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Item J8 ~~ : FAX NO. : Mar 08 200~ 04: l32PM P2 ROAR-I> ()Io' COUSTY COMl\nSSrONKRS AGENDA ITEM SUMMARY Meeting Date; 03-20-02 Division: County AdministratQr Bulk Item: Yes No X Department: AIl!)ons AGENDA ITEM WORDJNG: Approval of a ground lellS~ agreement at tlo}e Florida Key!> Marathon Airport wIth Roben Ca'JC~o build an enclosed hangar. ITE.'\f BACKGROUND: Due to project development at the Marathon airport, Robert 'Cayce ' s shade hangar was removed and his aircraft displaced. PREVIOUS REVELANT BOCC ACTION: in June of2001. BOCC approved cancellation of lease agreement CONTRACT/AGREEMENT CHANGES: Leased area ill a 35 x 90 square foot are.. (3150 sq. ft.) 20 year ground lease at FMV of SOO.31 square foot annually. S81.38/month or $976.50/ycar. STAF'F RRCOMMENDA,1'IONS: ApprOVal TOTAL COST: NiA BUDGETED: Yes No COST 'f0 COUN'1'\': REVENUE PRODVCING: Yes X No AMOUNT PER. YEAR $976.50 APPROVED BY: County Any _ OMBlPurchasing _ Risk Manascmcnt _. ~~ . Th:ii C~ J -=-2~" James Roberts. County Administrator MAR.'\. THON AIRPORT MANACER APPROVAL: DIVISION DIRECTOR APPROVAL: DOCUMENTATION: Included To Fellow 2....- Not Requjred_._ DISPOSITION: AGENDA ITEM #I ~ RevlScd 2/27/01 a-d vvstr-asa-soc u~wp~ o~ $~~~qo~ l $~WRL dsv:ao ao t~ ~RW AGENDA ITEM WITH LATE DOCUMENTATION DIVISION COUNTY ADMINISTRATOR DEPARTMENT MARATHON AIRPORT SUBJECT APPROVAL OF A GROUND LEASE AGREEMENT AT THE FLORIDA KEYS MARATHON AIRPORT WITH ROBERT CAYCE TO BUILD AN ENCLOSED HANGAR. DATE ITEM WILL BE A V AILABLE MARCH 15,2002 LEASE AGREEMENT THIS AGREEMENT is made and entered into this day of , 2002, by and between Monroe County, a political subdivision of the State of Florida, whose address is 500 Whitehead Street, Key West, Florida 33040, hereafter Lessor, and whose address is , hereafter Lessee. The parties agree as follows: 1. That the Lessor of these presents leases unto said Lessee a parcel of land at the Marathon Airport, Marathon, Monroe County, Florida, measuring 4,500 square feet, as shown on Exhibit A (property map) which is attached hereto and made a part hereof. 2. The term of this lease is 20 years from its effective date. 3. The Lessee hereby covenants and agrees to pay the Lessor rent in the amount of 31lt per square foot per year for the leased area for a total annual rent of $13,950.00. The rent is payable on a monthly basis, in advance, in the amount of $116.25. The Lessee may elect to pay the annual amount, in advance, as a lump sum. The Lessee is also responsible for all sales taxes. The annual rental payments will increase by a percent equal to the increase in the consumer price index for all urban consumers (CPI-U) for the previous twelve months. The parties agree that the only additional cost not included above is a potential increase in the amount of insurance coverage required by the Lessee. Should the Lessor require all tenants at the airport, for good cause, to increase the amount of insurance required by the County, such an additional insurance requirement will be passed on to the Lessee. Any such increase will be in the same pro rata proportion as to the other tenants of the Marathon Airport at that time. 4. The Lessor hereby covenants and agrees with the Lessee as follows: a) The Lessee has the right to occupy the leased premises and construct an aircraft hanger on the leased premises. b) The Lessee has reasonable ingress, egress and access privileges to the leased premises. c) The Lessee, on keeping the covenants and obligations contained in this agreement, has the quiet and peaceful enjoyment of the leased premises without any interruptions by the Lessor or by a person or persons claiming through or under the Lessor. 5. The Lessee hereby covenants and agrees with the Lessor: a) To pay the Lessor the rent at the times and in the manner provided for by this lease. Rent is due and owing upon the date the Lessee is able to use and occupy the hangar. b) To commence construction of one enclosed hangar in a modern state-of-the- art design, approved by the Monroe County Building Department, within two years of the effective date of this agreement and to complete the construction within six months after commencement. c) The hangar must meet the construction standards of all County, state and federal ordinances, statutes, and regulations. d) No construction mortgage, or lien of any kind, may be placed on the hangar. Js--JJ e) The hangar may only be used for the purpose of housing airplanes not used in commercial service and for providing care, repair and maintenance of those airplanes. No commercial use is permitted on the premises. f) To make no improper or unlawful or offensive use of the leased premises, and to permit the Lessor or its agents to inspect the leased premises at all reasonable times for the purpose of viewing the condition of the premises. g) The Lessee covenants and agrees to indemnify and hold harmless the Lessor from any and all claims for bodily injury (including death), personal injury, and property damage (including property owned by Monroe County) and any other losses, damages, and expenses (including attorney's fees) which arise out of, in connection with, or by reason of services provided by the Lessee or any of its Contractors, occasioned by the negligence, errors, or other wrongful act or omission of the Lessee or its Contractor(s), their employees, or agents. This obligation of indemnification is not vitiated by the insurance obligations contained in paragraph 5e and Exhibit B. h) Regardless of the effective date of this lease, the Lessee may not occupy the premises and begin construction of the hangar until it has obtained the insurance required by Exhibit B and produced adequate proof of such insurance to the County's Director of Risk Management. Exhibit B is attached to this lease agreement and made a part of it. i) The leased premises may not be sublet and this lease may not be assigned without the written consent of the Lessor. j) At the expiration of the term of this lease the hangar will automatically become the property of the Lessor, title to it will automatically transfer to the Lessor, and Lessee will quietly and peaceably deliver up possession of the leased premises and hangar to the Lessor. 6. a) This lease may be canceled, at the discretion of the Lessor with the hangar (if built) automatically becoming the property of the Lessor, and title automatically transferring to the Lessor, if: i) The Lessee fails to timely occupy the leased premises and commence construction of the hangar; ii) Lessee fails to timely complete the hangar; iii) Lessee fails to timely pay the rent; iv) Lessee fails to obtain the insurance required under this lease within 30 days of the effective date of this lease or allows the required insurance coverage to lapse or fall below the minimum required; or v) Otherwise breaches the terms of this lease agreement. b) The Lessor may also cancel this lease if the leased premises are required to accommodate future development at the Marathon Airport or for any other reason determined by the FAA or the Lessor. Lessor, if it determines to cancel the lease under this paragraph, must provide the Lessee with 30 days written notice before the cancellation becomes effective. Lessee must then abandon and quietly and peaceably deliver up the possession of the leased premises. Lessee may, however, remove the hangar from the premises if it so desires. If Lessor cancels the lease agreement under this paragraph, 2 Lessor will not be liable to Lessee for any damages--direct or consequential--suffered by the Lessee as the result of the cancellation. 7. This lease agreement is between the Lessor and Lessee only. Nothing in this lease may create a contractual relationship with, or any rights in favor of, any third party. This lease is assignable if consent to the assignment is granted in the discretion of the County Commission. 8. The Lessee for himself, his personal representatives, successors in interest, and assigns, as a part of the consideration hereof, does hereby covenant and agree that (1) no person on the grounds of race, color, or national origin shall be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of said facilities, (2) that in the construction of any improvements on, over or under such land and the furnishing or services thereon, no person on the grounds of race, color, or national origin shall be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination, (3) that the Lessee shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-assisted programs of the Department of Transportation-effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended. That in the event of breach of any of the above nondiscrimination covenants, Monroe County shall have the right to terminate the lease and to re-enter as if said lease had never been made or issued. The provision shall not be effective until the procedures of Title 49, Code of Federal Regulations, Part 21 are followed and completed including exercise or expiration of appeal rights. 9. It shall be a condition of this operation agreement, that Monroe County reserves unto itself, its successors and assigns, for the use and benefit of the public, a right of flight for the passenger of aircraft in the airspace above the surface of the real property hereinafter described, together with the right to cause in said airspace such noise as may be inherent in the operation of aircraft, now known or hereafter use, for navigation of or flight in the said airspace, and for use of said airspace for landing on, taking off from or operating on the airport. That the Lessee expressly agrees for itself, its successors and assigns, to restrict the height of structures, objects of natural growth and other obstructions on the hereinafter described real property to such a height so as to comply with Federal Aviation Regulations, Part n. That the Lessee expressly agrees for itself, its successors and assigns, to prevent any use of the hereinafter described real property which would interfere with or adversely affect the operation or maintenance of the airport, or otherwise constitute an airport hazard. 10. This lease agreement and all provisions hereof are subject and subordinate to the terms and conditions of the instruments and documents under which Monroe County acquired the subject property from the United States of America and shall be given only such effect as will not conflict or be inconsistent with the terms and conditions contained in the operation agreement with Monroe County , and any existing or subsequent amendments thereto, and are subject to any ordinances, rules or regulations which have been, or may hereafter be adopted by the Airport Owner pertaining to the Marathon Airport. 3 . . 11. 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 Monroe County herein reserves the right to grant similar privileges to another Lessee or other Lessees on other parts of the airport. 12. This lease agreement has been carefully reviewed by both the Lessee and the Lessor. Therefore, this lease is not to be construed against any party on the basis of authorship. 13. This lease agreement represents the parties' final and mutual understanding. It replaces any earlier agreements or understandings, whether written or oral. This lease cannot be modified or replaced except by another signed lease or lease amendment. 14. Nothing in this lease should be read as modifying the applicable statute or limitations. The waiver of the breach of any obligation of this lease does not waive another breach of that or any other obligation. 15. This lease takes effect on the date of the signature of the last party to sign. IN WITNESS WHEREOF each party hereto has caused this agreement to be executed by its duly authorized representative. (SEAL) ATTEST: DANNY L. KOLHAGE, CLERK BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By By Deputy Clerk Mayor/Chairperson Date LESSEE By Witnesses Date J dairHangars4MAP 4