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Hangar Site Lease/Billmayer�A.`� F; 'A P S!TF L�,'.5E -�� .>||S XGREE\,1ENT. by on� batween Kalispell AirPnr' �ssocia�ion' |:c�' a ��na nonp����r��ion. �cr='na�ter refe � t 'r. � � "^� � " and a munidpa| corporation' hereina­�_ter 'ed � o as �he "City"; \Y|TNESSETH \VHEREA S' the Association oporn�es he Ko|ispe|| City under a iease agreement with the City of Ka|ispel|; z:d ' WHEREAS, the Association cusiros' in ordcr to provide a source of income lor airport meintenonce and to increase the uti|i�a�ion o� said air�ort' co |pase �r-c�s o� !and to various tenants in o/d��- ��e nnay erect scructj_�res th'` storrJe and protection ol zirc n� said anc� 7/H�REAS' the City is |imi��� hy aw to leases for airpor' r­,:rpcses no,, exceeding ZU years' duration;' — NOW THE11EFO�E' IT IS /.CR17_.ED AS FOL�DYyS: |. The A_ssociati'�: �rC; ��'c �ity .b !_er��y ��ree �'' (ease �he trac. ��� iz�d described on Exhibit A heru�� �� Lc.�c�� Hnn�a/ Site i`o� �� ,o ��nanr [or Tenant's exclusive use in t�e han�ar for the stcra�-le'uf one aircraft and for uses incidenta| to s.uc!. cogethur 3n easement efi'octivc during the term of th's lease or _)ccess to and |rom s�id �ong�r si�r on� ,or airplane taxiway to and frnm site and the runvvay. It is acrec-1 '�y the parties that a minimum 6O ,/i|| be maintained of structures. 2. �rchi1ectura| Ccn­o/: o: ns a the c�mm�ncerncn� o� any construction, conp­ic�ns .',J s -_-�e p'o�(�,zed cons|ruction will be submitted tc 'the [or ap����va| -is 'o ucsi�/`' z`a{uria|s and exterior finish' in �rder that harmcny :nny be /�ain'Lained ty the various structures that a�_, d '����� �!�.� xir�or� p'��erry. The assodation may approve, conditionally ��zr�ve. cr '�i.�ct cai� �|ans within 30 days of submission. A failure to take conclusively .o -,-,,can opprovzi. Arejection or the imnc���|on r� r��`����/o�s ���� -re not �cceptab!e ;� the Tcnant shall give the Tenant (he ri�h� Lo i�ase summarily. ]. Ground Re-i,: 'o \--, the City for the :b se and ben*� of the Association the sum ( 7 pc?_ Square Foo{ Dar year for the leased area, vvhirh ;'or T,,ur�csus �rnvisioo shn|| 150� of the act:a! ' square {uota�-e occupi.�d by the ure. Said rao�a| shall be ,oyab|e dcm:�nd on or "e'-ore the d�-,*(e of this !°ace e�-h `''nar. I 7'enant Ioi!s to pay sa'd ground re-,, oier �'��' the �ity or -i�e ��s—cimion shall have the r h� �o �e� �' {h/ �� d T d /� �:�� `u � �z�� ��,/on ays �o�/c� �u ennnl nn to noy , !/enhn|dcr xho has un|:ss said ground rent '!� po/d in [u!| `vi�hin said ,� ���5 nob[� '�ric� 77� -- ^� ' ��'' . ���//�/���� t. Terms: This lease shall e in tali iOrCr �:nd effect snailCj�2f%%y� f 2C�Ci-Z unless sooner- terminated by mutual agreement of the nartics or by one of the parties under the specific provisions hereof. In the event the lease cf the Association terminates prior to the termination date of this lease, this lease shall continue in full force and effect so Iona as Tenant Fully performs the Tenant's obligations hereunder, and the City shall have <:II rights reserved -o the Association herein unless ther Association's lease is extended or renewed. It is expressly agreed by the parties that upon the termination of this lease, unless a lease for a further term be negotiated, Tenant shall have the right to remove the hangar structure, but shall do so ,vithin 120 days and small leave the premises in a restored condition except that paving .%ill be left. Plothing herein small be construed as preventing the parties hereto from negotiating for a modification of the lease at any time with a view to extending the term in consideration of an increased around rent, so long as the remaining term is not greater than twenty years at any, time. 5. Assignment: Tenant shali have the right and privilege of sale, assignment or transfer of this lease for the purposes defined in !ection I . , hereof, upon written notice to the Association and City stating the name and address of the proposed buyer, assignee, or transferee. K Associatio^ or Cit shall determine that said proposed buyer, assignee, or transfer-ce is oboctionable, any such reason bie objection shall be stated in writing to the Tenant within wenty (20) days after said notice. The Association and the City- shall not unrEasonably v,,'ithhold consent to sell, assign, or transfer this lease. After sale or assignment by the Tenant of its interests herein, the Tenant shalls be relieved from liabiiity for rental payments accruing thereon, and' the buyer, assignee, or transferee shall thereafter be liable. Tenant may conditionally assign Its r=.Grits under i4is lease as part of 2 financing arrangement so long as such condkicnai dMIS not purport to be effective beyond the terms of -:he base. 6. Paving Cost Recapture_: Clintpaved Recognizing L t a pad taxiway is necessary for effective utilization of the hannar raid that -ucn a 2,Cot wide taxiway, `,Yell Le utilized by subsequent hangar- piolects, is is agreed ON, upon prescntation documented cost information, Tenant will he zrA ited .; it`; a prorat'd portion Cf taxiway construction costs toward fi.vare rent, . he „ ssocWtion Shall be respons& to recapture such prorcted portion :: Wig nagot onion of sulDsecruc-nt Ic:.=cs but shNi be entitled to offset recaptured funds against ni2 rent crecAl allowed. i. Covenant as to Continued Airport Operation: -lie ;association and the City covenant to continue the operation of Kalispell City Airport as a general aviation airport during the full term of this lease unless such operation becomes legally impermissible as the result of restrict -ion imposed by legal authority other than the City or the Association. In the event that ,he Kalispell City Airport should :>e closed to general aviation operations, the Association and the City grant to Tenant a right of first refusal to purchase the site which is the subject of this (ease together with an easement providing, reasonable ingress and egress therefrom for a price which shall be established by ',le City Council on the basis of an appraisal of the site, but not the improvements, o,,, ac;calif i ;i professional appraiser, provided, however, that in the event it is not practictiltie `or the City of Kalispell to sell the site herein leased, to ,he Tenant, ,c, C;'t' r:, o,�tion,� c t purchase uy CIc,t O improvements placed .upon the site, loss i�;>':k ay , :iprnvument, a., a price established by a qualified professional appraiser. y habdiwy CIc.I;il of any kIrIC or mature ncitsoev'r arising OU' a the crection 01 the structure contemplated herein or '_.`l^ use of said structure by Tenant or enant's invitees or licensees. 9. Utility services: Any utilky services required by Tenants structure or the use and occupation thereof shall tc Obtained by Tenant at Tenant's expense. 10. Maintenance: Tenant agrees that upon completion the structure will be maintained in good condition at all „mes, reasonable %wear and tear excepted, at the expense of Tenant. 11. Taxes: Tenant shall be resr)onsible for all taxes levied upon the structure erected hereunder and any equipment cr property located therein. The land is owned by the City and is exempt from texts, and the City agrees to maintain such tax exempt status. 12. Right to Cancek This lease has been negot5ted upon the representation /.01 that the runway and taxiway wild 5e resur5ced 0th good pavement by July 31, 1984, In the event such work is mot accomplished by such date, Tenant shall have the right to cancel and terminate this lease and ' any obligations arising hereunder �t by written notice to the Association Dnr' 'he City delivered within 60 clays thereafter. IN WITNESS WHEREOF, the parties have executed this Wase as of the day and year first above WrAten. 'A TTES CITY OF KALISPELL ATTEST: City le, < 1 KALISPELL :\iRPC � T SSOC: ,T,.,,', .,� . Bye Peesident ram, •,� � - Tenant \red!! Unpaid Engineering Service: Con3truction of hirpov! inprovemonQ Annual Lon, qi e Coat Hanger - X QZ T.F. Rent - S, SZ4 X tic x 2d = S11.52 per year Prepayment Discount 0 MY AIM X SS = 512.79 .EaYptnt 3_-, iedu I e October 1, 1984 - December 21. :224 1985 138E t997 MCI 19S9 lgel 1992 1 9K 1904 --------ETC-------- - 2004 Applied Irndi t 123.05 01 Q 7Q 519.79 S! S. 70 510.73 519.79 519.79 SM6 IN Lease -0- -0- -0- S49. 9G �