​Topeka Airport Authority Resolves Long-Standing Lease Dispute with $1.8 Million Settlement

Topeka, Kansas — December 15, 2025
The Metropolitan Topeka Airport Authority (MTAA) has reached a settlement in a multi-year lease dispute involving Building 281 at Topeka Regional Airport, agreeing to purchase the leasehold interest from the Rural Development Corporation (RDC) for $1.8 million, according to internal documents.The dispute originated from a 2016 lease agreement for the property at 650 SE Airport Drive West, which was set to expire on July 31, 2026. Conflicts arose over the operative version of the lease and whether it granted RDC renewal options beyond the initial term. This led to litigation initiated by MTAA in 2019 in Shawnee County District Court (Case No. 2019-CV-000816), where MTAA sought declaratory relief and potential reformation of the contract. RDC filed counterclaims alleging breach, unjust enrichment, and fraud.After years of legal proceedings and associated costs, the parties opted for a compromise resolution. A Settlement and Mutual Release Agreement, effective July 17, 2025, ended the litigation without admissions of liability.Under the agreement, MTAA committed to paying RDC $1.8 million in two installments of $900,000 each. The first payment was due at closing, which occurred no later than September 30, 2025, along with transfer of possession and dismissal of the lawsuit with prejudice. The second installment is due by December 31, 2025.Key provisions include:

• RDC vacating the property in broom-clean condition and transferring certain personal property (such as furniture and cubicles) "as is."
• Contingencies for property inspections and repairs, including certification of the sprinkler system.
• Mutual releases of all claims related to the lease and lawsuit, with each party bearing its own legal fees.

MTAA President Eric Johnson signed the agreement on behalf of the authority, while RDC President Robert Zibell represented the lessee. Minor clerical issues, such as apparent date typos in signatures, have been noted but are not expected to affect enforceability.As of December 15, 2025, milestones including closing, the first payment, and property transfer appear to have been completed based on the agreement's timelines. The final payment remains pending. Public court records searches have not yet confirmed the lawsuit's dismissal, potentially due to processing delays.The settlement allows MTAA to regain full control of Building 281, supporting future development at Topeka Regional Airport and the adjacent business center. It also avoids further litigation expenses, enabling focus on core aviation and economic development priorities.MTAA officials have not issued a public statement on the settlement, consistent with the agreement's emphasis on mutual resolution. The authority's next board meeting is scheduled for December 16, 2025, with an agenda focusing on operational matters but no explicit reference to the RDC payment.This resolution marks the end of a protracted "mess" that had created uncertainty for airport property management.

Henry McClure  
785.383.9994
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