Ordinance No. 13,695ORDINANCE NO. 13,695
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS,
AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE AND
THE CITY CLERK TO ATTEST TO THE FIRST AMENDMENT TO THE SITE
LEASE WITH CROWN CASTLE GT COMPANY LLC; AND PROVIDING FOR THE
EFFECTIVE DATE THEREOF.
*************************************************************************************
WHEREAS, on May 21, 2008, the City of Baytown entered into a site lease agreement with
Verizon for the purpose of constructing, maintaining and operating a communications facility, including
tower structures, equipment, shelters, cabinets, meter boards, utilities, antennas, equipment and related
equipment; and
WHEREAS, the lease commenced on May 21, 2008, extended on May 20, 2013, and will expire
on May 21, 2018; and
WHEREAS, during the term of the Lease, Crown Castle GT Company LLC, took over the
communications facilities and the lease; and
WHEREAS, the City desires to extend the lease for the consideration expressed in the First
Amendment; NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section 1: That the City Council of the City of Baytown, Texas, hereby authorizes and
directs the City Manager and City Clerk of the City of Baytown to execute and attest to the First
Amendment to the Site Lease with Crown Castle GT Company LLC. A copy of said amendment is
attached hereto, marked Exhibit "A" and incorporated herein for all intents and purposes.
Section 2: This ordinance shall take effect immediately from and after its passage by the
City Council of the City of Baytown. Ille
INTRODUCED, READ, and PASSED by the affirmative
Baytown, this the 8s' day of February, 2018.
APPROVED AS TO FORM:
S
4�� r,F.acxssoy�
of the City Council of the City of
4ACIORAMIREZ, SR.,
, i y A orney
11COBFS011Legal\Karen\Files\city CouncillOrdinances\2018\February ffirstAmendmenMitelease.doc
Mayor
Agenda
BAYTOWN CITY COUNCIL MEETING
Meeting Date: 02/08/2018
Subject: First Amendment to Site Lease
Prepared for: Ignacio Ramirez, Legal
Department: Legal
Prepared by: Karen Horner, Legal
Page 22 of 28
7. b.
Information
ITEM
Consider an ordinance authorizing the First Amendment to the Site Lease with Crown Castle GT Company
LLC.
PREFACE
This proposed ordinance authorizes the First Amendment to the Site Lease with Crown Castle GT Company
LLC ("Crown Castle"). On May 21, 2008, the City of Baytown entered into a site lease agreement with
Verizon for the purpose of constructing, maintaining and operating a communications facility, including
tower structures, equipment, shelters, cabinets, meter boards, utilities, antennas, equipment and related
equipment. The lease commenced on May 21, 2008 and expired on May 20, 2013, but extended for the five-
year term specified in the lease. Therefore, the lease will expire May 21, 2018.
The City and Crown Castle desire to extend the lease for up to ten years for a one-time fifteen percent
increase and a $7,000 signing bonus. All other terms and conditions shall remain the same.
RECOMMENDATION
Staff recommends approval.
Fiscal Impact
Fiscal Year:
Acct Code: 101-49009
Source of Funds (Operating/Capital/Bonds):
Funds Budeeted Y/N:
Amount Needed:
Fiscal Impact (Additional Information):
These funds will be credited to the General Fund.
Attachments
Ordinance - First Amendment to Site Lease
Certificate
httn://asendas.bavtown.oriz/Drint all.cfin?seq=1997&reloaded=true&id= 2/6/2018
Exhibit "A"
FIRST AMENDMENT TO
SITE LEASE
THIS FIRST AMENDMENT TO SITE LEASE (the "First Amendment") is entered into
this day of , 2018, by and between CITY OF BAYTOWN, with a mailing
address of 2401 Market Street, Baytown, Texas 77520 ("Landlord") and CROWN CASTLE GT
COMPANY LLC, a Delaware limited liability company, with a mailing address of 2000
Corporate Drive, Canonsburg, Pennsylvania 15317 ("Tenant").
RECITALS
WHEREAS, Landlord and Tenant entered into a Site Lease dated May 21, 2008 (the
"Lease") whereby Tenant leased certain real property, together with access and utility easements,
located in Harris County, Texas from Landlord (the "Property"), all located within certain real
property owned by Landlord ("Parent Parcel"); and
WHEREAS, the Property may be used for the purpose of constructing, maintaining and
operating a communications facility, including tower structures, equipment shelters, cabinets,
meter boards, utilities, antennas, equipment, any related improvements and structures and uses
incidental thereto; and
WHEREAS, the Lease had an initial term that commenced on May 21, 2008 and expired
on May 20, 2013. The Lease provides for one (1) extension of five (5) years, which was
exercised by Tenant. According to the Lease, the final extension expires on May 20, 2018; and
WHEREAS, Landlord and Tenant desire to amend the Lease on the terms and conditions
contained herein.
NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are acknowledged, Landlord and Tenant agree as follows:
1. Recitals, Defined Terms. The parties acknowledge the accuracy of the foregoing
recitals. Any capitalized terms not defined herein shall have the meanings ascribed to them in
the Lease.
Site Name: Baytown
Business Unit #: 814132
2. Term. The first sentence of Section 2(b) of the Lease, and only that sentence, is
hereby deleted and the following is inserted in its place -
Upon the expiration of the Initial Term on May 20, 2013, Tenant shall have the
right to extend this Lease for three (3) additional, five (5) year terms (each
extension is referred to as a "Renewal Term"); provided that the Tenant is not in
default of any of the provisions of this Lease at the time of renewal, with the final
Renewal Tenn expiring May 20, 2028.
Landlord and Tenant hereby acknowledge that Tenant has exercised the first Renewal
Term, which will expire on May 20, 2018, leaving a balance of two (2) Renewal Terms.
3. One -Time Rent Increase. On May 1, 2018, the monthly rent shall increase one
time by an amount equal to fifteen percent (15%) of the monthly rent in effect for the
immediately preceding month in addition to the regular percentage rent increase that is scheduled
to occur pursuant to the Lease on the same date. Following such increase, the monthly rent shall
continue to adjust by fifteen percent (15%) every five (5) years thereafter pursuant to the terms
of Section 2(b) of the Lease.
4. Signing Bonus. Tenant will pay to Landlord a one-time amount of Seven
Thousand and 00/100 Dollars ($7,000.00) for the full execution of this First Amendment
("Signing Bonus"). Tenant will pay to Landlord the Signing Bonus within sixty (60) days of full
execution of this First Amendment.
5. Governmental Approvals. If requested by Tenant, Landlord will execute, at
Tenant's sole cost and expense, documents required by any governmental authority in
connection with any development of, or construction on, the Property, for the purpose of
constructing, maintaining and operating communications facilities, including without limitation,
tower structures, antenna support structures, cabinets, meter boards, buildings, antennas, cables,
equipment and uses incidental thereto.
6. Ratification.
a) Landlord and Tenant agree that Tenant is the current tenant under the Lease, the
Lease is in full force and effect, as amended herein, and the Lease contains the entire agreement
between Landlord and Tenant with respect to the Property.
Site Name: Baytown 2
Busmess Unit #: 814132
b) Landlord agrees that any and all actions or inactions that have occurred or should
have occurred prior to the date of this First Amendment are approved and ratified and that no
breaches or defaults exist as of the date of this First Amendment.
C) Landlord represents and warrants that Landlord is duly authorized and has the full
power, right and authority to enter into this First Amendment and to perform all of its obligations
under the Lease as amended.
7. Notices. Tenant's notice address as stated in Section 11 of the Lease is amended
as follows:
TENANT'S PRIMARY CONTACT Crown Castle GT Company LLC
c/o Crown Castle USA Inc.
Attn: Legal Real Estate Dept.
2000 Corporate Drive
Canonsburg, PA 15317
8. Remainder of Lease Unaffected. The parties hereto acknowledge that except as
expressly modified hereby, the Lease remains unmodified and in full force and effect. In the
event of any conflict or inconsistency between the terms of this First Amendment and the Lease,
the terms of this First Amendment shall control. This First Amendment may be executed
simultaneously or in counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same agreement.
[Execution Pages Follow]
Site Name: Baytown 3
Business Umt M 814132
This First Amendment is executed by Landlord as of the date first written above.
LANDLORD:
CITY OF BAYTOWN
By:
Print Name:
Title:
[Tenant Execution Page Follows]
Site Name: Baytown
Business Unit M 814132
This First Amendment is executed by Tenant as of the date first written above.
TENANT:
CROWN CASTLE GT CON PANY LLC,
a Delaware limited liability company
LM
Print Name:
Title:
Site Name: Baytown
Business Unit M 814132