HomeMy WebLinkAbout7528RESOLUTION NO. 7528
A RESOLUTION APPROVING A HANGAR GROUND LEASE AGREEMENT
BETWEEN PUEBLO, A MUNICIPAL CORPORATION, AND CLIFFORD HOYLE,
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 Clifford Hoyle, covering the lease of land located
at Pueblo Memorial Airport General Aviation Hangar Development Area, 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.
Introduced December 12, 1994
ATTEST:
�vv
Ch Clerk
B CHRIS WEAVER
Councilperson
APPROVED:
�' a dent of City Council
HANGAR GROUND LEASE
THIS LEASE, made and entered into this 12th day of Decen-ber , 19 A.D. between
the City of Pueblo, a municipal corporation, "Lessor ", and Clifford Hoyle "Lessee."
WITNESSETH:
WHEREAS, the Lessor is the owner and operator of the Pueblo Memorial Airport together with
the land on which said airport is situated, and
WHEREAS, Lessee is desirous of leasing a tract of ground on said Airport property for the
purpose of constructing and occupying a new Hangar, approximately 70 ft. wide by 60 ft.
deep in size,
NOW THEREFORE, in consideration of the mutual covenants set forth herein, the parties agree
as follows:
1. Land Parcel
The Lessor hereby leases unto the Lessee and Lessee hereby leases from Lessor for the
term and upon the rental and conditions hereinafter stated, the real property described
in Exhibit "A ", attached hereto and made a part hereof, situated in the City of Pueblo,
State of Colorado. The attached Exhibit "B" consists of a diagram of the Hangar.
2. Term
A. The term on this Lease is for a period of thirty (30) years commencing
December 12, 1994 and ending December 12, 2024 unless sooner terminated
as herein provided. At the end of the thirty (30) year lease term, all
improvements made to the leased premises, including the Hangar, shall become
the property of the Lessor.
B. Lessor grants unto Lessee the right and option to extend the lease term for two
consecutive five (5) year periods immediately following the original thirty (30)
year lease term. Such option shall be exercised no later than ninety (90) days
before the end of the original term and the first extended term, as the case may
be. Exercise of such option to occupy, shall be in writing but in no event shall
Lessee be entitled to exercise this option, even though such notice be timely
given, unless Lessee shall have timely performed all of its obligations hereunder
and not be in default hereunder. The monthly rent for each of the two five (5)
year periods shall be one - twelfth (1/12) of an amount equal to ten percent
(10 %) of the mutually acceptable appraised fair market value of the leased
premises and all improvements, including the Hangar.
C. Appraised value shall be determined by a qualified appraiser paid for by the
Lessor. If the appraisal is not acceptable to the Lessee, then the Lessee may
at their option hire a qualified appraiser. If the Lessor and Lessee are unable to
agree on the value of the leased premises and all improvements, a third qualified
appraiser shall be hired to compare the first two appraisals and determine the
final and binding value to the leased premises and all improvements. The cost
of the third and final appraisal shall be shared equally between the Lessor and
Lessee.
HANGAR GROUND LEASE
3. Rental Rate and Other Fees
A. Lessee shall pay to the Lessor for the ground lease herein granted a sum of
5 54.67 per month being one - twelfth (1/12) of the initial annual rental fee during
the original term, payable in advance without notice, offset or deduction, and
shall be due on the first day of each month at the Director of Aviation's Office.
The commencement date of this lease, as set forth in paragraph 2, Term, shall
be the date upon which ground rental lease fees begin accruing. The initial
annual rental fee is calculated by multiplying the gross leased land area by $.0$
per square foot. The amount of rent the Lessee pays will be adjusted by using
the consumer price index for all urban consumers, CPI -U (all items 1982-
1984 =100). The rent shall be adjusted on the 10th and 20th anniversary of
the commencement date of this lease. The rent will be increased by a
percentage equal to the percentage increase in the CPI -U for the preceding 10-
year period over the comparable CPI -U for the first month of said 10 -year
period. However, this increase will not exceed 150% of the rent during the
preceding 10 -year period. Any rent overdue for more than thirty (30) days will
have an additional fee added to cover extra administrative costs. The additional
fee will equal ten percent (10 %) of the gross amount of all overdue rents. In
the event the Lessor is required to initiate any proceedings to collect any unpaid
rent from Lessee or to enforce any other provision of this Lease, Lessee shall
pay all of the Lessor's expenses in connection therewith, including reasonable
attorney's fees.
B. Lessee shall pay combined service fee for services and facilities now furnished
by the Lessor at the Pueblo Memorial Airport, namely: public street
maintenance, fire protection and street lighting based upon the amount
established by Lessor which is currently $297.50 per acre per year. The Lessor
may, from time to time, reduce, alter, or eliminate any or all of the services or
facilities presently being furnished and may modify, increase, or decrease the
annual combined service fee, therefore, and the manner by which it is
calculated, including making separate charges, therefore, provided (i) such
services and fee shall be non - discriminatory among other tenants and owners
of land at Pueblo Memorial Airport receiving such services and facilities then
being furnished and (ii) such fee shall be reasonable in relation to the Lessor's
actual cost and expense of furnishing the services and facilities then being
furnished. The Lessor's cost may include the cost of capital improvements
amortized over the useful life of the improvements. Only domestic waste
water shall be discharged from the leased premises to Lessor's sanitary sewer
system. Lessee shall be subject to the same restrictions, conditions, fees and
charges as other users of Lessor's sanitary sewer system.
4. Improvements and Use
A. Lessee shall cause to have erected upon the leased premises the hangar and
other improvements in accordance with plans and specifications approved by
Lessor. The hangar and other improvements shall be constructed in a good and
workmanlike manner and in accordance with the applicable ordinances and
building codes of the City of Pueblo. They shall be constructed pursuant to a
building permit issued by the Regional Building Department. Lessee agrees,
forthwith upon execution of this Lease, to take all steps and acts reasonably
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HANGAR GROUND LEASE
necessary or appropriate to secure such approval. In the event the hangar and
other such improvements are not substantially completed within six (6) months
after the commencement date of this lease, Lessor may, at its option, terminate
this lease by giving not less than one hundred twenty (120) days written notice
of its intent to terminate to Lessee.
B. In addition to constructing all Hangar improvements, Lessee shall cause all
utilities to be used by Lessee to be extended underground to the leased
premises within easements and locations to be designated by Lessor and the
Lessee shall be responsible for constructing and maintaining a concrete ramp
area in front of the Hangar in accordance with plans and specifications approved
by Lessor. This concrete ramp area must be designed for a minimum weight
bearing capacity of 12,500 pounds for single wheel aircraft and must be built
to the width of the Hangar door opening, less the area required for the Hangar.
Should development take place adjacent to the leased premises, the Director of
Aviation at his sole discretion may require Lessee to pave sections of the leased
premises to the full width of the leased premises. This concrete area must be
built so as to connect onto any adjacent ramp, taxiway, or other paved areas
in order that a continuous and safe pavement section results. It is the
responsibility of the Lessee to maintain the entire ramp area in a manner which
is safe and clean of debris so as not to cause danger or unsafe conditions for
taxiing aircraft and airport users.
C. The leased premises and the improvements to be erected and constructed
thereon shall be occupied by Lessee or its sublessees as a Hangar facility for the
storage of aircraft owned or leased by Lessee or sublessees and for such other
purposes directly related to such uses. Lessee and its sublessees shall have no
right to utilize said premises, or any improvement thereon, other than as
specifically allowed under this paragraph, and it is specifically understood that
the leased premises shall not be used for any commercial purpose including,
without limitation, an aviation fixed base operation or other commercial aviation
operation or the sale of aviation fuel.
D. Lessee's regular employees having valid and current A &P ratings, or Lessee
employing pilots with such ratings to fly as Pilot in Command on a regular basis,
may also perform routine maintenance on Lessee's aircraft. However, Airport
Rules and Regulations do not permit a certified aircraft mechanic not employed
by Lessee on a regular basis to perform aircraft maintenance services. No
aircraft service or maintenance shall be performed on the leased premises or in
the Hangar on aircraft not owned or leased by Lessee. Lessee shall secure
written prior approval from the Lessor for any variances to this paragraph that
may be desired.
E. Lessee grants to the Lessor the right to enter the leased premises and Hangar
to do what is necessary for the purposes of repairing, replacing and /or
maintaining any and all utility lines under the leased premises or Hangar which
serve other uses at the Pueblo Memorial Airport, it being understood that the
Lessor will repair, in a good and workmanlike fashion, any and all damage done
to the leased premises or Hangar as the result of work done hereunder.
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HANGAR GROUND LEASE
F. Lessee shall maintain the Hangar in accordance with the requirements and
regulations of the Lessor and Lessor's fire code. The Lessee shall be
responsible for all costs, fees, charges and penalties associated with the
discharge or release of any hazardous material (including petroleum products)
or mitigating the containment or removal of any contamination or hazardous
material (including petroleum products) on the leased premises or improvements
thereon which is caused by the Lessee, its officers, agents, or employees. It is
understood that the Lessee is not responsible for any conditions which may be
determined to have existed prior to the commencement date of this lease. The
storage and accumulation of flammables, explosive liquids, or solids, waste,
debris or other hazardous materials within the Hangar or adjacent to the Hangar
must be in an environmentally sound manner and comply with all Federal, State
and Local laws and regulations.
G. Lessee will not modify, alter, paint or improve the completed Hangar except to
the extent required to maintain its original state. Any additional modification,
painting or improvements must receive prior written approval from the Lessor.
H. Lessee shall not park or leave aircraft on the taxiways or on pavement adjacent
to the Hangar in a manner which interferes with or obstructs access to adjacent
hangars. Parking of automobiles will be permitted only in designated parking
areas or within the Hangar.
5. Maintenance Obligations
Lessee, at its expense, shall keep the improvements on the leased premises, including
the Hangar and utilities extended to the leased premises, in good repair and
maintenance, and in a safe, sanitary, orderly, and sightly condition.
6. Title to Improvements
It is hereby stipulated and agreed that the hangar and all improvements erected and
constructed on the leased premises are and shall be permanently and inseparably
attached to the leased premises and title to same shall be vested in the Lessee while
this lease is in effect but shall vest in the Lessor when this lease terminates for
whatever cause, provided, however, that Lessee may remove from the hangar
constructed on the leased premises tools and equipment used in conjunction with
maintenance of Lessee's aircraft, including, but not limited to, such items as
compressors, cranes, and lift, so long as Lessee repairs any damage to the hangar
occasioned by such removal and does not cause any structural damage or remove
items permanently attached to the hangar.
7. Right of First Refusal
If Lessee desires to sell the hangar and improvements during the term of the lease, the
Lessee will offer to the Lessor the right of first refusal to purchase the hangar and
improvements. If the Lessor elects not to purchase the hangar and improvements, the
Lessor shall not unreasonably withhold the transfer of the lease to an acceptable third
party.
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HANGAR GROUND LEASE
8. Si ns:
Lessee shall not erect, paint or maintain any signs whatsoever upon the leased
premises without first securing the written consent of the Lessor. Any such signs shall
comply with all ordinances and regulations of the Lessor or standards which might be
developed by the Department of Aviation. Only one identification sign, logo, or name
may be permitted on the exterior of the Hangar.
9. Right of Inspection
The Lessor reserves and retains for its officers, employees and authorized
representatives the right to enter the leased premises during reasonable business hours,
and after prior notice, for the purpose of inspecting and protecting the leased premises
and Hangar, and of doing any and all things which the Lessor may deem necessary for
the proper general conduct and operation of the Pueblo Memorial Airport, and in the
exercise of the Lessor's police power.
10. Taxes and Licenses
Lessee covenants and agrees to pay promptly all valid taxes and other government
charges of whatever nature assessed against or applicable to Lessee or Lessee's
operation on the leased premises. Lessee also covenants and agrees not to permit any
mechanic's or materialman's lien to be foreclosed upon the leased premises or
improvements thereto and thereupon, or any part or parcel thereof by reason of any
work or labor performed or materials furnished by a mechanic or materialman. Lessee
further covenants and agrees to pay promptly when due all bills, debts and obligations
incurred by it in connection with its operations on the leased premises, and not to
permit the same to become delinquent and to suffer no lien, mortgage, judgment or
execution to be filed against the leased premises or improvements thereon which will
be in any way an impairment of the rights of the Lessor under this Lease Agreement.
If Lessee be adjudged bankrupt in any District Court of the United States having
jurisdiction, Lessor may, at its option, terminate this Lease Agreement.
11. Indemnification
Lessee assumes the risk of loss or damage to the Hangar and its contents, whether
from windstorm, fire, earthquake, snow, water run -off, or any other causes
whatsoever. Lessee covenants and agrees that it will indemnify and save harmless
Lessor, its officers, agents and employees from all demands, claims, costs, causes of
action or judgments, and from all expenses that be incurred, in investigating or resisting
the same, including reasonable attorney fees, arising from or growing out of the
negligent acts or omissions of Lessee, its contractors, agents, members, stockholders,
employees, invitees, servants, subtenants, successors or assigns in connection with
its use or occupancy or their use or occupancy of any portion of the Pueblo Memorial
Airport, including the leased premises.
12. Insurance
A. At all times during the term of this Lease Agreement, and of any renewal or
extension hereof, Lessee agrees that it will, at its own cost and expense,
provide and keep in force a comprehensive public liability insurance policy which
HANGAR GROUND LEASE
includes personal injury and property damage with a combined single limit of no
less than $ 1,000,000. Lessee shall insure the Hangar in an amount equal to its
full insurable value naming the Lessor as an additional insured. Lessee shall
provide Lessor with copies showing proof of such insurance and subsequent
renewals or changes as might occur during the term of this lease. With respect
to any insured loss to the hangar or it's contents, including aircraft, Lessee
releases Lessor, it's officers, agents, and employees from any claim or liability
Lessee may have on account of such loss and waives any right of subrogation
which might otherwise exist in or occur to any person on account thereof.
B. Such policies shall provide that they may not be materially changed, altered, or
canceled by the insurer during its terms without first giving ten (10) days
written notice by certified or registered United States mail to the Lessor.
C. Lessee shall not violate the terms or prohibitions of any insurance policy herein
required to be furnished by Lessee.
D. In the event of partial or total destruction of the Hangar located upon the leased
premises by any casualty insured against, the proceeds of the aforementioned
insurance policy or policies shall be devoted exclusively first to the repair or
replacement of said Hangar with the excess, if any, remaining the property of
Lessee. Lessee shall not in any event be required to devote or expend in the
repair or replacement of the Hangar any sum or amounts apart from the
proceeds collected on the aforementioned insurance policy or policies.
13. Waivers
No provision of this lease may be waived except by an agreement signed by the
waiving party. A waiver of any term or provision shall not be construed as a waiver
of any other term or provision.
14. Removal of Equipment
Subject to the provisions of Section 6, hereof, all equipment and personal property
placed by Lessee at its expense in, on, or about the leased premises (other than
fixtures) shall remain the property of Lessee and Lessee shall have the right at any time
during the term hereof, when not in default hereunder, to remove all such equipment
and property; provided, however, that all property placed by Lessee at its expense, in,
on or about the leased premises and affixed to the realty so that same may not be
removed without material damage to the improvements thereto, shall not be removed
by Lessee at any time, but shall become the property of the Lessor upon the
cancellation or termination of this Lease Agreement as herein provided.
15. Surrender and Holding Over
Lessee covenants that at the termination or cancellation of this lease, Lessee will quit
and surrender the leased premises and improvements including the Hangar in good state
and condition, reasonable wear and tear expected. Lessee further covenants and
agrees that the leased premises and all fixtures, improvements, equipment and other
property brought, installed, erected, attached, or placed by Lessee in, on or about the
leased premises and which by and under the terms of this Lease Agreement are to
M.
HANGAR GROUND LEASE
remain on the leased premises as the property of the Lessor shall be in good usable
condition, reasonable wear and tear expected, and the Lessor shall have the right on
such termination to enter upon and take possession of the leased premises, with or
without process of law, without liability for trespass. Should Lessee hold over the use
of or continue to occupy the leased premises after the termination or cancellation of
this Lease Agreement, such holding over shall be deemed merely a tenancy for
successive monthly terms upon the same conditions as provided in this Lease
Agreement subject to termination upon thirty (30) days prior written notice.
16. Inconvenience During Construction
Lessee recognizes that from time to time during the term of this Lease Agreement it
will be necessary for the Lessor to initiate and carry forward extensive programs of
construction, reconstruction, expansion, relocation, maintenance and repair in order
that the Pueblo Memorial Airport and its facilities may be suitable for the volume and
character of air traffic and flight activity which will require accommodation, and that
such construction, reconstruction, expansion, relocation, maintenance, and repair may
inconvenience or temporarily interrupt its operations at the Pueblo Memorial Airport.
Lessee agrees that no liability shall attach to Lessor, its officers, agents, employees,
contractors, subcontractors and representatives by reason of such inconvenience or
interruption, and for and in further consideration of the premises, Lessee waives any
right to claim damages or other consideration thereof, provided, however, that this
waiver shall not extend to, or be construed to be a waiver of, any claim for physical
damage to property resulting from negligence or willful misconduct of the Lessor, its
officers, agents, employees, contractors, subcontractors and representatives.
17. Place and Manner of Payments
In all cases where Lessee is required by this Lease Agreement to pay any rentals, rates,
fees or other charges or to make other payments to Lessor, such payments shall be
made at the office of the Director of Aviation at the Pueblo Memorial Airport, or at such
other place as Lessor may hereafter designate by notice in writing to Lessee and shall
be made in legal tender of the United States and any check shall be received by Lessor
subject to collection. Lessee agrees to pay any bank charges made for the collection
of any such checks.
18. Assignments and Subletting
Lessee shall not assign, transfer, sublet or grant any concession to the leased premises
or to any space within the Hangar located on the leased premises or any of his rights
in this Lease Agreement, in whole or in part, without the prior written consent of the
Lessor, which consent shall not be unreasonably withheld. The foregoing
notwithstanding, Lessee may sublet space in the Hangar subject to the provisions of
this Lease.
19. Agreements with United States
This Lease Agreement is subject and subordinate to the terms, reservations,
restrictions, provisions, and conditions of the deed of conveyance from the United
States Government to the Lessor and of any other existing or future agreement
between the Lessor and the United States, relative to the use, operation or
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HANGAR GROUND LEASE
maintenance of the Pueblo Memorial Airport and its appurtenant facilities, the execution
of which has been or may be required as a condition precedent to the participation by
any Federal Agency in the extension, expansions, or development of said Airport and
facilities.
20. Cancellation or Termination
A. Lessor may cancel and terminate this Lease Agreement, and may repossess the
leased premises and the hangar and all improvements, with or without liability
in the event any installment of rent, or other payment provided for herein, is in
arrears, and remains unpaid for a period of thirty (30) days after the same is
due, upon given ten (10) days written notice to Lessee of its intention to so
terminate, at the end of which time all the rights of Lessee hereunder shall
terminate unless such payment, which shall have been stated in such notice,
shall have been paid within such ten (10) days; provided, however, Lessee will
be allowed only two (2) such notices which it may cure within any one (1)
calendar year. The third such notice in any one (1) calendar year shall be final
and shall cancel and terminate all of the rights hereunder of Lessee without any
right on the part of Lessee to cure such default after receiving such notice. In
like manner, upon thirty (30) days written notice, Lessor may cancel and
terminate this Lease Agreement and may repossess the premises in the event
of any other default of Lessee as to the terms of this Lease Agreement, unless
the default specified in such notice shall have been cured within the said thirty
(30) days, or, if impossible to be cured within such time, that good faith effort
has been commenced within such time to have the same cured and diligently
pursued to completion.
B. Further, if Lessee abandons the leased premises, Lessor may, at its option,
cancel and terminate this Lease Agreement, or may, without terminating the
Lease Agreement, enter upon and take possession of said parcel and all
improvements with or without process of law and without liability for trespass.
C. In the event that the Lessor defaults, other than for failure to pay rent, the
Lessee shall have 120 days from the date of such default to sell the Hangar and
all improvements to a third party under the conditions outlined in Section 7.
21. Notices
All notices required to be given to Lessor hereunder shall be in writing and be sent by
certified mail to Pueblo Memorial Airport, Administration Office 31201 Bryan Circle
Pueblo, Colorado 81001 All notices required to be given to Lessee hereunder shall
be in writing and sent by certified mail, addressed to: Clifford Hoyle, 44 Robertson Rd.
Pueblo, CO 81001 provided, that the parties, or either of them, may designate in
writing from time to time subsequent or supplementary persons or address in
connection with said notices. The effective date or service of any such notice shall be
the date such notice is mailed by Lessee or Lessor.
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HANGAR GROUND LEASE
22. Rules and Regulations
A. In addition to all other provisions of this Lease Agreement, Lessee agrees to
comply with all Federal, State, and Lessor's Rules and Regulations, and all
amendments, thereto, including Chapter 1 of Title III of the 1971 Code of
Ordinances.
B. Lessee, its officers, agents and employees shall faithfully observe all rules and
regulations affecting the use of the Pueblo Memorial Airport or motor vehicles
thereon or the use and occupancy of the leased premises, whether established
by the Director of Aviation, the City of Pueblo, the State of Colorado, or the
United States or agencies thereof and Lessee's use and occupancy of the leased
premises and improvements thereon are subject to all ordinances of the City of
Pueblo the same as though the Property and Pueblo Memorial Airport was
located within the jurisdictional limits of the City of Pueblo.
23. F.A.A. Lease Requirements
A. The Lessor reserves the right to develop, modify, change, improve or abandon
the Pueblo Memorial Airport or any part thereof, as it may determine in its sole
discretion, at any time, regardless of the desires or view of Lessee, and without
interference or hindrance from Lessee.
B. The 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. This Lease Agreement shall be subordinate to the provisions and requirements
of any existing or future agreement between the City of Pueblo and the United
States, relative to the use, development, operation, or maintenance of the
Airport.
D. Lessee agrees to comply with the notification and review requirements covered
in Part 77 of the Federal Aviation Regulations in the event any future structure
or building is placed for the leased premises, or in the event of any planned
modification or alteration of any present or future building or structure on the
leased premises.
E. It is understood and agreed that nothing contained in this Lease Agreement shall
be construed to grant or authorize the granting of an exclusive right within the
meaning of Section 308 of the Federal Aviation Act.
F. 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 leased premises, 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 or flight in the air, and for use of
said airspace for landing on, taking off from, or operating on or over the Pueblo
Memorial Airport.
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HANGAR GROUND LEASE
G. Lessee by accepting this Lease Agreement expressly agrees for itself, its
successors and assigns that it will not erect nor permit the erection of any
structure, building or object nor permit the growth of any tree on the leased
premises to a height not to exceed 22 feet above ground level. In the event the
aforesaid covenant is breached, the Lessor reserves the right to enter upon the
leased premises and to remove the offending structure or object and cut the
offending tree, all of which shall be at the expense of the Lessee.
H. Lessee by accepting this Lease Agreement 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 the landing and taking off of aircraft from the
Pueblo Memorial Airport or otherwise constitute a hazard to aviation. 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.
24. Miscellaneous
A. This Lease shall be binding upon and inure to the benefit of the parties hereto
and their respective heirs, personal representatives, successors and approved
assigns.
B. No waiver by the Lessor of any failure by Lessee to comply with any term or
condition of this Lease shall be or shall be construed to be a waiver by the
Lessor of any other failure by Lessee to comply with any term or condition of
this Lease Agreement.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed as of
the day and year first above written.
ATTEST:
LESSOR:
CITY OF PUEBLO, A MUNICIPAL CORPORATION
` By
i Clerk P esident of the City Council
APPROVED AS TO FORM:
City Attor
LESSEE:
rd Hoyle
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EXHIBIT "A"
LEGAL DESCRIPTION FOR LEASE PARCEL FOR HOYLE HANGAR
PUEBLO MEMORIAL AIRPORT
PUEBLO, COLORADO
A tract of land located in Section 25 of Township 20 S, Range 64 W of the Sixth Principle
Meridian, more specifically described as follows:
Beginning at the northwest corner of Section 25, thence S 75 °49' 09" E, 1666.99 feet to the
centerline at the west end of Runway 8L/26R, more specifically known as Station 0 +00;
Thence N 88 16' 36" E, 2,735.00 feet along the Runway centerline to a point;
Thence S V 43' 24" E, 1,730.00 feet, to a point 1,730 feet right of Runway 8L/26R Station
27 + 35.00, to the True Point of Beginning;
Thence N 88 16' 36" E, 80.00 feet;
Thence S 1' 43' 24" E, 102.50 feet;
Thence 88 16' 36" W, 80.00 feet;
Thence N 1 43' 24" W, 102.50 feet, to the True Point of Beginning.
Said lease parcel contains 8,200.00 square feet (0.1882 acres) more or less.
AMENDMENT TO LEASE
This Amendment is entered into as of the 11th day of May, 2017 ("Effective Date"), by and
between the City of Pueblo, Colorado, a Municipal Corporation ("Lessor"), and Clifford Hoyle,
and individual (Lessee).
WHEREAS, Lessor entered into a certain lease with Lessee dated December 12, 1994 ("Lease");
and
WHEREAS,the Lease was amended by the parties on June 9, 1997 ("Amendment"), as evidenced
by Resolution No. 8149; and
WHEREAS,Lessee failed to extend the term of the Lease for two consecutive ten(10)year periods
per Section 2(B) of the amended Lease, and is currently in a month-to-month tenancy under
Section 14 of the amended Lease; and
WHEREAS, in consideration for the terms of this amendment, Lessor waives Lessee's failed
extension and allows Lessee to extend the term per amended Lease Section 2(B);
NOW THEREFORE, in consideration of the foregoing recitals, and the promises and conditions
set forth below, the parties agree to amend the Lease as follows:
1. Lessor hereby extends the amended Lease for two consecutive terms of ten(10) years each
as if Lessee had met the time limits contained within Section 2(B) of the amended Lease.
2. A new Section 3(C) of the lease is hereby added to read:
Lessee shall pay rent to the Lessor for the ground lease herein granted a sum per month
equal to one-twelfth (1/12) of the renewed annual rent beginning on the first date of the
renewed term, payable in advance without notice, offset or deduction, and shall be due
quarterly on the first day of each quarter at the Director of Aviation's Office. The renewal
date of this lease shall be June 1, 2017. The renewed annual rent is $1,312.00 calculated
by multiplying the gross leased land area by $0.16 per square foot. The amount of rent the
Lessee pays will be adjusted based upon the consumer price index for all urban consumers,
CPI-U (all items 1982-1984=100). The renewed rent shall be adjusted on the 5th, 10th, 15th,
and 20th anniversaries of December 13, 2014. The rent will be increased by a percentage
equal to the percentage increase in the CPI-U for the preceding five-year period over the
comparable CPI-U for the first month of said five-year period. The renewed rent shall also
be adjusted each year past the 20th anniversary, where any month-to-month tenancy is held
pursuant to Section 14 of this Lease. The rent will be increased by a percentage equal to
the percentage increase in the CPI-U for the preceding year over the comparable CPI-U for
the first month of said year. Any rent overdue for more than thirty (30) days will have an
additional fee added to cover extra administrative costs. The additional fee will equal ten
percent(10%)of the gross amount of all overdue rents. In the event the Lessor initiates any
proceedings to collect any unpaid rent from Lessee or to enforce any other provision of this
Lease, Lessee shall pay all of the Lessor's expenses in connection therewith, including
reasonable attorney's fees.
3. The parties hereto further agree that nothing contained within this amendment alters or
modifies any other paragraphs or provisions of the Lease.
IN WITNESS WHEREOF the parties have executed this amendment as of the Effective Date.
ATTEST: CITY OF PUEBLO,
A MUNICIPAL CORPORATION
By By
Clerk City Manager
Printed Name Sam Azad
CLIFFORD HOYLE
By •&.ViettiPel A474
Printed Name G'GIFf'oPI) i,(01/4/L-6—
Title
9(0`IL-6Title