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HomeMy WebLinkAboutLease AgCOMMERCIAL BUILDING LEASE THIS LEASE, dated for reference purposes only on is made and entered into, to commence on the 1st day of the 4 oruhE-,-,20?2 ,20 by and between KITTITAS COUNTY, a subdivision of the State of Washingto( hereinafter referred to as the LESSOR, and G.R. Wales lnvestments LLG, a Washington Limited Liability Gompany, hereinafter referred to as the LESSEE, WITNESSETH: Lessor does hereby lease to Lessee, and Lessee hereby leases from Lessor, that certain real property (parcel numbers 18374,133734, 193734, and 043734) legally described in EXHIBIT *A'n (legal description) annexed hereto and by this reference incorporated herein (the "Property"). Said Premises are located in the City of Ellensburg, County of Kittitas, State of Washington. This Lease is made in accordance with chapters 2.B1KCQ Ch.36.34 RCW; and Ch. 59.12 RCW, and is subject to the terms, covenants and conditions herein set forth. Lessee covenants as a material part of the consideration for this Lease to keep and perform each and all of the said terms, covenants and conditions by it to be kept and performed. 1. TERM. The term of this Lease shall be for five (5) years and will commence on the 1't day of lenUAlL , 2023 and terminate on the last day of January 2028, except as provided hereunder. USE. a. Lessee, during the term of this Lease, shall use the Premises for a bowling alley, restaurant, bar and entertainment facility. The Premises includes three (3) tax parcels; 133734,183734 and 043734. The Lessor shall have the right to use the parking areas on Parcels 133734 and 043734 (hereinafter the "Parking Lots") during the term of this lease. Lessor shall not be required to compensate Lessee for the use of the Parking Lots. This right of use of the Parking Lots will last for the entire term of the lease and, assuming Lessor exercises the option to purchase set forth below in section 4, for an additional two (2) years after the termination of this lease. After the end of the seven (7) years of free use Lessor shall have the first option to lease the Parking Lots by paying market rent for the lease of the Parking Lots. Any such lease of the parking lots shall be reduced to writing and shall be for a term not to exceed 15 years.. The Lessor shall have the right to use the meeting rooms within the building on Parcel Number 183734 for up to 24 days per year of the lease term. This right of use of the Meeting Rooms will last for the entire term of the lease and, assuming Lessor exercises the option to purchase set forth below in section 4, for an additional two (2) years after the termination of this lease. After the end of the seven 2 PAGE 1 KITTITAS COUNTY (7) years of free use Lessor shall have the first option to lease the meeting rooms on a periodic basis by paying market rent for the lease of the meeting rooms. 3. RENT: a. Lessee agrees to pay Lessor as Rent, without notice or demand, the annual sum as described herein in advance, on or before the first day of each and every successive calendar year during the term hereof, except that the first and last month's rent shall be paid upon the execution of this Lease. Rent shall be $.20 per square foot for 21,000 square feet, equaling $4,200 per year. b. Lessee's rent, as set forth in the preceding paragraph, is also subject to a Leasehold Tax pursuant to lhe Leasehold Tax provisions of the State of Washington set forth in chapter 82.29A RCW, and so the Lessee shall also be responsible for paying the tax of 12.84 percent of the rent amount in addition to the rental amount described in the previous paragraph. c. Said total rent, including the leasehold excise tax amount, shall be paid to Lessor, without deduction or offset, in lawful money of the United States of America, at the following location: Kittitas County Auditor 205 West Sth, Room 105 Ellensburg, Washington 98926 Or at such other place as Lessor may from time to time designate in writing. d. Lessor shall receive rent as stated above and shall be responsible for real estate taxes, Property liability insurance and maintenance, subject to the Lessee's obligations for insurance and basic maintenance as set out below, incurred by reason of Lessee's ownership and/or operation of the Premises. 4. FIRST RIGHT TO PURCHASE,As a material part of the consideration for the entry into this Lease, Lessor grants to Lessee the exclusive option to purchase Building subject to the following terms and conditions: 4.1 Exercise of Option. Lessee may not exercise its option to purchase the Premises until the fourth year of the Lease Term. Thereafter, Lessee may exercise its option at any time during the remaining term of this lease subject to the requirements of this paragraph 4. Lessee must give Lessor notice of Lessee's intent to exercise its option to purchase in writing. 4.2 Purchase Price. The option purchase price shall be Eight Hundred Sixty Thousand Dollars ($860,000.00). 4.3 Payment of Purchase Price. In the event Lessee exercises its option to purchase as provided for above Lessee shall pay the option price in cash at closing. PAGE 2 KITTITAS CO["INTY 4.4 Glosing. Closing will occur not less than the end of the term of this lease. During the period between Lessee's exercise of its option to purchase and closing this Lease shall remain in full force and effect. At closing, Lessor agrees to furnish Lessee with a policy of title insurance and pay real estate excise tax, if any. Lessor and Lessee shall each be under an obligation to share in one half of the normal and customary closing costs. ln the event Lessee exercises its option to purchase, Lessee purchases the building 'AS lS'and without warranty of any kind from Lessor. 5. LATE CHARGES. Lessee here by acknowledges that late payment by Lessee of Rent or other sums due hereunder will cause Lessor to incur costs not contemplated by this Lease, the exact amount of which may be difficult to ascertain. Such costs include, but are not limited to, processing, accounting, and late charges. Accordingly, if any installment of Rent or any sum due from Lessee shall not be received by Lessor or Lessor's designee within ten (10) days after said amount is due, then Lessee shall pay to Lessor a late charge equal to ten (10%) percent of such overdue amount. Acceptance of such late charges by Lessor shall in no event constitute a waiver of Lessee's default with respect to such overdue amount, nor shall it prevent Lessor from exercising any of the other rights and remedies granted hereunder. UTILITIES: The Lessee shall payfor all water, sewer service, electrical service, gas service telephone service, internet service, garbage and trash removal and all other services and utilities supplied to the Premises, together with any taxes thereon. Any utility extensions requested by the Lessee shall be subject to advance review by the Lessor. USES PROHIBITED. Lessee shall not do or permit anything to be done in or about the Premises nor shall Lessee bring or keep anything therein which will in any way increase the existing rate of or affect any fire or other insurance upon the Premise or the contents of any building thereon, or which would cause a cancellation of any insurance policy covering any part of said Premises or its contents. Lessee shall not do or permit anything to be done in or about the Premises which will in any way obstruct or interfere with the rights of other tenants or occupants of the Property or injure or annoy such other tenants or occupants, nor shall Lessee use or allow the Premises to be used for any improper, immoral, unlawful or objectionable purpose, nor shall Lessee cause, maintain or permit any nuisance in, on or about the Premises. Lessee shall not commit or allow to be committed any waste in or upon the Premises. THIS SECTION INTENTIONALLY LEFT BLANK MAINTENANCE. REPAIRS AND ALTERATION OF PREMISES. a. Lessee's Obliqations. Lessee shall, during the term of this Lease, keep the Premises in good order, condition and repair. Lessee shall keep the Premises free of all debris, weeds and brush for the term of this Lease. Lessee shall reimburse b 7 8. L PAGE 3 KITTITAS COt,'NTY Kittitas County for any costs incurred in the event that the County Weed Authority or Kittitas County Department of Public Works undertakes noxious weed or vegetation control measures. Lessor shall incur no expense nor have any obligation of any kind whatsoever in connection with maintenance of the Premises. Lessee accepts the Premises in "AS lS" condition. Any improvements to the Premises which are necessary for the Lessee to demise, occupy and use the Premises for the purposes set forth in this Lease shall be done at Lessee's sole cost and expense in accordance with the terms of this Lease. b. Lessee Not to Commit Waste. Lessee agrees that it will not commit waste and that it will keep said premises in a safe, sanitary, neat, presentable, and otherwise good condition, and in general shall comply with allthe applicable governmental rules, ordinances and regulations as may be required or imposed by such authorities on said premises and shall comply with any direction pursuant to law of any public officer or officers who shall be empowered to enforce local, state and federal rules, regulations and ordinances upon the Lessee with respect to the said Premises or the use, occupancy, or control thereof, and shall not suffer any improper or offensive use of said Premises. Surrender. Upon the Termination Date or earlier termination of this Lease and in the event of the acquisition of the lmprovements by Lessor, Lessee, at Lessee's sole cost, shall (i) promptly and peaceably surrender to Lessor the Premises and lmprovements clean and free of debris and in good order and condition; (ii) repair in a good and workmanlike manner any damage to the Premises or the Airport by the removal of Lessee's personal property; (iii) deliver to Lessor all keys and other items integral for access and operation of the lmprovements; and (iv) remove all movable personal property and trade fixtures and signage that are not owned by Lessor; provided that Lessee must obtain Lessor's prior written consent to remove any such property if Lessee is in default under this Lease or if such removal may impair the structure of any building. Upon the Termination Date or earlier termination of this Lease, including, but not limited to, termination for abandonment of the Premises, all property that Lessee leaves on the Premises shall conclusively be deemed to have been abandoned and may be appropriated, sold, stored, destroyed, or othenruise disposed of by Lessor without notice. and without any obligation to account, to Lessee or any other person, provided that the disposition of lmprovements shall be as provided in herein. Lessee shall pay to Lessor all expenses incurred in connection with the disposition of such property in excess of any amount received by Lessor from such disposition. d. Lessor's Rights. lf Lessee fails to perform Lessee's obligations under this Article 9, Lessor at its option may (but shall not be required to) enter upon the Premises, after ten (10) days prior written notice to Lessee, and put the same in good order, condition and repair, and the cost thereof together with interest thereon at the rate of twelve (12Yo) percent per annum shall become due and payable as additional rental to Lessor together with Lessee's next rental installment. c PAGE 4 KITTITAS COUNTY e. Alterations and Additions. (1) During the term of the Lease, Lessee is to proceed diligently with the improvements and business plan outlined in Lessee's Request For Proposals which is attached hereto and incorporated herein by this reference; provided , however the timeline in that proposal is hereby modified to provide for a grand opening of the facility within 18 months of January 1,2023 (2) Lessee, at Lessee's sole cost and expense, shall pay any and all costs necessary to construct any facilities to be used on the Premises by Lessee. (3) Before commencing any work relating to alterations, additions and improvements affecting the Premises or Common Areas, Lessee shall notify Lessor in writing of the expected date of commencement thereof. Lessor shall then have the right at any time and from time to time to post and maintain on the Premises such notices as Lessor reasonably deems necessary to protect the Premises and Lessor from mechanic's liens, materialmen's liens or any other liens. In any event, Lessee shall pay, when due, all claims for labor or materials furnished to or for Lessee at or for use in the Premises. Lessee shall not permit any mechanic's or materialmen's liens to be levied against the Premises for any labor or material furnished to Lessee or claimed to have been furnished to Lessee or to Lessee's agents or contractors in connection with work of any character performed or claimed to have been performed on the Premises or at the direction of Lessee. Lessee shall not undertake any alterations or additions to the Premises without first obtaining the appropriate permits from any governmental agency having jurisdiction over improvements to the building. (4) All alterations, improvements or additions which may be made on the Premises subsequent to Lessee's first occupation of the Premises, shall become the property of Lessor and remain upon and be surrendered with the Premises at the expiration of the Lease term unless the purchase option provided for in paragraph 4 is exercised. 10. DAMAGE AND DESTRUCTION. a. ln the event that currently existing improvements on the Premises are damaged by over 50% or destroyed, by any cause whatsoever, whether or not such damage or destruction is covered by any insurance, this Lease shallterminate. b. All property and improvements placed upon or made to the Premises shall be at Lessee's sole risk. Any property remaining on or about the Premises after Lessee's vacation thereof may be disposed of by Lessor as Lessor determines. LIENS. Lessee shall keep the Premises, Common Areas, Property, and the building(s) in which the Premises are situated, free from any liens arising out of any work 11. PAGE 5 KIfiITAS COUNry performed, materials furnished, or obligation incurred by Lessee. Lessor may require, at Lessor's sole option, that Lessee shall provide to Lessor, at Lessee's sole cost and expense, a lien and completion bond in an amount equalto one and one-half (1-112) times the estimated cost of any improvements, additions, or alterations in the Premises which Lessee desires to make, to insure Lessor against any liability for mechanic's and materialmen's liens and to insure completion of the work. 12.ASSIGNMENT AND SUBLETTING. a. By Lessee. Lessee shall neither voluntarily nor by operation of law, assign, transfer, mortgage, pledge, hypothecate or encumber this Lease or any interest therein, and shall not sublet said Premises or any part thereof, or any right or privilege appurtenant thereto, or allow any other person (the officers, employees, agents, servants, and invitees of Lessee excepted) to occupy or use said Premises or any portion thereof, without the prior written consent of Lessor. Any aSsignment or subletting done without Lessor's written approval shall be void, and shall, at the option of the Lessor, constitute a default under the terms of this Lease. b. Bv Lessor. Lessor reserves the right to assign this Lease and/or all rights of Lessor for any purpose to any third party whereupon Lessee shall then and thereafter render all performance under this Lease to such assignee except as to any and all residual obligations to Lessor. INSURANCE. Lessee shall obtain and maintain in force during the term of this agreqment a comprehensive liability insurance policy, which provides protection for bodily injury (including death) and property damage. Said insurance shall provide coverage by the Lessee to any officers, agents, employees, invitees or permiftees of the Lessee, and shall name the Lessor as co-insured. Lessee shall provide the Lessor with a copy of said insurance policy. a. The Lessee's liability insurance policy shall at a minimum have the following provisions: (1) Premises and leased area liability coverage in an amount not less than $1,000,000 each occurrence. Lessee may provide this insurance under a blanket policy, provided that said insurance shall have a Lessor's protective liability endorsement attached thereto. 13, (2)Provision for not less than thirty (30) days advance written notice to Kittitas County regarding any material change or termination of the policy. lf Lessee shall fail to maintain said insurance, Lessor may, but shall not be required to, procure and maintain the same, but at the expense of Lessee. b. The limit of any such insurance shall not, however, limit the liability of Lessee hereunder. PAGE 6 KITTITAS COUNTY c. Proof of insurance shall be in a form acceptable to and approved by the County as Lessor. A certificate of insurance naminq the Countv, its elected officers and employees as additional insureds. and naming the Gounty as a certificate holder shall accompany this Lease for signature. d. No contract shall form until and unless a copv of the certificate of insurance. in the amount required. is attached hereto. e. Lessee hereby releases Lessor of and from every and all right, claim and demand that Lessee may hereafter have against Lessor, its successors or assigns, arising out of or in connection with any loss or losses occasioned by fire and such items as are included under the normal extended coverage clauses of insurance policies, and does hereby waive all rights of subrogation in favor of insurance carriers against Lessor arising out of such losses sustained by Lessee in or to the said Premises and leased area. 14. HOLD HARMLESS. a. Lessee hereby agrees to defend, indemnify and hold harmless the County (Lessor), its elective and appointed officers and employees, from and against any and allclaims or demands whatsoever arising out of any loss, damage, or injury to persons or property resulting from the Lessee's use or occupancy of the Premises, Leased Area and Common Areas. lt is further expressly provided that no liability shall attach to the County by reason of entering into this Lease, except as expressly provided herein. b. This hold harmless and indemnification provision shall extend to any and all claims arising from Lessee's use of the Premises and Leased and Common Areas or from the conduct of its business or from any activity, work or things which may be permitted or suffered by Lessee in or about the Premises. This hold harmless and indemnification provision shall further apply to any and all claims arising from any breach or default or performance of any obligation on Lessee's part to be performed under the provisions of this Lease arising from any negligence by Lessee or any of its officers, agents, contractors, employees or invitees, and from any and all costs, attorney's fees, expenses and liabilities incurred in the defense of any such claim or any action or proceeding brought thereon. c. Lessee hereby assumes all risk of damage to the property or injury to persons in or about the Premises from any cause and Lessee hereby waives all claims in respect thereof against Lessor except for when the said damage or injury arises out of the sole negligence of Lessor. d. Lessee hereby agrees that Lessor shall not be liable for injury to Lessee's business or any loss of income therefrom or for damage to the goods, wares, merchandise or other property of Lessee, Lessee's officers, agents, employees, invitees, customers or any other person in or about the Premises; nor, unless through its own negligence, shall Lessor be liable for injury to the person of Lessee, Lessee's employees, agents, customers or other invitees, whether such damage or injury is PAGE 7 KITTITAS COUNTY caused by or results from fire, steam, electricity, gas, water or rain or from the breakage, leakage, obstruction or other defects of pipes, sprinklers, wires, appliances, plumbing, or from any other cause, whether said damage or injury results from conditions arising upon the Premises or upon other portions of the real Property of which the Premises are a part or from other sources or places, and regardless of whether the cause of such damage or injury or the means of repairing the same is inaccessible to Lessor or Lessee. e. Lessor shall not be liable for any damages arising from any act or negligence of any other Tenant, if any, of the Property of which the Premises are a part. t. Concurrent Negligence: Notwithstanding the provisions above, in the event of the concurrent negligence of the Lessee and Lessee's Associates on the one hand and that of Lessor and Lessor's Associates on the other hand, which @ncurrent negligence results in injury or damage to persons or property and relates to the use, occupation, construction, alteration, repair, addition to, subtraction from, improvement to or maintenance of the Premises, then: Lessee's obligation to indemnify Lessor as set forth herein shall be limited to the extent of Lessee's negligence, and that of Lessee's Associates, including Lessee's proportional share of costs, attomeys'fees, and expenses incurred in connection with any claim, action or proceeding brought with respect to such injury or damage; and Lessor's obligation to indemnify Lessee as set forth herein shall be limited to the extent of Lessor's negligence, and that of Lessor's Associates, including Lessor's proportional share of costs, attorneys'fees, and expenses incurred in connection with any claim, action or proceeding brought with respect to such injury or damage. THE LESSOR AND LESSEE SPECIFICALLY AGREE THAT THE PROVISIONS OF THIS SECTION 8 ALSO APPLY TO ANY CLAIM OF INJURY OR DAMAGE TO THE PERSONS OR PROPERry OF THE LESSOR AND LESSEE'S RESPECTIVE EMPLOYEES, AND LESSOR AND LESSEE, AND EACH OF THEM, SEPARATELY ACKNOII/LEDGES AND AGREES THAT, AS TO SUCH CLAIMS, EACH AS TO THE OTHER DOES HEREBY WAIVE ANY RIGHT OF IMMUNITY WHICH THEY MAY HAVE UNDER INDUSTRIAL INSUMNCE (TITLE 51 RCW AS AMENDED AND UNDER ANY SUBSTITUTE OR REPLACEMENT STATUTE). THIS WAIVER AND AGREEMENT WAS SPECIFICALLY NEGOTIATED BY LESSOR AND LESSEE AND IS SOLELY FOR THE BENEFIT OF LESSOR AND LESSEE AND THEIR SUCCESSORS AND ASSIGNS AND IS NOT INTENDED AS A WAIVER OF EITHER'S RIGHTS OF IMMUNITY UNDER SAID INDUSTRIAL INSURANCE FOR ANY OTHER PURPOSE. 15.NON-DISCRIMINATION: To the extent required by law, Lessee, for itsell its personal representative, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as follows: a. No person, on the grounds of race, color, religion, sex, age, marital status, handicap or national origin, shall be unreasonably excluded from participation in, denied the PAGE 8 KITTITAS COUNTY benefits of, or be otherwise subjected to discrimination in Lessee's personnel policies and practices or in the use or operation of Lessee's services or facilities. b. Lessee agrees that in the construction of any improvements on, over or under the premises and the furnishing of services thereon, no person, on the grounds of race, color, religion, sex, maritalstatus, handicap, age or national origin, shall be unreasonably excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination. c. Lessee hereby assures that no person shall be excluded from participation in, denied the benefits of or othenryise discriminated against in epnnection with the award and performance of any contract, including leases and agreements, covered by 49 CFR Part 23 on the grounds of race, color, national origin or sex. 16. NOTICES. Any notice or demand given by one party to the other in connection with this agreement shall be in writing and shall be sent postage prepaid by United States certified or registered mail, return receipt requested, to the addresses hereinbelow stated, orto such other place as may from time to time be otherwise designated, as follows: (a) lf to Lessor, addressed to: Kittitas County Auditor 205 West Sth, Room 105 Ellensburg, Washington 98926 (b)lf to Lessee, addressed to: C.R. Wales lnvestments LLC c/o Ryan Wales PO Box 1681 Ellensburg WA 98926 Upon a change of address, the party whose address has changed shall notify the other party in writing within Ten (10) days of the date the change is to become effective. Notice shall be deemed to have been received on the date of receipt as shown on the return receipt. Notice need be sent to but one Lessee where the Lessee is more than one person. 17.ATTORNEY FEES. ln case Lessor shall bring suit to recover any Rent or other charges due hereunder, or for breach of any provision of this Lease, or to recover possession of the Leased premises, or if Lessee shall bring any action for any relief against Lessor, declaratory or othenryise, arising out of this Lease, the prevailing party shall recover reasonable attorney fees which shall be determined and taxed by the court as part of the costs of such action. HOLDING OVER. lf Lessee remains in possession of the Premises or any part thereof after expiration of the term herein with the express written consent of Lessor, such occupancy shall become a tenancy from month to month at a rental in the amount of the last monthly Rent, plus all other charges payable hereunder, and upon all other terms 18. PAGE 9 KITTITAS COUNTY hereof applicable to a month to month tenancy, until such time as the parties may enter into another Lease agreement under such agreement's stated terms and conditions. 19. ENTRY BY LESSOR. Lessor reserves and shall at any and all reasonable times have the right to enter the Premises to inspect the same and to submit the Premises to prospective purchasers or tenants and post notices of non-responsibility and for any other purpose that Lessor, in its sole discretion, deems necessary; PROVIDED, however, that the business of Lessee shall not be interfered with unreasonably. a. Upon entry by Lessor, Lessee hereby waives any claim for damages, injury, inconvenience to or interference with Lessee's business, any loss of occupancy or quiet enjoyment of the Premises and any other loss occasioned thereby. b. For each of the aforesaid purposes, Lessor may have and retain a key with which to unlock all doors in, upon and about the Premises, excluding Lessee's vaults, safes and files, and Lessor shall have the right to use any and all means which Lessor may deem proper to open said doors in an emergency in order to obtain entry to the Premises, without liability to Lessee except for any failure by Lessor to exercise due care for Lessee's property. c. Any entry to the Premises obtained by Lessor by any of said means, or otheruvise, shall under no circumstances be construed or,deemed to be a forcible or unlawful entry into, or a detainer of, the Premises, nor shall such entry be deemed an eviction of Lessee from the Premises or any portion thereof. LESSEE'S DEFAULT. The occuffence of any one or more of the following events shall constitute a default and breach of this Lease by Lessee. 20. a. Lessee's abandonment of the Premises. b. Lessee's failure to make any payment of Rent or any other payment required hereunder, as and when due. c. Lessee's failure to observe or perform any of the covenants, conditions or provisions of this Lease to be observed or performed by the Lessee, other than failure to pay Rent, where such failure shall continue for a period of Fifteen (15) days after written notice thereof by Lessor to Lessee; PROVIDED, however, that if the nature of Lessee's default is such that more than Fifteen (15) days are reasonably required for its cure, then Lessee shall not be deemed to be in default if Lessee commences such cure within said Fifteen (15) day period and thereafter diligently pursues such cure to completion. d. Lessee's making of any general assignment or general arrangement for the benefit of creditors, or the filing by or against Lessee of a petition to have Lessee adjudged a bankrupt, or the filing of a petition for reorganization or arrangement under any law relating to bankruptcy, unless, in the case of a petition filed against Lessee, the same is dismissed within Sixty (60) days. PAGE 10 KITTITAS COUNTY e The appointment of a trustee or a receiver to take possession of substantially all of Lessee's assets located at the Premises or of Lessee's interest in this Lease, where possession is not restored to Lessee within Thirty (30) days. f . The attachment, execution or other judicial seizure of substantially all of Lessee's interest in this Lease, where such seizure is not discharged within Thirty (30) days. g. ln the case of Lessee's insolvency or bankruptcy, or any assignment for the benefit of creditors or the appointment of a receiver for the Lessee, this Lease shall be immediately forfeited and shall be of no further force and effect, and the Trustee in Bankruptcy, Receiver, or Assignee for the benefit of creditors shall have no rights whatsoever in the Lease or in the demised Premises. 21. LESSOR'S REMEDIES IN DEFAULT. a. ln the event that Lessee shall fail to comply with any of Lessee's commitments, duties or responsibilities under this Lease or any of its conditions or terms as herein stated, Lessee shall be in default or breach of this agreement. At any time thereafter, Lessor may terminate this Lease by giving Thirty (30) days written notice of the conditions or terms being violated. lf said failures are not corrected within the Thirty (30) day period, this Lease may be terminated and the Lessor shall be entitled to peaceably retake possession of the premises, provided the Lessee shall have the right to remove improvements as herein provided. ln addition to the provisions hereinabove, and/or as an alternative or cumulative remedy, Lessor may, at its sole election, pursue any other action, redress, or remedy now or hereafter available to Lessor under the laws of the State of Washington, including its Landlord-Tenant laws. b. Notwithstanding the foregoing, at any time after Lessee's default, when in accord with Washington law and with or without notice or demand, and without limiting Lessor in the exercise of a right or remedy which Lessor may have by reason of such default or breach, Lessor may take the following actions: (1 ) Terminate Lessee's right to possession of the Premises by any lawful means, in which case Lease shall terminate and Lessee shall immediately surrender possession of the Premises to Lessor. In such event, Lessor shall be entitled to recover from Lessee all damages incurred by Lessor by reason of Lessee's default, including but not Iimited to the following: a. Costs of recovering possession of the Premises; b. Expenses of reletting, including necessary renovation and alteration of the Premises; c. Reasonable attorney's fees; d. The worth (at the time of award by the court having jurisdiction) of the amount by which the unpaid Rent (and other charges and adjustments) for PAGE 11 KITTITAS COUNTY 22. 23 24 the balance of the term after the time of the court's award which exceeds the amount of such loss for the same period that Lessee proves could be reasonably avoided; and that portion of any leasing commission paid by Lessor and applicable to the unexpired term of this Lease. e. Unpaid installments of rent or other sums shall bear interest from the date due at the rate of ten (1OTo) percent per annum. (2) In the alternative, Lessor may maintain Lessee's right to possession, in which case this Lease shall continue in effect whether or not Lessee shall have abandoned the Premises. ln such event Lessor shall be entitled to enforce all of Lessor's rights and remedies under this Lease, including the right to recover the Rent and any other charges and adjustments as may become due hereunder; or, (3) Lessor may pursue any other remedy now or hereafter available to Lessor under the laws or judicial decisions of the State of Washington. DEFAULT BY LESSOR. Lessor shall not be in default unless Lessor fails to perform obligations required of Lessor within a reasonable time, but in no event later than Thirty (30) days after written notice by Lessee to Lessor specifying wherein Lessor has failed to perform such obligation; PROVIDED, however, that if the nature of Lessor's obligation is such that more than Thirty (30) days are required for performance, then Lessor shall not be in default if Lessor commences performance within such Thirty (30) day period and thereafter diligently prosecutes the same to completion. ln no event shall Lessee have the right to terminate this Lease as a result of Lessor's default and Lessee's remedies shall be limited to damages and/or injunction. SALE OF PREMISES BY LESSOR. ln the event of any sale of the Property or Premises leased by Lessor, Lessor shall be and is hereby entirely freed and relieved of all liability under any and all of its covenants and obligations contained in or derived from this Lease arising out of any act, occurrence or omission arising after consummation of such sale. The purchaser at such sale or any subsequent sale of the Property or leased Premises shall be deemed, without any further agreement between the parties or their successors in interest or between the parties and any such purchaser, to have assumed and agreed to carry out any and all of the covenants and obligations of Lessor under this Lease. WAIVER. No assent, express or implied, by the Lessor to any breach of any of Lessee's covenants, agreements, conditions or terms hereof shall be deemed or taken to be a waiver of any succeeding breach of any covenant, agreement, condition or term hereof. The subsequent acceptance of Rent by Lessor shall not be deemed to be a waiver of any preceding default by Lessee of any term, covenant, condition or term of this Lease, other than the failure of Lessee to pay the particular Rent so accepted, regardless of Lessor's knowledge of such preceding default at the time of the acceptance of such rent. PAGE 12 KITTITAS COUNTY 25. VENUE AND CHOICE OF LAW. This Lease shall be governed by the laws of the State of Washington and in the event of any litigation between Lessor and Lessee arising out of this Lease, the venue for such action shall lie in Kittitas County, notwithstanding any contrary provision of the Revised Code of Washington. 26.GENERAL PROVISIONS. a. Signs. Lessee may affix and maintain upon the glass panes and supports of the show windows and upon the exterior walls of the Premises only such signs, advertising placards, names, insignia, trademarks, and descriptive material as shall have first received the written approval of Lessor as to type, size, color, location, copy nature and display qualities. b. Auctions. Without the express written prior authorization and consent of Lessor, Lessee shall not conduct or allow to be conducted any sales by auction in, upon or from the Premises, whether said auction be voluntary, involuntary, pursuant to any assignment for the payment of creditors or pursuant to any bankruptcy or other insolvency proceeding. c. Joint Obliqation. lf there be more than one Lessee, the obligations hereunder imposed shall be joint and several. d. Marqinal Headinqs. The marginal headings and article titles to the articles of this Lease are not a part of this Lease and shall have no effect upon the construction or interpretation of any part hereof. e. Time. Time is of the essence of this Lease and each and all of its provisions in which performance is a factor. f. Successors and Assigns. The covenants and conditions, obligations and privileges herein contained, subject to the provisions as to assignment, apply to and shall be binding upon the heirs, successors, executors, administrators and assigns of the parties hereto. g. Quiet Possession, Upon payment by Lessee of the Rent reserved hereunder and upon Lessee's observation and performance of all the covenants, conditions and provisions on Lessee's part to be observed and performed, Lessee shall have quiet possession of the Premises for the entire term hereof, subject to all the provisions of this Lease. h. lnabilitv to Perform. This Lease and the obligations of the Lessee hereunder shall not be affected or impaired due to the inability by Lessor to fulfill any of its obligations hereunder, or by reason of Lessor's delay in doing so, by reason of strike, labor troubles, acts of God, or any other cause beyond Lessor's reasonable control. PAGE 13 KITTITAS COUNry i. Partial Invaliditv. Any provision of this Lease which shall prove to be invalid, void, or illegal shall in no way affect, impair or invalidate any other provision hereof and such other provisions shall remain in full force and effect. i. Gumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in equity. k. Prior This Lease contains all of the agreements of the parties hereto with respect to any matter covered or mentioned in this Lease, and no prior agreements or understandings pertaining to any such matters shall be effective for any purpose. No provision of this Lease may be amended or added to, except by an agreement in writing signed by the parties hereto or their respective successors in interest. This Lease shall not be effective or binding on any party untilfully executed by both parties hereto. l. Applicabilitv. The covenants, agreements, terms and conditions contained in this Lease shall apply to and be binding upon Lessor and Lessee and their respective heirs, executors, administrators, successor and assigns. m. lnteqration. Exhibits and Recitals are incorporated herein by this reference. This Lease embodies the entire agreement between the parties with respect to the subject matter herein contained. No amendments or modifications hereof shall be enforceable unless in writing, signed by the parties. lN WTNESS WHEREOF, Lessor and Lessee have signed their names and affixed their seals the day and year first above written. LESSOR: BOARD OF COMMISSIONERS K Chair rd Approved as to form: Prosecuting Attomey PAGE 14 K|TT|TAS CO|,.'NTY LESSEE c.R. By:Wales o,\e S Its ager Address: c/o Ryan Wales PO Box 1681 Ellensburg WA 98926 LLC srATE OF WASHTNGTON ) couNTY oF KTTTTTAS ) ) ss: On me ofis zohercre me personally appeared to own to be the duly elected, qualified and g Commissioners of Kittitas County, Washington, who executed the within and foregoing instrument and acknowledged said instrument to be the free and voluntary act and deed of said County, for the uses and purposes therein mentioned, and he on oath stated that he was authorized to execute said instrument by resolution of the Board of County Commissioners of said county, and that the seal affixed is the official seal of said County. Given under my hand and official seal the day gnd year last above written. in and for ngton Residing at tle Ct0 My Appointrflent Expires ilt ilt ilt ilt a lil ilt ilt ilt PAGE 15 KITTITAS COUNTY STATE OF WASHTNGTON ) couNTY oF KTTTTTAS ) ) ss: On this aSth day of T)p6on"rtr-er 2}Abefore me personally appeared to me Ryan Wales, known to be the qualified and acting Manager of G.R. Wales lnvestments LLC, who executed the within and foregoing instrument and acknowledged said instrument to be the free and voluntary act and deed of said company, for the uses and purposes therein mentioned, and he on oath stated that he was authorized to execute said instrument. Given under my hand and official sealthe day and year last above written. [?*u- ///w//a Nota{.FuOtic in inO for thHstate of Washington Residing at My Appointment tlu S taf,Uq) REGAN TORRIS l{otary Public Strte of Washinlton Commisslon f 20105910 lly Comm. Explrer Jul 8, 2024 PAGE 16 I. Kittitas County proposal For Development/Rehabilitation of the Bowling {Rodeo Bowt} located on Kittitas county parcel Numberc: tg3t4,L3g73F.rtg}tyl&cl13zl4 August 3'd,2A22 Project Contact lnformation: Ryan Wales PO Box 1681 Ellensburg, WA 98926 {s09} 306-3232 wales.ryan@gmail.com To Whom lt May Concern: I would like to start off by saying thank you for the opportunity to work with Kittitas County on this great and necessary project. I believe that we can provide a great place for the community while following the guidelines of the Kittitas Valley Event Center master plan. Propose/s Objective: Our goal with the bowling alley is to turn it into a thriving bowling alley that supports our community- We will provide much needed fun and safe entertainment for friends and family allyear round. In addition, we will provide meeting and gathering places for the county as well. Propose/s Organization, Team & Similar properties: The structure of the business that will be carrying out this project will be an LLC owned and managed by Ryan Wales. lcurrently own and operate Ellensburg Solar LLC which is Washington state's largest solar installation contractor with offices in Ellensburg and Liberty [ake' My wife and lalso own approximately 150 rental units in the Ellensburg area and a few commercial properties in Spokane county that we operated with a small group of employees. My wife and t also have about 15 years of combined hospitality and resta urant management experience. Development Proposal our plans to redevelop Rodeo Bowl wilr be broken down into three steps: 1) lnterior- a complete remodel of the inside. This includes will include new bowling lane equipment, flooring, business equipmen! lighting plumbing, electrical, etc. The final product will be a bowling alley with a full restaurant, two meeting rooms, and arcade area. 2) Building exterior- The exterior of the building will be redone with a new parapet wallto increase curb appealfrom University Way. A wainscotting will be added to the bottom three feet of the building and the rest of the cinderblock walls will be covered with stucco 3) Parking lots & landscaping- The existing parking tots will be either overlayed with new asphalt or seal coated depending on the contracto/s recommendation. Parking lot lights will be added for security and appeal. Existing landscaping will be cleaned up and/or replaced with new. These improvements will be entirely funded from personal funds and existing lines of credit. This project will not be subject to loan approvals or grants. Financial Proposal Our proposal to Kittitas County for taking over this property is: o Five-year lease to own option r Lease rate of.20 cents per square foot r Purchase price for all three properties at the end of five years for $SS0,OOO Timeline As we own a general contracting business we willoversee our own schedule, and we do not have to wait on funding. Our proposed schedule is: o september 2o22: close lease transaction with Kittitas countyo FalUEarly winter 2O22: Permitting remodel demolition, material ordering and redesign of interior o Winter/early spring 20ZZ/2O23: lnterior remodeling. Spring/early summ er 2O23: parking lot and landscaping worko Late summer 2023: Grand opening KVEC Use Agreement We will provide KVEC the parking lots on parcels 139734 and 043734 for Rodeo week at no cost for the first seven year. After the first seven years I(VEC will be offered to lease those parking lots at a reasonable market-based tease rate. Additionally for the first seven years KVEC or Kittitas County will be offered meeting rooms free of charge up to 24 times per year. One of our main goals with this project is to give back to the community that takes care of our family. We feel that taking this vacant bowling alley and getting it back to life will give families, individuals and CWU students a ptace to enjoy and play. This will benefit both Kittitas County and the City of Ellensburg with tax revenues, increased event space, a more appealing building on a main arterialroad, and creating more jobs. Again, I thank you for this opportunity and if you should have any questions at all please feel free to contact me at the above contact information. Sincerely, Ryan Wales 0* a8/L912A22 Ryan Wales PO Box 1581 Ellensburg, WA 98926 (soe) 306-3232 wales.ryan@gmail.com Rodeo BowlRehabilitation Follow Up Questions Thank you for your time in reviewing our proposal. Below are the answers to the follow-up questions that were requested: 1) Ryan Wales will be in charge of and responsible for all renovations and construction. We will use our general contractors license to hire subcontractors and use our existing crew as appropriate. We have completed projects in this manner numerous times for building out commercialand residential rental spaces. As for startup of the actual bowling alley and restaurant business, we will be hands on for startup and then a general manager with two assistant managers will be put into place to successfully run and operate the business. 2) The total budget for this rehabilitation project will be 52,085,000.00. This breaks down into the following categories: a. lnterior of building: lncludes complete remodel of the inside. This includes new bowling lane equipment, flooring, business equiprnent, lighting plumbing electrical, etc. Total budget for this is S1,575,000. b. Building exterior: The exterior of the building will be redone with a new parapet wall to lncrease curb appealfrom University Way. A wainscotting will be added to the bottom three feet of the building and the rest of the cinderblock walls will be covered with stucco. Total budget for this is 5285,000 c. Parking lot: The existing parking lots will be either overlayed with new asphalt or seal coated depending on the contractor/s recommendation. Parking lot lights will be added for security and appeal. Parking lots will also be equipped with EV charging for electric vehicles. Total budget for this is 5150,000. d. Landscaping: Existing landscaping will be cleaned up and replaced with new. Total budget for this is 575,000. 3) Financing: The construction improvements will be financedlguaranteed with cash funding and a line of credit through Cashmere Valley Bank. Approximately S1,000,000 will be funded through existing cash funds. The remaining funds can be guaranteed through the line of credit at Cashmere Valley bank but most likely will funded through cash by the time those funds are necessary. We will provide bank statements and line of credit details upon request. 4) The annual marketing, operations, and other management costs of Rodeo Bowl will depend on the total revenue that is generated. Assuming an annual revenue of 52 million to start, the operating costs should be approximately 5600,000-5800,000. This cost would be covered by the revenue that is brought in by the business. a. More detailed operating projections will be made upon approval of our proposal and the county is welcome to review these. b. The business should cover these operating costs but if there was a deficit this would be covered by personalfunds from other businesses that we own. Personal and business tax returns provided to the county would provide this assurance and are available upon request provided it stays confidential. 5) After the 5-year period and exercising a lease to purchase agreement: a. The long-range plan for the building is for it to operate as a bowling alley and restaurant as in the original proposal. There should not be any reason that the originalproposal becomes unfeasible but if there was, we would work with the county to find a solution in both parties' best interests. b. Our original proposal conforms to the Event Center Master Plan and if anything were to change, we would expect to work with the county to insure it still conforms to the master plan. c. A deed restriction or something similar to guarantee it continues to conform with the Master Plan is acceptable. The only idea on that would be to possibly but an expiration date on the restriction 20-30 years out in case something out of our control changes the market or neighborhood. I am sure we can make this work and agreeable for both the county and us. 6) This was not a question but a possible concern that we heard may arise. The concern was that we would create competition with the county for event/meeting space at the fairgrounds. This is not our intent, and we would like to help were needed and benefit everyone involved. lf a noncompete agreement would ease any fears of these we would be happy to entertain the idea. Thank you again for the opportunity and if you have any questions at all please feel free to reach out to me and we will get them answered right away. Sincerely, Ryan Wales Kittitas County Request for Proposals (RFP) Development of the Bowling Alley/Festival Hall Structure and Properties located on the Kittitas Valley Event Center in Ellensburg, Washington Proposals due August 3, by 5 pm PST care of: Patti Stacey, Director Kittitas County Solid Waste & Facilities Maintenance c/o County Commissioners' Office 205 West Fifth Street, Suite 108 Ellensburg, WA 98926 patti. stacey@co.kittitas.wa. us K .r-'t i (KVEC) Central Washington Univdsity Kittibs County FairgDund O.A O.5 1 Mil€s Request for Proposals (RFP) Kittitas County Bowling Alley/Festival Hall Development Kittitas County issues this Request for Proposals (RFP) for a lease, lease with option to buy, or purchase for remodeling or redeveloping the Bowling Alley (Rodeo Bowl) structure and properties to be a multi-use facility in accordance with the Kittitas Valley Event Center (KVEC) Master Plan. Potential Kittitas County purchased the Bowling Alley in 2015 as it was within the "footprint" of the possible expansion of the KVEC Fairgrounds property. The adopted 2016 KVEC Master Plan describes the structure as a future Festival Hall, intended to provide meeting/conference room space that can be used for a wide variety of events during the Fair and also during the rest of the year, with related supporting amenities including a kitchen to allow use as a banquet and party hall, and any other reasonably compatible uses. The Bowling Alley properties straddle the boundaries of the KVEC (Kittitas County Fair and Ellensburg Rodeo) and Central Washington University (CWU), both of which offer significant potentials. Kittitas Vallev Event Center (KVEC) From the first organized Kittitas County Fair in 1885 to the modern 5-day event held each Labor Day weekend, the Fair has always been about agriculture. Each year, as in 1923, the KVEC hosts agricultural exhibits and competitions, a 4-day rodeo, and a gathering of Yakama Indians on the grounds. The Ellensburg Rodeo opens every Labor Day weekend along with the Kittitas County Fair. The Ellensburg Rodeo has grown from a local competition among ranch hands to the professional event of today with over 500 contestants and prize money in excess of $250,000. Within the Pacific Northwest the Ellensburg Rodeo is second in size only to the Calgary Stampede in Calgary, Alberta, and is considered to be one of America's top 25 rodeos. KVEC facilities are used year-round for a variety of other activities including equestrian competitions, arts and crafts shows, parties and banquets, lectures and presentations, and commercial promotions. Major transportation corridors including I-90, US-2, and US-12 to the west and east, and I- 82, l-182, and US-97 to the north and south, defines KVEC's market influence area. I-90 is the primary market corridor since a survey of attendees indicated 27% came from western Washington and 4% from eastern Washington. Central Washington's 64% share of attendees, by comparison, came from Yakima, Kittitas, and Chelan Counties as well as an extended draw from Grant, Douglas, and Benton. The remaining5% came from Canada, California, Oregon, Idaho, and other areas. Fair and Rodeo attendance in 2019 was an estimated 63,000 persons ranking KVEC 12th in attendance statewide. The population of the 9 counties in KVEC's primary market area will increase from 4,380,684 persons in 2015 to 5,362,956 persons by 2O4O or by 982,27 2 persons or 22%. KVEC can expect to increase its annual Fair and Rodeo attendance by similar percentages over the forecast period if it's activities and programs remain attractive to event-goers, competitive with other Washington fairs and rodeos, and it's facilities increase capacity, functionality, and amenities in accordance with the adopted 2016 KVEC Master Plan. Central washinston University (CwU) CWU's 2OI9-2O2O enrollment was 14,918 full and part-time students including 900 post- graduate degree students. Kittitas County Bowling Alley RFP 1 CWU academics include more than 135 majors in nationally and/or regionally distinguished programs in music, geology, paramedicine, physics, and education with regionally and nationally recognized faculty for collegiate teaching in mathematics, physics, geology, music, and chemistry. CWU's 5 top majors and awarded degrees include Elementary Education and Teaching, General Psychology, Criminal Justice/Safety Studies, Business Administration, and Social Sciences. Approximately 93% of all CWU students are from Washington State including I,224 from Kittitas County and 893 from Yakima County as well as 1,960 from King County, 1,217 from Pierce County, and 722 from Snohomish County. Student activities include more than 125 clubs, organizations, and associations, and 13 varsity athletic teams including 6 men's varsity sports, and 7 women's varsity sports in nationally ranked football, basketball, and rugby teams that compete in the Great Northwest Athletic Conference (GNAC). More than 3O% of CWU students participate in intramural sports including 500 students in 23 sports clubs. CWU housing includes 2,800 on-campus residents living in 17 residence halls, 5 apartment complexes, and 14 Living Learning and Theme communities. Bowlins Alley,/Festival Hall - the adopted 2016 KVEC Master Plan acquires property, reworks existing fair and rodeo structures, expands on-site parking and pedestrian amenities, develops new facilities including an indoor arena, exposition hall, and RV park. Subject to results of this RFP, the adopted Master Plan proposed to retrofit the Bowling AIIey's commercial kitchen, lounge, meeting room, and bowling alleys to provide a large meeting, presentation, banquet, and party hall for use year-round and during the KVEC Fair and Rodeo. The concept envisioned something along the Iines of a western heritage themed 'Planet Hollywood' that markets local residents, college students and their families, and tourists year-round as well as participants and attendees during the annual Fair and Rodeo. Properties The Bowling Alley offering includes 3 separate properties that Kittitas County purchased in March of 2015 for $550,000 Bowlinq Alley Tax Parcel ID 183734 & L93734 - are located at 830 North Poplar Street in Shoudy's Second Addition, Lots 1-3, Block 67 that is 150 feet wide by 140 feet deep or 21,000 square feet or 0.48 acres. The property is bound on the west by North Poplar Street, on the north by East 9th Avenue, on the east by a residential property, and the south by an alley. The 15,221 square foot concrete block masonry bearing wall structure was built in 1958 to house a bowling alley with a commercial kitchen, sales store, office, and party room. The building is 1-story, 10 feet tall Class C construction in fair to average condition. The County repaired the roof in 2016 and otherwise secured the structure. All original equipment, including the bowling alleys, pin sorting equipment, kitchen equipment, and furniture, remains in the building. The building was partially remodeled (925 square feet) in April of 2008 for $82,011. The building is accessed from North Poplar Street and East gth Street with 13 on-street 90-degree parking stalls provided along North Popular Street and 10 stalls on East 9th Avenue frontage, and 1 1 stalls of 30-degree off street one-way angled parking lot along the east side of the building or 44 stalls in total. 2 Kittitas County Bowling Alley RFP -r-- !){h i\venuc ..! Srlcs storc f llowllng lanes reusable for activYies O[f rtrcet parkinS Existing Bowling Alley Floorplan 1 \ 1 I J ParkiDg l i i I l l l 3 Comnrerclal kir(hen Party foont Kittitas County Borvling z\iley ttFP Existing interior conditions 4 Kittitas County Bowling Alley RFP The property is zoned Highway Commercial (c-H) thar is intended to accommodate diversified commercial establishments including a broad range of commercial uses that serve the community with retail, personal and general services, and office uses but excluding super scale retail over 60,000 square feet of floor area. Permitted uses include restaurants, bars, and brewpubs, coffee houses, and espresso bars, hotels and motels, and conference centers. The zone includes standards and guidelines to enhance appearance and functional compatibility with surrounding uses. The C-H zone has no minimum lot area, frontage, or base density standards but a maximum height of 35 feet. The minimum setbacks are 10 feet for the front yard, none for rear yard, and none feet for side yard. Offices must provide 1.0 off-street stall per 300 square feet, restaurants and bars 1.0 off- street stall per 200 square feet of gross floor area (GFA), hotels and motels 1.0 off-street stall per guest room, and conference facilities 0.25 off-street stall per person of maximum occupancy established by the fire marshal. Off-street Parkine Lot Tax Parcel O43734 - is located on North Poplar Street in Shoudy's Second Addition, Lot 16, BIock 67 that is 50 feet wide by 140 feet deep or 7,000 square feet or 0.16 acres. The property is south and across the alley from the Bowling Alley bound on the west by North Poplar Street, on the north by the alley, on the east by a residential single family property, and on the south by East 8th Avenue. The property has been improved with 34 parking stalls (17 stalls on each side) of 90- degree alignment on an asphalt surface accessed from East 8th Avenue and the alley The property, and the remainder of the blocks between East 8th and 9th from North Poplar to North Maple Street, is zoned Residential Office by the City of Ellensburg (R-O) that is intended to serve as a transition zone separating more intensive uses from single-family residential districts by allowing a variety of housing types including detached single-family dwellings, cottage housing, townhouses, and multifamily; and office uses that are compatible in scale and character with permitted residential uses. Permitted uses include restaurants, bars, and brewpubs, coffee houses, and espresso bars if located adjacent to a street corner and within a mixed-use building. The zone provides standards and guidelines to ensure new infill development will be compatible with the scale and character of existing development. The R-O zone has no minimum lot area, frontage, or base density standards but a maximum height of 35 feet that can be increased by 2 feet if 50o/o of the roof area is devoted to a green roof. The minimum setbacks are l5 feet for the front yard, 20 feet for rear yard, and 10 feet for side yard. Off-street parking requirements vary depending on the number of bedrooms where 1.2 off-street stalls are required for studios, 1.5 per 1-bedroom units, and 1.0 per bedroom for 2-bedroom units and larger. Offices must provide 1.0 off-street stall per 300 square feet, and restaurants and bars 1.0 off-street stall per 200 square feet of gross floor area (GFA). Off-street Parking Lot Parcel 133734 - is a triangular parcel located north across East gth Avenue from the Bowling Alley Shoudy's Second Addition in a Portion of Lot 9, Block 68. The property is bound on the northwest by East University Way, on the northeast by the original right-of-way of the Chicago Milwaukee St Paul & Pacific (CMSP&P) Railroad that was abandoned for the Iron Horse/John Wayne Trail, and on the south by East 9th Avenue. The property is 17,7lO square feet or 0.41 acres. The property is currently used as a 41- stall parking lot accessed from East 9th Avenue. 5Kittitas County Bowling Alley RFP n Bowling Alley Properties 6 Kittitas County Bowling Alley RFP The east portion of the property is zoned Highway Commercial (C-H) with the same use authorizations and development regulations described above. The west portion of the property is zoned Public Reserve (P-R) that is a special use classification established to provide existing and future areas where public uses, such as, but not limited to, governmental, educational, recreational, cultural, and other public uses operated by a public entity like the KVEC may be allowed to develop. P-R uses may be unique and may involve a combination of uses not permitted outright in any other zoning districts and may include viable options for the adaptive reuse of surplus public facilities provided new uses can be integrated with the surrounding communities in a compatible manner. The P-R zone does not have a minimum lot area, maximum density, but a maximum height of 35 feet within 100 feet of the Residential Office (R-O) zone south of East 9th Avenue that can be increased by 2 feet if 5O% of the roof area is devoted to a green roof. The minimum setbacks are 10 feet for the front yard but none for side or rear yard across from the Bowling Alley C-H zone and 15 feet for the front yard, 20 feet for rear yard, and 10 feet for side yard across East 9'n Avenue from the R-O zone. P-R parking requirements for a public use would be the same as the C-H zone where offices must provide 1.0 off-street stall per 300 square feet, restaurants and bars 1.0 off- street stall per 200 square feet of gross floor area (GFA), hotels and motels 1.0 off-street stall per guest room, and conference facilities 0.25 off-street stall per person of maximum occupancy established by the fire marshal. The three properties - include 0.48 acres in the Bowling Alley parcels, 0.16 acres in the off-street parking lot on North Poplar Street, and 0.41 acres in the triangular parking lot on East gth Avenue or 1.05 acres in total. The three properties include the 44 stalls provided on the Bowling Alley property, the 34 stalls provided in the off-street parking lot on North Poplar Street, and the 41 stalls provided on the triangular property on East gth Avenue or a of total I 19 stalls or 1 stall per 128 square feet of gross building area (GBA) of the Bowling Alley structure.) All three properties can enter into a development agreement with the City of Ellensburg that may vary permitted uses, densities, intensities, heights, building sizes, setbacks, design standards, and other particulars. All three properties are in a Seismic Category C, FIRM Zone C, and subject to FEMA Flood Map 5302340002C. All three properties are within Hospital District 1, Ellensburg School District, Kittitas Valley Fire & Rescue District (#2), and PUD Commercial District 3. Submittal requirements Pronosals must meet all of the followins RFP requirements - failure to do so may result in a proposal's disqualification, as will be determined by the Selection Committee at the Committee's sole discretion. 1. Cover letter - including contact person, company name, address, telephone, and email. 2. Proposer's organization - including method of ownership, management structure, years in business, list of properties and businesses, capital assets, financial capabilities. 3. Proposer's team - including resumes with references and responsibilities of your team such as; owners, project manager, architect, contractor, business operator, and other staff especially who will be responsible for ensuring the proposer adheres to the implementation of the 7Kittitas County Bowling Alley RFP development and financial proposals, and operating use agreement with KVEC. 4. Similar properties or businesses - if any, to that proposed for the Bowling Alley properties including date of purchase, development, or operation, ownership and method of financing, physical and financial condition, photos of the exterior and interior furnishings and improvements, and any criminal or civil complaints. Specify whether the organization retained ownership of each property's development or sold to third parties - if sold to third parties, identify what percentage of all developments. 5. Development pronosal - including_ conceptual descriptions and illustrations (and not architectural working drawings) for retrofitting the existing Bowling Alley structure and,/or redeveloping the property including uses and activities, site and parking plans, building plans and elevations, and Iandscape buffers with existing neighboring single-family residential properties. The proposal may as an option and if the proposer is interested, retain some or all of the existing bowling alley for bowling activities instead and,/or along with meeting, presentation, banquet, and party spaces and activities envisioned in the Festival Hall concept 6. Financial proposal - including the proposer's terms for a lease, lease with option to buy, or purchase of portions or all of the Bowling Alley properties. The Board of County Commissioners have set the minimum lease price at $.16/sqft per year of ground area. In addition, at no time will the sale price of the property be less then the County has invested in the property. 7. KVEC use aqreements - including the proposed terms for making the Bowling Alley/Festival Hall parking Iot and meering room space available during the annual Fair and Rodeo. 8. Timeline- including time schedules and calendar dates for completing financial lending packages, zoning and development code approvals, design and bid documents, construction, occupancy, and business startup necessary to implement the proposal. 9. Voiding a proposal selection - the BOCC reserves the right to void the proposal selection and award the project to another proposing party or cancelling the RFP altogether if the selected proposal is not implemented within the assured or a reasonable time schedule or calendar date. Submittal format The proposal must be organized in the order listed in the submittal requirements listed above in at least 1l-point font comb bound on 8.5x11 inch paper without dividers or separators. The proposal may imbed images or photos of proposal designs or illustrations, or photos of comparable projects within the text or in a separate attachment on 8.5x11 inch paper. Submission method One, I hard copies of the proposal submitted by mail or delivery to Patti Stacey, Director, Kittitas County Solid Waste & Facilities Maintenance, c/o County Commissioners' Office, 205 West Fifth Street, Suite 108, Ellensburg, WA 98926 by the date and time listed on the front cover of this RFP. In addition digital copy (pdf) of the proposal is to be submitted by email attachment to Patti Stacey, Director, Kittitas County Solid Waste & Facilities Maintenance, Following business day of the date listed on the front cover of this RFP in care of: patti. stacey@co. kittitas. wa. us 8 Kittitas County Bowling Alley RFP The County will not accept proposals submitted by facsimile. Responses to this RFP shall be prepared at the sole cost of the proposer and do not obligate the county in any form. Selection criteria Proposals will be judged by the Selection Committee and ultimately by the Board of County Commissioners (BOCC) based on the extent to which a proposal meets the following criteria: 1. Development proposal - equals or exceeds the amount of meeting, conference, party room, and assembly space currently provided in the 15,221 square foot Bowling Alley. 2. Financial proposal - At no time shall the proposal be less than the minimums set forth by the Board of County Commissioners. 3.Ugc-Bfalgsal - guarantees the proposed Festival Hall or proposed facility space will be available for KVEC events during the annual Fair and Rodeo, and on a first come first serve basis to KVEC during the rest of the year with advanced notice and agree rental terms. 4. Proposal qualitv - including description or plans of the design of improvements or constructions, market theme of the business operation, and promotional enhancement as it relates to the KVEC site and brand. 5. Svnereies - including the extent to which the proposal implements KVEC's Master Plan, supports CWU student and resident interests, adheres to City of Ellensburg's Comprehensive Plan, buffers or compliments available property uses, and otherwise realizes sufficient public benefits. Selection process The Board of County Commissioners has appointed a Selection Committee. Based on the results of the review of the proposal materials that are submitted, the Selection Committee will make a recommendation to the Kittitas County Board of Commissioners (BOCC) who, at their sole discretion, will decide if and who satisfies RFP requirements. The BOCC reserves the right to reject all proposals, if in the BOCC's opinion none of the proposals meet RFP requirements and/or promote the public benefits envisioned for the Bowling Alley property in accordance with the KVEC Master Plan. Eligibility This RFP is available to all private, nonprofit, or public parties that demonstrate, in accordance with RFP requirements, that the party has the experience and ability to implement their proposal. Kittitas County Board of Commissioners (BOCC), KVEC staff, and Selection Committee members and their immediate families are not eligible. Contact and questions Proposers should register their interest in this RFP with Patti Stacey, Director, Kittitas County Solid Waste & Facilities Maintenance, patti.stacev@co.kittitas.wa.us to be kept informed of any addendums or questions. Questions can only be submitted bv email to the party named above at least 5 business days before the proposal due date listed on the front cover of this RFP. Answers to all questions will be emailed to all parties who register with the party identified above. No communication shall occur regarding this RFP, including requests for information, with any County representative other than the nartv named above. Failure to comply with Kittitas County Bowling Alley RFP 9 this provision may result in the proposer's submittal being removed from consideration. Property tour Proposers must email Patti Stacey, care of email above, if they want to physically tour the Bowling Alley building. Public records washingron state Law (RCW42.56 - Public Records Act) requires public agencies in Washington to promptly make public records available for inspection and copying unless they fall within the specified exemptions in the Act. Proposals made to this RFP are considered public records. Subject to the following paragraph, submittals will be available for inspection and copying by the public on conclusion of the Jurying process and BOCC selection. If a proposer considers any portion of their proposal to be protected under the law, the proposer shall clearly identify on the page(s) affected such words as "confidential" or "proprietary" or "business secret". The proposer shall identify the affected page number(s) and location of any material to be considered confidential. If a request is made for the disclosure to such material, the County will determine whether the material to be considered is confidential under the law. If the material is not exempt from public records law, the County will notify the proposer of the request and allow the proposer 10 days to take whatever action it deems necessary to protect its interests. If the proposer fails or neglects to take such action within the 10 days, the County will release the portion of the proposal deemed subject to disclosure. By submitting a proposal, the proposer assents to the procedure outlined above and shall have no claim against the County on account of action taken under this procedure. 1t I rittitas County Bowling Alley RFP