HomeMy WebLinkAbout20160879.tiff DEPARTMENT OF BUILDINGS AND GROUNDS
PHONE: (970)304-6531
FAX: (970)304-6532
'- o u N T z WEBSITE:www.co.weld.co.us
1105 H STREET
P.O. BOX 758
GREELEY,COLORADO 80632
March 14,2016
Mr. David R.Wagley
C/O Animal Health International
Mr.Wagley:
Per Section 4 of the Lease Agreement between Animal Health International and Weld County,most
recently amended March 9, 2016,Animal Health International has the option to renew beginning on
December 1, 2018. However,the term of the lease expires on November 30,2017.This is a clerical error
which Weld County would like to correct by offering to change the table in Section 4 as follows:
Period of Renewal Base Rent(PSF) Annual Base Rent Monthly Installment of
Term _ Base Rent
December 1,2017 to $15.52 $506,254.66 $42,187.89
November 30,2018 _
December 1, 2018 to $15.98 $521,260.78 $42,438.40
November 30,2019
December 1, 2019 to $16.45 $535,593.12 $44,716.09
November 30,2020
If this correction is acceptable to you, please sign below and return to me at your earliest convenience.
Respectfully,
To ? fi t_
Taylo�r by
Director,Weld County Department of Buildings and Grounds
ACCEPTED AND APPROVED on behalf of Animal Health International Inc.
/
David R.Wagley Date
oroao-6179
3-al-o2o l y Pi20o
RESOLUTION
RE: APPROVE ELEVENTH AMENDMENT TO OFFICE LEASE AGREEMENT (822 7TH
STREET, GREELEY, CO) AND AUTHORIZE CHAIR TO SIGN - ANIMAL HEALTH
INTERNATIONAL, INC.
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, the Board has been presented with an Eleventh Amendment to Office Lease
Agreement (822 7th Street, Greeley, CO) between the County of Weld, State of Colorado, by and
through the Board of County Commissioners of Weld County, on behalf of the Department of
Buildings and Grounds, and the Animal Health International, Inc., commencing March 9, 2016,
and ending November 30, 2021, with further terms and conditions being as stated in said
amendment, and
WHEREAS, after review, the Board deems it advisable to approve said amendment, a
copy of which is attached hereto and incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that the Eleventh Amendment to Office Lease Agreement (822 7th Street,
Greeley, CO) between the County of Weld, State of Colorado, by and through the Board of County
Commissioners of Weld County, on behalf of the Department of Buildings and Grounds, and
Animal Health International, Inc., be, and hereby is, approved.
BE IT FURTHER RESOLVED by the Board that the Chair be, and hereby is, authorized
to sign said amendment.
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 9th day of March, A.D., 2016.
BOARD OF COUNTY COMMISSIONERS
WELD COUNTY, COLORADO
ATTEST: ddrit4N G: o•� F��
Mike Freeman, Chair
Weld County Clerk to the Board 7 �-
• Sean P. Conway, Pro-Te 'Q. )
BY: ��
uty Clerk o the Boar• ,�
. Cozad
APPRO D AS TO .=•�" ` Est :�!I/ tit
`ra Kirkmeyer
ey
Date of signature:
029 Steve Moreno
2016-0879
�,�,: tra3I� PR0035
DEPARTMENT OF BUILDINGS AND GROUNDS
jr' �l r.•' = PHONE: (970) 304-6531
✓,/ r �' FAX: (970) 304-6532
N ?� WEBSITE:www.co.weld.co.us
G O
1105 H STREET
P.O. BOX 758
GREELEY,COLORADO 80632
March 2, 2016
To: Board of County Commissioners
From:Toby Taylor
Subject:Animal Health Lease Amendment
Animal Health International Inc. are current tenants in our building located at 822 7th Street. This
amendment is to add 5,134 square feet of office space and 19 parking spaces to their current lease and
retains their 3-year renewal option in 2017. The costs of the tenant improvements for the additional
space is incorporated into the corresponding fees which brings the total to $14.65 per rentable square
foot for an annual base rent of$477,873.52. Buildings&Grounds is recommending approval of the lease
amendment.
If you have any questions, please contact me at extension 2023.
Sincerely,
Toby Taylor
Director
2016-0879
ELEVENTH AMENDMENT TO OFFICE LEASE AGREEMENT
This Eleventh Amendment to Office Lease Agreement (the "Eleventh Amendment") is
made and entered into,effective as of March 1,2016("Effective Date"),by and between the Board
of County Commissioners of Weld County,on behalf of Weld County,Colorado,a body corporate
and politic of the State of Colorado, as successor in interest to SA19-Riverwalk Square LLC
("Landlord"), and ANIMAL HEALTH INTERNATIONAL, INC., a Colorado corporation
formerly known as Lextron Inc. ("Tenant").
WITNESSETH:
A. The Board of County Commissioners of Weld County,Colorado,pursuant to Colorado
statute and the Weld County Home Rule Charter, is vested with the authority of administering the
affairs of Weld County, Colorado. Weld County(Landlord)purchased the real property known as
822 7th Street,Greeley,Colorado 80631 (also known as the"Chase Building"),and thereby became
the successor in interest to SA19-Riverwalk Square LLC, as it relates to this Lease Agreement.
B. Prior Agreements:
1. The original lease dated August 11, 2003 was executed between Greeley Lincoln
Park Properties LLC, as original lessor, and Lextron Inc., as tenant.
2. An Amendment of Lease Agreement dated February 20, 2007 was executed
between Greeley Lincoln Park Properties LLC, as lessor, and Lextron Inc., as
tenant.
3. A Second Amendment of Lease Agreement dated December 11, 2007 between
Greeley Lincoln Park Properties LLC, as lessor, and Lextron Inc., as tenant.
4. A Third Amendment of Lease Agreement dated July 15, 2008 was executed
between Greeley Plaza LLC,as successor lessor to Greeley Lincoln Park Properties
LLC, and Lextron Inc., as Tenant.
5. A Fourth Amendment of Lease Agreement dated September 15,2011 was executed
between Greeley Plaza LLC, as lessor, and Lextron Inc., as tenant.
6. A Fifth Amendment of Lease Agreement dated May 24,2012 was executed between
CSA 19-Riverwalk Square LLC, as successor lessor to Greeley Plaza LLC, as
lessor, and Lextron Inc., as tenant.
7. A Sixth Amendment to Office Lease Agreement dated August 24, 2012 was
executed between CSA 19-Riverwalk Square LLC, as lessor, and Lextron Inc., as
tenant.
8. A Seventh Amendment to Office Lease Agreement dated October 1, 2013 was
executed between CSA 19-Riverwalk Square LLC, as lessor, and Animal Health
International Inc., formerly known as Lextron Inc., as tenant.
9. An Eighth Amendment to Office Lease Agreement dated March 14, 2014 was
executed between CSA 19-Riverwalk Square LLC, as lessor, and Animal Health
International Inc., as tenant.
10.A Completion Date Memorandum dated April 10,2014 was executed between CSA
19-Riverwalk Square LLC, as lessor, and Animal Health International Inc., as
JO/ --
o�77
tenant.
11. A Ninth Amendment to Office Lease Agreement dated August 29, 2014 was
executed between CSA 19-Riverwalk Square LLC, as lessor, and Animal Health
International Inc., as tenant.
12. A Tenth Amendment to Office Lease Agreement dated February 18, 2015 was
executed between Weld County, as lessor,and Animal Health International Inc., as
tenant.
C. Landlord and Tenant desire to amend the Lease to reflect (i) the expansion of the
Premises by 5,134 rentable square feet into a portion of Suite 220 and 250 of the Building, (ii)
Landlord's minor remodel,and(iii)based on the expansion of the Premises, adjust the Base Rent,
Tenant's Pro Rata Share, and parking, as those terms are defined in the Lease.
AGREEMENT
1. Expansion of Premises. Landlord and Tenant acknowledge and agree that as of
the Effective Date, the Premises and the "Tenant Square Footage" as defined in Section 1.1.5 of
the Lease shall be increased by 5,134 rentable square feet by the inclusion of that portion of Suite
220 and 250 of the Building as depicted on Schedule 1 attached hereto.
2. Description of Premises and Tenant Square Footage. Landlord and Tenant
acknowledge and agree that as of the Effective Date,the Premises shall consist of Suites 200,220,
and 250 5th floor conference room, the portion of Suite 540 described on Schedule 1, 560, 600,
605, 610,620,630,650,700,740 and 750 for a"Tenant Square Footage"of 32,622 rentable square
feet.Notwithstanding anything contained in the Lease to the contrary, including but not limited to
the provisions of Section 1.1.5 of the Lease the "Tenant Square Footage" shall mean 32,622
rentable square feet.
3. Base Rent. Section 3 of the Tenth Amendment, which amends Paragraph 1.1.8 of
the Lease, is superseded in its entirety by the following:
b. Base Rent. Notwithstanding anything contained in the Lease to the contrary, including
but not limited to Paragraph 1.1.8 of the Lease, Tenant shall pay Base Rent to Landlord in the
following amounts for the following periods in equal monthly installments without offset or
deduction as follows
Period of Term Base Rent Annual Base Monthly Installment
(PSF) Rent of Base Rent
March 1,2016 2015 to November 30,2016 $14.65 $477,873.52 $39,822.79
December 1, 2016 to November 30, 2017 $15.08 $491,900.98 $40,991.75
4. Option to Renew. Section 4 of the Tenth Seventh Amendment is superseded
in its entirety by the following:
5. Option to Renew. Tenant shall have the option to renew the term of the Lease for
one (1) additional lease term of three (3) years (an"Option") on the terms and conditions
of the Lease, except that the Base Rent to be paid during the renewal term shall be as set
forth in this Section 3. The Option is granted upon the condition that (a) written notice of
the exercise of the Option must be given by Tenant to Landlord not less than one hundred
eighty (180) calendar days prior to the end of the then current Term of this Lease, and (b)
at the time of the giving of notice of exercise of the Option, and at the expiration of the
then current Term of this Lease there are no Events of Default as defined in the Lease then
exists and is continuing beyond the applicable cure period. The renewal term shall
commence on the day following the end of the then current Term of the Lease. The Base
Rent during the renewal term that is to be paid by Tenant to Landlord in equal monthly
installments without offset or deduction is as follows:
Period of Renewal Base Annual Monthly
Term Rent Base Rent Installment of Base
(PSF) Rent
December 1, 2018 to $15.52
$506,254.66 $42,187.89
November 30, 2019
December 1, 2019 to $15.98
$521,260.78 $42,438.40
November 30, 2020
December 1, 2020 to $16.45
$535,593.12 $44,716.09
November 30,2021
5. Tenant's Pro Rata Share. Section 5 of the Tenth Amendment, which amends
Paragraph 1.1.9 of the Lease, is superseded in its entirety by the following:
b. Tenant's Pro Rata Share.The provisions of Paragraph 1.1.9 of the Lease are deleted
in their entirety and the following is inserted in lieu thereof as of the Effective Date.
"1.1.9 Tenant's Pro Rata Share shall mean the ratio that Tenant's Square
Footage bears to the total Rentable Square Footage of the Building of 118,749
square feet, or 27.47% which may be adjusted pursuant to paragraph 7.1 (c),
below."
6. Landlord Improvements to Portion of Suite 220 and 250. Landlord agrees to
complete a minor remodel of a portion of the expanded lease area, as described in Exhibit A to this
Eleventh Amendment.The cost of said remodel is agreed by the Parties to be$77,963.00. Landlord
shall be responsible for 33.3% share of said costs ($25,961.68), and Tenant shall be responsible
for 66.7%share of said cost($52,001.32). Tenant's share of said costs shall be amortized over five
years ($10,400.26 per year), and is reflected in the Base Rent provided in Sections 4 and 5 of this
Eleventh Amendment. If for any reason whatsoever, the Lease is not extended beyond December
1, 2018, Tenant shall refund to Landlord the amortized amounts scheduled to be paid after that
date (i.e. $31,200). Such refund shall be made no later than December 31, 2018.
7. Parking. Notwithstanding anything contained in the Lease to the contrary,
including but not limited to the provisions of Schedule 6 of the Lease or Section 7 of the Tenth
Amendment, subject to the terms and conditions of this Section 7, Landlord shall retain current
Tenant parking as follows:
Location Gated Lot Lot Lot Gated Lot B Lot C Lot H Total
B C H
Price/Month Free Free Free Free $45 $37.50 $37.50 $52.50 $4,867.50
Quantity 15 19 2 1 53 45 17 3 155
Tenant acknowledges and agrees that(i)the per month price for parking spaces are subject
to change from time to time by Landlord, following written notice to Tenant, and (ii) the parking
spaces located in Lot B and Lot C are either owned or controlled by the City of Greeley,Colorado
and that Landlord makes no representations or warranties regarding the continued availability of
any such parking spaces located in such parking area for use by Tenant.
8. Existence of Offsets, Credits, Claims, or Causes of Action. Tenant hereby
represents and warrants to Landlord that Landlord is not in default under the Lease and Tenant has
no offsets or credits against Base Rent or any other amounts due thereunder, nor have any rentals
been paid in advance. Further, Tenant agrees that there are no existing claims or causes of action
against Landlord arising out of the Lease,nor are there any existing defenses which
Tenant has against the enforcement of the Lease by Landlord.
9. Release From Pre-existing Claims or Causes of Action. Tenant and Tenant's
partners, officers, directors, members, managers, agents and employees, if any, hereby release
Landlord, its managers, members, partners, officers, directors, agents, employees, attorneys,
successors, heirs and assignees from any and all claims or causes of action, known or unknown,
arising out of Lease related to the period prior to the Effective Date of this Eleventh Amendment.
10. Real Estate Commissions. Tenant and Landlord represent to each other that,
except for Realtec C.R.E.S.I,neither has dealt with any broker or any other person concerning this
Lease in a manner that would give rise to a claim for the payment of a fee or commission, with
regard to the subject matter of this Eleventh Amendment.
11. Effective Date. This Eleventh Amendment shall take effect and be legally binding
upon the parties as of the Effective Date.
12. Ratification of Lease. Tenant hereby ratifies the Lease as amended by this
Eleventh Amendment, agrees to be bound by and perform all terms of the Lease not amended
hereby and agrees that all other terms and conditions of the Lease are hereby confirmed or
approved by the parties and remain in full force and effect. Hereinafter,the term "Lease"will refer
to the Lease as amended by this Eleventh Amendment.
13. Confidentiality. The Parties agree that the terms of this Lease are subject to the
Colorado Open Records Act(CORA), C.R.S. §24-72-301 et seq.
14. Entire Agreement. This Eleventh Amendment and the documents it refers to
contain the entire agreement between the parties with respect to the subject matter hereof.All prior
and contemporaneous negotiations, including, without limitation, any letters of intent or other
proposals and any drafts and related correspondence, are merged into and superseded by this
Eleventh Amendment. No subsequent alteration, amendment, change or addition to the Lease or
Eleventh Amendment is binding on Landlord or Tenant unless it is in writing and signed by the
party against whom its enforcement is sought.
15. Counterparts. This Eleventh Amendment may be executed in any number of
counterparts, and when a counterpart hereof has been executed and delivered by all parties, this
Eleventh Amendment shall be deemed binding upon the parties hereto.
16. Severability. If any term or condition of this Agreement shall be held to be
invalid, illegal, or unenforceable by a court of competent jurisdiction, this Agreement shall be
construed and enforced without such provision, to the extent that this Agreement is then capable
of execution within the original intent of the parties.
17. Governmental Immunity. No term or condition of this contract shall be
construed or interpreted as a waiver, express or implied, of any of the immunities,rights,benefits,
protections or other provisions,of the Colorado Governmental Immunity Act§§24-10-101 et seq.,
as applicable now or hereafter amended.
18. No Third Party Beneficiary. It is expressly understood and agreed that the
enforcement of the terms and conditions of this Agreement,and all rights of action relating to such
enforcement, shall be strictly reserved to the undersigned parties and nothing in this Agreement
shall give or allow any claim or right of action whatsoever by any other person not included in this
Agreement. It is the express intention of the undersigned parties that any entity other than the
undersigned parties receiving services or benefits under this Agreement shall be an incidental
beneficiary only.
19. Board of County Commissioners of Weld County Approval. This Agreement
shall not be valid until it has been approved by the Board of County Commissioners of Weld
County, Colorado or its designee.
20. Choice of Law/Jurisdiction. Colorado law, and rules and regulations established
pursuant thereto, shall be applied in the interpretation, execution, and enforcement of this
Agreement. Any provision included or incorporated herein by reference which conflicts with said
laws, rules and/or regulations shall be null and void. In the event of a legal dispute between the
parties, Tenant agrees that the Weld County District Court shall have exclusive jurisdiction to
resolve said dispute.
21. Attorneys' Fees/Legal Costs. In the event of a dispute between Landlord and
Tenant, concerning this Agreement, the parties agree that each party shall be responsible for the
payment of attorney fees and/or legal costs incurred by or on its own behalf.
22. Binding Arbitration Prohibited: Weld County does not agree to binding
arbitration by any extra judicial body or person. Any provision to the contrary in this Agreement
or incorporated herein by reference shall be null and void.
IN WITNESS WHEREOF, the Landlord and Tenant, through their duly authorized
representatives, have executed this Eleventh Amendment to Lease Agreement as of the Effective
Date.
ANIMAL HEALTH INTERNATIONAL, INC., as Tenant:
By: Date G 1
Name: Da v R. tt>o s 16 S7
Title: S 12- VP Ft is/4-/!/Ce/
WELD TOUNY nord: , �
ATTEST: � BOARD OF COUNTY COMMISSIONERS
Weld ty Clerk to the oard WELD COUNTY, COLORADO
BY:
Deput ler to the Mike Freeman, Chair
LIAR 09 Z4
40,
APPROVED
"AS TO F ;�, ,� A,� ROVED AS TO SUBSTANCE:36 Controllerecte% Offic'al or Department Head
APPROVED AS TO FORM:
PS Director of General Services
County Attorney
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