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3.10 EDSR 01-17-2017 Request for Action ToItem Number Economic Development Authority3.10 Agenda Section Meeting DatePrepared by General BusinessJanuary 17, 2017Amanda Othoudt, EDD Item Description Reviewed by Consent to Driveway Easement Agreements and Cal Portner, City Administrator Mortgage Amendmentfor Yankee Doodle Reviewed by Enterprises, LLC Action Requested 1.Approve, by motion, the consent to the execution and recording othe Private, Cross Access Easement Agreement for Yankee Doodle Enterprises, LLC. 2.Approve, by motion, the consent to the execution and recording o Easement Agreement for Yankee Doodle Enterprises, LLC. 3.Approve, by motion, a resolution amending the Mortgage with Yankee Doodle Enterprises, LLC. Background/Discussion The EDA approved a $74,999 Energy Efficiency Improvement microlo Alan Arnold Corporation which was secured by a corporate guarantkee Doodle Enterprises, LLC as the operating entity for Ralphies Victory Lane and a mort basis to a contract for deed from Farmers State Bank of Heartla $465,000 for the property located at 13374 US Highway 10 NW. Yankee Doodle Enterprises(YDE)refinanced their debt and received a $515,000loan from the Bank of Elk River to satisfy the contract for deed. The EDA approved a new Subordination Agreement on December 19 in favor of the bank providing for the subordination of the EDAs mortgage to the Banks mortgage. On November 2, 2015, the City Council approved the sale of Highway 10, Joplin Avenue and Business Center Drive which abuts YDEs property. E&R Investments, LLC proposesto develop up to three commercial/retail buildings on the siteand the city is requiring a permanent access easement to the property owned by YDE from Business Center Drive. The easement is required to maintain a permanent access to the pthe final plat is approved. After the property is platted, E&R intendsto request the easement be released and replaced with a new easement. The private cross access easement, will allow YDE and E&R Investments to access to Highway 10 referencedin ExhibitD. Both the private cross access easement and permanent easement re the YDEsproperty to consent to the easement agreement, this list include of Elk River) and the EDA since it has a mortgage with YDE. YDErequested the EDA execute a consent to the execution and recording of the Easement Agreement and Permanent Driveway Easement Agreement and and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. As part of this project, E&R Investments will sell property to and purchaseproperty from YDE as depicted in Exhibit C. YDE is also requesting the EDA amend the mortgage to reflect the properties new legal description, permanent easement, and the cross access easement. Financial Impact None Attachments Permanent Driveway Easement Agreement between E&R Investments an Enterprises Exhibit C (permanent driveway easement and property to be purchased and sold) Cross Access Easement Agreement between E&R Investments and Yank Exhibit D (cross access easement) Exhibit E (Shows all properties) Mortgage (September 10, 2013) Resolution Amending the Mortgage with Yankee Doodle Enterprises, LLC N:\Departments\Community Development\Economic Development\EDA\Administrative\Agenda\EDA Agenda Packets\2017\01-17-2017\3.10 sr Yankee Doodle Enterprises Easement Agreement and Mortgage Ame ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER COUNTY OF SHERBURNE STATE OF MINNESOTA RESOLUTION NO. _________ RESOLUTION APPROVING FIRST AMENDMENT TO MORTGAGEAND CONSENT TO EASEMENT Section 1. Recitals. 1.01The Board of Commissioners(the “Board”) of theEconomic Development Authority of the City of Elk River(the “EDA”) has heretofore provideda Microloan in the amount of $74,999to Alan Arnold Corporation, a Minnesota corporation (referred to as “Debtor”)which wassecured bya corporate guarantee ofYankee Doodle Enterprises, LLC, a Minnesota limited liability company (the “Mortgagor”), secured by a Mortgage and Assignment of Rents and Security Agreement and Fixture FinancingStatement (the “Mortgage”) on certain property on a subordinatebasis to a contract for deedfrom Farmer’s State Bank of Hartland in the original principal amount of $465,000.The Mortgage was subsequently subordinated to a loan from the Bank of Elk River in the amount of $515,000 which was used to satisfy the contract for deed. 1.02The Mortgagor has now requested that the EDA execute and deliver a Consent to Easementto allow certain easements over the mortgaged property (the “Consent”) anda First Amendment to Mortgage(the “First Amendment to Mortgage”) in orderto: (i) amend the legal description to reflect that a portion of the original mortgaged property will be sold to a new developer and that additional property will be subject to the Mortgage;and(ii) allow certain easements over the mortgaged property as permitted encumbrances. NOW THEREFORE, BE IT RESOLVED by the Board of Commissioners (the “Board”) of the Economic Development Authority of the City of Elk River (the “EDA”)as follows: Section 2.Approval of Documents. 2.01.The First Amendment to Mortgageand the Consent are hereby in all respects approved together with any related documents necessary in connection therewith(the “Development Documents”), and the Presidentand Executive Directorare hereby authorized and directed to execute the Development Documents on behalf of the EDA and to carry out, on behalf of the EDA, the EDA’s obligations thereunder. 2.02.The approval hereby given to the Development Documents includes approval of such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the EDA and by the Presidentand Executive Directorpriorto executingsaid Documents; and said officers are hereby authorized to approve said changes on behalf of the EDA. The execution of any instrument by the Presidentand Executive Directorshall be conclusive evidence of the approval of such document in accordance with the terms hereof. In the event of 493259v2 JSB EL185-13 absence or disability of saidofficers, any of the Documents authorized by this Resolution to be executed may be executed without further act or authorization of the Boardby any duly designated acting official, or by such other officer or officers of the Boardas, in the opinion of the City Attorney, may act in their behalf. 493259v2 JSB EL185-13 Approved by the Board of Commissioners of the Economic Development Authority of the City of Elk River this __day of January,2017. President ATTEST: Executive Director 493259v2 JSB EL185-13 PERMANENT CROSS-ACCESS EASEMENT AGREEMENT BY AND BETWEEN YANKEE DOODLE ENTERPRISES, LLC, A MINNESOTA LIMITED LIABILITY COMPANY AND E&RINVESTMENTS, LLC, A MINNESOTA LIMITED LIABILITY COMPANY ThisEasementAgreement(“Agreement”) is made this ____ day ofJanuary, 2017, by and between Yankee Doodle Enterprises, LLC, a Minnesota limited liability company, (“YDE”)and E&R Investments, LLC, a Minnesota limited liability company,(“E&R”).YDE and E&R are sometimes hereinafter collectively referred to as the “parties”to this Agreement. RECITALS A.YDE is the fee owner of certain property located in Sherburne County, Minnesota, (“YDE Parcel”), legally described in the attached Exhibit A; and B.E&Ris the fee owner of certain property located in Sherburne County, Minnesota, (“E&R Parcel”), legally describedin the attached Exhibit B; and C.The YDEParcel (to theEast)and the E&RParcel (to theWest)are adjoining properties sharing a common boundary line;and D.YDE currently owns and holds a 50.00 foot wide easement for ingress and egress to US Highway No. 10 NW per Quit Claim Deed Document No. T10247; and E.Contemporaneously herewith, YDE sold the E&R Parcel to E&R together with the right to use a portion of the YDE Parcel as a cross-access to US Highway No. 10 NWas legally described in Exhibit C and graphically depicted in Exhibit D; and F.The parties have agreed to create a permanent cross-access easement over and across a portion of the YDE Parcel for the benefit of the E&R Parcel (“Cross-AccessEasement”). NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and in further consideration of the mutual promises and agreements contained herein, the parties hereto acknowledge, assent and agree as follows: 1.Incorporation.The foregoing recitals are true, correct and complete to the best of the parties’ knowledge,information, and belief, and are hereby incorporated herein by this reference. 2.Effective Date. This Agreement becomeseffective upon final execution by both parties. 3.Grant of Easement.YDE hereby grantstoE&R, its successors andassigns,for its use and the use of its owners, customers, vendors, suppliers, guests, invitees, tenants and occupants, a permanent,non-exclusive appurtenant Cross-AccessEasement for pedestrian and vehicular ingress and egress over and across that portion of the YDEParcel described in Exhibit C. 4.Maintenance of Easement.YDE shall be solely responsible to maintain the Cross-Access Easement, including without limitation, to removesnow and ice,to spread sand and salt, and to maintain, repair or replacethe pavement or other improvements to the extent reasonably required for the Cross-AccessEasement to be suitable for use as intended by this Agreement. Notwithstanding the foregoing, if and to the extent that E&R, its successors and assigns, or its owners, customers, vendors, suppliers, guests, invitees, tenants, occupants, or its agents, employees or contractors, cause material damage to the Cross-Access Easement, such party shall be liable for the reasonable costs incurred by the owner of the YDE Parcel in repairing Page 2of 10 or replacing such damage. “Material damage” for purposes hereof means damage that costs $5,000or more to repair or replace. Such reimbursement shall be made within ten (10) days after written request therefor, supported by copies of invoices documenting such costs. 5.Obstruction of Easement.The Cross-AccessEasement may not be used for the parking or storing of vehicles, boats, motors, campers, trailers, motorcycles, snowmobiles, recreational or other vehicles.Nogate, fence, barrier or other obstruction, interference, or impediment which would unreasonably obstruct, interfere or impede pedestrian and vehicular trafficfor the purposes stated in this Agreement shall be erected, created, permitted orsuffered within the Cross-AccessEasement, except as necessary for controlling normal traffic flows, and, on a temporary basis, for construction purposes, and then only to such extent as to cause the least possible interference with the use thereof, and no overburdening of or to the Cross- AccessEasement shall be caused by unusual increases in traffic volume or load bearing. 6.Transferability of Easement.This Agreement shall run with the land, and every portion thereof, and shall inure to the benefit of, and shall be binding upon, each and every owner, and the successors and assigns of the parties hereto. 7.Enforcement. If a party breaches the terms of this Agreement and such breach continues for ten (10) days after written notice from the other party specifying such breach and the action required to cure the same, such party shall be a Defaulting Party, and the non-breaching party shall have all rights and remedies granted at law or in equity, including without limitationthe right to seek mandatory or prohibitory injunctive relief, the right to take such actions as reasonably shall be required to rectify such breach and the right to recover from the Defaulting Party all costs incurred by the non-breaching party in doing so, with interest thereon from the date incurred to the date reimbursed at the rate of eight percent (8%) per annum. In addition, the non-breaching party shall be entitled to recover from the Defaulting Party its reasonable attorney’s fees and court costs incurred in enforcing the terms of this Agreement, regardless whether suit is actually commenced. In no event shall a Defaulting Party be denied the right to use the Cross-AccessEasement for the purposes specified in this Agreement.The failure to enforce any provision of this Agreement upon any violation thereof shall not constitute a waiver of the right to do so for any subsequent such violation. 8.Amendments. This Agreement may be amended only by a written instrument duly recorded in the appropriate real estate recording office in and for Sherburne County, Minnesota. 9.Counterparts. This Agreement may be executed in several counterparts,each of which shall constitute an original but all of which together shall constitute a single agreement. 10.Severability. The invalidation by judgment, court order or otherwise, of any one of the covenants, conditions, restrictions, reservations or easements in this Agreementshall in no way affect any of the other provisions which shall remain in full force and effect. 11.Governing Law. This Agreement, and all rights and duties created herein, shall be applied, interpreted and construed in accordance with the laws of the State of Minnesota, and all obligations created hereunder may be enforced by the parties hereto either at law or in equity. Page 3of 10 IN WITNESS WHEREOF, the undersigned parties hereto have executed this Agreementin triplicate originals as of the day and year first above written. YANKEE DOODLE ENTERPRISES, LLCE&R INVESTMENTS, LLC By: ______________________________By: ______________________________ Brian Brehmer,Its Chief ManagerGregory R. Ebert, Its Chief Manager STATE OF MINNESOTA) ) ss. COUNTY OF SHERBURNE) The foregoing instrument was acknowledged before me this _____ day of January, 2017, by Brian Brehmer, the Chief Manager of Yankee Doodle Enterprises, LLC, a Minnesota limited liability company, on behalf of the company. ___________________________________ Notary Public or other Public Official STATE OF MINNESOTA) ) ss. COUNTY OF SHERBURNE) The foregoing instrument was acknowledged before me this _____ day of January, 2017, by Gregory R. Ebert, the Chief Manager of E&R Investments, LLC, a Minnesota limited liability company, on behalf of the company. ___________________________________ Notary Public or other Public Official This Instrument Drafted By: Bryan Wm Huber, Esq. Huber Law Office, P.A. 1107 Hazeltine Blvd. MD 15, Suite No. 408 Chaska, MN 55318 Tel. No. 952-448-8815 Fax. No. 952-368-9848 Page 4of 10 EXHIBIT A YDEPARCELDESCRIPTION That part of the Southeast Quarter of the Northwest Quarter and of the Northeast Quarter of the Southwest Quarter of Section 32, Township 33, Range 26, Sherburne County, Minnesota lying northerly of the northerly line of Old Highway No. 10 which is known as the Elk River to Big Lake Road and lying Southeasterly of US Highway No. 10 as now laid out and traveled and lying west of a line described as follows: Commencing at the northwest corner of said Northeast quarter of the Southwest Quarter; thence south along the west line of said Northeast Quarter of the Southwest Quarter, a distance of 11.15 feet to said northerly line of Old Highway 10 which is known as Elk River to Big Lake Road; thence east along said northerly line deflecting 87 degrees 45 minutes 39 seconds left, a distance of 347.23 feet to the beginning of said line to be described; thence north deflecting 92 degrees 20 minutes 59 seconds left, a distance of 333.18 feet to the southeasterly line of said US Highway No.10 and said line there terminating. Containing 1.80 acres. Excepting therefrom the following legally described parcel: [C-Store-1 Legal Description] Page 5of 10 EXHIBIT B E&RPARCELDESCRIPTION [C-Store-1 Legal Description] Page 6of 10 EXHIBIT C CROSS-ACCESSEASEMENTDESCRIPTION Page 7of 10 EXHIBIT D CROSS-ACCESSEASEMENTDEPICTION Page 8of 10 EXHIBIT E CONSENT OF MORTGAGEE The Bank of Elk River, a commercial bank organized and existing under the laws of the State of Minnesota, (“Mortgagee”) is the owner and holder of that certain Mortgage executed by Yankee Doodle Enterprises, LLC, a Minnesota limited liability company(“Borrower”) in favor of Mortgagee dated _______________, 20____and recorded ______________, 20____in Office of the Registrar of Titles in and for Sherburne County, Minnesota as Document No. ____________ (the “Mortgage”). Borrower is the current owner of property subject to the Mortgage and has requested Mortgagee to execute this Consent to Easement to (i) evidence the undersigned’s consent to Borrower’s execution of the foregoing Easement and (ii) evidence Mortgagee’s agreement that Mortgagee’s right, title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. In consideration of the benefits accruing to the property subject to the Mortgage pursuant to the terms of the Easement, Mortgagee hereby consents to Borrower’s execution and recording of the Easement and agrees that Mortgagee’s right, title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. Dated this ____ day of ______________, 20____ THE BANK OF ELK RIVER By: ___________________________________ Its:____________________________________ By: ___________________________________ Its:____________________________________ STATE OFMINNESOTA) ) ss. COUNTY OFSHERBURNE) The foregoing instrument was acknowledged before me this ____ day of ____________, 20_____, by ______________________________ and by ______________________________, the ___________________________ and ___________________________________, respectively, of The Bank of Elk River, a Minnesota commercial banking corporation, on behalf of the corporation. _______________________________________ Notary Public Page 9of 10 EXHIBIT F CONSENT OF MORTGAGEE TheEconomic Development Authority of the City of Elk River(“EDA”), abody corporate and politic organized and existing under the laws of the State of Minnesota, (“Mortgagee”) is the owner and holder of that certain Mortgage executed by Yankee Doodle Enterprises, LLC, a Minnesota limited liability company(“Borrower”) in favor of Mortgagee dated September thth 10 ,2013and recorded September 18,2013in Office of the Registrar of Titles in and for Sherburne County, Minnesota as Document No. T 49208 (the “Mortgage”). Borrower is the current owner of property subject to the Mortgage and has requested Mortgagee to execute this Consent to Easement to (i) evidence the undersigned’s consent to Borrower’s execution of the foregoing Easement and (ii) evidence Mortgagee’s agreement that Mortgagee’s right, title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of theEasement. In consideration of the benefits accruing to the property subject to the Mortgage pursuant to the terms of the Easement, Mortgagee hereby consents to Borrower’s execution and recording of the Easement and agrees that Mortgagee’s right, title andinterest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. Dated this ____ day of ______________, 20____ TheEconomic Development Authority of the City of Elk River By: ___________________________________ Its:____________________________________ By: ___________________________________ Its:____________________________________ STATE OFMINNESOTA) ) ss. COUNTY OFSHERBURNE) The foregoing instrument was acknowledged before me this ____ day of ____________, 20_____, by ______________________________ and by ______________________________, the ___________________________ and ___________________________________, respectively, of The Economic Development Authority of the City of Elk River,abody corporate and politic under the laws of the State of Minnesota, on behalf of theEDA. _______________________________________ Notary Public Page 10of 10 PERMANENT DRIVEWAY EASEMENT AGREEMENT BY AND BETWEEN E&RINVESTMENTS, LLC, A MINNESOTA LIMITED LIABILITY COMPANY AND YANKEE DOODLE ENTERPRISES, LLC, A MINNESOTA LIMITED LIABILITY COMPANY ThisEasementAgreement(“Agreement”) is made this ____ day ofJanuary, 2017December, 2016, by and between E&R Investments, LLC, a Minnesota limited liability company, (“E&R”)and Yankee Doodle Enterprises, LLC, a Minnesota limited liability company,(“YDE”).E&R and YDE are sometimes hereinafter collectively referred to as the “parties”to this Agreement. RECITALS A.E&Ris the fee owner of certain property located in Sherburne County, Minnesota, (“E&R Parcel”), legally described in the attached Exhibit A; and B.YDEis the fee owner of certain property located in Sherburne County, Minnesota, (“YDE Parcel”), legally describedin the attached Exhibit B; and C.The E&R Parcel (to theSouth)and the YDE Parcel (to theNorth)are adjoining properties sharing a common boundary line; and D.YDE is currently using an improved driveway for which there are no recorded easement rights over and across a portion of the E&R Parcel as legally described in Exhibit C and graphically depicted in Exhibit D. E.E&R is in the process of combining the E&R Parcel with contiguous properties for the purpose of development; and F.The parties contemplate that E&R’s development will provide a new access drive from Business Center Drive to the YDE Parcel which will be shared with the replatted properties within E&R’s development; and The parties have agreed to create a permanent driveway easement over and across a G. portion of the E&R Parcel for the benefit of the YDE Parcel as legally described in Exhibit C and graphically depicted in Exhibit D(“Driveway Easement”). The parties contemplate that the Driveway Easement will be terminated when the new H. access drive is installed and a new agreement for use of the new access drive is executed. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and in further consideration of the mutual promises and agreements contained herein, the parties hereto acknowledge, assent and agree as follows: 1.Incorporation.The foregoing recitals are true, correct and complete to the best of the parties’ knowledge,information, and belief, and are hereby incorporated herein by this reference. 2.Effective Date. This Agreement becomeseffective upon final execution by both parties. 3.Grant of Easement.E&R hereby grantsto YDE,its successors and assigns,for its use and the use of its owners, customers, vendors, suppliers, guests, invitees, tenants and occupants, a permanent,non-exclusive,appurtenant Driveway Easement for pedestrian and vehicular ingress and egress over and across that portion of the E&R Parcel as legally described in Page 2of 11 Exhibit Cand graphically depicted in Exhibit D. 4.Termination of Easement.The Driveway Easement and all use thereof by YDE shall terminate when all of the following have occurred: (a)The E&R Parcel is approved and platted for development; and (b)E&R and YDE, or their successor owner(s), have entered into a new agreement which: (i)Provides a permanent, private shared access drive from Business Center Drive to the YDE Parcel and the adjacent E&R properties for the use of the owners of all the benefitted properties; and (ii)Provides for the installation, use and maintenance of the new access drive; and (c)The new access drive has been installed and approved by the City of Elk River for use. (d)E&R and YDE, or their successor owner(s), hereby agree to reasonably negotiate the terms of ashared maintenance agreement for the new access drive. (e)Upon termination, all use of the Driveway Easement as an access shall cease, and E&R may record an Affidavit of Termination which shall be deemed conclusive proof thereof. 5.Maintenance of Easement.YDE shall be solely responsible to maintain the Driveway Easement, including without limitation, to removesnow and ice,to spread sand and salt, and to maintain, repair or replace the pavement or other improvements to the extent reasonably required for the Driveway Easement to be suitable for use as intended bythis Agreement. 6.Obstruction of Easement.The Driveway Easement may not be used for the parking or storing of vehicles, boats, motors, campers, trailers, motorcycles, snowmobiles, recreational or other vehicles.Nogate, fence, barrier or other obstruction, interference, or impediment which would unreasonably obstruct, interfere or impede pedestrian and vehicular trafficfor the purposes stated in this Agreement shall be erected, created, permitted or suffered within the Driveway Easement, except as necessary for controlling normal traffic flows, and, on a temporary basis, for construction purposes, and then only to such extent as to cause the least possible interference with the use thereof, and no overburdening of or to the Driveway Easement shall be caused by unusual increases in traffic volume or load bearing. 7.Transferability of Easement.This Agreement shall run with the land, and every portion thereof, and shall inure to the benefit of, and shall be binding upon, each and every owner, and the successors and assigns of the parties hereto. 8.Enforcement. If a party breaches the terms of this Agreement and such breach continues for ten (10) days after written notice from the other party specifying such breach and the action required to cure the same, such party shall be a Defaulting Party, and the non-breaching party shall have all rights and remedies granted at law or in equity, including without limitation the right to seek mandatory or prohibitory injunctive relief, the right to take such actions as reasonably shall be required to rectify such breach and the right to recover from the Defaulting Party all costs incurred by the non-breaching party in doing so, with interest thereon from the date incurred to the date reimbursed at the rate of eight percent (8%) per annum. In addition, the non-breaching party shall be entitled to recover from the Defaulting Party its reasonable attorney’s fees and court costs incurred in enforcing the terms of this Agreement, regardless whether suit is actually commenced. In no event shall a Defaulting Party be denied the right to use the Driveway Easement for the purposes specified in this Agreement.The failure to enforce any provision of this Agreement upon any violation thereof shall not constitute a waiver of the right to do so for any subsequent such violation. Page 3of 11 9.Amendments. This Agreement may be amended only by a written instrument duly recorded in the appropriate real estate recording office in and for Sherburne County, Minnesota. 10.Counterparts. This Agreement may be executed in several counterparts,each of which shall constitute an original but all of which together shall constitute a single agreement. 11.Severability. The invalidation by judgment, court order or otherwise, of any one of the covenants, conditions, restrictions, reservations or easements in this Agreementshall in no way affect any of the other provisions which shall remain in full force and effect. 12.Governing Law. This Agreement, and all rights and duties created herein, shall be applied, interpreted and construed in accordance with the laws of the State of Minnesota, and all obligations created hereunder may be enforced by the parties hereto either atlaw or in equity. [The signatories and acknowledgements for this document appear on the following page.] Page 4of 11 IN WITNESS WHEREOF, the undersigned parties hereto have executed this Agreementin triplicate originals as of the day and year first above written. E&R INVESTMENTS, LLCYANKEE DOODLE ENTERPRISES, LLC By: ______________________________By: ______________________________ Gregory R. Ebert,Its Chief ManagerBrian Brehmer,Its Chief Manager STATE OF MINNESOTA) ) ss. COUNTY OFSHERBURNE) The foregoing instrument was acknowledged before me this _____ day of January, 2017December, 2016, by Gregory R. Ebert,the Chief Managerof E&R Investments, LLC, a Minnesota limited liability company, on behalf of the company. ___________________________________ Notary Public or other Public Official STATE OF MINNESOTA) ) ss. COUNTY OF SHERBURNE) The foregoing instrument was acknowledged before me this _____ day of January, 2017December, 2016, by Brian Brehmer, the Chief Manager of Yankee Doodle Enterprises, LLC, a Minnesota limited liability company, on behalf of the company. ___________________________________ Notary Public or other Public Official This Instrument Drafted By: Bryan Wm Huber, Esq. Huber Law Office, P.A. 1107 Hazeltine Blvd. MD 15, Suite No. 408 Chaska, MN 55318 Tel. No. 952-448-8815 Fax. No. 952-368-9848 Page 5of 11 EXHIBIT A E&R PARCELDESCRIPTION Page 6of 11 EXHIBIT B YDE PARCELDESCRIPTION That part of the Southeast Quarter of the Northwest Quarter and of the Northeast Quarter of the Southwest Quarter of Section 32, Township 33, Range 26, Sherburne County, Minnesota lying northerly of the northerly line of Old Highway No. 10 which is known as the Elk River to Big LakeRoad and lying Southeasterly of US Highway No. 10 as now laid out and traveled and lying west of a line described as follows: Commencing at the northwest corner of said Northeast quarter of the Southwest Quarter; thence south along the west line of said Northeast Quarter of the Southwest Quarter, a distance of 11.15 feet to said northerly line of Old Highway 10 which is known as Elk River to Big Lake Road; thence east along said northerly line deflecting 87 degrees 45 minutes 39 seconds left, a distance of347.23 feet to the beginning of said line to be described; thence north deflecting 92 degrees 20 minutes 59 seconds left, a distance of 333.18 feet to the southeasterly line of said US Highway No.10 and said line there terminating. Containing 1.80 acres. Page 7of 11 EXHIBIT C DRIVEWAY EASEMENTDESCRIPTION A 40.00 foot easement for access purposes over, under, and across the following described property: That part of the West Half of the Northeast Quarter of the Southwest Quarter of Section 32, Township 33, Range26, Sherburne County, Minnesota, that lies Southerly of the Westerly extension of the Northerly right of way line of Main Street according to the recorded plat of GOSPODOR’S ORONO LAKE ADDITION and Northwesterly of the following described line: Commencing at the Northwest corner of said West Half of the Northeast Quarter of the Southwest Quarter; thence on an assumed bearing of South 00 degrees 48 minutes 04 seconds East, along the West line of said West Half of the Northeast Quarter of the Southwest Quarter, a distance of 264.22 feet to the point of beginning of said line; thence North 65 degrees 05 minutes 40 seconds East, a distance of 132.74 feet; thence North 68 degrees 17 minutes 36 seconds East, a distance of 102.95 feet; thence North 60 degrees 38 minutes 59 seconds East, a distance of 68.90 feet; thence North 54 degrees 35 minutes 15 seconds East, a distance of 50.92 feet; thence North 52 degrees 33 minutes 24 seconds East, a distance of 21.11 feet; thence 228.34 feet Northeasterly along a tangential curve concave Southeasterly having a radius of 336.55 feet to the Westerly extension of the Northerly right of way line of said Main Street and said line there terminating. The Northerly line of said 40.00 foot easement is described as follows: Commencing at the Northwest corner of said West Half of the Northeast Quarter of the Southwest Quarter; thence on an assumed bearing of South 00 degrees 48 minutes 04 seconds East, along the West line of said West Half of the Northeast Quarter of the Southwest Quarter, a distance of 264.22 feet; thence North 65 degrees 05 minutes 40 seconds East, a distance of 132.74 feet; thence North 68 degrees 17 minutes 36 seconds East, a distance of 102.95 feet; thence North 60 degrees 38 minutes 59 seconds East, a distance of 68.90 feet; thence North 54 degrees 35 minutes 15 seconds East, a distance of 50.92 feet to the point of beginning of said line; thence North 33 degrees 39 minutes 04 seconds West, a distance of 5.83 feet; thence 86.97 feet Northwesterly along a tangential curve concave Southwesterly having a radius of 184.57 feet and a central angle of 26 degrees 59 minutes 55 seconds; thence North 60 degrees 38 minutes 59 seconds West, tangent to said curve to said Westerly extension of Main Street and said line there terminating. Page 8of 11 EXHIBIT D DRIVEWAY EASEMENTDEPICTION Page 9of 11 EXHIBIT E CONSENT OF MORTGAGEE The Bank of Elk River, a commercial bank organized and existing under the laws of the State of Minnesota, (“Mortgagee”) is the owner and holder of that certain Mortgage executed by Yankee Doodle Enterprises, LLC, a Minnesota limited liability company(“Borrower”) in favor of Mortgagee dated _______________, 20____and recorded ______________, 20____in Office of the Registrar of Titles in and for Sherburne County, Minnesota as Document No. ____________ (the “Mortgage”). Borrower is the current owner of property subject to the Mortgage and has requested Mortgagee to execute this Consent to Easement to (i) evidence the undersigned’s consent to Borrower’s execution of the foregoing Easement and (ii) evidence Mortgagee’s agreement that Mortgagee’s right, title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. In consideration of the benefits accruing to the property subject to the Mortgage pursuant to the terms of the Easement, Mortgagee hereby consents to Borrower’s execution and recording of the Easement and agrees that Mortgagee’s right,title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. Dated this ____ day of ______________, 20____ THE BANK OF ELK RIVER By: ___________________________________ Its:____________________________________ By: ___________________________________ Its:____________________________________ STATE OFMINNESOTA) ) ss. COUNTY OFSHERBURNE) The foregoing instrument was acknowledged before me this ____ day of ____________, 20_____, by ______________________________ and by ______________________________, the ___________________________ and ___________________________________, respectively, of The Bank of Elk River, a Minnesota commercial banking corporation, on behalf of the corporation. _______________________________________ Notary Public Page 10of 11 EXHIBIT F CONSENT OF MORTGAGEE The Economic Development Authority of the City of Elk River (“EDA”), a body corporate and politic organized and existing under the laws of the State of Minnesota, (“Mortgagee”) is the owner and holder of that certain Mortgage executed by Yankee Doodle Enterprises, LLC, a Minnesota limited liability company(“Borrower”) in favor of Mortgagee dated September thth 10, 2013 and recorded September 18, 2013 in Office of the Registrar of Titles in and for Sherburne County, Minnesota as Document No. T 49208 (the “Mortgage”). Borrower is the current owner of property subject to the Mortgage and has requested Mortgagee to execute this Consent to Easement to (i) evidence the undersigned’s consent to Borrower’s execution of the foregoing Easement and (ii) evidence Mortgagee’s agreement that Mortgagee’s right, title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. In consideration of the benefits accruing to the property subject to the Mortgage pursuant to the terms of the Easement, Mortgagee hereby consents to Borrower’s execution and recording of the Easement and agrees that Mortgagee’s right, title and interest in and to the property subject to the Mortgage is subject and subordinate to the terms of the Easement. Dated this ____ day of ______________, 20____ The Economic Development Authority of the City of Elk River By: ___________________________________ Its:____________________________________ By: ___________________________________ Its:____________________________________ STATE OFMINNESOTA) ) ss. COUNTY OFSHERBURNE) The foregoing instrument was acknowledged before me this ____ day of ____________, 20_____, by ______________________________ and by ______________________________, the ___________________________ and ___________________________________, respectively, of The Economic Development Authority of the City of Elk River,abody corporate and politic under the laws of the State of Minnesota, on behalf of theEDA. _______________________________________ Notary Public Page 11of 11