1997-132
FILE REFERENCE FORM
97-132
FILE(S) Date Initials
First Amendment to Lease Agreement - Ordinance No. 98-431 12/08/98 JR
Second Amendment to Lease Agreement - Ordinance No. 2003-230 07122/03 JR
Assignment of Leasehold Interest - Ordinance No. 2004-379 12/07/04 JR
Correction and Clarification of Leasehold Interest in Airport Lease -
original attached to Ordinance No. 2004-379 04/06/05 JR
Aero Properties Lease terminated - Ordinance No. 2005-376 12/13/05 JR
NOTE First Amendment to Lease - 98-431
NOTE Amendment to Lease - Ordinance No 2001-116
ORDINANCE NO. q 7-/,..~ ~
AN ORDINANCE AUTHORIZING THE CITY MANGER TO EXECUTE AN AIRPORT
LEASE AGREEMENT BETWEEN THE CITY OF DENTON, TEXAS AND EZELL
AVIATION INCORPORATED FOR APPROXIMATELY 8.2 ACRES OF PROPERTY
LOCATED AT THE DENTON MUNICIPAL AIRPORT, WHICH PREEMPTS THE
LEASE ASSIGNED PER RESOLUTION NO. 97-020 TO EZELL AVIATION, INC
FROM FOX-51 LIMITED; AND PROVIDING AN EFFECTIVE DATE
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS'
SECTION I That the C~ty Manager ts authorized to execute an airport lease agreement
between the C~ty of Denton, Texas for approxtmately 8 2 acres of land located at the Denton
Mumc~pal Atrport, under the terms and con&tlons contained w~thtn th~s agreement, whtch ts
attached hereto and made a part hereof
SECTION H. The lease asmgnment per Resolutton No 97-020 to Ezell Avtat~on, Inc
from Fox-51 Ltmtted ts hereby preempted
SECTION III That th~s ordmance shall become effecttve tmmedtately upon ~ts passage
and approval
PASSED AND APPROVED thru the b'-/~ day of ~ _,
1997
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
AIRPORT LEASE AGREEMENT
COMMERCIAL/FBO
WHEREAS, the City of Denton, Texas as Lessor and Ezell Aviation, Incorporated, as Lessee, desire
to enter into an airport lease agreement which amends the terms and cond~bons of the lease approved by
Ordinance No 97-120 between the City of Denton and Fox-51 Lim;tod which was assigned by the Lessor on
April 15, 1997, per Resolution No 97-020 to Ezell Aviation, Inc, NOW THEREFORE
This lease and agreement is made and entered into this.~_.."~day of ~ , 1997, but effective
May 1, 1997, by and between the C;ty of Denton, a Munlc;pal Corporet~on, situatad(~ Denton County, Texas
hereinafter called "Lessor", and Ezell Aviation, Incorporated, a corporetlon of the ~;tate of Texas located at
Stephens County Airport, Post Office Box 1793, Breckenridge, Texas, and whose registered agent is Nelson
Ezell, located at Stephens County Airport, Post Office Box 1793, Breckenridge, Texas, hereinafter referred
to as "Lessee"
In consideration of the premises and the mutual covenants, the parties agree that the land to be leased ;s the
following described land situated in Denton County, Texas
I PREMISES AND USE
A Fixed Base Ooaretor Premise
TRACT "A"
A 100 x 200 foot tract of land being approximately 20 000 square feet, and a 165 x 220 foot
tract of land, being approximately 36,300 square feet, having a combined area of approximately
56,300 square feet or 1 29 acres, deecnbed as follows
COMMENCING at the northwest corner of a tract of land as conveyed to P F Breen by deed
recorded In Volume 127, Page 185 of the Deed Records of Denton County, Texas sa~d po;nt
lying in the South right of way line of FM Road 1515,
THENCE west along the south nght of way line of FM Road 1515 a distance of 350 feet to a
point,
THENCE north along the west nght of way line of FM Road 1515 a al;stance of 1 000 feet to a
point,
THENCE west perpendicular to said right of way line of FM 1515 a distance of 870 feet more
or less, to a point on the east edge of the pavement of the north taxiway,
THENCE north 13°50'41" west along the east edge of pavement of said north tax,way a d~stance
of 10 feet to a po;hr for a comer,
THENCE north 76°09'19" east perpendicular to said east edge of pavement a distance of 175
feet to the point of beginning,
THENCE north 13°50'41" west 175 feet east of and parallel to said east edge of pavement a
distance of 220 feet to a point for a corner,
THENCE north 76Q09'19" east perpendicular to said east edge of pavement a d~stance of 5 feet
to a point for a comer,
THENCE north 13Q50'41" weet 180 feet east of and parallel to sa~d east edge of pavement a
distance of 200 feet for a point for a corner,
THENCE north 76~09'19" east perpendicular to sa~d east edge of pavement a d~stance of 100
feet to a point for corner,
THENCE south 13~50'41" east 280 feet east of and parallel to said east edge of pavement a
distance of 200 feet to a point for a comer,
THENCE north 76°09'19" east perpendicular to sa~d east edge of pavement a d~stance of 60 feet
to a point for a corner,
THENCE south 13°50'41'' east 340 feet east of and parallel to said east edge of pavement a
d~stance of 220 feet to a point for a comer,
THENCE south 76=09'19" west perpendicular to sa~d east edge of pavement a d~stance of 165
feet to the place of beginning and containing 56,300 square feet of land, more or less, as shown
on Exhibit "A", attached hereto and incorporated herein by reference
PLUS, TRACT "R"
All that certain tract or pamel of land lying in the T Toby Survey, Abstract Number 1285, C~ty of
Denton, Denton County, Texas, as shown ~n Exhibit B (Tract "B"), and described as follows
COMMENCING at the northwest comer of a tract of land as conveyed to the Nobles Company
by deed recorded in Volume 2798, Page 695, Real Property Records, of Denton County, Texas
said point lying in the south line of F M Road 1515,
THENCE north 88033'43'. west w~th the south line of sa~d F M Road 1515 a distance of 265 14
feet,
THENCE north 01~50'39" west along and near a fence on the east line of Tom Cole Road a
distance of 1000 00 feet,
THENCE south 88Q09'21" weet a distance of 902 71 feet to a corner on the east line an asphalt
taxlway,
THENCE north 12~25'00" west with the east line of sa~d tax,way a distance of 274 35 feet
THENCE north 77~35'00" east a distance of 340 00 feet to an ~ron pin set for southwest corner
of a tract of land described as property A in Resolution No R91-052, 8-20-1991, C~ty of Denton
Denton County Texas and the point of beginning of the herein described tract,
THENCE north 77°35'00" east a distance of 389 80 feet to a point for a corner,
THENCE south 17°35'52'. east a distance of 115 49 feet to an ~ron pin found at the southeast
corner of a tract of land described as property B in Resolution No R91-052, 8-20-1991 C~ty of
Denton, Denton County Texas and the point of beginning of the here~n described tract,
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 2
THENCE south 55"35'52" west a distance of 280 53 feet to an ~ron pm for a corner,
THENCE south 77°36'29'' west a d~stance of 139 91 feet to an iron p~n for corner,
THENCE north 12"25'00" west a d~stance of 220 01 feet to the Point of Begmmng and containing
73,766 18 square feet or I 6934 acres of land
PLUS, TRACT "C"
All that certain tract or parcel of land lying in the T Toby Survey, Abstract Number 1285, C~ty of
Denton, Denton County, Texas, as shown in Exhibit B (Tract "C"), and described as follows
COMMENCING at the Northwest comer of a Tract of Land as conveyed to the Nobles Company
by deed recorded in Volume 2798, page 695, Real Property Records of Denton County, Texas
said point lying in the south line of F M Road 1515,
THENCE, north 88'33"43 seconds west w~th the south line of sa~d F M Road
1515 a distance of 265 14 feet,
THENCE, north 01°50' 39" west along and near a fence on the east line of Tom Cole Road
a distance of 1000 0 feet,
THENCE, south 88'09'21" west a d~stance of 902 71 feet to a corner on the east I~ne of an
asphalt taxlway,
THENCE, north t2o25'00" west with the east I~ne of said taxtway a distance of 274 35 feet,
THENCE, north 77'35'00" east a distance of 340 00 feet to an ~ron pm at the northwest corner
of a tract of land described as property B ~n Resolution No R-91-052, C~ty of Denton Denton
County, Texas,
THENCE, south 12'25'00" east, w~th the west line of sa~d 1 6928 acre tract a d~stance of 222 00
feet to an iron pin found at the southwest corner of sa~d 1 6928 acre tract and the point of
beginning of the herein described tract,
THENCE, south 77*degrees 44'34" west a distance of 154 52 feet to an ~ron pm
set for the northwest corner of the here~n descnbed tract,
THENCE, south 12'25'00" east a distance 200 00 feet to an ~ron p~n set for the southwest corner
of the herein described tract,
THENCE, north 77'36'29" east a distance of 530 00 feet to an ~ron p~n set for the southeast
corner of the herein described tract,
THENCE, north 07'49'03" west a distance of 306 14 feet to an iron pin found at the southeast
corner of said 1 6928 acre tract a distance of 280 54 feet to a found pin,
THENCE, south 55°35'29" west w~th the south line of sa~d 1 6928 acre tract a distance of 280 54
feet to a found iron pin,
THENCE, south 77'36'29 seconds west w~th sa~d south line a d~stance of 139 90 feet to the point
of beginmng and containing 120,841 858 square feet, or 2 7741 acres of land
EZELL AVIATION, INC LEASE AGREEMENT * PAGE 3
The Fixed Base Operator tract, as descnbed in Section I A, w~ll comprise of a total
of 250,908 038 square feet or approximately 5 7569 acres
Together w~th the right of ingress and egress to the properb/, ~n common w~th others so
authorized, of passage upon the Airport property generally, subject to reasonable regulabons
of Lessor This right shall extend to Leeeee's employees, passengers, patrons, and ~nwtees
B. Uae of Fixed Baaed Ooeretor Premises
Lessor does hereby demise and let unto the Lessee, and Lessee does hereby lease and take from the
Lessor, the land and facilities herein deecnbed, and the rights, licenses, and priwleges ~n connection
with the use of such property and improvements as follows
1 The use. in common with others autho.zed so to do, of sa~d a~rport and all appurtenances
facilibes, improvements, equipment and serv~cee which have been or may hereafter be prowded
thereat
2 The operation of a transportation system by aircraft, the repairing, maintaining, conditioning,
servicing, parking or storage of aircraft or other equipment, the training of personnel and the
testing of aircraft and other equipment, the sale, d,sposal or exchange of a,rcraff engines,
accessodee, and retstad equipment, the sewic,ng by Lessee of aircraft and other a~rport related
equipment, including the right to Install and maintain on sa;d a~rport adequate storage facil*t~es
and appurtenances, including right of way necessary therefor the landing, taking off, parking,
loading, and unloading of aircraft and other equipment, the nght to load and unload persons,
property and ma~l at said airport, by such means as Lessee may des,ra, w~th the right to
designate the carders who shall transport Lessee's passengers and their baggage to and from
the airport, and, also, the further right to designate the carriers who shall transport Lessee's
airborne freight, ~f any, to and from the sa~d airport, the right to install and operate advert;stag
s~gns, the general type and design of such s~gns to be reasonable and appropriate, the conduct
of any other aviation related business or operations reasonably necessary to the proper
necessary and appropriate conduct and operation by Lessee of ~ts bus,ness, and w~thout ~n any
way limiting the foregoing, Lessee specifically agrees that, ~f Lessee etscts to engage m or
provide any of the above services on the premises here~n leased, Lessee will
a Provide service to the public on a non-d~ecnmmatory bas,s.
b Conduct and operate its business and management ~n a courteous and efficient manner
o If Lessee provides fie-down service, Lessee w~ll provide t~e-down service to overmght or
other transient aircraft or aircraft rema~mng at the a;rport for twenty-four (24) hours or less,
d If Lessee provides airoraff fuel services, Lessee w,II make ava,labia e;ther by tank truck
stationary pump or other au;table dispensing equipment approved by the F~re Marshall of the
City of Denton, the quality of gasoline and other petroleum distillates normally found at s~m;lar
airports, and all storage tanks for gasoline and other aviation fuets shall be placed
underground in accordance with the provls;ons of the F~re Code of the C~ty of Denton for
underground flammable I~quid storage tanks
· Lessee may not use any of the leased land or premises for the operation of, a motel hotel,
private club or bar, apartment house, or for industrial, commercial or retail purposes, except
as authorized here~n, without the expressed written consent of Lessor
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 4
f Lessee shall have the non-exclusive right to construct and operate a restaurant on the leased
premises during reasonable hours as agreed to by Lessee and Lessor
g Lessee shall install, maintain, and operate proper radio and metecrolog~cal equipment to man
(monitor and respond) the Airport Unicom, frequency 122 7 Lessee w~ll operate the Umcom
during normal Airport operating hours, Monday through Fnday, 8 00 A M to 5 00 PM
Lessee will have the non. exclusive right to conduct Unicom operations on the above
~dentifled frequency
3 Lessee is hereby authorized to construct upon the land herein leased, at ~ts own cost and
expense, buildings, hangars, and structures, including fuel storage tanks or other equipment
that Lesser and Lessee mutually agree are necessary for use m connection w~th the operat~oos
authorized by this lease, provided, however, before commencing the construction of any
improvements upon the premises, Lessee shall submit
a all plans and specifications showing the location upon the prem~see of the proposed
construction, and
b the estimated cost of such construction
No constructmn may commence until Lessor, acting by ~ts C~ty Council, has approved the plans
and specifications and the location of the ~mprovements, the estimated costs of such construction, and
the agreed estimated life of the building or structure Documentary ev~denca of the actual cost of
construction shall be bel~vered by Lessee to Lessor's City Manager from time to t,rne as such costs are
paid by Lessee, and Leesor's City Manager is hereby authorized to endorse upon a copy of th~s lease
filed with the City Secretary of Lessor such actual amounts as he shall have found to have been pa~d
by Lessee, and the findings of said City Manager when endorsed by him upon sa~d contract shall be
conclusive upon all parties for all purposes of th~s agreement
C. Commercial Land Premlee
TRACT "D"
1 Commercial Tract "D" - Developed Land subject to Lease Payments
All that tract or parcel of land lying in the T Toby Survey, Abstract Number 1285, City of Denton,
Denton County, Texas, as shown in Exhibit C (Tract '%"), and described as follows
COMMENCING at the northwest comer of a tract of land as conveyed to the Nobles Company
by deed recorded In Volume 2798, Page 695, Real Property Records of Denton County Texas
said point lying In the south line of F M 1515,
THENCE north 88°33'43" west with the south line of said F M 1515 a distance of 265 14 feet,
THENCE north 01°50'39" west along and near a fence on the east hne of Tom Cole Road a
distance of 1000 00 feet,
THENCE south 88°09'21" west a distance of 902 71 feet to a corner on the east line an asphalt
taxlway,
THENCE north 12°25'00" west w~th the east line of said taxiway a d~stanca of 274 35 feet,
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 5
THENCE north 77o35'00" east a d~stance of 280 00 feet to an ~ron p~n set for southwest corner
of a tract of land described aa property A in Resolution No R91-052,8-20-1991, City of Denton,
Denton County Texas and the point of beginning of the herein described tract,
THENCE north 12~25'00" west a distance of 240 00 feet to a point for a corner,
THENCE north 77°35'00'' east a distance of 427 15 feet to a point for a corner,
THENCE south 17=35'52" east a d~stance of 240 98 feet to a point for a corner,
THENCE south 77~35'00'' west a distance of 448 93 feet to the Point of Beginning and conta~mng
105,131 154 square feet or 2 4135 acres of land
Together with the right of ingress and egress to the property, in common w~th others so
authorized, of passage upon the Airport property generally, subject to reasonable regulations of Lessor
This right shall extend to Lessee's employees, passengers, patrons, and mwteee
D Uae of Commercial Lend Premises (Tract "D"~
Lessee is granted the non-exclusive priwlege to engage tn or prowde the follow~ng
Hangar Lease and Rental The rental or lease of hangars and hangar space and related
facilities upon the leased premises
2 Office Space Lease or Rental The rental or lease of office space ~n or adio~mng Lessee's
hangars
3 Aircraft Storage and Tie-down To provide parking, storage and tie-down service, for both
Leeeee's and ~tinerant aircraft upon or within the leased prem~see
Lessee, his tenants and subleases shall not be authorized to conduct any services not
spec~§caily hated ~n this agreement The use of the lease premises of Lessee, h~s tenants or sublessee
shall be hrn~tad to only those private, commercial, retail or industrial activities having to do w~th or
related to airports and aviation No person, business or corporation may operate a commercial retail
or Industrial business upon the premises of Lessee or upon the Airport without authonzatlon from the
Lessor m a written form approved by City Council The C~ty shall respond to the request for
authorization w~thin sixty (60) days of written notification to Leesor's C~ty Manager If authorization ~s
not received within the required sixty-day time period, authorization of the act~wty w~ll be considered
granted This granting of authorization does not relieve the Lessee or ~t sublessee successor, or
assign of compliance w~th terms or conditions in this agreement
II PREMISES AND LEASEHOLD IMPROVEMENTS
A ~
For the purposes of th~s lease the term "Premises" shall mean all property located within the
metes and bounds described above m Section I, including leasehold improvements constructed by the
Lessee, but not including certain easements or property owned or controlled by the Lessor
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 6
B Imorovement Reaulremer~te
In making any improvements on the Premises, Lessee shall comply w~th the following
1 All requirements of the Leesor'a Land Development Code, other than platbng reequ~rements,
including but not Iim~tad to Lessor's Building, Fire, Electncal, and Plumbing Codes and other
Codes and ordmancee applicable to the improvements to be made, ~nclud~ng the payment of any
fees established by ordinance
2 Prior to commencing development, Lessee shall obtain the C~ty Council's determination that the
improvements conform to and are compatible with the overall s~ze, shape, color, quality, design
appearance, and general plan of the program established by the Leeaor's Master Plan for the
Airport
3 Any rules or regulations of the any Federal or State agency hawng jurisdiction thereof
4 Construction of drainage ~mprovements, as required by C~ty's subdivision rules and regulations
located at boundary between FBO Tracts "B" and "C" to be completed June 1, 1998
5 The construction of an addition to the existing FBO facility of approximately 7,000 square feet
to be completed June 1, 1998
6 Construction of a new hangar of approx~mataly 44,000 square feet to be completed June 1,
1998
7 The City of Denton agrees to pay ten (10) percent of construction costs of the drainage
improvements which are deecribe¢ in paragraph 4 above These costs w~ll not be eligible for
payment until they have been reweweq and found to be accurate and reasonable by the C~ty of
Denton Engineering Department Such costs w~ll not be pa~d until completion of improvements
I~sted in 4, 5, and 6 above The ten (10) percent credit w~ll be refunded m twelve monthty
increments by reduction of the monthly land lease payments to beg~n the first month after
completion of 4, 5, and 6 above
C Time for Am)royal bv Council.
The required determination by the C~ty Council that the plans are compatible w,th the Master
Plan for the Airport shall be made by the Council within s~xty (60) days of proper submission of the
plans to Lessor If the Council fails to act within the s~xty (60) days, the plans shall be deemed
approved for the purposes of the requirement of compat~bility with the Master Plan, but shall not be
deemed approved for any other requirement, including the requirement to comply w~th the Lessor's
Land Development Code and other applicable codes
D OwnemhlD of Improvements:
All buildings and improvements constructed upon the premises by Lessee shall remain the
property of Lessee unless said property becomes the property of Lessor under the following conditions
terms and provisions
1 Removal of Bulldinas No building or permanent fixture may be removed from the premises
w~thout the written consent of the Lessor
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 7
2 Aaaumction All buildings and improvements of whatever nature remaining upon the leased
premises at the end of the primary term, or any extension thereof, of this lease shall
automatically become the property of Lessor absolutely ~n fee w~thout any cost to Lessor
3 ~ It is agreed that the life of the bu~tding to be constructed by Lessee on the propert~
here~n leased is
a Thirty (30) years for existing FBO and commercial tract improvements
b Forty-five (45) years for new improvements to be constructed on FBO Tracts A, B, and C
4 Cancellation Should this lease be canceled for any reason before the end of the terms, ~t ~s
especially understood and agreed that Lessor reserves the right to purchase all buildings
structures and improvements then existing upon the premises by tendering to Lessee [one
thirtieth (1/30th) of property on Commem~al Tract D. one forty.fifth (1145) for the new
improvements constructed on FBO Tracts A, B, and C, and one-thirtieth (1/30) of the ex~st~ng
improvements in FBO Tract A of the undeprec~ated value of such building for each year
remaining on the agreed life of such building The undepreciatad value of all improvements ~s
to be determined by having such improvements appraised by three appraisers, one appointed
by Lessor, one appo~ntad by Lessee and one appointed by the two appraisers, provided
however, the total value of such building plus an increase ~n value not to exceed fifty percent
(50%) of the original cost of such improvements
III. PAYMENTS
A. Payments. Fixed Based Oasrator Premises
1 Fixed Base Operator Land Payment
Land Rental payments shall be due and payable in twelve (12) equal monthly installments m
advance, on or before the 15th of each month Annual rental payments w~ll be based on the
following formulae, calculated on the basis of mm;mum yearly rentals adjusted for ~nflat~on as per
Section IV
a *~Z~.~ $0 061 per square foot m~n~mum yeady rental ($0 061 x 250,908 038
= $15,305 40 land rental per year 1 12 = $1,275 45 land rental per month ) Land rental w;ll
be adjusted in two (2) five-(5) year periods (the first such readjustment occurring May 1
2002, the second at May 1, 2007 and annually thereafter per Section IV of th~s lease until
May 1, 2019
b ~ The current lease rate will be ~ncreased by a sum of $0 06 per
square foot minimum yeady rental, and adjusted annually thereafter per Section IV A of th~s
lease until April 30, 2027
2 Hangar end T~e-Down Rental Fees
Ten (10%) percent of all hangar and tie-down rental fees collected by Lessee from customers
of Lessee each month during the term of this lease An annual certified statement concerning
collection of hangar and tie-down space rentals will be submitted within 60 days of the end of the
calendar year or, In the event of termination, 60 days from the date of termination
3 Aviation Fuel Fees
Fuel payments shall be based on fuel purchased by Lessee and the Lessee's sublessee,
assigns, heirs or successors It will include all fuel purchased from off-a~rport fuel vendors The
EZELLAVIATION, INC LEASE AGREEMENT- PAGE 8
payment shall be based on the amount of four percent (4%) of net cost of fuel pumhased Net
cost of fuel pumhased is the cost of fuel not ~ncludmg taxes on the pumhase Lessee w~ll prowde
~nvoices on a monthly basis along with the payment to the Lessor An annual certified copy of
purchases will be submitted w~thin 60 days of the end of the calendar year or ~n the event of
termination, within 60 days from the date of termination
B. Payments. Commerctsl Land Rental
1 Land Rental
Land Rental payments for Commemial Tract "O" shall be due and payable m twelve (12) equal
monthly installments ~n advance, on or before the 15th of each month Annual rental payments
will be based, and adjusted, on the following formulae
a 05/01/97 - 04/30/2011 $008558 per square foot minimum yearly rental ($0 08558 x
105,131 154 -- $8,997 12 land rental per year I 12 = $749 76 land rental per month ) Land
rental will be adjusted in two (2) five-(5) year periods (the first such readjustment occurnng
May 1, 2002, the second at May 1, 2007 ) Commercial Land will be readjusted per Section
IV of this Lease
b [~- $0 15 per square foot minimum yearly rental for land descnbed
as Commercial Tract "D" on Exhibit "C" Commem~al Land w~ll be readjusted annually
per Section IV of th~s Lease
IV. PAYMENT ADJUSTMENTS AND TERMS
A Adjustments* it is expressly understood and agreed that the yearly rental for the land here~n
leased shall be readjusted, up or down, on the basis of the proportion that the then current Umtsd
States Cost of Living Index (CPI-U) for the Dallas/Fort Worth, Texas Standard Metropolitan Stat~sbcal
Area, as compiled by the U S Department of Labor, Bureau of Labor Statistics, bears to the January
1997, ~ndex which was 150 (1982-84 = 100) Each rental adjustment, if any, shall occur on the 1st day
of May, w~th respect to the adjustments defined in Section III The adjustments shall be based on the
annual cents per square feet based on the square footage for the F~xed Base Operator and the
Commercial Tract
The adjustments in the yearly rent shall be detarmmed by multiplying the m~mmum rent as set forth rn
section in Section tll by a fraction, the numerator of which is the ~ndex number for the last available
month prior to the adjustment, and the denominator of which is the index number for January 1997
which was 150-(19~2-84 = 100)If the prcduct of th;s mult~plication is greatar than the m~n~mum yearly
rent as set forth in Section tll, Lessee shall pay this greater amount as the yearly rent until the t~me
of the next rental adjustment as called for in th;s section If the prcduct of this multiplication ;s less than
the m;ntmum yearly rent of as set forth ~n Section III, there shall be no adjustment ~n the annual rent
at that time, and Lessee shall pay the mm~mum yearly rent as set forth m Secbon III The adjustment
shall be limited so that the annual rental payment detarmmed for any given year shall not exceed the
annual rental calculated for the previous year by more than ten percent (10%)
If the consumer price index for all urban consumers (CPI-U) for the Dallas-Fort Worth geographical
region, as compiled by the U S Department of Labor, Bureau of Labor Statistics, ~s d;scontmued during
the term of this lease, the remaining rental adjustments called for in th~s section shall be made using
the formula set forth ;n Section Iit of this lease, but subsbtuting the index numbers for the Consumer
Price Index-Seasonally Adjusted U S City Average For All Items For All Urban Consumers (CPI-U) for
the index numbers for the CPI-U applicable to the Dallas-Fort Worth geographical region If both the
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 9
CPI-U for the Dallas-Fort Worth geographical region and the U $ City Average are d~scontinued dunng
the term of thts lease, the remaining rental adjustments called for ~n th~s section shall be made using
the statistics of the BureaU of Labor Statistics of the Un,ted States Department of Labor that are most
nearly comparable fo the CPI.U applicable fo the Dallas-Fort Worth geographical region If the Bureau
of~ Labor Statlstic~ of the United States Department of Labor ceases to exist or ceases to publish
statistics called for in this section adjustments shall be made using the most nearly comparable
statistics published by a recognized financial authority selected by Lessor
B Payment Term*,: All payments, including land rental, and fees, will be due on the 15th of the
month This payment will be for the prior month fees and the current month land rentals Ifpayments
are not received before or on the 15th, a 5% penalty will be due as of the 16th If payments are not
received by the first of the subsequent month, an additional penalty of 1% of the unpaid rental/fee
amount will be due A 1% charge will be added on the first of each subeequent month until unpaid
rental/fee payment is made Failure to pay the rent, fee, or either monetary penalty amounts on
delinquent rent or fees shall constitute an event of default of this Lease
V LEASE TERM8
A, The Fixed Base Oneretor: The term of this Lease shall be a penod of thirty (30) years,
commencing on the I st day of May 1997, and ending at midnight on the 30th day of Apnl, 2027, unless
terminated under the provisions of this lease Lessee shall have the option to extend the term of th~s
Lease for two additional ten (10) year pedods subject to terms negotiated at that time between Lessor
and Lessee If Lessee elects to exemlee its option to renew this Lease, Lessee shall notify the C~ty
Manager, In writing, at least one hundred eighty (180) days before the expiration of the Imtial thirty (30)
year Lease At the end of the initial ten (10) year option, Lessee shall have the option to extend the
term of this Lease for an additional ten (10) years subject to terms negotiatad at that time between
Lessor and Lessee If Lessee elects to exercise this second option, Lessee shall notify the C~ty
Manager, in wdting, at least one hundred eighty (180) days before the expiration of the tmtial ten (10)
years
B Commeralel Land. Tract D: The remaining term of this lease will be for a term of thirty (30)
years, commencing on the 1st day of May, 1997, and continuing through the 30th day of Apnl, 2027,
unless earlier tarrninatad under the provisions of the Agreement Lessee shall have the option to extend
the term of this Lease for an additional period of ten (10) years subject to terms negotiated at that b me
between Lessor and Lessee If Lessee elects to exemise ~ts option to renew this Lease, Lessee shall
notify the City Manager, In writing, at least one hundred eighty (180) days before the expiration of the
initial thirty (30) year Lease At the ecd of the Inttial ten (10) year option, Lessee shall have the option
to extend the term of this Lease for an additional ten (10) years subject to terms negotiated at that time
between Lessor and Lessee If Lessee elects to exercise this second option, Lessee shall not~fy the
City Manager, in writing, at least one hundred eighty (180) days before the expiration of the m~tial ten
(10) years
VI. ASSIGNMENT OF LEASE
Lessee expressly covenants that it will not asa;ge th~s lease, nor sublet the whole or any part of the sa~d
premises for any purpose, except for rental of hangar space or tie. down space, without the written consent
of Lessor;, except that any person, corporation or ~nstitution that lends money to Lessee for the construction
of any hangar, structure, building or Improvement upon the leased premises and retains a security tnterest
~n said hangar, structure, butlding or improvement shall, upon default of Lessee's obligabon to sa~d mortgagee
have the right to enter upon said leased premises and operate or manage se~d hangar, structure, building or
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 10
improvement according to the terms of this agreement, for a period not to exceed the term of the mortgage
w~th Lessee, or until the loan is paid in full, but in no event longer than the term of this lease Lessor agrees
that it will not unreasonably withhold its approval of the sale or sublease of the fac~l~tiee for a~rport related
purposes
VII. SUBROGATION OF MORTGAGE
Any person, corporation or institution that lends money to Lessee for construction, pumhase and or
refinance of any hangar, structure, building or improvement and retains a secudty interest m said hangar
structure, building or improvement shall, upon default of Lessee's obligabons to said mortgagee, have the nght
to enter upon said leased premises and operate or manage said hangar, structure, building or ~mprovement
according to the terms of this Agreement, for a period not to exceed the term of the mortgage w~th Lessee
or until the loan is paid in full, or such mortgagee shall have the right to remove any bu~ldings or structures
from the premises, however, If such mortgagee is planning to remove any bu~ldings, then they w~ll not~fy
Lessor in writing of such intent to remove, and Lessor w~ll have s~xty (60) days from receipt of such not,ce to
exercise an option to purchase such buildings or structures under the prowslons of Article II hereof It ~s
expressly understood and agreed that the right of the mortgagee referred to herein is limited and restricted
to those improvements constructed with funds borrowed from mortgage, those improvements pumhased w~th
the borrowed funds, and those improvements pledged to secure the refinancing of the ~mprovements
VIII RIGHT OF EASEMENT
Lessor shall have the right to establish easements, at no cost to Lessor, upon the leased ground space
for the purpose of providing utility services to, from or across the airport property However, any such
easements shall not Interfere w~th Leasee'a uae of the "leased ground space" and Lessor shall restore the
property to its original condition upon the installation of any utility services on, ~n, over or under any such
easement
IX CANCELLATION OF LEASE
A
In the event that Lessee shall file a Voluntary petition ~n Bankruptcy or proceedings m bankruptcy
shall be Instituted against it and Lessee thereafter ~s adjudicated bankrupt pursuant to such
procaed~ngs, or any court shall take jurisdiction of Lessee and its assets pursuant to proceedings
brought under the provisions of any Federal reorganization act, or Lessee shall be divested of ~ts estate
herein by other operation of law, or Lessee shall fa~i to perform, keep and observe any of the terms,
covenants, or conditions herein contained, or on ~ts part to be performed, the Lessor may g~ve Lessee
written notice to correct such condition or cure such default and, ~f any condition or default shall
continue for thirty (30) days after the receipt of such notice by Lessee, then Lessor may, termmata th;s
leaee by a thirty (30) days written notice to Lessee In the event of default, Lessor has the nght to
purchase any or all structures on the leased premises under the provisions of Article II hereof
B. Cancellation bv Lessee:
Lessee may cancel this Agreement, in whole or part, and terrmnata all or any of ~ta obligations
hereunder at any t~me, by thirty (30) days written notice, upon or after the happening of any one of the
following events (1) issuance by any court of competent jurisdiction of a permanent ~njunct~on ~n any
way preventing or restraining the use of said a~rport or any part thereof for airport purposes, (2) any
EZELL AVIATION, tNC LEASE AGREEMENT - PAGE 11
action of the Civil Aeronautics Board and/or Federal Aviation Agency refusing to permit Lessee to
operate into, from or through said airport such a~rcraft as Lessee may reasonably desire to operate
thereon, the breach by Lessor of any of the covenants or agreements contained here~n and the failure
of Lessor to remedy such breach for a period of thirty (30) days after receipt of a written nobce of the
existence of such breach, (3) the inability of Lessee to use sa~d prem~ees and facilities continuing for
a longer period than ninety (90) days due to any law or any order, rule or regulation of any appropriate
governmental authority having Jurisdiction over the operations of Lessor or due to war, earthquake or
other casualty, or (4) the assumption or recapture by the United States Government or any authorized
agency thereof of the maintenance and operation of said a~rport and facilities or any substantial part or
parts thereof
X. SPECIAL CONDITION8
It is especially understood and agreed by and between Lessor and Lessee that th~s lease agreement
~s subject to the following special terms and conditions
A. Nothing contained herein shall be construed to grant or authonze the granting of an exclusive
right within the meamng of Section 1349 of Title 49, Umted States Code Annotated
B. Lessor reserves the right to further develop or improve any public parking area, landing area,
or other portion of the airport property w~thout notice to Lessee
C During time of war or national emergency, declared by the Congress or the President of the
Umtsd States. Lessor reserves the right to alter, amend, or suspend this agreement upon demand of
m~lita~, or naval authorities of the United States
D. Lessee, its personal representative, successors in interest, and assigns, as a part of the
consideration hereof, does hereby covenant and agree as a covenant running wffh the land that
1 no person on the grounds of race, color, or national or,gm shall be excluded from partlc~pabon
~n, denied the benefits of, or be othe~vise subjected to discrimination ~n the use of sa~d facilities,
2 that in the construction of any improvements on, over, or under such land and the furmshmg of
services thereof, 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 ali other raquiraments ~mposed by or
pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A,
Office of the-Secretary, Part 21, Nondiscrimination ~n Federally-assisted programs of the
Department of Treneportation-Effeotuatlon of T~tle VI of the Clwl Rights Act of 1964, and as sa~d
Regulations may be amended
That In the event of breach of any of the above nondiscrimination covenants, Lessor shall have
the right to terminate the lease and to re-enter and repossess said land and the facilities thereon, and
hold the same as if said lease had never been made or ~ssued
E. The Lessee assures that it will undertake an affirmative action program as required by 14 CFR
Part 152, Subpart E, to ~nsure that no person shall on the grounds of race, creed, color, national ong~n,
or sex be excluded from participating in any employment actiwties covered ~n 14 CFR Part 152
Subpart E The Lessee assures that no person shall be excluded on these grounds from participating
~n or receiving the servicas or benefits of any program or activity covered by th~s subpart The Lessee
assures that it will require that ~ts covered suborgamzations provide assurances to the Lessor that they
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 12
similarly will undertake affirmative action programs and that they will require assurances from their
suborgantzationa, aa required by 14 CFR Part 152, Subpart E, to the same affect
F If Lessor files an action to enfome any covenant, term or condition of this lease, or for the
recovery of the possession of the leased area, or for breach of any covenant, term or condition of th~s
lease, then Lessee agrees to pay to Lessor reasonable attorneys fees for the services of Lessor's
attorney in such action as part of the costa Incurred, such attorneys fees to set by the Court
G Lesaor's waiver or breach of one covenant or cond~tion of this lease shall not be deemed a
waiver of subsequent breaches of other provisions, and Lessor's acceptance of rental payments shall
not be deemed a waiver of any of the provisions of this lease
H Lessee shall be provided access to the property leased hereunder e~ther through access "A" or
access "B", at Lessor's discretion, as shown on Exhibits "A," "B," and "C" attached hereto and
mcorporeteq herein by reference Lessor reserves the right to change Lessee's means of ingress and
egress from one designated access to another at Lessor's option
Runways and Taxlwava; That because of the present sixty thousand (60,000) pound
continuous use weight bearing capecriy of the runway and taxlways of the Airport, Lessee here~n agrees
to limit all aeronautical activity including landing, takeoff and tax~ing, to aircraft having an actual weight,
~n¢luding the weight of its fuel, of sixty thousand (60,000) pounds or less, until such time that the runway
and designated taxlways on the Airport have been ~mproved to handle aircraft of such excessive
weights It is further agreed that, based on qualified engineering studies, the weight restrictions and
provisions of this clause may be adjusted, up or down, and that the Lessee agrees to abide by any such
changes or revisions as such studies may dictate "Aeronautical Activity" referred to in th~s clause shall
~nclude that activity of the Lessee or its agents or subcontractors, and its customers and inwtaes but
shall not include those activities which it neither controls nor solicits, such as an unsolicited or
unscheduled or emergency landing Negligent disregard of the provisions of this section shall be
sufficient to cause the Immediate termination of this entire Agreement and subject the Lessee to be
liable for any damages to the Airport that might result
J ~.' The right to conduct aeronautical actiwties for furmshmg services
to the public ~s granted the Lessee subject to Lessee agreeing,
1 To furnish said sen/ices on a fair, equal and not unJustly d~scnm~natory basis to all users thereof,
and,
2 To charge fair, reasonable and nOt unjustly d~scr~minatory prices for each unit or sarv~ce,
provided, that the Lessee may be allowed to make reasonable and nondiscriminatory d~scounts,
rebates, or other similar types of pdca reductions to volume purchasers
K. Rleht Of Ift~llvldusle to Maintain Almreft' It is clearly understood by the Lessee that no right
or privilege has been granted which would operate to prevent any person, firm or corporation operating
aircraft on the airport from performing any services on ~ta own a~rorafl w~th its own regular employees
(including, but not limited to, maintenance and repair) that ~t may choose to perform
L. Public Areas'
1 Lessor reserves the right to further develop or Improve the landing area of the a~rport as ~t sees
fit, regardless of the desires or views of the Lessee, and w~thout interference or hmdranca
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 13
2 Lessor shall be obligated to maintain and keep in repair the landing area of the a~rport and all
publicly owned facilities of the airport, together with the dght to direct and control all activities of
Lessee In this regard
3 Dudng time of war or national emergency, Lessor shall have the right to lease the landing area
or any part thereof to the United States Government for m~l~tary or naval use, and, ~f such lease
is executed, the provisions of this instrument insofar as they are ~nconsistent with the prows~ons
of the lease to the Government, shall be suspended
4 Lessor reserves the rrght to take any action ~t considers necessary to protect the aerial
approaches of the a~rport against obstruction, together w~th the nght to prevent Lessee from
erecting, or permitting to be erected, any building or other structure on or adjacent to the a~rport
which, in the opinion of the Lessor, would limit the usefulness or safety of the a~rport or
constitute a hazard to aircraft or to aircraft navigation
5 This Lease shall be subordinate to the prows~ons of any existing or future agreement between
Lessor and the United States or agency thereof, relative to the operation or maintenance of the
Airport
Xl INSURANCE
A. Re,*,ulred Insurance. Lessee, at ;ts expense, shall maintain continuously ~n effect at all braes
during the term of this agreement the following insurance coverage
1 Comprehensive general liability covering the leased premises, the Lessee or ~ts company, ;ts
personnel, and its operations on the Airport
2 Airoreff llabil~ty to cover all flight operations of Lessee
3 Fire and extended coverage for replacement value for all faclht~es used by the Lessee e~ther as
a part of this agreement or erected by the Lessee subsequent to th~s agreement
4 Liability insurance limits shall be in the following minimum amounts
Bodily injury and Property Damage
One Million Dollars ($1,000,000) combined s~ngle limits on a per occurrence bas~s
5 All policies shall name the C;ty of Denton as an add;t~onal named insured and prowde for a
minimum of thirty (30) days written notice to the City pnor to the effecbve date of any
cancellation or lapse of such policy
6 All policies must be approved by the Lessor
7 The Lessor shall be provided with a copy of all such policies w~thln thirty (30) days of the s;gmng
of th~s Agreement
During the original or extended term of th~s Lease, Lessor herein reserves the nght to adjust or
Increase the liability insurance amounts required of the Lessee, and to require any additional r~der
prows~ons, or certificates of insurance, and Lessee hereby agrees to prowde any such insurance
requirements as may be required by Lessor, provided however, that any requ~rementa shall be
commensurate with insurance requirements at other pubhc use airports similar to the Denton Mumctpal
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 14
Airport, in size and in scope of aviation activities, located ~n the southwestern region of the Umted
States Leases herein agrees to comply with all increased or adjusted insurance requirements that may
be required by the Lessor throughout the original or extended term of this Lease, including types of
~neurance and monets~/amounts or limits of insurance, and to comply with said ~nsurance requirements
within sixty (60) days following the receipt of a notice in writing from Lessor stating the ;ncr.seed or
adjusted insurance requirements Lessee shall have the right to maintain in force both types of
~nsurance and amounts of insurance which exceed Lesecr's m~nimum insurance requirements
In the event that State I~tw should be amended to require additional types of insurance and/or
insurance amounts which exceed those of like or s~m~lar public use a~rports in the southwestam region
of the United States of Am.rice, then ~n such event, Lessor shall have the r~ght to requ~rs that Lessee
maintain in force types of insurance and/or amount of insurance as specified by State law
Failure of Lessee to comply with the m~nlmum specified amounts or types of ~nsurence as
required by Lessor shall constitute Lessee'a default of this Lease
B. ~ During all times that this lease ts In effect, the parties agree that Lessee Is
and shall be deemed to be an Independent contractor and operator and not an agent or
employee of City with respect to Its acts or omissions hereunder For all the purposes
hereunder, Les"se la and eh. Il be deemed an Independent contractor and It ts mutually agreed
that nothing contslned herein .bell be deemed or construed to constitute i partnership or joint
venture between the parties hereto.
Lessee agrees to indemnify and hold harmless the City and Its agents, employees, and
repreeentstlves from and ag. Inet all liability for any and all ctalms, suits, demands, and/or
actions arising from or baaed upon Intentional or negligent acta or omissions on the part of
Lessee, Its agents, representatives, employees, members, patrons, visitors, contractors and
subcontractors (if any), and/or eublesses, which may arise out of or result from Leesee's
occupancy or uae of the premises and/or activities conducted In connection with or incidental
to this Lees. Agreement. Leases shall also indemnify City against any and all mechanic's and
matsrialmen'a liens or any other types of liens imposed upon the premises demi"sd hereunder
arising aa e result of Leeses'a conduct or activity.
This Indemnity Provision extends to any and all such claims, suits, demands, and/or
actions regardless of the type of relief sought thereby, and whether such relief la in the form of
damages, judgments, and co.ts and reesonsbis attorney's fees end expenses, or any other legal
or equitable form of remedy. Thts Indemnity Provtalon shall apply regardless of the nature of
the Injury or harm alleged, whether for Injury or death to parsons or damage to property, and
whether such claims by alleged at common law, or statutory or constitutional claims, or
otherwise. This Indemnity Provision shell apply whether the basis for the claim, suit, demand,
and/or action may be attributable In whole or In part to the Less"s, or to any of its agents,
representatives, employees, membem, patrons, visitors, contractors (if any), and/or subleases
or to anyone directly or Indirectly employed by any of them
Further. City assumes no responsibility or liability for harm, Injury, or any damaging
events which are directly or Indirectly attributable to premise defects or conditions which may
now exist or which may hereafter arise upon the premises, any and all such defects being
expressly waived by Les"se. Leases understands and agrees that this Indemnity Provision shall
apply to any and all claims, suits, demands, and/or actions based upon or arising from any such
claim aeaertsd by or on behalf of Lessee or any of its members, patrons, visitors, agents,
employees, contractors and subcontractors (if any), and/or aubtasaee
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 15
It ts expressly understood and agreed that the City shall not be liable or responsible for
the negligence of Lessee, Its agents, servants, employees end customer.. Lessee further
agrees that It shall st all times exercise reasonable precautions for the safety of end shell be
solely reeponelble for the safety of Its agents, r.pr.eentstlvee, employees, members, patrons,
visitors, contractors end subcontrsctors (If any), and/er sub-IMM, and other persons, es well
as for the protection of supplies end equipment end the property of Lessee or other
persons Le~eee further egr"e~ to comply with all eppllcsbfa provtslons of Fader"l, State and
municipal safety laws, regufaflone, and ordinances
PROVIDED FURTHER, that the Lessee end the City each sgr"e to give the other party
prompt and timely notice of any such ctalm made or suit Instituted which In any way, dlr"ctly
or Indirectly, contingently or otherwise, effects or might effect the Lessee or the City Lessee
further egr"ee that this Indemnity Provision shell be considered ee an additional remedy to City
and not en exclusive remedy.
XII, STANDARDS
Lessee shall meet or exceed the following standards
A. Address: Lessee shall file with the City Manager's mrport designee and keep current ~ts mmhng
address, telephone number(s) and contacts where he can be reached m an emergency
B Ltat: Lessee shall file with the City Manager's mrport designee and keep current a hst of ~ts
tenants and subleases
C. Conduct: Lessees shall contractually require ~ts employees and sublessee (and sublessee's
mvitaes) to abide by the terms of this agreement Lessee shall promptly enforce its contractual rights
m the event of a default of such covenants
D Utilities. Taxes and Fees: Lessee shall meet all expenses and payments tn connection w~th
the use of the Premises and the rights and privileges herein granted, including the timely payment of
utilit~es, taxes, permit fees, hcense fees and assessments lawfully levied or assessed
E Laws' Lessee shall comply with all current and future federal, state and local laws, rules and
regulations which may apply to the conduct of business contemplated, including rules regulabons and
ordinances promulgated by Lessor, and Lessee shall keep m effect and post m a prominent place ell
necessary and/or required licenses or permits
F. ~' Lessee shall he responsible for the mmntenance repmr and upkeep
of all property, buildings, structures and improvements, including the mowing or elimlnat~on of grass and
other vegetation on the Premises, and shall keep smd Premises neat, clean and m respectable
condition, free from any objectionable matter or th~ng
G Unauthorized Uae of Premises: Lessee may not use any of the leased lend or premmes for
the operation of e motel, hotel, restaurant, pnvata club or bar, apartment house, or for industrial
commercial or retail purposes, except as authorized harem
H Dwelllno_e: It is expressly understood and agreed that no permanent dwelling or dom,cde may
be built, moved to or established on or within the leased premises nor may the Lessee, h~s tenants
mviteee, or guests be permitted to reside or remain as a resident on or within the leased premises or
other airport premises
EZELL AVIATION, lNG LEASE AGREEMENT - PAGE 16
Chemloa#l: Lessee agrees to properly store, collect and dispose of all chemicals and chemical
residues, to properly store, confine, collect and d~spose of all paint, including paint spray m the
atmosphere, and paint products, and to comply w~th all Local, State and Federal regulations governing
the storage, handling or disposal of such chemicals and paints
J Siena: During the term of this Agreement Lessee shall have the right, at ~ts own expense, to
place In or on the lease Premises signs identifying Lessee Said signs shall be of a s~ze, shape and
design, and at a location or locations, approved by the Lessor and in conformance w~th any overall
directional graphics or sign program established by Lessor on the Airport Lessor's approval shall not
be withheld unreasonably Said signs shall be maintained in good repair throughout the term of th~s
agreement Notwithstanding any other provision of this agreement, said signs shall remain the property
of Lessee Lessee shall remove, at Its expense, ali lettering, signs and placards so erected on the
premises at the expiration of the term of this Agreement or extensions thereof
XlII. COVENANTS BY LESSOR
Lessor hereby agrees as follows
A. To provide and pay for the installation and monthly electricity required for security I~ghtmg at the
airport which Lessor requires to be installed under any safeb/or fire regulations, or as may be reqmrad
by Lessor;,
B To maintain the airport in an acceptable condition for general aviation actiwt~es on said a~rport,
C Lessor covenants and agrees not to enter Into any subsequent lease, contract, or agreement
with any other person, firm or corporation for the operation of a fixed base general aviation operation
or business similar to Lessee's business on the airport containing more favorable terms than th,s
agreement or not accorded to Lessee hereunder unless the same rights, prlwleges and concessions
are concurrently and automatically made available to Lessee
D That on payment of the rent, fees, and performance of the covenants and agreements on the
part of Lessee to be performed hereunder, Lessee shall peaceably hold and enjoy the leased premises
and all the rights and privileges herein granted
E. Lessor warrants and represents that In the establishment, construction and operation of the sa~d
Denton Municipal Airport, that Lessor has heretofore and at th~s time is complying w~th all ex~sbng rules
regulations, and criteria distributed by the Federal Aviation Agency, Civil Aeronautics Board or any
other governmental authority relating to and including, but not I~m~ted to, no,se abatement, a~r rights and
easements over adjoining and contiguous areas, over*flight in landing or take-off, to the end that Lessee
w~ll not be legally liable for any action of trespass or similar cause of action by virtue of any aerial
operations over adjoining property in the course of normal take-off and landing procedures from sa~d
Denton Municipal Airport, Lessor further warrants and represents that at all t~mes during the term
hereof, or any renewal or extension of the same, that ~t w~ll continue to comply w~th the foregoing
XlV. COVENANTS BY LESSEE
Lessee hereby agrees as follows
A To indemnify and hold harmless the Lessor from and age;net all loss and damages, ;ncludmg
death, personal injury, loss of property or other damages, ansing or resulting from the operet~on of
Lessee's business in and upon the leased premises
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 17
B. Not to make or suffer any waste to be made of the premises and will keep said premises neat,
clean and respectable condition, free from objectionable matter or thing
C. To observe and comply with all current and future laws and ordinances and all regulations of
federal, state, county or city airport authorities or agencies having jurisdiction over the conduct of
operations at the airport
D To keep adequate records of income and expenses and make such records reasonably
available, upon request, to the Director of Finance of the C~ty of Denton, Texas
E. Lessee will quit possession of all premises leased herein at the end of the primary term of th~s
lease or any renewal or extension thereof, and deliver up the premises to Lessor in aa good condit~on
aslexisted when possession was taken by Lessee, reasonable wear and tear excepted
F Lessee shall, at its expense, procure ali licenses, certificates, permits, or other authorizat~on from
any and all governmental authorities, ~f any, having jurisdiction over the operations of Lessee
XV. MISCELLANEOUS PROVISION8
A Uti#flee Lessee shall provide all utilities for the premises leased to Lessee at its own cost and
expense, Utilities shall also Include any security lighting required by Lessee for the convenience of
customers of Lessee Lessee shall have the right to connect to the mrport water line now existing and
to connect to any future utility lines at Leasee's expense
B. ~ This Agreement constitutes the entire understanding, between the part;es
and as of its effective date supersedes all prior or independent Agreements between the parbes
covering the subject matter hereof Any change or mod~tication hereof shall be ~n writing s~gned by both
partlee
C. ~a~IIEg.F.~[~C.,~ All the covenants, stipulations and agreements here~n shall extend to b~nd and
~nure to the benefit of the legal representatives, successors and assigns of the respective parties hereto
D, ~Le.y. lr. ilJ~Jllt~, If a provision hereof shall be finally declared void or ~llegal by any court or
administrative agency having jurisdiction, the entire Agreement shall not be void, but the remmnmg
provisions shall continue in effect aa nearly as possible m accordance w~th the original mtsnt of the
parties
E. Notice. Any notice given by one party to the other in connection with th~s Agreement shall be
m writing and shall be sent by registered mail, return receipt requested, w~th postage and registrat~on
fees prepaid
1 If to Lessor, addressed to
City Manager
City of Denton
Denton, Texas 76201
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 18
2 If to Lessee, addressed to
Mr Nelson Ezell
Post Office Box 1793
Breckenrlclge, Texas 76424
Notlcea ehatl be deemed to have been received on the date of receipt as shown on the return receipt
F l~eadlnae The hesdlnge used In this ^greemer~t ate intended for convenience of rel'erence only
and do not define or limit tl3e scope
~3 ~overnlng ~ This agreement la to be construed in accordance with the laws of the State
of Texas
IN WITNEBS WHEREOF, the parties have executed thl~ Agreement as of the clay and year first above writtell
CITY OF DENTON LESSOR
ATTEST
JENNIFER WALTERS CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
EZELL AVIATION, INCORPORATED
NELSO~ EZELL ..~
TITLE
EZELL AVIATION INC LEASE AGREEMENT - PAGE 19
THE STATE OF TEXAS §
COUNTY OF DENTON §
Thisinstrumentwasacknowledgedbe~ meonthe dayof ,1997by
Nelson Ezell
NOTARY PUBLIC, STATE OF TEXAS
My Commission Expires
EZELL AVIATION, INC LEASE AGREEMENT - PAGE 20
TRACT A
Access
FBO TRACT "A" = shaded area
EXHIBIT "B"
S 88'09'21"W 902 71'
FBO Tracts "B' and "C"
EXHIBIT "C"
NO .3
NO ~
!~09'21' 902
Commercial Tract D
AN ORDINANCE AUTHORIZING THE FIRST AMENDMENT TO AIRPORT LEASE
AGREEMENT COMMERCIAL/FBO BETWEEN THE CITY OF DENTON AND EZELL
AVIATION, INC, AND PROVIDING FOR AN EFFECTIVE DATE
WHEREAS, certain real property upon the Denton Municipal Airport was leased to Ezell
Aviation, Inc, a Texas Corporation, by an Airport Lease Agreement Commerc~al/FBO effective
May 1, 1997
WHEREAS, the City of Denton and the lessee desire to amend the lease agreement, and
WHEREAS, the Airport Advisory Board for the City of Denton has recommended
approval of the First Amendment, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION I That the attached First Amendment to Airport Lease Agreement
Commerclal/FBO between the City of Denton and Ezell Aviation, Inc is approved
SECTION II That the City Manager is authorized to execute the attached lease
amendment on behalf of the City and the City Secreta~ is directed to affix this ordinance with
the executed lease amendment to the Airport Lease Agreement Commermal/FBO effective May
1, 1997, inscribing on the original agreement the fact it has been amended and the effective date
of the amendment
~ That this ordinance shall become effective immediately upon its passage
and approval
PASSED AND APPROVED thls the ~'~-'~-~_ day of ~-/~~ ,1998
JA~ILLER, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
HERBERT L PROUTY, CITY ATTORNEY
FIRST AMENDMENT TO AIRPORT LEASE AGREEMENT
COMMERCIAL/FBO
STATE OF TEXAS §
COUNTY OF DENTON §
WHEREAS, this First Amendment To Airport Lease Agreement Commerclal/FBO
("Amendment") Is entered into by and between the C~ty of Denton ("Lessor") and
Ezell Aviation, Inc ("Lessee"), and
WHEREAS, on or about May l, 1997, an Airport Lease Agreement Commereial/FBO
("Airport Lease") was effective by and between the City of Denton and Ezell
Aviation, Inc, and
WHEREAS, Lessee and Lessor desire to amend the Airport Lease tn order to evidence
certain additional agreements between Lessor and Lessee, and
WHEREAS, as partial consideration for the Amendment, Lessee has constructed a public
ramp on property Immediately adjacent to the Premises and desires to release
Lessor from any and all clmms, causes of action, and suits in equity arising out of
or in any way related to the construction of the public ramp and/or arising out of
or in any way related to the Airport Lease through the date of flus Amendment,
NOW, THEREFORE, m consideration of the mutual promises and agreements contmned
in flus Amendment, including the recitals set forth above, the parties agree as
follows
1 All of Article II, Section B of the Airport Lease relating to the Improvement
Reqmrements is hereby and herevath amended to read as follows
B. Imnrovement Reoulrement~.
1 In making any improvements on the Premises, Lessee shall comply with the following
a All reqmrements of the Lessor's Land Development Code, other than plattmg
reqmrements, mcludmg but not hmited to Lessor's Budding, Fire, Electrical, and
Plumbing Codes, and other Codes and ordlnatlces apphcabie to the improvements to be
made, mcludmg the payment of any fees established by ordinance
b Prior to commencing development, Lessee shall obtain the C~ty Councd's
determmatmn that the Improvements conform to and are compatible with the overall
Amendment to An'port Lease Agreement Commercial/FBO Page 1 of 5
size, shape, color, quality, design, appearance, and general plan of the program
estabhshed by the Lessor's Master Plan for the Airport
c Any rules or regulations of any and all Federal or State agency having jurisdiction
thereof
d Construction of drainage improvements, as required by City's subdivision rules and
regulations, located at boundary between FBO Tracts "B' and "C' to be completed
prior to any development pursuant to Section I1 (B) (1) (f) listed herein below
e The remodeling of approximately 7,000 square feet of the existing FBO facility to be
completed June 1, 1999
f ConsU'uctlim of new s~ructure(s) totalmg of approximately 12,000 or more square feet
to be completed by June 1, 2003
2 The Lessor agrees to pay ten (10) percent of construction costs of the dramage
improvements which are described In paragraph II (B) (1) (d) above These costs will not
be eligible for payment until they have been reviewed and found to be accurate and
reasonable by the City of Denton Engineering Department Such costs will not be paid
until completion of Improvements hsted in 4, 5, and 6 above The ten (10) percent credit
will be refunded In twelve monthly increments by reduction of the monthly land lease
payments to begin the first month after completion of 4, 5, and 6 above
3 Lessee shall malntam the public ramp located west of Tracts A and C and between Taxlway
A, for a period of three (3) years following the execution of this Amendment Lessee, at
Lessee's sole costs and expense during said three (3) year period, shall keep the said public
ramp m good, clean condmon, and shall make all needed repau's If any repmrs reqmred to be
made by Lessor hereunder are not made wlthm thu'ty (30) days after written nnt~ee delivered to
Lessee by Lessor, Lessor may at its option make such repau's without liability to Lessee for any
loss or damage of any and eve~ kind by reason of such repan's, and Lessee shall pay to Lessor
on demand as additional rental under this Au-port Lease the cost of the repairs together with
mterest at the maximum legal rate m effect m the State of Texas from the date of payment by
Lessor until repmd by Lessee
4 Article III, Section C of the Airport Lease Is hereby and herevath added and reads as
follows
C Credits Lessor shall credit Lessee a total of $12,545 40 over a five (5) year period from
this lease at a rate of $209 09 per month ($2,509 08 per year) for the construction of the a new
public access au'craft ramp located west of Tracts A and C and between TaXlWay A and the release
of any and all clauns related thereto Sa~d monthly credit amount shall begin as of
1998
5 All of Article XlV oft. he Airport Lease ts hereby and herewith amended to read as
follows
XlV COVENANTS BY LESSEE
Lessee hereby agrees as follows
A To indemnify and hold harmless the Lessor from and agamst all loss and damages,
including death, personal mjuly, loss of properW or other damages, arlsmg or resulting from
the operation of Lessee's busmess in and upon the leased premises
Amendment to Au'port Lease Agreement Commercial/FBO Page 2 of 5
B. As the administrator of an aviation fuel d~spensmg operation, Lessee shall indemnify
and hold harmless the Lessor, Lessor's successors, assigns, servants, agents, employees, of
and from any and all claims, demands, actions, causes of action or suits m equity of any and
every kind or character, arising out of or m any way related to fuel releases that occur on the
Premises, airport properly, City of Denton Properly, and/or the property adjacent thereto If
such a release occurs, Lessee shall be responsible for mmganon and remedianon efforts as
required by the Texas Natural Resource Conservation Commission, the U S Environmental
Protection Agency, and/or any and all other governmental agenclas
C Not to make or suffer any waste to be made of the premises and will keep said
premises neat, clean and respectable condition, free from objectionable matter or thing
D To observe and comply with all current and future laws and ordinances and all
regulations of federal, state, county or city airport authorities or agencies having jurisdiction
over the conduct of oporatwns at the airport
E To keep adequate records of raceme and expenses and make such records reasonably
available, upon request, to the Du'ector of Finance of the City of Danton, Texas
F Lessee will quit possession of all premises leased harem at the end of the prunary
term of this lease or any renewal or extension thereof, and dehver up the premises to Lessor m
as good condition as existed when possession was taken by Lessee, reasonable wear and tear
excepted
G Lessee shall, at its expense, procure all licenses, certificates, permits, or other
authorization from any and all governmental authorities, if any, having jurisdiction over the
operations of Lessee
H Lessee shall, m the course of marketing its own goods and services, market and
promote the Denton Municipal Alrpor! and various events held at the Denton Municipal
Airport
This Amendment is intended to amend the prov~sions of the Airport Lease only to
the extent expressly set forth above All of the terms covenants, provisions, and
condmons set forth tn the Airport Lease are ratified and confm~ed except as expressly
modified by this Amendment Tlus Agreement shall be b~ndlng upon and shall mure to
the benefit of the respective successors and assigns of Lessor and Lessee
In partial consideration for the amendments referenced herein above, Lessee does
hereby and herewith release Lessor of and from any and all clmms, causes of action,
and/or stats m eqtuty arising out of or tn any way related to the construction of the public
ramp located west of Tracts A and C and between Tax,way A Lessee does hereby and
herevoth also release Lessor of and from any and all clmms, causes of action, and/or suits
~n eqmty arising out of or m any way related to thts A~rport Lease prior to the execution
of tlus Amendment
Amendment to A~rport Lease Agreement CommerclalfFBO Page 3 ot ~
IN ~'I_TNESS, ~W,H~EREOF, the parties have executed this Amendment as of the ~--
day of~ 1998
CITY OF DENTON, LESSOR
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
EZELL AVIATION, INCORPORATED
NELSON ~ZI~LL
TITLE
Amendment to Au'port Lease Agreement Commer¢lal/FBO Page 4 of 5
THE STATE OF TEXAS §
COUNTY OF DENTON §
This instrument was acknowledged before me on the ~q~day of (~Y,~ ~vu, 1998
by Nelson Ezell
NOTARY PI~BLI/C,
STATE OF TEXAS
My Commission Expires
Amendment to Airport Lease Agreement Commerclal/FBO Page 5 of 5
OP IN CENO
AN ORDINANCE AUTHORIZING THE CITY MANGER TO EXECUTE AN AMENDMENT
TO THE COMMERCIAL AIRPORT LEASE AGREEMENT BETWEEN THE CITY OF
DENTON, TEXAS AND EZELL AVIATION, INCORPORATED WHICH WAS ADOPTED
PER ORDINANCE NO 97-132 TO ALLOW FOR THE AUTHORIZATION OF
COMMERCIAL, RETAIL, OR INDUSTRIAL BUSINESS UPON LEASED PREMISES
WITHOUT FORMAL WRITTEN CONFIRMATION OF THE CITY COUNCIL, AND
PROVIDING AN EFFECTIVE DATE
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION 1 The City Manager is authorized to execute an amendment to the
commercial lease agreement between the C~ty of Denton, Texas and Ezell Aviation Incorporated,
which was approved per Ordinance No 97-132 to allow for the authorization of commercial,
retail or industrial business upon leased premises without formal written confirmation of the city
council, under the terms and conditions contained within the amendment, which is attached
hereto and made a part hereof
SECTION 2 This ordinance shall become effective immediately upon its passage and
approval
PASSED AND APPROVED this the ~r/~ day of ~/~tS~'~ ,
2001
EULINE BROCK, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
AMENDMENT TO AIRPORT LEASE AGREEMENT BETWEEN EZELL AVIATION,
INCORPORATED AND THE CITY OF DENTON, TEXAS
THESTATE OFTEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF DENTON §
WHEREAS, Ezell Awat~on, Incorporated have indicated that certain prows~ons of the
May 6, 1997 Lease Agreement between ~tself and the City of Denton, Texas, Lessor, are causing
d~fficulty m securtng a wable use of the leased premises, and
WHEREAS, Lessor desires to cooperate m the Lessee's interest tn its lease prermses at
the Denton Mumc~pal Au'port,
This Lease Amendment ("Amendment") ~s made and executed th~s ~ day of March,
2001, at Denton, Texas, by and between the City of Denton, Texas, a mume~pal corporation,
beretnaf~er referred to as "Lessor," and Ezell Aviation, Incorporated referred to as "Lessee" Tlus
Amendment amends the Lease Agreement executed on May 6, 1997 (the "Agreement") between
Lessor and Lessee to the extent contained heretn only, all other prows~ons of the Agreement not
specifically modified hereto rematn m full force and effect as or~gtnally written
The last paragraph of Article I D of the Agreement ~s hereby amended to read as follows
I PREMISES AND USE
D USE OF COMMERCIAL LAND PREMISES (TRACT "D")
Lessee, his tenants and sublessee shall not be authorized to conduct any services not
spec~fieally hsted m th~s agreement The use of the lease premises of Lessee, 'ms tenants or sub
lessee shall be hm~ted to only those private, commercml, retml or industrial act~wt~es havtng to do
w~th or related to an-ports and awat~on No person, bustness or corporation may operate a
commercml, retml or mdustrml bustnass upon the premases of Lessee or upon the Au'port w~thout
author~atlon from the Lessor m written form The C~ty shall respond to the request for
authorization w~thm smty (60) days of written notrficat~on to Lessor's City Manager If
authorization ~s not received w~thm the required s~ty-day tune per~od, authorization of the
act~wty wall be considered granted T'ms granttng of authorization does not reheve the Lessee or
~ts sublessee, successor, or assign ofcomphance w~th terms or conditions tn t'ms agreement
IN WITNESS WHEREOF, the parties have executed tbas Amendment to the Agreemem
as of the day and year first above written
CITY OF DENTON, TEXAS, LESSOR
MICHAEL W JEZ, CITY MANAGER
ATTEST
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
EZELL AVIATION, INCORPORATED,
LESSEE
NELSON EZELL, PR~ENT
THE STATE OF TEXAS §
cou vr¥ DENTON §
BEFORE ME the und~d,~]~tt)~ty, a Nota~ Pubhc tn and for smd State of Texas, on
th~s day personally appeared'~, known to me to be the person who s~gned and
executed the foregoing instrument, and acknowledged to me that tins instrument was executed for
the purposes and consideration thereto expressed
(~/GIVEI~ UNDER MY HAND AND SEAL OF OFFICE this ~ day of
I '~ ^~0R'~YT~ l NOTA~.i r PUBLIC, SJ~ATE O~/TEXAS
Notary Public, State of Texas K
.............. ~00~ _ J My Commission Exptres
THE STATE OF TEXAS §
COUNT¥OF q' hSm_3 §
Tlus instrument was acknowledged before me on the ~ day of
~"~O..~O._[,~. ,2001 by Nelson Ezell, tn the capacity as noted m the foregoing instrument
~[.~'[~°3 NOTARY Vlmh_IC_ ~ NOTARY PUBLIC, STATE OF TEXAS
My Commission Expxres )~-(~ -(9 I