HomeMy WebLinkAboutContract 28037-A1AMENDMENT NO. 1 CSC No. 28037-A1
CITY SECRETARY CONTRACT NO. 28037
FORT WORTH SPINKS AIRPORT
UNIMPROVED GROUND LEASE AGREEMENT
WITH MANDATORY IMPROVEMENTS
This AMENDMENT NO.1 ("Amendment") is made and entered into by and between the
CITY OF FORT WORTH ("Lessor"), a Texas home rule municipal corporation acting by and through
Dana Burghdoff, its duly authorized Assistant City Manager, and JAKE HUFFMAN ("Lessee"), an
individual.
RECITALS
WHEREAS, On or about October 4, 2002, through Mayor and Council Communication (M&C)
L-13273, Lessor and Lessee entered into City Secretary Contract ("CSC") No. 28037 ("Lease"), an
unimproved ground lease agreement for 3,000 square feet of ground space known as Lease Site E-3
("Leased Premises"), at Fort Worth Spinks Airport ("Airport").
WHEREAS, through a recent audit by Aviation Department staff, it was revealed that the Lessee
had been utilizing an additional 3,000 square feet of space adjacent to the Leased Premises ("Additional
Property");
WHEREAS, it was also determined that the Lessee had been making rent payments in excess of
what was required under the Lease, approximately double the amount required, for as long as Lessee had
been using the Additional Property;
WHEREAS, Lessee disclosed to Aviation Department staff that sometime after the Effective
Date of the Lease, the Lessee had requested to use and improve the Additional Property with flatwork,
described as a concrete pad and that the Lessor verbally approved at the time, with both parties intending
that an amendment to the Lease would be executed;
WHEREAS, Aviation Department staff was unable to locate any documentation of a lease
amendment between Lessor and Lessee to reflect the incorporation of the Additional Property in the
Lease;
WHEREAS, Aviation Department staff has determined that the additional rent payments made
by Lessee since that time were commensurate with the rental rate for the Additional Property;
WHEREAS, because Lessor has determined that the parties have been operating in good faith
and in the general course of business as if the Additional Property was already incorporated into the
Leased Premises, the Lessor does not object, in this circumstance, to continuing to allow the Lessee to
occupy the Additional Property;
OFFICIAL RECORD
Fort Worth Spinks Airport
CITY SECRETARY
Jake Huffman
Amendment No. I to CSC No. 28037 FT. WORTH, TX
Page I of 6
WHEREAS, the Parties now desire to memorialize the agreement to amend the Lease to
reflect the Additional Property and additional rent required with an effective date for such Amendment
to be in effect as of the date in which the Lessee originally began occupying the Additional Property;
and
WHEREAS, Lessor and Lessee wish to replace the existing "Exhibit A" to the Agreement
with a new "Exhibit A" that will reflect the new property survey of the Leased Premises, which will be
attached to this Amendment.
AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which
are hereby acknowledged, Lessor and Lessee hereby agree as follows:
1.
The Agreement is hereby amended by deleting Section 1.1, "Demised Premises" of the Agreement in
its entirety and replacing it with the following:
1.1 Demised Premises.
Lessor hereby demises to Lessee approximately 6,000 square feet of Ground
Space ("Ground") at Fort Worth Spinks Airport ("Airport") in Fort Worth, Tarrant
County, Texas ("Premises"), as shown in Exhibit "A", attached hereto and hereby made
a part of this Lease for all purposes.
2.
The Agreement is hereby amended by deleting Section 3.1, "Annual Rent for Premises" of the Agreement
in its entirety and replacing it with the following:
3.1 Annual Rent for Premises.
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, One Thousand Seven Hundred Twenty -Seven Dollars and
64/100 ($1,727.64,), at a rate of $0.28794813285672 per square foot, payable in
equal monthly installments of One Hundred Forty -Three Dollars and 97/100
($143.97).
a
Exhibit "A" (as amended) within the Agreement is hereby deleted in its entirety and replaced with a new
Exhibit "A", which is attached as Exhibit A to this Amendment.
Fort Worth Spinks Airport
Jake Huffinan
Amendment No. 1 to CSC No. 29037
Page 2 of 6
4
All other terms and conditions of the Lease shall remain in full force and effect.
5.
The statements set forth in the recitals above are true and correct and form the basis upon which
Lessor and Lessee have entered into this Agreement. The Lease is a public document on file in
Lessor's City Secretary's Office and is incorporated herein by reference for all purposes.
0
All other provisions and conditions of the Lease that are not expressly amended herein or
directly in conflict with the provisions and conditions of this Amendment shall remain in full
force and effect.
[Signatures on Following Pages]
Fort Worth Spinks Airport
Jake Huffinan
Amendment No. 1 to CSC No. 28037
Page 3 of 6
Contract Compliance Manager:
By signing I acknowledge that 1 am the person responsible for the monitoring and administration of this
contract, including ensuring all performance and reporting requirements.
//a4.,4a&a:?I'/-UUL
Barbara Goodwin
Real Property Manager
DIRECTOR APPROVAL:
-4-
Roger Venables
Aviation Systems Director
LESSEE:
JAKE HUFFMAN
By -
Jake Huffman
Date: C"i- 1 b .-L0 ZZ
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 Jake Huffman, 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 Jake Huffman and that he
executed the same as the act of Jake Huffman for the purposes and consideration therein expressed and,
in the capacity, therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this �_ day
2022.
2o�pPr HAU NOTARY 'COL PURL CUONE
*�* STATE OF TEXAS
ID # 13355968-3
Dort Worth Spinks Airport
Jake l luffman
Amendment No. 1 to CSC No. 29037
Page 5 of 6
4
NotW Public in and for the Stat o Te
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
IN WITNESS WHEREOF, the parties hereto have executed this Agreement in multiples on this
the day of _, 2022.
CITY OF FORT WORTH:
By . Oa'(/GLna Burghdoff
VL d/J('Gf NYL�O� CST)
Dana Burghdoff
Assistant City Manager
Date: Dec 23, 2022
STATE OF TEXAS
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this
day personally appeared Dana Burghdoff, known to me to be the person whose name is subscribed to the
foregoing instrument, and acknowledged to me that the same was the act of the City of Fort Worth and
that he executed the same as the act of the City of Fort Worth f'or the purposes and consideration therein
expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this
_, 2022. Dec 23, 2022
tPaVPvs SELENA ALA
o pp G� Notary Public
STATE OF TEXAS
GVV.+py Notary I.D. 132422528
My Comm. Exp. Mar. 31, 2024
APPROVED AS TO FORM
AND LEGALITY:
By:.%
Thomas Royce Hansen
Assistant City Attorney
M&C: 22-1038
Approval Date: 12/13/2022
Form 1295: N/A
Selena Ala (Dec 23, 2022 13:09 CST)
day
Notary Public in and for the State of Texas
ATTEST:
TarnnelfB S. Goodall
By: Jannette S. Goodall (Jan 3, 202307:46 CST)
Jannette S. Goodall
City Secretary
OFFICIAL RECORD
Fort Worth Spinks Airport
Jake Huffman CITY SECRETARY
Amendment No. I to CSC No. 28037 FT. WORTH, TX
Page 4 of 6
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M&C Review
Page 1 of 2
Official site of the City of Fort Worth, Texas
A CITY COUNCIL AGEND FORT WORTH
Create New From This M&C
REFERENCE **M&C 22- 55FWS JAKE HUFFMAN
DATE: 12/13/2022 NO.: 1038 LOG NAME: LEASE AMEND NO. 1
LEASE SITE E3
CODE: C TYPE: CONSENT PUBLIC NO
HEARING:
SUBJECT: (CD 6) Authorize Execution of Lease Amendment No. 1 for a Lease Agreement with Jake
Huffman Under City Secretary Number 28037 to Increase the Square Footage of the
Leasehold from 3,000 Square Feet to 6,000 Square Feet for Lease Site E3 Located at
Fort Worth Spinks Airport
RECOMMENDATION:
It is recommended that the City Council authorize execution of Lease Amendment No. 1 for a Lease
Agreement with Jake Huffman under City Secretary Number 28037 to increase the square footage of
the leasehold from 3,000 square feet to 6,000 square feet for Lease Site E3 located at Fort Worth
Spinks Airport.
DISCUSSION:
On or about October 4, 2002, the City of Fort Worth (Lessor) and Jake Huffman (Lessee) entered into
City Secretary Contract No. (CSC) 28037 (Lease), an unimproved ground lease agreement for the
lease and use of real property known as Lease Site E-3 consisting of a total of 3,000 square feet of
ground space at City of Fort Worth Spinks Airport. CSC No. 28037 is currently in its initial lease
period to expire on September 30, 2032 with two (2) additional five (5) year options to renew for a
potential expiration date of September 30, 2042.
A recent audit of Lessee's lease accounts discovered that Lessee is billed and paying for a total of
6,000 square feet of ground space for Lease Site E-3. Lessee disclosed to Aviation Department staff
that sometime after the effective date of the Lease, Lessee requested to use and improve an
additional 3,000 square feet adjacent to the leased premises (Additional Property) with flatwork,
described as a concrete pad and that the Lessor verbally approved at the time, with both parties
intending that an amendment to the Lease would be executed. Although Aviation Department staff
was unable to locate any documentation of a lease amendment between Lessor and Lessee to reflect
the incorporation of Additional Property in the Lease, staff has determined that Lessee made
additional rent payments since that time which are commensurate with the rental rate for Additional
Property.
Because Lessor has determined that the parties have been operating in good faith and in the general
course of business as if Additional Property was already incorporated into the Lease, the Lessor does
not object, in this circumstance, to continuing to allow Lessee to occupy Additional Property. Lessee
and Lessor now wish to amend the lease to retroactively include the 3,000 square feet of ground
space Lessee is already utilizing, paying for and maintaining adjacent to Lease Site E-3. A recent
survey was completed to formally establish the lease boundaries.
Lessee currently pays Lessor, as annual rent, $1,727.69, which will be payable in monthly installments
of $143.97. The lease rate is adjusted every five years to the then current ground rate published in
the Schedule of Rates and Charges. The next scheduled five-year rate adjustment for CSC 28037 is
October 1, 2027. Additionally, on October 1 of any given year, rental rates shall be subject to an
increase based on the upward percentage change in the Consumer Price Index for the Dallas -Fort
Worth Metropolitan area. At no time will the adjusted rate exceed the rate that is current in the
Schedule of Rates and Charges. All terms and conditions of the lease agreement not included in the
http://apps.cfwnet.org/council_packet/mc review.asp?ID=30591&councildate=12/13/2022 12/13/2022
M&C Review
Page 2 of 2
lease amendment will remain the same and are in accordance with City of Fort Worth and Aviation
Department policies.
Fort Worth Spinks Airport is located in COUNCIL DISTRICT 6.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendation and execution of
the amendment to the lease, funds will be deposited into the Municipal Airport Fund. The Aviation
Department (and Financial Management Services) is responsible for the collection and deposit of
funds due to the City.
TO
Fund] Department Account Project Program Activity Budget Reference # Amount
ID ID Year Chartfield 2)
FROM
Fund] Department Account Project Program Activity Budget Reference # Amount
ID ID Year I (Chartfield 2)
Submitted for City Manager's Office by:
Originating Department Head:
Additional Information Contact:
ATTACHMENTS
FID TABLE.xlsx (CFW Internal)
Map of Location Huffman E3.pdf (Public)
Dana Burghdoff (8018)
Roger Venables (5402)
Ricardo Barcelo (5403)
Barbara Goodwin (5415)
http://apps.cfwnet.org/council_packet/mc review.asp?ID=30591&councildate=12/13/2022 12/13/2022