Consent 1.C.
Regular City Council Meeting
- Meeting Date:
- 10/23/2017
- TITLE
- Limited Commercial Aviation Building and Ground Lease with Alpine Immobilien, LLC for Hangar IP-5
- PRESENTED BY:
- Kevin Ploehn
- Department:
- Airport
Presentation:
No
PROBLEM/ISSUE STATEMENT
Alpine Aviation, Inc., now known as Alpine Immobilien, LLC (Alpine) has leased hangar space at the Airport since the 1990s. The current Lease expires on October 31, 2017. Alpine wishes to continue to lease its current space in IP-5, a large hangar located in the Airport Business Park that Alpine uses for aircraft storage and maintenance. Staff has worked with Alpine on a new five-year Lease that will expire on October 31, 2022.
ALTERNATIVES ANALYZED
↵City Council may:
- Approve the Limited Commercial Aviation Building and Ground Lease with Alpine; or
- Disapprove the Limited Commercial Aviation Building and Ground Lease with Alpine.
FINANCIAL IMPACT
The initial year of this Lease will generate $37,419 of rental revenue for the Airport. The subsequent years' rental rate will be adjusted using the Department of Labor Consumer Price Index for Urban Consumers (CPI-U), published by the Bureau of Labor Statistics.
RECOMMENDATION
Staff recommends that the City Council approve the Limited Commercial Aviation Building and Ground Lease with Alpine Immobilien, LLC for a five-year term beginning November 1, 2017 and ending October 31, 2022.