HomeMy WebLinkAboutContracts & Agreements_59A-2026MULTI -TENANT OFFICE LEASE — GROSS
This Multi -Tenant Office Lease -Gross ("Lease") is made and entered into this 1st day of
May 2026 by and between the City of Redlands, a municipal corporation, and a general law city
("City"), and Redlands City Employees Federal Credit Union ("RCEFCU"), a Federal Credit
Union ("Lessee"). City and Lessee are sometimes herein referred to individually as a "Party" and
collectively as the "Parties."
RECITALS
WHEREAS, RCEFCU currently occupies office space with the City Hall Facility located
at 35 Cajon Street, Suite 14, Redlands, CA 92373 (Cajon Street City Hall).
WHEREAS, on September 21, 2021, City and Redlands Community Investment
Corporation entered into an Assignment and Assumption Agreement, wherein, Redlands
Community Investment Corporation assigned and transferred to City all right title and interest in,
to and under the leases for 300 East State Street; and
WHEREAS, it is the intent of the City to relocate all personnel from the Cajon Street City
Hall to the facility located at 300 East State Street (to be known as State Street City Hall Facility,
"SSCH") no later than May 2027; and
WHEREAS, it is the desire of the City and Lessee to enter into this Lease to allow the
Lessee to use and occupy the Premises as hereinafter specified;
NOW, THEREFORE, for good and valuable consideration the receipt and sufficiency of
which are hereby acknowledged, the Parties agree as follows:
AGREEMENT
Section 1. Premises. That certain portion of SSCH commonly known as 300 E. State Street,
Suite M-120 ('Premises'). The Premises are located in the County of San Bernardino, City of
Redlands, and consist of approximately four hundred thirteen (413) square feet of office space. In
addition to Lessee's rights to use and occupy the Premises as hereinafter specified, Lessee shall
have non -exclude rights to the Common Areas (as defined in Section _ below) as hereinafter
specified, but shall not have any rights to the roof, the exterior walls, the area above the dropped
ceilings, or the utility raceways of the building containing the Premises ("Building") or to any
other building in the SSCH Facility.
Section 2. Term. Term commences on May 1, 2026 ("Commencement Date") and ends on
June 30, 2036 ("Original Term")." Provided Lessee is not in default under the Lease, Lessee shall
have the right to renew the Lease for the Premises upon the same terms and conditions of the
Original Term for an additional period of nine (9). In order to exercise Lessee's Option herein,
Lessee shall provide a minimum of three (3) months written notice prior to the then expiring lease
term.
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Section 3. Rent. The monthly Base Rent shall be One Dollar ($1.00) per month. As Lessor
is required to perform improvements to the Premises, the Rent will commence on the first day of
the first full month after Lessee occupies the Premises (anticipated to be between December 2026
and May 2027).
Section 4. No Broker Involvement. City and Lessee each represent and warrant to the other
that it has not employed any broker in connection with this Amendment.
Section 5. Use of Premises.
5.1 The Premises shall be used for the exclusive purpose of providing office space
for administrative work and for the conduct of the normal daily business of RCEFCU, including
customary credit union operations and member services. RCEFCU shall not use or permit the
Premises to be used for any other purpose without the prior written consent of City.
5.2 During the term of this Agreement, RCEFCU shall, unless prevented by
conditions beyond its control, conduct business on the Premises in a safe and business -like
manner. RCEFCU shall assume full responsibility for its personal property used at the Premises,
and shall hold City harmless for any theft or damage relating to RCEFCU's personal property.
5.3 RCEFCU shall maintain the Premises in a clean and litter -free manner.
5.4 RCEFCU shall not commit, or permit the commission of, any acts on the
Premises, or useor permit the use of the Premises, in any manner that will increase the existing
rates for, or cause the cancellation of, any fire, liability, or other insurance policy insuring the
Premises or the improvements on the Premises. RCEFCU shall, at its own cost and expense,
maintain insurance for all personal property and improvements on the Premises.
5.5 RCEFCU shall not commit, or permit the commission by others, of any waste on
the Premises. RCEFCU shall not maintain, commit, or permit the maintenance or commission of
any nuisance on the Premises, and RCEFCU shall not use or permit the use of the Premises for
any unlawful purpose.
Section 6. Compliance with Laws. RCEFCU shall, at RCEFCU's sole cost and expense,
comply with all statutes, ordinances, regulations, and requirements of all govermnental entities,
federal, state and county or municipal, relating to RCEFCU's use and occupancy of the Premises
for RCEFCU's operation of business whether those statutes, ordinances, regulations, and
requirements are now in force or are subsequently enacted. The judgment of any court of competent
jurisdiction, or the admission by RCEFCU in a proceeding brought against RCEFCU by any
government entity that RCEFCU has violated any such statute, ordinance, regulation, or
requirement shall be conclusive as between City and RCEFCU and shall constitute grounds for
termination of this Agreement byCity.
Section 7. Indemnity and Insurance.
7.1 RCEFCU shall defend, indemnify and hold harmless City, and its elected
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officials, officers, employees and agents from and against any and all claims, causes of action,
damages and liability resulting from RCEFCU's negligent acts or omissions, and the willful
misconduct of RCEFCU, and that of RCEFCU's agents, employees and invitees, during
RCEFCU's occupation and use of the Premises during the term of this Agreement. This section
shall survive any termination or expiration of this Agreement.
A. Comprehensive general liability insurance, with carriers acceptable to
City, with minimum coverage of One Million Dollars ($1,000,000) per occurrence, and Two
Million Dollars ($2,000,000) aggregate for public liability, property damage and personal injury.
City shall be named as an additional insured and such insurance shall be primary and non-
contributing to any insurance or self-insurance maintained by City. A certificate of insurance with
endorsements evidencing such coverage shall be provided to City prior to RCEFCU's occupancy
of the Premises.
B. Workers' Compensation and Employer's Liability insurance in the
amount that meets statutory requirements with an insurance carrier acceptable to City, or
certification to City that RCEFCU is self -insured or exempt from the worker's compensation
laws of the State of California. RCEFCU shall provide City with Exhibit "A," titled "Workers'
Compensation Insurance Certification," which is attached hereto and incorporated herein by this
reference prior to occupancy of the Premises.
C. RCEFCU shall defend, indemnify and hold harmless City, and its elected
officials, officers, employees, agents, and volunteers, from any and all damages, costs, suits,
claims, losses and liability for injury to persons including death, and damage to property, arising
out of, or in connection with, any act or omission of RCEFCU or its officers, employees, agents
or volunteers, in connection with operation of its business at the Premises.
Section 8. Utilities and Taxes
8.1 City shall pay, and hold RCEFCU free and harmless from, all charges for the
furnishing of gas, water, sewer, electricity, solid waste disposal and other public utilities provided
to the Premises during the term of this Agreement. RCEFCU shall pay, and hold City free and
harmless from, all charges for telephone usage by RCEFCU at the Premises.
8.2 Possessory Interest Assessment. Lease of said property is subject to annual
possessory interest assessment from the San Bernardino County Assessor's Office. Lessee shall
pay all such fees directly to the San Bernardino County. Upon satisfactory receipt of payment
confirmation, City shall reimburse Lessee for possessory interest assessment.
Section 9. Attorneys' Fees. In the event any action is commenced to enforce or interpret
the terms or conditions of this Agreement, the prevailing Party shall, in addition to any costs and
other relief, be entitled to the recovery of its reasonable attorneys' fees, including fees for use of in-
house counsel by a Party.
Section 10. Notices. Any notice or other communication required, or which maybe given,
pursuant to this Agreement, shall be in writing. Any such notice shall be deemed delivered (i) on
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the date of delivery in person; (ii) five (5) days after deposit in first class registered mail, with
return receipt requested; (iii) on the actual delivery date if deposited with an overnight courier; or
(iv) on the date sent by facsimile, if confirmed with a copy sent contemporaneously by first class,
certified, registered or express mail; in each case properly posted and fully prepaid to the
appropriate address set forth below, or such other address as a party may provide notice in
accordance with this section:
CITY:
City Cleric
City of Redlands
35 Cajon Street
P.O. Box 3005 (mailing)
Redlands, CA 92373
jdonadlson@cityofredlands.org
(909)798-7531
RCEFCU
Heather Jedinak, Manager
Redlands City Employee Federal Credit Union
35 Cajon Street, Suite 14
Redlands, CA 92373
heather@redlandsfcu.org
(909)798-7626
Section 11. Authority. Lessee represents and warrants to City that each individual
executing this Amendment on behalf of Lessee is authorized to do so. Lessee also represents and
warrants to City that neither Lessee nor the entities or individuals constituting, owning or
controlling Lessee or which may be owned or controlled by Lessee are among the individuals or
entities identified on any list compiled pursuant to Executive Order 13224 for the purpose of
identifying suspected terrorists.
Section 12. Miscellaneous
12.1 RCEFCU shall not encumber, assign, or otherwise transfer this Agreement, any
right or interest in this Agreement, or any right or interest in the Premises or any improvements
that may now or hereafter be constructed or installed on the Premises. Any encumbrance,
assignment, transfer or subletting by RCEFCU without the prior written consent of City, whether
voluntary or involuntary, by operation of law or otherwise, is void and shall, at the option of the
City, result in immediate termination of this Agreement.
12.2 This Agreement constitutes the entire agreement between City and RCEFCU
respecting RCEFCU's use of the Premises, and correctly sets forth the obligations of City and
RCEFCU to each other as of its Effective Date. Any agreements or representations between the
Parties respecting the Premises not expressly set forth in this Agreement are null and void.
12.3 This Agreement may be terminated by either Party by giving twelve (12) months
prior written notice to the other Party.
Signatures on following page
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CITY OF EDLANDS
Danielle Garcia,
Interim Assistant City Manager
ATTEST:
e nne Donaldson, City Clerk
RCEFCU
Heather Jedinak, Manager
Redlands City Employees Federal Credit Union
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EXHIBIT "A"
WORKERS' COMPENSATION INSURANCE
CERTIFICATION
Every employer, except the State, shall secure the payment of compensation in one or more of
the following ways:
(a) By being insured against liability to pay compensation by one or more insurers
duly authorized to write compensation insurance in this State.
(b) By securing from the Director of Industrial Relations, a certificate of consent to
self -insure, either as an individual employer, or as one employer in a group of
employers, which may be given upon furnishing proof satisfactory to the
Director of Industrial Relations of ability to self -insure and to pay any
compensation that may become due to his or her employees.
CHECK ONE
-I am aware of the provisions of Section 3700 of the Labor Code which requires every
employer to be insured against liability for Workers' Compensation or to undertake self-
insurance in accordance with the provisions of that Code, and I will comply with such provisions
before commencing the performance of the work and activities required or permitted under this
Agreement. (Labor Code §1861).
I affirm that at all times, in performing the work and activities required or permitted under
this Agreement, I shall not employ any person in any manner such that I become subject to the
workers' compensation laws of California. However, at any time, if I employ any person such
that I become subject to the workers' compensation laws of California, immediately I shall
provide the City with a certificate of consent to self -insure, or a certification of workers'
compensation insurance.
I certify under penalty of perjury under the laws of the State of California that the information
and representations made in this certificate are true and correct.
RCEFCU Date: a 0•J��
By:
Heather Jedinak, anager
Redlands City Employees Federal Credit Union
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