HomeMy WebLinkAboutAddendum to Lease 03.2020KITTITAS COUNTY AIRPORT
DEPARTMENT OF PUBLIC WORKS
ADDENDUM TO LEASE
THIS ADDENDUM TO LEASE is made and dated this y ofl O n./12020
by and between Kittitas County,a municipal corporation in the State of Washington,
hereinafter referred to as the LESSOR,and Department of Natural Resources,
hereinafter referred to as the LESSEE.
WITNESSETH:
WHEREAS,LESSOR and LESSEE entered into a Lease on May 11,1997,a copy of
which is attached hereto and by this reference incorporated herein;and
WHEREAS,according to Paragraph 2 "Rent",it states "DNR herewith agrees that the
rentals for every five-year period after the initial five-year period of the term of this lease
may be readjusted by the Board of County Commissioners not to exceed the fair rental
value of such lease premises not including any improvements made by lessee:
provided,that in no event shall such rental adjustment be greater than 40%of the rental
for the previous five-year period;and
WHEREAS,from 7/01/2019 thru 6/30/2024 the increase will be $0.042 per square foot per
the negotiated amount between the Lessor and Lessee for the lease of 8.12 acres
(353,707.20 sq.ft );and
WHEREAS,from 7/01/2019 thru 6/30/2024 the increase will be $0.14 per square foot per
the negotiated amount between the Lessor and Lessee for the lease of the 5.02 acres
(218,671.20 sq.ft.).
ADDENDUM TO LEASE -DNR PAGE 1
KITTITAS COUNTY AIRPORT
NOW,THEREFORE,IT IS HEREBY AGREED by and between the parties to a change in
rental rates and contract terms as follows:
"Paragraph #2 -Rent"-Rental Rates for 7/01/19 thru 6/30/24 Term.
Terms and Rental Rates -8.12 acres (353,707.20 sq.ft.)
7/01/19-6/30/24 Rental Rate ($.042 Leasehold Tax Total Per YearTermperSq.Ft)
7/01/19 -6/30/20 m _E_xempl M7/01/20 -6/30/21 m E>;emg m7/01/21 -6/30/22 $14,855.70 Exempt $14,855.707/01/22-6/30/23 m Exempt $14,855.70
7/01/23 -6/30/24 m M M7/01/24 Renegotiate Ren_eegotiate
Terms and Rental Rates -5.02 acres (218,671.20 sq.ft.)
7/01/19-6/30/24 Rental Rate ($.14 Leasehold Tax Total Per YearTermperSq.Ft)
7/01/19 -6/30/20 m _Exemg M7/01/20 -6/30/21 m M g7/01/21 -6/30/22 $30,613.97 Exempt M7/01/22-6/30/23 m M M7/01/23 -6/30/24 m M gQ1/L Renegotiate Reneggttate
A.July 1,2019 through June 30,2024.
LESSEE promises and agrees to pay rent to LESSOR at the rate of ($0.14 persquarefoot)per year for the leased premises,made on or before the 10th day of
each month in which such payment is due.This is the "then current rate"persquarefootofleasedpropertyusedfor"aeronautical purposes"and "non-aeronautical purposes"as set by Bowers Field.Payments shall be made toKittitasCountyDepartmentofPublicWorks.Any rental payment past due shallaccrueadelinquencychargeofeighteenpercent(18%)per annum,leviedmonthly.
B.For that area only used for storage,manufacturing,warehousing and/orotherbusinessusesassociatedwithRegionalStateLandManagement
and Wildland Fire Related Services,LESSEE promises and agrees to pay
ADDENDUM TO LEASE -ONR PAGE 2
KlTTITAS COUNTY AIRPORT
rent to LESSOR at the rate of ($0.14 per square foot)per year for the
leased premises,made on or before the 10th day of each month in which
such payment is due.The rate for this square footage shall be in lieu of
the rate established in Paragraph A above,and is not additive for that
square footage that is used.
ADJUSTMENTOF RENTAL:
Effective July 1,2020,the annual lease payment shall be minimally
increased by one and one-half percent (1.5%)as a set lease rate
increase.The lease rate shall increase by 1.5%each year of this leaseamendmentandcomparedagainsttheConsumerPriceIndexasfollows:
Effective January 1,2024,the United States Bureau of Labor StatisticsConsumerPriceIndex(CPI),Seattle-EverettMetropolitan Area,All UrbanConsumers-Base Year 1984 average shall be computed for the years
2019 through 2023.
If the CPI average is higher for the previous five (5)years than the 1.5%
per year used the previous five (5)years,the rate increase applicable
January 1,2024,shall be this average CPI increase.This new average
rate increase shall be used for the next five (5)calendar years,i.e.
January 1,2024 through 2028.This methodology shall be usedthroughouttheremainingyearsoftheagreement.
Modifications to the rental rate per square foot of airport property shall be
based on the then current "aviation"(direct aeronautical)or "commercial"
(non-aeronautical)standard rate as set by LESSOR and the specificpropertyareasbeingleased.
i
ADDENDUM TO LEASE -DNR PAGE 3
KITTITAS COUNTY AIRPORT
AII other terms and conditions of the aforementionedlease shall remain the
same.
IN WITNESS WHEREOF,the Lessor and Lessee have signed their names and
affixed their seals the day and year first above written.
LESSOR
BOARD OF COUNTY COMMISSIONERS
Chairm r
Commissioner
LESSEE
Approved as to form:
Prosecuting Attorney Department of Natural Resources -
Representative
WSBA #
ADDENDUMTOLEASE-DNR PAGE4