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Dairy Lease (Template)

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DAIRY LEASE

Dated and effective __________________, 202__ (“Commencement Date”), this DAIRY LEASE (“Lease”) is made by and among _________________________________ a(n) _______________________________ (“Landlord”) and _________________________________ a(n) ___________________________________ (“Tenant”), who agree and contract in __________, California, as described below. Landlord and Tenant are referred to individually as a “party” on a generic basis and collectively as the “parties.”

Premises. Landlord leases to Tenant, and Tenant leases from Landlord, that certain improved agricultural real property, together with all amenities, betterments, buildings, improvements, fixtures and structures located thereon, in the unincorporated area of the County of ________ (“County”), State of California (“State”), consisting of ____________________________ assessed acres (_______ assessed acs.), commonly described as _______________________, California _______________, identified as __________ County Assessor’s Parcel No(s). ________________________ (collectively the “Premises”).

Equipment. Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, all of that equipment affixed to the Premises (but not the rolling stock) and utilized in the dairies upon the Premises, including, without limitation, milking equipment, irrigation equipment, wells and pivots. Tenant covenants and agrees to maintain the equipment in as good order and repair as it is at the commencement date of this Lease, reasonable wear and tear excepted.

Purpose of Occupancy; Restrictions on Use.

It is expressly understood and agreed by and between the parties that the Premises leased hereunder shall be used for operating a dairy for the production of milk for human consumption, and all related activities including the raising of heifers. It also is expressly understood and agreed by and between the parties that the Premises may be used Tenant, any subtenant of Tenant, or their respective affiliates or related entities, to entitle, permit, construct, operate, manage, maintain, modify, replace and remove bio-digester, power generation and/or biogas production, photovoltaic solar power generation and/or non-solar electric power generation facilities and/or system(s), and any and all activities and improvements associated, incidental and/or related thereto. Tenant shall not use any portion of the Premises for any other purposes without the written consent of Landlord.

Tenant agrees to operate upon the portion of the Premises currently used for the production of milk a Grade “A” Dairy operation and during the entire term in accordance with good husbandry and according to the best standards in the area where located.

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Dairy Lease (Template)

Lease Agreements