SUB-LEASE AGREEMENT
STATE OF TEXAS )
(
COUNTY OF KERR )
INilENTUAE OF LEASE made this 1st day of June, 1956, by and between ROBERT E. SIEKE R, an
individual residing in Kerr County, State of Taxes, and further Joing business es KE RHV ILLS
PLYING SERVICE, (he reinefter referred to as "LESS OH") end THA NS-TEXAS AIRWAYS of Harris County,
State of Taxes, e Corporation organized and existing under the laws of the State of Texas (hexv
inaf ter referred to as "LESSEE").
WHEREAS, Lessor has under Leese from the Clty of Ke rrviLla, County of Kerr, and the Count
of Kerr, State of Texss, certain premises known as LOUIS SCHftE INER MUNICIPAL AIRPORT (herain-
ette r• referred to as "Airport"), and Lnssor is now operating se iu Airport, said Lease having
commenced on June 1, 19$6 Arad continuing fore period of 5 years the re of to r; end
WHEREAS Lessor has authority from the City of Kerrville and the County of Kerr to enter
into this Sub-Lease Agreement; and Lessee being engs gad in the business of trflnsport ing person
property and mail by air, Lessor does hereby lease and grant and Lessee does hereby hire and
take certain premises and facilities on said Airport, for end in consideration of the rents,
covenants end agreements contained herein, as follows:
A HT IC I,~ I - PREMISES
Lessor does hereby demise and let unto Lessee, end Lessee does hereby hire end to kn from
La ssor, the following premises and facilities, rights, licenses and privileges on enLL Sn con-
nection with the property and improveme its of Lessor specified as se iu Airport, ea more parti-
cute rly hereinafter set forth:
(A) Use oT Airport. Tha use by Lessee, Sts employees, passengers, guests, patrons arui in
vitees in common xlth others authorized to do so, oi' said Airport and appurtenances including,
but not Limited to the La rxl ing field, runways, aprons, taxiways, sewerage and water facilities,
f LOw lights, landing lights, control tower, signs Ls, red io aids, snd e11 other conveniences
for flying, is na ings, ana takeoffs of aircraft of Lassen, which use shell include:
(1) The operation of a transportation system by eirc raft for the carriage of pe ra one,
property end ma 11, Snclud ing all activities reasonably necessary to such operation, (herein-
after referred to as " air tra nsportetion"); j
(2) The lending, taking otf, perking, servicing, repairing, storing, loading end un- '~.
Loa dim, of Lessee's aircraft or other equipment. ',
(3) The right to Load anu unload persons, property oral mail at said Airport by such
motor cars, buses, trucks or other means of conveyance as Lessee may require in the ope re tion
of Sts air tra nspor9ation system;
(<L) The right to install, ms intain, use and operate such fue 1, radio, communications,
meteorological and aerial navigation equipment end facilities in, on and about the premises
herein Leesel es may be deemed necessary by Lessee for its operations as wail as the right to
install and operate advertising signs on the leased premises, subject to the approval oT Lessor
(B) Office end Public Space. The exclusive use of about 400 sq ue re feat of office space
as the same is more pa rt icuLe rly described in Exhibit A attached hereto end moue a part hereof,
and the option of taking excLus ive use of sufficient space in aqy neu administration building
or passenger to retinal building which Lessor may construct during the term he re o£, said space
to be mutualiy agreed upon between Lessor end Lessee for such uses as Lessee finds necesse ry
to its operation of an elr tre nsportat inn system, such uses to inc Lude but not to be limited
Ito the sale of tickets, manifesting of passengers and cargo, ha ndLing of me il, baggage and
i cargo em the operation of a traffic, ope re tlons and communicetione off ica. Ea addition, the
~ use by Lessee, Sta employees, pe sae nge ra, guests, pe tronn erd inv lteea, in common with others,
of aqy public apace now eve ilabLe or which may hereof ter be made available including but not ~~
j 9
i limited to lobbies, waiting roams, rest rooms and vehlcu lay perking space.
(C) Right of Ingress and Egress. Complete Sngreee a~ agrees to end from the premieea
outlined in (A) aryl (B) above on the pert of Lessee, its employees, p~eae nga ra, guests, patro
inv itee ey aupplle re of ma to rle la and Purniehe rs of ae rvica without charge to Lessee or to as id
pe re one or property. These rights are to be eub,Ject to reanonable rules end regulations pr
gated by Lesson.
ARTICLE II - T&AN
Lessee herein ahs 11 hate and hold ea id premieea, rights, Paallitiea, licensee end prAvila a
i ha retof ors described ,Por a to rm comauaoing on the let day of June, 1956 end oontinuing Por a
pe rlod of five (5) yea ra there of to r.
ARTICLE III - RENTALS AND FACILITIES FEE
Lessee egreee to pay Leae or Por the use of the preanLAas, facilities, rights, Licenses,
'~, serv Scea.and privl Legea granted hereunder, the following yenta la and facilities fee:
(A) OPf ice Rent: From end of ter June 1, 1956, Office rental at the rate of Forty doLla ra
((ply 0.00) per month Por that apFCe more pe rt icula rly described in Exhibit A attached hereto.
Said monthly rental payments ehe11 be paid by Leaeee in advance on or before the tenth (10th)
day of each month. Upon the acceptance by Leaeee oP apace Sn aqy new edminia tra tion or paseen
gar terminal building, st ae id airport, St may at its option terminate its rights and oblige tl a
with respect to the office with roe peat to the oPfica rent then ba ing Leased by giving Lessor
One hundred twenty (120) deye~ written notice.
~. (B) Faoillt lea Fee. A feollitiea fee oP three pa Went (j~i) of the groan generated pasa-
~~ enge r, express end freight revennen on Lessee b syetea from Laasorta Alrp ort, aald fee to be
established by men na oP reports to be me inta treed by Lenaea aub~act to Leaeor~s periodic in-
spection thereof. Said fee to be pe id monthly on a ce lender month bYSie or pro-rata pe rlod
'~, thereof on or baf ore the fif taenth (15th) day of aech auccaed ing month. In thin re ge rd, Lessor
it shall be gun re nteed a month Ly peyme nt of Forty ((pty0.00) Dolls ra by Laseee in the event three
', (3) percent does not reach a figure of Forty (~ly0.00) Dollars in exly month during the term
~I hereof. Rowever, Lessee shell in no event pay both the three (3) percent Tee end the Forty
~~ 040.00) Dolls ra as it is intended by the pe rtiea hereto that ea id Forty 00.00) llolls rs pay-
' me nt is simply a ~guarehtead minimum monthly payment.
(C) Lessor shell pay for all ut111tiae used end consumed et as id Airport, including but
~~ not Limited to electricity, lighting, heating, gas and water, provided, however, that Lessee
' shell pay for the ale ctt is ity and lighting used end consumed by St is Lesaee~s axc lue ive oPP ica
space ea provided herein. Leaeor may piece a se pa re to light meter upon L,assee~a exlua ive oTP is
spa ca for the purpose of determining the electricity consumed by Laasae therein.
(D) The foregoing fees to be pe id by Leaeee shall preclude Leaeor from charging any othe
~, toll or fee against Lesaeara ~~shalh ba~iin Lieu oP eqy license or permit which Leaeee may be
re qudi"ed., to obte In to operate Prom said Airport. It is further understood that by payment -~ot
the foregoing fse• py Le~a~e, Lessor shell incur end pap Por all utilities consumed and used
', by Leaeee at as id Airport, ins Lulling but not limited to lighting, electric lty, gas and water.
' AATIC LE N - OPEAATION OF AIRCRAFT ^I
Lessor agrees during the term oP the Lease e:ri aqy renewal bete of to ma Sntain en<i operate
the Airport with adequate a~ efficient personnel and to 4caep as id Airport and the ape ce used
by Lessee ae wail a^ nay new adminiat ra tion or passenger terminal building in good repair, in
accords nce with the requirements of the Civ 11 Aerone Utica Administration for the operation oP
scheduled air carriers using the type of equipment employed by Lessee thereon. The Lessor,
during the period of this lease end agreement pnd any renewal he ze of, will ma into in said Air-
port with such facilities, navigation side, and lighting sa rv ice ea conform to the requiremen
of governmental agencies, either fade rel or state, having ,j urlad iction of such matte ra, end
will so ma Sntein all such facilities and landing field et se id Airport that said Airport may
continua to be approved and recognized by such governmental agencies as en dirport subject to
the use by commercial transport eirc ref t, such as may be operated by Lessee.
ARTICLE V - RIILES ANll REGUL0.T IONS
Lessee agrees to observe and obey ell reasons ble rules end regale tiona promulgated end
enforced by lessor (not in conflict with the pr ov islona hereof) and any other appropriate
authority having ]urlad iction during the term he ra of prow Sdau the same ere consistent with ae-
fety and do not conflict with the rules and procedures prescribed by the Civ11 Aerone Utica Ad-
ministration for Landing end to king-off of Leasee~s Aircraft et said Airport. Lessor Further
agrees to formulate and enforce rules end regulations which will prescribe methods by vh ich
Lessee will not be prevented from mointeining Sts schedules et Lesaor~e Airport, Snc lad ing
times when conditions of low ceiling end poor via ibillt~exiat et or about the time scheduled
t re nsport planes are due to arrive or de pe rt. '
ARTICLE VI - DAMAGE OR DESTRUCTION ~' BUII,D IN6
7S any building or property of Lessor in which Leeaee occupies exclusive space hereunder,
or pert or all of which 1a Leased to Lessee, shell be destroyyed or pe rtia lly dame gad by fire
or if re ~e red untenantable,
or other casualty but not rendered untena nt6ble,/the same shall be repaired, replaced, or re-
constructed with due diLige nce by Lessor et its oxn cost end expense end where the premises
ere ante ne ntable, or uncfit for use by Lessee, the rent payable hereunder 11th respect to the
Lessees exclusive space, or that pert leased to Lessee, shell be proportions to ly paid up to
the time of such dame ge or destruction end shall the ncAf orth cease until such time ea the pre-
mises shall be repaired, replaced or put into proper concl pion by Lessor.
AAT IC LE VII - CANCELLATION BY IESSOA
In the event that Lessee is ad,j ud ice tad bankrupt or that s court shell to ke ,j uriad iction
of Lessee and its esae to pars ua nt to proceedings brought under the provisions of exp Fede rel
re orgy nizetions act, or that a receiver of Leasee~s assets shall be appointed, or that Lessee
shall be divested of Sta estate herein by other operation of Law, or that Leeaee shell tail to
perform, keep: and observe any of the terms, covenants or coed itiona herein contained on the
part of Le esae to be performed, the Lessor may give the Lessee written notice Sn writing to
correct such condition or cure each defe alt end, if a[tiy such condition or default shall contSn,
ue for thirty (30) deye after the receipt of such notice 6y the Leeaee, the Leas or may, after
the Le pee of said thirty (30) deye period end prior to the correction or curing of such condi-
tion or default, to rmine to this lease by a twenty (20) day written notice; the term hereby de
mixed shall thereupon cease ana expire at the end oP such twenty (20) days In the same manner
end to the same effect ea if it was the expiration of the original term, but the eccepte ace of
rental by Lessor for any period or periods of ter s default of any of the to rma, covens nta and
conditions herein contained to be performed, kept end obae rued by Leeaee, eha11 not be deemed
e waiver of Yny right on the pert of Lessor to cancel this Lease for failure by Lessee so to
perform, keep or obamrve any of the terms, covenants or cond itiona hereof to be performed, kep
yard obe r¢ed. No w6lver of default by Lessor of aqy of the to mna, covens nta or conditions here-
of to be performed, kept end obeesved by Le saes shall be construed to be or act es a waiver of
any subsequent default of aqy of the terms, covenants ani conditions herein contained to be
performed, kept end observed by Lessee.
ARTICLE VIII - CAN6ELLATION BY LESSEE
i
~, Lessee, Sn eddit ion to any right of ce ncalla tion or aztiy olther right herein given to Lease , ^
~I, may cancel this agreement in whole or only insofar as it re le tes to any building, end to rminat
all or any of its obligations he reorder et any t]me, by thirty (30) days xritten notice, upon
or after the happening of any one oT the following events:
(1) Any failure or refluaal of the Civil Ae rona utica Administration to c m time to
gre nt or refusal to permSt Lessee the right to operate into, through and Prom se id Airport auo
aircraft ae Lessee may reeaonab Ly desire to so opera te;
(2) The termination of Lesaee~s obligation or right (imposed by contract or other-
wise) to the Fade rel Gove rnmaat for the carriage of United States air mail to, from or throe
the City of Kerrville, Texas, its metropolitan area or its environs, Por the receiving and di
patching of United States air ma 11;
(3) Authorization by the Civ 11 Aeronautics Boe xti of another airport for service by
Lessee to Kerrville, Texas;
(I{) Issuance by any court of competent jurisd ictlon of an injunction in eqv way pre
venting or restraining the use of ae id Airport or ar~p part thereof for airport purp ones, end
the remaining Sn force of such injunction fora period of et least fifteen (1$) deysf
($) The breach by Lessor or eryy of the covenants or agreeme nta herein contained end
the failure of Lessor to remedy such breach fora period oP thirty (30) days after receipt of
a written notice of the axis to nce of such breech;
(b) Tha inability of Lassae to uea as id premises end Pecilitiea continuing for e
Longer period then thirty (30) days due to aqy Law or any order, rule or regulation of any
appropriate gove rnme ntel authority having jurisdiction over the ope rations oP Lessee or due bo
we r, aerthqua ke or other eases Lty;
(7) The assumption by the IInited States Gove rnmsnt or er~y authorized agency thereof
of control. of se id airport, anti facilities or a:y aubsta ntlel pert or parts thereof;
(8) The erection of any obstacle on or in the vicinity of said Airport which would
occasion a mod ifacation of Lessees air carrier operating certificate or similar authorize tinn
establishing minimum: safety sta nde rds for the operation of Lessee. .-y
'~ No waiver of default by Leases of any of the terms, cove ne nta or coed itiona hereof to be
performed, kept end observed by Lessor shell be construed to be or act as a waiver by Lessee
of any subsequent default of any of the terms, covenants and oond itiona herein contained to
be performed, kept end observed by Lessor.
ARTICLE IX - RIGHT TO LEASE AND QUIET ENJOYMENT
Lessor represents that it has the right to Leese said property and appurtenances ~pecit le
~~. herein ea the Airport, together with all the facilities, right, Licensee end privileges here-
'. in gre ntad, and has full power and authority to enter into th la lea ee in rea pact thereof.
Lessor agrees that, oni payme nt of the rent arni performance of the covenants end agreements on
'. the part of the Lessee to be pe rf omned hereunder, Lessee she 11 peaceably have and enjoy the
~~~ leased premises en,l ell the rights end priv ilegea of sa Sd Aie port, its appurtenances and faci-
e lit ies.
ART4C LE X - SURRENDER OF POSSESSION
I Lessee agrees to yie Ld end deliver to Lessor possession of the premises leased herein at
the termination of this Leese, by expiration or otherwise, or of anq renewal or extension here
~I of, in good condition in accords nce with its express obligations hereunder only, except for
~ reasonable wear and tear, fire erd other tea ual$y, end Lessee shall have the right at er~y time
curing said term, or any renewal or ex to ns ion he ra of, end for thirty (30) days after the ter-
minx tion hereof, to remove all fixtures end equipment and other property ins tolled or pLa cad
by it at its expense in, on or about the premises herein Leased, subject, however, to eqy vel
lien which Lessor may have thereon for unpe id rents or fees.
ARTICLE XI - ASSIGNMENT OF IEASE
Le ssoe shall not at any time assign or sublet this Lease or any part thereof without the
consent in writing of Lessor.
ARTIC L'c' XII - NOTICES
Notices to the Lessor provided for herein shell be suf tic ie nt if sa nt by registered mail,
postage prepaid, addressed to Hobo rt i:. Sieker of the City of Kerrville, Texas; and notices to
the Lessee, if sent by ragiste red mail, poata gn prepaid, addressed to Munic ipel Airport, Housta
Taxes, or to such uthnr respect ivn add ressos as the pe rt ies may dBSigna to in writing from time
to time.
AHT IC LE XIII - INVALID PHOV LT IOId
~ It is further expressly understood end agreed by and between the parties hereto that in
the event of any covenant, condition or provision herein con teined is held to be invalid by
any court of competent jurisdiction, the invetid ity of any such covenant, condition or provi-
sion shall in no way affect any other covenant, condition or provision herein contained; pro-
v ided., however, that the invalid ity of any such cove ne nt, condition or provision does not rrm tez
jt.e Lly prajud ice either the Lessor or the Lessee in their respective rights and obligations con-
Itained in the vend covone nts, cond itlons or provisions of this agreement.
IN WITNESS WHEREOF, the parties hereto have executed these presents as of the ley ono
yoar first above written.
ATTEST: SEAL ROBERT E. SIE:KEH
Individually end d/b/a
Robert I. Wilson KL:RRV ILLS FLYING SE HV IGE
By Robert E. Sieker
ATTEST:
Ni. L. Muse SEAL 'PRAMS-TEXAS HIRvIAYS
By Henry E. Erdmann
The City of Kerrv ills, Texas, acting through its Mayor enu City Cie rk agrees that Robert
E. Sieker d/b/a Kerrville Fyling Service can sub-lease the Louis Schreiner Municipal Airport
to Tre ns-Texas Airways es per Lease between Robert E. Sieker d/b/a Kerrville Flying Sezv ice and
Trans-Texas Airways dated •'~u1y 2~, 1957.
ilud ley J. Johnson L1oyU H. Lune
City Cie rk Mayor
The County of Kerr, Texas, acting through its Commiss ione rs~ Court, agrees that Robert E.
Sieker d/b/a Kerrville Flying Sa rvice can sub-lease the Louis Schre Sner Nlunici pal Airport to
T^a ns-Texas Airways as per Leese between Robert E. Sieker d/b/a Kerrville FLy ing Service and
Trans-Texas Airways da tau
immie M. Muenker	John H. Leevell		
County Cie rk	County Judge		
(SEAL)	L. M. Guthrie		
	Commissioner, Precinct	if	1
	V. .J. Powell		
	Commissioner, Precinct	jf	G
	Adolph Bartel		
	Commissioner, Precinct	S	3
	Lee Goff		
	C ommiasione r, Precinct	8	4
000-000-000-000-000-000
Oy