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Home My WebLink About2011-187sAlegal\our documents\ordinances\11\airport first financial lease 4th amendment.doc ORDINANCE NO. 2011-187 AN ORDINANCE AUTHORIZING THE CITY MANAGER TO APPROVE A FOURTH AMENDMENT TO AN AIRPORT LEASE DATED SEPTEMBER 15, 1987 AS AMENDED BY ORDINANCE 2010-297 DATED SEPTEMBER 7, 2010 AND BY ORDINANCE 2011-035 DATED MARCH 1, 2011 AND BY ORDINANCE 2011-097 BETWEEN THE CITY OF DENTON, TEXAS AND FIRST FINANCIAL RESOURCES, INC. AT THE DENTON MUNCIPAL AIRPORT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, certain real property upon the Denton Municipal Airport was leased to First Financial Resources, Inc. in an Airport Lease Agreement; and WHEREAS, the City of Denton and Lessee desire to amend the lease agreement; and WHEREAS, the City Council deems it in the public interest to approve this ninety (90) day extension of the Lease; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The City Manager or his designee is hereby authorized to execute a Fourth Amendment to an Airport Lease Agreement between the City of Denton and First Financial Resources, Inc. at the Denton Municipal Airport which is attached to and made a part of this ordinance for all purposes and to exercise all rights and duties of the City of Denton under the Airport Lease Agreement. SECTION 2. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the 41h day of 2011. ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: ., i�W1- s:llegal\our documentslordinances\l 1\airport first financial lease 4th amendment.doc APPROVED AS TO LEGAL FORM: ANITA BURGESS, CITY ATTORNEY FOURTH AMENDMENT TO COMMERCIAL OPERATOR LEASE AGREEMENT BETWEEN CITY OF DENTON AND FIRST FINANCIAL RESOURCES, INC. THE STATE OF TEXAS KNOW ALL MEN BY THESE PRESENTS COUNTY OF DENTON Tlus Fourth Amendment to that certain Commercial Operator Lease which was first made and executed on September 15, 1987 and amended on September 7, 2010, March 1, 2011 and June 7, 2011 at Denton, Texas, by and between the City of Denton, Texas, a municipal corporation, hereinafter referred to as "Lessor," and First Financial Resources, Inc., hereinafter referred to as "Lessee". WITNESSETH: WHEREAS, the Lessor and the Lessee have requested an amendment of the Lease term and the City Manager and the Airport Advisory Board support the amendment of the Lease; NOW, THEREFORE, in consideration of the promises and the mutual covenants contained in this Agreement, the parties agree as follows: SECTION III. - TERM OF THE LEASE IS HEREBY AMENDED TO READ AS FOLLOWS: The tern of this Agreement shall be for a period of twenty-three (23) years, commencing on the 15t1i day of September, 1987 and as amended to continue through the 13"i day of October 2011, except as amended hereby to extend for ninety (90) days through the 11th day of January, 2012, unless earlier terminated under the provisions of the Agreement. Lessee shall have the first right of refusal to renegotiate this lease for three (3) additional five year periods at rentals and terns mutually agreed upon by the Lessor and Lessee without regard for or considering the then cost of living index. Lessee's election to renegotiate this lease shall be in writing addressed to the City Manager at least one hundred eighty (180) days before the expiration of the primary term of twenty- three (23) years as amended hereby to extend for ninety (90) days and at least 180 days before the expiration of each additional renegotiated period. The rental and terms to be negotiated shall be reasonable and consistent with the then value, rentals and terms of similar property on the Airport. Lessee's first right of refusal to renegotiate this lease shall expire upon the end of the last day of the primary term of twenty-three (23 ) years as amended hereby to extend for ninety (90) days and the last day of each additional renegotiation period. SECTION IV. — PAYMENTS, RENTALS AND FEES IS HEREBY AMENDED TO READ AS FOLLOWS: Land rental shall be the sum of Two Hundred Twenty Eight Dollars and Eighty One Cents ($228.81) per month effective October 14, 2011 through January 11, 2012, payable in three (3) equal monthly installments in the sum of Two Hundred Twenty Eight Dollars and Eighty One Cents ($228.81) in advance, on or before the first day of each and every month during the term of this agreement. Notwithstanding the foregoing, the lease rental is reduced by the product of $0.11481 per square foot tunes the number of square feet compromising all easements established in accordance with Article II (c). SECTION XI. — INSURANCE OF THE LEASE IS HEREBY AMENDED TO READ AS FOLLOWS: C. Indemnity. Lessee must indemnify, hold harmless and defend the Lessor, its officers, agents and employees, from and against liability for any and all claims, liens, suits, demands and/or actions for damages, injuries to persons (including death), property damage, (including loss of use), and expenses, including court costs, attorneys' fees and other reasonable costs, occasioned by or incidental to the Lessee's occupancy or use of the Leased Premises or the Airport and/or activities conducted in connection with or incidental to this Lease Agreement, including all such causes of action based on common, constitutional or statutory law, or based in whole or in part upon the negligent or intentional acts or omissions of Lessee, its officers, agents employees, invitees or other persons. Lessee must at all times exercise reasonable precautions on behalf of, and be solely responsible for, the safety of its officers, employees, agents, customers, visitors, invitees, licensees and other persons, as well as their property, while in, on, or involved in any way with the use of the Leased Premises. The Lessor is not liable or responsible for the negligence or intentional acts or omissions of the Lessee, its officers, agents, employees, agents, customers, visitors and other persons. The Lessor shall assume no responsibility or liability for harm, injury, or any damaging events which are directly or indirectly attributable to premise defects, whether real or alleged, which may now exist or which may hereafter arise upon the Leased Premises, responsibility for all such defects being expressly assumed by the Lessee. The Lessee agrees that this indemnity 2 provision applies to all claims, suits, demands, and actions arising from all premise defects or conditions. THE LESSOR AND THE LESSEE EXPRESSLY INTEND THIS INDEMNITY PROVISION TO REQUIRE LESSEE TO INDEMNIFY AND PROTECT THE LESSOR FROM THE CONSEQUENCES OF THE LESSOR'S OWN NEGLIGENCE WHILE LESSOR IS PARTICIPATING IN THIS LEASE AGREEMENT WHERE THAT NEGLIGENCE IS A CONCURRING CAUSE OF THE INJURY, DEATH, OR DAMAGE. NOTWITHSTANDING THE TERMS OF THE PRECEDING SENTENCES, THIS INDEMNITY PROVISION DOES NOT APPLY TO ANY CLAIM, LOSS, DAMAGE, CAUSE OF ACTION, SUIT AND LIABILITY WHERE THE INJURY, DEATH, OR DAMAGE RESULTS FROM THE SOLE NEGLIGENCE OF THE LESSOR OR ANY OF ITS EMPLOYEES, CONTRACTORS, OR AGENTS, UNMIXED WITH THE FAULT OF ANY OTHER PERSON OR ENTITY. ALL OTHER PROVISIONS OF THE LEASE AGREEMENT REMAIN IN FULL FORCE AND EFFECT. S WHEREOF, the parties have executed this Agreement as of the day of11�011. BY LESSOR: GEbRGE .. CITY MANAGER ATTEST: JENNIFER WALTERS, CITY SECRETARY B,, APPROVED AS TO LEGAL FORM: ANITA BURGESS, CITY ATTORNEY BY: Xz FIRST FINANCIAL RESOURCES, INC. LESSEE: BY: Byron art STATE OF TEXAS COUNTY OF DENTON This instrument was acknowledged before me on the I q day of Scpi 20_[L_, by Byron Hart. [SEAL] n......�.. ..... �� "ry►ubft. 1.26-12 g � 1NgArr of Tom/ STATE OF TEXAS COUNTY OF DENTON Notary Public, State of Texas My Commission Expires (or Notary Stamp) This instrument was acknowledged before me on they day ofeb4dr�2v- 20// , by George Campbell, City Manager on behalf the City of Denton, Texas, a municipal corporation. L] JENNIFER K. WALTERS Notary Public, State of Texas My Commission Expires December 19, 2014 +tary u lic, State of Tex s o ission Expires 1 (or Notary Stamp) 11