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HomeMy WebLinkAboutReso 91-011 - Approve lease agreement between COR & State of Calif, acting by and through the director of the Dept of Gen Services, for certain Hangar & Aircraft Parking Apron Facilities at Benton Airport I 91 RESOLUTION NO. 1— ZII t A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING THE LEASE AGREEMENT BETWEEN THE CITY OF REDDING AND THE STATE OF CALIFORNIA, ACTING BY AND THROUGH THE DIRECTOR OF THE DEPARTMENT OF GENERAL SERVICES, FOR CERTAIN HANGAR AND AIRCRAFT PARKING APRON FACILITIES AT BENTON AIRPORT, AND AUTHORIZING THE MAYOR TO SIGN SAME. IT IS HEREBY RESOLVED by the City Council of the City of I Redding as follows: 1 . That the City Council of the City of Redding hereby approves the Lease Agreement between the City of Redding and the State of California acting by and through the Director of the Department of General Services, .for certain hangar and aircraft parking apron facilities at Benton Airport, a true copy of which is attached hereto. I 2 . That the Mayor of the City of Redding is hereby autho- rized and directed to sign said Lease Agreement on behalf of the City of Redding, and the City Clerk is hereby authorized and t directed to attest the signature of the Mayor and to impress the official seal of the City of Redding. I HEREBY CERTIFY that the foregoing Resolution was intro- duced and read at a regular meeting of the City Council of the i City of Redding on the 2nd day of January 1991, and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: Arness, Dahl , Fulton, Moss & Buffum NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None NANCY gWFUM, M City Redding ATTEST: FORM APPROVED: E.�HiEL /A, NICHOL�, City Clerk RA DALL A. HAY ty Attorney Project No. 9010047 LEASE AGREEMENT i THIS LEASE, made and entered into this 1st day of July, 1990, by i and between the CITY OF REDDING, a Municipal Corporation and General Law City of the State of California, hereinafter called the Lessor, without distinction as to number or gender, and the State of California, acting by and through the Director of the Department of General Services, hereinafter called the Lessee; A W I T N E S S E T H: i WHEREAS, LESSOR owns and maintains Benton Airpark, an aircraft faci- lity located in the City of Redding, County of Shasta, State of California; and WHEREAS, LESSEE desires to lease certain hangar and aircraft parking apron facilities at said Airport, as depicted in red outline on Exhibit "A," and has applied to the City Council of LESSOR for a permit to operate an aircraft hangar operation for the California Highway Patrol at said Airport; and WHEREAS, LESSEE has been renting said hangar and aircraft parking apron facilities since September 1, 1986, without benefit of Lease Agreement; and WHEREAS, the City Council has determined that (1) the proposed aircraft hangar activity is compatible with the master plan of the Airport; and 9 (2) that the best interests of the public and of LESSOR will be served by appro- val of the application for a permit to operate an aircraft hangar operation; and j 6 I252HP8.27 -1- I { 1 WHEREAS, LESSEE has indicated a willingness and ability to properly keep, maintain and improve said hangar area in accordance with standards established by LESSOR; and i WHEREAS, LESSEE desires to obtain and avail itself of the privileges, rights uses and interest therein and herein; and WHEREAS, LESSOR deems it advantageous to itself and to .the operation of said Airport to demise and lease unto LESSEE said hangar area, together with j said privileges, rights, uses and interest therein, as hereinafter set forth; a _ jNOW, THEREFORE, IT IS AGREED as follows: 9 i 1. Term. LESSOR, for and in consideration of the covenants, conditions and agreements herein set forth to be kept and performed by LESSEE, j does hereby grant, demise and lease unto LESSEE, subject to all the conditions, 1 covenants, terms and agreements hereinafter set forth, that certain premises — known as Hangar E-1 in the Benton Airpark (noted on attached Exhibit "A" dated February 22, 1990) for a term commencing July 1, 1990, and terminating December a 31, 1991. At the end of said term, LESSEE shall have the right of first refusal as to any lease of such facilities and premises negotiated by LESSOR with any I other party. LESSEE shall also have the right of first refusal as to any sale of said facilities and premises in the event LESSOR elects to sell same. These rights of first refusal given to LESSEE herein, however, shall not be construed as a waiver of LESSOR's rights to remove LESSEE for breach of any term or con- dition of this Lease Agreement by LESSEE. i I252HP8.28 -2- i V 2. LESSEE' s Option to Renew Lease. LESSEE shall have one (1) five (5) year option to extend the term of this Lease Agreement. Such option shall ' - extend the initial term of this Lease Agreement for an additional five (5) year period, to December 31, 1996. The option shall be exercised by written notice addressed by LESSEE to LESSOR no less than ninety (90) days prior to the expira- tion of the then current Lease Agreemernt term. If LESSEE exercises such option, all of the terms of this Lease Agreement shall remain in full force and effect, with the exception of this clause covering LESSEE's option to renew, and, the ;l Lessee shall have the right, after the first year of the five year option to ' terminate this lease with a 30 day written notice to the Lessor. V 3. Rental . LESSEE shall pay to LESSOR hangar building rental for { Hangar E-1 and aircraft parking apron rental in accordance with the following provisions: a. For the E-1 hangar, which contains approximately 2,840 square feet, and the adjacent aircraft parking apron which contains approximately 4,473 square feet, the yearly fee will be Nine Thousand Two Hundred and Thirty-nine Dollars ($9,239.00). This is based upon Seven Hundred and Seventeen Dollars and Seventy-five Cents ($717.75) per month for the hangar and Fourteen Cents ($0.14) per square foot per year for the aircraft parking apron. Said annual rent shall be payable in twelve (12) monthly installments of Seven Hundred Sixty-nine Dollars and Ninety-two Cents ($769.92) each 1 i i d ,i J 4 I I252HP8.29 -3- j i 0 0 payable in arrears to LESSOR on the first day of each and every month, commencing September 1, 1990; and in no event later than the 10th day of each and every month. 1 b. Should LESSEE exercise its option to renew Lease Agreement, the annual rental for the leased facilities described herein shall be 1 increased annJually by $461.95 ($38.50 monthly). This increase i shall be effective upon the renewal for the five year option period. i c. LESSOR is entitled to collect, and LESSEE agrees to pay to LESSOR, upon invoice, said rentals, fees and charges set forth above. Any said rentals, fees and charges more than fifty (50) days past due may be subject to a service charge based on an annual rate of ten percent (10%). Without prejudice to any other remedy which otherwise might be used for non-payment of rent, fees and charges or other breach of this agreement, if 1 LESSOR is required or elects to pay any sum or sums, or incurs any obligations I or expense by reason of a failure, neglect or refusal of LESSEE to perform - any one or more of the terms, conditions or covenants of this agreement or as the result of any act or omission of LESSEE contrary to said terms, a 7 i — ' e I252HP8.30 -4- a I t A 1 conditions or covenants, the sum or sums so paid or the expense so incurred by LESSOR, including all interest, costs, damages and t j penalties, may be added, after fifty (50) days' notice by LESSOR to LESSEE, to any installment of rent thereafter due hereunder and each and every part of the same shall be and become additional rent recoverable by LESSOR in the same manner and with like I remedies as though it were originally a part of the rent as set { forth hereinabove. 4. Use of Premises. ' a. The ground area and improvements thereon shall be used by LESSEE for the storage of aircraft owned or leased by LESSEE, and the repair and maintenance thereof. Maintenance performed on any other aircraft in Hangar i E-1 will be grounds for automatic cancellation of this j Lease Agreement. i b. LESSEE expressly does not have the right to sell gasoline or oil as part of its activities. 5. Maintenance and Repairs. LESSEE shall, at its sole cost and expense, keep and maintain said internal and external hangar areas, and the improvements and appurtenance and every part thereof, in good and sanitary order. LESSOR will provide such maintenance which expressly includes a regular and consistent program of repainting and prompt repair of any damaged portions of the internal or external building areas not caused by LESSEE' s e -5- i J i f neglect. LESSOR assumes no liability in case of electrical power failure. 6 . Alterations and Additions. LESSEE shall not make any alterations to or erect any additional structures or improvements on the leased area without prior written permission of LESSOR. Any alterations or additions approved by LESSOR shall be con- t structed at the sole expense of LESSEE. 7. Signs. LESSEE shall be privileged to erect such signs and advertising media and place the same upon the improvements as 1 may be required, subject to first securing the approval of the Director of Airports of LESSOR. The Director of Airports shall determine whether such advertising media is aesthetically harmoni- ous with the said improvements and facilities at the Airport. j 8. Unlawful Use. No building, structure or improvement of d any kind shall be erected, placed upon, operated or maintained on the leased area, nor shall any business or operation be conducted or carried on therein or thereon in violation of any ordinance, law, statute, bylaw, order or rule of the governmental agencies ahaving jurisdiction thereover. 9 . Waste, Quiet Conduct. LESSEE shall not commit, or suffer to be committed, any waste upon said area or improvements, or any nuisance or other act or thing which may disturb the quiet enjoyment of the use of said Airport or surrounding property. 10. Trade Fixtures. Any trade fixtures, equipment and iother property brought, installed or placed by LESSEE in or about i i 1 the leased premises shall be and remain the property of LESSEE except as otherwise provided herein, and LESSEE shall have the right at any time during the term hereof to remove any or all of its property, subject to LESSEE' s. obligation to repair all damage, if any, resulting from such removal. Such trade fixtures, equip- ment and other property of LESSEE shall be removed by LESSEE from i the leased premises upon the expiration or earlier termination of 4 this Lease Agreement. 11. Hold Harmless Clause. State, to the extent that it may i legally do so and subject to the availability of funds, agrees to indemnify, defend and save harmless LESSOR, its agents , officers and employees from and against any and all liability; which arises out of the negligence of the State, for expenses, and claims for - damages of any nature whatsoever, including, but not limited to, bodily injury, death, personal injury, or property damage which is i related to the performance of this Lease Agreement. i 12. -Inspection and Notice. Insofar as the same may be necessary for the protection of LESSOR' s rights, LESSOR or its agents shall, by prior notice to the LESSEE, have the right to go upon and inspect the area and improvements hereby leased and any and every structure or improvement erected or constructed or in the course of beingerected or constructed, repaired, added to, i rebuilt or restored thereon. 13 . Assignment or Subletting. LESSEE shall not assign this Lease Agreement or any interest therein and shall not sublet the i _7- i 1 said premises or any part thereof, or any right or privilege , pertinent thereto or suffer any other person ( the officers, agents and employees of LESSEE excepted) to occupy or use the said premises, or any portion thereof. without the written consent of . 1 LESSOR first had and obtained; and a consent to one assignment, subletting, occupancy or use by another party shall not be deemed i ' to be a consent to any subsequent assignment, subletting, occupan- cy or use by another party. Any such assignment, subletting or occupancy without such consent shall be void and shall, at the option of LESSOR, terminate this Lease Agreement. This Lease Agreement shall not nor shall any interest therein be assigned as to the interest of LESSEE by operation of law without the written consent of LESSOR. 14 . Utilities. LESSEE shall be responsible for the prompt payment of any utility service charges applicable to the area leased to it by the provisions of this Lease Agreement, and the i failure to pay these charges promptly shall expressly constitute a material breach of this Lease Agreement. A City of Redding electric meter will be installed by LESSEE for the leased premis- es. In addition thereto, LESSEE shall pay for any and all charges incurred for telephone service and any and all other utilities ' subscribed to by LESSEE which are not expressly leased in the paragraph entitled "Maintenance and Operation of Airport" as set forth hereafter to be provided and paid for by LESSOR. i 'e -8- {, 1 7 1 15. Binding on Assigns and Successors-in-Interest. The provisions and conditions of this Lease Agreement shall be binding upon and inure to the benefit of the assigns and successors-in-interest of the parties hereto.. . 16. Maintenance and Operation of Airport. LESSOR will properly maintain and operate the Airport for the safe, convenient and proper use thereof by LESSEE and in accordance with all Federal Aviation Administration rules and regulations. q 17 . Compliance with Law. LESSEE covenants and agrees to comply with all statutes, laws, ordinances, regulations, orders, judgments, decrees, directions and requirements of LESSOR and of all Federal, State, County and City authorities now or hereafter applicable to the leased premises and facilities, the commercial activities conducted therein or thereon, or to any adjoining public ways. ' 18 . Discrimination. LESSEE, in the operation and use of Benton Airpark or of its facilities thereon, will not, on the grounds of race, color, sex or national origin, discriminate or permit discrimination against any person or group of persons in any manner prohibited by the United States of America or the State of California. { 19 . Notice. Any notices or demands that may be given by either party hereunder, including notice of default and notice of termination, shall be deemed to have been fully and properly given i when made in writing, enclosed in a sealed envelope, and deposited i -9- { in the United States Post Office with postage prepaid, certified mail , addressed as follows: TO LESSOR c/o Director of Airports, City Hall , 760 Parkview Avenue, Redding, California 96001-3396; and to LESSEE c/o Department of General Services, Office of Real Estate and Design Services, 400 "P" Street, Suite 3110, Sacramento, CA 95814. 20. Revocation of Lease, Permit, or License." LESSOR shall have the right to terminate any lease, permit, license, or agreement (including that of j LESSEE herein) covering a commercial or noncommercial operation and to revoke a I j lease on any land or facility at the Airport (including that of LESSEE herein) for any cause or reason provided by these standards, by the lease, license, or agreement itself, or by law, or upon the happening of the failure of the opera- tor or licensee to remedy any default, breach or violation of any airport rules and regulations by him or his employees within thirty (30) days after notice from the LESSOR. i i i I 1 I 'a I252HP8.31 -10- i i i 4 IN WITNESS WHEREOF, this lease has been executed by the parties hereto as of the date first above written. r STATE OF CALIFORNIA Approval Recommended: DEPARTMENT OF GENERAL SERVICES CITY OF REDDING, a Municipal OFFICE OF REAL ESTATE AND Corporation DESIGN SERVICES BY: BY: 0 RT M L DO Real Estate 0 icer MAYOR APPROVED: � BY: DIRECTOR OF THE DEP ENT OF GENERIM SERV CES i BY: BY: A. KENNETH RAYMOND Office of Real Estat and Design Services i I -11- i i I I I 1 1 o 1 0� 4- 04 O /� 1 0 G c9f, -14ANGcr�Z - LARv Ls.asc� Fay 51-NT E i ACCESS iROAD 1 • ('' FLAN - BASF t_1 -_LCAT f�LA pr g - -- - TOTAL _NET -AREA o f..=HANGER _5PACE - = 2 , 8 40 SQ. .FT, - TOTAL AP-::AP .ARS-- ASED-�Y STATE-- - _ • TRANS.NO. • • DATE -2 -22•_�O_- DESIGNER AGENCY SHEET NOL PROJECT ------ -- -- --- — _ -gPRoN itsAeE �__HANGE.�Z .PACE --- F ------- -N�A--- - -- ROL LOCATION