HomeMy WebLinkAboutCOM 0298.000 2012-2014 J Yoshimoto .? !!;y;• Telephone: (808)961-8272
Chair&Presiding Officer (?•** I�''� ' Facsimile: (808)961-8912
Council District 2 , • :�•;i,.\ ••• ;•` Email:jyoshimoto @co.hawaii.hi.us
HAWAI'I COUNTY COUNCIL
Office of the County Clerk
County of Hawai
25 Aupuni Street r")
Hilo, Hawaii 96720 Cn
Date: May 15, 2013 c -<
.11
To: Members of the Hawai'i County Council 1'
From: WeYoshimoto, Council Chair vNi
'. Stewart Maeda, County Clerk
Re: Resolution relating to the payment of funds of a later fiscal year and more than
one fiscal year for a multi-year lease of real property (warehouse) for the Office
of the County Clerk-Election Division
Enclosed is a resolution authorizing the Mayor to enter into a multi-year lease agreement for
warehouse space for the Office of the County Clerk-Election Division. The five (5) year lease
with Men's Shop, Inc., for 3,000 square feet of warehouse space is located at 210 Maka'ala
Street, Hilo, Hawaii, 96720 (TMK(3)2-2-060-016). The approximate cost per month, including
General Excise Tax is $1,630.20.
JY:awm
att.
Comm. N•. az98
Ref. To: �...�'
Ref. Date AY 0
Hawai'i County Is An Equal Opportunity Provider And Employer
LAND COURT REGULAR SYSTEM
(AREA ABOVE RESERVED FOR RECORDING INFORMATION)
After Recordation, Return by ®Mail or❑Pick-up Phone#: 961-8251
FILL IN NAME AND ADDRESS BELOW:
Office of the Corporation Counsel(CTM)
333 Kilauea Avenue,2"d Floor
Hilo,Hawaii 96720
DOCUMENT CONTAINS PAGES
TITLE OF DOCUMENT: COUNTY OF HAWAII WAREHOUSE SPACE
SUBLEASE AGREEMENT
PARTIES TO DOCUMENT
SUBLESSOR/LANDLORD: MEN'S SHOP,INC.
210 Maka'ala Street
Hilo,Hawaii 96720
SUBLESSEE/TENANT: COUNTY OF HAWAII
25 Aupuni Street
Hilo,Hawaii 96720
AFFECTS TAX MAP KEY: (3)2-2-060-016
COUNTY OF HAWAII WAREHOUSE SPACE
SUBLEASE AGREEMENT
This SUBLEASE AGREEMENT,made this day of
2013,by and between MEN'S SHOP,INC.,whose mailing address is 210 Maka`ala Street,Hilo,
Hawai`i, 96720 (hereinafter referred to as"Landlord"or"Lessor"),and the COUNTY OF HAWAII,
a municipal corporation of the State of Hawai`i,whose principal place of business and mailing address
is 25 Aupuni Street,Hilo,Hawai`i 96720(hereinafter referred to as"Tenant"or"Lessee").
1. Grant. In consideration of the rents,covenants,and agreements hereinafter reserved and
contained and on the part of the Tenant to be observed and performed,the Landlord demises
and leases to the Tenant, and Tenant rents from the Landlord,the following for use as a
secured warehouse space for the Tenant:
Those certain premises consisting of approximately 3,000 square feet of warehouse
space (subject to verification) Space B, situated at 210 Maka`ala Street, Hilo, in the
district of South Hilo, County and State of Hawai`i, and identified as Tax Map Key:
(3) 2-2-060-016 (hereinafter "the premises"). Further described in Exhibit "A"
attached hereto.
Together with the full right of access to said premises in common with others over,
across, and through any alleys, common entrances, lobbies, stairways, halls, elevators,
and corridors in or around said building.
2. Use. The premises shall be utilized as a secured warehouse space and other such uses as
allowed by the zoning for the area and as may be granted by Lessor.
3. Term. The term of this sublease and the Tenant's obligation to pay rent hereunder, shall be for
five(5)years,commencing on February 1,2013 to January 31,2018. Tenant shall have the
option to extend the sublease for an additional five(5)year term, subject to an agreement on
the rent between the Tenant and Landlord. The rent for the new term shall be mutually
determined and agreed upon between the Landlord and Tenant. If the parties cannot agree
upon the rent for the new term,then the sublease will be terminated at the end of the sublease
period and the Tenant will have sixty(60)days from the end of the term of the sublease to
vacate the premises.
4. Delivery of Possession. If the Landlord,for any reason,cannot deliver possession of the
demised premises to the Tenant at the commencement of the sublease term, as specified
above,this sublease agreement shall not be void or voidable;but in that event,there shall be a
proportionate reduction of rent covering the period between the commencement of the
sublease term and the time when the Landlord can deliver possession,unless the Tenant elects
to terminate the sublease by giving notice in writing.
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5. Quiet Enjoyment. Landlord agrees that upon payment by the Tenant of the rent herein
provided and upon the faithful observance and performance of all the covenants,terms,and
conditions in this sublease on the part of the Tenant to be observed and performed,the Tenant
shall peaceably and quietly hold and enjoy the leased premises for the term of this sublease
without hindrance or interruption by the Landlord or any other person or persons lawfully or
equitably claiming by,through,or under the Landlord.
6. Rent. Tenant shall pay to the Landlord,in such coin or currency of the United States of
America as at the time of payment shall be legal tender for the payment of public and private
debts,without any setoff or deduction whatsoever,a monthly rent of ONE THOUSAND
FIVE HUNDRED AND NO/100 DOLLARS($1,500.00)and a common area maintenance
charge of SIXTY FIVE AND NO/100 DOLLARS ($65.00),per month,will be paid in
addition to the rent. Tenant will be allowed to prepay rent without penalty.
7. Excise Tax. In addition to the rent,the Tenant shall pay the Hawai`i general excise tax
(currently 4.166%),or any successor tax,which may be payable thereon.
8. Real Property Tax. The Tenant shall be responsible for its pro-rata share of the real property
taxes. However, Landlord agrees to timely submit a claim for partial exemption from real
property tax,as provided by Section 19-84,Hawai`i County Code(2005 edition,as amended).
Tenant will cooperate fully with the Landlord in obtaining such exemption.
9. Deposit. No deposit shall be required.
10. Common Area Maintenance and Building Services. The common area maintenance charge
shall be paid monthly,in addition to the rent,and at the rate noted in paragraph 6 of this
sublease agreement and shall include fees for trash,water and sewer. Landlord shall operate
and maintain the property, common area and facilities therein in a manner deemed as
reasonable,appropriate and in the best interest of the tenants of the property. All such
expenses for the maintenance and operation shall be included in the rental charge. The term
"common area and facilities"as used in this sublease agreement shall be deemed to include
those portions of the property as are designated and/or designed for the non-exclusive use of
the Tenant in common with other authorized users,and shall include,but not be limited to:
parking areas;roadways; service areas;driveways; areas of ingress and egress; landscaped and
planted areas; sidewalks and other pedestrian ways; corridors; courts;public washrooms;
drinking fountains;community rooms;toilets; stairs;ramps;buildings or structures used in
connection with the maintenance of said common area; and all other similar facilities,from
time to time provided for the joint use and convenience of such authorized users.
Common areas and facilities shall not include the exterior walls,roofs and foundations,
downspouts and gutters, and the common utility systems,lines and conduits up to the
premises. Anything herein to the contrary notwithstanding, it is agreed and understood that
the common areas and facilities shall not be deemed to include the premises,nor the facilities
which,under the terms of any lease or leases,are required to be maintained at the cost or
expense of Tenant.
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11. Hold Over Rent. Any holding over after the expiration of the term hereof,with the consent of
Landlord, shall be construed as a tenancy from month-to-month. Rent for any hold over
period after the expiration of this sublease shall be at a rate of ONE THOUSAND FIVE
HUNDRED AND NO/100 DOLLARS ($1,500.00)and a common area maintenance charge
of SIXTY FIVE AND NO/100 DOLLARS ($65.00)per month,and all other terms of this
sublease agreement shall apply.
12. Parking: Tenant shall have two(2)reserved parking stalls.
13. Utility and Similar Charges. The Tenant shall pay all,electric,and other utilities used by the
Tenant within the leased premises that are separately metered under the Tenant's accounts
with service providers not including water and sewer. Any utilities not under a separate tenant
account should be separately metered so usage can be accurately accounted for(refer to
paragraph 24,"Leasehold Improvements,"of this sublease agreement.
14. Assignment and Sublease. Tenant shall not,without the prior written consent of Landlord,
which consent will not be unreasonably withheld,assign or mortgage this sublease or any
interest herein,or sublet or grant any concession or license to use the premises or any part
thereof,or allow any other person to use the whole or any part of the premises.
15. Use and Maintenance of Premises. Tenant shall use the leased premises solely for the purpose
of a secured warehouse space and shall not use the same for any other purpose without the
prior written consent of Landlord. Tenant shall not make or suffer any waste, strip or
unlawful,improper,or offensive use of said premises. Tenant shall not do or suffer any act or
carry on any practice which may damage the premises or become a nuisance to other tenants
and owners in the building in which the premises are located. Tenant shall keep the premises
in good order,condition and repair,and in a strictly clean and sanitary condition.
16. Inspection. Because a portion of the warehouse space is to be used as a secured evidence
storage,the Landlord and Landlord's agents will be allowed to enter said premises to examine
the state of repair and condition thereof only under the continual escort of an approved
member of the Hawai`i County Police Department. If Landlord deems that repairs by the
Tenant are necessary, Landlord may request in writing that the Tenant make the same
forthwith.
17. Signs. Tenant shall not,without the prior written consent of Landlord,erect,install,or affix
any sign about the exterior or on the windows of the premises. Tenant shall allow Landlord,
during the last three(3)months of the term of this sublease,to affix or keep on the premises a
"For Lease"or"For Sale"notice.
18. Alterations. Tenant shall not,without the prior written consent of Landlord,make any
alterations or additions to said premises.
19. Landlord's and Agent's Immunity and Insurance. The Tenant is self-insured for liability
arising out of Tenant's use of the leased premises and/or any damages,claims of damages,or
4
lawsuits for same,by anyone using or in the leased premises,and shall hold harmless and
indemnify and defend Landlord,if the Landlord is named as a defendant in any such suit.
20. Surrender. The Tenant shall, at the end of the term of this sublease or earlier termination
thereof;peaceably and quietly vacate and deliver up to Landlord the possession of the
premises,together with all additions and alterations made by Tenant,unless Landlord requires
removal of the same in good order, condition and repair,reasonable wear and tear excepted.
Tenant may remove all moveable trade fixtures(if installed by Tenant)on the condition that
Tenant shall repair any damage to the premises resulting from the removal of said fixtures.
Any property of the Tenant remaining on the premises after the termination of the sublease
may be disposed of by the Landlord in any manner it sees fit,without any liability whatsoever
to the Landlord. The proceeds of such disposition,if any, shall be the sole property of the
Landlord.
21. Condemnation.
a. Automatic Termination of Lease. Except as may otherwise be required by any
mortgage on the property, if the whole of the premises shall be taken by any public
authority under the power of eminent domain,then the term of this sublease shall
cease as of the day possession is taken by such public authority,and all rent shall be
paid up to that date. If only a part of the premises shall be taken under eminent
domain,this sublease shall terminate as to the portion taken,and unless this sublease
shall be terminated as hereinafter provided, it shall continue in full force and effect as
to the remainder of the premises, and the base rent shall be reduced in the proportion
the floor area taken bears to the total floor area leased,and the Tenant,at its own cost
and expense, shall make all necessary repairs and alterations to the premises required
by such taking.
b. Option to Cancel. If the remainder of the premises cannot be made tenantable for the
purposes for which the Tenant has been using the premises,the Tenant shall have the
option,to be exercised within thirty(30)days after the filing of such eminent domain
action,of canceling this sublease effective as of the date the condemning authority
shall take possession;provided,however,that if more than fifty percent(50%)of the
floor area of the premises shall be taken under power of eminent domain, either party,
by written notice to the other party,delivered on or before the date of surrendering
possession to the public authority,may terminate this sublease, effective as of such
surrender of possession.All compensation and damages of any type awarded for any
taking,whole or partial, shall belong to and is the property of the Landlord, except as
hereinafter provided.
22. Destruction of Premises. If the premises are partially or totally damaged or destroyed by fire
or other casualty so as to become partially or totally untenantable, such damage or destruction,
insofar as the same pertains to the building itself;exclusive of any damage to Tenant's
fixtures,furniture or other property, shall be repaired or rebuilt at the discretion of the
Landlord. Landlord shall advise Tenant within sixty(60)days after the casualty whether it
5
intends to rebuild or repair. If the Landlord elects not to repair or rebuild,this sublease shall
terminate without further notice and the obligations of either party shall cease. No rent shall
be payable from the date such casualty occurs until the repair or rebuilding shall be completed,
unless the premises shall be tenantable and there is no substantial interference with Tenant's
business.
23. Subordination of Lease to Mortgage. Tenant agrees that this sublease and all rights of Tenant
hereunder shall be subject and subordinate to all present and future mortgages made or to be
made by Landlord as security for any indebtedness of Landlord;provided,however,that the
mortgagee shall agree to recognize this sublease in the event of foreclosure and will cause the
sale of said premises to be made subject to Tenant's lease,provided that the Tenant is not in
default under any of the terms,conditions,or covenants of this sublease at the time of such
foreclosure.
24. Leasehold Improvements. After opportunity to inspect the Lessee accepts the premises AS IS
and WHERE IS.
25. Additional Construction or Remodeling. Landlord reserves the right to remodel,repair,paint,
or renovate the said building or do additional construction at any time to the extent that it does
not compromise the integrity of the security of the demised premises as evidence storage.
Said work shall be undertaken by Landlord with minimum interference or inconvenience to
Tenant's use of the premises,and any interference or inconvenience resulting to Tenant or its
use of the premises that does not compromise the use as evidence storage shall not constitute a
breach or violation of Landlord's covenant of quiet enjoyment or any other covenant. If
Landlord's additional work requires entry into Tenant's premises, Landlord and Tenant shall
enter into a written agreement on the terms and conditions of such entry and work.
26. Non-waiver of Breach. The acceptance of rent by Landlord shall not be deemed a waiver by
Landlord of any breach by Tenant or of the right of Landlord to terminate this sublease for any
such breach,and that the failure of Landlord to insist upon strict performance of any covenant
or condition of this sublease,or to exercise any option herein conferred, shall not be construed
as a waiver or relinquishment for the future of any such covenant or condition but the same
shall remain in full force and effect.
27. Notice.
a. Notices to the Tenant. All notices to be given to the Tenant should be given in writing
and by depositing the same in the United States mail,registered or certified,postage
prepaid,and addressed to the County of Hawai`i at 25 Aupuni Street,Hilo,Hawai`i
96720.
b. Notice to Landlord. Notice to Landlord shall be given in writing personally to an
agent or employee of Landlord or by depositing the same in the United States mail,
registered or certified,postage prepaid,and addressed to Landlord at 210 Maka'ala
Street,Hilo,Hawai`i 96720,or at such other addresses as Landlord may give to the
Tenant in writing from time to time.
6
c. Time of Service. Any written notice sent by registered or certified mail shall be
deemed to have been served as of the date it is mailed in accordance with the
foregoing provisions.
28. Force Majeure. In the event that either Landlord or the County shall be delayed,hindered,or
prevented from the performance of any act required under this sublease agreement by reason
of strikes,lockouts,labor troubles,inability to procure materials,failure of power,restrictive
governmental laws or regulations,riots,insurrection,war,or other reason of like nature,not
the fault of the party delayed in performing the work or doing the acts required under the
terms of this sublease agreement,then performance of such act shall be excused for the period
of the delay and the period for the performance of any such act shall be extended for a period
equivalent to the period of such delay.
29. Hazardous Materials. The Landlord affirms,upon due diligence,that the premises are free of
hazardous materials. Landlord warrants that it has not received written notice from any
governmental authority having jurisdiction over the premises that the premises is in violation
of the Comprehensive Environmental Response,Compensation and Liability Act of 1989,as
amended("CERCLA"),the Resources Conservation and Recovery Act of 1976, as amended
("RCRA"),the Toxic Substance Control Act,as amended,the Hazardous Materials
Transportation Act,as amended,or any statute governing underground storage tanks or
asbestos. Landlord represents and warrants that to Landlord's actual knowledge(without
undertaking any investigation or inquiry)the premises do not contain any hazardous or toxic
materials prohibited by law. Landlord shall indemnify and hold harmless the Tenant from and
against any and all claims,demands or losses in connection with the release of hazardous or
toxic materials caused by Landlord. Tenant shall indemnify and hold harmless the Landlord
from and against all claims,demands or losses in connection with the release of hazardous or
toxic materials caused by Tenant,its agents or employees.
30. Construction of Language. Nothing herein contained is intended or shall be construed as
creating a relationship of principal and agent,or of a partnership or joint venture,between
Landlord and Tenant. Wherever used herein,the singular number shall include the plural and
the neuter gender shall include the masculine and feminine genders,unless the context clearly
requires otherwise. The obligations of the parties executing this sublease agreement shall be
joint and several. The term"premises"shall mean the premises demised under the lease;the
term"Landlord"shall include the Landlord, its successors, and assigns; and the term"Tenant"
shall include Tenant and Tenant's successors and permitted assigns.
31. Facsimiles. The parties hereto agree that telephone facsimile (fax)copies of any documents
required to be executed by the provisions herein will be accepted as if signed in person,as
originals. Upon request,the party submitting the facsimile shall provide the original
document within a reasonable time. However, failure to provide such an original shall have
no effect upon the validity of the execution by facsimile.
7
32. Dispute Resolution/Forum Selection. Any dispute action or proceeding involving this
sublease,commenced by any party, if not resolved by mutual consent, shall be commenced in
the District Courts of the Third Circuit,County and State of Hawai`i.
33. Governing Law. It is agreed that this sublease agreement shall be governed by,construed,and
enforced in accordance with the laws of the State of Hawai`i.
34. Special Conditions. This offer shall be subject to the approval of the Hawai`i County Council.
This sublease is subject to continued consent from the Department of Hawaiian Home Lands
and in the event of any cancellation of the Landlord's lease with the Department of Hawaiian
Home Lands,Landlord may have no liability to Tenant.
35. Entire Agreement. This sublease agreement for the aforementioned premises contains the
entire agreement between the parties. Any agreement hereafter made shall be ineffective to
change,modify, discharge or effect an abandonment of the lease,in whole or in part,unless
such agreement is in writing and signed by the party against whom enforcement of the change,
modification,discharge or abandonment is sought. It is expressly understood and agreed that
each and all of the provisions of this sublease agreement are conditions precedent to be
faithfully and fully performed and observed by the Tenant and to entitle the Tenant to continue
in possession of the premises hereunder;that said conditions are also covenants on the part of
the Tenant; and that time of performance of each is of the essence of this sublease.
IN WITNESS WHEREOF,the parties hereto have entered into this sublease agreement as of
the day and year first above written.
MEN'S SHOP, INC.
By:
Name:
Title:
SUB LESSOR/LANDLORD
COUNTY OF HAWAII
By:
APPROVED:
Stewart Maeda, County Clerk SUBLESSEE/TENANT
APPROVED AS TO FORM
AND LEGALITY:
CRAIG T. MASUDA
Deputy Corporation Counsel
8
STATE OF HAWAII )
) SS:
COUNTY OF HAWAII )
On ,before me appeared ,
to me personally known,who,being by me duly sworn, did say that
is the of MEN'S SHOP,INC.,that said instrument was signed on
behalf of said corporation by authority of its Board of Directors;and that said
acknowledged said instrument to be the free act and
deed of said corporation.
Signature
Name(Type or Print)
Notary Public, State of Hawai`i
My Commission Expires:
NOTARY CERTIFICATION
Doc.
Date: No. of Pages:
Notary Third Circuit
Name:
Doc.
Description:
Notary Signature Date
9
STATE OF HAWAII )
SS.
COUNTY OF HAWAII )
On this day of ,2013 before me personally appeared
WILLIAM P. KENOI,to me personally known,who,being by me duly sworn,did say that he is the
Mayor of the County of Hawai`i, a municipal corporation of the State of Hawai`i,that the seal affixed
to the foregoing instrument is the corporate seal of said County of Hawai`i,the foregoing instrument
was signed and sealed on behalf of the County of Hawai`i by authority given to said Mayor of the
County of Hawai`i by Sections 5-1.3 and 13-13 of the County Charter, County of Hawai`i(2010),as
amended, and said WILLIAM P. KENOI acknowledged said instrument to be the free act and deed of
said County of Hawai`i.
Signature
Print or Type Name
Notary Public, State of Hawai`i
My Commission Expires:
NOTARY CERTIFICATION
Doc.
Date: No. of Pages:
Notary Third Circuit
Name:
Doc.
Description:
Notary Signature Date
10
EXHIBIT A
A portion of TMK: (3)2-2-060-016 as described in the attached map:
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VALERIE T. POINDEXTER o`v�o`"+rr- KAREN EOFF
Chairperson : h���%e, BRENDA FORD
• • ':s1� DRU KANUHA
GREGGOR ILAGAN ZENDO KERN
Vice Chair 44-'1 �: •- DENNIS"FRESH"ONISHI
>i•°F"�� MARGARET WILLE
J YOSHIMOTO
HAWAII COUNTY COUNCIL
County of Hawai`i
Hawai`i County Building
25 Aupuni Street
Hilo, Hawai`i 96720
April 24, 2013
J Yoshimoto, Council Chair
Hawai`i County Council
25 Aupuni Street
Hilo, Hawai`i 96720
RE: Resolution No. 124-13 Resolution Authorizing the Payment of Funds of a Later Fiscal
Year and More Than One Fiscal Year for a Multi-Year Lease of Real Property
(Warehouse) for the Office of the County Clerk, Election Division.
Pursuant to Section 2(g) of Rule 4 of the Rules of Procedure of the Council of the County of
Hawai`i, this written request is submitted with my approval that the above-referenced matter be
waived from the Committee on Finance to the full Council for immediate action. In reviewing
this matter, timely approval is crucial. It is therefore advantageous that approval is granted and
the matter be placed onto the next Council agenda for review. However, in the event this request
is denied, for whatever reason, I understand the matter shall be referred to the Committee on
Finance for placement on its future agenda.
Sincerely,
*c-6k-1/1----))
Valerie T. Poindexter, Chair
Committee on Finance
Approved/Date/Waive to Council: Disapproved/Date/Refer to FC:
J Yosh' nut , Council Chair J Yoshimoto, Chairperson
Hawai`i County Council Hawai`i County Council
VP/sc
Hawai`i County is an Equal Opportunity Provider and Employer