HomeMy WebLinkAbout6105RESOLUTION NO. 6105
A RESOLUTION APPROVING A LEASE ADDE14DUM BETWEEN
PUEBLO, A MUNICIPAL CORPORATION A14D TRAVELAIRE
SERVICE, INC. AND AUTHORIZING THE PRESIDENT OF
THE CITY COUNCIL TO EXECUTE SAME
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that:
SECTION 1
The Lease Addendum dated October 26, 1987, a copy of which is
attached hereto and made a part hereof, by reference, by and
between Pueblo, a I9unicipal Corporation and Travelaire Service,
Inc. relating to consent to assignment for loan purposes, having
been approved as to form by the City Attorney, is hereby approved.
SECTION 2
The President of the City Council is hereby authorized to
execute the Lease Addendum for and on behalf of the City and the
City Clerk is directed to affix the seal of the City thereto and
attest to same.
SECTIO14 3
Resolution No. 5994 is hereby rescinded.
INTRODUCED: October 26, 1987
By ALLYN MIDDELKAMP
Councilman
ATTEST: APPROV
(
Cif Clerk President of the City Council
LEASE ADDENDUM
THIS LEASE ADDENDUM entered into the 26th day of October,
1987 by and between Pueblo, a municipal corporation (herein
"City ") and Travelaire Service, Inc., a Colorado corporation
(herein "Lessee "),
W I T N E S S E T H:
WHEREAS, City and Lessee entered into a Pueblo Memorial
Airport Operating Agreement and Land Lease dated January 26, 1987
for property therein described (herein "Lease "), and
WHEREAS, Lessee desires to finance the construction of a
building having a minimum of 6,000 square feet of net usable floor
area on the leased premises as required by the Lease (herein
"Building "), and
WHEREAS, paragraph 15 of the General Provisions of the Lease
prohibit Lessee from assigning its interest in the Lease without
the prior written consent of the City;
NOW, THEREFORE, in consideration of the foregoing and the
mutual promises herein contained, City and Lessee agree as
follows:
1. Subject to the provisions of this paragraph, the City
does hereby consent to Lessee assigning its leasehold interest to
United Bank of Sunset Park National Association, Pueblo, Colorado
(herein "Bank ") as collateral security for the repayment of a loan
from Bank to Lessee for the sole purpose of financing the
construction of the Building on the leased premises. City does
further consent to Lessee mortgaging or otherwise encumbering its
interest in the leasehold estate to Bank as security for the loan,
provided that the City's interest in and title to the leased
premises and leasehold estate shall not become subordinate or
subject to any such mortgage or encumbrance. In the event that
the Lessee so mortgages or encumbers the leasehold estate, City
agrees that upon default by Lessee under the terms of the mortgage
or other instrument of encumbrance (herein "Security Instrument "),
Bank may cause said Security Instrument to be foreclosed in any
lawful manner and acquire Lessee's title and interest in the
leasehold estate. Bank may assign Lessee's rights therein or
sublet the leasehold estate to a tenant approved in writing by the
City pending foreclosure and acquisition thereof, and thereafter
Bank may assign the leasehold estate, as a whole, to an assignee
or sublessee approved in writing by City, which approval shall not
be unreasonably withheld, but no other or additional assignment or
sublease shall be made without the prior written consent of the
City. Bank and any assignee or tenant of Bank pending foreclosure
and acquisition of the leasehold estate, approved as aforesaid,
shall be liable to perform the obligations imposed upon Lessee
under this Lease Addendum and the Lease only during the period
Bank, or such assignee or tenant has possession of the leasehold
estate. Bank and any assignee or tenant of Bank after foreclosure
and acquisition of Lessee's leasehold estate under the Security
Instrument shall be liable during the term of the Lease, as
modified by any lease addendums, to perform all of Lessee's
obligations thereunder unless excused therefrom by City in
writing. For the purpose of this paragraph, Bank means and
includes United Bank of Sunset Park National Association and any
subsequent holder of the loan.
2. This Lease Addendum incorporates the entire understand-
ing between the City and Lessee and no change, modification or
amendment thereto shall be binding upon the City unless embodied
in a written agreement and approved by resolution or ordinance of
the City Council of City.
3. This Lease Addendum shall be governed and construed
according to the laws of the State of Colorado and shall be
binding and inure to the benefit of the successors and assigns of
the City and Lessee.
4. The Lease as amended by this Lease Addendum shall remain
in full force and effect.
5. The Lease
hereto is hereby ca
Signed the day
ATTEST:
C Af Clerk
Addendum of April 27, 1987 between the parties
ncelled and terminated.
and year first above written.
PUEBL , A MUNICIPAL CORPORATION
,
BY a
Pre ident of the City Council
APPROVED AS TO FORM:
City Atto ,
TRAVELAIRE( SERVICE, INS .
ATTEST:
a
By 1
Seciretary Pres-i n "t V '
TJ 23.32 -2-