Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
Approve Agreement for Partial Land Purchase and Joint Escrow (16)
CALIFORNIA LAND TITLE ASSOCIATION STANDARD COVERAGE POLICY 1990 CHICAGO TITLE INSURANCE COMPANY SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, CHICAGO TITLE INSURANCE COMPANY,a Missouri corporation,herein called the Company,insures,as of Date of Policy shown in Schedule A,against loss or damage, not exceeding the Amount of Insurance stated in Schedule A, sustained or incurred by the insured by reason of: 1. Tide to the estate or interest described in Schedule A being vested other than as stated therein; 2. Any defect in or lien or encumbrance on the title; 3. Unmarketability of the title; 4. Lack of a right of access to and from the land; and in addition, as to an insured lender only: 5. The invalidity or unenforceability of the lien of the insured mortgage upon the title; 6. The priority of any lien or encumbrance over the lien of the insured mortgage, said mortgage being shown in Schedule B in the order of its priority; 7. The invalidity or unenforceability of any assignment of the insured mortgage,provided the assignment is shown in Schedule B,or the failure of the assignment shown in Schedule B to vest title to the insured mortgage in the named insured assignee free and clear of all liens. The Company will also pay the costs,attorneys'fees and expenses incurred in defense of the title or the lien of the. insured mortgage, as insured, but only to the extent provided in the Conditions and Stipulations. In Witness Whereof,CHICAGO TITLE INSURANCE COMPANY has caused this policy to be signed and sealed as of Date of Policy shown in Schedule A,the policy to become valid when countersigned by an authorized signatory. Issued by: CHICAGO TITLE 535 N.BRAND BOULEVARD,4TH FLOOR GLENDALE,CA 91203 CHICAGO TITLE INSURANCE COMPANY (800) 880-9124 By: President ATTEST: Secretary A M�-'PAL -.-T Reorder Form No.8223(Reprinted 10/00) CLTA Standard Coverage Policy- 1990 7-/ L�U aotC'irJ5 Council/Agency Meeting Held S SOU Deferred/Continued to Appr ve ❑ Conditionally Approved ❑ Denied e<,f,�,&-3p ty rk s gnat re Council Meeting Date 10/15/2007 Department ID Number ED 07-39 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO HONORABLE MAYOR AND CITY COUNCIL MEMBERS SUBMITTED BY PENELOPE CULBRETH-GRAFT DPA CITY ADMINISTRATOR PREPARED BY STANLEY SMALEWITZ DIRECTOR OF ECONOMIC DEVELOP ENT TRAVIS K HOPKINS PE ACTING DIRECTOR O PUBLIC W0R S- ENGINEERING SUBJECT APPROVE HEIL AVE WIDENING IMPROVEMENT PROJECT PARTIAL LAND PURCHASE (7902 ALHAMBRA AVENUE) Statement of Issue Funding Source Recommended Action Alternative Action(s) Analysis Environmental Status Attachment(s) Statement of Issue A partial land purchase agreement in the amount of $250 440 along with escrow fees not to exceed $4 000 with Matt Dhillon Jr for the partial purchase of his real property at 7902 Alhambra Avenue (APN 142-103-26) is submitted for approval (Attachment #1) Partial acquisition of this property is necessary to complete improvements for the widening of Heil Avenue between Beach Blvd and Silver Lane Funding Source Funds are budgeted in the Traffic Impact Fund Street Widening Land Purchase Account No 20690001 81000 Recommended Action Motion to 1 Approve the Agreement for Acquisition of Real Property and Joint Escrow Instructions and authorize the Mayor and City Clerk to execute the agreement and other related necessary documents Alternatove Actions) Do not approve the purchase agreement for 7902 Alhambra Avenue and direct staff to renegotiate the acquisition terms with Matt Dhillon Jr REQUEST FOR CITY COUNCIL ACTION MEETING DATE 10/15/2007 DEPARTMENT ID NUMBER ED 07-39 Analysis The Heil Avenue Widening Project (CC-1230) will construct the street improvements necessary to widen the north side of Heil Avenue between Silver Lane and Beach Boulevard to its full eighty-foot secondary arterial street width Currently this segment of Heil Avenue provides one through-lane in each direction bike lanes and a striped median The widened street section will provide one additional through-lane in each direction This project includes relocation of existing utility poles and the construction of new asphalt pavement concrete curb gutter sidewalk and street lights An eight-foot high wall will be constructed along the proposed northerly right-of-way The subject property (APN 142-103-26) is one of seven parcels that is required for this project four of which only require partial land acquisition At such time as the remaining real property offers are accepted those agreements will be submitted to City Council for approval The amount of all offers to purchase made by the City for this project will be consistent with real estate market values as described in appraisal reports provided by Netzer and Associates dated June 14 2007 This widening project requires the acquisition of the southerly 25 feet of the above mentioned parcel The price of $250 440 includes market value of the land acquired value of the temporary construction easement and severance damages Award of the project construction contract is estimated for June 2008 with construction scheduled to begin shortly thereafter A map showing the subject parcel and right-of-way acquisition is attached as Exhibit B in the Agreement for Acquisition Strategic Plan Goal C-1 Improve transportation by providing an additional through-lane in each direction Environmental Status Not applicable to property purchase Attachments) City Clerk's Page NumberNo. Description 1 Agreement for Acquisition of Real Property and Joint Escrow Instructions between the City of Huntington Beach and Matt Dhillon Jr for a part of real property located at 7902 Alhambra Avenue 2 9/25/2007 5 15 PM ATTACHMENT # 1 APN 142 103-26 TITLE REPORT NO 73808094-M08 PROJECT HEIL AVENUE WIDENING PROJECT AGREEMENT FOR ACQUISITION OF REAL PROPERTY AND JOINT ESCROW INSTRUCTIONS THIS AGREEMENT is entered into this day of C C V&ae_ 2007 by and between the City of Huntington Beach a Municipal Corporation (hereinafter called City) and Matt Dhillon Jr (hereinafter called Seller')for acquisition by City of certain real property hereinafter set forth IT IS HEREBY MUTUALLYAGREED BETWEEN THE PARTIES AS FOLLOWS 1 AGREEMENT TO SELL AND PURCHASE Seller agrees to sell to City and City agrees to purchase from Seller upon the terms and for the consideration set forth in this Agreement (hereinafter called Agreement ) all that certain real property(hereinafter called Property ) situated in the City of Huntington Beach County of Orange State of California and legally described as follows SEE EXHIBITS A AND B ATTACHED HERETO AND BY THIS REFERENCE MADE A PART HEREOF 2 PURCHASE PRICE The total purchase price payable in cash through escrow shall be the sum of Two Hundred Fifty Thousand Four Hundred Forty Dollars ($250,440 00) 3 CONVEYANCE OF TITLE Seller agrees to convey by Grant Deed to City fee simple title to the Property free and clear of all recorded and unrecorded liens encumbrances assessments easements leases and taxes EXCEPT a Non-delinquent taxes for the fiscal year in which this transaction closes which shall be cleared and paid in the manner required by Section 4986 of the Revenue and Taxation Code if unpaid at the close of this transaction b Quasi public utility public alley public street easements and rights of way of record (except rights in any such items conveyed under this Agreement) c Items numbered 1 2 and 7 in the above referenced preliminary title report issued by Chicago Title Company dated July 26 2007 31 Seller agrees to convey to City a Temporary Construction Easement in on over and above the portion of the subject property depicted on the attached Exhibit C and incorporated herein by this reference 4 TITLE INSURANCE POLICY Escrow Agent shall following recording of said deed(s)to City provide City with CLTA Standard Coverage Policy of Title Insurance in the amount of $97 750 00 issued by Chicago Title Company Title Company showing the title to the property vested in City subject only to the exceptions set forth in Paragraph 3 of this Agreement and the printed exceptions and stipulations in said policy City agrees to pay the premium charged therefore Page 1 of 7 5 ESCROW City agrees to open an escrow in accordance with this Agreement at an escrow company of City s choice This Agreement constitutes the joint escrow instructions of City and Seller and Escrow Agent to whom these instructions are delivered is hereby empowered to act under this Agreement The parties hereto agree to perform all acts reasonably necessary to close this escrow in the shortest possible time Seller shall execute and deliver said deed(s) as referenced in Paragraph 3 above to Escrow Agent concurrently with this Agreement or as soon as possible thereafter when said deeds are available After opening of escrow City will deposit an executed Certificate of Acceptance with Escrow Agent City agrees to deposit the purchase price upon demand of Escrow Agent City and Seller agree to deposit with Escrow Agent any additional instruments as may be reasonably necessary to complete this transaction All funds received in this escrow shall be deposited with other escrow funds in a general escrow account(s) and may be transferred to any other such escrow trust account in any State or National Bank doing business in the State of California All disbursements shall be made by check from such account 6 ESCROW AGENT IS AUTHORIZED TO,AND SHALL a Pay and charge Seller upon Seller s written approval for any amount necessary to place title in the condition necessary to satisfy Paragraph 3 of this Agreement excluding any penalty for prepayment to any lienholder in compliance with Code of Civil Procedure Section 1265 240 of the Eminent Domain Law b Pay and deduct from the amount shown in Paragraph 2 above any amount necessary to satisfy any delinquent taxes together with penalties and interest thereon and/or delinquent or non-delinquent assessments or bonds except those which title is to be taken subject to in accordance with the terms of this Agreement c Pay and deduct from the amounts payable to Seller under Paragraph 2 of this Agreement up to and including the total amount of unpaid principal and interest on note(s)secured by mortgage(s)or deed(s)of trust if any and all other amounts due and payable in accordance with terms and conditions of said trust deed(s) or mortgage(s) including late charges if any except penalty(if any) for payment in full in advance of maturity shall upon demand(s)be made payable to the mortgagee(s) or beneficiary(ies) entitled thereunder d Pay and charge City for all recording fees incurred in this transaction including payment of reconveyance fees and forwarding fees for partial or full reconvenances of deeds of trust or release or mortgage by City e Pay and charge City for any escrow fees charges and costs payable under Paragraph 7 of this Agreement f Disburse funds and deliver deed when conditions of this escrow have been fulfilled by City and Seller The term close of escrow if and where written in these instructions shall mean the date necessary instruments of conveyance are recorded in the office of the County Recorder Recordation of instruments delivered through this escrow is authorized if necessary or proper in the issuance of said policy of title insurance All time limits within which any matter herein specified is to be performed may be extended by mutual agreement of the parties hereto Any amendment of or supplement to any Page 2 of 7 instructions must be in writing TIME IS OF THE ESSENCE IN THESE INSTRUCTIONS AND ESCROW IS TO CLOSEAS SOON AS POSSIBLE 7 ESCROW FEES, CHARGES AND COSTS City agrees to pay all City sand Sellers usual fees charges and costs which arise in this escrow 8 FULLAND COMPLETE SETTLEMENT Seller hereby acknowledges that the compensation paid to Seller through this Agreement constitutes the full and complete settlement of any and all claims against City by reason of City acquisition of the Property specifically including but not limited to any and all damage to Sellers remainder property by reason of the acquisition of the subject Property or the installation of the improvement project in the manner proposed the value of improvements pertaining to the realty leasehold improvements any and all claims of rental or leasehold value and loss of business goodwill (excluding relocation benefits if any) and any and all claims in inverse condemnation and for precondemnation damages and any and all other claim that Seller may have whether or not specifically mentioned here relating directly or indirectly to the acquisition by City of this subject Property however Seller and City and each and all of their individual collective agents representatives attorneys principals predecessors successors assigns administrators executors heirs and beneficiaries hereby release the other party and each of them from any and all obligations liabilities claims costs expenses demands debts controversies damages causes of action including without limitations those relating to just compensation damages which any of them now have or might hereafter have by reason of any matter or thing arising out or in any way relating to any condemnation action affecting the subject Property 9 CONSTRUCTION CONTRACTAND CURATIVE WORK a It is understood and agreed by and between the parties hereto in addition to the compensation shown in Paragraph 2 hereinabove the City its contractors or assigns shall perform the following construction contract items at the time of the installation of the proposed project i NONE All work performed under this Agreement shall conform to all applicable building fire and sanitary laws ordinances and regulations relating to such work and shall be completed in a good and workmanlike manner All structures improvements or other facilities when removed and relocated or reconstructed by the City shall be left in as good condition as found b It is understood and agreed by and between the parties hereto that the compensation paid to Seller through this Agreement includes the value of and cost to remove relocate reconstruct and/or refurbish the following improvements located on the Property i Fencing and landscaping It is further understood between the parties hereto that if the improvements referred to in Paragraph 9b above are not removed from the subject property prior to March 1 2008 but not sooner than the close of escrow City its agents contractors or assigns shall have the right to remove said improvements and dispose of same in any manner City deems appropriate without further notice or responsibility to Seller whatsoever Page 3 of 7 EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage,costs,attorneys'fees or expenses which arise by reason of: 1. (a) Any law,ordinance or governmental regulation(including but not limited to building and zoning laws,ordinances,or regulations)restrict- Ing,regulating,prohibiting or relating to(i)the occupancy,use,or enjoyment of the land;(if)the character,dimensions or location of any Improvement now or hereafter erected on the land;(iii)a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part; or(Iv)environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations,except to the extent that a notice of the enforcement thereof or a notice of a defect,lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by(a)above,except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy,but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Defects,liens,encumbrances,adverse claims or other matters: (a) whether or not recorded In the public records at Date of Policy,but created,suffered,assumed or agreed to by the insured claimant; (b) not known to the Company,not recorded in the public records at Date of Policy,but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy; (c) resulting in no loss or damage to the insured claimant; (d) attaching or created subsequent to Date of Policy;or (a) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or the estate or interest insured by this policy. 4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the Insured at Date of Policy,or the inability or failure of any subsequent owner of the indebtedness,to comply with applicable doing business laws of the state in which the land is situated. S. Invalidity or unenforceability of the lien of the insured mortgage,or claim thereof,which arises out of the transaction evidenced by the insured mortgage and is based upon usury or any consumer credit protection or truth in lending law. 6. Any claim,which arises out of the transaction vesting in the insured the estate or interest insured by this policy or the transaction creating the Interest of the insured lender,by reason of the operation of federal bankruptcy,state insolvency,or similar creditors'rights laws. CONDITIONS AND STIPULATIONS 1. DEFINITION OF TERMS mortgage to be released from the obligation to purchase by virtue of a contrac- The following terms when used in this policy mean: tual condition requiring the delivery of marketable title. (a)"insured":the insured named in Schedule A,and,subject to any rights 2• CONTINUATION OF INSURANCE or defenses the Company would have had against the named insured,those (a)After Acquisition of Title by Insured Lender.If this policy insures the who succeed to the interest of the named insured by operation of law as owner of the indebtedness secured by the insured mortgage,the coverage of distinguished from purchase including,but not limited to,heirs,distributees, this policy shall continue in force as of Date of Policy in favor of(i)such insured devisees, survivors, personal representatives, next of kin, or corporate or who acquires all or any part of the estate or interest in the land by foreclosure, fiduciary successors.The term"insured"also includes trustee's sale,conveyance in lieu of foreclosure,or other legal manner which (i)the owner of the indebtedness secured by the insured mortgage and discharges the lien of the insured mortgage;(ii)a transferee of the estate or each successor in ownership of the indebtedness except a successor who is interest so acquired from an insured corporation,provided the transferee is an obligor under the provisions of Section 12(c) of these Conditions and the parent or wholly-owned subsidiary of the insured corporation,and their Stipulations(reserving,however,'all rights and defenses as to any successor corporate successors by operation of law and not by purchase,subject to any that the Company would have had against any predecessor insured,unless rights or defenses the Company may have against any predecessor insureds; the successor acquired the indebtedness as a purchaser for value without and (iii) any governmental agency or governmental instrumentality which knowledge of the asserted defect,lien,encumbrance,adverse claim or other acquires all or any part of the estate or interest pursuant to a contract of matter insured against by this policy as affecting title to the estate or interest in insurance or guaranty insuring or guaranteeing the indebtedness secured by the land); the insured mortgage. (ii)any governmental agency or governmental instrumentality which is an (b)After Conveyance of Title by an Insured.The coverage of this policy insurer or guarantor under an insurance contract or guaranty insuring or shall continue in force as of Date of Policy in favor of an insured only so long as guaranteeing the indebtedness secured by the insured mortgage,or any part the insured retains an estate or interest in the land,or holds an indebtedness thereof,whether named as an insured herein or not; secured by a purchase money mortgage given by a purchaser from the (iii)the parties designated in Section 2(a)of these Conditions and Stipula- insured,or only so long as the insured shall have liability by reason of cove- tions. nants of warranty made by the insured in any transfer or conveyance of the (b)"insured claimant":an insured claiming loss or damage. estate or interest.This policy shall not continue in force in favor of any pur- (c)"insured lender":the owner of an insured mortgage. chaser from an insured of either(i)an estate or interest in the land,or(ii)an (d)"insured mortgage": a mortgage shown in Schedule B,the owner of indebtedness secured by a purchase money mortgage given to an insured. which is named as an insured in Schedule A. (c)Amount of Insurance.The amount of insurance after the acquisition or (a)"knowledge"or"known": actual knowledge, not constructive know,- after the conveyance by an insured lender shall in neither event exceed the edge or notice which may be imputed to an insured by reason of the public least of: records as defined in this policy or any other records which impart construc- (i)the amount of insurance stated in Schedule A; tive notice of matters affecting the land. (ii)the amount of the principal of the indebtedness secured by the insured (f)"land":the land described or referred to in Schedule A,and improve- mortgage as of Date of Policy, interest thereon, expenses of foreclosure, ments affixed thereto which by law constitute real property.The term"land" amounts advanced pursuant to the insured mortgage to assure compliance does not include any property beyond the lines of the area described or with laws or to protect the lien of the insured mortgage prior to the time of referred to in Schedule A,nor any right,title,interest,estate or easement in acquisition of the estate or interest in the land and secured thereby and abutting streets,roads,avenues,alleys,lanes,ways or waterways,but noth- reasonable amounts expended to prevent deterioration of improvements,but ing herein shall modify or limit the extent to which a right of access to and from reduced by the amount of all payments made;or the land is insured by this policy. (iii)the amount paid by any governmental agency or governmental instru- (g)"mortgage": mortgage, deed of trust, trust deed, or other security mentality,if the agency or instrumentality is the insured claimant,in the acqui- instrument. sition of the estate or interest in satisfaction of its insurance contract or guar- (h)"public records": records established under state statutes at Date of anty. Policy for the purpose of imparting constructive notice of matters relating to 3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT real property to purchasers for value and without knowledge. An insured shall notify the Company promptly in writing(i)in case of any (i)"unmarketability of the title":an alleged or apparent matter affecting the litigation as set forth in Section 4(a)below,(ii)in case knowledge shall come to title to the land,not excluded or excepted from coverage,which wouldsntitle a •an insured hereunder of any claim of title or interest which is adverse to the purchaser of the estate or interest described in Schedule A or the insured title to the estate or interest or the lien of the insured mortgage,as insured,and California Land Title Association Owner's Policy SCHEDULE A Amount of Insurance: $9 7,7 5 0 .0 0 Policy No. 76082173 A4 3 Date of Policy: FEBRUARY 2 9, 2 0 0 8 at 4 :3 0 PM Premium: $4 8 5.0 0 1. Name of Insured: CITY OF HUNTINGTON BEACH, A MUNICIPAL CORPORATION 2. The estate or interest in the land which is covered by this policy is: A FEE 3. Title to the estate or interest in the land is vested in: CITY OF HUNTINGTON BEACH, A MUNICIPAL CORPORATION 4. The land referred to in this policy is situated in the County of ORANGE ,State of California and is described as follows: THE SOUTHERLY 25 FEET OF THE WEST 46.00 FEET OF LOT 8 IN BLOCK C OF TRACT NO. 522, IN THE CITY OF HUNTINGTON BEACH, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 19 PAGE 49 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. This Policy valid only if Schedule B is attached. CLTAOA88--03/24/03 AA California Land Title Association Owner's Policy Your Ref: Policy No. 76082173 A43 EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage(and the Company will not pay costs,attorneys'fees or expenses)which arise by reason of- PART I 1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. Proceedings by a public agency which may result in taxes or assessments,or notices of such proceedings,whether or not shown by the records of such agency or by the public records. 2. Any facts,rights,interests or claims which are not shown by the public records but which could be ascertained by an inspection of the land or which may be asserted by persons in possession thereof. 3. Easements,liens or encumbrances,or claims thereof,which are not shown by the public records. 4. Descrepancies,conflicts in boundary lines,shortage in area,encroachments or any other facts which a correct survey would disclose,and which are not shown by the public records. 5. (a)Unpatened mining claims;(b)reservations or exceptions in patents or in Acts authorizing the issuance thereof;(c) water rights,claims or title to water,whether or not the matters under excepted(a),(b)or(c)are shown by the public records PART II A 1. PROPERTY TAXES, INCLUDING ANY PERSONAL PROPERTY TAXES AND ANY ASSESSMENTS COLLECTED WITH TAXES, FOR THE FISCAL YEAR 2007-2008. 1ST INSTALLMENT: $2, 870.81 PENALTY: $287.08 (DUE AFTER DECEMBER 10) 2ND INSTALLMENT: $2, 870.81 PENALTY AND COST: $310.08 (DUE AFTER APRIL 10) HOMEOWNERS EXEMPTION: $7,000.00 CODE AREA: 04010 ASSESSMENT NO: 142-103-26 s 2 . SAID PROPERTY HAS BEEN DECLARED TAX-DEFAULTED FOR NON-PAYMENT OF DELINQUENT TAXES FOR FISCAL YEAR 2006-2007 (AND SUBSEQUENT YEARS, IF ANY) AMOUNT TO REDEEM: $7,623.58 IF PAID BY: OCTOBER 31, 2007 AMOUNT TO REDEEM: $7,721.57 IF PAID BY: NOVEMBER 30, 2007 c 3 . THE LIEN OF SUPPLEMENTAL OR ESCAPED ASSESSMENTS OF PROPERTY TAXES, IF ANY, MADE PURSUANT TO THE PROVISIONS OF PART 0.5, CHAPTER 3 .5 OR PART 2, CHAPTER CLTAOB88--08/21/06 AA Policy No. 76082173 -A43 Page 1 SCHEDULE B (CONT. ) Part II 3, ARTICLES 3 AND 4 RESPECTIVELY (COMMENCING WITH SECTION 75) OF THE REVENUE AND TAXATION CODE OF THE STATE OF CALIFORNIA AS A RESULT OF THE TRANSFER OF TITLE TO THE VESTEE NAMED IN SCHEDULE A; OR AS A RESULT OF CHANGES IN OWNERSHIP OR NEW CONSTRUCTION OCCURRING PRIOR TO DATE OF POLICY. D 4 . WATER RIGHTS, CLAIMS OR TITLE TO WATER, WHETHER OR NOT SHOWN BY THE PUBLIC RECORDS. E 5. COVENANTS, CONDITIONS AND RESTRICTIONS (BUT OMITTING THEREFROM ANY COVENANT OR RESTRICTION BASED ON RACE, COLOR, RELIGION, SEX, HANDICAP, FAMILIAL STATUS OR NATIONAL ORIGIN, IF ANY, UNLESS AND ONLY TO THE EXTENT THAT SAID COVENANT (A) IS EXEMPT UNDER CHAPTER 42, SECTION 3607 OF THE UNITED STATES CODE OR (B) RELATES TO HANDICAP BUT DOES NOT DISCRIMINATE AGAINST HANDICAPPED PERSONS) AS SET FORTH IN THE DOCUMENT. RECORDED: IN BOOK 627 PAGE 304, OF DEEDS F SAID COVENANTS, CONDITIONS AND RESTRICTIONS PROVIDE THAT A VIOLATION THEREOF SHALL NOT DEFEAT THE LIEN OF ANY MORTGAGE OR DEED OF TRUST MADE IN GOOD FAITH AND FOR VALUE. c 6. AN EASEMENT OR OTHER RIGHTS FOR THE PURPOSE SHOWN BELOW AND RIGHTS INCIDENTAL THERETO AS SET FORTH IN THE DOCUMENT ABOVE MENTIONED. FOR: PUBLIC UTILITIES AFFECTS: THE REAR 5 FEET OF SAID LAND H 7. A RESERVATION OF THE SOUTHERLY 5 FEET OF SAID LAND FOR ROADS, RAILROADS AND DITCHES, AS PROVIDED IN DEEDS OF RECORD. P END OF SCHEDULE B CLTA98C--12/16/98 r r�y 14z-1 0 N 1 O 09 "ETTE LOW VE 1 TRACT 2 J 14 1 5 6 7 8 9 10 ( w• a PA n0-27 I I PY 264-25 En"---- 'ss I as PAR I PAR.2 101 PA f36-40 P.4 260-26 I I ,PAR I PAR 2 112 N '� 1 15 16 3 � 4 a 17 18 q3 —_---- Q Q . O O Q 4(D D O O O O 10 11 14 iLT —_-- W l I 'BLK, A Fu 15 ^ --- v into- as ss• no I m• I as m I Wss• RSW efaa m• m• I zn• CLENCOE AVENUE 1 esao- m eo- ss• Rso- syso• vsa sr x• ss• Rao- s»a m r Rao- m eo- I m• •e• m• � ss• Pay PY 122-JO PY 202-20 PY I LW-44 fi - O O O Q 15QI O O O O O Q 12 PAR I PAR 2 PAR 1 1 PAR 2 12 20 — � 1 2 3 4 5 6 7 8 9 10 11 54 55 14 15 16 52 I 53 19 u _— _ l' = 100' 4 ' i BLK. B y 102 n i` u wr _ as__ >d 1 2 �! J ,! 4 �! 5 6 7 ,! a 1! 9 1e 10 �! LS -----$ N 21 22 23 24 125 26 27 28 29 JO 6 _ 00 I PAL 88-JO P.Y. 48-48 PY 50 5 PY 116-10 N I PAR. I PAR.2 PAR. 1 PAR. 2 PAR, I PAR. 2 PA 43-16 17 __ __ � O 8 39 Q 41 a0 36 35 34 33 ©2 + 31 3 46 , 45 ? 43 n A 1 ! I asa 20 • - svo- ss• sa sa• so• ss• s�sa r ao- easy er Rso- nso• Rx eo- se• ss• na• as• 9 ALHAM 9RA AVENUE �. Yste' s].se• s]a0' Rae' Rao• 00' Rso- sl.so- Raa sMw m. M' as• J).50' ,0 Il.sO Rso- 57 9Q. V BLK. C F•M• P.Y 45-3 ff _ _ Q PY 44-43 PAR.1 PAR.? AR.^t, POR. LOT /0 :.PAR 1 PAR 2- O° 22 Ii 21 °n O O a O$°�O O O°a 79 .1©0 0 ©5 26 ' 12 N 29 30 28 23 ^ 4 _ 17 -- w• 9• / ' `° 297 03 �° © NO, 522 uta .! 1 4 f 1 103 �• >" also- Rao- -- ! = 3 o-s! m' ss• 5 �.a Rao- 18 7 a.e• § POR LOT N a — AVENUE — 0 N 3 .17. �`r4 p TRACT N0. ;522.. M.M. 19,-49 PARCEL:..'MAP: ` P.M. .44.=43. 48-48. 88730 PARCEL.MAP, P.M. 110=27. :116-10.'-156-44. ..; NOTE:_- ASSESSOR'S BLOCK 8 ASSESSOR'S MAP A :;MARCH 1962' a..,.;.., ;_ :;, PARCEL.`MAP:;;,':; '-'`P.M. 202=20. :264=25:'297=03 PARCEL NUMBERS BOOK 142 PAGE 10 th SHOW N C ES :< II COUNTY OF ORANGE N 1 /RCL yb a O �h which might cause loss or damage for which the Company may be liable by ' from third parties as required in this paragraph,unless prohibited by law or virtue of this policy, or(iii) if title to the estate or interest or the lien of the governmental regulation,shall terminate any liability of the Company under insured mortgage,as insured,is rejected as unmarketable.If prompt notice this policy as to that insured for that claim. shall not be given to the Company,then as to that insured all liability of the 6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS TERMINATION Company shall terminate with regard to the matter or matters for which prompt notice is required;provided,however,that failure to notify the Company shall OF LIABILITY in no case prejudice the rights of any insured under this policy unless the In case of a claim under this policy,the Company shall have the following Company shall be prejudiced by the failure and then only to the extent of the additional options: prejudice. (a)To Pay or Tender Payment of the Amount of Insurance or to Purchase the.Indebtedness. 4. DEFENSE AND PROSECUTION OF ACTIONS; DUTY OF INSURED (i)to pay or tender payment of the amount of insurance under this policy CLAIMANT TO COOPERATE together with any costs,attorneys'fees and expenses incurred by the insured (a)Upon written request by an insured and subject to the options contained claimant,which were authorized by the Company,up to the time of payment or in Section 6 of these Conditions and Stipulations,the Company,at its own tender of payment and which the Company is obligated to pay;or cost and without unreasonable delay,shall provide for the defense of such (ii)in case loss or damage is claimed under this policy by the owner of the insured in litigation in which any third party asserts a claim adverse to the title indebtedness secured by the insured mortgage,to purchase the indebted- or interest as insured,but only as to those stated causes of action alleging a ness secured by the insured mortgage for the amount owing thereon together defect,lien or encumbrance or other matter insured against by this policy.The with any costs,attorneys'fees and expenses incurred by the insured claimant Company shall have the right to select counsel of its choice(subject to the which were authorized by the Company up to the time of purchase and which right of such insured to object for reasonable cause)to represent the insured the Company is obligated to pay. as to those stated causes of action and shall not be liable for and will not pay If the Company offers to purchase the indebtedness as herein provided,the the fees of any other counsel.The Company will not pay any fees,costs or owner of the indebtedness shall transfer,assign, and convey the indebted- expenses incurred by the insured in the defense of those causes of action ness and the insured mortgage,together with any collateral security,to the which allege matters not insured against by this policy. Company upon payment therefor. (b)The Company shall have the right, at its own cost, to institute and Upon the exercise by the Company of the option provided for in paragraph prosecute any action or proceeding or to do any other act which in its opinion a(i),all liability and obligations to the insured under this policy,other than to may be necessary or desirable to establish the title to the estate or interest or make the payment required in that paragraph,shall terminate,including any the lien of the insured mortgage,as insured,or to prevent or reduce loss or liability or obligation to defend,prosecute,or continue any litigation,and the damage to the insured.The Company may take any appropriate action under policy shall be surrendered to the Company for cancellation. the terms of this policy,whether or not it shall be liable hereunder,and shall not Upon the exercise by the Company of the option provided for in paragraph thereby concede liability or waive any provision of this policy.If the Company a(ii)the Company's obligation,to an insured lender under this policy for the shall exercise its rights under this paragraph,it shall do so diligently. claimed loss or damage,other than the payment required to be made,shall (c)Whenever the Company shall have brought an action or interposed a terminate,including any liability or obligation to defend,prosecute or continue defense as required or permitted by the provisions of this policy,the Company any litigation. may pursue any litigation to final determination by a court of competent juris- (b)To Pay or Otherwise Settle With Parties Other than the Insured or diction and expressly reserves the right,in its sole discretion,to appeal from With the Insured Claimant. any adverse judgment or order. (d)In all cases where this policy permits or requires the Company to prose- (i)to pay or otherwise settle with other parties for or in the name of an insured claimant any claim insured against under this policy,together with any cute or provide for the defense of any action or proceeding,an insured shall costs,attorneys'fees and expenses incurred by the insured claimant which secure to the Company the right to so prosecute or provide defense in the were authorized by the Company up to the time of payment and which the action or proceeding,and all appeals therein,and permit the Company to use, Company is obligated to pay;or at its option,the name of such insured for this purpose.Whenever requested (ii)to pay or otherwise settle with the insured claimant the loss or damage by the Company,an insured,at the Company's expense,shall give the Com- provided for under this policy, together with any costs, attorneys' fees and pany all reasonable aid(i)in any action or proceeding,securing evidence, expenses incurred by the insured claimant which were authorized by the obtaining witnesses,prosecuting or defending the action or proceeding,or Company up to the time of payment and which the Company is obligated to effecting settlement,and(ii)in any other lawful act which in the opinion of the pay. Company may be necessary or desirable to establish the title to the estate or Upon the exercise by the Company of either of the options provided for in interest or the lien of the insured mortgage, as insured. If the Company is paragraphs(b)(i)or b(ii),the Company's obligations to the insured under this prejudiced by the failure of an insured to furnish the required cooperation,the policy for the claimed loss or damage,other than the payments required to be Company's obligations to the insured under the policy shall terminate,includ- made,shall terminate,including any liability or obligation to defend, prose- ing any liability or obligation to defend,prosecute,or continue any litigation, cute or continue any litigation. with regard to the matter or matters requiring such cooperation. 5. PROOF OF LOSS OR DAMAGE 7. DETERMINATION AND EXTENT OF LIABILITY In addition to and after the notices required under Section 3 of these Condi- This policy is a contract of indemnity against actual monetary loss or dam- tions and Stipulations have been provided the Company, a proof of loss or age sustained or incurred by the insured claimant who has suffered loss or damage signed and sworn to by the insured claimant shall be furnished to the damage reason of matters insured against by this policy and only to the Company within 90 days after the insured claimant shall ascertain the facts extent herein in described. giving rise to the loss or damage.The proof of loss or damage shall describe (a)The liability the Company under this policy to an insured lender shall the defect in, or lien or encumbrance on the title, or other matter insured not exceed the least t of: against by this policy which constitutes the basis of loss or damage and shall (i)the Amount of Insurance stated in Schedule A, or, if applicable, the state,to the extent possible,the basis of calculating the amount of the loss or amount of insurance as defined in Section 2 (c) of these Conditions and damage.If the Company is prejudiced by the failure of an insured claimant to Stipulations; provide the required proof of loss or damage,the Company's obligations to (ii)the amount of the unpaid principal indebtedness secured by the such insured under the policy shall terminate,including any liability or obliga- insured mortgage as limited or provided under Section 8 of these Conditions tion to defend,prosecute,or continue any litigation,with regard to the matter and Stipulations or as reduced under Section 9 of these Conditions and or matters requiring such proof of loss or damage. Stipulations, at the time the loss or damage insured against by this policy In addition,an insured claimant may reasonably be required to submit to occurs,together with interest thereon;or examination under oath by any authorized representative of the Company (iii)the difference between the value of the insured estate or interest as and shall produce for examination,inspection and copying,at such reason- insured and the value of the insured estate or interest subject to the defect, able times and places as may be designated by any authorized representative lien or encumbrance insured against by this policy. of the Company, all records, books, ledgers, checks, correspondence and (b)In the event the insured lender has acquired the estate or interest in the memoranda, whether bearing a date before or after Date of Policy, which manner described in Section 2(a)of these Conditions and Stipulations or has reasonably pertain to the loss or damage.Further,if requested by any author- conveyed the title,then the liability of the Company shall continue as set forth ized representative of the Company,the insured claimant shall grant its per- in Section 7(a)of these Conditions and Stipulations. mission,in writing,for any authorized representative of the Company to exam- (c)The liability of the Company under this policy to an insured owner of the ine, inspect and copy all records,books,ledgers,checks, correspondence estate or interest in the land described in Schedule A shall not exceed the and memoranda in the custody or control of a third party,which reasonably least of: pertain to the loss or damage.All information designated as confidential by an (i)the Amount of Insurance stated in Schedule A;or, insured claimant provided to the Company pursuant to this Section shall not (ii)the difference between the value of the insured estate or interest as be disclosed to others unless,in the reasonable judgment of the Company,it insured and the value of the insured estate or interest subject to the defect, is necessary in the administration of the claim.Failure of an insured claimant lien or encumbrance insured against by this policy. to submit for examination under oath,produce other reasonably requested (d)The Company will pay only those costs,attorneys'fees and expenses information or grant permission to secure reasonably necessary information incurred in accordance with Section 4 of these Conditions and Stipulations. (a)If the Company establishes the title,or removes the alleged defect,lien to all rights and remedies in the proportion which the Company's payment or encumbrance,or cures the lack of a right of access to or from the land,or bears to the whole amount of loss;and(ii)as to an insured lender,to all rights cures the claim of unmarketability of title,or otherwise establishes the lien of and remedies of the insured claimant after the insured claimant shall have the insured mortgage,all as insured,in a reasonably diligent manner by any recovered its principal,interest,and costs of collection. method,including litigation and the completion of any appeals therefrom,it If loss should result from any act of the insured claimant,as stated above, shall have fully performed its obligations with respect to that matter and shall that act shall not void this policy, but the Company, in that event, shall be not be liable for any loss or damage caused thereby. required to pay only that part of any losses insured against by this policy which (b)In the event of any litigation,including litigation by the Company or with shall exceed the amount,if any,lost to the Company by reason of the impair- the Company's consent,the Company shall have no liability for loss or dam- ment by the insured claimant of the Company's right of subrogation. age until there has been a final determination by a court of competent jurisdic- (b)The Insured's Rights and Limitations. tion,and disposition of all appeals therefrom,adverse to the title or,if applica- Notwithstanding the foregoing,the owner of the indebtedness secured by ble,to the lien of the insured mortgage,as insured. an insured mortgage,provided the priority of the lien of the insured mortgage (c)The Company shall not be liable for loss or damage to any insured for or its enforceability is not affected, may release or substitute the personal liability voluntarily assumed by the insured in settling any claim or suit without liability of any debtor or guarantor,or extend or otherwise modify the terms of the prior written consent of the Company. payment, or release a portion of the estate or interest from the lien of the (d)The Company shall not be liable to an insured lender for:(i)any indebt- insured mortgage,or release any collateral security for the indebtedness. edness created subsequent to Date of Policy except for advances made to When the permitted acts of the insured claimant occur and the insured has protect the lien of the insured mortgage and secured thereby and reasonable knowledge of any claim of title or interest adverse to the title to the estate or amounts expended to prevent deterioration of improvements;or(ii)construc- interest or the priority or enforceability of the lien of the insured mortgage,as tion loan advances made subsequent to Date of Policy,except construction insured,the Company shall be required to pay only that part of any losses loan advances made subsequent to Date of Policy for the purpose of financing insured against by this policy which shall exceed the amount,if any,lost to the in whole or in part the construction of an improvement to the land which at Company by reason of the impairment by the insured claimant of the Compa- Date of Policy were secured by the insured mortgage and which the insured ny's right of subrogation. was and continued to be obligated to advance at and after Date of Policy. (c)The Company's Rights Against Non-insured Obligors. 9. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF The Company's right of subrogation against non-insured obligors shall LIABILITY exist and shall include,without limitation,the rights of the insured to indem- (a)All payments under this policy,except payments made for costs,attor- nities,guaranties,other policies of insurance or bonds,notwithstanding any neys'fees and expenses,shall reduce the amount of the insurance pro tanto. terms or conditions contained in those instruments which provide for subroga- However,as to an insured lender,any payments made prior to the acquisition tion rights by reason of this policy. of title to the estate or interest as provided in Section 2(a)of these Conditions The Company's right of subrogation shall not be avoided by acquisition of and Stipulations shall not reduce pro tanto the amount of the insurance an insured mortgage by an obligor(except an obligor described in Section afforded under this policy as to any such insured except to the extent that the 1(a)(ii)of these Conditions and Stipulations)who acquires the insured mort- payments reduce the amount of the indebtedness secured by the insured gage as a result of an indemnity,guarantee,other policy of insurance,or bond mortgage. and the obligor will not be an insured under this policy,notwithstanding Sec- (b)Payment in part by any person of the principal of the indebtedness,or tion 1(a)(i)of these Conditions and Stipulations. any other obligation secured by the insured mortgage,or any voluntary partial satisfaction or release of the'insured mortgage,to the extent of the payment, 13. ARBITRATION satisfaction or release,shall reduce the amount of insurance pro tanto.The Unless prohibited by applicable law,either the Company or the insured may amount of insurance may thereafter be increased by accruing interest and demand arbitration pursuant to the Title Insurance Arbitration Rules of the advances made to protect the lien of the insured mortgage and secured American Arbitration Association.Arbitrable matters may include,but are not thereby,with interest thereon,provided in no event shall the amount of insur- limited to,any controversy or claim between the Company and the insured ance be greater than the Amount of Insurance stated in Schedule A. arising out of or relating to this policy,any service of the Company in connec- (c)Payment in full by any person or the voluntary satisfaction or release of tion with its issuance or the breach of a policy provision or other obligation.All the insured mortgage shall terminate all liability of the Company to an insured arbitrable matters when the Amount of Insurance is$1,000,000 or less shall lender except as provided in Section 2(a)of these Conditions and Stipula- be arbitrated at the option of either the Company or the insured.All arbitrable tions. matters when the Amount of Insurance is in excess of$1,000,000 shall be 10. LIABILITY NONCUMULATIVE arbitrated only when agreed to by both the Company and the insured.Arbitra- tionIt is expressly understood that the amount of insurance under this policy pursuant to this policy and under the Rules in effect on the date the shall be reduced b an amount the Company insurance a under an demand for arbitration is made or,at the option of the insured,the Rules in y y p y y pay y policy effect at Date of Policy shall be binding upon the parties.The award may insuring a mortgage to which exception is taken in Schedule B or to which the include attorneys'fees only if the laws of the state in which the land is located insured has agreed, assumed, or taken subject, or which is hereafter exe- permit a court to award attorneys'fees to a prevailing party.Judgment upon cuted by an insured and which is a charge or lien on the estate or interest the award rendered by the Arbitrator(s)may be entered in any court having described or referred to in Schedule A, and the amount so paid shall be jurisdiction thereof. deemed a payment under this policy to the insured owner.The provisions of this Section shall not apply to an insured lender,unless The law of the situs of the land shall apply to an arbitration under the Title such insured acquires title to said estate or interest in satisfaction of the Insurance Arbitration Rules. indebtedness secured by an insured mortgage. A copy of the Rules may be obtained from the Company upon request. 11. PAYMENT OF LOSS 14. LIABILITY LIMITED TO THIS POLICY;POLICY ENTIRE CONTRACT (a)No payment shall be made without producing this policy for endorse- (a)This policy together with all.endorsements,if any,attached hereto by the ment of the payment unless the policy has been lost or destroyed,in which Company is the entire policy and contract between the insured and the Com- case proof of loss or destruction shall be furnished to the satisfaction of the pany.In interpreting any provision of this policy,this policy shall be construed Company. as a whole. (b)When liability and the extent of loss or damage has been definitely fixed (b)Any claim of loss or damage,whether or not based on negligence,and in accordance with these Conditions and Stipulations, the loss or damage which arises out of the status of the lien of the insured mortgage,or of the title shall be payable within 30 days thereafter. to the estate or interest covered hereby,or by any action asserting such claim 12. SUBROGATION UPON PAYMENT OR SETTLEMENT shall be restricted to this policy. (a)The Company's Right of Subrogation. (c)No amendment of or endorsement to this policy can be made except by Whenever the Company shall have settled and paid a claim under this a writing endorsed hereon or attached hereto signed by either the President,a policy,all right of subrogation shall.vest in the Company unaffected by any act Vice President,the Secretary,an Assistant Secretary,or validating officer or of the insured claimant. authorized signatory of the Company. The Company shall be subrogated to and be entitled to all rights and remedies which the insured claimant would have had against any person or 15. SEVERABILITY property in respect to the claim had this policy not been issued.If requested by In the event any provision of this policy is held invalid or unenforceable the Company,the insured claimant shall transfer to the Company all rights under applicable law,the policy shall be deemed not to include that provision and remedies against any person or property necessary in order to perfect and all other provisions shall remain in full force and effect. this right of subrogation.The insured claimant shall permit the Company to sue,compromise or settle in the name of the insured claimant and to use the 16. NOTICES,WHERE SENT name of the insured claimant in any transaction or litigation involving these All notices required to be given the Company and any statement in writing rights or remedies. required to be furnished the Company shall include the number of this policy If a payment on account of a claim does not fully cover the loss of the and shall be addressed to the Company at the issuing office or to: Chicago Title Insurance Company National Claims Administration P.O.Box 45023 Jacksonville,Florida 32232-5023 CHICAGO TITLE COMPANY 535 N. BRAND BLVD. 3RD FL, GLENDALE, CA 91203 Phone: (818) 550-3210 Fax: (818) 550-3214 ATTN: CITY CLERK CITY OF HUNTINGTON BEACH DATE April 15, 2008 2000 MAIN ST. HUNTINGTON BEACH, CALIFORNIA 92648 REGARDING: ORDER NO. 076082173 - A43 In accordance with instructions in the above order number,we enclose herewith our Policy of Title Insurance. Any documents recorded in connection with this transaction will be forwarded to you direct from the County Recorder's office. Should you have any questions, please contact the undersigned. It has been our pleasure to have handled this transaction for you. If, at any time in the future we can assist you,we will be pleased to have you request CHICAGO TITLE COMPANY. We appreciate your business. Sincerely, CHICAGO TITLE COMPANY DAREN JOHNSON 01POLENC--03/25/01bk 10 PERMISSION TO ENTER ON PREMISES Seller hereby grants to City its authorized agents or contractors if necessary by reason of the above mentioned improvement the right to enter upon Sellers property upon 48 hours prior written notice to perform the construction items referred to in Paragraph 9a above and for any of the following reasons a To make necessary and reasonable inspections 11 RENTAL AND LEASEHOLD INTEREST Seller warrants that there are no third parties in possession of any portion of the Property as lessees tenants at sufferance trespassers or invitees and that there are no oral or written recorded or unrecorded leases or other agreements concerning all or any portion of the Property exceeding a period of one month Seller further agrees to hold City harmless and reimburse City for any and all of its losses and expenses occasioned by reason of any lease of said property held by any tenant of Seller for a period exceeding one month EXCEPT None 12 ACQUISITION IN LIEU OF CONDEMNATION Seller and City acknowledge that this transaction is a negotiated settlement in lieu of condemnation Seller acknowledges that the sums received from City under this Agreement constitute full payment of all just compensation in eminent domain (including but not limited to compensation for the fair market value of the real property taken severance damages improvements to the realty furniture fixtures equipment the value of any leasehold interest loss of inventory loss of business goodwill court costs litigation expenses and any interest which might be due on such matters) Seller acknowledges that the amounts paid under this Agreement constitute the total amount due Seller and that no further payments are due owing or payable Seller waives any other claims it might have for further payment or further compensation and also waives any and all claims to any money on deposit in said action and further waives all attorneys fees costs disbursements and expenses incurred in connection therewith 13 WARRANTIES, REPRESENTATIONS, AND COVENANTS OF SELLER Seller hereby warrants represents and/or covenants to City that a To the best of Sellers knowledge there are no actions suits material claims legal proceedings or any other proceedings affecting the Property or any portion thereof at law or in equity before any court or governmental agency domestic or foreign b To the best of Seller s knowledge there are no encroachments onto the Property by improvements on any adjoining property nor do any buildings or improvements encroach on other properties c Until the closing Seller shall not do anything which would impair Sellers title to any of the Property d To the best of Sellers knowledge neither the execution of this Agreement nor the performance of the obligations herein will conflict with or breach any of the provisions of any bond note evidence of indebtedness contract lease or other agreement or instrument to which Sellers property may be bound e Until the closing Seller shall upon learning of any fact or condition which would cause any of the warranties and representations in these Warranties Representations and Covenants of Seller Section not to be true as of closing immediately give written notice of such fact or condition to City f Seller at the time of execution of this Agreement is seized of the Property in fee simple absolute and is the lawful owner of and has good indefeasible title to the Property Page 4 of 7 14 HAZARDOUS WASTE Neither Seller nor, to the best of Sellers knowledge any previous owner tenant occupant or user of the Property used generated released discharged stored or disposed of any hazardous waste toxic substances or related materials ( Hazardous Materials )on under in or about the Property or transported any Hazardous Materials to or from the Property Seller shall not cause or permit the presence use generation release discharge storage or disposal of any Hazardous Materials on under in or about or the transportation of any Hazardous Materials to or from the Property The term Hazardous Material shall mean any substance material or waste which is or becomes regulated by any local governmental authority the State of California or the United States Government including but not limited to any material or substance which is (i) defined as a hazardous waste extremely hazardous waste or restricted hazardous waste under Section 25115 25117 or 25122 7 or listed pursuant to Section 25140 of the California Health and Safety Code Division 20 Chapter 6 5 (Hazardous Waste Control Law) (ii) defined as hazardous substance under Section 25316 of the California Health and Safety Code Division 20 Chapter 6 8(Carpenter-Presley-Tanner Hazardous Substance AccountAct) (iii)defined as a hazardous material hazardous substance or hazardous waste under Section 25501 of the California Health and Safety Code Division 20 Chapter 6 95 (Hazardous Materials Release Response Plans and Inventory) (iv) defined as a hazardous substance under Section 25281 of the California Health and Safety Code Division 20 Chapter 6 7 (Underground Storage of Hazardous Substances) (v) petroleum (vi) asbestos (vii) polychlonnated byphenyls (viii) listed under Article 9 or defined as hazardous or extremely hazardous pursuant to Article 11 of Title 22 of the California Administrative Code Division 4 Chapter 20 (ix) designated as a hazardous substances pursuant to Section 311 of the Clean Water Act (33 U S C S1317) (x) defined as a hazardous waste pursuant to Section 1004 of the Resource Conservation and Recovery Act 42 U S C S6901 et sec (42 U S C S6903)or(xi)defined as a hazardous substances pursuant to Section 101 of the Comprehensive Environmental Response Compensation as amended by Liability Act 42 U S C S9601 et sec. (42 U S C S9601) 15 COMPLIANCE WITH ENVIRONMENTAL LAWS To the best of Sellers knowledge the Property complies with all applicable laws and governmental regulations including without limitation all applicable federal state and local laws pertaining to air and water quality hazardous waste waste disposal and other environmental matters including but not limited to the Clean Water Clean Air Federal Water Pollution Control Solid Waste Disposal Resource Conservation Recovery and Comprehensive Environmental Response Compensation and Liability Acts and the California Environment Quality Act and the rules regulations and ordinances of the city within which the subject property is located the California Department of Health Services the Regional Water Quality Control Board the State Water Resources Control Board the Environmental Protection Agency and all applicable federal state and local agencies and bureaus 16 INDEMNITY Seller agrees to indemnify defend and hold City harmless from and against any claim action suit proceeding loss cost damage liability deficiency fine penalty punitive damage or expense (including without limitation attorneys fees) resulting from arising out of or based upon (i)the presence release use generation discharge storage or disposal of any Hazardous Material on under in or about or the transportation of any such materials to or from the Property or(ii)the violation or alleged violation of any statute ordinance order rule regulation permit judgment or license relating to the use generation release discharge storage disposal or transportation of Hazardous Materials on under in or about to or from the Property This indemnity shall include without limitation any damage liability fine penalty punitive damage cost or expense arising from or out of any claim action suit or proceeding for personal injury (including sickness disease or death Page 5 of 7 tangible or intangible property damage compensation for lost wages business income profits or other economic loss damage to the natural resource or the environment nuisance pollution contamination leak spill release or other adverse effect on the environment) This indemnity extends only to liability created prior to or up to the date this escrow shall close Seller shall not be responsible for acts or omissions to act post close of this escrow 17 COUNTERPARTS This agreement may be executed in counterparts each of which so executed shall irrespective of the date of its execution and delivery be deemed an original and all such counterparts together shall constitute one and the same instrument 18 CONTINGENCY It is understood and agreed between the parties hereto that the completion of this transaction and the escrow created hereby is contingent upon the specific acceptance and approval of the City herein The execution of these documents and the delivery of same to Escrow Agent constitute said acceptance and approval 19 NO BROKERS City and Seller each represents to the other that no brokers have been involved in this transaction City and Seller agree to indemnify one another against any claim suits damages and costs incurred or resulting from the claims of any person for any fee or remuneration due in connection with this transaction pursuant to a written agreement made with said claimant 20 JURISDICTION AND VENUE This Agreement shall be governed by and constructed in accordance with the laws of the State of California The parties consent to the jurisdiction of the California Courts with venue in Orange County 21 ASSIGNMENT The terms and conditions covenants and agreements setforth herein shall apply to and bind the heirs executors administrators assigns and successors of the parties hereto City may freely assign any or all if its interests or rights under this Agreement or under the Escrow without the consent of Seller 22 COOPERATION Each party agrees to cooperate with the other in the closing of this transaction and in that regard to sign any and all documents which may be reasonably necessary helpful or appropriate to carry out the purposes and intent of this Agreement including but not limited to releases or additional agreements 23 ENTIRE AGREEMENT, WAIVER AND MODIFICATION This Agreement is the entire Agreement between the parties with respect to the subject matter of this Agreement It supersedes all prior agreements and understandings whether oral or written between the parties with respect to the matters contained in this Agreement Any waiver modification consent or acquiescence with respect to any provision of this Agreement shall be set forth in writing and duly executed by or on behalf of the party to be bound thereby No waiver by any party of any breach hereunder shall be deemed a waiver of any other or subsequent breach Page 6 of 7 IN WITNESS WHEREOF the parties hereto have executed this Agreement the day and year set forth hereinabove SELLER BUYER Matt Dhillon, Jr CITY OF HUNTINGTON BEACH, e A California municipal corporation tt on Jr M or City Clerk APPROVED AS TO FORM R '01 °�tyAttorney 1-\V - -,4S 07 REVIEWED AND APPROVED /CityAdm istrator INITIATED AND APPROVED Director of Economi velopment Page 7 of 7 EXHIBIT "A" LEGAL DESCRIPTION Portion APN 142-103-026 THE SOUTHERLY 25 FEET OF WEST 46 00 FEE F OF LOT 8 IN BLOCK C TRACT NO 522 IN 17HE CITY OF HUNTINGTON LEACH COUNTY OF ORANGE STATE OF CALIFORNIA AS SHOWN ON A MAP THEREOF RECORDED IN BOOK 19 PAGE 49 OF MISCELLANEOUS MAPS,RECORDS OF SAID ORANGE COUNTY CONTAINS 1150 SQUARE FEET,MORE OR LESS As shown on Exhibit B attached hereto and by lhis i eference made a pca t hereof Prepared under my supervision NZ David O Knall PLS 5301 Bate ` L 530 C\hunt beaehUlL11\142 103-026 July 1 200� � X E 31 t i p fL` OF C EXHIBIT " Bum BEACH BOULEVARD w D w z D W. z w INDICATES AREA OF RIGHT-OF-WAY DEDICATION 80, cv ri SCALE 1 = 80 APN 142-103-26 5 : f LILY 8 f 25It w - 3 z w Willi" WILLQAN SCALE 1 =Bp DATE JULY 12 2005ENG SKETCH TO ACCOMPANY ROSSR E€RS R PL f€RS DRAWN BY b BEYERBACI{ 142-IG3-26 GGN 13191 CROINDUS R PARKWAY 1 iTH SUITE 405 LEGAL DESCRIPTION [�ausrar c,, 9114e 3497 RUNTfNGTGNBEACN/ (562[ sae-s2cxa CHECKED BY 0 KNELL HEIL T A.� n 1 J AOT +7 W 622 co LfL - 0 H � AVENUE RCA ROUTING; SHEET INITIATING DEPARTMENT Economic Development Department SUBJECT Approve Heil Ave Widening Improvement Project Partial Land Purchase 7902 Alhambra Avenue) COUNCIL MEETING DATE October 15 2007 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable Resolution (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable Tract Map Location Map and/or other Exhibits Attached Not Applicable ❑ Contract/Agreement (w/exhibits if applicable) Attached (Signed in full by the City Attorney) Not Applicable ❑ Subleases Third Party Agreements etc Attached tl (Approved as to form by City Attorney) No Applicable Certificates of Insurance (Approved by the City Attorney) Attached ❑ Not Applicable Fiscal Impact Statement (Unbudgeted over $5 000) Attached ❑ Not Applicable 19 Bonds (If applicable) Attached ❑ Not Applicable Staff Report (If applicable) Attached ❑ Not Applicable Commission Board or Committee Report (If applicable) Attached ❑ Not Applicable Findings/Conditions for Approval and/or Denial Attached ❑ Not Applicable EKFL AHAT�OH FOR R Pu 0SSUG ATTACH N Cis`W'TS REVIEWED RETURNED FORWARDED Administrative Staff ( ) ) Deputy City Administrator (Initial) ( ) ( ) City Administrator (Initial) ( ) ( ) City Clerk ( ) EXPLANATION FOR RETURN OF ITEM (Below Space For City Clerk's Use Only.) RCA Author Krause(ext 1529) 41 - Y � CITY OF HUNTINGTON BEACH INTERDEPARTMENTAL COMMUNICATION z TO Mayor and City Council VIA Penelope Culbreth-Graft City Administrator / FROM �,�Travis Hopkins Acting Director of Public Works - Engine n SUBJECT Prioritized Use of Traffic Impact Fee Funds DATE October 12 2007 At the October 8 2007 meeting of the Economic Development Subcommittee City Council representatives requested additional information regarding proposed expenditures of Traffic Impact Fee (TIF) funds for current Capital Improvement Program projects The issue was raised in relation to the Heil Avenue Widening Project and the proposed property acquisitions that are scheduled for the October 15 2007 regularly scheduled City Council meeting (items E-3 & E-4) The TIF program is specifically designated as a means of funding traffic capacity improvements that address area-wide traffic impacts resulting from new development in the City The funds are not intended to be used to offset general regional traffic growth which results from changes in traffic due to other sources such as shifts in traffic patterns and development outside of the City This important concept dictates that the City must look towards other resources to address other regional traffic growth including grant opportunities Gas Tax funds Measure M funds and the General Fund The current supporting documents estimate that new development within the City will account for approximately 20 percent of the increase in overall traffic The current 5-year Capital Improvement Program includes more than $8 8 million in expenditures from the TIF fund with approximately $5 million in other funding sources With expected reimbursements to the TIF fund from the Southeast Redevelopment Area TIF funds will represent about 50 percent of the total expenditures It should be noted that none of the other funding sources includes money from the General Fund The following table presents a more detailed breakdown of the current project funding 0 0 7T�- October 12 2007 Page 2 FY 07/08 FY 08/09 Pre-07/08 Protect TIF Other TIF Other TIF Other Atlanta $688 300 $1 505 900 $300 000 $215 500 Widentnn Heil Widening $885 000 $650 000 $0 $0 $1 707 200 $1 957 500 Traffic Signal $1 163 800 $585 700 $370 000 $185 000 $905 000 $185 000 Installation and Mods Newland $0 $0 $0 $0 $2 825 000" $0 Widening Total $5 562 100 $2 741 600 $670 000 $400 500 $2 612 200 $2 142 500 Total TIF $8 844 300 Total Other $5 284 600 " The Newland Widening project is a Redevelopment Area project that will be repaid back to the TIF fund through tax increment with a repayment schedule still to be determined A primary component of each of the projects in the CIP is the enhancement of street capacity The three street widening projects provide significant street capacity enhancement and address areas where bottlenecks currently exist The Heil Widening project helps to address significant capacity limitations at the intersection of Beach Boulevard and Heil Avenue and develop a consistent street cross section along Heil Avenue from the intersection to the west The September 2000 Transportation System Needs Analysis the supporting technical document for the current TIF program identified the intersection of Beach Boulevard and Heil as a location that was expected to experience significant congestion in future years as a result of development and traffic growth Recent development processing specifically the Lowes project on Warner Avenue identified the intersection of Beach/Heil as one that would experience significant adverse traffic impacts as a result of the development and other traffic growth Lowes fair share contribution towards these impacts was satisfied through payment of the appropriate traffic impact fee for the project Overall staff has approached prioritization of the use of TIF funds for qualifying projects through consideration of 4 basic criteria 1 Urgency of need for improvement 2 Availability of other contributing funds for the project 3 Feasibility of timely completion of the project 4 Community desire for the project The traffic signal installation and modification project generally have a subjectively higher rating in criteria 1 3 and 4 While the widening projects have historically fared better in being awarded competitive grant funds through Measure M The current Capital Improvement Program use of TIF funds reflects staff s best efforts to balance these criteria in addressing current and future traffic needs in a manner consistent with the outlined requirements for the TIF program requirements RS/TH cs