Consider Action on a Resolution Approving a First Amendment to Ground Lease with AQRD Hangar Management, LLC for 4582 and 4584 Claire Chennault Drive at Addison Airport and Authorizing the City Manager to Execute the First Amendment to Ground Lease.

AQRD Hangar Management’s ground lease commenced October 1, 2022 (“Ground Lease”). The permitted use of the leased premises is for the sale of aircraft and aircraft parts, aircraft maintenance and repair, aircraft storage, aircraft training, aircraft charter, and aircraft rentals.

The Ground Lease consists of two former airport lease parcels. As described in the Ground Lease, landlord and tenant desire to merge the two parcels into one consolidated parcel described by the new property survey. White Hawk Engineering completed their resurvey of the premises on December 18, 2022. The proposed First Amendment to Ground Lease adopts the new survey by amending and superseding Exhibit “2” - Legal Description of Demised Premises and Exhibit “3” - Legal Description of the Demised Premises of the Ground Lease. Furthermore, Section 3.A.3 of the Ground Lease requires the Base Rent to be recalculated based upon the new property survey as follows:

Administration recommends approval.