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HomeMy WebLinkAboutYakima Airpark LLC - Building - Ramp - Land Leaset AIRPORT LEASE AGREEMENT #1 YAKIMA AIRPARK L.L.C. THIS LEASE, executed this s� 9 day of r ,­ , 2005, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, an agency of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK LLC, a Limited Liability Company in Washington State, hereinafter referred to as "LESSEE." WITNESETH: WHEREAS, LESSOR operates the Yakima Air Terminal - McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982, 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, WHEREAS, LESSOR also agrees to the following: 1. LESSEE shall prepare a two acre building site and begin the construction of aircraft hangars with applicable permits from the City. 2. Until the infrastructure (water and electric) is installed and available for the LESSEE to connect the option payment currently being paid will be in effect. 3. LESSEE shall have no responsibility for any clean -up of the area with -in the two acre site, known as the Richardson Ag Operation Site. 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, a -.7SEE does hereby lease and take from LESSOR, approximatel ;-fi2fS sq ft (2 acres) of land in the City of Yakima, Yakima County, Was ' on, as that property is depicted on the drawing marked Exhibit "A ", a ed hereto and by this reference made a part hereof, together with the of ingress to and egress from the leased premises and the public use s /facilities used in connection therewith, over designated Airport propert d roadways, subject to rules and regulations governing the use of the ' ort and as the same maybe promulgated by LESSOR from time to Filename: Lease /yakimaairparkllcLse #1 -2005 d time. The LESSOR may, at any time hereafter, provide a legal description of the premises and such description shall become a part of this Lease. 2. TERM: The tenancy created by this Lease shall commence on November 1, 2005 and continue for a period of forty (40) years, and terminate on October 31, 2045, unless otherwise terminated as provided for herein. LESSEE shall have the option to extend the term by one ten (10) year period (to wit, October 31, 2055); provided that LESSEE delivers to LESSOR not less than ninety (90) days before the expiration of the original term written notification of its intent to extend the term. 3. MORTGAGE: LESSEE and its 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 mortgagee's address and loan number. LESSOR shall have no right to terminate this Lease or retake possession of the premises or expel LESSEE unless thirty (30) days' advance written notice of such default is given by the LESSOR to LESSEE and LESSEE's mortgagee at the last address provided in writing by LESSEE 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, nor from any obligation to meet Airport rules, regulations and standards. 4. RENT. ,if< a131, ir, chi *I A. LESSEE promises and agrees to pay re o LESSOR at the rate of $1,016.40 per month for the leased premisee , ade in advance on or before the 10th day of each month. Payments s be made to the Yakima Air Terminal - McAllister Field in care of the AirpK Manager's office. Any rental payment past due shall accrue a delinquent arge of twelve percent (12 %) per annum. Filename: Lease /yakimairparkllcLse 91 -2005 2 5. 6. E. The lease rental rate as provided for above l�ll'T use bject to review and modification on every two year anniversary is Lease and shall be set at the then current Aviation Rate. / r C. In the event the parties are unable to agree upon? the it market rental rate for the succeeding periods, upon written notice of eith arty to the other, but no later than thirty (30) days prior to the expiration of e then current rental period, the matter of establishment of fair market ren shall be referred to arbitration. Within thirty (30) days of such notice, each rty shall select one arbitrator. The two arbitrators shall jointly select a thi arbitrator who shall be a real estate broker with at least five (5) years a enence in sales or leases of commercial property in the Yakima Valley. T decision of a majority of the arbitrators as to the fair market rental value f he property shall be made within forty -five (45) days of said written notice nd shall be binding. Each of the parties shall bear the cost of its designate arbitrator. The parties shall share equally the expense of the third arbitrator. he arbitration decision shall be binding upon both parties and shall be enfor able in accordance with the laws of the State of Washington. The arbitrator's ecision shall relate back to the beginning of the new rental period. DEPOSIT: Upon execution of this lease by both parties, LESSEE shall deposit with LESSOR the amount of one month's rent plus leasehold tax as a guarantee of LESSEE's performance of this Lease and the timely payment of the rental provided for herein; and in the event LESSEE shall fail to pay the rental 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 or pursue any other remedies provided herein. This deposit shall be adjusted from time to time to reflect adjustments in the rent and/or leasehold tax. TAXES AND (LIENS: In addition to the rent payable above, LESSEE promises and 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. Filename: LeaselyakimaairparkllcLse #1 -2005 3 7. 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 of the property 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 or for any other reason. Failure of the assignee to comply with this Section shall be reasonable cause for LESSOR to withhold approval or consent to assignment. 8. UTILITIES: LESSEE shall be responsible for all utility services including, but not limited to, power, natural gas, water, sewer, and garbage. 9. PREMISES CONDITION: LESSEE has made a full inspection of the premises, is fully aware of its condition except with respect to environmental conditions and accepts the premises on an "AS -IS" basis. LESSEE agrees to pay for any improvements, repairs and /or modifications necessary to the operation of LESSEE's business. 10. MAINTENANCE: LESSEE agrees to beep 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 determined by the Airport Manager and consistent with other properties at the Airport. Maintenance shall include, but not be limited to weed control, garbage and debris removal, painting, snow removal and pavement maintenance. 11. SIGNS: LESSEE, at LESSEE's own expense, may erect sign(s) of a type, number and location suitable to LESSOR. 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 Filename: Lease /yakimaairparkllcLse #1 -2005 4 approval shall not be unreasonably withheld. 12. IMPROVEMENTS: All buildings, trade fixtures and other improvements to the leased property by LESSEE shall conform to applicable rules, regulations, building and fire codes, and will comply with the Declarations of Covenants, Restrictions and Minimum Standards for Private Hangars at the Yakima Air Terminal. 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. LESSOR makes no representation or 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 for hazardous materials and archaeological artifacts existing prior to tenancy. 13. REVERSION OF IMPROVEMENTS: SC-r-- a/;,-eh -# / �' -` I In the event this Lease is terminated due to defaultt "SSEE or upon expiration of this Lease, or any extension of this Lease A eement as provided in Section 2 hereof, LESSOR may, at its option, eit accept ownership of the improvements constructed or installed on the Pr ises, except for trade fixtures, or require LESSEE to remove such improv eats within one hundred twenty (120) days of such cancellation or expira ' n. LESSOR shall notify LESSEE of its intent within sixty (60) days of the cellation or expiration. Prior to the expiration of , LESSEE shall remove all such trade fixtures and repair any damage to th premises caused by removal of trade fixtures to the reasonable satisfactio f the Airport Manager. Fixtures not removed within thirty (30) days aft�te ination become the property of the LESSOR unless other arrangements been previously approved in writing by the Airport Manager. LESSEE shall�,`as additional consideration for grant of this Lease, insure that all liens, security interest and other 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 the {eof 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 Rename: Leaselyakimaairparkllci_se #1 -2005 5 structures or other improvements be liable for any debt or encumbrance associated therewith. 14. LESSOR'S OPTION TO PURCHASE: LESSEE shall notify LESSOR in writing in the event that LESSEE intends to sell any leasehold improvement(s) to a third party. The 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 premises. For a period of forty -five (45) 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 minus the LESSOR'S reversionary interest. 16. REGULATIONS: LESSEE agrees to comply with all applicable laws, ordinances, rules, regulations and policies of all governmental authorities having jurisdiction over the Airport, including policies adopted by LESSOR, as such laws, ordinances, rules, regulations and policies apply 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. 16. SUBLETTING: LESSEE shall not sublet any part of the premises without the prior written approval of LESSOR, such approval not to be unreasonably withheld, provided no such approval shall be required with respect to subleases to affiliated entities of the LESSEE, provided use does not change. Subleases shall give preference to aeronautical activities and 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 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 consider the extent of the aeronautical activities performed on the premises. LESSEE agrees that all sublease agreements with non - aviation oriented tenants will contain a provision that said agreements would be canceled upon 124 days prior written notice, should an aviation oriented subtenant be secured. According to the policy on SUB- LEASING INCOME in effect at the time of this Lease, there is no requirement to share sub -lease income because this Lease is Filename: LeaselyakirnaairparkllcLse #1 -2005 6 for land only. Should LESSEE exercise a renewal option, income derived from sub - leasing in the renewal term shall be distributed to LESSOR in accordance with its policy on SUB - LEASING INCOME in effect at the time of renewal. LESSEE hereby assumes an affirmative duty to inquire at the time of renewal to comply with the SUB - LEASING INCOME policy in effect at that time. 17. ASSIGNMENT: 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 applicable 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. 18. 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 upon performance of all terms of this Lease. 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. Filename: Lease /yakimaairparkileLse #1 -2005 7 D. LESSOR reserves the right to take any action necessary or desirable by LESSOR to protect the operations of the Airport against obstruction, or any other activity interfering with the efficient operation of the Airport, 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 outside the building restriction line (away from runway) as defined by the Airport Layout Plan and to a 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 of America 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 agreement with the United States of America F. This Lease shall be subordinate to agreement between LESSOR and the operation or maintenance of the Airport, be required as a condition to the development of the Airport. the provisions of any existing or future United States of America relative to the the execution of which has been or may expenditure of federal funds for the 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 LESSEE`s operations, 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. 4 ctA f T7 -ii J ' e-t c�.11, � �L � � � 6� - r -v 19. INDEMNITY/DUTY TO DEFEND: A. At no expense to LESSOR, LESSEE shall defend against and indemnify fully and save harmless the Board of the Yakima Air Terminal - McAllister Field, the Yakima Air Terminal - 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 Air Terminal - McAllister Field, the Yakima Air Terminal - 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 Filename: Lease /yakimaairparkllcLse #1 -2005 of LESSEE, its servants, employees, agents, invitees, independent contractors or any other entity, person, firm or corporation 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 LESSOR'S activities or under its control. C. LESSEE shall keep and hold the Board of the Yakima Air Terminal - McAllister Field, the Yakima Air Terminal - 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. 70.105D, and the regulations promulgated thereunder, or under any applicable local or state environmental ordinance, statute, law, rule or regulation. The provisions of this Sub - section shall survive the termination of this Lease. 20. 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 Air Terminal - McAllister Field, the Yakima Air Terminal - McAllister Field, the City of Yakima and County of Yakima as additional insureds providing: 1. Comprehensive general liability insurance coverage in amounts 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. Filename: Lease /yakimaairparkllcLse #1 -2005 9 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 other such 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 such carriers as shall be acceptable to LESSOR. 21. DAMAGE OR DESTRUCTION: A. TENANT IMPROVEMENTS: In the event the construction in accordance with SECTION 12- IMPROVEMENTS herein, or improvements thereto, are partially or totally damaged by fire or other casualty, the LESSEE shall repair or replace the same at its own expense. The new improvements shall be at least the same size, design and quality as that which existed prior to any damage or destruction. Both parties agree, however, that any insurance proceeds shall be first applied to the cost of repair or replacement of improvements. LESSEE may elect not to repair or replace said construction or improvements. LESSEE shall advise LESSOR of its intent within thirty (30) days of the damage or destruction. If LESSEE elects not to repair or replace the improvements, this Lease shall be terminated. In such event, LESSEE shall restore the Premises to substantially the same condition as existed prior to LESSEE constructing its improvements on the property. B. OTHER AIRPORT PROPERTY: In the event of damage or destruction of Airport property caused by the LESSEE, its agents, employees, aircraft or other equipment, LESSEE agrees to repair, reconstruct, or replace the affected property to the condition which existed prior to such damage or destruction, to the extent that same is not covered by insurance required under this Lease. LESSEE further agrees to cause such repair, reconstruction or replacement or affected property with due diligence. 22. DEFAULT, TERMINATION & FORFEITURE: A. The failure by LESSEE to pay rent in the amounts and at the times 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 Filename: LeaselyakimaairparkllcLse #1 -2005 10 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. 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 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. Notices shall be deemed received three (3) days after mailing to LESSEE at the address below LESSEE's signature to this Lease or such other address as the parties may advise each other in writing. B. As additional and not alternative remedy, optional with LESSOR and upon thirty (30) 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 (12 %) 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. C. Upon termination of this Lease for any reason, LESSEE shall immediately surrender the premises to the BOARD in good condition and repair, ordinary wear and usage excepted; and LESSEE shall remove all of LESSEE'S personal property, trade fixtures, equipment or improvements removable by prior agreement with BOARD from the premises and shall repair any damage to the premises caused by such removal. Any personal property of LESSEE, or anyone claiming under LESSEE, which shall remain upon the premises at the expiration or termination of this Lease shall be deemed to have been abandoned and may be retained by BOARD as BOARD'S property or disposed of by BOARD in such manner as BOARD sees fit without compensation to any party. 23. 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' 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 Filename: Lease /yakimairparkllcLse #1 -2005 11 or demand enter into and upon the premises 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) shall have the option to cure any default under this Section. 24. 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. 25. 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 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 Filename: Lease /yakimaairparkiicLse #1 -2005 12 participate in the performance of [eases 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 clauses in further sub - leases. 26. INTEGRATION: This document embodies the entire Lease between 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. Time is of the essence of this entire Lease. Rename: Leasefyaki aairparklicLse #1 -2005 13 W LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 --6185 - fax Duu tas-C- tactrr , hairman William Wheeler, Secretary STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that Douglas C. Hahn and William Wheeler 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 Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date By: Notary Publi Appointment pires�^ U�'� ��lltiifflll,,, ���`�r'C 1y0 •�Sr� j�r' ti �w CD 2'007 WAS ��. MtillIO Filename: Lease /yakimaairparklIeLse #1 -2005 14 r" YAKIMA AIRPARK L.L.C. 9407 Ridgeway Rd Yakima, WA 98903 Phone. (5 -5577 Ola Vestad Date STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. .'q� ri .� 5.• "" T .O 'i Date =4 5 °9y By: = ; my Comm. Fxprres Notary Publ °vQ'b�� 1.207 'Z= Appointment Expires -� "�-� A ''© IMMON\ om McMahon Date STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. ,sf• It AMIA Rename: Lease /yakimaairparkllcLse #k1 -2005 15 N1 J ©t 0 TA •0 r = Naverrtberr.jcx00es ��`� • A��LtC 7�© Exhibit I'A" to L reement between � Yakima Air�3ark,'tL- , and t t�`e Yakima Air T'rnlIQ07 Effective Date: ,.```�� Option Area: Approx 87,380 sr: Use: Aircraft Hangar Complex �IM Existing - Buildings Leased Area--- - Approx. 2 Acres X M TX nO N I ,*,- Abaf ndoned Runway j - c I'11J11: 001 ' ] TO LEASE AGREEMENT #1 YAKIMA AIRPARK, L.L.C. THIS LEASE, executed this —al- / day of Y"zv 2006, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, 6n agency of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982, 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: This is an amendment to the Land Lease dated October 29, 2005 between the Yakima Air Terminal -- McAllister Field, "LESSOR" and the Yakima Airpark L.L.C., "LESSEE ". 1. PREMISES: LESSEE hereby agrees to lease from LESSOR approximately, 52,327 sq ft of land on the Yakima Air Terminal as depicted on the drawing marked Exhibit "B" 4. RENT: LESSEE promises and agrees to pay rent to LESSOR at the rate of $610.48 per month for the leased premises, made in advance on or before the 1 otn day of each month. Lease /McCo97 #1 1 13. REVERSION OF IMPROVENTS Paragraphs 1 and 2 to be omitted and amended as follows; In the event this Lease is terminated due to default by LESSEE, LESSOR may, at its option, either accept ownership of the improvements constructed or installed on the Premises, except for trade fixtures, or require LESSEE to remove such improvements with one hundred twenty (120) days of such cancellation. One hundred eighty (180) days prior to the expiration of this Lease, LESSEE shall provide written notice to the Airport Manager of one of the following intents of the LESSEE; 1. Revert the improvements constructed or installed on the Premise to the LESSOR at no cost or encumbrance to the Airport, City or County. 2. Negotiate a new land lease agreement with the approval of the LESSOR. 3. Sell the improvements to a qualified and approved buyer, with the LESSOR having the Right of First Refusal to purchase the improvements. The LESSOR will provide the LESSEE with acknowledgement to purchase within 30 days of notification from the LESSEE. OR 4. LESSEE will remove all improvements including foundations and all buried infrastructure pertaining to the construction of the improvement, unless otherwise, a written agreement between LESSOR and LESSEE is made. 18. MISCELLANEOUS PROVISIONS: H. LEESEE agrees to landscape and maintain the common areas (including the ROW area outside the fence on 21St Ave) and LESSOR agrees not to charge rent for these areas provided they are maintained in an acceptable manner. I. LEESEE agrees to continue to build and develop Phases 11 through Phase IV on the Yakima Air Terminal in agreement of the option land lease. LESSOR agrees that rent shall initiate on the completion of foundation work of each Phase, and the rent will be made a part of this agreement by amendment. Lease /McCo97 #1 2 S LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -5149 - phone (509) 575 -6185 - fax illiam Wheeler, \\Chairman � ..t r#cxh.se�'I5� `1fr'c�- G��cr�`rman STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that William Wheeler and 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 Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dat Da Notary Pub' Appointment Expires --CO-) y.�4 : •QT,�,q' ©_� ' -. _ My Comm Ex0es •,� November 1 , 2007 : Z •� i� , UB �lG • �j. LeaselMcCo97 #1 3 N LESSEE: YAKIMA AIRPARK, L.L.C. e ----- TOM McMAH N OLA VESTAD STATE OF WASHINGTON County of Yakima 07 Date tg 7- � Date I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: , l -..)- V -0 ' [ A STATE OF WASHINGTON County of Yakima tt€r €r//f • my Comm. Expires - ` CQ November 1, 2007 �®` �ir�tri €i00 I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be her free and voluntary act for the uses and purposes mentioned in the instrument. Date; - O By' r \\� ttti €rrrrj,�� �0 y ' Notary Publi Appointment ��•�`° o° v a xpires " ®. - Z: My Comm. Expires ` 1, 2007 U ovemt €et i`-Z7 V� LeasefMcCo97 #1 4 i j - 200' Man Gate ca I 381' Exhibit "B" to (ease agreement between the Yakima Air Terminal and Yakima Airpark, LLC. Effective date. 2006 AMENDMENT #2 TO LEASE AGREEMENT #1 YAKIMA AIRPARK, L.L.C. THIS LEASE, executed this �( day of 2006, between the YAKIMA AIR TERMINAL — McALL1STER FIEL� an of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WITNESETH: WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982, 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: This is an amendment to the Land Lease dated October 29, 2005 between the Yakima Air Terminal — McAllister Field, "LESSOR" and the Yakima Airpark L.L.C., "LESSEE ". and Amendment #2 effective August 1, 2006, 1. PREMISES; A. LESSEE hereby agrees to I se from LESSOR approximately, 52,327 sq ft of raw land on the YaKima Air Terminal as depicted on the drawing Phase 1 marked Exh' "B" replacing Exhibit "A ". B. Board hereb rants to LESSEE an option to lease approximately 80,600 s of raw land as depicted on drawing Phase 11 and III markejAxhibit B. c�P -) 11 A) V7 -f -6 ? Lease/YKM Airpark Amd #2 Ise #1 1 4. RENT: A. LESSEE promises and agrees to pay rent to LESS05Af the rate of $610.48 per month for the leased premises, made ' advance on or before the 1 Oth day of each month. B. LESSEE promises and agrees to pay t ESSOR at the rate of 10% of the Aviation Land Lease Rate per (80,600 sq ft x $.14 x 10% $1,125.40/year or $94.03 /month or the option property, payable the first day of each month duri the term hereof and any extensions; provided, however, that sai rate is subject to increase proportionate to increases in the "Comm lial Land Lease Rate" established from time - to -time (currently eve second year) by the Board after public hearing. Payments shall be ade to the Yakima Air Terminal - McAllister Field in care of the Air rt Manager's office. This option shall automatically expire thirty (3 )' days after the failure of LESSEE to pay in advance any monthly tion price, despite ability of Board to apply the deposit against saiVamount due. C. In the vent any payment is not received by the Board by the first calenar day of the month in which due, interest will accrue upon each such payment at the rate of 1% per month until paid in full, which I FtSEE agrees to pay in addition to the monthly option sum due. The lease rental rate as provided for above shall be subject to review and modification on every two year anniversary of this Lease and shall be set at the then current Aviation Rate. This amendment shall become effective September 1, 2006. Time is of the essence of this entire lease. LeaseNKM Airpark Amd #2 Ise #1 2 LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 -6185 - fax William Wh er, C irman Les Flue , Secretary STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that William Wheeler and Les Flue 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 Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date q ` By: t.s Notary Public Appointment Expires LeaseNKM Airpark Arrid #2 Ise #1 -,,S"i30 YALi�����i A,©TAR OL�� my COMM Expires t37:l: November i, 20 7 .•C? 3 LESSEE: YAKIMA AIRPARK, L.L.C. STATE OF WASHINGTON County of Yakima - � • 06 Date 9 -zl- a4�5 Date I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument, Date: _ �° ,`\`�ttiltlr ►rtirj�� -;n Notary Public MY COMM. Exprres Appointment Exp es ° d November 1, 2007 :Z STATE OF WASHINGTON County of Yakima I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be her free and voluntary act for the uses and purposes mentioned in the instrument. Date: By: Notary Public Appointment Expires LeaseNKM Airpark Amd #2 Ise #1 4 Man Gate 20' Electric Gate W Q Vf S N V, in NO r L— 260• — 361' Exhibit "B" to lease agreement between the Yakima Air Terminal and Yakima Airpark, LLC. Effective date, 2006 AMENDMENT #3 TO LEASE AGREEMENT #1 YAKIMA AIRPARK, L.L.C. THIS LEASE, executed this _� day ofc -cam °� , 2007, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, an agency of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WIT NESETH: WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982, hereinafter referred to as "Airport," and WHEREAS, LESSOR has approved property available for tease 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: This is an amendment to the Land Lease dated October 29, 2005 between the Yakima Air Terminal — McAllister Field, "LESSOR" and the Yakima Airpark L.L.C., "LESSEE ". and Amendment #1 effective August 1, 2006, and Amendment #2 effective September 1, 2006 1. PREMISES: A. LESSEE hereby agrees to leas rom LESSOR approximately, 63,463 sq ft of raw land on the Yakja,6 Air Terminal as depicted on the drawing Phase 1 marked Exhibit " ' replacing Exhibit "B ". B. Board hereby gr 69,464 sq ft qVrav marked Exhibit C. ;s to LESSEE an option to lease approximately land as depicted on drawing Phase II and III LeaseNKM Airpark Amd #3 Ise #1 1 4. RENT: A. LESSEE promises and agrees to pay rent to LESSOR at rate of $740.40 per month for the leased premises, made in ance on or before the 101h day of each month. B. LESSEE promises and agrees to pay to LE OR at the rate of 10% of the Aviation Land Lease Rate per year ,464 sq ft x $.14 x 10% $972.60/year or $81.04 /month) for the tion property, payable the first day of each month during the m hereof and any extensions, provided, however, that said rate ' subject to increase proportionate to increases in the "Commercial nd Lease Rate" established from time - to -time (currently every seco d year) by the Board after public hearing. Payments shall be made teS the Yakima Air Terminal - McAllister Field in care of the Airport Managers office. This option shall automatically expire thirty (30) dayafter the failure of LESSEE to pay in advance any monthly option ,a"rice, despite ability of Board to apply the deposit against said amoupt due. C. In the event a fy payment is not received by the Board by the first calendar day df the month in which due, interest will accrue upon each such payment at the rate of 1% per month until paid in full, which LESSEE agrees to pay in addition to the monthly option sum due. D. The lease rental rate as provided for above shall be subject to review and modification on every two year anniversary of this Lease and shall be set at the then current Aviation Rate. This amendment shall become effective July 1, 2007. Time is of the essence of this entire lease. LeaseNKM Airpark Amd #3 Ise #1 2 LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 57/5 -6185 - fax William Whee Chq,'wman Les Flue , Secretary STATE OF WASHINGTON County of Yakima 1 certify that 1 know or have satisfactory evidence that William Wheeler and Les Flue 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 Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. _.i..r Notary • Appointment Expires MY COMM. Ex November 7 pins _4 ; 2007 ; '1,11,,FfWAS'�;`� LeaseNKM Airpark Amd #3 Ise #1 3 LESSEE: YAKIMA AIRPARK, L.L.C. STATE OF WASHINGTON County of Yakima C -Z/ -01 Date Date I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: 6, _a' It' C) Ill ILI "�..r!� `•s• e 0 STATE OF WASHINGTON County of Yakima �i�t►t�s�it�rrr� 30 YA<o�''� •�pl'Aq� . �iC� My Comm. Expires ; November t, 2007 :Z �rrrrrWAS <<�� I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be her free and voluntary act for the uses and purposes mentioned in the instrument. Date: _ _ B = Y: `,���Jk tf+rrrrrll� Notary Public \`�,.�.3©.Yq�a.,��� �c3,• STAR Appointment Expires �_ My carom. Expires ` 1 : NaVember t, 2007 :Z—= :0z- AS rtiiikl Lease /YKM Airpark Amd #3 Ise #1 4 Man Gate 20' Dectric Gate W 7 �B eF N n 364' zoo' Exhibit "C" to lease agreement between the Yakima Air Terminal and Yakima Airpark, LLG. Effective date: 9' / — 2007 AMENDMENT #4 TO LEASE AGREEMENT #1 YAKIMA AIRPARK, L.L.C. THIS LEASE, executed this c� day of-_J M �•e-� 2008, between the YAKIMA AIR TERMINAL — McALLISTER FI LD, an agency of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." P►�li�l���i:A WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982, 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: This is an amendment to the Land Lease dated October 29, 2005 between the Yakima Air Terminal — McAllister Field, "LESSOR" and the Yakima Airpark L.L.C., "LESSEE ". and Amendment #1 effective August 1, 2006, and Amendment #2 effective September 1, 2006 and Amendment #3 effective June 28, 2007. 1. PREMISES: A. LESSEE hereby agrees to lease from LESSOR approximately, 106,116 sq ft of raw land on the Yakima Air Terminal as depicted on the drawing Phase 1, 2 and 3 marked Exhibit "D" replacing Exhibit "C ". B. Board hereby grants to LESSEE an option to lease approximately 26,811 sq ft of raw land as depicted on drawing Phase III marked Exhibit "D °. .ease /YKM Airpark Amd #4 Ise #1 4. RENT; // -/ -a 1 /./ 3S A. LESSEE promises and agrees to pay rent to LESSOR at the rate of $1,2W.02 +L /H Tax per month for the leased premises, made in advance on or before the 1 oth day of each month. 11 -1 -0 7 .73,S1 B. LESSEE promises and agrees to pay to LESSOR at the rate of 10% of the Aviation Land Lease Rate per year (26,811 sq ft x $.14 x 10% = $375.36 /year or $3,:�"/month) for the option property, payable the first day of each month during the term hereof and any extensions; provided, however, that said rate is subject to increase proportionate to increases in the "Commercial Land Lease Rate" established from time - to -time (currently every second year) by the Board after public hearing. Payments shall be made to the Yakima Air Terminal - McAllister Field in care of the Airport Manager's office. This option shall automatically expire thirty (30) days after the failure of LESSEE to pay in advance any monthly option price, despite ability of Board to apply the deposit against said amount due. C. In the event any payment is not received by the Board by the first calendar day of the month in which due, interest will accrue upon each such payment at the rate of 1% per month until paid in full, which LESSEE agrees to pay in addition to the monthly option sum due. D. The lease rental rate as provided for above shall be subject to review and modification on every two year anniversary of this Lease and shall be set at the then current Aviation Rate. This amendment shall become effective October 1, 2008. Time is of the essence of this entire lease. Lease /YKM Airpark Amd #4 Ise #1 2 LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 -6185 - fax William Whee Ch ' man Les Fl e , Secretary STATE OF WASHINGTON County of Yakima 1 certify that I know or have satisfactory evidence that William Wheeler and Les Flue 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 Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date / �'() � By: Notary Pu ' Appointment Expires ttitIEIf fill I', a� �k'q J0 °J, Q e »° NOTE a' a 7 NN � }WASFt�� LeasefYKM Airpark Amd #4 Ise #1 3 LESSEE: YAKIMA AIRPARK, L.L.C. -1c- t7C" TOM Mc AHON Date ~ OI_A VESTAD Date STATE OF WASHINGTON County of Yakima I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: Cr —IG2 —ap Notary Public Appointment Expires���-d% STATE OF WASHINGTON County of Yakima tt%111: rrr11�� �V1 GA/1 NOTARY a S"'! PUBUC 3 r��%� °•.068µs. Zo ,. ,�o WAS ����� I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be her free and voluntary act for the uses and purposes mentioned in the instrument. Date: " I Notary Public ' Appointment Lease /YKM Airpark Arad #4 Ise #1 0 NOTARY _ e B11C I Q 2 W. 7G na ^nn:. 1 I ;ATE •E h:: °Fi i- PDST fl I .J ;ATr 1 j r t i G YAfiI, 1-1141" (+Ei +i 2..` CO l3ASe �A$P }Ihi i•- I 1 I rl i I I � E i 11 9 CF ` W E' 1 4 r,S' (jI 1� I' iF 1 � �- 11 I t I ri � ij � F'F)• a [ 111E �i 1 r RUNWAY 11GHT Rik' 1048.97 1 I +c 1046.87 1 T------ - - - - -- + , PRQYDR$D� PTIARR 6 j � I ; 1 I� I � F F 1 i F 1 1 FUTURE P PHASE 3 i i I I t I y 1 t I I I , , I r RUNWAY 11GHT Rik' 1048.97 1 I +c 1046.87 1 T------ - - - - -- + , PRQYDR$D� PTIARR 6 j � I ; 1 I� I � F F 1 ` ' 1 I I PROPOSED PHASE 3 ASM. i I. n.. I PROPOSED PHASE $ r ' t � I I I � IE.j: 7T gx14TENG �)• YHABB I 7� -� a ' u I � 1�-� i"J i _ c Y = � _ y C � 5e' i• l , F I t j �•�1 f R 131 "N ' � 3 � ' It I7 1 n:. -: I ZD f 16. N s %RRISTINO nun i,f% 1 C_ a a: a , ]1 i � a� � � s• x 4'• r TS > Yakima Airpark LfL C Exhibit "D" i 1 EF 1 I I � k I I RIM 1047.EE j €E 11)4F 3^ t i c IdPT+jOAl,, A tee .4 IV k I 1 1 I 1 I Jj I ■ I r I 4 L L.C�IS� L3i1[J/lJL7�IQ.i 1 i I I I I 1 E V It al i 1 I i Exhibit "D" pr nCbetween the ------ --- .— .— . -Yakim.a 'Air' � n- a-- W.AtlWerField and , _ _ - - - -_ _ _ — _�_ _ __ _ - -_— _ Yakimarpark, LLC. I "H Lease Area: if-06,116 sq.ft. Effective Date: 1Y , 2008 (NOTE - Exhibit `C' denotesp-option areas. Phase IV- reduced to 26,811 sq.ft.; . - i F 1 1 FUTURE P PHASE 3 i i I I t I y 1 t I I I , , I u I � 1�-� i"J i _ c Y = � _ y C � 5e' i• l , F I t j �•�1 f R 131 "N ' � 3 � ' It I7 1 n:. -: I ZD f 16. N s %RRISTINO nun i,f% 1 C_ a a: a , ]1 i � a� � � s• x 4'• r TS > Yakima Airpark LfL C Exhibit "D" i 1 EF 1 I I � k I I RIM 1047.EE j €E 11)4F 3^ t i c IdPT+jOAl,, A tee .4 IV k I 1 1 I 1 I Jj I ■ I r I 4 L L.C�IS� L3i1[J/lJL7�IQ.i 1 i I I I I 1 E V It al i 1 I i Exhibit "D" pr nCbetween the ------ --- .— .— . -Yakim.a 'Air' � n- a-- W.AtlWerField and , _ _ - - - -_ _ _ — _�_ _ __ _ - -_— _ Yakimarpark, LLC. I "H Lease Area: if-06,116 sq.ft. Effective Date: 1Y , 2008 (NOTE - Exhibit `C' denotesp-option areas. Phase IV- reduced to 26,811 sq.ft.; . - Yakima Airpark LfL C Exhibit "D" i 1 EF 1 I I � k I I RIM 1047.EE j €E 11)4F 3^ t i c IdPT+jOAl,, A tee .4 IV k I 1 1 I 1 I Jj I ■ I r I 4 L L.C�IS� L3i1[J/lJL7�IQ.i 1 i I I I I 1 E V It al i 1 I i Exhibit "D" pr nCbetween the ------ --- .— .— . -Yakim.a 'Air' � n- a-- W.AtlWerField and , _ _ - - - -_ _ _ — _�_ _ __ _ - -_— _ Yakimarpark, LLC. I "H Lease Area: if-06,116 sq.ft. Effective Date: 1Y , 2008 (NOTE - Exhibit `C' denotesp-option areas. Phase IV- reduced to 26,811 sq.ft.; . - AMENDMENT #5 TO LEASE AGREEMENT #1 YAKIMA AIRPARK, sLLC THIS LEASE, executed this I day of 1 J--201 0, between the YAKIMA AIR TERMINAL -- McALLISTER FIELD, an ages y of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WITNESSETH: WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982; and WHEREAS, LESSOR has approved property available for lease, and LESSEE desires to reserve the right to occupy and use or to reserve the right for future occupancy and use of 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: This is an Amendment to the Land Lease dated October 29, 2005 between the LESSOR and the LESSEE and to all existing Amendments currently in effect at the time of this Amendment. It replaces the existing Section 1. (Premises), Section 2. (Term), Section 4 (Rent), and Exhibit "D" with the new Sections and Exhibit shown below. 1. PREMISES: A. LESSEE hereby agrees to lease from LESSOR approximately 106,116 sq ft of land at the Yakima Air Terminal, said land depicted as "Leased Area A" on the drawing marked Exhibit "E" which replaces Exhibit "D ". B. LESSOR hereby grants to LESSEE an Option to lease approximately 26,811 sq ft of undeveloped land, said land depicted as "Option A" on the drawing marked Exhibit "E ". C. LESSOR hereby agrees to lease from LESSOR approximately 30,483 sq ft of undeveloped land, said land depicted as "Leased Area B" on the drawing marked Exhibit "E ". 2. TERM The tenancy created by this Lease for "Leased Area A" shall commence on November 1, 2005 and continue for a period of forty (40) years, and terminate on October 31, 2045 unless otherwise terminated as provided for herein. Lease/YKM Airpark Amd #5 Ise #1 The tenancy created by this Lease for "Leased Area B" shall commence on the effective date for Amendment #5 and shall end on the same date as the term for the "Leased Area A" leased property, including any extensions taken, unless otherwise terminated as provided for herein. Option A commenced on October 1, 2008 as noted in Amendment #4 to Lease #1. The term for Option A shall end on the same date as the term for the "Leased Area A" leased property, including any extensions taken. If LESSOR notifies LESSEE of its intent to lease the Option A property to a third party, LESSEE shall have a Right Of First Refusal ( "ROFR ") for the intended lease for a period of thirty (30) calendar days from notification. Upon waiver by LESSEE of ROM or upon expiration of the 30-day period, whichever occurs first, Option A shall automatically terminate. Option A shall automatically terminate after thirty (30) days if any option payment is not paid as agreed upon herein; this termination shall apply even if LESSOR applies LESSEE deposit funds against the delinquent amount. Until the property included in Option A is converted into a Lease between LESSOR and LESSEE, LESSEE is not allowed to use or modify said property. LESSEE shall have the option to extend the term for "Leased Area A" by one ten (10) year period (to wit, October 31, 2055), provided that LESSEE delivers to LESSOR not less than ninety (90) days before the expiration of the original term written notification of its intent to extend the term. 4. RENT. it -Hit 1511.9 y A. LESSEE promises and agrees to pay rent to LESSOR at the rate of $1,5 + UH Tax per month for the "Leased Area A" leased premises. This rent amount is to be paid in advance on or before the 10th day of each month. B. LESSEE promises and agrees to pay rent to LESSOR at the rate of $381.04 + UH Tax per month for the "Leased Area B" leased premises, This rent amount is to be paid in advance on or before the I Od' day of each month. 'fI- i_il tlb.;'a. C. LESSEE promises and agrees to pay to LESSOR at the rate of $33:5`9 per month for the option against the property designated as Option A. This option rate is based upon 10% of the Aviation Land Lease Rate, calculated on a monthly basis (10% x 26,811 x $0.15 f 12 = $33.51). This option payment shall be made in advance on or before the 1St day of each month. D. In the event any payment due per this Agreement is not received by the LESSOR on or before its due date, interest will accrue upon each such payment at the rate of 1 % per month until paid in full, which LESSEE agrees to pay in addition to the monthly sum due. Lease/YKM Airpark Amd #5 Ise #1 2 E. The lease rental rate and option rates as provided for above shall be subject to review and modification on every two -year anniversary of the original Lease (i.e., November 1, 2005) and shall be set at the current Aviation Rate. This amendment shall become effective on September 1, 2010. Except as modified herein, the original Lease Agreement and existing executed Amendments shall remain in full force and effect. Time is of the essence of this entire lease. Lease/YKM Airpark Amd #5 Ise #1 3 LESSOR: YAKIMA AIR TERMINAL a MCALLISTER FIELD 2400 W, Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 -6185 - fax. William Wheeler, Chairman t Don Baumb ch, Secretary STATE OF WASHINGTON County of Yakima I certify that t know or have satisfactory evidence that William Wheeler signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Chairman of the Board of the Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date Notary Public' Appointment Expires 01( STATE OF WASHINGTON °s,'C CAA County of Yakima �s = °a�;ia� §�� I certify that I know or have satisfactory evidence that Don Baumbach signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Secretary of the Board of the Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date By: Notary Public Appointment Expires�� ®d L.ease/YKM Alrpark Amd #5 Ise #1 SST y '0�i� co A Ahh }�I a iI �4 0— fill 0 h'jl�G1 �e��� LESSEE: YAKIMA AIRPARK, L.L.C. STATE OF WASHINGTON County of Yakima I certify that I know of have satisfactory instrument and acknowledged it to be his purposes mentioned in the instrument. Date:. I Notary Nbli6 Appointment Expires STATE OF WASHINGTON County of Yakima V- �Z - o/,o Date X- 4 Date evidence that Tom McMahon signed this free and voluntary act for the uses and I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. NORJ %M %3P E C AN Lease/YKM Airpark Amd #5 Ise #1 5 Exhibit "E" Sheet 1 of 2 — Drawing Lease/YKM Alrpark Amd #5 Ise #1 Exhibit "E" Sheet 2 of 2 — Legal Descriptions "Leased Area A" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0°15'15" West along the Easterly right of way line of South 21 St Avenue as dedicated thereon, 60.00 feet to the True Point of Beginning; thence North 89`23' East 383.00 feet; thence North 0 '37' West 76.00 feet; thence North 21903' West 112 .29 feet; thence North 0 '37' West 202.79 feet, thence South 89`23' West 211.85 feet; thence South 0037' East 234.02 feet; thence South 8923' West 131.00 feet to said Easterly right of way line of South 21 st Avenue; thence South 0°15'15" East, along said Eas terly right of way line, 150.00 feet to the True Point of Beginning. Containing 106,355 square feet, 2.44 acres. "Leased Area B" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0°15'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 60.00 feet; thence North 8923' East 383.00 feet; thence North 0�37' West 76.00 feet; thence North 21 9}3' West 112.29 feet; thence North OnT W est 202.79 feet; thence South 8923' West 211.85 feet to the True Point of Beginn ing; thence South 0 '37' East 234.02 feet; thence South 8923' West 131.00 feet to said Easterly right of way line of South 21stAvenue; thence North Oi5'15" West along said Easterly right of way line extended 234.03 feet to a point bearing south 8923' West from the True Point of Beginning thence North 8923' East 129.52 feet to the True Po int of Beginning. Containing 30,483 square feet, 0.70 acres. "Option A" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0°15'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 210.00 feet; thence North 8923' East 131.00 feet; then No rth 0`37' West 234.02 feet; thence North 8923' East 5.88 feet to the True Point of Beginning; thence North 0 '37' West 134.00 feet; thence North 8923' East 200.08 feet; thence South 0037' East 134.00 feet; then South 8923' West 200.08 feet to the True Poin t of Beginning, Containing 26,811 square feet, 0.62 acres. Lease/YKM AUrpark Amd #5 tse #1 7 AMENDMENT #6 TO LEASE AGREEMENT #1 YAKIMA AIRPARK, LLC THIS LEASE, executed this � day of�n ar , 2012, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, an agency of e City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WITNESSETH: WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982; and, WHEREAS, LESSOR has approved property available for lease, and LESSEE desires to reserve the right to occupy and use or to reserve the right for future occupancy and use of 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: This is an Amendment to the Land Lease dated October 29, 2005, between the LESSOR and the LESSEE. 1. PREMISES: Add. LESSOR hereby grants to LESSEE Option to lease approximately 77,850 sq ft of undeveloped land, said land depicted as "Option B" on the drawing marked Exhibit "E ". 2. TERM: Add. Option B is effective February 1, 2012, as noted. The term for Option B shall end on the same date as the term for the "Leased Area A" leased property, including any extensions taken. If LESSOR notifies LESSEE of its intent to lease the Option A property to a third party, LESSEE shall have a Right of First Refusal ( "ROFR ") for the intended lease for a period of thirty (30) calendar days from notification. Upon waiver by LESSEE of ROFR or upon expiration of the 30 -day period, whichever occurs first, Option A shall automatically terminate. Option B shall automatically terminate after thirty (30) days if any option payment is not paid as agreed upon herein; this termination shall apply even if LESSOR applies LESSEE deposit funds against the delinquent amount. Until the property included in Option B is converted into a Lease between LESSOR and LESSEE, LESSEE is not allowed to use or modify said property. Lease/YKM Airpark Amd #6 !se #1 4. RENT: Add. LESSEE promises and agrees to pay to LESSOR at the rate of $116.78 per month for the option against the property designated as Option B. This option rate is based upon 10% of the Aviation Land Lease Rate, calculated on a monthly basis (10% x 77,850 x $0,18 / 12 = $116.78). This option payment shall be made in advance on or before the 1 st day of each month. This amendment shall become effective on February 1, 2012. Except as modified herein, the original Lease Agreement and existing executed Amendments shall remain in full force and effect. Time is of the essence of this entire lease. Nothing Follows. LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 -6185 - fax William Wheeler, Chairman Don Baumba h, Secretary STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that William instrument, on oath stated that he was authorized to execute acknowledged it as the Chairman of the Board of the Yakima Air Field to be the free and voluntary act of such party for the mentioned in the instrument. Date 2— By: Notary Publi / / J Appointment Expires STATE OF WASHINGTON County of Yakima Wheeler signed this the instrument and Terminal - McAllister uses and purposes / 41 0 -`1'y0 pUBLkC h , -71 . •� p AS O I certify that I know or have satisfactory evidence that Don Baumbach signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Secretary of the Board of the Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date �2- By: 1111,1 # #lrrrr // /� Notary Public ,JO O .. Appointment Expires — % —� ��•c�SSio F +A PUSUG rWAS��,. Lease/YKM Airpark Amd #6 Ise #9 3 LESSEE: YAKIMA AIRPARK, L.L.C. STATE OF WASHINGTON County of Yakima Date /; X.3,_�rs /,Z Date I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. *v��e lJO ►il�,�� Date: ��" � � `� `�'•'t,. �., rq��.,� A- $mid 1ON• 0�: By: �. Notg4♦r,• C� Notary Public /! "#y:: _ Appointment gyres .t p•., €YASN� OPI`N, STATE OF WASHINGTON County of Yakima I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: ° I ej►tjIIt fill,, Notary Public I • "OrAq,, �• Appointment Expires =-�. �►$ o' ;, C1 ' � of . •���,�` WASH��ti``• ►/►lf111f10 LeaseNKM Airpark Amd #6 Ise #1 4 Exhibit "E" Sheet 1 of 3 — Drawing LeaseNKM Airpark Amd #6 Ise #1 Exhibit "E" Sheet 2 of 3 - Drawing Lease/YKM Airpark Amd #6 Ise #1 Exhibit "E" Sheet 3 of 3 -- Legal Descriptions "Leased Area A" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 015'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 60.00 feet to the True Point of Beginning; thence North 89 °23' East 383.00 feet; thence North 0 °37' West 76.00 feet; thence North 21 °03' West 112.29 feet; thence North 0 °37' West 202.79 feet, thence South 89 °23' West 211.85 feet; thence South 0 °37' East 234.02 feet; thence South.89 °23' West 131.00 feet to said Easterly right of way line of South 21St Avenue; thence South 0 °15'15" East, along said Easterly right of way line, 150.00 feet to the True Point of Beginning. Containing 1055 square feet, 2.44 acres. to i "Leased Area B" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 °15'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 60.00 feet; thence North 89 °23' East 383.00 feet; thence North 0 °37' West 76.00 feet, thence North 21 °03' West 112.29 feet; thence North 0 037' West 202.79 feet; thence South 89 °23' West 211.85 feet to the True Point of Beginning; thence South 0 °37' East 234.02 feet; thence South 89 °23' West 131.00 feet to said Easterly right of way line of South 21St Avenue; thence North 0 °15'15` West along said Easterly right of way line extended 234.03 feet to a point bearing south 89 °23' West from the True Point of Beginning; thence North 89 °23' East 129.52 feet to the True Point of Beginning. Containing 30,483 square feet, 0.70 acres. "Option A" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 015'15` West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 210.00 feet; thence North 89 °23' East 131.00 feet; then North 0 °37' West 234.02 feet; thence North 89 °23' East 5.88 feet to the True Point of Beginning; thence North 0 °37' West 134.00 feet; thence North 89 °23' East 200.08 feet; thence South 0 °37' East 134.00 feet; then South 89 °23' West 200.08 feet to the True Point of Beginning. Containing 26,811 square feet, 0.62 acres. LeaseNKM Airpark Amd #6 Ise #1 7 "Option B" That portion of the southeast quarter of the northwest quarter and the southwest quarter of the northeast quarter of section 2, township 12 north, range 18 east, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 89 °22'35" East along the North line thereof 655.01; thence North 0 015'15" West 30.26 feet the true point of beginning; thence South 89 °44'45" west 150.00 feet; thence North 0 "1515" West 519.00 feet; thence North 89 044'45" east 150.00 feet; thence South 0 015'15" East 519.00 feet to the true point of beginning. Containing 77,850 square feet, 1.79 acres. leaseNKM Airpark Amd #6 Ise #1 8 AMENDMENT V TO LEASE AGREEMENT #1 YAKIMA AIRPARK, LLC THIS LEASE, executed this 5 day of or i-c , 2012, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, an agency of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WITNESSETH: WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982; and, WHEREAS, LESSOR has approved property available for lease, and LESSEE desires to reserve the right to occupy and use or to reserve the right for future occupancy and use of 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: This is an Amendment to the Land Lease dated October 29, 2005, between the LESSOR and the LESSEE. 1. PREMISES: LESSOR hereby grants LESSE convert Option A to lease area "C" approximately 26,811 sq ft ndeveloped land, said land depicted as "lease area C" on the drawinafrfarked Exhibit "E". 2. TERM: Lease area "C" is effective March 1, 2012, as noted. The term for Lease Area "C" shall end on the same date as the term for the "Leased Area's A & B ", including any extensions taken. If LESSOR notifies LESSEE of its intent to lease Lease Area "C" property to a third party, LESSEE shall have a Right of First Refusal ( "ROFR ") for the intended lease for a period of thirty (30) calendar days from notification. Upon waiver by LESSEE of ROFR or upon expiration of the 30- day period, whichever occurs first, Lease area "C" shall automatically terminate. Lease Area "C" shall automatically terminate after thirty (30) days if payment is not paid as agreed upon herein; this termination shall apply even if LESSOR applies LESSEE deposit funds against the delinquent amount. Lease/YKM Airpark Amd #7 Ise #1 4. RENT: A. LESSEE promises and agrees to pay rent to LESSOR at the rate of $1,591.74 + L1H Tax per month for the "Leased Area A" leased premises. This rent amount is to be paid in advance on or before the 1st day of each month. B. LESSEE promises and agrees to pay rent to LESSOR at the rate of $457.25 + UH Tax per month for the "Leased Area B" leased premises. This rent amount is to be paid in advance on or before the 1st day of each month. C. LESSEE promises and agrees to pay to LESSOR at the rate of $402.17 + LfH Tax per month for the "Leased Area C" leased premises. This rent amount is to be paid in advance on or before the 1St day of each month. D. LESSEE promises and agrees to pay to LESSOR at the rate of $116.78 per month for the option against the property designated as Option B. This option rate is based upon 10% of the Aviation Land Lease Rate, calculated on a monthly basis (10% x 77,850 x $0.18 f 12 = $116.78). E. In the event any payment due per this Agreement is not received by the LESSOR on or before its due date, interest will accrue upon each such payment at the rate of I% per month until paid in full, which LESSEE agrees to pay in addition to the monthly sum due. This amendment shall become effective on March 1, 2012. Except as modified herein, the original Lease Agreement and existing executed Amendments shall remain in full force and effect. Time is of the essence of this entire lease. LeaseNKM Airpark Amd #7 Ise #1 2 LESSOR: YAKIMA AIR TERMINAL - McAL.LISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 -6185 - fax William Wheeler, Chairman Don Baumb c , Secretary STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that William Wheeler signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Chairman of the Board of the Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date —"f / �— *.����1 j �Y���'''r. Notary Publi r , 0 U N �, Appointment Expires < = ca: 0.x Y PUBLIC : �= STATE OF WASHINGTON ''�0'WASN�;,�`�� County of Yakima I certify that I know or have satisfactory evidence that Don Baumbach signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Secretary of the Board of the Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date _ J'-1 By: Notary Public Appointment Expires 01 €I1 €1iffIr SO Yq�'�.. ��` •'SSioiv 0" PUBLIC INAS��i ' /Ianl s 100 LeaseNKM Airpark Amd #7 Ise #1 3 LESSEE: YAKIMA AIRPARK, L.L.C. STATE OF WASHINGTON County of Yakima 2-2.7-012, Date � ;7- � Date I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument, Date: �- �— By: J Notary Publ� Appointment ires //- / ~ �--� STATE OF WASHINGTON County of Yakima �rrrt4� r�trr���< OG�,, NorAAy:__ .. y'•, fL C b .Z I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: By- Notary Public Appointment Expires I f r �l- ,i�.,�.t.JO . *.•� ��SStaN�OL'�. :0 100TAP?k � ? EL{G h : z , Lease/YKM Airpark Amd #7 Ise #1 4 Exhibit "E" Sheet 1 of 2 — Drawing Exhibit "E" Legal Descriptions "Leased Area A" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 °15'15" West along the Easterly right of way lime of South 21St Avenue as dedicated thereon, 60.00 feet to the True Point of Beginning; thence North 89 °23' East 383.00 feet; thence North 0 °37' West 76.00 feet; thence North 21 °03' West 112.29 feet; thence North 0 °37' West 202.79 feet, thence South 89 °23' West 211.85 feet; thence South 0 037' East 234.02 feet; thence South 89 °23' West 131.00 feet to said Easterly right of way line of South 21St Avenue; thence South 0 015'15" East, along said Easterly right of way line, 150.00 feet to the True Point of Beginning. Containing 106,116 square feet, 2.44 acres. .easeNKM Airpark Amd #7 Ise #1 5 "Leased Area B" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 °15'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 60.00 feet; thence North 89 °23' East 383.00 feet; thence North 0 °37' West 76.00 feet; thence North 21 °03' West 112.29 feet; thence North 0 °37' West 202.79 feet; thence South 89 °23' West 211.85 feet to the True Point of Beginning; thence South 0 °37' East 234.02 feet; thence South 89 °23' West 131.00 feet to said Easterly right of way line of South 21St Avenue; thence North 0 °15'15" West along said Easterly right of way line extended 234.03 feet to a point bearing south 89 °23' West from the True Point of Beginning; thence North 89 °23' East 129.52 feet to the True Point of Beginning. Containing 30,483 square feet, 0.70 acres. "Lease Area C" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 °15'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 210.00 feet; thence North 89 °23' East 131.00 feet; then North 0 °37' West 234.02 feet; thence North 89 °23' East 5.88 feet to the True Point of Beginning; thence North 0 °37' West 134.00 feet, thence North 89 °23' East 200.08 feet; thence South 0 037' East 134.00 feet; then South 89 °23' West 200.08 feet to the True Point of Beginning. Containing 26,811 square feet, 0.62 acres. "Option B" That portion of the southeast quarter of the northwest quarter and the southwest quarter of the northeast quarter of section 2, township 12 north, range 18 east, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 89 022'35" East along the North line thereof 655.01; thence North 0 °15'15" West 30.26 feet the true point of beginning; thence South 89 °44'45" west 150.00 feet; thence North 0 °15'15" West 519.00 feet; thence North 89 °44'45" east 150.00 feet; thence South 0 °15'15" East 519.00 feet to the true point of beginning. Containing 77,850 square feet, 1.79 acres. LeaseNKM Airpark Amd #7 Ise #1 6 AMENDMENT #8 TO LEASE AGREEMENT #1 YAKIMA AIRPARK, LLC THIS LEASE, executed this /7day of ' 61 J- C, , 2012, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, an agency of the City of Yakima and County of Yakima, Washington, hereinafter referred to as "LESSOR," and YAKIMA AIRPARK, L.L.C., a Limited Liability Corporation in Washington State, hereinafter referred to as "LESSEE." WITNE SSE TH: WHEREAS, LESSOR operates the Yakima Air Terminal — McAllister Field, under the authority granted by the Joint Operations Agreement signed by the City and County of Yakima, July 1, 1982; and, WHEREAS, LESSOR has approved property available for lease, and LESSEE desires to reserve the right to occupy and use or to reserve the right for future occupancy and use of 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; This is an Amendment to the Land Lease dated October 29, 2005, between the LESSOR and the LESSEE. 1. PREMISES: LESSOR hereby grants LESSEE to split lease area "C" into two (2) separate parcels approximately 23,924 sq ft C -1 and 10,480 sq ft C -2 of undeveloped land, said land depicted as "lease area C -1 and C -2" on the drawing marked Exhibit "E" 2. TERM: Lease area "Z�i and C -2" is effective April 1, 2012, as noted. The term for Lease Area "C -1 and C -2" shall end on the same date as the term for the "Leased Area's A & B ", including any extensions taken. If LESSOR notifies LESSEE of its intent to lease Lease Area °C" property to a third party, LESSEE shall have a Right of First Refusal ( "ROFR ") for the intended lease for a period of thirty (30) calendar days from notification. Upon waiver by LESSEE of ROFR or upon expiration of the 30 -day period, whichever occurs first, Lease area "C" shall automatically terminate. Lease Area "C" shall automatically terminate after thirty (30) days if payment is not paid as agreed upon herein; this termination shall apply even if LESSOR applies LESSEE deposit funds against the delinquent amount. Lease /YKM Airpark Amd #8 Ise #1 4. RENT: A. LESSEE promises and agrees to pay rent to LESSOR at the rate of $1,591.74 + L/H Tax per month for the "Leased Area A" leased premises. This rent amount is to be paid in advance on or before the 18t day of each month. B. LESSEE promises and agrees to pay rent to LESSOR at the rate of $457.25 + UH Tax per month for the "Leased Area B" leased premises. This rent amount is to be paid in advance on or before the 1St day of each month. C. LESSEE promises and agrees to pay to LESSOR at rate of $358,86 + UH ' µ Tax per month for the "Leased Area C -1" leased emises. This rent amount is to be paid in advance on or before the 1st d of each month. D. LESSEE promises and agrees to pay to LESSOR at the rate of $157.20 + L/H Tax per month for the "Leased Area C -2" leased premises. This rent amount is to be paid in advance on or before the 1st day of each month. E. LESSEE promises and agrees to pay to LESSOR at the rate of $116.78 per month for the option against the property designated as Option B. This option rate is based upon 10% of the Aviation Land Lease Rate, calculated on a monthly basis (10% x 77,850 x $0.18 / 12 = $116.78). F. In the event any payment due per this Agreement is not received by the LESSOR on or before its due date, interest will accrue upon each such payment at the rate of 1 % per month until paid in full, which LESSEE agrees to pay in addition to the monthly sum due. This amendment shall become effective on April 1, 2012. Except as modified herein, the original Lease Agreement and existing executed Amendments shall remain in full force and effect. Time is of the essence of this entire lease. LeaseNKM Airpark Amd #8 Ise #1 2 LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2400 W. Washington Avenue Yakima, Washington 98903 (509) 575 -6149 - phone (509) 575 -6185 - fax CVOK 19- -C -rates STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence that signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Chairman of the Board of the Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date 9-/ By: Notary Pubii f Appointment Expired / �S STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence instrument, on oath stated that he was authorized acknowledged it as the Secretary of the Board of the 01111 r Y ill" . ` .. 0��ir µaTAay n, :r -S CA 0F WAS�,`�• f 11111 i 10\ that signed this to execute the instrument and Yakima Air Terminal - McAllister Field to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date By: Notary Pub is Appointment Expires // / - t-S` •`��� ��5sioi��O�'•. # ♦o W NbTAgy w N UBLtG l SZtiXl ER Oi -'Q> WA LeaseNKM Airpark Amd #8 Ise #1 3 LESSEE: YAKIMA AIRPARK, L.L.C. m McMahon Date Ola Vestad Date STATE OF WASHINGTON County of Yakima I certify that I know of have satisfactory evidence that Tom McMahon signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: .- -- �L 30 Y,14���i, By: �'Ug NUnk � .� Notary Publ r� �,: Appointment pires Q STATE OF WASHINGTON County of Yakima I certify that I know of have satisfactory evidence that Ola Vestad signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date: 3 —.,) C -/ ;.. By_ I 0111 �Or,r1'��i Notary Public �. • • • • Y� ''� Appointment Expires / �� �����ss�aN��O-"_ :,�'J►:��BLic �• LeaseNKM Airpark Amd #S Ise #1 4 Exhibit "Ell Sheet 1 of 2 — Drawing LeaselYKM Airpark Amd *8 Ise #1 5 Exhibit: "E" Legal Descriptions "Leased Area A" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 015'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 60.00 feet to the True Point of Beginning; thence North 89 °23' East 383.00 feet; thence North 0 °37' West 76.00 feet; thence North 21 °03' West 112.29 feet; thence North 0 °37' West 202.79 feet, thence South 89 °23' West 211.85 feet; thence South 0 037' East 234.02 feet; thence South 89 °23` West 131.00 feet to said Easterly right of way line of South 218t Avenue; thence South 0 °15'15" East, along said Easterly right of way line, 150.00 feet to the True Point of Beginning. Containing 106,116 square feet, 2.44 acres. „Leased Area B» That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 °15'15" West along the Easterly right of way line of South 21St Avenue as dedicated thereon, 60.00 feet; thence North 89 °23' East 383.00 feet; thence North 0 °37' West 76.00 feet; thence North 21 °03' West 112.29 feet; thence North 0 °37' West 202.79 feet; thence South 89 °23' West 211.85 feet to the True Point of Beginning; thence South 0 °37' East 234.02 feet; thence South 89 °23' West 131.00 feet to said Easterly right of way line of South 21St Avenue; thence North 0 °15'15" West along said Easterly right of way line extended 234.03 feet to a point bearing south 89 °23' West from the True Point of Beginning; thence North 89 023' East 129.52 feet to the True Point of Beginning. Containing 30,483 square feet, 0.70 acres. "Lease Area C" That portion of the Southeast quarter of the Northwest quarter of Section 2, Township 12 North, Range 18 East, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 0 °15'15" West along the Easterly right of way fine of South 21St Avenue as dedicated thereon, 210.00 feet; thence North 89 °23' East 131.00 feet; then North 0 °37' West 234.02 feet; thence North 89 °23' East 5.88 feet to the True Point of Beginning; thence North 0 °37' West 134.00 feet; thence North 89 °23' East 200.08 feet; thence South 0 037' East 134.00 feet; then South 89 °23' West 200.08 feet to the True Point of Beginning. .ease/YKM Airpark Amd #8 Ise #1 6 Containing 26,811 square feet, 0.62 acres. "Option B" That portion of the southeast quarter of the northwest quarter and the southwest quarter of the northeast quarter of section 2, township 12 north, range 18 east, W.M. described as follows: Beginning at the Northwest corner of Lot 1 of Short Plat recorded under Auditor's File No. 7137496, records of Yakima County, Washington; thence North 89 °22'35" East along the North line thereof 655.01; thence North 0 015'15" West 30.26 feet the true point of beginning; thence South 89 °44'45" west 150.00 feet; thence North 0 °1515" West 519.00 feet; thence North 89 °44'45" east 150.00 feet; thence South 0 °15'15" East 519.00 feet to the true point of beginning. Containing 77,850 square feet, 1,79 acres. LeaseNKM Airpark Amd ##8 Ise #1