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Item B24M C ounty of f Monroe ELj » °o � BOARD OF COUNTY COMMISSIONERS /� r i � �� Mayor George Neugent, District 2 The Florida. Ke Se y I Mayor Pro Tern David Rice, District 4 Danny L. Kolhage, District I Heather Carruthers, District 3 Sylvia J. Murphy, District 5 County Commission Meeting October 18, 2017 Agenda Item Number: B.24 Agenda Item Summary #3384 BULK ITEM: Yes DEPARTMENT: Airports TIME APPROXIMATE: STAFF CONTACT: Donald DeGraw (305) 809 -5200 none AGENDA ITEM WORDING: Approval of a lease agreement with Monroe County Sheriffs Office (MCSO) for a vacant parcel of property at the Florida Keys Marathon International Airport in the amount of $21,600.00 /yr for MCSO to construct a 7,200 sq. ft. shooting range facility for law enforcement/qualification purposes. ITEM BACKGROUND: MCSO has a need for a buildable parcel to construct a facility for law enforcement training /qualification purposes. A suitable location for this facility is available at Marathon Airport. PREVIOUS RELEVANT BOCC ACTION: N/A CONTRACT /AGREEMENT CHANGES: New STAFF RECOMMENDATION: Approval. DOCUMENTATION: MCSO shooting range Lease Agreement. MTH Appraisal Addendum (9 6 17) FINANCIAL IMPACT: Effective Date: 09/20/2017 Expiration Date: 09/19/2057 Total Dollar Value of Contract: one -time payment of $1,800.00 and then $21,600.00 /yr. Total Cost to County: none Current Year Portion: Budgeted: no Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: Yes If yes, amount: one -time payment of $1,800.00 and then $21,600.00 /yr Grant: County Match: Insurance Required: Additional Details: REVIEWED BY: Beth Leto Completed 09/05/2017 11:46 AM Pedro Mercado Completed 09/05/2017 12:09 PM Budget and Finance Completed 09/05/2017 1:11 PM Maria Slavik Completed 09/05/2017 1:11 PM Kathy Peters Completed 09/05/2017 2:10 PM Board of County Commissioners Completed 09/20/2017 9:00 AM WHEREAS, the Lessor is the owner of the Florida Keys Marathon International Airport, hereafter Airport, that has undeveloped parcels available; and WHEREAS, the Lessee has a need for a buildable parcel in order to carry out Lessee's functions, and WHEREAS, the Lessor is willing to lease a buildable parcel to the Lessee; now, therefore IN CONSIDERATION of the premises and of mutual covenants and promises hereinafter contained, the parties hereto do hereby agree as follows: 2. Term. The to of this agreement shall be forty (40) years commencing on September 20, 2017 and ternmating on September 19, 2057. The Lessor, as a political sub-division of the State of Florida, as defined in Section 768.28, Florida Statutes, agrees to be fully responsible to the limits set forth in such statute for its own negligent acts or omissions, or intentional tortuous acts, which result in claims or suits against either the City or County, and agrees to be liable to the statutory limits for any darnages proximately caused by said acts or omissions, or intentional tortious acts. Nothing contained in this Section shall be construed to be a waiver by either party of any protections under sovereign immunity, Section 768.28 Florida Statutes, or any other similar provision of law. Nothing contained herein shall be construed to be a consent by either party to be sued by third parties in any matter arising out of this or any other Agreement. 6. Lessee's Covenants b) Lessee agrees to make no exterior architectural changes without the consent in writing of the Airport Manager, whose consent will not bon easonably withheld. IF THE LESSEE HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE LESSEE'S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS LEASE, CONTACT THE CUSTODIAN OF PUBLIC RECORDS, BRIAN BRADLEY, AT (305) 292-3470 9. Rivhts Reserved. Notwithstanding anything herein contained that may be, or appear to be, to the contrary, it is expressly understood and agreed that the rights granted under this agreement are nonexclusive and the Lessor herein reserves the right to grant similar privileges to another Lessee or other Lessees on other parts of the Airport. 10. Inspection drlaintenance of Pre ices b� Lessor, Lessor and its authorized officers, employees, agents, contractors, subcontractors and other representatives shall have the right to enter upon the leased premises for the following purposes: a) to inspect the leased premises at reasonable intervals during regular business hours (or at any time in case of emergency) to determine whether Lessee has complied and is complying with the terms and conditions of this agreement with respect thereto, 114 Assi entlu lease, The Lessee may not assign this agreement, or any part of it, or sublease the premises, or any portion of the premises, without the written approval of the Lessor which shall not be unreasonably withheld. The terms of this Lease Agreement shall be binding on the heirs, executors, administrators, sub-lessees and assigns of Lessee. 14. Binding Effect. The teens, covenants, conditions, and provisions of this Agreement shall bind and inure to the benefit of Lessor and Lessee and their respective legal representatives, successors, and assigns. 15. Authority. Each party represents and warrants to the other that the execution, delivery and performance of this Agreement have been duly authorized by all necessary County and corporate action, as required by law. 17. Covenant of No Interest. Lessor and Lessee covenant that neither presently has any interest, and shall not acquire any interest, which would conflict in any manner or degree with its performance under this Agreement, and the only interest of each is to perform and receive benefits as recited in this Agreement. or making of this Agreement. For the breach or violation of this provision, Lessee agrees that Lessor shall have the right to terrninate this Agreement without liability and, at its discretion, to offset from monies owed, or otherwise recover, the full amount of such fee, commission, percentage, gift or consideration. 25. Execution in Countern art This Agreement may be executed in any number of counterparts, each of which shall be regarded as an original, all of which taken together shall constitute one and the same instrument and any of the parties hereto may execute this Agreement by signing any such counterpart. 26. Other Use. Lessee shall not use or permit the use of the demised premises or any part thereof for any purpose or use other than an authorized by this agreement. 27. P h �Headihs. Paragraph headings herein are intended only to assist in reading identification and are not in limitation or enlargement of the content of any paragraph. 28. Notices. Any notice of other communication from either party to the other pursuant to this agreement is sufficiently given or communicated if sent by registered mail, with proper postage and registration fees prepaid, addressed to the party for who intended, at the following addresses: For Lessor: Thomas J. Henderson Assistant Director of Airports Florida Keys Marathon International Airport 9400 Overseas Highway, Suite 200 Marathon, FL. 33050 (305) 289-6060 or to such other address as the party being given such notice shall from time to time designate to the other by notice given in accordance herewith. 29. This Agreement shall be governed by and construed in accordance with the laws of the State of Florida applicable to contracts made and to be performed entirely in the State. In the event that any cause of action or administrative proceeding is instituted for the enforcement or interpretation of this Agreement, the Lessor and Lessee agree that venue will lie in the appropriate court or before the appropriate administrative body in Monroe County, Florida. The Lessor and Lessee agree that, in the event of conflicting interpretations of the terms or a term of this Agreement by or between any of the the issue shall be submitted to mediation prior to the institution of any other administrative or legal proceeding. 30. Attorney's Fees and Costs. The Lessor and Lessee agree that in the event any cause of action or administrative W I I 3I. Mutual Review. This agreement has been carefully reviewed by the Lessee and the Lessor. Therefore, this agreement is not to be construed against either party on the basis of authorship. 32. Final Understanding. This agreement is the parties' final mutual understandin , a It replaces any earlier agreements or understandings, whether written or oral. This agreement cannot be modified or replaced except by another written and signed agreement. (SEAL) BOARD OF COUNTY COMMISSIONERS ATTEST KEVIN MADOK, CLERK OF MONROE COUNTY, FLORIDA E M Mayor George Neugent 0 � AW"i O kla t W I I Exhibit A Lease Agreement Monroe County Sheriff's Office Monroe County — Lease Document BOCC Agenda Item — September 20, 2017 Y . MCSo Trauma Star Hangar a • E Marathon Storage Hangars MCSO Shooting Range 'A'an. 7,200 sq. ft. *Approximate Location Florida Keys Marathon International Airpo B.24.a MCSO Shooting Range i U t - � Common Use Parking Area *Approximate Location CD C i CD 3 N *I Antique Aircraft t 7 Restoration ` ". J h Hangar a y 0 City of Marathon ; WWTP r c CD E Packet Pg. 499 ,r Mr. Don DeGraw, Director of Airports Florida Keys Marathon International Airport September 1, 2017 Page 1 September 1, 2017 Mr. Don DeGraw Director of Airports Florida Keys Marathon International Airport 9400 Overseas Highway Marathon, Florida 33050 RE: Fair Market Rent Analysis Considering FDOT Easement Proposed Site for Monroe County Sheriff Office Shooting Range Florida Keys Marathon International Airport Marathon, Florida 33050 Our File No.: 156 -17- Amended Dear Mr. DeGraw: Pursuant to your request, the appraisers revisited the above referenced appraisal report and determined that we overlooked the negative effect of the Florida Department of Transportation retention pond. The Florida Department of Transportation has a perpetual easement on the subject property which restricted the future use. Hence, the use is restricted to uses that will not disturb the water flow or the percolation of the retention pond Our appraisal report indicated the market rent of the subject property without any restrictions or encumbrances. The subject property is encumbered by a negative easement as defined by the Dictionary of Real Estate Appraisal Sixth Edition published by the Appraisal Institute as follows: " Negative easement An easement preventing a property owner from certain, otherwise permitted, uses of his or her land, e.g., agreeing not to do something such as building a wall or fence blocking an adjoining property's view." In the case at hand, it is the obstructing the flow or drainage of water onto the subject property. Hence, upon analyzing the negative influence of the easement, the appraisers adjusted the original market rent to reflect the impact of this easement. Furthermore, we also revisited the most similar land lease comparables. You notified us that the site size stated in the appraisal has been amended. The new site size will consist a vacant scarified site with 100 linear feet fronting on the service road to the Florida Keys Marathon International Airport and 72 feet in depth a total of 7,200 square feet. The lessee is proposing to build a 7,200 square foot structure to be utilized as a shooting range for the sheriff's department. Based on further analysis of market rental rates for similar land leases within the subject's market Mr. Don DeGraw, Director of Airports Florida Keys Marathon International Airport September 1, 2017 Page 2 area and taking the Florida Department of Transportation easement into consideration, it is our opinion that on May 30, 2017, when a site visit and market analysis of the premises was made, that the Fair Market Rent, on a modified gross basis, is as follows: Fair Annual Market Rent (Rounded): $ 22,900.00 Fair Monthly Market Rent (Rounded): $ 1,908.33 Fair Annual Rent /S.F. of Site Area: $ 3.18 Modified Gross terms require the tenant to be responsible for all utilities including electric, water, sewer, solid waste collection, telecommunications service, building and hazard insurance and normal cleaning service and routine maintenance of the premises, while the landlord is responsible for real estate taxes, property management and reserves. However, because the subject property is located on a government agency site there is no real property tax burden; therefore, the appraisers have adjusted the comparable rentals to modified gross terms. Further, documentation and supporting data are retained within the appraisers' workfiles. If you have any questions regarding this appraisal report, please feel free to contact us. Thank you for giving us the opportunity to provide this service for you. This transmittal letter revising the initial report should be attached to the original appraisal report. Sincerely, James E. Wilson, MRICS, President State - certified general real estate appraiser RZ 2164 email: Jim ,fla- keysappraisals.com Richard Padron, CCIM, MSA State - certified general real estate appraiser RZ 544 email: richard fla- keysappraisals.com C:A Comm -17 \156 -17 \Appraisa1 Addendum 156- 17.wpd