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HomeMy WebLinkAboutApprove and authorize acceptance of a Quitclaim Deed for Nav Commonwealth Land Title Company Commonweami 4100 Newport Place Dr.,Suite 120 LAND TITLE COMPANY Newport Beach,CA 92660 Phone: (949)724-3140 May 26, 2016 Duran Villegas Mike Green YOUR REF: 2016000231256 OUR NO.: 09200848 Property: RR EASEMENT NAVY TO HB, HUNTINGTON BEACH, CA Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 Dear Customer: On behalf of our company, please find your CLTA Standard Coverage Policy of Title Insurance (4-8-14). NOTE: Your policy is a computer generated product. Although lacking color and "live" signatures, it is the original of your policy. Thank you for selecting our company for your transactional management needs. Enclosure ro Commonwealth Land Title Insurance Company P Y POLICY NO.: CA-SFXFC-IMP-81472-1-16-09200848 POLICY OF TITLE INSURANCE Issued by Commonwealth Land Title Insurance Company SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, COMMONWEALTH LAND TITLE INSURANCE COMPANY, a Nebraska 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. Title 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 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. Commonwealth Land Title Insurance Company Countersigned: COMMONWEALTH LAND TITLE INSURANCE COMPANY wwjSEAL=" dVQWk PWIdMI By: r A"'" Authorized Officer or Agent ~: ►► 81472 CLTA Standard Coverage- 1990 (04-08-14) Page 1 ©California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No. 09200848-920-CMM-CM8 Policy No. CA-SFXFC-IMP-81472-1-16-09200848 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 are expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulations (including but not limited to building or zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) 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 (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for 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 the applicable doing business laws of the state in which the land is situated. 5. 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 of 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. 81472 CLTA Standard Coverage- 1990 (04-08-14) Page 2 ©California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No. 09200848-920-CMM-CM8 Policy No. CA-SFXFC-IMP-81472-1-16-09200848 CONDITIONS AND STIPULATIONS 1. Definition of Terms. only so long as the insured retains an estate or interest in the land, or The following terms when used in this policy mean: holds an indebtedness secured by a purchase money mortgage given by a (a) "insured": the insured named in Schedule A, and, subject to purchaser from the insured, or only so long as the insured shall have any rights or defenses the Company would have had against the named liability by reason of covenants of warranty made by the insured in any insured, those who succeed to the interest of the named insured by transfer or conveyance of the estate or interest. This policy shall not operation of law as distinguished from purchase including, but not limited continue in force in favor of any purchaser from an insured of either(i)an to, heirs,distributees, devisees, survivors, personal representatives, next estate or interest in the land, or (ii) an indebtedness secured by a of kin, or corporate or fiduciary successors. The term "insured" also purchase money mortgage given to an insured. includes: (c) Amount of Insurance. The amount of insurance after the (i) the owner of the indebtedness secured by the insured acquisition or after the conveyance by an insured lender shall in neither mortgage and each successor in ownership of the indebtedness except a event exceed the least of: successor who is an obligor under the provisions of Section 12(c)of these (i) The amount of insurance stated in Schedule A; Conditions and Stipulations (reserving, however, all rights and defenses (ii) The amount of the principal of the indebtedness secured as to any successor that the Company would have had against any by the insured mortgage as of Date of Policy, interest thereon, expenses predecessor insured, unless the successor acquired the indebtedness as a of foreclosure, amounts advanced pursuant to the insured mortgage to purchaser for value without knowledge of the asserted defect, lien, assure compliance with laws or to protect the lien of the insured encumbrance, adverse claim or other matter insured against by this mortgage prior to the time of acquisition of the estate or interest in the policy as affecting title to the estate or interest in the land); land and secured thereby and reasonable amounts expended to prevent (ii) any governmental agency or governmental instrumentality deterioration of improvements, but reduced by the amount of all which is an insurer or guarantor under an insurance contract or guaranty payments made; or insuring or guaranteeing the indebtedness secured by the insured (iii) The amount paid by an governmental agency or mortgage, or any part thereof, whether named as an insured herein or governmental instrumentality, if the agency or the instrumentality is the not; insured claimant, in the acquisition of the estate or interest in satisfaction (iii) the parties designated in Section 2(a) of these Conditions of its insurance contract or guaranty. and Stipulations. 3. Notice of Claim to be Given by Insured Claimant. (iv) Subject to any rights or defenses the Company would An insured shall notify the Company promptly in writing(i) in case of have had against the named insured, A) the spouse of an insured who any litigation as set forth in 4(a) below, (ii) in case knowledge shall come receives title to the land because of dissolution of marriage, B) the to an insured hereunder of any claim of title or interest which is adverse trustee or successor trustee of a trust or any estate planning entity to the title to the estate or interest or the lien of the insured mortgage,as created for the insured to whom or to which the insured transfers title to insured, and which might cause loss or damage for which the Company the land after the Date of Policy or C) the beneficiaries of such a trust may be liable by virtue of this policy, or (iii) if title to the estate or upon the death of the insured. interest or the lien of the insured mortgage, as insured, is rejected as (b) "insured claimant": an insured claiming loss or damage. unmarketable. If prompt notice shall not be given to the Company, then (c) "insured lender":the owner of an insured mortgage. as to that insured all liability of the Company shall terminate with regard (d) "insured mortgage": a mortgage shown in Schedule B, the to the matter or matters for which prompt notice is required; provided, owner of which is named as an insured in Schedule A. however,that failure to notify the Company shall in no case prejudice the (e) "knowledge" or "known": actual knowledge, not constructive rights of any insured under this policy unless the Company shall be knowledge or notice which may be imputed to an insured by reason of the prejudiced by the failure and then only to the extent of the prejudice. public records as defined in this policy or any other records which impart 4. Defense and Prosecution of Actions;Duty of Insured Claimant constructive notice of matters affecting the land. to Cooperate. (f) "land": the land described or referred to in Schedule A, and (a) Upon written request by an insured and subject to the options improvements affixed thereto which by law constitute real property. The contained in Section 6 of these Conditions and Stipulations,the Company, term "land" does not include any property beyond the lines of the area at its own cost and without unreasonable delay, shall provide for the described or referred to in Schedule A,nor any right,title, interest,estate defense of such insured in litigation in which any third party asserts a or easement in abutting streets, roads, avenues, alleys, lanes, ways or claim adverse to the title or interest as insured, but only as to those waterways, but nothing herein shall modify or limit the extent to which a stated causes of action alleging a defect, lien or encumbrance or other right of access to and from the land is insured by this policy. matter insured against by this policy.The Company shall have the right to (g) "mortgage": mortgage, deed of trust, trust deed, or other select counsel of its choice (subject to the right of such insured to object security instrument. for reasonable cause) to represent the insured as to those stated causes (h) "public records": records established under state statutes at of action and shall not be liable for and will not pay the fees of any other Date of Policy for the purpose of imparting constructive notice of matters counsel. The company will not pay any fees, costs or expenses incurred relating to real property to purchasers for value and without knowledge. by an insured in the defense of those causes of action which allege (i) "u n marketability of the title": an alleged or apparent matter matters not insured against by this policy. affecting the title to the land, not excluded or excepted from coverage, (b) The Company shall have the right, at its own cost, to institute which would entitle a purchaser of the estate or interest described in and prosecute any action or proceeding or to do any other act which in its Schedule A or the insured mortgage to be released from the obligation to opinion may be necessary or desirable to establish the title to the estate purchase by virtue of a contractual condition requiring the delivery of or interest or the lien of the insured mortgage, as insured, or to prevent marketable title. or reduce loss or damage to an insured. The Company may take any 2. Continuation of Insurance appropriate action under the terms of this policy, whether or not it shall (a) After Acquisition of Title by Insured Lender. If this policy be liable hereunder, and shall not thereby concede liability or waive any insures the owner of the indebtedness secured by the insured mortgage, provision of this policy. If the Company shall exercise its rights under this the coverage of this policy shall continue in force as of Date of Policy in paragraph, it shall do so diligently. favor of(i)such insured lender who acquires all or any part of the estate (c) Whenever the Company shall have brought an action or or interest in the land by foreclosure,trustee's sale,conveyance in lieu of interposed a defense as required or permitted by the provisions of this foreclosure, or other legal manner which discharges the lien of the policy,the Company may pursue any litigation to final determination by a insured mortgage; (ii) a transferee of the estate or interest so acquired court of competent jurisdiction and expressly reserves the right, in its from an insured corporation, provided the transferee is the parent or sole discretion,to appeal from any adverse judgment or order. wholly-owned subsidiary of the insured corporation, and their corporate (d) In all cases where this policy permits or requires the Company successors by operation of law and not by purchase,subject to any rights to prosecute or provide for the defense of any action or proceeding, an or defenses the Company may have against any predecessor insureds; insured shall secure to the Company the right to so prosecute or provide and (iii)any governmental agency or governmental instrumentality which defense in the action or proceeding, and all appeals therein, and permit acquires all or any part of the estate or interest pursuant to a contract of the Company to use, at its option, the name of such insured for this insurance or guaranty insuring or guaranteeing the indebtedness secured purpose. Whenever requested by the Company, an insured, at the by the insured mortgage. Company's expense,shall give the Company all reasonable aid (i) in any (b) After Conveyance of Title by an Insured. The coverage of this action or proceeding, securing evidence, obtaining witnesses, prosecuting policy shall continue in force as of Date of Policy in favor of an insured or defending the action or proceeding, or effecting settlement, and (ii) in 81472 CLTA Standard Coverage— 1990 (04-08-14) Page 3 ©California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No.: 09200848-920-CMM-CM8 Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 any other lawful act which in the opinion of the Company may be (i) to pay or otherwise settle with other parties for or in the necessary or desirable to establish the title to the estate or interest or the name of an insured claimant any claim insured against under this policy, lien of the insured mortgage, as insured. If the Company is prejudiced by together with any costs, attorneys' fees and expenses incurred by the the failure of an insured to furnish the required cooperation, the insured claimant which were authorized by the Company up to the time of Company's obligations to such insured under the policy shall terminate, payment and which the Company is obligated to pay; or including any liability or obligation to defend, prosecute, or continue any (ii) to pay or otherwise settle with the insured claimant the litigation, with regard to the matter or matters requiring such loss or damage provided for under this policy, together with any costs, cooperation. attorneys'fees and expenses incurred by the insured claimant which were S. Proof of Loss or Damage. authorized by the Company up to the time of payment and which the In addition to and after the notices required under Section 3 of these Company is obligated to pay. Conditions and Stipulations have been provided the Company, a proof of Upon the exercise by the Company of either of the options provided loss or damage signed and sworn to by each insured claimant shall be for in paragraphs b(i) or b(ii), the Company's obligations to the insured furnished to the Company within 90 days after the insured claimant shall under this policy for the claimed loss or damage,other than the payments ascertain the facts giving rise to the loss or damage.The proof of loss or required to be made, shall terminate, including any liability or obligation damage shall describe the defect in, or lien or encumbrance on the title, to defend,prosecute or continue any litigation. or other matter insured against by this policy which constitutes the basis 7. Determination and Extent of Liability. of loss or damage and shall state, to the extent possible, the basis of This policy is a contract of indemnity against actual monetary loss or calculating the amount of the loss or damage. If the Company is damage sustained or incurred by the insured claimant who has suffered prejudiced by the failure of an insured claimant to provide the required loss or damage by reason of matters insured against by this policy and proof of loss or damage,the Company's obligations to such insured under only to the extent herein described. the policy shall terminate, including any liability or obligation to defend, (a) The liability of the Company under this policy to an insured prosecute,or continue any litigation,with regard to the matter or matters lender shall not exceed the least of: requiring such proof of loss or damage. (i) the Amount of Insurance stated in Schedule A, or, if In addition, an insured claimant may reasonably be required to applicable, the amount of insurance as defined in Section 2 (c) of these submit to examination under oath by any authorized representative of the Conditions and Stipulations; Company and shall produce for examination, inspection and copying, at (ii) the amount of the unpaid principal indebtedness secured such reasonable times and places as may be designated by any by the insured mortgage as limited or provided under Section 8 of these authorized representative of the Company, all records, books, ledgers, Conditions and Stipulations or as reduced under Section 9 of these checks, correspondence and memoranda, whether bearing a date before Conditions and Stipulations, at the time the loss or damage insured or after Date of Policy, which reasonably pertain to the loss or damage. against by this policy occurs,together with interest thereon; or Further, if requested by any authorized representative of the Company, (iii) the difference between the value of the insured estate or the insured claimant shall grant its permission, in writing, for any interest as insured and the value of the insured estate or interest subject authorized representative of the Company to examine, inspect and copy to the defect,lien or encumbrance insured against by this policy. all records, books, ledgers, checks, correspondence and memoranda in (b) In the event the insured lender has acquired the estate or the custody or control of a third party, which reasonably pertain to the interest in the manner described in Section 2(a) of these Conditions and loss or damage. All information designated as confidential by an insured Stipulations or has conveyed the title, then the liability of the Company claimant provided to the Company pursuant to this Section shall not be shall continue as set forth in Section 7(a) of these Conditions and disclosed to others unless,in the reasonable judgment of the Company, it Stipulations. is necessary in the administration of the claim. Failure of an insured (c) The liability of the Company under this policy to an insured claimant to submit for examination under oath, produce other reasonably owner of the estate or interest in the land described in Schedule A shall requested information or grant permission to secure reasonably necessary not exceed the least of: information from third parties as required in this paragraph, unless (i) the Amount of Insurance stated in Schedule A; or, prohibited by law or governmental regulation,shall terminate any liability (ii) the difference between the value of the insured estate or of the Company under this policy as to that insured for that claim. interest as insured and the value of the insured estate or interest subject 6. Options to Pay or Otherwise settle Claims; Termination of to the defect,lien or encumbrance insured against by this policy. Liability. (d) The Company will pay only those costs, attorneys' fees and In case of a claim under this policy, the Company shall have the expenses incurred in accordance with Section 4 of these Conditions and following additional options: Stipulations. (a) To Pay or Tender Payment of the Amount of Insurance or to S. Limitation of Liability. Purchase the Indebtedness. (a) If the Company establishes the title, or removes the alleged (i) to pay or tender payment of the amount of insurance defect, lien or encumbrance, or cures the lack of a right of access to or under this policy together with any costs, attorneys' fees and expenses from the land, or cures the claim of unmarketability of title, or otherwise incurred by the insured claimant,which were authorized by the Company, establishes the lien of the insured mortgage, all as insured, in a up to the time of payment or tender of payment and which the Company reasonably diligent manner by any method, including litigation and the is obligated to pay; or completion of any appeals therefrom, it shall have fully performed its (ii) in case loss or damage is claimed under this policy by the obligations with respect to that matter and shall not be liable for any loss owner of the indebtedness secured by the insured mortgage,to purchase or damage caused thereby. the indebtedness secured by the insured mortgage for the amount owning (b) In the event of any litigation, including litigation by the thereon together with any costs,attorneys'fees and expenses incurred by Company or with the Company's consent, the Company shall have no the insured claimant which were authorized by the Company up to the liability for loss or damage until there has been a final determination by a time of purchase and which the Company is obligated to pay. court of competent jurisdiction, and disposition of all appeals therefrom, If the Company offers to purchase the indebtedness as herein adverse to the title, or, if applicable,to the lien of the insured mortgage, provided, the owner of the indebtedness shall transfer, assign, and as insured. convey the indebtedness and the insured mortgage, together with any (c) The Company shall not be liable for loss or damage to any collateral security,to the Company upon payment therefor. insured for liability voluntarily assumed by the insured in settling any Upon the exercise by the Company of the option provided for in claim or suit without the prior written consent of the Company. paragraph a(i),all liability and obligations to the insured under this policy, (d) The Company shall not be liable to an insured lender for: (i) other than to make the payment required in that paragraph, shall any indebtedness created subsequent to Date of Policy except for terminate, including any liability or obligation to defend, prosecute, or advances made to protect the lien of the insured mortgage and secured continue any litigation, and the policy shall be surrendered to the thereby and reasonable amounts expended to prevent deterioration of Company for cancellation, improvements; or (ii) construction loan advances made subsequent to Upon the exercise by the Company of the option provided for in Date of Policy, except construction loan advances made subsequent to paragraph a(ii) the Company's obligation to an insured Lender under this Date of Policy for the purpose of financing in whole or in part the policy for the claimed loss or damage,other than the payment required to construction of an improvement to the land which at Date of Policy were be made, shall terminate, including any liability or obligation to defend, secured by the insured mortgage and which the insured was and prosecute or continue any litigation. continued to be obligated to advance at and after Date of Policy. (b) To Pay or Otherwise Settle with Parties Other than the Insured or With the Insured Claimant. 81472 CLTA Standard Coverage— 1990 (04-08-14) Page 4 © California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No.: 09200848-920-CMM-CM8 Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 9. Reduction of Insurance; Reduction or Termination of insured mortgage or its enforceability is not affected, may release or Liability. substitute the personal liability of any debtor or guarantor, or extend or (a) All payments under this policy, except payments made for otherwise modify the terms of payment,or release a portion of the estate costs,attorneys'fees and expenses,shall reduce the amount of insurance or interest from the lien of the insured mortgage,or release any collateral pro tanto. However,as to an insured lender,any payments made prior to security for the indebtedness. the acquisition of title to the estate or interest as provided in Section 2(a) When the permitted acts of the insured claimant occur and the of these Conditions and Stipulations shall not reduce pro tanto the insured has knowledge of any claim of title or interest adverse to the title amount of insurance afforded under this policy as to any such insured, to the estate or interest or the priority or enforceability of the lien of an except to the extent that the payments reduce the amount of the insured mortgage, as insured, the Company shall be required to pay only indebtedness secured by the insured mortgage. that part of any losses insured against by this policy which shall exceed (b) Payment in part by any person of the principal of the the amount, if any, lost to the Company by reason of the impairment by indebtedness, or any other obligation secured by the insured mortgage, the insured claimant of the Company's right of subrogation. or any voluntary partial satisfaction or release of the insured mortgage,to (c) The Company's Rights Against Non-insured Obligors. the extent of the payment, satisfaction or release, shall reduce the The Company's right of subrogation against non-insured obligors amount of insurance pro tanto. The amount of insurance may thereafter shall exist and shall include, without limitation, the rights of the insured be increased by accruing interest and advances made to protect the lien to indemnities, guaranties, other policies of insurance or bonds, of the insured mortgage and secured thereby, with interest thereon, notwithstanding any terms or conditions contained in those instruments provided in no event shall the amount of insurance be greater than the which provide for subrogation rights by reason of this policy. Amount of Insurance stated in Schedule A. The Company's right of subrogation shall not be avoided by (c) Payment in full by any person or the voluntary satisfaction or acquisition of an insured mortgage by an obligor (except an obligor release of the insured mortgage shall terminate all liability of the described in Section 1(a)(ii) of these Conditions and Stipulations) who Company to an insured lender except as provided in Section 2(a)of these acquires the insured mortgage as a result of an indemnity, guarantee, Conditions and Stipulations. other policy of insurance, or bond and the obligor will not be an insured 10. Liability Noncumulative. under this policy, notwithstanding Section 1(a)(i) of these Conditions and It is expressly understood that the amount of insurance under this Stipulations. policy shall be reduced by any amount the Company may pay under any 13. Arbitration. policy insuring a mortgage to which exception is taken in Schedule B or to Unless prohibited by applicable law, either the Company or the which the insured has agreed, assumed, or taken subject, or which is insured may demand arbitration pursuant to the Title Insurance hereafter executed by an insured and which is a charge or lien on the Arbitration Rules of the American Arbitration Association. Arbitrable estate or interest described or referred to in Schedule A,and the amount matters may include, but are not limited to, any controversy or claim so paid shall be deemed a payment under this policy to the insured between the Company and the insured arising out of or relating to this owner. policy, any service of the Company in connection with its issuance or the The provisions of this Section shall not apply to an insured lender, breach of a policy provision or other obligation. All arbitrable matters unless such insured acquires title to said estate or interest in satisfaction when the Amount of Insurance is$1,000,000 or less shall be arbitrated at of the indebtedness secured by an insured mortgage. the option of either the Company or the insured. All arbitrable matters 11. Payment of Loss. when the Amount of Insurance is in excess of $1,000,000 shall be (a) No payment shall be made without producing this policy for arbitrated only when agreed to by both the Company and the insured. endorsement of the payment unless the policy has been lost or destroyed, Arbitration pursuant to this policy and under the Rules in effect on the in which case proof of loss or destruction shall be furnished to the date the demand for arbitration is made or, at the option of the insured, satisfaction of the Company. the Rules in effect at Date of Policy shall be binding upon the parties.The (b) When liability and the extent of loss or damage has been award may include attorneys' fees only if the laws of the state in which definitely fixed in accordance with these Conditions and Stipulations, the the land is located permit a court to award attorneys'fees to a prevailing loss or damage shall be payable within 30 days thereafter. party. Judgment upon the award rendered by the Arbitrator(s) may be 12. Subrogation Upon Payment or Settlement. entered in any court having jurisdiction thereof. (a) The Company's Right of Subrogation The law of the situs of the land shall apply to an arbitration under Whenever the Company shall have settled and paid a claim under the Title Insurance Arbitration Rules. this policy, all right of subrogation shall vest in the Company unaffected A copy of the Rules may be obtained from the Company upon by any act of the insured claimant. request. The Company shall be subrogated to and be entitled to all rights and 14. Liability Limited to This Policy;Policy Entire Contract. remedies which the insured claimant would have had against any person (a) This policy together with all endorsements, if any, attached or property in respect to the claim had this policy not been issued. If hereto by the Company is the entire policy and contract between the requested by the Company, the insured claimant shall transfer to the insured and the Company.In interpreting any provision of this policy,this Company all rights and remedies against any person or property policy shall be construed as a whole. necessary in order to perfect this right of subrogation. The insured (b) Any claim of loss or damage, whether or not based on claimant shall permit the Company to sue, compromise or settle in the negligence, and which arises out of the status of the lien of the insured name of the insured claimant and to use the name of the insured claimant mortgage or of the title to the estate or interest covered hereby or by any in any transaction or litigation involving these rights or remedies. action asserting such claim,shall be restricted to this policy. If a payment on account of a claim does not fully cover the loss of (c) No amendment of or endorsement to this policy can be made the insured claimant, the Company shall be subrogated (i) as to an except by a writing endorsed hereon or attached hereto signed by either insured owner, to all rights and remedies in the proportion which the the President, a Vice President, the Secretary, an Assistant Secretary, or Company's payment bears to the whole amount of the loss; and (ii)as to validating officer or authorized signatory of the Company. an insured lender,to all rights and remedies of the insured claimant after 15. Severability. the insured claimant shall have recovered its principal, interest, and costs In the event any provision of the policy is held invalid or of collection. unenforceable under applicable law, the policy shall be deemed not to If loss should result from any act of the insured claimant, as stated include that provision and all other provisions shall remain in full force above,that act shall not void this policy, but the Company, in that event, and effect. shall be required to pay only that part of any losses insured against by 16. Notices,Where Sent. this policy which shall exceed the amount, if any, lost to the Company by All notices required to be given the Company and any statement in reason of the impairment by the insured claimant of the Company's right writing required to be furnished the Company shall include the number of of subrogation. this policy and shall be addressed to the Company at Commonwealth (b) The Insured's Rights and Limitations. Land Title Insurance Company, Attn: Claims Department, P.O. Box Notwithstanding the foregoing, the owner of the indebtedness 45023,Jacksonville,FL 32232-5023. secured by an insured mortgage, provided the priority of the lien of the 81472 CLTA Standard Coverage— 1990 (04-08-14) Page 5 ©California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No. 09200848-920-CMM-CM8 Policy No. CA-SFXFC-IMP-81472-1-16-09200848 SCHEDULE A Order No.: 09200848-920-CMM-CM8 Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 Amount of Insurance: $25,000.00 Premium: $396.00 Date of Policy: May 24, 2016 at 10:16 am 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: Permanent and exclusive easements and rights of way over the land described in Exhibit "A" in Schedule A herein and as described and shown in that certain "Quitclaim Deed" recorded May 24, 2016 as Instrument No. 2016000231256, Official Records 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 described as follows: See Exhibit A attached hereto and made a part hereof. 81472 CLTA Standard Coverage- 1990 (04-08-14) Page 6 © California Land Title Association. All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No. 09200848-920-CMM-CM8 Policy No. CA-SFXFC-IMP-81472-1-16-09200848 EXHIBIT A LEGAL DESCRIPTION The Land referred to herein below is situated in the County of ORANGE, State of California, and is described as follows: All that certain real property situated in the City of Huntington Beach, County of Orange, State of California, described as follows: THOSE PORTIONS OF THE NORTHWEST 1/4, THE SOUTHEAST 1/4 AND THE NORTHEAST 1/4 OF SECTION 9 AND THE SOUTHWEST 1/4 OF SECTION 10, BOTH BEING IN TOWNSHIP 5 SOUTH, RANGE 11 WEST, IN THE CITY OF HUNTINGTON BEACH, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 51, PAGE 13 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, BEING DESCRIBED AS FOLLOWS: PARCEL 1: COMMENCING AT THE NORTHWEST CORNER OF SECTION 9, TOWNSHIP 5 SOUTH, RANGE 11 WEST, SAN BERNARDINO BASE AND MERIDIAN, IN THE RANCHO LOS ALAMITOS IN SAID COUNTY OF ORANGE; THENCE IN A SOUTHERLY DIRECTION ALONG THE WESTERLY LINE OF SAID SECTION 9 IN RANCHO LOS ALAMITOS, A DISTANCE OF 210.30 FEET; THENCE IN AN EASTERLY DIRECTION ALONG A LINE FORMING AN ANGLE OF 89° 59' 29.5" (AS MEASURED FROM NORTH TO EAST) WITH THE SAID WESTERLY LINE OF SAID SECTION 9 IN RANCHO LOS ALAMITOS, A DISTANCE OF 119.38 FEET, TO A POINT OF CURVE; THENCE IN A SOUTHEASTERLY DIRECTION ALONG THE ARC OF A CIRCLE, CONVEX NORTHEASTERLY, TANGENT TO THE LAST DESCRIBED LINE, SAID CIRCLE HAVING A RADIUS OF 1674.78 FEET, THROUGH A CENTRAL ANGLE OF 490 18' 20", A DISTANCE OF 1441.22 FEET; THENCE IN A SOUTHEASTERLY DIRECTION ALONG A LINE TANGENT TO THE LAST DESCRIBED ARC OF A CIRCLE, A DISTANCE OF 1215.50 FEET, MORE OR LESS, TO THE SOUTHEASTERLY RIGHT-OF-WAY LINE OF RANCHO AVENUE, FOR A POINT OF BEGINNING; THENCE CONTINUING IN A SOUTHEASTERLY DIRECTION ALONG THE LAST DESCRIBED LINE A DISTANCE OF 897.48 FEET, TO A POINT OF CURVE; THENCE IN A SOUTHEASTERLY DIRECTION ALONG THE ARC OF A CIRCLE, CONVEX SOUTHWESTERLY, TANGENT TO THE LAST DESCRIBED LINE, HAVING A RADIUS OF 1872.78 FEET, A DISTANCE OF 114.45 FEET, MORE OR LESS, TO THE WESTERLY RIGHT-OF-WAY LINE OF GRAHAM STREET; THENCE IN A SOUTHERLY DIRECTION ALONG THE WESTERLY RIGHT-OF-WAY LINE OF GRAHAM STREET, A DISTANCE OF 106.43 FEET, MORE OR LESS, TO ITS INTERSECTION WITH THE ARC OF A CIRCLE 75.0 FEET SOUTHWESTERLY OF AND CONCENTRIC WITH THE ARC OF A CIRCLE HEREINBEFORE MENTIONED AS HAVING A RADIUS OF 1872.78 FEET; THENCE IN A NORTHWESTERLY DIRECTION FROM SAID INTERSECTION ALONG THE ARC OF THE SAID CONCENTRIC CIRCLE, A DISTANCE OF 196.06 FEET, MORE OR LESS; THENCE IN A NORTHWESTERLY DIRECTION ALONG A LINE, TANGENT TO THE LAST DESCRIBED ARC OF A CIRCLE, A DISTANCE OF 897.45 FEET, MORE OR LESS, TO THE SOUTHEASTERLY RIGHT-OF-WAY LINE OF RANCHO AVENUE; THENCE IN A NORTHEASTERLY DIRECTION ALONG THE SOUTHEASTERLY RIGHT-OF-WAY LINE OF RANCHO AVENUE, A DISTANCE OF 75.0 FEET, MORE OR LESS, TO THE POINT OF BEGINNING. PARCEL 2: COMMENCING AT THE NORTHWEST CORNER OF SECTION 9, TOWNSHIP 5 SOUTH, RANGE 11 WEST, SAN BERNARDINO BASE AND MERIDIAN, IN THE RANCHO LOS ALAMITOS, IN SAID COUNTY OF ORANGE; THENCE IN A SOUTHERLY DIRECTION ALONG THE WESTERLY LINE OF SAID SECTION 9 IN RANCHO LOS ALAMITOS, A DISTANCE OF 210.30 FEET; THENCE IN AN EASTERLY DIRECTION ALONG A LINE FORMING AN ANGLE OF 89° 59' 29.5" (AS MEASURED FROM NORTH TO EAST) WITH THE SAID WESTERLY LINE OF SAID SECTION 9 IN RANCHO LOS ALAMITOS, A DISTANCE OF 119.38 FEET TO A POINT OF CURVE; THENCE IN A SOUTHEASTERLY DIRECTION ALONG THE ARC OF A CIRCLE, CONVEX NORTHEASTERLY, TANGENT TO THE LAST DESCRIBED LINE, SAID CIRCLE HAVING A RADIUS OF 1674.78 FEET, THROUGH A CENTRAL ANGLE OF 49° 18' 20", A DISTANCE OF 1441.22 FEET; THENCE IN A SOUTHEASTERLY DIRECTION ALONG A LINE TANGENT TO THE LAST DESCRIBED ARC OF A CIRCLE A DISTANCE OF 2113.07 FEET, TO A POINT OF CURVE; THENCE IN A SOUTHEASTERLY DIRECTION ALONG THE ARC OF A CIRCLE, CONVEX SOUTHWESTERLY, TANGENT TO THE LAST DESCRIBED LINE, SAID CIRCLE HAVING A RADIUS OF 1872.78 FEET, A DISTANCE OF 81472 CLTA Standard Coverage - 1990 (04-08-14) Page 7 © California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No.: 09200848-920-CMM-CM8 Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 EXHIBIT A (Continued) 199.37 FEET, MORE OR LESS, TO THE EASTERLY RIGHT-OF-WAY LINE OF GRAHAM STREET FOR A POINT OF BEGINNING; THENCE CONTINUING IN AN EASTERLY DIRECTION ALONG THE ARC OF THE LAST DESCRIBED CIRCLE HAVING A RADIUS OF 1872.78 FEET, A DISTANCE OF 1435.22 FEET; THENCE IN AN EASTERLY DIRECTION ALONG A LINE, TANGENT TO THE LAST DESCRIBED ARC OF A CIRCLE, A DISTANCE OF 1283.62 MEET, MORE OR LESS, TO THE WESTERLY RIGHT-OF-WAY LINE OF SPRINGDALE AVENUE; THE LAST DESCRIBED LINE BEING THE EXTENSION WESTERLY OF A STRAIGHT LINE DRAWN THROUGH A POINT 252.50 FEET SOUTHERLY OF THE EAST 1/4 CORNER OF SAID SECTION 9 AND A POINT 252.50 FEET BASE AND MERIDIAN, (AS MEASURED ON THEIR RESPECTIVE SECTION AND 1/4 SECTION LINES); THENCE IN A SOUTHERLY DIRECTION ALONG THE WESTERLY RIGHT-OF-WAY LINE OF SPRINGDALE AVENUE, A DISTANCE OF 75.0 FEET, MORE OR LESS, TO ITS INTERSECTION WITH A LINE 75.0 FEET SOUTHERLY OF AND PARALLEL TO THE LINE HEREINBEFORE MENTIONED AS RUNNING IN AN EASTERLY DIRECTION AND HAVING A LENGTH OF 1283.62 FEET, MORE OR LESS; THENCE IN A WESTERLY DIRECTION ALONG THE LAST MENTIONED PARALLEL LINE, A DISTANCE OF 1283.92 FEET, MORE OR LESS, TO A POINT OF CURVE; THENCE IN A NORTHWESTERLY DIRECTION ALONG THE ARC OF A CIRCLE, CONVEX SOUTHWESTERLY, TANGENT TO THE LAST DESCRIBED LINE, HAVING A RADIUS OF 1947.78 FEET, A DISTANCE OF 1422.13 FEET, MORE OR LESS, TO THE EASTERLY RIGHT-OF-WAY LINE OF GRAHAM STREET, SAID LAST MENTIONED ARC OF A CIRCLE BEING 75.0 FEET SOUTHWESTERLY OF THE CONCENTRIC WITH THE ARC OF A CIRCLE HEREINBEFORE MENTIONED AS HAVING A RADIUS OF 1872.78 FEET; THENCE IN A NORTHERLY DIRECTION ALONG THE EASTERLY RIGHT-OF-WAY LINE OF GRAHAM STREET, A DISTANCE OF 101.43 FEET, MORE OR LESS, TO THE POINT OF BEGINNING. PARCEL 3: A PORTION OF THE SOUTHWEST 1/4 OF SECTION 10 IN SAID TOWNSHIP AND RANGE, BOUNDED AND DESCRIBED AS FOLLOWS: COMMENCING AT A POINT IN THE EASTERLY RIGHT-OF-WAY LINE OF SPRINGDALE AVENUE, ON A LINE DRAWN THROUGH A POINT 252.50 FEET SOUTHERLY OF THE EAST 1/4 CORNER OF SECTION 9, TOWNSHIP 5 SOUTH, RANGE 11 WEST, SAN BERNARDINO BASE AND MERIDIAN, IN A POINT 252.50 FEET SOUTHERLY OF THE CENTER OF SECTION 11, IN THE AFOREMENTIONED TOWNSHIP AND RANGE, AS MEASURED ON THEIR RESPECTIVE SECTION AND 1/4 SECTION LINES; THENCE IN AN EASTERLY DIRECTION ALONG THE LINE ABOVE DESCRIBED, A DISTANCE OF 2602.05 FEET, MORE OR LESS, TO THE WESTERLY RIGHT-OF-WAY LINE OF EDWARDS STREET; THENCE IN A SOUTHERLY DIRECTION ALONG THE WESTERLY RIGHT-OF-WAY LINE OF EDWARDS STREET A DISTANCE OF 75.0 FEET, MORE OR LESS, TO ITS INTERSECTION WITH A LINE 75.0 FEET SOUTHERLY OF AND PARALLEL TO THE LINE 252.50 FEET SOUTHERLY OF THE EAST 1/4 CORNER OF SAID SECTION 9 AND 252.50 FEET SOUTHERLY OF THE CENTER OF SAID SECTION 11 (AS MEASURED ON THEIR RESPECTIVE SECTION AND 1/4 SECTION LINES); THENCE IN A WESTERLY DIRECTION ALONG THE LAST MENTIONED PARALLEL LINE A DISTANCE OF 2601.95 FEET, MORE OR LESS, TO THE EASTERLY RIGHT- OF-WAY LINE OF THE SPRINGDALE AVENUE; THENCE IN A NORTHERLY DIRECTION ALONG THE EASTERLY RIGHT-OF-WAY LINE OF SPRINGDALE AVENUE, A DISTANCE OF 75.0 FEET, MORE OR LESS, TO THE POINT OF BEGINNING. EXCEPTING THEREFROM ANY PORTION LYING WITHIN THE BOUNDARIES OF THE CITY OF WESTMINSTER AS DESCRIBED IN THAT CERTAIN QUITCLAIM DEED RECORDED MAY 24, 2016, AS INSTRUMENT NUMBER 2016000231256, OF OFFICIAL RECORDS, FURTHER DESCRIBED AS FOLLOWS: ALL THAT CERTAIN PORTION OF LAND SITUATED IN THE CITY OF WESTMINSTER, COUNTY OF ORANGE STATE OF CALIFORNIA, BEING A PORTION OF THE EASEMENT DEED FROM ANAHEIM SUGAR COMPANY, A CALIFORNIA CORPORATION, TO UNITED STATES OF AMERICA, RECORDED ON DECEMBER 19, 1944, AS DOCUMENT NO. 38665 IN BOOK 1296, PAGE 88 IN THE OFFICIAL RECORDS OF ORANGE COUNTY, AND LYING IN THE SOUTHWEST QUARTER OF SECTION 10, TOWNSHIP 5 SOUTH, RANGE 11 WEST, SAN BERNARDINO BASE AND MERIDIAN, BEING STRIP OF LAND 75.00 FEET IN WIDTH, LYING SOUTHERLY OF THE NORTHERLY LINE, MORE PARTICULARLY DESCRIBED AS FOLLOWS: 81472 CLTA Standard Coverage - 1990 (04-08-14) Page 9 © California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No.: 09200848-920-CMM-CM8 Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 EXHIBIT A (Continued) COMMENCING AT THE CENTERLINE LINE INTERSECTION OF EDWARDS STREET AND INDUSTRY WAY, AS SHOWN ON TRACT NO. 6934, FILED IN BOOK 259, PAGE 10 AND 11, IN THE OFFICE FO THE COUNTY RECORDER OF SAID COUNTY; THENCE ALONG SAID CENTERLINE OF EDWARDS STREET SOUTH 00034'29" EAST, 255.00 FEET TO THE EASTERLY PROLONGATION OF THE NORTHERLY LINE OF LAND DESCRIBED ON SAID EASEMENT DEED; THENCE LEAVING SAID CENTERLINE OF EDWARDS STREET, AND ALONG SAID EASTERLY PROLONGATION LINE SOUTH 89035'24" WEST, 20.00 FEET TO THE POINT OF BEGINNING, SAID POINT OF BEGINNING ALSO BEING THE NORTHEASTERLY CORNER OF THE LAND DESCRIBED ON SAID EASEMENT DEED; THENCE ALONG THE NORTHERLY LINE OF SAID EASEMENT DEED, SOUTH 89035'24" WEST, 981.18 FEET TO THE SOUTHWESTERLY CORNER OF SAID TRACT NO. 6934, SAID POINT BEING THE TERMINUS OF THIS DESCRIPTION. 81472 CLTA Standard Coverage - 1990 (04-08-14) Page 10 © California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No. 09200848-920-CMM-CM8 Policy No. CA-SFXFC-IMP781472-1-16-09200848 SCHEDULE B 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. Discrepancies, 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) Unpatented 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 excepted under (a), (b) or (c) are shown by the public records. 6. Any lien or right to a lien for services, labor or material not shown by the public records. 81472 CLTA Standard Coverage- 1990 (04-08-14) Page 10 ©California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No. 09200848-920-CMM-CM8 Policy No. CA-SFXFC-IMP-81472-1-16-09200848 SCHEDULE 6 EXCEPTIONS FROM COVERAGE PART II A. Property taxes,which are a lien not yet due and payable,including any assessments collected with taxes to be levied for the fiscal year 2016. 1. Water rights,claims or title to water,whether or not disclosed by the public records. 2. Easement(s)for the purpose(s)shown below and rights incidental thereto as reserved in a document; Reserved by: Olympic Land and Water company,a corporation,duly organized and existing under and by virtue of the laws of the State of California Purpose: Roads,railroads and ditches Recorded: March 23, 1920,Book 358,Page 25,of Official Records Affects: A strip of land 30 feet wide,along adjoining and each side of the township, range and section lines. Reference is made to said document for full particulars. 3. Easement(s)for the purpose(s)shown below and rights incidental thereto as granted in a document. Granted to: The United States of America Purpose: To construct,operate,use and maintain a railroad right-of-way,and convenient ingress and egress,together with the right to remove any obstruction improvements Recorded: December 19, 1944,Book 1296,Page 88,of Official Records Affects: A portion of said land as more particularly described in said document Restrictions on the use,by the owners of said land,of the easement area as set forth in the easement document shown hereinabove. Reference is made to said document for full particulars. 4. Easement(s)for the purpose(s)shown below and rights incidental thereto as reserved in a document; Reserved by: Anaheim Sugar Company,a California corporation Purpose: The right to construct,repair,maintain and replace culverts,pipes,wires, tunnels,streets,sewers necessary for water drainage,and telephone wires and cables,and electrical and other matters Recorded: December 19, 1944,Book 1296,Page 88,of Official Records Affects: A portion of said land as more particularly described in said document Restrictions on the use,by the owners of said land,of the easement area as set forth in the easement document shown hereinabove. 81472 CLTA Standard Coverage- 1990 (04-08-14) Page 11 © California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. Order No.: 09200848-920-CMM-CM8 Policy No.: CA-SFXFC-IMP-81472-1-16-09200848 SCHEDULE B — Part II (Continued) Reference is made to said document for full particulars. 5. Any discrepancy in boundaries or area,or footage that may be shown on Record of Survey Map No. 13725,recorded August 8, 1960,in Book 49,Page 22,of Official Records. 6. Any discrepancy in boundaries or area,or footage that may be shown on Record of Survey Map No. 1162,recorded October 1, 1962,in Book 60,Page 13,of Official Records. 7. The fact that said land is included within a project area of the Redevelopment Agency shown below, and that proceedings for the redevelopment of said project have been instituted under the Redevelopment Law(such redevelopment to proceed only after the adoption of the redevelopment plan)as disclosed by a document. Redevelopment Agency: 2008 Amendment to the Redevelopment Plan for the Westminster Infrastructure Revitalization Project Recorded: October 28,2008,Instrument No. 2008000495491,of Official Records 8. Any facts,rights,interests or claims which a correct survey would disclose and which are not disclosed by the public records. 9. Any rights of the parties in possession of a portion of,or all of,said land,which rights are not disclosed by the public record. This Company will require,for review,a full and complete copy of any unrecorded agreement, contract, license and/or lease,together with all supplements,assignments and amendments thereto, before issuing any policy of title insurance without excepting this item from coverage.The Company reserves the right to except additional items and/or make additional requirements after reviewing said documents. 10. Any adverse claim,interest or title of the Railroad Company hereinafter set forth,as to any portion of said land within the lines of the right-of-way granted to said railroad. Railroad: United States Navy Railroad 11. Rights of the public as to any portion of the land lying within the area commonly known as United States Navy Railroad. 81472 CLTA Standard Coverage- 1990 (04-08-14) Page 13 ©California Land Title Association.All rights reserved. The use of this Form is restricted to CLTA subscribers in good standing as of the date of use. All other uses are prohibited. Reprinted under license or express permission from the California Land Title Association. 0 NAVY RAILROAD RIGHT-OF-WAY EXHIBIT City of Westminster, California 9� o O to N $ be ae,i Are - �w - x4r�♦d `: Pi : 00 r �'I+arm..,•A.,. I.peo�'•.•'� - 8g1 x•I:.a�1 ., rP F�� yl00 H_!, r ••,-414'^ rhKa rOP. a -ro...,.,1 i.,,• t uw•0.n.. k L�a•er a.a ^ `In.^,Inn z }� •J r VJ43g?PpfTHU ilf Westminster „L4f 3 00 tMa.eia.nl.4 Ptid •' !! �•.rn:.ay n.T _ - Warolre.nle p.'.J = Weslrna.s•.•�tyva V•ealmlt!e!MM r= '/'UIN �+ riSCinn r U LI Q OM. b' 4� n •� s NO i �. .UI T...-Nat F511Y•:• w 'J1 J U R @I,C'•In•]hllm _, Q I`— 4". O Srna.•1 Dl r Part w i 1 J,• C.I. C. .g Portion of Navy van.>.- `X ° s.!e a_• °n .�..al..1' �1 •.. J � ti•1•' ':, e • _ ^p <• Easement to be we rr,rsre• sunl 11.L ^�('1 1,� '-` Fw*h .. 1 n R/�/1/1 RNV 1„ .0 °°" ``;� '' ' I F Transferred to City .pJOa-1,i r• - fY M.IpdA.Y of Westminster �f U.S. NAVY RAILROAD . n== 0 w Portion of Navy „�!�.d 4 RNV 1 4y Y R/VII O Easement to be v, O o_ Transfered to City of CITY OF e Huntington Beach HUNTINGTON BEACH Prah RNV RNV o t n .E ..,.•n,.. _ yok:!A.. D .:. aA,e 5 3e.,A- ��� '--n"- .. add°ara Bsi.• a L' t I.a, ITn _ 3 v 00 r A V N I.wing Nw S:\0bpwlmantb\Plb0k Wmka\Engineering\SAwed\ORANMGS\OC City Arid Fob 2013\02-Bobo Ariel and RR for BC.dog Inaf J—m- Leh nA "i-1R27.•n by•nnh•n O l� N O O 4 A 00 Dept ID ED 16-10 Page 1 of 2 Meeting Date 4/4/2016 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION R MEETING DATE: 4/4/2016 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A Wilson, City Manager PREPARED BY: Kenneth A Domer, Assistant City Manager Kellee Fritzal, Deputy Director, Office of Business Development SUBJECT: Approve and authorize acceptance of a Quitclaim Deed for Navy Railroad Easement Right-Of-Way from the General Services Administration for property generally located north of Bolsa Avenue, south of Westminster Boulevard, east of Rancho Road, and west of Edwards Street Statement of Issue The City Council is asked to approve and accept a Quitclaim Deed ("Deed") from the United States General Services Administration (GSA) to the City of Huntington Beach The Deed transfers the existing railroad right-of-way easement (Navy Easement) from GSA to the City of Huntington Beach The Navy Easement is generally located north of Bolsa Avenue, south of Westminster Boulevard, east of Rancho Road and west of Edwards Street within the City of Huntington Beach Financial Impact The GSA has agreed to convey the Navy Easement to the City at no cost However, City staff estimates an approximate $46,000 cost to accept the Navy Easement, which includes title insurance, security fencing, signage and annual weed abatement Funds for this work will be included in Public Works' General Fund Budget Submittal for 2016-17 Recommended Action A) Approve Acceptance of Navy Easement Quitclaim Deed to the City of Huntington Beach from GSA, and, B) Authorize the City Clerk to execute an acceptance of the Quitclaim Deed and any other related documents, and, C) Authorize the City Manager to execute any other related documents Alternative Action(s) Do not approve the Deed and direct staff accordingly Analysis City Council is asked to approve and authorize acceptance of a Deed to the City from GSA for the transfer of a permanent easement generally located north of Bolsa Avenue, south of Westminster Boulevard, east of Rancho Road, and west of Edwards Street within the City of Huntington Beach (Attachment 1) Item 8. - 1 HB -196- Dept ID ED 16-10 Page 2 of 2 Meeting Date 4/4/2016 The Cities of Huntington Beach and Westminster have been coordinating the potential transfer of the Navy Easement with GSA since late 2014 The current Navy Easement stretches several miles across the cities of Seal Beach, Westminster and Huntington Beach The Huntington Beach segment of the Navy Easement is approximately 75 feet wide and over 1 mile in length and contains a total area of approximately 11 acres GSA has no further need for the Navy Easement and has approached the Cities of Huntington Beach and Westminster about their Interest in accepting a grant of the Navy Easement at no charge This process requires each City to accept a Quitclaim Deed from GSA for conveyance of that specific portion of the Navy Easement within each City (Attachment 2) The City has fielded numerous phone calls each year concerning current maintenance and future use of the Navy Easement since it is located adjacent to numerous homes and businesses Discussions for future uses included water wells, pumps, waterlines and, potentially, walking and bike trails The City has also been seeking land for the development of four new water well sites in this area By accepting the Navy Easement, the City avoids potential increased costs to purchase land or easements for development of new water well facilities The City's total cost to accept the Navy Easement is estimated at $46,000 with an annual maintenance and weed abatement cost of approximately $12,000 City Staff reviewed various title, environmental, and soils reports and determined that the land is suitable for developing the proposed uses described above As such, Staff recommends approval of the City's acceptance of the Navy Easement to help secure the property, ensure ongoing maintenance responsibility and provide for the City's future development of water well facilities, pedestrian and bike trails Environmental Status Exempt from CEQA pursuant to Section 15301 Strategic Plan Goal Enhance and maintain infrastructure Attachments) 1 Site Map 2 Navy Easement Quit Claim Deed HB -197- Item 8. - 2 D -OF-WAY EXHIBIT NAVY RAILROAD RIGHT AE 00 City of Westminster, California (NOT TO SCALE), u AvP is-nn"rw l 4 71, pwv enway F F r Dar"O.1t,Ave Fly M > r'bl'.8 (v 405 Vvvs,r,1,V, > "T to Caff&4"Ave Ablol'IMN I xxii St & I; Lq E; 1tw1wh.Aol 0 V,haqp Park 2. :4ehCr*O.(ffitu of Mrstminstirr F Y&8 Alf SS o crt St Mar's*r WeMpAlstu wwo UJ Ave vm,W,Ln mr ci RMA- 0 RMmister C cmada 9 Part; W&I u < < T C) Ik:_­&1 bt PDffw LuLJJ tow, k1_ Duckingham Al. cQ&::w D� �Q�t 4 §Park < 14 _� N LLJ "pvtwrl Cis -Z No 0M.Mon Mo pw 3*, Lu Sues I MOT I U) I(f) Z IT Of u- Feanklin R/W OLL im II.Aw a. Park RM .4tMaaci(jrW VQ t, V, U) .3 c L, u rK 7050 U.S. NAVY RAILROAD ui RAN > Or 0 RNV 0 'CITY OF (legg-FAWY HUNTINGTON BEACH Pal", RNV RM N At- Aav 41 (1 or,to d tx Pvr� In .............. .......... Drawing Name: &\Departments\PubIic Works\Engineering\Shored\DRAWNGS\DC City Ariel Feb 2013\02—Bolso Ariel and RR for DC.dwg 1.a', 0. 11ed: Feb 06 9013 — 10.97nm by cnithwn Recorded in Official Records, Orange County Hugh Nguyen, Clerk-Recorder Navy Railroad Easements IE�Orange County �11 IE� IE� 111111 III �N� 111 ��E 11� III NO FEE GSA Control No. 9-CA-1508-AM * $ R 0 0 0 8 3 9 7 4 2 7 $ 201600023125610:16 am 05/24/16 7 402 001 A04 6 RECORDING REQUESTED BY: 0.00 0.00 0.00 0.0015.00 0.00 0.00 0.00 U,S. General Services Administration WHEN RECORDED, MAIL DOCUMENT AND TAX STATEMENT TO: Duran Villegas City of Huntington Beach This dwm)entis sowy for tw otf dw P.O. Box 190 bu*WN of me City d"""tea' Borth,as contemptaW wKW Huntington Beach, CA 92648 Govomm,`': .odsSw,aI�2z d bns r ai1na4chagw, QUITCLAIM DEED THIS INDENTURE is made this 1*71 ay of lq44.4 2016, between the UNITED STATES OF AMERICA, acting by and thro gh the Administrator of General Services ("GRANTOR"), under and pursuant to the powers and authority contained in the provisions of Title 40, U.S. Code, Chapter 5, et. seq, as amended, and regulations and orders promulgated thereunder, and the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "GRANTEE". GRANTOR, hereby remises, releases and quitclaims, without warranty of any kind, unto the GRANTEE, and to their successors and assigns all of its right, title and interest in the certain easement, more particularly described in Easement Deed from Anaheim Sugar Company, a California corporation, to United States of America, dated November 17, 1944 and recorded on December 19, 1944, as Document No. 38665 in BOOK 1296, PAGE 88 in the Official Records of Orange County, California; excluding however, that portion described in Exhibits A and B (referred to herein as "EASEMENT" or"PROPERTY"). THIS CONVEYENCE IS SUBJECT TO THE FOLLOWING: 1. GRANTEE covenants and agrees that the EASEMENT is conveyed "As Is" and "Where Is" without representation, warranty, or guaranty of any kind, as to any matter related to the conveyance including, but not limited to, the quantity, quality, character, condition (including patent and latent defects), size, habitability, or kind of the EASEMENT or any structures or fixtures attached to the EASEMENT or that the same is in a condition or fit to be used for the purpose which is intended by GRANTEE. GRANTEE has inspected, is aware of, and accepts condition and state of repair of the EASEMENT, and further acknowledges that GRANTOR has not made any representation, warranty, or guaranty concerning the condition of the EASEMENT. Navy Railroad Easements Orange County GSA Control No. 9-CA-1508-AM RECORDING REQUESTED BY: U.S. General Services Administration WHEN RECORDED, MAIL DOCUMENT ' AND TAX STATEMENT TO: Duran Villegas City of Huntington Beach Tftdoamrentfs$d*for owl P.O. Box 190 offt city ofHun nwmPhdad under Huntington Beach, CA 92648 . dnow Beeche� c Sm 0903&W * aW be worded free of chOW. QUITCLAIM DEED THIS INDENTURE is made this �day ofY 2016, between the UNITED STATES OF AMERICA, acting by and thro gh the Administrator of General Services ("GRANTOR"), under and pursuant to the powers and authority contained in the provisions of Title 40, U.S. Code, Chapter 5, et. seq, as amended, and regulations and orders promulgated thereunder, and the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "GRANTEE". GRANTOR, hereby remises, releases and quitclaims, without warranty of any kind, unto the GRANTEE, and to their successors and assigns all of its right, title and interest in the certain easement, more particularly described in Easement Deed from Anaheim Sugar Company, a California corporation, to United States of America, dated November 17, 1944 and recorded on December 19, 1944, as Document No. 38665 in BOOK 1296, PAGE 88 in the Official Records of Orange County, California; excluding however, that portion described in Exhibits A and B (referred to herein as "EASEMENT" or "PROPERTY'). THIS CONVEYENCE IS SUBJECT TO THE FOLLOWING: 1. GRANTEE covenants and agrees that the EASEMENT is conveyed "As Is" and "Where Is" without representation, warranty, or guaranty of any kind, as to any matter related to the conveyance including, but not limited to, the quantity, quality, character, condition (including patent and latent defects), size, habitability, or kind of the EASEMENT or any structures or fixtures attached to the EASEMENT or that the same is in a condition or fit to be used for the purpose which is intended by GRANTEE. GRANTEE has inspected, is aware of, and accepts condition and state of repair of the EASEMENT, and further acknowledges that GRANTOR has not made any representation, warranty, or guaranty.concerning the condition of the EASEMENT. Navy Railroad Easements Orange County GSA Control No. 9-CA-1508-AM 2. GRANTEE covenants and agrees that the conveyance is subject to any and all existing convenants, conditions, reservations, easements, restrictions, rights- of-way, rights, agreements, encumberances, recorded or unrecorded, and to the reservations, rights and covenants set forth herein. 3. NONDISCRIMINATION COVENANT GRANTEE covenants for itself, its heirs, successors, and assigns and every successor in interest to the PROPERTY hereby conveyed, or any part thereof, that the said GRANTEE and such heirs, successors, and assigns shall not discriminate upon the basis of race, color, religion., sex or national origin in the use, occupancy, sale or lease of the PROPERTY, or in their employment practices conducted thereon. This covenant shall not apply, however, to the lease or rental of a room or rooms within a family dwelling unit; nor shall it apply with respect to religion to premises used primarily for religious purposes. The United States of America shall be deemed a beneficiary of this covenant without regard to whether it remains the owner of any land or interest therein in the locality of the PROPERTY hereby conveyed and shall have the sole right to enforce this covenant in any court of competent jurisdiction. SAID PROPERTY transferred was duly determined to be surplus, and was assigned to the General.Services Administration for disposal pursuant to the powers and authority contained in the provisions of Title 40, U.S. Code, Chapter 5, et. seq, as amended, and regulations and orders promulgated thereunder. IN WITNESS WHEREOF, the GRANTOR has caused this indenture to be executed as of the day and year first written above. UNITED STATES OF AMERICA Acting by and through the ADMINISTRATOR OF GENERAL SERVICES BY: David Haase Director, Real Property Utilization and Disposal U.S. General Services Administration APPROVED AS TO FORM r By: poi Michael Gates,City At oMoy 2 Navy Railroad Easements Orange County GSA Control No. 9-CA-1508-AM CERTIFICATE OF ACKNOWLEDGMENT e A Notary Public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ) County of On / � , before me,—% Date Name and Title of the Officer personally appeared � `� L'• Name�A of Signer (sl who proved to me on the basis of satisfactory evidence to be the person whose name(4 is/afe-- subscribed to the within instrument and acknowledged to me that he/sheAher executed the same in his/4er/th& authorized capacity(.iese), and that by his/bw/#ieir signature($) on the instrument the person(,}, or the entity upon behalf of which the person($) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal THUY THANH TA Commission*2073558 v Not r Public-aCaiifornia. _ San Francisco Cou*' Comm.E ires Jul 4 2018 Signature of Notary Public (Notary Public Seal) 3 Navy Railroad Easements Orange County GSA Control No. 9-CA-1508-AM ACCEPTANCE BY GRANTEE City of Huntington Beach The , GRANTEE, hereby accepts this Quitclaim Deed for itself, its successors and assigns, subject to all of the conditions, reservations, restrictions and terms contained therein, this 6 t h day of April 2016. City tington A3each,,e B : J0 T. F n STATE OF CALIFORNIA COUNTY OF O Zo/6 before me, AOAAA-y � (name of notary public) personally appeared L, —L .v who proved to me on the basis of satisfactory evidence to be the personfA whose name is subscribed to the within instrument and who acknowled ed to me that sh they executed the same in their authorized capacity(ies.), and by er it signature on the instrument the person or entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY of PERJURY under the laws of the state of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. P. L.ESPARZA Commission#2032750 Z .�� Notary Public-California .z Z Orange County %My Comm, Expires Aug 4,2017' (Signature of Notary) - - -'" 4 EXHIBIT "All LEGALAl1�lDESCRIfP�TION ALL THAT CERTAIN PORTION OF LAND SITUATED IN THE CITY OF WESTMINSTER, COUNTY OF ORANGE, STATE OF CALIFORNIA, BEING A PORTION OF THE EASEMENT DEED FROM ANAHEIM SUGAR COMPANY, A CALIFORNIA CORPORATION, TO UNITED STATES OF AMERICA, RECORDED ON DECEMBER 19, 1944,AS DOCUMENT NO. 38665 IN BOOK 1296, PAGE 88 IN THE OFFICIAL RECORDS OF ORANGE COUNTY, AND LYING 1N THE SOUTHWEST QUARTER OF SECTION 10, TOWNSHIP 5 SOUTH, RANGE 11 WEST, SAN BERNARDINO BASE AND MERIDIAN, BEING A STRIP OF LAND 75.00 FEET IN WIDTH, LYING SOUTHERLY OF THE NORTHERLY LINE, MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTERLINE LINE INTERSECTION OF EDWARDS STREET AND INDUSTRY WAY,AS SHOWN ON TRACT NO. 6934, FILED IN BOOK 259, PAGES 10 AND 11, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY; THENCE ALONG SAID CENTERLINE OF EDWARDS STREET SOUTH 00° 34' 29"EAST, 255.00 FEET TO THE EASTERLY PROLONGATION OF THE NORTHERLY LINE OF LAND DESCRIBED ON SAID EASEMENT DEED; THENCE LEAVING SAID CENTERLINE OF EDWARDS STREET, AND ALONG SAID EASTERLY PROLONGATION LINE SOUTH 89° 35' 24" WEST, 20.00 FEET TO THE POINT OF BEGINNING, SAID POINT OF BEGINNING ALSO BEING THE NORTHEASTERLY CORNER OF THE LAND DESCRIBED ON SAID EASEMENT DEED; THENCE ALONG THE NORTHERLY LINE OF SAID EASEMENT DEED, SOUTH 89° 35' 24" WEST, 981.18 FEET TO THE SOUTHWESTERLY CORNER OF SAID TRACT NO. 6934, SAID POINT BEING THE TERMINUS OF THIS DESCRIPTION. THE ABOVE DESCRIBED PARCEL OF LAND CONTAINS 73,588 SQUARE FEET, MORE OR LESS. ALL AS SHOWN ON EXHIBIT"B"PLOT ATTACHED HERETO AND BY THIS REFERENCE MADE A PART HEREOF. PREPARED BY: Q � No. 8231 Exp. Q OF C A\- F Lam Le, L.S.No. 8231,Exp 12/31/2015 EXHIBIT "B " W W F- Z z r INDUSTRY WAY i cn POINT OF o COMMENCEMENT Ow Ow v30 I TRACTI N0. 934 I M.M. 9 / 10 11 N 04 pp u` Ln- S 18T35'241 W 981.18' cn POR. DEED REC. 12/19, 1944 DOC. NO. 38665, BK 1296, PG 88 O.R. CITY OF WESTMINSTER 20.00, CITY OF HUNTINGTON BEACH S 89'3524" W POINT OF TRACT N0. 4863 BEGINNING M.M. 188/3-4 TRACT NO. 4865 M.M. 186/14-15 = U TRACT NO. 4864 m w M.M. 188/5-6 Z z o� Z w z 3 w = o o U U Scale: 1"=200' LAM LE "LS 8231" EXPIRES DECEMBER 31, 2017 Prepe,ea In the offfee of CITY OF WESTMINSTER CL SUB YYNG & SAPPING DEDICATION SHEET 12R CORONA. PoaoxA Rn., sutra 108 EASEMENT DEED DATED NOVEMBER 17, 1944 AND . CA 9z� of 1 Tel (909) 484-4200 RECORDED DECEMBER 19, 1944, AS DOCUMENT NO. 38665 Fax(909) 48a-4229 IN BK 1296, PAGE 88 OF O.R. COUNTY OF ORANGE, STATE JOB Ng OF CALIFORNIA. 2015-WEST-02