HomeMy WebLinkAboutAdden 9LAG 011-85 Adden #9-14
Amendment 9-14
ADDENDUM TO LEASE AGREEMENT
(City of Renton to Kaynan, Inc.)
THIS ADDENDUM to Lease Agreement LAG 011-85 is effective as of June 1, 2014.
RECITALS:
WHEREAS, Kaynan, Inc. has a Lease Agreement with the City of Renton, LAG 011-
85, executed on July 1, 1985; and
WHEREAS, Kaynan Inc. leases approximately 27,085 square feet of ground space,
and a City -owned building, referred to as #5-01, situated on the ground lease space;
and
WHEREAS, on June 1, 2011, the land rental rate for the approximately 27,085
square feet of land area leased by Kaynan, Inc. was determined to be $0.62 per square
foot per year and continuing until June 1, 2014; and
WHEREAS, on April 1, 2014, the Airport contracted with Valbridge Property
Advisors to conduct an independent market appraisal of all Airport ground leased areas
to determine the fair market value (hereinafter "market appraisal'). The market
appraisal determined the fair market ground lease rate to be $0.75 per square foot per
year for all ground leases on the Airport; and
WHEREAS, pursuant to LAG 011-85, Addendum 7-08 paragraph 5, in a letter
dated April 4, 2014, Lessee was notified by certified letter that the lease rate would be
readjusted using a means other than the Consumer Price Index -Urban; and
WHEREAS, on June 1, 2014, and for the ensuing three (3) year period, the land
rental rate was adjusted, using the market appraisal, to a rate of $0.75 per square foot
per year for the 27,085 square feet of leased area, resulting in an annual rental amount
of $20,313.75 (27,085 x $0.75), and continuing until August 31, 2016.
NOW, THEREFORE, IT IS HEREBY AGREED AND COVENANTED BY AND BETWEEN THE
CITY OF RENTON AND KAYNAN, INC. AS FOLLOWS:
ORIGINAL
Lease Agreement LAG 011-85
City of Renton to Kaynan, Inc.
LAG 011-85
Amendment 9-14
WITNESSETH:
1. The Lessor and Lessee do hereby agree to amend section 2 of LAG 011-85 to provide
an annual land rent of $20,313.75 (27,085 x $0.75), for the 27,085 square feet
identified in lease LAG 011-85 through August 31, 2016.
2. All other terms and conditions of the original Lease Agreement and Addenda
thereto, insofar as they are not inconsistent herewith, shall remain in full force and
effect.
KAYNAN, INC. CITY OF RENTON
a Washington Corporation a Municipal Corporation
Denis Law
Mavor
Title Jasfn A. Seth
Acting City Clerk
7/2, /164
Date
Approv s to legal form
Sj�Zli
City Attorney
Lease Agreement LAG 0 11-8 5
City of Renton to Kaynan, Inc.