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HomeMy WebLinkAboutContract 11628 REC�CivE[� �- APP 1 1961 LEASE STATE OF TEXAS § COUNTY OF TARRANT § CITY SECRETA//RY, rJ CONTRACT No 116; WHEREAS, Texas Aviation Engineering Company currently leases office space in the Meacham Field Terminal Building for the pur- pose of engaging in aircraft design and modification; and WHEREAS, Texas Aviation Engineering Company desires to lease a site of land currently under lease to the Federal Aviation Administration (FAA) under City Secretary Contract No. 8248, dated June 2, 1975, on file in the office of the City Secretary of the City of Fort Worth; and WHEREAS, the FAA has agreed to relinquish said site in order that Texas Aviation Engineering Company can lease it; NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS: That the City of Fort Worth, a municipal corporation located in Tarrant County, Texas, acting by and through its City Manager, Robert L. Herchert, hereinafter called "Lessor, " and Texas Aviation Engineering Company, acting by and through its owner, Mr. Uel Stephens, Jr. , hereinafter called "Lessee, " do hereby covenant and agree as follows: 1. For and in consideration of the prompt and timely payment of the rentals set out herein and the true and faithful performance oy Lessee of its promises, covenants and obligations hereunder, Lessor hereby leases unto Lessee and Lessee hereby accepts for the term and subject to the provisions hereof, the following de- scribed real property at Meacham Field in Fort Worth, Tarrant County, Texas: An area containing 3,120 square feet of ground space located on the west side of Meacham Field, said area being more particularly described in the Field Notes attached hereto as Exhibit "A" and shown in red on the plat attached hereto as Exhibit "B". Both exhibits are incorporated herein by reference for all purposes inci- dent to this agreement. OFFICIAL RECORD CITY SECRETARY � FT. -155T11, TEX. 2. The primary term of this agreement shall be for a period of twenty-five (25) years, beginning January 1, 1981, and ending December 31, 2005. Within 180 days before the end of the primary term hereof, Lessee will have the option to lease said premises for an additional five (5) year period under similar terms and conditions then in effect for comparable property at Meacham Field. Within 180 days before the end of the first option period, Lessee will nave a second option to lease said premises for an additional five (5) year period under similar terms and condi- tions then in effect for comparable property at Meacham Field. 3. As consideration for the primary term of this lease agree- ment, Lessee promises and agrees to pay to Lessor a rental amount calculated at a rate of eight cents ($0.08) per square foot per year. Said rental amount shall be payable in equal monthly in- stallments, with the first such installment being due on or be- fore April 1, 1981, and a like payment shall be due on or before the first day of each succeeding calendar month throughout the primary term of this lease. Upon written notice from Lessor to Lessee delivered within 30 days prior to the end of each five (5) year period during the term of this Lease, Lessor shall have the right but not the duty to adjust the ground rental payable here- under to conform same to rentals then prevailing at the airport for comparable ground space, any increase in ground rental not to exceed twenty percent (20%) of the amount theretofore payable under the then expiring five (5) year period. As consideration for the terms of the option periods, if exercised, Lessee promises and agrees to pay to Lessor an annual rental at a rate equivalent to those rates per square foot per year in force at Meacham Field for similar property at the time the option period begins. 4. It is expressly understood and agreed that the above de- scribed premises are presently being leased to the FAA under City Secretary Contract No. 8248. It is a condition precedent to this 2 agreement that the FAA and the City of Fort Worth execute an agreement whereby the FAA relinquishes its rights and privileges to the above described premises. 5. Lessee covenants and agrees that it will use the described premises solely for airport and aircraft related purposes. 6. As part of the consideration herefor, Lessee covenants and agrees to construct, at Lessee's sole expense, a hangar and con- crete apron on said premises; that the hangar will contain a min- imum of 2,600 square feet of building space; and that Lessee will install and pay for all utilities servicing the premises. In addition, Lessee agrees to construct, at its sole expense, an asphalt taxiway which will connect the hangar site to Taxiway V. Lessee covenants and agrees that all construction performed hereunder shall be completed within ninety (90) days of the com- mencement of this lease at an estimated cost of Thirty Thousand and No/100 Dollars ($30,000.00) . All improvements hereunder shall be constructed in accor- dance with plans and specifications approved by the Director of Public Works of the City of Fort Worth and shall be subject to his inspection and approval. It is specifically understood and agreed that the taxiway to be constructed hereunder will be located on City of Fort Worth property not leased hereunder, and that upon completion of said taxiway title to same shall vest in Lessor, subject to Lessee's right to use same as access to and egress from Taxiway V during the term of this lease agreement and any renewals thereof; pro- vided, however, that such access granted upon and along said taxiway shall be non-exclusive, and that such taxiway and light- ing may be used by the public generally. 3 7. Within thirty days after the approval of this agreement by the City Council of the City of Fort Worth, Lessee shall submit to Lessor final plans and specifications for the construction of the improvements and facilities contemplated hereunder. All plans, specifications and work shall be subject to the approval of the Director of Public Works and must conform to all local, State and Federal codes, laws, ordinances and regulations now in force or hereafter prescribed by authority of law. Lessee shall, at its sole cost and expense, obtain all necessary licenses and permits. Upon completion of construction, title to all permanent im- provements shall vest in Lessor. All other improvements of a non-permanent nature, and all trade fixtures, machinery and fur- nishings made or installed by Lessee may be removed from the leased premises at any time by Lessee except as otherwise pro- vided in this Lease. 9. The use and occupancy of the demised premises by Lessee shall be without cost or expense to Lessor. It shall be the sole responsibility of Lessee to keep, maintain, repair and operate the entirety of all the premises leased hereunder and all the improvements and facilities thereon at Lessee's sole cost and expense. Lessee shall maintain all the premises demised here- under, and the improvements and appurtenances thereto, in a pre- sentable condition consistent with good business practice and in a safe, neat, sightly and good physical condition. Lessee shall repair all damages to said premises caused by its employees, patrons, or its operation thereon; shall maintain and repair all equipment thereon, including any drainage installations, paving, curbs, islands, buildings and improvements; and shall repaint and reglaze its own buildings and facilities as necessary. 4 Lessee agrees that in the event it shall become necessary to make changes within the area covered by this Lease, of plumbing, wiring or similar installations, Lessee will promptly make such changes and installations at its sole expense, subject to the approval by Lessor and in accordance with all applicable Federal, State and municipal laws or regulations. Lessor, in its reasonable discretion, shall be the sole judge of the duality of maintenance. Upon written notice by Lessor to Lessee, Lessee shall be required to perform whatever maintenance Lessor deems necessary. If such maintenance is not undertaken by Lessee within ten (10) days after receipt of written notice, Lessor shall have the right to enter upon the demised premises and perform such maintenance, the cost of which shall be borne by Lessee. Upon completion of construction of the taxiway connecting the demised premises to Taxiway V, Lessor agrees to perform all maintenance and repairs necessary to keep said taxiway in good condition; provided, however, that Lessee shall be responsible for all maintenance and repairs to said taxiway made necessary by the acts or omissions of its officers, agents, employees, con- tractors, subcontractors, licensees or invitees, normal wear and tear excepted. 10. Lessee shall assume and pay for all costs or charges for utility services furnished to Lessee during the term hereof. Lessee shall have the right to connect to any and all storm and sanitary sewers and all water and public utilities at its own cost and expense, and Lessee shall pay for any and all service charges incurred therefor. 11. Lessee shall provide a complete and proper arrangement for the adequate sanitary handling and disposal away from the Airport 5 of all trash, garbage, and other refuse caused as a result of the operation of its business. Lessee shall provide and use suitable covered metal receptacles for all such garbage, trash and other refuse. Piling of boxes, cartons, barrels or other similar items in an unsightly or unsafe manner on or about the demised premises shall not be permitted. Lessee shall also provide and maintain in proper condition readily accessible fire extinguishers in a number and of a type approved by fire underwriters for the particular hazard involved. 12. Lessee shall not maintain upon the outside of any improve- ments or elsewhere on the demised premises any billboards or ad- vertising signs without the prior written consent of the Airport Manager. Flashing lighted signs shall be prohibited. 13. Lessee hereby gives, grants and pledges unto Lessor a con- tractual Landlord's lien upon all property, tangible or intan- gible, and property rights belonging to Lessee now or at any time nereafter placed in or upon the demised premises to secure the prompt payment of all rentals and fees and the performance of any or all covenants and obligations to be kept and performed by Lessee hereunder. 14. Lessee covenants and agrees to comply with all laws, fed- eral, state and local, including all ordinances of the City of Fort Worth, all rules and regulations of the Police, Fire and Health Departments, all rules and regulations established by the Airport Manager for the operation of Meacham Field, and all rules and regulations adopted by the City Council or the Aviation Advisory Board of the City of Fort Worth pertaining to the con- duct of airports owned or operated by the City as such laws, rules and regulations exist or may hereafter be amended or 6 adopted. It is understood and agreed that if Lessor calls the attention of Lessee to any such violation on the part of Lessee, or any of its officers, agents, employees, contractors, subcon- tractors, licensees or invitees, Lessee shall immediately desist from and correct such violation. 15. Lessee shall, at its own responsibility and expense, obtain and keep in effect all licenses and permits necessary for the operation of its business on the leased premises. 16. Lessor shall in no way be responsible for any property belonging to Lessee, its officers, agents, employees, contrac- tors, subcontractors, licensees or invitees which may be stolen, destroyed or in any way damaged, and Lessee hereby indemnifies and holds harmless Lessor, its officers, agents, servants and employees from and against any and all such claims. 17. It is expressly understood and agreed that Lessee shall operate hereunder as an independent contractor as to all rights and privileges granted herein, and not as an agent, representa- tive or employee of Lessor; that Lessee shall have exclusive con- trol of and the exclusive right to control the details of its operations on the leased premises and shall be solely responsible for the acts and omissions of its officers, agents, employees, contractors or subcontractors; that the doctrine of respondeat superior shall not apply as between Lessor and Lessee, its offi- cers, agents, employees, contractors and subcontractors; and that nothing herein shall be construed as creating a partnership or joint enterprise between Lessor and Lessee. 18. Lessee covenants and agrees to indemnify, hold harmless and defend at its expense, Lessor, its officers, agents, servants or 7 employees from and against any and all claims or suits for dam- ages or injury, including death, to any and all persons or pro- perty, of whatsoever kind or character, arising out of or inci- dent to the leasing of or the use, occupancy, or maintenance of the premises by Lessee, its officers, agents, servants, em- ployees, patrons, contractors, subcontractors, licensees or in- vitees; and Lessee does hereby assume all liability and respon- sibility for such claims or suits; and Lessee hereby indemnifies and nolds harmless the Lessor for any and all damage or destruc- tion to Lessor's property arising out of the acts or omissions of Lessee, its officers, agents, servants and employees. Lessee shall pay promptly when due all bills or charges for construction or maintenance as well as any other amounts due for material, services and labor furnished in connection herewith, and shall indemnify Lessor for non-payment of same. Lessee shall indemnify Lessor against any and all Mechanics and materialmen's liens or any other type of claims or liens imposed upon the premises demised hereunder arising as a result of Lessee's conduct or in- activity. 19. Lessee covenants and agrees to furnish City with a certifi- cate of insurance as proof that it has secured and paid for a policy of public liability insurance covering all public risks related to the leasing, use, occupancy, maintenance, existence or location of said premises. The amounts of such insurance shall not be less than the maximum liability which can be imposed on the City of Fort Worth under the laws of the State of Texas. At present, such amounts shall be as follows: Property damage, each occurrence $300,000 Personal injury or death, each occurrence $300,000 with the understanding of and agreement by Lessee that such in- surance amounts shall be revised upward at the Lessor's option 8 and Lessee will so revise such amounts within thirty (30) days following notice to Lessee of such requirements. 20. During the full term of this Lease, Lessee shall, at its sole cost and expense, cause all improvements constructed on the demised premises to be kept insured to the full insurable value thereof against the perils of explosion, fire and like perils. Said insurance shall be procured from a company authorized to do business in the State of Texas and satisfactory to Lessor, and Lessee shall provide evidence satisfactory to Lessor that such coverage has been procured and is being maintained. The proceeds of any such insurance paid on account of any of the perils aforesaid shall be used to defray the cost of repair- ing, restoring or reconstructing said improvements, as necessary in the opinion of the Lessor. Property insurance policies required by this paragraph shall contain waiver of subrogation endorsements and shall contain a provision that no change, cancellation or renewal of such insur- ance shall take effect until at least 30 days after notice there- of in writing has been delivered to Lessor. 21. This Lease shall be subject to cancellation by Lessor in the event Lessee shall: 1) Be in arrears in the payment of the whole or any part of the amounts agreed upon hereunder for a period of fifteen (15) days after the time such payments become due. 2) Make a voluntary or involuntary assignment for the benefit of creditors. 3) File a voluntary petition in bankruptcy. 4) Abandon the demised premises. 5) Fail to replace any improvements by Lessee which have been destroyed, within six (6) months from the date of such destruction, or, 6) Default in the performance of any of the covenants and conditions required herein. In any of the aforesaid events, Lessor may forcibly, if necessary, reenter and take immediate possession of the demised 9 premises and remove or seize Lessee's effects under the landlord's lien granted to secure performance of Lessee's obligations hereunder without being deemed guilty of any nature of trespass. This lease, or a copy hereof, shall be sufficient warrant for any person. Upon reentry by Lessor under this paragraph, this Lease shall terminate. All rental due hereunder shall be payable to said date of termination. Failure of Lessor to declare this Lease terminated upon the default of Lessee for any of the reasons set out shall not oper- ate to bar or destroy the right of Lessor to cancel this Lease by reason of any subsequent default or violation of the terms here- of. 22. During the time of war or national emergency, Lessor shall have the right to lease the landing area of any part of said Airport to the United States Government for military or naval use. If any such lease is executed, any provisions of this in- strument which are inconsistent with the provisions of the lease to the Government shall be suspended. -Nothing contained in this lease shall prevent Lessee from pursuing any rights which Lessee may have for reimbursement from the United States Government for the taking of any part of this leasehold or for any loss or dam- age caused to Lessee by the United States Government. 23. Lessee further agrees and covenants that it will, at the end of the terra of this lease, peaceably deliver up unto Lessor the demised premises and all appurtenances or improvements thereon in a good state of repair, as aforesaid, and vacant, unencumbered and in good and tenantable condition. 24. Lessee covenants and agrees that it shall have no power to do any act or make any contract that may create or be the founda- tion for any lien, upon the property or interest in the property of the Lessor, and any such contract or lien attempted to be created shall be void. Should any purported lien be created or 10 filed, Lessee, at its sole cost and expense, shall liquidate and discharge same within ten (10) days next after filing thereof; and should Lessee fail to discharge the same, such failure shall constitute a breach of the covenant herein. 25. Lessee covenants and agrees that it shall not sublet or assign all or any part of its rights, privileges or duties under this lease agreement without the prior written approval of the Airport Manager, and any attempted assignment without such prior written approval shall be void. 26. In any action brought by Lessor for the enforcement of the obligations of Lessee, Lessor shall be entitled to recover in- terest and reasonable attorney's fees. 27. Lessee agrees to pay any taxes or assessments which may be lawfully levied against Lessee's occupancy or use of the demised premises or any improvements or property placed thereon as a re- sult of Lessee's occupancy. 28. This lease shall be subordinated to the provisions of any existing or future agreement between Lessor and the United States relative to the operation or maintenance of the Airport, the exe- cution of which has been or may be required as a condition prece- dent to tne expenditure of Federal funds for the development of the Airport. 29. Notices to Lessor provided for herein shall be sufficient if sent by registered mail, postage paid, addressed to Airport Manager, Meacham Field, Fort Worth, Texas 76106, and notices to Lessee shall be sufficient if sent by registered mail, postage prepaid, addressed to Texas Aviation Engineering Company, Meacham 11 FIELD NOTES FOR TEXAS AVIATION ENGINEERING COMPANY LEASE SITE FORT WORTH MUNICIPAL AIRPORT MEACHAM FIELD A tract of land out of the T. Hicks Survey, and also being a portion of a tract conveyed to the City of Fort Worth by deed recorded in Volume 1615, Page 292, Deed Records, Tarrant County, Texas, also 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 the most westerly southwest corner of Meacham Field, THENCE: North 2,075.63 feet, and east 1,350.8 feet to the point of beginning and the south- east corner of herein described Lease Site, the coordinates of said beginning point are: X = 2,041,977.50, Y = 418,068.78; THENCE: South 86 degrees 48 minutes 16 seconds west 52.0 feet to the southwest corner of herein described Lease Site; THENCE: North 3 degrees 11 minutes 44 seconds west 60.0 feet to the northwest corner of herein described Lease Site; THENCE: North 86 degrees 48 minutes 16 seconds east 52.0 feet, to the north- east corner of herein described Lease Site; THENCE: South 3 degrees 11 minutes 44 seconds east 60.0 feet to the place of beginning and containing 3,120.0 square feet of land more or less. PUBLIC WORKS DEPARTMENT JOHN L. JONES, P.E. , CHIEF ENGINEER EPD:tm 2-2-81 Field, Fort Worth, Texas 76106, or to such other addresses as the parties may designate to each other in writing from time to time. 30. The venue of any action brought on this contract shall lie in Tarrant County, Texas. 31. This written instrument constitutes the entire agreement by the parties hereto concerning the demised premises, and any prior or contemporaneous, oral or written agreement which purports to vary from the terms hereof shall be void. IN WITNESS WHEREOF, the parties hereto have executed this agreement on this day of A.D. 1981. CITY OF FORT WORTH TEXAS AVIATION ENGINEERING COMPANY City Manager Owner � `- ATTEST: ATTEST: I-y -11—� 'a-�) L secretary APPROVED AS TO FORM AND LEGALITY: City Attorney APPROVED BY CCOUNCIL City Secretary 6`ro Date 12 SCALE: I"z30' I T.C.J.C. LEASE POB X-2,041,977,50 ' Y• 416,069.76 r S 3011'4,;� 20.0' I 60.0 1 I TEXAS AVIATION v a ENGINEERING CO. o I 0 °7 (0 3,120.0 SO.FT• U) 0 I m W r z rn r � r 60.0' f r N301144"W, rf r r r r r r r 1 r r r r F.F.A. LEASE 7r � r f � r ! f f r PLAT SHOWING TEXAS AVIATION ENGINEERING CO. LEASE MEACHAM FIELD 2-2-81 bra 30' MMP D-I 137 City of Fort Worth, Texas Mayor and Council Communication DATE REFERENCE SUBJECT:New Lease - Texas Aviation PAGE NUMBER 12/16/80 **C-5442 Engineering Co. - Meacham Field Iof 2 For many years, Mr. Uel Stephens, Jr. has through his wholly owned company, Texas Aviation Engineering Company, leased office space in the Meacham Field Terminal Building. Mr. Stephens is engaged in aircraft design and modification. He currently rents a section of hangar space in the Butler - South hangar. Mr. Stephens proposes to build a 52' x 50' hangar on a section of land located northwest of the Tarrant County Junior College hangar on the west side of Meacham Field. The proposed lease site measures 52' x 60' (3,120 square feet) which will accommodate the 2,600 square foot hangar with a 10' concrete apron in front. Mr. Stephens will, at his expense, construct an asphalt taxiway to connect the hangar site to Taxiway V and install utilities. Term of the 25-year lease will begin January 1, 1981 and end December 31, 2005. The lessee will have the option at the expiration of the primary term to lease the facility for two five-year terms at the rates then in effect for comparable property. Rental rate will be $.08 per square foot per year for a total annual revenue of $249.60. The rental rate will be subject to adjustment at the end of each five-year period to the rate then in effect for comparable area on the airport but not to exceed 20% over the amount paid during the preceeding five-year period. The lessee will have 90 days to complete construction of the improve- ments, therefore, rental payments will begin April 1, 1981. Mr. Stephens expects to expend approximately $30,000 on the improvements. The proposed lease site is located within the area now designated for use by the Federal Aviation Administration (FAA) for its Remote Receiver Station (City Secretary Contract No. 8248, Department of Transportation No. DOT-FA 76SW-1011) . FAA has agreed to delete the 3,120 square feet from the Remote Receiver Station site and has prepared an amendment to its lease. The FAA paid no rental fee for the site, therefore the City of Fort Worth will suffer no loss of revenue. At its meeting on December 8, 1980, the Aviation Advisory Board unanimously recommended that the City Council approve: (1) A new lease to Texas Aviation Engineering Company under the terms described above; and, (2) An amendment to the FAA-Remote Receiver Station lease to delete 3,120 square feet of land. DATE REFERENCE SUB.IECT: New Lease - Texas Aviation PAGE NUMBER $ 12/16/80 **C-5442 Engineering Co. - Meacham Field 2 of 2 Recommendation It is recommended that the City Council: 1) Authorize the City Manager to enter into a new lease with Texas Aviation Engineering Company; and, 2) Execute an amendment to the Federal Aviation Administration - Remote Receiver Station lease deleting, 3,120,,-square feet of land. MCM:jc SUBMITTED FOR THE CITY MANAGER'SDISPOSITION BY COUNCIL: PROCESSED BY ��� OFFICE BY: , ❑ APPROVED ORIGINATING Barry Hall ❑ OTHER (DESCRIBE) DEPARTMENT HEAD: CITY SECRETARY FOR ADDITIONAL INFORMAgON Hall 624-1127 CONTACT: Y DATE