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HomeMy WebLinkAboutAgenda - 01-17-1995 - IX-D t 1 ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No. SSA-D ACTION AGENDA ITEM ABSTRACT Meeting Date:January 17, 1995 SUBJECT: Exercise of Option to Renew Lease at Chapel Hill Senior Center DEPARTMENT:PURCHASING AND CENTRAL SERVICES PUBLIC HEARING:YES: NO: x ATTACHMENT(S): INFORMATION CONTACT: PAM JONES, ext.2650 or Lease renewal Jerry Passmore,ext.2000 Telephone Number- Hillsborough 732-8181 Chapel Hill 967-9251 Mebane 227-2031 Durham 688-7331 PURPOSE: To consider exercising the option to renew the lease for the Chapel Hill Senior Center on Elliott Road,Chapel Hill. BACKGROUND: In 1991 the Commissioner's approved a lease with Elliott Center Investors in which to locate the Chapel Hill Senior Center.The Center represented a creative mix of County and private funding, since the Friends of the Chapel Hill Senior Center were to be responsible for a portion of the lease costs (1995 cost:$27,180) , upfit costs(approximately$200,000 to date) and operating costs(such as,but not limited to,utilities and cleaning services). The leased premises includes approximately 9,000 square feet on a lower level and approximately 2,200 square feet of unfinished space on a mezzanine level over the rear portion of the Center. The Friends are prepared to proceed with the upfit of the mezzanine in order to allow offices to be relocated,thereby freeing up space on the lower floor to accommodate program growth. The Friends anticipate that the mezzanine upfit will cost approximately$32,000. Since there is less than 18 months left on the existing lease,the Friends have requested that the County exercise their option to renew the lease prior to the Friends investment of time and money on the mezzanine upfit. The lease approved by the Board in 1991 specifies that the County shall have the option to renew the lease for one additional five-year period under the same terms and conditions,except that the rent schedule shall be modified to reflect a 5%per year increase from the basic rent amount for lease year five. Under those temps the lease amounts for July 1, 1996 through June 30,2001 would be as follows: July 1, 1996 July 1,1997 July 1, 1998 July 1, 1999 July 1,2000 County share $62,471 $65,595 $68,875 $72,319 $75,935 Friends share $30,008 $31,508 $33,083 $34,737 $36,474 Totals $92,479 $97,104 $101,959 $107,057 $112,410 The participant contacts at the Chapel Hill Senior Center since 1991 have be 1991-92 9,365 1992-93 27,502 1993-94 41,254 Currently,the Chapel HHIIISenior Center has more participation than the other three Senior Centers combined. Further,over 1,700 persons have contributed to the Friends of the Chapel Hill Senior Center organization, with their annual membership drive averaging aapprobmately900 members. RECOMMENDATION: The Manager recommends that the Board approve the fire-year renewal;and authorize the Chair to sign on behalf of the Board. 3 STATE OF NORTH CAROLINA EXERCISE OF LEASE OPTION COUNTY OF ORANGE Under the terms of a lease dated May 6. 1991,between Elliott Center Investors and the County of Orange, pursuant to section 1.5 of the attached lease(exhibit A),the County chooses to exercise the second five- year option for the leased premises;said option to commence on July 1, 1996 and shall end on June 30, 2001. Section 2.1 (a) RENT,is hereby deleted and the following language is inserted: (a) RENT: The annual rent during the term of this lease shall be as shown below. Rent shall be payable by Tenant in equal monthly installments as shown below on or before the first day of each month in advance,and without any deduction or set-off whatsoever. July 1, 1996 through June 30, 1997: Area 1 -$62,471 Area 2-$30,008 July 1, 1997 through June 30, 1998: Area 1 -$85,595 Area 2-$31,508 July 1, 1998 through June 30, 1999: Area 1 =$88,875 Area 2.$33,083 July 1, 1999 through June 30,•2000: Area 1 =$72,319 Area 2.534,737 July 1,2000 through June 30,2001: Area 1 s$75,935 Area 2-$36,474 All other terms and conditions of lease shall remain the same. IN WITNESS THEREOF,the Exercise of Option of the lease has been duly executed by the parties as of the 17th day of January, 1995. LANDLORD: Elk#Center Investors WITNESS: W. General Partner TENANT: Orange County Moses Carey,Jr.,Chair WITNESS: Beverly A. Blythe, Clerk to the Board NORTH CAROLINA 4 ORANGE COUNTY I, ,a Notary Public for said County and State,do hereby codify that ,a general partner in Elliott Center Investors, personally appeared before me this day and acknowledged the due execution of the foregoing instrument. Witness my hand and official seal,this the day of . 1996. Notary Public My commission expires: NORTH CAROLINA ORANGE COUNTY I, ,a Notary Public for said County and State,do hereby certify that Beverly A.Blythe personally came before me this day and acknowledged that she is Clerk to the Board of Commissioners of Orange County,and that by authority duly given and as the act of Orange County,the foregoing instrument was signed in its name by Moses Carey,Jr.,Chair,sealed with its official seal,and attested by herself as its Clerk. Witness my hand and official seal,this the day of , 1995. Notary Public My commission expires: