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THE STATE OF TEXAS ~
COUNTY OF K'~RR ~
I;NOW ALL MEN BY THESE
PRESENTS:
THIS LEASE AGREEMENT made and entered into by and between the Lessors as composed
of the CITY OF KERRVILLE, which is a municipal corporation under the laws of the State of
Texas and is the County Seat of Kerr County, Texas, acting herein by and through its Piayor
and City Clerk, duly authorized to execute this instrument by ordinance heretofore properly
passed by the City Council of said City of Kerrville, and the COUNTY OF KERB, State of
Texas, which is a governmental subdivision of the State of Texas, acting herein by and
through its County Judge, duly authorized to so act by order heretofore passed by the
Commissioners Court of Kerr County, Tex:~s, for such purpose as is recorded in the Minutes
of said Court, the said City and County being joint owners of the hereinafter described
property, and DUKES ASTROTIAUTICS COMPANY, a private corporation, duly incorporated under
the laws of the State of California, having its principal place of business in South Gate,
California, and acting herein by and through its president and secretary, duly authorized
to execute this instrument by resolution heretofore properly passed, hereinafter referred
to as Lessee;
W I T N E S S E T H:
I
SUBJECT MATTER
Lessors have this day leased and let, and by these presents do lease, let and demise
unto Lessee, upon the terms and conditions and subject to the matters hereinafter set forth,
all of the following described real. estate in Kerr County, Texas, to-wit:
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All that certain tract or parcel of land lying and being situated in the County of
Kerr, State of Texas, ccmprising 2 acres of land out of Original Survey No. 44, 0. V.
Robinson, Abstract No. 282, being part of the Louis Schreiner Airport, and being more
particularly described by metes and bounds, as follows, to-wit:
BEGINNING at an iron stake previously set for the NE corner of another 2 acre tract
previously leased to Dukes Astronautics Co. for the SE corner of this tract, said corner
being in the west line of Lot No. 16 of Shady Grove Subdivision and located N. 2° W. 466.9
feet from a creosoted post, a fence corner, the southwest corner of Lot No. 16 of Shady
Grove Subdivision as recorded in Volume 1 at Page 48 of the Plat Records of Kerr County,
Texas, being a corner of the said airport property;
THEATCE with existing fence, the east line of said Kerrville Municipal Airport, N. 2°
W. 466.9 feet to an iron stake for the NE corner of this tract;
wide
THENCE S. 88° W. 186.6 feet to an iron stake in the east line of 70 foot.jstrip re s$ ru-
ed for an access roadway;
THENCE S. 2° E. 466.9 feet with the East line of said roadway to an iron stake
previously set for the NW corner of the 2 acre tract previously leased to Dukes Astronautics
Co. for the SW corner of this tract;
TIi"ENCE N. 88° E. 186.6 feet to the place of beginning;
Surveyed and written by Louis Domingues, Registered Professional Engineer No. 1633,
Registered Public Surveyor No. 222, County Surveyor of Kerr County, Texas, September 27,
1967.
Subject, however, to any and all restrictions, covenants, conditions, rights-of-way,
and easements, if any, affecting the above described property that are valid, existing
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and properly of record.
'" I I
CODTSIDERAI'ION
In consideration of the foregoing, Lessee is bound and obligated:
A. To pay to the Lessors at Kerrville, Kerr County, Texas, the sum of $20.00 per
month, due and payable on the 10th day of each month.
B. To fence its premises with a good and sufficient fence at its own cost and expense
within a reasonable time after the execution of this lease.
-2 C. To provide and maintain its own water su 1 with such water meeting the require-
Pp Y~
ments for State of Texas approval.
D. To save and keep harmless Lessors in all respects by reason of its occupancy and
use of any portion of the airfield, and by reason of any acts of its agents, employees,
servants and any other person or thing on said premises, to effectuate which Lessee shall
carry liability insurance in the amounts of not less than $50,000 each person, $100.00 each
accident, and $50,000 property damage, showing Dukes Astronautics Co. as Operator and
Leesee, and the policy endorsed showing the City of Kerrville, Texas, and Kerr County,
Texas, as collateral interest as Owners and Lessors. All insurance policies covering all
interest specified in this lease shall be submitted to Lessors and shall be subject to
acceptance by Lessors by their standards as to company and/or group stability.
E. Lessee shall at all times during the continuance of this agreement, at its own
expense, provide for adequate and sanitary disposal of sewage in accordance with Texas State
Health Department recorrimendations; keep the said premises free from trash, junk and garbage,
and provide for the off-airport premises disposal of any such trash, junk and/or garbage.
III
TERM OF LEASE
The lease of the above described premises shall be for a term of twenty (20) years
commencing from date of execution; provided, however, that on or before the expiration date
of the primary term of this lease, Lessee shall have the right and option to renew this
~-^ lease for an additional ten (lU) years for the same rental and under the same terms,
covenants and agreements of this lease. Lessee shall have the right to exercise said
option by giving notice in writing by registered mail or certified mail addressed to
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Lessors at the same address rental checks are mailed, on or before ninety (y0) days of the
date of expiration oŁ this lease.
IV
PURPOSE OF LEASE
It is particularly stipulated by the parties to this lease agreement that the premises
hereinabove described and hereby leased are to be used for the purpose of manufacturing,
storing, testing, and servicing of aircraft systems and components, including pressurization
equipment and accessories. Lessee specifically agrees and covenants not to engage in the
business of selling gasoline and oil.
V.
ROADWAYS
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Lessors are obligated to provide the following facilities in connection herewith:
Lessors agree to construct and maintain the road from the public road presently serving
Dugosh Aircraft Service Co., Inc. and the first two acre tract of land leased to Dukes
Astronautics Company to the northwest corner of the above described tract, the same to be
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topped with gravel and to be of sufficient width to accomodate two-lane traffic.
VI
COMPLIANCE ~^!I `PH REGULATIONS
Lessee obligates itself to comply with all regulations set up by the Federal Aviation
Agency, federal, state and municipal laws, and will not permit the premises covered by
this lease agreement to be used for any unlawful or improper purposes. Further, Lessee
agrees to abide by all future regulations hereafter enacted by said authorities.
VII
TERMINATYON
This lease agreement may be terminated by:
A. Lapse of time;
B. After the expiration of one (1) year from commencement of operations, forfeiture
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in the event Lessee fails, for any consecutive six (6) months, to have on its payroll
three (3) regular employees employed on the leased premises, (and for this matter of
termination the term "leased premises" shall include the adjoining two (2) acres of land
previously leased to Lessee by lease from Lessors dated March 31, 1967) which condition
of affairs would render tYiis lease agreement subject to cancellation, and in which event
Lessee agrees to deliver up said premises. Should Lessee's operations be discontinued for
more than six (6) months as a result of a strike or vis major, such discontinuance shall
not be considered as grounds for termination of this lease agreement.
C. The United States Government's requiring the use of said premises in the event
of a national emergency or for any defense program or defense purpose on the part of the
government, in which event Lessee agrees to deliver up possession within ninety (90) days
after notice. After use by the United States Government has terminated, if, in fact,
the government has taken over the airport, then the said Lessee is entitled to re-enter
the leased premises covered by this lease agreement and resume its operation, and such
loss of time shall be added to the term of the lease agreement so that the full term may
be enjoyed by Lessee without being penalized with the occupancy of the United States
Government. If the United States Government does take over said airport, as herein provid- ..,
ed, then such time of occupancy by the government would be construed as coming within the
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provisions of subsection B of this Item VII, and shall not be considered as a lapse of
this agreement.
D. Provided always, and these presents are upon this condition, that if Lessee does
not or shall neglect or fail to perform and observe any or either of the covenants contain-
ed in this instrument, which on its part are to be performed, or shall be declared bankrupt
according to law, or if any assignment shall be attemp~ed to be made of said property for
the benefit of creditors, then in either of said cases, but subject to subsection E herein-
below, Lessors lawfully may immediately, or at any time thereafter, and whilst such neglect
or default continues, and after thirty (30) days notice or demand, enter into and upon
the said premises, or any part thereof, in the name of the whole, and repossess the same
as of their former estate, and expel the Lessee and remove its effects (forcibly, if
necessary) without being taken or deemed guilty of any manner of trespass, and without ._
prejudice to any remedies which might otherwise be used for possession or for arrears of
rent, and that upon entry as aforesaid, the rights of Lessee in this lease shall cease and
be ended.
n $ M a R
E. Should Lessee fail to perform and observe or neglect to perform for a period of
'- ninety (y0) days, within which time Lessee shall have the opportunity to correct such
neglect or omission, after which period of time inspection shall be had (to be made by
competent engineers) to deterriine whether compliance has been met before such failure or
neglect to perform may be considered as a ground for termination.
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VIII
DELIVERY OF PCSSESSIUN
Lessee obligates itself to deliver up possession of the premises covered by this
lease agreement in a good state of repair at the termination of this contract, whether
terminated by lapse of time, forfeiture, demand of the government, or otherwise, normal
wear and tear expected.
IX
SUB-LEASE
Lessee shall not be permitted to sublet the premises hereby leased except with the
written consent of Lessors; however, Lessee shall be permitted to hypothecate and mortgage
the premises hereof without the consent of the Lessors. In the event of a foreclosure by
such mortgagee, then the purchaser at any such foreclosure sale (including the mortgagee
if it be the purchaser) shall be substituted as Lessee under the terms of this lease, and
this lease shall continue in full force and effect according to its terms; provided,
however, that such substituted Lessee shall promptly pay to Lessors any arrears of rent,
if any there be, and otherwise properly perform any covenants of this lease which Lessee
had theretofore failed or refused to perform.
X
SUPPLY OF P+IATERIALS, ETC.
It is further agreed that should a delay or discontinuance in Lessee's operations
be occasioned as a result of inability to purchase materials, equipment or other essential
components and parts required in Lessee's operations as a result of short supply, or
should such materials, equipment or components and parts be classified by the United States
Government as strategic and a priority be placed thereon by the government thereby render-
ing it impossible for Lessee to obtain same for its operation, then and in either of such
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events, such period of time shall not be considered as grounds for termination under the
one (1) year clause or otherwise for as long as such conditions shall exist.
XI
PIA INTENANCE OF AIRPORT
Lessors agree and are hereby obligated to continue operations of Louis Schreiner
Airfield, Kerrville Municipal Airport, during the period of this lease agreement, and to
maintain said airfield in good, usable condition and repair, for which purpose it was
created.
XII
ENFORCEMENT
This contract is made, executed and performable in Kerr County, Texas, and it is
,,., agreed that any suit or cause of action arising out of, from or by virtue of this lease
~ agreement shall be filed in Kerr County, Texas, the place of venue for any such action.
Further, it is agreed that the laws of the State of Texas shall be applicable in the
construction and exiforcement of this agreement.
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xIIL
SUCCESSORS AND ASSIGNS
This agreement shall be binding upon the parties hereto, their successors, legal
representatives and assigns; and it is expressly agreed and understood that if any portion
of this lease agreement shall be declared invalid by the operation of any statute or by
any court decision, then and in either event, such partial invalidity shall never destroy
or vitiate the entirety of this lease.
IN WI`1'NESS bViiEREOF, the parties hereby have caused these presents to be executed in
triplicate originals this the 5th day of December, 1967, pursuant to the ordinance and
resolutions heretofore enacted and passed, duly authorizing the execution of this lease
by the signatories appended thereto.
LESSORS:
A`1'"PEST:
CITY OF KERRVILLE, TEXAS
BY /s/ Gordon H. Monroe
/t/ Gordon H. Monroe, Mayor
/s/ Kenneth Loyd (Seal)
/t/ Kenneth Loyd, City Clerk
Attest:
CUUNTY OF KERR
BY /s/ Julius R. Neunhoffer
/t/ Julius R. Neunhoffer, County Judge
/s/ Emmie M. Muenker (Seal)
/t/ Emmie M. Muenker, County
Clerk and Ex Officio Clerk
of the Commissioners Court
of Kerr County, Texas
AT`1'L'ST:
/s/ Darrold R. Wetmore, (Seal)
Secretary-Treasurer
THE STATE OF TEXAS ~
COUNTY OF KERR ~
LESSEE:
DUKES ASTRONAUTICS COMPANY
BY /s/ M. A. Wachter,
/t/ M. A. Wachter, President
BEFORE NIE, the undersigned authority, a Notary Public in and for said County and
State, on this day personally appeared GORDON H. MODTROE, Mayor of the City of Kerrville,
Texas, known to me to be the person and officer whose name is subscribed to the foregoing
instrument and acknowledged to me that the same was the act of the said City of Kerrville,
Texas, a municipal corporation, that he was duly authorized to perform the same by an
ordinance passed by the City Council of the said City of Kerrville, Texas, and that he
executed the same as the act of said municipal corporation for the purposes and considera-
tion therein expressed, and in the capacity therein stated.
GIVE'd UNDER MY HA~dD APdD SEAL OF OFFICE, this the 12th day of December, A.D. 1967.
(Seal) /s/ Martha J. LeSaaut
Notary Public in and for
Kerr County, Texas
THE STATE OF TEXAS ~
COUNTY OF KERR p
BEFORE ME, the undersigned authority, a Notary Public in and for said County and
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State, on this day personally appeared JULIUS R. NEUNHOFEER, Judge of the County of
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Kerr, State of Texas, known to me to be the person and officer whose name is subscribed
'' to the foregoing instrument and acknowledged to me that the same was the act of the said
County of Kerr, a governmental subdivision of the State of Texas, that he was duly authoriz-
ed to perform the same by an order duly passed by the Commissioners Court of the said
County of Kerr, State of Texas, and that he executed the same as the act of said govern-
mental subdivision for the purposes and consideration therein expressed, and in the
capacity therein stated.
GIVEN UNDER P'IY HADTD ADTD SEAL OF OFFICE, this the 14th day of November, A.D. 1967.
/s/ Martha J. LeSaout
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Notary Public in and for
Kerr County, Texas
THE STATE OF CALIFORNIA
COUNTY OF LOS ANGELES ~
"~ BEFORE ME, the undersigned authority, a Notary Public in and for said County and
State, on this day personally appeared M. A. WACHTER, President of Dukes Astronautics
Company, a corporation, known to me to be the person whose name is subscribed to the fore-
going instrument, and acknowledged to me that he executed the same for the purposes and
consideration therein expressed, in the capacity therein stated and as the act and deed
of said corporation.
GIVEN UNDER NIY HAND AND SEAL OF OFFICE, this the 20th day of October, A.D. 196'7.
(Seal) /s/ Albert Massen
Notary Public in and for Los Angeles
County, California
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ALBERT MASSEN
My Commission Expires Jan.l5, 1968
CITY OF KERRVILLE, TEXAS
ORDINANCE N0. 67- 24
AN ORDINANCE BY THE CITY OF KERRVILLE, TEXAS, AUTHORIZING THE CITY OF KERRVILLE TO LEASE
~.. TO DUKES ASTRONAUTICS COMPANY A CERTAIN TWO ACHE TRACT OF LAND OUT OF AND A PART OF THE
0. V. ROBIN SON SURVEY NU. 44, ABSTRACT N0. 282, THE SAME BEING A PART OF THE LOUIS
SCHREINER AIR FIELD, KERRVILLE MUNICIPAL AIRPORT, LOCATED IN KERR COUNTY, TEXAS, OWNED BY
THE CITY OF KERRVILLE AND THE COUNTY OF KERR, AND EPTACTING OTHER PROVISIONS INCIDENT AND
RELATING TO 'PRE SUBJECT AND PURPOSE OF THIS ORDINANCE.
WHEREAS, Dukes Astronautics Company submitted a proposed lease agreement to lease
a two acre tract of land located at the City-County owned airport upon terms and condi-
tions set forth in said lease agreement; and
PJHEREAS, it is necessary and proper that the City Council of the City of Kerrville,
Texas, enter into said lease agreement of said property and do other things incident
thereto; now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KERRVILLE, KERR COUNTY, TEXAS:
SECTION 1. That the City of Kerrville, Texas, lease to Dukes Astronautics Company,
a California corporation of Los Angeles County, California, all that certain tract or
parcel of land lying and being situated in the County of Kerr, State of Texas, and more
r" particularly described in the lease agreement attached hereto and described in Section 2
hereof; subject, however, to the restrictions referred to in Section 3 hereof.
SECTION 2. The Mayor of the City of Kerrville is authorized to execute, and the
City Clerk is authorized and directed to attest and affix the corporate seal of the
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"City of Kerrville, Texas" upon, the lease agreement to be of the language and tenor
set forth in the copy of said lease agreement attached hereto and made a part hereof as
though copied herein at length word for word, such lease agreement having been submitted
to the City Council of the City of Kerrville, and the same having been read, studied and
understood and approved by the members of such Council.
SECTION 3. That the lease agreement herein described is hereby specifically made
subject to the reservations, restrictions and conditions placed upon the Louis Schreiner
Airfield, Kerrville Municipal Airport, Kerrville, Texas, by that certain agreement between
the City of Kerrville, Texas, and the United States of America, all as is more fully set
forth in said agreement dated the 22nd day of April, 1948, and recorded in Volume 84,
page 137, of the Deed Records of Kerr County, Texas, to which instrument and its record
reference is here made for all purposes.
SECTION 4. That any and all other necessary and related instruments or documents
incident to the carrying out of the purpose of this ordinance shall be signed by the Mayor
and attested by the City Clerk, and the corporate seal of the "City of Kerrville, Texas"
shall be impressed upon each of such instruments, and, further, the Mayor, the officers
and employees of the City of Kerrville shall be, and they are hereby authorized and direct-
ed to do all things necessary and proper to carry out the terms and purposes of this
ordinance.
PASSED AND APPROVED ON FIRST READING this 13th day of October, 1967.
PASSED AND APPROVED ON SECOND READING this 21st day of November, 1967.
PASSED AND APPROVED ON THIRD AND FINAL READING this 5th day of December, 1967.
/s/ Gordon Monroe
/t/ Gordon Monroe, Mayor
City of Kerrville, Texas
A`i'"PEST:
/s/ Kenneth Loyd (Seal)
/t/ Kenneth Loyd, City Clerk
City of Kerrville, Texas
Filed 19 day of Dec. A.D. 1967
/s/ Emmie M. Muenker
Clerk County Court, Kerr County, Texas
o-o-o-o-o-o-o-o-o-o
COURT CONVEPTED IN SPECIAL SESSION December 21, 1967 at 10:40 o'clock A.M., with the
following officers present:
Julius R. Neunhoffer
W. C. ScYiwethelm
Clinton D. Burney
Adolph Bartel
Roger Stone
County Judge
Commissioner Precinct 1
Commissioner Precinct 2
Commissioner Precinct 3
Commissioner Precinct 4
and the Court having duly opened, the following proceedings were had:
N0. 10621 ORDER AMENDING ORDER N0. 10617, OFFER TO CLIFTON S. MACKEY AND WIFE, FRANCES
MACKEY, FOR RIGHT-OF-WAY FOR F.M. ROAD 783
On this the 21st day of December, 1967, came on to be heard and considered by the
Court the matter of amending Order No. 10617 entered by the Court on the 11th day of
December, 1967, and it appearing to the Court that the said Clifton S. Maekey and wife,
Frances Mackey, have agreed to accept a cash consideration of y"v3,250.00 for land and damages
resulting from their conveyance to the State of Texas of the parcel of right-of-way con-
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cerned,