W I T N E S S E T H: THAT WHEREAS, Landlord is the owner and operator of Bogue Sound RV Park ( Park ) located in Cedar Point, North Carolina; and
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1 NORTH CAROLINA CARTERET COUNTY LEASE AGREEMENT THIS LEASE AGREEMENT ( Agreement ) is made and entered into this day of SEPTEM- BER, 2011, by and between BOGUE SOUND RV PARK, INC. ( Landlord ), and, ( Tenant ), collectively the Parties. W I T N E S S E T H: THAT WHEREAS, Landlord is the owner and operator of Bogue Sound RV Park ( Park ) located in Cedar Point, North Carolina; and WHEREAS, Tenant desire to lease from Landlord a lot with the Park, and Landlord has agreed to lease a lot within the Park to Tenant subject to the terms and conditions contained herein; and WHEREAS, the parties hereto now wish to reduce their agreement to writing. NOW THEREFORE, for and in consideration of the premises and the mutual promises, covenants, agreements, and conditions hereinafter contained, and other good and valuable consideration, the receipt of which is hereby acknowledged, the parties hereto agree as follows: 1. PREMISE 1.1. Landlord hereby leases to Tenant, and Tenant hereby accepts Lot Number PM4 within the Park as shown on the plat or map attached hereto and incorporated herein by reference (the Premises ). In addition to the use of the Premises, Tenant shall be entitled to nonexclusive use of the common areas located within the park. 2. TERM 2.1. The term of this Lease shall be for a period of TWELVE (12) MONTHS, commencing on the of September, 2011 and ending at 11:59 P. M. on the 30th of April, This Lease may be renewed upon the mutual agreement of the Parties, which shall be evidenced through the execution of a rental renewal agreement to be supplied by Landlord. 3. PAYMENT OF RENT 3.1. The annual rental for the Premises is $4, or $3,900.00, (rental rate prorated to term of lease), which will be due and payable upon execution of this Lease Agreement. All rent is nonrefundable All rent payments not received by the fifth day after the due date shall be considered delinquent and charged a late fee of 5% of the payment past due. Rent for each renewal term shall be the rent charged by Landlord and shown on the then current rent schedule maintained by the Landlord for an equivalent lot. Landlord shall give written notice of the renewal rent at least thirty (30) days prior to the effective date of the exercised renewal term. the Security Deposit, and said Security Deposit may be co-mingled with Landlord s other funds. In the event of an event of default under this Lease, Landlord may use, apply or retain the
2 whole or any part of the Security Deposit so deposited to the extent required for the payment of any rent and additional rent or any other sum as to which Tenant is in default, any sum which Landlord may expend or may be required to expend by reason of such event of default, including; but not limited to, any damages or deficiencies in the reletting of the Premises, and any other damage, injury, expense, or liability resulting from such event of default. In the event that Tenant shall fully and faithfully comply with all of the terms, provisions, covenants, and conditions of this Lease, the Security Deposit shall be returned to Tenant within thirty (30) days after the date fixed as the termination of this Lease and any extensions hereof and after delivery of possession of the Premises to Landlord in accordance with the terms hereof. Landlord shall always have the right to apply the Security Deposit, or, from time-to-time, portions thereof, or the portion thereof not previously applied, to the curing of any default that may then exist under this Lease, without prejudice to any other remedy or remedies which Landlord may have on account thereof. In the event Tenant defaults in respect of any of the terms, provisions, covenants or conditions hereof, including but not limited to the payment of rent, Landlord may use, apply or retain the whole, or any part of, such Security Deposit toward the payment of any rent in default or for any other sum which Landlord may spend, or be required to spend, by reason of Tenant s default. 5. USE OF PREMISES 5.1. Tenant shall be entitled to place the RV described on Exhibit A on the Premises and to connect to the services provided by Landlord thereto. The Premises shall be used for single-family purposes and may not be used as a permanent residence. Use of the Premises for any other purpose shall be an automatic breach of the Lease unless the same has first been approve in writing by the Landlord Tenant shall not use or occupy or permit the Premises or any part thereof to be used or occupied for any unlawful use or purpose and shall not permit any act to be done, any condition to exist, or any article which may in law constitute a nuisance, public or private, not shall the leased premises be used for any purpose which, in the reasonable opinion of the Landlord would adversely affect the value or character of the area. 6. UTILITIES 6.1. Landlord shall provide the following services to the Premises at its sole cost and expense: (i) Basic-cable television, (ii) Sewer, (iii) Water; (iv) Lawn maintenance, and (v) Use of dumpsters. Except as identified above, Tenant shall be responsible for and shall pay all costs and charges for tap-on installation, maintenance and use of all other utilities and services in connection with Tenant s occupancy of the Premises, including but not limited to water, energy, telephone, and other service desired by Tenant. All of the foregoing utilities and services shall be instituted and obligated in the name of Tenant, and Landlord shall have no responsibility whatsoever for the furnishing or cost of the same.
3 7. MAINTENANCE 7.1. Tenant shall maintain the Premises, including the RV and any improvements located thereon, in a good, neat and attractive condition. All trash and debris shall promptly be disposed of and place in approved receptacles located throughout the Park. 8. IMPROVEMENTS 8.1. No improvements to the Premises, including landscaping shall be made unless written permission from the Landlord is first received. Before construction, Tenant must acquire the necessary permits from the Town of Cedar Point and Carteret County. Tenant must submit copies of these permits to management for its files prior to construction. This includes but is not limited to the construction and/or placement of the following on the Premises: decks, porches, steps, or any other such structure that creates an impervious surface, under-skirting of the unit, waterlines and any exterior water spigots, additional electrical outlets or receptacles, HVAC or conditioning units, and driveway or parking areas. Any deck attached to Tenant s RV will be under-skirted with the same under-skirting as the RV and the same color. All decks must be underskirted in the same color, be constructed with the same material, and be constructed with spacing between the decking for storm water runoff. No utility buildings or storage units may be placed on the Premises other than the standard storage unit design approved by Landlord. 9. EVENTS OF DEFAULT 9.1. The following events shall constitute a default of this Lease: The final adjudication by any court of Tenant as a bankrupt voluntary or involuntary, under any bankruptcy law or action. pay its debts The final adjudication by any court of Tenant as an insolvent or unable to The failure of Tenant to pay any rent payable under this Lease within ten (10) days of its due date The failure of Tenant to perform any of the terms or conditions of this Lease, which default continues for more that fifteen (15) days after written notice thereof Consecutive failures of the Tenant to perform any of the terms or conditions of this Lease, whether similar in nature or not, generating written notice within a twelve (12) month period The assignment by Tenant of all or part of its property or assets for the benefit of creditors.
4 The levy of execution, attachment, or other taking of property, assets or the leasehold interest of Tenant by process of law or otherwise in satisfaction of any judgment, debt or claim Transfer by Tenant of the title to the RV located on the Premises to any party other an institutional lender as collateral for a loan (however the foreclosure on such collateral by an institutional lender shall constitute a default). 10. LANDLORD REMEDIES Upon an Event of Default occurring, Landlord without excluding any other rights and remedies that Landlord may have, shall have the immediate right of re-entry and may remove all persons and property from the Premises and such property may be removed and stored in a public warehouse or elsewhere at the cost of and for the account or Tenant, all without resort to legal process and without Landlord being deemed guilty of trespass or becoming liable for any loss or damage that may be occasioned thereby. If Landlord shall elect to re-enter the Premises as herein provided, or if Landlord shall take possession of the Premises pursuant to legal proceedings, Landlord either may terminate this Lease or from time to time without terminating this Lease may make such alterations to and repairs to the Premises as Landlord may deem necessary in order to relet the Premises, and may rent the Premises for such term or terms and at such rent or rents and upon such other conditions and provisions as Landlord may deem advisable. In the event of any such reletting, all rents received by Landlord shall be applied: first, to the payment of any indebtedness other than rent due hereunder from Tenant to Landlord; second, to the payment of any cost or expense of such reletting, including the expense of alterations and repairs, third, to the payment of rent due and unpaid hereunder; and the residue, if, any, to payment of future rent due and unpaid hereunder. If any such reletting shall yield rent insufficient to pay the rent due by Tenant hereunder for any period, Tenant shall be liable to Landlord for the deficiency and shall pay same as it becomes due. No such re-entry or taking of possession of the Premises by Landlord shall be construed as an election to terminate this Lease unless a written notice of such previous breach. In the event of any such termination, Landlord may recover from Tenant damages incurred by reason of such breach, including attorney fees and other costs involved in obtaining possession of the Premises and in enforcing the rights and remedies of Landlord hereunder, together with the difference in value between the rent provided hereunder for the remainder of the term and the reasonable rental value of the premises for the remainder of the term The failure of Landlord to seek redress for violation of or to insist upon the strict performance of, any covenant or condition of this Lease shall not prevent a subsequent act which originally would have constituted a breach or violation of the terms hereof from having all of the force and effect of an original violation. The receipt of rent by Landlord with knowledge of the breach of any covenant or condition of this Lease by Tenant shall not be deemed a wavier of such breach. Landlord and Tenant agree that any written notice limitation as provided in this paragraph shall be not applicable to any default that results in an emergency requiring prompt action by Landlord.
5 10.3. In addition, Landlord shall be entitled to any and all remedies available under the Uniform Commercial Doe in North Carolina as of the date of the Agreement, including the sale of the RV, its contents and any improvements located on the Premises. Should Landlord after occurrence of any of these things accept payment of rent or do any other act as Landlord hereunder, such shall in no way waive Landlord s right under this paragraph. 11. REMEDIES OF TENANT Upon the occurrence of any default by Landlord and upon the expiration of the grace period herein set forth, Tenant shall have all of the rights and remedies that are available under the laws of the State of North Carolina. 12. HOLDOVER Unless the Lease is renewed, Tenant shall remove himself and his property from the Premises on or before the last day of the lease term. The Tenant hereby agrees that any of his property left on the Premises for more than five (5) days after the expiration of the Lease, unless the same has been renewed, shall be deemed abandoned by the Tenant and Landlord shall by authorized to remove and dispose of the same in any manner whatsoever without legal process and without accountability to Tenant. If Landlord incurs any expense in such removal or disposition, Tenant agrees to pay the cost of it In the event Tenant holds over the expiration of the Lease term, the Tenant rental shall be adjusted to $ per day during the holdover period. Nothing contained herein shall be deemed Landlord s consent for Tenant to hold over beyond the Lease term. 13. TAXES Landlord shall be responsible for the ad valorem taxes for the real property and service facilities located on the Premises. Tenant shall list RV or recreational vehicle and all personal property located therein with appropriate county and municipal agencies for purposes of taxation, and shall pay all taxes owed in a timely manner. Likewise, any improvements made to the Premises resulting in an increase of the ad valorem taxes assessed against Landlord shall be paid by Tenant as additional rental. 14. INDEMNIFICATION Tenant, jointly and severally, hereby agrees to indemnify and hold harmless Landlord from and against any claim against Landlord or any of its employees, officer, director or independent contractors relating in any way to the use and occupancy of the Premises or the RV or recreational vehicle on the Premises, or the use of any common area within the Park, specifically including the dock and pool. This indemnification shall include, but not be limited to reasonable attorney s fees and other costs incurred by Landlord in defending, settling, compromising or paying any such claim.
6 15. SECURITY AGREEMENT Tenant hereby expressly grants to Landlord security interest in the recreational vehicle (RV), its contents and any improvements or other property located on the Premises to secure payment of rent and other sums due and payable under this Lease. 16. CASUALTY OR DESTRUCTION Any damage or destruction of the RV located on the Premises, or any personal property therein, or any other improvements on the Premises, shall be borne solely by Tenant. Tenant shall remove all damaged property as soon as possible following the damage, or shall repair such property as soon as possible following the damage to an as new condition immediately following the damage, if such damage is to be repaired. There shall be no abatement of rental because of loss or damage to any recreational vehicle or RV located on the leased lot Tenant shall be solely responsible for any loss, damage, or destruction to his recreational or other personal property located within the recreational vehicle, which is damaged or destroyed, by storm, lighting, flood, wind, or other act of God Tenant shall alert Landlord of any dangerous conditions existing on or near the Premises. 17. ASSIGNMENT/SUBLETTING This lease may not be assigned without prior written consent of Landlord. There shall be no presumption that assignment shall be approved, assignment being at the sole discretion of Landlord. As a precondition to the approval of any assignment, Tenant shall pay an Assignment Fee to Landlord of $2,000. Any purported assignment, which has not complied with the provisions of this Lease Agreement, shall be deemed null and void. There shall be absolutely no subletting or renting allowed unless authorized by Landlord in writing. 18. RULES AND REGULATIONS Landlord shall be entitled to adopt rules and regulations relating to all aspects of the Park and utilization of the Park. Tenant agrees to abide by such rules and regulations as the same may be amended from time to time. These rules may include, but are not limited to, rules concerning pets, common access ways, conduct, noise, social functions, landscaping, maintenance, garage pick-up or rental fee mail delivery. All such rules, when set in writing and posted within the management office of the Park, shall be deemed for all purposes terms and provisions of this Agreement, and the violation of any such rule or regulation shall be deemed a violation of a term and provision of this Agreement. A copy of such Rules and Regulations are attached hereto as Exhibit B, and incorporated herein by reference.
7 19. MISCELLANEOUS In the event that Landlord incurs legal expense due to Tenant s default, Tenant shall pay all such legal expenses including reasonable attorney fees All required or permitted notices to be given under this Agreement shall be deemed to be properly given if delivered in writing personally or sent by registered or certified mail, return receipt requested, postage prepaid to Landlord or Tenant, as the case may be, at the addresses given following the respective signatures on this Agreement, or to such other address as may be furnished by either party to the other in writing. The date of mailing shall be deemed the date of giving such notice This Agreement contains the entire understanding of the parties. There are no oral understandings, terms or conditions and Tenant has not relied upon any representations, express or implied, not contained in this written Lease Agreement. All prior understandings, terms and conditions are deemed merged in this Lease, and there shall be no amendment or modification of the terms herein, except by written agreement executed by both parties This Agreement shall be construed with equal weight for the rights of both parties, the terms hereof having been determined by fair negotiations with due consideration for the rights and requirements of both parties. Every covenant contained in this Lease shall be construed to be material, whether or not the covenants expressly so provides All the terms and provisions of this Lease shall be binding upon and shall apply and inure to the benefit of the respective parties hereto, their heirs, successors and assigns This Lease shall be construed and interpreted in accordance with the laws of the State of North Carolina Tenant shall provide Landlord with a copy of his recreational vehicle or RV title showing ownership when received Tenant agrees to post the lot number on the front of the recreational vehicle.
8 IN WITNESS WHEREOF, the parties hereto have signed and sealed this Instrument in duplicate originals, one of which is retained by each party, as of the day and year first above written. LANDLORD: BOGUE SOUND RV PARK, INC. By: President TENANT(S): Husband Spouse Exhibit A Recreational Vehicle Manufacturer: Year: Size: Vehicle Identification Number: Photo: To Be Attached Copy of Title: To Be Attached
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