HomeMy WebLinkAboutContract 43608CITYSECRETARYjt0e�,�` � ---
CONTRACT NO. rt
FORT WORTH MEACHAM AIRPORT
HANGAR AND GROUND LEASE AGREEMENT
LEASE SITE 1N
151 COMMANDER ROAD
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, acting by and through Fernando Costa,
its duly authorized Assistant City Manager, and TEXAS JET, INC. ("Lessee"), a Texas
corporation, acting by and through Reed Pigman, Jr., its duly authorized President.
RECITALS:
WHEREAS, on or about October 1, 1997, Texas Jet, Inc. entered into City Secretary Contract
("CSC") No. 23327, a Hangar Lease Agreement for Lease Site 1N, consisting of 101,670 square
feet of ground space, which includes a 29,381 square foot hangar and a 4,335 square foot carport
("Previous Lease"); and
WHEREAS, the Previous Lease contained a fifteen (15) year lease term ending September 30,
2012; and
WHEREAS, terms of the Previous Lease provided for a total allowable rent credit to be approved
in the amount of $4,582.06 for significant capital improvements to the existing hangar which would
not be completely realized under the Previous Lease; and
WHEREAS, Lessee has requested, and Lessor has agreed, to execute a new hangar and ground
lease agreement.
1. PROPERTY LEASED.
Lessor hereby demises to Lessee 101,670 square feet of ground space ("Ground"),
including a 29,381 square foot hangar ("Hangar") and a 4,335 square foot carport at Fort
Worth Meacham International Airport ("Airport") in Fort Worth, Tarrant County, Texas,
identified as Lease Site 1N, also known as 151 Commander Road, ("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 the Lease ("Initial Term") shall commence at 12:00 a.m. on
October 1, 2012 ("Effective Date") and expire at 11:59 P.M. on September 30,
2017, unless terminated earlier as provided herein.
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2.2. Holdover.
3. RENT.
If Lessee holds over after the expiration of the Initial 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.
3.1. 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,
2013, and on October 1st of any subsequent year during the Initial Term, to reflect
any upward 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 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
3.1.2
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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, Forty Eight Thousand Four Hundred and Seventy Eight Dollars
and Sixty Five Cents ($48,478.65), at a rate of One Dollar and Sixty Five
Cents ($1.65) per square foot, payable in equal monthly installments of Four
Thousand Thirty Nine Dollars and Eighty Nine Cents ($4,039.89).
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, Twenty Seven Thousand Four Hundred and Fifty
Dollars and Ninety Cents ($27,450.90), at a rate of Twenty Seven Cents
($0.27) per square foot, payable in equal monthly installments of Two
Thousand Two Hundred and Eighty Seven Dollars and Fifty Eight Cents
($2,287.57).
3.2. 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 working hours by the due date at the
location for Lessor's Office set forth in Section 15. Rent shall be considered past
due if Lessor has not received full payment after the tenth (10th) day of the month
for which payment is due Without limiting Lessor's termination 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.
3.3. Rent Credits.
Notwithstanding anything contrary to the herein, as of the Effective Date, Lessee
shall have the right to offset against rent payable on the Hangar only, the remaining
amount of a rent credit awarded under terms of the Previous Lease, allowing for the
carry-over in an amount not to exceed $2,520.07 to be realized in a monthly
amortized amount of $76.37 through June 30, 2015, as per Exhibit "B", attached
hereto and hereby made a part of this Lease for all purposes Lessee shall not be
entitled to receive a rent credit for any additional capital improvements made prior
to the Effective Date other than those specifically identified in Exhibit "B". Upon
the expiration of the term then in effect or prior to 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 capital improvements that Lessee
has not yet recouped through the rent credits provided under this Section 3.3.
4. CONSTRUCTION AND IMPROVEMENTS.
4.1. Discretionary Improvements.
Lessee may, at its sole discretion, perform modifications, renovations,
improvements or other construction work on or to the Premises (collectively,
"Improvements") so long as it first submits all plans, specifications and estimates
for the costs of the proposed work in writing and also requests and receives in
writing approval from the Director or authorized representative ( `Director").
Lessee covenants and agrees that it shall fully comply with all provisions of this
Section 4 in the undertaking of any such Improvements. In the event the
Improvements, as approved by Lessor result in the demolition of the existing
structure this Lease shall terminate at the time the demolition begins Lessee and
Lessor shall enter into a new Ground Lease under terms and conditions to be
negotiated at the time. Lessor and Lessee agree that Lessor has full title to the
improvements existing on the Premises as of the Effective Date of this Lease. Trade
fixtures shall remain the property of Lessee and may be removed so long as Lessee
repairs any damage caused thereby.
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4.2. Process for Ar nroval of Plans.
Lessee's plans for Improvements shall conform to the Airport's architectural
standards and must also receive written approval from the City's Departments of
Planning and Development, and Transportation and Public Works. 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.
4.3. Documents.
Lessee shall supply the Director with comprehensive sets of documentation relative
to any Improvement, including, at a minimum as -built drawings of each project.
As -built drawings shall be new drawings or redline changes to drawings previously
provided to the Director. Lessee shall supply the textual documentation in computer
format as requested by Lessor.
4.4. 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 full amount of each construction contract or
project The bonds shall guarantee (i) satisfactory compliance by Lessee with all
applicable requirements, terms and conditions of this Lease, including, but not
limited to, the satisfactory completion of the respective Improvements, and (ii) full
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 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.
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4.5. Bonds Required of Lessee's Contractors.
Prior to the commencement of any Improvement, Lessee's respective contractor
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 performed under such contractor's contract for such
Improvements. Lessee shall provide Lessor with copies of such bonds prior to the
commencement of such Improvements. 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 services and of all bills for materials, supplies and equipment used in
the performance of the construction contract. Such bonds shall name to both Lessor
and Lessee as dual obligees If Lessee serves as its own contractor, Section 4.4 shall
apply.
4.6. 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 upon (i), 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 waivers of liens.
5. USE OF PREMISES.
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, including individual hangars, to various third
parties ("Sublessees') for aviation -related purposes only under terms and conditions
acceptable to and determined by Lessee. 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 on reasonable terms and without unjust discrimination.
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. Lessee hereby agrees to notify Lessor in writing when
Lessee enters into any sublease for a period greater than thirty one (31) days, with any
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business that is required by Lessor to obtain an operating permit in accordance with
Lessor's published Minimum Standards.
6. REPORTS, AUDITS AND RECORDKEEPING.
Lessee shall keep and maintain books and records pertaining to Lessee's operations of the
Premises 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
as a result of an inquiry from the Federal Aviation Administration, 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 fully comply with Lessor's
Mechanical, Electrical, Plumbing, Building and Fire Codes ("Codes"), as they exist or may
hereafter be amended.
8. MAINTENANCE AND REPAIRS.
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.
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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 time, 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
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.
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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. EnvironmentaI 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 REGULATIONS OR STANDARDS 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, may
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. RIGHTS AND RESERVATIONS OF LESSOR.
Lessor hereby retains the following rights and reservations:
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 Iimited 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
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obligate Lessor to relocate Lessee as a result of any such Airport developments or
improvements.
10.3 Phis 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.
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 full 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
term 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, includmg 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, 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
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Premises and its improvements in the same condition as they existed on the date
such Limitation commenced; and (hi) 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, its Officers, Employees and
Volunteers 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
required insurance in accordance with Exhibit "C", the "City of Fort Worth Aviation
Insurance Requirements" attached hereto and made part of this Lease for all purposes.
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.
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11.1. Adjustments to Required Coveraiie 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. Certificates.
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.
11.3. 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, to
grant additional insured status to the City, its Officers, Employees and Volunteers,
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 Lessor. Lessor shall be responsible for notifying
the City of any change to its insurance coverage that amends or alters that coverage
required by this lease.
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.
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13. INDEMNIFICATION.
LESSEE HEREBY ASSUMES ALL LL4BILITY 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 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
NEGLIGENCE OR INTENTIONAL MISCONDUCT OF LESSOR, ITS OFFICERS,
AGENTS, SERVANTS OR EMPLOYEES.
LESSEE COVENANTS AND AGREES TO, AND DOES TO THE EXTENT
ALLOWED BYLAW, 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 INJURY, INCLUDING
DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR CHARACTER,
WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH
LESSEE'S USE OF THE AIRPORT UNDER THIS LEASE OR WITH THE USE,
LEASING, MAINTENANCE, OCCUPANCY, EXISTENCE OR LOCATION OF THE
PREMISES, EXCEPT TO THE EXTENT CAUSED BY THE NEGLIGENCE OR
INTENTIONAL MISCONDUCT OF LESSOR, ITS OFFICERS AGENTS, SERVANTS
OR EMPLOYEES.
LESSEE ASSUMES ALL RESPONSIBILITY AND AGREES TO PAY LESSOR FOR
ANY AND ALL INJURIES OR DAMAGES TO LESSOR'S PROPERTY WHICH
ARISE 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 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 THEIR OBTAINING ACCESS TO THE AIR
OPERATIONS AREA OF THE AIRPORT FROM THE PREMISES.
Texas Jet—HGR IN
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 12 of 19
14. TERIVIINATION.
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.
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. Rights 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
Texas Jet—HGR IN
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 13 of 19
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.
Notices required pursuant to the provisions of this Lease shall be conclusively deter tined to
have been delivered when (i) hand -delivered to the other party, its agents, employees,
servants or representatives, or (ii) deposited m the United States Mail, postage prepaid,
addressed as follows:
To LESSOR: To LESSEE:
City of Fort Worth
Aviation Department
4201 N Main St, Suite 200
Fort Worth TX 76106
16. ASSIGNMENT AND SUBLETTING.
16.1. In General.
Texas Jet, Inc
ATTN Reed Pigman, Jr.
200 Texas Way
Fort Worth TX 76106
Lessee shall have the right to sublease 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 Annroved Assignments and Subleases.
If Lessor consents to any assignment or sublease of the Premises, 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.
Texas Jet —HGR 1N
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 14 of 19
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 hen 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.
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 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 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 shall immediately desist from and correct the
violation.
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 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
Texas Jet — HGR IN
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 15of19
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 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.
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 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.
24. VENUE AND JURISDICTION.
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' 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
Texas Jet —HGR IN
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 16 of 19
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 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, transportation problems and/or any other cause beyond the reasonable
control of Lessor or Lessee.
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.
[Signature Pages Immediately Follow]
Texas Jet—HGR IN
Hangar and Ground Lease
Fort Worth Meacham Airport
Pagel7ofl9
IN WITNESS WHEREO ., the parties hereto have executed this Agreement in multiples
on this the (�� day of c)Q ipin W012.
CITY OF FORT WORTH:
By:
a
e�o CA,
1
Fernando Costa
Assistant City Manager
Date: 91L9/IZ
' r
STATE OF 'TEXAS
COUNTY OF TARRANT §
4/
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
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
/1/4, /Calcite
•
i v ., h ■.vJai a . I I 1 i
EVONIA DANIELS
MY COMMISSION EXPIRES
July 10,2013
7
3
mr•_•-J.,.•_... j
a.
APPROVED AS TO FORM
AND LEGALITY:
By: w �
Charlene Sanders
Assistant City Attorney
M&C: •QSiiii
Date:
9/tia
Texas Jet — HGR 1N
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 18 of 19
, 2012 .
•
otary Public in and for tie State of Ten ea°
�o
Pila
0 0 1/40°
g
ATTEST:
(!Mry J. Kayser
City Secretary
OFFICIAL ICIAL rECOR
CITY SECRETARY
%`fit nlohorr49 TX
day
4/-071-ed_.• ocr oC o
oo :4t,
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oa
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LESSEE:
TEXAS JET, INC. ATTEST:
By:
wed
Presiders
Date:
STA 11E OF Te....x6250 §
By:
COUNTY OF/ainfreenit§
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day
personally appeared Reed Pigman, Jr.,, 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 TEXAS JET, INC.
and that he executed the same as the act of TEXAS JET, INC. for the purposes and consideration
therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this
/7�,On7hEr ; 2012.
JL DES
A MOKE
My Commission Expires
es
May 16, 2014
Texas Jet — HGR 1 N
Hangar and Ground Lease
Fort Worth Meacham Airport
Page 19 of 19
/41
No ary Public in and for the State of Texas
day
Hxhibit "A"
.,Vii 1181HX3
Page 1 of 3
;s
llt .A"
'Page 2 of 3
FIELD NOTES •
FOR
BUTLER AVIATION EAST HANGER LEASE-REVISED-1
A K.A. LOCATION 1-NORTH
FORT WORTH MUNICIPAL AIRPORT
'MEACHAM AIRPORT
A tract of land out of the James Wallace Survey being a
portion of the tracts of land conveyed to the City of Fort Worth
by deeds recorded in Volume 1074, Page 498 and Volume 1112, Page
574, Deed Records, Tarrant County, Texas, and being a portion of
Fort Worth Municipal Airport, Meacham Field, more particularly
described using the Texas Coordinate System, North Central Zone,
coordinates and bearings as follows:
COMMENCE at a point in the north line of 38th Street and the
west line of North Main Street, said point being an easterly
southeast corner of Meacham Field,
THENCE: North 1,616,67 feet and WEST 46.89 feet to a 5/8" iron
✓ od set for the POINT OF BEGINNING, said point being 25.0 feet
westerly of, and perpendicular to the centerline of a proposed
access road according to the alignment as shown on the map on
file at the City of Fort Worth, Transportation and Public Works
Department, File Number A-164, the coordinates of said BEGINNING
POINT are X = 2,045,642.07 and Y w 418,562.53;
THENCE: North 80 degrees 14 minutes 09 seconds West, 72.95 feet
t o a 3/4" iron rod found for the most southerly southwest corner
o f said Lease:
THENCE: North 09 degrees 45 minutes 51 seconds East 100.0 feet
t o a P.K. Nail found for a lease corner;
THENCE: North 80 degrees 14 minutes 09 seconds West 277.99 feet
t o a railroad spike found for the most westerly southwest corner
of said Lease;
THENCE: North 09 degrees 45 minutes 51 seconds East 218.2 feet
to a 3/4 " iron rod found for the most westerly northwest corner
o f said Lease;
THENCE: North 49 degrees 04 minutes 51 seconds East, 245.40
feet, to a capped 5/8" iron rod set, for the most northerly
corner of said lease;
THENCE: South 40 degrees 55 minutes 09 seconds East, 78.56 feet
to a capped 5/8" iron rod set for easterly northeast corner of
said Lease, said point being on a curve having a radius distance
o f 1,486.65 feet, and a long chord of 461.15 feet that bears
S outh 06 degrees 51 minutes 23 seconds East, said point also
being 25.0 feet westerly of and radial to said centerline:
Exhibit "A"
• Page 3 of 3
THENCE: Southerly with said curve to the right, and with a line
25.0 feet westerly of and concentric with said centerline, an
arc distance of 463.00 feet, to a capped 5/6" iron rod set at
its end:
THENCE. With a line 25.0•feet westerly of and parallel with said
centerline, South 00 degrees 26 minutes 43 seconds West, 16.04
feet, to the PLACE OF BEGINNING, and containing 101,670 square
feet of land, more or less.
JRA:RME:fdg1544 10/26/92
Exhibit "B"
Rent Credit Schedule -- Texas Jet Inc., Hangar 1N
Rent Credit Amount
Annual interest rate.
Rent Credit Period in Years
Base Year of Rent Credit
Base month of Rent Credit
$4,582.06 - - -
0.000%
5
2010_ _ . July
2010 _Jul_
Aug
_ Sep _
Oct
Nov__
_Dec_
2011 Jan
Feb
Mar Apr
May
Jun_
Jul_
Aug
Sep
Oct
Nov
Dec
2012 Jan
Feb_
Mar
Apr
May
Jun
Jul_
Aug
Sep
Oct
Nov
Dec
2013 Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec_
2014 Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec_
2015 Jan
Feb_
Mar
Apr
May
Jun
2012
2013
2014
2015
. . -
$3,207.40
$2,290.96
$1,374.52
$458.08
$1,985.48
_ $1,909.11
$1,832.74
$1,756.3.7
$1,680,00-
$1,603.63 -- - _
$1,527.26
$1,450.89
$1,374.52
$1,298.15
,Annual Rent Credit Amount
Monthly Rent Credit
Interest_in first calendar year,
Interest over term of loan Sum of all payments
$4,582.06_
$4,505.69
$4,429,32
$4,352.95
$4,276.58_--__
$4,200.21
$4,123.84_
$4,047.47
$3,971.10_
$3,894.73 _ --_
$3,818.36 ;
$3,741.99
$3,665.62
$3,589.25
$3,512.88
$3,436.51
$3,360.14
$3,283.77
$3,207.40
$3,131.03
$3,054.66
Celt'
$916,44_
_$76.37
$0.00
$0.00
$4,582.06
ante;
$76.37_ $4,505.69'
$76.37_- $4,429.32-
$76.37 _. $4,352,95
$76.37 $4,276.58-
$76.37-_ _ $4,200.21
$76.37 $4,123.84_i
$76.37 ; $4,047.47
$76.37 __ _ $3,971.10
$76.37 $3,894.73
$76.37_ $3,818.36
$76.37 ' $0.00 $3,741.99;
$7637- $3,665.62
$76.37 $3,589.25:
$76.37 $3,512.88
$76.37 $ $3,436.51 _-
$76.37 $3,360.14
$76.37 $3,283.77
$76,37 $3,207.40
_$76.37 - - $3,131.03
$76.37 $3,054.66
$76.37 $0.00 $2,978.29
$2,978.29 $76.37 $0.00 ----- $2,901.92
$2,901.92 - _ $76.37 $0.00 $2,825.55
$2,825.55 $76.37 $0.00 . $2,749.18
$2,749.18 . $76.37 _ $0.00 $2,672.8.1
$2,672.81 $76.37 $0.00, $2,596.44_
$2,596.44 $76.37 -,- $0.00 $2,520.07
$2,520.07 $76.37 $0.00 ; $2,443.70
$2,443.70 $76.37 $0.00 = $2,367.33
$
$0
.00
- $0.00-_.,.
_$0•00
$0.00- -
$0'00 '
$0.00..'
$0•00
,_$000
0.00,:
$0,00
$0.00 -.,
$0.00
- - o.Qo, -- -- 44
-
$1•00
_ $0.00 -
$0.00 _: _
• _ $0,00
•
$2,367.33 . $76.37 $0.00 $2,290.96
$2,290.96 --_$76.37 $0.00_ ._ $2,214.59
$2,214.59 ; $76.37 $0.00 $2,138.22_-,
$2,138.22 $76.37 $0.00 $2,061.85
$2,061.85 $76.37 $0.00 $1,985.48
$76.37 $0.00 $1,909.11
$76.37 $0.00 $1,832.74
$76.37 $0.00
$1,756.37
$76.37 $0.00 _ _ - $1,680.00
$76.37 ..._ $0.00 $1,60.3.63
$76.37 $0.00 $1,527.26 -.
$76.37 . $0,00 $1,450.89
$76.37 $0.00 $1,374.52
$76.37 $0.00$1,298.15
$76.37 - $0.00 $1,221,78
$1,221.78 - - $76.37 - - $0.00_.__- .-_ $1,145.41
$1,145.41 $76.37 $0.00 $1,069.04
$1,069.04 - $76.37 _ - _ $0.00
$76.37
$76.37 $76.37
$76.37 -
$76.37 =_
$76.37 -
$76.37 -
$76.37
$76.37
$76.37
$76.37
$76.37
$76.23
$992,67- .
$916.30
$839,93
$763.56 - _ -
$687.19
$610.82
$534.45 -- -
$458.08 - -
$381.71_
$305.54
$228.97 : _ -
$152.60--
$76.23
$458.22
$916.44
$916.44
$916.44 $916.44
$458.08
$0.00 -
$0.00
$0.00
$0.00 -
$0.00
$0,00 -
$0.00
$0.00
$0.00
-$0.00_
$0.00
$0.00
$0.00
Wan
$0.00 $4,123._8.4`=
$0.00_ $3,207.40r_,` _:.-_r= -_-
$0.00 _ _ $2,290.96
$0.00 $1,374.52_'=
$0.00 - $458.08
$0.00
$992.67
$916.30.
$839.93
$763.56
$687.19
$610.82
$534.45
$458.08
$381.71
$305,34
$228,97_
$152.60-'
$76.23
$0.00
$0.00:=:_= ` ___
Exhibit C
Category of Pena enant 8/or
Operations Property Insurance
FBOs
Flight Training
Air Taxi
Specialized Com. Flight
Serv.
Aerial Applications
Aircraft Sales
Aircraft Rental
Airframe or Power Plant
Repair
Radio Instrument or
Propeller Repair
Multiple Services
Flying Clubs
Commercial Tenant
Commercial Tenant
Sublessee
Mo. - Mo. Airport Tenant;
sm. premises area,
infrequent access by
others (no aircraft)
Hangar Tenant
(pnvate sm aircraft)
Fuel Facilities: Trucks
Fuel Facilities: Tank Farm
Concessionaire:
Restaurant
Concessionaire:
Rent -a -car
Concessionaire:
Retail Shop
Yes $
No
No
No
N/A
Yes
No
No
City of Fort Worth
Aviation Insurance Requirements
General Liability
Auto
' 6nvironmentai ......
Impairment
3,000,000.00 $ 1,000,000.00 $ 1,000,000.00
1,000,000.00 $ 1,000,000.00
1,000,000.00 $ 1,000,000.00
1,000,000.00 $ 1,000,000.00
1,000,000.00 $
1,000,000.00
1,000,000.00 $ 1,000,000.00
1,000,000.00 $ 1,000,000.00
1,000,000.00 $ 1,000,000.00
1,000,000.00 $
1,000,000.00 $
1,000,000.00 $
1,000,000.00 $
500,000.00 $
1,000,000.00
1,000,000.00
1,000,000.00
1,000,000.00
500,000.00
No
No
No
1,000,000.00
No
No
No
No
No
No
No As Applicable
No As Applicable
Hangarkeeper
s
Aircraft Liability Liability
N/A
300,000.00 No No
No
N/A
1,000,000.00
1,000,000.00
1,000,000.00
500,000.00
No
1,000,000.00
1,000,000.00
$ 1,000,000.00
$ 1,000,000.00
No
$ 3,000,000.00
Small: 1M Large:
5M No
Small: 1M Large:
5M No
Small: 1M Large:
5M
Small 1M Large:
5M
Small. 1M Large:
5M
Small: 1M Large:
5M
No
No
$ 1,000,000.00
$ 1,000,000.00
No $ 1,000,000.00
No $ 1,000,000.00
As Applicable
Small: 1M Large:
5M
No $
1,000,000.00
1,000,000.00
No
No
No
No
300,000
No
No
No
No
No
Depends on the terms of the lease agreement
Property Insurance requirement depends on the lease agreement. Coverage should be replacement cost basis
Liability coverage's are to include products and completed operation. The policy should be written on an occurrence basis
Hangarkeepers Liability is maintained according to typical exposure
As Applicable
N/A
No
No
No
No
No
No
No
No
No
aviatiomnsreg2001
City of Fort Worth, Texas
Mayor and ouncil Communication
COUNCIL ACTION: Approved on 9/18/2012
DATE• Tuesday, September 18, 2012
LOG NAME: 55FTW TXJET ONE NORTH
SUBJECT:
Authorize Execution of a Hangar and Ground Lease Agreement with Texas Jet, Inc., for Lease Site 1 N at
Fort Worth Meacham International Airport (COUNCIL DISTRICT 2)
REFERENCE NO.: **C-25844
RECOMMENDATION:
It is recommended that the City Council authorize the execution of a hangar and ground lease Agreement
with Texas Jet, Inc., for lease site 1 N at Fort Worth Meacham International Airport.
DISCUSSION:
On October 2, 1997, (M&C L-12092) City Council authorized City Secretary Contract No. 23327, a hangar
lease Agreement with Texas Jet, Inc., for lease site 1N. This lease will expire on September 30, 2012.
The Aviation Department received a request from Texas Jet, Inc., to execute a new lease for lease site
1 N. Lease site 1 N comprises 101,670 square feet of ground space and contains a 29 381 square foot
hangar and a 4,335 square foot carport. The term of the lease will commence October 1, 2012 and will
continue through September 30, 2017. Staff is in favor of this request and feels this partnership would
continue to be a benefit to both Fort Worth Meacham International Airport and Texas Jet, Inc.
The total revenue received from this lease will be approximately in the amount of $75 929.55 per year or
in the amount of $6,327.46 per month. These revenues are based on a hangar rate of $1 65 per square
foot and a ground rental rate of $0.27 per square foot, in accordance with the Aviation Department's
Schedule of Rates and Charges. Rental rates shall be subject to an increase on October 1 of any given
year, based on the upward percentage change in the Consumer Price Index for the Dallas -Fort Worth
Metropolitan area. At no time, however, will the adjusted rate exceed that which is in the Schedule of
Rates and Charges in effect at that time.
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
NL-40 491052 0551101
FROM Fund/Account/Centers
Logname. 55FTW TXJET ONE NORTH Page 1 of 2
PE40 491312 0551101
CERTIFICATIONS:
Submitted for Citv Manager's Office bv:
Originating Department Head:
Additional Information Contact:
$27,450.90
$48,478.65
Fernando Costa (6122)
Bill Welstead (5402)
Jonnie Huitt (5409)
ATTACHMENTS
1. 55FTW TXJET ONE NORTH Exhibit.pdf (Public)
Logname. 55FTW TXJET ONE NORTH Page 2 of 2