEREAS, the Ci ty of Engl ewood , Colorado curr•ntly owns the property at the Riversi de Miniature Golf Course; and WHEREAS, the City of Englewood and PRO ::PUTT System s , Inc. have entered into an agreement for the ope ration of the mi niature go lf course and go kart track ; and WHEREAS , PRO ::PUTT Systems , Inc. wi shes to sell the clubhouse building to the City of Englewood; and WHEREAS, th e City of Englewood is desirou s of purchasing the building and ai ding this small business in developm ent of the Engl ewood Golf Course property ; and WHEREAS, by Charter all interests in real property must be approved by ordinan ce; NOW, T HEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF E!\GLEWOOD, COLORADO, AS FOLLOWS: Sw.ism.l. Th e Englewood City Council hereby approves th e Building Lease betwee n Pro ::Putt Systems, Inc . and th e Ci ty of Englewood for the lease of the Clubhouse at th e rate of S3 ,400 per year. 1994 . Introduced, r ead in full , and passed on first rea ding on the 6th day of June, 1994 . Publi shed as a Bill for an Ordinance on the 9th day of June, 1994 . Rend by title and ~assed on final reading on the 20th day of June, 1994 . Publish ed by titl e as Ordinance No . 30 , Series of 1994, on th e 23 rd day of June, ~ w/4/.~ LouclshiaA. Ellis , City Clerk -1- I, Loucri ahia A. Ellia, Cit.y Clerk of the Cit.y of Englewood, Colorado , hereby certify that the above end foregoing ia a true copl ~f the Ordinance passed on final reeding end published by title aa Ordinance No. ::t}_, Serie, of 1994 . ~~~ ;;;rishia A. Ellis -2- BUILDING LEASE Thia leaee, datad _________ i1 between the OITV OF ENGLEWOOD, 3400 South Elati Street, Englewood, Colorado 80110, as Landlord and PRO ::PlrM' SYSTEMS, INC ., as Tenant. In consideration of the payment of the rent and the performance of the covenant& and agreementa by the Tenant 1et forth herein , the Landlord does hereby leaee to the Tenant the following described premises situate in Arapahoe County, in the State of Colorado; the address of which is the Clubhouse Building at Riverside Miniature GolfCoune 2201 W•st Oxford Avenue, Englewood, Colorado 80ll0. Said premises, with all the appurlA!nances , are leased to the Tenant f'Tom the date of signi ng through September 1, 2000, 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 $200.00 per month for the months of April and September $600.00 per month for the months of May, June, July and Au gust. The Tenant may wit.ii approval of the Landlord exten d this lease in conjunction with the 1991 Agreement for Operation of Miniature Go lf Course and Go Kart Track between the City of Englewood and Pro::Putt Systems, Inc ., notice of exten sion shall be given in writ ing be(ore the termination of this lea se. THE TENANT, P.< CONSIDERATION OF THE LEASING OF THE PREMISES AGREES AS FOLLOWS: I. To pay the rent for the premises above-described. 2. To keep the imP~1h•ements upon the pnmises including, drainage, storm sewer, fences, sewer connecti ,as, plumbi ng, wiring and glass in good repair, all at Tenant's expense, and at the e:tpiration of this lease to summder the premises in as good a condition as when th e Tenant t.nte red the premises, lo ss by fire, inevitable accident, and ordinary wear exce pted . To keep all sidewalks on and around the premi ses fret and clear of ice and snow, and to keep the entire premises free from all litter, dirt, debris and obstructions; to kee9 the premises in a clean and sanitary condition as required by the ordinances of the city !!!Id cou nty in which the property is situated with no storage of derelict or junk 1,e hicl es . 3. To sublet no part of the premises, and not to assign the lease or any interest therein without the written consent of the Landlord. 4. To use the pre.mises for no purposes prohibited by th e laws of the United States or the State of Colorado, City of Englewood, or of the ordinances of the city ,,r town in which sai d premise s are located , and for no improper or qu estionable purpo ses whatsoever, and to neith ,!r permit nor suffe r any disorderly conduct , noise or nu.i sance having a tendency to anno:; or disturb any per so ns occupying acijacent premise s. 5. 'fo neither hold nor attempt to hold the Lan dlord liable for any injury or damage, either proximate or remote , occurring through or caused by th e n yairs , alterations , injury or accident to the premises, or adjacent premises, or other parts of the above premises not h erein demi sed, or by reaso n of the negligence or default of the own er s or occupants thereof or any other person, nor to hold the Landlord liable for any injury or dam s ge occasioned by defectiv e electric wiring, storm water, nor sai d premi ses to be used for any purpo se which wou ld re nd er the insu ran ce th ereon voi d or the insurance risk',more hazardou s, nor make any alteration s in or changes in, upon, ()r .tbout aid obtaining the written consent of the Landlord th erefo r. 6. To allow the Landlord to enter upon lht premiae1 at any reaoonable hour. IT JS EXPRESSLY UNDERSTOOD AND AGREED BETWEEN LANDWRD AND TENANT AS FOLLOWS : 7. No assent, expren or implied, to any breach of any one or more oft.he agn,ementl hereof shall be deemed or taken to be a waiver of any aucceedine or other breach . 8. If, after the expiration of this lease, the Tenant ah all remain in po11e11ion of the premiae1 and continue to pay rent without a written agreement a ■ to auch poHeuion, then such tenancy shall ha regarded •• a month-to-month tenancy, at a monthly rental, payable in advance, equivalant to the last month'• rent paid under this leue, Md subject to all the terms and conditions of this lease. 9. If the premises are left vacant and any part of the rent reserved hereunder ia not paid, then the Landlord may, without being obligate~ to do so, and without terminatine t.h ia lease, retake pos session of the &aid premises, making such changes and repairs as may be rtquired, giving credit for the amow1t of rent o0 received less a11 expenses of such changes and repairs , and the Tenant shall be liable for the balance of the r ent herein reserved until the e.,piret ion oft.he term of this lease. 10 . The Landlord acknowledges receipt of a deposit in the amount of $-0-. 11. At the Landlord's option, it shall be deemed a breach oft.his lease if the Tenant defaults (a ) in the payment of the rent or any other monetary obligation herein; or (b) in the performance of any other term or condition of this lease. The Landlord may elect to cure such default and any expenses of curing may be added to the rent and shall become immediately due and payable. In the event that the Landlo.-d elects to decl•re a breach of this lease, the Landlord ahall have the right to give the Tenant three (J) days written notice requiring payment oft.he rent or compliance with other terms or provi sions of the lease, or delivery of the po ssession of the premises. In the event any default remains nnc:orrected after three (3) days written notice , the Landlord, at Landlord"s option, may declare the term ended, repossess the premises, expel the Tenant and those claiming through or under the Tenant and remove the effects of the Tenant, all without being deemed guilty in t r es pass or of a forcible entry and detainer and without prejudice to any other remedies to which the Landlord may be entitled. lf at any time this lease is terminate under this pa ragraph, the Tenant agrees to peacefully surrende r the premises to the Landlord immediately upon termination, and if the Tenant r emain s in possession of the premises, the Tenant shall be deemed guilty of unlawful det ention of the premises. The Landlord shall be entitled to recover from the Tenant all dama ges by r eason of the Tenant"s default, including but not limited to the coat to recover and r e po ssess t.he premises, the ex penses of reletting, n ecessary renovation and alteration ex penses, commissions and the rent fo r the balance of the term of this lease. 12. In the event. of any dispute arisi ng under t.he terms of this le ase , or in the event of non- payme nt of any sums arising und er thi s lease and in the event the matter is turned over to an attorney, the party prevailing in such dispute shall be entitled, in addition to other damages or cos t s, to receive r easonable attorneys' fees from the other party. 13. In the event any payment required hereunder is not made within (10) days after the payment is due, a late charge in the amount of five percent (5%) of the paym ent will be paid by the Tenant. 14 . In the eve nt of a condemnation or other taking by any governmental agency, all proceeds shall be p aid to the Landlord hereunder, the Tenant waiving all right to any such payments. 15 . This lease is made wi th the express understanding and agreement that in the event the Tenant bec,,mes insolvent, the Landlord may declare this lease ended, and all rights of the Tenant h ~reunder sh a ll terminate and cease. 16 . Tenunt sh all insure the premises for public liability and property da mage in the sum of One Million Dollars with the City of Englewood as an additional insured. -2- SHOULD ANY PROVISION or thi1 leue violau, any federal, 1tau, or local law or ordinance, that proviaion ■hall be deemed amended to to comply with ■uch Jaw t'>r ord inance, and shall be Construed in a manner to as to comply . Thi s lease shall be binding on the parties, their peraonal representatives, successors and assigns. When used herein, the singular shall include the plural, and the use or any gender shall apply to both genders. LANDLORD TENANTS CITY OF ENGLEWOOD PRO::PU'IT SYSTEMS, INC. By;~-----------Scott L Simpson STATE OF COLORADO )ss . COUNTY OF ARAPAHOE ) Th e for egoing in strument was acknowledged before me thi s __ day or _______ , 1994, by Scott L. Simpson as _________ or Pro ::Putt Systems, Inc. IN WITNESS WHEREOF, I have here unt.o set my hand and affixed my official seal the day and ye ar first abov e w~itt en. My co mm ission expirP~· _______ _ NOTARY P U!ILIC -3 - Date June 6, 199-l INmATEDBY STAFF SOURCE COUNCIL GOAL COUNCIL COMMUNICATIOS Agenda Item 15 a Subject Ordinance for Building Purchase and Building Lease with Riverside Miniature Golf and Go Kart Department of Recreation Services Jerrell Black, Director of Recreation Services Ad vancement of Englewood 's pro-business comrnibnent ISSUE/ ACTION PROPOSED Staff seeks Co,mcii ~ci pport fo r a bill for an or ·· 1ance to purchase the clubhouse building belongi n g to F ro:Putt Sy ste ms, Inc . for the sum of $39 ,000 and then lease the building back to Ri verside for $3,400 annuall y. l'REVIOUS COUNCIL ACTION 1992 Ame nded th e existing agreement w ith Pro:Putt, Inc . to adjust fee percentage due to th e City 1990 Amend e d th e exi sting agree ment with Pro:Putt, Inc . to include a Go Kart Track 1988 h isting agreement initia ted BACKGROUND Pro:Putt Systems, In c. is a partne rship with the City of Englewood . The City owns th e property and Pro:Putt Sy stems, Inc. (Ri verside) operates the facility and pays the Ci ty a percentage of the revenues . Riversi de h as provi ded a very successful operation bci°th for th e corporation 'n d fo r th e Ci ty . The pa.rtnership has been a showcase of public and private coo peration . STAFF ANALYSIS Ri ·•·terside has provided a safe and p i·easant fa.--ruiy environment. It enhan,.-es the existing [I ,lfing facilities while functioning as a revenue producer for the City. The City's investment will allow a continuity of ownership at the facility . We feel this is important for future stability of the current operations . PROS AND CON[, OF OPTIONS REVIEWED Pros: The City's investrneni will allow Pro:Putt to continue operation with a continuity of ownership. The City has first right of refusal if the business is sold . We will already have an initial investment while receiving additional revl!Ilue from the rental agreement. The investment will not a.ffect the expansion efforts. FINANCIAL IMPACT Purchase Price of Building Golf Course Fund Balance Beginning January 1993 $39,000 $1,353,4.95 ote: Use of funds fr om the fund balance will not affect the golf expansion project or the requirements established from the sale of the revenue bonds. RESOLUTION NO. !:/!J SERIES OF 1992 A RESOLUTION AMENDING AN AGREEMEN'I ' PROVIDING RECREATION SERVICES OF THE ENGLEWOOD MUNICIPAL GOLF COURSE. WHEREAS, after review and recommendation b:; the Englewood Parks and Recreation Commission and after review of th" ~xtensive improvements made by PRO:: PUTT·, INC . the Englewood City Cowtcil believes it is in the best interest of the City to amend the "Agreement for Operatio"\ of Miniature Golf Course And Go Kart Track -199 1;" NOW, THEREFORE, BE IT R":SOLVED BY THE CITY COUNCTL OF THE .;rTY OF ENGLEWC 10D, COLORADO, AS FOLLOWS : ~-The Ci ty Council hereby approves t 1 ~ attached amended "Agreement For Operation Of Miniature Golf Course And Go Kart Track - 1991 ."" Section 2, The Mayor of the City of Englewood is hereby authorized to approve the foregoing Agreement and the City Clerk is au horized to attest the same. ADOPI'ED AND APPROVED this 6th day of_Apri!, 1992. ATTEST: Ck~~~ Patricia H . Crow , City Clerk I, Patricia H. Crow, City Clerk for the City of Englewood, Colorado, h ereby certify the above is a true copy of Resolution No .if$., Series of 1992. ~~~~ Patricia H . Crow AQ.BeMENT fOB OPERATION OF MINIATURE GOL'f COURSE AND f-0 KABT TRACK ·19!ll THIS AGREEMENT i•, c,,ntract that is bindlnr upon the parties, who are the CITY OF ENGLEWOOD [hereinafter ''City1 and PRO:: PUTT SYSTEMS, INC. [hereinafter "Operator"], IT IS THE l?-."TENTION oflho parties that t:,era be a forty.five (45) hole miniature rolf course and Go Kart facility lo bt, constructed and operated in a ben,ficial and aesthetically compatible manner upon a portiun ·,ft.he premi1es oft.he 11i1tinr Enalewood Municipal Golf Course. NOW, THEREFORE, in consideration o! the covenants and 8'1'eements herein cont.ained and of the fees and monies hereinall;er set forth, the parties mutually agree and contract as follows : 1. Rirbt rn Occupv and Onecate The City hereby rrants the exclusive rirht, license, and priviler, to Operator to con struct, ope rate, maintain and provide amenities for a forth-five (45) hole m iniature go lf course, Go Kart facil it)' and clubhouse up,,n a parcel ofland describt:' in Er.hibit A attached hereto, Md which is presently a part oft.he existinr Enclewood lllunici pal Golf Co urse . The Clubhouse and eichteen (18) boles shall be wheelchair accessib1e. Such construction , operation, maintenance and provision of amenities sht1ll hereinafter be referred to as "Concession." The Cit~ shall at all times retain and maintain its ownership of the real property so occupied. No other ae"..ivity may be conducted pursuant lo this Aj:reement without the written consent of the City Manager. 2. Concecc:joo Sub iect to Anorovel Th e Conc ession and its operation, including construction, design, 1ignage, maintena~ ''?, an r! pro vi sion of amenities, as well as all activities set forth in the fo ll owing pr"·agraph, shall be subject lo the approval of the City, throurh its designate, representative, which approval may be rranted or withheld in the City's sole discretion for an y reason when acting in good faith. The City must act promptly in deciding to grant or withhold its appr oval for any action of the Operator affecting the Concession. The Operator must promptly provide the City with any and all details of, or changes in, or make available upon request to the City any And all details of, or changes in, th e following: Go Kart equipment, construction design , location, landscaping, sched uling, materials , standards, contractors, subcontractors, working personnel , name, operational desi gn, layo ut, locatio .,, landscaping, hours and days of operatio n, materials, standards , signage, e-mployees, employee dress, food and drink, sale good s , con cession items, all business accounts and books , receipt totals, and any and all bu siness recorti:t reasonably necessary to determine accurate, true and correct fHs due and owin& to the City. Operator nhall keep und mainwu detailed records of all sales of any kind whatever and of all expenditures in the construction and operation of the conceuion. If at any time, come or any portion of the construction or desi&n of the concession or its operation i1 unsatiifactory to the City in its sole discretion, then the City may order and require that such concession and/or operation be altered and changed forthwith in a fashion deterrnfoed by the City in its sole satisfaction and at the Operator's sole expense. 3. Turm. This Ag,-eement shall be in effect until September 1, 2000, unless sooner terminated pursuant to the terms set forth herein ; and the Operator shall have the exclusive right to renew for successive, additional one (1) year terms. Renewal •hall be automatic unless either party !lives written notice no less than sixty (60) days prior to the expiration of the then current term of this Agreement that ren ewal is termi nated. This Agreeme nt is not and shall 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 . For operation of miniature golf the Operator shall compensau the City by monthly payments equivalent to ten percent (lO'll,) January l, 1992 thru 1995 of the &ro•• pte fee, and/or of any other fee for admission to the miniature golf concession or any part thereof, and t en percent (10%) of the gross income from sales and any other concession activity excluding Go Kart rental that includes the payment of sums for any rea son whatever, including for food, drink and sale goods. For operation of Go Karts the operator shall compensa te the City by monthly payments equivalent to t,,n percent (!Cl%) J anuary l, 1992 thru 1995 of the gross Go Kart rental less cost of insurance for Go Kart r ental. In 1994 the parties in good faith shall renegotiate the fees set forth in th is Pa ragra ph. If the parties fail to otherwise agree on a new rat,, for the Contract, the rate shall be twenty percent (20%). All fees shall be due and payable within fifteen (15) days after the end of the prior month. Iu!p orts with sufficient information and approval by the Director of Financial Services shall be made for each month the concessi on is Ope rated. Failure to make timely payments as required shall cause a f;nance charge to accrue against the Operator and for the City in an amount equal to one and one •holf percent (1.5%) of the unpaid balance per month . P u rsuant to Pa ragraph 5. Parki ng, fees shall be reduc ed until pa rking is paid per this Agreem ent. Any such fa il ur e to mak e payment shall be consider ed a mater ial breach of this Agr ee ment. -2- 5. f.ukin&. Parlcinr 1h11!I include those uistinr parkinc space• pruantly available to the Englewood M,~iicipal Golf Course . 6 . Citv Pertidnntion . In addition to thoae matter• aet forth elaewhere herein, the City 1hall also pay the charge for the water tap and the aewer tap. The water tap and aewer tap ahall at all Limes bo the property of the City ofEnclewood, The City 1hall pay for the inatallation of a fire hydrant within one hundred (100) fHt of the clubhouae. The City shall pay for the installation of the water and sewer linea. The Operator shall bo responsible for all service charges on water and sewer service. 7. Jttj)itiPS end Security . The Operator shall be responsible for inatallation, proviaion and payment for all utili ties (except water and sewer to the extent they are conaidered and construed to bo utili ties es set forth previously herein). Security shall bo the responsibility of the Operator, who shall ensure that the public , and any trespas11r(1), ahall not occupy and use the concession and its premises when it is not open for business. 8. Person nel and >tai ntenance. The Operator shall bo responsible for providing any and all personnel for operation of the concession , and for proper maintenance thereof, subject to the City's a pproval as set fo rth abo ve. The Operator sh all bo reasonable for maintaining that area two feet (2") outside perimeter fe nce to the sole satisfaction of the City. The City shall bo re•ponsible for mai n te nan ce of remaining City property, includinc easements. 9. ~a fetr oCt be Pub li c: Th e ()perator shall operate the concession so as to keep the public and its uaers safe fro m rea,;,nably fo r eseeable hann. Any and all injuries or damage to the public shall ~, reported t o the City within one hour thereof, or if aame should occur after City hours or on weeke nds , then by 8:30 a.m. the next work inc day. 10. Obe di ence to AH Laws and Pavment of 111 Cbnrrc, Opera tor shall obe y and immediately comply with any and all applicable local, state and federal nquirem ents , ordinances1 regulations , Mes, laws and statutes. Operat or shall also comply wi th all ordinances, resolutions and rules of the City of Englew ood . Ope r ator shall pay a \l taxes, fee s and charges imposed by others on it's conc ession ope ration . -3- l 'i. Perfonnnnct Band The Operator shall fumisl , to the City o. performance bond in the amount of Ten Thousand ')ollars ($10,000) pranteeinr faithful performance and payment of all terms, covenants, and conditions herein, as well H compliance with any and all applicable local , state and federal requir•ment,, regulation,, rules, laws and 1tatutaa as well as in the event of con struction of improvemt nta. 12 . Indemnification and ln s,irance Befo r e any construction or any activi ty related to construction shall commence, the amount of wh ich will u ceed Ten Thousan d Dollars ($10,000) in whole or in part, or any activi ty related to con struction , th e Operator shall provide a paymen t and perform ance bon d to insure pay ment of all obligations incurred as a resul t of said con structio n or activity . The performan ce bond shall be in a form approve d by the City. Th e Op er a tor shall before any co nstrudion begins procure and ma intain in full forc e an d effect at it's £Ole expens e a public li a bi lity insurance policy nam ing the City a s an additional named insur ed. This policy shall r em ai n in full for ce and effect continuously during this and any succ essive term of this Agr ee men t, and it shall include com prehensiv e liability coverage as follows: $1,000 ,000 for injury or death of any one or more persons: $1 millio n fo r inj ury or de ath occ urring as a re sult of any one accident ; $1,000 ,000 for property damage; $1,000,000 for pro duct li abili ty . A certificate evi ienci ng said insur anc e poli cy shall be kept on file a t all times with the City and it sh ~II contain a provisi on that it may not be altered, amended or ca nce led without first gi vin g wri tten notice t o th e City thirty (30) or more days pri or th er eto . Such poli cy or polic ies shall contain no righ t of subroga ti on again st th e City. The Op er ator hereby indemn ifie s the City fro m any and all cla ims against it arisi ng from any activi ties pur suant to this Agr eement. The City owns and opera tes a munici pal golf course near by and each party is respon si bl e for its own operations. Th e Operator agre t.:i to carry adeq uate lo st busin ess , gener al bu sin ,·:t s , fire , theft, pe r son al inj ury a nd pro per ty dam age insur a nc e cove ring all aspects of the co nces sio n operation in an amoun t and Y.i th a company to be a pp ro ved by the City Dir ector of Fina nc ial Services . Al l policy or policies sh a ll co ntain no righ t of subrogation against th e City. 13. Jn c:ne ctio n of Premis es- Th e City shall have t he ri ght to exami ne and in spect the premises, in clud ing, on rea sona bl e notice, private offic e ar eas. 14 . N g A.ssirom ent oc Subletting Th e Op er ato r , may not sell, assipi, mortgage, sublet or other wise convey, r elease or pass on an y part ofits interest in the concession with out th e pri or writte n pe rm issio n of the City ; which has a right offir st refusal as set fo rth below . The Operator , may not suffer or cause a lien to be filed aga in st the co ncession or any port thereof. -4 - The Operator ahall bt responsible and liable to the City for any and all fM1 and payment.s to the City, a, well u any and all other terr,u and conditions ofthi1 Arreement. It is understood and acknowltdaed that the Operator hu obtained financlns from National Bank ,,f Arapahoe/Par1m In ihe fonn of an SBA paranteed loan In an amount not to uceed $150,000. l t i1 qreed that thi1 As,Mment, lopther with equipment and improvements beini: constructed by the Operator, is u1ignable to a National Bank as collateral for a loan or line of credit, 1aid loan or line of credit not to exceed the sum of$250,000 .00. Such usignmen°t to the Bank/SBA is conditioned upon the City havinr a rirt,t of first refusal to approve successor Operator 1ppointed by the Bank/SBA. If the City refuses a p ro posed successor operator other than for cause, City will cash out the loan. 15 . Mnteriel BreD£b The parties agree that the happening of any of the folio wine evenl.s ahall constitute a material breach of this Agreement and City may, at it.selection, terminate the Agreement upon the happening of any of the followinc events: a . Ope r ator ,hall fail to maintain and operate the conce ssion accordin~ ~ the terms of this Agreement. b. Operator shall fail to pay the City the fee• provided in Parai:raphs 4 or 5, whichever is applicable, within thirty (30) days of date when they are due. C . Operator shall deny the City the rirt,t to inspect the conceasion at 1 easonable times upon notice. d . Any assignment or transfer of any interest of Operator without the City·, approv a l. e . Operator shall be bankrupt as defined by the Jaws of the United States. ef America, become insolven t, or a receiver, whether permanent or temf\(>r11r.:, for all or substantially all of the Operators property shall be appointed by any Court, or Operator shall make a i:eneral assignment for the benefit ofit'a creditors, or a voluntary or involuntary petition under any bankruptcy law shall be flied with respect to Operator . f. Operator shall fail to kee p in effect i nsurance a• provid ed herein . 16. Right of Fir st RefucaJ. la the event that ti-., City gives its permission to the Operator to sell the conce,·1ion, the Ci ty may exerci-.e a t,rst righ t of.refusal as follows: Operator must present• bona fid e offer of sale,plll chase to the City. The C'ity may then match or exceed the sale- purchase pric e and purchase the concession . 17 . Effect oCTennio1tion hv Citv - Upon termination ofthi1 Agn,ement by the City upon a material breach, the City •h~II nave the option for thirty (30) day, followinr 111ch termination to purchase Operator's leasehold improvements , fixture,, 1ign1, equipment and other property for a sum equal to the fair market value Jen all moniu due to the City under this Agreement. Fair market value shall be determined by two appraisers, one appraiser selected by the City and one appraiser selected by the Operator. If these two appraisers fail to agree on fai r market value, then th e two appraisers shall select a th ird apprai ser who d~t.::-mine fair market value of the property. If the City rnfuses ta purcha•c 1:,e improveme nts then the Operator shall have ~.i rty (30 ) day s ta remove the fixturu and equipment. Th e City may withhold suffi cient fixtu res and property in order ta pay all monies due to the City under th is AgreemenL Any sum ta be paid shall be offset by any payment to third parties. 18 . Trnde Name The trade name of RI VERSIJE MI NIAT URE GOLF CLUB shall rema in at all time s the prop erty of Operator unless pu rch ase d by City. 19 . Term inati on bv o r ~r~rnr This Agr eement may be terminated by Op erator upon sixty (60 ) da ys' written notice t o the City. Operator shall, at it's optio n, have the right to remove all buildings, furniture , fix tures. signs. equipment and other property and leasehold improvements with in thirty (30) day s of notice of term ina tion delivere<) ta the City other than those improvements supplied by City, which are water and sewer tap and fire hydrant. 20. Delivery tJnon Term ination . Subject to the terms of this Agreem '.nt, Operator shall deliver the concess ion and premises to th e Ci ty at tenninu~;vu of th is Agreement in as good condition and state of rep air a.s when re<:eived, except for ordina ry wear and tear or loss or damage caused by ac t of God. 21. Force Mai uer e. Perform ance oi this Agreement shall be excused if rendered impo ssible by ac t of God. -6- 22. Attorney Fees Any broach or failure lo pay any ftt requlNCI hereby ahall entitle the lllettuf'ul party, who wa11 requlred lo colloct a ftt awn or charp or enforce lhia Ac,MJDent, reaaonable attorney, ftt1 and com of collaclion. SO AGREED . CITY OF ENGLEWOOD By : ATTEST : Clyde E . Wiegins, Mayor ---------·----------PatJ:icia H. Crow, Ci ty Clerk Dat e: PRO :: PU'IT, L'\C . By : Scott L Simpson, President By: Jam es C. Herdener , SecreterytrTeasurer Date: . 7 . BILL OF SALB KNOW ALL MEN BY THESE PRESENTS, That Pro::Putt Sy1tem1, Inc. of the County of Arapahoe, State of Colorado, (Seller), for and in consideration of Thirty-Nine Thousand Dollars ($39,000.00), in hand paid, at or before the en1ealing or delivery ofthe1e pre1ent1 by City of Englewood of the County of Arapahoe , in the State of Colorado, ( Buyer), the receipt of which i1 hereby acknowledged, hu barpined and aold, and by theae pre1ent1 doea ,rant and convey unto the said Buyer , his penonal repre1entativea, 1ucces11>rs and ulligna, the following property, goods and chattels, to wit: The Clubhouse Building of Riverside Miniature Golf Course locatA!d at 2201 West Oxford Avenue Englewood, Colorado 80ll0 TO HA VE A,'11) TO HOLD the same unto the said Buyer, bis personal representatives, successors and assigns, forever. The said Seller covenants and agrees to and with the Buyer, h is personal representatives, successors and assigns, to WARRANT AND DEFEND the sale of said property, goods and chattels , apin1t all and every person or persons whomever. When used herein, the singular shall include the plural the singular, and the use of any gender shall be applicable to all genders. IN WJTNESS WHEREOF, the Seller has executed this Bill of Sale this __ day of __________ 1994. STATE OF COLORADO Arapahoe County of Colo r ado ) ss. ) Scott L. Simpson The foregoing in strument was acknowledged before me this __ day of _______ , 1994, by ___________________ _ Witness my h a nd and official seal. My Com mission expires _______ _ Notary Public BUILDING I.EA&': This lease, .iat.ed ________ ~ is between the CITY OF ENGLEWOOD, 3400 South Elati Street, Englewood, Colondo 80110, u Landlord and PRO ::PUTT SYSTEMS , INC ., as Tenant. In conlriderstion of the payment of the rant and the performance of the covenant. and agreements by the Tenant set forth herein, I.be Landlord d0et hersby lease to the Tenant the following described pret'lisea 1ituate in Arapahoe County, in the State of Colorado; the address of which i1 the Clubhouse Bui lding at Rivtnide Miniature Golf Coune 2201 West Oxfo rd Avenue, ti:nglewood, Colorado 8( .0. Said premises, with all the appurtenances, are leased to the Tenant frcm the date of signing through September 1, 2000, at and for a rental of Three Thousand Four Hundred Dolla rs ($3 ,400.00 ) per year, payable according to the following schedule: $100.00 per month for the months oi January, February and March October, November and December $200.00 per month for the months of April and September $600.00 per month foT the months of May, June, July and August. The Tenant may with approval of the Landlord extend this lease in conjunction with the 1991 Agreement foT Operation of Miniature Golf Course and Go Kart Track between the City of En gl ewood and Pro::Putt Systems, Inc ., notice of extension shall be given in writing befo Te the terminatio n of this lease. THE TENA1'\"J', IN CONS IDERATIO N OF THE LEASING OF THE PREMISES AGREES AS FOLLOWS : I. To pay tlle rent foT the premises above-described. 2. To keep the improvements upon the premises including, drainage , storm sewer, fences, sewer co nnections , plumbing, wiring and glass in good repair, all at Tenant's expense, and at the expi ration of this lease to suJTender the prem ise s in as good a condition as when the Tenant entered the pr emise s, loss by fire, inevitable acciden t, and ordinary wear excepted. To keep all sdewalks on and around the premises free and clear of ice and snow, and lo keep th e entire premises free from all litter, dirt, deb ,:, and obstructions; to keep the premises in a clean and sanitary condition as required by tht· ordinances of the city and county in which the property is situated with no storage of deulict or junk ve hicles . 3. To sublet no part of the premises, and not to assign the lease oa any interest therein without the written consent of the Landlord . 4. To use the pTemises for no purposes prohibited by the laws of:.he United States or the State of Col orado, City of Englewood, or of the ordinances of the city or town in wr.,ch said premises are located , and for no improper or questionable purpo ses whatsoever, and to neith er permit nor suffer any di so rderly conduct, noise or nuisance having a 1.en d,mcy to annoy or disturb any persons occupying adjacent premi ses . 5. To neither h old no r attempt to hold the Landlord liable for ar.y injury or damag,,, eith er proximate or remo te , occ urring through or caused by the repairs , alterations, injury or accident to the premises, or adj ac ent premise s, or other parts of the above premi ses not herein demised, or by reason of the negligence OT default of •.he owners or occupan ts thereo f OT any oth eT person , nor to hold the LandloTd liable for any injury or damage occasioned by defective electric wiring, !.tonn water , nor said premises to L.a used for any purpose which wou ld render the in~·~rance thereon void or the insura nce risk mo~ hazardou s, nor mak e any alterations in or changes in , upon, or about aid obtaining th ~ written consent of the Landlord therefor. 6. To allow the Landlord to enter upon the premi111 at any rea■onable hour. IT IS EXPRESSLY UNDERSTOOD AND AGREED BETWEEN LANDLORD AND TENA.~T AS FOLLOWS: 7. No aa11nt, uprHs or implied, to any breach of any one or more of the qreementa hereof shall be deemed or taken to be a waiver of any 1ucceediny or other breach. 8. If, aft.er the expiration of this lease, the Tenant ■hall remain in po111uion of the premise s and continue to pay rent without a written agreement as to such posseuion, then such tenancy shall be regarded as a month-to-month tenancy, at a monthly rental, payable in advance , equivalent to the last month's rent paid under this lease, and subject to all the tic:nns and conditions of this lease. 9. If the premises are left vacant and any part of the rent reserved h ereunder is not paid, then the Landlord may, without being obligated to do so, and without terminating this lease, reta.~e possession of the said premises, making such changes and repairs u may be required, giving credit for the amount of rent so received less all expenses of such changes and repairs, and the Tenant shall be liable for the balance of the rent herein reserved until the expiration of the term of this lease. 10. The Landlord acknowledges receipt of a deposit in the amount of $-0-. I 1. At the Landlord's option , it shall !,e dM?med a breach of this lease if the Tenant defaults (a) in the payment of th e rent or any oth '!r monetary obligation herein ; or (b) in the performance of any other term or condititn of this lease . The Landlord may elect to cure such default •nd any expenses of curing may be added to the rent and shall become immediately due and payable. In the event that the Landlord elects to declare a breach of this lease , the Landlord shall have the right to gfre the Tenant three (3) days written notice requiring payment of the rent or comp lianc e with other terms or provision s of the lease, or delivery of the possession of the premises. In the event any default remains uncorrected after three (3) days written notice, the Landlord, at Landlord's option , may declare the term ended, reposse the premises, expel the Tenant and those claiming through or under the Tenant and remove the effects of the Tenant, all without being deemed guilty in trespass or of a forcible entry and detainer and without prejudice to any other retr,edies to which the Landlord may be entitled. If at any time this lease is terminate under this paragraph, the Tenant agrees to peacefully surrender the premises to the Landlord immediately upon termination, and if the Tenant remains in possession of the premises, the Tenant shall be deemed guilty of unlawful detention of the premises. The Landlord shall be entitled to recover from the Tenant all damages by reason of the Tenant's default, including but not limited to the cost to recover and repo ssess the prem ises, t.."l e expenses of reletting, necessary renovAtion and alteration expenses, com missions and tht· rent for the balance of the term of this lease. 12. In the event of any dispute ar · sing under the terms of this lease, or in the event of non - payment of any sums arising uruJ~r this lease and in the event the matter is turned over to an attorney, the party prevailing in such dispute shall be entitled, in addition to other damages or costs, t.o rece ive reasonable attorneys' fees from the other party . 13 . In the event any payment required hereunder is not made within (1 0) days after the payment is due , a late ch arge in the amount oftive percent (5%) of the payment will be paid by the Tenan L 14 . In the event of a ·condemnation or other taking by any governmental agency, all proceeds shall be paid to the Landlord hereunder, the Tenant waiving all right to any such pay ments. 15 . Th is lease is made with the express understanding and agreerm~nt that in the e vent the Tenant becomes insolvent, the Landlord may declare this lease e~1,,i , and all rights of the Tenant hereunder shall terminate and cease. 16 . Tenant shall in sure the premises for public liabil ity and property damage in the sum of One Million Dollars with the City of Englewood as an additional insured. -2 - SHOULD ANY P ROVISION of this 1-N Yiolato any federal, stat.II or local law or ordinance, that provision shall be deemed amended to 10 comply with 111th Jaw or ordinance, and shall be construed in a IIWlJler ao u to comply. This lease shall be binding on the parties, their personal representatives, succesaors and as signs. When UM«! herein, the singular shall indude the plural, and the uae of any pnder shall apply to both genders. LANDLORD TENANTS Cl"'Y OF ENGLEWOOD PRO::PUTT SYSTEMS , INC . By,~---------Scou I. Simpson STATE OF COLORADO )IS. COUNTY OF ARAPAHOE l The foregoing instrument was acknowledged before me this _ day of ------~ 1994, by Scott L. S impson as _________ of Pro ::Putt Systems, Inc. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year first above written. My commission expires : _______ _ NOTARY PUBLI C -3-