HomeMy WebLinkAboutAUGUSTA AVIATION COMMISSION TAILWINDS LOUNGE , . .
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STATE OF GEORGIA )
COUNTY OF RICHMOND )
THIS LEASE AGREEMENT, made and entered into this /'� day of
+.�� , 2006 by and between AUGUSTA, GEORGIA, a political subdivision of the
State of Georgia (hereinafter referred to as "Augusta") acting by and through the AUGUSTA
AVIATION COMMISSION (hereinafter called "Lessor") and Tailwinds Lounge, (hereinafter
called "Lessee");
WITNESSETH:
WHEREAS, Augusta is the owner of Augusta Regional Airport at Bush Field,
which is under the direction and control of the Lessor, said Bush Field being located in the
County of Richmond, State of Georgia; and
WHEREAS, the Lessor wishes to enter into a Lease for a certain portion of the
Airport premises in the interest of furthering and carrying out its purpose in the operation of the
airport and in the promotion of aviation in the interest of the public, and the Lessee desires to
obtain a Lease for certain premises located at the Airport for food service.
NOW, THEREFORE, the parties hereto for and in consideration of the mutual
promises herein contained, do hereby agree each for itself and its successars and assigns as
follows:
Section 1. Premises. The Lessor does hereby lease and let to Lessee, and the
Lessee, for its exclusive use, does hereby lease and obtain from the Lessor for the purposes
hereinafter set forth that portion of the Airline Terminal Building known as the Food Concession '
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, .
(Secure) and Food Concession (Non Secure) area and shown on Exhibit "A" (hatched in red),
being hereinafter called the "Premises". Exhibit "A" is attached hereto and made a part hereof.
[NOTE: plat is not attached]
Section 2. Term. Subject to the terms, provisions, and conditions hereof, this
Lease Agreement shall be for a term of two (2) years with a one-year option to renew
commencing on October l, 2007 or final occupancy of the terminal whichever comes first.
Section 3. Rental. As rental for the Premises, Lessee agrees to pay to the
Lessor monthly the greater of the sum of $750.00 or five percent (5%) of the gross revenue, less
applicable sales tax. In determining gross revenue from the operation of said business for the
purpose of computing the percentage rental, gross revenue shall mean all revenue or income
received or recorded to be received resulting from Lessee's operation on the Premises including,
but not limited to, revenue from cash transactions, charge accounts locally controlled or billed
through central offices, credit card transactions, and any other form of billing used in the
transacting of business by Lessee on said Airport.
Lessee agrees during the term of this Agreement to submit to Lessor monthly
statements of gross revenues. Rental payments and statements of gross revenue are to be
submitted on or before the tenth (lO day of the month following the month within which the
gross revenue hereinabove described has been realized or rental payment becomes due.
Lessee further agrees that complete books and records of Lessee's operation
reflecting every phase of activity in connection with this Lease shall be maintained by Lessee.
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Said books and records shall be subject to inspection and audit by Lessor at any time during the
normal working day.
Upon request, Lessee shall provide to Lessor a statement verifying monthly gross
revenues as previously reported by Lessee to the Lessor. Said verification shall be compiled by a
competent and registered accountant.
Section 4. Use of the Premises. Lessee shall use the Premises only for the
purpose of operating a dining room, coffee shop, cocktail lounge, and other Airport Terminal
food and beverage related activities.
Section 5. Operation of the Premises. Lessee shall provide adequate qualified
personnel, equipment, and resale products in such a manner as to develop and maintain the good
will of the general public utilizing the Airport.
All prices charged the general public for the services rendered upon the Premises
shall be commensurate with and in no case in excess of the highest charged at the principal air
carrier airports serving the cities of Columbia, South Carolina, Charleston, South Carolina,
Greenville-Spartanburg, South Carolina, Savannah, Georgia, and Tallahassee, Florida.
Lessee shall operate the Premises seven (7) days per week, including holidays, for
the following hours: open one (1) hour prior to the first scheduled departure and remain open
until the last scheduled departure. No change in the opening and closing hours shall be made
without the prior written consent of the Lessor.
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.
Lessee may not, without the prior written consent of Lessor, install or operate any
coin operated vending machines, including those dispensing or providing music or
entertainment.
Section 6. Additions, Alterations, Changes, and Improvements. Lessee shall
not, without the prior written consent of Lessor, make any additions, alterations, including
painting and decorating, changes, or improvements, structural or otherwise, in or upon any part
of the Premises.
Lessee shall submit in writing to Lessor plans and specifications for any such
proposed additions, alterations, changes, or improvements and no work shall be commenced
thereon until such time as Lessor's written consent has been obtained. Upon the expiration of
the lease, Lessee shall, at Lesson's option, return the premises in the same condition as it existed
at the commencement of the lease, or any such additions, alterations, changes, or improvements
made by Lessee, excluding trade fixtures, shall become the property of the Lessor upon the
termination of this Lease, whether by lapse of time otherwise, and shall be surrendered to Lessor
at the time of taking possession of the Premises by Lessor.
Lessee shall not attach or install any fixtures, equipment, posters, signs, pictures,
advertisements, etc. to the interior or exterior of the Premises or in the public view without the
prior approval of Lessor.
Section 7. Cleanine. Lessee shall be responsible for the cleaning of the
Premises. Cleanliness measures shall conform to all city, state, and federal health regulations,
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including but limited to those regulations relating to the preparation, storage and serving of food
and food products
Lessee shall be responsible for the handling, preparation, and storage of all items
sold by the Lessee for consumption by the public in accordance with USDA guidelines, as well
as all city, state, and federal health regulations.
Section 8. Maintenance and Repair. Lessee accepts the Premises and the
equipment installed therein "as is" and in their present condition and agrees to maintain them
throughout the term of this Lease. In the event installed equipment owned by Lessor and used by
Lessee is determined to be unserviceable, then such equipment shall be returned to Lessor. If the
equipment should need replacing, it is the responsibility of the Lessee not the Lessor to replace
this equipment. Lessor shall be responsible for and shall pay for all repairs and maintenance
which may be necessary to the exterior building walls and roof, except plate glass and except
where the need for any such repairs is due to act of Lessee or any of Lessee's employees, agents,
representatives, contractors, or invitees, in which case Lessee shall be responsible for and shall
pay for the costs of such repairs and maintenance. Lessor reserves the right to enter upon the
Premises at any time during the normal working day for the purpose of making inspections,
further developing, and improving said Premises.
Section 9. Utilities. Lessee shall pay for all utilities used and required in
connection with the conduct of its business on the Premises. In the event separate metering of
utilities is not available, Lessor shall have the right to prorate utility charges to Lessee on a fair
and equitable basis, with Lessor's prorations being conclusive and final.
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Section 10. Rules and Regulations. Lessee agrees that use of the leased
Premises shall be conducted in conformity with all local, State, and Federal laws and published
or written Airport regulations and procedures. It is further agreed that Lessor's designated
Manager's (who shall be at all times in full and complete charge of said Airport in its entirety)
directions as to policy and procedures shall be final and conclusive upon Lessee.
Section 11. Taxes, Permits, and Licenses. Lessee shall be responsible for and
shall pay all taxes which may be levied or assessed against the machinery, equipment, or other
personal property owned or used by Lessee and located on the leased Premises. Lessee shall not
be required to pay any real property taxes.
Lessee shall be solely responsible for purchasing and maintaining all applicable
licenses and permits (including liquor license) necessary for the operation of the entire Premises
herein leased. In the event any necessary license shall be finally denied to or revoked from
Lessee, this lease shall terminate.
Section 12. Insurance. Lessor shall not be liable to Lessee or to Lessee's
agents, patrons, visitors, subtenants' employees, or contractors for any damage to person or
property caused by any act of negligence of Lessee or any of Lessee's directors, offficers, agents,
contractors, servants, or employees or for damages resulting from business activities conducted
by Lessee on the leased Premises. Lessee agrees to obtain and keep in effect at all times during
the term of this Lease insurance coverage as follows:
Lessee hereby agrees to maintain at all times at Lessee's expense, $1,000,000
Broad Form Comprehensive General Liability to include Products Liability and Liquor Liability,
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naming Augusta, Georgia, the Augusta — Richmond County Commission, the Augusta Regional
Airport and the Augusta Aviation Commission as additional named insureds and contain a 30
day notice of cancellation to the Airport in the event the policy is cancelled for any reason.
Lessee agrees to furnish an annual certificate of insurance to Lessor.
Section 13. Liabilities and Indemnification. Lessee agrees to indemnify, save,
and hold harmless Lessor, its officers, agents, servants, and employees of and from any and all
costs, liability, damage, and expense, including costs of suit and reasonable expenses of legal
services, claimed or recovered by any person, firm, or corparation by reason of injury to, or
death of, any person or persons, and damage to, destruction, or loss of use of any and all
property, including Lessor's personnel and property, directly arising from, or resulting from, nay
operations, works, acts, or omissions of Lessee, its agents, servants, employees, contrators,
sublessees, or tenants, excepting such liability as may be caused by the operations, works, acts,
negligence, or omissions or Lessor, its agents, or employees. Any final judgment rendered
against Lessee for any cause for which Lessee is liable hereunder shall be conclusive against
Lessee as to liability and amount upon the expiration of the time for appeal. In addition to
Lessee's undertaking in this provision, and as a means of further protecting the Lessor, its
officers, agents, servants, and employees, Lessee shall at all times during the term of this Lease
obtain and maintain in effect public liability insurance coverage of the types and with the
minimum limits set forth elsewhere in this Lease.
Section 14. Fire ar Other Casualtv. In the event the Premises are totally
destroyed (or so substantially damaged as to be untenantable) by storm, fire, earthquake, or other
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casualty, this Lease shall terminate as of the date of such destruction or damage and the rental
shall be accounted for as between the parties hereto as of that date.
Section 15. Sublettin�. Lessee shall not assign this Lease or any interest
hereunder, or sublet the Premises or any part thereof, or permit the use of some or any part
thereof, by any party, other than as above stipulated, or become inactive in the operation of said
Premises without the prior written consent of the Lessor.
This Lease shall create the relationship of Landlord and Tenant between the
Lessor and Lessee; no estate shall pass out of the Lessor; Lessee has only an usufruct, not subject
to levy and sale and not assignable by Lessee except by Lessor's written consent.
Section 16. Default bv Lessee. If Lessee defaults in the payment of any rent
and such default continues for a period of ten (10) days after written notice from Lessor or its
agent, or is Lessee defaults in fulfilling any of the covenants or agreements of the Lease
Agreement on its part to be kept or performed and such default is not made good within ten (10)
days after written notice from Lessor or its agent, then in any one or more of such events and at
any time thereafter, Lessor may, at its election, declare this Lease canceled and terminated and
may be its representatives, enter upon said Premises with or without process of law and take
possession thereof.
Section 17. Default bv Lessor. In the event Lessor should default in the
performance of any of its duties or obligations under this Lease Agreement and such default
should not be cured by Lessor and should be of such a nature that nonperformance thereof would
result in a termination of the Lease, and such default does not arise out of a default by Lessee in
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the performance of its duties and obligations under this Lease Agreement, then, in any such
event, Lessee herein may, upon thirty (30) days prior written notice to Lessor, termination this
Lease Agreement and be relieved of all unaccrued liability and obligations hereunder.
Section 18. Insolvencv. If at any time during the term of this Lease or any
extensions or renewals thereof , there shall be filed by or against Lessee in any court pursuant to
any statute either of the United States or of any State, a petition in bankruptcy or insolvency or
for reorganization or for the appointment of a receiver or trustee of all or a portion of Lessee's
property, and within thirty (30) days there Lessee fails to secure a discharge thereof, or if Lessee
makes an assignment for the benefit of creditors or petitions for or enters into such an
arrangement, this Lease Agreement shall ipso facto be canceled and terminated and in which
event neither Lessee nor any person claiming through or under Lessee, or by virtue of any statute
or of an order of any court shall be entitled to possession of the leased Premises and Lessor, in
addition to the other rights and remedies of Lessor by virtue of any other provisions herein or
elsewhere in this Lease Agreement contained or by virtue of any statute or rule of law, may
retain as liquidated damages any equipment, rent, security deposit, or monies received from
Lessee or others in behalf of Lessee.
Section 19. Surrender upon Ex iration. Lessee covenants that at the expiration
or prior termination of this Lease Agreement, it will quit and surrender possession of the leased
Premises free and clear of any and all liens and encumbrances and in good repair and condition,
reasonable wear and tear and damage by fire, acts of God, the public enemy, or action of the
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elements, or by any cause not due to any act or omission of Lessee and beyond its reasonable
control, excepted.
Section 20. Notices. Whenever, under this Lease, provision is made for notice
of any kind, it shall be deemed a sufficient service of such notice if the said notice is in writing
and is deposited with the United States Postal Service as first class mail in a sealed envelope,
properly stamped, addressed as follows:
If to Lessor: Augusta Regional Airport
Executive Director
1501 Aviation Way
Augusta, GA 30906
If to Lessee: Jay Jahn
Tailwinds Lounge
1543 Aviation Way
Augusta, GA 30906
Section 21. Miscellaneous
A. Captioned herein are included for convenience of the parties only and
shall not be deemed to modify or restrict the meaning or interpretation of any of the terms or
provisions hereof.
B. In the event any covenant, condition, or provision herein contained is held
to be invalid by a court of competent jurisdiction, the invalidity of any such covenant, condition,
or provision shall in no way affect any other covenant, condition, or provision herein contained
provided that the invalidity of any such covenant, condition, or provision does not materially
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prejudice either Lessor or Lessee in its respective rights and obligations contained in the valid
covenants, conditions, and provisions of this Lease.
C. As between Lessor and Lessee, Lessee in the occupancy, use, and
maintenance of the leased Premises under the terms hereof, shall at all times act in the capacity
of an independent contractor.
D. All claims, disputes and other matters in question between the Lessor and
the Lessee arising out of or relating to the Agreement, or the breach thereof, shall be decided in
the Superior Court of Richmond County, Georgia.
E. Lessee acknowledges that all records relating to this Agreement and the
services to be provided under the contract may be a public record subject to Georgia's Open
Records Act (O.C.G.A. § 50-18-70, et seq.). Lessee shall cooperate fully in responding to such
request and making all records, not exempt, available for inspection and copying as provided by
law.
F. This Lease contains the entire agreement of the parties and no
representations, inducements, promises, or agreements, oral or otherwise, between the parties not
embodied herein shall be of any force or effect. No failure of either party to exercise any power
given it hereunder, or to insist upon strict compliance by either party of any obligations
hereunder and no custom or practice of the parties at variance with the terms hereof shall
constitute a waiver of either party's right to demand exact compliance with the terms hereof.
IN WITNESS WHEREOF, the parties hereof have caused this Agreement to be
executed as of the day and year first above written.
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Signed, sealed, and delivered
In the presence o£ CITY OF UGUSTA
�r�f .�t:��t r�.i� �, By: ;' ..
Notary:��i�lic, State of GA r�Its: ayor
My Commission Expires: Attest: %
Notary Pub�f�� Ge�rS�a Its: Cl of Co ssion
Columbia CountY� pg �SE�,�
My Cornrn��ion Expires A�S• � ' 20
Signed, sealed, and delivered AUGUSTA AVIATION
In the presence of: COM ION
� � _ B
ary Public, State of GA As its: HAIRMAN
My Commission Expires: : � � � ,
[SEAL]
Signed, sealed, and delivered in the presence of:
� � By:
ary Public, State of GA Its• re e t
My Commission Expires:����p� �
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