Minutes-2/10/1999

LEASE AGREEMENT THIS LEASE AGREEMENT, executed in duplicate, made and entered into this 1st day of January, 1999, by and between Washington Park Partners, an Iowa General Partnership (hereinafter "Landlord") whose address for the purpose of this lease is 834 N. Johnson Street, Iowa City, Iowa 52245, and City of Tiffin, Iowa, a Municipal Corporation (hereinafter "Tenant") whose address for the purpose of this lease is 211 Main Street, P.O. Box 259, Tiffin, Iowa 52340, WITNESSETH THAT: 1. PREMISES AND TERM. The Landlord, in consideration of the rents herein reserved and of the agreements and conditions herein contained, on the part of the Tenant to be kept and performed, leases unto the Tenant and Tenant hereby rents and leases from Landlord, according to the terms and provisions herein, the following described real estate, situated in Johnson County, Iowa, to wit: All that part of the southwest quarter of Section 27, Township 80 North, Range 7 West of the 5th P.M. lying south of U.S. Highway No. 6 as now located, except the right of way of the Chicago, Rock Island and Pacific Railroad Company, and also except all that part of the southeast quarter of the southwest quarter of said Section 27 lying south of the right of way of the Chicago, Rock Island and Pacific Railroad Company. Except: A portion of the E 1/2 SW 1/4, Section 27, T. 80 N., R. 7 W, of the 5th P.M., Johnson County, Iowa, lying south of US Highway 6, described as follows: Beginning at a 5/8" rebar set on the south ROW line of US Highway 6 at a point N00'00"00"W - 1578.82 feet and S90'00'00"W - 853.75 feet from the S 1/4 corner of said Section 27; thence S00'00'00"E - 275.66 feet; thence S90'00'00"W - 304.15 feet; thence N00'00'00"W - 297.40 feet to said south Highway ROW line; thence S85'52'26"E - 257.17 feet along said ROW line to an iron rail marking PC Station 207+57.7; thence Southeastly - 47.76 feet along said ROW line along a 5804.58 foot radius curve concave northerly with central angle of 00°28'17" and chord of S86'06'34"E - 47.76 feet to the Point of Beginning. Said excepted Parcel contains 2.00 acres. with the improvements thereon and all rights, easements and appurtenances thereto for a term of two (2) years, commencing at midnight of the day previous to the first day of the lease term, which shall be on January 1, 1999, and ending at midnight on the last day of the lease term, which shall be on December 31, 2000, upon the condition that the Tenant pays rent therefor, and otherwise performs as in this lease provided. 2. RENTAL. Tenant agrees to pay to Landlord as rental for said term, as follows: Eighteen Thousand Dollars ($18,000.00) per year, in advance, the annual rent payment becoming due upon the execution of this lease and the same amount in advance on the 1st day of January, 2000. All sums shall be paid at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as the Landlord may, from time to time, previously designate in writing. Delinquent payments shall draw interest at 9% per annum from the due date until paid. Anything else contained herein or elsewhere notwithstanding, it is the intention of the parties that the basic rent shall be "net" to the Landlord and that all other costs and expenses, of any nature or any kind whatsoever, attributable to the premises during the term of this lease shall be the responsibility of the Tenant, and the Landlord shall not have any liability for them. 3. POSSESSION. Tenant shall be entitled to possession on the first day of the term of this lease, and shall yield possession to the Landlord at the time and date of the close of this lease term, except as herein otherwise expressly provided. Should Landlord be unable to give possession on said date, Tenant's only damages shall be a rebating of the pro rata rental. 4. USE OF PREMISES. Tenant covenants and agrees during the term of this lease to use and to occupy the leased premises only for legal and lawful purposes. Landlord warrants that the demised premises is currently zoned as agricultural property and Tenant agrees to use the