THIS RESIDENTIAL LEASE AGREEMENT (the "Agreement" or "Lease") is entered into and made effective this 1st day of November, 2026 (with early possession and keys delivered October 1, 2026 for pre-lease move-in staging, site preparation, and deposit accumulation), by and between the Landlord, THE NIKOLAUSON FAMILY operating as SOMBRIO RENTALS GROUP (hereinafter referred to as "Landlord"), and RYAN CHYTKA and MADILYN HOLCOMB (hereinafter collectively referred to as "Tenant"). Landlord and Tenant may collectively be referred to as the "Parties."
SECTION 1. DEMISED PREMISES & DIRECT PRIVATE CONTRACT
1.1 Demised Premises: Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, for residential purposes only, the single-family dwelling, appurtenant structures, and approximately 1.0 Full Acre of Fenced Real Property located at 53770 Sombrio Court, La Pine, Deschutes County, Oregon 97739 (the "Premises").
1.2 Direct Contract / No Third-Party Agency: This Lease constitutes a direct, private, bilateral legal agreement solely between the Nikolauson Family and the Chytka Family. Tenant expressly affirms and covenants that no governmental agency, housing voucher program (including HUD or Section 8), brokerage, or third-party property management company has any interest in, management authority over, or legal right to alter, delay, stay, or prevent the enforcement of this Lease or any statutory eviction proceedings arising from a breach of this Lease.
1.3 Postal Delivery & Mailbox Disclosure: Tenant is expressly advised and acknowledges that THE PREMISES AT 53770 SOMBRIO COURT DOES NOT HAVE A CURBSIDE MAILBOX OR ON-SITE USPS PHYSICAL MAIL DELIVERY SERVICE. Any mail, checks, notices, or parcels routed through the United States Postal Service addressed to the property address must be retrieved in person by Tenant at the La Pine Post Office (51480 Huntington Rd, La Pine, OR 97739) or Tenant may establish and maintain a private PO Box at Tenant's sole election and expense. Landlord bears zero responsibility for mail delivery, mail holding, package security, or forwarding services.
SECTION 2. AUTHORIZED OCCUPANTS & MINOR CHILDREN
2.1 Named Adults: The Premises shall be occupied exclusively by the named adult Tenants: Ryan Chytka and Madilyn Holcomb.
2.2 Authorized Minor Occupants: In addition to the adult Tenants, occupancy is expressly limited to the following six (6) minor children of the Chytka family:
- Caliber Chytka (Age 17, Minor Child)
- Diesel Chytka (Age 12, Minor Child)
- Mayzie Chytka (Age 11, Minor Child)
- Timber Chytka (Age 9, Minor Child)
- Stormie Chytka (Age 7, Minor Child)
- Rambo Chytka (Age 4, Minor Child)
2.3 Guest Restrictions: No other person shall reside upon the Premises without Landlord's prior express written consent. Any guest remaining on the Premises for more than seven (7) consecutive days or more than fourteen (14) days in any calendar year shall be deemed an unauthorized occupant, constituting an incurable material breach of this Lease.
SECTION 3. TERM & 6-MONTH PROBATIONARY REVIEW
3.1 Month-to-Month Periodic Tenancy (Commencing November 1, 2026): This Lease and all monthly rental obligations shall officially commence on November 1, 2026 ("Commencement Date") on a month-to-month basis pursuant to ORS 90.427. Keys to the Premises were delivered to Tenant on October 1, 2026, granting early possession for staging and property preparation so Tenant does not begin tenancy with a deficit.
3.2 Strict 6-Month Probationary Period: The initial six (6) months of this tenancy (November 1, 2026 through April 30, 2027) shall constitute a strict Probationary Period. During this period, Tenant's performance regarding cash rent timeliness, contractor labor reporting, habitability preservation, property cleanliness, and neighborhood quiet enjoyment will be rigorously evaluated.
3.3 Conversion / Lease-Option Eligibility: Following the completion of the 6-Month Probationary Period on
April 30, 2027, Landlord, in its sole, unfettered discretion, may:
- Offer to convert this Lease into a standard one-year fixed-term lease;
- Offer to convert this Lease into a multi-year fixed-term lease;
- Offer to execute a formal, multi-year Lease Option to Purchase Agreement;
- Elect to continue the tenancy on a month-to-month periodic basis; or
- Issue a statutory notice of termination pursuant to Oregon law if probationary performance standards have not been satisfied.
SECTION 4. MONTHLY RENT, CASH PAYMENT & IN-LIEU WORK CREDIT
4.1 Base Monthly Rental Obligation: The agreed full fair-market rental value of the Premises is $2,000.00 per calendar month.
CUSTOM PAYMENT & WORK-CREDIT STRUCTURE (EFFECTIVE NOVEMBER 1, 2026):
A. CASH RENT ($1,000.00 DUE ON THE 1ST): Tenant shall pay $1,000.00 on or before the first (1st) day of each calendar month in COLD HARD CASH EXCLUSIVELY. Absolutely no personal checks, cashier's checks, money orders, digital app transfers, or third-party vouchers will be accepted.
B. CONTRACTOR LABOR / RECEIPTS CREDIT ($1,000.00 DUE ON THE 30TH): Tenant, through Ryan Chytka (licensed contractor) or his approved subordinates, shall provide skilled handyman, preservation, and repair services to the Sombrio Rentals group, or verified material costs, totaling $1,000.00 in value on or before the thirtieth (30th) day of each calendar month for work completed during the preceding 30 days.
4.2 Contractor Labor Rate: Approved labor performed by Ryan Chytka or his vetted subordinates shall be credited toward the monthly rental obligation at the fixed rate of $35.00 per hour. All hours must be meticulously itemized on a written timesheet stating the date, worker name, project ID, exact hours worked, and detailed description of the task performed.
4.3 Materials Reimbursed Strictly at Cost / ZERO MARKUP: Credit may be applied toward actual out-of-pocket costs of materials purchased for approved projects. STRICTLY NO CONTRACTOR MARKUP, OVERHEAD SURCHARGES, OR PROFIT PERCENTAGES ARE PERMITTED. All materials must be documented with legible, original retail or wholesale receipts.
4.4 Mandatory Prior Written Approval of Projects: Projects may be proposed by Tenant; however, EVERY PROJECT MUST RECEIVE ADVANCE WRITTEN APPROVAL FROM LANDLORD before work commences in order to be eligible for rent credit. Unauthorized, unapproved, or unsolicited work will receive zero rental credit.
4.5 Reasonable Cost Accounting Requirement: All projects must start and end with a total cost accounting that reflects economically reasonable market standards. Landlord reserves the absolute right to inspect and audit timesheets and reject inflated or unreasonable billings (e.g., billing $5,000 to install 200 square feet of trim boards).
4.6 Failure of Proof / Full Cash Rent Reversion: In the event Tenant fails to submit approved labor timesheets and material receipts totaling $1,000.00 on or before the 30th of the month, or in the event submitted work is rejected for lack of pre-approval or defective workmanship, the entire unsatisfied balance of the monthly rent SHALL IMMEDIATELY REVERT TO CASH and be payable immediately in cold hard cash upon written demand.
SECTION 5. MOVE-IN CONSIDERATION & DEPOSIT ACCUMULATION
5.1 Move-In Breakdown & Target Date: Prior to official commencement of the lease on
November 1, 2026, Tenant shall remit the total move-in consideration of
$4,500.00 in cash. Landlord acknowledges that Tenant is paying this amount in cash installments during the month of October 2026. Landlord shall issue an official signed receipt for each installment received.
| Obligation Description |
Amount |
Payment Method |
Due Date & Target |
| Security Deposit (Refundable per ORS 90.300) |
$2,000.00 |
Cold Hard Cash |
On or before November 1, 2026 |
| Pet Deposit (2 Dogs & Small Animals) |
$500.00 |
Cold Hard Cash |
On or before November 1, 2026 |
| First Month's Rent (November 2026 Cash Portion) |
$1,000.00 |
Cold Hard Cash |
Due November 1, 2026 |
| First Month's Rent (November 2026 Labor/Receipts) |
$1,000.00 |
Labor @ $35/hr / Materials |
Due November 30, 2026 |
| TOTAL MOVE-IN VALUATION |
$4,500.00 |
Payable across October towards November 1 Start |
5.2 Security Deposit Handling (ORS 90.300): The Security Deposit of $2,000.00 and Pet Deposit of $500.00 shall be held by Landlord to secure Tenant's faithful compliance with all terms of this Lease. Deposits shall not be applied by Tenant toward monthly rent. Landlord shall account for and return any eligible remaining deposit within thirty-one (31) days after termination of tenancy and delivery of possession in accordance with ORS 90.300.
SECTION 6. MAXIMUM STATUTORY PENALTIES & REMEDIES (ORS CHAPTER 90)
6.1 Statutory Grace Period & Late Charge (ORS 90.260): Rent is strictly due on the first (1st) day of each calendar month. Pursuant to ORS 90.260, a statutory grace period extends through the fourth (4th) day of the rental period. If the cash rent of $1,000.00 is not received in hand by 11:59 PM on the 4th day of the month, Tenant shall immediately incur the maximum allowable statutory late fee of $100.00 (representing 5% of the total monthly rent).
6.2 Notice of Nonpayment & Eviction (ORS 90.394): If rent remains unpaid, Landlord reserves the immediate right to issue a formal statutory 10-Day Notice of Nonpayment of Rent served on or after the fifth (5th) day of the month, or a 13-day notice served on or after the 8th day, specifying termination of the tenancy and immediate commencement of a Forcible Entry and Detainer (FED) action under ORS 105.105 - 105.168.
6.3 Attorney Fees & Legal Costs (ORS 90.255): In any action or suit arising out of this Lease or for possession of the Premises, the prevailing party shall be entitled to recover from the non-prevailing party all reasonable attorney fees, court costs, process server fees, and litigation expenses incurred.
SECTION 7. APPLIANCES AS-IS GIFT / ZERO LANDLORD OBLIGATION
7.1 No Appliances Provided with Tenancy: Tenant acknowledges and agrees that the Premises are leased WITHOUT ANY LANDLORD-PROVIDED APPLIANCES.
7.2 Prior Tenant Appliances as Non-Warranted Gifts: Several appliances (including refrigerator, range/oven, dishwasher, or laundry units) remain on the Premises from the previous tenant. Landlord makes these available to Tenant strictly as AS-IS, WHERE-IS GIFTS should Tenant choose to accept and use them. If Tenant does not wish to accept these gifted appliances, Landlord will remove them from the Premises upon written request.
7.3 Absolute Disclaimer of Repair and Replacement: Landlord provides ABSOLUTELY NO WARRANTY, GUARANTEE, MAINTENANCE, OR REPAIR OBLIGATION for any appliance on the Premises. Should any appliance fail, malfunction, or cease operating, LANDLORD WILL NOT REPAIR OR REPLACE SAID APPLIANCE. Tenant assumes all costs and responsibilities for servicing, maintaining, or replacing any appliances Tenant elects to retain or bring onto the Premises.
SECTION 8. HABITABILITY, EXTERIOR PRESERVATION & WINTERIZATION PRIORITY
8.1 Exterior Condition & Winter Urgency: Tenant acknowledges that the exterior grounds, perimeter, roof line, and gutters of the Premises require substantial clearing, debris haul-off, pine needle remediation, and structural winterization prior to freezing Central Oregon winter conditions.
8.2 Strict Prioritization of Habitability Over All Other Projects: Because this Lease includes tenant-performed property improvements, ALL HABITABILITY, WEATHERPROOFING, ROOF CLEARING, FIRE FUELS REDUCTION, AND FREEZE-PREVENTION PROJECTS MUST BE PRIORITIZED OVER ANY OTHER WORK. Tenant is contractually obligated to maintain the property in a fully habitable, weather-tight state at the cost of Tenant's time, EVEN IF SUCH EFFORTS GENERATE A DEFICIT OF IN-LIEU LABOR HOURS.
8.3 Materials Budget Request Protocol & Landlord Remedies: Should necessary habitability, preservation, or structural materials exceed Tenant's rental credit budget or personal funds, Tenant must submit an
OFFICIAL WRITTEN REQUEST TO LANDLORD specifying the exact materials needed, supplier quotes, and a comprehensive written explanation as to why Tenant cannot provide them. Upon receipt, Landlord reserves the absolute sole option to:
- Approve and purchase or provide the required materials; or
- Issue an immediate notice of termination and eviction due to failure to maintain a habitable premises pursuant to Oregon Revised Statutes (ORS 90.320 and ORS 90.392).
8.4 Debris Clean-Up, Local Burn Ordinances & Fire Insurance Compliance: During grounds maintenance and fuel hazard reduction, Tenant shall strictly comply at all times with all burn ordinances, seasonal burn bans, and permit mandates established by the La Pine Rural Fire Protection District (LPRFPD), Deschutes County, and Landlord's property insurance carriers. NO LARGE BONFIRES OR UNCONTROLLED BURNS ARE PERMITTED ON THE PROPERTY AT ANY TIME. Allowable outdoor burning is strictly limited to small, attended, and controlled debris piles during legal burn windows solely to preserve property safety and defensible space.
SECTION 9. WATER TREATMENT, FREEZE PROTECTION & SEPTIC PRESERVATION
9.1 Essential Water Conditioning System: The Premises is equipped with a specialized whole-house water conditioning and treatment system engineered to neutralize sulfur, hard minerals, and sediment. This system is critical to prevent destructive corrosion and mineral scaling of interior copper/pex plumbing lines, hot water heaters, and fixtures.
9.2 Mandatory Water Treatment Obligations: Tenant shall continuously monitor the brine tank and add manufacturer-approved Anti-Sulfur Softener Salt whenever the level drops (never permitting the brine tank to run empty), and inspect and replace system sediment pre-filter cartridges exactly every three (3) calendar months. Failure to perform these duties constitutes gross negligence, holding Tenant strictly liable for 100% of resulting plumbing and fixture damage.
9.3 Sub-Floor Crawlspace Freeze Protection Heater (Mandatory Oct-May): Freeze risk is an acute reality in Central Oregon. A dedicated auxiliary heater is positioned in the crawlspace beneath the home to protect water pipes and plumbing from sub-zero freezing.
TENANT MUST TURN ON AND MAINTAIN THIS UNDER-HOUSE HEATER CONTINUOUSLY FROM OCTOBER 1 THROUGH MAY 31.
- Immediate Failure Notification & Free Replacement: If the under-house heater fails or malfunctions at any time, regardless of the season, Tenant shall immediately alert Landlord. Landlord shall replace the failed heater IMMEDIATELY AT ZERO CHARGE TO TENANT.
- Immediate Freeze Restoration: If plumbing pipes freeze, Tenant must immediately notify Landlord, and immediate thawing, restoration, and repairs must be executed to prevent pipe bursts, structural flooding, or water loss.
9.4 On-Site Septic System & High-Occupancy Capacity (8 Occupants): Tenant acknowledges that full-time occupancy by eight (8) individuals places a substantial hydraulic and biological load on the private septic tank and drain field. Pumping of the septic tank is recognized as routine periodic maintenance that may be required over years of heavy family use. Tenant is obligated to IMMEDIATELY ALERT LANDLORD if drains become sluggish, gurgle, or begin backing up. Tenant shall strictly refrain from flushing wipes, paper towels, grease, feminine hygiene products, or foreign objects into the plumbing.
SECTION 10. HOT TUB / SPA & TENANT INDEMNIFICATION
10.1 Sole Tenant Responsibility: There is a hot tub located on the exterior premises. Tenant explicitly agrees that the hot tub is the 100% SOLE RESPONSIBILITY AND LIABILITY OF TENANT. Landlord retains zero rights, zero liabilities, and zero maintenance or repair obligations with respect to the hot tub.
10.2 Maintenance or Removal Requirement: Tenant is contractually required to maintain the hot tub in safe, sanitary, clean, and fully operational working condition at all times. If Tenant fails or elects not to maintain the hot tub, Tenant shall immediately drain, disconnect, and completely remove the hot tub from the Premises at Tenant's sole expense.
10.3 Indemnification & Hold Harmless: Tenant agrees to defend, indemnify, and hold Landlord harmless from any and all claims, demands, liabilities, damages, injuries, drownings, electrocutions, or property losses arising from the presence, maintenance, use, or failure of the hot tub.
SECTION 11. MANDATORY UTILITIES & ESSENTIAL COMMUNICATIONS (TDS FIBER)
11.1 Continuous Utility Accounts: Tenant shall transfer into Tenant's name and maintain continuous, uninterrupted utility services at Tenant's sole expense, including:
- Electric Service: Continuous electric account with the local utility provider (Midstate Electric Cooperative).
- Garbage & Sanitation Service: Continuous regular curbside waste management and refuse disposal.
- TDS Fiberoptic Broadband Internet (Mandatory): Because there is NO CELLULAR PHONE COVERAGE at the Premises, Tenant is contractually required to maintain active TDS Fiberoptic Broadband Internet Service at all times the property is occupied. This broadband connection is an essential life-safety requirement to ensure emergency 911 access, Wi-Fi voice calling, and continuous communication with Landlord and emergency first responders.
SECTION 12. 1-ACRE FENCED PARCEL, NOISE & GOOD NEIGHBOR RELATIONS
12.1 Ample 1-Acre Fenced Space: The Parties recognize that a large family of eight (8) with six (6) minor children naturally generates household noise and outdoor activity. The Premises encompasses a full 1.0 Acre of Fenced Land, affording substantial room for the family's enjoyment. Tenant covenants that family play, recreation, and noise shall remain properly contained within the boundaries of the 1-acre fenced parcel.
12.2 High Priority on Neighbor Harmony: Maintaining positive, peaceful, and respectful relations with adjoining neighbors is a paramount lease covenant. Tenant's children and guests shall not trespass upon, harass, throw debris onto, or disrupt neighboring properties.
12.3 Mandatory Immediate Reporting of Neighbor Complaints: In the event of any complaint, dispute, or communication from neighbors regarding noise, property lines, animals, or children, Tenant shall IMMEDIATELY REPORT SAID COMPLAINT TO LANDLORD. This allows Landlord to promptly investigate, coordinate with neighbors, and take appropriate civil, legal, or protective action.
SECTION 13. PROPERTY SANCTITY, ANTI-TRESPASSING & HARASSMENT INTERVENTION
13.1 Private Sanctity of the Property: The Premises is strictly private property. No unauthorized persons, squatters, loiterers, or uninvited parties shall be permitted on the 1-acre grounds at any time. Occupancy and visitors are strictly restricted to the named Tenants, listed minor children, and authorized short-term guests in accordance with Section 2.
13.2 Duty to Report Trespassers: Tenant shall immediately report to Landlord any trespassers, suspicious persons, or individuals violating the perimeter or sanctity of the property.
13.3 Tenant Protection & Landlord Harassment Intervention: If any third party, neighbor, or outside individual engages in harassment, intimidation, or threatening behavior toward Tenant or Tenant's children on or adjacent to the Premises, Tenant shall NOTIFY LANDLORD IMMEDIATELY. Landlord insists on being directly involved to coordinate with the Deschutes County Sheriff's Office and institute appropriate legal, injunctive, or criminal trespass proceedings to safeguard Tenant's quiet enjoyment.
SECTION 14. LANDLORD ACCESS & REGULAR IN-PERSON INSPECTIONS (ORS 90.322)
14.1 Maximum Allowable Landlord Access: Because Tenant is actively performing property improvements, structural cleanup, and system maintenance in exchange for rent credit, regular in-person inspections by Landlord are an essential covenant of this agreement. Landlord reserves the MAXIMUM ALLOWABLE ACCESS PROVIDED UNDER OREGON LAW (ORS 90.322).
14.2 24-Hour Notice of Entry: Landlord or Landlord's authorized agents may enter the dwelling unit and grounds upon giving at least twenty-four (24) hours' advance notice (delivered in writing, posted to the main entry, or transmitted electronically as agreed) to inspect the premises, review completed or in-progress improvements, inspect the water system, inspect the sub-floor heater, or show the property.
14.3 Emergency Entry: In cases of emergency (including pipe bursts, freezing alerts, active leaks, or fire hazard), Landlord may enter immediately without advance notice pursuant to ORS 90.322(4).
SECTION 15. DESCHUTES COUNTY COMPLIANCE & ZERO-TOLERANCE CRIME POLICY
15.1 Compliance with Local & State Laws: The Premises is situated in a residential neighborhood of Deschutes County, Oregon. Tenant, all occupants, and all guests shall strictly obey all county ordinances, noise control regulations, zoning mandates, fire safety burn bans, and Oregon state statutes.
15.2 Zero-Tolerance Criminal Activity & Police Involvement: ANY STATE OR FEDERAL CRIMINAL CHARGES, ARRESTS, ILLICIT DRUG ACTIVITY, VIOLENCE, DISTURBANCE OF THE PEACE, OR POLICE INVOLVEMENT AT THE PREMISES SHALL CONSTITUTE AN INCURABLE MATERIAL VIOLATION OF THIS LEASE. Pursuant to ORS 90.396 and ORS 90.398, Landlord shall immediately issue an expedited 24-Hour Notice of Lease Termination and file an immediate FED eviction action without opportunity to cure.
SECTION 16. PET AGREEMENT & 1-ACRE GROUNDS MAINTENANCE
16.1 Permitted Animals: Tenant is permitted to keep exactly two (2) domestic dogs and disclosed small household animals on the Premises. A refundable Pet Deposit of $500.00 has been paid to Landlord.
16.2 Monthly Waste Removal & Animal Conduct: In consideration of the expansive 1.0-acre fenced parcel, Tenant is required to conduct a THOROUGH MONTHLY WASTE SWEEP and regular cleanup of all animal feces across the grounds to maintain sanitary, pest-free, and clean premises. Dogs must remain securely contained within the fenced 1-acre boundary or leashed when off-property. Excessive barking or aggressive behavior toward neighbors is strictly prohibited.
SECTION 17. ELECTRONIC SERVICE OF NOTICE & COMMUNICATION (ORS 90.155)
17.1 Statutory Agreement to Electronic Service: Pursuant to Oregon Revised Statutes Chapter 90 (ORS 90.155), Landlord and Tenant hereby expressly stipulate and agree that any and all notices required or permitted under Oregon law or this Leaseβincluding but not limited to 24-Hour Notices of Entry (ORS 90.322), rent receipts, move-in deposit accounting, notices of nonpayment (ORS 90.394), notices of termination, and maintenance alertsβmay be served electronically via the Nikorent Tenant Portal and designated electronic mail addresses.
17.2 Designated Conduits & Full Legal Effect: The Parties designate the following conduits for electronic notice:
- Landlord Designated Conduit: Nikorent Management Portal (nikorent.com) • Email:
jesse@nikorent.com
- Tenant Designated Conduit: Nikorent Tenant Portal • Email:
ryan@chytkaconstruction.com / madilyn@chytkaconstruction.com
Electronic transmission through the Nikorent portal or to Tenant's designated email shall satisfy all statutory writing and service requirements under Oregon law without requiring subsequent physical postal mail delivery.
SECTION 18. EXECUTION & BINDING SIGNATURES
IN WITNESS WHEREOF, the Parties have executed this Residential Lease Agreement on the date first written above. By signing below, Tenant acknowledges having read, understood, and received a true and complete copy of this Agreement and accepts full personal liability for all terms and covenants herein.
Jesse Nikolauson
JESSE NIKOLAUSON
Authorized Representative, Sombrio Rentals Group / Landlord
Date: October 1, 2026
Ryan Chytka
RYAN CHYTKA
Tenant / Contractor
Date: October 1, 2026
Madilyn Holcomb
MADILYN HOLCOMB
Tenant / Mother
Date: October 1, 2026