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Home My WebLink AboutCOM 0104.000 2008-2010William P. Kenoi A-lnfm' Nancy H. Crawford DireClm Deanna S.Sako OGnnr Uirecmr County of Hawaii Finance Department 2J Aupuni SU'eeL Room 118 • Hila, Hawaii 96720 (808)961-8234 • Pax (808)961-8248 January 20, 2009 J Yoshimoto, Chairman and Members of the Hawaii County Council Hawaii County Council 25 Aupuni Street Hilo, Hawaii 96720 Subject: Na'alehu Ambulance Unit's Lease Amendment ) 0 c>- co O~ z µ>"~' ~= . r-~ .._ ~ N ., 3 :~-i'(~ i jam! 1 /. ca a~ The Hawaii County Fire Department presently leases office space from Maui Varieties Investments, Inc. for its Na'alehu Ambulance Unit's base of operations. The current lease of the premises, located at 95-1163 Ka'alaiki Road, Na`alehu, Hawaii and consisting of one thousand twenty-six (1,026) square feet, is expiring on May 1, 2009. The County wishes to enter into amulti-year lease with Maui Varieties Investment Inc. for two (2) years, commencing on May 1, 2009. The two year extension, reflecting a 5% increase over what is being paid now, will be at the monthly rent of $1,346.63 plus the general excise tax, and does include the cost of common area maintenance. Enclosed is a resolution that authorizes the Mayor to enter into amulti-year extension agreement with Maui Varieties Investments, Inc. for the Na'alehu Ambulance Unit's base of operations located at 95-1163 Ka`alaiki Road, Na'alehu, Hawaii. If there are any questions, please do not hesitate to call Property Manager Harry Yada. Nancy E. Crawford Director of Finance APPROVED: GG~, G%~/ r William P. K of ~ayor Enc. cc: Property Management ~~e~~~q ` Hawaii County is an Equal Opportunity Provider antl Employer Comm. No. ~ 0 Ref. To• FG Ref. Date,~AN 22 2~4~ Form #: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Finance -Property Management DATE STAFF CONTACT: Daryl Inaba A. REQUEST: Prepare resolution authorizing the Mayor to enter into amulti-year lease extension with Maui Varieties Investments, Inc. for the Naalehu Ambulance base of operations. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The current lease ends on May 1, 2009. The two year extension will be at the mouthy rent of $1,346.63 plus GET or $16,832.76 per year which includes the cost of common area maintenance. Attached are: 1) Letter from Maui Varieties Investments, Inc. regarding the two year extension of lease to May 1, 2011. 2) Lease Amendment dated May 16, 2007. 3) Copy of previous resolution No. 64 O5. SIGNED: ~ DATE: JAN ~. ~ ?~nQ Depart ent Head 1 /9/09 PHONE: 961-8567 i' MAUI VARIETIES INVESTMENTS, INC. December 3Q 2008 Hany Yada County of Hawaii 25 Aupuni St. Room 118 Hilo HI 96720 FAX and mail 961-8248 RE: Option to Renew - Naalehu Ambulance Unit 95-1163 Kaalaiki Rd. TMK 9-5-021:026 Dear Mr. Yada, We are in receipt of your letter dated 12/16/08 exercising option to renew subject lease for an additional 2 yeazs to May 1, 2011. We would like to propose a monthly rent increase of 5% for the additional two years. So rent would go from $1,282.50 to $1,346.63. Plus GET - so total amount due monthly would be $1,346.63 plus 4.166% would total $1,402.73. We hope this is agreeable with you. We very much like having the Naalehu Ambulance Unit as our tenant in the Naalehu property. We aze still finishing up the large garage to house the fire equipment. We hope this has been a good space for you. If you have any questions please call me in Honolulu at 838-7773, extension 236. Aloha, Maui Varieties Investments, Inc. ~~ Guy Kamitaki 1810 PAA STREET, BLDC. A • HONOLULU, HAWAII • 96819 PHONE: (8oe) 8387777 • FAX: (SOB) 8J8~7776 LEASE AMENDMENT This Lease Amendment is made as of this ~G~ day of ~l~Gt-~~ , 2007, by and between MAUI VARIETIES INVESTMENTS, INC., a Hawaii corporation, whose principal place of business and mailing address is 2810 Paa Street, Honolulu, Hawaii 96819, hereinafter referred to as the "Lessor," and the COUNTY OF HAWAII, a municipal corporation of the State of Hawaii, whose principal place of business and mailing address is 25 Aupuni Street, Hilo, Hawaii 96720, hereinafter referred to as the "Lessee." WITNESSETH: A. By Lease Agreement dated June 15, 2005 ("Lease"), Lessor demised and leased to Lessee that certain space located at 95-1163 Kaalaiki Road, Naalehu, Hawaii 96772, Tax Map Key No. (3) 9-5-021:026, consisting of one thousand twenty-six (1,026) square feet. B. Lessee desires to extend the term of the Lease upon the terms and conditions hereinafter set forth. NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Lessor and Lessee covenant and agree as follows: The term of the Lease shall, and the Lease hereby is amended to provide that the term thereof shall be extended to expire and end on May 1, 2009, unless sooner terminated as provided in the Lease. Effective May 1, 2007, the Lease is hereby amended as follows: a. The term is extended from May 1, 2007 to May 1, 2009. b. The amount of rent shall be ONE THOUSAND TWO HUNDRED EIGHTY TWO AND 50/100 DOLLARS ($1,282.50) PLUS FIFTY THREE AND 43/100 DOLLARS ($53.43) State of Hawaii general excise tax for a total of ONE THOUSAND THREE HUNDRED THIlZTY FIVE AND 93/100 DOLLARS ($1,335.93) PER MONTH, payable in advance on or before the first day of each month during the term of this Lease. Lessee shall have the option to extend the Lease for an additional term of two (2) years by providing Lessor with one hundred eighty (180) days' prior written notice. The extended term shall be on the same terms, provisions, and conditions of the Lease and this Lease Amendment except for the provisions regarding basic yearly rent. Basic yearly rent applicable to the extended term shall be at the then established fair market value at the time of exercise. 4. Except as expressly modified and amended by this instrument, all other terms, provisions, and conditions of the Lease shall remain in full force and effect as in the original Lease. 2- IN WITNESS WHEREOF, the parties hereto have executed this Lease Amendment on the date first above written. MAUI VARIETIES INVESTMENT, INC. BY~~~ GUY KAMITAKI Its President Lessor COUNTY OF HAWAII By~/~~Ci'~' U ~' h1 'anag+P ~""a~ ACTfNG I,eeynR Lessee RECOMMEN1D//I//A~PPRO V AL: /~L 1 LI A///I~- D l Ohv ra"'~~:~ ~N^^~" Fire Chief APPROVED AS TO FORM AND LEGALITY: !/1~V '~/~/~ DIANE A. NODA Deputy Corporation Counsel s:\dep[Vire\naalehuVease amendmentU-16-07\DANfc.doc Lease Amendment Maui Varieties Investments Inc., Lessor County of Hawai `i, Lessee -3- STATE OF HAWAII ) SS. COUNTY OF HAWAII ) On this /C~day of ~~ , 2007, before me personally appeared DIXIE KAETSU, to me personally known, who, being by me duly sworn, did say that she is the Acting Mayor of the County of Hawaii, a municipal corporation of the State of Hawaii; that the seal affixed to the foregoing instrument is the corporate seal of the said County of Hawaii; that the foregoing instrument was signed and sealed in behalf of the County of Hawaii by authority given to said Acting Mayor of the County of Hawaii by Section 5-1.5 of the County Charter, County of Hawaii (2000), as amended; and said DIXIE KAETSU acknowledged said instrument to be the free act and deed of said County of Hawaii. ~ ~~~ VIRG IA M. TOLENTINO Not Public, State of Hawaii My commission expires: 4/22/2009 ~oT~r'~o '~! :s'r AUB`tiG•~~~` .. P~~~ ~~OF Np~~~ !/!UU I ittt~~~, STATE OF HAWAII ) SS. CITY AND COUNTY OF HONOLULU ) On this ~ day of y , 2007, before me appeared GUY KAMITAI{I, to me personally known, who, being by me duly sworn, did say that he is the President of MAUI VARIETIES INVESTMENT, INC., a Hawaii corporation, and that said instrument was signed and sealed in behalf of said corporation by authority of its Board of Directors; and that said GUY KAMITAKI acknowledged said instrument to be the free act and deed of said corporation. ~.. ~ti Signature ~~ y ~~ ~~~ Print or Type Name Notary Public, State of Hawaii My Commission Expires: o~J~ ~~ -4- COUNTY OF HAWAII RESOLUTION NO. STATE OF HAWAII 64 X15 RESOLUTION AUTHORIZING THE PAYMENT OF FUNDS OF A LATER FISCAL YEAR OR OF MORE THAN ONE FISCAL YEAR FOR AMULTI-YEAR LEASE OF REAL PROPERTY WHEREAS, Section 10-11 of the County Charter requires that any contract, lease, or other obligation requiring payment of funds from the appropriations of a later fiscal year or of more than one fiscal year be approved by resolution; and WHEREAS, the Hawaii County Fire Department presently leases a house in Na'alehu for use as a dormitory and base of operations for an advanced life support (ALS) ambulance unit; and WHEREAS, the current rent is $1,310 per month and the lease for this house expires on Mav 31.2005; and WHEREAS, the Fire Department has been able to locate another site that is more suitable for its delivery of services at a proposed cost of $1,175.62 per month for a two year term commencing May 1, 2005; with an option for another iwo (2) year term and a provision to terminate the lease should the County of Hawaii build its own building; and WHEREAS, the new premises, located at 95-1163 f(a'alaiki Road, Na'alehu, Hawaii, consists of ten thousand twenty-six (10,026) square feet; and WHEREAS, County wishes to enter into amulti-year lease with Maui Varieties Investment Inc. for two (2) years, commencing on May 1, 2005. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAII: 1. That the Mayor is hereby authorized to enter into amulti-year lease agreement for office space for the Hawaii County Fire Department. 2. That sufficient funds oe budgeted in future fiscal years to cover the anticipated obligations of the County under the lease agreement. BE IT FURTHER RESOLVED that a copy of this resolution be transmitted to the Departments of Finance and Fire. Dated at xilo ,Hawaii, this 2otn day pf Aprii , 2005. INTRODUCED BY: COUNCIL MEMBER, COUNTY OF HAWAII COUNTY COUNCII. County of Hawaii -Hilo, Hawaii I hereby certify that the foregoing RESOLUTION was by the vote indicated to the right hereof adopted by the COUNCIL of the County ofHawai`ion_ April 20, 2005 ATTEST i!~h,~/~~~, ~~~~_ COUNTY CLERK CHAIRMAN & PRESIDING OFFICER ROLL CALL VOTE AYES NOES ABS EX ARAKAKI ){ HIGA HOFFMANN HOLSCHUH X IKEDA X ISBELL JACOBSON PILAGO ){ SAFARIK X 8 0 1 0 Reference C-180/F'C - 69 RESOLUTION NO. 64 45