Dealing With Reversionary Rights Case Study Chico Municipal

Dealing With Reversionary Rights Case Study – Chico Municipal Airport

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process,

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process, and provided Lessee has not renegotiated a new lease with City or removed its hangar from the leased premises,

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process, and provided Lessee has not renegotiated a new lease with City or removed its hangar from the leased premises, Lessee shall be responsible for removing all hangars erected on the leased property,

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process, and provided Lessee has not renegotiated a new lease with City or removed its hangar from the leased premises, Lessee shall be responsible for removing all hangars erected on the leased property, all at Lessee’s sole cost and expense;

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process, and provided Lessee has not renegotiated a new lease with City or removed its hangar from the leased premises, Lessee shall be responsible for removing all hangars erected on the leased property, all at Lessee’s sole cost and expense; provided that if, on the 90 th day following the termination or expiration of this lease,

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process, and provided Lessee has not renegotiated a new lease with City or removed its hangar from the leased premises, Lessee shall be responsible for removing all hangars erected on the leased property, all at Lessee’s sole cost and expense; provided that if, on the 90 th day following the termination or expiration of this lease, a hangar remains on the leased property, then such hangar shall thereafter, at the election of City, become the property of City without legal notice or the payment of any compensation therefor

Dealing With Reversionary Rights Current lease states: 18. IMPROVEMENTS Upon termination or expiration of this lease by expiration of the lease term or legal process, and provided Lessee has not renegotiated a new lease with City or removed its hangar from the leased premises, Lessee shall be responsible for removing all hangars erected on the leased property, all at Lessee’s sole cost and expense; provided that if, on the 90 th day following the termination or expiration of this lease, a hangar remains on the leased property, then such hangar shall thereafter, at the election of City, become the property of City without legal notice or the payment of any compensation therefor and City may thereafter further lease for its own account or dispose of the hangar in any manner and at its sole discretion.

Dealing With Reversionary Rights Things to consider: Historical Practice Policy Document FAA Grant Assurance Compliance Assurances 22, 24, 25 FAA Order 5190. 6 B ACRP Report 47 Shreveport Downtown Airport

Dealing With Reversionary Rights Things to consider: Obtain full support FIRST Your Manager/Director City Manager / County CAO Airport Commission / Advisory Committee / Airport Authority City Council / County Board Airport Tenants Notice Public Notice Comment period / One-on-One Meetings Permanent Structure vs Portable Hangar Fee in Lieu of Reversion Phasing Reversion Date Formula?