SUBLEASING

There are several types of sublease situations which may be encountered. The agency may be a sublessor or sublessee in a state-owned facility or in a privately-owned facility. The procedures in each case are unique and are treated separately in this chapter.

1. AS SUBLESSEE IN A PRIVATELYOWNED FACILITY.

A. In addition to the documents normally submitted subleases require:

1. Lease agreement between the lessor and lessee from whom the agency is subleasing (One copy).

2. Written consent to enter into a sublease, from the lessor to the lessee (One copy).

3. The Disclosure Statement is to be completed by the building owner, not the sublessor.

B. When an agency plans to be a sublessee, of a building in the private sector, the same procedures are followed as those in normal lease acquisition process. The only difference is rather than leasing from the facility owner, the agency is leasing from the lessee of the facility.

C. The Standard Lease Agreement will be altered as follows:

1. Add the word "Sublease" under the lease number.

2. Article XXIV DEFINITION OF TERMS add (d.) The term "lease agreement” or "agreement" as used in this document shall be interpreted to mean "sublease" or "sublease agreement" and "Lessor and lessee" shall be interpreted to mean "sublessor and sublessee".

2. AS SUBLESSOR IN STATEOWNED FACILITIES MANAGED BY DMS.

A. Leases in state-owned DMS managed buildings are administered by the State Leasing Section of The Bureau of Property Management.

B. If a stateowned facility managed by DMS is leased to an agency, and the agency desires to sublease to another entity, the request to sublease must be submitted to DMS. The request must contain specific reasons why it is in the best interest of the state to have the entity situated in the state building.

C. If approved, the sublease is to include:

1. A statement of the entity's activities so as to meet the "public purpose" use test.

2. Reference to the primary lease between the Agency and the Department of Management Services.

3. Clauses as necessary to delineate:

a. The exact area to be used.

b. Liabilities and insurance required of the entity.

c. Cost allocation of expenses (utilities, janitorial, etc.) to be charged, if applicable.

d. Term of the agreement.

e. Such other clauses as needed to define responsibilities of the parties.

4. Generally rent should be charged at a rate which will compensate the agency for the expenses incurred by the basic lease, and other expenses.

3. AS SUBLESSEE IN STATEOWNED FACILITIES MANAGED BY DMS.

A. If an agency desires to sublease space in a stateowned facility managed by DMS from another state agency, a Request for Prior Approval of Space Need requesting permission to sublease must be forwarded to The Public Sector Leasing Section. This situation will only occur when the leasing state agency does not desire to relinquish control of the space in the state-owned building.

B. Generally, when an agency is to acquire space which is presently occupied by another entity, the agency holding the lease will release the space to DMS and execute lease documents to cancel their lease on the space. DMS will in turn prepare lease documents for the receiving agency to acquire the space.

ASSIGNMENT OF LEASED SPACE

FROM ONE AGENCY TO ANOTHER

1. A lease may be assigned to another agency when:

A.  Circumstances occur which make it desirable for the agency to discontinue occupancy of the space but the criteria for terminating the lease cannot be met.

B.  The Lessor is not agreeable to a cancellation of the lease by mutual agreement but is agreeable to an assignment of the lease.

1. If the Lessor is not agreeable to a cancellation, other agency staff should be identified to occupy the vacant space. The lessor cannot arbitrarily withhold permission to assign a lease.

2. The agency desiring to relinquish the space should contact other agencies to identify one which desires to utilize the space. DMS may be contacted to identify other agencies which might be in need of space at the present time.

2. The following documents will be prepared for processing.

A. The assigning agency is to:

1. Prepare a letter stating its desire to relinquish the space. Include an explanation of why the space is no longer needed and what leasing actions will be taken to house the program formally located in the space.

2. Obtain from the lessor a written acknowledgment stating his approval of the assignment.

3. These two items are to be given to the acquiring agency for submittal to DMS as part of their Electronic Request For Prior Approval of Space Need package.

4. If applicable, the assigning agency will need to submit the necessary documentation to acquire a new lease or modify an existing lease to obtain space for the program vacating the assigned space.

B. The acquiring agency is to:

1. Prepare an Electronic Request for Prior Approval of Space Need, form FM 4105 stating the desire to acquire the space.

2. Assemble these documents along with the documents provided by the assigning agency and submit them to DMS for approval.

3. The following documents will be prepared for processing:

A. Agreement for Assignment of Lease, form FM 4138, each with original signatures, three copies.

B. Certificate of Compliance (FM 4113), one original.

C. Disclosure Statement (FM 4114) or disclosure update with original signatures.

4. After preparation and assembly of documents:

A. Obtain the signatures of the assigning agency and the lessor on all copies of the assignment.

B. Route to the designated agency staff for reviews, approvals and signatures.

C. The documents are then forwarded to DMS.

1. If technical errors are noted, the documents will be returned to the agency for correction(s).

2. When the documents are technically correct, the assignment will be approved or filed.

3. A letter of approval or filing will be sent to both agencies and the comptroller. If applicable, approved copies of the Agreement for Assignment of Lease will be returned.

INSTRUCTIONS FOR COMPLETING AN AGREEMENT OF

ASSIGNMENT OF LEASE AGREEMENT

(1) FROM: LEASE NO.: Enter the lease number from which this assignment applies.

(2) TO: LEASE NO.: Enter lease number to which this assignment applies.

(3) DEPARTMENT: Enter assigning Agency name.

(4) LEASE NO.: Same as (1).

(5) DATED: Enter the effective date of the lease from page 1 of the Standard Lease Agreement.

(6) ASSIGNING AGENCY: Same as (3).

(7) LESSOR: Enter the Lessor’s name exactly as it appears on the lease.

(8) RECEIVING AGENCY: Enter the agency taking over the lease.

(9) EFFECTIVE: Enter the effective date for this assignment.

(10) LEASE NUMBER: Same as (1)

(11) NEW LEASE NUMBER: Enter the new lease number assigned by DMS.

(12) LESSOR (INDIVIDUAL) AND WITNESS: Two witnesses are required to attest the signature of individual(s). Their names should be typed under signature blank.

Example:

Signed, sealed and delivered in the presence of:
______
Witness Signature
______
Print or Type Name of Witness
______
Witness Signature
______
Print or Type Name of Witness
AS TO LESSOR / Lessor, if individual(s):
______(SEAL)
______
Print or Type Name
______(SEAL)
______
Print or Type Name

(13) LESSOR (CORPORATION ETC.) AND WITNESS: Two witnesses are required to attest the signature. Their names should be typed under signature blank. The Corporate, Trust or Partnership name needs to be typed and with the corporation, the corporate seal affixed and attested by the secretary of the corporation.

Example:

Signed, sealed and delivered in the presence of:
______
Witness Signature
______
Print or Type Name of Witness
______
Witness Signature
______
Print or Type Name of Witness
As to President, General Partner, Trustee / Name of Corporation, Partnership, Trust, etc.:
By:______(SEAL)
Its President, General Partnership, Trustee
ATTEST:______(SEAL)
Its Secretary

(14) LESSEE (ASSIGNING): The witness signature blanks are the same as above, the Agency Head blank, can be signed by the person with signature authority for the outgoing agency.

(15) LESSEE (RECEIVING): The witness signature blanks are the same as above, the Agency Head blank, can be signed by the person with signature authority for the incoming agency.

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STATE OF FLORIDA

DEPARTMENT OF MANAGEMENT SERVICES

AGREEMENT FOR ASSIGNMENT OF LEASE

From: LEASE NO. : (1) To: LEASE NO. : (2)

The Department of (3) hereby assigns all right, title and interest in and to that certain lease agreement number (4) dated (5) between the Department of (6) , and (7) Lessor, to the Department of (8) , effective (9) , 20 .

This assignment is hereby agreed to by the undersigned Lessor, all terms and conditions of the original lease to remain the same.

Please take notice that the above referenced Lease Number (10) has been changed to Lease Number (11) .

FM 4138 (R05/04)

LEASE NO.:

MODIFICATION NO.:

IN WITNESS WHEREOF, the parties have executed this instrument this day of , 20 .

ANY MODIFICATION OF A LEASE AGREEMENT SHALL NOT BECOME LEGALLY EFFECTIVE UNTIL APPROVED/ACCEPTED BY THE DEPARTMENT OF MANAGEMENT SERVICES.

ORIGINAL SIGNATURES REQUESTED ON ALL COPIES

Signed, sealed and delivered in the presence of:
______
Witness Signature
______
Print or Type Name of Witness
(12)
______
Witness Signature
______
Print or Type Name of Witness
AS TO LESSOR / Lessor, if individual(s):
______(SEAL)
______
Print or Type Name
______(SEAL)
______
Print or Type Name
Signed, sealed and delivered in the presence of:
______
Witness Signature
(13)
______
Print or Type Name of Witness
______
Witness Signature
______
Print or Type Name of Witness
As to President, General Partner, Trustee / Name of Corporation, Partnership, Trust, etc.:
By:______(SEAL)
Its President, General Partnership, Trustee
ATTEST:______(SEAL)
Its Secretary
Signed, sealed and delivered in the presence of:
______
Witness Signature
______
Print or Type Name of Witness
(14)
______
Witness Signature
______
Print or Type Name of Witness
AS TO LESSEE / LESSEE: (Assignor)
STATE OF FLORIDA
DEPARTMENT OF
By:______
______
Print or Type Name
______
Print or Type Title
Signed, sealed and delivered in the presence of:
______
Witness Signature
______
Print or Type Name of Witness
(15)
______
Witness Signature
______
Print or Type Name of Witness
AS TO LESSEE / LESSEE: (Assignee)
STATE OF FLORIDA
DEPARTMENT OF
By:______
______
Print or Type Name
______
Print or Type Title
Approved As To Conditions and Need Therefore
Department of Management Services
______
General Services Manager
Bureau of Real Property Management
______, Director
Division of Facilities Management
Approval Date:______/ Approved As to Form and Legality, Subject Only To Full and Proper Execution by the Parties
General Counsel
Department of Management Services
By: ______
______
Print or Type Name
Approval Date: ______/ Approved As to Form and Legality, Subject Only To Full and Proper Execution by the Parties
General Counsel
Department of
By: ______
______
Print or Type Name
Approval Date: ______

FM4138 (R05/04)

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PLEASE NOTE YOUR COMMENTS AND SUGGESTIONS AND SEND THEM TO DMS

CHAPTER 6

Lisa Lehman

Department of Management Services

Bureau of Property Management

Building 4030, Suite 315

4050 Esplanade Way

Tallahassee, FL 32399-0950

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