HomeMy WebLinkAboutLease Agreement/IN Performing Arts Academy/11 1st Ane NECon??"'ac?? .
8033
LEASE AGREEMENT
WHEREAS, the City of:.Carmel, Indiana,,hereinafter referred'to
as Carmel., is the owner of a.certain building located at 11 First
Avenue HE, Carmel, Indiana, and hereinafter referred to as the
leased premises; and
WHEREAS,\.the Indiana Performing Arts Academy, Inc.,;., an Indiana
not-for-profit corporation, hereinafter referred to as the Academy,
is desirous of leasing the. building located at 11 First Avenue, NE,
Carmel, Indiana;
NOW, THEREFORE, in mutual consideration of the covenants and
conditions contained herein the parties agree as follows:
1. TERM OF LEASE AND CONSIDERATION
Carmel agrees to rent, beginning February 15, 1993, for a
period of one (1) year, its property at 11 First Avenue, NE,
Carmel, Indiana, for the sum of //•? payable monthly on
or before the first day of the month in advance. This lease shall
be renewable annually.
2. TERMINATION OF LEASE
Either party may.terminate this lease within sixty (60) days
written notice to the other.
3. ALTERATIONS AND MAINTENANCE OF THE LEASED PREMISES
.The Academy shall not cause or permit any alterations,
additions or changes of or upon any part of the leased premises
without first obtaining the written consent of the Carmel Board of
Public;Works and Safety.. All alterations, additions, or changes
in the leased premises shall be made in accordance with applicable
laws, zoning ordinances, and statutes, and the improvements shall
become the property of the City of Carmel, Indiana.
4. USE, COMPLIANCE WITH LAWS. SIGNS. ASSIGNMENT AND SUBLETTING
(a) The leased premises shall be used by the Academy only for the
purpose of offices and instruction, and for no other use or
purpose. The Academy shall keep the leased premises in a clean and
orderly condition and shall conduct its business there in a careful
1
and safe manner. The Academy shall not use the leased premises or
maintain them in any manner. constituting a violation of any
ordinance, statute, regulation or order of any governmental
authority, including without, limitation, zoning ordinances, nor
shall the Academy maintain, permit or suffer any nuisance to occur
or exist on the' leased premises.. The Academy shall not affix to
or upon the exterior'of the leased premises any sign, insignia, or
decoration, without prior written consent of the Carmel Board of
Public Works and Safety and complying with the requirements of the
applicable zoning bodies.
(b) The. Academy shall not assign,'mortgage, encumber, lien, or
transfer this lease in whole or in part, or sublet the leased
premises or any part thereof, or grant a.license or concession in
connection therewith without the prior written consent of Carmel.
This prohibition shall include any acts which have the effect of
an,assignment or transfer by operation of law.
5. INSURANCE: INDEMNIFICATION AND RELEASE
(a) Regardless of whether or not separate, several, joint,
concurrent, or comparative liability may be imposed upon Carmel,
the Academy shall indemnify and hold Carmel, harmless from and
against all damages, claims and liability arising from or connected
with the Academy's control or use of the leased premises, including
without' limitation any damage or. injury to persons or property.
If the city, without fault, shall* become a party to litigation
commenced by or against the Academy, then the Academy shall
indemnify and hold the City harmless. Indemnification provided in
this section shall include Carmel's legal costs and fees in
connection with any such claim, action or proceeding. The Academy
does hereby release Carmel from all liability for any accident,
damage, or injury caused • to any person or property on or about
these premises whether due.to negligence on the part of Carmel and
not withstanding whether such. acts or omissions be active or
passive.
-2-
(b) The Academy ..shall maintain liability insurance. and shall
provide proof of same upon,request.by the City. Additionally, the
Academy. shall -be.. responsible for insuring the contents of the
leased premises in such amounts as the Academy.deems appropriate.
(c) The City shall maintain property damage insurance on the
leased premises and such other insurance as'it deems necessary.
6. DESTRUCTION OF LEASED PREMISES.
In the, event that the leased premises are destroyed, this
lease shall terminate forthwith, unless. otherwise agreed in writing
by the parties..
7. DEFAULT
Upon the occurance of any event of default, the City may, at
its option, in addition to any other remedy or right it may have,
enter the leased premises, without demand or notice, and resume
possession..by.action of law at'equity, and without being liable for
trespass or for any damages and without terminating this lease.
The City, may remove all persons and property from the leased
premises and such property may be removed and stored at the costs
of the Academy. The Academy's liability for damages shall survive
termination.
(a) Events of Default
The event of default shall occur upon any of the following:
1. The filing of a voluntary petition in bankruptcy, by the
Academy;
2. The filing, of a petition or answer, by the Academy,
seeking a reorganization,. arrangement, composition,
readjustment, liquidation,. dissolution. or other relief
of the same or differe4 kind under-any provision of the
bankruptcy act or Indiana Not-For-Profit Corporation Act;
3. The appointment of a trustee, receiver, guardian,
conservator, or.liquidator of the Academy with respect
to all or substantially all of its property;
4. The failure to pay the monthly rental amount;
5. The failure of the Academy' to conform with any-act,
statute; ordinance, rule, or regulation of any
governmental body, after having received thirty days (30)
written notice of said violation.
-3-
8. ACCESS TO LEASED PREMISES BY LANDLORD
(a) Carmel, its agents, assigns, or other individuals-acting,by
or on its behalf shall be permitted. to inspect and examine the
leased_premises.at all reasonable times and Carmel shall have the
right to make any repairs to the leased premises which it may deem
necessary, but this provision shall not be, construed, to require the
landlord to make.repairs`;except as.otherwise required hereby.
(b) Should the Academy per-form all-of the covenants and-agreements
herein provided to be performed on its part,-it shall., at all times
during the term, have peaceful.pgssession of the leased premises
without-any manner of hindrance, from. Carmel or any parties lawfully
f
claiming through Carmel.
9. MISCELLANEOUS PROVISIONS
(a) The caption and articles numbers appearing In this lease are
inserted as a"matter of convenience and are not intended"to, define,
limit, construe or describe the scope of intent of such provisions..
(b) in the event any Court _of competent jurisdiction shall
determine that any provision of this lease. is void or
unenforceable, such deci's,ion shall not affect the enforceability
of the 'remaining provisions of this lease
(c) Any notices to be given hereunder shall be deemed sufficiently
given in writing and;
1. actually served on the party to be notified.or;
2. placed in an envelope directed to the party, to be
notified at the following addresses-and deposited in the
United States Mail by- certified `or registered mail,
postage prepaid;
If to Carmel: One Civic Square, Attn: Mayor',s Office,
Carmel, Indiana 46032;
If to the Academy: i1 First Avenue, NE, Carmel, indiana
4'6032•
(d).`The Academy agrees that. access to- the °restroom facilities.
shall be made available at all times_ to any parties using (with
Carmel's permission) the building "at"15 First Avenue NW. This
includes but'is.not' Limited "to`the Carmel Symphony Orchestra and
the Richland Voting Precinct:
-4-
(e) In the; event a dispute shall arise between the parties, it is
agreed that the Hamilton county Circuit of, Superior Courts will be
the proper Court-for venue and jurisdiction. Further, each,_party
hereto waivee their righE to trial:by jury.
IN WITNESS WNEREOP, Carmel and,the,Academy have executed this
lease on the 17th day of February 1g. 93 , and
if this lease is executed in counterparts,' each shall be deemed an
original:..
l!l1 r74 \, !'242'VL G!!4
Chai an o the Carmel Hoard of.
Public ks
'QLL]a.-'izati
Title a %r 93
Witness my"hand and Notarial Seal this 17th day of
February' _yg 93.
My commission expires
10-20-95 fo a y Publ'ic'
.Tan:tice; L. HOpe
Printed
--5-
Memo
To: Members of Boa of Public,Wbrks and, Safety
From: Debra Grish
CC: Deana L. Cordray,.Clerk-Treasurer
Mary Cage, Indiana Performing. Arts Academy
Judy Hagen, President, Carmel/Clay Board ,of Parks &'Recreation
Date: December 13; 1996
Re: Lease of 1J First-Avenue, N.E.;.notice to terminate
Attached is a„copy of Sandra Hartlieb's November 14., 1996 letter written on behalf
of the Indiana Performing Arts Academy (the "Academy") to notify the Board. of
Public Works and Safety (the "Board") ' of the Academy's desire to.be released early
from its lease obligations under the attached cease agreement dated February. 17,
1993. According to Ms: Hartlieb's.lettor; declining enrollment and escalating costs
have-forced this request.
Subsequently, Mary Cage has asked that the Board consider' waiving two (2)
months ?ent'totalind ,$362.09 based upon the improvements that the.Academy has
made to the leased premises. The lease contemplates that.all improve. merits must
be accomplished with the permission of the Board and become the property of the
City. While the Board is not=required`to`waive the rent nor, to consider the waiver to
be payment for'the improvements, the Board has the, power to do so. I have
suggested to Ms. Cage that she attend the Board's December 18, 1996 meeting to
present her request and to answer any questions°that -.you may, have.. I will arrange
for the City to have inspected the, premises -so that you have a full' report on the
conditlorrtherecf.
Both the Carmel/Clay Board of Parks & Recreation (the "Parks Board") and the
Carmel Symphony Orchestra; Inc. (the--'-`Orchestra") have exprossed interest in the
leasing of the'leased "premises- As you may. know, the Parks Board is in the process
of hiring a director and woy,d like for such person to be1nvolved in the resolution of
a Page 1.
the Park Department's expansion needs, if any. Any space needs decision will likely
occur in February or March. The Parks: Board has graciously agreed to exchange
its space on City Hall's third floor with the Department of Law, for a proportionate
reduction in its rent It`is my hope ihat this exchange! occurs priorto January 1997.
Attached is ,a Iette-r from-the?Symphony, I understand that it
is interested in terminating its, lease of 15 First Avenue, N.E.. so that it could lease
the leased premises. Like the Academy lease, the Symphony's lease; dated May 19,
1993 require& sixty (60) days termination notice and does not contain any provision
by which the Board is required to grant the request to terminate its current lease and
enter into an new lease with the,Symphony for the leased premises.-By copy of this
memo to the Sympbony, I am suggesting that a representative either appear at the
Board's December 18`h meeting or set forth in writing its proposal to.be,presented at
such time.
To summarize, several gdestions_are before you:
1-. Will you agree,to allow the Academy tc t&minate its lease on less that sixty
(6O) days notice?
2. Will. you agree to waive all or 'part of `the outstanding,rent?
3. Will you agree not to lease the leased premises<for a few months;to afford
the Parks Board and its new Director, reasonable time to determine the
Deparfnient's space needs?
4. Will you consider termination of the-Symphony's lease, of` 1:5,First Avenue so
that it may lease'the leased.premises?
Please do not hesitate to call me with any questions.
Academylease
0 Page '2
..
® INDIANA PERFORMING ARTS ACADEMY
A Non-profit Community School for the Performing Arts
.O
11/14/96
Clerk-Treasurer
City of Carmel
One Civic Square
Carmel, IN 46032
Dear Treasurer:
The Indiana Performing Arts Academy, located at 11 First Ave.,
N.E., wishes to terminate their lease with the City of Carmel on
the above property. According to the agreement, sixty days notice
is required, however We intend to vacate the building by 12/31/96.
Unfortunately, due to declining enrollment and escalating financial
costs, IPAA is forced to close its doors. We are aiding our
students and teachers through a transition period so that their
future needs are met to the best of our ability. We greatly regret
the decision to close, however, there seems to be no alternative at
this time. We thank the City of Carmel for their accommodations
over the past four years. If you have any questions or comments,
please contact Mary Cage, President of the Board of Directors at
846-0334.
Sincerely,
xvd'7_4?1
Sandra Hartlieb, Director
cc: Mary Cage
Mailing Address: P.O. Box 80281, Indianapolis, IN 46280/Phone: (317)573-9476
Member of the National Guild of Community of Schools of the Arts
Board of Directors
William Devanney
President
Jay Brill
Vice President
Mary Eekard
Secretary
Cheryl Troyer
Treasurer
Richard Arbuckle
Jeanne Book
Jlm Burrell
Timothy Corken
Patricia Costlow
Bob Craig
Larry Denbrock
Sharon Emmerson
Deborah Farmer
Doreen Squire Flcara
Craig Gigax
Ken Howard
Virginia Kerr
Noah Kersey
William Knowles
Mary Lee Koppelman
Richard Kralik
Michael Kyle
Gene Newcombe
Byron Plexico
Rose Schnell
Jim Shonkwller
Carl Walter
Sue West
John Wold
Warren Saunders,
Emeritus
David Pickett
Music Director
Cathleen Partlow
General Manager
Cheryl Cooper
Education Director
Cathy Hartowlez
Administrative Assistant
Nancy Smith
Personnel Manager
November 21, 1996
Ms. Christy Cmit
City of Carmel
Treasurers Office
1 Civic Square
Carmel, IN 46032
Dear Ms. Cmil:
'L C.ERN D
NOV 2 2 1996
The administration and Board of Directorsof the Carmel Symphony Orchestra respectfully
request to lease the City of Carmel facility at 13 First Avenue, NE. Tbis building was
formerly leased from the city by the Indiana Performing Arts Academy. Since they have
announced that they are discontinuing their operations as of the close of their semester in
December 1996, we.requestuse.of the building begimitng January 1, 1997.
The symphony currently Icases the bu ilding at 15 First Avcnuc, NE with restroom privileges
at the 13 First Avenue, NE building. We feel that the move next door would be
advantageous to the orchestra because of the versatility of the building. We would have the
necessary storage space inaddition to meeting room space wWchwe need ona regularbasis.
The building at 13 First Avenue, NE also has more visibility on the street and would give us
the opportunity to have a little greater profile. Needless to say, having restrooms available
to us without going outside is also attractive.
We understand that the Indiana Performing Ails Academy,had a generous lease agreement
because of their not-for-profit status. The orchestra is in the same position as the Arts
Academy and requests similar consideradon. Please let me know of any documentation I
can provide to you to support this request.
Sincerely;
1
Cathleen E. Partlow
General Manager
CEP:ch
cc: Mayor James Brainard
William B. Devanney, CSO Board President
P.O. Box 761
Carmel, Indiana 46072
(717) 644.9717