HomeMy WebLinkAbout2005-04-25 05-132 ORDERCOUNCIL
Item Na
Date: April 25, 2005
Item/Subject: ORDER, Aubwdaing an Amendment to a Lease Agreement Between the City of Bangor and
BAFS, Inc
Responsible Department: Community and Economic Development/Alrpdt
BAFS, Inc. wishes exercise its option ro extend the term of its lease agreement with the City of Bangor for
Building #266 and #268 at 61 Florida Ave.
Background
BAFS, Inc. provides airline catering add food service at Bangor International Airport. They have leased
Buildings #266 and #268 at fit Florida Ave. since 1977. The monthly rental amount during the prior period
was $2,191.67.
Terms and Conditions
BAFS, Inc. has accepted the following lease rates and condlbons. There would be no other changes to the
agreement.
Term: Five (5) years, from January 1, 2005 to December 31, 2009. The agreement can be extended
for an additional five (5) years from January 1, 2010 ro December 31, 2014.
RRA:
June 1, 2005 - December 31, 2009 $2,291.67 per month
January 1, 2010 - Deoember 31, 2014 To be negotiated
Recommendation
The Board of Directors of the Beni Corporation and staff recommend approval of this lease agreement
under the terms aid conditions outlined above.
Department Bead
Managees Comments:
This has been reviewed by the Business and Economic Development Cnmmittee, which recommends your
approval. The provision of catering services at Bangor International is an important element of our
overallservicepackage, parbcularly as It applies to International airlines. BAFS has provided excellent
service In this regard. Jry r�r��xl
(JC[diE4C �(ACity/MManager
Information:
Budget Approval:
L? r
Rnanw DireQor
Legal Approval:
City Solicitor
Introduced nor
X Passage
_ First Reading Page _ cl
Referral
05-132
Assigned W Councilor D'Errico April 25. 2006
Ph.iu u.i
CITY OF BANGOR
(TITLE.) Order, Authorizing an amendment M a lease agreement between the City of Bangor
and BAFS, Inc.
WHEREAS, the City of Bangor owns the buildings at 61 Florida Ave., Bangor, Maine; and
WHEREAS, MIS, Inc. and Its predecessors have leased Buildings #M6 and #268, at 61 Flodda
Ave. since 197/; and
WHEREAS, SMS, Inc. wisbes to exercise Its option to extend the tern of Its lease agreement
with the City of Bangor for Building 6266 and #268 at 61 Flodda Ave.
NOW, THEREFORE, BE IT ORDERED BY THE CRY COUNCIL OF THE CRY OF BANGOR THAT
Me City Manager Is hereby authorized, on behalf of the City of Bangor, to execute an
amendment W the lease agreement between BAFS, W. and the City of Bangor for Buildings
#266 and 6268, 61 Florida Ave„ in a form approved by the City Solicitor or Assistant City
Sogdtor and containing the following terms and cmlditions:
A. The tens will be extended! for (5) years, from January 1, 2005 W December 31, 2009.
B. The agreement can be e[ended for an additional five (5) years from January 1, 2010 W
December 31, 2014.
C. The lease rate far the period of June 1, 2005 - December 31, 2009 will be $2,291.67 per
manor.
D. The lease rate for the period of January 1, 2010 - December 31, 2014, if extended, will
be negotiated.
IN CITY (=NCIL
April 25. 2005
p 05_132
0NDE&
and BAPS. Inc.
AretgnvJ to Councilor D'LA4<A
SECOND AMENDMENT TO AGREEMENT OF LEASE
THIS SECOND AMENDMENT TO AGREEMENT OF LEASE, executed
th
this « day oLrc , 2005 by and between:
IsV1
CITY OF BANGOR, a municipal corporation organized and
existing under and by virtue of the laws of the State of Maine,
and having its principal offices at 73 Harlow Street, Bangor,
Maine (hereinafter sometimes referred to as"Lessoe);
PPFI
BAFS INC., a corporation organized and existing under the
laws of the State of Maine, and having a regular place of
business at 61 Florida Ave., County of Penobscot, State of
Maine (hereinafter sometimes referred to as "Lessee")
WITNESSETH:
WHEREAS, the City of Bangor is the owner of an airport commonly known
as 'Bangor International Airport% formerly known as Dow Air Force Base, located in the
City of Bangor, County of Penobscot, State of Maine (hereinafter sometimes referred to
as the °AllporVI; and
WHEREAS, by Agreement of Lease, dated January 10, 2000 and
amended August 22, 2000, the parties agreed to the lease by the Lessor of Building
- #266, Building #266, and a parcel of land which abuts and is situated between such
buildings for the purposes of operating a airline catering and food service facility; and
WHEREAS, the parties hereto wish to amend said Agreement of Lease;
and
NOW, THEREFORE, the parties do mutually agree that the Agreement of
Lease dated January 10, 2000 and amended August 22, 2000 be and hereby is fu Mer
amended as follows:
(1) That Article II -TERM be deleted in its entirety and replaced with the
following:
TO HAVE AND TO HOLD the demised premises unto the Lessee for the
term of five (5) years commencing January 1, 2005 and terminating on
December 31, 2009. _
The Lessee can extend this agreement for a five (5) year period effective
January 1, 2010 with the consent and approval of the Lessor by providing notice
in writing to the Lessor at least sixty (60) days prior to the effective date of the
RAPS, Inc.
Second Amendment to Agreement or Lease
extension and provided that the Lessee shall not be in default of this agreement
in any manner at the time any option is exercised.
(2) That paragraph A in Article III -COMPUTATION OF ANNUAL RENTAL be
deleted in its entirety and replaced with the following:
A. During the period January 1, 2005 through December 31, 2009 the
minimum rent to be paid by Lessee to Lessor will be TWENTY-SEVEN
'THOUSAND FIVE HUNDRED ($27,500) DOLLARS per year paid
monthly in advance on the first day of each and every month in the
amount of TWO THOUSAND TWO HUNDRED AND NINETY-ONE
AND SIXTY-SEVEN CENTS ($2,291.87). The parties acknowledge
and agree that the rent for the extension period of January 1, 2010 to
December 31, 2014, if exercised, shall be determined by the parties
negotiating between themselves for the purpose of fixing a rental for
the period
THAT except for the foregoing, said Indenture of Lease, dated January 10, 2000
and amended August 22, 2000, between the City of Bangor and BAFS, Inc. will remain
in full force and effect in all other respects between the undersigned.
IN WITNESS WHEREOF, the parties hereto have set their hands and seals the
day and year written above.
CITY OF BANGOR
Date:
U Z`S
!flBE gd AUT4ttlLt
City Manager
BAFS, Inc.
Date'
By
it ss) Name AL L: 1) +-
Title ?n_'- , D t f,)
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