HomeMy WebLinkAboutContract 27874�IiY SEG��i��� � �
�ONT�ACi I�U . o�. �� 1 I
FORT WORTH SPINKS AIRPORT ����
TANK FARM LEASE AND PUBLIC FUELING AGREEMEI�T
FUEL FARM
This TANK FARM LEASE A�iD PUBLIC FUELING AGREEMENT (��Lease") is
made arid entered inta by and between the CITY OF FORT WORTH (��Lessor"), a horne rule
municipal corparation organized under the laws of the State of Texas, acting by and through Marc
Ott, its duly authorized Assistant City Manager, and AP AVIATION PRUPERTIES LIMITED
PARTNERSHIP ("Lessee"), a Texas liinited partnership acting by and through Briaxi Shiu, the
duly authorized Vice President of Development of AP Avi�iion, Inc., a Texas corporation and
Lessee's sole gerfe�-al partner.
lri cansideration of the mutual covenants, promises and o6ligations contained herein, Lessor
and Lessee agree as follows:
1. PROPERTY LEASED.
Lessor hereby demises to Lessee the following real property at Fort Worth Spinks Airport
("Airport"): (i) the fuel farm identi�ied as the Fuel Farm and depicted an Exh�ib�t "A", attached
hereto and hereby made a part of this Lease far all purpvses, and (ii) 6,540 square feet of improvEd
praperty, as depicted on E�chibit "A" {eallectively, the "Premises"). Lessee, at Lessee's sole cost
and expense, shall have the Premises surveyed and, after Lessar and Lessee have approved �uch
survey, the survey sha11 be incorpflrat�d herein for all purposes and, if agreed to by both Lessor and
Lessee, m�y be attached to this Lease as part of or as a replacement to Exhibit ".��.".
�. TERM OF LEASE.
2.1. Initial Term.
The "Initial Terrn" of this Lease shall commence at 12:00 A.M. on July 1, 2002
("Effective Date") and expir� at 11:59 P.M, on September 34, 2D07, unless terminated
earlier as provided hez'ein.
2.2 Renewals.
Unless Lessee is in default under this Lease at the #irne, at Lessee's option, this
L�ase shall autornatically re!new for subsequent tern�s of five {5) years each (each a
"Renewal Term") at rental raies for compara�le property at the Airport, as specified by the
Aviat�on Depart�nent's published Schedu�e of Rates and Charges {��Schednle of Rates and
Charges") in effect at tha time; pravided, hawever, that, notwithstanding anything that may
be construed to the contrary herein, this Lease may not be renewed fvr any term past June
30, 2042.
2.3. Holdover.
Tank FAnn Lease and Public Fueling Agreement with
Anthany Properfies
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If Lessee holds over after the expiration of the �nitial Term or any Renewal Term,
this action will create a rnonth-ta�month tenancy. In this event, iar and during the holdov�r
period, Lessee agrees to pay all applicable rentals, fees and charges at the rates provided by
tt�e Schedule of Rates ac�d Charges ar similarly published schedule in effect at the time.
3. RE1�1T, FEES A1�1D OTHER CHARGES.
31. Annual Ren� for Par�mises.
From the Effective Date t�ntil September 30, 2042 Lessee shall pay Lessor rent for
the Premises based an annual rental rates equal to {i} $273.b9 per month %r the fiiel iama;
plus (ii} $0.20 per syuare foot for the improved praperty surrounding the fuel farm, or,
collectively, $382.02 per month. Prior to or on the Effective Date of t�is Lease, Lessee
shall pay one (1) month's rent in advance. Monthly rent pay�nents are due on or before the
first (lst) day of each month. Payments must be received during normal worlcing haurs by
such dake at the location for Lessor's Revenue Office set forth in Section 19. Rent shall be
considered past due if Lessor has not received full payment after the t�n�h (10th) day of the
month for which payment is due. Without limiiing Lessar's termination rights as provided
by this Lease, Lessor will assess a late penalty charge of tet� percent (10%) per rnonth on the
entire balance of any overdue rent that Lessee may accrue.
3.�. Annnal Adiustments.
The rental rates set forth in Section 3.1 shall be subject to increase by Lessor on
October 1, 2002, and an October 1 of any year during the Initial Terrr� or a Renewal Term
(other than on the effec�ive date of any Renewal Term, in which case, as provided in
Sectio� 3.1, the rental rates shall be adjusted to equal the then-cur�rent xates prescribed by
the Schedule of Rates and Charges} to reflect th� upward percentage change, if any, in the
Consumer Price Index for the Dal1aslFort Worth Metropolitan Area, as announced by the
United States Depa�tment of Labor or suceessor index ati.d/or agency during tb.e
imm�diately preceding twelve-month period ("CPT Change"} {i}, for the first increase,
since the Effeetive Date of this Lease and (ii) for each subsequent increase, since the
effective date af the last increase ("Annual Rent Ad,jastment"); pra�vided, hawever, that
Lessee's rental rate shal� not exceed the then-current rates prescribed by the �chedule of
Raies and Charges for the type or types of property at the Airport similar to the type or
types of property that compris� ihe Premises. If there is no CPI Chatige or th� CPI Change
is downward, the rental rate for the Premises shall remain constant until the foliowing
October 1 st. In na event sha11 the xental rate far tI�e Premises ever be adjusted downr�vard.
3.3. Fuel Flowa�e Fees.
As consideration for the privilege allowed Lessee by Lessor tv dispense aircraft
fue�s at the Airport, Lessee shall pay Lessor fiael flowage fees based on the number of
gallons of fuel delivered to the Premises and calculated in accordance with the Schedule of
Rates and Charges in eifect at the tim� of th� calculation. By way of example, a� of the
Tank Fann Lease and Publac Fueling Agree�nent with
Anthany Proper�ies
Effective Date of this Agreement, fi�el flowage fees for t�ae period between the Effective
Date of this Agreement and 5eptember 30, 20p2 shalI be calculated as follows:
0-1,OOQ,OOQ gallons (annz�al�y) � $0.114/gailon
1,OOQ,001-1,500,000 gallons (annually) = $0.093/gailon
1,SQ0,001-2,000,000 gallc�ns {annually) _ $fl.062/gallan
over 2,OOO,Q00 gallons (annua�ly) = $0.052/gallon
In okher words, betvcreen the E�Fective Dat� and �eptemb�r 30, 2002, for th� iirst ane
million (1,000,000) gallons of fi�el delivered to the Premises, Lessee shall pay Lessor a fuel
flowage fee of $0.11� per gallon. Thereafter, Lessee sha�l pay Lessor $0.093 per gaJlon
until th� time 1,500,000 gallon� of fuel have been delivered to the Premises; ther�after,
Lesses shall pay Lessor $0.062 per gallon until the time 2,000,040 gallons of fuel have been
delivered to the Premises; thereafter, Lessee shall pay Lesspr $0.052 for each gallan o� fuel
d�Iivered to the Premis�s.
Payments of the fiiel flowage fees are due and payable on the tentb (10th} day af
each month succeeding that in which aircraft fizels were delivered ta the Premises.
Payments must be received during normal working hours by such date at the location for
Lessar's Aviation Department set forth in Section I9. This fee shall be cansidered past due
if Lessor has not received full payment after the fifteenth (15th) day of that month. Lessar
will assess a Iate penalty charge of ten pex-�ent (��%) per ma�th an top of tr�e entire rnon�la's
f� for �ach month in which a fee is past due.
3.4. Annual Nature and Adiustmenis af Fuel Flowage Fees.
The fuel flowage fee rate scale is based on the numl�er of g�Ilans of fuel delivered to
the Premises annually. There%re, an Octaber 1, 2002, Lessee will resum� a fuel flowag�
fee payment of $0.114 per gallon, and the above calculatians will begir� anew through the
following September 30th; pravided, however, that the City Council may, in its discretion,
adjust fusl flowage fees and rate scales for all provid�rs of Fix�d Base Operator ("FBO"}
services at the Airport, as may be set forth in the Schedule of Rates and Charges, in which
case the adju�ted rates shall be applied.
3.�. Other Fees and Char�es.
Lessee agrees to pay all other fees and charges stipulated in the Lessar's published
Minimut�a Standards far Fixed Base Operators and 4ihe� Airport Tenants ("M�nimnm
Standards") as they e�st ar may hereafter be a�nended and as they apply to the specific
operations of Lessee. The Minimum Standards is a public docnment adopted by the Ciiy
Council an June 16, 1992, an file and available for public inspection in the City Secretary's
Office, and incarporated herein by reference for all purposes.
4. REPORTS AND AUDITS.
Lessee shall keep true and accurate books xe�ecting all fitel delive�es to the �remises.
Lessee shall furnish manthly fuel delivEry reparts and fuel sales reports to the Aviation Deparirnent
T'ank Farm Lease and Public Pucling Agreement with
Anthany Properties
Directar ar authorized representative (collectively, the ��Director"). Within thirty (30) days
following tha end of Lessor's fiscal year, Lessee shall submit ta Lessor a detailed stateinent of the
toiai number of gallo�s of fuel delivered to the Premis�s. This staternent shall be prepared at
Lessee's sole cost and expense by an independent Certified Public Accountant satisfactory to
Lessor. Any adjustment to the fuel �owage fee paymenfis made durin� the prececling fiscal year
sha11 be made at this tune. At any time during the term of this Agreement, tk�e City shall have the
�ight to authorize an audit af Lessee's records as they pertain ta its fueling operations at the Aitport.
These audits shall be prepared at Lessor's expense by an inde�endent Certified Public Accountant
s�Iected by Lessor.
�. MINIMUM STAI�TDARDS.
Unless otherwise specifical�y provided herein, a1i terms, conditions and covenants of
Lessee's �BO Permit, City Secretary Contract No. ���'7 3, as may subseque�tly be amended,
shall appiy in full Force and effect to this Agreement for the duration of the Initial Tezm and of any
Renewal Term.
Lessee covenar�ts and agrees that as an FBO it will, at all times, campiy with the Minimutn
Standards subject to any exemption granted in accordance with this paragraph. Lessee further
agrees that as a condition precedent to the effectiveness of tlus Agreernent, it will for the duration of
the Initzal Term and of any Renewal Term comply with the reyuirements fo:r dispensers of public
aircraft fiiels set forkh in Article II of #he Minim�un �tandards. If Lessee wishes to be exeir�pt from
any specific requirements of the Minimum Standards, Lessee must first �ubmit a written request to
and receive written approval from the Director. Any such exemptions gtanteci fa Lessee are or shall
be specifically set forth i.n Earhibit "B", attached hereto azxd hereby made a part of this Agreement
for all purposes. Lessee's failure to oiherwise abide by the Minimum Standards shall result in the
it�nrnediate termination by Lessor o�this Agr�ement.
6. DEPOSIT.
Lessee has remitted to Lessor a fuel flawage fee deposit ("Deposit") in ihe form of a Three
Thousand Dollar ($3,Q00) hon.d. If Lessee's payment of a fuel flowage fee to Lessor is at any time
delinquent for moxe than fifteen (15) calendar days, Lessor may dra.w upon such Deposit to secure
the payment due. T'he amoun� of the Deposit is subject to increase at any time as reasonably
deternuned by th� Director, pro�ided that no such increase shall caus� the Deposit to exceed the
sum of Lessee's acival fiiel flowage fee payrn�nts #o L��sor %r the immediately preceding two (2)
rnonths. Within thirty (30) days following any such determination, Lessee shall increase its bond or
provide Lessor wixh a cash deposit in the amaunt af the difference between the current Depnsit and
t}ae highe�' Deposit.
'�. UTILITIES.
Lessee, at Lessee's sole cost and expense, sha11 be responsible far the installation and use of
all utilities service to all portions of �he Premises and for all other related utilities expenses,
including, but nat limited to, deposits and expenses reyuired £or the installation of ineters. Lessee
Tank Farm Lease and Public Fueling Agreement witl� 4
Anthony Properties
fiuther covena�ts az�d agrees to pay all C05�5 and expenses for any extension, installation,
maintenance or repair of any and all utilities sezving the Premises, including, but not limited to,
water, sanitary sewer, electtxc, gas and telephone utiliiies.
S. MAINTENANCE AND REPAIRS.
�.1. General Maintenance and Renairs bv Lessee.
Lessee a�rees to keep ar�d maintain the Premises in a good, clean and sanitary
condition �t a�l times. Lessee covenants and agrees that it will nat make or suffer any waste
o£ the Premises. Lessee, at Lessee's sole cost and expense, will make all repairs necessary
ta prevent the deteriorafion i� condition or value of the Premises, including, but not limited
to, the maintenance of and repairs to all aircraft fuel storage ranks and other structures,
facili�ie5, eyuipment, appurtenances and pavem�nt on the Premises. Lessee, at Lessee's
sole cost and expense, shall promptly make any changes, modifications or improvements to
the Premises as they become necessary, subject to prior written approval from LessQr and in
accordance with all applicable federal, state and loca! laws ar regulations. Lessee shall be
responsible for all damages caused by Lessee, its agents, setvants, emplayees, contractors,
subcontractors, licensees or invitees, and Lessee agrees ta fully r�air all such damages at
Lessee's sole cost and expense.
Lessee agrees that, except as otherwise expressly provided herein, all improt�ements,
trade fixtures, furnishirags, equipment and other personal property of every kind ar
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 shail not be liable for any damage to such
property or loss suffered by Lessee's bu�iness or business operations, whsch m�y be caused
by the bursting, overflowing or leaking of sewer ar steam pipes, from water from any
source whatsoever, or from any hearing fixtttres, plurnbing fixtures, electric wires, noise,
gas or odors, or from causes of any other matter.
`I'ank Farm Lease and Yu61ic Fueling Agreeinent with
Anthony Properties
S.Z. Inspectian.
Lessor shall have the right and priviiege, thrvugh its officers, agents, servants and/or
employees, to inspect the Premises at any tirne during normal business hours. Lessor shall
have the right to perform any and all duties or abligations that Lessvr is authorized or
required to do under the terms of this Lease or ta perform its gavernmental duties uncier
federal, state or local zules, re�u�ations and laws. Lessee vwill permit the Fire Marshal of the
City nf Fort Worth or authorized designees to inspect the Premises at any time during
normal business hours, and Lessee will carnpiy with a11 recommendations made to Lessee
by the Fire Maxshal or authorized designee to br�ng the Premises into co�npliance �vith Fire
Code and Building Cade provisions, as such provisions exist or may her�after be added or
amended. Lessee sha�l znaintain in a proper condition acce�sible fire extinguishe�'s o� a
number and type approved by fire underwriters for the particular hazard involved. Les�or
sha11 provide Lessea with advance notice of inspectian when reasonable under the
circumstances. Notwithstanding anything to th� contrar� in this Section 8.3, Lessor sha11
have the right to inspect the Premises at any time and for a.zty purpose in the �vent of an
�rnergeney.
8.3. Performance.
If Lessee is respansible under this Lease for any rnaintenance or repairs, Lessor shall
notify Less�e in writing. Lessee agrees to undertake such maintenanee or repair work
diligently within thirty (3Q) calendar days following receipt of such notice. If Lessee fails
to undertake the recornmend�d rnaintenance or repairs within this time, Lessor may, in its
discre�ion, undertake sueh maintenance or repai�rs on behalf of Lessee. In this event, Lessee
will reimbnrse Lessor for the cast of the rnaintenance or repairs, and such reimbursement
will be due on the date of Lessee's next manthly rent payment following compleiion of the
maintenance or rep�irs.
8,4. Environmental Remediatian.
Lessee agrees that it has inspected the Premises and is fu11y advised of its own rights
withaut reliance upon any representaiion made by Lesso:r conc�rning the environrnental
condition of the pretnises. LESSEE, AT ITS SOLE COS7' f1ND EXPENSE, AGREES
THAT IT SHALL BE FULLY RESPONSIBLE FOR THE REMEDIATION OF ANY
VIOLATION OF ANY APPLICABLE FEDERAL, STATE OR LOCAL
ENVIRONMENTAL REGULATIQNS OR STANDARDS THAT IS CAUSED BY
LESSEE, ITS OFFICERS, AGENTS, SERYANTS, EMPLOYEES, CONTI�ACT'ORS,
SUBCONTRACTORS OR INVITEE,S: Lessor shall b� responsible for the reinediation of
any violation of any applicable federal, siate or local environmental regulations that is
caused by Lessor, its officers, agents, servazxts or employees. For any violation of any
applicable federal, state or lacal environmental regulations that is caused b� a contractar of
Lessor (other than Lessee}, a subcont�actor, prior tenant or otlier third party, Lessor shall be
responsible far the remetiiation a� khe same or shall take all necessary steps to ensure that
the person or entity causing such violation rernediates the same.
�.5. Lessee's Acceptance of Prerriises.
Tank Farm Lease and Public Fueling Agree�n�nt with
Anthony Properties
Lessee accepts the Premises in iis present candition as satisfactory for a11 purposes
set farth in this Lease.
9. DAMAGE OR DESTRUCT�ON TO PRElVY�SES.
In the event of fire or other casuaXty which da�nages ar destroys all or any part flf th�
Premises, the following provisions shalt apply:
9.1. Covera�e bv Lessee's Insurance.
Lesse�'s property insurance, as raquired by Sectian 14.I of this Lease, shall be
primary ta any insurance on the Premises carried by Lessor a�nd shall be used exciusively to
repair or rebuild the damaged or destrayed portians af the Premises. Lessee shall be
responsible for oversight of all repairs or reconstruction on and to ihe Prern�ses and shall
repair ar rebuild the damaged or destroyed portions of the Premises to the size and
standards that rneet or exceed the size and standards of such portions of the Premises prior
to th� damage or destruction. All repa�' and reconshuction activities canried out by �r on
behalf of Lessee shall be conducted in accordance with Sections 10.2 through 10.6 of this
Lease.
9.2. Premises Uninsu�red or Underinsured bv Lessee.
If Lessee fails to catzy adequate property insurance in accordance with Section 14.1
of ihis Lease, Lessor, at L�ssor's sole option, may (i) terminat� this Lease upon thirty (30)
days' advance written notice to Lessee or (ii) repair or rebui�d the Premises substantially to
its fortner condition at Lessor's own cost and expense. If Lessor notifies Lessee in writing
within thirty (3�} days following the c�ate of darnage or destruction that Lessor in�ends to
undertake the necessary repairs ar recanstruction, and the damage or destruction does not
render the affected portion af the Prernises un�enable, this Lease shall continue in eff�ct
without ar�y rent abatement whatsoever so long as Lessor diligently corrunences the repairs
ar recanstruction within one huzadred eighty (180) days from the date o£ the damage or
c�estruction. If the damage or destruction does render �lxe a�£fecteci portion of the Premises
tempararily untenable, or Lessor does nat carnmence th� repairs or reconstruetion within
one hundred eighty {18�) days fram the date of the damage or destruckion, th�n for the
period of time between such date and the date a ce:t�fi.ficate of occupancy is issued far the
portion af the Premises that was rendered untenable, rent shall be proportionally reduced by
the amount of syuare footage renrlered untenable. Upon the issuance of a certificate of
occupa.n.cy and thereafter, rent shall comply with the Schedule of Rates and Charges in
ef�ect at the time as they apply to the Premises as improved by Lessar. In other words, if
Lessee was paying an unimproved ground rate and, pursuant to this Section 9.�., Lessor
repaired or rebuilt an aircraft h.angar ariginally construcied by Lessee, then the suk�sequent
rental rate would not be that for unimproved land, but raiher that which applied to similar
hangar space at the Airport at the t�me.
10. CONSTRUCTION .�ND IlVIPROVEMENTS.
Tank Fann Lease and Public Fueling Agreement with 7
Anthony Properties
10.1. In General.
Lessee may, at its sole discretion, perform modifications, renovations or
improvements on aar ko the Premises (coliectively, "Improvenaemts") so long as it first
submits all plans, specifications and estimates for the casts of thc proposed work in writing
and also requests arid receives in writing approval from the Director. Le�see covenants and
agrees that it shaX1 fully comply with all provi�ions of this Section 10 in the undertaking of
any such Improvements. Lessor shall take �ull ti#le to any Improvements on the Premises
upon the expiration or earlier termination of this Lease, vrovided that trade fixtures shall
remain the praperty of Lessee and may be removed so Iong as Lessee repairs �ny damage
caused thereby.
1Q.2. P�ncess far AuArovaj of Plans.
Lessee's plans for Improvements sha11 conform to the Airport's architectural
standards at�d must also receive written approval from Lessor's Departmeza.ts of
Davelopment, Engineering azzd Trat�sportation/Public Works. All plans, specifications and
work shall conform to all federal, state and local laws, ardir�ances, r�ales and regulations in
force at the time that the plans are presented �or review.
10.3. Dacuments.
Lessee s�all supply the Director with comprehensive sets a� documentativn relative
ta any improvement, inclucling, at a minirr►um, as-huilt drawings of each project. As-bu�ilt
drawings shall be new drawings ar redline changes to drawings previously provided to the
Director. Lessee shall supply the textual documentation in camputer Format as requested by
Lessor.
10.4. Bonds Reprured of Lessee.
Priar to the commencement af any Improvement, Le�see shall deliver to Lessor a
bond, executed by a corporate surety in accordaxace with Texas Govemment Code, Chapter
2253, as amendeti, in the fiall anno�nt of each construction contract or project. The bonds
sha11 guarantee (i) satisfactory compliance by Lessee with a.11 requircments, terms and
conditions of this Lease, inciuding, bu� not limited to, the satisfactory compleiion of the
respective Improvements, at�d {ii) full payments to all persons, firms, corpaxa�ions or other
entities with whom Lessee has a direct relatio�zslup for the construction of such
Impravements.
In li�u of the required bond, Lessee may provide Lessor with a cash deposit ar an
assigrunent of a certificate of deposit in an amount equal ta 125% af the full amoun# of each
construction contract or project. If Lessee makes a cash d�aosit, Lessee shall not be entitled
to any interest earned thereon. Certificates of deposit shall be froxn a financial institution in
the Da11as-Fart Worth Me�ropolitan Area which zs 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
cornplete the respective Impravements, or if claims are fi�ed by third parties on grounds
Tank Farm L.ease and Public Fueling Agreement with
Anthony Properties
re�ating to such Improvernents, Lessor shall be entitled ta draw down tl�e full amount of
Lessee's cash deposit or certificate of d�posit and apply the proceeds to cornplete the
Irnprovements or satisfy the claims, provided that any balance sha11 be rernittec� ta Lessc;e.
10.�. Bonds Repuired of Lessee's Cantractors.
Prior 'to thE •c'ommencement of any Im.provement, Lessee's respective contractor
shall execute and deIi�er to Lessee suraty performance and payment bonds in accordance
with the Texas Government Code, Chapter 2253, as amended, to caver the costs of al1 work
perf�rmed under such cont�actor's cont�act for such Improvements. Lessee shall provide
Lessor with copies of such bonds prior to the eommencement of such. Improvements. The
bonds shall guarantee {i) the faithful performance ar�d campletion a�' all construction work
in accordance with the final plans and specifications as approved by Le�sar and (ii) full
payment far all wages far labor and services and of al1 bi11s for materials, supplies and
equipment used in the performance of the consMuction contract. Such bands shall name ta
both Lessor and Lessee as dual obligees. IfLessee serves as its awn contracto:r, Section 10.4
sha11 apply.
10.6. Releases bv Lessor Upon Comaletian of ConstrUction Work.
Lessor will a11ow Lessee a dollar-far-dollar reirr�hursement from its cash deposit
accvunt or reduction of its clairn upon Lessor's eertificate of deposit upan {i), where Lessee
serves as ifis own con�ractor, verification tha� Lessee has completed construction work or
(ii), where Lessee uses a contracttir, receipt of the contractor's invoice and verification that
the cantractor has completed its work and released Lessee to the extent of Lessee's payment
for such work, including bills paid, affidavits amd waivers of liens.
11. USE OF PREMISES.
Lessee agrees that it will use i�he Preinises for the sole purpase of aircraft fuel s�orage and
�hat it will not store such fuel or receive deliveries of such fuel at any location at the Airport other
than the Premises and any ather sites at the Airport that Lessee �nay lease exclusively {collectively
the "Leased Premises"). Lessee rnay also sell and dispense such items on (i) the public use
transient apron and {ii) at hangars and on ather aprons at the Airport, subject to permission from the
respecti�e parties in control of tllase properties. Lessee sha11 not in any manner sell or dispense fuel
on the Fuel Farm.
12. SIGNS.
Lessee shall nat erect ar maintain on t.�e Premises any signs or biilhoards �xcept thase that,
without advertising Lessee's operations at the Airport, identify the fuel stored on th� Premises. All
signs pem'�itted by this Lease shall be subjec� to prior r,vritten approval by the Director as ta
placement, appearance, eo�struction and conformiiy with applicable laws, ordinances, rules and
regulations.
Tank Farrn Lease and Puhlic Fueling Agree�nent with 9
Anthony Prpperties
13, RIGHTS AND RESERVATIONS OF LESSOR.
Lessor hereby retains the following rights a�d reservations:
13.1. Lessee's rights hereunder shall be subject to all e�isting and fixture utility ease�nents
and righ#s-of-way granted by Lessor for the insiallation, rnaintenance, inspection,
repaix or • removal of facilities owne�i or operated by electric, gas, water, sewer,
communication or other utility companies. Lessee's rights additionally shall be
subject to all rights granted by all ardinances or statutes which allow such utiiity
companies to use publicly owned property for the provi�ion of utiIity serv�ices.
13.�. Lessor reserves the ri.ght ta take any action it considers nec�ssary to protect the
aerial approaches af the Airport against obstruction, including, but not lirnited to,
the �ight to prevent Lessee from erecting c�r pennitting to be erected any building or
other structure which, ir� the opinion of Lessor, would limit the usefulness of the
Airport, canstitute a hazard to aircraft or dirninish the capability of existing or future
avigational or navigational aids used at the Airport.
i3.3, Lessor reserves the right ta close tempararily the Airport or any of its facilities for
maintenanee, improvemenfis, safety or security of either the Aiiport or the puhlie, or
for any other cause deemed necessary by Lessnr. In this event, Lessor sha11 in no
way be liable for any damages� asserted by Lessee, including, bu� nat lirnited to,
damages f�om an alleged disruptian of Lessee's business operations.
13.4. This Lease sha31 be subordinate to the provisions of any existing or future agreement
b+etween Lessor ar�d the ilnited 5�ates Goverrunent which relates to the operation or
mainte�.ance of the Airport and is required as a condition for the expenditure of
federal funds far the developrnent, rnaintenance ar repair of .Airpart inirastructure.
13.5. During any war or nationa� ernergency, Lessar sl�all have the right to lease any part
of the Airport, including its lancling area, to the United States Government. In this
event, any provisians of this instrument which are inconsistent with the pro�isions
af the lease fio the Goverrunent shall be suspended. Lessor shall not be liable for any
loss or damages alleged by Lessee as a result of this action. Hovvever, nothing in
this Lease shall prevent Lessee fram pwrsuing any ri�hts it may have £or
reimbursement from the United States Gavernment.
13.6. Lessor cavenants and agrees that during the term of this Lease it will operate and
maintain the Ai�pork and its facili�ies a� a public aizport consistent with and pursuar�t
to the Sponsor's Assurances given by Lessar to the United States Gavernment
ihrough the Federa.l Aiupork Act, a public docttment which is an file in Lessor's City
Secretary's Offic� and which is incorporated herein by reference for all purpases.
Le�see agrees that this Lease and Lessee's rights and privileges hereunder shall be
subordinate ka the 5ponsor's Assurances.
Tank Fann Lease and Public Fueling Agree�nent with 14
Anthony Properties
14. INSUR�NCE.
ll.l. Tvqes of Caverage and Limits.
Lessee shall procure and maintain at all times, in full force and effect, a po�icy or
policies of insurance as specified in this Sectian 1 I, naming the City of Fort Wort� as an
additional �nsured and covering all risks related ta th� leasing, use, occupancy, maintenance,
existence or location of the Premises. Lessee s�all obtain the following insurance coveraga
at the limits specified herein:
• Praaertv:
Fire and Extended Coverage on all improvements on the Premises at full replace�nent
cost limit,
• Commercial General Liabilitv:
$3,00�,OOQ per occurrence,
including products and completed operations;
o Automobile Liabiliiy:
$1,000,000 per accideni,
inciuding, but t�ot lirnited to, coverage on any automobile used in Lessee's operations on
the Premises; .
Tank Fann i,ease artd Public Fueling Agreement with 11
Ankhony Praperties
� Environmentai Irr�nairment Liabilih+:
$1,004,000 per occurrenee.
In additian, Lessee shall be responsible for all insurance to construction, �impravements,
modifications ar renavations ta th� Pr�;mises and for personal praperty Qf its own ar in its
care, custody or control.
14.�. Adiustments ta Repuired Covera�e and Lim�ts.
Insurance reyuiremen.ts, including additional �ypes of coverage and increasad limits
o�t existirlg caverages, are subject to change at Lessor's option if Lessor's risk manager
rea5onably d�termines that additional caverage or increased limits are necessary to cov�r
Lessee's operations at the ,Airpart. Lessee will acc�rdingly COri7ply wiih such new
reyuirements within thirty (30) days follawing notice to Lessee.
14.3. Certificates.
As a condition precedent to the effect�veness of this Lease, Lessee shall furnish
Lessor with appropriate c�rtificakcs of insurance signed by the respective insurance
companies as proo� that it has obtained the types and amaunts of ins�rance coverage
required herein. Lessee hereby covenants and agrees that not less than thTrty (3Q) days prior
to the expiration of any insurance policy reyuired hereunder, it shall provide Lessor with a
new or renewal certificate of insuraa�ce. In addition, Lessee shall, at Lessor's r�quest,
provide Lessor with evidence that it has maintained such coverage in fi�ll force and effect.
14.4. Additianal Repuiremeats.
Lessee shall maintain its in�urance with underwriters authorized to do business in
the State of Texas and which are satisfactory to Lessor. The policy o:r policies of insurance
shall be endorsed �o cover ali af Lessee's operations a� tl�e Airport and to provide that no
material changes �n coveragea includir�g, but not limited to, canceilation, termination, non-
renewal or amendment, shall be made without thirty (30) days' priar written notice to
Lessor.
1�. INDEPENDEI�TT CONTRACTOR.
It is expressly understood and agreed that Lessee shall ope;rate as an independent cantractor
as to ail rights and privileges granted herein, arxd not as an agent, representative or ernpiayee of
Lessar. Lessee shall have the e�clusive righ# to eontrol the details of its operations and activities on
ihe Premises and shall be solely responsible for tl�e acts and omissions of its officers, agents,
servants, employees, contraciozs, subcontractors, patrons, Iicensees and invitees. Lessee
acknowledges that the doctrine of respondeat s�sperior shall nat apply as between Lessor and
Lessee, its officers, agen#s, employees, contractors and subcontractors. Lessee fi�rther agrees that
notlung herein shall be construed as #he creation of a partnership or joint enterprise between Lessar
arxd Lessee.
Tank Farm Lease and PubEio Fueling Agreement with 12
Anthony Prape�ties
�6. LIASILITY.AND INDEIVINIFICATION.
LESSEE SHALL BE LIABLE A.ND RESPONSIBLE FOR ANF CLAIMS, DEMA.ND,S,
LA i�SUlTS OR OTHER ACTIONS FOR DAMAGES DF ANY �IND, INCLUDING, BUT
NOT LIMITED TO, PROPERT'I' LOSS, FROPERTY DAMAGE A�VD/OR PERS0IVAL
INJURY OF ANY K.IND, INCLUDING DEATH, TO ANY AND ALL PERSDNS, OF ANY
%IND OR CHA.RACTER, WHET�IER REAL OR ASSERTED, 7'D THE EXTE11�'T GAUSED
BY THE NEGLIGENT OR WILLFUL ACT(SJ OR OMISSION(S) OF LESSEE, ITS
OFFICERS, AGENTS, SER�ANTS, EMPLOY�`ESAND/OR SU�LES,SEES, INADDIT'ION,
LESSEE, AT LESSEE'S OWN EXPENSE, SHALL INDEMNIFY, DEFEIVD AND �1'OLD
HARMLESS LESSOR, ITS DFFICERS, AGENTS, SERYANTS A1VD/OR EMFLOYEES,
FRDMAND AGAINST A1VY CLAIM, LAWSUIT OR OT'HER ACT.ION FOR DAMAGES OF
ANY I�1VD, INCLUDING, BUT NOT LIMITED TD, PROPERTY DAMAGE OR LOSS
(INCLUDING ALLEGED DAIIIAGE OR LOSS TO LESSEE'S BUSINESS A.ND ANY
RESULTING LOST PROFITS) AND/OR PERSONAL INJURY, INC�UDING DEATH, TO
ANY AND ALL PERSONS, OF ANY KIND OR CHAl�4 CTER, WHETHEIt REAL OR
ASSERTED, TO THE EXT'ENT' CAUSED BY THE NEGLIGENT OR WILLFUL AGT(S) OR
OMISSION(S) OF LESSEE, ITS OFFICERS, AGEN�'S, SER vANTS, EMPLOYEES
AND/OR SUBLES,SEES
LESSOR DOES NOT GUARANTEE POLICE PR4TECTION TD LESSL'E OR �T'S
PROPER�'"Y. LESSOR I5 OBLIGATED ONLY TO PROVIDE SECURI�Y ADEQUATE TO
MAINTAIN LESSOR'S CERTIFICATION UNDER FAA REGU�A�'IONS LESSEE
SHALL COMPLY WITH ALL APPLICABLE REGULATIONS OF THE FAA PERTAINING
TO AIRPORT SECURITY ON THE P�E�VIISES WHICH IS RELATED TO LESSEE'S
DPERATI4NS THEREON AND Sl�'AL� CO�PERATE WITH LESSOR IN THE
IMPLEMElYTATIDN AND ENF�RCEMENT OF LESSOR'S SECURITY PLAN AT THE
AIRPORT. LESSEE SHALL PAY ALL FINES IMPOSED BY THE FAA ON LESSOR OR
LESSEE RESULTING FROM LESSEE'S FAILURE T4 COMPLY WITH SUCH FAA
REGULATIONS APPLICAB�E TO 7'HE PRE1l�ISES OR TD PR�'VENT UNAUTH�RIZED
PERSONS OR PARTIES FROM THEIR OBTAINING ACCESS TO T�IE AIR UPERATIONS
AREA UF THE AIRPORT FROM THE PREMISES
7�7. WAIVER OF CHARITABLE OR EXEMPT�ON.
If Lessee, as a charitable association, corporatiQn, partnership, individual �nterprise or
entity, claims unmunity to or azi exemption from liability for any kind of property damage or
personal damage, injury or death, Lessee hereby expressly waives its rights to plead defensiveiy
any such immunity or exemptian as against Lessor.
1�. DEFAULT AND REMEDIES.
18.1. Failur� bv Lessee fo Pav Rent. Fees or Other Charges.
Tank Fann Lease and Public Fueling Agree�nent wifh I3
Anthony 1'roperties
If Lessee fails to pay any rent, fees ar other charges due under this Lease, Lessor
sha11 deliv�r to Lessee a written invoice and natice to pay the invoice within ten {10)
calendar days. If Lessee fails to pay the balance outstanding within �uch time, Lessor shall
have the righf to ter�ninate this Lease irnmediately.
1�.2. Failure to Har�e or Maintain FBO Certi�catian.
If Lessee's FBO Petmit is lawfully revoiced or lawfully nat renewed, Lessor shail
have the right to terminat� this Lease immediately upon provision of written notice to
Lessee.
1�.3. Failure to Co�nalv with Oiher Tearms ar Canditions.
If Lessee breaches or defaults under any provision of this Lease, other than thQse
breaches or defaults that are addressed by Sections 15.1 and 15.2, Lessor shall deliver
written notice to Lessee specifying the nature of such breach or default. Le�see shall have
thirty {30) calendar days following such wvritten notice to cure, adjust ar correct the problem
to the stat�dard existing prior ta the breach. If Lessee fails to cure the breach ar dcfault
within such time period, Lessar shall have the right to terminate this Lease im�nediately;
provided, hawever, that in the event such breach or default cannot reasonably be cured
�c�vithin thirty (30) calendar days following such written notice, Lessee shall not be in default
if Lessee commences to cure, adjust or correct the problem within such thirty (34) day
period and thereafter diligently and in good faith pursues such cure, adjuskment or
correction to conclusion.
1�.4, Ri�hts of Lessor UAon Ternaination or Exairation.
Upaz� termination or expiration of this Lease, all rights, powers and privileges
granted to Lessee heretu�der shall cease and Lessee shall vacate the Premises. Within twenty
{20} days foliowing the effective date of termination ar expiration, Lessee shall remove
from the Prernises all trade fixtures, tools, macl�inery, eyuipment, materials and supplies
placed on the Premises by Lessee pursuarit to this Lease. After such kime, Lessor shall have
the ri�ht to take full possession of the Premises, by farce if necessary, and to remove any
and all parkies and property remaining on any part of the Premises. Lessee agrees that it
will assert no clai� of at�y kind against Le�sar, its agents, servants, employees or
representatives, which may stem from Lessor's lawful termination of this Lease or any act
incident to Lessor's assertion of its night ta ierminate or Lessor's exercise of any rights
granted hereunder exeludir�g such acts of Lessar's negligence which cause direct damages
to Lessee.
19. NOTICES.
Notiees reyuired pursuant to the provisxons of this Lease shall be conclusively determined
to hav� been delivered when (i} hand-delive�ed to the other party, its agents, employees, servants or
representataves, or {ii) deposited in the United States Mail, postage prepaid, add�ressed as follows:
To LESSOR:
Tanfc Farm Lease and Public Fueling Agreement with 14
Anthpny Properties
For Rent:
City of Fort Worth
Revenue Office
1000 Throckmorton
Fort Wnrth TX 76102
To LESSEE:
Anthony Properties
Attn: R. Jay A.nthony
12770 Coit Road, Suite 1170
Dallas TX 75251
With a Copy to:
James Kevir� Flynn
Scheef & Ston�, L.L.P.
5956 Sherry Lane, Suite 1400
Dallas TX 75225
20.
�1.
ASSIGNMENT AND SiTBLETTING.
�Q1. In General.
For All Other Matters:
City of Fort Worth
Aviation Departrrient
4201 N. Main St. Ste. 200
Fort Worth TX 7610b
Lessee �hall not assign, se11, convey, subl�ase ar transfer any of its rights, privileges,
duties ar interests granted by this Lease without the advance written consent of Lessor,
wnich consent shall noi be unreasonably withheld or delayed.
�0.�. Conditians of Apnroved Assi�nments and S�bleases.
�f Lessor consents to any assig�nent or su�blease, aIl terms, covenants and
agr�ernents �et forth in this Leas� shall apply to the assignee or sublessee, a�nd such assignee
or sublessee shall be bound by tha terms and canditian� of this Lease the same as if it had
originally executed this Lease. The failure or refusal of Lessor to approve a reyuested
assignment or sublease shall not relieve Lessee af its obligations hereunder, including
payment of rentals, fees and charges.
LIENS.
�1.1, Liens bv Lessee.
Lessee acknawledges that it has no authority to �ngage in any act or to make any
coniract w1�ch �nay create or be the foundation for any lien upon the property ar interest in
the property of Lessor. If any such purported lien is created or filed, Lessee, at its sole cost
Tank Farm Lease and Puhlic Fueling Ag��nent with 1$
Anthony Properties
and expense, shall liquidate and discharge the same wikhin thirty (3Q} days of such creation
or filing. Lessee's failure to discharge any such purported lien shall cons�iiute a hr�ach of
this Lease and Lessor may kertninate this Lease upon thirty {30) days' written notice.
However, Lessee`s financial oblig�.tion to Lessor to liquidate and discharge such lien shall
continue in effect following terniination af ihis Lease and uniil such a time as the lien is
discharged.
�L�. Landlord's Lien.
I1V ADDITION TO ANY APPLICABLE STATUTORY LANDLORD'S LIEN,
LESSEE GRANTS TO LESSOR, IN ORDEIt TO SECURE PERF4RMANCE BY
LESSEE OF ITS OSLIGATION,S UIVDER THIS AGREEII��IYT, A SECURITY
INTERES`T I1V ALL GOODS, INVEN�'Ol�Y, EQ�PMENT, FIXTURES,
FURNITURE, IMPROYEM�'1VTS, CHATTEL PAPER, ACCOUNTS' AND GENERAL
INTANGIBLES, AND OTHER PERSONAL PIZDPERTY OF LESSEE 11TDW OR
HEREA�'TER Sl�'UAT'ED ON OR IN THE PREII�ISES OR OTHERWISE
RELATING TO LESSEE'S USE OF THE PREMISES, AND ALL PROCEEDS
THEREFROM {T�E "COLLATERAL "). IF LESSOR TERMINATES THIS
AGREEMENT F�R A FAILURE BY�ESSEE TD PAYLE.SSDR RENT OR FOR A1VY
OTH�R BREACH OR DEFAULT' BY LESS4R, LESSOR MAY, I1V ADDITIDN TO
ALL OTHER REMED.IES, WITHOU7' NOTICE OR DE1wIAND EXC�PT' AS
PROVIDE�D BELOW, EXERCISE THE RIGHTS AFFORDED A SECURED PARTY
UNDER THE TEXAS UNIF�RM COMMERCIAL CODE ("UCC"). IN
CONNECTION Yf�ITH ANY PU&LIC OR PRIVATE SALE UNDER THE UCC,
LESSOR SHA.LL GIVE LESSEE FIVE (5) CAI.ENDAR DAYS' PRIOR WRIT7'�N
1VDTICE OF THE TIME AND PLACE OF ANY PUBLIC SALE OF THE
COLL�4TERAL OR OF THE TIME AFTER WHICH A1VY PRIVATE SALE OR
�THER INTEND�D DISPOSITION THEREUF IS TO BE MADE, WHfC�I IS
AGREED T� BE A REASONABiE NOTICE O� SUCH SAL�' UR DISPOSITION.
Upon Lessor's advance written consent, which shall not be unreasonably withheld or
delayed, Lessor's security inierest in the Collateral may be subordinated to a third party
lender if the lender demands such subordination as a condition of financing Improvements
undertaken by or on behalf of Lessee.
��. TAXES AND ASSESSMENTS.
Lessee agrees to pay any anci 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 Prerriises by Lessee as a result of its
occupancy. Lessee alsa agrees to pay any and all fede�ralr siate or local taxes or assessments
which may lawfully be levied against Lessor due to Lessee's use or occupancy of the
Pretnises or prvperty placed on the Premises by Lessee as a result of its occupancy,
including, bui nvt limited to, the Mandatory Irriprovernents and any Discretionary
Improvements.
23. C�MPLIANCE WITH LAWS, ORDINAI�TCE5, RCJLES AND REGULATIONS.
Tank Fann Lease and Public Fueling Agree�neni with 16
Anthany Properties
Lessee covenat�ts and agrees that it shall not engage in any unlawful use of the Premises.
Lessee further agrees thai it shall not permit its officers, agents, servants, employees, contractors,
subcontractors, patrons, licensees or invitees to engage in any unlawful use of tlie Premises and
Lessee imm�diate�y 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 �d local Iaws; all ordinances, rules and
xegulat�ons of Lessar; a11 rules and regulations established by the Diurec#or; and all rules and
regulations adopted by the City C�uncil pertaining to the conduct required at airports owned and
operated by Lessar, as such laws, ordinances, rules and regulations exist or may herea$er be
amended or adopted. If Lessor natif es Lessee or any of its officers, agents, emplaye�s, contractors,
subcontractors, licensees or invitess o� any violation of such laws, ordinances, rules or regulations,
Lessee shall immediately desist from and correct the viaiation.
24. NON-DISCRIMINATION COVENA,NT.
Lessee, for itself, its personal representatives, successars in interest and assigns, as part of
tl�e 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 o� the Premises on the basis of
race, color, national origin, religion, handicap, sex, sexual orien�ati�n or familial status. Lessee
fi�her agrees for itself, its personal representatives, successors in interest and assigns that no
person shall be excluded fram the provision of any services on or in the construetion of any
improvern�ents or alterations to the Premise� an graunds of xace, calar, national arigin, religion,
handicap, sex, sexual orientation or familial status. Lessee agrees to fiarnish its accommodations
and to price its goads and services on a fair and eyual basis to all persons. In addition, Lessee
co�enatats and agrees that it will at alI tirnes comply with any requirements impased by or pursuant
to Title 49 of the Code of Federal Regulatians, Part 21, Non-Discriminatian in Federally Assisted
Programs of the Department of Transportation and with any amendments ta this regula�ion which
may her�aier be �nacted. If any claim arises from an alleged violation of this �on-discrimination
covenant by Lessee, its personal z'epresentatives, successors in interest or assig�s, Lessee agrees ta
indemnify Lessor and hald Lessor harmless.
25. LICENSES AND PERMITS.
Lessee shall, at its sole expense, obtain and keep in e�£ect all licenses and permits necessary
for the aperatian of iis operations at the Airpark.
26. GOVERNIVIENTAL POWERS.
It is understood and agreed that by execution of this Lease, Lessor does noi waive or
suirender any af its gov�rnrnental powers.
Tank Farm Lease and Public Fueling Agreement with 17
Ankhony Properties
27. NO WAIVER.
The failure of either party to insist upon the perfrarmance oi any term ar provision of this
Lease or to exercise any right granted hereua shall not constitute a waiver of that party's right to
insist upon appropriate performance or to assert any such right on any �uture occasion.
2�. VENUE AND .TURISDICTION.
If any action, whetl�er real or asserted, at law or in equiYy, aris�s on the basis of any
provisian of this Lease or of Lessee's operations on the Pr�mises, venue for such action shall lie in
state caurts located in Tarrant County, Texas or the United S�ates District Cour� far the Northern
District of Texas, Fort Worth Divisian. This Lease shall be construed in accordance with the laws
of the State of Texas.
29. SEVERA$ILITY.
If any provision of this Lease shall be held to be invalid, illegal or unenfarceable, the
validity, legality and enforceability of the remaining provisions shall not in any way be aff'ec#ed or
impaired.
3Q. FORC� MA,IEURE.
L�ssor 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 omis�ion of perforanance
due to force majeur� or other causes beyonci their reasonable con�rol, incInding, but nat limited to,
c�mpliance with a�y government law, ardinance ar regulation, acts of God, acts of omission, fires,
5ti11C�5, lockouts, national disasters, wars, riots, material ar labor restrictians, transportation
problems and/or any other cause beyond the reasanable control of Lessor or Lessee.
31. HEADINGS NOT CONTROLLING.
Headings a�ncl titles used in this Lease are �or reference purposes only and shall not be
deemed a part of this Lease.
3�. ENTIRETY OF AGREEMENT.
This written instr�.une�t, including any documents attached hereto or incorporated herein by
reference, contains the entir� understanding and agreement between Lessor and Lessee, its assigns
and successors in interest, as to the matters contained herein. Any prior or confemporaneous oral or
written agreement is hereby deciared nu11 and void to the extent in conflict with any pravisians of
this Lease. The terms and conditions of this Lease shall not be amended unless agr�ed to in writing
by both parties and appraved by the Ciry Council af Lessor.
Tank Fann Lease and Public Fueling Agree�ner�t with 1 S
Anthony Properties
IN WIT`NESS WHEREOF, the parties hereta have executed this Lease in multiples, this
day of , 2002.
CITY OF FORT WORTH:
By: � � �i
Nt�� ott �
Assistant ity Manager
ATTES�
, , -- ,
� �� �
By `: �= .r ,� a —
City �ecreta� � �
' '��y � V � ! � - '_
�o������ Au�horizatinr�
�I�-F���,- -
D��� �
i--��.r�
AP AVIATION PR4PERTIE5 LIMITED
PARTNERSffiP:
By: AP Aviation, Inc.,
its sole General Partner
By: / ���-
Brian 5hiu
Vice President of Development
Tank Farm Lease and Puhtic Fu�ling Agreement with 19
Anthony Prpperties
ATTEST:
- -{
By:�,0.
���� �� ���+
� u�
���
iI
' ��uG}L '
�����
��M ��
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APPROVED A5 TO FORM A�iD LEGALITY:
/� ���
.aiS5i5tA11t C1� At�O�
M& C: L-1331 S 06-04-02
Tank Fa�7n Lease and Public Fueling Agreement with ZO
Anthony Properties
sTATE oF TE�s
covlv� oF §
BEFORE ME, the undersigned authority, a Notary Public in anc� for the State of Texas, on
this day personally appeared Brian S�iu, Vice President of Development of AP Aviation, �c.,
known to me to be the persan whose name is subscribed to the faregoing ins#rument, and
acknowledged to me that #he same was the act of AP Aviation Properties Limited Partnership and
that he execu#ed the saine as the act o�AP Aviation Properties Limited Partnership for the purposes
and consideration therein expressed and in the capacity ther�in stated.
GTVEN LINDER MY HAND AND SEAL OF OFFICE this � day of ,
2042.
W'" ....
'�/.." \ ChrEsllne Johnaon
�t�j� Afry Comonieslnn Explres
�oF� Januaryr 29, 2606
STATE �F TEXAS
COUNTY OF TARRANT
.� I � �I: ,t �.,�/ .I I �1 ��
• . ' � � i �. - �
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on
this day pe�snnally appeared 1Viarc Ott, knawn to me to be the person whose name is subsGribed to
the �oregoing instrument, and acknowledged to me that the same vcras the act of �he Ciiy of Fort
Worth and that he executed the same as the act of the City of Fort Worth for the purposes and
cansideration therezn expressed and in the capacity therein stated.
GIVEN LTNDER MY HAND AND SEAL OF OFFICE this � day of ,
2002.
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Notary PubIE�, St�ie of T��s
�ty Cornmisston �tres ' Notary Public in and for the State of Texas
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�`ity of I�ari �orih, Texas
M�yor a�nd Councii C�r�rn������ion
DA7� R�FERENCE NUNiBER LOG NAME PAGE �
6/4102 **L�R33�� � 55FB0 � 1 of 2;
SIJBJECT AUTHORIZE LEASE AGREEMEN75 WITH ANTHONY PROPERTEES FOR FIXED
BASE �PERATOR SERVIC�S AT FORT WDRTH SPINKS AIRPORT _ ,
RECOMMENDATION,: �
�t is recommended that the City Council:
Authorize the City� Manager tfl issue a Fixed Base Operatar permit #o Anthony Properkies far
op�ration af a Fixed Base Dperator faci{ity at Fort Worth 5pinks Airport; ar�d
2. Execuie an afF'�ce l.ease Agreement with Anthony Properties for 944 square fest of pro}aerty in tne
�ix�d Base �perator Hangar at Fort V'Vorth- S�inks Airport; and
3. Execute a Fiangar, Assocsated Ramp and Tie-down Spaees L�ase Agreement with Antt�ony
Properties at Fort Worti� 5pink� Airpart; and
4. Execute a Fue! Farm Lease Agreement with Anthony Properties for 6,500 square feet af adjac�ni
property at Fort�Worth Spinks Airport. _
DISCUSSIUN:
Anthony Prop�rties, througn its Vice President of �peratic�ns, Brian Shiu, proposes to begin Fixed Base
Operator services a# Fo� Worth Spinks Airport. The City currently �ro�ides these service�, and with
this actian, wiA t�ansi#ion the pro�ision af the s�rvices io Anthany Properties on July 1, �a02. In of��r to ;
accomp[ish this, the fallawing agr�ements are necessary; � � I
� Fixed Base.Operator (FBO) Permit: Anthony Prop�rt�es requests an FBO permit for the right to sell I
fuel and prQuide other FBO services at Forf Worth 5pinf�s Airport. The� term af the permit wifl begin . I
on July 1, 2002, and expire June 30, 20A7. The permit wili automati�ally renew for anoth�r 5 year I
term if Ar�thony Properties Es p�r€orming s�tcY� services in compliance w�th the Aviation Department's �
FBO Minimum 5tandards then in effect; and . �
An �ffce Lease far �44 sqc�are feet of office space in the current FBO. Hangar. !n arder to begin
F6� services, Anthony Properties has praposed to lease 144 square feet of properiy in tfie FB�
Hangar that includes the service counter and assaciated spac� currently used by the City to provide
the FBO services. The initial annual r.evenue from this lease wiil ba $1,782.i2, or $148.56 per
mor�th. � The term af this Eease wiq begin on July 1, zaa�, and expir� an tne date that Anthany
Properties begins operation in their harigar t� be built narth of the existing ha�gar. At that time, the
space will reverk to the City which wil] be free for leas� to ar�other party. During the #ime that
Anthany Properties. leases the offce space, they agree to be fully respansible for custodial and
management d�iies associated w�th the cor�mon areas in the hangar, includir�g the lobby, halEway,
restroams, and kitchen; and
�'ity of �ort �'orth, �'exas
��y�r and �ouncil �omrr�ur�s����or�
DA7E REFERE[VCE NUMB�R LUG NAME PAG�
6l4102 **L-fi33'� � � 55FBo ' 2 of 2
Sue��cT AUTHORIZE LEASE AGR EMENTS WlTH ANTHONY PROPERTIES FOR F1X�D
BASE UPERATOR SERViCES AT FORT WORTH SPIIVKS AIRPORT
A Har�gar Lease Agreement for tt�e 10,Ofl0 square foot hangar, 39,a�Q square fe�t af ramp spac.e,
and 20 aircraft tie-dawn spaces. The initial annual revenue frvm the hangar will be $� 3,804.Q0, or
$1,15Q.00 per rnonth. The initial revenue from the ramp wi{I be $7,8QQ.00, or $fi50.0U per montY�.
'The aircraft tie-downs will yield $10,080.00 annually, ar $840.Oq per month. The total annual
re�enue from this lease will be $3�,880.00, or $2,6�O.OQ per month, ihe term �f the leas� wiil
begin an July 'l., 20�2, and expire June 30, 20Q7. The lease will automatically renew for anotY�er 5
year term if Anthony Properties is in compliancE with the Minimum Standards then in effect. The
leas� wili be sub}ect to an annual increase to r�ffect the upwarci percet�tage change in the
Consumer Price (ndex for the preceding year; anci
A Fuel Farm Lease with fi,5Q0 square feet of improved {�roperty. Anthony Prope�ties will iease the
fu�l farm at the current prevailing rste of $273,69 per month, or $3,284.28 an an annual basis.
They wiCl also lease 6,5QQ square feet of im�roved property adjacent to the f�ef farm far the
insfallation of a self-setve fuelirtg facility. Th� initial revenue from this l�ase wifl be $1,30�.Ofl p�r
year, ar $108.33 per mon#h. The term af the lease will be from .7uly 1, 20�2, to June 30, 20Q1, and
will automatically renew if Ar�thany Properties is in compliance with the Minimum Standards as they
�ppfy t� FBO op�rators, The }ease �rv�l� be subject �o an annual increase to reflect tt�e uprivard
percentage ehange in the Consumer Price lndex for the pr��eding year. This lease wEll be in
conj�nctiQn with the �BO permit: If that permit should be re�okEd for any reason, this lease wiff
become nulf and .void. �
The totai annuaf revenue fram these lease agreements wil! be $38,046.9fi, or $3,1T�.58 on a monthly
basis. Tt�e revenue fram Juiy 1, 2D02, to the en� of Fiscal Year 200'l-2002 wiH be $9,�11.74.
F{SCAL INFORMATIONICERTI�ICATION:
The Finance Director certifies that the Revenue Office of tt�e Finance Depa�tment wil! be responsible for �
the collection and deposit of funds due to the City under these agreements.
BG:n
Submitted far City Manager's
Off ce by: ,.
Sridgette Garrett (Acting)
Qrigfnating Depariment Head:
Lisa A. Pyies
Additianal Infurmation Contuct:
Lisa A. Pyles
6t�o
sao�
FCJND I ACCOUI�[T
� {to}
� PE40 49i312
PE4o as�a.�2
PE40 491472
� P��ao asyo52
� tfrarr►)
�
5403 �
CEI�TER
DS52002
as�zaa2
oss2oo�
Q552002
� AMOUN'1'
$3,896.68
�2,77�.a7
�2,s2o.00
$ 324.99
CI'TY SECRETARY
APPROVED 46/04I42