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HomeMy WebLinkAboutOcean View Estates - 2017-11-06 (2)Dept. ID ED 17-19 Page 1 of 2 Meeting Date: 11/6/2017 CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 11/6/2017 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Kellee Fritzal, Deputy Director, Office of Business Development SUBJECT: Approve the Ocean View Estates Market Rate Rental Agreement and Ocean View Estates Driftwood Rental Agreement extending the park's use through September 2024 (7051 Ellis Avenue) Statement of Issue: Ocean View Estates is a 44 space, city -owned mobile home park that was developed as part of a Relocation Plan for the Waterfront development. Current rental agreements expire in March 2019 with the exception of two (2) Life Estates Agreements which do not expire. City Council is asked to approve a new Ocean View Estates Market Rate Rental Agreement and an Ocean View Estates Driftwood Rental Agreement extending the park's use through September 2024, pursuant to the Conditional Use Permit. Financial Impact: Fiscal Year 2017/18 General Fund Adopted Budget revenues are approximately $520,000. Recommended Action: A) Approve an Ocean View Estates Market Rate Rental Agreement extending the closure date until September 30, 2024; and, B) Approve an Ocean View Estates Driftwood Rental Agreement extending the closure until September 30, 2024, and approve a three-year phase -in to achieve market rates starting on October 1, 2019 and ending October 1, 2021. Alternative Action(s): Do not approve the rental agreements and direct staff as necessary. Analysis: Ocean View Estates (OVE) Mobile Home Park is located at 7051 Ellis Avenue and is a City -owned mobile home park comprised of 44 mobile home spaces that are rented with various lease or rental agreements. The mobile home park was established in the late 1980's for relocations due to the Waterfront Project to accommodate residents from three mobile home parks: (1) Huntington Shores (Life Estates); (2) Pacific Trailer Park; and (3) Driftwood Beach Club (Driftwood). As tenants sold their mobile homes the new tenants executed a Market Rate Agreement, which was approved by City Council on February 6, 2006. With the exception of two (2) Life Estates residents, Ocean View Estates rental agreements are scheduled to terminate on March 31, 2019. Item 14. - 1 HB -1 16- Dept. ID ED 17-19 Page 2 of 2 Meeting Date: 11/6/2017 On February 6, 2006, the City Council authorized Life Estates tenants to convert to a market rate agreement which would allow the tenants to sell their mobile home if they choose to. Two (2) original Life Estates tenants remain in the park. The Life Estates agreements do not have an expiration date and, therefore, the residents have the option to stay at the park indefinitely. The following is a summary of the current tenancy and the agreements: • Market Rate Agreements: There are 35 market rate tenants who currently pay a monthly rent of $1,126.43. On October 1 of each year, the market rate agreements annually increase a minimum of 3% and a maximum of 7% each year depending on the May Consumer Price Index (CPI). All Market Rate agreements are set to expire on March 31, 2019. Driftwood Estates Agreements: There are seven (7) Driftwood tenants who are under a relocation agreement through March 31, 2019. Their rent is $375.49 per month with an annual increase of 3%. Due to the lower rental amount, a three-year phase -in is recommended to provide parity for the rents with an increase to $580.13 on October 1, 2019; then to $870.20 the following year on October 1, 2020; and to $1,267.80 on October 1, 2021 to match the market rate rent. • Life Estate Agreements: There are two (2) life estates agreements whose rent is $1,274.98 monthly. The Life Estates tenants have the option of converting to lesser rent of a market rate agreement. These agreements have an annual increase of 7%, but they do not have an expiration date. It is recommended that these residents be offered a lesser rent amount in exchange for a 2024 expiration date. However, they can remain on their current lease. Community Development Department, City Attorney's Office, and Office of Business Development staff members reviewed the final issued Conditional Use Permit (CUP) 88-53/Negative Declaration 88-41 dated December 13, 1988, to expand the existing 20 space mobile home park by adding 24 mobile home spaces. The CUP stated that the park had an interim use for 25 years. However, Council Action dated September 19, 1988, states in the lease terms (Section 3) that the commencement and duration date shall be twenty-five (25) years based on the last mobile home space to be constructed at Ocean View Estates. The last space installed under the relocation agreement was March 1999, hence the 2024 closure date. At an Economic Development Committee (EDC) meeting in January 2015, the Committee reviewed this proposal and recommended supporting the extension of the agreements and Mobile Home Park. Therefore, the City Council is asked to extend the mobile home park use of Ocean View Estates until September 30, 2024, to provide the City with the greatest flexibility and approve new Market Rate and Driftwood Agreements that streamline the charging of market rate rents. Environmental Status: Not Applicable. Strategic Plan Goal: Non -Applicable — Administrative Item Attachment(s): 1. Ocean View Estates Market Rate Rental Agreement 2. Ocean View Estates Driftwood Rental Agreement HB -1 17- Item 14. 2 ATTACHMENT #1-, RENTAL AGREEMENT FOR SPACE BETWEEN CITY OF HUNTINGTON BEACH AND FOR OCEAN VIEW ESTATES MOBILEHOME PARK (MARKET RATE) THIS RENTAL AGREEMENT ("Agreement") is made and executed by and between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California, hereinafter referred to as "Management", and hereinafter referred to as "Homeowner." The parties agree as follows: 1. GENERAL 1.1 In accordance with California Civil Code §798.17, THIS AGREEMENT IS EXEMPT FROM ANY ORDINANCE, RULE, REGULATION, OR INITIATIVE MEASURE ADOPTED BY ANY LOCAL GOVERNMENT ENTITY WHICH ESTABLISHES A MAXIMUM AMOUNT THAT MAY BE CHARGED FOR RENT. 1.2 The Mobilehome Residency Law of the State of California, a copy of which is attached hereto as Exhibit A, is incorporated into this Agreement by this reference as though fully set forth herein. 1.3 Homeowner has the right to (1) have at least thirty days to inspect the Agreement; and (2) to void the Agreement by notifying Management in writing within 72 hours of the acceptance of the Agreement. 1.4 The Rules and Regulations of the Park ("Park Rules"), a copy of which is attached hereto as Exhibit B is incorporated into this Agreement by this reference as though fully set forth herein. 1.5 A Description of the Physical Improvements to be provided Homeowner during his or her tenancy, the Services which will be provided at the time the rental agreement is executed and will continue to be offered for the term of the tenancy, and the Fees, if any, to be charged for those services, a copy of which is attached hereto as Exhibits C and D is incorporated into this Agreement by this reference as though fully set forth herein. 1.6 As required under Civil Code Section 798.75.5, the completed and current Mobilehome Park Disclosure Form, a copy of which is attached hereto as Exhibit E, is incorporated into this Agreement by this reference as though fully set forth herein. 1.7 The term "Common Areas" is defined as all areas and facilities outside the Premises that are provided and designated by Management from time to time for the general non- exclusive use of Management, Homeowner, other homeowners in the Park and their INITIAL EACH PAGE sFFn 7-5881165556:Market Rate OVE Space Rental I of 23 Item 14. - 3 HB -11 8_ respective invitees, including the clubhouse, parking areas, loading and unloading areas, trash areas, roadways, sidewalks, walkways, parkways, driveways and landscaped areas. 1.7.1 During the term of this Agreement, Homeowner shall have the non-exclusive right to use, in common with others entitled to such use, the Common Areas as they exist from time to time, subject to any rights, powers, and privileges reserved by Management under the terms hereof. 1.7.2 Management shall have the exclusive control, management and maintenance of the Common Areas and shall have the right, from time to time, to establish, modify, amend and enforce reasonable rules and regulations with respect thereto. Homeowner agrees to abide by and conform to all such rules and regulations. 1.7.3 Management shall have the right, from time to time to: (a) Make changes to the Common Areas; (b) Close temporarily any of the Common Areas for maintenance purposes as long as reasonable access to the Premises remains available; and (c) Use the Common Areas while engaged in making additional improvements, repairs or alterations to the Premises or any portion. thereof. 1.7.4 It is the responsibility of Management to provide and maintain physical improvements in the Common Areas in good working order and condition and with respect to a sudden or unforeseeable breakdown or deterioration of these improvements, Management shall have a reasonable period of time to repair the sudden or unforeseeable breakdown or deterioration and bring the improvements into good working order and condition after Management knows or should have known of the breakdown or deterioration. A reasonable period of time to repair a sudden or unforeseeable breakdown or deterioration shall be as soon as possible in situations affecting a health or safety condition, and shall not exceed 30 days in any other case except where exigent circumstances justify a delay. 2. PREMISES 2.1 Management is the owner and operator of that certain forty-four space, ten acre mobilehome park called Oceanview Estates Mobilehome Park, which is located at 7051 Ellis Avenue, Huntington Beach, California ("Park"). Homeowner, the owner or legal. possessor of a mobilehome, wishes to lease a space within the Park for the placement of his, her, or their mobilehome. Management hereby rents to Homeowner, and Homeowner accepts from Management those certain Premises commonly known as Space No. ("Space" or Premises"), which is situated within the Park. By signing this Agreement, Homeowner acknowledges having inspected the Premises, Common Areas, as well as all of the Park's services and facilities. Homeowner has found them to be safe and sanitary and as represented by Management; and to the extent INITIAL. EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 2 Of 23 11 a -1 19- Item 14. - 4 that they are not precisely as represented visually, Homeowner accepts them as they are at the time this Agreement is signed. 2.2 Once the mobilehome has been secured on the Space, prior to thereafter modifying, adding or removing any existing improvements to the Space, Homeowner shall submit a dimensioned plot plan with the proposed work plan to Management for written approval prior to performing any work. 2.3 Homeowner is responsible for obtaining any and all legally required permits, licenses and/or entitlements required to legally perform any work. The Homeowner must pay all fees, costs and/or expenses. 3. TERM 3.1 The tenancy created under this Agreement shall be for a period of twelve months, provided that the initial period shall commence on , 2017, ("Commencement Date"), which shall be a date on or after October 1, 2017 and end on September 30, 2018, unless sooner terminated as provided in this Agreement. 3.2 Homeowner acknowledges that pursuant to California Civil Code §798.17 and §798.18, Management has offered him, her, or them the option of 1) a rental agreement having a term of twelve (12) months; 2) a lesser period as the homeowner may request; or, 3) a rental agreement having a term which is longer term as mutually agreed upon by both the Homeowner and Management. 3.3 Homeowner acknowledges that he, she, or they have the right to accept any of the foregoing four (4) options as provided in California Civil Code §798.17, but that notwithstanding the foregoing, Homeowner has voluntarily elected the term of tenancy set forth in Paragraph 3.1 hereof. 4. RENT 4.1 Upon the Commencement Date, Homeowner shall pay rent to Management in the amount of One Thousand, One Hundred Twenty Six Dolllars and Forty Three Cents ($1,126.43) per month on the first day of each month, in advance, without deduction or offset of any nature whatsoever. If the Commencement Date is other than the first day of a calendar month, Homeowner shall pay on the first day of the Term, the prorated. Rent for the remainder of the calendar month in which the Term commences. Thereafter, Homeowner shall pay a full month's Rent on the first day of each calendar month. All monies payable hereunder shall be paid by check or money order to: City of Huntington Beach Attn: Ocean View Estates P.O.Box 711 Huntington Beach, CA 92648-0711 INITIAL EACH PAGE SFF/I7-5881165556:b4arket Rate OVE Space Rental 3 of 23 Item 14. - 5 1113.120_ 4.2 Commencing on October 1 following the Commencement Date and continuing on each October 1 of each successive year during the term of this Agreement, or any extension or renewal thereof, the monthly rent which was in effect for the immediately preceding month (`Base Monthly Rent") shall be adjusted by a cost -of -living increase. The Base Monthly Rent payable hereunder shall be increased by no less than three percent (3%) or no more than seven percent (7%) per year, adjusted between this range only by that percentage which occurred in the Consumer Price Index (All Items, Base 1982-84= 100) as published by the United States Department of Labor, Bureau of Labor Statistics, for all consumers for the Los Angeles, Riverside, and Orange County Metropolitan Statistical Area, or whichever such indicator is commonly in use at the time for the most recent published twelve month period dated as of June I", which allows Management to provide a ninety (90) day written notice to Homeowner prior to October 1 St. 4.3 if the rent is not paid by the sixth day of any calendar month, Homeowner shall pay to Management a late charge of five percent (5%) of the Base Monthly Rent for each such untimely payment. If the sixth lands on a weekend date, the rent is considered late if not paid by the first working date of the week following. Homeowner hereby acknowledges that late payment to Management of rent and other sums due hereunder will cause Management to incur costs not contemplated by this Agreement, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting charges. The parties hereby agree that such late charge represents a fair and reasonable estimate of the costs Management will incur by reason of any late payment by Homeowner. Furthermore, the acceptance of such late charge by Management shall in no event constitute a waiver of any breach of any rule, regulation or covenant of this Agreement; nor shall it reinstate, continue or extend the parties' Agreement or affect any notice, demand or suit; nor prevent Management from exercising any of the other rights and remedies granted hereunder, or by law. 4.4 A handling charge of Twenty-five Dollars ($25.00) shall be due and payable by Homeowner for any check returned by the bank due to insufficient fiends in the Homeowner's account or for any other reason, and said sum shall be due and payable within five (5) days from the date such check is returned. Upon a second returned check by the bank due to any reason during the remaining term of the Agreement, a handling charge of Thirty-five Dollars ($35.00) shall be due and payable by Homeowner, and the rent shall be automatically considered as late, if returned by the bank after the sixth of the month or if Homeowner does not make the rent payment in cash or cashier's check to Management by the sixth of the month, and all conditions as set forth in Paragraph 4.3 shall apply. Furthermore, Homeowner agrees, upon a second returned check, to automatically submit payment for all future rental payments in the form of cash, money order, or cashier's check. 4.5 As additional rent ("Guest Fee"), Homeowner shall pay a fifty dollars ($50.00) per month fee for each guest who has stayed more than a total of twenty (20) consecutive days or an aggregate of thirty (30) days during any calendar year (grace period). INITIAL EACH PAGE SFF/I7-5881165556:Market Rate OVE Space Rental 4 of 23 HB -121- Item 14. - 6 4.5.1 The Guest Fee shall commence the day after a guest has exceeded the grace period and shall be payable in advance on the first day of each month thereafter. Rent for any period that is for less than one month shall be a pro rata portion of the additional rent. 4.5.2 The Guest Fee shall not apply, however, if the guest is a member of Homeowner's immediate family as defined in the Mobilehome Residency Law. 4.5.3 Guest fees may be increased upon ninety (90) days prior written notice to Homeowner. 5. STORAGE LIEN Homeowner hereby agrees that the mobilehome will not be removed until all rent and other charges have been paid and that for unpaid rental and charges, Management has a lien on the mobilehome placed on Space No. . The lien rights granted Management include, but are not limited to, those granted by Section 1174 of the California Code of Civil Procedure and Sections 1980-1991 of the California Civil Code. 6. UTILITIES AND OTHER CHARGES Homeowner shall contract with and pay for gas, electricity, water and such other utilities as may be provided. Management shall not be liable for any loss or injury, and Homeowner shall not be entitled to any abatement or reduction of rent by reason of Management's failure to furnish any of the foregoing utilities when such failure is caused by accident, breakage, repairs, strikes, acts of third parties, labor disputes or by any other cause, similar or dissimilar beyond the reasonable control of Management. Homeowner shall not connect, except through existing electrical or natural gas outlets or water pipes on the Premises any apparatus or device for the purpose of using electric current, natural gas, water or other utility. 7. TAXES Homeowner shall pay, prior to delinquency, directly to the assessing body or entity all municipal, county, state, federal and local property taxes on Homeowner's mobilehome and other real or personal property owned by Homeowner as well as all taxes levied upon the Premises, Homeowner or the Park in connection with the use and occupancy of the Premises by Homeowner. This also includes taxes of any nature whatsoever levied on accessory equipment and structures (including, but not limited to, awnings, skirting, storage sheds, steps and porches) and any other improvements made or installed by Homeowner, former homeowners or by persons other than Management. 8. SECURITY DEPOSIT 8.1 Homeowner shall deposit with Management upon the execution of this Agreement the sum of $ as security for Homeowner's faithful performance of his, her or their obligations hereunder. If Homeowner fails to pay rent or other charges which INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 5 of 23 Item 1.4. - 7 HB -1 22- are due hereunder, or otherwise defaults with respect to any provision of this Agreement, Management may use, apply or retain all or any portion of said deposit for the payment of any rent or other charge or default, or for the payment of any other sum to which Management may become obligated by reason of Homeowner's default, or to compensate Management for any loss or damage which Management may suffer thereby. If Management so uses or applies all or any portion of said deposit, Homeowner shall within ten (10) days after written demand therefor deposit cash with Management in an amount sufficient to restore said deposit to the full amount hereinabove stated and Homeowner's failure to do so shall be a material breach of this Agreement. Management's obligations with respect to the security deposit are those of debtor and not a trustee. Management may maintain the security deposit separate and apart from its general funds and can comingle the security deposit with its general and other funds. Management shall not be required to pay Homeowner interest on the security deposit. 8.2 Provided Homeowner has promptly paid to Management within five (5) days of the date the amount due for all rent, utilities and reasonable service charges for any twelve (12) consecutive month period subsequent to the initial collection of the security deposit by Management, or upon resale of the mobilehome, whichever occurs earlier, Management shall, upon the receipt of a written request from the Homeowner, refund to Homeowner the amount of the security deposit within thirty (30) days following the end of the twelve (12) consecutive month period of the prompt payment or the date of the resale of the mobilehome. 9. CHANGES IN PARK RULES AND REGULATIONS, STANDARDS OF MAINTENANCE, SERVICE, EQUIPMENT OR PHYSICAL IMPROVEMENTS This Agreement and the Park Rules, other residency documents, standards of maintenance of physical improvements located therein, together with services (including utilities), equipment and physical improvements may be changed from time to time as provided by the Mobilehome Residency Law and other applicable laws. In such event, the rights granted to the Park due to any amendments, deletions or modifications of the Mobilehome Residency Law and other applicable statutes may be enforced by Management. Management may publish new standards for awnings, steps, porches, landscaping and other amenities at any time that it determines would be in the best interest of the Park and its Homeowner. These standards shall be effective and enforceable to the fullest extent consistent with the Mobilehome Residency Law and other applicable statutes. 10. USE AND OCCUPANCY 10.1 The Mobilehome and Premises shall be used solely and exclusively for private residential purposes. With an approved Home Occupancy Permit and a Huntington Beach Business License, residents may conduct a business limited to the restrictions of the Home Occupancy Permit (Huntington Beach Municipal Code Section 230.12) that are incorporated into this agreement by reference. INITIAL EACH PAGE SFF/17-5881165556:MarketRate OVE Space Rental 6 of 23 HB -123- Item 14. - 8 10.2 No persons other than Homeowner, and Homeowner's guests, subject to the provisions of Paragraph 11 of this Agreement, may reside at the Premises without prior written consent of Management. 10.3 Any act or omission which creates or substantially causes or contributes to damage, conduct or conditions offensive to the senses, or other nuisance, waste, or unreasonable annoyance to the other residents in the Park is prohibited. Homeowner shall do nothing that will cause damage to the Space or Park. Homeowner will not permit any act or maintain or permit to be maintained any condition on the Premises or in or about the mobilehome, which may cause an increase in the rate of insurance or increase the costs of maintenance and repair or in any way increase the risk of damage to the Premises, Park or any person. 10.4 Ocean View Estates Mobilehome Park is an ALL AGE MOBILEHOME PARK. 10.5 At all times during the term hereof, or any renewal or holdover period, at least one of the persons listed on the last page of this Agreement as Homeowner must be the "legal" or "registered" owner of the mobilehome which occupies the Premises. 10.6 Homeowner is entitled to the peaceful enjoyment of the Space and all park facilities. Any equipment, persons or other such activity that may cause annoyance to other tenants must be kept in compliance with the local municipal noise ordinance. Evidence of unreasonably loud noise may be shown through statements of at least two other residents of the Park. Loud parties, intoxication, fighting, immoral conduct or children without the supervision of an adult, are prohibited. 11. GUESTS 11.1 Homeowner agrees to acquaint all guests and invitees with the conditions of his, her or their tenancy in the Park, including but not limited to the Park Rules. Homeowner is and shall be held personally responsible for all actions and conduct of his, her or their guests and is liable for any damage or injury to persons or property that is caused or contributed to by Homeowner's guests. 11.2 Management reserves the right to determine whether the Park's recreational and related facilities can accommodate all the Homeowner, Residents and their guests, and by reason thereof, it may refuse any guest access to the facilities, if necessary. 11.3 Guests who stay a total of twenty (20) consecutive days or a total of thirty (30) days in a calendar year must register with Management and, in addition, Homeowner will be charged a Guest Fee in the amount set forth in paragraph 4.5 above. However, no such charge will be imposed if the guest is a member of Homeowner's immediate family as defined in the Mobilehome Residency Law. Further, each guest must complete an application for tenancy, be approved by Management and sign all other residency documents before being permitted to become a Resident of the Park or reside with the Resident for a period greater than the grace period referred to hereinabove. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 7 of 23 Item 14. - 9 H B -124- 12. MAINTENANCE 12.1 Homeowner shall maintain the Premises, and mobilehome in a clean, attractive and well - kept fashion. Homeowner may have storage cabinets to store furniture, trashcans, etc. subject to the limitations set forth in the Mobilehome Residency Law. If a Homeowner has an item that cannot be adequately stored in the storage cabinet, it must be removed from the Park. Additionally, Homeowner is expressly prohibited from storing anything, other than wheels, tires, and hitches, under the mobilehome. 12.2 Homeowner is required to landscape the Premises, and once landscaped, to maintain the landscaping in a clean, attractive and well -kept fashion. The installation of any trees or any concrete, masonry, ground cover (including rock, wood -chips, bark, etc.), awnings, or wood structure shall be approved in writing by Management. Homeowner shall check with Management before digging or driving rods or stakes in the ground, as damage may occur to underground wiring, utility wire or plumbing. Homeowner shall bear the cost of repairs to any utilities damaged by Homeowner. All landscaping improvements shall at once become a part of the realty and belong to Management and shall remain upon and be surrendered with the Premises. 12.3 Management expressly prohibits the use of any furniture on the patio, porch, or yard of the Premises unless it is outdoor patio furniture approved by Management. No overstuffed furniture, ironing boards, brooms, mops, or other household equipment are allowed to be stored outside the mobilehome or outside a storage shed. 12.4 In the event Homeowner fails to repair or maintain the Premises, including by not limited to the Mobilehome, accessory structures, surrounding area, equipment and landscaping. Management shall have the right to enter the Premises and perform such repair or maintenance as may be required and to charge Homeowner for doing so. Management shall not engage in such action, however, until such time as it gives written notice to Homeowner stating the specific condition to be corrected and that Management will perform the maintenance if the Homeowner does not do so within fourteen (14) days. The notice shall also contain an estimate of the charges to be imposed in the event of non- compliance by the Homeowner. Homeowner shall pay the cost to Management for performing the repair or maintenance within thirty (30) days from the date of Management's written invoice. 12.5 Homeowner is financially responsible to Management for correcting any drainage problems, or for any releveling or adjustment required on the mobilehome, or for the repair or replacement of any other improvements which result from drainage problems, soil expansion or contraction, tree roots, and/or any other reason. Homeowner shall not leave hoses or sprinklers running so that water runs in the street or onto a neighbor's property. Homeowner shall be responsible for correcting any drainage problems that existed on Homeowner's Space at the time Homeowner purchased the mobilehome or which Homeowner caused. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 8 of 23 HB -125- Item 14. - 10 12.6 No flammable, combustible, or explosive fluid, material, chemical or substance, except those used for normal household purposes, may be stored on the Premises. Nothing which creates a hazard on increases the Management's insurance rates shall be permitted on the Premises. No environmentally hazardous or prohibited substance or material may be placed in the trash or sewer system or dumped or otherwise disposed of in the Park. 13. PETS Homeowner may keep one pet subject to the Park Rules. Homeowner may be required to execute a Pet Agreement that will be incorporated herein by reference. Management reserves the right to require pets to be removed by the Homeowner if the Homeowner does not comply with the referenced Park Rules, City Municipal Code, and County Ordinances. Guests are prohibited from bringing pets into the Park. Each pet must be licensed and inoculated in accordance with applicable laws. Upon Management's request, Homeowner shall submit evidence of such licensure and inoculation to Management within seven (7) days of the request. 14. ENTRY UPON SPACE Management shall have the right of entry upon the Premises to maintain the utilities, the Premises itself, the surrounding area or for the protection of the Park at any reasonable time, but not in a manner or at a time which would interfere with the Homeowner's quiet enjoyment. Management may enter a mobilehome without prior written consent of the Homeowner in the case of an emergency or when the Homeowner has abandoned the mobilehome. 15. ACCESSORY EQUIPMENT AND STRUCTURES The Homeowner shall submit to Management in writing a request and receive from Management an approval before construction or installation of any mobilehome accessory. Accessory includes but is not limited to storage facilities, awnings, covers, cabanas, etc. It is the Homeowner's responsibility to obtain a building permit for any such structure from the appropriate governmental agency. The Management reserves the right to reject any and all such requests for additional structures outside the mobilehome and, further, to require Homeowner to remove any such structure from the Premises within fourteen (14) days from Management's written notice. 16. VEHICLES 16.1 No inoperable, unlicensed, unusable or unsightly vehicles will be allowed anywhere with the boundaries of the Park, including in the storage areas. Any vehicles not meeting this standard shall be removed from the Park at Homeowner expense. The foregoing includes, but is not limited to, "Junkers" or other vehicles whose exterior appearance has deteriorated to a point where they are unsightly and detract from the appearance of the Park or vehicles which contain unsightly loads that are visible to other persons. Any car dripping oil or gasoline must be kept out of the Park until repaired to prevent damage to the pavement. A drip pan may be used if cleaned regularly. Cat litter sprinkled in carports is prohibited. Excessively noisy vehicles are not permitted in the Park. All vehicles must have legal INITIAL EACH PAGE SFF/I7-588I I65556:Market Rate OVE space Rental 9 of 23 Item 14. - 11 HB -126- muffling devices. Management has the right to refuse admittance to the Park of any vehicle that does not comply with Section 16. 16.2 No maintenance, repair or other work of any kind on any vehicle, boat or trailer (other than the mobilehome in which the Homeowner resides) may be done on the Space without Management's consent.. 16.3 No vehicle may be driven in an unsafe manner. All traffic control signs shall be obeyed. Pedestrians and bicycles shall be granted the right of way. Vehicles operated in the Park must be properly licensed. Any person not properly licensed may not operate a vehicle within the park. 16.4 Bicycles may only be driven on the roadways and not on sidewalks, common area greenbelts and other common areas planted with grass and other landscaping, vacant spaces or any other paved area. Bicycles must obey the same traffic regulations as cars. 16.5 Motorcycles, motorscooters and other 2- and 3-wheeled motorized vehicles may only be ridden in and out of the Park on the designated roads by the most direct route between the Park's entrance and Homeowner's mobilehome. 17. PARKING Vehicles must be parked within Homeowner's space or within the common areas designated for parking; no parking in the street is allowed. No commercial vehicle or equipment shall be parked overnight in the common parking areas without Park Management approval. Resident parking is not permitted on landscaped or other areas of the Space Or on empty spaces. Sleeping in vehicles is not permitted. No vehicle may be "stored" on the Homeowner's space. "Storage" includes, without limitation, the parking of an inoperable vehicle for a period exceeding two weeks or the parking of a vehicle for the purpose of selling it as part of a commercial activity. Except to load and unload, motor homes, buses, trucks, bubble top vans, campers, and other similar vehicles may not be parked on Homeowner's space unless they can fit under Homeowner's carport awning and they are used for transportation on a daily basis. No recreational vehicles or other such similar vehicles as listed above, without limitation, may be parked or otherwise stored in any common area contained within the Park. Vehicles parked in violation of this paragraph are subject to being towed at the vehicle owner's expense. 18. GARBAGE AND TRASH DISPOSAL All garbage must be wrapped and, with other refuse, must be place in the proper containers provided therefore. Sanitary and health laws must be obeyed at all times. Private arrangements must be made by the Homeowner for proper disposal of large, bulky items directly with the disposal company. Any costs associated with this service, if any, are to be paid by Homeowner. SFFl17-5881165556:Market Rate OVE Space Rental 10 of 23 HB -127- INITIAL EACH PAGE Item 1.4. - 12 19. SALE OF MOBILEHOME 19.1 Homeowner may sell the Mobilehome on the Premises at any time in accordance with the Mobilehome Residency Law and other applicable laws. Any additional rights granted Homeowner or Management due to amendments, deletions or modifications of the Mobilehome Residency Law and other applicable laws may be enforced by Management or by Homeowner. Notwithstanding the foregoing, however, Homeowner must give Management advance written notice of its intent to sell any Mobilehome. Management may, in order to upgrade the quality of the Park, require the removal of mobilehomes from the Spaces upon their sale or transfer to a third party. If the prospective buyer of the Mobilehome intends for the Mobilehome to remain the Park, said buyer must do the following before occupying the Mobilehome: (1) complete an application for tenancy, (2) be accepted by Management; (3) execute a lease agreement and any other agreement for the occupancy of the Premises that Management may reasonable require; (4) execute and deliver to Management a copy of the Park's then effective Park Rules as well as other residency documents; and (5) establish to Management's reasonable satisfaction that it has the financial ability to pay the rent and other charges of the Park and can comply with the rules and regulations. Within fifteen (15) business days of receiving all the information requested by Management, it shall notify Homeowner and buyer of either acceptance or rejection of the application and the reason(s) if rejected. If the Purchaser fails to execute the Park's Lease Agreement, said Purchaser shall have NO RIGHTS OF TENANCY. The lease agreement, Park Rules and other residency documents signed by the new Homeowner may be different in their terms and provisions from this Agreement as well as the Park Rules and other residency documents now in effect. Homeowner specifically acknowledges that the buyer shall be charged a beginning monthly amount for rent that may be greater than the rent Homeowner is then paying. The foregoing provisions shall apply to any transfer of the Mobilehome by Homeowner, whether voluntary or involuntary. 19.2 Homeowner may place a sign in the window of the mobilehome or on the side of the mobilehome facing the street or in the part of the mobilehome facing the street stating that the mobilehome is for sale or exchange. Such sign shall be no larger than twenty-four (24) inches in width and thirty-six (36) inches in length and shall state only the name, address and telephone number of the Owner of the mobilehome or his or her agent and must be pre - approved in writing by Management before it is placed on display. All other signs are expressly prohibited. 20. MOBILEHOME REGISTRATION AND LICENSE All mobilehomes must be licensed as required by law. Homeowners must annually provide to Park Management a copy of the mobilehome's Certificate of Registration. 21. NON -RESPONSIBILITY OF PARK Management is not responsible to inspect and approve any work done by Homeowner or its assigns, including, but not limited to, the installation of the mobilehome, driveway, walkways, fences or any other equipment or improvements of any type. To the extent that Management may INITIAL EACH PAGE S1717/17-5881165556:Market Rate OVE Space Rental 11 of 23 Item 14. - 13 HB _ 128_ inspect or approve various issues, it is solely for Management's own purpose and Homeowner is not entitled to rely on that inspection or approval to ensure that the item has installed or constructed correctly or that the work has otherwise been done as required. Instead, Homeowner is responsible for all required inspections and approvals and Homeowner agrees to indemnify and hold Management harmless from any work that is completed within the Premises. 22. NO WARRANTIES Management is not agreeing to provide a Park that provides other than housing opportunities. Management is not warranting or representing that Homeowner's mobilehome will appreciate in value. 23. STATUTE OF LIMITATIONS Homeowner agrees that any claim against Management, or any claim Management may have against Homeowner must be filed within one year from the first date of the occurrence, event, accident or condition or the date same should have been known. If any claim is not filed within one (1) year from such date, it shall be forever barred and extinguished. Homeowner is encouraged to consult an attorney about the meaning and effect of this provision. Please initial here to confirm the foregoing notice: Homeowner's Initials: 24. PARK CLOSURE; LIMITATION OF RIGHTS Homeowner is put on formal notice that Ocean View Estates Mobilehome Park ("Parr' or "OVE") will close no later than September 30, 2024 ("Closure Date"). Homeowner hereby acknowledges that he or she has not relied upon any belief or representation that the value of mobilehomes in the Park will increase or decline prior to the termination of his/her tenancy. Homeowner hereby represents and acknowledges that he or she has no expectation as to the "in place value" or "in park value" of his or her mobilehome which is to be located on the Premises. It is mutually agreed that this Agreement shall act as and shall be considered as the eighteen (18) month Notice of Change of Use of Ocean View Estates Mobilehome Park which is to take place no later than September 30, 2024 and that, on said date, upon proper notice by Management to Homeowner, the Park will convert to use as a public park. It is mutually agreed that this Agreement shall be considered to be and shall act as the six (6) month Notice of Change of Use and any other notices of change of use that might otherwise be required by then -applicable federal, state, or local law. Homeowner, on his or her own behalf, and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives the right to receive fiu-ther notice that his or her tenancy at OVE shall not extend beyond the Closure Date. Homeowner, on his or her own behalf, and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all rights to receive any relocation benefit when OVE closes except as may be expressly provided herein. Homeowner, on his or her own behalf, and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all rights to object to the closure of OVE and agrees to vacate the Premises upon receipt of a sixty (60) day Notice of Termination of Tenancy INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 12 Of 23 HB -129- Item 14. - 14 prior to the Closure Date. Homeowner agrees to give notice to subsequent purchasers of his or her mobilehome on the Premises of this status and the requirements placed upon such buyer pursuant to this Agreement. 25. EASEMENTS Management reserves to itself the right, from time to time, to grant such easements, rights and dedications that Management deems necessary or desirable, and to cause the recordation of parcel maps and restrictions, so long as such easements, rights, dedications, maps and restrictions do not unreasonably interfere with the use of the Premises by Homeowner. Homeowner shall sign any of the aforementioned documents upon request of Management and failure to do so shall constitute a material default of this Agreement by Homeowner without the need for further notice to Homeowner. 26. INDEMNIFICATION DEFENSE HOLD HARMLESS Homeowner hereby agrees to protect, defend, indemnify and hold harmless Management, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all, claims, damages, losses, expenses, judgments, demands defense costs, and consequential damage or liability of any kind or nature, however caused, including those resulting from death or injury to Homeowner's agents, employees, licensees or invitees and damage to Homeowner's property, arising directly or indirectly out of any activities or omission of Homeowner or her agents, employees, licensees or invitees, caused in whole or in part by any negligent act or omission of Homeowner or her agents, employees, licensees or invitees, or anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or '"rillful misconduct of Management. Homeowner will conduct all defense at her sole cost and expense and Management shall approve selection of Homeowner's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Homeowner. 27. INSURANCE Management does not carry public liability or property damage insurance to compensate or cover Homeowner, Residents or Guests or any other person from any loss, damage or injury of any nature whatsoever except those resulting from actions where Management would be legally liable for such loss, damage or injury. Homeowner is responsible for obtaining, at Homeowner's own cost and expense, extended coverage for homeowners, fire, liability, property and other casualty insurance on the Mobilehome, the items located in the storage area, other improvements and contents wherever located to the full insurable value as well as such other insurance as may be necessary to protect Homeowner, Residents, Guests or others from any other type of loss or liability. Homeowner shall provide to Management a copy of all insurance certifications as proof of such coverage. Homeowner shall be required to provide insurance to the limits as specified by the Risk Management Department of Management; such limits will be provided to Homeowner prior to entry into the Park. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 13 of 23 Item 14. - 15 HB -130- 28. ASSIGNMENT AND SUBLEASING For purposes of this Agreement assignment and subletting includes, but is not limited to, any of the following: subletting, assigning, leasing, renting or otherwise allowing any person other than Homeowner to occupy the Premises for a fee or other consideration, regardless of the time period. Any such assignment or subleasing is prohibited, except as allowed pursuant to the Mobilehome Residency Law, attached hereto as Exhibit "A." 29. COMPLAINTS All Homeowner complaints, except emergencies, must be presented to Management in writing during normal business hours. 30. TERMINATION OF TENANCY BY MANAGEMENT 30.1 The occurrence of any one or more of the following events shall constitute a material default and breach of this Agreement by Homeowner: (a) The vacating or abandonment of the Premises by Homeowner; (b) The failure by Homeowner to make any payment of rent or any other payment required to be made by Homeowner hereunder as and when due, where such failure shall continue for a period of three (3) days after written notice thereof from Management to Homeowner. In the event that Management serves Homeowner with a Notice to Pay Rent or Quit pursuant to applicable unlawful detainer statutes or the Mobilehome Residency Law, such Notice to Pay Rent or Quit shall also constitute the notice required by this subparagraph. (c) The failure by Homeowner to observe or perform any of the covenants, conditions or provisions of this Agreement to be observed or performed by Homeowner, other than described in Paragraph (b) above, where such failure shall continue for the respective period of time described more particularly hereinabove following delivery of written notice of said failure to Homeowner. (d) The making by Homeowner of any general arrangement or assignment for the benefit of creditors or seeking protection under and pursuant to the United States Bankruptcy Act. (e) The discovery by Management that any financial statement given to it by Homeowner, any assignee of Homeowner, any sub homeowner of Homeowner, any successor in interest of Homeowner or any guarantor of Homeowner's obligation hereunder, or any of them, was materially false. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE space Rental 14 of 23 HB -131- Item 14. - 16 (f) Failure of the Homeowner to comply with a local ordinance or state law or regulation relating to mobilehomes within a reasonable time after Homeowner receives a notice of noncompliance from the appropriate governmental agency. (g) Conduct by the Homeowner upon the Park premises, which constitutes a substantial annoyance to other Homeowners. (h) Failure of the Homeowner to comply with a reasonable rule or regulation of the Park following the giving of appropriate notice. 30.2 In the event of any such material default or breach by Homeowner, Management may at any time thereafter, with or without notice or demand and without limiting Management in the exercise of any right or remedy which it may have by reason of such default or breach: (a) Terminate Homeowner's right to the possession of the Premises by any lawful means, in which case this Agreement shall terminate and Homeowner shall immediately surrender possession of the Premises to Management. In such event, Management shall be entitled to recover from Homeowner all damages incurred by Management by reason of Homeowner's default including, but not limited to the cost of recovering possession of the Premises; expenses of reletting, including necessary renovation and alteration of the Premises; reasonable attorney's fees; and any real estate commission actually paid. (b) Maintain Homeowner's right to possession in which case this Agreement shall continue in effect whether or not Homeowner shall have abandoned the Premises. In such event, Management shall be entitled to enforce all of its rights and remedies under this Agreement, including the right to recover the rent as it becomes due hereunder. (c) Pursue any other remedy now or hereafter available to Management under the laws or judicial decisions of the State of California, including but not limited to Section 1951.2 of the Civil Code. Unpaid installments of rent and other monetary obligations of Homeowner under the terms of this Agreement shall bear interest from the date at the maximum rate then allowable by Iaw. 30.3 In the event Homeowner remains in possession of the Premises after its tenancy has been terminated, it shall pay to Management an amount equal to the rental charges Homeowner was paying at the time of termination, or the fair market rental value of the Premises as determined by Management, whichever is greater. Acceptance of any money by Management pursuant to this provision shall not be construed as a reinstatement of Homeowner's tenancy or a waiver of any right that Management may have to collect additional damages from Homeowner pursuant to Civil Code, Section 1951.2, which sets forth the remedies which are available to a Iandlord when the Homeowner breaches a lease. Additionally, Management reserves the right to pursue any other remedy now or hereafter available to it under the laws or judicial decisions of the State of California. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 15 of 23 Item 14. - 17 HB _132_ 31. TERMINATION BY HOMEOWNER Homeowner occupying the Premises may elect to terminate this Agreement on sixty (60) days written notice to such effect to Management if any of the following events occur: (a) All persons occupying the Premises rented to Homeowner pursuant to this Agreement terminate their tenancy as to said Premises and remove their mobilehome from the Park. In such instance. the Premises shall revert to Management's control and it may lease or rent the Premises to any other parry on any terms it may choose. (b) All persons occupying the Premises rented to the Homeowner under this Agreement terminate their tenancy as to said premises and sell their mobilehome to another party who has been approved by Management for tenancy in the Park in accordance with the terms set forth in the paragraph entitled "SALE OF MOBILEHOME". In such event, this Agreement may, at Management's option, be assigned or transferred to the other party in accordance with the terms of this Agreement. 32. TERMINATION UPON DEATH The agreement shall terminate upon the death of the last Homeowner identified as a party to and signatory of this agreement. In the event the heir, joint tenant, or personal representative of the estate desires to establish a tenancy in the park, that individual shall comply with those provisions of Article 7, Mobilehome Residency Law, which identify the requirements for a prospective purchaser of a mobilehome that remains in the park. 33. HOLD -OVER TENANCY If Homeowner remains in possession of the Premises after the expiration of the term of this Agreement, and has not executed a new occupancy agreement with respect thereto that Management has received and approved prior to the aforementioned expiration, said possession by Homeowner shall be deemed a month -to -month tenancy and Management may terminate or refuse to renew Homeowner's tenancy in accordance with the paragraph in this Agreement entitled "TERMINATION OF TENANCY BY MANAGEMENT". Notwithstanding any contrary provision in paragraph 30 hereof, Management may, upon ninety (90) days notice, increase the monthly rent and other fees of the park, without limitation, charged to the Homeowner who is holding over. 34. HEADINGS The titles of the paragraphs or subparagraphs contained herein are inserted solely for convenience and under no circumstances are they or any of them to be treated or construed as part of this Agreement. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 16 of 23 HB -133- Item 14. - 18 35. TIME OF ESSENCE Time is of the essence with respect to the performance of every provision of this Agreement. 36. COMPLIANCE WITH LAW Homeowner shall at Homeowner's own cost and expense comply with all statutes, ordinances, regulations, and requirements of all governmental entities, both federal and state and county or municipal, relating to Homeowner's use and occupancy of said Premises whether such statutes, ordinances, regulations, and requirements be now in force or hereinafter enacted. The judgment of any court of competent jurisdiction, or the admission by Homeowner in a proceeding brought against Homeowner by any government entity, that Homeowner has violated any such statute, ordinance, regulation or requirement shall be conclusive as between Management and Homeowner and shall be ground for termination of this agreement by Management. 37. INVALIDITY OF PROVISIONS 37.1 If any term or provision of this Agreement or any document referred to in. this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement or the other document or the application of such term or provision to persons or circumstances other than those to which it is held invalid or unenforceable shall not be affected thereby and each term and provision of this Agreement or other document the application of such term or provision shall be valid and be enforced to the fullest extent permitted by law. 37.2 Certain terms and provisions of this Agreement and other documents referred to therein relate to, restate, or summarize provisions of the Mobilehome Residency Law and other applicable statutes. In every instance, it is intended that these references, restatements, and summaries will accurately reflect the law and correctly set forth Homeowner's and Management's rights, liabilities, duties and obligations to one another and to other persons. The same is true of all of the other provisions of this Agreement and the other documents utilized by Management. If any provisions of this Agreement or the other documents used by Management fail in any way to meet the above criteria, then it is unintentional and all such provisions shall be deemed to be automatically revised to correctly reflect Homeowner's and Management's rights, liabilities, duties, responsibilities, and obligations under the provisions of the Mobilehome Residency Law and other applicable statutes, Homeowner agrees to promptly notify Management, in writing of any instance where Homeowner believes that any of the provisions of this Agreement or other documents utilized by Management fail to meet the above criteria. 38. WAIVER OF DEFAULT 38.1 No delay or omission in the exercise of any right or remedy by Management regarding any default by Homeowner hereunder shall impair any such right or remedy or be construed as a waiver. No waiver by Management of its right to enforce any provision hereof after any default on the part of Homeowner shall be effective unless made in writing and signed by INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 17 of 23 Item 1.4. - 19 I-lB -134- Management nor shall it be deemed a waiver of Management's right to enforce each and all of the provisions hereof upon any further or other default on the part of Homeowner. The acceptance of rent hereunder shall not be a waiver of any preceding breach by Homeowner of any provision hereof, regardless of Management's knowledge of such preceding breach at the time of acceptance of such rent. 38.2 Acceptance of rent after service of a notice to terminate tenancy as specified in Civil Code section 798.57 shall not waive, stop, affect or prejudice the notice, the suit, action or legal proceeding in any way; such acceptance being inadmissible on liability issues. Nor shall routine service of other notices, management communications, or other actions or omissions of the Management waive, prejudice, or affect the right to terminate tenancy, process a purchaser application and approve a tenant for tenancy, or otherwise affect the rights of Management. Possession of rent by Management shall not be acceptance until actually approved by the park owner; accordingly, the receipt by or the tender of payment to the resident park manager shall be conditional and for custody purposes only until approved and accepted by the park'owner. 39. ABANDONMENT During the term of this Agreement or any period of holding over, Homeowner shall not abandon the Premises or the mobilehome located thereon. In the event Homeowner does abandon either the Premises or his or her mobilehome, such action shall be deemed to be Homeowner's election to terminate this Agreement and Management shall have the rights afforded to it under California law to dispose of Homeowner's mobilehome and personal property located in, on and about the Premises and within the Park. 40. ATTORNEY'S FEES In the event suit is brought by either party to declare, interpret or enforce the terms and provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees. 41. RESERVED. INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 18 of 23 HB -135- Item 14. - 20 42. ENTIRE AGREEMENT This Agreement and the Exhibits referred to herein constitute the entire Agreement between Homeowner and Management pertaining to the subject matter contained herein, and supersedes all prior and contemporaneous agreements, representations, and understandings of the parties whether oral or written. IN WITNESS WHEREOF, Management and Homeowner have executed this Agreement by and through their authorized officers on 20 HOMEOWNER: in Attachments Exhibit A Exhibit B Exhibits C and D Exhibit E CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California APPROVED AS TO FORM: City Attorney Mobilehome Residency Law of the State of California-2017 Rules and Regulations of the Park, as of December 8, 2005 A Description of Physical Improvements to Home Site, and Services and Fees Mobilehome Park Rental Agreement Disclosure Form INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 19 of 23 Item 14. - 21 HB -136- EXHIBIT A MOBILEHOME RESIDENCY LAW OF THE STATE OF CALIFORNIA Go to http://www.hed. ca. gov/manufactured-mobile-home/mobile-home- ombudsman/docs/Mobilehome-Residency-Law-2017.pdf INITIAL EACH PAGE SFF/17-5881165556:Market Rate OVE Space Rental 20 Of 23 HB -137- Item 14. - 22 EXHIBIT B RULES AND REGULATIONS OF THE PARK INITIAL EACH PAGE SFFL17-5881165556:Market Rate OVE Space Rental 21 of 23 Item 14. - 23 HB -138- Exhibit B L Vew Estates ome Park MOBILE HOME PARK RULES Avenue AHD REGULA` IONS on Beach, CA 92648. 1. Residents shall maintain their lots and mobile homes. Lots are to be kept neat and orderly, maintaining the landscaping to include mowing of grass, trimming of trees/bushes, and the elimination of weeds within the lot. No furniture is permitted on the patio or porch or in the yard except outdoor patio furniture. No overstuffed fumiture, ironing boards, brooms, mops, major appliances, etc., is allowed outside mobile home unless in an approved storage cabinet. No storage Is permitted under a mobile home. if the lot is not properly cared for, the Park may have work performed and make appropriate charges. The mobile home exterior (including awnings and sheds) must be well maintained including painting and proper repair when needed. 2. No loud talking,. radio, television, or other noise between 10:00 PM and 8:00 AM or disturbing noises at any time or any place. 3. Speed limit is 10 MPH on the premises. 4. Resident's automobiles shall be parked in their driveways. Parking of more than two vehicles on a regular basis requires special arrangements with the management. Streets (designated fire lanes) and must be kept clear, Other designated parking areas within the park are for guest parking or temporary residential parking. Regarding the additional parking area, located on the main entry road, ovemight parking is prohibited, 6. Recreational vehicles (RV's and Campers) shall not be stored within the park. Recreational vehicles are allowed for the purposes of loading and unloading only. inoperable vehicles are prohibited throughout the park. 6. Minors (under 18 years of age) are not permitted in the Clubhouse area unless accompanied by an adult. Adult supervision is necessary for children under the age of 12 years for activities in other common areas. 7. The dry€ng of laundry visible from the streets and common areas is prohibited. 8, No "FOR SALE' signs or advertising shall be posted for commercial purposes anywhere within the park. A'For Sale' sign may be posted for the following purposes: 1) selling their personal vehicle located within their driveway, and 2) selling the mobile home in place with notification to Park Management. 9. Each homeowner is limited to one pet with p6or approval from -management by completing a "Pet Agreement". Ali pet awnem are responsible for their animal's behavior. Dogs must be kept on a leash in all common areas. Residents shall not feed stray animals within the park nor leave food outdoors that will encourage animals to come into the park, 10, All mobile home cabanas, porches, skirting, ramadas, awnings, storage cabinets, fences, windbreaks, or other structures must be approved by the management before construction or Installation. 11, If at any time it is necessary to call the Police or any other enforcement agency, advise management of such action as soon as possible. HB -139- Item 1.4. - 24 12. Management reserves the right to restrict the use of the common areas or any park facility as to hours, purposes and conduct. Scheduling of events offered for park residents, or any group thereof, must be first approved by management (See also the Clubhouse Rules and reservation policies for private events.) 13. Residents entertaining visitors or guests at the park shall be responsible for their conduct while on the park premises, and shall be responsible for any charges incurred by the visitors or guests. 14. All visitors or guests who remain more than seven consecutive days must be registered with the park management. 15. A vehicle washing and maintenance may only be conducted within the homeowner's driveway. Residents must avoid grease dripping onto any surface areas. Major vehicle maintenance is prohibited (examples are rebuilding an engine). Excessive running water needs to be limited to avoid possible damage to neighbor's landscaping or properly. 15, Residents shall deposit all garbage and trash in the receptacles provided. Residents must be make special pick-up arrangements with Rainbow Disposal for large Items that will not fit into the receptacles. At no time shall furniture and other bulky items be placed within, adjacent to, or outside of the trash enclosures. 17. Management may require the removal of any mobile home that is unoccupied for more than 120 consecutive days without good reason and written approval of the management. 18, Park Management reserves the right to amend, revise and add to the park rules and regulations from time to time in accordance with the Mobile home Residency Law. The park rules and regulations are incorporated into the lease or rental agreement by reference. Approved by City Council, December 8, 2005 �1 Item 14. - 25 HB -140- EXHIBITS C AND D A DESCRIPTION OF THE PHYSICAL IMPROVEMENTS TO HOME SITE Services nd Fees INITIAL EACH PAGE SFF717-5881165556:Market Rate OVE Space Rental ZZ Of 23 KB -141- Item 14. - 26 Ocean View Estates Mobile Home Park Mk�V7051 Ellis Avenue _ Huntington i3each, CA 92G4� Exhibit C Improvements Each mobile home site will be provided with a driveway, utility hookups, and fencing separating the premises from other mobile home sites and/or the common areas. Exhibit D Services & Fees There are no additional services provided to the Ocean View Estates residents that cause a fee for services. If a resident desires to have a copy of the Clubhouse key, then the resident will sign a key agreement saying that if the key is lost a replacement cost of $25 will be charged. Item 14. - 27 HB -142- 11: MOBILEHOME PARK RENTAL AGREEMENT DISCLOSURE FORM INITIAL EACH PAGE SFFI17-5881165556:Market Rate OVE Space Rental 23 of 23 HB -143- Item 14. - 28 Mobilehome Park Rental Agreement Disclosure Form THIS DISCLOSURE STATEMENT CONCERNS THE MOBILEHOME PARK KNOWN AS OCEAN VIEW ESTATES (OVE) LOCATED AT 7051 ELLIS AVENUE, HUNTINGTON BEACH, CALIFORNIA, 92647 IN THE CITY OF HUNTINGTON BEACH COUNTY OF ORANGE STATE OF CALIFORNIA. THIS STATEMENT IS A DISCLOSURE OF THE CONDITION OF THE PARK AND PARK COMMON AREAS AS OF (date) April 1, 2007 IN COMPLIANCE WITH SECTION 798.75.5 OF THE CIVIL CODE. IT IS NOT A WARRANTY OF ANY KIND BY THE MOBILEHOME PARK OWNER OR PARK MANAGEMENT AND IS NOT A SUBSTITUTE FOR ANY INSPECTION BY THE PROSPECTIVE HOMEOWNER/ LESSEE OF THE SPACE TO BE RENTED OR LEASED OR OF THE PARK, INCLUDING ALL COMMON AREAS REFERENCED IN THIS STATEMENT. THIS STATEMENT DOES NOT CREATE ANY NEW DUTY OR NEW LIABILITY ON THE PART OF THE MOBILEHOME. PARK OWNER OR MOBILEHOME PARK MANAGEMENT OR AFFECT ANY DUTIES THAT MAY HAVE EXISTED PRIOR TO THE ENACTMENT OF SECTION 798.75.5 OF THE CIVIL CODE, OTHER THAN THE DUTY TO DISCLOSE THE INFORMATION REQUIRED BY THE STATEMENT. Are you (the mobilehome park owner/mobilehome park manager) aware of any of the following: A. Park or B. Does the park C. Is the D. Does the E. Are there any F. Is there any G. Are there any H. Is there any common area contain this facility in facility have uncorrected park substantial, pending lawsuits encroachment, facilities facility? operation? any known citations or notices uncorrected by or against the easement, non - substantial of abatement damage to the park affecting the conforming use, or defects? relating to the facility from fire, facilities or violation of setback facilities issued by a flood, alleging defects requirements public agency? earthquake, or in the facilities? regarding this park landslides? common area facility? Yes No Yes No Yes No Yes No Yes No Yes No Yes No Clubhouse X X X X X X X Walkways X X X X X X X Streets, roads and X X X X X X X access Electric utility X X X X X X X system Water utility X X X X X X X system Gas utility X X X X X X X System Common area X X X X X X X lighting system Septic or sewer X X X X X X F- X system I Playground X X X X X RV storage X X X X X Parking areas X X X X X X X Swimming pool. X X X X I X Spa pool X X X X X Laundry X X X X X Other common X X X X X X X area facilities* *If there are other important park or common area facilities, please specify (attach additional sheets if necessary): If any item in C is checked "no", or any item in D, E, F, G, or H is checked "yes", please explain (attach additional sheets if necessary): In addition to the above, the Prospective Buyer is informed that OVE will close no later than March 31, 2019 ("Closure Date"). The Prospective Buyer acknowledges that that he or she has not relied upon any belief or representation that the value of the mobilehome in the Park will increase or decline prior to the termination of his/her tenancy. Homeowner represents and acknowledges that he/she has no expectation as to the "in place value" or in park value" of his/her mobilehome which is to be located on the premises. It is agreed that this shall act as and shall be considered the eighteen (18) month Notice of Change of Use of OVE which is to take place no later than March 31, 2019 and that, on said date, Park will convert to use as a public park. The Prospective Buyer agrees that he/she is not entitled to any relocation benefits upon such park closure. The mobilehome park owner/ -park manager states that the information herein has been delivered to the prospective homeowner/ lessee a minimum of three days prior to execution of a rental agreement and is true and correct to the best of the park owner/park manager's knowledge as of the date signed by the park owner/manager. Park Owner/Manager: By: print name signature I/WE ACKNOWLEDGE RECEIPT OF A COMPLETED COPY OF THE PARK OWNER/MANAGER STATEMENT. Prospective Homeowner(s): Lessee Lessee Park Owner/Manager- Item 14. - 29 Date: Date: Date: _ (Added by SB 534 (Dunn), Ch..517 (1999), eff. 1/1/2000) HB -144- ATTACHMENT #2 RENTAL AGREEMENT FOR SPACE BETWEEN CITY OF HUNTINGTON BEACH AND FOR OCEAN VIEW ESTATES MOBILEHOME PARK THIS RENTAL AGREEMENT ("Agreement") is made and executed by and between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California, hereinafter referred to as "Management", and hereinafter referred to as "Homeowner." The parties agree as follows: RECITALS: A. On or about September 26, 1988, the former Redevelopment Agency of the City of Huntington Beach ("Agency"), RLM Properties, Ltd., Association ("RLM" ), and approximately two hundred thirty-nine (239) current and former tenants and owners of mobilehome coaches at the Driftwood Beach Club Mobilehome Park (the "Original Driftwood Mobilehome Owners") 'entered into that certain Mobilehome Acquisition and Relocation Agreement (the "Original Agreement") which provided, inter alia, for the sale by the Original Driftwood Mobilehome Owners to Agency of their mobilehomes and related facilities at Driftwood (the "Mobilehomes"), the closure of the Driftwood Beach Club Mobilehome Park and related facilities ("Driftwood"), and the relocation of the Original Driftwood Mobilehome Owners (and their households and/or subtenants) therefrom. B. Mayer Financial, Ltd. ("Mayer") subsequently became the successor -in -interest to the rights and obligations of RLM. C. The Original Agreement was partially implemented and executed in several ways, including that the Agency developed the Ocean View Estates Mobilehome Park (the "Park") to provide temporary mobilehome housing and relocated a number of the Original Driftwood Mobilehome Owners to the Park. D. On or about October 19, 1998, the Agency, the City of Huntington Beach, Mayer, Driftwood, and certain then current and former individual tenants and owners of mobilehome coaches at Driftwood entered into the Amended and Restated Mobilehome Acquisition and Relocation Agreement (the "Amended Agreement") which, among other things, permitted Homeowner and other mobilehome owners at Driftwood to relocate to the Park. E. As of November 20, 1998 [December 5, 1998], Homeowner and Management entered into a Lease Agreement for Space _ ("Space" or "Premises") at the Park (the "1998 Lease"). INITIAL EACH PAGE 1 of 26 SPP/17-5881/1656170riftwood Space Rental HB -1 a5- Item 1.4. - 30 F. Pursuant to Section 2, the term of the 1998 Lease was twenty (20) years, expiring on November 20, 2018 [December 5, 2018]. Pursuant to Section 30 of the 1998 Lease, Homeowner's tenancy ended on November 20, 2018 [December 5, 2018], and Homeowner had no further right to possess or own the .Premises. This termination date of the 1998 Lease was to enable Management to close the Park on March 31, 2019. G. Management has determined to extend the life of the Park to September 30, 2024. Homeowner has determined enter into this new Agreement in order to continue to reside at the Park through September 30, 2024. Homeowner understands that this Agreement terminates the 1998 Lease as of the Commencement Date of this Agreement. H. The 1998 Lease between Homeowner and Management provided for a Base Rent beginning at Two Hundred Eight Dollars and No Cents ($208.00) per month, subject to a cost - of -living increase in accordance with the percentage increase in the Consumer Price Index published by the United States Department of Labor, Bureau of Labor Statistics for the Los Angeles, Riverside, and Orange County Metropolitan Statistical Area (All Items), with a minimum increase of three percent (3%) per year and a maximum increase of six percent (6%) per year. By way of an August 16, 2003 Amendment to the 1998 Lease, the Operative Date for the 1998 Lease for purposes of rent increases was changed to October 1st of each year. I. Pursuant to the rent increase formula of the 1998 Lease, the rent increased by three percent (3%) on October 1, 2017 to Three Hundred Seventy Five Dollars and Forty Nine Cents ($375.49) per month. Assuming a three percent (3%) increase effective October 1, 2018, the rent will increase to Three Hundred Eighty -Six Dollars and Seventy -Five Cents ($386.75) per month, and assuming a three percent (3%) increase effective October 1, 2019, the rent will increase to Three Hundred Ninety -Eight Dollars and Thirty- Six Cents ($398.36) per month. J. It is understood and agreed between Homeowner and Management that the leases between Management and the remainder of the lessees in the Park are at a higher, "Market Rent." As of October 1, 2017, the rent for the Market Rent Leases is One Thousand One Hundred Twenty -Six Dollars and Forty -Three Cents ($1,126.43) per month. Effective October 1, 2019, Homeowner will begin to transition to the Market Rent Leases. The Market Rent Leases are subject to annual increases in accordance with the increase in the cost -of -living, subject to a minimum increase of three percent (3%) and a maximum increase of seven percent (7%) per year. Assuming three percent (3%) increases for the following four years after 2017, the rents will increase to One Thousand One Hundred Sixty Dollars and Twenty -Two Cents ($1,160.22) per month on October 1, 2018, One Thousand One Hundred Ninety -Five Dollars and Three Cents ($1,195.03) per month on October 1, 2019, One Thousand Two Hundred Thirty Dollars and Eighty -Nine Cents ($1,230.89) on October 1, 2020, and One Thousand Two Hundred Sixty -Seven Dollars and Eighty Cents ($1,267.80) on October 1, 2021. K. It is understood and agreed between Homeowner and Management that beginning October 1, 2019, the rent will increase by fifty percent (50%) per year until it is equivalent to market rents for the remainder of the Park, at which time rents will increase according to the same formula used for the Market Rent Leases. Consequently, under the rent formula at Section 4 of this Agreement, and assuming three percent annual rent increases for Market Rents through INITIAL EACH PAGE 2 of 26 1 rr'"-c"t/165617:Driftwwd Space Rental Item 14. - 31 HB _146_ 2020, Homeowner's rent will increase by fifty percent (50%) to Five Hundred Eighty Dollars and Thirteen Cents ($580.13) per month effective October 1, 2019. Effective October 1, 2020, the rent will increase by fifty percent 50% to Eight Hundred Seventy Dollars and Twenty Cents ($870.20) per month, and effective on October 1, 2021, it will increase to the Market Rent of One Thousand Two Hundred Sixty -Seven Dollars and Eighty Cents ($1,267.80) per month. 1. GENERAL 1.1 In accordance with California Civil Code §798.17, THIS AGREEMENT IS EXEMPT FROM ANY ORDINANCE, RULE, REGULATION, OR INITIATIVE MEASURE ADOPTED BY ANY LOCAL GOVERNMENT ENTITY WHICH ESTABLISHES A MAXIMUM AMOUNT THAT MAY BE CHARGED FOR RENT. 1.2 The Mobilehome Residency Law of the State of California, a copy of which is attached hereto as Exhibit A, is incorporated into this Agreement by this reference as though fully set forth herein. 1.3 Homeowner has the right to (1) have at least thirty days to inspect the Agreements and (2) to void the Agreement by notifying Management in writing within 72 hours of the acceptance of the Agreement. 1.4 The Rules and Regulations of the Park ("Park Rules"), a copy of which is attached hereto as Exhibit B is incorporated into this Agreement by this reference as though fully set forth herein. 1.5 A Description of the Physical Improvements to be provided Homeowner during his or her tenancy, the Services which will be provided at the time the rental agreement is executed and will continue to be offered for the term of the tenancy, and the Fees, if any, to be charged for those services, a copy of which is attached hereto as Exhibits C and D is incorporated into this Agreement by this reference as though fully set forth herein. 1.6 As required under Civil Code Section 798.75.5, the completed and current Mobilehome Park Disclosure Form, a copy of which is attached hereto as Exhibit E, is incorporated into this Agreement by this reference as though fully set forth herein. 1.7 The term "Common Areas" is defined as all areas and facilities outside the Premises that are provided and designated by Management from time to time for the general non- exclusive use of Management, Homeowner, other homeowners in the Park and their respective invitees, including the clubhouse, parking areas, loading and unloading areas, trash areas, roadways, sidewalks, walkways, parkways, driveways and landscaped areas. 1.7.1 During the term of this Agreement, Homeowner shall have the non-exclusive right to use, in common with others entitled to such use, the Common Areas as they exist from time to time, subject to any rights, powers, and privileges reserved by Management under the terms hereof. INITIAL EACH PAGE 3 of 26 SFF/17-5881/165617:Driftwood Space Rental HB -147- Item 14. - 32 1.7.2 Management shall have the exclusive control, management and maintenance of the Common Areas and shall have the right, from time to time, to establish, modify, amend and enforce reasonable rules and regulations with respect thereto. Homeowner agrees to abide by and conform to all such rules and regulations. 1.7.3 Management shall have the right, from time to time to: (a) Make changes to the Common Areas; (b) Close temporarily any of the Common Areas for maintenance purposes as long as reasonable access to the Premises remains available; and (c) Use the Common Areas while engaged in making additional improvements, repairs or alterations to the Premises or any portion thereof. 1.7.4 It is the responsibility of Management to provide and maintain physical improvements in the Common Areas in good working order and condition and with respect to a sudden or unforeseeable breakdown or deterioration of these improvements, Management shall have a reasonable period of time to repair the sudden or unforeseeable breakdown or deterioration and bring the improvements into good working order and condition after Management knows or should have known of the breakdown or deterioration. A reasonable period of time to repair a sudden or unforeseeable breakdown or deterioration shall be as soon as possible in situations affecting a health or safety condition, and shall not exceed 30 days in any other case except where exigent circumstances justify a delay. 2. PREMISES 2.1 Management is the owner and operator of that certain forty-four space, ten acre mobilehome park called Oceanview Estates Mobilehome Park, which is located at 7051 Ellis Avenue, Huntington Beach, California ("Park"). Homeowner, the owner or legal possessor of a mobilehome, wishes to lease a space within the Park for the placement of his, her, or their mobilehome. Management hereby rents to Homeowner, and Homeowner accepts from Management those certain Premises commonly known as Space No. ("Space" or Premises"), which is situated within the Park. By signing this Agreement, Homeowner acknowledges having inspected the Premises, Common Areas, as well as all of the Park's services and facilities. Homeowner has found them to be safe and sanitary and as represented by Management; and to the extent that they are not precisely as represented visually, Homeowner accepts them as they, are at the time this Agreement is signed. 2.2 Once the mobilehome has been secured on the Space, prior to thereafter modifying, adding or removing any existing improvements to the Space, Homeowner shall submit a dimensioned plot plan with the propo-sed work plan to Management for written approval prior to performing any work. INITIAL EACH PAGE 4 of 26 cFFn �_cQQI/165617:Driftwood Space Rental Item 14. - 33 HB - 1 48- 2.3 Homeowner is responsible for obtaining any and all legally required permits, licenses and/or entitlements required to legally perform any work. The Homeowner must pay all fees, costs and/or expenses. 3. TERM 3.1 The tenancy created under this Agreement shall be for a period of twelve months, provided that the initial period shall commence on November _, 2017, ("Commencement Date"), and end on September 30, 2018, unless sooner terminated as provided in this Agreement. 3.2 Homeowner acknowledges that pursuant to California Civil Code §798.17 and §798.18, Management has offered him, her, or them the option of 1) a rental agreement having a term of twelve (12) months; 2) a lesser period as the homeowner may request; or, 3) a rental agreement having a term which is longer term as mutually agreed upon by both the Homeowner and Management. 3.3 Homeowner acknowledges that he, she, or they have the right to accept any of the foregoing four (4) options as provided in California Civil Code §798.17, but that notwithstanding the foregoing, Homeowner has voluntarily elected the term of tenancy set forth in Paragraph 3.1 hereof. 3.4 Homeowner acknowledges that he, she or they were previously tenants pursuant to the 1998 Lease that began on November 20, 1998, and terminated after twenty (20) years on November 20, 2018. This Agreement supersedes and terminates the 1998 Lease as of the Commencement Date. initial paragraph 4. RENT 4.1 Upon the Commencement Date, Homeowner shall pay rent to Management in the amount of Three Hundred Seventy -Five Dollars and Forty -Nine Cents ($375.49) per month on the first day of each month, in advance, without deduction or offset of any nature whatsoever. If the Commencement Date is other than the first day of a calendar month, Homeowner shall pay on the first day of the Term, the prorated Rent for the remainder of the calendar month in which the Term commences. Thereafter, Homeowner shall pay a full month's Rent on the first day of each calendar month. All monies payable hereunder shall be paid by check or money order to: City of Huntington Beach Attn: Ocean View Estates P.O. Box 711 Huntington Beach, CA 92648-0711 INITIAL EACH PAGE 5 of 26 SFF/17-5881/165617:Driftwood Space Rental HB - 1 49- Item 14. - 34 4.2 Prior to the Commencement Date, Homeowner was paying rent of Three Hundred Seventy -Five Dollars and Forty -Nine Cents ($375.49) per month pursuant to the 1998 Lease. A cost -of -living increase shall be applied to this rent effective October 1, 2018 in in accordance with the percentage increase in the Consumer Price Index published by the United States Department of Labor, Bureau of Labor Statistics, for the Los Angeles, Anaheim, Riverside area (All Items) between the date that is sixteen (16) months prior to each annual adjustment date and the date that is four (4) months prior to said annual adjustment date, with a minimum increase of three percent (3%) per year and a maximum increase of six percent (6%) per year. 4.3 Effective October 1, 2019, the rent for the Premises will increase by fifty percent (50%) a year for each year until it reaches parity with the Market Rent Leases, as described at Recitals H through K above. Commencing on the first October 1 following the annual rent increases of up to fifty percent (50%) reaching parity with the Market Rent Leases, then continuing on each October 1 of each successive year during the term of this Agreement, or any extension or renewal thereof, the monthly rent which was in effect for the immediately preceding month ("Base Monthly Rent") shall be adjusted by a cost -of - living increase. The Base Monthly Rent payable hereunder shall be increased by no less than three percent (3%) or no more than seven percent (7%) per year, adjusted between this range only by that percentage which occurred in the Consumer Price Index (All Items, Base 1982-84= 100) as published by the United States Department of Labor, Bureau of Labor Statistics, for all consumers for the Los Angeles, Riverside, and Orange County Metropolitan Statistical Area, or whichever such indicator is commonly in use at the time for the most recent published twelve month period dated as of June I", which allows Management to provide a ninety (90) day written notice to Homeowner prior to October lst. 4.4 If the rent is not paid by the sixth day of any calendar month, Homeowner shall pay to Management a late charge of five percent (5%) of the Base Monthly Rent for each such untimely payment. If the sixth lands on a weekend date, the rent is considered late if not paid by the first working date of the week following. Homeowner hereby acknowledges that late payment to Management of rent and other sums due hereunder will cause Management to incur costs not contemplated by this Agreement, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting charges. The parties hereby agree that such late charge represents a fair and reasonable estimate of the costs Management will incur by reason of any late payment by Homeowner. Furthermore, the acceptance of such late charge by Management shall in no event constitute a waiver of any breach of any rule, regulation or covenant of this Agreement; nor shall it reinstate, continue or extend the parties' Agreement or affect any notice, demand or suit; nor prevent Management from exercising any of the other rights and remedies granted hereunder, or by law. 4.5 A handling charge of Twenty-five Dollars ($25.00) shall be due and payable by Homeowner for any check returned by the bank due to insufficient funds in the Homeowner's account or for any other reason, and said sum shall be due and payable within five (5) days from the date such check is returned. Upon a second returned check INITIAL EACH PAGE 6 of 26 SFFA 7-5991/165617:Driftwood Space Rental Item 14. - 35 HB-150- by the bank due to any reason during the remaining term of the Agreement, a handling charge of Thirty-five Dollars ($35.00) shall be due and payable by Homeowner, and the rent shall be automatically considered as late, if returned by the bank after the sixth of the month or if Homeowner does not make the rent payment in cash or cashier's check to Management by the sixth of the month, and all conditions as set forth in Paragraph 4.3 shall apply. Furthermore, Homeowner agrees, upon a second returned check, to automatically submit payment for all future rental payments in the form of cash, money order, or cashier's check. 4.6 As additional rent ("Guest Fee"), Homeowner shall pay a fifty dollars ($50.00) per month fee for each guest who has stayed more than a total of twenty (20) consecutive days or an aggregate of thirty (30) days during any calendar year (grace period). 4.6.1 The Guest Fee shall commence the day after a guest has exceeded the grace period and shall be payable in advance on the first day of each month thereafter. Rent for any period that is for less than one month shall be a pro rata portion of the additional rent. 4.6.2 The Guest Fee shall not apply, however, if the guest is a member of Homeowner's immediate family as defined in the Mobilehome Residency Law. 4.6.3 Guest fees may be increased upon ninety (90) days prior written notice to Homeowner. STORAGE LIEN Homeowner hereby agrees that the mobilehome will not be removed until all rent and other charges have been paid and that for unpaid rental and charges, Management has a lien on the mobilehome placed on the Premises. The lien rights granted Management include, but are not limited to, those granted by Section 1174 of the California Code of Civil Procedure and Sections 1980-1991 of the California Civil Code. 6. UTILITIES AND OTHER CHARGES Homeowner shall contract with and pay for gas, electricity, water and such other utilities as may be provided. Management shall not be liable for any loss or injury, and Homeowner shall not be entitled to any abatement or reduction of rent by reason of Management's failure to famish any of the foregoing utilities when such failure is caused by accident, breakage, repairs, strikes, acts of third parties, labor disputes or by any other cause, similar or dissimilar beyond the reasonable control of Management. Homeowner shall not connect, except through existing electrical or natural gas outlets or water pipes on the Premises any apparatus or device for the purpose of using electric current, natural gas, water or other utility. INITIAL EACH PAGE 7 of 26 SFF/17-5881(165617:Drifiwood Space Rental HB -151- Item 14. - 36 7. TAXES Homeowner shall pay, prior to delinquency, directly to the assessing body or entity all municipal, county, state, federal and local property taxes on Homeowner's mobilehome and other real or personal property owned by Homeowner as well as all taxes levied upon the Premises, Homeowner or the Park in connection with the use and occupancy of the Premises by Homeowner. This also includes taxes of any nature whatsoever levied on accessory equipment and structures (including, but not limited to, awnings, skirting, storage sheds, steps and porches) and any other improvements made or installed by Homeowner, former homeowners or by persons other than Management. 8. CHANGES IN PARK RULES AND REGULATIONS, STANDARDS OF MAINTENANCE, SERVICE, EQUIPMENT OR PHYSICAL IMPROVEMENTS This Agreement and the Park Rules, other residency documents, standards of maintenance of physical improvements located therein, together with services (including utilities), equipment and physical improvements may be changed from time to time as provided by the Mobilehome Residency Law and other applicable laws. In such event, the rights granted to the Park due to any amendments, deletions or modifications of the Mobilehome Residency Law and other applicable statutes may be enforced by Management. Management may publish new standards for awnings, steps, porches, landscaping and other amenities at any time that it determines would be in the best interest of the Park and its Homeowner. These standards shall be effective and enforceable to the fullest extent consistent with the Mobilehome Residency Law and other applicable statutes. 9. USE AND OCCUPANCY 9.1 The Mobilehome and Premises shall be used solely and exclusively for private residential purposes. With an approved Home Occupancy Permit and a Huntington Beach Business License, residents may conduct a business limited to the restrictions of the Home Occupancy Permit (Huntington Beach Municipal Code Section 230.12) that are incorporated into this agreement by reference. 9.2 No persons other than Homeowner, and Homeowner's guests, subject to the provisions of Paragraph 10 of this Agreement, may reside at the Premises without prior written consent of Management. 9.3 Any act or omission which creates or substantially causes or contributes to damage, conduct or conditions offensive to the senses, or other nuisance, waste, or unreasonable annoyance to the other residents in the Park is prohibited. Homeowner shall do nothing that will cause damage to the Space or Park. Homeowner will not permit any act or maintain or permit to be maintained any condition on the Premises or in or about the mobilehome, which may cause an increase in the rate of insurance or increase the costs of maintenance and repair or in any way increase the risk of damage to the Premises, Park or any person. INITIAL EACH PAGE 8 of 26 '..1/165617:Driftwood Space Rental Item 14. - 37 HB -152- 9.4 Ocean View Estates Mobilehome Park is an ALL AGE MOBILEHOME PARK. 9.5 At all times during the term hereof, or any renewal or holdover period, at least one of the persons listed on the last page of this Agreement as Homeowner must be the "legal" or "registered" owner of the mobilehome which occupies the Premises. 9.6 Homeowner is entitled to the peaceful enjoyment of the Space and all park facilities. Any equipment, persons or other such activity that may cause annoyance to other tenants must be kept in compliance with the local municipal noise ordinance. Evidence of unreasonably loud noise may be shown through statements of at least two other residents of the Park. Loud parties, intoxication, fighting, immoral conduct or children without the supervision of an adult, are prohibited. 10. GUESTS 10.1 Homeowner agrees to acquaint all guests and invitees with the conditions of his, her or their tenancy in the Park, including but not limited to the Park Rules. Homeowner is and shall be held personally responsible for all actions and conduct of his, her or their guests and is liable for any damage or injury to persons or property that is caused or contributed to by Homeowner's guests. 10.2 Management reserves the right to determine whether the Park's recreational and related facilities can accommodate all the Homeowner, Residents and their guests, and by reason thereof, it may refuse any guest access to the facilities, if necessary. 10.3 Guests who stay a total of twenty (20) consecutive days or a total of thirty (30) days in a calendar year must register with Management and, in addition, Homeowner will be charged a Guest Fee in the amount set forth in paragraph 4.5 above. However, no such charge will be imposed if the guest is a member of Homeowner's immediate family as defined in the Mobilehome Residency Law. Further, each guest must complete an application for tenancy, be approved by Management and sign all other residency documents before being permitted to become a Resident of the Park or reside with the Resident for a period greater than the grace period referred to hereinabove. 11. MAINTENANCE 11.1 Homeowner shall maintain the Premises, and mobilehome in a clean, attractive and well - kept fashion. Homeowner may have storage cabinets to store furniture, trashcans, etc. subject to the limitations set forth in the Mobilehome Residency Law. If a Homeowner has an item that cannot be adequately stored in the storage cabinet, it must be removed from the Park. Additionally, Homeowner is expressly prohibited from storing anything, other than wheels, tires, and hitches, under the mobilehome. 11.2 Homeowner is required to landscape the Premises, and once landscaped, to maintain the landscaping in a clean, attractive and well -kept fashion. The installation of any trees or any concrete, masonry, ground cover (including rock, wood -chips, bark, etc.), awnings, or rNTrIAL EACH PAGE 9 of 26 SFF/17-5881/165617:Driftwood Space Rental HB -153- Item 14. - 38 wood structure shall be approved in writing by Management. Homeowner shall check with Management before digging or driving rods or stakes in the ground, as damage may occur to underground wiring, utility wire or plumbing. Homeowner shall bear the cost of repairs to any utilities damaged by Homeowner. All landscaping improvements shall at once become a part of the realty and belong to Management and shall remain upon and be surrendered with the Premises. 11.3 Management expressly prohibits the use of any furniture on the patio, porch, or yard of the Premises unless it is outdoor patio furniture approved by Management. No overstuffed furniture, ironing boards, brooms, mops, or other household equipment are allowed to be stored outside the mobilehome or outside a storage shed. 11.4 In the event Homeowner fails to repair or maintain the Premises, including by not limited to the Mobilehome, accessory structures, surrounding area, equipment and landscaping. Management shall have the right to enter the Premises and perform such repair or maintenance as may be required and to charge Homeowner for doing so. Management shall not engage in such action, however, until such time as it gives written notice to Homeowner stating the specific condition to be corrected and that Management will perform the maintenance if the Homeowner does not do so within fourteen (14) days. The notice shall also contain an estimate of the charges to be imposed in the event of non- compliance by the Homeowner. Homeowner shall pay the cost to Management for performing the repair or maintenance within thirty (30) days from the date of Management's written invoice. 11.5 Homeowner is financially responsible to Management for correcting any drainage problems, or for any releveling or adjustment required on the mobilehome, or for the repair or replacement of any other improvements which result from drainage problems, soil expansion or contraction, tree roots, and/or any other reason. Homeowner shall not leave hoses or sprinklers running so that water runs in the street or onto a neighbor's property. Homeowner shall be responsible for correcting any drainage problems that existed on Homeowner's Space at the time Homeowner purchased the mobilehome or which Homeowner caused. 11.6 No flammable, combustible, or explosive fluid, material, chemical or substance, except those used for normal household purposes, may be stored on the Premises. Nothing which creates a hazard on increases the Management's insurance rates shall. be permitted on the Premises. No environmentally hazardous or prohibited substance or material may be placed in the trash or sewer system or dumped or otherwise disposed of in the Park. 12. PETS Homeowner may keep one pet subject to the Park Rules. Homeowner may be required to execute a Pet Agreement that will be incorporated herein by reference. Management reserves the right to require pets to be removed by the Homeowner if the Homeowner does not comply with the referenced Park Rules, City Municipal Code, and County Ordinances. Guests are prohibited from bringing pets into the Park. Each pet must be licensed and inoculated in accordance with INITIAL EACH PAGE 10 of 26 SFF/17-5881/165617:Driflwood space Rental Item 14. - 39 H13 -154- applicable laws. Upon Management's request, Homeowner shall submit evidence of such licensure and inoculation to Management within seven (7) days of the request. 13. ENTRY UPON SPACE Management shall have the right of entry upon the Premises to maintain the utilities, the Premises itself, the surrounding area or for the protection of the Park at any reasonable time, but not in a manner or at a time which would interfere with the Homeowner's quiet enjoyment. Management may enter a mobilehome without prior written consent of the Homeowner in the case of an emergency or when the Homeowner has abandoned the mobilehome. 14. ACCESSORY EQUIPMENT AND STRUCTURES The Homeowner shall submit to Management in writing a request and receive from Management an approval before construction or installation of any mobilehome accessory. Accessory includes but is not limited to storage facilities, awnings, covers, cabanas, etc. It is the Homeowner's responsibility to obtain a building permit for any such structure from the appropriate governmental agency. The Management reserves the right to reject any and all such requests for additional structures outside the mobilehome and, further, to require Homeowner to remove any such structure from the Premises within fourteen (14) days from Management's written notice. 15. VEHICLES 15.1 No inoperable, unlicensed, unusable or unsightly vehicles will be allowed anywhere with the boundaries of the Park, including in the storage areas. Any vehicles not meeting this standard shall be removed from the Park at Homeowner expense. The foregoing includes, but is not limited to, "junkers" or other vehicles whose exterior appearance has deteriorated to a point where they are unsightly and detract from the appearance of the Park or vehicles which contain unsightly Ioads that are visible to other persons. Any car dripping oil or gasoline must be kept out of the Park until repaired to prevent damage to the pavement. A drip pan may be used if cleaned regularly. Cat litter sprinkled in carports is prohibited. Excessively noisy vehicles are not permitted in the Park. All vehicles must have legal muffling devices. Management has the right to refuse admittance to the Park of any vehicle that does not comply with Section 15. 15.2 No maintenance, repair or other work of any kind on any vehicle, boat or trailer (other than the mobilehome in which the Homeowner resides) may be done on the Space without Management's consent. 15.3 No vehicle may be driven in an unsafe manner. All traffic control signs shall be obeyed. Pedestrians and bicycles shall be granted the right of way. Vehicles operated in the Park must be properly licensed. Any person not properly licensed may not operate a vehicle within the park. INITIAL EACH PAGE 11 of 26 SFF/17-5881/165617:Driftwood Space Rental HB -155- Item 14. - 40 15.4 Bicycles may only be driven on the roadways and not on sidewalks, common area greenbelts and other common areas planted with grass and other landscaping, vacant spaces or any other paged area. Bicycles must obey the same traffic regulations as cars. 15.5 Motorcycles, motorscooters and other 2- and 3-wheeled motorized vehicles may only be ridden in and out of the Park on the designated roads by the most direct route between the Park's entrance and Homeowner's mobilehome. 16. PARKING Vehicles must be parked within Homeowner's space or within the common areas designated for parking; no parking in the street is allowed. No commercial vehicle or equipment shall be parked overnight in the common parking areas without Park Management approval. Resident parking is not permitted on landscaped or other areas of the Space or on empty spaces. Sleeping in vehicles is not permitted. No vehicle may be "stored" on the Homeowner's space. "Storage" includes, without limitation, the parking of an inoperable vehicle for a period exceeding two weeks or the parking of a vehicle for the purpose of selling it as part of a commercial activity. Except to load and unload, motor homes, buses, trucks, bubble top vans, campers, and other similar vehicles may not be parked on Homeowner's space unless they can fit under Homeowner's carport awning and they are used for transportation on a daily basis. No recreational vehicles or other such similar vehicles as listed above, without limitation, may be parked or otherwise stored in any common area contained within the Park. Vehicles parked in violation of this paragraph are subject to being towed at the vehicle owner's expense. 17. GARBAGE AND TRASH DISPOSAL All garbage must be wrapped and, with other refuse, must be place in the proper containers provided therefore. Sanitary and health laws must be obeyed at all times. Private arrangements must be made by the Homeowner for proper disposal of large, bulky items directly with the disposal company. Any costs associated with this service, if any, are to be paid by Homeowner. 18. SALE OF MOBILEHOME 18.1 Homeowner may sell the Mobilehome on the Premises at any time in accordance with the Mobilehome Residency Law and other applicable laws. Any additional rights granted Homeowner or Management due to amendments, deletions or modifications of the Mobilehome Residency Law and other applicable laws may be enforced by Management or by Homeowner. Notwithstanding the foregoing, however, Homeowner must give Management advance written notice of its intent to sell any Mobilehome. Management may, in order to upgrade the quality of the Park, require the removal of mobilehomes from the Spaces upon their sale or transfer to a third party. If the prospective buyer of the Mobilehome intends for the Mobilehome to remain the Park, said buyer must do the following before occupying the Mobilehome: (1) complete an application for tenancy; (2) be accepted by Management; (3) execute a lease agreement and any other agreement for the occupancy of the Premises that Management may reasonable require; (4) execute and deliver to Management a copy of the Park's then effective Park Rules as well as other rNITIAL EACH PAGE 12 of 26 SFF/17-5881/165617:Driftwood Space Rental Item 14. - 41 HB - 1 56- residency documents; and (5) establish to Management's reasonable satisfaction that it has the financial ability to pay the rent and other charges of the Park and can comply with the rules and regulations. Within fifteen (15) business days of receiving all the information requested by Management, it shall notify Homeowner and buyer of either acceptance or rejection of the application and the reason(s) if rejected. If the Purchaser fails to execute the Park's Lease Agreement, said Purchaser shall have NO RIGHTS OF TENANCY. The lease agreement, Park Rules and other residency documents signed by the new Homeowner may be different in their terms and provisions from this Agreement as well as the Park Rules and other residency documents now in effect. Homeowner specifically acknowledges that the buyer shall be charged a beginning monthly amount for rent that may be greater than the rent Homeowner is then paying. The foregoing provisions shall apply to any transfer of the Mobilehome by Homeowner, whether voluntary or involuntary. 18.2 Homeowner may place a sign in the window of the mobilehome or on the side of the mobilehome facing the street or in the part of the mobilehome facing the street stating that the mobilehome is for sale or exchange. Such sign shall be no larger than twenty-four (24) inches in width and thirty-six (36) inches in length and shall state only the name, address and telephone number of the Owner of the mobilehome or his or her agent and must be pre - approved in writing by Management before it is placed on display. All other signs are expressly prohibited. 19. MOBILEHOME REGISTRATION AND LICENSE All mobilehomes must be licensed as required by law. Homeowners must annually provide to Park Management a copy of the mobilehome's Certificate of Registration. 20. NON -RESPONSIBILITY OF PARK Management is not responsible to inspect and approve any work done by Homeowner or its assigns, including, but not limited to, the installation of the mobilehome, driveway, walkways, fences or any other equipment or improvements of any type. To the extent that Management may inspect or approve various issues, it is solely for Management's own purpose and Homeowner is not entitled to rely on that inspection or approval to ensure that the item has installed or constructed correctly or that the work has otherwise been done as required. Instead, Homeowner is responsible for all required inspections and approvals and Homeowner agrees to indemnify and hold Management harmless from any work that is completed within the Premises. 21. NO WARRANTIES Management is not agreeing to provide a Park that provides other than housing opportunities. Management is not warranting or representing that Homeowner's mobilehome will appreciate in value. INITIAL EACH PAGE 13 of 26 SFF/17-5881/1656170riftood Space Rental HB - 1 5 7- Item 14. - 42 22. STATUTE OF LIMITATIONS Homeowner agrees that any claim against Management, or any claim Management may have against Homeowner must be filed within one year from the first date of the occurrence, event, accident or condition or the date same should have been known. If any claim is not filed within one (1) year from such date, it shall be forever barred and extinguished. Homeowner is encouraged to consult an attorney about the meaning and effect of this provision. Please initial here to confirm the foregoing notice: Homeowner's Initials: 23. PARK CLOSURE; LIMITATION OF RIGHTS Homeowner is put on formal notice that Ocean View Estates Mobilehome Park ("Park" or "OVE") will close no later than September 30, 2024 ("Closure Date"). Homeowner hereby acknowledges that he or she has not relied upon any belief or representation that the value of mobilehomes in the Park will increase or decline prior to the termination of his/her tenancy. Homeowner hereby represents and acknowledges that he or she has no expectation as to the "in place value" or "in park value" of his or her mobilehome which is to be located on the Premises. It is mutually agreed that this Agreement shall act as and shall be considered as the eighteen (18) month Notice of Change of Use of Ocean View Estates Mobilehome Park which is to take place no later than September 30, 2024 and that, on said date, upon proper notice by Management to Homeowner, the Park will convert to use as a public park. It is mutually agreed that this Agreement shall be considered to be and shall act as the six (6) month Notice of Change of Use and any other notices of change of use that might otherwise be required by then -applicable federal, state, or local law. Homeowner, on his or her own behalf and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives the right to receive further notice that his or her tenancy at OVE shall not extend beyond the Closure Date. Homeowner, on his or her own behalf, and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all rights to receive any relocation benefit when OVE closes except as may be expressly provided herein. Homeowner, on his or her own behalf, and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all rights to object to the closure of OVE and agrees to vacate the Premises upon receipt of a sixty (60) day Notice of Termination of Tenancy prior to the Closure Date. Homeowner agrees to give notice to subsequent purchasers of his or her mobilehome on the Premises of this status and the requirements placed upon such buyer pursuant to this Agreement. 24. EASEMENTS Management reserves to itself the right, from time to time, to grant such easements, rights and dedications that Management deems necessary or desirable, and to cause the recordation of parcel maps and restrictions, so long as such easements, rights, dedications, maps and restrictions do not unreasonably interfere with the use of the Premises by Homeowner. Homeowner shall sign any of the aforementioned documents upon request of Management and failure to do so shall constitute a INITIAL EACH PAGE 14 of 26 —1/165617:Driftwood Space Rental Item 14. - 43 HQ -1 s8- material default of this Agreement by Homeowner without the need for further notice to Homeowner. 25. INDEMNIFICATION, DEFENSE_ HOLD HARMLESS Homeowner hereby agrees to protect, defend, indemnify and hold harmless Management, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all, claims, damages, losses, expenses, judgments, demands defense costs, and consequential damage or liability of any kind or nature, however caused, including those resulting from death or injury to Homeowner's agents, employees, licensees or invitees and damage to Homeowner's property, arising directly or indirectly out of any activities or omission of Homeowner or her agents, employees, licensees or invitees, caused in whole or in part by any negligent act or omission of Homeowner or her agents, employees, licensees or invitees, or anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or willful misconduct of Management. Homeowner will conduct all defense at her sole cost and expense and Management shall approve selection of Homeowner's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Homeowner. 26. INSURANCE Management does not carry public liability or property damage insurance to compensate or cover Homeowner, Residents or Guests or any other person from any loss, damage or injury of any nature whatsoever except those resulting from actions where Management would be legally liable for such loss, damage or injury. Homeowner is responsible for obtaining, at Homeowner's own cost and expense, extended coverage for homeowners, fire, liability, property and other casualty insurance on the Mobilehome, the items located in the storage area, other improvements and contents wherever located to the full insurable value as well as such other insurance as may be necessary to protect Homeowner, Residents, Guests or others from any other type of loss or liability. Homeowner shall provide to Management a copy of all insurance certifications as proof of such coverage. Homeowner shall be required to provide insurance to the limits as specified by the Risk Management Department of Management; such limits will be provided to Homeowner prior to entry into the Park. 27. ASSIGNMENT AND SUBLEASING For purposes of this Agreement assignment and subletting includes, but is not limited to, any of the following: subletting, assigning, leasing, renting or otherwise allowing any person other than Homeowner to occupy the Premises for a fee or other consideration, regardless of the time period. Any such assignment or subleasing is prohibited, except as allowed pursuant to the Mobilehome Residency Law, attached hereto as Exhibit "A." INITI.AL EACH PAGE 15 of 26 SFF/17-5881/165617:Driftwood Space Rental HB -159- Item 14. - 44 2& COMPLAINTS All Homeowner complaints, except emergencies, must be presented to Management in writing during normal business hours. 29. TERMINATION OF TENANCY BY MANAGEMENT 29.1 The occurrence of any one or more of the following events shall constitute a material. default and breach of this Agreement by Homeowner: (a) The vacating or abandonment of the Premises by Homeowner; (b) The failure by Homeowner to make any payment of rent or any other payment required to be made by Homeowner hereunder as and when due, where such failure shall continue for a period of three (3) days after written notice thereof from Management to Homeowner. In the event that Management serves Homeowner with a Notice to Pay Rent or Quit pursuant to applicable unlawful detainer statutes or the Mobilehome Residency Law, such Notice to Pay Rent or Quit shall also constitute the notice required by this subparagraph. (c) The failure by Homeowner to observe or perform any of the covenants, conditions or provisions of this Agreement to be observed or performed by Homeowner, other than described in Paragraph (b) above, where such failure shall continue for the respective period of time described more particularly hereinabove following delivery of written notice of said failure to Homeowner. (d) The making by Homeowner of any general arrangement or assignment for the benefit of creditors or seeking protection under and pursuant to the United States Bankruptcy Act. (e) The discovery by Management that any financial statement given to it by Homeowner, any assignee of Homeowner, any sub homeowner of Homeowner, any successor in interest of Homeowner or any guarantor of Homeowner's obligation hereunder, or any of them, was materially false. (f) Failure of the Homeowner to comply with a local ordinance or state law or regulation relating to mobilehomes within a reasonable time after Homeowner receives a notice of noncompliance from the appropriate governmental agency. (g) Conduct by the Homeowner upon the Park premises, which constitutes a substantial annoyance to other Homeowners. (h) Failure of the Homeowner to comply with a reasonable rule or regulation of the Park following the giving of appropriate notice. INITIAL EACH PAGE 16 of 26 ec1:117."4°1/I65617:Driftwood Space Rental Item 14. - 45 HB - 1 60_ 29.2 In the event of any such material default or breach by Homeowner, Management may at any time thereafter, with or without notice or demand and without limiting Management in the exercise of any right or remedy which it may have by reason of such default or breach: (a) Terminate Homeowner's right to the possession of the Premises by any lawful means, in which case this Agreement shall terminate and Homeowner shall immediately surrender possession of the Premises to Management. In such event, Management shall be entitled to recover from. Homeowner all damages incurred by Management by reason of Homeowner's default including, but not limited to the cost of recovering possession of the Premises; expenses of reletting, including necessary renovation and alteration of the Premises; reasonable attorney's fees; and any real estate commission actually paid. (b) Maintain Homeowner's right to possession in which case this Agreement shall continue in effect whether or not Homeowner shall have abandoned the Premises. In such event, Management shall be entitled to enforce all of its rights and remedies under this Agreement, including the right to recover the rent as it becomes due hereunder. (c) Pursue any other remedy now or hereafter available to Management under the laws or judicial decisions of the State of California, including but not limited to Section 1951.2 of the Civil Code. Unpaid installments of rent and other monetary obligations of Homeowner under the terms of this Agreement shall bear interest from the date at the maximum rate then allowable by law. 29.3 In the event Homeowner remains in possession of the Premises after its tenancy has been terminated, it shall pay to Management an amount equal to the rental charges Homeowner was paying at the time of termination, or the fair market rental value of the Premises as determined by Management, whichever is greater. Acceptance of any money by Management pursuant to this provision shall not be construed as a reinstatement of Homeowner's tenancy or a waiver of any right that Management may have to collect additional damages from Homeowner pursuant to Civil Code, Section 1951.2, which sets forth the remedies which are available to a landlord when the Homeowner breaches a lease. Additionally, Management reserves the right to pursue any other remedy now or hereafter available to it under the laws or judicial decisions of the State of California. 30. TERMINATION BY HOMEOWNER Homeowner occupying the Premises may elect to terminate this Agreement on sixty (60) days written notice to such effect to Management if any of the following events occur: (a) All persons occupyin Agreement terminate mobilehome from the g the Premises rented to Homeowner pursuant to this their tenancy as to said Premises and remove their Park. In such instance, the Premises shall revert to INITIAL EACH PAGE SFF/17-5881/165617:Drifmood Space Rental 17 of 26 HB -161- Item 14. - 46 Management's control and it may lease or rent the Premises to any other party on any terms it may choose. (b) All persons occupying the Premises rented to the Homeowner under this Agreement terminate their tenancy as to the Premises and sell their mobilehome to another party who has been approved by Management for tenancy in the Park in accordance with the terms set forth in the paragraph entitled "SALE OF MOBILEHOME." In such event, this Agreement may, at Management's option, be assigned or transferred to the other party in accordance with the terms of this Agreement. 31. TERMINATION UPON DEATH This Agreement shall terminate upon the death of the last Homeowner identified as a party to and signatory of this Agreement. In the event the heir, joint tenant, or personal representative of the estate desires to establish a tenancy in the park, that individual shall comply with those provisions of Article 7, Mobilehome Residency Law, which identify the requirements for a prospective purchaser of a mobilehome that remains in the park. 32. HOLD -OVER TENANCY If Homeowner remains in possession of the Premises after the expiration of the term of this Agreement, and has not executed a new occupancy agreement with respect thereto that Management has received and approved prior to the aforementioned expiration, said possession by Homeowner shall be deemed a month -to -month tenancy and Management may terminate or refuse to renew Homeowner's tenancy in accordance with the paragraph in this Agreement entitled "TERMINATION OF TENANCY BY MANAGEMENT." Notwithstanding any contrary provision in paragraph 29 hereof, Management may, upon ninety (90) days notice, increase the monthly rent and other fees of the park, without limitation, charged to the Homeowner who is holding over. 33. HEADINGS The titles of the paragraphs or subparagraphs contained herein are inserted solely for convenience and under no circumstances are they or any of them to be treated or construed as part of this Agreement. 34. TIME OF ESSENCE Time is of the essence with respect to the performance of every provision of this Agreement. 35. COMPLIANCE WITH LAW Homeowner shall at Homeowner's own cost and expense comply with all statutes, ordinances, regulations, and requirements of all governmental entities, both federal and state and county or municipal, relating to Homeowner's use and occupancy of said Premises whether such statutes, INITIAL EACH PAGE 18 of 26 SFF/17-5881/165617:Driftwood Space Rental Item 14. - 47 HB -162- ordinances, regulations, and requirements be now in force or hereinafter enacted. The judgment of any court of competent jurisdiction, or the admission by Homeowner in a proceeding brought against Homeowner by any government entity, that Homeowner has violated any such statute, ordinance, regulation or requirement shall be conclusive as between Management and Homeowner and shall be ground for termination of this agreement by Management, 36. INVALIDITY OF PROVISIONS 36.1 If any term or provision of this Agreement or any document referred to in this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement or the other document or the application of such term or provision to persons or circumstances other than those to which it is held invalid or unenforceable shall not be affected thereby and each term and provision of this Agreement or other document the application of such term or provision shall be valid and be enforced to the fullest extent permitted by law. 36.2 Certain terms and provisions of this Agreement and other documents referred to therein relate to, restate, or summarize provisions of the Mobilehome Residency Law and other applicable statutes. In every instance, it is intended that these references, restatements, and summaries will accurately reflect the law and correctly set forth Homeowner's and Management's rights, liabilities, duties and obligations to one another and to other persons. The same is true of all of the other provisions of this Agreement and the other documents utilized by Management. If any provisions of this Agreement or the other documents used by Management fail in any way to meet the above criteria, then it is unintentional and all such provisions shall be deemed to be automatically revised to correctly reflect Homeowner's and Management's rights, liabilities, duties, responsibilities, and obligations under the provisions of the Mobilehome Residency Law and other applicable statutes, Homeowner agrees to promptly notify Management, in writing of any instance where Homeowner believes that any of the provisions of this Agreement or other documents utilized by Management fail to meet the above criteria. 37. WAIVER OF DEFAULT 37.1 No delay or omission in the exercise of any right or remedy by Management regarding any default by Homeowner hereunder shall impair any such right or remedy or be construed as a waiver. No waiver by Management of its right to enforce any provision hereof after any default on the part of Homeowner shall be effective unless made in writing and signed by Management nor shall it be deemed a waiver of Management's right to enforce each and all of the provisions hereof upon any further or other default on the part of Homeowner. The acceptance of rent hereunder shall not be a waiver of any preceding breach by Homeowner of any provision hereof, regardless of Management's knowledge of such preceding breach at the time of acceptance of such rent. 37.2 Acceptance of rent after service of a notice to terminate tenancy as specified in Civil Code section 798.57 shall not waive, stop, affect or prejudice the notice, the suit, action or legal proceeding in any way, such acceptance being inadmissible on liability issues. Nor shall INITIAL EACH PAGE 19 of 26 SFFl17-58811165617:Dri8wood Space Rental HB -163- Item 14. - 48 routine service of other notices, management communications, or other actions or omissions of the Management waive, prejudice, or affect the right to terminate tenancy, process a purchaser application and approve a tenant for tenancy, or otherwise affect the rights of Management. Possession of rent by Management shall not be acceptance until actually approved by the park owner; accordingly, the receipt by or the tender of payment to the resident park manager shall be conditional and for custody purposes only until approved and accepted by the park owner. 3 8. ABANDONMENT During the term of this Agreement or any period of holding over, Homeowner shall not abandon the Premises or the mobilehome located thereon. In the event Homeowner does abandon either the Premises or his or her mobilehome, such action shall. be deemed to be Homeowner's election to terminate this Agreement and Management shall have the rights afforded to it under California law to dispose of Homeowner's mobilehome and personal property located in, on and about the Premises and within the Park. 39. ATTORNEV S FEES In the event suit is brought by either party to declare, interpret or enforce the terms and provisions of this Agreement or to secure the performance hereof, each parry shall bear its own attorney's fees. 40. LIMITATION ON LESSEES' RIGHTS LESSEE acknowledges that OVE has been constructed and is being provided solely for the purpose of providing temporary mobilehome housing for certain mobilehome owners displaced by the redevelopment of the property on which Driftwood was located. Management does not transfer any rights to Homeowner to occupy the Premises beyond the term set forth in this Agreement. In this regard: i. Homeowner hereby agrees that he or she has no right to possess or own the Premises except as a tenant of a mobilehome park and said rights shall cease automatically upon the expiration or earlier termination of this Agreement; (ii) Homeowner hereby represents and acknowledges that he or she has no expectation as to the "in place value" or "in park value" of his or her mobilehome which is to be located on, the Premises; (iii) Homeowner hereby acknowledges that he or she has not relied upon any belief or representation that the value of mobilehomes in OVE will inflate or decline prior to the termination of his/her possessory rights thereto; INITIAL EACH PAGE 20 of 26 C°z"' coo 1/165617:DrifwoodSpace Rental Item 14. - 49 HB -164_ (iv) It is mutually agreed that this Agreement shall act as and shall be considered as the eighteen (18) month Notice of Change of Use of OVE which is to take place at the end of the term of this Agreement and that, on said date, upon proper notice by Management to Homeowner, OVE will convert to use as a public park; (v) It is mutually agreed that this Agreement shall be considered to be and shall act as the six (6) month Notice of Change of Use and any other notices of change of use that might otherwise be required by then -applicable federal, state, or local law; (vi) Homeowner, on his or her own behalf, and on behalf of each of his or her respective heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives the right to receive further notice that his or her tenancy at OVE shall be terminated as of the date this Agreement expires (or terminates); (vii) It is further agreed that the construction and maintenance of OVE is part of a Relocation Assistance Plan and Relocation Agreement that have been prepared and negotiated pursuant to a Conversion Impact Report on OVE and former Article 927 of the City of Huntington Beach Zoning Code (as adopted by Ordinance No. 2563); that the Conversion Impact Report, Relocation Assistance Plan, and Relocation Agreement also apply to the conversion of OVE to public use which will take place upon the expiration (or earlier termination) of this Agreement; and that Homeowner, on his or her behalf and on behalf of his or her heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all right, past, present, and future, to demand or require any additional Conversion Impact Report and/or Relocation Assistance Plan as to OVE; (viii) Homeowner, on his or her own behalf and on behalf of his or her heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all rights to receive any relocation benefit when OVE closes except as may be expressly provided herein; (ix) Homeowner, on his or her own behalf and on behalf of his or her heirs, personal representatives, executors, administrators, successors, and assigns, hereby waives, releases, and relinquishes any and all rights to object to the close of OVE after the expiration or termination date of this Agreement and agrees to- vacate the Premises upon receipt of a sixty (60) day Notice of Termination of Tenancy; and (x) Homeowner agrees to give notice to subsequent purchasers of his or her mobilehome on the Premises of this status and the requirements placed upon such buyer pursuant to this Agreement. INITIAL EACH PAGE 21 of 26 SFF/17-5881/165617:13riftwood Space Rental HB -165- Item 1.4. - 50 41. ENTIRE AGREEMENT This Agreement and the Exhibits referred to herein constitute the entire Agreement between Homeowner and Management pertaining to the subject matter contained herein, and supersedes all prior and contemporaneous agreements, representations, and understandings of the parties whether oral or written. IN WITNESS WHEREOF, Management and Homeowner have executed this Agreement by and through their authorized officers on 20 HOMEOWNER: Attachments CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California IN APPROVED AS TO FORM City Attorney Exhibit A Mobilehome Residency Law of the State of California-2017 Exhibit B Rules and Regulations of the Park, as of December 8, 2005 Exhibits C and D A Description of Physical Improvements to Home Site, and Services and Fees Exhibit E Mobilehome Park Rental Agreement Disclosure Form INITI.AL EACH PAGE nu.✓ 22 of 26 SFPII 7-5881/I656I7:Driftwood Space Rental Item 14. - 51 H B - 1 66- EXHIBIT A MOBILEHOME RESIDENCY LAW OF THE STATE OF CALIFORNIA Go to http://wivw.hed.ca. gov/manufactured-mobile-home/mobile-home- ombudsman/docs,Mobilehonze-Resi dency-Law-2017. pdf INITIAL EACH PAGE 23 of 26 SFF/17-5881/165617:Driftwood Space Rental HB -167- Item 14. - 52 EXHIBIT B RULES AND REGULATIONS OF THE PARK WITIAL EACH PAGE 24 of 26 SFF/17-5881/165617:Driftwood Space Rental Item 14. - 53 HB -168- Exhibit B Ocean View Btates Mobile Flom Park MOBILE HOME PARK RULES 7051 Ellis Avenue AND REGULATIONS Huntington Beach, CA 92548� Residents shall maintain their lots and mobile homes. Lots are to be kept neat and orderly, maintaining the landscaping to include mowing of grass, trimming of treeaushes, and the elimination of weeds within the lot. No furniture is permitted on the patio or porch or in the yard except outdoor patio furniture. No overstuffed furniture, ironing boards, brooms, mops, major appliances, etc., is allowed outside mobile home unless in an approved storage cabinet. No storage is permitted under a mobile home. if the lot is not properly cared for, the Park may have work performed and make appropriate charges. The mobile home exterior (including awnings and sheds) must be well maintained including painting and proper repair when needed. 2. No loud talking,- radio, television, or other noise between 10:00 PM and 8:00 AM or disturbing noises at any time or any place. 3. Speed limit is 10 MPH on the premises. 4. Resident's automobiles shall be parked in their driveways. Parking of more than two vehicles on a regular basis requires spedal arrangements with the management. Streets (designated fire lanes) and must be kept clear. Other designated parking areas within the park are for guest parking or temporary residential parking, Regarding the additional parking area, located on the main entry road, overnight parking is prohibited. 5. Recreational vehicles (RVs and Campers) shall not be stored within the park. Recreational vehicles are allowed for the purposes of loading and unloading only. Inoperable vehicles are prohibited throughout the park. 6, Minors (under 18 years of age) are not permitted in the Clubhouse area unless accompanied by an adult. Adult supervision is necessary for children under the age of 12 years for activities in other common areas. 7. The drying of laundry visible from the streets and common areas is prohibited, 8. No "FOR SALE" signs or advertising shall be posted for commercial purposes anywhere within the park. A'For Sale" sign may be posted for the following purposes: 1) selling their personal vehicle located within their driveway, and 2) selling the mobile home in place with notification to Park Management. 9. Each homeowner is limited to one pet with prior approval from -management by completing a "Pet Agreement". All pet owners are responsible for their animal's behavior. Dogs must be kept on a leash in all common areas. Residents shall not feed stray animals within the park nor leave food outdoors that will encourage animals to come into the park. 10, All mobile home cabanas, porches, skirting, ramadas, awnings, storage cabinets, fences, windbreaks, or other structures must be approved by the management before construction or Installation. 11. If at any time it is necessary to call the Police or any other enforcement agency, advise management of such action as soon: as possible. Hs -169- Item 14. - 54 12. Management reserves the right to restrict the use of the common areas or any park facility as to hours, purposes and conduct. Scheduling of events offered for park residents, or any group thereof, must be first approved by management. (See also the Clubhouse Rules and reservation policies for private events.) 13. Residents entertaining visitors or guests at the park shall be responsible for their conduct while on the park premises, and shall be responsible for any charges incurred by the visitors or guests. 14. All visitors or guests who remain more than seven consecutive days must be registered with the park management. 15. A vehicle washing and maintenance may only be conducted within the homeowner's driveway. Residents must avoid grease dripping onto any surface areas. Major vehicle maintenance is prohibited (examples are rebuilding an engine), Excessive running water needs to be limited to avoid possible damage to neighbor's landscaping or property. 16, Residents shall deposit all garbage and trash in the receptacles provided. Residents must be make special pick-up arrangements with Rainbow Disposal for large Items that will not fit into the receptacles. At no time shall furniture and other bulky items be placed within, adjacent to, or outside of the trash enclosures. 17. Management may require the removal of any mobile home that is unoccupied for more than 120 consecutive days without good reason and written approval of the management. 18, Pant Management reserves the right to amend, revise and add to the park rules and regulations from time to time in accordance with the Mobile home Residency Law. The park rules and regulations are incorporated into the lease or rental agreement by reference. Approved by City Councff, December 6, 2005 Item 14. - 5 5 HB -1 7o_ EXHIBITS C AND D A DESCRIPTION OF THE PHYSICAL IMPROVEMENTS TO PREMISES, AND SERVICES TO BE PROVIDED AND FEES TO BE CHARGED FOR SERVICES NITIAL EACH PAGE 25 of 26 SFF/17-5881/165617:Driftwood Space Rental HB -171- Item 14. - 56 Ocean View Estates Mobile Home Park _ 7051 Ellis Avenue Huntington Beach, CA 92648 --Exhibit ----------- __ _—�._.,,—_------------ C Improvements Each mobile home site will be provided with a driveway, utility hookups, and fencing separating the premises from other mobile home sites and/or the common areas. ---.-._ "Exhlgitd __.--- Services & Fees There are no additional services provided to the Ocean View Estates residents that cause a fee for services. If a resident desires to have a copy of the Clubhouse key, then the resident will sign a key agreement saying that if the key is lost a replacement cost of $25 will be charged. i 1 Item 14. - 57 HB -172- EXHIBIT E MOBILEHOME PARK RENTAL AGREEMENT DISCLOSURE FORM INITIAL EACH PAGE 26 of 26 SFF/17-5881/165617:Driflwood Space Rental H B_ 1 7; _ Item 14. - 58 Mobilehome Park Rental Agreement Disclosure Form THIS DISCLOSURE STATEMENT CONCERNS THE MOBILEHOME PARK KNOWN AS OCEAN VIEW ESTATES (OVE) LOCATED AT 7051 ELLIS AVENUE, HUNTINGTON BEACH, CALIFORNIA, 92647 IN THE CITY OF HUNTINGTON BEACH COUNTY OF ORANGE STATE OF CALIFORNIA. THIS STATEMENT IS A DISCLOSURE OF THE CONDITION OF THE PARK AND PARK COMMON AREAS AS OF (date) April 1.2007 IN COMPLIANCE WITH SECTION 798.75.5 OF THE CIVIL CODE. IT IS NOT A WARRANTY OF ANY KIND BY THE MOBILEHOME PARK OWNER OR PARK MANAGEMENT AND IS NOT A SUBSTITUTE FOR ANY INSPECTION BY THE PROSPECTIVE HOMEOWNER/ LESSEE OF THE SPACE TO BE RENTED OR LEASED OR OF THE PARK, INCLUDING ALL COMMON AREAS REFERENCED IN THIS STATEMENT. THIS STATEMENT DOES NOT CREATE ANY NEW DUTY OR NEW LIABILITY ON THE PART OF THE MOBILEHOME PARK OWNER OR MOBILEHOME PARK MANAGEMENT OR AFFECT ANY DUTIES THAT MAY HAVE EXISTED PRIOR TO THE ENACTMENT OF SECTION 798.75.5 OF THE CIVIL CODE, OTHER THAN THE DUTY TO DISCLOSE THE INFORMATION REQUIRED BY THE STATEMENT. Are you (the mobilehome park owner/mobilehome park manager) aware of any of the following: A. Park or B. Does the park C. Is the D. Does the E. Are there any F. Is there any G. Are there any H. Is there any common area contain this facility in facility have uncorrected park substantial, pending lawsuits encroachment, facilities facility? operation? any known citations or notices uncorrected by or against the casement, non - substantial of abatement damage to the park affecting the conforming use, or defects? relating to the facility from fire, facilities or violation of setback facilities issued by a flood, alleging defects requirements public agency? earthquake, or in the facilities? regarding this park landslides? common area facility? Yes No Yes No Yes No Yes No No Yes No Yes No Clubhouse X X X X X X X Walkways X X X X E X X X Streets, roads and X X X X X X X access Electric utility X X X X X X X system Water utility X X X X X X X system Gas utility X X X X X X X System Common area X X X X X X X lighting system Septic or sewer X X X X X X X system Playground X X X X X RV storage X X X X X Parking areas X }( X X X X X Swinuming pool X X X X X Spa pool X X X X X Laundry X A X X X X Other common X X X X X X X area facilities* 1� I *If there are other important park or common area facilities, please specify (attach additional sheets if necessary): If any item in Cis checked "no", or any item in D, E, F, G, or H is checked `yes", please explain (attach additional sheets if necessary): In addition to the above, the Prospective Buyer is informed that OVE will close no later than March 31, 2019 ("Closure Date"), The Prospective Buyer acknowledges that that he or she has not relied upon any belief or representation that the value of the mobilehome in the Park will increase or decline prior to the termination of his/her tenancy. Homeowner represents and acknowledges that he/she has no expectation as to the "in place value" or in park value' of his/her mobilehome which is to be located on the premises. It is agreed that this shall act as and shall be considered the eighteen (18) month Notice of Change of Use of OVE which is to take place no later than March 31, 2019 and that, on said date, Park will convert to use as a public park. The Prospective Buyer agrees that he/she is not entitled to any relocation benefits upon such park closure. The mobilehome park owner/ -park manager states that the information herein has been delivered to the prospective homeowner/ lessee a minimum of three days prior to execution of a rental agreement and is true and correct to the best of the park owner/park managers knowledge as of the date signed by the park owner/manager. Park Owner/Manager. By: print name signature l/WE ACKNOWLEDGE RECEIPT OF A COMPLETED COPY OF THE PARK OWNER/MANAGER STATEMENT. Prospective Homeowner(s): Lessee Date: Lessee Date: Park Owner/Manager Date: _ (Added by SB 534 (Dunn), Ch. 517 (1999), eff. 1/l/2000) Item 14. - 59 HB -174-