Loading...
Agenda 12/10/2024 Item #16G 1 (Second award for Solicitation No. 23-8080 Immokalee Regional Airport Hangar/Commercial Aeronautical Development - Parcels A&E. Execute Land lease agreement with Global Flight Training Solutions, Inc.)12/10/2024 Item # 16.G.1 ID# 2024-1546 Executive Summary Recommendation that the Board of County Commissioners, (the "Board"), acting as the Airport Authority, make the second award for Solicitation No. 23-8080 “Immokalee Regional Airport Hangar/Commercial Aeronautical Development- Parcels A & E,” and authorize its Chairman to execute the attached land lease agreement with Global Flight Training Solutions, Inc., for hangar development. OBJECTIVE: To generate revenue by leasing aeronautical land to provide general aviation services at the Immokalee Regional Airport (IMM). CONSIDERATIONS: On December 20, 2022, the Procurement Services Division sent notices of Invitation to Negotiate 23-8080 vendors for the “Immokalee Regional Airport Hangar/Commercial Aeronautical Development” project for the lease of Parcels A and E. Ninety-seven (97) vendors viewed the solicitation information. Four (4) proposals were received from Quality Enterprises USA, Inc., Global Flight Training Solutions, Inc., Rexair Aviation, LLC, Sweetie Promotions, LLC. Staff reviewed the proposals submitted and found all four to be responsive/responsible. The Selection Committee convened to evaluate the proposals on April 21, 2023. The Selection Committee unanimously determined that oral presentations were not required. After review and deliberation of the proposals, the Committee scored the proposals as shown in the table below. Company City County State Rank Responsive/Responsible Quality Enterprises USA, Inc. Naples Collier FL 1 Yes/Yes Global Flight Training Solutions, Inc. Immokalee Collier FL 2 Yes/Yes Rexair Aviation, LLC Naples Collier FL 3 Yes/Yes Sweetie Promotions, LLC Naples Collier FL 4 Yes/Yes Staff recommended negotiations with the top two ranked firms: Quality Enterprises USA, Inc., and Global Flight Training Solutions, Inc. The negotiations with Quality Enterprises brought about a fully executed lease on June 11, 2024. At this time, negotiations have been finalized for the remaining north portion of Parcel E to Global Flight Training Solutions, Inc. Through the negotiation process, staff determined that the proposed terms with Global Flight Training Solutions, Inc., are beneficial to the Authority and consistent with similar prior Board-approved lease agreements. The term of the fully net Lease is forty (40) years. It is for a parcel of land, approximately 341,055 square feet to be used for the construction, and subsequent operation of, aircraft hangars at IMM, inclusive of twelve (12) steel buildings: Ten (10) hangars at 12,000 sq/ft and two (2) hangars at 8,400 sq/ft. Within nine (9) months of the effective date, Tenant shall deliver to the Authority all plans and specifications, along with a proposed schedule, which shall be reviewed and approved by the Authority prior to permitting. The plans and specifications shall adhere to all federal, state and local development codes, regulations and ordinances. Within twelve (12) months of the effective date, Tenant shall have complete permitted plans, and construction must commence within 15 months of the effective date. The proposed lease is consistent with the requirements of the Airport Lease Policy, which was revised in April 2024. The initial lease rate of $6,252.68 per month ($75,032.10 annually), plus applicable taxes, shall commence ninety (90) days from lease agreement approval by the Board. The rent may be increased annually in accordance with the Authority’s lease rental rate adjustment program. In addition to rent, the Tenant will pay an annual Commercial Operating Fee, plus applicable sales tax, per the Authority’s published Rates & Charges. Tenant shall comply with all initial and ongoing insurance and bonding requirements, including a performance bond or letter of credit in a sum equal to the full cost of all such improvements, furnished prior to the start of construction. Upon lease termination, Tenant agrees that all rights and title to any alterations, additions and improvements made to the Premises during the Lease term shall vest in the Authority. The Authority reserves the right to cancel or terminate the lease if the Tenant is found to have defaulted on its obligations, or if cancelation is deemed necessary by the Authority Page 9262 of 10663 12/10/2024 Item # 16.G.1 ID# 2024-1546 to implement any phase or portion of any Airport Master Plan adopted by the Authority. Such option, if exercised, shall entitle Tenant to compensation for the fair market value of the leasehold interests and improvements. This proposed land lease will have an effective date of April 1, 2025. The purpose of this future date is due to a lease extension granted to RTH Enterprise, Inc., for the Immokalee Raceway that terminates on March 31, 2025. A small portion of the Raceway leased land overlaps the proposed leasehold for Global Flight Training Solutions, Inc. This item is consistent with the Collier County Strategic Plan to encourage diverse economic opportunities and safeguard taxpayer money by promoting fiscal stewardship and maintaining self-sustaining airports. FISCAL IMPACT: Monthly rent in the amount of $6,252.68 and commercial operating fee, plus applicable sales tax, shall be deposited in Authority Operating Fund (4090), Immokalee Regional Airport Cost Center (192330) upon collection. GROWTH MANAGEMENT IMPACT: This item is consistent with Section B: Intermodal & Multimodal Transportation, and Subsection 2: Aviation of the Transportation Element of the Growth Management Plan. This item covers the strategic focus area of infrastructure and asset management by constructing new facilities to provide for the current and future demand for aircraft hangars. This item adds annual recurring revenue, without any additional expenses. This allows the airports to be more self-sufficient and to not be a burden on the County's general fund. LEGAL CONSIDERATIONS: This item has been approved as to form and legality and requires majority vote for Board approval. - CJS RECOMMENDATIONS: That the Board of County Commissioners, acting as the Airport Authority, award Invitation to Negotiate No. 23-8080 “Immokalee Regional Airport Hangar/Commercial Aeronautical Land Development-Parcel E,” authorize its Chairman to execute the attached lease agreement with Global Flight Training Solutions, Inc., effective April 1, 2025. PREPARED BY: Bryant Garrett, Executive Airports Manager, Collier County Airport Authority ATTACHMENTS: 1. Memorandum of Lease Parcel E North 2. GFTS Leasehold Agreement Parcel E 3. RTH Extension until March 2025 Final Page 9263 of 10663 Page 9264 of 10663 Page 9265 of 10663 Page 9266 of 10663 Page 9267 of 10663 Page 9268 of 10663 Page 9269 of 10663 Page 9270 of 10663 Page 9271 of 10663 Page 9272 of 10663 Page 9273 of 10663 Page 9274 of 10663 Page 9275 of 10663 Page 9276 of 10663 Page 9277 of 10663 Page 9278 of 10663 Page 9279 of 10663 Page 9280 of 10663 Page 9281 of 10663 Page 9282 of 10663 Page 9283 of 10663 Page 9284 of 10663 Page 9285 of 10663 Page 9286 of 10663 Page 9287 of 10663 Page 9288 of 10663 Page 9289 of 10663 Page 9290 of 10663 Page 9291 of 10663 Page 9292 of 10663 Page 9293 of 10663 Page 9294 of 10663 Page 9295 of 10663 Page 9296 of 10663 Page 9297 of 10663 Page 9298 of 10663 Page 9299 of 10663 Page 9300 of 10663 Page 9301 of 10663 Page 9302 of 10663 Page 9303 of 10663 Page 9304 of 10663 Page 9305 of 10663 Page 9306 of 10663 Page 9307 of 10663 Page 9308 of 10663 Page 9309 of 10663 Page 9310 of 10663 Page 9311 of 10663 Page 9312 of 10663 Page 9313 of 10663 Page 9314 of 10663 Page 9315 of 10663 Page 9316 of 10663 Page 9317 of 10663 Page 9318 of 10663 Page 9319 of 10663 Page 9320 of 10663 Page 9321 of 10663 Page 9322 of 10663 Page 9323 of 10663 Page 9324 of 10663 Page 9325 of 10663 Page 9326 of 10663 Page 9327 of 10663           Transportation Management Services Department – Collier County Airport Authority  2005 Mainsail Dr, Naples, FL 34114   Phone: (239) 252‐1059  www.colliercountyfl.gov  September 4, 2024 Mr. Ralph Hester, RTH Enterprises, Inc. P.O. Box 2023 Immokalee, FL 34114 Dear Mr. Hester: On Tuesday, August 13th, 2024, at the regularly scheduled Board of Collier County Commissioners Meeting, the Board voted to direct the county attorney to work with staff to formalize an agreement to allow for the Immokalee Raceway to operate on the new leasehold of QE Enterprises until March of 2025. To allow for this arrangement, a formal sublease agreement will need to be crafted and executed between RTH Enterprise, Inc and QE Enterprises USA, Inc. A fully executed copy of this agreement shall be provided to the Executive Airports Manager before September 30, 2024. From a legal standpoint, RTH Enterprise, Inc. is considered a “hold-over tenant” and is therefore held to the terms that were agreed to in the now expired lease with the Collier County Airport Authority (CCAA) dated January 12, 2021. All payments, reports, insurance, and safety terms of the expired lease are required to be in force and current prior to any event that involves the racing operations of the Immokalee Raceway. This would begin with the required annual report of advertising revenues for last season that was due to the CCAA on May 31, 2024. All racing operations must cease on or before March 31, 2025, and all appurtenances, improvements, personal property, equipment, and signs shall be removed prior to the March 31, 2025 termination date. Please feel free to contact me at (239) 252-8425 or by email at Bryant.Garrett@colliercountyfl.gov if you have any questions. Respectfully submitted, Bryant Garrett, AAE Executive Airports Manager Page 9328 of 10663