1996-38RESOLUTION 96- 38
A RESOLUTION AUTHORIZING THE EXECUTION OF A LEASE AGREEMENT
FOR FOOD SERVICE AT THE BUFFALO GROVE TRAIN STATION
WHEREAS, the Village of Buffalo Grove is a Horne 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
food and beverage services at the Buffalo Grove Metra Train Station; and
WHEREAS, the Village solicited Raquests for Proposal to operate said service for
an initial term beginning as of August 19, 1996 through August 31, 1997; and
WHEREAS, after review by a committee of staff and elected officials, it was
determined that Nicole Riedel's proposal would serve the best interests of the Vilage as
articulated in the Request for Proposal.
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 the attached lease entitled "Lease Agreement for Food Service,
Buffalo Grove Train Station" dated as of the 1st day of July, 1996.
Section 2. Village staff is hereby directed to insure that this lease is
implemented in order for full service to commence as of August 19, 1996.
AYES: 6 - Marienthal, Reid, Rubin, Braiman, Hendricks, Glover
NAYS: 0 None
ABSENT: 0 -- None
PASSED: July 1. 1996 APPROVED: July 1. 1996
ATTEST:
. acJtc"
Villa e Clerk
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LEASE AGREEMENT FOR FOOD SERVICE
BUFFALO GROVE TRAIN STATION
This lease is entered into this 1 st day of July, 1996, by and between the Village of
Buffalo Grove, a Municipal Corporation ( "Lessor "), and Nicole Riedel ( "Lessee ").
PRELIMINARY STATEMENT
WHEREAS, Lessor and the Commuter Rail Division (CRD) of the Regional
Transportation Authority, a division of an Illinois Municipal Corporation, have entered
into a Commuter Station Development Agreement dated May 24, 1995, and a Lease
for Location of Fixed Facilities for Public Transportation On Properties of Wisconsin
Central Ltd., dated May 20, 1996 which instruments govern the construction,
operation and maintenance of improvements to Village property for the purpose of
providing commuter rail station facilities and the sublease of certain portions of the
property from the CRD for the same purposes ( "Underlying Agreements "); and,
WHEREAS, Lessor desires to lease a portion of the station consisting of approximately
sixty -four (64) square feet as shown on Exhibit A, attached hereto and made a part
hereof ( "Premises ") to the Lessee, and Lessee desires to lease Premises from the
Lessor, on the terms and conditions set forth in this Agreement.
NOW, THEREFORE, IN CONSIDERATION of the rent and the covenants below, the
Lessor and Lessee do hereby agree as follows:
SECTION I. - Purpose and Interests
A. Purpose. Lessee shall occupy and use the Premises for the following
purposes only: food concession sales, coffee, juice, tea and soft drink
sales; newspaper services; and such other items as may be approved by
the Lessor in writing.
B. Under lying Agreements. Lessee recognizes that Lessor's interest in the
Premises is that of a tenant except as expressly provided herein. This
Agreement is subject and subordinate to and controlled by the terms,
covenants and conditions of the Underlying Agreements. Lessee and
Lessor agree to observe and perform all the obligations imposed on
Lessor under the Underlying Agreements with respect to the Premises
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except for the payment of rent, Lessor's contributions for improvements,
and those provisions of the Underlying Agreements which do not apply
to this Agreement. Lessee and Lessor shall neither do nor permit
anything to be done which would cause the Underlying Agreements to
be terminated or forfeited by reason of any right of termination or
forfeiture reserved or vested in the CRD under the Underlying
Agreements, or which would cause the Lessor to be in default under the
Underlying Agreements. Lessee shall indemnify and hold Lessor harmless
from and against all claims, costs or expenses of any kind whatsoever,
including attorneys' fees, by reason of any breach or default on the part
of the Lessee which would cause the Underlying Agreements to be
terminated or forfeited or caused the Lessor to be in default thereunder.
Lessor shall indemnify and hold Lessee harmless from and against all
claims, costs or expenses or any kind whatsoever, including attorneys'
fees, by reason of any breach or default on the part of the Lessor which
cause the Underlying Agreements to be terminated or forfeited or cause
the Lessee to be in default thereunder.
SECTION II - Terms and Conditions
A. Term. Lessor hereby leases to Lessee the exclusive rights to operate a
food service operation located at the Buffalo Grove Commuter Rail
Station Depot at 825 Commerce Ct., Buffalo Grove, Illinois. The
Premises is depicted on Exhibit A attached hereto and is to be used and
occupied by Lessee for the term commencing August 19, 1996 through
August 31, 1997 with options to extend for up to two (2) additional
years upon terms mutually acceptable to both parties to the lease unless
otherwise terminated as hereinafter set forth. During each weekday of
the term, Lessee shall be open for business from 5:30 a.m. to 8:30 a.m.,.
or as otherwise agreed upon in writing by the parties. Lessee shall be
permitted to enter into possession of the Premises prior to August 19,
1996 without payment of rent for the sole purpose of setting up
operation and bringing in necessary equipment and fixtures and
conditioned that Lessee shall make no sales to the public prior to August
19, 1996.
B. Extension of Lease. The Lessee shall have the option and right of first
refusal to extend this Lease upon such terms and conditions as are
mutually agreed upon. The right to extend such Lease shall be
considered, provided that the Lessee is not presently in default under any
of its terms, conditions and obligations under this Lease. Lessee must
give written notice of such election to exercise option(s) to Lessor at
least sixty (60) days prior to the expiration of the term herein provided.
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C. Lawfulness. Lessee shall not conduct or permit any conduct on the
demised Premises which is contrary to the laws of any governmental
authority.
D. Compliance. During the term of this Lease, Lessee shall comply with all
Federal, State, County and Village statutes and ordinances.
E. Licenses: Lessee shall obtain for each facility to be operated a Village of
Buffalo Grove business license and any and all applicable State or Federal
licenses prior to opening for sales to the public. In the event Lessee is
unable to obtain or retain any such licenses, then this Lease shall be null
and void.
F. Signs. Lessee may be permitted to display signs as permitted by the
Village. Lessor shall pay for the construction of any such signs unless
shared with the Lessee as part of Leasehold Improvements. At
termination of this Lease, any such signs shall become the Lessor's
property.
G. Tobacco and Liquor Sales. Lessee shall have the right to sell tobacco
products over the counter but not through a vending machine. Lessee
shall obtain the required license and shall conform to Village ordinances.
The sale of alcoholic beverages is strictly prohibited
H. 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.
1. Right of Entry. Lessor shall have the right to enter the Premises upon
reasonable notice to Lessee.
j. Exclusive Rights to Sales. As long as Lessee performs all of the Lessee's
obligations under this Lease, Lessee shall have peaceful and quiet
enjoyment of the Premises for the term of the Lease. Lessor agrees that
its own or its leased adjacent properties related to commuter rail service
shall not be used by any other vendors selling goods similar to the
Lessee's products.
SECTION III - Compensation
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A. Rent. Lessee agrees to pay Lessor, at the address provided in Section VII
B. of this Agreement, the following rent:
Beginning September 1, 1996 and payable monthly in arrears, Lessee
shall pay as rent a sum equivalent to 5% of gross food and beverage
sales, excluding sales tax and service charges (defined as gratuities and
other fees charged over and above food and beverage sales) to Lessor,
for all food and beverage sales on the Premises and surrounding areas.
Lessee shall submit monthly, certified computer generated sales figures
to Lessor along with an operating statement to support the remittance
which identifies service charges.
Monthly installments of rent shall be payable on or before the first day of
each and every calendar month during the term.
Lessee shall maintain true, accurate and complete books and records of
its operations at the Premises and retain the books and records for each
year for not less than three (3) years thereafter. Such books and records
shall be available for inspection by Lessor or its agents or representatives
during business hours upon reasonable prior notice.
All installments of rent if not paid on or before the 5th day of each month
shall bear interest from the date due to the date paid at the rate of
eighteen percent (18 %) per annum, or at the maximum legal rate of
interest, whichever is lower.
B. Security Deposit. Concurrent with the execution of this Agreement
Lessee shall pay to Lessor a refundable, cash security deposit which shall
be held in an interest - bearing account in the amount of $750.00 for the
faithful performance of this lease. In the event Lessee defaults in respect
to any of the terms, provisions and conditions of this Agreement
including but not limited to the payment of rent, Lessor may use, apply
or retain the whole or any part of the security so deposited to the extent
required for the payment of any rent or any other sum to which the
Lessee is in default. Within forty -five (45) days of the termination of this
Agreement, and provided Lessee is not in default, Lessor shall return to
the Lessee such amounts that remain as the security deposit at the time
of termination.
SECTION IV - Condition of Premise
A. Condition of Premises. Lessee shall maintain, clean and keep in good
repair all areas related to the food concession and vending areas within
the depot and adjacent areas where food and beverage will be provided
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from time to time. Lessee agrees to provide general cleanup and
maintenance immediately adjacent to the concession area during its hours
of operation by cleaning up coffee spills and other spills relating to the
operation of the Premises.
Lessee shall notify the Lessor's Superintendent of Public Works if the
washrooms or areas outside the Premises need cleaning or maintenance
prior to the Lessor's regular maintenance schedule.
Lessee shall accept the Premises in its as is condition existing on the
commencement date and Lessee taking possession of the Premises shall
be conclusive evidence against Lessee that the Premises were then in
good order, repair and satisfactory condition. No promise of Lessor to
alter, remodel, improve, repair, decorate or clean the Premises or any part
thereof and no representation respecting the condition of the Premises
has been made to Lessee by Lessor. Lessee agrees to vacate the
Premises at the expiration of this Agreement and Lessee shall leave the
Premises in the same condition as at the commencement date, ordinary
wear and tear and loss by fire or other casualty excepted. Any
improvements and alterations approved by the Lessor shall not be of a
permanent nature and shall be removed by the Lessee unless otherwise
mutually agreed upon by the parties.
B. Decorating. Lessee will, at its own cost and expense, make any
necessary alterations required; however, no alterations shall be made
without the prior written consent of the Lessor. Lessee shall make all
repairs necessary to keep the Premises in good condition and repair.
Repairs to the Premises necessitated by ordinary wear and tear, by
storm, fire, wind or other casualties shall be the sole responsibility of
Lessee.
SECTION V - Termination & Assignment
A. Termination. 1). In the event of any default in the terms hereof and if the
same are not corrected within thirty (30) days of written notice [with the
exception being the failure to remit rent which should be corrected within
five (5) days from written notice of same], the Lessor may terminate the
Lease and take possession of the Premises, improvements 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. 2). In the event that Lessor shall desire to regain possession of
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the Premises for any reason, Lessor shall have the option of so doing
upon sixty(60) day written notice to Lessee.
B. Bankruptcy. In the event that Lessee shall become bankrupt or shall
make a voluntary assignment for the benefit of creditors, or 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.
C. 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 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.
D. 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 comparable food 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.
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E. Rai/ Services. CRD and Lessor make no warranties or representations
expressed or implied, as to continued rail service to the Premises. If CRD
terminates commuter rail service, this lease shall likewise terminate.
SECTION VI - Insurance and Indemnification
A. 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. General Liability ($1,000,000/52,000,000 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.
C. 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 will be responsible for providing its own insurance covering its
equipment and inventory. Evidence of such insurance shall be furnished
to Lessor prior to Lessee 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 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.
B. Liability. No personal liability shall attach to any person executing this
Lease.
C. Indemnification. Lessee agrees to indemnify and hold harmless Lessor
and CRD and defend from all claims, demands, liabilities, judgments,
costs and expenses, including attorneys' fees, arising or growing out of
loss or damage to property and all injury to or death of any persons
which is in, upon or about any part of the Premises, whenever such loss
or damage to the property or injury or death is caused by Lessee's
negligence or arises from Lessee's operations pursuant to this Lease.
SECTION VII - General Conditions
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A. Authorized Representative. 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 Nicole Riedel.
B. Notices. All notices provided herein, to be effective upon receipt, shall
be served personally or made by certified mail with return receipt to the
parties hereto as follows:
Lessor: Village of Buffalo Grove
50 Raupp Boulevard
Buffalo Grove, IL 60089
Attn: Village Manager
Lessee: Nicole Riedel
70 South Buffalo Grove Rd., Unit 310
Buffalo Grove, IL 60089
C. Entire Agreement. All the representations and obligations of the parties,
if any, are contained herein. No modifications, waiver, or amendment of
this Agreement, or any of its terms, shall be binding upon Lessor unless
such are in writing and signed by a duly authorized official of the Lessor.
IN WITNESS WHEREOF, the parties hereto have caused this Lease to be
executed as of this day and year first above written.
ATTEST:
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EV
ATT T:
6/27/96