HomeMy WebLinkAbout19577 ORD - 12/16/1986TEXAS:
AN ORDINANCE
AUTHORIZING THE TRANSFER OF LEASES HELD BY VAN DUSEN AIR,
INC.; AND DECLARING AN EMERGENCY.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI,
SECTION 1. That there is hereby approved the transfer of the leases
held by Van Dusen Air, Inc. under Ordinances 15372 and 17967, as requested by
Van Dusen Air, Inc. by letter of December 15, 1986, a true copy of which is
attached as Exhibit "A," and that such transfer shall not amend or change said
leases or the obligations thereunder in any way whatsoever. That the City
Manager is hereby authorized and directed to execute and record the lease under
Ordinance 17967 and this assignment.
SECTION 2. That upon written request of the Mayor or five Council
members, copy attached, to find and declare an emergency due to the need of
transferring the abovementioned leases at the earliest practicable date, such
finding of an emergency is made and declared requiring suspension of the Charter
rule as to consideration and voting upon ordinances or resolutions at three
regular meetings so that this ordinance is passed and shall take effect upon
fir reading as an a rgency measure this the I. day of
\ J.QI. , 19 �Q W.
ATTEST:
MAYOR
APPROVED:14A DAY OF g 2C. f4 %. , 19 ig-C
HAL GEORGE, CITY ATTORNEY
By
AAernt-E• ty Attorney
01P.022.01
THE CI OF CORPUS CHRISTI, TEXAS
19577 MICROFILMED
KLEBERG, DYER, REDFORD & WEIL
ATTORNEYS AT LAW
1200 MBANK CENTER NORTH
SOO NORTH WATER STREET
CORPUS CHRISTI, TEXAS 78471
(5121 884-3551
WILLIAM H. LOCKE, JR.
PARTNER
BOARD CERTIFIED
REAL ESTATE LAW:
COMMERCIAL, RESIDENTIAL AND
FARM AND RANCH
TEXAS BOARD OF LEGAL SPECIALIZATION
Mr. Craig McDowell
City Manager
City of Corpus Christi
Corpus Christi, Texas
December 15, 1986
CABLE: KLEBERG
TELEX: 778 444
TELECOPIER: 1512) 684-7645
ZAP MAIL: (512)5E17.0469
AUSTIN, TEXAS OFFICE
(512)458-6231
Re: Corporate Restructuring and Financing by Van Dusen
and Pledge of its Tenant Interest in Airport Facilities
Dear Mr. McDowell:
On behalf of our firm's client, Van Dusen Airport Services,
Inc. and Van Dusen Airport Services Company, Limited Partnership,
a Delaware limited partnership, we request that the City of
Corpus Christi as an emergency item, consider and approve on
December 16, 1986, the following requests of our client:
1. Van Dusen Air, Incorporated ("Van Dusen") is contracting
to transfer its interest in certain assets, including certain
leasehold interests'presently held by Van Dusen Airport Services,
Inc. ("VDAS") to Van Dusen Airport Services Company, Limited
Partners)- a company that will specialize in airport based
operations. In this regard, VDAS is requesting your consent
as lessor of the premises located at Corpus Christi International
Airport to the assignment of VDAS' leasehold interest in the
premises from VDAS to Van Dusen and then from Van Dusen to Van
Dusen Airport Services Company, Limited Partnership, with the
resulting transfer of the leasehold rights to the limited
partnership; and
2. The encumbrance of Van Dusen's leasehold rights as
tenant by its lender, Heller Financial, Inc. of Chicago, Illinois,
in connection with funding of a new loan to Van Dusen. The
form of leasehold mortgage is attached.
I have been informed by our clients that an emergency exists
in order to accomplish this request and that funding of the
loan to Van Dusen will not be able to be closed unless approval
of these requests are made by the City Council of the City of
Corpus Christi at its meeting scheduled for Tuesday, December 16,
1986, or by the City Manager if City Council approval is not
required by the Charter of the City of Corpus Christi.
Mr. Craig McDowell
December 15, 1986
Page 2
This corporate reorganization and loan transaction is a
part of a seven airport facility refinancing involving locations
in Alaska, Georgia, Kentucky, Massachusetts, Michigan, Minnesota
and Texas (Corpus Christi) on December 17, 1986. The Van Dusen
limited partnership will be borrowing up to $35,000,000 on a
revolving line of credit from Heller Financial, Inc. of Chicago,
Illinois, to finance its ownership of the business.
By your signature below we ask that you confirm your consent
to the assignment to Van Dusen and by Van Dusen to Van Dusen
Airport Services Company, Limited Partnerhip, of the airport
lease and related agreements referred to above, your understanding
that they are in full force and effect and not presently in
default, you acknowledgment of Heller Financial, Inc.'s lien
against the leasehold and interests of Van Dusen Airport Services
Company, Limited Partnership, and your agreement that in the
event of default by Van Dusen Airport Services Company, Limited
Partnership, under its agreements with the City of Corpus Christi
give you the right to terminate the tenant's interest under
the airport lease and related agreements, Heller Financial,
Inc. shall have an opportunity to cure any defaults and to have
the lease and agreements transferred to another operator
reasonably acceptable to you.
Thank you for your considerations.
Yours very truly,
KLEBERG, DYER, REDFORD & WEIL
WHL/slk
AGREED:
CITY OF CORPUS CHRISTI, TEXAS
ATTEST:
By:
By:
Craig McDowell, City Manager
City Secretary
Corpus Christi, Texas
1(,k day of
TO THE MEMBERS OF THE CITY COUNCIL
Corpus Christi, Texas
19889
For the reasons set forth in the emergency clause of the foregoing ordinance
or resolution, an emergency exists requiring suspension of the Charter rule
as to consideration and voting upon ordinances or resolutions at three
regular meetings; I/we, therefore, request that you suspend said Charter rule
and pass this ordinance or resolution finally on the date it is introduced,
or at the present meeting of the City Council.
Respectfully, Respectfully,
MAYOR
99.045.01
Council Members
The above ordinance was passed
Luther Jones
Dr. Jack Best
David Berlanga, Sr.
Leo Guerrero
Joe McComb
Frank Mendez
Bill Pruet
Mary Pat Slavik
Linda Strong
by
THE CIT O F CORPUS CHRISTI, TEXAS
the
following
vote:
19577