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HomeMy WebLinkAboutC A S Properties - Federal Express - Building - Land LeaseTHIS LEASE, executed this the YAKIMA INTERNATIONAL AIRPORT the City of Yakima and County of referred to as "LESSOR, 11 and CAS R as "LESSEE": W I T N E S E T H: r between day of , �— - I. 1997 - McALLISTER FIE, an agency of Yakima, Washington, hereinafter .ZOPERTIES hereinafter referred to WHEREAS, LESSOR owns and operates the Yakima International Airport - McAllister Field, hereinafter referred to as "Airport," and WHEREAS, LESSOR has approved property available for lease as provided by this Lease, and LESSEE desires to occupy and use such property in accordance with this Lease, NOW THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the parties agree as follows: 1. PREMISES: LESSOR does hereby lease and let unto LESSEE, and LESSEE does hereby hire and take from LESSOR, approximately 51,866 square feet of land in the city of Yakima, Yakima County, Washington, as that property is depicted on the drawing marked Exhibit "Aft, attached hereto and by this reference made a part hereof, together with the right of ingress to and egress from the leased premises over and across common public access ways. one such common public access way shall be an access way no more than forty (40) feet wide connecting the leased premises to West Washington Avenue. LESSEE shall be responsible for all expenses pertaining to the development and maintenance of said access way. i The right of ingress/egress shall include an area for aircraft operations as described on the site plan, Exhibit "A," for use as a common public accessway. Such area to be improved and maintained by LESSEE according to Federal Express Corporation Station Design Criteria, Yakima, Washington dated August 2, 1995, page 4, as follows: "Aircraft Ramp and Taxiway will be 3 inches minimum A. C. paving over 4 inch minimum thickness 3/411 minus crushed aggregate and 5 inches minimum thickness Cas97.lse 1 with 2 to 4 inch crushed aggregate." 2. TERM: The tenancy created by this Lease shall commence on March 1, 1997 and terminate on February 28, 2437. LESSEE shall have the option to extend the term by one ten (10) year period (to wit, March 1, 2037 through February 28, 2047); provided that LESSEE delivers to LESSOR not less than ninety ( 9 0 ) days before the expiration of the original term written notification of its intent to extend the term. The right to exercise this option shall lapse if the property is not mortgaged after the fortieth {40th} year of the lease term. 3. (MORTGAGE: LESSEE and his assigns shall have, and are hereby given, the right to mortgage the leasehold created by this Lease for an amount not to exceed the possessory interest of the LESSEE and for any term not exceeding beyond the lease term, or any renewal thereof. LESSOR shall be given written notice thereof of any such mortgage, including the mortgagor's address and loan number. LESSOR shall have no right to terminate the Lease or retake possession of the premises or expel. LESSEE unless sixty (60) days' advance written notice of such default is given by the LESSOR to LESSEE and LESSEE's mortgagee at the Lessee's last address provided in writing by LESSEE or LESSEE'S mortgagee to LESSOR. The mortgagee is hereby given the power and authority, at its option, to cure all such events of default, which may be cured by action of the LESSEE, and in the name, place, and stead of the LESSEE. In the event a mortgage on the leasehold is foreclosed, the purchaser at the foreclosure sale may assign, sell, or otherwise dispose of the leasehold interest, subject to approval by LESSOR of any such assignment and sale and subject to approval by LESSOR of the assignee or purchaser; such approval shall not be unreasonably withheld. The assignment or sale of this Lease shall not relieve the assignee or purchaser of any obligation under this Lease nor relieve it from any terms of this Lease. 4. RENT: 6P01 all /0D- / /II /1 fC>1 (7 s y.77 / ,I/` //aocv �!g A. LESSEE promises and agrees to pay rent to LESSOR at the rate of $5-� :2 per month for the leased premises, made in advance on or before the 10th day of each month. Payments shall be made to the Yakima International .Airport - McAllister Field in care of the Airport Manager's office. Any rental Cas97.lse 2 payment past due shall accrue a delinquency charge of twelve percent (12%) per annum. B. The rental rate as provided for above shall be subject to review and modification on every five year anniversary of this Lease. The rental rate for this property shall be adjusted to the then current commercial /industrial land lease rate and shall be consistent with all other commercial /industrial land leases at the Airport. C. In the event the parties are unable to agree upon the fair market rental rate for the succeeding periods, upon written notice of either party to the other, but no later than thirty (30) days prior to the expiration of the then current rental period, the matter of establishment of fair market rental shall be referred to arbitration. Within thirty (30) days of such notice, each party shall select one arbitrator. The two arbitrators shall jointly select a third arbitrator who shall be a real estate broker with at least five (5) years experience in sales or leases of commercial property in the Yakima Valley. The decision of a majority of the arbitrators as to the fair market rental value for the property shall be made within forty -five (45) days of said written notice and shall be binding. Each of the parties shall bear the cost of its designated arbitrator. The parties shall share equally the expense of the third arbitrator. The arbitration decision shall be binding upon both parties and shall be enforceable in accordance with the laws of the State of Washington. The arbitrator's decision shall relate back to the beginning of the new rental period. n74rt k 1,d- 00,x. lyry,3b 5. DEPOSIT: 9_P4 /j/9,79 it ffa 1 7, Upon execution of this Lease by both parties, LESSEE shall deposit with LESSOR the amount of two month's rent plus leasehold tax as a guarantee of LESSEE's performance of this Lease and the timely payment of the rent provided for herein; and in the event LESSEE shall fail to pay the rent as provided herein, or otherwise breach this Lease, then the Airport Manager may apply such deposit, or any part thereof as may be necessary, to the payment of rental or to the payment of damages for such breach. This deposit shall be adjusted from time to time to reflect adjustments in the rent and /or leasehold tax. 6. 'TAXES AND LIENS: In addition to the rent reserved above, LESSEE promises and Cas97.lse 3 7. gr F� agrees to pay, as the same become due and payable, all licenses, fees and taxes, including but not limited to the leasehold excise, required to be paid by LESSEE by reason of this Lease and by reason of LESSEE's use and occupancy of the leased premises and by reason of LESSEE's construction or ownership of improvements to the leased premises. LESSEE shall neither suffer nor permit the attachment of any lien or other encumbrance on the leased premises by reason of LESSEE's occupancy thereof. LESSEE agrees to indemnify LESSOR and shall hold LESSOR harmless from any such taxes and liens. LESSEE shall not be in default hereunder with respect to any lien which attaches prior to or in the absence of notice to LESSEE of such lien or prior to such lien being payable, nor with respect to a lien disputed by LESSEE in good faith provided that LESSEE shall prosecute such dispute vigorously. USE: LESSEE agrees to use the leased premises only for an aeronautical oriented activity or for any other use allowed by the Master Plan and the zoning by the appropriate jurisdiction as approved by the LESSOR. The use of the property for any other purpose shall be deemed a material breach of this Lease .constituting grounds for its termination. This provision shall apply to any assignment of this Lease whether voluntary or due to mortgage foreclosure. Failure of the assignee to comply shall be reasonable cause for LESSOR to withhold approval or consent to assignment. UTILITIES: LESSEE shall be responsible for all utility services including, but not limited to, power, natural gas, water, sewer, and garbage. YAKIMA AIR FAIR: LESSEE acknowledges that it may be necessary to curtail some activities during the exercise of the Yakima Air Fair License. LESSEE understands that LESSEE's business may be interrupted during these dates and will not deem this interruption as a breach of contract by LESSOR. LESSOR shall allow all business activities of LESSEE to continue; however, LESSEE shall restrict its activities to the leased premises and adjacent ramp with the exception of takeoffs and landings. 4 10. PREMISES CONDITION: LESSEE has made a full inspection of the property, is fully aware of its condition, except with respect to environmental conditions, and accepts the property on an "AS-IS" basis. LESSEE agrees to pay for any improvements, repairs and/or modifications necessary to the operation of LESSEE's business. 11. MAINTENANCE: LESSEE agrees to keep and maintain the premises in at least as good a condition as the condition of the premises at the beginning of LESSEE's occupancy, normal wear and tear excepted. LESSEE further agrees that LESSEE shall be responsible to maintain all leased areas, buildings, trade fixtures and other improvements, existing and future, in an attractive and usable manner as reasonably determined by the Airport Manager and consistent with other properties at the Airport. Maintenance shall include, but not be limited to weed control, snow removal and pavement maintenance. 12. SIGNS.* No signs or other advertising matter or devices shall be used or displayed in or about the leased premises or upon any portion of the Airport without the prior written approval of the Airport Manager, which approval shall not be unreasonable withheld. LESSEE shall have the permission of the Airport Manager to locate a sign of thirty-two (32) square feet or less at the entry of the access way to the leased premises on West Washington Avenue. Such sign shall not obstruct the view of drivers of vehicles entering or exiting Washington Avenue. 13. IMPROVEMENTS.- All buildings, trade fixtures and other improvements to the leased property by LESSEE shall conform to applicable construction codes, and Lessee shall procure all building and other permits therefore. All buildings trade fixtures and other improvements shall be designed with a view toward aesthetic considerations and installation shall not commence until plans and specifications therefore have been submitted to and approved in writing by the Airport Manager, which approval shall not be unreasonably withheld. Approval of LESSEE's improvements shall be deemed granted twenty (20) days after submission in writing to the Airport Manager if no response has been received by LESSEE. The Preliminary Plans Cas97.lse 5 (exhibit 11C11) have been reviewed and approved by the Airport Manager. LESSOR makes no guarantee as to the suitability of .the leased area for construction of buildings, roads, ramps, etc., and is not responsible for the costs of excavation and/or removal of any object found either above or below ground level, except hazardous materials and archaeological artifacts existing prior to tenancy. 0 0 51W I Vh'y 0 01 Z Upon expiration or termination of the tenancy for any reason, all buildings, and other improvements on the leased premises shall immediately revert to LESSOR, except for trade fixtures. Prior to the expiration of this Lease, LESSEE shall remove all such trade fixtures and repair any damage to the premises caused by removal of trade fixtures to the reasonable satisfaction of the Airport Manager. Fixtures not removed within thirty (30) days after termination become the property of the LESSOR unless other arrangements have been previously approved in writing by the Airport Manager. LESSEE shall, as additional consideration for grant of this Lease, insure that all liens and encumbrances against said improvements and structures, except those created or suffered by Lessor whether consensual or involuntary, shall be paid, discharged or satisfied prior to time for reversion thereof to LESSOR; and, in any event, the parties acknowledge that LESSOR shall not by virtue of termination of the leasehold interest nor reversion of the structures or other improvements be liable for any debt or encumbrance associated therewith. 15. LESSOR'S OPTION TO PURCHASE: LESSEE shall give LESSOR thirty (30) days prior written notice of any intent by LESSEE to sell the entirety of the leasehold improvement(s). Such notice shall indicate improvement(s) to be sold and the asking price for same. When a contract has been negotiated, LESSEE shall notify LESSOR in writing, which notice shall contain a copy of the contract for such sale binding the parties thereto except for the right of LESSOR to exercise this option, discounted by the LESSOR's reversionary interest in the leasehold improvements to the extent that the discount is not already reflected in the contract price. For a period of thirty ( 30 ) days after its receipt of such notice, LESSOR shall have the first right and option to buy the improvement(s) on the same terms and conditions as the intended sale. Cas97.lse 6 LESSEE agrees to comply with all laws, ordinances, rules, regulations and policies of all governmental authorities having jurisdiction over the Airport, including LESSOR, as such laws, ordinances, rules, regulations and policies apply generally to the use and operation of Airport property, facilities and operations as those laws, ordinances, rules, regulations and policies now exist or may hereafter become effective, including policies adopted by LESSOR. 17. SUBLETTING: LESSEE shall not sublet any part of the premises without the prior written approval of LESSOR, such approval not to be unreasonably withheld. Sub-leases shall give preference to aeronautical activities and shall comply with all laws, ordinances, rules, regulations and policies applicable to the use and operation of the Airport property, facilities and operations as those laws, ordinances, rules, regulations and policies now exist or may hereafter become effective. A consent to sub-lease by LESSOR shall not be construed to be a consent to any subsequent sub-lease. The LESSOR, in determining whether or not to approve a sub-lease, shall give preference to aeronautical activities. Any income to LESSEE derived from sub-leasing shall be distributed to LESSOR in accordance with its policy on SUB- LEASING INCOME in effect at the time of the final execution of this Lease. The current policy states that there is no requirement for sharing of sub-leasing income to tenants who lease only land and construct their own building. (Note Policy and Procedure Guidance Statement #004 - Policy and Procedures for Leasing Properties at the Yakima Air Terminal - Amendment #3 executed May 23, 1996.) LESSOR hereby accepts Federal Express Corporation as a sub- tenant of the LESSEE, and understands the subtenants' operation may use a twenty-four (24) hour operational day. 18. ASSIGNMENT: Except for assignment to Federal Express or a 1031 Exchange entity or assignment to a lender for security purposes, the LESSEE shall not assign this Lease without the prior written approval of LESSOR, such approval not to be unreasonably withheld. Such assignment shall be in conformance with all Airport Board, local, state and federal laws, ordinances, rules, regulations and policies. LESSEE shall give preference to aeronautical activities and all assignees shall comply with all laws, ordinances, rules, regulations and policies applicable to the use and operation of Airport property, facilities and operations as those laws, ordinances, rules, regulations and policies now exist or may hereafter become effective. A consent to assignment by LESSOR shall not be construed to be a consent to any subsequent assignment. 19. MISCELLANEOUS PROVISIONS: A. The parties agree that LESSOR, through its Airport Manager or other person authorized by the Airport Manager, may enter upon the leased premises at any reasonable time to make such inspections as LESSOR may deem necessary to the proper enforcement of any term, provision or condition of this Lease. No such entry or inspection by LESSOR is required by this provision, and the failure of LESSOR to enter and make inspection shall not alter the relationship of the parties and their respective rights and duties provided by this Lease. LESSEE shall be granted the right of quiet enjoyment. B. LESSOR may further develop or improve Airport property and facilities, regardless of the desire or views of LESSEE regarding any such development or improvement, and without interference or hindrance on the part of LESSEE and without liability to LESSEE, provided the operations of the LESSEE are not unreasonably interrupted. C. LESSOR reserves the right, but shall not be obligated to LESSEE, to maintain and keep in repair the landing area of the Airport and all publicly owned facilities of the Airport, together with the right to direct and control all activities of LESSEE in that regard. D. LESSOR reserves the right to take any action necessary or desirable by LESSOR to protect the operations of the Airport against obstruction, together with the right to prevent LESSEE from erecting, or permitting to be erected, any building or other structure on the Airport which, in the opinion of the Airport Manager, would limit the usefulness of the Airport or constitute a hazard to aircraft. LESSEE shall limit the building area to that portion of.the property which is north of the building restriction line as defined by the Airport Layout Plan and d height not to exceed thirty five (35) feet. E. During time of war or national emergency, LESSOR shall have the right to lease the landing area or any part thereof to the United States Government for military use, and, if any such lease is executed, the provisions of this Lease shall be suspended insofar as they are inconsistent with the provisions of the lease with the United states of America. Cas97.lse 8 F. This Lease shall be subordinate to the provisions of any existing or future agreement between LESSOR and the United States of America relative to the operation or maintenance of the Airport, the execution of which has been or may be required as a condition to the expenditure of federal funds for the development of the Airport. G. If the leased premises or any interest therein is taken as a result of the exercise of the right of eminent domain, this Lease shall terminate as to such portion as may be taken. If the portion taken does not feasibly permit the continuation of the operation of the facility by LESSEE, LESSEE shall have the right to terminate this Lease. Such termination shall be effective as of the date LESSEE's operations cease. LESSEE shall be entitled to a portion of the award representing its interest in the premises. LESSOR shall be entitled to the remainder of the award. A. As of the date hereof, there are no laws, regulations, rules, or polices adopted or approved, or under consideration for adoption or approval, by the Airport, City or County of Yakima, which would prohibit LESSEE's intended use and business activities on the premises. B. As of the date hereof, to the best of the LESSOR'S knowledge, there are no laws, regulations, rules or policies adopted and in effect or under consideration by any other federal, state, county, city or other governmental body which would prohibit LESSEE's intended use and business activities on the premises. C. As of the date hereof, the premises are free and clear of all liens and encumbrances of whatever kind or nature, and there are no claims, suits or actions, whether actual or threatened,' which will or could result in any such liens or encumbrances or other impairments, restrictions, or prohibitions on LESSEE's use of the premises. D. As of the date hereof, LESSOR has the full power and authority to enter into this Lease and to fully comply with all of its terms and provisions, and this Lease will be valid and binding against LESSOR upon execution by the Board of the Yakima International Airport - McAllister Field. 21. INDEMNITY/DUTY TO DEFEND: A. At no expense to LESSOR, LESSEE shall defend against and indemnify fully and save harmless the Board of Yakima Cas97.lse 9 International Airport - McAllister Field, the Yakima international Airport - McAllister Field, the City of Yakima and Yakima County and their elected and appointed officials, employees and agents, from any and all liability, damages, suits, claims, actions, judgements or decrees, made against the Board of the Yakima International Airport - McAllister Field, the Yakima International Airport - McAllister Field, the city of Yakima or Yakima County or their elected and appointed officials, employees and agents, including all expenses incidental to the investigation and defense thereof, including reasonable attorney fees, based on or arising from the occupancy or use of the leased premises by LESSEE or as a result of LESSEE's operations at the Airport or from any other act or omission or LESSEE, its servants, employees, agents, invitees, independent contractors or any other person acting on behalf of LESSEE or under its direction, whether such claim shall be by LESSEE or a third party; provided, however, that LESSEE shall not be liable for any injury, damage or loss occasioned solely by the sole negligence of LESSOR, its agents or employees. LESSOR shall give to LESSEE prompt and reasonable notice of any such claims or actions and LESSEE shall have the right to investigate, compromise and defend the same to the extent of its interest. B. LESSOR agrees to defend, indemnify, and hold LESSEE harmless against and from any claim or liability arising from or alleged to arise from the presence of hazardous material or toxic waste on the subject leased premises at the inception of this Lease and the introduction to the premises of such materials due to LESSORIS activities or under its control. LESSOR shall provide LESSEE with a satisfactory Level 1 Environmental Audit. C. LESSEE shall keep and hold the Board of the Yakima International Airport - McAllister Field, the Yakima International Airport - McAllister Field, the City of Yakima and County of Yakima, their elected and appointed officials, agents and employees, free and harmless from any and all claims and actions, loss, damage, expense or cost, including reasonable attorneys fees, incidental to the investigation and defense thereof, resulting from, arising out of, or caused by LESSEE resulting in any liability under the Federal comprehensive Environmental Response Compensation Liability Act of 1980, as amended, 42 U.S.C. 9601 et seq.; Hazardous Materials Transportation Act, 49 U.S.C. 1801 et seq.; Resource Conservation and Recovery Act, 42 U.S.C. 6901 et seq.; the Clean Water Act, 42 U.S.C. 1251 et seq.; the Washington Environmental Policy Act, RCW Ch. 43.21C; the Washington Water Pollution Control Act, RCW Ch. 90.48; the Washington Hazardous Waste Management Act, RCW Ch. 70.105; the Washington Model Toxic Control Act, RCW Ch. 70.10513. and the regulations promulgated thereunder, or under any applicable local or state Cas97.lse 10 environmental ordinance, statute law, rule or regulation. The provisions of this Sub - section shall survive the termination of this Lease. D. LESSOR and LESSEE each waive all rights of subrogation. 22. INSURANCE: LESSEE shall file with LESSOR a certificate of insurance, or other proof of insurance acceptable to LESSOR, evidencing an insurance policy with the Board of the Yakima international Airport - Mcallister Field, the Yakima International Airport - McAllister Field, City of Yakima and County of Yakima as additional insureds providing: I. Comprehensive general liability insurance coverage in an amount of not less than $1,000,000 Combined Single Limit for bodily injury and property damage covering LESSEE's occupancy of and activities pertaining to the leased premises. LESSEE specifically agrees that insurance limits shall be reviewed at least every five ( 5 ) years and that LESSOR may make reasonable adjustments to the required limits. Not less than 30 days written notice, or such longer time period as may be acceptable to LESSOR, must be supplied to LESSOR in the event of cancellation, material change to the policy or non -- renewal of any or all policies. Certificate shall be issued by carrier(s) with a minimum A.M. BEST rating of A -VII which are admitted in the state of Washington or other carrier(s) as shall be acceptable to LESSOR. 23. DEFAULT: A. It is agreed that the full and prompt performance of the terms and conditions of this Lease is of the essence, and shall LESSEE be in default of any of the same and such default has continued for thirty (30) days (except three (3) days notice for default in payment of rent) after receipt of written notice by LESSOR setting forth the particular default claimed, this Lease shall at the option of LESSOR, be forfeited and in such event it is expressly agreed that LESSOR may enforce such forfeiture pursuant to the unlawful detainer statutes of the State of Washington, and, LESSEE hereby waives all defenses as to the non - applicability of such statutes. It is further agreed that after receipt of notices and as an additional condition to avoid forfeiture LESSEE shall. pay LESSOR'S costs and expenses, including attorney's fees, for the preparation and service of such notice. Nothing contained Cas97.lse 11 herein shall release or diminish LESSEE's obligation to pay rent for the full term of this Lease save such amount as LESSOR recovers as rent from any subsequent lessee during the term of this Lease. Any notice sent by transmission requiring a return receipt, shall be deemed received if refused. B. As additional and not alternative remedy, optional with LESSOR and upon sixty (66) days written notice to LESSEE, should LESSEE be in default hereunder other than default in the payment of rent, LESSOR may cure or correct the same and the cost of such action by LESSOR shall immediately become due and payable from LESSEE, together with late fees on said sum at a rate of twelve percent (12a) per annum, and the non- payment of said sum by LESSEE shall be adequate grounds for LESSOR to invoke the other remedies as provided in this Lease. A. The failure by LESSEE to pay rent in the amounts and at the tames specified herein, or the failure by LESSEE to otherwise comply with any term, provision or condition of this Lease, shall constitute grounds for termination of this Lease and forfeiture of all rent paid by LESSEE to the time of termination. This Lease and tenancy shall terminate and rent paid shall be forfeited for cause as specified above on written notice by LESSOR to LESSEE stating the amount of rent in default or otherwise stating accurately the manner in which LESSEE fails or has failed to comply with this Lease. LESSEE shall make full payment or otherwise comply with this Lease in the manner specified in the notice within thirty (30) days (except three (3) days for payment of rent) from LESSEE's receipt of such notice, otherwise this Lease and tenancy shall be terminated and rent forfeited. such notice shall be given in writing and served on LESSEE by personal delivery or mailed by certified mail with return receipt requested addressed to LESSEE at its address stated below LESSEE'S signature to this Lease or such other address as the parties may advise each other in writing. LESSEE's obligation to pay the remainder of rents due hereunder shall abate only to the extent rental income is received from a succeeding tenant, if at all. B. Upon termination of this Lease, LESSEE shall peaceably and quietly vacate the premises including any improvements and shall restore the premises to LESSOR in the same condition as when occupied, normal wear and tear excepted. If LESSEE fails to remove its personal property and effects upon the termination of this Lease for any cause, LESSOR shall have the right to remove and store all of said property and effects at the expense of LESSEE. Cas97.lse 12 25. INSOLVENCY: In the event LESSEE is declared bankrupt by a court of competent jurisdiction or in the event LESSEE makes an assignment for the benefit of creditors, or if a receiver otherwise is appointed for LESSEE, or in the event LESSEE's leasehold estate is subjected to execution to satisfy any judgement against LESSEE, then in that event LESSOR may immediately or at any time thereafter without notice or demand enter into and upon the property or any part thereof and repossess the same and expel LESSEE or any person upon the premises and remove their effects, and thereupon this Lease and the tenancy hereby created shall absolutely terminate, without prejudice to any remedies which might otherwise be available to LESSOR for collection of past due or future rent. It is understood and agreed that the Mortgagee (ref. Section 3), if any, shall have the option to cure any default under this Section. 26. VENUE, ATTORNEY FEES: In the event of litigation to enforce the rights and obligations hereunder, venue shall lie in Yakima County Superior Court, and the prevailing party shall be entitled to its reasonable attorney fees in addition to court costs. 27. NON-DISCRIMINATION CLAUSE: To the extent required by law, LESSEE,, for itself, its personal representative, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as follows: A. No person, on the grounds of race, color, religion, sex, age, marital status, handicap or national origin, shall be unreasonably excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in LESSEE's personnel policies and practices or in the use or operation of LESSEE's services or facilities. B. LESSEE agrees that in the construction of any improvements on, over or under Airport land and the furnishing of services thereon, no person, on the grounds of race, color, religion, sex, marital status,, handicap, age or national origin, shall be unreasonably excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination. C. LESSEE shall use the Premises in compliance with all other requirements imposed by or pursuant to Title 49. Code of Cas97-lse 13 Federal Regulations, Department of Transportation, Subtitle A, office of the Secretary, Part 21, Non-discrimination in Federally Assisted Programs of the Department of Transportation- Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended. D. It is the policy of the Department of Transportation that minority business enterprise as defined in 49 CFR Part 23, i.e., firms owned and controlled by minorities; firms owned and controlled by women and firms owned and controlled by financially disadvantaged persons; shall have the maximum opportunity to participate in the performance of leases as defined in 49 CFR Section 23.5. Consequently, this Lease is subject to 49 CFR Part 23 as applicable. Lessee hereby assures that no person shall be excluded from participation in, denied the benefits of or otherwise discriminated against in connection with the award and performance of any contract, including leases, covered by 49 CFR Part 23 on the grounds of race, color, national origin or sex. Lessee hereby assures that it will include the above clauses in all sub-leases and cause sub-lessees to similarly include dlauses in further sub-leases. 28. INTEGRATION: This document embodies the entire agreement of the parties with respect to the subject matter herein contained. No amendments or modifications hereof shall be enforceable unless in writing, signed by the party to be charged. 29. NOTICE: All notices allowed or required hereunder shall be effective if delivered by mail, return receipt requested at the address shown below unless a different address is designated by a party in writing: If to LESSOR: YAKIMA INTERNATIONAL AIRPORT McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 PHONE: (509) 575-6149 FAX: (509) 575-6185 Cas97.lse 14 .r 1 If to LESSEE: CHRIS A. SMITH CAS PROPERTIES P O Box 1602 Portland, Oregon 97207 PHONE: 503- 241 -0615 FAX: 503- 241 -4063 with copy to: JAMES C. WAGGONER DAVIS WRIGHT TREMAINE 1300 STS 5th, Suite 2300 Portland, Oregon 97201 PHONE: 503 --241 -2300 FAX: 503 -778 -5299 Time is of the essence of this entire Lease agreement. YAKIMA INTERNATIONAL AIRPORT - McALLISTER FIELD 2400 W. Washington Avenue Y kima, Washington 98903 5 575-6149 I Greg Bd-rr4ft,- Secretary STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that Dennis Byam and Greg Berndt signed this instrument, on oath stated that they were authorized to execute the instrument and acknowledged it as the chairman and the Secretary respectively of the Board of the Yakima International Airport - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. -E - --, y blic ra Appointment Ex�rL-s 1-o - 9 a -INN �AOT A/? PUBLIC, 7� Cas97.lse 16 Phone: 503-241-0615 Fax: 503-241-4063 STATE\QF county 0 0 I certify tha- I know or have satisfactory evidence that Chris A. Smith signed this instrument nd acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date Bv: y c Appoint ent Exp r' �/Z' -57Y Casp97.lse 17 t Exhibit A" LESSOR: Yakima International Airport — McAllister Field N3 LESSEE: CAS Properties Effective Date: March 1, 1997 M� i E NOTE: Exhibit "A" drawing based on ALTA/ACSM land Title Survey performed by Huibregtse, Louman Associates, Inc. on 10/3/96. HLA Job No. 96085. I 1--z Air 6�,3 iDL. Shop. N41 West Washington Avenue N3/ 40' Access Esm't F--] L 51,866 S.F. I MOM Decota nyillg I Nol-' NC�' nr � LA BRL Zrvice Taxiway Enlarged TieW Not t v Scale Lease Site Location See Enlarged View Wog*. XK . . . . ... .... ..... . 41 ZP A 1, FT AT AVIV LltZ44fT eAMY A<A 4, MbTYV' w AL" UllkmT 4 t;luwcusc til�ht�ftr, )w i4. .. ... N �� ^\� �IM ELAU VIV14AnW, U409ZH9W r OF WA4 64te, ACAA, cc *Ic e*sw M" YE 3r um WiLlci E5 0 Vl� AVKV, IVEA UkOM er, -E,CLEryl— AS A"Vt31fw nl'AL EA OgAM CAS Properties -.--.-Eederal. Express Corporation_ Y Fa�ima, WA. EC I CVO Exhibit "A") LESSOR: Yakima International Airport — McAllister Field N3 LESSEE CAS Properties Effective Date: March 1, 1997 Sq. Ft,- 51,866 NOTE: Exhibit "A" drawing based on Al;rA/ACSM Land Title Survey performed by Huibregtse, Louman Associates, Inc, On 10/3/96. HLA Job No. 96086, F&I E — ED Air E 8' t int. Shop. N41 West 51,866 S. F. I EIRL "A" Taxiway Avenue NojanIi Decoto Ilying Service Enlarged Vlex - INOL To Scale I Site Location — See Enlarged View FIZ�Mw CL r,-w 1 7' wnw;t' oR'k7i• 011u-4 %d7 JA _O'n JL - 4-.W. art t Iq OF 2,2* �.4IIW ,,D,, q�q�H)<3 Af 40 4J .j .'' .' -. ­`­' �.r. LjAr4u AKrA I nt:bt: — 1-- — - - TRAMP IMPROVEMENT AREA NOT INCLUDED) PLAN NEGOTIATION MATH THE CITY Of YAKIMA -- -- I AND FOR sto puRPOSES By DEVELOPERS. FINAL SECURITY FENCING BY DEV PER SHARED WATER RETENTION AREA INMFNSIONS WILL BE APPROVED By FEDPX, YAKIMA AIRPORT AN WFI D DEVELOPER AFTER VEYNG 249.0,+- IMPROVEMENTS BY DEVEL ER 14 0 0 EMPLOYEE PARKING 35 SPACES U, at 0 ISO, EXPANSION AREA )4 FIRST RIGHT OF REFUSAL OPTION WAREHOUSE 40 I. 30.0' 33' 100, ;ATE QFFICES V FENTRY Hj��PR PRIG El � J11-l" 30'-0' PAVED ACCESS ROAD IW (IMPROVEMENTS BYI)EVELOPER) �OPER) Sul SECURITY FENCING BY DEVELOPER — 8' SHARECI WATERIRETENTION AREA IMPROVE I AENTS B'f DEVELOPER ISSIX 100, "NO Bull N LINE Wt OFF FEDERAL EXPRESS CORPORATION L`- STATION DESIGN CRITERIA YAKIMA, WASHINGTON 310' FROM B. .L o TO ALPHA TAXiWA SK TRUCK CIRCULATION AND AIRCRAFT RAMP AREA (IMPROVEMENTS BY DEVELOPER) tu U. U. 0 50.10' ------- XSITE -PLAN DRAWINGS PREPARED BY DESIGN SYSTEMS NORTHWEST, INC, 5195 F 7 "" 8Ei4s HpHUA1 "YW TV F FIEF CF WOCK W CAW, 73,I' or FICNIT CI` L 13 ". R. 18 COT WA, r OR— CM --D SEE z IJj SCALE .BAR W+ E 30 8 23 EO id Ubm A TIRIAW. 'o,m "w TItE AMD" IA"a ME —'WI, . *'MKA lk Im t,o,u— 41. 1192. Ei K-- Maw CRAM! RLV PA IL- 10-346 a. —XI— D"Its 9NUMI; FENCE .,r 0 I'C',om IM 4" wIH W itJiiHlA 21007 SM — — — — — — — — -- FiM M"m III Ras m YK "W UK OF NGRixwE§T ,R. —3 I_, SUR IOED 9,70H � Topcm 4n - t=TROKIC'MT� ,t,zl=x III, M.T IWF M KMMM. NEW �VW PII=tIXItM Ow, TO. a KRE" ,W,o YIm "TED 01 W�ER ME E 5949 I.IIC 'Or MCI mw Feel. III MS'4atMT, n,72 EMT, V, VIC P*"? Cr BEGIwm. M. agw� W.. FEET. TIOCE A "x2T 1. . wx t 1 M61sT OF Al C, kA:N v:ItI A . — 'WWM' 4:4 S"" '14"T M � "N" OIWIW 1 SC41-1 " "`­T s OVT2,r . I; as,ts*� I, pmt Cr 9— At vIKSM'ofm THAT PM? OF CK I'M MT %= W=O" a T� a �A. , FMAAft . AT Aw ll=RT.TR.0lR*'VlI, WE , 04wm OP EEEM(w 30-1 MON I'm W= IMAIT ROME UX� 891W40' EAST. 21�12 a". r CI, Kommtk "WW VK �J,Co Ml�� Z =� -w- OEM M'U" '* aw ?-. FEET — w IxN E OF RUNWAY 9-21 a Fat: TNfJtC, I". m.w A 91 PMNSF " F ""Y Qiik£At1NE. Imm FTT1'w A "" 8Ei4s HpHUA1 "YW TV F FIEF CF WOCK W CAW, 73,I' or FICNIT CI` 2 OAF M —T ANP ��WI4V Wt *� IT EII ST" XT� I'M— RECUINF31EN1H Fat PA � OU 61*KM: XIII Y "TMU�M wCumo IONS 11 Ubm A TIRIAW. 'o,m "w TItE AMD" IA"a ME —'WI, . *'MKA lk Im t,o,u— 41. 1192. K-- Maw CRAM! RLV PA IL- 10-346 —mm 9— At CAS PROPERTIES (FEDERAL EXPRESS) OPTION FOR LAND LEASE AIRPORT LEVSE AGREENZW7 CAS PROPERTIES Chris A. Smith (FEDERAL EXPRESS BUILDING) PO Box 1602 Portland, OR 97207 PHONE: 503-241-0615,,' FAX: 503-241-4063 ATTY: JAMES C'..,IWAGGONER DAVIS, WATGHT, TREMAINE 1300 SW 5TR,, SUITE #2300 PORTLAND, OR"' \97201 PHONE: 503-241-2300 FAX: 503-778-5299 PREMISES: LAND ONLY 35,465'SQ FT (3002 W. WASHINGTON AVE) ,2 TERM- AUG 1, t-9-4 � - JUL 31, RENT: EFF AUG 1, 1997 - $� �MQNTH DEPOSIT: ONE MONTH-S, RENT $S4--.50 IMPROVEMENTS: N/A INSURANCE: N/A APPROVED: AIRPORT BOARD 7/24/97 PREPARED: KY -8./�7 COPIES: LEASE FILE CALENDAR: ALPHA - EXHIBIT B <r JUN 1, 20OZ REVIEW LEASE AbF& ,.20OA7LEASE EXPIRES FILENAME: LEASE:CASOPCHK Exhibit ".g„ to lea, option agreement between CAS Prope,,r-ties and Yakima International Airport. Lk_06 1, (, "ffective Date s` .Total lease option area — 35,465 sq.ft. Ljr--_ Airport Maint. N US Properties Leased Area (Feder-at Express � P 11q,-7- Lease Option Area MEMMEM .211 Test Washington Avenue N37 Building Noland Detoto 1 —_j This lease adds 10,279'sq.fL area to previous lease. CAS Properties (Federal Express) I%i3 leave removes 053 sq.ft from previously eased are*. I Paved Ramp V-1 Exhibit "A" to lease agreemen' l)etween Noland Decoto Flying Service aLd Yakima International Airport. Effective Date — May 1, 1997 Total leased, area — 215,884 sq.ft. N35 Noland _Decoto Property Une "a Z -00- N31 N33 INC 7 D: \CAD\A1F\NOLANDS-SKD-3-97—JGK