HomeMy WebLinkAboutContract 37538CITY S"ECRETARY
CON T R,CT NO,
LESSOR ESTOPPEL CERTIFICATE AND CONSENT
L 2008
Regions Bank
P.O. Box 7232
Monroe, Louisiana 71211-7232
Ladies and Gentlemen:
FWS Realty, Ltd. ("Prior Lessee") and the City of Fort Worth (the
'City") entered into a written ground lease agreement dated October 6,
2004, and on file in the City Secretary's Office as City Secretary Contract No.
30655, which including all amendments or modifications thereto, are
incorporated by reference (the "Lease"), pursuant to which the City leased to
Prior Lessee and Prior Lessee leased from the city certain premises located at
Spinks Airport in the City of Fort Worth, as described in the Lease
("Premises" herein). Regions Bank has entered into an agreement with Prior
Lessee to provide financing for construction of improvements on the
Premises.
The City hereby certifies to and agrees as follows:
1. That the Lease has not been modified, altered, or amended in
writing or orally, except for any Amendment No. 1, City Secretary Contract
NO. 32469, all of which are attached hereto.
2. The Lease (including any amendments or modifications referred
to in Paragraph 1 above) constitutes the only contractual agreement between
the City and Lessee with respect to the Premises.
3, The Lease is in full force and effect and, to the best of the City's
knowledgeI no uncured breach or event of default has occurred as of the
date hereof. The City has no right to setoffs, claims or defenses to the
enforcement of the Lease by Lessee against the City, except as may be
provided by the Lease or by federal, state, or local law or ordinance. The
City presently has no setoffs, claims or defenses outstanding against the
Lessee.
4. As of the date hereof, the City, to the best of the City's
knowledge, is not in default in the performance of the Lease and has not
committed any breach of the Lease. As of the date of this Certificate, the City
has not been advised by Lessee that the City has promulgated any policy,
ordinance, rule or regulation which would diminish, contradict, void or
otherwise impair the rights of Lessee granted or created under the terms of
the Lease.
OFFICI%i�. RECORD
CITY SECRETARY
FT.INORTH, TX
5. That to the City's knowledge, Lessee has not transferred,
assigned or sublet the Lease or the Premises in whole or in part.
6. That the Effective Date of the Lease, as defined therein, was
October 6, 2004, and that the Lease term will expire in accordance with its
terms on September 30, 2034, subject to any renewal rights that Lessee may
have, as provided by City Secretary Contract No. 30655, as amended by City
Secretary Contract No. 32469.
7. That no security deposit is held by the City under the Lease and
Prior Lessee is current on its rental pavments.
8. Other than the rental amounts and any fees set forth in City
Secretary Contract No. 30655, that Lessee is not obligated to pay any other
sums to the City under the Lease.
9. To the best of the City's knowledge after inquiry, the current
use of the Premises is in accordance with all of the terms and conditions of
the Lease and in accordance with the City's Minimum Standards for Fixed
Base Operators and Other Tenants.
Nothing contained in this Estoppel Certificate and Consent shall be
construed to modify or amend the Lease, or waive any rights of the City
under the Lease.
EXECUTED on this the day of , 2008.
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Jontract .AuthorixatiOR
THE CITY OF FORT WORTH, TEXAS,
a Texas municipal corporation
By:
T.M. Higgins
Assistant City
Manager
RECOMMENDED FOR APPROVAL
By:
Kent Penney
Airport Systems Director
APPROVED AS TO FORM AND LEGALITY:
Assistant City Attorney
OFt IC�Ai_ RECOR®
CITY SECRETARY
T. WORTH, TX
ity f Fort orth, Texas s E P ®� �Ec'o
• • • • •
COUNCIL ACTION: Approved on 9/2/2008
DATE: Tuesday, September 02, 2008
LOG NAME: 55FWS NEW DOT
REFERENCE NO.: *�C-23005
SUBJECT:
Authorize Execution of a Written Consent to Deed of Trust Lien by FWS Realty, Ltd., in Favor of
Regions Bank for the Terminal Building at Fort Worth Spinks Airport
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute a written consent to Deed of
Trust Lien by FWS Realty, Ltd., in favor of Regions Bank for the Terminal Building at Fort Worth Spinks
Airport.
DISCUSSION:
On May 18, 2004, (M&C C-20086) City Council approved execution of an unimproved ground lease with
mandatory improvements with FWS Realty, Ltd., for a phased development project at Fort Worth Spinks
Airport. One of these developments was an FBO Terminal Building which FWS Realty, Ltd., managed by
Haydn Cutler, currently leases the ground for the terminal building at Fort Worth Spinks Airport pursuant to
City Secretary Contract (CSC) No. 30655. FWS Realty, Ltd., wishes to put up the 7,400 square foot
executive terminal building as collateral.
FWS Realty, Ltd., wishes to obtain financing for the 7,400 square foot executive terminal building from
Regions Bank. Accordingly, Mr. Cutler has requested the City's consent to his execution of a Deed of Trust
Lien on the premises in order for the Bank to secure his loan. The Deed of Trust Lien will grant the Bank the
right to operate as Lessee or to secure another tenant in place of FWS Realty, Ltd., if approved by the City
Council, in the event that FWS Realty, Ltd., defaults on the loan or their lease with the City of Fort Worth.
The Lease Agreement prohibits FWS Realty, Ltd., or Haydn Cutler from making any assignment of the
Lease or causing any lien to be made on improvements constructed on the Leased Premises without City
Council approval. This type of transaction is routine for large airport tenants and City staff has no objection
to Mr. Cutler's request.
Fort Worth Spinks Airport is located in COUNCIL DISTRICT 8.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that this action will have no material affect on City funds.
TO Fund/Account/Centers
FROM Fund/Account/Centers
Submitted for City Manager's Office by: Tom Higgins (6266)
Originating Department Head: Kent Penney (5403)
Additional Information Contact: Patrick Carreno (447-8304)
Logname: 55FWS NEW DOT Page 1 of 1