HomeMy WebLinkAbout7491RESOLUTION NO. 7491
A RESOLUTION APPROVING A LEASE AGREEMENT BETWEEN PUEBLO, A
MUNICIPAL CORPORATION, AND CALBRYLIS, INC., AND AUTHORIZING THE
PRESIDENT OF CITY COUNCIL TO EXECUTE SAME
Be it resolved by the City Council of Pueblo, Colorado, that:
SECTION 1
A certain Lease Agreement, a copy of which is attached hereto and made a part hereof by
reference, after having been approved as to form by the City Attorney, by and between the
City of Pueblo, a Municipal Corporation, and Calbrylis, Inc., relating to the rental of office
space in the Airport Terminal building, located at Pueblo Memorial Airport, be and the same
is hereby approved; subject to the conditions as set forth in said Lease Agreement.
SECTION 2
The President of City Council is hereby authorized to execute said Lease Agreement on behalf
of Pueblo, a Municipal Corporation, and the City Clerk shall affix the Seal of the City thereto
and attest the same.
SECTION 3
All net proceeds derived from said Lease Agreement will be used for the operation,
maintenance, and improvement of the Airport.
Introduced October 24, 19 9 4
ATTEST:
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By Fay Kastelic
Councilperson
APPROVED:
?PesY"enf Council
a
PUEBLO MEMORIAL AIRPORT
LEASE AGREEMENT
A Lease Agreement entered into this 2 V day of Qn 77'3,&U? 1994, between the City
of Pueblo, a Municipal Corporation, herein called "Lessor" and Calbrylis, Inc., herein called
"Lessee ",
WITNESSETH:
That in consideration of the payment of rent hereinafter provided and the keeping and
performance of each of the covenants and agreements of said Lessee hereinafter set forth,
said Lessor has and does hereby lease unto the said Lessee the following described premises
situated in the Terminal Building at the Pueblo Memorial Airport, herein called "Airport", in the
County of Pueblo, State of Colorado, to -wit:
Approximately 240 square feet of space in the Terminal Building.
To have and hold the same unto the said Lessee for a term of one calendar month, said term
automatically renewed each month unless terminated by either party by written notice
delivered at least thirty (30) calendar days prior to said termination, at and for a rental of
$ 200.00 per month, payable in advance on or before the tenth (10th) day of each month
throughout the term, at a place to be designated by the Lessor. Said rent is based at the rate
of $10.00 per square foot per year for floor space.
RIGHTS AND PRIVILEGES OF LESSEE
A. Lessee shall use the leased premises for a business office and for no other purpose.
Lessee shall not assign nor sublet the leased premises or any part thereof without the
prior written approval of Lessor.
B. Except as may be specifically authorized herein to the contrary, Lessee shall not
without the prior written approval of the Director of Aviation make improvements,
modifications, revisions, installation of signs or other alterations to the leased premises.
Costs of approved improvements, modifications, revisions, signs and alterations shall
be borne solely by Lessee and all such improvements, modifications, revisions or
alterations shall, upon expiration of the original term or any renewal term or prior
termination of this Lease for any reason, become and remain the property of the Lessor.
C. Lessee, its employees and invitees shall have the right of ingress and egress between
the main entrance of the Airport as the same now exists or may hereafter be relocated
and the leased premises over, upon and through such streets and no other as from time
to time shall be designated by the Director of Aviation. Driveways from existing streets
into the leased premises shall be located as designated by the Director of Aviation.
RIGHTS AND PRIVILEGES OF LESSOR
A. All rights not herein granted to the Lessee are reserved to the Lessor and nothing herein
contained shall be construed to grant or authorize the granting of an exclusive right
within the meaning of Section 308 of the Federal Aviation Act of 1958.
Lease Agreement 2
B. Lessor shall have full and unrestricted right to enter upon those portions of the Airport
occupied and leased herein by the Lessee, and Lessor, its agents, or representatives
shall be permitted to inspect the same at any reasonable hour.
C. Lessor reserves the right to maintain and keep in repair the landing area of the Airport
and all publicly owned facilities of the Airport, but shall not be obligated to the Lessee
for any failure to so maintain or keep in repair.
D. There is hereby reserved to the Lessor, its successors and assigns, for the use and
benefit of the public, a right of flight for the passage of aircraft in the airspace above
the surface of the premises hereby leased, together with the right to cause in said
airspace such noise as may be inherent in the operation of aircraft, now known or
hereafter used for navigation of or flight in the air, using such airspace or landing at,
taking off from, or operating on Pueblo Memorial Airport.
E. It is further understood and agreed that this Agreement is subject to the written prior
approval of the Federal Aviation Administration and that the provisions hereof cannot
be modified without prior written approval by said Federal Aviation Administration.
OBLIGATIONS OF LESSEE
A. Lessee shall, at its sole expense, maintain and keep the leased premises and any
improvements presently existing or hereafter constructed thereon in good condition,
appearance, and state of repair, normal wear excepted.
If Lessee should fail to keep and maintain the leased premises or improvements thereon
in such good order and repair as is reasonably required, Lessor may enter the leased
premises, without such entering causing or constituting a termination of the Lease, or
an interference with the possession of the premises by Lessee, and perform the
necessary maintenance or repairs to the leased premises to the condition required by
the Lessor, and the costs of such maintenance or repairs by the Lessor shall be paid by
Lessee to the Lessor in addition to the reserved rents.
B. Lessee agrees, except as may be otherwise provided in other contracts entered into
between the Lessor and Lessee, not to engage in any business at the Airport other than
that which is expressly authorized herein.
C. The Lessee agrees to indemnify, defend, and save the Lessor, its agents, officers,
representatives and employees, harmless from and against any and all penalties, liability
or loss including costs and attorney fees resulting from claims or court action, whether
civil, criminal or in equity, and arising directly or indirectly out of acts of the Lessee, his
agents, employees, or servants or through any injury or casualty occurring on the
leased premises.
D. Lessee shall maintain with insurance underwriters satisfactory to the Lessor, a standard
form policy or policies of comprehensive general public liability insurance with limits not
less than $500,000.00 for any one accident or for any one injury or death and
Lease Agreement 3
$100,000.00 property damage. Such policies shall name the Lessee and Lessor as the
insureds.
Lessee shall furnish a certificate from the insurance carrier or carriers showing such
insurances to be in full force and effect during the term of this Agreement or extentions
thereof. All said policies shall provide for a minimum of ten (10) days notice to the
Lessor in the event of cancellation, nonrenewal or material change in the terms thereof.
Lessee shall not hold, or attempt to hold, Lessor liable for any injury, including loss of
life, to any person, or for damage to any property while on the leased premises on the
Airport, irrespective of how such injury or damage may be caused or occasioned.
OBLIGATIONS OF LESSOR
A. Lessor shall furnish heat, air conditioning, and lighting on said premises.
B. The Lessor bi- annually will review its cost of providing utilities and services to the
Terminal and amend the rental base rate per square foot when warranted.
GENERAL CONDITIONS
A. The terms and conditions of this Lease and Lessee's rights hereunder are hereby made
subject to the provisions of Title III Chapter 1 of the 1971 Code of Ordinances of the
City of Pueblo and as same may be subsequently amended. In the event of conflict
between said Code of Ordinances and any provisions herein, said Code shall control.
B. The Lessee, as a part of the consideration hereof, does hereby covenant and agree, as
a covenant running with the land, that in the event facilities are constructed,
maintained, or otherwise operated on the said property described in this Lease for a
purpose for which a Department of Transportation program or activity is extended or
for another purpose involving the provision of similar services or benefits, the Lessee
shall maintain and operate such facilities and services in compliance with all other
requirements imposed pursuant to Title 49, Code of Federal Regulations, Department
of Transportation, Subtitle A, Office of the Secretary, Part 21, Non - discrimination in
Federally- assisted programs of the Department of Transportation -- Effectuation of Title
VI of the Civil Rights Act of 1964, and as said Regulations may be amended.
The Lessee, as a part of the consideration hereof, does hereby covenant and agree, as
a covenant running with the land, that (1) no person on the grounds of race, color, sex
or national origin shall be excluded from participation in, denied the benefits of, or be
otherwise subjected to discrimination in the use of the leased premises, (2) that in the
construction of any improvements on, over, or under the leased premises and the
furnishing of services thereon, no person on the grounds of race, color, sex, or national
origin shall be excluded from participation in, denied the benefits of, or otherwise be
subjected to discrimination, (3) that the Lessee shall use the leased premises in
compliance with all other applicable requirements imposed by or pursuant to Title 49,
Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the
Lease Agreement 4
Secretary, Part 21, Non - discrimination in Federally- assisted programs of the Department
of Transportation -- Effectuation of Title VI of the Civil Rights Act of 1964, and as said
Regulations may be amended.
That in the event of breach of any of the above non - discrimination covenants, Lessor
shall have the right to terminate this Lease and to re -enter and repossess said land and
the facilities thereon, and hold the same as if said Lease had never been made or
issued.
C. The Lessee agrees to comply with the notification and review requirements covered in
Part 77 of the Federal Aviation Regulations before construction of any future structure
or building upon the leased premises or before any modification or alteration of any
present or future building or structure situated on the leased premises is commenced.
D. Lessee shall furnish its services and accommodations on a fair, equal, and not unjustly
discriminating basis to all users thereof and it shall charge fair, reasonable, and not
unjustly discriminating prices for each unit or service, provided that the Lessee may be
permitted to make reasonable and non - discriminatory discounts, rebates or other similar
price reduction to employees or volume purchasers.
E. The Lessee by accepting this Lease expressly agrees for itself, its successors, and
assigns that it will not make use of the leased premises in any manner which might
interfere with landing and taking -off of aircraft from Pueblo Memorial Airport or
otherwise constitute a hazard. In the event the aforesaid covenant is breached, the
Lessor reserves the right to enter upon the premises hereby leased and cause the
abatement of such interference at the expense of the Lessee.
F. This Lease and all the provisions hereof are subject to all rights the United States
Government now has, or in the future may have, or acquire, affecting the control,
operation, regulation, re -entry upon and taking over of the said Airport including the
leased premises.
G. The Lessee shall observe faithfully all rules and regulations affecting use of the Airport,
whether established by the Director of Aviation, by the City or other political
subdivision having jurisdiction, by the State of Colorado or the United States, or
agencies thereof, including but not limited to rules affecting the operation of motor
vehicles upon, to and from the Airport.
H. The Lessee, and all officers, agents and employees of Lessee, hereby agree to be
bound by and subject to all the Police Ordinances of Pueblo, a Municipal Corporation,
at all times while on the Airport, whether acting in the course of Lessee's business or
otherwise, to all intents and purposes the same as though the leased premises were
located within the city limits of Lessor.
I. The Lessee represents that it has inspected the Airport and all its premises and facilities
and that it accepts the condition of same and fully assumes the risk incident to the use
thereof. The Lessor shall not be liable to the Lessee for any damages or injuries to the
Lease Agreement 5
property or personnel of the Lessee which result from hidden, latent or other dangerous
conditions on the Airport or leased premises.
DEFAULT HOLDOVER AND NON - PERFORMANCE CONDITIONS
A. That if, after the expiration of the term of this Lease, Lessee shall remain in possession
of the leased premises and continue to pay rent without any express written agreement
as to such holding over, then Lessee agrees that all terms and covenants of this Lease
shall remain in effect, except that Lessee shall be a tenant from month to month at a
monthly rental equal to 125% of the rent for the last month payable hereunder.
B. That if the Lessee shall be declared insolvent and bankrupt, or if any assignment of the
Lessee's property shall be made for the benefit of creditors or otherwise, or if Lessee's
leasehold interest herein shall be levied upon under execution, or seized by virtue of any
writ of any Court of Law, or a Trustee in Bankruptcy or a Receiver appointed for the
property of the Lessee, whether under the operation of the State or the Federal
Statutes, then and in any such case, the Lessor may, at his option, immediately retake
possession of said premises without the same working any forfeiture of any accrued
obligations of the Lessee hereunder.
C. That if the rent above reserved, or any part thereof shall be in default, or in case of a
breach by the Lessee of any of the covenants or agreements herein, the said Lessor
may declare this Lease terminated, and after the expiration of three (3) days from the
date of the service of a written notice to that effect, be entitled to the possession of
said premises without any further notice or demand. If the Lessor shall become entitled
to the possession of said premises either by the expiration of this Lease or by any
violation of any term or provisions as herein provided for, and the said Lessee shall
refuse to surrender and deliver up the possession of said premises, after the service of
said notice as aforesaid, then and in that event, the said Lessor may, without further
notice or demand, enter into and upon said premises, or any part thereof, and take
possession thereof and repossess them, and expel, remove, and put out of possession
the Lessee, using such help, assistance, and force in so doing as may be needful and
proper, without prejudice to any remedy allowed by law, available in such cases.
D. That in case said premises are left vacant and any part of the rent herein reserved be
due and unpaid, then the Lessor may, without in anywise being obligated to do so, and
without terminating this Lease, retake possession of said premises and rent the same
for such rent, and upon such conditions as the Lessor may think best, making such
changes and repairs as may be required, giving credit for the amount of rent so
received less all expenses of such changes and repairs, and said Lessee shall be liable
for the balance of the rent herein reserved until the expiration of this Lease.
E. In the event the Lease Agreement be terminated as herein provided, Lessor should have
and is hereby given a lien upon Lessee's equipment, fixtures, furniture, and inventory
located in or upon the leased premises for all rent, expenses, attorney fees, and costs
then due or to become payable by Lessee hereunder, and such lien may be enforced by
Lease Agreement 6
the taking and sale of such property in the same manner and as provided for the
disposition of collateral under the Colorado Uniform Commercial Code.
F. Lessee agrees to pay to Lessor all costs, including a reasonable Attorney Fee, incurred
by Lessor in recovering any rent or other money due and unpaid under the terms of this
Lease or to recover possession of the leased premises after termination hereof.
MISCELLANEOUS PROVISIONS
A. That no assent, expressed or implied, to any breach of any one or more of the
covenants and agreements hereof, shall be deemed or taken to be a waiver of any
succeeding or other breach.
B. That all covenants and agreements in this Lease contained shall be binding upon and
inure to the benefit of the heirs, successors, assigns and legal representatives of said
Lessor and said Lessee.
Executed at Pueblo, Colorado, the day and year first above written.
ATTEST:
APPROVED AS TO FORM:
City AttornKy
LESSOR:
City of Pueblo, a Municipal Corporation
By
esident of the City Council
LESSEE:
Calbrylis, Inc.
Calvin E. Repin i