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HomeMy WebLinkAboutOcean View Estates Rental Properties - 1997-06-16r . v Council/Agency Meeting Held: Zh 4197 Deferred/Continued to: A Approved, . _ ❑ conditionally Approved ❑ Denied Council Meeting Date: JUNE 16, 1997 Alepa� City Clerk's ggnature Department ID Number. ED 97-27 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCILIREDEVELOPMENT AGENCY ACTION SUBMITTED TO: Honorable Mayor/Chairman and City Council/Agency Members SUBMITTED BY: Michael T. Uberuaga, City Administrator/Executive DirectorWu� PREPARED BY: David C. Biggs, Director of Economic Development &V SUBJECT: LEASE OF REDEVELOPMENT AGENCY -OWNED MOBILE HOMES AT OCEAN VIEW ESTATES (OVE) F11a �?01 Statement of Issue, Funding Source, Recommended Action, Alternative Action(s). Analysis, Environmental Status, Attachrnent(s) Statement of Issue: The Redevelopment Agency owns five homes at OVL. Three of these homes were purchased as voluntary buy-outs and have been vacant anywhere from one to three years. The two remaining homes were never occupied: one served as an office and model home; the other was never completely set-up. On March 17, 1997, Council authorized the rehabilitation on these homes. The rehabilitation has been completed and they are ready for occupancy. Funding Source: None. Recommended Action(s): Motion to: 1. Approve the attached lease for the Agency owned homes (Spaces 15. 19, 20, 31, and 44) and established rent schedule (per Attachment No. 1). Further, find that all renters of the Agency owned home are to be seniors as defined by Mobilehome Residency Law as 55 years of age and older per Section 798.76 and the Fair Housing Amendments Act as amended by Public Law 104-76. 2. Adopt the attached Redevelopment Agency Resolution No. a 7 a , that would allow the lease agreements to be entered into jointly by the Director of Economic Development and The Deputy City Administrator/Administrative Services. 3. Direct staff from Economic Development and Administrative Services to establish separate revenue accounts to track rent payments from these homes, and expenditure accounts for monthly operating costs and reserves as outlined in Attachment 3; and to develop a procedure for hiring "on -call" emergency maintenance contractors. RAALEASE.DOC -- x�j 06106/97 3:21 PM REQUEST FOR Ch Y COUNCIL/REDEVELOPMEN r AGENCY ACTION MEETING DATE: JUNE 16, 1997 DEPARTMENT ID NUMBER: ED 97-27 Alternative Action(s): 1. Do not accept lease and direct staff to re -analyze the lease and return with a new recommendation. 2. Reject Resolution and return with new Resolution. Analysis: For a number of months, Economic Development staff has been preparing a strategy for restoring and leasing the vacant homes at OVE. Many issues and options were explored with staff members of Administrative Services, City Attorney, and Public Works Departments. The first phase of the process was to rehabilitate the homes for lease. Five bids were obtained for the rehabilitation effort from contractors on the CDBG Housing Rehab Program list. X Construction was selected by the City Council at the March 17, 1997 meeting. Rehabilitation was completed on May 14, 1997. Other Issues An interest list of prospective tenants for these homes has been created. Dozens of telephone calls have been received from interested persons. So far, the reaction to the estimated rental amount for the homes has been positive. The estimated rents are a combination of space rent and a nominal amount for the use of the home. Staff conducted telephone surveys of a range of senior parks in Huntington Beach in order to develop these estimates. Attached is a sample cash flow analysis (Attachment 3) that analyzes projected rental income from the homes verses expenditures and reserves required for long term maintenance.. These amounts could possibly be realized only if the homes are rented to non -Driftwood residents. If current Driftwood residents are offered relocation to OVE they would be entitled to the same space rent that is currently being charged ($329 monthly) and the Agency would realize no additional income for the occupancy of the homes. The Agency would, however, see the costs to acquire the Driftwood homes deferred to a future date. Also, there are now seven empty pads at OVE where current Driftwood residents could be relocated, either with their existing homes or with new homes purchased by the Agency. As such, staff is still exploring options related to these spaces as well. Environmental Status: N/A RAALEASE.DOC -2- 06/06/97 3:21 PM REQUEST FOR CITY COUNCIL/REDEVELOPMENT AGENCY ACTION MEETING DATE: June 16, 1997 DEPARTMENT ID NUMBER: ED 97-27 Attachment(sl: List attachment(s) below. No. Description 1 Redevelopment Agency Resolution No. 282 and Rental Agreement 2 Projected Cash Flow MTU:DCB:deb:gab �1 -�' �ab RAALEASE.DOC -3- 06/10/97 12:20 PM Redevelopment Agency Resolution No. 282 and Rental Agreement ATTACHMENT #1 U U 1:1*1911 11Eel"1101p :ia A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH AUTHORIZING THE DIRECTOR OF ECONOMIC DEVELOPMENT AND THE DEPUTY CITY ADMINISTRATORIADMINISTRATIVE SERVICES TO EXECUTE AGREEMENT NO.282 FOR OCCUPANCY IN OCEANVIEW ESTATES MOBILE HOME PARK WHEREAS, the Redevelopment Agency desires to enter into occupancy agreements with individuals for occupancy of Agency owned mobile homes in the Oceanview Estates Mobile Home Park, NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the City of Huntington Beach that the Director of Economic Development and the Deputy City Administrator, Administrative Services are authorized and directed to execute the necessary documents pursuant to the Attached Exhibit 4A" for the occupancy of Agency -owned mobile homes in Oceanview Estates. PASSED AND ADOPTED by the Redevelopment Agency of the City of Huntington Beach at a regular meeting thereof held on the 16 t h day of June , 1997. >N ATTEST: Agency Clerk & 19 17 REVIEWED AND APPROVED: F'AF-- I Executive Urector 444< Ag�'� Chairman APPROVED AS TO FORM: F L 7 Agency Counsel �1-►,p o " C �10f 1"1 INITIATED AND APPROVED: A, If I d /e9 " WL Dir or of Economic evelopment jmpWresofutionloee aview16110197 V U Res. No. 282 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF HUNTINGTOti BEACH } I, CONINIE BROCKWAY, Clerk of the Redevelopment Agency of the City of Huntington Beach, California, DO HEREBY CERTIFY that the foregoing resolution was duly adopted by the Redevelopment Agency of the City of Huntington Beach at an adjourned regular meeting of said Redevelopment Agency held on the 16th day of June,1997 and that it was so adopted by the following vote: AYES: Members: Julien, Dettloff, Bauer, Sullivan, Green, Garofalo 11 NOES: Members: None ABSENT: Members: Harman Clerk of the Redevelopment Agency G/reso1u1i/resbkpg2/Rcs.281 r RENTAL AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH AND FOR OCCUPANCY OF MOBILEHOME IN OCEAN VIEW ESTATES MOBILEHOME PARK 1. PARTIES: This Occupancy Agreement is made and executed this day of 14 by and between the Redevelopment Agency of the City of Huntington Beach, a public body, corporate and politic, of the State of California, (herein called "LANDLORD") and (hereinafter called "TENANT'). 2. DEMISED PREMISES: LANDLORD hereby leases to TENANT, and TENANT hereby rents from LANDLORD, a mobilehome located at Space No. in Ocean View Estates Mobilehome Park, 7051 Ellis Avenue, Huntington Beach, California, and further described in Attachment A. 3. TERI1i (A) Aptions 1. The tenancy created under this Agreement shall be for a period of months and shall commence on and end on , unless sooner terminated in accordance with terms of this Agreement. TENANT'S initials 2. The tenancy created under this Agreement shall be on a month -to -month basis and shall commence on TENANT'S initials (B) TENANT acknowledges that LANDLORD has offered TENANT the option of a month -to -month rental agreement, rental agreement having a term of twelve (12) months, or a rental agreement having a term which is longer than�a month -to -month tenancy but i less than twelve (12) months in length. TENANT acknowledges his/her understanding that he/she may elect to accept any one of these three (3) options and that this election is solely a TENANT' option. TENANT further acknowledges that even though he has these three (3) options, he/she has voluntarily elected the term of tenancy set above. jmp,Vg;agrcc/ovcrcnV6/10.197 I 4. RENT: TENANT agrees to pay LANDLORD rent for the demised premises, without deduction, according to the following Rent Schedule: (A) S per month, which includes space rent and the rental charges for the mobilehome described in paragraph 2 only. TENANT is responsible for payment of all utilities and utility deposits. Commencing and thereafter a maximum increase of 7% per year, or that percentage for the previous year as set forth by the Pacific Cities and U.S. City Average All Urban Consumers Price Index or whicl:over such indicator is commonly in use at the time, whichever is greater, said percentage increase to be calculated on the previous year's base rental amount and shall be effective July 1 annually. (B) Said rent shall be payable monthly in advance, on the first day of each month, plus all other sums, if any, payable hereunder, which additional charges shall be payable within five (5) days after LANDLORD renders statements of account therefore. All monies payable hereunder shall be paid by check or money order at the City of Huntington Beach, 2000 Main, Huntington Beach, California 92648. Should TENANT issue a check or other instrument to LANDLORD which is not supported by sufficient funds or is valueless, then LANDLORD may require that payment be made in cash, in which case the TENANT will be notified, and all other requirements for paying rent and other charges will remain the same. Rent may be adjusted in an amount determined in accordance with this Paragraph 4 by the City of Huntington Beach Real Estate Services Division ("the Management") at the beginning of each anniversary year and upon thirty (30) days written notice to TENANT. Failure to pay new rental amount when due shall constitute a default of this agreement, and subject TENANT to termination of this tenancy. (C) If the rent is not paid by the 10th day of any calendar month, a late charge of $20.00 will be charged to cover Management's costs for additional accounting and collection expenses. Additionally, a handling charge will be required for all checks returned by the bank due to insufficient funds in the TENANT'S account or for any other reason. The above amounts shall increase yearly, based upon the yearly percentage rent increase set forth hereinabove. This provision shall not be construed as a waiver by Management of its right to enforce any provision hereof after any default on the part of a TENANT. Furthermore, the acceptance of payments shall not constitute a waiver of any breach of any rule, regulation or any covenant of the Rental jmp/klg:agrcdovcrcnt/5/ 14/97 2 Q Agreement, nor shall it reinstate, continue or extend the term of the party's Rental Agreement or affect any notice, demand or suit hereunder. S. SECURITY DEPOSIT: At the time TENANT executes this Lease and prior to beginning occupancy in the Park, TENANT shall deposit with LANDLORD, the sum of $ to be held by Management as security for the faithful performance of this Lease by TENANT. Management shall not pay TENANT any interest on the deposit during the time it is held by Management. TENANT may submit a written request by Management for a refund of this deposit after either: (1) a period of twelve (12) consecutive months has elapsed from the commencement of this Lease, during which time TENANT has paid, within five (5) days of applicable due dates, all rent utilities, and service charges due under this Lease; or (2) TENANT has vacated the mobilchome. Following its receipt of the written request under the first circumstances described above, Management shall refund to TENANT the full amount of the security deposit. On receipt of a written request following the sale of TENANT's mobilehome, Management shall refund to TENANT the full amount of the security deposit, less any amounts owing to Management by TENANT for rent, utilities, or other charges due under this Lease but unpaid by TENANT at the time TENANT vacates the Park. The following schedule shall apply should repair or replacement be required upon TENANT's vacating of the premises: Please note that this is not an all-inclusive list; you can be charged for the repair of items that are not on this list. BATIIROO'M CLEANING BATHROOM CLEANING MISCELLANEOUS Oven $30.00 Shower Doors Drip pans $2.00 Toilet(s) Stove and Tub/Shower(s) vent hood $10.00 Sinks/Counters/ Refrigerator/ Cabinets Freezer $40.00 Dishwasher $10.00 Cabinets and Countertops $30.00 jmp/ktg:agreclovcrcnt/5/ 14197 $15.00 Window S 10.00 coverings $20.00 (drapes, blinds) $50.00 Carpet Cleaning $100.00 $35.00 Carpet repairs $100.00 Trash removal $60.00 Wallpaper removal $150.00 Painting $200.00 Tile Floors $25.00 Holes in Wall $75.00 3 V Replacement Charges If any items are missing or damaged to the point that they must be replaced when you move out, you will be charged for the current cost of the item, plus labor and service charges. A representative list of replacement charges is provided below. These are average prices. If LANDLORD incurs a higher cost for replacing an item, you will be responsible for paying the higher cost. Please not that this is not an all-inclusive list; you can be charged for the replacement of items that are not on the list. Window glass $150.00 Ice Trays $3.00 Doors $100.00 Patio glass doors $150.00 Crisper covers $15.00 Light fixtures $50.00 Window screens $35.00 Refrigerator Light bulbs S1.00 Patio screens $100.00 shelves/racks $30.00 Countertops $250.00 Door keys - lost $25.00 Disposal $65.00 not returned $35.00 Mirrors (bath) $60.00 6. UNPAID RENT DUE: TENANT hereby agrees that LANDLORD may recover any unpaid rent and charges due prior to the sale of the mobilehome. 7. I%IANAGEMENT OF PARE: LANDLORD shall be Management until such time as a Park Manager shall be on site and vested with all the legal right of authority to enforce the Rules and Regulations applicable to the Park. S. LOT AND 11IOBILEIIO,%IE MAINTENANCE: (A) TENANT shall at all times maintain TENANT's mobilehome and the homesite in a clean and sanitary condition, and shall cause all rubbish and other debris to be removed from TENANT's mobilehome and the homesite on a regular basis. Landscaping on the homesite shall be watered and maintained by TENANT, at TENANT's expense. In addition, TENANT shall comply with all park rules and regulations (described herein) pertaining to the maintenance of the homesite by TENANT. TENANTS are expressly prohibited from storing anything, other than wheels, tires, and hitches, under the mobilehome. (B) Management may enter the rented premises for the purpose of inspecting same and to do any work in connection with maintenance and repair of the Lot and mobilehome the cost of such maintenance or repairs occasioned by neglect or misuse of the Lot and/or mobilehome shall be paid by the TENANT. jmp/k/g:agrWovcrent/5/14197 4 411h.) V If TENANT fails to maintain the homesite in accordance with this paragraph and with applicable Park rules and regulations, LANDLORD shall have the right to perform or cause the performance of the necessary maintenance and to charge TENANT a reasonable fee for services performed. Prior to exercising this right, LANDLORD first shall give TENANT written notice that states the specific condition to be corrected and an estimate of the charges that will be imposed if LANDLORD corrects or causes the correction of the condition. If TENANT fails to correct the condition within fourteen (14) days, LANDLORD shall have the right to cause the condition to be corrected and to impose a reasonable fee on TENANT for the services performed. 9. LANDSCAPING: (A) All TENANTS are required to landscape their Lot in a clean, attractive and well kept fashion. LANDLORD encourages all residents to be as original and elaborate as they wish as far as lawn, flowers and shrubs are concerned, but installation of any trees or any concrete, masonry or ground cover (including rock, wood -chips, bark, etc.) must be approved by Management beforehand. TENANTS must check with RENTER'S Park Manager before digging or driving rods or stakes in the ground, as they might damage underground wiring, utility wire or plumbing. TENANT shall bear the cost of repairs to any utilities damaged by TENANT. (B) ASI landscaping improvements shall at once become a part of the realty and belong to LANDLORD and shall remain upon and be surrendered with the Lot, provided that at RENTER'S option, TENANT, at his/her expense when surrendering the Lot, shall remove all such landscaping planted by TENANT, and TENANT shall repair any damage to the premises caused by such removal. 10. PATIO FURNITURE: LANDLORD expressly prohibits the use of any furniture on the patio, porch or yard unless it is outdoor patio furniture approved by RENTER'S Park Manager. No overstuf ed furniture, ironing boards, brooms, mops, or other household equipment, are allowed to be stored outside the mobilehome. 11. PETS: (A) Pets (one only), under 25 pounds in weight, are permitted to be kept in the Park only upon written permission by LANDLORD. jmp/k/Kagrec/overent/5/14/97 5 (B) If permitted, the type of pets and conditions are set forth in separate Pet Agreement which, if applicable, is attached and by reference made a part of this Agreement. LANDLORD reserves the right to deny the keeping or acquisition of a pet in the Park. (C) Guests are prohibited from bringing pets into the Park. 12. PEACE AND QUIET: (A) TENANTS are entitled to the peaceful enjoyment of their Lot and all park facilities. Radios, televisions, record players, electronic sound systems, musical instruments or any other noise that may cause annoyance to TENANTS must, therefore, be kept reasonably low, especially after 10:00 P.M. No radio transmitters are allowed in the Park. Evidence of unreasonably loud noise may be shown through statements of at least two other residents of the park. (13) Loud parties, intoxication, fighting, immoral conduct or children without the supervision of an adult, are prohibited. 13. VEHICLE CONTROL: (A) For the safety of the Park TENANTS and their guests, LANDLORD has established and posted a speed limit in the Park, and all TENANTS must cooperate in its enforcement. (B) TENANTS may park passenger vehicles only on the Lot driveway or other designated areas. Neither TENANTS nor their visitors may park any vehicle on another TENANT'S lot or vacant lot without the express permission of that TENANT or RENTER'S Park Manager, whichever is applicable. Visitors may park in the designated guest parking areas, or in their host's driveway if space is available. Trailers, boats and recreational vehicles not used for daily transportation must be parked only in the designated storage areas. All motorized vehicles must meet State law requirements in order to be operated in the Park. No inoperable, unusable or unsightly vehicles will be allowed anywhere within the boundaries of the park, including in the storage areas. (C) The operation of motorcycles, motor scooters, minibikes and other two and three wheel motorized vehicles must be approved in writing by LANDLORD. jmp/k/g:agrcc/o%-crcnt/5/1 a/97 6 MJ V" 14. ACCESSORY EQUIPMENT AND STRUCTURES: The construction or installation of any mobilehome accessory by TENANT is expressly prohibited. 15. GARBAGE AND TRASII DISPOSAL: All garbage must be wrapped and, with other refuse, must be placed in the proper containers provided therefore. Sanitary and health laws must be obeyed at all times. 16. INSPECTION: TENANT states that he/she has fully and completely examined the premises, the streets, recreational facilities and all other areas open to their use and found their condition as being safe and acceptable. 17. SUBLETTING MOBILE1101MES: Subletting ofmobilehomes is expressly prohibited. 18. WRITTEN APPROVAL: References to approval, permission, or authorization of LANDLORD shall require LANDLORD to be reasonable in exercising its action and shall be construed as reasonable written approval prior to taking action. 19. COMPLAINTS: All TENANT complaints, except emergencies, must be presented to LANDLORD'S Park manager in writing during office hours. 20. WAIVER OF LIABILITY: TENANT, as a material part of the consideration under the Rental Agreement, hereby waives all claims against LANDLORD for damages to furniture, equipment, records, goods, wares or merchandise in, upon or about the TENANT'S mobilehome, from any cause arising at any time, other than the negligence of LANDLORD'S employees. TENANT does hereby agree to indemnify and hold LANDLORD harmless from and on account of any damage of injury to any person, or to the furniture, equipment, records, goods, wares or merchandise of any person, arising from the use of the Park by TENANT, or arising from the failure of TENANT to keep the mobilehome and the Lot in good condition, as herein provided, or arising from the negligence of TENANT, his family or guests. LANDLORD shall not be liable to TENANT for any damage by or from any act or negligence or any co -tenants or their guests, or by any owner or occupant of adjoining or contiguous mobilehomes. TENANT agrees to pay for all damage to the Park and Lot, as well as all damages to other TENANTS, their guests and families thereof caused by the TENANT'S or his guest's negligence or misuse of the Park. TENANT must provide proof of having obtained jmp/k/g:agrcc1avcrcnt/5/14/97 7 W insurance covering the contents of the mobilehome. This coverage must be renewed annually and must submit proof of renewal to Park Manger. 21. WAIVER OF DEFAULT: No waiver by LANDLORD of its right to enforce any provision hereof after any default on the part of TENANT, shall be deemed a waiver of RENTER'S right to enforce each and all of the provisions hereof upon any further or other default on the part of the TENANT. The acceptance of rent hereunder shall not be, or become const •-:ed to be, a waiver of any breach of any term, covenant or condition of the party's Rental Agree ent or the Park's Rules and Regulations, nor shall it reinstate, continue or extend the term of the party"s Rental Agreement or affect any notice, demand or suit thereunder. TENANT must provide proof of having obtained insurance covering the contents of the mobilehome. This coverage must be renewed annually and TENANT will submit evidence of renewal to the Park Manager. 22. UTILITIES AND OTHER CHARGES: LANDLORD does not provide any utility service. TENANT shall pay for gas, electricity, water and such other utilities as may be provided. TENANT shall secure and pay a fee for a storage permit from LANDLORD for any recreational vehicles, e.g., bcats, trailers, motorhomes, etc. 23. TERMI[NATION: TENANT or LANDLORD may terminate this tenancy by giving the other party thirty (30) days written notice thereof and rental shall be paid through that date, or if there be previously paid but unused rent, the same shall be refunded when the premises are vacated. 24. WDEMNIFICATION: TENANT covenants to indemnify and hold and save LANDLORD harmless, its officers, agents and employees from and against any and all liability, damages, costs, losses, claims and expenses caused by cr arising out of any injury or death of persons or damage to property, income upon or about the leased premises or caused by or arising out of any activities or omission of TENANT, his agents, employees, licensees and/or invitees, including without limitation, injury or death of TENANT, his agents, employees, licensees and invitees and damage to their property or TENANT'S property; any concurrent negligence or willful misconduct of LANDLORD shall in no way diminish TENANT'S obligations hereunder. Further, TENANT agrees to indemnify and hold harmless LANDLORD with respect to any and jmp/k/g:agrcc%Vc rcnt/5/ 14/97 8 LN all claims for relocation benefits including those benefits specifically enumerated within the Driftwood Acquisition and Relocation Agreement, signed September 16, 1988. 25. RECEIPT OF PARK RULES AND REGULATIONS AND APPLICABLE LAW: TENANT hereby acknowledges receipt of the Niobilehome Park Rules and Regulations adopted for the benefit and protection of all tenants, guests and visitors, and TENANT hereby agrees to abide by and conform with all laws of the State of California and each and all of the present rules and regulations, and all future rules and regulations hereafter adopted by LANDLORD and implemented in compliance with State law. TENANT also agrees that any breach by himself/herself, family, guests or visitors of the rules and regulations, or State law, shall be deemed a failure to perform an express term of this Rental Agreement for said breach as a default pursuant to the laws of the State of California then in effect. 26. GOVERNING LAW: This Rental Agreement shall be governed by and construed pursuant to the laws of the State of California. 27. CAPTIONS: The titles of paragraphs herein are for identification only and are not to be considered to be a part of this Rental Agreement, nor to be restrictive in any manner of the provisions of any of the paragraphs of this Rental Agreement. 28. EXECUTION AND ACKNOWLEDGMENT: TENANT acknowledges having read the Rental Agreement and agrees to be bound by all of the terms and conditions herein contained. 29. INSURANCE HAZARDS. TENANT shall not commit or permit the commission of any acts on said Premises nor use or permit the use of said Premises in any manner that will increase the existing rates for or cause the cancellation of any fire, liability, or other insurance policy insuring said Premises or the improvements on said Premises. TENANT shall, at his/her own cost and expense, comply with any and all requirements of LANDLORD'S insurance carriers necessary for the continued maintenance at reasonable rates of fire and liability insurance policies on said Premises and the improvements on said Premises. 30. WASTE OR NUISANCE. TENANT shall not commit or permit the commission by others of any waste on said Premises; TENANT shall not maintain, commit, or permit the maintenance or commission of any nuisance as defined in Section 3479 of the j mpWg: agrcc/ovcrcnt 13/ 13/97 9 WR California Civil Code on said Premises; and TENANT shall not use or permit the use of said Premises for any unlawful purpose. 31. COIMPLIANCE WITI1 LAW. TENANT shall at TENANT'S own cost and expense comply with all statutes, ordinances, regulations, and requirements of all governmental entities, both federal and state and county or municipal, relating to TENANT'S use and occupancy of said Premises whether such statutes, ordinances, regulations, and requirements be now in force or hereinafter enacted. The judgment of any court of competent jurisdiction, or the admission by TENANT in a proceeding brought against TENANT by any government entity, that TENANT has violated any such statute, ordinance, regulation, or requirement shall be conclusive as between LANDLORD and TENANT and shall be ground for termination of this lease by LANDLORD. 32. PARTIAL INVALIDITY. Should any provision of this lease be held by a court of competent jurisdiction to be either invalid, void, or unenforceable, the remaining provisions of this lease shall remain in full force and effect unimpaired by the holding, so long as the reasonable expectations of the parties hereto are not materially impaired. j mp/k/g:agrcdovcrcnt/5/ 14/97 REST OF PAGE NOT USED 10 V U_ 33. ENTIRETY: This Rental Agreement and the documents incorporated herein contain the entire agreement bet-.vicen the parties. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers the day, month and year first above written. TENANT: LANDLORD: REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH, a public body, corporate and politic, of the State of California. ACKNOWLEDGED AI de Director of Economic Development Park Manager or Lessor INuwr`i E&xbI Ri7VED: -, .f Administrative Services APPROVED AS TO FORM: o-'77 Agency Counsel G ! g7 jmpWg:agrce/ovcren Vb/ 10l97 it RENTAL AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY OPF THE REDEVELOPMENT AGENCY OF TIIE CITY OF HUNTINGTON BEACH AND FOR OCCUPANCY OF MOBILEHOME IN OCEAN VIEW ESTATES AIOBILEHOME PARK TABLE OF CONTENTS Section Page 1. PARTIES 1 2. DEMISED PREMISES 1 3. TERM 1 4. RENT 2 S. SECURITY DEPOSIT 3 6. UNPAID RENT DUE 4 7. MANAGEMENT OF PARK 4 8. LOT AND MOBILEHOME MAINT. 4 9. LANDSCAPING 5 10. PATIO FURNITURE 5 11. PETS 5 12. PEACE AND QUIET 6 13. VEHICLE CONTROL 6 14. ACCESSORY.' EQUIPMENT 7 15. GARBAGE AND TRASH DISPOSAL 7 M. INSPECTION 7 17. SUBLETTING MOBILEHOMES 7 18. WRITTEN APPROVAL 7 19. COMPLAINTS 7 20. WAVIER OF LIABILITY 7 21. WAIVER OF DEFAULT 8 22. UTILITIES AND OTHER CHARGES 8 23. TERMINATION 8 24. INDEMNIFICATION 8 25. RECEIPT OF PARK RULES 9 26. GOVERNING LAW 9 27. CAPTIONS 9 28. EXECUTION AND ACKNOWLEDGMENT 9 29. INSURANCE HAZARDS 9 30. WASTE OR NUISANCE 9 31. COMPLIANCE WITH LAW 10 32. PARTIAL INVALIDITY 10 33. ENTIRETY 11 jmpWg:/agrcc/ovcmnd6/10/97 E Description of Mobile home 7/k/ovelcasc/8/5/96 G:brucnind/mobm/ovelcasc 13 ATTACIENTENT A ATTACHMENT B Park Rules and Regulations 7/k/ovelease/8/5/96 G:bruenind/mobrev/ovelease 14 V AIOBILEII031E PARK RULES AND REGULATIONS CITY OF IIUNTINGTON BEACH 7051 Ellis Avenue, Huntington Beach, California 92648 1. Residents shall maintain their lots in a neat and orderly fashion and care for the landscaping. If the lot is not properly cared for, the park may have work performed and make appropriate charges. 2. No loud talking, radio, television, or other noises between 10:00 p.m. and 9.00 a.m. or disturbing noises at any time or any place. Automobiles shall be parked in designated places and parking of more than two vehicles, {cars, travel trailers, campers, etc.} requires special arrangements with the management. Streets must be kept clear. 4. Children are not permitted in the service rooms or recreation area unless accompanied by an adult. S. Management is not responsible for any loss due to fire, accident or theft. 6. Speed limit is 10 MPH on the premises. 7. No towels, bathing suits, rugs, wearing apparel or laundry of any description may be hung outside except in designated areas provided for this purpose. 8. The rental of a mobilehome lot does not include the privilege of using the space for commercial purposes or for negotiation or sate of automobiles or other merchandise. No "FOR SALE" signs shall be posted. 9. Use of any spray paint guns or equipment within the park must first be approved in writing by the management. 10. Pets are not allowed within the park unless permission in writing is given by management. 11. No furniture permitted on the patio or porch or in the yard except outdoor patio furniture. No overstuffed furniture, ironing boards, brooms, mops, major appliances, etc., allowed outside mobilehome unless in an approved storage cabinet. 12. All mobilehome cabanas, porches, skirting, ramadas, awnings, storage cabinets, fences, windbreaks, or other structures must be approved by the management before construction or installation. 13. All public laws or ordinances shall be obeyed and no acts shall be committed which would constitute a violation or place the management in violation of any of these laws or ordinances. I4. If at any time it is necessary to call the Police or any other enforcement agency, notify management of such action as soon as possible. I5. Management reserves the right to restrict the use of common areas or any park facility as to hours, purposes and conduct. Scheduling of events offered for park residents, of any group thereof, must be first approved by management. 16. Mobilehomes must be equipped with skirting within 45 days af3er installation, and with at least one awning writhin 60 days thereof. 17. tiTobilehomes and accessory structures must be well maintained, properly painted, clean and waxed at all times. 18. Residents entertaining visitors or guests at the park shall be responsible for their conduct while on park premises and shall be responsible for any charges incurred by the visitors or guests. 19. All visitors or guests who remain more than three days, or who use community facilities at any time, must be registered with the park management. No overnight parking of recreation vehicles is allowed. 20. A vehicle washing and maintenance area is not provided. These activities are to be performed on the street or lot parking area. 21. No major appliance such as clothes dryers, air conditioning units, space heaters, etc. may be installed in any mobilehome or upon any mobilehome lot without prior written approval of management. 22. Residents shall deposit all garbage and trash in receptacles provided by management. 23. Mobilehomes within the park may not be transferred or sublet. I V 24. Management may require the removal of any mobilehome that is unoccupied for more than 120 consecutive days without good reason and written approval of the management. `.) OCEAN VIEW ESTATES RULES AND REGULATIONS FOR USE OF CLUBHOUSE SCHEDULING 1. A calendar will be posted in the Club House. To avoid Conflict, all events must be written in on the calendar. 2. The Club House has been primarily provided for use of the residents. Because of parking and liability factors, anyone wishing to reserve it for their own special occasions must go through the City and be prepared to pay for insurance coverage ($45- non-refundable), and a clean-up/damage deposit of $60 (refundable after inspection). Bear in mind that occupancy limit is 64. Contact person is Robbie Fitzgerald (536-5273). Remember to first check our calendar before contacting her. In -Park functions will not be subject to the City Permit process. OTHER l . No one under 18, or non-resident, will be allowed in the Club House unless accompanied by an adult resident of the park. 2. It's extremely important that the pool table not be moved, even a little bit, there is a S 160 charge for balancing it. 3. The following people currently have keys to the Club House: Mazie Kroesch (Sp. 41) Betty Stone (Sp. 42) Mary Hodge (Sp. 29) Evelyn Claude (Sp. 36) George Fader Sp. 43) Anyone wishing to have their own key may get one made. The kitchen is keyed separately, for security purposes If you need access to that area you will need to check out a kitchen key from one of the above people, and return it when finished. 4. The Club House is not available to other than residents on major holidays. Projected Cash Flow ATTACHM__ENT 42 M U Ocean View Estates Rent Projections Redevelopment Agency Owned Homes Sp.15 $ 900.00 x12Months Sp.19 $ 950.00 x12 Sp.20 $ 850.00 x12 Sp. 31 $ 900.00 x12 Sp. 44 $ 1.000.00 x12 Total Gross Revenue S 55.209y00 $ 10,800.00 1 $ 11,400.00 1 $ 10,200.00 1 $ 10.800.00 $ 12,000.00 1 OCEAN VIEW ESTA Total # of Spaces # Vacant Spaces # Covered by Driftwood Relocation Agreement # Owned by Redevelopment Agency Average Agreed Value ' $60 per coach per month "'$75 per coach per month Vacancy Adjustment: 5% Monthly Operating Costs: $300 per month' Reserves: $375 per month" Total Expenses Estimated Annual Net Revenue 44 7 21 5 $61,815 $ 2,760.00 $ 3,600.00 $ 4,500.00 $ 10,860.00 $ 44,340.00 Acquisition Costs: $305,000 Rehab Costs: $ 28,415 Est. Net Revenue: $ 44,000 Years/Break-even: 7.58 ROi Rate = NOiN L $44,0001$333,415 = 13% 616197 11:08 AM BIDS4.XLS Rents