HomeMy WebLinkAbout2015-03-03-R RESOLUTION NO. 2015- —
CITY OF BATESVILLE, ARKANSAS
A RESOLUTION AUTHORIZING THE MAYOR TO ENTER INTO A
LEASE ADDENDUM ON BEHALF OF THE CITY, MODIFYING
AND EXTENDING THE CURRENT LEASE AGREEMENT
WHEREAS, the City of Batesville currently leases property to Steve Carpenter upon
which he has operated his restaurant for several years;
WHEREAS, the restaurant located on the leased premises was recently destroyed by fire,
and Mr. Carpenter wishes to rebuild it on the property;
WHEREAS, in order to facilitate a substantial rebuild and re-investment in the structure,
it is necessary to modify and extend the current lease.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Batesville,
(W Arkansas:
Section 1. That the City of Batesville, Arkansas, hereby authorizes the Mayor to enter into
the Lease Addendum attached hereto as Exhibit A.
ADOPTED THIS DAY OF C h , 2015.
APPROVED:
RICK ELUM , MAYOR
ATTEST:
DENISE JOHNST , CITY CLERK
i
THIS INSTRUMENT PREPARED BY:
T.Lindsey Castleberry
Attorney at Law
500 East Main Street,Suite 301
Post Office Box 2604
Batesville,Arkansas 72503
(870)307-0050
LEASE ADDENDUM
WHEREAS, the City of Batesville ("LESSOR")leased the lands described in
EXHIBIT "A" on January 1, 1999, by Lease Agreement("Lease Agreement") recorded in
Deed Book 2004, Page 2505;
WHEREAS, the leasehold interest in the Lease Agreement was subsequently
assigned and ultimately transferred to Steve Carpenter,who currently possesses the
premises in accordance with the terms and conditions set forth in the aforesaid Lease
Agreement;
WHEREAS, Steve Carpenter's restaurant located on the demised premises
(W was recently destroyed by fire and he desires to rebuild on the demised premises;
WHEREAS, LESSOR and Steve Carpenter(hereinafter referred to as LESSEE)
wish to modify and extend the Lease Agreement in order to allow construction of a new
restaurant on the demised premises, and they commit the terms of the modification to
writing and for that purpose join in the execution of this instrument;
NOW, THEREFORE, in consideration of the premises, and in consideration of
the following conditions and agreements, the LESSOR and LESSEE agree that the
Lease Agreement remain in full force and effect and shall be modified as follows:
1. The lands hereby leased by LESSOR to LESSEE, and hereinafter referred to
as the demised premises, are situated in Batesville, Independence County, Arkansas,
and more particularly described as Lease No. 1 set forth in EXHIBIT"A", attached
(W hereto.
L
2. The term of the Lease Agreement shall be extended by a period of FORTY(40)
years commencing on March 24, 2015, and LESSEE shall have the option to extend the
lease for an additional FORTY(40)years upon the conclusion of the first extension, for a
possible total of EIGHTY(80)years from March 24, 2015.
3. LESSOR understands that LESSEE desires to protect his investment in
improvements on his leasehold interest, and, to that end,LESSOR agrees to negotiate in
good faith from time to time with respect to future extensions of the Lease Agreement.
LESSEE shall have an exclusive right to negotiate with LESSOR for a period of six(6)
months after negotiations begin, and that period can be extended by agreement of the
parties.
4. Paragraph No. 6 of the Lease Agreement is modified to restrict the time period
(W
during which LESSOR may review LESSEE'S architectural plans for improvements on
the demised premises to a period of ten(10) days.
5. LESSOR agrees that it will not unreasonably attempt to terminate the Lease
Agreement or the Lease Addendum for any breaches caused by an Act of God.
6. It is understood that LESSOR intends to relocate its equipment and structures
currently situated adjacent to and east of the demised premises, including a Work Shop
and Golf Cart Shed, described more accurately as Lease No. 2 in EXHIBIT"A". In the
event LESSOR relocates those facilities, LESSEE shall have the right to enter the
premises described as Lease No. 2 in EXHIBIT"A", and LESSOR shall lease those
premises to LESSEE. LESSEE shall use the premises described as Lease No. 2 in
EXHIBIT"A"for parking and shall pave the same in accordance with applicable City
�,,, Codes. The term for the lease of the land described as Lease No. 2 in EXHIBIT"A" shall
begin when the City ceases its use of the property and end upon the termination of the
Lease Agreement or Lease Addendum,whichever occurs later.
EXECUTED in this 24'day of March, 2015.
LESSOR:
CITY OF BATESVILLE
By:
Ricku aug , Mayor
LESSEE:
Steve Carpenter
By: V�
Steve Carpenter
ATTEST:
ACKNOWLEDGMENT
STATE OF ARKANSAS )
COUNTY OF
Be it remembered, That on this day came before me, the undersigned, a
Notary Public within and for the county and state aforesaid, duly commissioned
and acting, Rick Elumbaugh, to me personally well known, who stated that he
was the Mayor of the CITY OF BATESVILLE, and was duly authorized in that
capacity to execute the foregoing instrument for and in the name and behalf of said
City of Batesville, and further stated and acknowledged that he had so signed,
executed and delivered said foregoing instrument for the consideration, used and
purposes therein mentioned and set forth.
Witness my hand and seal as such Notary Public on thisday of
- 721a4 A , 2015.
Notary Publi
.0.J�y/v
My Commission Expires: ��.?F`gs �'N° '2oT02
ExprteB�'
E CO pQ-
ACKNOWLEDGMENT
STATE OF ARKANSAS )
COUNTY OF jozM
)
Be it remembered, That on this day came before me, the undersigned, a
Notary Public within and for the county and state aforesaid, duly commissioned
and acting, Steve Carpenter, to me personally well known, who stated that he had
executed the same for the consideration and purposed therein mentioned and set
forth.
Witness my hand and seal as such Notary Public on this,..�;&""day of
2015 .
Notary Public
J6
My Commission Expires: <i, F`°' n N ' 0
o.Uo�OTARy�N2
.30?� -01.2 .� �. • � �
SCE CO PQ`
I certify under penalty of false swearing that at least the legally correct
amount of documentary stamps have been placed on this instrument.
Agent/ Grantee
Address
V1�o
LEG,-M
�j Asphalt
X02 Oce 0O• 61 o
PDB
L-1
Ie Lease No, 1
1.32 Acres m/1
rcJ 9 10' public Access ' ,�
�6',`S ✓� Easement o Asphalt 3 3 POB L-2
Fo t Traffic_ On1Y q<�® w O
O.
Metal DO ,d, / Asphalt 6 6�r 044,,
95:aZ
Playground ¢ o Og tra \ '190,
N34"21'45"E o d n Daae paVeme
10.00' ti4 0 I" WORK SHOP g ni
��4�tl° y o tJj abbb Existing
g9
Stake
V,etal
a Lot 35.45.2572201'
Steirwey d aZ Cti (� oSJg 0�g2Q Lon 91'35'05.4239'
•c � O® wa ��2
Sb
�� < GOLF
`PLo Lease No, 2
0.69 Acres m/1 4" Pipe
tJ �6
°Rot
P018
OIL
LEASE DESCRIPTION No, 1 O• ��jp�y_6�y4
A tract of land beinga part of the East 1/2, NE 1/4,
of Section 21, T 13 N, R 6 W.
in the City of Batesville. Independence County, Arkansas, ��j•
more particularly described as follows:
Commencing at the northeast corner of said Section 21.
thence N 90'00'00" W. 1330.95 feet;
thence S 00"00'00" E. 1730.85 feet to the point of beginning;
thence N 63"53'04" E, 192.50 feet:
thence S 36'38'34" E, 46.69 feet;
thence S 61'38'47" E. 34.00 feet;
thence S 37'25'51" E, 72.59 feet;
thence S 51`37'21" E. 37.00 feet:
thence S 55°09'42" W, 85.00 feet;
thence S 34'27'37" E. 48.00 feet:
thence S 55°32'23" W. 64.00 feet;
thence S 34'36'21" E. 167.96 feet;
thence S 54"35'24" W. 45.65 feet to a point
on the high bank of White River:
thence along said high bank the following:
N 41-31'16" W, 114.00 feet;
N 50'46'15' W, 82.51 feet:
thence leaving said high bank. N 32°18'19" W. 109.00:
thence N 34'21'45" E. 10.00 feet:
thence N 36°30'43" W. 125.18 feet to the point of beginning.
This tract contains 1.32 acres, more or less, and is subject to any
rn
d all easements.
=ASE DESCRIPTION No, 2
tract of land being a part of the East 1/2, NE 1/4,
of Section 21, T 13 N. R 6 W.
in the City of Batesville. Independence County, Arkansas,
more particularly described as follows:
Commencing at the northeast corner of said Section 21,
thence N 90'00'00" W. 1330.95 feet;
thence S 00°00'00" E, 1730.85 feet;
thence N 63'53'04" E. 192.50 feet:
thence S 36°38'34" E. 46.69 feet;
thence S 61`38'47" E. 34.00 feet:
thence S 37°25'51" E. 72.59 feet:
thence S 51"37'21" E, 37.00 feet to the point of oeginning;
thence continue S 51'37'21' E, 6.38 feet;
thence S 58"00'06" E, 35.96 feet;
thence S 59'29'22" E. 95.23 feet to an existing metal bar
on the easterlyline of the City of Batesville property;
thence along said easterly line the following:
S 63'22'24" W. 79.60 feet;
S 34'50'36" E. 99.00 feet;
3
54'35'24" W. 127.35 feet::
hence leaving said east line, N 34°36'21" W. 167.96 feet:
tie.,
KI RF"ao'�a• F Fe nn fppt'
2004 -150'.21
-,econjed in the Athow
C--H 'emk & page
U6-Ij9-21004 1'1:Cj:77 pM
ASSIGNMENT OF LEASE i.and merles tir;_uit Clerk
In-jerendente Counts, Ar
This Assignment of Lease(hereinafter referred to as the "Assignment") is made and
entered into this 29 day of January, 2004, by and between First Community Bank
(hereinafter referred to as "Assignor") and Steve Carpenter Property Management, LLC
(hereinafter referred to as "Assignee").
Assignor, for and in consideration of the sum of Ten Dollars (510.00) and other good
and valuable consideration, does hereby transfer and assign unto Assignee, all of its rights,
title and interest in and to that certain Lease Agreement between the City of Batesville, as
Lessor, and Lockhouse, Inc., as Leasee dated August 13, 1999 (herein referred to as the
"Lease Agreement"), the terms and conditions of which are hereby incorporated by reference.
A true and accurate copy of the Lease Agreement is attached hereto as Exhibit A.
Assignor does hereby warrant that it is in compliance with all of the terms of the Lease
Agreement, that the Lease Agreement is not in default, and that there are no liens and
encumbrances against it.
This Assignment is given without recourse.
As to Assignor, this day of January,2004.
First Commu ty Ban
By:
Dale Cole, CEO
As to Assignee, this' day of January, 2004.
Steve Carpenter Property Management, LLC
By: 2� P
Steve Carpenter, MAnber
•
1
:2004 —2503
Re_onJed in t�� Abow
ACKNOWLEDGEMENT Deed_ Book S Pas e
1 :5CD. .,, PH
State of Arkansas )
) ss.
County of Independence }
On this day before the undersigned personally appeared Steve Carpenter,known to me
to be a member of Steve Carpenter Property Management, LLC, and duly authorized in his
capacity as member to execute the foregoing instrument for and in the name and behalf of
said Steve Carpenter Property Management, LLC, and further stated and acknowledged that
he had so signed, executed and delivered the foregoing instrument for the consideration, uses
and purposes therein mentioned and set forth.
In Witness Whereof, I hereunto set my hand and official seal thisop_day of
2004. ANaE
J p 101K . L
�Q-rR
*No Public
My Commission Expires:
•
•
2
11-11S INSTRUMENT P' M'ED BY:
3 D
Robcr-t D.Stroud
z—
i F!
Attorney at Law fl j n__
o -1
—c-u
Dol-4.% ul r
500 East Main Street,Ste.201
1
P.O.Box 2135 U7--1_E-i'
Batesville,AR 72503
(870)793-8350
LEASE AGREEMENT
KNOW ALL BY THESE PRESENTS:
WHEREAS, the City of Batesville, hereinafter referred to as
("LESSOR") has agreed to lease to Lockhouse, Inc. (hereinafter referred to as
"LESSEE"), the lands hereinafter described upon the terms and conditions set forth
herein; and,
WHEREAS, LESSOR and LESSEE desire to commit the terms of their
�w agreement to writing and for that purpose join in the execution of this instrument.
NOW, THEREFORE, in consideration of the premises, and in
consideration of the following conditions and agreements, the LESSOR hereby leases,
demises and lets to the LESSEE the lands hereinafter d.-S.Crib.-d upon the terms and
conditions set forth herein:
1. The lands hereby leased by LESSOR to LESSEE, and hereinafter
referred to as the demised premises, are situated in Batesville, Independence County,
Arkansas, and are more particularly described as follows:
SEE EXHIBIT "A" ATTACHED.
EXHIBIT "A"
1V the
r•,
�v 2. The initial term of this lease shall be a period of TWENTY (20) years
commencing on August 1, 1999.
3. The rental for the initial term of this lease shall be the sum of ONE
HUNDRED & N0/100 DOLLARS ($100.00) per month (the "Base Rent") for the
FIRST (1') through the TWO HUNDRED FORTIETH (240`0 payment. All
payments shall be payable on the first day of the initial term of this lease and the same
day of each succeeding month.
4. The taxes, if any, on the demised premises shall, during the initial
term and any renewal term of this lease, be paid by LESSEE.
5. LESSEE shall provide and keep in force, throughout the term of this
Lease Agreement, or any renewals thereof, for the benefit of LESSEE and LESSOR,
general liability insurance policies on standard Arkansas forms of not less than
$1,000,000.00 bodily injury (including death), and $50,000.00 property damage, with
certificates of such insurance to be furnished to LESSOR. LESSEE shall also carry
fire, windstorm and other casualty insurance upon the improvements on the demised
premises with an insurance company authorized to do business within the State of
Arkansas, the amount of such insurance to be not less than the fair market value of the
insurable improvements upon the demised premises, and payable to any mortgagee of
the LESSEE's leasehold interest, LESSEE and LESSOR as their interests appear.
Certificates of such insurance shall be furnished to all loss payees. For purposes of this
2
e-4
Lease, the parties agree that the interest of LESSOR in the premises is $20,000.00 and
in the event of a covered loss, LESSOR shall be entitled to receive that amount from
the insurance proceeds. In the event of destruction by fire, windstorm or other
casualty the LESSEE shall, at its option, have the right to utilize the insurance
proceeds to repair or rebuild the premises (in which event the LESSOR should retain
its insurable interest in the premises) or to declare the Lease terminated without
further liability after payment to LESSOR of its interest in the property as set out
hereinabove.
6. There is currently a residential structure located on the premises.
LESSEE proposes to enlarge the structure substantially and make improvements
thereto and utilize it for a restaurant and other purposes consistent therewith.
LESSOR covenants that the premises are zoned suitably for such purpose. LESSEE
shall make the floor plans for improvements available to LESSOR for approval. In the
event LESSOR disapproves, LESSEE shall have the option to either terminate the lease
without liability or to modify the plans to LESSOR's satisfaction. All improvements
shall be constructed in accordance with the applicable building, plumbing and wiring
codes.
7. Upon the termination of this lease, title to all improvements on the
demised premises shall vest in the LESSOR. Provided, however, title to all fixtures,
trade fixtures and other personal property shall remain in the LESSEE and may be
3
S2
b0ok, X
removed by LESSEE, provided that LESSEE shall repair any damages to the premises
caused by such removal.
8. LESSEE agrees to maintain the demised premises in a safe and sanitary
condition and further agree that it shall engage in no unlawful activities upon the
demised premises nor to allow any activities or conditions to exist thereon which
would constitute a nuisance. LESSOR reserves the right to inspect the prem=ises at any
reasonable time.
9. LESSOR agrees that LESSEE shall have full and exclusive possession
of the demised premises during the term of this lease, and LESSOR further warrants
that LESSEE shall have quiet possession of the demised premises and LESSOR shall
defend LESSEE against any adverse claim to the right of possession of the demised
premises during the term of this lease.
10. LESSEE is hereby given and granted the option to renew and extend
this lease for FOUR (4) additional FIVE (5) year terms, each renewal term to
commence at the expiration of the preceding term. Any of the options granted to
LESSEE may be exercised by LESSEE only if LESSEE is not in default under this
Lease Agreement at the time of such exercise. An option to renew and extend must be
exercised, if at all, by the giving of written notice to the LESSOR by LESSEE not less
than NINETY (90) days prior to the expiration of the original term of this lease or of
`,, a renewal term then in effect, as the case may be. The monthly rental for the first
4
.t
104 42:50
(W 12. LESSEE shall keep all improvements upon the demised premises in a
good state of repair during the term of this lease and the cost thereof sha11 be borne by
LESSEE.
13. In the event of any material breach of this Lease Agreement,
LESSOR shall have the option of giving LESSEE THIRTY (30) days' written notice to
cure such breach, and if LESSEE fails to do so within THIRTY (30) days from receipt
of such written notice, LESSOR shall have the option of immediately terminating this
Lease Agreement. The failure of LESSOR to exercise this option as regards any
particular breach shall in no event be construed as a waiver of his option to terminate
the Lease Agreement with respect to any future breach.
14. In the event that LESSEE should be adjudicated a bankrupt, or its
assets placed in receivership, then this Lease Agreement shall, without notice, be
immediately terminated, and in such event, the provisions of paragraph 7 hereof shall
be fully applicable.
15. In the event the LESSEE shall desire to terminate this lease, prior to
the expiration of the regular term hereof, then it shall have the option of doing so,
provided that notice of their intentions to do so is given to LESSOR at least ONE
HUNDRED EIGHTY (180) days prior to the date of such termination. This privilege
to terminate shall not apply in the event the improvements on the premises are
destroyed.
6
ROM
the- Aikl
16. In the event of the taking by a competent authority for any public
use or purposes of the premises or a substantial part thereof (including public access
and parking) so that in the opinion of the LESSEE the remaining portion is unusable
for the purposes of LESSEE, then the term hereby granted shall cease on the day prior
to vesting title in such authority. Rent shall be paid to and adjusted as to that day and
this Lease Agreement shall terminate on that day. The condemnation award, in such
event, shall be payable to LESSOR and LESSEE. As between such par-ties, the award
shall be distributed first to LESSEE to the extent of the LESSEE's financial investment
in the improvements made by them to the premises or the fair market value of the
remainder of the feasehold, whichever is greater, and second to LESSOR to the full
extent of its investment in the improvements made to the premises, and, third, the
balance, if any, distributed between the parties in the proportion of the division made
as set out above.
In the event that only part of the premises is taken, then the LESSEE
may, at its option, retain the remainder of the premises and restore the premises to a
tenantable condition forthwith and may use the condemnation awards for such
purposes and the balance, if any, payable to LESSOR.
17. This agreement shall be binding upon the parties hereto, their
successors, heirs, administrators, executors and assigns. LESSEE may sublease the
demised premises to a corporation or other entity formed by it for the purposes
7
`
. ` .
' U
THIRTIETH (30`b) day after notice has been received by LESSEE at the address
provided herein for all other notices.
20. All notices required or permitted to be given hereunder shall be
given in writing and shall be sent by certified United States mail, return receipt
requested, postage prepaid, addressed as follows (or to such other address to which any
party hereto shall have given the other written notice):
If to LESSOR: City of Batesville
500 East Main Street
Batesville, AR 72501
If to LESSEE: Lockhouse, Inc.
140 Dixie Street
Batesville, Arkansas 72501
Notice to any LESSOR or any LESSEE shall be deemed notice to all LESSORS or
LESSEES.
21. It is agreed by the parties hereto that the foregoing terms of this
Lease Agreement express and embody the entire agreement of the parties hereto
concerning the demised premises and the lease thereof. This Lease Agreement is
binding upon personal representatives, heirs, successors and assigns of all parties.
EXECUTED in duplicate originals this /3 't day of August, 1999.
LESSOR:
CITY OF BATESVILLE
By.
oe Biard, Mayor
9
ME L;
C...-2004 12.
LESSEE:
LOCKH SE, IN
By:
Danny Do7Jer,-PreAent
ATTEST:
Cathy 56'zier, Secretary
ACKNOWLEDGMENT
STATE OF ARKANSAS )
) ss.
County of Independence )
On this day, before me, a Notary Public duly commissioned, qualified
and acting, within and for the said County and State, appeared in person the within
named Joe Biard, to me personally well known, who stated that he was the Mayor of
the CITY OF BATESVILLE, and was duly authorized in that capacity to execute
the foregoing instrument for and in the name and behalf of said City of Batesville,
and further stated and acknowledged that he had so signed, executed and delivered
said foregoing instrument for the consideration, uses and purposes therein mentioned
and set forth.
IN TESTIMONY WHEREOF, I have hereunto set my hand and
official seal on this /3f� day of August, 1999.
Notary Public 0
My Commission Expires:
10
& 4- PIC/1
F-;7
Yr. -U� J..01
ASSIGNMENT
MR
This assignment is made on the 13TH day Of AUGUST
2003 , by Lockhouse SOBA, LLC, and Randy and Lisa Palmer,
individually, and Jeff and Kathy Davis, individually,
hereinafter referred to as the Assignors and First Community
Bank of Batesville, Arkansas referred to as the Assignee.
The Assignor hereby assigns to the Assignee all of
its or their right, title and interest in and to a certain
lease hold mortgage agreement of date October 25, 2001 and
filed in Deed of Trust Book K-22 , at pages 153-160 of the
Records of Independence County, Arkansas.
To have and to hold the same unto the Assignee and unto
the successors, legal representatives, and assigns of the
assignee forever.
LO
PfHOUSE SOBA, LLC
ndf Palmer tRY PXimer
vidua a1,,Y ,
Lis ht Palmer Lisa Palmer
Individually
77� 1vis
Jeff is 7eSffWa�vis
t'I dvidualll
o� V\ ti 5, ')C
Ka t h-y—D kv'v,s
Kathy D
Kathy
Individua-'fly
77
. . EXHIBIT "A" TO 1�10RTGAGE til:
(LOCKHOUSE S.O,B.A., LLC ) i'�'`l ai itq::T_ :_;a.: "3qF
T :r:• iii
A Leasehold interest in the following described lands:
A tract of land being a pan of the NE 114 of Section 21, Township 13 North, Range 6 West in the
City of Batesville, Independence County, Arkansas; more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West. 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet
to the point of beginning; thence North 64 degrees 05 minutes 30 seconds East, 138.85 feet to the
Nominal South edge of an asphalt road; thence along said nominal South edge the following;
South 65 degrees 57 minutes 18 seconds East, 11.71 feet; South 47 degrees 01 minutes 15 seconds
East, 20.33 feet; along a curve to the left said curve having a long chord bearing of South 77
degrees 21 minutes 21 seconds East a long chord distance of 51.81 feet; North 72 degrees 18
minutes 32 seconds East, 14.86 feet; along a curve to the right said curve having a long chord
bearing of South 72 degrees 27 minutes 30 seconds East a long chord distance of 15.35 feet; South
37 degrees 13 minutes 33 seconds East, 72.58 feet; South 12 degrees 31 minutes 24 seconds East,
12.99 feet to the nominal North edge of a crushed stone driveway thence along said nominal North
edge the following; South 37 degrees 11 minutes 19 seconds West, 33.77 feet; South 60 degrees
16 minutes 20 seconds West, 25.53 feet; South 12 degrees 44 minutes 30 seconds West, 56.03
feet; South 33 degrees 31 minutes 55 seconds West, 21.12 feet; thence South 59 degrees 40
minutes 33 seconds West, 97.91 feet to the nominal East face of a rock wall; thence North 32
degrees 05 minutes 47 seconds West along said nominal East face and along the extension of said
east face, 237.80 feet to the point of beginning. Containing 0.95 acres, more or less, subject to
any and all easements.
Also the following two road access easements:
#1 Road Easement Description
A tract of land being a part of the NE 114 of Section 21, To xmship 13 North, Range 6 West in the
City of Batesville, Independence County, Arkansas, more particularly described as follows;
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337-85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet;
thence North 64 degrees 05 minutes 30 seconds East, 28.14 feet to the point of beginning; thence
North 43 degrees 31 minutes 54 seconds West, 11.67 feet to the nominal South edge of an asphalt
road; thence along said nominal South edge the following; North 65 degrees 33 minutes 34
seconds East, 96,81 feet; along a curve to the right said curve having a long chord bearing of
South 89 degrees 34 minutes 33 seconds East a long chord distance of 19.49 feet; thence South 64
degrees 05 minutes 30 seconds West, 110.71 feet to the point of beginning. Containing 0.02
acres, more or less.
#2 Road Easement Description
A tract of land being a part of the NE 114 of Section 21, Township 13 North, Range 6 West in the
City of Batesville, Independence County, Arkansas, more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
Ue?;,Cni�j int ;�;► f?ip1'gP.
5 �j ^* 1r,"A.5T SON X P39r
Page 2 of Exhibit "A"
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1728.74 feet;
thence South 32 degrees 05 minutes 47 seconds East, 237.80 feet; thence North 59 degrees 40
minutes 33 seconds East, 77.10 feet to the point of beginning; thence continue Notch 59 degrees
40 minutes 33 seconds East, 20.81 feet; thence North 33 degrees 31 minutes 55 seconds East,
21.12 feet; thence North 12 degrees 44 minutes 30 seconds East, 56.03 feet; thence North 60
degrees 16 minutes 20 seconds East, 25.53 feet; thence North 37 degrees 11 minutes 19 seconds
East, 33.77 feet; thence South 15 degrees 25 minutes 19 seconds East, 18.88 feet; thence South 37
degrees 11 minutes 19 seconds West, 25.37 feet; thence South 60 degrees 16 minutes 20 seconds
West, 21.99 feet; thence South 12 degrees 44 minutes 30 seconds West, 52.18 feet; thence South
33 degrees 31 minutes 55 seconds West, 27.36 feet; thence South 59 degrees 40 minutes 33
seconds West, 24.29 feet; thence North 30 degrees 19 minutes 27 seconds West, 15.00 feet to the
point of beginning. Containing 0.05 acres, more or less.
Lisa, lme •, k&her /
Randy r Member
Jeff DavAskWmher
v
Ra Davis er r
CERTIFICATE OF RSCOn
STATE OF ARMNSAS
COUNTY OF INIV: 4+f,\ of Ek 200-1
Filed tot recArd
at`�_�•and record Ln
80AClaud Circull Clerk
p.;
ACKNOWLEDGMENT
STATE OF ARKANSAS
SS.
COUNTY OF INDEPENDENCE )
On this day before the undersigned personally appeared
Randy and Lisa Palmer, individually, and Jeff and Kathy
Davis, individually, known to me to be the persons whose
names are subscribed to the within instrument and
acknowledged that they had executed the sane for the purposes
therein contained.
In Witness Whereof, I hereunto set my hand and official
seal this 1t day of A, 2003 .
Notary Pfiblic
My Commission Expires:
Wier Recordation Reatn1 Ib: First Community Bank
P. 0. Box 4327
Batesville, AR 72503-4327
ASSIGNMENT OF TENANT'S
INT'EIIEST IN LEASE
Lockhouse SOBA, L.L.C. Lockhouse SOBA, L.L.C.
AUU1tCS3 .:; �il)Dti855
#50 Riverbank Rd., Batesville, AR #50 Riverbank Rd., Batesville, AR 72501
'[LArIION[N0. ". loRNfl"CAy IoN NOr `s- TELRPIIUNR Nb :i. .: •IUBNI'ItTCAT1oN N0.
OFFICER <'INfRRF.7f ItATlt lRINCIrA1:AM011N1'/ 'Yi1M)INCI
RN(11I(AIION '. CIILUfr Llslll� . ACRiEMkNf UAT ::R(ATURITY bAYR CVSFOMRR NIIAmRR ::.LOAN NVMO[R
MRR 8.00% $ 400,000.00 11OL25/200110/24/20041 1 3001868
ASSIGNMENT. As security for the payment of the promissory note or agreement described above and all other present slid future obligati msa of
tier or borrower to Lender(IeheUler for the same or different purposes (hml Use foregoing) ,(together, Use 'Obligations'), Owner hereby Assigns
First Community Bank
ox 4377. BatesvMe,— - ("Lender") its
_re interest as lessee in slid to'lie lease of premises identified below(the"Lease.):
_j#jated 08/. between
13/99; Assign. dtd on or the City of Batesville
— �IIIaTIt17— --
a �st
I-cs3orlopi1lapwner,as Leasee, along Willi any nuulifrcmions or amendments to ilia Lease, covering tlse real properly, located in IndeDOIIdeIICe
Courcy;mare particularly described as follows:
a�
addre.. is property is: #50 Riverbank Road
Batesville, AR 72501
OYP.NANTS AND REPRESENTATIONS. Owner represents dial Owner is not in default in tlse perfonnance of Owner's obligeliosv under the
Owner further represents and covenants that it will coruioue to comply Willi die provisions of the Lease slid any extensions or renewals of tlse
. 1
ODII'ICATIONSOF LEASE.Owner agrees dint during the term of thin Agreement Owner will not modify or terminate the Lease widioul obtaining
for written consent of Lender.
-CKNOWLEDGESTIIATOWNER HAS READ,UNDERSI'ANDS,ANDAGREES TO THE TERMS ANDCONDITIONS OF THIS AGREEMENTANDHAS
-).AN EXACI-COPY OF tr.
L khouse S B L.L. . OWNER: Lo ousy §0BL L.C.
B11: ✓ � � _
:isa Palmer, Member Randy er, Member
OWNER: v
B 7
Teff Davis, Member Kathy Da , Member
OWNER:
OWNER:
4.'DEI'AULT1l DER LOANUOC(IMRNTS. Ito Die event )(ally dcfsld( by Owner or Burrower of Pity U6ligaliun an Lcndcr,under any pronnismory note
or Instil ducu,uat, Louder.d,nll hnve the right hit cuter lite leased prcurises without notice to Owner or Borrower atoll Inks: Action necessary to p,utecl its
collateral i110 Hog, huh not 011111el lo, tic following: (a)remove All 1—snnnl toopetly or rennovnhle Uxtsuce of Uwner which are subject it, Lender's
securily interest; (h)inventory, advertise null sell upon the leased prernises Any personal pro�,eny and lixlures of Uwner which may he subject to
Lender's security interest; or (c)exercise Lender's rights ns holder of the Lease and arrange ur l m stbseyucnl Assnm
igent of the Lens. lit P third
party ACceptnble to Lcndcr Anti Elm assungJion of ire liabililies under the Lease by a U,inl party. In Um even( I.cndcr lnkcs the action dcsctibcd
above, Lendcr $loll bnve no obligation lit Owner other than for lite pnymcot of rent to Lcssur under the Lease During Ute little Lcndcr is ncnudly
toying the leased premises.
ER1111NA110N.This Agrcetucnl shall rennin in full force and effect moil Lender provides Owner with wrillen notice of tcnniuntiun.
ASSIGNMENT. Owner shall nut he entitled to na.cign any of its rights, remedies or Obligntions described in this Agrccnncnl without lie prior written
consent of Lender which Any be withheld by Lender in its sole discretion. Lender shall be entitled to assign some or all of its eights and restudies
dcsciibed in this Agreement without notice to or the prior consent of Uwner in any manner.
7, NOUII'1CATIONANU WAIWAt. 'll,e nnodification or waiver of any of Owner's (Obligations or Lcuder's righls under this Agreement roust be
coulnined in a wriliug signed by I.ender. Lender cony perform ally of Owner's Obligations or ticiny or fail to exercise any of its righls without causing a
waiver of those (lbliga ons Or righls. A waiver on one ocession shall not coostilute a waiver on any ulhcr Occasion. Owner's obligations under this
Agreement shall not he affected if Lendcr amends, cosi,pnon,ises, exchanges, fails to exercise, impairs or releases oily of the oblignnons belonging to
ally Owner or guaratotor or any)f ill rights against any Owner,guarnntor or collateral.
SUCCESSORS ANIS ASSIGNS. This Agrecinew shnll he binding upon nod inure Io,Ihe benefit of Owner and Louder And their rexpective
lessors,assigns,tnotees,receiver,adnninkitators,personal represetnlivcs,legatees,sad Jevisccs.
N07ICES. Any notice or other cannnun,icsliun to he provided under this Agreemenl shell he in writing and sent to We pasties At tine addresses
"Mcnibed in this Agneentenl or such Other address aA Ute parlies may designate in writing(Yum lime to time by notice heremnder.
10. SCVERADILITY.Ifany provision oflbis Agreement violates the taw or is unenfurceahle, the rest ofd,e Agteemen( shall rentnin valid.
11. Al'I'LICAIIIA'A AW.This Agreenet shell be governed by lite laws of Ute state of the location of Ute premises. Owner consents to the jurisdiction
slid venue of any court located in such stale in the event of any legal proceeding under dais Agreement.
11. MISCELLANEOUS. Allreferences In Owner in this Agreenenl shall include all persons signing above. lflhere is more Unan one owner, dicir
obllgslions shall be joint and several. Oliver waives any right to n jury trial Owner wily have under applicable low. Tlnis Agreement and any
related docunnents represent the complete and integrated understanding between Owner slid Lender peninining to the teens and conditions of those
_ ducuma,ts. This Agrecinenl supersedes and replaces all prior oral conversations and negotiations of the parlies slid cony not be emeuled, excepl in
writing executed by all parties..This Agrcetnenl bits Leen executed in several counlegmrls,any one of which Any be deened an Original.
13. ADDITIONAL'1'ERAIS:
ic of Arkansas
onlyof-------.._.--------- ----
Un this[lie—_.day of —. ,before site, the undersigned
:eq personally sppeAred
wn to tine (tor satisfactorily proven) In be the person(s) whose name(s) snbsctibed to the within
untent slid scknuwledged Ibat _—.—lie __ executed the manic for die pugoses therein contnined.
tress whereof 1 hcneunto act illy lend slid official seat.
(W
Title of Officer
or Arkansas
Illy of independence
1n this the_fr��._Jay of October, 2001 _ before lite, _ 1.Gtt.e>C.1r—� die undersigned
ger,permnally n(,f eared Lisa Palmer, Randy Palmer, Jeff D vis fi4o I�now �i� hima.lf 1)b. the members )f
c)ck}touse SOBA, L.L.C. limited liabilit Ney members
a Yand dialM ,is such .— _,being authorized
company limited__liabilit
n tit),executed the f Oeguing iustrumenl for Use purposes Ihercin Cull rte tr by signing the name or the --_—_ -.--_ 7rAF;rYR7(- as
nembers company
i witnessIpM111N11Y)no set lily hand slid official sent. --
```, N.c�i,�.,,tet
(tl�iav#ncs�xrs: Notary Public --^ -- –
• Tideofollicer
N61- A•
' pUBLIG i .` ACC14l''1'ANCIs Ulr f,lsSSUR
'4�•• •�`� th da of October, 2001
Ilits -4�;G•teCYlc ala _.. -....�__.....—._..__..___._�...-- ,by the underaigned its I_Mor cutler(tic Lease described heoin.
COIJ�1\
I. Le.csul�((jlfzll�lgN�unsenls to lite assignment to Leuder of Owner's intetesl as te,nnl under Use Lease And reptesents that the Lease Is currently
valid and a lo,c do seconding to,its lens and Ibe( Owner is run presa,lly in default under Vie Lease. Lessor timber apresads tial it is the owner of
he leased premises nod hila full I w•er a I authutily to enter into this Agreenet. Lessor agrees to allow Lender In occupy lie prentises and
vusenls it,a new Icuani chosen by Lender if reasonably acceptable lit I.essor.
.. Lcssur Agrees ,hat dui iug the Icon of tlue nssignnsent of Ibe Lens. by Owner 1) Lendcr no nwdilientions ur tentoinaion of the Lease will be
nuler,aken withutn tiro obtaining the written ccroseut of Lcndcr.
t the even, of Owner's wawt under Ibe Lease, Lester Agrees Ito uutify Lender ur such default in writing at festal sixty(60)Jays ptiur to laking Acliool
niva(e the Lease or enforce Ally of 1-033ar's tights under tie Lease. During this sixty-Jay period, Lendcr shell have (ie option 1)cure the default
e such unite,-lion ns tinny be necessary to prolecl Lender's security interest in the Lease and Ally peramnAl prnpeny and frxtones of(Avner which
!"ectuc any obligation of Owner to Lendcr.
t, Lessor Agrees In snbuulinnte ally lien it Any have or subsequently acquire upon any personnl properly or fixtures of Uwner which may be subject to
o)'comity interest of Lander until much lime As Ihix assignmed is Icro a atcd.
•. Lessor acknowledges tont it hms and will beuelil nes n result of the linancinl accumnnodalious extended to Owner by Lender most[ that Lendcr will rely
m Il,e acceptance.
f•,CSOR: City of Batesville LESSOR:
Jo M. Biard, Mayor --� ------ --—- –
n
Statc of Alkalises
County of __..
On this the day of before nm, .—_-- the
undersigned officer,1,c—n fly appeared
known to the (or satisfactorily proven) to he lie person(s) whose naine(s) _-_ subscribed to tile•
within iustmment olid acknuwledgad that _he executed the same for the purposes therein contained.
In wilness whereof 1 hereunto set Illy hand and official seal.
Title of Officer
sates
State of Arkansas
County of- Independence
On alis die day of October, 2001 ,before nit, We undersign"
officer,personally appeared Joe M. Biard ,who acknowledged himself to be the Mayor
the City of Batesville , municipality and that lie, as such _officer being authorize
to to du,executed thin foregoing instrument for the purposes therein contained, by signing lilt name of the municipality by Ihimself i
Mayor
In witness whereof 1 hereunto set my hand and official seal. —
My Commission Expires: 0 1 Notary Public
—r Title of Officer
``��l\NII f1111j1j'
�� \P N ICyoIs Zs
�`��. • 0,
gTARy
--
SCHEDULE A -- o
PUD00
The street address of the Premises is: 1150 Riverbank Road �%y•.• •y P��
Batesville, AR 72501 ���1-
'00 ;p``�
legal description of the Property, located in Independence County, is:
as�aa
-- SEE ATTACHED "EXHIBIT A" FOR LEGAL DESCRIPTION --
This Document was prepared by: First Community Bank
P. 0. Box 4327
Batesville, AR 72503-4327
EXHIBIT"A"TO MORTGAGE
(LOCKHOUSE S.O.B.A., LLC )
A Leasehold interest in the following described lands:
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North, Range 6 West in the
City of Batesville,Independence County, Arkansas, more particularly described as follows:
Commencing at the Northeast corner of said Section 21;thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet
to the point of beginning;thence North 64 degrees 05 minutes 30 seconds East, 138.85 feet to the
Nominal South edge of an asphalt road; thence along said nominal South edge the following;
South 65 degrees 57 minutes 18 seconds East, 11.71 feet; South 47 degrees 01 minutes 15 seconds
East,20.33 feet;along a curve to the left said curve having a long chord bearing of South 77
degrees 21 minutes 21 seconds East a long chord distance of 51.81 feet; North 72 degrees 18
minutes 32 seconds East, 14.86 feet;along a curve to the right said curve having a long chord
bearing of South 72 degrees 27 minutes 30 seconds East a long chord distance of 15.35 feet; South
37 degrees 13 minutes 33 seconds East,72.58 feet;South 12 degrees 31 minutes 24 seconds East,
12.99 feet to the nominal North edge of a crushed stone driveway thence along said nominal North
edge the following; South 37 degrees 11 minutes 19 seconds West, 33.77 feet; South 60 degrees
16 minutes 20 seconds West,25.53 feet; South 12 degrees 44 minutes 30 seconds West, 56.03
feet;South 33 degrees 31 minutes 55 seconds West,21.12 feet;thence South 59 degrees 40
minutes 33 seconds West, 97.91 feet to the nominal East face of a rock wall; thence North 32
degrees 05 minutes 47 seconds West along said nominal East face and along the extension of said
east face,237.80 feet to the point of beginning. Containing 0.95 acres,more or less, subject to
any and all easements.
Also the following two road access easements:
#1 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21, Township 13 North, Range 6 West in the
City of Batesville,Independence County, Arkansas, more particularly described as follows;
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet;
thence North 64 degrees 05 minutes 30 seconds East,28.14 feet to the point of beginning;thence
North 43 degrees 31 minutes 54 seconds West, 11.67 feet to the nominal South edge of an asphalt
road; thence along said nominal South edge the following; North 65 degrees 33 minutes 34
seconds East,96.81 feet; along a curve to the right said curve having a long chord bearing of
South 89 degrees 34 minutes 33 seconds East a long chord distance of 19.49 feet;thence South 64
degrees 05 minutes 30 seconds West, 110.71 feet to the point of beginning. Containing 0.02
acres,more or less.
1/2 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21, Township 13 North, Range 6 West in the
City of Batesville,Independence County, Arkansas, more particularly described as follows:
Commencing at the Northeast corner of said Section 21;thence North 90 degrees 00 minutes 00
Page 2 of Exhibit"A"
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1728.74 feet;
thence South 32 degrees 05 minutes 47 seconds East,237.80 feet;thence North 59 degrees 40
minutes 33 seconds East,77.10 feet to the point of beginning;thence continue North 59 degrees
40 minutes 33 seconds East,20.81 feet;thence North 33 degrees 31 minutes 55 seconds East,
21.12 feet;thence North 12 degrees 44 minutes 30 seconds East, 56.03 feet; thence North 60
degrees 16 minutes 20 seconds East,25.53 feet; thence North 37 degrees 1 l minutes 19 seconds
East,33.77 feet; thence South 15 degrees 25 minutes 19 seconds East, 18.88 feet; thence South 37
degrees 1 I minutes 19 seconds West,25.37 feet;thence South 60 degrees 16 minutes 20 seconds
West,21.99 feet;thence South 12 degrees 44 minutes 30 seconds West, 52.18 feet;thence South
33 degrees 31 minutes 55 seconds West,27.36 feet;thence South 59 degrees 40 minutes 33
seconds West,24.29 feet; thence North 30 degrees 19 minutes 27 seconds West, 15.00 feet to the
point of beginning. Containing 0.05 acres,more or less.
Li sa lmerM7M
✓ � Sf
Member
Jeff D i Member
\\^
y Dav Member
CERTIFICATE OF RECORD
STATE OF ARKANSAS
COUNTY OF INDEPENDENCE
Filed for record me, y ofp 201
at��90 M.end recorded in __
Book Page
CJpud' blas, Ircult Clerk
____D.C.
r
_X
2003 1.4(;,~11
�"3:06 PM
LEASINIOLD MORTGAGE
Alter liecoiclafloib Iteltirii Iw
First Community Bank
P. 0. Box 4327, Batesville, AR 72503-4327
TGAG011.
nolutolyr s.
Lockhouse SOBA, L.L.C. lockbouse SORA, L.L.C.
A'DWESS
#50 Riverbank Rd., Batesville, AR 72501 150 Riverbank 'Rd. Bateaville,..AR 72501
I ItIciathm of the lural or ulll,r i.dh se.ujunioditihm Specified -lid Ally fultire Advances of Future Ohlitirillone, as deflated lict.111.
I
WI!, 11111,111joy liefeaper be edywiccil lir jimoucd Slid other drat
MW 6.1"AlAsk fulld,WAII& �a yip tor wbdj�ere hereby
0 1 an hc�x1ld4l9illegla eav e,
MoiLindsAwraids mild inmigage#I's r:Lr!�—t--O—UU ty
with power mf Sol. And 60111 of entry and pmexculuu oil of hdong.g.r's imcrgg III Illel ce.i.i,j lease des.fil..J I,%Sclitifidt A(tire "Lease"),such
lessakuld estate being lucaled oil list land described 111 Sch.jula 13(it.. I'llcil.'r Willi all present And Nul'a 14.19,11elkla, hicredilitillows, and
and Ilia javcf&iu,,s, rcinsindisio, leiII4 agkd profits pcilminwil to Ilia ice]I'l.l.elly (clilllolalily phynicill Ilkii.11ofull
I b1i"Alinris secured Is.,cby.
hiarcover, Ili firfilicr conshicialloll, liloilgagor dove, for Mudgngor slid Mortgagor's licitli, represcinallycii, successors and assigns, )totally
expressly wafrilli,cowcatuist,and qiae With Leiidur and Ila successors mild assigns as follows;
1. OBLIGATIONS.This M,seksalle 6-11 4tcura Ilia payintill oIli perooritivict of all ffeles1l 0.111 fillUIC h1d.1.111111CAS, lithililiel. -IIIISOliOl-I mild
cos.1111 of nUl;us.Mortgagor(cumulatively'0bfij.Lis*)to L,Wef Inorsomid so;
(0)title Mortgage mild lite ruIl()syjj%,;toroillis3airy iioiSlid ollier isit,ccoatculs:
)NTATURITV
.
UTA
-A(REI;AIL JAMPqIY
8.00% 400,000.00 10/25/2001 10/24/2004 3001868W
r I
.ifil c( te"it "T'sirs, w,iisiail ALLF..0;11 dii Lender wrillil r, spe,cFrics
diffaegii lilifilostis Iliall Ills fureg"I'log) I
(c) anysaaroscilis ufulshicions of usher parties given to I-codcrstow or hereallcr cxeculcd wlilclt refers to this Mollsove;
(it) fultirc md9utices, W11901cr Obligatory lirul.1juilifl, Ill she sous extent AS Ifoladc coulcalporanclitilly Willi Ilia execloltill Of this lifoligmse,
itilldt or exicodcd Is)Or oil Isebalf of MwIloopor or BOrnnwcr. Mu lr-k; stof Ill&I if 041C of tire 0111isofikills is a title of credit, dus licit of side
h1olig.j. .1.01 cu flaus: mild paysticia is, ruit of all dcliis due isuitior lite line lialwjibstai,dissf, Ili@ fact that froin little to those (LIA before
Ienniuntiuo of list lige nu]to bola.". stay tif "ONNO At it.Im,st Shelf it,- lice of it,!- 11111110P. ural116-ludil-I -1110ollts "I.S.1cad is,
protect
Ilia security ufIlllS Mol j.1c, exceed S_20ll —;slid
(-)all P"IcildmellLs,eXiensicun,renewals,isindificali(libl,10PIAMIM113 Or JtlbsliluliOA13 10 Ally of Ills f0f$suilig-
As used lit this Periturgifli 1,the icrikLS Aluilgagor and Burrower Shell include&lid also iiiamn any Nwitgallor or ijufjuwer if more ifiski title.
2. HUVIUSENTATIONS,IVAIMANTIUSAND COVENANTS.iviostililligur represents, warrants allit covellailla 10 Il.clsilcr Ilialt
(a) Ni.110micst shall nialillaill lite Properly free of all flens, 4cckjliiy interests, encmnbrutees and elflilll§ CK00111 fig(Illikk KIIJILUMV4 RjId IIIIISC
dean ihcj in Scl,,,J"lc C%[licit is Allielled to 11111 Mortgage and incurptualsed licicin by Tefe(clice. Which IvInflobsor moirces oil tiny 41141 Perforlik Ili
timely tal.11101;
(it) Niustgagur is In compliance lit all respects Willi all applicable federal, gats; slid [,ice[laws slid revidalliiiii. ijjCW1Ji0g. WhILOUl H111111111011, IIJUSC
(413tilig to 'ItA7111JULIS IVID1911fibl," AS defined herchi, Aild other illatiCra (Ills 1r,-Ilvilonsnealol Lawg'),siid ticillicr Ilia federal
Vu"riwicia nor Ilia State wheto the Properly is located nor any Other jovefilinellill of gissai jovcritillemal gurity,has oiled a lien list[lie Property,
wir arc liters ally juver"I'lelAdd, jollic4i or adiiiiiiisirstiva BeLiolis Willi respect In ervir41nnkaJol IIJBIlCtS JIGIldilly, sit to 1110 hall of Ilia
kilL.Wltdoot, 111M.1-11-d. Wlljcjj involve the Pialicaly. Ncillitr MuijV.8j)( not,to lite licit of hit,,jUsysil's Lunwicage, any other patty
Illi histd, jenermICLI, released, diSCII11111d, moored, or disposed of any 114141doul Molatials as dellued IJOICilk. ill C01111CClitilL Willi Like Properly of
isimpoiled any Ijazafitpus lilaierials to or ft ois$Ilia Property. Alonggligur shall slid cownih or pencil &licit actions to lit lakes in[lie fulkirc. The
Latin "llazaidoom II-fatedals' Shall u1sall any suhslauce, materiel, or waste .11jell is or becuinto regulated by any 14svenimcnial aijilicitiq
I"Juji.q, but sol holiled to: ....is; (ii)friable or lb.1111risiblis lk.lteslog; (ill)psAycislotialLed bipliellyll; (Iv)111050 losbSimlia-is, IsI8144415 of
W"... dslimsulL.Ll .0 a liaziltdol'i pulau."t so section i I I of lite clean Willer Act or listed lilitsuopki its Section 301 of ill& Clean
Wal.r Act or any akii-41d,1111 -f raplaceune lits Is.these MIMICS; (v)LI.C.Sts Aldisililices, j;,aiv,iAjs or wastes defined as a %"Aot'
1141livaill to Scciiaii IUU41 of Ilia IZCSOUICC Colkse"ali.st mild ltacoly Act Of Ally -1310.5dillents or replaccinclus it)411MI &I&tulc; mild (A)Illoie
5LIIJsIAJIUL, lklaiClidIS Of Wastes 4191"Mcd ■a a 'lim-tordaus substance' Pursued ler Seclitm LUI of IliaCunyuehenslve fiavininniental Response,
and Liability Act,of ally amendments Or replacsucnts to other Statute or ally tillicr shniou state OF federal 111414olsi. rule.FC#UIGIiUll
lir oidisiaiice now or litgcallef in cffe0l. MOFIgulfor Shell not lesoc, or perillil 'lit suillceso of[lie Property tel a lecalgil or stibicitaill whuse
..lit"'lialls shay result in colstaloigeliolL of Ills Property will&ilizerdous Molcri.im or toxic$111111flixem;
(c) All applicable Iowa mild I.St.lations, Including, Willsoul Ifiniusli.1s,'1h. Arnedcaln will Disokifillco Act, 42 U.S.C. 12101 go seq. (slid all
,,Loulalko,Ig pfus"I"log.l.d lb..coadcr) and oil 7.111liltj Slid building laws asks] 1961JIM441112 [Claijitty to told, P[I)IICFIY by VilitiC Of any federal, 41010 (IF
111116lisdisAl J1.11,Ujily Willi j.1iSdilli011 O-r Ilse pFc..ndy are Slid Strait be A.m,t.d and congdled Willi in all.11.1aliel respects, and Oil
,ighil, licenses, It.lillits, and C.111111c.i orocci,pan-y (Isle 1,1061j; but not lillIjI.J 10 ZLI.IhIg vuriuwe., .1-41 alle-l"i'll' is"nuucunfonuing US.I,
olid find iossiptcliva &III-rov&IS), -licithcr Icisillossfy 0(poriliancill, Which arc mitlefial Is,the is,, -,,J uecupamey ()fill- PrIll-stlY, pre.cully arc sold
jjj&lI lie Obimillca,preserved slid,wilets,siccciukiiry,renewed;
(d) litafig.grif lies list right mild is dlJy SIAlkOFIZed It)EXCCUIC Brij Ilciratill its obligailoas under list.IllorliaLst atiJ dust aelkli's Ju nut and dull
nor ciiijilizi will,Ilia lictivisiuns of oily gloilile, pelLuNtioti, ordinance, n1lu of low,contact
sit miser asteenutlil which may be 111"Jing Oil 1111"Fillsillof
.,ally 16,10;
(a) flu action or pruccedhig is or Shall he licildi'll or Ihredened which 1111glit ill.t.timly Affect she Property;
(1) Muilitaitir is Ilia owner of flit 1911411i'll Ildcreill under like 1-cmac I'd flaresit 1141 411cletills therculider. Niolloingor lies I I ht a
Sullitifily to greill lid Convey it$ijowri,51 in lite Lease 4116 also 111(mikli'll Of Itis ho,sIllsit.is nil Is,viulSliuu of ally provision of(list Leas
(g)-h+mtgsgot will exercise all ionctvols 'if 1114 Lease tiulems Lek,$, Apfro d1 of the nonrenewal aml will ulrinsu
ublignliaua of Modgngnl upul 14,111'+1 of Lcudt[;
_ �� 1111 JbLartOogur Ilia urn vialaled and skull 11111 vin,_,, oily nAuua, regululiau, ordinance, Lula of law,coi. 2CMilnliur but not
liwilul Io,IhuP4 guvdroin,g 114'.. oils hl.luials) whidt ntighl nld[4. lly 41`11911. Il,, Prnpclly lir 1-culer'ih� �1Lt}E ii+{fr}41211„x� ,�'rnpeny pursuuul
In this Alnnlgdgd. DepJ of l rUSt £oi)k c 3311
J. INOIARIESANP N(yl'IFICA-1'IONTO'I'll lit 1)PARTIES. hlodgogir licrcby stnhluieco (.ender to enn11C}:-�,iy-•L?'tjli�.:f1W),���It!1:[�G¢'1#ray inquiry
pclluiniug Ill Mu-igagw'b liuuul,wl cumliliun lir nhc Pnyluty, b,i,hii ion, Lahr is awki,ni9cJ to prnvidt oral lir w[illcu unlice of ill inlcreAl In Ilia
11,up'ny Ill ally 1111.1 Pully.
ItANSFI?ItS OF•1'111?PROPERTY Olt IIICNICFI(:I,V.IN'I'IdItIiSI'S 1N MOR:FGACORS Olt IIORHOWIMS. In lila evetll Of a +ala, conveyance,
conl,oCl fliIr
or Jeul r dn4wr lir any I--ail at all lir oily pall of Up•la I..ty, ally or Mortgagr'
os i .re.
ul or, o,iglds under Ilia Lease, any
Tule rest Ihcrcin, ar ill'All lir uny Irencliciul inlereYl ill Potrruwer or Mongugnr (1f lioinawer ar Moil g.gor ill not a nmurul pcnun or persons hilt is it
cwpofalln 11, Iiailed Iiubilily coulpuly, purinel&hip. Innl,or aIle[ legal euily), Lender 1uy, mi its Oplinn, declate Ilia milstanding Principal iwanct of
111' Obligali"'Is Idlls tl[alne,l ineaml Ihclant iIn1114,$ra1elY title lilt,$ 1,4yo1,1.. At l ii-I.CY re,111cul, Mlingigor Or Burrower,as Ilse case Inay lie,sllull
ILnlisli a cnlrplcre stdluucnl selling fntlh oil of its stockbuldcrs, ntambcrs lit pamicrs, as appnipnule, slid tint extent of Ilicir respective owuerahlp
iu1'resls.
S.SIJIII.liASFS ANTI 1 Y11111t AGREVRIENTS. 14 %tignr +bill not take lir Emil to lake any aclinn which Ynsy cause lir panuil the lerminaliun or lilt
whirl bliug litany paynncnn in e11unuitoa will,any wI.I c or oilier ajre nu L ('Agteenteul') pcnminine to Ilia Properly. ht addiliun, Muilgagor,
willmill 1.4iulcr'Y prior wiiucn eonstul, bh oll nuc (s)cullccl uny nondes p.y.lde under city Agreernonl Inure iltan One uwnill in advaocc; (b)modify
any Agreatileor (c)sasigu lir ulluw a lien,1Ceinky iulerusl or other ell a nlinuuce 10 lie pluccd upon Mortgagor's righls, title and inlerasl In and Io any
Agrceltetl lir the uuuuulm PAy41d4 Iheracuulct; or(d)lcnuii ale or conical oily Agreenicnl exccpl for the u11npaymcul orally AmI nr olhor naaleiul
lau'h Ily the other Pony Ilncncm. If Mmlgagnr receives at city link, any wrillcu CmImlinnCallnt asseting a default by Mnngegor under on
Agrecmcut lir p irpori ig In rcrudoale lit cancel Pity Agrcemeul, Mli,egagor shall Prunipdy fuward a copy of Mucln connuntiestink (slid oily
n,bb'qucm etnmiatiicaliuns relining dlernlo) to lender. Allauah Agreenteuls and ilia amounts Jue In Mongogor Ibereunder Pre ln.rcby assigned In
Leralar u.mldili11u111 54ennily I'll,the labligution..
6. COLLECTION 01+INVl`lI VI)Nh:SS PIIOr l'I'll IRI)PAll'rl'. LeuJer .bull he ,milled to ramify or requir. &Inngagnr la naily any IhirJ party
(Inllnduig. III nus Iilnilc,l In, 1'Y&cN, IIC 411YCC Y, pkV r11111a,liel stkba(iueb 1110 instirslw i! eompauiai) In pay Lender oily iodcl,.dneas lir Obligation
nmiug In Minigugrir wilt«sped In lilt 1'ng.lty (cumulatively 'InJddalne&s') whdhcr or nal a Jefuuh ,aids nnJar iltis Murlilop. hlongagu[ shell
diligekly cullccl ila Iu.141iicJu-Ya owing In Mnrlgagkr liuun 11.990 dninl panic. unlit like giving of Inch uolilicalion. In Ilia even) 11141 Wripgnr
pasusse. or rcecives pnxsusian of oily inrin niciu lir ulher renillanlew will,respeCt 111(Ile IntlChICIIIICn fullnwing Ibe giving of suds nul(licilion lir
it ilia in&Itnrcnll or idler lenitnaneat umkisuta ilia prcpeywsld of oily Indablednems ur Ibe paynanl of any insurance lir condanuwiun proceeds,
Modgugur sllull bold Anel iuslnunenta old oils reunillmmes in 161.41 for Lstulat spoil from its other prnpuly, e11Jur.e the inslnunmal■ slid oilier
reniikances alt Leader, anJ itunic,liulely pruvi,lc Luuler will,pusses:inn n!"11.4 ikstnn icnts slid olllor reutiluncu. I.cpidar shall be ,midi,$, but nal
sequind, to 1111,'1 My Icgol prnc jiug. lir athuwiac), txlnul Ibe lime fur paymcnl, C1111114,111169, exclnauge lir release any olJignr or tullaleral, or
otherwise settle oily of the 11041,19Jucas whethar ar n11t ala F-111 of Monk axnslm undar 11nis Marlgoge. Lcodar +lull not be liable to hlongsg11r fur
any P19linn, urn,, nniin,l.. Yrn.issiou or J-1.y pensining u, Ilia adinns d4niibad in U1is paragraph lir any ddusageo rendting 1I.«Gnut.
No1Wilhsuuuliug Ilse 161e111irg,uurbbig Inereiti shall cause I-eider 1.0 Ile,$caned.nnilg.p.-irp......na,i.
7. IISIC AND MAIM7ENANCKOF PROl'kli'l'1'. frtmlgagar &limit take all actions slid make oily repairs needed to maintain Ilia Property in gond
e,ntdilion. hbntgigor Yball not corunit lir penui[ airy waste In le ct ill incl will respccl in Ilia Prupeny. Mor gagkr shall use the Property solely in
Compliance will Appllcablc low"illi iusurauce puhciea. Mongugur 11.111 kill nuke any alltistiuns, sddillons or impravenlens Ir[lie Prupeny without
I'dJAer•s prior wrillcu conoan. wdbuul nim icing ilia foregoing, .11 dicialions, sdi ilirn4 slid iugnnvc rite tits made Ila the Properly ,hall be sub)tel to
Ili, I...wlieiul iulerest belul,ging to LcaJct, &limit nul le removed willwul I.e1nJal& pilot written cunserk, slid *limit lie made it Mortgagor's stile
expense,
9. LOSS Olt DAMAGE. Mortgagor Yb.11 bur Ilia eni« rink of city lux+, doll, Jcauvcliuu ur dunl.ga (eunndutiv.ly 'Lila.lir M,nmp') [o ilia
Pnq.elty lir ally ponion 111,1 of Ilion,Oily c.tua whauucvdr. In like cvenl ill'any Luys lir Panuge, Murlgugar sludl, aI Ilia opliun of I.ender, «pair Ili,
uh:ncd 1'11 I.C.1y In its prcvi.,,u COndi6on lir pdy lir'suss n,lkc paid Ill l.enJdr the 0419«ase in U.fair enarlel value of Ibe affccl,d Properly.
9. INSUILANCE. The Puglcny Millie Lcpl insured fur its full insuublt, voluc (rePlmcunenl coal) spinal all lizards Including leas lir damage coi,sed
Iry Iluod,4sttlu11,oke, ilium In mud lir',11.11 lir oiler c.aa.hy m lite,stall requital by Lender. Mortgagor nay ublain Insuowic on Ilia Property Gum
such conipurica ala .r4....pl.hle Io Lmular in it.sole Iis,F"in I. The insurunca poltci.i sholl «quilt Ilia insurance cungany In provide Lender will
0s1 day.' wiinal unlace I,tlLrt wall I loci.. um altered lir a wellcJ in ally nuun.r, '11.to.uunro Policicm .limit sunne Lender as a
&yea still provide II'm nn act or oluissiina Of Mnng&gor or oily cher person &hull ail-4o Ilia riglnl Of I.4IAI9r to he paid it,. Insurance praeee J.
ling to line los, lir tallage of ilia Pi'lljelly. Ill Ilia cvcnl Mortgagor fails Io acquire or mainlain iumursuce, Lender(oiler providing pulite as may
•u
gnired by law)wily in its discreliuu pra+uire apprnpri.le 6wiltance rovernge upon Inc Propmty cul the insurance can shall ha an advance
p.yuhk .n,1. lk4mlug iul4rotd do d4.orilwd ill Puwgiuph 22 m1J m4uucJ lietaby. Mangogi r .ball liunialn Leader will evidlInce of ill Airukcu indicating
dm rcqui"d cavcruge. LeuJer uny .e..iunn,cy-lir lace f„r Mon lgugar in nmkiug mod L:11 ing 4luinu In.1ar insurance poily Puliey
lir culining hlrligagot's no lie un ally dull or naguliublt inslnunenl drawn lay any inAuc[. Allmudt insurance policies shall he constantly Assigned,
ploilgeJ still J4livenml In L.,, llr a li,nlcr tactility fm the OldiOuilons. lit Ib. cavil ill loss, h1u1124gur mholl ianaodi,10y glue 11-tinder written runic.
and I.4rnI r is'Inj Lic4d In n.ke proof OI'Ino+. Lath inburunce company is Jir4acd In nuke paymcuu dor sly In 1-0,r iuswYd oflo Leulu and
Nhulpgor. L-nd,r shYli hove Ilia right,.I its do14 aplio 1. sal apply su41, monies lnwal+l It..011ligatiulr. or IOwar,I Ilia COSI of rclniilding Pod «+luring
Ilia Properly. Any stns. I.nay,at Lnul4 r'd nPlin 1,be appli-d In Ilia inverse ord.r of Ibe tits ddlcs Iheraof.
M. ZONING AND I'ItIVATECOVENANT.S. Mungagor shu11 pill Initiate or consent to Oily clnringa In Ilia zoning provisions or private cnvenanta
slf'eling [tic use Or lb. I'lnpoily withotil Lender'.Priorwriter consent. Ifhhongagur's use of ilia Prupeny beconnes a nnuconftrnting use under any
linking pruvislon, llwlgagor 11.11 nil taus, lir perliDl 011alk use Ill tic di3wjk6nu J or abandoned wilhunt Ilia pilar wrillcu eousenl of Leader.
Mongugur will inmxdi.lcly pnrvide Lertd.r will,.,111,11 nolice of ally pruposeJ chouges In Ilia zoning provloionr or privale covenants affecting Ilia
Pnipmly.
If. CONDEIIINAT1ON. Mir lgngor Ani inuuedioaly provide Lender will, written nolice of any acoul or illreatenad cnndem,uliou or eminent
du,uuit, p(.W4eding to Ilia I'rupcny. Allmmoies puyabJ4 It,Murtgugnr font aitch cdndoinnuinn of taking are hereby assigned In Lender
and 11.11 ba ."plied lb&1 ,,it,, puyu,ent of Lcs+,lcr'a wwrney" fu's, 1-0-11 eapeaea slid mbcr ensim (eoeluding alnprutsal fees) In eooneelion Willi Ilia
eondarnnmton os anliuud dumsin procaedilp will Uiei, at$lie uplioo of Lend,r, In ilia payuiell of ill,ObligA11414j. lir 1114 teslnralian lir repair of il,e
Property.
Il. LENDER'S III1111.1•'1'0 COhINI MCR Olt 1IFT?ND I.RCALACTIONS. Mortgagor stall iaunedialely prnvidd Lender Willi written nnlice of any
Acn.l lir Ibrealumd ucnion, buil,lir a11'er prnce.ding aflecling Ibe Prnpeily. Mrrlgugor hereby sppululs Lender as IIs-nonney-in-tinct til Commence,
iumrvene in,aln i d.l'e,d much acliuus, mil., or tidier 1.1.1 prncceJing. and 111 ouugirounimc lir&dila sly clai11n or caulnivermy penluining tlamlu.
Lawler shall um be IiAle Ill Mongugur for 11ny aclinn, error,naislukc, omission or dcluy pcnloiniug to[lie actions Described in Ibis p4ragraph orally
doioagcs«sultiug Ibc«liotit. 14o11.ing c11111aiu4d IuYei1 will pr.vcnt Lend"Ilam laking ilia uclluns described in Ibis Paragraph In its Own unma.
13. INI1h:AINIFICA'IION.I.endcr alkali ural ossuum or be rupoinihle fu ilia perfarina nce or any lir MOng.gor's nhligaliuna will respect to like
Prupeny undel Ally citcunisuniced. hlonlgugnr shell inunediulely provide Leul4r Willi wriUel nolice of and indenmity and halJ Lender said its
shwilln1darg, dila'Wt4, alliecro,eruployc,s And Agerdd Iunkl.ks from.Il claims, ddok.ge., li.hilhi.4 (indulging Inunicyi fees mild legal expense Y),
cnusim of Y'tlon, adl„nY, suit. still oili.r I,gul pmeeediu44 (emmdulively 'Clain,')psltsining Ill ilia Prupeny (Including, but not lindidd In,Iluasa
involving Rozurdoua hlatcri.h). Mokg.gur, upon the «goeYl of 1.enJcr, &ball hire legal comical Ill dc&nd Lender Gnun SUCI Chino, mild PAY Ilia
m1wirl rets, legal ampensea And od.r cons incurred ill conneclion ibecwida. In like alicrkstive, Lendcr shall lie 411111,40 to employ it.Own legal
uuntsd to,$11(c I much Cluinns .1 Murtgog.r,. east. Mongugur'& Mitigation to indemnify Lendcr iuuicr Ibis pir.grapin 411.11 ourviv. Ill. lennii'mion,
COM'..or fnre'huura of this Mongagu.
14. TAXES AND ASSiVSSAIENTS. Morrg.gar alkali pay all taxes and .Yieasmu+ls relating In Uta Property when due end iuunedimlely Provide
Lcnndcr cviJC11ee of PYyumul of Manx. Ill..rn 11. requ..t of LcnJcr, Mang.gar dull dtpostl wish I<uder eedn 11 Ill nue-I.allill (1111) ill'Iba
c blin)[1.d Annual insurauca pr4niun1, taxa and asaeYmmmm p.,taining In t1. Properly. So Inug or Il.re Is un 'Whuill, Ihese minomus &Loll lie
upplicd In d. PuynxrA of Inxe., assessute nix on,1 lusrrance. us regnlrod mt Ibe Prnparty. In die +von uftlefinth, Leader shall have ilia rigid,at ala
I'd, option, In Apply 11. llinds an Will to pay lily Imago Or mg.illut the Obliguions. Any[kinds applied ,nay,al Lender's option, lie opphled in reverse
urdcr of i1..Jus lime Thecal.
IS. INSPECTION OF PROVER'.,IlOOKS, IthCORDS AND REVORTS. Mokipp,r +limit ulluw LeoJer nr it, agtnlr to exaluiue dud io.peel the
1'nglarcy 11.1 a will', iugm.I 1.1.1 11I.It. copl-s of blung.gor'a bnak. and 11Ca 1111 penuiab,g to Ilia P1011a11y li-unt lin,. 11.link.. Mongagur &limit
•.isle ally sasislarn:e lnpii«d IryLni.ler lar dtcs- pal I—— Allol'U-a big natuna -I inlimnatioO eonwined in Mongagur'+ books and record.
lie gcnutn4, Itue, acCurAle cud n+agdue in all uapc 1914. Mong.gor id 11 11,119 Ute amiYlunce of Lmnlai'. I„teliai.,l i„ler'mt ilk it.I,uuk. .1111
FY peal.ioi-,g 111 the Prupeny. Addition illy, Mongugur &holl report, in a 61rn, salis(aclnry tit Lendcr, will, Infnrnulion a !.ender uny request
�ganling Mnngngar's IlnstnCial ernidiliun of il. Properly. 'lin iuli,nn.tion x1'.11 b. 1'ur Much p.d.d., sllull «Ileo Mtn lg.gur'■ ,44110+ al such linx,
unit idwll Ile 911 11lieJ wlil1 I¢It rrcqucllcy as l.endar nay d9signale. All indbnuslinn 11MAIlled Ily Mntlgogor in 11-c11Jar mball be tine,accurate sod
eang1141e in mil ta.peeta,aril signed by Mnngngor It Lander«queota.
Ik, 1351"OPPIA.CEM11FICA1'I0S, wngldo lea- "B)Jays alter ally raquest toy I.ereler, Alollgngor dela" deliver ro l.eniler,or any Inlnlded lran&leias of
La1111er'► riakts -illi respecl s.l Ilia Obligati. a sigimd said ackuiwkdyest st.ia,cianl gieeilybog s Ilse -W,tidiug balance un lite Obligxtiatsa;
' &all til)who h,ir Aiougugnr Puasmsua ally co-ill, dclettses, seaulls ,r ciuuccaclaiiu will)-sped .as Ilia Ohlilalinns &fail, if au,the nature all'web
e 1A11l, dcfcoues, sel•ulfs ale ciurnarclnhacs. Mmlg■ynr will he cuuclusiv■ly backslid by any yepresmidnliuO Thal Lauder assay ninke Ip Ilse Wisupded'
s laaadrtise will.respecl ID Ihm .1. licls all lilt 9ve111 11101M
as ,1dyagur foils Io provide Ili&roqucssed sfulenwat In a thistly ni
rafiar. 1754
17, F.VEWI'S IIF 111EPAULT. An Evens of Q.rfadt shall occur ..,color Ibis kfonsu#a in clue event Oml Mullguyor, 11huiawer oy aaX yu■rantor of'mny
E)bligatiun: ..
(a) fails'In pay Macy obligatilns to Lender when dace; a? 3{'y 1' ��FF •�
(I) lilts lac ptrl'm,ca ally Obligation far breaches miry worsanly far covnunl la LcnJcr cunlaiued 5��i�A{•iY?M Irr�n�rde Arr7aq Diller presanl air failure
eglcmhiW111; Deed of Trust F'cOk Pace
(a) dc&lruys,hues far daatayes the Pnipgrly in ally tru(erinl respecl or aubjucls the Psopefty 10 seizure,u;J17ai►tyiuyY�!d�F'l'ije�t'[gyj"{e(L't', ?11
(J) ACCLS lac ravuke,leltrfillAie far otherwise lining fill liubilily Older ury yiasalay lac l.uilcr;
(e) dies,bas f1.,j Wgally licunymtcm, is dissolved ar fcn,c)nated, becautes instdvnd, makes an ossiginlat fir 111 Ileaoelit of eredilurs, fails lac
p.y debt us they Isccuus due, lilcs a peshdml fai.ter flw (.Ictal b►rdwplcy laws, has on invdacitary pediliui fi bauknspicy tiled ill wilicll
Alortg■y.u,lktrowar of ealy#unudur is nmiuuJ,lir Imo prolKny Inkan Miller oily writ ur process of cuurl;
(1) allows goods lac lack fiscal,srarupuued or smrcd un die I'r.ysuty,ilio p<uscuiun,Irnsspustoliun,far lice if which,is Illegal;
(g) ■Il,ws ally family kibor Joan Aluargngar or Borrower to aswma or..nJcriaks any Obligallurl Wilhklis ilia wfllleal c41rlaessl of Lends,lir
tis) causes Lauder to dc..., pull tiaccme Jue to a aiyiulicuo dcdiic in Ill. value of the Property; far Lcndar, ill good faith, Ibr ally «faun
belitvea I1111 the psDapeac of p►yuleul or pct liiata»ee Is liqulr.d.
Is. ltlC111'1'SOF LLNI)HR ON 1?VEIN1'OF UI?FAU1.1',tlluln file egQ[r(ermt of fat EVelll of Default&oder This Alungase, I.CIMI9f&hall he atidcJ In
exefchrc otic air swore of ilia bollawhh#rei11adie&without 1Wttee of hlciiald(except as scAllaised by law):
(.) to Jcclere Ibe Oldigasiios fnuflea ialcly data slid poyahl. in full,&licit &ceckrallun doall ba aubmwaiu Said iasitediarc If Ilia Evora of beraull is
A lili,cg unJCr lilt Ifanknspluy Cade;
(b) la collcci the uutsuoJtog Obli#nliuns with or wilhuul resitting In judicial process;
(e) w regfitro Ahutg.sur la dclivsa and mala ay.ilable 14) LenJer nay personal pnl'.61y us Clonitels coisti11niff; Ilia Properly as a pince
194snuably CWwelhints ID Modgsgor.0111 Laaderi
(J) to enter..poi said I.L. pnsua io, of We 1'rtpoity without .pplying fur ar obiaiclhsy ilio■ppliolsucad life receiver Mud, at LctJcr's upsion, lac
ggaadnl a reccivtr without bond, wilhmu fill brluying nail,n lift Obli(ptiolu nil willmul ulhtowisa ilaedus ally Ateusfoly eundiliuis rescading
raceivere,it being(uleudcol Ilial Lnider shall have This cmtrocsuel right to appoal01 s receiver;
(a) 10 empluy a iwnay(ng syefil of die Praperly lard lel the conte, ill Ilse Otme of Lender or(n ilia traffic orMuflsagir, slid receive ilia renis,
(Ocuntes, iuuco slid profits of the prupelly milli apply Ilse &nue, Offer psynfnil of all accessary ehargct said axpcnses, Itis accauul of rhe
Ouligniuuu;
M Io pay stay•u,cos In oily faints or uuiner Jcsouad expeJiew by Lmlaler to pr01cel Ilia Saeurily of ilii■Maga#c or to curs Stay Jebsils other dui
payineul of haertd far principal fail flat Oblig&ihou;
(s) lac(ureeluse dais Ala.(sgn#e;
(b)to MI-off MongMgkr'a OldigAl(ona Sgalid ■say iac11nunl& owed MDstgagor by Lauder Includii#, total law llihil al In,mouics, fool nnusut, nasi
Jgaosng saeousus ominlained wish Leander or ally currency existing Dr linuoc aflidisu of Loader;slid
(i)In exeecisa oil olber liylils avisdabh:lac l.enahar 11111191'Ally 011ror la1'illC11■gfeel11eil or appliublC law.
Lender's rights are eufiudalve Slid Luny lie oxarelscd logcllfer, separalcly, slid in Soy order. Ii lite evcil Out Lauder laul ifates nu actiurt sacking the
racov*ry of easy of Ike Prupcny by way of O &raj idp afford remedy in Su aoliun 6141561Mnngagor, Alurlgagur waives like pnnti is u(■nny bond which
Adgho cklAtrwise sae r.a(ula.d. Leader lir 1.41,go s alssigtretiny ay putchoaa Ilia J4opuiy .l anro
y salt. Tb.I' pccly or ally local lherafaf ay he sold in
ane plical,or in web pmreel&, tmimer far littler a I.enJar hl(ts&lilt dim...lists may elect, acid oma Of 111014 exerot■u 01`4149 p41wtr Iwrc(o grm01ad allall
Islas exllat#ul&lI of Calraubt file pkwar i,lsss the eodire Prollcrfy Is sold or Ilia Oli igalioua are paid In hill.
It. LEAS1U1U1.1y PROVISIONS.
(a) Murlra far !faces fiscal Aturtgagur will Iinlcly perfurnl all dalig.11uns of Madsagor Dollar Ike lease road that it will 11,11 talk. or nowil 10 ISLe any
aclit4i whicls wilcause a Jefuloll ditaunJer or that, wick nsAice (cl slier Ilia passaya of little,far boob, would be a default Iltercuadcr. Marlgnsnr
$#rocs Ihas it Will pwngily Dulily Lis.I&I lac writing of oily 11cfaoll by Mu11lyngnr louder ilia Luse gold Ih.l it will prunlpUy scud to file Leader any
nul(ee (infer chats 'lot a regulAr paioaalic basis bac ntwnhly tells psyimils) front [lie IIA dlord classier Ilse Lease, Including ally iOdice outing of
daiminy rely Jcfnuhl by Ilia Muugs#or under she LeAae.
(b) Lnodcr dha8 have slit right to cure ally dehoull sinister alae Luse within Ibe duac penuiucd irk Ili 1►mSa mild all nuns advmiaed O49reby ■hall be
iunneJiumly due Slid p►yabls with inlereet Ihtaeun at tits lower it lie bhglsesl rase Jcaclibcol la goy Obligalit i or the kiybcal role allowed by law
• 116.1111 the Jute u!p■ynsnu until 011e laic of relfialmreement Paul shall,foal with&licit inleresl,bcrnnie S pan of Ilse OLIi#Ni,1i&.
(c) In ease of■n E,.Dl all O9Gull under Parayapb 17,ill addili,an a,,stay ,tiger rights usd renseliki available, LeuJer any mala full or p.0tial
puyuwuu of fells Ilia m1Jla Ilio Lease, perhsraf ally utter obligatioluof Almlgagor ut.Jcr rile Lease still 111swbMsa, disebarye, cumpromise, or
&mtl: Ilia Lease. Allllrurde& pnid fur ally kf 049 Puapuus Itereiac ►tfih,o lred fad all expcises paid far incurred ht caifieclklo fberowilh, fnclodiny
sattutueyo' (too, to ilia assekl perciduad by applicabla law, &hotel be so ,clock ►ddidotrSl indebieJneAa secured Ilncby. Aid dull bCC11111e
iuotrnluiuly due fad p+ able without ontice and Willa hllcical Illereon. 11=11001 of Lender cull never he cofisidercal as I waiver or ally right
Seeming lac it u a accotnl of any defaulf ill Iba pan,f hlullgagor.
(d) Any Jerald un Ole lint of Mnetyasos under Ips Laasc A.all eoulldule a dcfouht cluster dila hllod#.ge and the Obligalluis Secured hereby said
&limit 910418 Ili Leader lac ext Pare my Am111 all rights and renledies given hereunder.
(.) .vlor1sag,1r will nuc■Saud far trwdisy ilia ImaSs witbuuf Ilia pallor waiticn aurum of Lender.
10. M18dGElt 01'FU IN LEASH1101.1)PS'FATE. In Ibe avail chill Mortgasor acquires lite fee licit or any Diller estate, till*or inleresl ill the:prenuiws
covered by 1149 Lanai, [Ilia Mortgage shall allnch to slid cover caul be a licit Initial the fu lite of wch killer C&Inle &u Acquifcll Sud civil face title or
4111191'esude Ah.11,widac,cn further ASSignttlaiit,grail far cous•eyanee beeonla mud be whieel to Use:licit or eicacudtercal by this Aloagiga.
21. SECU11I'1'Y IN'1MES'1'UNDER'11It-'UNIFORM COMMIMCIALCODE. 17ois Mudgsgt dull be cnnsiJeded a fdnnelny alalcmeut said m fixture
liliug pursued lac the pruvisiom of the Wdfuriu Cu,cu»erclal Code (as Adopted by the stole where Ole Pru(xny is lue'nled) eaverirss lixlursa,ehallels
said Petioles if peraanSl property now awned or hereafter uhlacheJ lac or las Ile ase.l it,eunncnion with Ilia Pr,pelly logelhcr with any nod all
icddacettrds tkereuf milli addisiutts thereto (Ole 'Chaueh'),milli Mauyagor Iterehy Canis I.endar a ACcurily illieie&1 Wallach Chattels. The Jchmr is
till Atk11#a809 .Icscsllaal above. The secured poly Is ilia Leader Jesetlbed nbuve. Upon dnn■nd, klon#ngur shall make, execute seal dcliv.r such
&mcurhy SgreCouoiu& (as&null scroll 19 Jeliued in said U..ifutn CufiillerciAl Cuda) ■a 1.9uJer SI Ally lima: assay decal necaasary far prosper 01'require Io
gaam w L.'ad.r .p.litctaJ seeOilly if.dneae )n floe CLnllefl, uad upon Ab,isayur'S fall.,.w Jo w1, LcuJer is Bull lined m aiya any&,fall astceutenf
as the m.lut of kluldgsgur.-klfarigayur Isercby tufhurites Lelder sal like fiosuchlg sfaleiicias (as welt toasts is debaicJ in said tJullbnn Cunuuscralnl
Cuda) wish lingual lac Ilia C11411.16, as ally lion, wituid Ilia sig inlura of MDoI#ugur. klunss$or will,however, al nay lif,oa upon request of LcuJer.
Sign sucll fitraucius sutculnats. Muugagur will(fay all ilius fees for Ole lifing of assets GnalsCiny ataleuveut Slid for die rofiliny thareuf aI Lite pinus
rcquircJ, ill Ilia op6dun of LenJer, by said Uiiflu'll Cofiunercial C,da. If1le licit of this Maup#e Is slolaject Io any security agreenfedu eoveriny Ilia
Cluucls, dlnl Its the even lir ally default under chis Mmisngc. All the right, title must hilereet of M,1nsa#or ht Amid lac ally and all of gig CIIAIICIS is
hsaclly raiyneal b)LeuJer,bisasher with 110 bcnelh of any deposits or payalcfils iuw or hereafter made thereof by Modyayor or aha predecessor& or
wueesw•S in tide of klmlgagor in Lite Prkperly,
21, 1tF.IAIBUIISEMENTOFAAIOUN'I'SEXPENDED JIYLENWilt,Lender,at I.end9r's aspd.sfa, Oily upeml Goulds (iochidiny alunleys' fees 41.1 lcgnl
expesausl to perhlnu ally act require) to be sickest by Mortgagor or w exetche ally rist0 or reauedy cif Lassiter raider this Iv1u11gnge, Upon demand,
hlurtg►snr shall iunnedialuly re)ndhous Leader for all fascia ea11uunta expended by LeuJer Iogelllar wills imefeal lheseun at ilia lower or aise highest
rale described in ally Oblisalickn or lilt highest role allowed by lav frons Ibe dale of psymuu ..mil Ilia Jas of reiwbuneiianl. '(Lest wms doll 1.0
include) hl lite delioillan of oblisalikns herein Mad shall b■ secured by Il,. beneficial inlore&i framed herein. Iftbe oldi#.liotas are paid after Ibe
lasiniiq-1 of publiamliaml of i01)ce ,f Sale, As herein 1{uoviJeJ, or ill Ilia saved LenJer&limit,sl its&ole o,liun, pca11it Mnitons,r lac pay stay pan of Ilse
I)bliy{yalines After aha Will flog a I bhhcaliou of sauce of Sala, as herein psuvidud, duan, Alollynyor a�lmll play on Acnlsnd all expoitea hrleurred by
Laaaar in colluccliun with said pfiblhultai, isicludiay LonJmr'a reasmlabl. eamr,ccyr' fees and Ihla IN.st#.ys sbnll he security liar SII Stith exposes
and(ems.
23. AI'PIACA'1'IONOle PAYMIJIM'S. All paym91,11 stolid. by or un behalf of Mnrtgaf�il or may be applied ngnluss Ilse lanlouule paid by LenJcr
(ioelmlin# wxpm
■sdo .ys' flea toil Jugal esuO in n wide Ito exercise of ill silica lir remedies des9ribed ill lhis 114Dmf#.#C stall I11911 In Out
laayioeau of the rentsidiiy Obligaimu hl wlatlever 091191'LCIIJ99 dakuae■.
24, 1'OWIM OF ATTORNEY.Monyngur herthy appoint !.ender all Its nlunlay-intact In nsdone MoraVagor s Sous un Oil iuslnnunits Simi utter
docuOlefus pcnainins 10 lite Obligniinns or hlud#n e. lac addifinu, Leanlcr shalt be eufitled, List stiff rci ufied, to pserfirm ally Poison or aaecclbo oily
Jucunlew required lac be I■Lear of executed by lot#■for fauJcr tui■ ktollsuge. Lslder'a pert rusueS of&licit anion or exceiliufi of such
doefanlcihs dolt 1101 relieve kdoug■gor from any OLhigauun Of cute coy default firmder sills Aluoyage. All power, of ollcsrney described hl Otis
kturtgag&ace coupled will,all intcrau said are iuevocablm.
isS, 31.111ROGATION Oil I.ENUEII Leasd.f Alkali Ile oisbrogracd to If,. flights of lite holder Df oily tt revtoua limo,s9catily lnterasl or nicovithratsoe
iaahasgad with ftuala adv►DosJ lay Lmader a#..Jlt»of-hells chase lints,scc,1rity ia.terut or Debar snclonbaoces have leen releaseat of record.
to. t_UI.I.IS(.1191NIA"I.N. n Leuiher Idle/ All allurney Io•a.ql lea eKl.asold oily amouul alae or tnlumtog ally light M remedy under Illie HOIC,
1'lsnnsvar agree.Its pay Letll¢r'.ws.onable a ey's fees and euilcclion alibis its Ills extern permitted Is
"✓ 27. 1'ART A1.111Z1.li:AS11. I.cal.r(nay «lease its hderust in a portion of doe Prujurly by excelling Yrecall lug (ie{0Tnl�irf psni�l releases without
' Y(11 ling i1.inlaaal is dm raluaiuiug poi,lion al'Ili. P,opnty. Nothing herein s call iia deetied l0 slCgifd12l1e Slbn W rQQftillyk nay of its juteresl in IIIc
I'syiarty, (except sl rcysiled uudcr Paragraph 35),oar.hill L.ud.(W ublig.I,d to r,I...4 soy pOW 0,rrutylrly 160o,a Wel.in deranll under
'his Ithwl a
211. h1UU1111CATIONAND IVAIVIIII.T7re modiftaation lir waiver o(oily of Murlcol'We Ohllguiuiu,or I.end.r's rights under Ihls hicidgage snug I'd
cotituinud ill•wriliug Agoed by Lauda. I.codef may pefisn any of Rnnuwtr'a M lolnrlgago's 01ifigat(otil,.dAay,'Or fail 10 C)dfl atsy of its rtgh s
lir P-1.11 pay flow M,u lu.giir ar nuynne sillier Illus bbnlgagor wilhnut cuusing a wslver of d,osc 01,h alio. or rights_ A waiver on ole
a:ca.ian •L011 nal coubllwit, . waiver eau+uy alwr neea.ian. Mu,lgagwb Oldlg.liuua under this Mangugc lWl nn, be ■IfecleA If Le,I., ■nae side,
•nuiiu,uuis.., excbmiges, roils to excrcls., uigmtra lir tela...a ally of die Obligations helonuhhc 10$sty klungagar, Rnrrawar or third Palsy OF ally lir
its nghl. +u.iusl 0ny Mungagor, llorrowce its Ilrird pony air oily or Ihu I'rnpaly. Vendor's I'uihura to insist upon abler performance of any a1'slu
uldiyatiois s4.11 mist he deentaJ A li lvef,still I.olldor shall have,the righl at any little Ibtrullu In insist Opals thiel pelf anxnee,
29. SUCCRSSORS AND ASSIGNS. This I.Iasruage .11.11 he I,loding upon +lilt Buse ht the Isetufil or Mongagar and Lender and their respcc[ive
atl.cr.aol.,a.blg,a.In»Iees,receivers,oilulinisuumrb,persuoul reproxcntslivu,legatees mild devisees.
31). NOTICES, L•xccpl as olbcrwi.e reyshcal by law,ally nnlico of cher carilussaiCAd011 to lie pruvidcd 111141.1' this Horologe shall he in writing and
..sit Its Ilia panics .1 tire ddroo3ca dascrd,cd in[his I lungage or such Diller sddress of lite panics ntay designate In wrlling frunt flux to lime. Any
suer, oohed FI given old rent I,y niton claDail,pustmi(e prepaid, dull be dceuxd given Lite earlier nr into 0)days eller aitch notice is still or
.ban a...ived by Ilse person lea what I such sK,w C is Whig glveu.
31. SI•:Y1':I(A111L1'I'I'.Wlkntever possible. each provislon afllds Murlguge dull be tnlcrfiented to he valid and enf rceohle staffer applieulilt suit law.
11'ally provistan of this Alorsuaga v/ab[as Ilia low or is uncuforeeable,Ilia roll of lhts Alwlguge alkali cunllnue lea lie vAid and ertforccdds.
32. APPLICAIl1.RI.AIV.This blonuage shell be governed by Ilia law. or Ilia aisle lel Ilia Property to located. Uuksa sppl1ca61t law provides
sthnwlse,Muhlgauur Coaseils ti,Ilia juhisdiciisls slid venae or any caul selected by Leveler,in its sole discralion,located In 111e1 sole.
33, Nil TIIIIRD 1'ARTYRIGHTS,No person is lir shall be a third-pony beneliciurt of any plsovlsiol of Ibe Islnngate. Allprovisions of the Mortgage in
favor oil Lcud.r are intended ssloly fur elle benelil of Lender, slid iso d,iid pony a all he eutited to assume of expect that Leader will waive sir corseni
In th. n,odif.ulion orally provisiuu urll,e islotgoge, in Lender's sale discralion.
3.1. PRESICIIVATION OF LIAIIII.iTMND PRIORITY.Wishart alYeclinr Ilia liability of Borrower, Mortgagor, or any guarantor of the Obliguliuns, or
ally olher person (.catpl a p.raon aril—Ay releasad ill writinu)For the psynieal and Lus-Airnunca of 10.Obligstinuv, .till without sffeesi ig ilia rights
of Leudar will, respca Its any Puspely 11iil expressly relcaud in writing,and wilbaut i,npaiiiuy to any way tire 'ttinrily or This Mortgage over the
toserebt of ally poison aequirad or first evidcucud by recording snbseyucnl to Ilia recording of Ids MangAge, Len,er may,sillier before or a0er Ibe
s,u11nity of du tubs,Olihi mild wilhnut nnlice or consent: release ally pennn Il.hle btr al
or perfunnunce of all lir any pM of rhe Obligations;
%mile ally agrwnmrd ahcriug thu
e Icus ns payticol sir perliiroanre o clilt lir any pan o ilia OLilgalitin; exercise or refrain fon exercising sir waive
any right or «milady dial Lcokr silly have Kollar Ihil klringuge; accept 441,111101101 lacurily al oily kind peer ally sir lilt Oldt4oliu11s; or release or
ote'wisd dal wish oily real lir persasuul psopcny mecuring Ilia Obligaltuna. Anypersnu scy11Trhlg or itcosiding evidence orally Interest orally tiantre
in Ilio Pmpcaty sb.11 be .144 3, by acrptirinis Ioch (u[erdal or recording easy cvidetce 111er sir, lea have Consented to all or any ouch actions by
l.alalar.
35. UIiFRASANCL, Ilpo i slid paymcat .lid p.rfail,l in hell of all of Ila Obligations, Leader will exccule still deliver to k(ongogar Ihusc
dlics roti.Ilial slimy lit rcpuircd In rclegae Ibis kiongage of reconl. kluitgagor skull be responsible to pay any costs of recordslion.
311. 11,11SCRL1.ANh:OUS.Mongugor olid Lmular aYres Inst dint is of ilia cgaenee. Mortgagor waives prcacnanu,l, dcnsand for psynnenl, notice of
dibhontlr and protest axcein u4 rmpiirod toy law. Alltcfe r.aaar to Munuagor its lids Mortgage Phall Inchrdo ail paraans .Tuning haloes. Ifloere is Floor.
than one klontgagnr, their Obfigattn11s sliall he jniul still several. This Molgage r4litsesus Ill. cnugffcle (nteyulcal undcraunding between
hlurlgagar slid l.cnd.r petainiug lea ilia Icuus and coudituns 11erear.
37. Alli111A'fION.Ifr'1'h11S11Hllt'I'rArRSlf('Ultli;S ANACIllCULTURAILOAN,MORTGAGORANIII.ENDER%VAlVF.ANYIi1GIlTRITIllellPARTY
IIIAV HAY1?TO NII:IIIATION tlNl)Itlt'1'III?,11(1(ANSAS i,AlthI hl1i111A'I'ION ACT ANI)AI'I'I.ICAIII.IC I.AIV,
38, APPIACATIONOF 110141XI.OSUltit PROCRL'11S. The proceeds font Illi fn«clusure of Illis Morigs;e still Ilia safe or Ila Property shall its
Applied insist following m&jmer: firo'kis Ibe paymanl orally balance owed furcoall colla; than to ctumdssiuns, Ifany,Paid to Ilie county clerk;Iheu
lea raistibura Lender for its expenses and costs of Ill. oil. or is,caonec[ios will,seeudall, picvs,tiing amt nrslnuluing lite Pinperly, peeking and
fors,
rdaing all. appoiusnnn oil's receiver for the Property, (Tneludiag, but cul If sited to,slloney'o fees, legal expenres, filing fees, tioti6calion costs
olid mpprtisal costs):111611 lea Ib.poynunl of Ilia Ohligslim,s;&jilt loan In any Ildrd party is provided by law.
39. JURY TRIALWAIVIell.I.RNf)IMAND hIORTGAQOlt11CI1R11YWA1VRANYRIGIITTOTRIAI.IIYJURY INANY CIYIIACTIONARISING OUT
Ole,Oil IIASI?D UPON,'I IIIS 111014:CCAOIt'.
(W 40, A11111TTONAWrICRhIS.
Mortgagor acknowledges shat Mnilgogor lima read, undcraunds, and agrees to the lentis and conditions oftbis lolongsgc, slid acknowledges receipt.•
hf an exact copy organic.
Dwed this 25th day of October, 2001
lunlrfr ( Ill(: LBckho s C. a[ORTOACIOR: Lockhou SOBA, L.L.C.
B III by:
✓ �—
Lisa' a lifer, Mem r Rancfy R111,4xrer, Member
MORTOArOR: MORVIA4101t:
w
Jeff Davi tuber ]Lathy Davi , Member
ItI011 I(:Arn R: 1,10111'GAOOR;
I
I'(IAO(Ilt: MO R10A00It:
RN.al1
e
I5� 1
(
i
LEASEHOLD M01UGAGE
fler RecordNlion Relurll to:
'irst Community Bank
""'P. 0. Box 4327, Batesville, AR 72503-4327
boRttOLVlai � : MORTGAGOR
Lockhouse SOBA, L.L.C. Lockhouse SOBA, L.L.C.
150 Riverbank Rd.,. Batesville, AR72501 150 Rlverbaak Rd. t
Batesville ..AR 72501
'1'BLBYIIONN NU.. ri;. IU[Nf1fIL'A'rIUN NO ..;:< ': T[L[PIIONB NO ^ - I'II[ Yll'A'f1UN NO..� ..: ::. 5
In cuasiderstioo of rhe loan or sillier credit acconuuuJciton beralnsfer specified said any failure advances or future(Ihlignliuns, as dcfined heron,
which may here•Ocr he advanced or Incurred $list other gxgJ a mJ aivahle ytul gab • r cel a gust �rL4fancy of will• ra hereb
a,; wWayIeJgcJ,Mut�g 1 I�p«(,Yy�g/rgaNs giul uwrtgage&to PV I:OIDAbl" H7 BaaKs r. b.Ihox 431/, riflteSV�lle, Y
J�IfaIISBS 7[753-43[/ ('Lender').
Willa Power of sale gild right of e.alry and possession ala of Mortgagor'& Inhere&I in tial certain lease described In Schedule A lilac 'Lease'),such
koseliuld estate lacing located on ilia bold described hr Schedule B(lilt "Land')mlcilacr Willi all present said (dura ie nanenta, hereditame ota, and
gppurteuances; &aid ilia «versions, remainders, gels and prulils pellaining to ilia goal prupaly (cu11udatively 'PrullCoy');uulil paynaeut In fall of ell
Obligsdous secured hereby.
Miurcover, to further considemilon. Mortgagor stns&, for Mortgagor and Muriplur's beim, representatives, successors ■nd Actions, hereby
expressly warrant,eovauul,said agree Willi Lender end its successors said assigns as follows:
1. OIILICATIONS."this Murlgag• gbtdl secure he paymenl said performance of all prescto sold !Aura indcbtedaess, liabililics, utihigaliOtts said
cuvelaanls of Borrower or Mortgagor(euuudalively'Obligations')to LenJer pursuant In:
(A)Illi$Mmzggge gild lilt following proud&aasry notes and other ggreenisaW:
Tl'F111�11TWIPAcdtif()UNT/7 !SINE 1— fifURt7Y? 11977)KIEV,.
x�IB cxiBtrr�.InL'1 - � �tiN1)1ij;( a:'Nunlutx .. -_runnux
8.001 $ 400,000.00 10/25/2001 10/24/2004 3001868
(b)ii(olTiu liiasem sit future written agrceurenu wulTidci wGleli«icr spectflciTly In iso uilgage (ulicllier extruled 7u�Ibe Sanaa$ air
diff:reol purposes than The fureffulug) ;
(c) oily gularauly of ubligaliuus of other politics given to Lentler now or lereslter executed which refersto this hloogage;
(d) future advances, whedsec obligatory or uplimul, to Ilia &auto extent as If nude contemporaneously wills Nle execution of This Mortgage.
made or esasoaded to or un behalf of Mwlgagor us Dairrlawer. Moogggar agrese that trout of ibe Obligations is a line of credi[, ilia lien of This
Mortpge Stull continue until psynwm In full of all Jcbta data under Nle fins notwhhstauding ilia fact Nut frum lime to slow (but before
lefuaivaltun of tbs lilac)no balance assay ti Ityy ng00 AI no lime & licitof tills Mll Isle licit n
le, ut including aoW
uua advanced dvnced la protect
the security of olds Moolage, exceed f f g u ' ;slid
(c)all ameudments,extensions,renewals,modiftcalimu,replacements or substitutions to any of Nat fureloinl.
As used in[his Paragraph I,ilia formol Mortgagor and Borrower slull Include gaud also illegal any Mortlalor or Butruwcr if ttwre Nun one.
2. IIENIISENTATIONS,IYARRANTIISANDCOVENANTS.Mortgagor represents, warrsms sold cuvemslas to Lender Nu[:
(a) Murtgalur $licit nutnlaln ilia Property free of all lieu,, securely interests, encumbrances said claims except for this Murtgage and Norse
Jesciihed in Schedule C which is galacheJ to this Mortgage and Incorporated herein hay reference, which MoNgelur agrees to pay and perform in
a limcly manner;
00 Mmtgagur is in cumpiiauce h.all«specs will.all applicable federal, close gild latest laws and «gulstiuus, Including, Willmul Iiudisa{on. Ihuse
iclaltng les '1181.411ous Molc.ials" as defined hercha, and Other emviroomadal mallors (tile 'Gnvirunmentat Laws'),still ucithcr lime federal
govenaiticul nut lite$[ale whore ilia Prapeny is located nor Any other governmental or quasi governmental enlily has filed a licit un Iha Propemly,
oar are there oily governmental, judicial or adn.inislrative actions with respect to si nviromntenlei mailers pcndimg, sir les Ilie ties, of the
Mougagur's knowledge, thnulcucd, which Involve the PrnPaty. Neither Mortgagor star,10 Ilia best of Mutlgogur's knowledge, soy rumor early
tics used, gamers[ed, released, discharged, sorest, or disposcJ of any Ilamdous Materials as deftued herein. In connection Willi the Puopaty or
lunst sled any HoLardoas Materials to or(rung Ilse Properly. Morlgngur shill 1101 comuui[ or peoutl &licit actions to be liken in time future. The
le nu "Hazardous Materials' dull mean oily substance, malerial, or waste which is or becomes «gulsted toy any governmental smhorhy
including, but nos liodi.d to:(i)psaralerru.; (ii)[liable or rwnrrigble agbeslos; (ill)pufycldorilaated biphenyls; (Iv)those substances, uultlirls or
WASres designated a a 'hazardous urbsuince' pursuant les Section 311 0f if,. Clean Water Act or listed pmsuwt les Section 307 of ilia Clean
Water Act or city aneudmstms or rcptaceuiaata 10 these a[amles; (v)allose substances, nulerials or wastes dernned as ■ 'hazardous waste'
pursuant les Section IW4 of mite Resource Conservation said Recovery Act or stay autendmellis or reptacemclals to light statute; slid (VI)Haute
substances, niaferials or woks JefineJ as a 'hazardous substance' pursuoiN iso Seclino 101 of the Co11grrthensive linviruamemal Respuuse,
Cumpensalion and Liability Act,sir oily eniandmsod■ or rcplaccuicmus to[flat statute or city other slamilar Slate sir federal statute, rule,regulation
or osdinaec now or hereafter in effect. Flursgalor 611411 not lease or Penult lite arbleae of ilia Prupaly Ila a tenant or sublenoul whose
opantions may result in conlgnninaliun of Ibe 11noperty Willi Hazardous Materials or toxic substances;
(c) All applicable laws said «gulsNous, including, without limitation, lite Americans wilt Disabililie& Act, 42 U.S.C. 12101 of «q. (sand all
eguialium promulgated thereunder) gild all zoning gild building laws And repstalluns «Icliug to ilia Property by virlue of any federal. Most air
nwoicipai authority wi[h juristlicnio I over ill. Properly, preaeunly are anal dull It. ubgerved aid compiled will,iso all hula lel resfecl., so.d all
iphlt,licenso, pentiils, gird ealifc.lea of occupancy (Including but 4101 Iimtled to zonlug variances, Special exteptioua for 0unconfonuiu6 sous,
J final inspec[ior4 approvals), whether Icugmrsty or pennanenl, which are nulefial to like use and occupancy Of the Properly,lirescutly arc and
11 be obtained,Preserved said,where necessary,renewed;
Mortgagor has tine right said is July oulliculmJ to execute and licrfurnt Is Obligations muter this Mloagage said Ihese solitus Ju also slid dull
out conflict with the provisions of any staude, regulation, ordinance, nda of law,contract or other agreement which may tog 11164,11,19 an Monlagor
M ally tittle;
(e) No action of Proceeding is or 611611 be pending sir Ibreeleued which milbl nukrially affect ilia Property;
(h) Mmigagor is the owner of the tauni's inleresl wider [tie Lose said there are un defsulls slereunder. Murtgagur has g u i hf a J Im f
authority to gnnl gild convey its interest ha Ne Luse slid the Slowing of Ills Morigagc is out in violallou of any provision or alit bus
N'. is
vt /\1�'
(gl Aluligagnr tvlll exercise all
Icncwals of the I.ease moles. Lender approves of the Sinn renewal 481.1 will Iilmish pluof of payment o1 any Lenz
.Hignuons cit lit 1gogm lips..regmnl of LenJer;atnd
(Iq hlonsogor Las lint violated .nJ shall nal viulala oily Shaul.., resulntiuu, ordlm-le*, oda of Ism,.....Much lir at.r agreeuutil (inclu ling, Lill I
Il roiled las,Ilow gnmiliou llur46lous Maleials) which might ululttielly nlfacl Ill. 11rupolly lir Lender's lights or ha,.4sl in the Priylaty pmnuut
til this Mw Issue.
J. INIIIIIIIIESAND NOTIPICA1 IONTO T11111)PARTIES. M lgognr htrchy .,.It it.. LenJer h.....tact airy Ihiol pally ant bake any inquiry
Pe+tninius b1 Mumsnsurb linnn4inl ...... on or t. 1'uq.+1y. L+uJdiliun, 1--der is uoduniced 1"pn.vida urn) lir Will— ....lie. of its interact ill Il.,
holly to any Thiol puny.
� ItANSFERS' OF Till?1'1101'1?11'1'1'Olt It IiNIi1rIC1ALIN'I'I{IIES'I'5 IN MORTGAGORS Olt lioltimm'ItS. 1.1 die CVelll of a Saha, ennveyance,
asa, euntruct for Jecd lir Ilansfcr In any persnn of.II lir oily pan or ilia 11ngmmy, ally of 1,W.1gagor'a inleresl or lights under Ilia l.eoce, lir oily
hams) lhcrcin, lir cif.11 or oily beic[icial imeresl In Runciwer or Morlgogor (i!Ifonuwer or Mongogur is not a n4ulrul person or persons bill is a
cnglmahon, linlital liability company, pannclship, Inw,or oilier legal caiky), Leader may, al ill upliun, declare the 0111slanding principal balurtce of
the ribligolium plus acCul4d interest intens immediately due and payable. Al Lender's reiluesl, Alultgugor ur ,Ilim"wer, as the case may Le, x11.11
lilmish a complde Slaletuan sating.tial),all cit its nockbilld<Is, tile,nhcrs lir pahhlera, as apprupriute, uud ilia exlcnl of Ibcir respective uwnelship
iulnuts.
S.SMILEASES AND OTHER AGREVIVIEMI:S. A•mIjaigm shall not lake or fail 10 like oily aclion which luny cause lir pernil the ttmninatinti lir the
withholdiilg of ally paynmul in ciluucaliun will oily sublease or other agreenmil ('Agreement') perlai..iitg to he Prllpelty. In uddiliuu, t'loopgor,
wilb..ul Lc..der's pliur wlitetl cutisetil, shalt licit: (a)cullcel pity nmmics payable under any Agreement more limn line uuu.th in advance; (b)muslil:
ally Aereemw; (c)assign lir allow a lien,security interest or olllcr ellcimili once to Le placed ulono hlaltgogor's lights, title■uJ iweresl in ant In lir
Ag—n-.1 lir the ar..omn(s payable UhereunJer, or(d)urmi,mc or cancel ally AgreemaW except for the nonpayment of any suns or lith<r nslciiu!
to-1. by the ether loamy thcrem. If haul lgognr receives at oily time any Wnuen cununuuic..hili.. asscII ing a dcfai.h Ly Mongagor umber ill_
Agleemell lir puquuling to lemdacil< lir cancel any Asrcenw11, Aiullgagor Stull promptly fwwal'd a copy u! such eonunuuicalion (tlu.l u+
sobscgocut comimmicaliuns relating lhercto) to I.enJcr. Allsuch Agl'telllcnis and the suununs due In Mungagnr Iheremidcr are hereby assigned m
Luular
as additinu'd security for Ile Obligations.
6. COLI.-V I'IONOP INDER'1'EDNPSS FROM THIRD PARTY. Lanl:r x1+.11 Lc ..oilttd las nutil'y lir 1-p+ira Mums4gor to nmlify any Il+inl P-ly
(IIIel11 licig, I'm lint lnlmlell 111,14"dcs, ll$'e,necs, gove(l1111C111a1 al1ll,millts and Imm.4.1ce —mpald-) In Ioly Land" ally n&Jebledocss or mblipllml
owing to Mm lgagor Willi respccl to the Ilrupe,ty (c11.1ml.livahy 'I ii,hiedness") whether or not a 141-11 exists mndar this Mnngage. hloilgagul Stull
_ dilig—Ily cullcel it.. I lel,Wdness +wi..0 l.. Mmopgor linin 11".. Ihild 1-1ies until Ili, giving of such nuliliealiou. ill the event Ihul Mol lgognr
pussess<s lir raccivcs pnssessiun of any insomul.111. lir tilher remill.mcs will respect las Ibe IndeLtnlnces followinu tilt giving of such uulilicaliuu lir
it it,. rmstl mtienls or other remillances comfulle Ilia prepsyum it of any Indebtedness lir the p.ynmut of any insurance or conJnunalinn proceeds.
Almlgagur shall hold such inAminetls and oilier «mill-Ices in Irust for LciAcr apul from its olhelprope1q. endorse Ilia inslnumens and other
reuio-Ices to L.nder, still imnladiulcly provide Lander will&possession of rho inslnnncnls and otb.r rtuwtonces. Lender shall be eulitlad, but not
lequited, to cullcel (Ly legal pro—di..us or otherwise), exicad ilia lime for paymcul, comprondxe, exchange or release ally uLlignr lir Culloleral, or
olhdrWis. $title ally of ilia InJ<Llcduass wbelhcr or licit all livool of Cher-dl exists under Ibis Mnngaga. Lender shall lint he liable to Momgugor for
any action, error, mistake, omission or delay p.ruiniag In Ili. actions described in This paragraph ur any damages resulting illere Doul.
Namvilhslunding the fiucgoing,nudri..g herein shall cols.I_c..Jar las Le JeeuleJ a mongagce-iugoossassiml.
7, USE AND AIAINTENANCE01''PROPERTY. Mungagnr shall take all a0liom slid make any repairs needed to nrainlain ilia Property in gond
coudilinn. Morluagor $hull not Commit or permit ally wasle In be eonunitell Willi respect to Ilse Properly. Mortgagor shall use Ilse Property solely in
compliance will,sppliculda law and insuraucc puliciea. Mmisasor shell nor make any sheradom, additions lir ingmovemenls to the Property wilbnnr
Lender's priur wrillal con.cnl. Without limiting the furegoing, all tticralin is, additions and impruvenleuts sada las Ile Properly shell he 6116jecl to
tie beneli6til inlecsl b.lotiging to I—ider, $lull not he «nmvcd wilhaut Lender's pilot wlilleu consew, sud shall be made at Mortgagor's sole
aspens..
S. LOSS Olt DAMAGE, Mollg4gur shut[ Lear it.. eWira risk of any lass, then, temo.liun or Juuuge (eumululivl:ly 'Loss or Ilanuge') In IIIe
- I'ropcny lir say I lino 11—cof Cron.any a.m. wLulsoev.r. In Ili even) of any Los$lir f)-hug., Mmigagor butt,sl the plion of Lc let. repair the
all-I.J P-1—ty to its praviuus condition lir psy or Coosa las La paid las Lauder the Jecressa in the fair nulke,vnllle"fill-offecled Pr.q.Clty.
9. INSURANCE, 'I he Pnq.elly will be kcpl l..sured for its fill his able voLla (replaceman Cost) against all hazards inch Jdhq toss of damage cause.I
by It( 1.aanbqunk<, mruuto .,lot lire,(hell lir other ous..ully m it.. cxlenl «quire) by,-ender. Mongogur may obtain Insurance on aha Property from
such cougnwi's ns ala sceapwl.la h.Lander in its$Ill. discretion. The iusmunco policies shall requit. Ilia insurance company to provide Lender wi0!
*lismt — —days' written police before $licit pol(c(as are all'i.d lir c-,celled ill any maim4r. The insurance policies shall mane Laufer as a
hayce ant provide ilia[ Ili)act or omission of Mongagor or any other persnn shall aflect the rigbl of Lender to be paid ILa insurance proceed.
il
g In Ibe loss lir d-u4ge of Ilia Propany. In ilia emit Mortgagor fails to acquire or maintain iu.ur-Ice, Lender(aner providing notice as may
pnnnl toy low) .toy ill its discrcliml procure appropriute insurance coverage upon the Propeily still ilia insurance cost shill Le sit advance a"'a'a'
loll yuhte slid 1-0.q; inl—.1 as d.seriti¢J ill I'unog,npb 22 uud ..cured 1'.1.1.y. Mnngngor shall ,imntsh 11—ular will,evidence of iaoim.me in.liaalius
the rmpd-1 coverage. L. I.( may act as alturu.y-int loci for Mallgpgur in..eking sod setting Claims colder inwr.m. policies, cm—Ming ally palmy
lir cudorsing Munengur's none on any droll or megulinLi. Insm atet Jr.wu Ly ally insmcr. Allsuch insurance policies .lull Le constantly assigned,
Idedgcd acid .14—ed to I.cndar as fibber..emily for the OLligaion a. In Ilia evcul ill loss, Momuasor shall imnnediotaly give LenJer wriuco ..otic.
and Lcnd.r is-thorized I make proof of Ins.. Bach ill.mrn..ce company is distad tri..aka paip-mm diraaiy to Lender i..sle.d -fl,- L. ler ant
hl lessor. Lend-shall huvc the lighl,4I its sula upliun, to apply such uuu&ies loword the OLligalions lir 111w-d the coal of rebuilding and remnimg
dw I'nq.tmy. Any sommm...toy,a Lender's op limb,he applied In IIIe Inverse order of the due dsles terenf.
I0. 7.ONINC AND PRIYATECOVRNANT.S. Mortgagor shall not iulliete or consent to any chance ill ilia znuing provislous or private cominnls
sllealiug Ilia list 441h. hol,dily wilhom I.emder's pliorwriltcu cousenl. IfMalluagor's use oftha Property becomes a uoncnnrorming use under ally
yt++,to: Il...,Wnil, Mmivagm 'hall lam C-1.e lir permit alien use it. lie discull imied or abandoned without the prlor written cmisem of I cmier.
htnr lgagor will IIIIIII.d1.Ialy I....villa Lender with wdliet1 mince ur a.ly proposed Ch-1ge1 In file zoning pi'uvl.11ms or prlvale covc,latrta offecling flit
Plot...ly.
11. CONDEMNA'T'ION. Mortgagor shall i111111C11141C1y provide Lender will written nnlice of ally actual or Ihre4lened coadanuulion or amine..
Jooein pfc.—ding petaiuing to tLa i'ngia+ly. Allmonies payable Int Mmigagor from such cuudennaliou or laking are hereby assisned Io Lender
and $hall I'd tllolollell lir.l to IIIe ptlymem of Lem1er's ■Iloraey.' Nev, legal expelxas slid 1n1.*r costs (includi1&g appraisal fees) III eorlllecllon Wldl lite
unlJemmrti..n lir C,id-w domain proecedings and then, at the opllun of LenJar, In Ilia payment of Ilia Ohiigulions or Ilia restoration or repair(if Ilia
I'll op.rl y.
12. LENDER'S IIIGIIT I'O COMMENCE Olt OFFEND I.RGALACTIONS. Mortgagor shall iminciliulely proviJa Lender With wriun nnlice of any
ucluol or threat-led sedum, Buil,lir other pro.eeding all'ecting the Proparly. Mortgagor hereby appoints Lemler as its anomcy-in-fila In commerce,
inmlvens in,sill Jcld.ml such aeionx, aril., lir other legal proceedings and Io compromise lir settle any claim lir controversy peituiniug theraoo.
Lender shall nal be liable to hlullgugor ll.r pity achilia, error,mislake, omission or delay pcnandng to Ibe actions described ill this paragraph lir any
ba congas resoling Ihcrcfinnl. Nothing cnllt.11led hCrein will prevent Lender front laking IIIe actions described Ill Itis paragraph Ill its own 114111C.
13. INDEMNIFICATION.Lender shall nut assume lir Ile rcapomilde for ilia performance of oily of MmIg.gor's nbligalions Witt respect las the
Plupely uudcr ally circmulslunccs. Mmivagor shall immediately provide Lender will weiltnl nnlice of-rd iudcnmily and hull Lender and its
alm,holders, dlrec mrs, ollicers.CIIIIdnytes and aganls halmless from all Claillls, t1amoses, liabilities (nlchlding ollorllays' fees still legal expelmes),
causes of Belton, aclinn., soils and oilier legal proceedings (eamudulively "Claillls")pertaining las ilia Properly (iuchiding, bill not limiled lo,those
iavulvlllg ll.culchm. h1 YlelI41Y). Mollubuor, upon ilia relplwi of Leoler, shall hire legal conuael to defend I.ender I'nnn 11101 Claims, slid pay Ilia
wtomcys' kcs, legal expenses slid other crisis Incurred in cmuleclioit therewith, ht ilia all--live, Lender shall L. Cmilled to employ its own legal
cull..sal In daNnd such Claims at Mongugnr's Cost. Mnmgagoe's obligation to indennify Lender under Ibis paragraph 01.11 surviva Ill* terminalis',
el,aso,or fm.elu.m't of this Mortgage.
Id. 'FAXES AND ASSRSSMI,'NTS. Mu igugor $h.11 pay all taxes alul ais.m. ax relat..g In Ibe 11n1wny when due and itiunediulely provide
Lester evidence of 1'.ynmw ill'seal.. Opus 11.0 mp-1 of Lender. Mortgagor shill Jcposil Willi Lender Cecil m o mh line-Iweltlh (1/12) ill'Ilia
eslimawd nuuual immAne. premium, taxes and aasn.sm*tib petaining Ili Ilia Prolmly. So Ions as Ih*ra is ori dafnull, Illese aromas $hull Ile
alopfcd to Ilia payrnell of lux.., 0asessli,al.Is wid Illsmance as r ilidred oil the Prnpelty. Ill the everll rtl JC1111a11, Lander $fall have ilia rlglll,a1 Its
,it, opllml, h1 Utility 11,0 licads sit tell Ill pay ally axe. or■gallist Ilia OLligaii.m. Any limns applied may, at Lender's (thiol, Le applied In reverse
ord4r otl6c due Jul,Ibcrcof.
15. INSPECTION OF PROI'balTY,1100KS, ItECORDS AND REPORTS. Momgugor shall allow Ixnd<r lir its aganls to examine still inspect the
P,opaaly and exonine, impact and n.k. eopie. of IvIc,agagur's bunks and stun[. penuiuing las the Plopelty liom lin. to linin. Monsagur $half
e any ussioto— requited by Lender lioe rhes. pull ses. All of the sigualnres and inlinnetiun conluinct in Milllgagor's hooks and records
e geuJne, im" aecuraa and eouydete in all respects. Mallsoli shall ..ala ilia exislence of Leudsl'o b-sefieiul interest in its books slid
r pulniuing to Ili. Prnpeny. AJdilionally, Mortgagor .hull report, in a Porn $alisf.cwry In Lends r, lid, iutionnnlinn as Lender may request
sling hlollgngor's 11n- ittl eonditi..ti lir 111* Property. 'Ilia infonn.thnn 'hall Le Cor amch periods, $hull «Ilea Mongagor's recnl Js m such little,
and shalt Ilia randa.d will such frephaney as Lender may Jaignale. All Inlhn ilihm rumishaJ Ly MmIpgor m LenJer shall lie toile, acnlralc -lid
cungdele in all rap<cu,and signed Ly Mo igol;-if Loader reque.ta.
P.0 las
• 16, LSTOITEL CIt:ICHFICA11:S. Mild it Ica (III)Jays afler city rcquesl by Lender,Mot IVagor shall deliver to Lender,or any Intended Irausrclet of
Lender's rights will.respccl lit the Uldigulions, a sigocJ Still ncknowledgeJ slnleaenl Specifytug: (n)de oolatoodiog balance mr the Oblugxtouu;
A ad (b)whclbcr hi,lgngor I sses.ag ally claims, Jelmlses, sd-oats or cuunlerelainls will)tcspccl lit the ULligatiuus And, if sit, the oature til suds A
cloin S. Jefeoscs, 6,1-offs or cnoatarchiu.s. Mollgngor will he conclusively bound by ally.raprc5mttalioll that Lender slay snake Ill 11 intenled j
tuius(arec will,tcspccl to Ihese loollss.in Ilia event Ihul h1oorngor fill(&it,provide if,.squealed sinlemcul in a timely mnnncr. /eL
17. E'Vp:N'IS OF IYETAULT. An lived of I)cl'mll shall occur undcr.Il.is h)urlgnge in the evcul dill Mollgngor, IIoIIoWer of MIX guarnalur_olf .
Obligation: Ally
• (n) Guildto pity ally Oblignliu I lit Lender when due; .• - •. ..
(b) tails to pcllioul Ally ULligmiun us breaches ally wauanly or covenaol lit Under cuntnincd in Ibis bLplgngc tit ally Saber prescm or IilUrre
Ageeolcol;
(e) Jesnoyn,loses or Jnnhnges Ilia hopelly in ally tnnletial«spec(hr Subjects[lie hopclly lit scizue,cunlisenlion,or cunde'snmion;
(J) seeks to revoke.Ictminale ur ntliclwisc lindl its liabilily wider ally guntawy lit Lent er;
(c) Jics, becomes legally incompelcul, is dissolved or Icroli11Aleal, becouea insol-Ill, wakes sit assignment for ilia benelil of crcdilors, fails lit
pay Jcbls us they I—...lie Jut, lilts n pcliliou uod.r the fcdmnl bankwplcy laws, les an io—1 o Lary pctilion in bookrlquny tiled in which
Muogagur,Ilolrower or any guataalur is unwed,tar Lar prol.elly Inketr under ally wl'lt or process of etintl;
(1) Allows goods to be used,Itnnspullell or stilted nn the Properly,Ilse possession,Iraitapmlmiun,its time of which,is illegal;
(g) olluws Ally pally other Ihnn hI lgngur or Borrower lit asunuc or uudcrlake any Obligation without Ilia wducn cooscnl of Leodar;or
(b) causes Leader lit deem itself iosccuw due to a significant decline in the value of lite Prlgaely; or Lenoler, ill good luilh, fill ally resin's
believes ilia[Ills prospect of pnywcol or pal fill ulmec is iulpait'd.
H. I(ICIITSOF LENDER ON I'VI-NT01'DEFAULT.Upuu the occurrence or an Eve,I of 1) fault folder this Murigngc, I.utticr shall he entitled Ill
x crcise one or mare of the following rennedies without notice or Jenunnl(exccpl as roquhct]by law): -
s� (u) to declare Ills Oblignliuus i onledialcly due and payable it.full,such acceleration alkali he ouluuelic Rud inuuedinle if[Ile Evenl of Uefnull is
a filing under Ile Bankruptcy Cola;
(b) In collect lite oulslandiug Obligelioils Willi ur without resouliug lit judicial process;
(c) to requite Mollgngor la deliver gild ueke available lit Lender lily persnital properly or Chattels conslilutiog Ilse Pngtely At a place
IcssonSJy euuvellicul lit Mortgagor mill Leader;
(J) to enter upon anJ take possession of Ills Property will Ili Applying (tr or ubinining Ibc mppuintnlcnl life receiver slid, at Lender's option, to
s{quliut A receiver wilhoul boot, without fail bringing soil u I lite Obligations and wilhoul ulhmwise nlecling Arty .Inittory con liliuos rcg..ding
receivers,it being iolutdcd Ihnn Lcodcr shall have this contractual right to nppo(nt A receiver;
(c) lit eugdny a umnagiug Sgmnt of Ilse Properly still Irl Ilia same, in Ilse statue of LeuJer or in the llama of Multgogur, slid receive the reals,
illcitnes, issues and ptufils Of Ilse Ptupetly &lid apply Ile settle, eller paywcat of SII accessary charges slid expenses, cut accunn of Ibe
Obligations;
(Q lit pay Ally ruou In Ally fotnt or manner dceued expcJieul by Lender to prulect lite security of dda Murlgnge or Io cute ally Jefoull other than
paymeul of interest or principal oil Ilia Obligations;
(g) to forcclose[Ills Murlgnge;
(h)Its scl-off Mollsagor's Obligations against lily nmomlts owed Mollgngor by Lender incl uliug, but nal limited tit, nfuuics, inslnnuele, And
deposit Aceuunls ueinlaiued will,LeuJer or ally curleutly cx41log or liwnc affiliate of Lender;And
(()It,exercise all ollter lights available to Lender under ally other wfillco npecoenl or mlipllcable law.
I.eulcr's .ighu are cuuutsrive gulf uey be exercised logcllier, separAlely, atul In any order. lit the event hist LeuJer institutes au acliou sacking Ilia
- «covery u(ally of die Ihuperty by way of a srejmYgolml rel edy in ao action Against Murlgagur, hlollgagur waives the posting of ally band which
migbl uVerwi.e be mquh.d. La oder or I—I,a,is Yokels[
nary I (0.8s. the hopely al any ale. 'Ib. Ptupetly or any loot llereof may he sold in
tine licit, or ill such pascals, uuitucr or order As Lcudar in its sole discrctiun rosy elect, Sud one or liters exercises of the power herein grAulcJ shill
ani extinguish or exhduri the I War unless Ilse colirc 1'ruperly is sold or(he OLligalium Are paid in full.
19. LEASE1101,I)PROVISIONS.
(a) bluogagur ■,,frees that Muogagor will liml
cly perfurlu all obligations or Mogagor under the Lesse sod dim it will ool Takeo
Or mit In take any
Action which wcause a default thereunder or Ilial will,notice ur oiler ilia passage of tittle, or both, would be a defoull thereunder. Mullgagor
ngrcca Ilial it will prourplly utility 1-coder in wrhing of any default by Mnagagor under Ibe Leese and That it will prloopdy send lit the LeuJer ally
notice ('ober Il1atl on a regular pain lie basic for Ili ilhly rent payoscols) from the Landlord under [Ile Lease, Including guy uulice uotiug ur
claiwiug ally dcfo If by like Mullgagor titular III.Lease.
(b) I.C.O.,.lull bout the ri�ht Ill cure any d.[ 11 undcr list Lease widsio ilia line permitted in Ilia lens. and All sinus Advanced Ibcrtby shall le
uuedialcly due nal pay.14, wish inrereat thertou at Ile lower of Ibe higheat rale JesctibeJ lit any Obligation or[lie highest rale mloweJ by law
tilI[Ie date of payment until ilia dale of rcLuLurscmcnl ell shall,lugedes Willi&licit interest,hcclotic a pail of Ibc Obligations.
') In case of ill Cvcnl of Ucfaull under I'Antgrnph 17,in addition to ally other tights mitt] reaedics available, Leader ulny make fill or lullial
payments of rout due under Ilse Leos-, perfonu ally Other obligalio is of Mutlgsgor under Ilio Lease still porchuase, Jisclkargc. connpt ouise, or
will: do, Lease. Ailnunlics paid fur any of Ibe puposes herein nulhotizcd slid all expenses paid or incurred in elouecrion therewith, including
allorleya' fees, to Ilia exl.itl perloilled by npplicnble IAW. Shell be SO much ■JJifiounl inJeblednc.A secured bcleby, mud sIlnll become
ium:nlinely due stall payALle without antics stall will iularesl Ilia sun. loacliun of Lender shall never be cuosiJereJ As a waiver of ally right
Acca sing lit it on accuuitl of ally default on Ile pan of Mullgagor.
(J) Any Jefmdl On the pail of Murtgngor undcr IIIc Lease hhalf constitute a Jefoull undcr this Murlgnge olid Ibe Obligaliuus sccurctl hereby still
shall Solids the Leader to exercise any auto all tights Rud Icuedics given hereuodcr.
(c) Ahulgngur will nut amend or codify the Lance widuml lite prior wlillcu consmn of L aildar.
216 h1l ItUll OI'FE IN LEASEIIOLD ESIWIT, In the event that hluogagor acquires ilia fee title Or ally olllcr estate, title of ineresl ill the I"voliscs
covcreJ by the Least". this Murlgnge shall Aunch Ill Sud cover null lie a hint upon Ilia fee tide ur such Miter estate Ao ncgoi,od &lid such fee tide or
other esual:shall,Will I fotLer as.iguntetl,gram or cmuveynoce become euJ be&Object lit lite licit Or enculuLeed by this Murlgnge.
21. SE('URITY INTEREST UNDER'I'llil UNIFORM COMAIERCIALCOQE. 'this Mutlgage shill be coosiJcicd a finnnclug statement And n lixwrc
filing pususol lit tle pr.'Asiti is of the Uoifonn Connnereial Code (as adopted by file stale where IIIc Properly is located) cuveriug fixtures, chattels
slid Ali,les u(persouab properly now owned tit hclesller allached to or la he itself in cufneclion Willi Ibe hollerly logclher will, arty null all
teplacnueols Ibereof still additions thereto Ube 'Chnllels'),mill hlutgagor hereby grouts LenJcr a security iutaesl ill such Chattels. 'I lie dcblor is
Ile hlu.Igagor descoibcd above. 'Ilia secured lady Is Ilia Lcuder dcscrilrel Shove. Upon denesul, Mollgngor sltnlh lunke, execute still detivcr such
security agrenucnls (as shell erul Is delisted in.nil Uuifsnn Commercial Cute) as LcuJer at any line only decal ucccssAry or proper or Iequiae w
gum( Its 1.codat a pit fccicJ .eculity interest in the Chattels, slid upon hlutgngor'& failure to Jo so, LeuJer is Rod ir.Cd to sigo ally such ope.oreul
As Ilia n;enl of bl it.lgngur.'Muogagur hereby authoaizes I.elltlef lit file fumuchlg slalenueuts (as .licit Katal is Jcfiucd in sled 1,11,11-tit Cuuuucreill
Code) wits respect to the Chnucls. ■I ally lime, wilhoul lite &igunutre Of Mullgagor. Mullgagor will,however, ■1 Any lilac upon request of Lcodar,
- sign such financing slalenets. Mullgagor will pay all filing fees for the filing of such financing mnicolens still fur the refiling.hereof At tine liuues
Icquircd, in Ibc opinion of Ixndcr, by said Uuillom Conunercinl Code. Ift6e lien It(lbl&Mortgage is sit Ljccl to ally 'slily nVI-111m41 covering the
Chnucls, then In the eveill of ally Jefaull under this hluttgnge, all the right, title still itlercsl of Mnngagor hu mid Ill ally Rud all of the Chnucls is
bctchy Issigned to LenJcr,together will)Ilse bellelil of any Jeposils to pnyulenls now or heeance nkadc ILctcof by MoJgngur or Ile predecessors tit
successo-s ill title"I'M lgngur ill the 1luperly.
22. l(VIMII(IIISEhIEN'I'Olc AMOUN'T'S EXVENDED Ill'LENDER. Lcudcr,at Lclu e'■ option, may expand f
fouls (including all mays' lets nod legal
<xpeucs) lit pe linty any cel rcquircJ to Le lakco Ly hlonlgngor or lit excleise ally right or reuedy of Lcudcr under this Murlgnge. Upon Jarmo 1.
Muogagur shall iuuediolchy rciuuburse Lauder fur SII much Snmuols exliended by Lander together will,interest Iberaoil at the lower of the Ligherl
dcsuib'd in any Obligaliun or Ilia highest sale allowed by law Gook de dale of payment until Ibe data of rein.butscneul. These guile alkali be
Icj ill the definilioll If 011igaliu is herein Rod 511411 be secured by Ile beneficial iuercal gaited bcteio. If Ibe Obligations ate paid oiler ilia
mill; of publicmiou of owice of sole, as herein Orlavfded, or in Ibe event L.o,r &limit,al its sole oplio I, parluil Moutrasor In pay ally earl of Ibe
;.tions alto the bcgiuoing of I blicaliun or ounce itf Asia, as herein purvi&d, Ihen, Mulgngur Sall pay on dcwaud all expense. io"o—I by
!Tar in conuecliu I with sail publication, including Lentis reassemble alltinsaya' ICCs still this Mo igage shall be .aaodly fur all such -pauses
ad N.S.
23. AI't'LICA•IIONOF PAYI11ENUS. All psyolcab load. by or On bahalf of Mm lgnggtir uey be applied ngaiosl the nnunntl. pnid by I..udcr
(imaudiog muueys' fats And Iegnh expetscs) ill cotitiecliun Willi the c Ie ise Of its sill 1b or lameJics JasCaib ll in Ibis Mutlgage And Ihcu Irl the
p.ymcul of Ibe Ietininiug Obligalious in whnlever older Lander chuusea.
I.I. POWER OF A170IINEY.Mollgngor basally nppuiuls Louder as its attoney-im feel to endorse Mosippor's name on all ioAtrlmneuts mill otter
docuuews pelniniog lit the Obligaliitns lir htullgav, In addilinn, LtuJer shall be codileJ, bac uol requacd, to putooh ally nc1iun lir execolc any
be taken or executed by Al
docuuleot Icquircd ru ;oIlpfor under this Mutlgage. Lendel'a I—ro..unuce of such a ur execution of such
�lucumems 611.11 nal rclievo Mougagor (root ally Obligaww or cure ally Jefaull uuJer this Mutlgage. All powers of suurney Jescsihed in this
&,,
ahs coupled Willi an Imetal dud ale inevocuble.
UCA'I'ION Ole HINDER. Lander Alknll he tuLnsgnleJ to the rights of the holder of ally previous licit, seciaucrosl lir encumbrmnce
Willi flouts allvnncel by Lcudcr rcgnalf.gs of whether Ihese Iiem,Acculily iolcrese or cher eucuwLrnocea luaus liana ralensed of record.
P• s„
26. COLLEC'I'JON COSTS. 11 Ie"dcr Lifts All $Runtey las ASSISI in C"Ilecling any oinnu"I dua or enforcing ally lighl of ruttcdy 11141dr Ibis If
lharower agrees Io July Luultr'a temsounble allonoey's rues&fill cullccliutt Costa to the exlcul Pennilled by law.
27. PARTIA1.11FIXASI:. lender jolly release Ila interest in a portion sordid Ropeny by executing told recording one or jure partial releases Willi
eflecfissg its tmcresl in the runt"ining porion Oh Ihd I'ropetty. Noshing herein shall ba deenm" in obligale Luulcr sot rete AAe any of its jutnresl in
Pn Ir ly, (excepl as tcyuired under I'augraph 35),nor shall !.ender ha uhlig.[,d '10 re lepsC sky pall of Ilse Propeny if Nloltgagor is in dafuuls on,
this IJuogaga.
2s. 11,I0DIVICATIONAND IVAIVEII.The ntO"ificmliun or waiver of oily of Mongagilr's Obligaliois,or Lenilcr's rights under Ihis Nhan"gage ttmsl
cunwined in a wfitiag sisueJ by Lender. Lander cony perfotnl any of Ilorrower's sot Nlortgdgur'a Oh ligAlijus,.delay,'or fail to exercise aioy of its sig
or accept poyumutsliuw MoSlrtgnpor lir anyone ether Ilion Mortgagor wiWouf causing a waiver o [hose 01 Iiyalium or rights. A waiver on 1
oc siuu ,I If soul cnsBtltm a wveoto
r .'or Other occasion. Mu.1ppl or flhligalions un-ler Mngu
er [lots oge shall not he affucful If ln
eder tondnd
• cumluowises, cxchoonges, lailm to exercise, rupun or rel-sits ally of Ilia Obllgotiuns belonging w any hlongagor, Borrower or third patty or any
its nghls Against ally Ainnsasor, Ilorruwer lir ldtsl pally or any of ilia Propdny. Leudor'm 1'Sllard las insist upon ■II'Ic, pefrorulallce of any sol'i
OldigmiouI'ball not he dctoudd a waiver,still!.ender Shoff have Ilse righl of any little Ihcremller Ill insist upon slficl peffunnauce.
29, SIICCESSOItS AND ASSIGNS. lids Nlullgage Shill he binding upon and Inure fu Iia hencf[t or Mongagnr still Lcudcr and (heir rcspceii"
succ4sSols,aaignx,111rstecs,r4ccivcrs,administraturs,personal representatives,legatees moll devisees.
311, NOTICF'S. L'xcepl am olberwise required by law,any notice or nlhcr enlnlnunicaliun to be provided under this MonFAge shall be in writing a
sent It,Iia plod's al the oddrossas "escrihcd In this Nlongage or such ulher address as the patties may designate in writing front lime fu lime. P
such notice sn given Slid still by Drool class muil,Ilos,apt: prepaid, shall he deundd given lite costlier of filled (3)days miler such uoltee is sen,
what received by the person lO whlun such entice is hems given.
31. SI':\'ha1AlIILI'I'1'.Whcnever possible, each provision of Ihis Mnngage dull he interilrcted ,o he valid And nofurceable under Applicable sl ii
Irony provision sol Ibis hluugagc violates file low or is unulfosceuhle,she rest of this MurtsAse shall continue to he valid and enrurceabld.
32. APPLICABLE LAW.This Mortgage shill he gnveroell by tike laws of Ilse stale where the Propeny Is located. Unless applic ALle law
otherwise,Nfurtgagnr consdnls no Ilia jluisdietiun old venue of any coal[selected by I.euder,in its sole discretion,localed in IhAI 61414.
33. NO TIMID PA11'1'YRIGli'CS.No person Is or shall he a Illird-partyy benericimry orany provision "fthe Mnngage. Allprovislons joie Mongase
flvor of Lender are,.Mended solidly lilr file Ienelit of Lender, slid no Ihird ploy slosh he eulided tot asswne or expect 111to Lender will waive lir copses
m[I'd ..I lifcattuu ltf any provision of lie Mnngage, in Leader's suit discrellon.
3•I. VRESMIVATIONOV LIABI1.ITIAND PRIORITY.Wilhnm alfeeting Ilia liability of Dorrower, hfongagor, or any guaremor of the Ohliguliuns,
any other pdrsnn (except a parson expressly released ill writing)fur the paynoenl Alto[ pelf srmanco of the Obligations, and wilhnul sffecUnu Ilia rigl,
sol Leu ler will, «spec to any hoperly not expressly released ill wniuiug, slid wilhnul Initial.o. in any way ,he ciurily of this Monguge over fl
intcraaf orally person aaquircd or lirsl evidenced by recording subsequenl to Ilia recording of t lis Mongnge. Lem er may, either before or Aller B
ltuuuliuy of slid Obligations, ■std wilhnul nnlice or consent: release ally person liable for paynoenl or perflrmance of all or any pan of the Obligalion!
make oily agreemnol Alfeting the faints of payniettl lir perlbnnanca of All or any pan of rhe OLligafiiins; exercise or refrsin from exercising or wait
tory rt4111 or re"la"y that Lender nay have under this Monguge; ■ccdp, ■ddifionol security of oily Lind for ally of Ills Obligations; or release
little wise tidal wild any real lir personal prupclty securing ilia Obliga,lottS. Aly person acquiring or«cording evidence of any interest of any nmol
in Iia Isropuly 41.01 he dcuned, by acquiiins such imer4sf or recording Ally evidence thereof, tO have consented to all lir any nlch actions 1.
' Lender.
35. DEI'EASANCE. Upon the payusenl still perflrnuncd in fill of all of Ilia OLliga[ions, Lender will execute and deliver to Mongagnr Illusr
duemodnls diol only be require"do release lo[$Mortgage of record. Mongagnr shall be rcmponsiblc to pay any costa orrecordmlion.
36. MISCELLANEOUS.Mttrtgagor and Lender ayyree Ilial little is of ilia essence. Mortgagor waives precen,menl, depend for payment, notice c
dishonor "fill proles[ cxcelIn as rmplirdd by law. Allrarorduces all Monsagor in this Nlmtgage Shall inCluda all pdaonm signing below. Iflhere is neon
Bran sone Nlrufgagnq Ihei1. 01 juafio"S shop be joint slid several. This Mortgagd represenlS 1110 conlplCle in,egrAled muientending IIa1Wae11
Nlungagur$1141(ender pensioing w the 14rlllS and conditions hereof.
37. MEDIATION.II?TII1SRIOUTGACESVCURIS AN ACRICULTURAILOAN,MORTGAGOR AND LENDER\VAIVEANYIUC11l'EITUERPART
MAY IIAVE TO MEDIATION TINDER TlIE ARKANSAS P'Althl MEDIATION ACI'AND APPLICADIX LAW.
39. APPLICATIONOle FORECLOSURE PROCEEDS. The proceeds Goin Ilia foreclosure of this Mortgage and floe sale of the Property shAll br
Applied in the Following manned frill,to the paymenl orally hd$nee owed liar colul costa, then to cmmidssions, if any,paid to Iia county clerk;IJoe,,
In reimburse Lender fur Jim expenses and coals of Iia male or in connectins Willi securing, preserving and maintaining ilia Propeny, seeking and
oh14iuing ilia appuiulnlnnl of a receiver for Ilia Propeny, (including, but not llmifed to,attorney's teem, legal expenses, filing fees, notifcadon costs
And Appraisal dosis);Ihml to 11.4 paynlull of the Obligations;still than to oily third party as provided by low.
39. JURY TRIALWAIVCIl.LENDER AND NIOII'1'CACORHEREBY\VAIVI+ANYRICII'I''!'QTIIIALDYJURY 1NANYC1V11ACl'IONARISIN(
- •
OF,(III BASED UPON,TII1S MORTGAGE.
asp
JQ. AIIDi'i'IONAL'I'1(ItA1S.
Mongagnr acknowledges ilia[ Mongagor has res", understands, and agrees to the Icons and conditions of Ihis Mortgage, an" acknowledges receipt
bran exile,copy of tome.
Doled Ihim 25th ,my of October, 2001
nlnnro ( )u: LBckho s , C. Nlnu'rononR: Lockhou SOBA, L.L.C.
B B
Lisa Pa mer, Memuer Ranify Tmer, Member
1,1011VIAGOR: :MORT01AGOjIlt /` 5>JJeff Davi ember Kathy Davi Member
1,104 1(iACIOR: NIORTGA00I1:
rrGAC,0It:`�--`T-- MOlil'(IAOOIt:
.4
Stale of Alkaosas
Gtuu.ly of
On this tm dty of befure tike, ' the
undersigned oliicer,persondly sppcared _
khnhwti Iu nm
(or ndx6aurily proven) l0 be the perton(a) whore tianc(t) subscribed I's the,
C'Ilio inslmou iI old ackuowgeJ ledThal Le executed the S41110fihr tile purposes rposes(herein
contained.
In witucu whercnf I bcn:uuos act my band and official seal.
TWO of Officer
d Arkansas
of Independence.
On this Ilm dry of October, 2001 bcrurc tile, the wlJersigned
a t erose ves mP
Iliccr, enwull a IurcJ Lisa Palmer. Rand Palmer Jeff Davis 6 � tubers
�QQ Y P w ro cknow a geJ 7hmuCA w ua the of
Loc SOBA, L.L.C. a to r•mm�an� t},uW (bet cis nrcll member8 ,Leine audwrizeJ
h to Ju,executed Ilio furegoins III1IMSOC111 fur Ills: puhputcs tberclu cou"bhed, by sigolos the uuue of tle limited liability xUpommatlt:as
members company
lu wimcn whereof 1 hercunlu tel my hand u1J uflielal ted.
Commission Expires: Notary Public
`��111111111r���� Title of Officer
/C
C�.'' •.1����
N® y Z
��,�•PUBLIC ,:
P.
�u
CHEMIX, A:
�rcu ufthe propelty is: 150 Riverbank Road, Batesville, AR 72501
The rollowitig described real property hroaled In Ill@ Cuunly of Independence ,State air Arkansas
-- SEE ATTACHED "EXHIBIT A" FOR LEGAL. DESCRIPTION —
EASE DESCRIBED AS FOLLOWS:
ease dated August 13, 1999, by and between the City of Batesville, as Lessor, and
ockhouse, Inc., as Lessee, and further assigned to Lockhouse SOBA, L.L.C., assigning
Ill interest in the previous lease shown recorded in Lease and Contract Record Book
'37" at Pages 51-62.
_
-- SEE ATTACHED "EXHIBIT A" FOR LEGAL DESCRIPTION -
- SCIl1;M,?Ul,is"C
ACCEPTANCE.OF 1.1?SSO1l
This acccplamce is executedIlli, th day ofOctober, 2001 ,by llm utidcrsigtied o 1_cssmf under the Lease
ksciii—I on Schedule A.
I.I.essur ngmea amt chuucn s las Alurlgagor's gran) slid mssigmmmN las Lender under lilt& hlohlgags of Mussg.gur's bacresl as lewnl under the
Lease. Lessor quem.11 dial IL. Lease Is eulmilly v.lid still elifihrceable aceurdilig las Its Icnms and drat NlorlgAgor Is not presenlly In default under
the Lense. Lessor Clotho reprosenls Ilial it is the owner of ILe leased premises asml has full power still aulhor ily to soler Into This Agreentent.
7.Lessor Agrees dill during the Icrnh of Ibis bturlgagc, mu uhodilicaliuns las or lerminnliun of ilia Lease will lie undcmken without first ohlaiuiug the
whillslh cutsaIs of Lcod,f.
3.In lite event of hImlgagm's defuull miller the Lease, Lessor agrees to uolify Lender of auch Jefuull in willing at least sixty(60)Joys prior to laking
acliun las cuforcc any of Lessor's rights under Ilse Lease. D mug Ibis sixty-Joy period, Lender dull Lave ILe nptmn la cure the Jefaull or lake such
Mist acliun as Islay Le ticccssnry to Pmlecl Lender's seculily lulcresl LI dm Lease still any ChNlclt or Multgagur Buster Ilhis Mnrlgage or airy,other
agrecutctil belween Mmlgngor slid lender.
4.I.cssor agrees las subuhdiode illy lien it tiny Lave or subsequently seqults upon arly Cllallcl, of Mudgagor which MAY be subject las Illy security
itBehcsl of Lender uWil such lime as Ilhis Mortgage Is IermhisialeJ.
5.Lessor acknuwleJges dial it hu slid will benefit as a result of Ilia ftnstroial aeconunuJaions extended las Mortgagor by Lender and dial Lender
will rely osi ILe m.ceplauce.
�suit; City of/Byajtesv 4�le/f 1.1!ssull
oe H. Biard, Mayor
Shale of Arkamtat
Cuuwy of.�-------------------
01, this Ilia —_hlay of Lcfuhe site, the
umJcuigneJ ufliccf,personally slgtcsrcd _
known las site (is(satisfnclodly pnsvuh) las be the pennn(s) whose uamla(s) subscribed to she
wilhin Imxlnuneul slid Acknuwlmlgsll that ____—ha _—executed Ilia sante for Iiia 11111110868lhereht coulaincJ.
In wimcss whcrca I Lcretimom scl lily Lend mild atheist seat.
'fide of officer
;tale of Atkansse
Independence
OCCObet hefur. uta, _Ilia undersl•h
Oil ibis ILe _—_._—__dny of_.__._�—._.--., — 6
_Joe H_Biard Mayor
' Ili:es, .........lly gytesleJ — ,who acknowledged himself las be 1Le
the Cit of of Batesville — a municipality still dial he, as such officer being .uuhohi.aaw
s
1.Jo, cxccuted it.. fmrcgoimg loslrununl fur Ilia pugsuses Ihcreln coulabled, by signbtg Ili: untie of Ilia municipality by himself as
----may°Y-----------
In wihhea whcscuf I hueunlu act illy IuuJ null ullicial seal.`
\\11111111f//i�
\\N N)Cy�����,
My Commission Expires:
is
Notary Public
_ . r �t-1.of 0frlc.f
p as
a
( DOCUMENT WAS PREVAluIll r: WX t ni. s ank, P. 0. Box 4327, Batesville, AR 72503-4327
•r !a.,..a•• PJB
T
APIT'II RECORDING RETURN TO I.IiNI1Glt A'1'1� ttiSCItII11i0 MIME.
EXHIBIT"A"TO MORTGAGE
(LOCKHOUSE S.O.B.A., LLC )
A Leasehold interest in the following described lands:
A tract of land being a part of the NE 1/4 of Section 21, Township 13 North, Range 6 West in the
City of Batesville,Independence County,Arkansas, more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet
to the point of beginning; thence North 64 degrees 05 minutes 30 seconds East, 138.85 feet to the
Nominal South edge of an asphalt road; thence along said nominal South edge the following;
South 65 degrees 57 minutes 18 seconds East, 11.71 feet; South 47 degrees 01 minutes 15 seconds
East,20.33 feet;along a curve to the left said curve having a long chord bearing of South 77
degrees 21 minutes 21 seconds East a long chord distance of 51.81 feet; North 72 degrees 18
minutes 32 seconds East, 14.86 feet; along a curve to the right said curve having a long chord
bearing of South 72 degrees 27 minutes 30 seconds East a long chord distance of 15.35 feet; South
37 degrees 13 minutes 33 seconds East, 72.58 feet; South 12 degrees 31 minutes 24 seconds East,
12.99 feet to the nominal North edge of a crushed stone driveway thence along said nominal North
edge the following; South 37 degrees 11 minutes 19 seconds West, 33.77 feet; South 60 degrees
16 minutes 20 seconds West, 25.53 feet; South 12 degrees 44 minutes 30 seconds West, 56.03
feet; South 33 degrees 31 minutes 55 seconds West,21.12 feet; thence South 59 degrees 40
minutes 33 seconds West, 97.91 feet to the nominal East face of a rock wall; thence North 32
degrees 05 minutes 47 seconds West along said nominal East face and along the extension of said
east face, 237.80 feet to the point of beginning. Containing 0.95 acres, more or less, subject to
any and all easements.
Also the following two road access easements:
Nl Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21, Township 13 North, Range 6 West in the
City of Batesville, Independence County, Arkansas, more particularly described as follows;
i Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
7 seconds West, 1337.85 feet; thence South 00 d6grees 00 minutes 00 seconds West, 1726.74 feet;
thence North 64 degrees 05 minutes 30 seconds East,28.14 feet to the point of beginning; thence
North 43 degrees 31 minutes 54 seconds West, 11.67 feet to the nominal South edge of an asphalt
road;thence along said nominal South edge the following; North 65 degrees 33 minutes 34
seconds East,96.81 feet;along a curve to the right said curve having a long chord bearing of
South 89 degrees 34 minutes 33 seconds East a long chord distance of 19.49 feet; thence South 64
degrees 05 minutes 30 seconds West, 110.71 feet to the point of beginning. Containing 0.02
acres, more or less.
#2 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North,Range 6 West in the
City of Batesville,Independence County, Arkansas,more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
r
Page 2 of Exhibit"A"
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1728.74 feet;
thence South 32 degrees 05 minutes 47 seconds East, 237.80 feet; thence North 59 degrees 40
minutes 33 seconds East, 77.10 feet to the point of beginning; thence continue North 59 degrees
40 minutes 33 seconds East, 20.81 feet; thence North 33 degrees 31 minutes 55 seconds East,
21.12 feet;thence North 12 degrees 44 minutes 30 seconds East, 56.03 feet; thence North 60
degrees 16 minutes 20 seconds East,25.53 feet;thence North 37 degrees 11 minutes 19 seconds
East,33.77 feet; thence South 15 degrees 25 minutes 19 seconds East, 18.88 feet; thence South 37
degrees 11 minutes 19 seconds West, 25.37 feet; thence South 60 degrees 16 minutes 20 seconds
West,21.99 feet; thence South 12 degrees 44 minutes 30 seconds West, 52.18 feet; thence South
33 degrees 31 minutes 55 seconds West, 27.36 feet; thence South 59 degrees 40 minutes 33
seconds West,24.29 feet;thence North 30 degrees 19 minutes 27 seconds West, 15.00 feet to the
point of beginning. Containing 0.05 acres, more or less.
C
Lisa lme er
Randy me Member
Jeff Daus mbber
v
Kat Davis ember
CERTIFICATE OF RECORD
STATE.OFARKANSAS �� 2001
COUNTY OF INDEP NDENCE of
Filed for record the1
and recorded In Page
gook Q3� r Circuit Clerk _D,C.
Claudia No> L -
I THIS INSTRUMENT PREPARED BY:
Robert U.Stroud
Attorney at Law
500 Past Main Street,Ste.201
1'.o.Box 2135
Italesville,Alt 72503
187111 773.8350
ASSIGNMENT OF LEASE
KNOW ALL BY THESE PRESENTS:
Lockhouse,Inc., for and in consideration of the sum of TEN&N0/100
DOLLARS ($10.00)and other good and valuable consideration,does hereby transfer set
over and assign unto Lockhouse SOBA,L.L.C.,all of its right,title and interest in and
to that certain Lease Agreement between the City of Batesville, as Lessor,and
Lockhouse, Inc.,as Lessee,dated the 13`h day of August, 1999.
For and in the same consideration,Lockhouse,Inc.,does hereby warrant
that it is compliance with all of the terms of such Lease,that such Lease is not in default,
and that there are no liens and encumbrances against it except for the Collateral
Assignment and Leasehold Mortgage granted by it to First Community Bank which shall
be satisfied by First Community Bank prior to the effective date of this Assignment,
which is November 1,2001. tt�
This Assignment is given without recourse.
DATED this.;�.5 day of October,2001.
LOCKHO , NC.
By: ✓ `
Danny Dozier,PreIdent
ATTEST:
r
C0
'Cathy Dozier,Secretary
ACKNOWLEDGMENT
STATE OF ARKANSAS )
ss.
County of Independence )
On this day,before me,a Notary Public duly commissioned,qualified and
acting,within and for the said County and State,-appeared in person the within named
Danny Dozier and Cathy Dozier,to me personally well known,who stated that they were
the President and Secretary of LOCKHOUSE,INC.,a corporation,and were duly
authorized in their respective capacities to execute the foregoing instrument for and in the
name and behalf of said corporation,and further stated and acknowledged that they had
so signed,executed and delivered said foregoing instrument for the consideration,uses
and purposes therein mentioned and set forth.
IN TESTIMONY WHEREOF,I have hereunto set my hand and official
seal on this, day of October,2001.
Nry
.... ti
�.`.�;• '•�s' Notary Public
V• OTA •.CZ'
— Ay .
My Commission Expires:
'*U000
2
APPROVAI,OF ASSIGNMENT
The City Council of the City of Batesville,Arkansas,on October 9,2001,
��p�i;�noy5
approved the assignment of the Lease referred to hereinabove by a vote for and
against.
Biard,Mayor
• DATE: /D -J5-e, i
ATTEST:
✓.n a , Q
Denise Johnson, ity Clerk
I
i
I
I
3
2�
ACKNOWLEDGMENT
(W
STATE OF ARKANSAS
)ss.
County of Independence )
On this day,before me,a Notary Public duly commissioned, qualified and
acting,within and for the said County and State,-appeared in person the within named
Joe Biard and Denise Johnson,to me personally well known,who stated that they were
the Mayor and City Clerk,respectively,of the CITY OF BATESVILLE,and were
duly authorized in their respective capacities to execute the foregoing instrument for and
in the name and behalf of said City of Batesville,and further stated and acknowledged
that they had so signed,executed and delivered said foregoing instrument for the
consideration, uses and purposes therein mentioned and set forth.
IN TESTIMONY WHEREOF,I have hereunto set my hand and official
seal on this day of October 2001.
`` fV 1Cf�U�i���.
Z NOTARY Notary Puke
My Commission Expires:=_ ;
c PuIWO
"'4n)l iw►� ��`
(W
CERTIFICATE OF RECORD
STATE OF ARKANSAS
COUNTY OF INDEP NN/�DENCE n
Filed for record the 7 of OCL 2001
atM.and recorded in •
Book g Page _
CI@udi bles,Circuit Clerk
D.C.
1.Ma kNu¢•NIIIA.I J M,-ir,un+n„I1 1,--..pd
4
I — � ,:: .:<,.. ...••H--: ' s�*,r�e,,.y,._*..a•fwear....:n:r. a r : .:a -. :.. ,., ,_� .. ,,
44r r 1
After Recordation Return to: FIRST COMMUNITY BANK, 710 ST LOUIS STREET,
P. 0. Box 4327, BATESVILLE, AR 72503-4327
ASSIGNMENT OF TENANT'S
INTEREST IN LEASE
F 309 .
LOCKHOUSE, INC. LOCKHOUSE, INC.
Yxs s ,s i
.R •�.::. ss�` :..11—YD", ...:.s.:'?...AUUR$$S
X.
140 DIXIE STREET, BATESVILLE, AR 140 DIXIE STREET, BATESVILLE, AR
YIDRKfIFIt1ATIDN NO avana,.: ^fFI 6l`IIUNH NO ? '::. PIV¢NI'1 FICA'1'ION NO.'i �< 1 •: ..
71-0828585 71-0828585
"Of!'ICFR1'IIINCII•A1:AMUUNI/ FUNDING) FIA. K 1 p Fk _
]NI¢1rF.yf ItA'f¢ TV ff k Cus-i oh 6n NNa111li¢ :. MIAN NUAIIIIiN
InENflk'IGATION ,._. :. �'- `.CIfEUl7'I.I AIir � . A(.'RI(YAI¢NI' A7 .•. .. .,___„___,,,,.•,_,_„_�_._..—_—._
MRR 9.007 75,000.00 1 04/24/06 09/07/00 3000879
1. ASSIGNMENT. As security fur the payment of IgA promissory nolo or agrcenmul described above and all olller p—enl and future obligalions of
Owner ftQu�r,�wyrOl�l4�,(wlsgl�ieJ•Kfur the swue ur different pllrpuFCS Ihan the luregublg) ,(wKMhcr, the "061i4alions'), Owmcr hereby assigns
to K U 1. i IS N
Ox _ — _ —_— _("Lender") ils
entire bacrest as lessee in and lu the Icase of pranises identirmd below([lie'Lease"):
Lease dated 08/13/1999 helwcen THE CITY OF BATESVILLE _
as Lessor,and Owner,as Lessee, aluog with any modirwatiuns or amcndnerns to the Lease, covering to real plupctly, located in INDEPENDEN7E
County, uwre panicularly described as follows:
Iddress of to proparly is: #50 RIVERSIDE ROAD
BATESVILLE, AR 72501
L
2. COVENANTS AND REPRESENTATIONS. Owner represents that Owner is not in dcfaAl in the performance of Owner's obligations under the
Lease. Owner further represents and covenants that it will continue to comply wilh the provisions of[lie Lease and any ezlcasivas or renewals of Ibc
Lease.
3. N10U1fICATIONSOP LEASE.Owner Agrees that during Ill.Icon of Ibis Agrcemenl Owner will nut nlodily or Icnnivaaf the Lease willwut oblaining
the prior wrinen consent of Leader.
WNER ACKNOWLEDGESTIIATOWNER IIAS READ,UNDERSTANDS,ANDAGREES'1O THETERNIS AND CONDITIONS OF T1 US AGR EENIENTAND 11AS
ECEIVED AN EXACT COPY OF fr.
bled:
wNERj L CKHOU INC. owNElt: LOCKHOUSE, INC.
NY DO7 R,' -PRECaDENT CATHY DOZIER, ECRETARY
Vp� OWNER:
,r
i NNER: OWNER:
i
VNER: OWNER:
1'•re 1 of 7
4. INiFAULTUNU ER LOAN UOCUR I1•:MI;S. In the even of Ally&rit Ly Owner ur Dotrower of ally Oh 1ignliu i to Lender,uuder any promissory note
or luno document, Lender shall hive lite right to enter Ill.Icnsed pt emises wilhuul nolice to Owner or 11-rover mrd take ncliou accessory to pmteet it,
cullAlernl including, hill uul liwilcd In, the lidlusving: (n) reol—c all personal prupelly or removable lixlures or Uwuer which are subject to Lenfler's
security interest; (b)inventory, ndvcrlise and sell upon the lensed premises any personal prr mI , And fixtures ur Owucr which umn be subject to
uiu's sour'1y interest; or (c)taercise Lcuder's riglns its holder or lite Lease And arrange fur I ia subseyucul nssignneni of lite Anse to A third
Acceptable les Lcudcr mid the Assumption of lie liabilities under lite Lease by n third pnrty. hl Ile evert Lender lakes [lie ncliou described
.e, h-undcr shall Gave nu ubligntion to Owner other Ihnn lin ole payment of rent ill Lessor wider the Lense during lite tine Lewder is Actually
cupying the leased premises.
5. I-f-AWINATION.'fhis Agreemenl shall rmunin in fill force And effect until Lender provides Owner wish wsincs,utjtice orlenuinntion.
G. ASSIGNMENT. Owner sBAll nut be cmlitled In nssigm Any or its rights, remedies in Obligations dcscribcd ill this Agreement wilhoul the prior writtcu
consort of Lendcr which may Ire withheld by Lender io its sole discretion. Lender shall he entitled to.assign some or all of its rights And remedies
described in this Agreement without notice to or the prior consent of Owner in Ally manner.
7. RIO III FICA•IIONAN1) WAIVER. The 11 lificnliun or waiver of Ally of Owner's OBlignliuus or Lcoder's rights under.this Agreement must be
cunlniucd in a writing signed by Lender. Lender cony perform Any of Owner's Obligations or delay or fail to exercise ally of its rights without causing a
wniver of those Obligations or ripWs. A waiver on one occasion shall not constitute A waiver un ally other occasion. Owncr's oblp�ationa under this
Agrecunan shall not be affected rf Lcnder nnrends, cungrronrfses, exchmtges, fails to exercise, impairs or rclenses,nny ofibe Obligations Belonging to
ally Uwuer or guarnutor or Any of its rights Against nay Owner,gunranlur or eulluteral.
8. SUCCESSORS AND ASSIGNS. 'Ibis Agreement shall be hinding upon And inure it) Ilse benclit or Uwuer And Lcudcr And their respective
successors,assigns,trustees,receivers, olminisltalurs,personal representatives,legatees,And devisees.
9. NOTICES, Any notice or other cununumication to he provided under (his Agrecimma shall be in wmilimg mud sent to the parties nl the Addresses
described in this Agreement or such other Address as the patties may desigunte in writing from lime to lime by notice heretmuler.
It), SEVERAIIIIATY.Ifnuy provision of this Agrecmcut violates the Inv or is uncufoicenbhe, the rest of le Agrcamud slmll rennin valid.
If. AI'1'LICAIII.ELAW.ILis Agreemenl Shull he governed by the Iowa of the slate of the location of Ile premises. Owner cuusmns to Ilse jurisdiclimr
and venue of Ally coutt located in such stale in the event of nay legal prucetdiug under this Agrecmcut.
12, MISCELLANEOUS. All rerereoces in Owucr in this Agreement shall include nil perilous signing Above. if llere is more than one owner, their
obligations shall Be joint And several. Omser wolves any right les n jury trial Owucr may have under applicnble Ino•. Ibis Agreement And Ally
related docomeols represcol lite cuutplete mud integrated undemanding between Owner mud Lender pulniuing Io Ile terms and coudiliots of Ihuse
docuocnts. This Agrecmcut superxcdcs nod replaces all prior oral conversations And negotiations urUro parties And cony not be auendcd, except in
writing executed by All parties. This Agreement has been executed in several couulerpmis,ally one orwhich nmy be tleeued nn original.
13, ADDITIONAL TERMS:
Slate of Arknnsns
County of .----_----�—
On this ilre day of ,before we, lite undersigned
officer,personally Appeared _—
known to me (or satisfnclorily proven) to be lite persou(s) whose nnme(s) subscribed to (lie within
hiL,I and acknowledged Ilia lie executed the snore for the purposes therein contained•
in wilness whereof 1 hereunto set lily hand nmol orlicial seal.
Title of Officer
State of Arknnsns
County or INDEPENDENCE
On tris fie 24th day or APRIL, 2000 before Ata, LEANN JOHNSON Use wrdcrsigncd
officer,personally appeared DANNY AND CATHY DOZIERwho eckuowledged XAGmnIbU lu be the OFFICERS sf
LOCKHOUSE, INC. �a CORPORATION And IllApliti, ns such OFFICERS being authorized
so to lin, executed (lie foregoing instrument for the purposes therein contained, By signing thCORPORe name or lite •�)Ljby himself As
PRESIDENT AND SECRETARY �P M E+Asp
ooM
In witness whereof I hereunto set my hand And official Beni. v 2
TARY
MY COMMISSION EXPIRES: 11/28/2000 NOTARY PUBLIC PUBLIC
Title of Officer , p
ACCIsi''1'ANL'E OF LI?SSOII COUNT
'Phis ncecpinnce is executed this 24th_day of April, 2000 _ ,by she undersigucd as Lessor under lite Lease described heiciu.
I. Lessor Agrees mud consents les lite assignment to Lntder or Owner's interest as tenant under Ilia Lease mud represents Ibal (lie Lease is currently
valid and cufurcenble nccurding to its terms And IhAI Owner is not presently in dcroull undcr Ibe Lease. Lessor further represcuis stmt it is lite uwoer of
the Icnsed premises mod has full power mid Authority to enter into this Agreement. Lessor Agrees les Allow Lender to occupy file premises And
.mise uts In n ucw tenant chosen by Lcudcr if rensunably mccepinble to Lessur.
2. Lessor agrccs Ilua duriug Ibe lean of lite ase;p u,ot or Is. Lease by Owner to Lendcr no modifications or iernsinntion or the Lcase will be--`
ouderhrkur widruul first obiniuing lire written consent of Lender. s
7. In Ibe even or Owner's deraull uuder Ibe Lease, Lessur agrees 1.uolify Leader if such defnull in writing nl lenss sixty(60)days prior les taking --loo
to tar siunle lite Lease or euf rec Any of Lessor's righla undcr the Lease. During This sixty-flay period, Lender ehnlf have lire option to cure lite defnull
or take such other ncliou ns nmy be necessary to protect Lender's security futerest in[lie Lease and Ally personal properly And fixtures or Owner which
may secure any obligation of Owner to Lender.
4. Lessor agrees to suborlinme Ally lien•it may have or subsequently Acquire upon any personal property or fixtures of Owner which may be subject to
any sccmily interest of Lender until such lime ns this Assignment is Imillunted,
Lessor ackuowledgcs Ihal it has end will lreuclil es A result or'Ile
linaucinl neeonuuodmit 5 extended to Owner by Lcudcr mid IbA, Lcudcr will rely
e nccepence.
LESSOR: CITY OF BATESVILLE LESSOR:
BY
OE BIARD, MAYOR
.>Cie:.sx�'.:::':::•-S.:I�S,......,n:.`�'1^_..:At.._,r•'_'.'-:'fIOT!�.•.r.i^ al.l Ir r„
state of Arkansas
County or
3/l
On dlis the Jay of ,before ole, _,_ the undersigned
-er,personally appcarcdTij
own to tire (or satisfactorily proven) to be the ller6on(s) whose oanle(s) � _sulrscribeJ to rite within
instrument and acWowicdgcd Ihat be executcJ the same for the punpuses therein contained.
In witness whereof 1 hereunto act my hand and official seal.
Title of Officer
G^�C of ArkansiL
Idly of
i
On Ibis rhe day of ,before nm, the undersigned
officer,personally appeared
kuowu to me (or satisfactorily proven) to be the person whose nnnlc subscribed ro the within
insirument and acknowledged dial he _executcJ the sante for lite purposes therein contained.
In wirncss whereof I hereunto sat my hand and official seal. _
'ride or Officer
State of ArkenyNDEPENDENCE
County of
on tills lite 24th day of_ April, 2000 before ire, LEANN JOHNSON rhe undatAgncd
officer, crsonelf ap leered JOE BIARD ,who acknowledged himself to be dna MAYOR of
�ITY h fiATESVILLE a MUNICIPALITY and drat llc, as such OFFICER- ,being authorized
so to do, executed the foregoing instrument for the purposes therein contained, by si ming lite mmlie of the by hiulsclf as
MAYOR riP pMM.fl SO
In wirncss whereof f 6ersuulo set my bond and uUicinl seal.
MY COMMISSION EXPIRES: 11/28/2000 NOTARY P BLIC PUBIC
Tide of Officer '9,Q hrzeloo QQ`
Sc1IEDULr A ° OUN-0'
The street address of the Premises(if applicable)is: #50 RIVERSIDE ROAD, BATESVILLE, AR 72501
Tlrc legal description of lite property, located in INDEPENDENCE Cuunly, is:
SEE ATTACHMENT FOR LEGAL DESCRIPTION.
f
'I'IIIS UOCUAIE'N'I•WAS FRETARIsU BY:
EXHIBIT"A"TO MORTGAGE
(LOCKHOUSE, INC. ) r
A Leasehold interest in the following described lands:
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North,Range 6 West in the
City of Batesville,Independence County,Arkansas,more particularly described as follows:
Commencing at the Northeast corner of said Section 21;thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet;thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet
to the point of beginning;thence North 64 degrees 05 minutes 30 seconds East, 138.85 feet to the
Nominal South edge of an asphalt road; thence along said nominal South edge the following;
South 65 degrees 57 minutes 18 seconds East, 11.71 feet; South 47 degrees 01 minutes 15 seconds
East,20.33 feet;along a curve to the lett said curve having a long chord bearing of South 77
degrees 21 minutes 21 seconds East a long chord distance of 51.81 feet;North 72 degrees 18
minutes 32 seconds East, 14.86 feet;along a curve to the right said curve having a long chord
bearing of South 72 degrees 27 minutes 30 seconds East a long chord distance of 15.35 feet; South
37 degrees 13 minutes 33 seconds East,72.58 feet; South 12 degrees 31 minutes 24 seconds East,
12.99 feet to the nominal North edge of a crushed stone driveway thence along said nominal North
edge the following;South 37 degrees 11 minutes 19 seconds West, 33.77 feet; South 60 degrees
16 minutes 20 seconds West,25.53 feet; South 12 degrees 44 minutes 30 seconds West, 56:03
feet;South 33 degrees 31 minutes 55 seconds West,21.12 feet; thence South 59 degrees 40
minutes 33 seconds West, 97.91 feet to the nominal East face of a rock wall; thence North 32
degrees 05 minutes 47 seconds West along said nominal East face and along the extension of said
east face,237.80 feet to the point of beginning. Containing 0.95 acres,more or less, subject to
any and all easements. _
Also the following two road access easements:
111 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North, Range 6 West in the
City of Batesville,Independence County,Arkansas,more particularly described as follows;
Commencing at the Northeast corner of said Section 21;thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet;thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet;
thence North 64 degrees 05 minutes 30 seconds East,28.14 feet to the point of beginning;thence
North 43 degrees 31 minutes 54 seconds West, 11.67 feet to the nominal South edge of an asphalt
road;thence along said nominal South edge the following; North 65 degrees 33 minutes 34
seconds East,96.81 feet;along a curve to the right said curve having a long chord bearing of
South 89 degrees 34 minutes 33 seconds East a long chord distance of 19.49 feet;thence South 64
degrees 05 minutes 30 seconds West, 110.71 feet to the point of beginning. Containing 0.02
acres,more or less.
112 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North,Range 6 West in the
City of Batesville,Independence County,Arkansas,more particularly described as follows:
Commencing at the Northeast corner of said Section 21;thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1728.74 feet;
thence South 32 degrees 05 minutes 47 seconds East,237.80 feet; thence North 59 degrees 40
minutes 33 seconds East, 77.10 feet to the point of beginning; thence continue North 59 degrees
40 minutes 33 seconds East, 20.81 feet; thence North 33 degrees 31 minutes 55 seconds East,
21.12 feet; thence North 12 degrees 44 minutes 30 seconds East, 56.03 feet; thence North 60
degrees 16 minutes 20 seconds East,25.53 feet; thence North 37 degrees 11 minutes 19 seconds
East,33.77 feet; thence South 15 degrees 25 minutes 19 seconds East,18.88 feet; thence South 37
degrees 11 minutes 19 seconds West,25.37 feet;thence South 60 degrees 16 minutes 20 seconds
West, 21.99 feet;thence South 12 degrees 44 minutes 30 seconds West, 52.18 feet; thence South
33 degrees 31 minutes 55 seconds West, 27.36 feet;thence South 59 degrees 40 minutes 33
seconds West, 24.29 feet; thence North 30 degrees 19 minutes 27 seconds West, 15.00 feet to the
point of beginning. Containing 0.05 acres, more or less.
LOCKHOUS INC.
BY,:
V// 7
Danny ozier, Pfresident
/ /' s��r�
Cathy Dozier; Seccreta� ry
Q0TIFlGATE OF RECORD
STATE OF Apk AN to
COUNT'OF IND-PE DENOB
F,:At11Cr101�7.1�13the 25th.'., May xx_2U00
;2-LL4-.UM.entl,e—dedin T^' ter^^}ract
boor, 11 7.1 Page 1 n Q—l 1 Z...__
U��`�Q B�-_My Ali�el.CiryJ��rt��GleM
�/�♦',__L!s�2C1�lr D.C.
,w
1 l
II ,
LEASEHOLD MORTGAGE
:er Recordation Return to: '
FIRST COMMUNITY BANK
P. 0. BOX 4327, BATESVILLE, AR 72503-4327 S;23
BORROWCAi?.:,
LOCKHOUSE, INC. LOCKHOUSE, INC.
rri< ;, d .�s,,. ,�:;�.,.r x7+.c'• s.o r '>xa
+UJ17Rl 4 az>:x A fbk° :?w,Ma>A-4. bs� N. tYy �,s €A�x u:.{ 1 A�S[fNlsliS.gk� : :.
140ttl I$"STR$ET, EAT'& d 72503 140 DIXIE STREET, BATESVILLE, AR 7250
7Lllt�l fltf``'v
T16aruoPra Ntl :r, .. ,.t.._,3; �';IbaMrlricAnbN ra.:~3'' .: `��• a. Arz r• .. .
....s�l»w�'s>tra�tl�: �.:fbaxrincn•nw+ia�"• �._:.
' 71=0828585
In coutidersllun of use loan or oilier credit aeewnmodallon hereindler specified and any future advaeas or future Obligations, as defined herein,
whicb may herealler he advanced or Incurred and aper gooand S 2170ncy of wltch aro 'totally
ocknowl d d Mort nmol rereb w-14 122 ad mortgages to NI�_�T (UMMUNITY BA)�EC ,� (1 An7C G127a RA,TESY7bLR,
�1kANSA� 7250y3-4 i?7 (•Leader'),
with power of sale and right or entry sad posseealon all of Mortgagor's Interest in that etriaht lease dexetllied In Schedule A(Ole 'Lease'),such
katehuld estate being located on the land described ht Schedule B(the 'Lasd')tupther with all present and Pilo re tenements, heredilaments, and
appurtaancas; and the reversions, remainders, reals and profits pertaining to du ml properly (cumulatively 'Prvpany');mnO Payment in full of ell
Obligations secured hereby.
Moreover, in further consideration, Murtgngor does, for Mortgagor std Mortgagor's heirs, represcnladves, successor# and assigns, hereby
,.nressly warrent,covenan(,and arse wish Lender sad Its#uecesoors and aasigns as follows:
I1LIGATiONS,This Mottgago dull secure We payment and Performance of all present and future indehtsdnere, liabilities, obligations end
tams of Borrower or Mortgagor(cumulatively'Obligaliuni)to(.,ender purauaht to:
(a)this Mvrl$wp and the following pnunissory rola and other agreeraads:
--1R'fTR1'3' l7(INi.IP ,, TUR 1; (IST�SM �f n
LtATB .Ill?1]li uh1IT-- - .t'•'R IlSN7 i7/2000
( '°3%s "• IIIFl8.002 $250000.00 9/7/1999 3000584
( a ler present or tun wrakn ■gras uente wh n n er w sac h re er spec ¢r y to w atigage n neither execul or ilneiause or
different purposes than Use foregoing) ;
(c) any guarenly of obllgedons orother parties given to Lender now or hereauer txecuded which reran to this Mortgoge;
(d) ILtune advances, whether obligntory or updonal, to die some extent as If made conlemporaneously wills Uro execullun of this Mortgage,
nada or extended to or on behair of Mortgagor or Borrower. Mortgagor agreed that if one of Ilse Obligations is a line or credit, the lien of this
Mortgage shall evnsuos urnll payment Its flit or ell debts due under the Ilase notwldigusding the fact dust from lime to thine (but Iscrure
letmination of the line)no balance rally be: 3�tb1staadln AI no lime dull We lien of ttia Mortgage, not Including ■utounla adva—d to prulecl
the security orthis Mortgage, exceed S�L,21 OOfJ�On ;and
(e)fit amendm.nu,extensions,mrsew ls,modifications,replactsnents or substitutions to any orlbe foregoing.
As used In this Paragraph 1,We terms Mortgegor and Borrower abelh Include and also mean any Mortgagor or Borrower If neuro tun oat.
2. KEl'IUrSENTATIONS,WARRANTICSANDCOVENANTS.Murlgger represents, warnuts end covenants to Lender dial:
(a) Mortgagor cull maintain the Property free of all liens, security Irdensls, encumbrances and claims except fur this Murigege slid those
described in Schedule C which Is attached to this Mortgage and Incorporated herein by reference, which Mortgagor agrees to pay and perrunn In
a timely manner;
(b) Mortgagor is in compliance in all respects with all applicable federnl, state and local laws slid regulatimns, Including, wldwut limiuson, Ihore
refining to 'ilvArdous Materials,' as defined herein, and other environmental maven (Use 'Eltwironnhewal Laws'), and wider Oe federal
government nor the state where Ilia Property Is lucoted dor any other governmental orquas guvertumental esuity Tisa filed a lien nn die Properly,
nor are tore any govennnemal, judicial or admininntive actions with respect to environmental mestere pending, or las ase beat of the
Motlghgoc's knowledge, Ulrestenled, which Involve Out Property. Nelther Mortgagor not,to the beat of Mortgagor's knuwicdge, any other party
has used, generated, released, discharged, stored, or dhposed of any Hazardous Materials as defunct herein,in eumicctivn with the Property or
tro sportcd any Iloardous Materials to or fronn tho Property. Mortgagor sufl not eonunit or permit Such actions to be taken in the (blurt, Tins
tern 'Hazardous Materials' shall mean any subatsme, mslerist, or waste which b or becomes regulated by any governnenul authority
including, but not limited to:(1)petroleum; (ii)(liable or nonfriable ssbestot; (til)polychlorinned blphenyhr; (Iv)those substaeed, materials or
wares desigasled as a 'hazardous substance' pursuant to Secooir 311 or the Clean Water Act or listed pursuant las Section 307 of the Clean
Water Act or any amendments or replacements to these statutes; (v)those iubstimees, materials or wastes defined as is 'hazardous waste'
pursuant to Section 100si of die Resource Conservation and Recovery Act or any amendments or repdaeementa las that W■tute; and (vi)Uwe
subducted, materials or wanes defined as it 'hvudous substenes' pursuant to Section 101 of the Connpmliensive Environmental Response,
Cumpcnsation and Liability Act,or any amendments or reptaceneua to(hat statute or any other dmilar slate or federal statute, rule,regulahiwu
or ordinance now or herealler in effect. Mortgagor cull not lease or ptrnh the Sublease of the Property to a lenan or subtenant whose
operaduns may result in contamination of Use Property widt Haaardous Ma(erislx or toxic tubsianeea;
(c) All applicable law, slid rclulmlons, Including, wlllaoul lunimion, Use Amerieau will Olmlllilles A,,,12 U.S.C, 12101 cl seq. (end all
regulations promuhgeted Uneteundet) and elle run;ng sad buiidlug laws and regulations relating to the Property by virtue of any federal, #laic or
municipal authority wldr jurisdiction over the Property, pretenahy aro and dull be observed and eonjilled with las all material rexpecds, sad all
rights,licenses, per sults, and certificates of oecvpomy (Including but not llmited to zoning vaisneas, special exeepnionu for noocou(uruing over,
and final Inspection approvals), whether temporary or permsnam, which are material to the use aid occupancy o(the Properly,presoely arc and
sell be obtained,preserved slid,where necessary,renewed;
(d) Mortgagor lies the right slid Is duly oullnorixed to execute and perrettnh its Obligations under this Murtpge slid Urose actions du not and shall
nut conflict with the provbions of any statute, regulatlon, ordinance, rule of law,contract or odor agreement which may be bludl,g on Mortgagor
at any time;
(e) No action or prrc.eding is or shell Ix pending or threaneued which hnigut naterially srfecl the Property;
(f) Morigagar Is use owner of t e lenam's Interest under Use Lea- end [hen are nn defavlts thereunder. Mortgagor has good eights 1 vfu
sulhotky to grant and convey its interest in ilia Lease and the granting of lldr Murdgage is not In violation orally provision of Ne Lease;
a
5^l(e) Mortgagor willaxcreiss ailranewals ofthe Lease unless Lenadr approve, of the non-renewal and will(tirnish proof orpaynieat lir any i,emie
oblige tuna of Mongogtot upon request of Land or;and
(10 Mongagor has not viniatad slid sMll au violate any malula, «sulation, orilinarwa, rule of law,conlrsel or other agreement (including, but nal
limited lo,twee governing Hazardous Materials) which might materially afkcl ilia Property or Lemltr's rights or Interest its the Property pursuary
In This Mortgage.
3, INQUIRINSANDNO'I'IIICATIONTO I'111119PARTIES, Mongagor hereby smhodies Lender to coNaci any third party and make any inquiry
neritiaing rte Mongagor'a financial condition or ilia Property. In addition, Leudcr Is Aulleorized to provide ant or written notice or its inlarsst in Ile
overly to any Third perry.
-TRANSFERS OF THE PROPERTY OR UPN171CiALINTERE51'S IN h1oRTGAGORS OR 11011ROWERS. In lea avant of a sale, conveyance,
lease, amlraet Tot Jack! 0r Irensfar to any parson of all or any part of ilio Property, any of Mortgagor's inlcraw or rights unJer ilio Lease, or any
interest Ihereln, or of all or any beneficial Imarest In Borrower or Mortgagor (if Borrower or Mortgagor is not a namrkl person or persona hill Is■
cngioralion, Omlied liability company, pannanhip, trust,or ofhar legal entity), Lender may, al its option, declare ilia onimtanding principal balance of
die Obligations plus scented interest dicecun innriadhscly due and payable. AT I rnJcr's request, Mortgagor lir Borrower, as the case may be,shall
furnish a complete stalcment #citing rune dl or its stock iaidcrs, mandters or p.nncn, as &ppropriale, and the extent of Their reapeclive ownerddp
inldrdms.
S,SUBi.EASES AND OT1lISR AGIIELAWNTS, Mortgagor thrill not Take or fail to lake any action which may cause or permit Ile terminmlon or The
widduilding of any paymCm lu cooAtcelimh with any sublcare or shier sgreemdnl r•Agrdtmem-)pennin)ug to die Property. In addition, Mortgagor,
without Lender's prior wrinen eonscm, shall lint:(a)cullcol any modes payable muter any AgrccmenT Ann" than one month in Advaned; (b)modify
any Agreenent; (c)assign or allow a lice,"entity fnleresl or other encumbrance to lie placed upon Mongagor'# rights,title slid interest In and to any
Agrccmew or ilia amounts payable dnercurider; or(J)Terminate or cancel any Agreement axccpl for Iha nonpayment of any sum or olher materia
hrcsch ley ilia otherpparty thereto. If Iviongagor receives al any lime any written cnmmunicadon ■&setting a Jefouli by Mortgagor under as
Agreement or purpnnhng To terminate or cancel any Agreement, Mortgagor shall promptly forward a copy of such communication (and any
sthbsdquent communications relating Thereto) to Lander. Alauch Agreements and the amounts due to Mortgagor Thereunder are hereby assigned In
Lauder as additional security fur Ilia Obligations.
6. COLLECTiON Ole iNDER7'EDNESS FROM'f urtn PARTY. Lender tali ba entitled to notify or require Mortgagor to fa[ify any third party
(including, but not Iimiled to,lemsces, licensees, governmeulml outhorhits and insurance companies) to pay Lendar any tadclnedness or obligation
owing to Mortgagor with rompect To the Prnparty (cumul,tivcly •Indehtadne,s') whether or not a default exists under this Mortgage. Mortgagor shall
dihigendy collect The Indebtedneu owing to Mortgagor from$hose ildrd parties until Ibe giving of swell nnlifieuion. in The event That Mongagor
poswues or rcccivei pnasasalun or any inaaumeniv or other remivanecs with rexPaot to die lndeludiwss fallowing the giving of such nmincalion or
Vila innrumuue or rilier Admittances omsditule The prtpAynedul of any Ilnohledness or doe payment of say insurance or euude onstion proceeds.
Mortgagor stall hold such butmmduds mild othar remiltslwu in Trust Ibr Lender span from its other property, andane Ila insdtlmenis and fiber
ra
lit' "'
to Lender, acid hmatediu[ely provide Lender wide Pox&*aslon of the insirumem. and adher remittances. Lender shall be entitled, but not
ray uirea, to collect (ley legal proceedings or nlierwise), extend ilia time for payment, compromlec, exchange or release any obligor or collateral, or
oerwise settle any of Una ladtinedncss whether or not An 8vohu of Default exists under This Mortgage. L.uulse shall not be liable To Mortgagor for
anythme tion, error, misiake, emission or delay Pertaining to We actions domcribed in ;Ilia paragraph at any Jsln&ges reaching ti.refrom.
Nw.ilhslendhng the f ltgning,nothing herein shall cause Lender to lit deemed a mortgagee-io-poseexsion.
7. USE AND lofAINfENANCEOF PROPERTi'. Mortgagor shall lake all actions and make any repairs needed to maintain ilia Property in good
comlhion. Mortgagor shall not commil lir Permit any waste to be committed with respect to ilia Propeny. Mongagor shall use ilia Property solely in
camPli■nce with aPpllcable law surd insurance policies. Mortgagor dull nth make any alioratlons, additions or Improvements to Iha Property without
Lender's prior written consent. Willmu limiting ilia foregoing, all dlcrations, additions and improvements made to The Property tall be m,bjacT to
ilia herieiicid interest belonging to Lerner, still not be removed wilhaul L.oad,er's prior written consent, and shall be made at Mortgagor's said
expense.
H. LOSS OR DAh1AGE. Mortgagor tall bar Ura noire risk or any Ion, then, deslnictian lir damage (cumutativaly 'Lou at Damage') to lie
Properly or any portion Tbareof from any cauda wiatsoevdt. In ilia avoir or any Loss ar Ummags, Mongagor J.al,at Ilia option or Lender, repair Ilia
ADected PnhPeny To its Previous cnndhinn or pay or cause To he paid to Lander the ddcrcase in ilia Exit market vulue of lie affocted Properly.
9. INSURANCE. The Property will he kept haured Tot its till Insurable Islas(replacement cast) against nil hazards Including lou or damage Caused
by Mind,canhgemkd, Inroad. /.-1 firs,dhcn lir ulnar casumhy to the extent required by Lender. Mortgagor may obtain inmgonee lie ilia Property frail,
ch cumpanics &s are meceplahlo.to Lender in its sole discretion. Ilia insurance policies dull require ilio insurance oorryany to provide Lender wills
coat Jaya' wriucn nailed Word much politics are darted sir cancelled in any m■n,iar. The insurance policies th■ll name Lander as a -
payee anal provide thud no set or rumuiren of Mortgagor or any other person #limit afloat ilia right of LenJcr to he paid did insurance reheated.
pcnamiag 10 did loss rte donagc of Ilio Property. In ilia event Mortgagor fails to acquire or maintain Insurance, Lender(attar providing notice as may
W reyuirad ley law)may in iix discretion procure appropriate iaswnoce coverage upon ilia Prnpeny and the innnrniea ea&l shall he an advance
puyAllc mail hearing huoraaT as dd#cribml to Par#graph 22 kid maaured hereby. Mnngegur Jalt Ihmbh Lemter wide evi larkaa of Insurance Indicating
The required coverage. Lender may act as attonicy-ire-l'etit fir Mongagar in mukine std settling claim■ under iusurslue renlicics, cancelling any policy
or endorsing Mungagor'x nitric on any draft or negotiable instrument drawn ley any insurer. All such insurance policies slhall be conxlanlly assigned,
pledged And delivered to Unde as Ibrd—secuddy for ilia Obligations. hi Abe evsnl of loss, Mortgagor Jail inimediataly give Lender written nmlca
and Lender is authorized to make proof of loss. Elects insurance company is directed 10 make paymealb Jiractly ui Lander instead or to Lender and
Mnngegor. Lando shall have ilio right,at itx sole opliun, To apply such monies towmrd Ilc 011ligmlimia of toward Ilia cost of mhuilding mut restoring
Elie Property. Any amounts may,at Lender's option,he applied In the Inver&*order of[he due arida thcrcof.
10. ZONING AND PRLYATECOYENANTS. Mortgagor stall not initiate or con end to any change in Iha zoning provisions nor private covenants
aRbcting Ila use of die Properly without Lendar'# print written consent. IfMortgagrer's use orated Property becomes a noreconfunning use under ally
n
toing pmvlsinn, Mudlgagor shall caul cause or permit such It" To be disemuinued or abandoned witluril the prior written consent of Lender.
Mortgagor will immcdiatciy provide Lauder with written notice of any proposed elange■ to The zoning provisiase or private euvdnants affecting ilio
Property.
11. CONDEMNATION. Mortgagor shall Immediately provide Lender wide written noulce of any actual or Tbrdsaned eondemnalion or emintnt
domain pomading per[aidng tth it,. Pnyeuny. Allmanics payable to Mortgagor from much cwuluo'natiten or Taking are hereby auigned to Lander
and Jall he opplidd lint In the puy,,.,A of Lander'# allarneya' fees, legal expenses and utlncr costs (including appraisal fees) in connection with The
cnmlamnadua ter emincnl domain proceadhngs and Alien, at the option of Lencr,To[lie payment of Ila obligations or ilia romloraiinn or repair of the
property.
12, LENDER'S RIGI(TTO COMMENCE OR DEFEND LEGALACTiONS, Mortgagor shall immediately provide Lencr wile wrilldn nnTice crony
scnel or Threattned action,wilt,or usher pmocadtng airdcdng ilia Prnpeny. Mongagor hereby appnihue Lander as its anorrity-til-fact to eamnieree,
intervent in,and derand much aatinns, suits, or oiler legal proceedings and in eonyerohnisa or&.Ilia ally claim or contrnvtrsy pertaining Iltecio.
Lshnor slsall not W liable to Mudge giir for any action, error,mistake, rendition or delay Pcnaldng to Ilia actions described In this Paragraph lir any
.damages renadng Therefrom. Nothing contained herein will prcvcnu Lender from taking the actors described its this pangruphi its its own name.
13. INDEhrNIFLCATION.Lender shall oat asume lir he responsible for ilia performance of any lir Mortgagor's obligations will, respcvl to Iha
Properly under any eircumsdanceel. Mortgagor shell Imnudisiely provide Lemfir with written slice of,hal Indemnify and hold Lender said its
sharchuldcn, dirccuon, ollioara,erriV10yeta and agents hslndems from all clminut, damages, liabililies (including a[turneys' lets and ),gal expeuses),
corium of action, ell anis slid ruler legal proeeediugs (cuhmdmtively 'Cldma')pcntainhng In The Propeny (including, but not limidtd la,dined,Involving Iluxurdous Motorists). Mortgagor, upon lied mji-aii of L.4-1-r, Jul) Idro kgal eountel To dcfcad Lender (rain wcl Claims, and pay tied _
attorneys' fees, legal expenses and oiler costa Inconel in connucllon Iherawith. In Ile ahcniativo, Lander shall is credited to employ its own legal
uunxel to oWeial wen Claims rig Martgogar's cost. Mosigagor'a obligatlun in indemnify Lender under Iiia p■rsgraph shall mucvivo Ili, lerminmian,
release or rierecloaurc of dhis Mongega. .
14. 'TAXIS AND ASSESSMENTS Mongagor alhall pay all Taxes And anmamento mlating to The Propcny when cited slid (mmeJia lady provide
Lander evidence of payment or saint. Upon Iia request of Lender, Mortgagor shill deposit wills Leader Cecil nunuh aIle-iwdhll (1l12) or Tied
estimated annual insurance premium, Taxes and aaacssirl reehtaidng to Ibe Properly. 50 long Is liters is no default, these mnounts stall (se
applied to the preymani of Texas, asessuiems and iiniranee as required on tied Properly. in The event ot'dcfuull. Looter shall have lie right,sl its
xulw oPlian, to apply Iha fiends an held to Pay ally leads or againsl the 011ligatinn#. Any 6rnds applied may,at Lendar',option, be applied in reverae
order nulla 111.'laid thereof.
IS, INSPVC11ON Ole I'It01110R'1'Y,If6OKS, RECORDS AND REPORTS. Mortgagor shall allow L ereler lir itx agent& to exanJna and Inspect the
'Party and examine, inmpecl sled make copies or Murtlagoel bookm aril record. pert.iniug To ilia Properly from lime Its ileo. Mortgagor shnil
vide any a.-isiaew. required Try Lender for Ahead purpows. All of Tie aignanrrce mild Inrurmution eontutned in hfongagor's books and records
all be galmnea. Ise, aceuret. sail complete in all rdspcctu. Mongagor shall lint. ilia existence of Lnuler's bane Mclul Imcrtsl In Its books and
record, pertaining to Ilia Prnperty. Additionally, Mongagor shell rcpwt, in a ronu xulixfmciory to Lander, such iul'onnadmi as Lender may request
ri:glerding Mungagnr'■ financial condition or Ilia Properly. Tea hrfamwlion '11-11 b, fir much patinas, &haM reflect Mortgagor's records a such lime,
slid Jiall he rehulared with such frcipieey as Lender may dasignate. Alleil'urnudon nanlshed by Mortgagor to Lender shall he true,¢name and
e0mplea in all rdspacls,and signed[By Mungugnr if Lender requ-is. (urtrian
A..1efa•
1 ✓eSJ
16. E,STOPI'EL CERTIFICATES, Within len (10)days after oily request by Lender,Mortgagor shell deliver to Lender,or any Intended wroileree of
Leckler's rights will,respect to the Obligations, a signed and sekflnwlcdgcd alnlcmonl specifying; (a)ilia hwlslending balance on lite Oldigalioru;
Prd (n)Whether Mortgagor possessce Pity claims, defenses, set-uffs or comdcrclo6hs with tesin"t to We Obligetious and, if au,the nature of such
clalun, defenses, tel-offs or couulercloifus. Mortgagor will be conclusively bound by oily repretamation Wel Lender utny make to Um intended
trausfer.e w]tl respect to these ntnmsrs in flit event Ural Mortgagor foils to provide the requested sialemeut In a thusly manner.
17. EVENTS OR DEFAUL'G An Event of Default shell Occur under this Mongnge in dta event that Murlgagor, Borrower or any guarantor orally
Ndipnliun:
(a) fnihs to pay oily Obligation to Lender when due; l
(b) fails to perform any Obligation or breeches oily warranty or covenant to Lender contained hl this M4rlgage or oily other present or future
Pgrccurcnl;
(c) destroys,loan or danupee lite Properly in oily outlerinl respect or subjects the Pronely to seizure,tonGacoliun,or euuJemnallotl;
(J) seeks to revoke,terminale or niienvise limit ill liability under any guaranty to Lender,
(c) riles, becontes legally iucompelent, Is dissolved or terminated, becomes insolvent, make& rat assignment for Ilia benefit of creditors, fails to
tiny debts as they become due, films ■ petition under die federal bankruptcy laws, hat an btvulunlary petition In bankruptcy filed in which
Muhtgogor,Borrower or oily gueranwr is maned,or line properly lakgin under oily writ or protest of court;
(D allows goods to be used,transported or stored on ilia Property,We pmrerainn,transportation,or use of which,Is Illegal;
(g) allows any party Other than Mornpegur or Bortower to asguma or undertake any Oldigntio n without the wrillco consent of Lender;or
(h) causes Lender to dean Itself Insecure due to a niptificnnl decline in ilia value of the Properly; or Lender, in good faint, for oily reason
believes(flat We prospect of paynann or performance is Impalred.
i M. RIGHTS OF LENDER ON EVENTOI'DF.CAULT.Upon the occurrence of in Event or Default under this hlurigngc, ]ender shall be euliuled to
'Pe";me title or nlure,of Ile fvllowing reoedlem without nonce or demand(except as required by law);
(a) to declare We Obligations immediately due and payable In full,such acceleration dull be automatic and hionediate if ire Event of Default is
a filing under die Bankruptcy Code;
(b) to collect the outatnnding Oblignllmu Willi or widtuul resuniug to judicial process;
(c) to require Klortgngur to deliver and make avallnbl. to Lender any personal properly or Chattels ennttinming ilia Properly oil a place
reasonably convenient to Mortgagor tad Lander,
(d) to anter upon and take puaessinn of the Property without applying for or obtaining Oto appointment or a receiver Pod), at Lender's option, to
appoint it receiver without bond, without first bringing suit on the obligatlans and withoul odnerwuls nmeling any stalulury conditions regarding
receivers,it being intended that Lender dell have illi&contnetual tight to appoint a receiver;
(c) to employ a managing agent of Ilia Properly sod lel Ilia sane, lis the name of Lender or In We name of Mongegor, ltd receive Ilse renis,
incomes, issues and prolits Of hitt Property and apply the tame, after paymed of all necessary charges and expenses, on ■ecomx of the
Ubligalions;
(f)to pay oily aunt In oily room or manner deemed expedient by Lender to protect the security of this Mortgage or to cure any default other Uma
payment of interest or printcipal on the Obligetians;
(y) to foreclose this Mnngnge;
(it)to set-off Morls,i s Obligations against any amounts mved MorlgPgor by Lender Including, but not Ilmiled to,monies, inst rune lits, slid
deposit accounts maintained with Lender or any currently existing or Mum Mims of Lander;and
(i)Io exercise nisi other tights available to Lender under any abler written sgreenneU or oq+plical)le law,
Lender's rights ace cumulative and fully In exercised together, separately, slid In any order. In the event that lender institutes an action seeking lite
recovery or any of due Properly by way of a prep(Tinent remedy In on action ngahul Mortgogor, Mortgagor waives[lie ponling of any Ixmd which
migld otherwise be required. Lauder or Larder a d aipnce may purchsea the prnpeny at oily sole. no Property or my Pon Wtmor may be sold Lt
ane parcel, nr in well parcels, outfitter or order as Lender in ib elle dhacreilou may elect, and one lir hrxore exertiees of Ilie power herein granted &hell
flat exiinuuisln or exhaust the power unless lite entire Property Is sold or dlo Obligatione ore paid in Nil.
19. LEASEHOLD PROVISIONS.
(a) Mongmgor ■proe■ that Morlga{ur will timely perform all obligations of Mortgagor under the Lease and that h will nen lake or omit to take any
action width will cause a default thereunder or that with notice or alter We passage of dna,or both, would In a dcfnult thereunder. Mortgagor
agrees that I(will promptly notify Lerdcr tin writing of any defmull by Mortgagor under Uta lease and dial It will promptly rend to die Lender lily
xtice (other than an a regular periudic basix for monthly nal Ptymenta) from Ilia Landlord under We Lace, including any notice noting or
h sinning oily defaull by the Mortgagor under the Lease.
(b) Lender shall)love ilia right to cure any default under(lie Leese within did time permitted in the[come and all suns advanced thereby stall Ie
htlmedinlely due end payable with Imlemst Marton et We lower of the highest mi.described lis any Obligation or We highest rats allowed by lav
from the dale of Payment umll tine dale of mhuhursemenl and shall,together with such Interest,become a(cart of the Obltgallons.
(c) In case of on Fvcul of Default under Parngraph 17.In addition to any other rights and remedies avnilable, Lender may make full or p uflof
payments of real due under the Lease, perform any Other obllgatinus of Morgngor under We Lenore and purchase, dixclut gc, eonqq++rvmiae, Or
sell: life Lease. Allmmlica paid fix any orthe pmpuscs herein authorised slid sip expenses paid or incurred in connection Uerewinlu, IncluJiug
Itotlus, feet, Its lite extent permivad by applicable pow, shell be so much additional Indebledneas secured herehy, Axl shall, become
immedstely due slid payable without nxtico and with interest thereon. inaction or Lender shell never he eonsidered et a waiver of any right
sterling to it on account of any defaull on the part u(Murigegor.
(d) Any default on the part of hlorlgngor under the Leese shall eonnitute, a debut under this Mnngnge and the Olrhigalluns secured hereby slid
shall entitle ilia lender to exercise any slid all rights and remedies given hereunder.
(e) Mungngor will not amend or nhodify,the Lease without tyle prior written cousom of Lender.
20. h1ERGER OF FEE IN LEASMOLDFSfATE. tin ilia event Ilial hlorlg Ppnor acquires lire fee lilt#or any other estate, Wit,or interest In Ilse preuniscs
covered by the Less., this hlongtge shnpl Munch to and cover nix] be a hen upon We fee title or such other estate sit acquired slid such fee title or
other ntrnc 111111,without further assignment,grant or anmvcyance Income stud be subject to We pion or encumbered by this Murlpnge.
21, 5F.CURiTY INTERI's,ST UNDER THE UNiFORM CONIMLRCIALCODE. TNs Mongog, shmll he coaidamd a Snoncing stalcorrn wind a fixture
Illblg pinsusut to Phe ptovisiuns of lite Uniform Commercial Cale (a adopted by tie plate where toe Propnny it located) covering fixtures, cbattds
and orti,Its of persoill property now owned or hereafter attached to or to be used its connection with Uta Properly lugerher with any and all
replacements ilicreuf and additions tserelo (tile 'Chattels'),ad Mudgegor hereby grouts Lender a ascuhy interest in such Chancla. Ilia debtor Is
(he Mungngor described above. The secured party Is ilia Lender described alcove. Upon demand, Mohtpngur Phell mole, execute Putt deliver such
security agreements (as such lean is dcrined bit sold Ut[i(oru Commercial Code) as Lender al oily little may deem necessary or proper or requ;rt to
grant to Lender a perfected security interest in We Chattels, and upon Marlgngnr's failure to do to,Lender is euilu6nd to sign Pity ouch igreenren
as the "cls of Mortgagor. Mortgagor hereby Puthorlus Lender to file financing atateme is (as such lens Is dcrined poi said Uniform Co ninerciml
Code) xith of to Ira Chattels, st any little, without the signature of Mongsgm. Mongagnr will,however, al Pity Ib,te upon request of Leuder,
sign such 0uahcing statements. Mortgagor will tiny all filing fees fur tine puling of such financing ofPlenteous slid for the refiling Uereof at lite timet
required, in die opinion or Lender, by said Uniform Commercial Coda. min, lien or It;&h1vdgngc Is■ulrjcci to any security Pgtecnlen covering die
Clancls, then In the even( or Ray defmull under this Mongnge, all Il,# fight,'ilia slid interest or Mortgegur In sod to any and app of lite Chatnls is
hereby assigned to Lender,logelhcr with the benefit of any deposis or payments now Or Ileneafler InaJe (hereof by Mortgagor or tie Predecessors or
succesmu-a in title of Mortgagor in We Property.
22. REII(I IURSEh1ENf Oil AMOUNTS EXPENDED BY LENDER.Lender,at Lender's uptinu, 'lily expend funds (Including sttnnicyi fees gild legal
e, .csl to perform any al required to be Uken by Mungngor or to exercise oily right or remedy of Le tler under this Mortgage. Upon demand,
gnil r dull immediately rabl*urle Lender for apt such amounts expended by Lender lugdhcr with interest Ilsemo n ml the power of Ilia higheni
desrrhed in any Obligation or tiro highest rate allowed by Isw from ilia data or payment until the date of rein+bur■anent. Tlicae sums Abell be
i Jed in ilia defnnkiml of Obligeliuna lutein gild shelf be secured by Ile benellcial Interest granted renin. tribe CRitolions-are paid after the
l. aniny of publication or ndice of sale, rte herein (rruvided, or ht Ute event Lender slap!,at its sola Ilii 1, pencil Mungngor Io pay ally part of Ube
de
Ohl' aliens after the beginning of publication of rid ace of sale, a Bertin Provided, then, Morignpor dull pay nn demand all expenses bncurred by
Lenr in eonoectiou with said publication, including Lender's saleable attorneys' feat slid this Mongnge shall be security fur all such expenses
and fere.
23. APPLICAI'ION OF PAYMENTS. All pnyinenit nada by or Olt behalf of Monyyaggur may be applied against Use amounts paid by Lender
(including attorneys' fees and legal expenses) its cuuocctun with the exercise or Its rtgpts or remedies described In this MmtgPga and Uel to the
payment of the remaining Obligations in whatever order Lender chooses.
24, POWER OF ATTORNEY.Monggegur hereby appoints Lender so ita attorney-In-feel to onJorse Morippapor's mane on sip babunents and other
dta
- u pennining to life Obligm ntloor Mortgage. lin addition, Lender droll be milled, bun not required, to perform shy action or execute an
rt required to be taken or executed by hlnriSaf(tor under [lilt Mongnge. Lender's prtiormeuce of such action or executor of such
do ,nil dull not relieve hlong■gor flout cry ObhgauOn or euro any default under this Mongolia. All powers of atorney descrithe bit Ili.
Motiaga are coupled with an interest and are Irrevocable.
25. SURROGATION or LENDER. Lender obPll he subrogated to Ilia rights of We holder of All pprevious lieu, mecuriny interest or encmubrance
dis6t rgcd with fund■advanced by Lender regn'Jitet or whetar Vie-lien.,.....by inl....to or other ertcuntbranc cs Moa(nen mleaseJ of record,
r.sesda Ga
7'(1 mo'6. COLLE£TIONCOSTS. Irl.cruler hires art anoey assist In collecting any snnoun
nt due or efon:ing any right of remedy and.-. .Win Nesta,
NGBortower sgrcea to pay Lendcr's rcexonablc attomcy's few and collodion 004141.tike..tont pcmiittcd by hew,
27, PARTIA1.11ELF.ASE. Lender may roleue its Interest ins portion oflt,e Properly by executing and recording one or mon partial roltwx widRwt
affecting Its Interest ht the remaining portion of the Property. Nothing heroin shall be deemed to obligate Lender to release any of lea Interest in ilia
Property, (except as regtdred under Paragraph 33),nor shall Lender be obligated to rolesm any part of the Properly I(Mollgagor is in default under
this MuRg.ga.
28. MODIPICATIONAND WAIVER.711e modification or waiver of any of Mortgagor's Obligations or Lender's rights under this Mortgage must bo
eontainod In a writing signed by Lender. Lender may perform any of Borruwer's or Mortgagor's Oblieatana, delay or fail to exorc(se any of lit rights
or seccpl po(ymanis from Mortgn lar or anyone Giber tun Mortgagor withoul causing a waiver of Thom Obliyalons or rights. A waiver on one
Occasion shall not tonillaute a waiver on any fiber occoslon. Monga;or's Obligations tater Wls Mortgage dull not be affected i(Lender smanls,
cmnPrornlaw, cxcbangc4, fails to exercise, Impairs or rolasaes any o ilia Obligations belonging to any Mortgagor, Borrower or Wird party or any of
ins iglus sg.inst any MoAgagor, Borrower or third party or any or the Property. Lender's btlum to insist upon siriol performance of any of the
Obligations shall not be deemed a waiver,and Lender shell have Ilio right at any time thereafter to insist upon strict performance.
29, SUCCESSORS AND ASSIGNS, This Mortgage shall be binding upon and Imtre to We bCACrIl or Mongsgor and Lender and their respcctivc
successors,asmilim,trustees,ccccivcn,adminixinturs,personal represcntat)vcm,legatees and dcviscca.
30. NOTICES. Except a olherwise required by law,any notice or other communication to be provided under Ihlm Mortgage dull be in writing and
gain to Iha peril.. at Ilia addresses described In this Mortgage or much other address as the parties may designate in writing Prom time to that. Any
such notice so given and sent by first class mall,Postage, prepaid, shill be deemed given [be earlier of Wroa (3)days oiler such notice is um or
when received by ilia person to whom such notice Is being given.
31. SEVERAn11.ITY.Wlicncvcr possible, each provision of This Mortgage dell be Interpreted to be valid and enforceable under applicable stat.
Irony provision of Ibis Mortgage vlololov the law or is uncnfurccablc,the rest of(his Mortgage shall continue to be valid and enforceable. �}
32. APPLICABLE LAW.This Mortgago shall be governed by the laws of the state where the Properly Is located. Unless applicable law pn�lEr
ahorwise,Mangagor consents to ilia)urisdlclion and vcnuo of any court selected by Lender,In ler colt ducrotion,located In that state,
33. NOT11111T-PARTI7UGIM.No person 14 orsilall be a dilnhparty bcncricisry ofany provision ofthe Mortgage. Allprovlsions orihe Mortgage in
fuvor of Lander art intended snlaly for Ilia benefit of Lander,and no I drd party dull he emlitled IG assume or expect that Lender will waive or consent
to ilia modification of any provision of fila Mortgage, in Lender's sole discretion.
34. PRESERVATION OF LIABILITlAND PRIORITY,Without Woofing The liability of Borrower,Mortgagor, or any guarantor of the Obligations, or
any outer person (except a paean expressly released In writing)for The payment and parfurmanco of ilia 06ligaffone, and without affecting the rights
of Lander with respect to any Pniperly not expressly raltand in writing,mad winhoul Impairing, in any way Iho priority or this Mortgage over Ilia
htarost of any pardon acquired or liras evidenced by recording subsequent to the recording or this Mortgage, Lander may,either before or miller Ili.
tnalurity of ills Obligations, anal d wills notice or consenC ralease any penon liable far paymeni or perfurmence Of all or any pan or the Obligations;
make any agreement shoring ilio terms or paymenna
t or perronnee of all or any pan of the Obligations; exercise or refrain from excrsising or waive
any rigba or remedy the Lender may have under this Mongaye; accept addiilnnoh security of any kind rot any of ilia Obliptalions; or release or
otherwise deal with any real or personal properly securing the Obligations, Any psnon acquiring or recording evidence or any interest of any nature
In the Property shall be deemed, by acquiring such Interest or recording any evidanae thereof, to have ounatawd to all or any spell actions by
Lon b;r.
35. VF.FEASANCE. Upon the payment and performance in full of all of the Obligations, Lender will execute and deliver to Mortgagor those
documents that may be required to ralaase,(Isla Mortgage of record. Mortgagor ahtR be rcsponsibk to pay any costs of recordation.
36. MISCELLANEOUS. Mortgagor and Ltruler agree that tint Is of ilia umance. Mnngsgor walvex presentment, demand for payment, noliee of
didtnnur and protest •seepp( a4 required byy law. All raferorseeg in Mortgagor in this Mongaga shall include all persona migning below. Ifil,ero is mor.
than one Mortgagor, Iheri Ohllgelnrn aliatl be Joint and several. 'this Mortgage roprasents the Complete integn(cd unelcnlonding between
Mongtgor and Lender pensining to ilia terms and conditions hereof.
37,-RIPIIIATION,IA'rillSkfORTGACESRCURRS AN AGR ICULTURAll I.OAN,MOR TGAGORAND LEND Ell WA(VEANYRIC HTEITHERPARTY
MAY I[AVIi:TO RIEDIA770N UNIIIIII.Tlili,ARKANSAS FARM 11dEDIATION ACh'ANO APPLICABLE LAW.
38. APPLICATIONOF FORECLOSURE PROCEEDS. Tllo proceeds from the foreclosure of Ibis Mortgage and the Asia or ilia Propatty shall he
applied in the followingmanner: find,to the payment Of any balance owed for court Cosh; Ilion to commissions, irony,paid to ilia county clerk;Then
to reiniburso Lender Ior its expenses and costa of the sale or in connection wills securing, preserving and maintaining the Property, seeking and
Obtaining da appulnlmert of a receiver for ilia Property, (including, but not limbed to,aa0mey's i.e., legal expenses, Tiling few, notification costs
and appraisal cots);Ilion to Ilia payment of flu Obligations,and(lion to any Ihlru party ter provided by law. _
39. JURY TRIALWAIVER.LENWIt ANT)MORTGAGOR 11 EREI)Y VDAIVEANY RIGHTTO TRIALRY JURY IN ANY CIVILACTION ARISING T
OF,OIL RASED UPON,1-111S MORTGAGE.
40. ADDITIONAL TCRRIS.
Mortgagor acknowledges [hat Mongsgor has road, understands, and agrees to the terms and conditions of This Mortgage, and acknowledges receipt
bran exact copy orsame,
Dated this 7th day or September , 1999
MORTGAMR• L KHOUSE IMogTCAonR: LOCKHOUSE, INC.
Danny Dozie real ent Cathy D.,. er, Se retary '
MORTOAOOR: MORTOAOOR:
MORTGAGOR: MORTOAOOR:
mort'rOAGOR: MeiRTGAGOR;
rqo 4 as
. ..,.1 L..U,:. ::BSL JI,..Li d,iL 1 U..,..116.1—J
i
Staleof Arkansas 7
counly of
On diis dim day of before me, 1110
craigncd orficer,persuually appcered
known to Die (or wlisfacturily proven) to be rine person(s) whose nanae(S) suhrcribed to the
within hatruineut and ackrwwlodged that Iw executed the sa nc for Iho purposes dacroin ennisiued.
III wibuss wlwrcof I hereunto Set My hold end ufGciai Beal. —..
Title of Officer
late of Arkuuas
:ounty of 19pENCE
on nils IIIc 7th day of September, 1999 heron n1e, Leann Johnson e�p�e vel die underaiyned
I (ricer,persunsily appeared Danny and Cathy Dozier wlto acknowledge) w bs Ila officers of
Lockhouse, Inc. __s corporation ,and 11101$e,as such nffi eprr ,bile= autlaoriud
o to do,executed die foregoing instrument fur the purposes therein eunlained, by alguing Ilse mute of the eorp�ti an b blmxx as
President and as Secretary. themselves
to witness whereof I hereunto act my hand and official aced.
NOTARY PUBLIC
i
MY.COMMISSION EXPIRES: 11/28/2000 Title ofofracer
PSN
JOyNS
v 4QNM.�tA Oy
NOTARY
PUBLIC
�O�oula�y'
sC1lCaut,E��l
Tile address or die Properly is: #50 Riverside Road, Batesville, AR 72501
The following described red properly located in On:County of Independence ,stale of Arkanaa .
SEE ATTACHED FOR LEGAL DESCRIPTION.
LEASE DESCRIBED BELOW:
LEASE DATED 8-13-1999 by and between the City of Batesville, as Lessor and
Lockhouse, Inc., as Lessee.
j "SCIIQV �E u
SEE ATTACHMENT FOR LEGAL DESCRIPTION,
i
• A..{MII
5
r
f
rli
ACCEPTANCE OF1,ESSOR
Tltis Acceptance is executed dtis 7th day of September. 1999 by ilia undersigned as Lessor under die Leese
described on Schedule A. .
1•Lessor agrees and contents to Morigsgor's grant and suignment to Lender under title btodgege of Modgagor's Interest as tenant urOcr the
Lease, Lessor repreaentt that ilia Lase Is currently valid and enforcenble according to Its tering Acid diet Mortgagor 13 tial Pratestly in default uixler
die Lease. Lassne further reprcacnu diol It Is the Owner of the laaed Premises and hu Ibll power and auihority to enter Into[lilt Agreement.
2.Lessor agrees dial during the tens of this Mortgage, no modifications to or teuni,miioo of ills Lease will be undertaken wiihoul first oblabJng tI)-
written consent or Lender.
1.In lite event of Mortgagor's d�feuli under the Lease, Lessor agrees to notify Lender of such darault in writing at last sixty(60)days prior to laking
action to enforce any of Lessor's rights under Olt Leese. During this sixly-dey Period, Lerider shall have The option to cure !lie dersull or take such
other actino as may be necessary to protect Lanxler's security interest in die lease slid any Chattels of Mortgagor under Il+is Mortgage or any other
agreement between Mortgagor and Lender.
C Lessor agrees to subordinate any lien it may have or subsequently acquire upon any Chattels of Mortgagor which may be Subject to any security
interest of Lender until such lune Al tills Mortgage Is terminated.
J.Lessor acknowledges Ural h has and will benefit a a reatill of the frnenclal aceonnnodalious extended to Mortgagor by Leader and Ilial Lander..1
'ill rely on ilio teceplattet. +I
LESSOR: City of Batesv lie Lipson: Not
May
Slate of Arkansas
Cowry of
on dila tha day of before me, die
undersigned officer,personally appeared
known to lite (or sntisfectorily proven) to be lite person(s) whose name(.) subscribed to ilia
within Instnnnenl and acknowledged that Aa executed die tame for die purposes tI—els-contained.
In wiinea whereof I hereunto al my hand and official seat.
Title of Omcer
lute or Arkansas
,o ntity or Independence
7th September, 1994 Leann Johnson
On this the day of p ,before nu, d+c undenigm
+Meer,ptrsmully app cared .toe Biard ,who acknuwltdged I+inuelf to be the yor
City of Batesville almmieipalityand ilia! he, a tach officer being authorized
o to a Mayor
executed the foregoing Inatrunicnt for 1110 Purpaaes dercin contain��,(
' ing die nama of die municipality by himselr as
RnyOr ,
fn witness whereof[bareuuiu eel my blind end uRlcial nest. N 10
ONNS
V G
MY CO1'4SISSION EK'PIRESt 1128/2000 — if ilia of Officer PUBLIC
Tills DOCUMENT WAS PREPARED IIY; First Community Bank, P. 0. Box 4327, Bate ern P
COUtn
AFFlIR RECORDING RrTUItN TO LENDER AT 17S AUl)ItrM DrSCRIIIED ABOVE.
5�9
EXIHBIT"A" TO MORTGAGE
A leasehold interest in the folloUrg;420,INC. )
A tract of land being a part of the NE 114 of Section 21, Township 13 North, Range 6.West in the
City of Batesville, Independence County, Arkansas,more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet
to the point of beginning;thence North 64 degrees 05 minutes 30 seconds East, 138.85 feet to the
Nominal South edge of an asphalt road;thence along said nominal South edge the following;
South 65 degrees 57 minutes 18 seconds East, 11.71 feet;South 47 degrees 01 minutes 15 seconds
East,20.33 feet;along a curve to the left said curve having a long chord bearing of South 77
degrees 21 minutes 21 seconds East a long chord distance of 51,81 feet;North 72 degrees 18
minutes 32 seconds East, 14.86 feet;along a curve to the right said curve having a long chord
bearing of South 72 degrees 27 minutes 30 seconds East a long chord distance of 15.35 feet; South
37 degrees 13 minutes 33 seconds East,72.58 feet;South 12 degrees 31 minutes 24 seconds East,
12.99 feet to the nominal North edge of a crushed stone driveway thence along said nominal North
I edge the following; South 37 degrees 11 minutes 19 seconds West, 33.77 feet; South 60 degrees
16 minutes 20 seconds West,25.53 feet;South 12 degrees 44 minutes 30 seconds West, 56.03
feet;South 33 degrees 31 minutes 55 seconds West,21.12 feet;thence South 59 degrees 40
minutes 33 seconds West,97.91 feet to the nominal East face of a rock wall;thence North 32
degrees 05 minutes 47 seconds West along said nominal East face and along the extension of said
j east face,237.80 feet to the point of beginning. Containing 0.95 acres, more or less,subject to
any and all easements.
i
i
Also the following two road access easements:
I
i dl Road Easement Description
i A tract of land being a part of the NE 114 of Section 21, Township 13 North,Range 6 West in the
City of Batesville,Independence County, Arkansas,more particularly described as follows;
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet;thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet;
thence North 64 degrees 05 minutes 30 seconds East, 28.14 feet to the point of beginning;thence
North 43 degrees 31 minutes 54 seconds West, 11.67 feet to the nominal South edge of an asphalt
road;thence along said nominal South edge the following; North 65 degrees 33 minutes 34
seconds East,96.81 feet; along a curve to the right said curve having a long chord bearing of
South 89 degrees 34 minutes 33 seconds East a long chord distance of 19.49 feet;thence South 64
degrees 05 minutes 30 seconds West, 110.71 feet to the point of beginning. Containing 0.02
acres,more or less.
M2 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North,Range 6 West in the
City of Batesville,Independence County,Arkansas,more particularly described as follows:
Commencing at the Northeast corner of said Section 21;thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet;thence South 00 degrees 00 minutes 00 seconds West, 1728.74 feet;
thence South 32 degrees 05 minutes 47 seconds East,237.80 feet;thence North 59 degrees 40
PAGE 2 of 2
-2-
minutes 33 seconds East, 77.10 feet to the point of beginning,thence continue North 59 degrees
40 minutes 33 seconds East, 20.81 feet;thence North 33 degrees 31 minutes 55 seconds East,
21.12 feet;thence North 12 degrees 44 minutes 30 seconds East, 56.03 feet;thence North 60
degrees 16 minutes 20 seconds East,25.53 feet;thence North 37 degrees I1 minutes 19 seconds —
East,33.77 feet;thence South 15 degrees 25 minutes 19 seconds East, 18.88 feet;thence South 37
degrees 11 minutes 19 seconds West,25.37 feet;thence South 60 degrees 16 minutes 20 seconds
West,21.99 feet;thence South 12 degrees 44 minutes 30 seconds West,52.18 feet;thence South
33 degrees 31 minutes 55 seconds West,27.36 feet; thence South 59 degrees 40 minutes 33
seconds West,24.29 feet;thence North 30 degrees 19 minutes 27 seconds West, 15.00 feet to the
point of beginning. Containing 0,05 acres, more or less.
LOCKHOUSE, IN
BY:
r
Danny ozie r aid t
/ i
V Cathy Do ier, Secretary
t�
6WE OF ARKANSASERTIFrCATE OF RECORD
COUNTY OF INDEpENP NcC7,E
Fu�ad,�fr�eCtort nm. id—, day et��,,g99
attuitlfYA.end nco,cbdln D e o Trust
2� P X23-5��
Ity WIGh r, t=dCWk
� cnc
I6b
Afler Record;lliou Rc(urn to: FIRST COMMUNITY BANK, 710 ST. LOUIS STREET, r '
P. 0. BOX 4327, BATESVILLE, AR 72503-4327
ASSIGNM ENT Or TENANT'S
INTEREST IN LEASE
TtY 1)IVNIiR
LOCKHOUSE, INC. LOCKHOUSE, INC.
^t -: 3
s ADDRESS 14DIXIE STRRET901-t6'DIXIE'STRE BATESVILLE, 'Aft
'7250.
1
"1'il.l1'ltoNRNO ,,;.s,,..-£: .gI:IDHKrI[7(!A7IUN NQ E K sls3{ .. s•!;c jY`^ i
... a. .�' .. .1.s,# .:I.IDENI-IFICA'1 ION No.
71-0828585 71-0828585
OFFICF.N INIFNP9rItA7H; 1'IUNCII'A1.AM1fvUNll
IUtfll'IFICA'rloN ..moi `:CIIEVII:Llalrr AL'NBHSIHNI'UAIg p1Al'llllll{UA'1'B ':CUBTrIFIFIt NtIhlUF:a LOAN NI96III1M
MRR 8.00 $250,000.00 9/7/1999 9/7/2000 4� 3000584
1. ASSIGNMENT. As[security
(���rfor
(tIha payment of Ilse prnmissury Vole or agreement described above and all abler present and future obligntions of
Owner or Borrow jRSTIdC OMMUNI T_farBWWme or different purpuses man lite foreguiug) ,(logelhcr, Ilio "Obligaliwis"), Owner hereby assigns
Lo_ Y 1V K
entire inlerest as lessee in nod to Ula lease of premises identified bcluw(tile"Leese"): ("Le oder") its
Lem. dated 08/13/1999 lalwanr THE CITY OF_BATESVILLE
^�Lcssur, and Owner,as Lessee, along wish any uwdifioalluus or eurendurc/IIs to the Lease, covering Ibc real prupuiy, located in—INDEPENDENCE
Counly, more parlicularly descrilicd as follows:
..�e address of Ilia propwy is: 11150 Riverside Road,
Batesville, AR 72501
r
2. COVENANTS AND REPRESENTATIONS. Owner represents Thal Owner is nut is default io ilia parf rionuce of Owner's obligations under (lie
Lease. Owner further represents and covenants 111111. It Willcontiuue to comply Willi Ilse provisions of Ilia Lease and any extcusivas or renewals of Ilic
Lease.
3. A] D1rICATIONS01'LEASE.Owncr agrees Ilial d.A,g Ile tour of ilia Agreeureut Owner willow owdil'y or terminnlc ilia Lease withuul ubtaining
IIIc prior written coastal of Leader.
WNER ACKNOWLEDOESTIIATOWNER HAS READ,UNDERS'rANDS,ANDAGREH TO TILL•TERhIS ANDCONDinom Or THIS AGREEMENTANDIIAS
ECEIVED AN EXACT COPY 0(:IT.
"Ink
WNEa: LOCKHO SE, INC. OWNER: LOCKHOUSE, INC.
i
Danny ozier, r si ant Cathy Dozier, Secretary ,
NNC•R: OWNER:
OWNER: — —
NNER: OWNER:
4. DEFAULTUND EIt LOAN D OCUNI ENTS. In Ula eve tit of any claim!( by Owner or flu mower of any OLligntienl I Lender, under ally pron iissory noir
err Iuntr ducuutcnl, Lendcr%tell 11 Lave lite righl ler culler the lensed prensiscm without notice: ler Owner or burrower Recd (like ncliun ueccssnry to pndec( Its
colbnernl iuclu lieg, bell I I (;Riled In,Ill. fulluwing: (n) remove nil personal prupetty of rmjovnble lix,ures of Owner which are subjecl to Lender's
securily interest; (b))nveolury, Advertise need sell upon file lensed prcutises Rely pcisoltnl progeny and lixttees of Owner wbich relay be suhjecl ler
1-ender's sccueidy in(cresl; or (c)c,xcrcisc Lender'% rights as holder Of Elle Lcnse And arrange for lite muluesluenl nasignntcul of We Lease ler a Third
ncecplablc ler Lcudcr mild the assuny+tiun or the liabililies troller lite Lease: by a third pretty. ler the even( Lcudcr lakes oho ncliun described
Lauder shill have Ito ublignliun to Owner ulhcr than fu ilia paymmn of rcol to Lcssur under the Lcnse during ilia little Lender is oc(ually
ring Ilea lensed prcmiscs.
5. 'I'li1tMINATION.'llik Agrccmmd shall rcuusiu in full(lace Hurl effect until Lendcr provides Uwuer wilb widilan uljlice oflerminatims.
rr. ASSICNRIE..NT, Owner shall nol he enlilled Io assign Rely of ils rights, ramedies or Obligntiuns described in this Agreement without (lie 1,141rwrillen
conscnl of Lauder which urny he withhold by Le[rdcr ill its sola discretion. Lender shall he cu(iticd to Assign Soule or nil of its rights and rensedies
described ill this Agrecoicm willluul Malice to or Ilse pRor conscal elf owlRr III Rely mo(((tet.
7. MO Ill FICATIONAND IVAIVF,It. 'Ilse usodilicntiun err waiver of any of Owncr's Obligations or Lcoder's rights under Ihis Agreement roost I,e
ct Wiled in o writing,igued by Lender. LnWcr Reny perform ally ill*Owner's Ohligalious tit delay or fnil In exercise ally ill its lights without causing a
waiver of 113413e Oblignuuns or rigbb. A waiver un uric occesiuu shall trot conntinue a waiver on any other ocensime. Owner's ohligntions under this
Agrecuscal shall Out be offecled if Lender m lleuds, cuuspronsisee, excitmtges, fails It,exercise, impnirs or releases Ally of Ilia Obligmious belonging to
arm Wrier or grrnranlnr or ally reflex rights against Ally Owner,gunrnWur or collm(crni.
H ICCESSOAS AND ASSIGNS. This Agicenlenl shall be binding upon Rend Inure to the henclit of Owner and Lender And their respective
sr sura,Assigns,trustees,receivers,adjoin i sit slurs,persunnl reptcsenlnlivcs,legatees,mild devisees.
Y. NO•I'ICI?S. Ally nulicc or other cujuvnnicnliun to he provided under Wim Agicemcul shrill Ile in writing mild xenl to Ute parties of the ndclresses
Jcscrihct)ill this Agicmnett or such olher address as lite parties Amy designnle ill writing from little ler linea by notice hcrauodcr.
Ip. SEVEItADILITY.Ifauy pnrvisiun of this Agrecuteul violates Ilio haw or is irnle11fU1CelllllC, Ilia rest of the Agiccueew shall renmio vnlid.
I1. AI'1'LICAVLI:LAW.This AgreentcN shall he govenmd by(La lnwa of IIID settle of(lee location of the loclrliscs. Olvller consents to ilia jurisdir,duo
&fill venue of Ally court located in such stale ill the avoid of Rey legal ptuceeding under This Agiecmmnl.
12. MISCELLANEOUS. All references m Owner in this Agreenfenl shall include All persons signing Above. If(here is inure than rote owner, their
obligmliors shall Ire joint and sovernl. Ooruer waives airy right ler n jury trial Oover slay have leader ripphicnble lull•. 11his Agreement Rud oily
relnled ducunlcuts represent Elm complete And iutcgrnled undcrsinndiug between Owner mild Lender pcllaiuing Io the letters and curedilious of Ihusc
docu[rmnu. This Agreement supersedes and repinces all prior ural cuuvessaii(•as Rud negotiations of Ute parties nod Rear nal be nmended, except ill
writing execu(cd by All particle. 'Ilsis Agrcemeni has been executed in sevcrnl cuuniegntls,nay title of wbich luny be decant nn original.
13. ADDITIONAL TE WS:
le of Mouses
,,illy of
On Wis ilia day of ,before ilia, ilia undersigned
icer,personally appeared '
nen to ilia (ur satisfactorily proven) to he Use person(s) whose unene(s) subscribed to (Le willdu
91
Ir recknowledged Ilial to _ executed Ilia saltie for the purposes therein coutained.
less
wbercof I bcreuruo real illy hand au I official seal.
'I'ilia of Officer
to ur ArkaneRs Independence
+un(y of
On Ns ilia 7th day or September, 1999 ,before life,— Leann Johnson
lite uuJcrsigneJ
facer, scrsoanll Appeared Danny find Cath Dozier officer
I Y I P 3r —,w•ho acknowleJgad xiH,KteH W be lite � f
Lockhouse, Inc. n o-ra.t4en Rod dent as such officers----�r�-' �, ,teeing oulhurizcd
W Ju,excculcd lite foregoing iostruutenl for the train coulnined. by siguing Ilia [reuse of Ilse corporation I197t10)i0(CI:f ns
President and S-1-Lary. �N SNS
In wilness whcreur I imteuneu eel illy bond mild a icPA➢RIMM EkA 2
NOTARY
MY COMISSION EXPIRES: 1 8pgyNOTARY PUBLIC
'['ilia of Officer
anaib P
R°COQ'r:r'IANCE Or 1.h:SSOIt
'I his ncvepinnce is cxccu(cd dais 7th day of September, 1999 ,by Ilse undersigned as Lcssur under Ilia Lcnse dcacrihcsl heecitr.
I. Lessor agrees nnlf cunscuts ler the nssigunicsil to Lauder of Owncr'a Juiciest ns lenetrl under the Lrnsc mud rcluescols Ihnd lite Lcn.ac is currcully
valid and cnfurcenble according to its terms mild flint Owner is nal lncseutly is[defaull under Ilea Lease_ Lessor blither represeuls Elm( it is the owner or
rbc lensed premises nod has lidl power coed aulhorily ler eller info Ibis Agreenseol. Lessur ngrecs ler o allow Lauder , occupy the premises mild
couseole to n ucw lumul clluscu by 1-coder if rcnsoanbdy neeepinLle ler Lariat.
',e znur Agrees Ifml during the Icon of ilia ns.i sole eel of Ilse Lease by Owner ler LRudcr it,, uurrlificnliuus err le, inalian of the Lease will be
.,kau withuul lirst oblaiuiug the verifiers cuusoul of LcuJer.
n the even, err Owner's dermuil under Ilse Lcnse, Lessor agree. to uulily Lander of such rlefaoll In wdiiug at less( sixty(60)JAya prior to Inking ncliun
la Ic uui unuto the Lease or cororce ally of Lessor's rights solder Ilia Lease. During(1113 sixty-dAy period, Lauder shAll have the utilities to cure the Jerodt
err lake set odiar ncliou as urny be necessary ler prulecl Leader's sealri(y ielereel he Ilse Lease Died Rely persunnl pmllercy and fixtures of Owner whicll
Miry secure Rely ublignliun or Owucr Ill 1--der.
4. Lessor agrees ler subunlinrtle msy lien it Reny have or sobs!quauIIy ncyuire upuel Ally persuuni pmpedy er lixmmes of Owner wlsidu umy !m subject ler
rely acculily nlereal of Leader wjil such little as Ibis assigt teal is icru a rated.
essur Rekerwledges that it has end will licue it as a result of Ilia Iinnucial scconollodnlin is extended ler Uuvler Iry Lendcr and Ihnn Lender will rely
acccpinnee.
L solz: CITY OF BATE SVILLE Ltssott:
_� Lit-.cam
------
Slate of Arkamus I
CUnnly of
On Ihis the day of ,before 11'.. the undcrsigncil
�fticcr,1'emilally appeared -------�
known to ilia (or anlisfaciorily pruvcn) to be the persun(s) whose nnme(s) � _suhscribcd to the wilbi
iuslroment and acknowledged[lint _Jtc executed We sane fur IIIc pugoses Ihcrcin contained.
In winless whereof I hcrconle set my hand and ufficial sent.
Tills of Ofticcr
Slalc of Arkousni
Cuunly of
On this the day of ,before lits,_ the undersigned
officer,personally appenied
known to ilia (or satisfactorily proven) to be the persue whose name subscribed to Ibc with•,
iuslnoncnt slid acknowledged That the executed rhe same for Ilse purposes Ihaeiu cuulabied.
In wiwess whereof I heremrto set my hand slid ufliclul seal.
'title of Officer
Sion of Arkansas
Cuunly of Independence
on ,,is the 7th day of September, 1999 ,before mc, Leann Johnson We undersigocr
officer,persoually apluared Joe Biard ,who acknowledged himself to be Ilre Mayor
City of Batesville , municipality and that he,as such being authurize
so to du,executed the foregoing bhsirumenl for ilia purposes therein eo rained, by igning (lhc nnnne of the mun', by himself
Mayor �P Gcrr le.EXp 02
• v
Ili wilness whcrcuf I hereunlo sal I•lY hand olid oflicinl seal. n ARY
P LIC
MY COMMISSION EXPIRES: 11/28/2000 Title of U(lieer 9 +new° Q
z
mum, �
RO CoutAl
mu
l'be street address of Ills Premises(if applicable)is: 50 Riverside Road, Batesville, AR 72501
The legal dcscrilrtioht ofthe Properly, located ill INDEPENDENCg County, is:
SEE ATTACHMENT FOR LEGAL DESCRIPTION.
•ruts I)OCunn:INT WAS PREPARED BY:
/63
L
EXHIB((��IT"A" TO MORTGAGE
A leasehold interest in the fol& ng 'ands. INC. )
A tract of land being a part of the NE 1/4 of Section 21,Township 13 North, Range 6.West in the
City of Batesville,Independence County, Arkansas,more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet
to the point of beginning;thence North 64 degrees 05 minutes 30 seconds East, 138.85 feet to the
Nominal South edge of an asphalt road;thence along said nominal South edge the following;
South 65 degrees 57 minutes 18 seconds East, 11.71 feet;South 47 degrees 01 minutes 15 seconds
East,20.33 feet;along a curve to the left said curve having a long chord bearing of South 77
degrees 21 minutes 21 seconds East a long chord distance of 51.81 feet;North 72 degrees 18
minutes 32 seconds East, 14.86 feet; along a curve to the right said curve having a long chord
bearing of South 72 degrees 27 minutes 30 seconds East a long chord distance of 15.35 feet; South
37 degrees 13 minutes 33 seconds East,72.58 feet;South 12 degrees 31 minutes 24 seconds East,
12.99 feet to the nominal North edge of a crushed stone driveway thence along said nominal North
edge the following; South 37 degrees 11 minutes 19 seconds West, 33.77 feet;South 60 degrees
16 minutes 20 seconds West,25.53 feet;South 12 degrees 44 minutes 30 seconds West, 56.03
feet;South 33 degrees 31 minutes 55 seconds West,21.12 feet; thence South 59 degrees 40
minutes 33 seconds West,97,91 feet to the nominal East face of a rock wall; thence North 32
degrees 05 minutes 47 seconds West along said nominal East face and along the extension of said
east face,237.80 feet to the point of beginning. Containing 0.95 acres,more or less, subject to
any and all easements.
Also the following two road access easements:
#1 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21, Township 13 North,Range 6 West in the
City of Batesville, Independence County, Arkansas, more particularly described as follows;
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet;thence South 00 degrees 00 minutes 00 seconds West, 1726.74 feet;
thence North 64 degrees 05 minutes 30 seconds East,28.14 feet to the point of beginning; thence
North 43 degrees 31 minutes 54 seconds West, 11.67 feet to the nominal South edge of an asphalt
road;thence along said nominal South edge the following; North 65 degrees 33 minutes 34
seconds East, 96.81 feet;along a curve to the right said curve having a long chord bearing of
South 89 degrees 34 minutes 33 seconds East a long chord distance of 19.49 feet; thence South 64
degrees 05 minutes 30 seconds West, 110.71 feet to the point of beginning. Containing 0.02
acres,more or less.
#2 Road Easement Description
A tract of land being a part of the NE 1/4 of Section 21, Township 13 North,Range 6 West in the
City of Batesville, Independence County,Arkansas, more particularly described as follows:
Commencing at the Northeast corner of said Section 21; thence North 90 degrees 00 minutes 00
seconds West, 1337.85 feet; thence South 00 degrees 00 minutes 00 seconds West, 1728.74 feet;
thence South 32 degrees 05 minutes 47 seconds East, 237.80 feet; thence North 59 degrees 40
PAGE 2 of 2
-2-
minutes 33 sec ends East, 77.10 feet to the point of beginning;thence continue North 59 degrees
40 minutes 33 r.-conds East,20.81 feet;thence North 33 degrees 31 minutes 55 seconds East,
21.12 feet;thei,ce North 12 degrees 44 minutes 30 seconds East, 56.03 feet; thence North 60
degrees 16 min rtes 20 seconds East,25.53 feet;thence North 37 degrees 11 minutes 19 seconds
East,33,77 feer, thence South 15 degrees 25 minutes 19 seconds East, 18.88 feet;thence South 37 _.
degrees 11 minutes 19 seconds West, 25.37 feet; thence South 60 degrees 16 minutes 20 seconds
West,21.99 fe:t;thence South 12 degrees 44 minutes 30 seconds West, 52.18 feet;thence South
33 degrees 31 1.1inutes 55 seconds West,27.36 feet;thence South 59 degrees 40 minutes 33
seconds West, 24.29 feet;thence North 30 degrees 19 minutes 27 seconds West, 15.00 feet to the
point of beginning. Containing 0.05 acres, more or less.
LOCKHOUSE, INC.
BY: LA
/
V
Danny Dozi President
Cathy Dol2ier, Secretary
CERTIFICATE OF R ECORO
STATE L
COUNTY
Y OOF F 111.0'CPNNDCNCE
Redlo—dlne_19th +o9-9__
1J.er,dre—dedm. Lease: & Contract
Rcok n n Pope _
��Ily Grulc/tlt�r,Qrc'1 for
Dy_
*` THIS INSTRUMENT PREPARED BY:
Robert D.Stroud
Attorney at Law
500 East Main Street,Ste.201
P.O.Box 2135
Batesville,773.8AR 72503 I �
870 793.8350
f, S/
LEASE AGREEMENT 4 -
�Q
KNOW ALL BY THESE PRESENTS:
WHEREAS,the City of Batesville,hereinafter referred to as
("LESSOR") has agreed to lease to Lockhouse,Inc. (hereinafter referred to as
"LESSEE"), the lands hereinafter described upon the terms and conditions set forth
herein; and,
WHEREAS,LESSOR and LESSEE desire to commit the terms of their
agreement to writing and for that purpose join in the execution of this instrument.
NOW,THEREFORE,in consideration of the premises, and in
consideration of the following conditions and agreements,the LESSOR hereby leases,
demises and lets to the LESSEE the lands hereinafter described upon the terms and
conditions set forth herein:
1. The lands hereby leased by LESSOR to LESSEE, and hereinafter
referred to as the demised premises,are situated in Batesville,Independence County,
Arkansas, and are more particularly described as follows:
SEE EXHIBIT "A"ATTACHED.
(W
2. The initial term of this lease shall be a period of TWENTY(20)years
commencing on August 1, 1999.
i
3. The rental for the initial term of this lease shall be the sum of ONE '
HUNDRED &N0/100 DOLLARS ($100.00)per month(the "Base Rent") for the
FIRST(1')through the TWO HUNDRED FORTIETH(240`b)payment. All
payments shall be payable on the first day of the initial term of this lease and the same
day of each succeeding month.
fir► 4. The taxes,if any,on the demised premises shall,during the initial
term and any renewal term of this lease, be paid by LESSEE.
5. LESSEE shall provide and keep in force,throughout the term of this
Lease Agreement,or any renewals thereof,for the benefit of LESSEE and LESSOR,
general liability insurance policies on standard Arkansas forms of not less than
$1,000,000.00 bodily injury(including death),and$50,000.00 property damage,with
certificates of such insurance to be furnished to LESSOR. LESSEE shall also carry
fire,windstorm and other casualty insurance upon the improvements on the demised
premises with an insurance company authorized to do business within the State of
Arkansas,the amount of such insurance to be not less than the fair market value of tht1')
insurable improvements upon the demised premises,and payable to any mortgagee of
the LESSEE's leasehold interest,LESSEE and LESSOR as their interests appear. i
(W Certificates of such insurance shall be furnished to all Loss payees.For purposes of this
2
.. .�.... 1 1 � .. ....... _.:....... .....,.t.r.._:...rt 1...gel n' ■ -:'1 i 1 1
Lease,the parties agree that the interest of LESSOR in the premises is$20,000.00 and
�r in the event of a covered loss,LESSOR shall be entitled to receive that amount from
the insurance proceeds.In the event of destruction by fire,windstorm or other
casualty the LESSEE shall,at its option,have the right to utilize the insurance
1 proceeds to repair or rebuild the premises (in which event the LESSOR should retain
its insurable interest in the premises) or to declare the Lease terminated without
further liability after payment to LESSOR of its interest in the property as set out
hereinabove.
6. There is currently a residential structure located on the premises.
LESSEE proposes to enlarge the structure substantially and make improvements
thereto and utilize it for a restaurant and other purposes consistent therewith.
LESSOR covenants that the premises are zoned suitably for such purpose. LESSEE
shall make the floor plans for improvements available to LESSOR for approval. In the
event LESSOR disapproves,LESSEE shall have the option to either terminate the lease
without liability or to modify the plans to LESSOR's satisfaction. All improvements
shall be constructed in accordance with the applicable building,plumbing and wiring
codes.
7. Upon the termination of this lease,title to all improvements on the
demised premises shall vest in the LESSOR. Provided,however,title to all fixtures,
trade fixtures and other personal property shall remain in the LESSEE and may be
3
N
(W
removed by LESSEE,provided that LESSEE shall repair any damages to the premises
caused by such removal.
8. LESSEE agrees to maintain the demised premises in a safe and sanitary
icondition and further agree that it shall engage in no unlawful activities upon the
r
'demised premises nor to allow any activities or conditions to exist thereon which
would constitute a nuisance. LESSOR reserves the right to inspect the premises at any
reasonable time.
9. LESSOR agrees that LESSEE shall have full and exclusive possession
of the demised premises during the term of this lease, and LESSOR further warrants
that LESSEE shall have quiet possession of the demised premises and LESSOR shall
defend LESSEE against any adverse claim to the right of possession of the demised
premises during the term of this lease.
10. LESSEE is hereby given and granted the option to renew and extend
this lease for FOUR(4) additional FIVE(5)year terms,each renewal term to
commence at the expiration of the preceding term. Any of the options granted to
LESSEE may be exercised by LESSEE only if LESSEE is not in default under this
'.ease Agreement at the time of such exercise. An option to renew and extend must bf
exercised,if at all,by the giving of written notice to the LESSOR by LESSEE not less
than NINETY(90) days prior to the expiration of the original term of this lease or of
(W a renewal term then in effect, as the case may be. The monthly rental for the first
4
1 i i i _ .'.+':1":'Sl•. •i1w;R:.1.....i:' 'tL'f:'-..:^i 1' ■ il' f'1. . - 1
/hL�7
renewal term shall be determined by reference to the change in the United States
Department of Labor Consumer Price Index,All Items,Urban Consumers applicable
to the Little Rock,Arkansas, region (the "CPI") from the time of execution of this
lease until the end of the first term of this lease, but in no event shall the initial rent
t LP for the first renewal term be decreased nor shall it exceed$200.00 per month. The
rental for each additional term shall be determined in the same manner, referencing
the change in the CPI from the beginning of the preceding term and the end of the
preceding term. In the event that the computation of the adjusted monthly rent is
i
delayed because the CPI has not yet been released or for any other reason,said
i
computation shall be made as soon as reasonably possible thereafter, and once said
t
computation is completed,LESSEE shall make payments of the adjusted monthly rent
retroactive to the Renewal Date of the applicable year. If the CPI is changed from the
current base year(i.e., 1967 = 100),the CPI shall be converted in accordance with the
conversion factor published by the U. S. Department of Labor. If the CPI is
discontinued or revised during the term, such other government index or computation
with which it is replaced shall be used in order to obtain substantially the same result.
11. Upon the termination of this Lease Agreement,the LESSEE agrees
to immediately surrender possession of the demised premises to the LESSOR, and
LESSOR shall not be guilty of trespass nor in any way liable to LESSEE for retaking
possession of the demised premises in such event.
5
L
JJW
S�
12. LESSEE shall keep all improvements upon the demised premises in a
good state of repair during the term of this lease and the cost thereof shall be borne by
LESSEE.
13. In the event of any material breach of this Lease Agreement,
LESSOR shall have the option of giving LESSEE THIRTY(30)days' written notice to
cure such breach,and if LESSEE fails to do so within THIRTY(30) days from receipt
of such written notice,LESSOR shall have the option of immediately terminating thi;—
it Lease Agreement. The failure of LESSOR to exercise this option as regards any
particular breach shall in no event be construed as a waiver of his option to terminate
the Lease Agreement with respect to any future breach.
14. In the event that LESSEE should be adjudicated a bankrupt,or its
assets placed in receivership,then this Lease Agreement shall,without notice,be
immediately terminated,and in such event,the provisions of paragraph 7 hereof shall
be fully applicable.
15. In the event the LESSEE shall desire to terminate this lease,prior to
the expiration of the regular term hereof,then it shall have the option of doing so,
provided that notice of their intentions to do so is given to LESSOR at least ONE
HUNDRED EIGHTY(180) days prior to the date of such termination. This privilege
to terminate shall not apply in the event the improvements on the premises are
destroyed.
6
I I. i I i ....{ ., ..... -t..:..r....>.. ..... :Y;..^+:�r^•-v tx:sr.*r.arr.•:.r++nrr.^-.xrw. r . , ,.
7�
16. In the event of the taking by a competent authority for any public
use or purposes of the premises or a substantial part thereof(including public access
and parking) so that in the opinion of the LESSEE the remaining portion is unusable
for the purposes of LESSEE,then the term hereby granted shall cease on the day prior
r �
to vesting title in such authority. Rent shall be paid to and adjusted as to that day and
this Lease Agreement shall terminate on that day. The condemnation award,in such
event,shall be payable to LESSOR and LESSEE. As between such parties,the award
shall be distributed first to LESSEE to the extent of the LESSEE's financial investment
in the improvements made by them to the premises or the fair market value of the
remainder of the leasehold,whichever is greater, and second to LESSOR to the full
extent of its investment in the improvements made to the premises, and,third,the
balance,if any,distributed between the parties in the proportion of the division made
as set out above.
In the event that only part of the premises is taken, then the LESSEE
may,at its option, retain the remainder of the premises and restore the premises to a
tenantable condition forthwith and may use the condemnation awards for such
purposes and the balance,if any,payable to LESSOR.
{ 17. This agreement shall be binding upon the parties hereto,their
f
successors, heirs, administrators, executors and assigns. LESSEE may sublease the
demised premises to a corporation or other entity formed by it for the purposes
7
L.
I
fir.
/b
7
stated herein,provided that such shall in no way affect LESSOR's rights or LESSEE's
duties hereunder. No other subletting shall be permitted without the express written
consent of LESSOR,which shall not be unreasonably withheld.
18. It is understood that LESSEE intends to obtain financing from a
bank for the purpose of raising funds with which to make certain leasehold
improvements and place trade fixtures on the property, and that such bank shall
require a collateral assignment and/or a mortgage of LESSEE's leasehold interest in th"'
property. LESSOR hereby consents to such assignment. LESSOR does further
hereby consent that any bank holding the collateral assignment as security for the
construction loan or permanent loan on the improvements shall be entitled to assume
all of LESSEE's rights and obligations hereunder and have THIRTY (30) days from
notice of default to cure same.
19. LESSOR agrees that it will notify LESSEE if,within the term of the
lease,the LESSOR intends to sell the premises and LESSEE shall have a period of
THIRTY(30)days within to agree to purchase the property upon the same terms and
conditions of any bona fide offer received by LESSOR for the purchase of the
property. LESSOR shall give such notice,in writing,by certified mail. The election
to purchase pursuant to this right of first refusal shall be,in order to be effective, in
writing,addressed to LESSOR,at the address provided herein for all other notices,by
certified mail,postage prepaid and postmarked not later than midnight on the
8
.. a r.-.tt.•..a�:r.^ .:;r.-,^..m... :.x..:.a-::ea•: l ■ -�� F 1
1
C/ 0\
THIRTIETH(30c1i) day after notice has been received by LESSEE at the address
provided herein for all other notices.
20. All notices required or permitted to be given hereunder shall be
given in writing and shall be sent by certified United States mail, return receipt
requested,postage prepaid, addressed as follows (or to such other address to which any
party hereto shall have given the other written notice):
If to LESSOR: City of Batesville
500 East Main Street
Batesville,AR 72501
If to LESSEE: Lockhouse,Inc.
140 Dixie Street
Batesville, Arkansas 72501
Notice to any LESSOR or any LESSEE shall be deemed notice to all LESSORS or
LESSEES.
21. It is agreed by the parties hereto that the foregoing terms of this
Lease Agreement express and embody the entire agreement of the parties hereto
c ,
concerning the demised premises and the lease thereof. This Lease Agreement is
binding upon personal representatives,heirs,successors and assigns of all parties.
EXECUTED in duplicate originals this 13'- day of August, 1999.
LESSOR:
CITY OF BATESVILLE
By:
001 Biard, Mayor
9
�G
LESSEE:
LOCKH SE,INC
w
By: AZA I
Danny Do er,Pr ent
iATTEST:
Cathy Mzier,Secretary
ACKNOWLEDGMENT
STATE OF ARKANSAS )
)ss.
County of Independence )
On this day, before me,a Notary Public duly commissioned, qualified
and acting,within and for the said County and State,appeared in person the within
named Joe Biard,to me personally well known,who stated that he was the Mayor of
the CITY OF BATESVILLE,and was duly authorized in that capacity to execute
the foregoing instrument for and in the name and behalf of said City of Batesville,
and further stated and acknowledged that he had so signed,executed and'delivered
said foregoing instrument for the consideration,uses and purposes therein mentioned
and set forth.
IN TESTIMONY WHEREOF,I have hereunto set my hand and
official seal on this 13f!+ day of August, 1999.
Notary Public
My Commission Expires:
d
10
!F_. , ....y.,•,....,�. .... ... ,..;..f..._ ... .�......::..............a5r,......::r f>r ,"n ■ :7tr.. „r..,,.y..,.. ,. ,
ACKNOWLEDGMENT
STATE OF ARKANSAS )
)ss.
County of Independence )
On this day, before me, a Notary Public duly commissioned, qualified
and acting, within and for the said County and State,appeared in person the within
named Danny Dozier and Cathy Dozier,to me personally well k.iown,who stated
that they were the President and Secretary of LOCKHOUSE, INC., a corporation,
and were duly authorized in their respective capacities to execute the foregoing
instrument for and in the name and behalf of said corporation, and further stated and
acknowledged that they had so signed,executed and delivered saic foregoing
instrument for the consideration,uses and purposes therein mentioned and set forth.
IN TESTIMONY WHEREOF,I have hereunto set my hand and
official seal on this Z,�$day of August, 1999.
Notary Public
My Commission Expires:
1
CAMYFilu\Dorier D.nny\L. kh,u Incllesse Agreemene with City of B—ills,-pd i
11
1
1
l
naplta 1 t
1E 7i.... 547'01'15'E SB�'34"33"E' 20.33'
19:40`
--- N72'10'J2'E
:N65f33'34`E' .• 14.66'
sad S7 !72'27'3 "E
ro of 30 7 21'21'^�: : 16:35,
il...`• A.pS 5 01'. .
N43'31'54'W
11.67' d,
P.O.S.S.
P p 0• .d siP.fid; .
i•i I `� }� S12'31'24'E
� 12.99'
1avilt}rn ti
S37'11'19"W
33.'17'
! 16'20"W
o• Aapttalt
60'
N w
Q• 9q 4C7 o 85.53' �:: S15`.25..i9.E
yam,c� ES �� m ' .,'•1 ..88' •. '
of Ao A.
ro� r 25.37'
SGO'16'20'W
21.99•
Ile. �. �r V
� l.
a 'I I IN y•rii
to
CERTIFICATE OF R C"D ti~ yam'
ix�ur•4L:;;�re .e 9c � ,�b;; !33'31'55"W
27.36'
"1. IQ.•-xr hhcO nrc:Ostl in V 4d �✓ w. '
.�'1•-r_ r��'��''• �J d^ 'I g�. �� �aatl ens
S59'40'33"W emeht i2
Sg9r, 24.29'
N30'19'27"H
Legal Description 15.00'
A tract of land being a part of the NE 1/4 of Section 21• T 13 N. R 6 W in
the City of Batesville. Independence County, Ar'kbrid83, mdf'd partiCularly
described as follows; -
commencing at the northeast corner of said Section 21;
thence N 90'00'00" W, 1337.05 feet;
thence S 00'00'00" W, 1726.74 (Ret to the point of beginning;
thence N 64'05'30" f_, 130.65 feet to the nominal south edge of an asphalt road;
t:nnco along said nominal south edge I:he following:
`: 4-57-W E, 11.71 feet; S 47'01.15'• E. 20.33 feet;
along a curve to the left said curve having a long chord bearing of 9 77'21'21' E,
a long chord distance of `11.01 feet; N 72'18'32" F. 14.H5 feet'..,
a Ong a curve to the right said curve having a long chord bearing of S 72/'27'30" E/
a lung chord distance of"16.35 feetf 5 37'13'33'• E, 72.68 feat!
S 12'31'24" E.. 12.99 feet to the nominal north edge of a crushed stone drive
Lienee along said nominal north edge the following;
S 37'11'19" W 33.77 fest; S 60'16 20" W, 25.53 feet:
S 12'44'30" W, (36.03 feet; S 33'31'.,1(3" W, 21.12 feet;
thence S 59'40'33' W, 97.91 feet to Che nominal east face of a rock wall:
thence N 32'05'47" W along said nominal east Face and alonD the extension of
F id east face, 237.00 feat to the point of beginning.
C ntaining 0.93 ACnES, more or less, subject to any and all easements.
V. Road Easement Description
A tract of land being apart of the NE 1/4 of Section 21, T 13 N. A G W in the
C tY of Batesville. Independence County, Arkansas, more particularly described
a. allows:
c mmencing at the northeast corner of said Sectlon 21'
L �P.nce N 90'00'00" W, 1337.es foot; thence S 00'00'00" W. 1726.74 fent;
thence N 64'05.30" E. 28.14 feet to thee point of beginning:
thence N 43'31'54" W. 11.57 feet to thnominal south edge of an asphalt road;
thence along said nominal south edge the following:
N 65'33'34" E. gG.B1 font;
along a curve to the rigght said curve having a long chord bearing of S 89'34'33- F-
r" long chord distance of 19.49 feet;
thence 5 64'05'30" W, 110.71 feet to the point of beginning.
Containing 0.02 ACRES, more or leas.
#2 Road Easement Description
A tract of land being] a part of the NE 1/4 of Section 21, T 13 N. 11 6 W in the
City of Batesville.' Illdependence County, Arkansas, more. particularly described
as follows: rammenr.iii g at the northeast corner of said Section 21;
thence N 90'00'00' W, 1337.85 feet; thence S 00'00'00" W. 1728.74 feet;
thence S 32'05'47" E, 237.80 feet:
thence N 59'40'33" E, 77.10 feet to the paint of beginning'
thence continue N 59'40'33" E. 20.81 feet; thence N 3:1'31 55" E,. 21.12 feet;
thence N 12'44'30" E, 56.03 feet; thence N 60'iG'20' f. 25,'53 feet;
thence N 37'17'19" E. 33.77 feet: thence S 15'25'19" F. 18.00 feet:
thence S 37'11'19" W. 25.37 feet: thnnr.e S 60'16'20" W 21.99 fret;
thence S 12'44'30" W. 52.10 fret; tire ice S 33'31'55" W. 27.36 feet:
thence S 59'40'33" W. 24.29 feet;
thence N 30'19'27" W, 55.00 feet to the point of beginning.
Containing 0.05 ACRES, more or lees.
LAND SURVEYING SERVICES, INC. CITY OF BATESVILLE
Scale 165 EAST CHARLES STREET PROPERTY SURVEY
BA TESVILLE. ARKANSAS 72501
50 0 50 Telephone /070) 793-2310 Fax 793-9550 Job No.0176-528 Date 07-09-99
EXHIBIT "A"
nlipttal L
..Sari 8'..
1:.7i. SA7'01'15"E
S89'3C 33"E'
19:43: 0.33'
:N65'33'3A` ' -- N72'10432"E
r-
oad .. g�i81':' r 14.00' r'.' .. • .
7x72'27'.3 "E
57 .�11'2j.ME: . .
N43'31'54•W 116,3g$
11.67'
Zg, P.0.B jy
� 'moi,,..•
P 0 6• '•d sem'"1�': . .
512.31'24"E
i�
�pavill�rnl`� , 12.99'
n' 53'7'11'19"H ~,
33.7'!'
S60'16'20"W AsP.Helt'
O' 94 r:• 25.53.
S15`.25"19'E '
O
' •' r � .• 25.37'
P I w NA
ERTIFICATE OFR Cf.RD
�.;iiL'cuc,aC ,9
uiva 4 533'31'55"W
nar}}llf ILL A3 (1 .1 n p
27,36'
�'•I0��'.�:1drfrwWEin :.i`��E?v��� N ,
✓
r �:.A .•559'40'33"W Semeht
.559"• 24.29' 2
N30'19'27"W
Legal Description 15.00'
A tract of landbeSn9g a part of the NE 1/4 of Section 21, T 13 N. R 6 W in
the City of Batesville, Independence County, Arkdriddd. mdr4 pdrtiCularly
described as Follows;
commencing et the northeast corner of said Section 21; -
thence N 90'00'00" W, 1337.05 feet;
thence S 0000'00" W, 1726.74 feet to the point of beginning:
U
hence N 64'Or) 30" E. 138.05 feet to the nominal south edge of an asphalt road;
trance along said nominal south edge Che following:
S 15'57'18" E. 11.71 feet; 5 47'01 15" E, 20.33 feet;
along a curve to the left said curve having a long chord bearing of 5 77'21'21' E,
a long chord dintnnce of 51.81 feet; N 72'18'32" F. 14,86 feet;--
a.ong a curve to the right said curve having a long chord bearing of S 72x27'30" E/
a lung chord distance of-J6.35 feet) 5 37'13'33" E, 72.58 feet/
S 12'31'24" E., 12.99 feet Lo the nominal north edge of a crushed stone drive
Llence along said nominal north edve the following;
S 37-11-19- W. 33.77 feet; S 60'!6 2D" W, 25,53 feet;
S 12'44'30" W. 56.03 feet; S 33'31'55" W. 21.12 feet;
thence S 59'40'33' W. 97.91 feet to the nominal east face of a rock wall;
thence N 32'05'47" W along said nominal east Face and along the extension of
F; Sd east face, 237,00 feet to the point of beginning.
L: ntaining 0.95 ACRES, more or less, subject to any and all easements.
d'. Road Easement Description
A tract of landbeing a part of the NE 1/4 of Section 21, T 13 N. R G W in the
C tyy of Batesville, Independence County, Arkansas, more particularly described
a.. follows;
c mmencing at the northeast corner of said Section 21;
t ,ence N 90'00'00' W. 1337,85 feet; thence S 00'00'00" W. 1726.74 fen L;
trance N 64'05'30" E. 20.14 feet to the point of be inning;
thence N 43'31'54" W. 11.67 feet to the nominal south edge of an asphalt road;
Lhence along said nominal south edge the following;
N 65'33'34" E. 9G.81 feet;
along a curve to the right said curve having a long chord bearing of S 09'34'33" E.
e long chord distance of 19,49 feet;
thence 5 64'05'30" W, 110.71 feet to the point of beginning.
Containing 0.02 ACRES, more or less.
f2 Road Easement Description
A tract of land belnc.l a part of the NE 1/4 of Section 21, T 13 N. Il 6 W in the
C M of Datesville,'Independence County, Arkansan, morn particularly described
as Follows; rommenr,iny at the northeast corner of said Section 21;
thence N 90'00'00' W. 1337.85 feet; thence S 00'00'00" W. 1726.74 feet;
thence 5 32'05'47" E, 237.80 feet;
thence N 59'40'33" E, 77.10 feet to the point of beginning'
thence continue N 59'40'33" E. 20.81 feet; thence N 3:1'3! 55" E. 21.12 feet;
thence N 12'44'30" E. 56.03 feet: thence N 60'16'20' r, 25,53 feet;
thence N 37'11'19" E. 33.77 feet: thence S 15'25'19" f. 18.08 feet:
thence S 37'11'19" W. 25.31 feet: thrnre 5 60'16'20" W. 21.99 fret;
thence S 12'44'30" W. 52.10 fret: thrnce S 33'31'55" W. 27.36 feet;
thence S 59'40'33" W, 24,29 feet;
thence N 30'39'27" W, 55.00 feet to the point of beginning.
Containing 0.05 ACRES, more or lees.
LAND SURVEYING SERVICES, INC. CITY OF BATESVILLE
Scale 165 EAST CHARLES STREET PROPERTY SURVEY
EHEFIEF BATESVILLE. ARKANSAS 7250.E
Date
50 0 50 Telephone 10701 793-2310 Fax 793-9550
Job No.0110-125 07-09-99
EXHIBIT "Ar'