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HomeMy WebLinkAboutBonanni Development/JB Construction - 2016-11-21RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn: Director of Community Development Recorded in Official Records, Orange County Hugh Nguyen, Clerk -Recorder �]J�J 11111 III 111111 NO FEE *$ R 0 0 0 9 3 1 1 3 2 4$ 2017000223484 9:46 am 06101117 47 NC-5 Al2 F13 91 0.00 0.00 0.00 0.00 270.00 0.00 0.00 0.00 SPACE ABOVE THIS LINE RESERVED FOR RECORDER'S USE T?fs docllMne , is qd* for the offidel NWOM of ft city of Ikmtbptw each, DEVELOPMENT AGREEMENT a °0"t" ~ w'dw "" Code See. 27303 wW shcuate recorded fm of cMrye. THIS DEVELOPMENT AGREEMENT ("Agreement") is made in Orange County, California, as of November 21, 2016, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California (the "City") and Bonanni Development/JB Construction, a California General Partnership (the "Developer"). RECITALS A. The City is authorized pursuant to Government Code sections 65864 through 65869.5 and Huntington Beach Zoning and Subdivision Ordinance (HBZSO) Chapter 246 to enter into binding development agreements with persons or entities owning legal interests in real property located within the City. B. Developer is the owner of that certain real property more particularly described in Exhibit A attached hereto and incorporated herein by this reference (the "Property")- C. The City and Developer each desire to enter into this Agreement affecting the Property in conformance with Government Code section 65864 et seq, and HBZSO 246 in order to achieve the mutually beneficial development of the Property in accordance with this Agreement. D. The Developer seeks to develop a project on the Property consisting of 10 dwelling units, as more particularly set forth in the Development Plan (collectively, the "Proje(,-t"), attached as Exhibit B and incorporated herein, all in accordance with the Holly-Seacliff Specific Plan, as may be amended from time to time (the "Specific Plan") adopted by the City Council of the City (the "City Council") on April 20, 1992. Pursuant to HBZSO Section 230.14, the Project includes an affordable housing density bonus, and one (1) unit of two (2) bedroom size shall be restricted for rental by a Low -Income Household. The Affordable Dwelling Unit plus the fractional in -lieu fee of One Hundred Eighty-five Page 1 of 16 15.5006.001/135287 2/PD Thousand Seven Hundred Ten Dollars ($185,710.00) for 0.35 unit meets both the Specific Plan and Density Bonus requirements. E. The City and the Developer each mutually desire to obtain the binding agreement of one another to permit and ensure that the Property is developed strictly in accordance with the provisions of this Agreement. F. This Agreement will benefit the Developer and the City by eliminating uncertainty in planning and providing for the orderly development of the Project. Specifically, this Agreement (1) eliminates uncertainty about the validity of exactions to be imposed by the City, (2) provides for the construction of needed affordable housing, (3) ensures that development of the Property occurs within a timeframe generally consistent with that analyzed by the Project; and (4) generally serves the public interest within the city and the surrounding region. G. The Planning Commission and the City Council have each given notice of their intention to consider this Agreement, and have each conducted public hearings thereon pursuant to the relevant provisions of the Government Code. The City Council has found that the provisions of this Agreement are consistent with the City's 1996 General Plan for development within the City, as amended (the "General Plan"), City zoning ordinances, as amended, including HBZSO Section 230.14, entitled "Affordable Housing Density Bonus," and the Holly-Seacliff Specific Plan. The Planning Commission and City Council have also specifically considered the impacts and benefits of the Project upon the welfare of the residents of the City and the surrounding region. The City Council has determined that this Agreement is beneficial to the residents of the City and is consistent with the present public health, safety and welfare needs of the residents of the City and the surrounding region. H. On October 11, 2016, the Planning Commission held a duly noticed public hearing on this Agreement. 1. On November 21, 2016, the City Council held a duly noticed public hearing on this Agreement. NOW, THEREFORE, in consideration of the foregoing recitals which are hereby incorporated into the operative provisions of this Agreement by this reference and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the City and the Developer agree as follows: 1. Definitions. "Affordable Dwelling Units" shall mean a Dwelling Unit available at Affordable Rent. "Affordable Housing Agreement" shall collectively mean that certain Agreement Containing Covenants Affecting Real Property (Including Affordable Rental Page 2 of 16 15-5006.001/135287 2/PD and/or Sale Restrictions) by and between the City and Developer together with all attachments thereto, which was approved as to form as part of this Development Agreement, and any and all amendments or modifications thereto. "Affordable Rent" shall have the same meaning set forth in California Health and Safety Code section 50053, as more specifically set forth in the Agreement Containing Covenants Affecting Real Property to be attached to the Affordable Housing Agreement. "Applicable Rules" means the rules, regulations, ordinances and official policies of the City which were in force as of the Effective Date (as defined below), including, but not limited to, the General Plan, the Specific Plan, City zoning ordinances and other entitlements, including HBZSO Section 230.14, entitled "Affordable Housing Density Bonus," development conditions and standards, public works standards, subdivision regulations, grading requirements, and provisions related to density, growth management, environmental considerations, and design criteria applicable to the Project. Applicable Rules shall not include building standards adopted by the City pursuant to Health and Safety Code sections 17922 and 17958.5. "Area Median Income" shall mean the area median income for the County of Orange ("County") as published annually by the Department of Housing and Community Development and determined in accordance with the U.S. Department of Housing and Urban Development criteria then in effect and published from time to time. For purposes of this Agreement, the qualifying limits shall be those limits for the County, as set forth in Title 25, California Code of Regulations, section 6932, as that section may be amended, modified or recodified from time to time. If the California Code of Regulations is amended or modified during the term of this Agreement so that such regulations do not specify the area median income from the County, the City and Developer shall negotiate in good faith to determine an equivalent authoritative source which determines median income from the County. "City Council" shall mean the City Council of the City. "City Manager" shall mean the City Manager of the City. "County" shall mean Orange County. "Density Bonus" shall mean the affordable housing density bonus applied to the Project pursuant to HBZSO Section 230.14. "Developer" shall mean Bonanni Development/JB Construction, a California general partnership. "Development Impact Fees" means and includes all fees charged by the City in connection with the application, processing and approval or issuance of permits for the development of property, including, without limitation: application fees; permit Page 3 of 16 15-5006.001/135287 2/PD processing fees; inspection fees; utility capacity fees; development impact or major facilities fees; park fees; flood control fees; environmental impact mitigation fees; and any similar governmental fees, charges and exactions required for the development of the Proj ect. "Discretionary Actions" and "Discretionary Approvals" means those actions and approvals which require the exercise of judgment, or imposition of a condition or obligation, by any officer, employee, review board, commission or department of the City. Discretionary Actions and Discretionary Approvals are distinguished from activities or approvals which merely require any officer, employee, review board, commission or department of the City. Discretionary Actions and Discretionary Approvals are distinguished from activities or approvals which merely require any officer, employee, review board, commission or department of the City to determine whether or not there has been compliance with applicable statutes, ordinances, regulations or conditions of approval. "Dwelling Unit" shall mean a place in the Project that is legally available to be rented by a person or family. "Effective Date" means the date on which the ordinance approving this Agreement has been adopted by the City. "Fractional In -lieu Fee" shall mean that portion of the Project's affordable housing requirement that is met by payment of a fee instead of the provision of an actual Affordable Dwelling Unit. "Low Income Household" means persons and families whose gross incomes do not exceed eighty percent (80%) of the Area Median Income, adjusted for size. "Market Rate Rental Dwelling Unit" shall mean those Dwelling Units in the Project that are not Affordable Dwelling Units nor governed by the Affordable Housing Agreement. "Periodic Review" shall have the meaning assigned to such term in Paragraph 10(a). "Planning Commission means the Planning Commission of the City. "Project" shall mean that development contemplated pursuant to the Development Plan, attached as Exhibit B, approved by Conditional Use Permit No. 13- 026 and Tentative Tract Map No. 13-115. Page 4of16 15-5006.001/135287 2/13D "Specific Plan" shall mean the Holly-Seacliff Specific Plan adopted by the City Council on April 20, 1992, as may be amended from time to time. "Subsequent Rule" means the rules, regulations, ordinances and official policies of the City, adopted and becoming operative after the Effective Date, including, but not limited to, the General Plan, the Specific Plan, City zoning ordinances and other entitlements, development conditions and standards, public works standards, subdivision regulations, grading requirements, and other provisions related to density, growth management, environmental considerations, and design criteria. [See also paragraph 3 below.] 2. Term of Agreement. This Agreement shall become operative and commence upon the Effective Date and remain in effect for a term of ten (10) years. Except for continuing obligations regarding affordable housing covenants and requirements, upon the expiration or termination of the term, this Agreement shall be deemed terminated and have no further force and effect. 3. Vested Rillht to Develop the. Project. Subject to Paragraphs 3.3 through 3.8 below, and the Applicable Rules, the City hereby grants to the Developer the vested right to develop the Project on the Property to the extent and in the manner provided in this Agreement. Subject to Paragraphs 3.3 through 3.8 below, any change in the Applicable Rules adopted or becoming effective after the Effective Date (Subsequent Rules) shall not be applicable to or binding upon the Project or the Property. Subject to Paragraphs 3.3 through 3.8, below, this Agreement will bind the City to the terms and obligations specified in this Agreement and will limit, to the degree specified in this Agreement and under state law, the future exercise of the City's ability to regulate development of the Project. 3.1 No Conflicting Enactments. Subject to Paragraphs 3.3 through 3.8, below, neither the City Council nor any department of the City shall enact rules, regulations, ordinances or other measures which relate to the rate, timing, sequencing, density, intensity or configuration of the development of any part of the Project which is inconsistent or in conflict with this Agreement during the term of this Development Agreement. 3.2 Initiative Measures. Subject to Paragraphs 3.3 through 3.8, below, the Developer and City intend that no moratorium or other limitation (whether relating to the rate, timing or sequence of the development of all or any part of the Project and whether enacted by initiative or otherwise) affecting parcel or subdivision maps (whether tentative, vesting tentative or final), building, permits, certificates of occupancy or other entitlements shall apply to the Project to the extent such moratorium or other limitation is inconsistent or conflicts with this Agreement. 3.3 Federal or State Laws. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to modify any of the Applicable Rules. to the extent necessary to comply with applicable federal or state laws, Page 5 of 16 15-5006.001/135287 2/1)D codes or regulations which preempt local jurisdiction including, by way of example, and without limiting the generality of the foregoing, the California Environmental Quality Act, all building codes, and any safety regulations, but such modifications shall be made only to the extent required thereunder. 3.4 Emergency. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to apply to the Project any development moratorium, limitation on the delivery of City -provided utility services, or other generally applicable emergency rule, regulation, law or ordinance affecting land use: (1) which is based on genuine health, safety and general welfare concerns (other than general growth management issues); (2) which arises out of a documented emergency situation, as declared by the President of the United States, Governor of California, or the Mayor, City Council or City Manager of the City; and (3) based upon its terms or its effect as applied, does not apply exclusively, primarily or disproportionately to the Project or the Property. 3.5 Project Completion. This Agreement and the EIR and associated findings, are based on the expectation that the Project will be constructed as follows: up to 9 Market Rate Rental Dwelling Units and 1 Affordable Dwelling Unit. 3.6 Public Health Concerns. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to apply to the Project any generally applicable rule, regulation, law or ordinance which does not affect the land use or development of the Project and which is based on concerns for the public health, safety or general welfare, including, but not limited to, building codes not otherwise preempted by State law. 3.7 New Engineering and Construction Standards. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to modify any of the Applicable Rules if the City adopts new and/or amended regulations governing engineering and construction and grading standards and specifications including, without limitation, any and all uniform codes adopted by the City, including local amendments to these codes pursuant to state law allowing for such amendments; provided that such codes are uniformly applied to all new development projects of similar type as the Project within the City and provided further that any such modifications to grading standards can only be imposed prior to grading and any such modifications to engineering or construction standards can only be applied prior to the initiation of construction. Such codes include, without limitation, the City's Uniform Housing Code, Building Code, Plumbing Code, Mechanical Code, Electrical Code and Fire Code. 3.8 Cooperation and Indemnification. City agrees to cooperate with Developer in all reasonable manners in order to keep this Agreement in full force and effect. Notwithstanding the preceding sentence, in the event any legal action instituted by a third party or other government entity or official challenging the validity of this Agreement, the City and Developer agree to cooperate in defending such action, with the Page 6 of 16 15-5006.001/135287 2/PD Developer to indemnify the City pursuant to Paragraph 17 of this Agreement. In the event of any litigation challenging the effectiveness of this Agreement or any portion thereof, this Agreement shall remain in full force and effect while such litigation, including any appellate review, is pending, unless a court of competent jurisdiction orders otherwise. 4. Development of the Property. (a) Permitted Uses. The Developer agrees that the Property shall only be developed in accordance with the Development Plan and any conditions and mitigation measures imposed on the Project through final approval of the Project, and the provisions of this Development Agreement. Notwithstanding anything set forth in this Agreement to the contrary, unless Developer proceeds with development of the Property, Developer is not obligated by the terms of this Agreement to affirmatively act to develop all or any portion of the Project, pay any sums of money, dedicate any land, indemnify any party, or to otherwise meet or perform any obligation with respect to the Project, except and only as a condition of development of any portion of the Project. (b) Development Standards. All development and design requirements and standards applicable to the Project shall conform to the Holly-Seacliff Specific Plan, the Huntington Beach Municipal Code, and any Applicable Rules. (c) Development Impact Fees. In addition to the obligations set forth elsewhere in this Agreement, Developer shall be responsible for paying when due all Development Impact Fees including Traffic Impact and Park Fees in connection with development of the Project at the rates then in effect. Subject to all applicable laws then in effect, City shall have the right: (i) to charge and apply to the Property all Development Impact Fees as may be in effect at the time applicable to the Project; and (ii) to increase or otherwise modify any and all Development Impact Fees applicable to the Project. (d) Payment of Fractional In -lieu Fee. Developer shall pay the Fractional In -lieu Fee in connection with development of the Project prior to issuance of the Certificate of Occupancy. 5. Reserved. 6. Affordable Housing. The Project is subject to the requirement of providing one Affordable Dwelling Unit, which shall be a rental unit and must remain an Affordable Dwelling Unit for at least fifty-five (55) years. The City and Developer agree as a condition precedent to Development that the Notice of Affordability Restrictions on Transfer of Property, a copy of which is attached hereto as Exhibit A-1, shall be recorded concurrently with this Development Agreement, and that an Affordable Housing Agreement shall be executed to memorialize the terms and conditions of the affordable housing components (Attached Page 7 of 16 15-5006,001/135287 2/PD Hereto as Exhibit Q. The Developer will provide an affordable unit for rent, which shall be made available as follows: 1 unit to be occupied by a Low Income Household. The Developer agrees to record said affordability covenants in favor of the City to assure that affordability covenants run with the land and remain in effect for the affordability period. The Developer agrees to comply with all the terms and provisions of the Affordable Housing Agreement and its attachments and acknowledges that any default thereunder shall also constitute a default under this Agreement. Prior to approval of a Final Inspection for the 10"' Market Rate Rental Dwelling Unit, Developer shall have completed construction and shall have received all required Final Inspection for the rental Low Income Household Affordable Dwelling Unit. 7. Extension of Project Approvals. Unless a longer term would result under otherwise applicable state law, the term of any permits approved as part of the Project approvals shall be automatically extended for the term of this Agreement. 8. Reserved. 9. Subsequent Discretionary Action and Approval. The City agrees not to unreasonably withhold, condition or delay any Discretionary Action or Discretionary Approval or other action or approval by the City which may be required by the Project subsequent to the execution of this Agreement. Upon the filing of a complete application and payment of appropriate processing fees by Developer, the City shall promptly commence and diligently schedule and convene all required public hearings in an expeditious manner consistent with the law and process all Discretionary Actions and Discretionary Approvals in an expeditious manner. 10. Compliance Review. (a) Periodic Review. Pursuant to Government Code section 65865.1, the City Manager or his or her designee shall, not less than once in every twelve (12) months, review the Project and this Agreement to ascertain whether or not the Developer is in full compliance with the terms of the Agreement (the "Periodic Review"). (b) Review Procedure. During a Periodic Review, Developer shall provide information reasonably requested by the City Manager or his or her designee that the Project is being developed in good faith compliance with the terms of this Agreement. If, as a result of a Periodic Review, the City finds and determines on the basis of substantial evidence that the Developer has not complied in good faith with the terms or conditions of this Agreement, the City shall issue a written "Notice of Non -Compliance" to the Developer specifying the grounds therefore and all facts demonstrating such non- compliance. The Developer's failure to cure the alleged non-compliance within sixty (60) days after receipt of the notice, or, if such noncompliance is not capable of being cured within sixty (60) days, the Developer's failure to initiate all actions required to cure such non-compliance within sixty (60) days after receipt of the notice and completion of Page 8of16 15-5006.001/135287 2/PD the cure of such non-compliance within one hundred twenty (120) days, shall constitute a default under this Agreement on the part of the Developer and shall constitute grounds for the termination of this Agreement by the City as provided for below. If requested by Developer, City agrees to provide to Developer a certificate that Developer is in compliance with the terms of this Agreement, provided Developer reimburses City for all reasonable and direct costs and fees incurred by City with respect thereto. (c) Termination or Modification for Non -Compliance. Pursuant to Government Code section 65865.1, if the City Council finds and determines, on the basis of substantial evidence, that the Developer has not complied in good faith with the terms or conditions of this Agreement, the City Council may modify or terminate this Agreement. Any action by the City with respect to the termination or modification of this Agreement shall comply with the notice and public hearing requirements of Government Code section 65867 in addition to any other notice required by law. Additionally, the City shall give the Developer written notice of its intention to terminate or modify this Agreement and shall grant the Developer a reasonable opportunity to be heard on the matter and to oppose such termination or modification by the City. 11. Modification, Amendment, Cancellation or Termination. 11.1 Amendment and Cancellation. Pursuant to Government Code section 65868, this Agreement may be amended or canceled, in whole or in part, by mutual written consent of the City and the Developer or their successors in interest. Public notice of the parties' intention to amend or cancel any portion of this Agreement shall be given in the manner provided by Government Code section 65867. Any amendment to the Agreement shall be subject to the provisions of Government Code section 65867.5. 11.2 Modification. The City Community Development Director, with the consent of the Developer, may make minor modifications to the Agreement without the need for formal action by the City's Planning Commission or City Council as long as such modifications do not alter the Term of this Development Agreement, the permitted uses, density or intensity of uses, the maximum height or size of buildings, provisions for reservations or Dedication of land, conditions, terms, restrictions and requirements relating to Subsequent Discretionary Actions and Approvals, and monetary contributions by Developer. 12. Defaults, Notice and Cure Periods, Events of Default and Remedies. 12.1 Default By the Developer. 12.1.1 Default. If the Developer does not perform its obligations under this Agreement in a timely manner, the City may exercise all rights and remedies provided in this Agreement, provided the City shall have first given written notice to the Developer as provided in Paragraph 17(a) hereof. Page 9 of 16 15-5006.001/135287 2/PD 12.1.2 Notice of Default. If the Developer does not perform its obligations under this Agreement in a timely manner, the City through the City Manager may submit to the Developer a written notice of default in the manner prescribed in Paragraph 17(a) identifying with specificity those obligations of the Developer under this Agreement which have not been timely performed. Upon receipt of any such written notice of default,. the Developer shall promptly commence to cure the identified default(s) at the earliest reasonable time after receipt of any such written notice of default and shall complete the cure of any such default(s) no later than sixty (60) days after receipt of any such written notice of default, or if such default(s) is not capable of being cured within sixty (60) days, no later than one hundred twenty (120) days after receipt of any such written notice of default, provided the Developer commences the cure of any such default(s) within such sixty (60) day period and thereafter diligently pursues such cure at all times until any such default(s) is cured. 12.1.3 Failure to Cure Default Procedure. If after the cure period provided in Paragraph 12.1.2 has elapsed, the City Manager finds and determines the Developer, or its successors, transferees and/or assignees, as the case may be, remains in default and that the City intends to terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, the City's Community Development Director shall make a report to the Planning Commission and then set a public hearing before the Planning Commission in accordance with the notice and hearing requirements of Government Code sections 65867 and 65868. If after the public hearing, the Planning Commission finds and determines, on the basis of substantial evidence, that the Developer, or its successors, transferees and/or assigns, as the case may be, has not cured a default under this Agreement pursuant to this Paragraph 12, and that the City shall terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, the Developer, and its successors, transferees and/or assigns, shall be entitled to appeal that finding and determination to the City Council. Such right of appeal shall include, but not be limited to, an objection to the manner in which the City intends to modify this Agreement if the City intends as a result of a default of the Developer, or one of its successors or assigns, to modify this Agreement. In the event of a finding and determination that all defaults are cured, there shall be no appeal by any person or entity. Nothing in this Paragraph 12 or this Agreement shall be construed as modifying or abrogating the City Council's review of Planning Commission actions or limiting the City's rights and remedies available at law or in equity, which shall include (without limitation) compelling the specific performance of the Developer's obligations under this Agreement. 12.1.4 Termination or Modification of Agreements. The City may terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, after such final determination of the City Council or, where no appeal is taken, after the expiration of the applicable appeal periods described herein. There shall be no modifications of this Agreement unless the City Council acts pursuant to Government Code sections 65967.5 and 65868, irrespective of whether an appeal is taken as provided herein. Page 10 of 16 15-5006.001/135287 2/PD 12.2 Default by the City. 12.2.1 Default. In the event the City does not accept, process or render a decision in a timely manner on necessary development permits, entitlements, or other land use or building approvals for use as provided in this Agreement upon compliance with the requirements therefore, or as otherwise agreed to by the City and Developer, or the City otherwise defaults under the provisions of this Agreement, subject to Paragraph 12.3, the Developer shall have all rights and remedies provided herein or by applicable law, which shall include compelling the specific performance of the City's obligations under this Agreement provided the Developer has first complied with the procedures in paragraph 12.2.2. 12.2.2 Notice of Default. Prior to the exercise of any other right or remedy arising out of a default by the City under this Agreement, the Developer shall first submit to the City a written notice of default stating with specificity those obligations which have not been performed under this Agreement. Upon receipt of the notice of default, the City shall promptly commence to cure the identified default(s) at the earliest reasonable time after receipt of the notice of default and shall complete the cure of such default(s) no later than thirty (30) days after receipt of the notice of default, or such longer period as is reasonably necessary to remedy such default(s), provided the City shall continuously and diligently pursue each remedy at all times until such default(s) is cured. In the case of a dispute as to whether the City is in default under this Agreement or whether the City has cured the default, or to seek the enforcement of this Agreement, the City and the Developer may submit the matter to negotiation/mediation pursuant to Paragraph 17(n) of this Agreement. 12.3 Monetary Damages. The Developer and City acknowledge that neither the City nor the Developer would have entered into this Agreement if either were liable for monetary damages under or with respect to this Agreement or the application thereof. Both the City and the Developer agree and recognize that, as a practical matter, it may not be possible to determine an amount of monetary damages which would adequately compensate the Developer for its investment of time and financial resources in planning to arrive at the kind, location, intensity of use, and improvements for the Project, nor to calculate the consideration the City will require to enter into this Agreement to justify such exposure. Therefore, the City and the Developer agree that neither shall be liable for monetary damages under or with respect to this Agreement or the application thereof and the City and the Developer covenant not to sue for or claim any monetary damages for the breach of any provision of this agreement. This foregoing waiver shall not be deemed to apply to any fees or other monetary amounts specifically required to be paid by the Developer to the City pursuant to this Agreement, including, but not limited to, any amounts due pursuant to Paragraph 17(g) and 17(m). The foregoing waiver shall also not be deemed to apply to any fees or other monetary amounts specifically required to be paid or credited by the City to the Developer pursuant to this Agreement, including, but not limited to any fee credits specifically required to be credited by City to Developer or its assignee(s). Page 11 of 16 15-5006.001/135287 2/13D 13. Administration of Agreement and Resolution of Disputes. The Developer shall at all times have the right to appeal to the City Council any decision or determination made by any employee, agent or other representative of the City concerning the Project or the interpretation and administration of this Agreement. All City Council decisions or determinations regarding the Project or the administration of this Agreement shall also be subject to judicial review pursuant to Code of Civil Procedure section 1094.5, provided that, pursuant to Code of Civil Procedure section 1094.6, any such action must be filed in a court of competent jurisdiction not later than ninety (90) days after the date on which the City Council's decision becomes final. In addition, in the event the Developer and the City cannot agree whether a default on the part of the Developer, or any of its successors or assigns, under this Agreement exists or whether or not any such default has been cured, then the City or the Developer may submit the matter to negotiation/mediation pursuant to Paragraph 17(n). 14. Recordation of this Agreement. Pursuant to Government Code section 65868.5, the City Clerk shall record a copy of this Agreement in the Official Records of the County within ten (10) days after the mutual execution of this Agreement. 15. Constructive Notice and Acceptance. Every person or entity who now or hereafter owns or acquires any right, title or interest in or to any portion of the Property is, and shall be, conclusively deemed to have consented and agreed to every provision contained herein, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Property. 16. No Third Party Beneficiaries. This Agreement is made and entered into for the sole protection and benefit of the City, the Developer and their respective successors and assigns. No other person or entity shall have any right of action based upon any provision of this Agreement. 17. Miscellaneous. (a) Notices. All notices which are allowed or required to be given hereunder shall be in writing and (1) shall be deemed given and received when personally delivered or (2) shall be sent by registered or certified mail or overnight mail service, addressed to the applicable designated person by one party to the other in writing, and shall be deemed received on the second business day after such mailing. If to City: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn: City Manager Tel. No.: (714) 536-5575 Fax No.: (714) 536-5233 Page 12 of 16 15-5006.001/135287 2/PD If to Developer: Bonanni Development/JB Construction c/o Ed Bonanni 5500 Bolsa Avenue, Suite 120 Huntington Beach, CA 92649 (b) Severability. If any part of this Agreement is declared invalid for any reason, such invalidity shall not affect the validity of the remainder of the Agreement unless the invalid provision is a material part of the Agreement. The other parts of this Agreement shall remain in effect as if this Agreement had been executed without the invalid part. In the event any material provision of this Agreement is determined to be invalid, void or voidable, City or Developer may terminate this Agreement. (c) Entire Agreement; Conflicts. This Agreement represents the entire agreement between the City and the Developer with respect to the subject matter hereof and supersedes all prior agreements and understandings, whether oral or written, between the City and the Developer with respect to the matters contained in this Agreement. Should any or all of the provisions of this Agreement be found to be in conflict with any other provision or provisions found in the Applicable Rules or the Subsequent Applicable Rules, then the provisions of this Agreement shall govern and prevail. (d) Further Assurances. The City and the Developer agree to perform, from time to time, such further acts and to execute and deliver such further instruments reasonably to effect the intents and purposes of this Agreement, provided that the intended obligations of the City and the Developer are not thereby modified. (e) Inurement and Assignment. This Agreement shall inure to the benefit of and bind the successors and assigns of the City and the Developer, may be assigned by either the City or the Developer to any party or parties purchasing all or any part of the Property, or any interest therein pursuant to the provisions of this Paragraph 17(e). The specific rights and obligations of this Agreement shall be deemed covenants running with the land. Prior to Developer's assignment of any rights, duties or obligations under this Agreement, the Developer shall present such information required by the City at its sole discretion to demonstrate to the City's satisfaction that the proposed successor and/or assignee has the financial ability and experience to fulfill those specific rights, duties and obligations under the Agreement that the successor and/or assignee would assume. In addition, the Developer and the proposed assignee shall present to the City a signed agreement delineating the right to use the credits established by this Agreement as between such parties. City shall have the right to approve the proposed successor and/or assignee, provided that the City's approval may not be unreasonably withheld, conditioned or delayed. The provisions of this Paragraph 17(e) shall be self- executing and shall not require the execution or recordation of any further document or instrument. (f) Negation of Agency. The City and the Developer acknowledge that, in entering into and performing under this Agreement, each is acting as an independent entity and not as an agent of the other in any respect. Nothing contained Page 13 of 16 15-5006.001/135287 2/13D herein or in any document executed in connection herewith shall be construed as making the City and the Developer joint ventures, partners or employer/employee. (g) Attorney's Fees. In the event of any claim, dispute or controversy arising out of or relating to this Agreement, including an action for declaratory relief, the prevailing party in such action or proceeding shall not be entitled to recover its court costs and reasonable out-of-pocket expenses. (h) Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought. (i) Force Majeure. Performance by either party hereunder shall not be deemed to be in default where delays or defaults are due to one or more of the following events, providing that any one or more of such event(s) actually delays or interferes with the timely performance of the matter to which it would apply and despite the exercise of diligence and good business practices and such event(s) are beyond the reasonable control of the party claiming such interference: war, terrorism, terrorist acts, insurrection, strikes, lock -outs, unavailability in the marketplace of essential labor, tools, materials or supplies, failure of any contractor, subcontractor, or consultant to timely perform (so long as Developer is not otherwise in default of any obligation under this Agreement and is exercising commercially reasonable diligence of such contractor, subcontractor of consultant to perform, riots, floods, earthquakes, fires, casualties, acts of God, acts of the public enemy, epidemics, quarantine restrictions, freight embargoes, lack of transportation, governmental restrictions or priority, or unusually severe weather. An extension of time for any such cause (a "Force Majeure Delay") shall be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the party claiming such extension is sent to the other party within thirty (30) days of actual knowledge of the commencement of the cause. Notwithstanding the foregoing, none of the foregoing events shall constitute a Force Majeure Delay unless and until the party claiming such delay and interference delivers to the other party written notice describing the event, its cause, when and how such party obtained knowledge, the date and the event commenced, and the estimated delay resulting therefrom. 0) Paragraph Headings. The paragraph headings contained in this Agreement are for convenience and identification only and shall not be deemed to limit or define the contents to which they relate. (k) Time of Essence. Time is of the essence of this Agreement, and all performances required hereunder shall be completed within the time periods specified. Any failure of performance shall be deemed as a material breach of this Agreement. (1) Counterparts. This Agreement and any modifications hereto may be executed in any number of counterparts with the same force and effect as if executed in the form of a single document. Page 14of16 15-5006.001/135287 2/PD (m) Indemnification. The Developer agrees, as a condition of approval of this Agreement, to indemnify, defend and hold harmless at the Developer's expense, the City, the City Council, and the City's agents, officers and employees from and against any claim, action or proceeding to attack, review, set aside, void or annul the approval of this Agreement, the Specific Plan or EIR to determine the reasonableness, legality or validity of any provision hereof or obligation contained herein. Developer also agrees to indemnify the City, the City Council, and the City's officials, agents and employees for any claims, acts or proceedings relating to the Project's affordable housing requirements, including, but not limited to, any challenge to the City's Housing Element arising from such requirements. The indemnity described in this section is not subject to the provisions of paragraph 4(a) providing that obligations cease if the Project does not go forward. The City shall promptly notify the Developer of any such claim, action or proceeding of which the City receives notice, and the City will cooperate fully with the Developer in the defense thereof. The Developer shall provide a defense to the City with counsel reasonably selected by Developer and City to defend both the City and Developer, and shall reimburse the City for any court costs which the City may be required to pay as a result of any such claim, action or proceeding. The City may, in its sole discretion, participate in the defense of any such claim, action or proceeding at its own expense, but such participation shall not relieve the Developer of the obligations of this Paragraph 17(m). (n) Hold Harmless Agreement. City and Developer mutually agree to, and shall hold each other and each of the other's elective and appointed councils, boards, commissions, directors, officers, partners, agents, representatives and employees harmless from any liability for damage or claims for personal injury, including death, and from claims for property damage which may arise from the activities of the other's or contractor's, subcontractors, agents, or employees which relate to the Project whether such activities be by City or Developer, or by any of City's or the Developer's contractors, subcontractors, or by any one or more persons indirectly employed by, or acting as agents for Developer, any of Developer's or the City's contractors or subcontractors. City and Developer agree to and shall defend the other and each of the other's elective and appointive councils, boards, directors, commissioners, officers, partners, agents, representatives and employees from any suits or actions at law or in equity for damage caused or alleged to have been caused by reason of the aforementioned activities which relate to the Project. (o) Reference of California Law. Unless expressly stated to the contrary, all references to statutes herein are to the California codes. (p) Interpretation. The language in all parts of this Agreement shall in all cases be construed simply, as a whole and in accordance with its fair meaning and not strictly for or against any party. The parties hereto acknowledge and agree that this Agreement has been prepared jointly by the parties and has been the subject of arm's Page 15of16 15-5006.001/135287 2/PD length and careful negotiation over a considerable period of time, that each party has independently reviewed this Agreement with legal counsel, and that each party has the requisite experience and sophistication to understand, interpret and agree to the particular language of the provisions hereof. Accordingly, in the event of an ambiguity in or dispute regarding the interpretation of this Agreement, this Agreement shall not be interpreted or construed against the party preparing it, and instead other rules of interpretation and construction shall be utilized. IN WITNESS WHEREOF, the City and the Developer hereto have each executed this Development Agreement as of the date first written above. Developer: BONANNI DEVELOPMENT/ JB CONSTRUCTION, a California general partnership By: ' Its: General Partner List of Exhibits City: CITY OF HUNTINGTON BEACH, a California municipal corporation Mayor y� Fkallaaql City Clerk APPROVE C�Attorney � l� INITIATED, REVIEWED AND APPRZV/ /I A: Legal Description A-1: Notice of Affordability Restrictions on Transfer of Real Property B: Development Plan C: Affordable Housing Agreement Page 16 of 16 15-5006.001/135287 2/PD CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of 0,fa n; e_ ),v� On 7�r awt before me, / � a414 e01& Date Here Insert Name and Title of the Officer personally appeared . rwl C4067-CIL !�n K a.►w: Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. MAXWELL EDWARD DAFFRON Commission # 2136139 Z a Notary Public - California z a orange County My Comm. Expires Dec 10, 2019 I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my and official se Sig ature 2 -Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: .�µ..�c rc-e..eA Document Date: y�17 Number of Pages: 16 Signer(s) Other Than amed Above: Capacity(ies) Claimed by Signer(s) Signer's Name: Q..,A ❑ Corporate Officer — Title(s): Partner — ❑ Limited general Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: eve\oi�.�c Signer's Name: Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: ©2014 National Notary Association - www.NationalNotary.org - 1-800-US NOTARY (1-800-876-6827) Item #5907 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. ACKNOWLEDGMENT STATE OF CALIFORNIA ) ) ss COUNTY OF ORANGE ) On May 30, 2017 before me, P. L. Esparza, Notary Public, personally appeared Robin Estanislau and Barbara Delgleize who proved to me on the basis of satisfactory evidence to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity upon behalf of which the persons acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. P. L. ESPARZA WITNESS my hand and official seal. '"•, Commission # 2032750 z ,w Notary Public - California Orange County My Comm. Expires Aug 4, 2017 (Seal) (Notary Signatur EXHIBIT A To Development Agreement LEGAL DESCRIPTION 15-5006.001/135287 2/13D Legal Description Real property commonly referred to as 7262 Garfield Avenue, Huntington Beach CA, 92648 (APN 111-150-47) and further described as follows: Lots 9, 10 and 11 and the West one-half of Lot 8 in Block "B" of Garfield Street Addition to Huntington Beach, in the City of Huntington Beach, County of Orange, State of California as shown on a map recorded in Book 7, Pages 27 and 28 of Miscellaneous Maps, records of Orange County California. EXHIBIT A-1 To Development Agreement NOTICE OF AFFORDABILITY RESTRICTIONS ON TRANSFER OF REAL PROPERTY 15-5006.001/135287 2/11D OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 27383 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Recorded in Official Records, Orange County Hugh Nguyen, Clerk -Recorder I[ 11[11111 1 11111111NO FEE *$ R 0 0 0 9 3 2 5 5 0 7 $ * 2017000232321 12:06 pm 06/07/17 7 405 R29 8 0.00 0.00 0.00 0.00 21.00 0.00 0.00 0.00 Space above this line for Recorder's use only NOTICE OF AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY (7762 Garfield Avenue) NOTICE IS HEREBY GIVEN that Declarant, the City of Huntington Beach, is recording this Notice of Affordability Restrictions on Transfer of Property (hereinafter the "Notice") with regard to the property generally located at 7762 Garfield Avenue, Huntington Beach, California, and more particularly described in Exhibit "A" attached hereto (the "Property"). 1. Definitions. Any capitalized term not otherwise defined herein shall have the same meaning ascribed to such term in the Agreement Containing Covenants Affecting Real Property recorded as Instrument No.20/ 7000234125' in the Official Records of the Orange County Recorder (the "Agreement Containing Covenants"). 2. Affordability Restrictions. The Property is subject to the following covenants (collectively, the "Affordability Covenants"): a. Subject to subparagraph b below, for a period of no less than fifty-five (55) years, beginning from the date of the City's issuance of a certificate of occupancy for the Project ("Covenant Period"), one (1) of the Dwelling Units constructed on the Property shall be rented exclusively to and occupied by qualifying Low Income Households ("Qualified Renters") at an Affordable Rent in accordance with Health and Safety Code section 50053(b). The aforementioned restricted unit shall be referenced hereinafter as "the Restricted Unit." b. During the Covenant Period, Developer shall not change a Restricted Unit from a rental unit to a for -sale unit without the prior written approval of the City Manager, as provided in Section 3c of the Agreement Containing Covenants. If such a change is approved and a sale occurs, for the remainder of the Covenant Period the Restricted Unit previously restricted to occupancy by a qualifying Low Income Household shall be sold at an Affordable Housing Cost for Low Income Households and thereafter occupied only by a qualifying Low Income Household, as more particularly set forth in the "Agreement and Covenant Concerning Use and Resale of Residential Units" in the form attached as Exhibit "B" to the Agreement Containing Covenants and the Restricted Unit shall be subject to the City's right to purchase in 15-5006.001 / 135288 2/PD This dwwT nt is solely for the otnciol holnew of the My of Huntington leach. • conternpifted under Government Code Set. 273U end Owukf-i a recorded free Of dww. accordance with the "Right of First Refusal" in the form attached as Exhibit "C" to the Agreement Containing Covenants. C. During the Covenant Period, if Developer changes the Restricted Unit from a rental unit to a for -sale unit, Developer shall be required to first offer said Restricted Unit for sale to the Qualified Renter occupying the Restricted Unit before offering said Restricted Unit for sale to other Qualified Purchasers, as provided in Section 3c of the Agreement Containing Covenants. d. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer shall comply with the following rule: any tenant who initially qualified as a Low Income Household, and who no longer qualifies as a Low Income Household, shall pay as rent an amount equal to 30 percent of the household income, and shall be given one (1) year to relocate from the Restricted Unit for which such tenant initially qualified. REST OF PAGE NOT USED 2 15-5006.001 / 135288 2/PD 3. Partial Release(s). If after the date this Notice is recorded a final subdivision map is recorded against the Property, City shall cooperate with the Developer by executing in recordable form and recording a partial release terminating this Notice as to all of the separate legal lots within the Property, excepting only those lots as to which the Affordability Covenants apply. IN WITNESS WHEREOF, the City and Developer have executed this Agreement as of the date first set forth hereinabove. DEVELOPER: BONANNI DEVELOPMENT/JB CORPORATION, a California General Partnership By: -�I'06�2 - Its: General Partner CITY: CITY OF HUNTINGTON BEACH A California municipal corporation City ....6 M •J10 1ty torney n f, I��Zod'f 1 ,INITIATED AND APPROVED: M^r Deputy DirectorA Business Development REV MAND APPROVED: Cit aAager 15-5006.001 / 135288 2/PD CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of 0 (0-no.C'. On . VD, 26 V1 before me, Date Here Insert Name and Title of the Officer personally appeared,., ai+� Goa. tx �bw rah K Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. MAXWELL EDWA�DAFFRONCommission #Z Ci a _=® Notary Public - California D tOrange Couny My Comm Fxpires Dec 10, 2019 I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand fclal s I. Sign re _,,Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: .4 MccAa.6=►, r Document Date: 1�1 �i 1 Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: E4 ❑ Corporate Officer — Title(s): f7<Partner — ❑ Limited General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Signer's Name: ❑ Corporate Officer — Title(s): i❑ Partner — O Limited ❑ General Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: C2014 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of Orange On May 10, 2017 before me, Maxwell Edward Daffron, Notary Public, personally appeared, Kellee Fritzal who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity, and that by her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signatt MAXWELL EDWARD DAFFRON Commission # 2136139 Z Notary Public - California z z ` Orange County MX Comm. Expires Dec 10, 2019 (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. ACKNOWLEDGMENT STATE OF CALIFORNIA ss COUNTY OF ORANGE On May 30, 2017 before me, P. L. Esparza, Notary Public, personally appeared Robin Estanislau and Barbara Delgleize who proved to me on the basis of satisfactory evidence to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity upon behalf of which the persons acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. (Notary Signature 4 P. L. ESPARZA Commission # 2032750 z �'! Notary Public - California Z Orange County D My Comm. Expires Aug A, 2017 (Seal) EXHIBIT A To Notice of Affordability Restrictions on Transfer of Property LEGAL DESCRIPTION 15-5006.001 / 135288 2/PD Legal Description Real property commonly referred to as 7262 Garfield Avenue, Huntington Beach CA, 92648 (APN 111-150-47) and further described as follows: Lots 9, 10 and 11 and the West one-half of Lot 8 in Block "B" of Garfield Street Addition to Huntington Beach, in the City of Huntington Beach, County of Orange, State of California as shown on a map recorded in Book 7, Pages 27 and 28 of Miscellaneous Maps, records of Orange County California. EXHIBIT B To Development Agreement DEVELOPMENT PLAN 15-5006,001/135287 2/PD • Y=°� gg i Y M� dY P d W O Z g o l;,III .1 i ; 3 = e1!.En ^^ > � z:» � : `a cc �zF2Ew0 ems s r 'd `< : ` U Z = Q I W .8e�& `sYia Aso+l Vy�c Iroaaow gala W 8 O 84 C• SR°g_ a °y,Y � B� Y' 9` a<� ��$�� - w M i d e d � � � („) Ow ILAI 1, Vh'A �Ir M1 FIER r■ �i �. ° "I 1 o"m 11 re—a: , .IMMIM p i I�I � � ��� ,�► � I W -- � M°> � 3.0I-N AtJ M- y M tll a 4 IJ — $� cmdsm> xMn Mil3 i (7�/.S 1'W`fFp.(BE" fSII!!C @lVFi10D 0717 E 6aE � y y? Jill n ppp ■Q ji 2 5g i Nil x � a��3 e�se e 8s E) \ ' v 8 101 ZIl LSN 3D 3Nn lSV3\ { I I U — Rmm Q N 2 D F- L7 Wmo Q Fp0Q w w 2 W Z 47 o ems I 4 Z OR� I IIW r--T— O W Z y o z LU CLO�o- a1- xIr �. kho G I W i ,� Adm!Ilk,F U I IT _ o �o < 0 �m oRe „ s� 10 loo �o IOW Ike Z U- Rd = I 'v OF tDvi 3z� — im ����e t zi 101 3Nn 1s3xJ $ x I • _ a a a a C a m $ 3 Kill Yaz Y ¢ t aJW 3 gig: I R Qv rr gE_ W V9Rill 8 �0 II �� lsttro,csim" taus aevruoo a� � EE A E E L A E E E E E E E E -- - .EE'-= Y: ii = 3E BE. E E E � gEL s< •E::n� :E"a IMP Aid g : g a5 E. __ -_ c-3yn: maE cS ece a •°mva i9 a_ _ _- •'o a��i'S cEm 33 `Eu }� Et- _ Saii:�a Nu�:Y"m v`u'i3Lum L 'E=__:tE _oQ -2i «ie a2a• - c'E Z'm= �& __ c u"mz iv :Sw 'Eu'c� 4 0 'co^.^„ - _ t. _E QoE Ste' _ P: etw! 01 n _ ___ z. _m' i. m E:�_ . a vE.- _ -mE� _ P U�Smz _ - SZm" « o°e,o a9 - - - - _ _ = o - a; @"L 'E� m ���sm gj ,EBB= s`=• `s: s o e: a =m"�zeL_`.oa;E_=5 > €s•e _ 99LGi . a`uwo a�'3E2'e;$': ;_n'E cc -e R tm.... ' go,E gdcE:':=Huai"«� gee�.:Lac3c.�`ei OU cama'ii:v_ «n a IL m°uE<BG:. nu •a.i cn a) O X- R O U fH 0 ca IL C'3 U I rf iij � - J 0 :m F w w 2 IL O w w QN< ZH ¢o; Zm�' m„ z, L ca N C e l4 IL -`0 0 4 Q e Mn w a� E 0 t C 0 d W� /ca v m n 2 �r r ------------ J� n M-1 u� BMW M=u . . . . . . . . . . . --mum m ¢e eee m6 968 Z LU L a w > LU ZH zz O g` C7 °1 N C cc n2 U S ¢6 e8O W0 se :m 10 Z F W u F a OLU g d W g 7 U -Zt + z; xs MIA F Wm E d U O o 6 W 3 >LLJ P 0$ S Zz. 3 S ZaRa U m Z81N m d]„ m85, 4 W m m a N W a m h c 0 R d W =U e� En C m cE 60 H Z _ W CL Lu s L6�d Z,->� E mg - ciq� Q�ol ¢e ese me see m M m E 0 0 F— d cc 0 a U N a m t O max' 'z r l in 73 73 'a -°i i`38n ¢o ®os pa see EXHIBIT C To Development Agreement AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (INCLUDING AFFORDABLE RENTAL AND/OR SALE RESTRICTIONS 15-5006 001/135287 2/PD OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Recorded in Official Records, Orange County Hugh Nguyen, Clerk -Recorder II II II R 11111 I IIII III I II NO FEE *$ R 0 0 0 9 3 2 5 1 4 8 $ * 201700023212511:05 am 06/07/17 47 NC-5 Al2 C38 44 0.00 0.00 0.00 0.00 129.00 0.00 0.00 0.00 Space above this line for Recorder's use only AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (INCLUDING AFFORDABLE RENTAL AND/OR SALE RESTRICTIONS) THIS AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into as of November 21, 2016, by and between the CITY OF HUNTINGTON BEACH (the "City") and BONANNI DEVELOPMENT / JB CORPORATION, a California General Partnership ("Developer"). A. Developer owns fee title to that certain real property (the "Property") located in the City of Huntington Beach, County of Orange, State of California, legally described in the "Legal Description" attached hereto as Exhibit "A" and incorporated herein by this reference. B. The City and Developer entered into that certain Development Agreement ("DA"), dated Jy yc� ,2./, 2016, regarding the development of a residential project including one (1) Affordable Rental Unit and/or City -approved For Sale Unit restricted for rental and/or sale to and occupancy by Low Income Households, in accordance with the terms contained therein. DA as used herein shall mean, refer to and include the DA, as well as any riders, exhibits, addenda, implementation agreements, amendments and attachments thereto (which are hereby incorporated herein by this reference) or other documents expressly incorporated by reference in the DA. Any capitalized term not otherwise defined herein shall have the meaning ascribed to such term in the DA. C. This Agreement is entered into and recorded in accordance with the DA. NOW, THEREFORE, CITY AND DEVELOPER COVENANT AND AGREE AS FOLLOWS: l . Construction of the Project. Developer covenants and agrees for itself, its successors and assigns and every successor in interest to the Property or any part thereof, that Developer, its successors and assigns, shall acquire the Property and construct or cause the construction of the Project in accordance with the provisions of the DA. 15-5006.001 / 1352912 This doaffa t is solely fbr the dflcici Of du City of WwWrootm Beech. • eaaempbted wxW Govemmw* Cade Sec. 27393 and WwWdU recorded frw of drmpe. 2. Release of Construction Covenants. Following Completion of the Project in accordance with the DA, City shall record a Release of Construction Covenants on the Property. Following the City's recording of the Release of Construction Covenants, the covenants contained in Paragraph I herein shall terminate and be of no further force and effect with respect to the Property. 3. Use of the Property. Developer, on behalf of itself and its successors, assigns, and each successor in interest to Developer's interest in the Property or any part thereof, hereby covenants and agrees as follows: a. For a period of no less than fifty-five (55) years, beginning from the date of the City's issuance of a certificate of occupancy for the Project (the "Covenant Period"), Developer shall use the Property only for the uses specified in the DA, any agreements entered into by and between the City and Developer relating to the Property, and this Agreement. During the Covenant Period, no change in the use of the Property shall be permitted without the prior written approval of City. b. During the Covenant Period, one (1) of the ten (10) Dwelling Units constructed upon the Property shall be rented exclusively to and occupied by qualifying Low Income Households ("Qualified Renters") at an Affordable Rent in accordance with Health and Safety Code section 50053(b). The aforementioned restricted unit shall be referenced hereinafter as the "Restricted Unit." C. During the Covenant Period, Developer shall not change a Restricted Unit from a rental unit to a for -sale unit without the prior written approval of the City Manager, which approval the City Manager shall be required to give if Developer satisfies each of the following conditions precedent: (i) a Restricted Unit that is restricted for rental to and occupancy by a Low Income Household shall first be offered for sale to the tenant occupying that unit at Affordable Housing Cost for a Low Income Household, in accordance with Health and Safety Code section 50052.5(b) (herein, the "Right of First Refusal"). Said offer shall be in writing and have a heading at or near the top of the first page in bold type not less than 12-point font substantially in the following form: "This Document Sets Contains a Written Offer to Sell To You the Residential Unit in Which You Are a Tenant. Please Review Carefully. If You Wish to Accept This Offer, You Must Do So Within Thirty (30) Days After This Offer Is Delivered To You By Signing and Dating This Offer Where Indicated Below and Delivering This Accepted Offer to the Owner at the Owner's Address. If You Do Not Do So, Your Right to Purchase This Residential Unit Will Terminate and Expire." The offer shall contain a complete statement of the terms of the proposed sale, shall clearly state the applicable purchase price and closing date (which in no case shall be less than thirty (30) days after the date the offer is accepted) and shall comply with all applicable provisions of law pertaining to the sale of residential condominium units in the State of California, City of Huntington Beach. If the tenant does not timely accept Developer's offer the tenant's Right of First Refusal shall expire and be of no further force or effect and thereafter Developer shall be free to market and sell that Restricted Unit to any other Low Income Household ("Qualified 2 15-5006.001 / 1352912 Purchaser") at Affordable Housing Cost. Alternatively, if the tenant does timely accept the offer but thereafter the tenant fails to timely perform any of its obligations to complete the purchase of the Restricted Unit pursuant to the contract entered into between Developer and the tenant, subject to whatever default, notice, and cure rights may be set forth in said contract Developer shall have the right hereunder to terminate said contract, in which event the tenant's Right of First Refusal shall expire and be of no further force or effect and thereafter Developer shall be free to market and sell that Restricted Unit to any other Qualified Purchaser at Affordable Housing Cost, in accordance with Health and Safety Code section 50052.5(b); (11) the Developer shall notify the City, in writing, of its request for City approval to change any Restricted Unit from a rental unit to a for -sale unit no later than ninety (90) days prior to offering a Restricted Unit for sale to any Person ("Notice of Change Request"). The Notice of Change Request shall be accompanied by the following information: (a) the form(s) of purchase contract(s) Developer intends to use (consistent with the requirements of paragraph 3c with respect to the Right of First Refusal for each existing tenant); (b) a form of grant deed to be used for each such sale which sets forth the applicable restrictions upon resale and use of each for -sale Restricted Unit consistent with this Agreement; and (c) written evidence documenting Developer's compliance with all applicable laws and regulations governing the sale of condominium units. The City Manager shall approve or disapprove the Notice of Change Request, including the form of the documents submitted therewith, within thirty (30) days after receipt, with approval not to be unreasonably conditioned or withheld. Any disapproval shall be in writing and shall state the reasons therefor and the actions that Developer must take or the changes Developer must make to the applicable documents in order to obtain City's approval. City may also require that any purchaser of the Restricted Unit execute and deliver to City any documents that may be required by City's Affordable Housing Program, including but not limited to, a Promissory Note, a Deed of Trust, and a Notice of Affordability Restriction. Examples of such documents are attached hereto as Exhibit C. If the City Manager fails to timely approve or disapprove Developer's Notice of Change Request within said time, Developer's Notice of Change Request and the form of the accompanying documents shall be deemed approved; (iii) concurrently with the close of escrow for the conveyance of any Restricted Unit to a Qualified Purchaser, Developer and City shall fill in the blanks in the "Agreement and Covenants Concerning Use and Resale of Residential Unit" in the form attached hereto as Exhibit "B" and incorporated herein by this reference and the "City's Affordable Housing Program Documents" in favor of the City in the forms attached hereto as Exhibit "C" and incorporated herein by this reference and Developer shall record such instruments or cause them to be recorded in the Official Records of the Orange County Recorder. d. During the Covenant Period, the Restricted Unit shall be occupied at all times only by Qualified Renters or, subject to paragraph 3c above, by Qualified Purchasers, as applicable. The Developer covenants to cooperate with the City in taking all steps necessary to implement and monitor this requirement with respect to all Qualified Renters. e. During the Covenant Period, as long as the Restricted Units are required to be rented to and occupied by Qualified Renters and until the close of escrow for the conveyance 15-5006.001 / 1352912 of any Restricted Units to Qualified Purchasers, Developer shall provide the City with a monthly report with respect to Restricted Units under lease and/or contract (as applicable), closed sales (as applicable), and such other information as the City may reasonably request. f. During the Covenant Period, as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters and until the close of escrow for the conveyance of the Restricted Unit to Qualified Purchasers, Developer shall use reasonable efforts to provide adequate information to assist Qualified Renters and Qualified Purchasers in locating and obtaining available forms of subsidized or assisted financing to enable Qualified Renters and Qualified Purchasers to qualify for and minimize the cost of renting or purchasing any Restricted Unit, as applicable. g. During the Covenant Period, as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters and for each proposed sale of a Restricted Unit by Developer to a Qualified Purchaser, Developer shall require the prospective renter or purchaser, as applicable, to complete and execute an application form verifying the identity of each individual person who intends to occupy the Restricted Unit and the income of the household. The application form shall be subject to the prior approval of the City Manager, which approval shall not be unreasonably withheld, conditioned, or delayed. Without limiting the foregoing, the City Manager may require that Developer's verification process require the prospective renter or purchaser to submit, without limitation, income tax returns and/or paycheck stubs to verify income. h. Over -Income Tenants. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer shall comply with the following rule: any tenant in the Restricted Unit who initially qualified as a Low Income Household, and who no longer qualifies as a Low Income Household, shall pay as rent an amount equal to 30 percent of the household income, and shall be given one (1) year to relocate from the Restricted Unit for which such tenant initially qualified. i. Upon the close of each escrow for Developer's transfer of a Restricted Unit to a Qualified Purchaser, City shall cooperate with Developer in executing and causing to be recorded an instrument terminating this Agreement such that, after the closing, Developer's obligations with respect to that Restricted Unit shall terminate and, thereafter, the rights and obligations of the City and the Qualified Purchaser (and its successors and transferees) shall be as set forth in the Agreement and Covenants Concerning Use and Resale of Residential Unit (Exhibit "B" hereto) and the City's Affordable Housing Program Documents (Exhibit "C" hereto) recorded at the closing. 4. Maintenance of the Property. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer, its successors and assigns, shall maintain the Property in the same aesthetic and sound condition (or better) as the condition of the Property at the time City issues a Release of Construction Covenants, reasonable wear and tear excepted. This standard for the quality of maintenance of the Property shall be met whether or not a specific item of maintenance is listed below. However, representative items of maintenance shall include frequent and regular inspection for graffiti or 15-5006.001 / 1352912 damage or deterioration or failure, and immediate repainting or repair or replacement of all surfaces, fencing, walls, equipment, etc., as necessary; emptying of trash receptacles and removal of litter; sweeping of public sidewalks adjacent to the Property, on -site walks and paved areas and washing -down as necessary to maintain clean surfaces; maintenance of all landscaping in a healthy and attractive condition, including trimming, fertilizing and replacing vegetation as necessary; cleaning windows on a regular basis; painting the buildings on a regular program and prior to the deterioration of the painted surfaces; conducting a roof inspection on a regular basis and maintaining the roof in a leak -free and weather -tight condition; maintaining security devices in good working order. In the event Developer, its successors or assigns fails to maintain the Improvements in accordance with the standard for the quality of maintenance, City or its designee shall have the right but not the obligation to enter the Property upon reasonable notice to Developer, correct any violation, and hold Developer, or such successors or assigns responsible for the cost thereof, and such cost, until paid, shall constitute a lien on the Property. 5. Obligation to Refrain from Discrimination. Developer covenants and agrees for itself, its successors and its assigns in interest to the Property or any part thereof, that there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land. The covenants in this Section 5 shall remain in effect in perpetuity. 6. Form of Nondiscrimination and Nonsegregation Clauses. Developer shall refrain from restricting the rental, sale or lease of the Property on the basis of sex, sexual orientation, marital status, race, color, creed, religion, ancestry or national origin of any person. All deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: a. In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m ) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." 15-5006.001 / 135291 2 b. In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision ( in ) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." C. In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land." The covenants in this Section 6 shall remain in effect in perpetuity. 7. Covenants Running with the Land. All conditions, covenants and restrictions contained in this Agreement shall be covenants running with the land, and shall, in any event, and without regard to technical classification or designation, legal or otherwise, be, to the fullest extent permitted by law and equity, binding for the benefit and in favor of, and enforceable by City, its successors and assigns, against Developer, its successors and assigns, to or of the Property or any portion thereof or any interest therein, and any party in possession or occupancy of said Property or portion thereof. City shall be deemed the beneficiary of the covenants, conditions and restrictions of this Agreement both for and in its own rights and for the purposes of protecting the interests of the community. The covenants, conditions, and restrictions shall run in favor of the City without regard to whether the City has an interest therein in the Property. 8. Permitted Mort gages. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Agreement shall defeat or render invalid or in any way impair the lien or charge of any mortgage permitted by the DA. 9. Payment of Real Estate Taxes. Developer shall pay when due all real estate taxes levied on the Property or any improvements thereon or any interest therein and refrain from appealing, challenging or contesting in any manner the validity or amount of any tax assessment, encumbrance or lien on the Property ("Imposition"); provided, however, that such prohibition shall not apply to an appeal, challenge or contesting of the erroneous initial assessment of the Project in the fiscal year of Completion. 15-5006.001 / 1352912 10. Notice and Opportunity to Cure. Prior to exercising any remedies hereunder, City shall give Developer notice of such default. If the default is reasonably capable of being cured within thirty (30) days, Developer shall have such period to effect a cure prior to exercise of remedies by City. If the default is such that it is not reasonably capable of being cured within thirty (30) days, and Developer (a) initiates corrective action within said period, and (b) diligently, continually, and in good faith works to effect a cure as soon as possible, then Developer shall have such additional time as is reasonably necessary to cure the default prior to exercise of any remedies by City, but in any event no more than one hundred and twenty days (120) days of receipt of such notice of default from the City. 11. Enforcement. If a violation of any of the covenants or provisions of this Agreement remains uncured after the respective time period set forth in Paragraph 9 above, City and its successors and assigns, without regard to whether City or its successors and assigns is an owner of any land or interest therein to which these covenants relate, may institute and prosecute any proceedings at law or in equity to abate, prevent or enjoin any such violation or attempted violation or to compel specific performance by Developer of its obligations hereunder. No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right of any party entitled to enforce the provisions hereof or to obtain relief against or recover for the continuation or repetition of such breach or violations or any similar breach or violation hereof at any later time. 12. Partial Release of Agreement. If this Agreement is initially recorded against a lot or lots comprising more than the Restricted Unit and a final tract map or condominium map or maps is (are) recorded at a later date creating the Restricted Unit as a separate legal lot, City shall cooperate with Developer, at no expense to City, in causing a partial release of this Agreement to be executed, acknowledged, and recorded against all of the lots excepting only the lot comprising the Restricted Unit. The form of said partial release shall be reasonably satisfactory to the City Attorney of City. 13. Counterparts. This Agreement may be executed in counterparts, each of which shall be an original and all of which shall constitute one and the same instrument. The signature pages of one or more counterpart copies may be removed from such counterpart copies and all attached to the same copy of this Agreement, which, with all attached signature pages, shall be deemed to be an original Agreement. REST OF PAGE NOT USED 15-5006.001 / 13 52912 14. Estoppel Certificates. City shall provide estoppel certificates from time to time, upon the request of Developer or the holder of a security interest in the Property (subject to any restrictions on Transfer in the DA). The estoppel certificates shall address any inquiries regarding the status of any provisions in this Agreement or the DA that may have expired or terminated. IN WITNESS WHEREOF, the City and Developer have executed this Agreement as of the date first set forth hereinabove. DEVELOPER: BONANNI DEVELOPMENT/JB CORPORATION, a California General Partnership Its: General Partner CITY: CITY OF HUNTINGTON BEACH A California municipal corporation APPROVED rty ttorney I MATED AND APPROVED: V� Deputy Direct?r f Business Development REVWWEY)AND APPROVED: 15-5006.001 / 1352912 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A. _a. ,a _a _a. _a..a _a .a _w _a•_a _a A. _a a �. _a _a _ . _a. _a._a..a _a � _a _a .a _a .a a ..a a _a _a w _a _a a _a .a _ v.. _w .a . A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of di� Onbefore me, No-S.ry Date Here Insert Name and Title of the Officer personally appeared Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. P�a �MAXWELLARD DAffRON # 2136139 z --m Notary Public California z i Orange County D My Comm. Expires Dec 10, 2019 I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand la sea. Signa re Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: 6n�4.. • Lo__-A-S Document Date: q h4 BIZ Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: T �..-�� �.-•...,: ❑ Corporate Officer — Title(s): 6-Partner — ❑ Limited 5<General • Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Signer's Name: ❑ Corporate Officer — Title(s): Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: ©2014 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of Orange On May 10, 2017 before me, Maxwell Edward Daffron, Notary Public, personally appeared, Kellee Fritzal who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity, and that by her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signatur "-' MAXWELL EDWARD DAFFRON Commission # 2136139 i Notary Public - California i Z Orange County My Comm. Expires Dec 10.2019 (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. ACKNOWLEDGMENT STATE OF CALIFORNIA ss COUNTY OF ORANGE On May 30, 2017 before me, P. L. Esparza, Notary Public, personally appeared Robin Estanislau and Barbara Delgleize who proved to me on the basis of satisfactory evidence to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity upon behalf of which the persons acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. (Notary Sig ature P. L. ESPARZA Commission # 2032750 Z Notary Public - California z z Orange County My Comm. Expires Aug 4, 2017 (Seal) EXHIBIT A To Agreement Containing Covenants Affecting Real Property LEGAL DESCRIPTION 15-5006.001/135287 2/PD Legal Description Real property commonly referred to as 7262 Garfield.Avenue, Huntington Beach CA, 92648 (APN 111-150-47) and further described as follows: Lots 9, 10 and 11 and the West one-half of Lot 8 in Block "B" of Garfield Street Addition to Huntington Beach, in the City of Huntington Beach, County of Orange, State of California as shown on a map recorded in Book 7, Pages 27 and 28 of Miscellaneous Maps, records of Orange County California. EXHIBIT B To Agreement Containing Covenants Affecting Real Property AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS 15-5006,001/135287 2/PD OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Space above this line for Recorder's use only AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS [LOW INCOME HOUSEHOLD] This AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS (this "Agreement") is dated for identification purposes as of November 21, 2016 and is entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation (the "City") and (list all owners) (the "Owner") upon the terms and subject to the conditions set forth herein. As used herein, the term the "Owner" shall be deemed to include: (i) the foregoing listed individual or individuals and (ii) the successors and assigns of such individual or individuals during the time the successors and/or assigns own or hold an interest in the Unit. The City and the Owner are sometimes hereinafter referred to individually as a "Party" and collectively as the "Parties." This Agreement is made with reference to the following facts: RECITALS A. WHEREAS, prior to or concurrently with the execution of this Agreement, the Owner has executed and entered into an agreement which entitles the Owner, subject to the terms and conditions thereof, to acquire a residential unit (the "Unit") in the project in the City of Huntington Beach, which unit is legally described in Exhibit "A" attached hereto and incorporated herein by this reference, at an "Affordable Housing Cost" with respect to a Low Income household whose annual household income exceeds fifty percent (50%), but does not exceed eighty percent (80%) of area median income for Orange County, adjusted for applicable household size, established and amended from time to time pursuant to Section 8 of the United States Housing Act of 1937") (the "Income Restriction Level"). "Affordable Housing Cost" shall have the meaning provided by California Health and Safety Code Section 50052.5(b) for Low Income units and shall be computed in accordance with the Community Redevelopment Law of the State of California (California Health & Safety Code Section 33000 et seq.) and the regulations promulgated pursuant thereto or incorporated therein, including, without limitation, 15-5006.001/135290 2/1'D all regulations promulgated pursuant to California Health and Safety Code Section 50093, or any successor statute; and B. WHEREAS, the City desires to ensure, for the benefit of all future residents of the Unit, and the community at large, that the Unit remains available at an Affordable Housing Cost to a household whose income does not exceed the Income Restriction Level from the date the Owner first acquires title to the Unit until , 20 (the fifty-fifth (55th) anniversary of the date the City issued a certificate of occupancy for the Unit (such period being referred to herein as the "Term"), in accordance with the terms and conditions of this Agreement. DECLARATION AND AGREEMENT NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS, WHICH ARE INCORPORATED HEREIN BY THIS REFERENCE AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS HEREBY ACKNOWLEDGED, THE PARTIES HEREBY DECLARE AND AGREE TO THE FOLLOWING: 1. WarrantofQualifications. The Owner covenants, represents and warrants that the applications and information previously submitted to the seller of the Unit by the Owner are true, complete, and not misleading, and that the Owner meets all of the following criteria: (i) During the Term, the Owner (and, if there is more than one (1) individual owner, then each such person individually) shall occupy the Unit as his or her primary residence for so long as he or she shall have an ownership interest in the Unit; (ii) The Owner does not own any other residential real property other than an existing residence being sold concurrently with the Owner's purchase of the Unit; and (iii) The household which will occupy the Unit did not during the preceding calendar year and will not during the current calendar year have a combined "gross income" (as defined in Section 6914 of Title 25 of the California Code of Regulations) in excess of the Income Restriction Level set forth above. The City agrees that future changes in income after the current calendar year shall not affect the income qualification of the Owner and that such future changes in income are not within the scope of the representation and warranty set forth above. 2. Continuing Affordability. The Owner agrees and covenants on behalf of itself and its heirs, successors and assigns, that during the Term of this Agreement, and except as expressly provided in Section 3(b): (a) neither the Unit nor any interest therein (including, without limitation, any right to use or occupy the Unit) shall be sold, granted, leased, pledged, encumbered, mortgaged, assigned or otherwise conveyed or transferred, whether voluntarily or involuntarily (any such transfer being referred to below as a "Transfer"), except at an Affordable Housing Cost (as defined by California Health and Safety Code Section 50052.5(b)(4) and determined by the City, in its good -faith discretion, based upon a reasonable down payment, but not, in any event, in 2 15-5006.001/135290 2/PD excess of twenty percent (20%) of the proposed purchase price for the Unit) to a household of the Income Restriction Level and meeting the other qualifications set forth in Section 1; and (b) the Unit shall at all times remain Owner -Occupied. For purposes of this Section 2(b), the term "Owner -Occupied" means the Unit is regularly and continuously occupied as a primary residence by the Owner and the members of the Owner's household. The Owner specifically acknowledges, covenants and agrees that any Transfer or use of the Unit in violation of Section 2(a) or 2(b), respectively, may be enjoined by the City and the City shall have the right to void any Transfer, attempted Transfer or use in violation thereof. The City acknowledges that the down payment limitation set forth in Section 2(a) is only for purposes of determining compliance with the Affordable Housing Cost requirements, and shall not be construed or understood to limit or restrict an otherwise qualifying owner from paying a permitted purchase price in cash or with a down payment in excess of twenty percent (20%). (c) Owner shall submit an annual report to the City that includes whether there was a change in ownership of the Unit from the prior year and, if so, the income and family size of the new owners. The income information required by this subsection (c) shall be supplied by Owner in a certified statement on a form provided by the City. Subordination; Exempt Transfer. (a) Subordination. Notwithstanding any other provisions hereof, the provisions of this Agreement shall be subordinate to the lien of that certain first deed of trust (the "First Deed of Trust") on the Unit, executed by the Owner, as trustor, in favor of , as trustee, for the benefit of , as beneficiary, and its assignees or successors in interest (the "First Lienholder") and recorded concurrently with this Agreement, and to any refinancing of that loan (the "Acquisition Loan") constituting an Exempt Transfer (as defined below), provided that the First Lienholder (and any successor lender refinancing the Acquisition Loan) shall agree to provide the City with written notice of any default under the First Deed of Trust (or any such successor loan) and provide the City with not less than ninety (90) days thereafter in which to cure such default before proceeding with any foreclosure or deed in lieu of foreclosure with respect to the Unit. Any notice delivered to the City under this paragraph shall be delivered in the manner specified in Section 15 for delivery of notices to the City. Upon timely cure of the default under the First Deed of Trust and the City's acquisition, at its election, of the Owner's interest in the Unit, the City shall have the right to assume the loan secured by the First Deed of Trust so long as the City maintains ownership of the Unit, and, so long as the City continues as the Owner, the First Lienholder shall not exercise any due on sale clause contained in the First Deed of Trust. (b) Exempt Transfer. Notwithstanding any other provision of this Agreement, the following Transfers of an interest in the Unit (an "Exempt Transfer") shall be exempt from the requirements of Section 2(a), provided, however, that Section 2(a) shall apply to any and all Transfers subsequent to an Exempt Transfer (other than another Exempt Transfer): 15-5006,001/135290 2/PD (i) execution of a deed of trust in favor of an institutional lender to secure repayment of a loan, the proceeds of which are used solely to repay the Acquisition Loan, or any successor loan executed in connection with refinancing of the Acquisition Loan and whose proceeds are similarly limited to the amount of the loan refinanced, provided that the lien is being created in good faith and not for the purpose in whole or in part of circumventing the Transfer restrictions contained in this Agreement; (ii) a transfer of title by an Owner, meeting all of the requirements of and otherwise in compliance with this Agreement, to a revocable living trust established by such Owner for estate planning purposes, provided that such Owner shall continue occupancy of the Unit notwithstanding such Transfer, that advance written notice of such Transfer shall be given to the City, and that any further Transfer of the Unit by the trust shall be subject to and in accordance with the requirements of this Agreement; and (iii) a transfer of title or an interest therein occurring by will, bequest, or inheritance upon the death of an Owner or a transfer of title or an interest therein as a result of a conservatorship or similar event based upon the mental or physical incapacity of an Owner. 4. Transfer Review. During the Term of this Agreement, no Owner shall cause or permit a Transfer of the Unit or of an interest therein to occur without prior written confirmation from the City that the City has determined that the proposed Transfer will meet the criteria specified in Section 2 or constitutes an Exempt Transfer under Section 3(b). The City shall not be obligated to approve a Transfer until and unless the propose transferee has submitted to the City such information and completed such forms and certifications as the City shall request in connection with insuring compliance with this Agreement, which may include, but shall not be limited to, certifications as to the proposed transferee's intent with respect to its residency of the Unit, its gross income, the proposed purchase price, the proposed transferee's agreement to abide by the terms and conditions of this Agreement, disclosure of the proposed transferee's interest, if any, in other residential property, the composition of the members of the proposed transferee's household, and a "Purchaser Disclosure and Acknowledgment" form in the same form as executed by the proposed transferee's predecessor in interest. In addition, prior to conveyance of the Unit at any time during the Term and as a condition to the effectiveness thereof, each proposed purchaser shall, if requested by the City, submit to the City an executed disclosure statement which certifies that the purchaser is aware that the purchaser may only sell the Unit at an Affordable Housing Cost to a household of the Income Restriction Level, that the maximum permitted sales price may be less than the fair market value, and that at all times during the Term the Unit must remain Owner -Occupied and cannot be rented or leased. Each Owner shall cooperate with the City in providing such forms to proposed purchasers, and acknowledges and agrees that its right to Transfer the Unit during the Term is subject to and conditioned upon its compliance with the requirements of the City applicable to implementation of the foregoing provisions. THE OWNER AND EACH SUCCESSOR, HEIR OR ASSIGN OF THE OWNER UNDERSTANDS THAT THE DETERMINATION OF AFFORDABLE HOUSING COST CAN BE MADE ONLY AT THE TIME OF THE PROPOSED TRANSFER, TAKING INTO CONSIDERATION INTEREST RATES, CHANGES IN COUNTYWIDE MEDIAN INCOME, 15-5006.001/135290 2/PD THE TERMS OFFERED TO AND THE ECONOMIC CIRCUMSTANCES OF THE PROPOSED PURCHASER AND OTHER FACTORS THAT CANNOT BE ACCURATELY PREDICTED, AND THAT THE TRANSFER PRICE PERMITTED HEREUNDER MAY BE LESS THAN THE FAIR MARKET VALUE OF THE UNIT AND MAY NOT INCREASE OR DECREASE IN THE SAME MANNER AS OTHER SIMILAR REAL PROPERTY WHICH IS NOT ENCUMBERED BY TRANSFER RESTRICTIONS. THE OWNER AND EACH SUCCESSOR, HEIR OR ASSIGN OF THE OWNER FURTHER ACKNOWLEDGES THAT AT ALL TIMES. IN SETTING THE TRANSFER PRICE THE PRIMARY OBJECTIVE OF THE CITY AND THIS AGREEMENT IS TO PROVIDE HOUSING TO LOW-INCOME HOUSEHOLDS AT AN AFFORDABLE HOUSING COST. 5. Nondiscrimination. The Owner covenants by and for itself, its successors and assigns and all persons claiming under or through them that there shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Unit, nor shall the Owner itself or any person claiming under or through the Owner establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Unit or any portion thereof. The Owner, its successors and assigns, shall refrain from restricting the sale of the Unit on the basis of the race, color, creed, religion, sex, marital status, national origin or ancestry of any person. All deeds, leases or contracts with respect to the Unit shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (i) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." (ii) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him 15-5006,001/135290 2/PU or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." (iii) In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, .or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land." Nothing in this Section 5 shall be construed to authorize a Transfer of the Unit if such sale, rental, lease, assignment, encumbrance or other Transfer is not otherwise permitted by this Agreement. The covenants in this Section 5 shall remain in effect in perpetuity. 6. Remedies; Attorneys' Fees and Costs. Breach of the covenants contained in this Agreement may be enjoined, abated or remedied by appropriate legal proceeding. If the City incurs any attorneys' fees, court costs or any other costs or expenses in investigating compliance with or enforcing this Agreement or investigating or defending claims brought by the Owner under this Agreement, then the City shall be entitled to recover any such fees, costs and expenses from the Owner. 7. Rights of the City. The City has the right, but not the obligation, to enforce all of the provisions of this Agreement. Any amendment to this Agreement shall require the written consent of the City. 8. Notice of Inspection. The Owner agrees and acknowledges that the City and its employees and agents shall have the right to enter upon the Unit during normal business hours (Monday through Friday, between 9:00 a.m. and 5:00 p.m.) to ensure compliance with this Agreement and other applicable federal, state and local laws and regulations. The City agrees to notify the Owner not less than twenty-four (24) hours prior to the City's proposed time of inspection of the Unit, and agrees to attempt to obtain the Owner's consent to the timing of such inspection. Upon receipt of such notice, the Owner agrees to cooperate with the City in making the Unit available for inspection by the City. The Owner agrees to cooperate with the City and provide the City with such information regarding occupancy of the Unit as the City may request in writing from time to time, in order to enable the City to monitor the Owner's compliance with the occupancy restrictions set forth in Section 2(a) and (b) of this Agreement. 9. Construction. The provisions of this Agreement shall be liberally construed for the purpose of maintaining the availability and affordability of the Unit to persons meeting the criteria set forth in Sections 1 and 2. 6 15-5006.001/135290 2/PD 10. Cure Rights. The Owner shall notify the City in writing within three (3) days after receiving any notice of default, delinquency or foreclosure with respect to any lien or agreement (including, without limitation, any defaults under the covenants, conditions and restrictions applicable to the condominium development of which the Unit is a part or any default under the Acquisition Loan) which could potentially affect the Owner's right, title and interest in the Unit. The City shall have the option, but not the obligation, to advance any sums due or take any other actions necessary to stay or cure the default, delinquency or foreclosure, and the City shall thereafter be entitled to recover immediately from the Owner and the Owner shall immediately pay to the City any payments, costs and expenses incurred in connection with the stay and/or cure, including, without limitation, attorneys' fees and court costs, together with interest thereon at the rate of ten percent (10%) per annum from the date advanced or incurred until the date repaid. 11. Transfer Voidable If Procedure Not Followed. Any Transfer of the Unit by the Owner without full compliance with the terms and procedures set forth above and in the Right of First Refusal executed in connection herewith shall be voidable by the City at the City's election in its sole, absolute and unfettered discretion. 12. Recordation. The Parties shall cause this Agreement to be recorded in the official records of Orange County, California. 13. Covenants For Benefit of the City. All covenants without regard to technical classification or designation shall be binding for the benefit of the City and such covenants shall run in favor of the City without regard to whether the City is or remains an owner of any land or interest therein to which such covenants relate. The City, in the event of any breach of any such covenants, shall have the right to exercise all the rights and remedies and to maintain any actions at law or suits in equity or other proper legal proceedings to enforce and to cure such breach to which it or any other beneficiaries of these covenants may be entitled during the term specified for such covenants. 14. Remedies Cumulative. The remedies herein provided for breach of the covenants contained in this Agreement shall be deemed cumulative, and none of such remedies shall be deemed exclusive. The Parties acknowledge that the City's rights under this Agreement are in addition to, rather than in lieu of, other rights and remedies of the City provided in the Right of First Refusal executed in connection herewith and other project documents. 15. Obligations Secured by Lien. (a) Creation and Release of Lien. All sums due from the Owner under the provisions of this Agreement shall constitute a lien on the Unit. The lien shall become effective upon recordation by the City or the City's authorized agent of a notice of lien ("Notice of Lien") concerning nonpayment of any sum due hereunder. The Notice of Lien shall state (i) the amount due, which amount shall include interest at the rate of ten percent (10%) from the date due to the date paid, and shall also include the cost of preparing and recording the Notice of Lien, (ii) the expenses of collection in connection with any nonpayment, including, without limitation, reasonable attorneys' fees, (iii) a description of the Unit, (iv) the name and address of the City, 15-5006.001/135290 2/PD (v) the name of the Owner and (vi) in order for the lien to be enforced by nonjudicial foreclosure, the name and address of the trustee authorized by the City to enforce the lien by sale. The lien shall relate only to the individual Unit and not to the condominium project as a whole. Upon payment to the City of the full amount claimed in the Notice of Lien, or other satisfaction thereof, the City shall cause to be recorded a notice of Satisfaction and Release of Lien ("Notice of Release") stating the satisfaction and release of the amount claimed. The City may demand and receive from the Owner a reasonable charge for the preparation and recordation of the Notice of Release before recording it. Any purchaser or encumbrancer who has acted in good faith and extended value may rely upon the Notice of Release as conclusive evidence of the full satisfaction of the sums stated in the Notice of Lien. (b) Enforcement of Liens. The lien established pursuant to this Section 15 may be enforced by sale of the Unit by the City, the City's attorneys, any title insurance company authorized to do business in California, or other persons authorized to conduct the sale as a trustee, after failure of the Owner to pay any sum due in accordance with this Agreement within thirty (30) days after recordation of the Notice of Lien. The sale shall be conducted in accordance with the provisions of the California Civil Code applicable to the exercise of powers of sale in mortgages and deeds of trust, or in any other manner permitted by law. The City, through its agents, shall have the power to bid on the Unit at the foreclosure sale, and to acquire and hold, lease, mortgage and convey the same. Upon completion of the foreclosure sale, an action may be brought by the City or the purchaser at the sale in order to secure occupancy of the Unit, and the Owner shall be required to pay the reasonable rental value for the Unit during any period of continued occupancy by the Owner or any persons claiming under the Owner. Suit to recover a money judgment for any amounts due under this Agreement shall be maintainable without foreclosing or waiving any lien securing the same, but this provision or any institution of suit to recover a money judgment shall not constitute an affirmation of the adequacy of money damages. Any recovery resulting from a suit at law or in equity initiated pursuant to this Section 15 shall include reasonable attorneys' fees as fixed by the court. 16. Notices. All notices required or permitted hereunder shall be delivered in person or by overnight courier, or by registered or certified mail, postage prepaid, return receipt requested to such Party at its address shown below, or to any other place designated in writing by such Party. If to the Owner: Unit Huntington Beach, California If to the City: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Any such notice shall be deemed received upon delivery, if delivered personally, one (1) business day after delivery to an overnight courier, if delivered by overnight courier, and three 15-5006.001/135290 2/PD (3) business days after deposit into the United States Mail, if delivered by registered or certified mail. 17. No Waiver. Failure by the City to enforce or delay by the City in enforcing any right or remedy with respect to this Agreement shall not bar or limit any subsequent enforcement of the same or any other right or remedy with respect to the same subject matter or a different subject matter. Rights and remedies of the City under this Agreement may be waived or modified only by a written instrument signed by the City which states an express intention to waive or modify such rights and remedies. 18. Incorporation of Exhibit. Exhibit "A" attached to this Agreement is hereby incorporated into this Agreement by this reference as though fully set forth herein. 19. Further Assurances. The Owner shall from time to time provide the City with such further information and shall execute such further documentation and agreements as may be reasonably necessary or appropriate to carry out the purposes of this Agreement. 20. Joint and Several Obligations. If at any time the Unit is owned by more than one (1) individual, then all of the multiple owners shall be jointly and severally liable for the obligations imposed by this Agreement. REST OF PAGE INTENTIONALLY LEFT BLANK 9 15-5006.001/135290 2/PD 21. Severability. If any provision or clause of this Agreement conflicts with applicable law, or is otherwise rendered unenforceable or ineffectual, then the validity of the remaining parts, terms, portions or provisions, or the application thereof to other persons or circumstances, shall be deemed severable and the same shall remain enforceable and valid to the fullest extent permitted by law. IN WITNESS WHEREOF, the City and Owner have executed this Agreement as of the date first set forth hereinabove. OWNER: Name: Name: 10 CITY: CITY OF HUNTINGTON BEACH A California municipal corporation Mayor City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager 15-5006.001/135290 2/1'D EXHIBIT A To Agreement and Covenant Concerning Use and Resale of Residential Units [Low Income Household] LEGAL DESCRIPTION 15-5006.001 / 1352912 LEGAL DESCRIPTION (to be inserted) 15-5006.001 / 1352912 EXHIBIT C To Agreement Containing Covenants Affecting Real Property SAMPLES OF AFFORDABLE HOUSING PROGRAM DOCUMENTS 15-5006.001/135290 2/PD PROMISSORY NOTE TO SECURE AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY (7762 Garfield Avenue) THIS PROMISSORY NOTE (the "Note") is dated this day of , , between ("Promissor") and the City of Huntington Beach ("City") with reference to the following facts: A. This Promissory Note is made in reference to that property in the City of Huntington Beach, County of Orange, State of California, with the street address 7762 Garfield Avenue, Huntington Beach, California 92648, and the Assessor's Parcel No. (the "Property"). B. An "Agreement and Covenant Concerning Use and Resale of Residential Units [Low Income Household]" was recorded on as Instrument Number in the Office of the County Recorder of the County of Orange, California (the "Resale Restrictions"). Among other things, the Resale Restrictions limit the price that the Property may be sold to an "Affordable Housing Cost" to "Low Income Households," as those terms are defined in the Resale Restrictions, and further defined in the current Affordable Housing Regulations of the City of Huntington Beach and the City Deed of Trust referred to below. C. Concurrently with executing this Note, Promissor has executed a Deed of Trust securing and modifying the Resale Restrictions (the "City Deed of Trust"). D. Pursuant to the Resale Restrictions, the City has approved the sale of the Property to Promissor at an Affordable Housing Cost. To insure that any further sale, transfer or assignment of the Property occurs with the City's approval and at an Affordable Housing Cost, the City has required as a condition of the Promissor's purchase of the Property that Promissor execute this Note. AGREEMENT NOW, THEREFORE, the parties agree as follows: 1. Incorporation of Recitals. The recitals set forth above are incorporated by reference as though fully set forth herein. 2. Amount of the Note. The Amount of this Note is the "Transfer Price" of the Property, less the "Affordable Housing Cost." The Transfer Price shall be determined according to the circumstances that cause the Amount of the Note to become due pursuant to Section 3 of this Note. In the case of the sale of the Property without the City's consent, the Transfer Price shall be the market sales price. In the case of the financing or refinancing of the Property without the City's consent, the Transfer Price shall be the loan amount in excess of the last loan balance on the First Mortgage that the 15-5006.001/146506 2/PD City previously approved. In all other cases, the Transfer Price shall be the fair market value of the Property as established by the Deputy Director of Economic Development of the City pursuant to an appraisal. The term "Affordable Housing Cost" shall be defined according to the current Affordable Housing Regulations as adopted by the City of Huntington Beach. Promissor promises to pay the Amount of this Note when due to the City at 2000 Main Street, P.O. Box 190, Huntington Beach, California 92648, or at such other address as City may direct from time to time in writing. All sums hereunder shall be payable in lawful money of the United States of America and all sums shall be credited first to interest then due and the balance to principal. 3. Due on Sale, Transfer or Refinancing. Promissor agrees to notify the City not less than thirty (30) days prior to (i) the sale or transfer of the Property or (ii) any financing or refinancing of the Property. This Note shall be due and payable upon (i) such sale or transfer without the City's consent, (ii) the financing or refinancing of the Property without the City's consent, (ill) Promissor is no longer an occupant of the Property, or (iv) Promissor is in material default of any other obligation under the Resale Restrictions, or the City Deed of Trust. 4. Expiration of the Note Obli ation. In the event Promissor does not sell or transfer the Property, does not fail to occupy the Property, does not refinance, or is not in material breach of any other provision of the Resale Restrictions or the City Deed of Trust before the Sixtieth anniversary of the date of this Note, Promissor shall have no obligation to pay the Note Amount to City upon later sale, transfer or refinancing of the Property. 5. Default. The entire unpaid Amount of this Note shall be due and payable in full in the event of a default. a. Events of Default. The following shall be deemed to be an event of default: i. Failure of Promissor to pay any real property taxes or insurance premiums on the Property as they become due; or ii. Any material breach of the Resale Restrictions or the City Deed of Trust, following the City giving notice of the breach and an opportunity to cure; or iii. Failure of Promissor to pay the Note Amount when due. 6. This Note is secured by a Deed of Trust, dated , to , as Trustee, executed by Promissor in favor of the City. 7. Notice. All payments, notices, consents, waivers and other communications under this Agreement must be in writing and shall be deemed to have 15-5006.001/146506 2/PD 2 been given when (a) delivered by hand, or, (b) when received by the addressee, if sent by a nationally recognized overnight delivery service (receipt requested), in each case addressed as set forth below: If to PROMISSOR: Huntington Beach, CA 92648 If to CITY: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attention: City Manager 8. Governing Law. This Agreement is governed by and shall be construed in accordance with the laws of the State of California without giving effect to the conflict of laws principles thereof. The parties agree to personal jurisdiction in the State Courts in Orange County, California and specifically waive any claims of forum non conviens. 9. Modification. This Agreement shall not be amended or modified, except in writing, signed by both parties. 10. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the successors and assigns under this Note. This Note shall not be assigned without the express written consent of City. PROMISSOR Dated: CITY OF HUNTINGTON BEACH City Manager APPROVED AS TO FORM: OFFICE OF HUNTINGTON BEACH CITY ATTORNEY Dated: City Attorney 15-5006.001/146506 2/PD 3 OFFICIAL BUSINESS Document entitled to free recording per Government Code Sections 6103 and 27383 Recording Requested By: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: Business Development Dept./Housing Div. SPACE ABOVE THIS LINE FOR RECORDER'S USE DEED OF TRUST WITH ASSIGNMENTS OF RENTS TO SECURE AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY (7762 Garfield Avenue) THIS DEED OF TRUST is made this day of , by and between , whose address is 7762 Garfield Avenue, Unit , Huntington Beach, California 92648 (the "Trustor") and the CITY OF HUNTINGTON BEACH, a municipal corporation (the `Beneficiary") and ("Trustee"), whose address is with reference to the following facts: A. This Deed of Trust is made in reference to that property in the City of Huntington Beach, County of Orange, State of California, described legally in the Legal Description attached hereto as Exhibit "A" and incorporated herein with the street address Assessor's Parcel No. _, Huntington Beach, California 92648 and the (the "Property"). B. An "Agreement and Covenant Concerning Use and Resale of Residential Units [Low Income Household]" was recorded on , as Instrument Number , in the Office of the County Recorder of the County of Orange, California (the "Resale Restrictions"). Among other things, the Resale Restrictions limit the price that the Property may be sold to an "Affordable Housing Cost" to "Low Income Households," as those terms are defined in the Resale Restrictions, and further defined in the current affordable housing regulations of the City of Huntington Beach and this Deed of Trust. C. Pursuant to this Deed of Trust, the Resale Restrictions as applied to the Property are set to expire on or about , 20 NOW, THEREFORE, TRUSTOR HEREBY irrevocably grants, transfers and assigns, to Trustee, in trust, with power of sale of the Property, together with (a) all buildings, improvements and fixtures, now or hereafter placed thereon, it being understood and agreed that all classes of property attached or unattached used in connection herewith shall be deemed fixtures, (b) rents, issues and profits thereof, (c) any water rights and/or stock are appurtenant or pertain to said land, and (d) all sums of money payable on the purchase price of the Property secured by a lien thereon or payable under any agreement for the sale thereof, SUBJECT, 15-5006,001/146518 2/PD HOWEVER, to the right, power and authority hereinafter given to and conferred upon Beneficiary to collect and apply such rents, issues and profits, and all sums of money payable on the purchase price of the Property secured by a lien thereon or payable under any agreement. A. FOR THE PURPOSE OF SECURING: 1. Payment of the indebtedness evidenced by a promissory note executed by Trustor on (the "Note"). The Amount of the indebtedness is the "Transfer Price" of the Property, less the "Affordable Housing Cost." The calculation of the Amount of the indebtedness is set forth with specificity in the Note, which is on file with the Economic Development Department of the City of Huntington Beach. 2. Performance of each and every obligation, covenant, promise and agreement of the Resale Restrictions, as amended by this Deed of Trust. B. TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR AGREES: 1. Trustor agrees for itself, and its successors and assigns, and every successor to Trustor's interest in the Property, or any part thereof that until , 20 (the "Expiration Date"), to perform all obligations due under the Resale Restrictions, as those obligations are restated and modified as set forth below: (a) The Property shall only be owned and occupied by persons or families of "Low Income." "Low Income" shall mean persons or families earning eighty percent (80%) or less of Orange County median income, adjusted for appropriate family size. (b) The Property may only be sold at an "Affordable Housing Cost" to households of "Low Income," as those terms are defined in current Affordable Housing Regulations as adopted by the City of Huntington Beach. Generally, those Regulations define Affordable Housing Cost to mean that purchase price which would result in monthly housing payments which do not exceed Thirty -Five Percent (35%) of Eighty Percent (80%) of the current Orange County monthly median income for a household equal to the number of bedrooms in the unit plus one (1) person. In determining monthly housing payments, the City will assume principal and interest payments on a conventional home mortgage after paying a ten percent (10%) down payment. The mortgage interest rate will be the prevailing Fannie Mae thirty (30) year mortgage rate, or a City -selected equivalent. Monthly housing costs will also include homeowner's association dues, utilities, homeowner's insurance, maintenance costs and property taxes. (c) The Trustor shall further comply with the Affordable Housing Guidelines promulgated by the City for purposes of administering the Affordable Housing Program of the City of Huntington Beach. (d) No transfer of the Property shall occur until the City of Huntington Beach determines (a) that the proposed purchaser intends to occupy the Property as the proposed purchaser's principal residence, (b) that the proposed purchaser is a person or family of Moderate Income, (c) that the proposed transfer occurs at an Affordable Housing Cost. The City of 2 15-5006.001/146518 2/PD Huntington Beach shall not be obligated to approve a transfer until and unless the proposed purchaser has submitted to the City of Huntington Beach such information and completed such forms as the City of Huntington Beach shall request to certify the proposed purchaser's intent with respect to its residency of the Property and its gross income, and the proposed purchaser has submitted an affidavit disclosing and certifying the amount of the proposed purchase price. Prior to conveyance of the Property, each approved purchaser shall submit to the City of Huntington Beach an executed disclosure statement which certifies that the purchaser is aware that the purchaser may only sell the unit at an Affordable Housing Cost to a Moderate Income person or family, that the maximum permitted sales price may be less than fair market value and that the unit must be owner -occupied at all times and cannot be rented or leased. TRUSTOR AND EACH SUCCESSOR, HEIR OR ASSIGN OF TRUSTOR UNDERSTANDS THAT THE DETERMINATION OF THE AFFORDABLE HOUSING COST CAN BE MADE ONLY AT THE TIME OF THE PROPOSED TRANSFER, TAKING INTO CONSIDERATION INTEREST RATES, THE TERMS OF SALE OFFERED TO AND THE ECONOMIC CIRCUMSTANCES OF THE PROPOSED PURCHASER AND OTHER FACTORS THAT CANNOT BE ACCURATELY PREDICTED, AND THAT THE TRANSFER PRICE PERMITTED HEREUNDER MAY BE LESS THAN THE FAIR MARKET VALUE OF THE PROPERTY AND MAY NOT INCREASE OR DECREASE IN THE SAME MANNER AS OTHER SIMILAR REAL PROPERTY WHICH IS NOT ENCUMBERED BY THIS RESTRICTION. TRUSTOR AND EACH SUCCESSOR, HEIR OR ASSIGN OF TRUSTOR FURTHER ACKNOWLEDGES THAT AT ALL TIMES IN SETTING THE TRANSFER PRICE THE PRIMARY OBJECTIVE OF THE BENEFICIARY AND THIS DEED OF TRUST IS TO PROVIDE HOUSING TO ELIGIBLE PERSONS OR FAMILIES AT AN AFFORDABLE HOUSING COST. Trustor Initials Trustor Initials (e) The City of Huntington Beach may impose any conditions on the approval of any transfer of the Property as it determines are reasonably necessary for the effective administration of its Affordable Housing Program. Such conditions may include, but are not limited to, requiring as a condition of the Property transfer that the buyer agrees to extend the Resale Restrictions for a new, fifty-five (55) year term. (f) The Covenants contained in this Section I shall run with the land and shall automatically terminate and be of no further force or effect , 20 2. Trustor covenants by and for itself, its successors and assigns, and all persons claiming under or through them that there shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the said property, nor shall Trustor itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, 15-5006.001/146518 2/PD location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in said property. Trustor and its successors and assigns, shall refrain from restricting the rental or lease (if permitted by Trustor) or sale of said property on the basis of race, color, religion, sex, marital status, national origin or ancestry of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (a) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee or vendees in the land herein conveyed. The foregoing covenants shall run with the land." (b) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: "There shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, marital status, ancestry or national origin in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under to through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the premises herein leased." (c) In contracts: "There shall be no discrimination against or segregation of, any person, or group of persons on account of race, color, religion, sex, marital status, ancestry or national origin, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the transferee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee or vendees of the premises." Nothing in this Section 2 shall be construed to authorize the rental or lease of the Property if such rental or lease is not otherwise permitted. The covenants in this paragraph shall run with the land in perpetuity. 3. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Deed of Trust shall defeat or render invalid or in any way impair the lien or charge of any mortgage or deed of trust or security interest. 4 15-5006.001/146518 2/PD 4. Trustor has made certain representations and disclosures as a requirement under the Resale Restrictions in order to induce Beneficiary to approve the sale of the Property to Trustor. In the event that Trustor has made any material misrepresentation or failed to disclose any material fact regarding said transaction, Beneficiary at its option and without notice, shall have the right to declare a material breach of the Resale Restrictions and the Note. Beneficiary may make a written declaration of default and demand for sale as in paragraph No. 6 herein set forth. Trustee, upon presentation to it of an affidavit signed by Beneficiary setting forth facts showing a default by Trustor under this paragraph, is authorized to accept as true and conclusive all facts and statements therein, and to act thereon hereunder. 5. All covenants without regard to technical classification or designation shall be binding for the benefit of the Beneficiary and such covenants shall run in favor of the Beneficiary for the entire period during which such covenants shall be in force and effect, without regard to whether the Beneficiary is or remains an owner of any land or interest therein to which such covenants relate. The Beneficiary, in the event of any breach of any such covenants, shall have the right to exercise all the rights and remedies and to maintain any action at law or suits in equity or other proper legal proceedings to enforce and to cure such breach to which it or any other beneficiaries of these covenants may be entitled during the term specified for such covenants, except the covenants against discrimination which may be enforced at law or in equity at any time in perpetuity. 6. Upon default by Trustor in the obligations of the Note, in the performance of any obligation under this Deed of Trust or under the terms of any First Lender's Deed of Trust which is or appears to be prior or superior to this Deed of Trust, Beneficiary may declare all sums secured by this Deed of Trust immediately due and payable by delivering to Trustee of a written declaration of default and demand for sale and a written notice of default and election to sell the Property. Default in the payment of any indebtedness secured by this Deed of Trust, in the obligation of the Note, or in the performance of any agreement under this Deed of Trust constitutes a default only under this Deed of Trust and the Note and does not constitute a default under the First Deed of Trust. Trustee shall cause the notice of default to be recorded. Beneficiary also shall deposit with Trustee this Deed of Trust, the Note, and all documents evidencing any additional expenditures secured by this Deed of Trust. After the lapse of such time as then may be required by law following recordation of such notice of default, and notice of sale having been given as then required by law, Trustee, without demand on Trustor, shall sell the Property at the time and place fixed by it in such notice of sale, whether as a whole or in separate parcels, and in such order as it may determine, at public auction to the highest bidder qualified under the Resale Restrictions and this Deed of Trust in lawful money of the United States, payable at time of sale. Trustee may postpone sale of all or any portion of the Property by public announcement at such time and place of sale, and from time to time thereafter may postpone such sale by public announcement at the time fixed by the preceding postponement. Trustee shall deliver to such purchaser its Deed conveying the Property so sold, but without any covenant or warranty, express or implied. The recital in such Deed of any matters of fact shall be conclusive of the truthfulness thereof. Any person, including Trustor, Trustee, or Beneficiary as hereinafter defined, may purchase at such sale. Trustee may also sell at any such sale and as part thereof any shares of corporate stock securing the obligations secured hereby, and Trustor waives demand and notice of such sale. (Beneficiary at its option may also foreclose on such shares by independent pledge sale, and Trustor waives demand and notice of such sale.) After deducting all costs, fees 15-5006.001 / 146518 2/PD and expenses of Trustee, and of this Trust, including cost of evidence of title in connection with this sale, Trustee shall apply the proceeds of sale to payment, first; all sums expended under the terms hereof, not then repaid, with accrued interest at the rate then payable under the First Lender Deed of Trust secured hereby, and then of all other sums secured hereby, and, if there are any proceeds remaining, shall distribute them to the person or persons legally entitled thereto. 7. Trustor shall keep the Property in good condition and repair; to allow Beneficiary or its representatives to enter and inspect the Property at all reasonable times and access thereto, shall be permitted for that purpose; not to remove or demolish any building thereon; not to make alterations thereto without the consent of the Beneficiary; to suffer or permit no change in the general nature of the occupancy of the Property without Beneficiary's written consent; to complete or restore promptly and in good workmanlike manner any building which may be constructed, damaged or destroyed thereon, including, without restricting the generality of the foregoing, damage from termites and dry -rot; to pay when due all claims for labor performed and materials furnished in connection with the Property and not to permit any mechanic's lien against the Property; to comply with all laws affecting the Property or requiring any alterations or improvements to be made thereon; not to initiate or acquiesce in any zoning reclassification without Beneficiary's written consent; not to commit or permit waste thereon; not to commit, suffer or permit any act upon the Property in violation of the law; to paint, cultivate, irrigate, fertilize, fumigate, prune, and do all other acts that from the character or use of the Property may be reasonably necessary; and to promptly pay all amounts due others upon agreements_ of lease or conditional sale of all fixtures, furnishings and equipment located thereon. 8. Trustor shall provide, and maintain in force at all times with respect to the Property, fire and other types of insurance as may be required by Beneficiary. All of such insurance shall have a loss payable endorsement in favor of Beneficiary, shall be for a term and in form, content, amount and in such companies as may be satisfactory to Beneficiary, and the policies therefore shall be delivered to and remain in possession of Beneficiary as further security for the faithful performance of these trusts. At least thirty (30) days prior to the expiration of any such insurance policy, a policy or policies renewing or extending such expiring insurance shall be delivered to Beneficiary together with written evidence showing payment of the premium therefore and, in the event any such insurance policy and evidence of the payment of the premium therefore are not so delivered by Trustor to Beneficiary, Trustor by executing this Deed of Trust specifically requests Beneficiary to obtain such insurance and Beneficiary, without obligation to do so, without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may obtain such insurance through or from any insurance agency or company acceptable to it, pay the premium thereof, and may add the amount thereof to the indebtedness secured hereby, which amount shall bear a like rate of interest. Beneficiary may furnish to any insurance agency or company, or any other person, any information contained in or extracted from any insurance policy delivered to Beneficiary pursuant hereto and any information concerning the loan secured hereby. Neither Trustee nor Beneficiary shall be responsible for such insurance or for the collection of any insurance monies, or for any insolvency of any insurer or insurance underwriter. In case of insurance loss, Beneficiary is hereby authorized either (a) to settle and adjust any claim under the insurance policies provided for in this document without the consent of the Trustor, or (b) to allow Trustor to agree with the insurance company or companies on the amount to be paid upon the loss. In either case, the Beneficiary is authorized to collect and make receipt of any such insurance money. If Trustor is obligated to restore or replace the damaged or 3 15-5006.001/146518 2/PD destroyed buildings or improvements under the terms of any lease or leases which are or may be prior to the lien of this Deed of Trust and such damage or destruction does not result in cancellation or termination of such lease, such proceeds, after deducting therefrom any expenses incurred in the collection thereof, shall be used to reimburse the Trustor for the cost of rebuilding or restoring the buildings or improvements on said premises. In all other cases, such insurance proceeds shall either be applied for the cost of the rebuilding or restoring the buildings or improvements on said premises. Such buildings and improvements shall be so restored or rebuilt as to be of at least equal value and substantially the same character as prior to the damage or destruction, and shall be in a condition satisfactory to Beneficiary. Such application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice. Any and all unexpired insurance shall inure to the benefit of, and pass to the purchaser of, the property conveyed at any Trustee sale held hereunder. 9. Trustor shall pay: (a) at least ten (10) days before delinquency, all general and special City and County taxes, and all assessments on appurtenant water stock, affecting the Property, (b) when done, all special assessments for public improvements, without permitting any improvement bond to issue for any special assessment, (c) when done, all encumbrances, charges and lines, with interest, on the Property, or any part thereof, which are or appears to be prior to superior hereto, (d) if the security of this Deed of Trust is leasehold estate, to make any payment or do any act required of the Lessee or its successor in interest under the terms of the instrument or instruments creating said leasehold, (e) all costs, fees and expenses of this trust, (f) for any statement regarding the obligation secured hereby any amount demanded by Beneficiary not to exceed the maximum allowed by law thereof at the time when such request is made, (g) such other charges for services rendered by Beneficiary and furnished at Trustor's request or that of any successor in interest to Trustor as the Beneficiary may deem reasonable. 10. Should Trustor fail to make any payment or do any act as provided in this Deed of Trust, the Beneficiary or Trustee, but without obligation to do so and without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may (a) make or do the same in such manner and to such extent as either may deem necessary to protect the security hereof, Beneficiary or Trustee being authorized to enter upon the Property for such purposes, (b) commence, appear in, or defend any action or proceeding purporting to affect the security hereof or the property covered by this Deed of Trust, or the rights or powers of Beneficiary or Trustee, (c) pay, purchase, contest or compromise any encumbrance, charge or lien, which in the judgment of either is or appears to be prior or superior hereto, and (d) in exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable fees. Trustor agrees to repay any amount so expended on demand of Beneficiary, and any amount so expended may be added by Beneficiary to the indebtedness secured hereby and shall bear a like rate of interest. 11. Trustor shall appear in and defend any action or proceeding purporting to affect the security hereof or the Property which is covered by this Deed of Trust, or the rights or powers of Beneficiary or Trustee, and whether or not Trustor so appears or defends, to pay all costs and expenses, including cost of evidence of title and attorney's fees in a reasonable sum, in any such action or proceeding in which Beneficiary or Trustee may appear by virtue of being made a party defendant or otherwise irrespective of whether the interest of Beneficiary or Trustee in the 7 15-5006.001/146518 2/1-'D Property is directly questioned by such action, including any action for the condemnation or partition of said premises, and in any suit brought by Beneficiary to foreclose this Deed of Trust. 12. Trustor shall pay immediately and without demand, all sums expended under the terms of this Deed of Trust by Beneficiary or Trustee, with interest from the date of expenditure at the rate which the principal obligation secured hereby bears at the time such payment is made, and the repayment of such sums shall be secured hereby. 13. Should Trustor or any successor in interest to Trustor in the Property drill or extract, or enter into a lease for drilling or extraction of oil, gas or other hydrocarbon substances or any mineral of any kind or character, or sell, convey, further encumber, or alienate the Property, or any party thereof, or any interest therein, or be divested of his title or any interest therein in any manner or way, whether voluntarily or involuntarily, Beneficiary shall have the right, at its option, to declare any obligations secured hereby irrespective of the maturity date specified in any Note evidencing the same, immediately due and payable, and no waiver of this right shall be effective unless in writing. 14. Any award, settlement or damages for injury or damages to the Property, or in construction with the transaction financed by such loan, and any award of damages in connection with any condemnation for public use of or injury to the Property, or any part thereof, is hereby assigned and shall be paid to Beneficiary, who may apply or release such monies received by it in such manner and with the same effect as above provided for the disposition of proceeds of fire or other insurance. 15. By accepting payment of any sums secured by this Deed of Trust after its due date, or by making any payment, performing any act on behalf of Trustor, that Trustor was obligated hereunder, but failed, to make, or perform, or by adding any payment so made by Beneficiary to the indebtedness secured hereby, Beneficiary does not waive its right either to require prompt payment when due of all other sums so secured or to declare a default for failure so to pay. 16. At any time, or from time to time, without liability of the Beneficiary or Trustee thereof, and without notice, upon written request of Beneficiary and presentation of this Deed of Trust and the Note secured hereby for endorsement, and without affecting the personal liability of any person for payment of the indebtedness secured hereby, or the lien of the Deed of Trust upon the remainder of the Property for the full amount of the indebtedness then or thereafter secured hereby, or the rights or powers of Beneficiary or the Trustee with respect to the remainder of the Property, Trustee may: (a) reconvey any part of the Property, (b) consent to the making of any map or plat thereof, (c) join in granting any easement thereon, (d) join in any agreement subordinating the lien or charge hereof. 17. The lien hereof shall remain in full force and effect during any postponement or extension of time of payment of the indebtedness secured hereby, or any part thereof. 18. As additional security, Trustor irrevocably assigns to Beneficiary the rents, issues, and profits of the Property for the purposes and upon the terms and conditions set forth below. This assignment shall not impose upon Beneficiary any duty to produce rents from the 15-5006.001/146518 2/PD property affected by this Deed of Trust, or cause Authority to be (a) "mortgages in possession" for any purpose; (b) responsible for performing any of the obligations of the lessor under any lease; or (c) responsible for any waste committed by lessees or any other parties, for any dangerous or defective condition of the property affected by this Deed of Trust, or for any negligence in the management, upkeep, or control of such rights to rents, issues and profits is not contingent upon, and may be exercised without possession of, the property affected by this Deed of Trust. Beneficiary confers upon Trustor a license ("License") to collect and retain the rents, issues and profits of the property affected by this Deed of Trust as they become due and payable, until the occurrence of a default hereunder. Upon such default, the License shall be automatically revoked and Beneficiary may collect and retain the rents, issues and profits without notice and without taking possessions of the property affected by this Deed of Trust. This right to collect rents, issues and profits shall not grant to Beneficiary or Trustee the right to possession, except as otherwise provided herein; and neither said right, nor termination of the License, shall impose upon Beneficiary or Trustee the duty to produce rents, issues or profits or maintain all or any part of the Property affected by this Trust Deed. If Trustor shall default as aforesaid, Trustor's right to collect any such money shall cease and Beneficiary shall have the right, with or without taking possession of the property affected hereby, to collect all rents, issues, royalties and profits and shall be authorized to, and may, without notice and irrespective of whether declaration of default has been delivered to Trustee and without regard to the adequacy of the security for the indebtedness secured hereby, either personally or by attorney or agent without bringing any action or proceeding, or by receiver to be appointed by the Court, enter into possession and hold, occupy, possess and enjoy the Property, make, cancel, enforce and modify leases, obtain and eject tenants, and set and modify rents and terms of rents, and to sue, and to take, receive and collect all or any part of the said rents, issues, and profits of the property affected hereby, and after paying such costs of maintenance, operation of the Property, and of collection including reasonable attorneys' fees, as in its judgment it may deem proper, to apply the balance upon any indebtedness then secured hereby, the rents, issues, royalties and profits of the Property being hereby assigned to Beneficiary for said purposes. The acceptance of such rents, issues, royalties and profits shall not constitute a waiver of any other right which Trustee or Beneficiary may enjoy under this Deed of Trust or under the laws of California. Failure of or discontinuance by Beneficiary at any time, or from time to time, to collect any such rents, issues, royalties or profits shall not in any manner affect the subsequent enforcement by Beneficiary of the right, power and authority to collect the same. The receipt and application by said Beneficiary of all such rents, issues, royalties and profits pursuant hereto, after execution and delivery of declaration of default and demand for sale as hereinafter provided, or during the pendency of Trustee's sale proceedings hereunder, shall not cure such breach or default nor affect sale proceedings, or any sale made pursuant thereto, but such rents, issues, royalties and profits, less all costs of operation, maintenance, collection and reasonable attorneys' fees, when received by Beneficiary, shall be applied in reduction of the indebtedness secured hereby, from time to time, in such order as Beneficiary may determine. Nothing contained herein, nor the exercise of the right by Beneficiary to collect, shall be, or be construed to be, an affirmation by Beneficiary of any tenancy, lease or option, nor an assumption of liability under, nor subordination of the lien or charge of this Deed of Trust to, any such tenancy, lease or option. 9 15-5006.001/146518 2/13D 19. If the security of this Deed of Trust is a leasehold estate, the Trustor agrees that: (a) the term "Lease" as used herein shall mean the lease creating the "leasehold estate"' (b) Trustor shall not amend, change or modify his leasehold interest, or the Lease, or agree to do so, without the written consent of the Beneficiary; (c) Trustor will promptly advise Beneficiary regarding any notice, request or demand received by him from the lessor under the Lease and promptly furnish Beneficiary with a copy of any such notice, request or demand; (d) as long as any of the indebtedness secured hereby shall remain unpaid, unless the Beneficiary shall otherwise consent thereto in writing, the leasehold estate shall not merge with the fee title but shall always be kept separate and distinct, notwithstanding the union of said estates in any party; (e) Trustor agrees that it will promptly, strictly, and faithfully perform, fulfill, and comply with all covenants, agreements, terms, conditions and provisions under any lease affecting the premises and to neither do anything, nor to permit anything to be done which may cause modification or termination of any such lease or of the obligations of any lessee or person claiming through such lease or the rents provided for therein or the interest of the lessor or the Beneficiary therein or thereunder. Trustor further agrees he will not execute a Deed of Trust or mortgage which may be or become superior to any leasehold estate that is security for this Deed of Trust. In the event of a violation of any of the covenants set forth in this paragraph, Beneficiary shall have the right, at its option, to declare all sums secured hereby immediately due and payable. Consent to or waiver of one of said violations shall not be deemed to be a consent to or waiver of any other violation. If the security for this Deed of Trust is a leasehold estate, the term "property" as used in this Deed of Trust shall be deemed to mean the leasehold estate whenever the context so requires for the protection of the Beneficiary. 20. Trustor waives, to the fullest extent permissible by law, the right to plead any statute of limitations as a defense to any demand secured hereby. 21. Beneficiary may, from time to time, by instrument in writing, substitute a successor or successors to any Trustee named herein or acting hereunder, which instrument, executed and acknowledged by Beneficiary and recorded in the office of the recorder of the county or counties where the Property is situated, shall be conclusive proof of property substitution of such successor Trustee or Trustees, who shall, without conveyances from the Trustee predecessor, succeed to all its title, estate, rights, powers and duties, including but not limited to the power to reconvey the whole or any part of the property covered by this Deed of Trust. Such instrument must contain the name of the original Trustor, Trustee and Beneficiary hereunder, the book and page where this Deed of Trust is recorded. If notice of default shall have been recorded, this power of substitution cannot be exercised until after the costs, fees and expenses of the then acting Trustee shall have been paid to such Trustee, who shall endorse receipt thereof upon such instrument. The procedures herein provided for substitution of Trustee shall not be exclusive of other provisions for substitution provided by law. 22. This Deed of Trust applies to, inures to the benefit of, and binds all parties hereto, their heirs, legatees, devisees, administrators, executors, successors and assigns. The term "Beneficiary" shall mean the owner and holder, including pledgee, of the Note secured hereby, whether or not names as Beneficiary herein. In this Deed of Trust, whenever the context so requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. 10 15-5006.001 / 146518 2/PD 23. That in the event of a demand for, and the preparation and delivery of a written statement regarding the obligations secured by this Deed of Trust pursuant to Sections 2943 and 2954 of the Civil Code of California, Beneficiary shall be entitled to make a reasonable charge, not exceeding the maximum amount which is permitted by law at the time the statement is furnished. Beneficiary may also charge Trustor a reasonable fee for any other services rendered to Trustor or rendered in Trustor's behalf in connection with the Property of this Deed of Trust, including changing Beneficiary's records, pertaining to this Deed of Trust in connection with the transfer of the Property, or releasing an existing policy of fire insurance or other casualty insurance held by Beneficiary and replacing the same with another such policy. 24. Trustee accepts this Trust when this Deed of Trust, duly executed and acknowledged, is made a public record as provided by law. Trustee is not obligated to notify any party hereto of pending sale under any other Deed of Trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee shall be a party unless brought by Trustee. 25. Any notice which any party hereto may desire or be required to give to the other party shall be in writing. The mailing thereof must be certified mail addressed to the Trustor at his address hereinabove set forth or to the Beneficiary at his office or at such other place as such parties hereto may designate in writing. THE UNDERSIGNED TRUSTOR REQUESTS that a copy of any notice of default and of any notice of sale hereunder be mailed to him at his address hereinbefore set forth. Dated: Dated: TRUSTOR By: CITY OF HUNTINGTON BEACH By: City Manager APPROVED AS TO FORM: OFFICE OF HUNTINGTON BEACH CITY ATTORNEY Dated: City Attorney 11 15-5006.001/146518 2/PD DEED OF TRUST EXHIBIT "A" Legal Description of Affordable Unit (to be inserted) 12 15-5006.001/146518 2/PD CALIFORNIA• • O, A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of On Date personally appeared before me, Here Insert Name and Title of the Officer Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Number of Pages: Document Date: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: 02014 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 California All -Purpose Acknowledgment The so-called 'all-purpose" acknowledgment wording, as prescribed in California Civil Code Section 1189(a), is mandatory for all acknowledgments taken in the state, whether the acknowledger is signing as an individual or a representative (partner, corporate officer, attorney in fact, trustee, etc.). Law permits California Notaries to use an out-of-state acknowledgment form on a document that will be filed in that other state or U.S. jurisdiction, but only if "the form does not require the Notary to determine or certify that the signer holds a particular representative capacity or to make other determinations and certifications not allowed by California Instructions: ® NAME OF COUNTY where Notary performs notarization. ® DATE OF NOTARIZATION. Actual month, day and year on which signer(s) appear(s) before Notary. ® NAME &TITLE OF NOTARIZING OFFICER. In the case of a Notary, "Notary Public' would be the title. 0 NAMI(S) OF SIGNER(S) appearing before Notary. Initials and spelling of dames should agree with name(s) signed on document and ID card © NUMBER AND GENDER OF SIGNER(S). Cross out letters and words that do not apply — person(s), name(s), is/are, he/she/they, his/her/ their, capacity(ies), signature(s) — or circle words that apply, to agree with number and gender of signer(s) in space 4. Q SIGNATURE OF NOTARY exactly as name appears on commissioning papers, in space 3 and in seal. Q NOTARY SEAL WRINT, clearly and legibly affixed law" (Civil Code Section 1189[cn. Still, however, any acknowledged document notarized and filed or recorded in California must bear only an all-purpose certificate. State law requires the "all-purpose" certificate wording to be used exactly as it appears in statute. The optional section at the bottom can deter alteration of the document or fraudulent reattachment of this form to an unintended document. The insertions in this section are not required by law. Failure to fill out this section will not affect the validity of the certificate. CALD'O ALL-PURPOSE ACIINOWIEDGWW CIVIL CDDE6t A aotr,' P>Jfa a nMr off mmpleorp Na wtlRale waihs Doty tM tlmtlty N tla IMvaua wTo Pg�retl _e ao�anem la WVM tlas gale a aaaiieQ a'E nsl lee enNNn¢a, amaary, a ­aYn Idn aewmea slate or cala_mp� AYl IPS O j Dpa M o ® on LT01y f9 2012 eelo-_me, Pat R ti0Y185, tJOtBf P&Iic Dare Ne Irrart Name aMrp k of r OMar remnaaoY _ppraf_ MI T. $Yt11YY1 NamKU ol5igrer(rJ V - wla lxov_ to me on t� basis a aalmaeoy N,e.,a ro x 1. cerso46 ..ease name ma.. ciao cr�dea to trK wllnm nswm.�, ara en,wMaeflee ro me ton ewlee me same nvAFrYbaNnw¢eec�actY('FI•ane tNl_I,y lvaFwMOaisgnnur an tf�eimlmr�w�ItM persn�(y. tta mtM upw tenon m wean the persv�l aced. e.mnee the a ym,,,an. artN wars PENALTY of PEAK under 1M laws n the State d Glaoma Ilut 1M Ioregw�g paraprapn h I�ue aiM mire t wlrNEss my was aw ofr n san. sgnatar__ Pas Z 9e ua. 0:-4 .ins sy�rare orNnaa a.a� etaw,:ark.:w,mw Place Nosy Seal Ator_ OPDpNAL T)rougn rhrs section is opriafa( w.farnlrD Ns __mnfion con eefer attaranon or me document w rraueubm reanecnaanr or ws mm ra w wnrodee eocamarrc De o.. d AmeheE raa o<Type p 0 Gfa & � Doc m Date. Loy 19 2-az Number n P ssna,�a, __ Tian Nam_ nea.<� WL n_o 7Ffi, r�yL�Ys e capao;t,- : "gill Yia�a� T"s4vf�i, f i±i EDcM g Nam_: ;Jprw�a Name: V ❑ Corporal_ olfar — ralgsl: ❑ (`g__'! oofi — rrtlgs} © 0Pertrer— OL'vnn_ ❑ iaF ❑Partrws— ❑Lmd_ ❑Cereal Indmtlual ❑Atlpd—.Fatl ❑Indweual ❑Atlomeym Fatl Trustee pGuarden or D_nxrvalar pTrunre ❑GwraanaCom�rvelw Q ❑ CTer ❑ OTer. Sylmar b RepreeenOnB: $yrer Ia RepfeeerN�g,,,,a 0201�NnwDINWryAss"enan•www.NalwaNWrymg�l-B00.D5 NDTMY(Id90.8)66�11 Man e590) SPACES 8 15 ARE OPTIONAL Omission of is forn ation here uZ not affect the document's validity. However, completing these spaces can deter- alteration of the document or fraudulent reattachment of this form to an unintended document. Q TITLE OR TYPE OF DOCUMENT notarized, such as "Grant Deed." Q DATE OF DOCUMENT notarized Most but not all documents will have a date, usually at the top or following the signature. If none, insert "No Date." m NUMBER OF PAGES in the notarized document. This may point out fraudulent addition or removal of pages. Do not count the certificate as a page. However, the certificate will be regarded as a page by recording officials in assessing recording fees. m SIGNER(S) OTHER THAN NAMED IN SPACE 4. Since all signers might not be named on the same notarial certificate, insert name(s) of signer(s) here that appear(s) or will appear on other certificates — as many as space allows. If there are a large number of signers, a notation such as "Mary Smith and 28 other signers" will suffice. If none, insert no other signers." G) NAME(S) OF SIGNER(S) from space 4 whose capacity and represented entity follow. Q CAPACITY CLAIMED BY SIGNER Check appropriate box to indicate whether signer is signing as individual (on his or her own behalf), or as corporate officer (indicate corporate title), partner (indicate whether `limited" or "general" partner), attorney in fact, trustee, guardian/conservator, or in another capacity. Q DESCRIPTION OF OTHER CAPACITY(IES). A single capacity, such as "executor," may, be indicated here; or a multiple capacity, such as "corporate officer signing for partnership in which corporation is partner." ® NAME OF PERSON OR LEGAL ENTITY that signer is representing. It could, for example, be the name of an absent person represented by attorney in fact It could be the name of a condominium association, such as "Blue Lagoon Condo Assn." Or it could be multiple entities, such as "I'YZ Corp., partner in Mutual Enterprises, a partnership." NATIONAL NOTARY ASSOCIATION W9350 De Soto Avenue Chatsworth, CA 91311-4926 AsSOCIATIDN 1-800-876-6827 ® www.NationalNotarv.org C2014 National Notary Association Rem #5907 Dept. ID CD 16-018 Page 1 of 3 Meeting Date: 11/21/2016 /,-;� -.;i- -,V16 -,qD 7 -0 CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 11/21/2016 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Scott Hess, AICP, Director of Community Development SUBJECT: Approve for Introduction Ordinance No. 4126 approving Development Agreement No. 16-002 with Bonanni Development/JB Construction for the Bonanni Garfield Condominiums (Southeast corner of Garfield and Gothard) Statement of Issue: Transmitted for your consideration is a request to enter into a Development Agreement between the City of Huntington Beach and Bonanni Development/JB Construction (developer) for Tentative Tract Map No. 17661 to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan (HSSP). On October 11, 2016, the Planning Commission approved Tentative Tract Map No. 17661 to consolidate three parcels into one 0.636 net acre lot for condominium purposes; Conditional Use Permit No. 13-026 to permit the development of a 10 unit condominium subdivision which includes a density bonus for one unit; and Development Agreement No. 16-002 to provide for affordable dwelling units and payment of an "in lieu" fee. The Planning Commission and Staff are recommending approval of the request. Financial Impact: Not applicable. Planning Commission and Staff Recommended Action: A) Approve Development Agreement No. 16-002 with findings for approval (Attachment No. 1); and, B) Approve for introduction Ordinance No. 4126, "An Ordinance of the City of Huntington Beach Adopting a Development Agreement by and Between the City of Huntington Beach and Bonanni Development/JB Construction Development Agreement No. 16-002." Alternative Action(s): The City Council may make the following alternative motion(s): 1. Deny Development Agreement No. 16-002 2. Continue Development Agreement No. 16-002 and direct staff accordingly. Analysis: A. PROJECT PROPOSAL: Applicant: Ed Bonanni Item 12. - I HB -586- Dept. ID CD 16-018 Page 2 of 3 Meeting Date: 11/21/2016 Property Owners: YMCA of Orange County, Jeff McBride and City of Huntington Beach, Office of Business Development, Kellee Fritzal Location: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) Development Agreement No. 16-002 represents a request to enter into a Development Agreement between the City of Huntington Beach and Bonanni Development/JB Construction for 10 years to: 1) Establish one of 10 residential units as affordable for persons/families of low income for a period of 55 years, pursuant to Chapter 246 of the HBZSO; and, 2) Pay an "in lieu" fee ($185,710.00) for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan (HSSP). The applicant is requesting a density bonus in accordance with State Law and the HBZSO to construct one additional unit above the allowed density (for a total of 10 units where only 9 would be allowed). In addition, a minimum of 15% of the units are required as affordable housing in accord with the HSSP. The applicant is proposing one affordable unit on -site as well as paying an "in lieu" fee to meet the HSSP affordable housing requirements for 15% of the total units (9 units x 15% = 1.35 affordable units required). Initially the development will be held in single ownership by the developer for an unspecified time period and each of the condominium units will function as rental housing. At some future time, the developer may sell some or all of the units as individual ownership units. The affordability limitation on the one unit will apply to the unit as a rental unit and also when the unit is sold for ownership. The development agreement is being proposed voluntarily by Bonanni Development since case law precludes local jurisdictions from compelling inclusionary requirements for rental housing. B. PLANNING COMMISSION MEETING AND RECOMMENDATION: On October 11, 2016, the Planning Commission held a public hearing regarding the proposal to consolidate three parcels for condominium purposes, permit the development of a 10 unit condominium subdivision which includes a density bonus for one unit, and a development agreement to address the affordability requirements. Several people spoke regarding the project expressing concerns related to parking, compatibility of three story units, rental vs. ownership, and potential soil contamination. Staff communicated to the Planning Commission that the site complied with the HSSP and HBZSO, including code -required parking. Additionally, staff stated that the project design is compatible with adjacent and nearby projects with regard to setbacks, height, massing and quality of design. Also, it was explained that any soil contamination on -site would be evaluated prior to issuance of grading and building permits, as required by existing regulations enforced by the Fire Department and as required by the Mitigation Monitoring Program approved for the project. The Planning Commission approved Tentative Tract Map No. 17661 and Conditional Use Permit No. 13-026 to permit the development of a 10 unit condominium subdivision with one density bonus unit, subject to conditions requiring a development agreement to provide for an affordable dwelling unit and payment of an "in lieu" fee in accordance with Section III.C.12.a of the HSSP and Chapter 246 of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO). Planning Commission Action on October 11, 2016 The motion made by Commissioner Kalmick, seconded by Commissioner Crowe, to approve Tentative Tract Map No. 17661, Conditional Use Permit No. 13-026, and Development Agreement HB -587- Item 12. - 2 Dept. ID CD 16-018 Page 3 of 3 Meeting Date: 11/21/2016 No. 16-002 with findings and conditions of approval (Attachment No. 4), carried by the following vote: AYES: Crowe, Kalmick, Semeta, Brenden NOES: Pinchiff ABSENT: Hoskinson ABSTAIN: Mandic C. STAFF ANALYSIS AND RECOMMENDATION: The City is authorized pursuant to California Government Code Section 65864 et. Seq. and Chapter 246 of the HBZSO to enter into binding development agreements with persons or entities owning legal interests in real property located within the City. The City and developer desire to enter into a development agreement for the subject site in order to establish one of the 10 units as an affordable unit for persons/families of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the HSSP. The developer desires to establish an affordable rental unit for persons/families of low income and at some future date, offer the unit as a "for -sale" unit for the purposes of home ownership for persons/families of low income. The development agreement addresses the affordability restriction and timeframe for both rental and ownership scenarios for the unit. Staff is recommending approval of Development Agreement No. 16-002 since it is consistent with the HSSP and General Plan as it relates to the project's fulfillment of the City's Inclusionary Housing Ordinance and the project overall implements the goals and policies of the HSSP and the City's General Plan as discussed in greater detail in the attached Planning Commission Staff Report dated October 11, 2016. Environmental Status: This item was included in the scope of Tentative Tract Map No. 17661 and Conditional Use Permit No. 13-026, which was determined to be covered by Environmental Impact Report (EIR) No. 89-1, approved by the City Council on January 8, 1990, pursuant to the provisions of the California Environmental Quality Act. Strategic Plan Goal: Improve quality of life Attachment(s): 1. Suggested Findings for Approval for Development Agreement No. 16-002 2. Draft Ordinance No. 4126 for Development Agreement No. 16-002 3. Planning Commission Staff Report and Supporting Documents dated October 11, 2016 4. Planning Commission Notice of Action dated October 12, 2016 with Findings and Conditions of Approval for TTM No. 17661, CUP No. 13-026, and DA No. 16-002 SH:JJ:JR:kdc Item 12. - 3 HB - n8- ATTACHMENT #1 ATTACHMENT NO. 1 SUGGESTED FINDING FOR APPROVAL — DEVELOPMENT AGREEMENT NO. 16-002 The development agreement is consistent with the General Plan and Holly-Seacliff Specific Plan. Development Agreement No. 16-002 provides for provision one of the 10 units within the development as an affordable unit for persons/families of low income for a period of 55 years and restricts the affordability period on this unit as both a rental unit (held as a rental unit by the developer) and as a condominium unit (sold for ownership at some future time). The proposed development complies with the HSSP and was found to confonn to the goals and policies of the General Plan. The development agreement ensures the construction of one affordable housing unit within the project in accordance with the provisions of the Specific Plan for a 55 year period, as well as make an in lieu payment for the remaining increment to fulfill the affordable housing requirement within the HSSP. The development agreement is consistent with the following General Plan goals and polices. A. Housing Element Goal H 2: Provide adequate housing sites to accommodate regional housing needs. Goal H 3: Assist in development of affordable housing. Policy H 3.1: Encourage the production of housing that meets all economic segments of the community, including lower, moderate, and upper income households, to maintain a balanced community. B. Land Use Element Goal LU 4: Achieve and maintain high quality architecture, landscape, and public open spaces in the City. Goal LU 4.2.4: Require that all development be designed to provide adequate space for access, parking, supporting functions, open space, and other pertinent elements. Goal LU 7: Achieve a diversity of land uses that sustain the City's economic viability, while maintaining the City's environmental resources and scale and character. Goal LU 8: Achieve a pattern of land uses that preserves, enhances, and establishes a distinct identity for the City's neighborhoods, corridors, and centers. Goal LU 9: Achieve the development of a range of housing units that provides for the diverse economic, physical, and social needs of existing and future residents of Huntington Beach. E113.589_ Item 12. - 4 Policy LU 9.1.4: Require that recreational and open space amenities be incorporated in new multi -family developments and that they be accessible to and of sufficient size to be usable by all residents. Goal LU 11: Achieve the development of projects that enable residents to live in proximity to their jobs, commercial services, and entertainment, and reduce the need for automobile use. The development agreement would ensure that affordable housing is developed in accordance with the approved project and condition of approval requiring affordable housing. The project as a whole will provide an alternative housing choice and supplement the variety of housing stock available within the City. The development agreement would guarantee that the project provides one on -site affordable unit as well as contribute to the City's Affordable Housing Trust by way of an in lieu payment for the remaining increment to fulfill the affordable housing requirement within the HSSP. In doing so, these units will satisfy the affordable housing obligation while providing housing for low income households. As such, the development agreement is consistent with the General Plan goals and polices reflected above. Item 12. - 5 HB -590- ATTACHMENT #2 ORDINANCE NO. 4126 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH ADOPTING A DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF HUNTINGTON BEACH AND BONANNI DEVELOPMENT/JB CONSTRUCTION DEVELOPMENT AGREEMENT NO. { E? - CC' 2- WHEREAS, on October 11, 2016 the Planning Commission approved Conditional Use Permit No. 13-026 and Tentative Tract Map No. 13-115 to develop an approximately 0.64-acre property located at 7762 Garfield Avenue (Property) with a residential project consisting of 10 condominium units; and The City and Developer each mutually desire to enter into a Development Agreement with one another to permit and ensure that the Property is developed in accordance with the above -referenced entitlements to achieve the mutually beneficial development of the Property, NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby ordain as follows: SECTION 1. The City Council hereby finds that Development Agreement No. 1,-S-002 conforms to Government Code Section 65864 et seq. and that: A. Development Agreement No. 16-002is consistent with the Huntington Beach General Plan and the applicable provisions of the Huntington Beach Zoning and Subdivision Ordinance and the Huntington Beach Municipal Code; and B. Development Agreement No. 16 302will not be detrimental to the health, safety and general welfare, and will not adversely affect the orderly development of the property because it is consistent with applicable land use regulations of the City, mitigation measures adopted for the Project; and conditions approved for the above referenced entitlements; and C. The City Council has considered the fiscal effect of Development Agreement No. 16-002 on the City and the effect on the housing needs of the region in which the City is situated and has balanced these needs against the public service needs of its residents and available fiscal and environmental resources. SECTION 2. Based on the above findings, the City Council of the City of Huntington Beach hereby approves Development Agreement 16-02 and adopts it by this ordinance pursuant to Government Code Section 65867.5. This action is subject to a referendum. 15 -5 006.00 1/ 1463 3 3 /PD ORDINANCE NO. 4126 SECTION 3. This ordinance shall become effective 30 days after its adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 5th day of December 3 20 16. ATTEST: Q ity Clerk REVIwger PROVED: V-11 I a 0 IMM MA V05—Ady . ty Attorney /Z-P— ///7/1,/( 4 IATE AND A ROVED: �VAf irector o Community Development 15-5006.001/146333/PD 2 Ord. No. 4126 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS: CITY OF HUNTINGTON BEACH 1 I, ROBIN ESTANISLAU, the duly appointed, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing .ordinance was read to said City Council at a Regular meeting thereof held on November 21, 2016, and was again read to said City Council at a Regular meeting thereof held on December 5, 2016, and was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council. AYES: Posey, O'Connell, Sullivan, Katapodis, Hardy, Delgleize, Peterson NOES: None ABSENT: None ABSTAIN: None I, Robin Estanislau, CITY CLERK of the City of Huntington Beach and ex-officio Clerk of the City Council, do hereby certify that a synopsis of this ordinance has been published in the Huntington Beach Wave on December 15, 2016. In accordance with the City Charter of said City. Robin Estanislau, City Clerk Senior Deputy City Clerk City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach, California RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn: Director of Community Development SPACE ABOVE THIS LINE RESERVED FOR RECORDER'S USE DEVELOPMENT AGREEMENT THIS DEVELOPMENT AGREEMENT ("Agreement") is made in Orange County, California, as of , 2016, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California (the "City") and Bonanni Development/JB Construction, a California General Partnership (the "Developer"). RECITALS A. The City is authorized pursuant to Government Code sections 65864 through 65869.5 and Huntington Beach Zoning and Subdivision Ordinance (HBZSO) Chapter 246 to enter into binding development agreements with persons or entities owning legal interests in real property located within the City. B. Developer is the owner of that. certain real property more particularly described in Exhibit A attached hereto and incorporated herein by this reference (the "Property") C. The City and Developer each desire to enter into this Agreement affecting the Property in conformance with Government Code section 65864 et seq. and HBZSO 246 in order to achieve the mutually beneficial development of the Property in accordance with this Agreement. D. The Developer seeks to develop a project on the Property consisting of 10 dwelling units, as more particularly set forth in the Development Plan (collectively, the "Project"), attached as Exhibit B and incorporated herein, all in accordance with the Holly-Seacliff Specific Plan, as may be amended from time to time (the "Specific Plan") adopted by the City Council of the City (the "City Council") on April 20, 1992. Pursuant to HBZSO Section 230.14, the. Project includes an affordable housing density bonus, and one (1) unit of two (2) bedroom size shall be restricted for rental by a Low -Income Household. The Affordable Dwelling Unit plus the fractional in -lieu fee of One Hundred Eighty-five Page 1 of 16 15-5006.001/135287/PD Thousand Seven Hundred Ten Dollars ($185,710.00) for 0.35 unit meets both the Specific Plan and Density Bonus requirements. E. The City and the Developer each mutually desire to obtain the binding agreement of one another to permit and ensure that the Property is developed strictly in accordance with the provisions of this Agreement. F. This Agreement will benefit the Developer and the City by eliminating uncertainty in planning and providing for the orderly development of the Project. Specifically, this Agreement (1) eliminates uncertainty about the validity of exactions to be imposed by the City, (2) provides for the construction of needed affordable housing, (3) ensures that development of the Property occurs within a timeframe generally consistent with that analyzed by the Project; and (4) generally serves the public interest within the city and the surrounding region. G. The Planning Commission and the City Council have each given notice of their intention to consider this Agreement, and have each conducted public hearings thereon pursuant to the relevant provisions of the Government Code. The City Council has found that the provisions of this Agreement are consistent with the City's 1996 General Plan for development within the City, as amended (the "General Plan"), City zoning ordinances, as amended, including HBZSO Section 230.14, entitled "Affordable Housing Density Bonus," and the Holly-Seacliff Specific Plan. The Planning Commission and City Council have also specifically considered the impacts and benefits of the Project upon the welfare of the residents of the City and the surrounding region. The City Council has determined that this Agreement is beneficial to the residents of the City and is consistent with the present public health, safety and welfare needs of the residents of the City and the surrounding region. H. On October 11, 2016, the Planning Commission held a duly noticed public hearing on this Agreement. 1. On November 21, 2016, the City Council held a duly noticed public hearing on this Agreement. NOW, THEREFORE, in consideration of the foregoing recitals which are hereby incorporated into the operative provisions of this Agreement by this reference and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the City and the Developer agree as follows: Definitions. "Affordable Dwelling Units" shall mean a Dwelling Unit available at Affordable Rent. "Affordable Housing Agreement" shall collectively mean that certain Affordable Housing Rental Agreement (AHRA) by and between the Huntington Beach Page 2 of 16 15-5006,001/135287/PD Housing Authority ("HBHA"), City and Developer together with all attachments thereto, which was approved as to form as part of this Development Agreement. AHRA shall also include any and all amendments or modifications thereto. "Affordable Rent" shall have the same meaning set forth in California Health and Safety Code section 50053, as more specifically set forth in the Agreement Containing Covenants Affecting Real Property to be attached to the Affordable Housing Agreement. "Applicable Rules" means the rules, regulations, ordinances and official policies of the City which were in force as of the Effective Date (as defined below), including, but not limited to, the General Plan, the Specific Plan, City zoning ordinances and other entitlements, including HBZSO Section 230.14, entitled "Affordable Housing Density Bonus," development conditions and standards, public works standards, subdivision regulations, grading requirements, and provisions related to density, growth management, environmental considerations, and design criteria applicable to the Project. Applicable Rules shall not include building standards adopted by the City pursuant to Health and Safety Code sections 17922 and 17958.5. "Area Median Income" shall mean the area median income for the County of Orange ("County") as published annually by the Department of Housing and Community Development and determined in accordance with the U.S. Department of Housing and Urban Development criteria then in effect and published from time to time. For purposes of this Agreement, the qualifying limits shall be those limits for the County, as set forth in Title 25, California Code of Regulations, section 6932, as that section may be amended, modified or recodified from time to time. If the California Code of Regulations is amended or modified during the term of this Agreement so that such regulations do not specify the area median income from the County, the City and Developer shall negotiate in good faith to determine an equivalent authoritative source which determines median income from the County. "City Council" shall mean the City Council of the City. "City Manager" shall mean the City Manager of the City. "County" shall mean Orange County. "Density Bonus" shall mean the affordable housing density bonus applied to the Project pursuant to HBZSO Section 230.14. "Developer" shall mean Bonanni Development/JB Construction, a California general partnership. "Development Impact Fees" means and includes all fees charged by the City in connection with the application, processing and approval or issuance of permits for the development of property, including, without limitation: application fees; permit Page 3 of 16 15-5006.001/135287/PD processing fees; inspection fees; utility capacity fees; development impact or major facilities fees; park fees; flood control fees; environmental impact mitigation fees; and any similar governmental fees, charges and exactions required for the development of the Proj ect. "Discretionary Actions" and "Discretionary Approvals" means those actions and approvals which require the exercise of judgment, or imposition of a condition or obligation, by any officer, employee, review board, commission or department of the City. Discretionary Actions and Discretionary Approvals are distinguished from activities or approvals which merely require any officer, employee, review board, commission or department of the City. Discretionary Actions and Discretionary Approvals are distinguished from activities or approvals which merely require any officer, employee, review board, commission or department of the City to determine whether or not there has been compliance with applicable statutes, ordinances, regulations or conditions of approval. "Dwelling Unit" shall mean a place in the Project that is legally available to be rented by a person or family. "Effective Date" means the date on which the ordinance approving this Agreement has been adopted by the City. "Fractional In -lieu Fee" shall mean that portion of the Project's affordable housing requirement that is met by payment of a fee instead of the provision of an actual Affordable Dwelling Unit. "Low Income Household" means persons and families whose gross incomes do not exceed eighty percent (80%) of the Area Median Income, adjusted for size. "Market Rate Rental Dwelling Unit" shall mean those Dwelling Units in the Project that are not Affordable Dwelling Units nor governed by the Affordable Housing Agreement. "Periodic Review" shall have the meaning assigned to such term in Paragraph 10(a). "Planning Commission means the Planning Commission of the City. "Project" shall mean that development contemplated pursuant to the Development Plan, attached as Exhibit B, approved by Conditional Use Permit No. 13- 026 and Tentative Tract Map No. 13-115. "HBHA" shall mean the Huntington Beach Housing Authority. Page 4 of 16 15-5006.001/135287/PD "Specific Plan" shall mean the Holly-Seacliff Specific Plan adopted by the City Council on April 20, 1992, as may be amended from time to time. "Subsequent Rule" means the rules, regulations, ordinances and official policies of the City, adopted and becoming operative after the Effective Date, including, but not limited to, the General Plan, the Specific Plan, City zoning ordinances and other entitlements, development conditions and standards, public works standards, subdivision regulations, grading requirements, and other provisions related to density, growth management, environmental considerations, and design criteria. [See also paragraph 3 below.] 2. Term of Agreement. This Agreement shall become operative and commence upon the Effective Date and remain in effect for a term of ten (10) years. Except for continuing obligations regarding affordable housing covenants and requirements, upon the expiration or termination of the term, this Agreement shall be deemed terminated and have no further force and effect. 3. Vested Right to Develop the Project. Subject to Paragraphs 3.3 through 3.8 below, and the Applicable Rules, the City hereby grants to the Developer the vested right to develop the Project on the Property to the extent and in the manner provided in this Agreement. Subject to Paragraphs 3.3 through 3.8 below, any change in the Applicable Rules adopted or becoming effective after the Effective Date (Subsequent Rules) shall not be applicable to or binding upon the Project or the Property. Subject to Paragraphs 3.3 through 3.8, below, this Agreement will bind the City to the terms and obligations specified in this Agreement and will limit, to the degree specified in this Agreement and under state law, the future exercise of the City's ability to regulate development of the Project. 3.1 No Conflicting Enactments. Subject to Paragraphs 3.3 through 3.8, below, neither the City Council nor any department of the City shall enact rules, regulations, ordinances or other measures which relate to the rate, timing, sequencing, density, intensity or configuration of the development of any part of the Project which is inconsistent or in conflict with this Agreement during the term of this Development Agreement. 3.2 Initiative Measures. Subject to Paragraphs 3.3 through 3.8, below, the Developer and City intend that no moratorium or other limitation (whether relating to the rate, timing or sequence of the development of all or any part of the Project and whether enacted by initiative or otherwise) affecting parcel or subdivision maps (whether tentative, vesting tentative or final), building, permits, certificates of occupancy or other entitlements shall apply to the Project to the extent such moratorium or other limitation is inconsistent or conflicts with this Agreement. 3.3 Federal or State Laws. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to modify any of the Applicable Rules to the extent necessary to comply with applicable federal or state laws, Page 5 of 16 15-5006.001/135287/PD codes or regulations which preempt local jurisdiction including, by way of example, and without limiting the generality of the foregoing, the California Environmental Quality Act, all building codes, and any safety regulations, but such modifications shall be made only to the extent required thereunder. 3.4 Emergency. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to apply to the Project any development moratorium, limitation on the delivery of City -provided utility services, or other generally applicable emergency rule, regulation, law or ordinance affecting land use: (1) which is based on genuine health, safety and general welfare concerns (other than general growth management issues); (2) which arises out of a documented emergency situation, as declared by the President of the United States, Governor of California, or the Mayor, City Council or City Manager of the City; and (3) based upon its terms or its effect as applied, does not apply exclusively, primarily or disproportionately to the Project or the Property. 3.5 Project Completion. This Agreement and the EIR and associated findings, are based on the expectation that the Project will be constructed as follows: up to 9 Market Rate Rental Dwelling Units and 1 Affordable Dwelling Unit. 3.6 Public Health Concerns. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to apply to the Project any generally applicable rule, regulation, law or ordinance which does not affect the land use or development of the Project and which is based on concerns for the public health, safety or general welfare, including, but not limited to, building codes not otherwise preempted by State law. 3.7 New Engineering and Construction Standards. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to modify any of the Applicable Rules if the City adopts new and/or amended regulations governing engineering and construction and grading standards and specifications including, without limitation, any and all uniform codes adopted by the City, including local amendments to these codes pursuant to state law allowing for such amendments; provided that such codes are uniformly applied to all new development projects of similar type as the Project within the City and provided further that any such modifications to grading standards can only be imposed prior to grading and any such modifications to engineering or construction standards can only be applied prior to the initiation of construction. Such codes include, without limitation, the City's Uniform Housing Code, Building Code, Plumbing Code, Mechanical. Code, Electrical Code and Fire Code. 3.8 Cooperation and Indemnification. City agrees to cooperate with Developer in all reasonable manners in order to keep this Agreement in full force and effect. Notwithstanding the preceding sentence, in the event any legal action instituted by a third party or other government entity or official challenging the validity of this Agreement, the City and Developer agree to cooperate in defending such action, with the Page 6 of 16 15-5006.001/I35287/PD Developer to indemnify the City pursuant to Paragraph 17 of this Agreement. In the event of any litigation challenging the effectiveness of this Agreement or any portion thereof, this Agreement shall remain in full force and effect while such litigation, including any appellate review, is pending, unless a court of competent jurisdiction orders otherwise. 4. Development of the Property. (a) Permitted Uses. The Developer agrees that the Property shall only be developed in accordance with the Development Plan and any conditions and mitigation measures imposed on the Project through final approval of the Project, and the provisions of this Development Agreement. Notwithstanding anything set forth in this Agreement to the contrary, unless Developer proceeds with development of the Property, Developer is not obligated by the terms of this Agreement to affirmatively act to develop all or any portion of the Project, pay any sums of money, dedicate any land, indemnify any party, or to otherwise meet or perform any obligation with respect to the Project, except and only as a condition of development of any portion of the Project. (b) Development Standards. All development and design requirements and standards applicable to the Project shall conform to the Holly-Seacliff Specific Plan, the Huntington Beach Municipal Code, and any Applicable Rules. (c) Development Impact Fees. In addition to the obligations set forth elsewhere in this Agreement; Developer shall be responsible for paying when due all Development Impact Fees including Traffic Impact and Park Fees in connection with development of the Project at the rates then in effect. Subject to all applicable laws then in effect, City shall have the right: (i) to charge and apply to the Property all Development Impact Fees as inay be in effect at the time applicable to the Project; and (ii) to increase or otherwise modify any and all Development Impact Fees applicable to the Project. (d) Payment of Fractional In -lieu Fee. Developer shall pay the Fractional In -lieu Fee in connection with development of the Project prior to issuance of the Certificate of Occupancy. 5. Reserved. 6. Affordable Housing. The Project is subject to the requirement of providing one Affordable Dwelling Unit, which shall be a rental unit and must remain an Affordable Dwelling Unit for at least fifty-five (55) years. The City and Developer agree as a condition precedent to Development that an Affordable Housing Agreement be executed to memorialize the terms and conditions of the affordable housing components (Attached Hereto as Exhibit C). The Developer will provide an affordable unit for rent, which shall be made available as follows: 1 unit to be occupied by a Low Income Household. The Developer agrees to Page 7 of 16 15-5006.001/135287/PD record said affordability covenants in favor of the City to assure that affordability covenants run with the land and remain in effect for the affordability period. The Developer agrees to comply with all the terms and provisions of the Affordable Housing Agreement and its attachments and acknowledges that any default thereunder shall also constitute a default under this Agreement. Prior to approval of a Final Inspection for the 10th Market Rate Rental Dwelling Unit, Developer shall have completed construction and shall have received all required Final Inspection for the rental Low Income Household Affordable Dwelling Unit. 7. Extension of Proieet Approvals. Unless a longer term would result under otherwise applicable state law, the term of any permits approved as part of the Project approvals shall be automatically extended for the term of this Agreement. 8. Reserved. 9. Subsequent Discretionary Action and Approval. The City agrees not to unreasonably withhold, condition or delay any Discretionary Action or Discretionary Approval or other action or approval by the City which may be required by the Project subsequent to the execution of this Agreement. Upon the filing of a complete application and payment of appropriate processing fees by Developer, the City shall promptly commence and diligently schedule and convene all required public hearings in an expeditious manner consistent with the law and process all Discretionary Actions and Discretionary Approvals in an expeditious manner. 10. Compliance Review. (a) Periodic Review. Pursuant to Government Code section 65865.1, the City Manager or his or her designee shall, not less than once in every twelve (12) months, review the Project and this Agreement to ascertain whether or not the Developer is in full compliance with the terms of the Agreement (the "Periodic Review"). (b) Review Procedure. During a Periodic Review, Developer shall provide information reasonably requested by the City Manager or his or her designee that the Project is being developed in good faith compliance with the terms of this Agreement. If, as a result of a Periodic Review, the City finds and determines on the basis of substantial evidence that the Developer has not complied in good faith with the terms or conditions of this Agreement, the City shall issue a written "Notice of Non -Compliance" to the Developer specifying the grounds therefore and all facts demonstrating such non- compliance. The Developer's failure to cure the alleged non-compliance within sixty (60) days after receipt of the notice, or, if such noncompliance is not capable of being cured within sixty (60) days, the .Developer's failure to initiate all actions required to cure such non-compliance within sixty (60) days after receipt of the notice and completion of the cure of such non-compliance within one hundred twenty (120) days, shall constitute a default under this Agreement on the part of the Developer and shall constitute grounds Page 8 of 16 15 -5 006 A01 /135287/PD for the termination of this Agreement by the City as provided for below. If requested by Developer, City agrees to provide to Developer a certificate that Developer is in compliance with the terms of this Agreement, provided Developer reimburses City for all reasonable and direct costs and fees incurred by City with respect thereto. (c) Termination or Modification for Non -Compliance. Pursuant to Government Code section 65865.1, if the City Council finds and determines, on the basis of substantial evidence, that the Developer has not complied in good faith with the terms or conditions of this Agreement, the City Council may modify or terminate this Agreement. Any action by the City with respect to the termination or modification of this Agreement shall comply with the notice and public hearing requirements of Government Code section 65867 in addition to any other notice required by law. Additionally, the City shall give the Developer written notice of its intention to terminate or modify this Agreement and shall grant the Developer a reasonable opportunity to be heard on the matter and to oppose such termination or modification by the City. 11. Modification, Amendment, Cancellation or Termination. 11.1 Amendment and Cancellation. Pursuant to Government Code section 65868, this Agreement may be amended or canceled, in whole or in part, by mutual written consent of the City and the Developer or their successors in interest. Public notice of the parties' intention to amend or cancel any portion of this Agreement shall be given in the manner provided by Government Code section 65867. Any amendment to the Agreement shall be subject to the provisions of Government Code section 65867.5. 11.2 Modification. The City Community Development Director, with the consent of the Developer, may make minor modifications to the Agreement without the need for formal action by the City's Planning Commission or City Council as long as such modifications do not alter the Term of this Development Agreement, the permitted uses, density or intensity of uses, the maximum height or size of buildings, provisions for reservations or Dedication of land, conditions, terms, restrictions and requirements relating to Subsequent Discretionary Actions and Approvals, and monetary contributions by Developer. 12. Defaults Notice and Cure Periods Events of Default and Remedies. 12.1 Default By the Developer. 12.1.1 Default. If the Developer does not perform its obligations under this Agreement in a timely manner, the City may exercise all rights and remedies provided in this Agreement, provided the City shall have first given ,"Titten notice to the Developer as provided in Paragraph 17(a) hereof. 12.1.2 Notice of Default. If the Developer does not perform its obligations under this Agreement in a timely manner, the City through the City Manager Page 9 of 16 15-5006.001(135237/PD may submit to the Developer a written notice of default in the manner prescribed in Paragraph 17(a) identifying with specificity those obligations of the Developer under this Agreement which have not been timely performed. Upon receipt of any such written notice of default, the Developer shall promptly commence to cure the identified default(s) at the earliest reasonable time after receipt of any such written notice of default and shall complete the cure of any such default(s) no later than sixty (60) days after receipt of any such written notice of default, or if such default(s) is not capable of being cured within sixty (60) days, no later than one hundred twenty (120) days after receipt of any such written notice of default, provided the Developer commences the cure of any such default(s) within such sixty (60) day period and thereafter diligently pursues such cure at all times until any such default(s) is cured. 12.1.3 Failure to Cure Default Procedure. If after the cure period provided in Paragraph 12.1.2 has elapsed, the City Manager finds and determines the Developer, or its successors, transferees and/or assignees, as the case may be, remains in default and that the City intends to terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, the City's Community Development Director shall make a report to the Planning Commission and then set a public hearing before the Planning Commission in accordance with the notice and hearing requirements of Government Code sections 65867 and 65868. If after the public hearing, the Planning Commission finds and determines, on the basis of substantial evidence, that the Developer, or its successors, transferees and/or assigns, as the case may be, has not cured a default under this Agreement pursuant to this Paragraph 12, and that the City shall terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, the Developer, and its successors, transferees and/or assigns, shall be entitled to appeal that finding and determination to the City Council. Such right of appeal shall include, but not be limited to, an objection to the manner in which the City intends to modify this Agreement if the City intends as a result of a default of the Developer, or one of its successors or assigns, to modify this Agreement. In the event of a finding and determination that all defaults are cured, there shall be no appeal by any person or entity. Nothing in this Paragraph 12 or this Agreement shall be construed as modifying or abrogating the City Council's review of Planning Commission actions or limiting the City's rights and remedies available at law or in equity, which shall include (without limitation) compelling the specific performance of the Developer's obligations under this Agreement. 12.1.4 Termination or Modification of Agreements. The City may terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, after such final determination of the City Council or, where no appeal is taken, after the expiration of the applicable appeal periods described herein. There shall be no modifications of this Agreement unless the City Council acts pursuant to Government Code sections 65967.5 and 65868, irrespective of whether an appeal is taken as provided herein. Page 10 of 16 15-5006.001/135287/PD 12.2 Default by the City. 12.2.1 Default. In the event the City does not accept, process or render a decision in a timely manner on necessary development permits, entitlements, or other land use or building approvals for use as provided in this Agreement upon compliance with the requirements therefore, or as otherwise agreed to by the City and Developer, or the City otherwise defaults under the provisions of this Agreement, subject to Paragraph 12.3, the Developer shall have all rights and remedies provided herein or by applicable law, which shall include compelling the specific performance of the City's obligations under this Agreement provided the Developer has first complied with the procedures in paragraph 12.2.2. 12.2.2 Notice of Default. Prior to the exercise of any other right or remedy arising out of a default by the City under this Agreement, the Developer shall first submit to the City a written notice of default stating with specificity those obligations which have not been performed under this Agreement. Upon receipt of the notice of default, the City shall promptly commence to cure the identified default(s) at the earliest reasonable time after receipt of the notice of default and shall complete the cure of such default(s) no later than thirty (30) days after receipt of the notice of default, or such longer period as is reasonably necessary to remedy such default(s), provided the City shall continuously and diligently pursue each remedy at all times until such default(s) is cured. In the case of a dispute as to whether the City is in default under this Agreement or whether the City has cured the default, or to seek the enforcement of this Agreement, the City and the Developer may submit the matter to negotiation/mediation pursuant to Paragraph 17(n) of this Agreement. 12.3 Monetary Damages. The Developer and City acknowledge that neither the City nor the Developer would have entered into this Agreement if either were liable for monetary damages under or with respect to this Agreement or the application thereof. Both the City and the Developer agree and recognize that, as a practical matter, it may not be possible to determine an amount of monetary damages which would adequately compensate the Developer for its investment of time and financial resources in planning to arrive at the kind, location, intensity of use, and improvements for the Project, nor to calculate the consideration the City will require to enter into this Agreement to justify such exposure. Therefore, the City and the Developer agree that neither shall be liable for monetary damages under or with respect to this Agreement or the application thereof and the City and the Developer covenant not to sue for or claim any monetary damages for the breach of any provision of this agreement. This foregoing waiver shall not be deemed to apply to any fees or other monetary amounts specifically required to be paid by the Developer to the City pursuant to this Agreement, including, but not limited to, any amounts due pursuant to Paragraph 17(g) and 17(m). The foregoing waiver shall also not be deemed to apply to any fees or other monetary amounts specifically required to be paid or credited by the City to the Developer pursuant to this Agreement, including, but not limited to any fee credits specifically required to be credited by City to Developer or its assignee(s). Page 11 of 16 15-5006,001/135287/PD 13. Administration of Agreement and Resolution of Disputes. The Developer shall at all times have the right to appeal to the City Council any decision or determination made by any employee, agent or other representative of the City concerning the Project or the interpretation and administration of this Agreement. All City Council decisions or determinations regarding the Project or the administration of this Agreement shall also be subject to judicial review pursuant to Code of Civil Procedure section 1094.5, provided that, pursuant to Code of Civil Procedure section 1094.6, any such action must be filed in a court of competent jurisdiction not later than ninety (90) days after the date on which the City Council's decision becomes final. In addition, in the event the Developer and the City cannot agree whether a default on the part of the Developer, or any of its successors or assigns, under this Agreement exists or whether or not any such default has been cured, then the City or the Developer may submit the matter to negotiation/mediation pursuant to Paragraph 17(n). 14. Recordation of this Agreement. Pursuant to Government Code section 65868.5, the City Clerk shall record a copy of this Agreement in the Official Records of the County within ten (10) days after the mutual execution of this Agreement. 15. Constructive Notice and Acceptance. Every person or entity who now or hereafter owns or acquires any right, title or interest in or to any portion of the Property is, and shall be, conclusively deemed to have consented and agreed to every provision contained herein, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Property. 16. No Third Party Beneficiaries. This Agreement is made and entered into for the sole protection and benefit of the City, the Developer and their respective successors and assigns. No other person or entity shall have any right of action based upon any provision of this Agreement. 17. Miscellaneous. (a) Notices. All notices which are allowed or required to be given hereunder shall be in writing and (1) shall be deemed given and received when personally delivered or (2) shall be sent by registered or certified mail or overnight mail service, addressed to the applicable designated person by one party to the other in writing, and shall be deemed received on the second business day after such mailing. If to City: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn: City Manager Tel. No.: (714) 536-5575 Fax No.: (714) 536-5233 Page 12 of 16 15-5006.0011135287/PD If to Developer: Bonanni Development/JB Construction c/o Ed Bonanni 5500 Bolsa Avenue, Suite 120 Huntington Beach, CA 92649 (b) Severability. If any part of this Agreement is declared invalid for any reason, such invalidity shall not affect the validity of the remainder of the Agreement unless the invalid provision is a material part of the Agreement. The other parts of this Agreement shall remain in effect as if this Agreement had been executed without the invalid part. In the event any material provision of this Agreement is determined to be invalid, void or voidable, City or Developer may terminate this Agreement. (c) Entire Agreement; Conflicts. This Agreement represents the entire agreement between the City and the Developer with respect to the subject matter hereof and supersedes all prior agreements and understandings, whether oral or written, between the City and the Developer with respect to the matters contained in this Agreement. Should any or all of the provisions of this Agreement be found to be in conflict with any other provision or provisions found in the Applicable Rules or the Subsequent Applicable Rules, then the provisions of this Agreement shall govern and prevail. (d) Further Assurances. The City and the Developer agree to perform, from time to time, such further acts and to execute and deliver such further instruments reasonably to effect the intents and purposes of this Agreement, provided that the intended obligations of the City and the Developer are not thereby modified. (e) Inurement and Assignment. This Agreement shall inure to the benefit of and bind the successors and assigns of the City and the Developer, may be assigned by either the City or the Developer to any party or parties purchasing all or any part of the Property, or any interest therein pursuant to the provisions of this Paragraph 17(e). The specific rights and obligations of this Agreement shall be deemed covenants running with the land. Prior to Developer's assignment of any rights, duties or obligations under this Agreement, the Developer shall present such information required by the City at its sole discretion to demonstrate to the City's satisfaction that the proposed successor and/or assignee has the financial ability and experience to fulfill those specific rights, duties and obligations under the Agreement that the successor and/or assignee would assume. In addition, the Developer and the proposed assignee shall present to the City a signed agreement delineating the right to use the credits established by this Agreement as between such parties. City shall have the right to approve the proposed successor and/or assignee, provided that the City's approval may not be unreasonably withheld, conditioned or delayed. The provisions of this Paragraph 17(e) shall be self- executing and shall not require the execution or recordation of any further document or instrument. (f) Negation of Agency. The City and the Developer acknowledge that, in entering into and performing under this Agreement, each is acting as an independent entity and not as an agent of the other in any respect. Nothing contained Page 13 of 16 15-5006.001/135287/PD herein or in any document executed in connection herewith shall be construed as making the City and the Developer joint ventures, partners or employer/employee. (g) Attorriey's Fees. In the event of any claim, dispute or controversy arising out of or relating to this Agreement, including an action for declaratory relief, the prevailing party in such action or proceeding shall not be entitled to recover its court costs and reasonable out-of-pocket expenses. (h) Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought. (i) Force Maje_ure. Performance by either party hereunder shall not be deemed to be in default where delays or defaults are due to one or more of the following events, providing that any one or more of such event(s) actually delays or interferes with the timely performance of the matter to which it would apply and despite the exercise of diligence and good business practices and such event(s) are beyond the reasonable control of the party claiming such interference: war, terrorism, terrorist acts, insurrection, strikes, lock -outs, unavailability in the marketplace of essential labor, tools, materials or supplies, failure of any contractor, subcontractor, or consultant to timely perform (so long as Developer is not otherwise in default of any obligation under this Agreement and is exercising commercially reasonable diligence of such contractor, subcontractor of consultant to perform, riots, floods, earthquakes, fires, casualties, acts of God, acts of the public enemy, epidemics, quarantine restrictions, freight embargoes, lack of transportation, governmental restrictions or priority, or unusually severe weather. An extension of time for any such cause (a "Force Maj eure Delay") shall be. for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the party claiming such extension is sent to the other party within thirty (30) days of actual knowledge of the commencement of the cause. Notwithstanding the foregoing, none of the foregoing events shall constitute a Force Majeure Delay unless and until the party claiming such delay and interference delivers to the other party written notice describing the event, its cause, when and how such party obtained knowledge, the date and the event commenced, and the estimated delay resulting therefrom. (j) Paragraph Headings. The paragraph headings contained in this Agreement are for convenience and identification only and shall not be deemed to limit or define the contents to which they relate. (k) Time of Essence. Time is of the essence of this Agreement, and all performances required hereunder shall be completed within the time periods specified. Any failure of performance shall be deemed as a material breach of this Agreement. (1) Counterparts. This Agreement and any modifications hereto may be executed in any number of counterparts with the same force and effect as if executed in the form of a single document. Page 14 of 16 15-5006.001l135237/PD (m) Indemnification. The Developer agrees, as a condition of approval of this Agreement, to indemnify, defend and hold harmless at the Developer's expense, the City, the City Council, and the City's agents, officers and employees from and against any claim, action or proceeding to attack, review, set aside, void or annul the approval of this Agreement, the Specific Plan or EIR to determine the reasonableness, legality or validity of any provision hereof or obligation contained herein. Developer also agrees to indemnify the City, the City Council, and the City's officials, agents and employees for any claims, acts or proceedings relating to the Project's affordable housing requirements, including, but not limited to, any challenge to the City's Housing Element arising from such requirements. The indemnity described in this section is not subject to the provisions of paragraph 4(a) providing that obligations cease if the Project does not go forward. The City shall promptly notify the Developer of any such claim, action or proceeding of which the City receives notice, and the City will cooperate fully with the Developer in the defense thereof. The Developer shall provide a defense to the City with counsel reasonably selected by Developer and City to defend both the City and Developer, and shall reimburse the City for any court costs which the City may be required to pay as a result of any such claim, action or proceeding. The City may, in its sole discretion, participate in the defense of any such claim, action or proceeding at its own expense, but such participation shall not relieve the Developer of the obligations of this Paragraph 17(m). (n) Hold Harmless Agreement. City and Developer mutually agree to, and shall hold each other and each of the other's elective and appointed councils, boards, commissions, directors, officers, partners, agents, representatives and employees harmless from any liability for damage or claims for personal injury, including death, and from claims for property damage which may arise from the activities of the other's or contractor's, subcontractors, agents, or employees which relate to the Project whether such activities be by City or Developer, or by any of City's or the Developer's contractors, subcontractors, or by any one or more persons indirectly employed by, or acting as agents for Developer, any of Developer's or the City's contractors or subcontractors. City and Developer agree to and shall defend the other and each of the other's elective and appointive councils, boards, directors, commissioners, officers, partners, agents, representatives and employees from any suits or actions at law or in equity for damage caused or alleged to have been caused by reason of the aforementioned activities which relate to the Project. (o) Reference of California Law. Unless expressly stated to the contrary, all references to statutes herein are to the California codes. (p) Interpretation. The language in all parts of this Agreement shall in all cases be construed simply, as a whole and in accordance with its fair meaning and not strictly for or against any party. The parties hereto acknowledge and agree that this Agreement has been prepared jointly by the parties and has been the subject of arm's Page 15 of 16 15-5006.001l135287/PD length and careful negotiation over a considerable period of time, that each party has independently reviewed this Agreement with legal counsel, and that each party has the requisite experience and sophistication to understand, interpret and agree to the particular language of the provisions hereof. Accordingly, in the event of an ambiguity in or dispute regarding the interpretation of this Agreement, this Agreement shall not be interpreted or construed against the party preparing it, and instead other rules of interpretation and construction shall be utilized. IN WITNESS WHEREOF, the City and the Developer hereto have each executed this Development Agreement as of the date first written above. Developer: BONANNI DEVELOPMENT/ JB CONSTRUCTION, a California general partnership Its: City: CITY OF HUNTINGTON BEACH, a California municipal corporation Mayor City Clerk INITIATED, REVIEWED AND APPROVED: City Manager Page 16of16 15-5006.001/135287/PD E IIT A To Development Agreement LEGAL DESCRIPTION 15-5006.001/135287/PD Legal Description (to be inserted) 15-5006.0011135287/PD To Development Agreement NOTICE OF AFFORDABLE RESTRICTIONS ON TRANSFER OF REAL PROPERTY 15-5006.001/ 135287/PD OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Space above this line for Recorder's use only NOTICE OF AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY (7762 Garfield Avenue) NOTICE IS HEREBY GIVEN that Declarant, the City of Huntington Beach, is recording this Notice of Affordability Restrictions on Transfer of Property (hereinafter the "Notice") with regard to the property generally located at Huntington Beach, California, and more particularly described in Exhibit "A" attached hereto (the "Property"). 1. Definitions. Any capitalized term not otherwise defined herein shall have the same meaning ascribed to such term in the Agreement Containing Covenants Affecting Real Property recorded concurrently herewith as Instrument No. in the Official Records of the Orange County Recorder (the "Agreembnt Containing Covenants"). 2. Affordability Restrictions. The Property is subject to the following covenants (collectively, the "Affordability Covenants"): a. Subject to subparagraph b below, for a period of no less than fifty-five (55) years, beginning from the date of the City's issuance of a certificate of occupancy for the Project ("Covenant Period"), one (1) of the Dwelling Units constructed on the Property shall be rented exclusively to and occupied by qualifying Low Income Households ("Qualified Renters") at an Affordable Rent in accordance with Health and Safety Code section 50053(b). The aforementioned restricted unit shall be referenced hereinafter as "the Restricted Unit." b. During the Covenant Period, Developer shall not change a Restricted Unit from a rental unit to a for -sale unit without the prior written approval of the City Manager, as provided in Section 3c of the Agreement Containing Covenants. If such a change is approved and a sale occurs, for the remainder of the Covenant Period the Restricted Unit previously restricted to occupancy by a qualifying Low Income Household shall be sold at an Affordable Housing Cost for Low Income Households and thereafter occupied only by a qualifying Low Income Household, as more particularly set forth in the "Agreement and Covenant Concerning Use and Resale of Residential Units" in the form attached as Exhibit "B" to the Agreement Containing Covenants and the Restricted Unit shall be subject to the City's right to purchase in 15-5006.001 / 135288 accordance with the "Right of First Refusal." in the form attached as Exhibit "C" to the Agreement Containing Covenants. C. During the Covenant Period, if Developer changes the Restricted Unit from a rental unit to a for -sale unit, Developer shall be required to first offer said Restricted Unit for sale to the Qualified Renter occupying the Restricted Unit before offering said Restricted Unit for sale to other Qualified Purchasers, as provided in Section 3c of the Agreement Containing Covenants. d. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer shall comply with the following rule: any tenant who initially qualified as a Low Income Household, and who no longer qualifies as a Low Income Household, shall pay as rent an amount equal to 34 percent of the household income, and shall be given one (1) year to relocate from the Restricted Unit for which such tenant initially qualified. REST OF PAGE NOT USED 15-5006.001 1135288 3. Partial Release(s). If after the date this Notice is recorded a final subdivision map is recorded against the Property, City shall cooperate with the Developer by executing in recordable form and recording a partial release terminating this Notice as to all of the separate legal lots within the Property, excepting only those lots as to which the Affordability Covenants apply. IN WITNESS WHEREOF, the City and Developer have executed this Agreement as of the date first set forth hereinabove. DEVELOPER: BONANNI DEVELOPMENT/JB CORPORATION, a California General Partnership By: Its: By: Its: 3 15-5006.001 / 135288 CITY: CITY OF HUNTINGTON BEACH A California municipal corporation Mayor City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager To Development Agreement DEVELOPMENT PLAN 15-5006.001/ 135287/PD DEVELOPMENT PLAN (to be inserted) 15-5006.001/1352871PD OCR NMI ,5 To Development Agreement AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (INCLUDING AFFORDABLE RENTAL AND/OR SALE RESTRICTIONS 15-5006.001/135287/PD OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Space above this fine for Recorder's use only AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (INCLUDING AFFORDABLE RENTAL AND/OR SALE RESTRICTIONS) THIS AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into as of , 2016, by and between the CITY OF HUNTINGTON BEACH (the "City") and BONANNI DEVELOPMENT / JB CORPORATION, a California General Partnership ("Developer"). A. Developer owns fee title to that certain real property (the "Property") located in the City of Huntington Beach, County of Orange, State of California, legally described in the "Legal Description" attached hereto as Exhibit "A" and incorporated herein by this reference. B. The City and Developer entered into that certain Development Agreement ("DA"), dated , 2016, regarding the development of a residential project including one (1) Affordable Rental Unit and/or City -approved For Sale Unit restricted for rental and/or sale to and occupancy by Low Income Households, in accordance with the terms contained therein. DA as used herein shall mean, refer to and include the DA, as well as any riders, exhibits, addenda, implementation agreements, amendments and attachments thereto (which are hereby incorporated herein by this reference) or other documents expressly incorporated by reference in the DA. Any capitalized term not otherwise defined herein shall have the meaning ascribed to such term in the DA. C. This Agreement is entered into and recorded in accordance with the DA. NOW, THEREFORE, CITY AND DEVELOPER COVENANT AND AGREE AS FOLLOWS: 1. Construction of the Project. Developer covenants and agrees for itself, its successors and assigns and every successor in interest to the Property or any part thereof, that Developer, its successors and assigns, shall acquire the Property and construct or cause the construction of the Project in accordance with the provisions of the DA. 15-5006.001 / 135291 2. ReIease of Construction Covenants. Following Completion of the Project in accordance with the DA, City shall record a Release of Construction Covenants on the Property. Following the City's recording of the Release of Construction Covenants, the covenants contained in Paragraph 1 herein shall terminate and be of no further force and effect with respect to the Property. 3. Use of the Property. Developer, on behalf of itself and its successors, assigns, and each successor in interest to DeveIoper's interest in the Property or any part thereof, hereby covenants and agrees as follows: a. For a period of no less than fifty-five (55) years, beginning from the date of the City's issuance of a certificate of occupancy for the Project (the "Covenant Period"), Developer shall use the Property only for the uses specified in the DA, any agreements entered into by and between the City and Developer relating to the Property, and this Agreement, During the Covenant Period, no change in the use of the Property shall be permitted without the prior written approval of City. In furtherance herein, Developer shall record a "Notice of Affordability Restrictions on Transfer of Real Property" in substantially the same form as attached hereto as Exhibit A-1. b. During the Covenant Period, one (1) of the ten (10) Dwelling Units constructed upon the Property shall be rented exclusively to and occupied by qualifying Low Income Households ("Qualified Renters") at an Affordable Rent in accordance with Health and Safety Code section 50053(b). The aforementioned restricted unit shall be referenced hereinafter as the "Restricted Unit." C. During the Covenant Period, Developer shall not change a Restricted Unit from a rental unit to a for -sale unit without the prior written approval of the City Manager, which approval the City Manager shall be required to give if Developer satisfies each of the following conditions precedent: (i) a Restricted Unit that is restricted for rental to and occupancy by a Low Income Household shall first be offered for sale to the tenant occupying that unit at Affordable Housing Cost for a Low Income Household, in accordance with Health and Safety Code section 50052.5(b) (herein, the "Right of First Refusal"). Said offer shall be in writing and have a heading at or near the top of the first page in bold type not less than 12-paint font substantially in the following form: "This Document Sets Contains a Written Offer to Sell To You the Residential Unit in Which You Are a Tenant. Please Review Carefully. If You Wish to Accept This Offer, You Must Do So Within Thirty (30) Days After This Offer Is Delivered To You By Signing and Dating This Offer Where Indicated Below and Delivering This Accepted Offer to the Owner at the Owner's Address. If You Do Not Do So, Your Right to Purchase This Residential Unit Will Terminate and Expire." The offer shall contain a complete statement of the terms of the proposed sale, shall clearly state the applicable purchase price and closing date (which in no case shall be less than thirty (30) days after the date the offer is accepted) and shall comply with all applicable provisions of law pertaining to the sale of residential condominium units in the State of California, City of Huntington Beach. If the tenant does not timely accept Developer's offer the tenant's Right of 2 15-5006.001 / 135291 First Refusal shall expire and be of no further force or effect and thereafter Developer shall be free to market and sell that Restricted Unit to any other Low Income Household ("Qualified Purchaser") at Affordable Housing Cost. Alternatively, if the tenant does timely accept the offer but thereafter the tenant fails to timely perform any of its obligations to complete the purchase of the Restricted Unit pursuant to the contract entered into between Developer and the tenant, subject to whatever default, notice, and cure rights may be set forth in said contract Developer shall have the right hereunder to terminate said contract, in which event the tenant's Right of First Refusal shall expire and be of no further force or effect and thereafter Developer shall be free to market and sell that Restricted Unit to any other Qualified Purchaser at Affordable Housing Cost, in accordance with Health and Safety Code section 50052.5(b); (ii) the Developer shall notify the City, in writing, of its request for City approval to change any Restricted Unit from a rental unit to a for -sale unit no later than ninety (90) days prior to offering a Restricted Unit for sale to any Person ("Notice of Change Request"). The Notice of Change Request shall be accompanied by the following information: (a) the form(s) of purchase contract(s) Developer intends to use (consistent with the requirements of paragraph 3c with respect to the Right of First Refusal for each existing tenant); (b) a form of grant deed to be used for each such sale which sets forth the applicable restrictions upon resale and use of each for -sale Restricted Unit consistent with this Agreement; and (c) written evidence documenting Developer's compliance with all applicable laws and regulations governing the sale of condominium units. The City Manager shall approve or disapprove the Notice of Change Request, including the form of the documents submitted therewith, within thirty (30) days after receipt, with approval not to be unreasonably conditioned or withheld. Any disapproval shall be in writing and shall state the reasons therefor and the actions that Developer must take or the changes Developer must make to the applicable documents in order to obtain City's approval. City may also require that any purchaser of the Restricted Unit execute and deliver to City any documents that may be required by City's Affordable Housing Program, including but not limited to, a Promissory Note, a Deed of Trust, and a Notice of Affordability Restriction. Examples of such documents are attached hereto as Exhibit D. If the City Manager fails to timely approve or disapprove Developer's Notice of Change Request within said time, Developer's Notice of Change Request and the form of the accompanying documents shall be deemed approved; (iii) concurrently with the close of escrow for the conveyance of any Restricted Unit to a Qualified Purchaser, Developer and City shall fill in the blanks in the "Agreement and Covenants Concerning Use and Resale of Residential Unit" in the form attached hereto as Exhibit "B" and incorporated herein by this reference and the "Right of First Refusal" in favor of the City in the form attached hereto as Exhibit "C" and incorporated herein by this reference and Developer shall record such instruments or cause them to be recorded in the Official Records of the Orange County Recorder. d. During the Covenant Period, the Restricted Unit shall be occupied at all times only by Qualified Renters or, subject to paragraph 3c above, by Qualified Purchasers, as applicable. The Developer covenants to cooperate with the City in taking all steps necessary to implement and monitor this requirement with respect to all Qualified Renters. 15-5006,001 / 135291 e. During the Covenant Period, as long as the Restricted Units are required to be rented to and occupied by Qualified Renters and until the close of escrow for the conveyance of any Restricted Units to Qualified Purchasers, Developer shall provide the City with a monthly report with respect to Restricted Units under lease and/or contract (as applicable), closed sales (as applicable), and such other information as the City may reasonably request. f. During the Covenant Period, as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters and until the close of escrow for the conveyance of the Restricted Unit to Qualified Purchasers, Developer shall use reasonable efforts to provide adequate information to assist Qualified Renters and Qualified Purchasers in locating and obtaining available forms of subsidized or assisted financing to enable Qualified Renters and Qualified Purchasers to qualify for and minimize the cost of renting or purchasing any Restricted Unit, as applicable. g. During the Covenant Period, as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters and for each proposed sale of a Restricted Unit by Developer to a Qualified Purchaser, Developer shall require the prospective renter or purchaser, as applicable, to complete and execute an application form verifying the identity of each individual person who intends to occupy the Restricted Unit and the income of the household. The application form shall be subject to the prior approval of the City Manager, which approval shall not be unreasonably withheld, conditioned, or delayed. Without limiting the foregoing, the City Manager may require that Developer's verification process require the prospective renter or purchaser to submit, without limitation, income tax returns and/or paycheck stubs to verify income. h. Over -Income Tenants. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer shall comply with the following rule: any tenant in the Restricted Unit who initially qualified as a Low Income Household, and who no longer qualifies as a Low Income Household, shall pay as rent an amount equal to 30 percent of the household income, and shall be given one (1) year to relocate from the Restricted Unit for which such tenant initially qualified. i. Upon the close of each escrow for Developer's transfer of a Restricted Unit to a Qualified Purchaser, City shall cooperate with Developer in executing and causing to be recorded an instrument terminating this Agreement such that, after the closing, Developer's obligations with respect to that Restricted Unit shall terminate and, thereafter, the rights and obligations of the City and the Qualified Purchaser (and its successors and transferees) shall be as set forth in the Agreement and Covenants Concerning Use and Resale of Residential Unit (Exhibit "B" hereto) and the Right of First Refusal (Exhibit "C" hereto) recorded at the closing. 4. Maintenance of the Property. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer, its successors and assigns, shall maintain the Property in the same aesthetic and sound condition (or better) as the condition of the Property at the time City issues a Release of Construction Covenants, reasonable wear and tear excepted. This standard for the quality of maintenance of the Property shall be met whether or not a specific item of maintenance is listed below. However, 15-5006.001 / 135291 representative items of maintenance shall include frequent and regular inspection for graffiti or damage or deterioration or failure, and immediate repainting or repair or replacement of all surfaces, fencing, walls, equipment, etc., as necessary; emptying of trash receptacles and removal of litter; sweeping of public sidewalks adjacent to the Property, on -site walks and paved areas and washing -down as necessary to maintain clean surfaces; maintenance of all landscaping in a healthy and attractive condition, including trimming, fertilizing and replacing vegetation as necessary; cleaning windows on a regular basis; painting the buildings on a regular program and prior to the deterioration of the painted surfaces; conducting a roof inspection on a regular basis and maintaining the roof in a leak -free and weather -tight condition; maintaining security devices in good working order. In the event Developer, its successors or assigns fails to maintain the Improvements in accordance with the standard for the quality of maintenance, City or its designee shall have the right but not the obligation to enter the Property upon reasonable notice to Developer, correct any violation, and hold Developer, or such successors or assigns responsible for the cost thereof, and such cost, until paid, shall constitute a lien on the Property. 5. Obligation to Refrain from Discrimination. Developer covenants and agrees for itself, its successors and its assigns in interest to the Property or any part thereof, that there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land. The covenants in this Section 5 shall remain in effect in perpetuity. 6. Form of Nondiscrimination and Nonsegregation Clauses. Developer shall refrain from restricting the rental, sale or lease of the Property on the basis of sex, sexual orientation, marital status, race, color, creed, religion, ancestry or national origin of any person. All deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: a. In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m ) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming udder or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." 15-5006.001 / 135291 b. In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926, 1, subdivision ( in ) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." C. In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land." The covenants in this Section 6 shall remain in effect in perpetuity. 7. Covenants Running with the Land. All conditions, covenants and restrictions contained in this Agreement shall be covenants running with the land, and shall, in any event, and without regard to technical classification or designation, legal or otherwise, be, to the fullest extent permitted by law and equity, binding for the benefit and in favor of, and enforceable by City, its successors and assigns, against Developer, its successors and assigns, to or of the Property or any portion thereof or any interest therein, and any party in possession or occupancy of said Property or portion thereof. City and the City shall be deemed the beneficiaries of the covenants, conditions and restrictions of this Agreement both for and in their own rights and for the purposes of protecting the interests of the community. The covenants, conditions, and restrictions shall run in favor of the City without regard to whether the City has an interest therein in the Property. 8. Permitted Mortgages. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Agreement shall defeat or render invalid or in any way impair the lien or charge of any mortgage permitted by the DA. 9. Payment of Real Estate Taxes. Developer shall pay when due all real estate taxes levied on the Property or any improvements thereon or any interest therein and refrain from appealing, challenging or contesting in any manner the validity or amount of any tax assessment, I5-5006.001 / 135291 encumbrance or lien on the Property ("Imposition"); provided, however, that such prohibition shall not apply to an appeal, challenge or contesting of the erroneous initial assessment of the Project in the fiscal year of Completion. 10. Notice and Opportunity to Cure. Prior to exercising any remedies hereunder, City shall give Developer notice of such default. If the default is reasonably capable of being cured within thirty (30) days, Developer shall have such period to effect a cure prior to exercise of remedies by City. If the default is such that it is not reasonably capable of being cured within thirty (30) days, and Developer (a) initiates corrective action within said period, and (b) diligently, continually, and in good faith works to effect a cure as soon as possible, then Developer shall have such additional time as is reasonably necessary to cure the default prior to exercise of any remedies by City, but in any event no more than one hundred and twenty days (120) days of receipt of such notice of default from the City. 11. Enforcement. If a violation of any of the covenants or provisions of this Agreement remains uncured after the respective time period set forth in Paragraph 9 above, City and its successors and assigns, without regard to whether City or its successors and assigns is an owner of any land or interest therein to which these covenants relate, may institute and prosecute any proceedings at law or in equity to abate, prevent or enjoin any such violation or attempted violation or to compel specific performance by Developer of its obligations hereunder. No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right of any party entitled to enforce the provisions hereof or to obtain relief against or recover for the continuation or repetition of such breach or violations or any similar breach or violation hereof at any later time. 12. Partial Release of Agreement. If this Agreement is initially recorded against a lot or lots comprising more than the Restricted Unit and a final tract map or condominium map or maps is (are) recorded at a later date creating the Restricted Unit as a separate legal lot, City shall cooperate with Developer, at no expense to City, in causing a partial release of this Agreement to be executed, acknowledged, and recorded against all of the lots excepting only the lot comprising the Restricted Unit. The form of said partial release shall be reasonably satisfactory to the City Attorney of City. 13. Counterparts. This Agreement may be executed in counterparts, each of which shall be an original and all of which shall constitute one and the same instrument. The signature pages of one or more counterpart copies may be removed from such counterpart copies and all attached to the same copy of this. Agreement, which, with all attached signature pages, shall be deemed to be an original Agreement. REST OF PAGE NOT USED 15-5006.001 1 135291. 14. Estoppel Certificates. City shall provide estoppel certificates from time to time, upon the request of Developer or the holder of a security interest in the Property (subject to any restrictions on Transfer in the DA). The estoppel certificates shall address any inquiries regarding the status of any provisions in this Agreement or the DA that may have expired or terminated. IN WITNESS WHEREOF, the City and Developer have executed this Agreement as of the date first set forth hereinabove. DEVELOPER: CITY: BONANNI DEVELOPMENT/3B CITY OF HUNTINGTON BEACH CORPORATION, a California A California municipal corporation General Partnership M. Its: Mayor By: Its: City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development RENEWED AND APPROVED: City Manager 8 15-5006.001 / 135291 To Agreement Containing Covenants Affecting Real Property LEGAL DESCRIPTION 15-5006.001/135287/PD EXHIBIT "A" LEGAL DESCRIPTION (to be inserted) 15-5006.001 / 135291 To Agreement Containing Covenants Affecting Real Property AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF . RESIDENTIAL UNITS 15-5006.001/ 13 5287/PD OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Space above this line for Recorder's use only AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS [LOW INCOME HOUSEHOLD] This AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS (this "Agreement") is dated for identification purposes as of 2016 and is entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation (the "City") and (list all owners) (the "Owner") upon the terms and subject to the conditions set forth herein. As used herein, the term the "Owner" shall be deemed to include: (i) the foregoing listed individual or individuals and (ii) the successors and assigns of such individual or individuals during the time the successors and/or assigns own or hold an interest in the Unit. The City and the Owner are sometimes hereinafter referred to individually as a "Party" and collectively as the "Parties." This Agreement is made with reference to the following facts: RECITALS A. ' iN HEREAS, prior to or concurrently with the execution of this Agreement, the Owner has executed and entered into an agreement which entitles the Owner, subject to the terms and conditions thereof, to acquire a residential unit (the "Unit") in the project in the City of Huntington.Beach, which unit is legally described in Exhibit "A" attached hereto and incorporated herein by this reference, at an "Affordable Housing Cost" with respect to a Low Income household whose annual household income exceeds fifty percent (50%), but does not exceed eighty percent (80%) of area median income for Orange County, adjusted for applicable household size, established and amended from time to time pursuant to Section 8 of the United States Housing Act of 1937") (the "Income Restriction Level"). "Affordable Housing Cost" shall have the meaning provided by California Health and Safety Code Section 50052.5(b) for Low Income units and shall be computed in accordance with the Community Redevelopment Law of the State of California (California Health & Safety Code Section 33000 et seq.) and the regulations promulgated pursuant thereto or incorporated therein, including, without limitation, 15-5006.001/13 5290/PD all regulations promulgated pursuant to California Health and Safety Code Section 50093, or any successor statute; and B. WHEREAS, the City desires to ensure, for the benefit of all future residents of the Unit, and the community at large, that the Unit remains available at an Affordable Housing Cost to a household whose income does not exceed the Income Restriction Level from the date the Owner first acquires title to the Unit until , 20 (the fifty-fifth (55th) anniversary of the date the City issued a certificate of occupancy for the Unit (such period being referred to herein as the "Term"), in accordance with the terms and conditions of this Agreement. DECLARATION AND AGREEMENT NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS, WHICH ARE INCORPORATED HEREIN BY THIS REFERENCE AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS HEREBY ACKNOWLEDGED, THE PARTIES HEREBY DECLARE AND AGREE TO THE FOLLOWING: 1. Warranty of Qualifications. The Owner covenants, represents and warrants that the applications and information previously submitted to the seller of the Unit by the Owner are true, complete, and not misleading, and that the Owner meets all of the following criteria: (i) During the Term, the Owner (and, if there is more than one (1) individual owner, then each such person individually) shall occupy the Unit as his or her primary residence for so long as he or she shall have an ownership interest in the Unit; (ii) The Owner does not own any other residential real property other than an existing residence being sold concurrently with the Owner's purchase of the Unit; and (iii) The household which will occupy the Unit did not during the preceding calendar year and will not during the current calendar year have a combined "gross income" (as defined in Section 6914 of Title 25 of the California Code of Regulations) in excess of the Income Restriction Level set forth above. The City agrees that future changes in income after the current calendar year shall not affect the income qualification of the Owner and that such future changes in income are not within the scope of the representation and warranty set forth above. 2. Continuing Affordability. The Owner agrees and covenants on behalf of itself and its heirs, successors and assigns, that during the Term of this Agreement, and except as expressly provided in Section 3(b): (a) neither the Unit nor any interest therein (including, without limitation, any right to use or occupy the Unit) shall be sold, granted, leased, pledged, encumbered, mortgaged, assigned or otherwise conveyed or transferred, whether voluntarily or involuntarily (any such transfer being referred to below as a "Transfer"), except at an Affordable Housing Cost (as defined by California Health and Safety Code Section 50052.5(b)(4) and determined by the City, in its good -faith discretion, based upon a reasonable down payment, but not, in any event, in 2 15-5006.001/135290/PD excess of twenty percent (20%) of the proposed purchase price for the Unit) to a household of the Income Restriction Level and meeting the other qualifications set forth in Section l; and (b) the Unit shall at all times remain Owner -Occupied. For purposes of this Section 2(b), the term "Owner -Occupied" means the Unit is regularly and continuously occupied as a primary residence by the Owner and the members of the Owner's household. The Owner specifically acknowledges, covenants and agrees that any Transfer or use of the Unit in violation of Section 2(a) or 2(b), respectively, may be enjoined by the City and the City shall have the right to void any Transfer, attempted Transfer or use in violation thereof. The City acknowledges that the down payment limitation set forth in Section 2(a) is only for purposes of determining compliance with the Affordable Housing Cost requirements, and shall not be construed or understood to limit or restrict an otherwise qualifying owner from paying a permitted purchase price in cash or with a down payment in excess of twenty percent (20%). (c) Owner shall submit an annual report to the City that includes whether there was a change in ownership of the Unit from the prior year and, if so, the income and family size of the new owners. The income information required by this subsection (c) shall be supplied by Owner in a certified statement on a form provided by the City. 3. Subordination; Exempt Transfer. (a) Subordination. Notwithstanding any other provisions hereof, the provisions of this Agreement shall be subordinate to the lien of that certain first deed of trust (the "First Deed of Trust") on the Unit, executed by the Owner, as trustor, in favor of , as trustee, for the benefit of , as beneficiary, and its assignees or successors in interest (the "First Lienholder") and recorded concurrently with this Agreement, and to any refinancing of that loan (the "Acquisition Loan") constituting an Exempt Transfer (as defined below), provided that the First Lienholder (and any successor lender refinancing the Acquisition Loan) shall agree to provide the City with written notice of any default under the First Deed of Trust (or any such successor loan) and provide the City with not less than ninety (90) days thereafter in which to cure such default before proceeding with any foreclosure or deed in lieu of foreclosure with respect to the Unit. Any notice delivered to the City under this paragraph shall be delivered in the manner specified in Section 15 for delivery of notices to the City. Upon timely cure of the default under the First Deed of Trust and the City's acquisition, at its election, of the Owner's interest in the Unit, the City shall have the right to assume the loan secured by the First Deed of Trust so long as the City maintains ownership of the Unit, and, so long as the City continues as the Owner, the First Lienholder shall not exercise any due on sale clause contained in the First Deed of Trust. (b) Exempt Transfer. Notwithstanding any other provision of this Agreement, the following Transfers of an interest in the Unit (an "Exempt Transfer") shall be exempt from. the requirements of Section 2(a), provided, however, that Section 2(a) shall apply to any and all Transfers subsequent to an Exempt Transfer (other than another Exempt Transfer): 15-5006.001/ 135290/PD (i) execution of a deed of trust in favor of an institutional lender to secure repayment of a loan, the proceeds of which are used solely to repay the Acquisition Loan, or any successor loan executed in connection with refinancing of the Acquisition Loan and whose proceeds are similarly limited to the amount of the loan refinanced, provided that the lien is being created in good faith and not for the purpose in whole or in part of circumventing the Transfer restrictions contained in this Agreement; (ii) a transfer of title by an Owner, meeting all of the requirements of and otherwise in compliance with this Agreement, to a revocable living trust established by such Owner for estate planning purposes, provided that such Owner shall continue occupancy of the Unit notwithstanding such Transfer, that advance written notice of such Transfer shall be given to the City, and that any further Transfer of the Unit by the trust shall be subject to and in accordance with the requirements of this Agreement; and (iii) a transfer of title or an interest therein occurring by will, bequest, or inheritance upon the death of an Owner or a transfer of title or an interest therein as a result of a conservatorship or similar event.based upon the mental or physical incapacity of an Owner. 4, Transfer Review. During the Term of this Agreement, no Owner shall cause or permit a Transfer of the Unit or of an interest therein to occur without prior written confirmation from the City that the City has determined that the proposed Transfer will meet the criteria specified in Section 2 or constitutes an Exempt Transfer under Section 3(b). The City shall not be obligated to approve a Transfer until and unless the propose transferee has submitted to the City such information and completed such forms and certifications as the City shall request in connection -with insuring compliance with this Agreement, which may include, but shall not be limited to, certifications as to the proposed transferee's intent with respect to its residency of the Unit, its gross income, the proposed purchase price, the proposed transferee's agreement to abide by the terms and conditions of this Agreement, disclosure of the proposed transferee's interest, if any, in other residential property, the composition of the members of the proposed transferee's household, and a "Purchaser Disclosure and Acknowledgment" form in the same form as executed by the proposed transferee's predecessor in interest. In addition, prior to conveyance of the Unit at anytime during the Term and as a condition to the effectiveness thereof, each proposed purchaser shall, if requested by the City, submit to the City an executed disclosure statement which certifies that the purchaser is aware that the purchaser may only sell the Unit at an Affordable Housing Cost to a household of the Income Restriction Level, that the maximum permitted sales price may be less than the fair market value, and that at all times during the Term the Unit must remain Owner -Occupied and cannot be rented or leased. Each Owner shall cooperate with the City in providing such forms to proposed purchasers, and acknowledges and agrees that its right to Transfer the Unit during the Tenn is subject to and conditioned upon its compliance with the requirements of the City applicable to implementation of the foregoing provisions. THE OWNER AND EACH SUCCESSOR, HEIR OR ASSIGN OF THE OWNER UNDERSTANDS THAT THE DETERMINATION OF AFFORDABLE HOUSING COST CAN BE MADE ONLY AT THE TIME OF THE PROPOSED TRANSFER, TAKING INTO CONSIDERATION INTEREST RATES, CHANGES IN COUNTYWIDE MEDIAN INCOME, 4 15-5006.001/135290/PD THE TERMS OFFERED TO AND THE ECONOMIC CIRCUMSTANCES OF THE PROPOSED PURCHASER AND OTHER FACTORS THAT CANNOT BE ACCURATELY PREDICTED, AND THAT THE TRANSFER PRICE PERMITTED HEREUNDER MAY BE LESS THAN THE FAIR MARKET VALUE OF THE UNIT AND MAY NOT INCREASE OR DECREASE IN THE SAME MANNER AS OTHER SIMILAR REAL PROPERTY WHICH IS NOT ENCUMBERED BY TRANSFER RESTRICTIONS. THE OWNER AND EACH SUCCESSOR, HEIR OR ASSIGN OF THE OWNER FURTHER ACKNOWLEDGES THAT AT ALL TIMES. IN SETTING THE TRANSFER PRICE THE PRIMARY OBJECTIVE OF THE CITY AND THIS AGREEMENT IS TO PROVIDE HOUSING TO LOW-INCOME HOUSEHOLDS AT AN AFFORDABLE HOUSING COST. 5. Nondiscrimination. The Owner covenants by and for itself, its successors and assigns and all persons claiming under or through them that there shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Unit, nor shall the Owner itself or any person claiming under or through the Owner establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Unit or any portion thereof. The Owner, its successors and assigns, shall refrain from restricting the sale of the Unit on the basis of the race, color, creed, religion, sex, marital status, national origin or ancestry of any person. All deeds, leases or contracts with respect to the Unit shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (i) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." (ii) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him 15-5006.001113 5290(PD or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." (iii) In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, .or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land." Nothing in this Section 5 shall be construed to authorize a Transfer of the Unit if such sale, rental, lease, assignment, encumbrance or other Transfer is not otherwise permitted by this Agreement. The covenants in this Section 5 shall remain in effect in perpetuity. 6. Remedies; Attorneys' Fees and Costs. Breach of the covenants contained in this Agreement may be enjoined, abated or remedied by appropriate legal proceeding. If the City incurs any attorneys' fees, court costs or any other costs or expenses in investigating compliance with or enforcing this Agreement or investigating or defending claims brought by the Owner under this Agreement, then the City shall be entitled to recover any such fees, costs and expenses from the Owner. 7. Rights of the City. The City has the right, but not the obligation, to enforce all of the provisions of this Agreement. Any amendment to this Agreement shall require the written consent of the City. 8. Notice of Inspection. The Owner agrees and acknowledges that the City and its employees and agents shall have the right to enter upon the Unit during normal business hours (Monday through Friday, between 9:00 am. and 5:00 p.m.) to ensure compliance with this Agreement and other applicable federal, state and local laws and regulations. The City agrees to notify the Owner not less than twenty-four (24) hours prior to the City's proposed time of inspection of the Unit, and agrees to attempt to obtain the Owner's consent to the timing of such inspection. Upon receipt of such notice, the Owner agrees to cooperate with the City in making the Unit available for inspection by the City. The Owner agrees to cooperate with the City and provide the City with such information regarding occupancy of the Unit as the City may request in writing from time to time, in order to enable the City to monitor the Owner's compliance with the occupancy restrictions set forth in Section 2(a) and (b) of this Agreement. 9. Construction. The provisions of this Agreement shall be liberally construed for the purpose of maintaining the availability and affordability of the Unit to persons meeting the criteria set forth in Sections 1 and 2. 15-5006.001/135290/PD 10. Cure Rights. The Owner shall notify the City in writing within three (3) days after receiving any notice of default, delinquency or foreclosure with respect to any lien or agreement (including, without limitation, any defaults under the covenants, conditions and restrictions applicable to the condominium development of which the Unit is a part or any default under the Acquisition Loan) which could potentially affect the Owner's right, title and interest in the Unit. The City shall have the option, but not the obligation, to advance any sums due or take any other actions necessary to stay or cure the default, delinquency or foreclosure, and the City shall thereafter be entitled to recover immediately from the Owner and the Owner shall immediately pay to the City any payments, costs and expenses incurred in connection with the stay and/or cure, including, without limitation, attorneys' fees and court costs, together with interest thereon at the rate of ten percent (10%) per annum from the date advanced or incurred until the date repaid. 11. Transfer Voidable If Procedure Not Followed. Any Transfer of the Unit by the Owner without full compliance with the terms and procedures set forth above and in the Right of First Refusal executed in connection herewith shall be voidable by the City at the City's election in its sole, absolute and unfettered discretion. 12. Recordation. The Parties shall cause this Agreement to be recorded in the official records of Orange County, California. 13. Covenants For Benefit of the City. All covenants without regard to technical classification or designation shall be binding for the benefit of the City and such covenants shall run in favor of the City without regard to whether the City is or remains an owner of any land or interest therein to which such covenants relate. The City, in the event of any breach of any such covenants, shall have the right to exercise all the rights and remedies and to maintain any actions at law or suits in equity or other proper legal proceedings to enforce and to cure such breach to which it or any other beneficiaries of these covenants may be entitled during the term specified for such covenants. 14. Remedies Cumulative. The remedies herein provided for breach of the covenants contained in this Agreement shall be deemed cumulative, and none of such remedies shall be deemed exclusive. The Parties acknowledge that the City's rights under this Agreement are in addition to, rather than in lieu of, other rights and remedies of the City provided in the Right of First Refusal executed in connection herewith and other project documents. 15. Oblijzations Secured by Lien. (a) Creation and Release of Lien. All sums due from the Owner under the provisions of this Agreement shall constitute a lien on the Unit. The lien shall become effective upon recordation by the City or the City's authorized agent of a notice of lien ("Notice of Lien") concerning nonpayment of any sum due hereunder. The Notice of Lien shall state (i) the amount due, which amount shall include interest at the rate of ten percent (10%) from the date due to the date paid, and shall also include the cost of preparing and recording the Notice of Lien, (ii) the expenses of collection in connection with any nonpayment, including, without limitation, reasonable attorneys' fees, (iii) a description of the Unit, (iv) the name and address of the City, 15-5006.001 / 13 5290/PD (v) the name of the Owner and (vi) in order for the lien to be enforced by nonjudicial foreclosure, the name and address of the trustee authorized by the City to enforce the lien by sale. The lien shall relate only to the individual Unit and not to the condominium project as a whole. Upon payment to the City of the full amount claimed in the Notice of Lien, or other satisfaction thereof, the City shall cause to be recorded a notice of Satisfaction and Release of Lien ("Notice of Release") stating the satisfaction and release of the amount claimed. The City may demand and receive from the Owner a reasonable charge for the preparation and recordation of the Notice of Release before recording it. Any purchaser or encumbrancer who has acted in good faith and extended value may rely upon the Notice of Release as conclusive evidence of the full satisfaction of the sums stated in the Notice of Lien. (b) Enforcement of Liens. The lien established pursuant to this Section 15 may be enforced by sale of the Unit by the City, the City's attorneys, any title insurance company authorized to do business in California, or other persons authorized to conduct the sale as a trustee, after failure of the Owner to pay any sum due in accordance with this Agreement within thirty (30) days after recordation of the Notice of Lien. The sale shall be conducted in accordance with the provisions of the California Civil Code applicable to the exercise of powers of sale in mortgages and deeds of trust, or in any other manner permitted by law. The City, through its agents, shall have the power to bid on the Unit at the foreclosure sale, and to acquire and hold, lease, mortgage and convey the same. Upon completion of the foreclosure sale, an action may be brought by the City or the purchaser at the sale in order to secure occupancy of the Unit, and the Owner shall be required to pay the reasonable rental value for the Unit during any period of continued occupancy by the Owner or any persons claiming under the Owner. Suit to recover a money judgment for any amounts due under this Agreement shall be maintainable without foreclosing or waiving any lien securing the same, but this provision or any institution of suit to recover a money judgment shall not constitute an affirmation of the adequacy of money damages. Any recovery resulting from a suit at law or in equity initiated pursuant to this Section 15 shall include reasonable attorneys' fees as fixed by the court. 16. Notices. All notices required or permitted hereunder shall be delivered in person or by overnight courier, or by registered or certified mail, postage prepaid, return receipt requested to such Party at its address shown below, or to any other place designated in writing by such Parry. If to the Owner: , Unit Huntington Beach, California If to the City: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Any such notice shall be deemed received upon delivery, if delivered personally, one (1) business day after delivery to an overnight courier, if delivered by overnight courier, and three 15 -5 006.001/ 13 52 90/PD (3) business days after deposit into the United States Mail, if delivered by registered or certified mail. 17. No Waiver. Failure by the City to enforce or delay by the City in enforcing any right or remedy with respect to this Agreement shall not bar or limit any subsequent enforcement of the same or any other right or remedy with respect to the same subject matter or a different subject matter. Rights and remedies of the City under this Agreement may be waived or modified only by a written instrument signed by the City which states an express intention, to waive or modify such rights and remedies. 18. Incorporation of Exhibit. Exhibit "A" attached to this Agreement is hereby incorporated into this Agreement by this reference as though fully set forth herein. 19. Further Assurances. The Owner shall from time to time provide the City with such further information and shall execute such further documentation and agreements as may be reasonably necessary or appropriate to carry out the purposes of this Agreement. 20. Joint and Several Obligations. If at any time the Unit is owned by more than one (1) individual, then all of the multiple owners shall be jointly and severally liable for the obligations imposed by this Agreement. REST OF PAGE INTENTIONALLY LEFT BLANK 9 15-5005A01/ 135290/PD 21. Severability. If any provision or clause of this Agreement conflicts with applicable law, or is otherwise rendered unenforceable or ineffectual, then the validity of the remaining parts, terms, portions or provisions, or the application thereof to other persons or circumstances, shall be deemed severable and the same shall remain enforceable and valid to the fullest extent permitted by law. IN WITNESS WHEREOF, the City and Owner have executed this Agreement as of the date first set forth hereinabove. OWNER: CITY: CITY OF HUNTINGTON BEACH A California municipal corporation Name: Mayor Name: City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager 10 15-5006.001113 5290/PD RIGHT OF FIRST REFUSAL EXHIBIT "A" LEGAL DESCRIPTION (to be inserted) 15-5006,001/135290/PD [8614401� -NMI To Agreement Containing Covenants Affecting Real Property SAMPLES OF AFFORDABLE HOUSING PROGRAM DOCUMENTS 15-5006.001/135290/PD PROMISSORY NOTE TO SECURE AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY (7762 Garfield Avenue) THIS PROMISSORY NOTE (the "Note") is dated this _ day of , , between ("Promissor") and the Housing Authority of the City of Huntington Beach ("Authority") with reference to the following facts: A. This Promissory Note is made in reference to that property in the City of Huntington Beach, County of Orange, State of California, with the street address 7762 Garfield Avenue, Huntington Beach, California 92648, and the Assessor's Parcel No. (the "Property"). B. An "Agreement and Covenant Concerning Use and Resale of Residential Units [Low Income Household]" was recorded on as Instrument Number , in the Office of the County Recorder of the County of Orange, California (the "Resale Restrictions"). Among other things, the Resale Restrictions limit the price that the Property may be sold to an "Affordable Housing Cost" to "Low Income Households," as those terms are defined in the Resale Restrictions, and further defined in the current Affordable Housing Regulations of the City of Huntington Beach and the Authority Deed of Trust referred to below. C. Concurrently with executing this Note, Promissor has executed a Deed of Trust securing and modifying the Resale Restrictions (the "Authority Deed of Trust"). D. Pursuant to the Resale Restrictions, the City has approved the sale of the Property to Promissor at an Affordable Housing Cost. To insure that any further sale, transfer or assignment of the Property occurs with the City's approval and at an Affordable Housing Cost, the City has required as a condition of the Promissor's purchase of the Property that Promissor execute this Note. AGREEMENT NOW, THEREFORE, the parties agree as follows: 1. Incorporation of Recitals. The recitals set forth above are incorporated by reference as though fully set forth herein. - 2. Amount of the Note. The Amount of this Note is the "Transfer Price" of the Property, less the "Affordable Housing Cost." The Transfer Price shall be determined according to the circumstances that cause the Amount of the Note to become due pursuant to Section 3 of this Note. In the case of the sale of the Property without the City's consent, the Transfer Price shall be the market sales price. In the case of the financing or refinancing of the Property without the City's consent, the Transfer Price shall be the loan amount in excess of the last loan balance on the First Mortgage that the 15-5006.001/PD City previously approved. In all other cases, the Transfer Price shall be the fair market value of the Property as established by the Director of Economic Development of the City pursuant to an appraisal. The term "Affordable Housing Cost" shall be defined according to the current Affordable Housing Regulations as adopted by the City of Huntington Beach. Promissor promises to pay the Amount of this Note when due to the Housing Authority at 2000 Main Street, P.O. Box 190, Huntington Beach, California 92648, or at such other address as Agency may direct from time to time in writing. All sums hereunder shall be payable in lawful money of the United States of America and all sums shall be credited first to interest then due and the balance to principal. 3. Due on Sale, Transfer or Refinancing. Promissor agrees to notify the Authority not less than thirty (30) days prior to (i) the sale or transfer of the Property or (ii) any financing or refinancing of the Property. This Note shall be due and payable upon (i) such sale or transfer without the City's consent, (ii) the financing or refinancing of the Property without the City's consent, (iii) Promissor is no longer an occupant of the Property, or (iv) Promissor is in material default of any other obligation under the Resale Restrictions, or the Authority Deed of Trust. 4. Expiration of the Note Qbli ate. In the event Promissor does not sell or transfer the Property, does not fail to occupy the Property, does not refinance, or is not in material breach of any other provision of the Resale Restrictions or the Authority Deed of Trust before the Sixtieth anniversary of the date of this Note, Promissor shall have no obligation to pay the Note Amount to Authority upon later sale, transfer or refinancing of the Property. 5. Default. The entire unpaid Amount of this Note shall be due and payable in full in the event of a default. a. Events of Default. The following shall be deemed to be an event of default: i. Failure of Promissor to pay any real property taxes or insurance premiums on the Property as they become due; or ii. Any material breach of the Resale Restrictions or the Authority Deed of Trust, following the Authority giving notice of the breach and an opportunity to cure; or iii. Failure of Promissor to pay the Note Amount when due. 6. This Note is secured by a Deed of Trust, dated , to the City of Huntington Beach, as Trustee, executed by Promissor in favor of the Authority. 7. Notice. All payments, notices, consents, waivers and other communications under this Agreement must be in writing and shall be deemed to have been given when (a) delivered by hand, or, (b) when received by the addressee, if sent by 15-5006.001/PD 2 a nationally recognized overnight delivery service (receipt requested), in each case addressed as set forth below: If to PROMISSOR: Huntington Beach, CA 92648 If to AGENCY: Housing Authority of the City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attention: City Clerk and, Executive Director Housing Authority of the City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 8. Governing Law. This Agreement is governed by and shall be construed in accordance with the laws of the State of California without giving effect to the conflict of laws principles thereof. The parties agree to personal jurisdiction in the State Courts in Orange County, California and specifically waive any claims of forum non conviens. 9. Modification. This Agreement shall not be amended or modified, except in writing, signed by both parties. 10. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the successors and assigns under this Note. This Note shall not be assigned without the express written consent of Authority. PROMISSOR Dated: 15-5006.001/PD HOUSING AUTHORITY OF THE CITY OF HUNTINGTON BEACH LZA Deputy Executive Officer APPROVED AS TO FORM: OFFICE OF HUNTINGTON BEACH CITY ATTORNEY By: City Attorney Dated: 3 OFFICIAL BUSINESS Document entitled to free recording per Government Code Sections 6103 and 27383 Recording Requested By: Housing Authority of the City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: Business Development Dept./Housing Div. SPACE ABOVE THIS LINE FOR RECORDER'S USE DEED OF TRUST WITH ASSIGNMENTS OF RENTS TO SECURE AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY (7762 Garfield Avenue) THIS DEED OF TRUST is made this day of , by and between , whose address is 7762 Garfield Avenue, Huntington Beach, California 92648 (the "Trustor") and the CITY OF HUNTINGTON BEACH, a municipal corporation (the "Trustee") and the HOUSING AUTHORITY OF THE CITY OF HUNTINGTON BEACH, a public body corporate and politic (the `Beneficiary"), whose address is 2000 Main Street, Huntington Beach, California 92648, with reference to the following facts: A. This Deed of Trust is made in reference to that property in the City of Huntington Beach, County of Orange, State of California, described legally in the Legal Description attached hereto as Exhibit "A" and incorporated herein with the street address , Huntington Beach, California 92648 and the Assessor's Parcel No. (the "Property"). B. An "Agreement of Covenant Concerning Use and Resale of Residential Units [Low Income Household]" was recorded on , as Instrument Number , in the Office of the County Recorder of the County of Orange, California (the "Resale Restrictions"), Among other things, the Resale Restrictions limit the price that the Property may be sold to an "Affordable Housing Cost" to "Low Income Households," as those terms are defined in the Resale Restrictions, and further defined in the current affordable housing regulations of the City of Huntington Beach and this Deed of Trust. C. Pursuant to this Deed of Trust, the Resale Restrictions as applied to the Property are set to expire on or about , 2072. NOW, THEREFORE, TRUSTOR HEREBY irrevocably grants, transfers and assigns, to Trustee, in trust, with power of sale of the Property, together with (a) all buildings, improvements and fixtures, now or hereafter placed thereon, it being understood and agreed that all classes of property attached or unattached used in connection herewith shall be deemed fixtures, (b) rents, issues and profits thereof, (c) any water rights and/or stock are appurtenant or 15-5006.001 / 146518/PD pertain to said land, and (d) all sums of money payable on the purchase price of the Property secured by a lien thereon or payable under any agreement for the sale thereof, SUBJECT, HOWEVER, to the right, power and authority hereinafter given to and conferred upon Beneficiary to collect and apply such rents, issues and profits, and all sums of money payable on the purchase price of the Property secured by a lien thereon or payable under any agreement. A. FOR THE PURPOSE OF SECURING: 1. Payment of the indebtedness evidenced by a promissory note executed by Trustor on (the "Note"). The Amount of the indebtedness is the "Transfer Price" of the Property, less the "Affordable Housing Cost." The calculation of the Amount of the indebtedness is set forth with specificity in the Note, which is on file with the - Economic Development Department of the City of Huntington Beach. 2. Performance of each and every obligation, covenant, promise and agreement of the Resale Restrictions, as amended by this Deed of Trust. B. TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR AGREES: l . Trustor agrees for itself, and its successors and assigns, and every successor to Trustor's interest in the Property, or any part thereof that until , 2072 (the "Expiration Date"), to perform all obligations due under the Resale Restrictions, as those obligations are restated and modified as set forth below: (a) The Property shall only be owned and occupied by persons or families of "Low Income." "Low Income" shall mean persons or families earning eighty percent (80%) or less of Orange County median income, adjusted for appropriate family size. (b) The Property may only be sold at an "Affordable Housing Cost" to households of "Low Income," as those terms are defined in current Affordable Housing Regulations as adopted by the City of Huntington Beach. Generally, those Regulations define Affordable Housing Cost to mean that purchase price which would result in monthly housing payments which do not exceed Thirty -Five Percent (35%) of Eighty Percent (80%) of the current Orange County monthly median income for a household equal to the number of bedrooms in the unit plus one (1) person. In determining monthly housing payments, the City will assume principal and interest payments on a conventional home mortgage after paying a ten percent (10%) down payment. The mortgage interest rate will be the prevailing Fannie Mae thirty (30) year mortgage rate, or a City -selected equivalent. Monthly housing costs will also include homeowner's association dues, utilities, homeowner's insurance, maintenance costs and property taxes. (c) The Trustor shall further comply with the Affordable Housing Guidelines promulgated by the City for purposes of administering the Affordable Housing Program of the City of Huntington Beach. (d) No transfer of the Property shall occur until the City of Huntington Beach determines (a) that the proposed purchaser intends to occupy the Property as the proposed 15-5006.001/ 146518/PD purchaser's principal residence, (b) that the proposed purchaser is a person or family of Moderate Income, (c) that the proposed transfer occurs at an Affordable Housing Cost. The City of Huntington Beach shall not be obligated to approve a transfer until and unless the proposed purchaser has submitted to the City of Huntington Beach such information and completed such forms as the City of Huntington Beach shall request to certify the proposed purchaser's intent with respect to its residency of the Property and its gross income, and the proposed purchaser has submitted an affidavit disclosing and certifying the amount of the proposed purchase price. Prior to conveyance of the Property, each approved purchaser shall submit to the City of Huntington Beach an executed disclosure statement which certifies that the purchaser is aware that the purchaser may only sell the unit at an Affordable Housing Cost to a Moderate Income person or family, that the maximum permitted sales price may be less than fair market value and that the unit must be owner -occupied at all times and cannot be rented or leased. TRUSTOR AND EACH SUCCESSOR, HEIR OR ASSIGN OF TRUSTOR UNDERSTANDS THAT THE DETERMINATION OF THE AFFORDABLE HOUSING COST CAN BE MADE ONLY AT THE TIME OF THE PROPOSED TRANSFER, TAKING INTO CONSIDERATION INTEREST RATES, THE TERMS OF SALE OFFERED TO AND THE ECONOMIC CIRCUMSTANCES OF THE PROPOSED PURCHASER AND OTHER FACTORS THAT CANNOT BE ACCURATELY PREDICTED, AND THAT THE TRANSFER PRICE PERMITTED HEREUNDER MAY BE LESS THAN THE FAIR MARKET VALUE OF THE PROPERTY AND MAY NOT INCREASE OR DECREASE IN THE SAME MANNER AS OTHER SIMILAR REAL PROPERTY WHICH IS NOT ENCUMBERED BY THIS RESTRICTION. TRUSTOR AND EACH SUCCESSOR, HEIR OR ASSIGN OF TRUSTOR FURTHER ACKNOWLEDGES THAT AT ALL TIMES IN SETTING THE TRANSFER PRICE THE PRIMARY OBJECTIVE OF THE BENEFICIARY AND THIS DEED OF TRUST IS TO PROVIDE HOUSING TO ELIGIBLE PERSONS OR FAMILIES AT AN AFFORDABLE HOUSING COST. Trustor Initials Trustor Initials (e) The City of Huntington Beach may impose any conditions on the approval of any transfer of the Property as it determines are reasonably necessary for the effective administration of its Affordable Housing Program. Such conditions may include, but are not limited to, requiring as a condition of the Property transfer that the buyer agrees to extend the Resale Restrictions for a new, fifty-five (55) year term. (f) The Covenants contained in this Section I shall run with the land and shall automatically terminate and be of no further force or effect 12072, 2. Trustor covenants by and for itself, its successors and assigns, and all persons claiming under or through them that there shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the said property, nor shall Trustor itself or any person claiming under or through it, establish or permit 15-5006.001 /146518/PD any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in said property. Trustor and its successors and assigns, shall refrain from restricting the rental or lease (if permitted by Trustor) or sale of said property on the basis of race, color, religion, sex, marital status, national origin or ancestry of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (a) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee or vendees in the land herein conveyed. The foregoing covenants shall run with the land." (b) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: "There shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, marital status, ancestry or national origin in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under to through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the premises herein leased." (c) In contracts: "There shall be no discrimination against or segregation of, any person, or group of persons on account of race, color, religion, sex, marital status, ancestry or national origin, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the transferee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee or vendees of the premises." Nothing in this Section 2 shall be construed to authorize the rental or lease of the Property if such rental or lease is not otherwise permitted. The covenants in this paragraph shall run with the land in perpetuity. 3. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Deed of Trust shall defeat or render invalid or in any way impair the lien or charge of any mortgage or deed of trust or security interest. 4 15-5006.001 / 146518/PD 4. Trustor has made certain representations and disclosures as a requirement under the Resale Restrictions in order to induce Beneficiary to approve the sale of the Property to Trustor. In the event that Trustor has made any material misrepresentation or failed to disclose any material fact regarding said transaction, Beneficiary at its option and without notice, shall have the right to declare a material breach of the Resale Restrictions and the Note. Beneficiary may make a written declaration of default and demand for sale as in paragraph No. b herein set forth. Trustee, upon presentation to it of an affidavit signed by Beneficiary setting forth facts showing a default by Trustor under this paragraph, is authorized to accept as true and conclusive all facts and statements therein, and to act thereon hereunder. 5. All covenants without regard to technical classification or designation shall be binding for the benefit of the Beneficiary and such covenants shall run in favor of the Beneficiary for the entire period during which such covenants shall be in force and effect, without regard to whether the Beneficiary is or remains an owner of any land or interest therein to which such covenants relate. The Beneficiary, in the event of any breach of any such covenants, shall have the right to exercise all the rights and remedies and to maintain any action at law or suits in equity or other proper legal proceedings to enforce and to cure such breach to which it or any other beneficiaries of these covenants may be entitled during the term specified for such covenants, except the covenants against discrimination which may be enforced at law or in equity at any time in perpetuity. b. Upon default by Trustor,in the obligations of the Note, in the performance of any obligation under this Deed of Trust or under the terms of any First Lender's Deed of Trust which is or appears to be prior or superior to this Deed of Trust, Beneficiary may declare all sums secured by this Deed of Trust immediately due and payable by delivering to Trustee of a written declaration of default and demand for sale and a written notice of default and election to sell the Property. Default in the payment of any indebtedness secured by this Deed of Trust, in the obligation of the Note, or in the performance of any agreement under this Deed of Trust constitutes a default only under this Deed of Trust and the Note and does not constitute a default under the First Deed of Trust. Trustee shall cause the notice of default to be recorded. Beneficiary also shall deposit with Trustee this Deed of Trust, the Note, and all documents evidencing any additional expenditures secured by this Deed of Trust. After the lapse of such time as then may be required by law following recordation of such notice of default, and notice of sale having been given as then required by law, Trustee, without demand on Trustor, shall sell the Property at the time and place fixed by it in such notice of sale, whether as a whole or in separate parcels, and in such order as it may determine, at public auction to the highest bidder qualified under the Resale Restrictions and this Deed of Trust in lawful money of the United States, payable at time of sale. Trustee may postpone sale of all or any portion of the Property by public announcement at such time and place of sale, and from time to time thereafter may postpone such sale by public announcement at the time fixed by the preceding postponement. Trustee shall deliver to such purchaser its Deed conveying the Property so sold, but without any covenant or warranty, express or implied. The recital in such Deed of any matters of fact shall be conclusive of the truthfulness thereof. Any person, including Trustor, Trustee, or Beneficiary as hereinafter defined, may purchase at such sale. Trustee may also sell at any such sale and as part thereof any shares of corporate stock securing the obligations secured hereby, and Trustor waives demand and notice of such sale. (Beneficiary at its option may also foreclose on such shares by independent 15-5006.001 / 14b518/PD pledge sale, and Trustor waives demand and notice of such sale.) After deducting all costs, fees and expenses of Trustee, and of this Trust, including cost of evidence of title in connection with this sale, Trustee shall apply the proceeds of sale to payment, first; all sums expended under the terms hereof, not then repaid, with accrued interest at the rate then payable under the First Lender Deed of Trust secured hereby, and then of all other sums secured hereby, and, if there are any proceeds remaining, shall distribute them to the person or persons legally entitled thereto. 7. Trustor shall keep the Property in good condition and repair; to allow Beneficiary or its representatives to enter and inspect the Property at all reasonable times and access thereto, shall be permitted for that purpose; not to remove or demolish any building thereon; not to make alterations thereto without the consent of the Beneficiary; to suffer or permit no change in the general nature of the occupancy of the Property without Beneficiary's written consent; to complete or restore promptly and in good workmanlike manner any building which may be constructed, damaged or destroyed thereon, including, without restricting the generality of the foregoing, damage from termites and dry -rot; to pay when due all claims for labor performed and materials furnished in connection with the Property and not to permit any mechanic's lien against the Property; to comply with all laws affecting the Property or requiring any alterations or improvements to be made thereon; not to initiate or acquiesce in any zoning reclassification without Beneficiary's written consent; not to commit or permit waste thereon; not to commit, suffer or permit any act upon the Property in violation of the law; to paint, cultivate, irrigate, fertilize, fumigate, prune, and do all other acts that from the character or use of the Property may be reasonably necessary; and to promptly pay all amounts due others upon agreements of lease or conditional sale of all fixtures, furnishings and equipment located thereon. 8. Trustor shall provide, and maintain in force at all times with respect to the Property, fire and other types of insurance as may be required by Beneficiary. All of such insurance shall have a loss payable endorsement in favor of Beneficiary, shall be for a term and in form, content, amount and in such companies as may be satisfactory to Beneficiary, and the policies therefore shall be delivered to and remain in possession of Beneficiary as further security for the faithful performance of these trusts. At least thirty (30) days prior to the expiration of any such insurance policy, a policy or policies renewing or extending such expiring insurance shall be delivered to Beneficiary together with written evidence showing payment of the premium therefore and, in the event any such insurance policy and evidence of the payment of the premium therefore are not so delivered by Trustor to Beneficiary, Trustor by executing this Deed of Trust specifically requests Beneficiary to obtain such insurance and Beneficiary, without obligation to do so, without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may obtain such insurance through or from any insurance agency or company acceptable to it, pay the premium thereof, and may add the amount thereof to the indebtedness secured hereby, which amount shall bear a like rate of interest. Beneficiary may furnish to any insurance agency or company, or any other person, any information contained in or extracted from any insurance policy delivered to Beneficiary pursuant hereto and any information concerning the loan secured hereby. Neither Trustee nor Beneficiary shall be responsible for such insurance or for the collection of any insurance monies, or for any insolvency of any insurer or insurance underwriter. In case of insurance loss, Beneficiary is hereby authorized either (a) to settle and adjust any claim under the insurance policies provided for in this document without the consent of the Trustor, or (b) to allow Trustor to agree with the insurance company or companies on the amount to be paid upon the loss. In either case, the Beneficiary is authorized to collect and make 6 15-5006.001 /146518/PD receipt of any such insurance money. If Trustor is obligated to restore or replace the damaged or destroyed buildings or improvements under the terms of any lease or leases which are or may be prior to the lien of this Deed of Trust and such damage or destruction does not result in cancellation or termination of such lease, such proceeds, after deducting therefrom any expenses incurred in the collection thereof, shall be used to reimburse the Trustor for the cost of rebuilding or restoring the buildings or improvements on said premises. In all other cases, such insurance proceeds shall either be applied for the cost of the rebuilding or restoring the buildings or improvements on said premises. Such buildings and improvements shall be so restored or rebuilt as to be of at least equal value and substantially the same character as prior to the damage or destruction, and shall be in a condition satisfactory to Beneficiary. Such application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice. Any and all unexpired insurance shall inure to the benefit of, and pass to the purchaser of, the property conveyed at any Trustee sale held hereunder. 9. Trustor shall pay: (a) at least ten (10) days before delinquency, all general and special City and County taxes, and all assessments on appurtenant water stock, affecting the Property, (b) when done, all special assessments for public improvements, without permitting any improvement bond to issue for any special assessment, (c) when done, all encumbrances, charges and lines, with interest, on the Property, or any part thereof, which are or appears to be prior to superior hereto, (d) if the security of this Deed of Trust is leasehold estate, to make any payment or do any act required of the Lessee or its successor in interest under the terms of the instrument or instruments creating said leasehold, (e) all costs, fees and expenses of this trust, (f) for any statement regarding the obligation secured hereby any amount demanded by Beneficiary not to exceed the maximum allowed by law thereof at the time when such request is made, (g) such other charges for services rendered by Beneficiary and furnished at Trustor's request or that of any successor in interest to Trustor as the Beneficiary may deem reasonable. 10. Should Trustor fail to make any payment or do any act as provided in this Deed of Trust, the Beneficiary or Trustee, but without obligation to do so and without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may (a) make or do the same in such manner and to such extent as either may deem necessary to protect the security hereof, Beneficiary or Trustee being authorized to enter upon the Property for such purposes, (b) commence, appear in, or defend any action or proceeding purporting to affect the security hereof or the property covered by this Deed of Trust, or the rights or powers of Beneficiary or Trustee, (c) pay, purchase, contest or compromise any encumbrance, charge or lien, which in the judgment of either is or appears to be prior or superior hereto, and (d) in exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable fees. Trustor agrees to repay any amount so expended on demand of Beneficiary, and any amount so expended may be added by Beneficiary to the indebtedness secured hereby and shall bear a like rate of interest. 1 t. Trustor shall appear in and defend any action or proceeding purporting to affect the security hereof or the Property which is covered by this Deed of Trust, or the rights or powers of Beneficiary or Trustee, and whether or not Trustor so appears or defends, to pay all costs and expenses, including cost of evidence of title and attorney's fees in a reasonable sum, in any such 7 15-5006.001 / 146518/PD action or proceeding in which Beneficiary or Trustee may appear by virtue of being made a party defendant or otherwise irrespective of whether the interest of Beneficiary or Trustee in the Property is directly questioned by such action, including any action for the condemnation or partition of said premises, and in any suit brought by Beneficiary to foreclose this Deed of Trust. 12. Trustor shall pay immediately and without demand, all sums expended under the terms of this Deed of Trust by Beneficiary or Trustee, with interest from the date of expenditure at the rate which the principal obligation secured hereby bears at the time such payment is made, and the repayment of such sums shall be secured hereby. 13. Should Trustor or any successor in interest to Trustor in the Property drill or extract, or enter into^a lease for drilling or extraction of oil, gas or other hydrocarbon substances or any mineral of any kind or character, or sell, convey, further encumber, or alienate the Property, or any party thereof, or any interest therein, or be divested of his title or any interest therein in any manner or way, whether voluntarily or involuntarily, Beneficiary shall have the right, at its option, to declare any obligations secured hereby irrespective of the maturity date specified in any Note evidencing the same, immediately due and payable, and no waiver of this right shall be effective unless in writing. 14. Any award, settlement or damages for injury or damages to the Property, or in construction with the transaction financed by such loan, and any award of damages in connection with any condemnation for public use of or injury to the Property, or any part thereof, is hereby assigned and shah be paid to Beneficiary, who may apply or release such monies received by it in such manner and with the same effect as above provided for the disposition of proceeds of fire or other insurance. 15. By accepting payment of any sums secured by this Deed of Trust after its due date, or by making any payment, performing any act on behalf of Trustor, that Trustor was obligated hereunder, but failed, to make, or perform, or by adding any payment so made by Beneficiary to the indebtedness secured hereby, Beneficiary does not waive its right either to require prompt payment when due of all other sums so secured or to declare a default for failure so to pay. 16. At any time, or from time to time, without liability of the Beneficiary or Trustee thereof, and without notice, upon written request of Beneficiary and presentation of this Deed of Trust and the Note secured hereby for endorsement, and without affecting the personal liability of any person for payment of the indebtedness secured hereby, or the lien of the Deed of Trust upon the remainder of the Property for the full amount of the indebtedness then or thereafter secured hereby, or the rights or powers of Beneficiary or the Trustee with respect to the remainder of the Property, Trustee may: (a) reconvey any part of the Property, (b) consent to the making of any map or plat thereof, (c) join in granting any easement thereon, (d) join in any agreement subordinating the lien or charge hereof. 17. The lien hereof shall remain in full force and effect during any postponement or extension of time of payment of the indebtedness secured hereby, or any part thereof. 15-5006.0 01 / 146518/PD 18. As additional security, Trustor irrevocably assigns to Beneficiary the rents, issues, and profits of the Property for the purposes and upon the terms and conditions set forth below. This assignment shall not impose upon Beneficiary any duty to produce rents from the property affected by this Deed of Trust, or cause Authority to be (a) "mortgages in possession" for any purpose; (b) responsible for performing any of the obligations of the lessor under any lease; or (c) responsible for any waste committed by lessees or any other parties, for any dangerous or defective condition of the property affected by this Deed of Trust, or for any negligence in the management, upkeep, or control of such rights to rents, issues and profits is not contingent upon, and may be exercised without possession of, the property affected by this Deed of Trust. Beneficiary confers upon Trustor a license ("License") to collect and retain the rents, issues and profits of the property affected by this Deed of Trust as they become due and payable, until the occurrence of a default hereunder. Upon such default, the License shall be automatically revoked and Beneficiary may collect and retain the rents, issues and profits without notice and without taking possessions of the property affected by this Deed of Trust. This right to collect rents, issues and profits shall not grant to Beneficiary or Trustee the right to possession, except as otherwise provided herein; and neither said right, nor termination of the License, shall impose upon Beneficiary or Trustee the duty to produce rents, issues or profits or maintain all or any part of the Property affected by this Trust Deed. If Trustor shall default as aforesaid, Trustor's right to collect any such money shall cease and Beneficiary shall have the right, with or without taking possession of the property affected hereby, to collect all rents, issues, royalties and profits and shall be authorized to, and may, without notice and irrespective of whether declaration of default has been delivered to Trustee and without regard to the adequacy of the security for the indebtedness secured hereby, either personally or by attorney or agent without bringing any action or proceeding, or by receiver to be appointed by the Court, enter into possession and hold, occupy, possess and enjoy the Property, make, cancel, enforce and modify leases, obtain and eject tenants, and set and modify rents and terms of rents, and to sue, and to take, receive and collect all or any part of the said rents, issues, and profits of the property affected hereby, and after paying such costs of maintenance, operation of the Property, and of collection including reasonable attorneys' fees, as in its judgment it may deem proper, to apply the balance upon any indebtedness then secured hereby, the rents, issues, royalties and profits of the Property being hereby assigned to Beneficiary for said purposes. The acceptance of such rents, issues, royalties and profits shall not constitute a waiver of any other right which Trustee or Beneficiary may enjoy under this Deed of Trust or under the laws of California. Failure of or discontinuance by Beneficiary at any time, or from time to time, to collect any such rents, issues, royalties or profits shall not in any manner affect the subsequent enforcement by Beneficiary of the right, power and authority to collect the same. The receipt and application by said Beneficiary of all such rents, issues, royalties and profits pursuant hereto, after execution and delivery of declaration of default and demand for sale as hereinafter provided, or during the pendency of Trustee's sale proceedings hereunder, shall not cure such breach or default nor affect sale proceedings, or any sale made pursuant thereto, but such rents, issues, royalties and profits, less all costs of operation, maintenance, collection and reasonable attorneys' fees, when received by Beneficiary, shall be applied in reduction of the indebtedness secured hereby, from time to time, in such order as Beneficiary may determine. Nothing contained herein, nor the exercise of the right by Beneficiary to collect, shall be, or be construed to be, an affirmation by Beneficiary of any tenancy, lease or option, nor an assumption of liability under, nor subordination of the lien or charge of this Deed of Trust to, any such tenancy, lease or option. 9 15-5006.001/ 14651 S/PD 19. If the security of this Deed of Trust is a leasehold estate, the Trustor agrees that: (a) the term "Lease" as used herein shall mean the lease creating the "leasehold estate"' (b) Trustor shall not amend, change or modify his leasehold interest, or the Lease, or agree to do so, without the written consent of the Beneficiary; (c) Trustor will promptly advise Beneficiary regarding any notice, request or demand received by him from the lessor under the Lease and promptly furnish Beneficiary with a copy of any such notice, request or demand; (d) as long as any of the indebtedness secured hereby shall remain unpaid, unless the Beneficiary shall otherwise consent thereto in writing, the leasehold estate shall not merge with the fee title but shall always be kept separate and distinct, notwithstanding the union of said estates in any party; (e) Trustor agrees that it will promptly, strictly, and faithfully perform, fulfill, and comply with all covenants, agreements, terms, conditions and provisions under any lease affecting the premises and to neither do anything, nor to permit anything to be done which may cause modification or termination of any such lease or of the obligations of any lessee or person claiming through such lease or the rents provided for therein or the interest of the lessor or the Beneficiary therein or thereunder. Trustor further agrees he will not execute a Deed of Trust or mortgage which may be or become superior to any leasehold estate that is security for this Deed of Trust. In the event of a violation of any of the covenants set forth in this paragraph, Beneficiary shall have the right, at its option, to declare all sums secured hereby immediately due and payable. Consent to or waiver of one of said violations shall not be deemed to be a consent to or waiver of any other violation. If the security for this Deed of Trust is a leasehold estate, the term "property" as used in this Deed of Trust shall be deemed to mean the leasehold estate whenever the context so requires for the protection of the Beneficiary. 20. Trustor waives, to the fullest extent permissible by law, the right to plead any statute of limitations as a defense to any demand secured hereby. 21. Beneficiary may, from time to time, by instrument in writing, substitute a successor or successors to any Trustee named herein or acting hereunder, which instrument, executed and acknowledged by Beneficiary and recorded in the office of the recorder of the county or counties where the Property is situated, shall be conclusive proof of property substitution of such successor Trustee or Trustees, who shall, without conveyances from the Trustee predecessor, succeed to all its title, estate, rights, powers and duties, including but not limited to the power to reconvey the whole or any part of the property covered by this Deed of Trust. Such instrument must contain the name of the original Trustor, Trustee and Beneficiary hereunder, the book and page where this Deed of Trust is recorded. If notice of default shall have been recorded, this power of substitution cannot be exercised until after the costs, fees and expenses of the then acting Trustee shall have been paid to such Trustee, who shall endorse receipt thereof upon such instrument. The procedures herein provided for substitution of Trustee shall not be exclusive of other provisions for substitution provided by law. 22. This Deed of Trust applies to, inures to the benefit of, and binds all parties hereto, their heirs, legatees, devisees, administrators, executors, successors and assigns. The term "Beneficiary" shall mean the owner and holder, including pledgee, of the Note secured hereby, whether or not names as Beneficiary herein. In this Deed of Trust, whenever the context so 10 15-5006.001/146518/PD requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. 23. That in the event of a demand for, and the preparation and delivery of a written statement regarding the obligations secured by this Deed of Trust pursuant to Sections 2943 and 2954 of the Civil Code of California, Beneficiary shall be entitled to make a reasonable charge, not exceeding the maximum amount which is permitted by law at the time the statement is furnished. Beneficiary may also charge Trustor a reasonable fee for any other services rendered to Trustor or rendered in Trustor's behalf in connection with the Property of this Deed of Trust, including changing Beneficiary's records, pertaining to this Deed of Trust in connection with the transfer of the Property, or releasing an existing policy of fire insurance or other casualty insurance held by Beneficiary and replacing the same with another such policy. 24. Trustee accepts this Trust when this Deed of Trust, duly executed and acknowledged, is made a public record as provided by law. Trustee is not obligated to notify any party hereto of pending sale under any other Deed of Trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee shall be a party unless brought by Trustee. 25. Any notice which any party hereto may desire or be required to give to the other party shall be in writing. The mailing thereof must be certified mail addressed to the Trustor at his address hereinabove set forth or to the Beneficiary at his office or at such other place as such parties hereto may designate in writing. THE UNDERSIGNED TRUSTOR REQUESTS that a copy of any notice of default and of any notice of sale hereunder be mailed to him at his address hereinbefore set forth. Dated: Dated: Dated: TRUSTOR By: HOUSING AUTHORITY OF THE CITY HUNTINGTON BEACH Deputy Executive Officer CITY OF HUNTINGTON BEACH Assistant City Manager APPROVED AS TO FORM: OFFICE OF HUNTINGTON BEACH CITY ATTORNEY Dated: 11 15-5006.001 /146518/PD an City Attorney DEED OF TRUST EXHIBIT "A" Legal Description 12 15-5006.001 / 146518/PD CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL •. A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of On Date personally appeared before me, Here Insert Name and Title of the Officer Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Document Date: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer is Representing: ©2014 National Notary Association - www.Nationa]Notary.org • 1-800-US NOTARY (1-800-876-6827) Item *5907 California All -Purpose Acknowledgment The so-called "all-purpose" acknowledgment wording, as prescribed in California Civil Code Section 1189(a), is mandatory for all acknowledgments taken in the state, whether the acknowledger is signing as an individual or a representative (partner, corporate officer, attorney in fact, trustee, etc.). Law permits California Notaries to use an out-of-state acknowledgment form on a document that will be fried in that other state or U.S. jurisdiction, but only if "the form does not requite the Notary to determine or certify that the signer holds a particular representative capacity or to make other determinations and certifications not allowed by California Instructions: ® NAME OF COUNTY where Notary performs notarization. Q DATE OF NOTARIZATION. Actual month, clay and year on which signer(s) appear(s) before Notary. ® NAME & TITLE OF NOTARIZING OFFICER. In the case of a Notary, "Notary Public" would be the title. 0 NAME(S) OF SIGNER(S) appealing before Notary, Initials and spelling of names should agree with name(s) signed on document and ID card. Q NUMBER AND GENDER OF SIGNER(S). Cross out letters and words that do not apply — person(s), name(s), is/are, he/she/they, his/her/ their, capacity(ies), signature(s) — or circle words that apply, to agree with number and gender of signer(s) in space 4. d SIGNATURE OF NOTARY exactly as name appears on commissioning papers, in space 3 and in seal, 0 NOTARY SEAL IMPRINT, clearly and legibly affixed. law" (Civil Code Section 1189[c]). Still, however, any acknowledged document notarized and filed or recorded in California mud bear only an all-purpose certificate, State law requires the "all-purpose" certificate wording to be used exactly as it appears in statute. The optional section at the bottom can deter alteration of the document or fraudulent reattachment of this form to an unintended document. The insertions in this section are not required by haw_ Failure to fill out this section will not affect the validity of the certificate. C�iKORNLL Y.4PURPOfR �pKKOWLL'DGMRMT CNIL fAD6j1Dro Shale el WNw�u ) a, LoS t ii dies ® on_Juiy �t,_2orc I�Iw.�3Pa+ R Sot�es, Nolary �b��c , wl. }r. p.<n r+wn�.ro xa�ofiaw piawaNy eppm,.d Mlc�ia°I 1. 5rvti�i .mscnLae 1" In. wTn Ivl lM ntl .d,rrM.a9.a 1° m. qwl ..on.tl Vw amwyynl nlan,wnnw.Nn.maernP.tlntl N+.N .Ktl.n..wN.laagn.w] an lne Wln"ruM 1M W"trSV. w Ue.nMT u"ar�Lelmll "I wNcT IMP .0. aamfatl llel�bmnn. I rnlNy uWm PFIiNlY6 PQiJ11RY untlw Ile law. d Ine Sbl. of IiiNlwnN In.l tNe Iwapolq pmegpn b iM..M cwrocl. WiDNF35 myfuM arl6 o1�5cltl real. sro +Iw. Raea2. 9area _ RSc. 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Houvver; completing these spaces can deter alteration of the document or fraudulent reattachment of this form to an unintended documeiri. 0 TITLE OR TYPE OF DOCUMENT notarized, such as `Grant Deed." 0 DATE OF DOCUMENT notarized Most but not all documents will have a date, usually at the top or following the signature, if none, insert "No Date," m NUMBER OF PAGES in the notarized document. This may point out fraudulent addition or removal of pages. Do not count the certificate as a page. However, the certificate will be regarded as a page by recording officials in assessing recording fees. ® SIGNER(S) OTHER THAN NAMED IN SPACE 4. Since all signers might not be named on the same notarial certificate, insert name(s) of signer(s) here that appear(s) or will appear on other certificates — as many as space allows. if there are a large number of signers, a notation such as 'Mary Smith and 28 other signers" will suffice. If none, insert "no other signers." NAME(S) OF SIGNERS) from space 4 whose capacity and represented entity follow. ® CAPACITY CLAIMED BY SIGNER. Check appropriate box to indicate whether signer is signing as individual (on his or her own behalf), or as corporate officer (indicate corporate title), partner (indicate whether "limited" or "general" partner), attorney in fact, trustee, guardian/conservator, or in another capacity. m DESCRIPTION OF OTHER CAPACITY(IES). A single capacity, such as "executor," may, be indicated here; or a multiple capacity, such as "corporate officer signing for partnership in which corporation is partner." ® NAME OF PERSON OR LEGAL ENTITY that signer is representing. It could, for example, be the name of an absent person represented by attorney in fact. it could be the name of a condominium association, such as `Blue Lagoon Condo Assn." Or it could be multiple entities, such as "XYZ Corp., partner in Mutual Enterprises, a partnership." NATIONAL NOTARY AssocyATION 9350 De Soto Avenue Chatsworth, CA 91311-4926 1-800-876-6827 ® www.NationalNotary.org 02014 National Notary Association Rem #5907 ATTACHMENT #3 City of Huntington Beach Community Development Department B STAFF REPORT HUNTINGTON BEACH TO: Planning Commission FROM: Scott Hess, AICP, Director of Community Development BY: John P. Ramirez, AICP, Project Planner DATE: October 11, 2016 SUBJECT: TENTATIVE TRACT MAP NO. 17661/ CONDITIONAL USE PERMIT NO. 13- 026/ DEVELOPMENT AGREEMENT NO. 16-002 APPLICANT: Ed Bonanni, 5500 Bolsa Avenue, Suite 120, Huntington Beach CA, 92649 PROPERTY OWNER: YMCA of Orange County, Jeff McBride, 13821 Newport Avenue, Suite 200, Tustin CA 92780 City of Huntington Beach, Kellee Fritzal, 2000 Main Street, Huntington Beach CA 92648 LOCATION: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) r J' r STATEMENT OF ISSUE: Tentative Tract Map (TTM) No. 17661, Conditional Use Permit (CUP) No. 13-026 and Development Agreement No. 16-002 represent a request to consolidate three parcels into one lot for condominium purposes in order to develop an approximately 0.636 acre site consisting of a) 10 for -sale townhome units with associated open space and infrastructure; b) A density bonus of one additional unit; c) Development Agreement with the City to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan. Staff s Recommendation: Approve Tentative Tract Map (TTM) No. 17661, Conditional Use Permit (CUP) No. 13-026 and Development Agreement No. 16-002, based on the following: - Consistent with the site's and surrounding properties' zoning and land use designations; - Provides for the creation of new housing units in the City, including affordable housing; - Complies with the Huntington Beach Zoning and Subdivision Ordinance (HBZSO), including Chapter 246 Development Agreements; - Compatible with other residential uses surrounding the project site; - Meets the requirements of the Subdivision Map Act. - Ensures the mutually beneficial development of the project and serves the affordable housing needs of the community by providing one affordable housing unit and in lieu fee payment to the City's Affordable Housing Trust. Item 12. - 73 HB -658- RECOMMENDATION: Motion to: A. "Approve Tentative Tract Map No. 17661 with findings and suggested conditions of approval (Attachment No. 1);" B. "Approve Conditional Use Permit No. 13-026 with findings and suggested conditions of approval (Attachment No. 1)" C. "Approve Development Agreement No. 16-002 with findings and suggested conditions of approval (Attachment No. 1)" ALTERNATIVE ACTIONN: The Planning Commission may take alternative actions such as: A. "Deny Tentative Tract Map No. 17661, Conditional Use Permit No. 13-026 and Development Agreement No. 16-002 with findings for denial." B. "Continue Tentative Tract Map No. 17661, Conditional Use Permit No. 13-026 and Development Agreement No. 16-002, and direct staff accordingly." PROJECT PROPOSAL: Tentative Tract Map 17661/Conditional Use Permit No. 13-026/Development Agreement No. 16-002 represent requests by Bonanni Development for the following: A. To consolidate three parcels into one 0.636 net acre lot for condominium purposes pursuant to Section 250.14 of the HBZSO. B. To permit the development of a 10 unit condominium subdivision, including a density bonus for one unit pursuant to Section 230.14 of the HBZSO. C. To enter into a Development Agreement between the City of Huntington Beach and Bonanni Development/JB Construction to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years, pursuant to Chapter 246 of the HBZSO and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan. The project site consists of three parcels, two of which are vacated city -owned rights -of -way which are not developed and contain landscaping. The primary parcel contains storage of materials for Thacker Berry Farms as well as associated parking. The two lots that are previously vacated rights -of -way are in the process of being purchased by the YMCA. Once the YMCA secures ownership of the properties, Bonanni Development will purchase those and the primary parcel from the YMCA for this development. Surrounding and immediately adjacent to the site are multi -family residential uses to the south and east, a vacant parcel to the north (across Garfield Avenue) and an RV storage facility to the west (across Gothard Street). The project is proposing one driveway from Garfield Avenue to provide egress and ingress into the site. Three detached two and three-story buildings are proposed throughout the property and are composed of a mixture of three to four attached residential units. Open space is provided in a common Item 12. - 75 ort — 10/11/16 Hl! -660- 16sr33 — Garfield Condominiums area courtyard near the northwest portion of the site and along the southern portion of the site, and private open spaces for each unit consist of ground floor private patios. According to the affordable housing requirements of the HSSP, a minimum of 15% of the units are required as affordable housing. The applicant is requesting a density bonus in accordance with State Law and the HBSZO to construct one additional unit above the allowed density (for a total of 10 units where only 9 would be allowed). The applicant is proposing one affordable unit on site as well as paying an "in lieu" fee to meet the HSSP affordable housing requirements for 15% of the total units (9 units x 15% _ 1.35 affordable units required). Initially the development will be held in single ownership by the developer for an unspecified time period and each of the condominium units will function as rental housing. At some future time, the developer may sell some or all of the units as individual ownership units. As part of the request for a density bonus, Bonanni Development proposes a Development Agreement (Attachment No. 4) with the City that establishes one of the 10 units as an affordable unit for persons and families of low income and obligates the developer to pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the HSSP. The affordability limitation on this one unit will apply to the unit as a rental unit and also when the unit is sold for ownership. The development agreement is being proposed voluntarily by Bonanni Development since case law precludes local jurisdictions from compelling inclusionary requirements for rental housing. Study Session The project was introduced to the Planning Commission (PC) on September 27, 2016, at a study session. The PC inquired about a few project -related issues that are identified and expanded upon below: Ingress/Egress Configuration onto Garfield Avenue Public Works staff examined various site plan submittals for the project which proposed access from Gothard St. or from Garfield Ave. Staff believes that access on either street frontage would be an acceptable location because of the existing traffic conditions adjacent to the site and the project's anticipated vehicle trip generation. Of the two streets, access from Garfield Ave. minimizes the vehicular interactions of on -street traffic with the project's traffic at and near the intersection of Garfield Ave./Gothard St. Due to the relatively low traffic volumes and high number of vehicle gaps in traffic adjacent to the project site, and the project's estimated low number of vehicle trips, staff believes full access ingress and egress (left turn allowed) can function safely from the proposed location on Garfield Avenue. Existing Vegetation on site The site contains minimal vegetation that includes a handful of trees (Eucalyptus, Palm and Juniper) that would be removed to prepare the site for development. The proposed project would include new vegetation and landscaped areas in compliance with the specific plan. Methane Gas and Soil Contamination If methane gas is discovered in the soil, City Specification #429 Methane District Building Permit Requirements would be applicable and the grading, building, and methane plans would need to reference that a sub -slab methane barrier and vent system would be installed prior to plan approval. Additional methane mitigation measures may be required at the discretion of the Fire Department. All soils on site would need to comply with City Specification # 431-92 Soil Clean -Up Standards prior to the issuance of PC Staff Report — 10/11/16 HB -661- 16sr33 —Garfield C, Item 12. - 76 a building permit. If soils do not meet the City standard, then a remediation plan would need to be initiated and completed prior to soil disturbance. In -Lieu Fee Calculation In 2007, the City Council adopted a resolution setting forth an affordable housing "in -lieu" fee for residential projects. The fee is based on a report from Keyser Marston Associates, which includes an analysis pertaining to the City's Inclusionary Housing Ordinance. The fractional in -lieu fee to be paid by the developer is based on this study and the adopted resolution. In lieu fees are restricted and are only used to fund projects that have a minimum of fifty (50) percent of dwelling units affordable to very -low and low income households with at least twenty (20) percent of the units available to very -low income households. Use of these funds is at the Council's discretion. ISSUES: Subiect Property And Surroundinz Land Use, Zoning And General Plan Designations: LOCATION GENERAL PLAN ZONING LAND USE Subject Property: RM-15-sp (Residential SP-9 (Holly-Seacliff Farm storage, associated Medium Density — 15 Specific Plan, parking and landscaping dwelling units/acre — Planning Area 4 specific plan overlay) Residential Medium Density) North of Subject RM-15-sp (Residential SP-9 (Holly-Seacliff Vacant Property (across Medium Density — 15 Specific Plan, Garfield Ave.): dwelling units/acre — Planning Area 2 specific plan overlay Residential Medium High Density) East and South of RM-15-sp (Residential SP-9 (Holly-Seacliff Multi -family residential Subject Property: Medium Density — 15 Specific Plan, dwelling units/acre — Planning Area 4 specific plan overlay) Residential Medium Density) West of Subject I-172-d-sp (Industrial — SP-9 (Holly-Seacliff RV Storage Property (across 0.50 maximum FAR — Specific Plan, Gothard St.): design overlay) Planning Area 4 Industrial) General Plan Conformance: The General Plan Land Use Map designation on the subject property is RM-15-sp (Residential Medium Density — 15 dwelling units/acre — specific plan overlay) and the zoning designation is SP-9 (Holly- Seacliff Specific Plan, Planning Area 4 Residential Medium Density). The proposed project will implement both the General Plan and specific plan designations of the site. The proposed project is consistent with the intent of these designations, and the goals, objectives, and policies of the City's General Plan as follows: Item 12. - 77 ort — 10/11/16 H B -662- 16sr33 — Garfield Condominiums A. Land Use Element Objective L U 1.1: Provide for the timing of residential, commercial, and industrial development coincident with the availability of adequate market demand to ensure economic vitality. Objective LU 8.1: Maintain the pattern of existing land uses while providing opportunities for the evolution, including intensification and re -use, of selected subareas in order to improve their character and identity. Goal LU9: Achieve the development of a range of housing units that provides for the diverse economic, physical, and social needs of existing and future residents of Huntington Beach. Objective LU9.3: Provide for the development of new residential subdivisions and projects that incorporate a diversity of uses and are configured to establish a distinct sense of neighborhood and identity. Policy L U 9.2. 1: Require that all new residential development within existing residential neighborhoods (i.e., infill) be compatible with existing structures. The proposed project will improve an underutilized and partially vacant property by allowing the development of residential uses within close proximity to compatible uses. The residential project will implement the residential land use category appropriate for the site's General Plan land use designation and establish a development consistent with the size, scale, mass and pattern of existing development in the area. The surrounding residential uses will benefit with the introduction of newly constructed housing in the neighborhood as the existing temporary structures on site will be removed. The development will provide new housing stock in the area and will potentially attract first-time homebuyers by providing an expanded opportunity for ownership in the area. B. Urban Design Element Goal UD 1: Enhance the visual image of the City of Huntington Beach. Objective UD 1.1: Identify and reinforce a distinctive architectural and environmental image for each district in Huntington Beach. The project will enhance the character of the neighborhood and improve property values. The proposed buildings will be compatible with existing development at similar heights and massing and incorporate a traditional architectural palette into the area, providing interest and high -quality design to the streetscape. Common open space within the project combined with enhanced landscaping will create visual interest from the frontages along Gothard Street and Garfield Avenue. Garages and open parking spaces are primarily located facing away from the street frontages. A decorative paving treatment frames the drive aisle entry to the site and creates visual interest for the access into the site. - 78 PC Staff Report— 10/11/16 H6 -663- 16sr33 —Garfield C,IteT11 12. C. Housing Element Policv 3.1: Encourage the production of housing that meets all economic segments of the community, including lower, moderate, and upper income households, to maintain a balanced community. Policv 3.2: Utilize the City's Inclusionary Housing Ordinance as a tool to integrate affordable units within market rate developments. Continue to prioritize the construction of affordable units on -site, with provision of units off - site or payment of an in -lieu housing fee as a less preferred alternative. Policv 3.3: Facilitate the development of affordable housing through regulatory incentives and concessions, and/or financial assistance, with funding priority to projects that include extremely low income units. Proactively seek out new models and approaches in the provision of affordable housing. Policv 4.1: Support the use of density bonuses and other incentives, such as fee deferrals/waivers and parking reductions, to offset or reduce the costs of developing affordable housing while ensuring that potential impacts are addressed. Policv 6.1: hmplement the City's Green Building Program to ensure new development is energy and water efficient. The project consists of 10 residential units, which contributes to the City's housing stock. The project includes a request for a density bonus for one additional unit in exchange for affordable housing as allowed by State Law and the HBZSO. As part of the request for a density bonus, the applicant is entering into a Development Agreement with the City to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years. The development request as proposed is consistent with the intent of the policies identified above. As such, the project will contribute to the City's overall housing goals. Additionally, sustainable features and construction practices will be incorporated in the project including energy -efficient lighting, water efficient plumbing fixtures and recycling of construction waste. Zoning Compliance: This project complies with the requirements of the Holly Seacliff Specific Plan. A zoning conformance table (Attachment No. 5) shows an overview of the project's conformance to the development standards. Density Bonus Request In March 2007, the City Council adopted a density bonus ordinance (Zoning Code Section 230.14) to conform to requirements of Government Code Section 65915. Based on the updated density bonus ordinance, when a developer of a residential property which is zoned and general planned to allow five or more dwelling units proposes to provide affordable housing, he or she may request a density bonus and incentives/concessions through a Conditional Use Permit, if the project provides for construction of Item 12. - 79 ort — 10/1 1/16 1-113.664_ 16sr33 — Garfield Condominiums one of the following: a) Ten percent (10%) of the total units for lower income households; or b) Five percent (5%) of the total units for very low income households; or c) A senior citizen housing development or mobile home park that limits residency based on age requirements for housing for older persons; or d) Ten percent (10%) of the total dwelling units in a common interest development (condominium) for persons and families of moderate income. The amount of density bonus varies according to the amount by which the percentage of affordable housing units exceeds the minimum percentage established above. In addition to the density bonus, eligible projects may receive one to three additional development incentives, depending on the percentage of affordable units and level of targeted income. According to State Law, available incentives including reduction in site development standards must be offered by the City to reduce development/construction costs. Consequently, concessions resulting in lower construction costs are intended to increase affordable housing opportunities. In addition, at the request of the developer, the City must permit a parking ratio (inclusive of handicapped and guest parking) of 1 space for 0-1 bedroom units, 2 spaces for 2-3 bedroom units, and 2.5 spaces for four or more bedrooms. It is important to note that a density bonus request pursuant to the provisions contained within the code cannot be denied unless the project is denied in its entirety. The General Plan Land Use and HSSP designations allow 9 units on the 0.636 acre site. The applicant is proposing one affordable unit for persons and families of low income, which would provide 10% of the total dwelling units as affordable units. As allowed by State Law and the HBZSO, the applicant is requesting a density bonus to construct one additional unit above the allowed density (for a total of 10 units where only 9 would be allowed). Based on State Law and HBZSO, the amount of density bonus to which the applicant is entitled varies according to the amount by which the project's percentage of affordable housing exceeds a base percentage identified in State Law. For housing developments meeting the low-income criteria (a development providing at least 10% of the total dwelling units for persons and families of lower income), the base density bonus of 20% shall be increased by 1.5% for every 1% increase in the percentage of low- income units over 10%, with a maximum density bonus of 35%. As required by State Law and the HBZSO, all fractional amounts shall be rounded up. The applicant is proposing 10% of the total dwelling units at a low-income affordability level. Based on State Law and the HBZSO, and as illustrated in the Density Bonus Chart below, this project is entitled to a density bonus of 20% based on the affordable unit percentage proposed. Therefore the allowed density for this request is 18 du/acre. With this density bonus allowance and based on the net acreage of the property, the applicant is entitled to construct 10.8 dwelling units. Since the request is for the construction of 10 units resulting in a density of 15.76 du/acre, the applicant's request is consistent with State Law and the HBZSO. PC Staff Report— 10/11/16 HB -66.5- 16sr33 — Garfield 01tem 12. - 80 DENSITYBONUS CHART* Affordable, Unit Percentage** VeryUw Income,-- Density Bonus .-Low" Income Density Bonus Moderate Income Density Bonus 5% 20.00% NA NA 6% 22.50% NA NA 7% 25.00% NA NA 8% 27.50% NA NA 9% 30.00% NA NA 10% 32.50% 20.0% 5% 11% 35.00% 21.5% 6% 12% 35.00% 23.0% 7% 13% 35.00% 24.5% 8% 14% 35.00% 26.0% 9% 15% 35.00% 27.5% 10% 16% 35.00% 29.0% 11 % 17% 35.00% 30.5% 12% 18% 35.00% 32.0% 13% 19% 35.00% 33.5% 14% 20% 35.00% 35.0% 15% All density bonus calculations resulting in fractions are rounded up to the next whole number. ** Affordable unit percentage is calculated excluding units added by a density bonus. Urban Desi,-n Guidelines Conformance: The character of the development is consistent with the existing neighborhood in size, scale and massing of other residential structures in the vicinity. The project creates visual interest along the street frontage by incorporating enhanced landscaping and paving, providing a variety of trees, as well as functional open space in the common areas and private yards, and maintains high quality architectural design. Grading will be minimized by filling low areas and generally maintaining the existing grade of the site. The two and three-story massing of the buildings create a proportional scale to the street and surrounding uses. Furthennore, roof lines are segmented and building facades contain wall offsets and decorative features to vary the overall horizontal context of the buildings. Balconies are appropriately inserted to break up the massing and wall planes are adorned with wood trim, stone, shutters, and decorative window trim details. Decorative paving is integrated at the site entry creating a visually attractive access way to the site. Common open space area is sited throughout the property to maximize accessibility and use by residents. Overall the layout of the development provides efficient access for both pedestrians and vehicles and the buildings will be constructed of quality architecture and colors. Environmental Status: The proposed project is covered by Holly-Seacliff Specific Plan Final Environmental Impact Report No. 89-1, which was adopted by the City of Huntington Beach on January 8, 1990. The proposed Item 12. - 81 ort— 10/11/16 H B -666- 16sr33 — Garfield Condominiums consolidation of three parcels for a one -lot subdivision on an approximately 0.636 net acre site and construction of 10 for -sale townhome condominium units with a density bonus request, along with associated open space and infrastructure is subject to compliance with the adopted mitigation measures contained in the Final Environmental Impact Report No. 89-1. Staff has reviewed the proposed project for compliance and has determined the project is consistent with the adopted mitigation measures contained in the Final EIR (see MMRP Attachment No. 7). Coastal Status: Not applicable. Design Review Board: On January 8, 2015, the DRB reviewed Design Review No. 13-018 to review the design, colors, and materials of the 10 two and three story townhome building. The proposed buildings will be compatible with existing development at similar heights and massing and incorporate a mid- century minimal traditional architectural palette into the area, providing interest and high -quality design to the streetscape. Common open space within the project combined with enhanced landscaping will create visual interest from the frontages along Gothard Street and Garfield Avenue. Roof lines are segmented and building facades contain wall offsets and decorative features to vary the overall horizontal context of the buildings. Balconies are appropriately inserted to break up the massing and wall planes are adorned with wood trim, stone, shutters, and decorative window trim details. Decorative paving is integrated at the site entry creating a visually attractive access way to the site. The DRB approved the proposed design of the project and recommended a condition requiring the proposed split face block wall located along Gothard Street and Garfield Avenue incorporate at least two of the following design features: - A minimum 2-ft. change in plane for at least 10 ft. - A minimum 18-inch high raised planter for at least 10 ft. - A minimum 18-inch change in height for at least 10 ft. - Use of pilasters at 50 ft. maximum intervals and at changes in wall planes Additionally, the DRB required that the south elevation of Building A incorporate additional architectural offsets, colors, materials and articulation similar to the design of the south elevation of Building C. Since then, the applicant has revised their elevations to demonstrate compliance with the DRB's recommendation. The proposed design is compatible with the approved architecture of the adjacent commercial development of Pacific City and surrounding hotel uses. Subdivision Committee: The proposed tentative tract map was reviewed by the Subdivision Committee on June 16, 2016. Staff presented the proposed subdivision including the access points and vehicular drive aisles within the vicinity as well as access to the development, and the layout of the condominiums. The Subdivision Committee reviewed the recommended conditions of approval for the tentative map from the Community Development, Fire and Public Works Departments. The Subdivision Committee unanimously recommended approval of the proposed project to the Planning Commission. PC Staff Report — 10/11/16 HB -667- 16sr33 — Garfield G Item 12. - 82 Other Departments Concerns and Requirements: The Departments of Public Works, Police, Fire, Office of Business Development, and Community Development have reviewed the project and identified a list of recommended conditions that are incorporated into the suggested conditions of approval as well as code requirements (Attachment No. 6) applicable to the project. Public Notification: Legal notice was published in the Huntington Beach/Fountain Valley Independent on September 29, 2016, and notices were sent to property owners of record and tenants within a 500 ft. radius of the subject property, individuals/organizations requesting notification (Planning Division's Notification Matrix), applicant, and interested parties. As of October 4, 2016, no communication supporting or opposing the request has been received. Application Processin,- Dates: DATE OF COMPLETE APPLICATION: August 1, 2016 ANAL LASTS: MANDATORY PROCESSING DATE(S): October 30, 2016 Compatibility with Surrounding Uses and Compliance with HBZSO/Subdivision Map Act The proposed two and three-story development will be compatible with the nearby and surrounding properties. Properties to the south and east are developed with two-story multiple family dwellings. The adjacent properties are similar in grade and height to the proposed project and the massing and architectural scale proposed is consistent with these existing developments. This project is incorporating larger enhanced street setbacks along both street frontages consistent with the Community Theme Plan of the HSSP. The incorporation of these greater setbacks is consistent with the setbacks for the developments immediately adjacent to the site on both arterials, and maintains compliance with the HSSP. To enhance compatibility, the building located closest to the developments to the south and east (Building C) is proposed to be two -stories in height, whereas the buildings along the street frontages are proposed to be three stories in height. Locating the two story building nearest to the existing developments ensures greater compatibility with these land uses and minimizes any impacts related to privacy, massing and scale related to the project. The architecture is traditional mid-century minimal architectural palette and incorporates stucco, tile roof, and various building offsets and earth -tone colors. It is designed to be consistent in massing and scale with structures in the neighborhood. The project will also include sustainable design features and construction practices such as energy -efficient lighting, water fixtures, drip irrigation, and recycling of construction waste. The site is relatively flat with an approximate two -foot grade difference (sloping slightly from south to north). Minimal grading is proposed to level the site for building placement and accommodate on site drainage. At most, an approximate two -foot difference between the existing grade and new pad elevations would occur for Building C (which is two stories in height) and at most a one foot difference for Buildings A and B. There is existing block wall along the south property line and an existing wooden Item 12. - 83 ort— 10/11/16 HB -668- 16sr33 —Garfield Condominiums fence along the east property line. The applicant is proposing to protect in place the existing block wall along the south property line and remove and replace the wooden fence along the east property line (with property authorization) and install a six-foot high block wall in its place. To maintain a consistent grade across the property, a maximum of two feet of fill will occur along portions of the north part of the subject site. The proposed project conforms to applicable code requirements and has been designed to be compatible with existing uses in the vicinity. The project's building scale, architecture, site layout and color palette will complement the surrounding developments. Density Bonus Request The proposed density bonus for the project complies with both State Law and the HBZSO. The proposed density bonus would yield one additional unit above the allowed density (10 units instead of 9), resulting in a density of 15.76 dwelling units per acre. Except for the density bonus, the project complies with all provisions of the HBZSO, HSSP and is consistent with the intent of the General Plan. Additionally, the project, inclusive of the density bonus, can be adequately served by local utility systems (water, sewer, storm drain) and will not have a significant or adverse impact on traffic volume, school enrollment or recreational resources in the area. As designed, the project is compatible with the physical character of the surrounding area. Architectural Design and Site Layout Staff believes the proposed development is well designed and appropriate for the subject site based on the applicable zoning, surrounding uses and the physical characteristics of the lot. The project, as proposed, achieves substantial conformance with the City's Urban Design Guidelines for multi -family residential projects. Visual interest is provided along the street frontage and access road within the site with the incorporation of building projections in the facades, balconies with open railing, varied roof lines, accent colors and two-story massing elements. Decorative paving along the entry aisle creates an inviting experience for visitors and residents while creating visual interest on the site. Buildings are arranged in clusters ranging from three to four units. Adequate parking is provided within 9 open guest spaces and two -car garages per unit. A total of 23.5 parking spaces and 5 guest spaces are required for the ten unit project; a total of 24 parking spaces and 5 guest spaces are provided. Furthermore, the project also provides usable open space and landscaping in excess of the code required minimum. The development features three common open space areas on the property with sufficient access for all residents. The common open space areas consist of passive recreation area and colorful plantings. Each dwelling unit is provided with private open space areas consisting of private rear yard, balcony and/or deck. The common open space areas are located throughout the site for maximum access and the placement and arrangement of buildings provide for a functional and attractive design. Staff supports the proposed project's site layout, design, and architecture because it results in a development that will be compatible with the physical character of the surrounding multi -family residential areas. PC Staff Report — 10/11/16 H B -669- 16sr33 —Garfield G Item 12. - 84 Development Agreement Consistency with the HSSP and General Plan The City is authorized pursuant to California Government Code Section 65864 et. Seq. and Chapter 246 of the Huntington Beach Zoning and Subdivision Ordinance to enter into binding development agreements with persons or entities owning legal interests in real property located within the City. The City and developer desire to enter into a development agreement for the subject site in order to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan. The developer desires to establish an affordable rental unit for persons/families of low income and at some future date, offer the unit as a "for -sale" unit for the purposes of home ownership for persons/families of low income. The development agreement address the affordability restriction and timeframe for both rental and ownership scenarios for the unit. The development agreement is consistent with the HSSP and General Plan as it relates to the project's fulfillment of the City's Inclusionary Housing Ordinance and the project overall is implementing the goals and policies of the HSSP and the City's General Plan. I,;i1MMARV: Staff recommends approval of Tentative Tract Map No. 17661, Conditional Use Permit No. 13-026 and Development Agreement 2016-002, based upon the following: - Consistent with the site's and surrounding properties' zoning and land use designations; - Provides for the creation of new housing units in the City, including affordable housing; - Complies with the Huntington Beach Zoning and Subdivision Ordinance (HBZSO), including Chapter 246 Development Agreements; - Compatible with other residential uses surrounding the project site; - Meets the requirements of the Subdivision Map Act. - Ensures the mutually beneficial development of the project and serves the affordable housing needs of the community by providing one affordable housing unit and in lieu fee payment to the City's Affordable Housing Trust. ATTACHMENTS: 1. Suggested Findings and Conditions of Approval for Tentative Tract Map No. 17661, Conditional Use Permit No. 13-026 and Development Agreement No. 16-002 2. Site plans, floor plans, elevations and Tentative Map dated and received May 18, 2016. 3. Narrative dated October 3, 2016 4. Draft Development Agreement 5. Zoning Conformance Table 6. Code Requirements Letter (for informational purposes only), dated November 23, 2015. 7. Mitigation Monitoring and Reporting Program SH:JJ:JR Item 12. - 85 ort — 10/11/16 HB -670- 16sr33 — Garfield Condominiums ATTACHMENT NO. 1 SUGGESTED FINDINGS AND CONDITIONS OF APPROVAL TENTATIVE TRACT MAP NO. 17661 CONDITIONAL USE PERMIT NO. 13-026 DEVELOPMENT AGREEMENT NO. 16-002 SUGGESTED FINDINGS FOR PROJECTS EXEMPT FROM CEQA: The Planning Commission finds that the proposed project is covered by Holly-Seacliff Specific Plan Final Environmental Impact Report No. 89-1, which was adopted by the City of Huntington Beach on January 8, 1990. The proposed consolidation of three parcels for a one -lot subdivision on an approximately 0.636 net acre site and construction of 10 for -sale townhome condominium units with a density bonus request, along with associated open space and infrastructure is subject to compliance with the adopted mitigation measures contained in the Final Environmental Impact Report No. 89-1. Staff has reviewed the proposed project for compliance and has determined the project is consistent with the adopted mitigation measures contained in the Final EIR. SUGGESTED FINDINGS FOR APPROVAL - TENTATIVE TRACT MAP NO. 17661: 1. Tentative Tract Map No. 17661 for a one lot condominium subdivision on approximately 0.636 acres for development of 10 attached townhome units is consistent with the intent of the General Plan Land Use Element designation of Residential Medium Density, and other applicable provisions of the HBZSO code. 2. The site is physically suitable for the type and density of development. The size, depth, frontage, street width and other design features of the proposed subdivision are in compliance with the HBZSO code. The project site is able to accommodate the type of development proposed. The proposed subdivision will result in a density of 15.76 units per acre, which is allowed in accordance with State Density Bonus Law and as part of the request for this property designated Residential Medium Density land use designation. The proposed density would be compatible with surrounding multi- family developments. 3. The design of the subdivision or the proposed improvements will not cause serious health problems or substantial environmental damage or substantially and avoidably injure fish or wildlife or their habitat. The project site is surrounded by residential development, vacant property, light industrial uses and paved roads. The site does not contain any natural open space or any significant biological resources. 4. The design of the subdivision or the type of improvements will not conflict with easements, acquired by the public at large, for access through or use of, property within the proposed subdivision unless alternative easements, for access or for use, will be provided. The subdivision will provide all necessary easements and will not affect any existing easements. H B -671- Attad Item 12. - 86 SUGGESTED FINDINGS FOR APPROVAL - CONDITIONAL USE PERMIT NO. 13-026: 1. Conditional Use Permit No. 13-026 for the development of 10 attached for -sale residential units and associated infrastructure and site improvements, including a density bonus request of one unit, will not be detrimental to the general welfare of persons working or residing in the vicinity or detrimental to the value of the property and improvements in the neighborhood. The project will provide one unit for families or households of low income for a period of 55 years. Initially the development will be held in single ownership by the developer for an unspecified time period and each of the condominium units will function as rental housing. At some future time, the developer may sell some or all of the units as individual ownership units. The affordable unit will be provided while being held as a rental unit and when it is ultimately sold for home ownership. The project will improve the existing underutilized parcels of land with a development consistent with the underlying General Plan land use and zoning designations. The proposed residential use is similar to those existing uses in the vicinity. The project will not result in any adverse or significant environmental impacts including traffic, noise, lighting, aesthetics, and hazardous materials. The project will be consistent in massing and scale to adjacent residential uses. Proposed improvements include enhanced landscaping, decorative paving, and quality architectural design throughout the site. Furthermore, the layout of the site improves the visual surroundings by providing efficient drive aisles for vehicular access, and minimizing the visibility of parking garages and parking spaces from the street. 2. The conditional use permit will be compatible with surrounding residential uses in terms of setbacks, onsite parking, lot coverage, and allowable building height. Architectural design is composed of the traditional mid-century minimal style consisting of stucco exterior, the roof, varied offsets and rooflines, and decorative balcony railings. Enhanced landscaping along the site perimeter and within the common open space courtyards will create visual interest and improve the visual image of the community. The project includes two and three story buildings that are compatible with surrounding developments and proportionally relate to the overall mass and scale of the neighborhood. The proposed project is in conformance with applicable code requirements and has been designed to be compatible with existing uses in the vicinity. The project's building scale, architecture, site layout and color palette will complement the surrounding developments. 3. The proposed project will comply with the provisions of the HSSP and other applicable provisions in Titles 20-25 of the Huntington Beach Zoning and Subdivision Ordinance. The project complies with the development standards in terms of minimum onsite parking, height, setbacks, and lot coverage. Adequate vehicular and pedestrian circulation is provided for convenient access throughout the proj ect. 4. The proposed project, which includes a density bonus, complies with all provisions of the Code. Given the minimal nature of the density bonus being requested, the project will not be detrimental the welfare of persons working or residing in the vicinity. Additionally, the project, inclusive of the density bonus, can be adequately served by local utility systems (water, sewer, storm drain) and will not have a significant or adverse impact on traffic volume, school enrollment or recreational resources in the area. As designed, the project is compatible with the physical character of the surrounding area and the intent of the General Plan. Item 12. - 87 HB -672- Attachment No. 1.2 5. The granting of the conditional use permit will not adversely affect the General Plan. It is consistent with the intent of General Plan Land Use Element designation of Residential Medium Density. In addition, it is consistent with the following goals, objectives, and policies of the General Plan: A. Land Use Element Objective LU 1.1: Provide for the timing of residential, commercial, and industrial development coincident with the availability of adequate market demand to ensure economic vitality. Objective L U 8.1: Maintain the pattern of existing land uses while providing opportunities for the evolution, including intensification and re -use, of selected subareas in order to improve their character and identity. Goal LU 9: Achieve the development of a range of housing units that provides for the diverse economic, physical, and social needs of existing and future residents of Huntington Beach. Obiective L U 9.3: Provide for the development of new residential subdivisions and projects that incorporate a diversity of uses and are configured to establish a distinct sense of neighborhood and identity. Policv LU 9.2.1: Require that all new residential development within existing residential neighborhoods (i.e., infill) be compatible with existing structures. The proposed project will improve an underutilized and partially vacant property by allowing the development of residential uses within close proximity to compatible uses. The residential project will implement the residential land use category appropriate for the site's General Plan land use designation and establish a development consistent with the size, scale, mass and pattern of existing development in the area. The surrounding residential uses will benefit with the introduction of newly constructed housing in the neighborhood as the existing temporary structures on site will be removed. The development will provide new housing stock in the area and will potentially attract first-time homebuyers by providing an expanded opportunity for ownership in the area. B. Urban Design Element Goal UD 1: Enhance the visual image of the City of Huntington Beach. Objective UD 1.1: Identify and reinforce a distinctive architectural and environmental image for each district in Huntington Beach. The project will enhance the character of the neighborhood and improve property values. The proposed buildings will be compatible with existing development at similar heights and massing and incorporate a traditional architectural palette into the area, providing interest and high -quality design to the streetscape. Common open space within the project combined with enhanced landscaping will create visual interest from the frontages along Gothard Street and Garfield Avenue. Garages and open HB _67,_ AttactItem 12. - 88 parking spaces are primarily located facing away from the street frontages. A decorative paving treatment frames the drive aisle entry to the site and creates visual interest for the access into the site. C. Housing Element Policy 3.1: Encourage the production of housing that meets all economic segments of the community, including lower, moderate, and upper income households, to maintain a balanced community. Policy 3.2: Utilize the City's Inclusionary Housing Ordinance as a tool to integrate affordable units within market rate developments. Continue to prioritize the construction of affordable units on -site, with provision of units off - site or payment of an in -lieu housing fee as a less preferred alternative. Policy 3.3: Facilitate the development of affordable housing through regulatory incentives and concessions, and/or financial assistance, with funding priority to projects that include extremely low income units. Proactively seek out new models and approaches in the provision of affordable housing. Policy 4.1: Support the use of density bonuses and other incentives, such as fee deferrals/waivers and parking reductions, to offset or reduce the costs of developing affordable housing while ensuring that potential impacts are addressed. Policy 6.1: Implement the City's Green Building Program to ensure new development is energy and water efficient. The project consists of 10 residential units, which contributes to the City's housing stock. The project includes a request for a density bonus for one additional unit in exchange for affordable housing as allowed by State Law and the HBZSO, As part of the request for a density bonus, the applicant is entering into a Development Agreement with the City to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years. The development request as proposed is consistent with the intent of the policies identified above. As such, the project will contribute to the City's overall housing goals. Additionally, sustainable features and construction practices will be incorporated in the project including energy -efficient lighting, water efficient plumbing fixtures and recycling of construction waste. SUGGESTED FINDING FOR APPROVAL — DEVELOPMENT AGREEMENT NO. 16-002 The development agreement is consistent with the General Plan and Holly-Seacliff Specific Plan. Development Agreement No. 16-002 provides for provision one of the 10 units within the development as an affordable unit for persons/families of low income for a period of 55 years and restricts the affordability period on this unit as both a rental unit (held as a rental unit by the developer) and as a condominium unit (sold for ownership at some future time). The proposed development complies with the HSSP and was found to conform to the goals and policies of the General Plan. The development Item 12. - 89 H B -6 74- Attachment No. 1.4 agreement ensures the construction of one affordable housing unit within the project in accordance with the provisions of the Specific Plan for a 55 year period, as well as make an in lieu payment for the remaining increment to fulfill the affordable housing requirement within the HSSP. The development agreement is consistent with the following General Plan goals and polices. A. Housing Element Goal H 2: Provide adequate housing sites to accommodate regional housing needs. Goal H 3: Assist in development of affordable housing. Policy H 3.1: Encourage the production of housing that meets all economic segments of the community, including lower, moderate, and upper income households, to maintain a balanced community. B. Land Use Element Goal LU 4: Achieve and maintain high quality architecture, landscape, and public open spaces in the City. Goal LU 4.2.4: Require that all development be designed to provide adequate space for access, parking, supporting functions, open space, and other pertinent elements. Goal LU 7: Achieve a diversity of land uses that sustain the City's economic viability, while maintaining the City's environmental resources and scale and character. Goal LU 8: Achieve a pattern of land uses that preserves, enhances, and establishes a distinct identity for the City's neighborhoods, corridors, and centers. Goal LU 9: Achieve the development of a range of housing units that provides for the diverse economic, physical, and social needs of existing and future residents of Huntington Beach. Policy L U 9.1.4: Require that recreational and open space amenities be incorporated in new multi- family developments and that they be accessible to and of sufficient size to be usable by all residents. Goal LU 11: Achieve the development of projects that enable residents to live in proximity to their jobs, commercial services, and entertainment, and reduce the need for automobile use. The development agreement would ensure that affordable housing is developed in accordance with the approved project and condition of approval requiring affordable housing. The project as a whole will provide an alternative housing choice and supplement the variety of housing stock available within the City. The development agreement would guarantee that the project provides one on -site affordable unit as well as contribute to the City's Affordable Housing Trust by way of an in lieu payment for the remaining increment to fulfill the affordable housing requirement within the HSSP. In doing so, these units will HB -675- AttacrItem 12. - 90 satisfy the affordable housing obligation while providing housing for low income households. As such, the development agreement is consistent with the General Plan goals and polices reflected above. SUGGESTED CONDITIONS OF APPROVAL — TENTATIVE TRACT MAP NO. 17661: 1. The Tentative Tract Map No. 17661 for consolidation of three existing parcels and the subdivision of the resultant parcel into a 10 unit airspace subdivision for a multiple family residential development and received and dated May 18, 2016, shall be the approved layout, with the following modification: a) The existing reservation for "a right to an easement over and along the rear 4 ft. of land for laying, maintaining and repairing water mains for irrigation purposes" shall be quitclaimed to eliminate any encroachment by the proposed residential buildings. 2. The final map for Tentative Tract Map No. 17661 shall not be approved by the City Council until Conditional Use Permit No. 13-026 is approved and in effect. 3. Prior to issuance of a grading permit and at least 14 days prior to any grading activity, the applicant/developer shall provide notice in writing to property owners of record and tenants of properties within a 500-foot radius of the project site as noticed for the public hearing. The notice shall include a general description of planned grading activities and an estimated timeline for commencement and completion of work and a contact person name with phone number. Prior to issuance of the grading permit, a copy of the notice and list of recipients shall be submitted to the Community Development Department. 4. The draft Affordable Agreement received and dated April 25, 2016, identifying one on -site unit for - sale as affordable for persons and families of low income, which includes a density bonus of one unit plus a fractional in -lieu fee of One Hundred Seventy-three Thousand Forty Dollars ($173,040.00) for a 0.35 unit pursuant to Section 230.14 of the ZSO shall be the conceptually approved agreement. The Affordable Housing Agreement shall be recorded with the Orange County Recorder's Office prior to issuance of the first building permit for the tract. The Agreement shall comply with HBZSO Sections 230.14 and 230.26 and include: i. A detailed description of the type, size and location of the affordable housing for -sale unit on - site. There shall be one unit with two bedrooms restricted for rental by a Low -Income Household within the site. ii. There shall be one unit affordable to persons and families of low income (up to 80% of the Orange County median income). The Orange County median income is adjusted for appropriate household size. iii. Continuous affordability provisions for a period of 55 years. The affordable units shall be constructed prior to or concurrent with the primary project. Final approval (occupancy) of the first market rate residential unit(s) shall be contingent upon the completion and public availability, or evidence of the applicant's reasonable progress towards attainment of completion of the affordable unit. Item 12. - 91 1413 -676- Attachment No. 1.6 5. Prior to submittal of the final tract and at least 90 days before City Council action on the final map, CC&Rs shall be submitted to the Community Development Department and approved by the City Attorney. The CC&Rs shall identify the common driveway access easements, and maintenance of all walls, common landscape areas by the Homeowners' Association, as well as a parking management plan to ensure the ongoing control of availability of on -site parking. The CC&Rs must be in recordable form prior to recordation of the map. (HBZSO Section 253.12.H) 6. Pursuant to section 230.14 of the HBZSO, Tentative Tract Map No. 17661 and Conditional Use Permit No. 13-026 shall not be deemed approved until the Affordable Housing Agreement referenced in Condition No. 4 has been approved by the City Council. 7. Comply with all applicable Conditional Use Permit No. 13-026 conditions of approval. 8. Incorporation of sustainable or "green" building practices into the design of the proposed structures and associated site improvements is highly encouraged. Sustainable building practices may include (but are not limited to) those recommended by the U.S. Green Building Council's Leadership in Energy and Environmental Design (LEED) Program certification (http://www.usabc.ora/DisplayPaQe.aspx?Catc�-yoryID19) or Build It Green's Green Building Guidelines and Rating Systems(littp://\v\vw.builditgrccn.or�/index.cfiri?fuscaction=Quidclines). 9. The development services departments (Building & Safety, Fire, Planning and Public Works) shall be responsible for ensuring compliance with all applicable code requirements and conditions of approval. The Director of Community Development may approve minor amendments to plans and/or conditions of approval as appropriate based on changed circumstances, new information or other relevant factors. Any proposed plan/project revisions shall be called out on the plan sets submitted for building permits. Permits shall not be issued until the Development Services Departments have reviewed and approved the proposed changes for conformance with the intent of the Planning Commission's action. If the proposed changes are of a substantial nature, an amendment to the original entitlement reviewed by the Planning Commission may be required pursuant to the provisions of HBZSO Section 241.18. SUGGESTED CONDITIONS OF APPROVAL - CONDITIONAL USE PERMIT NO. 13-026: 1. The site plans, floor plans, and elevations received and dated May 18, 2016, shall be the conceptually approved design. 2. Prior to submittal for building permits, the following shall be completed: a. Zoning entitlement conditions of approval shall be printed verbatim on one of the first three pages of all the working drawing sets used for issuance of building permits (architectural, structural, electrical, mechanical and plumbing) and shall be referenced in the sheet index. The minimum font size utilized for printed text shall be 12 point. b. Submit three (3) copies of the approved site plan and the processing fee to the Community Development Department for addressing of the new buildings/units. 3. Prior to issuance of building permits, the following shall be completed: 1-113 -677- AttadItem 12. - 92 a. Blockwall/fencing plans (including a site plan, section drawings, and elevations depicting the height and material of all retaining walls, walls, and fences) consistent with the grading plan shall be submitted to and approved by the Community Development Department. Double walls shall be avoided to the greatest extent feasible. Applicant shall coordinate with adjacent property owners and make reasonable attempts to construct one common property line wall. If coordination between property owners cannot be accomplished, the applicant shall construct up to an eight (8') foot tall wall located entirely within the subject property and with a two (2) inch maximum separation from the property line. Prior to the construction of any new walls, a plan must be submitted identifying the removal of any existing walls located on the subject property. Any removal of walls on private residential property and construction of new common walls shall include approval by property owners of adjacent properties. The plans shall identify materials, seep holes and drainage. b. Contact the United States Postal Service for approval of mailbox location(s). c. An interim parking and building materials storage plan shall be submitted to the Community Development Department to assure adequate parking and restroom facilities are available for employees, customers and contractors during the project's construction phase and that adjacent properties will not be impacted by their location. The plan shall also be reviewed and approved by the Fire Department and Public Works Department. The applicant shall obtain any necessary encroachment permits from the Department of Public Works. 4. The structure(s) cannot be occupied, the final building pen-nit(s) cannot be approved, and utilities cannot be released for the first residential unit until the following has been completed: a. The applicant shall obtain the necessary permits from the South Coast Air Quality Management District and submit a copy to Community Development Department. b. Compliance with all conditions of approval specified herein shall be accomplished and verified by the Community Development Department. c. All building spoils, such as unusable lumber, wire, pipe, and other surplus or unusable material, shall be disposed of at an off -site facility equipped to handle them. d. Parkland dedication in -lieu fees (Quimby Fees) shall be paid to the Community Development Department. 5. Signage shall be reviewed under separate permits and applicable processing. 6. The applicant and/or applicant's representative shall be responsible for ensuring the accuracy of all plans and information submitted to the City for review and approval. INDEMNIFICATION AND HOLD HARMLESS CONDITION: The owner of the property which is the subject of this project and the project applicant if different from the property owner, and each of their heirs, successors and assigns, shall defend, indemnify and hold harmless the City of Huntington Beach and its agents, officers, and employees from any claim, action or proceedings, liability cost, including attorney's fees and costs against the City or its agents, officers or employees, to attack, set aside, void or annul any approval of the City, including but not limited to any approval granted by the City Council, Planning Commission, or Design Review Board concerning this Item 12. - 93 HB -678- Attachment No. 1.8 project. The City shall promptly notify the applicant of any claim, action or proceeding and should cooperate fully in the defense thereof. HB -679- Attad Item 12. - 94 Asa s `s o _ _ 4 3 ba 8GGG m N N Q Lu oR'tFk oi 0_kz t7 MLU Py figga 2; ?;sRiak3 € o b >< € E 1 F i m0 o w F 0 j y d1 'a Z 11 LU egwa s �g as 9`��w " "8 -y a 334 2 �� 9g& hap 1tl 9 3' 3 $m $$$$ ♦�a 000OO a k a �,A ii�, p �aQ 3JNL N3006N JNLLSUt3, § \:^ 810, Z/l 1531A'1�JNv_ruaooM jo 3N I, 1Sd3� (3\onaN) �Nussu_ I I _ Cs lI I i s e 0 Z s s sl � (L9) � 5931 Q i I I- LL �e ZCL O I � Q"L0= I� w �o m ®a a ��Og� mo � 0� u«r i l I � z z I �;Jtfe59 10 moo= i1 Ill�u o OW I J.41.1118z- J k$ c 3' W 0 QI o�; a �� „Ua - WIC Z Ull w as N4 z =Jl sJ a, fb Z I� ®& - g h. a � R F s W y F _ 0[9 o LU SOW 3.u. 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E c5 AL ��$$�& c€e• � E mz ni $E^S °u UKN �e q.,^Ebmo$oSY EIw n ihmw tl$E`oi =0 • m iEc Rio='q? _ 6c= ' waam±tieba�n mw a�'s tias9i�a z.'wm_rW_w3EEJ `de- _� $ cm s-t EE _ cz g `i °c m - EE g•• € E ;qs of°�� OUE mE �� g x83 yy �>a3 is 5�dm ued w e•y3E - �'m• � crn� � - gEmm gS V E•b - mn`m y "Goy= �mE¢O Soma iiu.l� ry�oEcc"L" `gB Fu ¢ 6$ me p $E rn 'LL�w� 115"t dm'L a 9 aJy�p �nc=i°�as=•��:cE � ��€€qq��g ��flQ$Pi�i m ^RRR yama'f'a5�m xry� 8 'u $m € �r .&AAa3x: HUT H '� m �Ww�4U c a siwwwf rma gzoa5¢e wiz i 00aa ¢Z<i m iFu�r ' oJ,Qy Vfay Cawaa w OWip �ifo�Guy <waW j�96pNF W y¢ m �f¢ Mt mUp g! a0� 4 a3 LL„ a a;¢w Z F, W W � F a z O � � w a > a W a 09� x " g + Zwm Sg Z'a�R Ue_ Item 12. - 98 R way T U B� T � I $B m g lI zl c �U mg8 s$1E°£1 c d All rL ZO'E9L Bull NYetlwtl N� gp g yy Hd 3 Bm v , -Q V 1aS I — 1 � : w gw8d Ee a a�a�e R Ci --->ti�o air ----'`------- $w lz 1• �- - aH **¢ E 1. �Nii�sR� r _5--- 3t '�'°mmu`-A---- §' -- --- .Reoln Yawaltl - - - - � asL m la.o au LE .0.e .,tre AH A .02 •�*�n� efiane,bi � as.,efi,n.z a�e6,o.E -- ka kaL �S m1--- -------- g a ; t gg 8 ° - ���'. a d g; off: gm, F m At a A a - a ~ `m € cg � i. 3` ,p4.1WiW,MImiN'�7 nwW •i- a _ LU m8Ps� 71 d W Aga m �g m nv a a w - ,bow wtl Zs zzl ` Z� Item 12. - 99 _ - -HB -684- e __ t c m a 0 0 LL a c N a m v m rn m z w F O U w W a w a pR + z�m m� Z`Ugre !sTR R�� HB -685- Item 12. - 100 « � m Cm 12. - 101 HB -686- rJ S/ Prom IIII ■I 0 0 C O R C O m HB -687- Item 12. 111D)AP 0 Item 12. - 103 HB -688- Z W 2 a O J w LU ¢�° zI M S Z�_a v C R a 0 0 LL C N m 01 m HB -689- Item 12. - 104 § CL Item 12.-105 /B-690 m C O z Z LU g � E a U W V - $ E ❑g 7,' ^�, ¢� Item 12. 106 - m m c 0 Item 12. - 107 HB -692- `o m d w d 0 L_ 0 O N m CI a m t E o 88e 0 @,E)o I m C 3 O Eh U f m HB-69j- ICnii2.-108 W v N m D m 0 W 3 U m Item 12. - 109 xB -694- N a) E 0 0 c �dF0 W e4 V a) m 0 a U ¢m C Dm -E t 0 o a H Z W W g F a U 0 m Y w W a > w < a p�z s Z>m x- m8� ma w c 0 HB -c9- 0 m m> w u E Sn w Item 12. +u U m^ �v n= 110 5500 Bolsa Avenue, Suite 120 - Huntington Beach, CA 92649 • 714-892-0123 • Fax: 714-892-0122 , www,bonannidevelopment.com Narrative for proposed 10 unit Townhome Project The project on the corner of Garfield and Gothard is a 10 unit project. It consists of 7-4 bedroom units and 3-2 bedroom units of which 1 of the 2 bedroom units will be delineated as affordable housing bonus density unit for low income households. The reason for initiating the application is to beautify the corner of Garfield and Gothard which also consists of purchasing the sliver of land from the City of Huntington Beach. All of the improvements, public area, tree planting, public utilities including water supply and sewage disposal, will be installed before issuance of Certificate of Occupancy. The surrounding uses are apartment's townhomes, RV Storage, and vacant contaminated lot. Bonanni Development will build this project to townhome specifications but will be renting all the units. We feel that this project will enhance the entire area. Initially the development will be held in single ownership by the developer for an unspecified time period and each of the condominium units will function as rental housing. At some future time, we may sell some or all of the units as individual ownership units. RECEIVED . 0 -3 201 oept of Planning & 1301din Item 12. - 111 F-IR _696- RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn: Director of Community Development SPACE ABOVE THIS LINE RESERVED FOR RECORDER'S USE DEVELOPMENT AGREEMENT THIS DEVELOPMENT AGREEMENT ("Agreement") is made in Orange County, California, as of , 2016, by and between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California (the "City") and Bonanni Development/JB Construction, a California General Partnership (the "Developer"). RECITALS A. The City is authorized pursuant to Government Code sections 65864 through 65869.5 and Huntington Beach Zoning and Subdivision Ordinance (HBZSO) Chapter 246 to enter into binding development agreements with persons or entities owning legal interests in real property located within the City. B. Developer is the owner of that certain real property more particularly described in Exhibit A attached hereto and incorporated herein by this reference (the "Property"). C. The City and Developer each desire to enter into this Agreement affecting the Property in conformance with Government Code section 65864 et seq. and HBZSO 246 in order to achieve the mutually beneficial development of the Property in accordance with this Agreement. D. The Developer seeks to develop a project on the Property consisting of 10 dwelling units, as more particularly set forth in the Development Plan (collectively, the "Project"), attached as Exhibit B and incorporated herein, all in accordance with the Holly-Seacliff Specific Plan, as may be amended from time to time (the "Specific Plan") adopted by the City Council of the City (the "City Council") on April 20, 1992. Pursuant to HBZSO Section 230.14, the Project includes an affordable housing density bonus, and one (1) unit of two (2) bedroom size shall be restricted for rental by a Low -Income Household. The Affordable Dwelling Unit plus the fractional in -lieu fee of One Hundred Seventy-three Page 1 of 22 15-5006.001/135287 HB -697- Item 12. - 112 Thousand Forty Dollars ($173,040.00) for 0.35 unit meets both the Specific Plan and Density Bonus requirements. E. The City and the Developer each mutually desire to obtain the binding agreement of one another to permit and ensure that the Property is developed strictly in accordance with the provisions of this Agreement. F. This Agreement will benefit the Developer and the City by eliminating uncertainty in planning and providing for the orderly development of the Project. Specifically, this Agreement (1) eliminates uncertainty about the validity of exactions to be imposed by the City, (2) provides for the construction of needed affordable housing, (3) ensures that development of the Property occurs within a timeframe generally consistent with that analyzed by the Project; and (4) generally serves the public interest within the city and the surrounding region. G. The Planning Commission and the City Council have each given notice of their intention to consider this Agreement, and have each conducted public hearings thereon pursuant to the relevant provisions of the Government Code. The City Council has found that the provisions of.this Agreement are consistent with the City's 1996 General Plan for development within the City, as amended (the "General Plan"), City zoning ordinances, as amended, including HBZSO Section 230.14, entitled "Affordable Housing Density Bonus," and the Holly-Seacliff Specific Plan. The Planning Commission and City Council have also specifically considered the impacts and benefits of the Project upon the welfare of the residents of the City and the surrounding region. The City Council has determined that this Agreement is beneficial to the residents of the City and is consistent with the present public health, safety and welfare needs of the residents of the City and the surrounding region. H. On , the Planning Commission held a duly noticed public hearing on this Agreement. I. On , the City Council held a duly noticed public hearing on this Agreement. NOW, THEREFORE, in consideration of the foregoing recitals which are hereby incorporated into the operative provisions of this Agreement by this reference and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the City and the Developer agree as follows: 1. Definitions. "Affordable Dwelling Units" shall mean a Dwelling Unit available at Affordable Rent. "Affordable Housing Agreement" shall collectively mean that certain Affordable Housing Rental Agreement (AHRA) by and between the Huntington Beach Page 2 of 22 15-5006.001/135287 Item 12. - 113 HB -698- Housing Authority ("HBHA"), City and Developer together with all attachments thereto, which was approved as to form as part of this Development Agreement. AHRA shall also include any and all amendments or modifications thereto. "Affordable Rent" shall have the same meaning set forth in California Health and Safety Code section 50053, as more specifically set forth in the Agreement Containing Covenants Affecting Real Property to be attached to the Affordable Housing Agreement. "Applicable Rules" means the rules, regulations, ordinances and official policies of the City which were in force as of the Effective Date (as defined below), including, but not limited to, the General Plan, the Specific Plan, City zoning ordinances and other entitlements, including HBZSO Section 230.14, entitled "Affordable Housing Density Bonus," development conditions and standards, public works standards, subdivision regulations, grading requirements, and provisions related to density, growth management, environmental considerations, and design criteria applicable to the Project. Applicable Rules shall not include building standards adopted by the City pursuant to Health and Safety Code sections 17922 and 17958.5. "Area Median Income" shall mean the area median income for the County of Orange ("County") as published annually by the Department of Housing and Community Development and determined in accordance with the U.S. Department of Housing and Urban Development criteria then in effect and published from time to time. For purposes of this Agreement, the qualifying limits shall be those limits for the County, as set forth in Title 25, California Code of Regulations, section 6932, as that section may be amended, modified or recodified from time to time. If the California Code of Regulations is amended or modified during the term of this Agreement so that such regulations do not specify the area median income from the County, the City and Developer shall negotiate in good faith to determine an equivalent authoritative source which determines median income from the County. "City Council" shall mean the City Council of the City. "City Manager" shall mean the City Manager of the City. "County" shall mean Orange County. "Density Bonus" shall mean the affordable housing density bonus applied to the Project pursuant to HBZSO Section 230.14. "Developer" shall mean Bonanni Development/JB Construction, a California general partnership. "Development Impact Fees" means and includes all fees charged by the City in connection with the application, processing and approval or issuance of permits for the development of property, including, without limitation: application fees; permit Page 3 of 22 15-5006.001/135287 1 { E3.699- Item 12. - 114 processing fees; inspection fees; utility capacity fees; development impact or major facilities fees; park fees; flood control fees; environmental impact mitigation fees; and any similar governmental fees, charges and exactions required for the development of the Project. "Discretionary Actions" and "Discretionary Approvals" means those actions and approvals which require the exercise of judgment, or imposition of a condition or obligation, by any officer, employee, review board, commission or department of the City. Discretionary Actions and Discretionary Approvals are distinguished from activities or approvals which merely require any officer, employee, review board, commission or department of the City. Discretionary Actions and Discretionary Approvals are distinguished from activities or approvals which merely require any officer, employee, review board, commission or department of the City to determine whether or not there has been compliance with applicable statutes, ordinances, regulations or conditions of approval. "Dwelling Unit" shall mean a place in the Project that is legally available to be rented by a person or family. "Effective Date" means the date on which the ordinance approving this Agreement has been adopted by the City. "Fractional In -lieu Fee" shall mean that portion of the Project's affordable housing requirement that is met by payment of a fee instead of the provision of an actual Affordable Dwelling Unit. "Low Income Household" means persons and families whose gross incomes do not exceed eighty percent (80%) of the Area Median Income, adjusted for size. "Market Rate Rental Dwelling Unit" shall mean those Dwelling Units in the Project that are not Affordable Dwelling Units nor governed by the Affordable Housing Agreement. "Periodic Review" shall have the meaning assigned to such term in Paragraph 10(a). "Planning Commission means the Planning Commission of the City. "Project" shall mean that development contemplated pursuant to the Development Plan, attached as Exhibit B, approved by Conditional Use Permit No. 13- 026 and Tentative Tract Map No. 13-115. "HBHA" shall mean the Huntington Beach Housing Authority. Page 4 of 22 15-5006.001/135287 Item 12. - 115 1113 -700- "Specific Plan" shall mean the Holly-Seacliff Specific Plan adopted by the City Council on April 20, 1992, as may be amended from time to time. "Subsequent Rule" means the rules, regulations, ordinances and official policies of the City, adopted and becoming operative after the Effective Date, including, but not limited to, the General Plan, the Specific Plan, City zoning ordinances and other entitlements, development conditions and standards, public works standards, subdivision regulations, grading requirements, and other provisions related to density, growth management, environmental considerations, and design criteria. [See also paragraph 3 below.] 2. Term of Agreement. This Agreement shall become operative and commence upon the Effective Date and remain in effect for a term of ten (10) years. Except for continuing obligations regarding affordable housing covenants and requirements, upon the expiration or termination of the term, this Agreement shall be deemed terminated and have no further force and effect. 3. Vested Right to Develop the Project. Subject to Paragraphs 3.3 through 3.8 below, and the Applicable Rules, the City hereby grants to the Developer the vested right to develop the Project on the Property to the extent and in the manner provided in this Agreement. Subject to Paragraphs 3.3 through 3.8 below, any change in the Applicable Rules adopted or becoming effective after the Effective Date (Subsequent Rules) shall not be applicable to or binding upon the Project or the Property. Subject to Paragraphs 3.3 through 3.8, below, this Agreement will bind the City to the terms and obligations specified in this Agreement and will limit, to the degree specified in this Agreement and under state law, the future exercise of the City's ability to regulate development of the Project. 3.1 No Conflicting Enactments. Subject to Paragraphs 3.3 through 3.8, below, neither the City Council nor any department of the City shall enact rules, regulations, ordinances or other measures which relate to the rate, timing, sequencing, density, intensity or configuration of the development of any part of the Project which is inconsistent or in conflict with this Agreement during the term of this Development Agreement. 3.2 Initiative Measures. Subject to Paragraphs 3.3 through 3.8, below, the Developer and City intend that no moratorium or other limitation (whether relating to the rate, timing or sequence of the development of all or any part of the Project and whether enacted by initiative or otherwise) affecting parcel or subdivision maps (whether tentative, vesting tentative or final), building, permits, certificates of occupancy or other entitlements shall apply to the Project to the extent such moratorium or other limitation is inconsistent or conflicts with this Agreement. 3.3 Federal or State Laws. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to modify any of the Applicable Rules to the extent necessary to comply with applicable federal or state laws, Page 5 of 22 15-5006.001/135287 HB -701- Item 12. - 116 codes or regulations which preempt local jurisdiction including, by way of example, and without limiting the generality of the foregoing, the California Environmental Quality Act, all building codes, and any safety regulations, but such modifications shall be made only to the extent required thereunder. 3.4 Emergency. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to apply to the Project any development moratorium, limitation on the delivery of City -provided utility services, or other generally applicable emergency rule, regulation, law or ordinance affecting land use: (1) which is based on genuine health, safety and general welfare concerns (other than general growth management issues); (2) which arises out of a documented emergency situation, as declared by the President of the United States, Governor of California; or the Mayor, City Council or City Manager of the City; and (3) based upon its terms or its effect as applied, does not apply exclusively, primarily or disproportionately to the Project or the Property. 3.5 Project Completion. This Agreement and the EIR and associated fmdings, are based on the expectation that the Project will be constructed as follows: up to 9 Market Rate Rental Dwelling Units and 1 Affordable Dwelling Unit, 3.6 Public Health Concerns. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to apply to the Project any generally applicable rule, regulation, law or ordinance which does not affect the land use or development of the Project and which is based on concerns for the public health, safety or general welfare, including, but not limited to, building codes not otherwise preempted by State law. 3.7 New Engineering and Construction Standards. Notwithstanding any provision to the contrary contained herein, the City expressly reserves the right to modify any of the Applicable Rules if the City adopts new and/or amended regulations governing engineering and construction and grading standards and specifications including, without limitation, any and all uniform codes adopted by the City, including local amendments to these codes pursuant to state law allowing for such amendments; provided that such codes are uniformly applied to all new development projects of similar type as the Project within the City and provided further that any such modifications to grading standards can only be imposed prior to grading and any such modifications to engineering or construction standards can only be applied prior to the initiation of construction. Such codes include, without limitation, the City's Uniform Housing Code, Building Code, Plumbing Code, Mechanical Code, Electrical Code and Fire Code. 3.8 Cooperation and Indemnification. City agrees to cooperate with Developer in all reasonable manners in order to keep this Agreement in full force and effect. Notwithstanding the preceding sentence, in the event any legal action instituted by a third party or other government entity or official challenging the validity of this Agreement, the City and Developer agree to cooperate in defending such action, with the Page 6 of 22 15-5006.001/135287 Item 12. - 117 ilB -7/02- Developer to indemnify the City pursuant to Paragraph 17 of this Agreement. In the event of any litigation challenging the effectiveness of this Agreement or any portion thereof, this Agreement shall remain in full force and effect while such litigation, including any appellate review, is pending, unless a court of competent jurisdiction orders otherwise. 4. Development of the Property. (a) Permitted Uses. The Developer agrees that the Property shall only be developed in accordance with the Development Plan and any conditions and mitigation measures imposed on the Project through final approval of the Project, and the provisions of this Development Agreement. Notwithstanding anything set forth in this Agreement to the contrary, unless Developer proceeds with development of the Property, Developer is not obligated by the terms of this Agreement to affirmatively act to develop all or any portion of the Project, pay any sums of money, dedicate any land, indemnify any party, or to otherwise meet or perform any obligation with respect to the Project, except and only as a condition of development of any portion of the Project. (b) Development Standards. All development and design requirements and standards applicable to the Project shall conform to the Holly-Seacliff Specific Plan, the Huntington Beach Municipal Code, and any Applicable Rules. (c) Development Impact Fees. In addition to the obligations set forth elsewhere in this Agreement, Developer shall be responsible for paying when due all Development Impact Fees including Traffic Impact and Park Fees in connection with development of the Project at the rates then in effect. Subject to all applicable laws then in effect, City shall have the right: (i) to charge and apply to the Property all Development Impact Fees as may be in effect at the time applicable to the Project; and (ii) to increase or otherwise modify any and all Development Impact Fees applicable to the Project. (d) Payment of Fractional In -lieu Fee. Developer shall pay the Fractional In -lieu Fee in connection with development of the Project prior to issuance of the Certificate of Occupancy. 5. Reserved. 6. Affordable Housinz. The Project is subject to the requirement of providing one Affordable Dwelling Unit, which shall be a rental unit and must remain an Affordable Dwelling Unit for at least fifty-five (55) years. The City and Developer agree as a condition precedent to Development that an Affordable Housing Agreement be executed to memorialize the terms and conditions of the affordable housing components (Attached Hereto as Exhibit Q. The Developer will provide an affordable unit for rent, which shall be made available as follows: 1 unit to be occupied by a Low Income Household. The Developer agrees to Page 7 of 22 15-5006.001/135287 HB -703- Item 12. - 118 record said affordability covenants and Deed of Trust in favor of the City to assure that affordability covenants run with the land and remain in effect for the affordability period. The Developer agrees to comply with all the terms and provisions of the Affordable Housing Agreement and its attachments and acknowledges that any default thereunder shall also constitute a default under this Agreement. Prior to approval of a Final Inspection for the 10'' Market Rate Rental Dwelling Unit, Developer shall have completed construction and shall have received all required Final Inspection for the rental Low Income Household Affordable Dwelling Unit. 7. Extension of Project Approvals. Unless a longer term would result under otherwise applicable state law, the term of any permits approved as part of the Project approvals shall be automatically extended for the term of this Agreement. 8. Reserved. 9. Subsequent Discretionary Action and Approval. The City agrees not to unreasonably withhold, condition or delay any Discretionary Action or Discretionary Approval or other action or approval by the City which may be required by the Project subsequent to the execution of this Agreement. Upon the filing of a complete application and payment of appropriate processing fees by Developer, the City shall promptly commence and diligently schedule and convene all required public hearings in an expeditious manner consistent with the law and process all Discretionary Actions and Discretionary Approvals in an expeditious manner. 10. Compliance Review. (a) Periodic Review. Pursuant to Government Code section 65865.1, the City Manager or his or her designee shall, not less than once in every twelve (12) months, review the Project and this Agreement to ascertain whether or not the Developer is in full compliance with the terms of the Agreement (the "Periodic Review"). (b) Review Procedure. During a Periodic Review, Developer shall provide information reasonably requested by the City Manager or his or her designee that the Project is being developed in good faith compliance with the terms of this Agreement. If, as a result of a Periodic Review, the City finds and determines on the basis of substantial evidence that the Developer has not complied in good faith with the terms or conditions of this Agreement, the City shall issue a written "Notice of Non -Compliance" to the Developer specifying the grounds therefore and all facts demonstrating such non- compliance. The Developer's failure to cure the alleged non-compliance within sixty (60) days after receipt of the notice, or, if such noncompliance is not capable of being cured within sixty (60) days, the Developer's failure to initiate all actions required to cure such non-compliance within sixty (60) days after receipt of the notice and completion of the cure of such non-compliance within one hundred twenty (120) days, shall constitute a default under this Agreement on the part of the Developer and shall constitute grounds for the termination of this Agreement by the City as provided for below. If requested by Page 8 of 22 15-5006.001/135287 Item 12. - 119 1-113 -704- Developer, City agrees to provide to Developer a certificate that Developer is in compliance with the terms of this Agreement, provided Developer reimburses City for all reasonable and direct costs and fees incurred by City with respect thereto. (c) Termination or Modification for Non -Compliance. Pursuant to Government. Code section 65 86 5. 1if the City Council finds and determines, on the basis of substantial evidence, that the Developer has not complied in good faith with the terms or conditions of this Agreement, the City Council may modify or terminate this Agreement. Any action by the City with respect to the termination or modification of this Agreement shall comply with the notice and public hearing requirements of Government Code section 65867 in addition to any other notice required by law. Additionally, the City shall give the Developer written notice of its intention to terminate or modify this Agreement and shall grant the Developer a reasonable opportunity to be heard on the matter and to oppose such termination or modification by the City. 11. Modification, Amendment, Cancellation or Termination. 11.1 Amendment and Cancellation. Pursuant to Government Code section 65868, this Agreement may be amended or canceled, in whole or in part, by mutual written consent of the City and the Developer or their successors in interest. Public notice of the parties' intention to amend or cancel any portion of this Agreement shall be given in the manner provided by Government Code section 65867. Any amendment to the Agreement shall be subject to the provisions of Government Code section 65867.5. 11.2 Modification. The City Community Development Director, with the consent of the Developer, may make minor modifications to the Agreement without the need for formal action by the City's Planning Commission or City Council as long as such modifications do not alter the Term of this Development Agreement, the permitted uses, density or intensity of uses, the maximum height or size of buildings, provisions for reservations or Dedication of land, conditions, terms, restrictions and requirements relating to Subsequent Discretionary Actions and Approvals, and monetary contributions by Developer. 12. Defaults, Notice and Cure Periods, Events of Default and Remedies.. 12.1 Default By the Developer. 12.1.1 Default. If the Developer does not perform its obligations under this Agreement in a timely manner, the City may exercise all rights and remedies provided in this Agreement, provided the City shall have first given written notice to the Developer as provided in Paragraph 17(a) hereof. 12.1.2 Notice of Default. If the Developer does not perform its obligations under this Agreement in a timely manner, the City through the City Manager may submit to the Developer a written notice of default in the manner prescribed in 15-5006.001/135287 Page 9 of 22 HB -705- Item 12. - 120 Paragraph 17(a) identifying with specificity those obligations of the Developer under this Agreement which have not been timely performed. Upon receipt of any such written notice of default, the Developer shall promptly commence to cure the identified default(s) at the earliest reasonable time after receipt of any such written notice of default and shall complete the cure of any such default(s) no later than sixty (60) days after receipt of any such written notice of default, or if such default(s) is not capable of being cured within sixty (60) days, no later than one hundred twenty (120). days after receipt of any such written notice of default, provided the Developer commences the cure of any such default(s) within such sixty (60) day period and thereafter diligently pursues such cure at all times until any such default(s) is cured. 12.1.3 Failure to Cure Default Procedure. If after the cure period provided in Paragraph 12.1.2 has elapsed, the City Manager fmds and determines the Developer, or its successors, transferees and/or assignees, as the case may be, remains in default and that the City intends to terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, the City's Community Development Director shall make a report to the Planning Commission and then set a public hearing before the Planning Commission in accordance with the notice and hearing requirements of Government Code sections 65867 and 65868. If after the public hearing, the Planning Commission finds and determines, on the basis of substantial evidence, that the Developer, or its successors, transferees and/or assigns, as the case may be, has not cured a default under this Agreement pursuant to this Paragraph 12, and that the City shall terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, the Developer, and its successors, transferees and/or assigns, shall be entitled to appeal that finding and determination to the City Council. Such right of appeal shall include, but not be limited to, an objection to the manner in which the City intends to modify this Agreement if the City intends as a result of a default of the Developer, or one of its successors or assigns, to modify this Agreement. In the event of a fmding and determination that all defaults are cured, there shall be no appeal by any person or entity. Nothing in this Paragraph 12 or this Agreement shall be construed as modifying or abrogating the City Council's review of Planning Commission actions or limiting the City's rights and remedies available at law or in equity, which shall include (without limitation) compelling the specific performance of the Developer's obligations under this Agreement. 12.1.4 Termination or Modification of Agreements. The City may terminate or modify this Agreement, or those transferred or assigned rights and obligations, as the case may be, after such final determination of the City Council or, where no appeal is taken, after the expiration of the applicable appeal periods described herein. There shall be no modifications of this Agreement unless the City Council acts pursuant to Government Code sections 65967.5 and 65868, irrespective of whether an appeal is taken as provided herein. 12.2 Default by the City. 12.2.1 Default. In the event the City does not accept, process or render a decision in a timely manner on necessary development permits, entitlements, or Page 10 of 22 15-5006,001/135287 Item 12. - 121 HB -706- other land use or building approvals for use as provided in this Agreement upon compliance with the requirements therefore, or as otherwise agreed to by the City and Developer, or the City otherwise defaults under the provisions of this Agreement, subject to Paragraph 12.3, the Developer shall have all rights and remedies provided herein or by applicable law, which shall include compelling the specific performance of the City's obligations under this Agreement provided the Developer has first complied with the procedures in paragraph 12.2.2. 12.2.2 Notice of Default. Prior to the exercise of any other right or remedy arising out of a default by the City under this Agreement, the Developer shall first submit to the City a written notice of default stating with specificity those obligations which have not been performed under this Agreement. Upon receipt of the notice of default, the City shall promptly commence to cure the identified default(s) at the earliest reasonable time after receipt of the notice of default and shall complete the cure of such default(s) no later than thirty (30) days after receipt of the notice of default, or such longer period as is reasonably necessary to remedy such default(s), provided the City shall continuously and diligently pursue each remedy at all times until such default(s) is cured. In the case of a dispute as to whether the City is in default under this Agreement or whether the City has cured the default, or to seek the enforcement of this Agreement, the City and the Developer may submit the matter to negotiation/mediation pursuant to Paragraph 17(n) of this Agreement. 12.3 Monetary Damages. The Developer and City acknowledge that neither the City nor the Developer would have entered into this Agreement if either were liable for monetary damages under or with respect to this Agreement or the application thereof. Both the City and the Developer agree and recognize that, as a practical matter, it may not be possible to determine an amount of monetary damages which would adequately compensate the Developer for its investment of time and financial resources in planning to arrive at the kind, location, intensity of use, and improvements for the Project, nor to calculate the consideration the City will require to enter into this Agreement to justify such exposure. Therefore, the City and the Developer agree that neither shall be liable for monetary damages under or with respect to this Agreement or the application thereof and the City and the Developer covenant not to sue for or claim any monetary damages for the breach of any provision of this agreement. This foregoing waiver shall not be deemed to apply to any fees or other monetary amounts specifically required to be paid by the Developer to the City pursuant to this Agreement including, but not limited to any amounts due pursuant to Paragraph 17(g) and 17(m). The foregoing waiver shall also not be deemed to apply to any fees or other monetary amounts specifically required to be paid or credited by the City to the Developer pursuant to this Agreement, including, but not limited to any fee credits specifically required to be credited by City to Developer or its assignee(s). 13. Administration of Agreement and Resolution of Disputes. The Developer shall at all times have the right to appeal to the City Council any decision or determination made by any employee, agent or other representative of the City Page 11 of 22 15-5006.0011135287 1-1B -707- Item 12. - 122 concerning the Project or the interpretation and administration of this Agreement. All City Council decisions or determinations regarding the Project or the administration of this Agreement shall also be subject to judicial review pursuant to Code of Civil Procedure section 1094.5, provided that, pursuant to Code of Civil Procedure section 1094.6, any such action must be filed in a court of competent jurisdiction not later than ninety (90) days after the date on which the City Council's decision becomes final. In addition, in the event the Developer and the City cannot agree whether a default on the part of the Developer, or any of its successors or assigns, under this Agreement exists or whether or not any such default has been cured, then the City or the Developer may submit the matter to negotiation/mediation pursuant to Paragraph 17(n). 14. Recordation of this Agreement. Pursuant to Government Code section 65868.5, the City Clerk shall record a copy of this Agreement in the Official Records of the County within ten (10) days after the mutual execution of this Agreement. 15. Constructive Notice and Acceptance. Every person or entity who now or hereafter owns or acquires any right, title or interest in or to any portion of the Property is, and shall be, conclusively deemed to have consented and agreed to every provision contained herein, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Property. 16. No Third Party Beneficiaries. This Agreement is made and entered into for the sole protection and benefit of the City, the Developer and their respective successors and assigns. No other person or entity shall have any right of action based upon any provision of this Agreement. 17. Miscellaneous. (a) Notices. All notices which are allowed or required to be given hereunder shall be in writing and (1) shall be deemed given and received when personally delivered or (2) shall be sent by registered or certified mail or overnight mail service, addressed to the applicable designated person by one party to the other in writing, and shall be deemed received on the second business day after such mailing. If to City: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn: City Manager Tel. No.: (714) 536-5575 Fax No.: (714) 536-5233 If to Developer: Bonanni Development/JB Construction c/o Ed Bonanni 5500 Bolsa Avenue, Suite 120 Huntington Beach, CA 92649 Page 12 of 22 15-5006.001/135287 Item 12. - 123 HB -708- (b) Severability. If any part of this Agreement is declared invalid for any reason, such invalidity shall not affect the validity of the remainder of the Agreement unless the invalid provision is a material part of the Agreement. The other parts of this Agreement shall remain in effect as if this Agreement had been executed without the invalid part. In the event any material provision of this Agreement is determined to be invalid, void or voidable, City or Developer may terminate this Agreement. (c) Entire Agreement; Conflicts. This Agreement represents the entire agreement between the City and the Developer with respect to the subject matter hereof and supersedes all prior agreements and understandings, whether oral or written, between the City and the Developer with respect to the matters contained in this Agreement. Should any or all of the provisions of this Agreement be found to be in conflict with any other provision or provisions found in the Applicable Rules or the Subsequent Applicable Rules, then the provisions of this Agreement shall govern and prevail. (d) Further Assurances. The City and the Developer agree to perform, from time to time, such further acts and to execute and deliver such further instruments reasonably to effect the intents and purposes of this Agreement, provided that the intended obligations of the City and the Developer are not thereby modified. (e) Inurement and Assignment. This Agreement 'shall inure to the benefit of and bind the successors and assigns of the City and the Developer, may be assigned by either the City or the Developer to any party or parties purchasing all or any part of the Property, or any interest therein pursuant to the provisions of this Paragraph 17(e). The specific rights and obligations of this Agreement shall be deemed covenants running with the land. Prior to Developer's assignment of any rights, duties or obligations under this Agreement, the Developer shall present such information required by the City at its sole discretion to demonstrate to the City's satisfaction that the proposed successor and/or assignee has the financial ability and experience to fulfill those specific rights, duties and obligations under the Agreement that the successor and/or assignee would assume. In addition, the Developer and the proposed assignee shall present to the City a signed agreement delineating the right to use the credits established by this Agreement as between such parties. - City shall have the right to approve the proposed successor and/or assignee, provided that the City's approval may not be unreasonably withheld, conditioned or delayed. The provisions of this Paragraph 17(e) shall be self- executing and shall not require the execution or recordation of any further document or instrument. (f) Negation of A eg ncy. The City and the Developer acknowledge that, in entering into and performing under this Agreement, each is acting as an independent entity and not as an agent of the other in any respect. Nothing contained herein or in any document executed in connection herewith shall be construed as making the City and the Developer joint ventures, partners or employer/employee. (g) Attorney's Fees. In the event of any claim, dispute or controversy arising out of or relating to this Agreement, including an action for declaratory relief, the Page 13 of 22 15-5006.001/135287 HB -709- Item 12. - 124 prevailing party in such action or proceeding shall not be entitled to recover its court costs and reasonable out-of-pocket expenses. (h) Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought. (i) Force Majeure. Performance by either party hereunder shall not be deemed to be in default where delays or defaults are due to one or more of the following events, providing that any one or more of such event(s) actually delays or interferes with the timely performance of the matter to which it would apply and despite the exercise of diligence and good business practices and such event(s) are beyond the reasonable control of the party claiming such interference: war, terrorism, terrorist acts, insurrection, strikes, lock -outs, unavailability in the marketplace of essential labor, tools, materials or supplies, failure of any contractor, subcontractor, or consultant to timely perform (so long as Developer is not otherwise in default of any obligation under this Agreement and is exercising commercially reasonable diligence of such contractor, subcontractor of consultant to perform, riots, floods, earthquakes, fires, casualties, acts of God, acts of the public enemy, epidemics, quarantine restrictions, freight embargoes, lack of transportation, governmental restrictions or priority, or unusually severe weather. An extension of time for any such cause (a "Force Majeure Delay") shall be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the party claiming such extension is sent to the other party within thirty (30) days of actual knowledge of the commencement of the cause. Notwithstanding the foregoing, none of the foregoing events shall constitute a Force Majeure Delay unless and until the party claiming such delay and interference delivers to the other party written notice describing the event, its cause, when and how such party obtained knowledge, the date and the event commenced, and the estimated delay resulting therefrom. 0) Paragraph Headings. The paragraph headings contained in this Agreement are for convenience and identification only and shall not be deemed to limit or define the contents to which they relate. (k) Time of Essence. Time is of the essence of this Agreement, and all performances required hereunder shall be completed within the time periods specified.' Any failure of performance shall be deemed as a material breach of this Agreement. (1) CounterLarts. This Agreement and any modifications hereto may be executed in any number of counterparts with the same force and effect as if executed in the form of a single document. (m) Indemnification. The Developer agrees, as a condition of approval of this Agreement, to indemnify, defend and hold harmless at the Developer's expense, the City, the City Council, and the City's agents, officers and employees from and against any claim, action or proceeding to attack, review, set aside, void or annul the approval of Page 14 of 22 15-5006.001/135287 Item 12. - 125 HB -710- this Agreement, the Specific Plan or EIR to determine the reasonableness, legality or validity of any provision hereof or obligation contained herein. Developer also agrees to indemnify the City, the City Council, and the City's officials, agents and employees for any claims, acts or proceedings relating to the Project's affordable housing requirements, including, but not limited to, any challenge to the City's Housing Element arising from such requirements. The indemnity described in this section is not subject to the provisions of paragraph 4(a) providing that obligations cease if the Project does not go forward. The City shall promptly notify the Developer of any such claim, action or proceeding of which the City receives notice, and the City will cooperate fully with the Developer in the defense thereof. The Developer shall provide a defense to the City with counsel reasonably selected by Developer and City to defend both the City and Developer, and shall reimburse the City for any court costs which the City may be required to pay as a result of any such claim, action or proceeding. The City may, in its sole discretion, participate in the defense of any such claim, action or proceeding at its own expense, but such participation shall not relieve the Developer of the obligations of this Paragraph 17(m). (n) Hold Harmless Agreement. City and Developer mutually agree to, and shall hold each other and each of the other's elective and appointed councils, boards, commissions, directors, officers, partners, agents, representatives and employees harmless from any liability for damage or claims for personal injury, including death, and from claims for property damage which may arise from the activities of the other's or contractor's, subcontractors, agents, or employees which relate to the Project whether such activities be by City or Developer, or by any of City's or the Developer's contractors, subcontractors, or by any one or more persons indirectly employed by, or acting as agents for Developer, any of Developer's or the City's contractors or subcontractors. City and Developer agree to and shall defend the other and each of the other's elective and appointive councils, boards, directors, commissioners, officers, partners, agents, representatives and employees from any suits or actions at law or in equity for damage caused or alleged to have been caused by reason of the aforementioned activities which relate to the Project. (o) Reference of California Law. Unless expressly stated to the contrary, all references to statutes herein are to the California codes. (p) Interpretation. The language in all parts of this Agreement shall in all cases be construed simply, as a whole and in accordance with its fair meaning and not strictly for or against any party. The parties hereto acknowledge and agree that this Agreement has been prepared jointly by the parties and has been the subject of arm's length and careful negotiation over a considerable period of time, that each party has independently reviewed this Agreement with legal counsel, and that each party has the requisite experience and sophistication to understand, interpret and agree to the particular language of the provisions hereof. Accordingly, in the event of an ambiguity in or Page 15 of 22 15-5006.001/135287 H11 -71 I - Item 12. - 126 dispute regarding the interpretation of this Agreement, this Agreement shall not be interpreted or construed against the party preparing it, and instead other rules of interpretation and construction shall be utilized. IN WITNESS WHEREOF, the City and the Developer hereto have each executed this Development Agreement as of the date first written above. Developer: BONANNIDEVELOPMENT/ JB CONSTRUCTION, a California general partnership M. Its: City: CITY OF HUNTINGTON BEACH, a California municipal corporation Mayor City Clerk APPROVED AS TO FORM: City Attorney INITIATED, REVIEWED AND APPROVED: City Manager 15-5006.0011135287 Page 16 of 22 Item 12. - 127 1it1.711-1_ EXHIBIT A To Development Agreement Page 17 of 22 15-5006.001/135287 HB -713- Item 12. - 128 Legal Description (to be inserted) Page 18 of 22 15-5006.001/135287 Item 12. - 129 HB -7 1 4- EXHIBIT B To Development Agreement Page 19 of 22 15-5006.001/135287 HB -715- Item 12. - 130 DEVELOPMENT PLAN (to be inserted) Page 20 of 22 15-5006.001/135287 Item 12. - 131 H B _ ; _ EXHIBIT C To Development Agreement Page 21 of 22 15-5006.001/135287 Item 12. - 132 OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Space above this line for Recorder's use only AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (INCLUDING AFFORDABLE RENTAL AND/OR SALE RESTRICTIONS) THIS AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Agreement") is entered into as of , 2016, by and between the CITY OF HUNTINGTON BEACH (the "City") and BONANNI DEVELOPMENT / JB CORPORATION, a California General Partnership ("Developer"). A. Developer owns fee title to that certain real property (the "Property") located in the City of Huntington Beach, County of Orange, State of California, legally described in the "Legal Description" attached hereto as Exhibit "A" and incorporated herein by this reference. B. The City and Developer entered into that certain Development Agreement ("DA"), dated , 2016, regarding the development of a residential project including one (1) Affordable Rental Unit and/or City -approved For Sale Unit restricted for rental and/or sale to and occupancy by Low Income Households, in accordance with the terms contained therein. DA as used herein shall mean, refer to and include the DA, as well as any riders, exhibits, addenda, implementation agreements, amendments and attachments thereto (which are hereby incorporated herein by this reference) or other documents expressly incorporated by reference in the DA. Any capitalized term not otherwise defined herein shall have the meaning ascribed to such term in the DA. C. This Agreement is entered into and recorded in accordance with the DA. NOW, THEREFORE, CITY AND DEVELOPER COVENANT AND AGREE AS FOLLOWS: 1. Construction of the Project. Developer covenants and agrees for itself, its successors and assigns and every successor in interest to the Property or any part thereof, that Developer, its successors and assigns, shall acquire the Property and construct or cause the construction of the Project in accordance with the provisions of the DA. 15-5006.001 / 135291 Item 12. - 133 HB -718- 2. Release of Construction Covenants. Following Completion of the Project in accordance with the DA, City shall record a Release of Construction Covenants on the Property. Following the City's recording of the Release of Construction Covenants, the covenants contained in Paragraph 1 herein shall terminate and be of no further force and effect with respect to the Property. 3. Use of the Property. Developer, on behalf of itself and its successors, assigns, and each successor in interest to Developer's interest in the Property or any part thereof, hereby covenants and agrees as follows: a. For a period of no less than fifty-five (55) years, beginning from the date of the City's issuance of a certificate of occupancy for the Project (the "Covenant Period"), Developer shall use the Property only for the uses specified in the DA, any agreements entered into by and between the City and Developer relating to the Property, and this Agreement. During the Covenant Period, no change in the use of the Property shall be pernutted without the prior written approval of City. b. During the Covenant Period, one (1) of the ten (10) Dwelling Units constructed upon the Property shall be rented exclusively to and occupied by qualifying Low Income Households ("Qualified Renters") at an Affordable Rent in accordance with Health and Safety Code section 50053(b). The aforementioned restricted unit shall be referenced hereinafter as the "Restricted Unit." C. During the Covenant Period, Developer shall not change a Restricted Unit from a rental unit to a for -sale unit without the prior written approval of the City Manager, which approval the City Manager shall be required to give if Developer satisfies each of the following conditions precedent: (i) a Restricted Unit that is restricted for rental to and occupancy by a Low Income Household shall first be offered for sale to the tenant occupying that unit at Affordable Housing Cost for a Low Income Household, in accordance with Health and Safety Code section 50052.5(b) (herein, the "Right of First Refusal"). Said offer shall be in writing and have a heading at or near the top of the first page in bold type not less than 12-point font substantially in the following form: "This Document Sets Contains a Written Offer to Sell To You the Residential Unit in Which You Are a Tenant. Please Review Carefully. If You Wish to Accept This Offer, You Must Do So Within Thirty (30) Days After This Offer Is Delivered To You By Signing and Dating This Offer Where Indicated Below and Delivering This Accepted Offer to the Owner at the Owner's Address. If You Do Not Do So, Your Right to Purchase This Residential Unit Will Terminate and Expire." The offer shall contain a complete statement of the terms of the proposed sale, shall clearly state the applicable purchase price and closing date (which in no case shall be less than thirty (30) days after the date the offer is accepted) and shall comply with all applicable provisions of law pertaining to the sale of residential condominium units in the State of California, City of Huntington Beach. If the tenant does not timely accept Developer's offer the tenant's Right of First Refusal shall expire and be of no further force or effect and thereafter Developer shall be free to market and sell that Restricted Unit to any other Low Income Household ("Qualified 2 15-5006.001 / 135291 HB -719- Item 12. - 134 Purchaser") at Affordable Housing Cost. Alternatively, if the tenant does timely accept the offer but thereafter the tenant fails to timely perform any of its obligations to complete the purchase of the Restricted Unit pursuant to the contract entered into between Developer and the tenant, subject to whatever default, notice, and cure rights may be set forth in said contract Developer shall have the right hereunder to terminate said contract, in which event the tenant's Right of First Refusal shall expire and be of no further force or effect and thereafter Developer shall be free to market and sell that Restricted Unit to any other Qualified Purchaser at Affordable Housing Cost, in accordance with Health and Safety Code section 50052.5(b); (ii) the Developer shall notify the City, in writing, of its request for City approval to change any Restricted Unit from a rental unit to a for -sale unit no later than ninety (90) days prior to offering a Restricted Unit for sale to any Person ("Notice of Change Request"), The Notice of Change Request shall be accompanied by the following information: (a) the form(s) of purchase contract(s) Developer intends to use (consistent with the requirements of paragraph 3c with respect to the Right of First Refusal for each existing tenant); (b) a form of grant deed to be used for each such sale which sets forth the applicable restrictions upon resale and use of each for -sale Restricted Unit consistent with this Agreement; and (c) written evidence documenting Developer's compliance with all applicable laws and regulations governing the sale of condominium units. The City Manager shall approve or disapprove the Notice of Change Request, including the form of the documents submitted therewith, within thirty (30) days after receipt, with approval not to be unreasonably conditioned or withheld. Any disapproval shall be in writing and shall state the reasons therefor and the actions that Developer must take or the changes Developer must make to the applicable documents in order to obtain City's approval. If the City Manager fails to timely approve or disapprove Developer's Notice of Change Request within said time, Developer's Notice of Change Request and the form of the accompanying documents shall be deemed approved; (iii) concurrently with the close of escrow for the conveyance of any Restricted Unit to a Qualified Purchaser, Developer and City shall fill in the blanks in the "Agreement and Covenants Concerning Use and Resale of Residential Unit" in the form attached hereto as Exhibit "B" and incorporated herein by this reference and the "Right of First Refusal" in favor of the City in the form attached hereto as Exhibit "C" and incorporated herein by this reference and Developer shall record such instruments or cause them to be recorded in the Official Records of the Orange County Recorder. d. During the Covenant Period, the Restricted Unit shall be occupied at all times only by Qualified Renters or, subject to paragraph 3c above, by Qualified Purchasers, as applicable. The Developer covenants to cooperate with the City in taking all steps necessary to implement and monitor this requirement with respect to all Qualified Renters. e. During the Covenant Period, as long as the Restricted Units are required to be rented to and occupied by Qualified Renters and until the close of escrow for the conveyance of any Restricted Units to Qualified Purchasers, Developer shall provide the City with a monthly report with respect to Restricted Units under lease and/or contract (as applicable), closed sales (as applicable), and such other information as the City may reasonably request. 15-5006.001 / 135291 Item 12. - 135 1 [B -720- i During the Covenant Period, as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters and until the close of escrow for the conveyance of the Restricted Unit to Qualified Purchasers, Developer shall use reasonable efforts to provide adequate information to assist Qualified Renters and Qualified Purchasers in locating and obtaining available forms of subsidized or assisted financing to enable Qualified Renters and Qualified Purchasers to qualify for and minimize the cost of renting or purchasing any Restricted Unit, as applicable. g. During the Covenant Period, as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters and for each proposed sale of a Restricted Unit by Developer to a Qualified Purchaser, Developer shall require the prospective renter or purchaser, as applicable, to complete and execute an application form verifying the identity of each individual person who intends to occupy the Restricted Unit and the income of the household. The application form shall be subject to the prior approval of the City Manager, which approval shall not be unreasonably withheld, conditioned, or delayed. Without limiting the foregoing, the City Manager may require that Developer's verification process require the prospective renter or purchaser to submit, without limitation, income tax returns and/or paycheck stubs to verify income. h. Over -Income Tenants. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer shall comply with the following rule: any tenant in the Restricted Unit who initially qualified as a Low Income Household, and who no longer qualifies as a Low Income Household, shall pay as rent an amount equal to 30 percent of the household income, and shall be given one (1) year to relocate from the Restricted Unit for which such tenant initially qualified. i. Upon the close of each escrow for Developer's transfer of a Restricted Unit to a Qualified Purchaser, City shall cooperate with Developer in executing and causing to be recorded an instrument terminating this Agreement such that, after the closing, Developer's obligations with respect to that Restricted Unit shall terminate and, thereafter, the rights and obligations of the City and the Qualified Purchaser (and its successors and transferees) shall be as set forth in the Agreement and Covenants Concerning Use and Resale of Residential Unit (Exhibit "B" hereto) and the Right of First Refusal (Exhibit "C" hereto) recorded at the closing. 4. Maintenance of the Property. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer, its successors and assigns, shall maintain the Property in the same aesthetic and sound condition (or better) as the condition of the Property at the time City issues a Release of Construction Covenants, reasonable wear and tear excepted. This standard for the quality of maintenance of the Property shall be met whether or not a specific item of maintenance is listed below. However, representative items of maintenance shall include frequent and regular inspection for graffiti or damage or deterioration or failure, and immediate repainting or repair or replacement of all surfaces, fencing, walls, equipment, etc., as necessary; emptying of trash receptacles and removal of litter; sweeping of public sidewalks adjacent to the Property, on -site walks and paved areas and washing -down as necessary to maintain clean surfaces; maintenance of all landscaping in a healthy and attractive condition, including trimming, fertilizing and replacing vegetation as 4 15-5006.001 / 135291 fJB -721- Item 12. - 136 necessary; cleaning windows on a regular basis; painting the buildings on a regular program and prior to the deterioration of the painted surfaces; conducting a roof inspection on a regular basis and maintaining the roof in a leak -free and weather -tight condition; maintaining security devices in good working order. In the event Developer, its successors or assigns fails to maintain the Improvements in accordance with the standard for the quality of maintenance, City or its, designee shall have the right but not the obligation to enter the Property upon reasonable notice to Developer, correct any violation, and hold Developer, or such successors or assigns responsible for the cost thereof, and such cost, until paid, shall constitute a lien on the Property. 5. Obligation to Refrain from Discrimination. Developer covenants and agrees for itself, its successors and its assigns in interest to the Property or any part thereof, that there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land. The covenants in this Section 5 shall remain in effect in perpetuity. 6. Form of Nondiscrimination and Nonsegregation Clauses. Developer shall refrain from restricting the rental, sale or lease of the Property on the basis of sex, sexual orientation, marital status, race, color, creed, religion, ancestry or national origin of any person. All deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: a. In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926, 1, subdivision (m ) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." b. In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the 15-5006.001 / 135291 Item 12. - 137 1-1E3 -722- Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision ( m ) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." C. In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment . of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land." The covenants in this Section 6 shall remain in effect in perpetuity. 7. Covenants Running with the Land. All conditions, covenants and restrictions contained in this Agreement shall be covenants running with the land, and shall, in any event, and without regard to technical classification or designation, legal or otherwise, be, to the fullest extent permitted bylaw and equity, binding for the benefit and in favor of, and enforceable by City, its successors and assigns, against Developer, its successors and assigns, to or of the Property or any portion thereof or any interest therein, and any party in possession or occupancy of said Property or portion thereof. City and the City shall be deemed the beneficiaries of the covenants, conditions and restrictions of this Agreement both for and in their own rights and for the purposes of protecting the interests of the community. The covenants, conditions, and restrictions shall run in favor of the City without regard to whether the City has an interest therein in the Property. 8. Permitted Mortgages. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Agreement shall defeat or render invalid or in any way impair the lien or charge of any mortgage permitted by the DA. 9. Payment of Real Estate Taxes. Developer shall pay when due all real estate taxes levied on the Property or any improvements thereon or any interest therein and refrain from appealing, challenging or contesting in any manner the validity or amount of any tax assessment, encumbrance or lien on the Property ("Imposition"); provided, however, that such prohibition shall not apply to an appeal, challenge or contesting of the erroneous initial assessment of the Project in the fiscal year of Completion. 10. Notice and Opportunity to Cure. Prior to exercising any remedies hereunder, City shall give Developer notice of such default. If the default is reasonably capable of being cured within thirty (30) days, Developer shall have such period to effect a cure prior to exercise of 15-5006.001 / 135291 Hs -723- Item 12. - 138 remedies by City. If the default is such that it is not reasonably capable of being cured within thirty (30) days, and Developer (a) initiates corrective action within said period, and (b) diligently, continually, and in good faith works to effect a cure as soon as possible, then Developer shall have such additional time as is reasonably necessary to cure the default prior to exercise of any remedies by City, but in any event no more than one hundred and twenty days (120) days of receipt of such notice of default from the City. 11. Enforcement. If a violation of any of the covenants or provisions of this Agreement remains uncured after the respective time period set forth in Paragraph 9 above, City and its successors and assigns, without regard to whether City or its successors and assigns is an owner of any land or interest therein to which these covenants relate, may institute and prosecute any proceedings at law or in equity to abate, prevent or enjoin any such violation or attempted violation or to compel specific performance by Developer of its obligations hereunder. No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right of any party entitled to enforce the provisions hereof or to obtain relief against or recover for the continuation or repetition of such breach or violations or any similar breach or violation hereof at any later time. 12. Partial Release of Agreement. If this Agreement is initially recorded against a lot or lots comprising more than the Restricted Unit and a final tract map or condominium map or maps is (are) recorded at a later date creating the Restricted Unit as a separate legal lot, City shall cooperate with Developer, at no expense to City, in causing a partial release of this Agreement to be executed, acknowledged, and recorded against all of the lots excepting only the lot comprising the Restricted Unit. The form of said partial release shall be reasonably satisfactory to the City Attorney of City. 13. Counterparts. This Agreement may be executed in counterparts, each of which shall be an original and all of which shall constitute one and the same instrument. The signature pages of one or more counterpart copies may be removed from such counterpart copies and all attached to the same copy of this Agreement, which, with all attached signature pages, shall be deemed to be an original Agreement. REST OF PAGE NOT USED 15-5006.001 / 135291 Item 12. - 139 ► il3 - 7 2-4- 14. Estoppel Certificates. City shall provide estoppel certificates from time to time, upon the request of Developer or the holder of a security interest in the Property (subject to any restrictions on Transfer in the DA). The estoppel certificates shall address any inquiries regarding the status of any provisions in this -Agreement or the DA that may have expired or terminated. IN WITNESS WHEREOF, the City and Developer have executed this Agreement as of the date first set forth hereinabove. DEVELOPER: CITY: BONANNI DEVELOPMENT/JB CITY OF HUNTINGTON BEACH CORPORATION, a California A California municipal corporation General Partnership By: Its: Mayor By: Its: City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager 8 15-5006.001 / 135291 HB -725- Item 12. - 140 EXHIBIT "A" LEGAL DESCRIPTION (to be inserted) 15-5006.001 / 135291 Item 12. - 141 HB -726- OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Space above this line for Recorder's use only AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS [LOW INCOME HOUSEHOLD] This AGREEMENT AND COVENANT CONCERNING USE AND RESALE OF RESIDENTIAL UNITS (this "Agreement") is dated for identification purposes as of , 2016 and is entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation (the "City") and (list all owners) (the "Owner") upon the terms and subject to the conditions set forth herein. As used herein, the term the "Owner" shall be deemed to include: (i) the foregoing listed individual or individuals and (ii) the successors and assigns of such individual or individuals during the time the successors and/or assigns own or hold an interest in the Unit. The City and the Owner are sometimes hereinafter referred to individually as a "Party" and collectively as the "Parties." This Agreement is made with reference to the following facts: RECITALS A. WHEREAS, prior to or concurrently with the execution of this Agreement, the Owner has executed and entered into an agreement which entitles the Owner, subject to the terms and conditions thereof, to acquire a residential unit (the "Unit") in the project in the City of Huntington Beach, which unit is legally described in Exhibit "A" attached hereto and incorporated herein by this reference, at an "Affordable Housing Cost" with respect to a Low Income household whose annual household income exceeds fifty percent (50%), but does not exceed eighty percent (80%) of area median income for Orange County, adjusted for applicable household size, established and amended from time to time pursuant to Section 8 of the United States Housing Act of 1937") (the "Income Restriction Level"). "Affordable Housing Cost" shall have the meaning provided by California Health and Safety Code Section 50052.5(b) for Low Income units and shall be computed in accordance with the Community Redevelopment Law of the State of California (California Health & Safety Code Section 33000 et seq.) and the regulations promulgated pursuant thereto or incorporated therein, including, without limitation, 15-5006.001 / 135290 HB _727/_ Item 12. - 142 all regulations promulgated pursuant to California Health and Safety Code Section 50093, or any successor statute; and B. WHEREAS, the City desires to ensure, for the benefit of all future residents of the Unit, and the community at large, that the Unit remains available at an Affordable Housing Cost to a household whose income does not exceed the Income Restriction Level from the date the Owner first acquires title to the Unit until , 20_ (the fifty-fifth (55th) anniversary of the date the City issued a certificate of occupancy for the Unit (such period being referred to herein as the "Term"), in accordance with the terms and conditions of this Agreement. DECLARATION AND AGREEMENT NOW, THEREFORE, BASED UPON THE FOREGOING RECITALS, WHICH ARE INCORPORATED HEREIN BY THIS REFERENCE AND FOR GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS HEREBY ACKNOWLEDGED, THE PARTIES HEREBY DECLARE AND AGREE TO THE FOLLOWING: 1. Warranty of Qualifications. The Owner covenants, represents and warrants that the applications and information previously submitted to the seller of the Unit by the Owner are true, complete, and not misleading, and that the Owner meets all of the following criteria: (i) During the Tern, the Owner (and, if there is more than one (1) individual owner, then each such person individually) shall occupy the Unit as his or her primary residence for so long as he or she shall have an ownership interest in the Unit; (ii) The Owner does not own any other residential real property other than an existing residence being sold concurrently with the Owner's purchase of the Unit; and (iii) The household which will occupy the Unit did not during the preceding calendar year and will not during the current calendar year have a combined "gross income" (as defined in Section 6914 of Title 25 of the California Code of Regulations) in excess of the Income Restriction Level set forth above. The City agrees that future changes in income after the current calendar year shall not affect the income qualification of the Owner and that such future changes in income are not within the scope of the representation and warranty set forth above. 2. Continuing Affordability. The Owner agrees and covenants on behalf of itself and its heirs, successors and assigns, that during the Term of this Agreement, and except as expressly provided in Section 3(b): (a) neither the Unit nor any interest therein (including, without limitation, any right to use or occupy the Unit) shall be sold, granted, leased, pledged, encumbered, mortgaged, assigned or otherwise conveyed or transferred, whether voluntarily or involuntarily (any such transfer being referred to below as a "Transfer"), except at an Affordable Housing Cost (as defined by California Health and Safety Code Section 50052.5(b)(4) and determined by the City, in its good -faith discretion, based upon a reasonable down payment, but not, in any event, in 15-5006.001 / 135290 Item 12. - 143 1113 -12S- excess of twenty percent (20%) of the proposed purchase price for the Unit) to a household of the Income Restriction Level and meeting the other qualifications set forth in Section 1; and (b) the Unit shall at all times remain Owner -Occupied. For purposes of this Section 2(b), the term "Owner -Occupied" means the Unit is regularly and continuously occupied as a primary residence by the Owner and the members of the. Owner's household. The Owner specifically acknowledges, covenants and agrees that any Transfer or use of the Unit in violation of Section 2(a) or 2(b), respectively, may be enjoined by the City and the City shall have the right to void any Transfer, attempted Transfer or use in violation.thereof. The City acknowledges that the down payment limitation set forth in Section 2(a) is only for purposes of determining compliance with the Affordable Housing Cost requirements, and shall not be construed or understood to limit or restrict an otherwise qualifying owner from paying a permitted purchase price in cash or with a down payment in excess of twenty percent (20%). (c) Owner shall submit an annual report to the City that includes whether there was a change in ownership of the Unit from the prior year and, if so, the income and family size of the new owners. The income information required by this subsection (c) shall be supplied by Owner in a certified statement on a form provided by the City. 3. Subordination; Exempt Transfer. (a) Subordination. Notwithstanding any other provisions hereof, the provisions of this Agreement shall be subordinate to the lien of that certain first deed of trust (the "First Deed of Trust") on the Unit, executed by the Owner, as trustor, in favor of as trustee, for the benefit of , as beneficiary, and its assignees or successors in interest (the "First Lienholder") and recorded concurrently with this Agreement, and to any refinancing of that loan (the "Acquisition Loan") constituting an Exempt Transfer (as defined below), provided that the First Lienholder (and any successor lender refinancing the Acquisition Loan) shall agree to provide the City with written notice of any default under the First Deed of Trust (or any such successor loan) and provide the City with not less than ninety (90) days thereafter in which to cure such default before proceeding with any foreclosure or deed in lieu of foreclosure with respect to the Unit. Any notice delivered to the City under this paragraph shall be delivered in the manner specified in Section 15 for delivery of notices to the City. Upon timely cure of the default under the First Deed of Trust and the City's acquisition, at its election, of the Owner's interest in the Unit, the City shall have the right to assume the loan secured by the First Deed of Trust so long as the City maintains ownership of the Unit, and, so long as the City continues as the Owner, the First Lienholder shall not exercise any due on sale clause contained in the First Deed of Trust. (b) Exempt Transfer. Notwithstanding any other provision of this Agreement, the following Transfers of an interest in the Unit (an "Exempt Transfer") shall be exempt from the requirements of Section 2(a), provided, however, that Section 2(a) shall apply to any and all Transfers subsequent to an Exempt Transfer (other than another Exempt Transfer): 15-5006.001 / 135290 Hg -729- Item 12. - 144 (i) execution of a deed of trust in favor of an institutional lender to secure repayment of a loan, the proceeds of which are used solely to repay the Acquisition Loan, or any successor loan executed in connection with refinancing of the Acquisition Loan and whose proceeds are similarly limited to the amount of the loan refinanced, provided that the lien is being created in good faith and not for the purpose in whole or in part of circumventing the Transfer restrictions contained in this Agreement; (ii) a transfer of title by an Owner, meeting all of the requirements of and otherwise in compliance with this Agreement, to a revocable living trust established by such Owner for estate planning purposes, provided that such Owner shall continue occupancy of the Unit notwithstanding such Transfer, that advance written notice of such Transfer shall be given to the City, and that any further Transfer of the Unit by the trust shall be subject to and in accordance with the requirements of this Agreement; and (iii) a transfer of title or an interest therein occurring by will, bequest, or inheritance upon the death of an Owner or a transfer of title or an interest therein as a result of a conservatorship or similar event based upon the mental or physical incapacity of an Owner. 4. Transfer Review. During the Term of this Agreement, no Owner shall cause or permit a Transfer of the Unit or of an interest therein to occur without prior written confirmation from the City that the City has determined that the proposed Transfer will meet the criteria specified in Section 2 or constitutes an Exempt Transfer under Section 3(b). The City shall not be obligated to approve a Transfer until and unless the propose transferee has submitted to the City such information and completed such forms and certifications as the City shall request in connection with insuring compliance with this Agreement, which may include, but shall not be limited to, certifications as to the proposed transferee's intent with respect to its residency of the Unit, its gross income, the proposed purchase price, the proposed transferee's agreement to abide by the terms and conditions of this Agreement, disclosure of the proposed transferee's interest, if any, in other residential property, the composition of the members of the proposed transferee's household, and a "Purchaser Disclosure and Acknowledgment" form in the same form as executed by the proposed transferee's predecessor in interest. In addition, prior to conveyance of the Unit at any time during the Term and as a condition to the effectiveness thereof, each proposed purchaser shall, if requested by the City, submit to the City an executed disclosure statement which certifies that the purchaser is aware that the purchaser may only sell the Unit at an Affordable Housing Cost to a household of the Income Restriction Level, that the maximum permitted sales price may be less than the fair market value, and that at all times during the Term the Unit must remain Owner -Occupied and cannot be rented or leased. Each Owner shall cooperate with the City in providing such forms to proposed purchasers, and acknowledges and agrees that its right to Transfer the Unit during the Term is subject to and conditioned upon its compliance with the requirements of the City applicable to implementation of the foregoing provisions. THE OWNER AND EACH SUCCESSOR, HEIR OR ASSIGN OF THE OWNER UNDERSTANDS THAT THE DETERMINATION OF AFFORDABLE HOUSING COST CAN BE MADE ONLY AT THE TIME OF THE PROPOSED TRANSFER, TAKING INTO CONSIDERATION INTEREST RATES, CHANGES IN COUNTYWIDE MEDIAN INCOME, 15-5006.001 / 135290 Item 12. - 145 HB -730- THE TERMS OFFERED TO AND THE ECONOMIC CIRCUMSTANCES OF THE PROPOSED PURCHASER AND OTHER FACTORS THAT CANNOT BE. ACCURATELY PREDICTED, AND THAT THE TRANSFER PRICE PERMITTED HEREUNDER MAY BE LESS THAN THE FAIR MARKET VALUE OF THE UNIT AND MAY NOT INCREASE OR DECREASE IN THE SAME MANNER AS OTHER SIMILAR REAL PROPERTY WHICH IS NOT ENCUMBERED BY TRANSFER RESTRICTIONS. THE OWNER AND EACH SUCCESSOR, HEIR OR ASSIGN OF THE OWNER FURTHER ACKNOWLEDGES THAT AT ALL TIMES. IN SETTING THE TRANSFER PRICE THE PRIMARY OBJECTIVE OF THE CITY AND THIS AGREEMENT IS TO PROVIDE HOUSING TO LOW-INCOME HOUSEHOLDS AT AN AFFORDABLE HOUSING COST. 5. Nondiscrimination. The Owner covenants by and for itself, its successors and assigns and all persons claiming under or through them that there shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Unit, nor shall the Owner itself or any person claiming under or through the Owner establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Unit or any portion thereof. The Owner, its successors and assigns, shall refrain from restricting the sale of the Unit on the basis of the race, color, creed, religion, sex, marital status, national origin or ancestry of any person. All deeds, leases or contracts with respect to the Unit shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (i) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination 'or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." (ii) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him 15-5006.001 / 135290 1-1 B _7')1 _ Item 12. - 146 or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." (iii) In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, .or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of the land." Nothing in this Section 5 shall be construed to authorize a Transfer of the Unit if such sale, rental, lease, assignment, encumbrance or other Transfer is not otherwise permitted by this Agreement. The covenants in this Section 5 shall remain in effect in perpetuity. 6. Remedies, Attorneys' Fees and Costs. Breach of the covenants contained in this Agreement may be enjoined, abated or remedied by appropriate legal proceeding. If the City incurs any attorneys' fees, court costs or any other costs or expenses in investigating compliance with or enforcing this Agreement or investigating or defending claims brought by the Owner under this Agreement, then the City shall be entitled to recover any such fees, costs and expenses from the Owner. 7. Rights of the City. The City has the right, but not the obligation, to enforce all of the provisions of this Agreement. Any amendment to this Agreement shall require the written consent of the City. 8. Notice of Inspection. The Owner agrees and acknowledges that the City and its employees and agents shall have the right to enter upon the Unit during normal business hours (Monday through Friday, between 9:00 a.m. and 5:00 p.m.) to ensure compliance with this Agreement and other applicable federal, state and local laws and regulations. The City agrees to notify the Owner not less than twenty-four (24) hours prior to the City's proposed time of inspection of the Unit, and agrees to attempt to obtain the Owner's consent to the timing of such inspection. Upon receipt of such notice, the Owner agrees to cooperate with the City in making the Unit available for inspection by the City. The Owner agrees to cooperate with the City and provide the City with such information regarding occupancy of the Unit as the City may request in writing from time to time, in order to enable the City to monitor the Owner's compliance with the occupancy restrictions set forth in Section 2(a) and (b) of this Agreement. 9. Construction. The provisions of this Agreement shall be liberally construed for the purpose of maintaining the availability and affordability of the Unit to persons meeting the criteria set forth in Sections 1 and 2. 6 15-5006.0011135290 Item 12. - 147 [113-7)2- 10. Cure Rights, The Owner shall notify the City in writing within three (3) days after receiving any notice of default, delinquency or foreclosure with respect to any lien or agreement (including, without limitation, any defaults under the covenants, conditions and restrictions applicable to the condominium development of which the Unit is a part or any default under the Acquisition Loan) which could potentially affect the Owner's right, title and interest in the Unit. The City shall have the option, but not the obligation, to advance any sums due or take any other actions necessary to stay or cure the default, delinquency or foreclosure, and the City shall thereafter be entitled to recover immediately from the Owner and the Owner shall immediately pay to the City any payments, costs and expenses incurred in connection with the stay and/or cure, including, without limitation, attorneys' fees and court costs, together with interest thereon at the rate of ten percent (10%) per annum from the date advanced or incurred until the date repaid. 11. Transfer Voidable If Procedure Not Followed. Any Transfer of the Unit by the Owner without full compliance with the terms and procedures set forth above and in the Right of First Refusal executed in connection herewith shall be voidable by the City at the City's election in its sole, absolute and unfettered discretion. 12. Recordation. The Parties shall cause this Agreement to be recorded in the official records of Orange County, California. 13. Covenants For Benefit of the City. All covenants without regard to technical classification or designation shall be binding for the benefit of the City and such covenants shall run in favor of the City without regard to whether the City is or remains an owner of any land or interest therein to which such covenants relate. The City, in the event of any breach of any such covenants, shall have the right to exercise all the rights and remedies and to maintain any actions at law or suits in equity or other proper legal proceedings to enforce and to cure such breach to which it or any other beneficiaries of these covenants may be entitled during the term specified for such covenants. 14. Remedies Cumulative. The remedies herein provided for breach of the covenants contained in this Agreement shall be deemed cumulative, and none of such remedies shall be deemed exclusive. The Parties acknowledge that the City's rights under this Agreement are in addition to, rather than in lieu of, other rights and remedies of the City provided in the Right of First Refusal executed in connection herewith and other project documents. 15. Obligations Secured by Lien. (a) Creation and Release of Lien. All sums due from the Owner under the provisions of this Agreement shall constitute a lien on the Unit. The lien shall become effective upon recordation by the City or the City's authorized agent of a notice of lien ("Notice of Lien") concerning nonpayment of any sum due hereunder. The Notice of Lien shall state (i) the amount due, which amount shall include interest at the rate of ten percent (10%) from the date due to the date paid, and shall also include the cost of preparing and recording the Notice of Lien, (h) the expenses of collection in connection with any nonpayment, including, without limitation, reasonable attorneys' fees, (iii) a description of the Unit, (iv) the name and address of the City, 15-5006.001 / 135290 HB _73J_ Item 12. - 148 (v) the name of the Owner and (vi) in order for the lien to be enforced by nonjudicial foreclosure, the name and address of the trustee authorized by the City to enforce the lien by sale. The lien shall relate only to the individual Unit and not to the condominium project as a whole. Upon payment to the City of the full amount claimed in the Notice of Lien, or other satisfaction thereof, the City shall cause to be recorded a notice of Satisfaction and Release of Lien ("Notice of Release") stating the satisfaction and release of the amount claimed. The City may demand and receive from the Owner a reasonable charge for the preparation and recordation of the Notice of Release before recording it. Any purchaser or encumbrancer who has acted in good faith and extended value may rely upon the Notice of Release as conclusive evidence of the full satisfaction of the sums stated in the Notice of Lien. (b) Enforcement of Liens. The lien established pursuant to this Section 15 may be enforced by sale of the Unit by the City, the City's attorneys, any title insurance company authorized to do business in California, or other persons authorized to conduct the sale as a trustee, after failure of the Owner to pay any sum due in accordance with this Agreement within thirty (30) days after recordation of the Notice of Lien. The sale shall be conducted in accordance with the provisions of the California Civil Code applicable to the exercise of powers of sale in mortgages and deeds of trust, or in any other manner permitted by law. The City, through its agents, shall have the power to bid on the Unit at the foreclosure sale, and to acquire and hold, lease, mortgage and convey the same. Upon completion of the foreclosure sale, an action may be brought by the City or the purchaser at the sale in order to secure occupancy of the Unit, and the Owner shall be required to pay the reasonable rental value for the Unit during any period of continued occupancy by the Owner or any persons claiming under the Owner. Suit to recover a money judgment for any amounts due under this Agreement shall be maintainable without foreclosing or waiving any lien securing the same, but this provision or any institution of suit to recover a money judgment shall not constitute an affirmation of the adequacy of money damages. Any recovery resulting from a suit at law or in equity initiated pursuant to this Section 15 shall include reasonable attorneys' fees as fixed by the court. 16. Notices. All notices required or permitted hereunder shall be delivered in person or by overnight courier, or by registered or certified mail, postage prepaid, return receipt requested to such Party at its address shown below, or to any other place designated in writing by such Party. If to the Owner: , Unit Huntington Beach, California If to the City: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Any such notice shall be deemed received upon delivery, if delivered personally, one (1) business day after delivery to an overnight courier, if delivered by overnight courier, and three 15-5006.001 / 135290 Item 12. - 149 H B - ;- (3) business days after deposit into the United States Mail, if delivered by registered or certified mail. 17. No Waiver. Failure by the City to enforce or delay by the City in enforcing any right or remedy with respect to this Agreement shall not bar or limit any subsequent enforcement of the same or any other right or remedy with respect to the same subject matter or a different subject matter. Rights and remedies of the City under this Agreement may be waived or modified only by a written instrument signed by the City which states an express intention to waive or modify such rights and remedies. 18. Incorporation of Exhibit. Exhibit "A" attached to this Agreement is hereby incorporated into this Agreement by this reference as though fully set forth herein. 19. Further Assurances. The Owner shall from time to time provide the City with such further information and shall execute such further documentation and agreements as may be reasonably necessary or appropriate to carry out the purposes of this Agreement. 20. Joint and Several Obligations. If at any time the Unit is owned by more than one (1) individual, then all of the multiple owners shall be jointly and severally liable for the obligations imposed by this Agreement. REST OF PAGE INTENTIONALLY LEFT BLANK 9 15-5006.001 / 135290 HB -735- Item 12. - 150 21. Severability. If any provision or clause of this Agreement conflicts with applicable law, or is otherwise rendered unenforceable or ineffectual, then the validity of the remaining parts, terms, portions or provisions, or the application thereof to other persons or circumstances, shall be deemed severable and the same shall remain enforceable and valid to the fullest extent permitted by law. IN WITNESS WHEREOF, the City and Owner have executed this Agreement as of the date first set forth hereinabove. OWNER: Name: Name: 10 15-5006.001 / 135290 CITY: CITY OF HUNTINGTON BEACH A California municipal corporation Mayor City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager Item 12. - 151 E-1E3 _;;()_ 15-5006,001 / 135290 'Elkh 4 /I EXHIBIT "A" LEGAL DESCRIPTION (to be inserted) 11 HB _73)7_ Item 12. - 152 A k, � C- OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Space above this line for Recorder's use only RIGHT OF FIRST REFUSAL LOW INCOME HOUSEHOLD This RIGHT OF FIRST REFUSAL ("Right of First Refusal") is dated for identification purposes as of , 20_ and is entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation, (the "City") and (the "Owner") upon the terms and subject to the conditions set forth herein. As used herein, the term the "Owner" shall be deemed to include: (i) the foregoing listed individual or individuals and (ii) the heirs, successors and assigns of such individual or individuals during the time the heirs, successors and/or assigns own or hold an interest in the Unit. The City and the Owner are sometimes hereinafter referred to individually as a "Party" and collectively as the "Parties". This Right of First Refusal is entered into by the Parties with reference to the following facts: RECITALS A. WHEREAS, prior to or concurrently with the execution of this Right of First Refusal, the Owner has executed and entered into an agreement which entitles the Owner, subject to the terms and conditions thereof, to acquire a residential unit (the "Unit") in the project in the City of Huntington Beach, which unit is legally described in Exhibit "A" attached hereto and incorporated herein by this reference, at an "Affordable Housing Cost" with respect to a household whose annual household income exceeds fifty percent (50%) but does not exceed eighty percent (80%), of area median income for Orange County, adjusted for applicable household size as established and amended from time to time pursuant to Section 8 of the United States Housing Act of 1937 (the "Income Restriction Level"). "Affordable Housing Cost" shall have the meaning provided by California Health and Safety Code Section 50052.5(b) for Low Income units and shall be computed in accordance with the Community Redevelopment Law of the State of California (California Health & Safety Code Section 33000 et seq.) and the regulations promulgated pursuant thereto or incorporated therein, including, without limitation, all regulations promulgated pursuant to California Health and Safety Code Section 50093, or any successor statute; 15-5006.001 / 135298 Item 12. - 153 HB -738- B. WHEREAS, the Unit is being transferred to the Owner subject to that certain Agreement and Covenant Concerning Use and Resale of Residential Units (the "Use and Resale Agreement") which contains, among other things, covenants restricting the use and resale of the Unit or of an interest therein; and C. WHEREAS, in consideration for, among other things, the provision for the Owner to purchase the Unit at an Affordable Housing Cost, the Parties desire to give the City a right of first refusal on the terms and conditions provided below. AGREEMENT NOW, THEREFORE, FOR GOOD AND VALUABLE CONSIDERATION, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: 1. Events Triggering the Right of First Refusal. At any time between the date Owner acquires title to the Unit and , 20_ (the fifty-fifth (55th) anniversary of the date the City of Huntington Beach ("City") issued a certificate of occupancy for the Unit, with such period being referred to herein as the "Term"), the City shall have a right of first refusal to purchase the Unit upon the occurrence of any of the following events (the "Trigger Events"): willing to accept; (i) The Owner receives an offer to purchase the Unit which the Owner is (ii) The Owner ceases to occupy the Unit as his or her primary residence; (iii) The Owner breaches any of its obligations set forth in the Use and Resale Covenants and fails to cure such breach within the applicable time set forth therein; or (iv) The Owner defaults in the payment of any loan, tax,assessment or fee or in the performance of any other obligation secured by a lien on the Unit, and such default continues uncured for a period of thirty (30) days or more after Owner's receipt of written notice from the City demanding such payment be made (provided that Owner shall not be deemed in default if it pays under protest or takes such other action as may be required to prevent such failure to pay from subjecting the Unit to judicial or non judicial foreclosure). Where the Owner consists of more than one (1) individual, then the term the "Owner" as used in this Section 1 shall be deemed to mean "any one (1) or more of the individuals comprising the Owner." Notwithstanding anything in this Right of First Refusal to the contrary, a transfer of title by an Owner that constitutes an "Exempt Transfer" under Section 3(b) of the Use and Resale Covenants shall not constitute a Trigger Event, provided that Owner shall be obligated to provide advance written notice of such transfer to the City, and any further transfer of the Unit by the trust remains subject to this Right of First Refusal. 2. Offer Notice. Immediately upon the occurrence of a Trigger Event at any time during the Term, and in all events prior to accepting any offer to purchase the Unit, the Owner 15-5006.001 / 135298 HB -739- Item 12. - 154 shall deliver to the City a written notice (the "Offer Notice") describing the Trigger Event in all material respects, and, if an offer to purchase is involved, stating all material terms and conditions applicable to the offer and the proposed purchaser, including, without limitation, a certification by the proposed purchaser, under penalty of perjury, of the gross income of the household of the proposed purchaser, the proposed purchaser's intent with respect to its residency of the Unit, the proposed purchaser's interest, if any, in any other residential property and such other information and certifications as the City may require. In addition, if requested by the City, the proposed purchaser shall submit to the City an executed disclosure statement which certifies that the purchaser is aware that during the Term the purchaser may only sell the Unit at an Affordable Housing Cost to a household of the Income Restriction Level, that the maximum permitted sales price may be less than fair market value and that the Unit must remain Owner - Occupied at all times and cannot be rented or leased. 3. Acceptance Notice. The City shall have twenty (20) days from the delivery of the Offer Notice and all additional information and materials that the City may require pursuant to Section 2 to act thereon (during which time the Owner shall not make or accept any offer to sell or purchase the Unit) within which to notify the Owner of its election to purchase the Unit pursuant to the terms and conditions specified in Section 4, by delivering written notice to the Owner (the "Acceptance Notice") of such election. During this period, the Owner shall, upon twenty-four (24) -hours advance telephonic or written notice, make the interior of the Unit fully available for inspection and documentation of its condition by the City and its representatives. 4. Terms of Purchase by the City. Upon delivery of the Acceptance Notice, the Owner and the City shall forthwith proceed to consummate the sale and purchase of the Unit through an escrow by means of a grant deed containing the covenants, conditions and restrictions Specified in the Use and Resale Covenants in accordance with the following terms and conditions: (a) The purchase price shall be the least of the following three (3) values: (i) the fair market value of the Unit (calculated as if free of all resale restrictions in this Right of First Refusal and in the Use and Resale Covenants); (ii) the maximum purchase price which is consistent with the sale of the Unit at an Affordable Housing Cost to a purchaser of the Income Restriction Level (as such amount is calculated and determined by the City in its good -faith discretion); or (iii) if the Trigger Event was an offer to purchase the property, then the purchase price specified in the offer to purchase; or (iv) the purchase price originally paid by the current Owner of the Unit as of the date of the Trigger Event, increased by the percentage increase in the Consumer Price Index (All Urban Consumers) for the Los Angeles -Riverside -Orange County published by the United States Department of Labor, Bureau of Labor Statistics, or its successor or replacement index, if applicable. 15-5006.001 / 135298 Item 12. - 155 1113 -740- As a matter of information, the City shall, as often as the City determines in its reasonable discretion to be appropriate, but, in any event, at least annually, make available to the Owners a schedule of the projected purchase prices (based upon assumed interest rates, level of area median income, down payment amounts and other relevant factors) which would constitute an Affordable Housing Cost with respect to the identified Applicable Income Restriction Level for the unit type indicated, provided that (i) such schedule of amounts shall be only for informational purposes and by way of example and shall not estop the City from requiring the actual sale of a Unit at a lower amount if necessary to cause that sale to constitute in fact a sale at an Affordable Housing Cost to a purchaser of the Income Restriction Level and (ii) the City shall, in no event, have any liability for the content of such schedule or any delay in its distribution, nor shall such schedule be used in any way to restrict, waive or otherwise limit any rights and remedies of the City hereunder. In any event, the purchase price paid by the City hereunder shall be offset and reduced by; (i) the cost to repair or replace any part of the Unit and bring the Unit and the fixtures therein up to good and habitable condition, ordinary wear and tear excepted, (ii) any other payments, costs, fees, damages and expenses payable to the City by the Owner under the Use and Resale Covenants or any other agreement between the Owner and the City, (iii) sums required to pay off and obtain reconveyance of all outstanding liens and encumbrances on the Unit not paid by the Owner from the Owner's funds at or before the close of escrow and (iv) the Owner's share (specified below) of closing costs, taxes, fees, premiums, prorations and charges associated with exercise of this Right of First Refusal. (b) If the Owner does not receive the Acceptance Notice within the twenty (20) day period described in Section 3, then the Owner may thereafter proceed to sell the Unit at any time within six (6) months after the expiration of said twenty (20) day period, on the terms and conditions set forth in the Offer Notice, free and clear of any rights of the City under this Right of First Refusal with respect to that sale, provided that any such sale shall be subject to the Use and Resale Covenants and any other applicable agreements, covenants and restrictions, and shall comply with all restrictions and requirements thereof. Any sale or proposed sale during the Term on any other terms or after expiration of said six (6) month period shall be a new sale subject to all of the terms of this Right of First Refusal. Notwithstanding any sale in accordance with this Section 4(b), this Right of First Refusal shall remain in effect and shall apply to and shall be binding upon the successor Owner and any succeeding sale that thereafter occurs or is proposed at any time during the Term. Notwithstanding anything in this Right of First Refusal which is or appears to be to the contrary, this Right of First Refusal shall not prevent any Owner from accepting an offer to purchase the Unit which is expressly subject to this Right of First Refusal and the rights of the City hereunder, provided that, in that event, the offer shall expressly recite that it is subject to the Right of First Refusal and the proposed buyer shall have no further right to purchase or any other interest in the Unit should the City elect to exercise its rights under this Right of First Refusal. (c) Unless the Offer Notice and Acceptance Notice have both specified otherwise, (i) the sale of the Unit to the City shall be through an escrow selected by the City and shall be completed within forty-five (45) days after the Owner's receipt of the Acceptance Notice, (ii) closing costs, taxes, fees, premiums, charges and prorations shall be allocated and paid in accordance with the customary practice for real estate transactions in Orange County and (iii) at the closing, and as a condition thereto, the City shall receive an ALTA owner's residential title 15-5006.001 / 135298 1113-741- Item 12. - 156 insurance policy, subject only to its standard exclusions, an exception for current taxes and assessments not yet due, the Declaration of Covenants, Conditions, and Restrictions ("CC&Rs") for the project, easements of record, and any other exceptions approved by the City in writing at or following delivery of the Acceptance Notice. The City shall have the right to assign this Right of First Refusal and/or any rights of the City in or under any escrow for acquisition of the Unit to any person or entity it deems appropriate; provided, however, that in such event the City shall remain obligated under this Right of First Refusal through the closing. The City and Owner shall provide such further assurances and shall execute such further documentation consistent with this Right of First Refusal as shall be required to effect such sale and purchase. (d) If the Parties are unable to reach agreement on the fair market value of the Unit to be used in calculating the purchase price payable by the City hereunder, then the value shall be determined by a private MAI real estate appraiser selected by the City. The appraiser may have other past or current contractual relationships with the City, provided, however, that the appraiser shall be instructed to make an unbiased and fair evaluation. Fees of the appraiser shall be split and paid equally by the Owner and the City. 5. Sale Voidable If Procedure Not Followed. During the Term, any sale of the Unit by the Owner without full compliance with the terms and procedures set forth above shall be voidable by the City at the City's election in its sole, absolute and unfettered discretion. 6. Release of Right of First Refusal. At the expiration of the Term, the City shall deliver to the Owner, in recordable form, an acknowledgment of termination of this Right of First Refusal, which the Owner may record at the Owner's expense. 7. Recordation. The Parties shall cause this Right of First Refusal to be recorded in the official records of Orange County, California. 8. Remedies Cumulative. The Parties acknowledge that the City's rights under this Right of First Refusal are in addition to, rather than in lieu of, other rights and remedies of the City provided in the Use and Resale Covenants and related documents, and that all rights and remedies of the City hereunder are cumulative with all other rights and remedies of the City under any other document. 9. Subordination. Notwithstanding any other provisions hereof, the provisions of this Right of First Refusal shall be subordinate to the lien of that certain first deed of trust (the "First Deed of Trust") on the Unit, executed by the Owner, as trustor, in favor of , as trustee, for the benefit of , as beneficiary, and its assignees or successors in interest (the "First Lienholder") and recorded concurrently with this Right of First Refusal, and to any refinancing of that loan (the "Acquisition Loan") constituting an exempt transfer under the Use and Resale Covenants, provided that the First Lienholder (and any successor lender refinancing the Acquisition Loan) shall agree to provide the City with written notice of any default under the First Deed of Trust (or any such successor loan) and provide the City with not less than ninety (90) days thereafter in which to cure such default before proceeding with any foreclosure or deed in lieu of foreclosure with respect to the Unit. Any notice delivered to the 15-5006.001 / 135298 Item 12. - 157 HB -742- City under this paragraph shall be delivered in the manner specified in Section 10 for delivery of notices to the City. Upon timely cure of the default under the First Deed of Trust and the City's acquisition, at its election, of the Owner's interest in the Unit, the City shall have the right to assume the loan secured by the First Deed of Trust so long as the City maintains ownership of the Unit, and, so long as the City continues as the Owner, the First Lienholder shall not exercise any due on sale clause contained in the First Deed of Trust. 10. Notices. All notices required or permitted hereunder shall be delivered in person or by overnight courier, or by registered or certified mail, postage prepaid, return receipt requested to such Party at its address shown below, or to any other place designated in writing by such Party. If to the Owner: Huntington Beach, CA Unit If to the City: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attn: City Manager Any such notice shall be deemed received upon delivery, if delivered personally, one (1) business day after delivery to an overnight courier, if delivered by overnight courier, and three (3) business days after deposit into the United States Mail, if delivered by registered or certified mail. 11. No Waiver. Failure by the City to enforce or delay by the City in enforcing any provision of this Right of First Refusal shall not waive or limit any such provision or any subsequent enforcement of the provision with respect to the same subject matter or a different subject matter. Rights and remedies of the City under this Right of First Refusal may be waived or modified only by a written instrument signed by the City which states an express intention to waive or modify such rights and remedies. 12. Incorporation of Exhibit. Exhibit "A" attached to this Agreement is hereby incorporated into this Agreement by this reference as though fully set forth herein. 13. Further Assurances. Each Party shall from time to time provide the other Party with such further information and shall execute such further documentation and agreements as may be reasonably necessary or appropriate to carry out the purposes of this Right of First Refusal. 14. Severability. If any provision or clause of this Right of First Refusal conflicts with applicable law, or is otherwise rendered unenforceable or ineffectual, then the validity of the remaining parts, terms, portions or provisions, or the application thereof to other persons or circumstances, shall be deemed severable and the same shall remain enforceable and valid to the fullest extent permitted by law. 15-5006.001 / 135298 HB _743_ Item 12. - 158 15. Remedies; Attorneys' Fees and Costs. Breach of the covenants contained in this Right of First Refusal may be enjoined, abated or remedied by appropriate legal proceeding, including, without limitation, by an action for specific performance, which the Owner hereby acknowledges as an appropriate remedy for enforcement of the rights set forth herein. If the City incurs any attorneys' fees, court costs, or any other costs or expenses in investigating compliance with or enforcing this Right of First Refusal, or investigating or defending claims brought by the Owner under this Right of First Refusal, then the City shall be entitled to recover any such fees, costs and expenses from the Owner, regardless of whether suit is brought for enforcement of this Right of First Refusal, and including, without limitation, any costs incurred by the City upon appeal. IN WITNESS WHEREOF, the City and Owner have executed this Agreement as of the date first set forth hereinabove. OWNER: Name: Name: 7 15-5006.001 / 135298 CITY: CITY OF HUNTINGTON BEACH A California municipal corporation Mayor City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager Item 12. - 159 HB -744- 15-5006.001 / 135298 EXHIBIT "A" LEGAL DESCRIPTION (to be inserted) HB -74- Item 12. - 160 OFFICIAL BUSINESS Document entitled to free recording per Government Code Section 6103 Recording Requested By and When Recorded Mail to: City of Huntington Beach 2000 Main Street Huntington Beach, California 92648 Attention: City Manager Space above this line for Recorder's use only NOTICE OF AFFORDABILITY RESTRICTIONS ON TRANSFER OF PROPERTY NOTICE IS HEREBY GIVEN that Declarant, the City of Huntington Beach, is recording this Notice of Affordability Restrictions on Transfer of Property (hereinafter the "Notice") with regard to the property generally located at , Huntington Beach, California, and more particularly described in Exhibit "A" attached hereto (the "Property"). 1. Definitions. Any capitalized term not otherwise defined herein shall have the same meaning ascribed to such term in the Agreement Containing Covenants Affecting Real Property recorded concurrently herewith as Instrument No. in the Official Records of the Orange County Recorder (the "Agreement Containing Covenants"). 2. Affordability Restrictions. The Property is subject to the following covenants (collectively, the "Affordability Covenants"): a. Subject to subparagraph b below, for a period of no less than fifty-five (55) years, beginning from the date of the City's issuance of a certificate of occupancy for the Project ("Covenant Period"), one (1) of the Dwelling Units constructed on the Property shall be rented exclusively to and occupied by qualifying Low Income Households ("Qualified Renters") at an Affordable Rent in accordance with Health and Safety Code section 50053(b). The aforementioned restricted unit shall be referenced hereinafter as "the Restricted Unit." b. During the Covenant Period, Developer shall not change a Restricted Unit from a rental unit to a for -sale unit without the prior written approval of the City Manager, as provided in Section 3c of the Agreement Containing Covenants. If such a change is approved and a sale occurs, for the remainder of the Covenant Period the Restricted Unit previously restricted to occupancy by a qualifying Low Income Household shall be sold at an Affordable Housing Cost for Low Income Households and thereafter occupied only by a qualifying Low Income Household, as more particularly set forth in the "Agreement and Covenant Concerning Use and Resale of Residential Units" in the form attached as Exhibit "B" to the Agreement Containing Covenants and the Restricted Unit shall be subject to the City's right to purchase in 15-5006.001 / 135288 Item 12. - 161 HB -746- accordance with the "Right of First Refusal" in the form attached as Exhibit "C" to the Agreement Containing Covenants. C. During the Covenant Period, if Developer changes the Restricted Unit from a rental unit to a for -sale unit, Developer shall be required to first offer said Restricted Unit for sale to the Qualified Renter occupying the Restricted Unit before offering said Restricted Unit for sale to other Qualified Purchasers, as provided in Section 3c of the Agreement Containing Covenants. d. During the Covenant Period and as long as the Restricted Unit is required to be rented to and occupied by Qualified Renters, Developer shall comply with the following rule: any tenant who initially qualified as a Low Income Household, and who no longer qualifies as a Low Income Household, shall pay as rent an amount equal to 30 percent of the household income, and shall be given one (1) year to relocate from the Restricted Unit for which such tenant initially qualified. 15-5006.001 / 135288 REST OF PAGE NOT USED 1113 -747- Item 12. - 162 3. Partial Release(s). If after the date this Notice is recorded a final subdivision map is recorded against the Property, City shall cooperate with the Developer by executing in recordable form and recording a partial release terminating this Notice as to all of the separate legal lots within the Property, excepting only those lots as to which the Affordability Covenants apply. IN WITNESS WHEREOF, the City and Developer have executed this Agreement as of the date first set forth hereinabove. DEVELOPER: BONANNI DEVELOPMENT/JB CORPORATION, a California General Partnership By: Its: By: Its: 3 15-5006.001 / 135288 CITY: CITY OF HUNTINGTON BEACH A California municipal corporation Mayor City Clerk APPROVED AS TO FORM: City Attorney INITIATED AND APPROVED: Deputy Director of Business Development REVIEWED AND APPROVED: City Manager Item 12. - 163 11 B - /748- Zoning Conformance Table — Tentative Tract Map No. 17661, Conditional Use Permit No. 13-026 and Development Agreement 2016-002 Development Standard Required Proposed Min. Building Site None 0.636 acres Min. Width None 142 feet Min. Front Yard Setback 15 ft. 15 ft. Min. Interior Side Yard Minimum five feet 5 ft. to 15 ft. 6 in. (Min. 5 Setback ft.) Min. Exterior Side Yard Minimum 10 feet 10 ft. to 15 ft. 1 in. (Min. Setback 10 ft.) Max. Dwelling Height 40 ft. and three stories 34' 10" and three stories Max. Lot Coverage 50% 29% Private Open Space 75 sq. ft. of private open space per 100 sq. ft. to 140 sq. ft. dwelling unit provided. Common Open Space 2 bedrooms: Provided 3,701 sq. ft. 300 sq. ft/unit x 3 units= 900 sq. ft. 3+ bedrooms: 350 sq. ft. x 7 units= 2,450 sq. ft. Total: 3,350 sq. ft. Building Offset NA NA Landscaping All setback areas to be landscaped; 6 trees as required by 1 36-inch box tree/60 feet of street Code frontage: 323 feet/60 feet = 6 trees Min. Parking 2 bedrooms = 2 spaces/unit 20 enclosed (in garages) 3+ bedrooms = 2.5 spaces/unit 9 open parking spaces Guest = 0.5 spaces/unit Total Required = 28.5 spaces Total = 29 spaces Attachment No. 5 HB -749- Item 12. - 164 �R s i of Huntin'ton 1jeach . rr ° 2000 MAIN STREET CALIFORNIA 92648 DEPARTMENT OF PLANNING AND BUILDING www.huntingtonbeachca.gov Planning Division Building Division 714.536.5271 714.536.5241 November 23, 2015 NOTICE OF FILING STATUS: Application: Planning Application No. 13-0164: CUP 13-026; DR 13--018; VAR 13-012; TTM II �i 66� Applicant: Ed Boaanni, 5500 Bolsa Avenue, Suite 120,-guntington Beach, CA 92649 Property Owner: YMCA of Orcx�g,; County, 7ezf 1�4CE;ride; 1.382I Newport Avenue, Saito 2C,0. Tustin, CA 92780/ City of Huntington Beach, Kellee Fntzai, 2000 Main Street, Huntington Beach, CA 92648 Request: To permit construction of an approximately a 14,135 sq. ft. tc,nAnhome project consisting of 10 units wirhin three buildings on a 0.64 acre lot. Location: 7262 Garfield Ave, 92648 (southeast corner at Gothard Street) Dear Mr. Bonanru: NOTICE IS HEREBY GIVEN that the Planning Division has reviewed your entitlement application and plans received and dated October 26, 2015 and has deternikaed the application to be incomplete. The following information and/or corrections are requesl.e>> in order for the Planning Division to deem your application complete and continue the review prDcess of y-our application: 1 U-NINII_ M APPLICATION REQUIREAMENTS_ Per minimum application requirements for your project, please provide all of tllc follov�dnng (includinIg a digital copy): 1. Plans - Please review Fire De artm-ent comments regarding Fire Apparatus Sccess, z:�view plaris to clearly indicate Fire Department access Janes and TemOVC .any notation that is not an approved access route. Contact the Fire D,,.pazttnent for information. Once corrected, provide three (3) preliminary site plats, floor plans and building elevations, and landscape, plan (and for nl-W construction submit preli_miiary grading plans) a maximum of 24". X 36" in size. ? ?pon «cceptallce and scheduling of hear-Ing date, eight (8) additional fidl sized sets, 1"Wo (2) s is of plans reduced- to 8-1/2" X I V and one Item 12. - 165 ,tannins Conunissimn Ciafield lC-Unit Town nest 1-113 -750-,, (1) set of plans colored to illustrate the design and development concept of the project shall be submitted. 2. Draft Affordable Housing Plan — the submitted draft housing agreement does not meet minimum requirements per Section 230.26 of the HBZSO regarding affordable housing.. In an effort to assist you in meeting this requirement, the Office of Business Development is requesting that the City Attorney's Office draft an appropriate agreement. We will need a draft housing agreement that all parties agree upon prior to proceeding. Please contact the Office of Business Development if you have any questions regarding this process. OTHER DEPARTMENTS COMMENTS: Revised continents from the departments of Fire, Public Works, Office of Business Development, and Planning and Building Divisions are attached for your review. Also; the department encourages you to schedule an appointment with your assigned project planner when you are ready to re -submit plans/drawings. This service is provided to help you understand the minimum requirements of your application and to work toward deeming the application complete. This meeting is to ensure you address all the issues contained within this letter and to help streamline the process so that your application is scheduled in a timely matter. Please contact the assigned project planner to schedule an appointment. Please submit the above -noted information and/or corrections as soon as possible in order for the Planiino, Division to continue the review process of your request. Please note, additional comments and concerns may be generated upon receipt of the requested information. Also, completion of the corrections and/or the submittal of the additional information does not presume approval of the application requested. If you should have any questions or concerns regarding the processing of your application, please feel free to contact me at (714) 536-5561. Sincerely, Ethan Edivards, AICP Associate Planner Attachments: Code Requirements — Fire and Public Works, Affordability Restriction Requirements — Office of Business Development xc. Property Owner Jane Janies, Planning Manager File Steve Bogart, Public Works Steve Eros, Fire Kellee Fritzal, Office of Business Development xa _75 1 _ Item 12. - 166 &'EdwardsTlanning CommissionlGarfield 10-Unit Townhomes'—, , .,a,.—.y.docx HUNTINGTON FIRE DEPARTMENT .._.. DATE: NOVEMBER 17, 2015 PROJECT NAME: GARFIELD 10 UNIT TOWNHOME PLANNING APPLICATION NO. PLANNING APPLICATION NO. 13-164 ENTITLEMENTS: CONDITIONAL USE PERMIT 13-026; TENTATIVE TRACT MAP 13- 115 DATE OF PLANS: OCTOBER 26, 2015 PROJECT LOCATION: 7262 Garfield Ave, 92648 (southeast corner at Gothard Street) PLAN REVIEWER: STEVE EROS, FIRE PROTECTION ANALYST TELEPHONE/E-MAIL: (714) 536-5531, STEVE.EROS(c�SURFCITY-HB.ORG PROJECT DESCRIPTION: TTM: TO CONSOLIDATE 3 PARCELS TOTALING 0.636 ACRES (27,694 SQ. FT.) INTO ONE LOT FOR CONDOMINIUM PURPOSES. CUP: TO CONSTRUCT 10 TWO-STORY TOWNHOME DWELLINGS. THE ATTACHED UNITS ARE PROPOSED IN 3 BUILDINGS CONTAINING THREE TO FOUR UNITS IN EACH BUILDING. TO ALLOW A 4.9 PERCENT DENSITY BONUS FOR THE CONSTRUCTION OF ONE UNIT (9 UNITS TO 10 UNITS). The following is a list of code requirements deemed applicable to the proposed project based on plans received and dated October 26`h, 2015. The list is intended to assist the applicant by identifying requirements which must be satisfied during the various stages of project permitting and implementation: A list of conditions of approval adopted by the Planning Commission in conjunction with the requested entitlement(s), if any, will also be provided upon final project approval. The project is required to comply with all of the adopted Building, Fire, and Municipal Codes in effect at the time of grading and building plan submittal for permit issuance. If you have any questions regarding these requirements, please contact the Plan Reviewer- Fire: Steve Eros, Fire Protection Analyst. PRIOR TO DEMOLITION, GRADING, SITE DEVELOPMENT, ISSUANCE OF GRADING PERMITS, BUILDING PERMITS, AND/OR CONSTRUCTION, THE FOLLOWING SHALL BE REQUIRED: Fire blaster Plan The Fire Master Plan shall be completed and approved prior to precise grading plan or building plan approval. Item 12. - 167 HB -752- Page 2 of S A separate Fire Master Plan is required for submittal to the HBFD. It shall be a site plan reflecting all the following fire department related items: ➢ Fire hydrant locations, public and private. ➢ FDC locations. ➢ Dimensions from FDC's to hydrants. ➢ DCDA locations. ➢ Fire sprinkler riser locations and location of system serving. ➢ FACP locations. ➢ Knox box and knox switch locations. ➢ Gate locations, and opticoms if required. ➢ Fire lane locations, dimensions, lengths, turning radii at corners and circles/cul-de-sacs. ➢ Fire lane signage and striping. ➢ Property dimensions or accurate scale. ➢ Building locations and heights. ➢ Building addresses and suite addresses. (FD) Environmental The following items shall be completed prior to rough or precise grading plan approval. Methane Mitigation Requirements. Due to the proposed location of construction, soil gas testing for methane gas is required. A methane sample plan shall be submitted to the fire department for review and approval, prior to the commencement of sampling. If methane gas is discovered in the soil, the following City Specification would be applicable and the grading, building, and methane plans must reference that a sub -slab methane barrier and vent system will be installed per City Specification # 429, Methane District Building Permit Requirements prior to plan approval. Additional methane mitigation measures may be required by the fire department. HB _75;_ Item 12. - 168 Page 3of8 Methane safety measures per City Specification # 429, Methane District Building Permit Requirements shall be detailed on a separate sheet titled "METHANE PLAN" and two copies submitted to the Fire Department for review and approval. (FD) City Specification # 431-92 Soil Clean -Up Standards testing is required. Based on site characteristics, suspected soil contamination, proximity to a producing/abandoned oil well, or Phase I, II, or III Site Audit, soil testing conforming to City Specification # 431-92 Soil Clean -Up Standards is required. All soils shall conform to City Specification # 431-92 Soil Clean -Up Standards prior to the issuance of a building permit. Building plans shall reference that "All soils shall conform to City Specification # 431-92 Soil Clean -Up Standards" in the plan notes. Prior to the issuance of Grading or Building Permits, the following is required to demonstrate compliance with City Specifications # 429 and # 431-92: 1) Soil Sampling Work Plan: Render the services of a qualified environmental consultant to prepare and submit a soil sampling work plan to the HBFD for review and approval. Once the HBFD reviews and approves the submitted work plan, the sampling may commence. Note: Soil shall not be exported to other City of Huntington Beach locations without first being demonstrated to comply with City Specification # 431-92 Soil Clean Up Standards. Also, any soil proposed for import to the site shall first be demonstrated to comply with City Specification # 431-92. 2) Soil Sampling Lab Results: Conduct the soil sampling in accordance with the HBFD approved work plan. After the sampling is conducted, the lab results (along with the Environmental Consultants summary report) for methane and # 431-92 testing shall be submitted to the HBFD for review. 3) Remediation Action Plan: If contamination is identified, provide a Fire Department approved Remediation Action Plan (RAP) based on requirements found in Huntington Beach City Specification #431-92, Soil Cleanup Standard. All soils shall conform to City Specification # 431-92 Soil Clean -Up Standards prior to the issuance of a grading or building permit. (FD) Discovery of soil contamination/pipelines, etc., must be reported to the Fire Department immediately and an approved remedial work plan submitted. (FD) Remediation Action Plan. If soil contamination is identified, the applicant must provide a Fire Department approved Remediation Action Plan (RAP) based on requirements found in Huntington Beach City Specification #431-92, Soil Cleanup Standard. Upon remediation action plan approval, a rough grading permit may be issued. (FD) Item 12. - 169 H 13-7s4- Page 4 of 8 Imported Soil Plan. All imported soil shall meet City Specification #431-92, Soil Cleanup Standards. An "Imported Soil Work Plan" must be submitted to the Fire Department for review and approval prior to importing any soil from off site. Once approved, the soil source can be sampled per the approved work plan, then results sent to the HBFD for review. No rough grade will be approved prior to the actual soil source approval. Multiple soil sources required separate sampling as per the approved work plan, with -no soil being imported until each source has been verified to meet the CS #431-92 requirements. (FD) Oil Wells — There are two abandoned oil wells on site. DOGGR "CONSTRUCTION SITE REVIEW" is required. A California Division of Oil, Gas & Geothermal Resources (DOGGR — 714-816-6847), Site Plan Review is required for this project. Identify the well name and well API number. Show the location of the abandoned oil well in question. Accurately locate with 'Y' and "y" parameters delineated. A completed DOGGR Site Plan Review must be on -file with the Fire Department prior to plan approval. Wells identified in the Site Review not meeting current DOGGR requirements may require re -abandonment. If required, the following permits shall be obtained and submitted: From the Division of Oil, Gas & Geothermal Resources (DOGGR — (714) 816-6847), provide a Permit to Conduct Well Operations for all on -site active/abandoned oil wells. • Obtain a Huntington Beach Fire Department Permit to Abandon Oil Well and follow the requirements of City Specification #422, Oil Well Abandonment Permit Process. Reference compliance with City Specification #422, Oil Well Abandonment Permit Process in the plan notes. ® Oil Well Vent Cones and vent piping will be required in accordance with City Specification 429. NOTE: Both oil wells will need to be abandoned to the current DOGGR Standard. No grading permits or building permits can be issued until the oil wells have been brought to the current DOGGR Standard. Please notify the HBFD when permits to abandon have been pulled from DOGGR. Fire Apparatus Access The following items shall be completed prior to rough or precise grading plan approval. Fire Access Roads shall be provided and maintained in compliance with City Specification # 401, Minimum Standards for Fire Apparatus Access. Driving area shall be capable of supporting a fire apparatus (75,000 Ibs and 12,000 lb point load). Minimum fire access road width is twenty- 14B -755- Item 12. - 170 Page 5 of 8 four feet (24') wide, with thirteen feet six inches (13' 6") vertical clearance. Fire access roads fronting commercial buildings shall be a minimum width of twenty-six feet (26') wide, with thirteen feet six inches (13' 6") vertical clearance. For Fire Department approval, reference and demonstrate compliance with City Specification # 401 Minimum Standards for Fire Apparatus Access on the plans. (FD) NOTE: It is unclear where the fire department lane ends as it turns into the site. All of the lanes within the site are labeled fire department access lanes, but not all of the lanes comply with our sizing requirements stated in City Specification #401. Fire Department lanes need to be a minimum of 24 feet wide. There are areas labeled Fire Department Access Routes that are only 18 feet wide. If this road is required to be a fire department access route, then it will need to be 24 feet wide and the site will be required to be provided with an approved fire department turnaround as described in City Specification #401. Fire Access Road Turns and Corners shall be designed with a minimum inner radius of seventeen feet (17') and a minimum outer radius of forty five feet (45') per City Specification # 401 Minimum Standards for Fire Apparatus Access. For Fire Department approval, reference and demonstrate compliance with City Specification # 401 Minimum Standards for Fire Apparatus Access on the plans. (FD) NOTE: The current site plan does not show the turning radius for the entry into the site. Please indicate the turning radius when submitting the building plans. Turning radii need to comply with the requirement specified in City Specification #401. Hose Pull Lengths — The fire apparatus access road shall comply with the requirements of Section 503.1.1 of the Huntington Beach Fire Code. All access roads shall extend to within 150 feet of all portions of the facility and all portions of the exterior walls of the first story of the building as measured by an approved route around the exterior of the building or facility. NOTE: Provide a plan that shows that the entire perimeter of all three buildings are within 150 feet of the fire department access lane. (FD) No Parking shall be allowed in the designated 24 foot wide fire apparatus access road or supplemental fire access per City Specification # 415. For Fire Department approval, reference and demonstrate compliance with City Specification # 415 Minimum Standards for Fire Apparatus Access on the plans. (FD) Fire Lanes, as determined by the Fire Department, shall be posted, marked, and maintained per City Specification #415, Fire Lanes Signage and Markings on Private, Residential, Commercial and Industrial Properties. The site plan shall clearly identify all red fire lane curbs, both in location and length of run. The location of fire lane signs shall be depicted. No parking shall be allowed in the designated 24 foot wide fire apparatus access road or supplemental fire access per City Specification # 415. For Fire Department approval, reference and demonstrate compliance with City Specification # 401 Minimum Standards for Fire Apparatus Access on the plans. (FD) Item 12. - 171 HB _7/56_ Page 6 of S Emergency Escape and Rescue openings shall be required per CBC and CFC Section 1029. Demonstrate compliance with these code sections on the plans. Note: The architectural plans shall show the clear/unobstructed approved access route around the structures along with ground ladder placement locations for accessing all 2"a and above level bedroom windows for emergency egress. (FD) Fire Suppression Systems The following items shall be completed prior to issuance of a certificate of occupancy. Fire Sprinklers Automatic Fire Sprinklers are required. An automatic fire sprinkler system complying with Chapter 9 of the California Fire Code is required. Automatic sprinkler systems installed in multi- dwelling residential buildings shall be designed and installed in accordance with NFPA 13R Requirements. Two sets of plans shall be submitted to the HBFD for review and approval. (FD) Fire Alarm System: A Fire Alarm System complying with the 2011 Huntington Beach Fire Code, California Fire Code, and NFPA 72 (2010 edition) is required. For Fire Department approval, shop drawings shall be submitted to the Fire Department as separate plans for permits and approval. A C-10 electrical contractor, certified in fire alarm systems, must certify the system is operational annually. (FD) Addressing and Street Names The following items shall be completed prior to occupancy. Structure or Building Address Assignments. The Planning Department shall review and make address assignments. The individual dwelling units shall be identified with numbers per City Specification # 409 Street Naming and Address Assignment Process. For Fire Department approval, reference compliance with City Specification #409 Street Naming and Address Assignment Process in the plan notes. (FD) Residential (SFD) Address Numbers shall be installed to comply with City Specification #428, Premise Identification. Number sets are required on front of the structure in a contrasting color with the background and shall be a minimum of four inches (4") high with one and one half inch ('/") brush stroke. For Fire Department approval, reference compliance with City Specification #428, Premise Identification in the plan notes and portray the address location on the building. (FD) GIS upping Information The following items shall be completed prior to issuance of a certificate of occupancy. 1-113 _,; 7_ Item 12. - 172 Page 7 of 8 a. GIS Mapping Information shall be provided to the Fire Department in compliance with GIS Department CAD Submittal Guideline requirements. Minimum submittals shall include the following: ➢ Site plot plan showing the building footprint. ➢ Specify the type of use for the building ➢ Location of electrical, gas, water, sprinkler system shut -offs. ➢ Fire Sprinkler Connections (FDC) if any. ➢ Knox Access locations for doors, gates, and vehicle access. ➢ Street name and address. Final site plot plan shall be submitted in the following digital format and shall include the following: ➢ Submittal media shall be via CD rom to the Fire Department. ➢ Shall be in accordance with County of Orange Ordinance 3809. File format shall be in .shp, Auto CAD, AUTOCAD MAP (latest possible release) drawing file -.DWG (preferred) or Drawing Interchange File - .DXF. ➢ Data should be in NAD83 State Plane, Zone 6, Feet Lambert Conformal Conic Projection. ➢ Separate drawing file for each individual sheet. In compliance with Huntington Beach Standard Sheets, drawing names, pen colors, and layering convention. and conform to City of Huntington Beach Specification # 409 — Street Naming and Addressing. (FD) THE FOLLOWING CONDITIONS SHALL BE MAINTAINED DURING CONSTRUCTION: a. Fire/Emergency Access And Site Safety shall be maintained during project construction phases in compliance with HBFC Chapter 14, Fire Safety During Construction And Demolition. b. Discovery of soil contamination or underground pipelines, etc., must be reported to the Fire Department immediately and the approved work plan modified accordingly in compliance with City Specification #431-92 Soil Clean -Up Standards. OTHER: C. Outside City Consultants The Fire Department review of this project and subsequent plans may require the use of City consultants. The Huntington Beach City Council approved fee schedule allows the Fire Department to recover consultant fees from the applicant, developer or other responsible party. d. Compliance with the Huntington Beach Municipal Code, Huntington Beach Fire Department City Specifications, and the California Fire and Building Codes is required. Item 12. - 173 1113 -758- Page 8of8 Fire Department City Specifications may be obtained at: Huntington Beach Fire Department Administrative Office City Hall 2000 Main Street, 51h floor Huntington Beach, CA 92648 or through the City's website at www.surfcity-hb.org If you have any questions, please contact the Fire Prevention Division at (714) 536-5411 HB -759- Item 12. - 174 d�BUILDING DIVISION DATE: November 16, 2015 PROJECT NAME: GARFIELD 10 UNIT TOWNHOME PLANNING APPLICATION NO. PLANNING APPLICATION NO. 13-164 ENTITLEMENTS: CONDITIONAL USE PERMIT 13-026; TENTATIVE TRACT MAP 13- 115 DATE OF PLANS: OCTOBER 26, 2015 PROJECT LOCATION: 7262 Garfield Ave, 92648 (southeast corner at Gothard Street) PLAN REVIEWER: KHOA DUONG, P.E TELEPHONE/E-MAIL: (714) 872-6123 / KHOA@CSGENGR.COM PROJECT DESCRIPTION: TTM: TO CONSOLIDATE 3 PARCELS TOTALING 0.636 ACRES (27,694 SQ. FT.) INTO ONE LOT FOR CONDOMINIUM PURPOSES. CUP: TO CONSTRUCT 10 TWO-STORY TOWNHOME DWELLINGS. THE ATTACHED UNITS ARE PROPOSED IN 3 BUILDINGS CONTAINING THREE TO FOUR UNITS IN EACH BUILDING. TO ALLOW A 4.9 PERCENT DENSITY BONUS FOR THE CONSTRUCTION OF ONE UNIT (9 UNITS TO 10 UNITS). The following is a list of code requirements deemed applicable to the proposed project based on plans stated above. The list is intended to assist the applicant by identifying requirements which must be satisfied during the various stages of project permitting and implementation. A list of conditions of approval adopted by the Planning Commission in conjunction with the requested entitlement(s), if any, will also be provided upon final project approval. If you have any questions regarding these requirements, please contact the Plan Reviewer. I. REQUIREMENT: 1. Development Impact Fees will be required for new construction. 2. Submit separate plans for all disciplines; Building 3 sets, MEP 2 sets each. Landscape plan is a separate submittal for irrigation and plants only. No accessory structures or flat work will be reviewed on the landscape plans. All site work for accessibility will be reviewed and inspected based on the approved architectural plans. All accessory and minor accessory structures including site MEP will be on separate permits. II. CODE REQUIREMENTS BASED ON PLANS & DRAWINGS SUBMITTED: Project shall comply with the current state building codes adopted by the city at the time of permit application submittal. Currently they are 2013 California Building Code (CBC), 2013 California Mechanical Code, 2013 California Plumbing Code, 2013 California Electrical Code, 2013 California Item 12. - 175 HB -760- Page 2 of Energy Code, 2013 California Green Building Standards Code, and the Huntington Beach Municipal Code (HBMC). Compliance to all applicable state and local codes is required prior to issuance of building permit. 2. Provide building code analysis including type of construction, allowable area and height, occupancy group requirements, exterior wall ratings per Chapter 5 and 7 of the 2013 CBC. 3. Exterior walls located within 5' set back must comply with Section 705 of 2013 CBC. 4. Structural calculations are required. 5. Energy calculations are required. 6. Project must comply with 2013 California Green Building Standards Code. 7. Provide complete soil report to address the Oil wells. Also, please revise the address shown on soil report to be matched with application. 8. Check the required light and ventilation for all habitable areas. Please provide door and window schedule showing size and type of all doors and windows. 9. Provide compliance to disabled accessibility requirements of Chapter 11A of the 2013 CBC. ■ Provide interior layout plan to show how it comply with Section 1102A.3 of the 2013 CBC. ■ All required exits from the unit must be accessible to disabled persons. Identify on Site plan the accessible paths of travel from exit doors to the public way along with maximum slope of 5%; and cross slope of 2%. ■ Show accessible path of travel from public sidewalk to the accessible unit along with maximum slope of 5%; and cross slope of 2%. ■ Accessible unit shall be located at Building B. 10. Show location of all curb ramps and truncated domes within the accessible paths of travel on Site plan. 11. Review and provide compliance with Title 17 of the City of Huntington Beach Municipal Code, Building and Construction. This document can be found online on the city's website. 12. For projects that will include multiple licensed professions in multiple disciplines, i.e. Architect and professional engineers for specific disciplines, a Design Professional in Responsible Charge will be requested per the 2013 CBC, Section 107.3.4. 13. In addition to all of the code requirements of the 2013 California Green Building Standards Code, specifically address Construction Waste Management per Sections 4.408.2, 4.408.3, 4.408.4, 5.408.1.1, 5.408.1.2, and 5.408.1.3 and Building Maintenance and Operation, Section 5.410. Prior to the issuance of a building permit the permitee will be required to describe how they will comply with the sections described above. Prior to Building Final Approval, the city will require a Waste Diversion Report per Sections 4.408.5 and 5.408.1.4. 14. The City of Huntington Beach has adopted the 2013 California Green Building Standards Code Appendices for Electric Vehicle Charging. This adopted Code may be found in the Huntington Beach Municipal Code under; Chapter 17.06.030 Residential Electric Vehicle (EV) Charging and 17.06.040 Non -Residential Electrical Vehicle (EV) Charging Ill. COMMENTS: 1. Planning and Building Department encourage the use of pre -submittal building plan check meetings. 2. Separate Building, Mechanical, Electrical and Plumbing Permits will be required for all exterior accessory elements of the project, including but not limited to: fireplaces, fountains, sculptures, light poles, walls and fences over 42" high, retaining walls over 2' high, detached trellises/patio HB _761 - Item 12. - 176 Page 3 of 3 covers, gas piping, water service, backflow anti -siphon, electrical, meter pedestals/electrical panels, swimming pools, storage racks for industrial/commercial projects. It will be the design professional in charge, responsibility to coordinate and submit the documents for the work described above. Provide on all plan submittals for building, mechanical, electrical and plumbing permits, the Conditions of Approval and Code Requirements that are associated with the project through the entitlement process. If there is a WQMP, it is required to be attached to the plumbing plans for plan check. Item 12. - 177 HB -762- F i CITY OF HUNTINGTON BEACH PUBLIC WORKS INTERDEPARTMENTAL COMMUNICATION PROJECT IMPLEMENTATION CODE REQUIREMENTS DATE: NOVEMBER 18, 2015 PROJECT NAME: GARFIELD 10 UNIT TOWNHOME ENTITLEMENTS CUP 13-26, DR 13-18, TTM 17661 PLNG APPLICATION NO. 2013-0164 DATE OF PLANS: OCTOBER 26, 2015 PROJECT LOCATION: 7262 GARFIELD AVENUE (SEC AT GOTHARD STREET) PROJECT PLANNER ETHAN EDWARDS, ASSOCIATE PLANNER TELEPHONE/E-MAIL: 714-536-5561 / ETHAN.EDWARDS(aSURFC ITY-HB.ORG PLAN. REVIEWER: STEVE BOGART, SENIOR CIVIL ENGINEER TELEPHONE/E-MAIL: 714-374-1692 / SBOGART(a. SURFCITY-HB.ORG PROJECT DESCRIPTION: TTM: TO CONSOLIDATE 3 PARCELS TOTALING 0.636 ACRES (27,694 SQ. FT.) INTO ONE LOT. CUP: TO CONSTRUCT 10 TWO-STORY TOWNHOME DWELLINGS. THE ATTACHED UNITS ARE PROPOSED IN 3 BUILDINGS CONTAINING THREE TO FOUR UNITS IN EACH BUILDING. TO ALLOW A 4.9 PERCENT DENSITY BONUS FOR THE CONSTRUCTION OF ONE UNIT (9 UNITS TO 10 UNITS). DR: TO REVIEW THE DESIGN, COLORS AND MATERIALS OF A PROPOSED 10-UNIT TOWNHOME PROJECT. The following is a list of code requirements deemed applicable to the proposed project based on plans as stated above. The items below are to meet the City of Huntington Beach's Municipal Code (HBMC), Zoning and Subdivision Ordinance (ZSO), Department of Public Works Standard Plans (Civil, Water and Landscaping) and the American Public Works Association (APWA) Standards Specifications for Public Works Construction (Green Book), the Orange County Drainage Area management Plan (DAMP), and the City Arboricultural and Landscape Standards and Specifications. The list is intended to assist the applicant by identifying requirements which shall be satisfied during the various stages of project permitting, implementation and construction. If you have any questions regarding these requirements, please contact the Plan Reviewer or Project Planner. THE FOLLOWING DEVELOPMENT REQUIREMENTS SHALL BE COMPLETED PRIOR TO RECORDATION OF A FINAL TRACT MAP UNLESS OTHERWISE STATED: 1. The Final Tract Map shall be submitted to the City of Huntington Beach Public Works Department for review and approval and shall include a title report to indicate the fee title owner(s) as shown on HB -763_ Item 12. - 178 Page 2 of 8 a title report for the subject properties. The title report shall not be more than six (6) weeks old at the time of submittal of the Final Tract Map. 2. The Final Tract Map shall be consistent with the approved Tentative Tract map. (ZSO 253.14) 3. The following dedications to the City of Huntington Beach shall be shown on the Final Parcel Map. (ZSO 230.084A & 253.10K) a. A 40 foot right-of-way dedication, from street centerline, for vehicular and pedestrian purposes, and public utilities along the Gothard Street frontage is required. b. A 34 foot radius right-of-way dedication for pedestrian access and public utilities at the intersection of Garfield Avenue and Gothard Street along the south east corner per Public Works Standard Plan No. 207. 4. Documentation, including closure calculations, shall be provided to establish the boundary lines of the tract. 5. A reproducible Mylar copy and a print of the recorded final tract map shall be submitted to the Department of Public Works at the time of recordation. 6. The engineer or surveyor preparing the final map shall comply with Sections 7-9-330 and 7-9-337 of the Orange County Subdivision Code and Orange County Subdivision Manual, Subarticle 18 for the following item: a. Tie the boundary of the map into the Horizontal Control System established by the County Surveyor. b. Provide a digital -graphics file of said map to the County of Orange. 7. Provide a digitakgraphics file of said map to the City per the following design criteria: a. Design Specification: Digital data shall be full size (1:1) and in compliance with the California coordinate system — STATEPLANE Zone 6 (Lambert Conformal Conic projection), NAD 83 datum in accordance with the County of Orange Ordinance 3809. ii. Digital data shall have double precision accuracy (up to fifteen significant digits). iii. Digital data shall have units in US FEET. iv. A separate drawing file shall be submitted for each individual sheet. V. Digital data shall be in compliance with the Huntington Beach Standard Sheets, drawing names, pen color and layering conventions. vi. Feature compilation shall include, but shall not be limited to: Assessor's Parcel Numbers (APN), street addresses and street names with suffix. b. File Format and Media Specification: i. Shall be in compliance with one of the following file formats (AutoCAD DWG format preferred): • AutoCAD (version 2000, release 4) drawing file: _.DWG • Drawing Interchange file: .DXF ii. Shall be in compliance with the following media type: • CD Recordable (CD-R) 650 Megabytes Item 12. - 179 HB -764- Page�3 of 8. All improvement securities (Faithful Performance, Labor and Material and Monument Bonds) and Subdivision Agreement shall be posted with the Public Works Department and approved as to form by the City Attorney, if it is desired to record the Final Tract Map or obtain building permits before completion of the required improvements. 9. A Certificate of Insurance shall be filed with the Public Works Department and approved as to form by the City Attorney. 10. If the Final Tract Map is recorded before the required improvements are completed, a Subdivision Agreement and accompanying bonds may be submitted for construction in accordance with the provisions of the Subdivision Map Act. (SKAA) THE FOLLOWING DEVELOPMENT REQUIREMENTS SHALL BE COMPLETED PRIOR TO ISSUANCE OF A GRADING PERMIT: 1. A Legal Description and Plat of the dedications to City to be prepared by a licensed surveyor or registered Civil Engineer authorized to practice land surveying and submitted to Public Works for review and approval. The dedication shall be recorded prior to issuance of a grading permit. 2. The following dedications to the City of Huntington Beach shall be shown on the Precise Grading Plan. (ZSO 230.084A) a. A 40 foot right-of-way dedication, from street centerline, for vehicular and pedestrian purposes, and public utilities along the Gothard Street frontage is required. b. A .34 foot radius right-of-way dedication for pedestrian access and public utilities at the intersection of Garfield Avenue and Gothard Street along the south east corner per Public Works Standard Plan No. 207. 3, A Precise Grading Plan, prepared by a Licensed Civil Engineer, shall be submitted to the Public Works Department for review and approval. (MC 17.052SO 230.84) The plans shall .comply with Public Works plan preparation guidelines and include the following improvements on the plan: a. Damaged sidewalk along the Garfield Street frontage shall be removed and replaced per Public Works Standard Plan No. 207. (ZSO 230.84) b. The existing driveway approach on Garfield Avenue shall be removed and replaced with curb, gutter, and sidewalk per Public Works Standard Plan No. 202 and 207. (ZSO 230.84) c. The proposed driveway approach on Garfield Avenue shall be installed per Public Work Standard Plan No. 211. (ZSO 230.84) d. Intersection sight distance based on Caltrans Highway Design Manual shall be provided at the project driveway on Garfield Avenue. (CE 2.5, CE 2.7, CE 17) e. installation of one (1) LED street light on the Garfield Avenue project frontage per City Standards and Specifications. (ZSO 230.84) f. New installed curb along the Gothard Street and Garfield Avenue frontages shall be painted red at locations identified by Public Works Caltrans'Specifications. (ZSO 230.84, CE 17) g. An ADA compliant access ramp at the Garfield Avenue and Gothard Street project comer per Caltrans Standard Plan A88A. (ZSO 230.84, ADA) h. Relocation of the existing bus stop on Garfield Avenue to the east of the current location. The relocation and bus stop improvements shall be coordinated with OCTA. (ZSO 230,84, OCTA) HB -76-5- Item 12. - 180 Page 4 of 8 i. A new sewer lateral shall be installed connecting to the existing sewer main in Gothard Street. (ZSO 230.84) j. New domestic water services and meters or master meter shall be installed per Water Division Standards, and sized to meet the minimum requirements set by the California Plumbing Code (CPC) and Uniform Fire Code (UFC). (ZSO 230.84) (MC 14.08.020) k. A separate irrigation water service and meter shall be installed per Water Division Standards. (ZSO 232) (MC 14.52) I. Where common landscape areas are maintained by a Homeowner's Association, a separate master irrigation water service and meter shall be installed per Water Division Standards. (ZSO 232) m. Separate backflow protection devices shall be installed per Water Division Standards for domestic, irrigation and fire water services, and shall be screened from view. (Resolution 5921 and State of California Administrative Code, Title 17) n. The existing domestic water services and meters, if not being used shall be abandoned per Water Division Standards. (ZSO 230.84) o. The fire sprinkler system that is required by the Fire Department for the proposed development shall have a separate dedicated fire service line installed per Water Division Standards. (ZSO 230.84) 4. The developer shall submit for approval by the Fire Department and Water Division, a hydraulic water analyses to ensure that fire service connection from the point of connection to City water main to the backflow protection device satisfies Water Division standard requirements. 5. A Hydrology and Hydraulics Report shall be submitted for Public Works review and approval (10, 2-5, and 100-year storms shall" be analyzed). The drainage improvements shall be designed and constructed as required by the Department of Public Works to mitigate impact of increased runoff due to development, or deficient, downstream systems. Design of all necessary drainage improvements shall provide mitigation for all rainfall event frequencies up to a 1 DD-year frequency. The Hydrology and Hydraulic Report shall include, but not be limited to facilities sizing, limits of attenuation, downstream impacts and other related design features. Runoff shall be limited to existing 25-year flows, which must be established in the hydrology study. If the analyses shows that the City's current drainage system cannot meet the volume needs of the project runoff, the developer shall be required to attenuate site runoff to an amount not to exceed the existing 25-year storm as determined by the hydrology study. As an option, the developer may choose to explore low -flow design alternatives, onsite attenuation or detention, or upgrade the City's storm water system to accommodate the impacts of the new development, at no cost to the City. (ZSO 230.84) 6. A sewer study shall be prepared and submitted to the Public Works Dept. for review and approval. A- fourteen (14)-day or longer flow test data shall be included in the study. The location and number of monitoring test sites shall be determined by the Public Works Department. The sanitary sever system shall be designed and constructed to serve the development, including any offsite improvements necessary to accommodate any increased flow associated with the project. (ZSO 230.84/MC 14.36.01 D) 7. Prior to the issuance of any grading or building permits for projects that will result in soil disturbance of one or more acres of land, the applicant shall demonstrate that coverage has been obtained under the Waste Discharge Requirements for Discharges of Storm Water Runoff Associated with Construction and Land Disturbance Activities (Order No. 2009-0009-DWQ) [General Construction Permit] by providing a copy of the Notice of Intent (NOI) submitted to the State of California Water Resources Control Board and a copy of the subsequent notification of the issuance of a Waste Item 12. - 181 HB -766- Page 5 of 8 Discharge Identification (WDID) Number. Projects subject to this requirement shall prepare and implement a Stormwater Pollution Prevention Plan (SWPPP) conforming to the current National Pollution Discharge Elimination System (NPDES) requirements shall be submitted to the Department of Public Works for review and acceptance. A copy of the current SWPPP shall be kept at the project site and another copy to be submitted to the City. (DAMP) 8. A Project Water Quality Management Plan (WQMP) conforming to the current Waste Discharge Requirements Permit for the County of Orange (Order No. R8-2009-0030) [MS4 Permit) prepared by a Licensed Civil Engineer, shall be submitted to the Department of Public Works for review and acceptance. The WQMP shall address Section XII of the MS4 Permit and all current surface water quality issues. 9. The project WQMP shall include the following: a. Low Impact Development. b. Discusses regional or watershed programs (if applicable)_ c. Addresses Site Design BMPs (as applicable) such as minimizing impervious areas, maximizing permeability, minimizing directly connected impervious areas, creating reduced or "zero discharge" areas, and conserving natural areas. d. Incorporates the applicable Routine Source Control BMPs as defined in the Drainage Area Management Plan. (DAMP) e. Incorporates Treatment Control BMPs as defined in the DAMP. f. Generally describes the long-term operation and maintenance requirements for the Treatment Control BMPs. g. Identifies the entity that will be responsible for long-term operation and maintenance of the Treatment Control BMPs. h. Describes the mechanism for funding the long-term operation and maintenance of the Treatment Control BMPs. Includes an Operations and Maintenance (O&M) Plan for all structural BMPs. After incorporating plan check comments of Public Works, three final WQMPs (signed by the owner and the Registered Civil Engineer of record) shall be submitted to Public Works for acceptance. After acceptance, two copies of the final report shall be returned to applicant for the production of a single complete electronic copy of the accepted version of the WQMP on CD media that includes: The 11 n by 17" Site Plan in .TIFF format (400 by 400 dpi minimum). ii. The remainder of the complete WQMP in .PDF format including the signed and stamped title sheet, owners certification sheet, Inspection/Maintenance Responsibility sheet, appendices, attachments and all educational material. k. The applicant shall return one CD media to Public Works for the project record file. 10. Indicate the type and location of Water Quality Treatment Control Best Management Practices (BMPs) on the Grading Plan consistent with the Project WQMP. The WQMP shall follow the City of Huntington Beach; Project Water Quality Management Plan Preparation Guidance Manual dated June 2006. The WQMP shall be submitted with the first submittal of the Grading Plan. 11. A suitable location, as approved by the City, shall be depicted on the grading plan for the necessary trash enclosure(s). The area shall be paved with an impervious surface, designed not to allow run- HR -767- Item 12. - 182 Page 6 of 8 on from adjoining areas, designed to divert drainage from adjoining roofs and pavements diverted around the area, and screened or walled to prevent off -site transport of trash. The trash enclosure area shall be covered or roofed with a solid, impervious material. Connection of trash area drains into the storm drain system is prohibited. If feasible, the trash enclosure area shall be connected into the sanitary sewer. (DAMP) 12. A soils report, prepared by a Licensed Engineer shall be submitted .for reference only. (MC 17.05.150) 13. The applicant's grading/erosion control plan shall abide by the provisions of AQMD's Rule 403 as related to fugitive dust control. (AQMD Rule 403) 14. The name and phone number of an on -site field supervisor hired by the developer shall be submitted to the Planning and Public Works Departments. In addition, clearly visible signs shall be posted on the perimeter of the site every 250 feet indicating who shall be contacted for information regarding this development and any construction/grading-related concerns. This contact person shall be available immediately to address any concerns or issues raised by adjacent property owners during the construction activity. He/She will be responsible for ensuring compliance with the conditions herein, specifically, grading activities, truck routes, construction hours, noise, etc. Signs shall include the applicant's contact number, regarding grading and construction activities, and "1-800-CUTSMOG" in the event there are concerns regarding fugitive dust and compliance with AQMD Rule No. 403. 15. The applicant shall notify all property owners and tenants within 300 feet of the perimeter of the property of a tentative grading schedule at least 30 days prior to such grading. THE FOLLOWING DEVELOPMENT REQUIREMENTS SHALL BE COMPLIED WITH DURING GRADING OPERATIONS: 16. An Encroachment Permit is- required for all work within the City's right-of-way. (MC 12.38.010/MC 14.36.030) 17. The developer shall coordinate the development of a truck haul route with the Department of Public Works if the import or export of material in excess of 5000 cubic yards is required. This plan shall include the approximate number of truck trips and the proposed truck haul routes. It shall specify the hours in which transport activities can occur and methods to mitigate construction -related impacts to adjacent residents. These plans must be submitted for approval to the Department of Public Works. (MC 17.05.210) 18. Water trucks will be utilized on the site and shall be available to be used throughout the day during site grading to keep the soil damp enough to prevent dust being raised by the operations. (California Stormwater BMP Handbook, Construction Wind Erosion WE-1) 19. All haul trucks shall arrive at the site no earlier than 8:00 a.m. or leave the site no later than 5:00 p.m., and shall be limited to Monday through Friday only. (MC 17.05) 20. Wet down the areas that are to be graded or that is being graded, in the late morning and after work is completed for the day. (WE-1/MIC 17.05) 21. The construction disturbance area shall be kept as small as possible. (California Stormwater BMP Handbook, Construction Erosion Control EC-1) (DAMP) 22. All haul trucks shall be covered or have water applied to the exposed surface prior to leaving the site to prevent dust from impacting the surrounding areas. (DAMP) Item 12. - 183 1113 -768- Page 7 of 8 23. Prior to leaving the site, all haul trucks shall be washed off on -site on a gravel surface to prevent dirt and dust from leaving the site and impacting public streets. (DAMP) 24. Comply with appropriate sections of AQMD Rule 403, particularly to minimize fugitive dust and noise to surrounding areas. (AQMD Rule 403) 25. Wind barriers shall be installed along the perimeter of the site. (DAMP) 26. All construction materials, wastes, grading or demolition debris and stockpiles of soils, aggregates, soil amendments, etc. shall be properly covered, stored and secured to prevent transport into surface or ground waters by wind, rain, tracking, tidal erosion or dispersion. (DAMP) THE FOLLOWING DEVELOPMENT REQUIREMENTS SHALL BE COMPLETED PRIOR TO ISSUANCE OF A BUILDING PERMIT: 27. A Precise Grading Permit shall be issued. (MC 17.05) 28. A drainage fee for the subject development shall be paid at the rate applicable at the time of Building Permit issuance. The current rate of $13,880 per gross acre is subject to periodic adjustments. This project consists of 1.070 gross acres (including its tributary area portions along the half street frontages) for a total required drainage fee of $14,851. City records indicate the previous use on this property never paid this required fee. Per provisions of the City Municipal Code, this one time fee shall be paid for all subdivisions or development of land. (MC 14.48) 29. The applicable Orange County Sanitation District Capital Facility Capacity Charge shall be paid to the City Department of Public Works. (Ordinance OCSD-40) THE FOLLOWING DEVELOPMENT REQUIREMENTS SHALL BE COMPLETED PRIOR TQ ISSUANCE OF AN ENCROACHMENT PERMIT: 30. Traffic Control Plans, prepared by a Licensed Civil or Traffic Engineer, shall be prepared in accordance with the latest edition of the City of Huntington Beach Construction Traffic Control Plan Preparation Guidelines and submitted for review and approval by the Public Works Department. (Construction Traffic Control Plan Preparation Guidelines) THE FOLLOWING DEVELOPMENT REQUIREMENTS SHALL BE COMPLETED PRIOR TO FILIAL INSPECTION OR OCCUPANCY: 31. Complete all improvements as shown on the approved grading plan. (MC 17.05) 32. All new utilities shall be undergrounded. (MC 17.64) 33. Traffic Impact Fees (TIF) for the development shall be paid at the rate applicable at the time of occupancy. The TIF current rate for this project is $1364.011unit. Fees shall be paid prior to occupancy of the units. (MC 17.65) 34. All applicable Public Works fees shall be paid at the current rate unless otherwise stated, per the Public Works Fee Schedule adopted by the City Council and available on the city web site at httpJ/www.surfcitV-hb.or4/files/users/public works/fee schedule.pdf. (ZSO 240.06/ZSO 250A6) 35. The parcel located at the southeast corner of Gothard Street and Garfield Avenue, and described as Assessor's Parcel Number (APN) 111-150-13, is within the boundaries of the Holly-Seacliff Area of Benefit District as established by Resolution 2002-59 of the City Council of the City of Huntington Beach on June 17, 2002. As of the date of this letter, the total Holly-Seacliff Area of Benefit Charge HB -769- Item 12. - 184 Page 8 of 8 associated with APN 111-150-13 is $20,674.92, This is the current total due if paid on or before June 30, 2016. A new adjusted amount will be calculated on July 1, 2016 and is adjusted annually. 36. Prior to grading or building permit close-out and/or the issuance of a certificate of use or a certificate of occupancy, the applicant shall: a. Demonstrate that all structural Best Management Practices (BMPs) described in the Project WQMP have been constructed and installed in conformance with approved plans and specifications. b. Demonstrate all drainage courses, pipes, gutters, basins, etc. are clean and properly constructed. c. Demonstrate that applicant is prepared to implement all non-structural BMPs described in the Project WQMP. d. Demonstrate that an adequate number of copies of the approved Project WQMP are available for the future occupiers. Item 12. - 185 HB -770- -�J HUNTINGTON BEACH OFFICE OF BUSINESS DEVELOPMENT HUNTINGTON REACH PROJECT IMPLEMENTATION CODE REQUIREMENTS DATE: November 12, 2015 PROJECT NAME: GARFIELD 10 UNIT TOWNHOME PLANNING APPLICATION NO, PLANNING APPLICATION NO. 13-164 ENTITLEMENTS: CONDITIONAL USE PERMIT 13-026; TENTATIVE TRACT MAP 13- 115 DATE OF PLANS: OCTOBER 26, 2015 PROJECT LOCATION: 7262 Garfield Ave, 926 8 (southeast corner at Gothard Street) PLAN REVIEWER: DURAN VILLEGAS TELEPHONE/E-MAIL: x5544 OURAN.VILLEGAS@SURFCITY HB.ORG PROJECT DESCRIPTION: TTM: TO CONSOLIDATE 3 PARCELS TOTALING 0.636 ACRES (27,694 SQ. FT.) INTO ONE LOT FOR CONDOMINIUM PURPOSES. CUP: TO CONSTRUCT 10 TWO-STORY TOWNHOME DWELLINGS. THE ATTACHED UNITS ARE PROPOSED IN 3 BUILDINGS CONTAINING THREE TO FOUR UNITS IN EACH BUILDING. TO ALLOW A 4.9 PERCENT DENSITY BONUS FOR THE CONSTRUCTION OF ONE UNIT (9 UNITS TO 10 UNITS). The following is a list of code requirements deemed applicable to the proposed project based on plans stated above. The list is intended to assist the applicant by identifying requirements which must be satisfied during the various stages of project permitting and implementation. A list of conditions of approval adopted by the Planning Commission in conjunction with the requested enUtlement(s), if any, will also be provided upon final project approval. If you have any questions regarding these requirements, please contact the Plan Reviewer. The Office of Business Development supports the above proposed site development and use. However, the applicant's current draft housing agreement is incomplete and must be amended to meet City requirements. The City Attorney's Office will be preparing a draft Development Agreement that will include a Regulatory Agreement as well as the following requirements: The project is designated as a rental project for Inclusionary/Density Bonus purposes. Inclusionary — 10% of the base units must be restricted to lour income households (9 x 10% = 1 unit) Density Bonus — Requesting a 11% density bonus (10 units instead of 9 units) requires at least 10% of the base units to be restricted to low income households (9 x 10% = 1 unit) H13.771 - Item 12. - 186 Page 2 of 2 v Therefore, one two -bedroom unit will be restricted to law income households for 55 years. This unit vrill fulfill both the Inclusionary and DB requirements. • The affordability restrictions cannot be subordinated to the Applicant's financing, and therefore, will run with the land. ® If the Applicant later decides to convert the project to an ownership project, the restricted unit will be required to be sold to a low income household at a low income sales price, restricted for 45 years. A Development Agreement is required to enforce the Inclusionary Housing Ordinance requirements for a rental project. Item 12. - 187 HB -77?- • �, HUNTINGTON BEACH PLANNING DIVISION HUNTINGTON BEACH PROJECT IMPLEMENTATION CODE REQUIREMENTS DATE: NOVEMBER 20, 2015 PROJECT NAME: GARFIELD 10 UNIT TOWNHOME PLANNING APPLICATION NO. PLANNING APPLICATION NO. 13-164 ENTITLEMENTS: CONDITIONAL USE PERMIT 13-026; TENTATIVE TRACT MAP 13- 115 DATE OF PLANS: OCTOBER 26, 2015 PROJECT LOCATION: 7262 Garfield Ave, 92648 (southeast corner at Gothard Street) PLAN REVIEWER: ETHAN EDWARDS TELEPHONE/E-MAIL: x5561 ETHAN.EDWARDS@SURFCITY-HB.ORG PROJECT DESCRIPTION: TTM: TO CONSOLIDATE 3 PARCELS TOTALING 0.636 ACRES (27,694 SQ. FT.) INTO ONE LOT FOR CONDOMINIUM PURPOSES. CUP: TO CONSTRUCT 10 TWO-STORY TOWNHOME DWELLINGS. THE ATTACHED UNITS ARE PROPOSED IN 3 BUILDINGS CONTAINING THREE TO FOUR UNITS IN EACH BUILDING. TO ALLOW A 4.9 PERCENT DENSITY BONUS FOR THE CONSTRUCTION OF ONE UNIT (9 UNITS TO 10 UNITS). The following is a list of code requirements deemed applicable to the proposed project based on plans stated above. The list is intended to assist the applicant by identifying requirements which must be satisfied during the various stages of project permitting and implementation. A list of conditions of approval adopted by the Planning Commission in conjunction with the requested entitlement(s), if any, will also be provided upon final project approval. If you have any questions regarding these requirements, please contact the Plan Reviewer. 1. Prior to submittal of the final tract parcel map to the Public Works Department for processing and approval, the following shall be required: b. An Affordable Housing Agreement in accord with Section 230.26 of the ZSO. (HBZSO Section 230.26) c. At least 90 days before City Council action on the final map, CC&Rs shall be submitted to the Planning and Building Department and approved by the City Attorney. The CC&Rs shall identify the common driveway access easements, and maintenance of all walls and common landscape areas by the Homeowners' Association. The CC&Rs must be in recordable form prior to recordation of the map. (HBZSO Section 253.12.1-1) HB -77;- Item 12. - 188 Page 2 of 6 d. Final parcel tract map review fees shall be paid, pursuant to the fee schedule adopted by resolution of the City Council (City of Huntington Beach Planning and Building Department Fee Schedule). (HBZSO Section 254.16) e. Park Land In -Lieu Fees shall be paid pursuant to the requirements of HBZSO Section 254.08 — Parkland Dedications. The fees shall be paid and calculated according to a schedule adopted by City Council resolution (City of Huntington Beach Planning and Building Department Fee Schedule). (Ordinance No. 3562, Resolution Nos. 2002-56 and 2002-57) 2. Prior to submittal for building permits, the following shall be completed: a. A minimum of 14 days prior to submittal for building permits, an application for address assignment, along with the corresponding application processing fee and applicable plans (as specified in the address assignment application form), shall be submitted to the Planning and Building Department. (City Specification No. 409) 3. The following conditions shall be completed prior to issuance of a grading permit: a. The final map shall be recorded with the County of Orange. (HBZSO Section 253.22) 4. The following conditions shall be completed prior to issuance of Building Permits: 5. During demolition, grading, site development, and/or construction, the following shall be adhered to: a. All Huntington Beach Zoning and Subdivision Ordinance and Municipal Code requirements including the Noise Ordinance. All activities including truck deliveries associated with construction, grading, remodeling, or repair shall be limited to Monday - Saturday 7:00 AM to 8:00 PM. Such activities are prohibited Sundays and Federal holidays. (HBMC 8.40.090) 6, The Departments of Planning and Building, Public Works and Fire shall be responsible for ensuring compliance with all conditions of approval herein as noted after each condition. The Planning Director and Public Works Director shall be notified in writing if any changes to parcel/tract map are proposed during the plan check process. Permits shall not be issued until the Planning Director and Public Works Director have reviewed and approved the proposed changes for conformance with the intent of the Planning Commission's /Zoning Administrator's action and the conditions herein. If the proposed changes are of a substantial nature, an amendment to the original entitlement reviewed by the Planning Commission /Zoning Administrator may be required pursuant to the HBZSO. (HBZSO Section 241.10) 7. Tentative Tract Map No. 13-115 shall not become effective until the ten calendar day appeal period has elapsed from Planning Commission. (HBZSO Section 251.12) 8. Tentative Tract Map No. 13-115 shall become null and void unless exercised within two (2) years of the date of final approval. An extension of time may be granted by the Director of Planning pursuant to a written request submitted to the Planning Department a minimum 60 days prior to the expiration date. (HBZSO Section 251.14 and 251.16) 9. The (development/subdivision) shall comply with all applicable requirements of the Municipal Code, Planning and Building Department, and Fire Department, as well as all applicable local, State and Federal Codes, Ordinances and standards, except as noted herein. (City Charter, Article V) Item 12. - 189 HB -774- Page 3 of 6 10. Construction shall be limited to Monday — Saturday 7.00 AM to 8:00 PM. Construction shall be prohibited Sundays and Federal holidays. (HBMC 8.40.090) 11. All landscaping shall be maintained in a neat and clean manner, and in conformance with the HBZSO. Prior to removing or replacing any landscaped areas, check with the Departments of Planning and Building, and Public Works for Code requirements. Substantial changes may require approval by the Planning Commission. (HBZSO Section 232.04) CONDITIONAL USE PERMIT NO. 13-026 The site plan, floor plans, and elevations approved by the Planning Commission shall be the conceptually approved design (with the following modifications). a. The site plan shall include all utility apparatus, such as but not limited to, backflow devices and Edison transformers. Utility meters shall be screened from view from public right-of-ways. Electric transformers in a required front or street side yard shall be enclosed in subsurface vaults. Backflow prevention devices shall be not be located in the front yard setback and shall be screened from view. (HBZSO Section 230.76) b. All exterior mechanical equipment shall be screened from view on all sides. Rooftop mechanical equipment shall be setback a minimum of 15 feet from the exterior edges of the building. Equipment to be screened includes, but is not limited to, heating, air conditioning, refrigeration equipment, plumbing lines, ductwork and transformers. Said screening shall be architecturally compatible with the building in terms of materials and colors. If screening is not designed specifically into the building, a rooftop mechanical equipment plan showing proposed screening must be submitted for review and approval with the application for building permit(s). (HBZSO Section 230.76) c. The site plan and elevations shall include the location of all gas meters, water meters, electrical panels, air conditioning units, mailboxes (as approved by the United States Postal Service), and similar items. If located on a building, they shall be architecturally integrated with the design of the building, non -obtrusive, not interfere with sidewalk areas and comply with required setbacks. (HBZSO Section 230.76) d. Bicycle parking facilities shall be provided in accordance with the provisions of HBZSO Section 231.20 — Bicycle Parking. (HBZSO Section 231.20) 3. Prior to issuance of grading permits, the following shall be completed: a. Prior to submittal of a landscape plan, the applicant shall provide a Consulting Arborist report on ail the existing trees. Said report shall quantify, identify, size and analyze the health of the existing trees. The report shall also recommend how the existing trees that are to remain (if any) shall be protected and how far construction/grading shall be kept from the trunk. (Resolution No. 4545) b. A Landscape and Irrigation Plan, prepared by a Licensed Landscape Architect shall be submitted to the Planning and Building Department for review and approval. (HBZSO Section 232.04) HB _77-5_ Item 12. - 190 Page 4 of 6 c. Existing mature trees that are to be removed must be replaced at a 2 for 1 ratio with a 36" box tree or palm equivalent (13'-14' of trunk height for Queen Palms and 8'-9' of brown trunk). (CEQA Categorical Exemption Section 15304) d. "Smart irrigation controllers" and/or other innovative means to reduce the quantity of runoff shall be installed. (HBZSO Section 232.04.D) e. Standard landscape code requirements apply. (HBZSO Chapter 232) All landscape planting, irrigation and maintenance shall comply with the City Arboricultural and Landscape Standards and Specifications. (HBZSO Section 232.04.B) g. Landscaping plans should utilize native, drought -tolerant landscape materials where appropriate and feasible. (HBZSO Section 232.06.A) The Consulting Arborist (approved by the City Landscape Architect) shall review the final landscape tree planting plan and approve in writing the selection and locations proposed for new trees and the protection measures and locations of existing trees to remain. Said Arborist report shall be incorporated onto the Landscape Architect's plans as construction notes and/or construction requirements. The report shall include the Arborist's name, certificate number and the Arborist's wet signature on the final plan. (Resolution-4545) OR A Consulting Arborist (approved by the City Landscape Architect) shall review the final landscape tree -planting plan and approve in writing the selection and locations proposed for new trees. Said Arborist signature shall be incorporated onto the Landsca-pe Architect's plans and shall include the Arborist's name, certificate number and the Arborist's wet signature on the final plan. (Resolution No. 4545) 4. Prior to submittal for building permits, the following shall be completed: a. Residential type structures on the subject property, whether attached or detached, shall be constructed in compliance with the State acoustical standards set forth for units that lie within the 60 CNEL contours of the property. Evidence of compliance shall consist of submittal of an acoustical analysis report and plans, prepared under the supervision of a person experienced in the field of acoustical engineering, with the application for building permit(s). (General Plan Policy N 1.2.1) 5. Prior to issuance of building permits, the following shall be completed: a. A tentative parcel map for condominium purposes shall be submitted and approved pursuant to Title 25 of the Huntington Beach Zoning and Subdivision Ordinance. Said map shall be recorded prior to issuance of a building permit. (HBZSO Chapter 251) b. An Affordable Housing Agreement in accord with Section 230.26 of the ZSO. (HBZSO Section 230.26) 6. During demolition, grading, site development, and/or construction, the following shall be adhered to: a. Existing street tree(s) to be inspected by the City Inspector during removal of concrete and prior to replacement thereof. Tree replacement or root/tree protection, will be specified upon the inspection of the root system. (Resolution No. 4545) Item 12. - 191 1113 -7-76- Page 5of6 b. All Huntington Beach Zoning and Subdivision Ordinance and Municipal Code requirements including the Noise Ordinance. All activities including truck deliveries associated with construction, grading, remodeling, or repair shall be limited to Monday - Saturday 7:00 AM to 8:00 PM. Such activities are prohibited Sundays and Federal holidays. (HBMC 8.40.090) The structure(s) cannot be occupied, the final building permit(s) cannot be approved, and utilities cannot be released for the first residential until the following has been completed: a. Complete all improvements as shown on the approved grading, landscape and improvement plans. (HBMC 17.05) b. All trees shall be maintained or planted in accordance to the requirements of Chapter 232. (HBZSO Chapter 232) c. All landscape irrigation and planting installation shall be certified to be in conformance to the City approved landscape plans by the Landscape Architect of record in written form to the City Landscape Architect. (HBZSO Section 232.04.113) d. An onsite 36" box tree or the palm equivalent shall be provided in the front yard, and a 24" box tree shall be provided in the parkway to meet the Huntington Beach; Zoning and Subdivision Ordinance, the Arboricultural and Landscape Standards and Specifications, and the Municipal Code. (HBZSO Section 232.08, Resolution 4545, HBMC 13.50) e. The provisions of the Water Efficient Landscape Requirements shall be implemented. (HBMC 14.52) 8. The use shall comply with the following: Outdoor storage and display of merchandise, materials, or equipment, including display of merchandise, materials, and equipment for customer pick-up, shall be subject to approval of Conditional Use Permit. (HBZSO Section 230.74) 9. The Development Services Departments (Planning and Building, Fire, Planning and Public Works) shall be responsible for ensuring compliance with all applicable code requirements and conditions of approval. .The Director of Planning and Building may approve minor amendments to plans and/or conditions of approval as appropriate based on changed circumstances, new information or other relevant factors. Any proposed plan/project revisions shall be called out on the plan sets submitted for building permits. Permits shall not be issued until the Development Services Departments have reviewed and approved the proposed changes for conformance with the intent of the Planning Commission's action. If the proposed changes are of a substantial nature, an amendment to the original entitlement reviewed by the Planning Commission /Zoning Administrator may be required pursuant to the provisions of HBZSO Section 241.18. (HBZSO Section 241.18) 10. CUP 13-026 shall become null and void unless exercised within one year of the date of final approval, or as modified by condition of approval. An extension of time may be granted by the Director pursuant to a written request submitted to the Planning Department a minimum 30 days prior to the expiration date. (HBZSO Section 241.16.A) 11. CUP 13-026 shall not become effective until the appeal period following the approval of the entitlement has elapsed. (HBZSO Section 241.14) HB -777- Item 12. - 192 Page 6 of 6 12. The Planning Commission reserves the right to revoke CUP 13-026 pursuant to a public hearing for revocation, if any violation of the conditions of approval, Huntington Beach Zoning and Subdivision Ordinance or Municipal Code occurs. (HBZSO Section 241.16.D) 13. The project shall comply with all applicable requirements of the Municipal Code, Planning and Building Department and Fire Department, as well as applicable local, State and Federal Fire Codes, Ordinances, and standards, except as noted herein. (City Charter, Article V) 14. Construction shall be limited to Monday — Saturday 7:00 AM to 8:00 PM. Construction shall be prohibited Sundays and Federal holidays. (HBMC 8.40.090) 15. All landscaping shall be maintained in a neat and clean manner, and in conformance with the HBZSO. Prior to removing or replacing any landscaped areas, check with the Departments of Planning and Building, and Public Works for Code requirements. Substantial changes may require approval by the Planning Commission (Zoning Administrator). (HBZSO Section 232.04) 16. All permanent, temporary, or promotional signs shall conform to Chapter 233 of the HBZSO. Prior to installing any new signs, changing sign faces, or installing promotional signs, applicable permit(s) shall be obtained from the Planning and Building Department. Violations of this ordinance requirement may result in permit revocation, recovery of code enforcement costs, and removal of installed signs. (HBZSO Chapter 233) Item 12. - 193 HB -778- HB -779- Item 12. - 194 N � C O U N a � a_ O1 v c ' R � � O Ir U m U ti m S � � m C W $ a a m U— ❑ 0. L E o E m c 0- n o c N N m R R IO Co C o. — O — Z a7 Z Z a Z z W LU F- d d ¢ xx C Q Q Q!U z z z a z? a0 0-1 D �Lil Z ir O o U N o m o`J D Eaa o m o c o v o we v v o m = W zJ °- C C j N .nm a_a a, a aCL F L°¢ O. a_ am ¢ IL v,Oa a a_ 0 — — Q F"� N ,'�c�ad N = C O 7Z U C _75 _ N U 3 m c o m m N a E° r U n v m CC ° � m C N V � U 0 � � � � m N � O ❑c ❑ � � N oeNcl W d) o° m E =° a ' bR o NG LC€m f a Wo m—mEm aoact . ac. O g �U h _ E o n CAms W m.S2 9m`di N n Mu o�a v a iO 6 y r `° G¢7 a m L^ TTs,S.. v N mE5maio m m H m N N N C- 0 U yLL, 0! U t� L OI O U N c 0G �C rp L pr OI N m rn g m L co C `r =yyynrrr' a C N �mUa� �' v7 m° N UaNfl O J O m a 7�� b C _� oji pm�I c a a° m Eor o f L E v o, p m a° m al u A —mc ii m o E r� � _$' Ed m `m e m t o' a Ec j o m° a aci i m �i E c c m t c_' > ma E o a_ d U is O :ll °' m L N U C W m o. m -- Em — ° D J N U R G 'O S N R m— C a1 �¢E aB�ct °c a. �,-�, SO al N❑g tea. govv�3'o,�, �_oII ��jarQ' °- u O r•r < � m n m J J J J J J Item 12. - 195 FIB -780- C � - m > G C 44 mph S 3 m a❑ Nz .om� � 2� y9 mw m c o 2 e C a U E E c 2 Z O m s U m < r o Z o 0 W � � N V Lj w O w O d X X Z Z Z Z Z Z XX X O O a m m ATw m n U° QLU arnaga N¢d°' c mma aLL c a�¢ 4N¢a w n'-a°-_m'a E E o x c E'v f E U s 2 Lm m Y it 4Bi O Q 3 iE E 3 t U 'm t �_ c m m Fa a L �3 o v m g m umEm a>.t ommur n c m .0 �mob' D n F Sn' c LLi v x t i a u �v ��'8'�� mn E e F`• 60 ;;s� �� L°` �Z mo iS ���,$-m' m uai m � S'P C W m m S_7 nS .� d n �Sl n`= $I!, O Wm U� N w w < < 17 w < 7 ¢ � Iw a m w ¢ ti w < 7 a:a w N w Fl a:' w NZ HB -781- Item 12. - 196 {1 N m m � D UUm H fn A C o U W U C v C C 'O DC E U P' I- tam Q E u o mS �vs cLt Ua ` N s m c� FEW; � N w r � n m a W O J a 00 O w O f- o m e a c v € `o F E o . O W _ d w m Q O R. m G 2fy 0 a uaQ c cF n m o m 03 E m m E o a c LE? t ft if c m 2 3 1. a. tilt$ wsUO 1 is E t'b t 3 m j t K c. m m q E o E Lrn a `I E� b t ' M G_ D= L ma 'o f A s° c a m o c O a U UU m °Vm4 w °= m v�i °� —nn EDm a° v w U m U' 2 m�d rn m C V V m _C 7 v 2 C r S° pKj F�m; Cv � m E fn o �Dm-ucC a �occ Tv DL mastmllbhl 3 L G.� 199 ¢ m cmmm � m �� _ m=v OUST T cpi.��t �RX1 ; G �u'—.n EL Ew99 a'e cpa s o° n E rvw— � u C 3 c 1 u uu C Q s m= _� y 'm m m_� a c 0 C o 2 C m U 1 v w m E N -C u..t2 »- L ffi 5 'm Z. € a o f Ro5� A D elf, my S.S -got tummy 02 �-� �nnqq= El �^� u3 °cwom°i Mgt nm,co L LO R.VD� x Sh 'a 2 417: W W 2 S Item On - 197 H B -782- W K y W R' W W ZU Q a 0 O U IL FO Z W W� F- a r m m m O o � s a s � R C m 2 Q S' fL a m n a= m n m a c m c � a = m m 0 a o m n E Z W m m N T 0 n U W X Q 4 Q a X Z Z Z Z z � 00 Zo W Et0Js O v oofa= 0C- a maa'6aaNaca` � < a` m Via. a C t to E c 53 rG �apCJ� Co-0 DnO CQ I� W ay� vm W w oYoac a `&im om 6 .a a N'� offic�.o v 3 o in $U Soo E o�rm$�=�FsIr �m $=oog�az_ a a c dU L m Yv E �m -- y �L$ Q r a c H v FHB -783- Item 12. - 198 F W K N Q W ut z 3 W U z 6 J a O U LL z z W W F Q F N 0 o � c E g w = D d O � a m L � m z m z w n Z Z m m u c E L a � F F m � m c � m d V C m O - - a - z W m m VW X z M a z? 00 D D U W cc0 Ma C a � 2a`.maQ G� m a`_ ma M m m `o m m Y m a 75 o _om �o 5 ma t o m aoa Et �1W nv<m ma v .n m v m �0 E 6_ 2 t A �72 m E m°'Qe asGO �, E vl$�—� m D $Ei �Woma a� < — d o' m o=�:2 4 m irn .c v o m U a t- m a C m w ¢ E r n r5 a g Q 6$ m a o c Q y N m n o ct N m r yr cn �r W — m S m WjS < N Z5 = r a Cf z ^' E E <E ul cw CD C1 ivy 0 W m U K m v K 0 Z F Item 12. - 199 HB -784- v n 2+ z o x� a c m a = A a o D a a i a a n pr o� �r OU J Z 2 a Z � 00 C9 a w Z 2 2 a ro M c c a��4 c B n a� Q�� o c o U Q D a a a 0.y Q0. ¢Q'0.C7a 0LU m 5 m o v u v F,i c .. m e g o m 3 m o E cn m o 73 Mo am Ea€ �2��cE� c`NL� °'f=�—�'•� m o Fi n U �z c o E ' 19 c Q u.? m }d— rn Ba u nQ m m EaU c� ra1°F- 2 m rn Z = O w o ro r m m m W K Q HB -785- Item 12. - 200 9 L O o a „a IL m _ k a v � n a m € w C E Z m rn t m n a n W m EL u m � o w m z n U r i c nr a c mEOG L-M.' W O u~a J U a 00' c9 � W � Z D U m m Di Q cr z 01 O W C J° 9 Oi OI j D L O 7 79 v _ a m m g .$. = c Ev E n oa p 2 U ��= c'i c '< dr. m C° n��3�� O79 W mmcon Lcmuc Evcna� �N"m mt fN cma;Edr mQ10 �� g'mcoq Z r_oo�n g 9 z$ Etc 'Dn'°%�`�oNpm rsq m o J2 b RR 4 m D m5 8v i o m z7E c n s E E nv c'o U_ vnc°�r m a N rv� E m m E c= N n° m r o m" m= o i m td € g t y c° o` m -^ m L" c — o 'o m n m c S z rn D 3 rn- m o m€= E c 8' t N nm c o m sp U� m mg t Xri E n E r 6� fin' Pp`i a' 6 m ` E '$ n t �p W o m EO a; m u m a`w=ai sF a` Ws S. c $ z 1 Wm 16, z C7 Q Z IZ Item 12. - 201 HB -786- m c a m � Yc C1 �J L m U m n j m Z mL c m € � n m a a o E ] m m ° C � m O 3 a � m - U C - - _. dM - o � - ' S m m- ID o Z Z 0 Z 0 y 4 J O L 1 ¢ Q Q ZZ OJ Y XX X xx X J [i J m n z o n m a a U a~ ^ m Q o3 IL 0 a a a j° C �� O m 9 g n72 z o m v a N a m v m ._. ° n a L_°mz'cTin m rn z v n 'm-o3^�mm rnn n m2 pi m '� L .'. $� a c a �2�__�o 3 0 a m L o E o o n = a o a E L rn $ E_. g� eoa'�sp�a E �Fm�n'&m --° s m $ E p V E 6 E O n E a E c g d Z 3 Q r c r o c ¢ E ZY OL 9 m m m r w� Z - hz HB -787- Item 12. - 202 S -K C 9 D ° p E U d ED U w N p C rn2 b:t iZ ro `ov � � 2 cS O �S a o tea' m m o F a c v m E g r c. a U a E E 0 _ L L $= n� $ n u N m m c c c c 0 -_ U O 0 m 0 m C N S U o,m - AID al "9 �m - m d 'Yj N � an d U c1 Q L• ol z '� .neZ ¢in a¢coCL ¢ma w N 1- 0 a r 0 w 4 Z G IL 00 c� w jD� O L CL ILcL vci a_4 a� ¢a_"'�aNQa•�¢ h IO m z z 9 s u v P a o o U rn u c E° m q ul E �y a. 0 FaCQQmvT m° g9 LDm i11 Eira E rn -- na K9 EIF� �o z gm m� o i c .0 6$ N m c c ° m U z O O z z O z O z O z O z OJ U' OJ uwi . Item 12. - 203 FIB -788- 1� fA W 2 I- w U Z a Ja 2 0 O z z m i m a r to a � E m m K o� w v ae a m z E mpm� mEm 59 �° aE Cvz� O N m (!J W IL v OI < E U m E U ❑ m IL n U t�i a S Z X X X X 2 Z 00 C7 K F- C7 vFFi o m a mF n C C qua �a CDma r 6 - m a y m m v a - a w m E m> O o gg _ n v u e o m a J E v e Si `- 7 v r `. o E m` c o z m ZEi OR O m ovv8i �mm�at 1'v on ov E �m u o$ $' rd j 7 m �� ` a r py-!' N� m �c L a F j� ? ^ct 4t O -ja Eo a� FS ^ 4 v e m o m E 3 u v m v v 9 Fa m F m a��� B' o` m . m a_ m a m Jm o_ cm %`a q� L c& U e .� `o v' U m H'S n ❑ �-� �' _ z� D uJ Im m N mz HB -789- Item 12. - 204 w cr W S F Ul U z ¢ J a U U O r Z W 2 W r r <q z �- Z ` W m� a 0 U m E n m 6 O m O $ U c m— m m 0 � 0 z w r 0 Lu W 2 ¢ C ¢ z Z Z ¢ Z Z a LZ 00 0 r Zw Z —< CCO m m ° �� c— rn c U) O = O O o @ E E m m o `m gg F-- W 7 n 3 pg o t $ ai' "d o m C �i o >. E 'o_ ` n E v r6 E g ,aC �a m O Ol ? N C m 0 : m R O rnE— L.. rnSauuBo�'��r'�mmN�o m 0 n U C g L- to�$m��mu`-�o'�,2! � m �' C O m - a Z � E _E �� 3m c y= F EF p m � 10 o v o =� 5 m @ � m o ..FF m n c o E q a E a m m w E m E= _c�giY'ocE-appa���n��mn�. a'aoEm m mLp~€Bv E� o WE c .�. a o T-i E��E� a !=_ E m m n= o m¢ 'i ¢ o m D rn �_ Zo ma7 �.n �ULEI= m m m tq n L? p.�... C g �' n m r •1 ^ v C 27 N�O�CN Cm.S m q°' ¢ a 0 11 c t O W w d^ E v_ e E u. n U' U S$ 3 Ent- a E¢ o O O E 'o .. 2 Ot n' _ m Z U O U U Item 12. - 205 BB -790- W 7 N a W .z C W T r W U a J a Q U W C Z W 2 W r a �Z w m� C U E m E v a o a a m m j p d R O Z U_ N O w r ¢ Q �P¢ D lu IL Z ¢ Z _¢ Z Z cZ co O cr w z !L O N �za 2 g�omro c= �°a rnma n6�aaa aa ° ZOm a �a_[7 o_O O O °- 26-`m Qdw G (i u7 ¢ d_m 9 � m pf gg„ 1] c N O p C Q @� v p E` E (2 ° ZC� o a rn =o m N m m m E mm o g L a E. m W .c `off D AT. S o 3 v o 3 ¢.�AS�_o. m °� w y t � �p 0 2- m o{ r+ E Ea "roc y _0 L o $ �— o m 8i t c a d z m u m 3�� m E 3 �� E `o v pc 0 3 m m m c 5 bj � _" .. U ° m � n = 3 c ulc � n E.mac o `'3 m m_ C L m O L ^ `� L cL > m m m m m E m E m r nv¢ C E � � � � a�v o Ci 3�i E3a ��r L p U N p t p zcr IO wm u+ UL` T � 6 LY 6 2 U U U U U U m m m m f1B -791- Item 12. - 206 w ¢ SY f- w U z c a U U. O z z w LU w F- F- N s n c m m n S N � U 8P 47 r mLU m m U E E c z o E E 3 0 0 �- a ^ a m - d m m R C G R a m m a E m V ° o Z u Z Z ° n m w a O ¢ ¢ Z a 2 a 2 a 2 U � a 00 X O K 7 S C7 Z ¢ O o m m o m= m s c o E o m a o S n a H o o c - ( J o c a C_= m Daa C7 o a `D o o a o c d m c Q-H�¢ dam o q m uyaQ OZJ o'. , — m v m v c c m �t�.c 5 n c n O m x v o m 3=' o c v N L m L_ IE y m o U tm R ZOn� C @ 2 m °� m o TO E E° 3 v m m s. U .r a a D0° m C u n U of m 6 O g m a o o N L N pm q ��c���mGD6 Yim�'�TC O�FJ' C7 R v In E RCS 3 =W�ja CCCCk w` m a m E8 �1-v Br m o minU a EmU 0 w11 O'm-m° a s E�i u z¢ D llf �m m h m N u� m m n m m Z p Item 12. - 207 FIB -792- m a ° m i L P ° m y C 2 y � n rZ L �- 0- � m ° Ln c ° n m p 4 3 mt� ) E m _ w E- n a 00'tF 0 XX X Q O 1- 1'W �m'a _ ° a� U¢ ~ O ac= m'a ate¢ rr c c 20 Z) E a s` 8' 2-3 o 3 u n m� a @ c a�M 70c `4Q s me n�a°,om camg o-�e �T rnEm'v c��'5 Sp 47 -!- ¢a�"r=m�van01.m. n0nw�o¢�-E�-��3� aEo 2 � O�- W N 17 O •q m iy=0 O O O O IA B -793- Item 12. - 208 LU cr U3 w S r LL( Z Q iL a 0 U O Z W 2 W r r N m c c a D- n m c 3 N Z G O U g v m 3 a v v c .. m � � a t C n` a Ep E m c t W F- ¢ W U u U all Z Z !O U T X X � X X O W Ir O o m —° c+ m a g e o o b€ c o g E c O W a m i�d a= C7 a a= c7a - m E g c ° s m a s m — �i _Ei a N p N E t y y y N L 16 E E 3 m m � LO y E s m _m u E¢ E v m m p y0 €@ a n�t- z� O W ^ m N C1 U E W U = S N Z Item 12. - 209 erg -794- o - a m m m s z � � I Ot m m N - m m jrn- � Z aer o 0 'pD ` v LL` m m U E c O¢ E• aOa � "' mo m � vE m c a mTv m e c n c » d m rn Um a C m E C L O m L cZ z c UU W F- O l� O tri a a I a U �z a Z Z 00 w Z Z 8 m d u m m p c rn m m a m u p m m _ p m m a ao 4 p E a w p 8 E S n 3 u O w a'pma c m=€ m CL a- a eC7�p rn m O a m amOa a= m m .',va m rn �a m r m m - m L _ Ln m E zz E Em-° - BE g v w e 5 o` m$ o `�-° m C m S n u Em - Q o p m@ a .5 c a �c 2, -�' o m c a o yY v m vl v y N O m o aS c aaU a E "a 'poz e' c o. m 3 E o t e' �mv uv �mm_ 'c m Ti c= c o a$= m uE a m _ ooN,caN c �a'-U -arE'a ice �$DS ry o m�i v.o a L°�im❑ per, m VVVp a� - E= gc = r ,n C� 4 uo .r E yc c m u tm.� m c o$ r C 'J kk C .� o �_ m b S .W� C L = 10 n > 4 3 'c 0 'n c .¢¢: L U OC > y a �� � t .2<�n m °�U o Ow yO m2 3 Ezw v $¢P - m �' c� o` acr i<'a a w u< F-- 3 3 z5 O m N ID A m A 7 7 U= S 2 S S = co 6. N m a a HB -795- Item 12. - 210 W 2 W W U z a. 1 0 0 U LL F z W 2 W F- 6 r m 3 � p E m @ c y Q a V •.mj L r O� r:2 mC i V s c m o u m E' Q u— D ❑� lLJ m $ a O L N m m m v E E na m c c c �L y- w o, Eat yt 6Zm mm.0 "s an _ m p c72 § a s$ n h = n m o ° maul m �a'm a t = of E m o c a c a m p w m m a= o n m m 8 o 3 3 m �0 1=gym :3 _ 8 c e cr' ❑it W G m o y N c m m a o m 0 _Q N a C) 0 it CD W K O o y v$ ao m€ o a€i o m m: p m aCL ZLu a �v0 a` o,ma p- a oQ u, a' ❑- -s -s - r �� m m m Em m c 5u.cr a c H t S 75 w L m A o 3 3 UJ m j Me 'p' pp -�d Eo m S 2`a m a �o "' m @ m � Do -62 q'a oeE 0cmt rn�� ut E$ �E �S L� cR5 - ao u �� �T E R� E m L _ E m me 2 if C ns .a'o aci Qmm^9omwavL�t..m• IL P C F b�Fc-L m s E wR n z g m _ U ui N Z Item 12. - 211 t B -796- W in W W U 6 J a 2 U U- O f-. Z m w� F- Q F� to U a o U U c m m v D U lJLU m m c 5 co m y Z p g y ba U m m w (q In ° rN� C > c > c E c m m 19� a L Q aII ps E a T p [E- t O O D Q K Q Fn- 103 W t' n � p o� wF O tll a Z Z O O C� XX xx XX xx xx C-1 w O Q o v E `O a o m U p o m p c€ g am U O R. U m o m a m U �' a— .d U m m o b a o Q~7 O-` O` C an aa m��¢ C 2 arpQa�o¢a o` i ama D�apa�c°- o� m -s m T9 n p W c pCiL g a d E o am�T 6 �p E-- UenE �E a ff o w 'm a L— - a79p O m v m a E c m e Em E m m n a1 r t E a m inUcin 2D=aim n D� Ea.uo g g ¢o °m c¢O ¢ m m m1-a0 ¢m UQB ~ m LL LL LL LL tA. HB -797- Item 12. - 212 C ❑ m m U � n r $ m y- m w n m C GG �C IL a $ m o c. r � m - 2, w Q ❑ C W U 2 � IG Z O 7 x x X x X X w M O OZ� g m a N a a c9 d d� 0..'m'aa,�a Eat? do- �ma.dEG 7 p n 0 C C m p C u d ji d p U 3 m u ? m t 'p • U C p r V L C G 12 w� a Z,g�uS'S c H E rn 2 ❑- c �^ a c E `m m- z m s sr Es.m< �mUv' g❑ v �° o_� ter- C�9 7 U 2 � NtOU m °¢R n'w F- vv � o� m w Z 3 3 3 Item 12. - 213 H B - i98- w Q w S F w O 2 g IL f 0 U O z Z uj w F Q F (A A ., a a m m- - s d = E � c d O 4 U O m b e F c O C = c c y m m T a ¢ U O n — C C C F- m W Em a a s ¢ a)Z Q W Z 0 1L-- w O v v ui U a 00 0 5 5 °w QO OF C m OV9Q O C a Oj640t O m OCa D m y DCOl O1 C m m �CaO O CI NF q�C O V OCa UuI' a c - ❑ m ° m - o m - - E m mm W C L_ W 3 N C D U UO OCI O > C m Q U V N C C C a m m b- O e a 3 E m :a Z 1-2- m m k m m t a Z.2 c o mac' c? c w0rnmc oil -ins �...�gaaa� nO�a S'L ��u� E 5� nZ `o❑v� rv¢9 ❑O �w zo IQ W m m �U_ Uu_ v7 V/ u_ U7 u .. N N iq v7 N Z IAB - 99- Item 12. - 214 T Huntington Beach Planning Commission 2000 MAIN STREET CALIFORNIA 92648 NOTICE OF ACTION October 12, 2016 Ed Bonanni 5500 Bolsa Avenue, Suite 120 Huntington Beach CA 92649 SUBJECT: TENTATIVE TRACT MAP NO. 17661/ CONDITIONAL USE PERMIT NO. 13- 026/ DEVELOPMENT AGREEMENT NO. 16-002 (GARFIELD CONDOMINIUMS) APPLICANT: Ed Bonanni, 5500 Bolsa Avenue, Suite 120, Huntington Beach CA, 92649 PROPERTY OWNERS: YMCA of Orange County, Jeff McBride, 13821 Newport Avenue, Suite 200, Tustin CA 92780 City of Huntington Beach, Kellee Fritzal, 2000 Main Street, Huntington Beach CA 92648 REQUEST: CUP: To develop an existing approximately 0.636 net acre site with 10 for -sale townhome units and associated infrastructure consisting of: a) a density bonus for one additional unit above the base density. TTM: To consolidate three parcels into one lot for condominium purposes in order to develop 10 for -sale attached townhome units. DA: To enter into a development agreement to address affordable housing provisions. LOCATION: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) DATE OF ACTION: October 11, 2016 On Tuesday, October 11, 2016, the Huntington Beach Planning Commission took action on your application, and your application was approved with findings and modified conditions of approval. Attached to this letter are the findings and conditions of approval. Please be advised that the Planning Commission reviews the conceptual plan as a basic request for entitlement of the use applied for and there may be additional requirements prior to commencement of the project. It is recommended that you immediately pursue completion of the conditions of approval and address all requirements of the Huntington Beach Zoning and Subdivision Ordinance in order to expedite the processing/completion of your total application. The conceptual plan should not be construed as a precise plan, reflecting conformance to all Zoning and Subdivision Ordinance requirements. Item 12. - 215 5271 Fax HB -S& 40 www,surfcity-hb,org Notice of Action: CUP 13-026/TTM 17661/ DA 16-002 October 12, 2016 Page 2 Under the provisions of the Huntington Beach Zoning and Subdivision Ordinance, the action taken by the Planning Commission becomes final at the expiration of the appeal period. A person desiring to appeal the decision shall file a written notice of appeal to the City Clerk within ten (10) calendar days of the date of the Planning Commission's action. The notice of appeal shall include the name and address of the appellant, the decision being appealed, and the grounds for the appeal Said appeal must be accompanied by a filing fee of One Thousand, Seven Hundred Sixty -Three Dollars ($1,763.00) if the appeal is filed by a single family dwelling property owner appealing the decision on his own property and Three Thousand, Three Eighty - Three Dollars ($3,383.00) if the appeal is filed by any other party. In your case, the last day for filing an appeal and paying the filing fee is October 21 2016 at 5:00PIVI. Provisions of the Huntington Beach Zoning and Subdivision Ordinance are such that any application becomes null and void one (1) year after final approval, or at an alternative time specified as a condition of approval, unless actual construction has started. "Excepting those actions commenced pursuant the California Environmental Quality Act, you are hereby notified that you have 90 days to protest the imposition of the fees described in this Notice of Action. If you fail to file a written protest regarding any of the fees contained in this Notice, you will be legally barred from later challenging such action pursuant to Government Code §66020." If you have any questions, please contact John Ramirez, the project planner, at John. Ramirez@surfcity-hb.org or (714) 374-1684 or the Community Development Department Zoning Counter at (714) 536-5271. Sincerely, Scott Hess, Secretary Planning Commission By: Jars Jame fanning Manager SH:JJ:JR:kdc Attachment: Findings and Conditions of Approval — CUP No. 13-026, TTM No, 17661, DA No. 16-002 c: Honorable Mayor and City Council Chair and Planning Commission Fred A. Wilson, City Manager Scott Hess, Director of Community Development Bill Reardon, Division Chief/Fire Marshal Paul D'Alessandro, Assistant City Attorney Debbie DeBow, Principal Civil Engineer Mark Carnahan, Building Manager Project Planner Property Owner Project File FIB -801- Item 12. - 216 FINDINGS AND CONDITIONS OF APPROVAL TENTATIVE TRACT MAP NO. 17661 CONDITIONAL USE PERMIT NO. 13-026 DEVELOPMENT AGREEMENT NO. 16-002 FINDINGS FOR PROJECTS EXEMPT FROM CEQA: The Planning Commission finds that the proposed project is covered by Holly-Seacliff Specific Plan Final Environmental Impact Report No. 89-1, which was adopted by the City of Huntington Beach on January 8, 1990. The proposed consolidation of three parcels for a one -lot subdivision on an approximately 0.636 net acre site and construction of 10 for -sale townhome condominium units with a density bonus request, along with associated open space and infrastructure is subject to compliance with the adopted mitigation measures contained in the Final Environmental Impact Report No. 89-1. Staff has reviewed the proposed project for compliance and has determined the project is consistent with the adopted mitigation measures contained in the Final EIR. FINDINGS FOR APPROVAL - TENTATIVE TRACT MAP NO. 17661: Tentative Tract Map No. 17661 for a one lot condominium subdivision on approximately 0.636 acres for development of 10 attached townhome units is consistent with the intent of the General Plan Land Use Element designation of Residential Medium Density, and other applicable provisions of the HBZSO code. 2. The site is physically suitable for the type and density of development. The size, depth, frontage, street width and other design features of the proposed subdivision are in compliance with the HBZSO code. The project site is able to accommodate the type of development proposed. The proposed subdivision will result in a density of 15.76 units per acre, which is allowed in accordance with State Density Bonus Law and as part of the request for this property designated Residential Medium Density land use designation. The proposed density would be compatible with surrounding multi -family developments. 3. The design of the subdivision or the proposed improvements will not cause serious health problems or substantial environmental damage or substantially and avoidably injure fish or wildlife or their habitat. The project site is surrounded by residential development, vacant property, light industrial uses and paved roads. The site does not contain any natural open space or any significant biological resources. 4. The design of the subdivision or the type of improvements will not conflict with easements, acquired by the public at large, for access through or use of, property within the proposed subdivision unless alternative easements, for access or for use, will be provided. The subdivision will provide all necessary easements and will not affect any existing easements. FINDINGS FOR APPROVAL - CONDITIONAL USE PERMIT NO. 13-026: Conditional Use Permit No. 13-026 for the development of 10 attached for -sale residential units and associated infrastructure and site improvements, including a density bonus request of one unit, will not be detrimental to the general welfare of persons working or residing in the vicinity or detrimental to the value of the property and improvements in the 6\10-11-16 CUP 13-026/ TTM 176611 DA 16-002 Attachment 1.1 Item 12. - 217 HB -802- neighborhood. The project will provide one unit for families or households of low income for a period of 55 years. Initially the development will be held in single ownership by the developer for an unspecified time period and each of the condominium units will function as rental housing. At some future time, the developer may sell some or all of the units as individual ownership units. The affordable unit will be provided while being held as a rental unit and when it is ultimately sold for home ownership. The project will improve the existing underutilized parcels of land with a development consistent with the underlying General Plan land use and zoning designations. The proposed residential use is similar to those existing uses in the vicinity. The project will not result in any adverse or significant environmental impacts including traffic, noise, lighting, aesthetics, and hazardous materials. The project will be consistent in massing and scale to adjacent residential uses. Proposed improvements include enhanced landscaping, decorative paving, and quality architectural design throughout the site. Furthermore, the layout of the site improves the visual surroundings by providing efficient drive aisles for vehicular access, and minimizing the visibility of parking garages and parking spaces from the street. 2. The conditional use permit will be compatible with surrounding residential uses in terms of setbacks, onsite parking, lot coverage, and allowable building height. Architectural design is composed of the traditional mid-century minimal style consisting of stucco exterior, tile roof, varied offsets and rooflines, and decorative balcony railings. Enhanced landscaping along the site perimeter and within the common open space courtyards will create visual interest and improve the visual image of the community. The project includes two and three story buildings that are compatible with surrounding developments and proportionally relate to the overall mass and scale of the neighborhood. The proposed project is in conformance with applicable code requirements and has been designed to be compatible with existing uses in the vicinity. The project's building scale, architecture, site layout and color palette will complement the surrounding developments. 3. The proposed project will comply with the provisions of the HSSP and other applicable provisions in Titles 20-25 of the Huntington Beach Zoning and Subdivision Ordinance. The project complies with the development standards in terms of minimum onsite parking, height, setbacks, and lot coverage. Adequate vehicular and pedestrian circulation is provided for convenient access throughout the project. 4. The proposed project, which includes a density bonus, complies with all provisions of the Code. Given the minimal nature of the density bonus being requested, the project will not be detrimental the welfare of persons working or residing in the vicinity. Additionally, the project, inclusive of the density bonus, can be adequately served by local utility systems (water, sewer, storm drain) and will not have a significant or adverse impact on traffic volume, school enrollment or recreational resources in the area. As designed, the project is compatible with the physical character of the surrounding area and the intent of the General Plan. 5. The granting of the conditional use permit will not adversely affect the General Plan. It is consistent with the intent of General Plan Land Use Element designation of Residential Medium Density. In addition, it is consistent with the following goals, objectives, and policies of the General Plan: A. Land Use Element G: MNOA116110-11-16 CUP 13-026/ TTM 176611 DA 16-002 HB -803- Attach---- " - Item 12. - 218 Objective LU 1.1: Provide for the timing of residential, commercial, and industrial development coincident with the availability of adequate market demand to ensure economic vitality. Objective LU 8.1: Maintain the pattern of existing land uses while providing opportunities for the evolution, including intensification and re -use, of selected subareas in order to improve their character and identity. Goal LU 9: Achieve the development of a range of housing units that provides for the diverse economic, physical, and social needs of existing and future residents of Huntington Beach. Objective LU 9.3: Provide for the development of new residential subdivisions and projects that incorporate a diversity of uses and are configured to establish a distinct sense of neighborhood and identity. Policy LU 9.2.1: Require that all new residential development within existing residential neighborhoods (i.e., infill) be compatible with existing structures. The proposed project will improve an underutilized and partially vacant property by allowing the development of residential uses within close proximity to compatible uses. The residential project will implement the residential land use category appropriate for the site's General Plan land use designation and establish a development consistent with the size, scale, mass and pattern of existing development in the area. The surrounding residential uses will benefit with the introduction of newly constructed housing in the neighborhood as the existing temporary structures on site will be removed. The development will provide new housing stock in the area and will potentially attract first-time homebuyers by providing an expanded opportunity for ownership in the area. B. Urban Design Element Goal UD 1: Enhance the visual image of the City of Huntington Beach. Objective UD 1.1: Identify and reinforce a distinctive architectural and environmental image for each district in Huntington Beach. The project will enhance the character of the neighborhood and improve property values. The proposed buildings will be compatible with existing development at similar heights and massing and incorporate a traditional architectural palette into the area, providing interest and high -quality design to the streetscape. Common open space within the project combined with enhanced landscaping will create visual interest from the frontages along Gothard Street and Garfield Avenue. Garages and open parking spaces are primarily located facing away from the street frontages. A decorative paving treatment frames the drive aisle entry to the site and creates visual interest for the access into the site. C. Housing Element Policy 3.1: Encourage the production of housing that meets all economic segments of the community, including lower, moderate, and upper income households, to maintain a balanced community. ^ 6\10-11-16 CUP 13-026/ TTM 176611 DA 16-002 Attachment 1.3 Item 12. - 219 1413 -804- Policy 3.2: Utilize the City's Inclusionary Housing Ordinance as a tool to integrate affordable units within market rate developments. Continue to prioritize the construction of affordable units on - site, with provision of units off -site or payment of an in -lieu housing fee as a less preferred alternative. Policy 3.3: Facilitate the development of affordable housing through regulatory incentives and concessions, and/or financial assistance, with funding priority to projects that include extremely low income units. Proactively seek out new models and approaches in the provision of affordable housing. Policy 4.1: Support the use of density bonuses and other incentives, such as fee deferrals/waivers and parking reductions, to offset or reduce the costs of developing affordable housing while ensuring that potential impacts are addressed. Policy 6.1: Implement the City's Green Building Program to ensure new development is energy and water efficient. The project consists of 10 residential units, which contributes to the City's housing stock. The project includes a request for a density bonus for one additional unit in exchange for affordable housing as allowed by State Law and the HBZSO. As part of the request for a density bonus, the applicant is entering into a Development Agreement with the City to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years. The development request as proposed is consistent with the intent of the policies identified above. As such, the project will contribute to the City's overall housing goals. Additionally, sustainable features and construction practices will be incorporated in the project including energy -efficient lighting, water efficient plumbing fixtures and recycling of construction waste. FINDING FOR APPROVAL — DEVELOPMENT AGREEMENT NO. 16-002 The development agreement is consistent with the General Plan and Holly-Seacliff Specific Plan. Development Agreement No. 16-002 provides for provision one of the 10 units within the development as an affordable unit for persons/families of low income for a period of 55 years and restricts the affordability period on this unit as both a rental unit (held as a rental unit by the developer) and as a condominium unit (sold for ownership at some future time). The proposed development complies with the HSSP and was found to conform to the goals and policies of the General Plan. The development agreement ensures the construction of one affordable housing unit within the project in accordance with the provisions of the Specific Plan for a 55 year period, as well as make an in lieu payment for the remaining increment to fulfill the affordable housing requirement within the HSSP. The development agreement is consistent with the following General Plan goals and polices. A. Housing Element Goal H 2: Provide adequate housing sites to accommodate regional housing needs. Goal H 3: Assist in development of affordable housing. GAPMNOA116110-11-16 CUP 13-026/ T M 17661/ DA 16-002 HB -805- Attachr---° " " Item 12. - 220 Policy H 3.1: Encourage the production of housing that meets all economic segments of the community, including lower, moderate, and upper income households, to maintain a balanced community. B. Land Use Element Goal LU 4: Achieve and maintain high quality architecture, landscape, and public open spaces in the City. Goal LU 4.2.4: Require that all development be designed to provide adequate space for access, parking, supporting functions, open space, and other pertinent elements. Goal LU 7: Achieve a diversity of land uses that sustain the City's economic viability, while maintaining the City's environmental resources and scale and character. Goal LU 8: Achieve a pattern of land uses that preserves, enhances, and establishes a distinct identity for the City's neighborhoods, corridors, and centers. Goal LU 9: Achieve the development of a range of housing units that provides for the diverse economic, physical, and social needs of existing and future residents of Huntington Beach. Policy LU 9.1.4: Require that recreational and open space amenities be incorporated in new multi -family developments and that they be accessible to and of sufficient size to be usable by all residents. Goal LU 11: Achieve the development of projects that enable residents to live in proximity to their jobs, commercial services, and entertainment, and reduce the need for automobile use. The development agreement would ensure that affordable housing is developed in accordance with the approved project and condition of approval requiring affordable housing. The project as a whole will provide an alternative housing choice and supplement the variety of housing stock available within the City. The development agreement would guarantee that the project provides one on -site affordable unit as well as contribute to the City's Affordable Housing Trust by way of an in lieu payment for the remaining increment to fulfill the affordable housing requirement within the HSSP. In doing so, these units will satisfy the affordable housing obligation while providing housing for low income households. As such, the development agreement is consistent with the General Plan goals and polices reflected above. CONDITIONS OF APPROVAL — TENTATIVE TRACT MAP NO. 17661: The Tentative Tract Map No. 17661 for consolidation of three existing parcels and the subdivision of the resultant parcel into a 10 unit airspace subdivision for a multiple family residential development and received and dated May 18, 2016, shall be the approved layout, with the following modification: a) The existing reservation for "a right to an easement over and along the rear 4 ft. of land for laying, maintaining and repairing water mains for irrigation purposes" shall be quitclaimed to eliminate any encroachment by the proposed residential buildings. ^^"'^"116110 11-16 CUP 13-026/ TTM 176611 DA 16-002 Attachment 1.5 Item 12. - 221 HB -806- 2. The final map for Tentative Tract Map No. 17661 shall not be approved by the City Council until Conditional Use Permit No. 13-026 is approved and in effect. 3. Prior to issuance of a grading permit and at least 14 days prior to any grading activity, the applicant/developer shall provide notice in writing to property owners of record and tenants of properties within a 500-foot radius of the project site as noticed for the public hearing. The notice shall include a general description of planned grading activities and an estimated timeline for commencement and compietion of work and a contact person name with phone number. Prior to issuance of the grading permit, a copy of the notice and list of recipients shall be submitted to the Community Development Department. 4. The draft Affordable Agreement received and dated April 25, 2016, identifying one on -site unit for -sale as affordable for persons and families of low income, which includes a density bonus of one unit plus a fractional in -lieu fee of One Hundred Seventy-three Thousand Forty Dollars ($173,040.00) for a 0.35 unit pursuant to Section 230.14 of the ZSO shall be the conceptually approved agreement. The Affordable Housing Agreement shall be recorded with the Orange County Recorder's Office prior to issuance of the first building permit for the tract. The Agreement shall comply with HBZSO Sections 230.14 and 230.26 and include: i. A detailed description of the type, size and location of the affordable housing for -sale unit on -site. There shall be one unit with two bedrooms restricted for rental by a Low -Income Household within the site. ii. There shall be one unit affordable to persons and families of low income (up to 80% of the Orange County median income). The Orange County median income is adjusted for appropriate household size. iii. Continuous affordability provisions for a period of 55 years. The affordable units shall be constructed prior to or concurrent with the primary project. Final approval (occupancy) of the first market rate residential unit(s) shall be contingent upon the completion and public availability, or evidence of the applicant's reasonable progress towards attainment of completion of the affordable unit. 5. Prior to submittal of the final tract and at least 90 days before City Council action on the final map, CC&Rs shall be submitted to the Community Development Department and approved by the City Attorney. The CC&Rs shall identify the common driveway access easements; maintenance of all walls and common landscape areas by the Homeowners' Association; include a parking management plan to ensure the ongoing control of availability of on -site parking; notice that garages shall be maintained in a state that allows two vehicles to be stored inside at all times; and five guest parking stalls shall be permanently marked and signed. The CC&Rs must be in recordable form prior to recordation of the map. (HBZSO Section 253.12.H) 6. Pursuant to section 230.14 of the HBZSO, Tentative Tract Map No. 17661 and Conditional Use Permit No. 13-026 shall not be deemed approved until the Affordable Housing Agreement referenced in Condition No. 4 has been approved by the City Council. 7. Comply with all applicable Conditional Use Permit No. 13-026 conditions of approval. 8. Incorporation of sustainable or "green" building practices into the design of the proposed structures and associated site improvements is highly encouraged. Sustainable building GAMNOA116110-11-16 CUP 13-026/ TTM 176611 DA 16-002 Attach— - ' - HB -807- Item 12. - 222 practices may include (but are not limited to) those recommended by the U.S. Green Building Council's Leadership in Energy and Environmental Design (LEED) Program certification(http://www.usgbc.org/DisplavPage.aspx?CategorylD=19) or Build It Green's Green Building Guidelines and Rating Systems (http://www.builditgreen.orq/index.cfm?fuseaction=guidelines). 9. The development services departments (Building & Safety, Fire, Planning and Public Works) shall be responsible for ensuring compliance with all applicable code requirements and conditions of approval. The Director of Community Development may approve minor amendments to plans and/or conditions of approval as appropriate based on changed circumstances, new information or other relevant factors. Any proposed plan/project revisions shall be called out on the plan sets submitted for building permits. Permits shall not be issued until the Development Services Departments have reviewed and approved the proposed changes for conformance with the intent of the Planning Commission's action. If the proposed changes are of a substantial nature, an amendment to the original entitlement reviewed by the Planning Commission may be required pursuant to the provisions of HBZSO Section 241.18. CONDITIONS OF APPROVAL - CONDITIONAL USE PERMIT NO. 13-026: 1. The site plans, floor plans, and elevations received and dated May 18, 2016, shall be the conceptually approved design with the following modifications: a. Five guest parking stalls shall be marked with signage. b. Any mature trees removed as a result of construction activities shall be replaced at a 2:1 ratio. An inventory of existing on -site trees shall be submitted prior to issuance of grading permits. 2. Prior to submittal for building permits, the following shall be completed: a. Zoning entitlement conditions of approval shall be printed verbatim on one of the first three pages of all the working drawing sets used for issuance of building permits (architectural, structural, electrical, mechanical and plumbing) and shall be referenced in the sheet index. The minimum font size utilized for printed text shall be 12 point. b. Submit three (3) copies of the approved site plan and the processing fee to the Community Development Department for addressing of the new buildings/units. 3. Prior to issuance of building permits, the following shall be completed: a. Blockwall/fencing plans (including a site plan, section drawings, and elevations depicting the height and material of all retaining walls, walls, and fences) consistent with the grading plan shall be submitted to and approved by the Community Development Department. Double walls shall be avoided to the greatest extent feasible. Applicant shall coordinate with adjacent property owners and make reasonable attempts to construct one common property line wall. If coordination between property owners cannot be accomplished, the applicant shall construct up to an eight (8') foot tall wall located entirely within the subject property and with a two (2) inch maximum separation from the property line. Prior to the construction of any new walls, a plan must be submitted identifying the removal of any existing walls located on the subject property. Any removal of walls on private residential property """116110-11-16 CUP 13-026/TTM 17661/ DA 16-002 Attachment 1.7 Item 12.�- 223 ' H B -808- and construction of new common walls shall include approval by property owners of adjacent properties. The plans shall identify materials, seep holes and drainage. b. Contact the United States Postal Service for approval of mailbox location(s). c. An interim parking and building materials storage plan shall be submitted to the Community Development Department to assure adequate parking and restroom facilities are available for employees, customers and contractors during the project's construction phase and that adjacent properties will not be impacted by their location. The plan shall also be reviewed and approved by the Fire Department and Public Works Department. The applicant shall obtain any necessary encroachment permits from the Department of Public Works. 4. The structure(s) cannot be occupied, the final building permit(s) cannot be approved, and utilities cannot be released for the first residential unit until the following has been completed: a. The applicant shall obtain the necessary permits from the South Coast Air Quality Management District and submit a copy to Community Development Department. b. Compliance with all conditions of approval specified herein shall be accomplished and verified by the Community Development Department. c. All building spoils, such as unusable lumber, wire, pipe, and other surplus or unusable material, shall be disposed of at an off -site facility equipped to handle them. d. Parkland dedication in -lieu fees (Quimby Fees) shall be paid to the Community Development Department. 5. Signage shall be reviewed under separate permits and applicable processing. 6. The applicant and/or applicant's representative shall be responsible for ensuring the accuracy of all plans and information submitted to the City for review and approval. INDEMNIFICATION AND HOLD HARMLESS CONDITION: The owner of the property which is the subject of this project and the project applicant if different from the property owner, and each of their heirs, successors and assigns, shall defend, indemnify and hold harmless the City of Huntington Beach and its agents, officers, and employees from any claim, action or proceedings, liability cost, including attorney's fees and costs against the City or its agents, officers or employees, to attack, set aside, void or annul any approval of the City, including but not limited to any approval granted by the City Council, Planning Commission, or Design Review Board concerning this project. The City shall promptly notify the applicant of any claim, action or proceeding and should cooperate fully in the defense thereof. GAMNOA116110-11-16 CUP 13-026/ TTM 17661/ DA 16-002 HB -809- Attachr--` ' " Item 12. - 224 NOTICE OF PUBLIC HEARING EFORE THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH NOTICE IS HEREBY GIVEN that on Monday, November 21, 2016, at 6:00 p.m. in the City Council Chambers, 2000 Main Street, Huntington Beach, the City Council will hold a public hearing on the following planning and zoning items: DEVELOPMENT AGREEMENT NO. 16-002 (GARFIELD CONDOMINIUMS) Applicant: Ed Bonanni Property Owners: YMCA of Orange County, Jeff McBride, and City of Huntington Beach, Kellee Fritzal Request: To enter into a development agreement between the City of Huntington Beach and Bonanni Development/JB Construction (developer) for Tentative Tract Map No. 17661 to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan. On October 11, 2016, the Planning Commission approved Tentative Tract Map No. 17661 to consolidate three parcels into one 0.636 net acre lot for condominium purposes and Conditional Use Permit No. 13-026 to permit the development of a 10 unit condominium subdivision, including a density bonus for one unit, subject to conditions requiring a development agreement to provide for affordable dwelling units and payment of an "in lieu" fee in accordance with Section III.C.12.a of the Holly-Seacliff Specific Plan and Chapter 246 of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO). Location: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) Project Planner: John P. Ramirez NOTICE IS HEREBY GIVEN that Item #1 was included in the scope of Tentative Tract Map No. 17661 and Conditional Use Permit No. 13-026, which was determined to be covered by Environmental Impact Report (EIR) No. 89-1, approved by the City Council on January 8, 1990, pursuant to the provisions of the California Environmental Quality Act. EIR No. 89-1 is on file at the City of Huntington Beach Community Development, 2000 Main Street, on the City's website at www.huntingtonbeachca.gov, and is available for public inspection by contacting the Community Development Department, or by telephoning (714) 536-5271. ON FILE: A copy of the proposed request is on file in the Community Development Department, 2000 Main Street, Huntington Beach, California 92648, for inspection by the public. A copy of the staff report will be available to interested parties at the City Clerk's Office or on line at http://www.huntingtonbeachca.gov on Thursday, November 17, 2016. ALL INTERESTED PERSONS are invited to attend said hearing and express opinions or submit evidence for or against the application as outlined above. If you challenge the City Council's action in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence.delivered to the City at, or prior to, the public hearing. If there are any further questions please call the Community Development Department at (714) 536-5271 and refer to the above item. Direct your written communications to the City Clerk: Robin Estanislau, City Clerk City of Huntington Beach 2000 Main Street, 2"d Floor Huntington Beach, California 92648 714-536-5227 http://huntingtonbeachca.qov/HBPublicComments/ Esparza, Patty From: David Ward [dward@ocregister.com] Sent: Wednesday, November 02, 2016 3:11 PM To: Esparza, Patty Subject: Re: Legal Ad for 11-10-16 in HB Wave Sorry Patty. I thought I sent you the proof already. My sincere apologies. Ad#10212779 Run Date 11/10 Cost $162.00 PROOF NOTICE OF PUBLIC HEARING BEFORE THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH NOTICE IS HEREBY GIVEN that on Monday, November 21, 2016, at 6,00, p.m. in the City Council Chambers, 2600 Main Street, Huntington Beach, the City Council will hold a public hearing on the following planning and zoning items: i.DEVELOPMENT AGREEMENT NO. 116.002 (GARFIELD CONDOMINIUMS) Applicant. Ed Bonanni property Owner's; YMCA of Orange County, Jeff McBride, and. City of Huntington Beach, Kellee Fritzal Request: To enter into a development agree- ment between the City of Huntington Beach and Bonanni Development/JB Construction (developer) for Tentative Tract Map No. 17661 to establish one of the 10 units as affordable units for persons/famities of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specif- ic flan. On October 11, 2016, the planning Commission approved Tentative Tract Map No. 17661 to consolidate three parcels into one 0.636 net acre lot for condominium purposes and Conditional Use Permit No, 13-026 to permit the development of a 10 unit condomini- um subdivision,, including a density bonus for one unit, subject to conditions requiring a development agreement to provide for affordable dwelling units and payment of an "in lieu" fee in accordance with Section IIl.C.12.a of the Molly-Seacliff Specific Plan and Chap- ter 246 of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO). Location: 7262 Garfield Avenue, 92W (southeast corner of Garfield Avenue and Gothard Street) Project Planner: John P. Ramirez NOTICE IS HEREBY GIVEN that Item #1 was included in the scrape of Tentative Tract Map No. 17661 and Conditional Use Permit No. 1"26, which was determined to be cov- ered by Environmental Impact Report" (EIR) No. 89-1, approved by the City Council on Jan- uary 8, 1990, pursuant to the provisions of the California Environmental Quality Act. EIR No. 89-1 is on file at the City of Huntington Beach Commun€ty Development, 260t1 Main Street, on the City' website at www.huntingtonbeachca.gov, and is available for publib In- spection by contacting the Community Development Department, or by telephoning (714) 536-5271. ON FILE: A copy of the proposed request is on fill: in the Community Development De- partmerit, 2000 Main Street, Huntington Beach, California 92+648, for inspection by the pub- lic. A copy of the staff report will be available to interested parties at the GIty.Clerk's Office or on line .at http://vvww.hunt€ngtonbeacl a.cgov on Thursday, November 17, 2016. ALL INTERESTED PERSONS are invited to attend said hearing and express opinions or submit evidence for or against the application as outlined above. If you challenge the City Council's action in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or to written correspondence de- livered to the City at, or prig to., the public hearing. If there are any further questions please call the Community Development Department at (714) 536-5271 and refer to the above item. Direct your Written communications to the City Clerk: Robin. Estanislau, C'rerk City of Huntington Beach 2000 Main Street, 2nd Floor Huntington Beach, California 92648 714-536-5227 http://huntngtonbeachca.gov/HBPublicComments/ Published: The Huntington Beach Wave November 10, 201610212779 On Wed, Nov 2, 2016 at 1:18 PM, David Ward <dward cgocregister.com> wrote: Hello Patty. How are you? L Y7 IL_ - //12- A/ , NOTICE OF PUBLIC HEARING EFORE THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH NOTICE IS HEREBY GIVEN that on Monday, November 21, 2016, at 6:00 p.m. in the City Council Chambers, 2000 Main Street, Huntington Beach, the City Council will hold a public hearing on the following planning and zoning items: DEVELOPMENT AGREEMENT NO. 16-002 (GARFIELD CONDOMINIUMS) Applicant: Ed Bonanni Property Owners: YMCA of Orange County, Jeff McBride, and City of Huntington Beach, Kellee Fritzal Request: To enter into a development agreement between the City of Huntington Beach and Bonanni Development/JB Construction (developer) for Tentative Tract Map No. 17661 to establish one of the 10 units as affordable units for persons/families of low income for a period of 55 years and pay an "in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specific Plan. On October 11, 2016, the Planning Commission approved Tentative Tract Map No. 17661 to consolidate three parcels into one 0.636 net acre lot for condominium purposes and Conditional Use Permit No. 13-026 to permit the development of a 10 unit condominium subdivision, including a density bonus for one unit, subject to conditions requiring a development agreement to provide for affordable dwelling units and payment of an "in lieu" fee in accordance with Section III.C.12.a of the Holly-Seacliff Specific Plan and Chapter 246 of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO). Location: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) Project Planner: John P. Ramirez NOTICE IS HEREBY GIVEN that Item #1 was included in the scope of Tentative Tract Map No. 17661 and Conditional Use Permit No. 13-026, which was determined to be covered by Environmental Impact Report (EIR) No. 89-1, approved by the City Council on January 8, 1990, pursuant to the provisions of the California Environmental Quality Act. EIR No. 89-1 is on file at the City of Huntington Beach Community Development, 2000 Main Street, on the City's website at www.huntingtonbeachca.gov, and is available for public inspection by contacting the Community Development Department, or by telephoning (714) 536-5271. ON FILE: A copy of the proposed request is on file in the Community Development Department, 2000 Main Street, Huntington Beach, California 92648, for inspection by the public. A copy of the staff report will be available to interested parties at the City Clerk's Office or on line at http://www.huntingtonbeachca.gov on Thursday, November 17, 2016. ALL INTERESTED PERSONS are invited to attend said hearing and express opinions or submit evidence for or against the application as outlined above. If you challenge the City Council's action in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the City at, or prior to, the public hearing. If there are any further questions please call the Community Development Department at (714) 536-5271 and refer to the above item. Direct your written communications to the City Clerk: Robin Estanislau, City Clerk City of Huntington Beach 2000 Main Street, 2"d Floor Huntington Beach, California 92648 714-536-5227 http://huntingtonbeachca.gov/HBPublicComments/ Easy Peel® Labels i ♦ Bend along line to AVERY® 51600 Use Avery® Template 51600 i Feed Paper expose Pop-up EdgeTM 1 111-074-02 111-110-07 111-110-10 Mansion Properties Inc Dyana Burrows Ray Roulette Po Box 1392 3011 N Naomi St 20529 Vaccaro Ave Bakersfield, Ca 93302-1392 Burbank, Ca 91504-1733 Torrance, Ca 90503-2237 111-110-14 111-110-15 111-110-18 Christopher Joseph Taylor Jerry Galich Robert Mandic 1840 Pine St 93910Th St 16242 Tisbury Cir Huntington Beach, Ca 92648-2742 Huntington Beach, Ca 92648-3405 Huntington Beach, Ca 92649-2142 111-110-21 111-110-31 111-110-32 Mountainview Partnership Charles Henry Bollman John Thomas 18851 Stewart Ln 308 10Th St 2030 Main St 7Th Huntington Beach, Ca 92648-1520 Huntington Beach, Ca 92648-4502 Irvine, Ca 92614-7219 111-110-33 111-110-34 111-110-36 James Raymond Weide John Thomas Joanne Ahmadi 7141 Garfield Ave 18851 Stewart Ln 18685 Main St 101 Huntington Beach, Ca 92648-1518 Huntington Beach, Ca 92648-1520 Huntington Beach, Ca 92648-1719 111-110-37 111-110-38 111-140-06 Vijay Deshmukh Jason Gagnon John Thomas 7201 Garfield Ave 18961 Gothard St 6741 Pimlico Cir Huntington Beach, Ca 92648-2013 Huntington Beach, Ca 92648-1522 Huntington Beach, Ca 92648-1539 111-140-07 111-140-23 111-140-25 Mountainview Properties Ronald Brindle Garg-Oil Production Llc 18851 Stewart Ln 18526 Derby Cir 19061 Gothard St Huntington Beach, Ca 92648-1520 Huntington Beach, Ca 92648-1565 Huntington Beach, Ca 92648-2227 111-140-27 111-140-33 111-140-37 Gary Everroad Area Eight Enterprises Marlene B Matthews Po Box 6006 2030 Main St 7Th 326 21 St St 2 San Clemente, Ca 92674-6006 Irvine, Ca 92614-7219 Huntington Beach, Ca 92648-3325 111-150-03 111-150-04 111-150-05 Chauk Pan Chin Sang Kim Clinton Silverman 6888 Lincoln Ave A 19051 Goldenwest St 106 8272 Le Conte Dr Buena Park, Ca 90620-4107 Huntington Beach, Ca 92648-2156 Huntington Beach, Ca 92646-1522 111-150-06 111-150-17 111-150-45 Bmss Lic Gothard Street Llc Kantor Steven M S M Irrevoc Tr 5823 Cobblestone Dr 3456 Plumeria PI 15210 Mc Kendree Ave Osage Beach, Mo 65065-2480 Costa Mesa, Ca 92626-1731 Pacific Palisades, Ca 90272-2640 111-150-47 111-150-48 159-492-04 Young Mens Christian Edward Wick Sea Gate Community Assn 13821 Newport Ave 200 8472 Dallas Cir 19600 Fairchild 150 Tustin, Ca 92780;;-7803 Huntington Beach, Ca 92646-3806 Irvine, Ca 92612-2516 ttiquettes faciles A peler A Repliez h la hachure afin de /,Z,( & www.avery.com Utilisez le gabarit AVERY® 51600 j Sens de cha gement r�v�ler le rebord Pop-up"'� j 1-800-GO-AVERY 1 Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to Feed Paper expose Pop-up EdgeTm 1 AVERY® 51600 1 933-873-34 933-873-35 933-873-36 Bridget Marie Bowen Giovanni Michael Di Jamie Halpern 18899 Breezy Ln 18903 Breezy Ln 18907 Breezy Ln Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 933-873-37 933-873-38 933-873-39 Geoffrey Lester Kara Facer Lindsay Howard 18911 Breezy Ln 18915 Breezy Ln 18919 Breezy Ln Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 933-873-40 933-873-41 933-873-42 Erin Mcnaughton Judith Thompson Kevin Scott 18923 Breezy Ln 18927 Breezy Ln 18931 Breezy Ln Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 933-873-43 933-873-44 933-873-45 Matt Sliwinski Paul Breen Christopher Redmond 18935 Breezy Ln 18939 Breezy Ln 18943 Breezy Ln Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 933-873-46 933-873-47 933-873-48 Arthur Dale Crain Diane Makas-Weber Anhtuan Nguyen 18947 Breezy Ln 18951 Breezy Ln 18955 Breezy Ln Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6820 933-873-49 933-873-50 933-873-51 Mostafa Bayati Tomofumi Suzuki Jose Rolando Da 18959 Breezy Ln 18961 Breezy Ln 18965 Breezy Ln Huntington Beach, Ca 92648-6820 Huntington Beach, Ca 92648-6821 Huntington Beach, Ca 92648-6821 933-873-52 933-873-53 933-873-54 Thomas Andor Yana Kennedy Goodman Nong S N S Living Tr 18969 Breezy Ln 18971 Breezy Ln 18975 Breezy Ln Huntington Beach, Ca 92648-6821 Huntington Beach, Ca 92648-6821 Huntington Beach, Ca 92648-6821 933-873-55 933-873-56 933-873-57 Bee Lun Khaw-Hone Edna Briones Catherine Wolff 18979 Breezy Ln 18983 Breezy Ln 18987 Breezy Ln Huntington Beach, Ca 92648-6821 Huntington Beach, Ca 92648-6821 Huntington Beach, Ca 92648-6821 933-873-58 Laura Christine Topp 7408 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-873-61 George Brian Mitchell 7402 Upper Bay Dr Huntington Beach, Ca 92648-6822 Etiquettes faciles h peler jf}" 16—wZ Utilisez le gabarit AVERY® 5160® j 933-873-59 Jeff Keller 7406 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-873-62 Wendy Colleen Dahl 7419 Upper Bay Dr Huntington Beach, Ca 92648-6823 Se Repliez & la hachure afin de Sens de �. chdent rev6ler le rebord Pop-upmc 933-873-60 Steven Wang 7404 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-873-63 Brian Noval Agan 7421 Upper Bay Dr Huntington Beach, Ca 92648-6823 1 %Z1 /1(, www.avery.com t 1-800-GO-AVERY Easy Peel® Labels i ♦ Bend along line to i AVERY@ 5160(D Use Avery® Template 51600 j Feed Paper expose Pop-up EdgeTM j 933-873-64 933-873-65 933-873-66 Tressy Snowdon Stephen Fought Suzanne Lavin 7423 Upper Bay Dr 7425 Upper Bay Dr 18933 Coolwater Ln Huntington Beach, Ca 92648-6823 Huntington Beach, Ca 92648-6823 Huntington Beach, Ca 92648-6848 933-873-67 933-873-68 933-873-69 Chris Kanowsky Seth Matson Leon Melinda De 18916 Breezy Ln 18920 Breezy Ln 18924 Breezy Ln Huntington Beach, Ca 92648-6824 Huntington Beach, Ca 92648-6824 Huntington Beach, Ca 92648-6824 933-873-70 933-873-71 933-873-72 Diana Lee Perkins Schryon Germain Rosauro Cayco 18928 Breezy Ln 18930 Breezy Ln 7418 Upper Bay Dr Huntington Beach, Ca 92648-6824 Huntington Beach, Ca 92648-6824 Huntington Beach, Ca 92648-6822 933-873-73 933-873-74 933-873-75 Hoffman Carol S C S Living Tr Michael Matonic Emi Hiwatari Mazzlo 7416 Upper Bay Dr 7414 Upper Bay Dr 7412 Upper Bay Dr Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 933-873-76 933-873-77 933-873-78 David Cook Richard Swaine Jerry Quenzler 7428 Upper Bay Dr 7426 Upper Bay Dr 7424 Upper Bay Dr Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 933-873-79 933-873-80 933-873-81 Ann Thu Bui Pamela Hoppes Thomas Rozolis-Hill 7422 Upper Bay Dr 7438 Upper Bay Dr 7436 Upper Bay Dr Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 933-873-82 933-873-83 933-873-84 Scott Young Adrianna Cortes-Proctor William Ross 7434 Upper Bay Dr 7432 Upper Bay Dr 7448 Upper Bay Dr Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 933-873-85 933-873-86 933-873-87 David Holbert Minh Do Daniel Tobias 7450 Upper Bay Dr 7452 Upper Bay Dr 7444 Upper Bay Dr Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648 6822 933-873-88 933-873-89 933-873-90 Tiffani Brinkerhoff Johnny G J G Salas Re Salas Suzanne Thoreson 7442 Upper Bay Dr 18937 Coolwater Ln 18933 Coolwater Ln Huntington Beach, Ca 92648-6822 Huntington Beach, Ca 92648-6848 Huntington Beach, Ca 92648-6848 933-873-91 l 933-873-92 933-873-93 Jeremy Zerillo Melody Lee Nick Dispalatro 18929 Coolwater Ln 18925 Coolwater Ln 7431 Upper Bay Dr Huntington Beach, Ca 92648-6848 Huntington Beach, Ca 92648-6848 Huntington Beach, Ca 92648-6823 Etiquettes faciles i peler,4),4 16 -oo)— i A Repliez h la hachure afin de ; (�/� /�(� www.avery.com Utilisez le abarit AVERY® 51600 i 9 j Sens de r6v6ler le rebord Pop-upmc ' chargement j 1-800-GO-AVERY j Easy Peel® Labels Use Avery® Template 51600 ♦ S Bend along line to Feed Paper expose Pop-up EdgeTM 1 a AVERY@ 516040 1 933-873-94 Toshimitsu Araki 7433 Upper Bay Dr Huntington Beach, Ca 92648-6823 933-873-97 Richard Calleros/Michelle Armendariz 7458 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-874-00 Qui Nguyen 7462 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-874-03 Paul Dispalatro 18946 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-06 David Erlitz 18934 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-09 Jeffrey Homer 18924 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-12 Scott Stoddard 18912 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-15 Mary Lucille Palmer 18890 Coolwater Ln Huntington Beach, Ca 92648-6850 933-874-18 Richard Lowery/Michelle Marckwordt 18897 Coolwater Ln Huntington Beach, Ca 92648-6849 933-874-21 Colette Wright 7440 Prospect Dr Huntington Beach, Ca 92648-6856 ttiquettes faciles A pelerbtO14 '002, Utilisez le gabarit AVERY® 516040 i 933-873-95 Lightfoot Family Trust 7435 Upper Bay Dr Huntington Beach, Ca 92648-6823 933-873-98 Robert Ladner 7456 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-874-01 Gustave GrafNanessa Schueler 18938 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-04 Glen Williams 18928 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-07 James Eugene Veronin 18916 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-10 Dennis Cunningham 18904 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-13 Christine Hansen 18882 Coolwater Ln Huntington Beach, Ca 92648-6850 933-874-16 Nguyen Phong Tri/Tracey Vu 18889 Coolwater Ln Huntington Beach, Ca 92648-6849 933-874-19 Michael Kim 18911 Coolwater Ln Huntington Beach, Ca 92648-6848 933-874-22 Raymond Flynn 7436 Prospect Dr Huntington Beach, Ca 92648-6856 de Repliez & la hachure afin de Sens d nt r6v6ler le rebord Pop-upmc i 933-873-96 Brian John Hylland 7437 Upper Bay Dr Huntington Beach, Ca 92648-6823 933-873-99 Jude Lauren 7464 Upper Bay Dr Huntington Beach, Ca 92648-6822 933-874-02 Daniel Lewis 18942 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-05 Bryan Foy 18930 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-08 Tsuyoshi Ichinohe/Tomoko Furutani 18920 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-11 Lynda Evanson 18908 Coolwater Ln Huntington Beach, Ca 92648-6836 933-874-14 Judith Durante 18886 Coolwater Ln Huntington Beach, Ca 92648-6850 933-874-17 Gary Gunkel 18893 Coolwater Ln Huntington Beach, Ca 92648-6849 933-874-20 Liza Soldivillo-Sligar 7444 Prospect Dr Huntington Beach, Ca 92648-6856 933-874-23 Connie Ngo 7432 Prospect Dr Huntington Beach, Ca 92648-6856 12 www.avery.com 1-800-GO-AVERY Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to iFeed Paper expose Pop-up Edge TM j QAVERY@ 51604D 1 933-874-24 933-874-25 933-874-26 Steiner Family Trust Thurber Family Trust Camille Seguine-Osburn 18861 Breezy Ln 18865 Breezy Ln 18873 Breezy Ln Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6819 933-874-27 933-874-28 933-874-29 Suzette Clark Liem Nguyen/Nga Le Brian Burch 18877 Breezy Ln 18881 Breezy Ln 18887 Breezy Ln Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6819 933-874-30 933-874-31 933-874-32 Brygida Kaliszewska Steven Nguyen Gregory Rhoades 18891 Breezy Ln 18895 Breezy Ln 18874 Coolwater Ln Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6819 Huntington Beach, Ca 92648-6850 933-874-33 933-874-34 933-874-35 Scott Nelson Shelley Hayashi Eric Czintos 18876 Coolwater Ln 18878 Coolwater Ln 18866 Coolwater Ln Huntington Beach, Ca 92648-6850 Huntington Beach, Ca 92648-6850 Huntington Beach, Ca 92648-6850 933-874-36 933-874-37 933-874-38 Steve Kim Stephen Thornton Nicholas Davison Po Box 4016 18870 Coolwater Ln 18857 Coolwater Ln Huntington Beach, Ca 92605-4016 Huntington Beach, Ca 92648-6850 Huntington Beach, Ca 92648-6849 933-874-39 933-874-40 933-874-41 Shirlee Settipane Bryan Swanson Sue Wanda Lee Family 2011 Tr 18863 Coolwater Ln 18867 Coolwater Ln 18875 Coolwater Ln Huntington Beach, Ca 92648-6849 Huntington Beach, Ca 92648-6849 Huntington Beach, Ca 92648-6849 933-874-42 933-874-43 933-874-44 Justine Nichols Sandra Hayes Mohammad Abdelmuti 7418 Pinnacle Cir 7422 Pinnacle Cir 7428 Pinnacle Cir Huntington Beach, Ca 92648-6855 Huntington Beach, Ca 92648-6855 Huntington Beach, Ca 92648-6855 933-874-45 933-874-46 933-874-47 Abby Manaye Mark Ortiz Robert Owens 7432 Pinnacle Cir 18854 Coolwater Ln 18858 Coolwater Ln Huntington Beach, Ca 92648-6855 Huntington Beach, Ca 92648-6850 Huntington Beach, Ca 92648-6850 933-874-48 933-874-49 933-874-50 Robert Joseph Johnson Grover Niece Myo Sett 18862 Coolwater Ln 18842 Coolwater Ln 18846 Coolwater Ln Huntington Beach, Ca 92648-6850 Huntington Beach, Ca 92648-6850 Huntington Beach, Ca 92648-6850 933-874-51 933-874-52 933-874-53 David Kanowsky Gene Suk Chang/Jung Youn Leon Arnold De 18850 Coolwater Ln 18829 Coolwater Ln 18825 Coolwater Ln Huntington Beach, Ca92648-6850 Huntington Beach, Ca 92648-6849 Huntington Beach, Ca 92648-6849 ttiquettes faciles A peler 'bpr ((o -Obl- ; A Repliez A la hachure afin de ; / N // b www.avery.com Utilisez le gabarit AVERY® 5160® j Sns de chargement r6vEler le rebord Pop-upmc i ! 1-800-GO-AVERY Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to Feed Paper expose Pop-up Edge TM � Q AVERY® 51600 1 933-874-54 Irene Olsen 18821 Coolwater Ln Huntington Beach, Ca 92648-6849 933-874-57 Thomas Tunstall 7429 Pinnacle Cir Huntington Beach, Ca 92648-6854 933-874-60 Carrie Obyrnes 18834 Coolwater Ln Huntington Beach, Ca 92648-6850 933-874-63 James Iskarous 7465 Shelter Cove Cir Huntington Beach, Ca 92648-6851 933-874-66 Sean Vo/Anjou Nguyen 7453 Shelter Cove Cir Huntington Beach, Ca 92648-6851 933-874-69 Hannelore Palmer 18809 Coolwater Ln Huntington Beach, Ca 92648-6849 933-874-72 Carlos Castillo 7408 Pinnacle Cir Huntington Beach, Ca 92648-6855 933-874-75 Vo Nguyen 7411 Pinnacle Cir Huntington Beach, Ca 92648-6854 933-874-78 Phu Le 18866 Breezy Ln Huntington Beach, Ca 92648-6853 935-760-32 Zachariah Robinson 118 24Th St Newport Beach, Ca 9\\2663-3402 ttiquettes faciles A peler 1+ /6 -002-- Utilisez le gabarit AVERY® 51600 j 933-874-55 Mona Busak 7421 Pinnacle Cir Huntington Beach, Ca 92648-6854 933-874-58 Stephen Byars 7431 Pinnacle Cir Huntington Beach, Ca 92648-6854 933-874-61 Adam Goodman 18838 Coolwater Ln Huntington Beach, Ca 92648-6850 933-874-64 Allan Gerald Tr 7461 Shelter C 7461 Shelter Cove Cir Huntington Beach, Ca 92648-6851 933-874-67 Christopher Le 18817 Coolwater Ln Huntington Beach, Ca 92648-6849 933-874-56 Robert Tiezzi 7425 Pinnacle Cir Huntington Beach, Ca 92648-6854 933-874-59 Gigi Vuong Nguyen 18830 Coolwater Ln Huntington Beach, Ca 92648-6850 933-874-62 William Paul Furlong 7469 Shelter Cove Cir Huntington Beach, Ca 92648-6851 933-874-65 Claudia Jeannette Daboub 7457 Shelter Cove Cir Huntington Beach, Ca 92648-6851 933-874-68 Kai Chang 20412 Drew Cir Huntington Beach, Ca 92646-5108 933-874-70 933-874-71 Patricia Clement James Andrew Dancsecs 7414 Pinnacle Cir 7410 Pinnacle Cir Huntington Beach, Ca 92648-6855 Huntington Beach, Ca 92648-6855 933-874-73 933-874-74 Adam Oconnor Paul Musso 7419 Pinnacle Cir 7415 Pinnacle Cir Huntington Beach, Ca 92648-6854 Huntington Beach, Ca 92648-6854 933-874-76 933-874-77 Stacy Un Kim Matthew Jeremy Nokes 7407 Pinnacle Cir 18862 Breezy Ln Huntington Beach, Ca 92648-6854 Huntington Beach, Ca 92648-6853 933-874-79 935-760-31 Carla Dispalatro Alejandro Chacon/Jennifer Graff 18870 Breezy Ln 7342 Garfield Ave A Huntington Beach, Ca 92648-6853 Huntington Beach, Ca 92648-2034 935-760-33 935-760-34 Alexander Zec Freymann Craig Patrick Von 7342 Garfield Ave C 7342 Garfield Ave D Huntington Beach, Ca 92648-2034 Huntington Beach, Ca 92648-2034 A Repliez h la hachure afin de i Sens de 11 �L( If www.avery.com chargement r6v6ler le rebord Pop-upmc j 1-800-GO-AVERY 1 Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to I Feed Paper expose Pop-up EdgeT'" J AVERY® 51600 1 935-760-35 Ronda Herman 7352 Garfield Ave A Huntington Beach, Ca 92648-2033 935-760-38 Pauw Lorie De 7352 Garfield Ave D Huntington Beach, Ca 92648-2033 935-760-50 Israr Khan 5100 Quail Run Rd 713 Riverside, Ca 92507-6081 935-760-53 Marion Loney 7338 Berry Ct Huntington Beach, Ca 92648-6272 935-760-56 Craig Weismann 17682 Still Harbor Ln Huntington Beach, Ca 92647-6437 935-760-62 Mythe Laramie 7136 N Sequoia Ave Fresno, Ca 93711-0475 935-760-66 Keith Dawson 15581 Placid Cir Huntington Beach, Ca 92647-2930 935-760-70 Robert Sfreddo 24 Amberleaf Irvine, Ca 92614-7916 935-760-73 Steve Wright 2120 The Strand 4 Manhattan Beach, Ca 90266-4447 935-760-77 Bonanni Kim K Sep Ppty Tr 5500 Bolsa Ave 120 Huntington Beach, Ca 92649-1188 Etiquettes faciles h peler.bri-- Ib -00 — Utilisez le gabarit AVERY® 51600 935-760-36 Ron Esmilla 19502 Ranch Ln 108 Huntington Beach, Ca 92648-2456 935-760-48 Sonya Herburger/Randy Olshen 19081 Holly Ln Huntington Beach, Ca 92648-2217 935-760-51 Glenn Steven Taylor 7348 Berry Ct Huntington Beach, Ca 92648-6272 935-760-54 Eureka Arthadi 7334 Berry Ct Huntington Beach, Ca 92648-6272 935-760-57 Tony Almaguer Po Box 6673 Huntington Beach, Ca 92615-6673 935-760-63 Gina Marie Fulford 19128 Cole Ln Huntington Beach, Ca 92648-6296 935-760-67 Jerry Chieh Chang 7310 Jordyn Ct Huntington Beach, Ca 92648-6292 935-760-71 Sayaka Kudoh Po Box 1623 Huntington Beach, Ca 92647-1623 935-760-75 Steve Jauch 7308 Bret Ct Huntington Beach, Ca 92648-6294 935-760-78 John Kharouta 7333 Bret Ct Huntington Beach, Ca 92648-6293 Se de Repliez h la hachure afin de chargement r6v6ler le rebord Pop-upmc 935-760-37 Danielle Song 7352 Garfield Ave C Huntington Beach, Ca 92648-2033 935-760-49 Louis Polley 19089 Holly Ln Huntington Beach, Ca 92648-2217 935-760-52 Christopher Valenzuela 7344 Berry Ct Huntington Beach, Ca 92648-6272 935-760-55 Scott Farris 7330 Berry Ct Huntington Beach, Ca 92648-6272 935-760-61 Gordon Badish 19116 Cole Ln Huntington Beach, Ca 92648-6296 935-760-65 Mario Castro 19140 Cole Ln Huntington Beach, Ca 92648-6296 935-760-68 Bonnani Kim Sep Ppty Tr 5802 View Cir Huntington Beach, Ca 92649-3726 935-760-72 David Macleod Po Box 6537 Huntington Beach, Ca 92615-6537 935-760-76 Robert Corona Po Box 269 Huntington Beach, Ca 92648-0269 935-760-79 Allen Kirzhner 7341 Bret Ct Huntington Beach, Ca 92648-6293 f 1 f Z1 /1,6 www.avery.com 1 1-800-GO-AVERY Easy Peel® Labels Use Avery® Template 51600 Bend along line to jFeed Paper expose Pop-up Edge7m aAVERY® 51601D 1 935-760-80 W Canaletti 7349 Bret Ct Huntington Beach, Ca 92648-6293 935-760-86 Richard Kelter 1610 Pacific Coast Hwy Huntington Beach, Ca 92648-4434 935-760-89 Leander Kelter 17122 Pleasant Cir Huntington Beach, Ca 92649-4540 935-760-92 Khurram Kahawaja Din 19153 Alexa Ln Huntington Beach, Ca 92648-6297 935-760-96 Kelter Brothers Llc 18281 Gothard St 201 Huntington Beach, Ca 92648-1250 935-761-06 Kevin Kelter 18281 Gothard St201 Huntington Beach, Ca 92648-1250 935-761-14 Christian Elmassry 7234 Rosemarie Dr Huntington Beach, Ca 92648-6306 935-761-17 Jonathan Tran 7274 Rosemarie Ln Huntington Beach, Ca 92648-6306 935-761-21 Gretchen Long 19074 Eric Ct Huntington Beach, Ca 92648-6304 935-761-24 Brian Ply 19079 Eric Ct Huntington Beach, Ca 92648-6304 ttiquettes faciles h peler bA- 16 —002- Utilisez le gabarit AVERY® 5160® j 935-760-83 935-760-84 Nicolas Rosen Mathew Nicholas Landrau 19512 Surfdale Ln 19115 Alexa Ln Huntington Beach, Ca 92648-2100 Huntington Beach, Ca 92648-6297 935-760-87 935-760-88 Kelter Richard P R P Living Tr Pedro Brazao 1610 Pacific Coast Hwy 19135 Alexa Ln Huntington Beach, Ca 92648-4434 Huntington Beach, Ca 92648 6297 935-760-90 935-760-91 Kenneth Kelter John Kevin Kelter Po Box 1685 19149 Alexa Ln Draper, Ut 84020-1685 Huntington Beach, Ca 92648-6297 935-760-94 935-760-95 Cheryl Smith Stuart Thomas 601 Union St 1450 1901 W Deerefield Rd Seattle, Wa 98101-2354 Santa Ana, Ca 92704-7139 935-760-98 935-761-04 Richard Kelter Hugo Ehuan 3303 Harbor Blvd D1 7254 Lisamarie Ct Costa Mesa, Ca 92626-1519 Huntington Beach, Ca 92648-6298 935-761-09 935-761-13 Matthew Lam Henry Woodley 9801 Gladiola Ave 12645 Clark St Fountain Valley, Ca 92708-2035 Santa Fe Springs, Ca 90670-3951 935-761-15 935-761-16 Hyung Ryon Joo/Joohyun Chung Mohammad Nabhani 7254 Rosemarie Ln 7264 Rosemarie Ln Huntington Beach, Ca 92648-6306 Huntington Beach, Ca 92648-6306 935-761-18 935-761-20 Thu Le Yule Lin/Ingrid Jiang 7284 Rosemarie Ln 19078 Eric Ct Huntington Beach, Ca 92648-6306 Huntington Beach, Ca 92648-6304 935-761-22 935-761-23 Neil Marsh Lucy Terstepanian 1827 Stark Ln 19083 Eric Ct Paradise, Ca 95969-3606 Huntington Beach, Ca 92648-6304 935-761-25 935-761-26 Jared Dominguez Hinkey Jerry L Family Tr 19075 Eric Ct 19071 Eric Ct Huntington Beach, Ca 92648-6304 Huntington Beach, Ca 92648-6304 Se de Repliez b la hachure afin de j 2-1 116, www.avery.com chargement r6vdler le rebord Pop-upmc 1-800-GO-AVERY Easy Peel® Labels Use Avery® Template 51600 935-761-27 James Hong Po Box 1432 Covina, Ca 91722-0432 935-761-30 Harland Williams 19089 Max Ct Huntington Beach, Ca 92648-6305 ♦ Bend along line to Feed Paper expose Pop-up EdgeTM 935-761-28 Ryan Lee 6511 Silent Harbor Dr Huntington Beach, Ca 92648-2633 935-761-31 Daniel Delgleize 19093 Max Ct Huntington Beach, Ca 92648-6305 AVERW 51600 935-761-29 Orris Kenneth Johnson 19085 Max Ct Huntington Beach, Ca 92648-6305 I ttiquettes faciles A peler Zfi� 16 —OOv ' Repliez h la hachureafin de ; L�www.avery.comUtilisez le gabarit AVERY® 51600 jchargement Seade r�v�ler le rebord Pop-up"'� I / 1-800-GO-AVERY I Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to Feed Paper expose Pop-up Edge TM � AVERY® 51600 1 111-110-10 Occupant 7161 Garfield Ave Huntington Beach, Ca 92648-1518 111-110-18 Occupant 18881 Gothard St Huntington Beach, Ca 92648-1524 111-110-36 Occupant 7181 Garfield Ave Huntington Beach, Ca 92648-1518 111-150-03 Occupant 7332 Garfield Ave Unit A Huntington Beach, Ca 92648-2035 111-150-03 Occupant 7332 Garfield Ave Unit D Huntington Beach, Ca 92648-2035 111-150-04 Occupant 7322 Garfield Ave Unit C Huntington Beach, Ca 92648-2036 111-150-05 Occupant 7312 Garfield Ave Unit B Huntington Beach, Ca 92648-2037 111-150-06 Occupant 7302 Garfield Ave Unit A Huntington Beach, Ca 92648-2038 111-150-06 Occupant 7302 Garfield Ave Unit D Huntington Beach, Ca 92648-2038 111-150-45 Occupant 19071 Holly Ln Unit 3 Huntington Beach, Ca 92648-2266 ttiquettes faciles A peler 'L4 1% — 00� Utilisez le gabarit AVERY® 51600 i 111-110-14 Occupant 7207 Garfield Ave Huntington Beach, Ca 92648 111-110-22 Occupant 18931 Gothard St Huntington Beach, Ca 92648-1522 111-140-23 Occupant 19121 Gothard St Huntington Beach, Ca 92648-2225 111-150-03 Occupant 7332 Garfield Ave Unit B Huntington Beach, Ca 92648-2035 111-150-04 Occupant 7322 Garfield Ave Unit A Huntington Beach, 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Occupant 7302 Garfield Ave Unit C Huntington Beach, Ca 92648-2038 111-150-45 Occupant 19071 Holly Ln Unit 2 Huntington Beach, Ca 92648-2266 111-150-45 Occupant 19071 Holly Ln Unit 10 Huntington Beach, Ca 92648-2268 111 Z1 /16 www.avery.com 1-800-GO-AVERY Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to Feed Paper expose Pop-up Edge TM � AVERY® 51604D 111-150-45 Occupant 19071 Holly Ln Unit 11 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 14 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 17 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 12 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 15 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 18 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 13 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 16 Huntington Beach, Ca 92648-2268 111-150-45 Occupant 19071 Holly Ln Unit 5 Huntington Beach, Ca 92648-2268 111-150-45 111-150-45 111-150-45 Occupant Occupant Occupant 19071 Holly Ln Unit 6 19071 Holly Ln Unit 7 19071 Holly Ln Unit 8 Huntington Beach, Ca 92648-2268 Huntington Beach, Ca 92648-2268 Huntington Beach, Ca 92648-2268 111-150-45 111-150-46 111-150-46 Occupant Occupant Occupant 19071 Holly Ln Unit 9 19051 Holly Ln Unit 1 19051 Holly Ln Unit 10 Huntington Beach, Ca 92648-2268 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 111-150-46 111-150-46 111-150-46 Occupant Occupant Occupant 19051 Holly Ln Unit 11 19051 Holly Ln Unit 2 19051 Holly Ln Unit 3 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 111-150-46 111-150-46 111-150-46 Occupant Occupant Occupant 19051 Holly Ln Unit 4 19051 Holly Ln Unit 5 19051 Holly Ln Unit 6 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 111-150-46 111-150-46 111-150-46 Occupant Occupant Occupant 19051 Holly Ln Unit 7 19051 Holly Ln Unit 8 19051 Holly Ln Unit 9 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 Huntington Beach, Ca 92648-2263 111-150-46 111-150-46 111-150-46 Occupant Occupant Occupant 19051 Holly Ln Unit 12 19051 Holly Ln Unit 13 19051 Holly Ln Unit 14 Huntington Beach, Ca 92648-2265 Huntington Beach, Ca 92648-2265 Huntington Beach, Ca 92648-2265 111-150-46 111-150-46 111-150-46 Occupant Occupant Occupant 19051 Holly Ln Unit 15 19051 Holly Ln Unit 16 19051 Holly Ln Unit 17 Huntington Beach, Ca�92648-2265 Huntington Beach, Ca 92648-2265 Huntington Beach, Ca 92648-2265 ttiquettes faciles A peler l n16 '��Yi A Repliez h la hachure afin de 11 6 www.avery.com Utilisez le gabarit AVERY® 51604D j Sens de cha Bement r6v6ler le rebord Pop up"'c 1-800-GO-AVERY Easy Peel® Labels Use Avery® Template 51600 ♦ Bend along line to jFeed Paper expose Pop-up Edger'" AVERY@ 51600 1 111-150-46 Occupant 19051 Holly Ln Unit 18 Huntington Beach, Ca 92648-2265 111-150-48 Occupant 7292 Garfield Ave Unit 2 Huntington Beach, Ca 92648-2039 111-150-48 Occupant 7292 Garfield Ave Unit 5 Huntington Beach, Ca 92648-2039 159-281-03 Occupant 19006 Holly Ln Huntington Beach, Ca 92648-2218 933-874-68 Occupant 18813 Coolwater Ln Huntington Beach, Ca 92648-6849 935-760-50 Occupant 19097 Holly Ln Huntington Beach, Ca 92648-2217 935-760-62 Occupant 19122 Cole Ln Huntington Beach, Ca 92648-6296 935-760-68 Occupant 7304 Jordyn Ct Huntington Beach, Ca 92648-6292 935-760-71 Occupant 7295 Jordyn Ct Huntington Beach, Ca 92648-6289 935-760-74 Occupant 7302 Bret Ct Huntington Beach, Ca 92648-6294 ttiquettes faciles A peler o64 /6 —062�— Utilisez le gabarit AVERY® 51600 j 111-150-47 Occupant 7262 Garfield Ave Huntington Beach, Ca 92648 111-150-48 Occupant 7292 Garfield Ave Unit 3 Huntington Beach, Ca 92648-2039 159-281-02 Occupant 7132 Garfield Ave Huntington Beach, Ca 92648-1519 933-873-66 Occupant 7427 Upper Bay Dr Huntington Beach, Ca 92648-6823 935-760-32 Occupant 7342 Garfield Ave Unit B Huntington Beach, Ca 92648-2034 935-760-56 Occupant 7326 Berry Ct Huntington Beach, Ca 92648-6272 935-760-64 Occupant 19134 Cole Ln Huntington Beach, Ca 92648-6296 935-760-69 Occupant 7298 Jordyn Ct Huntington Beach, Ca 92648-6290 935-760-72 Occupant 7301 Jordyn Ct Huntington Beach, Ca 92648-6291 935-760-76 Occupant 7316 Bret Ct Huntington Beach, Ca 92648-6294 Se de Repliez h la hachure afin de chargement r6v6ler le rebord Pop-up"' j 111-150-48 Occupant 7292 Garfield Ave Unit 1 Huntington Beach, Ca 92648-2039 111-150-48 Occupant 7292 Garfield Ave Unit 4 Huntington Beach, Ca 92648-2039 159-281-03 Occupant 19002 Holly Ln Huntington Beach, Ca 92648-2218 933-874-36 Occupant 18868 Coolwater Ln Huntington Beach, Ca 92648-6850 935-760-36 Occupant 7352 Garfield Ave Unit B Huntington Beach, Ca 92648-2033 935-760-57 Occupant 7322 Berry Ct Huntington Beach, Ca 92648-6272 935-760-66 Occupant 7316Jordyn Ct Huntington Beach, Ca 92648-6292 935-760-70 Occupant 7292 Jordyn Ct 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Alexa Ln 19142 Alexa Ln 19138 Alexa Ln Huntington Beach, Ca 92648-2295 Huntington Beach, Ca 92648-2295 Huntington Beach, Ca 92648-2295 935-760-99 935-761-00 935-761-01 Occupant Occupant Occupant 7233 Richard Ct 7243 Richard Ct 7253 Richard Ct Huntington Beach, Ca 92648-6301 Huntington Beach, Ca 92648-6301 Huntington Beach, Ca 92648-6301 935-761-02 935-761-03 935-761-05 Occupant Occupant Occupant 7263 Richard Ct 7244 Lisamarie Ct 7264 Lisamarie Ct Huntington Beach, Ca 92648-6301 Huntington Beach, Ca 92648-6298 Huntington Beach, Ca 92648-6298 935-761-06 935-761-07 935-761-08 Occupant Occupant Occupant 7274 Lisamarie Ct 7285 Lisamarie Ct i 7275 Lisamarie Ct Huntington Beach, Ca 92648-6298 Huntington Beach, Ca 92648-6299 Huntington Beach, Ca 92648-6299 935-761-09 935-761-10 935-761-13 Occupant Occupant Occupant 7265 Lisamarie Ct 7255 Lisamarie Ct 7224 Rosemarie Dr Huntington Beach, Ca 92648-6299 Huntington Beach, Ca 92648-6299 Huntington Beach, Ca 92648-6306 935-761-19 935-761-22 935-761-27 Occupant Occupant Occupant 19082 Eric Ct 19070 Eric Ct 19073 Max Ct Huntington Beach, Ca 92648 6304 Huntington Beach, Ca 92648-6304 Huntington Beach, Ca 92648-6305 935-761-28 Occupant 19077 Max Ct Huntington Beach, Ca92648-6305 Etiquettes faciles A peler'Lt4 � Qp1i ; ® Repliez h la hachure afin de ; Sensde www.avery.com �Z� /16 Utilisez le gabarit AVERY® 5160� chargement rev6ler le rebord Pop-upMC j 1-800-GO-AVERY Easy Peel® Labels i ♦ ® Bend along line to Use Avery® Template 51600 Feed Paper �� expose Pop-up EdgeTM 1 2 HB Chamber of Commerce Orange County Assoc. of Realtors President Dave Stefanides 2134 Main St. Ste. 100 25552 La Paz Road Huntington Beach, CA 92648 Laguna Hills, CA 92653 9 19 Environmental Board Chair O.C. Ping. & Dev. Services Dept. Kim Nicolson Director 918 Palm Ave, Apt. A P.O. Box 4048 Huntington Beach, CA 92648 Santa Ana, CA 92702-4048 26 28 Department of Transportation, Dist. 12 Huntington Beach Post Office Maureen El Harake, Branch Chief New Growth Coordinator 3347 Michelson Dr. Suite 100 6771 Warner Ave. Irvine, CA 92612-8894 Huntington Beach, CA 92647 29 30 Fountain Valley Elem. School Dist. HB City Elementary School Dist. Rina Lucchese, Executive Assistant Gregg Haulk, Superintendent 10055 Slater Avenue 17011 Beach Blvd, Ste 560 Fountain Valley CA 92708 Huntington Beach. CA 92647 31 Ocean View School Dist. Attn: Cindy Pulfer, Admin. Services 17200 Pinehurst Lane Huntington Beach, CA 92647 32 Westminster School District Marian Kim Phelps, Superintendent 14121 Cedarwood Avenue Westminster, CA 92683 54 Karen Cadavona Southern California Edison Third Party Environmental Review 2244 Walnut Grove Ave, Quad 4C 472A Rosemead, CA 91770 31 Ocean View School Dist. Gustavo Balderas, Superintendent 17200 Pinehurst Lane Huntington Beach, CA 92647 33 HB Union High School District Stephen Ritter 5832 Bolsa Avenue Huntington Beach, CA 92649 54 Jenelle Godges, Region Manager Local Public Affairs Southern California Edison i 7333 Bolsa Avenue Westminster, CA 92683 a►VERY® 5160QD 5 Huntington Beach Tomorrow President PO Box 865 Huntington Beach, CA 92648 19 O.C. Planning & Develop. Dept. Michael Balsamo P.O. Box 4048 Santa Ana, CA 92702-4048 29 Fountain Valley Elem. School Dist. Marc Ecker 10055 Slater Avenue Fountain Valley, CA 92708 30 HB City Elementary School Dist. John Archiald 17011 Beach Blvd, Ste 560 Huntington Beach, CA 92647 32 Westminster School District Tony Wold 14121Cedarwood Avenue Westminster, CA 92683 33 HB Union High School District Greg Plutko, Superintendent 5832 Bolsa Avenue Huntington Beach, CA 92649 57 Kathleen Belohovek 9101 Five Harbors Dr. Huntington Beach, CA. 92646 Etiquettes faciles & peler b4- f 6 —CnY ; A Repliez h la hachure afin de ; 12�( l/b www.avery.comSens de Utilisez le gabarit AVERY® 51600 1chargement r6v6ler le rebord Pop-upmc CI1-800-GO-AVERY AFFIDAVIT OF PUBLICATION STATE OF CALIFORNIA, ) ) ss. County of Orange ) I am a citizen of the United States and a resident of the County aforesaid; I am over the age of eighteen years, and not a party to or interested in the above entitled matter. I am the principal clerk of the Huntington Beach Wave, a newspaper that has been adjudged to be a newspaper of general circulation by the Superior Court of the County of Orange, State of California, on July 1, 1998, Case No. A-185906 in and for the City of Huntington Beach, County of Orange, State of California; that the notice, of which the annexed is a true printed copy, has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to wit: November 10, 2016 "I certify (or declare) under the penalty of perjury under the laws of the State of California that the foregoing is true and correct": Executed at Santa Ana, Orange County, California, on In be 10, 2016 Signature Huntington Beach Wave 625 N. Grand Ave. Santa Ana, CA 92701 (714) 796-2209 Proof of Publication NOTICE OF PUBLIC HEARING BEFORE THE CITY COUNCIL OF THE CITY OF HUNTINGTON BE NOTICE IS HEREBY GIVEN that on Monday, November 21, 2016, at 6:00 p.m. in the City Council Chambers, 2000 Main Street, Huntington Beach, the City Council will hold a public hearing on the following planning and zoning items: 1.DEVELOPMENT AGREEMENT NO. 16-ol (GARFIELD CONDOMINIUMS) Applicant: Ed Bonanni Properl Owners: YMCA of Orange County, Jeff McBride, and City of Huntington Beach, Kellee ritzal Request: To enter into a development agree- ment between the City of Huntington Beach and Bonanni Development/JB Construction (developer) for Tentative Tract Map No. 17661 to establish one of the 10yunits as affordable unian "in lieu" fee for thetremaior ningo incfamilies of low rement of the affordable houfor a sing requiod of 55rement for hears and e aHolly Seacliff Specif- i c Plan. On October 11, 2016, the Planning Commission approved Tentative Tract Map No. 17661 to consolidate three parcels into one 0.636 net acre lot for condominium purposes and Conditional Use Permit No. 13-026 to permit the development of a 10 unit condomini- um subdivision, including a density bonus for one unit, subject to conditions requiring a development agreement to provide for affordable dwelling units and p�ayment of an "in lieu" fee in accordance with Section III.C.12.a of the Holly-Seacliff SpecHic Plan and Chap- ter 246 of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO). Location: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) Project Planner: John P. Ramirez NOTICE IS HEREBY GIVEN that Item #1 was included in the scope of Tentative Tract cov- ered Conditional No. 17661 and by Envi onmen al mp ctR port (EIR) No. 89-1� ppr�oved by the eCity Co ncil on Jan- uary 8, 1990, pursuant to the provisions of the California Environmental Quality Act. EIR No. 89-1 is on file at the City of Huntington Beach Community Development, 2000 Main Street, on the City's website at www.huntingtonbeachca.gov, and is available for public in- spection by contacting the Community Development Department, or by telephoning (714) 536-5271. ON FILE: A copy of the proposed request is on file in the Community Development De- partment, 2000 Main Street, Huntington Beach, California 92648, for inspection by the pub- lic. A copy of the staff report will be available to interested parties at the City Clerk's Office or on line at http://www.huntingtonbeachca.gov on Thursday, November 17, 2016. ALL INTERESTED PERSONS are invited to attend said hearing and express opinions or submit evidence for or against the application as outlined above. If you challenge the City Council's action in court, you may be limited to raising only those issues yoPu or someone elsde- livered t raiat sed atllorhpriorgto,the public hearing. scribed in this eIf there are anyn written rfurther questions please call the Community Development Department at (714) 536-5271 and refer to the above item. Direct your written communications to the City Clerk: Robin Estanislau, City Clerk City of Huntington Beach 2000 Main Street, 2nd Floor Huntington Beach, California 92648 714-536-5227 http://huntingtonbeachca.gov/HBPublicComments/ Published: The Huntington Beach Wave November 10, 2016 10212779 AFFIDAVIT OF PUBLICATION STATE OF CALIFORNIA, ) ) ss. County of Orange ) I am a citizen of the United States and a resident of the County aforesaid; I am over the age of eighteen years, and not a party to or interested in the above entitled matter. I am the principal clerk of the Huntington Beach Wave, a newspaper that has been adjudged to be a newspaper of general circulation by the Superior Court of the County of Orange, State of California, on July 1, 1998, Case No. A-185906 in and for the City of Huntington Beach, County of Orange, State of California; that the notice, of which the annexed is a true printed copy, has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to wit: November 10, 2016 " I certify (or declare) under the penalty of perjury under the laws of the State of California that the foregoing is true and correct': Executed at Santa Ana, Orange County, California, on 1er 10 016 Signature Huntington Beach Wave 625 N. Grand Ave. Santa Ana, CA 92701 (714) 796-2209 Proof of Publication NOTICE OF PUBLIC HEARING BEFORE THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH NOTICE IS HEREBY GIVEN that on Monday, November 21, 2016, at 6:00 p.min the City Council Chambers, 2000 Main Street, Huntington Beach, the City Council will hold a public hearing on the following planning and zoning items: CDEVELOPMENT AGREEMENT NO. 16.002 (GARFIELD CONDOMINIUMS) Applicant: Ed Bonanni Property Owners: YMCA of Orange County, Jeff McBride, and City of Huntington Beach, Kellee Fritzal Request: To enter into a development agree- ment between the City of Huntington Beach and Bonanni Development/JB Construction (developer) for Tentative Tract Map No. 17661 to establish one of the 10 units as affordable " units for Persons/families of low income for a period of 55 years and pay an in lieu" fee for the remaining increment of the affordable housing requirement for the Holly Seacliff Specif- ic Plan. On October 11, 2016, the Planning Commission approved Tentative Tract Map No. 17661 to consolidate three parcels into one 0.636 net acre lot for condominium purposes and Conditional Use Permit No. 13-026 to permit the development of a 10 unit condomini- um subdivision, including a density bonus for one unit, subject to conditions requiring a development agreement to provide for affordable dwelling units and payment of an "in lieu" fee in accordance with Section III.C.12.a of the Holly-Seacliff Specific Plan and Chap- ter 246 of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO). Location: 7262 Garfield Avenue, 92648 (southeast corner of Garfield Avenue and Gothard Street) Project Planner: John P. Ramirez NOTICE IS HEREBY GIVEN that Item #1 was included in the scope of Tentative Tract me No. 17661 and Conditional Use Permit No. 13-026, which was determined to be cov- ered by Environmental Impact Report (EIR) No. 89-1, approved by the City Council on Jan- uary 8, 1990, pursuant to the provisions of the California Environmental Quality Act. EIR No. 89-1 is on file at the City of Huntington Beach Community Development 2000 Main Street, on the City's website at www.huntingtonbeachca.gov, and is available for public in- spection by contacting the Community Development Department, or by telephoning (714) 536.5271. ON FILE: A copy of the proposed request is on file in the Community* Development De- artment, 2000 Main Street, Huntington Beach, California 92648, for inspection by the pub - or on line at httthe /st�rhunt ort will tonbeachca.l ovooninterested Thursday, Novemberarties at the 7, City 20I6. Office p: 9 9 ALL INTERESTED PERSONS are invited to attend said hearing and express opinions or submit evidence for or against the application as outlined above. If you challenge the City Council's action in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence de- livered to the City at, or prior to, the public hearing. If there are any further questions please call the Community Development Department at (714) 536-5271 and refer to the above item. Direct your written communications to the City Clerk: Robin Estanislau, City Clerk City of Huntington Beach 2000 Main Street, 2nd Floor Huntington Beach, California 92648 714-536.5227 http://hu ntingtonbeachca.gov/H BPu blicComments/ Published: The Huntington Beach Wave November 10, 201610212779 �r'C E .` •.3n ; 11/21/2016 ject Request Development Agreement No. 16-002 : ➢Enter into a Development Agreement between Bonanni Development and the City to establish affordable housing requirements for a recently approved project ➢Approve for Introduction Ordinance No. 4126 approving Development Agreement No.16-oo2 for the Bonanni Garfield Condominiums 01 11/21/2016 On October 11, 2016, the Planning Commission approved: ➢TTM No. r7661 to consolidate three parcels into one o.636 net acre lot for condominium purposes ➢CUP No. 13-026 to permit the development of a io unit condominium subdivision which includes a density bonus for one unit ➢HSSP affordable housing requirements for 15% of the total units (9 units x 15% =1.35 affordable units required) ➢DA No. 16-002 to provide for one affordable dwelling unit on site and payment of an "in lieu" fee for the 0.35 fractional unit (In lieu fee is s185,710) PC and Staff Recommendation Recommend the City Council: ➢Approve Development Agreement No.16-oo2 ➢Approve for Introduction Ordinance No. 4126 for the Bonanni Garfield Condominiums 2 11/21/2016 Questions