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HomeMy WebLinkAboutContract 41131CITY SECRETARY,, CONTRACT NO. ' t i N FORT WORTH MEACHAM INTERNATIONAL AIRPORT TERMINAL BUILDING OFFICE LEASE AGREEMENT SUITES 101 & 101A 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, Denton, Parker, and Wise Counties, Texas acting by and through. Fernando Costa, its duly authorized Assistant City Manager, and Rich Aviation Services, LLC ("Lessee"), a Texas limited liability company. 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") located in the Terminal Building ("Terminal") at Fort Worth Meacham International Airport ("Airport") in Fort Worth, Tarrant County, Texas: 1.1. 248 square feet of carpeted floor office space identified as Suites 101, and 101A depicted on 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 Tenn of this Lease shall commence on the date of its execution by the City ("Effective Date") and expire at 11:59 p.m., October 31, 2011, unless terminated earlier as provided herein. 2.2. Renewals. If Lessee performs and abides by all provisions and conditions of this Lease, Lessee shall have three (3) successive options to extend the term of this Lease, each option being for an additional one-year period (each a "Renewal Term") on the same terms and conditions as provided in this Lease at a rental rate calculated in accordance with Section 3.1 hereof; provided that any exercise of an option to renew shall be delivered to Lessor no later than ninety (90) days prior to the expiration of the then current term. Terminal Building Office Lease Agreement between City of Fort Worth & Rich Aviation Services Page 1 of 15 "15 1 0 PO4:55 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX 3. RENT. 3.1. Rates and Adjustments. Lessee shall commence the payment of rent, in accordance with this Section 3, on the Effective Date of this Lease. From the Effective Date until September 30, 2011, Lessee shall pay Lessor rent based on a rental rate of $15.60 per square foot which will be payable in monthly installments of $322.40, for an annual rental rate of $3,868.80. On October 1, 2011, and on October 1st of each year thereafter during both the Initial Term and any Renewal Tenn, Lessee's rental rate shall be subject to increase by Lessor to reflect the upward percentage change, if any, 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 in no event shall Lessee s monthly rental rate exceed the lesser of (a) one hundred ten percent (110%) of the monthly rental rate paid by Lessee during the immediately preceding twelve (12) month period, or (b) the then -current rates prescribed by Lessor's published 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. 3.2. Payment Dates and Late Fees. Monthly rent payments under this Lease are due on or before the first (1st) day of each month. Payments must be received during noitnal working hours by the due date at the location for Lessor's Revenue Office as set forth in Section 18. Rent shall be considered past due if Lessor has not received full payment on or before the 10th 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. 4. DEPOSIT. Upon execution of this Lease, Lessee will remit to Lessor a maintenance/damage deposit ("Deposit') equivalent to one month's rent. Thereafter, Lessee shall, at a minimum, maintain its Deposit in an amount that is equivalent to its current monthly rental amount for the Premises. Lessee's failure to maintain its Deposit as required shall constitute a breach of this Lease. Lessee's Deposit shall be in the form of a cash payment Lessee will not be entitled to any interest on this Deposit. Unless Lessor terminates this Lease for any breach, default or failure by Lessee, Lessor will refund any unused portion of this Deposit within thirty (30) days following the date that Lessee vacates the Premises Lessee acknowledges that if Lessor terminates this Lease for any breach, default or failure by Lessee, Lessee shall forfeit the entire balance of its Deposit. Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 2 of 15 5. UTILITIES. Lessor agrees and covenants that it will pay for all utilities in use on the Premises, with the exception of telephone utilities. For all leased space in the basement of the Terminal, Lessee acknowledges that Lessor will not provide or pay for any air conditioning or heating services. Before installing any type of air conditioning or heating devices in the basement of the Terminal, Lessee shall obtain written permission from the Airport Systems Director or authorized representative and shall, at Lessee's own expense, provide a ventilation system acceptable to Lessor 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. MAINTENANCE AND REPAIRS. 6.1. Maintenance and Repairs by Lessor. Lessor shall provide janitorial services to the Premises unless located in the basement of the Terminal Lessor agrees to perform minor repairs and maintenance on a timely basis as required by the ordinary use of the Premises under the terns 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. 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. For any portion of the Premises located in the basement of the Terminal, Lessee shall provide, at Lessee s own expense, and use covered metal receptacles for the temporary storage of all trash and garbage and arrange and pay for the sanitary transport Terminal Buildir g Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 3 of 15 and pennanent disposal away from the Airport of all of Lessee's trash, garbage and refuse. 6.3. Inspection. Lessor, through its officers, agents, servants or employees, reserves the right to enter the Premises at any time in order to perfonn 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. Known Presence of Asbestos -Containing Material. 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 II 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. For the avoidance of doubt and notwithstanding any provision in this Lease to the contrary neither Lessee nor any of its affiliates, officers directors, partners, employees, representatives, or agents shall have any obligation or responsibility for abating, encapsulating or removing any asbestos from the Premises if the need for abatement is caused by the disturbance of asbestos containing material by the Lessor. In addition, in the event any asbestos containing materials located on or near the Premises are disturbed by Lessor and render the Premises untenantable, Lessee shall have the option to terminate this Lease effective as of the date of such disturbance. In the event Lessee elects not to terminate this Lease pursuant to this Section 7 1, any and all rent payable under this Lease shall be abated from the date of any disturbance by Lessor rendering the premises untenantable until the Premises are rendered tenantable by an asebestos remediation contractor certified by the State of Texas. Any costs for asbestos abatement caused by Tenninal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 4 of 15 Lessee disturbing the asbestos containing material shall be borne by the Lessee 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 agrees that it shall be solely responsible for all expenses of such activities Lessor retains the right to perfoiin 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. 8. CONSTRUCTION AND IMPROVEMENTS. Lessee may not undertake or allow any party 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 Airport Systems Director 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. 9. PARKING. 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 Airport Systems Director 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 Airport Systems Director 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. Tenninal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 5 of 15 11. SIGNS. Lessee may, at its own expense and with the prior written approval of the Airport Systems Director or authorized representative, create, install and maintain signs in the Premises and the Tennmal 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 Airport Systems Director or authorized representative as to the sign s 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 Airport Systems Director 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; provided, however, any and all flight simulators and other equipment used in the operation of Lessee's business shall not be deemed a fixture under this Lease and shall not under any circumstances, automatically become the property of Lessor. Upon the termination of this Lease, Lessee shall have the express right to remove any and all flight simulators, equipment, furniture, appliances, supplies and electronics used in the operation of Lessee's business prior to termination date. Any and all personal property remaining on the Premises after the termination date becomes the property of the 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 temporarily close 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. Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 6 of 15 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 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. 13. INSURANCE. 13.1. Types of Coverage and Limits. 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 nsks related to the leasing use, occupancy, maintenance, existence or location of the Premises. Lessee shall obtain the following insurance coverage at the limits specified herein 0 Commercial General Liability: $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 Lessee shall give prompt written notice to Lessor of any Terminal Build ng Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 7 of 15 damage caused to the Premises by fire or other casualty. In the event the Premises are damaged or destroyed by fire or other casualty, and Lessor does not elect to terminate this Lease as hereinafter provided, Lessor shall proceed with reasonable diligence to rebuild and repair the Premises. In the event Lessor elects to terminate this Lease, all rent shall be abated during the unexpired portion of this Lease, effective upon the date of the occurrence of such damage. Lessor's obligation to rebuild and repair under this Section 13.2 shall in any event be limited to restoring the Premises to substantially the condition in which they existed prior to such casualty, exclusive of any alterations, additions improvements, fixtures and equipment installed by Lessee. In the event that Lessor should fail to initiate such repairs and rebuilding within ninety (90) days after the date upon which Lessor is notified of such damage Lessee may at its option terminate this Lease by delivering written notice of termination to Lessor as Lessee's exclusive remedy, whereupon all rights and obligations hereunder shall cease and teiininate. Except as otherwise provided herein, Lessee agrees that during any period of reconstruction or repair of the Premises, it will continue the operation of its business within the Premises to the extent practicable. During the period from the occurrence of the casualty until the date Lessee re -opens for business, rent and all other charges hereunder shall be reduced to such extent as may be fair and reasonable under the circumstances. 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. In addition, Lessee agrees that no material changes in coverage, including, but not limited to, cancellation, termination, nonrenewal or amendment, shall be made to any such policy without thirty (30) days' prior written notice to Lessor. 14. INDEPENDENT CONTRACTOR. It is expressly understood and agreed that Lessee shall operate as an independent contractor as to all nghts 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 Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 8 of 15 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 ITS 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 ANY AND ALL ACTS OR OMISSIONS OF LESSEE, ITS OFFICERS, AGENTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS, LICENSEES, INVITEES, OR PATRONS, 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 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, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENT ACTS OR OMISSIONS OR INTENTIONAL MISCONDUCT OF LESSOR. Terminal Building Office Lease Agreement between City of Fort Worth & Rich Aviation Services Page 9 of 15 16. WAIVER OF CHARITABLE IMMUNITY OR EXEMPTION. 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. Upon teiniination 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 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 Subject to the limitations of Section 12.1, 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: City of Fort Worth Aviation Department 4201 North Main St., Suite 200 Fort Worth, Texas 76106-2749 19. ASSIGNMENT AND SUBLETTING. To LESSEE: Rich Aviation Services 4201 North Main St., Suite 100 Fort Worth, Texas 76106-2749 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 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. Tenninal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 10 of 15 20. 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 Premises 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 penlnit 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 Airport Systems 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 shall immediately desist from and correct the violation. 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, 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. Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 11 of 15 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 Depai lucent of Transportationand 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. 25. GOVERNMENTAL POWERS. 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 teen 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. 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. Tenninal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 12 of 15 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. 30. FORCE MAJEURE. Lessor and Lessee shall exercise their reasonable efforts 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, stnkes, 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 In the event a force majeure event renders the Premises untenantable for more than thirty (30) days and no reasonable alternative premise is available, Lessee shall have the right to terminate this Lease whereupon all nghts and obligations hereunder shall cease and terminate. In the event Lessee elects not to terminate this Lease pursuant to this Section 30, and any and all rent payable under this Lease shall be abated from the time of such force majeure event until such time that the parties agree that the Premises are tenantable for the operation of Lessee's business. 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. [Signature Pages Follow] Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 13 of 15 WITNESS WHEREOF, the parties hereto have executed this Agreement in multiples on this the ICtb%%clay of , 2010. CITY OF FORT WORTH: By: GJse,..0404.04, Fernando Costa Assistant City Manager Date: /�� $/ o 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 Fernando Costa, 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 Fernando Costa 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 flOveR\ke,r , Zolo. LINDA M. HIRRLINGER MY COMMISSION EXPIRES February 2, 2014 APPROVED AS TO FORM AND LEGALITY: By: Charlene Sanders Assistant City Attorney M&c: C - Zvi 39 `1 Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 14 of 15 ii1611/44k. M takArafs41 Notary Public in and for tl-W of Texas ATTEST: Bv:y Marty Hend ocv City Secretary tat Oi ' °% '41).'Vatt no 00°Qow OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX LESSEE: ATTEST: RICH AVIATION SERVICES, LLC By: By: wn RiMana er Date: /%28'/2O/0 STATE OF TEXAS COUNTY OF 7Lt �'/Y § BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared Shawn Rich, Manager of Rich Aviation Services, LLC, 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 Shawn Rich on behalf of Rich Aviation Services, LLC and that he executed the salve as the act of Rich Aviation Services, LLC for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this ze day asTO E,c, , 2010. .��RYPvRENEE' �• JONNIE HUITT • ez ?°•' Notary Public, State of Texas A %\ ,:y My Commission Expires "4frt • 10114% • t May 20, 2014 �hll l l ll Terminal Building Office Lease Agreeement between City of Fort Worth & Rich Aviation Services Page 15 of 15 etitter Notary P is in and for the State of Texas Exhibit 'A' -rvrcu;.:r! is U A lJ NV1d 21OO1H - 100 11__11_ 11� !Arm -V C Kr7 7�7 O O • 101 101A ❑ n O 105 SUITES 'SQUARE FEET 101 128 101A 120 a a f r O L7 O a M • M • 1 Fri C) • 1 CO CITY OF FORT WORTH AVIATION DEPARTMENT FORT WORTH MEACHAM INTERNATIONAL, AIRPORT CITY OF FORT WORTH TRANS FORTAT10( D FUSUC WORKS DEPARTMENT FACILITIES IV 11:AGE L!Z 1T `ASOt TECTl13'L Sc'Ti',7CE5 Cf'It]OP1 r 31rZ Si 1_hzT,t_Ti• IU; r,cnrl rml"71 4201 NORTH MAW STREET ' FORT WORTH, TEXAS 7610d Page 1of1 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 11/16/2010 DATE: Tuesday, November 16, 2010 REFERENCE NO.: **C-24599 LOG NAME: 55FTW RICH AVIATION 101,101A SUBJECT Authorize the Execution of a Terminal Building Office Lease Agreement with Rich Aviation Services at Fort Worth Meacham International Airport (COUNCIL DISTRICT 2) RECOMMENDATION. It is recommended that the City Council authorize the City Manager to execute a terminal building office lease agreement with Rich Aviation Services at Fort Worth Meacham International Airport DISCUSSION: On June 15, 2010, (M&C C-24268) the City Council authorized a terminal building office lease agreement for Suites 100, 102, 102A, and 105 with Rich Aviation Services at Fort Worth Meacham International Airport This space consisted of 2,285 square feet of first floor office space. The Aviation Department has received a request from Mr. Shawn Rich, Owner of Rich Aviation Services, to lease Suites 101 and 101A consisting of 248 square feet of first floor office space in the terminal building at Fort Worth Meacham Airport at a rate of $15 60 per square foot. This is in accordance with the Aviation Department s Schedule of Rates and Charges. Mr. Rich desires to acquire this additional space for the expansion of corporate jet pilot simulator training classes to be offered. Staff is in favor of this request and feels that this would be an added service to the terminal building. Total revenue received from this lease will be $3,868.80 per year, or $322.40 per month. Rental rates shall be subject to an increase on October 1st of each year to reflect the upward percentage change, if any in the Consumer Price Index for the Dallas/Fort Worth Metropolitan Area. The term of the lease will begin on the date of execution and expire October 31, 2011. There will be three successive options to extend the term of the Lease, each option being for an additional one-year period. All other terms and conditions will follow standard City and Aviation Department policies. The property is located in COUNCIL DISTRICT 2. FISCAL INFORMATION / CERTIFICATION: The Financial Management Services Director certifies that the Aviation Department is responsible for the collection and deposit of funds due to the City. FUND CENTERS: TO Fund/Account/Centers PE40 491282 0551101 $3 868.80 FROM Fund/Account/Centers CERTIFICATIONS: Submitted for City Manager's Office by: Originating Department Head: Additional Information Contact: ATTACHMENTS No attachments found. Fernando Costa (6122) Kent Penney (5403) Jonnie Huitt (5409) http://apps.cfwnet org/ecouncil/printmc.asp?id=14440&print=true&DocType=Print 11/18/2010