Broward County Commission Regular Meeting
Director's Name: Mark Gale
Department: Aviation Division: North Perry Airport
Information
Requested Action
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MOTION TO APPROVE Agreement of Lease between Broward County and Hollywood Aviation, LLC, for aircraft storage facilities at North Perry Airport, effective upon approval by the Broward County Board of County Commissioners and terminating on the last day of the fifth lease year, and authorize Mayor and Clerk to execute.
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Why Action is Necessary
Chapter 2, Section 2-40(a) of the Broward County Code of Ordinances requires the Broward County Board of County Commissioners (“Board”) to authorize any commercial activities or occupancy of any portion of Broward County’s Fort Lauderdale-Hollywood International Airport (“FLL”) and North Perry Airport (“HWO”).
What Action Accomplishes
Approves an Agreement of Lease (“Agreement”) between Broward County (“County”) and Hollywood Aviation, LLC, (“Hollywood Aviation”) to provide aircraft storage facilities at HWO.
Is this Action Goal Related
No
Previous Action Taken
None
Summary Explanation/Background
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.
This action will approve an Agreement between the County and Hollywood Aviation to provide aircraft storage facilities at HWO.
In February 2022, the Broward County Aviation Department (“BCAD”) advertised Requests for Letters of Interest (“RLI”) for available parcels at HWO. BCAD periodically advertises RLI’s to develop vacant property at HWO to meet airport users’ current and future needs and increase airport revenue. BCAD staff received two development proposals for a parcel located on the east side of HWO (parcel no. 1).
BCAD staff reviewed each proposal and considered the strength, weaknesses, proposed investment, and the current and future needs of HWO as related to each proposal. Hollywood Aviation was identified as the proposer that committed to the largest capital investment for the advertised property at HWO and best matched the aeronautical needs of HWO.
The proposed Agreement leases approximately 2.23 acres to Hollywood Aviation for a five-year term. Hollywood Aviation is required to repair and replace the hangar roofs, doors, and wall skins, paint and finish the floors, renovate offices, and repair and seal coat ramp areas. The required minimum capital investment for Hollywood Aviation is $150,000 and must be completed by the last day of the second lease year.
The proposed Agreement has been reviewed and approved by the Office of the County Attorney and the Risk Management Division.
Source of Additional Information
Mark E. Gale, A.A.E., CEO/Director of Aviation, (954)359-6199
Fiscal Impact
Fiscal Impact/Cost Summary
Beginning on the first day of the Agreement, Hollywood Aviation will pay the County $110,489 annually in rent, plus applicable taxes. Rent is subject to an annual adjustment based upon the greatest of 3% or the consumer price index. The total anticipated revenue over the five-year term is estimated at approximately $552,445.