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HomeMy WebLinkAboutMINUTES - 11142000 - C181 TO: BOARD OF SUPERVISORS FROM: Barton J. Gilbert, Director of General Services Contra Cosh DATE: November 14, 2000 4) County SUBJECT: LEASE FOR THE EMPLOYMENT AND HUMAN SERVICES 1875 ARNOLD DRIVE MARTINEZ, CALIFORNIA (WPL395) SPECIFIC REQUESTS OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION 1. RECOMMENDATION APPROVE a Lease, commencing April 1, 2001, with Skillcraft, Incorporated for the premises at 1875 Arnold Drive Martinez, California, for occupancy by the Employment and Human Services, under the terms and conditions more particularly set forth in said Lease, and AUTHORIZE the Director of General Services to EXECUTE said Lease on behalf of the County; and DETERMINE that compliance with the California Environmental Quality Act (CEQA) for this project was completed when the City of Martinez adopted a negative declaration on May 22, 1990 for an approximate 20,000 square foot office building that considered the potential environmental impact and found that there was no substantial evidence that he proposed project would have a significant effect on the environment. 11. FINANCIAL IMPACT Payments required are to come from the budget of the Employment and Human Services Department. 111. REASONS FOR RECOMMENDATION I BACKGROUND Provide for use of 10,050 square feet of space for the Independent Living Skills Program (ILSP). Space is needed for the program which prepares young adults (usually in foster care) for independent living, as requested by the Employment and Human Services Department. 9ATTACHMENT:�_.YES t"IGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR —RECOMMENDATION OF BOARD COMMITTEE 'APPROVE _OTHER SIGNATURE(S): ACTION OF BOARD O APPROVED AS RECOMMENDED VOTE OF SUPERVISORS / .UNANIMOUS(ABSENT AYES: NOES: ABSENTS: ABSTAIN: MEDIA CONTACT: BARTON J.GILBERT(313-7100) CC: County Administrator(via UM) I HEREBY CERTIFY THAT THIS IS A TRUE County Auditor-Controller(via UM} AND CORRECT COPY OF AN ACTION TAKEN AND ENTERED ON THE MINUTES OF THE BOARD Lessor(via UM) OF SUPERVISORS ON THE DATE SHOWN. Health Services(via UM) County Counsel(via UM) ATTESTED L+� Risk Management(via UM) PHTLUTC ,OR,CLERK O T#4E BOARD OF Odg:General Services Department-UM SUPERVISORS AND COUNTY ADMINISTRATOR BY DEPUTY GALeaseMgt\Hervi\1875 Amold\Board Request.doc y GENERAL SERVICES DEPARTMENT W Lease Management Division 1220 Morello Avenue, Suite 100 Martinez, California Extension 3-7250 FAX 3-7299 DATE: November 14, 2000 TO: Phil Batchelor, County Administrator s E � FROM: Barton J. Gilbert, Director of General Services SUBJECT: Agenda: Lease— 1 75 Arnold Drive, Madinez._Califomia - Employment and Human Services Depa=enj (November 14, 2000) A lease has been negotiated as follows: OCCUPANT: FMlo=ent and Human Services De1?avrtment TERM: 10 years COMMENCING: April 1, 2001 OPTION: Two (2) five (5) year CANCELLATION: October 1, 2010 RENTAL: April 1, 2001 through March 31, 2004 $9,445.00 April 1, 2004 through March 31, 2005 $9,315.00 April 1, 2005 through March 31, 2006 $9,595.00 April 1, 2006 through March 31, 2007 $9,885.00 April 1, 2007 through March 31, 2008 $10,180.00 April 1, 2008 through March 31, 2009 $10,485.00 April 1, 2009 through March 31, 2010 $10,800.00 April 1, 2010 through March 31, 2011 $11,125.00 SQUARE FEET: 10,050 SPACE TYPE: Office/Training COUNTY RESPONSIBILITY: Ongoing responsibilities will be: Gas, Electric and Interior maintenance. TENANT IMPROVEMENTS: County shall reimburse LESSOR.for COUNTY Tenent Improvements estimated to be $600,000.00. RENEWAL: NO PREVIOUS RENT: NIA ADDRESS: 1875 Arnold Drive, Martinez, California 94553 CODE 25351 NOTICE: January 6, 2000 BUILD I WORK AUTH.: WPL395 cc: General Services Department Kathy Brown Christie Beardsley User Dept Lessor G:1LeaseMgt\Hervi11875 Amold\Bosrd Request.doc �s� LEASE TABLE OE CONTENTS 1875 ARNOLD DRIVE MARTINEZ, CALIFORNIA FES I 2 2co CONTRA COSTA COUNTY MARCO �' EMPLOYMENT AND HUMAN SERVICES DEPARTMENT SECTION A: BASIC TERMS AND CONDITIONS A.I. PARTIES .........................................................................................................1 A.2. LEASE OF PREMISES .................................................................................1 A.3. LESSOR'S MEETING HALL ......................................................................2 A.4. TERM...............................................................................................................2 A.S. RENT................................................................................................................2 A.6. EXTENSION...................................................................................................3 A.7. USE OF PREMISES.......................................................................................4 A.B. UTILITIES......................................................................................................5 A.9. MAINTENANCE AND REPAIRS................................................................5 A.10. COMMON AREA MAINTENANCE EXPENSE.......................................6 A.11. NOTICES.......................................................................................................10 A.12. ATTACHMENTS.................................................HM....................................11 A.13. WRITTEN AGREEMENT..........................................................................11 A.14. TIME IS OF THE ESSENCE......................................................................12 A.15. SIGNATURE BLOCK.................................................................................12 SECTION B; STANDARD PROVISIONS B.I. HOLDING OVER...........i.............................................................................13 8.2. HOLD HARMLESS .i...................................................................................13 B.3. ALTERATIONS, FIXTURES, AND SIGNS .............................................14 B.4. DESTRUCTION...........................................................................................14 B.S. QUIET ENJOYMENT...................................................:.............................14 B.6. DEFAULTS ...................................................................................................15 B.7. SUCCESSORS AND ASSIGNS ..................................................................16 B.B. SEVERABILITY..........................................................................................16 B.9. WASTE NUISANCE...................................i................................................16 B.10. SURRENDER OF PREMISES...........................JM......................................16 B.11. INSPECTION................................................................................................16 SECTION C: SPECIAL PROVISIONS C.l. SERVICES BY LESSOR.............................................................................18 C.2. SUBLEASE....................................................................................................18 C.3. LIABILITY INSURANCE.................................................... J� •.i...i.ii.i....i•.ii.i 1 V CAPROPERTY TAXES....................................................................................19 C.5 ACCOMPLISHMENT OF IMPROVEMENTS........................................19 C.6. COMPLETION AND OCCUPANCY........................................................20 C.7. MEMORANDUM OF LEASE....................................................................21 G:\LeaseMgt\Hervill875 Amotdl1875 Amold Lease27.doc EXHIBITS: EXHIBIT A: PREMISES EXHIBIT B: PREMISES & PARKING LOT EXHIBIT C: JANITORIAL SPECIFICATIONS EXHIBIT D: TENANT IMPROVEMENT CONSTRUCTION SCHEDULE & BUDGET EXHIBIT E: MEMORANDUM OF LEASE C:\LeueMgt\Nervi\1875 Amold\1875 Arnold Leme27.doe LEASE FOR CONTRA COSTA COUNTY EMPLOYMENT AND HUMAN SERVICES DEPARTMENT 1875 ARNOLD DRIVE MARTINEZ, CALIFORNIA SECTION A: BASIC TERMS AND CONDITIONS A.1. PARTIES: Effective on SKILLCRAFT, INCORPORATED, a California corporation, hereinafter called "LESSOR," and the COUNTY OF CONTRA COSTA, a political subdivision of the State of California, hereinafter called "COUNTY," mutually agree and promise as follows: A.2. LEASE QE p MISES: LESSOR is the owner of an approximate 20,000 square foot two story office building, ("Building") located at 1875 Arnold Drive, Martinez, C.A. LESSOR for and in consideration of the rents, hereby leases to COUNTY, and COUNTY leases from LESSOR a portion of the Building hereinafter called Premises ("Premises") described as follows: Approximately 10,660 square feet of office space on the second floor of the Building. The COUNTY's proportionate share of the Building is based on the area of the Premises divided by the rentable square footage of the Building in which the Premises are located, as follows: Building: 21,626 Premises: 10,660 _49.3% The lease of the Premises shall include the right to use on a non-exclusive basis up to sixty-five (65) parking spaces in the parking lot adjacent to the Building. The LESSOR reserves the right to designate for its own exclusive use eighteen (18) reserved parking spaces and seven (7) LESSOR restricted visitor parking spaces. The Premises are more particularly described on EXHIBIT "A" and the site plan which describes the Building 1 G.\LeaseMgt\HervA1875 Arnold\1875 Arnold LeaseV.doc and parking spaces available to the COUNTY are contained in "Exhibit B". Both exhibits are attached hereto and made a part hereof. A.3. LESSOR'$ MEETING HALL: The lease of the Premises shall include the right to use, at no additional cost, on a non exclusive and as available basis as determined by the LESSOR, by advance reservation only, the Meeting Hall in the first floor of the Building exclusively for COUNTY business. Upon completion of use, COUNTY shall return the Meeting Hall to the same condition found immediately prior to COUNTY's use. A.4. Tom: The term of this Lease shall be ten (10) years, commencing April 1, 2001 and ending March 31, 2011. A.S. RENT: Although the term of the Lease commences April 1, 2001, the obligation of the COUNTY to pay rent shall not commence until the first working day after the LESSOR delivers and COUNTY accepts the Premises in accordance with Paragraph C.6. COMPLETION AND OCCUPANCY of this Lease. If COUNTY acceptance of the Premises occurs after the first day of the month, base rent shall be prorated for that month. Notwithstanding the foregoing, COUNTY shall pay to LESSOR as rent for the use of the Premises a monthly rent payable on the tenth day of each month during the term of this lease. COUNTY's failure to pay any Rent within ten (10) business days after written ,notice of failure from LESSOR to COUNTY shall result in a charge equal to fifteen per cent (15%) of the delinquent rent as such liquidated damages for COUNTY's failure to make timely rent payment. The monthly rents are as follows: Ending 1-3 April 1, 2001 March 31,2004 $10,660.00 4 April 1, 2004 March 31, 2005 10,980.00 5 April 1, 2005 March 31, 2006 11,310.00 On April 1 of the sixth lease year (April 1, 2006), COUNTY shall revise the base rent then in effect based on the "CPI Factor" (as herein defined) during the twelve month period immediately preceding April 1, 2006. Any adjustment in the base rent based on the CPI Factor shall be limited to a minimum of�= percent (3%) and a maximum of f= percent (5%) per annum and rounded to the nearest five dollars. The CPI Factor 2 GALeaseMgt\Hervi11875 Amold11875 Amold LeaseV.doc shall be applied to adjust the then existing base rent ($11,310.00) to determine the monthly rent for the period of April 1, 2006-March 31, 2007. Thereafter the monthly rent for each year of the remaining four years of the Lease term shall be increased by three percent(3%). For example, if the CPI Factor is 2.7% for this twelve month period, the revised monthly rent increase commencing April 1, 2006 shall be computed at 3% increase over the existing base rent (the CPI Factor is limited to a minimum increase of 3%) of $11,310.00, or $339.30. Thus the adjusted rent effective April 1, 2006 through March 31, 2007 would be $11,650.00 ($11,310.00 + $339.30=$11,649.30 rounded off to nearest five dollars). Thereafter the monthly rent for each year of the remaining four years of the Lease term shall be increased by three percent(3%). The monthly rent for the remaining five years of the Lease term are as follows: Y&K Beginning Fding $sl 6 April 1, 2006 March 31, 2007 Year 5 Rent+ CPI Adjustment 7 April 1, 2007 March 31, 2008 Year 6 Rent+ 3% 8 April 1, 2008 March 31, 2009 Year 7 Rent+ 3% 9 April 1, 2009 March 31, 2010 Year 8 Rent+ 3% 10 April 1, 2010 March 31, 2011 Year 9 Rent+ 3% The "CPI" Factor, as used herein is the percentage (%) of change to the nearest one-tenth (.10%) of one percent established during the twelve month period immediately proceeding the date the revised rent is to commence, as stated in the United States Department of Labor, Bureau of Labor Statistics, Consumer Price Index, All Urban Consumers , Pacific Cities and U.S. City Average, All Items (1982-84=100) or successor of such index for a minimum of three 3% and a maximum of five (5%) increases. Payments shall be mailed to: Skillcraft, Incorporated, 1875 Arnold Drive, Martinez, CA 94553 or to such other location as LESSOR may designate from time to time. A.6. EXTENSION: This lease may, at the option of the COUNTY, be extended upon the same terms and conditions, except that the rent shall be adjusted as follows: 3 G:\LeeaeMgt\Herv111875 Amold11875 Arnold Le=27.doc utilized for determination of the rent adjustment for the sixth year, April 1, 2006—March 31, 2007. On April 1, 2011 the County shall revise the base rent then in effect based on the "Consumer Price Index"(CPI) using a base year of (1982-84=100 or its successor) as defined above. The adjusted rent for the First Option Year of April 1, 2011 through March 31, 2012 shall establish the new basis for subsequent annual three percent (3%) rent increases for the remaining four years of the First Caption Term. The rent increases shall be as follows: Time Period Monthly Rent April 1, 2011 through March 31, 2012 Year 10 Monthly Rent+ CPI adjustment April 1, 2012 through March 31, 2013 (Year 11 Monthly Rent+3%) April 1, 2013 through March 31, 2014 (Year 12 Monthly Rent+ 3%) April 1, 2014 through March 31, 2015 (Year 13 Monthly Rent+ 314) April 1, 2015 through March 31, 2016 (Year 14 Monthly Rent+ 3%) B. Second Option: For a five (5) year term, commencing April 1, 2016 and ending March 31, 2021 COUNTY shall use the same formula for establishing the rent for the Second Option Term as was used in the First Option. C. Third Option: For a five (5) year term, commencing April 1, 2021 and ending March 31, 2026, COUNTY shall use the same formula for establishing the rent for the Third Option Term as was used in the First Option. It is understood and agreed COUNTY shall give LESSOR one hundred eighty (180) days prior written notice of its intention to exercise any option to extend this Lease. However in the event COUNTY does not give such written notice, its right to exercise any option before termination of the Lease shall not expire until fifteen (15) business days after receipt of LESSOR'S written demand to exercise or forfeit said option. A.7. USE OF I!REMISES: The Premises shall be used during the term and any extensions for the purpose of various counseling functions of COUNTY and COUNTY related services, which may include, but not be limited to: employment training, 4 GALeaseMgt\Hervi\1875 Amold\1875 Amold LeaseV.doc counseling and referral services to minors and adults, housing and community resource services to minors and adults, general office and administrative uses. A.$. UTILITIES: COUNTY shall pay for gas and electric services provided to the Premises. LESSOR shall furnish and pay for water, sewer and refuse collection services provided to the Premises per Paragraph A.10.7 and COUNTY will reimburse LESSOR for COUNTY's prorata(49.3%) share of water, sewer and refuse collection. A.9. MAINTENANCE AND REPAIRS : A. LESSOR shall keep the roof and exterior of the building in good order, condition, and repair and shall maintain the structural integrity of the building, including the exterior doors and their fixtures, closers and hinges and locks and key systems used in the building that are not COUNTY installed (per paragraph A.9.B. below). B. COUNTY shall maintain the interior doors and glass on the Premises as well as all COUNTY installed lock and key systems. C. COUNTY shall keep and maintain the interior of the Premises in good order, condition, and repair, but LESSOR shall repair damage to the interior caused by failure to maintain the exterior in good repair, including damage to the interior caused by roof leaks and/or exterior wall leaks. D. COUNTY shall maintain and repair the electrical, lighting, water, and plumbing systems of the Premises in good order, condition, and repair. E. LESSOR shall maintain and repair the heating, ventilating, and air- conditioning systems. F. LESSOR shall maintain the parking lot, landscaping, sprinkler system, and exterior lighting system in good order, condition, and repair. G. LESSOR shall provide and install, at the direction of the Fire Marshal, the necessary number of A-B-C fire extinguishers for the Premises at no immediate cost to COUNTY. COUNTY shall thereafter maintain, repair, and replace said extinguishers. H. COUNTY shall not suffer any waste on or to the Premises. 5 GALeaseMgt\HerviU875 Amold11875 Amold LeaseV.doc immediate cost to COUNTY. COUNTY shall thereafter maintain, repair, and replace said extinguishers. H. COUNTY shall not suffer any waste on or to the Premises. I. COUNTY shall maintain the established standard, as agreed to by both LESSOR and COUNTY, of soundproofing flooring materials; J. LESSOR shall deliver the Premises compliant with building code and American with Disabilities Act(ADA)requirements. K. LESSOR shall be responsible for the correction of any code violations which may exist in the Premises, provided LESSOR shall not be liable for correction of code violations which arise out of and are directly related to a change in COUNTY'S occupancy or use of said Premises. L. COUNTY shall be responsible for costs for special service calls (not standard maintenance and/or inspections) for the Building elevator due to misuse of elevator by COUNTY or its invitees. M. LESSOR shall pay for janitorial services to the Premises and COUNTY shall reimburse LESSOR one hundred percent (100%) of these costs. Lessor shall provide for all paper supplies and other miscellaneous items for all seven (7) restrooms in Building. COUNTY shall reimburse LESSOR seventy-one percent (71%) of these costs which represents COUNTY's pro-rata share of two (2) Common Area, first floor restrooms and Premises four(4)restrooms.. A.10. COMMON AREA MAI_NTEN N , , E22ENSES: COUNTY shall pay to LESSOR as Additional Rent, an amount equal to COUNTY'S proportionate share of Common Area Maintenance Expenses described in Paragraph A.2 incurred by LESSOR A. Common Area Expenses shall include all costs of the following: (1) Janitorial, maintenance and repair of Building common first floor lobby interior entrance, interior stairways, first floor public restrooms, routine maintenance, Building elevator's telephone, fire sprinklers, safety system and monitoring minor repairs; 6 C3.1LeaseMgt\Hervii1873 Arnoldt1875 Arnold Lease27.doc (2) Janitorial, maintenance and repair, painting, restriping, cleaning, sweeping and lighting of parking lot, driveways, perimeter pest control and exterior walkways; (3) Cultivating, irrigating, maintaining and fertilizing landscaped areas (including the planting of seasonal flowers), maintenance and minor repair of landscaping sprinkler system; (4) Maintenance, repair and replacement of signs identifying location of the Building, parking lot directional and safety signs, exterior lights, and light standards; (5) Tools and supplies, depreciation on owned maintenance equipment and rental paid for rented maintenance equipment; (6) Insurance premiums,property taxes; (7) Costs of water, sewer and refuse collection services; (8) Heating, ventilating and air conditioning service and repair; (9) Public Pay Phone; (10.)Costs of any Capital improvements (amortized over the useful life of those improvements in accordance with generally accepted accounting principals made to Premises for the following reasons:: (a.) to reduce operating costs or (b.) to comply with any governmental laws or regulations in that was not in force on the effective date of this lease; (11.) Fire suppression system monitoring and maintenance; Both parties acknowledge that the Building Lobby, Common Area and Parking lot are included on the LESSOR's utility meter and that the COUNTY'S 49.3% share for these expenses has been calculated at the following amounts: electrical usage for these specified areas is 2233 kilowatts and gas usage at 158.75 therms. COUNTY'S reimbursement to LESSOR for these specified areas shall be based on the following calculation: Electrical Usage 2233 kilowatt(s) x current rate/kilowatt hour Gas usage 158.75 therms(s) x current rate/therm 7 GALeueMgt\HervA1875 Ainold\1875,Amold Lea®eV.doc The costs of the above shall be added as a line item to the CAM costs after the 49.3 % share has been applied. For instance, if one (1) kilowatt hour costs $0.07 than the amount due to LESSOR for the Common Area electricity is 2233 kw X $0.07 $ 156.31 monthly. B. Items Excluded from Common Area Expenses: (1) Costs associated with the initial construction of the Building or any improvement located thereon, including costs of correcting any defects in initial design or construction; (2) Charges for depreciation, interest, amortization or penalties with the respect to the Building, the Common Area or any improvements located thereon; (3)Expenses which in accordance with generally accepted accounting principals, would be capitalized; (4) Expenses resulting from negligent acts or errors of LESSOR; (5) Expenses associated with the operation of the business of LESSOR such as personnel costs of employees not directly involved in management and operation of the Common Area, legal and accounting fees involving relations or disputes with employees, tenants or others, tax return preparation and administration, leasing commissions, advertising expenses and other costs of leasing and releasing, bad debts and other business losses; (6) Reserves for future expenses; (7) Amounts for which recovery is obtained under warranties, insurance coverage, from a tenant or otherwise; (8) The costs of providing improvements for any other tenant in the Building at any time; (9) Changes in Property Taxes associated with a change in ownership which results in increased taxes. C. Payment of Common Area Maintenance (CAM} Expenses: Although the term of this Lease commences April 1, 2001, the obligation of the COUNTY to pay its 49.3% pro-rata share of CAM expenses shall not 8 G:\LeeseMgt\Hervl\l875 Arnold\1875 Arnold LeweV.doc commence until the first work day after the COUNTY has accepted the Premises in accordance with the completion and acceptance of improvements as specified in Paragraph C.6. Completionand Occupancy If COUNTY acceptance of the Premises occurs after the first day of the month, CAM expenses shall be prorated for the month. Subject to the foregoing, COUNTY shall pay to LESSOR monthly CAM payments of THREE THOUSAND AND NO/100 .DOLLARS ($3,000.00) due and payable on the tenth day of each month. Within a reasonable time after November 1 of each successive lease year, LESSOR shall compute the total CAM expenses for the prior year (November 1- October 31). These expenses and the associated supporting documentation, shall be submitted to COUNTY and any adjustment will be made retroactive to November 1 of each lease year. COUNTY shall pay to or receive a refund from LESSOR for the difference between COUNTY's share of the actual CAM expenses for the proceeding twelve (12) month period and the amounts already paid by COUNTY for the estimated CAM expenses for the same twelve (12) month period. (Established Expenses). All payments or refunds shall be made within ninety (90) days. However, if the actual CAM expenses exceed the Established Expenses by fifteen percent (15%) or more, subsequent CAM payments will reflect the new adjusted rate for the balance of the CAM year (November—October). For example if in November, 2003, LESSOR provides COUNTY with November 1, 2002-October 31, 2003 CAM expenses of $80,000, the adjustment would occur as follows: 2002-2003 CAM Expenses $ 80,000.00 County's Share (49.3%) 39,440.00 Less Payments(Established Expenses) 36,000.00 Balance Due to LESSOR $ 3,400.00 A one time only payment of$3,400.00 is due to LESSOR since actual CAM expenses are less than 15% of the Established Expenses. 9 GALeaseMgt\Herrvi\l875 Arnold\1875 Arnold Lease27.doc However, if the actual CAM expenses were to exceed the Established Expenses by more than 15%, using the example from above, the adjustment would occur as follows. 2002-2003 CAM Expenses $ 90,000.00 County's Share (49.3%) 44,370.00 Less Payments (Established Expenses) 36,000.QQ Balance Due to LESSOR $ 8,370.00 In this instance, a one time payment of$ 8,370.00 is due to LESSOR and the monthly Established Expenses would be recalculated to $3,700.00 ($ 44,370.00/ 12 $3,697.50 rounded to nearest $5.00) for the period of November 1, 2003-October 31, 2004. D. Records` For a period of ninety (90) days after receipt of the notice from LESSOR to pay any of the foregoing amount, COUNTY shall have the right to examine and to copy at any reasonable time (but only once in any year) all receipts, invoices, and records relating to the charges made. This audit shall be conducted at LESSOR'S main accounting office and shall not interfere with the obligation of COUNTY to pay the Common Area Expense (not yet adjusted) amount when due. In the event COUNTY fails to object to the accuracy of any such adjustments within the ninety (90) day period, then such facts shall be deemed accurate and correct for all purposes thereafter. If inaccuracies are found, the amount payable will be corrected. A.11. NO3:J!CES: All notices given hereunder shall be in writing and shall be deemed to have been given if personally delivered or deposited in the United States mail postage prepaid, certified or registered, return receipt requested, and addressed to the other party as follows or as otherwise designated by written notice hereunder from time to time. To Lessor: Skillcraft, Incorporated 1875 Arnold Drive Martinez, CA 94553 To County: Contra Costa County General Services Department Lease Management Division 1220 Morello Avenue, Suite 100 Martinez, CA 94553 10 GALeaseMgt\Hervi\1875 Amold\1875 A.mold LeaseV.doc A.12. AT'I'ACHMENIS: Section B, Standard Provisions; Section C, Special Provisions; Exhibit A: Premises; Exhibit B: Site Plan; Exhibit C, Janitorial Service Specifications; Exhibit I), County Tenant Improvement Construction Schedule and Budget and Exhibit E, Memorandum of Lease are attached to this Lease and are made a part hereof. A,13. WRITTEN AGREEMENT: Neither party has relied on any promise or representation not contained in this Lease. All previous conversations, negotiations, and understandings are of no further force or effect. This Lease may be modified only in writing signed by both parties. The headings of the paragraphs and pages are for convenience only and are not a part of this Lease, nor shall they be considered in construing the intent of this Lease. 11 GAL,easeMgt\Hervi\1875 Amold\1875 Arnold LeaseV.doc A.14. TIME IS OF THE ESSENCE of each and all of the terms and provisions of this Lease. A.15. SIGNATURE BLOCK COUNTY LESSOR COUNTY OF CONTRA COSTA, a Name of Lessor Here Political subdivision of the State of California By By kft%—W [SKILLCRAFT, INCORI'O TED] Director of General Services By Gerald C. Phillips, President [NAME AND OFFICIAL RECOMMENDED FOR APPROVAL: CAPACITY] erector o1rcapital Facilities and "( Debt Management ByC., c Employment And Human Services Department By i� Deputy Gene W Services Director By ql—L-- Acting Lease Manager APPROVED AS TO FORM: VICTOR J. WESTMAN, County Counsel ByJI t f Deputy 12 GALeawMgt\Hervi11875 Amold11875 Arnold LeaseV.doc LEASE FOR CONTRA COSTA COUNTY EMPLOYMENT AND HUMAN SERVICES DEPARTMENT 1875 ARNOLD DRIVE MARTINEZ, CALIFORNIA SECTION B: STANDARD PROVISIONS B.I. HOLDING OVER: Any holding over after the term or extension of this Lease as provided hereinabove shall be construed to be a tenancy from month to month, subject to the terms of this Lease so far as applicable. Not withstanding the foregoing, COUNTY'S rent during any such holding over period shall be at the rate of one hundred twenty-five percent (125%) of the most recent Extension period specified in Paragraph A.5. Extension. B.2. HOLD HARMi.ESS% It is understood and agreed that the COUNTY is self- insured for public liability and property damage. LESSOR shall not, in any way, be responsible for any damage to persons, or property in and upon the Premises or Building on COUNTY business or for any private business directly related to COUNTY occupancy and shall not be held liable for any liability, claim or suite for damages to the persons, business or property of anyone while in or upon the Premises or Building on COUNTY business or for any private business directly related to COUNTY occupancy during the term of this Lease or any extension thereof. COUNTY hearby agrees to defend, indemnify, and hold harmless LESSOR. from liability or changes of any kind or character by reason of such injury or damage claim or suit for liability arising therefrom in, around or upon the Premises or Building, except that in the case of any structural, mechanical or other failure of equipment and/or Building maintained by LESSOR or for other liability which is attributable to the sole negligence or willful misconduct, or other intentional act, error or omission of LESSOR, its agents and employees, LESSOR shall assume the risk of liability. LESSOR shall not in any way be liable for any liability, claim or suit for damages or injury to person or property when said damages or injury is 13 GALe9seMgt\Hervi\1875 Amold\1875 Arnold LeeseV.doc due to the sole negligence, willful misconduct, error or omission of COUNTY, its officers, agents and employees. B.3. AT.TERADONS, FIXTURES. AND SIGNS: COUNTY" may make any lawful and proper minor alterations, attach fixtures and signs in or upon the Premises, which shall remain COUNTY property and may be removed therefrom by COUNTY prior to the termination of this Lease. All exterior signs shall meet existing code requirements and LESSOR'S approval. Any such alterations, signs or fixtures shall be at COUNTY'S sole cost and expense. B.4. DESTRUCTION A. In the event of damage causing a partial destruction of the Premises during the term of this Lease from any cause, and repairs can be made within one hundred twenty (120) days from the date of the damage under the applicable laws and regulations. of governmental authorities, LESSOR shall repair said damage promptly and within a reasonable time, but such partial destruction shall not void this Lease, except that COUNTY shall be entitled to a proportionate reduction of rent while such repairs are being made, such proportionate reduction to be based upon the extent to which the portion of the Premises unusable by COUNTY bears to the total area of the Premises. B. If such repairs cannot be made in one hundred twenty (120) days, LESSOR. may, at his option, make the same within, a reasonable time, the rent to be proportionately reduced as provided in the previous subparagraph. In the event LESSOR does not so elect to make such repairs which cannot be made in one hundred twenty (120) days, or such repairs cannot be made under such laws and regulations, this Lease may be terminated at the option of either party. C. A total destruction of the Premises shall terminate this Lease. B.5. QUIET ENMMENT: LESSOR covenants that COUNTY shall at all times during the term of this base or extension thereof peaceably and quietly have, hold, and enjoy the Premises without suit, trouble or hindrance from or on account of LESSOR as long as COUNTY fully performs hereunder. 14 G:\Lc9scMgt\Hmi\1 Amoldil875 Amold LeaseV.doc BA JDEFAULI : The occurrence of any of the following shall constitute an Event of Default under this Lease: A. Event of Default by COUNTY 1. COUNTY'S failure to pay any Rental within ten (10) business days after written notice of the failure from LESSOR.to COUNTY 2. COUNTY'S failure to comply with any other material term or provision of this Lease if such failure continues thirty (30) days after written notice of failure from LESSOR to COUNTY specifying in reasonably sufficient detail the nature of said breach. If the required cure of the noticed default cannot be completed within thirty (30) days, COUNTY'S failure to perform shall constitute a default under the Lease unless COUNTY undertakes to cure the failure within thirty (30) days and diligently and continuously attempts to complete the cure as soon as reasonably possible. On the occurrence of an Event of Default by COUNTY, LESSOR may re-enter and repossess the Premises and remove all persons and property therefrom after giving COUNTY written notice of such Default and in accordance with due process of law. B. Event of Default by LESSOR. LESSOR'S failure to perform any of its obligations under this Lease shall constitute a default by LESSOR if the failure continues for thirty (30) days after written notice of the failure from COUNTY to LESSOR. If the required performance cannot be completed within thirty (30) days, LESSOR'S failure to perform shall constitute a default under this Lease unless LESSOR undertakes to cure the failure within thirty (30) days and diligently and continuously attempts to complete this cure as soon as reasonably possible. Notwithstanding the foregoing, in the event of a situation creating a perilous condition on the Premises which substantially and significantly threatens the health and safety of COUNTY and/or its invitees, such situation is not construed as a default 15 GALeaseMgt\Hervi\1875 Amold\1875 Arnold LeaseV.doc condition. LESSOR shall use reasonable efforts to immediately address the situation and shall use diligent efforts to correct the perilous condition. On the occurrence of an Event of Default by LESSOR, COUNTY may terminate this Lease and quit the Premises without further cost or obligation or may proceed to repair or correct the failure and either deduct the cost thereof from rental payments due to LESSOR, or at COUNTY'S option, invoice LESSOR for the cost of repair, which invoice LESSOR shall pay promptly upon receipt. B.7. SUCCESSORS AND ASST NS: The terms and provisions of this Lease shall extend to and be binding upon and inure to the benefit of the heirs, successors , and assignees of the respective parties hereto. B.g. SEVERABILITY: In the event that any provision herein is held to be invalid by any court of competent jurisdiction, the invalidity of any such provision shall not materially prejudice either the COUNTY or LESSOR in its respective rights and obligations contained in the valid provisions of this Lease. B.9. WASTE NUISANCE: COUNTY shall not commit, or suffer to be committed, any waste upon the Premises, or any nuisance or other act or thing which may disturb the quiet enjoyment of any other Lessee or occupant of the Building in which the Premises are located. B.10. SURRENDER OF PREMISES: On the last day, upon vacancy, or sooner termination of this Lease, COUNTY will peaceably and quietly leave and surrender to LESSOR these Premises with their appurtenances and fixtures (except signs and fixtures referred to hereinabove) in good order, condition, and repair (broom clean), excepting for reasonable use and wear thereof and damage by earthquake, fire, public calamity, by the elements, by Act of God, or by circumstances over which COUNTY has no control. COUNTY shall not be liable for painting the interior of the Premises upon termination of this Lease. B.11. INSPECTION: The LESSOR reserves the right to enter the Premises by prior appointment only between the hours of 9:00 a.m. and 4:30 p.m., Monday through Friday, holidays excepted, or in the event of an emergency, and to employ. the proper 10 GALeaaeMgt\HervA1875 Amold\1875 Arnold LemV,doc representative or contractor in order to see that the property is being reasonably cared for, that no waste is being made, and that all things are done in the manner best calculated for the preservation of the property, and in full compliance with the terms and conditions of this Lease. 17 GALeaseMgt\Hmi\1875 Amold\1875 Amold LeaseV.doc LEASE FOR CONTRA COSTA COUNTY EMPLOYMENT AND HUMAN SERVICES DEPARTMENT 1875 ARNOLD DRIVE MARTINEZ, CALIFORNIA SECTION C: SPECIAL PROVISIONS C.1. SERVICES_BY LESSOR: It is understood and agreed LESSOR shall provide certain janitorial services as shown on Exhibit "C", which is attached hereto and incorporated herein, and maintenance, construction, remodeling or like services as requested by COUNTY in writing from time to time during the term of this Lease. COUNTY shall pay to LESSOR as additional rent one hundred percent (100%) of the costs of said services plus a fifteen percent (15%) management fee. LESSOR shall consult with COUNTY and select either licensed, insured contractors or employees of LESSOR to provide the service. LESSOR shall obtain COUNTY'S prior approval on the scope, term, and cost of the contracts. COUNTY shall have the right to change the level of service from time to time by giving LESSOR thirty (30) days' prior written notice, including the right to terminate any or all service, or to require different contractors to provide said service. C.Z. SUBLEASE:„ COUNTY shall not have the right to sublease the Premises or any part thereof to any persons or contractors providing services to the COUNTY during the term of this Lease and extension terms without LESSOR'S written approval. Such approval shall not be unreasonably withheld. In event of such sublease, COUNTY shall remain responsible for payment of rent and meeting the obligations and conditions under the terms of this Lease. C.3. LIABILITY INSURANCE: It is understood and agreed that the COUNTY, a political subdivision of the State of California, is self-insured for its Public Liability exposure, which includes claims made by the public against the COUNTY for bodily injuries and property damage, to the extent such would be insured by a standard 18 GALeeseMgt\Hervi\1875 Amold\1875 Amold LenseV.doc commercial insurance company for an amount of not less than two million dollars ($2,000,000.00). LESSOR shall be included as additional insured under the COUNTY'S Public Liability self-insurance plan in the same manner as would otherwise be provided by a standard commercial general Public Liability insurance policy. The insurance amounts will be reviewed every five (5) years on the anniversary of the CPI RENT adjustments per Paragraph A.5. At this time, if the current coverage is considered inadequate by both the COUNTY and LESSOR, the value of the coverage will be adjusted to adequate valuation by COUNTY. CA pROPEII Y TAXES; COUNTY's proportionate forty nine and three tenths percent (49.3%) share of City and/or County taxes levied against Assessor's Parcel J-kL- 140-015-2 in any year during the term of this-Lease or extension thereof shall be included in COUNTY's monthly CAM expense payments in accordance with Paragraph A.10. COTe MON AREA MINTENANCF EXPENSES. However COUNTY shall not pay a prorata share of any increase resulting from a change in ownership of the property. It is understood that during the first and last years of COUNTY occupancy, the taxes shall be prorated between LESSOR and COUNTY according to the number of days the COUNTY shall have possession of the Premises. C.5 ACC MPL ISHMEN1 OF IMPROVE NTS. A. Tenant Improvements: LESSOR and COUNTY agree that LESSOR shall construct improvements on the Premises per plans and specifications prepared by Roger J. Wilson, Architect, dated 7-31-00, as revised, copies of which are on file with both parties, and Tenant Improvement Construction Schedule and Budget attached hereto and made a part hereof as "Exhibit U". Construction may begin upon notification to LESSOR that COUNTY has executed this lease. LESSOR shall not make or cause any changes in said plans or specifications without prior written consent of COUNTY. LESSOR shall make changes, additions or deletions upon written Change Order from COUNTY and such items shall be charged at a rate not to exceed direct cost. COUNTY shall receive full credit for any deletions. COUNTY reserves the right to inspect during 19 GALeaseMgt\HervA1875 Amoldl1875 Arnold LeaseV.doc construction of improvements as specified herein, but will not interfere with LESSOR'S work and will notify LESSOR of any requests, recommendations or discrepancies. B. If, by April 1, 2001, LESSOR has completed all COUNTY tenant improvements and they are accepted in writing by COUNTY Lease Manager, or designee, rent shall commence effective April 1, 2001. In the event LESSOR cannot deliver the Premises by April 1, 2001, rent shall not commence until the first workday after the COUNTY improvements are accepted in writing by the COUNTY Lease Manager or designee. If the improvements are.not completed by August 1, 2001, COUNTY may, at its sole discretion, terminate this Lease by giving LESSOR written notice, with no further cost or obligation on part of the COUNTY or (per Paragraph B.63) COUNTY may proceed to complete the Tenant Improvements and deduct the cost from future rental payments or invoice LESSOR for the balance due, which LESSOR will pay within 30 days to COUNTY. C. Upon LESSOR'S written request, the dates in this paragraph shall be extended by the time lost as a result of work stoppages, strikes, shortage of material or Act of God, provided such time is entirely beyond LESSOR'S control. C.6. COMELETION AND OCCU ANCY: The following procedure shall apply for completion, acceptance and payment of COUNTY tenant improvements: A. Upon LESSOR'S completion of COUNTY tenant improvements and written notice thereof to the COUNTY Lease Manager, COUNTY shall inspect within three (3) workdays, after receiving said notice and shall accept or reject said improvements within six (6)workdays of receipt of such written notice. B. The sole basis for rejection of the improvements shall be nonconformity with plans and specifications with applicable laws or ordinances. In the event COUNTY rejects the improvements, COUNTY shall provide LESSOR with a reasonably detailed list of the deficient portions or details of the improvements. 20 GALea9eMgfflervA1875 Amold\1875 Amold LeaseV.doc C. LESSOR. shall immediately commence to complete or correct the rejected portion. D. COUNTY shall reimburse LESSOR One Hundred percent (100%) of the costs of COUNTY tenant improvements, which are agreed not to exceed $538,713.00 exclusive of Change Orders and Building Permit fees. COUNTY shall reimburse LESSOR one hundred percent (100%) of the Building Permit fee expenses upon submission of such expenses. After lease execution, LESSOR. may submit to COUNTY a properly documented progress payment request on a form approved by COUNTY, according to the following payment schedule: 10% payment upon execution of this Lease, and thereafter by the first working day of each month, LESSOR shall submit to COUNTY a properly documented monthly progress payment request with authorized (by COUNTY) payment due to LESSOR within seven (7) working days of receipt. LESSOR's monthly submittals shall document the percentage (%) complete of the project. E. Acceptance of said tenant improvements shall not constitute a waver of any warranty of any defect regarding workmanship or material of the improvements on the Premises. P. COUNTY has approved and accepted as a proper form the LESSOR's General Contractor's Conditional Waver and Release form Progress Payment. . C.7. MFMORANIDIUM OF LEASE: Upon full execution of this Lease the parties shall cause a memorandum of lease ("Memorandum of Lease") in the form of Exhibit "E", attached hereto and made a part hereof, and otherwise satisfactory in form and substance to County, to be recorded in the office of the County Recorder of Contra Costa County, California. This will be in lieu of recording the entire instrument. Upon termination of this Lease, COUNTY shall execute a Quitclaim Deed to LESSOR to clear Lease from LESSOR's title. 21 G.\LeaseMgt\Hervi\I875 Amold\1875 Arnold LeaseV.doc EXHIBITS: EXHIBIT A: PREMISES EXHIBIT B: PREMISES & PARKING LOT EXHIBIT C: JANITORIAL SPECIFICATIONS EXHIBIT D: TENANT IMPROVEMENT CONSTRUCTION SCHEDULE & BUDGET EXHIBIT E: MEMORANDUM OF LEASE 22 GALcaseMgt\Hervi\1875 Arnold\1875 Arnold Lease27.doc Exhibit "A" I I I I I K4 I I i � F t I i J I I I II 1 i I 1 + I i 1 f o I I I I IE f I I � I I I t n I I 1 I I f wco�t j � � Mi1FM1iH0^J to � I UUU i I II I 0 Ln OD F I -�;Tr 1,r f ' -ter it--11 11 11 I n n u n III ��t-=it I��$= It 1 II u u n I, ==11==tt==lF=fit= If I i 1 I I t II 1 ---4-__-..t I I � I I i y •_J [[i L o-,vc I o-Ac O•,LI ..�.,... .....�. ..... ......�,.... I .,�. ..�, ....�..,»...,» �d, ...1..... I I I ! f t 1 I ! ! f 4 t i ! ! 1111 I I i f 1 t ! � t _.,� ! �+w�l+rwJrza as r6vw�xa•ra zz�a�r �,�••Y4 r—� I _ 11 I It 'll TL "etre ' I It ...a....,... ! �,,,� •.�,��.� .,� ::��! � � ... .. ._..wry t 1 i � ' - I ! It ! utsrc■cry cScRyCb G hAPN t7rr `-- � �CD:rxs +"_ sF• t•`u [Y .a .arersx.um sxs r.as;�+v.atrxJur-s+assW'� #..... � Af► _•y+Ct~Yi �'—�s.sar��srax r+rr..�� yv+.tiii+uw+w�r�trawrrrams�a� I ' Exhibit "C" DON BALESTRIERI, OWNER DBA DON'S JANITORIAL SERVICE Gerald C. Phillips Skillcra#t Inc. 1875 Arnold Drive Martinez, CA 94553 Gentlemen. In accordance with your request, the following is our maintenance proposal for janitorial and window cleaning services at the above location, second floor, Contra Costa County, tenant The area to be serviced is the complete second floor including bathrooms. Janitorial services will be provided five (5) days a week as follows: DA LY SERVICES: 1. Clean all restrooms thoroughly each day, including, but not limited to, fixtures, mirrors, hardware, wash basins, partitions, doors, and the surfaces. 2. Disinfect all toilets, urinals, and wash basins and mop floors nightly. 3. Inspect supplies in restroom dispensers and replace as necessary. 4. Empty and wipe out ash trays with a damp cloth. 5. Empty all trash containers throughout the premises. h. Clean and disinfect drinking fountains. Kitchen sinks and etc in the staff area. 7. Vacuum or spot-vacuum carpets as necessary around entry and heavy traffic areas, Spot-clean carpets periodically as needed, 8. Remove.spots and finger marks from glass on entry doors and all interior partitions. 9. Dust counter taps, desk tops, cabinets, tables, low wall partitions, window sills, and telephones. 10. Sweep uncarpeted floors nightly and spot-mop as needed. Y�EEKLY SERVICES 1. Vacuum all carpets thoroughly throughout the premises. 2. Dust building completely. 3. Mop all vinyl floor areas weekly and strip, wax, and buff when necessary. 4. Replace trash contain liners as necessary. SUPPLIES AND EQUIPMENT! I. Paper supplies such as seat covers, towels, toilet tissue, sanitary napkins, soap for sink dispensers, and trash container liners shall be furnished by the County. These supplies will be paid for by Lessor. 2. Lessor shall furnish all equipment and tools, Cleaning supplies such as carpet cleaner, disinfectant, wax, and ether supplies or chemicals required will be furnished by the County. These supplies will be paid for by Lessor. MISCELL•AN D—U I. Janitor room shall be kept neat, clean, and free of debris. 2. Security: Lock all doors and windows, set night lights and alarms system before leaving the building. The foregoing services (daily and weekly) will be provided for the sum of one thousand nine hundred fifty dollars ($1950.00) per month. This service will be billed monthly. ADDMONAL SERVICES TWICE YEARLY: 1. Wash all windows, window screens, and glass on both sides two times a year in May and November. This includes all interior office windows and glass. This service will be provided for $600.00 per year. 2. Clean all ventilation grills. This service will be provided for time and material as unable to determine the exact cost until the tenant improvements are in place. ONCE YEARLY: 1. Wash and clean all light fixtures inside and outside. 140 fixtures (15minutes per fixture, 4 per hour equals 35 hours @ $20.00 per hour). This service will be provided for $700.00. 2. Shampoo carpets. This service will be provided for time and materials. ACCEPTANCE; Upon acceptance of this maintenance proposal, this proposal will be an agreement effective July 2001. This agreement will remain in effect until terminated by either party. Each party must give to the other party a thirty (30) day written notice before termination. Sincerely, lion R 1 a estrier� Accepted on CL--t 2000 Gerald C. Phillips, President f I i i i t I i I Exhibit "d" Page 1/8 r ua i aoCO c( c c c c c c c c c c c c C[S j in I i , ..... to X CD I _ 1 c r` co x ? cyd i xI crr — co ! ray' Inin ; Sift x 00 . ,Y) _ i x ram � � � � 0 r4 c C\l Xcu - _ lz cj x • w ~ 1 i W U) Z U Lc . cn sem, `U i U,r°� co ' v 'cn 8CL r- 13: tD so caw < a ti ti 0 09 z cx. a: R ¢ m v tv Exhibit "D" Page 2/8 Exhibit "'D" Page 3/8 . s too "' y ,ss:v a�o IC04 Cc uj 00 DIV .t 00 00 Exhibit ��, •► page 4/8 E 3 J ~ moo ..�►► momclI o `Q C4 r �,,yn�tyxn .v eq ray.h1aNt 1 ar ► CoQ } N CL_ .rrr• ,,\ ANN ILTIL 0. r x 'V • 1 \ t 7 �r� w w It �y0rr page 6/8 't V� �caaOgg „ cv a'b rte+ an ria civ `wlr�I 4 ,,!' c'C0 cv .0ra� farm Cr N wt 00 CS, IAAlc rn C T Page 71$ E `lbit &o 0. z Toor fft" rift T4 Cq 0- ell .4 _ C4 Y W��M �"'� _. _.. .. _ P YARD MANLOVE CONSTRUCTION 'CO. P. 0. Box 21277 - Concord, Ca. 94521 Tel. (925)685-8162 - Fax: (925) 685-8164 INDEPENDENT LIVING,-1 S75 Mhold Drive, Z. ITEM COST % CURRENT PREVIOUS TOTAL FIXED COSTS 19813 0% _ 0 0% CARPENTRY 4400 ___ - _ _--.-------____. __ __-_ _ _. -- - 0 MILL & FINISH 3900 0% 0 CABINETS & PL. TOPS 25200 0% - 0 COUNTERTOP S.S. 2600 0% 0 DORS & HARDWARE 37300 0% 0 SHOWER, Curt, Rod, Rmp 700 0% 0 ELECTRICAL 78700 0010, Q_ FIRE SPRINKLERS 21800 0% 0 FLOOR VINYL & BASE 10400--0% 0 H6MASOTE & PLYWD. 46800 0% 0 GLASS, ALUM. & MIRR. 7100 0% _ - -- 0 GYPBD. & METAL STUD 96300 0% 0 H.V.A.C. 65800 0% ' 0 INSULATE, BATT & RIGD 6600 0% 0 INSULATE - ROOF 1080{ _ 0% 0 T.R. CEILING - ALLOW 2000 0% 0 _ PAINTING 13000 0% 0 PLUMBING vv GAS 25200 0% 0- ROOFING 3500 0% 0 SUSPENDED T-BAR 218000% 0 T.R. & H.0 ACCESS _ -_-- 2100 --_0% - 0 TILE CERAMIC 9300 0% 0 - -� -y-- APPLIANCE INET. ALLOW 2000 0% 0 TEL., DATA PARTITION 0 0% � 0 _ - -.- TEST & INSP. - ALLOW 400 0% 0 MINI BLINDS 4900 0% 0 ALARM WIRING, FIRE 145000% 0 VINYL WALL COVER 1800 0% 0 - -_SUBTOTAL 538713 US PAYMENT0% 0 0 0 PREVIO .-_� -.�-- --_ .______ �. �-_ -----_------.._.____ RETENTION — --- - -------------0 TOTAL NOW DUE (DATE) $0 Exhibit "D" Page 8/8 EAH1BIT tlll RECORDING REQUESTED BY ANIS WHEN RECORDED RETURN TO: County of Contra Costa General Services Department Lease Management Division 1220 Morello Avenue, Suite 100 Martinez, CA 94553-4711 Attention: Hervi Ebel Memorandum Of Lease This Memorandum of Lease ("Memorandum") is dated as of Feb. 1. 2Ue t, is entered into between Skilicraft, Incorporated, ("LESSOR"), and COUNTY OF CONTRA COSTA, a political subdivision of the State of California ("COUNTY"). Recitals A. On February 1 p 2001 . LESSOR and COUNTY entered into a Lease ("Lease"), pursuant to which LESSOR leased to COUNTY and COUNTY leased from LESSOR real property, more particularly described in Exhibit A attached hereto and incorporated herein by reference ("Premises"), consisting of approximately 10,660 square feet of the second fluor of an office building located at 1875 Arnold Drive, Martinez and on which the building is placed and associated grounds, parking, landscaping and other related amenities. B. LESSOR and COUNTY desire to execute this Memorandum to provide constructive notice of LESSOR's and COUNTY's rights under the Lease, including the option rights to extend said Lease, to all third parties. For goad and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties agree as follows: 1. Conveyance and Term By this Memorandum and that certain Lease between the LESSOR and COUNTY of CONTRA COSTA , LESSOR leases to COUNTY the Premises described in Exhibit'A for a term often(10) years, commencing on April 1, 2001, and ending on March 31, 2011. In addition, LESSOR grants to COUNTY three(3) options to extend; first option for a term of five (5)years commencing on April 1, 201 land ending on March 31, 2016; second option for a term of five (5) years commencing on April 1, 2016 and ending on March 31, 2021; third option for a term of five(5)years commencing on April 1, 2021 and ending on March 31, ,2026. 2. Successors and Assigns This Memorandum and the Lease shall bind and inure to the benefit of the parties and their respective heirs, successors, and assigns, subject, however, to the provisions of the Lease on assignment. 3. Governing Law This Memorandum and the Lease are governed by California law. The venue for any dispute concerning this Lease shall be Contra Costa County, CA. -IN WITNESS WHEREOF, the parties hereto have executed the MEMORANDUM OF LEASE as of the day and year. COUNTY: LESSOR: COUNTY OF CONTRA COSTA SK.ILLCRAFT, INCORPORATED a political subdivision of the State of California ,r By By: Director of General Services 4 1 APPROVED AS TO FORM: VICTOR.J. WESTMAN, County Counsel, By: Deputy A-1-III L-s 1 L 1, RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: County of Contra Costa General Services Department Lease Management Division 1220 Morello Avenue, Suite 100 Martinez, CA 94553-4711 Attention: Hervi Ebel Memorandum Of Lease This Memorandum of Lease ("Memorandum") is dated as of , is entered into between Skillcraft, Incorporated, ("LESSOR"), and COUNTY OF CONTRA COSTA, a political subdivision of the State of California ("COUNTY"). Recitals A. On LESSOR and COUNTY entered into a Lease ("Lease"), pursuant to which LESSOR leased to COUNTY and COUNTY leased from LESSOR real property, more particularly described in Exhibit A attached hereto and incorporated herein by reference ("Premises"), consisting of approximately 10,660 square feet of the second floor of an office building located at 1875 Arnold Drive, Martinez and on which the building is placed and associated grounds, parking, landscaping and other related amenities. B. LESSOR and COUNTY desire to execute this Memorandum to provide constructive notice of LESSOR's and COUNTY's rights under the Lease, including the option rights to extend said Lease, to all third parties. For good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties agree as follows: 1. Conveyance and Term By this Memorandum and that certain Lease between the LESSOR and COUNTY of , LESSOR leases to COUNTY the Premises described in Exhibit A for a term often (10) years, commencing on April 1, 2001, and ending on March 31, 2011. In addition, LESSOR grants to COUNTY three(3) options to extend: first option for a term of five(5)years commencing on April 1, 201 land ending on March 31, 2016; second option for a term of five (5) years commencing on April 1, 2016 and ending on March 31, 2021; third option for a term of five (5)years commencing on April 1, 2021 and ending on March 31, 2026. 2. Successors and Assigns This Memorandum and the Lease shall bind and inure to the benefit of the parties and their respective heirs, successors, and assigns, subject, however, to the provisions of the Lease on assignment. 3. Governing Law This Memorandum and the Lease are governed by California law. The venue for any dispute concerning this Lease shall be Contra Costa County, CA, IN WITNESS WHEREOF, the parties hereto have executed the MEMORANDUM OF LEASE as of the day and year. COUNTY: LESSOR: COUNTY OF CONTRA COSTA SKILLCRAFT, CORPORATED a political subdivision of the State of California By By: _ b&&Q9k - Director of General Services By APPROVED AS TO FORM: VICTOR J. WESTMAN, County Counsel, By: Deputy STATE OF CALIFORNIA } COUNTY OF CONTRA COSTA } On _ aRf )efore me, a Dep ty Clerk of the `'�rd of Supervisors, Contra C sta County, personally appeared J who is personally known to me (or proved t me on the basis of satisfactory evidence) to be the person(s) whose name(s) ip are ubscribed to the within instrument and acknowledged to me that he/she/ a executed the same in his/her/ @ uthorized capacity(ies), and that by his/her/ signature(s) on the instrument, the person(s), or the entity`upon behalf of which the person(s) acted, executed the instrument. In witness wher of, I have hereunto set my hand the day and year first above written. Signature Deputy Clerk �t ." lotw G.tGrpData\RealProp\FORMs1AK1.doo 8/25/00