2004-16RESOLUTION 2004- 16
A RESOLUTION AUTHORIZING THE EXECUTION OF A LEASE BETWEEN THE
VILLAGE OF BUFFALO GROVE AND TAP ROOM HOSPITALITY, LLC.
d /b /a CONNIE'S CLUBHOUSE AND TAVERN
WHEREAS, the Village of Buffalo Grove is a Home Rule Unit pursuant to the
Illinois State Constitution of 1970; and
WHEREAS,,, it has determined that it is in the best interest of the Village
to lease the restaurant and beverage services at the Buffalo Grove Golf Club.
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF BUFFALO GROVE, COOK AND LAKE COUNTIES, ILLINOIS that:
Section 1. The Village President and Clerk are hereby authorized to
execute a lease attached hereto as Exhibit "A" entitled "Lease Between the
Village of Buffalo Grove and Tap Room Hospitality, LLC, d /b /a Connie's
Clubhouse and Tavern" dated as of the 21st day of June, 2004.
Section 2. In authorizing the aforementioned Lease, the Village has relied
upon the commitment of Tap Room Hospitality, LLC, contained in the letter
to the Village dated June 21, 2004, attached hereto as Exhibit "B" wherein
Tap Room Hospitality, LLC. has guaranteed obligations that Creative
Hospitality, Inc., may have to the Village pursuant to the Lease dated
October 20, 2003 by and between the Village of Buffalo Grove as lessor and
Creative Hospitality, Inc. as lessee.
Section 3. Village staff is hereby directed to insure that this lease is
implemented in order for full service to continue at the Buffalo Grove
Golf Club beginning July 1, 2004.
AYES: 6 - Braiman, Glover, Berman, Johnson, Kahn, Trill
NAYES: 0 - None
ABSENT: 0 - None
PASSED: June 21. ,2004. APPROVED: June 21 ,2004.
Village President Vill Clerk
• • Exhibit "A"
LEASE BETWEEN THE VILLAGE OF BUFFALO GROVE AND
TAP ROOM HOSPITALITY, LLC. d /b /a CONNIE'S CLUBHOUSE AND TAVERN
This Lease is entered into this 21st day of June, 2004, by and between the
Village of Buffalo Grove, a municipal corporation ( "Lessor "), and Tap Room
Hospitality, LLC. d /b /a Connie's Clubhouse and Tavern an Illinois limited
liability company ( "Lessee "):
Section A. Purpose of Lease:
1. Lease: Lessor hereby leases to Lessee the exclusive, subject to the
restrictions noted in Section G.2. and Addendum "A ", rights to operate the
restaurant facilities and lounge located in the Buffalo Grove Golf Course Club
House at 48 Raupp Boulevard, Buffalo Grove, Illinois. The leased areas are
further depicted in part on Exhibit "A" attached hereto and may hereinafter be
referred to as the "Premises" and are to be used and occupied by Lessee as
restaurant, bar and lounge (sale of liquor included) for the term commencing July
1, 2004 through December 31, 2008. An extension to this Lease may be granted upon
terms mutually acceptable to both parties to this Lease for a term to be
determined, unless otherwise terminated as hereinafter set forth.
Premises will also include areas as further depicted on Exhibit" All as
leased area and other areas as included from time to time by amendment hereto.
Additionally, the Lessee shall be given access to areas adjacent to the
club house facilities that will include but not be limited to patios, event tents
and golf course grounds for the purpose of utilizing beverage carts.
Section B. Terms and Conditions:
1. Operations: Lessee shall operate the Premises as restaurant, lounge and
bar meeting the requirements of a golf course operation as well as a public
restaurant and lounge as reasonably determined by the Lessor that are in
conformance with standards followed by restaurants and lounges in the same or
similar operation. Lessor and Lessee shall work together to develop operational
standards and parameters in order to meet mutual goals and objectives. Lessor
reserves the right to approve service standards that insure that banquets,
outings and community -based events are accommodated. Services shall be year
around although seasonal service considerations will be evaluated. Seasonal
coordination must be in concert with the intentions of the Village's Director of
Golf Operations who will coordinate golf outings and banquets with Lessee.
Additional operational requirements and guidelines are attached as Addendum
"A" to this Lease. on an annual basis, Lessor and Lessee shall review Addendum
"A" to make certain that all areas of service and maintenance are being
addressed, remain relevant and remain appropriate operationally.
2. Lawfulness: Lessee shall not conduct or permit any conduct on the
demised Premises which is contrary to the laws of any governmental authority.
1
3. Compliance: During the term of this Lease, Lessee shall comply with all
Federal, State, County and Village statutes and ordinances, including but not by
way of limitation, State of Illinois and Village of Buffalo Grove liquor control
ordinances and statutes for operation on a municipally owned golf facility.
4. Licenses: Lessee shall obtain a Village of Buffalo Grove business
license, Village of Buffalo Grove liquor license, a State of Illinois liquor
license and any and all applicable Federal licenses. In the event Lessee is
unable to obtain or retain any such licenses, then this Lease shall be null and
void.
5. Hours of Operation: Notwithstanding the provisions of any state statute
or Village Ordinance, the hours of operation shall be approved in advance by the
Lessor and such approval shall not be unreasonably withheld. The hours of
operation shall be established between the Lessor and Lessee based upon the best
judgement of Lessee and approved by Lessor and such approval will not be
unreasonably withheld. Lessor shall remain flexible to changes of hours of
operation based on seasonal considerations. However, any substantial change in
hours of service will require a thirty- (30) day notice to Lessor prior to taking
effect.
6. Performance: The parties understand that Lessor has developed and
maintained the property where the Premises are situated as a place for a high
quality type of use as stated in Section B, Paragraph 1 herein, and accordingly,
Lessee, as a special inducement to Lessor to enter into this Lease, covenants,
agrees and represents that the business the Lessee will conduct on the Premises
will be reputable in all respects, that Lessee will employ and operate both
facilities in conformance with the standards followed by restaurants, lounges and
bars dealing in the same or similar operation.
7. Access: Lessee shall allow the Lessor reasonable access, upon notice to
Lessee, to the Premises for the purposes of examining it to ascertain that they
are in good repair and in clean and sanitary condition. It is understood that
the property is basically a golf course facility and that nothing herein
contained shall interfere with the operation as such. Lessee shall have access
to parking lot and other parts of all facilities for making any necessary repairs
or maintenance.
8. Remedies: The rights and remedies of the parties under this Lease are
cumulative. The exercise or use of any one or more thereof shall not bar Lessor
or Lessee from exercise or use of any other right or remedy provided herein or
otherwise provided by law, nor shall exercise nor use of any right or remedy by
Lessor waive any other right or remedy.
9. Security Deposit: Lessee shall post a performance bond with the Lessor,
in the amount of $5,000 for the faithful performance of this Lease. The
2
performance bond shall be in a form and manner acceptable to the Lessor. If for
any reason Lessor shall be required to draw from said security deposit, Lessee
shall replenish within thirty (30) days said draw to initial balance of deposit.
In addition, Lessee agrees that said performance bond shall be drawn by the
Lessor if Lessee ceases operations at any time, for whatever reason, prior to
December 31, 2008, not withstanding paragraph F.l.
Section C. Rent and Other Compensation.
1. Rent: Beginning July 1, 2004 and on the 1st of each month thereafter,
and payable monthly in arrears, Lessee shall pay as rent a sum equivalent to 50
of gross food, beverage and banquet sales delivered at the Premises, excluding
sales tax and service charges (defined as gratuities and other fees charged over
and above food and beverage sales, which would include but not be limited to,
banquet wage differentials, comped meals /beverages, overrings, discounts,
equipment charges, etc.) to Lessor, for all food and beverage sales on the
Premises and surrounding areas regardless of where such sales may be booked or
reserved. Lessee shall submit monthly, certified sales figures to Lessor along
with an operating statement to support the rent remittance which identifies
service charges no later than one month (28 -31 days) after the end of the month
so concluding. By means of example, rent due the Lessor for July 2004 will be
due, with applicable reporting to support the remittance, by September 1, 2004
and so on. Failure to remit rent by the due date shall subject Lessee to a late
penalty fee equal to the equivalent of 1.5% per month, or portion thereof, until
rent is paid to Lessor.
Rent will be limited to an amount not to exceed $60,000 on an annual,
calendar year basis.
2. Utilities: Lessor and Lessee shall share on a square footage basis the
cost of all utilities including electricity, gas and water for the club house
facilities only. All bills for same shall be in Lessor's name and Lessee shall
pay same as additional rent. Lessor shall subsequently invoice Lessee the pro-
rated charge to be determined as per Exhibit "A" to this document. Lessee shall
pay Lessor within thirty (30) days after receipt the invoiced pro -rated share of
utilities. Lessor shall provide a record of computations used in determining
utility charges due. Lessee and Lessor shall work together to maintain practices
that will minimize the cost of utilities to both parties of the Lease.
Additionally, Lessee will maintain the current telephone service for the
Premises and will be invoiced monthly based on actual usage and line /service
related charges. Lessor shall provide a record of computations used in
determining telephone charges due. As of the date of this Lease, the phone
numbers assigned to Lessee are 847 -459 -5522 and 847 -459 -5523. Any extensions
added for the exclusive use of Lessee shall be added as an amendment to this
3
Lease.
Failure to remit utility invoices by the due date shall subject Lessee to a
late penalty fee equal to the equivalent of 1.5% per month, or portion thereof,
until said invoices are paid to Lessor.
3. Examination of Records: Lessor reserves the right to review the records
of the Lessee relating to the operation of the Premises. The Lessor's Authorized
Agent or representative(s) may review the records. Lessor will pledge to keep
such returns confidential and not open to any public inspection if not in
violation or contrary to any laws.
Section D. Cleaning, Maintenance & Improvements:
1. Cleaning: Lessee shall maintain, clean and keep in good repair all areas
related to the restaurant within the club house and adjacent areas where food and
beverage services will be provided from time to time, including, but not limited
to, the washrooms. Lessee shall coordinate with the Lessor's Director of Golf
Operations to develop an acceptable level of service and standards for the
cleaning of washroom areas. Lessee shall not be responsible for the cleaning of
the locker room areas within the Premises unless circumstances require Lessee
access to such areas.
Lessee shall maintain, clean and keep in good repair all kitchen and
beverage dispensing equipment (including but not limited to, walk -in coolers and
freezers, ranges, stoves) and outside garbage /refuse and storage areas. Daily
cleaning shall be concluded prior to opening on a daily basis. Lessee's area
shall be maintained in a condition acceptable to Lessor's Health Officer. If
Lessee receives violations from the Health Officer and does not take corrective
action within the time limits prescribed within such violation, then Lessor may
correct same and invoice Lessee for the costs to correct the violation(s).
Lessor shall be responsible for maintaining and cleaning all other outside
areas (including parking lots) along with those portions of the clubhouse and
adjacent areas committed to golf play.
The parties expressly understand hereto that notwithstanding anything to
the contrary, the Lessee shall not be responsible for making any repairs to the
parking lot at the Buffalo Grove Golf Club.
In addition, if Lessor should be required to repair any damage caused to
Premises that is a direct result of the Lessee's operations Lessee will be
invoiced for the cost to perform such repairs.
As part of maintaining and cleaning the Premises, Lessee shall maintain a
posted ledger in a form acceptable to the Village's Health Officer denoting
periodic cleaning to public places such as washrooms, bar and restaurant areas.
Failure to comply with the terms of this Section will constitute a
condition of default under this Lease.
4
2. Maintenance: Maintenance, replacement, upkeep and disposal of equipment
and furnishings will be the obligation of the Lessee. Lessee shall be
responsible for any maintenance and repairs, with the exception of major repairs.
Major repairs shall be any repair exceeding $500.00 to Lessor's equipment and
furnishings listed in Exhibit "B" for which Lessor shall be responsible. Lessee
shall maintain a record of any and all maintenance performed on all equipment and
furnishings that will be available at all times to Lessor.
Any disposal of equipment listed must be approved by the Lessor prior to
disposal. All equipment that is installed by the Lessee over and above that
equipment so listed shall also be maintained and repaired by Lessee. Lessor
shall maintain all other areas in good repair including, but not limited to,
sewers, utilities, heating and air conditioning systems.
3. Equipment: Lessor owns the equipment and furnishings as listed on
Exhibit "B" hereto. By July 1, 2004, Lessee and Lessor shall acknowledge in
writing that an accounting and inspection has taken place on all equipment and
furnishings so listed on and that all such equipment and furnishings are in good
operating condition and whether any equipment and furnishings should be
replaced /repaired. Lessor acknowledges that at the time of initial execution of
this lease that it is obligated to pay for any maintenance required of equipment
and furnishings owned by Lessor. Lessee and Lessor shall coordinate for the
inspection and maintenance of all such equipment and furnishings.
Lessee shall have the right to substitute equipment and furnishings for
that in Exhibit "B ". All expense of connection and installation shall be borne
by Lessee. Lessor shall store all removed equipment. Upon termination of this
Lease for any cause, the Lessee shall reinstall old equipment without cost to
Lessor, provided that the Premises shall be in the same condition as prior to
removal. If structural changes are necessary to install any new equipment,
Lessee shall have the option of either restoring the Premises to the same
condition prior to the installation of the new equipment or said equipment shall
remain and shall be the sole property of Lessor.
Upon termination of this Lease for whatever reason, Lessor shall have the
right of first refusal to purchase any Lessee installed non - mobile equipment and
fixtures as well as furnishings at their fair market value. Such fair market
value shall be determined through a fair appraisal of such equipment and fixtures
to be conducted by an appraiser to be retained by Lessor who shall conduct such
appraisal and shall be paid by Lessor. Any appraiser shall not be denied access
to review any and all equipment and fixtures on the Premises for the purpose of
determining the fair market value of such equipment and fixtures. A copy of paid
invoices for any equipment so purchased by Lessee under this paragraph shall be
forwarded to Lessor within thirty (30) days of purchase.
5
Lessor's first right of refusal as set forth above shall be exercised
within thirty (30) days of termination of this Lease.
Lessee shall be responsible for any rental and maintenance expenses
incurred as a result of maintaining bar cart service upon the Premises.
4. Decorating and Capital Improvement: Decorating or new capital
improvements shall be done at Lessee's expense, unless waived, upon written
notice to and approval by the Lessor with the exception of those improvements set
forth in Section D, paragraph 5 below. Any capital improvements shall become
part of Lessor's property. As a condition of this Lease, Lessee shall, no later
than October 1, 2004, submit to Lessor a program of upgrades to the Premises that
shall be completed no later than March 1, 2005. Such program, which must be
approved by Lessor, shall include, but not be limited to, kitchen improvements to
address food safety, sanitation and efficiency, along with improvements that
would include painting, carpet replacement and fixture replacement. In addition,
Lessee shall commit to not less than $75,000, in improvements to those areas of
the Premises other than the kitchen, commonly referred to at the "front of the
house ", which will be secured by a Letter of Credit in a form acceptable to the
Lessor's counsel; any improvements to the kitchen, as suggested above, shall not
be included in this commitment.
Further, and no later than March 1, 2005, Lessor and Lessee will cooperate
to develop plans that could involve extensive modification to the Premises.
5. Outside Lighting: Any outside lighting of the Premises shall be done at
Lessor's sole discretion and at Lessor's cost. Any outside lighting of an
exterior sign shall be done at Lessee's cost unless waived or shared with the
Lessor.
6. Signs: Lessee may be permitted to display such exterior wall signs as
permitted by the Village. Lessee shall pay for the construction of any such
signs unless shared with the Lessor, At termination of this Lease, any such
signs shall become the Lessor's property. The signage maintained by Lessor on
Lake -Cook Road is primarily intended to identify the Buffalo Grove Golf Club
facility. However, any additional identification will be subject to the approval
of Lessor, whose approval will not be unreasonably withheld.
7. Leasehold Improvements: Any improvements shall be property of Lessor.
S. Alterations: Lessee shall make no material changes, alterations or
additions in, on, or to the Premises without the written consent of the Lessor,
which shall not be unreasonably withheld.
9. Coin Operated Amusement Machines & Tobacco Sales: Lessee may maintain
and have the proceeds of coin operated amusement vending machines within the
limits permitted by Village ordinance. Lessee shall obtain licenses on any
machines so permitted by Village Ordinance.
L
Lessee shall have the right to sell tobacco products through a vending
machine maintained by Lessee. Lessee shall obtain the required tobacco license
and shall conform to village Ordinances that govern the sale of tobacco products.
Any coin operated amusement and tobacco vending machines will be kept in
the bar area only with the exception of a jukebox. Lessee shall not maintain
pool tables within the Premises.
Section E. Assignment of Lease:
1. Assignment: The Lessee shall not have the right to assign this Lease
without the Lessor's prior written consent. Consent shall be based on, but not
limited to, the following criterion: financial ability to perform, knowledge in
the business of operating food and bar facilities, ability to maintain service
levels required by Lessor that are in conformance with the terms and conditions
of this Lease. Lessee shall give Lessor one hundred twenty (120) days notice
prior to any consideration of assignment.
In the event of any such assignment of this Lease, the Lessee shall be
released from any and all liability arising or accruing under this Lease after
the date of such assignment, provided that the assignee executes, acknowledges,
and delivers a valid, binding, and sufficient instrument in writing, directly
enforceable by the Lessor, containing the assignee's assumption and agreement to
pay all rent and other amounts reserved in this Lease and to perform all of the
covenants, provisions, and conditions thereof, and that an original of such
assumption and agreement be delivered to the Lessor. In no other circumstance
shall the Lessee be so released, nor shall the acceptance of rent by the Lessor
from any such assignee in any case operate or be taken to work or effect such
release.
Section F. Termination:
1. Termination: In the event of any default in the terms hereof and if the
same are not corrected within thirty (30) days (with the exception being the
failure to remit rent or utility reimbursements which should be corrected within
ten (10) days from written notice of same], the Lessor may terminate the Lease
and take possession of the Premises and equipment with the institution of
eviction proceedings and the exercise of due process of law. Each of the parties
hereto shall have the recourse to any court of law or equity to enforce the
provisions of this Lease as set forth herein.
Lessee shall have an option of terminating this Lease by providing written
notice to Lessor no later than November 1, 2005 and on each November 1st
thereafter, effective the following December 31st. Reasons for termination shall
be demonstrated to and approved by the Lessor prior to any such termination.
Upon termination for whatever reason, the Lessee shall deliver up the
Premises and the equipment listed in the attached Exhibit "B" (along with any
7
replaced equipment or furnishings that cannot be removed) and that equipment and
furnishings noted in Section D, Paragraph 3 that Lessor has exercised its right
of first refusal on in a clean, operating and sanitary condition except for
ordinary wear and tear.
2. Bankruptcy: In the event that Lessee shall become bankrupt or shall make
a voluntary assignment for the benefit of creditors, on in the event that a
receiver is appointed, then, at the option of the Lessor on thirty (30) days
written notice, this Lease may be terminated.
3. Casualty: In case the Premises shall be rendered untenantable during the
term of this Lease by fire or other casualty, Lessor at its option may terminate
this Lease or repair the Premises within ninety (90) days thereafter, which may
be extended due to circumstances brought upon by the extent of the loss. No rent
or utilities shall be due and owing from the date of the fire or other casualty
until the date the Premises is rendered tenantable. If Lessor elects to repair,
this Lease shall remain in effect provided such repairs are completed in an
expeditious manner. If Lessor shall not have repaired the Premises within an
agreed time, then Lessee may terminate this Lease. If this Lease is terminated
by reason of fire or casualty as herein specified, rent shall be apportioned and
paid to the day of such fire or other casualty.
Section G. General Conditions:
1. Insurance: Lessee shall (during the term and any extension hereof)
maintain insurance acceptable to Lessor and such insurance shall be in the
following amounts:
(A) Worker's Compensation at the required statutory levels.
(B) Dram Shop ($1,000,000) with Lessor named as an additional insured
therein.
(C) General Liability ($1,000,000/$2,000,000 bodily injury and property
damage). Lessor shall be named as an additional insured as their
interest appears. This will not require Lessee to provide insurance
to cover parking lot.
(D) Lessor shall provide fire and extended coverage on the building and
its contents which insurance policy shall contain a "Waiver of
Subrogation" against Lessee. Lessee shall pay Lessor for the cost,
if any, of said "Waiver of Subrogation" endorsement on a pro -rated
basis.
Lessee will be responsible for providing its own insurance covering its equipment
and inventory. Evidence of such insurance shall be furnished to Lessor prior to
taking possession of the Premises. Lessee shall in addition to providing
certificates of insurance to Lessor for the above named coverages, name the
Village of Buffalo Grove as an additional insured and provide for the hold
8
harmless of the Village, its employees, officers and agents from any and all
causes of action, claims, losses, injury, damages, legal expenses, fees, and
other costs that may arise from the operation of Premises and execution of this
Lease by the Lessee.
2. Sales on Golf Course Properties: Lessee shall have the exclusive right
to provide food, beer, wine coolers and soft drinks on the Premises for the
annual Buffalo Grove Days and July 4th fireworks shows sponsored either by the
Village or any non - profit organization recognized by the Village, along with any
other Village activity as recognized by the Lessor's authorized agent.
Further, Lessor shall, upon fourteen (14) days written notice to Lessee, be
entitled to limited possession of the Premises and adjacent facilities to the
exclusion of the Lessee for the purpose of holding Village of Buffalo Grove
related activities not to exceed five (5) times per year. Such request shall not
require Lessee to cancel any events that were booked prior to such request.
Lessee may, upon fourteen (14) days written notice to Lessor's Director of
Golf Operations, be entitled to limited possession of the Premises and adjacent
facilities to the exclusion of the Lessor for the purpose of holding activities
related to the Lessee's business, which includes, but are not limited to,
banquets, parties and similar events. Lessee and Lessor shall coordinate the
Lessee's events so that the primary purpose for the Premises that being the
continual access to the golf playing public, is not compromised. Such request
shall not require Lessor to cancel any events that were booked prior to such
request.
Lessee shall provide a fifteen percent (150) discount on the sale of
restaurant food and beverages to Village of Buffalo Grove employees and appointed
and elected officials. Said discount shall also be provided to said employees'
and officials' immediate families but only when dining with said employees and
officials. Lessor will be responsible to issue identification to such employees
and officials in a form acceptable to Lessee.
3. Gambling, Card Playing and Quasi- Gambling Activities: All forms of
gambling are prohibited. This includes all card playing, betting and other
wagering activities which are deemed by Lessor to be not of suitable character
and are prohibited from taking place within or upon the Premises.
4. Authorized Representative /General Manager: The only authorized agent of
the Lessor shall be the Lessor's Village Manager unless so noted in this Lease.
The authorized agent of the Lessee shall be Marc Stolfe.
Lessee affirms that the on -site General Manager, at the time of execution
of this Lease, will be Ken Lindsey. It is further affirmed that Mr. Lindsey is a
1/3 owner in Tap Room Hospitality, LLC. Should there be a change in the on -site
General Manager, such change shall be approved by Lessee, whose approval shall
Q,
not unreasonably be withheld.
5 Notices: All notices provided herein, shall be effective three (3) days
after mailing if mailed by certified mail with return receipt to the parties
hereto and immediately if served personally as follows:
LESSOR: Village of Buffalo Grove
50 Raupp Boulevard
Buffalo Grove, Illinois 60089
Attn: Village Manager
Regarding Use Notices:
Village of Buffalo Grove
48 Raupp Boulevard
Buffalo Grove, Illinois 60089
Attn: Director of Golf Operations
LESSEE: Connie's Pronto, Inc.
232 Westgate Drive
Carol Stream, Illinois 60188
Attn: Marc Stolfe
7. Liability: No personal liability shall attach to any person executing
this Lease.
S. Proprietary Interests: Lessee shall retain all rights to any business
names, concepts or other proprietary interests established during the term of
this Lease, and Lessor herein waives any claims to such interests.
Section H. Extension of Lease:
1. Extension of Lease: Lessee shall have the option to renew this Lease for
an additional five -year term upon such terms and objective conditions as are
mutually agreed upon between Lessor and Lessee. Lessee must give a written
notice to Lessor of any such desire to extend the Lease at least one hundred
twenty (120) days prior to the expiration of the term herein provided. Unless
waived by Lessor, any option to extend shall not be granted if Lessee is in
default on any of the terms, conditions, rights and responsibilities set forth in
this Lease.
IN WITNESS WHEREOF, the parties hereto have caused this Lease to be
executed as of the day and year first above written.
LESSOR: LESSEE:
Village of Buffalo Grove Tap Room Hospitality, LLC. d /b /a
Connie's Clubhouse and Tavern
90���
Village President Pres den
ATTEST:
g D 1
Vil ge Clerk
10
x
x
r-
cr'
w
rr
9
z
C
3�
-I 0 C
0 1+ r+
c
ri- s 7
Q�oc+
`G
DD D
P
rrD S
rD
P P Q
P
If II )K
n
C
a.
Q
v
C
rt
m
�N
C
(°
Q
co
m
o
a
P
a
�
P
r—
fD
w
7
Q
Tl
�.
n
o
L
I
s
P
C
n
s
ro
Q
C
�
C
Q
C
x
x
r-
cr'
w
rr
9
EXHIBIT "B"
EQUIPMENT INVENTORY
The following represents an inventory of current equipment and furnishings at the
Buffalo Grove Golf Club, owned by the Village and dedicated to food and beverage
service:
Buffalo Grove Golf Club:
Dining Chairs
Dining Tables
Dining Booths
Walk -in Freezer
Walk -in Coolers (4)
Exhaust Hood2 (2)
Built -in Bar
Bar Tables & Bar Stools
outdoor Signage
Perlich Draft Beer System
Built-'in Dishwasher Line
i •
ADDENDUM "An
OPERATIONAL REQUIREMENTS BETWEEN
THE VILLAGE OF BUFFALO GROVE AND TAP ROOM HOSPITALITY, LLC.
d /b /a CONNIE'S CLUBHOUSE AND TAVERN
The Village will reserve the right to approve service standards that insure
that the golf customer has the highest priority at both facilities. On an
annual basis, lessor and lessee shall review standards and guidelines to make
certain that all areas of service and maintenance are addressed, remain
relevant and remain appropriate operationally.
Hours of operations need to be approved in advance by Village. Such approval
will not be unreasonably withheld although they need to be developed around
reasonable service standards and expectations.
Rent will remain at 5% of gross food, beverage and banquet sales delivered at
the Premises as defined in Section C.1. Rent shall be due on the first of
each month, in arrears, no later than one month (28 -31 days) after the end of
the month so concluded. By means of example, July 2004 rent will be due by
September 1, 2004 and so forth. Failure to remit rent by the due date shall
subject Lessee to a late penalty fee equal to the equivalent of 1.5% per
month, or portion thereof, until rent is paid to Lessor.
Utilities will be billed per the Exhibit to the Lease. They will be due no
later than 30 days from date of billing. Utilities billed will include gas,
electric, water and phone. Failure to remit utility invoices by the due date
shall subject Lessee to a late penalty fee equal to the equivalent of 1.50
per month, or portion thereof, until invoices are paid to Lessor.
The Village continues to reserve the right to examine records to support the
monthly rent. However, monthly, certified sales figures need to be submitted
to support the rent payments made. If requested by the Lessor, the Lessee
shall submit a copy of Forms ST -1 and ST -2 as submitted to the Illinois
Department of Revenue to remit sales taxes due to the Department.
Lessee shall maintain, clean and keep in good repair all areas related to the
restaurant and bar area, including, but not limited to, washrooms. There
must be coordination with the Director of Golf Operations in order to develop
an acceptable level of service and standards for the cleaning of washroom
areas. Kitchen and bar equipment, walk -in coolers and freezers, refuse and
storage areas must be maintained and cleaned in a manner that is acceptable
to the Director of Golf Operations and Health Officer. Lessee shall maintain
a posted ledger in a form acceptable to the Health Officer denoting periodic
cleaning to public areas such as the restaurant, bar and washrooms.
Village, as Lessor, shall be responsible for maintaining and cleaning all
outside areas, including parking lots, along with those portions of the
clubhouse and adjacent areas committed to golf play.
Lessee shall maintain and repair equipment as required in Section D.2 of the
Lease. A record of all maintenance will be kept and made available at all
times to the Village. This will include preventative maintenance to major
kitchen and bar systems, the determination of, which will be coordinated with
the Village's Director of Golf Operations.
It is acknowledged that any equipment owned by the Village is not to be
removed without the approval of the Director of Golf. In addition, charges
to community or outing /banquet groups to use Village -owned equipment shall
not be made unless agreed to by the Director of Golf Operations.
11
• The Lessee will work with the Director of Golf Operations regarding the Lake -
Cook Road signage. The primary intent of that sign is to identify the
Buffalo Grove Golf Club. Lessee may display exterior wall signage as
permitted by Lessor.
• All coin operated amusement devices will be maintained only within the bar
area. The vending and use of tobacco products will conform to Village
regulations. A jukebox may be maintained within the dining area of the
Premises and is the only coin - operated amusement device to be permitted with
the dining area.
• Updated certificates of insurance as well as the performance bond required to
be posted, as a security deposit needs to be submitted as a condition of the
execution of the Lease.
• operational coordination of this Lease will be made with the Village's
Director of Golf operations. Financial obligations under this Lease will be
with the Village's Director of Finance and General Services.
• Lessee will provide to Village's Director of Golf Operations any and all
reports that are the result of inspections undertaken by Lessee on a periodic
basis of the Premises. In addition to any reports, Lessee shall provide what
remedial action will be undertaken to correct deficiencies identified with a
schedule for completion of such deficiencies.
12
• .- 1 49 crw( 1c H6u
Jim Leo To William Brimm <wbrimm @vbg.org>
<jim_leo @yahoo.com>
06/28/200410:38 AM cc
bcc
Subject Connie's Escrow
Escrow language in our purchase and sale agreement
with Creative Hospitality. Edward Scott is the
Attorney for Creative.
b) On the date of Closing Purchaser shall deposit with
EDWARD A. SCOTT, as Escrowee the sum of $25,000.00 to
be held in escrow after the Date of Closing. Upon the
Village of Buffalo Grove's authorization to release
the remaining funds, less any final accounting of
rental compensation, utility reimbursement and any
other costs or obligations associated with the Lease
payable to the Village of Buffalo Grove, the Escrowee
shall release the funds, held in Escrow pursuant to
this paragraph, to the Seller. Seller specifically
authorizes Escrowee to make any necessary payments to
the Village of Buffalo Grove to satisfy any
outstanding obligations of the Seller, out of the
escrowed funds.
Thank You
Jim Leo
ThanksJim Leo
Do you Yahoo!?
Yahoo! Mail - 50x more storage than other providers!
http://promotions.yahoo.com/new—mail