After negotiations, the prospective Tenant executed a Letter of Intent (LOI), attached hereto as (Exhibit A), containing the basic terms and conditions outlined below.
Landlord: Miami Beach Redevelopment Agency (RDA)
Tenant: Miami Beach Gay Pride, Inc. d/b/a Miami Beach Pride
Premises: +/- 721 square foot Premises located at 100-16 Street, Suite 5, Miami Beach, FL 33139
Term: Three (3) Years
Renewal
Options: Two Options for one (1) year renewal term each at the City Manager’s sole discretion.
Lease
Commencement: The Lease Commencement date will be the date Landlord delivers the Premises to Tenant.
Rent
Commencement: The first day of the month following possession.
Base Rental Rate: $33.29 per rentable square foot, plus applicable sales tax.
Annual Rent Increases: The base rental rate shall be increased by two percent (2%) annually.
Prepaid Rent: Tenant shall be required to pay the first month's gross rent in the amount of $2,000.00 which shall be due upon lease execution.
Security Deposit: The amount of $2,000.00 (subject to Landlord's review of Tenant's financials and credit report) shall be due upon execution of the Lease, in addition to first month's rent.
Guarantor: None
Financial Statements: This proposal is subject to Landlord’s review and approval of Tenant’s financial statements.
Utilities: Tenant shall be responsible for the cost of its utilities (electricity, and water and sewer expenses).
Construction Allowance: Tenant shall accept the premises in “AS-IS” condition and shall perform any necessary work at its sole
cost and expense.
Signage: Tenant shall have the ability to install exterior signage, subject to the approval of Landlord in its
proprietary and regulatory capacities.
Use: Tenant shall use the Leased Premises solely for the purpose of an office for the organization as Tenant obtains all the necessary licenses and approvals from the governing municipalities.
Conditions: The terms and conditions of the letter of intent are subject to approval by the Miami Beach Redevelopment Agency. The Letter of Intent is non-binding upon either party, and may be modified or withdrawn by the Landlord, without notice, at any time. Only a fully executed and delivered Lease Agreement, which shall be negotiated in good faith by both parties, shall serve as a binding agreement in this regard.
As contained in said Letter of Intent, the Base Rental Rate is $33.29 per square foot, with two percent (2%) annual increases. The schedule of the Base Rent due over the initial and renewal terms are illustrated in the following chart:
|
Year
|
Annual Base Rent
|
Monthly Base Rent
|
|
1 (Aug-Dec)
|
$ 10,000.00
|
$ 2,000.00
|
|
2
|
$ 24,480.00
|
$ 2,040.00
|
|
3
|
$ 24,969.60
|
$ 2,080.80
|
|
4
|
$ 25,468.99
|
$ 2,122.42
|
|
5
|
$ 25,978.37
|
$ 2,164.86
|
|
Total
|
$ 110,896.96
|
$ 10,408.08
|
The proposed rent structure over the 5-year term will bring the City an estimated $112,896.00 over the term of the lease. The rent commencement will be effective the first day of the month following Landlord’s delivery of the Premises to the Tenant.