Item 12 - Delhi Center Lease - New Library Branch

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LEASE AGREEMENT BETWEEN THE CITY OF SANTA ANA AND THE DELHI CENTER THIS LEASE AGREEMENT (the "Lease") is made and entered into by The Delhi Center, a California nonprofit benefit corporation ("Lessor" or "Delhi"), and the City of Santa Ana, a charter city and municipal corporation organized and existing under the Constitution and laws of the State of California ("Tenant" or "City") (collectively referred to as the "Parties"), under the following terms and conditions: RFCTTAT,S A. The Parties entered into a Ground Lease Agreement ("Ground Lease") dated September 5, 2000, as amended, by which the City leased real property to the Delhi Center for construction of a Community Center to be operated by Delhi for the duration of the Ground Lease. This facility is known as The Delhi Center. B. The Ground Lease remains in effect through September 5, 2040, subject to further extension through 2050. C. The Parties intend to enter an agreement wherein the Lessor would agree to lease approximately 2,465 square feet of space at the Delhi Center to the City of Santa Ana for purposes of providing public library services. 1. Description of the Leased Premises. Delhi hereby leases to City the premises at the Delhi Center encompassing rooms 101, 102, and 103 for a total of approximately 2,465 square feet, plus the immediately adjacent exterior space for an outdoor patio, all as referred to herein as the "Premises" and shown on Exhibit A (the "Property"). 2. Term, Occupancy, Termination. (a) Term. The term of this Lease shall be ten (10) years, commencing with the City taking possession on March 1, 2023 (the "Commencement Date") with the option for up to two (2) five-year renewals, exercisable by mutual agreement of the Parties and in writing by the City Manager and the City Attorney, unless earlier terminated as provided herein. (b) Occupancy. City may, upon execution of this Lease by Delhi and City, occupy the Premises on the Commencement Date subject to all terms and conditions of this Lease. Upon delivery of first month's rent, Delhi shall deliver the keys and possession of the Premises to City. (c) Termination. This Lease may be terminated by the City upon ninety (90) days written notice of termination. At the termination of this Lease, City shall surrender the Premises to Delhi in the condition required by this Lease. 3. Rent. The initial rent for the first twelve (12) months of this Lease including a pro- rata share of common area maintenance ("CAM"), as described below in Section 6, shall be a Page 1 of 9