Item C32BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
MEETING DATE: 04/16/03 DIVISION: COUNTY ADMINISTRATOR
BULK ITEM: YES DEPARTMENT: AIRPORTS
AGENDA ITEM WORDING: thePuApproval isorks Department at he Key Westrthe Hertz :;orporation to lease Internationall Airport (KWIA) after�Publicc Works
e property
currently occupied by th
moves into their new facilities to be built on Stock Island.
ITEM BACKGROUND: Hertz is a rental car company that has been a tenant at KWIA for many years. What we have
discussed and what they have conceptually approved is the following: Hertz will pay the county (not the airport)
$1,000,000 in a lump sum as soon as the existing buildings are available for them to occupy. They will pay the Airport
$82,000 a year plus CPI for the ground lease. They will also pay the normal lease rate for their counter and office space
inside the Airline Terminal. Also they will pay the normal franchise fee of 10 % of all gross sales on the airport (this
includes sales originating inside the terminal or any community car rentals from the Public Works site). In exchange for
this, they will receive a 20 year lease and franchise agreement.
PREVIOUS RELEVANT BOCC ACTION: None on this item.
STAFF RECOMMENDATION: Approval to negotiate.
TOTAL COST: N/A
COST TO COUNTY: N/A
REVENUE PRODUCING: Yes
APPROVED BY: County Attorney N/A
DIRECTOR APPROVAL
BUDGETED: N/A
AMOUNT PER MONTH/YEAR: $1,000,000 upfront, + Approx.$280,000 a year
Peter J. Horton
OMB/Purchasing N/A Risk Management N/A
DOCUMENTATION: Included X To Follow
DISPOSITION:
Not Required
AGENDA ITEM #
/pjh
APD
Mark K. McBee
Director, Properties
March 5, 2003
Mr. Peter J. Horton
Director of Airports
Key West international Airport
5100 College Road
Key West, FL 33040-5260
RE: Service Facility Property
Dear Peter:
The Hertz Corporation
47,51 Best Road. Suite 400. Atlanta, GA 30337
Telephone: (dO4) 209-4205
VIA FACSIMILE: (305) 292-3578
As we have discussed, Hertz is interested in negotiating with the County for the property
currently occupied by the Public Works Department. It is ideally suited for our service
facility needs and will have a positive impact on our Key West operations.
Please advise of the timing.
Sincerely,
Mark K. McBee
Director, Properties
/sw
cc: D. Stolt