Edwards Jet Center (EJC) desires to renew its Lease for ground space to provide parking for its employees and customers. This five-year ground Lease is for 16,285.10 square feet. EJC will continue to operate the remote parking lot as a permit only parking lot located west of EJC's main facility. The Lease identifies that the tenant is responsible for maintaining the leasehold, and includes the appropriate insurance coverage requirements and indemnification language. The City Council approved EJC's previous five-year term Lease on November 26, 2007, for a term that began on November 1, 2007 and ended on October 31, 2012. The term of the new Lease commences on November 1, 2012 and will end on October 31, 2017. A copy of the Lease is on file in the City Clerk's Office.

The City Council may:

• Approve the renewal of the ground Lease with EJC for a five-year term commencing November 1, 2012; or
• Not approve the renewal of the ground Lease with EJC for a five-year term commencing November 1, 2012.

This ground Lease will generate $4,118.52 in the first year of the Lease. Future Lease year rentals will be adjusted annually by the Consumer Price Index for All Urban Consumers (CPI-U) published by the Bureau of Labor Statistics.

Staff recommends that Council approve a new five-year Limited Commercial Aviation Ground Lease with EJC for use as a permit only parking lot, for a term beginning November 1, 2012 and ending on October 31, 2017.