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Home My WebLink About13 010 Lease with Lake Huron Learning Collaborative for 385 Queen St. THE CORPORATION OF THE MUNICIPALITY OF KINCARDINE KBT . r wow ptv ,*C1 PALI7 Y Of KMGp BY —LAW NO. 2013 - 010 BEING A BY -LAW TO AUTHORIZE THE SIGNING OF A LEASE AGREEMENT WITH THE LAKE HURON LEARNING COLLABORATIVE FOR RENTAL SPACE AT 385 QUEEN STREET, MUNICIPALITY OF KINCARDINE WHEREAS Section 8 (1) of the Municipal Act, 2001, S.O. 2001, c. 25, as amended, provides that the powers of a municipality under this or any other Act shall be interpreted broadly so as to confer broad authority on the municipality to enable the municipality to govern its affairs as it considers appropriate and to • enhance the municipality's ability to respond to municipal issues; AND WHEREAS pursuant to the said Municipal Act, Section 9 provides that a municipality has the capacity, rights, powers and privileges of a natural person for the purpose of exercising its authority under this or any other Act; AND WHEREAS the Council of The Corporation of the Municipality of Kincardine deems it advisable to enter into a lease agreement with the Lake Huron Learning Collaborative, in consideration of the rents, covenants and obligations stipulated therein; NOW THEREFORE the Council of The Corporation of the Municipality of Kincardine ENACTS as follows: 1. That The Corporation of the Municipality of Kincardine enter into a lease agreement with the Lake Huron Learning Collaborative for the rental of the property known as the old Westario Building, and known municipally as 385 Queen Street, Municipality of Kincardine in consideration of rents, covenants and obligations. • 2. That the Mayor and Chief Administrative Officer be authorized and directed execute, on behalf of the Council of The Corporation of the Municipality of Kincardine, the lease agreement with the Lake Huron Learning Collaborative attached hereto as Schedule `A' and to affix the corporate seal. 3. That this by -law shall come into full force and effect upon its final passage. 4. That this by -law may be cited as the "Lake Huron Learning Collaborative Lease Agreement 2013 By -law ". RE A II a FIRST nd S COND TIME this 23 day of January, 2013. 0 • r i). Mayor Clerk READ THIRD T E an. FINALLY PASSED this 23 day of January, 2013. • _.. 4,a • • Mayor Clerk This is Schedule "A. " to By -Law No 2)1'30t° passed the 2 3 day of , k artUar`j 2013 This AGREEMENT made the 23 day of .2 ll A Cl r Li , 2013. BETWEEN: THE CORPORATION OF THE MUNICIPALITY OF KINCARDINE hereinafter called the "Municipality" of the First Part. -and- LAKE HURON LEARNING COLLABORATIVE hereinafter called the "Tenant" of the Second Part. WHEREAS the Municipality and the Tenant wish to enter into an agreement for the property known as the old Westario Building, known municipally as 385 Queen Street, Kincardine; AND WHEREAS both parties support education as a key driver in our local economy. NOW THEREFORE THIS AGREEMENT WITNESSETH THAT in consideration of the mutual covenants and agreements hereinafter contained, and subject to the terms and conditions hereinafter set out, the parties agree as follows: 1. TERM 1.1 The term of the lease shall be two years, with an option to renew. 1.2 This lease agreement to be in effect as of January 1 2013 to December 31 2014. 2. SPACE TO BE LEASED 2.1 The entire area outlined in blue on the attached Schedule 'A' noted as Post Secondary Skill Enhancement Area. The Municipality agrees to donate the area outlined in red (Trade Training Industrial Area) upon notice by the Lake Huron Leaming Collaborative. Until such time notice is given, the Municipality of Kincardine will continue using the space for municipal purposes. The Municipality will retain the following uses in the building: i) The area currently occupied by the Municipality for its Emergency Response Centre and Municipal Vault (basement area). ii) The area currently occupied by E -team (area in black). iii) The area used by the Municipality for storage (area in green on Schedule 'A'). iv) All other common areas (e.g. washrooms, halls, utility rooms and public parking). 3. RENTAL FEES 3.1 The gross rental rate is $50,000.00 per year, with a municipal subsidy of $25,000.00. Therefore, the net rental fee is $25,000.00 per year. 3.2 A $25,000.00 lump sum payment to the Municipality to fund all utility costs (hydro, water & yard costs). 3.3 Taxes: The Tenant shall pay property taxes as billed twice a year over four installments as per the Municipal Act. Taxes are levied on the Current Assessment Values (CVA) each year as provided by the Municipal Property Assessment Corporation (MPAC) based on the square footage occupied by the Tenant. 4. PAYMENT SCHEDULE 4.1 Payment of the rental and utility fees will be made in two installments each year in advance in March and October. 5. LEASEHOLD IMPROVEMENTS 5.1 All interior leasehold improvements are the responsibility of the Tenant and prior to occupying, the Tenant must review improvement plans with the Municipality's Building Department. 6. MAINTENANCE 6.1 External and intemal structural maintenance shall be the responsibility of the Municipality 6.2 All maintenance and janitorial work related to the operation of the Tenant shall be at the Tenant's cost. 6.3 Snow removal and general yard maintenance shall be the responsibility of the Municipality 7. INSURANCE 7.1 The Tenant shall put in effect and maintain in its name, at its expense, all the necessary insurance that would be considered appropriate for a prudent tenant undertaking this type of operation for the period during which the agreement is in effect with insurers acceptable to the Municipality, including: (a) Commercial General Liability Insurance, for third party bodily injury, personal injury and property damage to an inclusive limit of not less than Two Million Dollars ($2,000,000.00) per occurrence. The policy shall include: 1. The Corporation of the Municipality of Kincardine as an additional insured 2. Cross Liability 3. Contractual Liability 4. Tenant's Legal Liability 5. Contents coverage on a replacement cost basis for all property owned by the Tenant 6. A thirty (30) day written notice of cancellation (b) The Tenant shall provide the Municipality with a valid Certificate of Insurance as evidence of the above coverage upon signing the agreement. The Tenant shall provide the Municipality with any renewal replacement certificates as may be necessary during the term of the agreement. 8. SUB - LEASING In the event that the Tenant subleases any space to a commercial third party (who is not part of the L.H.L.C. education partnership) the following conditions will apply: - the sub - tenant must be approved by the Municipality. - all rents collected will be forwarded to the Municipality to form a building capital repair /maintenance reserve fund. - all sub - tenants are required to provide insurance coverage with the Municipality. - all leasehold improvements will be the responsibility of the sub - tenant. 9. SIGNAGE 9.1 The Tenant, as part of this agreement, shall use the existing standard for signage. Please note compliance with the municipal sign by -law. 10. TERMINATION UPON NOTICE 10.1 Either party to this agreement may, with twelve months written notice of intent, dissolve the agreement. IN WITNESS WHEREOF the Municipality has hereto affixed its corporate seal attested by the hands of its Mayor and CAO this 23 day ofaamf, 2013. The Tenant has hereunto set their hand this 23 day of i van i t, 2013. SIGNED, SEALED AND DELIVERED )THE CORPORATION OF THE in the presence of ) MU IPALI CARDINE ) 42- M o � CAO z ) LAKE HURON LEARNING ) COLLABORATIVE Witness ) � Jiat -CHAIR ) ) 1 HAVE THE Authority to bind the Organization SCHEDULE 'A' LEARNING CENTRE (385 QUEEN STREET, FORMER WESTARIO BUILDING) Upper Level Storage 17.1m x 8.5m Upper Level above pharmacy 17.1 m x 5.5m 1.5m x14.3m 18.4m x 8.8m ' V, - I 14 ... I ' '. - n i',...„.. i N■Ne.+.3 g xi:it IIIMIR 1 ' .' .=1 w.N I 1 ------ If 1111111 111111 1 .., 1 . J { (E) , . .-L-- I rst-6.5rn x 5.1m , F tk , ' [ - v.., Ila \ 1 - ,---. — — rr \ t; I — f-jer , i 1 3 .1 intijorn . i 1 ' ,- , - , ._ -.._ 'Ai . ' _,. v / ' 1 1 rr [IC I L, J. ■4;;:".I ; 3 ma J.2.4d , \ , 1 ,,', .., 1 , — - .-_:-..-,-.-_-_,-___..-.. - \ Irv le-. , • , . / 1 1 s 18m x 8m ..-'22. x 18m ___. 1 I .. _ __. . 0101 , ' i: .-.4 . Alr. =41- L__ - ••■...:- . 111111. I I *---- - 1:.^ ..'-' ll ' n 1 __. -,,,, .... ,.„,, 1 ,,,, , 1 i 16.8M ....^ - ' .- • - J- L 17 -,.._ Vi•‘1 -, I 3 - 0 3 'n_n 3 . 3 'n ''''''- ' --' i 'Room 1 _ I P '...:1"-- . '-... I ' j ---e° 1 III 11' ., t. 1.MrX 7:1m 4 ' ,''' / s s • 4 \ ( \ -. . 1 • . I i -:, 'V " t I ---. i e i 3.6m x 6.5m --I 3 i / \ . ptantr"`'- . El t 44, , . L , . . -----.-- -tt -- ..- t • • --.. ,r- •-.......__LL - .1 i 1 1 ,$) . • rA `s: . I., f -,--)--° __ y'rg:; Room 2 / ..f) 1 i 7.=' • t s \ .., N " • k. ' I : - ,,, u • . .. . , ') 4 • . : ' '. ..0 ' I. ‘,s'fil 7■1 7 1 / 74 1 1 _ „ , __ 2,, -, ----. : • -' -• _.-1=="°"` ------ ■ - - ' - eilit ,, l'. 1 , Trade Training Community Storage / - \ 4 ■7 " L Ce D '4 IH D i ■ I :- . • 1 ' .. elearnnetwork.ca Industrial Area Area . . _ .. . ,. . . .. . . . . Distance Education Notes 1) This is a draft concept plan only Post Secondary Skill Enhancement Area