HomeMy WebLinkAboutItem 06.gMarch 19, 2012 Item No.
LAND LEASE AGREEMENT WITH MILLER FARMS
Proposed Action
Staff recommends adoption of the following motion: Move to approve land lease
aareement with Miller Farms.
Overview
The City of Lakeville has leased and rented farmland to Joseph Miller at Miller Farms in
the past; his leases are typically written for a one -year period of time. The farmland is
located on Outlot B and D of King Creek Greenway Addition in Dakota County, City of
Lakeville. Total rent is $400 and has already been paid to the City. The insurance has
also been received and is on file in the Parks & Recreation Department.
Primary Issues to Consider
• None
Supporting Information
• Land lease agreement signed by Joseph Miller
Gerald S. Michaud
Parks & Recreation Director
Financial Impact: 400 Budgeted: Y/N Y Source:
Related Documents (CIP, ERP, etc.):
Notes:
CITY OF LAKEVILLE
LAND LEASE
THIS LEASE ( " Lease "), entered into this 19 day of March, 2012, by and between
the CITY OF LAKEVILLE, a Minnesota municipal corporation, whose address is 20195
Holyoke Avenue, Lakeville, Minnesota 55044 (hereinafter referred to as the "Lessor ") and
MILLER FARMS, a Corporation, whose address is 22222 Dodd Boulevard, Lakeville,
Minnesota 55044 (hereinafter referred to as the "Lessee ").
WITNESSETH
1. LEASE TERM Lessor hereby leases unto the Lessee certain land legally
described as Outlots B and D of King Creek Greenway Addition, Dakota County, Minnesota
("Leased Premises "), from the 1 S ` day of April, 2012 to the 31 st day of December, 2012
( "Term ").
2. RENT Lessee, in consideration of the leasing of the Leased Premises, hereby
covenants and agrees to pay to Lessor $400.00 ("Rent ") for the Term. Rent shall be payable by
Lessee upon execution of this Lease.
3. INSURANCE Lessee shall procure and maintain general liability insurance
against all claims for injuries and damages occurring on the Leased Premises, such insurance to
be in amounts approved by Lessor. Such insurance shall name Lessor as an additional insured
and shall contain a provision that the Lessor will be notified in writing thirty (30) days prior to
any proposed policy cancellation.
4. TAXES Lessee shall be responsible for all personal property and real estate taxes
incurred as a result of this Lease.
5. CARE, MAINTENANCE, USE COVENANTS Lessee covenants that Lessee
will: (i) farm and care for the Leased Premises in a good husband -like manner, and in
accordance with good farming and soil conservation practices; (ii) not commit or permit waste
thereon; Lessee will use only the best seed at Lessee's own expense; Lessee will promptly pay
all cost of threshing grain each year; Lessee will keep down all weeds each year and will not
allow the same to mature seed at any time; Lessee will not remove or sell any straw or manure,
and will use on said Leased Premises where most needed all manure thereon; Lessee will,
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immediately after harvesting each crop each year, plow said Leased Premises and that in case the
Lessee shall fail to do so the Lessee hereby authorizes said Lessor to enter upon said Leased
Premises and plow the same at the expense of the Lessee; Lessee will at once, at Lessee's own
expense, replace and repair all damages to improvements on said Leased Premises caused by
Lessee's want of care or negligence; (iii) carefully protect all improvements of every kind that
are now on the Leased Premises; (iv) promptly at the expiration of the term of the Lease yield
up possession of the Leased Premises, without notice, unto the Lessor in as good condition and
repair as the Leased Premises now is or may be at any time during the continuance of this Lease,
ordinary wear and tear excepted; and (v) keep the Leased Premises free from all weeds.
6. ENVIRONMENTAL MATTERS AND INDEMNIFICATION The term
"Environmental Laws" shall mean all federal, state and local laws, including statutes,
regulations, ordinances, codes, rules and other governmental restrictions and requirements
relating to the discharge of air pollutants, water pollutants or process waste water or otherwise
relating to the environment or hazardous substances, including but not limited to the Federal
Solid Waste Disposal Act, the Federal Clean Air Act, the Federal Clean Water Act, the Federal
Resource Conservation and Recovery Act of 1976, the Federal Comprehensive Environmental
Responsibility, Cleanup and Liability Act of 1980, regulations of the Environmental Protection
Agency, regulations of the Nuclear Regulatory Agency and regulations of any state department
of natural resources or state environmental protection agency now or at any time hereafter in
effect.
In order to induce the Lessor to enter into this Lease, the Lessee covenants, represents
and warrants to the Lessor that while this Lease is in effect Lessee will comply with all
applicable Environmental Laws.
Lessee shall indemnify Lessor against all claims, demands, charges, damages, orders,
judgments, citations, or costs, including reasonable attorneys' fees which Lessor may incur by
reason of any violation of Environmental Laws occurring on the Leased Premises for which
Lessor may become responsible by reason of Lessor's use of the Leased Premises.
7. SUBLETTING /ASSIGNMENT Lessee shall not sublet the Leased Premises or
assign this Lease without the express written consent of the Lessor.
8. EVENTS OF DEFAULT /REMEDIES It shall be an "Event of Default" under
this Lease if Lessee:
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(a) Fails to pay rent when due.
(b) Fails to comply with all of Lessees covenants herein.
Lessor shall have the right to terminate this Lease if Lessee fails to cure an Event of Default
within ten (10) days written notice. If Lessee fails to cure an Event of Default within the cure
period Lessor shall have the right to terminate this Lease and exercise any remedies available
under applicable law to regain possession of the Leased Premises. In the event that Lessee is in
default under this Lease and the Lease is terminated and Lessee fails to vacate the Leased
Premises, the Lessor shall be entitled to recover all costs and expenses including reasonable
attorney's fees incurred by Lessor in enforcing the terms of this Lease and regaining possession
of the Leased Premises.
9. BINDING EFFECT This Lease shall extend to and be binding upon the heirs,
executors, administrators, trustees, successors, receivers and assigns of the parties hereto.
10. NOTICE All notices to the parties shall be sent to the addresses set forth herein
and shall be effective upon personal delivery or three (3) business days after placed in the U.S.
Mail postage prepaid.
IN WITNESS WHEREOF, the parties hereto have executed this Lease as of the
day and year first above written.
LESSOR:
CITY OF LAKEVILLE
Mark Bellows, Mayor
AND:
Charlene Friedges, City Clerk
LESSEE:
MILLER FARMS
BY:
Its ,
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