RES NO 03-03-2025 CITY OF VAN BURENN,,ARKANSAS
RESOLUTION NO.�/�✓- -2025
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN,
ARKANSAS,A RESOLUTION TO BE ENTITLED:
A RESOLUTION APPROVING A COMMERCIAL LEASE
AGREEMENT WITH THE VAN BUREN CHAMBER OF
COMMERCE,FOR 111 N. 12TH STREET.
WHEREAS, the City of Van Buren owns property located at 111 North 121h Street,Van
Buren,Arkansas; and
WHEREAS, The Van Buren Chamber of Commerce would like to occupy the building
for business purposes; and
WHEREAS, The Van Buren Chamber of Commerce desires to enter into a Commercial
Lease Agreement with the City of Van Buren; and
WHEREAS, the City Council believes it to be in the best interest of the city and its
citizens to authorize a Commercial Lease Agreement with the Van Buren
Chamber of Commerce.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF VAN
BUREN,ARKANSAS,THAT:
SECTION 1: The City Council hereby authorizes the Mayor to enter into the attached
Commercial Lease Agreement with the Van Buren Chamber of
Commerce, and authorizes the Mayor and City Clerk to approve said
Commercial Lease Agreement on behalf of the City of Van Buren,
Arkansas.
IN WITNESS WHEREOF, the City of Van lipren, Arkansas, by its City Council, did
pass, approve, and adopt, by a vote of—Lp for and against,the foregoing Resolution at its
regular meeting held on the 17th day of March 2025.
G\erk Tred sG
- Jo urs
City of Van Buren Mayor
ATTESTED: Q OVED A F
duo' a�yy
ryCounty.P�
Shawnna keyAolcM owell -_
City Clerk/Treasurer City Attorney _
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COMMERCIAL LEASE AGREEMENT
THIS LEASE (this "Lease")dated this_ -7—day of f a4 eh ,
BETWEEN:
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City of Van Buren of 1003 Broadway St,Van Buren,AR 72956,USA
Telephone: (479)474-1541
(the "Landlord")
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OF THE FIRST PART i
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The Chamber-Van Buren,Arkansas of 510 Main Street, Van Buren,AR 72956 i
Telephone: (479)474-2761
(the "Tenant")
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OF THE SECOND PART j
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IN CONSIDERATION OF the Landlord leasing certain premises to the Tenant,the Tenant
leasing those premises from the Landlord and the mutual benefits and obligations set forth in
this Lease,the receipt and sufficiency of which consideration is hereby acknowledged,the
Parties to this Lease (the "Parties")agree as follows:
Definitions
I. When used in this Lease,the following expressions will have the meanings indicated:
a. "Additional Rent" means all amounts payable by the Tenant under this Lease
except Base Rent,whether or not specifically designated as Additional Rent
elsewhere in this Lease;
b. 'Building" means all buildings, improvements,equipment,fixtures,property
and facilities from time to time Iocated at I I I N 12th St,Van Buren,AR
72956,USA,as from time to time altered,expanded or reduced by the
Landlord in its sole discretion; j
C. "Common Areas and Facilities"mean:
i. those portions of the Building areas, buildings, improvements,
facilities,utilities,equipment and installations in or forming part of
the Building which from time to time are not designated or intended
by the Landlord to be leased to tenants of the Building including,
without limitation,exterior weather walls,roofs,entrances and exits,
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parking areas,driveways, Ioading docks and area, storage,
mechanical and electrical rooms, areas above and below leasable
premises and not included within leasable premises, security and
alarm equipment,grassed and landscaped areas,retaining walls and
maintenance, cleaning and operating equipment serving the
Building;and
ii. those lands,areas, buildings, improvements,facilities,utilities,
equipment and installations which serve or are for the useful benefit
of the Building,the tenants of the Building or the Landlord and those
having business with them,whether or not located within,adjacent to
or near the Building and which are designated from time to time by
the Landlord as part of the Common Areas and Facilities;
d. "Leasable Area" means with respect to any rentable premises,the area
expressed in square feet of all floor space including floor space of mezzanines,
if any,determined, calculated and certified by the Landlord and measured
from the exterior face of all exterior walls,doors and windows, including
walls,doors and windows separating the rentable premises from enclosed
Common Areas and Facilities, if any,and from the center line of all interior
walls separating the rentable premises from adjoining rentable premises.There
will be no deduction or exclusion for any space occupied by or used for
columns,ducts or other structural elements;
e. "Premises" means the office space at I I I N 12th St,Van Buren,AR 72956,
USA;
f. "Proportionate Share" means a fraction,the numerator of which is the
Leasable Area of the Premises and the denominator of which is the aggregate
of the Leasable Area of all rentable premises in the Building;
g. "Rent"means the total of Base Rent and Additional Rent.
Leased Premises
2. The Landlord agrees to rent to the Tenant the office space municipally described as I I 1
N 12th St,Van Buren,AR 72956,USA(the "Premises").
The Premises will be used for only the following permitted use(the "Permitted Use"):
Office space for the Van Buren Chamber of Commerce and events and activities
approved by the Van Buren Chamber of Commerce.
Term
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3. The term of the Lease commences at 12:00 noon on November 1,2024 and ends at
12:00 noon on December 1,2044(the "Term").
4. Should the Tenant remain in possession of the Premises with the consent of the
Landlord after the natural expiration of this Lease, a new tenancy from month to month
will be created between the Landlord and the Tenant which will be subject to all the
terms and conditions of this Lease but will be terminable upon either party giving one
month's notice to the other party.
5. Upon 30 days'notice,the Landlord may terminate the tenancy under this Lease if the
Tenant has defaulted in the payment of any portion of the Rent when due.
6. Upon 60 days'notice,the Landlord may terminate the tenancy under this Lease if the
Tenant fails to observe,perform and keep each and every of the covenants, agreements,
stipulations, obligations,conditions and other provisions of this Lease to be observed,
performed and kept by the Tenant and the Tenant persists in such default beyond the
said 60 days`notice.
Rent
7. Subject to the provisions of this Lease,the Tenant will pay a base rent of$l.00,payable
each year,for the Premises (the "Base Rent"),without setoff,abatement or deduction. In
addition to the Base Rent,the Tenant will pay for any fees or taxes arising from the
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Tenant's business.
8. The Tenant will pay the Base Rent on or before the 5th day of January of each and
every year of the Term to the Landlord.
9. No acceptance by the Landlord of any amount Iess than the full amount owed will be
taken to operate as a waiver by the Landlord for the full amount or in any way to defeat
or affect the rights and remedies of the Landlord to pursue the frill amount.
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Operating Costs
10. In addition to the Base Rent, the Tenant is responsible for directly paying to the
appropriate suppliers the following operating costs:
a. cleaning and janitorial services;
b. any lawn and landscaping.
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11. The Landlord will be responsible for paying the following operating costs:
a. property or building taxes and sales or use taxes related to the Building or this
Lease;
b, repairs and maintenance to the building and any component of the Building;
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C. provision,repair,replacement and maintenance of heating, cooling,
ventilation;
d. operation and maintenance of parking areas.
Use and Occupation
1.2. The Tenant will carry on business under the name of Chamber of Commerce, and will
not change such name without the prior written consent of the Landlord, such consent
not to be unreasonably withheld.The Tenant will open the whole of the Premises for
business to the public fully fixtured,stocked and staffed at a reasonable time after
commencement of the Term and throughout the Term, and will continuously occupy
and utilize the entire Premises in the active conduct of its business in a reputable
manner on such days and during such hours of business as may be determined from
time to time by the Landlord.
13. The Tenant covenants that the Tenant will carry on and conduct its business from time
to time carried on upon the Premises in such manner as to comply with all statutes,
bylaws,rules and regulations of any federal, state,municipal or other competent
authority and will not do anything on or in the Premises in contravention of any of
them.
14. The Tenant covenants that the Tenant will carry on and conduct its business from time
to time carried on upon the Premises in such manner as to comply with any statute,
including any subordinate legislation,which is in force now or in the future and taking
into account any amendment or re-enactment,or any government department, local
authority,other public or competent authority or court of competent jurisdiction and of
the insurers in relation to the use,occupation and enjoyment of the Building(including
in relation to health and safety compliance with the proper practice recommended by all
appropriate authorities).
Quiet Enjoyment
15. The Landlord covenants that on paying the Rent and performing the covenants
contained in this Lease,the Tenant will peacefully and quietly have,hold, and enjoy the
Premises for the agreed term.
Distress
16. 1f and whenever the Tenant is in default in payment of any money,whether hereby
expressly reserved or deemed as Rent,or any part of the Rent,the Landlord may,
without notice or any form of legal process,enter upon the Premises and seize,remove
and sell the Tenant's goods, chattels and equipment from the Premises or seize,remove
and sell any goods, chattels and equipment at any place to which the Tenant or any
other person may have removed them, in the same manner as if they had remained and
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been distrained upon the Premises, all notwithstanding any rule of law or equity to the i
contrary, and the Tenant hereby waives and renounces the benefit of any present or
future statute or law limiting or eliminating the Landlord's right of distress,
Overholding
17. If the Tenant continues to occupy the Premises without the written consent of the
Landlord after the expiration or other termination of the Term,then,without any further
written agreement,the Tenant will be a month-to-month tenant at a minimun-►monthly
rental equal to twice the Base Rent and subject always to all of the other provisions of
this Lease insofar as the same are applicable to a month-to-month tenancy and a tenancy
from year to year will not be created by implication of law.
Additional Rights on Reentry
18. If the Landlord reenters the Premises or terminates this Lease,then:
a. notwithstanding any such termination or the Term thereby becoming forfeited
and void,the provisions of this Lease relating to the consequences of
termination will survive;
b. the Landlord may use such reasonable force as it may deem necessary for the
purpose of gaining admittance to and retaking possession of the Premises and
the Tenant hereby releases the Landlord from all actions,proceedings, claims
and demands whatsoever for and in respect of any such forcible entry or any
loss or damage in connection therewith or consequential thereupon;
C. the Landlord may expel and remove,forcibly, if necessary, the Tenant,those
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claiming under the Tenant, and their effects,as allowed by law,without being
taken or deemed to be guilty of any manner of trespass;
d. in the event that the Landlord has removed the property of the Tenant,the
Landlord may store such property in a public warehouse or at a place selected
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by the Landlord,at the expense of the Tenant. If the Landlord feels that it is j
not worth storing such property given its value and the cost to store it,then the
Landlord may dispose of such property in its sole discretion and use such
funds, if any,towards any indebtedness of the Tenant to the Landlord. The
Landlord will not be responsible to the Tenant for the disposal of such
property other than to provide any balance of the proceeds to the Tenant after
paying any storage costs and any amounts owed by the Tenant to the
Landlord;
e. the Landlord may relet the Premises or any part of the Premises for a term or
terms which may be,less or greater than the balance of the Term remaining
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and may grant reasonable concessions in connection with such reletting
including any alterations and improvements to the Premises;
f. after reentry,the Landlord may procure the appointment of a receiver to take
possession and collect rents and profits of the business of the Tenant,and, if
necessary to collect the rents and profits the receiver may carry on the
business of the Tenant and take possession of the personal property used in the
business of the Tenant, including inventory,trade fixtures, and furnishings,
and use them in the business without compensating the Tenant;
g. after reentry,the Landlord may terminate the Lease on giving S days'written
notice of termination to the Tenant. Without this notice,reentry of the
Premises by the Landlord or its agents will not terminate this Lease;
h. the Tenant will pay to the Landlord on demand:
i. all rent,Additional Rent and other amounts payable under this Lease
up to the time of reentry or termination,whichever is later;
ii. reasonable expenses as the Landlord incurs or has incurred in
connection with the reentering,terminating,reletting, collecting
sums due or payable by the Tenant,realizing upon assets seized;
including without limitation,brokerage,fees and expenses and legal
fees and disbursements and the expenses of keeping the Premises in
good order,repairing the same and preparing them for reletting;and
iii. as liquidated damages for the loss of rent and other income of the
Landlord expected to be derived from this Lease during the period
which would have constituted the unexpired portion of the Term had
it not been terminated,at the option of the Landlord, either:
1. an amount determined by reducing to present worth at an
assumed interest rate of 12%per annum all Base Rent and
estimated Additional Rent to become payable during the
period which would have constituted the unexpired portion
of the Term,such determination to be made by the
Landlord,who may make reasonable estimates of when any
such other amounts would have become payable and may
make such other assumptions of the facts as may be
reasonable in the circumstances; or
2. an amount equal to the Base Rent and estimated Additional
Rent for a 6months.
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Inspections and Landlord's Right to Enter
19. During the Term and any renewal of this Lease, the Landlord and its agents may enter
the Premises to make inspections or repairs. Except where the Landlord or its agents
consider it an emergency, the Landlord will provide the Tenant with written notice 24
hours prior to entering.
Landlord Improvements
20. The Landlord will make the following improvements to the Premises:
a. The City will provide$75,000.00 for renovation of the Property.
Tenant Improvements
21, The Tenant will obtain written permission from the Landlord before doing any of the
following:
a. painting,wallpapering, redecorating or in any way significantly altering the
appearance of the Premises; j
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b. removing or adding walls,or performing any structural alterations;
C. changing the amount of heat or power normally used on the Premises as well
as installing additional electrical wiring or heating units;
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d. affixing to or erecting upon or near the Premises any radio or TV antenna or 1
tower, or satellite dish;or
e. installing or affixing upon or near the Premises any plant, equipment,
machinery or apparatus without the Landlord's prior consent. i
Utilities and Other Costs
22. The Tenant is responsible for the direct payment of the following utilities and other s
charges in relation to the Premises: electricity,natural gas,water,sewer,telephone,
internet and cable.
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Insurance i
23. The Tenant is hereby advised and understands that the personal property of the Tenant
is not insured by the Landlord for either damage or loss, and the Landlord assumes no
liability for any such loss. The Tenant is advised that, if insurance coverage is desired
by the Tenant,the Tenant should inquire of Tenant's insurance agent regarding a
Tenant's policy of insurance.
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24, The Landlord is responsible for insuring the Premises for damage or loss to the
structure, mechanical or improvements to the Building on the Premises for the benefit E
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of the Tenant and the Landlord. Such insurance should include such risks as fire,theft,
vandalism,flood and disaster.
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25. The Landlord is responsible for insuring the Premises for liability insurance for the
benefit of the Tenant and the Landlord, if necessary.
Abandonment
26. If at any time during the Tenn,the Tenant abandons the Premises or any part of the
Premises,the Landlord may,at its option, enter the Premises by any means without
being liable for any prosecution for such entering, and without becoming liable to the
Tenant for damages or for any payment of any kind whatever,and may,at the
Landlord's discretion, as agent for the Tenant,relet the Premises, or any part of the
Premises,for the whole or any part of the then unexpired Term,and may receive and
collect all rent payable by virtue of such reletting, and, at the Landlord's option,hold the
Tenant liable for any difference between the Rent that would have been payable under
this Lease during the balance of the unexpired Term, if this Lease had continued in
force,and the net rent for such period realized by the Landlord by means of the
reletting. If the Landlord's right of reently is exercised following abandonment of the
premises by the Tenant,then the Landlord may consider any personal property
belonging to the Tenant and left on the Premises to also have been abandoned,in which
case the Landlord may dispose of all such personal property in any manner the Landlord
will deem proper and is relieved of all liability for doing so.
Governing Law
27. It is the intention of the Parties to this Lease that the tenancy created by this Lease and
the performance under this Lease,and all suits and special proceedings under this
Lease,be construed in accordance with and governed,to the exclusion of the law of any
other foilim,by the laws of the State of Arkansas,without regard to the jurisdiction in
which any action or special proceeding may be instituted.
Severability
28, If there is a conflict between any provision of this Lease and the applicable Iegislation
of the State of Arkansas (the 'Act'),the Act will prevail and such provisions of the Lease
will be amended or deleted as necessary in order to comply with the Act. Further,any
provisions that are required by the Act are incorporated into this Lease.
Assignment and Subletting
29. The Tenant will not assign this Lease,or sublet or grant any concession or license to use
the Premises or any part of the Premises.An assignment,subletting, concession, or
license,whether by operation of law or otherwise,will be void and will, at the
Landlord's option,terminate this Lease.
Bulk Sale
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30. No bulk sale of goods and assets of the Tenant may take place without first obtaining
the written consent of the Landlord,which consent will not be unreasonably withheld so
long as the Tenant and the Purchaser are able to provide the Landlord with assurances,
in a form satisfactory to the Landlord,that the Tenant's obligations in this Lease will
continue to be performed and respected, in the manner satisfactory to the Landlord, after
completion of the said bulk sale.
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Care and Use of Premises
31. The Tenant will promptly notify the Landlord of any damage, or of any situation that j
may significantly interfere with the normal use of the Premises.
32. The Tenant will not make (or allow to be made)any noise or nuisance which, in the j
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reasonable opinion of the Landlord,disturbs the comfort or convenience of other
tenants.
33. The Tenant will not engage in any illegal trade or activity on or about the Premises.
34, The Landlord and Tenant will comply with standards of health, sanitation,fire, housing
and safety as required by law.
Surrender of Premises
35. At the expiration of the lease term, the Tenant will quit and surrender the Premises ill as
good a state and condition as they were at the commencement of this Lease, reasonable
use and wear and damages by the elements excepted.
Hazardous Materials
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36. The Tenant will not keep or have on the Premises any article or thing of a dangerous,
flammable, or explosive character that might unreasonably increase the danger of fire
on the Premises or that might be considered hazardous by any responsible insurance
company.
Rules and Regulations
37. The Tenant will obey all rules and regulations posted by the Landlord regarding the use
and care of the Building, parking lot and other common facilities that are provided for
the use of the Tenant in and around the Building on the Premises.
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General Provisions
38. Any waiver by the Landlord of any failure by the Tenant to perform or observe the
provisions of this Lease will not operate as a waiver of the Landlord's rights under this
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Lease in respect of any subsequent defaults, breaches or nonperformance and will not
defeat or affect in any way the Landlord's rights in respect of any subsequent default or
breach. !
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39. This Lease will extend to and be binding upon and inure to the benefit of the respective
heirs, executors,administrators, successors and assigns,as the case may be, of each
party to this Lease.All covenants are to be construed as conditions of this Lease.
40. All sums payable by the Tenant to the Landlord pursuant to any provision of this Lease
will be deemed to be Additional Rent and will be recoverable by the Landlord as rental
arrears.
41. Where there is more than one Tenant executing this Lease,all Tenants are jointly and
severally liable for each other's acts,omissions and liabilities pursuant to this Lease.
42. Time is of the essence in this Lease.
43. This Lease will constitute the entire agreement between the Landlord and the Tenant.
Any prior understanding or representation of any kind preceding the date of this Lease
will not be binding on either party to this Lease except to the extent incorporated in this
Lease.In particular,no warranties of the Landlord not expressed in this Lease are to be
implied.
IN WITNESS WHEREOF the Parties to this Lease have duly affixed their signatures under
hand and seal, or by a duly authorized officer under seal,on this 1�7—day of
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City of Van Buren(Landlord)
(W' qss Per: (SEAL)
The Chamber- Van Buren, Arkansas(Tenant)
( Witness) Per: (SEAL)