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AN ORDINANCE AUTHORIZING A FIRST RENEWAL LEASE AGREEMENT BETWEEN UNIVERSITY HOSPITAL (UH), A BODY CORPORATE AND POLITIC OF THE STATE OF NEW JERSEY (LANDLORD), AND THE CITY OF NEWARK, DEPARTMENT OF HEALTH AND COMMUNITY WELLNESS (TENANT) AUTHORIZING THE EXERCISING OF THE FIRST ONE YEAR RENEWAL OPTION PERIOD FOR THE LEASING OF THE PREMISES COMMONLY KNOWN AS 140 BERGEN STREET (CENTRAL WARD) BLOCK 211, LOT 1 FOR THE PERIOD OF MARCH 1, 2015 THROUGH FEBRUARY 28, 2016.
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WHEREAS, on September 5, 2013 the Municipal Council adopted Ordinance 6PSF-C authorizing original lease agreement (“Agreement”) between University Hospital (UH) (Landlord) and the City of Newark, Department of Child and Family Well-Being n/k/a Health and Community Wellness (Tenant), which was amended by the Municipal Council on January 22, 2014 through Ordinance 6PSF-H (“First Amended Agreement,” and collectively with Agreement, the “Lease Agreement”); and
WHEREAS, the Lease Agreement set forth the commencing date of the lease to be September 1, 2013 or date of occupancy by tenants whichever is later and permitted two one-year extension options; and
WHEREAS, the tenant began occupying the Leased Premises on March 1, 2014 for a term of March 1, 2014 through February 28, 2015; and
WHEREAS, The Landlord and the Tenant desire to exercise the first available option to extend the Lease Agreement for the period of March 1, 2015 through February 28, 2016 (“First Renewal Lease Agreement”), at the same base rent of $80,316.00 (approximately $23.00 per rentable square foot) set forth in first year of the Lease Agreement.
NOW, THEREFORE, BE IT ORDAINED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT;
Section 1. The City is authorized to exercise its first one year renewal options to continue leasing the premises commonly known as 140 Bergen Street, Block 211, Lot 1 for use as an Ambulatory Care Facility, pursuant to N.J.S.A. 40:60-25.51, for the period of March 1, 2015 through February 28, 2016.
Section 2. The Mayor and/or his designee, the Director of Health and Community Wellness is hereby authorized to enter into and execute a First Renewal Lease Agreement with the City of Newark, Health and Community Wellness to continue leasing the premises commonly known as 140 Bergen Street, Block 211, Lot 1 for use as an Ambulatory Care Facility, pursuant to N.J.S.A. 40:60-25.51, for the period of March 1, 2015 through February 28, 2016, at the same base rent of $80,316.00 (approximately $23.00 per rentable square foot) set forth in first year of the Lease Agreement.
Section 3. The base rent for the second option to renew period, if the tenant chooses to exercise said option, shall be at the same amount of $80,316.00 (approximately $23.00 per rentable square foot) as set forth in first year of the Lease Agreement. Additionally, all charges for additional rent, utilities, communications, furniture and equipment, additional charges, housekeeping and waste disposal shall also remain the same as the terms set forth in the Lease Agreement.
Section 4. Except as otherwise expressly modified hereby, all terms and provisions of the Lease Agreement remain in full force and effect in accordance with their terms.
Section 5. This First Renewal Lease Agreement is ratified from March 1, 2015 until the final passage and publication of this authorizing Ordinance.
Section 6. There shall be no advance payment on this First Renewal Lease Agreement in accordance with N.J.A.C. 40A: 5-16.
Section 7. A copy of the First Renewal Lease Agreement is attached hereto and made part hereof.
Section 8. A copy of this First Renewal Lease Agreement and this Ordinance shall be permanently filed in the Office of the City Clerk by the Director of Health and Community Wellness.
Section 9. Attached hereto is a Certification of Funds by the Acting Director of Finance in the amount of $145,442.52 which states (1) that there are legally appropriated funds for the purpose set forth hereinabove and (2) that the line appropriation of the official budget which shall be charged is: Business Unit: 026; Department: GLP; Account: 46540; Budget Reference B2015.
Section 10. The First Renewal Lease Agreement satisfies and is in compliance with Newark Municipal Ordinance 2:4-16.
STATEMENT:
This Ordinance authorizes the Mayor and/or his designee, the Director of Health and Community Wellness to enter into and execute a First Renewal Lease Agreement, on behalf of the City of Newark, Tenant, with University Hospital (UH), Landlord, exercising the City’s first available one year renewal option period for the leasing of the premises commonly known as 140 Bergen Street, Block 211, Lot 1 for use as an Ambulatory Care Facility, pursuant to N.J.S.A. 40:60-25.51, for the period of March 1, 2015 through February 28, 2016, at the same base rent of $80,316.00 (approximately $23.00 per rentable square foot) set forth in first year of the Lease Agreement.