HomeMy WebLinkAboutordinance.council.078-81FORM ~0 C.f. HOECKEL ~. 8, & L, CO.
RECORD OF PROCEEDINGS
100 Leaves
(Series of i981)
AN ORDINANCE APPROVING THE TERMS OF AN AGREEMENT WITH RED ROOF
INNS PERTAINING TO THE LEASE WITH AN OPTION TO PURCHASE THAT
PREMISES CONSISTING OF APPROXIMATELY FOUR (4) ACRES AND THE
IMPROVEMENTS THEREON LOCATED ON HIGHWAY 82~ IN THE CITY OF ASPEN,
COUNTY OF PITKIN, STATE OF COLORADO, COMMONLY KNOWN AS THE "PLUM
TREE INN" PREMISES AND AUTHORIZING AND DIRECTING THE MAYOR TO
EXECUTE THE SAME ON BEHALF OF THE CITY OF ASPEN; SAID AGREEMENT
PROVIDING FOR INITIAL LEASE TERM OF FIVE (5) YEARS WITH AN OPTION
TO PURCHASE' FOR THE SUM OF $2.5 MILLION AND AN OPTION TO RENEW THE
INITIAL TERM FOR AN ADDITIONAL FIVE (5) YEAR PERIOD WITH A
COMMITMENT TO PURCHASE FOR THE SUM OF $3.4 MILLION
WHEREAS, Red Roof Inns, Inc. has proposed to the City Council
an agreement, a copy of which is annexed hereto and incorporated
herein as Exhibit "A", to lease for a five (5) year initial term
with an option to purchaser that property currently owned by the
City of Aspen consisting of approximately fouri~(4) acres and the
improvements thereon, located on Highway 82, in the City of Aspen,
County of Pitkin, commonly known as the "Plum Tree Inn', premises,
said agreement containing the following basic provisions;
1. Red Roof Inns, Inc. will lease the premises for an ini-
tial term of five (5) years, with rental payments during
the first and second lease years in an amount of Two
Hundred Thousand Dollars ($200,000.00) per year, payable
quarterly and commencing on the Rent Commencement Date
(the date that the premises are open for business to the
public or one hundred thirteen (1i3) days from the
approval of the lease by the City~ whichever date first
occurs); during the third through fifth leaSe years~
rental payments will be in the amount of Two Hundred
Fifty Thousand Dollars ($250,000.00) per year, payable
month ly.
2. During the initial term, Red Roof Inns will have the
option to purchase the premises for $2.5 million.
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3. Red Roof Inns, Inc. will conu~it to constructing the
improvements and golf pro shop set forth and depicted in
Exhibits "C" and ~'D" of the agreement, at a cost of not
less than Five Hundred Thousand Dollars ($500,000.00).
4. Red Roof Inns, Inc. will have the option of extending
the initial term for an additional five (5) years,
rental payments during the renewal term (6th through
10tn lease years) in an amount of Three Hundred Thousand
Dollars ($300,000.00) per year,'payabie monthly.
5. During the renewal term, Red Roof Inns, Inc. will be
obligated to purchase the Plum Tree premises at a pur-
chase price of $3.4 million; and
WHEREAS, the City Council has determined that it is in the
best interest of the City of Aspen to enter into the aforesaid
agreement and desires to approve the terms thereof and authorize
and direct the Mayor to execute the same on behalf of the City of
Aspen.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF ASPEN~ COLORADO:
Section 1
The terms and conditions of that agreement annexed hereto and
incorporated herein as Exhibit "A" are hereby approved and, sub-
ject to approval as to form by the City Attorney, the Mayor is
hereby authorized and directed to execute the same on beha±~ of
the City of Aspen.
Section 2
If any provision of this ordinance or the application thereof
to any person or circumstance is held invalid, such invalidity
shall not affect other provisions or application of the ordinance
which can be given effect without the invalid provision or appli-
2
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cation, and to this end the provisions o~ this ordinance are
declared to be severable.
Section 3
T~at a public hearing De held on this ordinance on the ~
day o~ ~/~-Z/-~<>~~ ~ i981~ at 5;00 P.M. in
the City Council Chambers, Aspen City Hall, Aspen, Colorado.
INTRODUCED, READ AND ORDERED published as provided by law by
the City Council of the City of Aspen, Colorado, at its regular
meeting held at the City of Aspen on y/~~c~%J ~ ,
ATTEST;
?
Kathryn S~t~och /
City Cler~
FINAr,r,¥ adopted, passed and approved on the~.~,~
~/~~~ , 198i.
Mayor
~TTEST:
day of
3
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STATE OF COLORADO )
) ss
COUNTY OF PITKIN )
CERTIFICATE
I, Kathryn S. Koch, City Clerk of Aspen, Colorado,
do hereby certify that the above and foregoing ordinance was
introduced, read in full, and passed on
reading at a regular meeting of the City Council of the
City of Aspen on ~ ?, !9 ~,__ and published
in the Aspen Times a weekly newspaper of general circul-
ation, published in the City of Aspen, Colorado, in its
issue of ~ /~ , 19._~'~ and was finally adopted
and approved at a regular meeting of the City Council on
~-~ , 19 ~, and ordered published as
Ordinance No. _ ~ , Series of 19.~, of said City, as
/
provided by law.
IN WITNESS WHEREOF, I have hereunto set my hand and
the sea]. of said City of Aspen, Colorado, this
day of ~ , 19 .~.
c~EAL
Kathyrn S./Koch, 'City Clerk
Deputy Ci'~"Cl'erk .....