HomeMy WebLinkAboutRES 5457RESOLUTION NO 5 4 5 7
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF AUBURN, WASHINGTON, AUTHORIZING
THE MAYOR TO EXECUTE AMENDMENTS TO
SEVEN SEPARATE LAND LEASES RELATED TO
HANGERS LOCATED ON THE AUBURN MUNICIPAL
AIRPORT
WHEREAS, The City of Auburn has entered into seven different land leases
over the last several years for land located on the Auburn Municipal Airport; and
WHEREAS, Each of the land leases contains a Fair Market Valuation (FMV)
rental rate escalation clause set in five year increments from the date each lease
commenced; and
WHEREAS, Each of the tenants has been operating unofficially on the
same FMV cycle regardless of the date of lease commencement; and
WHEREAS, The City and the tenants each wish to formalize the current
date of the FMV cycle so the leases are aligned.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, HEREBY RESOLVES as follows:
Section 1. That the Mayor is authorized to execute lease amendments
to each of the seveh Airport land leases provided that each amendment is in
substantial conformity to the respective exhibit, attached as Exhibit "A" , "B," "C,"
D," "E," "F," and "G".
Section 2. That the Mayor is authorized to implement such administrative
procedures as may be necessary to carry out the directives of this legislation.
Section 3. That this Resolution shall take effect and be in full force upon
passage and signatures hereon.
Resolution No 5457.
September 16, 2019
Page 1 of 2
Dated and Signed: October 7, 2019
CITY OF AUBURN
N NCY KUS, MAYOR
ATTEST:
Shawn Campbell, MMC, City Clerk
APPROVED AS TO FORM:
Steven L. Gross, City Attorney
Resolution No 5457.
September 16, 2019
Page 2 of 2
EXHIBIT A
CITY OF AUBURN /
CASCADE HELICOPTER SERVICES
SIXTH AMENDMENT)
COVER SHEET
SIXTH AMENDMENT TO THE LEASE AGREEMENT INITIALLY BETWEEN SKY
SERVICES,INC.,THEN AUBURN FLIGHT SERVICES AND CURRENTLY SPAROW
TANG,DBA CASCADE HELICOPTER SERVICES AND THE CITY OF AUBURN
THIS AMENDMENT is made and entered into this 6 day of Sep,LP r,-l6cr ,
2019, by and between the CITY OF AUBURN, a municipal corporation of the State of
Washington(hereinafter referred to as the"CITY"), and Sparrow Tang, DBA Cascade
Helicopter Services, successor of Sky Services and Auburn Flight Services (hereinafter referred
to as Lessee), as an amendment to the Lease Agreement between the parties for land located on
the Auburn Municipal Airport("Airport")dated the 27th day of February, 1978.
WITNESSETH:
WHEREAS,the City entered into a Fixed Base Lease with Sky Services for aviation related
use of property at the Auburn Municipal Airport,authorized under Resolution 866; and
WHEREAS, Sky Services has been succeeded by Auburn Flight Services and currently
Cascade Helicopter Services; and
WHEREAS, The Lease Agreement has been previously been amended five times,
authorized under Resolutions 893, 2003, 3065, 3181 & 5144; and
WHEREAS, both parties desire to extend the Lease for the 50 year renewal term that was
established in Amendment V of the Lease although Lessee failed to provide timely written notice
of such desire as required by Section 31 of the Lease; and
WHEREAS, Sections 6 of the Lease Agreement as amended in Section 3 of Amendment
II provides for rent adjustments of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
Section 4 "Term" of the Lease is amended as follows:
The initial term of this Lease shall be for a period of forty(40)years, commencing on the 1st day
of June, 1978 and terminating on the 31'day of May, 2018. Upon expiration,the term is
extended an additional fifty(50)years from that date.
Section 3 of Amendment II as it replaces in its entirety Section 6 of the Original Lease
Agreement is replaced in its entirety with the following:
6. Rental Rate and Rate Adjustment
Sixth Amendment to Lease Agreement between COA& Sky Services, Inc.
Original Lease approved under Resolution NO. 866
a). The Monthly Base Rent will be adjusted on June 1 of every calendar year ending in a"2"or
7"during the term of this lease by a multiplier equal to the change in the Price Index (PI)
pursuant to the procedure set forth in Section 6(c)below with the first PI adjustment
commencing June 1, 2022.Notwithstanding the foregoing, Monthly Base Rent will be adjusted
every five(5)years, commencing on January 1, 2025,to equal the"fair market rental value"
FMV)of Auburn Airport land, pursuant to the procedure set forth in Section 6(d)below.
b). Definitions: The adjusted Monthly Base Rent will be determined in accordance with the
formula set for in Section 6(c)below. In applying the formula,the following definitions apply:
1) "Bureau"means the U.S. Department of Labor, Bureau of Labor Statistics or any
successor agency.
2) "Price Index"means the Consumer Price Index for the month of February for all
Urban Consumers, All Items(Seattle-Tacoma-Bellevue) issued from time to time by
the Bureau, or any other measure hereafter employed by the Bureau in lieu of the
price index that measures the cost of living or if said Bureau should cease to issue
such indices and any other agency of the United States should perform substantially
the same function,then the indices issued by such other agency.
c.). The adjusted Monthly Base Rent shall be determined by multiplying the Monthly Base Rent
being adjusted by a multiplier equal to the cumulative change in the Price Index over the
previous 24 months ending in February of the adjustment year, computed as follows:
Cumulative percentage change in Price Index over previous 24 months ending in February)x
current Monthly Base Rent)=(Adjusted Monthly Base Rent)
d). Each five(5)years, commencing on January 1, 2025,the Monthly Base Rent will be revised
based upon an appraisal establishing fair market rental value of Auburn Airport land, excluding
rental value of any Lessee constructed Improvements. Lessor will retain and pay the costs of an
MAI appraiser. The annual adjustment formula set forth in Sections 6(b)& (c)will not be
applied each such fifth (5th)year. Lessor may, at its discretion, utilize an appraisal completed
within 12 months prior to the date of the periodic five year adjustment.Additionally,this
appraisal may be used by Lessor for setting rates for leases other than this Lease. In the event
Lessee disagrees with Lessor's appraisal, Lessee may, at their own expense, retain a second
appraisal. Lessor and Lessee will then attempt to negotiate a lease rate. If these negotiations are
unsuccessful,the parties will mutually agree on the selection of an arbitrator. The costs of
arbitration will be shared equally. The arbitrator's determination will be based upon the
appraisals, but in no event will the new Monthly Base Rent be lower than the Monthly Base Rent
in effect at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration,the determined rental rate will be made
retroactive to January 1 of the current FMV cycle.
Sixth Amendment to Lease Agreement between COA& Sky Services, Inc.
Original Lease approved under Resolution NO. 866
SIGNATURES ON THE FOLLOWING PAGES]
Sixth Amendment to Lease Agreement between COA&Sky Services, Inc.
Original Lease approved under Resolution NO.866
Dated and Signed on this c day of S ep 2019
Sparrow Tang DBA Cascade Helicopter
Services
ceo
Na e: Title:
A notary public or other officer completing
this certificate verifies only the identity of
at -Pb Mick the individual who signed the document to
STATE OF
which this certificate is attached,and not
the truthfulness,accuracy,or validity of
ss. that document.
County of f )
The undersigned Notary Public hereby certifies: Thalon this 6 day of ep -ew.kr
20 d ,
personally appeared before me Spa c'FaVV (name),
title),to me known to be thd individual(s4 described in
and who executed the within instrument, and acknowledged that he/she-signed and sealed the same
as his/her-free and voluntary act and deed, for the purposes and uses therein mentioned,-ani-en.
i-zed-to-ex to saiddoourt nt-on-behalf of- 1,/'
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
a'4'
ME
WY
R 7-1 NOTARY PUBLIC-CALIFORNIA '
n
I
ISKIYOUCOUNTY — N.tary Publ. ' and for .e State of
F ° MY COMM.EXP.MAR.9,sots
Residin: •t 3(S J r` w11f
My co mission expires M0
Sixth Amendment to Lease Agreement between COA&Sky Services, Inc.
Original Lease approved under Resolution NO. 866
Dated and Signed on this'`- day of 2019
City of Auburn
yor: Nanc ackus
Approved as to form.
City Attorney: Steven L. ross
STATE OF WASHINGTON
ss.
County of ,c
The undersigned Notary Public hereby certifies: That on this,'. day of Zc'
20 \C\, personally appeared before me c\Q,.e\c___y name),
title),to me known to be the individual(s)described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
C A106, 1!,,
g201AR).
Otto Notary Public in and for the State of Washington,
Residin at
O
EXHIBIT B
CITY OF AUBURN /
AUBURN FLYERS CONDO I
FIRST AMENDMENT)
COVER SHEET
FIRST AMENDMENT TO THE LEASE AGREEMENT
BETWEEN THE CITY OF AUBURN AND NW HANGARS, LLC.
THIS AMENDMENT is made and entered into this \ day of 2019,
by and between the CITY OF AUBURN, a municipal corporation of the State of Washington
hereinafter referred to as the"CITY"), and Auburn Flyers Condo I (hereinafter referred to as
Lessee), as an addendum to the Lease Agreement between the parties for land located on the
Auburn Municipal Airport ("Airport") executed on the 17th day of June, 2002.
WITNESSETH:
WHEREAS, the City of Auburn ("CITY"), and NW Hangars, LLC. ("Lessee") entered
into a Lease Agreement dated June 17, 2002, recorded with the Auditor of King County,
Washington, under Auditor's File No. 20021212002550 on the 12`h day of December, 2002; and
WHEREAS, Pursuant to Paragraph 12 of the Lease Agreement between Lessee and the
CITY, Northwest Hangars LLC had the right to create a Condominium Association which was
created and recorded with the Auditor of King County, Washington, under Auditor's File No.
20021212000129; and
WHEREAS, Pursuant to Paragraph 12(b) of the Lease Agreement between NW Hangars
LLC and the CITY, the Lease was automatically assigned to the Auburn Flyers Condo I ("AFC
I") for the assumption of all responsibilities under this Lease Agreement; and
WHEREAS, Sections 5(a).and 5(d)provide for annual periodic rent adjustments
including adjustments based upon"fair market rental value" (FMV) of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
1) Paragraph 5(a) is replaced in its entirety with the following:
Monthly Base Rent will adjust on January 1, of every year beginning January 1, 2004
during the lease term, per this Section 5. Notwithstanding the foregoing, Monthly Base
Rent will be adjusted every five (5) years, commencing on January 1, 2020, to equal the
fair market rental value" (FMV) of Auburn Airport land, pursuant to the procedure set
forth in Section 5(d)below. No such adjustment, however will reduce the amount of
Monthly Base Rent below the amount of the respective Monthly Base Rent that is being
adjusted.
2) Paragraph 5(d) is replaced in its entirety with the following:
Each five (5) years, commencing on January 1, 2020,the Monthly Base Rent will be
revised based upon an appraisal establishing fair market rental value of Auburn Airport
land, excluding rental value of any Lessee constructed Improvements. Lessor will retain
First Amendment to Lease Agreement between COA & NW Hangars, LLC.
Original Lease approved under Resolution NO. 3484
r
and pay the costs of an MAI appraiser. The annual adjustment formula set forth in
Sections 5(b) & (c) will not be applied each such fifth(5th) year. Lessor may, at its
discretion, utilize an appraisal completed within 12 months prior to the date of the
periodic five year adjustment. Additionally, this appraisal may be used by Lessor for
setting rates for leases other than this Lease. In the event Lessee disagrees with Lessor's
appraisal, Lessee may, at their own expense,retain a second appraisal. Lessor and Lessee
will then attempt to negotiate a lease rate. If these negotiations are unsuccessful, the
parties will mutually agree on the selection of an arbitrator. The costs of arbitration will
be shared equally. The arbitrator's determination will be based upon the appraisals,but in
no event will the new Monthly Base Rent be lower than the Monthly Base Rent in effect
at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration, the determined rental rate will
be made retroactive to January 1 of the current FMV cycle.
SIGNTURES ON THE FOLLOWING PAGES]
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3484
Dated and Signed on this J 4-4 day of 2019
Auburn Flyers Condo I
8 :::
24t,\_____,
v osti/t .404011,
Name: Title: 1
STATE OF WASHINGTON
ss.
County of If-ffM:" )
The undersigned Notary Public hereby certifies: Th on this lay of :J
20 , pe sonal y appeared before me r naphe),
F i, 4 A ' (tit
tomjo
ewn o Ye the individual(s) described in
and who execut-• the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oa stated that h she was duly authorized to execute said document on behalf of
Odra COAV
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
DAVID OKEEFE
Notary Public Notary if
i lc in n for the State of Washington,ington,
State of Washington
My Appointment Expires Residing at CO .
Aug 28,2021 My commission expires AV)r O2-
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3484
City of Auburn
a
ayor: N,
i.' :
ackus
Approved as to form:
City Attorney: Steven L. Gro s
STATE OF WASHINGTON
ss.
County of \-.-,
The undersigned Notary Public hereby certifies: That on this—t=day ofc_k,
20 \cam, personally appeared before me .,-\_Gk_.\ cam_ c k_,5 name),
J--,, , title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath`stated that he/she was duly authorized to execute said document on behalf of
L`,kL S=..,„.\mow,r .
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
AMPe 'IGR,, , N..„ Com.,,,,,
Z_'o,0N
EXP41 ,,,, ,, Notary Public in and for the State of Washington,
3 .y},PRr s
O Residing at o,r. `l
z o ' u - - % My commission expires -\/ oc,j a,'c'
S N y`3 P u e`'ep=c 9
1gilt"'/TE
han%%%%%%%%%%%%
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gift"'/`E`Of\
Sp' -:
ssN
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3484
EXHIBIT C
CITY OF AUBURN /
AUBURN FLYERS CONDO II
FIRST AMENDMENT)
COVER SHEET
FIRST AMENDMENT TO THE LEASE AGREEMENT
BETWEEN THE CITY OF AUBURN AND NW HANGARS,LLC.
THIS AMENDMENT is made and entered into this 13
rt-
dayday of Av fC---
2019, by and between the CITY OF AUBURN, a municipal corporation of the State of
Washington(hereinafter referred to as the"CITY"), and Auburn Flyers Condo II (hereinafter
referred to as Lessee), as an addendum to the Lease Agreement between the parties for land
located on the Auburn Municipal Airport("Airport") dated the 23rd day of January, 2004.
WITNESSETH:
WHEREAS, the City of Auburn, and NW Hangars, LLC. entered into a Lease Agreement
dated January 23, 2004, recorded with the Auditor of King County, Washington, under Auditor's
File No. 20040202001780 on the 2nd day of February, 2004; and
WHEREAS, Pursuant to Paragraph 12 of the Lease Agreement between Lessee and the
CITY, Northwest Hangars LLC had the right to create a Condominium Association which was
created and recorded with the Auditor of King County, Washington, under Auditor's File No.
20040202002409; and
WHEREAS, Pursuant to Paragraph 12(b) of the Lease Agreement between Northwest
Hangars LLC and the CITY, the Lease was automatically assigned to the Auburn Flyers Condo II
AFC II") for the assumption of all responsibilities under this Lease Agreement; and
WHEREAS, Sections 5(a) and 5(d)provide for annual periodic rent adjustments
including adjustments based upon"fair market rental value" (FMV) of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
1) Paragraph 5(a) is replaced in its entirety with the following:
Monthly Base Rent will adjust on January 1, of every year beginning January 1, 2004
during the lease term, per this Section 5. Notwithstanding the foregoing, Monthly Base
Rent will be adjusted every five (5) years, commencing on January 1, 2020, to equal the
fair market rental value" (FMV) of Auburn Airport land, pursuant to the procedure set
forth in Section 5(d)below. No such adjustment,however will reduce the amount of
Monthly Base Rent below the amount of the respective Monthly Base Rent that is being
adjusted.
2) Paragraph 5(d) is replaced in its entirety with the following:
Each five(5) years, commencing on January 1, 2020, the Monthly Base Rent will be
revised based upon an appraisal establishing fair market rental value of Auburn Airport
land, excluding rental value of any Lessee constructed Improvements. Lessor will retain
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3681
M.
and pay the costs of an MAI appraiser. The annual adjustment formula set forth in
Sections 5(b) & (c) will not be applied each such fifth(5th) year. Lessor may, at its
discretion,utilize an appraisal completed within 12 months prior to the date of the
periodic five year adjustment. Additionally, this appraisal may be used by Lessor for
setting rates for leases other than this Lease. In the event Lessee disagrees with Lessor's
appraisal, Lessee may, at their own expense, retain a second appraisal. Lessor and Lessee
will then attempt to negotiate a lease rate. If these negotiations are unsuccessful, the
parties will mutually agree on the selection of an arbitrator. The costs of arbitration will
be shared equally. The arbitrator's determination will be based upon the appraisals,but in
no event will the new Monthly Base Rent be lower than the Monthly Base Rent in effect
at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration, the determined rental rate will
be made retroactive to January 1 of the current FMV cycle.
SIGNATURES ON THE FOLLOWING PAGES]
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3681
Dated and Signed on this I ? day of q u V 2019
Auburn Flyers Condo II
4 116(44 VAASA--
Name: 411 Title:
STATE OF WASHINGTON
ss.
County of ‹8
The undersigned Notary Public hereby certifies: That on this I ell day of GI.uretSf
20 I' , personally appeared before me Di Xc l U.-A rm:9 ' w•:x, -h name),
rcolgU•rriV title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
kri4oIMrr toYSerrwito .
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
NOM%‘11111
4°04 k 80 lit 44411.4t4A-grz-e,tete..)
tPa4A,, e i Notary Public in and for the State of Washington,
4oT l' Residing at it
cj"IMycommissionexpires /0 -
111„
WASN`\\`
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3681
City of Auburn
r . sio I,
ayor: Nal.. :ackus
Approved as to form:
City Attorney: Steven L. Gross
STATE OF WASHINGTON
ss.
County of .--c.N
The undersigned Notary Public hereby certifies: That on this"\ - day of ,,a,-,\N_,__,
20 \ , personally appeared before me .„ I. name),
title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
r„„,. \,,‘‘‘i Cc._
oa RyRFs''%,,1... ,, Notary Public in and for the State of Washington,
y t OZ=g o . r 5 Residing at Th-,,„,,, Lc.,
0 ^,= 2 .. My commission expires \-\j ockj a_o a
y PO _•__ .rao .- CQ =
i', E ```-
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3681
EXHIBIT D
CITY OF AUBURN /
AUBURN FLYERS CONDO III
FIRST AMENDMENT)
COVER SHEET
FIRST AMENDMENT TO THE LEASE AGREEMENT
BETWEEN THE CITY OF AUBURN AND NW HANGARS,LLC.
THIS AMENDMENT is made and entered into this`\ day of
2019,by and between the CITY OF AUBURN, a municipal corporation of the State of
Washington(hereinafter referred to as the"CITY"), and Auburn Flyers Condo III (hereinafter
referred to as Lessee), as an addendum to the Lease Agreement between the parties for land
located on the Auburn Municipal Airport ("Airport") dated the 14TH day of September, 2005.
WITNESSETH:
WHEREAS, the City of Auburn, and NW Hangars, LLC. entered into a Lease Agreement
dated September 14, 2005, recorded with the Auditor of King County, Washington, under
Auditor's File No. 20060724001167 on the 24th day of July, 2006; and
WHEREAS, Pursuant to Paragraph 13 of the Lease Agreement between Lessee and the
CITY, Northwest Hangars LLC had the right to create a Condominium Association which was
created and recorded with the Auditor of King County, Washington, under Auditor's File No.
20060724001166; and
WHEREAS, Pursuant to Paragraph 13(b) of the Lease Agreement between NW Hangars
LLC and the CITY, the Lease was automatically assigned to the Auburn Flyers Condo III ("AFC
III") for the assumption of all responsibilities under this Lease Agreement; and
WHEREAS, Sections 6(a) and 6(d)provide for annual periodic rent adjustments
including adjustments based upon"fair market rental value"(FMV) of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
1) Paragraph 6(a) is replaced in its entirety with the following:
Monthly Base Rent will adjust on January 1, of every year beginning January 1, 2007
during the lease term,per this Section 6. Notwithstanding the foregoing, Monthly Base
Rent will be adjusted every five(5) years, commencing on January 1, 2020, to equal the
fair market rental value"(FMV) of Auburn Airport land, pursuant to the procedure set
forth in Section 6(d)below. No such adjustment,however will reduce the amount of
Monthly Base Rent below the amount of the respective Monthly Base Rent that is being
adjusted.
2) Paragraph 6(d) is replaced in its entirety with the following:
Each five(5) years, commencing on January 1, 2020, the Monthly Base Rent will be
revised based upon an appraisal establishing fair market rental value of Auburn Airport
land, excluding rental value of any Lessee constructed Improvements. Lessor will retain
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3894
and pay the costs of an MAI appraiser. The annual adjustment formula set forth in
Sections 6(b) & (c) will not be applied each such fifth(5th) year. Lessor may, at its
discretion,utilize an appraisal completed within 12 months prior to the date of the
periodic five year adjustment. Additionally, this appraisal may be used by Lessor for
setting rates for leases other than this Lease. In the event Lessee disagrees with Lessor's
appraisal, Lessee may, at their own expense,retain a second appraisal. Lessor and Lessee
will then attempt to negotiate a lease rate. If these negotiations are unsuccessful, the
parties will mutually agree on the selection of an arbitrator. The costs of arbitration will
be shared equally. The arbitrator's determination will be based upon the appraisals,but in
no event will the new Monthly Base Rent be lower than the Monthly Base Rent in effect
at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration, the determined rental rate will
be made retroactive to January 1 of the current FMV cycle.
SIGNATURES ON THE FOLLOWING PAGES]
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3894
Dated and Signed on this f.R.'+11 day of L„Li 2019
t ,
Auburn Flyers Condo III
x....%....; ilar7
i
Name: Title: i
C---j\i-a-4.4.Ae i _../
STATE OF WASHINGTON
ss.
CCountyof70fSaN )
The undersigned Notary Public herby certifi : That on this 1 2-day of IV
persona appeared before me th2011, P Y pp 4 na e),
c 'r title), to me known e the individual(s) described in
and who execut d the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
v1fj%1.xE,
stated that he/she wa duly authorized to execute said document on behalf ofth
ftjQ'-
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
1 DAVID OKEEFE
Notary Public Notary wic n a for the State of Washington,
State of Washington
esiding atoZy-fiefc CD
My Appointment Expires
1 Aug28,2021 lycommission expires CI In,
a
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3894
A.'.
City of Auburn
yor: Na :ackus
Approved .!
v .
y
City Attorney: S -yen L. Gross
STATE OF WASHINGTON
ss.
County of V, , ,,c.,\
The undersigned Notary Public hereby certifies: That on this—0"-- day of ,._,>, ,,_...
20 \c,, personally appeared before me .c __Q ,,,s_c__Al_.,., name),
a-. title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
Ns\\\"""%'I
Q3ELL
I'
ll, Cc 'S-
1
P s?%Res ''rt,,V i, Notary Public in and for the State of Washington,
k7.1: Z I V?
sf o y Residing at o,,\ \ \L--
z 50 ° cv_.s i f.My commission expires .j '-
c-k/_,, ,a_,
iii,, S\A\E-
y,
First Amendment to Lease Agreement between COA& NW Hangars, LLC.
Original Lease approved under Resolution NO. 3894
EXHIBIT E
CITY OF AUBURN /
AUBURN HANGARS OWNERS ASSOCIATION
SECOND AMENDMENT)
COVER SHEET
SECOND AMENDMENT TO THE LEASE AGREEMENT
BETWEEN THE CITY OF AUBURN AND HU,INC.
THIS AMENDMENT is made and entered into thi"s"-N-35— day of
2019,by and between the CITY OF AUBURN, a municipal corporation of the State of
Washington (hereinafter referred to as the "CITY"), and Auburn Hangars Owners Association
hereinafter referred to as Lessee), as an addendum to the Lease Agreement between the parties
for land located on the Auburn Municipal Airport("Airport") dates the 14th day of September,
2001.
WITNESSETH:
WHEREAS, the City of Auburn, and HU, Inc., doing business as Hangars Unlimited
HU") entered into a Lease Agreement dated September 14, 2001, a memorandum of which was
recorded with the Auditor of King County,Washington,under Auditor's File No 20030512000474
on the 12th day of May, 2003; and
WHEREAS, Pursuant to Paragraph 12 of the Lease Agreement between HU, Inc. and the
CITY, HU, Inc. had the right to create a Condominium Association which was created and
recorded with the Auditor of King County, Washington, under Auditor's File No.
20030416002595; and
WHEREAS, Pursuant to Paragraph 12(b) of the Lease Agreement between HU, Inc. and
the CITY, the Lease was automatically assigned to the Auburn Hangars Owners Association for
the assumption of all responsibilities under this Lease Agreement; and
WHEREAS,The Lease Agreement was previously amended on April 23, 2002; and
WHEREAS, Sections 5(a) and 5(d)provide for annual periodic rent adjustments
including adjustments based upon"fair market rental value"(FMV)of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
1) Paragraph 5(a)is replaced in its entirety with the following:
Monthly Base Rent will adjust on January 1, of every year beginning January 1, 2003
during the lease term,per this Section 5. Notwithstanding the foregoing, Monthly Base
Rent will be adjusted every five(5) years, commencing on January 1, 2020, to equal the
fair market rental value" (FMV) of Auburn Airport land,pursuant to the procedure set
forth in Section 5(d)below.No such adjustment, however will reduce the amount of
Monthly Base Rent below the amount of the respective Monthly Base Rent that is being
adjusted.
Second Amendment to Lease Agreement between COA & HU, Inc.
Original Lease approved under Resolution NO. 3364
2) Paragraph 5(d)is replaced in its entirety with the following:
Each five(5) years, commencing on January 1, 2020,the Monthly Base Rent will be
revised based upon an appraisal establishing fair market rental value of Auburn Airport
land, excluding rental value of any Lessee constructed Improvements. Lessor will retain
and pay the costs of an MAI appraiser. The annual adjustment formula set forth in
Sections 5(b)&(c) will not be applied each such fifth(5th) year. Lessor may, at its
discretion,utilize an appraisal completed within 12 months prior to the date of the
periodic five year adjustment. Additionally, this appraisal may be used by Lessor for
setting rates for leases other than this Lease. In the event Lessee disagrees with Lessor's
appraisal, Lessee may, at their own expense,retain a second appraisal. Lessor and Lessee
will then attempt to negotiate a lease rate. If these negotiations are unsuccessful, the
parties will mutually agree on the selection of an arbitrator. The costs of arbitration will
be shared equally. The arbitrator's determination will be based upon the appraisals,but in
no event will the new Monthly Base Rent be lower than the Monthly Base Rent in effect
at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration, the determined rental rate will
be made retroactive to January 1 of the current FMV cycle.
SIGNATURES ON THE FOLLOWING PAGES]
Second Amendment to Lease Agreement between COA& HU, Inc.
Original Lease approved under Resolution NO. 3364
Dated and Signed on this 2 3 day of p el t S% 2019
Auburn Hangars Owners Association
a
Name: Title:
STATE OF WASHINGTON
1
ss.
County of V
The undersigned Notary Public hereby certifies: That on this day of
20 \0 ,personally appeared before me U4 C \ S n me),
Y'Q,Skd k title), to me known to 1 e thhee individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
P \ov (Y\ kNO YbWY`06S06c
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
11/vVeP'NSC,S;ti,
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rQ'.`,,,g'oi r"'',,
O /4 Notary Public in and forthe State of Washington,
4- 7.oT4q '0 y`' " Residing at RAesaLk W
202199 "% S.My commission expires CkA6VV2
e.
4, ;' ox
WAS'
Second Amendment to Lease Agreement between COA& HU, Inc.
Original Lease approved under Resolution NO. 3364
Dated and Signed on this day of 'o 2019
City of Auburn
ayor: N Backus
Approved as
City Attorney: Steven L. Gro
STATE OF WASHINGTON
ss.
County of V
The undersigned Notary Public hereby certifies: That on thi Z day of
20\c, ,personally appeared before me t_ name),
title),to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
PBELL
1,14/
OPIRs 's,,
i r0 I,
r ry
PcY '%
ire Notary Public in and for the State of Washington,
z :y o . 005; z ::: Residing at
6y%,oo
JaON
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Ili,
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Second Amendment to Lease Agreement between COA& HU, Inc.
Original Lease approved under Resolution NO. 3364
EXHIBIT F
CITY OF AUBURN /
AUBURN CONDO HANGARS ASSOCIATION
THIRD AMENDMENT)
COVER SHEET
t
THIRD AMENDMENT TO THE LEASE AGREEMENT
BETWEEN THE CITY OF AUBURN AND AVIATION PROPERTIES, INC.
THIS AMENDMENT is made and entered into this\ day of N.c,
2019,by and between the CITY OF AUBURN, a municipal corporation of the State of
Washington(hereinafter referred to as the"CITY"), and Auburn Condo Hangars Association
hereinafter referred to as Lessee), as an addendum to the Lease Agreement between the parties
for land located on the Auburn Municipal Airport ("Airport") executed on the 8th day of June,
2001.
WITNESSETH:
WHEREAS, the City of Auburn ("CITY"), and Aviation Properties, Inc. ("API") entered
into a Lease Agreement dated June 8, 2001, a memorandum of which was recorded with the
Auditor of King County, Washington, under Auditor's File No. 20020627002407 on the 27th day
of June, 2002; and
WHEREAS,Pursuant to Paragraph 12 of the Lease Agreement between API and the CITY,
API had the right to create a Condominium Association which was created and recorded with the
Auditor of King County, Washington,under Auditor's File No. 20030415000674; and
WHEREAS, Pursuant to Paragraph 12(b) of the Lease Agreement between API and the
CITY,the Lease was automatically assigned to the Auburn Condo Hangars Association("ACHA")
for the assumption of all responsibilities under this Lease Agreement; and
WHEREAS, The Lease Agreement has twice been amended; The first dated November
19, 2002 and the second dated August 3, 2016; and
WHEREAS, Sections 5(a) and 5(d)provide for annual periodic rent adjustments
including adjustments based upon"fair market rental value"(FMV) of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
1) Paragraph 5(a) is replaced in its entirety with the following:
Monthly Base Rent will adjust on January 1, of every year beginning January 1, 2002
during the lease term,per this Section 5. Notwithstanding the foregoing, Monthly Base
Rent will be adjusted every five(5) years, commencing on January 1, 2020, to equal the
fair market rental value" (FMV) of Auburn Airport land,pursuant to the procedure set
forth in Section 5(d)below. No such adjustment, however will reduce the amount of
Monthly Base Rent below the amount of the respective Monthly Base Rent that is being
adjusted.
Third Amendment to Lease Agreement between COA&Aviation Properties, Inc.
Original Lease approved under Resolution NO. 3353
2) Paragraph 5(d) is replaced in its entirety with the following:
Each five (5) years, commencing on January 1, 2020, the Monthly Base Rent will be
revised based upon an appraisal establishing fair market rental value of Auburn Airport
land, excluding rental value of any Lessee constructed Improvements. Lessor will retain
and pay the costs of an MAI appraiser. The annual adjustment formula set forth in
Sections 5(b) & (c) will not be applied each such fifth(5th) year. Lessor may, at its
discretion,utilize an appraisal completed within 12 months prior to the date of the
periodic five year adjustment. Additionally, this appraisal may be used by Lessor for
setting rates for leases other than this Lease. In the event Lessee disagrees with Lessor's
appraisal, Lessee may, at their own expense,retain a second appraisal. Lessor and Lessee
will then attempt to negotiate a lease rate. If these negotiations are unsuccessful, the
parties will mutually agree on the selection of an arbitrator. The costs of arbitration will
be shared equally. The arbitrator's determination will be based upon the appraisals,but in
no event will the new Monthly Base Rent be lower than the Monthly Base Rent in effect
at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration, the determined rental rate will
be made retroactive to January 1 of the current FMV cycle.
SIGNATURES ON THE FOLLOWING PAGES]
Third Amendment to Lease Agreement between COA &Aviation Properties, Inc.
Original Lease approved under Resolution NO. 3353
r
Dated and Signed on this 25 acto day of 4ç— 2019
Auburn Condo Hangars Association
Cob P2 ID J—
Name: Title:
STATE OF WASHINGTON
ss.
County of Y--tno
The undersigned Notary Public hereby certifies: That on this 7,,/) day ofwks-
20\,personallyappeared before me 1)01J1 6 \ name),
COhdu Psv( title), t&me known tb be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
POolvn Condi kkO,n 'Pg,ocio VA
In Witness Whereof I have hereunto set my hand sand affixed my official seal the day and
year first above written.
9
N\\ SCHD1
i
Notary Public in and for the State of Washington,
10,A4„,,
N,f,,,,ti i Residing at V.e ill wall
P41.„mR`'
0' , z My commission expires 01-Ict-,2
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Third Amendment to Lease Agreement between COA&Aviation Properties, Inc.
Original Lease approved under Resolution NO. 3353
Dated and Signed on this -% day of 2019
City of Auburn
yor: Nan, .ackus
Approved avi ••
4
City Attorney: Steven L. Gross
STATE OF WASHINGTON
ss.
County of \LN,
The undersigned Notary Public hereby certifies: That on this Th day of
20\S , personally appeared before me name),
title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
C .mac
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
Q Q aes '$+, `<0',, Notary Public in and for the State of Washington,
c i P
s Residing atr.
Yy aSi• My commission expires - z S/moo a,
11/40z
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Third Amendment to Lease Agreement between COA&Aviation Properties, Inc.
Original Lease approved under Resolution NO. 3353
EXHIBIT G
CITY OF AUBURN /
JAMES E. JACOBSEN
FIRST AMENDMENT)
COVER SHEET
FIRST AMENDMENT TO THE LEASE AGREEMENT
BETWEEN THE CITY OF AUBURN AND JAMES E.JACOBSEN.
THIS AMENDMENT is made and entered into this 6 day of_. eA
2019,by and between the CITY OF AUBURN, a municipal corporation of the State of
Washington(hereinafter referred to as the"CITY"), and JAMES E.JACOBSEN (hereinafter
referred to as Lessee), as an amendment to the Lease Agreement between the parties for land
located on the Auburn Municipal Airport("Airport") dated the 3rd day of June, 2002.
WITNESSETH:
WHEREAS, the City of Auburn and James E. Jacobsen entered into a Lease Agreement
dated June 3, 2002 authorized under resolution 3474; and
WHEREAS, Sections 5(a) and 5(d)provide for annual periodic rent adjustments
including adjustments based upon"fair market rental value"(FMV) of the Premises,
NOW THEREFORE in consideration of their mutual covenants, conditions and promises,
the Parties agree as follows:
1) Paragraph 5(a) is replaced in its entirety with the following:
Monthly Base Rent will adjust on January 1, of every year beginning January 1, 2004
during the lease term,per this Section 5. Notwithstanding the foregoing, Monthly Base
Rent will be adjusted every five(5) years, commencing on January 1, 2020, to equal the
fair market rental value" (FMV) of Auburn Airport land, pursuant to the procedure set
forth in Section 5(d)below. No such adjustment,however will reduce the amount of
Monthly Base Rent below the amount of the respective Monthly Base Rent that is being
adjusted.
2) Paragraph 5(d) is replaced in its entirety with the following:
Each five (5) years, commencing on January 1, 2020, the Monthly Base Rent will be
revised based upon an appraisal establishing fair market rental value of Auburn Airport
land, excluding rental value of any Lessee constructed Improvements. Lessor will retain
and pay the costs of an MAI appraiser. The annual adjustment formula set forth in
Sections 5(b) & (c) will not be applied each such fifth(5th) year. Lessor may, at its
discretion,utilize an appraisal completed within 12 months prior to the date of the
periodic five year adjustment. Additionally, this appraisal may be used by Lessor for
setting rates for leases other than this Lease. In the event Lessee disagrees with Lessor's
appraisal, Lessee may, at their own expense, retain a second appraisal. Lessor and Lessee
will then attempt to negotiate a lease rate. If these negotiations are unsuccessful, the
parties will mutually agree on the selection of an arbitrator. The costs of arbitration will
be shared equally. The arbitrator's determination will be based upon the appraisals, but in
no event will the new Monthly Base Rent be lower than the Monthly Base Rent in effect
First Amendment to Lease Agreement between COA&James E.Jacobsen
Original Lease approved under Resolution NO. 3474
at the time of arbitration. The decision of the arbitrator regarding the increases will be
final. In the event of ongoing negotiations or arbitration, the determined rental rate will
be made retroactive to January 1 of the current FMV cycle.
SIGNATURES ON THE FOLLOWING PAGES]
First Amendment to Lease Agreement between COA&James E.Jacobsen
Original Lease approved under Resolution NO. 3474
Dated and Signed on this (p day of ,<50404,440.0, , 2019
James E. Jacobsen
ile$51.4E.
Nam Title:
STATE OF WASHINGTON
KI
ss.
County of
The undersigned Notary Public hereby certifies: That on this (Alay of 4".,
20 f Q, personally appeared before me ,,,jQ,wit$ £ J&cpb sicr, name),
2,S title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that e/ he was duly authorized to execute said document on behalf of
k M
In Witness Whereof I have hereunto set my hand . • • . ed my 1, icial seal the day and
year first above written.
Notary Public
State of Washington
ROBERT AVILA Notary Pu• is in and for th-gyate of Washington,
COMMISSION#162083 Residing atMYCOMMISSIONEXPIRES
August 17,2022 My commission expires ZZ
First Amendment to Lease Agreement between COA&James E.Jacobsen
Original Lease approved under Resolution NO. 3474
e
Dated and Signed on this --\-‘'-- day of z:_ c\-o i 2019
City of Auburn
ror:MNa ii:ackus
Approveoes;to .rm:
City A ttorney: Steven L. Gross
STATE OF WASHINGTON
ss.
County of \` .
The undersigned Notary Public hereby certifies: That on this-N= day of c.___\,,, ,.. ,
20Vc.N ,personally appeared before me 1..,__ ,v name),
7',. 4 \ title), to me known to be the individual(s) described in
and who executed the within instrument, and acknowledged that he/she signed and sealed the same
as his/her free and voluntary act and deed, for the purposes and uses therein mentioned, and on
oath stated that he/she was duly authorized to execute said document on behalf of
v-\\ 1 `_.
In Witness Whereof I have hereunto set my hand and affixed my official seal the day and
year first above written.
O. No 11, *
Q .`itES X14,,ii, Ij/c- C ."„\9 `+-S"
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Notary Public in and for the State of Washington,
o r •
io
5 Residing at ,,N,Q, ` \_c.,v\I...&
gym °tit e a_
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My commission expires c y,v o a--._
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II1+ HS SIP' 'i:.
First Amendment to Lease Agreement between COA&James E.Jacobsen
Original Lease approved under Resolution NO. 3474