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HomeMy WebLinkAboutSWA000173_Lease Agreement_20221121Prepared By: Parker Poe Adams & Bernstein LLP (LBP) Mail To: Duke Energy Data & Document Management 526 South Church Street (ECII-05) Charlotte, NC 28202 STATE OF NORTH CAROLINA COUNTIES OF CHATHAM AND RANDOLPH Property No.: 1200286 Land Unit: 2807556 Proj ect No.: 1200286-8607467 TEMPORARY EASEMENT AGREEMENT (Substation Lot) THIS TEMPORARY EASEMENT AGREEMENT (the "Easement Agreement") is granted this day of November, 2022, by TIM'S FARM & FORESTRY, LLC, a North Carolina limited liability company, having a mailing address of c/o Tim Booras, 4319 Waterleaf Court, Greensboro, NC 27410 ("Grantor"), to DUKE ENERGY PROGRESS, LLC, a North Carolina limited liability company, having a mailing address of Data & Document Management, 526 S. Church St. (ECII-05), Charlotte, North Carolina 28202 ("DEP"). WITNESSETH: That Grantor, in consideration of Ten Dollars ($10.00) and other valuable considerations paid by DEP, the receipt and legal sufficiency of which is hereby acknowledged, does grant and convey unto DEP, its successors and assigns, the temporary easements and rights of way set forth herein, for the purposes and subject to the terms and conditions set forth herein, over and across the land of Grantor (the "Premises") lying in the State and Counties aforesaid and being more particularly described in the instruments recorded in Book 1547, Page 865 and Book 1729, Page 1027, Chatham County Registry, and in Book 2214, Page 2119 in the Randolph County Registry (the Premises consists of the approximately 863.22-acre parcel bearing Chatham County Tax Parcel Identification No. 12580, and the approximately 6.75-acre parcel bearing Randolph County Tax Parcel Identification No. 8732778621). 1. Temporary, Exclusive Easements: Grantor grants to DEP, for itself and its successors and assigns, the following easements: Rev Date 5-2017 PPAB 8141842v8 NPG1301:3733526.1 (a) A temporary, non-exclusive easement and right of way ("Substation Lot Easement") to enter and construct, reconstruct, replace, rebuild, enlarge, modify, remove, inspect and maintain electrical facilities and ancillary improvements, including without limitation, an electrical substation ("Substation") within the area of land labeled "Alternate Substation Easement" on the map attached to this Easement Agreement as Exhibit A ("Substation Lot Easement Area"). In connection with the exercise of its rights under this Section 1(a), DEP shall have the right, at its sole cost, to construct, maintain and use a temporary gravel access drive ("Temporary Drive") in the location labeled "Duke Energy 30' Access Easement (Typ.)" on the map attached to this Easement Agreement as Exhibit A. The portion of the Premises affected by the Temporary Drive shall be included in the definition of Substation Lot Easement Area. (b) A temporary, non-exclusive easement and right of way ("Distribution Easement") over and across the Premises to construct, reconstruct, operate, patrol, maintain, inspect, repair, replace, relocate, add to, modify and remove electric and/or communication facilities thereon, including but not limited to, supporting structures such as poles, cables, wires, guy wires, anchors, and other appurtenant apparatus and equipment (the "Facilities") within the area of land that is twenty five (25) feet on either side of the center line of Facilities installed within the area labeled "Duke Energy Distribution Easement (Typ.)" on the map attached to this Easement Agreement as Exhibit A ("Distribution Easement Area"), for the purpose of transmitting and distributing electrical energy and for communication purposes. For purposes of this Easement Agreement, the Substation Lot Easement and Distribution Easement are collectively the "Easements", and the Substation Lot Easement Area and Distribution Easement Area are collectively the "Easement Areas". Notwithstanding anything to the contrary above, the general location of the Substation and Facilities is shown on the map attached hereto as Exhibit A and incorporated herein by reference. The final and definitive location of the Easement Areas shall become established by and upon the final installation and erection of the Substation and Facilities by DEP in substantial compliance with Exhibit A. DEP will provide to Grantor a copy of DEP's final pre -construction drawings for the Substation and Facilities within five (5) business days of completion of such drawings. (c) The Substation Lot Easement and the Distribution Easement shall automatically terminate on the date that is three (3) years after the date of this Easement Agreement ("Term"); provided, however, that DEP shall have the option to extend the Term on a month -to -month basis by written notice to Grantor delivered at least five (5) business days prior to the expiration of the Term (or then -current extended Term, if applicable). DEP agrees to pay to Grantor an extension fee of $3,333.33 ("Extension Fee") for each monthly extension, which Extension Fee shall be payable in advance of the expiration of the Term (or then -current extended Term, if applicable). 2. DEP's Use of Premises Outside of the Easement Areas. Grantor further grants to DEP, its successors and assigns, the right to enter upon the Premises outside of the Easement Areas for the following purposes and uses: (a) to trim, cut and remove, now or at any time in the future, any and all trees, limbs, undergrowth, structures or other obstructions that may, in DEP's opinion, fall on or otherwise endanger a line or other facility or structure within the Easement Areas ("Danger Trees"); (b) to gain access to the Easement Areas and Danger Trees at any time and from time to time by vehicles, equipment, and pedestrians, provided that DEP's use of the Premises outside of the Easement Areas shall be confined to then -existing streets, roads, and driveways to the extent they provide sufficient access to the Easement Areas and/or Danger Trees by vehicles, equipment, and pedestrians. If then -existing streets, roads, and driveways do not provide sufficient access, then DEP shall be entitled to Rev Date 5-2017 PPAB 8141842v8 NPGB01:3733526.1 use a reasonably convenient and feasible access route or routes over the Premises to access the Easement Areas and/or Danger Trees and shall be entitled to construct and maintain a roadway or driveway in such area of the Premises as is approved by Grantor in its reasonable discretion for such purposes; (c) to install guy wires and anchors extending beyond the limits of the Easement Areas; and (d) all other rights and privileges reasonably necessary (as determined by DEP in its sole discretion) for DEP's safe, reliable and efficient installation, operation, and maintenance of the Substation and Facilities and for the enjoyment and use of the Easement Areas for the purposes described herein. 3. DEP's Repair Obligation. DEP shall repair damage to the Premises, including roads, driveways, and fences, resulting directly from DEP's exercise of its rights granted herein. Provided, however, for purposes of the initial clearing of all trees which DEP is entitled to cut from the Premises pursuant this Easement Agreement, said trees shall, upon such cutting, become the property of DEP. Nothing in this Easement Agreement shall impose upon DEP any duty to repair or warn of any condition or any type of injury or damage to the Premises existing prior to the date of this Easement Agreement nor shall DEP have any duty to repair or warn of any condition or any type of injury or damage upon the Premises caused by the Grantor, any third party, any Act of God, or any natural process, including, without limitation, erosion or conditions caused by vegetation. 4. DEP's Maintenance Obligations. DEP shall maintain the Easement Areas, at DEP's sole cost and expense, in the manner required for DEP's use of the Easement Areas, as determined by DEP in DEP's sole discretion, and not to any other standard. DEP shall be responsible for obtaining (or causing to be obtained) and maintaining in good standing, at DEP's cost, all permits and approvals required for DEP's construction, reconstruction, maintenance, repair and use of the Easement Areas from governmental agencies having jurisdiction and shall comply (and shall cause and DEP's representatives to comply) with the terms and conditions of any such permits and approvals at all times. DEP and DEP's representatives shall take all reasonable precautions not to cause a violation of applicable environmental law during any entry onto the Easement Areas and not to cause regulated toxic or hazardous materials, chemicals, oil, or petroleum products to be placed, stored, released, spilled, or discharged on or under the Easement Areas or the Premises in violation of applicable federal, North Carolina and local laws, ordinances, codes, statutes, regulations and requirements of governmental agencies having jurisdiction ("Applicable Laws"). Any person performing any work within the Easement Areas or within the Premises shall carry and maintain (a) Worker's Compensation Insurance in accordance with North Carolina statutory requirements, and (b) a policy of commercial general liability insurance insuring DEP (naming DEP as an additional insured) and Grantor against liability for accidents on the Easement Areas or Premises with limits of coverage not less than $1,000,000.00 per occurrence and $2,000,000.00 aggregate for property damage and bodily injury and sufficient in all respects to provide and ensure the performance of DEP's indemnity obligations under this Easement Agreement. DEP shall provide Grantor with certificate(s) of insurance evidencing DEP's compliance with these insurance requirements within five (5) business days of Grantor's request. Notwithstanding anything to the contrary in this Easement Agreement, DEP may satisfy its insurance obligations under this Easement Agreement by means of self-insurance. 5. Liens. If any mechanics' liens, materialmen's liens, or other lien, is asserted against the Easement Areas or the Premises as a result of DEP's maintenance, repair, access, or use of the Easement Areas or the Premises, or any other activities conducted by, under, or through DEP or DEP's representatives, DEP shall, within thirty (30) days of the filing of such lien, either satisfy, defend, or obtain Rev Date 5-2017 PPAB 8141842v8 NPGB01:3733526.1 the release of such lien, all at DEP's expense, or provide a bond removing any such lien. DEP shall, indemnify, defend and hold harmless Grantor from any claims, losses, damages, and/or liabilities arising out of or connected with any such lien. 6. Grantor's Title. DEP acknowledges that no representations or warranties, express or implied, have been made to DEP by Grantor with respect to the title and condition of the Easement Areas or their suitability for any particular purpose. Grantor's conveyance of the Easements is subject to any encumbrances of record, including but not limited to, road, railroad, utility, rights of way, and easements. Grantor hereby agrees that no improvements shall be constructed, erected or maintained on the Premises so as to block off the free flow of pedestrian and vehicular traffic to the Easement Areas, except temporarily for purposes of maintenance and repair, as long as the Easements granted by this Easement Agreement are in full force and effect. 7. Compliance with Applicable Law. With regard to DEP's and its agents', employees', representatives', contractors', invitees' entry onto the Premises and DEP's and its agents', employees', representatives', contractors', invitees' use of the Easements, DEP shall, and DEP shall cause its agents, employees, representatives, contractors and invitees to comply fully at all times with all Applicable Laws pertaining to the exercise of rights granted under this Easement Agreement. 8. Indemnity. DEP hereby agrees to indemnify and hold harmless Grantor from and against any and all liens, encumbrances, liability, costs, demands, claims, judgments, and/or damage (collectively, "Losses") incurred by Grantor including, without limitation, as a result of any injuries to persons or damage to the Premises or any other property of Grantor, to the extent caused by or arising out of (1) the use of the Premises by DEP or its agents, employees, representatives, contractors and invitees; or (11) any breach of this Easement Agreement by DEP; provided, however, the foregoing shall not apply to, and DEP does not agree to indemnify Grantor for, Losses caused by or arising out of the negligence or willful misconduct of the Grantor or Grantor's managers, members, agents, employees, representatives, contractors or invitees. The terms and conditions of this provision shall survive the expiration or termination of this Easement Agreement for a period equal to the statute of limitations of the underlying claim, after which, except with respect to any claim hereunder initiated within such period, any such indemnification shall be of no further force and effect. Notwithstanding the foregoing, in no event shall either party be liable for any lost profits, punitive, special, indirect and/or consequential damages. 9. Running with the Land. All covenants and provisions of this Easement Agreement shall be deemed to run with the land and shall run with and burden the Premises as stated herein. All covenants and provisions of this Easement Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors, successors -in -title, assigns and legal representatives. 10. Governing Law. This Easement Agreement is to be governed, construed and enforced in accordance with the laws of the State of North Carolina. 11. Waiver. The failure of DEP to exercise or continue to exercise any of the rights herein granted shall not be construed as a waiver or abandonment of the right thereafter at any time or from time to time to exercise any and all of such rights. 12. Merger. This Easement Agreement contains the sole and entire agreement of DEP and Grantor with respect to the matters contemplated hereunder, and no representation, inducement, promise or agreement, oral or written between DEP and Grantor and not incorporated herein shall be of any force or effect. Any amendment to this Easement Agreement shall be in writing and executed by DEP and Grantor. Rev Date 5-2017 PPAB 8141842v8 NPGBO1:3733526.1 13. Severability. If any term, covenant or condition of this Easement Agreement, or any application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, such provision, or the application of such term, covenant or condition, to persons or circumstances other than those as to which it is held invalid of unenforceable, shall be deemed severable, and the remainder thereof shall not be affected thereby, and each term, covenant or condition of this Easement Agreement shall be valid, and may be enforced to the fullest extent permitted by law. TO HAVE AND TO HOLD the aforesaid rights, privileges and Easements unto DEP, its successors and assigns forever. And Grantor, for the Grantor and for the Grantor's successors and assigns, covenants to and with DEP, its successors and assigns, that Grantor is lawfully seized of the above described Premises in fee and has the right to convey the said rights and Easements, that the same is free and clear from any and all encumbrances, and that Grantor will forever warrant and defend the title to the said rights and Easements against the lawful claims of all persons whomsoever. [Signature Page Follows] Rev Date 5-2017 PPAB 8141842v8 NPGB01:3733526.1 IN WITNESS WHEREOF, this Easement Agreement is executed on the date first above written. GRANTOR: TIM'S FARM & FORESTRY, LLC, a North Carolina limited liability company By: _ Name: Title: STATE OF COUNTY OF (place of acknowledgment) I, , a Notary Public of County, State of do hereby certify that ("Signatory"), of TIM'S FARM & FORESTRY, LLC, a North Carolina limited liability company, personally appeared before me this day and by authority duly given, acknowledged the due execution of the foregoing instrument on behalf of the limited liability company. I certify that (check one of the following and mark through all blank lines or spaces): (I have personal knowledge of the identity of Signatory); or (I have seen satisfactory evidence of Signatory's identity, by a current state or federal identification with Signatory's photograph in the form of: (check one of the following and mark through the blank line) a driver's license or in the form of ); or (a credible witness has sworn to the identity of Signatory). Signatory acknowledged to me that he/she voluntarily signed the foregoing instrument for the purpose stated and in the capacity indicated. Witness my hand and official stamp or seal this day of 12022. Notary Public Print Name: [Note: Notary Public must sign exactly as on notary seal.] My Commission Expires: [NOTARY SEAL] (MUST BE FULLY LEGIBLE) Rev Date 5-2017 PPAB 8141842v8 NPG1301:3733526.1 DEP: Duke Energy Progress, LLC, a North Carolina limited liability company Martha S. Purser Manager, Land Services STATE OF _ COUNTY OF I, , a Notary Public for County, State of , do hereby certify that Martha S. Purser ("Signatory"), personally appeared before me this day and acknowledged that she is Manager, Land Services of Duke Energy Progress, LLC, a North Carolina limited liability company, and that she, as Manager, Land Services in such capacity and being authorized to do so, executed the foregoing instrument on behalf of the limited liability company. I certify that the Signatory personally appeared before me this day, and (check one of the following) (I have personal knowledge of the identity of the Signatory); or (I have seen satisfactory evidence of the Signatory's identity, by a current state or federal identification with the Signatory's photograph in the form of: (check one of the following) a driver's license or in the form of ); or (a credible witness has sworn to the identity of the Signatory). The Signatory acknowledged to me that she voluntarily signed the foregoing document for the purpose stated therein and in the capacity indicated. Witness my hand and official stamp or seal this day of November, 2022. Notary Public Print Name: [Note: Notary Public must sign exactly as on notary seal] My Commission Expires: � [NOTARY SEAL] (MUST BE FULLY LEGIBLE) Rev Date 5-2017 PPAB 8141842v8 NPG1301:3733526.1 EXHIBIT A MAP OF EASEMENT AREAS (THE MAPS BELOW ARE NOT SURVEYS. LOCATIONS SHOWN ON MAP ARE APPROXIMATE. THE ACTUAL CENTERLINE LOCATION OF THE UTILITY LINE IS THE CENTERLINE OF THE EASEMENT). [See Attached] Rev Date 5-2017 PPAB 8141842v8 NPGB01:3733526.1 0 0