HomeMy WebLinkAboutAdden 5 r LAG 03-002
Addendum #5-12
ADDENDUM TO LEASE AGREEMENT
(City of Renton to AirO, Inc.)
THIS ADDENDUM to Lease Agreement LAG 03-002 is effective as of
November 1, 2012.
RECITALS:
WHEREAS, AirO, Inc. has a Lease Agreement with the City of Renton,
LAG-03-002, executed on November 1, 2003; and
WHEREAS, LAG-03-002 relates to the rental of a building as well as a
parcel of land, which have different rental rates; and
WHEREAS, on November 1, 2009, the building rental rate for the
approximately 22,746 square feet of building space leased by AirO, Inc. was
determined to be $0.112 per square foot per month and continuing until
November 1, 2012; and
WHEREAS, Lease Agreement LAG-03-002 expires on November 1,
2013; and
WHEREAS, on November 1, 2012, and for the remaining period of the
Term of the Lease, the building rental rate was adjusted, using the Consumer
Price Index-Urban, to a rate of$0.12 per square foot per month for the 22,746
square feet of leased building area, resulting in an annual rental amount of
$32,754.24 (22,746 sq. ft. x $0.12 x 12 months), and continuing until November
1, 2013, and
WHEREAS, on November 1, 2009, as a result of the vehicle drive-lane
striping project, the land area was reduced from 93,001 square feet to 88,601
square feet; and
WHEREAS, on November 1, 2009, the land rental rate for the
approximately 88,601 square feet of land area leased by AirO, Inc. was
determined to be $0.62 per square foot per year and continuing until November
1, 2012; and
WHEREAS, on November 1, 2012, and for the remaining period of the
Term of the Lease, the land rental rate was adjusted, using the Consumer Price
Index-Urban, to a rate of$0.66 per square foot per year for the 88,601 square
feet of leased area, resulting in an annual rental amount of$58,476.66 (88,601 x
$0.66), and continuing until November 1, 2013.
Lease Agreement 03-002 1
City of Renton and AirO,Inc.
4
NOW, THEREFORE, IT IS HEREBY AGREED AND COVENANTED BY AND
BETWEEN THE CITY OF RENTON AND AIRO, INC. AS FOLLOWS:
W ITNESSETH:
1. Landlord and Tenant agree that the difference between the CPI-U of
September 2012, as compared to August 2009, is 6% (240.213 / 227.138 =
1.06 or 6%). This results in a monthly building rate increase from $0.112 to
$0.12 per square foot (0.112 x 1.06 = $0.12).
2. Section 3a. of LAG 03-002 is hereby amended to reflect that the Landlord
and Tenant do hereby agree to an annual building rental of$32,754.24
(22,746 x $0.12), plus leasehold excise tax, for the 800 Building identified in
lease LAG 03-002, effective November 1, 2012.
3. Landlord and Tenant agree that the difference between the CPI-U of
September 2012, compared to August 2009, is 6% (240.213 / 227.138 =
1.06 or 6%). This results in an annual ground rate increase from $0.62 to
$0.66 per square foot (0.62 x 1.06 = $0.66).
4. Section 3a. of LAG 03-002 is hereby amended to reflect that the Landlord
and Tenant do hereby agree to an annual land rent of $58,476.66 (88,601 x
$0.66), plus leasehold excise tax, for the 88,601 square feet identified in ease
LAG 03-002, effective November 1, 2012.
5. All other terms and conditions of the original Lease Agreement shall remain in
full force and effect.
AirO, Inc. CITY OF RENTON
a Washington Corporation a Municipal Corporation
Denis La
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Title Jas- A_7. S ;-,Deputy City, Clerk
Date
App ved as to legal.fo�rm _
City Attorney
Lease Agreement 03-002 2
City of Renton and AirO,Inc.
L.4a-o3 -00,7,
CITY ATTORNEY D o "y°r
M E M O R A N D UM
DATE: July 8, 2014 CITY OF RENTON
TO: Bonnie I. Walton, City Clerk JUL 09 2014
FROM: Zanetta Fontes, Senior Assistant City Attorney RECEIVED
CITY CLERK'S OFFICE
SUBJECT: Agreement to Release and Hold Harmless
I have reviewed the Agreement to Release and Hold Harmless between the City, Michael
O'Leary as President and on behalf of AirO, Inc., WorldWind Helicopters, Inc., and
AeroCopters, Inc. It is approved as to legal form.
Please keep the original agreement and send me a digital copy. Thank you.
\`
Zanetta Fontes
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AGREEMENT TO RELEASE and HOLD HARMLESS
The City of Renton (hereinafter "Renton"), and Michael O'Leary as President and on behalf of AirO, Inc.,
WorldWind Helicopters, Inc. and AeroCopters, Inc.(hereinafter "O'Leary") (collectively "Parties") hereby
agree:
Whereas, Parties had a Landlord Tenant relationship for premises at the Renton Municipal Airport
(hereinafter"Airport"),which tenancy ended on February 28, 2014, and
Whereas, O'Leary vacated the leased premises on or about March 15, 2014, and
Whereas, at the time of O'Leary's vacation of the premises there was outstanding rent due and owing to
Renton,and
Whereas, late fees and interest accrued on the outstanding rent; and
Whereas, Renton submitted the debt to a collection agency; and
Whereas, the collection agency imposed a collection fee;and
Whereas, after vacating the leased premises, O'Leary caused to have parked an EUROCopter France
helicopter(Registration#350WW) (hereinafter"Helicopter") on the Renton Municipal Airport; and
Whereas, Renton secured the Helicopter by lock and chain; and
Whereas, O'Leary has paid the outstanding rent, now
For and in consideration of the mutual covenants made herein,
O'Leary RELEASES, and HOLDS HARMLESS, the City of Renton and its elected and appointed officers,
employees and agents from and against any and all claims, demands, damages, debts, costs, expenses,
liabilities, loss of services, loss of work, actions and causes of action or lawsuits, of whatever kind or
nature, known or unknown, whether suspected or unsuspected, arising from or connected with any
actions taken by Renton relating to the impounding of any O'Leary property, including Helicopter, to
guarantee payment of outstanding rent.
Renton RELEASES, and HOLDS HARMLESS O'Leary from any amounts due and owing related only to the
outstanding rents, to include those fees incurred due to the submission to a collection agency that debt
owing for outstanding rent, late fees due on the outstanding rent, and interest on the outstanding rent.
The Parties hereby acknowledge and agree that this AGREEMENT TO RELEASE and HOLD HARMLESS
does not relate, in any way, to actions that might flow from O'Leary having left a 12,000 gallon, Jet A
fuel tank(Ser.# 18594)on the Airport on the previously leased premises.
**Awl
The Parties agree that the terms and conditions of this AGREEMENT TO RELEASE and HOLD HARMLESS
are not to be construed against any party on the basis of such party's draftsmanship thereof.
The Parties acknowledge that each has read this AGREEMENT TO RELEASE and HOLD HARMLESS, and
each has had the opportunity to consult with independent counsel, that the contents of this document
and its legal implications are understood by each. The Parties also acknowledge that the terms and
contents of this document are contractual and not mere recitals, and that each has signed this
AGREEMENT TO RELEASE and HOLD HARMLESS as a free voluntary act and deed.
DATED THIS3rd day of JU'Y , 2014
AirO, Inc., by Michael O'Leary, President
WorldWind Helicopters, In/c.,, by Michael O'Leary, President
AeroCopters, Inc., by Michael O'Leary, President
STATE OF WASHINGTON ) ss.
COUNTY OF KING )
I certify that I know or have satisfactory evidence that ,'C ae signed
this instrument and acknowledged it to be his/her free and voluntary act for the uses and purposes
mentioned in this instrument.
11f 1
C.
VAN
DATED this 3 day of 20 SlON
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Print Name: A&iLeef- 0 tkot S';c N''" AU8 EAQ
Notary Public in and for the State of Washington residing
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SeQ jyz ``+�+ OF WASN���`r
My Commission expires: jfj6 C4 /a,
&,4� i7ii�
Hon. Denis Law, Mayor `4 F.'fj
City of Renton F✓�,
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Attest:
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Bonnie I.Walton,City Clerk
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Approved as to legal form:
Lawrence J.Warren, City Attorney
'F Van 'Sion Stocks Firkins
A T T O R N E Y S AT LAW
Robert C. Van Siclen
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July 3, 2014 :4 ilk O j
Zanetta 1. Fontes
City Attorney
City of Renton
City Attorney's Office
1055 South Grady Way
Renton WA 98057
RE: City of Renton and Michael J. O'Leary
Dear Zanetta,
Enclosed is the original of the Agreement To Release and Hold Harmless that Mr.
O'Leary has executed. I have notarized his execution of this instrument. After you have
obtained all necessary signatures from your end of things, please send to me a true and
correct copy. You can keep the original and a digital copy is sufficient for my purposes.
I thought I would commend you on the way you handled this, both from the
standpoint of negotiating the City out of a potential piece of liability in seizing the
aircraft, and for drafting a well thought-out Release and Hold Harmless Agreement. I'm
sure you enjoy your position as senior assistant city attorney as much as I did when I
started my career in the same position, half time, for the City of Auburn and half time
working for the old law firm then known as Schneider, Smythe and Salley, here in
Auburn, 47 years ago. Keep up the good work.
Best personal regards,
VAN SICLEN, STOCKS & FIRKINS
Robert C. Van Siclen
RCVS:
cc: client
KING COUNTY 253.859.8899 72145"'Street NE
PIERCE COUNT 253.924.0686 Auburn,WA 98002
FAX 866—947—4658 www.vansiclen.com