Resolution 278-1986
Art Skelly
Director of Airports
RESOLUTION NO. 278-1986
A RESOLUTION AUTHORIZING THE MAYOR AND
CHAIRMAN OF THE BOARD OF COUNTY COMMIS-
SIONERS OF MONROE COUNTY TO APPROVE AND
EXECUTE AN AIRPORT SERVICE FACILITY LEASE BY
AND BETWEEN MONROE COUNTY AND AVIS RENT A CAR
SYSTEM, INC., FOR THE KEY WEST INTERNATIONAL
AIRPORT.
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
MONROE COUNTY, FLORIDA, as follows:
That the Mayor and Chairman of the Board of County Commis-
sioners of Monroe County, Florida, is hereby authorized to
approve and execute an Airport Service Facility Lease by and
between Monroe County and Avis Rent a Car System, Inc., a copy of
same being attached hereto, for the Key West International
Airport.
PASSED AND ADOPTED by the Board of County Commissioners of
Monroe County, Florida, at a regular meeting of said Board held
on the 5th day of September, A.D. 1986.
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
By ,\D.'\\~y:;;Ch;1~n~~
(Seal)
Attest: DANNX.4 KOWiAGE, Clerk
~/~)~.~
APPROVED AS TO FOR~
AND GAL S~r:FICIENCY. ,. 1... 't
BY t A-Y7
Attornev's Office '
\,
AIRPORT SERVICE FACILITY
LEASE
THIS AGREEMENT, made and entered into this day of
, 1986, by and between Monroe County, a municipal
corporation organized and existing under the laws of Florida
(herinafter called "Lessor"), and Avis Rent A Car System, Inc.
qualified to do business in the state of Florida (hereinafter
called "Lessee")'
WHEREAS, Lessor has granted to Lessee a non-exclusive right to
operate an automobile rental concession at and from Key West
International Airport at Key West, Florida (hereinafter called
the "Airport"~ and
WHEREAS, Lessor and Lessee desire, in connection with said
operations, to provide for the leasing by Lessor to Lessee of
certain real estate on the Airport for the establishment of
facilities for the maintenance, servicing, storage, sale and
disposal of Lessee's used rental vehicles and for other purposes
in connection with said operations, all as hereinafter more
specificplly provided;
NOW, THEREFORE, in consideration of the premises and of mutual
covenants and promises hereinafter contained, the parties hereto
do hereby agree as follows:
1. Premises - Lessor hereby leases to Lessee for its
exclusive use the real estate located in Monroe County, Florida
and said tract containing 30,002 square feet, and being
designated "Service Area" as shown on Exhibit A attached hereto
and made a part hereof~ and in addition thereto, hereby grants a
non-exclusive easement for ingress and egress to said tract as
reflected by the attached Exhibit A in area designated "Easement
for Ingress and Egress".
TO HAVE AND TO HOLD the said premises (hereinafter
sometimes called "premises" or "demised premises) with the
appurtenances thereunto belonging, together with all structures
and improvements, if any, thereon upon the terms and conditions
hereinafter contained.
2. Term: - This lease is for a term of fifteen years,
commencing August 1, 1986.
3. Rental: - Lessee, for and during the term hereof,
shall pay to Lessor for the use and occupancy of said Basic
Premises and for the rights and privileges herein granted it at
the following scheduled rates:
First Five Years 15 cents per sq. ft. of the leased
area per year.
Total annual rental, $4,500.30
Second Five Years 21 cents per sq. ft. of the leased
area per year.
Total annual rental, $6,300.42
Third Five Years 29.4 cents per sq. ft. of the leased
area per year.
Total annual rental, $8,820.59
The annual rental shall be payable in equal monthly
installments in advance on or before the first business day of
each calendar month of the term. Rental shall not be due until
beneficial occupancy of the premises or one year from the
commencement of this agreement whichever shall be first.
4. Lessee's Improvements - Lessee shall have the right
during the term hereof, at its own expense, at any time from
time to time:
(a) to construct and install in and upon the premises
hereby leased, a building or buildings and such other structures
and facilities as it may deem necessary or desirable for the
storage, maintaining, and servicing of its vehicles hereunder
and for such other purposes as may be necessary or desirable in
connection with its operations at the Airport, provided,
however, that Lessee first shall submit plans and specifications
for all fixed improvements to the Board of County Commissioners
for approval, which approval shall not be unreasonably withheld.
The term "fixed improvements" whenever used in this lease shall
be construed to include all buildings and other structures
erected upon the premises, all fencing, grading and surfacing
with stone and/or hardtop, all underground and overhead wires,
cables, pipes, conduits, tanks and drains, and all property of
every kind and nature, excluding trade fixtures, which is so
attached to any building or structure on the premises that same
may not be removed without material injury to said property or
to the building or structure to which same shall be attached.
Upon expiration of this Agreement, title to all fixed
improvements erected or installed by Lessee in or upon the
demised premises shall vest in Lessor, excluding, however,
Lessee's trade fixtures and personal property, as hereinafter
provided. Lessee shall commence construction of any fixed
improvements to be erected or installed by Lessee hereunder
within a period of four (4) months from and after the approval
of the plans and specifications therefor by or on behalf of
Lessor, and shall prosecute the work to completion with all due
diligence: and,
(b) to i~stall, maintain, operate, repair and replace
any and all trade fixtures and other personal property useful
from time to time in connection with its operations on the
Airport, all of which shall be and remain the property of Lessee
and may be removed by Lessee prior to or within a reasonable
time after expiration of the term of this Agreement, provided,
however, that Lessee shall repair any damage to the premises
caused by such removal. The failure to remove trade fixtures or.
other personal property shall not constitute Lessee a holdover,
but all such property not removed within ten (10) days after
Lessee receives a written demand for such removal shall be
deemed abandoned and thereupon shall be the sole property of
Lessor. It is understood that, for the purposes of this
Article, the phrase "trade fixtures" shall include, but not be
limited to, any signs, electrical or otherwise, used to
advertise Lessee's business in and about the demised premises:
all machinery and equipment used in connection with the
servicing of automotive vehicles in or about the demised
premises, whether or not such machinery or equipment is bolted
or otherwise attached to said premises: any lift hoist,
compressor or other mechanical device used to service said
automotive vehicles: and all other miscellaneous equipment,
inclUding, but not by way of limitation, air conditioning
equipment installed in or placed on or about the demised
premises and used in connection with Lessee's business therein.
5. utilities - All utilities will be separately metered
and billed directly to Lessee. Lessor grants to the Lessee the
right of easement necessary to construct, install, and maintain
at the sole expense of Lessee all necessary tap lines and
facilities to connect said tap lines to the supply lines of the
Lessor and to receive all said utilities and service as
hereinabove ~rovided.
6. Lessee's Obligations - Lessee covenants and agrees:
(a) to pay the rent and other charges herein reserved
at such times and places as the same are payable:
(b) to pay all charges for water, gas, electric power
and sewerage service consumed on the demised premises during the
term of this agreement, at regularly established rates:
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(c) to make no alterations, additions or improvements
to the demised premises without the prior written consent of
Lessor, which consent shall not be unreasonably withheld;
(d) to keep and maintain the demised premises in good
condition, order, and repair during the term of this Agreement,
and to surrender the same upon the expiration of the term in the
condition in which they are required to be kept, reasonable wear
and tear and damage by casualty, not caused by Lessee's
negligence, riot and civil commotion, excepted;
(e) to observe and comply with any and all require-
ments of the constituted public authorities and with all
federal, state, or local statutes, ordinances, regulations, and
standards applicable to Lessee or its use of the demised
premises, including, but not limited to, rules and regulations
promulgated from time to time by or at the direction of Lessor
for administration of the Airport;
(f) to pay all taxes assessed or imposed by any
governmental authority upon any building or other improvements
erected or installed on the demised premises during the term of
this Agreement; and,
(g) to carry fire and extended coverage insurance, if
obtainable, on all fixed improvements erected by Lessee on the
demised premises to the full insurable value hereof, it being
understood and agreed that for purposes hereof the term "full
insurabl~ value" shall be deemed to be that amount for which a
prudent owner in like circumstances would insure similar
property, but in no event an amount in excess of Lessee's
original cost of constructing said fixed improvements.
1. Lessor's Inspection and Maintenance - Lessbr and its
authorized officers, employees, agents, contractors,
sub-contractors and other representatives shall have the right
to enter upon the demised premises for the following purposes:
(a) to inspect the demised 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; or
(b) to perform essential maintenance, repair,
relocation or removal of existing underground and overhead
wires, pipes, drains, cables and conduits now located on or
across the demised premises, and to construct, maintain, repair,
relocate and remove such facilities in the future if necessary
.to carry out the master plan of development of the Airport,
provided, however, that said work shall in no event disrupt or
unduly interfere with the operations of Lessee, and provided
further, that the entire cost of such work, including but not
limited to the cost of rebuilding, removing, relocating,
protecting or otherwise modifying any fixed improvements at any
time erected or installed in or upon the demised premises by
Lessor, Lessee or third parties, as a result of the exercise by
Lessor or its rights hereunder, and the repair of all damage to
such fixed improvements caused thereby, shall be borne solely by
Lessor.
8. Indemnification - Lessee shall indemnify and hold
Lessor forever harmless from and against all liability imposed
upon Lessor by reason of legal liability for injuries to
persons, or wrongful death, and damages to property cause9 by
Lessee's op~rations or activities on such premises or elsewhere
at the Airport, provided that Lessor shall give Lessee prompt
and timely notice of any claim made against Lessor which may
result in a judgment against Lessor because of such injury or
damage and pranptly deliver to Lessee any papers, notices,
documents, summonses, or other legal process whatsoever served
upon Lessor or its agents, and provided, further, that Lessee
and its'insurer, or either of them, shall have the right to
investigate, compromise, or defend all claims, actions, suits
and proceedings to the extent of Lessee's interest therein; and
in connection therewith the parties hereto agree to faithfully
cooperate with each other and with Lessee's insurer or agents in
any said action.
-3-
9. Liability Insurance - Lessee shall carry public
liability insurance with responsible insurance underwriters,
insuring Lessee and Lessor against all legal liability for
injuries to persons, or wrongful death and damages to property
caused by Lessee's activities and operations on said premises,
with liability limits of not less than $100,000.00 for anyone
person, and not less than $300,000 for any accident involving
injury or wrongful death to more than one person, and not less
than $25,000.00 for property damage resulting from anyone
accident. Lessee shall furnish Lessor with a copy of such
insurance policy which shall provide that Lessor is an insured
under said policy, and that said policy ~annot be cancelled or
materially modified except upon ten (10) days' advance written
notice to Lessor.
10. United States' Requirements - This lease shall be
subject and subordinate to the provisions of any existing or
future agreement between the Lessor and the United States
relative to the operation or maintenance of the Airport, the
execution of which has been or may be required by the provisions
of the Federal Airport Act of 1946, as amended, or any future
act affecting the operation of maintenance of the Airport,
provided, however, that Lessor shall, to the extent permitted by
law, use its best efforts to cause any such agreement to include
provisions protecting and preserving the rights of Lessee in and
to the d~mised premises and improvements thereon, and to
compensation for the taking thereof, and payment for
interference therewith and for damage thereto, caused by such
agreement or by actions of the Lessor or the United States
pursuant thereto.
11. Lessor's Covenants - The Lessor covenants and agrees
that:
(a) Lessor is the lawful owner of the property
demised hereby, that it has lawful possession thereof, and has
good and lawful authority to execute this lease; and,
(b) throughout the term hereof Lessee may have, hold
and enjoy peaceful and uninterrupted possession of the premises
and rights herein leased and granted, subject to performance by
Lessee of its obligations herein.
12. Cancellation by Lessor - Lessor shall have the right
upon written notice to Lessee to cancel this Agreement in its
~ntirety, upon or afte~ the happening of one or more of the
following events, if said event or events shall then be
continuing:
(a) if Lessee shall make a general assignment for the
benefit of creditors, or file a voluntary petition in bankruptcy
or a petition or answer seekiQg its reorganization or the
readjustment of its indebtedness under the Federal Bankruptcy
Laws or any other similar law or statute of the United States or
any state, or government, or consent to the appointment of a
receiver, trustee or liquidator of all or substantially all of
the property of Lessee;
(b) if by order or decree of a court of competent
jurisdiction Lessee shall be adjudged bankrupt or an order shall
be made approving a petition seeking its reorganization, or the
readjustment of its indebtedness under the Federal Bankruptcy
Laws or any law or statute of the United States or any state,
territory, or possession thereof, or under the law of any other
state, nation or government, provided, that if any such judgment
or order be stayed or vacated within ninety (90) days after the
entry thereof, any notice of cancellation given shall be and
become void and of no effect;
(e) if by or pursuant to any order or decree of any
court of governmental authority, board, agency or officer having
,jurisdiction, a receiver, trustee, or liquidator shall take
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possession or control of all or substantially all of the
property of Lessee for the benefit of creditors, provided, that
if such order or decree be stayed or vacated within sixty (60)
days after the entry thereof or during such longer period in
which Lessee diligently and in good faith contest the same, any
notice of cancellation shall be and become null, void and no
effect;
(d) if Lessee fails to pay the rental charges or
other money payments required by this instrument and such
failure shall not be remedied within thirty (30) days following
receipt by Lessee or written demand from Lessor so to do;
(e) if Lessee defaults in fulfilling any of the
terms, convenants,or conditions required of it hereunder and
fails to remedy said default within thirty (30) days following
receipt by Lessee of written demand from Lessor so to do, or if,
by reason of the nature of such default the same cannot be
remedied within thirty (30) days following receipt by Lessee of
written demand from Lessor so to do, then, if Lessee shall have
failed to commence the remedying of such defaurt within said
thirty (30) days following such written notice, or having so
commenced, shall fail thereafter to continue with diligence the
curing thereof.
13. Cancellation by Lessee - Lessee shall have the right,
upon written notice to Lessor, to cancel this Agreement in its
entirety upon or after the happening of one or more of the
following events, if said event or events is then continuing:
(a) the issuance by any court of apparent competent
jurisdiction of an injunction, order, or decree preventing or
restraining the use by Lessee of all or any substantial part of
the demised premises or preventing or restraining the use of the
Airport for usual airport purposes in its entirety, or the use
of any part thereof which may be used by Lessee and which is
necessary for Lessee's operations on the Airport, which remains
in force unvacated or unstayed for a period of at least one
hundred twenty (120) days;
(b) t~e default of Lessor in the performance of any
of the te~ms, covenants, or conditions required of it under this
instrument and the failure of Lessor to cure such default within
a period of thirty (30) days following receipt of written demand
from Lessee so to do, except that if by reason of the nature of
such default, the same cannot be cured within said thirty (30)
days, then Lessee shall have the right to cancel if Lessor shall
have failed to commence.to remedy such default within said
thirty (30) days following receipt of such written demand, or
having so commenced, shall fail thereafter to continue with
diligence the curing thereof;
(e) the inability of Lessee to conduct this business
at the Airport in substantially the same manner and to the same
extent as theretofore conducted, for a period of at least ninety
(90) days, because of (i) any law, (ii) any rule, order,
judgment, decree, regulation, or other action or non-action of
any Governmental authority, board, agency or officer having
jurisdiction thereof.
(d) if the fixed improvements placed upon the demised
premises are totally destroyed, or so extensively damaged that
it would be impracticable or uneconomical to restore the same to
their previous condition as to which Lessee is the sole judge.
In any such case, the proceeds of insurance, if any, payab~e by
reason of su~h loss shall be apportioned between Lessor anti
Lessee, Lessor receiving the same proportion of such proceeds as
the then expired portion of the lease term bears to the full
term hereby granted, and Lessee receiving the balance thereof.
If the damage results from an insurable cause and is only
partial and such that the said fixed improvements can be
restored to their prior condition within a reasonable time, then
Lessee shall restore the same with reasonable promptness, and
shall be entitled to receive and apply the proceeds of any
insurance covering such loss to said restoration, in which event
this Agreement shall not be cancelled but shall continue in full
force and effect, and in such case any excess thereof shall
belong to the Lessee.
-5-
(e) in the event of destruction of all or a material
portion of the Airport or the Airport facilities, or in the
event that any agency or instrumentality of the united States
Government, or any state or local government occupies the
Airport or a substantial part thereof, or in the event of
military mobilization or public emergency wherein there is a
curtailment, either by executive decree or legislative action,
of normal civilian traffic at the Airport or the use of motor
vehicles or airplanes by the general public, or a limitation of
the supply of automobiles or of automobile fuel, supplies, or
parts for general public use, and any of said events results in
material interference with Lessee's normal business operations
or substantial diminution of Lessee's gross revenue from its
automobile rental concession at the Airport, continuing for a
period in excess of fifteen (15) days;
(f) in the event that at any time prior to or during
the term of this agreement, Lessee's presently existing right to
operate an automobile rental concession at the Airport is with-
drawn, cancelled, terminated, or not renewed by Lessor;
(g) the taking of the whole or any part of the
demised premises by the exercise of any right of condemnation or
eminent domain;
(h) if at any time during the basic term or option
term of this lease a majority of the scheduled air
transportation serving the local area no longer operates from
the Airport; or
(i) if at any time during the basic term hereof or
the option periods, the Airport or terminal building is removed
to a place more than three (3) road miles distant from its
present location.
14. Purchase of Fixed Assets - In the event of any
cancellation or termination of this Agreement by the Lessor or
Lessee prior to the expiratio~ for any cause other than
destruction of the fixed improvements or default by the Lessee
hereunder, Lessor shall promptly purchase or cause to be
purchased from Lessee all of said fixed improvements at a cash
price equal to the Lessee's actual cost, less depreciation as
set fort~ below.
In the event that the Lessee is being replaced by a new
rental car concessionaire, the County shall require the
replacement concessionaire to purchase from Lessee, all of the
fixed improvements constructed in accordance with Section 2
hereof at a cash price equal to lessee's actual cost computed as
provided below, less straight-line depreciation over the terms
of this lease, to the nearest complete month of the term then
elapsed under this Agreement.
In the event that no rental car concessionaire replaces the
Lessee within three months (90"days) of the termination of this
agreement, the County will purchase from Lessee, all of the
fixed improvements constructed in accordance with Section 2
hereof at a cash price equal to Lessee's actual, cost computed as
provided below, less straight-line depreciation over the term of
this lease, to the nearest complete month of the term then
elapsed under this Agreement.
The Lessee's investment in the premises shall be determined
in accordance with generally acceptable accounting practices and
principles, provided that such investment shall not in any event
exceed 100% of the amount paid by the Lessee to independent
contractors for work actually performed on the premises and
materials furnished or labor performed in connection therewith.
Payments made by the Lessee to independent contractors for
engineering, architectural, professional and consulting services
in conneGtion therewith may be included in the amount paid for
work actually performed on the premises, provided that such
payments shall not in any event exceed 10% of the construction
cost.
-6-
15. Lessee's Reserved Rights - Nothing contained in this
Agreement shall limit or restrict in any way such lawful rights
as Lessee may have now or in the future to maintain claims
against the federal, state, or municipal government, or any
department or agency thereof, or against any interstate body,
commission or authority, or other public or private body
exercising governmental powers, for damages or compensation by
reason of the taking or occupation, by condemnation or
otherwise, of all or a substantial part of the demised premises,
including fixed improvements thereon, or of all or a material
part of the Airport with adverse effects upon Lessee's use and
enjoyment of the demised premises for the purposes hereinabove
set forth; and Lessor hereby agrees to cooperate with Lessee in
the maintenance of any just claim of said nature, and to refrain
from hindering, opposing, or obstructing the maintenance
thereby Lessee.
16. Assignment and Subletting - It is expressly agreed
and understood that any and all obligations of Lessee hereunder
may be fulfilled or discharged either by Lessee or by a Licensee
member of the Avis System duly appointed thereto by Avis Rent A
Car System, Inc., and that any and all privileges of every kind
granted Lessee hereunder extends to any Licensee appointed;
provided, however, that notwithstanding the method of operation
employed- by Lessee hereunder Lessee always shall continue to
remain directly liable to Lessor for the performance of all
terms and conditions of this Lease. Except as hereinabove set
out the premises may not be sublet, in whole or in part, and
Lessee shall not assign this agreement without prior written
consent of Lessor, nor permit any transfer by operation of law
of Lessee's interest created hereby, other than by merger or
consolidation.
17. 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 as authorized by this Agreement.
18. Liens - Lessee shall cause to be removed any and all
liens of any nature arising our of or because of any
construction performed by Lessee or any of its contractors or
sub-contractors upon the demised premises or arising out of or
because of the performance of any work or labor upon or the
furnishing of any materials for use at said premises, by or at
the direction of Lessee.
19. Time - In computing Lessee's time within which to
commence construction of any fixed improvements or to cure any
default as required by this Lease, there shall be excluded all
delays due to strikes, lockouts, Acts of God and the public
enemy, or by order or direction or other interference by any
municipal, State, Federal or other Governmental department,
board of commission having jurisdiction, or other causes beyond
Lessee's control.
20. Paragraph Headings - Paragraph headings herein are
intended only to assist in ready identification and are not in
limitation or enlargement of the content of any paragraph.
21. Notices - Any notice or 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 whom intended, at the following address:
For Lessor: Monroe County Board of County commissioners
PO Box 1680
Key West, Florida 33040
For Lessee: Avis Rent A Car System, Inc.
900 Old Country Road
Garden City, New York 11530
Attention: Vice President/Properties
-7-
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.
IN WITNESS WHEREOF, the parties have caused these presents
to be executed by their respective officer or representative
thereunto duly authorized, the day and year first above written.
Monroe County
By:
Attest:
Avis Rent A Car System, Inc.
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By:
Attest:
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AVIS SERVICE FACILITY
LEGAL DESCRIPTION
A portion of 1'101110e Cbunty property being leased to an Automobile
1~1'lltdl l~(jency at the County TnLcrn13lional Airport Facility for
the purp(x:;e of a parking lot.
This parcel of Jand being l(~a~;ed in SecLion 3, Twp. 68 S,
Rye. 25 E, on the Island of Key \>1est, County of Monroe, State
of Flo.t-ida and bc.ing more particulary described by metes and
bouncl~:; ;1$ follo\,,:;:
Cumrnence at a Foint 22.0' Ea'3t of thei III c~rsection of the
c',~ntcrl.ine of the Airport Entrdnce Road imd a Jine [olmed by
the t.nngent line parallel to the back of the curb at A-1-A or
Sou t.h Roosevel t Blvd., said c(~llterline b,,? ing locate<;l approxima-
tely 3G5.0' Ea~;t of the East corner of E;lSt Martello Towers.
'\' hen c (? Nor 1: h 1 7 0 4 9' 1 2" \>1 est in a 1 in 0 par a 11 e 1 tot he e d Sf e
of pavement of existing Airport Entrance Road a distance of
)13.4' to a point 10.0' to the East of !he existing cdge of
p;lVI'm"nt of the entrance road defined by an iron pipe, said
point being point of beginning of parcel of land herr>in described:
Tlwnce from 50. i 11 point 0 f bec; inning and @ Right Angl(~ s to prev-
'i )US coursp, ''11ollg a course North 720 10' 39" East at a distclnce
uf.140.0' to a ~" conduit,
'1'l1(?J1C(~ North 17049'.21" \\'cst dt a dL,ti1l1ce of 214.3' to a ~"
c()llduit,
'l'h"ll(~'~ Sl.uth 720 10' 39" \>1cst at a distdl1cC of 140.0' to a ~"
r:l)ndui.t,
'rll(2n"(~ South 170 49' 21" East 3t a dist,jllce of 214.3' back to
Lhe ru;nt of bCfJ11'1ning.
'!'llis pencp'l conL1ining .689.,ClCLCS.
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