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Agenda Item 3A- 9-13-04July 14, 2004 AGENDA ITEM #3A SEPTEMBER 13, 2004 Facsimile (904) 246-9960 Mail: A7easenLaw~aol.com BY HAND DELIVERY James R. Hanson, City Manager City of Atlantic Beach 800 Seminole Road Atlantic Beach, FL 32233 ALAN C. JF~TSEN Attorney at Law 935 North Third Street Post Office Box 50457 Jacksonville Beach, Florida 322130-0457 Telephone (904) 2A6-2500 RE: Island Club Condominiums-Lease of Pazking Space Dear Jim: I have revised Resolution No. 04-07 and the Lease of Parking Space Agreement in accordance with the directions from the City Commission at the meeting held July 12, 2004. The originals and copies of both documents are enclosed, and I would appreciate you forwarding the originals to Maureen King for use at the next regulazly scheduled Commission meeting on July 26, 2004. Please note the Lease Agreement refers in paragraph 1 to an Exhibit A, which is a document I don't have, and I understand you have this document and will attach it to the Lease Agreement. I also enclose for your information and that of the City Commissioners, copies of Section 281, Lease By Municipality of Municipally Owned Property, from Florida jurisprudence, Second Edition, in which I have highlighted a certain portion regarding no bonds being issued and no public fund expended, as well as a copy of Attorney General Opinion 97-34 regazding leasing a portion of a City's airport property to a private individual. And finally, I enclose a copy of the City of West Palm Beach v. Williams case, a Florida Supreme Court decision cited as: 291 So. 2°~ 572, which is referenced in the Attorney General Opinion. As a result of my research into this matter, it is my opinion that the City has the authority to lease its property if that property is not currently needed for municipal purposes. Therefore, if the City Commission makes a determination that the 10 parking spaces on 10'~ Street they are considering leasing to the owner of Island Club Condominiums aze not currently needed for municipal purposes, and the commission is in part making that decision in part because of the more than ten additional spaces which are being created at Mandalay Pazk, and those aze also public spaces for AGENDA ITEM #3A SEPTEMBER 13, 2004 beach access, then it is my opinion the City can proceed with leasing of the spaces to the Island Club Condominium owners, pursuant to all the terms of the Resolution and the Lease of Pazkdng Space Agreement. Obviously the Resolution No. 04-07 must be passed to provide the legislative authority for the City to enter into the parking space leases. If you have any questions regazding the above or need any further or additional information, please don't hesitate to contact me. Vey truly yours, ALAN Enclosures ACJ/tdb s AGENDA ITEM #3A SEPTEMBER 13, 2004 R F, ~ (ZT ~T TTT (~N N (~ _ 114-07 A RESOLUTION OF THE CITY OF ATLANTIC BEACH, FLORIDA, APPROVPtIG THE LEASE OF PARKING SPACE AGREEMENT FOR OWNERS OF ISLAND CLUB CONDONLTNIUIYIS, AUTHORIZING THE CITY lYIANAGER TO SIGN SAID LEASES, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Atlantic Beach has determined that owners of the condominium units located at Island Club Condominiums, which is on 10~ Street located east of Beach Avenue, are totally dependent upon public parking spaces on 10~ Street for their residential pazking needs, and WHEREAS, the City of Atlantic Beach has reached an agreement with Island Club Condominiums to lease certain of the public pazking spaces on 10`~ Street immediately adjacent to the condominiums for use by the owners of the condominiums for their residential parking needs, and WHEREAS, no~ bonds are being issued and no public funds are being expended in connection with the lease of said parking spaces to the condominium owners, and WHEREAS, the parking spaces being leased aze on property owned by the City and, by virtue of the City identifying and completing more than ten (10) new public parking spaces at Mandalay Park for beach access, said property is not currently needed for. any municipal purposes. NOW THEREFORE, BE IT RESOLVED: S,F' C'TT (1N 1 _ The City of Atlantic Beach does hereby agree to lease certain public. parking spaces on 10`~ Street east of Beach Avenue to the owners of the condominium units at Is]and Club Condominiums, in accordance with the terms and, conditions as set forth in the Lease of Parking Space Agreement, a copy of which is attached hereto. The City of Atlantic Beach hereby approves said Lease of Parking Space Agreement. Additional conditions that shall apply to the lease of these public parking. spaces aze as follows: a) The more than ten (10) new .public parking spaces at Mandalay Palk shall be completed and ready for use pricer fo the leased spaces on 10~' Street being marked and the lease agreements for said spaces being signed. b) Payments received from the lease. of spaces on lOm Street shalLbe applied to the construction of the new spaces at Mandalay Park, unt~1 the total cost of said construction is recovered. c) All owners of units at Island Club Condominiums must participate in the leasing arrangement and sign a Lease of Pazking Space Agreement. d) The ten (10) lease spaces on 10`~ Street shall be contiguous and located at the west end of the block, fi.irthest away from the ocean. e) All vehicles using the leased spaces shall be registered with the City. f) All signs and signage shall be uniform and shall be provided by the City. SF['TT(1N 2_ The City Manager is hereby authorized to sign on behalf of City of Atlantic Beach the Lease of Parking Space Agreements for the respective owners of the Island Club Condominium unit owners. AGENDA ITEM #3A SEPTEMBER 13, 2004 LEASE OF PARKING SPACE Lease agreement entered into this_day of July, 2004; by and between the City of Atlantic Beach, a Florida municipal corporation, 800 Seminole Road, Atlantic Beach, Florida, 32233 ("City"), and owner of Island Club Condominium Unit# 10 Street, Atlantic Beach, Florida, 32233 Tenant"). WHEREAS, City is the owner of all public rights of way in Atlantic Beach including that portion of 10`h Street located east of Beach Avenue, and WHEREAS, Tenant is the owner of Unit ~ at Island Club Condominium, 10~ Street, Atlantic Beach, Florida, 32233, which is located on that portion of 10`~ Street that is east of Beach Avenue, and WHEREAS, Island-.Club .Condominium was previously an apartment building which was converted to condominiums in 1979 with approval and consent of City, and.at the time with limited parking on site, thereby making owners/residents of the condominium units totally dependent upon public parking spaces on 10`~ Street for they residential pazking needs, and WHEREAS, due to the extensive growth of Atlantic Beach and its surrounding communities since 1979, including the dramatic increase in population, traffic, and. popularity of accessing the oceanfront beach, it has become more and more difficult for Tenant to find parking .spaces available for use at his or her condominium unit, including those public spaces immediately adjacent to' the condominium, because of.use of said spaces by the public who are not residents of the condominium, and WHEREAS, the location of Island Club Condominium and its lack .of on site private parking for residential purpose is unique in Atlantic Beach, was created, in part, with the City's ,consent 'and approval, and creates a situation for residents and property owners in Atlantic Beach to have no parking, at times, .at their own residence, and WHEREAS, the City Commission has determined it to be in the best interests of the City and all of its residents, in -the continuing efforts to maintain the residential character of the City, that certain public pazking spaces on 10~' Street east of Beach Avenue be leased to private property owners of units at Island Club Condominium to provide them with private pazking for their residences, and WHEREAS, the City has created more than ten (10) additional public pazking spaces at Mandalay Park for beach access that replace .the spaces on 10~' Street east of Beach Avenue which will be leased to private property owners at Island Club Condominium. 1 AGENDA ITEM #3A SEPTEMBER 13, 2004 NOtiV THEREFORE, in consideration of the mutual covenants and promises set forth herein, including payments to be made hereunder, and other valuable consideration, the receipt and sufficiency ofwhich is acknowledged by all parties, it is AGREED AS FOLLOWS: 1. City hereby leases to Tenant the use of parking space # , as shower on Exhibit A attached hereto, for an initial term of one (1) year beginning. October 1, 2004, and ending September 30, 2005, on the following terms and conditions: a) Tenant shall pay rent in the amount of $300.00 per year, plus any applicable taxes, which amount shall be paid in full to the City on or before October 31, 2004. b) If Tenant fails to timely pay the rent required hereunder, the right to lease space# shall be cancelled, terminated, and forever extinguished. c) The City shall provide and erect all necessary signage to indicate the reserved parking spaces, including the numbering of said spaces. d) Tenant shall park only passenger vehicles in the Leased space, , including cars, trucks, SUVs, motorcycles, and the like, and shall NOT park in said spaces any RVs; campers, trailers, boats, commercial vehicles, and the like. The leased space shall be used by Tenant only. in: connection with his or her residence at Island Club Condominium. e) Tenant shall register his, or her vehicles with the City. f) Ali owners of units at Island Club: Condominiums must participate in the leasing arrangement and sign a Lease of Parking Space Agreement. 2. Tenant shall indemnify and hold the City harmless from any and all claims and demands which may .arise from Tenant's lease of pazking # hereunder, including any claims and demands for damages to third parties and/or their vehicles resulting from Tenant having a vehicle towed or removed from his or her leased parking space. 3. Tenant shall not assign or sublet the pazking space leased hereunder in any form or fashion, shall not mortgage or encumber said space in whole or in part, and shall not . suffer or permit the leased space or any part thereof to be used by others. 4. City has the absolute right to terminate this lease at any time upon giving thirty 30) days written notice to Tenant at Tenant's address set forth above. In the event a termination occurs during any twelve (12} month lease period for which Tenant has paid in full, City shall reimburse Tenant on a pro rata basis for the unused period of said lease. 2 AGENDA ITEM #3A SEPTEMBER 13, 2004 The covenants and agreements herein contained shall, subject to the terms of this lease, bind and inure the benefit of City and Tenant, their successors and assigns, except as otherwise may be provided herein. 6. Tenant shall abide by such.rules as may be established from time to tune by the City covering the use of said parking space. 7. After the expiration of the initial one (1) year specified in paragraph 1 above, this lease will be automatically renewable on a veazlY basis. City shall have. the right to increase the annual rent by not more than the average increase in property values in Atlantic Beach as determined by tax digest.. 8. This lease contains the entire agreement between the parties and shall not be modified in any manner except by an instrument, in writing, executed by both parties and. their respective successors in interest. 9. This lease shall be construed in accordance with the laws of the- State of Florida and the City of Atlantic Beach. IN WITNESS WHEREOF, the parties have hereunto set their hands the day and year first above written. Witness punt name: Witness print name: Witness print name; Witness print name: CITY OF ATLANTIC .BEACH, FLORIDA By: James R Hanson, City Manager Attest: Maureen King, City Cleric TENANT: 3