12/15/1987
LEASE AGREEMENT
THIS LEASE, entered into on the ~~ day of
~~b.~ 1987, by and between the BOARD OF COUNTY
COMMISSIONERS, MONROE COUNTY, FLORIDA (Lessor) and CHICKLETS ON
THE BEACH, INC., a Florida corporation, 210-A Key West By The
Sea, South Roosevelt Blvd., Key West, Florida (Lessee), which
expression shall include the heirs, executors, administrators and
assigns of the Lessee when this context so admits. This lease
evidences the grants, covenants and agreements made between the
parties with reference to the following described premises:
The Food and Beach Concession known as Driftwood
Restaurant at Clarence S. Higgs Memorial Beach
including exclusive use of all existing facilities,
restaurant, bath house, and storage areas, to have the
exclusive right to provide and maintain a full service
concession, such as to furnish food and beach conces-
sion at Clarence S. Higgs Memorial Beach and maintain
all equipment necessary for the operation of these
facilities, and the exclusive right to furnish beach
and recreational equipment for public use (except for
those services and equipment provided on Higgs Beach by
Sunset Watersports and Tropical Sailboats) and the
privilege to operate a bath house.
This lease has been reviewed and approved by the County
Administrator as described and directed by the Board of County
Commissioners at their regularly scheduled meeting held at Key
West, Florida, on the 17th of November, 1987, after the proposals
had been duly opened before said Board and was selected by the
Board as the most advantageous for the County and was in confor-
mance with the solicitation for offers made by the County Admin-
istration.
Pertinent parts of this lease agreemept are as follows:
1. The Lessor hereby grants to the operator the exclusive
right and privilege of operating and maintaining a full service
food 'and beach concession and the exclusive right and privilege
of operating and maintaining a bath house at the Clarence S.
Higgs Memorial Beach (formerly known as Monroe County Beach), Key
West, Florida, for a term of five (5) years, said restaurant and
bath house to be located at the concrete building now situated
upon said beach and known as the "Driftwood Restaurant".
2. That the Lessee, in consideration of the foregoing
rights and privileges, does hereby covenant with the Lessor to
pay a rental of $1,350 per month or 10% of the gross revenue,
whichever is greater, in the following manner:
The first month's rent shall be paid in advance on the first
day of December, A.D., 1987, and each and every month thereafter,
rent being payable in advance during the term of this lease. In
addition to the foregoing rental payments, the Lessee covenants
and agrees with the Lessor to pay State taxes, if any, and all
other charges including but not limited to sewer, garbage,
electric and water incurred at said beach restaurant, which shall
be a result of the operation of the facilities granted under this
lease. The Lessee reserves to itself the right to terminate this
lease for non-payment of rent by the Lessor for a period of
fifteen (15) days or more, after written notice of said default.
Lessee agrees to provide a clear financial audit trail to
allow for full accountability of the total gross revenues re-
ceived from operation of said full service food and beach conces-
sion. Certified monthly financial reports will be made available
to the Board of County Commissioners of Monroe County, Florida.
The monthly financial report is due in the office of the Clerk of
the Board of County Commissioners of Monroe County, Florida, no
later than the 15th day of the following month.
3. In connection with the above demised properties, the
Lessor covenants with the Lessee that conditioned on Lessee's
performance and observance of Lessee's covenants herein, Lessee
shall have the quiet title and peaceable possession of the
premises during the term of this lease.
4. Lessee further covenants and agrees as follows:
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(a) To keep open such lunch
daily, including holidays and Sundays,
10:00 P.M.
stand and ba th
from 10: 00 A.M.
house
until
(b) All disposable items must be sold at prices compa-
rable with other like concessions and not to sell any beer, wine,
or liquors at said concession.
(c) To furnish the necessary equipment, furnishings
and fixtures needed to operate the aforesaid lunch stand and bath
house facilities in said pavilion. All movable equipment and
furnishings shall remain the property of said operator and may be
removed from the premises by said operator at the termination of
this lease agreement. If operator fails to remove said movable
equipment or furnishings within five (5) days after termination
of this lease, said items shall then become the property of the
Lessor.
(d) That Lessee's records concerning the gross reve-
nues shall be made available to the Lessor for audit purposes at
any reasonable time upon request.
(e) Lessee shall maintain a County Occupation License
during the period of this lease.
(f) Lessee agrees to keep the leased premises in a
safe, clean, and well-maintained order at no expense to the
Lessor. This provision is to be monitored by the Director of
Public Works or his representative.
(g) Lessee agrees to operate his business in a busi-
ness-like manner.
5. It is agreed by the parties hereto that Lessee will not
sell, sublease or assign this lease agreement, except with the
written consent of the Lessor.
6. It is hereby covenanted, stipulated and agreed by and
between the parties hereto that there shall, during the said
demised term, be no mechanic's liens upon the beach pavilion or
improvements which may at any time be put upon or be upon said
demised property by the Lessee and that in case of any such
mechanic's liens the Lessee must payoff the same; and that if
default in payment thereof shall continue for thirty (30) days
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after written notice, said Lessor shall have the right and
privilege, at its option, to payoff the same or any portion of
the same, and the amount so paid, including expenses, shall, at
the option of the said Lessor, be so much additional rent due
from said Lessee at the next rent due after such payment, with
interest thereon at the rate of eighteen percent (18%) per annum.
7. It is expressly covenanted between the parties hereto
that the Lessee will not use, suffer nor permit any person to use
in any manner whatsoever the said demised property, nor any
portion thereof, for purposes calculated to injure the reputation
of the premises or of the neighboring property, nor for any
purpose or use in violation of the laws of the United States, or
of the State of Florida, or of the ordinances of the City of Key
West, or Monroe County, Florida, and that the Lessee will keep
and save the Lessor forever harmless from any penalty or damage
or charges imposed for any violation of any said laws, whether
occasioned by neglect of Lessee, and that said Lessee will
indemnify and save and keep harmless the Lessor against and from
any loss, cost, damage and expense arising out of any accident or
other occurrence, causing injury to any person or property
whomsoever or whatsoever, and due directly or indirectly to the
use of the premises, or any part thereof, by the Lessee.
8. It is further agreed that in no case shall the Lessor
herein be liable, under any express or implied covenants in this
lease agreement, for any damages whatsoever to the Lessee beyond
the rent reserved by this lease agreement accruing, for the act,
or breach of covenant, for which damages may be sought to be
recovered against said Lessor, and that in the event said Lessee
shall be ousted from the possession of said property by reason of
any defect in the title of said Lessor or said Lessor's authority
to make this lease agreement, said Lessee shall not be required
to pay any rent under this lease agreement while he is so de-
prived of the possession of said property, and that said Lessor
shall not incur any liability by such ouster.
9. It is further mutually covenanted and agreed between
the parties hereto that no waiver of a breach of any of the
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. . ... ..
covenants of this lease agreement shall be construed to be a
waiver of any succeeding breach of the same covenant.
10. The Lessee hereby covenants and agrees that he, his
agents, employees, or otherwise shall observe and obey all lawful
rules and regulations which may from time to time during the term
hereby be promulgated and enforced by the Lessor at said beach.
11. The Lessor reserves the right hereunder to enter upon
the premises at any reasonable time during normal working hours
for the purpose of inspecting said premises, and the Lessee
hereby agrees to keep the premises at all times in a clean and
sanitary condition, and not to maintain or keep upon said prem-
ises any properties or equipment not used in connection with the
operation of said business, unless authorized by the Lessor to do
so.
12. The Lessee agrees not to make any major alterations to
the building located on said premises, without first obtaining
written consent of the Lessor to do so which will not be unrea-
sonably withheld, to be based on plans approved by the Director
of Public Works.
13. Lessee agrees fully to indemnify and save and hold
harmless the Lessor from and against all claims and actions and
all expenses incidental to the investigation and defense thereof;
based upon or arising out of damages or injuries to third persons
or their property, caused by the negligence of Lessee, its agents
or employees, in the use or occupancy of the said leased prem-
ises, and all activities connected therewith. The Lessee shall
not be liable for any injury or damage or loss occasioned by the
negligence of Lessor, its agents or employees; and provided
further that Lessor shall give to Lessee prompt and reasonable
notice of any such claims or actions and Lessee shall have the
right to investigate, compromise and defend the same.
Lessee agrees to carry and keep in force such insurance
with a minimum combined limit of liability for bodily injury and
property damage of no less than $300,000. The Lessor shall be
named an additional insured and will be furnished with a Certifi-
cate in evidence of the insurance providing for no less than
5
thirty (30) days notice in the event of material change or
cancellation. Lessee shall carry this insurance coverage with an
insurance company authorized to do business in the State of
Florida.
IN WITNESS WHEREOF, the parties hereto have caused these
presents to be executed as of the day and year first above
written.
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
B ~~4~~/ ~
Y M yor / 1 an .
(SEAL)
."...,....
CHICKLETS ON THE BEACH, INC.
(SEAL)
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