Or. Admin. Code § 738-015-0025

Current through Register Vol. 63, No. 11, November 1, 2024

Section 738-015-0025 - Commercial Aeronautical Lease Renewal Options

(1) In accordance with OAR 738-015-0020, Commercial Aeronautical Lease Provisions, Lessee shall have the option to renew its lease beyond the base term, subject to the satisfaction of all of the following conditions:

(a) The existing lease is not in default;

(b) Any improvements to the lease property are structurally sound and capable of safe and legal occupancy for the remaining term of the renewal period; and

(c) Lessee files a notice with ODA, in the form specified by ODA, stating that Lessee has complied with (a) and (b) above and intends to exercise its renewal option. The notice must be filed no later than 120 days prior to the expiration of the base term lease.

(2) The Department shall inspect Lessee's improvements for condition and appearance in accordance with ODA's standards for maintaining clean, safe and attractive facilities at the airport.

(a) Items considered shall include, but not be limited to:

(A) Siding and exterior finish;

(B) Roofing;

(C) Doors; and

(D) Structural framing.

(b) If the Department determines from its inspection that the improvements may not be structurally sound, the Department may require Lessee to obtain an inspection by a certified inspector, at Lessee's expense, to verify the condition of the structure.

(c) The Department may require Lessee to correct any deficiencies noted by ODA's inspection, or may require further structural inspection as described in paragraph (b) above, as a condition of Lessee's renewal.

(d) If corrections cannot be completed prior to the expiration of the current lease term, Lessee may request in writing that the Department approve additional time to make such corrections; the Department shall not unreasonably withhold approval of the request. The Department and Lessee may enter into the lease renewal or new lease, subject to the written commitment of Lessee to complete the repairs within a specified period. Failure to make such repairs within the period agreed upon may be cause for immediate termination of the renewal term or new lease.

(3) The length of the term of a new lease following a base term lease, and any renewal, shall be at the Department's discretion.

Or. Admin. Code § 738-015-0025

AVIA 1-2002, f. & cert. ef. 9-3-02

Stat. Auth.: ORS 835.035, ORS 835.040, ORS 835.112

Stats. Implemented: ORS 935.035, ORS 935.040, ORS 835.112, ORS 836.055