Concession Agreements Airport

See CRP-CD-81 (below), appendix to Chapter 2, concession agreements, for extracts from the terms of MSP`s concession contracts relating to the operator`s responsibilities, management and distribution, as well as an excerpt from the PDX concession agreement for a matrix that assigns maintenance tasks. The right to an improvement at the end of a lease is often retained by the airport and the agreement should, if possible, reflect this situation. At the same time, airports should include in their agreements the language that requires a tenant to remove these improvements at the airport`s request. The maintenance needs of rental cars depend on the construction of improvements by the company or the air port. The agreement should clearly state which party is responsible for the indoor and outdoor maintenance of the facilities. The airport should have a provision that any improvements to the lease at the end or expiry of the contract will become the property of the airport. 2.2.6 Reconquest/relocation of premises Historically, when dealers sometimes obtained exclusive rights, some had also ruled out the recapture or relocation. Although the revenue from concessions is significant, increased competition between airlines has required some airports to protect their rights to reclaim space. In these circumstances, rules of reconquest and relocation are essential to protect both parties. The airport should retain similar rights to relocate the car rental company where necessary for airport extension, security warrants or appropriate causes, with provisions for moving costs and the purchase of undamped upgrades. See CRP-CD-81 (below), appendix to Chapter 2, concession agreements, for an excerpt from the terms and conditions of sale of MSP concessions. 2.2.7 Materials Management It is necessary to determine whether the dealer or airport is responsible for the organization of these services and which party will pay for them.

For the supply of products (usually for minor concessions), exhibitions that represent acceptable truck routes, loading points, storage locations and acceptable routes in the terminal should be included in the agreement, so that the product can be moved to the concession site.

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