Item O3BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: _April
17, 2013
Division:
_County
Administrator
Bulk Item: Yes —
No X
Department:
_County
Administrator
Staff Contact /Phone #: Roman Gastesi/292-4441
AGENDA ITEM WORDING:
Discussion and direction regarding the Hickory House proposal.
ITEM BACKGROUND: At the 10/17/12 BOCC meeting directions were given to the County
Administrator to enter into negotiations with the proposers of the second proposal, provided by Mr.
Richard Buckheim; to work on eliminating the ability of the proposer to opt out of the contract after
one (1) year; to investigate the option of the right of first refusal for the County; to renegotiate the
rental fees; and any other issues that are in the best interest of the County.
PREVIOUS RELEVANT BOCC ACTION: In August 2006, the County purchased the property
located a 5948 Peninsula Avenue, Stock Island, Florida. A bid from King's Pointe Marina LLC (KPM)
was initially accepted, and then canceled in August 27, 2008. Susequent RFPs were rejected by the
BOCC on August 19, 2009, November 19, 2009, October 20, 2010, and September 21, 2011. At the
October 17, 2012 the BOCC accepted the proposal from Richard Buckheim but with certain
restrictions and directions to negotiate into the contract..
CONTRACT/AGREEMENT CHANGES: N/A
STAFF RECOMMENDATIONS: N/A
TOTAL COST: discussion item INDIRECT COST: BUDGETED: Yes No
DIFFERENTIAL OF LOCAL PREFERENCE:
COST TO COUNTY:
SOURCE OF FUNDS:
REVENUE PRODUCING: Yes _ No AMOUNT PER MONTH Year
APPROVED BY: County Atty GeMB/Purchasing Risk Management
DOCUMENTATION: Included
DISPOSITION:
Revised 7/09
Not Required
AGENDA ITEM #
COMMERCIAL REAL ESTATE LEASE AND OPTION TO PURCHASE
COMMERCIAL REAL ESTATE LEASE and OPTION TO PURCHASE entered into
this day of , 2013, by and between MONROE COUNTY, FLORIDA,
(hereafter the "Landlord") and RICHARD BUCKHEIM, (hereafter "the Tenant").
RECITALS:
Whereas, the Landlord owns the following described real property located in Monroe
County, Florida, together with all improvements located thereon, to wit:
(hereafter "the Premises"); and
Whereas, the Landlord and Tenant desire to enter into a lease with an option to purchase;
Now, therefore, in consideration of the premises, and other good and valuable
consideration, the parties do further agree as follows:
Landlord shall lease to Tenant and Tenant shall lease from Landlord the Premises on the
following terms and conditions.
TERM: The Lease term shall be for 36 months commencing 20 days after the
effective date of this Lease.
RENT: Tenant shall pay Landlord the sum of $3,000 per month, beginning on the
effective date of this Lease, and on the same day each and every month during the term of this
Lease.
UTILITIES: Tenant shall arrange, pay, and be responsible for all utilities, including
electricity, garbage, cable, telephone, water, etc.
ACCEPTANCE OF PREMISES: Tenant shall have 45 days in which to perform
inspections of the property and to cancel the Lease and Option if in the Tenant's sole discretion
the condition of the Premises is not acceptable. If Tenant elects to take possession of the
Premises, Tenant shall be deemed to accept the Property in its present condition without any
warranties or representation.
REPAIRS: The Premises are being leased in an "AS IS" condition without any
representations regarding the condition of the Premises or improvements. Neither the Landlord
nor the Tenant shall be responsible or obligated to make any repairs to the property. In the event
that any repairs or improvements exceed Tenant's budget, then Tenant's sole and exclusive
remedy shall be to cancel the lease as set forth herein.
INSURANCE: Tenant shall purchase and maintain commercial general liability
insurance on the Subject Property, insuring against liability for injury to persons or property
occurring on or about the Subject Property or arising out of the ownership, maintenance, use or
occupancy of the Premises in the amount of $500,000. Tenant shall furnish Landlord with a
Certificate of Insurance evidencing the insurance coverage required.
ASSIGNMENT: This Lease may not be assigned without Landlord's written
consent, which shall not be unreasonably withheld.
REAL ESTATE TAXES: Landlord shall timely pay or cause to be paid when due the
real estate taxes for the Premises each year throughout the Lease term.
OTHER TAXES: Tenant shall timely pay or cause to be paid when due all personal
property, sales, use and other taxes, now or hereafter imposed on the lease or use of the
Premises, whether the same are assessed against the Landlords or the Tenant.
OPTION TO PURCHASE: Landlord grants Tenant the right to purchase the Premises
on the following terms and conditions: a) Tenant shall notify Landlord in writing of its intent to
purchase the property; b) Upon receipt of the notice, Landlord shall select an appraiser to
determine the market value of the property and improvements and furnish a copy of the appraisal
to Tenant; c) Tenant shall have 45 days from receipt of the appraisal to notify the Landlord if it
accepts or rejects the appraised value of the property; d) If Tenant accepts the appraised value
price the closing shall take place within 60 days; e) If Tenant rejects the appraised value, Tenant
may continue to occupy the Premises as a Tenant for the remainder of the Term. (f) In any event,
the purchase price shall not be less than $1,000,000.00.
DEFAULT BY TENANT: Tenant shall have thirty days (30) days after receipt of
written notice to cure any defaults. The time frame to cure for non -monetary defaults may be
extended provided Tenant is using reasonable efforts to cure.
NOTICES: All notices or other communications shall be in writing signed by the
sender, and shall either be (a) personally delivered or (b) mailed by certified mail, at or to the
following addresses:
LANDLORD: TENANT:
Richard Buckheim
900 Johnson Street
Key West, FL 33040
2
SUCCESSORS AND ASSIGNS: This Lease shall inure to the benefit of and be
binding upon the heirs, estates, executors, administrators, receivers, custodians, successors and
assigns of the respective parties.
AMENDMENTS: This Lease contains the entire agreement of the parties. No
amendments may be made to this Lease except by an agreement in writing executed by all of the
parties.
MISCELLANEOUS: The following provisions are additional terms of this Lease:
1) The captions of the sections of this Lease are inserted for convenience only and
shall not be used in the interpretation or construction of any provisions of this Lease.
2) If any provision of this Lease is held invalid or unenforceable, the holding shall
affect only the provision in question and that provision in other circumstances, and all other
provisions of this Lease, shall remain in full force and effect.
3) This Lease shall be construed according to Florida Law.
Signed this _day of , 2013
Landlord
1:3
Tenant