Steven A. Vold Revocable Trust and Susan K. Vold Revocable Trust, as Tenants in Common, desire to renew their Ground Lease and enter into a new West End Hangar Ground Lease on the parcel located at 2551 Overlook Drive.  The current Lease expired April 30, 2016.  The Volds first entered into a Ground Lease on this 5,950 square foot parcel in 1996 and built a 3,600 square foot hangar on the parcel located in the general aviation area on the west end of the Airport.  The new West End Hangar Ground Lease is for a 6,300 square foot parcel, which includes additional space needed for vehicle parking, and is for a twenty-year term, commencing May 1, 2016 and terminating on April 30, 2036.

City Council may:

• Approve the new West End Hangar Ground Lease to Steven A. Vold Revocable Trust and Susan K. Vold Revocable Trust as Tenants in Common for the term commencing May 1, 2016 and terminating on April 30, 2036, or;
• Disapprove the twenty-year West End Hangar Ground Lease to Steven A. Vold Revocable Trust and Susan K. Vold Revocable Trust as Tenants in Common for the term commencing May 1, 2016 and terminating on April 30, 2036.

The first year of the new West End Hangar Ground Lease will generate $1,348.20 of revenue for the City's Airport.  Subsequent years will be adjusted annually on the anniversary date of the Lease using the Department of Labor Consumer Price Index For All Urban Consumers (CPI-U), published by the Bureau of Labor Statistics, for the previous twelve months to keep pace with annual inflation. 
 

Staff recommends the City Council approve the twenty-year West End Hangar Ground Lease to Steven A. Vold Revocable Trust and Susan K. Vold Revocable Trust as Tenants in Common for the term commencing May 1, 2016 and terminating on April 30, 2036.