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1997-43pp- RESOLUTION 97- 43 A RESOLUTION AUTHORIZING THE EXECUTION OF A LEASE BETWEEN THE VILLAGE OF BUFFALO GROVE AND L'ELEGANTE CUISINE, INC. WHEREAS, the Village bf"'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 4nd beverage serV ces at both the Buffalo -Grove Golf Club and Arboretum Golf Course; and - WHEREAS, the Village of Buffalo Grove and L'Elegante Cuisine, Inc. are currently a party to a lease to provide food and beverage services at both the Buffalo Grove Golf Club and Arboretum Golf Course dated January 9, 1995 which expires as of December 31, 1997; and WHEREAS, after further review, it has been determined that L'Elegante Cuisine, Inc. would continue to best serve the interests of the Village beyond December 31, 1997. 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 Between the Village of Buffalo Grove and L'Elegante Cuisine, Inc." dated as of the 15th day of December, 1997. Section 2. Village staff is hereby directed to insure that this lease is implemented in order for full service to commence at both the Buffalo Grove Golf Club and Arboretum Golf Course as of January 1, 1998. AYES: 5 - Marienthal Reid Rubin Braiman Glover NAYES: 0 - None ABSENT: 1 - Hendricks PASSED,; December 15 97. APPROVED: December 15 ,1997. 2X AXE 14yt 1 Villa r id nt Vil ge Clerk LEASE BETWEEN THE VILLAGE OF BUFFALO GROVE AND L'ELEGANTE CUISINE, INC. This lease is entered into this 17th day of December,1997, by and between the Village of Buffalo Grove, a municipal corporation ( "Lessor "), and L'Elegante Cuisine, Inc., an Illinois corporation ( "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 and restaurant and bar facilities located at the Arboretum Golf Course Club House, 401 Half Day Road, 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 restaurants, bar and lounge (sale of liquor included) for the term commencing January 1,1998 through December 31, 1998. An extension to this Lease may be granted upon terms mutually acceptable to both parties to this Lease but for no longer than year -to -year, 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 restaurants, lounges and bars meeting the requirements of both a golf course and country club 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 at the Buffalo Grove Golf Club and seasonally at the Arboretum Golf Course although seasonal service considerations will be evaluated at the Buffalo Grove Golf Club. 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 are attached as Addendum "A" to this Lease. 2. Lawfulness: Lessee shall not conduct or permit any conduct on the 1 demised Premises which is contrary to the laws of any governmental authority. 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 t.ioenses: Lessee shall obtain for each facility to be operated 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 same to ascertain that they are in good repair and in clean and sanitary condition. It is understood that the properties are basically golf course facilities 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 SecuriU D posit: Lessee shall post a performance bond with the Lessor, K in the amount of $5,000 for the faithful performance of this Lease. The 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. Section C. Rent and Other Compensation 1. Rent: Beginning January 1, 1998 and on the 1st of each month thereafter, and payable monthly in arrears, Lessee shall pay as rent a sum equivalent to 5% 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, 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 January, 1998 will be due, with applicable reporting to support the remittance, by March 1, 1998 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. 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 Lessor 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 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 3 of the Lessee relating to the operation of the Premises. The records may be reviewed by the Lessor's Authorized Agent or representative (a). 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 & Imarovements• 1. Cleaning: Lessee shall maintain, clean and keep in good repair all areas related to the restaurants within the club house facilities and adjacent areas where food and beverage services will be provided from time to time, including 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. Lessor shall be responsible for maintaining and cleaning all other outside areas (including parking lots) along with those portions of the club houses and adjacent areas committed to golf play. 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). Failure to comply with the terms of this Section will constitute a condition of default under this Lease. It is expressly understood by the parties hereto that notwithstanding anything to the contrary, the Lessee shall not be responsible for making any repairs to the parking lots at the Buffalo Grove Golf Club or Arboretum Golf Course. 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. 2. Maintenance: Maintenance, replacement, upkeep and disposal of equipment and furnishings listed in Exhibit "B" to this Lease 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 4 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. Equiyment: Lessor owns the equipment and furnishings as listed on Exhibit "B" hereto. Within seven (7) days of execution of this Lease, Lessee shall acknowledge in writing that an inspection has taken place on all equipment and furnishings so listed on Exhibit "B" and that all such equipment and furnishings are in good operating condition and whether any equipment and furnishings should be replaced/ repaired. 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. All removed equipment shall be stored by Lessor. 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 at its 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. 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. Lessor's first right of refusal as set forth above shall be exercised within thirty (30) days of termination of this Lease. Lessee will assume any and all liability for equipment and furnishings existing on the Premises prior to opening by Lessor on January 1, 1998. 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 5 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. 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. Any additional identification will be subject to the approval of Lessor, whose approval will not unreasonably withheld. 7. Leasehold Improvements: Any improvements shall be property of Lessor. 8. 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. g Coin Ogerated Amusement Machines & Tobacco Sales: Lessee may maintain on both Premises 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. Lessee shall have the right to sell tobacco products through a vending machine maintained by Lessee. Lessee shall obtain the required tobacco licenses 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, 6 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 the first option of terminating this Lease no later than November 1, 1998 and on each November 1st thereafter, should there be any annual extensions of the Lease, effective the following January 1st, of any calendar year of this Lease. Reasons for termination shall be demonstrated to 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 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 7 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 Lessee prior to taking possession of the Premises. Lessor shall in addition to providing certificates of insurance to Lessee 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. 2. Sales on Golf Course Properties: Lessee shall have the exclusive right to provide food, beer, wine coolers and soft drinks on the Premises property but outside of the club house 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. The Lessee, upon 10 days written notice from Lessor's Director of Golf Operations, and subject to Lessee's final right to negotiate, shall grant limited possession of the Arboretum Golf Course to another caterer to provide food service only as approved by the Lessor for a booked golf outing. Lessee shall have the right to tender a final amendment to their original outing pricing within twenty -four (24) hours from time of denial by the Lessor's Director of 8 Golf Operations of any outing proposal submitted. Lessee shall maintain the right to provide service from the snack bar and beverage cart to patrons during any granting of such limited possession. Lessee agrees to cooperate with both Lessor and approved caterer in assuring that the scheduled event meets the expectations of Lessor. Lessee's compensation for granting such access shall be limited to sales receipts from the snack bar food and beverage sales as well as from beverage carts. Lessee agrees to cooperate with Lessor to permit limited access to the Premises for any booked golf outing group that will provide its own food service as long as such food service is directly associated to the primary nature of the outing organization. Lessee's compensation for granting such access shall be limited to sales receipts from the snack bar food and beverage sales as well as from beverage carts. 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 ten percent (10 %) 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. B. Gambling. Card Playing and Quasi - Gambling Activitiesk 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. New Premises: If the Lessor shall construct a new club house facility at the Arboretum Golf Course as a replacement of the current facility during the term of this Lease or any extension, renewal or modification thereof, Lessee 9 shall be offered the right to continue to operate said new facility upon terms and conditions specified by Lessor that are mutually agreeable to both parties of this Lease. S. 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 Robert Schneeberger or Thomas Manetti. 6 Notices: All notices provided herein, shall be effective three (3) days after mailing if mailed, 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, 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: L'Elegante Cuisine, Inc. 105 Garlish Drive Elk Grove Village, Illinois 60008 Attn: Thomas Manetti 7. Liability: No personal liability shall attach to any person executing this Lease. 8. 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: This Lease may be extended on an annual basis upon such terms and 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. 10 IN WITNESS WHEREOF, the parties hereto have caused this Lease to be executed as of the day and year first above written. ATTEST: Villa4& Clerk 11 LESSEE: L- ELEGANT CUISINE, INC. P es ent I ir CrJ W Q. rr a v X --I Cl C O c F rf I C rF h S Q rp -3 `< ]� ci• `G D DD Z Q Q Q O / II Q II rL Q vO � � C r f 7 I ro Ul U) Ln R' C F9 m w Q O a Q Q �— w Q n o Ul Ln r— s Q C n eD C Q C Q C ro Q p M CrJ W Q. rr a v r� x w r• rt a N n J O VmI DV ;;u 31E -I Cl C O c+ <-F Q N < I ci- `G D D N D Q Q Q 5 Q II II In II N Q� U r rF s uI o CA °U i— O o O n r0 W Ul to I �- ro Q UD 0 s C C+ n s = Q C Q 7 m C -o o Q rt M }' _I < T m o m W \ (D CL w m —I rD su � r� x w r• rt a N Exhibit "B" EQUIPMENT INVENTORY The following represents an inventory of current equipment and furnishings at both the Buffalo Grove Golf Club and Arboretum Golf Course sites dedicated to food and beverage service: Buffalo Grove Golf Club: 180 Dining Chairs 31 Dining Tables _ Walk -in Freezer Gas Broiler Exhaust Hood Hobart Dishwasher Montague Range Glastender Refrigerator Glastender Drainers Sink /Blender Station Cocktail Station Back Bar Refrigerator Hobart Mixer -Kold Draft Ice Machine Anets Fryer Station Amana Microwave American Metal Coffee Maker Counter Assemblies Tables & Bar Stools Salad Refrigerators Refrigerator Base Pass -thru Shelving Water & Ice Station Sandwich Refrigerator Beer /Wine Dispensing System Pot Rack /Shelf /Sink Speech Lectern Outdoor Signage Arboretum Golf Course: Walk -in Cooler Worktable 3 Compartment Sink Built -in Bar Bar Stools Sandwich Prep Table Utility Cabinet Columbia Coffee Maker Waitress Station Mobile Char Broiler 50 Stack Chairs Walk -in Cooler Convection Oven Drawer Warmer — -- Work Table Hobart Disposal Heat Lamps Glastender Hand Sink Glastender Ice Chest Glastender Bar Sink Glastender Portable Bar Hobart Slicer Ice Crusher Hobart Reach -in Freezer Hobart Reach -in Refrigerator_ Conveyor Toaster Ice Cream Freezer Built -in Bar Kitchen Work Table ••• -fit -eam Table Utility Cabinet Miscellaneous Shelving Hot Food Table Portable Dance Floor Worktable /Sink System Dining Cash Register System Outdoor Furniture Televisions Laminate Cabinet Reach -in Freezer Ice Maker Utility Cabinet Bottle Cooler Underbar Cabinet Dining Tables Hobart Slicer Two -Well Hot Food Table ADDENDUM "A" OPERATIONAL REQUIREMENTS BETWEEN THE VILLAGE OF BUFFALO GROVE AND L'ELEGANTE CUISINE, INC. 1. The Village will reserve the right to approve service standards that insure that the golf customer has the highest priority at both facilities. 2. 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. 3. 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, January 1998 rent will be due by March 1, 1998 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. 4. 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 1.5% per month, or portion thereof, until invoices are paid to Lessor. 5. 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. 6. Lessee shall maintain, clean and keep in good repair all areas related to the restaurant and bar area, including washrooms. This must be coordinated with the Director of Golf Operations. 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. 7. 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. 8. It is acknowledged that equipment such as the televisions and projections unit, dance floor, podium, etc. are owned by the Village. They are not to be removed from the Premises without the approval of the Director of Golf operations. 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. 9. 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. 12 m 10. All coin operated amusement devices will be removed from the dining room area and maintained only within the bar area. In addition, all pool tables will be removed and replaced with dining seating on or before January 15, 1998. The vending of tobacco products will continue to conform with 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. 11. Updated certificates of insurance as well as the performance bond required to be posted as a security deposit need to submitted as a condition of the execution of the Lease on or before January 15, 1998. 12. Limited access to the Arboretum Golf Course facilities shall be granted to other caterers as requested by the Village's Director of Golf Operations to support outing and banquet events. Lessee shall retain the right to provide bar service as well as snack shop service during the granting of such access. Lessee shall have the right to tender a final amendment to their original outing pricing within twenty -four (24) hours from time of denial by the Lessor's Director of Golf Operations of any outing proposal submitted. 13. 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. 14. There are no annual option periods under this Lease. However, any extension may be granted by the Village upon terms and conditions that are mutually agreed to by both parties to the Lease. 13