HomeMy WebLinkAbout48-24 RESOLUTION113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 48-24
File Number: 2024-1680
AFTERGLOW AIRCRAFT SOLUTIONS - PAINT FACILITY (LEASE AGREEMENT):
A RESOLUTION TO APPROVE A FIVE YEAR LEASE AGREEMENT WITH EXCLUSIVE FLIGHT, LLC. D/B/A
AFTERGLOW AIRCRAFT SOLUTIONS FOR THE AIRPORT HANGAR AT 4158 SOUTH SCHOOL AVENUE
FOR RENT IN THE AMOUNT OF $901.00 PER MONTH
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a five year lease agreement with
Exclusive Flight, LLC d/b/a Afterglow Aircraft Solutions a copy of which is attached to this Resolution and made a
part hereof, for the airport hangar at 4158 South School Avenue for rent in the amount of $901.00 per month.
PASSED and APPROVED on February 6, 2024
Page 1
Attest:
.���C�••GATY 0''
Kara Paxton, City CI rk Treasurer . l AYE i I- l '
I GION'
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF FEBRUARY 6, 2024
CITY COUNCIL MEMO
2024-1680
TO:
Mayor Jordan and City Council
THRU:
Susan Norton, Chief of Staff
FROM:
Jared Rabren, Airport Director
DATE:
SUBJECT:
Afterglow Aircraft Solutions Paint Facility lease agreement
RECOMMENDATION:
The Aviation Division requests a resolution to approve and allow the Mayor to sign a corporate hangar lease
agreement between the City of Fayetteville and Afterglow Aircraft Solutions.
BACKGROUND:
The corporate hangar is located at 4158 S School Ave, Fayetteville, AR 72701. It is currently occupied by
Afterglow Aircraft Solutions.
DISCUSSION:
Afterglow Aircraft Solutions would like to continue to lease corporate hangar space to use as a paint facility for
aircraft restoration.
BUDGET/STAFF IMPACT:
This lease will provide $10,812 in revenue annually to the airport.
ATTACHMENTS: SRF (#3), Afterglow Paint Facility Signed Lease (#4)
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
_= City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479)575-8323
- Legislation Text
File #: 2024-1680
Afterglow Aircraft Solutions Paint Facility lease agreement
A RESOLUTION TO APPROVE A FIVE YEAR LEASE AGREEMENT WITH EXCLUSIVE
FLIGHT, LLC. DB/A AFTERGLOW AIRCRAFT SOLUTIONS FOR THE AIRPORT HANGAR AT
4158 SOUTH SCHOOL AVENUE FOR RENT IN THE AMOUNT OF $901.00 PER MONTH
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a five year lease
agreement with Exclusive Flight, LLC d/b/a Afterglow Aircraft Solutions a copy of which is attached to
this Resolution and made a part hereof, for the airport hangar at 4158 South School Avenue for rent in
the amount of $901.00 per month.
Page 1
Jared Rabren
Submitted By
City of Fayetteville Staff Review Form
2024-1680
Item ID
2/6/2024
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
1/17/2024 AIRPORT SERVICES (760)
Submitted Date Division / Department
Action Recommendation:
The Aviation Division requests a resolution to approve and allow the Mayor to sign a corporate lease agreement
between the City of Fayetteville and Exclusive Flight, LLC dba Afterglow Aircraft Solutions located at 4158 S School
Ave for use as a paint facility. This is a five year lease agreement.
Account Number
Project Number
Budgeted Item? No
Budget Impact:
Fund
Project Title
Total Amended Budget
Expenses (Actual+Encum)
Available Budget
Does item have a direct cost? No Item Cost
Is a Budget Adjustment attached? No Budget Adjustment
Remaining Budget
V20221130
Purchase Order Number: Previous Ordinance or Resolution #
Change Order Number: Approval Date:
Original Contract Number:
Comments:
Exclusive Flight, LLC dba Afterglow Aircraft Solutions Paint Facility
LEASE AGREEMENT
This LEASE AGREEMENT made this lY day of Febyw w , 2024, by and
between the City of Fayetteville, Arkansas, hereinafter called "City", al1d Exclusive Flight, LLC
d/b/a Afterglow Aircraft Solutions c/o Jonathan Rose, PO Box 393, Greenland, AR 72737, 479-
234-1226,hereinafter called"Afterglow Aircraft Solutions"
WHEREAS, City is the owner of an airport known as the Fayetteville Executive Airport, Drake
Field, herein referred to as the"Airport';and
WHEREAS, City is the owner of an aircraft hangar at the Airport; and
WHEREAS,Afterglow Aircraft Solutions desires to lease said corporate aircraft hangar.
NOW, THEREFORE, the parties, in consideration of the mutual covenants contained herein,
hereby agree as follows:
1. City leases to Afterglow Aircraft Solutions,and Afterglow Aircraft Solutions leases from City,
the corporate aircraft hangar located at 4158 S. School Ave.,Fayetteville,Arkansas,as reflected
on"Exhibit A"attached hereto and made a part hereof.
2. Afterglow Aircraft Solutions is granted the use, in common with others similarly authorized, of
the airport, together with all facilities, equipment, improvements, and services which have been,
or may hereafter, be provided at, or in connection with the Airport from time to time including,
but not limited to, the landing field, and any extensions hereof or additions thereto, roadways,
runways, ramps, aprons, taxiways, flood lights, landing lights, beacons, control tower, signals,
radio aids, and all other conveniences for flying, landings and take-offs.
3.Afterglow Aircraft Solutions shall have at all times the full and free right in ingress to and egress
from the demised premises and facilities referred to herein for Afterglow Aircraft Solutions, its
employees, customers, passengers, guests, and other invitees. Such rights shall also extend to
persons or organizations supplying materials or furnishing services to Afterglow Aircraft
Solutions.
4. Term: Subject to earlier termination as hereinafter provided,the initial term of this agreement
shall be for Five (5) year(g commencing on the U day of Feh1In GItft
0 , 2024, and
ending on the day of PebVIA , 2029
This Lease Agreement may be terminated by either party with a thirty (30) day written notice.
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5. Rent: Afterglow Aircraft Solutions agrees to pay the City for the use of the premises, facilities,
rights, and privileges granted hereunder the sum of: Nine hundred and one dollars and no cents
$901.00
There will be a two percent increase per year upon renewal of this Lease Agreement going forward.
6. City shall maintain and keep in good repair so much of the Airport premises as are not under
the exclusive control of Afterglow Aircraft Solutions. Afterglow Aircraft Solutions shall, at the
termination, surrender or forfeiture of this lease, return said premises in same or better condition
premises were at the beginning of the lease, normal wear and tear excepted.
7. Afterglow Aircraft Solutions shall provide for and supply at its expense all janitor service with
respect to the demised premises, and shall pay for all utilities serving the demised premises,
including, but not limited to heat, light, gas, electricity, and water, sewer and trash removal.
8. Improvements: Afterglow Aircraft Solutions shall bear the cost of all improvements or additions
made to the interior or exterior of the building on the leased premises. No improvements or
additions to any part of the leased premises shall be made by Afterglow Aircraft Solutions without
the prior written approval of the Airport Manager, whose consent will not be unreasonably
withheld. Any signs or antennas to be erected on or attached to the leased premises must have the
prior written approval of the Airport Manager and conform to all City Ordinances.
9. Maintenance: The City shall be responsible only for major maintenance of the existing
equipment, i.e. replacement of heating unit and other equipment in place in the facility which
includes, roof, hangar door motors, exterior walls, exterior plumbing, paved ramp and paved
parking lot. The City agrees that if the roof or any part of the exterior walls or exterior plumbing
of said building thereof shall become defective or damaged at any time during the term due to
ordinary wear and tear and not due to negligence of Afterglow Aircraft Solutions, or Afterglow
Aircraft Solutions `s agents or invites, upon notice from Afterglow Aircraft Solutions, the City
will immediately cause repairs to be made and restore the defective portions to good condition. If
the damage is so extensive as to render such building untenable, the rent payable hereunder shall
be proportionally paid up to the time of such damage and shall thenceforth cease until such time
as the premises shall be fully restored. If the demised premises are completely destroyed, City
may reconstruct the hangar at the City's own cost and the rent payable hereunder shall be adjusted
as set forth above, or City may, at its option, cancel this agreement, such cancellation to be
effective as of the date the hangar was destroyed, and the rent adjusted as set forth above. Routine
maintenance of the hangar doors shall remain the responsibility of the City. Afterglow Aircraft
Solutions shall not make any alterations to the controls of the hangar doors.
10. Afterglow Aircraft Solutions agrees to observe and obey City's Ordinances and Regulations
with respect to use of the demised premises and Airport; provided, however, such Ordinances and
Regulations shall be consistent with safety and with all city, county, and state rules, regulations,
including all current fire codes, and orders of the Federal Aviation Administration with respect to
aircraft operations at the Airport, and provided further, such Ordinances and Regulations shall be
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consistent with the provisions of this agreement or the procedures prescribed or approved from
time to time by the Federal Aviation Administration with respect to the operation of Afterglow
Aircraft Solutionss aircraft at the Airport.
"The Minimum Standards for Fayetteville Executive Airport, Drake Field" herein referred to as
Airport Minimum Standards are made part of this lease by reference as if included word for word.
11. Afterglow Aircraft Solutions agrees that it shall use the premises for the implementation and
conducting of an aeronautical business activity. Afterglow Aircraft Solutions agrees that it shall
use the premises only for the storage of airplanes and materials and equipment necessarily related
to the operation of said aeronautical business activity and that no other vehicles, equipment or
supplies shall be stored on the premises unless expressly agreed to by the City. Afterglow Aircraft
Solutions further agrees not to store any flammable material outside of an approved storage
container on the demised premises, other than a limited supply of oils and agents necessary for
current aircraft maintenance and repair, or in any way endanger or violate the provisions of the
City's standard commercially available property insurance policy or the requirements of same.
Such violations shall constitute a material breach of this Agreement.
12. Hazardous Substance: Afterglow Aircraft Solutions shall not cause or permit any Hazardous
Substance to be used or stored on or in the Leased Premises without first obtaining the City's
written consent. If hazardous Substances are used, stored, generated, or disposed of on or in the
Leased Premises or if the Leased Premises or any other Airport property becomes contaminated
in any manner for which Afterglow Aircraft Solutions is responsible or legally liable, Afterglow
Aircraft Solutions shall indemnify and hold harmless the City, its officers, directors, agents,
servants, and employees from any and all claims, damages, fines, judgments, penalties, costs,
liabilities, or losses including all reasonable costs for investigation and defense thereof, (including
but not limited to attorney's fees, court costs, and expert fees, and without limitation, decrease in
value of the Lease Premises, damages caused by loss or restriction of rentable or usable space as
a part of the Leased Premises arising during or after the term hereof and arising as a result of that
contamination by Afterglow Aircraft Solutions, Afterglow Aircraft Solutions agents, employees,
and invitees. This indemnification includes, without limitation, all cost incurred because of any
investigation of the Airport or any cleanup, removal, or restoration mandated by a federal, state,
local agency or political subdivision.
13. If the demised premises are partially damaged by fire or other casualty which is not due to the
negligence or fault of the Afterglow Aircraft Solutions, said premises shall be repaired with due
diligence by City at City's expense. If the damage is so extensive as to render such building
untenable, the rent payable hereunder shall be proportionally paid up to the time of such damage
and shall thenceforth cease until such time as the premises shall be fully restored. If the demised
premises are completely destroyed, City may reconstruct the hangar at the City's own cost and the
rent payable hereunder shall be adjusted as set forth above, or City may, at its option, cancel this
agreement, such cancellation to be effective as of the date the hangar was destroyed, and the rent
adjusted as set forth above.
14. Afterglow Aircraft Solutions shall maintain in force during the Term and any extended term
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public liability and property damage insurance in comprehensive form as reasonably may be
required by the City and specified in the Airport Minimum Standards. The insurance shall be
issued by an insurer licensed to do business in the State of Arkansas.
Concurrent with the execution of this Agreement, Afterglow Aircraft Solutions shall provide proof
of insurance coverage by providing a Certificate of Lessee's Insurance coverage, a copy of the
declarations page on the insurance policy, and a copy of all endorsements. The Certificates of
Insurance, or endorsements attached thereto, shall provide that; (a) insurance coverage shall not
be canceled, changed in coverage, or reduced in limits without at least thirty (30) days prior written
notice to the City: (b) the City and the Airport and their trustees, agents, officers, servants, and
employees are named as additional insured: (c) the policy shall be considered primary as regards
to any other insurance coverage the City may possess, including any self -insured retention or
deductible the City may have, and any other insurance coverage the City may possess shall be
considered excess insurance only; (d) the limits of liability required therein are on an occurrence
basis.
15. Afterglow Aircraft Solutions agrees to indemnify City against any and all liabilities, losses,
suits, claims, judgments, fines, penalties, demands or expenses, including all reasonable costs for
investigation and defense thereof, (including but not limited to attorney's fees, court costs, and
expert fees, for injuries to persons or damage to property caused by Afterglow Aircraft Solutions
s use or occupancy of the lease premises; provided, however, that Afterglow Aircraft Solutions
shall not be liable for any injury, damage or loss arising from the negligence of City or its agents
or employees; and provided further, that each party shall give prompt and timely notice of any
claim made or suit instituted which in any way directly or indirectly affects or might affect either
party, and each party shall have the right to compromise and defend the same to the extent of its
own interest. This clause shall not be construed to waive that tort immunity as set forth under
Arkansas Law.
16. Afterglow Aircraft Solutions agrees that it will not discriminate by segregation or otherwise
against any person or persons because of race, creed, color, religion, national origin, sex, marital
status, or handicap in the furnishing, or by refusing to furnish, to such persons the use of any
facility, including any and all services, privileges, accommodations, and activities provided
thereby. Nothing herein shall require the furnishing to the general public of the use of any facility
customarily furnished by the City solely to tenants, their employees, customers, patients, client,
guests, and invites.
17. Assigning, Subletting and Encumbering. Afterglow Aircraft Solutions shall not assign this
Agreement in whole or in part, nor sublease all or any part of the Leased Premises, nor permit
other persons to occupy said Leased Premises or any part thereof, not grant any license or
concession for all or any part of said Leased Premises, without the prior written consent of the
Airport Manager, which consent shall not be unreasonably withheld. Any consent by the Airport
to an assignment or subletting of this Agreement shall not constitute a waiver of the necessity of
obtaining that consent as to any subsequent assignment. Any assignment for the benefit of
Afterglow Aircraft Solutions's creditors or otherwise by operation of law shall not be effective to
transfer or assign Afterglow Aircraft Solutions's interest under this Agreement unless the Airport
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shall have first consented thereto in writing. Neither Afterglow Aircraft Solutions's interest in this
Agreement, not any estate created hereby in Afterglow Aircraft Solutions nor any interest herein
or therein, shall pass to any trustee or receiver or assignee for the benefit of creditors or otherwise
by operation of law except as may specifically be provided in the Bankruptcy Code. If any of the
corporate shares of stock of Afterglow Aircraft Solutions are transferred, or if any partnership
interests of Afterglow Aircraft Solutions are transferred, by sale, assignment, bequest, inheritance,
operation of law, or otherwise, so as to result in a change of the control, assets, value, ownership,
or structure of Afterglow Aircraft Solutions, same shall be deemed an assignment for the purposes
of this Section 17 and shall require the Airport's prior consent, and Afterglow Aircraft Solutions
shall notify the Airport of any such change or proposed change.
18. On the expiration or other termination of this lease Afterglow Aircraft Solutions's right to use
the demised premises shall cease, and Afterglow Aircraft Solutions shall vacate the premises
without unreasonable delay. All property installed, erected, or placed by Afterglow Aircraft
Solutions in, on, or about the premises leased hereunder shall be deemed to be personal property
and shall remain the property of Afterglow Aircraft Solutions. Afterglow Aircraft Solutions shall
have the right at any time during the term of this agreement, or any renewal or extension hereof,
and for an additional period of fourteen (14) days after the expiration or other termination of this
agreement, to remove any or all of such property, subject, however, to Afterglow Aircraft
Solutions's obligation to repair all damage, if any, resulting from such removal. Any and all
property not removed by Afterglow Aircraft Solutions prior to the expiration of the aforesaid
fourteen (14) day period shall thereupon become a part of the land on which it is located and title
hereto shall thereupon vest in City.
19. City may enter the premises leased to Afterglow Aircraft Solutions at any reasonable time for
any purpose necessary or incidental to the performance of its obligations or Afterglow Aircraft
Solutions's obligations hereunder.
20. Afterglow Aircraft Solutions shall maintain the demised premises in a clean and orderly
fashion at all times. Afterglow Aircraft Solutions shall be responsible for the upkeep and
mowing of the leased property.
21. Afterglow Aircraft Solutions shall not start or operate aircraft engines within the aircraft
hangar leased hereby and shall not allow such operations by any other person.
22. M Afterglow Aircraft Solutions agrees that habitation of the hangar building as a residence is
prohibited.
23. Any notice or consent required by this Agreement shall be sufficient if sent by Certified Mail,
return receipt requested, postage paid, to the following address:
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City of Fayetteville
Airport Administration Office
4500 S. School Avenue, Suite F
Fayetteville, Arkansas 72701
Phone: 479-718-7642
Exclusive Flight, LLC dba
Afterglow Aircraft Solutions
c/o Jonathan Rose
PO Box 393
Greenland, Arkansas 72737
Phone: 479-234-1226
24. This agreement shall be construed under the laws of the State of Arkansas.
25. All the covenants, conditions, and provisions under this agreement shall extend to and bind
the legal representative, successors, and assigns of the respective parties hereof.
IN WITNESS WHEREOF, the parties have executed this Lease on the day and year first above
written.
CITY OF FAYETTEVILLE,,ARKANSAS:
VLioneld Jor, , Mayor
ATTEST: .��G' G�� Y OF
By:
Kara Paxton, City Cle Treasures • t i ' ` V',L `
EXCLUSIVE FLIGHT, LLC DBA
AFTERGLOW AIRCRAFT SOLUTIONS
By:
Title
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