8.4 SR 10-17-2022
Action Item
To Item Number
Mayor and Council 8.4
Agenda Section Meeting Date Prepared by
General Business October 17, 2022 Tim Dalton, FT Center Superintendent
Item Description Reviewed by
Elk River Youth Hockey Association Facility Cal Portner, City Administrator
Use Contract 2022-2024
Reviewed by
Action Requested
Approve, by motion, the 2022-2024 ERYHA Facility Use Contract.
Background/Discussion
On October 10, 2022, the Multipurpose Facility Advisory Commission (MPFAC) received a presentation from
ERYHA President Eason regarding his association’s desire to relocate their storage, office, and dryland training
space to the Furniture & Things Community Event Center.
The MPFAC had previously decided to not include exclusive use of the training space in the field house on the
first rendition of the ice contract. The Commission indicated they were unsure what the future use would be and
had not discussed the interests of other user groups.
With no immediate development planned, the MPFAC agreed to lease the training space along with two storage
areas and office space for two years to coincide with the previously recommended ice contract. ERYHA needed
the security of knowing they had replacement home if they ended their private industrial building lease. The
agreement allows for the city to discontinue the agreement with notice. The following spaces are included:
1. OFFICE area located in the West Locker Room (Room #126, 209 sf).
2. STORAGE (A) the storage room in the east locker room hallway, adjacent to the coaches’ room. (Room
#148, 271 sf).
3. STORAGE (B) the storage room in the east locker hall across from Girl’s HS Locker room (238 sf).
4. TRAINING AREA: the training area in the north end of the field house (1800 sf).
Financial Impact
SQ/FT Annual Monthly
SQ/FT Rate
OFFICE 209 $ 8.00 $1,672.00 $139.33
STORAGE (A) 271 $ 8.00 $2,168.00 $180.67
STORAGE (B) 238 $ 8.00 $1,904.00 $158.67
TRAINING AREA 1800 $ 8.00 $14,400.00 $1,200.00
TOTAL 2518 $ 8.00 $20,144.00 $1,678.67
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional
service, and community engagement that encourages and inspires prosperity.
Updated: August 2020
Mission/Policy/Goal
Provides revenue to support sustainable facility practices while creating opportunities that foster pride in our
community.
Attachments
Attachment 1 - 2022-2024 ERYHA Facility Use Contract
N:\\Public Bodies\\Agenda Packets\\10-17-2022\\Final\\x8.4 sr ERYHA Facility Use Contract 2022-2024.docx
LEASE AGREEMENT
By and Between
CITY OF ELK RIVER, MINNESOTA
(L ANDLORD)
and
ELK RIVER YOUTH HOCKEY ASSOCIATION
(T ENANT)
This Instrument Drafted By:
CAMPBELL KNUTSON, P.A.
860 Blue Gentian Road, Suite 290
Eagan, MN 55121
(651) 452-5000
LEASE AGREEMENT
This LEASE AGREEMENT (Lease) is made and effective as of ______________,
2022, by and between the CITY OF ELK RIVER, a Minnesota municipal corporation
(hereinafter referred to as the Landlord) and ELK RIVER YOUTH HOCKEY
ASSOCIATION (hereinafter referred to as the Tenant).
The Landlord and Tenant hereby agree as follows:
ARTICLE 1 LEASED PREMISES
Subject to the terms, covenants and conditions of this Lease, Landlord does hereby lease
and let unto Tenant, and Tenant does hereby lease and take from Landlord, in the building
(Building) owned by Landlord located at 1000 School Street, Elk River, MN 55330, that space
identified on Exhibit A attached hereto and incorporated herein, (hereinafter referred to as the
Leased Premises). Tenant agrees to take and does take the Leased Premises in its as is
condition. The Building and the Property are known as and hereinafter jointly referred to as the
Community Center.
ARTICLE 2 TERM OF LEASE
A. The term of this Lease shall be for 24 months (hereafter referred to as the Initial
Term) upon the rentals and subject to the conditions set forth in this Lease, including Exhibit A
attached hereto.
B. Landlord shall have the right to terminate this Lease for any reason upon 30 days
written notice to Tenant. The notice to terminate shall state the date upon which the Lease is
terminated and the Leased Premises must be vacated. Tenant shall vacate the Leased Premises on
or before that date. Failure by Tenant to vacate the Leased Premises on or before the termination
date shall entitle Landlord to enter the Leased Premises, remove all property of Tenant and cause
the Leased Premises to be put into the condition and state of repair required by this Lease. Tenant,
on demand, shall pay the Landlords costs thereof.
ARTICLE 3 - USE
A. The Leased Premises shall be used by the Tenant solely for the purposes set forth
on Exhibit A hereto and for no other purpose without the prior written consent of the Landlord.
B. The Leased Premises shall not be used in violation of any applicable federal, state,
or local law, ordinance, rule, or regulation, and Tenant shall comply with the same at its sole cost
and expense.
C. Notwithstanding anything to the contrary herein, Tenant shall have the reasonable
non-exclusive right to use the Common Areas (as hereinafter defined) of the Property and the
Building with the Landlord, its employees, agents and invitees, as may from time to time exist,
including but not limited to the parking facilities, sidewalks, driveways, access ways, common
hallways, walkways, landscaped areas and public restrooms (Common Areas) and the Landlord
shall have the full control, management and direction of the Common Areas. The Landlord
reserves the right at any time and from time to time to reduce, increase, enclose or otherwise
change the size, location, layout and nature of the Common Areas.
D. Tenant covenants and agrees that Tenant shall not handle, use, store or dispose of
any flammables, explosives, hazardous or toxic wastes or materials (as may be defined by Federal
or State Law), on or about the Leased Premises or the Property, without Landlords prior written
consent (which consent may be withheld or denied for any or no reason).
E. Tenant shall not perform any act or carry on any practice that may damage the
Leased Premises or any other part of the Property.
F. Tenant shall keep the Leased Premises safe, clean and in as good condition and
repair as they were in at the time Tenant took possession of same, reasonable wear and tear
excepted.
G. Tenant agrees that it and its guests, employees, contractors, invitees and all others
connected with the Tenants operations at the Leased Premises shall abide by all reasonable rules
and regulations from time to time established by the Landlord by written notice to the Tenant with
respect to the Community Center and/or the Common Area portions thereof.
H. Tenant shall keep all trash, refuse, and the like in covered metal or plastic cans,
which cans shall be kept within the Leased Premises at all times, unless an exterior storage area is
specifically designated for Tenants use by Landlord in which event the Tenant shall deposit all
trash, refuse and the like in the exterior storage area.
I. Tenant shall ensure that the Leased Premises are secure at all times.
J. If Tenant shall fail to keep and preserve the Leased Premises in the state of
condition required by the provisions of this Lease, Landlord may at its option put or cause the
same to be put into the condition and state of repair agreed upon, and in such case the Tenant, on
demand, shall pay the cost thereof.
ARTICLE 4 RENT
Tenant agrees to pay to Landlord as rent (hereinafter called Rent) for the Leased Premises
the amounts shown on Exhibit A attached hereto.
ARTICLE 5 - NON-LIABILITY OF LANDLORD
Except in the event of gross negligence or willful misconduct of Landlord, its agents,
employees or contractors, Landlord shall not be liable for any loss or damage for failure to furnish
heat, air conditioning, electricity, water, sprinkler system, sewer or gas service. Landlord shall not
be liable for personal injury, death or any damage from any cause about the Leased Premises or
the Community Center except if caused by Landlords gross negligence or willful misconduct.
ARTICLE 6 - INSPECTION
The Landlord, its employees or agents shall have the right without any diminution of rent
or other charges payable hereunder by Tenant to enter the Leased Premises at all reasonable times
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for the purpose of inspection, cleaning, repairing, testing, altering or improving the same or said
Community Center, but nothing contained in this Article shall be construed so as to impose any
obligation on the Landlord to make any repairs, alterations or improvements. Access by Landlord
to the Leased Premises shall be preceded by 24 hours written or verbal notice by Landlord to
Tenant, except in the event of an emergency.
ARTICLE 7 ALTERATIONS
Tenant will not make any alterations, repairs, additions or improvements in or to the Leased
Premises or add, disturb or in any way change any locks, plumbing or wiring therein without the
prior written consent of the Landlord.
ARTICLE 8 - ASSIGNMENT AND SUBLETTING
Tenant agrees that Tenant does not have the right to assign, sublet, license or encumber
this Lease, the Leased Premises, or any part thereof, whether by voluntary act, operation of law,
or otherwise, without the specific prior written consent of Landlord in each instance.
ARTICLE 9 - LOSS BY CASUALTY
If the Community Center is damaged or destroyed by fire or other casualty, Landlord or
Tenant shall have the right to terminate this Lease, provided it gives written notice thereof to the
other party within ninety (90) days after such damage or destruction.
ARTICLE 10 - WAIVER OF SUBROGATION
Landlord and Tenant hereby release the other from any and all liability or responsibility to
the other or anyone claiming through or under them by way of subrogation or otherwise for any
loss or damage to property caused by fire or any of the extended coverage or supplementary
contract casualties, even if such fire or other casualty shall have been caused by the fault or
negligence of the other party, or anyone for whom such party may be responsible; provided
however, that this release shall be applicable and in force and effect only with respect to loss or
damage occurring during such times as the releasing partys policies shall contain a clause or
endorsement to the effect that any such release would not adversely affect or impair said policies
or prejudice the right of the releasing party to recover thereunder. Landlord and Tenant agree that
they will request their insurance carriers to include in their policies such a clause or endorsement.
If extra cost shall be charged therefor, each party shall advise the other of the amount of the extra
cost, and the other party, at its election, may pay the same, but shall not be obligated to do so.
ARTICLE 11 - SURRENDER
On the last day of the Term of this Lease or on the sooner termination thereof in accordance
with the terms hereof, Tenant shall peaceably surrender the Leased Premises in good condition
and repair.
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ARTICLE 12 - HOLDING OVER
Tenant will, at the expiration of this Lease, whether by lapse of time or termination, give
up immediate possession to Landlord. If Tenant fails to give up possession the Landlord may
pursue all remedies available to it for recovering possession of Leased Premises.
ARTICLE 13 - INDEMNITY, INSURANCE AND SECURITY
A. Tenant will keep in force at its own expense for so long as this Lease remains in
effect public liability insurance with respect to the Leased Premises in which Landlord shall be
named as an additional insured, in companies and in form acceptable to Landlord with a minimum
combined limit of liability of Three Million Dollars ($3,000,000). Said insurance shall also
provide for contractual liability coverage by endorsement. Tenant will further deposit with
Landlord the policy or policies of such insurance or certificates thereof, or other acceptable
evidence that such insurance is in effect, which evidence shall provide that Landlord shall be
notified in writing thirty (30) days prior to cancellation, material change, or failure to renew the
insurance. Tenant further covenants and agrees to indemnify and hold Landlord and Landlords
manager of the Community Center harmless for any claim, loss or damage, suffered by Landlord,
Landlords manager or Landlords other tenants caused by any act or omission by Tenant or
Tenants members; or Tenants failure to comply with any and all governmental laws, rules,
ordinances or regulations applicable to the use of the Leased Premises and its occupancy.
B. Tenant shall be responsible for the security and safeguarding of the Leased
Premises and all property kept, stored or maintained in the Leased Premises. Tenant shall maintain
in force throughout the Term, insurance upon all contents of the Leased Premises, including that
owned by others and Tenants equipment and any alterations, additions, fixtures, or improvements
in the Leased Premises acknowledged by Landlord to be the Tenants.
C. Landlord shall carry and cause to be in full force and effect a fire and extended
coverage insurance policy on the Community Center, but not any contents owned, leased or
otherwise in possession of Tenant.
ARTICLE 14 - NOTICES
All notices from Tenant to Landlord required or permitted by any provisions of this Lease
shall be directed to Landlord postage prepaid, certified or registered mail, at 13065 Orono
Parkway, Elk River, MN 55330.
All notices from Landlord to Tenant required or permitted by any provision of this Lease
shall be directed to Tenant, postage prepaid, certified or registered mail, at the Leased Premises
and at:
____________________________
____________________________
____________________________
ARTICLE 15 - APPLICABLE LAW
This Lease shall be construed under the laws of the State of Minnesota.
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IN WITNESS WHEREOF, this Lease has been duly executed by the parties hereto as of
the day and year indicated above.
LANDLORD:
CITY OF ELK RIVER
By:
John J. Dietz, Its Mayor
And:
Tina Allard, City Clerk
TENANT:
ELK RIVER YOUTH HOCKEY ASSOCIATION
By:
Name: _______________________
Its: _______________________
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EXHIBIT A
Leased Areas and Rent:
1. OFFICE:
a. ERYHA will have exclusive use of the office area located in the West Locker Room
(Room #126, 209 SQ/FT).
2. STORAGE (A):
a. ERYHA will have exclusive use of the Storage Room in the East Locker Room
Hallway, adjacent to the Coaches Room. (Room # 148, 271 SQ/FT).
3. STORAGE (B):
a. ERYHA will have exclusive use of the Storage Room in the East Locker Room
.
4. TRAINING AREA:
a. ERYHA will have exclusive use of the Training Area in Rear of Fieldhouse. (1800
SQ/FT Annual Monthly
SQ/FT Rate
OFFICE ЋЉВ υ Б͵ЉЉ υЊͲЏАЋ͵ЉЉ υЊЌВ͵ЌЌ
STORAGE (A) ЋАЊ υ Б͵ЉЉ υЋͲЊЏБ͵ЉЉ υЊБЉ͵ЏА
STORAGE (B) ЋЌБ υ Б͵ЉЉ υЊͲВЉЍ͵ЉЉ υЊЎБ͵ЏА
TRAINING AREA ЊБЉЉ υ Б͵ЉЉ υЊЍͲЍЉЉ͵ЉЉ υЊͲЋЉЉ͵ЉЉ
TOTAL 2518 $ 8.00 $20,144.00 $1,678.67
A-1
2