Lease Agreement Excerpts - Landlord and Tenant Covenants

5. LANDLORD'S COVENANTS

5.01 Quiet Enjoyment — The Landlord agrees that so long as the Tenant pays the rent and performs and observes the Tenant's covenants contained in this Lease, the Tenant may peaceably possess and enjoy the premises throughout the Term without any interruption or disturbance from the Landlord.

5.02 Electrical, Plumbing and Heating Systems — The Landlord shall ensure that the electrical, plumbing and heating systems shall be in a satisfactory operating condition prior to the Tenant occupying the Premises. The Tenant shall notify the Landlord of any problem or deficiency within 10 business days of such initial occupancy.

5.03 Common Areas — The Tenant shall have a non-exclusive license to use the ingresses, egresses and other common areas of the Lands and Building.

6. ALL COVENANTS

6.01 Landlord's Expenses — If the Landlord suffers any expense or is obligated to make any payment for which the Tenant is liable hereunder by reason of any failure of the Tenant to observe and comply with any of the covenants of the Tenant herein, then the Landlord will have the right to add the expense or payment to the rent and the amount will thereupon immediately be due and payable as rent and recoverable in the manner provided by law for the recovery of rent in arrears.

6.02 Inspection of Premises — The Tenant has examined the Premises before taking possession hereunder and has accepted the Premises and found them to be in good order and satisfactory condition for the purposes intended in this Lease. The Tenant agrees that there is no promise, representation or undertaking binding upon the Landlord with respect to any alterations, remodeling or decorating, or installation of equipment or fixtures in the Premises.

6.03 Landlord's Signs — The Landlord has the right to post "For Lease or Rent" signs outside the Premises 180 days prior to the expiration of this Lease.

6.04 Ownership of Goods on Premises — All goods and chattels, including trade fixtures of the Tenant brought onto the Premises at the commencement of this Lease are solely the property of the Tenant, free and clear of any and all charges or encumbrances in favour of any creditor of the Tenant, save as has been expressly disclosed in writing by the Tenant to the Landlord. The Tenant agrees that it will not execute any such encumbrances or charge on any of its goods or chattels, including the Tenant's fixtures, without first obtaining the consent in writing of the Landlord, such consent not to be unreasonably withheld.

6.05 Fixtures — At the expiration of the Term, the ownership of all structures and improvements erected or placed upon the Premises and all fixtures in and about the Premises will vest in the Landlord and no compensation will be payable to the Tenant by the Landlord for the same; provided nevertheless that trade fixtures placed in the Premises by the Tenant which do not actually become part of the Premises may be removed by the Tenant during the Term hereby created upon the condition that the Tenant give to the Landlord ten (10) days advance notice specifying the fixtures to be removed; and provided further that caused by such removal, will make good any and all damages to the Premises.

6.06 Damage to Premises — If and whenever the Premises are damaged by fire or other cause to such an extent that in the opinion of the Landlord the Premises are not capable with due diligence and at a reasonable cost of being repaired, restored or rebuilt within a period of four (4) months after the occurrence of such damage, then the Landlord may terminate this Lease upon thirty (30) days' notice to the Tenant given within forty-five (45) days of the date of such occurrence and the Tenant will thereupon immediately surrender the Premises and this Lease to the Landlord and rent will be abated from the date of such damage.

6.07 Overholding — If the Tenant does hold over after the expiration of the Term hereby granted and the Landlord accepts the new tenancy thereby created will be a tenancy from month to month and not a tenancy from year to year or for any other period of time and will be subject to the covenants and conditions herein contained so far as the same are applicable to a tenancy from month to month.

6.09 Arbitration — Whenever any dispute arises between the parties as to any of the provisions of this Lease, the matter shall be submitted to arbitration under the Arbitration Act of British Columbia.

6.10 Release of Landlord on Transfer of Title — If the Landlord sells or assigns all or part of its interest in the Premises, and to the extent that any purchaser or assignee has assumed the covenants and obligations of the Landlord hereunder, the Landlord will, without further agreement, be released from all liability upon those covenants and obligations.

6.11 Landlord Not Liable — The Landlord shall not be liable for any loss or damage caused by any overflow or leakage of water or electricity or gas or fuel oil from any part of the Premises or by any seepage or overflow from neighbouring Premises or any part of the Building or for any damage, loss or expense that may be suffered or incurred by reason of any accident to the machinery, fixtures, equipment, lights, gas, water and other pipes, appliances or any fixtures or any other matter or thing whatsoever or for damage arising from neglect, accident or misadventure in connection with the use, misuse or abuse of water, electricity, gas or fuel oil.

6.12 Postponement — Subject to the Landlord obtaining for the Tenant for the mortgagee or other lender of the Landlord, a non-disturbance covenant, the Tenant agrees that it shall execute and allow to be registered a postponement of any encumbrance it may place against the title to the Lands to protect its interest in the Lease hereby granted, so as to enable the Landlord or the registered owner of the Lands to create, alter, or replace a mortgage or mortgage, or other encumbrance of any nature. The non-disturbance covenant shall provide that so long as the Tenant is not in default under the terms of this Lease, the Tenant shall be entitled to continue in quiet possession of the Premises. The Tenant shall also from time to time within ten (10) days and at the Landlord's request, execute written confirmation of the then status of this Lease.

6.13 Right of Renewal — In consideration of the Tenant duly observing and performing all of the conditions and Covenants herein contained during the Term, the Landlord covenants and agrees to give the Tenant an option of renewal of this Lease for one (1) further term often (10) years (the "Renewal Term") following the said Term upon the same terms and conditions as herein contained excepting this covenant for renewal, Basic Rent and any rental inducement or rent-free period, PROVIDING THAT the Tenant shall give notice in writing as hereinafter mentioned to the Landlord not less than six (6) months prior to the expiry of the Term, indicating the Tenant's intention to renew. The Basic Rent payable for each Renewal Term shall be the then fair market rent for premises of similar size, quality and location of the Premises, but in any event shall not be less than the Basic Rent payable during the last year of the Term, and failing agreement between the parties with respect to the Basic Rent for each Renewal Term, the same shall be determined by a single arbitrator under the Arbitration Act of British Columbia.

7. LANDLORD'S REMEDIES

7.01 Tenant's Insolvency — If the Tenant becomes bankrupt or insolvent or makes any assignment for the benefit of its creditors or suffers any distress or execution to be levied upon any of its goods, or should any creditor of the Tenant cause a Receiver to be appointed of the Tenant's business, or if the Premises become vacant or are occupied by anyone other than the Tenant without the prior written consent of the Landlord, then in any such case, at the option of the Landlord and upon notice to the Tenant, the then current month's rent and three (3) months additional rent will immediately become due and payable and it will be lawful for the Landlord or any person or persons authorized by the Landlord forthwith to re-enter upon the Premises and thereupon this Lease will absolutely determine but without prejudice to any right or action of the Landlord in respect of any antecedent breach of the Tenant's covenants herein.

7.02 Tenant's Default — If at any time:

(a) the Tenant fails to pay any rent when due and the said rent remains unpaid for ten (10) days after becoming payable; or

(b) the Tenant fails to perform or observe any other covenant or term of this Lease and such default shall continue for five (5) days after notice thereof has been given by the Landlord to the Tenant; or

(c) the Premises are vacated by the Tenant or are occupied by any person or persons other than the Tenant without the consent of the Landlord then in any such case:

(d) the Landlord will have the right but not the duty, upon notice to the Tenant, to re-enter the Premises as agent for the Tenant and re-let the Premises, in which case any rent from such re-letting will be applied on account of the rent due under this Lease and will remain liable to the Landlord for any deficiency;

(e) alternatively, the Landlord may insist upon performance of the Tenant's obligations under this Lease and may sue for rent as it accrues on the footing that his Lease remains in force; provided, however, that in such case, the Landlord shall not be obligated to take any action to mitigate its loss of rent suffered as the result of the Tenant's failure to pay; or

(f) further alternatively, the Landlord may elect to terminate this Lease and re-take possession of the Premises with notice to the Tenant that damages will be claimed on the footing of a present recovery of damages for losing the benefit of the Lease over its unexpired term.

7.03 Common Law Remedies — Nothing in this Lease is to be interpreted to restrict the remedies at common law from time to time available to a landlord against a defaulting tenant and further, without limiting the generality of the foregoing, all the goods and chattels of the Tenant upon the Premises will be liable to distress and sale in the usual manner for any arrears of rent.

7.04 Interest on Arrears — In the event the Tenant fails to pay any Basic Rent or amounts or charges payable under the terms of this Lease by the Tenant to the Landlord when the same are due and payable, such unpaid monies will bear interest from the due date until payment at the rate of twelve percent (12%) per annum but nothing herein contained will be deemed to suspend or delay the payment of any sum at the time the same becomes due and payable hereunder or limit any other remedy of the Landlord.

7.05 Solicitor's Fees — If it becomes necessary for the Landlord to employ a solicitor or to commence an action to collect rent or to compel performance of any of the terms, conditions, covenants or provisos contained herein, subject to an Order of a Court of competent jurisdiction, it will be entitled to collect from the Tenant all reasonable solicitor's fees on a solicitor/client basis as if they were rent in arrears under this Lease.

8. MISCELLANEOUS PROVISIONS

8.01 Time — Time is of the essence of this Lease and of every term and provision hereof and no waiver by the Landlord of any breach by the Tenant will be deemed a waiver of or in any way affect or prejudice the rights and remedies of the Landlord in respect of any future or other breach of the covenants or obligations on the part of the Tenant herein.

8.02 Entire Agreement — The parties acknowledge that there are no covenants, representations, warranties, agreements or conditions, expressed or implied, collateral or otherwise, forming part of or in any way affecting or related to this Lease save as expressly set out in this Lease or in the Offer to Lease and this Lease and the Offer to Lease constitute the entire agreement between the Landlord and the Tenant and may not be modified except as herein explicitly provided or except by subsequent agreement in writing of equal formality executed by the parties hereto.

8.03 Notices — Any notice which is required to be given under the terms of this Lease must be in writing and delivered to the Landlord or to the Tenant at its address as aforesaid or at Such Other address as either party may subsequently advise in writing as the address for delivery to itself; provided, however, that any such notice may effectually be delivered by mailing the same by registered mail and any such notice will then be deemed to be given on the expiration of the third day following the day on which such mailing was effected.

8.04 Binding Effect — This Lease and everything herein contained shall endure to the benefit of and be binding upon the heirs, executors, administrators, successors, assigns and other legal representatives, as the case may be, of each of the parties hereto, subject to the granting of consent by the Landlord as provided in paragraph 4.01 to any assignment or sub-lease, and every reference herein to any party hereto shall include the heirs, executors, administrators, successors, assigns and other legal representatives of such party, the provisions hereof shall be read with all grammatical changes thereby rendered necessary and all covenants shall then be deemed joint and several.

8.05 Captions — The captions appearing in this Lease are inserted for convenience of reference only and shall not affect the interpretation of this Lease.

IN WITNESS WHEREOF the parties hereto have executed this Lease the day and year first above written.

The Redeemed Christian Church of God Victo Chapel by its authorized signatory: Name: AKINGBADE S. OLUWARINU

Victory Hill Childcare Society by its authorized signatory Name: