10/04/1988 Lease
LEASE
THIS LEASE is made and entered into on the 1tJ. day of
o (.J01::() be. t' , A. D., 1988, by and between MONROE COUNTY,
a political subdivision of the State of Florida, Lessor, herein-
after referred to as "COUNTY" and AIR CARGO AMERICA, INC., a
Florida corporation, Lessee, hereinafter referred to as "ACA".
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, ACA is engaged in the business of air transporta-
tion of cargo, mail and other property, and
WHEREAS, ACA desires to obtain certain rights and privileges
in connection with the use of the airport facilities, and the
COUNTY is willing to grant and lease the same to ACA 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 ACA, and ACA does
hereby lease from COUNTY certain premises and facilities, rights
and privileges, as follows:
1. Premises County does hereby lease to ACA, and ACA
leases from COUNTY, the eastern portion, measuring forty-seven
feet by thirty feet (47' x 30') of the Air Cargo building pres-
ently located at the AIRPORT, as indicated on the drawing la-
belled as Exhibit "A" and attached to, and made a part of, this
Agreement.
2. Use of the Airport ACA 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 two (2) years,
commencing October 5, 1988, and ending on September 30, 1990.
ACA shall have the option to renew this Lease for additional
terms of one (1) year or more each, upon such terms and con-
ditions and rent as may be agreed to by the parties. The COUNTY
may cancel this Lease at its pleasure at any time after the
expiration of one (1) year following the effective date of this
agreement.
4. Rent During the term of this Lease, ACA 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 four
hundred ten (1410) square feet, in the Air Cargo building,
for a total of ten thousand, three hundred seven dollars and
ten cents ($10,307.10) per annum, plus
(2) the amount of thirty-six and three-tenths cents
($0.363) per square foot, for an area of one thousand nine
hundred forty (1940) 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 seven hundred four dollars and twenty-two cents
($704.22) 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 ACA to pay any such installment when due, the COUNTY
will be entitled to charge and collect, and ACA will be obligated
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, and they shall not preclude the COUNTY from seeking any
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other remedy for late payment of rent. In the event that any
check, draft, or negotiable instrument by which ACA 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 instrument. Such penalty fee will
be in addition to the amount of rent due, and it shall not
preclude the COUNTY from seeking any other remedy for late
payment of rent.
5. Security Deposit In addition to the rent payments as
provided above, ACA 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 ACA, 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 ACA.
6. Landing Fees In addition to the rent as provided
above, ACA shall pay to the COUNTY, landing fees computed as
follows:
$.47 per 1,000 pounds of approved maximum gross landing
weight. A minimum landing fee of $5.88 will be charged for
all aircraft weighing less than 12,500 lbs. gross landing
weight.
ACA shall report to the COUNTY not later than the 10th day of
each month, ACA I 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
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
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weight approved by the Federal Aviation Administration for
landing such aircraft at the AIRPORT herein.
7. Lease Hold Improvements and Use ACA shall have the
right to occupy the eastern portion, measuring forty-seven feet
by thirty feet (47' x 30'), of the Air Cargo building, and an
area of two thousand two hundred seventy-six (2276) square feet
of open land adjacent to the Air Cargo building. As a condition
to the continued enjoyment of this lease, ACA shall block off the
interior doorway in the Air Cargo building, at the perimeter of
the eastern portion leased to ACA, at its own expense, and within
thirty (30) days of the effective date of this lease. As a
further condition to the continued enjoyment of this lease, ACA
shall remove the existing trailer located at the AIRPORT, which
ACA currently uses as an office, within thirty (30) days of the
effective date of this lease and at its own expense. Until such
time as ACA does remove this trailer, ACA shall continue to pay
rent for the area on which the trailer is located, at the rate of
seventy-one dollars and fifty cents ($71. 50) per month, plus
applicable taxes. During the term of this lease ACA shall not
park or place any automotive vehicles in any spaces other than
those designated by the COUNTY for parking, and ACA shall not
park any vehicle overnight anywhere on AIRPORT property, without
prior written consent to do so, obtained from the Director of
Airports.
8. Common Areas ACA 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
ACA aircraft, subj ect to reasonable rules and regulations of
COUNTY as to the use of such common spaces and facilities.
9. Right of Ingress and Egress ACA, 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.
10. Utilities ACA shall be responsible for the payment for
electrical service, water service, trash removal service and
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similar utility services as needed.
11. Assignment The premises leased hereunder may not be
sublet and this Lease may not be assigned without the written
consent of the COUNTY.
12. Maintenance of Premises ACA 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.
13. Insurance ACA 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 ACA, its agents, or employees in
the use or occupancy of the leased premises and the common areas
of the AIRPORT facilities by ACA. ACA 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); and to furnish
COUNTY with proper certificates certifying that such insurance is
in force. ACA shall carry its insurance coverages with insurance
companies authorized to do business in the State of Florida.
14. Default The failure of ACA to pay any installment of
rent when it becomes due or any other charges or fees shall
constitute a default under the terms of this lease. Further, the
failure of ACA 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 ACA 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.
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15. Cancellation of Lease COUNTY may cancel this Lease
agreement by giving ACA sixty (60) days advanced written notice
upon the happening of anyone of the following events: the
filing of a voluntary petition in bankruptcy by ACA; the institu-
tion of an involuntary proceeding in bankruptcy and the adjudica-
tion of ACA as bankrupt; the taking by a court of competent
jurisdiction of ACA and its assets, pursuant to a proceeding
under the provisions of any federal reorganization act; the
appointment of a receiver of ACArs assets; the divesting of ACArs
lease hold estate by other operation of law; the abandonment by
ACA of air cargo transportation business at the AIRPORT for a
period of sixty (60) days.
IN WITNESS WHEREOF, the parties hereto have caused this
Lease to be executed as of the day and year first above written.
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
Byg~, ~
~yor rman"
(SEAL)
Attest: DANNY L. KOLHAGE, Clerk
~e.{d-~.~~
AIR CARGO AMERICA, INC.
By /1:4: {/~/l/a..J:J
>> resident
(CORPORATE SEAL)
Attest:
A'
//L! I~,- A~~
Secretary .
i~PPfi() >E
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AND LEGAL SUFFirc{',/""v
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Attor ';s Uftice
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