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5G Consent
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3/21/2024 5:56:02 PM
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CM City Clerk-City Council
CM City Clerk-City Council - Document Type
Staff Report
Document Date (6)
10/16/2023
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<br />24 <br />(d) Bankruptcy. Lessee is not the subject of a pending or threatened <br />bankruptcy proceeding. <br /> <br />ARTICLE 12. <br />EMINENT DOMAIN <br />Section 12.1 Termination of Ground Lease. Lessor and Lessee agree that, in the event <br />of a Taking such that Lessee reasonably determines that the Leased Premises cannot continue to <br />be operated, at reasonable cost, for its then-current use, then this Ground Lease shall, at Lessee's <br />sole option, terminate as of the date of the Taking. <br />Section 12.2 Continuation of Ground Lease and Presumption of Restoration. <br />Lessor and Lessee agree that, in the event of a Taking that does not result in the termination of <br />this Ground Lease pursuant to Section 12.1 above, this Ground Lease shall continue in effect as <br />to the remainder of the Leased Premises, and the Net Condemnation Award will be disbursed in <br />accordance with Section 12.4 below to Lessor and Lessee, if the terms of the applicable <br />Leasehold Mortgage so require, and shall be used so as to make the same a complete, unified and <br />efficient operating unit as nearly as reasonably possible to the condition existing prior to the <br />Taking. <br />Section 12.3 Temporary Taking. If there shall be a temporary Taking with respect to <br />all or any part of the Leased Premises or of Lessee's interest in this Ground Lease, then the Term <br />shall not be reduced and Lessee shall continue to pay in full all Rents, impositions and other <br />charges required herein, without reduction or abatement thereof at the times herein specified; <br />provided, however, that Lessee shall not be required to perform such obligations that Lessee is <br />prevented from performing by reason of such temporary Taking. <br />Section 12.4 Apportionment of Award. If there is a Taking, whether whole or partial, <br />Lessor and Lessee shall be entitled to receive and retain such separate awards and portions of <br />lump sum awards as may be allocated to their respective interests in any condemnation <br />proceedings, or as may be otherwise agreed, taking into consideration Lessor's fee interest in the <br />Leased Premises (as encumbered by this Ground Lease) and the Improvements. If the Leased <br />Premises are restored as in contemplated in Section 12.2 above, Lessee shall be entitled to <br />recover the costs and expenses reasonably incurred in such restoration out of any Net <br />Condemnation Award payable to Lessee. Thereafter, if the condemning authority does not make <br />separate awards, the Parties agree that any Net Condemnation Award will be allocated as follows <br />on a proportionate basis reflecting the Parties' respective interests in the Leased Premises and <br />Improvements and the remaining duration of the Term as follows: <br />Section 12.5 Award on Total or Substantial Taking. In the event of a total or <br />substantial taking, the award shall be apportioned as follows, in the following order: <br />(a) To Lessor that portion of the award equal to the fair market value of the <br />Leased Premises and Improvements. Any "bonus value" attributable to this Ground Lease shall <br />be paid to Lessor. DRAFT
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