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HomeMy WebLinkAboutResolution #5078 (Ti-Ko, McDonalds) RESOLUTION NO 5078 A RESOLUTION APPROVING A CONSENT TO ASSIGNMENT OF LEASE AND DIRECTING THE MAYOR AND CITY CLERK TO EXECUTE AND DELIVER SAID AGREEMENT ON BEHALF OF THE CITY OF CANTON, ILLINOIS. WHEREAS, the City of Canton, owns certain real estate in the City of Canton immediately north of the McDonald's restaurant on Sycamore between Main Street and First Avenue; and WHEREAS, the City entered into a certain Lease Agreement (hereinafter "the Lease") with Tydaco, Incorporated, an Illinois corporation, (hereinafter "Tydaco") dated September 2, 2008, wherein the City leased the aforesaid real estate (hereinafter "the Parking Lot") to Tydaco for use as a parking lot for its employees and customers; and WHEREAS, Tydaco was a licensed franchisee of McDonald's Corporation and operated a McDonald's restaurant on Sycamore which is located adjacent to the Parking Lot; and WHEREAS, Lease required the consent of the City before it could be assigned; and WHEREAS, when Tydaco sold its business to Jann Restaurant, Inc. ("Jann"), Tydaco inadvertently did not obtain consent from the City when it assigned the lease to Jann; and WHEREAS, Jann is now selling its interest in the business to Ti-Ko, Inc. ("Ti-Ko"), and is seeking the City's consent to the assignment of the lease; and WHEREAS, the Legal & Ordinance Committee of the City of Canton has determined that it is necessary and in the best interests of the City of Canton to retroactively consent to the assignment of said lease from Tydaco to Jann and to consent to the assignment of said lease from Jann to Ti-Ko as set forth in Exhibit"A"attached hereto and incorporated herein; and WHEREAS, the City Council of the City of Canton has made a similar determination. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF CANTON, ILLINOIS, AS FOLLOWS: 1. That the agreement attached hereto and incorporated herein as Exhibit "A" is hereby approved by the Canton City Council. 2. That the Mayor, or his designee, and City Clerk of the City of Canton, Illinois are hereby authorized and directed to execute said Agreement on behalf of the City of Canton. NLR Documents/Resolution 12/16/2016 3. That this Resolution shall be in full force and effect immediately upon its passage by the City Council of the City of Canton, Illinois and approval by the Mayor thereof, or his designee. PASSED by the City Council of the City of Canton, Illinois at a regular meeting this 20th day of December 2016, upon a roll call vote as follows: AYES: Aldermen Ryan Mayhew, Tad Putrich, Craig West, Angela Hale, Gerald Ellis, Justin Nelson NAYS: None ABSENT: Alderman John Lovell ABSTAIN: APPROVED: 1 i Jeffrey A Fritz, Mayor A . EST: Diana Pavley-R, City k NLR Documents/Resolution 12/16/2016 CONSENT TO ASSIGNMENT OF LEASE WHEREAS, the City of Canton, an Illinois municipal corporation (hereinafter "the Lessor") owns certain real estate in the City of Canton immediately north of the McDonald's restaurant on Sycamore between Main Street and First Avenue, and WHEREAS, the Lessor entered into a certain Lease Agreement (hereinafter "the Lease") with Tydaco, Incorporated, an Illinois corporation, (hereinafter "Tydaco") dated September 2, 2008, wherein the Lessor leased the aforesaid real estate (hereinafter "the Parking Lot") to Tydaco for use as a parking lot for its employees and customers, and WHEREAS, Tydaco was a licensed franchisee of McDonald's Corporation and operated a McDonald's restaurant on Sycamore which is located adjacent to the Parking Lot, and WHEREAS, Tydaco, initially upon execution by it of the Lease, pre-paid the Lease Price described in Section 1 (b) of the Lease in the total amount of Two Hundred ($200.00) Dollars, and WHEREAS, Tydaco entered into a certain Agreement with Jann Restaurant, Inc., an Illinois corporation, (hereinafter "Jann" or "Successor Lessee") on January 5, 2014, whereby Tydaco sold its McDonald's restaurant to Jann and assigned its interest in the Lease to Jann, and WHEREAS, through inadvertence on the part of Tydaco, no request was made to the Lessor for its consent to the assignment of the Lease to Jann, and WHEREAS, the Lease remains in effect, having never been terminated pursuant to Section 7 of the Lease, and WHEREAS, Jann has, since its purchase of the McDonald's restaurant from Tydaco on January 5, 2014, been in possession of the parking lot, has maintained it, and has performed all of the terms and conditions of the Lease, and WHEREAS, on April 3, 2015, Tydaco was voluntarily dissolved by the office of the Illinois Secretary of State and is no longer in existence, and WHEREAS, Jann has now entered into a certain Purchase and Sale Agreement with Ti- Ko, Inc., an Illinois corporation, (hereinafter"Ti-Ko") to sell its McDonald's restaurant to Ti-Ko, effective January 3.2017, and WHEREAS, Section 4 (a) of the Lease provides that the Lessee may not assign its interest in the Lease to any Person or Entity without the prior written consent of Lessor, and NLR Documents/Agreements 12/16/2016 WHEREAS, Jann requests that the City of Canton retroactively consent to the assignment by Tydaco of the Lease to Jann, and WHEREAS, Jann requests the City of Canton consent to the assignment of the Lease by Jann to Ti-Ko. NOW, THEREFORE, for valuable consideration, the City of Canton hereby retroactively consents to the assignment of the Lease by by Tydaco, Incorporated to Jann Restaurants, Inc and also consents to the assignment of the Lease by Jann Restaurants, Inc. to Ti-Ko, Inc. Dated: 12 - Z D ,2016 CITY OF CANTON, ILLINOIS 4/1,x, a. 47445- By: �� / Jeffrey A. Fritz, Mayor Attest: A _'' Dianaavl-'--Rock, City Clerk 2 NLR Documents/Agreements 12/16/2016