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Item D48 D48 BOARD OF COUNTY COMMISSIONERS COUNTY of MONROE �� i Mayor Holly Merrill Raschein,District 5 The Florida Keys Mayor Pro Tern James K.Scholl,District 3 Craig Cates,District 1 Michelle Lincoln,District 2 ' David Rice,District 4 Board of County Commissioners Meeting September 11, 2024 Agenda Item Number: D48 2023-2968 BULK ITEM: Yes DEPARTMENT: Tourist Development Council TIME APPROXIMATE: STAFF CONTACT: Maxine Pacini 305-296-1552 N/A AGENDA ITEM WORDING: Approval of an Addendum to Agreement with C.B. Schmitt Real Estate Co., Inc. to remove additional office and parking space from previous addendum. The lease for the original office and parking space for the Monroe County Tourist Development Council administrative office will continue. ITEM BACKGROUND: The BOCC approved an addendum at their May meeting to extend the lease agreement for the TDC office and to provide additional office and parking space. This addendum removes the additional office and parking space as the additional space is no longer required. PREVIOUS RELEVANT BOCC ACTION: BOCC approved original lease Agreement at their meeting of December 9, 1998 and Amendments to Agreement at their meetings of November 19, 2003, December 17, 2008, September 18, 2013, April 17, 2019 and May 15, 2024. INSURANCE REQUIRED: No CONTRACT/AGREEMENT CHANGES: Addendum to Agreement to remove additional office space STAFF RECOMMENDATION: Approval DOCUMENTATION: Revised signed by all parties.pdf FINANCIAL IMPACT: 116-76007-SC_00050 $10,880/month plus 48% of yearly property tax No Insurance Required ADDENDUM TO AGREEMENT THIS ADDENDUM to Lease Agreement is made and entered into this _ day of , 2024 by and between C.B. SCHMITT REAL ESTATE CO. Inc. (hereinafter "Lessor), a corporation incorporated in the State of Florida, whose address is 1201 White Street, Suite B, Key West, Florida 33040 and MONROE COUNTY (hereinafter "Lessee"), a political subdivision of the State of Florida, whose address is 1100 Simonton Street, Key West, Florida 33040. WITNESSETH WHEREAS, there was an Agreement entered into on December 9, 1998, between the parties, to provide office and parking space for the Monroe County Tourist Development Council (hereinafter"TDC") administrative offices; and WHEREAS, the original agreement provided an option to extend the lease agreement for two (2) additional five-year(5)terms; and WHEREAS, there was an Addendum to Agreement entered into on November 19, 2003 to exercise one(1) of the additional five-year(5)terms; and WHEREAS, there was an Addendum to Agreement entered into on December 17, 2008 to exercise the second (2 nd) additional five-year(5)term; and WHEREAS, there was an Addendum to Agreement entered into an September 17th 2013 to extend Agreement through September 30, 2019 with an option to extend for an additional five (5) year period with the rent to be re-negotiated at fair market rent in effect at that time; and WHEREAS, there was an Addendum to Agreement entered into on April 17 th, 2019 to extend Agreement through September 30, 2024 with an option to extend for an additional five (5) year period with the rent to be re-negotiated at fair market rent in effect at that time; and WHEREAS, there was an Addendum to Agreement entered into on May 15, 2024 to extend the termination of agreement until September 30, 2029 and provide for additional office space of approximately 1415 sq. ft. in the adjoining office space and additional parking space commencing October 1, 2024 with all improvement necessary to be completed by Landlord's contractor and reimbursed by the TDC; and WHEREAS, the additional office space and parking space is no longer required, this portion of the agreement is revised to remove the additional office space and parking space; and WHEREAS, the Lessee continues to require original office and parking space for the TDC administrative office; NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree to hereby amend the agreement entered into on December 9, 1998 and amended on November 19, 2003; December 17, 2008; September 17ti", 2013 and April 171, 2019, and May 15, 2024 as follows: 2024 TDC Office Lease 2m Amendment to Agreement I 1. Paragraph 1. PROPERTY shall be revised to delete the following: Commencing on October 1, 2024, the LESSOR, leases exclusively to the LESSEE an additional office space of approximately 1415 sq. ft. as noted as"additional TDC space" as shown on Site Plan-Exhibit C and the entire back parking lot(8 parking spots). 2. Paragraph 4 RENT. shall be revised to read as follows: 4. RENT. For the use of the premises, the Lessee must pay the Lessor the sum of $10,880 per month (October 1, 2024 through to September 30, 2029) due in monthly installments on the first day of each month. The monthly payments shall be remitted to C.B. Schmitt Real Estate Co., Inc. 1201 White Street, Suite B, Key West, FL 33040 upon receipt of a monthly invoice. Monroe County's performance and obligation to pay under this lease agreement is contingent upon annual appropriation by the Monroe County Board of County Commissioners. Additionally, Lessee shall pay Lessor, upon receipt of an invoice and proof of Lessor's payment of property taxes, 48% of the property taxes for 1201 White Street. The Lessor shall submit to Lessee by September 1st of each year a copy of the proposed annual property tax assessment, in order for the amount of payment in the succeeding fiscal year to be established in the budget. 3. Paragraph 7. CONDITION OF PREMISES. shall be revised to delete the following: The additional office space of approximately 1415 sq. ft. will be built out and renovated by Lessor's contractor(s) of choice. The build out and renovation will include but not be limited to adding an interior entrance, new flooring/carpeting, and painting. The estimated cost for the build out and renovation is approximately $50,000.The Lessee will reimburse the Lessor for the completed build out and renovation upon presenting proof of payment/paid invoice to the LESSOR's contractor. 4. The remaining provisions of the contract dated December 9, 1998, and amended November 19, 2003; December 17, 2008; September 17"', 2013, and April 1r, 2019, May 15, 2024, not inconsistent herewith shall remain in full force and effect. (SEAL) Attest: Kevin Madok, Clerk Board of County Commissioners of Monroe County By: By: Deputy Clerk Mayor/Chairman Lessor, C.B. Schmitt Real Estate Co., In By: ,w y. Mness Pr sident Printed Name: Third Party 06 North Roosevelt Blvd. Corp By: Vice Proftent 2024 TDC Office Lease 2"d Amendment to Agreement 2