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CM-13-02-031ROUND ROCK, TEXAS PURPOSE. PASSION. PROSPERITY Item Caption: Ci44- 13- D2. -D3 RECEIVED JAN 30 2013 City Manager Approval Form Consider executing the Second Amendment to the Commercial Lease Agreement with Laboratory Corporation of America, dba LABCORP Approval Date: 2/1/2013 Department Name: Administration Department Project Manager: Assigned Attorney: Charlie Crossfield Item Summary: LABCORP is a tenant in The Commons Shopping Center which the City recently purchased. They have been a tenant there since 2006 and their lease expired on August 31, 2012. This agreement extends the lease with LABCORP from September 1, 2012 until August 31, 2013 at a rate of $1,945.45 per month. No. of Originals Submitted: 3 Project Name: Cost: 0 - income of $1,945.45 per month to the City Source of Funds: Select Source Fund Source of Funds (if applicable): Select Source Fund Account Number: Finance Director Approval: Cheryl Delaney Date: 1/30/13 Department Director Approval: S. White Date: 1/24/2013 **Electronic signature by the Director is acceptable. Please only submit ONE approval form per item. ** CIP I I I 1 Budget N/A OK El N/A OK Purchasing o❑ N/A OK Accounting N/A 0 OK ITEMS WILL NOT BE PLACED ON THE COUNCIL OR CM AGENDA W/OUT PRIOR FINANCE AND/OR LEGAL APPROVAL REV. 6/20/11 os t SECOND AMENDMENT TO COMMERCIAL LEASE AGREEMENT THIS SECOND AMENDMENI TO COMMERCIAL LEASE AGREEMENT (this "Second Amendment") is dated this It day o-f��' , 2013, by and between CITY OF ROUND ROCK, TEXAS {"Landlord") and LABORATORY CORPORATION OF AMERICA, D/B/A LABCORP ("Tenant"). WHEREAS, BACK IN TEXAS, LP ("Original Landlord") and Tenant entered into that certain Commercial Lease Agreement (the "Lease") as of August 27, 2006, for Suite 300 (the "Premises") in The Commons Shopping Center owned by Landlord and located 901 Round Rock Avenue., Round Rock, Texas 78681 (the "Building"); and WHEREAS, that certain First Amendment to the Commercial Lease Agreement was entered into as of August 27, 2007, by and among Original Landlord and Tenant, whereby, among other things, the parties amended the Commercial Lease Agreement to extend the term for an additional five (5) year term (the "Extended Term"), commencing September 1, 2007 and expiring August 31, 2012; and WHEREAS, Landlord has succeeded to the interest of Original Landlord under the Lease; and WHEREAS, the Lease expired August 31, 2012 and Tenant remained in continuous possession of the Premises under terms and conditions which were mutually agreed to between Tenant and Landlord. Consequently, Landlord and Tenant wish to amend the Lease with regard to the foregoing, and as otherwise set forth herein. NOW, THEREFORE, for and in consideration of Ten and No/100 Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which is hereby confessed and acknowledged, Landlord and Tenant hereby agree as follows: 1. Term. The Lease is hereby extended for an additional one (1) year term (the "Second Extended Term") commencing September 1, 2012, and expiring August 31, 2013. 2. Base Monthly Rent. Section 4.A. of the Lease is hereby amended to reflect that the Base Monthly Rent for the Premises for the Second Extended Term shall be as follows: September 1, 2012 through August 31, 2013 $ 1,925.45 per month 3. Effect of Amendment. Any and all terms and provisions of the Lease are hereby amended and modified wherever necessary, and even though not specifically addressed herein, so as to conform to the amendments set forth in the preceding paragraphs. The Lease shall otherwise remain unaffected and in full force and effect as originally written. 4. Capitalized Terms. All capitalized terms used in this Amendment shall have the meaning ascribed to them in the Lease unless otherwise defined herein. INTENTIONALLY BLANK FOR REMAINDER OF THIS PAGE Page 1 of 2 x.C41302-03I 5. Counterparts. This Amendment may be executed in several counterparts and all counterparts so executed shall together be deemed to constitute one final agreement as if signed by all parties hereto and all counterparts shall be deemed to be an original. 6. Roadway Improvements. Tenant acknowledges that Landlord has advised it of pending roadway improvements for RR 620 which may also affect Brushy Creek, Sam Bass Road and/or Chisholm Trail. Such improvements may impact the Shopping Center and the Premises, access to and from each, and available parking. Tenant agrees that it has not relied on statement or representation of Landlord or Landlord's agent with respect to the scope, timing, or any other aspect of such improvements. Tenant expressly agrees that it shall do its own due diligence with respect to these issues and waives any and all claims against Landlord and its agents that might arise as a result of such improvements or their impact on the Shopping Center or Premises. By: EXECUTED effective as of the date first set forth hereinabove. TENANT: LANDLORD: Laboratory Corporation of America, CITY OF ROUND ROCK, TEXAS d/b/a >fabCorp Name: Scott R. Evans, Vice President Page 2 of 2 City Manager