10 - LEASE REASSIGNMENT AT COX FIELDItem No. 10
memorandum
TO: City Council
John Godwin, City Manager
FROM: Shawn Napier, P.E., Director of Engineering, Planning & Development
SUBJECT: LEASE REASSIGNMENT AT COX FIELD
DATE: June 17, 2015
BACKGROUND: The City of Paris received a request from Mr. Jimmy Smyers to reassign a
ground lease for Hangar AAA. This hangar is located on the north side of the east -west hangar
taxiway at the west end. The original lease was between the City of Paris and Toby R. Adams in
1998 for thirty -five years. This lease was reassigned from Toby R. Adams to Chad D. Parrot in
2009.
STATUS OF ISSUE: Mr. Smyers is in the process of exchanging properties with Mr. Parrot and
the hangar is part of that transaction. Mr. Smyers is then proposing to sell the hangar to BUHA
Holding, LLC.
BUDGET: N/A
RECOMMENDATION: Reassign the hangar ground lease agreement from Chad D. Parrot to
Jimmy Smyers and then to BUHA Holding, LLC.
ASSIGNMENT AND ACCEPTANCE Or LEASE
THE STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LAMA.R §
WHEREAS, Chad D. Parrott is the legal owner and holder of the herein described Lease
Agreement, as Lessee which pertains to Hangar AAA at Cox Field Airport, Paris, Lamar County,
Texas; and
WHEREAS, Jinnny Srnyers wishes to purchase said Lease Agreement from Chad D. Parrott;
NOW THEREFORE, I, CHAD D. PARROTT (herein "Assignor "), of Lamar County, Texas,
for and in consideration of the sum of TEN AND N01100 DOLLARS ($10.00) cash, and other good
and valuable consideration to me in hand paid by JIMMY SMYERS (herein "Assignee ") of Lamar
County, Texas, the receipt and sufficiency of which is hereby acknowledged, do hereby transfer,
assign and convey unto Assignee that certain Lease Agreement dated March 8, 1998, by and between
the City of Paris as Lessor and Toby Rex Adams as original Lessee, a copy of which is attached
hereto as Exhibit A, covering that portion of Cox Field Airport in Paris, Lamar County, Texas, as
described therein, together will all my rights and titles thereunder, and Assignee agrees to accept and
does hereby accept this assignment and agrees to assume and accept all obligations and
responsibilities of the Lessee in and under said Lease Agreement.
Assignor binds Assignor, his heirs and successors to warrant and forever defend all and
singular the rights to said Lease Agreement to Assignee, his heirs, successors, and assigns against
every person whomsoever lawfully claiming or to claim the same or any part thereof by through or
under the Assignor, but not otherwise. Assignor warrants that he is not in default in any manner
under the terms of said Lease Agreement, as of the date hereof.
EXECUTED EFFECTIVE the 13th day of March, 2015.
CHAD D. PARROTT, Assignor
JIMMY SMYERS, Assignee
THE STATE OF TEXAS §
§
COUNTY OF LAMAR §
The foregoing instrument was acknowledged before me on the day of JUNE, 2015, by
CHAD D. PARROTT.
Notary Public - State of Texas
My Commission Expires Notary's Printed Name
THE STATE OF TEXAS §
COUNTY OF LAMAR §
The foregoing instrument was acknowledged before me on the day of JUNE, 2015, by
JIMMY SINNERS.
My Commission Expires
Notary Public - State of Texas
Notary's Printed Name
The aforesaid assignment was approved by the City Council of the City of Paris, Texas on
the _ day of June, 2015.
JOHN GODWIN, City Manager
ATTEST:
Janice Ellis, City Clerk
APPROVED AS TO FORM:
W. Kent McIlyar, City Attorney
COUNTY OF LAKAR }
KNOW ALL WWN BY TIITSE PRMNTSt
STATE OF TEXAS )
THIS LEASE AGRE MENT is made this 9th day of March, 1498, by and between the
CITY OF PARIS, PARIS, TEXAS, a municipal corporation, acting by and through its City
Manager, Michael E. Malone, duly authorized, hereinafter referred to as LESSOR, and Toby Rex
Adams, 3680 Lamar Avenue, Paris, Lamar County, Texas 75462, hereinafter referred to as
LESSEE.
WITNESSETII
For and in consideration of the consfruction of hangar at Cox Field Airport, in accordance
with plans and specifications approved by the City Engineer of the City of Paris, the CITY OF
PARIS does hereby lease, sent and let unto Toby Rex Adams, a lot fronting 120 feet of the north
side of the proposed extension of East-West Taxi -way which will eventually terminal at pM 1508,
said lot being a portion of Cox Field property described in Exhibit "A ", attached hereto and made
a part hereof for all legal purposes.
The term of this Lease is for THIRTY-FIVE (35) years, beginning on the 1st Day of April,
2998, and ending on the 31st day of March, 2033.
It is further agreed to by LESSOR and LESSEE that LESSEE shall have the option to
renew such Lease for an additional period of TEN (10) years, the rental for the renewal to be in
the sutra of THIRTY-TWO TROUSAND FOUR HUNDRED AND 110 1100 DOLLARS
($32,400.00), payable to the CITY OF PARIS, a municipal corporation, as follows: $270.00 on
or before March 1, 2033, with a like payment on or before the Ist day of each month thereafter
during the remainder of the term of the first option, which ends March 31, 2043. The granting
of said fast option is subject to the requirements set forth in paragraph 18,
It is further agreed to by LESSOR and LESSEE that LESSEE shall have a second option
to renew such Lease for a period of TEN (10) -years, the rental for The second renewat to be based
on either S.06 per square foot or the fair marker value at the timo of the exercising of such second
option, whichever is greater, payable to the City of Paris, a municipal corporation, as follows:
The. amount determined at the time of the exercising of the second option is payable on or before
EXHIBIT A Lea e Agreement - page l
the 1st day of March, 2043, with a like payment on or before the ist day of each month thereafter
durit>o the remainder of the term of the second option, which ends March 31, 2053, The granting
of said second option is subject to the requirements set forth in paragraph 18.
> N CONSIDBRATION HEREOT+, it is mutually agreed by and between LESSOR and
LESSEE:
1. That LF,M pay to LESSOR, or order, at the City Hall in the City of Pails, the
agreed rental in advance, promptly and without neglect, default and delay.
2. That this Lease is subject to all the terms, provisions and conditions of the deed of
conveyance of such premises from the United States of .America to the City of Paris, recorded in
Book 308, Page 257, Deed Records of Lamar County, Texas to which reference is made for all
purposes.
3. That LESSEE, his successors or assigns, agrees that, in the event facilities are
constructed, maintained, or otherwise operated on the said property described in this Lease for a
purpose for which a Department of Transportation program or activity is extended or for another
purpose involving the provision of similar services or benefits, the LESSEE shall maintain and
operate such facilities and services in compliance with all other requirements imposed pursuant
to Title 49, Code of Federal Regulations, Department of Transportatlon, Subtitle A. Office of the
Secretary, Part 21, Nondiscrimination in Pederally Assisted Programs of the Department of
Transportation - Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations
may be amended.
4. That LESSEE, his successors or assigns, agrees that (1) no person, on the grounds
of race, color or national origin, shall be excluded from participation in, denied the benefits of, .
or be otherwise subjected to discrimination in the use of said facilities; (ii) that, in the construction
of any improvements on, over, or under such land and the furnishing of services thereon, no
person, on the grounds of race, color or national origin shall be excluded front, participation in,
denied the benefits of, or otherwise be subjected to discrimination; (i ii) that the LESSEE shall use
the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code
of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part
21, Nondiscrimination in Federally Assisted Programs of the Department of Transportation-
LMe Atreetnent - page 2
Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations maybe amended.
g That LESSEE shall comply with all conditions and requirements established in
Department of Transportation, Federal Aviation Administration, Grant Agreements No. 8A8-
o169 -02 and No. 6-48 -0169 -03.
6. That LESSEE will abide by and comply with all rules, regulations, ordinances and
laws pertaining to the use of the airport Located at Cox Field, including but not limited to the City
of Paris Airport Manual and Federal Aviation Administration rules and regulations pertaining to
Cox Field, and In addition thereto will abide by and comply with all ordinances of the City of
Paris and all laws of the State of Texas governing citizens and property within the City of Paris.
7. That LESSEE will use tbat portion of such premises in their possessions for private
hangar space and for aeronautical activities for which they hold permits issued. by the City of Paris
in accordance with Article Hof Chapter 6 bf the Code of Ordinances of the City of Paris.
Further, it is hereby agreed by and between LESSOR and LESSEE that LESSEE shall be
permitted to sublease any or all portions of the premises described in attached Exhibit "A" for
private hangar space and for aeronautical activities for which sublessee holds a permit issued by
l the City of Paris in accordance with Article II of Chapter 6 of the Code of Ordinances of the City
Of Paris.
8. That, if in the course of using such premises for the permitted purposes. LESSEE
desires to build. at his own expense, a hangar building and apron in pursuit of such uses, LESSEE
%vill be so permitted upon application and approval for building permit or permits from the City
Of Paris, of all steel construction, similar in appearance and construction to the existing enclosed
hangars in accordance with the floor plan described in Exhibit li, attached hereto and made a part
hereof for all legal purposes, and such structure will not violate any of the rules or regulations of
the City of Paris or the Federal Aviation Administration. It being agreed and understood that
LESSEE shall be responsible fox electric utilities furnished to the hangar building during the term
of this Lease.
9. That LESSEE will take good care of the leased premises and be responsible and
melee good to LESSOR all injuries and damages to the same caused by LESSEE or those under
him and will deliver same to LESSOR at the expiration or termination of this Lease. in as good
r
- 1&ase A¢reement -page 3
condition as when completed, usual wear and tear alone excepted; and LESSEE will, upon the
expiration of this Lease, peaceably yield up to LESSOR all and singular the premises and all. future
erections, additions or repairs to or upon same, in good repair, including but not limited to hangar
buildings, storage buildings, permanent installation of equipment and fixtures, and fences.
10. That all improvements made upon the said premises by LESSEE, or at his instance
of request, shall at once become the property of LESSOR and shall be surrendered to LESSOR
at the termination or expiration of this Lease.
11. That it shall be lawful for LESSOR's Airport Manager to enter upon and into the
leased premises, and every part thereof, at all times for the purpose of inspecting and examining
the condition thereof.
12. That LESSEE, with tht; consent of LESSOR, in writing, first had and obtained, has
the-right to assign this Lease or sublet nay part of the leased premises, with such assignee having
all rights, privileges and obligations contained in ibis Lease.
13. That LESSEE agrees to indemnify, save, keep and hold harmless LESSOR from
and against any and all demands, debts, liabilities, suits, claims and causes of action of every kind
and character whatsoever for damage or injuries to persons and/or property occurring on the
leased premises resulting from LESSEE's, his invitees, agents, servants or employee's use, and
LESSOR shall not be liable to LESSEE, his invitees, agents, servants, employees or visitors due
to the improvements located thereon, or hereafter constructed, or any other condition of the
premises being improperly constructed, maintained or being or becoming out of repair; LESSEE
hereby waives any defects therein and agree to hold and save LESSOR harmless from an claims
for any such damages or injuries, and LESSEE must, at all tunes during the term of this Lease,
and any extensions hereof, keep and maintain, in full force and effect, a policy or policies of
insurance, providing at least $250,000.00 per person and $500,000.00 for any single occurrence
for bodily injury or death and $100,000.00 for any single occurrence for injury to or destruction
of property, indemnifying all persons for any and all damages, personal injuries or property
damages sustained in or upon the premises of said leased property, or any part thereof, as the
result of the negligence of LESSEE, his invitees, agents, servants or employees, and shall pay all
premiums due dtereon when due. It is expressly provided that such insurance policy or policies
Lease Aereement - page 4
shall and must be written and issued by a reputable insurance company or companies, with
LESSOR as an additional insured, subject to approval by the City Attorney of the City of Paris,
and LESSEE or his insurance carrier or carriers shall deliver a copy of any such policies to the
City Clerk of the City of Paris, 1501st Street S.E., Paris, Texas 75460, or furnish to said City
Clerk a current Ietter or certificate from such company or companies, evidencing the fact that such
Insurance is in full force and effect at all times during this Lease, and any extension hereof, and
specifically noting thereon that LESSOR is an additional insured. All such policies shall be
written so that ilia LESSOR will be notified of cancellation or of any restrictive amendment of the
policies at least thirty (30) days prior to the effective date of such cancellation or amendment.
Notice shall be by certified snail, return receipt requested, addressed to the LESSOR at the
following address: City Clerk, City of Paris, P. O. Box 9037, Paris, Texas 75461-9031.
14, LESSEE will not rent the pmllises, or any part thereof, for aircraft storage unless
a permit under Article ii, Chapter 6 of the Code of Ordinances of the City of Paris, has been
issued to them for that specific purpose-
15. That LESSEE will not use, or permit the use of, said premises, or any part thereof,
for any purpose which is determined dangerous or hazardous to the airport operation by Airport
Manager.
16. Should LESSEE default in, or fail or refuse to keep any of the covenants,
conditions, stipulations and/or provisions herein contained, notice hereof shall be given in writing
to LESSEE by LESSOR's Airport Manager, givittg LESSEE thirty (30) days to correct such
discrepancy, and, in the event such default, failure or refusal is not corrected within said thirty
(30) day period, a second notice, in writing, by certified mail, affording a hearing before the
Airport Advisory Board, on a day certain, shall be given to LESSEE by LESSOR's Airport
Manager. After affording LESSEE such hearing, the Airport Advisory Board shall recommend
to the City Council that the Lease continue or be terminated, and thereafter the City Council shall
take such action as it deems necessary.
17. That the LESSOR may, at its option, terminate this Lease as to the entire tract, or
any part thereof, which may be necessary, in the event the LESSOR desires to use tite property,
or any portion thereof, for necessary rnWcipal functions, such as extension of tumvays or erection
M AU et -page5
of other airport facilities. in the event of either of the above contingencies, the LESSOR shall give
the LESSEE ninety. (90) days notice, in writing, of its intention to so utilize the tract, or any
portion thereof, for the above specified purposes. in the event of either of the above
contingencies, the LESSOR shall have tike option pursuant to Paragraph 8 of this lease to satisfy
its obligation of compensation to LESSEE.
I8. In the event LESSEE shall keep each and every agreement contained herein and do
and perform all the obligations required of them hereunder during the primary term of this Lease,
an option is hereby given and granted to LESSEE to renew and extend this Lease for a period of
TEN (10) years from and after the expiration of this agreement, which option may be exercised
by LESSER giving notice, in writing, of their intention to renew said lease ninety (90) days prior
to the expiration of the primary term of the Lease, and shall be under such terms as previously
provided.
further, in the event LESSEE shalt creep each and every agreement contained herein and
do and perform all the obligations required of then hereunder during the first option of this Lease,
a second option is hereby given and granted to LESSEE to xerfew and extend this Lease for a
period of TEN (10) years from and after the expiration of said first option, which second option
may be exercised by LESSEE giving notice, in writing, of their intention to renew said lease
ninety (90) days prior to the expiration of the first option of the Lease, and shall be under such
terms as previously provided.
19. In tite event of a termination of this Lease by the City of Paris, as permitted herein
during the primary term of said Lease, the City of Paris will be obligated to pay to LESSEE
1 /35th of the original cost of said hangar and apron, multiplied by the number of years remaining
in the primary term of this Lease, which ends March 31, 2033. In the alternative, in lieu of
payment for termination during the primary terns of this Lease, the City of Paris may agree to give
LESSEE hangar space of equal quality, size and usefulness, at no expense to LESSEE, for the
remainder of the primary term of this Lease.
In the event that final termination of said Lease occurs during the first option, there shalt
be no payment due LESSEE. However, the City of Paris may agree to give LESSEE hangar space
of equal quality, size and usefulness, and LESSEE is granted the right to lease such substitute
lease Agreement - page 6
t 0
space for TEN (10) years for THMTY TWO THOUSAND FOUR HUNDRED AND N01100
DOLLARS ($32,100.00), payable as aforesaid.
In the event that final termination of said Lease occurs during the second option, there shall
be no payment due LESSEE. However, the City of Paris may agree to give I.PSSEE hangar space
of equal quality, size and usefulness, and LESSEE are granted the: right to Iease such substitute
space for TEN (lo) years, at a rental rate to be based on either $.06 per square foot or the fair
market value at the time of the exercising of the option, whichever is greater.
2o. The terms of this Lease are binding on, and the benefits herein inure to, the heirs,
administrators and executors of LESSEE.
MCUTED ON the dates shown In acknowledgments below.
CITY OF PARIS, PARIS, TEXAS,
LESSOR:
Michael H. Malone, City Manager
ATTEST:
Mattie, Cuptlinoam, City Clerk
A]PIPROVBD A TO b'ORK:
T. K. `aynes, Ci Attorney
LESS
'ffby M Adams
STATE OF TEXAS )
1
COUNTY OF LAMAR )
BFI!! 0" IYii, the undersigned authority, on this day personally appeared Michael E.
Malone, City Manager of the City of Paris, Paris, Texas, 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 and in the capacity therein stated.
Gr N UNDER 1KY HAND AM SEAL OF OFMCE this the 9th day of March, 1998.
ALICE Nl, PINA00 Notary Public, State of Texas
Nwefory P10C. state 01 taws
t N`° $If coM.'dislon Ey91fes01•2940 Ltase Agreement - pap 7
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acnv; i'•• ao'
MELD NOTES
I3ei,ng all that certain tract of land situated about 5.25
miles Southeast of the City of Paris, Lamar County, Texas, a part
oil landhdescribedvin Abstract No. 255
Statesdof Part
merica to the
me
the
City of Paris, recorded in Volume 308, Page 287 of the Lamar
County Deed Records, and being further described as follows:
Commencing at a point for corner at the intersection of the
South line of 1•.14,. Highway 1508 with the Last lime of F.M.
Highway 1508 situated just South of the main entrance to Cox
meld Airport;
Thence North 53 Degrees, S4 Minutes, 20 Seconds Last a
distance of 1164.98 feet to an iron pin set at the Southeast
corner of this tract; ;
Thence south 88 Degrees, 07 Minutes West a distance of
210.00 feet to an iron pin set for corner;
Thence North i Degree, 53 minutes Ijest a distance of 232.33
feet to an iron pin set for corner;
Thence North 89 Degrees, 11 Minutes, 10 Seconds bast a
distance of 210.04 feet to an iron pin set-for corner;
Thence South 1 Degree, 53 Minutes East a distance of 228:41
feet to the place of beginning, and containing 9.111 acres of
land.
1, R. Brandon Chaney, Registered Profes&ional Land Surveyor.
No. 4057, State of Texas, certify that the above Plat and Field
Notes depict and represent an actual Survey made on the ggoq' T',"t
under m sppervi.sion and :finished 5�.•.•..•.; -. -ty
��s�sxF ,
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�� �E{.aaBAND0t3 CHA�
STATE. OZ' TEXAS ' � • ! :•J
COUNTY OF DhIdAR
BEFORE ME, the undersigned authority, a Notary Public in an
for said County and State on this day personally appeared R.
Brandon Chaney, known to me to be -the pbrson whose name is
subscribed tc the :Foregoing instrument and acknowledge to me
he. executed same for the purpose and considetation therein`��,,\���,�CA
expressed.
G e N UIJAiR diY HAND •TINA S$AL Ok 077 ICE, this = `�',' A �l• �'`
o:C 1998.
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ASSIGNMENT AND ACCEPTANCE OF LEASE
THE STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LAMAR §
WHEREAS, Jimmy Smyers is the legal owner and holder of the herein described Lease
Agreement, as Lessee, which pertains to Hangar AAA at Cox Field Airport, Paris, Lamar County,
Texas; and
WHEREAS, BUHA Holdings, LLC wishes to purchase said Lease Agreement from Jimmy
Smyers;
NOW THEREFORE, 1, JIMMY SMYERS (herein "Assignor "), of Lamar County, Texas,
for and in consideration of the sum of TEN AND N01100 DOLLARS ($10.00) cash, and other good
and valuable consideration to me in hand paid by BUHA HOLDINGS, LLC (herein "Assignee ") of
Lamar County, Texas, the receipt and sufficiency of which is hereby acknowledged, do hereby
transfer, assign and convey unto Assignee that certain Lease Agreement dated March 8, 1998, by
and between the City of Paris as Lessor and Toby Rex Adams as original Lessee, a copy of which
is attached hereto as Exhibit A, covering that portion of Cox Field Airport in Paris, Lamar County,
Texas, as described therein, together will all my rights and titles thereunder, and Assignee agrees to
accept and does hereby accept this assignment and agrees to assume and accept all obligations and
responsibilities of the Lessee in and under said Lease Agreement.
Assignor binds Assignor, his heirs and successors to warrant and forever defend all and
singular the rights to said Lease Agreement to Assignee, his heirs, successors, and assigns against
every person whomsoever la"illy claiming or to claim the same or any part thereof by through or
under the Assignor, but not otherwise. Assignor warrants that he is not in default in any manner
under the terms of said Lease Agreement, as of the date hereof.
EXECUTED EFFECTIVE the day of JUNE, 2015.
JIMMY SMYERS, Assignor
BUHA HOLDINGS, LLC, Assignee
BY:
ROBERT K. HALL, Managing Member
MARK BUSTER, Managing Member
THE STATE OF TEXAS §
COUNTY OF LAMAR §
The foregoing instrument was acknowledged before me on the day of JUNE, 2015, by
JIMMY SMYE RS.
Notary Public - State of Texas
My Commission Expires Notary's Printed Name
THE STATE OF TEXAS §
COUNTY OF LAMAR §
The foregoing instrument was acknowledged before me on the day of JUNE, 2015, by
ROBERT K. HALL, Managing Member of BUHA Holdings, LLC, on behalf of said limited
liability company.
Notary Public - State of Texas
My Commission Expires Notary's Printed Name
THE STATE OF TEXAS §
COUNTY OF LAMAR §
The foregoing instrument was acknowledged before me on the day of JUNE, 2015, by
MARK BUSTER, Managing Member of BUHA Holdings, LLC, on behalf of said limited
liability company.
Notary Public - State of Texas
My Commission Expires Notary's Printed Name
The aforesaid assignment was approved by the City Council of the City of Paris, Texas on
the _ day of June, 2015.
JOHN GODWIN, City Manager
ATTEST:
Janice Ellis, City Clerk
APPROVED AS TO FORM:
W. Dent McIlyar, City Attorney
Y '
otc p_tPltt"
COUNTY OF LAtYLIR )
KNOW ALL MEN BY THESE PRESENTS;
STATE OF TEXAS )
THIS LEASE AGREEMENT is made this 9th day of March, 1998, by and between the
CITY OF PARIS, PARIS, TEXAS, a municipal corporation, acting by and through its City
Manager, Michael E. Malone, duly authorized, hereinafter referred to as LESSOR, and Toby Rex
Adams, 3680 Lamar Avenue, Paris, Lamar County, Texas 75462, hereinafter referred to as
LESSEE.
WITNESSETH
For and in consideration of the construction of hangar at Cox Field Airport, in accordance
with plans and specifications approved by the City Engineer of the City of Paris, the CITY OF
PARIS does hereby lease, rent and let unto Toby Rex Adams, a lot fronting 120 feet of the north
side of the proposed extension of East-West Taxi -way which will eventually terminal at FM 1508,
said lot being a portion of Cox Field property described in Exhibit °A", attached hereto and made
a part hereof for all legal purposes.
The term of this Lease is for THIRTY-FIVE (35) years, beginning on the 1st Day of April,
1998, and ending on the 31st day of March, 2033.
It is further agreed to by LESSOR and LESSEE that LESSEE shall have the option to
renew such Lease for an additional period of TEN (10) years, the rental for the renewal to be in
the sum of THIRTY -TWO THOUSAND FOUR HUNDRED AND NO1100 DOLLARS
($32,400.00), payable to the CITY OF PARIS, a municipal corporation, as follows.- $270.00 on
or before March 1, 2033, with a like payment on or before the 1st day of each month thereafter
during the remainder of the term of the first option, which ends March 31, 2043. The granting
of said first option is subject to the requirements set forth in paragraph 18.
It is further agreed to by LESSOR and LESSEE that LESSEE shall have a second option
to renew such Lease for a period of TEN (10) years, the rental for the second renewal to be based
on either $.06 per square foot or the fair market value at the time of the exercising of such second
option, whichever is greater, payable to the City of Paris, a municipal corporation, as follows:
The- amount determined at the time of the exercising of the second option is payable on or before
EXHIBIT A Lease Aerggment - page t
the 1st day of March, 2043, with a like payment on or before the 1st day of each month ihereafter
during the remainder of the term of the second option, which ends March 31, 2053, The grantin3
of said second option is subject to the requirements set forth in paragraph 18.
IN CONSIDERATION HEREOF, it is mutually agreed by and between LESSOR and
LESSEE:
1 That LESSEE pay to LESSOR, or order, at the City 141111 in the City of Paris, the
agreed rental iA advance, promptly and without neglect, default and delay.
2. That this Lease is subject to alt the terms, provisions and conditions of the deed of
conveyance of such premises from the united States of America to the City of Paris, recorded in
Book 368, Page 287, Deed Records of Lamar County, Texas to which reference is made for all
purposes.
3. That LESSEE, his successors or assigns, agrees that, in the event facilities are
constructed, maintained, or otherwise operated on the said property described in this Lease for a
purpose for which a Department of Transportation program or activity is extended or for another
purpose involving the provision of similar services or benefits, the LESSEE shall maintain and
operate such facilities and services in compliance with all other requirements imposed pursuant
to Title 49, Code of Federal Reguiations, Department of Transportation, Subtitle A, Office of the
Secretary, fart 21, Nondiscrimination in Federally- Assisted Programs of the Department of
Transportation- Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations
may be amended.
4, That LESSEE, his successors or assigns, agrees that (1) no person, on the grounds
of race, color or national origin, shall be excluded from participation in, denied the benefits of, .
or be otherwise subjected to discrimination in the use of said facilities; (ii) that, in the construction
of any improvements on, over, or under such land and the furnishing of services thereon, 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; (iii) that the LESSEE shall use
the premises in compliancc with all other requirements imposed by or pursuant to Title 49, Code
of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part
21, Nondiscrimination in Pederally-Assisted Programs of the Department of Transportation-
IMAM Adreetrlent -Page 2
Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may amended.
5. That LESSEE shall comply with all conditions and requirements established in
Department of Transportation, Federal Aviation Administration, Grant Agreements No. 8-48-
1)169-02 and No. 648 -0169 -03.
6. That LESSEE will abide by and comply with all rules, regulations, ordinances and
laws pertaining to the use of the airport located at Cox Field, including but not limited to the City
of Paris Airport Manual and Federal Aviation Administration rules and regulations pertaining to
Cox Field, and in addition thereto will abide by and comply with all ordinances of the City of
Paris and all laws 9f the State of Texas governing citizens and property within the City of Paris.
7. That l ESSEE will use That portion of such premises in their possessions for private
hangar space and for aeronautical activities for which they hold permits issued by the City of Paris
in accordance with Article II of Chapter 6 of the Code of Ordinances of the City of Paris.
Further, it is hereby agreed by and between LESSOR and LESSEE that LESSEE shall be
permitted to sublease any or all portions of the premises described in attached Exhibit °A° for
private hangar space and for aeronautical activities for which sublessee holds a permit issued by
the City of Paris in accordance with Article If of Chapter 6 of the Code of Ordinances of the City
Of Paris.
8. That, if in the course of using such premises for the permitted purposes, LESSEE
desires to build, at his own expense, a hangar building and apron in pursuit of such uses, LESSEE
will be so permitted upon application and approval for building permit or permits from the City
of Paris, of an steel construction, similar in appearance and construction to the existing enclosed
hangars in accordance with the floor plan described in Exhibit B, attached hereto and made a part
hereof for all legal purposes, and such structure will not violate any of the rules or regulations of
the City of Paris or the Federal Aviation Administration. It being agreed and understood that
LESSEE shall be responsible for electric utilities furnished to the hangar building during the term
of this Tease.
9. That LESSEE will take good care of the leased premises and be responsible and
make good to LESSOR all injuries and damages to the same caused by LESSEE or those under
him and will deliver same to LESSOR at the expiration or termination of this Lease in as good
Lw% Agreement - page 3
condition as when completed, usual wear and tear alone excepted; and LESSEE will, upon the
expiration of this Lease, peaceably yield up to LESSOR all and singalar the premises and all future
erections, additions or repairs to or upon same, in good repair, including but not limited to .hangar
buildings, storage buildings, permanent installation of equipment and fixtures, and fences.
10. That all improvements made upon the said premises by LESSEE, or at his instance
or request, shall at once become the property of LESSOR and shall be surrendered to LESSOR
at the termination or expiration of this Lease.
11. That it shall be lawful for LESSOR's Airport Manager to enter upon and into the
leased premises, and every part thereof, at all times for the purpose of inspecting and examining
the condition thereof.
12. That LESSEE, with the consent ofLESSOR, in writing, first had and obtained, has
the -right to assign this Lease or sublet any part of the Ieased premises, with such assignee having
all rights, privileges and obligations contained in this Lease.
13. That LESSEE agrees to indemnify, save, keep and hold harmless LESSOR from
and against any and all demands, debts, liabilities, suits, claims and causes of action of every kind
and character whatsoever for damage or .injuries to persons and /or property occurring on the
leased premises resulting from LESSEE% his invitees, agents, servants or employee's use, and
LESSOR shall not be liable to LESSEE, his invitees, agents, servants, employees or visitors due
to the improvements located thereon, or hereafter constructed, or any other condition of the
premises being improperly constructed, maintained or being or becoming out of repair; LESSEE
hereby waives any defects therein and agree to hold and save LESSOR harmless from all claims
for any such damages or injuries, and LESSEE must, at all times during the term of this Lease,
and any extensions hereof, keep and maintain, in full force and effect, a policy or policies of
insurance, providing at least $250,000.00 per person and $500,000.00 for any single occurrence
for bodily injury or death and $100,000.00 for any single occurrence for injury to or destruction
of property, indemnifying all persons for any and all damages, personal injuries or property
damages sustained in or upon the premises of said leased property, or any part thereof, as the
result of the negligence of LESSEE, his invitces, agents, servants or employees, and shall pay all
premiums due thereon when due. It is expressly provided that such insurance policy or policies
Lease Apreemen - page 4
shall and must be written and issued by a reputable insurance company or companies, with
LESSOR as an additional insured, subject to approval by the City Attorney of the City of Paris,
and LESSEE or his insurance carrier or carriers shall deliver a copy of any such policies to the
City Clerk of the City of Paris, 150 1st Street S.E., Paris, Texas 75450, or furnish to said City
Clerk a current letter or certificate from such company or companies, evidencing the fact that such
insurance is in full force and effect at all times during this Lease, and any extension hereof, and
specifically noting thereon that LESSOR is an additional insured. All such policies shall be
written so that the LESSOR will be notified of cancellation or of any restrictive amendment of the
policies at least thirty (30) days prior to the effeedve date of such cancellation or amendment.
Notice shall be by certified mail, return receipt requested, addressed to the LESSOR at the
following address: City Clerk, City of Paris, P. O. Box 9037, Paris, Texas 75461 -9037.
14, LESSEE will not rent the promises, or any part thereof, for aircraft storage unless
a permit under Article 11, Chapter 6 of the Code of Ordinances of the City of Paris, has been
issued to them for that specific purpose.
15. That LESSER will not use, or permit the use of, said premises, or any part thereof,
for any purpose which is determined dangerous or hazardous to the airport operation by Airport
Manager.
16. Should LESSEE default in, or fail or refuse to keep any of the covenants,
conditions, stipulations and/or provisions herein conrained, notice hereof shall be given in writing
to LESSEE by LESSOR's Airport Manager, giving LESSEE thirty (30) days to correct such
discrepancy, and, in the event such default, failure or refusal is not corrected within said thirty
(30) day period, a second notice, in writing, by certified mail, affording a hearing before the
Airport Advisory Board, on a day certain, shall be given to LESSEE by LESSOR's Airport
Manager. After affording LESSEE such hearing, the Airport Advisory Board shall recommend
to the City Council that the Lease continue or be terminated, and thereafter the City Council shall
take such action as it deemis necessary.
17, That the LESSOR may, at its option, terminate this Lease as to the entire tract, or
any part thereof, which may be necessary, in the event the LESSOR desires to use the property,
or any portion thereof, for necessary municipal Sanctions, such as extension of runways or erection
Lease Agretnaent - page 5
of other airport facilities. In the event of either of the above contingencies, the LESSOR shall give
the LESSEE ninety (90) days notice, in writing, of its intention to so utitize the tract, or any
portion thereof, for the above specified purposes. In the event of either of the above
contingencies, the LESSOR shall have the option pursuant to paragraph 8 of this Lease to satisfy
its obligation of compensation to LESSEE.
18. In the event LESSEE shall keep each and every agreement contained herein and do
and perform all the obligations required of them hereunder during the primary term of this lease,
an option is hereby given and granted to LESSEE to renew and extend this Lease for a period of
TEN (10) years from and after the expiration of this agreement. which option may be exercised
by LESSEE giving notice, in writing, of their intention to renew said lease ninety (90) days prior
to the expiration of the primary terns of the Lease, and shall be under such terms as previously
provided.
Further, in the event LESSEE shall keep each and every agreement contained herein and
do and perform Oil the obligations required of them hereunder during the rust option of this Lease,
a second option is hereby given and granted to LESSEE to renew and extend this Lease for a
period of TEN (10) years from and after the expiration of said first option, which second option
may be exercised by LESSEE giving notice, in writing, of their intention to renew said lease
ninety (90) days prior to the expiration of the first option of the Lease, and shall be under such
teens as previously provided.
19. In the event of a termination of this Lease by the City of Paris, as permitted herein
during Ole primary term of said Lease, the City of Paris will be obligated to pay to LESSEE
1135th of the original cost of said hangar and apron, multiplied by the number of years remaining
in the primary term of this Lease, which ends March 31, 2033. In the alternative, in lieu of
payment for termination during the primary term of this Lease, the City of Paris may agree to give
LESSEE hangar space of equal quality, size and usefulness, at no expense to LESSEE, for the
remainder of the primary term of this lease.
In the event that final termination of said lease occurs during the first option, there shall
be no payment due LESSEE. However, the City of Paris may agree to. give LESSEE hangar space
of equal quality, size and usefulness, and LESSEE Is granted the right to lease such substitute
rrase Agreement - page 6
space for TEN (10) years for THIRTY -TWO THOUSAND FOUR HUNDRED AND N01100
DOLLARS ($32,100.00), payable as aforesaid.
In the event that final termination of said Lease occurs during the second option, there shall
be no payment due LESSEE. However, the City of Paris may agree to give LESSEE hangar space
of equal quality, size and usefulness, and LESSEE are granted the right to lease such substitute
space for TEN (10) years, at a rental rate to be based on either $.Ob per square foot or the fair
market value at the time of the exercising of the option, whichever is greater.
20. The terns of this Lease are binding on, and the benefits herein inure to, the heirs,
administrators and executors of LESSEE.
WKECUTED ON the dates shown in acknowledgments below.
CITY OF PARIS, PARIS, TEXAS,
LESSOR:
Tay:
Michael B. Malone, City Manager
ATTEST:
Mettle Gunn Sham. City Clerk
APPROVED A TO FORM:
T. K. aynes, Ci Attorney
Imm E
by 1),14 Adams
SPATE OF TEXAS
COUNTY OF LAMAR
BEFORE 1VIE, the undersigned authority, on this day personally appeared Michael E.
Malone, City Manager of the City of Paris, Paris, Texas, 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 and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this the 9th day of March, 1998.
a= =- A - .4 Z e-t
; t ALICE th. PINALTO Notary Public, State of Texas
g � #alaiYt'alllc,stakotTesas
s �� M2 COMASIOa Eroas 01.29-00 Lease Aerument • page 7
a
SCAM 1,- 00'
FIELD NOTES
Being all that certain tract of land situated about 6.25
miles Southeast of the City of Paris, Lamar County, Texas, a part -
of the H. D. Davis Survey, Abstract- No. 255 and a part of the same
land described in deed from the United States of America to the
City of Paris, recorded in Volume 300, Page 2137 of the Lamar
County Deed Records, and tieing further describer) as follows:
Commencing at a point for corner at the intersection of the
South line of r.M,.-Highway 1508 with the Last lime of T.M.
Highway 1508 situated just South of the main entrance to Cox
Field Airport;
Thence North 53 Degrees, 54 Minutes, 20 Seconds East a
distance of 1164.48 feet to an iron pin set at the Southeast
corner of this tract; i
Thence South 84 Degrees, 07 Minutes West a distance of
210.00 feet to an iron pin set for corner;
Thence North 1 Degree, 53 Minutes West a distance of 232.33
feet to an iron pin set for corner;
Thence North 09 Degrees, 11 Minutes, 10 Seconds East a
distance of 210.03 feet to an iron pin set •for. corner;
Thence South 1 Degree, 53 Minutes East a distance of 228:+11
feet to the place of beginning, and containing 1.111 acres of
land.
I, R. Brandon Chaney, Registered Professional Land Surveyor,
no. 4057, State of Texas, certify that the above Plat and Bald
Notes depict and represent an actual. Survey made on the
under mfr s}�pe� lion and f3n3 shed p� .•• : rF
BRANDON CHAKY
, ft. P.L.S.
STATE. OP TEXAS ryp SURy��
COUNTY or LA14AR `
BEFORE'' ]St:, the undersigned authority, a Notary Public in an
for said County and State on this day personally appeared R_
Brandon Chaney, known to me to be-the pbrson whose name is
subparibed to the foreg6ing instrument and acknowledge to me ��
he- executed same for the purpose and considetation" therein �,�'���LN.,yj
expressed. ~ti(�`.FOYp
GIVEN UNDER -W HAND AND S4AL OS Ok'FJCCE, this
A.A. 1996. -
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