From
Jan Hill
Title
Ordinance amending the FY 2016/2017 Capital Improvement Projects Budget; New Lease with Uniflight, LLC for Hangar Location 10 North B, Consent to Sublease of Lease Agreement for Hangar Location 10 North B, Repair and Refurbishment Participation Agreement
Presenter
Randy J. Byers, C.M., Airport Director
Recommended Action
Approve
Analysis
Uniflight, LLC currently leases Hangar Location 10 North B. The term of the lease expires January 31, 2018. In an effort to facilitate the design function for their operation, Uniflight, LLC is seeking to renew the lease for a period of five years. In an effort to have most leases expire on the last day of the fiscal year for budget purposes, the airport seeks to extend the lease term eight months to expire on September 30, 2023. In addition to the lease renewal, Uniflight, LLC has requested to sub-lease the facility to their vendor who participates in the design phase of their helicopter refurbishment and make ready processes.
To better accommodate their vendor, Uniflight, LLC wants to refurbish the existing office areas. The existing offices were constructed by a former tenant. The former tenant did not apply for a building permit for the modifications. Uniflight, LLC will apply for a building permit and make all repairs and upgrades in accordance with current City codes. Because these improvements will eliminate code violations and be an upgrade to an existing City facility, Uniflight, LLC has requested reimbursement for fifty percent (50%) of the cost of the rehabilitation, not to exceed $20,000. The engineering estimate of the agreed-upon repairs, not including interior fencing that will be installed to limit access by the sub-tenant to areas that will continue to be used by Uniflight, LLC, is $40,854.
This item was presented to the City Council Development Committee on July 17, 2017 for recommendation and approval.
Financial Consideration
The current lease rate for the hangar ...
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