Dec 17 2017

Original Arts Center Lease Compared with Their 2016 Revised Lease

The following public documents are published to help readers consider the issue of a sublet of the Piedmont Center for the Arts to the Piedmont Post newspaper that is before the City Council on their Monday, December 18 agenda:

Original City lease with the Arts Center Section 14:

Tenant shall not voluntarily assign or encumber its interest in this lease or in the premises, or sublease all or any part of the premises, or allow any other person or entity (except Tenant’s authorized representative) to occupy or use all or any part of the premises, without first obtaining Landlord’s written consent. Any assignments, encumbrance, or sublease without Landlord’s consent shall be voidable and, at Landlord’s election, shall constitute a default. No consent to any assignment, encumbrance, or sublease shall constitute a further waiver of the provisions of this
City staff report recommending amendment of the Arts Center lease:
“The lease amendment before you tonight is drafted to allow for more flexibility in the terms of usage of the premises. The intent of the revised language is to allow the PCA to manage the facility with a higher degree of independence and to accommodate reasonable requests for facility usage without first having to obtain the written permission of the City Council. Given the PCA’s proven ability to professionally and responsibly manage the leased premises, I believe that this amendment is in the best interests of both the City and the PCA.It allows the PCA to more nimbly respond to requests from outside groups to use the facility, and allows for greater control in the scheduling of events and activities. For the City, the amendment acknowledges our confidence in the PCA’s abilities and keeps minor, operational issues from having to be acted upon by formal Council action.”
Revised Arts Center Lease Section 3. 
Modification to Section 14:
Section 14 – Of the Lease is hereby modified and restated as follows: Tenant shall not assign, transfer, convey, encumber or sublease (collectively, a “Transfer”) its interest in this lease or the Premises without the prior written consent of Landlord, which consent shall be within the sole discretion of Landlord. For purposes of this provision, a Transfer shall be considered to include any assignment to an entity related to Tenant or a change of ownership or control of Tenant. Any Transfer without Landlord’s consent shall be voidable and, at Landlord’s election, shall constitute a default. Prior written consent of Landlord is required for all Transfers. Consent to a prior Transfer shall not be construed as consent to any future Transfer.

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