Treehouse Farm

Cannabis Cooperative on Moku o Keawe in Wao o Kele

Sample Lease

This is a sample copy Right to Use Land Agreement, terms may be changed with approval of both parties. Such changes can be longer terms if available, leasing of larger area, forms of payment, partnership, etc. The following is based on a ten year term.

This is intended to be a legally binding contract. This lease will retroactively change to adhere to all Hawaii State laws governing the leasing of property. Please read carefully.

This is a right to use Land Use Agreement between Treehouse Farm (Landlord) and ___________________________________________ (Tenant) a specific parcel of the Landlord’s property land (Land) as identified in addendum A, as area “#____.”, and physically located at 11-2907 Waimaka O Pele Road, Mountain View, Hawaii 96771 under the following terms and conditions.

FIXED-TERM RIGHT TO USE LAND AGREEMENT (LEASE): Tenant agree to lease for a fixed term (__ years) land lease beginning ______________________and ending ______________________ , upon expiration, this Agreement shall become a month-to-month agreement AUTOMATICALLY, UNLESS either Tenant or Landlord notify the other party in writing at least ninety (90) days prior to expiration that they do not wish this Agreement to continue on any basis.

PAYMENT: Tenant will pay Landlord a base Right to Use fee of $300.00 per month on the first day of each month and receive a 10 year right to use land lease upon signing this agreement provided;

  1. First month’s rent of $300.00 is included in the initial payment.
  2. Each month and continuing for _____ months a payment of $300.00 is completed on the first day of each month.

FORM OF PAYMENT: ALL PAYMENTS Must be paid via PayPal. an initial payment of $300.00 shall be paid by a single payment via PayPal as provided by Landlord. _______________________________________  (____) additional payments must be made by an Automatic PayPal Subscription available by Landlord.

LANDLORD’S PROPERTY DESCRIPTION: Landlord’s property is a twenty (20) acre parcel of Land on the island of Hawaii described in ADDENDUM “A”.

TENANT’S PARCEL DESCRIPTION: Tenant’s parcel is a one (1) acre parcel of Land located within the boundaries of the Landlord’s 20 acre parcel of land. Tenant’s parcel is further described in ADDENDUM “B”.

FULL DISCLOSURE: Tenant signing this Right to Use Land Agreement hereby states that all questions about this agreement have been answered, that Tenant fully understands all the provisions of the agreement and the obligations and responsibilities of each party, as spelled out herein. Tenant further agrees to fulfill Tenant obligations in every respect or suffer the full legal and financial consequences of Tenant’s actions or lack of action in violation of this agreement. Signature by the Tenant on this agreement is acknowledgement of agreement and Tenant has received a signed copy of this agreement.

CONDITION OF PARCEL: Tenant hereby acknowledge that the said parcel is in good condition. If there is anything about the condition of the property that is not good, they agree to report it to the Landlord within 3 days of taking possession of the property. They agree that failure to file any written notice of defects will be legally binding proof that the property is in good condition at the time of occupancy.

OCCUPANTS: The number of occupants is limited two (2) primary Tenants. Only the Tenants may utilize the described parcel in ADDENDUM “B”.

REMOVAL OF PROPERTY: If anyone removes any property belonging to Landlord without the express written permission of the Landlord, this will constitute abandonment and surrender of the parcel by Tenant and termination by them of this Rental Agreement. Landlord may also take further legal action.

Landlord shall advise Tenant of any changes in terms of tenancy with advance notice of at least ninety (90) days. Changes may include notices of termination with cause or other reasonable changes in the terms of this Agreement.

ALOHA AINA: Tenant agrees to care for the land immediately surrounding the buildable area within the one acre parcel. Tenant agrees to never use any form of pesticides (including rat poison, roach sprays, etc.), or fertilizers unless written permission is granted from the Landlord. Any equipment or materials brought on Land must be free from little red fire ants. Tenant agrees that no diseased or disease-promoting fungus will be brought onto the Land which promotes Rapid Ohia Death or is known to be harmful to the Native Ohia Forest environment. Tenant agrees to never burn any portion of the land or start outdoor fires on the property without written permission from the Landlord. No trees may be cut down. No plants may be moved or removed without the Landlord’s written permission. Tenant is responsible for additional Tenants, third-party renters, agents, employees, independent contractors and guests occupying or visiting Tenant’s parcel.

ALTERATIONS: Tenant shall make no alterations, decorations, additions, or improvements in or to the parcel without Landlord’s prior written permission.

IMPROVEMENTS OR ADDITION OF SERVICES: At Tenant’s request Landlord may provide additional services such as energy, water, clearing of trees, removal of invasive species or other Land alterations which may require additional compensation. Tenant and Landlord must agree to any changes to Tenant’s parcel including the forest buffer zones, roads or trails.

ESCALATION: Tenant shall pay, in addition to monthly base Right to Use fees, Base rent escalations may relate to an increase in operating costs, improvements, taxes, levies, additional services or fees charged to the Landlord. Tenant shall have 30 days after the receipt of any such notice to protest the change indicated therein provided the escalation in base rent is no more than a 3% increase annually. Notwithstanding any such protest, all rent escalation payments falling due after service of such notice shall be made in accordance with such notice until the protest has been resolved, whereupon, any necessary adjustment shall be made between Landlord and Tenant.

TENANT INSURANCE: Landlord will not be liable for any loss of Tenant’s property. Tenant hereby acknowledges this and agrees to make no such claims for any losses or damages against Landlord, his agents, partners, investors, owners, board members, employees or tenants. Tenant acknowledges that if they fail to procure proper insurance, it is their responsibility and the Tenant alone shall bear the consequences. Legal insurance is recommended.

ABANDONMENT: Landlord will have the right to remove any property Tenants have left behind and store it at the Tenant’s expense.

LOCK POLICY: Additional locks and or gates may be installed at the Landlord’s discretion. Tenant has full control over Tenant’s parcel and may install a lockable gate at least thirty (30) feet inside the boundary of the leased parcel on the North side of parcel.

LOCKOUTS: To avoid a lockout, Tenant may choose to leave a spare key on Tenant’s parcel. Should tenants lock themselves out of their dwelling and be unable to gain access through their own resources, they are responsible for charges and/or damages involved.

ACCESS TO PARCEL: The Landlord reserves the right to enter the parcel with at least one (1) week notice and at reasonable times to inspect, make necessary repairs, show it to prospective Tenants, agents, partners, investors, owners, board members, employees or tenants.

SUBLETTING & ASSIGNMENT:  May not assign this agreement to anyone else without first obtaining Landlord’s’ written permission. Permission to rent to a third-party will be determined by the sole discretion of the Landlord. As described in Addendum D

PETS: Pets are allowed on the property only by obtaining the Landlords’ written permission first.  “Pets” does not include service animals trained to serve the handicapped, such as seeing-eye dogs, hearing dogs, or service dogs helpful to Veterans of war.

TENANT RESPONSIBILITY: The Tenant agrees to maintain the Land. The Tenant agrees to be responsible for all trash removal from the Land. Tenant agrees not to permit any deterioration or destruction to occur while they are using the Land. At the termination of this agreement the Land will be returned to the Landlord in neat and orderly condition.

UTILITIES: Tenant will actively monitor and report any issues related to shelter, water or energy availability. From time to time additional costs for energy may be shared among all Tenants.

NOTIFICATION OF SERIOUS BUILDING PROBLEMS: Tenant agrees to notify Landlord immediately upon first discovering any signs of trespass, theft, structural, water, gas, energy, earthquake or other natural disaster resulting in serious problems.

REASONABLE TIME FOR REPAIRS: Upon being notified by Tenant that there is something hazardous to health, life, or safety, Landlord shall undertake repairs as soon as possible. Should there be a delay of more than seventy-two (72) hours in making repairs, due to difficulty in scheduling the work or obtaining parts or for any other reason beyond the Landlords’ control, Landlord agree to keep Tenant informed about the progress of work.

NON-LIABILITY: The Tenant hereby states that work or repairs that need to be done will be handled by competent professionals, unless Tenant is qualified and capable of doing the work themselves and doing it properly, in a safe manner that meets all federal, state, and local regulations and have written approval from the landlord. Tenant further state that they will be legally responsible for any mishap they either do themselves or hire others to do. Landlord will be held free from harm and liability along with his employees, agents, representatives, workmen, contractors or other Tenants. In the event that needed repairs are beyond the Tenant’s capacity, they are urged to arrange for professional help through the Landlord.

LANDLORD’S PERMISSION: Each Tenant is personally liable for the payment of his/her assessments for common expenses, and failure to timely pay these assessments may result in restrictions or loss of use and/or ownership rights.

RULES AND REGULATIONS: No illegal activities shall be permitted on the premises at any time. The Tenant agrees to act lawfully and will operate at all times in accordance with municipal bylaws and zoning codes. Liability for damage to property or person is the Tenant’s sole responsibility. The Tenant assumes all risk of damage to or loss of its equipment howsoever caused and does release the Landlord from all claims and demands with respect thereto including to or loss of equipment arising from the act, default or omission of the Landlord, its agents, servants, employees, subcontractors, workmen or resulting from any cause whatsoever (save and except damage or loss resulting solely from the Landlord’s willful or reckless disregard or gross negligence). The Tenant shall protect and defend the Landlord and indemnify and hold Landlord harmless from all liabilities and claims against the Landlord, including fines, penalties and interest, in any way arising out of its failure to deduct, withhold or other contributions of any amount including federal, state and county taxes, federal, or state pension plan contributions. Employment Insurance premiums, Workplace Safety & Insurance board premiums and contributions under any federal or provincial social insurance or income security programs. Tenant agrees that the indemnity contained in this Agreement shall not be prejudiced by and shall survive the expiration or sooner termination of the term of this agreement.

WAIVER: All rights given to Landlord by this agreement shall be cumulative in addition to any laws which exist or might come into being. Any exercise of any rights by Landlord or failure to exercise rights shall not act as waiver of those or any other rights. No statement or promise by Landlord, his agents, partners, investors, owners, board members, employees or tenants, as to tenancy, repairs, amount of rent to be paid, or other terms and conditions shall be binding unless it is put in writing and made a specific part of this agreement.

Accepted this day ______________________________________, 2018 by Treehouse Farm, llc’s authorized

signatory ____________________________________________     Date __________________

Name of Right to Use Holder

____________________________________________     Date _________________

ADDENDUM “A”

LANDLORD’S PROPERTY DESCRIPTION:

It is bordered by “A” on the North side, “B” on west side. On the East side the Land is “C” which is further delineated/bordered by Waimaka O Pele Road. The South side of the Property is identified on the map with a “D”.

Landlord Property Map
Landlord’s Property

ADDENDUM “B”

TENANT’S PARCEL DESCRIPTION: Within the Landlord’s property located at 11-2907 Waimaka O Pele Road, Mountain View, Hawaii. Bordered by a forest buffer zone on four sides and bordered by an access driveway on LANDLORD’S PROPERTY on one side the leased portion of the land within the borders of the LANDLORD’S PROPERTY is a 1 acre parcel including a fifty-foot forest buffer zone. A maximum area of 10,890 square feet area is buildable. The longest side of any border of TENANT’S PROPERTY within the forest buffer zone is 110 feet.

Tenant’s parcel boundaries are identified on the following map:

Tenants Parcel

Initials of Tenant _____

ADDENDUM “C”

MEDICAL CANNABIS CULTIVATION​

It is understood that the cultivation of Medical Cannabis and related farming operations are being conducted on the property. A Tenant who is licensed and has met all requirements under state law is granted a small plot of land to use for growing Medical Cannabis in strict accordance with the Hawaii State Medical Cannabis Program. Individual parcels are defined in “Addendum A”. Tenant remains in full control of the parcel and must secure, monitor and protect their growing area. Tenant must communicate in email or in writing of their intention to renew this lease within 90 days of expiration date. Tenant must communicate in email or in writing of their intention to renew or allow their medical Cannabis license to expire. Tenant will provide water for the garden from a source off site. Tenant shall not touch or harm any plants that are not tagged with their own license number and expiration date. All plants must be tagged in strict accordance with the Hawaii State Department of Health’s Tagging Guidelines. Tenant agrees to not alter the water supply in any way. Tenant agrees to avoid any and all overspray of any foliar sprays or liquids. Tenant will not water any plants that are not tagged with their own license  number and expiration date. Tenant agrees to maintain control of Tenant’s plants and restrict access to all others without Landlord’s prior written consent.

Initials of Tenant _____

ADDENDUM “D”

THIRD-PARTY TENANCY

The Land may be temporarily rented by Tenant to a third-party renter under a separate agreement approved by landlord. A third-party tenant rental agreement must be signed by the Landlord and third-party renter. Third-party renters are bound by this and a separate rental agreement provided by Landlord.

Initials of Tenant _____

I have read and understood the above and have received a copy.

Signed____________________________________________ Date: ____________________