Palos Verdes on the Net (2006 June) t
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RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
City of Rancho Palos Verdes
Planning Department
30940 Hawthorne Boulevard
Rancho Palos Verdes, California 90274
APN:
[Space Above For Recorder's Use Only]
Recording Fee: Exempt pursuant to California
Government Code Section 27383
LEASE AGREEMENT
THIS LEASE AGREEMENT (this"Lease") dated as of June 20, 2006, is entered into by
and between the CITY OF RANCHO PALOS VERDES, a California municipal corporation
("Landlord"), and PALOS VERDES ON THE NET, a California non-profit corporation
("Tenant").
RECITALS:
A. Landlord is the owner of certain improved real property located at 30940
Hawthorne Boulevard, Rancho Palos Verdes ("the Property").
B. Tenant has been leasing a building on the Property for use as a cable television
studio with full digital/video multimedia production capabilities ("Studio"),pursuant to a lease
that was entered into on May 6, 2003.
C. At the November 15, 2005 City Council meeting, Landlord granted permission to
Tenant to place Tenant's portable building on the Landlord's property adjacent to the Studio for
Tenant's use as a Multimedia and Information Technology Center.
D. Landlord now wishes to rent the Studio to others and use the Studio, including
equipment that belongs to Tenant,which is described in Exhibit"B"hereto, and wishes to
terminate Tenant's existing of the Studio.
E. Landlord desires to lease an unimproved portion of the Property that is adjacent to
the Studio to Tenant, and Tenant desires to lease such improved real property from Landlord,
upon the terms and conditions set forth herein.
AGREEMENT:
NOW, THEREFORE, Landlord and Tenant agree as follows:
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1. DESCRIPTION OF PREMISES. Landlord hereby leases to Tenant, and Tenant
hereby leases from Landlord, the unimproved portion of Landlord's property that is adjacent to
the Studio at the Rancho Palos Verdes Civic Center, located at 30940 Hawthorne Boulevard,
Rancho Palos Verdes, California,which unimproved real property is indicated in the cross-hatch
on Exhibit A attached hereto (the "Premises") so that Tenant can place its modular building
("Building")thereon. The Premises have been, or will be,prepared by Landlord, at its sole cost
and expense, for said use, including the installation of two (1)VOIP phones that will be
connected to Landlord's VOIP phone system and utilities to serve the Building.
Landlord may determine, in its sole and reasonable discretion, that construction of other
structures or facilities on the Property or another condition on or adjacent to the Premises
requires the Building to be moved to another equivalent area on the Property. In that event,
Landlord shall provide at least nine months prior written notice to Tenant of the relocation, and
shall pay all costs associated with the relocation of the Building.
2. USE OF PREMISES. Tenant shall have the right to place its Building on the
Premises for use in connection with its operation of a Multimedia and Information Technology
Center in connection with its existing community telecommunication center,which is operated
under the name Palos Verdes on the Net. Tenant shall not use the Premises for any purpose that
is unrelated to this purpose.
In addition, Tenant shall not use the Premises, or permit anything to be done in or about
the Premises, that will in any way conflicts with, or otherwise violates, any law, statute,
ordinance or other governmental rule or regulation applicable to the Premises and/or the uses
thereof. Tenant shall comply, and shall cause the Premises and the uses thereof to comply,with
all laws, statutes, ordinances and other governmental or quasi-governmental rules and
regulations applicable thereto. Notwithstanding the foregoing, Tenant agrees that the Premises
shall not be used for the production of multimedia programs/projects with content that may be
inconsistent with Tenant's program of providing instruction to minors (e.g.,pornography,
obscene language,violence or illicit drug use) or which is otherwise offensive to or inappropriate
for said prospective users of the services/facilities at the Premises. Finally, under no
circumstances shall any hazardous, toxic and/or contaminating substances be brought or kept on
the Premises except for cleaning products typically used in connection with the equipment that is
located in the Premises.
3. ACCESS TO PREMISES. Landlord hereby grants Tenant access to the Premises
to operate its facilities and provide its services as much as twenty-four(24)hours per day, seven
days a week; provided,however, that Landlord reserves the right to enter Tenant's Building upon
reasonable notice during Tenant's posted business hours. Landlord may enter the Premises and
the Building at other times and without notice in the event of an emergency. In addition, Tenant
shall provide access to the Premises and the Building on a regular basis for the performance of
Landlord's maintenance and repair obligations specified in Section 7.2.
4. TERM OF LEASE. The term of this Lease shall be for a period of three years,
effective as of the date and year first written above. This Lease shall automatically renew from
year to year thereafter,unless on or before September 1st of each year, either party notifies the
other party in writing that the party wishes to terminate or amend this Lease. If such notice is
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given, the lease shall be terminated on December 31st of the year following the year when the
written notice is given.
5. BASE RENT. In exchange for the termination of the existing lease for the Studio
and the donation to Landlord of the equipment listed in Exhibit"B,"Tenant shall pay no rent to
Landlord for the use of Premises during the term of this Lease, other than the charges for utilities
and maintenance set forth in Sections 6 and 7, respectively.
5 UTILITIES. Landlord shall pay for all utilities used in connection with the
Premises, including the City telephone system and the alarm system. Landlord also shall pay for
all utilities that are not separately metered for the Premises, including water. Other than the two
VOIP telephones, which shall be provided by Landlord, Tenant shall pay for Tenant's telephone
system.
6 MAINTENANCE OF PREMISES.
6.1 Tenant's Obligations. Except as specifically provided in Section 6.2,
Tenant shall have the sole responsibility for maintaining the Building in a good, safe, clean and
operating condition so that it is compatible with other structures on Landlord's Property. Tenant
shall reimburse Landlord for any repairs necessitated by Tenant's use of the Premises.
6.2 Landlord's Obligations. Landlord shall have the sole responsibility for
maintaining the roof, structural, electrical,heating, venting and plumbing at the Premises in a
good, safe, clean and operating condition, ordinary wear and tear excepted;provided, however,
that Tenant shall reimburse Landlord for the reasonable costs and expenses incurred by Landlord
in connection with any repairs to the Premises occasioned by Tenant's use of the Premises(i.e.,
Tenant shall be responsible for repairs to plumbing and electrical systems to the extent such
maintenance or repairs are required due to Tenant's use of the Premises.) Landlord shall provide
reasonable custodial and cleaning services at the Premises.
6.3 Breach of Obligations. In the event either party breaches its obligations to
repair and/or maintain the Premises as specified in this Section 7, after reasonable notice thereof
from the non-breaching party to the breaching party, the non-breaching party may,but shall not
be obligated to,make or cause such repair or maintenance to be made, and the breaching party
shall promptly reimburse the non-breaching party for all sums expended therefor.
7 ALTERATIONS TO PREMISES. Other than installing the Building on the
Premises, no structural changes, alterations, repairs, additions,remodeling or improvements shall
be made to the Premises by Tenant without the prior consent of Landlord;provided; however,
that Tenant may make modifications to the interior of the Building without Landlord's
permission. Except as otherwise provided herein, Landlord shall have no obligation to make
structural changes, alterations,repairs, additions,remodeling or improvements to the Premises or
the Building, including decorating or painting. Tenant shall use its best efforts to keep the
Premises free of any mechanics' liens arising from work performed to the Premises by Tenant,
and in the event of the foregoing, Tenant shall immediately pay any amounts owing and obtain a
release of any such lien.
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8 TAXES. This Lease may create a possessory interest subject to property taxes
and assessments. In such event, Tenant shall pay and discharge,prior to delinquency, all such
taxes and assessments, whether the same are assessed to Landlord or Tenant. Any such taxes or
assessment paid by Tenant to Landlord under the provisions hereof will be remitted by Landlord
to the appropriate taxing agency in a timely manner, and the payment of such taxes or
assessments by Tenant to Landlord shall fully discharge Tenant from its obligation to pay the
same. In the event that Landlord shall pay any such taxes or assessments, Tenant shall be
obligated to reimburse Landlord therefor.
9 HOLD HARMLESS. To the fullest extent permitted by law, and in addition to
Tenant's other obligations hereunder, at law, in equity or otherwise, Tenant agrees to protect,
indemnify, defend and hold Landlord and its officers, directors, employees, representatives,
agents and affiliates free and harmless from and against any action, suit, claim, investigation,
proceeding,mediation or arbitration at law or in equity or before or by any foreign or domestic
court, arbitrator, mediator or otherwise (including reasonable attorney's fees and expenses in
connection therewith), and pay or reimburse Landlord in full, any and all liability, loss, cost,
expense or damage of any kind or nature that Landlord may sustain or incur or that may be
brought or claimed against Landlord in connection with(a) Tenant's use of the Premises,
(b) Tenant's breach or default in the performance of any of its obligations hereunder or(c) any
act, neglect, fault or omission of Tenant or its agents, employees,visitors, invitees or licensees.
Notwithstanding the foregoing, it is the intent of Landlord and Tenant that Tenant shall be liable
to protect, indemnify, defend and hold Landlord harmless under this Section 10 irrespective of
the cause of such indemnification liability(i.e., regardless of whether or not caused by any act,
omission,willful misconduct or negligent conduct (whether active or passive) of Tenant, or
otherwise), except if the sole cause of such indemnification liability is the negligence, gross
negligence or willful misconduct of Landlord.
10 ASSIGNMENT AND SUBLETTING. Tenant shall not voluntarily, or by
operation of law, assign, sublet or otherwise transfer or encumber all or any part of Tenant's
interest in this Lease or the Premises without the prior consent of Landlord, and any attempt to
do so shall be null and void ab initio. No assignment or subletting shall relieve Tenant of its
obligations hereunder. The acceptance of payments by Landlord from any other person or entity
shall not be deemed to be a waiver by Landlord of any provision of this Lease or to be a consent
of any assignment, subletting or other transfer and shall not be deemed to constitute a consent to
any subsequent assignment, subletting or other transfer.
11 DEFAULTS AND REMEDIES.
11.1 Defaults. Any of the following events shall constitute a default under this
Lease by Tenant:
11.1.1 Monetary Default. A breach of this Agreement by Tenant
involving the payment of money, and the continuance of such breach for a period of ten(10)
days after Tenant's receipt of notice thereof; or
11.1.2 Non-Monetary Default. A breach of any material term of this
Agreement by Tenant not involving the payment of money, and the continuance of such breach
897640.2 4
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for a period of thirty(30) days after Tenant's receipt of notice thereof;provided, however,that if
such breach is not reasonably susceptible of being cured within such thirty(30) day period,then
a default shall exists only if Tenant does not commence to cure such breach within such thirty
(30) day period or thereafter fails to diligently prosecute such cure to completion.
11.2 Termination of Lease and Remedies. In the event of a default by Tenant,
Landlord may, at any time prior to a cure thereof by Tenant, upon notice and demand, and
without limiting Landlord in the exercise of any other right or remedy that Landlord may have by
reason of such default, terminate Tenant's right to possession of the Premises by any lawful
means, in which case this Lease shall terminate and Tenant shall immediately surrender
possession of the Premises to Landlord. In such event, Landlord shall also be entitled to recover
from Tenant Any amount necessary to compensate Landlord for all detriment proximately
caused by Tenant's failure to perform its obligations hereunder or which, in the ordinary course
of events, would be likely to result therefrom.
11.3 Non-waiver. Nothing contained in this Section 12 shall constitute a
waiver of Landlord's right to recover damages by reason of Landlord's efforts to mitigate its
damages caused by Tenant's default; nor shall anything in this Section 12 adversely affect
Landlord's right, as provided in this Lease,to indemnification against liability for damage to
persons or property occurring prior to the termination of this Lease.
12 DAMAGE AND DESTRUCTION. In the event the Premises or the Building are
damaged or destroyed, either party shall have the option of either repairing the Premises or the
Building or terminating this Lease as of the date of such destruction or damage.
13 MISCELLANEOUS.
13.1 Notices: Any notice,request, direction, demand, consent,waiver,
approval or other communication required or permitted to be given hereunder shall not be
effective unless it is given in writing and shall be delivered(a) in person, (b)by certified mail,
postage prepaid, return receipt requested, or(c)by a commercial overnight courier that
guarantees next day delivery and provides a receipt, and addressed to the parties at the addresses
stated below, or at such other address as either party may hereafter notify the other in writing as
aforementioned:
Landlord: City of Rancho Palos Verdes
30940 Hawthorne Boulevard
Rancho Palos Verdes, California 90275
Attention: City Manager
Tenant: Palos Verdes on the Net
30940 Hawthorne Boulevard
Rancho Palos Verdes, California 90275
Attention: Ted Vegvari
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13.2 Non-Waiver. The failure of Landlord to insist upon strict performance of
any of the terms, conditions or covenants of this Lease shall not be deemed a waiver of any right
or remedy Landlord may have and shall not be deemed a waiver of any right or remedy for
subsequent breach or default of the terms, conditions, or covenants herein contained.
13.3 Resolution of Problems. The Senior Administrative Analyst in the City
Manager's Office of Landlord shall report any problems or complaints to the Director of Tenant.
The Director of Tenant shall be responsible for seeking a solution to any major or frequently
reported problem or complaints. In the event such problems or complaints are not resolved, the
Senior Administrative Analyst and/or City Manager of Landlord shall meet with the Director of
Tenant to review the situation and propose an appropriate solution.
13.4 End of Term. At the end of the term, Tenant shall remove the Building
and return the Premises to Landlord in a similar condition as received, ordinary wear and tear
excepted.
13.5 Holding Over. Should Tenant,with or without Landlord's consent, hold
over after the termination of this Lease, such possession by Tenant shall be deemed to be a
month-to-month tenancy terminable by thirty(30) days notice given at any time,upon each and
all of the terms herein provided as may be applicable to a month-to-month tenancy, and any such
holding over shall not constitute an extension of this Lease.
13.6 Attorney's Fees. In the event of any litigation between Tenant and
Landlord to enforce any provision of this Lease or any right of either party hereto, or to secure a
judicial determination of any right or obligation of either party hereto, the unsuccessful party in
such litigation shall pay to the successful party reasonable costs and expenses, including
reasonable attorney's fees, incurred therein.
13.7 Headings. The section captions contained in this Lease are for
convenience and do not in any way limit or amplify any term or provision of this Lease and shall
have no effect on its interpretation.
13.8 Entire Agreement. This Lease and the exhibit attached hereto constitute
the entire agreement between the parties hereto with respect to the subject matter hereof, and no
prior agreement or understanding pertaining to any such matter shall be effective for any
purpose. No provision of this Lease may be amended or supplemented except by an agreement
in writing signed by the parties hereto.
13.9 Quiet Possession. Upon complying with all the terms and conditions
hereof, and subject to all of the provisions hereof, Tenant shall have quiet possession of the
Premises.
13.10 Governing Law. This Lease is made and entered into in the State of
California and shall in all respects be interpreted, enforced and governed under the substantive
laws of the State of California.
13.11 Severability. If any term or provision of this Lease shall be deemed to be
invalid or unenforceable to any extent, the remainder of this Lease will not be affected thereby,
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and each remaining term and provision of this Lease will be valid and be enforced to the fullest
extent permitted by law.
13.12 No Joint Venture. It is not the intent of the parties to create a joint venture
or partnership by entering into this Lease.
13.13 Interpretation. Whenever the context may require, any pronouns used
herein shall include the corresponding masculine, feminine or neuter forms, and the singular
form of nouns and pronouns shall include the plural and vice versa. References to "Sections"
and"Exhibits" are to sections and exhibits of this Lease, unless otherwise specifically provided.
13.14 Counterparts. This Lease maybe executed in one or more counterparts,
each of which shall be deemed to constitute an original,but all of which,when taken together,shall
constitute one and the same instrument,with the same effect as if all of the parties had executed the
same counterpart.
13.15 No Discrimination. There shall be no discrimination against or
segregation of any person or group of persons on account of race, color, creed,religion,national
origin, ancestry,physical handicap,mental condition, marital status, sex or sexual orientation
with respect to the Premises, nor shall Tenant establish or permit any such practice or practices
of discrimination or segregation with reference to the use of the Premises.
14. The existing Lease Agreement between the parties, dated May 6, 2003,whereby
Tenant had been leasing the Studio from Landlord, is hereby terminated as of September 4, 2006.
IN WITNESS WHEREOF, the parties hereto have executed this Lease Agreement as of
the date first written above.
TENANT: PALOS VERDES ON THE NET, a California non-
profit corporation
By:
Name: e0 060va,
Title: 271recr
/114:2,LAiL‘By:
Name: 'i r-
Title: Sec Tay7
[signatures continue]
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LANDLORD: CITY OF RANCHO PALOS VERDES, a
California municipal corporation
By: ! ,
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Name: stpf- olowicz
Title: Mayo
ATTEST:
City Clerk
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EXHIBIT B
Cable Studio - Gift Inventory List
(2) Canon XL1 S
(2) Canon SP100 shoulder kits
(2) Canon Pro XLR balanced audio units
(2) Varizoom controllers
(2) camera attached LCD monitors paks for Canon Cameras
(2) portable kits for camera attached LCD monitors for Canon Cameras
(1) Sony VX1000 with accessories and hard case
(1) Kenco Pro wide angle lens, and wide conversion lens for Sony Camera
(2) Teleprompter system with Software, Manual, LCD monitor, Computer, Windows XP,
keyboard and mouse
(3) Libec pro Studio Tripods with wheels and heads
(5) Videssence Studio Lights with Clamps and cabling
(5) Station Production Intercom headsets with master unit, power supply, and cables
(2) Shure wireless lapel microphones with transmitters, receivers, cables
(1) MonoPod
(1) DataVideo 4 Channel digital video switcher/mixer
(1) Alesys Pro 16 channel audio mixer
(1)Sony DVCAM DSR11 digital deck
(1) pair speakers in control room
(1) JVC Studio video monitor
(1) Toshiba 15 inch Television
896795.2 j(41
•
(1) Sylvania VHS recorder
(1) KLH multiformat DVD/CD deck
(1) Sony Betacam deck
(1) Sony Beta HiFi deck
(1) Panasonic SVHS deck
(1) Portable green screen with stand
(1) table and shelf unit in control room
(1) Custom built work space/tables in front office
(1) Studio set
(2) trees (props)
(2) 3 panel room dividers
Overhead rails for hanging lighting
Cabling and connectors for equipment, microphones, decks, monitors, mixers, misc
improvements including exterior building connection for live broadcasting
896795.2 11