Contract - 06-28-2016 - 80832 - Third Addendum to Lease Agreement: Office of Public Defense @ 1801, 1st Avenue, Longivew, WA.AS -8083
BOCC Agenda
Motion Items 110
Meeting Date: 06/28/2016
Third Addendum to Lease Agreement: Office of Public Defense @ 1801 1 st Avenue, Longview, WA
Submitted For: Claire Hauge, Office of Financial Management
Submitted By: Claire Hauge, Office of Financial Management
Department: Office of Financial Management
Information
Subject and Summary Statement
Cowlitz County's lease for office space on the first floor of property located at 1801 1st Avenue,
Longview, WA currently occupied by the Office of Public Defense, expires on June 30, 2016. The County
has the option to extend and owners of the property have agreed to extend the term of the lease for an
additional two years, with the extended term expiring on June 30, 2018 unless earlier terminated by the
County with at least 90 days' notice.
The terms of the existing lease will carry forward to the extended term. Current rent is $5,745.60 /month
68,946/year). Rent for the period July 1, 2016 through June 30, 2017 will be increased by the 2015
Annual Average Consumer Price Index, Portland -Salem All Urban Consumers (CPI -U), 1982 -84 = 100;
increase estimated to be 1.2% ($68.95 /month; total annual rent of $69,774.57).
The rent for the period July 1, 2017 through June 30 2018 will be increased by the 2016 Annual Average
Consumer Price Index, Portland -Salem All Urban Consumers CPI -U), 1982 -84 = 100.
Will Staff Attend Y / N
Yes
Department Recommendation
Staff recommends the Board of Commissioners execute the attached Third Addendum to Lease
Agreement for office space in River Suites Condominiums located at 1801 1 st Avenue, Longview, WA
for the Office of Public Defense extending the term of the lease through June 30, 2018 and providing for
rent for the new term.
Fiscal Impact
Expenditure Required $: $69,774.57
Budget Sufficient Y -N: Yes
Amendment Required Y -N: No
Source of Funds - Fund /Dept.: 001 -126
Grant Y -N: N/A
Attachments
3rd Addendum River Suites Lease
2nd Addendum River Suites Lease
1 st Addendum River Suites Lease
River Suites Lease - 2008 -2011
Inbox
Office of Public Defense
Matt Hanson
Dana Gigler
Office of Public Defense
Clerk of the Board
Form Started By: Claire Hauge
Final Approval Date: 06/2412016
Form Review
Reviewed By Date
Tiffany Ostreim 06/23/2016 10:16 AM
Matt Hanson 06/23/2016 03:14 PM
Dana Gigler 06/23/2016 03:21 PM
Tiffany Ostreim 06/24/2016 08:57 AM
Tiffany Ostreim 06/24/2016 08:57 AM
Started On: 06120/2016 02:15 PM
THIRD ADDENDUM TO LEASE AGREEMENT
This Addendum shall be attached to and made a part of the lease agreement between Patrick C.
Maginn, Cheryl A. Maginn, Stanley Myers, Kathleen Myers, Patrick Lassen and Natalie Lassen
Landlord ") and Cowlitz County ( "Tenant "), dated June 17, 2008, previously amended on May 17,
2011 and June 10, 2014.
WHEREAS, Tenant wishes to exercise its option to renew for a period of twenty -four (24)
months and Landlord has agreed to extend the term of the lease.
NOW, THEREFORE, the parties agree that paragraphs 4, 5 and 26 should be amended as
follows:
4. Term. This lease shall be for a term of eight ten Ll 0 years, commencing July 1,
2008 and ending June 30, 2962018. PROVIDED that Tenant shall have the right to
terminate this lease for the period commencing july 1, 2015 through june 30, 2016-,-with
or without cause, by first providing Landlord with advance written notice at least ninety
90) days prior to the start of said term. Landlords' acceptance of rent for a period after
the end of the term hereof shall not extend the term, but shall simply evidence a month -
to -month tenancy unless the Tenant exercises its option to renew as described in
paragraph 26.
5. Rental. During the first year of the lease term, Tenant shall pay Landlord, at
Landlord's address set forth in paragraph 21 or at such other place as Landlord may
designate in writing, monthly rent in the sum of Five Thousand Two Hundred Dollars
5,200.00), due and payable on the first of each and every month. The rental rate has
been established by the parties on the basis of $1.30 per square foot on an agreed net
usable rental area of 4,000 square feet. The rent shall be considered late if not received
by the fifth of each month, and shall be delinquent if not paid by the tenth of the month.
A late fee shall be assessed and paid of $25.00 for the first late day (the sixth of the
month), plus $5.00 for each day late thereafter.
Effective July 1, 2009, monthly rent as provided under this section shall be increased to
the sum of Five Thousand Four Hundred Dollars ($5,400.00), based on $1.35 per square
foot.
Effective July 1, 2010, monthly rent as provided under this section shall be increased to
the sum of Five Thousand Six Hundred Dollars ($5,600.00), based on $1.40 per square
foot.
Effective July 1, 2011, monthly rent as provided under this section shall be the sum of
Five Thousand Six Hundred Dollars ($5,600.00), based on $1.40 per square foot.
Effective July 1, 2012, monthly rent as provided under this section shall be the sum of
Five Thousand Six Hundred Dollars ($5,600.00), based on $1.40 per square foot.
Effective July 1, 2013, monthly rent as provided under this section shall be the sum of
Five Thousand Six Hundred Dollars ($5,600.00), based on $1.40 per square foot.
1
Effective July 1, 2014, monthly rent as provided under this section shall be the sum of
Five Thousand Six Hundred Dollars ($5,600.00), based on $1.40 per square foot.
Effective July 1, 2015, monthly rent as provided under this section shall be the sum of
Five Thousand Seven Hundred Forty-five and 60/100 Dollars ($5,745.60), based on
1.4364 per square foot.
Effective July 1, 2016 monthly rent will be increased by the 2015 Annual Average
Consumer Price Index, Portland -Salem All Urban Consumers (CPI -U), 1982 -84 = 100,
expected to be published February 2016.
Effective July 1, 2017 monthly rent will be increased by the 2016 Annual Average
Consumer Price Index, Portland -Salem All Urban Consumers (CPI -U), 1982 -84 = 100,
expected to be published February 2017.
26. Option to Renew. Provided that Tenant is not in default in the performance of this
lease, Tenant shall have the option to renew the lease for an additional term of
4 } up to twenty -four (24) months commencing at the expiration of the lease term
ending June 30, 241-62018. All of the terms and conditions of the lease shall apply during
the renewal term except that the monthly rent shall be mutually agreed upon between the
Landlord and the Tenant. The option shall be exercised by written notice given to the
Landlord not less than ninety (90) days prior to the expiration of the initial lease term. If
notice is not given in the manner provided herein within the time specified, this option
shall expire.
All other terms and conditions of the Lease Agreement dated June 17, 2008, as previously
amended, shall otherwise remain the same.
LANDLORD:
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Managing Partner
Managing Partner
APPROVED AS TO FORM:
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Douglas E. lensen, Chief Vivil
Deputy Prosecuting Attorney
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TENANT:
BOARD OF COUNTY COMMISSIONERS
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OF COWLITZ COUNTY, WASHINGTON
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Michael A. Karnofski, Chairman
Dennis P. Weber, Commissioner
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oe Gardner,
ATTEST:
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Clerk of the Board
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