Nine-year· ( 9-year) Flat Rate Ground Lease Agreement with Sorbl Aircraft Maintenance lnc.

The City of San Diego has entered into a nine-year flat-rate ground lease agreement with Sorbi Aircraft Maintenance Inc. for the continued use of an 8,930-square-foot aircraft hangar and 25,420-square-foot parcel of land located at Montgomery-Gibbs Executive Airport in San Diego, California. The lease term runs from January 1, 2019, through December 31, 2027, replacing a prior month-to-month arrangement that began in 2019 and followed the tenant’s continuous occupation of the site since July 2015. The tenant, which specializes in aircraft maintenance and repair services, has built a longstanding presence and customer base at the airport, and its operations remain integral to the aviation ecosystem at Montgomery-Gibbs. Under the terms of the new lease, the tenant is permitted to perform minor maintenance and repair work, including exterior painting and the installation of a metal roofing system over the existing hangar, without expanding the footprint or changing the nature of its operations. These activities qualify for a categorical exemption under the California Environmental Quality Act (CEQA) Section 15301, as confirmed by a Notice of Exemption filed on March 13, 2025, which asserts no significant environmental impact will result from the proposed work. The lease is not subject to federal procurement regulations or FAR clauses, and no federal contracting vehicles, socioeconomic certifications, or procurement evaluations were involved; the process was handled by the City of San Diego’s Department of Real Estate and Airport Management under local administrative procedures. Financial terms, including rent amounts, are not disclosed in the available documentation, and payment for the CEQA filing was processed through the San Diego County Clerk’s office. The facility will continue to be operated solely for aircraft maintenance and repair, with oversight residing with the City’s property and planning departments, and no options for renewal or expansion are included in the agreement.