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                                                                    EXHIBIT 10.7

                                     LEASE

THIS LEASE DATED this 13th day of December, 2005 is between Earl D. Lincoln and
Gloria Jean Lincoln, husband and wife, (hereinafter called "Landlord" and
Westsound Bank (hereinafter called "Tenant"). Landlord and Tenant covenant and
agree as follows:

     Landlord hereby leases to Tenant and Tenant hereby leases from Landlord
those Certain premises situated in the county of Mason, State of Washington,
described as follows, to-wit:

     A portion of the building situated on the hereinafter described property
commonly known as Lincoln Center, consisting of approximately 800 square feet on
the Lower level.

To-wit: Suite # 102
        23552 NE State Route 3 - Belfair, WA 98528
        Lot 3 of Short Plat # 1852.

     The term of this lease shall be for a period of 12 months commencing upon
the 1st day of April, and monthly thereafter, with option to renew, see
attachment.

     Tenant covenants and agrees to pay as rental for the said premises a
monthly rental of $1,200.00 dollars in advance on the first day of each and
every calendar month.

     The Tenant will not use or suffer the use of the demised premises or any
part thereof for purposes other than those of operating a mortgage banking
business, and will not use or suffer the use of the demised premises nor any
part thereof for any trade, manufacture, occupation or use which shall be
unlawful or a nuisance or contrary to any law, charter, provision, ordinance,
rule or regulation of public authority for the time being in force, whether
local, state or national.

     The Landlord will provide electricity, garbage service, water, heat and air
conditioning and janitorial service in the hallways and common areas.

     Landlord hereby releases tenant of and from every and all right, claim and
demand that Landlord may hereafter have against Tenant, or Tenant's successors
or assigns, arising

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or around premises. Tenant hereby releases Landlord from any and every right,
claim and demand that Tenant may hereafter have against Landlord or Landlord's
successors or assigns arising out of or in connection with any losses occasioned
by fire and such items as are included under the normal extended coverage
clauses of fire insurance policies and sustained by Tenant to the trade
fixtures; equipment and merchandise in premises. The waivers provided for in
this paragraph shall be applicable and effective only in the event such waivers
are attainable from the insurance carries concerned.

     Tenant shall hold the Landlord harmless from liability for any persons or
property injured or claimed to be injured with respect to the Landlord's use of
the leased premises and the business operated by Tenant.

     Tenant agrees that it will not keep or use upon the leased premises any
articles which may be prohibited by the standard, form of fire insurance policy.
Tenant agrees to pay any increase in premium for fire and extended coverage
insurance that may be charged during the term of this lease which results from
the type of use made by Tenant in the leased premises, whether or not Landlord
has consented to the same. In determining whether increased premiums are a
result of Tenant's use of the leased premises, a schedule issued by the
organization making the insurance rate at the leased premises showing the
various components of such rate, shall be conclusive evidence of the several
items and charges which make up the fire insurance rate on the leased premises.
In the event Tenant's occupancy causes any increase of premium for the casualty
insurance on the leased premises or any part thereof above the rate for least
hazardous type of occupancy legally permitted in the leased premises, the Tenant
shall pay the additional premium on the casualty insurance policies by reason
thereof. The Tenant shall also pay in such event, any additional premium on the
insurance policy that may be carried by the Landlord for its protection against
rent loss through fire. Bills for such additional premiums shall be rendered by
the Landlord to the Tenant at such time as Landlord may elect and shall be due
from and payable by Tenant when rendered, and the amount hereof shall be deemed
to be and be paid as additional rent

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of Landlord's intentions, rebuild or repair premises or the place so damaged,
and if Landlord elects to rebuild or repair premises, Landlord shall prosecute
the work at such rebuilding or repairing without unnecessary delay, and during
such period the rent of premises shall be abated in the same ratio that the
portion of the premises rendered for the time being unfit for occupancy shall
bear to the whole of leased premises. If Landlord shall fail to give the notice
aforesaid, Tenant shall have the right to declare this lease terminated by
written notice served upon Landlord.

     This lease shall not be assignable by Tenant or by operation of law without
the prior written consent of the Landlord and Tenant shall not sublet said
premises or any part thereof without a like consent. Subject to the foregoing
this lease shall be binding upon and for the benefit of Landlord and Tenant and
their respective heirs, executors, administrators, successors and assigns.

     Tenant will not cause or give cause for the institution of legal
proceedings seeking to have Tenant adjudicated bankrupt, reorganized or
rearranged under the bankruptcy laws of the United States, and will not cause
for the appointment of a trustee or receiver for Tenant's assets, and will not
make an assignment of the benefit of creditors, or become or be adjudicated
insolvent, and the allowance of any petition under the bankruptcy law, or the
appointment of a trustee or receiver of Tenant's assets shall be conclusive
evidence that Tenant caused or gave cause therefore.

     The failure of the Landlord to insist upon strict performance of any of the
covenants and agreements of this lease, or to exercise any option herein
conferred in any one or more instances, shall not be construed to be a waiver or
relinquishment of any such, or any other covenants or agreements, but the same
shall be and remain in full force and effect.

     Landlord shall be responsible for the roof, foundations and exterior walls
of the building, but shall not be called upon to make any improvements of any
kind in the interior of the leased premises and said premises shall at all times
be kept and used in accordance with the laws of the State of Washington and
Mason County in accordance with the directions, rules and regulations of the
health department, fire marshall, building inspector
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whichever shall first occur and all rentals shall be paid up to the date and
Tenant shall have no claim against Landlord for the value of any unexpired term
of this lease.

     If any rents above reserved, or any part thereof, shall be and remain
unpaid when the same shall become due, or if Tenant shall violate or default in
any of the covenants and agreements herein contained, the Landlord may cancel
this lease upon giving the notice required by law, and re-enter said premises,
but notwithstanding such re-entry by the Landlord, the liability, of the Tenant
for the rent provided for herein shall not be extinguished for the balance of
the term of this lease, and Tenant covenants and agrees to make good to the
Landlord any deficiency arising from a re-entry and re-lettering of the premises
at a lesser rental than herein agreed to. The Tenant shall pay such deficiency
each month as the amount thereof is ascertained by the Landlord.

     Tenant will allow Landlord, or Landlord's agent, free access at all
reasonable times to premises for the purpose of inspection or of making repairs,
additions, or alterations to premises, or any property owned by or under the
control of Landlord, but this right shall not be construed as an agreement on
the part of Landlord to make repairs. All such repairs to be made by Tenant, as
aforesaid. Landlord shall have the right to place and maintain "For Rent: signs
in a conspicuous place on the premises for thirty (30) days prior to the
expiration of this lease.

     Tenant will, upon demand by Landlord, execute such instruments as may be
required at any time, and from time to time, to subordinate the rights and
interest of the Tenant under this lease to the lien of any mortgage at any time
placed on the land of which the leased premises are a part; provided, however,
that such subordination shall not affect Tenant's right to possession, use and
occupancy of the leased premises so long as Tenant shall not be in default under
any of the terms or conditions of this lease.

     Tenant shall not subordinate its rights or interest under the lease to the
lien of any mortgage or other encumbrance unless, in each instance, there shall
have been obtained prior written consent of any senior mortgages; and without
such consent any such attempt at subordination shall be void.

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any of such events Tenant shall pay Landlord a reasonable attorney's fee and all
costs and expenses expended or incurred by Landlord in connection with such
default or action.

     In the event of any entry in, or taking possession of, the leased premises
as aforesaid, the Landlord shall have the right, but not the obligation, to
remove from the leased premises all personal property located therein, and may
store the same in any place selected by Landlord, including but not limited to a
public warehouse, at the expense and risk of the owners thereof, with the right
to sell such stored property, with notice to Tenant, after it has been stored
for a period of thirty (30) days or more, the proceeds of such sale to be
applied first to the cost of such sale, second to the payment of charges for
storage, if any, and third to the payment of any other sums of money which may
then be due from the Tenant to Landlord under any of the terms hereof, the
balance, if any, to be paid to Tenant.

     If Tenant fails to do any act or thing required to be done by Tenant under
this lease, except to pay rent. Landlord may, at Landlord's sole option, do
such act or thing on behalf of Tenant and upon notification of Landlord's
expenditure in connection therewith Tenant shall promptly repay Landlord the
amount thereof plus interest at the rate of five percent (5%) per annum from the
date of Landlord's expenditure to the date of Tenant's repayment.

     Any notice required to be served in accordance with the terms of this
lease, shall be sent by mail the notice from the Tenant to be sent to the
Landlord and the notice from the Landlord to be sent to the Tenant at the leased
premises.

     If any part of the leased premises shall be acquired or condemned by
eminent domain for any public or quasi-public use or purpose, and in the event
that such partial taking or condemnation shall render the leased premises
unsuitable for the business of the Tenant, then the term of this lease shall
cease and terminate in such proceeding, whichever shall first occur, and Tenant
shall have no claim against Landlord for the value of the unexpired term of
this lease. In the event of a partial taking or condemnation which is not
extensive enough to render the premises unsuitable for the business of the
Tenant, then Landlord shall promptly. restore the leased premises to a condition
comparable to its

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recover from the condensing authority, but not from the Landlord, such
compensation as may be separately awarded or recoverable by Tenant in Tenant's
own right on account of any and all damage to Tenant's business by reason of the
condemnation and for or on account of any cost or loss to which Tenant might be
put in removing Tenant's merchandise, furniture, fixtures, leasehold
improvements and equipment.

                         ADDITIONAL PROVISIONS OR RIDERS

Good Faith and/or Damage Deposit - $1,000.00

IN WITNESS WHEREOF, the parties have executed this lease in triplicate, on the
day and year first above written.

                                        LINCOLN CENTER

                                        By: /s/ Earl D. Lincoln
                                            ------------------------------------
                                            Earl D. Lincoln, Landlord

                                        By:
                                            ------------------------------------
                                            Gloria Jean Lincoln, Landlord

                                        /s/ Brett Green
                                        ----------------------------------------
                                        Tenant

State of Washington )
                    )SS
County of Mason     )

     On this day personally appeared before me, Earl D. Lincoln and Gloria Jean
Lincoln, husband and wife, known to be the individuals described in and who
executed the within and foregoing lease and acknowledged that they signed the
same as their free and voluntary act and deed for the uses and purposes therein
mentioned.

GIVEN under my hand and official seal this __ day of _____________, 2___.

                                        ----------------------------------------
                                        NOTARY PUBLIC in and for the State of
                                        Washington, residing at:

                                        ----------------------------------------

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                                                               December 22, 2005

Attachment to Lease

To: Earl Lincoln
    Lincoln Real Estate

With Option to renew- Two one-year options<PAGE>

                                                                    EXHIBIT 10.8

                           COMMERCIAL LIASE AGREEMENT

This Commercial Lease Agreement is made and effective August 18, 2006, by and
between Re/Max First, Inc., hereinafter referred to as "Lessor," and Westsound
Bank and Mortgage, hereinafter referred to as "Lessee."

Lessor desires to lease furnished office space located at 2500 West Sims Way,
Port Townsend, Washington to Lessee, and Lessee desires to lease the furnished
office space from Lessor for the term, at the rental, and upon the covenants,
conditions and provisions set forth.

THEREFORE, in consideration of the mutual promises herein contained and other
good and valuable consideration, it is agreed:

1.   Term

     This commercial lease agreement shall commence on August 18, 2006 and
     continue on a month-to-month basis until terminated by either party as set
     forth in this agreement.

2.   Rent

     Lessee shall pay to the Lessor the sum of $500.00 as rent each month until
     this agreement is terminated according to its terms. The monthly rent shall
     be paid on or before the first day of each month. Payments received after
     the fifth day of any month shall include a $25.00 late fee.

3.   Alterations

     No alterations may be made to the leased premises unless agreed to in
     writing by the Lessor.

4.   Utilities, Taxes, Insurance and Other Expenses

     Except for payment of the monthly rental amount set forth in Paragraph 2
     above, Lessee shall not be responsible for any other expenses related to
     the rented premises, including but not limited to utilities, taxes,
     insurance or other operating expenses.

                                       -1-

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5.   Termination

     Either party may terminate this lease agreement by giving the other party
     twenty days written notice of his intent to terminate the lease.

DATED:                                  DATED: 8/22/2004
       ------------------------------

/s/ Charles Arthur                      /s/ David Johnson
-------------------------------------   ----------------------------------------
REMAX FIRST, INC. by                    WESTSOUND BANK & MORTGAGE
Charlie Arthur                          DAVID JOHNSON

                                       -2-

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