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11/12/1997 Agreement '" }BannA' 1... itolbagt BRANCH OFFICE 3117 OVERSEAS mGHWAY MARA mON, FLORIDA 33050 TEL. (305) 289-6027 FAX (305) 289-1745 CLERK OF THE CIRCUIT COURT MONROE COUN1Y 500 WHITEHEAD STREET KEY WEST, FLORIDA 33040 TEL. (305) 292-3550 FAX (305) 295-3660 BRANCH OFFICE 88820 OVERSEAS mGHW A Y PLANTATION KEY, FLORIDA 33070 TEL. (305) 852-7145 FAX (305) 852-7146 MEMORANDUM TO: James T. Hendrick County Attorney Attention: Jan Hotalin FROM: Ruth Ann Jantzen Deputy Clerk b:o) . DATE: January 28, 1998 At the November 12, 1997 County Commission Meeting, the Board granted approval and authorized execution of a Lease Agreement between Monroe County and Canalis Holding Corporation, for twenty years for a ten foot strip of Second A venue, Mandalay Subdivision, Key Largo. Enclosed please find two fully executed duplicate originals of the above Lease Agreement; one for return to Canalis Holding Corp., and one for your files. If you have any questions regarding the above, please do not hesitate to contact this office. Enclosure cc: Finance County Administrator, w/o document J File 'r;A'/~ MONROE COUNTY OF'F'ICIAL RECORDS -1"\ ..g, r ::.t c ~ ~ ~"'. ~ 8 -;p r") ';:.: :;r:. --0 <f., ~ -:..: r..:> 0 ..?- ,- c1J /J .u (J c-,' '7' THIS LEASE AGREEMENT, made and entered into this'.? t11day of Nb-~~~97~ between the BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORID&~in~er~ referred to as "LESSOR" and CANALIS HOLDING CORP., hereinafter referred to as "LESSif."~ -, C;::) r""' r'\ - yo LESSOR, for and in consideration of the mutual covenants and agreements' hereinafter contained, does hereby lease to said LESSEE the lands described in paragraph 2 below and subject to the following terms and conditions: RCD Nov 06 2001 DANNY L KOLHAGE, LEASE AGREEMENT ~ 09:59AM CLERK FILE #1 265 1 89 BK#1736 PG#1.428 1. TERM The term of this lease shall be for a period of twenty (20) years commencing on ;" 7/'/ 11(7 and ending on /1 / ;;' ("'i / ;: t:')/ '7 , unless sooner terminated purs6ant'to the provisions of this lease, .' I' 2. DESCRIPTION OF PREMISES The property subject to this lease is situated in the County of Monroe, State of Florida, and is more particularly described as the easterly ten feet of Second Avenue, Mandalay Subdivision, Key Largo, Monroe County, Florida, adjacent to Lot 1, Block 4, Plat Book 1-194. 3. PURPOSE This Lease is for the purposes described in Exhibit A which is attached hereto and made a part hereof. 4. CONSIDERATION LESSEE shall pay to LESSOR within ten days of the commencement date and each anniversary thereafter, the sum of $100 per year to be remitted to the Clerk for the Board of County Commissioners, 500 Whitehead Street. Key West. Florida 33040, 5. QUIET ENJOYMENT AND RIGHT OF USE LESSEE shall have the right of ingress and egress to, from and upon the leased premises for all purposes necessary to the full quiet enjoyment by said LESSEE of the rights conveyed herein. 6. UNAUTHORIZED USE LESSEE shall. through its agents and employees, prevent the unauthorized use of the leased premises or any use thereof not in conformance with this lease. No changes or improvements which increase to any degree the existing footprint of buildings on said leased premises or any other improvement, or any addition to any existing landscaping, including plants and rocks, shall be allowed under this lease. 7. ASSIGNMENT/SUBLEASE This lease shall not be assigned or subleased in whole or in part without the prior written consent of LESSOR, Any assignment or sublease made either in whole or in part without the prior written consent of LESSOR shall be void and without legal effect. 8. EASEMENTS This lease is subject to any utility easement existing on said leased premises. Any other easement not approved in writing by LESSOR shall be void and without legal effect, 9. RIGHT OF INSPECTION LESSOR or its duly authorized agents, representatives or employees shall have the right at any and all times during daylight hours to inspect the leased premises and the works and operations of LESSEE in any matter pertaining to this lease. 10. INSURANCE REQUIREMENTS During the term of this lease, LESSEE shall procure and maintain policies of fire, extended risk, and liability insurance coverage. The liability insurance coverage shall be in amounts not less than $100,000.00 per occurrence and $200,000.00 per accident for personal injury, death and property damage on the leased premises. Such policies of insurance shall name LESSOR, Monroe County, and LESSEE as co-insureds. LESSEE shall submit written evidence of having procured all insurance policies required herein prior to the effective PILg #1 265 1 8 9 BK#1_7:36 PG#1429 date of this lease and shall submit annually thereafter written evidence of maintaining such insurance policies to the Clerk of the Board of County Commissioners, Monroe County, Florida, 500 Whitehead Street, Key West, FL 33040. LESSEE shall purchase all policies of insurance from a financially responsible insurer duly authorized to do business in the State of Florida. LESSEE shall be financially responsible for any loss due to failure to obtain adequate insurance coverage, and the failure to maintain such policies or certificates in the amounts set forth shall constitute a breach of this lease. 11. LIABILITY Each party is responsible for all personal injury and property damage attributable to the negligent acts or omissions of that party and the officers, employees and agents thereof. Nothing herein shall be construed as an indemnity or a waiver of sovereign immunity enjoyed by any party hereto, as provided in Section 768.28, Florida Statutes, as amended from time to time, or any other law providing limitations on claims. 12. PAYMENT OF TAXES AND ASSESSMENTS LESSEE shall assume full responsibility for and shall pay all liabilities that accrue to the leased premises or to the improvements thereon, including any and all ad valorem taxes and drainage and special assessments or taxes of every kind and all mechanic I s or materialmen I s liens which may be hereafter lawfully assessed and levied against the leased premises, 13. NO WAIVER OF BREACH The failure of LESSOR to insist in anyone or more instances upon strict performance of anyone or more of the covenants, terms and conditions of this lease shall not be construed as a waiver of such covenants, terms or conditions, but the same shall continue in full force and effect, and no waiver of LESSOR of any of the provisions hereof shall in any event be deemed to have been made unless the waiver is set forth in writing, signed by LESSOR. 14. TIME Time is expressly declared to be of the essence of this lease, 15. UTILITY FEES LESSEE shall be responsible for the payment of all charges for the furnishing of gas, electricity, water and other public utilities to the leased premises and for having all utilities turned off when the leased premises are surrendered. 16. MINERAL RIGHTS This lease does not cover petroleum or petroleum products or minerals and does not give the right to LESSEE to drill for or develop the same, and LESSOR specifically reserves the right to lease the leased premises for purpose of exploring and recovering oil and minerals by whatever means appropriate; provided, however, that LESSEE named herein shall be fully compensated for any and all damages that might result to the leasehold interest of said LESSEE by reason of such exploration and recovery operation, 17. RIGHT OF AUDIT LESSEE shall make available to LESSOR all financial and other records relating to this lease, and LESSOR shall have the right to either audit such records at any reasonable time or require the submittal of an annual independent audit by a Certified Public Accountant during the term of this lease. This right shall be continuous until this lease expires or is terminated. This lease may be terminated by LESSOR should LESSEE fail to allow public access to all documents, papers, letters or other materials made or received in conjunction with this lease, pursuant to the provisions of Chapter 119, Florida Statutes, 18. CONDITION OF PREMISES LESSOR assumes no liability of obligation to LESSEE with reference to the condition of the leased premises. The leased premises herein are leased by LESSOR to LESSEE in an lias is" condition, with LESSOR assuming no responsibility for the care, repair, maintenance or improvement of the leased premises for the benefit of LESSEE. 2 FrL~ #1 265 1 B 9 BK#1_736 PG#1430 19. COMPLIANCE WITH LAWS LESSEE agrees that this lease is contingent upon and subject to LESSEE obtaining all applicable permits and complying with all applicable permits, regulations, ordinances, rules, and laws of the State of Florida or the United States or of any political subdivision or agency of either. 20. NOTICE All notices given under this lease shall be in writing and shall be served by certified mail including, but not limited to, notice of any violation served pursuant to 253.04, Florida Statutes, to the last address of the party to whom notice is to be given, as designated by such party in writing. LESSOR and LESSEE hereby designate their address as follows: LESSOR: County Administrator Public Service Building 5100 College Road, Stock Island Key West. FL 33040 LESSEE: Marty Webb CANALIS HOLDING CORP, 80 East Second Street Key Largo, FL 33037 21. BREACH OF COVENANTS, TERMS OR CONDITIONS Should LESSEE breach any of the covenants, terms or conditions of this lease, LESSOR shall give written notice to LESSEE to remedy such breach within sixty (60) days of such notice. In the event LESSEE fails to remedy the breach to the satisfaction of LESSOR within sixty (60) days of receipt of written notice, LESSOR may either terminate this lease and recover from LESSEE all damages LESSOR may incur by reason of the breach including, but not limited to, the cost of recovering the leased premises and attorneys' fees or maintain this lease in full force and effect and exercise all rights and remedies herein conferred upon LESSOR. 22. DAMAGE TO THE PREMISES (A) LESSEE shall not do, or suffer to be done, in, on or upon the leased premises or as affecting said leased premises or adjacent properties, any act which may result in damage or depreciation of value to the leased premises or adjacent properties, or any part thereof, (B) LESSEE shall not generate, store, produce, place, treat, release or discharge any contaminants, pollutants or pollution, including, but not limited to, hazardous or toxic substances, chemicals or other agents on, into, or from the leased premises or any adjacent lands or waters in any manner not permitted by law. For the purposes of this lease, "hazardous substances" shall mean and include those elements or compounds defined in 42 USC Section 9601 or which are contained in the list of hazardous substances adopted by the United States Environmental Protection Agency (EPA) and the list of toxic pollutants designated by the United States Congress or the EPA or defined by any other federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct concerning any hazardous, toxic or dangerous waste, substance, material. pollutant or contaminant. "Pollutants" and "pollution" shall mean those products or substances defined in Florida Statutes, Chapter 376 and Chapter 403, and the rules promulgated thereunder, all as amended or updated from time to time. In the event of LESSEE's failure to comply with this paragraph, LESSEE shall, at its sole cost and expense, promptly commence and diligently pursue any legally required closure. investigation, assessment. cleanup, decontamination, remediation, restoration and monitoring of (1) the leased premises, and (2) all off-site ground and surface waters and lands affected by LESSEE's such failure to comply, as may be necessary to bring the leased premises and affected off-site waters and lands into full compliance with all applicable federal. state, or local statutes, laws, ordinances, codes, rules, regulations. orders, and decrees, and to restore the damaged property to the condition existing immediately prior to the occurrence which caused the damage. LESSEE's obligations set forth in this paragraph shall survive the termination of expiration of this lease, This paragraph shall not be construed as a limitation upon LESSEE's obligations regarding indemnification and payment of costs and fees as set forth in paragraph 12 of this lease, nor upon any other obligations or responsibilities of LESSEE 3 ~rL~ #1 265 1 89 BK#1736 PG#1431 as set froth herein. Nothing herein shall relieve LESSEE of any responsibility or liability prescribed by law for fines, penalties and damages levied by governmental agencies, and the cost of cleaning up any contamination caused directly or indirectly by LESSEE's activities or facilities. Upon discovery of a release of a hazardous substance or pollutant, or any other violation of local. state, or federal law, ordinance, code, rule, regulation, order or decree relating to the generation, storage. production, placement. treatment. release or discharge of any contaminant. LESSEE shall report such violation to all applicable governmental agencies having jurisdiction, and to LESSOR, all within the reporting period of the applicable agency. (C) Should the buildings which extend onto the leased premises be substantially damaged for any reason and cannot be repaired but must. pursuant to law, be removed and replaced by structure(s) meeting laws in existence at the time of such occurrence, this lease shall be automatically terminated. 23. SURRENDER OF PREMISES Upon termination or expiration of this lease. LESSEE shall surrender the leased premises to LESSOR. In the event no further use of the leased premises or any part thereof is needed. LESSEE shall give written notification to LESSOR at least six (6) months prior to the release of any or all of the leased premises. Notification shall include a legal description and an explanation of the release. The release shall only be valid if approved by LESSOR through the execution of a release of lease instrument with the same formality as this lease. Prior to surrender of all or any part of the leased premises, a representative of the Division of State Lands shall perform an on-site inspection. If the leased premises violate conditions set forth in paragraph 6 herein. LESSEE shall pay all costs necessary to remove any unauthorized improvements or changes. 24. PROHIBITIONS AGAINST LIENS OR OTHER ENCUMBRANCES Fee title to the leased premises is held by LESSOR. LESSEE shall not do or permit anything to be done which purports to create a lien or encumbrance of any nature against the real property contained in the leased premises including, but not limited to, mortgages or construction liens against the leased premises or against any interest of LESSOR therein. 25. PARTIAL INVALIDITY If any term, covenant. condition or provision of this lease shall be ruled by a court of competent jurisdiction, to be invalid, void, or unenforceable, the remainder shall remain in full force and effect and shall in no way be affected, impaired or invalidated. 26. ARCHAEOLOGICAL AND HISTORIC SITES Execution of this lease in no way affects any of the parties' obligations pursuant to Chapter 267, Florida Statutes. The collection of artifacts or the disturbance of archaeological and historic sites on state-owned lands is prohibited unless prior authorization has been obtained from the Department of State, Division of Historical Resources. 27. SOVEREIGNTY SUBMERGED LANDS This lease does not authorize the use of any lands located waterward of the mean or ordinary high water line of any lake, river, stream, creek, bay, estuary, or other water body or the waters or the air space thereabove, 28. DUPLICATE ORIGINALS This lease is executed in duplicate originals each of which shall be considered an original for all purposes. 29. ENTIRE UNDERSTANDING This lease sets forth the entire understanding between the parties and shall only be amended with the prior written approval of LESSOR, 30. MAINTENANCE OF IMPROVEMENTS LESSEE shall maintain the real property contained within the leased premise in a state of good condition including. but not limited to, keeping the leased premises free of trash or litter and meeting all building and safety codes in the location situated, 4 PILE #1 265 1 89 BK#1736 PG#1432 31. GOVERNING LAW This lease shall be governed by and interpreted according to the laws of the State of Florida. 32. SECTION CAPTIONS Articles. subsections and other captions contained in this lease are for reference purposes only. and are in no way intended to describe. interpret. define or limit the e, extent or intent of this lease or any provisions thereof. ",,'OUJV"'.. "" . .p ~. /"> .. ESS WHEREOF. the parties hereto have caused this lease to be executed on the day and d<i ~ st above written. ~-, . BOARD OF COUNTY COMMISSIONERS OF ~UNT:!' FLORID~ , '1}~~~ ~ ~~. ~~~ -- ~- / )/ Mayor/Chairman ' , / .I' / ~ By 1?LTrQ ~~~~.OM. Depu Cler ~ CANALIS HOLDING CORP. By -~ W~ll , ~L.~ Marty bb, President jleaseseasement 5 O~~Y~2~~E (30S) 294-4641 BOARD OF COUNTY COMMISSIONERS MAYOR George Neugent, District 2 Mayor Pro tern Nora Williams, District 4 Charles McCoy, District 3 Murray E. Nelson, District 5 Dixie M, Spehar, District 1 Office of the County Attorney PO Box 1026 Key West, FL 33041-1026 305/292-3470 - Phone 305/292-3516 - Fax FILg #1 265 1 8 9 BK#J.736 PG#1433 August 21, 2001 Gretchen Coral Reef Title Company Via Fax: 1/305/451-0994 Re: Canalis Holding Corp. (Mandalay) Dear Gretchen: I am faxing to you page 1 of the Lease Agreement dated November 12, 1997, with a portion of paragraph #3 deleted. I have initialed the deletion as no exhibit was ever made part of the agreement. Also, I am faxing two pages from the County Commission's November 12, 1996 meeting minutes and a letter dated August 22, 1996. The letter initiated an attempt to purchase the ten foot wide strip of land, but the Commission determined that a twenty year lease would be more appropriate. I hope these items assist you in completing your transaction. SlnCe~eIY, d /)~ ~utton Assistant County Attorney SAH/ss Ene. cc: Marty Webb MONRO!!: COUNTY OFFICIAL RECORDS