Inter-Department Correspondence

County Manager's Office

TO: Honorable Board of Supervisors

FROM: Paul T. Scannell, Assistant County Manager

SUBJECT: First Amendment to Lease Agreement with Keet Nerhan for the Lease of Unimproved Land at Half Moon Bay Airport for Parking Purposes (Lease No. 5245)

Adopt a Resolution authorizing the President of the Board of Supervisors to execute a First Amendment to Lease Agreement with Keet Nerhan for 5,005 square feet of unimproved land at the Half Moon Bay Airport for parking purposes.

Since 1998 Keet Nerhan has leased a paved and striped 5,005 square foot parcel which is located at the Half Moon Bay Airport. The land has been used as a parking lot for the Mezza Luna Restaurant which adjoins the restaurant. The current agreement is scheduled to expire on August 31, 2001. Both the County and the Mr. Nerhan would like to extend the term of the agreement.

A First Amendment to Lease Agreement has been negotiated and is summarized as follows:
1. The term is for three (3) years commencing on September 1, 2001 and expiring on August 31, 2004.

2. The rent shall be $288.00 per month with annual rental adjustments of five percent (5%). The current rental rate is based on current fair market rent as established by an independent appraisal.

Fiscal Impact
The rental income will be deposited into the Airport Fund. The Director of Public Works concurs with this recommendation.

cc/enc: D. Penny Bennett, Deputy County Counsel
Neil Cullen, Director, Department of Public Works
Attn: Susan Durling, Executive Secretary
Mark Larson, Acting Airports Manager, Public Works Department
Steve Alms, Manager, Real Property Services
Carolyn Hamilton, Real Property Agent, Real Property Services