HomeMy WebLinkAbout12.1 Capannari, Inc. Lease Agreement5/11/2017 BoardDocs® Pro
Agenda Item Details
Meeting
Category
Subject
Access
Type
Preferred Date
Absolute Date
Fiscal Impact
Recommended
Action
Public Content
Information
IN
May 02, 2017 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD - 7:00 p.m.
12. NEW BUSINESS
12.1 A RESOLUTION AUTHORIZING THE EXECUTION OF A LEASE AGREEMENT BETWEEN THE
VILLAGE OF MOUNT PROSPECT AND CAPANNARI, INC. FOR THE PROPERTY LOCATED AT 10 S.
PINE STREET
Public
Action
May 02, 2017
May 02, 2017
No
Approve the resolution to execute the lease with Capannari, Inc. for the property located at 10 S.
Pine Street.
Capannari, Inc. (Capannari"s) has leased the former General Store building located at 10 S. Pine Street since 2001 and
has operated a seasonal ice cream store at that location during that time. The current lease is about to expire and
Capannari's is interested in extending it for a 5 -year term with a 5 -year extension option. The rent for the first year
would be $21 per square foot gross and would increase annually at a rate equal to the Consumer Price Index.
Capannari's will therefore pay the Village $1,575 per month in rent ($18,900 annually) and be responsible for all water
and sewer charges, telephone, gas, electric, garbage collection fees and insurance premiums for the 900 square foot
facility. The previous annual rent was $18,333.
Capannari's is a locally owned, nationally recognized ice cream retailer that has become one of the downtown's biggest
draws during the summer months. Since opening the doors in June 2001, they have catapulted their gourmet ice cream
shop to one of Illinois' most respected small businesses, earning the honor of "Best Ice Cream in Chicago" from Chicago
Magazine only 1 year after opening. Today, Capannari Ice Cream employs over 25 people to bring "Chicago's Best" ice
cream to the masses. They also recently purchased a warehouse building in the Kensington Business Center where they
produce much of their product.
Alternatives
1. Approve the resolution to execute the lease with Capannari's.
2. Action at discretion of Village Board.
Staff Recommendation
Staff recommends that the Village Board approve the resolution to execute the lease with Capannari, Inc. for the property
located at 10 S. Pine Street. This business adds great value to the downtown district and are regular contributors to
successful downtown events. Capannari's have agreed to the terms in this lease extension.
Lease agrmt,capannari may2017.pdf (12 KB)
Administrative Content
Capannari Lease Agreement extension 2017.pdf (77 KB)
Do we want the memo to include $ per month amount or annual rent amount? This information is readily available in the
attached lease agreement. Same with additional charges the tenant shall pay (e.g. water & sewer charges, telephone,
hftps://www.boarddocs.com/il/vomp/Board.nsf/Private?open&login 1/2
5/11/2017
gas, etc.)
Executive Content
BoardDocs® Pro
Motion & Voting
Approve the resolution to execute the lease with Capannari, Inc. for the property located at 10 S. Pine Street.
Motion by Richard Rogers, second by Paul Hoefert.
Final Resolution: Motion Carries
Yea: William Grossi, Eleni Hatzis, Paul Hoefert, Richard Rogers, Colleen Saccotelli, Michael Zadel
hftps://www.boarddocs.com/il/vomp/Board.nsf/Private?open&login 2/2
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE EXECUTION OF A LEASE AGREEMENT
BETWEEN THE VILLAGE OF MOUNT PROSPECT
AND CAPANNARI, INC. (CAPANNARI ICE CREAM)
10 SOUTH PINE STREET
WHEREAS, the Village of Mount Prospect is the owner of property at 10 South Pine Street; and
WHEREAS, the Village of Mount Prospect is desirous of entering into a Lease Agreement with
Capannari, Inc. (Capannari Ice Cream) in the former Downtown General Store located at 10 South
Pine Street; and
WHEREAS, such agreement will provide for the operation of a retail food establishment in the
referenced General Store that will benefit the citizens of Mount Prospect; and
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND BOARD OF TRUSTEES OF THE
VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS:
SECTION ONE: That the Mayor and Board of Trustees of the Village of Mount Prospect do hereby
authorize execution of a Lease Agreement between Capannari Inc.,(Capannari Ice Cream) and the
Village of Mount Prospect for the purpose of permitting an ice cream parlor to be located within the
structure at 10 South Pine Street in Mount Prospect, and said Lease shall be for a period of five (5)
years, with a subsequent five (5) year option if mutually agreed by both parties, as set forth in the
Lease, a copy of which is attached hereto and hereby made a part hereof as Exhibit "A."
SECTION TWO: This Resolution shall be in full force and effect from and after its passage and
approval in the manner provided by law.
AYES:
NAYS:
ABSENT:
PASSED and APPROVED this 2nd day of May, 2017
Arlene A. Juracek
Mayor
ATTEST:
Karen M. Agoranos
Village Clerk
LEASE AGREEMENT
DOWNTOWN GENERAL STORE — RETAIL SPACE
This Lease Agreement (the "Lease") is dated as of the 2nd day of May, 2017 (the
"Effective Date") and is made by and the VILLAGE OF MOUNT PROSPECT, an
Illinois municipal corporation whose principal place of business is located at 50
South Emerson Street, Mount Prospect, Illinois (the "Landlord") and CAPANNARI,
INC, an Illinois corporation whose principal place of business is located at 10 S. Pine
(the "Tenant"). Landlord and Tenant are together, the "Parties".
WITNESSETH.
WHEREAS, Landlord and Tenant have originally entered into a Lease dated
March 3, 2001 and extended the Lease again in 2007 for the leasing of the building
located at 10 South Pine Street, Mount Prospect, Illinois (the "Current Lease"). The
term of the Current Lease was for five (5) years with 1-5 year option to renewal; and
WHEREAS, Landlord and Tenant desire to enter into a new lease for the leased
premises leased under the Current Lease under new terms and conditions, including
rental; and
NOW, THEREFORE, in consideration of the Current Lease, the parties hereto
agree as follows:
1) CURRENT LEASE. Upon the execution of this Lease, the Parties
obligations under the Current Lease shall merge into this Lease and thereafter the
Current Lease shall be of no further force and effect.
2) LEASED PREMISES. In consideration of the rentals reserved herein and
the agreements made herein by the Parties hereto, Landlord hereby leases to Tenant
and Tenant hereby leases from Landlord approximately nine hundred (900) square feet
of space in the building, commonly known as the "Downtown General Store" located at
10 South Pine Street, Mount Prospect, Illinois, together with the outside dining area and
the parking area appurtenant to the building for the Term and upon the terms,
covenants, and conditions set forth herein. The building, outside dining area and
parking area appurtenant to the building collectively, the "Leased Premises".
3) USE OF THE LEASED PREMISES. Tenant shall use the Leased
Premises for retail sales of ice cream and ice cream related products to the general
public benefiting the citizens of the Village of Mount Prospect (the "Use").
4) TERM. The term of this Lease shall be for five (5) years (the "Term"). The
Term shall commence on May 2, 2017 (the "Commencement Date") and shall
terminate on May 1, 2022, 5 -years from the Commencement Date (the "Expiration
Date").
iManage: 193723_1
5) RENEWAL OPTION. Provided the Tenant is not in default hereunder,
Landlord grants to Tenant one (1) five year (5 -year) renewal option to extend the Term
(the "Renewal Option"). The Renewal Option shall be exercisable on written notice by
Tenant to Landlord no later than ninety (90) days prior to the Expiration Date ("Renewal
Notice"). During the Renewal Option, all provisions of this Lease will be effective, and
references to Term will incorporate the Renewal Option.
6) RENT. (A) Tenant shall pay as rental for the Leased Premises the sum of
ONE THOUSAND THREE HUNDRED FIFTY DOLLARS ($1575.00) per month (or a
proportionate share thereof for any partial month) for the first year of the Term, payable
in advance on the first day of each month of the Term (the foregoing, the "Base Rent").
The first payment of accrued Base Rent shall be due on June 1, 2017. Rental
payments shall be forwarded to the attention of the Finance Director, Village of Mount
Prospect, 50 South Emerson Street, Mount Prospect, Illinois 60056.
(B) Commencing on the third and each successive lease year of the
Term, the Base Rent shall be increased by an amount which is determined by
multiplying the Base Rent of the just prior lease year (the "Evaluation Year") by a
fraction, the denominator of which is the most recently available CPI (hereafter defined)
nearest to the Commencement Date, and the numerator of which is the equivalent
monthly CPI occurring just prior to January 1St of an Evaluation Year. (For example, if
the most recently available CPI nearest to the Commencement Date is 314.5 and the
equivalent monthly CPI occurring just prior to the Evaluation Date is 326.8, then the
Base Rent would be multiplied by the fraction 326.8/314.5). "CPI" shall mean Consumer
Price Index for all Urban Consumers, U.S. City Average, all items (1982-84=100), not
seasonally adjusted, published and issued by the Bureau of Labor Statistics of the
United States Department of Labor or any other index which replaces current CPI. In
no event shall the annual rent increase by more than 3% in any one year.
(C) No payment of rent to or received by Landlord of a lesser amount
than the amount required to be paid hereunder shall be deemed to be other than on
account of the earliest amount of such obligation then due hereunder. No endorsement
or statement on any check or other communication accompanying a check for payment
of any amount payable hereunder shall be deemed an accord and satisfaction, and
Landlord may accept such check and payment without prejudice to Landlord's right to
recover the balance of any sums owed by Tenant hereunder.
(D) In the event any sums required hereunder to be paid are not
received by Landlord on or before the fifteenth (15th) business day after the date such
sum was due, Tenant shall pay, a sum equal to five percent (5%) of the overdue
amount. In addition, any amount due hereunder shall bear interest from the date due
until paid at a rate equal to twelve percent (12%) per annum. The foregoing shall be
deemed additional rent.
7) ADDITIONAL CHARGES. Tenant shall pay all water and sewer charges,
telephone, gas and electric light and power bills, garbage collection fees and insurance
iManage: 193723_1
premiums during the Term hereof. Tenant shall make timely payment of all fees and
taxes due and owed to the Village of Mount Prospect, including but not limited to, water
and sewer charges, food and beverage taxes, sales taxes and business license fees.
Tenant's failure to pay such fees and charges within thirty (30) days of their respective
due dates shall constitute a default hereunder.
8) TENANT'S HOURS OF OPERATION. Tenant will maintain the following
hours of operation:
Monday through Friday
9:00 AM
to
11:00 PM
Saturday
9:00 AM
to
11:00 PM
Sunday
11:00 AM
to
10:00 PM
The above hours may be modified by Tenant only with the prior written consent of
the Landlord, which consent shall not be unreasonably withheld.
9) STANDARDS OF SERVICE. Tenant will carry out and perform all
operations and services in a professional manner and in keeping with high standards for
customer service and cleanliness. Tenant will be in default if in the event, in the
Landlord's reasonable judgment, Tenant is not meeting the foregoing standards and
Tenant has not cured such default within ten (10) days of Tenant's receipt of written
notice from Landlord.
10) LICENSE AND PERMITS. Tenant will obtain all licenses and permits
necessary and required to conduct its business required under the terms of this Lease
and will conduct its business in compliance with all Landlord regulations.
11) LEASED PREMISES MAINTENANCE. (A) Unless otherwise provided in
this Paragraph, Tenant, at its sole cost and expense, shall keep the Leased Premises,
appurtenances thereto, and the areas to which Tenant has direct access in a clean,
sightly and healthy condition, and in good repair, all according to the statutes and
ordinances in such cases made and provided, and the directions of public officers
thereunto duly authorized, all at its own expense, and shall yield the same back to
Landlord upon the termination of this Lease, whether such termination shall occur by
expiration of the term, or in any other manner whatsoever, in the same condition of
cleanliness, repair and sightlines prior to Tenant's installation of furniture, fixtures and
equipment and reasonable wear and tear excepted.
(B) Tenant agrees to provide all custodial services, daily cleanup, and
maintenance of the interior of the Premises and the outdoor dining area, such as
sweeping, floor and window washing, debris cleanup, and general cleaning of storage
space and toilet areas, and shall provide all labor, supervision, insurance, equipment
and cleaning materials necessary to provide general cleaning and maintenance.
Tenant will be responsible, at its sole cost and expense, for any changes, repairs or
upgrades of structural, utility (including mechanical, electrical and HVAC systems) and
plumbing systems that are necessitated, advisable, desired for, or related to the
iManage: 193723_1
operation of the Tenant's use hereunder, said changes, repairs or upgrades being
subject to the written prior approval of the Landlord. Further, Tenant shall make all
necessary repairs and renewals upon Premises and replace broken globes, glass and
fixtures with material of the same size and quality as that broken and shall insure all
glass in windows and doors of the Premises at its own expense.
(C) Landlord's obligations shall include maintaining the grounds around
the Premises, other than the outside eating area, to include the parking areas,
sidewalks, landscaping and drainage systems on the Premises, said maintenance to
include lawn mowing and snow plowing of parking areas. Landlord shall, at its sole cost
and expense, maintain and make all necessary repairs and/or replacements for the
upkeep of the roof, roof membrane and roof systems (gutters, downspouts and the like),
foundation, exterior walls, interior structural walls, all structural components, and all
utility systems (including mechanical, electrical and HVAC systems) and plumbing
systems, to the extent necessary to comply with building codes, but such obligation
shall not include making any repair or improvement for the purpose of benefiting
Tenant's business operations, or necessitated or caused by the negligence or willful
misconduct of Tenant, its officers, agents and assigns.
(D) If Tenant fails to perform Tenant's obligations under this Section,
Landlord may, but shall not be required to, enter upon the Premises, after thirty (30)
days prior written notice to Tenant, and put the same in good order, condition and
repair, and the reasonable costs thereof shall become due and payable as additional
rent to Landlord together with Tenant's next Base Rent installment falling due after
Tenant's receipt of an invoice for such costs. In such case, Landlord may enter the
same, himself or by his agents, servants or employees, without such entering causing
or constituting a termination of this Lease or an interference with the possession of the
Premises by Tenant. This reimbursement obligation of Tenant shall survive the
termination or expiration of this Lease.
12) ACCESS TO PREMISES. Tenant shall have the right to access to such
portions of the General Store outside the Premises as are necessary to enable Tenant
to exercise its rights under this Lease.
13) LANDLORD' RIGHTS. Landlord shall have the following rights,
exercisable without notice and without liability to Tenant for damage or injury to
property, person or business and without effecting an eviction or disturbance of Tenant's
use or possession or giving rise to any claims for setoffs or abatement of rent, except as
set forth herein: to establish or change the name, designation or street address of the
Premises; to install and maintain signs on any part of the Premises or outside the
Premises; to enter the Premises in an emergency, using such force as is reasonably
necessary; to make such inspections and required repairs of the Premises as are
reasonably necessary; and to make repairs, additions or alterations to the Premises; to
do or permit to be done any work on or about the exterior of the Premises. Landlord and
Landlord's agents shall have the right to enter the Premises upon twenty-four (24) hours
iManage: 193723_1
prior written notice for the purpose of showing the same to prospective purchasers or
lenders.
14) CONDITION ON POSSESSION. Tenant has been in possession of the
Premises under the Current Lease and knows the condition of the Premises and has
received the same in good order and repair, and acknowledges that no representations
as to the condition and repair thereof, and no agreements or promises to decorate,
alter, repair or improve the Premises, have been made by Landlord or his agent prior to
or at the execution of this Lease that are not herein expressed. Tenant shall obtain any
necessary permits prior to possession of the property from Landlord. The fire
department and building department will be responsible for determining the maximum
number of persons the facility can occupy and this number shall be posted and received
prior to any occupancy permit being issued.
15) COMPLIANCE WITH LAWS. Tenant shall comply with all federal, state,
county and municipal laws and ordinances, including the following:
a.) the Americans with Disabilities Act; and
b.) the provisions of the EQUAL EMPLOYMENT OPPORTUNITY
CLAUSE required by the Illinois Department of Human Rights as a material term of all
public contracts, which states as follows: SEE EXHIBIT A, ATTACHED HERETO AND
MADE A PART HEREOF.
16) INDEMNIFICATION. Tenant agrees to indemnify and hold harmless the
Landlord, its officers, agents and employees from any and all liability, losses or damages
including attorney's fees and costs of defense the Landlord may suffer in any way
resulting from or arising out of the operation of the Tenant's use or the activities of Tenant,
its employees, agents and assigns under the Lease, except as a result of the sole
negligence of the Landlord, its officers, agents or employees, and Tenant will, at its own
expense, appear, defend and pay all fees of attorneys and all costs and other expenses
arising therefrom or incurred in connection therewith; and if any judgments will be
rendered against the Landlord, its officers, agents or employees in any such action,
Tenant will, at its own expense, satisfy and discharge the same except that Tenant will not
defend, indemnify and/or save harmless the Landlord, its officers, agents or employees,
from and against the Landlord's sole negligence or that of its officers, agents or
employees. This indemnity shall survive termination of this Lease only as to claims arising
out of events that occur prior to termination of this Lease.
17) INSURANCE. Tenant agrees to obtain at is own cost and expense, and to
keep in full force and effect during the term of this Lease, and any extensions, general
liability insurance in the amount of $1,000,000 single claim and $3,000,000 aggregate
from an insurance carrier having at least an "A" rating as defined in A.M. BEST'S Key
Rating Guide. Upon the execution of this Lease, the Tenant will provide the Landlord with
a copy of the certificate and premium bill evidencing Tenant's insurance and naming the
Landlord as an additional insured. Such insurance is primary and in no event will be
iManage: 193723_1
considered contributory to any insurance purchased by the Landlord. Additionally, Tenant
will provide the Landlord with a letter from the insurance carrier that the Landlord will be
notified within ninety (90) days of the pending cancellation of any policy relating to this
Lease.
18) TENANT NOT TO MISUSE. Tenant will not permit any unlawful or
immoral practice, with or without his knowledge or consent, to be committed or carried on
in the Premises by himself or by any other person. Tenant will not allow the Premises to
be used for any purpose that will increase the rate of insurance thereon, nor for any
purpose other than that herein specified. Tenant will not keep or use or permit to be kept
or used in or on the Premises or any place contiguous thereto any hazardous materials
(as defined in all federal, state and local environmental laws, rules and regulations),
flammable fluids or explosives, without the written permission of Landlord first had and
obtained. Tenant will not load floors beyond the floor load rating prescribed by applicable
municipal ordinances. Tenant will not use or allow the use of the Premises for any
purpose whatsoever that will injure the reputation of the Premises or any part thereof.
Tenant shall not cause or permit any waste, misuse or neglect of the water, or of the
water, gas or electric fixtures.
19) NON -LIABILITY OF LANDLORD. Except as provided by Illinois statute,
Landlord shall not be liable to Tenant for any damage or injury to him or his property
occasioned by the failure of Landlord to keep the Premises in repair, and shall not be
liable for any injury done or occasioned by snow, wind, excessive heat or cold, broken
glass, sprinkling, heating, ventilating or air conditioning systems, devices or equipment,
flooding, or by or from any defect of plumbing, electric wiring or of insulation thereof, gas
pipes, water pipes or steam pipes, or from broken stairs, porches, railings or walks, or
from the backing up of any sewer pipe or down -spout, or from the bursting, leaking or
running of any tank, tub, washstand, water closet or waste pipe, drain, or any other pipe or
tank in, upon or about the Premises or any part thereof, nor from the escape of steam or
hot water from any radiator, it being agreed that said radiators are under the control of
Tenant, nor for any such damage or injury occasioned by water, snow or ice being upon or
coming through the roof, skylight, trap-door, stairs, walks or any other place upon or near
the Premises, or otherwise, nor for any such damage or injury done or occasioned by the
falling of any fixture, plaster or stucco, all claims for any such damage or injury being
hereby expressly waived by Tenant.
20) HEAT. Landlord does not warrant that the heating service will be free from
interruptions caused by strike, accident or other cause beyond the reasonable control of
Landlord, or by renewal or repair of the heating apparatus in the Premises. Any such
interruption shall not be deemed an eviction or disturbance of Tenant's use and
possession of Premises, nor render Landlord liable to Tenant in damages. All claims
against Landlord for injury or damage arising from failure to furnish heat are hereby
expressly waived by Tenant.
21) FIRE AND CASUALTY. In case the Premises shall be rendered
untenantable by fire, explosion or other casualty, Landlord may, at its option, terminate
iManage: 193723_1
this Lease or repair the Premises within one hundred and eighty (180) days. If Landlord
does not repair the Premises within said time, or the building containing the Premises
shall have been wholly destroyed, the term hereby created shall cease and terminate.
22) PROPERTY TAXES.
(A) Definition of "Real Property Taxes." For purposes of this
Lease, the phrase "Real Property Taxes" shall include general real estate taxes and
assessments payable with respect to the Property which are imposed by any authority
having the power to tax any legal or equitable interest of Landlord or Tenant in or on the
Premises, specifically including any tax on the leasehold interest created under this
Lease; provided, however, that assessments shall be prorated and divided into the
maximum number of installments permitted by law and only the current portion shall be
included in Real Property Taxes for any Lease Year. Notwithstanding the foregoing,
Real Property Taxes shall not include (i) any inheritance, estate, succession, transfer,
gift, franchise, or capital stock tax; (ii) any income taxes arising out of or related to
ownership and operation of income-producing real estate; (iii) any excise taxes imposed
upon Landlord based upon gross or net rentals or other income received by it; or (iv)
assessments liened against the Property prior to the Commencement Date.
(B) Payment of Real Property Taxes. For each Lease Year, Landlord
shall pay the Real Property Taxes as such taxes become due and payable during the
Term (as defined in Section 4), prorated for the first and last years of the Term.
23) REMOVAL OF LIENS. In the event any lien upon Landlord's title
results from any act or neglect of Tenant, and Tenant fails to remove said lien within ten
(10) days after Landlord's notice to do so, Landlord may remove the lien by paying the full
amount thereof or otherwise and without any investigation or contest of the validity
thereof, and Tenant shall pay Landlord upon request the amount paid out by Landlord in
such behalf, including Landlord's costs, expenses and attorneys fees.
24) LANDLORD'S REMEDIES.
(A) Tenant's Close of Operations. If Tenant intends to close its
operation, for any reason, except for a temporary closing for an emergency as set forth
in this Section, it must notify the Landlord in writing one hundred and twenty (120) days
prior to shutting down. If Tenant must cease operation as a result of an emergency, it
must notify the Landlord as soon as possible of the reason and the anticipated duration.
The Landlord may terminate the Lease immediately if Tenant closes for seven (7) days,
subject to exception due to force majeure, casualty, condemnation and remodeling, and
fails to reopen within twenty (20) days after receiving written notice from the Landlord.
Tenant's right to the possession of the Premises thereupon shall terminate with or (to
the extent permitted by law) without any notice or demand whatsoever, and the mere
retention of possession thereafter by Tenant shall constitute a forcible detainer of the
Premises; and if the Landlord so elects, but not otherwise, and with or without notice of
such election or any notice or demand whatsoever, this Lease shall thereupon
iManage: 193723_1
terminate, and upon the termination of Tenant's right of possession, as aforesaid,
whether this Lease be terminated or not, Tenant agrees to surrender possession of the
Premises immediately, without the receipt of any demand for rent, notice to quit or
demand for possession of the Premises whatsoever, and hereby grants to Landlord full
and free license to enter into and upon the Premises or any part thereof, to take
possession thereof with or (to the extent permitted by law) without process of law, and
to expel and to remove Tenant or any other person who may be occupying the
Premises or any part thereof, and Landlord may use such force in and about expelling
and removing Tenant and other persons as may reasonably be necessary, and
Landlord may re -possess himself of the Premises as its former estate, but such entry of
the Premises shall not constitute a trespass or forcible entry or detainer, nor shall it
cause a forfeiture of rents due by virtue thereof, nor a waiver of any covenant,
agreement or promise in this Lease contained, to be performed by Tenant. Tenant
hereby waives all notice of any election made by Landlord hereunder, demand for rent,
notice to quit, demand for possession, and any and all notices and demand whatsoever,
of any and every nature, which may or shall be required by any statute of this state
relating to forcible entry and detainer, or to landlord and tenant, or any other statute, or
by the common law, during the term of this Lease or any extension thereof.
(B) Tenant's Defaults. The occurrence of any one or more of the
following events shall constitute a default and breach of this Lease by Tenant:
i. Tenant shall be in default if, after receiving written notice
from Landlord, Tenant fails to: (i) pay, within fifteen (15)
days after receipt of written notice, any rent or other
monetary payment which is past due pursuant to the terms
of this Lease; or (ii) cure, within thirty (30) days after receipt
of written notice, any breach of any other covenant,
conditions, provision or obligation to be performed by Tenant
pursuant to the terms of this Lease; provided, if such non -
monetary cure cannot reasonably be completed with such
thirty (30) day period, Tenant shall have such additional time
as may reasonably be necessary, so long as the cure has
been commenced within thirty (30) days from the date of
such notice, and is thereafter diligently prosecuted to
completion.
ii. Except as otherwise provided in this Lease, the failure by
Tenant to make any payment of Base Rent or any other
payment required to be made by Tenant hereunder, as and
when due, where such failure shall continue for a period of
seven (7) business days after Landlord notifies Tenant in
writing of such failure.
iii. Tenant's failure to reopen as provided in this Lease;
iManage: 193723_1
iv. The failure by Tenant to abide by the Village of Mount
Prospect's regulations, or observe or perform any of the
covenants, conditions, or provisions of this Lease to be
observed or performed by Tenant, other than the payment of
sums due hereunder, where such failure shall continue for a
period of ten (10) days after written notice thereof from
Landlord to Tenant; provided, however, that if the nature of
Tenant's default is such that more than ten (10) days are
reasonably required for its cure, then Tenant shall not be
deemed to be in default if Tenant commences such cure
within such ten (10) day period and thereafter diligently
pursues such cure to completion;
V. If Tenant shall make an assignment for the benefit of
creditors or file a petition in any court for bankruptcy,
reorganization, composition or make an application in any
such proceeding for the appointment of a trustee or receiver
for all or any portion of its property;
Vi. If any petition shall be filed against Tenant in any
bankruptcy, reorganization or insolvency proceedings, and
such proceedings are not dismissed or vacated within one
hundred twenty (120) days after such petition is filed;
Vii. If a receiver or trustee shall be appointed under state law for
Tenant for all or any portion of the property of Tenant, and
such receivership or trusteeship shall not be set aside within
ninety (90) days after such appointment.
(C) Remedies in Default. In the event of any such uncured
default, Landlord may pursue the following remedies in addition to any other remedies
available at law or in equity:
i. Landlord may terminate Tenant's right to possession of the
Premises by any lawful means, in which case this Lease
shall terminate and Tenant shall surrender possession of the
Premises to Landlord within ten (10) days after written notice
from Landlord to Tenant. In such event, Landlord shall be
entitled to recover from Tenant all damages incurred by
Landlord by reason of Tenant's default including, but not
limited to, the cost of recovering possession of the Premises,
expenses of reletting, including necessary renovation and
alteration of the Premises. Any damage or loss of rent
sustained by Landlord may be recovered by Landlord, at
Landlord's option, at the time of the reletting, or in separate
actions, from time to time, as such damages shall have been
iManage: 193723_1
made easily ascertainable by successive relettings, or at
Landlords' option in a single proceeding deferred until the
expiration of the term of this Lease (in which event Tenant
hereby agrees that the cause of action shall not be deemed
to have accrued until the date of expiration of such term) or
in a single proceeding prior to either the time of reletting or
the expiration of the term of this Lease.
ii. Landlord may maintain Tenant's right to possession, in which
case this Lease shall continue in effect whether or not
Tenant shall have abandoned the Premises. In such event,
Landlord shall be entitled to enforce all of Landlord's rights
and remedies under this Lease.
iii. Nothing contained herein shall prevent the enforcement of
any claim Landlord may have against Tenant for anticipatory
breach of the unexpired term of this Lease. In the event of a
breach or anticipatory breach by Tenant of any of the
covenants or provisions hereof, Landlord shall have the right
of injunction and the right to invoke any remedy allowed by
law or in equity as if reentry, summary proceedings and
other remedies were not provided for herein. Tenant hereby
expressly waives any and all rights of redemption granted by
or under any present or future laws in the event of Tenant
being evicted or dispossessed pursuant to the terms hereof,
or in the event of Landlord obtaining possession of the
Premises by reason of Tenant's default of any of the
covenants and conditions of this Lease, as set forth herein.
(D) Acceptance of rent. The acceptance of rent, whether in a single
instance or repeatedly, after it falls due, or after knowledge of any breach hereof by
Tenant, or the giving or making of any notice or demand, whether according to any
statutory provision or not, or any act or series of acts except an express written waiver,
shall not be construed as a waiver of Landlord's rights to act without notice or demand
or of any other right hereby given Landlord, or as an election not to proceed under the
provisions of this Lease.
(E) Cumulative Remedies. Except where otherwise expressly provided
in this Lease, no remedy or election hereunder shall be deemed exclusive, but shall,
wherever possible, be cumulative with all other remedies at law or in equity and all
those specifically provided herein.
25) TERMINATION. At the termination of the term of this Lease, by lapse of
time or otherwise, Tenant will yield up immediate possession of the Premises to Landlord,
in good condition and repair, loss by fire and ordinary wear excepted, and in the condition
it was in prior to Landlord's installation of furniture, fixtures and equipment, and will return
iManage: 193723_1
the keys therefor to Landlord at the place of payment of rent. If Tenant retains possession
of the Premises or any part thereof after the termination of the term by lapse of time or
otherwise, then Landlord may at its option within thirty (30) days after termination of the
term serve written notice upon Tenant that such holding over constitutes either (a) renewal
of this Lease for one year, and from year to year thereafter, at double the rental
(computed on an annual basis) specified in Section 6, or (b) creation of a month to month
tenancy, upon the terms of this Lease except at double the monthly rental specified in
Section 2, or (c) creation of a tenancy at sufferance, at a rental of 150.00 dollars per day,
for the time Tenant remains in possession. If no such written notice is served, then a
tenancy at sufferance with rental as stated at (c) shall have been created. Tenant shall
also pay to Landlord all damages sustained by Landlord resulting from retention of
possession by Tenant. The provisions of this paragraph shall not constitute a waiver by
Landlord of any right of re-entry as otherwise set forth in this Lease; nor shall receipt of
any rent or any other act in apparent affirmance of tenancy operate as a waiver of the right
to terminate this Lease for a breach of any of the covenants herein.
26) COSTS AND FEES. Tenant shall pay upon demand all Landlord's
reasonable costs, charges and expenses, including reasonable fees of attorneys, agents
and others retained by Landlord, incurred in enforcing any of the obligations of Tenant
under this Lease or in any litigation, negotiation or transaction in which Landlord shall,
without Landlord's fault, become involved through or on account of this Lease.
27) ASSIGNMENT. Tenant will not assign this Lease or any part of it to any
other person, firm or corporation, except affiliates, without the written consent of the
Landlord. Tenant shall have the right to sublease the location to a qualified franchisee of
Tenant with the written consent of the Landlord, which consent shall not be unreasonably
withheld or delayed. Such sublease arrangement shall not relieve Tenant from any
Tenant obligations, as set forth in the Lease, including but not limited to, the reasonable
quality standards established by the Landlord. The Landlord may look to Tenant should
any default arise as a result of actions of a subTenant.
28) NOTICES. Whenever a provision is made under this Lease or by law for
any demand, notice or declaration of any kind, or where it is deemed desirable or
necessary by either party to give or serve any such notice, demand or declaration to the
other party, it shall be in writing and served either personally or sent by United States mail,
certified, postage prepaid, or by pre -paid nationally recognized overnight courier service,
addressed at the addresses set forth below or at such address as either party may advise
the other from time to time.
To the Landlord at: Village of Mount Prospect
Village Manager
50 S. Emerson Street
Mount Prospect, Illinois 60056
with a copy to: Klein, Thorpe and Jenkins, Ltd.
Lance Malina
iManage: 193723_1
20 North Wacker Drive, Suite 1660
Chicago, Illinois 60606
(312) 984-6400 (Telephone)
(312) 984-6444 (Fax)
To the Tenant at: Capannari's
10 S. Pine Street
Mount Prospect, IL 60056
with a copy to: Ken Dix
415 S. I -Oka
Mount Prospect, IL 60056
29) RULES. Tenant shall keep and observe such reasonable rules and
regulations now or hereafter required by Landlord, which may be necessary for the proper
and orderly care of the building of which the Premises are a part.
30) BINDING. All covenants, promises, representations and agreements
herein contained shall be binding upon, apply and inure to the benefit of Landlord and
Tenant and their respective heirs, legal representatives, successors and assigns.
31) RIGHTS CUMULATIVE. The rights and remedies hereby created are
cumulative and the use of one remedy shall not be taken to exclude or waive the right to
the use of another.
32) PLURAL AND SINGULAR. The words "Landlord" and "Tenant" wherever
used in this Lease shall be construed to mean Landlords or Tenants in all cases where
there is more than one Landlord or Tenant, and to apply to individuals, male or female, or
to firms or corporations, as the same may be described as Landlord or Tenant herein, and
the necessary grammatical changes shall be assumed in each case as though fully
expressed.
33) ESTOPPEL CERTIFICATE. Tenant shall, no more than twice in any
Lease Year and upon not less than thirty (30) days prior written notice from Landlord,
execute, acknowledge and deliver to any prospective purchaser or mortgagee, or to
Landlord on such party's behalf a statement in writing, (a) certifying that this Lease is
unmodified and in full force and effect (or, if modified, stating the nature of such
modification and certifying that this Lease, as so modified, is in full force and effect); (b)
stating the date to which the Base Rent and other charges are paid and the amount of any
security deposit held by Landlord, if any; and (c) acknowledging that there are not, to the
actual knowledge of the person executing such certificate, any uncured defaults on the
part of Landlord hereunder, or specifying such defaults, if any, which are claimed. Any
such statement may be conclusively relied upon by any prospective purchaser or
encumbrancer of the Premises. Each party will, within thirty (30) days of written request
from the other party, provide an estoppel certificate, whereby such party will represent to
the other, or to any prospective purchaser, assignee or mortgagee designated by the
iManage: 193723_1
requesting party, the status of rent payments under this Lease and, to the parties' actual
knowledge, whether or not the Lease is in full force and effect, or in default. If the party
contends that the Lease is not in full force or is in default, it will specify the default.
34) AUTHORITY. Each of the Landlord and Tenant hereby represents and
warrants that this Lease has been duly authorized, executed and delivered by and on its
behalf and constitutes such party's valid and binding agreement in accordance with the
terms hereof.
35) TIME OF ESSENCE. Time is of the essence to the parties executing this
Lease.
36) INTERPRETATION. Paragraph and Section headings are not a part
hereof and shall not be used to interpret the meaning of this Lease. This Lease shall be
interpreted in accordance with the fair meaning of its words and both parties certify they
either have been or have had the opportunity to be represented by their own counsel and
that they are familiar with the provisions of this Lease, which provisions have been fully
negotiated, and agree that the provisions hereof are not to be construed either for or
against either party as the drafting party.
37) MODIFICATIONS AND AMENDMENTS. This Lease contains all
agreements of the parties as of the date hereof with respect to any matter mentioned
herein. Except as provided on Page 1 of this Lease, no prior agreement, correspondence
or understanding pertaining to any such matter shall be effective to interpret or modify the
terms hereof. This Lease may be modified only in writing, signed by the parties in interest,
at the time of the modification. Landlord acknowledges that Tenant's employees at the
Premises do not have authority to modify the Lease or to waive Tenant's rights hereunder.
38) WAIVERS. No waiver by Landlord or Tenant of any provision hereof shall
be deemed a waiver of any other provision hereof or of any subsequent breach by Tenant
or Landlord of the same or any other provision. A party's consent to or approval of any act
shall not be deemed to render unnecessary obtaining such party's consent to or approval
of any subsequent act. No waiver shall be effective unless it is in writing, executed on
behalf of Landlord or Tenant by the person to whom notices are to be addressed.
39) LANDLORD/TENANT RELATIONSHIP. Nothing contained in this Lease
shall be deemed or construed by the parties hereto or by any third party to create the
relationship of principal and agent, partnership, joint venture or any association between
Landlord and Tenant. Landlord and Tenant expressly agree that neither the method of
computation of rent nor any act of the parties hereto shall be deemed to create any
relationship between Landlord and Tenant other than the relationship of Landlord and
Tenant.
40) BROKERS. Landlord and Tenant each represent to the other that they
have not dealt, directly or indirectly, in connection with the leasing of the Premises, with
any other broker or person entitled to claim a commission or leasing fees. In no event
iManage: 193723_1
may this Lease be construed to create any express or implied obligation on the part of
Tenant to perform this Lease on behalf of any broker (or any person claiming a
commission or leasing fee) as primary obligee or as a third party beneficiary. Landlord
and Tenant each shall indemnify and hold each other harmless from any loss, liability,
damage, or expense (including without limitation reasonable attorneys' fees) arising from
any claim for a commission or leasing fee arising out this transaction made by any
unidentified broker or other person with whom such party has dealt.
41) SEVERABILITY. If any clause, phrase, provision or portion of this Lease
or the application thereof to any person or circumstance shall be invalid, or unenforceable
under applicable law, such event shall not affect, impair or render invalid or unenforceable
the remainder of this Lease nor any other clause, phrase, provision or portion hereof, nor
shall it affect the application of any clause, phrase, provision or portion hereof to other
persons or circumstances.
42) JURISDICTION AND VENUE. This Lease provides for services to be
performed within the State of Illinois. Accordingly, this Lease, and all questions of
interpretation, construction and enforcement hereof, and all controversies hereunder, shall
be governed by the applicable statutory and common law of the State of Illinois. The
parties agree that for the purpose of any litigation relative to this Lease and its
enforcement, venue shall be in the Circuit Court of Cook County, Illinois and the parties
consent to the in personam jurisdiction of said Court for any such action or proceeding.
43) EFFECTIVE DATE. This Lease shall be deemed dated and become
effective on the date that Landlord signs this Lease, which date shall be the date stated on
the first page of this Lease.
The Parties hereto have executed this Lease as of the day, month and year first above
written.
Tenant:
Please print or type names below signature(s).
LANDLORD:
CAPANNARI'S, INC. VILLAGE OF MOUNT PROSPECT
, Its President
ATTEST:
, Its Secretary
iManage: 193723_1
Village President
ATTEST:
Village Clerk
EXHIBIT A
Title 44, Part 750, Section 750, APPENDIX A, Illinois Administrative Code, Equal
Employment Opportunity Clause
EQUAL EMPLOYMENT OPPORTUNITY
750.APPENDIX A Equal Employment Opportunity Clause
EQUAL EMPLOYMENT OPPORTUNITY
In the event of the Tenant's non-compliance with the provisions of this Equal
Employment Opportunity Clause, the Illinois Human Rights Act or the Rules and
Regulations of the Illinois Department of Human Rights ("Department"), the Tenant
may be declared ineligible for future contracts or subcontracts with the State of Illinois
or any of its political subdivisions or municipal corporations, and the contract may be
cancelled or voided in whole or in part, and such other sanctions or penalties may be
imposed or remedies invoked as provided by statute or regulation. During the
performance of this contract, the Tenant agrees as follows:
1) That it will not discriminate against any employee or applicant for employment
because of race, color, religion, sex, sexual orientation, marital status, national origin
or ancestry, citizenship status, age, physical or mental handicap unrelated to ability,
military status, or an unfavorable discharge from military service; and further that it
will examine all job classifications to determine if minority persons or women are
underutilized and will take appropriate affirmative action to rectify any such
underutilization.
2) That, if it hires additional employees in order to perform this contract or any
portion thereof, it will determine the availability (in accordance with the Department's
Rules) of minorities and women in the areas from which it may reasonably recruit
and it will hire for each job classification for which employees are hired in such a way
that minorities and women are not underutilized.
3) That, in all solicitations or advertisements for employees placed by it or on its
behalf, it will state that all applicants will be afforded equal opportunity without
discrimination because of race, color, religion, sex, sexual orientation, marital status,
national origin or ancestry, citizenship status, age, physical or mental handicap
unrelated to ability, military status, or an unfavorable discharge from military service.
4) That it will send to each labor organization or representative of workers with
which it has or is bound by a collective bargaining or other agreement or
understanding, a notice advising such labor organization or representative of the
contractor's obligations under the Illinois Human Rights Act and the Department's
iManage: 193723_1
Rules. If any such labor organization or representative fails or refuses to cooperate
with the contractor in its efforts to comply with such Act and Rules, the contractor will
promptly so notify the Department and the contracting agency and will recruit
employees from other sources when necessary to fulfill its obligations thereunder.
5) That it will submit reports as required by the Department's Rules, furnish all
relevant information as may from time to time be requested by the Department or the
contracting agency, and in all respects comply with the Illinois Human Rights Act and
the Department's Rules.
6) That it will permit access to all relevant books, records, accounts and work sites
by personnel of the contracting agency and the Department for purposes of
investigation to ascertain compliance with the Illinois Human Rights Act and the
Department's Rules.
7) That it will include verbatim or by reference the provisions of this clause in every
subcontract it awards under which any portion of the contract obligations are
undertaken or assumed, so that such provisions will be binding upon such
subcontractor. In the same manner as with other provisions of this contract, the
contractor will be liable for compliance with applicable provisions of this clause by
such subcontractors; and further it will promptly notify the contracting agency and the
Department in the event any subcontractor fails or refuses to comply therewith. In
addition, the contractor will not utilize any subcontractor declared by the Illinois
Human Rights Commission to be ineligible for contracts or subcontracts with the
State of Illinois or any of its political subdivisions or municipal corporations.
iManage: 193723_1