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HomeMy WebLinkAboutResolution - 608 - Lease Addendum #1 - TAC Inc - Storage Space, LIA - 09/11/1980ALA: c ti 'a 4/0 1.10 : - V t 11gBt st RESOLUTION #608 - 9/11/80 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock a Lease Addendum No: 1 and a Fixed Base Operator Agreement between the City of Lubbock and Texa; Air Center, Inc., attached herewith which shall be spread upon the minutes of. the Council and as spread upon the minutes of this Council shall constitute an( be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 11th day of September ,1980. ATTEST: Evelyn Gaffga, City Sec"etSry,, !Treasurer APPROVED AS TO CONTENT: MarvYn Coffee, Dir'or of Aviation APPROVED AS TO FORM: Angela r. Adams, Assistant City Attorney BILL McALISTER, MAYOR RESOLUTION #608 - 9/11/80 LEASE ADDENDUM NO. 1 WHEREAS, the City of Lubbock as Lessor and Quasar, Inc., currently Avtech Aviation, Inc., as Lessee entered into a Fixed Based Operator Agreement on September 25th, 1975 and a Supplemental Agreement #1; and Quasar, Inc./Avtech Aviation, Inc. thereafter assigned its interests under the Fixed Based Operator Agreement and Supplemental Agreement #1 to Texas Air Center, Inc. by way of an instrument dated April 10th, 1980; and WHEREAS, a portion of the property leased under said Fixed Based Operator Agreement and Supplemental Agreement #1 is no longer usable in accordance with the purposes of said Agreement because of clear zone restrictions, the Fixed Based Operator Agreement including Supplemental Agreement #l, is hereby amended by adding thereto Addendum No. 1 which shall read as follows: 24,400 square feet of the property leased to the Lessee under the Fixed Based Operator Agreement and Supplemental Agreement #1, such property being more particularly described in Exhibit A attached hereto, is hereby deleted from the terms and provisions of said Agreement and Supplement and the rental fees owed by the Lessee to the Lessor under said Agreement and Supplement shall be reduced accordingly. The Lessor, Lessee, and Sub -lessee are hereby released from all rights and liabilities under the aforementioned Agreement with respect to the above described property. Executed this 11th day of September , 1980. THE CI OF LUBBOCK TEXAS AIR CENTER, INC. ILL McALISTER, MAYOR ATTEST: . EVelyn Gaffga, ity §eAeIVTreasurer APPROVED AS TO CONTENT: Marvin Coffee, Di or of Aviation . r APPROVED AS TO FORM: LC.i G[ Angela Adams, Assistant City Attorney WILSON SURVEYING CO., INC. 1716 Avenue M Lubbock, Texas (806) 763-3388 79401 September 2, 1980 FIELD NOTES LUBBOCK REGIONAL AIRPORT Field notes on a 0.57 acre tract of land out of Section 28, Block A, Lubbock County, Texas and being more particularly described as follows: Beginning at a 3/8" iron rod set for the Southwest and beginning corner of this tract, whence the Southwest corner of Section 28, Block A bears South 89059'30'' West, 736.91 feet and South 0002'00" East, 3603.15 feet; Thence North, a distance of 125.0 feet to an 'x' marked on the concrete for the Northwest corner of this tract; Thence East, a distance of 199.2. feet to a point for the Northeast corner of this tract; Thence South. a distance of 125.0 feet to a point for the Southeast corner of this tract; Thence West, a distance of 199.2 feet to the place of beginning. Containinf 0.57 acres. CERTIFIED CORRECT: John N. Wilson Registered Public Surveyor t EXHIBIT A FOR LEASE ADDENDUM NO. 1 TA/fm #12,858-B WILSON SURVEYING CO., INC. 1716 Avenue M Lubbock, Texas (806) 763-3388 79401 September 5, 1980 FIELD NOTES Field notes on a 0.994 acre tract of land out of Section 28, Block A Lubbock County, Texas and being more particularly described as follows: Beginning at an "x" on concrete for the South -Northwest and beginning corner of this tract, whence the Southwest corner of Section 28, Block A bears South 89059'30" West, 1206.59 feet and South 0002'00" East. 3053.08 feet; Thence East, 90.0 feet to a 3/8" iron rod set.for a corner of this tract; Thence North, 115.0 feet to a nail and shiner set for the North -Northwest corner of this tract: Thence East, 120.0 feet to a nail and shiner, set for the Northeast corner of this tract; Thence South, 115.0 feet to a 3/8" iron rod, set for a corner of this tract; Thence West. 57.00 feet to a 3/8" iron rod, set for a corner of this tract; Thence South, 205.00 feet to a nail and shiner, set for the Southeast corner of this tract; Thence West, 133.0 feet to a nail and shiner, set for the Southwest corner of this tract; Thence North, 100.0 feet to a nail and shiner, set for a corner of this tract; Thence Ilest, 20.0 feet to a nail and shiner, set for a corner of this tract; Thence North, 105.00 feet to the place of beginning. ` GeMaining 0.994 acres. _ CERTIFIED CORRECT - John N. Wilson Registered Public Surveyor EXHIBIT "B" T-1014 ,.1 ° 1 3 . 179 RESOLUTION #608 - 9/11/80 FIXED BASE OPERATOR AGREEMENT THIS LEASE AGREEMENT made this llth day of September 1980 between the City of Lubbock, acting by and through its duly authorized city representative (hereinafter referred to as "Lessor") and Texas Air Center, Inc. under the laws of the State of Texas, with its principal office at Lubbock, Texas (hereinafter referred to as the "Lessee"). WITNESSETH WHEREAS, Lessor owns and operates the Lubbock International Airport, located in Lubbock County, Texas (hereinafter called the "Airport"), and WHEREAS, Lessor deems it advantageous to itself and to its operation of the Airport to lease unto Lessee the parcel of land described herein, together with certain privileges, rights, uses and interests therein, as hereinafter set out, and, WHEREAS, Lessee is a corporation primarily engaged in commercial aviation retail sales and the general activities of fixed base operation and aircraft sales, and, ' WHEREAS, Lessee proposes to lease on a net basis from Lessor certain ground area and to avail itself of certain privileges, rights and uses pertaining thereto, and, WHEREAS, Lessee has indicated a willingness and ability to properly keep, maintain, and improve said ground in accordance with reasonable standards established by lessor, NOW THEREFORE, ARTICLE I f PREMISES AND PRIVILEGES For and in consideration of the terms, conditions and covenants of this lease to be performed by Lessee, all of which Lessee accepts, Lessor does hereby demise and lease -unto -Lessee certain property (hereinafter called "demised premises"), and certain attendant privileges, uses and rights, as hereinafter specifically set out. A. Description of Land Area Leased 1. Land Area 43,165 square feet. Legal description contained in Exhibit "B" attached and made part hereof. The location of the leased premises is set forth on Exhibit "A" attached hereto and by this reference made a part hereof. B. PURPOSE. The purposes for which Lessee may use the premises described in paragraph 1 above are as follows: 1. Lessee may engage in the business of aeronautics, engine and aircraft repairs, modifications, sales and renting of aircraft, sales of aircraft engine parts and accessories, inspections, licensing, fabrication, aircraft components, flight instruction, storage of aircraft and equipment, airplane charter flights and local short flights and may operate at the Lubbock International Airport as a Fixed Base Operator. 2. Lessee may give flying instructions, provide pilots for planes for others, and carry passengers and freight for hire, subject to all appro- priate laws of the Federal Government, the State of Texas, the County of Lubbock, -Texas, and the requirements of all duly authorized governmental agencies. 3. Lessee shall have a non-exclusive right to sell aviation fuel, oil and other propellants or lubricants to the general public at said airport. ARTICLE II A. The original term of this agreement shall commence upon execution, and end on -the 31st day of March, 2001, a term of approximately twenty years and 6 months. Lessee shall have the option to extend this agreement for two five (5) year periods. Such option must be in writing ninety (90) days prior . to expirtrrion date of original term or expiration of the first five (5) yearf option. B. The parties hereto mutually agree that the rental rate will be adjusted upward or downward for each year beginning April 1, 1981, in direct proportion to the fj-uctuation in the U.S. Department of Labor, Bureau of Labor Statistics Cost of Living Index. For the purpose of computing all adjustments, the Bureau of Labor Statistics Cost of Living Index as of January 1, 1980, shall be construed as the base period. C. NATIONAL EMERGENCY. In the event the rights and privileges here- under are suspended by reason of war or other national emergency, the term of this lease shall be extended by the amount of the period of such suspension. ARTICLE III RENTAL AND FEES In consideration of the rights and privileges herein granted, Lessee shall pay to the City the following: A. A fuel flowage fee of four (4) cents per gallon of aviation fuel delivered to Lessee or its agents at Lubbock International Airport, excluding that sold or delivered by Lessee to a regularly certified airline under con- tract with the City of Lubbock as a part of the pecuniary consideration herefor. Lessor shall be entitled to collect and Lessee agrees to pay such fuel flowage fee, as determined by Lessor from time to time, for each gallon of aviation fuel delivered for Lessee's consumption on said airport excepting that portion which is specifically excluded, unless said flowage fee is paid by the supplier on behalf of Lessee. The aforesaid flowage fee, if not paid by the supplier, shall be due on the first day of the month succeeding that in which the aircraft fuels and lubricants are received by Lessee and shall be delinquent if unpaid before the fifteenth day of each month. It is understood and agreed that the total gallonage delivered to or purchased by Lessee, other than gasoline delivered to regularly scheduled airlines operating under contract with Lessor, may be reduced by an amount not to exceed two (2%) percentum in computing charges as a maximum loss allowance from any and all causes. B. Ground rental for the gross land area, i.e. 43,165 square feet as set forth in Article I, paragraph A, above, shall be as follows: (1) Ground rental for.24,400-square fee shall be at the rate of .0439 per square foot per year or as adjusted as outlined in Article II, B. above; (2) Ground rental for 18,765 square feet shall be at the rate of .055 per square foot per year or as adjusted -.z outlined in Article II, B. above. Ground rental shall be paid to' 1. Lessor by the Lessee monthly in advance on the rental due hereunder. Any inconsistencies in the square footage as set out in this section and the square footage as shown by Exhibit "B" of Article I, paragraph A, shall be resolved in favor of the latter. Such inconsistency being attributed to the ground rental rate of .055 per square foot per year as specified in Article III, paragraph B(2) above. C. Two Thousand Five Hundred Dollars ($2,500.00) is the established annual Fixed Base Operator's fee; however, other applicable ground rent, fuel flowage fee, and Fixed Base Operator's fees payable under other leases with the City shall be applied as satisfying the requirements of the Fixed Base Operator fee. -Amounts payable under this agreement shall be paid as follows: Monthly payments for ground rent and fuel flowage fee effective with the execution of this agreement are payable no later than the 15th day of the month following. Operators whose payment on rates and fees do not satisfy the minimum operators fee will pay monthly pro rata amount of $208.34 payable no later than the 15th day of each month. ARTICLE IV OBLIGATIONS AND RIGHTS OF LESSEE A. ASSIGNMENT, TRANSFER, PLEDGE Lessee shall not at anytime assign, transfer, pledge, or otherwise alienate this agreement or any interest herein, without the prior written consent of the City. B. SUBLEASING Lessee shall not sublease all or any part of the demised premises hereunder without the specific written approval of Lessor, such approval not to be unreasonably withheld. C. TAXES AND ASSESSMENTS Lessee agrees to pay all taxes and assessments levied on the premises and any other taxes or assessments in connection with its business which may be levied, promptly when due, and will promptly pay when due all charges for water, electricity and any other utilities used in connection with the operation of said fixed base operator. D. NON-DISCRIMINATION Lessee, his agents and employees will not discriminate against any person or. -class of persons -by reason of race, color, sex, age, creed or national origin in providing any service or in the use of any of its facilities provided for the public, in any manner prohibited by Part 15 of the Federal Aviation Regulations. The Lessee further agrees to comply with such enforcement pro- cedures as the United States might demand that the Lessor take in order to comply with the Sponsors' Assurances. _Lessee agrees to not discriminate against any employee or applicant because of race, creed, color, sex, age or national origin. The Lessee agrees to take affirmative action to insure that applicants are employed, and that employees are tested during employment without regard to their race, creed, color, sex, age or national origin. Such action shall include, but not be limited to employment, upgrading, demotion, or transfer, recruitment, layoff, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The Lessee will conduct its activities and operate its facilities in accordance with the requirements of Section 504 of the Rehabilitation Act of 1973 and will assure that no qualified handicapped person shall, solely by reason of his or her handicap be excluded from participation in, be denied the benefits of, or otherwise be subjected to discrimination, including discrimina- tion in employment, under any program or activity of the Lessee. E. PUBLIC BENEFIT Lessee agrees to operate the premises leased for the use and benefit of the public. 1. To furnish good, prompt, and efficient services adquate to meet all the demands for its services at the airport. 2. To furnish said service on a fair, equal, and non-discriminatory basis to all users thereof, and 3. To charge fair, reasonable and non-discriminatory prices for each unit of sale or service, provided that the Lessee may be allowed to make reasonable and non-discriminatory discounts, rebates, or other similar types of price reductions to volume purchases. F. NON-EXCLUSIVE It is understood and agreed that nothing herein contained shall be construed to grant or authorize the granting of an exclusive right within the meaning of Section 308(a) of the Civil Aeronautics Act. G. DEVELOPMENT OF AIRPORT . ---Lessee agrees that Lessor has the right to further develop or improve the airport as it sees fit, regardless of the desires or views of Lessee, so long as Lessee is not prevented from using and occupying the leased premises. H. RIGHTS OF OTHERS It is clearly understood by the Lessee that no right or privilege has been granted which would operate to prevent any person, firm or corporation operating aircraft on the airport from performing any services on its own aircraft with its own regular employees (including, but not limited to, main- tenance and repair) that it may choose to perform. I. OPERATION OF AIRCRAFT, COMPLIANCE WITH RULES AND REGULATIONS Lessee agrees that it will operate aircraft at all times in com- pliance with all applicable federal, state and local rules and regulations and complying with all applicable statutes, ordinances, rules and regulations affecting the use and operation of the hangar and airport. J. PUBLIC LIABILITY INSURANCE Lessee will carry and maintain Public Liability Insurance in companies licensed to do business in the State of Texas for the protection of the City of Lubbock and naming it as an insured insuring against all claims, losses, costs or expense arising out of injuries to persons whether or not employed by the Lessee, damage to property whether resulting from acts or omissions, negligence or otherwise of the Lessee or any of its agents, employees, patrons or other persons, and growing out of the use of the said airport premises by Lessee, such policies to provide for a liability limit on account of each accident resulting in a bodily injury or death to one person of not less than One Hundred Thousand Dollars ($100,000.00), a liability limit on account of each accident resulting in a bodily injury or death to more than one person of not less than Three Hundred Thousand Dollars ($300,000.00), and a liability limit of not less than One Hundred Thousand Dollars ($100,000.00) for each accident for property damage. Lessee shall furnish evidence to the City of Lubbock of continuance in force of said policies and said policies shall be so worded as to insure ten (10) days notice of cancellation or any modification of such policy to -the City of Lubbock. Said policies shall be subject to the approval of the City of Lubbock. K. HAZARD INSURANCE ---Lessee shall procure from a company authorized to do business in the State of Texas and keep in force hazard and extended coverage insurance upon the buildings located on the leased premises to 80% of the full insurable value thereof as set forth in individual lease agreement, and shall furnish Lessor with evidence that such coverage has been procured and is. being main- tained. L. INSPECTION OF BOOKS AND RECORDS Lessee shall maintain complete books and records of all transactions, sales and income resulting from its operation at Lubbock International Airport which books and records may be inspected at anytime during regular business hours by the City or its duly authorized representatives at Lubbock, Texas, upon reasonable notice to Lessee. In the event Lessee requests such inspection to be performed outside the Lubbock area, such request may be honored at the City's discretion, however, any and all expenses incurred by so doing shall be reimbursed by the Lessee. Lessee agrees to furnish facts and figures necessary to determine the amount to be paid City together with a fiscal year-end signed statement certified by a Certified Public Accountant that said figures are correct and properly stated. .M. CONDITIONS OF PREMISES: INSPECTION Lessee agrees that the premises under Lessee's control will be kept clean and free of all debris and other waste matter. The City shall have the right at all reasonable times to enter upon the premises for the purpose of inspecting the premises under Lessee's control. N. MAINTENANCE Lessee shall, at its sole cost and expense, maintain the demised premises and the buildings, improvements and appurtenances thereto, in a pre- sentable condition consistent with good business practice. Condition of leased premises at time of beneficial occupancy is considered the acceptable standard. Lessee shall repair all damages to said premises caused by its employees, patrons or its operation hereon; shall maintain and repair all equipment thereon, including any drainage installations, paving, curbs, islands, buildings and improvements; and shall repaint its own buildings as necessary. Lessor shall be the Bole judge of the quality of maintenance and upon written notice by Lessor to Lessee, Lessee shall be required to perform whatever reasonable maintenance Lessor deems necessary. If said maintenance is not -undertaken by Lessee within twenty days after receipt of written notice, _ �- _ Lessor shall have the right- to enter upon the demised premises and perform tl?e necessary maintenance, the cost of which shall be borne by Lessee. 0. UTILITIES Lessee shall have the right to connect to any and all storm and sanitary Sewers and water and utility outlets including metering devices at its own cost and expense; and Lessee shall pay for any and all service charges incurred therefor. P. TRASH, GARBAGE, REFUSE, ETC. Lessee shall provide a complete and proper arrangement for the ade- quate sanitary handling and disposal, away from the airport, of all trash, garbage and other refuse caused as a result of the operation of its business. Q. SIGNS Lessee may not erect or cause to be erected on leased premises any billboards or advertising signs without the prior written consent of the Lessor. R. INDEMNITY (1) Lessee agrees to hold the City free and harmless from loss from each and every claim, and demand of whatsoever nature made on behalf of or by any person or persons resulting from Lessee's operation and/or use of the leased premises and common areas owned by Lessor and used by the Lessees, its agents, servants, employees, and from all loss and damages by reason of negligence of the Lessee, its agents, servants, and employees. (2) Lessor agrees to hold Lessee free and harmless from loss from each and every claim, and demand of whatsoever nature made on behalf of or by any person or persons resulting from Lessor's operation and/or use of the Airport facilities outside of the leased premises by the Lessor, its agents, servants, employees, and from all loss and damages by reason of negligence of the Lessor, its agents, servants and employees. S. USE OF AIRPORT During the term of this lease, Lessee and its tenants shall have the free and non-exclusive use in common with others at the airport of all runways, ramps, parking areas and any and all public facilities available at the airport and the right of ingress to and egress from the above described premises which right shall extend to Lessee's customers, employees, guests, invitees, tenants and patrons. If during the term of this agreement, the use of the airport by ` Lessee ox -its tenants is temporarily suspended, restricted, or interfered with for a period of ten (10) days or more for reasons beyond the practical control P of the City in such manner as to substantially affect the use of the hangar or operation of aircraft by Lessee or its tenants, all fees during such period shall abate and the -term of the agreement shall, at the election of Lessee, be extended for an equivalent period of time. T. WORKMEN'S COMPENSATION Lessee shall furnish to the City of Lubbock satisfactory evidence that it carries Workmen's Compensation Insurance in accordance with the laws of the State of Texas. U. IMPROVEMENTS Lessee may make and construct additions, improvements and altera- tions to the property in accordance with plans and specifications submitted to and approved by the Director of Aviation. Any such additions, improvements or alterations made with the consent of the Director of Aviation shall be solely at the expense of the Lessee. Such additions or improvements shall be subject to all terms and conditions of this instrument. The Lessee agrees to hold the City harmless from Mechanic's and Materialman's Liens arising from any con- struction, additions, improvements, repairs or alterations effected by the Lessee. V. PARKING Lessee shall at its sole cost and expense construct adequate and suitable pavement areas for use by its customers for parking of aircraft and automobile parking for its employees, patrons, guests or invitees. W. VEHICULAR MOVEMENT Lessee will not permit the driving of vehicles by its employees, customers, guests or invitees on the apron, taxiways, or runways except specifically authorized vehicles. ARTICLE V OBLIGATIONS AND RIGHTS OF LESSOR A. SAFETY Lessor reserves the right to take any action it considers necessary to protect -the aerial approaches of the airport against obstruction, together with -the right to prevent Lessee from erecting or permitting to be erected any building or other structure on or off the airport, which, in the opinion of the Cityr-✓would limit the usefulness of the airport or constitute a hazard to - aircraft. B. MAINTENANCE OF PUBLIC AREA Lessor reserves the right, but shall not be obligated to Lessee, to maintain and keep in repair the landing area of the airport and all publicly owned facilities of the airport, together with the right to direct and control all activities of Lessee in this regard. C. STANDARDS Lessor reserves the right to establish reasonable standards for the construction, maintenance, alterations, repairs, additions or improvements of Lessee's facilities and leased premises. D. UTILITIES Lessor agrees to construct the necessary sewage facilities to serve Lessee where Lessee may connect at the edge of leased premises. E. SERVICE ROAD Lessor agrees to construct a public service road and permits Lessee to connect to said service road that will permit Lessee ingress and egress to its leased premises. F. TAXIWAY Lessor agrees to construct a connecting taxiway for the aeronautical use of Lessee's customers, patrons, employees, guests and invitees. A. TERMINATION BY LESSEE This agreement shall be subject to cancellation by Lessee in the event of the happening of any one or more of the following contingencies without liability to the City of Lubbock: 1. The permanent abandonment of the Airport as an air terminal. 2. The issuance by any court of competent jurisdiction of an injunction in any way preventing or restraining the use of the Airport and the remaining in force of such injunction for at least thirty (30) days. 3. The breach by the City of Lubbock of any of the terms, cove- nants or conditions of this agreement to be kept, performed and observed by the City of Lubbock, and the failure of the City of Lubbock to remedy such breach fora period of sixty (60) days after written notice from the Lessee of the existence of such breach. 4. The assumption by the United States Government, or any authorized agency of 'same, of the operation, control or use of the Airport and its faciVities in such a manner as to substantially restrict the Lessee from operating said Fixed Base Operator facilities, if such restriction is to continue or has continued for a period of three (3) months or more. B. TERMINATION BY LESSOR This Agreement shall be subject to cancellation by the City of Lubbock in the event of the happening of any one or more of the following contingencies: 1. If the Lessee shall file a voluntary petition of bankruptcy; or, if the proceedings in bankruptcy shall be instituted against it and it is thereafter adjudicated a bankrupt pursuant to such proceedings; or if a court shall take jurisdiction of Lessee and its assets pursuant to proceedings brought under the provisions of any federal reorganization act; or if a receiver for Lessee's assets is appointed; or if Lessee shall be divested of its rights, powers and privileges under this agreement by other operation of law. 2. If the Lessee shall abandon and discontinue the conduct and operation of said Fixed Base Operations. 3. If the Lessee shall default in or fail to make any payments at the time and in the amounts as required of it under this Agreement. 4. If the Lessee shall fail to perform, keep and observe all of the covenants and conditions contained in this Agreement to be performed, kept and observed by it. S. If the Lessee shall fail to abide by all applicable laws, ordinances and rules and regulations of the United States, State of Texas, City of Lubbock, or Director of Aviation of the City of Lubbock. City of Lubbock shall give written notice to Lessee to correct and cure such default, failure to perform or breach and if, within thirty (30) days from the date of such notice, the default, failure to perform or breach complained of shall not have been corrected in a manner satisfactory to the City of Lubbock, then and in such event, City shall have the right, at once and without further notice to Lessee, to declare this agreement terminated and to enter upon and take full possession of the leased area and, provided further that upon the happening of any one of the contingencies enumerated in Subsection (B)_(1) hereof, this agreement shall be deemed to be breached by Lessee and thereupon "ipso --facto" and without entry or any other action by P City of Lubbock the agreement shall terminate, subject to be reinstated only if such involuntary bankruptcy or insolvency proceedings, petition for or- ganization trusteeship, receivership or other legal act divesting Lessee of its right�,5_under this agreement shall be denied, set aside, vacated or termi- nated in Lessee's favor within thirty (30) days from the happening of the contingency. Upon the happening of said latter events, this agreement shall be reinstated as if there had been no breach occasioned by the happening of said contingencies, provided that Lessee shall within ten (10) days after the final denial, vacating or setting aside of such petition on the vacating, terminating or setting aside of such appointment, pay or discharge any and all sums of money which may have become due under this agreement in the interim and shall then remain unpaid and shall likewise fully perform and discharge all other obligations which may have accrued and become payable in the interim, and, Provided, further, that in the event that defaults, failure to per- form or breaches by Lessee of its obligations under this agreement to be performed, kept and observed by it shall recur from time to time, then upon written recommendation by the Director of Aviation to City of Lubbock, the City of Lubbock may terminate this agreement. City of Lubbock shall give written notice of such recommendation and termination to said Lessee and the agreement shall terminate within thirty (30) days from the date of said notice. The acceptance of rentals and fees by the City for any period or periods after a default of any of the terms, covenants, and conditions herein contained to be performed, kept and observed by Lessee shall not be deemed a waiver of any rights on the part of the City of Lubbock to cancel this agreement for failure by Lessee to so perform, keep or observe any of the terms, covenants or conditions hereof to be performed, kept and observed. No waiver by the City.of Lubbock or any of the terms of this agreement to be kept, performed and observed by the Lessee shall be construed to be or act as a waiver by the City of Lubbock or any subsequent default on the part of the Lessee. C. OWNERSHIP Within ninety (90) days after expiration of this agreement as herein provided, the Lessee shall have the option to remove all improvements, con- structed or placed thereon such as buildings, equipment, goods, chattels and fixtures belonging to it except pavement area constructed by Lessee. Lessee shall give City thirty (30) days written notice prior to expiration of Lessee's intent to exercise such option. In the event of the failure on the part of Lessee to exercise its option to remove from the premises such improvements, title'to such improvements shall vest in the City of Lubbock. Lessee cove- nants and agrees to pay all reasonable costs, attorney's fees and expenses that shall be incurred by the City of Lubbock in enforcing the covenants and conditions of this agreement,.in event the Lessee fails to pay expenses within thirty (30) days such property will be deemed abandoned and title will revert to the City; however, this in.no way relieves the Lessee of the debt incurred. In the event Lessor terminates this agreement for cause as contained in Article VI (B) above, or if Lessee discontinues Fixed Base Operation at anytime prior to expiration the City retains ownership to Lessee's improvements to the extent of the rentals due for the then remaining term. D. This lease shall be subordinate to the provisions of any existing or future agreement between the Lessor and the United States, relative to the operation and maintenance of the airport. ARTICLE VII BANKRUPTCY, RECEIVERSHIP OR INSOLVENCY If Lessee makes an assignment for the benefit of creditors, or if Lessee petitions or applies to any tribunal for the appointment of a trustee or receiver of Lessee under any bankruptcy, reorganization arrangement, insolvency, readjustment of debt, dissolution or liquidation of law of any jurisdiction, whether now or hereafter in effect; or if any petition or appli- cation is filed, or any such proceedings are commenced, against Lessee, or Lessee by any act indicates its approval thereof, consent thereto, or ac- quiescence therein, or any order is entered appointing any such trustee or receiver, or adjudicating Lessee bankrupt or insolvent, or approving the petition in any such proceedings, the City at its option may by notice in writing to Lessee 'declare this agreement terminated. ARTICLE VIII - NOTICE f Any required notice to the City provided for herein shall be suffi- cient if sent by registered or certified mail, postage prepaid, to the Director of Aviation, Route 3, Box 201, Lubbock, Texas, 79401, and any such notice to the LesseV-shall be sufficient if sent in the same manner addressed to Texas Air Center, Inc., Lubbock International Airport, Lubbock, Texas, or such other addresses as may be designated by the City or Lessee in writing from time to time. f ✓ e IN WITNESS WHEREOF, the parties have executed this agreement this lith 19 80 , by its duly authorized officers. day of September _ CITY OF LUBBOCK BY: BILL McAL ER, MAYOR ATTEST: 4E,ej4y�nGaWgaq,' City y-Tre�asure.T APPROVED AS TO CONTENT: Ma in Coffee, Dire �ofAv�iatio�n APPROVED AS TO FORM: Angela ams, Assistant City Attorney LESSSEE - TEXAS AIR CENTER, INC. ATTEST: Secretary BY: President � w _ J SUPPLEMENTAL AGREEMENT #1 ' Addendum to Fixed Base Operator Agreement dated 25th day of September , 19 75 , between AvTech Aviation and the Lubbock Regional Airport. WITNESSETH WHEREAS, Lessor owns and operates the Lubbock Regional Airport, located in Lubbock County, Texas (hereinafter called the "Airport"), and WHEREAS, Lessor deems it advantageous to itself and to its operation of the Airport to lease unto Lessee additional facilities described herein, and WHEREAS, Lessee is a corporation primarily engaged in commercial aviation retail sales and the general activities of fixed base operation and aircraft sales, and, WHEREAS, Lessee desires and has indicated a willingness to lease from Lessor additional property in conjunction with its existing Fixed Base Operator's Agreement NOW THEREFORE, ARTICLE I Lessor does hereby demise and lease unto Lessee certain property , together with improvements thereon '(hereinafter called "demised premises") as hereinafter specifically set out. A. Description of Premises Demised 1.61 Acres land known as Tract 3, containing 70,131.6 square feet, located north of old terminal building on West side of Airport. The location of the leased premises is set forth on Exhibit "A" attached hereto and by this reference made a part hereof. B. Rentals and Fees The ground rental as defined above shall be at the rate of $0.0398 per square foot per year. 1. Ground Rental - $232.60 per month The total monthly rental due as of October 1, 1976 - $232.60 ARTICLE lI A. The term of this agreement will run concurrent with the Fixed Base Operator Agreement herein above mentioned. B. All terms and conditions of Lessee and Lessor contained in the original Fixed Base Operator Agreement will apply. INWITNESS WHEREOF, the parties have executed this supplemental agreement #1 this day of 19 , by its duly authorized officers. ATTEST: CITY OF LUBBOCK By City Secretary-Treasurer Mayor APPROVED AS TO FORM: Bv--<7, City Attorney z ATTEST: LESSEE: AvTech Aviation Secretary • By Title President WILSON SURVEYING CO. 1716 Ave. M Lubbock, Texas October 6, 1976 FIELD NOTES Lubbock Regional Airport Tract 3 Field notes on a 1.61 Acre tract of land out of Section 28, Block A, Lubbock County, Texas and being more particularly described as follows: Beginning at a 3/8" iron rod for the Southwest and beginning corner of this tract, from whence the Southwest corner of Section 28, Block A bears South 89°59'30" West, 736.91 feet and South 0002100" East, 3603.15 feet; Thence North, 125.00 feet to a 3/8" iron rod for the Northwest corner of this tract; Thence East, 560.00 feet to a 3/8" iron rod for the Northeast corner of this tract, said iron rod also being 950.00 feet West of the North-South #�unWaY� Whence South, 950.00 feet West of and parallel to the North-South Runway, a distance of 125.00 feet to a 3/8" iron rod set for the Southeast corner of this tract; Thence West, 560.00 feet to the place of beginning. Containing 1.61 Acres. CERTIFIED CORRECT: John N. Wilson Registered Public Surveyor 14 r> �1 3 w 5GO.Q' -t^ V50. r L -- 4 r`PIWA!71 ICS V 11:9 v I � � vl e-W /.�9.Pt E W"" d rf' F ZOkA TWIS POwl-71415 S W. 4-8 ib C—^Z.SEG E,f?,a at-it A �►�5 �"� �# 70 jo b_ - { + ;,A fpj u► to ra r I J= I _ , � +Z-3' _ • Sr 14 r ri N {1 !1 zPkL , 1-- - - - - I Ln (A x . I J , c • Ci>rr, C] 4 c3-57 s dao 1 Y ti r 9st LA l W 300 � 1 nl, t tp N Ips fr' r w Z:�F� w