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HomeMy WebLinkAboutResolution - 2021-R0308 - Amendment No. 2 Lease Agreement - Airport 8.24.21Resolution No. 2021-R0308 Item No. 7.23 August 24, 2021 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock is hereby authorized and directed to execute and on behalf of the City of Lubbock, a Second Amendment to Lease Agreement by and betw the City of Lubbock and HMS International, Inc., in connection with certain concessions offe at the Lubbock Preston Smith International Airport, and related documents. Said Sea Amendment to Lease Agreement is attached hereto and incorporated in this resolution as if f set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on August 24, 2021 DANIEL M. POPE, MAYOR ATTEST: 'Q &.Z" x/"' Reb&c,a Garza, City Se et APPROVED AS TO CONTENT: Kelly Campbell, Director of Aviation FORM: City Attorney ccdocs/RES.Agrmt-HMS International Inc. July 20, 2021 Resolution No. 2021-R0308 SECOND AMENDMENT TO LEASE AGREEMENT This Second Amendment to Lease Agreement ("Amendment') is entered into on this, the 24th day of August ' 2021 by and between the City of Lubbock, Texas, a Texas municipal corporation ("Lessor") and Host International, Inc. ("Lessee"), collectively the "Parties". WHEREAS, Parties entered into a lease (the "Lease") dated February 25, 1999 (Resolution No. 6213) in connection with certain real property described therein and located at the Lubbock Preston Smith International Airport (the "Premises") for a term of seventeen (17) years (the "Term"), with an option to extend the term for an additional five (5) year period; and WHEREAS, the Parties by mutual agreement extended the Lease per its original terms until January 31, 2021; and WHEREAS, on January 26, 2021 the Parties amended the Lease to extend the term for one (1) additional year, and further modified the Rental Schedule (Resolution No. 2021-R-0029); and WHEREAS, due to the continuing uncertainty and persistence of the effect of COVID-19 on operations and concession sales at the Lubbock Preston Smith International Airport, the Parties desire to amend the Lease to permit the term to be extended one (1) additional year, and include an option to extend the term by one (1) additional year until January 31, 2024; and WHEREAS, the Parties desire that all other remaining terms and conditions set forth in the Lease remain in full force and effect. NOW THEREFORE, in consideration of the promises made herein, and for valuable consideration the receipt and sufficiency of which is hereby acknowledged, the Parties hereto agree as follows: 1. Article 11 of the Lease is amended by adding a new Section 2.01.01 to read as follows: "2.01.01 ADDITIONAL TERMS; OPTION TO EXTEND. This agreement may be extended upon the mutual written agreement of both Lessor and Lessee for two (2) additional one (1) year terms, expiring January 31, 2023, if so exercised. Thereafter, the Parties shall have the option of extending the term of the agreement by one (1) final additional year until January 31, 2024; provided, however, that to exercise this option, the Parties must agree In writing to do so no later than six (6) months prior to the end of the second extension year." 2. All other terms and conditions of the Lease shall continue in full force and effect for all purposes. CITY OF LUBBOCK, Lessor DANIEL M. POPE, Mayor Attest: -�QA&t� . tx—� Rebe oa Garza, City Se tary APPROVED AS TO CONTENT: Kelly�Cabell, Dlrect r of Aviation APPROVED atte , First Assistant City Attorney Host Intemational, Inc., Lessee A.WZ1, Jeffilf L. Mersch Assistant Secretary