HomeMy WebLinkAboutResolutions - 2016.03.30 - 22236MISCELLANEOUS RESOLUTION #16055 March 30, 2016
BY: Planning and Building Committee, Philip Weipert, Chairperson
IN RE: CENTRAL SERVICES AVIATION DIVISION — AIRPORT LAND LEASE ASSIGNMENT:
WILLIAM AND RUTH KOSTICH TO S&K AIRPORT PROPERTIES, LLC
To The Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS the County of Oakland ("the County") owns the Oakland County International Airport in
Waterford Township; and
WHEREAS parcels of land are leased to various aviation businesses for the purpose of
constructing hangars, aviation ramps, and related appurtenances for the purpose of
conducting aviation business at the airport; and
WHEREAS the County has negotiated with S&K Airport Properties, LLC for the assignment of a land lease
which is attached hereto; and
WHEREAS the previous 20-year lease between William and Ruth Kostic h and the County
became effective on January 1, 1997;
WHEREAS the terms of the assigned lease are the same as the previous lease; and
WHEREAS the assigned lease runs from January 1, 1997, to December 31, 2017; and
WHEREAS the County reserves the right to change the rental payments provided under this lease each
and every two years, with the first computation to be made from the date of this assignment; and
WHEREAS the Airport Committee and the County's Office of Corporation Counsel have reviewed and
agreed to the terms of the assignment.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby
approves and accepts the terms and conditions of the attached assignment of lease from Ruth Kostich,
as survivor of herself and William Kostich, to S&K Airport Properties, LLC.
BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners directs its Chairperson or
his designee to execute the attached assignment of land lease and all other related documents between
the County and Ruth Kostich to S&K Airport Properties, LLC.
Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing
resolution.
PLANNING AND BUILDING COMMITTEE
PLANNING AND BUILDING COMMITTEE VOTE:
Motion carried unanimously on a roll call vote with Jackson absent.
Motion for Direct Referral to the Finance Committee carried on a voice vote.
FISCAL NOTE (MISC . #16055) March 30, 2016
BY: Finance Committee, Tom Middleton, Chairperson
IN RE: CENTRAL SERVICES AVIATION DIVISION — AIRPORT LAND LEASE ASSIGNMENT:
WILLIAM AND RUTH KOSTICH TO S&K AIRPORT PROPERTIES, LLC
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above referenced
resolution and finds:
1. The resolution authorizes the acceptance of Airport Land Lease assignment from William and
Ruth Kostich to S&K Airport Properties, LLC at Oakland County International Airport.
2. Oakland County is the owner of Oakland County International Airport in Waterford Township.
3. The Oakland County International Airport has negotiated with S&K Properties, LLC for the
assignment of a land lease.
4. Parcels of land are leased to various aviation businesses for the purpose of constructing hangars,
aviation ramps, and related appurtenances for the purpose of conducting aviation business at the
airport.
5. The terms of the assigned lease are the same as the previous lease, January 1, 1997 to
December 31, 2017, with an annual rent fixed until March 31, 2017 at $7,950.60.
6. The Oakland County International Airport reserves the right to change the rental payments
provided under this lease each and every two years, with the first computation to be made from
the date of this assignment.
7. A budget amendment is not required at this time.
FINANCE COMMITTEE VOTE:
Motion carried unanimously on a roll call vote.
OAKLAND COUNTY INTERNATIONAL AIRPORT
ASSIGNMENT OF AIRPORT LAND LEASE
The COUNTY OF OAKLAND, a Michigan Constitutional Corporation, Lessor, and
WILLIAM KOST1CH AND RUTH KOSTICH, Lessee, are parties to a certain Land Lease
entered into on December 19, 1996, as amended on March 18, 1999, February 1, 2001,
January 30, 2003, March 10, 2005, December 14, 2006 and May 1,2012.
WHEREAS Ruth Kostich, survivor of herself and William Kostich, desires to assign
and transfer the above Land Lease to S & K Airport Properties, LLC.
NOW THEREFORE AND IN CONSIDERATION of the mutual covenants and
agreements, it is hereby understood and agreed by all parties hereto that the aforesaid
Airport Land Lease be and the same hereby is assigned and transferred to S & K
AIRPORT PROPERTIES LLC;
IT IS FURTHER UNDERSTOOD AND AGREED by all parties hereto that S & K
Airport Properties LLC agrees to assume, be responsible for and pay in accordance with
and be bound by the terms and provisions of said Airport Land Lease in all respects and
further agrees to defend and hold William Kostich and Ruth Kostich, their heirs, executors,
administrators, directors, officers, employees, agents and insurers from all claims,
obligations and responsibilities, known or unknown, arising out of or in connection with the
aforesaid Land Lease.
DATED: March 1, 2016
SIGNED IN THE PRESENCE OF: SIGNED BY:
COUNTY OF OAKLAND, a Michigan
Constitutional Corporation
, Chairperson
Oakland County Board of Commissioners
WILLIAM KOSTICH AND RUTH KOST1CH,
Lessee
Ruth Kostich
S & K AIRPORT PROPERTIES LLC, Lessee
Kirt Kostich, Member
Scott Kostich, Member
OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective the
1st day of April, 2015, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOSTICH AND
RUTH KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated December 19, 1996, and Land Lease
Addenda dated March 18, 1999, February 1,2001, January 30, 2003, March 10, 2005,
December 14, 2006, and May 1, 2012; and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
A parcel of land being part of the Northeast IA, Section 17,T.3N., R.9E,, Waterford
Township, Oakland County, Michigan, further described as follows: Commencing
at the East 1/4 corner of said Section 17; thence N. 2°1754" W., 199.28 feet along
the East section line; thence S. 87°27'46"W., 1,354.24 feet to Airport Coordinate
Point (ACP) #26; thence N. 13°4429"E., 153.52 feet; thence N. 2°26'32"W., 306.46
feet to the Point of Beginning; thence from said Point of Beginning N. 87°42'12"E.,
150.55 feet; thence N,2°26 1 32"W., 184.78 feet; thence S. 87°42'12"W., 165.49 feet;
thence S. 2°26'32"E,, 184.78 feet; thence N. 87°42'12"E., 14.94 feet to the Point of
Beginning. Containing 30,579.14 square feet.
WHEREAS Paragraph 1 of said Lease reads in part as follows:
The Lessor reserves the right to change the rental payments provided under this
lease each and every two (2) years, first computation to be made from the date of
this lease, Said changes in rental payments shall be based on the rental rates in
effect at the Oakland County International Airport at the expiration date of each two-
year period; and
WHEREAS the two-year period has been completed and a different rental rate is in
effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of twenty-six cents
per square foot annually, or a gross sum of $7,950.60 or payable in twelve (12)
equal installments of $662.55 per month and payable on the first of each and every
month during the time that this lease is in operation. Rental payments to be
computed from the date of April 1, 2015.
, Chairperson
Vri-rvjDodt,dtti -4( ViCe Chairperson
Oakland County Airport Committee
COUNTY OF OAKLAND, a Michigan
Constitutional C-drporation, Lessor
77/
land County Airport committee
r
WITNESSES:
z")
J. David Vandei-Veen; Director
Department of Central Services
IN ALL OTHER RESPECTS, said lease agreement shall remain in full force and
effect,
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated.
WILLIAM KOSTICH AND RUTH KOSTICH,
Lessee
Ruth Kostich
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED: 3--/,4-/s"
OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective
the 1st day of April, 2012, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOST1CH
AND RUTH KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated December 19, 1996, and Land Lease
Addenda dated March 18, 1999, February 1, 2001, January 30, 2003, March 10, 2005
and December 14, 2006; and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
A parcel of land being part of the Northeast %, Section 17,T.3N., R.9E,, Waterford
Township, Oakland County, Michigan, further described as follows; Commencing
at the East 1/4 corner of said Section 17; thence N. 2°17'54" W,, 199.28 feet along
the East section line; thence S. 87°27'46"W., 1,354.24 feet to Airport Coordinate
Point (ACP) #26; thence N. 13°44'29"E., 153.52 feet; thence N. 2°26'32"W., 306.46
feet to the Point of Beginning; thence from said Point of Beginning N. 87°4212"E,
150.55 feet; thence N.2°26`32"W., 184.78 feet; thence S. 87°42'12"W., 165.49 feet;
thence S. 2°26'32"E., 184.78 feet; thence N. 87°42'12"E., 14.94 feet to the Point of
Beginning. Containing 30,579.14 square feet.
WHEREAS Paragraph 1 of said Lease reads in part as follows:
The Lessor reserves the right to change the rental payments provided under this
lease each and every two (2) years, first computation to be made from the date of
this lease. Said changes in rental payments shall be based on the rental rates in
effect at the Oakland County International Airport at the expiration date of each two-
year period; and
WHEREAS the two-year period has been completed and a different rental rate is in
effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of twenty-four
cents per square foot annually, or a gross sum of $7,339.08 annually or payable in
twelve (12) equal installments of $611.59 per month and payable on the first of each
and every month during the time that this lease is in operation. Rental payments to
be computed from the date of April 1,2012 through March 31, 2013.
COUNTY OF OAKLAND, a Michigan
Constitutional C oration, Lessor ,
. Scott, Chbi person
5kland County Airport Committee
J. David VariaerVebn, Director
Department of Central Services
Beginning April 1, 2013, Lessee agrees to pay the Lessor for the described land at
a rate of twenty-five cents per square foot annually, or a gross sum of $7,644,84 or
payable in twelve (12) equal installments of $637.07 per month and payable on the
first of each and every month during the time that this lease is in operation. Rental
payments to be computed from the date of April 1, 2013.
IN ALL OTHER RESPECTS, said lease agreement shall remain in full force and
effect.
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated.
!ahristirie Loyu-.), 6'w-re-fa-rid
Oakland County Airport Coshibitte
WILLIAM KOSTICH AND RUTH KOSTICH,
Lessee
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED: 'Ina y 1,.
WITNESSES:
uL,
OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective the
1st day of January, 2007, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOSTICH AND
RUTH KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated December 19, 1996, and Land Lease
Addenda dated March 18, 1999, February 1, 2001, January 30, 2003, and March 10,
2005; and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
A parcel of land being part of the Northeast ¼, Section 17,T.3N., R.9E., Waterford
Township, Oakland County, Michigan, further described as follows: Commencing
at the East % corner of said Section 17; thence N. 2°17'54" W., 199.28 feet along
the East section line; thence S. 87°27'46"W., 1,354.24 feet to Airport Coordinate
Point (ACP)*26; thence N. 13°44'29"E., 153.52 feet; thence N, 2°26'32"W., 306.46
feet to the Point of Beginning; thence from said Point of Beginning N. 87°42'12"E„
150.55 feet; thence N.2°2632"W., 184.78 feet; thence S. 87°4212W„ 165.49 feet;
thence S. 2°26'32"E., 184.78 feet; thence N. 87°42'12"E, 14.94 feet to the Point of
Beginning. Containing 30,579.14 square feet.
WHEREAS the two-year period has been completed and a different rental rate is in
effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is hereby amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of twenty-three
(23) cents per square foot annually, or a gross sum of $7,033.20 annually or
payable in twelve (12) equal installments of $586,10 per month and payable on the
first of each and every month during the time that this lease is in operation. Rental
payments to be computed from the date of January 1, 2007,
IN ALL OTHER RESPECTS said Lease agreement shall remain in full force and
effect.
Oakland Cklipty Airport Committee
COUNTY OF OAKLAND, a Michigan
Constitutional Ccraoration
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated.
./1 WITNESS S;
William Kostich
Ruth Kostich
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED:,De-fcriPiet-47- /7-6z)-oN:„,
OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective the
1st day of January, 2006, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOSTICH AND
RUTH KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated December 19, 1996, and Land Lease
Addenda dated March 18, 1999 and February 1, 2001; and January 30, 2003; and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
A parcel of land being part of the Northeast 1/4, Section 17,T.3N., R,9E., Waterford
Township, Oakland County, Michigan, further described as follows: Commencing
at the East% corner of said Section 17; thence N. 2°17'54" W., 199.28 feet along
the East section line; thence S. 87°2746"W., 1,354.24 feet to Airport Coordinate
Point (ACP) #26; thence N. 13°44'29"E., 153.52 feet; thence N. 2°26'321'W., 306.46
feet to the Point of Beginning; thence from said Point of Beginning N. 87°42'12"E.,
150.55 feet; thence N.2°26'32"W., 184.78 feet; thence S. 87°42'12"W., 165.49 feet;
thence S. 2°26'32"E., 184.78 feet; thence N. 87'4212E., 14.94 feet to the Point of
Beginning. Containing 30,579.14 square feet.
WHEREAS the two-year period has been completed and a different rental rate is
in effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is hereby amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of twenty-two (22)
cents per square foot annually, or a gross sum of $6,727.44 annually or payable in
twelve (12) equal installments of $560.62 per month and payable on the first of each
and every month during the time that this lease is in operation. Rental payments
to be computed from the date of January 1, 2005 .
IN ALL OTHER RESPECTS said Lease agreement shall remain in full force and
effect.
WITNESSES:
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated.
COUNTY OF OAKLAND, a Michigan
Constitutional Corporation
ttkete-ol ‘6L(1-61
J. David ra-nderVeen, Director
Department of Central Services
William Kostich
Ruth Kostich
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED: pftveetii /a ,
OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective the
1st day of January, 2003, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOSTICH AND
RUTH KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated December 19, 1996, and Land Lease
Addenda dated March 18, 1999 and February 1, 2001; and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
Beginning at a point on the Airport grid system 36+32.13 North and 78+01.16 East;
thence South 242.42 feet; thence West 130.65 feet; thence North 242.42 feet;
thence East 130,65 feet to the point of beginning. Parcel contains 31,672 square
feet.
WHEREAS the parties hereto desire to amend the Land Lease by revising the
property description to include additional property.
WHEREAS the property description in Paragraph 1 of said Land Lease is amended
as follows:
A parcel of land being part of the Northeast 1/4, Section 17,T.3N., R.9E., Waterford
Township, Oakland County, Michigan, further described as follows: Commencing
at the East 1/4 corner of said Section 17; thence N. 2°17'54" W., 199.28 feet along
the East section line; thence S. 87°27'46"W., 1,354.24 feet to Airport Coordinate
Point (ACP) #26; thence N. 13°44'29"E., 153.52 feet; thence N. 2°26'32"W., 306,46
feet to the Point of Beginning; thence from said Point of Beginning N. 87°42'12"E.,
150,55 feet; thence N.2°26'32"W., 184,78 feet; thence S. 87°42'12"W., 165.49 feet;
thence S. 2°26'32"E., 184.78 feet; thence N, 87°4212"E., 14,94 feet to the Point of
Beginning. Containing 30,579.14 square feet.
WHEREAS the two-year period has been completed and a different rental rate is
in effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is hereby amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of twenty-one (21)
cents per square foot annually, or a gross sum of $6,421.68 annually or payable in
twelve (12) equal installments of $535.14 per month and payable on the first of each
and every month during the time that this lease is in operation. Rental payments
to be computed from the date of January 1, 2003 ,
IN ALL OTHER RESPECTS said Lease agreement shall remain in full force and
effect.
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated,
WITNESSES: COUNTY OF OAKLAND, a Michigan
Constitutional Corporation
J, Da'CtidlUanderVeen, Director
Department of Central Services
William Kostich
Ruth Kostich
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED;
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A parcel or land being part of the Northeast V4, .Section 17, T.3N., R.9E.,
Waterford Twp, Oakland County, Michigan, further described as follows:
Commencing at the East 14 corner of said Section ,17; thence N.
217154W., 199,28 ft. along the East section line; thence S. 8727'46"W.,
1 1354,24 -n. to Airport Coordinate Point (ACP) #26; thence N. 13"4479"E,,
153,52 11..; thence N. 2.°76'32"W„ 30646 ft to the Point or Beginning;
thence'from said Point of113egliming 14, 87°42'12"E„ 150,53 ft.; thence N.
2°7632"W,, 18438 IL; thence S. 874217"W., .165,49 ft; thence S.
226'37"E,,- 184.78 ft.; filmier; N. 87'42'12"E„. 14.94 rt. to the Point or
Beginning.
Containing 30,579,14 411.
PARCEL, "B"
A parcel of land being part of the Northen0 Section 17, T.314., R,9E„
Waterford Twp., Oatcland County, Micbig.8n, further described as follows:
Commencing at the East 1/4 corner of said Section 17; thence N.
2'17'54"W„ 199,78 ft... along the East section line; thence S. 87°2746" \V„
1,354,24 A. to Airport. Coordinate Point (M.'..P) #26; 'thence N, 13'44'29"_E„
153.57 ft, to the Point or Beginning; thence from said Point or Beginning N.
2426'37"W„ 3.06.46 ft.; thence N. 87Q42 )12"B., 150.55 ft.; thence S.
2"26'32"E,, 306.46 ft; thence S. 117 °421 12"W„ 150.55 IL to the Point of
Beginning,
Containing 461 137.40 sq. ft.
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OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective the
1st day of January A.D. 2001, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOSTICH and
RUTH KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated January 1, 1997 and January 1, 1999;
and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
Beginning at a point on the Airport grid system 36+32.13 North and 78+01.16 East;
thence South 242.42 feet; thence West 130.65 feet; thence North 242.42 feet;
thence East 130.65 feet to the point of beginning. Parcel contains 31,672 square
feet.
WHEREAS Paragraph 1 of said lease reads in part as follows:
The Lessor reserves the right to change the rental payments provided under this
lease each and every two (2) years, first computation to be made from the date of
this lease. Said changes in rental payments shall be based on the rental rates in
effect at the Oakland County international Airport at the expiration date of each two-
year period; and
WHEREAS the two-year period has been completed and a different rental rate is
in effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is hereby amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of 20 cents per
square foot annually, or a gross sum of $6,334.44, annually or payable in twelve
(12) equal installments of $527.87 per month and payable on the first of each and
every month during the time that this lease is in operation. Rental payments to be
computed from the date of January 1, 2001.
IN ALL OTHER RESPECTS said Lease agreement shall remain in full force and
effect.
4 /4 pATTaieseAl, eimotioe925,04i
Oakland County Airport Committee
Vit.ideoT Vi6E d*AliVaiwz$041
Oakland County Airport Committee
J. David WnderVden, Director
Department of Central Services
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated.
WITNESSES: COUNTY OF OAKLAND, a Michigan
Constitutional Corporation
William Kos ich
Ruth Xostich
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED: Feoraviwe
sAleaseslkostich.a
OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE ADDENDUM
THIS MEMORANDUM OF LEASE AND AGREEMENT ADDENDUM, effective the
1st day of January AD. 1999, by and between the COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, hereinafter called the LESSOR, and WILLIAM KOSTICH and
RUTH KOST1CH, hereinafter called the LESSEE:
WHEREAS the County of Oakland, Lessor, and William Kostich and Ruth Kostich,
Lessee, are parties to a certain Land Lease dated January 1, 1997; and
WHEREAS said land lease is for property located on the Oakland County
International Airport in Waterford Township, Oakland County, Michigan, and described as
follows:
Beginning at a point on the Airport grid system 36+32.13 North and 78+01.16 East;
thence South 242.42 feet; thence West 130,65 feet; thence North 242.42 feet;
thence East 130.65 feet to the point of beginning. Parcel contains 31,672 square
,feet.
WHEREAS Paragraph 1 of said lease reads in part as follows:
The Lessor reserves the right to change the rental payments provided under this
lease each and every two (2) years, first computation to be made from the date of
this lease. Said changes in rental payments shall be based on the rental rates in
effect at the Oakland County International Airport at the expii lion date of each two-
year period; and
WHEREAS the two-year period has been completed and a different rental rate is
in effect at the Oakland County International Airport;
FURTHER Paragraph 5 of said Lease is hereby amended to read:
Lessee agrees to pay the Lessor for the described land at a rate of 19 cents per
square foot annually, or a gross sum of $6,017.76, annually or payable in twelve
(12) equal installments of $501,48 per month and payable on the first of each and
every month during the time that this lease is in operation. Rental payments to be
computed from the date of January 1, 1999.
IN ALL OTHER RESPECTS said Lease agreement shall remain in full force and
effect.
vine, Jr., C airperson
Oakland County Airport Committee
William R. Patterson, Vice Chairperson
Oakland County Nport Committee
J. David VanderVe'en, Director
Department of Central Services
IN WITNESS WHEREOF the parties hereto have executed this agreement on the
respective dates hereunder indicated,
WITNESSES: COUNTY OF OAKLAND, a Michigan
Constitutional Corporation
William Kostich
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED: March 18 A.D., 1999,
s:Nleaseslkostich.a
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OAKLAND COUNTY INTERNATIONAL AIRPORT
AIRPORT LAND LEASE FOR CONSTRUCTION OF PERMANENT BUILDING
THIS MEMORANDUM OF LEASE AND AGREEMENT, effective this 1st day of
January. 1997., by and between the COUNTY OF OAKLAND, a Michigan Constitutional
Corporation, hereinafter called the COUNTY, and WILLIAM KOSTICH and RUTH
KOSTICH, hereinafter called the LESSEE:
WHEREAS the County of Oakland owns and operates the Oakland County
International Airport in Waterford Township and has certain plots of ground available which
can be leased to the Lessee upon the conditions hereinafter specified; and
WHEREAS the Lessee is desirous of leasing said plot of ground upon said
conditions for the purpose hereinafter set forth.
NOW THEREFORE THIS AGREEMENT WITNESSETH:
la) The County hereby lets and leases to the Lessee and the Lessee hereby
leases from the County for a period of twenty years (20) from and after the date of this
lease for a term commencing January 1, 1997 and expiring December 31, 2017, the
hereinafter described property. The Lessee shall have the right of renewal of this lease
at the expiration thereof upon such terms and conditions as shall be agreed upon between
the parties hereto. The County reserves the right to change the rental payments provided
under this lease each and every two (2) years, first computation to be made from the date
of this lease. Said changes in rental payments shall be based on the rental rates in effect
at the Oakland County International Airport at the expiration date of each two-year period.
An amendment to the lease providing for such increased rental payments shall be
executed by the parties. If such amendment is not executed, then the lease shall be
terminated by the County by written notice to the Lessee by Certified United States Mail.
Said property located on the Oakland County International Airport in Waterford Township,
Oakland County, Michigan, and described as follows:
Beginning at a point on the Airport grid system 36+32.13 North and 78+01.16 East;
thence South 242.42 feet; thence West 130.65 feet; thence North 242.42 feet;
thence East 130.65 feet to the point of beginning. Parcel contains 31,672 square
feet.
lb) Four (4) months rent, namely N/A shall be paid upon the execution of this
lease, of which N/A shall apply upon-the first month's rent of the term hereby granted,
and payment of N/A shall be retained by the County as a guaranty fund to be applied
upon the rent of the last three (3) months of said term.
2a) The Lessee hereby agrees to use said land so let and leased under Item 1
hereof only for the purpose of commercial use incidental to the sale, servicing and storage
of aircraft provided other uses of the premises may be authorized by resolution of the
Airport Committee.
2b) The Lessee agrees it will use said property in compliance with the laws and
regulations of the Township of Waterford, Oakland County, State of Michigan, the United
States, the Michigan Aeronautics Commission and the Federal Aviation Administration,
including but not limited to 42 U.S.C. 6991, et seq., 40 C.F. R. Part 281, and MCL 299.701,
et seq.
2c) The Lessee hereby agrees to construct an approved type hangar on the
above described property not less than a minimum of ten thousand (10,000) square feet
within one (1) year from the date of this lease at its own cost and expense. Said plans to
be approved by the Airport Committee.
3) The Lessee agrees that the privileges herein granted, in whole or in part,
shall not be assigned, transferred or in any manner disposed of without the approval of the
Airport Committee of the County of Oakland, Michigan.
4) The Lessee agrees that in the use of said above described land, no
obstruction shall be made or any inconvenience caused to the County in the business of
operating and maintaining the Oakland County International Airport.
5) The Lessee agrees to pay the County for the above described land at a rate
of eighteen (18) cents per square foot annually, or a flat rate of $5.700.96 annually, or
payable in twelve (12) equal installments of $475.08 per month, and payable on the first
of each and every month during the time that this lease is in operation. Rental payments
to be computed from date of January 1, 1997. A late charge of one percent (1%) per month
on the unpaid balance shall be applied to payments made after the 20th of each month and
shall be cumulative.
6a) The County agrees that at the expiration of this lease or any renewal thereof,
Lessee may within a reasonable time remove any and all buildings, structures and other
improvements or part of buildings, structures or other improvements placed or erected on
said premises by the Lessee during the term thereof or any renewal thereof; all expenses
connected with such removal to be borne by Lessee.
6b) The Lessee agrees that at the expiration of this lease, the County shall have
the right to ownership of all buildings and other permanent improvements erected or placed
upon the premises and become its property in fee simple without process of law provided
the Lessee does not exercise its right in Paragraph 6a.
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7) It is further agreed that the enjoyment and use in common with others upon
the Oakland County International Airport of all entrances, exits, approaches and means of
entrance and approach and of light and air now in favor of the demised premises shall not
be interfered with or interrupted by any act of either the County or the Lessee during the
term of this lease.
8) The Lessee as part of the consideration hereof, hereby undertakes and
agrees to indemnify and save the County harmless of and from all loss, injury or damage
to person or property of the County, employees of the County or others which may arise
or be alleged to arise through, on account of or out of the privilege herein granted, whether
caused by theft, fire or otherwise.
9) The Lessee undertakes and agrees that in case any claim is made or suit is
brought against the County for any loss, injury or damage arising out of Lessee's use of
the premises or the airport, the Lessee will upon notice from the County, settle, adjust and
defend the same at the Lessee's sole cost and expense and will pay any judgement
rendered together with costs of court.
10) Any grading of [and, drilling of well, installing of underground electric or
telephone cable, septic tank, underground fuel tanks or any other facility above or below
ground shall be done at the Lessee's own expense, including snow removal and general
maintenance.
11) That as part of the consideration of this lease, the County hereby grants to
the Lessee the right to use in common with others having that right for aircraft that portion
of the Oakland County International Airport landing field and appurtenance including
runways, apron to runways and parking facilities for Lessee's automobiles, which are now
owned or which may hereafter be acquired by the County at such times during day or night
and days of the week as shall be established from time to time by such rules and
regulations as may be prescribed for the use thereof by any County department or any
branch or agency of the federal government having jurisdiction.
12) That the County shall have the right to enter upon the demised premises to
maintain, repair, renew or remove sewers and underground telephone or telegraph
conduits or other installations. The County agrees to perform any work with reasonable
dispatch and to leave said premises in as good order and condition as the same were in
prior to the commencement of the work.
13) The Lessee expressly grants to the County a lien on the building which the
Lessee may erect on the premises covered by this lease for the security of the payment
by the Lessee to the County of any rental sums due the said County.
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14) That if the County be required by any future governmental regulation or if any
contingencies arise in the future whereby the County or its own authorized agencies adopt
a general policy of charging a landing fee, then upon due notice, the Lessee shall pay such
fee as additional rent, provided however that other tenants of the County at the airport are
charged a similar fee.
15) The Lessee covenants and agrees that it will keep the exterior of the building
constructed by Lessee and the appurtenant grounds covered by this lease in tidy condition,
the grass mowed, and that the grounds shall be kept free from weeds, rubbish and other
unsightly objects or things.
16) No signs, posters or similar devices shall be erected, displayed or maintained
in view of the general public in, on or above the space herein leased without written
approval of the Airport Manager, and any not approved by him shall be removed by the
County at the expense of the Lessee.
17) The Lessee further agrees to pay any taxes or special assessments
hereinafter legally levied by a governmental agency against the lands covered by this
lease, including buildings or personal property of the Lessee. The non-payment of any
such taxes by the Lessee for ninety (90) days shall be grounds for cancellation of this
lease by the County.
18) It is agreed that the County and its duly authorized employees shall have the
right of ingress and egress to said leased premises, including all buildings or
appurtenances placed or erected on said premises for inspection purposes or for any
purpose occasioned by emergency.
19) It is expressly understood that the present rules and regulations now in effect
governing the Oakland County International Airport, or any future amendment thereto, shall
be binding and shall be considered a part of this lease and shall be complied with by the
Lessee in all details.
20) It is further agreed that if the Lessee shall neglect or fail to pay the payments
promptly as specified in this lease, and if there is a failure to pay the same for a period in
excess of sixty (60) days, then this lease shall become void and the rights of the Lessee
terminated thereunder, and the said Lessee shall be a tenant from month to month and
subject to eviction by legal process in accordance with the statutes of the State of
Michigan.
21) it is further understood that should the Lessee be adjudicated a bankrupt,
that this lease shall become void.
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22) The County hereby declares the policy to be in connection with leases of
present and future properties on the Oakland County International Airport, and the Lessee
will be required to lease the entire lot designated on the Master Plan, as the County will not
lease half a lot or any part thereof.
23) If in Paragraph 2 the County grants permission to the Lessee to operate a
commercial business on the property herein described, then the four following paragraphs,
Nos. 25, 26, 27 and 28, shall apply for commercial use.
24) The Lessee shall furnish good, prompt and efficient service adequate to meet
all demands for its service at the airport.
25a) The Lessee for himself, his personal representatives, successors in interest
and assigns as a part of the consideration hereof, does hereby covenant and agree as a
covenant running with the land that (1) no person on the grounds of race, color or national
origin shall be excluded from participation in, denied the benefits of or be otherwise
subjected to discrimination in the use of said facilities; and (2) that in the construction of
any improvements on, over or under such land and the furnishing of services thereon, no
person on the grounds of race, color or national origin shall be excluded from participation
in, denied the benefits of or be otherwise subjected to discrimination in the use of said
facilities; and (3) that the Lessee shall use the premises in compliance with all other
requirements imposed by or pursuant by or Title 49, Code of Federal Regulations,
Department of Transportation, Subtitle A, Office of the Secretary, Part 21,
Nondiscrimination in federally-assisted programs of the Department of Transportation--
effectuation of Title VI of the Civil Rights Act of 1964, as said regulations may be amended.
25b) That in the event of breach of any of the above nondiscrimination covenants,
the County shall have the right to terminate the lease and to re-enter and repossess said
land and the facilities thereon, and hold the same as if said lease had never been made
or issued.
26) Lessee shall charge fair, reasonable and nondiscriminatory prices for each
unit of sale or service, provided that the Lessee may be allowed to make reasonable and
nondiscriminatory discounts, rebates and other similar types of price reduction to volume
purchasers.
27) This lease shall be non-exclusive and subordinate to the provisions of any
existing or future agreement between the County and the United States relative to the
operation or maintenance of the airport, the execution of which has been or may be
required as a condition precedent to the expenditure of federal funds for the development
of the airport.
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28) The County reserves the right to further develop or improve the landing areas
of the airport as it sees fit, regardless of the desires or views of the Lessee and without
interference or hindrance.
29) The County reserves the right to take any action it considers necessary to
protect the aerial approaches of the airport against obstruction, together with the right to
prevent the Lessee from erecting or permitting to be erected any building or other structure
on the airport, which in the opinion of the County would limit the usefulness of the airport
or constitute a hazard to aircraft.
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Donn L. Wolf, Chairrerson
Oakland County Airport Committee
INS
IN WITNESS WHEREOF, the parties hereto have executed this agreement on the
date hereunder indicated.
WITNESSES: COUNTY OF OAKLAND, a Michigan
Constitutional Corporation, Lessor
Dennis N. Powers, Vice Chairperson
Oakland Cou Airport Committee
WILLIAM KOSTICH and RUTH
KOSTICH, Lessee
APPROVED BY RESOLUTION OF THE OAKLAND COUNTY AIRPORT COMMITTEE
DATED 97 A.D., 19 VC.'.
d:Veasos \kostic
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Resolution #16055 March 30, 2016
Moved by Kochenderfer supported by McGillivray the resolutions (with fiscal notes attached) on the
Consent Agenda be adopted (with accompanying reports being accepted).
AYES: Dwyer, Fleming, Gershenson, Gingell, Gosselin, Hoffman, Jackson, Kochenderfer,
KowaII, Long, McGillivray, Middleton, Quarles, Scott, Spisz, Taub, Weipert, Woodward, Bowman,
Crawford. (20)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the Consent
Agenda were adopted (with accompanying reports being accepted).
HOW APPROVE THIS RESOLUTION
CHIEF DEPUTY COUNTY EXECUTIVE
ACTING PURSUANT TO MCL 45.559A (7)
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on March 30,
2016, with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at
Pontiac, Michigan this 3O of March, 2016.
Lisa Brown, Oakland County