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08 - Hangar Lease Assignment of A-7 from Hadley to WithersItem No. 8 TO: Mayor, Mayor Pro -Tem & City Council Grayson Path, City Manager FROM: Paul Strahan, Airport Manager/FBO Operator SUBJECT: LEASE ASSIGNMENT AT COX FIELD HANGAR A-7 DATE: August 8, 2022 BACKGROUND: The City of Paris received a written request from Collin Hadley on July 22, 2022 to assign a ground lease for private Hangar A-7 to Justin Withers and Sara Withers. A Hangar Purchase Agreement between Justin & Sara Withers and Mr. Hadley was received by the City on July 22, 2022. STATUS OF ISSUE: The Withers would like to purchase the building from Mr. Hadley. The terms of the original ground lease agreement will not change. BUDGET: N/A RECOMMENDATION: Approve a Resolution authorizing assignment of the Airport Ground Lease Agreement for Hangar A-7, from Collin Hadley to Justin and Sara Withers, subject to the receipt of required insurance and annual lease payment of $400.00. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS, APPROVING AND AUTHORIZING THE EXECUTION OF ASSIGNMENT OF AN AIRPORT GROUND LEASE AGREEMENT BETWEEN COLLIN HADLEY AND THE CITY OF PARIS FOR HANGAR A-7 AT COX FIELD AIRPORT TO JUSTIN AND SARA WITHERS; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. WHEREAS, the City of Paris did heretofore, on the 18th day of December, 2018, authorize the execution and assignment of an Airport Ground Lease Agreement (the "Lease") with Erik Zarones for Hangar A-7 at Cox Field Airport ending June 22, 2049; and, WHEREAS, Mr. Zarones assigned said Lease to Sheldon Carter on March 6, 2019; and WHEREAS, Mr. Carter assigned said Lease to Collin Hadley on November 8, 2021; and WHEREAS, Mr. Hadley has expressed his desire to assign and transfer all of his right, title, and interest in said Lease to Justin and Sara Withers; and, WHEREAS, the form of the Assignment of Lease from Collin Hadley to Justin and Sara Withers, attached hereto as Exhibit "1", should, in all things be approved, and the City Manager should be authorized to acknowledge approval of said assignment by signing the same subject to the City's receipt of required insurance and a $400.00 annual lease payment; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS: Section 1. That the findings set out in the preamble to this resolution are hereby in all things approved. Section 2. That the form of the Assignment of Lease from Collin Hadley to Justin and Sara Withers, attached hereto as Exhibit "1", for Hangar A-7 at Cox Field Airport, be, and the same is hereby, approved. Section 3. That the City Manager be, and he is hereby, authorized and directed to acknowledge approval, on behalf of the City of Paris, of the Assignment of Lease from Collin Hadley to Justin and Sara Withers, by signing the same in the form shown in Exhibit "1", attached hereto subject to the City's receipt of required insurance and a $400.00 annual lease payment. Section 4. That this resolution shall be effective from and after its date of passage. PASSED AND ADOPTED this 8th day of August, 2022. Paula Portugal, Mayor ATTEST: Janice Ellis, City Clerk APPROVED AS TO FORM: Stephanie H. Harris, City Attorney ASSIGNMENT OF GROUND LEASE STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF LAMAR § I, COLLIN HADLEY, whose mailing address is 530 Laurel Lane (hereinafter "Assignor") for and in consideration of the sum of TEN AND NO/100 DOLLARS ($10.00) and other good and valuable consideration to me in hand paid by JUSTIN and SARA WITHERS, 344 CR 43310 Paris, Texas, 75462, the receipt and sufficiency of which is hereby acknowledged, do hereby assign, transfer, and convey unto JUSTIN and SARA WITHERS, (hereinafter "Assignees"), all right, title, and interest in that Ground Lease Agreement (Hangar A-7) dated December 18, 2018, by and between the City of Paris and Erik Zarones and thereafter assigned to Sheldon Carter on March 6, 2019, and to Collin Hadley on November 8, 2021, a copy of which is attached hereto as Exhibit "A", together will all of my rights, obligations, and responsibilities thereunder. To have and to hold the described property for and during the remainder of the term of said lease attached hereto and incorporated herein as Exhibit "A". EXECUTED this day of , 2022. Collin Hadley 1 ACCEPTANCE OF ASSIGNMENT I, JUSTIN AND SARA WITHERS, Lamar County, Texas 75460, "Assignee" in the above described Assignment of Lease do hereby covenant and agree to assume and accept the obligations and responsibilities of Assignor COLLIN HADLEY, under the above -referenced Ground Lease Agreement attached hereto as Exhibit "A". Justin Withers Sara Withers ACKNOWLEDGEMENTS STATE OF TEXAS § COUNTY OF LAMAR § BEFORE ME, the undersigned authority, on this day personally appeared Collin Hadley, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that she executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of .2022. Notary Public, State of Texas 2 STATE OF TEXAS § COUNTY OF LAMAR § BEFORE ME, the undersigned authority, on this day personally appeared Justin Withers, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of .2022. Notary Public, State of Texas STATE OF TEXAS § COUNTY OF LAMAR § BEFORE ME, the undersigned authority, on this day personally appeared Sara Withers, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that she executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of 52022. Notary Public, State of Texas The aforesaid Assignment of Lease is approved and accepted by the Grayson Path, City Manager, City of Paris, Texas, on this the day of --------12022. Grayson Path, City Manager 3 ATTEST: Janice Ellis, City Clerk APPROVED AS TO FORM: Stephanie Harris, City Attorney