Lease Agm R.R. Davis Properties, Inc Lake View Golf CourseADA COUNTY RECORDER J. DAVID NAVARRO AMOUNT .00 24 -
BOISE IDAHO 07/06/06 02:03 PM 00.1
DEPUTY Patti pson 1lI I[III1 111�1fi�lllllll�) f f�����
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RECORDED —REQUEST OF II llfil Ifi II! ffli1l I 1 1
City of Meridian Public Works 106108232
AGREEMENT
THIS AGREEMENT is made as of the -3/day of May, 2006, by and between
the City of Meridian, Idaho, a municipal corporation (hereinafter referred to as °City");
R.R. Davis Properties, Inc., an Idaho corporation, and Lakeview Meridian Investors,
LLC, an Idaho limited liability company thereinafter collectively referred to as "Lessee");
and Idaho independent Bank, a banking corporation organized and existing under the
laws of the State of Idaho (hereinafter referred to as "Bank").
RECITALS:
A. City and Lessee previously entered into an AMENDED LEASE AGREEMENT
FOR THE PROVISION OF GOLF COURSE OPERATIONS AT CITY OF
MERIDIAN'S MUNICIPAL GOLF COURSE dated May 17, 2005 (hereinafter
referred to as the "Lease").
B. Lessee has requested a loan and other financial accommodations from Bank to
which the Bank is willing to provide to Lessee upon certain conditions, which
conditions include the Lessee's grant of a security interest in Lessee's leasehold
interest in the Lease by the execution of a Leasehold Deed of Trust in the form
as attached hereto as Exhibit "A" which is incorporated by this reference
(hereinafter "Deed of Trust").
C. Lessee intends to use the funds received from Bank's loan to pay for
improvements upon the real property which is subject to the Lease.
D. Section 9, Paragraph F, of the Lease provides in part that "Lessee shall not,
without the prior written consent of the City assign, hypothecate, or mortgage this
Agreement, or sublease or sublicense any portion of the premises, which
consent shall not be unreasonably withheld".
.E. City acknowledges that it will benefit from the improvements constructed or to be
constructed upon the City's real property subject to the Lease as a result of
Bank's loan to Lessee.
NOW THEREFORE, In consideration of the covenants and conditions set forth
herein, the parties agree as follows:
1. Incorporation of Recitals. The parties agree -that the foregoing Recitals are
contractual and binding and are incorporated herein as if set forth in full..
AGREEMENT Page 1 of 8.
2. Consent to Lessee's Grant of Securitv. City hereby agrees and consents to
Lessee's grant of a security interest in Lessee's leasehold interest in the Lease to
Bank by way of Lessee's execution of the Deed of Trust as security for Bank's loan
to Lessee.
3. CitV to Provide Notice of Modification to Lease. During the entire term of the Deed
of Trust, City agrees that no modification of the Lease shall occur without City first
providing Bank, in writing, at least ninety (90) days prior to the effective date of such
modification, of City's intent to modify the Lease.
4. City to Provide Notice of Lessee's Default. In the event of any default by Lessee
under the terms of the Lease, City agrees to notify Bank of such default in writing at
lease thirty (30) days prior to City taking any action to enforce any of City's rights
under -the Lease. During such above-described thirty -day notice period, Bank shall
have the option to cure the default or to take such other action as may be necessary
to protect the Bank's security interest in the Lease resulting from the Deed of Trust
or any other agreement between Bank and Lessee.
5. Purchase Option to City in Event of Foreclosure, In the event Bank shall foreclose
Lessee's interest in the Lease pursuant to the terms of the Deed of Trust, Bank
agrees that City shall have the exclusive first right to purchase Bank's interest in the
Lease (including all other collateral pledged by Lessee as security for Bank's loan)
by tendering to Bank an amount equal to the total amount then owing to Bank by
Lessee, together with all costs, expenses, attorney's fees, and other fees of the
Bank. In the event City shall exercise its option as provided herein, the City shall
deliver the option price in cash or certified funds to Bank no later than 3:00 p.m.,
Mountain Standard time, at least one (1) business day prior to the date of any
scheduled foreclosure sale. In the event Bank shall commence foreclosure under
the Deed of Trust, the Bank shall provide City with written notice the foreclosure and
the date thereof. City may file a request for a copy of a notice of default or notice of
sale, pursuant to Idaho Code § 45-1591, and the Bank shall provide City with the
necessary information concerning the recording of the Deed of Trust to enable City
to file such a request. In the event of a foreclosure by Bank, Bank shall also cause
City to receive notice in the manner provided for in Idaho Code § 45-1505 at the
address herein provided even in the event City shall fall to record a request for
notice.
6. Lessee's Use of Funds Received from Bank. Lessee represents to City that funds
received from any loan from Bank which is secured by the Deed of Trust will be used
exclusively to pay for the construction, renovation, repair or replacement of
improvements upon the real property which is subject to the Lease.
7. General Provisions.
AGREEMENT Page 2 of 8
7.1 Litigation Between the Parties. In the event of any litigation between the
parties concerning this Agreement, except for an agreed declaratory
judgment action sought to clarify the responsibility and/or authority of the
parties hereunder, the unsuccessful party in such litigation shall fully
reimburse the prevailing party for all reasonable costs and expenses,
including reasonable attorney's fees, incurred in such litigation.
7.2 Governing Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of Idaho.
7.3 Titles and Headings. Titles and headings to articles, sections, or paragraphs
of this Agreement are inserted for convenience of reference and are not
intended to affect the interpretation or construction of this Agreement.
7.4 Notices. Any notice under this Agreement shall be in writing and shall be
treated as duly delivered if the same is personally delivered to the other party
or deposited in the United States Mail, certified, return receipt requested,
postage, prepaid, and properly addressed as follows:
CITY: City of Meridian
Attn: City Clerk
33 E. Idaho
Meridian, Idaho 83642
LESSEE: Lakeview Meridian Investors, LLC
R.R. Davis Properties, Inc.
4200 W. Talamore
Meridian, Idaho 83642
BANK: Idaho Independent Bank
113 E. Idaho
Meridian, Idaho 83642
7.5 Authority of the Parties. Each party, to this Agreement represents and
warrants that the execution, delivery, and performance of this Agreement has
been duly authorized by all necessary action of such party and is a valid and
binding obligation upon the persons or entity signing this Agreement.
7.6 No Assignment. No party may assign this agreement or any interest therein.
7.7 Representation,. This Agreement was drafted by the attorney for Bank as
matter of convenience only and shall not be construed for or against any party
on that account.
7.8 Entire Agreement. This Agreement constitutes the entire agreement among
the parties to it and supersedes any prior understanding or agreement.
AGREEMENT page 3 of 8
7.9 Execution in Counterparts. This Agreement may be executed in several
counterparts, each of which shall be deemed an original and all of which shall
constitute the same instrument.
7.14 Successors and ,Assigns. This Agreement shall inure to the benefit of and
shall be binding upon the parties hereto and their respective successors and,
if permitted, assigns.
7.11 Recordation of Agreement. City or Bank shall have the right to record this
Agreement or a memorandum thereof, provided they provide a copy of such
recording to the remaining parties.
IN WITNESS WHEREOF, the parties have executed this Agreement on the dates set
forth below_
CITY:
WILLIAM G. B
CITY OF MERIDIAN
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LESSEE: R.R. DAVIS PROPERTIES, INC.
By:
ichard R. Davis, President
Dated: — O --
i
AGREEMENT Page 4 of 8
LAKEVIEW MERIDIAN INVESTORS, LLC
By: OARS LANEY, LLC, a Member
LANEYLAND, L.P., a Member
0
d
Partner
By: ()�R. DAVIS PROPERTIES, I ., a Member
By:
4Richard R. Davis, President
Dated: --� — - Q
BANK: IDAHO INDEPENDENT BANK
B
GERALD
W. i
1 . /' e
STATE OF IDAHO )
) ss.
County of Ada )
On the day of May, 2006, before me, the undersigned, a Notary Public in
and for said State, personally appeared Tammy DeWeerd and William G. Berg, Jr., .
known or identified to me to be the Mayor and Clerk, respectively, of the City of
Meridian, who executed the within and foregoing instrument on behalf of said City, and
acknowledged to me that such City executed the same.
AGREEMENT Page 5 of 8
IN WITNESS WHEREOF, I have hereunto affixed my official seal the day and
year first above written.
Notary Public for Idaho
Residing at , Idaho
My Commission Expires:
STATE OF IDAHO )
) ss.
County of Ada )
r
On the 31 'day of May, 2006, before me, the undersigned, a Notary Public in
and for said State, personally appeared Richard R. Davis, known or identified to me to
be the President of R.R. Davis Properties, Inc., the person who executed the within and
foregoing instrument on behalf of said corporation, and acknowledged to me that such
corporation -executed the same.
IN WITNESS WHEREOF,
year first above written.
veil w 44A
OT
STATE OF IDAHO ) ��'+omp OF
ss.
County of Ada )
have hereunto affixed my official seal the day and
W N ary, ublic for Ida o
�} Residing at M6eZt0(-9rf, Idaho
f My Commission Expires: S- /?- rZ
On the day of May, 2006, before me, the undersigned, a Notary Public in
and for said State, personally appeared T. ErW Oaas, known or identified to me to be
the Manager of Oaas Laney, LLC, the person who executed the within and foregoing
instrument on behalf of said limited liability company, and acknowledged to me that
such limited liability company executed -the same as a Member of Lakeview Meridian
Investors, LLC.
IN WITNESS WHEREOF, I have her to a i ed my official seal the day
year first above written.
KIMBERLY CLARKE
Notary Public
State of Idaho
Notary Public f Idaho
Residing at , Idaho
'My Commission Expires:
and
AGREEMENT Page 6 of 8
STATE OF IDAHO )
) ss.
County of Ada )
'er
On the'3l- -aay of May, 2006, before me, the undersigned, a Notary Public in
and for said State, personally appeared Steven Laney, known or identified to me to be
the General Partner of Laneyland, L.P., the person who executed the within and
foregoing instrument on behalf of said limited partnership, and acknowledged to me that
such limited partnership executed the same as a Member of Lakeview Meridian
Investors, LLC.
IN WITNESS WHEREOF, I have hereunto of i ed my official seal the day and
year first above written.
STATE OF I
County of Ada
NotAry Prublic for Idaho
Residing at M ekttl) t obr , Idaho
My Commission Expires: 5- / 't -f(
On the 31 day of May, 2006, before me, the undersigned, a Notary Public in
and for said State, personally appeared Richard R. Davis, known or identified to me to
be the President of R.R. Davis Properties, Inc., the person who executed the within and
foregoing instrument on behalf of said corporation, and acknowledged to me that such
corporation executed the same as a Member of Lakeview Meridian Investors, LLC.
IN WITNESS WHEREOF, I have hereunto affixed my official seal the day and
year first above written.,,E���
STATE OF IDAHO )"04
) ss.
County of Ada }
" � , 0. j //Z&Zi K:: E- L
Noidry P lic for Ida o
Residing at _,Idaho
My Commission Expires: ,5--- /9'- tt
s
On the 3/ day of May, 2006, before me, the undersigned, a Notary Public in
and for said State, personally appeared Gerry W. Mattison, known or identified to me to
be the Vice President of Idaho. Independent Bank, the person who executed the within
AGREEMENT Page 7 of 8
and foregoing instrument on behalf of said corporation, and acknowledged to me that
such corporation executed the same.
IN WITNESS WHEREOF, I have hereunto affixed my official seal the day and
year first above writteg,sip.a w _
Notary Public for Idaho
Residing at Ad Idaho
My Commission Expires: IoL-�-7o
AGREEMENT 'Page.8 of 8
RECORDATION REQUESTED BY:
IDAHO INDEPENDENT BANK
MERIDIAN OFFICE
113 EAST IDAHO AVENUE
MERIDIAN, ID 83642
WHEN RECORDED MAIL TO:
IDAHO INDEPENDENT BANK
MERIDIAN OFFICE
113 EAST IDAHO AVENUE
MERIDIAN, ID 83642
SEND TAX NOTICES TO:
LAKEVIEW MERIDIAN INVESTORS, LLC
R.R. DAVIS PROPERTIES, INC.
4200 W. TALAMORE BLVD.
MERIDIAN ID 83642 SPACE ABOVE THIS LINE IS FOR RECORDER'S USE ONLY
LEASEHOLD
DEED OF TRUST
MAXIMUM LIEN, The lien of this Deed of Trust shall not exceed at any one time $649,759.84.
THIS DEED OF TRUST is dated May 17, 2006, among LAKEVIEW MERIDIAN INVESTORS, LLC AND R.R. DAVIS
PROPERTIES, INC., whose address Is 4200 W. TALAMORE BLVD., MERIDIAN, ID 83642 ("Grantor"); IDAHO
INDEPENDENT BANK, whose address is MERIDIAN OFFICE, 113 EAST IDAHO AVENUE, MERIDIAN, ID 83642
(referred to below sometimes as "Lender" and sometimes as "Beneficiary"); and PIONEER TITLE COMPANY OF
ADA COUNTY, whose address is 8151 W. RIFLEMAN AVENUE, BOISE, ID 83704 (referred to below as
"Trustee").
CONVEYANCE AND GRANT. For valuable consideration, Grantor does hereby irrevocably grant, bargain, call and convey in trust, with power of
sale, to Trustee for the benefit of Lender as Beneficlary, all of Grantor's right, title, and interest in, to and under the Lease described below of
the following described real property, together with all existing or subsequently erected or affixed buildings, improvements and fixtures; all
casements, rights of way, and appurtenances; all water, water rights and ditch rights (including stock In utilities with ditch or irrigation rights);
and all other rights, royalties, and profits relating to the real property, including without limitation any rights Grantor later acquires in the fee
simple title to the land, subject to the Lease, and all minerals, oil, gas, geothermal and similar matters, (the "Real Property") located in
ADA County, State of Idaho:
See EXHIBIT "A", which is attached to the Deed of Trust and made a part of this Deed of Trust as If fully set
forth herein.
THIS DEED OF TRUST INCLUDES ALL OF THE LESSEE'S INTEREST IN THAT PROPERTY DESCRIBED ABOVE
UNDER THE LEASE AGREEMENT ORIGINALLY DATED MAY 17, 2005 BETWEEN THE CITY OF MERIDIAN AS
LESSOR AND LAKEVIEW MERIDIAN INVESTORS, LLC AND R.R. DAVIS PROPERTIES, INC. AS LESSEES.
The Real Property or its address Is commonly known as 4200 W. TALAMORE BLVD., MERIDIAN, ID 83642.
CROSS -COLLATERALIZATION. In addition to the Note, this Deed of Trust secures all obligations, debts and liabilities, plus interest thereon, of
Grantor to Lender, or any one or more of them, as well as all claims by Lender against Grantor or any one or more of them, whether now
existing or hereafter arising, whether related or unrelated to the purpose of the Note, whether voluntary or otherwise, whether due or not due,
direct or indirect, determined or undetermined, absolute or contingent, liquidated or unliquidated, whether Grantor may be liable individually or
jointly with others, whether obligated as guarantor, surety, accommodation party or otherwise, and whether recovery upon such amounts may
be or hereafter may become barred by any statute of limitations, and whether the obligation to repay such amounts may be or hereafter may
become otherwise unenforceable.
Grantor presently assigns to Lender (also known as Beneficiary in this Deed of Trust) all of Grantor's right, tide, and interest In and to all present
and future leases of the Property, and all Rents from the Property. In addition, Grantor grants to Lender a Uniform Commercial Code security
interest in the Personal Property and Rents.
THIS DEED OF TRUST, INCLUDING THE ASSIGNMENT OF RENTS AND THE SECURITY INTEREST IN THE RENTS AND PERSONAL PROPERTY,
IS GIVEN To SECURE fA) PAYMENT OF THE INDEBTEDNESS AND 18) PERFORMANCE OF ANY AND ALL OBLIGATIONS UNDER THE NOTE,
THE RELATED DOCUMENTS, AND THIS DEED OF TRUST. THIS DEED OF TRUST IS GIVEN AND ACCEPTED ON THE FOLLOWING TERMS:
PAYMENT AND PERFORMANCE. Except as otherwise provided in this Deed of Trust, Grantor shall pay to Lender all amounts secured by this
Deed of Trust as they become due, and shall strictly and in a timely manner perform all of Grantor's obligations under the Note, this Deed of
Trust, and the Related Documents.
POSSESSION AND MAINTENANCE OF THE PROPERTY. Grantor agrees that Grantor's possession and use of the Property shall be governed by
the following provisions:
Possession and Use. Until the occurrence of an Event of Default, Grantor may (1) remain in possession and control of the Property; (2)
use, operate or manage the Property; and (3) collect the Rents from the Property. The following provisions relate to the use of the
Property or to other limitations on the Property. THE REAL PROPERTY EITHER IS NOT MORE THAN FORTY (40) ACRES IN AREA OR IS
LOCATED WITHIN AN INCORPORATED CITY OR VILLAGE.
Duty to Maintain. Grantor shall maintain the Property in tenantable condition and promptly perform all repairs, replacements, and
maintenance necessary to preserve its value.
Compliance With Environmental Laws. Grantor represents and warrants to Lender that: (11 During the period of Grantor's leasehold
interest in the Property, there has been no use, generation, manufacture, storage, treatment, disposal, release or threatened release of any
Hazardous Substance by any person on, under, about or from the Property; (2) Grantor has no knowledge of, or reason to believe that
there has been, except as previously disclosed to and acknowledged by Lender in writing, (a) any breach or violation of any Environmental
Laws, (b) any use, generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous Substance on,
under, about or from.the Property by any prior owners or occupants of the Property, or (c) any actual or threatened litigation or claims of
any kind by any person relating to such matters; and (31 Except as previously disclosed to and acknowledged by Lender in writing, (a)
neither Grantor nor any tenant, contractor, agent or other authorized user of the Property shall use, generate, manufacture, store, treat,
dispose of or release any Hazardous Substance an, under, about or from the Property; and (b) any such activity shall be conducted in
compliance with all applicable federal, state, and local laws, regulations and ordinances, including without limitation all Environmental Laws.
Grantor authorizes Lender and its agents to enter upon the Property to make such inspections and tests, at Grantor's expense, as Lender
may deem appropriate to determine compliance of the Property with this section of the Deed of Trust. Any inspections or tests made by
Lender shall be for Lender's purposes only and shall not be construed to create any responsibility or liability on the part of Lender to Grantor
or to any other person. The representations and warranties contained herein are based on Grantor's due diligence in investigating the
Property for Hazardous Substances. Grantor hereby (1) releases and waives any future claims against Lender for indemnity or
contribution in the event Grantor becomes liable for cleanup or other costs under any such laws; and (2) agrees to indemnify and hold
harmless Lender against any and all claims, losses, liabilities, damages, penalties, and expenses which Lender may directly or indirectly
sustain or suffer resulting from a breach of this'section of the Deed of Trust or as a consequence of any use, generation, manufacture,
storage, disposal, release or threatened release occurring prior to Grantor's ownership or interest in the Property, whether or not the same
was or should have been known to Grantor. The provisions of this section of the Deed of Trust, including the obligation to indemnify, shall
survive the payment of the Indebtedness and the satisfaction and reconveyance of the lien of this Deed of Trust and shall not be affected
EMI IT "A7
DEED OF TRUST
Loan No: 5590258 (Continued) Page 2
by Lender's acquisition of any interest in the Property, whether by foreclosure or otherwise.
Nuisance, Waste. Grantor shall not cause, conduct or permit any nuisance nor commit, permit, or suffer any stripping of or waste an or to
the Property or any portion of the Property. Without limiting the generality of the foregoing, Grantor will not remove, or grant to any other
party the right to remove, any timber, minerals (including oil and gas), coal, clay, scoria, soil, gravel or rock products without Lender's prior
written consent.
Removal of Improvements. Grantor shall not demolish or remove any Improvements from the Real Property without Lender's prior written
consent. As a condition to the removal of any Improvements, Lender may require Grantor to make arrangements satisfactory to Lender to
replace such Improvements with Improvements of at least equal value.
Lender's Right to Enter. Lender and Lender's agents and representatives may enter upon the Real Property at all reasonable times to attend
to Lender's interests and to inspect the Real Property for purposes of Grantor's compliance with the terms and conditions of this Deed of
Trust.
Compliance with Governmental Requirements. Grantor shall promptly comply with all laws, ordinances, and regulations, now or hereafter
in effect, of all governmental authorities applicable to the use or occupancy of the Property, including without limitation, the Americans
With Disabilities Act. Grantor may contest in good faith any such law, ordinance, or regulation and withhold compliance during any
proceeding, including appropriate appeals, so long as Grantor has notified Lender in writing prior to doing so and so long as, in Lender's
sole opinion, Lender's interests in the Property are not jeopardized. Lender may require Grantor to post adequate security or a surety bond,
reasonably satisfactory to Lender, to protect Lender's interest.
Duty to Protect. Grantor agrees neither to abandon or leave unattended the Property. Grantor shall do al) other acts, in addition to those
acts set forth above in this section, which from the character and use of the Property are reasonably necessary to protect and preserve the
Property.
Compliance with Lease. Grantor will pay all rents and will strictly observe and perform on a timely basis arl other terms, covenants, and
conditions of the Lease. Grantor will indemnify and hold Lender harmless against all losses, liabilities, actions, suits, proceedings, costs
including reasonable attorneys' fees claims, demands, and damages whatsoever which may be incurred by reason of Grantor's failure to
pay rents or strictly observe or perform under the Lease.
Other Agreements Relating to the Lease. Grantor further agrees (1) not to surrender, terminate, or cancel the Lease, and (2) not to
modify, change, supplement, alter, or amend the Lease, either orally or in writing, without Lender's prior written consent. Any attempt by
Grantor to do any of the foregoing without Lender's prier written consent will be void and of no force and effect. At Lender's option,
Grantor will deposit with Lender as further security all original documents relating to the Lease and the leasehold interest in the Property.
Unless Grantor is in breach or default of any of the terms contained in this Deed of Trust, Lender will have no right to cancel, modify,
change, supplement, alter or amend the leasehold interest. No estate in the Property, whether fee title to the loasehold premises, the
leasehold estate, or any subleasehold estate, will merge without Lender express written consent; rather these estates will remain separate
and distinct, even if there is a union of these estates in the landlord, Grantor, or a third party who purchases or otherwise acquires the
estates. Grantor further agrees that if Grantor acquires all or a portion of the fee simple tide, or any other leasehold or subleasehold title to
the Property, that title will, at Lender's option, immediately become subject to the terms of this Deed of Trust, and Grantor will execute,
deliver and record all documents necessary or appropriate to assure that such title is secured by this Deed of Trust.
Notices Relating to the Lease. Grantor will promptly notify Lender in writing:
(1) if Grantor is in default in the performance or observance of any of the terms, covenants, or conditions which Grantor is to perform
or observe under the Lease;
(2) if any event occurs which would constitute a default under the Lease;
(3) if any notice of default is given to Grantor by the landlord under the Lease;
(b) if, pursuant to the Lease, any proceeds received for the Property are deposited with someone other than Lender, whether received
from any insurance on the Property or from the taking of any or all of the Property by eminent domain; and
(5) If any arbitration or appraisal proceedings are requested or instituted pursuant to the Lease.
Grantor agrees to provide Lender promptly with a copy of all written materials relating to any of the above and to provide Lender with such
other information as Lender may reasonably request. Grantor agrees that promptly after the execution and delivery of this Deed of Trust,
Grantor will notify the landlord under the Lease in writing of the execution and delivery of this Deed of Trust and of the name and address
of Lender and will deliver a copy of this Deed of Trust to the landlord,
Option to Cure Lease Default. Upon Lender's receipt of any written notice of Grantor's default under the Lease, Lender may, at Lend4as
option, cure such default, even though Grantor, or any party on behalf of Grantor, questions or denies the existence of such default or
nature of the default. Grantor expressly grants to Lender the absolute and immediate right to enter upon the Property to such extent anoften as Lender in it sole discretion deems necessary or desirable in order to prevent or cure any such deffaaulltpbbyy�Grantor.f�7 gDUE ON SALE - CONSENT BY LENDER. Lender may, at Lender's option, declare immediately due a paya�faelf �umsseauract by ihrs �eeTrust upon the sale or transfer, without Lender's prior written consent, of all or any part of the Real property, or any interest in the Property. A "sale or transfer' means the conveyance of Real Property or any right, title or interest in the Real Property; whether legal, benefor equitable; whether voluntary or involuntary; whether by outright sale, deed, installment sale contract, land contract, contract for d
leasehold interest with a term greater than three (3) years, lease -option contract, or by sale, assignment, or transfer of any beneficial interest in
or to any land trust holding title to the Real Property, or by any other method of conveyance of an interest in the Real Property, If any Grantor is
a corporation, partnership or limited liability company, transfer also includes any change in ownership of more than twenty-five percent (25%) of
the voting stock, partnership interests or limited liability company interests, as the case may be, of such Grantor. However, this option shall not
be exercised by Lender if such exercise is prohibited by federal law or by Idaho law.
TAXES AND LIENS. The following provisions relating to the taxes and liens on the Property are part of this Deed of Trust:
Payment. Grantor shall pay when due (and in all events prior to delinquency) all taxes, special taxes, assessments, charges (including
water and sewer), fines and impositions levied against or on account of the Property, and shall pay when due all claims for work done on or
for services rendered or material furnished to the Property. Grantor shall maintain the Property free of all liens having priority over or equal
to the interest of Lender under this Deed of Trust, except for the lien of taxes and assessments not due and except as otherwise provided
in this Deed of Trust.
Right to Contest. Grantor may withheld payment of any tax, assessment, or claim in connection with a good faith dispute over the
obligation to pay, so fang as Lender's interest in the Property is not jeopardized. If a lien arises or is filed as a result of nonpayment,
Grantor shall within fifteen (15) days after the lien arises or, if a lien is filed, within fifteen (15) days after Grantor has notice of the filing,
secure the discharge of the lien, or if requested by Lender, deposit with Lender cash or a sufficient corporate surety bond or other security
satisfactory to Lender in an amount sufficient to discharge the lien plus any costs and reasonable attorneys' fees, or other charges that
could accrue as a result of a foreclosure or sale under the lien. In any contest, Grantor shall defend itself and Lender and shall satisfy any
adverse judgment before enforcement against the Property. Grantor shall name Lender as an additional obligee under any surety bond
furnished in the contest proceedings.
Evidence of Payment. Grantor shalt upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and shall
authorize the appropriate governmental official to deliver to Lender at any time a written statement of the taxes and assessments against
the Property.
Notice of Construction. Grantor shall notify Lender at least fifteen (15) days before any work is commenced, any services are furnished, or
any materials are supplied to the Property, if any mechanic's lien, materialmen's lien, or other Gen could be asserted on account of the
work, services, ar materials. Grantor wi€I upon request of Lender furnish to Lender advance assurances satisfactory to Lender that Grantor
can and will pay the cost of such improvements.
PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this Deed of Trust
Maintenance of Insurance. Grantor shall procure and maintain policies of fire insurance with standard extended coverage endorsements on
a replacement basis for the full insurable value covering all Improvements on the Real Property in an amount sufficient to avoid application
of any coinsurance clause, and with a standard mortgagee clause in favor of Lender. Grantor shall also procure and maintain
comprehensive general liability insurance in such coverage amounts as Lender may request with Trustee and Lender being named as
additional insureds in such liability insurance policies. Additionally, Grantor shall maintain such other insurance, including but not limited to
DEED OF TRUST
Loan No. 5590258 (Continued) Page 3
hazard, business interruption, and bailer insurance, as Lender may reasonably require. Policies shall be written in form, amounts, coverages
and basis reasonably acceptable to Lender and issued by a company or companies reasonably acceptable to Lender. Grantor, upon request
of Lender, will deliver to Lender from time to time the policies or certificates of insurance in form satisfactory to Lender, including
stipulations that coverages will not be cancelled or diminished without at least ten (10) days prior written notice to Lender. Each insurance
policy also shall include an endorsement providing that coverage in favor of Lender will not be impaired in any way by any act, omission or
default of Grantor or any other person. Should the Real Property be located in an area designated by the Director of the Federal Emergency
Management Agency as a special flood hazard area, Grantor agrees to obtain and maintain Federal Flood Insurance, if available, within 45
days after notice is given by Lender that the Property is located in a special flood hazard area, for the full unpaid principal balance of the
loan and any prior liens on the property securing the loan, up to the maximum policy limits set under the National Flood Insurance Program,
or as otherwise required by Lender, and to maintain such insurance for the term of the loan.
Application of Proceeds. Grantor shall promptly notify Lender of any loss or damage to the Property. Lender may make proof of loss if
Grantor fails to do so within fifteen (15) days of the casualty. Whether or not Lender's security is impaired, Lender may, at Lender's
election, receive and retain the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness, payment of any lien
affecting the Property, or the restoration and repair of the Properly. If Lender elects to apply the proceeds to restoration and repair, Grantor
shall repair or replace the damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon satisfactory proof of
such expenditure, pay or reimburse Grantor from the proceeds for the reasonable cost of repair or restoration if Grantor is not in default
under this Deed of Trust. Any proceeds which have not been disbursed within 180 days after their receipt and which Lender has not
committed to the repair or restoration of the Property shall be used first to pay any amount owing to Lender under this Deed of Trust, then
to pay accrued interest, and the remainder, if any, shall be applied to the principal balance of the Indebtedness. If Lender holds any
proceeds after payment in full of the Indebtedness, such proceeds shall be paid to Grantor as Grantor's interests may appear.
Grantor's Report on Insurance. Upon request of Lender, however not more than once a year, Grantor shall furnish to Lender a report on
each existing policy of insurance showing: (1) the name of the insurer; (2) the risks insured; (3) the amount of the policy; (4) the
property insured, the then current replacement value of such property, and the manner of determining that value; and (5) the expiration
date of the policy. Grantor shall, upon request of Lender, have an independent appraiser satisfactory to Lender determine the cash value
replacement cost of the Property.
LENDER'S EXPENDITURES. If any action or proceeding is commenced that would materially affect Lender's interest in the Property or if Grantor
fails to comply with any provision of this Deed of Trust or any Related Documents, including but not limited to Grantor's failure to discharge or
pay when due any amounts Grantor is required to discharge or pay under this Deed of Trust or any Related Documents, Lender on Grantor's
behalf may (but shall not be obligated to) take any action that Lender deems appropriate, including but not limited to discharging or paying all
taxes, liens, security interests, encumbrances and other claims, at any time levied or placed on the Property and paying all costs for insuring,
maintaining and preserving the Property. All such expenditures incurred or paid by Lender for such purposes will then bear interest at the rate
charged under the Note from the date incurred or paid by Lender to the date of repayment by Grantor. All such expenses will become a part of
the Indebtedness and, at Lender's option, will (A) be payable on demand; (B) he added to the balance of the Note and be apportioned among
and be payable with any installment payments to become due during either (1) the term of any applicable insurance policy; or (2) the
remaining term of the Note; or (C) be treated as a balloon payment which will be due and payable at the Note's maturity. The Deed of Trust
also will secure payment of these amounts. Such right shall be in addition to all other rights and remedies to which Lender may be entitled upon
Default.
WARRANTY; DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a part of this Deed of Trust:
Title. Grantor warrants that: (a) Grantor holds good and marketable title of record to the leasehold interest in the Property pursuant to the
Lease, free and clear of all liens and encumbrances other than those set forth in the Real Property description br in any title insurance
policy, title report, or final title opinion issued in favor of, and accepted by, Lender in connection with this Deed of Trust, and (b) Grantor
has the full right, power, and authority to execute and deliver this Deed of Trust to Lender.
Defense of Title. Subject to the exception in the paragraph above, Grantor warrants and will forever defend the title to the Property against
the lawful claims of all persons. In the event any action or proceeding is commenced that questions Grantor's title or the interest of
Trustee or Lender under this Deed of Trust, Grantor shall defend the action at Grantor's expense. Grantor may be the nominal party in
such proceeding, but Lender shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel of
Lender's own choice, and Grantor will deliver, or cause to be delivered, to Lender such instruments as Lender may request from time to
time to permit such participation.
Compliance With Laws. Grantor warrants that the Property and Grantor's use of the Property complies with all existing applicable laws,
ordinances, and regulations of governmental authorities.
Survival of Representation■ and Warranties. All representations, warranties, and agreements made by Grantor in this Deed of Trust shall
survive the execution and delivery of this Deed of Trust, shall be continuing in nature, and shall remain in full force and effect until such
time as Grantor's Indebtedness shall be paid in full.
CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Dead of Trust:
Proceedings. If any proceeding in condemnation Is filed, Grantor shall promptly notify Lender in writing, and Grantor shall promptly take
such steps as may be necessary to defend the action and obtain the award. Grantor may be the nominal party in such proceeding, but
Lender shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel of its own choice, and Grantor
will deliver or cause to be delivered to Lender such instruments and documentation as may be requested by Lender from time to time to
permit such participation.
Application of Net Proceeds. If all or any part of the Property is condemned by eminent domain proceedings or by any proceeding or
purchase in lieu of condemnation, Lender may at its election require that all or any portion of the net proceeds of the award be applied to
the Indebtedness or the repair or restoration of the Property. The not proceeds of the award shall mean the award after payment of all
reasonable costs, expenses, and attorneys' fees incurred by Trustee or Lender in connection with the condemnation.
IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmental taxes,
fees and charges are a part of this Deed of Trust:
Current Taxes, Fees and Charges. Upon request by Lender, Grantor shall execute such documents in addition to this Deed of Trust and
take whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property. Grantor shall reimburse
Lender for all taxes, as described below, together with all expenses incurred in recording, perfecting or continuing this Deed of Trust,
including without limitation all taxes, fees, documentary stamps, and other charges for recording or registering this Deed of Trust.
Taxes. The following shall constitute taxes to which this section applies: (1) a specific tax upon this type of Deed of Trust or upon all or
any part of the Indebtedness secured by this Deed of Trust; (21 a specific tax on Grantor which Grantor is authorized or required to
deduct from payments an the Indebtedness secured by this type of Deed of Trust; (3) a tax on this type of Deed of Trust chargeable
against the Lender or the holder of the Nate; and (4) a specific tax an all or any portion of the Indebtedness or on payments of principal
and interest made by Grantor.
Subsequent Taxes. If any tax to which this section applies is enacted subsequent to the date of this Dead of Trust, this event shall have
the some effect as an Event of Default, and Lender may exercise any or all of its available remedies for an Event of Default as provided
below unless Grantor either (1) pays the tax before it becomes delinquent, or (2) contests the tax as provided above in the Taxes and
Liens section and deposits with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender.
SECURITY AGREEMENT; FINANCING STATEMENTS. The following provisions relating to this Deed of Trust as a security agreement are a part
of this Deed of Frust:
Security Agreement. This instrument shall constitute a Security Agreement to the extent any of the Property constitutes fixtures, and
Lender shall have all of the rights of a secured party under the Uniform Commercial Code as amended from time to time.
Security Interest. Upon request by Lender, Grantor shall take whatever action is requested by Lender to perfect and continue Lender's
security interest In the Rents and Persona) Property. In addition to recording this Dead of Trust in the real property records, Lender may, at
any time and without further authorization from Grantor, file executed counterparts, copies or reproductions of this Deed of Trust as a
financing statemgnt. Grantor shall reimburse Lender for all expenses incurred in perfecting or continuing this security interest. Upon
default, Grantor shall not remove, sever or detach the Persona[ Property from the Property. Upon default, Grantor shall assemble any
Personal Property not affixed to the Property in a manner and at a place reasonably convenient to Grantor and Lander and make it available
to Lender within three (3) days after receipt of written demand from Lender to the extent permitted by applicable law.
DEED OF TRUST
Loan No: 5596258 (Continued) Page 4
Addresses. The mailing addresses of Grantor (debtor) and Lender (secured party) from which information concerning the security interest
granted by this Deed of Trust may be obtained (each as required by the Uniform Commercial Code) are as stated on the first page of this
Deed of Trust.
FURTHER ASSURANCES. ATTORNEY-IN-FACT, The following provisions relating to further assurances and attorney-in-fact are a part of this
Deed of Trust:
Further Assurances, At any time, and from time to time, upon request of Lender, Grantor will make, execute and deliver, or will cause to
be made, executed or delivered, to Lender or to Lender's designee, and when requested by Lender, cause to be filed, recorded, refiled, or
rerecorded, as the case may be, at such times and in such offices and places as Lender may deem appropriate, any and all such mortgages,
deeds of trust, security deeds, security agreements, financing statements, continuation statements, instruments of further assurance,
certificates, and other documents as may, in the sale opinion of Lender, be necessary or desirable in order to effectuate, complete, perfect,
continue, or preserve (1) Grantor's obligations under the Nate, this Deed of Trust, and the Related Documents, and (2) the liens and
security interests created by this Deed of Trust as first and prior liens on the Property, whether now owned or hereafter acquired_ by
Grantor. Unless prohibited by law or Lender agrees to the contrary in writing, Grantor shall reimburse Lender for all costs and expenses
incurred in connection with the matters referred to in this paragraph.
Attorney -in -Fact. If Grantor fails to do any of the things referred to in the preceding paragraph, Lender may do so for and in the name of
Grantor and at Grantor's expense, For such purposes, Grantor hereby irrevocably appoints Lender as Grantor's attorney-in-fact for the
purpose of making, executing, delivering, filing, recording, and doing all other things as may be necessary or desirable, in Lender's sole
opinion, to accomplish the matters referred to in the preceding paragraph.
FULL PERFORMANCE. If Grantor pays all the Indebtedness when due, and otherwise performs all the obligations imposed upon Grantor under
this Deed of Trust, Lender shall execute and deliver to Trustee a request for full reconveyance and shall execute and deliver to Grantor suitable
statements of termination of any financing statement on file evidencing Lender's security interest in the Rents and the Personal Property. Any
reconveyance fee required by law shall be paid by Grantor, if permitted by applicable law.
EVENTS OF DEFAULT. Each of the following, at Lender's option, shall constitute an Event of Default under this Deed of Trust:
Payment Default. Grantor fails to make any payment when due under the Indebtedness.
Other Defaults. Grantor fails to comply with or to perform any other term, obligation, covenant or condition contained in this Deed of Trust
or in any of the Related Documents or to comply with or to perform any term, obligation, covenant or condition contained in any other
agreement between Lender and Grantor.
Compliance Default. Failure to comply with any other term, obligation, covenant or condition contained in this Deed of Trust, the Note or in
any of the Related Documents.
Default an Other Payments. Failure of Grantor within the time required by this Deed of Trust to make any payment for taxes or insurance,
or any other payment necessary to prevent filing of or to effect discharge of any lien.
Default in Favor of Third Parties, Should Grantor default under any loan, extension of credit, security agreement, purchase or sales
agreement, or any other agreement, in favor of any other creditor or person that may materially affect any of Grantor's property or
Grantor's ability to repay the Indebtedness or perform their respective obligations under this Deed of Trust or any of the Related
Documents.
False Statements. Any warranty, representation or statement made or furnished to Lender by Grantor or on Grantor's behalf under this
Deed of Trust or the Related Documents is false or misleading in any material respect, either now or at the time made or furnished or
becomes false or misleading at any time thereafter.
Defective Collateralization. This Deed of Trust or any of the Related Documents ceases to be in full force and effect (including failure of
any collateral document to create a valid and perfected security interest or lien) at any time and for any reason.
Insolvency. The dissolution or termination of Grantor's existence as a going business, the insolvency of Grantor, the appointment of a
receiver for any part of Grantor's property, any assignment for the benefit of creditors, any type of creditor workout, or the commencement
of any proceeding under any bankruptcy or insolvency iaws by or against Grantor.
Creditor or Forfeiture Proceedings, Commencement of foreclosure or forfeiture proceedings, whether by judicial proceeding, self-help,
repossession or any other method, by any creditor of Grantor or by any governmental agency against any property securing the
Indebtedness. This includes a garnishment of any of Grantor's accounts, including deposit accounts, with Lender, However, this Event of
Default shall not apply if there is a good faith dispute by Grantor as to the validity or reasonableness of the claim which is the basis of the
creditor or forfeiture proceeding and if Grantor gives Lender written notice of the creditor or forfeiture proceeding and deposits with Lender
monies or a surety bond for the creditor or forfeiture proceeding, in an amount determined by Lender, in its sole discretion, as being an
adequate reserve or bond for the disputa,
Lease Default. Grantor defaults under the terms of the Lease, or any other event (whether or not Grantor's fault) results in the termination
or cancellation of Grantor's leasehold rights.
Breach of Other Agreement. Any breach by Grantor under the terms of any other agreement between Grantor and Lender that is not
remedied within any grace period provided therein, including without limitation any agreement concerning any indebtedness or other
obligation of Grantor to Lender, whether existing now or later,
Events Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the indebtedness or any
Guarantor dies or becomes incompetent, or revokes or disputes the validity of, or liability under, any Guaranty of the Indebtedness. In the _
event of a death, Lender, at its option, may, but shall not be required to, permit the Guarantor's estate to assume unconditionally the
obligations arising under the guaranty in a manner satisfactory to Lender, and, in doing so, cure any Event of Default.
Adverse Change. A material adverse change occurs in Grantor's financial condition, or Lender believes the prospect of payment or
performance of the Indebtedness is impaired.
Insecurity. Lender in good faith believes itself insecure.
Right to Cure. If any default, other than a default in payment is curable and it Grantor has not been given a notice of a breach of the same
provision of this Deed of Trust within the preceding twelve (12) months, it may be cured if Grantor, after receiving written notice from
Lender demanding cure of such default: (1) cures the default within fifteen (15) days, or (2) if the cure requires more than fifteen (1 5)
days, immediately initiates steps which Lender deems in Lender's sole discretion to be sufficient to cure the default and thereafter
continues and completes all reasonable and necessary steps sufficient to produce compliance as soon as reasonably practical,
RIGHTS AND REMEDIES ON DEFAULT. If an Event of Default occurs under this Deed of Trust, at any time thereafter, Trustee or Lender may
exercise any one or more of the following rights and remedies:
Notice of Default. In the Event of Default Lender shall execute or cause the Trustee to execute a written notice of such default and of
Lender's election to cause the Property to be sold to satisfy the Indebtedness, and shall cause such notice to be recorded in the office of
the recorder of each county wherein the Real Property, or any part thereof, is situated.
Election of Remedies, Election by Lender to pursue any remedy shall not exclude pursuit of any other remedy, and an election to make
expenditures or to take action to perform an obligation of Grantor under this Deed of Trust, after Grantor's failure to perform, shall not
affect Lender's right to declare a default and exercise its remedies.
Accelerate Indebtedness. Lender shall have the right at its option without notice to Grantor to declare the entire Indebtedness immediately
due and payable, including any prepayment penalty which Grantor would be required to pay.
Foreclosure. With respect to all or any part of the Real Property, the Trustee shall have the right to foreclose by notice and sale, and
Lender shall have the right to foreclose by judicial foreclosure, in either case in accordance with and to the full extent provided by
applicable law.
UCC Remedies. With respect to all or any part of the Personal Property, Lender shall have all the rights and remedies of a secured party
under the Uniform Commercial Code,
Collect Rents. Lender shall have the right, without notice to Grantor to take possession of and manage the Property and collect the Rents,
including amounts past due and unpaid, and apply the net proceeds, over and above Lender's casts, against the Indebtedness. In
furtherance of this right, tender may require any tenant or other user of the Property to make payments of rent or use fees directly to
DEED OF TRUST
Loan No: 5590258 (Continued) Page 5
Lender. If the Rents are collected by Lender, then Grantor irrevocably designates Lender as Grantor's attorney-in-fact to endorse
instruments received in payment thereof in the name of Grantor and to negotiate the same and collect the proceeds. Payments by tenants
or other users to Lender in response to Lender's demand shall satisfy the obligations for which the payments are made, whether or not any
proper grounds for the demand existed, Lender may exercise its rights under this subparagraph either in person, by agent, of through a
receiver.
Appoint Receiver. Lender shall have the right to have a receiver appointed to take possession of all or any part of the Property, with the
power to protect and preserve the Property, to operate the Property preceding foreclosure or sale, and to collect the Rents from the
Property and apply the proceeds, over and above the cost of the receivership, against the Indebtedness. The receiver may serve without
bond if permitted by law. Lender's right to the appointment of a receiver shall exist whether or not the apparent value of the Property
exceeds the Indebtedness by a substantial amount. Employment by Lender shall not disqualify a person from serving as a receiver.
Tenancy at Sufferance. If Grantor remains in possession of the Property after the Property is sold as provided above or Lender otherwise
becomes entitled to possession of the Property upon default of Grantor, Grantor shall become a tenant at sufferance of Lender or the
purchaser of the Property and shall, at Lender's option, either (1) pay a reasonable rental for the use of the Property, or (2) vacate the
Property immediately upon the demand of Lender. -
Other Remedies. Trustee or Lender shall have any other right or remedy provided in this Deed of Trust or the Note or by law.
Notice of Sale. Lender shall give Grantor reasonable notice of the time and place of any public sale of the Personal Property or of the time
after which any private sale or other intended disposition of the Personal Property is to be made. Reasonable notice shall mean notice
given at least ten (14) days before the time of the sale or disposition, Any sale of the Personal Property may be made in conjunction with
any sale of the Real Property,
Sale of the property. To the extent permitted by applicable law, Grantor hereby waives any and all rights to have the Property marshalled.
In exercising its rights and remedies, the Trustee or Lender shall be free to sell all or any part of the Property together or separately, in one
sale or by separate sales. Lender shall be entitled to bid at any public sale an all or any portion of the Property. Notice of sale having been
given as then required by law, and not less than the time required by law having elapsed, Trustee, without demand on Grantor, shall sell
the property at the time and place fixed by it in the notice of sale at public auction to the highest bidder for cash in lawful money of the
United States, payable at time of sale. Trustee shall deliver to the purchaser his or her deed conveying the Property so sold, but without
any covenant or warranty express or implied. The recitals in such deed of any matters or facts shall be conclusive proof of the truthfulness
of such matters or facts. After deducting all costs, fees and expenses of Trustee and of this Trust, including cost of evidence of title and
reasonable attorneys' fees, including those in connection with the sale, Trustee shall apply proceeds of sale to payment of fat all sums
expended under this Deed of Trust, not then repaid with interest thereon as provided in this Deed of Trust; (b) at[ Indebtedness secured
hereby; and (c) the remainder, if any, to the person or persons legally entitled thereto.
Attorneys' Fees; Expenses. If Lender institutes any suit or action to enforce any of the terms of this Deed of Trust, Lender shall be entitled
to recover such sum as the court may adjudge reasonable as attorneys' fees at trial and upon any appeal. Whether or not any court action
is involved, and to the extent not prohibited by law, all reasonable expenses Lender incurs that in Lender's opinion are necessary at any
time for the protection of its interest or the enforcement of its rights shall become a part of the Indebtedness payable on demand and shall
bear interest at the Note rate from the date of the expenditure until repaid. Expenses covered by this paragraph include, without limitation,
however subject to any limits under applicable law, Lender's reasonable attorneys' fees and Lender's legal expenses whether or not there is
a lawsuit, including reasonable attorneys' fees and expenses for bankruptcy proceedings (including efforts to modify or vacate any
automatic stay or injunction), appeals, and any anticipated post -judgment collect)on services, the cost of searching records, obtaining title
reports (including foreclosure reports), surveyors' reports, and appraisal fees, title insurance, and fees for the Trustee, to the extent
permitted by applicable law. Grantor also will pay any court costs, in addition to all other sums provided by Jaw.
Rights of Trustee. Trustee shall have all of the rights and duties of Lender as set forth in this section.
POWERS AND OBLIGATIONS OF TRUSTEE. The following provisions relating to the powers and obligations of Trustee are part of this Deed of
Trust;
Powers of Trustee. In addition to all powers of Trustee arising as a matter of law, Trustee shall have the power to take the following
actions with respect to the Property upon the written request of Lender and Grantor: (a) join in preparing and filing a map or plat of the
Real Property, including the dedication of streets or other rights to the public; (b) join in granting any easement or creating any restriction
on the Real Property; and let join in any subordination or other agreement affecting this Deed of Trust or the interest of Lender under this
Deed of Trust.
Obligations to Notify. Trustee shall not be obligated to notify any other party of a pending sale under any other trust dead or lien, or of any
action or proceeding in which Grantor, Lender, or Trustee shall be a party, unless the action or proceeding is brought by Trustee.
Trustee. Trustee shall meet all qualifications required for Trustee under applicable taw. In addition to the rights and remedies set forth
above, with respect to all or any part of the Property, the Trustee shall have the right to foreclose by notice and sale, and Lender shall have
the right to foreclose by judicial foreclosure, in either case in accordance with and to the full extent provided by applicable law.
Successor Trustee. Lender, at Lender's option, may from time to time appoint a successor Trustee to any Trustee appointed under this
Deed of Trust by an instrument executed and acknowledged by Lender and recorded in the office of the recorder of ADA County, State of
Idaho. The instrument shall contain, in addition to all other matters required by state law, the names of the original Lender, Trustee, and
Grantor, the book and page where this Deed of Trust is recorded, and the name and address of the successor trustee, and the instrument
shall be executed and acknowledged by Lender or its successors in interest. The successor trustee, without conveyance of the Property,
shall succeed to all the title, power, and duties conferred upon the Trustee in this Deed of Trust and by applicable law. This procedure for
substitution of Trustee shall govern to the exclusion of all other provisions for substitution.
NOTICES. Any notice required to be given under this Deed of Trust, including without limitation any notice of default and any notice of sale
shalt be given in writing, and shall be effective when actually delivered, when actually received by tolefacsimile (unless otherwise required by
law), when deposited with a nationally recognized overnight courier, or, if mailed, when deposited in the United States mail, as first class,
certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Deed of Trust, All copies of notices of
foreclosure from the holder of any lien which has priority over this Deed of Trust shall be sent to Lender's address, as shown near the beginning
of this Deed of Trust. Any party may change its address for notices under this Deed of Trust by giving formal written notice to the other
Parties, specifying that the purpose of the notice is to change the party's address, For notice purposes, Grantor agrees to keep Lender informed
at all times of Grantor's current address. Unless otherwise provided or required by law, if there is more than one Grantor, any notice given by
Lender to any Grantor is deemed to be notice given to all Grantors.
EXHIBIT 'A". An exhibit, titled "EXHIBIT "A'," is attached to this Dead of Trust and by this reference is made a part of this Deed of Trust just
as if all the provisions, terms and conditions of the Exhibit had been fully set forth in this Deed of Trust.
MISCELLANEOUS PROVISIONS. The following miscetlaneous provisions are a part of this Deed of Trust:
Amendments. This Deed of Trust, together with any Related Documents, constitutes the entire understanding and agreement of the parties
as to the matters set forth in this Deed of Trust. No alteration of or amendment to this Deed of Trust shall be effective unless given in
writing and signed by the party or parties sought to be charged or bound by the alteration or amendment.
Annual Reports. If the Property is used for purposes other than Grantor's residence, Grantor shall furnish to Lender, upon request, a
certified statement of net operating income received from the Property during Grantor's previous fiscal year in such form and detail as
Lender shall require. "Nat operating income" shall mean all cash receipts from the Property less all cash expenditures made in connection
with the operation of the Property.
Caption Headings. Caption headings in this Deed of Trust are for convenience purposes only and are not to be used to interpret or define
the provisions of this Deed of Trust,
Merger. There shall be no merger of the interest or estate created by this Deed of Trust with any other interest or estate in the Property at
any time held by or for the benefit of Lender in any capacity, without the written consent of Lender.
Governing Law. This Deed of Trust will be governed by federal law applicable to Lender and, to the extent not preempted by federal law,
the laws of the State of Idaho without regard to its conflicts of law provisions. This Deed of Trust has been accepted by Lender in the
State of Idaho.
Choice of Venue, If there is a lawsuit, Grantor agrees upon Lender's request to submit to the jurisdiction of the courts of ADA County,
State of Idaho.
DEED OF TRUST
Loan No: 5590258 (Continued) page 6
Joint and Several Liability. All obligations of Grantor under this Deed of Trust shall be joint and several, and all references to Grantor shall
mean each and every Grantor. This means that each Grantor signing below is responsible for all obligations in this Deed of Trust. Where
any one or more of the parties is a corporation, partnership, limited liability company or similar entity, it is not necessary for Lender to
inquire into the powers of any of the officers, directors, partners, members, or other agents acting or purporting to act on the entity's
behalf, and any obligations made or created in reliance upon the professed exercise of such powers shall be guaranteed under this Deed of
Trust.
No Waiver by Lender. Lender shall not be deemed to have waived any rights under this Deed of Trust unless such waiver is given in writing
and signed by Lender. No delay or omission on the part of Lender in exercising any right shall operate as a waiver of such right or any
other right. A waiver by Lender of a provision of this Deed of Trust shall not prejudice or constitute a waiver of Lender's right otherwise, to
demand strict compliance with that provision or any other provision of this Deed of Trust. No prior waiver by Lender, nor any course,of
dealing between Lender and Grantor, shall constitute a waiver of any of Lender's rights or of any of Grantor's obligations as to any future
transactions. Whenever the consent of Lender is required under this Deed of Trust, the granting of such consent by Lender in any instance
shall not constitute continuing consent to subsequent instances where such consent is required and in all cases such consent may be
granted or withheld in the sole discretion of Lender.
Severability. If a court of competent jurisdiction finds any provision of this Deed of Trust to be illegal, invalid, or unenforceable as to any
person or circumstance, that finding shall not make the offending provision illegal, invalid, or unenforceable as to any other person or
circumstance. If feasible, the offending provision shall be considered modified so that it becomes legal, valid and enforceable. If the
offending provision cannot be so modified, it shall be considered deleted from this Deed of Trust. Unless otherwise required by law, the
illegality, invalidity, or unenforecabi€ity of any provision of this Deed of Trust shall not affect the legality, validity or enforceability of any
other provision of this Dead of Trust.
Successors and Assigns. Subject to any limitations stated in this Deed of Trust on transfer of Grantor's interest, this Deed of Trust shall be
binding upon and inure to the benefit of the parties, their successors and assigns. If ownership of the Property becomes vested in a person
other than Grantor, Lender, without notice to Grantor, may deal with Grantor's successors with reference to this Deed of Trust and the
Indebtedness by way of forbearance or extension without releasing Grantor from the obligations of this Deed of Trust or liability under the
Indebtedness.
Time is of the Essence. Time is of the essence in the performance of this Deed of Trust.
Waive Jury. All parties to this Deed of Trust hereby waive the right to any jury trial in any action, proceeding, or counterclaim brought by
any party against any other party.
Waiver of Homestead Exemption. Grantor hereby releases and waives all rights and benefits of the homestead exemption laws of the State
of Idaho as to all Indebtedness secured by this Deed of Trust.
DEFINITIONS, The following capitalized words and terms shall have the following meanings when used in this Deed of Trust. Unless
specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawful money of the United States of America. Words
and terms used in the singular shall include the plural, and the plural shall include the singular, as the context may require. Words and terms not
otherwise defined in this Deed of Trust shall have the meanings attributed to such terms in the Uniform Commercial Code:
Beneficiary. The word "Beneficiary" means IDAHO INDEPENDENT BANK, and its successors and assigns.
Borrower. The word "Borrower" means LAKEVIEW MERIDIAN INVESTORS, LLC; and R.A. DAVIS PROPERTIES, INC. and includes all
co-signers and co -makers signing the Note and all their successors and assigns.
Deed of Trust, The words "Deed of Trust" mean this Deed of Trust among Grantor, Lender, and Trustee, and includes without limitation all
assignment and security interest provisions relating to the Personal Property and Rents.
Default. The word "Default" means the Default set forth in this Deed of Trust in the section titled "Default*.
Environmental Laws. The words "Environmental Laws" mean any and all state, federal and local statutes, regulations and ordinances
relating to the protection of human health or the environment, including without limitation the Comprehensive Environmental Response,
Compensation, and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, at seq. ("CERCLA"), the Superfund Amendments and
Reauthorization Act of 1986, Pub. L. No. 99-499 ("SARA"), the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, at seq.,
the Resource Conservation. and Recovery Act,, 42 U.S.G. Section 6901, at seq„ or other applicable state or federal laws, rules, or
regulations adopted pursuant thereto,
Event of Default. The words "Event of Default" mean any of the events of default set forth in this Deed of Trust in the events of default
section of this Deed of Trust.
Grantor. The ward "Grantor" means LAKEVIEW MERIDIAN INVESTORS, LLC; and R.R. DAVIS PROPERTIES, INC..
Guarantor. The word "Guarantor" means any guarantor, surety, or accommodation party of any or all of the Indebtedness.
Guaranty, The word "Guaranty" means the guaranty from Guarantor to Lender, including without limitation a guaranty of all or part of the
Note.
Hazardous Substances, The words "Hazardous Substances" mean materials that, because of their quantity, concentration or physical,
chemical or infectious characteristics, may cause or pose a present or potential hazard to human health or the environment when
improperly used, treated, stored, disposed of, generated, manufactured, transported or otherwise handled. The words "Hazardous
Substances" are used in their very broadest sense and include without limitation any and all hazardous or toxic substances, materials or
waste as defined by or listed under the Environmental Laws, The term "Hazardous Substances" also includes, without limitation, petroleum
and petroleum by-products or any fraction thereof and asbestos.
Improvements. The word "Improvements" means all existing and future improvements, buildings, structures, mobile homes affixed on the
Real Property, facilities, additions, replacements and other construction on the Real Property.
Indebtedness. The word "Indebtedness" means all principal, interest, and other amounts, costs and expenses payable under the Note or
Related Documents, together with all renewals of, extensions of, modifications of, consolidations of and substitutions for the Note or
Related Documents and any amounts expended or advanced by Lender to discharge Grantor's obligations or expenses incurred by Trustee
or Lender to enforce Grantor's obligations under this Deed of Trust, together with interest on such amounts as provided in this Deed of
Trust. Specifically, without limitation, Indebtedness includes all amounts that may be indirectly secured by the Crass -Collateralization
provision of this Deed of Trust.
Lease. The ward "Lease" means the lease of the Property dated May 17, 2005, between CITY OF MERIDIAN, Landlord and Grantor.
Lender. The word "Lender" means IDAHO INDEPENDENT BANK, its successors and assigns.
Note. The word "Mote" means the promissory note dated May 17, 2005, in the original principal amount of $6.49,759,84 from
Grantor to Lender, together with all renewals of, extensions of, modifications of, refinancings of, consolidations of, and substitutions for
the promissory note or agreement. NOTICE TO GRANTOR. THE NOTE CONTAINS A VARIABLE INTEREST RATE.
Personal Property. The wards "Personal Property" mean all equipment, fixtures, and other articles of personal property now or hereafter
owned by Grantor, and now or hereafter attached or affixed to the Real Property; together with all accessions, parts, and additions to, all
replacements of, and all substitutions for, any of such property; and together with all proceeds (including without limitation all insurance
proceeds and refunds of premiums) from any sale or other disposition of the Property.
Property, The word "Property" means collectively the Real Property and the Personal Property.
Real Property. The wards "Real Property" mean the real property, interests and rights, as further described in this Deed of Trust.
Related Documents. The words "Related Documents" mean all promissory notesr credit agreements, loan agreements, environmental
agreements, guaranties, security agreements, mortgages, deeds of trust, security deeds, collateral mortgages, and all other instruments,
agreements and documents, whether now or hereafter existing, executed in connection with the Indebtedness.
Rome. The word "Rents" means all present and future rents, revenues, income, issues, royalties, profits, and other benefits derived from
the Property.
Trustee. The ward "Trustee" means PIONEER TITLE COMPANY OF ADA COUNTY, whose address is 8151 W. RIFLEMAN AVENUE,
BOISE, ID 83704 and any substitute or successor trustees,
DEED OF TRUST
Loan No. 5590258 (Continued) Page 7
EACH GRANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS DEED OF TRUST, AND EACH GRANTOR AGREES TO ITS
TERMS.
GRANTOR:
LAKEVIEW MERIDIAN INVESTORS, LLC
OAAS LANEY, LLC, Member of LAKEVIEW MERIDIAN INVESTORS, LLC
WHITEROCKINV �,LC,r of OAAS LANEY, LLC
Sy:
T. S, Man cr of ROCK
IN 5 E S, LL
LANEYLAND ., Member of OAAS LANEY, LLC
By:
L Y, rel artner of LANEYLAND
7
R.R. DAVIS PERTIES, INC., Mem f LAKEVIEW MERIDIAN INVESTORS, LLC
By:
RI R. AVIS, resrdent of R.R. DAVIS
PROPERTIES, INC.
R.R. DAVIS RBOPERTIES, I
4
$y: / c�
RI HARD R. DAVIS, President of A.R. DAVIS
PROPERTIES, INC.
LIMITED LIABILITY COMPANY ACKN
STATE OF I
7KIMBERLYCLARKE
ary Public
SS of Idaho
COUNTY OF 1
On this �5 day of , in the year 20 before me rn
a notary pu is in and for the State of Idaho, personally appeared T. ERIK OAAS, Monager of
WHITEROCK INVESTMENTS, LLC and STEVEN LANEYeneral Partner of LANEYLAND L.P. and RICHARD R. DAVIS, President of R.R. DAVIS
PROPERTIES, INC k or identified to me {or proved to me on the oath of ], to be members or
designated a nts 1 li ' ed liability company of LAKEVIEW MERIDIAN INVESTORS, LLC, and the members or designated agents who
subscrib id Ii ' ad h 'lit company name to the foregoing instrument, and acknowledged to me that they executed the same in said limited
liability m ny e
Residing at
Notary Public
My commission expires
CORPORATE ACKNOWLEDGMENT
STATE OF I -Q74 00
I SS
COUNTY OF 01 1
On this 131 'C'r
day of NI #4 Y , in the year 20 47 & , before me & a0f-4L.0 f.--?.
-i , a notary public in and for the State of Idaho, personally appeared RICHARD R. DAVIS, President of
R.R. DAVIS PROPERTIES, INC., known or identified to me lar proved to me on the oath of S, to be an
authorized signer of R. DAVIS PROPERTIES, INCthe corporation that executed the instrument or the person who executed the instrument on
beha f s ' or , aa k e t Such corporation executed the same.,/ /y
/ Residing at
Notwy Wjbllc f r Idaho roar„_
My commission expires 'r— I -/— ( r
OF
DEED OF TRUST
Loan No: 5590256 (Continued) Page age 8
REQUEST FOR FULL RECONVEYANCE
(To be used only when obligations have been paid in full)
To: , Trustee
The undersigned is the legal owner and holder of all Indebtedness secured by this Deed of Trust. All sums secured by this Deed of Trust have
been fully paid and satisfied. You are hereby directed, upon payment to you of any sums owing to you under the terms of this Deed of Trust or
pursuant to any applicable statute, to cancel the (dote secured by this Deed of Trust (which is delivered to you together with this Deed of Trust),
and to reconvey, without warranty, to the parties designated by the terms of this Deed of Trust, the estate now held by you under this Deed of
Trust. Please mail the recanveyance and Related Documents to:
Date: Beneficiary:
By:
its:
wxn moe.ww. v. e.3�.oaacs coo.. H.n.�e F�.�a�raw.,a ... �uoi, moa, r+mann n.w.w. o ruwnnmwaau�+ncrnenwm.rc maa+e vx.�.
EXHIBIT "A"
This EXHIBIT "A" is attached to and by this reference is made a part of the peed of Trust, dated May 17, 2006, and executed in connection
with a loan or other financial accommodations between IDAHO INDEPENDENT SANK and LAKEVIEW MERIDIAN INVESTORS, LLC; and R.A.
DAVIS PROPERTIES, INC.
PARCELT
A parcel of land being a portion of the West -half, Section 3, Township 3 North, Range I West, Boise Meridian, Meridian,
Ada County, Idaho and more particularly described as follows:
Beginning at a brass cap marling the Southeast corner of the Northeast quarter of Section 3, Township 3 North, Range l
West, Boise Meridian, Meridian, Ada Courtly, Idaho;
Thence along the Southerly boundary of said Northeast quarter of Section 3, North 88 degrees 55129" West 2643.29 feet to
a brass cap marking the Southwest corner of theNortheast quarter.
Thence leaving said Southerly boundary North 75 degrees 30'00" West 190.00 feet to a 2" iron pipe,
ThmceNorth 40 degrees 00'00" West 40.00 feet to an ironpin;
Thence South 75 degrees 5931" West 70.00 feet to an iron pin;
Thence South 25 degrees 00'00" West 64.19 feet to an iron pin,
Thence North 89 degrees 25'06" West 254.51 fat to a point, said point also being the real point of beginning;
Thence continuing North 89 degrees 25'06" East 100.01 fat to a point;
Thence South 00 degrees 3011" West 407.92 feet to a point;
Thence South 68 degrees 54'11" East 276.46 feet to a point marking a point of curve;
Thence along a curve to the right 59.46 fat, said curve having a central angle of34 degrees 04110", a radius of 100.00 feet,
tangents of 30.64 feet and a long chord of 58.59 feet bearing South 51 degrees 52'06" East to a point marking a point of
tangents;
Thence South 34 degrees 50'01" East 292.99 fed to a point;
Thence South 89 degrees 48'41" East 147.34 feet to a point,
Thence North 35 degrees 00'00" West 109.03 feet to a point;
Thence North 51 degrees 45'00" West 580.00 fed to a point;
Thence North 00 degree 2944" East 335.18 feet to the point of beginning.
PARCEL IX
Aparcel of land tying in portions of the South half of the North half and the North half of the South hatf of Section 3,
Township 3 North Range 1 West, Boise Meridian, Meridian, Ada County, Idaho and more particularly described as
follows:
Beginning at a paint marking the Northwest corner of the said North ballof the South half of Section 3;
Thence South 89 degrees 25'06" East 2,077.73 feet along the Northerly boundary of the said North half of the South half of
Section 3 to a point, also said point being the real point of beginning;
Thence South 0 degree 2944" West 335.18 feet to a point;
Thence South 51 degrees 45100" East 580.00 feet to a point;
Thence South 35 degrees 00'00" Fast 285.33 feet to a point;
Thence South 22 degrees 15'00" West 60.05 feet to a point;
Thence South 43 degrees 58'10" East 238.75 feet to a point;
Thence South 29 degrees 00'00" East 110.00 feet to a point;
Thence North 61 degrees 00'00" East 8 1. 19 fed to a point of curve;
Thence Northeasterly along a curve to the lett 147.14 feet, said curve having a central angle of 48 degrees 10'28", a radius
of 175.00 fat, tangents of 78.23 feel and a long chord of 142.84 foot bearing North 36 degrees 54'46" East to a point of
ending of curve;
Thence North 56 degrees 30'00" West 151.38 feet to a point;
Thence North 41 degrees 30'00" West 203.92 fed to a point;
Thence North 17 degrees 15'00" West 94.14 feet to apoint;
Thence North 22 degrow 15'00" East 147.00 feet to a point;
Thence North 65 degrees 50'00" East 45.00 fed to apoint;
Thence South 87 degrees 20'00" Bast 78.40 fed to apoint,
Thence South 68 degrees 00'00" East 61.48 feet to a point;
Thence South 71 degrees 33'25" East 88.05 feet to a point;
Thence South 60 degrees 00'00" East [08.33 fat to a point ofbeginning of curve,
Thence Northeasterly along a curve to the right 139.32 feet, said curve having a central angle of 25 degrees 35'19", a radius
o17311.95 feet, tangents of 70.84 fed and along chord of 138.16 fed bearing North 56 degrees 12'20" East to a point of
tangent;
ThenceNorth 69 degrees 00'00" Fast t 15.08 fat to a point o£curve;
ThenceNorthcasterly along a curve to the left 125.75 feet, said curve having a central angle of 24 degrees 25'22", a radius
of 295.00 feet, tangents of 63.94 fat and a long chord of 124.80 feet bearing North 56 degrees 47'19" East to a point of
ending of curve,
Thence North 44 degrees 00'00" West 79.63 feet to a point;
Thence North 67 degrees 000" West 160.00 feet to a point;
Thence South 65 degrees 50'00" West244.67 feet to a point;
Thence North 50 degrees 30'00" West 114.35 feet to a point;
ThenceNorth 44 degrees 00'00" East 90.00 feet to a point;
Thence North 17 degrees OD'00" West 175.00 fed to a point;
ThcnceNorth 12 degrees 00'00" East 280.00 feet to a point;
Thence North 77 degrees 30'00" West 170.00 feet to a point;
Thence South 68 degrees 00'00" West 265.00 feet to a point marking theNortheasfcomer of the Southwest quarter of the
said Section 3;
Thence North 75 degrees 30'00" West 190.00 feet to a point;
Thence North 40 degrees 00'00" West 40.00 feet to a point;
Thence South 75 degrees 59'31" West 70.00 fed to a point;
Thence South 25 degrees 00'00" West 64.19 feet to a point on the said Northerly boundary of the North half of the South
half of Sation 3;
Thence North 89 degrees 25'06" West 254.51 fed along the said Northerly boundary of the North half of the South half of
Section 3 to the point of beginning.
EXCEPT that portion lying within the following subdivisions:
Cherry lane Village No. I Subdivision, according to the plat thereof; filed in Book 44 of Plats at Pages 3537 and 3538, .
records of Alla County, Idaho;
EXHIBIT "A"
Lean No: 5590258 (Continued)
Cherry Lane Village No. 2 Subdivision, according to the plat thereo> filed in Book 46 of Plats at Pages 3791 and 3792,
records of Ada County, Idaho;
The Lake at Cherry Lane, according to the plat thereof filed in Book 52 of Plats at Pages 4569 and 4570, records of Ada
County, Idaho;
The Lake at Cherry Lane No. 2, according to the plat thereof filed in Book54 of Plats at Pages 4882 and 4883, records of
Ada County, Idaho;
The Lake at Cherry Lane No. 4 Subdivision, according to theplat thereof, filed in Book74 of Plats at Pages 7674 and
7675, records of Ada County, Idaho.
PARCEL M -A
A portion of the West half of Section 3, Township 3 North, Mange 1 West, Boise Meridian, Meridian, Ada County, Idaho,
more particularly described as follows:
Commencing at the corner common to Sections 4, 9, 10 and the said Section 3;
Thence North 0 degree 38'11" East 2651.19 feet to the quarter corner common to said Sections 3 and 4 as same way
reestablished by IS 972 (CP & F INSTRUMENT NO. 7852146, records of Ada County, Idaho); from which the
Northwest comer of said Section 3 bears North 0 degree 38'27" East 2697.49 feet;
ThenceNorth 0 degree 38'27" East 22.64 feet to a 518" iron pin;
Thence South 88 degrees 5531" East 379.53 feet to the real point of beginning;
Thence continuing South 88 degrees 55'31" Fast 182.65 feet to a point;
Thence South 8 degrees 18'10" East 440.66 feet to a point,
Thence South 16 degrees 18'25" West 218.04 feet to a point;
Thence North 89 degrees 13'51" East 540.22 feet to a point;
Thence North 71 degrees 4334" East 442.46 feet to a point;
Thence North 10 degrees 33'50" East 487.84 feet to a point;
Thence South 88 degrees 55'31" East 124.84 feet to a point;
Thence South 50 degrees 38'25" East 89.99 feet to a point;
Thence 165.33 ted along the arc of a curve to the right, having a radius of 250.25 feet, a central angle of 37 degrees 51'08",
and a long chord bearing South 31 degrees 42'52" East 162.34 feet to a point;
TheoceNorth 89 degrees 2944" West 120.24 feet to a point;
Thence South 4 degree 27'17" East 80.30 feet to a point;
Thence South 0 degree 30'16" West 230.52 feet to a point;
Thence South 10 degrees 31'20" West 123,51 fee to a point;
Thence South 30 degrees 14'07" West 119.57 feet to a point;
Thence South 50 degrees 5029" West 134.39 feet to a point;
Thence South 71 degrees 28'48" West 120.64 fed to a point;
Thence South 82 degrees 45'52" West 225.84 feet to a point;
Thence South 89 degrees 02'57" West 67.30 feet to apoint•,
Thence South 89 degrees 02'57" West 67.30 feet to a point;
Thence North 89 degrees 10'41" West 825.06 feet to a point;
Thence North 77 degrees 29'20" West 148.07 feet to a point;
Thence North a9 degrees 10'41" West 160.40 feet to a point lying 65.00 feet East of the West boundary of said Section 3;
Tbence along a line 65.00 feet East of and parallel to the West boundary ofsaid Section 3 North 0 degrees 38'11" East
247.64 feet to a point;
Thence South 89 degrees 21'49" EAST 156.03 FEET TO A POINT;
Thence North 45 degrees 03'16" East 163.61 feel to a paint;
Thence North 5 degrees 3931" East 502,42 fed to the point of beginning.
PARCEL TTI -B
A portion of the West half of Section 3, Township 3 North, Range l West, Boise Meridian, Meridian, Ada County, Idaho,
moreparticularly described as follows:
Commencing at the corner common to Sections 4, 9, 10 and the said Section 3;
Thence North 0 degree 38'11" East 2651.19 feet to the quarter corner common to said Sections 3 and 4 as same was
reestablished by LS 972 (CP & F Instrument No. 7852146, records ofAda County, Idaho); from which the Northwest
comer of Bald Section 3 beats North 0 degree 38'27" East 2697.49 feet;
Thence North 0 degree 38'27" East 22.64 feet to a 518" iron pin;
Thence South 88 degrees 56'31" East 1977.72 fed to a 518" iron pin and the real point of beginning;
Thence South 0 degree 30'15" West 413.59 feet to a point;
Thence North 68 degrees 54111" West 26.71 feet to a point;
Thence North 68 degrees 54'11" West 26.71 feel to a point;
Thence North 0 degree 30'15" East 217.93 feet to a point;
Thence 211,88 feet along the arc of a curve to the left, having a radius of 249.75 feet, a central angle of 48 degrees 36'25"
and a long chord bearing North 23 degrees 4757" west 205.58 feet to a point;
Thence South 88 degrees 5531" East 109.62 feet to the point of beginning.
PARCEL IV -A
A portion of the Southwest quarter of the Northwest quarter of Seelion 3, Township 3 North, Range l West, Boise
Meridian, Meridian, Ada County, Idaho, more particularly described as follmvs:
Commencing at the comer common to Sections 4, 9, 10 and the said Section 3;
'thence North 0 degree 38'1 V East, 2651.19 feet to the quarter comer common to said Section 3 and 4 as same was
reestablisbcd by LS 972 (CP & F Instrument No. 7852146, records of Ada County, Idaho); front which the Northwest
comer of said Section 3 bears North 0 degree 38'27" Fast, 2697.49 feet;
Thence North 0 degree 38'27" Fast 22.64 feet to a 5I8" iron pin;
Thence South 88 degrees 55'31" East, 379.53 feet to the real point of beginning;
Thence North 5 degree 39'31" East, 290.28 feet to a point;
Thence 46.45 feet along the are of anon -tangent curve to the right, having a radius of 250.00 feet, a central angle of 10
degrees 3846", and a long chord bearing South 49 degrees 22143" Fast, 46.39 feet to a point;
Thence South 44 degrees 03'20" Fast, 136.41 feet to a point;
Thence South 8 degrees 18'10' East, 165.80 feet to a point;
Thence North 88 degrees 5511" West, (82,65 feet to the point of beginning,
Page 2
EXHIBIT "A"
Loan No: 5590258 (Continued) Page 3
PARCEL 1V -It
Aportion of Government Lot 4 and the Southwest quarter of 1beNorthwest quarter of Section 3, Township 3 North, Range
1 West, Boise Meridian, Meridian, Ada County, Idaho Moro particularly deserved as follows:
Commencing at the comer common to Sections 4, 9, 10 and the said Section 3;
Thence North 0 degree 38'11" East, 2651.19 feet to the quarter comer common to said Section 3 and 4 as same was
reestablished by LS 972 (CP & F Instrument No. 7852146, records of Ada County, Idaho); from which the Northwest
comer of said Section 3 bears North 0 degree 38'27" Fast, 2697.49 feet;
Thence North 0 degra 38'27" Fast 22.64 feet to a 518" iron pin;
Thence South 88 degrees 5531" East, 834.71 feet to a point;
Thence North I degce 04'29" East, 77.45 feet to the real point of beginning;
Thence 199.31 feet along the are of curve to the right having a radius o€270.00 feet, a central angle of 42 degrees 17'41"
and a long chord bearing North 65 degrees 12'11" West, 194.81 fed to a point;
Thence North 44 degrees 03"20" West, 198,06 feet to a point,,
ThenceNortb 37 degree 38"05" Fast, 125.90 feet to a point;
TbeneeNorth 4 degrees 26'20" West, 178.94 feet to a point;
Thence North 49 degrees 13'43" West, 619.18 feet to apoint,
Thence North 89 degrees 21'33" West, 39.72 fat to a point;
Thence North 0 degree 3827' East, 178.61 feet to a point;
Thence South 89 degrees 21'33" East, 104,94 fed to apoint;
Thence North 26 degrees 46'55" East, 463.73 feet to a point;
Thence North 13 degrees 05'08" East, 186.18 feet to apoint;
Thence South 89 degree 23'04" East, 221.37 fed to apoint;
Thence South 0 degree 36'56" West, 30.00 feet to apoint;
ThenceNorth 89 degrees 23'04" West, 114.43 fed to a point;
Thence South 10 dcgrecs 38'11" West, 162.48 feet to a point;
Thence South 5 degrees 36'09" Fast, 160.95 feet to a point,
Thence South 48 degrees 58'55" West, 66.41 fed to a point;
Thence South 10 degrees 49'04" West, 123.62 fed to a point;
Thence South 12 degrees 00'00" East, 85.00 fed to a point;
Thence South 53 degrees 26'21" Fast, 142,60 fat to a point;
Thence South 6 degrees 51'51" West, 151,05 feet to a point;
Thence South 41 degrees 1414" East, 171.06 fed to a point;
Thence South 89 degrees 12'26" East, 122.33 fed to a point;
Thence South 43 degrees 03'05" East, 60.00 feet to a point;
Thence South 0 degree 36'15" West, 671,50 feet to the point of beginning.
PARCEL IV -C
A portion of theNorthwest quarter of Section 3, Township 3 North, Range 1 West, Boise Meridian, Meridian, Ada County,
Idaho, more particularly described as follows:
Commencing at the comer common to Sections 4, 9, 10 and the said Section 3;
Thence North 0 degree 38'1 l" East, 2651.19 fed to the quarter comer common to said Sections 3 and 4 as same was
reestablished by LS 972 (CP & F Instrument No. 7852146, records of Ada County, Idaho); from which the Northwest
corner of said Section 3 bears North 0 degree 3827" East, 2697.49 fat;
ThenceNorth 0 degree 38'27" East 22.64 feet to a 518" iron pin;
ThenwSouth 88 degrees 5531" Fast, 1784.61 Fed to a point;
Thence North 1 degree 04'29' East, 303.15 feet to the real point of beginning;
Thence North 66 degrees 28'40" West, 157.70 fed to a point;
Thence North 56 degrees 5639" West, 717.37 feet to a point;
Thence North 89 degrees 23`44" West, 36.12 feet to a point;
Thence North 0 degree 36'28" East, 5,00 fat to a point;
Thence 154,59 fed along the are of it non -tangent curve to the IeA, having a radius of 225.00 fed, a central angle of 39
degrees 22'00", and a long chord bearing North 19 degrees 04'45" west, 151.57 fed to a point;
Thence North 38 degrees 4545" West, 39.00 fed to apoint;
Thence North 51 degrees 14'15" Fast, 110,00 feet to a point;
Thence North 26 degrees 11'31" West, 134.78 feet to a point;
Thence North 4 degrees 0420" West, 277.45 feet to a point;
Thence North 31 degrees 4635" West, 241.56 feet to a point;
Thence North 0 degree 3656" East, 132.59 feet to a point;
Thence North 89 degrees 23'04" West, 110.00 feet to a point;
Thence North 0 degree 3656" East, 30.00 feet to a point,
Thence South 89 degrees 23'04" East, 175.94 feet to a point;
Thence South 78 degrees 05'29" East, 71.13 feet to a point;
Thence South 63 degrees 1396" East, 65.34 feet to a point;
Thence South 56 degrees 28'32" East, 79.07 fat to apoint;
Thence South 53 degrees 15'09" East, 86.07 feet to apoint;
Thence South 42 degrees 3 ]'l8" East, 70.53 feet to a point;
Thence South 35 degrees 28'22" East, 77.08 feet to a point;
Thence South 5 degrees 49'06" East, 249.89 fat to a point;
Thence South 8 degrees 16'07" East, 125.42 feet to a point;
Thence South 13 degrees 5620n East, 266.06 fed to a point;
Thence South 42 degrees 432P" East, 283.07 feet to apoint;
Thence North 61 degrees 49'13" Fast, 165.37 feet to a point;
TheneeNorth 11 degrees 00'42" West, 399.24 feet to a point;
Thence South 89 degrees 18'49" East, 398.40 feet to a point;
Thence South 79 degrees 02'15" East, 61.16 fed to a point;
Thence South 60 degrees 40'15" East, 164.39 feet to a point;
Thence South 85 degrees 10'18" East, 136.30 feet to a point;
Thence South 0 degree 3015" West, 235.93 feet to a point;
Thence North 89 degrees 2945" West, 80.00 fed to a point;
Thence South 78 degrees 33149" West, 182.71 feet to a point;
Thence South I1 degrees 45'15" West, 185.77 fat to a point;
Thence South 0 degree 30'15" West, 154.10 feet to a point;
Thence 288.86 feet along the are of a non -tangent curve to the tett, having a radius of 425.00 fed, a central angle of 38
degrees 56'31", and a long chord bearing South 63 degrees 04'11" west, 283.33 feet to the point ofbeginning.
EXHIBIT "A"
Loan No: 5590258 (Continued)
PARCEL IV -D
A portion of the Southeast quarter of the Northwest quarter of Section 3, Township 3 North, Range I West, Boise
Meridian, Meridian, Ada County, Idaho, more particularly described as follows:
Commencing at the comer common to Sections 4, 9, 10 and the said Section 3;
Thence North 0 degree 38'1 V East, 2651,19 feet to the quarter corner common to said Sections 3 and 4 as same was
reestablished by LS 972 (CP & F Instrument No. 7852146, records of Ada County, Idaho); from which the Northwest
comer of said Section 3 bears North 0 degree 38'27" East, 2697.49 feet;
Thence North 0 degree 3x27" Fast 22.64 feet to a 5!8" iron pin;
Thence South 88 degrees 5531" East, 1614.53 feet to the real point of beginning;
Thence Norlh 10 degrees 33'50" East, 72.37 fed to apoint;
PARCEL IV -E
A portion of the Southeast quarter of the Northwest quarter of Section 3, Township 3 North, Range 1 West, Boise
Meridian, Meridian, Ada County, Idaho, more particularly described as follows:
Commencing at the corner common to Sections 4, 9, 10 and the said Section 3;
Thence North 0 degree 3911" East, 2651.19 feet to the quarter corner common to said Sections 3 and 4 as same was
reestablished by LS 972 (CP do F rostrum -t No. 7952146, records of Ada County, Idaho); from which the Northwest
comer of said Section 3 bears North 0 degree 38'27" East, 2697.49 feet;
Thence North 0 degree 3827" Fast 22,64 fed to a 518" ironpin;
Thence South 88 degrees 5531" East,1977.72 feet to a 518" iron pin and choreal point ofbcgaming;
Thence North 88 degrees 5531" West, 109.62 feet to apoint;
Thence 11.06 feet along the arc of a non -tangent curve to the left, having a radius of 249.75 fed, a central angle of 2
degrees 32'16", and a long chord bearing North 49 degrees 22'17" West, 11.06 fed to a point;
Thence North 50 degrees 38'2.5" West, 94.32 fed to a point;
Thence 60.45 feet along the are of a curve to the IA having a radius of 680,00 fed, a central angle of 5 degrees 05'36",
and a long chord bearingNorth 53 degrees 11'13" West, 60,43 fat to apoinN
Thence 30.13 fed along the arc of a curve to the right, having a radius of 20.00 fat, a central angle of 86 deg = 1BM%
and a long chord bearing Nath 12 degrees 3436" Wet, 27.36 fact to a point;
Thence North 30 degree 34'50" East, 84.13 fat to a point;
Thence 269.77 feet along the are of a curve to the right, having a radius of 375,00 fed, a central angle of 41 dcgras 13'04",
and a long chard bearing North 51 degrees 11121" East, 263.99 fed to a point;
Thence South 0 degreo3015" West, 369.89 fed to thepoint of beginning.
PARCEL V
Lots 1 and 52 in Block 5, and Lot 11 in Block 9 of Cherry Lane VillageNo. 1 Subdivision, according to theplat thereof
filed in Book 44 of Plats at Pages 3537 thru 3538, records of Ada County, Idaho.
PARCEL VI
Lots 12 and 21 in Block 9 and Lot 4 in Block 11 and Lot 53 in Block 5 of Cherry Lane Village No. 2 Subdivision,
according to the plat thereon; filed in Book 46 of Plats at Pages 3791 and 3792, records of Ada County, Idaho.
PARCEL VII
Lot 83 in BlockS and Lot 14, in Block 13 Cherry Lam Village No. 3 Subdivision according to the official plat thereof filed
in Book 58 of Plats at Pages 5473 tluu 5475, records of Ada County, Idaho,
PARCEL VIII
Lot 28 in Block 1 l and Lot 39 in Block 13 Cherry Lane Village No. 4 Subdivision according to the otTicial plat thereof
filed in Book 63 of PlatS at Pages 6376 and 6377, records of Ada County, Idaho,
PARCELIX
Lot 9 in Block 1 of Record Of Survey No. 802 of adjusted lot lines for Lots 8, 9 and. 10, in Block I of[he Lake at Cherry
Lane, according to the plat thereof, filed in Book 52 of Plats at Pages 4569 and 4570, records ofAda County, Idaho.
EXCEPT that portion lying within the original Lot 8.
PARCEL X
Lot 5 in Block 1 and Lot 13 in Block 2, The Lake at Cherry Lase No, 2, according to the plat thereof, filed in Book 54 of
Plats at Pages 4882 and 4883, records of Ada County, Idaho
PARCEL XI
Lot 24 in Block 2 of The lake at Cherry Lane No. 3 Subdivision according to the official plat theraf 8lod in Book 70 of
Plats at Pages 7167 and 7168, records of Ada County, Idaho.
PARCEL XII
Lot 19 in Block 1 and Lot 46 in 13lock2 ofThe Lake at Cherry Lane No. 4 Subdivision, according to the official plat
thereof, filed in Book 74 of Plats at Page 7674 and 7675, records of Ada County, Idaho.
Page 4
EXHIBIT "A„
Loan No: 5590258 (Continued)
THIS EXHIBIT "A" IS EXECUTED ON MAY 17, 2006.
GRANTOR:
LAKEVIEW MERIDIAN INVESTORS, LLC
OAAS LANEY, LLC, Mamber of LAKEVIEW MERIDIAN INVESTORS, LLC
WHITEROCK.INVESTME C, Member o4 OAAS LANEY, LLC
By:
T. ER a r o WHITEROCK
INVEST E
LANEYLAND emberofOAAS ANEY,LLC
By:
EN LAN EY, oral ariner of LANEYlANQ
R.R. DAVIS P ERTIES, INC. emb o AKEVIEW MERIDIAN INVESTORS, LLC
By:
RI RD R. DAVIS, Rm.ident of R.R. DAVIS
PROPERTIES, INC.
R.R. DAVIS PRJVERTIES, IN 2-7
By:
Al ARD R. DAVIS re i ent of R.R. DAVIS
PROPERTIES, INC.
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Page 5