Wesco Resources, Inc. desires to enter into a new West End Hangar Ground Lease and to construct a new 60 foot x 60 foot hangar on the parcel located at 2901 Overlook Drive. This Lease is for a 5,950 square foot parcel located in the general aviation area on the west end of the Airport, and will be the first lease on the new Taxilane D. The Lease is for twenty years, commencing October 1, 2011 and terminating on September 30, 2031.

The City Council may:

• Approve the West End Hangar Ground Lease with Wesco Resources, Inc. for a twenty-year term commencing October 1, 2011 and terminating on September 30, 2031; or
• Not approve the West End Hangar Ground Lease with Wesco Resources, Inc. for a twenty-year term commencing October 1, 2011 and terminating on September 30, 2031.

The first year of this Lease will generate $1,135.26 of revenue for the City's Airport. Subsequent years will be adjusted using the Consumer Price Index - Urban Consumers (CPI-U) for the previous twelve months to keep pace with annual inflation.

Staff recommends that City Council approve the twenty-year West End Hangar Ground Lease with Wesco Resources, Inc., for the term commencing October 1, 2011 and terminating on September 30, 2031.