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08-0506_LB/CENTRA TIRADOR, LLC_Parking License and Use Agr0 0 PARKING LICENSE AND USE AGREEMENT THIS PARKING LICENSE AND USE AGREEMENT (this "Agreement") is made and entered into as of May 6, 2008 (the "Effective Date"), by and between City of San Juan Capistrano, a municipal corporation duly organized and existing under and by virtue of the laws of the State of California ("Licensor") and LB/Centra Tirador, LLC, a Delaware limited liability company ("Licensee"). A. Licensor is the owner of a parcel, comprising approximately 0.74 acres, which is legally described on Exhibit A attached hereto and incorporated herein by reference, which parcel is unimproved as of the Effective Date of this Agreement (the "City Parcel'). B. Licensee is developing a condominium project (the "Project") on real property adjacent to the City Parcel, as depicted on Exhibit B attached hereto and by this reference incorporated herein. C. Licensee desires to construct a surface parking lot, drive aisles and associated hardscape/landscape on the City Parcel and use the City Parcel for parking , access and associated uses for the Project (all as the same may be approved by the City in connection with the entitlements for the Project). D. The City Parcel comprises a portion of the "Property" which is the subject of that certain Lease Agreement (this "Lease Agreement"), dated as of December 1, 2002, by and between the San Juan Basin Authority, a joint powers authority duly organized and existing under the laws of the State of California, as lessor (the "Authority"), and the Capistrano Valley Water District, a county water district duly organized and existing under and by virtue of the laws of the State of California, as lessee (the "Water District") entered into in connection with the issuance of the $31,555,000 San Juan Basin Authority Lease Revenue Bonds (Ground Water Recovery Project), Issue of 2002 (the 'Bonds"); E. Pursuant to the definition of Permitted Encumbrances in the Lease Agreement, the Water District may encumber portions of the Property with, among other interests, easements, rights of way, mineral rights, drilling rights, and other rights, reservations, covenants, conditions or restrictions to which the Authority and the Water District consent in writing and which the Water District certifies will not materially impair the use of the Property and the Service Contract Project Improvements (as defined in the Lease Agreement) thereon, and any and all additions or modifications thereto made as provided in Section 7.8 of the Lease Agreement. F. The Water District has, since the date of the Lease Agmement, become a subsidiary of the Licensor. G. Licensor has determined that this Agreement will not materially impair the use of the Property or the Service Contract Project Improvements (as defined in the Lease Agreement) thereon, and any and all additions or modifications thereto made pursuant to the Lease Agreement. H. Licensor has agreed to grant Licensee and its agents, contractors and employees and the occupants of and visitors to the Project (collectively, the "Users") a license to enter and use the 0 0 City Parcel for the purpose of vehicular parking on the terms and subject to the conditions set forth in this Agreement. NOW, THEREFORE, in consideration of the mutual promises, covenants and agreements herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby declare as follows: Creation and Description of License. (a) Grant. On the terms and subject to the conditions set forth in this Agreement, Licensor hereby grants to (i) Licensee a non-exclusive license and right of entry to enter upon the City Parcel for the purpose of constructing, maintaining, repairing and replacing a parking lot, drive aisles, hardscape/landscape and associated improvements and facilities (including drainage, lighting and irrigation facilities (collectively and as constructed and reconstructed from time to time, the "Improvements") on the City Parcel and entering and using the same for their intended purposes, and (ii) the Users a non-exclusive license to enter and use the City Parcel for parking and access. Licensee's construction of the parking lot on the City Parcel shall be at Licensee's sole cost and expense (collectively, the "License"). Licensee agrees to give at least fifteen (15) days' prior written notice to Licensor of the commencement of construction of the Improvements on the City Parcel and at least five (5) days' prior written notice of the completion of such Improvements. Notwithstanding the non-exclusive nature of the foregoing grants, Licensor shall not grant any other party the right to use any portion of the City Parcel that would unreasonably interfere with Licensee's use and enjoyment of the Improvements or diminish the number of parking spaces constructed on the City Parcel as part of the Improvements, subject to subsection (b) below. (b) Reservation of Right to Construct Well. Notwithstanding anything to the contrary contained herein, Licensor reserves the right to relocate, maintain and operate (and to reconstruct from time to time) the existing well on the City Parcel at any time in its sole discretion. To the extent such use or relocation of the well causes the number of parking spaces constructed on the City Parcel by Licensee to be reduced, then Licensee shall replace, as soon as reasonably practicable, such parking spaces at its own expense. In the event any such relocation of the well does not allow for replacement parking spaces on the remainder of the City Parcel, then Licensee (or its assignees, including the owners' association for the Project) may seek a variance from the City to any parking requirements applicable to the Project, such that additional parking spaces shall not be required to be constructed for the Project; provided, however, any such application for a variation and the City's review and consideration of the same shall be subject to the normal procedures then in place and effective at the time of such application. In the event due to relocation Licensee determines to locate the replacement parking spaces at the prior location of the existing well, Licensor acknowledges that Licensee is permitted to so relocate pursuant to this Agreement. Licensee acknowledges and agrees that the construction and operation of a well in the City Parcel may partially or totally interfere with the use of the parking lot on the City Parcel. No exercise by Licensor of any rights contained in this subsection shall entitle Licensee to any damage for any injury or inconvenience occasioned thereby. (c) Duration. The term ("Term") of this Agreement and the rights of Licensee hereunder shall commence upon the issuance of a grading permit for the Project by Licensor (the "Commencement Date"), and shall terminate upon the earliest of: (i) the failure to complete construction of the Improvements on the City Parcel within four (4) years after the date of this Agreement; (ii) the conveyance of the City Parcel to Licensee as contemplated in Section 4, below; 0 0 or (iii) the breach or default of Licensee under this Agreement and Licensee's failure to cure the same within sixty (60) days if the breach or default is of an emergency nature) after Licensor's written notice thereof (or such longer period as shall be reasonably necessary, provided that such breach or default is not of an emergency nature and Licensee has commenced and is diligently pursuing to complete the cure of such breach or default within the sixty (60) -day period.) The parties agree to memorialize in writing the occurrence of the Commencement Date by providing notice to each other of the date of the issuance of a grading permit for the Project. (d) Character. This Agreement creates a license and shall not be deemed to create an easement, lease or a fee interest in the City Parcel. This Agreement and all of Licensee's rights hereunder are subject and subordinate to (i) all matters that are now or may hereafter become a matter of record, and (ii) the requirements of all applicable laws and governmental authorities. (e) Annual Fee. On the Commencement Date, Licensee shall pay to Licensor an annual fee in the amount of Six Thousand four hundred fifty and No/100s Dollars ($6,450.00) (the "Annual Fee"). The Annual Fee shall be payable in advance on or before the anniversary of the Commencement Date each year, without prior demand, with any partial years being appropriately prorated. Licensee shall pay the Annual Fee to Licensor at the address listed for Licensor in Section 16, below, or to such other address as Licensor may designate in writing to Licensee. (f) Rules. The Users shall comply with all reasonable, nondiscriminatory rules and regulations established by Licensor from time to time for the operation of the parking lot on the City Parcel including, without limitation, rules regarding identification of the Users. (g) Default; Remedies. In the event of Licensee's breach of this Agreement, Licensor may exercise any right, power or remedy available to it under this Agreement or otherwise by law, either by suit in equity or by action at law, or both, sixty (60) days (thirty (30) days if the breach or default is of an emergency nature) after written notice to Licensee of such breach; provided, however, that if such breach is not of an emergency nature and is capable of being cured and if the nature of Licensee's breach is such that more than sixty (60) days or are required to cure such breach, Licensee shall not be deemed in default if it shall commence such cure within sixty (60) days and thereafter diligently purses the same to completion. Notwithstanding anything to the contrary herein, to the extent that Licensor desires to terminate this Agreement on account of Licensee's breach or default hereunder, then Licensor shall provide written notice to Licensee of Licensor's intent to terminate not less than sixty (60) days before such termination takes effect and Licensee shall have the right to cure the breach within such sixty (60) day period; provided, however, that if such breach is capable of being cured and if the nature of Licensee's breach is such that more than sixty (60) days or are required to cure such breach, Licensor shall not have the right to terminate this Agreement and Licensee shall not be in default if Licensee shall commence such cure within said sixty (60) days and thereafter diligently purses the same to completion. 2. Compliance with Laws. Licensee's rights hereunder shall be conditioned upon, and Licensee shall, at its sole cost and expense, comply with each and every federal, state and local law, regulation, standard, court decision, ordinance, rule, code, order, decree, directive, guideline, permit and permit condition, together with any declaration of covenants, conditions and restrictions that are recorded in any official or public records with respect to the City Parcel or any portion thereof, each as currently existing and as amended, enacted, issued or adopted from time to time, that are applicable to the construction and use of the Improvements on the City Parcel. 0 0 3. No Interference. Licensee agrees not to materially interfere with any activities conducted by Licensor, the San Juan Basin Authority or the Capistrano Valley Water District on the City Parcel. 4. Option to Purchase. (a) The parties acknowledge that the City Parcel has been encumbered by the Lease Agreement, a site lease agreement and an assignment agreement entered into in connection with the Bonds (collectively, the 'Bond Documents"), which encumbrance has priority over this Agreement, and that the City Parcel may not be sold until such time as the Bonds and, if the City Parcel is encumbered in connection with any obligations refunding the Bonds, such refunding obligations (collectively, the "Obligations") are paid in full. (b) Provided that this Agreement remains in effect until the Obligations are paid in full, Licensor hereby grants to Licensee an option to purchase the City Parcel following the City Parcel being released from the lien of the Lease Agreement on account of the Obligations being satisfied in full or otherwise, at an option price equal to the appraised value at the time of exercise of the option, as determined by an appraiser mutually agreed upon by the parties assuming an open space use for the City Parcel and discounting for the reservation of easement referenced in the last sentence of this Section 4(b) and any other encumbrances on the City Parcel; and said option shall be subordinate to the lien of the Bond Documents on the City Parcel. Said option shall terminate and be of no further force or effect upon the termination of this Agreement. Further, in the event that Licensee exercises the option and acquires the City Parcel, then the conveyance documents shall reserve an easement in favor of the City to permit the City to maintain and operate, and reconstruct from time to time, the existing well on the City Parcel. (c) Licensor shall deliver written notice to Licensee at or after such time that the City Parcel is release from the lien of the Lease Agreement, and Licensee shall have one (1) year from receipt of said notice to exercise the option by delivering written notice thereof to Licensor. In the event Licensee elects to exercise the option as provided herein, Licensor and Licensee shall, within thirty (30) calendar days following delivery of said notice of exercise from Licensee, negotiate and execute a mutually acceptable definitive binding agreement of purchase and sale for the City Parcel, subject to the reservation of easement referenced in Section 4(b) above, and customary provisions. (d) Notwithstanding the forgoing, Licensor and Licensee hereby acknowledge and agree that the Annual Fee shall continue to be payable to Licensor until such time as the Term expires. 5. Mutual Cooperation. Licensor and Licensee agree to cooperate and execute any additional documents which may reasonably be required to effectuate the purpose of this Agreement. 6. Contingency. This Agreement shall not become effective for any purpose until consented to in writing by the Authority pursuant to the terms of the Lease Agreement. 7. Condition of City Parcel. During the Term, Licensee shall maintain, at its sole cost and expense, those portions of the City Parcel upon which the Improvements are constructed in a clean and orderly condition; Licensor shall maintain, at its sole cost and expense, the well and the remainder of the City Parcel in a clean and orderly condition. 0 0 8. Indemnity. Licensee shall indemnify, defend (with counsel acceptable to Licensor) and hold Licensor harmless from and against any and all claims, costs, expenses, damages, expenses, liabilities and liens (including any mechanic's liens), arising out of or in connection with the construction of the Improvements on the City Parcel by Licensee or the use of the City Parcel by any User. Licensor shall indemnify, defend (with counsel acceptable to Licensee) and hold Licensee harmless from and against any and all claims, costs, expenses, damages, expenses, liabilities and liens (including any mechanic's liens), arising out of or in connection with the operation, maintenance or relocation of the existing well by Licensor or the use of the City Parcel or the Improvements by Licensor. The obligation to indemnify set forth in this Section shall include all attorneys' fees, litigation costs, investigation costs and court costs and all other costs, expenses and liabilities incurred by Licensor from the first notice that any claim or demand is to be made or may be made. All indemnity obligations under this Section shall survive the expiration or earlier termination of this Agreement. 9. Liability for Damage. Licensee shall be responsible for any damage done to any person, or to the City Parcel or any other property, caused by the Users or by Licensee and/or its officers, directors, employees, agents, permittees, independent contractors, insurers, lenders, representatives, and invitees. 10. Liens. Licensee shall not permit to be placed against the City Parcel, or any part thereof, any design professionals', mechanics', materialmen's, contractors' or subcontractors' liens due to Licensee's construction activities thereon or use thereof. Licensee shall indemnify, defend and hold Licensor harmless from all liability for any and all liens, claims and demands, together with the costs of defense and reasonable attorneys' fees, related to same. In addition to and not in limitation of Licensor's other rights and remedies under this Agreement, should Licensee fail either to discharge any lien or claim related to Licensee's construction activities on or use of the City Parcel or to bond for any lien or claim to the reasonable satisfaction of Licensor, or to indemnify, hold harmless and defend Licensor from and against any loss, damage, injury, liability or claim arising out of Licensee's use of the City Parcel, then Licensor, at its option, may elect to pay any lien, claim, loss, demand, injury, liability or damages, or settle or discharge any action or satisfy any judgment and all costs, expenses and attorneys' fees incurred in doing so shall be paid to Licensor by Licensee upon written demand, together with interest thereon at the rate of ten percent (10%) per annum from the date incurred or paid through and including the date of payment by Licensee. 11. Memorandum Recordation. If prepared by Licensee in a form reasonably acceptable to Licensor, Licensor shall cause a Memorandum of this Agreement to be recorded at such time as Licensee may request such recording, subsequent to the Commencement Date. Concurrent with Licensee's delivery to Licensor of such a Memorandum, Licensee shall also execute, acknowledge and deliver to Licensor a quitclaim deed reflecting Licensee's written acknowledgment and release of the effect of this Agreement and such memorandum, which Licensor shall hold and only record upon the expiration of the Term or the earlier termination of this Agreement. 12. Insurance. Licensee shall maintain a policy or policies of commercial general liability insurance with respect to the use of the City Parcel, with the premiums thereon fully paid on or before the due date, in an amount of not less than $2,000,000 per occurrence per person coverage for bodily injury, property damage, personal injury or combination thereof. The insurance policies shall name Licensor as an additional insured. Neither Licensor nor Licensee shall be liable (by way of subrogation or otherwise) to the other party (or to any insurance company insuring the other party) for any personal injury or loss or damage to any of the property of Licensor or Licensee, as the case may be, with respect to their respective property or any addition or improvements thereto, or any contents therein, to the extent covered by insurance carried or required to be carried by a party hereto. 13. Licensor Consent and Certification. Licensor hereby consents to this Agreement and the License granted hereunder for purposes of the Lease Agreement and certifies that this Agreement will not materially impair the use of the Project (as defined in the Lease Agreement.) 14. Assignment, Successor and Assigns. This Agreement shall not be assigned by Licensee without the prior written consent of Licensor and any attempted assignment in contravention of the foregoing shall be null and void; provided, however, that Licensee may assign this Agreement without Licensor's consent to: (i) the owners' association for the Project, (ii) any entity or person acquiring all or material portion of the Project from Licensee, or (iii) any entity controlled by or under common control with the originally named Licensee, but only so long as Licensee provides Licensor with advanced written notice of such assignment. This Agreement shall be binding on and inure to the benefit of Licensor and Licensee and their respective successors, assigns and heirs including, without limitation, any successor owner of the City Parcel. 15. Amendment or Extension. This Agreement may be amended or extended only by a written instrument signed by both parties. 16. Notices. All notices, requests, demands and other communications which are required or may be given under this Agreement shall be in writing and mailed, delivered or transmitted by one party to another party at the address specified herein, and each such notice shall be deemed effective and given (a) upon receipt if personally delivered, (b) two (2) business days after deposit in the United States Mail, if sent by certified or registered mail with postage prepaid, return receipt requested or (c) upon receipt if sent in any other way. Any party hereto may from time to time, by written notice to the other, designate a different notice address which shall be substituted for the one specified herein. Licensor: City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, California 92675 Attention: Douglas Dumhart Licensee: Centra Realty Corporation 3 Park Plaza, Suite 1490 Irvine, California 92614 Attention: George Peterson 17. Entire Agreement. This Agreement constitutes the entire agreement of the parties concerning its subject matter and supersedes any and all contracts and agreements, written or oral, between the parties concerning its subject matter. 18. Severabilitv. In the event any portion of this Agreement shall be properly held by a competent jurisdiction to be invalid, illegal, or unenforceable, such portion shall be deemed severed from this Agreement, and the remaining parts shall remain in full force and effect, as though such invalid, illegal or unenforceable portion had never been part of this Agreement. 0 9 19. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. 20. Waiver. No waiver of any breach or default of this Agreement by any party hereto shall be considered to be a waiver of any other breach or default of this Agreement. 21. Attorneys' Fees. In the event of any controversy or dispute related to or arising from this Agreement, the prevailing party, whether in court or by way of out of court settlement, shall be entitled to recover from the non prevailing party the prevailing party's actual attorneys' fees, court costs and other expenses relating to such controversy, including, without limitation, actual attorneys' fees, court costs and other expenses incurred on the appeal, if any, or in the collection of any judgment. [Signatures Appear on Following Page] 0 0 IN WITNESS WHEREOF, the undersigned have executed this Agreement as of the date first written above. "LICENSOR" CITY OF SAN JUAN CAPISTRANO, a municipal corporation duly organized and existing un by virp}e of the laws of the State o aliform / 1 Rv- DOCSOC/ 1214594v6/022658-0026 Mayor "LICENSEE" LB/CENTRA TIRADOR, LLC, a Delaware limited liability company By: Centra Tirador, LLC a Delaware limited liability company, its Regular Managing Member By: Centra Development Company, LP a California limited partnership, its Managing Member By: Centra Realty a Califomia its Genera owl 0 n U ACKNOWLEDGED AND CONSENTED TO AS OF THE DATE SET FORTH ABOVE: SAN JUAN BASIN AUTHORITY By: C� Z Press nt of the B and of Directors ATTEST: T Secre ry of the Board of Directors DOCS 00 1214594v6/022658-0026 0 0 EXHIBIT A LEGAL DESCRIPTION OF CITY PARCEL Real property in the City of San Juan Capistrano, County of Orange, State of California, described as follows: THAT PORTION OF LOT 31 OF TRACT NO. 103, AS SHOWN ON A MAP RECORDED IN BOOK 11, PAGES 29, TO 33 INCLUSIVE, OF MISCELLANEOUS MAPS, RECORDS OF ORANGE COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS: BEGINNING AT THE MOST EASTERLY CORNER OF SAID LOT; THENCE NORTH 88 ° 17'41" WEST, ALONG THE NORTHERLY LINE OF SAID LOT, A DISTANCE OF 254 FEET; THENCE SOUTH 1 ° 42' 19" WEST, A DISTANCE OF 291.41 FEET TO THE SOUTHERLY LINE OF THE LAND CONVEYED TO FRED W. STROSCHEIN AND OTHERS. BY DEED RECORDED MARCH 26, 1947 IN BOOK 1492, PAGE 234, OF OFFICIAL_ RECORDS; THENCE SOUTH 880 17'41" EAST, ALONG SAID SOUTHERLY LINE, A DISTANCE OF 21.58 FEET TO THE SOUTHEASTERLY LINE OF SAID LOT 31' THENCE NORTH 400 16'49" EAST, ALONG SAID SOUTHEASTERLY LINE, A DISTANCE OF 372.75 FEET TO THE POINT OF BEGINNING. EXCEPTING THEREFROM ALL OIL, OIL RIGHTS, MINERALS, MINERAL RIGHTS, NATURAL GAS, NATURAL GAS RIGHTS, AND OTHER HYDROCARBONS BY WHATSOEVER NAME KNOWN THAT MAY BE WITHIN OR UNDER THE PARCEL OF LAND HEREINABOVE DESCRIBED, TOGETHER WITH THE PERPETUAL RIGHT OF DRILLING, MINING, EXPLORING, AND OPERATING THEREFOR, AND REMOVING THE SAME FROM SAID LAND OR ANY OTHER LAND, INCLUDING THE RIGHT TO WHIPSTOCK OR DIRECTIONALLY DRILL AND MINE FROM LANDS OTHER THAN THOSE HEREINABOVE DESCRIBED, OIL OR GAS WELLS, TUNNELS AND SHAFTS INTO THROUGH OR ACROSS THE SUBSURFACE OF THE LAND HEREINABOVE DESCRIBED AND TO BOTTOM SUCH WHIPSTOCKED OR DIRECTIONALLY DRILLED WELLS, TUNNELS AND SHAFTS UNDER AND BENEATH OR BEYOND THE EXTERIOR LIMITS THEREOF, AND TO REDRILL RETUNNEL, EQUIP, MAINTAIN, REPAIR DEEPEN AND OPERATE ANY SUCH WELLS OR MINES, WITHOUT, HOWEVER, THE RIGHT TO DRILL, MINE, STORE EXPLORE AND OPERATE THROUGH THE SURFACE OR THE UPPER 100 FEET OF THE SUBSURFACE OF THE LAND HEREINABOVE DESCRIBED OR OTHERWISE IN SUCH MANNER AS TO ENDANGER THE SAFETY OF ANY HIGHWAY THAT MAY BE CONSTRUCTED ON SAID LAND, AS RESERVED IN THE DEED FORM CARL L. STROSCHEIN AND OTHERS RECORDED FEBRUARY 15, 1955 IN BOOK 2959, PAGE 307 OF OFFICIAL RECORDS. APN:666-131-08 A-1 DOCSOC/ 1214594v6/022658-0026 0 0 EXHIBIT B DEPICTION OF LIGHT INDUSTRIAL PROJECT B-1 DOCSOC/ 1214594v6/022658-0026 RESOLUTION NO. RESOLUTION OF THE SAN JUAN BASIN AUTHORITY APPROVING LICENSE AGREEMENT RE TIRADOR WELL WHEREAS, on December 1, 2002, the San Juan Basin Authority entered into that certain lease agreement ("Agreement") with Capistrano Valley Water District ("CVWD") pertaining to, among other things, Parcel G described therein and commonly known as the Tirador Well ("Property"); and WHEREAS, the Agreement authorizes certain permitted encumbrances of the Property, which encumbrances require written approval of the San Juan Basin Authority; WHEREAS, CVWD has entered into that certain license agreement with LB/Centra Tirador, LLC, a Delaware limited liability company ("License Agreement"); and WHEREAS, CVWD has requested San Juan Basin Authority's written approval of the License Agreement attached hereto as Exhibit "A." NOW, THEREFORE, the San Juan Basin Authority DOES HEREBY APPROVE the License Agreement attached hereto as Exhibit "A." ADOPTED, SIGNED AND APPROVED this day of April, 2008. SAN JUAN BASIN AUTHORITY a4 0 wide ATTEST: Secreta DOCSOC/ 127 5 79 8v 1/022027-0000 E STATE OF CALIFORNIA ss. COUNTY OF ORANGE 0 I, , Secretary of the Board of Directors of the SAN JUAN BASIN AUTHORITY do hereby certify that the foregoing resolution was duly adopted by the Board of Directors of said Authority at a regular meeting of said Board held on the day of , 2008, and that it was so adopted by the following vote: AYES: DIRECTORS: NOES: DIRECTORS: ABSTAIN: DIRECTORS: ABSENT: DIRECTORS: 4eo�6� - Secr-etk of the Board of Directors of the San Juan Basin Authority DOCSOC/ 127 5 79 8v 1/022027-0000 32400 PASEO AOELANTO SAN JUAN CAPISTRANO, CA 92675 (949) 493-1171 (949) 493.1053 FAX www sanjuancaplstrano. org TRANSMITTAL TO Centra Realty Corporation 3 Park Plaza, Suite 1490 Irvine, CA 92614 Attn: George Peterson DATE: June 3, 2008 0 MEMBERS OF THE CR J. V COUNCIL SAM ALLEVATO .... THOMAS W. HRIBAR to 1961 MARK NIELSEN I7 IE JOE SOTO • _ • DR. LONDRES USO FROM: Christy Swanson, Administrative Specialist (949) 443-6310 RE: Parking License and Use Agreement - Ventanas Thank you for providing documentation confirming compliance with the terms of the agreement related to insurance. Please keep in mind this documentation must remain current with our office during the term of this agreement. If you have questions related to insurance requirements, please contact Maria Morris, Deputy City Clerk at (949) 443-6309. If you have questions concerning the agreement, please contact Douglas D. Dumhart, Economic Development Manager at (949) 443-6316. An original agreement is enclosed for your records. Cc: Douglas D. Dumhart, Economic Development Manager Mr. Stephen P. Sandland, Vice President, Centra Realty Corp. Mr. Matthew Paskerian Esq. Denise Hering, Stradling, Yocca Carlson and Rauth Don Martinson, San Juan Basin Authority San Juan Capistrano: Preserving the Past to Enhance the Future A �, Fnnletl on 100% rerydetl paper 5/6/2008 AGENDA REPORT G 3b TO: Dave Adams, City Manager Ge(` FROM: Douglas D. Dumhart, Economic Development Manager SUBJECT: Consideration of a Parking License and Use Agreement for Assessors Parcel Number 666-131-08, Located at 27122 Paseo Tirador, between the City of San Juan Capistrano and LB/Centra Tirador, LLC. (Ventanas) RECOMMENDATION: By motion, approve the Parking License and Use Agreement for Assessors Parcel Number 666-131-08, Located at 27122 Paseo Tirador, between the City of San Juan Capistrano and LB/Centra Tirador, LLC and authorize the Mayor to Execute the Agreement. SUMMARY: This item is consideration to allow the improvement of a 3/< acre parcel owned by the city in connection with the development of the Ventanas Business Center. A Parking License and Use Agreement has been prepared which would permit the Developer to construct surface parking lot, drive aisles and landscaping on the property; and consent to the access, use and maintenance of the parking improvements by future owners, tenants and guests of the Ventanas Business Center. BACKGROUND: Assessors parcel number 666-131-08, common address 27122 Paseo Tirador, locally referred to as the "Paseo Tirador Well -Site" is a right-angled triangular vacant plot of land approximately 32,312 square feet or 0.7395 acres in size. See assessor's map provided as Attachment 1 to this report. The right-angled side of the triangular parcel juts into a larger vacant plot of land. The hypotenuse side of the triangular parcel runs parallel to San Juan Creek on the south side. The right-angled side of the triangular parcel juts into a larger vacant plot of land. The parcel is encumbered with a portion of the Paseo Tirador easement and an above ground well and water pumping station which provides some of the ground water for the city's water reclamation plant. LB/Centra Tirador, LLC acquired the adjacent 20± acres of land from Buie -Stoddard Properties. When the City was approached about the proposed development of LB/Centra Tirador's holdings it was determined that the vacation of Paseo Tirador and assembly of Parcel 2 could enable proper land planning and development of the area. Agenda Report • • Page 2 May 6, 2008 The original concept was that well rights would be retained and 27122 Paseo Tirador would be sold with the sale proceeds deposited into the water fund. An appraisal of the property was sanctioned to determine the Parcel's fair market value. Upon further review it was realized that the property was essentially pledged as part of the assets for the revenue bonds used to finance the water reclamation plant. Untangling this small parcel from the complex binding agreements surrounding the reclamation plant financing was not worth the effort by the parties and a decision was made to pursue a License Agreement for Use of the property instead. The License Agreement would act as a bridge until such time in the future that the revenue bonds for the plant are retired and the parcel could simply be sold. The Parking License and Use Agreement is provided as Attachment 2 to this report. COMMISSION/BOARD REVIEW AND RECOMMENDATIONS: The Property is the subject of an existing Lease Agreement, between the San Juan Basin Authority as lessor and the Capistrano Valley Water District, as lessee entered into in connection with the issuance of the $31,555,000 Revenue Bonds for the Ground Water Recovery Project. The Lease Agreement allows the City to place other encumbrances on the property so long as the encumbrances do not impair the use of the Property for the Ground Water Recovery Project. As such the Parking License and Use Agreement is subject to review and written consent by the San Juan Basin Authority. This item was presented to the San Juan Basin Authority for acknowledgement and consent at the Board of Directors meeting on April 14, 2008. The Board acknowledged and consented to the Agreement 4-0. FINANCIAL CONSIDERATIONS: An appraisal of the property was prepared by Elizabeth M. Kiley, MAI; of the Kiley Company dated March 8, 2007. The fair market value (FMV) was determined to be one hundred twenty-nine thousand dollars ($129,000). Based on the appraisal a license fee equivalent to 3% - 5% of the FMV would be in the range between $3,870 and $6,450. LB/Centra Tirador have agreed to a $4,000 annual license fee which is within the reasonable license fee range albeit at the lower end of the spectrum. However it is anticipated that when the revenue bonds are retired in the future the parcel would be sold for the FMV. NOTIFICATION: Stephen Sandland, Centra Realty. Don Martinson, San Juan Basin Authority Agenda Report included Agenda Report • • Page 3 May 6, 2008 RECOMMENDATION: By motion, approve the Parking License and Use Agreement for Assessors Parcel Number 666-131-08, Located at 27122 Paseo Tirador, between the City of San Juan Capistrano and LB/Centra Tirador, LLC and authorize the Mayor to Execute the Agreement. Respectfully submitted, Dougla D. Dumhart Economic Development Manager Attachment 1: Assessor's map 2: Parking License and Use Agreement y4f, i t� t� 3 e h 0 ~ o b N �¢ \ � .� N N a`w pg AN 0 2pN2 ,- �yi �3Nod� M1O WCC¢Z W1U �Na�WWO 4<N4i 2 n� �oaRl • Assessor's Parcel Map • q� YY ♦ � Q a ♦ C SJAEEII bIT nr A N � � l_ N T Y o +.e ; Q - HIGEIWAY o a O VII 51-9ffley Company 11 i A A Of x Page 23 A ACHMENT 1 0 0 PARKING LICENSE AND USE AGREEMENT THIS PARKING LICENSE AND USE AGREEMENT (this "Agreement') is made and entered into as of , 2008 (the "Effective Date"), by and between City of San Juan Capistrano, a municipal corporation duly organized and existing under and by virtue of the laws of the State of California ("Licensor") and LB/Centra Tirador, LLC, a Delaware limited liability company ("Licensee"). A. Licensor is the owner of a parcel, comprising approximately 0.74 acres, which is legally described on Exhibit A attached hereto and incorporated herein by reference, which parcel is unimproved as of the Effective Date of this Agreement (the "City Parcel'). B. Licensee is developing a light industrial project (the "Project') on real property adjacent to the City Parcel, as depicted on Exhibit B attached hereto and by this reference incorporated herein. C. Licensee desires to construct a surface parking lot, drive aisles and associated hardscape/landscape on the City Parcel and use the City Parcel for parking , access and associated uses for the Project (all as the same may be approved by the City in connection with the entitlements for the Project). D. The City Parcel comprises a portion of the "Property" which is the subject of that certain Lease Agreement (this "Lease Agreement'), dated as of December 1, 2002, by and between the San Juan Basin Authority, a joint powers authority duly organized and existing under the laws of the State of California, as lessor (the "Authority"), and the Capistrano Valley Water District, a county water district duly organized and existing under and by virtue of the laws of the State of California, as lessee (the "Water District') entered into in connection with the issuance of the $31,555,000 San Juan Basin Authority Lease Revenue Bonds (Ground Water Recovery Project), Issue of 2002 (the 'Bonds"); E. Pursuant to the definition of Permitted Encumbrances in the Lease Agreement, the Water District may encumber portions of the Property with, among other interests, easements, rights of way, mineral rights, drilling rights, and other rights, reservations, covenants, conditions or restrictions to which the Authority and the Water District consent in writing and which the Water District certifies will not materially impair the use of the Property and the Service Contract Project Improvements (as defined in the Lease Agreement) thereon, and any and all additions or modifications thereto made as provided in Section 7.8 of the Lease Agreement. F. The Water District has; since the date of the Lease Agreement, become a subsidiary of the Licensor. G. Licensor has determined that this Agreement will not materially impair the use of the Property or the Service Contract Project Improvements (as defined in the Lease Agreement) thereon, and any and all additions or modifications thereto made pursuant to the Lease Agreement. H. Licensor has agreed to grant Licensee and its agents, contractors and employees and the occupants of and visitors to the Project (collectively, the "Users") a license to enter and use the ATTACHMENT 2 0 0 City Parcel for the purpose of vehicular parking on the terms and subject to the conditions set forth in this Agreement. NOW, THEREFORE, in consideration of the mutual promises, covenants and agreements herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby declare as follows: 1. Creation and Description of License. (a) Grant. On the terms and subject to the conditions set forth in this Agreement, Licensor hereby grants to (i) Licensee a non-exclusive license and right of entry to enter upon the City Parcel for the purpose of constructing, maintaining, repairing and replacing a parking lot, drive aisles, hardscape/landscape and associated improvements and facilities (including drainage, lighting and irrigation facilities (collectively and as constructed and reconstructed from time to time, the "Improvements") on the City Parcel and entering and using the same for their intended purposes, and (ii) the Users a non-exclusive license to enter and use the City Parcel for parking and access. Licensee's construction of the parking lot on the City Parcel shall be at Licensee's sole cost and expense (collectively, the "License"). Licensee agrees to give at least fifteen (15) days' prior written notice to Licensor of the commencement of construction of the Improvements on the City Parcel and at least five (5) days' prior written notice of the completion of such Improvements. Notwithstanding the non-exclusive, nature of the foregoing grants, Licensor shall not grant any other party the right to use any portion of the City Parcel that would unreasonably interfere with Licensee's use and enjoyment of the Improvements or diminish the number of parking spaces constructed on the City Parcel as part of the Improvements, subject to subsection (b) below. (b) Reservation of Right to Construct Well. Notwithstanding anything to the contrary contained herein, Licensor reserves the right to relocate, maintain and operate (and to reconstruct from time to time) the existing well on the City Parcel at any time in its sole discretion. To the extent such use or relocation of the well causes the number of parking spaces constructed on the City Parcel by Licensee to be reduced, then Licensee shall replace, as soon as reasonably practicable, such parking spaces at its own expense. In the event any such relocation of the well does not allow for replacement parking spaces on the remainder of the City Parcel, then Licensee (or its assignees, including the owners' association for the Project) may seek a variance from the City to any parking requirements applicable to the Project, such that additional parking spaces shall not be required to be constructed for the Project; provided, however, any such application for a variation and the City's review and consideration of the same shall be subject to the normal procedures then in place and effective at the time of such application. In the event due to relocation Licensee determines to locate the replacement parking spaces at the prior location of the existing well, Licensor acknowledges that Licensee is permitted to so relocate pursuant to this Agreement. Licensee acknowledges and agrees that the construction and operation of a well in the City Parcel may partially or totally interfere with the use of the parking lot on the City Parcel. No exercise by Licensor of any rights contained in this subsection shall entitle Licensee to any damage for any injury or inconvenience occasioned thereby. (c) Duration. The term ("Term") of this Agreement and the rights of Licensee hereunder shall commence upon the issuance of a grading permit for the Project by Licensor (the "Commencement Date"), and shall terminate upon the earliest of: (i) the failure to complete construction of the Improvements on the City Parcel within four (4) years after the date of this Agreement; (ii) the conveyance of the City Parcel to Licensee as contemplated in Section 4, below; DOCSOC/ 1214594v6/022658-0026 0 0 or (iii) the breach or default of Licensee under this Agreement and Licensee's failure to cure the same within sixty (60) days if the breach or default is of an emergency nature) after Licensor's written notice thereof (or such longer period as shall be reasonably necessary, provided that such breach or default is not of an emergency nature and Licensee has commenced and is diligently pursuing to complete the cure of such breach or default within the sixty (60) -day period.) The parties agree to memorialize in writing the occurrence of the Commencement Date by providing notice to each other of the date of the issuance of a grading permit for the Project. (d) Character. This Agreement creates a license and shall not be deemed to create an easement, lease or a fee interest in the City Parcel., This Agreement and all of Licensee's rights hereunder are subject and subordinate to (i) all matters that are now or may hereafter become a matter of record, and (ii) the requirements of all applicable laws and governmental authorities. (e) Annual Fee. On the Commencement Date, Licensee shall pay to Licensor an annual fee in the amount of Four Thousand and No/100s Dollars ($4,000.00) (the "Annual Fee"). The Annual Fee shall be payable in advance on or before the anniversary of the Commencement Date each year, without prior demand, with any partial years being appropriately prorated. Licensee shall pay the Annual Fee to Licensor at the address listed for Licensor in Section 16, below, or to such other address as Licensor may designate in writing to Licensee. (f) Rules. The Users shall comply with all reasonable, nondiscriminatory rules and regulations established by Licensor from time to time for the operation of the parking lot on the City Parcel including, without limitation, rales regarding identification of the Users. (g) Default; Remedies. In the event of Licensee's breach of this Agreement, Licensor may exercise any right, power or remedy available to it under this Agreement or otherwise by law, either by suit in equity or by action at law, or both, sixty (60) days (thirty (30) days if the breach or default is of an emergency nature) after written notice to Licensee of such breach; provided, however, that if such breach is not of an emergency nature and is capable of being cured and if the nature of Licensee's breach is such that more than sixty (60) days or are required to cure such breach, Licensee shall not be deemed in default if it shall commence such cure within sixty (60) days and thereafter diligently purses the same to completion. Notwithstanding anything to the contrary herein, to the extent that Licensor desires to terminate this Agreement on account of Licensee's breach or default hereunder, then Licensor shall provide written notice to Licensee of Licensor's intent to terminate not less than sixty (60) days before such termination takes effect and Licensee shall have the right to cure the breach within such sixty (60) day period; provided, however, that if such breach is capable of being cured and if the nature of Licensee's breach is such that more than sixty (60) days or are required to cure such breach, Licensor shall not have the right to terminate this Agreement and Licensee shall not be in default if Licensee shall commence such cure within said sixty (60) days and thereafter diligently purses the same to completion. 2. Compliance with Laws. Licensee's rights hereunder shall be conditioned upon, and Licensee shall, at its sole cost and expense, comply with each and every federal, state and local law, regulation, standard, court decision, ordinance, rule, code, order, decree, directive, guideline, permit and permit condition, together with any declaration of covenants, conditions and restrictions that are recorded in any official or public records with respect to the City Parcel or any portion thereof, each as currently existing and as amended, enacted, issued or adopted from time to time, that are applicable to the construction and use of the Improvements on the City Parcel. DOC SOC/ 1214594v6/022658-0026 0 0 3. No Interference. Licensee agrees not to materially interfere with any activities conducted by Licensor, the San Juan Basin Authority or the Capistrano Valley Water District on the City Parcel, 4. Option to Purchase. (a) The parties acknowledge that the City Parcel has been encumbered by the Lease Agreement, a site lease agreement and an assignment agreement entered into in connection with the Bonds (collectively, the 'Bond Documents"), which encumbrance has priority over this Agreement, and that the City Parcel may not be sold until such time as the Bonds and, if the City Parcel is encumbered in connection with any obligations refunding the Bonds, such refunding obligations (collectively, the "Obligations") are paid in full. (b) Provided that this Agreement remains in effect until the Obligations are paid in full, Licensor hereby grants to Licensee an option to purchase the City Parcel following the City Parcel being released from the lien of the Lease Agreement on account of the Obligations being satisfied in full or otherwise, at an option price equal to the lesser of the One Hundred Twenty -Nine Thousand and No/100s Dollars ($129,000.00), or the appraised value at the time of exercise of the option, as determined by an appraiser mutually agreed upon by the parties; and said option shall be subordinate to the lien of the Bond Documents on the City Parcel. Said option shall terminate and be of no further force or effect upon the termination of this Agreement. Further, in the event that Licensee exercises the option and acquires the City Parcel, then the conveyance documents shall reserve an easement in favor of the City to permit the City to maintain and operate, and reconstruct from time to time, the existing well on the City Parcel. (c) Licensor shall deliver written notice to Licensee at or after such time that the City Parcel is release from the lien of the Lease Agreement, and Licensee shall have one (1) year from receipt of said notice to exercise the option by delivering written notice thereof to Licensor. In the event Licensee elects to exercise the option as provided herein, Licensor and Licensee shall, within thirty (30) calendar days following delivery of said notice of exercise from Licensee, negotiate and execute a mutually acceptable definitive binding agreement of purchase and sale for the City Parcel, subject to the reservation of easement referenced in Section 4(b) above, and customary provisions. (d) Notwithstanding the forgoing, Licensor and Licensee hereby acknowledge and agree that the Annual Fee shall continue to be payable to Licensor until such time as the Term expires. 5. Mutual Cooperation. Licensor and Licensee agree to cooperate and execute any additional documents which may reasonably be required to effectuate the purpose of this Agreement. 6. Contingency. This Agreement shall not become effective for any purpose until consented to in writing by the Authority pursuant to the terms of the Lease Agreement. 7. Condition of City Parcel. During the Term, Licensee shall maintain, at its sole cost and expense, those portions of the City Parcel upon which the Improvements are constructed in a clean and orderly condition; Licensor shall maintain, at its sole cost and expense, the well and the remainder of the City Parcel in a clean and orderly condition. DOCSOC/ 1214594v6/022658-0026 0 0 8. hide i . Licensee shall indemnify, defend (with counsel acceptable to Licensor) and hold Licensor harmless from and against any and all claims, costs, expenses, damages, expenses, liabilities and liens (including any mechanic's liens), arising out of or in connection with the construction of the Improvements on the City Parcel by Licensee or the use of the City Parcel by any User. Licensor shall indemnify, defend (with counsel acceptable to Licensee) and hold Licensee harmless from and against any and all claims, costs, expenses, damages, expenses, liabilities and liens (including any mechanic's liens), arising out of or in connection with the operation, maintenance or relocation of the existing well by Licensor or the use of the City Parcel or the Improvements by Licensor. The obligation to indemnify set forth in this Section shall include all attorneys' fees, litigation costs, investigation costs and court costs and all other costs, expenses and liabilities incurred by Licensor from the first notice that any claim or demand is to be made or may be made. All indemnity obligations under this Section shall survive the expiration or earlier termination of this Agreement. 9. Liability for Damage. Licensee shall be responsible for any damage done to any person, or to the City Parcel or any other property, caused by the Users or by Licensee and/or its officers, directors, employees, agents, permittees, independent contractors, insurers, lenders, representatives, and invitees. 10. Liens. Licensee shall not permit to be placed against the City Parcel, or any part thereof, any design professionals', mechanics', materialmen's, contractors' or subcontractors' liens due to Licensee's construction activities thereon or use thereof. Licensee shall indemnify, defend and hold Licensor harmless from all liability for any and all liens, claims and demands, together with the costs of defense and reasonable attorneys' fees, related to same. In addition to and not in limitation of Licensor's other rights and remedies under this Agreement, should Licensee fail either to discharge any lien or claim related to Licensee's construction activities on or use of the City Parcel or to bond for any lien or claim to the reasonable satisfaction of Licensor, or to indemnify, hold harmless and defend Licensor from and against any loss, damage, injury, liability or claim arising out of Licensee's use of the City Paroel, then Licensor, at its option, may elect to pay any lien, claim, loss, demand, injury, liability or damages, or settle or discharge any action or satisfy any judgment and all costs, expenses and attorneys' fees incurred in doing so shall be paid to Licensor by Licensee upon written demand, together with interest thereon at the rate of ten percent (10%) per annum from the date incurred or paid through and including the date of payment by Licensee. 11. Memorandum Recordation. If prepared by Licensee in a form reasonably acceptable to Licensor, Licensor shall cause a Memorandum of this Agreement to be recorded at such time as Licensee may request such recording, subsequent to the Commencement Date. Concurrent with Licensee's delivery to Licensor of such a Memorandum, Licensee shall also execute, acknowledge and deliver to Licensor a quitclaim deed reflecting Licensee's written acknowledgment and release of the effect of this Agreement and such memorandum, which Licensor shall hold and only record upon the expiration of the Term or the earlier termination of this Agreement. 12. Inance. Licensee shall maintain a policy or policies of commercial general liability insurance with respect to the use of the City Parcel, with the premiums thereon fully paid on or before the due date, in an amount of not less than $2,000,000 per occurrence per person coverage for bodily injury, property damage, personal injury or combination thereof. The insurance policies shall name Licensor as an additional insured. Neither Licensor nor Licensee shall be liable (by way of subrogation or otherwise) to the other party (or to any insurance company insuring the other party) for any personal injury or loss or damage to any of the property of Licensor or Licensee, as the case DOCSOC/ 1214594 v6/022658-0026 0 0 may be, with respect to their respective property or any addition or improvements thereto, or any contents therein, to the extent covered by insurance carried or required to be carried by a party hereto. 13. Licensor Consent and Certification. Licensor hereby consents to this Agreement and the License granted hereunder for purposes of the Lease Agreement and certifies that this Agreement will not materially impair the use of the Project (as defined in the Lease Agreement.) 14. Assignment, Successor and Assigns. This Agreement shall not be assigned by Licensee without the prior written consent of Licensor and any attempted assignment in contravention of the foregoing shall be null and void; provided, however, that Licensee may assign this Agreement without Licensor's consent to: (i) the owners' association for the Project, (ii) any entity or person acquiring all or material portion of the Project from Licensee; or (iii) any entity controlled by or under common control with the originally named Licensee, but only so long as Licensee provides Licensor with advanced written notice of such assignment. This Agreement shall be binding on and inure to the benefit of Licensor and Licensee and their respective successors, assigns and heirs including, without limitation, any successor owner of the City Parcel. 15. Amendment or Extension. This Agreement may be amended or extended only by a written instrument signed by both parties. 16. Notices. All notices, requests, demands and other communications which are required or may be given under this Agreement shall be in writing and mailed, delivered or transmitted by one party to another party at the address specified herein, and each such notice shall be deemed effective and given (a) upon receipt if personally delivered, (b) two (2) business days after deposit in the United States Mail, if sent by certified or registered mail with postage prepaid, return receipt requested or (c) upon receipt if sent in any other way. Any party hereto may from time to time, by written notice to the other, designate a different notice address which shall be substituted for the one specified herein. Licensor: City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, California 92675 Attention: Douglas Dumhart Licensee: Centra Realty Corporation 3 Park Plaza, Suite 1490 Irvine, California 92614 Attention: George Peterson 17. Entire A rg eement. This Agreement constitutes the entire agreement of the parties concerning its subject matter and supersedes any and all contracts and agreements, written or oral, between the parties concerning its subject matter. 18. Severability. In the event any portion of this Agreement shall be properly held by a competent jurisdiction to be invalid, illegal, or unenforceable, such portion shall be deemed severed from this Agreement, and the remaining parts shall remain in full force and effect, as though such invalid, illegal or unenforceable portion had never been part of this Agreement. DOCSOC/ 1214594v6/022658-0026 0 0 19. Applicable Law. This Agreement shall be governedby and construed in accordance with the laws of the State of California. . 20. Waiver. No waiver of any breach or default of this Agreement by any party hereto shall be considered to be a waiver of any other breach or default of this Agreement. 21. Attorneys' Fees. In the event of any controversy or dispute related to or arising from this Agreement, the prevailing party, whether in court or by way of out of court settlement, shall be entitled to recover from the non prevailing party the prevailing party's actual attorneys' fees, court, costs and other expenses relating to such controversy, including, without limitation, actual attorneys' fees, court costs and other expenses incurred on the appeal, if any, or in the collection of any judgment. [Signatures Appear on Following Page] DOCSOC/ 1214594v6/022658-0026 0 E IN WITNESS WHEREOF, the undersigned have executed this Agreement as of the date first written above. "LICENSOR" CITY OF SAN JUAN CAPISTRANO, a municipal corporation duly organized and existing under and by virtue of the laws of the State of California Lo ATTEST: City Clerk Mayor "LICENSEE" LB/CENTRA TIRADOR, LLC, a Delaware limited liability company By: Centra Tirador, LLC a Delaware limited liability company, its Regular Managing Member By: Centra Development Company, LP a California limited partnership, its Managing Member By: Centra Realty a California a its General➢ DOCSOC/ 1214594v6/022658-0026 M, U 0 ACKNOWLEDGED AND CONSENTED TO AS OF THE DATE SET FORTH ABOVE: SAN JUAN BASIN AUTHORITY By: Presi�nt of the B� 1rd of Directors ATTEST: cret IT6—f the Board of Directors DOCSOC/ 1214594v6/022658-0026 0 0 EXHIBIT A LEGAL DESCRIPTION OF CITY PARCEL Real property in the City of San Juan Capistrano, County of Orange, State of California, described as follows: THAT PORTION OF LOT 31 OF TRACT NO. 103, AS SHOWN ON A MAP RECORDED IN BOOK 11, PAGES 29, TO 33 INCLUSIVE, OF MISCELLANEOUS MAPS, RECORDS OF ORANGE COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS: BEGINNING AT THE MOST EASTERLY CORNER OF SAID LOT; THENCE NORTH 88. 17'41" WEST, ALONG THE NORTHERLY LINE OF SAID LOT, A DISTANCE OF 254 FEET; THENCE SOUTH 1 ° 42' 19" WEST, A DISTANCE OF 291.41 FEET TO THE SOUTHERLY LINE OF THE LAND CONVEYED TO FRED W. STROSCHEIN AND OTHERS. BY DEED RECORDED MARCH 26, 1947 IN BOOK 1492, PAGE 234, OF OFFICIAL RECORDS; THENCE SOUTH 880 17'41" EAST, ALONG SAID SOUTHERLY LINE, A DISTANCE OF 21.58 FEET TO THE SOUTHEASTERLY LINE OF SAID LOT 31' THENCE NORTH 400 16'49" EAST, ALONG SAID SOUTHEASTERLY LINE, A DISTANCE OF 372.75 FEET TO THE POINT OF BEGINNING. EXCEPTING THEREFROM ALL OIL, OIL RIGHTS, MINERALS, MINERAL RIGHTS, NATURAL GAS, NATURAL GAS RIGHTS, AND OTHER HYDROCARBONS BY WHATSOEVER NAME KNOWN THAT MAY BE WITHIN OR UNDER THE PARCEL OF LAND HEREINABOVE DESCRIBED, TOGETHER WITH THE PERPETUAL RIGHT OF DRILLING, MINING, EXPLORING, AND OPERATING THEREFOR, AND REMOVING THE SAME FROM SAID LAND OR ANY OTHER LAND, INCLUDING THE RIGHT TO WHIPSTOCK OR DIRECTIONALLY DRILL AND MINE FROM LANDS OTHER THAN THOSE HEREINABOVE DESCRIBED, OIL OR GAS WELLS, TUNNELS AND SHAFTS INTO THROUGH OR ACROSS THE SUBSURFACE OF THE LAND HEREINABOVE DESCRIBED AND TO BOTTOM SUCH WHIPSTOCKED OR DIRECTIONALLY DRILLED WELLS, TUNNELS AND SHAFTS UNDER AND BENEATH OR BEYOND THE EXTERIOR LIMITS THEREOF, AND TO REDRILL RETUNNEL, EQUIP, MAINTAIN, REPAIR DEEPEN AND OPERATE ANY SUCH WELLS OR MINES, WITHOUT, HOWEVER, THE RIGHT TO DRILL, MINE, STORE EXPLORE AND OPERATE THROUGH THE SURFACE OR THE UPPER 100 FEET OF THE SUBSURFACE OF THE LAND HEREINABOVE DESCRIBED OR OTHERWISE IN SUCH MANNER AS TO ENDANGER THE SAFETY OF ANY HIGHWAY THAT MAY BE CONSTRUCTED ON SAID LAND, AS RESERVED IN THE DEED FORM CARL L. STROSCHEIN AND OTHERS RECORDED FEBRUARY 15, 1955 IN BOOK 2959, PAGE 307 OF OFFICIAL RECORDS. APN:666-131-08 A-1 DOCSOC/ 1214594v6/022658-0026 0 0 EXHIBIT B DEPICTION OF LIGHT INDUSTRIAL PROJECT B-1 DOC SOC/ 1214594v6/022658-0026 0 32400 PASEO AOELANTO SAN JUAN CAPISTRANO, CA 92675 (949) 493-1171 (949) 493-1053 FAx www satyuancaplstrano. org Jww► � mcauonnno �usell ' 1961 1776 MEMBERS OF THE CITY COUNCIL NOTIFICATION OF MEETING OF POTENTIAL INTEREST OF THE SAN JUAN CAPISTRANO CITY COUNCIL SAM ALLEVATO THOMAS W. HRIBAR MARK NIELSEN JOE SOTO DR. LONDRES USO The City Council of San Juan Capistrano will meet at 6:30 p.m. on Tuesday, May 6, 2008 in the City Council Chamber in City Hall, to consider: "Consideration of a Parking License and Use Agreement for Assessors Parcel Number 666-131-08, Located at 27122 Paseo Tirador, between the City of San Juan Capistrano and LB/Centra Tirador, LLC. (Ventanas)" — Item No. G3b. If you have specific thoughts or concerns regarding this item, you are encouraged to participate in this decision making process. You can communicate with the City Council through correspondence addressed to the Council and/or by attending the meeting and speaking to the Council during the public meeting. Correspondence related to this item must be received at the City Clerk's office by 5:00 p.m. on Monday, May 5, 2008 to allow time for the Council to consider its content. If you would like to speak at the meeting, please complete a yellow "Request to Speak" form found inside the entrance to the Council Chamber. This form is turned in at the staff table, just in front of the Council dais. You will be called to speak by the Mayor when the item is considered. You have received this notice at the request of the City staff member Douglas D. Dumhart, Economic Development Manager. You may contact that staff member at (949) 443-6316 with any questions. The agenda, including agenda reports, is available to you on our web site: www.sanivancapistrano.org. If you would like to subscribe to receive a notice when agendas are posted to the web site, please make that request by sending an e-mail to: citvclerk an-sanivancapistrano.org. Meg Monahan, MMC City Clerk cc: Stephen Sanland, Centra Realty*; Don Martinson, San Juan Basin Authority*; Douglas D. Dumhart, Economic Development Manager * Received staff report San Juan Capistrano: Preserving the Past to Enhance the Future 0 Printed on 100% recycled paper • Doualas Dumhart 11 Full Name: Mr. Matthew Paskerian Esq. Last Name: Paskerian First Name: Matthew Job Title: Centre's Legal Counsel Business Address: 1730 Tradewinds Lane Newport Beach, CA 92660 Business: (949) 285-0142 Business Fax: (949) 734-9226 E-mail: E-mail Display As: Legal counsel to Centra mpaskerian(@pbmlawyer.com Matthew Paskerian Esq. (mpaskerian@Pbmlawyer.com) / 41AAA,&- ,:. 0 Douglas Dumhart Full Name: Mr. Stephen P. Sandland Last Name: Sandland First Name: Stephen Job Title: Vice President Company: Centra Realty Corporation Business Address: 3 Park Plaza, Suite 1490 Irvine, CA 92614 Business: (949) 476-2246 x 111 Mobile: (949) 294-4417 Business Fax: (949) 476-8520 E-mail: ssandland@centrarealtycorp.com E-mail Display As: A. I. A. Stephen P. Sandland (ssandland@centrarealtycorp.com) ssandland@projectdimensions.com 0 Douglas Dumhart Full Name: Denise Hering Last Name: Hering First Name: Denise Company: Stradiing, Yocca Carlson and Rauth Business Address: 660 Newport Center Drive, Suite 1600 Newport Beach, CA 92660 Business: (949)725-4165 Mobile: (949) 683-5082 Business Fax: (949) 725-4100 E-mail: dhering(psycr.com Email Display As: dhering@sycr.com Assistant - Connie Campbell (949) 725-4053 Judi Krawiec Para -Legal (949) 725-4235 Ted Cody San Francisco Office (415) 283-2240 office (949) 887-2241 Cell Phone 0 Douglas Dumhart Full Name: Don Martinson Last Name: Martinson First Name: Don Company: San Juan Basin Authority Business Address: P.O. Box 30203 Laguna Niguel, CA 92607-0203 Business: (949) 831-2500 Business 2: (949) 448-4055 Business Fax: (949) 831-5651 E-mail: (gray@mmad.com Email Display As: Igray@mnwd.com Categories: Business Ground Water Basin Management Leslie Gray (secretary) Allison Burns, Lawyer 949-725-4187 1 F--I L-.j