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Proposed Resolution Terminating Lease With Hernando Beach Marine Group, Inc., for Real Property Located at 4340 Calienta Street, Hernando Beach, and Electing to Retake Possession Thereof
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BRIEF OVERVIEW
Factual Background
As the County Commission is aware, Hernando County (the "County") leases to the Hernando Beach Marine Group, Inc. (HBMG or the Marine Group), approximately 1.8-acres of land that is located at 4340 Calienta Street, Hernando Beach, Florida 34607-3101 (Parcel #: R07-423-17-0000-0020-0020; Parcel Key: 594654) (the "Parcel"). The County and the Marine Group executed into the current lease agreement on March 1, 1982 (the "Lease"). The Marine Group then constructed a two-story building on the Parcel and sublet a portion of the property upon which its subtenant constructed a telecommunications tower. The parties subsequently amended the Lease twice, but neither of those amendments are germane to this agenda item.
Paragraph 3(C) of the Lease requires HBMG to "maintain in effect throughout the term of this lease comprehensive public liability insurance covering the premises and its appurtenances in the amount of $100,000 for bodily injury of any one person, $100,000 for bodily injury in one occurrence and property damage insurance in the amount of $25,000. Such insurance shall specifically insure Lessee against all liability imposed by law, and shall insure both Lessor and Lessee."
In the early 2020's disputes arose between the County and the Marine Group on several issues related to the Lease. Amongst those issues was the Marine Group's failure to maintain insurance on its leasehold as required by Paragraph 3(C) of the Lease.
The County Commission considered how it wished to resolve its ongoing disputes with the Marine Group over the Lease during its meeting of February 28, 2023. After the Commissioners reviewed its available options, Commissioner Hawkins made a motion that proposed a settlement which included a requirement that t...
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