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Grand Harbor Hotel - Assignment of Lease AgreementCity of Dubuque City Council Copyrighted December 15, 2025 ITEMS SET FOR PUBLIC HEARING # 5. ITEM TITLE: Grand Harbor Hotel - Assignment of Lease Agreement SUMMARY: City Manager recommending City Council adopt a resolution to set a public hearing for January 5, 2026, for the assignment of the Lease Agreement from Westdale Capital Investors 3, LP to Riddle's Group, Inc. RESOLUTION Fixing The Date For A Public Hearing Of The City Council Of The City Of Dubuque, Iowa On An Assignment Of The Lease Agreement Between The City Of Dubuque, Iowa And Westdale Capital Investors 3, LP As Successor In Interest To Platinum Holdings, LLC To Riddle's Group, Inc., Fixing The Date For A Public Hearing Of The City Council Of The City Of Dubuque, Iowa On The Proposed Assignment Of The Lease Agreement, And Providing For The Publication Of Notice Thereof SUGGUESTED Receive and File; Adopt Resolution(s), Set Public Hearing for DISPOSITION: Janaury 5, 2026 ATTACHMENTS: 1. MVM Memo 2. Staff Memo 3. Lease —ASSIGNMENT AGREEMENT—Westdale Riddle_12-11-25 4. Notice of Public Hearing 5. Resolution Page 693 of 1019 THE CITY OF DUBE Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Grand Harbor Hotel Assignment Of Development Agreement And Lease Agreement DATE: December 11, 2025 Dubuque AI WIN av 2007-2012.2013 2017*2019 Platinum Holdings, LLC (Platinum) and the City of Dubuque, Iowa (City) entered into a Development Agreement dated June 19, 2000, as amended, for the development of five acres into a hotel and water park resort. The parties also entered into a lease agreement on June 4, 2001, as amended. A foreclosure action was filed by Westdale Capital Investors 3, LP (Westdale) against Platinum resulting in a foreclosure judgment and sale. Pursuant to the foreclosure, Westdale is the successor in interest to Platinum. Riddle's Group, Inc. (Riddle) purchased the property at the foreclosure sale. An assignment from Westdale to Riddle for both the Development Agreement and lease is appropriate. City Attorney Crenna Brumwell is recommending City Council adopt a resolution to set a public hearing for January 5, 2026, for the assignment of the Development Agreement and Lease Agreement from Westdale Capital Investors 3, LP to Riddle's Group, Inc. I concur with the recommendation and respectfully request Mayor and City Council approval. v Mic ael C. Van Milligen MCVM:sv Attachment cc: Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Page 694 of 1019 THE CITY OF DUB E Masterpiece on the Mississippi CRENNA M. BRUMWELL, ESQ. CITY ATTORNEY TO: MICHAEL C. VAN MILLIGEN, CITY MANAGER DATE: DECEMBER 11, 2025 Dubuque All•A�eNea 6Iq 1ml'o I I I 2007-2012.2013 2017*2019 RE: GRAND HARBOR HOTEL ASSIGNMENT OF DEVELOPMENT AGREEMENT AND LEASE AGREEMENT Platinum Holdings, LLC (Platinum) and the City of Dubuque, Iowa (City) entered into a Development Agreement dated June 19, 2000 as amended, for the development of five acres into a hotel and water park resort. The parties also entered into a lease agreement on June 4, 2001, as amended. A foreclosure action was filed by Westdale Capital Investors 3, LP (Westdale) against Platinum resulting in a foreclosure judgment and sale. Pursuant to the foreclosure, Westdale is the successor in interest to Platinum. Riddle's Group, Inc. (Riddle) purchased the property at the foreclosure sale. An assignment from Westdale to Riddle for both the Development Agreement and lease is appropriate. I respectfully request approval of the assignments from Westdale to Riddle be set for public hearing on January 5, 2026. OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944 TELEPHONE (563) 589-4381 / FAx (563) 583-1040 / EMAIL cbrumwel@cityofdubuque.org Page 695 of 1019 ASSIGNMENT OF LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, WESTDALE CAPITAL INVESTORS 3, LP AS SUCCESSOR IN INTEREST TO PLATINUM HOLDINGS, LLC., TO RIDDLE'S GROUP, INC. This Assignment Agreement, dated for reference purposes the day of is made and entered into by and between the City of Dubuque, Iowa, a municipal corporation ("City"), Westdale Capital Investors 3, LP, a limited partnership doing business in Iowa ("Westdale") as successor in interest to Platinum Holdings, LLC. and Riddle's Group, Inc., a South Dakota corporation, ("Riddle"). WHEREAS, Platinum Holdings, LLC (Platinum) and the City of Dubuque, Iowa (City) entered into a Lease Agreement dated June 4, 2001 (the Lease Agreement), as amended, shown in Exhibit A; and WHEREAS, Westdale is the successor in interest to Platinum pursuant to a foreclosure judgment and sale; and WHEREAS, Westdale desires to assign the Lease Agreement to Riddle; and WHEREAS, City Council finds that consenting to the Assignment on the terms and conditions set forth herein is in the best interests of the City of Dubuque. NOW, THEREFORE, IT IS AGREED BY AND BETWEEN THE PARTIES AS FOLLOWS: Section 1. Westdale here assigns to Riddle all of its rights, title and interest in the Lease Agreement with the City. Section 2. Riddle accepts the assignment of all of Westdale's rights, title and interest in the Lease Agreement with the City and agrees to assume all obligations and responsibilities in the Lease Agreement. WESTDALE CAPITAL INVESTORS RIDDLE'S GROUP, INC. 3, LP AS SUCCESSOR IN INTEREST TO PLATINUM HOLDINGS, LLC. By: By: CONSENT TO ASSIGNMENT AGREEMENT The City of Dubuque, Iowa hereby consents to the foregoing Assignment Agreement. Page 696 of 1019 la Brad M. Cavanagh, Mayor Attest: Adrienne Breitfelder, City Clerk Page 697 of 1019 Exhibit A Lease Agreement Page 698 of 1019 LEASE AGREE1%1ENT THIS LEASF AGREEMENT (the "Lease") made as of the 4'" day of June, 2001, by and between the CITY OF DUBUQUE, IOWA, a municipal corporation (Lessor), and PLATINUM HOLDINGS, LLC, an Iowa limited liability company (Lessee). WIIEREAS, Lessor and Lessee have entered into a certain Amended Development Agreement dated as of January 15, 2001 (the "Development Agreement"); and WHEREAS, the Development Agreement contemplates that the parties enter into a lease for certain real estate in Dubuque County, Iowa; NOW, Tl-iFREFORE, in consideration of the mutual covenants and agreements set forth herein, the parties hereto agree as follows: ARTICLE I DEMISE AND TERM 1.1 Demise and Term. In consideration of the rents hereinafter reserved and the terms, covenants, conditions and agreements set forth in this Lease, Lessor hereby leases to Lessee the real property described in Exhibit A attached to and made a pan of this Lease, together with any and all easements and appurtenances thereto and subject to any easements and restrictions of record (the "Demised Premises"), to have and to hold for an initial term commencing as of the date of this Lease and ending on the P day of June, 2051 (the "Ltitial Term"), subject to all of the terms, covenants, conditions and agreements contained herein. On completion of the Phase 11 Improvements (as defined in Section 3.1 of the Development Agreement), the term shall be extended for the appropriate period of time in order that the Lease term shall be fifty (50) years from the time the Lessee receives the Certificate of Completion related to the completion of the Phase U Improvements. L2 Minimum Improvements. Lessee shall construct the Minimum Improvements (as defined in Section 3.1 of the Development Agreement) in the time and manner required by the Development Agreement. 1.3 Parking Use A ement. In connection with this Lease, the Lessor and Lessee shall enter into a Parking Use Agreement, in substantially, the form of Exhibit G (the "Parking Use Agreement"), pursuant to which the Lessor shall provide parking to Lessee a; no cost. The Parking Use Agreement shall be transferable with this Lease and shall remain in effect for the length of the Ltitial Term and any extension or renewal of this Lease. ARTICLE 2 RENT Lessee shall pay Lessor (in addition to taxes, assessments, and other charges required to be paid under this Lease by Lessee) rent for the Demised Premises as follows: 2.1 Base Rent, Until Lessee has received a Certificate of Completion for the Exhibit A Page 699 of 1019 Minimum Improvements (as set forth in Section 3.4 of the Deveiopment Agreement), Lessee shall pay Base Rent in the amount of $1.00 per year. For the first ten years of this Lease following receipt of such Certificate of Completion, Lessee shall pay Lessor rent as follows: Year Amount One throw Three $22,860.00 Four through Five i $30,480.00 Six through Seven $45.720.00 Ei t through Nine $53,340.00 Ten $66.040.00 All such Base Rent shall be payable in twelve (12) equal monthly installments on the first day of each month. Notwithstanding the foregoing, in the event that Developer completes the Phase 11 Improvements in accordance with Section 3, I of the Development Agreement, the Base Rent in effect at such time of completion shall become the Base Rent for an extended period of three (3) years following such completion, and thereafter. the above schedule shall resume unabated and in full and shall be extended by such additional three (3) year period. Rental payable after the time such schedule has completed shall be computed as follows: (1) The annual rental in effect at the completion of the above rental schedule shall be adjusted by the percentage increase, if any, in the Consumer Price Index for All Urban Consumers, U.S. City Average, All Items published by the Bureau of Labor Statistics of the U.S. Department of Labor in effect on the commencement date of the rental period immediately following the completion of the above rental schedule over the base Consumer Price Index in effect on the date one (1) year prior thereto. The annual rental computed under this subparagraph (i) shall be the annual Base Rent for the Demised Premises for the one 0 year period immediately following the completion of the above rental schedule. The annual Base Rent shall be paid in twelve (12) equal monthly installments. The annual rental for the one (1) year period following the rental period in subparagraph ("i) above, and for each one (1) year period thereafter, shall be adjusted by the percentage increase, if any, in the Consumer Price Index for All Urban Consumers, U.S. City Average, All Items published by the Bureau of Labor Statistics of the U.S. Department of Labor in effect on the commencement date of the new one (1) year period over the base Consumer Price Index in effect on the commencement date of the immediately preceding one (1) year period. The annual rentals computed under this subparagraph (ii) shall be the annual Base Rent for the Demised Premises for the one (I ) year period immediately following the completion of the prior one ( 1) year penod. The annual Base Rent shall be paid in twelve (12) equal monthly installments. (iii) If during the Initial Term of this Lease, or any extension or renewal thereof, the Bureau of Labor Statistics, U.S. Department of Labor, ceases to maintain said Consumer Price Index, such other index or standard as will most nearly accomplish the intent and purpose of the Consumer Price Index and the use thereof by the parties hereto shall be used in determining the amount of any such Page 700 of 1019 adjustment. ARTICLE 3 TITLE TO LMPRObT-NIENTS AND TRADE FIXTURES 3.1 Trade Fixtures. For the purposes of this Lease, "Trade Fixtures" shall mean all of Lessee's personal property located on the Demised Premises used in Lessee's business. Title to Lessee's trade fixtures (the "Trade Fixtures") is and shall be the sole and exclusive property of Lessee during the term of this Lease and shall remain the sole and exclusive property of Lessee after the expiration or termination of this Lease, for whatever reason. Lessor acknowledges and understands that it shall have no right, title or interest in or to Lessee's Trade Fixtures either during the term of this Lease, or thereafter (except as hereinafter provided). Lessor acknowledges and agrees that Lessee shall have the right to encumber, sell, or hypothecate Lessee's Trade Fixtures, to remove them from the Demised Premises, or to otherwise deal with all or any portion of such Lessee's Trade Fixtures, at Lessee's sole discretion. Upon ten (10) days' prior written notice to Lessor, Lessor shall execute and deliver to Lessee a certificate in recordable fonn prepared by Lessee stating that Lessor has no interest or right in or to Lessee's Trade Fixtures, as well as any other or further document which Lessee may reasonably request from Lessor. 3.2 Improvements. On delivery of possession of the Demised Premises to Lessee. Lessee shall construct on the Demised Premises the Minimum Improvements as required by the Development Agreement (the "Improvements"). It shall be unreasonable for Lessor to withhold such consent if such design, appearance and quality are generally compatible with other such buildings in the area. Subject to applicable law and the obligations imposed on Lessor as a governmental entity, Lessor agrees to process as expeditiously as possible all permits, variances and approvals reasonably required to develop and construct the Improvements on the Demised Premises. All improvements presently on the Demised Premises and all Improvements hereafter constructed on the Demised Premises are and shall be the property of Lessee during the continuance of the term of this Lease and no longer. Subject to the payment obligations of Lessor set forth below, upon any termination of this Lease, by reason of any cause whatsoever, if the Improvements or any part thereof shall then be on the Demised Premises, ail of Lessee's right. title, and interest therein shall cease and terminate, and title to the Improvements shall vest in Lessor, and the Improvements or the part thereof then within the Demised Premises shall be surrendered by Lessee to Lessor. No further deed or other instrument shall be necessary to confirm the vesting in Lessor of title to the Improvements. However, upon any termination of this Lease, Lessee, upon request of Lessor, shall execute, acknowledge and deliver to Lessor a quitclaim deed confirming that all of Lessee's right, title and interest in or to the Improvements have expired, and that title to the Improvements has vested in Lessor ARTICLE 4 ENCUMBRANCE OF LESSEE'S LEASEHOLD INTEREST 4.1 Lessee's R 9.h- to Encumber Leasehold Interest. Lessee may encumber by mortgage, deed of trust or other proper instrument, its leasehold interest and estate in the Demised Premises, together with all Improvements on the Demised Premises. as security for any Page 701 of 1019 indebtedness of Lessee, provided that no such encumbrance shall extend beyond the term of this Lease. Lessee shall provide prompt written notice to Lessor of any such encumbrance together with a copy of such encumbrance. In the event of any judicial or nonjudicial foreclosure under any mortgage, deed of trust or other similar instrument made by Lessee covering its leasehold interest in the Demised Premises, Lessor shall, upon such foreclosure or sale, recognize the purchaser thereunder as lessee under this Lease, provided such purchaser expressly agrees in writing to be bound by the terms of this Lease. 4.2 Notice to Holder of Encumbrance. Right of Holder to Cure Lessee's Default 1f Lessee shall encumber its leasehold interest and estate in the Demised Premises and if Lessee, or the holder of the indebtedness, its successors and/or assigns (the "Holder") secured by the encumbrance shall give notice to Lessor of the existence of the encumbrance and the address of the Holder, then Lessor shall mail or deliver to the Holder, at such address, a duplicate copy of all notices in writing which Lessor may, from time to time, give or serve on Lessee under and pursuant to the terms and provisions of this Lease. The copies shall be mailed or delivered to the holder at, or near as possible to, the same time the notices are given to or served on Lessee. The Holder may, at its option, at any time before the rights of Lessee shall be terminated as provided in this Lease, pay any of the rents due under this Lease or pay any taxes and assessments, or do any other act or thing required of Lessee by the terms of this Lease, or do any act or thing that may be necessary and proper to be done in the observance of the covenants and conditiocs of this Lease or to prevent the termination of this !_ease; provided, however, that the doing of any act or thing requiring possession of the Demised Premises shall be subject to the further rights of Holder as set forth in Section 16.2. All payments so made and all things so done and performed by the Holder shall be effective to prevent a foreclosure of the rights of Lessee thereunder as the same would have been if done and performed by Lessee. ARTICLE 5 TAXES Until Lessee has received a Certificate of Completion for the Minimum Improvements (as set forth in Section 3.4 of the Development Agreement), the Lessor shall be responsible for all real estate taxes levied, taxed or imposed upon the Real Estate. After the completion of the Minimum Improvements, Lessee agrees to pay as additional tent an amount equal to real estate taxes upon the real estate of the Demised Premises that become payable during the term hereof and which would become delinquent if not so paid during the term hereof. Lessee shall further provide to Lessor official receipts of the appropriate taxing authority or other evidence satisfactory to Lessor evidencing payment thereof. During the term of this Lease, Lessee further agrees to pay all other taxes, rates, charges, levies and assessments, general and special, of every name, nature and kind, whether now known to the law or hereafter created which may be taxed, charged, assessed, levied or imposed upon said real estate and which become payable during the term hereof and which would become delinquent if not so paid during the term hereof, any buildings or improvements thereon which may be taxed, charged, assessed, levied or imposed upon the leasehold estate hereby created and upon the reversionary estate in said real estate during the term hereof and which become payable during the term hereof and which would become delinquent if not so paid during the term hereof, and all such other taxes, rates, charges, levies and assessments shall be paid by Lessee as they become due and before they become delinquent during the term hereof. Page 702 of 1019 Lessee agrees to timely pay all taxes, assessments or other public charges levied or assessed by Iawful authority (but reasonably preserving Lessee's rights of appeal) against its personal property on the premises, during the term of this Lease. Nothing herein shall require Lessee to pay any of Lessor's income taxes, surtaxes, excess Profit taxes or anv taxes on the rents reserved to Lessor hereunder. Lessee shall at all times have the right to contest in good faith, in any proper proceedings, in the name of Lessor if necessary, the payment or satisfaction of any such taxes, assessments, rates, charges or levies so agreed to be paid by lessee, if the validity thereof, or the right to ut assess or levy the sae against or collect the same from said Demised Premises or Improvements, shall be disputed, but only to the extent permitted under the ,Minimum Assessment Agreement between Lessor and Lessee with respect to the Demised Premises. Upon the conclusion of any such suit or proceedings, or not less than three (3) months prior to the date when the right to redeem therefrom expires, whichever will be the earlier, Lessee shall promptly pay and satisfy such disputed tax, assessment or other charge as finally, determined, together with all expenses, costs and attorneys' fees whatsoever incurred in connection therewith. ARTICLE 6 REPAIRS Lessee shall at all times during the term of this Lease. at Lessee's own costs and expense, keep the Demised Premises and the Improvements thereon, and all sidewalks, curbs, and all appurtenances to the Demised Premises, in good order, condition and repair, casualties and ordinary wear and tear excepted. Lessee shall keep and maintain the Demised Premises and all Improvements in a condition consistent with other similarly classed operations. Lessee shall keep the Demised Premises in such condition as may be required by law and by the terms of the insurance policies famished pursuant to this Lease, whether or not such repair shall be interior or exterior, and whether or not such repair shall be of a strucarral nature. Upon reasonable notice to Lessee, Lessor may, at its discretion and at its cost, conduct an annual inspection of the Demised Premises to determine Lessee's compliance with this Article 6. ARTICLE 7 COMPLIANCE WITH LAW 7.1 During the term of this Lease. Lessee shall comply with all local, state and federal laws applicable to Lessee's use of the Demised Premises. including but not limited to the Americans with Disabilities Act. 7.2 Lessee shall not commit waste on the Demised Premises except as necessary for its business purposes including the removal or construction of any buildings and Improvements on the Demiscd Premises, and shall be liable for any damages to or destruction of any buildings or Improvements on the Demised Premises resulting from waste and shall be required to repair or rebuild such buildings or Improvements. Lessee may remove existing Improvements or construct new Improvements on the Demised Premises subject to all of the terms and conditions of this Lease provided Lessee has received the prior approval of Lessor, which approval Lessor shall not unreasonably withhold. Page 703 of 1019 ARTICLE 8 ALTERATIONS Lessee shall have the right, with Lessor's prior written consent which consent shall not be unreasonably withheld for any such alteration, addition, or modification that exceeds Fifty Thousand and 00/100 Dollars (550,000.00) in cost, at Lessee's expense, from time to time during the term of this Lease to make any alteration, addition or modification to the Demised Premises or the Improvements thereon. ARTICLE 9 USE OF DEMISED PREMISES Lessee shall operate the Improvements for the purposes outlined in the Development Agreement and shall not knowingly use or allow the Demised Premises or any buildings or Improvements thereon or any appurtenances thereto, to be used or occupied for any unlawful purpose or in violation of any certificate of occupancy. Lessee shall not suffer any act to be done or any condition to exist within the Demised Premises or in any Improvement thereon, or permit any article to be brought therein, which is dangerous, unless safeguarded as required by law, or which, in law, constitute a nuisance, public or private, or which may make void or voidable any insurance in force with respect thereto. During the exclusivitv period referred to in Section 4.2 of the Development Agreement, Lessee agrees that at least seventy-five percent (75%), or not less than one hundred forty two (142) rooms, of the hotel shall be reserved for group room reservations provided such group room reservations are made with the Developer at least one (1) year in advance. In the event the Phase 11 Improvements are constructed, Lessee agrees that at least sixty-five percent (65%), or not less than two hundred (200) rooms, of the hotel shall be reserved for group room reservations provided such group room reservations are made with Lessee at least one (1) year in advance. For purposes of this Agreement, a suite shall be deemed to be one (1) room. After the exclusivity period referred to in Section 4.2 of the Development Agreement, this paragraph shall only apply if Lessee, or an entity affiliated with Lessee, is managing the conference and education center owned by Lessor in the Ice Harbor District. ARTICLE 10 INSURANCE I0.I Lessee shall provide and maintain or cause to be maintained at all times during the process of constructing Improvements (and, from time to time at the request of City, furnish City with proof ofpayrnent of premiums on): A. Builder's risk insurance, written on the Special Perils Form in an amount equal to one hundred percent ( 100"•0) of the replacement value of Improvements as the same shall exist frorn time to time during the construction process; B. Commercial general liability insurance (including operations, contingent liability, operations of subcontractors, completed operations and contractual liability insurance) together with an Owner's Contractor's Policv with limits against bodily injury and Page 704 of 1019 property damage of not less than $2,000,000.00 for each occurrence (to accomplish the above -required limits, an umbrella excess liability policy may be used); and C. Worker's compensation insurance, with statutory coverage. 10.2 Upon completion of constnrction of Improvements, Lessee shall maintain, or cause to be maintained, at its cost and expense (and from time to time at the request of City shall famish proof of the payment of premiums on) insurance as follows: A. Property insurance against loss and/or damage to Improvements under an insurance policy written on the Special Perils Form in an amount not less than the full insurable replacement value of Improvements, but any such policy may have a deductible amount of not more than S50,000.00. No policy of insurance shall be so written that the proceeds thereof will produce less than the minimum coverage required by the preceding sentence, by reason of co-insurance provisions or otherwise, without the prior consent thereto in writing by City. The term "replacement value" shall mean the actual replacement cost of Improvements (excluding foundation and excavation costs and costs of wtdergrowid flues, pipes, drains and other uninsurable items) and equipment, and shall be determined from time to time at the request of City, but not more frequently than once every three years, and paid for by Lessee. B. Commercial general liability insurance, including personal injury liability for injuries to persons and/or property, in the minimum amount for each occurrence and for each year of $2,000,000.00. 10.3 All insurance required by this Article shall be taken out and maintained in responsible insurance companies selected by Lessee which are authorized under the laws of the State of Iowa to assume the risks covered thereby. Lessee shall deposit annually with City copies of policies evidencing all such insurance, or'a certificate or certificates or binders of the respective insurers stating that such insurance is in force and effect. Unless otherwise provided in this Section, each policy shall contain a provision that the insurer shall not cancel or modify it without giving written notice to Lessee and City at least thirty (30) days before the cancellation or modification becomes effective. Lessee shall furnish City evidence satisfactory to City that the policy has been renewed or replaced by another policy conforming to the provisions of this Section, or that there is no necessity therefor under the terms hereof. In lieu of separate policies, Lessee may maintain a single policy, or blanket or umbrella policies. or a combination thereof, which provide the total coverage required herein, in which event Lessee shall deposit with City a certificate or certificates of the respective insurers as to the amount of coverage in force upon Improvements, provided, however, the specific limit shall riot be impaired. 10.4 Lessee agrees to notify City immediately in the case of damage exceeding $500,000.00 in amount to, or destruction of, Improvements or any portion thereof resulting from fire or other casualty. Net proceeds of any such insurance ("Net Proceeds"), shall be paid directly to Lessee, and Lessee shall forthwith repair, reconstruct and restore the Improvements to substantially the same or an improved condition or value as they existed prior to the event causing such damage and, to the extent necessary to accomplish such repair, reconstruction and restoration, Lessee shall apply the Net Proceeds of anv insurance relating to such damage received by Developer to the payment or reimbursement of the costs thereof, subject. however, to Page 705 of 1019 the terms of any mortgage encumbering title to the Property. 10.5 Lessee shall complete the repair, reconstruction and restoration of Improvements, whether or not the Net Proceeds of insurance received by Lessee for such purposes are sufficient. ARTICLE. 1 I LESSOR'S WARRANTIES AND REPRESENTATIONS 11.1 Lessor's Representation of Good Title. Lessor covenants and warrants that Lessor is lawfully seized in possession of the Demised Premises, shall take all necessary steps to acquire fee simple title to the Premises as required by law, and that it has full right and authority to enter into this Lease for the full term hereof, and covenants and agrees that upon paying the rent provided for herein, and upon Lessee's performing the covenants and agreements of this Lease required to be performed by said Lessee, that it will have, hold and enjoy quiet possession of the Demised Premises. Lessor warrants to Lessee that the Demised Premises are properly zoned for the conduct of the operation of Lessee's business. ARTICLE 12 LESSEE'S WARR,kNTIES AND REPRESENI-ATION 12.1 Lessee Compliance With I aw. A. Lessee shall comply with all applicable local, state and federal laws, rules, regulations and permits with regard to the Demised Premises and its use, occupancy and control of the Demised Premises, B. Without limiting the obligations of Lessor under Section 3.2, Lessee shall be responsible for obtaining any and all applicable permits, licenses or authorizations as may be necessary for Lessee's use, occupancy and control of the Demised Premises. 12.2 Environmental Matters. A. Lessee covenants and agrees that Lessor shall have no responsibility for or liability arising from any release of a Hazardous Substance which is caused by Lessee or its agents or invitees. Notwithstanding any other provision of this Lease, Lessor agrees that Lessee shall not have any responsibility for any Pre -Existing Condition (as defined below) nor shall Lessor seek indemnification from Lessee for any such Pre -Existing Condition. There is a rebuttable presumption that any Hazardous Substances found on the Demised Premises were not deposited by Lessee and are a Pre -Existing Condition. A pre-existing condition ("Pre -Existing Condition") shall be defined as (i) any Hazardous Substances found on the Demised Premises which were not deposited by Lessee or its agents or invitees on the Demised Premises, Gi) any Hazardous Substances on the Demised Premises prior to the Initial Term of this Lease, and (iii) any Hazardous Substances which leach or migrate on to the Demised Premises from any adjoining properties, including properties owned by the Lessor. B. Notwithstanding any other provision of this Lease, the Lessor, in its capacity as both owner of the Demised Premises as landlord under this Lease, shall retain any legal responsibility or liability, subject to available defenses, the Lessor may have under law for any Pre -Existing Page 706 of 1019 Condition. This retained responsibility and duty includes the duty to assess, remove and remediate Pre -Existing Conditions on or affecting the Demised Premises as ordered by a state or federal agency, subject to the availability of a comfort letter. This provision shall not inure to the benefit of third parties and shall not be interpreted to enlarge any liabilities owed by the Lessor or to require the Lessor to absorb any duties, responsibilities or liabilities that it does not already have for the Pre -Existing Conditions. C. Lessee agrees to provide reasonable notice to the Lessor of any claims by adjoining or affected property owners, thud parties, or parties making claims through a citizen action or private right of action under applicable law, environmental statutes or regulations which arise out of or are related to Pre -Existing Conditions on the Demised Premises. Upon receipt of such notice, to the fullest extent allowed by law, the Lessor agrees to defend, hold harmless and indemnify Lessee for costs and expenses associated with responding to any claims by adjoining property owners, third parties, or parties making claims through a citizen action or private right of action under applicable environmental statutes or regulations which arise out of or are directly related to Pre -Existing Conditions on the Demised Premises. D. To the fullest extent allowed by law, the Lessor agrees to indemnify Lessee for reasonable costs and expenses associated with responding to any legally enforceable order regarding Pre - Existing Conditions from any governmental agency or court with proper jurisdiction to the extent that the Lessor, after Lessee has given reasonable notice of the governmental order to the City, does not timely and reasonably respond to said inquiry or order and if the Lessee allows full access to the Premises as necessary, as provided herein. The Lessor's right of appeal and negotiation are not waived by the foregoing and the filing of h appeal or negotiation with the governmental agency are considered timely and reasonable response. However, the Lessor agrees to indemnify Lessee for any penalties and fines Lessee incurs as a result of any such appeal or negotiation. E. Lessor shall provide reasonable notice to Lessee prior to requesting access for the Purposes set forth above. Lessee agrees to allow the Lessor to have access to and use of the Demised Premises to times and locations which will minimize any disruption and which will not materially or unreasonably interfere with the operation or possession of the Demised Premises as required to respond to any governmental inquiry or order as described above. Except as set out below, the terms of this provision shall not be construed to require that the Lessee is under any obligation to Lessor to move, damage, or modify personal property, fixtures, or buildings on the Demised Premises or to allow Lessor to affect or modify this Lease, whether by lien. easement, or governmental order, except to the extent that use limitations and environmental protection easements may be placed on the Demised Premises which do not change or interfere with the actual or proposed use of the Demised Premises by Lessee. The Lessee agrees that it will not install drinking water wells or otherwise obtain potable water for the purpose of consumption or bodily contact from the groundwater underneath the Demised Premises and agrees to execute any necessary waivers or easements to that effect. If the Lessor is required by a state or federal agency to take such action which materially or unreasonably interferes with the operation or Possession of the Demised Premises, or otherwise damages the propem, of Lessee, then the Lessor shall be required to pay the reasonable costs associated with, such activity, including, without limitation, loss of income, economic damages, property damage, and other costs and expenses, whether temporary or permanent in nature, incurred by Lessee by reason of the interference. Page 707 of 1019 B. Lessee covenants and agrees to promptly notify Lessor of any release of Hazardous Substance in, on or about the Demised Premises of which Lessee has actual knowledge. C. Lessee covenants and agrees to promptly take any and all necessary and appropriate response to address any release of Hazardous Substance for which Lessee is responsible under Section 12.2A. Such response shall include, without limitation, notification to appropriate governmental authorities, as may be required by law. D. Lessee covenants and agrees to not manufacture, treat or dispose of Hazardous Substances at the Dcmised Premises or knowingly allow the manufacture, treatment, or disposal of Hazardous Substances same on the Demised Premises. For the purposes of this Lease, "Hazardous Substance" or "Hazardous Substances" means any hazardous or toxic substance, material or waste which is or becomes regulated by any local government, the State of Iowa or the United States Government. It includes, without limitation, any material or substance that is (i) defined as a "hazardous substance" or "hazardous waste" under Chapter 4558, Iowa Code, (ii) petroleum and petroleum products, (iii) asbestos containing materials in any forth or condition, (iv) designated as a "hazardous substance" pursuant to Section 311 of the Federal Water Pollution Control Act (33 U.S.C. § 1321), (v) defined as a "hazardous waste pursuant to § 1004 of the Federal Resource Conservation and Recovery Act, 42 U.S.C. §6901 et seq., (vi) defined as a "hazardous substance" pursuant to § I01 of the Comprehensive Environmental Response, Compensation and Liability Act, U.S.0 § 9601 et seq., or (vii) defined as a "regulated substance" pursuant to Subchapter [{, Solid Waste Disposal Act (Regulation of Underground Storage Tanks), 42 U.S.C. § 6991 et seq.] The term "Hazardous Substance" shall not include any air emissions discharged into the atmosphere as allowed by a duly issued permit from the applicable governmental agency. ARTICLE 13 INDEM UICATION 13.1 Indemnification of Lessee. A. To the extent allowed by law, Lessor will indemnify and save harmless Lessee from and against all liabilities, obligations, claims, damages, penalties, causes of action, costs and expenses (including, without limitation, reasonable attorneys' fees and expenses) imposed upon or incurred by or asserted against Lessee by reason of (a) any accident, injury to or death of persons or loss of or damage to property occurring on or about the Demiscd Premises and resulting from any act or omission of Lessor, (b) any failure on the part of Lessor to perform or comply with any of the terms of this Lease and (c) any breach on the part of Lessor of any warranty or representation contained in Article 11. In case any, action, suit or proceeding is brought against Lessee by reason of such occurrence, Lessor will, at Lessor expense and discretion, either defend such action, suit or proceeding, or cause the same to be defended by counsel approved by Lessee, which approval will not be unreasonably withheld. B. Lessee shall have the right to perform environmental site assessments of the Demised Premises to assess the environmental condition of the Demised Premises for the Page 708 of 1019 purpose of constructing a hotel. Any results or reports created by such site assessment shall be the property of Lessee and may be used by Lessee and Lessor for any purpose provided that Lessor shall not disclose any such report or the information contained therein to any third party unless required to do so by law or legal process. 13.2 Indemnification of Lessor. Lessee will indemnify and save harticss Lessor from and against all liabilities, obligations, claims, damages, penalties, causes of action, costs and expenses (including, without limitation, reasonable attorneys' fees and expenses) imposed upon or incurred by or asserted against Lessor by reason of (a) any accident, iniury to or death of persons or loss of or damage to property occurring on or about the Demised Premises during the term of this Lease and resulting from any negligence of Lessee or anyone claiming by, through or under Lessee during the term of the Lease and (b) any failure on the part of Lessee to perform or comply in any material respect with any of the material terms of this Lease, and (c) any material breach on the part of Lessee of any warranty or representation contained in Article I) In case any action, suit or proceeding is brought against Lessor by reason of such occurrence, Lessee will, at Lessee's expense and discretion, either defend such action, suit or proceeding, or cause the same to be defended by counsel approved by Lessor, which approval will not be unreasonably withheld. 13.3 Survival. The obligations and liabilities under this Article shall survive and continue in full force and effect and shall not be terminated, discharged or released, in whole or in pan, irrespective of the termination or expiration of the term of this Lease. ARTICLE 14 CONDEMNATION 14.1 Entire Condemnation. If at any time during the term of this Lease all or substantially all of the Demised Premises or the Improvements thereon shall be taken in the exercise of the power of eminent domain by any sovereign, municipality or other public or private authority, then this Lease shall terminate on the date of vesting of title in such taking and any, prepaid rent shall be apportioned as of said date. Substantially all of the Demised Premises and the Improvements thereon shall be deemed to have been taken if the remaining portion of the Demised Premises shall not be of sufficient size to permit Lessee, in Lessee's sole discretion, to operate its business thereon in a manner similar to that prior to such taking. 14.2 Allocation of Award. Any award for such taking of all or substantially all of the Demised Premises shall be paid to the parties hereto in accordance with the following: A. To Lessor, the amount of the award attributable to the Demised Premises, determined as if this Lease was not in effect at the time of such award, excluding therefrom the amount of the award attributable to the Improvements, and all other sums not directly attributable to the value of the land constituting the Demised Premises; B. To Lessee, the entire award except that portion allocated to Lessor above. 3.3 Partial Conde ru atiQn. If less than all or substantially all of the Demised Premises or the Improvements thereon shall be taken inthe exercise of the power of eminent domain by Page 709 of 1019 any sovereign, municipality or other public or private authority, then Lessee, at its option, may elect to continue this Lease ut full force and effect or terminate this Lease. If Lessee shall elect to maintain this Lease in hill force and effect, the award for such partial condemnation shall be allocated as provided in Section 14.2, and Lessee shall proceed with reasonable diligence to carry out any necessary repair and restoration so that the remaining Improvements and appurtenances shall constitute a complete structural unit or units which can be operated on an economically feasible basis tinder the provisions of this Lease. In the event Lessee elects to continue this Lease in full force and effect after a partial condemnation, the Base Rent shall be reduced in proportion to the area of the Demised Premises taken. Should Lessee elect to terminate this Lease upon a partial condemnation, Lessee shall provide Lessor with written notice of such election within thirty (30) days after the date of vesting of title for such taking. Lessee shall specify in such written notice the date on which this Lease shall terminate, which date shall be not less than 60 days nor more than 360 days after delivery of such notice to Lessor (the "Termination Date"). In the event Lessee terminates this Lease, as provided for in this Section 13.3. Lessee shall be entitled to the entire award for such partial taking. 14.4 Temporary Taking. If the temporary_ use of the whole or any part of the Demised Premises or the Improvements thereon or the appurtenances thereto shall be taken at any time during the term of this Lease in the exercise of the power of eminent domain by any sovereign, municipality, or other authority, the term of this Lease shall not be reduced or affected in any way, and Lessee shall continue to pay in full the rent, additional rent and other stun or sums of money and charges herein reserved and provided to be paid by Lessee, and the entire award for such temporary taking shall be paid to Lessee. Lessee shall repair and restore any and all damage to the Demised Premises and the Improvements as soon as reasonably practicable after such temporary taking. 14.5 Effect of Taking. If any taking renders the construction of the hotel and'or water park impossible. any financial penalties set forth in Section 1.3 due after such taking shall not be applicable. ARTICLE 15 ASSIGNMENT AND SUBLE7TLNG Prior to the issuance of the Certificate of Completion ("as defined in Section 3.4 of the Development Agreement) for the Minimum Improvements, this Lease may not be assigned by Lessee without the prior written consent of the Lessor. After the issuance of the Certificate of Completion, the Lessee shall have the right to transfer and assign this Lease to a third party, subject to the consent of Lessor which consent shall not be unreasonably withheld, provided said third parr agrees to comply with the terms and conditions of this Lease. ARTICLE 16 DEFAULT 16.1 Lessor's Rights in the Event of Lessee's Default. If Lessee shall fail or neglect to observe, keep or perform any of the covenants. terms or conditions contained in this Lease on its Page 710 of 1019 pan to be observed, kept or performed, and the default shall continue for a period of thirty (30) days after written notice from Lessor setting forth die nature of Lessee's default (it being intended that in connection with a default not susceptible of being cured with diligence within thirty (30) days, the time within which Lessee has to cure the same shall be extended for such period as may be necessary to complete the same with all due diligence, but in no event longer than ninety (90) days), then and in any such event, Lessor shall have the right at its option, on written notice to Lessee, to terminate this Lease. Lessor shall thereafter have the right to enter and take possession of the Demised Premises with process of law and to remove all personal propert}, from the Demised Premises and all persons occupying the Demised Premises and to use all necessary force therefor and in all respects to take the actual, full and exclusive possession of the Demised Premises and every part of the Demised Premises as of Lessor's original estate, without incurring any liability to Lessee or to any persons occupying or using the Demised Premises for any damage caused or sustained by reason of such entry on the Demised Premises or the removal of persons or property from the Demised Premises. 16.2 Rights of Holder of Encumbrance in Event Lessee Defaults. If Lessee fails or neglects to observe, keep or perform any of the covenants, terms or conditions contained in this Lease on its part to be observed, kept or performed, the Holder of any indebtedness secured by an encumbrance on the leasehold estate under this Lease shall have thirty (30) days after receipt of written notice from Lessor setting forth the nature of Lessee's default and a reasonable time thereafter if it shall have commenced foreclosure or other appropriate proceedings in the nature thereof within such thirty (30) days and is diligently prosecuting such proceedings, but in no event longer than ninety (90) days, within which to endeavor to make good or remove the default or cause for termination of the Lease. All right of Lessor to terminate this Lease on the failure or neglect of Lessee to observe, keep and perform the covenants, terms and conditions of this Lease is, and shall continue to be, at all times prior to payment in full of the indebtedness to the Holder of Lessee, subject to and conditioned on Lessor's having first given the Holder written notice thereof and the Holder having failed to cause the default or cause for termination to be made good or removed within thirty (30) days after receiving written notice of default or cause for termination or within a reasonable time thereafter if it shall have commenced foreclosure or other appropriate proceedings in the nature of foreclosure within such thirty (30) days and is diligently prosecuting such proceedings, but in no event longer than ninety (90) days. In the event that the Lease is terminated due to the Lessee's bankruptcy, insolvency or other proceedings, and in the event the Holder has complied with the terms of this Section 16.2, then Lessor at Holder's option., shall enter into a new lease with Holder or the successful bidder at foreclosure on the same terms as this Lease, for the term then remaining, and specifically preserving all unexercised options. 16.3 Lessee's Rights in the Event of Lessee's Default. if Lessor shall faii or neglect to observe, keep or perform any' of the covenants, terms or conditions contained in this Lease on its pan to be observed, kept or performed, and the default shall continue for a period of thirty (30) days after wTitten notice from Lessee setting forth the nature of Lessoi s default (it being intended that in connection with a default not susceptible of being cured with diligence within thirty (30) days, the time within which Lessor has to cure the same shall be extended for such period as may be necessary to complete the same with all due diligence, but in no event longer than ninety (90) days). then and in any such event. Lessee shall have all rights available to t provided by law or equity. ARTICLE 17 Page 711 of 1019 RIGHT TO CURE OTHER'S DEFAULTS Whenever and as often as a party shall fail or neglect to comply with and perform any term, covenant, condition or agreement to be complied with or performed by such party hereunder, then, following thirty (30) days' prior written notice to such defaulting party (or such additional time to cure as may be accorded Lessee pursuant to Section 16.1 above, but in no event longer than ninety (90) days), the other party, at such other party's option, in addition to all other remedies available to such other party, may perform or cause to be performed such work, labor, services, acts or things, and take such other steps, including entry onto the Demised Premises and the Improvements thereon, as such other party may deem advisable, to comply with and perform any such term, covenant, condition or agreement which is in default, in which event such defaulting party shall reimburse such other party upon demand, and from time to time, for all costs and expenses suffered or incurred by such other party in so complying with or performing such term, covenant, condition or agreement The commencement of any work or the taking of any other steps or performance of any other act by such other party pursuant to the immediately preceding sentence shall not be deemed to obligate such other party to complete the curing of any term, covenant, condition or agreement which is in default. ARTICLE 18 QUIET ENJOY'vTENT Lessor covenants that at all times during the term of this Lease, so long as Lessee is not in default hereunder, Lessee's quiet enjoyment of the Demised Premises or any part thereof shall not be disturbed by any act of Lessor, or of anyone acting by, through or under Lessor. ARTICLE 19 ESTOPPEL CERTIFICATES Each party hereto agrees that at any time and from time to time during the term of this Lease, within ten (10) days after request by the other party hereto or by any lender having an interest in Lessee's leasehold estate, it will execute, acknowledge and deliver to the other party or to such lender or any prospective purchaser, assignee or any mortgagee designated by such other party, a certificate stating (a) that this Lease is unmodified and in force and effect (or if there have been modifications, that this Lease is in force and effect as modified, and identifying the modification agreements), (b) the date to which rent has been paid, (c) whether or not there is any existing default by Lessee in the payment of any rent or other sum of money hereunder, and whether or not there is any other existing default by either party hereto with respect to which a notice of default has been served, and, if there is any such default, specifying the nature and extent thereof, and (d) whether or not there are any setoffs, defenses or counterclaims against enforcement of the obligations to be performed hereunder existing in favor of the party executing such certificate. ARTICLE 20 WAIVER No waiver by either party hereto of any breach by the other of any tom, covenant, condition or agreement herein and no failure by any party, to exercise any right or remedy in respect of any breach hereunder, shall constitute a waiver or relinquishment for the fume of any Page 712 of 1019 such term, covenant, condition or agreement or of any subsequent breach of any such term, covenant, condition or agreement, nor bar any right or remedy of the other party in respect of any such subsequent breach, nor shall the receipt of any rent, or any portion thereof, by Lessor, operate as a waiver of the rights of Lessor to enforce the payment of any other rent then or thereafter in default, or to terminate this Lease, or to recover the Demised Premises, or to invoke any other appropriate remedy which Lessor may select as herein or by law provided. ARTICLE 21 SURRENDER Lessee shall, on the last day of the term of this Lease or upon ary termination of this Lease, surrender and deliver up the Demised Premises, with the improvements then located thereon into the possession and use of Lessor, without fraud or delay and in good order, condition and repair, reasonable wear and tear excepted, free and clear of all lettings and occupancies, free and clear of all liens and encumbrances other than those existing on the date of this Lease and those, if any, created by Lessor, without (except as otherwise provided herein) any payment or allowance whatever by Lessor on account of or for any buildings and Improvements erected or maintained on the Demised Premises at the time of the surrender, or for the contents thereof or appurtenances thereto. Lessee's Trade Fixtures, personal property and other belongings of I.essee or of any sublessee or other occupant of space in the Demised Premises shall be and remain the property of Lessee, and Lessee shall have a reasonable time after the expiration of the term of this Lease (not to exceed thirty (30) days) to remove the same. ARTICLE 22 MEMORANDUM OF LEASE Each of the parties hereto will, promptly upon request of the other, execute a memorandum of this Lease in a form suitable for recording setting forth the names of the parties hereto and the term of this Lease, identifying the Demised Premises, and also including such other clauses therein as either party may desire, except the amounts of Basic Rent payable hereunder. ARTICLE 23 NOTICES 23.1 All notices, demands or other writings in this Lease provided to be given or made or sent, or which may be given or made or sent, by either party to the other, shall be deemed to have been fully given or made or sent when made in writing and deposited in the United States mail. registered and postage prepaid, and by facsimile addressed as follows: TO LESSOR: City of Dubuque, Iowa City 4lanager Citv Hall 13d, and Central Avenue Dubuque IA 42001 Fax 319 589.4149 TO LESSEE: Platinum Holdings, LLC Page 713 of 1019 801 Jackson St. Dubuque, lA 52001 23.2 The address and/or fax number to which any notice, demand or other writing may be given or made or sent to any party as above provided may be changed by written notice given by the party as above provided. ARTICLE 24 MISCELLANEOUS 24.1 Time of the Essence. Time is of the essence of this Lease and all of its provisions. 24.2 Governing Law. It is agreed that this Lease shall be governed by, construed and enforced in accordance with the laws of the State of Iowa. 24.3 Paraeravh Heading. The titles to the paragraphs of this Least are solely for the convenience of the parties and shall not be used to explain, modify, simplify or aid in the interpretation of the provisions of this Lease. 24.4 Modification of Agreement. Any modification of this Lease or additional obligation assumed by either party in connection with this Lease shall be binding only if evidenced in a writing signed by each party or an authorized representative of each party. 24.5 Parries Bound. This Lease shall be binding on and shall inure to the benefit of and shall apply to the respective successors and assigns of Lessor and Lessee. All references in this Lease to "Lessor" or "Lessee" shall be deemed to refer to and include successors and assigns of Lessor or Lessee without specific mention of such successors or assigns. 24.6 Force Majeure. In the event that either party hereto shall be delayed or hindered in or prevented from the performance of any act required hereunder by reason of strikes, lockouts, labor troubles, unavailability of construction materials, unavailability or excessive price of fuel, power failure, riots, insurrection, war, terrorist activities, explosions, hazardous conditions, fire, flood, weather or acts of God, or by reason of any other cause beyond the exclusive and reasonable control of the party delayed in performing work or doing acts required under the terms of this Lease (collectively "Force Majeure"), then performance of such act shall be excused for the period of the delay and the period for the performance of any such act shall be extended for a period equivalent to the period of such delay. 24.7 Conflict. To the extent there is a conflict of terms between the Development Agreement and this Lease, the terms of the Development .Agreement shall control. 24.8 Entire Agreement. This Agreement, along with the Development Agreement and ,Minimum Assessment Agreement, constitutes the entire agreement between the Lessor and the Lessee regarding the tease of the Demised Premises and supercedes all previous oral or written agreements between the parties regarding the subject matter of this Lease. Page 714 of 1019 LESSOR: CITY OF DUBUQUE, IOWA �!� / J Attest: / l� � � _. �.: �J By: eanne F. Schneider, City Clerk JpRobbins, Mayor Pro Tem LESSEE: PLATINUM HOLDINGS, LLC By: J= P. Rix, Manager STATE OF IOWA, DUBUQUE COUNTY) ss: On this —r day of /� , _ 2001, before me, the undersigned, a Notary Public in and for the State of Iow"ersonally appeared James P. Rix, to me personally known, who being by me duly swom, did say, that he is the Manager of the limited liability company executing the within and foregoing instrument to which this is attached; that said instrument was signed on behalf of the limited liability company by authority of its Managers; and that James P. Rix, as Manager, acknowledged the execution of the foregoing instrument to be the voluntary act and deed of the limited liability company, by it and by him vo tarily executed. I otary Public, State of Iowa STATE OF IOWA, DUBUQUE COUNTY) ss: On this �/ day of 2001, before me, the undersigned, a Notary Public vta� in and for the State of lopersonally appeared James T. Robbins and Jeanne F. Schneider, to me personally known, who, being by me duly sworn, did say, that they are the Mayor Pro Temp and City Clerk, respectively, of the City of Dubuque, Iowa, executing the within and foregoing instrument, that no seal has been procured by the corporation; that said instrument was signed on behalf of the City, by authority of its City Council; and that Joseph T. Robbins and Jeanne F. Schneider, as Mayor Pro Tern and City Clerk, respectively, acknowledged the execution of the foregoing instrument to be the voluntary act and deed of the City, by it and by them voluntarily executed. Notary Public. State of Iowa Page 715 of 1019 Page 716 of 1019 CITY OF DUBUQUE, IOWA OFFICIAL NOTICE PUBLIC NOTICE is hereby given that the Dubuque City Council will conduct a public hearing on the 5T" day of January, 2026, at 6:30 p.m., in the Historic Federal Building, 350 W. 6th Street, 2nd floor, Dubuque, Iowa, at which meeting the City Council proposes to assign its Lease Agreement with Westdale Capital Investors 3, LP as successor in interest to Platinum Holdings, LLC to Riddle's Group, Inc. At the meeting, the City Council will receive oral and written comments from any resident or property owner of said City to the above action. The official City Council agenda will be posted the Friday before the meeting and will contain public input options. The agenda can be accessed at https://dubugueia.portal.civicclerk.com/ or by contacting the City Clerk's Office at 563-589-4100, ctyclerk@cityofdubuque.org. Written comments on the public hearing may be submitted to the City Clerk's Office by email at ctyclerk@cityofdubuque.org or by mail to City Hall, 50 W. 13th St., Dubuque, IA 52001, before the scheduled hearing. The City Council will review all written comments at the time of the hearing. Documents related to the public hearing are on file in the City Clerk's Office and may be viewed Monday through Friday between 8:00 a.m. and 5:00 p.m. Individuals requiring special assistance should contact the City Clerk's Office as soon as feasible. Deaf or hard -of -hearing individuals can use Relay Iowa by dialing 711 or (800) 735-2942. Published by order of the City Council given on the 15th day of December 2025. Adrienne N. Breitfelder, CIVIC, City Clerk Page 717 of 1019 Prepared by Crenna Brumwell City Attorney 300 Main Street Suite 330 Dubuque IA 52001 (563) 589-4381 Return to Adrienne N. Breitfelder, City Clerk, 50 W. 1311 St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 399-25 FIXING THE DATE FOR A PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA ON AN ASSIGNMENT OF THE LEASE AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND WESTDALE CAPITAL INVESTORS 3, LP AS SUCCESSOR IN INTEREST TO PLATINUM HOLDINGS, LLC TO RIDDLE'S GROUP, INC., FIXING THE DATE FOR A PUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA ON THE PROPOSED ASSIGMENT OF THE LEASE AGREEMENT, AND PROVIDING FOR THE PUBLICATION OF NOTICE THEREOF WHEREAS, Platinum Holdings, LLC (Platinum) and the City of Dubuque, Iowa (City) entered into a Lease Agreement dated June 14, 2001 (Lease Agreement), as amended; and WHEREAS, Westdale is the successor in interest to Platinum pursuant to a foreclosure judgment and sale; and WHEREAS, Westdale desires to assign the Lease Agreement to Riddle; and WHEREAS, the City Council has tentatively determined that it would be in the best interests of City to approve the Assignment from Westdale Capital Investors 3 LP as successor in interest to Platinum Holdings, LLC. to Riddle's Group, Inc.; and WHEREAS, before said Assignment may be approved, Iowa Code §364.7 requires that the City Clerk publish a notice of the proposal and of the time and place of the meeting at which the City Council proposes to take action thereon and at which meeting the City Council shall receive oral and/or written objections from any resident or property owner of said City to such proposed action. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA THAT: Section 1. The City Clerk is hereby authorized and directed to cause a notice to be published as prescribed by Iowa Code Section 403.9 of a public hearing on the City's intent to approve the Assignment of the Lease Agreement by and between City of Dubuque and Westdale Capital Investors 3, LP as successor in interest to Platinum Holdings, LLC to Riddle's Group, Inc.; to be held on the 5th day of January 2026, at 6:30 p.m. for the purpose of receiving public input and comment regarding the proposed Assignment of the Lease Agreement between the City of Dubuque and Westdale Capital Investors 3, LP as successor in interest to Platinum Holdings, LLC to Riddle's Group, Inc. Section 2. The City Council will meet at said time and place for the purpose of taking action on the matter of approving the Assignment of the Lease Agreement Section 3. The City Clerk is hereby directed to cause at least one publication to be made of a notice of said meeting, in a newspaper, printed wholly in the English language, published at least once weekly, and having general circulation in said City, said publication to be not less than four days nor more than twenty days before the date of said meeting on the issuance of said Obligations. Section 4. That the notice of the meeting shall be in substantially the form attached hereto. Passed, approved and adopted this 15th day of December, 2025. Brad M. a a agh, Mayor Attest: Adrienne N. Breitfelder, City Clerk