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AIRPORT HANGAR RENTAL AGREEMENT <br />This airport hangar rental agreement ("Agreement") is made and entered into this 1 st day of July, 2020 <br />("Effective Date"), by and between the City of Redlands, a municipal corporation ("City"), and Keoni <br />Kanoa Cruz ("Tenant"). City and Tenant are sometimes individually referred to herein as a "Party" <br />and, together, as the "Parties." <br />1. PREMISES. City hereby rents to Tenant, and Tenant hereby rents from City, that certain <br />hangar designated as Hangar No. 23 the "Premises"), located at the Redlands Municipal Airport <br />("Airport"), and more particularly described in Exhibit "A" attached hereto and incorporated by this <br />reference. This Agreement for rental of the Premises is for the principal purpose of a non-commercial, <br />primarily aircraft storage, maintenance, repair and any incidental aviation related uses associated <br />therewith. The Tenant's aircraft is identified as a 1958 Cessna 172, NI OBF, and any identical aviation <br />related uses associated therewith. <br />2. TERM. The term of this Agreement shall be month -to -month commencing on the Effective <br />Date, and in no event shall exceed two (2) years. <br />3. CONSIDERATION. <br />3.1 Monthly Rental Payments. Tenant shall pay to City on or before the 15th day of each <br />month during the term of this Agreement as monthly rent, without deduction, setoff or demand, the <br />sum of seven hundred ten ($710). A late fee shall be levied in the amount of ten percent (10%) of the <br />amount due for any amount not received by the date such rent is due. The City will increase rent <br />annually, the I' of January each calendar year, based on percentage increase in the Consumer Price <br />Index, all urban consumers, Riverside -San Bernardino -Ontario. <br />3.2 Manner of Payment of Rent. Monthly rent for any partial month shall be prorated at <br />the rate of 1 /30th of the monthly rent per day. The monthly rent and any applicable late charges payable <br />by Tenant hereunder shall be paid by Tenant without notice, demand or offset at the office of the <br />Airport Manager at the Airport, or at such other place as may from time to time be designated by City. <br />3.3 Taxes and Assessments. <br />3.3.1 Obligation to Pa. Tenant is responsible for and shall pay all real and personal <br />property taxes (including any tax levied on a possessory interest, as defined in California <br />Revenue and Taxation Code Section 107 or successor statute, if applicable), general and special <br />assessments, and other charges of every description, levied on or assessed against the Premises, <br />personal property located on the land or improvements, the leaschold estate, or any <br />subleasehold estate, falling due during the term of this Agreement. It shall be conclusively <br />presumed that any aircraft stored at the Premises pursuant to this Agreement shall be <br />considered "habitually situated" therein as that term is defined in Revenue and Taxation Code <br />section 5362. Tenant shall make all such payments directly to the assessing authority, before <br />delinquency and before any fine, interest or penalty shall become due or be imposed by <br />operation of law for their nonpayment. <br />Keoni Cruz 423.docx <br />