Res 2022-259R/approving a two year commercial ground lease of property at the San Marcos Regional Airport with Gryphon aviation, inc., doing business as Texas State Aviation

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purpose throughout the term of this Lease. The Lessee will use good faith efforts to ensure that the Leased Premises are occupied through the term of this Lease. Lessee shall have non-exclusive use of the two City -owned parking lots depicted on Exhibit C for customer and employee parking. The Leased Premises may not be used for any other purpose without the prior written consent of Lessor. Any commercial use of the Leased Premises not expressly authorized under the terms of this Lease shall be negotiated under separate contract with Lessor. Lessee shall not at any time leave the Leased Premises vacant, but shall in good faith continuously, throughout the term of this Lease, conduct on the Leased Premises the type of business described, and shall keep the Leased Premises open to the public for business during reasonable business hours as established by the Lessee in light of good business practices. 3.02. In addition, with the express consent of the Airport Manager, Lessee may conduct incidental activities on the Premises reasonably related to the purpose of this Lease, including but not necessarily limited to the sale of aviation supplies. 3.03. Lessee covenants and agrees that it shall not make any unlawful use of, nor shall it permit the unlawful use of the Leased Premises by any person(s) and that such unlawful use shall result in the removal from said premises of any person(s) using same by Lessee, its officers, members, agents, servants, or employees. Lessee's unlawful use of the premises shall constitute an immediate breach of this Lease. 3.04. Lessee shall not place or keep anything on the Leased Premises or use the Leased Premises for any purpose which invalidates any insurance policy carried on the Leased Premises without the Lessor's prior written consent. The Lessee agrees that the risk of loss and damage for property kept, stored, or maintained by it within the Leased Premises shall be the Lessee's. 3.05. The Lessee shall not use or permit the use of the Leased Premises in any manner which results in waste of the Leased Premises, or constitutes a nuisance, or violates any statute, ordinance, rule, or regulation that applies to the Leased Premises. 3.06. The Lessee shall keep the Leased Premises, including ramps, signs, sidewalks, service ways, and loading areas adjacent to the Leased Premises, neat, clean, and free from dirt and trash at all times. The Lessee shall provide containers for all trash on the Leased Premises, and shall arrange for the regular removal of the trash at the Lessee's expense. The Lessee will provide a dumpster or other suitable trash receptacles for the Leased Premises for use by Lessee and its agents, contractors, employees, invitees, or licensees. 3.07. The Lessee shall store all equipment, materials, and supplies within the confines of the building located on the Leased Premises. Outside storage is specifically prohibited without the advance written consent of the Lessor. Page 5 of 21