HomeMy WebLinkAboutContract 58243 CITY SECRETARY CONTRACT NO. 58243
FORT WORTH SPINKS AIRPORT
HANGAR AND GROUND LEASE AGREEMENT
LEASE SITE 29E
This HANGAR AND GROUND LEASE AGREEMENT ("Lease") is made and entered
into by and between the CITY OF FORT WORTH ("Lessor"), a home rule municipal
corporation organized under the laws of the State of Texas and acting by and through Dana
Burghdoff, its duly authorized Assistant City Manager, and DANIEL GRIFFITH ("Lessee"), an
individual.
In consideration of the mutual covenants, promises and obligations contained herein, the
parties agree as follows:
1. PROPERTY LEASED.
Lessor hereby demises to Lessee 30,500 square feet of ground space, with a 14,000
square foot constructed hangar, at Fort Worth Spinks Airport ("Airport") in Fort Worth,
Tarrant County, 'Texas, identified as Lease Site 29E, ("Premises"), as shown in Exhibit
"A", attached hereto and hereby made a part of this Lease for all purposes.
2. TERM OF LEASE.
2.1. Initial Term.
The Initial Term of this Lease shall commence on the date of execution ("Effective
Date") and expire at 1 1:59 PM ten years following the Effective Date, unless terminated
earlier as provided herein.
2.2 Renewal Term.
If Lessee performs and abides by all provisions and conditions of this Lease, upon
expiration of the Initial Term of this Lease, Lessee shall have hvo (2) options to renew this
Lease for additional successive terms of five (5) years each (each a "Renewal Term") at a
rental rate calculated in accordance with Section 3.1 of this Lease and on terms and
conditions that may be prescribed by Lessor at the time. Lessee shall notify Lessor in
writing of its intent to exercise a respective option not less than ninety (90) nor more than
one hundred eighty (180) days prior to the expiration of the term then in effect. If Lessee
does not exercise its option for a first Renewal 'Perm within the time fame provided herein,
Lessee shall automatically and simultaneously forfeit its second option to lease the Premises
for a second Renewal Term, and Lessee shall no longer have any rights or interest in the
Premises following the expiration of the Initial Term.
Danny Griffith OFFICIAL RECORD
Hangar and Ground Lease Agreement
Fort Worth Spinks Aiipott Page)of29 CITY SECRETARY
FT.WORTH, TX
2.3. Holdover.
If Lessee holds over after the expiration of the Initial Term or any Renewal Term,
this action will create a month-to-month tenancy. In this event, for and during the holdover
period, Lessee agrees to pay all applicable rentals, fees and charges at the rates provided by
Lessor's Schedule of Rates and Charges or similarly published schedule in effect at the time
of the Holdover. The hangar rate will be adjusted to equal the then Fair Market Value, as
determined by Lessor's market analysis. In no case shall the hangar rate be less than the
value assessed upon completion of a property appraisal completed by a third patty vendor
that has been approved and secured by Lessor. A ten percent(10%) increase will be added to
the Fair Market Value rate until a new lease agreement is approved and executed. The
holdover period will not exceed six (6) months from the time the current lease agreement
expires. Upon the expiration of the holdover period, the City may exercise all legal rights
and remedies available, including but not limited to eviction.
3. Rates and Adjustments
The rental rates under this Lease are based on Lessor's current published Schedule of Rates
and Charges. Rental rates are subject to increase beginning October 1,2022, and on October
I" of any subsequent year during the Initial Term, to reflect any upward change in the
Consumer Price Index for the Dallas/Fort Worth Metropolitan Area, as announced by the
United States Department of Labor or successor agency (i) for the first increase, since the
Effective Date of this Lease and (ii) for each subsequent increase, since the effective date of
the last increase; provided, however, that Lessee's rental rates shall not exceed the then-
current rates prescribed by Lessor's published Schedule of Rates and Charges for the type or
types of property similar to the type or types of property that comprise the Premises.
3.1.1 Hangar Rate
Lessee shall commence the payment of rent for the Hangar on the Effective
Date. Lessee hereby promises and agrees to pay Lessor, as annual rent for
the Hangar, Twenty-Seven Thousand Three Hundred Dollars and 00/100
($27,300.00,), at a rate of One Dollar and 50/100 ($1.95) per square foot,
payable in equal monthly installments of Two Thousand Two Hundred
Seventy-Five Dollars and no/100 ($2,275.00).
3.1.2 Ground Rate
Lessee shall commence the payment of rent for the Ground Space on the
Effective Date. Lessee hereby promises and agrees to pay Lessor, as annual
rent for the Ground Space, Nine Thousand Four Hundred Fifty-Five Dollars
and no/100 ($9,455.00) at a rate of Thirty-One cents ($0.31) per square foot,
payable in equal monthly installments of Seven Hundred Eighty-Seven
Dollars and 91/100 ($787.91).
Danny Griffith
Hangar and Ground Lease Agreement
Foil Worth Spinks Airport
Page 2 of 24
3.2. Five-Year Adjustments
In addition to the Annual Rent Adjustments, on October 1, 2027, and every fifth
(5d')year thereafter for the remainder of the Initial 'Penn (i.e. on October 1 st of 2032,
2037, and 2042), rent shall automatically be adjusted to equal the then-current rates
prescribed by the Schedule of Rates and Charges for the type or types of property at
the Airport similar to the type or types of property that comprise the Premises.
3.3. Ten-Year Adjustments
If near the end of the ten (10) year Initial Term, a new lease has been requested by
the Lessee in accordance with section 2.2 of this Agreement, City will have an
appraisal performed by a qualified third-party appraiser to adjust the Hangar Rate to
equal the then Fair Market Value, for this type of property at airports similar to the
type or types of property that comprise the Premises.
3.4 Payment Dates and Late Fees.
Monthly rent payments are due on or before the first (1st) day of each month.
Payments must be received during normal business hours by the due date at the
location for Lessor's Aviation Department set forth in Section 15. Rent shall be
considered past due if Lessor has not received full payment by close of business the
tenth (10th) day of the month for which payment is due. Without limiting Lessor's
ternination rights as provided by this Lease, Lessor will assess a late penalty charge
of ten percent (10%) per month on the entire balance of any overdue rent that Lessee
may accrue.
4. CONSTRUCTION AND IMPROVEMENTS.
4.1 Mandatory Improvements
Lessee may not initiate any improvement on or to the Premises unless it first submits
all plans, specifications and estimates for the costs of same to Lessor in writing, and
also requests and receives in writing approval from Lessor's Director of Airport
Systems or authorized representative ("Director"). As additional security for this
Lease, Lessee covenants and agrees that it shall perform the improvements set forth
below on the Premises owned by the City of Fort Worth. The improvements
approved shall be referred to as "Mandatory Improvements", as referenced in Exhibit
"I3". Upon completion, all such Mandatory Improvements will become the property
of the Lessor.
4.1.1 Lessee shall cominence performing the Mandatory Improvements within six
(6) months following the execution of this Lease. Improvements shall be completed
no later-than one (1)year following the execution of this Lease.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 3 of 24
4.1.2 The Lessee shall provide a copy of the Certificate of Occupancy to the
Lessor, a complete set of Record Drawings and/or As-Built Drawings in Adobe PDF
and AutoCAD formats (if applicable), and a Surrunary of the total cost/value of the
Mandatory Improvements to the City before construction begins.
4.2 Discretionary Improvements.
Lessee may, at its sole discretion, perform modifications, renovations, improvements
or other construction work on any tract of the Premises. Lessee may not initiate any
Discretionary Improvement on or to the Premises unless it first submits all plans,
specifications and estimates for the costs of same to Lessor in writing, and also
requests and receives in writing approval from Lessor's Director of Airport Systems
or authorized representative ("Director"). Lessee covenants and agrees that it shall
frilly comply with all provisions of this Section 4 in the construction of any such
Discretionary Improvements. Lessor shall promptly review, consider and decide on
approval of such plans, specifications and estimates. Upon completion of any such
Discretionary Improvements or the termination of this Lease, Lessor shall take full
title to any Discretionary Improvements on the Premises.
4.3 Process for Approval of Plans.
Lessee's plans for constriction of the Discretionary Improvements shall conform to
the Airport's architectural standards and must also be approved in writing by
Lessor's Planning and Development Department. All plans, specifications and work
shall conform to all federal, state and local laws, ordinances, rules and regulations in
force at the time that the plans are presented for review. Lessor covenants and agrees
that Lessor shall handle any and all such plans for construction and improvement in a
manner consistent with the provisions of Section 4.2 above.
4.4 Documents.
Lessee shall supply the Director with comprehensive sets of documentation relative
to any Discretionary Improvement, including, at a minimum, a copy of the
Certificate of Occupancy, a complete set of Record Drawings and/or As-Built
Drawings in Adobe PDF and AutoCAD formats, and a Summary of the total
cost/value of the Discretionary Improvements.
4.5 Bonds Required of Lessee.
Prior to the commencement of any Improvement, Lessee shall deliver to Lessor a
bond, executed by a corporate surety in accordance with Texas Government Code,
Chapter 2253, as amended, in the frill amount of each constriction contract or
project. The bonds shall guarantee (i) satisfactory compliance by Lessee with all
applicable requirements, teens and conditions of this Lease, including, but not
limited to, the satisfactory completion of the respective Improvements, and (ii) full
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 4 of 24
payments to all persons, firms, corporations or other entities with whom Lessee has a
direct relationship for the construction of such Improvements.
In lieu of the required bond, Lessee may provide Lessor with a cash deposit or an
assignment of a certificate of deposit in an amount equal to 125% of the full amount
of each construction contract or project. If Lessee makes a cash deposit,Lessee shall
not be entitled to any interest earned thereon. Certificates of deposit shall be from a
financial institution in the Dallas-Fort Worth Metropolitan Area which is insured by
the Federal Deposit Insurance Corporation and acceptable to Lessor. The interest
earned on the certificate of deposit shall be the property of Lessee and Lessor shall
have no rights in such interest. If Lessee fails to complete the respective
Improvements, or if claims are filed by third parties on grounds relating to such
Improvements, Lessor shall be entitled to draw down the full amount of Lessee's
cash deposit or certificate of deposit and apply the proceeds to complete the
Improvements or satisfy the claims, provided that any balance shall be remitted to
Lessee.
4.6 Bonds Required of Lessee's Contractors.
Prior to the commencement of any Discretionary Improvement, each of Lessee's
contractors shall execute and deliver to Lessee surety performance and payment
bonds in accordance with the Texas Government Code, Chapter 2253, as amended,
to cover the costs of all work perfor7-ned under such contractor's contract with Lessee.
Lessee shall provide Lessor with copies of such bonds prior to the commencement of
such Discretionary Improvement. The bonds shall guarantee (i) the faithful
performance and completion of all construction work in accordance with the final
plans and specifications as approved by Lessor, and (ii) full payment for all wages
for labor and set-vices and of all bills for materials, supplies and equipment used in
the perfot•tn name both Lessorance of the construction contract. Such bonds shall a
and Lessee as dual obligees. If Lessee serves as its own contractor, Section 4.5 shall
apply.
4.7 Releases by Lessor Upon Completion of Construction Work.
Lessor will allow Lessee a dollar-for-dollar reimbursement from its cash deposit
account or reduction of its claim upon Lessor's certificate of deposit to the extent of
construction costs paid through that date upon (1) where Lessee serves as its own
contractor, verification that Lessee has completed construction work, or (ii) where
Lessee uses a contractor, receipt of the contractor's invoice and verification that the
contractor has completed its work and released Lessee to the extent of Lessee's
payment for such work, including bills paid affidavits and final waivers of liens.
Any unused amounts in the cash deposit account will be refunded to Lessee upon
final completion of the construction work.
5. USE OF PREMISE'S.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 5 of 24
Lessee hereby agrees to use the Premises solely for aviation-related purposes only and
strictly in accordance with the terms and conditions of this Lease. Lessee shall have the right
to sublease portions of the Premises to various third parties ("Sublessees") for aviation-
related purposes only under terms and conditions acceptable to and determined by Lessee,
provided that all such arrangements shall be in writing and approved in advance by Lessor.
All written agreements executed by Lessee to Sublessees for any portion of the Premises
shall contain terms and conditions that(i) do not conflict with Lessee's duties and obligations
under this Lease; (ii) incorporate the terms and provisions of this Lease; (iii) restrict the use
of the Premises to aircraft storage or other aviation or aviation-related purposes acceptable to
Lessor; and (iv) treat users of the same or substantially similar facilities in a fair and non-
discriminatory manner. Lessee shall use a standard lease form for all Sublessees and shall
submit a copy of such standard lease form to the Director prior to Lessee's execution of its
first lease and from time to time thereafter following any material changes to such lease
form. Lessee may make non-material modifications to its standard lease to the extent that
such are not contrary to Lessor's Sponsor's Assurances without the prior written consent of
Lessor.
6. REPORTS AUDITS AND RECORDKEEPING.
Within thirty (30) days following the end of each calendar year,Lessee shall provide Lessor
with a written annual report, in a for7m acceptable to the Director that reflects Lessee's rental
rates for the immediately preceding calendar year. Lessor may request, and Lessee shall
promptly provide,similar reports on a more frequent basis that reflect Lessee's rental rates on
the Premises for the period requested by Lessor. These reports shall be delivered to Lessor's
Department of Aviation at the address provided in Section 15. in addition,Lessee shall keep
and maintain books and records pertaining to Lessee's operations at the Airport and other
obligations hereunder in a manner satisfactory to Lessor's internal Auditor and at a location
within the City of Fort Worth. Upon Lessor's request and following reasonable advance
notice, Lessee will make such books and records available for review by Lessor during
Lessee's normal business hours. Lessor, at Lessor's sole cost and expense, shall have the
right to audit such books and records in order to ensure compliance with the terms of this
Lease and the Sponsor's Assurances made by Lessor to the Federal Aviation Administration.
7. UTILITIES.
Lessee, at Lessee's sole cost and expense, shall be responsible for the installation and use of
all utility services to all portions of the Premises and for all other related utility expenses,
including, but not limited to, deposits and expenses required for the installation of meters.
Lessee further covenants and agrees to pay all costs and expenses for any extension,
maintenance or repair of any and all utilities serving the Premises. In addition,Lessee agrees
that all utilities, air conditioning and heating equipment and other electrically-operated
equipment which may be used on the Premises shall fiilly comply with Lessor's Mechanical,
Electrical, Plurnbing, Building and Fire Codes ("Codes"), as they exist or may hereafter be
amended.
8. MAINTENANCE AND REPAIRS.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Aitpoi7
Page 6 of 24
8.1. Maintenance and Repairs by Lessee.
Lessee agrees to keep and maintain the Premises in a good, clean and sanitary
condition at all times, reasonable wear and tear expected. Lessee covenants and
agrees that it will not make or suffer any waste of the Premises. Lessee, at Lessee's
sole cost and expense, will make all repairs or replacements necessary to prevent the
deterioration in condition or value of the Premises, including, but not limited to, the
maintenance of and repairs to all hangars and other structures, doors, windows and
roofs, and all fixtures, equipment, hangar modifications and surrounding pavement
on the Premises. Lessee shall be responsible for all damages caused by Lessee, its
agents, servants, employees, contractors, subcontractors, licensees or invitees, and
Lessee agrees to fully repair all such damages at Lessee's sole cost and expense.
Lessee agrees that all improvements,trade fixtures, furnishings, equipment and other
personal property of every kind or description which may at any time be on the
Premises shall be at Lessee's sole risk or at the sole risk of those claiming under
Lessee. Lessor shall not be liable for any damage to such property or loss suffered
by Lessee's business or business operations, which may be caused by the bursting,
overflowing or leaking of sewer or steam pipes, from water from any source
whatsoever, or from any heating fixtures,plumbing fixtures, electric wires,noise,gas
or odors,or from causes of any other matter.
8.2. Compliance with ADA.
Lessee, at its sole cost and expense, agrees to keep and maintain the Premises in full
compliance at all times with the Americans with Disabilities Act of 1990, as
amended ("ADA"). In addition,Lessee agrees that all improvements it makes at the
Airport shall comply with all ADA requirements.
8.3. Inspections.
8.3.1. Lessor shall have the right and privilege, through its officers, agents, servants
or employees, to inspect the Premises. Except in the event of an emergency,
Lessor- shall conduct such inspections during Lessee's ordinary business
hours and shall use its best efforts to provide Lessee at least two (2) hours'
notice prior to any inspection.
8.3.2. If Lessor determines during an inspection of the Premises that Lessee is
responsible under this Lease for any maintenance or repairs, Lessor shall
notify Lessee in writing. Lessee agrees to begin such maintenance or repair
work diligently within thirty (30) calendar days following receipt of such
notice and to then complete such maintenance or repair work within a
reasonable tirne, considering the nature of the work to be done. If Lessee
fails to begin the recommended maintenance or repairs within such time or
fails to complete the maintenance or repairs within a reasonable time, Lessor
may, in its discretion, perform such maintenance or repairs on behalf of
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 7 of 24
Lessee. In this event, Lessee will reimburse Lessor for the cost of the
maintenance or repairs, and such reimbursement will be due on the date of
Lessee's next monthly rent payment following completion of the maintenance
or repairs.
8.3.3. During any inspection, Lessor may perform any obligations that Lessor is
authorized or required to perform under the terms of this Lease or pursuant to
its governmental duties under federal, state or local laws,rules or regulations.
8.3.4. Lessee will permit the City's Fire Marshal or his or her authorized agents to
inspect the Premises and Lessee will comply with all requirements of the Fire
Marshal or his or her authorized agents that are necessary to bring the
Premises into compliance with the City of Fort Worth Fire Code and
Building Code provisions regarding fire safety, as such provisions exist or
may hereafter be amended. Lessee shall maintain in proper condition
accessible fire extinguishers of a number and type approved by the Fire
Marshal or his or her authorized agents for the particular hazard involved.
8.4. Environmental Remediation.
To the best of Lessor's knowledge, the Premises comply with all applicable federal,
state and local environmental regulations or standards. Lessee agrees that it has
inspected the Premises and is fully advised of its own rights without reliance upon
any representation made by Lessor concerning the environmental condition of the
Premises. LESSEE, AT ITS SOLE COST AND EXPENSE, AGREES THAT IT
SHALL BE FULLY RESPONSIBLE FOR THE REMEDIATION OF ANY
VIOLATION OF ANY APPLICABLE FEDERAL, STATE OR LOCAL
ENVIRONMENTAL REGULATION OR STANDARD THAT IS CAUSED BY
LESSEE, ITS" OFFICERS, AGENTS, SERVANTS, EMPLOYEES,
CONTRACTORS,SUBCONTRACTORS OR INVITEES:
9. SIGNS.
Lessee may, at its sole expense and with the prior written approval of the Director, install
and maintain signs on the exterior of the Premises related to Lessee's business operations.
Such signs, however,must be in keeping with the size, color, location and manner of display
of other signs at the Airport. Lessee shall maintain all such signs in a safe, neat, sightly and
physically good condition.
10. RIGIITS AND RESERVATIONS OF LESSOR.
Lessor hereby retains the following rights and reservations:
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page A of 24
10.1. Lessor reserves the right to take any action it considers necessary to protect the aerial
approaches of the Airport against obstruction, including, but not limited to, the right
to prevent Lessee from erecting or permitting to be erected any building or other
structure which, in the opinion of Lessor, would limit the usefulness of the Airport,
constitute a hazard to aircraft or diminish the capability of existing or future
avigational or navigational aids used at the Airport.
10.2 Lessor reserves the right to develop and improve the Airport as it sees fit, regardless
of the desires or view of Lessee, and without interference or hindrance by or on
behalf of Lessee. Accordingly, nothing contained in this Lease shall be construed to
obligate Lessor to relocate Lessee as a result of any such Airport developments or
improvements.
10.3 This Lease shall be subordinate to the provisions of any existing or future agreement
between Lessor and the United States Government, which relates to the operation or
maintenance of the Airport and is required as a condition for the expenditure of
federal fiords for the development,maintenance or repair of Airport infrastructure. In
the event that any such existing or future agreement directly causes a material
restriction, impairment or interference with Lessee's primary operations on the
Premises ("Limitation") for a period of less than seven (7) calendar days,this Lease
shall continue in fall force and effect. If the Limitation lasts more than seven (7)
calendar days, Lessee and Lessor shall negotiate in good faith to resolve or mitigate
the effect of the Limitation. If Lessee and Lessor are in good faith unable to resolve
or mitigate the effect of the Limitation, and the Limitation lasts between seven (7)
and one hundred eighty (180) days, then for such period (i) Lessee may suspend the
payment of any rent due hereunder, but only if Lessee first provides adequate proof
to Lessor- that the Limitation has directly caused Lessee a material loss in revenue;
(ii) subject to ordinary wear and tear, Lessor shall maintain and preserve the
Premises and its improvements in the same condition as they existed on the date such
Limitation commenced; and (iii) the term of this Lease shall be extended, at Lessee's
option, for a period equal to the duration of such Limitation. If the Limitation lasts
more than one hundred eighty (180) days, then (i) Lessor and Lessee may, but shall
not be required to, (a) further adjust the payment of rent and other fees or charges, (b)
renegotiate maintenance responsibilities and (c) extend the ten-n of this Lease, or(ii)
Lessee may terminate this Lease upon thirty (30) days'written notice to Lessor.
10.4 During any war or national emergency, Lessor shall have the right to lease any part
of the Airport, including its landing area, to the United States Government. In this
event, any provisions of this instrument which are inconsistent with the provisions of
the lease to the Government shall be suspended. Lessor shall not be liable for any
loss or damages alleged by Lessee as a result of this action. However,nothing in this
Lease shall prevent Lessee from pursuing any rights it may have for reimbursement
from the United States Government. If any lease between Lessor and the United
States Government executed pursuant to this Section 10.4 directly causes a
Limitation for a period of less than seven (7) calendar days, this Lease shall continue
in full force and effect. If the Limitation lasts more than seven (7) calendar days,
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Ahpoit
Page 9 of 24
Lessee and Lessor shall negotiate in good faith to resolve or mitigate the effect of the
Limitation. If Lessee and Lessor are in good faith unable to resolve or mitigate the
effect of the Limitation, and the Limitation lasts between seven (7) and one hundred
eighty (180) days, then for such period (i) Lessee may suspend the payment of any
rent due hereunder, but only if Lessee first provides adequate proof to Lessor that the
Limitation has directly caused Lessee a material loss in revenue; (ii) subject to
ordinary wear and tear, Lessor shall maintain and preserve the Premises and its
improvements in the same condition as they existed on the date such Limitation
commenced; and (iii) the term of this Lease shall be extended, at Lessee's option, for
a period equal to the duration of such Limitation. If the Limitation lasts more than
one hundred eighty (180) days, then (i) Lessor and Lessee may, but shall not be
required to, (a) further adjust the payment of rent and other fees or charges, (b)
renegotiate maintenance responsibilities and (c) extend the term of this Lease, or (ii)
Lessee may terminate this Lease upon thirty(30) days'written notice to Lessor.
10.5 Lessor covenants and agrees that during the term of this Lease it will operate and
maintain the Airport and its facilities as a public airport consistent with and pursuant
to the Sponsor's Assurances given by Lessor to the United States Government
through the Federal Airport Act; and Lessee agrees that this Lease and Lessee's
rights and privileges hereunder shall be subordinate to the Sponsor's Assurances.
10.6 Lessee's rights hereunder shall be subject to all existing and future utility and
drainage easements and rights-of-way granted by Lessor for the installation,
maintenance, inspection, repair or removal of facilities owned or operated by
electric, gas,water, sewer, communication or other utility companies. Lessee's rights
shall additionally be subject to all rights granted by any ordinance or statute which
allows utility companies to use publicly-owned property for the provision of utility
services.
10.7 Lessor agrees Lessee shall have the right of ingress and egress to and from the
Premises by means of roadways for automobiles and taxiways for aircraft including
access during the construction phase of airport improvements, unless otherwise
agreed to in writing by both parties. Such rights shall be consistent with the rules and
regulations with respect to the occupancy and use of airport premises as adopted
from time to time by the City of Fort Worth and by the Federal Aviation
Administration or any other state, federal or local authority.
11. INSURANCE.
Lessee shall procure and maintain at all times, in full force and effect, a policy or policies of
insurance as specified herein, naming the City of Fort Worth as an additional insured and
f covering all public risks related to the leasing, use, occupancy, maintenance, existence or
location of the Premises. Lessee shall obtain the required insurance specified to be
maintained by a commercial tenant in accordance with Exhibit"C", the"City of Fort Worth
Aviation Insurance Requirements" attached hereto and made part of this Lease for all
purposes.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 10 of 24
In addition, Lessee shall be responsible for all insurance to construction, improvements,
modifications or renovations to the Premises and for personal property of its own or in its
care,custody or control.
11.1. Adiustments to Required Coverage and Limits.
Insurance requirements, including additional types of coverage and increased limits
on existing coverages, are subject to change at Lessor's option and as necessary to
cover Lessee's and any Sublessees' operations at the Airport. Lessee will accordingly
comply with such new requirements within thirty (30) days following notice to
Lessee.
11.2. Lessee shall procure and maintain at all times, in full force and effect, a policy or
policies of insurance as more particularly set forth in Exhibit"C",which is attached
hereto and incorporated herein for all purposes.
11.3 As a condition precedent to the effectiveness of this Lease, Lessee shall furnish
Lessor with appropriate certificates of insurance signed by the respective insurance
companies as proof that it has obtained the types and amounts of insurance coverage
required herein. Lessee hereby covenants and agrees that not less than thirty (30)
days prior to the expiration of any insurance policy required hereunder, it shall
provide Lessor with a new or renewal certificate of insurance. In addition, Lessee
shall, at Lessor's request, provide Lessor with evidence that it has maintained such
coverage in full force and effect.
12. INDEPENDENT CONTRACTOR.
It is expressly understood and agreed that Lessee shall operate as an independent contractor
as to all rights and privileges granted herein, and not as an agent, representative or employee
of Lessor. Lessee shall have the exclusive right to control the details of its operations and
activities on the Premises and shall be solely responsible for the acts and omissions of its
officers, agents, servants, employees, contractors, subcontractors, patrons, licensees and
invitees. Lessee acknowledges that the doctrine of respondeat superior shall not apply as
between Lessor and Lessee, its officers, agents, employees, contractors and subcontractors.
Lessee further agrees that nothing herein shall be construed as the creation of a partnership
or joint enterprise between Lessor and Lessee.
13. INDEMNIFICATION.
LESSEE HEREBY AS"SUVIES ALL LIABILITY AND RESPONSIBILITY FOR
PROPERTY LOSS, PROPERTY DAMAGE AND/OR PERSONAL INJURY OF ANY
KIND, INCLUDING DEATI-I, TO ANY AND ALL PERSONS, OF ANY KIND OR
CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN
CONNECTION WITH ITS USE OF THE AIRPORT UNDER THIS LEASE OR WITH
THE LEASING, MAINTENANCE, USE, OCCUPANCY, EXISTENCE OR LOCATION
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page i I of 24
OF THE PREMISES, EXCEPT TO TIIE EXTENT CAUSED BY THE GROSS
NEGLIGENCE OR INTENTIONAL MISCONDUCT OF LESSOR, ITS OFFICERS,
AGENTS,SERVANTS OR EMPLOYEES.
DURING THE TERM OF THIS LEASE, LESSEE COVENANTS AND AGREES TO,
AND DOES TO THE EXTENT ALLOWED BY LAW, WITHOUT WAIVING ANY
DEFENSES PROVIDED BYLAW, HEREBY INDEMNIFY, HOLD HARMLESS AND
DEFEND LESSOR, ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES,
FROM AND AGAINST ANY AND ALL CLAIMS OR LAWSUITS FOR EITHER
PROPERTY DAMAGE OR LOSS, INCLUDING ALLEGED DAMAGE OR LOSS TO
LESSEE'S BUSINESS AND ANY RESULTING LOST PROFITS, AND/OR
PERSONAL IN.JUR Y, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY
KIND OR CIIARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR
IN CONNECTION WI III LESSEE'S USE OF THE AIRPORT UNDER THIS LEASE
OR WITH III]-," USE, LEASING, MAINTENANCE, OCCUPANCY, EXISTENCE OR
LOCATION OF THE PREMISES, EXCEPT TO THE EXTENT CAUSED BY THE
GROSS NEGLIGENCE OR INTENTIONAL MISCONDUCT OF LESSOR, ITS
OFFICERS AGENTS,SERVANTS OR EMPLOYEES.
LESSEE ASSUMES ALL RESPONSIBILITY AND AGREES TO PAY LESSOR FOR
ANYAND ALL INJURIES OR DAMAGES TO LESSOR'S PROPERTY WHICHARISE
OUT OF OR IN CONNECTION WITH ANY AND ALL ACTS OR OMISSIONS OF
LESSEE, ITS OFFICERS, AGENTS, EMPLOYEES, CONTRACTORS,
SUBCONTRACTORS, LICENSEES OR INVITEES, EXCEPT TO THE EXTENT
CAUSED BY THE GROSS NEGLIGENCE OR INTENTIONAL MISCONDUCT OF
LESSOR, ITS OFFICERS,AGENTS,SERVANTS OR EMPLOYEES.
LESSOR DOES NOT GUARANTEE POLICE PROTECTION TO LESSEE, ANY
SUBLESSEES OR THEIR PROPERTY. LESSOR IS OBLIGATED ONLY TO
PROVIDE SECURITY ADEQUATE TO MAINTAIN LESSOR'S CERTIFICATION
UNDER FAA REGULATIONS. LESSEE SHALL COMPLY WITH ALL APPLICABLE
REGULATIONS" OF THE FAA RELATING TO AIRPORT SECURITY. LESSEE
SHALL PAY ALL FINES IMPOSED BY THE FAA ON LESSOR OR LESSEE
RESULTING FROM LESSEE'S OR ANY SUBLESSEES' FAILURE TO COMPLY
WITH SUCH FAA REGULATIONS OR TO PREVENT UNAUTHORIZED PERSONS
OR PARTIES FROM OBTAINING ACCESS TO THE AIR OPERATIONS AREA OF
THE AIRPORT FROM THE PREMISES.
14. 'TERMINATION.
In addition to termination rights contained elsewhere in this Lease, Lessor shall have the
right to terminate this Lease as follows:
14.1. Failure by Lessee to Pay Rent,Fees or Other Charges.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Aitpoit
Page 12 of 24
If Lessee fails to pay any rent, fees or other charges due under this Lease, Lessor
shall deliver to Lessee a written invoice and notice to pay the invoice within ten(10)
calendar days. If Lessee fails to pay the balance outstanding within such time,
Lessor shall have the right to terminate this Lease immediately.
14.2. Breach or Default by Lessee.
If Lessee commits any breach or default, other than Lessee's failure to pay rent,
Lessor shall deliver written notice to Lessee specifying the nature of such breach or
default. Lessee shall have thirty (30) calendar days following such written notice to
cure, adjust or correct the problem to the standard existing prior to the breach. If
Lessee fails to cure the breach or default within such time period, Lessor shall have
the right to terminate this Lease immediately.
14.3. Abandonment or Non-Use of the Premises.
Lessee's abandonment or non-use of the Premises for any reason for more than thirty
(30) consecutive calendar days shall constitute grounds for immediate termination of
this Lease by Lessor.
14.4. Lessee's Financial Obligations to Lessor upon Termination,Breach or Default.
If Lessor terminates this Lease for any non-payment of rent, fees or other charges or
for any other breach or default as provided in Sections 14.1, 14.2 or 14.3 of this
Lease, Lessee shall be liable for and shall pay to Lessor all rent due Lessor for the
remainder of the term then in effect as well as all arrearages of rentals, fees and
charges payable hereunder. In no event shall a reentry onto or reletting of the
Premises by Lessor be construed as an election by Lessor to forfeit any of its rights
under this Lease.
14.5. Rij4hts of Lessor Upon Termination or Expiration.
Upon termination or expiration of this Lease, all rights, powers and privileges
granted to Lessee hereunder shall cease and Lessee shall vacate the Premises.
Within twenty (20) days following the effective date of termination or expiration,
Lessee shall remove From the Premises all trade fixtures, tools, machinery,
equipment, materials and supplies placed on the Premises by Lessee pursuant to this
Lease. After such time, Lessor shall have the right to take full possession of the
Premises, by force if necessary, and to remove any and all parties and property
remaining on any part of the Premises. Lessee agrees that it will assert no claim of
any kind against Lessor, its agents, servants, employees or representatives, which
may stem from Lessor's termination of this Lease or any act incident to Lessor's
assertion of its right to terminate or Lessor's exercise of any rights granted hereunder.
15. NOTICES.
Danny Griffith
Hangar and Ground Lease Agreement
Foil Wordi Spinks Mpoii
Page 13 of 24
Notices required pursuant to the provisions of this Lease shall be conclusively determined to
have been delivered when (i) hand-delivered to the other party, its agents, employees,
servants or representatives, or (ii) deposited in the United States Mail, postage prepaid,
addressed as follows:
To LESSOR: To LESSEE:
City of Fort Worth Daniel Griffith
Aviation Department 217 Man O' War
201 American Concourse, Suite 330 Burleson,TX 76028
Fort Worth,Texas 76034 (817) 219-8471
16. ASSIGNMENT AND SUBLETTING.
16.1. In General.
Lessee shall have the right to sublease portions of the Premises as provided by and in
accordance with Section 5 of this Lease. Otherwise, Lessee shall not assign, sell,
convey, sublease or transfer the entirety of its rights, privileges, duties or interests
granted by this Lease without the advance written consent of Lessor.
16.2. Conditions of Approved Assignments and Subleases.
If Lessor consents to any assignment or sublease, all terms, covenants and
agreements set forth in this Lease shall apply to the assignee or sublessee, and such
assignee or sublessee shall be bound by the terms and conditions of this Lease the
same as if it had originally executed this Lease. The failure or refusal of Lessor to
approve a requested assignment or sublease shall not relieve Lessee of its obligations
hereunder,including payment of rentals, fees and charges.
I
17. LIENS BY LESSEE.
Lessee acknowledges that it has no authority to engage in any act or to make any contract
which may create or be the foundation for any lien upon the property or interest in the
property of Lessor. If any such purported lien is created or filed, Lessee, at its sole cost and
expense, shall liquidate and discharge the same within thirty (30) days of such creation or
filing. Lessee's failure to discharge any such purported lien shall constitute a breach of this
Lease and Lessor may terminate this Lease upon thirty (30) days' written notice. However,
Lessee's financial obligation to Lessor to liquidate and discharge such lien shall continue in
effect following termination of this Lease and until such a time as the lien is discharged.
18. TAXES AND ASSESSMENTS.
Lessee agrees to pay any and all federal, state or local taxes or assessments which may
lawfully be levied against Lessee due to Lessee's use or occupancy of the Premises or any
improvements or property placed on the Premises by Lessee as a result of its occupancy.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 14 or24
19. COMPLIANCE WiTH LAWS,ORDINANCES,RULES AND REGULATIONS.
Lessee covenants and agrees that it shall not engage in any unlawful use of the Premises.
Lessee further agrees that it shall not permit its officers, agents, servants, employees,
contractors, subcontractors, patrons, licensees or invitees to engage in any unlawful use of
the Premises and Lessee inunediately shall remove from the Premises any person engaging
in such unlawful activities. Unlawful use of the Premises by Lessee itself shall constitute an
immediate breach of this Lease.
Lessee agrees to comply with all federal, state and local laws; all ordinances, rules and
regulations of Lessor; all rules and regulations established by the Director; and all rules and
regulations adopted by the City Council pertaining to the conduct required at airports owned
and operated by the City, as such laws, ordinances, rules and regulations exist or may
hereafter be amended or adopted. If Lessor notifies Lessee or any of its officers, agents,
employees, contractors, subcontractors, licensees or invitees of any violation of such laws,
ordinances, rules or regulations, Lessee and its officers, agents, employees, contractors,
subcontractors, licensees or invitees shall immediately desist from and correct the violation.
19.1 Compliance with Minimum Standards and Schedule of Rates and Charizes:
Lessee hereby agrees to comply at all times with the City's Minimum Standards, as
may be adopted by the City Council from time to time. Lessee shall be bound by any
charges adopted in the City's Schedule of Rates and Charges, as may be adopted by
the City Council from time to time.
i
20. NON-DISCRIMINATION COVENANT.
Lessee, for itself, its personal representatives,successors in interest and assigns,as part of
the consideration herein, agrees as a covenant running with the land that no person shall be
excluded fi•om participation in or denied the benefits of Lessee's use of the Premises on the
basis of race, color, national origin, religion, disability, sex, sexual orientation, transgender,
gender identity or gender expression. Lessee further agrees for itself, its personal
representatives, successors in interest and assigns that no person shall be excluded from the
provision of any services on or in the construction of any improvements or alterations to the
Premises on grounds of race, color, national origin, religion, disability, sex, sexual
orientation,transgender,gender identity or gender expression.
Lessee agrees to furnish its accommodations and to price its goods and services on a fair and
equal basis to all persons. In addition, Lessee covenants and agrees that it will at all times
comply with any requirements imposed by or pursuant to Title 49 of the Code of Federal
Regulations,Part 21,Non-Discrimination in Federally Assisted Programs, of the Department
of Transportation and with any amendments to these regulations which may hereafter be
enacted.
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Aitport
Page 15 of 24
If any claim arises from an alleged violation of this non-discrimination covenant by Lessee,
its personal representatives, successors in interest or assigns, Lessee agrees to indemnify
Lessor and hold Lessor harmless.
21. LICENSES AND PERMITS.
Lessee shall, at its sole expense, obtain and keep in effect all licenses and permits necessary
for the operation of its operations at the Airport.
22. GOVERNMENTAL POWERS.
It is understood and agreed that by execution of this Lease, Lessor does not waive or
surrender any of its governmental powers.
23. NO WAIVL'R.
The failure of Lessor to insist upon the performance of any term or provision of this Lease or
to exercise any right granted herein shall not constitute a waiver of Lessor's right to insist
upon appropriate performance or to assert any such right on any future occasion.
24. VENUE AND JURISDICTION.
i
If any action,whether real or asserted, at law or in equity, arises on the basis of any provision
of this Lease or of Lessee's operations on the Premises,venue for such action shall lie in state
courts located in Tarrant County, Texas or the United States District Court for the Northern
District of Texas,Fort Worth Division. This Lease shall be construed in accordance with the
laws of the State of Texas.
25. ATTORNEYS' TEES.
In the event there should be a breach or default under any provision of this Lease and either-
party should retain attorneys or incur other expenses for the collection of rent, fees or
charges, or the enforcement of performance or observances of any covenant, obligation or
agreement, Lessor and Lessee agree that each party shall be responsible for its own
attorneys' fees.
26. SEVERABILITY.
If any provision of this Lease shall be held to be invalid, illegal or unenforceable, the
validity, legality and enforceability of the remaining provisions shall not in any way be
affected or impaired.
27. FORCE MAJEURE.
Lessor and Lessee will exercise their best efforts to meet their respective duties and
obligations as set forth in this Agreement, but will not be held liable for any delay or
omission in performance due to force majeure or other causes beyond their reasonable
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 16 of 24
control, including, but not limited to, compliance with any government law, ordinance, or
regulation; acts of God; acts of the public enemy; fires; strikes; lockouts; natural disasters;
wars; riots; epidemics or pandemics; government action or inaction; orders of government;
material or labor restrictions by any govermnental authority; transportation problems;
restraints or prohibitions by any court, board, department, commission, or agency of the
United States or of any States; civil disturbances; other national or regional emergencies; or
any other similar cause not enumerated herein but which is beyond the reasonable control of
the Party whose performance is affected (collectively, "Force Majeure Event"). The
performance of any such obligation is suspended during the period of, and only to the extent
of, such prevention or hindrance, provided the affected Party provides notice of the Force
Majeure Event, and an explanation as to how it prevents or hinders the Party's performance,
as soon as reasonably possible after the occurrence of the Force Majeure Event, with the
reasonableness of such notice to be determined by the Lessor in its sole discretion. The
notice required by this section must be addressed and delivered in accordance with this
Lease.
28. HEADINGS NOT CONTROLLING.
Headings and titles used in this Lease are for reference purposes only and shall not be
deemed a part of this Lease.
29. ENTIRETY OF AGREEMENT.
This written instrument, including any documents attached hereto or incorporated herein by
reference, contains the entire understanding and agreement between Lessor and Lessee, its
assigns and successors in interest, as to the matters contained herein. Any prior or
contemporaneous oral or written agreement is hereby declared null and void to the extent in
conflict with any provisions of this Lease. The terms and conditions of this Lease shall not
be amended unless agreed to in writing by both parties and approved by the City Council of
Lessor.
30. CHAPTER 2270 OF THE TEXAS GOVERNMENT CODE.
Lessee aelmowledges that in accordance with Chapter 2270 of the Texas Government Code,
the City is prohibited fi-om entering into a contract with a company for goods or services
unless the contract contains a written verification from the company that it: (1) does not
boycott Israel; and (2) will not boycott Israel during the term of the contract. The terms
"boycott Israel" and "company" shall have the meanings ascribed to those terms in Section
808.001 of the Texas Government Code. By signing this Lease, Lessee certifies that
Lessee's signature provides►vritteu verification to the City that Lessee: (I) does not boycott
Israel,and(2) will not boycott Israel during the term of the Lease.
[Signature Pages Follow]
Danny Griffith
Hangar and Ground tease Agreement
Foil Worth Spinks Aitpoil
Page 17 of 24
IN WITNESS WHEREOF, the parties hereto have executed this Agreement in multiples
on this the day of )2022.
CITY OF FORT WORTH:
Qana HULc doAc
By:
Dana Burghdoff(Oct 12,2022 15:57 CDT)
Dana Burghdoff
Assistant City Manager
Date: Oct 12, 2022
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on
this day personally appeared Dana Burghdoff, known to me to be the person whose name is {
subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the
City of Fort Worth and that he executed the same as the act of the City of Fort Worth for the
purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day
2022. Oct 12, 2022
Selena Ala(Oct 12,2022 16:28 CDT)
Notary Public in and for the State of Texas
APPROVED AS TO FORM ATTEST:
AND LEGALITY. �Y SELENAE ALA
2 Notary Public
N
o
.7G1�'l�'IG��G GDOcIa�G STAT OF TEXAS
"� v Notary LD.132422528
U 9�OFW My Comm.Exp.Mar.31,2024
By: By Jan nette S.Goodall(Oct 13,202216:46 CDT)
Thomas Royce Hansen, Jannette S. Goodall
Assistant City Attorney City Secretary p doh°FOR?°�aa
M&C: 22-0804 l �� ~°° ° °O��1d
Approval Date: 10/11/2022 _ Vv °_�
Form 1295 Certificate ll: N/A �03� 'f°° ' Ay
°OO°°°o°° qd
AEaAS��p
OFFICIAL RECORD
Danny Griffith CITY SECRETARY
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport FT. WORTH, TX
Page 19 of 24
Contract Compliance Manager:
By signing, I acknowledge that i am the person responsible for the monitoring and
administration of this contract, including ensuring all performance and reporting requirements.
Barbara Goodwin
Real Property Manager
LESSEE:
GRIFFITH: ATTEST:
By: By:
Daniel Griffith
Date: 9 -1 Zo�
STATE OF TEXAS §
COUNTY OF fry §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on
this day personally appeared DANIEL GRIFFITH, known to me to be the person whose name is
subscribed to the foregoing instrument, and acknowledged to me that the same was the act of
DANIEL GRIFFITH and that s/he executed the same as the act of DANIEL GRIFFITH for the
purposes and consideration therein expressed and,in the capacity,therein stated.
GIVEN UNIDER MY HAND AND SEAL OF OFFICE this ^�day
2022.
MIGENA TELA
%
_Notary Public,State of Texas
Comm.Expires 07-23-2025
Notary ID 133228871 Notary ublic in and for the State of Texas
,nnt,
Danny Griffith OFFICIAL RECORD
Hangar and Ground Lease Agreement
Foil Worth Spinks Airport CITY SECRETARY
Page 19 of24 FT.WORTH,TX
EXHIBIT A
I
Map of Lease Site 29E
r � r
t R
SUBJECT
Danny Griffith
Hangar and Ground tease Agreement
Fort Worth Spinks Airport
Page 20 of 24
.0 —C.6-ex,
q.pp,sn* >.,,—WI,
h s , `� �j
21
V A
XR
S H I E L D IIAN(jR'.A 11)
"401"S"144*tow 613 t2o
MI
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Aitpoil
Page 21 of24
EXIIIBIT B
MANDATORY IMPROVEMENTS
• All mandatory improvements for Lease Site 29E must be completed in accordance with
Section 4 of the Lease.
• Lessee shall commence performing the Mandatory Improvements within six (6)months
following the execution of this Lease. The Mandatory Improvements shall be completed no
later than one(1)year following the execution of this Lease. The Mandatory Improvements
shall include:
• Exterior of the hangar will be removed and replaced with new burnished slate R
panel
• New exterior windows on east and west sides
• Two exterior doors will be removed and replaced with red metal exterior doors
with key code entry
• Interior and exterior lighting will have 350,000 lumens of new LED lighting
• Floors will be painted with two-part dark grey epoxy
• Exterior trim will be painted red
• Roof will be coated with a rubberized coating—white in color
The Mandatory Improvements must meet the standards set forth in the Aviation Department
Development Guide which will be provided to you upon request.
I
Danny Griffith
Hangar and Ground Lease Agreement
Fort Worth Spinks Airport
Page 22 of 24
EXHIBIT C
FoR.1 Wo R 111
EXHIBIT C -1011111ALIM INSURANCE REOUIREME[ITS
v�pas;+% iJ? To
at .ion Je.
, ;':o -
pmp-ml In"r..nr.—
Insura,:e e-es
:o i7l 0 D
r�.ra�.
4,r:n;5
.L_* ni
Avm.cs o7 strurr-n*V:nt-nanr _J 31 3 01
I-'+r, .
,4 e.raft?AMN cr FV91v•Tra-
IQ
D',ermcf 01
S'nW
D S;
X c��flel
0-3
al 4an ux L irre,
x-
77
x
J J
a
:,L _YA'.'atcll Z"+Pa7rr'in and gis+ Man.
-Ths ri of Fer, `J Cj a s tern':
:,irport Lis
1 ss shal have r D enoc--lent vr :n r�a -�.:5 of ncr
.-
pe, '.7,ihe .1%0 va4ii x-.ne :he a, thc
_'7 X
A,i,.tjon Minim,m S:ardards C 10 14�
Danny Griffith
Hangar and Ground Lease Agreement
Foil Worth Spinks Aiipoii
Page 23 of 24
DEFINITIONS:
Sie"S sod to
"a - In For. :0 Y; -n": F v 0- EeF 0 on n2nsT E-n nw: of E: 1 2��en :4vn :,we wyny=a
o i :A not 1 :", 0: ': an :EF v in y4i -A ::.1no n�:,i: :w, F v; 7 vji�i
-e vI 1�wn PoN -r7.x-on2 anoWS-is -nom: �:Loy. `C, IN c'�0. -00 0 ccrla-x
n Win A Vic ss"ry 114' F - A 3 "is 17 :SO7, lswivv" vy i�fn , a v 'vn warag+
-As r: i 2
'no :Jst-,,.,Y s' ::'i x
MOPEP.n IN,,URANCE
S.. .... 01-nglof.
nsu,e: :I-in :�
E-io S .o4, n :W.:0vC,;gofU±05j Sjolo" S.n-5jS . O"ve -Y-YOVO Z-�e-PPSK Pat JL-
S :nVVd C,�nf --fro e,nSy WWI Wo Ze 4r; A low MV&g
ry 04s-S!v"h: Coles 11"Nov-Tevas egally
i-L :;;�; 11"a ro-ol C �;,;A; Y�' 010-zo VF o-ertin
-2.'n -0, :e v.onj 01:Wv; nor cell is " ly A 3non 4 me
men :ninon P"
v-S h4pof OA
Coverage A-Bodily Injury and Property Damage Liability
GENERAL Sodj lQujmvamn>vn nuy Sokoes wonew" lenv Fnm-. 00-NE -ewE
LIABILID i4:.,..,r.it'o proft7j,
Covor:ige B -Personal lii,ury and Advertising lnlury Liability
"*Non; -ears fn no nor rnaKous
Ora rjwy Imam Of E Or ce% .,.s,a.jon)iwrt of a 04,on S QM of
o!. ir, en-e-.:
HANGARKEEFFE5 :Pna Vint-;.vc 1v ivynnng sonp 2sn ma,
UABILIT'i j"us r,z n v >34; a nof se
MIRC)MENTAL 3 v Von�,I F 0 -rMs anygo 4,law,jo; Q R 1 � lv�on*. jov;os SP: :ov�. �zn:
1 PA ENT L L-.E H.1 T) o i v L� j I- _ark E v a Ae C"N 1 0 0*10 z; 7 .. i :0 .1 C v 11:n.v
vurs"fW0, OW: " P1 z -A " N' "MCI zv
AIRCR,M AND :1 so ne 1:n,- no S-: :N Ew I:ev: v n
PAf-ENGM LIABILITI "'n"n I & 5-i 4
oft e EvE ona AXD"to: _. inn :nonn v AO ns! sq� 0: 2&Te
AUTONDISME LQUILITI my", wi qiw:v a ni VA:o y qjry
0 -1. o: I lip, is: : n lfhvinv� :0- -00"aw:
IIQ J.\��' LUDE HIRED
N(:)N-01,,,1FD VEHME0
I.psewein't lemon,mc sales n A,:1 cc,, noss lowx a Zion!son rnsms agawn
OF A!&3 my �>;man I a"narlone paljS WE.V ' cin PLI. _: in WQTt On aga nU Y'S D"01
UEROSATIOIN
Danny Griffith
Hangar and Ground Lease Qwnwnt
Fort Worth Spinks Ahpoti
Page 24 of 24
M&C Review Page I of 2
Official site of the City of Fort Worth,Texas
CITY COUNCIL AGENDA FT_ Ir-
H
Create New From This M&C
REFERENCE **M&C 22- 55FWS HGR AND GRND
DATE: 10/11/2022 NO.: 0804 LOG NAME: LEASE, LSE SITE 29E,
DANIEL GRIFFITH
CODE: C TYPE: CONSENT PUBLIC NO
HEARING:
SUBJECT: (CD 6)Authorize Execution of a New Hangar and Ground Lease Agreement for
Approximately 30,500 Square Feet of Ground Space Including a 14,000 Square Foot
Hangar Known as Lease Site 29E with Daniel Griffith at Fort Worth Spinks Airport
RECOMMENDATION:
It is recommended that the City Council authorize execution of a new hangar and ground lease
agreement for approximately 30,500 square feet of ground space, including a 14,000 square foot
hangar known as Lease Site 29E with Daniel Griffith at Fort Worth Spinks Airport.
DISCUSSION:
On April 29, 2022, staff received a proposal from Daniel Griffith to lease out Lease Site 29E at Fort
Worth Spinks Airport. The lease site is comprised of approximately 30,500 square feet of ground
space and includes a 14,000 square foot hangar. In reviewing the proposal, it was determined that
Daniel Griffith will provide the highest and best use for the hangar. Daniel Griffith plans to use the
facility for storage of aircraft and aviation-related business purposes.
Currently, the space is being used as a Community Hangar in which the City has been leasing space
within the hanger to respective individuals on a month-to-month term. The City is currently in the
process of providing notice to the effected tenants that the City is exercising its option to terminate
each of the respective leases. Current leases consist mainly of non-aircraft storage units and
aircraft parking spaces. All but one of the aircraft parking space tenants will be moving to Spinks
Airport's remaining community hangar.
The City of Fort Worth and Daniel Griffith now wish to enter into a new hangar and ground lease
agreement that will commence on the date of execution of the lease agreement (Effective Date) and
expire ten (10) years following the effective date (Lease). The Lease will have two (2) options to
renew for an additional five (5) years each. The Lease will require the following mandatory
improvements, which must be completed within twelve (12) months following the effective date of the
Lease:
Exterior of the hangar will be removed and replaced with new burnished slate R panel
New exterior windows on east and west sides
Two exterior doors will be removed and replaced with red metal exterior doors with key code entry
Interior and exterior lighting will have 350,000 lumens of new LED lighting
Floors will be painted with two-part dark grey epoxy
Exterior trim will be painted red
Roof will be coated with a rubberized coating - white in color
Annual revenue generated from the Lease is approximately $27,300.00, paid in monthly installments
of approximately $2,275.00. Annual revenue from the ground space is approximately $9,455.00, paid
in monthly installments of approximately $787.91. Rates were established by an appraisal performed
by a qualified third-party appraiser and are in accordance with the Aviation Department's current
Schedule of Rates and Charges and the Aviation Department's Leasing Policy.
All terms and conditions of the lease agreement will be in accordance with City of Fort Worth and
http://apps.cfwnet.org/council_packet/mc_review.asp?ID=30357&counciIdate=I O/11/2022 10/11/2022
M&C Review Page 2 of 2
Aviation Department policies.
Rental rates shall be subject to an increase on October 1st of any given year, based on the upward
percentage change in the Consumer Price Index (CPI) for the Dallas-Fort Worth metropolitan area. At
no time will the adjusted rate exceed the rate that is current in the Schedule of Rates and Charges. In
addition to the annual rent adjustments, five-year rate adjustments will be applied to the ground rate
starting on October 1, 2027, and every fifth year thereafter. If the lease agreement is renewed to
extend the term beyond ten years, City will have an appraisal performed by a third-party appraiser to
adjust the hangar rate to equal the then fair market value, for this type of property at airports similar to
the types or types of property that comprise the premises.
ADVISORY BOARD APPROVAL: On July 22, 2022, the Aviation Advisory Board voted to recommend
that the City Council approve the Hangar and Ground Lease Agreement.
Fort Worth Spinks Airport is located in COUNCIL DISTRICT 6.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendation and execution of
the lease agreement, funds will be deposited into the Municipal Airport Fund. The Aviation
Department (and Financial Management Services) is responsible for the collection and deposit of
funds due to the City.
TO
Fund Department Account Project Program Activity Budget Reference# Amount
ID ID Year (Chartfield 2)
FROM
Fund Department Account Project Program Activity Budget Reference # Amount
ID ID Year (Chartfield 2)
Submitted for City Manager's Office by: Dana Burghdoff(8018)
Originating Department Head: Roger Venables (5402)
Additional Information Contact: Ricardo Barcelo (5403)
ATTACHMENTS
FID TABLE.xlsx (CFW Internal)
Location Map 29E.pdf (Public)
http://apps.cfwnet.org/council_packet/mc_review.asp?ID=30357&counciIdate=l0/11/2022 10/11/2022