AGENDA MEMORANDUM

Meeting Date:           February 28, 2011

From:                          Charlie Weller, Airport Manager

Subject:                      Resolution authorizing execution of a Corporate Block Hangar Space Rental Agreement with Allen Dunlap for space at Leesburg International Airport

Staff Recommendation:

Staff recommends approval of the Corporate Block Hangar Space Rental Agreement with Allen Dunlap.

Analysis:

In 2006, the City of Leesburg built three corporate block hangars at Leesburg International Airport.  Each hangar is 60’ x 60’ or 3,600 square feet in area and rents for $1,000.00 per month.  Hangar #1 was vacant for several months despite efforts to find a corporate tenant.  To develop an income stream from this hangar rather than have it sit empty, the space has been divided to allow three tenants with small aircraft to share this location.  The first two spaces were rented in the summer of 2010.  The attached agreement is for the remaining space in this hangar.

Mr. Allen Dunlap has signed the attached agreement to rent the final space in hangar #1.  The term of the agreement is on a month-to-month basis.  The lease rate is $275.00 per month.  The rental agreement includes language indicating that the hangar will be shared with other tenants and the responsibility that falls on the tenants as a result of occupying a shared space

Options:

1.  Approve the attached Corporate Block Hangar Space Rental Agreement with Allen Dunlap; or

2.  Such alternative action as the Commission may deem appropriate

Fiscal Impact: 

This rental agreement will generate $275.00 per month to the airport  The total annual income with three tenants in the hangar will be $9,900.00 which is a reduction of $2,100.00 from the budgeted annual rent for a corporate tenant.

Submission Date and Time:    2/24/2011 4:17 PM____

Department: ___Airport_____________ Prepared by:  ___Charlie Weller_______                      Attachments:         Yes __X__   No ____ Advertised:   ____Not Required ___X__ Dates:   __________________________                      Attorney Review :       Yes_X__  No ____ _________________________________            Revised 6/10/04

Reviewed by: Dept. Head ________ Finance  Dept. ________JB________                                    Deputy C.M. ___________________                                          Submitted by: City Manager ___________________

Account No. __001-0000-362-0200_ Project No. ___________________ WF No. ______________________ Budget  ______________________ Available _____________________

RESOLUTION NO.___________

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A CORPORATE BLOCK HANGAR SPACE RENTAL AGREEMENT  FOR ONE-THIRD OF HANGAR #1 WITH ALLEN DUNLAP FOR SPACE AT LEESBURG INTERNATIONAL AIRPORT; AND PROVIDING AN EFFECTIVE DATE.

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

            THAT the Mayor and City Clerk are hereby authorized to execute a Corporate Block Hangar Space Rental Agreement for one-third of Hangar No. 1 with Allen Dunlap whose address is 21953 King Alfred Street Leesburg, FL  34748-7978 for hangar space at Leesburg International Airport.

 THAT this resolution shall become effective immediately.

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 28^th day of February 2011.

                                                                            ____________________________

                                                                             Mayor

ATTEST:

________________________________________

City Clerk