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HomeMy WebLinkAboutAdden 2LAG 99 -002 Addendum # 2 -08 ADDENDUM TO LEASE AGREEMENT (City of Renton to Pro - Flight Aviation, Inc.) THIS ADDENDUM to Lease Agreement LAG 99 -002, is effective as of the date of execution by the City of Renton, as indicated on the last page of this addendum. RECITALS: WHEREAS, Pro - Flight Aviation has a Lease Agreement with the City of Renton, LAG -99 -002, executed on August 1, 1998; and WHEREAS, on July 31, 2004, the land rental rate for the approximately 35,595 square feet of land area leased by Pro - Flight Aviation was determined to be $0.3/1-87 per square foot per year and continuing until July 31, 2007; and WHEREAS, on July 31, 2007, and for the ensuing three (3) year period, the land rental rate was adjusted, using the Consumer Price Index - Urban, to a rate of $0.367 per square foot per year for the 35,595 square feet of leased area, resulting in an annual rental amount of $13,063.37 (35,595 x $0.367), and continuing until July 31, 2010. NOW, THEREFORE, IT IS HEREBY AGREED AND COVENANTED BY AND BETWEEN THE CITY OF RENTON AND PRO - FLIGHT AVIATION, INC. AS FOLLOWS: WITNESSETH: 1. Lessor and Lessee agree that the difference between the CPI -U of August 2004 to July 31, 2007, is 11.6% (215.978 — 193.5 / 193.5 = 0.1162 or 11.62 %). This results in an annual rate increase from $0.3287 to $0.367 per square foot (0.3287 x 1.116 = $0.367); and 2. The Lessor and Lessee do hereby agree to an annual land rent of $13,063.37 (35,595 x 0.367 = 13,063.37) for the 35,595 square feet identified in Lease Agreement LAG 99- 002. 3. Lessor and Lessee do hereby agree that the annual land rent rate in Paragraph 1 shall remain in effect until July 31, 2010, and effective as of that date the rental rate shall automatically be readjusted by and between the parties using the increase of the Consumer Price Index, and for each three (3) year period thereafter. Minimum base rental for any period shall not be less than the current annual rental of $13,063.37. 4. Lessor and Lessee do hereby further agree that the Consumer Price Index information to be used for rental adjustments shall be the Consumer Price Index -Urban (CPI -U) Lease Agreement 99 -002 City of Renton to Pro - Flight Aviation, Inc. ORIGINAI C LAG 99 -002 Addendum # then in effect for all urban consumers, as published by the US Department of Labor for the Seattle- Tacoma Metropolitan Area. 5. Lessor and Lessee do hereby further agree that at least thirty (30) days prior to the Rental Adjustment Date either party shall, if they desire to adjust the base land rental rate for the ensuing three (3) year period by a means other than the Consumer Price Index- Urban, provide to the other party a written request for readjustment of the rental rate pursuant to RCW 14.08.120(5). 6. All other terms and conditions of the original Lease Agreement shall remain in full force and effect. PRO - FLIGHT AVIATION, INC. a Washington Corporation Title CITY OF RENTON a Municipal Corporation Denis Law Mayor Bonnie Walton City Clerk '!/.eYphrM' 1, 0?008' Date Appr d as to legal form City Attorney H:\AIR \01 Administration \12 Real Property Management\L.eases and Operating PermitsTease Forms \CPI Increase Addendum Template.doc Lease Agreement 99 -002 City of Renton to Pro - Flight Aviation, Inc. 2