15-year extension to generate $5.3 million in rent payments
ONTARIO, Calif. – July 26, 2017 – The Ontario International Airport Authority (OIAA) today approved a 15-year lease extension for Guardian Air Services at Ontario International Airport (ONT).
Over the new 15-year term, rent payments on Guardian’s existing premises will generate approximately $5.3 million. Guardian will pay a one-time lease execution fee of $150,000 upon signing and delivery of a fully executed lease and make $750,000 in capital investments for upkeep of the existing facilities over the term of the lease.
Under the provisions of the extension, Guardian will also construct a third hangar, new office space, new apron for aircraft parking, new auto parking and associated landscaping at a minimum cost of $3 million.
The agreement also provides for annual increases in the base rent of no less than 2 percent and not more than 4 percent. Additionally, the rent will be adjusted every 5 years according to prevailing market rates. The base rent will also be adjusted to reflect facility improvements.
Guardian provides fuel, aircraft maintenance and cleaning, ground transportation services and other amenities for general aviation customers at its Guardian Jet Center where it has operated since 2003.