Loading...
HomeMy WebLinkAbout5393RESOLUTION NO. 5 3 9 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE LEASE AGREEMENT BETWEEN THE CITY OF AUBURN AND SPANAFLIGHT, LLC. WHEREAS, the City and SpanaFlight, LLC ("SpanaFlight") entered into a Lease Agreement for building and tie -downs, which commenced on July 1, 2016 and was approved by Resolution 5232; and WHEREAS, On December 20, 2016 the City and SpanaFlight elected to extend the term of the Lease through December 31, 2017 with an additional option to extend again through December 31, 2018; and WHEREAS, On November 17, 2017 and November 20, 2017 emails were sent, first by SpanaFlight with a response by the City of both Parties desire to exercise the option to extend the lease through December 31, 2018; and again; WHEREAS, Both the City and SpanaFlight desire to extend the Lease yet NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, RESOLVES as follows: Section 1. The Mayor is authorized to execute an amendment to the lease agreement between the City of Auburn and SpanaFlight, LLC dated June 22, 2016, which amendment shall be in substantial conformity to the "3rd Addendum" to the Lease Agreement," which is attached as Exhibit "A'. Section 2. The Mayor is authorized to implement those administrative procedures necessary to carry out the directives of this legislation. Resolution No 5393. (December 3, 2018) Page 1 of 2 Section 3. This Resolution will take effect and be in full force on passage and signatures hereon. Dated and Signed this 2�f' day of � , 2018. ATTEST: Shawn M. Campbell, MMC, City Clerk APPROVED AS TO FORM: Al� Steven L. Gross, City Attorney Resolution No 5393. (December 3, 2018) Page 2 of 2 CITY OF AUBURN 3rd ADDENDUM TO THE LEASE AGREEMENT BETWEEN THE CITY OF AUBURN AND SPANAFLIGHT LLC THIS ADDENDUM is made and entered into this day of , k._. , 2018, by and between the CITY OF AUBURN, a municipal corporation of the State of Washington (hereinafter referred to as the "City"), and SpanaFligbt LLC (hereinafter referred to as "Lessee"), as an addendum to the Lease Agreement between the parties for space located on the Auburn Municipal Airport commencing on the 1' day of _July_, 2016. WITNESSETH: WHEREAS, The City and SpanaFlight LLC entered into a Lease Agreement for building space and two (2) airplane tie -downs, on June 22, 2016 approved under Resolution 5232; and WHEREAS, The Lease Agreement commenced on July 1, 2016 and expired on December 31, 2016; and WHEREAS, On December 20, 2016 The City and SpanaFlight LLC agreed to extend the lease beginning January 1, 2017 until December 31, 2017 with an option to extend until December 31, 2018 memorialized in the Second Addendum to the Lease Agreement; and WHEREAS, On November 17, 2017 SpanaFlight sent an email to City of Auburn Real Property Analyst, Josh Arndt expressing their wishes to exercise the 2018 option allowed in the second addendum; and WHEREAS, On November 20, 2017 The City sent a response to SpanaFlight accepting of SpanaFlight's desire to exercise the 2018 option; and WHEREAS, On November 2, 2018 following communication between the City and SpanaRight, SpanaFlight indicated a desire to extend their lease for an additional 2 year period ending December 31, 2020; NOW THEREFORE in consideration of their mutual covenants, conditions and promises, the PARTIES HERETO HEREBY AGREE as follows: 1. This Lease shall be extended beginning January 1, 2019 through December 31, 2019. All other terms and conditions set forth in Section 2.1 shall apply. 2. Section 2.2 shall be amended to read: Unless either party provides written notice of the contrary to the other party no later than September 30, 2019, the term of this lease shall automatically extend an additional twelve (12) months beginning January 1, 2020 and expiring December 31, 2020 (renewal term). Written notice shall be in the form of certified mail, return receipt requested, or via electronic transmission (email) sent to those persons identified in Article 12. If either party does provide written or electronic notice not to exercise the renewal term Lessee agrees to vacate the premises peacefully by the RES 5393 - Third Amendment to Lease Agreement between City of Auburn and SpanaFlight LLC Original Lease under Resolution 5232 Page 1 end of the current term. Further, Lessor shall have the right to market the Premises to future prospective tenants beginning sixty (60) days prior to the end of the current term. Marketing of the Premises shall include, but not be limited to: posting of signs on the Premises or its improvements, photographs and tours of the Premises and its improvements. Entering upon the Premises for the purpose of tours shall be conducted in accordance with Article 13. 3. Section 3.1 shall be amended to read: For Lease Payments due January through December 2019, Lessee agrees to pay to the City of Auburn a Base Rent of $925.00 per month. For Lease payments due in the Renewal Term (January — December, 2020), Lessee agrees to pay to the City of Auburn a Base Rent of $950.00 per month. In addition to the Base Rent, Lessee shall pay a monthly security fee of $10.00 per door and a statutory leasehold excise tax of 12.84% of the monthly base rent and security fee combined, imposed by RCW Chapter 82.29. The base rent, security fee and leasehold tax (together "Rent") shall equal $1,055.05 per month January through December 2019 and $1,083.26 per month January through December 2020. Rent shall be paid in full at the office of the Airport Manager or at such other office as may be directed in writing by the City, on the I" calendar day of the month in advance. Rent shall be paid without notice, demand, offset, abatement or deduction of any kind. If commencing or extending on a date other than the fust (1s`) day of the month then the Rent shall be prorated on a per diem basis and paid in full through the end of the current month upon commencement of the Lease. 4. Notices sent in accordance with Article 12 shall be amended to the following recipients: To the City: City of Auburn Attn: Josh Arndt — Real Property Analyst 25 W Main Auburn, WA 98001 Jarndt(a'auburnwa.eov And City of Auburn Attn: Ingrid Gaub — Director of Public Works 25 W Main Auburn, WA 98001 Igaub@aubumwa.gov To Lessee: SpanaFlight, LLC Attn: Doug Miller 16705 103`d Ave Ct E Puyallup, WA 98374 Doug@Spanaflight.com RES 5393 - Third Amendment to Lease Agreement between City of Auburn and SpanaFlight LLC Original Lease under Resolution 5232 Page 2 This addendum shall take effect January 1, 2019 at which time the above shall amend and supersede the above referenced sections of the original Lease which commenced on July 1, 2016. ALL OTHER TERMS AND CONDITIONS AGREED TO IN THE LEASE AGREEMENT BETWEEN THE CITY OF AUBURN AND SPANAFLIGHT LLC IN LEASE AGREEMENT DATED JUNE 22, 2016 AND COMMENCING ON JULY 1, 2016 SHALL REMAIN THE SAME. IN WITNESS WHEREOF the parties hereto have executed this Agreement as of the day and year first above written. [Signatures on tate following pages] RES 5393 - Third Amendment to Lease Agreement between City of Auburn and SpanaFlight LLC Original Lease under Resolution 5232 Page 3 Dated and Signed this _day of 12018. SpanaFlight, LLC: Douglas Miller, Owner/CEO STATE OF WASHINGTON ) ) ss. County of ) The undersigned Notary Public hereby certifies: That on this 20 personally appeared before me (title), and (name), (title), to me known to be the individual(s) described in and who executed the within instrument, and acknowledged that he/she/they signed and sealed the same as his/here/their free and voluntary act and deed, for the purposes and uses therein mentioned, and on oath stated that he/she/they was/were duly authorized to execute said document on behalf of day of (name), In Witness Whereof I have hereunto set my band and affixed my official seal the day and year first above written. Notary Public in and for the State of Washington, Residing at My commission expires RES 5393 - Third Amendment to Lease Agreement between City of Auburn and SpanaFlight LLC Original Lease under Resolution 5232 Page 4 Dated and Signed this "'e� day of Z. ,.� 2018. CITY OF AUBURN: ANCY B A, Mayor i4;z O RM:: Steven L. Gross, City Attorney STATE OF WASHINGTON ) ) ss. County of \L\s ) The undersigned Notary Public hereby certifies: That on thisca_ day of 1 \" 20 personally appeared before me C1c� cu -INC _ L� (name), (title), and c=,, , , � s (name), (title), to me known to be the individual(s) described in and w o executed the 'thin instrument, and acknowledged that he/she/they signed and sealed the same as his/here/their free and voluntary act and deed, for the purposes and uses therein mentioned, and on oath stated that he/she/they was/were duly authorized to execute said document on behalf of c ,,�.. _\ n...._ .. In Witness Whereof I have hereunto set my hand and affixed my official seal the day and year first abov;\Vlim,Ill 11 X54 OSAgy �q 'i�`� lllgl I Ipp,W 4 Notary Public in and for the State of Washington, Residing at My commission expires RES 5393 - Third Amendment to Lease Agreement between City of Auburn and SpanaFlight LLC Original Lease under Resolution 5232 Page 5