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HomeMy WebLinkAboutAdden 3 LAG 99-003 Addendum# 3-07 ADDENDUM TO LEASE AGREEMENT (City of Renton to Lane Hangar Condominium Owners Association) 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 Condominium Owners Association has a Lease Agreement with the City of Renton, LAG-99-003, executed on August 1, 1998; and WHEREAS, on July 31, 2004, the land rental rate for the approximately 41,366 square feet of land area leased by Lane Hangar Condominium Owners Association was determined to be$0.3287 per square foot per year and continuing until July 31, 2007; and WHEREAS, on August 1, 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 41,366 square feet of leased area, resulting in an annual rental amount of$15,181.32 (41,366 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 LANE HANGAR CONDOMINIUM OWNERS ASSOCIATION 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 = 0.116 or 11.6%). 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$15,181.32 (41,366 x 0.367 = 15,181.32) for the 41,366 square feet identified in Lease Agreement LAG 99- 003. 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$15,181.32. 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 99-003 1 City of Renton to Lane Hangar Condominium Owners Association LAG 99-003 Addendum# 3-07 then in effect for all urban consumers, as published by the US Department of Labor for the Seattle-Tacoma-Bremerton 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. LANE HANGAR CONDOMINIUM CITY OF RENTON OWNERS ASSOCIATION a Municipal Corporation a Washington Corporation r Kathy K olker Mayor _�?rin.c.L �• LUG2.�i�4r" Title Bonnie Walton City Clerk Date Appro ed as to legal form City Attorney Lease Agreement 99-003 2 City of Renton to Lane Hangar Condominium Owners Association