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HomeMy WebLinkAbout4/5/02 corres1614sycamoreMICHAEL W. KENNEDY STEVEN C. ANDERSON KIRSTEN H. FREY KANDIE K. BRISCOE CHAD T. WARREN MLLIAN LYONS DAVIS KENNEDy, CRUISE, ANDERSON & FREY, L.L.P. LAWYERS 920 S. DUBUQUE STREET - P.O. BOX 2000 IOWA CITY, IOWA 5~244 January 18, 2002 AREA CODE 319 TELEPHONE 3B 1-818! FAX 35 OF COUNSEI' JOHN O. CRUISE Mr. Tim Hermes Senior Building Inspector City of Iowa City 410 East Washington Street Iowa City, IA 52240 Re: i HOUSING & INSPECTICN SERVICES i IOW.& CITY, IOWA Standpipe/Pump Schedule for Sycamore Mall ~- ........................................ --~ Temporary Certificate of Occupancy Dear Mr. Hermes: I am contacting you at this time in response to your concerns regarding the Standpipe/Pump installation schedule and the requested certificate of occupancy for McDonald Optical. Although my client does not agree with all aspects of the chronology you provided and believes that the installation of a 100 psi standpipe system and pump is not warranted given the circumstances at Sycamore Mall, MGD, and Donald McDonald and John McDonald d/b/a/ McDonald Optical agree as follows: 1. The standpipe installation schedule will be revised to include a completion date of March 1, 2002. 2. MGD, L.C., the owners of Sycamore Mall, and Donald McDonald and John McDonald, the tenant operating McDonald Optical in Sycamore Mall, hereby affirmatively acknowledge that the temporary occupancy permit will expire March 1, 2002, and that in the event the standpipe installation is not complete by said date, McDonald Optical will not be permitted to be open for business. Therefore, MGD, L.C. and Donald McDonald and John McDonald d/b/a/McDonald Optical hereby agree that if the standpipe installation is not complete by March 1, 2002, that McDonald Optical in Sycamore Mall will be closed until such time as the standpipe installation is complete and approved by the City. 3. Commencing November 16, 2001 and continuing until the standpipe installation is complete, MGD, L.C. will also provide a fire watch system which will entail a person, who has been trained to recognize fire conditions, being present in Sycamore Mall during all normal business hours of the businesses in Sycamore Mall. This individual shall be capable of manually activating the fn'e alarm system, and communicating effectively with Iowa City Emergency Dispatch Center, either via the 91! system or a 2-way radio system to elicit a timely fire response. It is our understanding that as consideration for these representations and agreements, the City of Iowa City will issue a temporary occupancy permit to Donald McDonald and John McDonald d/b/a/McDonald Optical. Very truly yours, I, Michael E. Hodge, affirmatively state that I am the Manager and a Member of MGD, L.C., the owner of Sycamore Mall, that I have read the foregoing, and MGD, L.C. agrees to be bound by the terms, provisions, and representations made herein. Michael E. Hodge, Member and Manager We, Donald McDonald and John McDonald, owners of McDonald Optical located in Sycamore Mall, that we have read the foregoing, and that I agree to be bound by the terms, provisions, and representations made herein. DONALD MCDONALD JOHN MCDONALD KHF/sd cc: Donald and John McDonald Kevin Digmann kf20\McDonald Optical Standpipe letter Agreement THIS AGREEMENT, by and between MGD, L.C., an Iowa limited liability company, hereinafter referred to as "MGD" and Donald McDonald and John McDonald d/b/a/McDonald Optical, hereinafter jointly referred to as "McDonald." WlTNESSETH: WHEREAS, MGD is the owner of Sycamore Mall in Iowa City, Iowa and McDonald is the owner of McDbnald Optical in Sycamore Mall; and WHEREAS, MGD has leased space in Sycamore Mall to McDonald for the operation of a retail store for glasses, contacts and related products; and WHEREAS, in connection with the improvement of the restaurant location in Sycamore Mall the City of Iowa City is requiring the installation of a automatic-wet standpipe system; and WHEREAS, the City of Iowa City is only willing to issue a temporary occupancy permit to McDonald on certain terms and conditions; and NOW THEREFORE, in light of the mutual consideration exchanged herein, the receipt and sufficiency of which is hereby acknoWledged, the parties do hereby agree as follows: MGD and McDonald agree to execute the letter agreement requested by the City of Iowa City, a copy of which is attached hereto as Exhibit "A', and to be bound by the terms and conditions thereof. In exchange for McDonald agreement to close its business on March 1, 2002 if the standpipe/pump installation is not complete as required by the revised installation schedule, MGD hereby agrees to indemnify McDonald for the costs associated therewith and to hold McDonald harmless from any and all damages incurred as a result of any closure of McDonald Optical required by the agreement with the City of Iowa City represented by Exhibit "A" attached hereto. MGD, L.C. By: Michael E. Hodge, Manager and Member DONALD MCDONALD AND JOHN MCDONALD d/b/a/~cDonald Optical //~ I~onald McD~)nald C NovemberlS, 2001 Tim Hennes City of Iowa City Building Dept 400 E. Washington Street Iowa City, IA 52240 P.O. Box 101e Phoe~ 319-233-6103 Fax 31~-234-813:3 702 $. GRb, ert S~. ~'te. #111 k~ra C~, I~, ~e 319-,3,41-602~ Fox 31~-2:34.~ 135 Dear Mr. Hennes: The Sycamore Mall building, located at 1660 Sycamore Street in Iowa City, is insured by the Amco Insurance Company, a subsidiary of Nationwide Insurance. The insurance is written by The Sinnott Agency, 702 S Gilbert Street, Iowa City, Iowa. This coverage applies to the entire mall structure including the theaters. The Sycamore Mall is currently insured for $15 million in property coverage. The limit of liability on the mall is $11 mill per occurrence. We have had numerous meetings w/th the owners and feel this is adequate coverage. In response to your letter dated November 14, 2001, more specifically, Item 3, we are and have been fully aware of the on-going construction, including bringing building to current code standards. It is our understanding that the majority of this construction process is to take place during a 18-24 month period, convening sometime in the fall of 2002. If we can be of further assistance, please contact me at 800-897-7391.