Approval and Consent to Sublease with Sale of Aircraft Storage Hangar between All Inside AV Storage, Inc. and Diamond Aero Corporation, a California Corporation

The County of Riverside (“County”), as lessor, and John Obradovich and Betty Obradovich, as lessee, entered into that certain Desert Resort Regional Airport Lease dated June 3, 2003, as amended by that certain First Amendment to Lease, dated September 14, 2004, that certain Second Amendment to Lease, dated September 12, 2006, and that certain Third Amendment to Lease, dated March 17, 2009 (collectively, the “Lease”). On September 12, 2023, John Obradovich and Betty Obradovich assigned their interest in the Lease to All Inside AV Storage, Inc., a California corporation DBA Thermal Aviation (“Lessee” and “Sublessor”). The Lease relates to, among other things, the lease of about 9.45-acres of land at the Jacqueline Cochran Regional Airport (“Leased Premises”). Since October 3, 2014, Sublessor has subleased a 1,050 square feet portion of the Leased Premises (“Subleased Premises”), which contains an aircraft storage hangar, to Steven W. Young. Steven W. Young has since passed away and his executor has now decided to terminate the sublease. Sublessor now seeks consent to enter into a sublease for the Subleased Premises with Diamond Aero Corporation (“Sublessee”) (“Sublease”). The termination of the sublease with Paul Broyles, Executor to the Estate of Steven W. Young is memorialized in that Lease Cancellation Agreement dated April 15, 2025. Sublessor and Sublessee now seek the County’s consent to the Sublease dated January 24, 2025. Additionally, the parties seek the County’s consent to the Bill of Sale between Paul Broyles, Executor to the Estate of Steven W. Young, as seller, and Sublessee, as buyer, for the hangar located on the Subleased Premises. The effectiveness of the Sublease and Bill of Sale are subject to the consent and approval by the County per Section 24 of the Lease. The proposed Consent to Sublease and Bill of Sale will not impact the terms of the Lease. The Consent to Sublease and Consent to Bill of Sale have been identified as a proposed project under the California Environmental Quality Act (CEQA) because a discretionary action by the Riverside County Board of Supervisors is required for approval. The approval of the consent to Bill of Sale and consent to Sublease will not change the existing use of the Subleased Premises, which will not result in any significant environmental impacts or include any mitigation measures.