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HomeMy WebLinkAbout2019 LeaseSEBASTLN MUNICIPAL AIRPORT AIRPORT LEASE THIS LEASE. made and entered into this I " day or May, 2019, by and between the CITY OF SEBASTIAN . a municipal corporation existing under the laws of the State of Florida. (hereinafter referred to as the "Landlord"). and Pilot's Paradise, Inc. (hereinafter referred to as 'Tenant'). The Landlord and the Tenant are sometimes collectively referred to herein as the "parties". This document contains nineteen (19) pages, plus Schedule "A". WITNESSETH: WHEREAS, the Landlord is the owner or certain property located in the County of Indian River County, Florida; and WHEREAS . the certain property is being used for the operation or the Sebastian Municipal Airport (hereinafter referred to as the "Airport"); and WHEREAS , the cenain property is also available for use for those activities consistent with or in support of aviation activity: and WHEREAS, the Landlord has agreed to lease such property to the Tenant subject to certain terms and conditions consistent with. or in support of. the current aviation use of such properly: and pa,I s19 WHEREAS the Tenant desires to lease the said property from the Landlord, and to that end and in consideration of the premises, and the covenants, terms and conditions to be performed as set forth hereinafter; and NOW, THEREFORE, in consideration of the mutual covenants hereinafter provided, the receipt and sufficiency of which are hereby acknowledged, the parties have agreed as follows: I. RECITALS. The stated recitals are hereby incorporated by reference In this Lease Agreement. 2. LEASED PREMISES. Subject to the terns and conditions set forth hereinafter, and in accordance with the Principal Guiding Documents for .Scha.slian Municipal Airport /m hrcludefiaure amendments, changes, and deletion.), the Landlord hereby leases to the Tenant and the Tenant hereby rents from the Landlord that portion of the real property of the Landlord which is described more particularly on Schedule "A" affixed hereto and made a part hereof by reference (hereafter referred to as the "leased premises A"). In the event that any portion of the Leased Premises "A" is needed for actual improvements to the Airport, any portion thereof rendered unusable to Tenant shall be released from this lease and the rental payments adjusted accordingly, Pending approval of the underlying lease by the City Council of the City Of Sebastian, it is understood that Tenant shall have access to the leased premises on May 1,2019for the purposes of configuration and 'move -iii functions. It is understood that Tenant's start date for rent payments on the leased premises is May 1. 2019. Tenant agrees to 'hold harmless' the City Of Sebastian for anylall claims, liability, and damage.,, resulting from activities by Tenant. 3. TERM OP LEASE. The term of this Lease shalt be for a period of FIVE (5) years commencing May 1. 2019, and will end on the fifth (5th) anniversary of such dale. The Tenant shall have the option to automatically extend the lease for a period of THREE (3) years with agreement by the City of Sebastian that Tenant is in compliance with all Conditions, Covenants, and Restrictions as contained in this Lease. Notice of intent to exercise said option by Tenam must be received by Landlord, in writing, no later than six (nl months prior to the expiration of the underlying lease. As Pace 2of 19 stated in paragraph 2, Tenant shall have authorization to move into the leased space on May 1,2019. 4. RUNT. The parties agree that the react, payable by the Tenant, during dne terns of this Lease shall be as follows: (a) For the leased premises 'A": approximately 2000 sq ft (n SI0.63 per Square foot per year. Total: S21,260.00 per year payable in quarterly installments on May Ist, Aug. Ist, Nov. Ist and Feb. Ist of every year the Lease shall be in effect. The parties recognize that the purchasing power of the United States dollar is evidenced by the United States Department of Labor, Bureau of Labor Statistics, Index of Consumer Prices. In January, 2020, the Landlord will compare the most recent price index with the base price index for 2019, and the yearly rent amount shall be adjusted based upon changes in the price index, if appropriate, on May 1 2020. Another such adjustment shall be undertaken for May I, 2021, and every year thereafter until the expiration date of the lease, including the option period if applicable. In no event, however, shall the yearly rent decrease below the stun of 321,260:00. (b) Time of the essence. The Tenant agrees promptly to perforin, comply with and abide by this Lease, and agrees that timely payment is of the eery nature and essence hereof. In the event that any rental payment due hereunder shalt not be paid within five days of when due, Tenant shall pay Landlord a late payment fee of 5'7 of the amount ,of such late Rental Payment. This charge shall be considered additional rent and not interest. (c) Default in rent. If any of said stuns of money herein, required to be paid by the Tenant to the Landlord, shall remain unpaid ten (10) days after written demand by Landlord, then the Landlord shall have the options and privileges as follows: Pap .iof 19 (1) Total acceleration. To accelerate the maturity of the rent installments for the balance of the Berm. This option shall be exercised by an instrument in writing signed by the Landlord. or its agent(s), and transmitted to the Tenant notifying him of the intention of the Landlord to declare all un -matured rent installments presently due and payable. (2) Partial acceleration. In lieu ofthe option in sub -paragraph (1) above, the Landlord may. in like manner, declare as presently due and payable the unpaid rent installments for such a period of years as may be fixed in the Landlord's said notice to the Tenant. The exercise of this option shall not be construed as a splitting of a cause of action, nor shall it after or of -feet the obligations of the Tenant to pay rent under the temps of this Lease for the period unaffected by said notice. (3) Other remedies. In addition to the option herein granted above the Landlord may exercise any and all other options available to it hereunder or under law, which options may be exercised concurrently or separately with the exercise of the above options. (d) Default In provisions. If the Tenant shall default in the performance of any other tern of this Lease (except the payment of rent), the Landlord or its agent or employee, shall send to the Tenant a written notice of default, specifying the nature of the default. and the Tenant shall, within thirty (30) days after the date of said notice, cure and remedy said default, whereupon this Lease shall continue as before. If the Tenant shall fail to cure and remedy such default within said time, the Landlord shall have the right to declare, by written notice to the Tenant, that the Lease is in default. and to use all remedies available to the Landlord hereunder or under law including, but not limited to those remedies, procedures and rights specified in the other paragraphs of this Lease. Notwithstanding the above provisions. Tenant shall have one (I ) tificen (1 i) day period per year to Pave Jof 19 cure any payment defaults after Tenant has received non-payment notice from Landlord. (e) In addition to the rental amount, the Tenant shall pay Florida sales tax. if stiff icable. (f) The above rental For the leased premises shall be payable in advance, in quarterly installments, commencing on Mayl, 2019, Rental payments for leased premises as described in Section 3 will then be due on a like day of every quarter (Mayl", Aug.I st, No%. Ist, and Feb.I sit) thereafter during the term of this Lease. i. IMPROVEMENTS TO THE PREMISES. The Landlord acknowledges that the Tenant is leasing the premises for the primary purpose of the operation of Tenant's manufacturing business. In order to utilize the leased premises for this purpose. it may be necessary to use improvements previously constructed upon the leased premises. Tenant acknowledges that these improvements are owned by Landlord. (a) The Tenant shall have the right to use the leased premises for any lawful purpose described in Section 6 hereof, and shall have the right to construct improvements upon the leased premises, provided any such improvements do not in any way curtail the use of the airport facilities in their usual operations and provided further that any such improvements are approved, in writing, by the City of Sebastian prior to commencement of anv construction. The Tenant covenants and agrees that all such construction shall be in accordance with the local and State codes. regulations and requirements as well as in accordance with all requirements of the Federal Aviation Administration (FAA) and the Florida Department of Transportation (FDOT). The Landlord agrees that any approval for said improvements will not be unreasonably withheld by the City of Sebastian. Upon termination, the Landlord may in its sole discretion, require such improvements to be removed and the facility restored to its original condition at the Tenants' sole expense. Page:or In (b) The Tenant shall indemnify, defend and hold the Landlord harmless from any claims losses, damages or liens arising out of the construction of any such improvements. (c) All improvements and fixtures of every kind now or hereafter erected or placed on the leased premises excluding Tenant's trade fixtures that can be removed without damage to the premises, shall, at the end of the term or earlier termination of this Lease, for any reason, he and become the property of the Landlord and shall be left in good condition and repair, ordinary wear and damage by the elements excepted. In order to confirm sole ownership in the Landlord, the Tenant shall. at Landlord's request. execute any and all documents of transfer which Landlord deems necessary to perfect tide to said improvements. The Tenant agrees that all improvements shall, upon the termination of this Lease for any reason, be free and clear of all encumbrances, hens, and title defects of any kind. A fixture shall be defined as an article which was a chattel. but which, by being physically annexed or affixed to the realty by the Tenant and incapable of being removed without structural or functional damage to the realty, becomes a pan and parcel of it. Non -fixture personally owned by the Tenant at the expiration of the term or earlier termination of this Lease, for any reason, shall continue to be owned by Tenant and. at its option may remove all such personally, provided the Tenant is not then in default of any covenant or condition of this Lease otherwise all such property shall remain on the leased premises until the damages suffered by the Landlord from any such default pace been ascertained and compensated. Any damage to the leased premises caused by the removal by Tenant of any such personally shall be repaired by Tenant forthwith at Tenant's expense. 6. USE OF LEASED PREMISES. The Tenant agrees that no use of the leased premises will be conducted in such a manner as to constitute a nuisance or a hazard and that, in connection with the use of the leased premises, the 'Tenant will Paye Gof 19 observe and comply with ail applicable laws. ordinances, orders and regulations prescribed by lawful authorities havingjurisdiction over the leased premises, Tenant will abide by the Principal Guiding Documents Jnr Sebastian A-Ltnicipal .Airport flu include future amembnenN. changes. and deletions). Tenant agrees that the leased premises shall be used by the Tenant for the purpose of the Flight Base Operations and any reasonably related business. No other use may be conducted by the Tenant without the express written consent of the Landlord. Such consent may be withheld by the Landlord for any reason. All aeronautical businesses and activities must be certified and licensed by appropriate agencies, including the FAA, in the appropriate categories of thein specific operation. 7. REPAIRS AND ALTERATIONS. The Landlord shall not be obligated to maintain or repair the interior of the leased premises or any improvements located therein or any part thereof during the lease terns or any renewal thereof. The Tenant agrees, at its sole cost and expense, to maintain the entire interior of the leased premises. The Tenant shall keep the leased premises in a good state of maintenance and repair and keep the leased premises in a clean. neat and orderly condition in accordance with local ordinances. including but not limited to, the Sebastian Land Development Code and any other convnunity standards or ordinances. It is an express condition of this Lease that the leased premises are kept in an attractive manner at all times. Upon obtaining the prior written consent of the Landlord, which consent may be withheld for any reason, the Tenam, at its sole cost and expense, may erect such additional improvements on the leased premises as it deems appropriate and may make such alterations or major renovations to the existing improvements as it deems appropriate, provided, however, that such alterations or renovations shall not disturb the structural integrity of such existing improvements, and provided that the alterations or renovations shall comply with all applicable governmental regulations. The Tenant shall indemnify, defend and hold the Landlord harmless from any claims, losses, damages or liens arising out of or in any way connected with such additions or renovations. 8. UTILITIES. The Tenant shall be responsible for all costs of electricity, lights, water, sewer, heat phone, TV. intemet, or any other utility or service consumed in P. -"c 7nf 19 collection with the leased premises. Relating to leased premises 'A', utility charges shall be assessed to Tenant by Landlord on a prorated basis according to the Tenant square foot usage. It is understood that the Landlord shall have no liability for the failure to procure, or the interruption of, any such services or utilities. 9. SIGNS. The Tenant shall have the right to erect and maintain such sign or signs on the premises as may be permitted by applicable law; provided, however the Landlord must approve any such signs in writing prior to erection. The Landlord may impose any reasonable restrictions as, in the sole discretion of the Landlord, are deemed necessary. 10. TAXES. The Tenant shall pay during the Lease to= all ad valorem taxes, assessments or any other governmental charge levied or assessed against the leased premises (including the Tenants leasehold by the appropriate governmental authorities), together with all ad valorem taxes assessment or other governmental charge levied against any stock or merchandise, furniture, furnishings. equipment and other property located in, or upon the leased premises. All shall be paid by the Tenant on a timely basis and receipts therefore shall be provided to the Landlord upon request. 11. LIABILITY INSURANCE. The Tenant shall provide and keep in force, at its own expense, during the term of this Lease, comprehensive public liability insurance coverage with respect to the contents of the leased premises. Landlord shall insure the buildings occupied by Tenant. The insurance coverage to be maintained by the Tenant shall contain limits of'. (a) Bodily Injury and Property Damage - $1,000,000 Combined Single Limits (b) Products and Completed Operations Liability (if applicable) - $1 000,000 Combined Single Limit. (c) Aircraft Liability - $1.000 000 Bodily Injury. and Property Damage Combined Single Limit. (d) Insurance in the full replacement value of all Personal Property, Equipment. and Trade Mixtures on the Leased Premises. (e) Ground and Hangar Keeper's Liability (if applicable) - adequate coverage for any single aircraft in storage or care and a limit covering the total value of those aircraft but not less than ,$100,000 for damage to any one (1) aircraft and $500,000 per each occurrence. (t) Chemical Liability Insurance (if applicable) - minimum of $400.000 Combined Single Limit. N, 8nl'Ia (g) For aircraft Fueling Operations (if applicable)- a Comprehensive Aircraft Liabilitypolicy indicating that the coverage includes owner's fueling/defueling operations with fueling equipment owned and'or operated by the Tenant. the minimum shall be $1 ,000,000 Combined Single Limit for Bodily Injury and Property Damage. (h) Automobile Liability Insurance: (U Each service provider operating one or more motor vehicles on the City's premises in the performance of their work shall purchase and maintain Automobile Liability Insurance with policy limits of not less than 5300.000 Combined Single Lintit. (2) Service Providers having unescorted access to the AOA at the Sebastian Municipal Airport shall purchase and maintain Automobile Liability Insurance with policy limits of not less than S 1,000,000 Combined Single Limit. (a) Builders Risk (if applicable) during any construction on a leased site, the service provider shall famish Builder's Risk Insurance insuring the contract price, with the City listed as the named insured Any deductibles under the builder's risk policy shall be the responsibility of the service provider. (b) Workers' Compensation I nsurmtce: as required by Florida Statutes. Tenant agrees that, should there be an expansion of the use or occupancy beyond the primary use set forth herein. Landlord may alter the minimum amounts slated in the preceding section during the term of this Lease by addendum or change in the Principal Guiding Documenis Jin, 5'ehastian Municipal Airport (m include Jlaure amendments, changes, and deletions). Landlord will give written notice of any such change to Tenant, and such changes will take effect immediately. Any policy or policies of insurance required pursuant to this Lease shall be issued by one or more insurance companies authorized to engage in business in the State of Florida. The Tenuu shall supply the Landlord with a certificate of such insurance with evidence of the payment of the. premium thereon. All policies described in this pa agrapli/section shall contain a clause preventing cancellation of any coverage before thirty (30) days written notice to the Landlord and shall name the Landlord as an additional insured. Upon the request of the Landlord, the Tenant shall provide copies of said policies to the Landlord. 12 PROPERTY, FIRE AND EXTENDED COVERAGE INSURANCE. The Tenant shall, at its sole cost and expense, procure and keep in effect such standard policies of property casualty, fire and extended coverage insurance as the Landlord deems necessury and appropriate and in accordance with. the provisions in Section 11. Upon Poe" 9 on 9 request, the Tenant shall provide to the Landlord a certificate of such insurance with evidence of the payment of the premium. The Landlord shall have no obligation to keep the leased premises contents insured nor shall the Landlord have any obligation to insure any personal property used in connection with the leased premises. Any policy or policies of insurance required pursuant to this Lease shall be issued by one or more insurance companies authorized to engage in business in the State of Florida. All policies described in this Paragraph shall contain a clause preventing cancellation of any coverage before thirty (30) days written notice to the Landlord and shall name the Landlord as an additional insured. Upon the request of the Landlord, the Tenant shall provide copies of said policies to the Landlord. In the event that the Tenant's use and occupancy of the premises causes any increase in the premium for any property casualty or fire insurance maintained by Landlord on the Leased Premises or any portion thereof, Tenant shall reimburse Landlord for the amount of said increase within thirty days of notice of the same. 13. DAMAGE OR DESTRUCTION OF IMPROVEMENTS BY FIRE OR OTHER CASUALTY. In the event the leased premises are destroyed or damaged by fire or other casualty, the Tenant, at its option, agrees that it will cause said premises and/or other improvements to be replaced or said damage to be repaired as rapidly as practicable. The Landlord may abate the Tenant's rent 1'or the period of time more than 3091, of the leased premises, if any, is unusable. In the event the Tenant elects to repair an&or replace the leased premises, the Landlord shall have no claims against any insurance proceeds paid to the Tenant on account of such damage and/or destruction nor shall the Landlord have any responsibility or obligation to make any expenditures toward the repair and/or replacement of the building and other improvements on the leased premises. (a) If the Tenant. under its option, elects not to repair the leased premises the Landlord shall have two options: (1) To continue to Lease; if the Landlord elects to continue the Lease. the Landlord shall be entitled to any of the insurance proceeds on account of such damage and/or destruction. such proceeds to be the sole property of the Landlord; or Page 10 ufn9 (2) To cancel the Lease; if the Landlord elects to cancel the Lease, the Landlord shall be entitled to that portion of the insurance proceeds paid as a result of such damage and/or destruction to the building and other improvements on the leased premises, the Tenant shall be entitled to the remainder, if anv, of the insurance proceeds. (b) In the event the Tenant under its option elects not to repair andr'or replace the leased premises, the Tenant shall, at its sole expense, remove all remaining portions of the leased premises. 14. INDEMNIFICATION. The Tenant agrees hereby to defend, indemnity, and save the Landlord harmless from any and all actions, demands. liabilities, claims losses or litigation elision out of or connected with the Tenant's occumancv or use of the leased premises and the use of the leased premises by tenant's agents employees, and invitees, including all attorney'sfees incurred by the Landlord in defending any such claims. This Paragraph shall survive the termination or cancellation of the Lease. Nothing contained herein constitutes a waiver of the City's Sovereign Immunity per Florida Statute 768.28. 15. ENVIRONMENTAL MATTERS. The Tenant hereby agrees to indemnify, defend and hold the Landlord harmless from and against any and all claims, lawsuits losses, liabilities, damages, and expenses lincluding, without limitation. clean- up costs and reasonable attorney's fees) resulting directly or indirectly from. out of or by reason of anv hazardous or toxic materials substances, pollutants, contaminants, petroleum products, hydrocarbons or wastes being located on the property and being caused by the Tenant, sub -Tenants, agents, assigns, or users of leased premises or fuel fart. The presence of said substance or materials on the leased premises, or fuel fano, shall raise the presumption that Tenant is the cause of such presence. Section 15 shall survive the termination, or cancellation, of the Lease. 16. PREVENTION OF USE OF THE PREMISES. If after the effective date of this Lease, the Tenant is materially precluded or prevented from using the leased premises for those primary purposes identified in Section 6 of this Lease, by reason of any zoning law, ordinance or regulation of any authority having jurisdiction over the leased Pagel1 of 19 premises including the Principal Guiding Documents referenced in Paragraph 2 and such prohibition shall continue for a period in excess of thirty (30) consecutive days the Landlord shall allow the Tenant to terminate this Lease. Tenant shall provide Landlord with a shiny (3O) day Notice of its intent to so terminate with specific grounds on which Tenant asserts it has the right to terminate. Any Tenant prepaid rents shall be abated to the Tenant. 17. AIRPORT USE FEES. Landing, tie down. or any other type of use of airport fees being charged by Tenant are specifically prohibited by this Agreement as the use of the Airport is for the general public . Nothing in this Lease shall act to prohibit the Landlord from charging such fees as it deems necessary or desirous. 18. GOVERNMENT SEIZURE. In the event the United States Government, or any agency or subdivision thereof, at any time during the term of this Lease takes over the operation or use of the airfield and/or Airport which results in the Tenant being unable to operate under the terms of the Lease, then the Lease may be extended upon mutual agreement of the Tenant and the Landlord for an additional period equal to the time the Tenant has been deprived of the value of this Lease. If the duration of the seizure exceeds ninety (90) consecutive days, the Landlord, at the Landlord's sole discretion, may terminate this Lease. Any Tenant prepaid rents shall be abated to the Tenant. 19. EMINENT DOMAIN, If all or any pan of the leased premises shall be taken under a power of eminent domain, the compensation or proceeds awarded for the taking of the leased premises shall belong to the Landlord. If the taking is to such an extent that it is impracticable for the Tenant to continue the operation of its business on the leased premises the Lease, at the option of the Landlord, may be terminated. Nothing herein shall prevent the Landlord and/or the Tenant from seeking any and all damages sustained from the condemning authority by reason of the exercise of the power of eminent domain. 20. DEFAULT BY TENANT. As used in this Lease, the tern "event of default", shall mean any otlhe following: (a) The failure of the Tennnt to fulfill any duty or obligation imposed on the Tenant by the Lease post expiration of the applicable period to cure; page 12 of 19 (b) The appointment of a recei vcr or the entry of an order declaring the Tenant bankrupt or the assignment by the Tenant for the benefit of creditors or the participation by the Tenant in any other insolvency proceeding; (c) The Tenant's failure to pay any consideration, to the Landlord, required by thi s Lease; (d) The taking of the leasehold interest of the Tenant hereunder pursuant to an execution on a judo nenq (e) The Tenants abandonment of any substantial portion of the leased premises. "Abandonment' shall bedetemunedby the Landlord; (1) The Tenant or any guarantor of Tenant's obligations hereunder, filings petition for bankruptcy or being adjudged bankrupt. insolvent, under any applicable federal or state bankruptcy or insolvency law. or admit that it cannot meet its financial obligations as they become due, or a receiver or trustee shall be appointed for all or substantially all of the assets of Tenant or anyTenants obligations hereunder; (g) The Tenant or any guarantor of the Tenant's obligations hereunder shall make a transfer in fraud of creditors or shall make an assigmttent for the benefit of creditors: (h) The Tenant shall do or permit to be done any act which results in a lien being filed against the leased premises or the property which is not released of record within thirty (30) days of the date it is initially recorded in the Public Records of Indian River County. Each party covenants and agrees that it has no power to incur any indebtedness giving a right to a lien of any kind or character upon the right, title and interest of the other party in and to the property covered by this Lease, and that no third person shall ever be entitled to any lien, directly or indirectly, derived through or under the other party, or its agents or servants, or on account orally act of omission of said other party. All persons contracting with the Tenant or furnishing materials or labor to said Tenant, or to its agents or servants, as Page I3ofig well as all persons whomsoever. shall be bound by this provision of this Lease. Should any such lien be filed, the Tenant shall discharge the same by payment or by filing a bond, or otherwise, as permitted by law. The Tenant shall not be deemed to be the agent of the Landlord so as to confer upon a laborer bestowing labor upon the leased premises, a mechanic's lien upon the Landlord's estate under the provisions of the Florida Statutes, or any subsequent revisions thereof; (i) The liquidation, termination, death ordissolution of the Tenant; G) The Tenant fails for more than one hundred twenty (120) consecutive days to continuously conduct and carry on in good faith the type or business for which the leased prennses are leased; (k) The Tenant shall be in default of any other tern, provision or covenant of this Lease, other than those specified in subparts a through I above. Upon the happening of any "event of default", the Landlord may at its option. terminate this Lease a,td expel the Tenant therefrom without oreiudice to any other remedy; provided, however, that before the exercise of such option for failure to pay rent or failure to perfotnn any condition imposed herein upon the Tenant, the Landlord shall give written notice of such event of default to the Tenant, which thereafter shall have thirty (30) days, from the date notice is sent by the Landlord within which to remedy or correct such default, unless such default is the failure to pay rent, in which case the Tenant shall have ten (10) days, from the date notice is sent by the Landlord, within which to remedy such default by paying all rent due. '_l. IDENTITY OF INTEREST. The execution of this Lease or the performance of any act pursuant to the provisions hereof shall not be deemed or construed to have the effect of creating between the Landlord and the Tenant the relationship of principal and agent or of a partnership or of a joint venture and the relationship between them shall be and remain only that of landlord and tenant. 22. NOTICES AND REPORTS. Any notice, report, statement, approval, consent designation, demand or request to be given and any option or election to be exercised by a party under the provisions of this Lease shall be effective only when made Pug, 1 J o1 1 q in writing and delivered (or mailed by registered or certified mail with postage prepaid) to the other party at the address given below: Landlord: City of Sebastian Attn: City Manager 1225 Main Street Sebastian, FL 3'_95,9 Tenant: Pilot's Paradise, Inc. Stephen Fisher 300 Airport Drive West Sebastian, FL 32958 Copy: provided . however. that either patty may designate a different representative or address from time to time by giving to the other party notice In writing of the change Rental payments to the Landlord shall be made by the Tenant at an address to be Furnished to the Tenant. 23. RIGHT TO INSPECT. The Landlord may enter the leased premises upon reasonable notice: (a) To inspect or protect the leased premises or any improvement to a property location thereon: (b) To determine whether the Tenant is complying with the applicable laws. orders or regulations of any lawful authority having jurisdiction over the leased premises or any business conducted therein. or (c) To exhibit the leased premises to any prospective purchaser or tenant during the final sixty (60) days of the lease temt. or at any time after either party has notified the other that the Lease will be temtin ued for any reason. No authorized entry by the Landlord shall constitute an eviction of the Tenant or a deprivation or its rights or alter the obligation of the Landlord or create any right in the Landlord adverse to the interest of the Tenant hereunder. pa, 15et 10 24. OWNERSHIP OF TRADE FIXTURES, SIGNS AND PERSONAL PROPERTY. At the expiration of the Lease, any and all trade fixtures sums and personal property. used by the Tenant In the operation of its business, on the leased premises shall remain the Tenant's sole property and the Tenant shall have the right to remove the same provided any damages in removal are repaired by the Tenant at Tenant's sole cost. In case of breach of this Lease by the Tenant, or the temtination of the Lease or any extension hereunder, that may be granted, the Tenant agrees to immediately surrender possession of said facilities, and all the buildings, edifices, etc. that are constructed by or on behalf of Tenant. The facilities, buildings, edifices.. etc. shall then become the property of the Landlord. 25. HEIGHT/HAZARD RESTRICTIONS. The Tenant expressly agrees for itself, its successors and assi_ms, to restrict the height of structures, objects of natural growth and other obstructions on Elie leased premises to such a height so as to comply with all Federal Aviation Regulations, State Jaws and local ordinances, rules and regulations now existing and hereinafter promulgated. The Tenant expressly agrees for itself its successors and assigns, to prevent any use of the leased premises which would interfere with or adversely affect the operation or maintenance of the Airport or otherwise constitute an airport hazard. The Tenant covenants and acknowledges that the use of the leased premises as proposed by the Tenant docs not interfere with or adversely affect the operation or maintenance of the Airport or otherwise constitute an Airport hazard. The Landlord reserves unto itself, its successors and assigns, for the use and benefit of the public, a right of flight for the passage of aircraft in tine airspace above the surface of the leased premises together with tine right to cause in such airspace such noise as may be inherent in the operation of aircraft. noa known or hereafter used, for navigation or flight in the airspace, and for use of said airspace for landing on, taking off from. or operating on the Airport. 26. NONDISCRIMINATION. The Tenant for itself, its personal representatives, successors in interest and assigns, as part of the consideration hereof, does hereby covenant and agree as a covenant running with the land that (i) no person on the grounds of religion, gender. marital scows, race, color, age, or national origin shall be Page 16uf N excluded from participation in, denied the benefits of or be otherwise subject to discrimination In the use of the Tenant's facilities; (ii) that in the construction of any improvements on, over or under the leased premises and the furnishing of' services thereon, no person on the grounds of religion, gender marital status. race, color. awe, or national origin shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination; 1 iii) that the Tenant shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department ofTransportation. Subtitle A, Officeof the Secretary, Part 21, Nondiscrimination in Federally Assisted Programs of the Department of Transportation -Effectuation ofTitle V I ofthe Civil RightsAct of 1964. In the event of the breach of any of the above non- discrimination covenants, the Landlord shall promptly notify the Tenant, in writing. of such breach and the Tenant shall immediately commence corrective action. Such action by the Tenant shall be diligently pursued to its conclusion, and if the Tenant shall then fail to commence or diligently pursue action to cure said breach, the Landlord shall then have the right to terminate this Lease and to re-enter and repossess said land and improvements thereon. 27. ENTIRE AGREEMENT. This Lease contains all of the understandings by and between the parties hereto relative to the leasing of the premises herein described, and all prior or contemporaneous agreements relative thereto Race been merged herein or are %aided by this instrument which may be amended, modified, altered changed revoked or rescinded in whole or in pan only by an instrument in writing signed by each of the panics hereto. 23. ASSIGNMENT AND SUBLETTING. The Tenant shall not assign this Lease or sublet the leased premises or any portion thereof, or otherwise transfer any right or interest hereunder without the prior written consent of the Landlord, which shall not be unreasonably withheld. If the Landlord consents, in writing. to the assignment, subletting or other transfer of any right or interest hereunder by the Tenant, such approval shall be limited to the particular instance specified in the written consent and the Tenant shall not be relieved of any duty, obligation or liability under the provisions of its Lease. Pa, 17 of 19 29. BINDING EFFECT. The terms and provisions of this Lease shall be binding on the parties hereto and their respective heirs, successors, assigns and personal representatives, and thetemts ofany Addendum attached hereto areincorporated herein. 30. APPLICABLE LAW/VENUE. In the event of litigation arising out of this writing, venue shall be in Indian River County, Florida and the terms of this Lease shall be construed and enforced according to the laws of the Statc of Florida except to the extent provided by Federal law. 31. ATTORNEYS FEES. In any action arising out of the enforcement of this writing, the prevailing party shall be entitled to an award of reasonable attorney fees and costs, both at trial and all appellate levels, based upon the prevailing rates of private attorneys in Indian River County, Florida. 32. RECORDING. In no event shall the Lease or a copy thereof be recorded in the Public Records of Indian River County, Florida. 33. MISCELLANEOUS. All delinquent payments to the Landlord shall bear interest at the rate of 5% per year from date the payments are due to the date of payment. Said interest shall be calculated on a daily basis and shall be due and payable when billed. The Tenant acknowledges that the Landlord is required by law to operate under an Airpon Master Plan and the Tenant covenants that he will use the leased premises consistent with the Airport Master Plan. The Tenant shall not allow its occupancy or use of the lease premises to constitute or become a public orprivate nuisance. 34. CONTINGENCIES. The provisions in this lease are contingent on the Landlord providing the installation of Hi -Speed Internet to service the airport administration building. IN WITNESS WHEREOF. the parties hereto have set their hands anti seals the day and year first above written. Cage IH of to ATTEST: CITY OF SEBASTIAN A Municipal Corporation — c= -B bjjb�By. J vette Williams, City Clerk, MMC I E. Ca lisle, Crry AIIproced as to Form and Legality for Reliance _ - $ytbe City of Sebastian only: — James too e�omey Pilot's Paradise, Inc. Corporate Seal: By Steph fisher N" 11).( 11) Schedule "A" Lease Agreement between the City of Sebastian and Pilot's Paradise 1. Leased premises shall include awing' at the Sebastian Municipal Airport Administration Building currently known as the "Engineering Wing". This space is approximately 2000 Square feet, more or less. 2. Utility charges shall be prorated according to square foot usage. 3. Common Area Maintenance (CAM) shall beat no charge to the Tenant. 4. Lobby/reception area shall be considered a common/shared space with other building tenants. 5. Tenant shall have use of conference facilities in the "Emergency Operations Center" (EOC) Wing of the Airport Administration Building with appropriate notice to the Landlord. PILOT'S PARADISE (Schedule "A") A Y� J. jl� t ` •� rr J] S GI $ T N FLOOR PLAN 4