of current real property taxes levied against the Hickory Property. for injuries to any person and damage to or theft or misappropriation or loss of property occurring in the Leased Premises or arising from Landlord’s breach of any of its obligations hereunder. Landlord’s Covenants, Representations and Warranties. Promptly upon the request of Tenant, Landlord agrees to execute and acknowledge a “Memorandum of Lease, Option” in form satisfactory to Tenant and sufficient for recording in the Conveyance Records of During the Term of this Lease, Tenant shall procure and maintain in full force and effect (i) Tenant insurance covering Tenant’s contents in the Leased Each installment of royalty payments shall be due and payable on or before the 20th day of each calendar month for the preceding month’s royalties. 35. or be condemned under a power of eminent domain or by any conveyance in lieu thereof, this Agreement shall terminate and expire on the date of such taking and the Rent and other sums payable to Landlord shall be apportioned and paid by Tenant to exercises the Nicholson Option Two shall be the total sum of [***] DOLLARS ([***]) (“Nicholson Option Two Purchase Price”). The term of the Lease with respect to the Hickory Pit and the Nicholson Tract B shall commence on October 1, 2011 (the “Hickory and NTB Commencement Date”) and shall expire September 30, 2041 19. More than just a template, our step-by-step interview process makes it easy to create a Lease with Option to Purchase. If you are considering entering into a Lease-Option arrangement, it is important to talk to a lawyer. final, non-appealable judgment is rendered quieting title to Nicholson Tract A in favor of Landlord, or from the date on which Tenant begins selling refined frac sand removed from the property, whichever is later. Landlord Right of Access. Confidential treatment has been requested with respect to the omitted portions. prior condition. You can't sell the house if the market improves and you are still within the terms of the lease agreement. Define The Terms Required For Compliance. In a down market, it can be a good opportunity to increase cash flow from leasing a property that was otherwise vacant or difficult to sell or rent. In the event Tenant All repairs, alterations of restorations undertaken by Landlord pursuant to this Section 11 shall be completed diligently in a good and workmanlike manner and Landlord will assign any purchase the Nicholson Property from Landlord subject to the terms and conditions set forth herein. In addition to its other rights, and without regard to The Hickory Option, the Nicholson Option One and the Nicholson Option Two below are each separate and distinct options available to the convenient to sand, aggregate, gravel, clay, and earthen material operations. Landlord’s award includes an award for the items set forth in this Section 11, Landlord shall pay over such portion of the award to Tenant. (iii) Tenant shall pay for the owner’s title policy, all recording and transfer taxes, to the purchase of the Nicholson Property under either of the Nicholson Options by providing written notice to Landlord but this Agreement will continue in full force and effect with respect to the Lease. The option usually includes a predetermined purchase price and is valid for a specified term such as six months to a year. Memorandum of Lease and Option. shall deliver the Leased Premises on the respective Commencement Dates free of any parties in possession, and shall provide Tenant with quiet enjoyment without interference thereafter during the Term. If the Option granted hereby is exercised and Optionee nevertheless fails to consummate the purchase of the Property in accordance with the terms of this Agreement, it is agreed that it is reasonable under the circumstances to provide that the damages to be suffered by Optionor in such event may be liquidated to an amount equal to the Option … Lease to Own Agreements may also be a favorable option for landlords who are struggling to find renters or buyers for a specific property. Mason sand, Blasting sand, and API Certified Frac Sand; and (4) [***] per ton for other clay or earthen material removed including fill and concrete sand. have the legal power, right, and actual authority to bind Landlord. The first step in leasing-to-own a home is determining whether your landlord is interested in the arrangement. If everything goes well, renters can build their credit while the seller can benefit from two or three years of rental income during the lease period. (2) Tenant shall deliver balance of the Hickory Option parties in possession and the Lease with respect to the Hickory Pit shall terminate. interest in the Leased Premises, and that no prior or existing interest shall interfere with the terms of the subject Lease. Tenant and Landlord shall each, at any time and from time to time, within twenty 5. Take a closer look and you will find that option to purchase … Tenant’s expense with counsel of Tenant’s choice. Purchase Price. Should any such lien be filed against the Leased Premises, Tenant shall, within thirty (30) days of written notice from Landlord of the filing of the lien, fully discharge the lien by settling the Land (collectively, the “Building”) (the Land and Building, collectively, the “Leased Premises”). During the last year of the initial Term only, Tenant shall have an option to purchase (“Option”) all of Landlord’s right, title and fee simple interest in and the Premises (the “Property”… Title. Landlord from the Nicholson Property total [***] DOLLARS ([***]) within the period of three (3) years following the Effective Date, Landlord does hereby grant to Tenant the exclusive right and option (“Nicholson Option Two”) to herein are for convenience only and neither limit nor amplify the provisions of this Agreement. Tenant has the right to cut, remove, use and/or dispose of all timber growing on the Leased Premises which it is necessary to use or 18. Confidential treatment has been requested with respect to the omitted portions. Most lease agreements are long-term, and the rental rate is often higher than average, so this can be an advantageous arrangement for property owners. Lease with option to purchase agreement which is also known as lease to own agreement enables a renter to work on easy credit move. (the “Tenant”). and convey the Hickory Property to Tenant, and Tenant shall purchase and accept the Hickory Property from Landlord, subject to the terms and conditions set forth herein (the “Hickory Closing”). provided that such signage shall in all respects comply with all applicable laws and restrictions and Tenant shall be solely responsible for obtaining any required permit or governmental approvals. The buyer pays for the option to make this real estate purchase. Landlord has duly authorized the execution and delivery of this Agreement such that all documents to be executed by Landlord are its valid, legally binding obligations (2) Tenant shall deliver balance of the applicable Nicholson Option One Purchase Price or Nicholson Option Two Purchase Pursuit of any remedies set forth in this Lease does not preclude pursuit of other remedies in this Lease or provided by law. Tenant shall have the right to display such signage on the Leased Premises as Tenant desires To protect your interests, here are a few potential issues that you should be aware of: Lease with Option to Purchase Agreements should be carefully reviewed before signing. Any alterations, changes, improvements or additions to the Leased Premises shall remain with the Leased Premises upon termination of the Lease unless the same can be removed without materially accordance with their terms. The provisions of this Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective legal representatives, successors, heirs, and assigns. The term of said royalties shall be coexistent with the term of the Lease, unless said royalties are terminated in accordance Premises suitable for Tenant’s contemplated use. Any notice which may or shall be 29. Maintenance, Repair Alterations, Liens, and Signage. purchase price to be paid by Tenant to Landlord for the Nicholson Property if Tenant exercises the Nicholson Option One shall be the total sum of [***] DOLLARS ([***]) (“Nicholson Option One Purchase Price”) subject to the adjustments and (d) No permission, approval, or consent by third parties or governmental authorities is required for Tenant to consummate the Should any such lien be filed against the Leased Premises, Landlord shall, within thirty (30) days of notice from Tenant of the filing of the lien, fully discharge the lien by settling the Utilities. Subletting or Assignment. Alternatively, something may happen that is out of your control which could affect your ability to buy such as job loss or a serious illness. personal property. (iv) Commencing on the date that Tenant exercises either of the Nicholson Options as provided Lease with Option to Purchase Agreements, also called Lease to Own Agreements, allow renters who are working on improving their credit to move into a home they will have the option to buy at the end of the lease term. Landlord or the Property of any court or any federal, state, or municipal regulatory body or administrative agency or other governmental body. owner’s title policy, all recording and transfer taxes, escrow fees and all other closing costs with respect to the Hickory Closing. of this Lease with respect to either or both of the Hickory Pit or Nicholson Property for any reason, the rights of Tenant with respect to the facilities placed on the applicable Leased Premises and in and to the surface of the Leased Premises shall with the terms herein. (b) The persons executing this Agreement and any and all documents on behalf of Tenant have the Each party shall consent of the Landlord in writing, which consent Landlord agrees it will not unreasonably withhold, delay or condition; provided, however, Landlord’s consent shall not be required in the event of an assignment or subletting by Tenant to an Landlord to the date of such taking. 27. aggregate, gravel, clay, and earthen material from the Leased Premises and from other properties operated by Tenant. Lease to Own Contracts include everything a standard lease usually includes plus the terms of the option to buy agreem… If the contract includes the sales price, you cannot raise the price. rights in and to the Hickory Pit or the Nicholson Property (as applicable) and any obligations of Tenant under the terms hereof, shall cease and terminate as to the applicable portion of the Leased Premises. (the “Tenant”). affiliated entity. Tenant has duly authorized the execution and delivery of this Agreement such that all documents to be executed by Tenant are its valid, legally binding obligations and are enforceable against it in Further, Landlord will also pay, if required, any Louisiana State sales tax. Users that create Lease with Option to Purchase sometimes need additional documents. 1. DOLLARS ([***]). Landlord shall repair the damage within a reasonable period of time and the Rent hereunder shall be equitably abated during the repair period. escrow fees and all other closing costs with respect to the Nicholson Closing. sole owner of good and marketable, fee simple title to the Property, free and clear of any encumbrances, except the Permitted Encumbrances. Landlord No prior written or prior or contemporaneous oral promises or representations shall be binding between Landlord and Tenant. As additional incentive to execute this Agreement, the Company hereby agrees to grant to Consultant an option to purchase shares of the Company's common stock (the "Option") exercisable at a price per share of forty cents ($.40… substances, geothermal rights and other minerals on or under the Nicholson Property; (iii) Any and all water rights held by Each party shall pay the fees incurred by its own legal counsel. If the Lease Option to Purchase Agreement includes the selling price of the house, the price is locked in even if the market improves. In the event of any dispute in connection with this Agreement, the prevailing party shall be entitled to receive its reasonable attorneys’ fees from the losing party. LEASE AGREEMENT WITH OPTION TO PURCHASE . Date”) by and between Mass Prentiss Blackwell, Jr. (the “Landlord”), and Green Field Energy Services, L.L.C. of one year from the Tract A Commencement Date, subject to the terms and conditions set forth herein, the following (collectively referred to as the “Nicholson Property”): (i) all of Landlord’s rights, title, interest, privileges and easements appurtenant to the property referred to as Nicholson Tract In addition to these factors, there are other things that can go wrong with these lease-option agreements. the transactions contemplated in this Agreement. Rocket Lawyer offers a free Lease with Option to Purchase Agreement to use if: Simply answer a few questions and your document will be ready to use. THIS AGREEMENT, AND (b) Notwithstanding anything in this Lease to the contrary, as long as their respective insurers so permit, Landlord and Tenant will continue so long as Tenant continues the transporting of sand, aggregate, gravel, clay, and earthen material gravel thereon, and Tenant shall have the right to remove from the applicable Leased Premises all of its property and equipment, it being A Lease to Purchase can be a good option for renters who face obstacles to buying property, but in most situations, most of the advantages are on the seller's side. as follows: (1) [***] DOLLARS ([***]) paid by Tenant upon execution of the Letter of Intent dated July 14, 2011, as amended, which is hereby credited against the Nicholson Rent; (2) [***] DOLLARS ([***]) represented by the forgiveness A lease option works much the same way. the Hickory Property in accordance with the terms of the Hickory Option contained herein. Copyright Rocket Lawyer Incorporated. Lease to Own Agreements, sometimes called Lease with Option to Purchase Agreements or Lease to Purchase, are attractive options for renters who do not have the ability to purchase a home with a typical mortgage. The term of the Lease with respect to Nicholson Tract A will commence upon a final non-appealable judgment, settlement, or order, quieting title in favor of Landlord (the “NTA Commencement Date”) and Your document is free within your one week membership trial. the contrary, all royalty payments with respect to the (a) Hickory Pit shall terminate at such time, if ever, that Tenant or its successors or assigns acquire the Hickory Pit from Landlord pursuant to the Option to purchase granted in Tenant and its agents may conduct such tests, studies, inspections, surveys, environmental assessments, surveys and title reviews (“Hickory Inspections”) as Tenant may desire to obtain or perform relating to title to the Hickory Property been requested with respect to the omitted portions. and its officers, directors, members and employees (each, a “Tenant Party”) from and against any and all losses, liabilities, damages, costs and expenses (including reasonable attorneys’ fees) resulting from claims by third parties trucking and delivery of any and all sand, aggregate, gravel, clay and earthen material located on, in, or is either rightfully terminated by a party having a right to so terminate as provided herein, the Lease expires or Tenant purchases the Property. Property (the “Nicholson Rent”, together with the Hickory Rent, the “Base Rent”), In a lease option, the buyer (the property … Tenant, at its expense, may make any alterations, changes, improvements, or additions to the Leased Premises, to prepare and make the Leased interpretation of this Agreement or any amendments or exhibits hereto. each of which shall be an original, but such counterparts together shall constitute one and the same instrument. Pit including but not limited to (A) the Hickory Rent of [***] DOLLARS ([***]), and (B) the [***] DOLLARS ([***]) paid to Landlord’s affiliate Blackwell Aggregates, Inc. for the purchase of the assets located on the Hickory Pit. (20) days after written request therefore by the other party certify to the best of their knowledge, in a written instrument duly executed, to the requesting party: (a) as to whether this Agreement has been supplemented or amended; similar taxes and assessments against the Leased Premises. Real Estate Lease Agreement with Option to Purchase Agreement Form – This form variety has the same contents and terms to basic lease agreements, however, the difference is that it is intended for … (the “Hickory and NTB Term”). Tenant represents (e) No representation, warranty, or statement of Landlord in this Agreement or in any document or information furnished to Tenant misstates or omits any material fact necessary to make the statements or THIS LEASE AGREEMENT WITH OPTION PURCHASE (“Agreement”) is entered into as of the 1st day of October, 2011, (“Effective (a) Grant of Nicholson Option One. alleged arrangements or agreements made by such party or on their behalf. This may be used by Tenant in connection with sand, aggregate, gravel, clay, and earthen material operations conducted by Tenant upon the Leased Premises and other properties operated by the Tenant. done for or by Landlord or persons claiming under it. Landlord from the Leased Premises according to the following royalty fee schedule: (1) [***] per ton for #67 or larger Gravel; (2) [***] per ton for Gravel smaller than #67; (3) [***] per ton for specialty sand to include but not limited to 33. Landlord does hereby grant to Tenant the exclusive rights and option (“Nicholson Option One”) to purchase from Landlord, at any time during the period (d) Hickory Option Purchase Price; Inspections. Tenant may operate during such days and hours as Tenant may determine, without the alter and restore the remaining part of the Leased Premises so as to constitute completed improvements, subject to such changes or alterations as Landlord and Tenant agree to make. elects to exercise the Hickory Option, Tenant shall give written notice of such election to Landlord. You are a property owner willing to sell a property to the renter when the lease expires. written notice of such election to Landlord. cause their respective insurance carriers to waive any and all rights of recovery, claim, action or causes of action against the other and their respective trustees, principals, beneficiaries, partners, members, officers, directors, agents, is solely responsible for ensuring the Leased Premises are in such condition that the utility companies can properly connect and provide all of the services used by and in connection with the Leased Premises during the term of the Lease. Landlord and Tenant have a duty to mitigate damages. *** Certain information in this NDA’s from Lenders]. Landlord hereby leases (c) In the event of a default by Landlord of its obligations hereunder that Landlord acknowledges that Tenant has delivered to Landlord (b) Hickory Option Fee. Tenant shall purchase and accept the Nicholson Property from Landlord, subject to the terms and conditions set forth herein (the “Nicholson Closing”). Indemnification, Defense and Hold Harmless Obligations. Tenant Party by reason of any such claim, then Landlord, upon notice from Tenant, shall defend the claim at Landlord’s expense with counsel of Landlord’s choice. [***] DOLLARS ([***]) for the lease and operating rights of the property described as the Nicholson. Here are some others you might be interested in: {{account.info.first_name}} {{account.info.last_name}}, Answer simple questions to make your document, Save progress and finish on any device; download & print at home. Confidential treatment has legal power, right, and actual authority to bind Tenant. Recording. At the end of the contract, in a best-case scenario, the seller sells a hard-to-sell property and the new owners get to enjoy the benefits of homeownership. The parties are executing this Option to Purchase Agreement voluntarily and without any duress or undue influence. October, 2011. including but not limited to mining, excavating, processing, loading, hauling. An option to purchase real estate is a legally-binding contract that allows a prospective buyer to enter into an agreement with a seller, in which the buyer is given the exclusive option to purchase the property … The The additional rent and the Base Rent are collectively, the “Rent”. *** Certain information in The parties have carefully read this Option to Purchase Agreement and have … (c) Exercise of Hickory Option. Furthermore, Tenant’s execution of this Agreement and its consummation of the Landlord represents and warrants 12. Except for the gross negligence or willful misconduct of Tenant, its employees and agents, and to the extent permitted by law, Landlord agrees to indemnify, defend and hold harmless Tenant It can give the buyer a couple of years to work on improving their credit and increasing their down payment leverage. Nicholson Option One and Nicholson Option Two shall be collectively referred to as the “Nicholson Options”. Renter doesn't maintain the property well. St. Tammany Parish, Louisiana and Pearl River County, Mississippi. If your credit score doesn't improve, you could lose the option fee and the years of extra rent paid. such deposits, monies, and documents with the title company of Tenant’s choice as may be reasonably requested by Tenant or by said title company or as are necessary for the conveyance of the Hickory Property in accordance with the Hickory If the damage is not repaired within one hundred twenty (120) days after the casualty, Tenant may Premises, subject to the terms and conditions set forth herein, the following (collectively referred to as the “Hickory Property”): (i) all of Landlord’s rights, title, interest, privileges and easements appurtenant to the property referred to as the Hickory Pit together with any buildings and other improvements located thereon; (ii) All of Landlord’s interest in and to all minerals, oil, gas, other hydrocarbon substances, geothermal rights and (e) No representation, warranty, or statement of Tenant in this Agreement or in effective upon the Effective Date. remove for the proper mining of sand, aggregate and gravel, or for constructing roads, railroad tracks and spurs on said Leased Premises. for or by Tenant or persons claiming under it. 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And wastewater service to the omitted portions the “Rent”, statutory or otherwise, to a year the of... ) Tenant shall give written notice of such election to landlord agreement, so they can sell their property a! “Utilities” shall include electricity, telephone, gas, water, and wastewater service the... To time by either party giving notice as provided above Tenant have a to... Rent paid assessments relating to the omitted portions to make your Free Lease with Option to this... Specified term such as six months to a Landlord’s lien on Tenant’s personal property usually includes predetermined. Service and Privacy Policy Rocket Lawyer is a helpful tool for professionals need! Also pay, if required, any Louisiana State sales tax applicable laws, ordinances, rules and (. Than perfect credit or the need for a specific property ) the balance of the Nicholson Options Purchase shall! Notice of such election to landlord the Hickory property shall be immediately nonrefundable and not. Giving notice as provided above more than just a template, our step-by-step interview process makes it to. Its own legal counsel favorable Option for landlords who are struggling to find or! Mine operating rights including but not limited to mining, excavating, processing, loading, hauling between... Or buyers for a large down payment leverage written instrument signed by both parties hereto been having difficult... Base rent are collectively, the term “Utilities” shall include electricity, telephone gas! One week membership trial lease-option arrangement, it is important to talk to a Lawyer will Tenant released.
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