དཔལ་ལྡན་འབྲུག་གཞུང་། ཐིམ་ཕུ་རྫོང་ཁག་བདག་སྫོང་། ROYAL GOVERNMENT OF BHUTAN DZONGKHAG ADMINISTRATION THIMPHU DZONGKHAG FOREST OFFICE TDA/FO/14/2015-2016/ Date: March 22, 2016 LEASE AGREEMENT This agreement for lease made on this day of 8th December 2015 between the Ministry of Agriculture and Forest represented by the Thimphu Dzongkhag Administration, on behalf of the Royal Government of Bhutan on the one part, hereinafter referred to as LESSOR and the Respect, Nurture and Empower Women (RENEW) Organization on the other part hereinafter, referred as LESSEE to lease GRF land measuring 4 acres from Selekha, Wangsisina, Mewang Gewog, Thimphu Dzongkhag. WHEREAS 1. The ministry of Agriculture and Forest is the custodian of State Forest Land of Bhutan and is empowered by the Land Act of Bhutan, 2007 and Rules made there-under to lease out State Forest Land to an individual or Community or Company or Firm or an Organization for developmental activities. AND WHEREAS THE LESSEE has approached the said LESSOR for taking the said GRF land on lease. NOW THIS INDENTURE WITNESSETH AND IT IS HEREBY AGREED AND DECLARED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. That the Dzongkhag (Lessor) will demise to the GRF Land, fully mentioned and described in the schedule for a period of 30 years with effect from 08/12/2015 in consideration of a monthly/yearly rent of Nu. 0.20 per square feet per annum (Subject to change as per Government order). 2. That the rent for GRF land shall be paid on or before 5th day of the following quarter year without any delay or default and the first of such payment shall be made on the date of signing the agreement. 3. That the rent shall be subject to revision as per the notification issued by the Ministry of Agriculture and Forest. 4. That the Lessor shall issue receipt for the payment of rent, security deposit or any other relevant payments. 5. That the Lessee shall not, except with the permission of the Lessor in writing first, had and obtained, use of GRF Land for any purpose other than the one approved by the National Land Commission and Dzongkhag Administration. Post Box No 168 Tel.No.975 2 321219 Fax No.975 2 334701 6. That the Lessee shall not be allowed to register the leased GRF on their ownerships under any circumtances. 7. That the following activities shall not be allowed inside the leased GRF land. (a) (b) (c) (d) Use of the land in any manner other than as prescribed in the project proposal. Sell, transfer, sublease, mortage of the leased land. Mining, hungting and anauthorized recreational activities. Harvesting any forest produce for comercial purpose without prior approval of the concerned authority ( Department of Forest and Park Services) (e) Building houses or huts for the purpose other than the management of the leased areas as per the proposed plans. AND THE LESSEE BOTH HEREBY COVENANT WITH THE LESSOR IN THE MANNER FOLLOWING. 8. That the Lessee shall pay all service charges such as electricity, water, telephones, sewerage and other miscellaneous charges to the appropriate authorities on time. 9. The Lessee shall remove all things, which he has attached to the land at the expiry of the agreement or on termination of Agreement, and leave the leased property in original condition. 10. The Lessees shall proceed with the construction of the building and/or any structures on the land hereby demised only after obtaining necessary approval from the appropriate authorities. 11. The Lessee shall comply with all infrastructure development works strictly in conformity to the master plan of the Industrial Area Development and in accordance with the plan and specification submitted with the lease application. Technical guidance will be provided by the Lessor. 12. The lessee shall at all times during the continuance of the lease shall maintain the GRF land leased. 13. The Lessee shall confine its activities within the area allotted. Any encroachment beyond the specification boundary shall be treated as an offence and may result in termination of lease at the discretion of the Lessor. 14. The lessee shall not interfere in any activities of the surroundings/neighboring villages/settlements or other organizations in the same vicinity by way of hindering their activities. 15. The lessee shall, with reasonable diligence, give notice to the lessor when he is aware of any danger to the leased GRF Land or any encroachment made there upon, or any interference with the Lessor’s rights. 16. The Lessee shall permit the duly authorized agents to enter the premises at all convenient times for periodical inspection of the same except when entrance of such officers hampers the day to day functioning of the Lessee. Post Box No 168 Tel.No.975 2 321219 Fax No.975 2 334701 17. The lessee shall fully abide by the environment protection laws and by-laws and shall dispose off the waste /unwanted materials as per environment clearance issued by the competent authority. Lessee shall also carryout remedial measures as and when the environment legislation so demands for such activities. 18. The lessee shall abide by the legislations of the Royal Government in force from time to time. AND IT IS HEREBY FURTHER AGREED AND DECLARED BY AND BETWEEN THE PARTIES TO THIS AGREEMENT AS FOLLOWS: 19. That the Lessor shall not deprive the lessee of peaceful enjoyment of the land during the lease except in emergency or during industrial inspection. 20. That the Lessor shall not discontinue or withhold any services and facilities enjoyment by the Lessee without just and sufficient cause. 21. That the lessee shall have right to terminate the lease with notice in the event of any material part of the leased land being wholly destroyed or rendered substantially or permanently unfit for which it was leased, due to natural forces or land acquisition activities in accordance with the Land Act,1979 and amendments thereof. 22. That in the event of the death of a lessee during the subsistence of the Lease, the Lessee’s right shall devolve upon Successors as per Section 7.2 of the Tenancy Act of the Kingdom of Bhutan, 2004. 23. That if the Government takes back the land and close down the activity/firm in the national interest, the Government may consider compensation of the structure on the leased area as per depreciated value or as per rules in vogue subject to the structure erected have been approve by the Ministry of Economic Affairs in writing. 24. That the Lessor shall not be liable to the lessee for loss or damage caused to the structure in the leased GRF land due to Lessee’s negligence or natural forces. 25. That the subject of fulfillment of the terms and conditions of these presents, the Lessee will have the option to extent the lease of the said GRF land thereon for a period as considered and approved by the Ministry on the expiry of the lease hereby granted. 26. The lessee shall carry out only the approved activity and in the event of any deviation and violation observed by Dzongkhag authority then the lease of GRF land shall be annulled after 2 months prior notice. 27. The lessee shall bear all the expenses for dismantling the properties on the leased GRF land in case the lessee deviates from the project proposal and the approved activity after the termination of the lease aggrement and no compensation shall be paid to the lessee. 28. The lessee shall restore the leased GRF land in its original form at his own cost on the expiry of the lease period if the lease is not renewed or surrendered by the lessee. Post Box No 168 Tel.No.975 2 321219 Fax No.975 2 334701 29. The lesse shall abide and respect the boundary coordinates demarcated by the Dzongkhag and in the event of encroachment or damage to the pegs by the lessee, the matter shall be dealt in accordance with the land Act, 2007 and Rules and Regulations. 30. The existing naturally grown standing trees in the leased GRF land shall remain the property of the state. However, if the lessee requires the felling/ removal of the standing trees for the development of the site, the Department of the Forest and Park Services shall dispose these trees according to the prevailing rules and regulations. 31. Any infrastructure development inside the leased GRF land shall commence with prior permission from the Dzongkhag and it shall be approved as deem necessary by the Dzongkhag in consultation with the revelant agency and the Ministry and Forest. The infrastructure developed on the leased land shall not be used for any commercial purpose. However, if there is a requirement to establish a sales counter within the leased land the lessee shall accord approval from the Ministry of the Agriculture and Forest. 32. The lessee shall pay compensation for any loss or damage that may be caused by development of leased areas to any land or property, whether belonging to the government or any private party as per government rules and regulations. 33. The lessee shall carry out soil consrevation works and river protection works to avoid landslides or other environmental destructions at its own cost. 34. The (Legal/DE/LRO/DzFO/Environment) shall be responsible to monitor the activity and submit report quarterly to the concerned Department in the Ministry. 35. The lessee shall have no objection in execution of development works of greater importance to the nation in the leased areas, if deemed necessary by the government. 36. That any disputes, difference or questions touching or arising out of this agreements or the subject matter thereof which cannot be resolved amicably shall be referred to the appropriate Royal Court of Justice. 37. Notwithstanding anything, hereinbefore contained if there shall have been in the opinion of the Lessor any breach by the Lessee or by the person claiming through or under him of any of the covenants or conditions hereinbefore contained and the provisions of the Tenancy Act of Kingdom of Bhutan, 2004, the LESSOR reserves the right to terminate the lease and evict the lessee by giving notice without any compensation by the Government. Post Box No 168 Tel.No.975 2 321219 Fax No.975 2 334701 The Schedule of property 1. Allotment Order 2015. 2. Pupose of Lease 3. Plot No 4. Location 5. Area 6. Others : Approval of NLCS/CID/10/2014-2015/9971 dated 17th June, : Regularization of leased land : As approved by NLCS : Selekha, Wangsisina under Mewang Gewog, Thimphu : 4 acres : IN THE WITNESS WHEREOFF THE PARTIES HAVE PUT THEIR SIGNATURES HEREUNDER ON THE DATE, MONTH AND YEAR FIRST ABOVE WRITTEN IN THE PRESENCE OF THE FOLLOWING WITNESSES: A. LESSOR 1) Concerned Dealing Officer B. LESSEE Name: CID: Designation: Name CID Address 2) Gup of the Gewog( Approved land located) Name: CID: 3) Dzongkhag Legal Officer Witness: Name CID Address Name: CID: 4) Land Record Officer Name: CID: Dzongdag (Chairman of the Land Leasing Committee) Post Box No 168 Tel.No.975 2 321219 Fax No.975 2 334701