VII.1. Historical Society Update; Lenz CITY OF HOPKINS
Memorandum
To: Honorable Mayor and Council Members
Mike Mornson, City Manager
From: Ari Lenz, Assistant City Manager
Kersten Elverum, Community Development Director
Don Olson, Facilities Superintendent
Date: May 3, 2022
Subject: Historical Society Update
_____________________________________________________________________
PURPOSE
Mary Romportl, Interim President of the Hopkins Historical Society will be joining us to
give an update on the Historical Society, the National Historic Registry Designation and
a facility update of 907 Mainstreet.
INFORMATION
Mary has provided some attachments related to the History of the Hopkins Historical
Society, which is celebrating 50 years and some upcoming events. She will also cover
the importance of the historic designation, give a brief update on 907 Mainstreet project
including fundraising efforts and ADA Challenges.
Don Olson, Facilities Superintendent has put together a summary of the status of capital
for 907 Mainstreet. These projects, fall under the city’s responsibilities for to maintain 907
Mainstreet (see attachments for City’s responsibilities) or are related/impacting the City’s
ability to maintain the building/asset.
Background – 907 Mainstreet History and Agreements:
The City Council approved a purchase agreement for Albert Pike Masonic Lodge located
at 907 Mainstreet in January of 2015 with the intent to preserve the building and use it to
further the mission of the City’s Historical Society by making the rich history of Hopkins
more accessible to the public. The building was appraised at the time to be worth
$685,000 the local leaders of the Albert Pike Lodge offered the property to the City for
$140,000 (attachment).
In December of 2015, the City approved a twenty-five year lease of the building with the
Historical Society (attached).
Administration
An MOU was signed on July 27, 2016 to help clarify some responsibilities as requested
by the Minnesota Historical Society as part of the grant application to finance the Historic
Structure Report (attached).
November 30, 2016 Council passed an agreement allowing minor modificati ons to be
made to the agreement to allow the Historical Society to accept a $35,000 grant matched
by $5,000 from the Historic Society for a Historic Structure Report, which was needed to
document existing conditions and serve as the basis for proposing physical changes
needed to make the building functional.
September 6, 2017 The Historical Society presented the Council with a historic structure
report (attached).
December 4, 2018 City Council honors 125th Anniversary of Hopkins and receives an
update from the Historical Society on the lodge.
June 2019, the Historical Society received a grant from the MN Historical & Cultural
Heritage Grant through the Minnesota Historical Society to design ADA compliant
restroom and entrance ramp for Hopkins Historical Center.
In 2020, a grant was submitted for construction of restroom and building entrance, due to
Covid-19 legacy grants were reduced and the grant was not awarded.
2020-2022, Application was prepared and worked on by the City, Historical Society and
MN Department of Transportation to nominate Mainstreet for the National Register of
Historic Places.
January 2022, Hopkins Commercial Historic District Mainstreet listed on the National
Park Service’s National Register of Historic Places. The area covered by the listing
includes 32 buildings along Mainstreet between 8th and 11th avenues. The National
Register of Historic Places is the official list of historic properties recognized by the
federal government as worthy of preservation for their significance in American history,
architecture, archaeology, engineering or culture. A listing in the National Register
provides opportunities for state and federal tax credits, encouraging private investment
in the revitalization of historic buildings. Preservation has been shown to enhance real
estate values, foster local business, increase foot traffic and help keep historic main
streets economically viable. More than 97,000 properties across the country, including
nearly 1,800 in Minnesota, have been listed in the National Register since the program
began in the 1960s. The City of Hopkins, the Hopkins Historical Soc iety and the
Minnesota Department of Transportation sponsored the nomination and prepared the
nomination materials.
April 12 2022, Hopkins City Council shared the news of the Historic Designation with the
community.
FUTURE ACTION
Continued discussion with Historical Society regarding needs and fundraising timeline for
907 Mainstreet.
907 Mainstreet capital items the City is responsible for per our lease agreement will be
submitted to the City’s CIP process for future consideration.
ATTACHMENTS
Submitted by HHS
The Preservation of Hopkins History – An Introduction to the Hopkins Historical Society
Gaining National Register Status for the Hopkins Commercial District
Redesigning 907 Mainstreet as the Hopkins History Center
Submitted by Don Olson, Facilities Superintendent
Capital Expenditures to Maintain the Lodge, 907 Mainstreet
Historical Documents referenced in Background Section
Purchase Agreement (2015)
Lease Agreement (2015)
MOU Operation and Maintenance of Albert Pike Lodge/History Center (2016)
Historic Structure Report (2017)
The Preservation of Hopkins History
An Introduction to the Hopkins Historical Society
Presentation to the Hopkins City Council by Hopkins Historical Society
May 3, 2022
This month the Hopkins Historical Society is 50 years old! We are celebrating 50 years of carrying out
our mission of collecting, preserving and sharing the history of Hopkins. In this coming year we plan
to work to familiarize more people about the Hopkins Historical Society (HHS), to share Hopkins
history with more people and organizations, and to increase our membership. We hope to revitalize our
organization and continue serving the Hopkins community. But first, let us review how the Historical
Society started and what it has accomplished through these 50 years.
Founding
In 1972 historic preservation was gaining great interest, and a number of historical societies were
founded in this area and across the country. The impetus for creating the Hopkins Historical Society
came from city leaders as well as residents with long ties to this area. In the Hennepin County Review,
City Manager Terry Novak publicly introduced their idea of forming a historical society and Clint
Blomquist, building inspector for Hopkins and son of an early and prominent grocery store owner on
Mainstreet, led the group as chief historian and spokesperson.
The Hopkins Historical Society’s founding members were: Myrtle Bjorklund, Clint Blomquist, Mary
Heiges, Jerre Miller, Deloris Olson, Adolph Sidla, and James Shirley. According to Mary Heiges, very
few historical accounts existed, and the initial historical research and oral histories to establish a
framework of Hopkins’ history was a community effort between the City, the local newspaper, the
Historical Society, the high school, and the library.
Through the Years
During these 50 years, the City of Hopkins and the Historical Society have partnered to house our large
and envied collection which today contains well over 10,500 photos and over 14,700 artifacts. At first,
the founding members stored donated items in their garages and basements, but in 1974 the City
offered a small, vacated house at the bottom of Hilltop Park as a museum and office. It soon became
very crowded with artifacts. When that house was to be moved to expand facilities at the park, the
Historical Society petitioned for and received permission to occupy the old South Junior High band
room in the new Hopkins Activity Center. That was in 1981, and we still maintain our Museum in that
room.
For many years, a core group of dedicated volunteers ran the day-to-day operations of the museum and
hosted a number of meetings each year for the public with historical presentations at each. They
participated in community events with informational tables, prepared a unit of Hopkins history lessons
for local schools, led tours of Mainstreet, wrote two books about Hopkins history, contributed historical
columns to the local papers, conducted invaluable oral histories of longtime local residents, and
recorded nearly every historical presentation they conducted or hosted to add to our historical archive.
They purchased up-to-date cataloging software and spent many hours entering the extensive collection
into that searchable database. Mary Raabe, one of our volunteer archivists, not only wrote well-
researched and interesting historical pieces but also solicited local authors to write columns for the
Hopkins Historical Society newsletter. And when the family of James Markham, renowned publisher
and editor of the historic Hennepin County Review newspaper, donated a complete bound set of the
papers, published between 1925 and 1959, HHS worked with the Minnesota Historical Society to
create microfilms of the issues for both of our historical archives. We still take seriously our role as the
only owner of the hard copies of that newspaper—and our current dream is to digitize them and make
this vast repository of Hopkins history fully searchable and available to the public.
Leasing the Masonic Lodge & Exhibits
In 2015, the members of the Hopkins Albert Pike Masonic Lodge #237 decided to disband and sold
their 1902 Lodge building at 907 Mainstreet to the City with the intent that the Hopkins Historical
Society should occupy the building. The Historical Society decided to name the new building the
Hopkins History Center, and that it would be beneficial to the Society and respectful of our agreements
with the City to begin using the building as all had intended – as a history museum for the Hopkins
community. In addition to participating in many town celebrations, we held two major HHS events in
the building.
In 2018 we offered tours of the building with all the Lodge furniture still intact to explain the role of
the Masons as a fraternal organization and as an active and benevolent organization in our community.
These tours were greatly appreciated by visitors who had been curious about this building on
Mainstreet.
In July 2019, we mounted a major exhibit: “Raspberries, Parades, and Royalty: 85 Years of the
Hopkins Raspberry Festival.” A committee made up of volunteers was created to research, write and
create the new exhibit, and it took over four months of hard work to create our final product. We
showcased many artifacts from our collections, as well as some loaned to us by local individuals and
businesses, as a part of the exhibit which told the story of Hopkins’ raspberry-growing industry as well
as the Festival. The event was publicized locally and in the Star Tribune, including a “Minnesota
History” column feature by Curt Brown. Our many volunteers hosted the open hours. Well over 1,000
people attended the events, and we received nothing but positive reviews.
Lodge Inaccessible
One of the major barriers to the Lodge hosting on-going exhibits is the ADA accessibility concerns.
The City has limited public access to the History Center until we are able to do the required upgrades.
The Historical Society wrote a 2019 grant on behalf of the City for drawing up plans to bring the
building up to current ADA standards. However, when we submitted a second 2020 grant request for
construction of an ADA-compliant restroom and building entrance, the Covid-19 pandemic created a
barrier to moving forward with grant funding. Funds for Legacy grants were reduced and we
unfortunately were not awarded the grant.
In spring of 2020 we were forced to close the doors to our museum to the public due to the Covid-19
pandemic. Since the school district was using the Activity Center, we decided to move our operations
to the History Center. Our director spent many hours with a team of volunteers moving materials to the
future History Center so a core group of volunteers could keep the organization moving forward. Our
board and committee meetings moved to Zoom. Research requests from town and across the country
came in and we continued to answer those. We provided historical information to the MnDOT
architectural historian who was compiling the detailed application for the Hopkins National Historic
Commercial District on Mainstreet. We also realized that this was a great time to take stock of our
organization and priorities and make plans for the future.
Hopkins Historical Society Today
Like many other non-profits, ours suffered a loss of financial contributions during 2020 and 2021, and
we had to lay off our paid director in the spring of 2021. During the statewide shutdown of museum
spaces, we worked on modernizing our Articles of Incorporation and By-Laws, and examined our
operations and financials. The Hopkins Historical Society is a 501(c)3 nonprofit organization,
currently governed by a Board of Directors of ten members. Through our membership and donors we
take in enough money monthly to cover operating expenses and fund some special projects to further
our mission. We have an endowment fund that is to be used to ensure preservation of the Society into
the future. This is our our assurance that our vast collection will be preserved for the future.
We currently have no paid employees, but we have recruited and trained a dedicated and talented crew
of volunteers who are helping us rebuild our organization after the worst of the pandemic. Our
volunteers help host Museum open hours, record collection artifacts into our database, manage
membership and donation programs, fulfill research requests from individuals and businesses, provide
answers to genealogical questions, as well as do much behind-the-scenes work that helps us keep our
organization moving forward.
In addition to photos, artifacts, and newspapers, our archive has phone directories, yearbooks,
graduation programs and school histories, historical accounts of this town and surrounding areas,
photos of all buildings in Hopkins from 1956, many scrapbooks, family, civic, and business files, and
information-rich historical maps. We also have many objects important to the history of Hopkins, such
as the Harley Hopkins desk, which was the first post office in Hopkins in the 1870s.
We are working closely with neighboring historical societies—a natural since we share so much
history. We are currently planning two events in partnership with the Minnetonka Historical Society
and have been keeping in touch with many more in order to find ways to help each other and partner on
future ventures.
We have re-activated our Building Committee whose members include five Historical Society
members, the City of Hopkins Facilities Supervisor as a liaison member between the City and HHS,
and several architects and designers from the local Wilkus Architects firm who are providing pro bono
professional services and advice. This committee is charged with coming up with a plan to renovate
the building into a museum space the community will be proud of and will be open for years to come.
The Hopkins Historical Society looks forward to continuing our partnership with the City to make the
Hopkins History Center a place to celebrate the people and events of our town where history continues
to be made every day.
Gaining National Register status for the Hopkins Commercial District
Presentation to the Hopkins City Council by Hopkins Historical Society
May 3, 2022
When plans were first introduced for a light rail passenger service line to run from Downtown
Minneapolis through Hopkins, many studies needed to be done. One concern for the Minnesota
Department of Transportation (MnDOT) was that no historically-significant landmarks be
impacted by the construction of the rail line. In studying Downtown Hopkins and surrounding
areas and learning the history of the town, consultants from the Metropolitan Council’s
Southwest Light Rail Transit project (SWLRT) recommended that the City of Hopkins apply for
National Historic District status for the Hopkins Mainstreet commercial district.
In general, to receive National Register evaluation and selection, a property must exhibit
historical, architectural, archaeological, engineering or cultural significance. A detailed report
must be submitted that outlines the history and architecture of the buildings in the designated
location and time period. The Hopkins District turned out to be Mainstreet from 8th Avenue to
midway between 10th and 11th Avenues. The period of significance was 1890-1975. Greg
Mathis from MnDOT was the lead architectural historian who meticulously described the
architecture of each building, consulted the City of Hopkins for building permits and other city
information, studied historical maps and Hennepin County property records, read the complete
Historical Society’s Hopkins Through the Years history book, and in weekly meetings requested
information from HHS historical archives and photographs. He put together a detailed
description of each building’s history and architectural elements. He also wrote a history of the
town highlighting how events shaped the character and development of Downtown Hopkins.
The 93-page application was reviewed and accepted by MnDOT, SWLRT, and the State
Historical Preservation Office (SHPO). Then it was sent to the U. S. National Park Service
department for the National Register. The entire process through acceptance took about two
years. And the Historical Society concurrently gained a new document full of historical details
about our downtown shopping area.
The Downtown Commercial District of Hopkins has been described as a cross between a small
town, a large industrial town, and anywhere in-between. The local shopkeeper might know all
his customers’ names, but the sounds of the factory whistle reminded all of the large national
companies on the edge of Downtown. The first railroads attracted the Minneapolis Threshing
Machine Company to move here. It was the “company that built the town” and the “town built
the company,” as founding HHS member Clint Blomquist liked to say. The wealthy
Minneapolis investors in MTM formed the West Minneapolis Land Company which platted the
city streets and inspired the first official name for the town. They encouraged businesses to set
up shop on Excelsior Avenue, as Mainstreet was called then. The area was no longer an
agricultural community only. In 1893, the Village of West Minneapolis was incorporated in
what we now call the Hoagie’s building—the first brick structure on the avenue, built that same
year.
People were drawn to settle in town, and as more businesses opened to serve the residents,
people from surrounding communities came here to shop. The population grew and grew, and
businesses thrived. Downtown Hopkins had everything—groceries, hardware stores, clothing
stores, launderers and tailors; lumberyards, theatres, an opera hall and a cigar-rolling shop; sweet
shops, soda fountains, cafes and bars and saloons and liquor stores; photographers and
undertakers, furniture stores, and furniture stores that were undertakers; barber shops, public
baths, pool halls, and a second-floor bowling alley; jewelers, music stores, meat markets, and
feed stores; farm implement dealers, car dealers, livery stables, blacksmiths, and a berry box
factory. People came for the handymen, contractors, realtors, banks, doctors, dentists, lawyers,
and churches. The Hopkins post office served areas all around, so even people who didn’t live in
Hopkins proper thought of themselves as being from Hopkins.
The State Championship basketball teams of 1952 and 1953 were welcomed home by throngs of
cheering fans outside Jeg’s Soda Fountain and Sweet Shop on the corner of 9th. Jeg’s was also
where WWII soldiers headed first when returning from war, only to have Mr. Jorgenson remind
them they were welcome only after they stopped home to see their mothers. The son of a
Hopkins streets department worker is credited with developing the mass production of penicillin
that saved thousands of soldier from dying of battlefield infections. One of the first female
graduates of the University of Minnesota became Hopkins’ first doctor. Her office was on the
corner of 8th and Mainstreet. The two Johnson brothers and their brothers-in-law, the two
Hovander brothers, grew their small Mainstreet butcher shop into a grocery store and then into
two supermarkets—Johnson’s Super Valu and Hovander’s. M. B. Hagen was under 20 years old
when he started a laundry and shoe shine business in an 8-foot wide “storefront” (now a
stairwell) and later became a leading area realtor who was also the largest dealer of one brand of
appliances—he not only sold them but offered a free appliance to every home buyer.
Mainstreet was part of the Yellowstone Trail, bringing early automobile cross-country traffic
through town. Traffic later increased and bumper-to-bumper travel slowed on the main street
until freeways bisected Excelsior Avenue. The coming of the large shopping malls sealed the
fate of many of our small-town shops by 1975.
But now Hopkins is lively once again. The town has residents from many diverse cultures, and
young families are drawn to the lively art scene and charming neighborhoods. The National
Historic District brings with it access to grants and loans and tax deferments that can help our
small businesses maintain and improve their buildings and operations, ensuring the future
success of our town’s historic business district. This is truly cause to celebrate Hopkins.
Redesigning 907 Mainstreet as the Hopkins History Center:
A City/Historical Society Partnership
Presentation to the Hopkins City Council by Hopkins Historical Society
May 3, 2022
2015-2016: Lease Agreement and Memorandum of Understanding
In 2015, the Hopkins Masonic Lodge, whose numbers were dwindling, decided to disband and
offered to sell their 1902 Lodge building at 907 Mainstreet to the City. There were qualifications
— including that the building not be torn down and that a civic group, preferably the Historical
Society, occupy the building. Mayor Gene Maxwell approached two members of the Society,
and they did a walk-through of the site. After further tours by the HHS Board and discussions on
both sides, a lease agreement was drawn up and signed by both parties on December 15, 2015.
A subsequent Memorandum of Understanding (MOA) on July 26, 2016, was signed to clarify the
specific responsibilities of both parties. Hopkins Historical Society was once again grateful for a
continued partnership with the City as well as for recognition of the importance of Hopkins
history to the City and the community.
2017: HHS applied for and received on behalf of the City a MN Historical and Cultural
Grant G-MHCG-1605-19740 Albert Pike Masonic Lodge: Historic Structure Report for
$35,000
Shortly after, the City and HHS undertook measures to discover work needed to create a Hopkins
History Center in the 907 Mainstreet building. The 2017 grant-funded Historical Structure
Report included appendices on structural integrity, mechanicals, and asbestos. It identified what
needed to be done to create a historical museum with archivally-safe exhibit space, storage, and
offices. The 2017 cost estimate was over $3,500,000. A subsequent report was conducted to
determine costs for a much-modified museum space, one with a lower price tag but without the
same level of protection for artifacts or all the needed repairs for infrastructure. That estimate
came to $900,000. Both the City and the Society realized this was a bigger commitment than
anticipated.
Problems cited include: asbestos throughout the building, inaccessibility to people with
disabilities (non-ADA-compliant), upper story and exhibit hall floors not structurally sound, fire
safety issues, electrical upgrades needed, water service not code compliant, a furnace and air
conditioning will need upgrading, exterior brickwork needing attention to prevent water leakage.
The lower level also has mold from previous water leakage. Don Olson, your Facilities
Supervisor, will address these issues and costs later.
However, the pluses to this location were and are significant: a location on a busy Mainstreet
with both daytime and evening foot traffic and the chance to preserve and occupy a historic
building at the main intersection of town. This is why the Masonic leaders—movers and shakers
of this area and Minneapolis—with great foresight chose this location for their Lodge. The
Historical Society will be visible to people on Mainstreet and potentially draw in foot traffic as
well as regular visitors. It makes sense for a National Historic District to have the stories and
documents of the town at hand.
April 2019: HHS applies for and receives on behalf of the City a MN Historical and
Cultural Design Grant G-MHCG-1903-23030 ADA Compliant Restroom and Entrance
Ramp for Hopkins History Center for $10,000.
Therefore, the Historical Society soon convened both a Building Committee and a Campaign
Committee to explore options for raising needed funds. After exploring revenue sources and the
steps needed to begin a fundraising campaign, the committee concluded that the Society needed
to do some groundwork to modernize the Society’s operations in accordance with more
professional business standards in order to draw the needed level of financial support.
Throughout the pandemic shut-down, the Historical Society has been busy improving its
operations and making plans to strengthen its membership numbers.
April 2019: HHS applies for and receives on behalf of the City a MN Historical and
Cultural Design Grant G-MHCG-1903-23030 ADA Compliant Restroom and Entrance
Ramp for Hopkins History Center for $10,000.
Before the pandemic, the Historical Society worked diligently to define the proposed uses for the
building, to identify problem areas in the building to be addressed, and to apply for several
Legacy grants on behalf of the City to fund site drawings and construction drawings. Legacy
grants specify that architectural firms used for historical projects must have qualifications in
working with historic sites and in designing museum spaces to accommodate exhibits and
programs and to preserve artifacts by using archivally safe materials as well as special heating,
cooling, and fire suppression systems for protection of objects, photos, and documents. The
Historical Society retained the services of MacDonald & Mack, respected architects who met the
qualifications for Legacy grant projects.
We wanted to honor our commitment to using the 907 Building as a History Center, and we
wanted the building to be accessible to all. In 2019, the following changes to the Memorandum
of Understanding (MOA) were proposed by the Historical Society:
Responsibilities of the City, 1.4 - change to read:
Seek grant funding in order to commission plans and have work done to improve access and
safety for guests and staff at the structure.
Responsibilities of the Society, 2.3 - change to read:
Work with City to obtain financing to complete necessary renovations to the structure.
Construction documents were drawn up.
Meanwhile, the City had applied for, but were not awarded, two grants for structural upgrades to
the 907 building:
January 2020: City of Hopkins
R-MHCG-1912-24054 | $10,000 | MN Historical and Cultural
Structural Reinforcement for Hopkins History Center
Summer 2020: City of Hopkins
R-MHCG-1804-22185 | $93,000 | MN Historical and Cultural
Repointing for the former Albert Pike Lodge
Then the Historical Society applied to have the ADA-compliance work completed:
Summer 2021: HHS applied for a grant on behalf of the City but lost the bid for a MN
Historical and Cultural Grant R-MHCG-2005-24748 Construct ADA Compliant Restroom
and Entrance Ramp for Hopkins History Center for $238,700.
HHS submitted an application for the construction of an ADA-compliant restroom and entrance
ramp at the rear of the building. This was when the SARS-Covid-19 pandemic struck. Grant
funds were greatly reduced—and we were not awarded the grant.
The City had already informed us that we could not use the building for visitors since it was not
ADA-compliant. Though disappointed, we understood and we came to see this as not so much a
setback as a time to reassess. Going ahead with the ADA work most certainly would have meant
delaying construction to deal with asbestos and other structural issues. We now feel we are on a
more sensible track.
The building problems will be dealt with first. Then we can continue with re-designing the
interior to serve as a museum. Our needs for the building potentially include:
• an accessible front entry. The previous plans positioned the ADA entry on the alley
side of the building—not very welcoming to those with disabilities. The front hill
will need a lift and short ramping so as not to detract from the front façade.
• a welcoming front lobby with a reception desk and a small store to one side to sell items
related to Hopkins and area history as well as locally-made goods.
• use of the main floor exhibit hall for museum exhibit space, preferably with display
cases and panels on wheels so the space can also be used for presentations to
larger groups.
• an elevator to reach all three levels. This is now considered an ADA-compliance item.
• a gathering area/work space in the back lobby
• an office
• meeting space and/or an office in the upper level
• an ADA-compliant restroom and a general restroom—perhaps located in the lower level
• storage space on the lower level. Our collection of smaller artifacts in archival boxes,
reference materials, and photo collections would be on rows of shelves; larger
items and furniture would be stored on the floor; historical clothing would hang
on racks; large photos and displays would have appropriate archival storage.
• the lower level would also need tables and desks for an archivist and volunteers to work
on the collection
• proper HVAC and moisture-control to archivally preserve our collection
• a fire-retardant “sprinkler” system that does not damage artifacts
The Hopkins Historical Society looks forward to working together with the City of Hopkins to
complete this project.
CITY OF HOPKINS
Memorandum
To:Honorable Mayor and Council Members
Mike Mornson, City Manager
From:Don Olson, Facilities Superintendent
Date:May 3, 2022
Subject:Capital Expenditures to Maintain the Lodge, 907 Mainstreet
_____________________________________________________________________
Staff update on future capital expenditures for repair and maintenance for the City’s
responsibilities of the Lodge. Also included is an estimate for asbestos abatement which is
recommended before any interior remodel/demolition occurs.
Roof
•The asphalt shingle roof was replaced 2015 prior to the city’s purchase of the Lodge.
Providing no damage occurs the roof is expected to have a 15-20 year useful life.
Estimated Cost: $30,000
Staff Recommendation: Add the roof replacement to the CIP for 2030 and review at that
time.
Masonry and Siding
•Remove the mortar joints between the adjacent buildings and replace with a flexible
joint.
•Brick and limestone mortar joints repointed where mortar is cracked or loose to protect
against water infiltration. It is recommended that all joints are repointed and damaged
bricks replaced.
•North side addition stucco is cracked in several areas. Stucco is recommended to be
repaired or replaced depending on the area.
•Remove paint and repair/replace damaged sandstone window sills
Estimated Cost: $100,000-$250,000 depending on scope and design
Staff Recommendation: Repair the areas needed to protect the building from water
damage as soon as possible. Wait for building design to be completed before repointing
all masonry, stucco replacement, and sill repair/replacement.
Public Works- Facilities
Doors, Windows, and Trim
•Front and rear entrances redesigned and replaced.
•Windows glazed and operation repaired. Remove existing storm windows and replace
with storm windows to match the current window design.
•Replace, repair, or repaint current trim depending on condition.
Estimated Cost: $50,000-$100,000 depending on design
Staff Recommendation: Repair trim work where necessary to prevent further damage.
Wait for building design to be completed for door and window replacement.
Grounds and Storm Water Management
•Retaining wall repaired and repointed
•Concrete walk and stairs repaired or replace depending on design.
•Downspout replaced and directed away from the building
Estimated Cost: $30,000-$35,000
Staff Recommendation: Replace downspout and patch concrete where needed. Wait for
building design to be completed for retaining wall repair.
Plumbing, Electrical, and HVAC
•Plumbing is in good working order, but to meet current code will need a complete
replacement to occupy the building
•Electrical is in good working order, electrical upgrades and replacements will be needed
to occupy the building
•HVAC, the building has three furnaces two were replaced recently. The third furnace
that services the basement should be replaced in the next 3-5 years
Estimated Cost: $5,000-$7,000
Staff Recommendation: Add the basement furnace to the CIP for 2025 and review at
that time. Repair HVAC, plumbing, and electrical as needed.
Interior Asbestos Abatement
Asbestos Abatement for the areas identified in the 2017 Historic Structure Report prepared by
MacDonald and Mack Architects for the Historical Society. Asbestos was found in the floor tile
mastic, ceiling textures, and attic insulation. Some areas may require further testing and
abatement depending on areas exposed during demolition.
Estimated Cost: $130,000 with a contingency of $60,000.
Future Action
Challenge with this project is many of these improvements are dependent on design/ADA
improvements. Best practice/most cost effective solution would be to do many of these at the
same time. Recommend getting an exterior design dollars into the CIP, if funds were available
to assist the Historical Society with ADA exterior improvements that would be helpful in
maintaining maintenance of the building/the City’s asset and allowing the building to contribute
fully to Mainstreet from an exterior perspective at least. Design work needs to be completed, so
repairs/replacements will not conflict with the final design.
For the maintenance work, source funds from the CIP or identify other funding. For asbestos
abatement and other needed work on interior improvements, funding still needs a source.
January 14, 2015 Council Report 2015-007
PURCHASE AGREEMENT -ALBERT PIKE LODGE
Proposed Action
Staff recommends approval of the following motion: Approve the Purchase Agreement
for the Albert Pike Masonic Lodge.
With this motion the Purchase Agreement will be executed and a closing date
established.
Overview
The Albert Pike Lodge, a fraternal association dedicated to making good men better, will
be disbanding as an organization due to dwindling membership. The local leaders of
the Albert Pike Lodge have offered the property to the City of Hopkins for a purchase
price of $140,000. The building was recently appraised at $685,000.
The terms of the sale are reasonable, and the intent of the City is to preserve the
building and use it to further the mission of the City's Historical Society by making the
rich history of Hopkins more accessible to the public.
The proposed source of funds for the purchase and legal work is a combination of the
balance of the Real Estate Purchases and Sales fund ($125,000) and CIP fund
($25,000).
Primary Issues to Consider
•What are the terms of the Purchase Agreement?
Supporting Information
•Purchase Agreement -Albert Pike Lodge
Kersten Elverum
Director of Planning & Development
Financial Impact: $150,000 Budgeted: Y/N _N_ Source: Real Estate Purchase &
Sales fund ($125,000) CIP fund $25,000
Related Documents (CIP, ERP, etc.):
Council Report 2015-007
Purchase Agreement
Page 2
Analysis of the Issues
•What are the terms of the Purchase Agreement?
The following are the major terms of the proposed Purchase Agreement:
•Purchase price of $140,000
•Earnest money in the amount of $8,000
•Property is being purchased "as is"
•Special conditions include leaving the plaque visible, incorporating a display on
the APL if the Historical Society does move into the building, and agreeing not to
demolish the building for at least 10 years
•Property taxes will be prorated to closing date
•Special Assessments will be the responsibility of the City of Hopkins
•Seller waives relocation benefits
•Closing date no later than May 1, 2015, unless a later date is mutually agreed
upon
Alternatives
The City Council has the following alternatives regarding this issue:
•Approve the Purchase Agreement as proposed
•Amend the Purchase Agreement
•Elect not to execute the agreement
PURCHASE AGREEMENT
THIS AGREEMENT, made the Effective Date (defined below), by and between the CITY OF
HOPKINS, a Minnesota municipal corporation (hereinafter "BUYER"), and ALBERT PIKE
LODGE, a (hereinafter "SELLER"),
RECITALS:
WHEREAS, SELLER is the fee owner of certain real property within the City of Hopkins,
County of Hennepin, State of Minnesota legally described in attached Exhibit A (hereinafter
"Property").
NOW, THEREFORE, in consideration of the mutual covenants, duties and obligations
contained herein the parties agree as follows:
1.RECITALS: The foregoing Recitals are a material part of this Agreement and are
incorporated herein.
2.OFFER/ACCEPTANCE: BUYER offers to purchase from SELLER and
SELLER agrees to convey to BUYER the Property, subject to the terms and
conditions herein. The contemplated conveyance herein shall include the Property
and all leases, rights, privileges, easements, improvements and fixtures all relating
to the Property. The purchase shall also include personal property on the Property
that will be determined by mutual agreement of the BUYER and SELLER at the
time of Closing (hereinafter "Personal Property").
3.PURCHASE PRICE AND MANNER OF PAYMENT: The price for the
Property and Personal Property shall be One Hundred Forty Thousand and No/100
Dollars ($140,000.00) (the "Purchase Price"). BUYER shall pay the Purchase
Price as follows:
a.Earnest money of Eight Thousand and No/100 Dollars ($8,000.00) by
cash, check or wire ( the "Earnest Money") deposited with Land Title,
2200 W County Road C, #2205, Roseville MN 55113, Tel: 651-638-
1900 (the "Title Company"). Said Earnest Money shall be a credit
towards and reduce the Purchase Price upon the occurrence of the
Closing or shall be utilized subject to the terms of this Agreement.
b.The Purchase Price, after application of credit for Earnest Money in the
amount of One Hundred Thirty-Two Thousand and No/100 Dollars
($132,000.00), shall be paid at Closing by BUYER in cash or certifiable
and immediately available funds.
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4.DEED/MARKETABLE TITLE/BILL OF SALE: Subject to performance by
BUYER, SELLER agrees to execute and deliver at the time of the Closing a warranty
deed conveying marketable title to said Property subject only to: (1) taxes not yet due
and payable and general and special assessments and any similar taxes or charges
imposed in respect of the Property; (2) those matters that may be approved ( or
deemed approved) by BUYER pursuant to Section 10.c.; (3) title exception to
which BUYER does not object to pursuant to Section 10; and (4) local, state and
federal laws, ordinances, rules and regulations, including, but not limited to, zoning
ordinances (hereinafter "Permitted Exceptions"). In addition, the parties agree to
execute all other documents reasonably necessary to transfer the Property to BUYER
free and clear of all encumbrances, except those encumbrances stated above. Lastly, at
Closing SELLER shall execute a Bill of Sale for the Personal Property.
5.POSSESSION: SELLER agrees to deliver possession of the Property to BUYER at
the time of Closing.
6.SPECIAL CONDITIONS OF CONVEYANCE:
a.The plaque that is currently above the entrance door will remain in place or be placed in
a prominent and visible location.
b.If the Property is to be used by the Hopkins Historical Society that a permanent display
area be provided for the history of the Albert Pike Lodge.
c.That the building on the Property is not demolished for a period that shall terminate the
earlier of: (i) ten (10) years from the actual Closing Date; (ii) in the event the building
on the Property is damaged by fire or other peril to the extent of greater than 50
percent of the market value of the building; or (iii) it is determined by the City of
Hopkins that the building on the property is uninhabitable. In the event the BUYER
determines to demolish the building under conditions (ii) and (iii) above, the BUYER
shall serve notice on SELLER pursuant to Section 22.b. of this Agreement, whereupon
SELLER shall have 10 days to deliver notice of contest.
7.AUTHORITY. SELLER warrants and guarantees that it is the fee owner of the
Property and has the full authority to enter into this Agreement conveying the Property.
8.RELOCATION BENEFITS: SELLER knows and understands that certain
relocation benefits may be available from the BUYER, and SELLER cannot be
required to convey real property to BUYER unless given the relocation assistance
required by the Uniform Relocation Assistance and Real Property Acquisition
Policies Act U.S.C. §4621, et seq., if any, and SELLER waives its right to
otherwise have the Property appraised, and furthermore releases BUYER from all
claims for relocation benefits pursuant to Minn. Stat. § 117.50, et seq., and U.S.C.
§4621, et seq. SELLER hereby represents and acknowledges that the above
waiver is voluntary, has not been solicited by the BUYER, is being done at the
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request of SELLER and has not been made under the threat of condemnation.
SELLER agrees to execute a waiver of relocation benefits declaration at Closing in
a form which meets the requirements of Minn. Stat. § 117.521 (b).
9.TAXES AND ASSESSMENTS: Real estate taxes due and payable in and for the
year of Closing shall be prorated between SELLER and BUYER on a calendar year
basis to the actual Closing Date. BUYER shall pay the real estate taxes due and
payable in the year following the year of Closing and thereafter. BUYER shall be
responsible for and pay all installments of special assessments levied and pending, on or
before the Closing Date, against the Property and, as of the date of this Agreement,
SELLER represents that SELLER has not received a Notice of Hearing of a new
public improvement project from any governmental assessing authority, the costs of
which project may be assessed against the Property. BUYER shall pay all special
assessments pending and levied, after the Closing Date, against the Property. SELLER
makes no representation or warranty whatsoever concerning the amount of real estate
taxes or assessments which shall be assessed or levied against the Property subsequent
to the date of this Agreement.
10. REVIEW PERIOD:
a.BUYER will have ninety (90) days from the from the Effective Date ("Review
Period") to perform, at its sole cost, title inspections and other due diligence, and
to decide, in BUYER's sole discretion, whether the Property is satisfactory.
SELLER shall, during the pendency of this Agreement, make available to BUYER,
in SELLER's offices such documents relating to the Property as BUYER may
reasonably request during the pendency of this Agreement to the extent such
documentation is in the possession or control of SELLER and personnel affiliated
with SELLER (as identified by SELLER following BUYER's request, which said
personnel are familiar with the Property).
b.During the pendency of the Agreement, SELLER, upon forty-eight ( 48) hours
advance notice, will provide BUYER or its designated representatives, at
reasonable times, access to the Property and other due diligence materials to
conduct, at BUYER's sole cost and expense, its review with respect to the
Property and the improvements thereon; provided, however, that BUYER (i) will
indemnify, defend and hold SELLER harmless from and against all costs,
expenses, losses, claims, damages and/or liabilities arising from BUYER's or any
of its agents', contractors' or representatives' negligence or misconduct in
connection with the inspection of the Property; (ii) will promptly repair any
damage resulting from any such inspections and restore the Property to its
condition prior to such inspections; and (iii) will not permit any inspections,
investigations or other due diligence activities to result in any liens being filed
against the Property and will, at its sole cost and expense, promptly discharge of
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record any such liens that are so filed or recorded. BUYER's liabilities under this
Section survive the Closing or earlier termination of this Agreement. If after
BUYER's review, if BUYER determines not to proceed with Closing then
BUYER shall send notice to SELLER during the Review Period. If BUYER
provides said notice, then this Agreement will be terminated without any
obligations surviving hereunder, except those expressly stated to survive early
termination and any Earnest Money shall be retained by the SELLER.
c.BUYER, at the cost and expense of the SELLER, will promptly order a title
insurance commitment ("Title Commitment") to be issued by the Title Company
and delivered to Purchaser. Purchaser, at its cost, may obtain a survey of the
Property ("Survey"). No later than twenty (20) Business Days following
Purchaser's receipt of the Title Commitment and Survey ("Title Review Period"),
Purchaser will deliver to Seller, in writing, any objections to the Title Commitment
or Survey ("Objections"). Prior to Closing, Purchaser may, at its own cost and
expense, obtain an update of the Title Commitment ("Title Update"). If the Title
Update discloses a title matter that was not disclosed in the Title Commitment,
Purchaser may deliver to Seller, within (10) Business Days following Purchaser's
receipt of the Title Update ("Title Update Review Period") a written statement of
Objections to any matter first disclosed on the Title Update accompanied by a
copy of the Title Update, provided that Purchaser will not have the right to object
to any matters that are Permitted Exceptions. Should Purchaser fail to timely
notify Seller of any Objections to title to the Property which are contained in the
Title Commitment, the Survey, in any Title Update, Purchaser will be deemed to
have waived such Objections and such Objections shall be deemed Permitted
Exceptions. The Title Review Period and Title Update Review Period are separate
and distinct periods from the Review Period.
d.If Purchaser notifies Seller within the Title Review Period or the Title Update
Review Period, as applicable, of Objections, then within ten (10) Business Days
after Seller's receipt of Purchaser's Objections ("Seller's Title Response Period"),
Seller will notify Purchaser in writing ("Seller's Title Response Notice") of the
Objections which Seller agrees to satisfy on or prior to the Closing, at Seller's sole
cost and expense, and of the Objections that Seller cannot or will not satisfy.
Notwithstanding the foregoing sentence and with the exception of those expenses
being assumed as part of the Purchase Price, Seller will, in any event, be obligated
to cure those Objections (i) that are Liens against the Property or (ii) are other
encumbrances that have been voluntarily placed against the Property by Seller after
the Effective Date and that will not otherwise be satisfied on or before the Closing
( (i)and (ii) collectively, the "Required Removal Items"). If Seller will not cure the
Objections to Purchaser's satisfaction, Purchaser has ten (10) Business Days
following receipt of the Seller's Title Response Notice to either (i) terminate this
Agreement by giving written notice of termination to Seller, whereupon Purchaser
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will be entitled to a return of the Earnest Money, this Agreement will be
terminated without any obligations surviving hereunder, except those expressly
stated to survive early termination or (ii) elect to close, in which case Purchaser
will be deemed to have waived such Objections and such Objections will become
"Permitted Exceptions".
e.Property "AS-IS".
1.No Side Agreements or Representations. BUYER acknowledges that
except as specifically provided in this Agreement, no person has made any
representation, agreement, statement, warranty, guarantee or promise
regarding the Property or the transaction contemplated herein or the
zoning, construction, physical condition or other status of the Property
except as may be expressly set forth in a writing signed by the parties. No
representation, warranty, agreement, statement, guarantee or promise, if
any, made by any person acting on behalf of SELLER which is not
contained in this Agreement or in another writing executed by the parties
will be valid or binding on SELLER.
11.AS-IS CONDITION. BUYER ACKNOWLEDGES AND AGREES
THAT, EXCEPT AS SPECIFICALLY PROVIDED IN THIS
AGREEMENT, SELLER HAS NOT MADE, DOES NOT MAKE AND
SPECIFICALLY NEGATES AND DISCLAIMS ANY
REPRESENTATIONS, WARRANTIES, PROMISES, COVENANTS,
AGREEMENTS OR GUARANTIES OF ANY KIND OR CHARACTER
WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR
WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO,
CONCERNING OR WITH RESPECT TO (I) VALUE; (II) THE
INCOME TO BE DERIVED FROM THE PROPERTY; (III) THE
SUITABILITY OF THE PROPERTY FOR ANY AND ALL
ACTIVITIES AND USES WHICH BUYER MAY CONDUCT
THEREON, INCLUDING THE POSSIBILITIES FOR FUTURE
DEVELOPMENT; (IV) THE HABITABILITY, MERCHANTABILITY,
MARKETABILITY, PROFITABILITY OR FITNESS FOR A
PARTICULAR PURPOSE OF THE PROPERTY; (V) THE MANNER,
QUALITY, STATE OF REPAIR OR LACK OF REPAIR OF THE
PROPERTY; (VI) THE NATURE, QUALITY OR CONDITION OF
THE PROPERTY, INCLUDING, WITHOUT LIMITATION, THE
WATER, SOIL AND GEOLOGY; (VII) THE COMPLIANCE OF OR
BY THE PROPERTY OR ITS OPERATION WITH ANY LAWS,
RULES, ORDINANCES OR REGULATIONS OF ANY APPLICABLE
GOVERNMENTAL AUTHORITY OR BODY; (VIII) THE MANNER
OR QUALITY OF THE CONSTRUCTION OR MATERIALS, IF ANY,
5
INCORPORATED INTO THE PROPERTY; (IX) COMPLIANCE WITH
ANY ENVIRONMENTAL PROTECTION, POLLUTION OR LAND
USE LAWS, RULES, REGULATION, ORDERS OR REQUIREMENTS,
INCLUDING BUT NOT LIMITED TO, TITLE III OF THE
AMERICANS WITH DISABILITIES ACT OF 1990, THE FEDERAL
WATER POLLUTION CONTROL ACT, THE FEDERAL RESOURCE
CONSERVATION AND RECOVERY ACT, THE U. S.
ENVIRONMENTAL PROTECTION AGENCY REGULATIONS AT 40
C. F. R., PART 261, THE COMPREHENSIVE ENVIRONMENTAL
RESPONSE, COMPENSATION AND LIABILITY ACT OF 1980, AS
AMENDED, THE RESOURCE CONSERVATION AND RECOVERY
ACT OF 1976, THE CLEAN WATER ACT, THE SAFE DRINKING
WATER ACT, THE HAZARDOUS MATERIALS TRANSPORTATION
ACT, THE TOXIC SUBSTANCE CONTROL ACT, AND
REGULATIONS PROMULGATED UNDER ANY OF THE
FOREGOING; (X) THE PRESENCE OR ABSENCE OF HAZARDOUS
MATERIALS AT, ON, UNDER, OR ADJACENT TO THE PROPERTY;
(XI)THE CONTENT, COMPLETENESS OR ACCURACY OF THE
DUE DILIGENCE MATERIALS OR PRELIMINARY REPORT
REGARDING TITLE; (XII) THE CONFORMITY OF THE
IMPROVEMENTS TO ANY PLANS OR SPECIFICATIONS FOR THE
PROPERTY, INCLUDING ANY PLANS AND SPECIFICATIONS
THAT MAY HA VE BEEN OR MAY BE PROVIDED TO BUYER;
(XIII)THE CONFORMITY OF THE PROPERTY TO PAST,
CURRENT OR FUTURE APPLICABLE ZONING OR BUILDING
REQUIREMENTS; (XIV) DEFICIENCY OF ANY UNDERSHORING;
(XV)DEFICIENCY OF ANY DRAINAGE; (XVI) THE EXISTENCE
OF VESTED LAND USE, ZONING OR BUILDING ENTITLEMENTS
AFFECTING THE PROPERTY; OR (XVII) WITH RESPECT TO ANY
OTHER MATTER. BUYER FURTHER ACKNOWLEDGES AND
AGREES THAT HAVING BEEN GIVEN THE OPPORTUNITY TO
INSPECT THE PROPERTY AND REVIEW INFORMATION AND
DOCUMENTATION AFFECTING IT, BUYER IS RELYING SOLELY
ON ITS OWN INVESTIGATION OF THE PROPERTY AND REVIEW
OF SUCH INFORMATION AND DOCUMENTATION, AND NOT ON
ANY INFORMATION PROVIDED OR TO BE PROVIDED BY
SELLER. BUYER FURTHER ACKNOWLEDGES AND AGREES
THAT ANY INFORMATION MADE AVAILABLE TO BUYER OR
PROVIDED OR TO BE PROVIDED BY OR ON BEHALF OF SELLER
WITH RESPECT TO THE PROPERTY WAS OBTAINED FROM A
VARIETY OF SOURCES AND THAT SELLER HAS NOT MADE
ANY INDEPENDENT INVESTIGATION OR VERIFICATION OF
SUCH INFORMATION AND MAKES NO REPRESENTATIONS AS
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TO THE ACCURACY OR COMPLETENESS OF SUCH
INFORMATION. BUYER AGREES TO FULLY AND IRREVOCABLY
RELEASE ALL SUCH SOURCES OF INFORMATION AND
PREPARERS OF INFORMATION AND DOCUMENTATION
AFFECTING THE PROPERTY WHICH WERE RETAINED BY
SELLER FROM ANY AND ALL CLAIMS THAT THEY MAY NOW
HA VE OR HEREAFTER ACQUIRE AGAINST SUCH SOURCES AND
PREPARERS OF INFORMATION FOR ANY COSTS, LOSS,
LIABILITY, DAMAGE, EXPENSE, DEMAND, ACTION OR CAUSE
OF ACTION ARISING FROM SUCH INFORMATION OR
DOCUMENTATION. SELLER IS NOT LIABLE OR BOUND IN ANY
MANNER BY ANY ORAL OR WRITTEN STATEMENTS,
REPRESENTATIONS OR INFORMATION PERTAINING TO THE
PROPERTY, OR THE OPERATION THEREOF, FURNISHED BY
ANY REAL ESTATE BROKER, AGENT, EMPLOYEE, SERVANT OR
OTHER PERSON. BUYER FURTHER CONDITION AND BASIS
WITH ALL FAULTS, AND THAT SELLER HAS NO OBLIGATIONS
TO MAKE REPAIRS, REPLACEMENTS OR IMPROVEMENTS
EXCEPT AS MAY OTHERWISE ACKNOWLEDGES AND AGREES
THAT TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE
SALE OF THE PROPERTY AND AS PROVIDED FOR HEREIN IS
MADE ON AN "AS IS" BE EXPRESSLY STATED HEREIN. BUYER
REPRESENTS, WARRANTS AND COVENANTS TO SELLER THAT,
EXCEPT FOR SELLER'S EXPRESS REPRESENTATIONS AND
WARRANTIES SPECIFIED IN THIS AGREEMENT, BUYER IS
RELYING SOLELY UPON BUYER'S OWN INVESTIGATIONS.
11.DEFAULT: If SELLER breaches any of its obligations under this Agreement
prior to Closing, BUYER at its sole discretion following fifteen (15) days written
notice to SELLER may: (i) terminate this Agreement at which time the Earnest
Money will be refunded; or ( ii) commence an action for specific enforcement of
the terms of this Agreement within one hundred eighty (180) days of the notice of
default. If BUYER breaches any of its obligations under this Agreement prior to
Closing, SELLER may, following fifteen (15) days written notice if BUYER has
not cured such breach within such fifteen (15) day period, terminate this
Agreement and retain the Earnest Money, as SELLER's sole remedy. SELLER
and BUYER acknowledge that the amount of damages in the event of BUYER's
default hereunder would be difficult or impossible to ascertain, but that the amount
of the Earnest Money is a fair estimate of such damages. Notwithstanding the
foregoing, with regard to any default by a party of any obligation that explicitly
survives Closing, SELLER and BUYER will have the right to specifically enforce
the subject terms and provisions of this Agreement and/or recover any damages to
which it may be entitled at law (including, without limitation, attorneys' fees and
7
the reasonable costs of investigation, but excluding consequential or loss profit
damages) and/or pursue any other remedy available at law or equity.
12.CITY COUNCIL APPROVAL: This Agreement is contingent upon the approval of
the City Council of the City of Hopkins. If the City Council does not approve this
Agreement, SELLER or BUYER may cancel the Agreement and SELLER shall
immediately refund to BUYER any earnest money paid herein.
13.DISCLOSURES: SELLER certifies that SELLER does not know of any wells on the
Property; provided, however, if the Property does contain wells, the cost of sealing any
wells required to be capped or sealed under Minnesota law shall be borne by SELLER.
If the well is not sealed by the Closing Date, SELLER shall escrow a sum equal to two
times the bid price form a licensed well sealing contractor to complete the sealing
process. If the Property has a septic system, SELLER agrees to provide BUYER with
water quality test results and/ or septic system certification as required state law or local
ordinance. Such test and/or certification must be provided at or before closing.
14.ENVIRONMENTAL WARRANTY: To the best of its knowledge, SELLER
warrants and guarantees that (x) no part of the Property violates any Environmental
Laws (as defined below); or (y) no Hazardous Substances (as defined below) have
been stored or generated at, released or discharged from or are present upon the
Property, except in the ordinary course of business and in accordance with all
Environmental Laws. As used herein, "Hazardous Substances" means all hazardous or
toxic materials, substances, pollutants, contaminants, or wastes currently identified as a
hazardous substance or waste in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980 ( commonly known as "CERCLA"), as
amended, the Superfund Amendments and Reauthorization Act ( commonly known as
"SARA"), the Resource Conservation and Recovery Act ( commonly known as
"RCRA"), or any other federal, state or local legislation or ordinances applicable to the
Property. As used herein, the term "Environmental Laws" shall mean all federal, state
and local environmental laws, rules, statutes, directives, binding written interpretations,
binding written policies, ordinances and regulations issued by any governmental
authority and in effect as of the date of this Agreement with respect to or which
otherwise pertain to or affect the Property, or any portion thereof, the use, ownership,
occupancy or operation of the Property, or any portion thereof, or any Seller of the
Property, and as same have been amended, modified or supplemented from time to
time prior to the date of this Agreement, including but not limited to CERCLA, the
Hazardous Substances Transportation Act (49 U.S.C. § 1802 et seq.), RCRA, the
Water Pollution Control Act (33 U.S.C. § 1251 et seq.), the Safe Drinking Water Act
(42 U.S.C. § 300f et seq.), the Clean Air Act (42 U.S.C. § 7401 et seq.), the Solid
Waste Disposal Act (42 U.S.C. § 6901 et seq.), the Toxic Substances Control Act
(15 U.S.C. § 2601 et seq.), the Emergency Planning and Community Right-to-Know
Act of 1986 (42 U.S.C. § 11001 et seq.), the Radon and Indoor Air Quality Research
8
Act (42 U.S.C. § 7401 note, et seq.), SARA, comparable state and local laws, and any
and all rules and regulations which have become effective prior to the date of this
Agreement under any and all of the aforementioned laws. The parties agree that this
environmental warranty is based on the best of the SELLER's knowledge and does not
obligate the SELLER to remedy any discovered situation beyond the SELLER's
knowledge.
15.OTHER GENERAL AND SPECIAL WARRANTIES:
a.Mechanic's Liens: SELLER warrants that, prior to the closing date, SELLER has
made any and all payments in full for all labor, materials, machinery, fixtures or tools
furnished within the 120 days immediately preceding the closing date in connection
with construction, alteration or repair of any structure on or improvement (including,
but not limited to grading and landscaping) to the Property, if any.
b.Buildings: SELLER warrants that buildings, if any, are entirely within the boundary
lines of the Property.
c.Notices: SELLER warrants that SELLER has not received any notice from any
governmental authority as to violation of any law, ordinance, or regulation. If the
Property is subject to restrictive covenants, SELLER warrants that SELLER has not
received any notice from any person or authority as to a breach of the covenants. Any
notices received by SELLER shall be provided to BUYER immediately.
d.Seller's Affidavit: SELLER warrants that it will execute and deliver the customary
Affidavit Regarding Seller at closing.
e.Restrictive Covenants Notice Of Breach: If the Property is subject to restrictive
covenants, SELLER has not received any notice as to a breach of the covenants.
16.TIME OF ESSENCE: Time is of the essence in this Agreement.
17.CLOSING DATE AND LOCATION: The performance by BUYER and SELLER
of their respective obligations under this Agreement and the delivery of the Purchase
Price, less reductions and credits, to SELLER by the Title Company, as escrow agent,
and delivery of possession of the Property to the BUYER shall constitute the closing of
the sale (the "Closing"). The Closing shall occur on or before May 1, 2015 or another
date agreed upon in writing by the parties (the "Closing Date"). The delivery of all
papers and monies shall be made at the offices of the CITY OF HOPKINS CITY
HALL and/or at the offices of the Title Company. If the Closing Date is changed, any
and all costs, if prorated in this agreement, shall be adjusted to the new closing date.
18.CLOSING COSTS: SELLER shall pay for the updating and certifying of the abstract
9
of title or registered property abstract, or providing a commitment for title insurance
policy. The BUYER shall pay for any title insurance policy. The SELLER shall pay
the cost of curing any title defects raised by BUYER in connection with its examination
of title to the Property, including but not limited to any mortgage balances and any
documentary transfer tax due in connection with this transfer of title. The BUYER
shall prepare and record the necessary deeds transferring title to that portion of
property being deeded to the BUYER at BUYER's expense. All closing fees imposed
by the closer shall be shared equally between the parties.
19.ATTRONEYS' FEES/BROKERAGE FEE: BUYER and SELLER shall each
pay its own attorneys' fees in connection with the preparation and negotiation of
this Agreement and the Closing, except that a party defaulting under this
Agreement shall pay the reasonable attorneys' fees and court costs incurred by the
non-defaulting party to enforce its rights regarding such default. Each party
represents and warrants that there are no brokerage, real estate commissions or
other similar fees related to this transaction.
20.MISCELLANEOUS TERMS:
a.Survival of Representations and Warranties. All of the representations, warranties,
covenants and agreements of the parties hereto contained in this Agreement shall
survive the Closing, for a period of two (2) years (nevertheless, the representation,
warranty, covenant and agreement in Section 6.c. of this Agreement shall survive for
the period set forth in said Section 6.c.), and shall not be merged into easements, deeds
or any other agreement.
b.Notices. Any notices to the parties herein shall be deemed to have been given or
delivered if sent addressed to the address first stated above, or to such other
address as a party may subsequently request by certified mail, facsimile or hand
delivery to the following addresses:
If to the BUYER:
If to SELLER:
City of Hopkins
1010 1st St. S,
Hopkins, MN 55343
Facsimile (952) 935-1834
Attn: City Manager
Albert Pike Lodge
907 Main St.
Hopkins MN 55343
Facsimile:
c.Additional Documents. BUYER and SELLER agree to cooperate with each other and
their representatives regarding any reasonable requests made subsequent to the
10
execution of this Agreement to correct any clerical errors in this Agreement and to
provide any and all additional documentation deemed necessary by either party to
effectuate the transaction contemplated by this Agreement.
d.Entire Agreement. This Agreement and any attached exhibits shall constitute the entire
agreement between BUYER and SELLER regarding the transactions contemplated
under this Agreement and supersedes any other written or oral agreements between
BUYER and SELLER regarding said transactions. This Agreement can only be
modified in writing signed by BUYER and SELLER
e.Binding Effect. This Agreement binds and benefits the parties and their successors and
assigns.
f Controlling Law. This Agreement has been made under the laws of the State of
Minnesota, and such laws will control its interpretation.
g.Effective Date. The effective date of this Agreement shall be the last date on which it is
executed by any party to this Agreement (the "Effective Date"). This Agreement shall
not become effective until it has been executed by all parties to the Agreement.
IN WITNESS WHEREOF, the parties herein have executed this Agreement on the day and
year first above written.
SELLER: ALBERT PIKE LODGE
Date:
Date:
11
EXHIBIT A
LEGAL DESCRIPTION OF THE PROPERTY
PID: 24-117-22-31-0016
Municipality: HOPKINS
Addition Name:
THAT PART OF LOT 11 LYING W OF A LINE RUNNING FROM A PT IN N LINE OF
SAID LOT DIS 30 97 /100 FT W FROM NE COR THEREOF TH SEL Y 105 9/100 FT TO
A PT DIS 25 88/100 FT W MEAS AT RT ANGLES FROM THE E LINE OF SAID LOT
TH CONT SLY TO A PT IN S LINE THEREOF DIS 25 88/100 FT W FROM SE COR
THEREOF ALSO THAT PART OF LOT 12 LYING E OF A LINE COM AT A PT IN N
LINE OF SAID LOT DIS 20 91/100 FT E FROM NW COR THEREOF TH SLY 105 9/10
FT TO A PT DIS 26 FT E MEAS AT RT ANGLES FROM W LINE OF LOT 12 TH
CONT S TO A PT IN S LINE OF SAID LOT DIS 26 FT E FROM SW COR THEREOF
*Legal description to be finalized at Closing.
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December 15, 2015 Council Report 2015-100
Approve Lease with Hopkins Historical Society
Proposed Action.
Staff recommends adoption of the following motion: Motion to Approve the Lease with Hopkins
Historical Society and Authorize the City Manager Signature.
Overview:
Attached is the Lease between the City of Hopkins and the Hopkins Historical Society
("Historical Society") that has been reviewed by the City staff, City Attorney and Historical
Society. Staff is requesting City Council approval of the lease and authorization for the City
Manager to enter into the lease. The term of the lease is for twenty-five (25) years with an
option for an automatic renewal for three (3) additional twenty-five (25) year terms.
The Historical Society hired a consultant to assist in obtaining grants for funding improvements
to.the building prior to moving into the facility. Granting agencies will not provide funding to
the Historical Society without a lease to use the building. The lease would also allow the
Historical Society access to the facility to start planning their move from the Activity Center to
the Masonic Lodge.
The City closed on the purchase of the Masonic Lodge in May. By purchasing the Lodge and
offering the space to the Historical Society more visibility will be provided to the Historical
Society. Mayor Maxwell and City Manager Momson have been meeting with the Bob Miller
and Rick Brausen who serve as Historical Society representatives throughout the process.
Primary Issues to Consider:
•Approval of the Lease will allow for the Historical Society to obtain grants to make the
necessary improvements to the Lodge.
Supporting Information:
•Lease
MichaelJ. Mornson
City Manager
LEASE
THIS INDENTURE of lease (hereinafter referred to as the tease") made this _ -day of November, 2015 (hereinafter referred to as the ·Effective Date"} by and between the City of Hopkins, a Minnesota municipal
corporation (hereinafter referred to as "Lessor") and Hopkins Historical Society, a Minnesota non-profit corporation
(hereinafter referred to as "Lessee"),
WHEREAS, the Lessor is a municipal corporation of th� State of Minnesota and fee owner of certain real property
located in the City of Hopkins, County of Hennepin and State of Minnesota and legally shown in red on Exhibit A
attached hereto and made a part hereof, including all buildings and site improvements located at 907 Main Street,
Hopkins, Minnesota 55343 (hereinafter referred to as the ·Premises"); and
WHEREAS, the Lessee is a Minnesota non-profit corporation operating a historical society that showcases the
history of the city of Hopkins. The Lessee has been operating for years within the Activity Center of the Lessor. The
services provided by the Lessee greatly enhance the livability of 1he city of Hopkins and is beneficial to the Lessor
and the general pubffc; and
WHEREAS, the Lessor desires to lease to the Lessee and the lessee desires to lease from the Lessor the building
located on the Premises (hereinafter referred to as the "Demised Premises") to allow for the relocation and
continuation of the historical services provided by Lessee to better serve the Lessor and the general public.
NOW, THEREFORE, the Lessor and Lessee enter Lease and agree as follows:
WITNESSETH:
1.TERM: For and in consideration of the rents, additional rents, terms, provisions and covenants herein contained,
Lessor hereby lets, leases and demises the Demised Premises for the term as follows: the initial term of the Leaseshall be twenty-five {25) years {hereinafter referred to as the ·initial Term") commencing on the Effective Date. The
Initial Term shall terminate on the twenty-fifth (25th) anniversary of the Effective Date, unless earlier terminated, as
provided for herein. On the conditions that Lessee is in compliance with the terms and obligations of this Lease and
the Lease has not been terminated, this Lease will automatically renew for three (3} additional twenty-five(25) year
terms (hereinafter referred to as the ·Renewal Tenn"; the Initial Term and each individual Renewal Term maysometimes be referred to as the "Term"), upon the same terms and conditions of this Lease, unless Lessee notifies
Lessor in writing of Lessee's intention not to renew this Lease at least sixty (60) days prior to the expiration of the
Initial Term or any Renewal Term 1hen in effect.
2.BASE RENT: Lessor reserves and Lessee shall pay Lessor, a total rental of yea�y installments of One and
No/100 Dollars ($1.00), commencing on the Effective Date and continuing on the first day of each and every
November thereafter for the next succeeding years during the balance of 1he Tenn (hereinafter sometimes referred to
as the "Base Rent"). The Base Rent payment shall also include, in addition, any amounts list ed herein as "Additional
Rent''.
3.COVENANT TO PAY RENT: The covenants of Lessee to pay the Base Rent are each independent of any othercovenant, condition, provision or agreement contained in the Lease. All rents are payable to Lessor at:
CITY OF HOPKINS
1010 1STST S HOPKINS MN 55343
Page 1 of 9
4.UTILITIES: Lessor shaU provide mains and conduits to supply water, gas, electricity and sanitary sewage to the
Premises. Lessor shall pay, when due, all charges for sewer usage or rental, garbage disposal, refuse removal,
water, electricity, gas, fuel oil, LP. gas and/or other utility services or energy source furnished to the Demised
Premises during the Term of this Lease, on the co.ndltion that such utility usage on the Demised Premises by the
Lessee is typical of Permitted Uses allowed herein, in the sole determination of the Lessor. In the event such usage
is determined by the Lessor not to be typical then the Lessee shall pay to Lessor any amounts for the excess,
atypical usage, upon demand, which any unpaid amounts shall be Additional Rents.
5.CARE AND REPAIR OF DEMISED PREMISES: Lessee shall, at all times throughout the term of this Lease,
and at its sole expense, keep and maintain the Demised Premises, In a clean, safe, sanitary and first class condition
and in compliance with all applicable laws, codes, ordinances, rules and regulations. Lessor and Lessee shall work
together in good faith to make the Premises in compliance with an ADA requirements ..
Lessor shall repair, at its expense, the structural portions of the Building, provided however where structural
repairs are required to be made by reason of the acts of Lessee, the costs thereof shall be borne by Lessee and payable by Lessee to Lessor upon demand, which any unpaid amounts shall be Additional Rent. The Lessor shall be responsible for all outside maintenance of the Demised Premises, including grounds and
parking areas, and snow and ice removal. All such maintenance, which is the responsibility of the Lessor, shall be
provided as reasonably necessary to the comfortable use and occupancy of Demised Premises during business
hours. except Saturdays, Sundays and holidays, upoo the oondition that the Lessor shall not be liable for damages
for faHure to do so due to causes beyond its control.
6.SIGNS: Any sign. lettering, picture, notice or advertisement installed on, or in any part of, the Premises and
visible from the exterior of the building on the Premises, or visible from exterior of the Demised Premises, shall be
subject to the review and approval of the Lessor and installed by Lessor at Lessee's expense. In the event of a
violation of the foregoing by Lessee, Lessor may immediately remove the same without any liability and may charge
the expense incurred by such removal to Lessee, which cost shaft be Additional Rent.
7.ALTERATIONS, INSTALLATION and FIXTURES: Except as hereinafter provided, lessee shall not make any
alteration, additions or improvements in or to the Demised Premises or add, disturb or in any way change anyplumbing or wiring therein, without the prior written consent of the Lessor. In the event alterations are required by anygovernmental agency by reason of the use and occupancy of the Demised Premises by Lessee, Lessor and lessee
shall negotiate in good faith regarding such alterations. Alterations or additions by Lessee that are consented to by
Lessor must be built in compliance with all laws, ordinances and governmental regulations affecting the Premises
and Lessee shall warrant to Lessor that all such alterations, additions or improvements shall be in strict compliance
with all relevant laws. ordinances, governmental regulations and insurance requirements. Construction of suchalterations or additions shall commence· only upon Lessee obtaining and exhibiting to lessor the requisite approvals,
licenses and permits and indemnification against liens. All alterations, installations, physical additions or
improvements to the Demised Premises made by Lessee shall at once become the property of Lessor and shall be
surrendered to Lessor upon the termination of this Lease; provided, however, this clause shall not apply to movable
equipment or fumtture owned by Lessee which may be removed by Lessee at the end of the Term of this Lease n
Lessee is not then in default. Lessor and Lessee shall negotiate in good faith regarding the payment of the costs
related to improvements or modifications to the Demised Premises required or necessary to comply with the
Americans With Disabili11es Act of 1990 (ADA}, or similar statutes or law.
8.POSSESSION: Except as hereinafter provided, Lessor shall deffver possession of the Demised Premises to
Lessee in the condition required by this Lease on the Effective Date, but delivery of possession prior to or later than
such Effective Date shall not affect the Tenn or the expiration date of this Lease. The Rent and Additional Rent shallcommence on the date when possession of the Demised Premises is delivered by Lessor to Lessee. Any occupancy
by Lessee prior to the beginning of the Term shall in all respects be the same as that of a Lessee under this Lease.
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"
,.-'-' -------------·--· 4-..
Lessor shall have no responsibility or liability for loss or damage to fixtures, facilities or equipment installed or left on the Demised Premises.
9.SECURITY AND DAMAGE DEPOSIT: None.
10.USE: The Demised Premises shall be used and occupied by Lessee solely for the purposes of advancing the
intent of the Hopkins Historical Society in providing historical information and historical services showcasing the
history of the City of Hopkins, its citizens, businesses and organizations (hereinafter referred to as the "Permitted
Usesj. The Demised Premises shall not be used by any other person or entity, except by the written consent of the
Lessor. Outside storage on the Premises of any type of equipment, property or materials owned or used on the
Premises by Lessee or its customers and suppliers shall not be permitted without written consent of Lessor. The
plaque of the Albert Pike Lodge that is currentiy above the entrance door shall remain in place or if to be re'!lOved, to
be placed in a prominent and visible location, subject to the review and approval of the Lessor. The Lessee shall also
create and maintain a permanent display area of the Albert Pike Lodge, which Albert Pike Lodge display shall beerected within the first (1 1') year of the Initial Term.
11.ACCESS TO DEMISED PREMISES: The Lessee agrees to pennit the Lessor and the authorized
representatives of the lessor to enter the Demised Premises at all times during usual business hours for the purpose
of inspecting the same and making any necessary repairs to the Demised Premises and performing any work therein
that may be necessary to comply with any laws, ordinances, rules, regulations or requirements of any pubnc authority
or of the Board of Fire Underwriters or any similar body or that the Lessor may deem necessary to prevent waste or
deterioration in connection with the Demised Premises. In addition, the Lessor may enter the Demised Premises at
all times for emergency repairs, as determined by the Lessor. In such a case, the Lessor shall attempt to provide
notice to Lessee. Nothing herein shall imply any duty upon the part of the Lessor to do any such work which, under
any provision of this Lease, the Lessee may be required to perform and the performance thereof by the Lessor shall
not constitute a waiver of the Lessee's default in failing to perform the same. The Lessor may, during the progress ofany work in the Demised Premises, keep and store upon the Demised Premises all necessary materials, tools and
equipment. The Lessor shall not in any event be liable for inconvenience, annoyance, loss of business or other
damage of the Lessee, by reason of making repairs or the performance of any work in the Demised Premises, or on
account of bringing materials, supplies and equipment into or through the Demised Premises during the course
thereof and the obligations of the Lessee under this Lease shall not thereby be affected in any manner whatsoever.
12.DAMAGE OR DESTRUCTION: In the event of any damage or destruction to the Premises by fire or other cause
during the term hereof, the following provisions shall apply:
a.If the Demised Premises is damaged by fire or any other cause to such extent that the cost of restoration, as
reasonably estimated by Lessor, will equal or exceed thirty percent {30%} of the replacement value of the Demised
Premises (exclusive of foundations} just prior to the occurrence of the damage then Lessor may, no later than the
sixtieth (60th) day following the damage, give Lessee written notice of Lessor's election to terminate this Lease.
b.If the cost of restoration as estimated by Lessor will equal or exceed fifty percent {50%) of said replacement
value of the Demised Premises and if the Demised Premises are not suitable as a result of said damage for the
purposes for which they are demised hereunder, in the reasonable opinion of Lessee, then Lessee may, no later than
the sixtieth (60tt1) day following the damage, give Lessor a written notice of election to terminate this Lease.
c.If the cost of restoration as estimated by Lessor shall amount to less than thirty percent (30%) of said
replacement value of the Demised Premises, or if, despite the cost, Lessor does not elect to terminate this Lease,
Lessor shall restore the Building and the Demised Premises with reasonable promptness, subject to delays beyond
Lessor's control and delays in the making of insurance adjustments by Lessor; and Lessee shall not be responsible
for restoring or repairing leasehold improvements of the Lessee.
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•
d.In the event of either of the elections to terminate, this Lease shall be deemed to tenninate on the date of thereceipt of the notice of election and all Rent and Additional Rent shall be paid up to that date, Lessee shall have no
claim against lessor for the value of any unexpired Term of this Lease.
e.In any case where damage to the Demised Premises, shall materially affect the Demised Premises so as to
render them unsuitable in whole or in part for the purposes for which they are demised hereunder, then, unless such destruction was wholly or partially caused by the negligence or breach of the terms of this Lease by Lessor, its
employees, contractors or licensees, the Lessee shall be responsible for the cost of said repairs and shall make
payment to the Lessor upon demand, which cost shall be Additional Rent.
13.CASUAL TY INSURANCE:
a.Lessor shall at all times during the term of this Lease, at its expense, maintain a policy or policies of
insurance with premiums paid in advance issued by an insurance company licensed to do business in the State of
Minnesota insuring the Demised Premises against loss or damage by fire, explosion or other insurance hazards and
contingencies for the full replacement value, provided that Lessor shall not be obligated to insure any furniture, equipment, machiner y, goods or supplies not covered by this Lease which Lessee may bring upon the Demised Premises or any additional improvements which Lessee may construct or install on fhe Demised Premises.
b.Lessee shall not carry any stock of goods or do anything in or about the Demised Premises which will in any
way impair or invalidate the obligation of the insurer under any policy of insurance required by this Lease.
c.Lessor hereby waives and releases all claims, liability and causes of action against Lessee and its agents,
servants and employees for loss or damage to, or destruction of, the Premises or any portion thereof1 including the
buildings and other improvements situated thereon, resulting from fire, explosion and other perils included in standard extended coverage insurance, whether caused by the negligence of any of said persons or otherwise. Likewise,
Lessee hereby waives and releases all claims, liabilities and causes of action against Lessor and its agents, servants . and employees for loss or damage to, or destruction of, any of the improvements, fixtures, equipment, supplies,
· merchandise and other property, whether that of Lessee or of others in, upon or about the Premises resulting from
fire, explosion or the other perils included in standard extended coverage insurance, whether caused by the
negligence of any of said persons or otherwise. The waiver shall remain in force whether or not 1he Lessee's insurer
shall consent thereto.
14.PUBLIC LIABILITY INSURANCE: Lessee shall during the term hereof, keep in full force and effect at its
expense a policy or policies of commercial liability insurance with respect to the Demised Premises and the business
of Lessee, in which Lessor shall be named as an additional insured with limits of liability not less than the Lessors
minimum tort liability under Minn. Stat. Ch. 466. Such policy or policies shall provide that ten (10) days written notice
must be given to Lessor prior to cancellation hereof. Lessee shall furnish evidence satisfactory to Lessor at the time
of this Lease is executed that such coverage is in full force and effect and shall provide evidence of such continued
coverage annually with the annual Rent and Additional Rent payment.
15.COVENANTS TO HOLD HARMLESS: Unless the liability for damage or loss is caused by the negligence of
Lessor, its agents or employees, Lessee shall indemnify, defend and hold hallllless Lessor, its elected officials,officers, employees and agents from any liability for damages to any person or property in or upon the Demised
Premises and the Premises, including the person and the property of Lessee and its employees and all persons in
the Demised Premises at its or their invitation or sufferance, and from all damages resulting from Lessee's failure toperfonn the covenants of this Lease. Al l property kept, maintained or stored on the Demised· Premises shall be so kept,
maintained or stored atthe sole risk of Lessee. Lessee agrees to pay all swns of money in respect ofany labor, service, materials,
supplies or equipment furnished or alleged to have been fumished to Lessee in or about the Premises, and not
Page4 of9
•
furnished on order of Lessor, which may be secured by any Mechanic's Materialmen's or other lien to be discharged
at the time performance of any obligation secured thereby matures, provide that Lessee may contest such lien, but if
such lien is reduced to final judgment and if such judgment or process thereon is not stayed, or if stayed and said
stay expires, then and in each such event, Lessee shall forthwith pay and discharge said judgment. Lessor shall have
the right to post and maintain on the Demised Premises notices of non-responsibility under the laws of the State of
Minnesota.
16.NON-LIABILITY: Subject to the tenns and conditions of Article 13 hereof, Lessor shall not be liable for damage
to any property of Lessee on the Premises, nor for the loss of or damage to any property of Lessee by theft or
otherwise. Lessor shall not be liable for any injury or damage to persons or property resulting from fire, explosion, anyinjury or damage to persons or property resulting from fire, explosion, falling plaster, steam. gas, electricity, water,
rain or snow or teaks from any part of the Premises or from the pipes, appliances, or plumbing works or from the roof,
street or subsurface of from any other place or by dampness or by any such damage caused by other Lessees or
persons in the Premises, occupants of adjacent property, of the buildings, or the public or caused by operations in
construction of any private, public or quasi-public work. Lessor shall not be liable for any latent defect in the DemisedPremises. All property of Lessee kept or stored on the Demised Premises shall be so kept or stored at the risk of
Lessee only and Lessee shall hold Lessor hannfess from any claims arising out of damage to the same, including
subrogation claims by Lessee's insurance carrier.
17.ASSIGNMENT OR SUBLETilNG: Lessee agrees to use and occupy the Demised Premises throughout the
entire Term hereof for the purposes herein specified and for no other purposes, in the manner, and to substantially
the extent now intended, and not to transfer or assign this Lease or sublet said Demised Premises, or any part
thereof, whether by voluntary act, operation of law, or otherwise, without first obtaining the prior written consent of
Lessor in each instance. Lessee shall seek such consent of Lessor by a written request therefore, setting forth such
information as Lessor may deem necessary. Should Lessee sublet in accordance with the Tenns of this Lease, fifty
percent (50%) of any increase in rental received by Lessee over the rental rate which is being paid by Lessee shall
be forwarded to and retained by Lessor, which increase shall be Additional Rent.
18.ATTORNMENT: In the event of a sale or assignment of Lessor's interest in the Premises, or the Demised
Premises are located, or this Lease, or if the Premises come into custody or possession of a mortgagee or any other
party, whether because of a mortgage foreclosure or otherwise, Lessee shall attom to such assignee, or other party,
and recognize such party as Lessor hereunder, provided, however, Lessee's peaceable possession will no1 be
disturbed so long as Lessee faithfully perfonns its obligations under this Lease. lessee shall execute, upon demand,
any attomment agreement required by any such party to be executed, containing such provisions as such party may
require.
19.SUCCESSORS AND ASSIGNS: The terms, covenants and conditions hereof, shall be binding upon and inure
to the successors and assigns of the parties hereto.
20.QUIET ENJOYMENT: Lessor warrants that it has full right to execute and to perfonn this Lease and to grant the
estate demised, and that Lessee, upon payment of the rents and other amounts due and the performance of all the
terms, conditions, covenant and agreements on Lessee's part to be observed and perfonned under this Lease, may
peaceably and quietly enjoy the Demised Premises for the business uses permitted hereunder, subject, nevertheless,
to the tenns and conditions of this Lease.
21.OVERDUE PAYMENTS: All monies due under this Lease from Lessee to Lessor shaD be due on demand,
unless otherwise specified and if not paid when due, shall result in the imposition of a service charge for such late
payment in the amount of one hundred percent {100%) of the amount due.
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•
22.SURRENDER: On the expiration of the Term or upon the tenninatlon hereof upon a day other than the
expiration of the Term, Lessee shall peaceably surrender the Oerrisecl Premises broom-clean in good order,
condition and repair, reasonable wear and tear only excepted. On, or before, the expiration of the Term, or upon
termination of this Lease on a day other than the expiration of the Tenn, Lessee shall, at its expense, remove all
trade fixtures, personal property and equipment and signs from the Demised Premises and any property not removed
shall be deemed to have been abandoned. Any damage caused in the removal of such items shall be repaired by
Lessee and at its expense. All alterations, additions, improvements and fixtures (other than trade fixtures) which shallhave been made or Installed by Lessor or Lessee upon the Demised Premises and all floor covering so installed shall
remain upon and be surrendered with the Demised Premises as a part thereof, without disturbance, molestation orinjury, and without charge, at the expiration of termination of this Lease. If the Demised Premises are not surrendered
on the Expiration Date or the date of termination, Lessee shall indemnify Lessor against loss or liability, claims,
without limitation, made by any succeeding lessee founded on such delay. Lessee shall prompHy surrender all keys
for the Demised Premises to Lessor at the place then fixed for payment of rent and shall inform Lessor of
combinations of any locks and safes on the Demised Premises.
23.HOLDING OVER: In the event of a holding over by Lessee af1er expiration or termination of this Lease without
the consent ii writing of Lessor, Lessee shall be deemed a lessee at sufferance and shall pay rent for suchoccupancy at the rate of twice the last-current aggregate Base. Except as otherwise agreed, any holding over with
the written consent of Lessor shall constitute Lessee a month-to-month lessee.
24.ABANDONMENT: ln the event Lessee shall remove its fixtures, equipment or machinery or shall vacate the
Demised Premises, or any part thereof, prior to the Expiration Date of this Lease, or shall discontinue or suspend theoperation of its business conducted on the Demised Premises for a period of more than thirty (30) consecutive days
(except during any time when the Demised Premises may be rendered untenantable by reason of tire or other
casualty), 1hen in any such event Lessee shall be deemed to have abandoned the Demised Premises and Lessee
shall be in default under the tenns of this Lease.
25.CONSENTS BY LESSOR: Whenever provision is made under this Lease for Lessee securing the consent or
approval by Lessor, such consent or approval shall only be in writing.
26.NOTICES: Any notice required or per mitted under this Lease shall be deemed sufficiently given or secured if
sent by registered or certified return receipt mall to Lessee at 907 Main Street, Hopkins, Minnesota 55343 and to
Lessor at the address then fixed for the payment of rent as provided in Paragraph 3 of this Lease, and either party
may, by like written notice, at any time designate a different address to which notices shall subsequenUy be sent or
rent to be paid.
27.GENERAL: The Lease does not create U,e relationship of principal agent or of partnership or ofjoint venture or
of any association between Lessor and Lessee, the sole relationship between 1he parties hereto being that of Lessor
and Lessee.No waiver of any default of Lessee hereunder shall be implied from any omission by Lessor to take any action on
account of such default if such derault persists, or is repeated, and no express waiver shall affect any default other
than the default specified in the express waiver and that only for the time and to the extent therein stated. One or more waivers by Lessor shall not then be construed as a waiver of a subsequent breach of the same covenant, term
or condition. The consent to or approval by Lessor of any act by Lessee requiring Lessor's consent or approval shall
not waive or render unnecessary Lessor's consent to or approval of any subsequent similar act by Lessee shall
construed to be both a covenant and a condition. No action required or permitted to be taken by or on behaij of Lessor under the 1erms or provisions of this Lease shall be deemed to constitute an eviction or disturbance of Lessee's possession of the Demised Premises. All preliminary negotiations are merged into and incorporated in. this
Lease. The laws of the State of Minnesota shall govern the validity, performance and enforcement of this Lease.
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a.This Lease and the exhibits, if any, attached hereto and forming a part hereof, constitute the entireagreement between Lessor and Lessee affecting the Demised Premises and there are no other agreements, subsequent alteration, amendment change or addition to this Lease shall be binding upon Lessor or Lessee unless
reduced to writing and executed in the same form and manner in which this Lease is executed.
b.If any agreement covenant or condition of this Lease or the application thereof to any person or
circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Lease, or the application of such agreement, covenant or condition to persons or circumstances other than those as to which it is held invalid or
unenforceable, shall not be affected thereby and each agreement, covenant or condition of this Lease shall be valid
and be enforced to the fullest extent permitted by law.
28. HAZARDOUS MATERIAL:
a.The Demised Premises hereby lease d shall be used by and/or at the sufferance of Lessee only for the
Permitted Use and for no other purposes. Lessee shall not use or permit the use of the Demised Premises in any manner that will tend to create waste or a nuisance, or will tend to unreasonably disturb other Lessees in the
Demised Premises or the Premises. Lessee, its employees and all persons visiting or doing business with Lessee in
the Demised Premises shall be bound by and shall observe the reasonable rules and regulations made by Lessor relating to the Demised Premises, the Demised Premises Building or the Premises of which notice in writing shaK be
given to the Lessee, and all such rules and regulations shall be deemed to be incorporated into and fonn a part of this Lease.
b.Lessor and Lessee covenant through the Lease Term, at Lessee's sole cost and expense, prompUy 1o
comply with all laws and ordinances and the orders, rules and regulations and requirements of all federal, state and
municipal governments and appropriate departments, oommission, boards, and officers thereof, and the orders, rules
and regulations of the Board of Fire Underwriters where the Demised Premises are situated, or any other body now
or hereafter as well as extraordinary, and whether or not the same require structural repairs or alterations, which may
be applicable to the Demised Premises, or the use or manner of use of the Demised Premises. Lessee will likewise
observe and comply with the requirement.s of all policies of public liability, fire and all other policies of insurance at
any time in force with respect to the building and improvements on the Demised Premises and the equipment thereof.
c.In the event any Hazardous Material {hereinafter defined) is brought or caused to be brought into or onto the
Demised Premises or the Premises by Lessee, Lessee shall handle any such material in compliance with all
applicable federal, state and/or local regulations. For purposes of this Article, ·Hazardous Material' means and
includes any hazardous, toxic or �angerous waste, substance or material defined as such in (or for the purposes of)
the Comprehensive Environmental Response, Compensation and Liability Act, any so-called "Superfund" or "Super'
law, or any federal, state or local statute, law, ordinance, code, rule, regulation, order decree regulating, relating to, or
imposing liability or standards of conduct concerning, any hazardous, toxic or dangerous waste, substance or
materials, as now or at any Hme hereafter in effect. Lessee shall submit to Lessor, on an annual basis, copies of its
approved hazardous materials communication plan, OSHA monitoring plan, and permits required by the Resource
Recovery and Conservation Act of 1976, If Lessee is required to prepare, file or obtain any such plans or permits.
Lessee will indemnify and hold harmless Lessor from any losses, liabilities, damages, costs or expenses (including
reasonable attomeys' fees} which Lessor may suffer or incur as a result of Lessee's introduction into or onto the
Demised Premises, building on the Premises or Premises of any Hazardous Material. This Article shall survive lhe
expiration or sooner termination of this Lease.
29.CAPTIONS: The captions are inserted only as a matter of convenience and for reference, and in no way define,
limit or describe the scope of this Lease nor the intent or any provision thereof.
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30.ABANDONMENT OF PREMISES: Lessee shall not vacate or abandon the Demised Premises at any time
during the Term of this Lease. If Lessee abandons, vacates, or surrenders the Demised Premises, or is disposed by
process of law, or otherwise, the Lessee shall be in default and any personal property belonging to Lessee and lefton the Demised Premises, the Lessor may declare said personal property to be abandoned ood Lessor may take title
to said personal property.
31.DEFAULT: AH· rights and remedies of Lessor herein enumerated shall be cumulative and none shall exclude any
other right or remedy allowed by law. It is agreed that in the event:
a.That the Lessee shall fail, neglect or refuse to pay any Rent or Addltional Rent at the time and in the amount
as herein provided, or to pay promptly any other money agreed by it when the same shall become due; or
b.Thal the Lessee shall become insolvent or the leasehold interest of the Lessee shall be taken on executionor other process of law, or if the Lessee shall make an assignment for the benefit of creditors, or if a petition be filed by or against it to have it adjudicated a bankrupt, or if Lessee Is brought Into liquidation by any means whatsoever, or
if the Lessee shall vacate the Premises or abandon the same during the term of this Lease; or
c.That the Lessee shall fail, neglect or refuse to keep and perform any of the other covenants, conditions,
stipulations or agreements herein contained and, unless a shorter time is otherwise provided therefore, in the event
any such default shall continue for a period of more than thirty (30) days after notice thereof in writing is given to the
Lessee by the Lessor;
then the Lessee does hereby authorize the Lessor to enter onto the Demised Premises and take full and absolute
possession of Lessee's property located on the Premises without such re-entry causing a forfeiture of the Rent or
Additional Rent to be paid or the covenants to be performed by the Lessee hereunder for the full Term of this Lease.
In such case, the Lessor may lease or sublease or subdivide the Premises for such rental as Lessor may reasonably obtain, crediting Lessee with the Rent so obtained after deducting the costs Lessor reasonably incurs by such re
entry, leasing or sub-leasing; or the Lessor, at its option, may tenninate this Lease and re-enter and take full and
absolute possession of the Demised Premises free from any further right or claim by the Lessee. In addition, any past
and Base Rent and Additional Rent and other money due under this Lease shall be immediately due and owing to
Lessor from Lessee with interest of eight percent (8%) per annum from the date the obligation first arose.
It is agreed that after the service of notice or the commencement of suit, or after final judgment for possession of
the Demised Premises, the Lessor may receive and collect any Base Rent, Addioonal Rent and other rnoney due
under this Lease without prejudice to, nor waiver of or effect upon the said notice, suit or judgment. · . . ;. '
Lessor shall in no event be charged with default in the performance of any of its obligations hereunder unless and
until Lessor shall have failed to perform such obligations within thirty (30) days or such additional time as is reasonably required to correct any such default(s) after written notice by Lessee to Lessor properly specifying
wherein Lessor has failed to perform any such obligation.
32.EMINENT DOMAIN: If any legally constituted authority condemns the Premises, or such part thereof which shall
make the Demised Premises unsuitable for leasing in the discretion of the Lessor, this Lease shall cease when the
public authority takes possession, and Lessor and Lessee shall account for Base Rent and Additional Rent as of thatdate. Such termination shall be without prejudice to the rights of either party to recover compensation from the
condemning authority for any loss or damage caused by the condemnation. Neither party shall have any rights in or
to any award made to the other by the condemning authority.
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33.REAL EST ATE TAXES and ASSESSMENTS: All general real estate taxes, if any, coming due during the Lease
term on the Premises as a result of the Lessee's use of the Demised Premises shall be the sole responsiblllty of the Lessee.
34.MEMORANDUM OF LEASE: Upon execution of this Lease the parties shall execute a memorandum of lease
drafted by Lessor that shall be recorded against the Premises.
35.OBLIGATIONS OF LESSOR:
a.The Lessor will provide new locks for the entrance door. Keys shall be given to Lessee.
b.The Lessor will insure the Building on the Premises pursuant to Section 13 of this Lease.
c.The Lessor shall be responsible for all exterior maintenance, including mowing, snow removal, Holiday
decorations and planters pursuant to Section 5 of this Lease.
d.The Lessor shall be responsible for the following utility costs: electric, natural gas, water and sewer and
HVAC costs and maintenance pursuant to Section 4 of this Lease.
e.The Lessor and Lessee agree that both parties shall cooperatively work together to allow Lessor to holdevents at the Premises.
IN WITNESS WHEREOF, the Lessor and the Lessee have caused these presents to be executed in form and
manner sufftcient to bind them at law as of the day and year first above written.
LESSOR: LESSEE:
City of Hopkins Hopkins Historical Society
a Minnesota municipal corporatron a Minnesota non-profi1 corporation
By:�
Im:�&
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