3491 Schedule "A" - A By-law to authorize an agreement between the Town of Tillsonburg and B&B Graydon for the lease of Agricultural LandsTHIS AGREEMENT made in triplicate this U day of April ____ , 2011
BETWEEN:
THE CORPORATION OF THE TOWN OF TILLSONBURG
hereinafter called the Lessor, of the First Part
-and-
B & B Graydon Enterprises Ltd
hereinafter called the Lessee, of the Second Part
WHEREAS the Lessor is the sole administrator of all those parcels or tracts of land described
as:
(a) Lands located on the south side of Hwy 3, legally described as Parts 1, 2, 3, 4, 13 and
part of Part 12 and 15, RP 41R-8336, consisting of approximately 43 acres of arable
land to be confirmed via GPS mapping prior to planting;
(b) Lands located on the east side of Clearview Dr, legally described as Part Lot 2-3, Con
5 NTR Middleton, Parts 1 & 2, 41R-3421& Parts 5 & 6, 41R-3691,
except Part 2, 41R-5307, except Part l,41R-5366, consisting of approximately 12.45
acres of arable land to be confirmed via GPS mapping prior to planting;
(c) Lands located on the west side of Rokeby Sideroad, legally described as Lot 1641,
Plan 500, MID Con 4 NTR, Pt Lot 10, being part of Parts 1 & 2, Plan 41R-8386
(Oxford Registration #)/37R-10038, consisting of approximately 27 acres of arable
land to be confirmed via GPS mapping prior to planting; and,
(d) Lands located on the east side of Highway 19 (Vienna Road), legally described as
Part Lots 1639, 1638A & 1613, Plan 500, designated as Part 1 & 2 on OXR39 & Part
4 on OXR44, consisting of approximately 17 acres of arable land to be confirmed via
GPS mapping prior to planting;
AND WHEREAS the Lessee is desirous of renting said lands and premises for agricultural
purposes for a term ("the lease period") commencing January 1, 2011 to expiration upon
harvesting of crops in the fall of 2013, and no later than December 31, 2013, subject to the
conditions hereafter set forth in this Agreement.
AND WHEREAS the Lessor is desirous of renting the said lands and premises as aforesaid to
the Lessee for the term aforesaid, subject to the conditions hereinafter set forth.
1. NOW THEREFORE THIS INDENTURE WITNESSETH that the Lessee
covenants with the Lessor that the Lessee shall pay annual rent of $19,926.67, as
further set out below, to the Lessor by two payments each year during the term of this
agreement. The first payment of which will constitute 50% of annual rental fee and
shall be due and payable on or before the start of cultivation and the remaining 50%
of the annual rental fee not later than December 31st of each year that this indenture
remains in force.
(a) Lands located on the south side of Hwy 3, legally described as Parts 1, 2, 3, 4, 13 and
part of Part 12 and 15, RP 41R-8336, consisting of approximately 43 acres of arable
land at a rental rate $266.00 per acre;
(b) Lands located on the east side of Clearview Dr, legally described as Part Lot 2-3, Con
5 NTR Middleton, Parts 1 & 2, 41R-3421& Parts 5 & 6, 41R-3691, except Part 2,
41R-5307, except Part l,41R-5366, consisting of approximately 12.45 acres of arable
land at a rental rate $266.00 per acre;
(c) Lands located on the west side of Rokeby Sideroad, legally described as Lot 1641,
Plan 500, MID Con 4 NTR, Pt Lot 10, being part of Parts 1 & 2, Plan 41R-8386
(Oxford Registration #)/37R-10038, consisting of approximately 27 acres of arable
land at a rental rate $126.00 per acre; and,
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(d) Lands located on the east side of Highway 19 (Vienna Road), legally described as
Part Lots 1639, 163 8A & 1613, Plan 500, designated as Part 1 & 2 on OXR39 & Part
4 on OXR44, consisting of approximately 17 acres of arable land at a rental rate of
$104.41 per acre
2. PROVISO for re-entry by the Lessor on non-payment or non-performance of
covenants.
3. IT IS further agreed that the crop to be grown on the said lands shall be agreed upon
prior to planting.
4. IT IS further specifically agreed by and between the Parties hereto that the Lessor
shall have the right to sell, or lease for purposes other than agriculture, any part or
parts of the subject lands and given immediate possession thereof, subject to the
condition that if the Lessor sells, or leases for purposes other than agriculture, and
requires possession of any of the subject lands on which an agricultural crop is
growing, the Lessee shall be compensated for any and all expenses incidental to
growing such corn or bean crop, and the acreage leased pursuant to paragraph 1
hereof, shall be adjusted to take into account such share or lease throughout the
balance of the term of the Lease.
5. IT IS further specifically agreed by and between the Parties hereto that the Lessor
retains the right to sell or lease for purposes other than agriculture any lands except
those on which the crop is being grown without notice or compensation to the Lessee.
6. IT IS further specifically agreed by and between the Parties hereto that the Lessor
covenants with the Lessee for quiet enjoyment of the lands leased. Notwithstanding
the foregoing, the Lessor shall be permitted to access the property for their purposes
with the costs of any minor crop damage being born by the Lessee.
7. IT IS further specifically agreed by and between the Parties hereto that the Lessee
will not assign or sublet without leave and not to carry on upon the said premises any
business other than that of growing of corn or beans.
8. IT IS further specifically agreed by and between the Parties hereto that the Lessee
shall provide to the Lessor proof of liability insurance in an amount not less than
$2,000,000, to protect both the Lessor and the Lessee with the Town of Tillsonburg
named as an additional insured, from any claims or demands whatsoever which might
result from the aforementioned use of the lands.
9. IT IS further specifically agreed by and between the Parties hereto that the Lessee
covenants to maintain all of the lands rented under this Agreement in good condition
during the lease period.
10. IT IS further hereby agreed between the Parties hereto that if the term hereby
granted, or any of the goods or chattels of the Lessee shall at any time during the said
term be seized or taken in execution or in attachment by any creditor of the Lessee, or
if the Lessee shall make any assignment for the benefit of creditors, or becoming
bankrupt or insolvent debtors, the then current and next ensuing balance of rent shall
immediately become due and payable and the said term shall, at the option of the
Lessor, immediately become forfeited and determined and in such case, the Lessor
may re-enter and take possession of the said lands as though the said lands was
holding over after the expiration of the said term.
11. IT IS further hereby agreed between the Parties hereto that this lease agreement may
be terminated, in whole or in part, by either party in their sole and absolute discretion
upon thirty (30) days notice, in writing, delivered to the below addresses. In the case
where the Lessor terminates the lease, the provisions of Paragraph 5 above shall be in
effect. In the case where the Lessee terminates the lease, he/she shall be responsible
to pay a pro-rated payment to the date of termination for the lands leased.
Page 3
If to the Town of Tillsonburg:
Cephas Panschow, Development Commissioner
The Corporation of the Town of Tillsonburg
200 Broadway Suite 204
Tillsonburg, ON N4G 5A7
Fax: 519.842.9431
If to B & B Graydon Enterprises Ltd
Brian Graydon, President
B&B Graydon Enterprises Ltd
57547 Talbot Line
RR3
Tillsonburg, ON N4G 4G8
F:(519)842-6557
IT IS HEREBY declared and agreed that the expressions "Lessor" and "Lessee" wherever used
in this indenture shall, when the context allows, include, be binding on and enure to the benefit
of not only the Parties hereto, but also their respective executors, administrators and assigns.
IN WITNESS WHEREOF the parties hereto have hereunto set their hands and seals.
SIGNED, SEALED AND )
DELIVERED in the )
Presence of )THE CORPORATION OF THE
TOWN OF TILLSONBURG
John Lessif
MAYOR DATE
Donna Hemeryck
CLERK DATE
THE LESSEE
Brian Graydon
PRESIDENT
I have the authority tc
DATE
nd the corporation