CC 2014-01-14_08.n. Amend Communications Site Lease Agreement SBAMEMORANDUM
TO: CITY COUNCIL
FROM: TIMOTHY J. CARMEL, CITY ATTORNEY
SUBJECT: CONSIDERATION OF APPROVAL · OF AMENDMENT TO
COMMUNICATIONS SITE LEASE AGREEMENT (GROUND);
RESERVOIR 2; 200 HILLCREST DRIVE, ARROYO GRANDE
DATE: JANUARY 14, 2014
RECOMMENDATION:
It is recommended the City Council approve and authorize the Mayor to execute the
Amendment to Communications Site Lease Agreement (the "Amendment") between the
City of Arroyo Grande ("City") and SBA 2012 TC Assets, LLC ("SBA").
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
The City will receive a one time signing bonus of $25,000 and will continue to receive
monthly rent for up to an additional 25 years.
BACKGROUND:
On May 23, 2000, the City and Nextel of California, Inc. ("Nextel") executed a
Communications Site Lease Agreement (the "Agreement") wherein City leased to
Nextel approximately 200 square feet of vacant land located at the City's Reservoir No.
2 property, 200 Hillcrest Drive (the "Premises"). In 2008 Nextel assigned the
Agreement to TowerCo Assets, LLC which, in 2012 changed its name to SBA 2012 TC
Assets, LLC ("SBA"), which is the current tenant. The original Agreement included a
term of 5 years with three successive five year options to renew. Base rent in 2000 was
$1,000 per month subject to 5% annual increases. The current rent under the
Agreement is $1,885.67. The term of the Agreement expires on November 22, 2020
and SBA has requested an extension of the term of the Agreement as well as a right of
first refusal.
On May 22, 2001, the City entered into an agreement with the Howard Mankins
Revocable Trust (the "Mankins' Agreement") wherein the City would pay Mankins 20%
of all rent received from the City's property from third parties because access to such
property was through an easement located on the Mankins' property.
Item 8.n. - Page 1
CITY COUNCIL
CONSIDERATION OF APPROVAL OF AMENDMENT TO COMMUNICATIONS SITE
LEASE
JANUARY 14, 2014
PAGE2
On July 11, 2003, the Nextel Agreement was amended to reduce the size of the
Premises to 140 square feet and the language regarding the right to construct
.communications facilities on the Premises, interference, destruction or condemnation,
repairs was revised. In addition, the 2003 amendment authorized the recordation of a
memorandum of agreement. A copy of the Agreement, the Mankins' Agreement and
2003 amendment are attached as Attachments 1, 2 and 3, respectively.
ANALYSIS OF ISSUES:
SBA initially requested a 40 year extension, however, after subsequent discussions with
SBA's representatives regarding concerns over such a long extension, SBA proposed
the following options:
1. A 25 year extension with 5 five year terms; one time signing bonus of $25,000;
2. A 20 year extension with 4 five year terms; one time signing bonus of $20,000; or
3. A 15 year extension with 3 five year terms; one time signing bonus of $15,000.
The "signing bonus" was contingent. on the inclusion of a right of first refusal in the
extension document.
Lease Term:
The term of the Agreement technically commenced on November 24, 2000 when Nextel
completed construction of its communications facilities. The term expires on November
23, 2020. The Amendment would extend the term of the Agreement to November 23,
2045. Although the proposed 25 year extension is significant, the City has no current
long term plans that would otherwise be affected by this term. The Agreement provides
the City with supplemental income and rent is increased every year by 5%. By 2045, the
City should be receiving approximately $8,985 per month in rent.
The Right of First Refusal:
SBA requested that a right of first refusal be included in Amendment and offered a one
time signing bonus in the amounts above as consideration for such a provision. The
right of first refusal gives SBA the right to accept certain offers made to the City by any
third party. In other words, if the City receives an offer from a third party to sell, assign,
convey, lease, or otherwise transfer or create any interest in the premises, current or
future rent, or the Agreement, which City desires to accept, the City must first make
such an offer first available to SBA. SBA then has the right to accept or reject such
offer. If SBA rejects the offer, the City may proceed with the transaction with the third
party.
Although the City has never entered into such an arrangement with any other lessee for
a communications site, City staff believes that it is unlikely that the City would ever
consider entertaining such an offer. On the other hand, the $25,000 signing bonus
would provide the City with considerable additional revenue to cover current expenses.
Item 8.n. - Page 2
CITY COUNCIL
CONSIDERATION OF APPROVAL OF AMENDMENT TO COMMUNICATIONS SITE
LEASE
JANUARY 14, 2014
PAGE2
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
1. Approve staff's recommendation;
2. Do not approve staff's recommendation;
3. Provide direction to staff.
ADVANTAGES:
Approving the Amendment will provide the City with an immediate $25,000 in additional
revenue and allow the term of the Agreement to extend for an additional 25 years thus
providing the City with a potentially long term income stream, which includes a
reasonable, annual cost of living adjustment.
DISADVANTAGES:
The City's ability to use the Premises will be limited for the duration of the term of the
Agreement.
ENVIRONMENTAL REVIEW:
No environmental review is required for this item.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted in front of City Hall on Thursday, January 9, 2014. The .
Agenda and staff report were posted on the City's website on Friday, January 10, 2014.
Attachments:
1 . Mankins Agreement
2. 2003 Amendment
Item 8.n. - Page 3
Prepared by: Karen Mello
· After recording return to: Khreshmore Spence
SBA Network Services, LLC
5900 Broken Sound Parkway, NW. 3rd Floor
Boca Raton, FL 33487-2797
Ph: 1-800-487-7483 ext. 7795
Parcel ID: 077-061-016
AMENDMENT TO COMMUNICATIONS SITE LEASE AGREEMENT (GROUND)
Tms AMENDMENT TO COMMUNICATIONS SITE LEASE AGREEMENT
(GROUND) ("Amendment") is executed this day of , 201_, by and
between CITY OF ARROYO GRANDE, a municipal corporation, having an address at 300
East Branch Street, Arroyo Grande, CA 93420 ("Lessor") and SBA 2012 TC ASSETS, LLC, a
Delaware limited liability company, having a principal office located at 5900 Broken Sound
Parkway, NW, Boca Raton, Florida 33487-2797 ("Lessee").
WHEREAS, Lessor and Nextel of California, Inc., a Delaware corporation d/b/a Nextel
Communications entered into that certain Communications Site Lease Agreement (Ground),
dated May 23, 2000, as amended, and as evidenced by that certain Memorandum of Agreement
recorded March 11, 2009 as Document #2009011662 and ultimately assigned to Lessee f/k/a
TowerCo Assets, LLC, a Delaware limited liability company successor by merger to Tower
Entity 7 LLC, a Delaware limited liability company by that certain Assignment and
Assumption of Ground Lease recorded February 19, 2009 as Document #2009008082 of the
Clerk of the Recorder's Office of San Luis Obispo County, California (collectively,
"Agreement") for Lessee's use of a portion of the real property ("Premises") located at 200
Hillcrest Drive, Arroyo Grande, CA 93421 and more commonly known as Reservoir No. 2,
Assessor Parcel No. 077-061-016 ("Property"), being more particularly described in the
attached Exhibit "A"; and
CA45568-A/Arroyo Grande 3, CA 1
Item 8.n. - Page 4
WHEREAS, Lessor and Lessee desire and intend to amend and supplement the
Agreement as provided herein.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the parties hereto covenant, agree and bind themselves to the
following modifications to the Agreement:
I. Section 4. Term, of the Agreement is hereby amended as follows:
In addition to the Renewal Terms as referenced in the Agreement, the Agreement
is hereby amended to include five (5) additional successive terms of five (5) years
(each an "Additional Renewal Term"). Each Additional Renewal Term shall be
deemed automatically extended, unless Lessee notifies Lessor of its intention not
to renew the Agreement prior to the commencement of the succeeding Additional
Renewal Term. The first Additional Renewal Term shall commence on November
23, 2020 ("Additional Renewal Term Commencement Date"), upon the expiration
of the Renewal Term expiring on November 22, 2020.
2. The fourth sentence of Section 13. Assignment and Subletting, of the
Agreement is hereby deleted in its entirety.
3. Section 18(d). Miscellaneous, of the Agreement is hereby amended as follows:
If to Lessor:
If to Lessee:
City of Arroyo Grande
300 East Branch Street
Arroyo Grande, CA 93420
SBA 2012 TC Assets, LLC
Attn: Site Administration
5900 Broken Sound Parkway, NW
Boca Raton, FL 33487-2797
Re: CA45568-A/Arroyo Grande 3, CA
4. The Agreement is hereby amended to include Section 19. Right of First Refusal,
as follows:
If at any time during the term of the Agreement, Lessor receives a bona fide
written offer from any company or its affiliates (a) engaged in the business of
owning, operating or maintaining wireless communications facilities, or (b) having
any interest as a landlord, tenant or any ·other capacity in any wireless
communications ground lease or easement (the "Offer") to sell, assign, convey,
lease, factor or otherwise transfer or create any interest in the current or future
Rent, this Agreement, the Premises, which Lessor desires to accept, Lessor shall
first give Lessee written notice (including a copy of the proposed contract) of such
Offer prior to becoming obligated under such Offer, with such notice giving
CA45568-A/Arroyo Grande 3, CA 2
Item 8.n. - Page 5
Lessee the right to acquire the interest described in the Offer on the terms set forth
in the Offer. Lessee shall have a period of thirty (30) days after receipt of Lessor's
notice and terms to exercise Lessee's right of first refusal by notifying Lessor in
writing. If Lessee has not exercised its right of first refusal in writing to Lessor
within such thirty (30) day period, the Offer will be deemed rejected. Lessor may_
not assign the Rent or the Agreement or any rights hereunder, except in connection
with conveyance of fee simple title to the Property, without the prior written
consent of Lessee, in Lessee's sole and absolute discretion.
5. Within ten business days, upon full execution of this Amendment, Lessee shall pay
to the Lessor a one-time payment of Twenty-five Thousand and no/100 Dollars
($25,000.00).
6. Capitalized terms not defined in this Amendment will have the meaning ascribed
to such terms in the Agreement.
7. This Amendment will be governed by and construed and enforced in accordance
with the laws of the state in which the Property is located without regard to
principles of conflicts of law.
8. Except as specifically set forth in this Amendment, the Agreement is otherwise
unmodified and remains in full force and effect and is hereby ratified and
reaffirmed. In the event of any inconsistencies between the Agreement and this
Amendment, the terms of this Amendment shall take precedence.
9. Lessor acknowledges that the attached Exhibit "A" may be preliminary or
incomplete and, accordingly, Lessee may replace and substitute such Exhibit with
an accurate survey and legal descriptions of the Premises and easements and re-
record this Amendment without obtaining the further approval of Lessor.
Following such re-recording, the descriptions of the Premises and easements
described therein shall serve as the descriptions for same for all purposes under the
Amendment.
10. Lessor represents and warrants to Lessee that the Lessor is the sole owner in fee
simple title to the Premises and easements and the Lessor's interest under the
Agreement and that consent or approval of no other person is necessary for the
Lessor to enter into this Amendment.
11. This Amendment may be executed in one or more counterparts, and by the
different parties hereto in separate counterparts, each of which when executed shall
be deemed to be an original but all of which taken together shall constitute one and
the same Agreement.
12. Lessee sha)I have the right to record this Amendment.
CA45568-A/ Arroyo Grande 3, CA 3
Item 8.n. - Page 6
IN WITNESS WHEREOF, the parties have executed this Amendment as of the day and
year first above written.
CA45568-A/ Arroyo Grande 3, CA
LESSOR:
CITY OF ARROYO GRANDE, a municipal
corporation under the laws of the State of
California
By: ~~~~~~~~~~~~~~-
Tony Ferrara, Mayor
Attest:
~~~~~~~~~~~~~
Kelly Wetmore, City Clerk/ Administrative
Approved as to Form:
Timothy J. Carmel, City Attorney
(city seal)
4
Item 8.n. - Page 7
WITNESSES:
STATE OF FLORIDA
COUNTY OF PALM BEACH
LESSEE:
SBA 2012 TC ASSETS, LLC, a Delaware
limited liability company
By: ______________ _
Alyssa Houlihan
Director of Leasing
The foregoing instrument was acknowledged before me on the __ day of
______ , 201_, by Alyssa Houlihan, Director of Leasing of SBA 2012 TC Assets,
LLC, a Delaware limited liability company, on behalf of the company and who is personally
known to me.
Notary Public
Print Name:
My Commission Expires: ______ _
(NOTARY SEAL)
CA45568-A/Arroyo Grande 3, CA 5
Item 8.n. - Page 8
EXHIBIT 'A'
Legal description to be incorporated upon receipt of final survey.
SITUATED IN THE COUNTY OF SAN LUIS OBISPO AND STATE OF CALIFORNIA:
THAT PORTION OF LOT 106 OF THE RANCHO COP.RA!. DE PIEDRA PISMO AND SOLSA DE
CHAMISAL, SUBDIVIDED BY JAS T. STRATTON, C.E. SEPTEMBER 1873, IN THE CITY OF
ARROYO GRANDE, COUNTY OF SAN LUIS OBISPO, STATE OF CALIFORNIA, ACCORDING TO MAP
RECORDED IN BOOK A, PAGE 65 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF
SAID COUNTY, DESCRIBED AS FOLLOWS;
BEGINNING AT THE MOST SOUTHERLY CARRIER OF TRACT NO. 45 AS SHOl'IN ON MAP ENTITLED
"TRACT NO. 46, A SUBDIVISION OF A PART OF LOTS A, B, C, 22 AND 23 OF THE TOWN OF
GROVER A.~D A PORT OF LOT 106 OF THE SUBDIVISION OF RANCHO COR.R.AL DE PIEDRA,
ETC.", RECORDED IN BOOK 5, PAGE 64 OF MAPS;
THENCE NORTH 3° 22' 30" EAST, A DISTANCE OF 218.64 FEET;
THENCE SOUTH 86° 34' 30" EAST A DISTANCE OF 495.50 FEET TO THE TRUE POINT OF
BEGINNING; THENCE FROM SAID TRUE POINT OF BEGINNING SOUTH 86° 34' 30" EAST, 400
FEET TO A POINT; THENCE NORTH 3° 25' 30" EAST, 200 FEET TO A POINT;
THENCE NORTH 86° 34' 30" WEST, 400 FEET TO A POINT;
THENCE SOUTH 3° 25' 30" WEST, 200 FEET TO THE NUN POINT OF BEGINNING.
TAX ID NO: 077-061-016
ADDRESS: 200 HILLCREST DRIVE, ARROYO GRANDE, CA 93421
CA45568-A/ Arroyo Grande 3, CA 6
Item 8.n. - Page 9
-.
AGREEMENT
This Agreement, is made and entered into this oi;t-0 day of May, 2001, by and between
the CITY OF ARROYO GRANDE, a municipal corporation and political subdivision of the
State of califomia ("CITY") and HOW ARD D. MANKINS AND AD.EEN B. MANKINS,
TRUSTEES OF THE HOW ARD D. MANKINS REVOCABLE FAMILY TRUST u/d/t
DA TED DECEMBER 20, 1993 ("MANKINS"), with reference to the following facts:
A. CITY is the owner of certain real property ("City Property") described in
Exhibit "A", attached hereto and incorporated herein by this reference, on which CITY has
constructed and operates a public water tank and related facilities; and
B. MANKINS is the owner of certain real property ("Mankins Property"), descn'bed
in Exhibit "B", attached hereto and incorporated herein by this reference, on which MANKINS
has constructed and occupies a single family residence; and
C. CITY is the owner of an easement ("City Easement") in the Mankins Property for,
amongst other things, access to the CITY Property. A legal description of the City Easement is
attached hereto as Exhibit "C", and incorporated herein by this reference; and
D. CITY has entered into a lease agreement with a third party entity, and may enter
into other lease agreements with other third party entities (collectively "City Lessees"), for use
of a portion of the City Property as a communications facilities site; and
E. The parties hereto desire to provide for access to the City Property for said City
Lessees on and over the Mankins Property described in the City Easement.
NOW, THEREFORE, for and in consideration of the mutual covenants, agreements and
considerations set forth herein, it is mutually agreed as follows:
1. The City Easement may be used by CITY Lessees for access to the City Property.
2. CITY shall pay to MANKINS twenty percent (20%) of the rent received by CITY
from City Lessees. Said payments shall be made semiannually. Additionally, CITY shall pay to
MANKINS Five Hundred Dollars ($500.00) for each period of construction on the City Property,
of thirty (30) days or less, in which an industrial crane is used by or on behalf of a City Lessee
3. Each party shall indemnify, defend, and hold the other party, and its officers,
employees, and agents harmless from any and all claims, demands, damages, costs, expenses,
liabilities, judgment, and attorneys' fees arising out of this Agreement and resulting from that
party's negligence or willful misconduct; and
ATTACHMENT 1
Item 8.n. - Page 10
4. The provisions of this Agreement shall be deemed to obligate, extend to, and enure
to the benefit of the successors, assigns, transferees, grantees, and indemnities of the parties to
this Agreement.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date
and year first written above. ·
CITY OF ARROYO GRANDE:
ATTEST:
APPROVED AS TO FORM AND LEGAL
EFFECT:
2
HOW ARDD. MANKINS AND AII.EEN
B. MANKINS, TRUSTEF.S OF THE
HOW ARDD. MANKINS REVOCABLE
FAMILY TRUST u/d/t DATED
DECEMBER 20, 1993
~~~
Item 8.n. - Page 11
EXHIBIT A
THAT PORTION OF Lar 106 OF PARTS OF THE RANCHOS CORRAL DE PIEDRA. PISMO AND BOUA
DE CHAMISAL, SUDIVIDED BY JAS. T. STRA1TAN, C.B., SEPTEMBER 1873, INTIIBCITY OF ARR.OYO
GRANDE, COUNTY OF SAN LUIS OBISPO, STATE OF CALIFORNIA, ACCORDING TO MAP FILED FOR
RECORD IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY• DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT IN Lar 106 OF THE SUBDMSION OF RANCHO CORRAL DB PIEDRA, SAID
POINT OF BEGINNING BEING LOCATED AS FOLLOWS:
BEGINNING AT TIIE MOST SOUTHERLY CORNER OF TRACI' NO. 46 AS SHOWN ON MAP ENTITLED
•TRACI' NO. 46, A SUBDMSION OF A PART OF LOTS A, B, C, 22 AND 23 OF THE TOWN OF GROVER
AND A PART OF Lar 106 OF THE SUBDMSION OF RANCHO CORRAL DE PIEDRA ETC.• FILED FOR
RECORD IN THE OFFICE OF THE COUNTY RECORDER OF SAN LUIS OBISPO COUNTY, CALIFORNIA,
IN MAP BOOKS AT PAGE 64, AND RUNNING THENCE NORTII 3°22•30• EAST, A DISTANCE OP 218.84
FEET; THENCE sourn 86°34'30. BAST, A DISTANCE OF 495.SO FEET TO THE TRUE POINT OF
BEGINNING; THENCE RUNNING PROM SAID TRUE POINT OF BEGINNING SOUTH 86°34'30• EAST,
400.00 FEET TO A POINT; THENCE NORTH 3°25•30• BAST, 200.00 FEET TO A POINT; THENCE NORTH
86°34'30• WEST, 400 FEET TO A POINT; THENCE SOUTH 3°25'30• WEST. 200.00 FEET TO THE TRUE
POINT OF BEGINNING, CONTAINING 1.84 ACRES, MORE OR LESS, AND BEING A PORTION OF SAID
Lar 106 OF THE SUBDMSION OF RANCHO CORRAL DE PIEDRA ETC.
Item 8.n. - Page 12
. . . ~
•'
E:XH I BIT B
That portion of Lot 106 of the Ranchos Corral de Piedra-Pismo-and
Bolsa de Ch~misel subdivided by Jas, T. Stratton, Sept, 1973, ac-
cording to the Map thereor recorded in Book A page 6; 0£ Maps; nnd
a portion ot Block 2.3 of' the Town of Grover, accordine to the Map
thereof recorded in Book A page 6 of Maps, in the County or San Lui~
Obispo, state or California, ·described as a whole as fellows:
Beginning at the most sou~herly corner of Tract No, 46 as per Map
recorded in Book 5 page 64 of Maps in the office of the County ne-
corder of said County• thence North 3°22' .30" East 218.84 feet to
the true point.of beginning, which is also·the northwest co~ne~ or
the land described in the deed to Ernest A. Just and R. E. Te~ue
recorded in Book 64 page 98 of Official necords; thence South 06°
34' 30" East, along the northerly line of the land described in
said deed, 495,50 feet; thence North J 0 25'30" East, 80.65 feet;
thence North 57°48' West, 229.ll feet, to a point in the southeast-
erly line 0£ Hillcrest Drive; thence North 60°29' West, along said
southeasterly line of Hillcrest Drive, 351. 14 feet, to the true
point of beginning.
Item 8.n. - Page 13
EXHIBITC
EASEMENTS OVER THE FOLLOWING DESCRIBED REAL PROPERTY FOR THE CONSTRUCTION,
OPERATION AND MAINTENANCE OF ROADWAYS AND PIPE LINES AND FOR ANY AND ALL OTHER
PURPOSES NECESSARY AND INCIDENTAL TO THE MAINTENANCE, AND OPERATION OF A
RESERVOIR ON THE PROPERTY DESCRIBED IN EXHIBIT A. SAID RIGHTS OF WAY TO COVER AND
EFFECT THE FOLLOWING REAL PROPERTY SITUATED IN SAN LUIS OBISPO, ST ATE OF CALIFORNIA
, AND MORE PARTICULARLY DESCRIED AS FOLLOWS, TO WIT:
A) BEGINNING AT A POINT ON THE EASTERLY LINE OF TRACT NO. 46, SAID POINT BEING
LOCATED NOR1H 3°2r30• EAST, ADISTANCEOF 218.84FEET FROM.THE MOST SOUTHERLY
CORNER OF TRACT NO. 46 AS SHOWN ON MAP ENTITLBD •TRACT NO. 46, A SUBDMSION
OF A PART OF LOTS A, B, C, 22 AND 23 OF THE TOWN OF GROVER AND A PART OF LOT 106
OF THE SUBDMSION OF RANCHO CORRAL DE PIEDRA ETC.• FILED FOR RECORD IN THE
OFFICE OF THE COUNTY RECORDER OF SAN LUIS OBISPO COUNTY, STATE OF CALIFORNIA,
IN MAP BOOKS AT PAGE 64, AND RUNNING TIIENCE SOUTH 86°34130• EAST, 495.50 FEET TO
THE SOUTHWEST CORNER OF ABOVE DESCRIBED PROPERTY; THENCE NOR1H 3°25'30•
EAST, 20 FEET TO A POINT; THENCE NORTH 86°34'30• WEST, 464.64 FEET TO A POINT ON
THE EASTERLY LINE OP SAID TRACT NO. 46; THENCE SOUTH 60°29' WEST, 36.78 FEET TO
THE POINT OF BEGINNING.
B) BEGINNING AT A POINT IN LOT 106 OF THE SUBDMSION OF RANCHO CORRAL DE PIEDRA,
SAID POINT BEGINNING BEING LOCATED AS FOLLOWS:
BEGINNING AT THE MOST SOUTHERLY CORNER OF TRACT NO. 46 AS SHOWN ON MAP
ENTITLED •TRACT NO. 46, A SUBDIVISION OF A PART OF LOTS A, B, C, 22 AND 23 OF THE
TOWN OF GROVER AND A PART OF LOT 106 OF THE SUBDMSION OF RANCHO CORRAL DE
PIEDRA ETC.•, FILED FOR RECORD INTHE OFFICE OF THE COUNTY RECORDER OF SAN LUIS
OBISPO COUNTY, STATE OF CALIFORNIA, IN MAP BOOK 5 AT PAGE 64, AND RUNNING
THENCENOR1H3°22'30.EASTADISTANCEOF218.84FEET;THENCESOUTH86°34'30•EAST,
ADISTANCEOF89S.SOFEETTOTHETRUEPOINTOFBEGINNING;THENCEFROMSAIDTRUE
POINT OF BEGINNING SOUTH 86°34'30• EAST, 100.00 FEET TO A POINT; THENCE NORTH
3°25•30• EAST, 20.00 FEET TO A POINT; THENCE NOR1H 86°34'30• WEST, 100.00 FEET TO A -
POINT; THENCE SOUTH 3 °25•30• WEST, 20.00 FEET TO THE TRUE POINT OF BEGINNING AND
BEING A PART OF LOT 106 OF SAID SUBDMSION OF RANCHO CORRAL DE PIEDRA ETC.
Item 8.n. - Page 14
."·--. ;
FIRST AMENDMENT TO COMMUNICATIONS
SITE LEASE AGREEMENT (GROUND)
This First Amendment to Communications Site Lease Agreement is made and entered into
this // ~ day of July, 2003, by and between NEXTEL OF CALIFORNIA, INC., a
Delaware corporation, d/b/a Nextel Communications (''Lessee'') and the CITY OF ARROYO
GRANDE, a municipal corporation Conned under the laws of the State of California ("Lessor"):
WHEREAS, the parties entered into a Communications Site Lease Agreement (Ground)
, dated as of May 23, 2000 (the "Lease"); and
WHEREAS, Section 1 of the Lease describes a premises that Lessee leases from
Landlord, including proposed improvements to be constructed by Lessee; and
WHEREAS, subsequent to execution of the Lease, Lessee obtained a Conditional Use
Permit (the "CUP'') from the City of Arroyo Grande which is required by law; and
WHEREAS, the site configuration and proposed improvements applied for by Lessee and
authorized by the CUP are materially different from the site configuration and proposed
improvements descnl>ed in the Lease; and
WHEREAS, the CUP includes provisions for the relocation of all operating antennas,
including those used by City's police and fire departments, from the existing lattice tower and
water tank itself to the new antenna tower (''the" monopole), as well as the removal of the lattice
tower; and
WHEREAS, the parties hereby intend to amend the Lease to accurately reflect the Lease
premises and improvements and the facts and circumstances related thereto.
ATTACHMENT 2
Item 8.n. - Page 15
-
NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of
which is hereby acknowledged, the parties agree as follows:
I
Section 1 of the Lease is hereby amended in its entirety as follows:
1. PREMISES.
Lessor is the owner of a parcel of real property (the "Property"), located in the City of
Arroyo Grande, County of San Luis Obispo, State of California, commonly known as
Reservoir #2. The Property is more particularly described in Exhibit "A", attached hereto.
Lessor hereby leases to Lessee, and Lessee leases from Lessor, approximately one hundred· forty
(140)-square_ feet of the Property~ and all ac~·~s and utility ~ents, if any, (the '1>remises'') _
-• • y ... p. ""'' ~·,,. -•• ~ ---,_ .... -• -• ' -,~ -•
described in Exhibit "B", attached hereto.
n
,;., ... -__ .(
• -7"'00•<', ---~~~:----:.:·~~--~;-.;:~:·.:·.::-.• ,'.''' ...
Section ~a) of the Lease is hereby amended in its entirety as follows:
6. FACILITIES; UTILITIES; ACCESS.
(a) Lessee has the right to erect, maintain and operate on the Premises radio
communications facilities, including an antenna tower or pole and foundation, utility lines,
transmission lines, air conditioned equipment shelter(s), electronic equipment, radio transmitting
and receiving antennas, supporting equipment and structures thereto ("Lessee Facilities"). In
connection therewith, Lessee has the right to do all work necessary to prepare, maintain and alter
the Premises for Lessee's business operations and to i nsta1l transmission I ines connecting the
antennas to the transmitters and receivers. All of Lessee's construction and installation work
shall be performed at Lessee's sole cost and expense and in a good workmanlike manner. Title to
the Lessee Facilities shall be held by Lessee. Notwithstanding anything herein to the contrary,
Page 2 of5
Item 8.n. - Page 16
upon expiration or earlier termination of this Agreement, Lessee, at Lessee's option, shall either
· (i) transfer title to the monopole to Lessor, or (ii) restore the Premises to the condition in which
they existed prior to installation of the Lessee Facilities including, but not limited to,
reconstruction of a lattice antenna tower and reinstallation of all of Lessor's fire, police, and
other public safety antennas on said lattice tower.
III
Section 7(a) of the Lease is hereby amended in its entirety as follows:
7. INTERFERENCE.
(a) All· operations by Lessee shall be in compliance with all Federal Communications
Commission {'FCC'') requirements and all applicable laws. Notwithstanding tb.e foregoing,
Lessee shall not cause in~erference to Lessor's Repeater for its fire. police and other public safety .·
departments.
v
Section 11 of the Lease is hereby amended in its entirety as follows:
11. . DESTRUCTION OR CONDEMNATION.
If the Lessee Facilities are damaged or destroyed, Lessee agrees to restore the Premises to
the condition in which they existed prior to installation of the Lessee Facilities including, but not
limited to. reconstruction of a lattice antenna tower and reinstallation of all of Lessor's fire,
police, and other public safety antennas on said lattice tower. If the Premises are condemned or
transferred in lieu of condemnation, Lessee may elect to terminate this Agreement as of the
· effective . date of such condemnation or transfer in lieu of condemnation, by giving· notice to
Lessor no more than forty-five (45) days following the date of such condemnation or transfer in
lieu of condemnation.
Page 3 ofS
Item 8.n. - Page 17
-· -.
VI
Section 15 of the Lease is hereby amended in its entirety 8s follows:
15. REP AIRS.
Lessee shall not be required to make any repairs to the Premises or Property unless such
repairs are 'necessitated by reason of lessee's action or inaction, including, but not limited to,
~ee's tests and/or Lessee's construction, operation and maintenailee oftlie Lessee Facilities.
VII
Section 18(f) of the Lease is hereby amended in its entirety as follo\Vs: . . .
18. MlsCELLANEOUS.
. .
(f) The parties acknowledge that a Memorandum of Agreement substantially in the
. . form attached hereto as Bxln~it_ "C" will be recorded in the Official Records of San Luis Obispo
••, • : • '•' -~·· r-·~r ,-"
County.
VIII
The recitalS set forth above are true, correct and incorporated herein.
IX
Except as modified herein, all terms and conditions of the Lease shall remain in full force
and effect.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first
above written.
Page4ofS
L
Item 8.n. - Page 18
LESSOR:
CITY OF ARROYO GRANDE,
. a municipal corporation under the
laws of the State ofC "fomia
KELLYWOliitector of
AdminiStrative Services/Deputy City Clerk
LESSEE:
NEXTEL OF CALIFORNIA, INC.
a Delaware corporation, d/b/a Nextel
Communications
APPROVED AS TO CONTENT:
APPROVED AS TO FORM:
TIMTHYJ:ccitYAifoiifey ·
Pages ors
Item 8.n. - Page 19
.-. -.
MKT: LOS ANGELES
SITE#: CA6894A (Grover Beach)
EXlilBIT A
DESCRIPTION OF PROPERTY
to the Agreeriient dated mA t ?.,,3 , 2000, by;and ~een CITY OF
ARROYO GRANDE, a Municipal Corporation fonned under the laws of the State of California,
as Les.mr, and NEXTEL OF CALIFORNIA., INC., a Delaware corporation, d/b/a Nextel
Communications, as Lessee.
The Property is described or depicted~ follows: . . .. ' .~. .
....-.. •• • "°"'' 1a s.• 1111 ar .. ~er llml• -.. r.-.. ~7 ::;t:. i .............. :i.e.-...~ . . . ~~ ~~·
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· . .o.·..a, •..a,....__,._._,.._&, I, C. llulUd G•-er-u1a",: • .i~! ;
:~S.•JD1&1• n-.. -Ot.-& .. rlllla•-•UW..,_le ... ,': t . ;.#,t'!f .... --. ....... _ ..... ....,._.,,~...,.,. ..... ,u.-;;J
.· ' '~~~ .._. • ~ D' .. lo a..._ d 111"'4 he•J -I .... K•, 1ID" !if. :~· .?·~-.-... ................... __..._ ....... "'!l_~-.; :: . . ~-.c~·· J&• ................ •l"IMa __ .,. ............. •.!•.
; ....... ,..., -• .,,. "' ...................... ·-. ~ ......... ·" ·1·
..... , .• --..... d .......... -lallllllll SM-. -• leu1 ul ..._ .... Ii;!
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. ..___.... ............ · ........ ,,,,~ .. -· ........ ·~· f! . . " +.-4: .................... lllle ............. d llW .... ---.... .
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-!1'.f'.11• ........... ,.· ... .-a.\ ... __ , ..._.,, -., z:..s .. ~
.... -... Mdltlet l!Zraet loo .&I. ..... ~., ..... ., .......... C.11 ... ., "
...... d ......... _. " .... ., ... -'11111•,,, ·-~ ......... .
~,_-we ... .,,...., ---...... d ............. --. Clalllftll ...
.. _ .................. -.. -·"" JAi ..... &tt.ID .... _____ ,
-d -._~ -St' IS' .... ID hot '9 a .,.Aata -I
,,,. .. .166.M :r..• •• ,.., -.... ~JS• d ..w ........ .., -• "" ...
•• J6.flMl '9 -..sn•r.........,
a. ~ d a ,.Lat la S.I Mii el aM •Wwl•'• d ,,_. Ct-1 ~ fl.on. ma"°"''.,....-.. w.e a.aw .. C.U-1
... 111111111 ... --·-~ -., ....... 4' .. ·-...........
··~a ---araprt.rle•&. lo C. D-Del --er-Ilda
.... ., s.• '°'., -_.._., ...... Dol-1 ~ ,._ ..... , aa-•·--..
.,,.. ar •......, ....... .,._ .... ....._ '-*'• .............. -.. '.i,.;
............... s I' a• .,,,. .. • as.-.e ar AIM IMtf .._,I II' W ,,_ It a ..... ., .................... .,..........,_ ................ .. .... . .,. "' ,.. .. -,_, ........ -. ,. ......... -... .... -•-M' JO*••-..,_. ma,.S.q -•ti 1111 ,. ..... ,... .. ... _ ..... ., ................... ,.,.,a.11111.r..,...,.ws .... fd.-.. .... ..._ ....
APN: 077-061-016
10
Item 8.n. - Page 20
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