HomeMy WebLinkAboutContract 37787C1T`r SECRETARlr'
CONTRACT NO. J1:]
FORT WORTH MEACHAM INTERNATIONAL AIRPORT
TERMINAL BUILDING OFFICE LEASE AGREEMENT
4201 N. Main Street, Suite 130
(TERM)
This TERMINAL BUILDING OFFICE LEASE AGREEMENT ("Lease") is made and
entered into by and between the CITY OF FORT WORTH ("Lessor"), a home rule municipal
corporation situated in Tarrant County, Texas acting by and through T.M. Higgins, its duly
authorized Assistant City Manager, and AMERICAN FLYERS, INC ("Lessee"), a Texas
corporation acting by and through R. Clark McCormack, its duly authorized President.
In consideration of the mutual covenants, promises and obligations contained herein, the
parties agree as follows:
1. PROPERTY LEASED.
Lessor demises and leases to Lessee the following real property (hereinafter referred to as
"Premises") in the Terminal Building ("Terminal") at Fort Worth Meacham International Airport
("Airport") in Fort Worth, Tarrant County, Texas:
One Thousand Three Hundred Thirty Two (1,332) square feet of carpeted/tiled first
floor office space identified as Suite 130, and as common space, more specifically
depicted on Exhibit "A," attached hereto and hereby made a part of this Lease for all
purposes.
2. TERM OF LEASE.
The Initial Term of this Lease shall commence on the last date of its execution by all parties
("Effective Date") and expire at 11:59 P.M. on September 30, 2009. Unless terminated in
accordance with the provisions of this Lease, this Lease automatically shall renew for successive
Renewal Terms of one year each for up to five (5) years, with one five-year option of one year each
(each year a "Renewal Term"), commencing at 12:00 A.M. on October 1st of each year and expiring
at 11:59 P.M. the following September 30th; provided, however, that the rental rates for each
Renewal Term shall be adjusted to comply with the rates prescribed for the Premises by Lessor's
published Schedule of Rates and Charges in effect at the same time. The renewal will be automatic,
so long as Lessee is in material compliance with this Agreement on said dates, and Lessor has not
delivered to Lessee a notice of default under this Lease that remains uncured on or before such
dates or which cannot and is not cured by Lessee within a reasonable time after such dates and
unless the Lessee elects not to renew by giving Lessor at least thirty (30) days written notice prior to
the expiration of the Initial Term.
CITY SECltET�►I�Y
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3. RENT.
3.1. Rent During Initial Term.
Upon the completion of improvements for the Premises set forth .11 Exhibit and
the renovations and improvements contemplated herein, as forth in Exhibit "B," which is
attached hereto and made a part of this lease for all purposes, but not later than ninety (90)
days after the execution of this Lease, during the Initial Term of this Lease, Lessee shall pay
Lessor as annual rent for the Premises the sum of Twenty Thousand Seven Hundred
Seventy Nine and 20/100 Dollars ($20,779.20), payable in equal monthly installments of
One Thousand Seven Hundred Thirty One and 60/100 Dollars ($1,731.60). The rental rates
under this Lease are based on Lessor's published Schedule of Rates and Charges in effect as
of the Effective Date of this Lease. In the event that this Lease commences on a day other
than the first (1 st) day of any given month, the first month's rental payment shall be prorated
in accordance with the number of days remaining in that month.
3.2. Rent During Renewal Terms.
Rental rates for each Renewal Term shall comply with the rates prescribed for the
Premises by Lessor's published Schedule of Rates and Charges in effect at the same time.
3.3. Payment Dates and Late Fees.
All monthly rent payments under this Lease are due on or before the first (lst) day
of each month. Payments must be received during normal working hours by the due date at
the location for Lessor's Aviation Department as set forth in Section 18. Rent shall be
considered past due if Lessor has not received full payment after the (1 Oth) day of the month
for which payment is due. Lessor will assess a late penalty charge of ten percent (10%) per
month on top of the entire month's rent for each month in which rent is past due.
3.4. Rent Credits.
Notwithstanding anything to the contrary herein, Lessee shall have the right
to offset against rent payable hereunder for the Leased Premises a number of dollars
equal to eighty percent (80%) of the number of dollars expended by Lessee for those
capital improvements made to the Leased Premises, as well as any other capital
improvements or that are subsequently approved in writing by the Director of
Airport Systems or authorized representative prior to the earlier of installation or the
date in which the expense is incurred (collectively, "Designated Airport
Improvements"); provided, however, that in no event may Lessee offset more than
fifty percent (50%) of any monthly rent installment paid hereunder for this purpose.
Lessee shall not be entitled to receive a rent credit for any Designated Airport
Improvements other than those specifically identified unless Lessee provides Lessor
with invoices, receipts and any other documentation reasonably necessary to verify
the amount expended by Lessee for such Designated Airport Improvements. In
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addition, following at least forty-eight (46) hours' advance notice to Lessee, Lessor
shall have the right, at any time during normal business hours, to review and audit
all financial and business records of Lessee that relate to Designated Airport
Improvements, including, but not limited to, construction documents, invoices and
purchase receipts. Lessee shall make all such records available to Lessor in the
Leased Premises and will otherwise fully cooperate with Lessor in undertaking such
review or audit. Once Lessor has completed an audit with respect to a given
Designated Airport Improvement, Lessor will not conduct a subsequent audit with
respect to the same Designated Airport Improvement. Upon the expiration of the
Term or prior termination of this Lease, Lessor shall have no obligation to reimburse
Lessee for any expense incurred or expended by Lessee for any modification,
construction or improvement at the Airport, including, but not limited to, any
expenditures for Designated Airport Improvements that Lessee has not yet recouped
through the rent credits provided under this Section 3.4.
4. DEPOSIT.
There will be no Deposit required.
5. UTILITIES.
Lessor agrees and covenants that it will pay for all utilities in use on the Premises, with the
exception of telephone utilities. Lessee agrees that all heating equipment and other electrically -
operated equipment which may be used on the Premises shall fully comply with the City of Fort
Worth Mechanical, Electrical, Plumbing, Fire and Building Codes, as they exist or may hereafter be
amended.
6.1. Maintenance and Repairs by Lessor.
Lessor shall provide janitorial services to the Premises to be defined as trash pick
up. Lessor agrees to perform minor repairs and maintenance on a timely basis as required
by the ordinary use of the Premises under the terms of this Lease and which are not caused
by any violation thereof by Lessee. Lessor shall have the right and privilege, through its
officers, agents, servants or employees to inspect the Premises at any time. If Lessor
determines that Lessee is responsible for any maintenance or repairs required on the
Premises, it shall notify Lessee in writing. Lessee agrees to undertake such maintenance or
repair work within thirty (30) calendar days of receipt of notice. If Lessee fails to undertake
the maintenance or repairs recommended within this time, Lessor may, in its discretion,
perform the necessary maintenance or repairs on behalf of Lessee. In this event, Lessee will
reimburse Lessor for the cost of the maintenance or repairs, and payment will be due on the
date of Lessee's next monthly rental payment following completion of the repairs.
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6.2. Maintenance and Repairs by Lessee.
Lessee agrees to keep and maintain the Premises in a good, clean and sanitary
condition at all times. Lessee covenants and agrees that it will not make or suffer any waste
of the Premises. Lessee shall not allow any holes to be drilled or made in the brick, plaster
or cement work. Lessee will not pile or store boxes, cartons, barrels or other similar items
in a manner that is unsafe or unsightly. Upon termination of this Lease, Lessee agrees to
return the Premises to Lessor in the same condition as originally received, subject to
ordinary wear and tear consistent with normal use over time. Lessee is responsible for all
damages caused by the negligence or misconduct of Lessee, its agents, servants, employees,
contractors, subcontractors, patrons, licensees, invitees or trespassers.
6.3. Inspection.
Lessor, through its officers, agents, servants or employees, reserves the right to enter
the Premises at any time in order to perform any and all duties or obligations which Lessor
is authorized or required to do under the terms of this Lease or to perform its governmental
duties under federal, state or local rules, regulations and laws (including, but not limited to,
inspections under applicable Health, Mechanical, Building, Electrical, Plumbing, and Fire
Codes, or other health, safety and general welfare regulations). Lessee will permit the Fire
Marshal of the City of Fort Worth or his agents to make inspection of the Premises at any
time, and Lessee will comply with all recommendations made to Lessee by the Fire Marshal
or his agents 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 added or amended. Lessee shall maintain in a proper condition accessible fire
extinguishers of a number and type approved by Fire Underwriters for the particular hazard
involved. Lessor shall provide Lessee with advance notice of inspection when reasonable
under the circumstances.
7. ACCEPTANCE OF PREMISES.
7.1. Asbestos Abatement Activities.
Lessee acknowledges the existence of asbestos -containing material on the
Premises. After investigation by Lessor, Lessor represents that, to the best of its
knowledge, asbestos -containing materials exist on the Premises to the extent identified in
Lessor's Level H Asbestos Assessment Report dated October 12, 1992, a public document
on file in Lessor's City Secretary's Office and incorporated herein by reference for all
purposes. Lessee covenants and agrees to comply with all federal, state and local laws and
regulations, now in existence or promulgated in the future, which pertain to asbestos -
containing materials. Lessee covenants and agrees to cooperate fully with any asbestos
abatement activity plan or asbestos operations and maintenance plan set forth by Lessor.
Lessee further covenants and agrees to notify and obtain written approval from Lessor prior
to Lessee's undertaking of any repairs, renovations, alterations or improvements to the
Premises or of any other activity which might disturb asbestos -containing materials. Lessee
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agrees that it shall be solely responsible for all expenses of such activities. Lessor retains
the right to perform or cause to be performed air sampling on the Premises to check for the
presence of airborne asbestos fibers. Lessee agrees to allow Lessor full access to the
Premises to perform such tests. Lessor will make the results of any such tests available to
Lessee at Lessee's request.
7.2. Lessee's Acceptance of Premises.
Lessee agrees and covenants that it has inspected the Premises and is fully advised
of its own rights without reliance upon any representation made by Lessor concerning the
condition of the Premises. Lessee accepts the Premises in its present condition as
satisfactory for all purposes set forth in this Lease.
S. CONS'I'IZUC'I'ION Alm IMPItOVEMEN3'S.
Lessee may not undertake or allow any parry to undertake any kind of alteration, erection,
improvement or other construction work on or to the Premises unless it first requests and receives
in writing approval from the Director of Airport Systems or authorized representative. All such
approved construction work on and improvements to the Premises shall comply fully with the
Americans with Disabilities Act of 1990, as amended.
G�7�7.� 1► !�
Lessee shall have the right to use the designated public parking areas, and to the extent
available and in accordance with policies established by the Director of Airport Systems or
authorized representative, for the parking of company vehicles and the vehicles of its employees,
licensees or invitees, subject to all ordinances and regulations of the City of Fort Worth and all
other applicable laws.
10. USE OF PREMISES.
Lessee agrees to use the Premises exclusively for aviation or aviation -related commercial
activities. It is specifically agreed and stipulated that the following concessions are prohibited
under this Lease, unless specifically approved by the Director of Airport Systems or authorized
representative: (i) ground transportation for hire; (ii) motor vehicle rental, including taxi and
limousine service; (iii) food sales; (iv) barber and valet services; and (v) alcoholic beverage sales.
11. SIGNS.
Lessee may, at its own expense and with the prior written approval of the Director of
Airport Systems or authorized representative, create, install and maintain signs in the Terminal
indicating Lessee's business. Such signs, however, must be in keeping with the size, color, location
and manner of display of other signs throughout the Terminal. In addition, Lessee may, at its own
expense, make, install and maintain a sign outside the Terminal on Lessor's property subject to prior
written approval by the Director of Airport Systems or authorized representative as to the sign's
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placement, appearance, construction, and conformity with applicable City Code restrictions.
Lessee shall maintain all signs in a safe, neat, sightly and physically good condition. Lessee
agrees to pay Lessor for any damage, injury or necessary repairs to the Premises resulting from the
installation, maintenance or removal of any such sign. Lessee also agrees to remove any sign at its
own expense immediately upon receipt of instructions for such removal from the Director of
Airport Systems or authorized representative.
12. RIGHTS AND RESERVATIONS OF LESSOR.
Lessor hereby retains the following rights and reservations:
12.1. All fixtures and items permanently attached to any structure on the Premises belong
to Lessor, and any additions or alterations made thereon, shall immediately become
the property of Lessor.
12.2. 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.
12.3. Lessor reserves the right to close temporarily the Airport or any of its facilities for
maintenance, improvements, safety or security of either the Airport or the public, or
for any other cause deemed necessary by Lessor. In this event, Lessor shall in no
way be liable for any damages asserted by Lessee, including, but not limited to,
damages from an alleged disruption of Lessee's business operations.
12.4. 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 funds for the development, maintenance or repair of Airport infrastructure.
12.5. 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.
12.6. 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
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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.
13. 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 covering all public risks related to the leasing, use, occupancy, maintenance,
existence or location of the Premises. Lessee shall obtain the following insurance coverage
aI the limits specified herein:
* Commercial General Liaibility:
$300,000.00 per occurrence
(including Products and Completed Operations);
In addition, Lessee shall be responsible for all insurance to any approved construction,
improvements, modifications or renovations on or to the Premises and for personal property
of Lessee or in Lessee's care, custody or control.
13.2. Adjustments to Required Coverage and Limits.
Insurance requirements, including additional types and limits of coverage and
increased limits on existing coverages, are subject to change at Lessor's option, and Lessee
will accordingly comply with such new requirements within thirty (30) days following
notice to Lessee.
13.3. Certificates.
As a condition precedent to the effectiveness of this Lease, Lessee shall furnish
Lessor with a certificate of insurance signed by the underwriter 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, on demand, provide Lessor with evidence that it has maintained such
coverage in full force and effect.
13.4. Additional Requirements.
Lessee shall maintain its insurance with underwriters authorized to do business in
the State of Texas and which are satisfactory to Lessor. The policy or policies of insurance
shall be endorsed to cover all of Lessee's operations at the airport and to provide that no
material changes in coverage, including, but not limited to, cancellation, termination, non -
renewal or amendment, shall be made without thirty (30) days' prior written notice to
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Lessor.
2
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.
15. INDEMNIFICATION.
LESSEE HEREBY ASSUMES ALL LIABILITY AND RESPONSIBILITY FOR
PROPERTY LOSS, PROPERTY DAMAGE AND/OR PERSONAL INJURY OF ANY KIND,
INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR CHARACTER,
WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH THE
USE OF THE AIRPORT UNDER THIS LEASE OR WITH THE LEASING,
MAINTENANCE, USE, OCCUPANCY, EXISTENCE OR LOCATION OF THE PREMISES,
EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR
INTENTIONAL MISCONDUCT OF LESSOR.
LESSEE COVENANTS AND AGREES TO, AND DOES 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
INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR
CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN
CONNECTION WITH THE USE OF THE AIRPORT UNDER THIS LEASE OR WITH THE
LEASING, MAINTENANCE, USE, OCCUPANCY, EXISTENCE OR LOCATION OF THE
PREMISES, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR
OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR.
LESSEE ASSUMES ALL RESPONSIBILITY AND AGREES TO PAY LESSOR FOR
ANY AND ALL INJURY OR DAMAGE TO LESSOR'S PROPERTY WHICH ARISES OUT
OF OR IN CONNECTION WITH ANYAND ALL ACTS OR OMISSIONS OF LESSEE, ITS
OFFICERS, AGENTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS,
LICENSEES, INVITEES, PATRONS OR TRESPASSERS, EXCEPT TO THE EXTENT
CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL
MISCONDUCT OF LESSOR.
LESSOR DOES NOT GUARANTEE POLICE PROTECTION TO LESSEE OR ITS
PROPERTY. LESSOR SHALL NOT BE RESPONSIBLE FOR INJURY TO ANY PERSON
ON THE PREMISES OR FOR HARM TO ANY PROPERTY WHICH BELONGS TO
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LESSEE, ITS OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS,
SUBCONTRACTORS, LICENSEES, INVITEES OR PATRONS, AND WHICH MAY BE
STOLEN, DESTROYED OR IN ANY WAY DAMAGED; AND LESSEE HEREBY
INDEMNIFIES AND HOLDS HARMLESS LESSOR, ITS OFFICERS, AGENTS,
.SERVANTS AND EMPLOYEES FROM AND AGAINST ANY AND ALL SUCH CLAIMS,
INTENTIONAL/ I UCT OF LESSOR.
If Lessee, as a charitable association, corporation, partnership, individual enterprise or
entity, claims immunity to or an exemption from liability for any kind of property damage or
personal damage, injury or death, Lessee hereby expressly waives its rights to plead defensively any
such immunity or exemption as against Lessor.
17. TERMINATION.
In addition to any termination rights provided herein, this Lease may be terminated as
follows:
17.1. By Either Party.
Lessor or Lessee may terminate this Lease for any reason, to be effective on the
expiration date of the term in effect at the time, by providing the other parry with written
notice not less than thirty (30) days prior to the effective date of such termination.
17.2. Airport Development.
In the event that Lessor requires the Premises (i) as part of its plans to further
develop the Airport or (ii) for the convenience of the public's use of the Airport, as
determined by Lessor, Lessor may terminate this Lease by providing Lessee with written
notice not less than one hundred eighty (180) days prior to the effective date of such
termination.
17.3. Failure to Pay Rent.
If Lessee fails to pay rent for the Premises in accordance with Section 3, Lessor shall
provide Lessee with a written statement of the amount due. Lessee shall have ten (10)
calendar days following notice to pay the balance outstanding. If Lessee fails to pay the full
amount within such time, Lessor shall have the right to terminate this Lease immediately.
17.4. Breach or Default by Lessee.
If Lessee commits any breach or default under this Lease, other than a failure to pay
rent, Lessor shall deliver to Lessee a written notice specifying the nature of such breach or
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default. Lessee shall have thirty (30) calendar days following notice to cure, adjust or
correct the problem to the satisfaction of Lessor. If Lessee fails to cure the breach, default
or failure within the time period prescribed, Lessor shall have the right to terminate this
Lease immediately.
Upon termination or expiration of this Lease, all rights, powers and privileges
granted to Lessee hereunder shall cease and Lessee shall immediately vacate the Premises.
Lessee agrees that it will return the Premises and all appurtenances and improvements
thereon in good order and repair and in the same condition as existed at the time this Lease
was entered into, subject to ordinary wear and tear. Lessor shall have the immediate right
to take full possession of the Premises, by force if necessary, and to remove any and all
parties remaining on any part of the Premises without further legal process and without
being liable for trespass or any other claim. Lessor shall also have the right to remove any
and all fixtures or equipment that may be found within or upon the Premises without being
liable therefor. 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
the Lease or any act incident to Lessor's assertion of its right to terminate.
18. NOTICES.
Notices required pursuant to the provisions of this Lease shall be conclusively determined to
have been delivered when (1) hand -delivered to the other party, its agents, employees, servants or
representatives, or (2) deposited in the United States Mail, postage prepaid, addressed as follows:
To LESSOR:
For Rent:
CITY OF FORT WORTH
AVIATION DEPARTMENT
4201 N MAIN ST STE 200
FORT WORTH TX 76106-2736
To LESSEE:
AMERICAN FLYERS, INC
4201 N MAIN ST SUITE 100
FORT WORTH, TX 76106
19. ASSIGNMENT AND!;
For All Other Matters:
DEPT OF AVIATION
MEACHAM INTL AIRPORT
4201 N MAIN ST STE 200
FORT WORTH TX 76106-2736
Lessee shall not assign, sell, convey, sublet or transfer any of its rights, privileges, duties or
interests granted by this Lease without the advance written consent of Lessor. Any such transaction
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attempted by Lessee without prior written consent by Lessor shall be null and void. If Lessor
consents to any such transaction, the respective assignee or sublessee shall consent to comply in
writing with all terms and conditions set forth in this Lease the same as if that party had originally
executed this Lease.
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 immediately. 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.
21. 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.
22. 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 immediately 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 the City of Fort Worth and the City of Fort Worth Police, Fire and Health
Departments; all rules and regulations established by the Federal Aviation Administration and the
Director of Airport Systems; 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 (collectively "Laws"). Lessee hereby
assumes full responsibility for the violation of any Law by Lessee, its officers, agents, employees,
contractors, subcontractors, licensees or invitees and shall pay or fully indemnify the City for any
fines or other lawful penalties assessed for any such violation. 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 shall immediately desist from and correct the
violation.
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23. 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 from participation in or denied the benefits of Lessee's use of the Premises on the basis of
race, color, national origin, religion, handicap, sex, sexual orientation or familial status. 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,
handicap, sex, sexual orientation or familial status. 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 this regulation which
may hereafter be enacted.
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.
24. LICENSES AND PERMITS.
Lessee shall, at its sole expense, obtain and keep in effect all licenses and permits necessary
for the operation of its business at the Airport.
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It is understood and agreed that by execution of this Lease, the City of Fort Worth does not
waive or surrender any of its governmental powers.
26. NO WAIVER.
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.
27. VENUE.
Should any action, whether real or asserted, at law or in equity, arise out of the terms of this
Lease or by Lessee's operations on the Premises, venue for such action shall lie in state courts 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.
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12
28. ATTORNEYS' FEES.
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.
29. 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.
Lessor and Lessee shall exercise every reasonable effort to meet their respective obligations
as set forth in this Lease, but shall not be held liable for any delay in or omission of performance
due to force majeure or other causes beyond their reasonable control, including, but not limited to,
compliance with any government law, ordinance or regulation, acts of God, acts of omission, fires,
strikes, lockouts, national disasters, wars, riots, material or labor restrictions by any governmental
authority, transportation problems and/or any other cause beyond the reasonable control of the
parties.
31. .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.
32. ENTIRETY OF AGREEMENT.
This written instrument, including any documents 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.
American Flyers, Inc. Suite 130
FW Meacham Airport Office Lease
Page 13 of 15
[Signature Pages Follow]
13
EN WITNESS WHEREOF, the parties hereto have executed this Agreement in multiples
on this the L `- day of Q . , 2008.
CITY OF FORT WORTH:
By.
T.M. Higgins
Assistant City Manager
Date: /cwltr O 8
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 T.M. Higgins, 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.
GNEN UNDER MY HAND AND SEAL OF OFFICE this / day
�o`•'"•"•"`�; ROSELLA BARNES
2,•
'*: •*" MY COMMISSION EXPIRES
= 0Oor March 31, 20M9
APPROVED AS TO FORM
AND LEGALITY:
By: d , 0 "
Charlene Sanders
Assistant City Attorney
Contract Authorization:
Date Approved:
American Flyers, Inc. Suite 130
FW Meacham Airport Office Lease
Page 14 of 15
Notary Public in and for the State of Texas
ATTEST:
By:
City Secretary
14
AMERICAN FLYERS, INC:
�1 fi f
Name: R. Clark McCormack
Title: President
Date: IX 4 r Y.
STATE OF TEXAS §
COUNTY OF �o►tl,�;v4r.3 §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on
this day personally appeared R. Clark McCormack, 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
American Flyers, Inc and that s/he executed the same as the act of American Flyers, Inc for the
purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this
�i trw , 2008.
American Flyers, Inc. Suite 130
FW Meacham Airport Office Lease
Page 15 of 15
�i
Notary Public in acid for the Staff of Texas
Billy G Fulton
My Commission Expires
04l1912010
�Qgf
15
Exhibit'A'
_�
say
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 10/7/2008
,�,<;,:�s�z:�*a..,.. ..... ..��c�c r�.�rr��°da.*:�ii.,�r�ra„�.:.e�;:;:.�,.'�.��,:s�:�..,.x�?..�az�...�.s;�s�,�,�,�...�:s����„��:�^:�..>�eF�.sa'��c�^„�x�.,���. ,r. .:�....w......:......:.�a�a�.,,..��..,::
DATE: Tuesday, October 07, 2008
LOG NAME: 55AM FLYERS 130
REFERENCE NO.: **C-23116
SUBJECT:
Authorize Terminal Building Office Lease Agreement with American Flyers, Inc., at Fort Worth
Meacham International Airport in the Amount of $20,779.20 Per Year
..:.:..r55r?1:,X':'A�.�uv...�Y.....`°`"...�cs.✓�YC.'��e„'v.�.. Y/,S'.`ro. .*.,i3i."..N�;6L ;w�.`f.'.ca„:'=L';�Pl..,lzw2'C�.ux"f'^,..3 1�>,.�::....,u....�r4"r.,.M�i�..w"'Csi3�,..,.�M1' `S'�,°ea�"�Swu .3".� .ei.Fuv�Li5."`,r`ar' et'n;S�CmhJ'Jsc: i-,. vii..a�.3Y,Or.2�t�,nl`.^��Sd€'i�5`,�xeaubS�ii.�;_;::.w am/. mn.�Y.i.-;s�.2lateFd.�` h'
RECOMMENDATION.
It is recommended that the City Council authorize the City Manager to execute a Terminal Building Office
Lease Agreement for Suite 130, and additional common space known as counter, with American Flyers,
Inc., at Fort Worth Meacham International Airport in the amount of $20,779.20 per year.
DISCUSSION:
R. Clark McCormack, President of American Flyers, Inc., proposes to expand their current facility located in
the terminal building at Fort Worth Meacham International Airport due to the need of additional office space.
The lease will consist of approximately 1,332 square feet of first floor office space located within the
terminal building known as Suite 130, plus additional common area to be finished out. The rate for the
space will be calculated at a rate of $15.60 per square foot. This is in accordance with the Aviation
Department's current Schedule of Rates and Charges.
The Aviation Department proposes to complete the outer construction necessary to incorporate the
common area into the existing office space Suite 130. This will include the installation of a glass frontage
wall expanding the space out and relocation of existing interior walls. American Flyers Inc., will then finish
out the interior to their specifications. Staff agrees to allow monthly rent credits to be issued for 80 percent
of the approved interior construction costs, not to exceed 50 percent of the monthly rent amount due.
American Flyers Inc., agrees to provide original, detailed invoices and/or receipts after the work is
completed.
Total revenue generated from this lease will be approximately $20,779.20 per year, or $1,731.60 per
month. Rental rates shall be subject to an increase on October 1st of any given year to reflect the upward
percentage change, if any, in the Consumer Price Index for the period since the last adjustment.
The effective date of the lease will commence upon execution, but the rental payments will not commence
until a Certificate of Occupancy is obtained. The term of the lease will expire September 30, 2009, and
automatically shall renew for successive renewal terms of one year each for up to five years, with one five-
year option of one year each commencing each October 1st. All other terms and conditions will follow
standard City and Aviation Department policies.
Fort Worth Meacham International Airport is located in COUNCIL DISTRICT 2.
FISCAL INFORMATION/CERTIFICATION:
The Financial Management Services Director certifies that the Aviation Department will be responsible for
the collection and deposit of funds due to the City under this Agreement.
Logname: 55AM FLYERS 130 Page 1 of 2
TO Fund/Account/Centers FROM Fund/Account/Centers
PE40 491282 0551101 �20,779.20
Submitted for City Manager's Office b� Tom Higgins (6266)
Ori_ inatin _Department Head: Kent Penney (5403)
Additional Information Contact: Mark Folden (5402)
Logname: SSAM FLYERS 130 Page 2 of 2