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3.08. The Lessor agrees that the Lessee shall have access to the runways, taxiways, and ramps at the <br />Airport to the same extent as other Airport users. <br />ARTICLE 4: CONSTRUCTION OF FACILITIES; ALTERATIONS AND FIXTURES <br />4.01. Lessee, at its sole cost and expense, shall provide for the installation of an _approximately 1500 <br />square foot modular building, as depicted and described in the attached Exhibit D (but an ADA <br />ramp must be added) on the Leased Premises for the purpose of carrying out the activities provided <br />for herein. The installation shall be accordance with the City of San Marcos approved permit. The <br />plans and the time schedule must be approved by Lessor and Airport Manager prior to the <br />commencement of installation. <br />4.02. The facility installed on the Leased Premises will abut the Civil Air Patrol public parking; lot and <br />must have landscaping , as shown generally on the site plan to be supplied as soon as reasonably <br />practicable, in the area outlined in red on Exhibit A , attached hereto, and incorporated herein <br />for reference for all purposes. Lessee agrees to use airport -approved colors for the exterior of the <br />building. Upon completion of the term of this Lease, title to all improvements shall vest in Lessor. <br />4.03. Lessee may not undertake or allow any party to undertake any kind of alteration, erection, <br />improvement or other construction work on or to the Leased Premises unless it submits a request <br />to the FAA and receives, in writing, approval from the FAA. Such request should be submitted <br />prior to the commencement of such construction/alteration on FAA Form 7460-1, Notice of <br />Proposed Construction of Alteration, or such other form as may be required by the FAA, through <br />the Airport Manager of San Marcos Regional Airport. <br />4.04. The Lessee shall substantially begin the construction of a hangar/facility within ninety (90) days of <br />the execution following the execution of a permanent lease at a location to be mutually agreed <br />upon. Lessee shall diligently and continuously pursue the construction to completion, and shall <br />fully complete the hangar/facility within 12 months of the date of issuance of a building permit. <br />Any delay or lack of progress in the construction will constitute a default by the Lessee, and will <br />authorize the Lessor to pursue all remedies available to it as described in Article 15 of this Lease. <br />4.05. Lessee shall not make any further alterations, additions, or improvements to the Leased Premises <br />without the prior written consent of Lessor. <br />4.06. If Lessee chooses to make discretionary improvements or any modifications mandated by County <br />or Municipal code, state law, or federal law, all plans and specifications must receive the written, <br />prior approval of Lessor, which approval shall not be unreasonably withheld. All discretionary <br />improvements, and/or modifications mandated by County or municipal Code, state law, or federal <br />law and any other facilities (including landscaping) shall be constructed in accordance with plans <br />and specifications approved by the Airport Manager, and shall be subject to inspection. No <br />construction, modification or installation may be undertaken until written approval is obtained. All <br />plans, specifications and work shall conform to all local, state and federal rules, regulations, and <br />laws, now in force or hereafter prescribed. Notwithstanding the permissive nature of Lessee's <br />Page 6 of 21 <br />