Dubuque Racing Association & Peninsula Gaming Sublease Extension
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MEMORANDUM
June 15, 2005
TO:
The Honorable Mayor and City Council Members
FROM:
Michael C. Van Milligen, City Manager
SUBJECT: Extension of Sublease Agreement
I respectfully recommend Mayor and City Council consent to the Extension of Sublease
Agreement between the Dubuque Racing Association and Peninsula Gaming Company,
LLC for property in the Port of Dubuque.
(It I (:~/ki~
Michael C. Van Milligen ----
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Bruce Wentworth, General Manager, Dubuque Racing Association
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BAR R Y A. L I N 0 A H L, E S
CORPORATION COUNSE I CITY OF DUBUQUE
MEMO
To:
Michael C. Van Milligen
City Manager
DATE:
June 6, 2005
RE:
Sublease Agreement Between Dubuque Racing Association, L TD
and Peninsula Gaming Company, LLC
Mike:
Attached are two originals of the Extension of Sublease Agreement which I understand
was approved by DRA and Peninsula on May 31st.
The Sublease Agreement requires the City's consent to any amendments. I believe this
extension should be placed on the City Council agenda for the June 20th City Council
meeting for approval.
Attachment
SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944
TELEPHONE (563) 583-4113/ FAX (563) 583-1040/ EMAIL balesq@cityofdubuque.org
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Prepared by: Brian 1. Kane, KANE, NORBY & REDDICK, P.C., 2100 Asbury Rd., Ste. 2, Dubuque, IA 52001563-582-7980
EXTENSION OF SUBLEASE AGREEMENT
This Extension of Sublease Agreement ("Extension") is made and entered into this 1 st day
of June, 2005, by and between DUBUQUE RACING ASSOCIATION, LTD., an Iowa nonprofit
corporation (the "Lessor") and PENINSULA GAMING COMPANY, LLC, now known as
DIAMOND JO, L.L.C. (the "Lessee").
RECITALS
A. Lessor and Lessee's predecessor in interest entered into that certain Sublease
Agreement dated October 18, 1993 (the "Sublease") which has been amended by a
Memorandum of Agreement dated February 8, 1996, and a First Amendment to
Sublease Agreement dated July 15, 1999 (the "Sublease as Amended");
B. The Lease Premises (as such term is defined in the Sublease) include Lot C (a/k/a Lot
5), Lot D, and the existing dock facilities as depicted on Exhibit "AA" attached
hereto and by this reference made a part hereof;
C. The City of Dubuque leases the Lease Premises to Lessor which, in turn, subleases
the Lease Premises to Lessee, which arrangement the parties, including the City,
desire to extend through and including 11:59 p.m. on December 31,2018; and,
D. The parties desire to reduce their agreement with regard to this extension to writing.
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, the parties agree upon the following mutual terms and conditions:
1. EXTENSION. Lessor agrees to extend the term of the Sublease as Amended from
and after 11 :59 p.m. on December 31, 2008, through and including 11 :59 p.m. on
December 31,2018, on the same terms and conditions as provided in the Sublease
as Amended ($1.00 per year rent).
2. CONDITION. This Extension is subject to the City of Dubuque, Iowa leasing the
Lease Premises to Lessor through and including 11 :59 p.m. on December 31,2018,
via an extension to be executed contemporaneously herewith.
3. AFFIRMATION. In all other respects, except as specifically modified herein, the
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parties affirm the Sublease as Amended.
4. ACKNOWLEDGMENT. The parties acknowledge that Lessor is no longer a party
to the Revised Ice Harbor Parking Agreement dated May 23, 2000. The parties
acknowledge that the Extension with respect to Lot "C" only shall be on a non-
exclusive basis for parking for Lessee's management employees and patrons, as
well as general public parking for the Ice Harbor. The parties further acknowledge
that Tenant shall be relieved of all maintenance and insurance obligations with
respect to Lot "C."
4 MISCELLANEOUS. This Extension shall be governed by and construed in
accordance with the laws of the State ofIowa.
IN WITNESS WHEREOF, this Extension was signed effective as of the date and year first
above written.
PENINSULA GAMlNG COMPANY, LLC
DUBUQUE RACING ASSOCIATION, LTD.
By its authorized representative
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By its authorized representative
STATE OF IOWA )
DUBUQUE COUNTY ) ss:
This instrument was acknowledged before me on the / day of June, 2005, by
tJI-'4-'--rE ~ as cp 16-"'\ of Peninsula G . g ompany, LLC.
STATE OF IOWA )
DUBUQUE COUNTY ) ss:
On this ~ day ofJune, 2005, before me, the undersigned, a Notary Public in and for said
State, personally appeared ..6ru6Z- to.e/llvoolW,- and to me
personally known, who being by me duly sworn, did say that they are the
het081a/ /lJa./la &1 e.-<.. and respectively, of Dubuque Racing
Association, LTD.; thai no seal has been procured by the said corporation that said instrument was
signed on behalf of said corporation by authority of its Board of Directors; and that the said
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and as such officers, acknowledged the
execution of said instrument to be the voluntary act and deed of said corporation, by it and by them
voluntarily executed.
6H
'i';.:;t... KATHRYN MAL.ON~
!..~ Commission Numb r 71 86
'0";;:- My Comm. Exp.
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NOTARY P LIC iN 1\ND
FOR THE STATE OF IOWA
CONSENT TO THE FOREGOING BY:
~ OF DUBUQUE, IOWA
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ATTEST:
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STATE OF IOWA )
COUNTY OF DUBUQUE ) ss: .J
On this Zl'''''dayofJune, 2005, before me, KAJ.i:r.I M. ehe~fel~totaryPublicin and
for the State of Iowa, personally appeared Terrance M. Duggan and Jeanne F. Schneider, to me
personally known, and, who, being by me duly sworn, did say that they ~e the Mayor and City
Clerk, respectively, of the City of Dubuque, Iowa; that the seal affixed to the foregoinginstrument
is the corporate seal of the city, and that the instrument was signed and sealed on behalf of the city,
and that they acknowledged the execution of the mstrument to be their vohintaiyact and deed and
the voluntary act and deed of the corporation, by it voluntarily executed.
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~"\Al ~KAREN M. CHESTERMAN
~ ": ..~ COMMISSION NO. 108258
. . MY CO ISSION E~/RES
IO~ J.. D 1/
NOTARY PUBLIC IN AND
FOR THE STATE OP'10WA
F:\WPDOCSlMissy\DOCS\DRA - Peninsula Gaming Co Extension of Sublease (2nd Vcrsion).wpd
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City Oerk's Office
50 West 13th Street
Dubuque, Iowa 52001-4864
(563) 589-4120 Office
(563) 589-Q890 Fax
(563) 6~678 TDD
www.cityofdubuque.org
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June 22, 2005
Brian J. Kane
Kane, Norby & Reddick
2100 Asbury Road
Dubuque IA 52001
Steve Krumpe
O'Connor and Thomas
700 Locust Street
Dubuque IA 52001
Dear Brian and Steve:
I have attached a signed copy of the Extension of Sublease Agreement between the
Dubuque Racing Association and Peninsula Gaming Company, LLC, which was
approved by the City Council on June 20, 2005.
If you have any questions please feel free to contact me.
Sincerely,
/Jd4~
a~~ne F. Schneider
City Clerk
cc: Barry Lindahl, Corporation Counsel
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