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HomeMy WebLinkAbout1834 Lease Property to KC WFC Training, LLC and ACFC, LLC BILL NO. 2020-011 ORDINANCE NO. / J AN ORDINANCE AUTHORIZING THE LEASE OF CERTAIN PROPERTY BY AND BETWEEN THE CITY AND KC WFC TRAINING, LLC, A KANSAS LIMITED LIABILITY COMPANY, AND ACFC, LLC, A KANSAS LIMITED LIABILITY COMPANY AND AUTHORIZING OTHER DOCUMENTS AND ACTIONS RELATED THERETO WHEREAS, the City of Riverside, Missouri ("City") owns certain real property which consists of an approximately 30,000 square foot area (100' x 300') located in the southwest corner of Lot 4, Riverside Soccer, with the publicly utilized address of , Riverside, MO 64150, depicted on Exhibit A, attached hereto and incorporated herein, in Riverside, Platte County, Missouri, also known and referred to at times as the Sign Site ("Sign Site"); and WHEREAS, KC WFC Training, LLC, and ACFC, LLC, (the "Lessees") propose to lease the Sign Site to be used for one (1) electronic message board (the "Message Board") that will serve the KC Current Training Facility and Headquarters and the proposed training academy located on Lots 2 and 4 of Riverside Soccer; and WHEREAS, in consideration of the rent to be paid by Lessees pursuant to the lease of the Sign Site to the City, the City Staff recommends the City execute a Lease with the Lessees, in substantially the same form as Exhibit B, attached hereto and incorporated herein (the "Lease"), for the Sign Site; and WHEREAS, the Board of Aldermen find it is in the best interest of the City to authorize leasing of the Sign Site pursuant to the Lease, in substantially the same form and subject to the same terms and conditions as Exhibit B, between the City and the Lessees for One Hundred and 00/100 Dollars annually, which Lease shall terminate on the earlier of March 17, 2023, or the date of acquisition of Lot 4 by Lessees. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: SECTION 1. BEST INTEREST OF THE CITY AND APPROVAL OF CONSIDERATION AND TERMS: The Board of Aldermen find it is in the best interest of the City, in order to further the economic development objectives of the City, and further, the Board of Aldermen hereby approve and authorize the execution of a Lease in substantially the same form as that attached hereto and incorporated herein as Exhibit B, between the City and the Lessees for One Hundred and 00/100 Dollars annually; which Lease shall terminate on the earlier of March 17, 2023. or the date of acquisition of Lot 4 by Lessee. SECTION 2. AUTHORITY GRANTED. The Mayor is hereby authorized and directed to execute the Lease in substantially the same form as that attached hereto as Exhibit B, and the Mayor, City Administrator, Special Counsel to the City - Spencer Fane LLP, and other appropriate officials and employees of the City are hereby authorized and directed to take such further action related thereto as is otherwise necessary or desirable to carry out and comply with the intent of this Ordinance. WA 3747592.1 SECTION 3. EFFECTIVE DATE. This Ordinance shall be in full force and effect from and after its passage and approval. PASSED AND APPROVED: the day of April 2022. Kat leen L. Rose, Mayor ATTEST: Robin Kincaid, ity Clerk Approved as to form: Spencer Fane LLP, Special Counsel to the City by Joe Bednar 2 JC 17508001.2 SECTION 3. EFFECTIVE DATE. This Ordinance shall be in full force and effect from and after its passage and approval. , PASSED AND APPROVED: the 2 day of April 2022. leen L. Rose, MayorleCif ) Ka ATTEST: 4..,e.:45„......2 Robin Kincaid, ity Clerk i A proved as to form: Spencer Farre LLP, Special Couns to the City by Joe Bednar 2 JC 17508001.2 EXHIBIT A Depiction of the Sign Site 3 JC 17508001.2 EXHIBIT B LEASE 4 JC 17508001.2 LAND LEASE THIS AGREEMENT ("Lease") is made and entered into as of April , 2022 ("Effective Date"),by and between the CITY OF RIVERSIDE,MISSOURI,a city and political subdivision duly organized and existing under the Constitution and laws of the State of Missouri ("City"), and KC WFC Training, LLC, a Kansas Limited Liability Company and ACFC, LLC, a Kansas Limited Liability Company(collectively,"Lessee"),owner and operator of the National Women's Soccer team the Kansas City Current ("KC Current"). Collectively City and Lessee are referred to hereafter as the"Parties". The City and Lessee for and in consideration of the mutual promises herein contained, AGREE AS FOLLOWS: 1. BASIC PROVISIONS AND DEFINITIONS The following terms, whenever used in this Lease, with the first letter of each word capitalized, will have the meanings set forth in this Section, and only such meanings, unless expressly contradicted, limited or expanded in this Lease: (a) Premises: A 30,000 square foot area (100' x 300') located in the southwest corner of Lot 4, Riverside Soccer, as shown on attached Exhibit A (b) Date of Execution: The date above written, which is the date of full execution hereof. (c) Commencement Date (Section 4): April 4", 2022 (d) Lease Term (Section 4): Earlier of March 17, 2023 or date of acquisition by Lessee. (e) Rent(Section 5) $100 within five (5) days after the Effective Date of this Agreement for the lease term. (f) City's Payment and Notice Address With a Copy of All Notices To: City of Riverside, Missouri Spencer Fane LLP Attn: City Administrator& Finance Attn: Joe Bednar Director 1000 Walnut Street, Suite 1400 2950 N.W. Vivion Road Kansas City, MO 64106 Riverside, MO 64150 (g) Lessee's Notice Address: KC WFC Training, LLC/ACFC, LLC Attn: Amber Cox 1900 Shawnee Mission Pkwy, Suite 315 Mission Woods, KS 66205 (h) State of Incorporation of Lessee: Kansas (i) Minimum Insurance Coverage Specified in Section 21 Maintained by Lessee: 2. LEASE The City leases to Lessee and Lessee accepts a Lease from the City of the Premises as shown and/or described on the map attached at Exhibit A and incorporated herein(the"Premises"). The Premises are located in the City of Riverside, County of Platte, State of Missouri. 3. PERMITTED USES AND CONDITIONS The Lessee shall use the Premises for the construction and use of one(1)electronic message board (sign)(the"Message Board")that serves the KC Current training facility and headquarters and the proposed training academy located on Lot 2 and Lot 4 of Riverside Soccer. The Message Board shall be considered an on-premises sign that advertises events and activities at the property, professional soccer games involving the KC Current,national and international soccer events,and team and facility sponsors. 4. TERM The term of this Lease shall be from the Commencement Date until the earlier of the closing on the purchase of Lot 4, Riverside Soccer by Lessee or March 17, 2023. 5. RENT (a) Lessee shall pay the City at City Hall as rent for the Premises,the Rent set forth in Section 1(e). (b) Issuance of a sign permit for the permitted use of the premises is contingent upon payment of Rent. 6. ASSIGNMENTS AND SUBLETTING Neither Lessee nor any successor, heir, executor, administrator, receiver, master, trustee, sheriff or other assignee by operation of law shall assign or sublet this Lease or any interest therein. Notwithstanding the foregoing,Lessee may assign this Agreement to a controlling entity of Lessee or an entity under common control with Lessee. 7. CONDITION,MAINTENANCE AND ALTERATION OF PREMISES (a) It is understood that Lessee has inspected the premises and that,based upon that inspection, Lessee accepts the Premises, including any improvements, "AS IS". The City is not obligated by this Lease to make any changes, removals, or repairs of any kind. Lessee represents that it has inspected the Premises and that Lessee is leasing the Premises as a result of its inspection and investigation and not because of any representations made by the City or its agents, and that, to 2 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 the best of Lessee's knowledge and belief, the Premises, at the time the Lease was entered into, were reasonably free from soil and/or ground water contamination or other pollution-induced conditions, and the condition of the Premises appeared to the Lessee to meet all federal, state and local laws, ordinances, codes and regulations designed to prevent or control the discharge of substances into the land, air and water. Lessee acknowledges that neither the City nor the City's agent has made any representation or warranty as to the present or future suitability of the Premises for the purpose of the Lease except that the City represents and warrants that at the time the Lease is entered into, the City is not aware of any soil and/or ground water contamination or other pollution-induced conditions and that to the best of the City's knowledge, the Premises currently meets all federal, state and local laws, ordinances, codes and regulations designed to prevent or control the discharge of substances into the land, air and water. (b) Lessee shall not make any alterations, improvements, or additions to the Premises without the prior written consent of the City. (c) Lessee,at its sole cost and expense,will control all noxious weeds whenever weed control measures are required by law or regulation and will provide regular mowing within 100' of Lessee's improvements. (d) Lessee agrees to keep in good condition and repair any and all necessary and lawful drainage ditches which may be around said Premises or any portion thereof during the Lease Term and to save and hold the City harmless of and from any and all costs, charges, expenses, penalties or damages by reason of any failure by Lessee to promptly comply with any lawful requirements in respect to keeping in repair of any drainage ditches on said Premises during the Lease Term. (e) No shrubbery, trees, or vegetation of high growth shall be planted or cultivated by Lessee upon said Premises without prior written consent by the City. (f) Lessee shall not cut or remove any tree now growing on said Premises without the prior written consent of the City. 8. NUISANCE Lessee shall not permit the existence of any nuisance on the Premises; shall keep the Premises in clean and safe condition and free of any explosive, flammable or combustible material which would increase the risk of fire, except such material necessary to Lessee's Permitted Use, which material shall be handled, used and stored in compliance with applicable law pertaining to such substances; and shall not handle or store any dangerous or potentially dangerous materials or any hazardous or toxic materials, as defined under state or federal laws. 9. ENVIRONMENTAL CONCERNS Lessee shall not create or permit any condition on the Premises that could present a threat to human health or to the environment. Lessee shall indemnify and hold harmless the City and its officers, elected officials, employees, agents, contractors and affiliates from any suit or claim growing out of any damages alleged to have been caused, in whole or in part, by an unhealthy, hazardous or dangerous condition caused by, contributed to, or aggravated by Lessee's violation of any law, ordinances, regulations or requirements pertaining to solid or other wastes, chemicals,oil and gas, 3 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 toxic,corrosive,or hazardous materials,air water(surface or ground water)or noise pollution,and the storage, handling, use or disposal of any such material. Lessee shall bear the expense of all practices or work, preventative or remedial, which may be required because of any condition of the Premises caused or permitted by Lessee or any use of the Premises by Lessee or those claiming by, through or under Lessee, during Lessee's period of occupancy or during Lessee's ownership or use prior to the date of this Lease. Lessee expressly agrees that the indemnification and hold harmless obligations it hereby assumes shall survive cancellation of this Lease. The City shall have the right, but not the duty, to enter upon the Premises from time to time as set forth below to inspect the Premises for environmental contamination and in the course thereof to conduct soil and ground water testing. City may enter the Premises during regular business hours of Lessee without prior notice and may enter the Premises during periods other than regular business hours either with prior written consent of Lessee or without if the City reasonably believes that an emergency exists on the Premises. The City shall conduct any such inspections or testing so as to minimize interference with Lessee's business operations. The City's entry on the Premises pursuant to this paragraph shall not relieve the Lessee's obligation to pay rent under this Lease. 10. COMPLIANCE WITH LAW Each party shall comply with all federal, state, local and police requirements, regulations, ordinances, and laws respecting the Premises and as for Lessee,the activities of Lessee conducted thereon. Each party shall pay any costs associated with its compliance. 11. INDEMNITY (a) Lessee hereby agrees to indemnify, defend (with counsel reasonably satisfactory to the City) and hold the City harmless from any and all claims, demands or causes of action(including costs and reasonable attorney fees) for personal injury, death or property damage arising out of any act or omission of Lessee,any contractor or subcontractor except to the extent primarily caused by the acts or omissions of the City. This indemnity shall be in addition to and not in limitation of any other remedy available to the City at law or in equity any of which may be executed singularly or concurrently and all which shall be cumulative. Notwithstanding anything herein to the contrary, neither the City nor Lessee shall be liable to the other for, and each hereby waives all claims for any consequential losses or damages, whether arising in contract, warranty, tort (including negligence), strict liability or otherwise, including but not limited to losses of profits. (b) Lessee shall and does hereby assume all risk of loss or destruction of or damage to any property of Lessee brought upon or into the Premises and to any property belonging to others brought and held upon the Premises by Lessee or others; and Lessee hereby releases and agrees to indemnify and hold harmless the City from all claims arising from such loss, destruction and damage except if such loss, destruction, or damage is caused by the negligence of the City, its officers, elected officials, employees, agents, contractors or affiliates. (c) Lessee also assumes all risk of loss or damage to animals escaping either from said premises or from its adjacent lands to any other property or land owned by the City. Lessee also agrees to keep the Premises clear of combustible materials. 4 6"_"6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 (d) The provisions of this Section shall survive the termination of this Lease. 12. TERMINATION (a) If Lessee shall default in any of its covenants or agreements, and such default shall not be remedied or corrected (or in the City's sole judgment an appropriate remedy or correction has not effectively commenced) within ten(10)business days after written notice by the City to Lessee of such default, then this Lease may be terminated by the City immediately by giving notice of termination to Lessee. (b) Either party may cancel this Lease at will with thirty (30) days advance written notice to the other party at the other party's Notice Address as provided for in Sections 1(f) and 1(g). (c) Unless the City provides Lessee advance written notice otherwise, Lessee is obligated, on termination of this Lease, at Lessee's sole cost and expense, to remove or cause to be removed, any lessee improvements, including, but not limited to any structures placed or erected on the Premises located on, above or below the surface of the Premises. Lessee also agrees to restore and level the Premises to a condition reasonably satisfactory to the City. (d) Lessee acknowledges and agrees that upon termination of this Lease by the City, Lessee shall have no right to receive, and City shall have no obligation to pay, any relocation benefits or fees. (e) If the Lessee terminates this Lease,either by default pursuant to Section 12(a),or by notice to the City pursuant to Section 12(b), no refund of any rent paid shall be made. (f) Should Lessee fail to timely remove any Lessee improvements as required to be removed by Lessee by this Section, Lessee grants the City the absolute right to keep, convey, destroy or otherwise dispose of the Lessee improvements in any manner the City chooses, and in addition, Lessee agrees to pay any reasonable costs incurred by the City in doing so within ten(10)business days of receipt of the City's statement therefor, as Additional Rent. (g) The provisions of this Section 12 shall survive the termination of this Lease. 13. CONDEMNATION If all or any part of the Premises is subjected to taking under eminent domain law, this Lease shall terminate from the time possession is taken by the condemning entity. Prepaid rentals will be prorated and the unearned rental returned to Lessee. Lessee agrees that it is not entitled to, and hereby disclaims, any award made for such taking, excepting only an award issued solely and expressly to compensate for the taking of tangible personal property owned by Lessee. Lessee acknowledges that Lessee has no interest in any award granted for any loss of the right to use or lease the Premises, and expressly waives any claim Lessee may have to share in such an award. 5 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 14. RIGHT OF RE-ENTRY The City reserves the right to re-enter the Premises at any time during this Lease without extinguishing the Lessee's obligation to pay rent. 15. NOTICES (a) Any notice, election or other correspondence required or permitted pursuant to this Lease shall be deemed to have been properly given when made in writing and effective when delivered personally to the party to whom directed, or when deposited in the United States mail, certified, with all necessary postage or charges fully prepaid, return receipt requested and addressed to the party to whom directed at this Notice Address specified in Section 1 (f) or 1(g). (b) Either party hereto may change its address for the purpose of receiving notices or communications hereunder by furnishing notice thereof to the other party in compliance with this Section. 16. SEVERABILITY Unless otherwise provided, or unless the context shall otherwise require, words importing the singular number shall include the plural number, words importing the masculine shall include the feminine gender, and vice versa. If any provisions of this Lease or any application hereof shall be found to be invalid or unenforceable, for any reason, the remainder of this Lease and any other application of such provision shall not be affected thereby. 17. ENTIRE AGREEMENT This Lease represents the entire agreement between the parties and supersedes all other agreements and representations made prior hereto. No amendment hereof shall be binding on either party unless and until approved in writing by both parties. 18. GOVERNING LAW This Lease shall be governed and construed in accordance with the laws of the State of Missouri. 19. HEADINGS The heading of each section of this Lease is for convenience only and it shall not be deemed a construction of intent of any such section. 20. BINDING EFFECT This Lease shall inure to the benefit of and be binding upon the parties and their heirs, executors, administrators, successors and permitted assigns. 21. INSURANCE 6 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 (a) Lessee and any contractor shall both provide comprehensive general liability insurance in the amount of $1,000,000.00 each occurrence and $3,000,000.00 annual aggregate. The policy shall be endorsed to include the City as an additional insured. Buyer shall require any contractor or subcontractor to provide proof of worker's compensation that meets the requirements of Missouri law. (b) Lessee shall provide to the City a certificate evidencing the insurance required by this Section on the Commencement Date and prior to issuance of a sign permit. (c) It is understood and agreed that Lessee shall cause the insurance policy provided for herein to be so written that the insurance company shall not have recourse against the City, by way of subrogation or otherwise, for any loss covered by or paid or payable under said policy, and that the insurance company shall provide the City with thirty (30) days' notice prior to termination of said policy. Unless otherwise consented to by the City in writing any company issuing the insurance required by this Section shall have a Best's rating of A VII or better. 22. INTERPRETATION This Lease shall be construed and interpreted in accordance with laws of the State of Missouri. This Lease constitutes the entire agreement between the parties with respect to the subject matter hereof. Enforceability,invalidity or illegality of any provision shall not render the other provisions unenforceable, invalid or illegal. 23. RESERVED RIGHTS (a) The City reserves the right to construct, maintain and operate, or to permit to be constructed, maintained and operated by others, any pipe, cable, telegraph, telephone or power transmission line upon,over,across or beneath said Premises; and to enter upon or allow others to enter upon any portion of said Premises to remove earth, sand and gravel therefrom, or for any other purpose. (b) The City reserves the exclusive right to maintain existing signboards on said Premises at any time during the term of this Lease without payment of any sum, whether as consideration or damages, to Lessee. (c) It is specifically agreed that the City may enter upon and use the demised Premises at any time, for the purpose of obtaining ingress to or egress from facilities or other lands the City. 7 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 IN WITNESS WHEREOF,this Lease has been fully executed the day and year first above written. "CITY" "LESSEE" CITY OF RIVERSIDE, MISSOURI KC WFC Training, LLC/ACFC, LLC ,0 By • , A' 4 ' By: Kathleen I,. Rose, Mayor Print Name: , Title: STATE OF MISSOURI ) ) ss. COUNTY OF PLATTE ) I certify that I know or have satisfactory evidence that Kathleen L. Rose, signed this instrument and acknowledged it as the Mayor of the City of Riverside, Missouri to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. � >E3-cam DATE:,,, � �. c,4.!N 1 �ROBIN i NC NOTARY _. �,_ MyCommisabnExpires PUBLIC NOTARY• : :•- March 8,2023 ;"3'•. SEAL, ..�: Clinton County 9� 7 Commission#15390631 My Commission Expires: $'/�02 '� STATE OF KANSAS ) ) ss. COUNTY OF JOHNSON ) I certify that I know or have satisfactory evidence that f/i ,[ s , as 1ori7�CJ Ui f KC WFC Training, LLC/ACFC, LLC signed-thi•lnstrum:j t on behalf of said entity find acidic)wledged it to be the free and voluntary act of said entity for the uses and purposes mentioned in the instrument. le •/ DATE: 0 01,1 2422 r i ar Ail", NO ► Y P !: 7 M, Commi:sion Expires: Q3-N-ZQZ/ = NOTARY PUBLIC-Stare of Kansas STACY RENEE BRICE my Appt.Expires pi-CM•?ON 8 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1 EXHIBIT A Map of Premises TA Yh%E3L' I 87. ° '''- 177:114"11.7 f - r yr ii. Riverside 11 Soccer GO. ' O. r I 1 am" .. ALST II 11111 s s ' 0M1125afre5 - r ! *------ Interstate 635 ,.� _ - _ - - Inter•.tatr 635 ... J ''.a ':" --,. NW ARGOSY CASINO PKWY N I 371 tt ' 1 9 6"="6""KC 18556214.1 """KC 18556214.1 JC 17507962.1