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HomeMy WebLinkAbout2007-03-26 07-124 ORDERItem I%% 07 124 Date: March 26,2W7 Item/Subject Order, Authorivng an Amendment to an Indenture of Lease with Bangor Savings Bank - 203 Maine Avanue. Responsible Department: Community & Economic Development This Amendment M the lease between the City of Bangor and Bangor Savings Bank far a lot a[ 203 Maine Ave. establishes Me annual rental amount for the period April 1, 2007 M March 31, 2017. Bangor Savings Bank has been leasing he total 103 Maine Ave. since 1998 when Me lease was assigned by Me Elder Family Portland Associates Limited ParMership te Bangor Savings Bank. Bangor Savings Bank also purchased Me building on Me property, which It uses as an office and earning center. The lease rate during the laABve (5) years was $547 per month for the 1.643 acre lot. Bangor Swvings Bank also leases Me adjacent lot, 203A Maine Ave., from Me City for parking. The term of Me lease for 203A Maim Ave. is from April 1, 1999 to March 31, 2017 and does not coindde with the 203 Maine Ave. lease. The 203A lease was negotiated more recently than the 203 lease. This amendmmtwill increasethe lease ratefor 203 Maim M $1,181 permonM for Me period April 1, 2007 to March 31, 2012, the same rate per am as the 20M lease. Duffing Me period Alel 1, 2012 Mrough March 31, 2017, the lease rate will be determined by increasing the prior perod's rate by the sum of Me Ove annual percentage charges In the Consumer Price Index, the All Items expenditure category, for Me period January, 2007 to January, 2012. Bangor Savings Bank has accepted the tems of this proposed agreemenk and staff recommends your approval. Department Head Manager's Comments: _ This has been reviewed and is recommended by the Business and Economic Development Committee. Ory Manager Associated liifermation: Budget Approval: - R ce DInRTor Legal Approval: City Solicft—r IMT,uced for passage / First Reading Page— of-Referral 07 124 Assignd to Councilor Farrington March 26, 2007 CITY OF BANGOR (TITLE.) ORDER, Authorizing an Amendment to an Indenture of Lease with Bangor Savings Bank— 203 Malne Avenue. WHEREAS, by Indenture of Lease dated March 30, 1987, Elder Family Portland Associates United Partnership agreed W lease a parcel of land at 203 Maine Ave. from the CRY; and WHEREAS, old Indenture of Leas was assigned to Bangor Savings Bahr on August 20,1998; and WHEREAS, Bangor Savings Bank has exercised be option to ended Me Indenture of Lease for the period from April 1, 2007 to Merl 31, 2017; and WHEREAS, the parties thereto wish to amend old Indentwe of tease to establish a lease rate for the period from April 1, 2007 to Me" 31, 2017; NOW, THEREFORE, BE IT ORDERED BY THE CRY COUNCD.OF THE CITY OF BANGOR THAT the City Manager is hereby authorized, on behalf of the City of Bangor, W erecude an Amendment to the Indenture of Lease between Bangor Savings Bank and the City of Bangor for a parcel of land at 203 Maine Ave., Bangor, with the following lease rate and in a hum approved by the City Sogdthr: During the period April 1, 2007 through March 31, 2012, the annual rental rate will be $14,171, pad monthly In the amount of ONE THOUSAND ONE HUNDRED EIGHTY-ONE DOLLARS ($1,181.00). During the period Apel 1, 2012 through March 31, 2017, the lease rate will be determined by Increasing the rate during the previous period by the sum of the five annual percentage changes in the Consumer Price Inder, the All Items exienditure category, for the period January, 2007 M January, 2012. IN Cin COMCIL Y d Clw CLNgR -�� O R D E R IvAutu of Lease an Aveudvev[ t Lvdvtute o£ Lease with Hmgor gaHoga Aan4 - Mi MaSne Avevue yM /