First_Amendment_to_Airport_Property_Lease_Agreement_with_Exhibit (PE - GH1) - CLEAN PAGES.pdf

City of Buckeye — Regular Council Meeting (2025-10-21)

View PDF Meeting page

Extracted text (via pymupdf) 5981 characters
Page 1 of 4 
 
FIRST AMENDMENT 
TO 
 
AIRPORT PROPERTY LEASE AGREEMENT 
 
 
This First Amendment to Airport Property Lease Agreement (“First Amendment”) is 
effective as of October 21, 2025 (“Effective Date”), by and between the City of Buckeye, an 
Arizona municipal corporation (“Lessor”) and GH1, LLC (DBA Aerosecure), an Arizona limited 
liability company (“Lessee”).  Lessor and Lessee may be referred to jointly as “Parties” and each 
separately may be referred to as a “Party”. 
 
 
Lessor and Lessee entered into that certain Airport Property Lease Agreement dated 
December 27, 2022 (the “Airport Lease”) regarding the leased premises located at 3000 South 
Palo Verde Road and known as the Community Hangar, as set forth in Exhibit A attached to the 
Airport Lease (the “Hangar”) and, at Lessee’s option, approximately 4,000 square feet of Airport 
ground space at a location to be agreed upon by the Parties (the “Maintenance Space”) (together, 
the Hangar and Maintenance Space are the “Premises”).  The Airport Lease recited the square 
footage of hangar space as approximately 11,717 square feet; however, the hangar space is 
slightly larger, approximately 11,942 square feet. 
 
 
For good and valuable consideration, Lessor and Lessee agree as follows: 
 
1. Hangar. 
In addition to the approximately 11,942 square feet (“sq. ft.”) of hangar 
space, as of the Effective Date hereof, the Hangar shall include the adjacent Office 
Area, comprised of approximately 1,501 sq. ft., as depicted on Exhibit “1” attached 
hereto and incorporated herein by this reference.  The total Hangar square footage is 
13,433 sq. ft. 
 
2. Base Rent. Section 4.1 of the Airport Lease is hereby amended, so that after 
amendment it shall read as follows: 
 
4.1 
Base Rent. 
Lessee agrees to pay Lessor Forty-Four Thousand 
Three Hundred Twenty-Eight and 00/100 Dollars ($44,328.00) per year 
(approximately $0.275/sq. ft. per month, or $3.30/sq. ft. per year) for the 
Hangar (the “Base Rent”), payable in equal monthly installments of 
$3,694.08. Lessee may exercise the option to also lease the Maintenance 
Space for $1,100.00 per year (approximately $0.275 per square foot per 
year), in which case the Base Rent will be $3,785.75 per month. Lessor 
will abate only the portion of the Base Rent attributable to the Office Area 
(1,501 sq. ft.), until a certificate of occupancy has been issued for the 
Office Area, after which the full amount of the Base Rent for both the 
Office Area (1,501 sq. ft.) and the hangar space (11,942 sq. ft.) shall be 
payable in advance and without any prior demand therefor and without 
any abatement or deductions or set-offs whatsoever, and tendered in 
lawful currency of the United States, either by check or electronic-transfer.  
Prior to the Effective Date hereof, a certificate of occupancy was issued to 
Lessee for the hangar space (11,942 sq. ft.). From the Effective Date of the

Page 2 of 4 
 
Airport Lease through the Effective Date of this First Amendment, all 
abatement of rent for the hangar space has lapsed, and there is no 
outstanding rent-abatement applicable to the hangar space.  Lessee shall 
pay rent for the hangar space (11,942 sq. ft.) from the Effective Date 
hereof as and when due, irrespective of the certificate of occupancy status 
for the Office Area. 
 
3. Notices. 
Section 20.1 of the Airport Lease is hereby amended, so that after 
amendment it shall read as follows: 
 
20.1 
All notices required or permitted under this Lease shall not be 
effective unless personally delivered or mailed by certified mail, return 
receipt requested, postage prepaid, or by reputable commercial overnight 
courier service, to the following addresses: 
 
 
TO LESSOR:  
City of Buckeye 
945 North 215th Avenue, Suite 137 
Buckeye, AZ 85326 
Attn: Scott Gray, Aviation Director 
 
Telephone: (623) 349-6885 
 
 
 
 
 
TO LESSEE:  
Aerosecure 
 
 
 
 
 
 
 
3000 South Palo Verde Rd 
 
 
 
 
 
 
 
Buckeye AZ  85326 
 
 
 
 
 
 
 
Attn: Richard Snider, Member 
 
4. Except as amended in this First Amendment, all provisions of the Original Lease shall 
remain in full force and effect.  In the event of any conflict or discrepancy between 
the terms of (i) this First Amendment and (ii) the Original Lease, the documents shall 
govern in that order. 
 
Each reference in the Airport Lease to itself shall be deemed also to refer to this First 
Amendment. 
 
5. This First Amendment may be executed in duplicate counterparts, each of which will 
be deemed an original. Signed electronic, scanned, or facsimile copies of this this 
First Amendment will legally bind the Parties to the same extent as originals. 
 
6. This First Amendment will be binding on and inure to the benefit of the Parties 
herein, their heirs, executors, administrators, successors-in-interest and assigns. 
 
 
END OF PAGE

Page 3 of 4 
 
 
 
DATED this   
 day of  
 
 
 
, 2025. 
 
EXECUTED to be effective on the date specified above. 
 
 
 
 
 
 
 
 
LESSOR 
 
 
 
 
 
 
 
CITY OF BUCKEYE 
 
 
 
 
 
 
 
An Arizona municipal corporation 
 
 
 
 
 
 
 
 
_____________________________ 
 
 
 
 
 
 
 
Doug Sandstrom, City Manager 
 
ATTEST: 
 
___________________________ 
Lucinda J. Aja, City Clerk 
 
APPROVED AS TO FORM: 
 
_____________________________ 
K. Scott McCoy, City Attorney 
 
Acknowledgement 
 
STATE OF ARIZONA 
 
) 
 
 
 
 
 
) ss. 
COUNTY OF MARICOPA  
) 
 
This instrument was acknowledged before me on ______________, 2025, by Doug 
Sandstrom, City Manager of the CITY OF BUCKEYE, an Arizona municipal 
corporation, on behalf of the City of Buckeye. 
 
 
____________________________________ 
Notary Public in and for the State of Arizona 
 
My Commission Expires: 
 
 
[ADDITIONAL SIGNATURE ON FOLLOWING PAGE]

EXHIBIT “1” 
TO 
FIRST AMENDMENT 
TO 
AIRPORT PROPERTY LEASE AGREEMENT 
 
(hangar space and office space)

Common Hangar
Area: 13,433 SF (including
Office Space)
Hangar Area: 11,941.67 SF
Office Area: 1,501.33 SF