FY2015-26 Lease Agreement For Office And Lab Space At Kodiak Fisheries Research Center Between The Kodiak Island Borough And Kodiak Island Borough School DistrictG 06 1FYdV 1S --')t1P
LEASE AGREEMENT
THIS LEASE AGREEMENT is made this first day of March, 2015, by and between THE
KODIAK ISLAND BOROUGH, a borough organized under the laws of the state of Alaska,
hereinafter called Landlord, and Kodiak Island Borough School District, hereinafter called
Tenant.
For and in consideration of the covenants, rents and demises, and upon the terms and
conditions hereinafter set forth, the parties agree as follows:
I. Premises. Landlord, for and in consideration of the rents, covenants and
conditions hereinafter specified to be paid, performed and observed by Tenant, does hereby let,
lease and demise to Tenant the improved real estate described as follows:
Office space consisting of three (3) offices more particularly described as Rooms 245,
246 and 247, and lab space described as Room 205 (previously known as the
Limno/Aging Lab) all on the second floor in the Kodiak Fisheries Research Center on
Near Island located on the following described real property:
Tract B -1-A, U.S. Survey 4947, according to flat 2010-8, in the Kodiak Recording
District, Third Judicial District, State of Alaska.
The aforesaid office space (consisting of 770 rentable square feet) and Iab space
(consisting of 626 rentable square feet) are more specifically shown on the floor plan attached
hereto as Exhibit A.
Tenant, upon paying the rents, and performing all of the terms and covenants on this part
to be performed, shall peaceably and quietly enjoy the leased premises subject nevertheless, to
the terms of this lease, and to any deed of trust or mortgage to which this lease is subordinated.
2. Term of„Lease. The term of the lease shall be for the period of three (3) years and
four months (64 months) following the commencement of the term, unless sooner terminated as
hereinafter provided. The term of the lease shall commence on March 1, 2015, and shall expire
at 5:00 P.M., Alaska Standard Time on June 30, 2018.
Tenant shall have the option to extend the initial term for one (1) additional two (2) year
periods on the same terms and conditions. Tenant may exercise this option by providing written
notification to Landlord at least sixty (60) days prior to the effective date of termination of this
agreement or any extension thereof.
In the event the foregoing; commencement provision results in a commencement date
other than on the first day of a calendar month, the rent shall be immediately paid for such initial
fractional month prorated on the basis of a thirty (30) day month.
Both parties have the right to terminate this lease with ninety (90) days written
notification.
3. Rental. In consideration of the demise and leasing of the premises, the Tenant
covenants, stipulates and agrees to pay to the Landlord as rental for the office space hereinabove
described, at the rate of two dollars ($2.00) per square foot, the sum of one thousand five
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hundred and forty dollars ($1,540.00) monthly, and as rental for the lab space hereinabove
described, at a rate of two dollars and fifty cents ($2.50) per square foot, the sum of one
thousand five hundred and sixty five dollars ($1,565.00) monthly. Accordingly, the total
monthly lease payment shall be three thousand one hundred and five dollars ($3,105.00), in
advance, on or before the first day of each month of the lease term.
All payments, unless and until otherwise directed in writing; by Landlord, shall be paid to
the Landlord via the Central Treasury.
4. Alteration of Premises. Tenant shall not make any alterations, additions, or
improvements in or to the Ieased premises without first obtaining the written consent of
Landlord. Any such alterations, additions and improvements consented to by Landlord shall be
made at Tenant's expense. Tenant shall secure all governmental permits required in connection
with such work, and shall hold Landlord harmless from all liability and liens resulting; therefrom.
All alterations, additions and improvements, except trade fixtures and appliance and equipment
which do not become attached to the building, shall immediately become a part of the realty and
the property of the Landlord without obligation to pay therefore, except that Landlord may
require removal of all or part thereof by Tenant at the termination of the lease, at Tenant's
expense, and Tenant shall pay for or repair any damages to the leased premises, including,
without Iimitation, any necessary patching, repainting, and repairing; caused by such removal.
Upon removal of the trade fixtures and appliances and equipment which do not become attached
to the building;, Tenant shall restore the leased premises to the same condition that they were in
prior to the installation of said items, including, without limitation, any necessary patching,
repainting and repairing. Any trade fixtures, appliances, equipment or other property not
removed from the leased premises by Tenant upon termination of the lease shall be deemed
abandoned by Tenant, provided that Tenant shall save Landlord harmless from any loss, cost, or
damage arising from Tenant's failure to remove such items.
5. Use of Premises. The Ieased premises shall be used for general office space and
lab space, as described in Section I and Exhibit A, and for no other purpose, without the prior
written consent of Landlord. Tenant shall not use or permit the leased premises or any part
thereof to be used for any purpose in violation of any municipal, borough, state, federal or other
governmental law, ordinance, rule or regulation. Tenant agrees that Tenant, together with all
other persons entering and/or occupying the leased premises at Tenant's request or with Tenant's
permission, will abide by, keep and observe all reasonable rules and regulations which Landlord
may make from time to time for the management, safety, care and cleanliness of the building,
and the preservation of good order therein, as well as for the convenience of other occupants and
tenants of the building, and for the use of any parking areas adjacent to the building. The
violation of any such rules and regulations shall be deemed a material breach of tile lease by the
Tenant. Tenant shall not, without Landlord's prior written consent, use, operate or install any
electrical or mechanical equipment, machinery, or mechanical devices in the leased premises,
except in compliance with the highest standards applicable to the leased premises, except in
compliance with the highest standards applicable to the use, operation, or installation of such
equipment, machinery or devices, generally recognized by the profession or industry in which
Tenant is engaged, nor shall Tenant use the leased premises, or any machinery or equipment
therein, in such a manner as to cause substantial noise or vibration, or unreasonable disturbance
to other tenants in the building.
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In the event Tenant's use of the leased premises causes an increase in Landlord's fire or
hazard insurance premiums; Tenant shall reimburse Landlord for the amount of such increase.
6. Taxes. As applicable, Tenant shall pay any and all taxes levied on personal
property and trade or other fixtures in the leased premises, and any license and excise fees and
occupation taxes covering business conducted on the leased premises, and as additional rent, an
amount equal to any sales taxes on rentals payable hereunder.
7. Utilities. Landlord shall furnish, at its expense, the following utilities and
services for normal office use of the leased premises:
(a) Electricity for normal lighting, air conditioning, and office use. Special or additional
electrical requirements shall be paid by Tenant.
(b) Heat, snow removal for common areas, and sewer and water based on normal office
use.
(c) Janitorial service for the leased premises on a five -day -a -week basis, and periodic
exterior window washing.
(d) Refiise collection based on normal office use.
Tenant shall provide at his expense all other utilities and services used at the leased
premises.
Landlord shall not be liable for any loss or damage caused by or resulting from any
variation, interruption or failure of said utilities or services, arising from any cause, condition or
event; and no variation, interruption or failure of such utilities and services incident to the
making of repairs, alterations, or improvements, or arising from any accident, strike, condition,
cause or event in whole or in part beyond the reasonable control of Landlord shall be deemed an
eviction of Tenant or relieve Tenant from any obligation hereunder.
8. Maintenance and Repairs. Landlord shall, at its expense, maintain and keep in
good repair the foundations, exterior walls, roof and other structural portions of the building.
Tenant shall, at its expense, maintain the interior of the Ieased premises at all times in good
condition and repair, all in accordance with the laws of the State of Alaska and all directions and
regulations of governmental agencies having jurisdiction hereof. Tenant shall commit no waste
of any kind in or about the leased premises, and Tenant shall pay for all damage to the building,
as well as damage to tenants or occupants hereof, caused by Tenant's misuse or neglect of the
leased premises, its apparatus or appurtenances. At the expiration of the term hereof, or on the
termination of this lease, Tenant shall surrender the leased premises, its apparatus or
appurtenances. At the expiration of the term hereof, or on the termination of this lease, Tenant
shall surrender the leased premises in good and clean condition, normal wear and tear excepted.
Landlord shall maintain and repair all plumbing, lines and equipment installed for the
general supply of hot and cold water, heat, ventilation and electricity, except that Tenant shall be
responsible for any and all maintenance and repairs attributable to obstruction or objects
deliberately or inadvertently introduced or placed in the fixtures, lines or equipment by Tenant,
his employees, agents, licensees or invitees.
Landlord shall not be responsible or liable at any time for any loss or damages to
Tenant's equipment, fixtures or other personal property of Tenant or to Tenant's business except
to the extent attributable to Landlord's negligence.
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Landlord shall not be responsible or liable to Tenant or to those claiming; by, through or
under Tenant for any loss or damages to either the person or property of Tenant that may be
occasioned by or through the acts or omissions of persons occupying other portions of the
building.
Landlord shall not be responsible or liable for any defect, latent or otherwise, in the
building; in which the leased premises is situated, or any of the equipment, machinery, utilities,
appliances or apparatus therein nor shall it be responsible or liable for any injury, loss or damage
to any person or to any property of Tenant or other person caused by or resulting from bursting;,
breakage or by or from leakage, stream or snow or ice, running or the overflow of water or
sewerage in any part of said leased premises, the building, or the surrounding area, or for any
injury or damage caused by or resulting; from acts of nature or the elements, or for any injury or
damage caused by or resulting from any defect in the occupancy, construction, operation or use
of any of said leased premises, building;, machinery, apparatus or equipment by any person or by
or from the acts or negligence of any occupant of the premises, unless Landlord itself is
negligent.
9. Fire and Other Casualty. Should the leased premises be damaged by fire or other
casualty, and if the damage is repairable within four (4) weeks from the date of occurrence (with
the repair work and the preparations therefore to be done during regular working; hours on
regular work days), the damages shall be repaired with due diligence by Landlord, an in the
meantime the monthly rental shall be abated in the same proportion that the untenable portion of
the leased premises bears to the whole thereof. Should the leased premises be completely
destroyed by fire or other casualty, or should they be damaged to such an extent that the damage
cannot be repaired within the four (4) weeks of the occurrence, Landlord shall have the option to
terminate this lease, and Landlord shall advise Tenant within thirty (30) days after the happening
of any such damage whether Landlord has elected to continue this lease in effect or to terminate
it. if Landlord shall elect to continue this lease in effect, it shall commence and prosecute with
reasonable diligence any work necessary to restore or repair the leased premises. If Landlord
shall fail to notify Tenant of its election within said thirty -day period, Landlord shall be deemed
to have elected to terminate this lease, and the lease shall. thereafter automatically terminate. The
commencement by Landlord of repair work shall be deemed to constitute notice that Landlord
has elected to restore or repair the leased premises. For the period from the occurrence of any
damage to the leased premises to the date of completion of the repairs (or to the date of
termination of the lease if Landlord shall elect not to restore the leased premises), the monthly
rental shall be abated in the same proportion as the portion of the leased premises bears to the
whole thereof.
In the event restoration or repair is delayed by acts or omissions of Tenant, there shall be
no abatement of rental during the period of such delay. If the fire or damage is caused by the
carelessness, negligence or improper conduct of Tenant, then notwithstanding other provisions of
this lease, Tenant shall remain liable for the rent, without abatement, during any period of repair
or restoration.
If the Landlord, in its discretion, shall decide within thirty (30) days after the occurrence
of any fire or other casualty in the building;, even though the leased premises may not have been
affected by such fire or other casualty, to demolish, rebuild or otherwise replace or alter the
building containing the leased premises, then upon written notice given by Landlord to Tenant,
this lease shall terminate on a date specified in such notice, but no sooner than thirty (30) days
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from the date of such notice, as if that date had been originally fixed as the expiration date of the
term herein leased. Tenant and Landlord hereby mutually release each other from liability and
waive all right of recovery against each other for any loss from perils insured against under their
respective fire insurance policies, including any extended coverage and endorsements thereto;
provided, however, that this paragraph shall be inapplicable if it would have the effect, but only
to the extent that it would have the effect, of invalidating any insurance coverage of Landlord or
Tenant.
Restoration or repair work conducted in the common areas, in areas of the building
unleased, or leased to other tenants, or the noise or interference arising therefrom, shall not be
deemed an eviction of Tenant, or a breach of this lease, but Tenant's obligation to pay rent shall
be abated during such period of time as Tenant is unable to conduct business at the leased
premises by reason of actual physical interference with use of the leased premises as a result of
such restoration or repair work.
10. Subletting and Assignment. Tenant shall not sublet the leased premises, or any
part thereof, or assign this lease or any part thereof, nor shall this lease be assigned in whole or in
part by operation of law or through any court proceedings, without the prior written consent of
Landlord to such subletting; or assigning; any such assignment or sublease without Landlord's
written consent shall be void.
If Tenant is a corporation, any merger, consolidation, or dissolution to which it is a party,
or any change in ownership of a majority of its voting stock outstanding, shall constitute an
assignment of this lease for purposes of this paragraph.
11. Indemnification. Tenant agrees to protect, defend, indemnify and save harmless
Landlord from and against any and all claims (no matter ]low meritless) demands, and causes of
action of any nature whatsoever, and any expenses incident to defense of and by Landlord
therefrom, for injury to or death of persons or loss of or damage to property occurring on the
leased premises, or in any manner arising out of Tenant's use and occupation of said premises, or
the condition thereof, during the term of this lease. Tenant shall procure and maintain public
liability insurance coverage, naming Landlord as an insured, which coverage, pertaining to the
leased premises, shall not be less than $250,000 per person for bodily injury or death, $500,000
per occurrence for bodily injury or death, and $100,000 for property damage. Landlord shall be
an additional named insured in such policy or policies. Such policy or policies shall be written by
a responsible insurance company or companies satisfactory to Landlord. Upon the signing; of this
Agreement, certificates of insurance showing compliance with the foregoing requirements shall
be furnished by Tenant to Landlord for approval. Certificates shall state that the policy or
policies will not be canceled or altered without at least thirty (30) days, prior written notice to
Landlord. Maintenance of such insurance and the performance by Tenant of the obligation under
this paragraph shall not relieve Tenant of liability under this indemnity agreement.
12. Common Areas and Facilities. All common areas and common facilities in or
about the leased premises and the building shall be subject to the exclusive control, scheduling
and management of Landlord. Landlord shall have the right to construct, maintain and operate
lighting and other improvements on all said areas; to change the area, level, location and
arrangement for common areas and other facilities and temporarily to close the common areas to
effect such changes.
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All common areas and facilities which Tenant may be permitted to use and occupy are to
be used and unoccupied under a revocable license, which shall not be unreasonably revoked, and
if any such license be revoked or if the amount of such areas be changed or diminished, Landlord
shall not be subject to any liability nor shall Tenant be entitled to any compensation or
diminution or abatement of rent nor shall revocation or diminution of such areas be deemed
constructive or actual eviction.
13. Liens. Tenant will not permit any mechanics', laborers' or material men's liens to
stand against the leased premises or improvements for any labor materials furnished to Tenant or
claimed to have been furnished to Tenant, or to Tenant's agents, contractors, or sublessee, in
connection with work of any character performed or claimed to have been performed on said
premises or improvements by or at the direction of sufferance of Tenant; provided, however,
Tenant shall have the right to contest the validity or amount of any such lien or claimed lien. In
the event of such contest, Tenant shall give to Landlord such reasonable security as may be
demanded by Landlord to insure payment of such lien or such claim of lien. Tenant will
immediately pay any judgment rendered with all proper costs and changes and shall have such.
lien released or judgment satisfied at Tenant's own expense.
The foregoing provisions respecting liens shall apply to all liens, of any kind or nature
asserted against the leased premises or improvements thereon, including liens arising out of,
incident to, or connected with the use and occupation of the leased premises by Tenant.
14. Notices. Any and all notices required or permitted under this lease, unless
otherwise specified in writing by the party whose address is changed, shall be mailed, certified or
registered mail, or delivered, to the following addresses:
LANDLORD: TENANT:
Kodiak Island Borough Kodiak Island Borough School District
710 Mill Bay Road 722 Mill Bay Road
Kodiak, Alaska 99615 Kodiak, Alaska 99615
Any such notices shall be deemed effective on the date of mailing or delivery.
15. Costs Upon Default. In the event either party shall be in default in the
performance of any of its obligations under this lease or an action shall be brought for the
enforcement thereof, the defaulting party shall pay to the other all the expenses incurred therefor,
including a reasonable attorney's fee.
In the event either party shall without fault on its part be made a party to any litigation
commenced by or against the other, then such other party shall pay all costs and reasonable
attorney's fees incurred or paid by such party in connection with such litigation.
16. Rights or Remedies. Except insofar as this is inconsistent with or contrary to any
provision of this lease, no right or remedy herein conferred upon or reserved to Landlord is
intended to be exclusive of any other right or remedy, and each and every right and remedy shall
be cumulative and in addition to any other right or remedy given hereunder, or now or hereafter
existing at law or in equity or by statute.
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17. Waiver and Forbearance. Except to the extent that Landlord may have otherwise
agreed in writing, no waiver by Landlord of any breach by Tenant of any of its obligations,
agreements or covenants hereunder shall be deemed to be a waiver of any subsequent breach of
the same or any other covenant, agreement or obligation. Nor shall any forbearance by Landlord
to seek a remedy for any breach of Tenant be deemed a waiver by Landlord of its rights or
remedies with respect to such breach.
18. Inspection. Landlord shall at all reasonable times during Tenant's business hours
have access to the premises for the purpose of inspection. Landlord shall also be entitled to put
"to lease" or "for lease" signs in and about the leased premises, and to show the leased premises
to prospective tenants, daring the last sixty (60) days of the lease term and any extended term,
and during any period of time after Landlord has given Tenant a notice of intention to terminate
under paragraphs 15 and 3 of this lease.
19. Notices of Nonresponsibilityr. Landlord may enter the demised premises at any
time for the purpose of posting notices of nonresponsibility.
20. Successors in Interest. This lease shall be binding upon and inure to the benefit of
the respective heirs, successors and assigns of the parties hereto.
21. Holding Over. In the event that the Tenant holds over at or after the end of the
term, the tenancy shall be needed a month-to-month tenancy commencing on the first day of the
holdover period.
22. Si ns. Landlord shall provide one sign for the Tenant. Tenant agrees that any
other sign or signs installed on the demised premises shall be with the consent of the Landlord.
23. Memorandum. of Lease. Tenant agrees that Tenant will not record this lease. At
the request of either Landlord or Tenant, the parties shall execute a memorandum lease for
recording purposes in lieu of recording this lease, in such form as may be satisfactory to their
respective attorneys.
24. Estoppel Certificates. Tenant shall, at any time and from time to time upon not
less than fifteen (15) days' prior request by Landlord execute, acknowledge and deliver to
Landlord a statement in writing certifying that this lease is in full force and effect and
unmodified (or in full force and effect and modified and stating the modifications), the dates to
which the rent(s) and any other charges have been paid in advance, the date Tenant entered into
occupancy of the leased premises and the date the lease term expires, the nature and amount of
any claims of Tenant against Landlord arising as a result of this lease, and the existence and
nature of any defenses or offsets claimed by Tenant against enforcement of this lease by
Landlord; it being intended that any such statement delivered pursuant to this paragraph may be
relied upon by any prospective purchaser or encumbrancer (including assignees) of the premises.
In the event Tenant fails so to certify within such fifteen (15) day period, Tenant shall be deemed
to have certified and admitted the accuracy of information submitted by Landlord in good faith
to any prospective purchaser or encumbrancer in respect to this lease.
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25. Excuse for Nonperfonn;ance. Either party hereto shall be excused from
performing any or all of its obligations hereunder with respect to any repair and construction
work required under the terms of this lease for such times the performance of any such obligation
is prevented or delayed by an act of God, floods, explosion the elements, war, invasion,
insurrection, riot, mob violence, sabotage, terrorist activity, inability to procure labor, equipment,
facilities, materials or supplies in the open market, failure of transportation, strikes, lockouts,
action by labor unions, or laws or order of governmental agencies, or any other cause whether
similar or dissimilar to the foregoing which is not within the reasonable control of such party.
26. Construction of Lease. This lease shall be governed by and construed in
accordance with the laws of the State of Alaska.
Words of gender used in this lease shall. mean and include any other gender, and singular
shall mean and include the plural and the plural the singular, where applicable, and when the
sense requires.
27. Entire Agreement. This agreement, and the exhibits and documents referred to
herein, set forth all of the terms, conditions, covenants and agreements of the artier relative to the
subject matter hereof and supersede any and all former agreements, oral or written, which, upon
the execution and delivery hereof, are hereby terminated and of no further force and effect.
There are no terms, conditions, covenants or agreements with respect hereto except as herein
provided.
IN WITNESS WHEREOF, the parties have hereunto set their hands and seats this
.y of , , 2015.
TENANT:
Kodiak Island Borough School District
ATTEST:-- �:
LANDLORD:
�y ND ' The Kodiak Island Borough
ATTEST:
(] ough Manager
lerk
of 8 2/10/15
