01. 08/01/1989 to 09/30/1990 10/11/1989`COUN Ty
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BRANCH OFFICE CLERK OF THE CIRCUIT COURT BRANCH OFFICE 3117 OVERSEAS HIGHWAY MONROE COUNTY CE
P.O. BOX 379
CE MARATHON, FLORIDA 33050 500 WHITEHEAD STREET PLANTATION KEY, FLORIDA 33070
TEL. (305) 743-9036 KEY WEST, FLORIDA 33040 TEL. 1305) 852-9253
TEL. (306) 294.4641
M E M O R A N D U M
To: Peter Horton, ACA/Community Services
From: Rosalie L. Connolly, Deputy Clerk
Date: October 23, 1989
Subject: Resolution No. 569-1989
On October 11, 1989, the Board of County Commissioners adopted
Resolution No. 569-1989 authorizing execution of a Lease
Agreement with Federal Express Corporation concerning premises at
the Key West International Airport.
Attached are two certified copies of the subject Resolution and
two duplicate originals of the subject Lease Agreement, all of
which have now been executed and sealed on behalf of the County.
One set of documents should be sent to Federal Express
Corporation and the other set kept in your proper departmental
records.
Rosalie L. C nnolly
Deputy Clerk
Attachments
cc: Mayor M. Puto
Commissioner E. Lytton
County Attorney R. Ludacer
County Administrator T. Brown
Finance Director T. Medina
File
LEASE
THIS LEASE is made and entered into on the 11hJ day of
A,621e'r , A.D., 1989, by and between MONROE COUNTY,
a political subdivision of the State of Florida, Lessor, herein-
after referred to as "COUNTY" and FEDERAL EXPRESS CORPORATION,
Lessee, hereinafter referred to as "FEDEX."
WHEREAS, COUNTY owns an airport known as Key West Interna-
tional Airport, located in Key West, Monroe County, Florida,
hereinafter referred to as the "AIRPORT", and
WHEREAS, FEDEX is engaged in the business of air transporta-
tion of cargo, mail and other property, and
WHEREAS, FEDEX desires to obtain certain rights and privi-
leges in connection with the use of the airport facilities, and
the COUNTY is willing to grant and lease the same to FEDEX on a
non-exclusive basis, upon the terms and conditions hereinafter
stated.
NOW, THEREFORE, for and in consideration of the mutual
covenants and agreements herein contained, and other valuable
considerations, COUNTY does hereby lease unto FEDEX, and FEDEX
does hereby lease from COUNTY certain premises and facilities,
rights and privileges, as follows:
1. Premises County does hereby lease to FEDEX, and FEDEX
leases from COUNTY, the western portion, measuring fifty-four
feet by thirty feet (54' x 30') of the Air Cargo building pres-
ently located at the AIRPORT, and nine thousand five hundred
thirty-five (9,535) square feet of open land adjacent to the
building, as indicated on the drawing labelled as Exhibit "A" and
attached to, and made a part of, this Agreement.
2. Use of the Airport FEDEX shall be entitled to use, in
common with others authorized to do so, the airport facilities
and appurtenances, together with all equipment, improvements, and
services which have been or may hereafter be provided at or in
connection with the AIRPORT for common use, in the operation of a
business for the transportation of cargo, mail and other property
by air.
3. Term The term of this Lease shall be fourteen (14)
months, commencing August 1, 1989, and ending on September 30,
1990. FEDEX shall have the option to renew this Lease for
additional terms of one (1) year or more each, upon such terms
and conditions and rent as may be agreed to by the parties.
4. Rent During the term of this Lease, FEDEX shall pay to
the COUNTY, rent as follows:
(1) the amount of seven dollars and thirty-one cents
($7.31) per square foot, for the area of one thousand five
hundred sixty-six (1566) square feet, in the Air Cargo
building, for a total of eleven thousand, four hundred
forty-seven dollars and forty-six cents ($11,447.46) per
annum, plus
(2) the amount of thirty-six and three -tenths cents
($0.363) per square foot, for an area of nine thousand five
hundred thirty-five (9535) square feet, of open land
adjacent to the Air Cargo building, for use for loading,
unloading, and parking of automotive vehicles, for a total
of three thousand four hundred sixty-one dollars and
twenty-one cents ($3,461.21) per annum.
Such rent shall be paid in equal installments, each of which
shall be due and payable on or before the first day of each
calendar month during which this lease is in effect. Upon the
failure of FEDEX to pay any such installment when due, the COUNTY
will be entitled to charge and collect, and FEDEX will be ob-
ligated to pay, a late fee of two percent (2%) of any such
amount, if paid within thirty (30) days of the date due, and five
percent (5%) of any such amount, not paid within thirty (30) days
of the date due. Such late fees will be in addition to the
amount of rent due. The acceptance by the COUNTY of the overdue
rental installment plus applicable late fees shall cure what
would otherwise constitute a default by FEDEX under the terms of
this lease. The COUNTY at its option, however, may refuse a
proffered over due rental installment and late fees, declare a
11
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default, and proceed according to paragraph 15 of this lease. In
the event that any check, draft, or negotiable instrument by
which FEDEX has tendered any rent payment is returned to the
COUNTY, and not honored, whether for insufficient funds or other
reason, the COUNTY will be entitled to charge and collect, in
addition to any applicable late payment fees as provided above, a
fee of twenty-five dollars ($25.00) for such dishonored instru-
ment. Such penalty fee shall also be in addition to the amount
of rent due. The acceptance by the COUNTY of the rental payment
plus any applicable late fees and penalties following the receipt
of a dishonored instrument shall cure what would otherwise
constitute a default under the terms of this lease. The COUNTY
at its option, however, may refuse any proffered rental install-
ment and applicable late fees and penalties, declare a default,
and proceed according to paragraph 15 of this lease.
5. Security Deposit In addition to the rent payments as
provided above, FEDEX shall pay to the COUNTY, upon the date of
execution of this Agreement, an amount of twenty-five hundred
dollars ($2500.00), which the COUNTY will hold as a security
deposit. In the event of any breach, by FEDEX, of any of the
terms of this Agreement, including any failure to timely pay any
rent due, the COUNTY may draw upon the monies held by the COUNTY
as security, to pay and cover any amounts due and owing from
FEDEX.
6. Landing Fees Landing fees shall be computed as
follows:
$.55 per 1,000 pounds of approved maximum gross landing
weight. A minimum landing fee of $6.87 will be charged for
all aircraft weighing less than 12,500 lbs. gross landing
weight.
FEDEX shall report to the COUNTY not later than the loth day of
each month, FEDEX's Actual Revenue Trip Arrivals at the Airport
during the preceding calendar month, which shall include the
number and type of such arrivals. The number of arrivals so
operated, multiplied by the applicable approved maximum gross
3
landing weights for each type of aircraft, shall determine the
weight for which the monthly payment shall be made.
The term "approved maximum gross landing weight" for any
aircraft as used herein, shall be the maximum gross landing
weight approved by the Federal Aviation Administration for
landing such aircraft at the AIRPORT herein. FEDEX provides
service to Key West, Florida utilizing a Cessna 208 Caravan.
While this aircraft is owned by FEDEX, it is leased to and
operated by Mountain Air Cargo based in Denver, North Carolina.
As such, Mountain Air Cargo is responsible for all the operating
expenses realted to aircraft, including landing fees. In the
event Mountain Air Cargo is unable to satisfy its obligations,
FEDEX will assume the responsibility for ensuring all payments
and contractual agreements are maintained.
7. Lease Hold Improvements and Use FEDEX shall have the
right to occupy the western portion, measuring fifty-four feet by
thirty feet (54' x 30'), of the Air Cargo building, and an area
of nine thousand five hundred thirty-five (9,535) square feet of
open land adjacent to the Air Cargo building all as shown on
Exhibit "A". FEDEX may only utilize the leased building to
provide counter space for members of the public desirous of using
FEDEX's mail, cargo and package services and for the operation of
a business engaged in the transportation of cargo, mail and other
property by air. While premises are leased to FEDEX for parking,
FEDEX shall not park or place automotive vehicles in any space on
the premises unless it has been designated by the COUNTY for
parking. The COUNTY shall cooperate with FEDEX in designating a
reasonable number of parking spaces to accommodate FEDEX's
business traffic.
8. First Refusal Additionally, if during the term of this
lease, the eastern portion of the Air Cargo building as shown on
the drawing attached as Exhibit "A" becomes vacant, the COUNTY
shall first offer FEDEX an opportunity to lease such premises
upon the same rent, terms and conditions that FEDEX leases the
western portion of the Air Cargo building under this lease.
L
9. Common Areas FEDEX shall have the right to use, in
common with others, the AIRPORT space and facilities to permit
landing, taking off, taxiing, loading, unloading and servicing of
FEDEX aircraft, subject to reasonable rules and regulations of
COUNTY as to the use of such common spaces and facilities.
10. Right of Ingress and Egress FEDEX, its agents, employ-
ees, customers, suppliers, and patrons shall have the right of
ingress and egress to and from the leased premises, which shall
not be unreasonably restricted by COUNTY.
11. Utilities FEDEX shall be responsible for the payment
for electrical service, water service, trash removal service and
similar utility services as needed.
12. Assignment The premises leased hereunder may not be
sublet and this Lease may not be assigned without the written
consent of the COUNTY.
13. Maintenance of Premises FEDEX shall be responsible for
and shall properly maintain the leased premises, and upon the
termination of this Lease, shall leave the premises in, at least,
as good condition as at the time of the commencement of this
Lease, normal use and occupancy excepted.
14. Insurance FEDEX agrees to indemnify and save COUNTY
harmless from and against all claims and actions and expenses
incidental thereto, arising out of damages or claims for damages
resulting from the negligence of FEDEX, its agents, or employees
in the use or occupancy of the leased premises and the common
areas of the AIRPORT facilities by FEDEX. FEDEX shall carry and
keep in force Comprehensive General Liability Insurance coverage
with combined single limits for bodily injury and property damage
in the amount of One Million Dollars ($1,000,000.00); name the
COUNTY as an additional co-insured, and furnish COUNTY with
proper certificates certifying that such insurance is in force.
FEDEX shall carry its insurance coverages with insurance com-
panies authorized to do business in the State of Florida.
15. Default Unless the COUNTY has accepted a rental
installment after it has become due together with any applicable
late payments and penalties, the failure to pay rental install-
5
ments when due shall constitute a default under the terms of this
lease. The failure to pay any other charges or fees when due
under this lease shall constitute a default. Further, the
failure of FEDEX to perform any other of the covenants of this
Lease, which failure shall continue for a period of fifteen (15)
days after notice thereof is given to FEDEX in writing by the
COUNTY shall also constitute a default under the terms of this
Lease. In the event of a default, COUNTY may, at its option,
declare the Lease forfeited and may immediately re-enter and take
possession of the leased premises and this Lease shall terminate.
If it shall be necessary to employ the services of an attorney in
order to enforce its right under this paragraph, or to collect
any of its rentals, fees, or charges due, COUNTY shall be enti-
tled to reasonable attorney's fees.
16. Cancellation of Lease
COUNTY may cancel this Lease
agreement by giving FEDEX sixty (60) days advanced written notice
upon the happening of any one of the following events: the
appointment of a receiver of FEDEX assets; the divesting of FEDEX
lease hold estate by other operation of law; the abandonment by
FEDEX of air cargo transportation business at the AIRPORT for a
period of sixty (60) days. By the end of the sixty (60) day
notice period FEDEX shall have vacated the premises and the
COUNTY may immediately re-enter and take possession of the same.
If it is necessary to employ the services of an attorney in order
to enforce the COUNTY's rights under this paragraph, the COUNTY
shall be entitled to reasonable attorney's fees.
IN WITNESS WHEREOF, the parties hereto have caused this
Lease to be executed as of the day and year first above written.
(SEAL)
DANNY L. K• ■
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
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By
Mayor/Chairman
AFPWWD AS i0 FORM
AND LEGAL -SUFFICIENCY.
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Attarnry'� OffIrr
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(CORPORATE SEAL)
Attest:
Asst.ZU
Secretary
FEDERAL EXPRESS CORPORATION
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