HomeMy Public PortalAboutORD14340 BILL NO. 2007-169
• SPONSORED BY COUNCILMAN:lI/ Klindt
ORDINANCE NO. f 4 3`i
AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI,AUTHORIZING THE MAYOR
AND CITY CLERK TO EXECUTE A GROUND LEASE AGREEMENT WITH STANLEY
MEHRHOFF FOR LAND AT THE JEFFERSON CITY MEMORIAL AIRPORT.
BE IT ENACTED BY THE COUNCIL OF THE CITY OF JEFFERSON, MISSOURI, AS
FOLLOWS:
Section 1. The Mayor and Clerk are hereby authorized to execute a Ground Lease
Agreement with Stanley Mehrhoff for land at the Jefferson City Memorial Airport.
Section 2. The lease shall be substantially the same in form and content as Exhibit
A attached hereto.
Section 3. This Ordinance shall be in full force and effect from and after the date of
its passage and approval.
Passed: d Approved: At, o�3
Presi 'n fficer y
ATTEST: AP V D S TO FORM:
ty Cleflk City Counselor
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Exhibit A
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i
LEASE AGREEMENT
BETWEEN
CITY OF JEFFERSON
AND
STANLEY MEHRHOFF
•
` INDEX TO LEASE AGREEMENT
• ARTICLE I. PREMISES AND PRIVILEGES . . . . . . . . . . . . . . . . . . . . . . . . . . 1
A. DESCRIPTION OF PREMISES DEMISED . . . . . . . . . . . . . . . . . . . . . . . 1
B. NO WARRANTIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
C. LEASEHOLD USE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1. General Uses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
D. USE OF COMMON AREAS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
ARTICLE II. OBLIGATIONS OF LESSEE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
A. NET LEASE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
B. LEASEHOLD CONDITION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
C. SNOW REMOVAL. . . ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
D. ALTERATIONS AND REPAIRS TO PREMISES 3
E. EXTENSION OF UTILITIES OR SPECIAL FACILITIES. . . . . . . . . . . . . 3
F. MECHANIC'S LIEN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
G. SIGNS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
H. FIELD USE CHARGES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
I. NONDISCRIMINATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
J. AUTOMOBILES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
K. F.A.A. AND AIRPORT INSTRUMENTS 5
L. NON-INTERFERENCE WITH OPERATION OF AIRPORT . . . . . . . . . . 5
• ARTICLE III. TERM OF LEASEHOLD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
A. TERM. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
ARTICLE IV. RENTALS AND FEES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
A. FACILITIES RENTAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
B. UTILITY SERVICES AND TAXES OF OTHER GOVERNMENTAL
AGENCIES AND PERMIT FEES 5
C. RENT INCREASE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
D. TIME AND PLACE OF PAYMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
E. NATIONAL EMERGENCY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
A. LIABILITY INSURANCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
B. RESTORATION OF CASUALTY LOSSES . . . . . . . . . . . . . . . . . . . . . . . 7
C. WORKMEN'S COMPENSATION 7
ARTICLE VI. TERMINATION, ASSIGNMENT, TRANSFER, CANCELLATION,
RELOCATION AND PURCHASE . . . . . . . . . . . . . . . . . . . . . . . . 7
A. TERMINATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
B. CANCELLATION BY LESSEE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
C. CANCELLATION BY LESSOR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
D. WAIVER OF STATUTORY NOTICE TO QUIT . . . . . . . . . . . . . . . . . . . . 9
E. ASSIGNMENT AND SUBLETTING . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
• Ground Lease 4-2-08. 1
wpd
F. RELOCATION OF IMPROVEMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
G. LESSOR'S OPTION TO PURCHASE . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
ARTICLE VII. RIGHTS UPON TERMINATION . ; . . . . . . . . . . . . . . . . . . . . . . 10
A. FIXED IMPROVEMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
1. Lessee's Option to Remove. . . . . . . . . . . . . . . . . . . . . . . 10
2. City's Option to Request Removal. . . . . . . . . . . . . . . . . . 10
3. Failure to Remove. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
B. PERSONAL PROPERTY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
ARTICLE VIII. OBLIGATIONS OF LESSOR . . . . . . . . . . . . . . . . . . . . . . . . . . 11
A. SNOW REMOVAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
B. SECURITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
ARTICLE IX. GENERAL PROVISIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
A. LESSOR'S RESERVED RIGHTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
B. SERVICES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
C. PARAGRAPH HEADINGS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
D. NOTICES, CONSENTS AND APPROVALS . . . . . . . . . . . . . . . . . . . . . 12
E. SUCCESSORS AND ASSIGNS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
F. AMENDMENTS TO LEASE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
G. INSPECTIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
H. LEASE SUBORDINATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
ARTICLE X. NON-EXCLUSIVE RIGHTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
•
Ground Lease 4-2-08.wpd 1 1
LEASE AGREEMENT
THIS AGREEMENT made and entered into this ;27 day of , 2008, by and
between the City of Jefferson City, Missouri, a municipal corporation, h reinafter designated as
"Lessor" and Stanley Mehrhoff,"Lessee."
WITNESSETH
WHEREAS,the Lessor nowowns and operates the Jefferson City Memorial Airport,located
in Jefferson City, Missouri; and
WHEREAS, the Lessee owns an airplane hangar upon the described premises set out
below, and
WHEREAS, the Lessee wishes to continue to lease the described premises.
NOW, THEREFORE, for and in consideration of premises and mutual undertakings,
agreements and covenants hereinafter set forth, the parties hereto agree as follows:
ARTICLE I. PREMISES AND PRIVILEGES
For and in consideration of the terms, conditions and covenants of this Lease to be
performed by Lessee, all of which Lessee accepts, CITY hereby leases to Lessee and
• Lessee hereby hires and takes from CITY certain property, together with improvements
thereon, if any, (hereinafter called "demised premises"), and certain attendant privileges,
uses and rights, as hereinafter specifically set out.
A. DESCRIPTION OF PREMISES DEMISED
The Premises hereby leased is that certain tract of real estate described as follows:
Part of the northwest quarter of section 15, Township 44, Range 11,
in the County of Callaway, State of Missouri, being more particularly
described as follows:
From the northwest corner of said section 15, thence southerly along
the west line of said section 15, 823.85 feet: thence deflection of 60 022' to
the left 133.55 feet thence defecting 900 to the right 30 feet to the point of
beginning of this description; thence continuing straight 78.5 feet; thence
deflection 900 left 100.5 feet; thence deflecting 900 left 78.5 feet; thence
deflecting 900 left 100.5 feet to the point of beginning, containing 7,889.25
square feet.
B. NO WARRANTIES.
sCity makes no representations or warranties that Lessee's leasehold land is suitable
Ground Lease 4-2-09.wo 1
for a hangar or any other improvements, or any other use.
C. LEASEHOLD USE.
1. General Uses: Lessee may use its leasehold without a separate "Use and
Operating Agreement" only to:
a. construct a hangar; and,
b. store aircraft in the hangar that:
(1) it owns or leases; or,
(2) its sublessees own or lease, or,
C. Lessee must have a separate"Use and Operating Agreement"
with Board for any non-aircraft-storage or revenue-generating
operations at Airport.
2. Lessee shall not use or permit the use of any part of the leased premises in any
other manner than set forth above, without the prior written consent of Lessor.
DISPENSING and SALE of aviation fuels and lubricants is prohibited.
D. USE OF COMMON AREAS.
In addition to the areas leased, the Lessee shall have the privilege of using the
common areas of the facility in common with others authorized to do so,
provided however, that Lessee shall observe and comply with any and all
• requirements 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 the City Administrator for the administration of
the airport.
E. INGRESS AND EGRESS
Upon paying the rental hereunder and performing the covenants of this Agreement,
Lessee shall have the right of ingress to and egress from said demised premises
for the Lessee, its officers, employees, agents, servants, customers, vendors,
suppliers, patrons, and invitees over the roadway provided by CITY serving said
premises, and the right of ingress to and egress from the landing area for airplanes.
Said CITY's roadway, aircraft parking ramps and taxiways shall be used jointly with
other tenants on the airport and Lessee shall not interfere with the rights and
privileges of other persons or firms using said facilities.
The CITY reserves the right to restrict access to the demised premises during times
of flooding or imminent flooding or during the Fourth of July celebration.
ARTICLE II. OBLIGATIONS OF LESSEE
A. NET LEASE
Ground Lease 4-2-08.wpd 2
The use and occupancy of the demised premises by Lessee will be without cost or
expense to CITY. It shall be the sole responsibility of Lessee to keep, maintain,
• repair and operate the entirety of the demised premises and all improvements and
facilities thereon at Lessee's sole cost and expense.
B. LEASEHOLD CONDITION.
At all times, Lessee must keep its leasehold compliant with applicable building and
safety codes;and, neat, clean,and attractive. Director may send Lessee notice that
Lessee's leasehold is not sufficiently neat,clean,and attractive, and shall not permit
the accumulation of any trash or debris on the premises, and shall remove such
debris to a disposal site off the premises of the Airport. If, within 30 days after
receiving the notice, Lessee does not follow The City's reasonable directions for
improvements, City may:
1. make the improvements; and,
2. charge Lessee for them (plus a 10% administrative fee).
C. SNOW REMOVAL.
Lessee must remove snow from its leasehold in a way that does not interfere with
Airport operations or cause property damage;
D. ALTERATIONS AND REPAIRS TO PREMISES
• Lessee agrees not to construct, install, or remove, modify and/or repair any of the
premises leased hereunder, or the structures erected on them, without prior written
approval of the Director of the Department of Community Development, such
approval not to be unreasonably withheld but shall be contingent upon approval by
CITY of plans and specifications for the proposed project as well as other operating
conditions considered by CITY to be necessary.
CITY may require that any exterior improvements be constructed according to a
style selected by the CITY.
Lessee shall hold the City of Jefferson harmless and reimburse it for any and all
expenses of any nature whatsoever arising out of any claim for said improvements,
changes or repair. Cancellation of the lease shall not be deemed a waiver of the
Lessee's other remedies at law.
E. EXTENSION OF UTILITIES OR SPECIAL FACILITIES.
Lessee must construct:
1. any roadways and taxiways necessary to connect to Airport's existing
. roadway and taxiway system; and,
Ground Lease 4-2-08.wo 3
2. all utility lines necessary to serve its leasehold.
3. CITY will allow Lessee access across Airport property, if necessary, to
connect to the nearest, available utility lines.
F. MECHANIC'S LIEN
Lessee must indemnify and defend City against any mechanic's lien asserted on
Lessee's leasehold or other Airport property because of Lessee's Airport activities.
G. SIGNS
Lessee shall not erect, maintain, or display upon the outside of any improvements
on the demised premises any billboards or advertising signs, except the Lessee
may install a sign identifying the organization and displaying its official logo
approved by CITY. Provided, however, Lessee must apply for and obtain a permit
for any signage from the City.
H. FIELD USE CHARGES
Nothing herein shall be deemed to relieve Lessee and its sublessees, invitees, and
others from field use charges or other fees, as are levied generally by CITY directly
upon the operation of aircraft.
I. NONDISCRIMINATION
The Lessee for himself, his heirs, personal representatives, successors in interest,
and assigns, as a part of the consideration hereof,does hereby covenant and agree
as a covenant running with the land that in the event facilities are constructed,
maintained, or otherwise operated on the said property described in this lease for
a purpose for which a Department of Transportation program or activity is extended
or for another purpose involving the provision of similar services or benefits, the
Lessee shall maintain and operate such facilities and services in compliance with
all other requirements imposed pursuant to 49 CFR Part 21, Nondiscrimination in
Federally Assisted Programs of the Department of Transportation, and as said
Regulations may be amended.
The Lessee for himself, his personal representatives, successors in interest, and
assigns, as a part of the consideration hereof, does hereby covenant and agree as
a covenant running with the land 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
of services thereon, no person on the grounds of race, color, or national origin shall
• be excluded from participation in, denied the benefits of, or otherwise be subjected
to discrimination, (3) that the Lessee shall use the premises in compliance with all
Ground Lease 4-2-08.wpd 4
other requirements imposed by or pursuant to 49 CFR Part 21, Nondiscrimination
in Federally Assisted Programs of the Department of Transportation, and as said
Regulations may be amended.
• Lessee shall comply with all FAA and U.S. Code requirements as to
nondiscrimination.
J. AUTOMOBILES.
Lessee must not park automobiles on Airport ramps or taxiways.
K. F.A.A. AND AIRPORT INSTRUMENTS
Lessee hereby grants to the Federal Aviation Administration and the CITY the right
to place on and around the above described premises, without cost to the Lessee,
whatever instruments and equipment they desire during the term of this lease, so
long as said instruments or equipment do not interfere with the intended use of the
premises by the Lessee.
L. NON-INTERFERENCE WITH OPERATION OF AIRPORT
Lessee by accepting this Lease expressly agrees for itself, its successors and
assigns that it will not make use of the leased premises in any manner which might
interfere with the landing and taking off of aircraft from Jefferson City Memorial
• Airport or otherwise constitute a hazard. In the event the aforesaid covenant is
breached, CITY reserves the right to enter upon the premises hereby leased and
cause the abatement of such interference at the expense of the Lessee.
ARTICLE III. TERM OF LEASEHOLD
A. TERM.
The term of this lease shall be for five (5) years subject to annual rental rate
adjustment and earlier termination for cause as provided herein. The term of the
agreement shall commence May 1, 2008.
ARTICLE IV. RENTALS AND FEES
A. FACILITIES RENTAL
1. Lessee shall pay to CITY an annual rental of $0.20 per square foot for the
leased area ( as described in Article I (A), approximately 7,889.25 square
feet). Said lease rate shall be the same for both improved and unimproved
areas.
•
Ground Lease 4-2-08.wpd 5
2. Such sum is to be paid annually on or before the execution of this agreement
and on or before the annual anniversary of this agreement.
• B. UTILITY SERVICES AND TAXES OF OTHER GOVERNMENTAL AGENCIES AND
PERMIT FEES
1. Lessee agrees to pay for all utility services, and to pay all taxes, flowage
fees, fees, and assessments which may be levied by any governmental
agency with respect to the demised premises.
These fees are currently set by the City Council and if the City Council
changes them or added new fees, the Lessee would pay the newly enacted
fees.
C. RENT INCREASE.
Rent will increase—but not decrease—every year, on May 1 st, with any changes
in:
1. the Consumer Price Index for All Urban Consumers (CPI-U), all items,
published by the United States Department of Labor, Bureau of Labor
Statistics (1982-84 equals 100); or,
2. An appropriately-adjusted, successor index.
Each rent increase will be effective on the anniversary of this lease. This pattern
will apply to any holding-over rent too.
D. TIME AND PLACE OF PAYMENT
All payments are to be made to the City of Jefferson, Department of Finance, 320
East McCarty Street, Jefferson City, Missouri, 65101, or such other place the CITY
may direct Lessee, in writing.
E. NATIONAL EMERGENCY
In the event possession of the demised premises and the improvements thereon is
assumed by the United States of America under any emergency powers, the rent
due under this lease shall abate for the period of such possession. If the Lessee
shall be reimbursed by the United States Government for its assumption of
possession, then the rental provisions of this lease shall remain in effect, but
provided further, however, that if said reimbursement is less than the amount of
rental herein provided, the Lessee shall be required to pay to the City only such
amount of reimbursement as it shall receive from the United States Government.
Ground Lease 4-2-08.wpd 6
ARTICLE V. INSURANCE BY LESSEE
A. LIABILITY INSURANCE
Lessee agrees that it will at all times maintain public liability 'insurance with
reputable insurance companies in the following amounts:
Comprehensive Public Liability Insurance
Bodily Injury $ 300,000 each person
$1,000,000 each accident
Property Damage $1,000,000 each accident
This insurance shall assure the obligation of the Lessee to save the CITY harmless
from any and all claims for damages arising on the demised premises or resulting
as a direct or indirect consequence of the occupation and use of said demised
premises or resulting as a direct or indirect consequence of the occupation and use
of said demised premises by the Lessee. Current copies of said insurance policies
or certificates of insurance shall be furnished to the CITY and shall be promptly
replaced upon expiration. CITY shall be named as an additional insured on the
policy. Policy amounts shall be adjusted annually to reflect the limits of liability
under sovereign immunity set by the Missouri State Legislature.
B. RESTORATION OF CASUALTY LOSSES
In the event of fire or other loss to the leased premises, Lessee shall within ninety
(90)days thereafter promptly restore the demised premises to their condition prior
to such loss. Notwithstanding the foregoing, if the demised premises are totally
destroyed or damaged to an extent which substantially interferes with the ability of
Lessee to conduct its business on the demised premises, then the Lessee shall
have the option to remove the damaged improvement and the debris resulting
therefrom and restore the surface condition of said demised premises to its original
condition, at which date this lease shall be deemed canceled. If said destruction is
of such extent that complete rebuilding is 'necessary, the Lessee may elect to
rebuild and shall have a reasonable period of time in which to complete said
rebuilding, during which period the Lessee shall continue to pay the City the rents
provided in this lease or any renewal thereof.
C. WORKMEN'S COMPENSATION
Said Lessee further covenants and agrees that the Lessee will save harmless said
Lessor and the above demised premises at all times during the continuation of this
Lease from all damages, claims, fines, penalties, costs and expenses whatsoever
which may result to said Lessor or to said demised premises or to any
improvements at anytime situated thereon under the provisions of the Workmen's
. Compensation Act and other statutory provisions of a similar nature.
Ground Lease 4-2-08.wpd 7
ARTICLE VI. TERMINATION, ASSIGNMENT, TRANSFER, CANCELLATION,
RELOCATION, AND PURCHASE
A. TERMINATION
This Lease shall terminate at the end of the full term hereof, unless extended by
written agreement of the parties, or by cancellation as provided herein, and if
terminated or canceled Lessee shall have no further right or interest in any of the
ground improvements hereby demised, except as provided in ARTICLE VII.
B. CANCELLATION BY LESSEE
This Lease shall be subject to cancellation by Lessee after the happening of one or
more of the following events:
1. In the event City should cease to operate or maintain an airport adjacent to
the demised premises.
2. The lawful assumption by the United States Government, or any authorized
agency thereof, of the operation, control or use of the Airport, or any
substantial part or parts thereof, in such a manner as substantially to restrict
Lessee for a period of at least ninety (90) days from operating thereon.
3. Issuance of any court or competent jurisdiction of any injunction in any way
preventing or restricting the use of the Airport, and the remaining in force of
such injunction for a period of at least ninety (90) days.
4. The default by CITY in the performance of any covenant or agreement
herein to be performed by CITY and the failure of CITY to remedy such
default for a period of sixty (60) days after receipt from Lessee of written
notice to remedy the same.
Lessee may exercise such right of cancellation by written notice to CITY at any time
after the elapse of the applicable periods of time and this Lease shall terminate as
of that date. Rentals due hereunder shall be payable only to the date of said
termination.
C. CANCELLATION BY LESSOR
This Lease shall be subject to cancellation by CITY in the event Lessee shall:
1. Abandon the demised premises.
2. Discontinue its operations as outlined in ARTICLE I.C.
• 3. Defaults in the payment of rent within five(5)days after being due, then City
after giving written notice of default may within ten (10)days thereafter elect
to declare this lease forfeited, in which event Lessee shall surrender
Ground Lease 4-2-08.wpd 8
possession of said premises peacefully to the CITY. If Lessee shall default
in any of the other covenants herein contained and shall continue in such
default for a period of thirty(30) days after notice thereof in writing from the
• CITY, the CITY shall have the election to declare this lease forfeited and
thereupon,the Lessee shall surrender possession of said premises. Lessee
shall have the right to remove the improvements from the demised premises
as provided herein with respect to removal on termination of the lease,
except that CITY may require any back rental payments to be made before
allowing such removal.
4. If Lessee fails to obtain any insurance required by this contract, or if any
insurance policy required bythis contract expires or is canceled,then Lessee
shall cease all operation on leased premises until proper insurance is
obtained. If proper insurance is not obtained within fifteen (15) days then
CITY may declare this lease forfeited.
5. If Lessee defaults in any obligation under this lease, other than payment of
rent, provided however that CITY shall provide written notification of the
violation and give thirty (30) days for Lessee to cure the default.
In any of aforesaid events, CITY may take immediate possession of the demised
premises and remove Lessee's effects,forcibly, if necessary,without being deemed
guilty of trespassing. Upon said default, all rights of Lessee shall be terminated
provided, however, CITY and Lessee shall have and reserve all of their available
remedies at law as a result of said breach of this contract.
Failure of CITY to declare this Lease terminated upon the default of Lessee for n
p any
of the reasons set out shall not operate to bar, destroy or waive the right of CITY to
cancel this Lease by reason of any subsequent violation of the terms hereof.
D. WAIVER OF STATUTORY NOTICE TO QUIT
In the event CITY exercises its option to cancel this agreement upon the
happenings of any or all of the events set forth in Section C(Cancellation by CITY),
a notice of cancellation shall be sufficient to immediately cancel this Agreement;
and, upon such cancellation, Lessee hereby agrees that it will forthwith surrender
up possession of the demised premises to the City as set forth in Article VIII.
E. ASSIGNMENT AND SUBLETTING
The Lessee shall not sublease,or assign this lease without first obtaining the written
approval of the City through the Director of the Department of Community
Development; but in such event, Lessee shall remain liable to CITY for the
remainder of the term of the lease to pay to CITY any portion of the rental and fees
provided for herein. Said sublessee or assignee shall not sublease or assign said
lease except with the prior written approval of CITY and Lessee herein, and any
• assignment by the Lessee shall contain a clause to this effect.
Ground Lease 4-2-08.wN 9
F.' RELOCATION OF IMPROVEMENTS
In the event CITY requires the demised premises for expansion or development of
• the airport CITY reserves the right, on six(6) months' notice, to relocate or replace
Lessee's improvements in substantially similar form at another location on said
Airport. In said event, Lessee shall have the right to terminate this Lease.
G. LESSOR'S OPTION TO PURCHASE
1. CITY reserves the right to purchase the improvements constructed on the
premises by the Lessee at anytime during this lease or any renewal thereof,
or at the termination thereof for the fair market value of the improvements.
In the event the City desires to exercise the option to purchase, it shall give
to the Lessee, in writing, notice of its intention to purchase the improvements
six (6) months prior to the purchase thereof, and Lessee shall not improve
the demised premises during this period. If CITY gives notice of its intent to
exercise this option to purchase, Lessee may elect to retain and remove said
improvements from the demised premises at its own cost and at no cost to
the CITY and Lessee shall also at its cost restore the demised premises to
their condition prior to the placing of the improvements thereon.
2. "Fair Market Value" shall mean a sum agreed to by the parties reflecting
what a willing buyer would pay to a willing seller. If the parties can't agree on
a fair-market value, each will have 60 days to get an independent real-estate
appraisal. If, at the end of that 60 days, City has:
• a. both appraisals, their average will be fair-market value;
b. only one appraisal, its amount will be fair-market value;
C. no appraisals, City's offer will be fair-market value.
ARTICLE VII. RIGHTS UPON TERMINATION
A. FIXED IMPROVEMENTS
1. Lessee's Option to Remove.
The Lessee shall be the owner of all of the improvements which it makes on
the demised premises at its expense. Upon the termination of this lease, or
any renewal thereof, Lessee shall have the right to remove the said
improvements at the cost of the Lessee, it being the purpose of the parties
that the title to said improvements shall not inure to the City through the
theory of annexation. In the event Lessee elects to remove the
improvements, Lessee shall at its cost restore the demised premises to their
condition prior to the placing of the improvements thereon.
Ground Lease 4-2-08.wpd 10
2. City's Option to Request Removal.
• a. At the termination of this Lease for any reason, CITY shall be
entitled at its option to have the land demised herein returned
to it clear of all fixed improvements above ground level which
have been constructed by Lessee and restored to its original
condition. Request for said removal shall be set forth in writing
by CITY to Lessee thirty (30) days prior to termination of this
lease. If removal is not requested prior to said thirty(30) days,
Lessee shall have no obligation for such removal.
b. If CITY requires such removal, Lessee may have ninety (90)
days after termination in which finally to remove any such
improvements,and provided that such occupancy for purposes
of removal shall be subject to ground rentals due hereunder.
3. Failure to Remove.
In the event that all improvements are not removed within the time required,
such improvements will, at the CITY's option, either:
a. Be removed by the CITY at the cost of the Lessee; or,
b. Become the property of the CITY.
• B. PERSONAL PROPERTY
Upon termination of this lease, Lessee shall remove all personal property from the
demised premises within ten (10) days after said termination and if Lessee fails to
remove said personal property, said property may thereafter be removed by CITY
at Lessee's expense.
ARTICLE VIII. OBLIGATIONS OF LESSOR
A. SNOW REMOVAL
The CITY will make reasonable efforts to clear snow and ice from public parking
and apron areas. Removal will be done on a priority basis with runways and
taxiways having priority. Lessee will be responsible for snow removal on the leased
premises.
B. SECURITY
The CITY will encourage police to patrol the Airport terminal and apron areas.
•
Ground Lease 4-2-08.wpd 1 1
ARTICLE IX. GENERAL PROVISIONS
• A. LESSOR'S RESERVED RIGHTS
1. CITY reserves the right(but shall not be obligated to Lessee)to maintain and
keep in repair the landing area of the airport and all publicly-owned facilities
of the airport, together with the right to direct and control all activities of the
Lessee in this regard.
2. CITY reserve the right further to develop or improve the landing area and all
publicly-owned air navigation facilities of the airport as it sees fit, regardless
of the desires or views of the Lessee, and without interference or hindrance.
3. CITY reserves the right to take any action it considers necessary to protect
the aerial approaches of the airport against obstruction, together with the
right to prevent Lessee from erecting, or permitting to be erected, any
building or other structure on the airport which in the opinion of CITY would
limit the usefulness of the airport or constitute a hazard to aircraft.
4. During time of war or national emergency CITY shall have the right to enter
into an agreement with the United States Government for military or naval
use of part or all of the landing area, the publicly-owned air navigation
facilities and/or other areas or facilities of the airport. If any such agreement
is executed,the provisions of this instrument, insofar as they are inconsistent
• with the provisions of the agreement with the Government, shall be
suspended.
5. There is hereby reserved to the City of Jefferson City, its successors and
assigns, for the use and benefit of the public, a free and unrestricted right of
flight for the passage of aircraft in the airspace above the surface of the
premises herein conveyed, together with the right to cause in said airspace
such noise as may be inherent in the operation of aircraft, now known or
hereafter used for navigation of or flight in the air, using said airspace or
landing at, taking off from, or operating on or about the airport.
6. This lease shall become subordinate to provisions of any existing or future
agreement between the CITY and the United States of America or any
agency thereof relative to the operation,development,or maintenance of the
airport, the execution of which has been or may be required as a condition
precedent to the expenditure of federal funds for the development of the
airport.
�I
7. CITY, through its duly authorized agent, shall have at any reasonable time
during business hours the full and unrestricted right to enter the leased
premises for the purpose of inspection.
•
Ground Lease 4-2-08.wpd 12
B. SERVICES
• The CITY shall have no responsibility or liability to furnish any services to Lessee
otherthan those specified in this lease, but Lessee may negotiate with CITY for any
additional services it may request and shall pay for such additional services the
consideration so negotiated.
C. PARAGRAPH HEADINGS
The paragraph headings contained herein are for convenience in reference and are
not intended to define or limit the scope of any provision of this lease.
D. NOTICES, CONSENTS AND APPROVALS
Whenever any notice or payment is required by this Lease to be made, given or
transmitted to the parties hereto, such notice or payment shall be deemed to have
been given if enclosed in an envelope with sufficient postage attached to insure
deliver, and deposited in the United States mail, addressed to:
LESSOR..................City of Jefferson
Department of Community Development, Airport Division
320 East McCarty Street
Jefferson City, MO 65101
•
LESSEE..................Stan Mehrhoff
12245 Dogwood Dr.
Holts Summit, MO 65043
or such other place as either party shall in writing designate in the manner herein
provided.
E. SUCCESSORS AND ASSIGNS
All of the terms, covenants and agreements herein contained shall be binding upon
and shall inure to the benefit of successors and assigns of the respective parties
hereto.
F. AMENDMENTS TO LEASE
All amendments to this lease must be made in writing by mutual agreement to the
parties, and no oral amendments shall be in force or effect whatever.
G. INSPECTIONS
City may, at all reasonable times, inspect Lessee's leasehold for fire protection and
maintenance; and, to investigate Lessee's compliance with Lease terms.
Ground Lease 4-2-08.wpd 13
H. LEASE SUBORDINATION.
This Lease is subordinate to any existing or future agreements between City and
the United States, relative to Airport operation or maintenance, if the United States.
ARTICLE X. NON-EXCLUSIVE RIGHTS
It is understood and agreed that nothing herein contained shall be construed to
grant or authorize the granting of any exclusive right within the meaning of Section
308 of the Federal Aviation Action of 1958.
CITY reserves the right, at its sole discretion, to grant others certain rights and
privileges upon the Airport which are identical in part or in whole to those granted
to Lessee.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be
executed as of the date first above mentioned at Jefferson City, Missouri.
CITY OF JEFFERSON, MISSOURI STAN MEHRHOFF
M or Title: 2�S
T: ES .
ity Cle =. Title:
APPR D A TO FORM: APPROVED AS TO FORM:
City oun elor Counsel
Ground Lease 4-2-08.WW 14