HomeMy WebLinkAboutAddendum - 9ADDENDUM TO LEASE AGREEMENT
{City of Renton to Lane Hangar Condominiums Owners Association)
LAG-99-003
Addendum 9-25
THIS ADDENDUM to Lease Agreement LAG-99-003, is effective as of the date of
execution by the City of Renton, as indicated on the last page of this addendum.
RECITALS:
WHEREAS, Lane Hangar Condominiums Owners Association (hereinafter "Lessee") has a
Lease Agreement with the City of Renton (hereinafter "Lessor"), known to Lessor and Lessee
(collectively, the "Parties") as LAG-99-003, executed on August 1, 1998 and subsequently
amended by and through its addendums, Addendum 01-02, Addendum 02-04, Addendum 03-
07, Addendum 04-10, Addendum 05-13, Addendum 06-16, and Addendum 08-24 (hereinafter,
collectively, the "Lease"); and
WHEREAS, Addendum No. 7 was never executed by the Parties; and
WHEREAS, on August 1, 2022, the land rental rate was adjusted using Consumer Price
Index-Urban {CPI-U), to a rate of $0.9250 per square foot per year for the 41,366 square feet of
leased land, resulting in an annual rental amount of $38,263.56 {41,366 x $0.9250), and
continuing until July 31, 2025; and
WHEREAS, on March 14, 2025, the Lessor conducted an independent market appraisal
of all Airport leased areas to determine the fair market value (hereinafter "market appraisal").
The market appraisal determined the fair market ground lease rate to be $1.65 per square foot
per year; and
WHEREAS, Lessor intends to use the most recent market appraisal study to adjust the
annual land rental rate to its fair market value; and
WHEREAS, pursuant to LAG-99-003, Section 3e, in a letter dated May 7, 2025, Lessee
was notified by certified mail and email that the lease rate would be readjusted using a means
other than the CPI-U; and
WHERAS, The Lessor and Lessee do hereby agree to amend Section 3a of LAG-99-003 to
provide an annual land rent of $68,253.90 {41,366 x $1.65), PLUS leasehold excise tax, for the
41,366 square feet identified in lease LAG-99-003, effective August 1, 2025, through July 31,
2028;and
WHEREAS, Lessee shall make a lump sum payment to Lessor of the back payment of
rent at the new land rental rate for the period beginning on August 1, 2025, upon execution of
this Addendum, if necessary; and
Addendum to Lease LAG-99-003 1
City of Renton to Lane Hangar Condominiums Owners Association
LAG-99-003, Adden #9-25
Approved by Alex Tuttle via email 8/28/2025
10/14/2025