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HomeMy WebLinkAboutR-2013-112 Lease Agreement with T.J. and Linda Davis dba Shorty's Sweets and Treats and CakesRESOLUTION NO. R-2013-112 A RESOLUTION authorizing the City Manager to execute a Lease Agreement with T.J and Linda Davis dba Shortys Sweets and Treats and Cakes WHEREAS, City owns and operates Yakima Air Terminal in accordance with applicable Federal, State and Local regulations, and WHEREAS, the City Council has determined that it is in the best interest of the City to enter into a Lease Agreement T.J and Linda Davis dba Shortys Sweets and Treats and Cakes for, therefore; BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Manager is hereby authorized to execute the attached and incorporated Lease Agreement with T.J and Linda Davis dba Shortys Sweets and Treats and Cakes ADOPTED BY THE CITY COUNCIL this 20 day of August, 2013. ATTEST. Sonya I.: ar Tee, City Clerk Micah awle Mayor AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD T.J. AND LINDA DAVIS dba SHORTYS SWEETS TREATS AND CAKES THIS LEASE, executed this Z2 day ofa , 2013, between the YAKIMA AIR TERMINAL - McALLISTER FIELD, a depart ent of the City of Yakima, Washington, hereinafter referred to as "LESSOR," and T.J. AND LINDA DAVIS, a married couple dba SHORTYS SWEETS TREATS AND CAKES, hereinafter referred to as "LESSEE": WITNESSETH: WHEREAS, LESSOR operates the Yakima Air Terminal - McAllister Field, hereinafter referred to as "Airport," and, WHEREAS, LESSOR has approved property available for lease as provided by this Lease, and LESSEE desires to occupy and use such property in accordance with this Lease, NOW THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the parties agree as follows: 1. PREMISES: LESSOR does hereby lease and let unto LESSEE, and LESSEE does hereby hire and take from LESSOR, approximately 134 sq ft of space labeled Suite #9 in the Airport Terminal Building in the City of Yakima, Yakima County, Washington, as that property is depicted on the drawing marked Exhibit "A", attached hereto and by this reference made a part hereof, together with the right of ingress to and egress from the leased premises over and across common public access ways. The LESSOR provides the LESSEE one parking spot north of the terminal building and two parking spots in the cell phone lot provided customers occupancy of each spot doesn't exceed 30 minutes. 2. TERM: The tenancy created by this Lease shall commence on September 1, 2013, and continue for a period of five (5) years, and terminate on August 31, 2018, unless otherwise terminated as provided for herein. LESSEE shall have the option to extend the term by one five (5) year period (to wit, August 31, 2023; provided that LESSEE delivers to LESSOR not less than thirty (30) days before August 31, 2018, written notification of LESSEE's intent to extend the term. Lease: Davis 1 3. RENT: LESSEE promises and agrees to pay the following lease payments/fees on or before the 15th day of each month. Payments shall be made to the City of Yakima, Accounts Receivable, 129 N. 2nd St, Yakima, WA 98901. Any rental payments/fees past due shall accrue a delinquency charge of twelve percent (12%) per annum. 1. Espresso Bar - $150/month (first two months rent free upon initiation of lease) 2. Concession Fee — Ten percent (10%) of the Gross Revenues for the preceding calendar month starting eighteen (18) months after initiation of lease. The lease rental rate provided for above shall be subject to review, modification and/or reset whenever the Airport Rates & Charges are set/reset by the City of Yakima. The rate per square foot shall be set at the then current First Floor Terminal Rate as published in the Airport Rates & Charges. 4. 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. This deposit shall be adjusted from time to time to reflect adjustments in the rent and/or leasehold tax. 5. TAXES AND LIENS: In addition to the rent reserved 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 tax, 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. Lease: Davis 2 6. USE: LESSEE agrees to use the leased premises as an Espresso Bar and to provide other related miscellaneous services as approved by Airport Manager. Hours of operation shall be approved in writing by the Airport Manager. Failure to adhere to approved hours shall be basis for termination. The use of the property for any other purpose shall be deemed a material breach of this Lease constituting grounds for its termination. This provision shall apply to any assignment of this Lease, whether voluntary or due to mortgage foreclosure. Failure of the assignee to comply shall be reasonable cause for LESSOR to withhold approval or consent to assignment and/or to terminate the lease. 7. UTILITIES: LESSOR shall supply all power, water and sewer without additional cost to the LESSEE. 8. JANITORIAL: LESSEE shall furnish all janitorial services at LESSEE's expense. 9. HOURS OF OPERATION: LESSEE agrees to maintain minimum hours of operation. The normal business hours shall be Monday thru Sunday 4:30am-7:OOpm. 10. 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. 11. MAINTENANCE: LESSEE agrees to keep and maintain the premises in at least as good a condition as the condition of the premises at the beginning of LESSEE's occupancy, normal wear and tear excepted. LESSEE further agrees that LESSEE shall be responsible to maintain all of the leased area, trade fixtures and other improvements, existing and future, in an attractive, sanitary and usable manner as reasonably determined by the Airport Manager and consistent with other properties at the Airport. Lease: Davis 3 12. SIGNS: No signs or other advertising matter or devices shall be used or displayed in or about the leased premises or upon any portion of the Airport without the prior written approval of the Airport Manager and in conformity with any applicable local codes, which approval shall not be unreasonably withheld. 13. IMPROVEMENTS: LESSEE agrees to do all redecoration, alterations, upkeep, repair and replacement of the leased premises and facilities therein at LESSEE's expense. All redecoration, alterations, trade fixtures and improvements to the leased premises by LESSEE shall conform to applicable construction codes, and LESSEE shall procure all building and other permits therefor. All redecoration, alterations, trade fixtures and improvements shall be designed with a view toward aesthetic considerations and installation shall not commence until plans and specifications therefor 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 LESSEE's submission in writing to the Airport Manager if no response has been received by LESSEE. 14. REVERSION OF IMPROVEMENTS: Upon expiration or termination of the tenancy for any reason, all construction and improvements on the leased premises shall immediately revert to LESSOR, except for trade fixtures. Prior to the expiration of this Lease, LESSEE shall remove all such trade fixtures and repair any damage to the premises caused by removal of trade fixtures to the reasonable satisfaction of the Airport Manager. Fixtures not removed within thirty (30) days after lease termination shall become the property of the LESSOR unless other arrangements have been previously approved in writing by the Airport Manager. LESSEE shall, as additional consideration for grant of this Lease, insure that all liens and encumbrances against said improvements and structures except those created or suffered by LESSOR, whether consensual or involuntary, shall be paid, discharged or satisfied prior to time for reversion thereof to LESSOR; and, in any event, the parties acknowledge that LESSOR shall not by virtue of termination of the leasehold interest nor reversion of the structures or other improvements be liable for any debt or encumbrance associated therewith. 15. LESSOR'S OPTION TO PURCHASE: LESSEE shall notify LESSOR in writing in the event LESSEE intends to sell any leasehold improvement(s) to a third party, which notice shall contain a copy of the contract for such sale binding the parties thereto, except for the right of LESSOR to Lease: Davis 4 exercise this option, discounted by the LESSOR'S reversionary interest in the premises. For a period of thirty (30) days after its receipt of such notice, LESSOR shall have the first right and option to buy the improvement(s) on the same terms and conditions as the intended sale. 16. REGULATIONS: LESSEE agrees to comply with all laws, ordinances, rules, regulations and policies of all governmental authorities having jurisdiction over the Airport, including LESSOR, as such laws, ordinances, rules, regulations and policies apply to the use and operation of Airport property, facilities and operations as those laws, ordinances, rules, regulations and policies now exist or may hereafter become effective, including policies adopted by LESSOR. 17. SUBLETTING: LESSEE shall not sublet the lease premises without the prior written approval of LESSOR. Such sublet shall be in conformance with all applicable Airport, 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 sublet by LESSOR shall not be construed to be a consent to any subsequent sublet. 18. ASSIGNMENT LESSEE shall not assign this Lease without the prior written approval of LESSOR. 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. 19. MISCELLANEOUS PROVISIONS: A. The parties agree that LESSOR, through its Airport Manager or other person authorized by the Airport Manager, may enter upon the leased premises at any reasonable time to make such inspections as LESSOR may deem necessary to the proper enforcement of any term, provision or condition of this Lease. No such entry Lease: Davis 5 or inspection by LESSOR is required by this provision, and the failure of LESSOR to enter and make inspection shall not alter the relationship of the parties and their respective rights and duties provided by this Lease. LESSEE shall be granted the right of quiet enjoyment. B. LESSOR may further develop or improve Airport property and facilities, regardless of the desire or views of LESSEE regarding any such development or improvement, and without interference or hindrance on the part of LESSEE and without liability to LESSEE, provided the operations of the LESSEE are not unreasonably interrupted. C. LESSOR reserves the right, but shall not be obligated to LESSEE, to maintain and keep in repair the landing area of the Airport and all publicly owned facilities of the Airport, together with the right to direct and control all activities of LESSEE in that regard. D. LESSOR reserves the right to take any action necessary or desirable by LESSOR to protect the operations of the Airport against obstruction, 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. 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 the provisions of any existing or future agreement between LESSOR and the United States of America relative to the operation or maintenance of the Airport, the execution of which has been or may be required as a condition to the expenditure of federal funds for the development of the Airport. G. If the leased premises or any interest therein is taken as a result of the exercise of the right of eminent domain, this Lease shall terminate as to such portion as may be taken. If the portion taken does not feasibly permit the continuation of the operation of the facility by LESSEE, LESSEE shall have the right to terminate this Lease. Such termination shall be effective as of the date LESSEE's operations cease. LESSEE shall be entitled to a portion of the award representing its interest in the premises. LESSOR shall be entitled to the remainder of the award. Lease: Davis 6 20. LESSOR REPRESENTATIONS: A. As of the date hereof, there are no laws, regulations, rules, or polices adopted or approved, or under consideration for adoption or approval, by the Airport, City or County of Yakima, which would prohibit LESSEE's intended use and business activities on the premises. B. As of the date hereof, to the best of the LESSOR's knowledge, there are no laws, regulations, rules or policies adopted and in effect or under consideration by any other federal, state, county, city or other governmental body which would prohibit LESSEE's intended use and business activities on the premises. C. As of the date hereof, the premises are free and clear of all liens and encumbrances of whatever kind or nature, and there are no claims, suits or actions, whether actual or threatened, which will or could result in any such liens or encumbrances or other impairments, restrictions, or prohibitions on LESSEE's use of the premises. D. As of the date hereof, LESSOR has the full power and authority to enter into this Lease and to fully comply with all of its terms and provisions, and this Lease will be valid and binding against LESSOR upon execution by the Airport Board. 21. INDEMNITY/DUTY TO DEFEND: A. At no expense to LESSOR, LESSEE shall defend against and indemnify fully and save harmless the Yakima Air Terminal - McAllister Field and its employees, the City of Yakima and its elected and appointed officials, employees and agents, from any and all liability, damages, suits, claims, actions, judgements or decrees, made against the Yakima Air Terminal - McAllister Field and its employees, the City of Yakima or its 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 of LESSEE, its servants, employees, agents, invitees, independent contractors or any other person acting for or 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 Lease: Davis 7 same to the extent of its interest. B. LESSEE agrees to reimburse LESSOR for any damage to the premises caused by the occupancy of LESSEE, its employees, agents, servants, invitees, independent contractors or any other person acting on behalf of LESSEE or under its direction. C. 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. D. LESSEE shall keep and hold the Yakima Air Terminal - McAllister Field and its employees, the City of Yakima, its 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. 43.21 C; 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. 22. INSURANCE: LESSEE shall file with LESSOR a certificate of insurance, or other proof of insurance acceptable to LESSOR, evidencing an insurance policy with the City 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. 2. Tenant legal liability insurance coverage in an amount of not less than $100,000. Lease: Davis 8 Not less than 30 days written notice shall 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) admitted in the State of Washington, or other such carriers as shall be acceptable to LESSOR, and having a minimum A.M. BEST rating of A -VII. 23. DAMAGE OR DESTRUCTION: A. In the event the construction in accordance with SECTION 13 - IMPROVEMENTS herein, or improvements thereto, are partially or totally damaged by fire or other casualty, the LESSEE may repair or replace the same at its own expense with due diligence. 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, LESSOR may either accept ownership of the improvements or require LESSEE to remove the improvements and restore the Premises to a condition satisfactory to the LESSOR. The insurance proceeds shall be used for such restoration and the balance divided between the LESSOR and LESSEE as their interest bear in accordance with the depreciation schedule. LESSOR shall notify LESSEE of its intent within thirty (30) days of receipt of LESSEE's notification. If LESSOR elects to have LESSEE remove the improvements, LESSEE shall have sixty (60) days to do so. 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. 24. DEFAULT: A. It is agreed that the full and prompt performance of the terms and conditions of this Lease is of the essence, and shall LESSEE be in default of any of the same and such default has continued for thirty (30) days (except three (3) days notice for Lease: Davis 9 default in payment of rent) after receipt of written notice by LESSOR setting forth the particular default claimed, this Lease shall at the option of LESSOR, be forfeited and in such event it is expressly agreed that LESSOR may enforce such forfeiture pursuant to the unlawful detainer statutes of the State of Washington, and, LESSEE hereby waives all defenses as to the non -applicability of such statutes. It is further agreed that after receipt of notices and as an additional condition to avoid forfeiture, LESSEE shall pay LESSOR's costs and expenses, including attorney's fees, for the preparation and service of such notice. Nothing contained 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, at LESSOR's sole discretion 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 ata 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. 25. TERMINATION AND FORFEITURE: A. The failure by LESSEE to pay rent/fees 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 default or otherwise stating accurately the manner in which LESSEE fails or has failed to comply with this Lease. LESSEE shall fully comply with this Lease in the manner specified in the notice within thirty (30) days (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 and 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, or as otherwise required by RCW 59.12. LESSEE's obligation to pay the remainder of rents due hereunder shall abate only to the extent rental income is received from a succeeding tenant, if at all. B. Upon termination of this Lease, LESSEE shall peaceably and quietly vacate the Lease: Davis 10 premises occupied by LESSEE and shall restore the premises to LESSOR in the same condition as when originally occupied, normal wear and tear excepted. If LESSEE fails to remove its personal property and effects upon the termination of this Lease for any cause, LESSOR shall have the right to remove and store all of said property and effects at the expense of LESSEE. 26. INSOLVENCY: In the event LESSEE is declared bankrupt by a court of competent jurisdiction or in the event LESSEE makes an assignment for the benefit of creditors, or if a receiver otherwise is appointed for LESSEE, or in the event LESSEE's leasehold estate is subjected to execution to satisfy any judgement against LESSEE, then in that event LESSOR may immediately or at any time thereafter without notice or demand enter into and upon the 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. 27. 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. 28. 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. Lease: Davis 11 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 participate in the performance of leases as defined in 49 CFR Section 23.5. Consequently, this Lease is subject to 49 CFR Part 23 as applicable. Lessee hereby assures that no person shall be excluded from participation in, denied the benefits of or otherwise discriminated against in connection with the award and performance of any contract, including leases, covered by 49 CFR Part 23 on the grounds of race, color, national origin or sex. Lessee hereby assures that it will include the above clauses in all sub -leases and cause sub -lessees to similarly include clauses in further sub -leases. 29. 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. Lease: Davis 12 LESSOR: City of Yakima YAKIMA AIR TERMINAL - McALLISTER FIELD 2406 W. Washington Avenue, Suite B Yakima, Washington 98903 (509) 575-6149 - phone (509) 575-•.185 - fax (r7 Tony : ' :. rke, Manager Date STATE OF WAS NGTON County of Yakima I certify that I know or have satisfactory evidence that Tony O'Rourke signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the City Manager respectively of the City of Yakima to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. ��IIIIIIlII!, Datep\ L STFp� • By: ���( 1,17�,) �O•'�OTq, pi") 9i-.cC,LN% Not.'Public-cn; LESSEE: T.J and LINDA DAVIS dba: SHORTYS SWEETS TREATS AND CAKES 2300 W WASHINGTON AVE #9 YAKIMA, WA 98903 509-961-1206 STATE OF WASHINGTON County of Yakima I certify that I know or have satisfactory evidence acknowledged it to be his free and voluntary act the instrument. Date By: Cu Notary P• • i• Appoin men •f res " 13 - z o44 LIQ''DAri�v 474� STATE OF WASHINGTON County of Yakima 8-J )3 Date that T.J. Davis signed this agreement and for the uses a<1poses mentioned in AF „s 2 44' a+,, G E 0TARY PUBLI t- Date I certify that I know or have satisfactory evidence that Linda Davis signed this agreement and acknowledged it to be her free and voluntary act for the uses and purposes mentioned in the instrument. Date c ")1-1— By: 1-1—By: S, Pore_1,.cL�� Notary Public Appointment Expires 1— G- 2-0 ILI ,vt,�N % Ssia /Fll., , <' 4ti o NOT.1��.'ioo :* . PUBLIC ° 1. 114*`*°;37?`.'.'`w�:4 rgl/#91;;W:i 111 ad: i tfa.. 101.4‘% Lease: Davis 14 Exhibit A Lease agreement between TJ & Linda Davis dba Shorty's Sweats, Treats, & Cakes with the Yakima Air Terminal - McAllister Field Effective Effective Date: Yakima Air Terminal - McAllister Field GATE 4 GATE 5 �+ ALARMED EMERGENCY EXIT GATE 3 rv-1- ALARMED EMERGENCY EXIT �- GATE 2 m O Q TERMINAL BUILDING SIDA AREA OPERATIONS/BAGGAGE MAKE—UP RRoaxraa tan MR O 6fV0.ifIR Amo a oma PASSENGER PRE -BOARDING AREA STERILE CONCOURSE GATE 1 Leased Area 134 sq ft B —1116 1-1 maw Now' �11 is .12 I 74[.,.; .� , •?�c:3 � .S."�'k ..}..� � F.�f ` e �� � ::::n«wi', ox�L,:; ;t!, `y t�-i�>.:a:ae'�,Zis, 5^ a' °�.. �%r TERMINAL BUILDING SIDA AREA HORIZON AIRLINES OPERATIONS/BAGGAGE MAKE-UP YAKIMA AIR TERMINAL — McALLISTER FIELD UPDATED — MARCH, 2010 BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. CZ - For Meeting of: 8/20/2013 MUM ITEM TITLE: SUBMITTED BY: Resolution authorizing lease agreement with T.J. and Linda Davis dba Shortys Sweets, Treats, Cakes and the Yakima Air Terminal. Robert Peterson, Airport Manager 509-575-6149 Ex. 7 SUMMARY EXPLANATION: The Yakima Air Terminal has a variety of concessions/businesses that operate inside the airport terminal to provide passengers and the surrounding community with a range of services. At the present time the airport only provides passengers with a few vending machines of which distributes Coke products, snacks, and coffees. Recently, airport staff has been working with the owners of Shortys Sweets, Treats, and Cakes to provide passengers and tenants with fresh hot beverages and pastries during their travels. In order to facilitate their operations the airport is willing to lease Mr. & Mrs. Davis space in the terminal where a previous coffee shop was housed. The lease with Shortys Sweets, Treats, and Cakes is a 5 year agreement with the option to extend an additional 5 years (10 years total) to assure consistency of products/services for passengers traveling through airport facilities. This concession will provide revenues to the airport from the following sources: o Square foot lease for ticket counter space o Concession Fees - 10% of the Gross Revenues Resolution: X Other (Specify): Contract: X Start Date: 9-1-2013 Item Budgeted: NA Funding Source/Fiscal Impact: Ordinance: Contract Term: 5 years with option of an additional 5 years End Date: 8-31-2018 Amount: N/A Additional revenues for the airport operating as a concession inside the airport's terminal. Strategic Priority: Insurance Required? Yes Mail to: Phone: APPROVED FOR SUBMITTAL: Economic Development City Manager RECOMMENDATION: Airport staff recommends the City Manager and City Council consider the approval of this agreement to provide the airport's passengers with options of purchasing coffees and pastries as they traverse through the airport. ATTACHMENTS: Name: Description: El Resolution 115 - Davis dba Shorts Sweets.docx Resolution D YAT-Coffee Shop Lease-FINAL-8-12-2013.doc Lease ASSIGNMENT OF AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD T.J. AND LINDA DAVIS dba SHORTYS SWEETS TREATS AND CAKES THIS LEASE ASSIGNMENT is executed this 1 day of 1" , 2014, between the YAKIMA AIR TERMINAL - McALLISTER FIELD, a department of the City of Yakima, Washington, hereinafter referred to as "LESSOR," T.J. AND LINDA DAVIS, a married couple dba SHORTYS SWEETS TREATS AND CAKES, hereinafter referred to as "LESSEE/ASSIGNOR" and JOSEPH MEZA, hereafter referred to as "ASSIGNEE": WITNESSETH: WHEREAS, LESSOR owns and operates the Yakima Air Terminal - McAllister Field, hereinafter referred to as "Airport,"; and, WHEREAS, LESSOR has approved the lease of that specific portion of Yakima Air Terminal property identified, in the underlying Lease to LESSEE/ASSIGNOR; LESSEE/ASSIGNOR now desires to assign this Lease and all rights, obligations and interests provided herein to JOSEPH MEZA, hereafter referred to as ASSIGNEE, for ASSIGNEE's use of said property in accordance with the terms of the underlying Lease; NOW THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the LESSOR, LESSEE/ASSIGNOR and ASSIGNEE agree as follows: 1. LANDLORD/LESSOR CONSENT TO ASSIGN LEASE: LANDLORD/LESSOR consents to the assignment of that certain lease LESSEE/ASSIGNOR entered with LESSOR FOR Suite #9 in the Airport Terminal Building effective August 26, 2013 to ASSIGNEE effective as of the date set forth above. The assignment of the underlying Lease shall require ASSIGNEE to satisfy and fully complete each and every condition and obligation of the underlying Lease timely and in full compliance with the terms set forth therein. 2. AGREEMENT TO ASSIGN LEASE: LESSEE/ASSIGNOR agrees to assign that certain Lease titled AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD, T.J. AND LINDA DAVIS d.b.a. SHORTYS SWEETS TREATS AND CAKES to JOSEPH ti MEZA d.b.a JET LAG JAVA (ASSIGNEE) a sole proprietorship. ASSIGNEE agrees to accept the assignment of said lease in its entirety, including all obligations, duties and responsibilities included therein. ASSIGNEE further agrees to satisfy and fulfill all obligations of said Lease in a timely manner in full compliance with the terms set forth therein. Upon the Yakima City Manager's approval of said assignment, represented by his signature below, ASSIGNEE shall become fully responsible for the satisfaction of the underlying lease in conformance with all of the provisions set forth therein, and LESSOR/ASSIGNEE shall cease to have any further obligations to the Yakima Air Terminal associated with said Lease. The tenancy created by this Lease Assignment shall commence on March 1, 2014, and continue for the remainder of the Lease term established by and in accord with the underlying Lease Agreement. 3. RENT: ASSIGNEE promises and agrees to pay the lease payments/fees set forth in the underlying Lease Agreement beginning on or before the 15th day of each month beginning with and including the first month of occupancy. Payments shall be made in accord with the terms and subject to the conditions set forth in the underlying Lease. Other than the specific terms of the assignment provided for herein, all other terms and conditions of the underlying Lease shall continue in full force and effect and shall be the continuing responsibility of the ASSIGNEE identified herein. LESSOR: City of Yakima YAKIMA AIR TERMINAL - McALLISTER FIELD 2406 W. Washington A ue, Suite B Yakima, Washington '-8903 (509) 5 5-6149 - pho e (509) - `5-6185 - fax Ton u rke CITY CONTRAC f NO: ?n1y�/37 a / et) RESOLUTION NO: r dg' �7 / /2- 2i i1i9. ity M nager Date LESSEE/ASSIGNOR: T.J and LINDA DAVIS dba: SHORTYS SWEETS TREATS AND CAKES 2300 W WASHINGTON AVE #9 YAKIMA, WA 98903 509-961 _I,! 6 T.J ''AV Date 2/t/ ?//y LINDA DAVIS Date ASSIGNEE: JOSEPH MEZA dba: JET LAG JAVA 2300 W WASHINGTON AVE #9 YAKIMA, WA 98903 509-910-6690 Date WASHINGTON SHORT -FORM INDIVIDUAL ACKNOWLEDGMENT (RCW 42.44.100) State of Washington County of a as. -S. - a a, as, a. as at a a a ss. I certify that I know or have satisfactory evidence that L1 ...c i,) Name of Signer Notary Public State of Washington ELISABETH 0 MANSFIELD My Appointment Expires Aug, 17„2016 Place Notary Seal and/or Stamp Above is the person who appeared before me, and said person acknowledged that he/she signed this instrument and acknowledged it to be his/her free and voluntary act for the uses and purposes mentioned in the instrument. Dated: Q; \ i \ 14— Month/Day/Year Title (Such aNotary Public”) My appointment expires: OPTIONAL (adri 1162 Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document ,�" Title or Type of Document: 6k�, r�\\(` Document Date: Number of Pages: 3 Signer(s) Other Than Named Above: b 'V\ &.Q26k T . J . .:\)( ,S w� © 2013 National Notary Association • www.NationalNotary.org • 1 -800 -US NOTARY (1-800-876-6827) Item #5906 Notary Public State of Washington ( ELISABETH D MANSFIELD My Appointment Expires Aug 17, 2016 WASHINGTON SHORT -FORM INDIVIDUAL ACKNOWLEDGMENT (RCW 42.44.100) State of Washington County of 01-k1MiA }ss. I certify that I know or have satisfactory evidence that t Q Place Notary Seal and/or Stamp Above Name of Signer is the person who appeared before me, and said person acknowledged that he/she signed this instrument and acknowledged it to be his/her free and voluntary act for the uses and purposes mentioned in the instrument. Dated: 1 �) ( (4- Month/Day/Year Sig ature of 'zing cYfficer Uo Title (SB cc as "Notary Public") My appointment expires: 17 I Ke OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: F i S1�V`ri-L' a�,U V` C-}" 1 (;QQ rn.p. Document Date: o) 11914— 1 Number of Pages:U Signer(s) Other Than Named Above: C`; \ 7P\ '7, V - Rl)i S LA ‘roto, tA�vw�owv_=ww�www © 2013 National Notary Association • www.NationalNotary.org • 1 -800 -US NOTARY (1-800-876-6827) Item #5906 WASHINGTON SHORT-FORWW INDIVIDUAL ACKNOWLEDGMENT (RCW 42.44.100) State of Washington County of l ra` ss. --T I certify that I know or have satisfactory evidence that ir1JDY1t.$ Drtki Notary f+utilc State of Washington ANGELICA CASTANEDA My Appointment Expires Aug 23, 2017 Place Notary Seal and/or Stamp Above Name of Signer is the person who appeared before me, and said person acknowledged that he/she signed this instrument and acknowledged it to be his/her free and voluntary act for the uses and purposes mentioned in the instrument. Dated: )1-i Month/Dayear ) Signature of Notarizing Officer DtL Title (Such as "Mita y Public') My appointment expires: NI 22 OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: : ' ' ( -e Document Date: Number of Pages: Signer(s) Other Than Named Above: 552h ':;>s.�_.F'y.✓.,,,\�,�.'.:�'K':.CC';�"C'i%iii"C,;art.'te-,%'V�'.xciY.'..e�Ci"L�J.... '. AVX=✓v�ir'.='�''C'_°.��-:r�!v`_,�r'.�'t!'v.::..c.�`gnvv'�c�'�:\s�.'.nvY.=+.T�i'C`!C.T..J'.. eTR�4�S=Pii".%=!VS. © 2013 National Notary Association • www.NationalNotary.org o 1 -800 -US NOTARY (1-800-876-6827) Item #5906 AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD AND JOSEPH MEZA dba JET LAG JAVA AMENDMENT #1 THIS LEASE AMENDMENT #1, is executed this o�6-`Tay of , 2014, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, a department of the City of Yakima, Washington, hereinafter referred to as "LESSOR," and JOSEPH MEZA, a single man hereinafter referred to as "LESSEE": WITNESSETH: WHEREAS, LESSOR operates the Yakima Air Terminal - McAllister Field, hereinafter referred to as "Airport"; and WHEREAS, LESSOR has an additional 25 sq ft of property available for lease, and LESSEE desires to occupy and use such property in accordance with this Lease Amendment # 1; NOW THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the parties agree to amend paragraph #1 and #3 of the underlying Lease as follows: 1. PREMISES: LESSOR does hereby lease and let unto LESSEE, and LESSEE does hereby hire and take from LESSOR, approximately 134 sq ft of space labeled Suite #9; and an additional 25 sq ft for the placement of a lottery machine in the Airport Terminal Building in the City of Yakima, Yakima County, Washington, as that property is depicted on the drawing marked Exhibit. "A", attached hereto and by this reference made a part hereof, together with the right of ingress to and egress from the leased premises over and across common public access ways. The LESSOR provides the LESSEE one parking spot north of the terminal building and two parking spots in the cell phone lot provided customers occupancy of each spot doesn't exceed 30 minutes. 3. RENT: LESSEE promises and agrees to pay the following lease payments/fees on or before the 15th day of each month. Payments shall be made to the City of Yakima, Accounts Receivable, 129 N. 2" St, Yakima, WA 98901. Any rental payments/fees past due shall accrue a delinquency charge of twelve percent (12%) per annum. 1. Espresso Bar - $150/month 2. Espresso Bar Concession Fee — Ten percent (10%) of the Gross Revenues for the preceding calendar month starting eighteen (18) months after initiation of original lease dated August 26th, 2013. Preceding monthly concession sales report due at the time of payment 3. Lottery Machine — $50/month (rate based on 2014 Airport Rates & Charges) 4. Lottery Machine Concession Fee — One and one-half percent (1.5%) of the Gross Lottery Machine Revenues related to ticket sales for the preceding calendar month. Preceding monthly Lottery gross ticket sales report due at the time of payment The lease rental rate provided for above shall be subject to review, modification and/or reset whenever the Airport Rates & Charges are set/reset by the City of Yakima. The rate per square foot shall be set at the then current First Floor Terminal Rate as published in the Airport Rates & Charges. Other than the specific amendments stated herein, all other terms, conditions, obligations, rights and requirements of the underlying Lease shall remain in full force and effect throughout the Lease term. LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2406 W. Washington Avenue, Suite B Yakima, Washington :; c 03 (509) 575-6149 - phIn- (509) 57: -6185 - fa 44„.„.1 Tony O''ourke ity ` anager STATE OF WA' .INGTON County of Yakima ; COY CONTRACT NO: RESOLUTION NO: I certify that I know or have satisfactory evidence that Tony O'Rourke signed this instrument, on oath stated that he is authorized to execute this instrument and acknowledged it as the City Manager to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date D - By:�- Notary Pub is Appointment Expires II - at -e -1-4-1 I- LESSEE: JOSEPH MEZA dba: JET LAG JAVA 2300 W WASHINGTON AVE #9 YAKIMA, WA 98903 509-910-6690 STATE OF WASHINGTON County of Yakima • KAARRE ALLYN Notary Public State of Washington My Commission Expires April 11,2016. (ifi� Date I certify that I know or have satisfactory evidence that Joseph Meza signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date 1-17-1 By: rl o'-�, Notary PuLllic Appointment Expires l( -t Date Exhibit A Lease agreement between TJ & Linda Davis dba Shorty's Sweats, Treats, & Cakes with the Yakima Air Terminal - McAllister Field Effective Effective Date: Yakima Air Terminal - McAllister Field GATE 4 GATE 5 �+ ALARMED EMERGENCY EXIT GATE 3 rv-1- ALARMED EMERGENCY EXIT �- GATE 2 m O Q TERMINAL BUILDING SIDA AREA OPERATIONS/BAGGAGE MAKE—UP RRoaxraa tan MR O 6fV0.ifIR Amo a oma PASSENGER PRE -BOARDING AREA STERILE CONCOURSE GATE 1 Leased Area 134 sq ft B —1116 1-1 maw Now' �11 is .12 I 74[.,.; .� , •?�c:3 � .S."�'k ..}..� � F.�f ` e �� � ::::n«wi', ox�L,:; ;t!, `y t�-i�>.:a:ae'�,Zis, 5^ a' °�.. �%r TERMINAL BUILDING SIDA AREA HORIZON AIRLINES OPERATIONS/BAGGAGE MAKE-UP YAKIMA AIR TERMINAL — McALLISTER FIELD UPDATED — MARCH, 2010 ASSIGNMENT OF AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD and JOSEPH MEZA dba JET LAG JAVA THIS LEASE ASSIGNMENT is executed this I %_ - day of 1i , f , 2015, between the YAKIMA AIR TERMINAL - McALLISTER FIELD, a department of the City of Yakima, Washington, hereinafter referred to as "LESSOR," JOSEPH MEZA, dba JET LAG JAVA, hereinafter referred to as "LESSEE/ASSIGNOR" and KATHY SMITH, hereafter referred to as "ASSIGNEE": WITNESSETH: WHEREAS, LESSOR owns and operates the Yakima Air Terminal - McAllister Field, hereinafter referred to as "Airport,"; and, WHEREAS, LESSOR has approved the lease of that specific portion of Yakima Air Terminal property identified in the underlying Lease to LESSEE/ASSIGNOR; LESSEE/ASSIGNOR now desires to assign this Lease and all rights, obligations and interests provided herein to KATHY SMITH, hereafter referred to as ASSIGNEE, for ASSIGNEE's use of said property in accordance with the terms of the underlying Lease; NOW THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the LESSOR, LESSEE/ASSIGNOR and ASSIGNEE agree as follows: 1. LANDLORD/LESSOR CONSENT TO ASSIGN LEASE: LANDLORD/LESSOR consents to the assignment of that certain lease LESSEE/ASSIGNOR entered with ORIGINAL LESSOR FOR Suite #9 in the Airport Terminal Building effective August 26, 2013 to ASSIGNEE effective as of the date set forth above. The assignment of the underlying Lease shall require ASSIGNEE to satisfy and fully complete each and every condition and obligation of the underlying Lease timely and in full compliance with the terms set forth therein. 2. AGREEMENT TO ASSIGN LEASE: LESSEE/ASSIGNOR agrees to assign that certain Lease titled AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD, YAT-Coffee Shop Lease Assignment-MEZA-FINAL-4-2015 1 JOSEPH MEZA dba JET LAG JAVA to KATHY SMITH d.b.a JET LAG JAVA (ASSIGNEE) a sole proprietorship. ASSIGNEE agrees to accept the assignment of said lease in its entirety, including all obligations, duties and responsibilities included therein. ASSIGNEE further agrees to satisfy and fulfill all obligations of said Lease in a timely manner in full compliance with the terms set forth therein. Upon the Yakima City Manager's approval of said assignment, represented by his signature below, ASSIGNEE shall become fully responsible for the satisfaction of the underlying lease in conformance with all of the provisions set forth therein, and LESSOR/ASSIGNEE shall cease to have any further obligations to the Yakima Air Terminal associated with said Lease. The tenancy created by this Lease Assignment shall commence on May 1, 2015, and continue for the remainder of the Lease term established by and in accord with the underlying Lease Agreement. 3. RENT: ASSIGNEE promises and agrees to pay the lease payments/fees set forth in the underlying Lease Agreement beginning on or before the 15th day of each month beginning with and including the first month of occupancy. Payments shall be made in accord with the terms and subject to the conditions set forth in the underlying Lease. Other than the specific terms of the assignment provided for herein, all other terms and conditions of the underlying Lease shall continue in full force and effect and shall be the continuing responsibility of the ASSIGNEE identified herein. YAT-Coffee Shop Lease Assignment-MEZA-FINAL-4-2015 2 LESSOR: City of Yakima YAKIMA AIR TERMINAL - McALLISTER FIELD 2406 W. Washington Avenue, Suite B Yakima, Washington 98903 (509) 575-6149 - p (509) 5 r 5-6185 - f Tony I Rour e, City Manager Date CITY CONTRACT NO. ,2 O) j- U4 RESOLUTION NO: +k _ / 3 / 2- LESSEE/ASSIGNOR: JOSEPH MEZA dba: JET LAG JAVA 2300 W WASHINGTON AVE #9 YAKIMA, WA 98903 509-910-6690 1SEPH MEZA ASSIGNEE: KATHY SMITH dba: JET LAG JAVA 201 Sinclair Lane Selah, WA 98942 509-40,6-4100 KATHY SMITH 9/14-, Date Date 4 14\ YAT-Coffee Shop Lease Assignment-MEZA-FINAL-4-2015 3 AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD AND JOSEPH MEZA dba JET LAG JAVA AMENDMENT #2 THIS LEASE AMENDMENT #2, is executed this 30 day of April, 2015, between the YAKIMA AIR TERMINAL — McALLISTER FIELD, a department of the City of Yakima, Washington, hereinafter referred to as "LESSOR," and JOSEPH MEZA, a single man hereinafter referred to as "LESSEE": WITNESSETH: WHEREAS, LESSOR operates the Yakima Air Terminal - McAllister Field, hereinafter referred to as "Airport"; and WHEREAS, LESSEE has provided proper notice and indicated the desire to remove the lottery machine from the Lease property in the terminal building, and LESSOR agrees to remove the 25 sq ft of leased property associated with the lottery machines from the underlying Lease effective April 30, 2015, in accordance with this Lease Amendment #2; NOW THEREFORE, in consideration of the mutual promises contained herein and the benefit to be derived by each party, the parties agree to amend paragraph #1 and #3 of the underlying Lease as follows: 1. PREMISES: LESSOR does hereby lease and let unto LESSEE, and LESSEE does hereby hire and take from LESSOR, approximately 134 sq ft of space labeled Suite #9; in the Airport Terminal Building in the City of Yakima, Yakima County, Washington, as that property is depicted on the drawing marked Exhibit "A", attached hereto and by this reference made a part hereof, together with the right of ingress to and egress from the leased premises over and across common public access ways. The LESSOR provides the LESSEE one parking spot north of the terminal building and two parking spots in the cell phone lot provided customers occupancy of each spot doesn't exceed 30 minutes. 3. RENT: LESSEE promises and agrees to pay the following lease payments/fees on or before the 15th day of each month. Payments shall be made to the City of Yakima, Accounts Receivable, 129 N. 2na St, Yakima, WA 98901. Any rental F- drive\DATA\WORD\LEASE\Expresso in Terminal 1 payments/fees past due shall accrue a delinquency charge of twelve percent (12%) per annum. 1. Espresso Bar - $150/month 2. Espresso Bar Concession Fee — Ten percent (10%) of the Gross Revenues for the preceding calendar month starting eighteen (18) months after initiation of original lease dated August 26th, 2013. Preceding monthly concession sales report due at the time of payment 3. Lottery Ticket Sales Fee — One and one-half percent (1.5%) of the Gross Lottery Revenues related to ticket sales for the preceding calendar month. Preceding monthly Lottery gross ticket sales report due at the time of payment The lease rental rate provided for above shall be subject to review, modification and/or reset whenever the Airport Rates & Charges are set/reset by the City of Yakima. The rate per square foot shall be set at the then current First Floor Terminal Rate as published in the Airport Rates & Charges. Other than the specific amendments stated herein, all other terms, conditions, obligations, rights and requirements of the underlying Lease shall remain in full force and effect throughout the Lease term. F- drive\DATA\WORD\LEASE\Expresso in Terminal 2 LESSOR: YAKIMA AIR TERMINAL - McALLISTER FIELD 2406 W. Washington Avenue, Suite B Yakima, Washington 98903 (509) 575-6149 - phone (509) 57� -6185 - fax Tony •'Rour e, City Manager STATE OF WASHINGTON County of Yakima CRY CONTRACT NO: OD RESOLUTION NO: 3 Z I certify that I know or have satisfactory evidence that Tony O'Rourke signed this instrument, on oath stated that he is authorized to execute this instrument and acknowledged it as the City Manager to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Date , y - D-0 ---/5" By: 4,/. AA -4C- f - Notary Public Appointment Expires / / I - °i Co LESSEE: JOSEPH MEZA dba: JET LAG JAVA 2300 W WASHINGTON AVE #9 YAKIMA, WA 98903 509-910-6690 `SEPH MEZA STATE OF WASHINGTON County of Yakima KAARRE ALLYN Notary Public State of Washington My Commission Expires ril 11, 2016 Date I certify that I know or have satisfactory evidence that Joseph Meza signed this instrument and acknowledged it to be his free and voluntary act for the uses and purposes mentioned in the instrument. Date, 1 (1-1(1—// By: Notary Pu ic(� A Appointme t Expires 1I '1 --t-5 Signatur F- drive\DATA\WORD\LEASE\Expresso in Terminal I , \\\\,S1. Y J.Ol" , � �r.9 •�oM<ooC= U No7. �. 4-'7:- -: Dz A9„53:C = --.o c/ec == ,, x\ °FA 01.2°` .k.0 4-1---1 ! /S `/ /,1sIi1N�?��\ Date 3 Exhibit A Lease agreement between TJ & Linda Davis dba Shorty's Sweats, Treats, & Cakes with the Yakima Air Terminal - McAllister Field Effective Effective Date: Yakima Air Terminal - McAllister Field GATE 4 GATE 5 �+ ALARMED EMERGENCY EXIT GATE 3 rv-1- ALARMED EMERGENCY EXIT �- GATE 2 m O Q TERMINAL BUILDING SIDA AREA OPERATIONS/BAGGAGE MAKE—UP RRoaxraa tan MR O 6fV0.ifIR Amo a oma PASSENGER PRE -BOARDING AREA STERILE CONCOURSE GATE 1 Leased Area 134 sq ft B —1116 1-1 maw Now' �11 is .12 I 74[.,.; .� , •?�c:3 � .S."�'k ..}..� � F.�f ` e �� � ::::n«wi', ox�L,:; ;t!, `y t�-i�>.:a:ae'�,Zis, 5^ a' °�.. �%r TERMINAL BUILDING SIDA AREA HORIZON AIRLINES OPERATIONS/BAGGAGE MAKE-UP YAKIMA AIR TERMINAL — McALLISTER FIELD UPDATED — MARCH, 2010 MUTUAL AGREEMENT TO TERMINATE AIRPORT LEASE AGREEMENT BETWEEN YAKIMA AIR TERMINAL-McALLISTER FIELD and KATHY SMITH dba JET LAG JAVA THIS AGREEMENT is entered into this j4" day of January, 2016, between the YAKIMA AIR TERMINAL - McALLISTER FIELD, a department of the City of Yakima, Washington, hereinafter referred to as "LESSOR," and KATHY SMITH, dba JET LAG JAVA, hereinafter referred to as "LESSEE": WITNESSETH: WHEREAS, LESSOR owns and operates the Yakima Air Terminal - McAllister Field, hereinafter referred to as "Airport"; and WHEREAS, LESSOR has previously entered into a Lease Agreement dated August 26, 2013 with T. J. Davis and Linda Davis d/b/a as "Shorty's Sweets Treats and Cakes," which Lease Agreement was assigned by instrument dated April 17, 2015 to LESSEE herein (hereafter collectively called "Lease Agreement"); and WHEREAS, LESSEE has operated Jet Lag Java since the assignment of the lease on April 17, 2015; WHEREAS, LESSEE on January 20, 2016, provided the Airport Manager a letter indicating the request to terminate the lease agreement effective Sunday, January 31, 2016, which is prior to the term set forth in Section 2 of the original 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: Section 1. The Lease Agreement is terminated effective midnight of January 31, 2016; provided however, that the provisions set forth in Section 21 Indemnity/Duty to Defend, together with any other provisions that by their terms under the Lease Agreement shall survive termination, shall remain in effect following termination of such Lease. Section 2. Upon termination of the Lease, LESSEE will vacate the premises on or before Wednesday, February 3, 2016 and surrender keys, badges, and employee parking passes. Upon completion of LESSOR's inspection of the property and compliance with Sections 13 and 14 of the Lease Agreement pertaining to Improvements and Reversion of Improvements, LESSOR will refund any remaining balance of LESSEE's deposit within a reasonable timeframe. YAT-Coffee Shop Lease Assignment- Termination 1 WHEREFORE, this agreement shall be deemed effective on the date first referenced above, being the date executed by the last party to sign below. LESSOR: City of Yakima YAKIMA AIR TERMINAL - McALLISTER FIELD 2406 W. Washington Avenue, Suite B Yakima, Washington 98903 (509) 575-6149 - phone (509) 575-6185 - fax Jeff Cutt P; J rim City Manager STATE OF WASHINGTON County of Yakima i(,96((0 Date I certify that I know or have satisfactory evidence that Jeff Cutter signed this instrument, on oath stated that he is the Interim City Manager of the City of Yakima and is authorized to execute the instrument as the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dat _ By:l Notary Publi Appointment xpires (n C /7 G;� MISSIO .Cid c.>NOTARyA (p% PUBLIC 0... /5:2;94 . YAT-Coffee Shop Lease Assignment- Termination 2 ASSIGNEE: KATHY SMITH dba: JET LAG JAVA 201 Sinclair Lane Selah, WA 9894 509-406-4100 KATHY SMI STATE OF WASHINGTON County of Yakima 2$ Il9 Date I certify that I know or have satisfactory evidence that Kathy Smith signed this agreement and acknowledged it to be her free and voluntary act for the uses and purposes mentioned in the instrument. Date —72 By: Notary Pu Ic Appointment Expires / CITY CONTRACT NO: RESOLUTION NO: ►►► • • at '�. • • NOTARY PUBLIC • • COMM. EXPIRES • NOV. 1, 2019 I. • • •• 2 e .:t In... OFwASN \, �'9j11111111\\\\\\ ,►►11111►,,,,, YAT-Coffee Shop Lease Assignment- Termination 3