DATE: March 5, 2024
TO: Mayor and City Council
FROM: Director of Public Works
SUBJECT
Title
Adopt a Resolution Authorizing the City Manager to Negotiate and Execute an Assignment /Assumption of Ground Lease with Signature Flight Support located at 1 Tuskegee Airmen Drive \
RECOMMENDATION
Recommendation
That the City Council adopts a resolution (Attachment II) authorizing the City Manager to negotiate and execute an Assignment/Assumption of Lease from Meridian to Signature Flight Support.
SUMMARY
On December 5, 2013, Council approved an agreement with Meridian to construct a Fixed Base Operation (FBO) at Hayward Executive Airport. Over the past ten years, Meridian completed Phase I of the project, which included construction of a parking apron, a hangar, and a passenger terminal. However, the management of the Meridian companies decided last year to offer the company for sale, which includes their FBO locations in Teterboro, New Jersey and Hayward. After careful consideration, Signature Flight Support (Signature) was the successful bidder, and the transaction was completed in early January.
This assignment holds Signature to all the terms and conditions of the existing lease, which includes the development of additional hangar space in construction of Phases II-IV on the leasehold. All terms and conditions of the existing lease remain unchanged.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Location Map