Title
Resolution to Approve a Lease with Enterprise Leasing Company of Detroit LLC for Facilities at the Ann Arbor Municipal Airport
Memorandum
Attached for your approval is a lease agreement with Enterprise Leasing Company of Detroit LLC ("Enterprise") for office, garage and parking spaces at the City's airport. Enterprise has leased office and parking spaces at the terminal building since 1999 and garage space since 2015. The lease has expired. The lease this resolution proposes is for a five-year term with up to three, five-year options.
Enterprise is a national car rental agency that operates both the Enterprise and National brands at the airport. It's one of the few car rental locations in the Ann Arbor area that's open seven days a week and it provides visitors arriving through the airport and residents and students in the area a rental option.
The office space in the lease is the office and counter Enterprise now occupies in terminal. The parking area is Enterprise's dedicated lot, which is located on the east side of Airport Boulevard just north of Airport Drive. The garage space is a portion of the old maintenance building located at 718 Airport Drive.
This lease obligates Enterprise to complete significant improvements, at their sole cost, to the garage space that will revert to the City at the end of the lease. These costs include water and sanitary sewer connection fees, installation of utility leads, site restoration, an addition of a restroom, oil/grease separator, floor drain connections and other improvements so that Enterprise can perform on site vehicle washing and preparation in the garage. Enterprise will also pay to relocate airport gate number 3, overhead lighting, access keypads, signage, install fencing and an access drive to our building. These improvements add value and usefulness to our building at the Lessee's expense.
This lease's rates are consistent with current rates being charged at the airport. Like all airport...
Click here for full text