1993-0628_CAPITAL FINANCIAL CONSULTANTS_Completion Agreement First AmdMARBELLA
OOPERTY OWNERS ASSOC�ON
.V
JAN �I,AN �APIS-9AG
October 13, 1995
City Of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
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RE: Marbella Property Owners Association ///
Marbella Crest Development T ,/�78 4
Dear Sirs:
This letter is in regard to the Marbella Crest sub -association
currently being developed within the Marbella Property owners
Association. Marbella is requesting that the City Of San Juan
Capistrano notify all Marbella members of any actions relative tw
the Marbella Crest developments• and in particular, any bond
exonerations.
Thank you for your assistance with this issue. If you should have
any questions regarding this request, please contact me at
(714)727-9090.
Sincerely,
For The Board Of Directors
Marbella Property Owners Association
Diane Mellring
Community Manager
cc: Board
�►�f/N�a.�9
Doc File CARW Tii
V1an,inq -Noenr: Minngemenr (-,,,rntinn
32400 PASEO ADELANTO
SAN JUAN CAPISTRANO, CA 92675
(949) 493-1171
(949) 493-1053 (FAX)
www.sanjuancapistrano.org
June 12, 2001
The InscoDico Group
P.O. Box 19725
Irvine, CA 92623
auumu 1961
1776
Re: Marbella Crest, Tract 13846, Grading Bond 142432S
To Whom It May Concern,
MEMBERS OF THE CITY COUNCIL
DIANE L. EATHGATE
JOHNS GEU F
JOHN GREINER
WYATT HART
DAND M. SWERDLIN
CITY MANAGER
GEORGE SCARBOROUGH
This letter is to serve as authorization to reduce the Grading Bond, 142432S, posted for
Marbella Crest, Tract No. 13846, from $250,000 to $100,000. The first phase of the
project has been completed to the satisfaction of the City of San Juan Capistrano. The
remaining portion of the bond will be retained until final completion of improvements within
the second phase portion of the project.
If you have any questions or need clarification, please contact me.
4Sin erely
ie W. Mcl rlan
Development Services Manager
cc: V6awn Schanderl, Deputy City Clerk
Haynes Kendall, Capital Financial Consultants, Inc.
DNUO USE
IS
San Juan Capistrano: Preserving the Past to Enhance the Future
RIDER
BOND NUMBER
~ 142432S
INAWNITY; COMPANY 6'F CALI'P0RNZA ' ,
177$0 FITi iH 5UITZ, 260 CA'926i4
DATE OF NOTICE
BOND NUMBER
TYPE OF BOND
06-21-2001
1424325
SUBDIVISION IMPROV.
Nothing herein contained shall be held to vary, waive, alter, or extend any of the terms, conditions, agreements, or warranties'
of the above mentioned bond, other than stated as below.
OBLIGEE
CITY OF SAN JUAN CAPISTRANO
32400 PASEO ADELANTO
SAN JUAN CAPISTRANO CA 92675
Gentlemen:
This Rider is to be attached to and form a part of the above captioned bond effective 4-15-2000
This Rider is on behalf of
CAPITAL FINANCIAL CONSULTANTS
and in favor of the Obligee stated above.
In consideration of the premium charged, it is understood and agreed, effective from above date, that:
EFFECTIVE 6-12-2001 AMEND CONTRACT BOND AMOUNT TO READ: $100,000.00
PRODUCER
DIRECT ACCOUNT SAN DIEGO
3517 CAMINO DEL RIO SO 200
SAN DIEGO CA 92108
OBLIGEE COPY
Provided, however, that the liability of the company I
under the attached bond as changed by this order
shall not be cumulative.
POWER OF ATTORNEY FOR
DEVELOPERS SURETY AND INDEMNITY COMPANY
INDEMNITY COMPANY OF CALIFORNIA
PO BOX 19725, IRVINE, CA 92623 • (949) 263-3300
KNOW ALL MEN BY THESE PRESENTS, that except as expressly limited, DEVELOPERS SURETY AND INDEMNITY COMPANY and INDEMNITY COMPANY
OF CALIFORNIA, do each severally, but not jointly, hereby make, constitute and appoint:
***Cynthia S. Wozney, Pauline McLean, Antonio Alvarado, Gina L. Garner, jointly or severally***
as the true and lawful Attomey(s)-in-Fact, to make, execute, deliver and acknowledge, for and on behalf of said corporations as sureties, bonds, undertakings and contracts
of suretyship giving and granting unto said Attomey(s)-in-Fact full power and authority to do and to perform every act necessary, requisite or proper to he done in
connection therewith as each of said corporations could do, but reserving to each of said corporations full power of substitution and revocation, and all of the acts of said
Attomey(s)-in-Fact, pursuant to these presents, are hereby ratified and confirmed.
This Power of Attorney is granted and is signed by facsimile under and by authority of the following resolutions adopted by the respective Board of Directors of
DEVELOPERS SURETY AND INDEMNITY COMPANY and INDEMNITY COMPANY OF CALIFORNIA, effective as of November 1, 2000:
RESOLVED, that the Chairman of the Board, the President and any Vice President of the corporation be, and that each of them hereby is, authorized to execute Powers of
Attorney, qualifying the attomey(s) named in the Powers of Attorney to execute, on behalf of the corporations, bonds, undertakings and contracts of suretyship; and that the
Secretary or any Assistant Secretary of the corporations be, and each of them hereby is, authorized to attest the execution of any such Power of Attomey;
RESOLVED, FURTHER, that the signatures of such officers may be affixed to any such Power of Attorney or to any certificate relating thereto by facsimile, and any such
Power of Attorney or certificate bearing such facsimile signatures shall be valid and binding upon the corporation when so affixed and in the future with respect to any bond,
undertaking or contract of suretyship to which it is attached.
IN WITNESS WHEREOF, DEVELOPERS SURETY AND INDEMNITY COMPANY and INDEMNITY COMPANY OF CALIFORNIA have severally caused these
presents to be signed by their respective Executive Vice President and attested by their respective Secretary this 81^ day of November, 2000.
By: , ,.„ , ..
David H. Rhodes, Executive Vice President ............. ;l'OF!.,, C� ;O9j s%SEAL : �' ?By: eO:1936 eOWalter A. Crowell, Secretary 9./OWP
STATE OF CALIFORNIA )
)SS.
COUNTY OF ORANGE )
On November 8, 2000, before me, Diane J. Kawata, personally appeared David H. Rhodes and Walter A. Crowell, personally known to me (or proved to me on the basis of
satisfactory evidence) to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized
capacities, and that by their signatures on the instrument the entity upon behalf of which the persons acted, executed the instrument.
WITNESS my hand and official seal.
Signature
CERTIFICATE
W WEJ. KAWATA
COMM.vilff P!
MAMPUSUC-C&E
o ORMW OOUNTY
Ah cram Bp. Jn e, zoos
The undersigned, as Chief Operating Officer of DEVELOPERS SURETY AND INDEMNITY COMPANY and INDEMNITY COMPANY OF CALIFORNIA, does
hereby certify that the foregoing Power of Attorney remains in full force and has not been revoked, and furthermore, that the provisions of the resolutions of the respective
Boards of Directors of said corporations set forth in the Power of Attomey, are in force as of the date of this Certificate.
This Certificate is executed in the City of Irvine, California, the 21 day of .TUNE , 2001
By
( W I
�,1 �V
David G. Lane, Chief Operating Officer
ID -1380111/00)
WI 0 f
FIRST AMENDMENT
TO
OMPLETION AGREEMENT
for Marbella Crest
Tract 13846
WHEREAS, a Completion Agreement for Marbella Crest, Tract
13846, has previously been entered into between CAPITAL FINANCIAL
CONSULTANTS, INC., as agent for the owners of Tract 13846,
(hereinafter "CFC") and THE CITY OF SAN JUAN CAPISTRANO, a
Municipal Corporation, (hereinafter "City"), on June 30, 1993, and
WHEREAS, CFC and the City are desirous of entering into a
First Amended Completion Agreement for the purposes of allowing CFC
to obtain, for the benefit of City, a $250,000.00 completion bond
from a bonding company acceptable to the City in order for CFC to
be able to immediately utilize the funds deposited by the City from
the proceeds of the surety bonds, as more fully described in
paragraph 12 of the Completion Agreement dated June 30, 1993.
NOW, THEREFORE, for good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the
parties agree as follows:
1. CFC shall obtain for the benefit of the City a
$250,000.00 completion bond, which will represent 1258 of the
estimated cost of specific improvements regarding Tract 13846,
commonly known as Marbella Crest Estates. A $150,000.00 portion of
the total $250,000.00 bond shall pertain to specific segments of
the work of improvements regarding Phase I of Tract 13846 as more
fully described in Exhibit "A", which is attached hereto and
incorporated herein by this reference. The remaining $100,000.00
portion of the $250,000.00 bond shall pertain to the specific
improvements of Phase II of Tract 13846. Upon obtaining and
delivering the aforementioned completion bond from a bonding
company acceptable by the City, CFC shall be entitled to
immediately utilize the funds deposited by the City in the joint
bank account at Wells Fargo Bank, San Juan Capistrano Office, from
the proceeds of the surety bond to complete the work of improvement
for Tract 13846, Phase I.
2. In all other respects the completion Agreement for
Marbella Crest, Tract 13846, dated June 30, 1993, shall remain in
full force and effect in accordance with the original terms and
conditions thereof.
-ft ' • a
IN WITNESS WHEREOF, the parties hereto have executed this
First Amendment to Completion Agreement on NeMah 4/5 1994.
C
Dated: 3 Z y By: TAL F C NANCIFj�ONSULTANTS, INC.
ts:
Dated: peril S,_ 1994 CITY OF SJUAN C ISTRANO
By: %
It Collen amube 1, Mayor
Marbella/Amend.Com/3/24/94
PHASE
LINE ITEM
#41
#44, 45, 46
#48
PHASE II
i
II
MAR 10 '94 10:27
EXHIBIT A
DESCRIPTION AMOUNT
Street Lighting $35,000.00
Paving & Curb $98,087.00
Complete Landscaping 523.700.00
TOTAL $157,787.00
DESCRIPTION AMOUNT
Complete interior drainage system
and interior stabilization work as
indicated on red lined plan by Peter
Engineering.
TOTAL $92,613.00
17148510822 PAGE.002
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COMPLETION AGREEMENT
FOR MARBELLA CREST
TRACT 13846
This Agreement is dated June 30, 1993, by and between CAPITAL
FINANCIAL CONSULTANTS, INC., as Agent for the Owners of Tract 13846
(hereinafter "CFC") and the CITY OF SAN JUAN CAPISTRANO, a
Municipal Corporation (hereinafter "City").
Recitals
A. CFC is the Agent for the owners of the certain real
property located within the City of San Juan Capistrano commonly
known as Marbella Crest Estates, Tract 13846. The owners of Tract
13846 had loaned $2,000,000. to the prior owners, Tropiville, Inc.,
a South Carolina corporation secured by a First Deed of Trust. A
Default occurred in the loan and CFC on behalf of the owners
completed a non -judicial foreclosure sale on or about February 26,
1993.
B. The grading on Tract 13846 currently is only partially
completed for the construction of fifteen (15) lots.
C. The City served a Notice of Default and Calling of Surety
Bonds on Golden Eagle Insurance Company and Great American
Insurance Company on or about December 2, 1992. Pursuant to said
default, Golden Eagle Insurance Company has paid the penal sum of
certain subdivision improvement bonds for grading, landscaping and
on-site improvements and property restoration regarding certain
public and private improvements for Tract 13846 in the sum of
$448,724.00 to the City.
D. Great American Insurance Company has refused at this time
to pay the penal sum of its bond issued to its principal, Charles
J. Lumsdaine Company, Bond No. 7283102, for rough grading on Tract
13846, despite the claim of default and the demand to pay the penal
sum of its bond by the City in the amount of $430,572.
E. CFC as agent for the Owners is desirous of completing all
public improvements in conformance with the previously approved
plans for Tract 13846 and the City is desirous of having CFC
complete the above -referenced improvements.
NOW THEREFORE, for good and valuable consideration and receipt
in sufficiency of which is hereby acknowledged, the Parties agree
as follows:
1. CFC shall designate a civil engineer and geologist of
record and a letter shall be submitted to the City from a licensed
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professional accepting the positions of record within sixty (60)
days of execution of this Agreement.
2. CFC shall provide to the City an "as graded" geological
report by the geologist of record documenting the existing
geological conditions and including any recommendations for
remedial grading and completion of the project within sixty (60)
days of execution of this Agreement.
3. An "as graded" grading plan shall be submitted to the
City by the engineer of record showing the existing graded
condition of the project and any modifications or changes to the
approved grading plan that have occurred or are proposed within
ninety (90) days of execution of this Agreement.
4. The City and CFC shall agree to a phased completion of
all public improvements to be divided in two (2) phases. Phase I
must be completed in conformance with the approved grading plan or
the approved revised grading plan as appropriate. Phase I shall be
defined in the map which is attached hereto marked Exhibit "A" and
incorporated herein by this reference. As part of Exhibit "A" the
City and CFC shall define the scope of work to be developed in
Phase I that shall clearly delineate each specific work item to be
completed and a schedule for the commencement of the work and
completion of the work in Phase I.
5. All public improvements within Phase I must be completed
in conformance with the approved plans or the approved revised
plans including streets, sewers, waterlines, erosion control
measures, surface and subsurface drainage systems, access drives,
retaining walls and landscaping. The area of the project as
defined as Phase I must stand alone and be fully functional for use
and occupancy of potential buyers and developers of the lots.
6. The equestrian trail as delineated in the approved plans
throughout the entire project must be completed within the Phase I
development.
7. The emergency access road to the Hunt Club Estates must
be completed in conformance with the approved plans and must be
maintained in a usable condition throughout the terms of this
Agreement.
8. Adequate surface and sub -surface draining devices must be
installed within all phases to ensure that the project site drains
properly and will not adversely impact adjacent properties. The
engineer of record must provide a drainage and erosion control plan
based on the approved grading plan for Phase I and the "as graded"
condition of the remaining phases. The erosion control plan must
be submitted to the City by September 15, 1993, and the erosion
control devices must be installed in conformance with the approved
plan by October 15, 1993.
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9. The remaining portion of the project defined as Phase II
will be completed at a later date however it must be stabilized and
secure for long term storage or inactivity. The City must approve
erosion control devices which must be installed and erosion control
maintenance program must be in place and approved by the City.
Acceptable erosion control methods must be installed to protect the
project and adjacent properties. The engineer and geologist must
concur with the methods for stabilizing the project and plans must
be submitted and approved that incorporate the recommendations of
the engineer and geologist.
10. Until such time as all required improvements in Phase
I are completed, appropriate deed restrictions shall be placed on
each lot outside of Phase I to prevent separate sale. Nothing
within the deed restrictions shall be intended to preclude bulk
sale of all of Phase II to another entity. The deed restriction
shall provide that the City is a party to the document and that the
City must approve the removal of this restriction.
11. The monies previously received from Golden Eagle
Insurance Company shall be deposited into a bank account in the
name of CFC and the City for use by CFC to pay for the work of
improvements in Phase I and the stabilization of Phase II. CFC and
the City will mutually control said account and any checks drawn on
said account must be signed by both CFC and the City for the
payment of the work of improvements in Phase I and the
stabilization of Phase II. Checks drawn on said account will be
for work inspected and approved by the City. At all times
described in this Agreement, the project shall be the property of
CFC and its successors in interest, and all construction thereof
shall be under the direction and control of CFC; at no time shall
the City be deemed a project partner, developer, or owner for any
purpose. CFC shall defend, hold harmless and indemnify the City
for any and all actions or causes of action arising out of CFC's
ownership and control of the subject property and project.
12. CFC shall be required to deposit into the bank account
funds equal to the City approved estimate to complete Phase I and
stabilize Phase II of the project according to the approved plans,
less the balance of the Surety Bond proceeds and less
reimbursements to the City. The deposits by CFC may be on an
incremental basis, provided they are deposited in a timely fashion
in compliance with the approved schedule for the commencement and
completion of the work of improvements to Phase I and the
stabilization of Phase II. The funds deposited by the City from
the proceeds of the Surety Bonds shall not be spent until the total
deposits by CFC are expended, including all incremental deposits
due from CFC to complete CFC's required deposit of the Phase I
estimate as approved by the City, and the stabilization of Phase
II. Should the cost to complete the project increase due to change
orders or other unforeseen circumstances, the contributions by CFC
shall increase to adequately fund the completion of the project.
3
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In no event shall the City be required to contribute funds beyond
the proceeds of the Surety Bonds.
13. The law firm of Hunt, Ortmann, Blasco, Palffy and Roselle
shall be retained by CFC to represent the City of San Juan
Capistrano to prosecute an action in the Superior Court against
Great American Insurance Company with respect to the grading bond
issued by Great American insurance Company. Any and all costs,
fees, expenses, sanctions, adverse awards of attorney's fees,
judgments, and settlements, related to such action, including but
not limited to attorney's fees incurred by the law firm of Hunt,
Ortmann, Blasco, Palffy and Roselle, or any other law firm employed
for such action, shall be paid by CFC, and it shall be expressly
agreed in any such retainer agreement that the City is not
financially responsible for such fees and costs. All monies
received from either settlement or a judgment against Great
American Insurance Company shall be applied first to reimburse CFC
for the costs, expenses and fees incurred and documented in the
litigation, and second shall be deposited into the project bank
account described herein at Paragraph 11, for the completion of the
work of improvements to Phase I and the stabilization of Phase II;
provided however, that CFC shall be allowed to apply any excess
proceeds therefrom, above the deposits required by Paragraph 12
herein, toward the repayment of loans made by lenders to complete
the work of improvement for Tract 13846. The City hereby
irrevocably assigns to CFC all of the proceeds from a settlement
and/or judgment in the action to be filed against Great American
Insurance Company, to be applied as set forth in this Paragraph 13.
14. CFC shall commence the completion of the improvements for
Tract 13846 for Phase I by no later than June 28, 1993, or two (2)
business days after this contract is approved and executed by the
City, whichever occurs last.
15. CFC shall not be obligated to pay any additional fees,
costs, or expenses to the City with respect to the completion of
the improvements of Tract 13846 in conformance with the currently
approved plans. Notwithstanding the aforementioned, the City will
be reimbursed for all direct costs incurred for such items as
outside plan checking, geotechnical review and similar items of
that nature. Prior to incurring any additional direct costs, the
City shall first submit a proposed budget to CFC with respect to
direct costs for CFC's approval.
16. To the extent it is possible without the necessity of
obtaining new discretionary approvals for the development of the
fifteen (15) lots, the City shall cooperate with CFC in making
slight alterations and/or modifications to the existing plans.
4
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17. All costs incurred by the City for the preparation of
erosion control plans and the installation and maintenance of
erosion control devices shall be reimbursed from the proceeds of
the Surety Bonds.
18. A special fund shall be created and set aside from the
general construction funds to provide for the installation and
maintenance of erosion control systems. These funds shall be in an
amount determined sufficient by the City based on the anticipated
cost to install and maintain the erosion control measures based on
the approved erosion control plan. The City shall have direct and
total control of these funds and may authorize expenditures without
the approval of CFC.
19. In consideration of the terms of this Agreement, CFC
hereby irrevocably agrees to authorize the City to utilize the sum
of the Surety Bond funds, and any proceeds of litigation resulting
from settlement or judgment in the action against Great American
Insurance Company that are required by Paragraph 13 to be deposited
in the project bank account, to restore, regrade, or otherwise
stabilize the project site in the event of default, abandonment, or
other failure to complete the project according to the scope of
work and construction schedule. CFC agrees to promptly release to
the City all such funds in the project bank account for this
purpose. CFC shall hold the City harmless for the exercise of the
provisions of this section and hereby releases and assigns any
rights to the use of the Surety Bond funds and all other bond
proceeds on this project in the event of failure by CFC to perform.
20. Each party has cooperated in the drafting and preparation
of this Agreement. Hence, if any construction is to be made of
this Agreement, the same shall not be construed against any party.
21. This Agreement shall be binding upon the heirs,
administrators, executors, successors and assigns of the respective
parties hereto and any parent, subsidiary, or affiliated entity of
such parties.
22. This Agreement is the entire Agreement between the
Parties with respect to the subject matter hereof and supersedes
all prior and contemporaneous oral and written agreements and
discussions. This Agreement may be amended only by an agreement in
writing.
23. The Parties will execute any and all such further and
additional documents as shall be reasonable, convenient or
necessary or desirable to carry out the terms of this Agreement.
24. In the event it becomes necessary to enforce the terms
and conditions of this Agreement then the prevailing party shall be
entitled to reasonable costs, expenses and attorney's fees in
connection therewith.
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25. This Agreement may be executed in two (2) or more
counterparts, each of which shall be an original, but all of which
shall constitute one (1) in the same instrument.
26. The effective date of this Agreement, consisting of five
(5) pages shall be deemed to be the date upon execution by the
City.
Capital F nancial
�s 99 Consul nts, In
Dated 2! d ..
10
7,7
By:
Its:
Dated: C.1, -OW -19S
o S n Capistrano
/�n Y:
s:
Kendall\Marbella\Completion.Agt.6/18/93
11
COMPLETION AGREEMENT
EXHIBIT A
MARBELLA CREST ESTATES
TRACT 13846
SAN JUAN CAPISTRANO, CALIFORNIA
The following elements are to be included in the Scope of Work as a part of the
Completion Agreement between the City of San Juan Capistrano and Capital Financial
Consultants, Inc. for the completion of improvements within Tract 13846 in the City of
San Juan Capistrano, know as Marbella Crest Estates:
1. All public improvements within Phase I must be completed in conformance with the
approved plans or the approved revised plans including streets, sewers, waterlines,
erosion control measures, surface and subsurface drainage systems, access drives,
retaining walls and landscaping. The area of the project as defined as Phase I must
stand alone and be fully functional for use and occupancy of potential buyers and
developers of the lots.
2. The equestrian trail as delineated in the approved plans throughout the entire
project must be completed within the Phase I development.
3. The emergency access road to the Hunt Club Estates must be completed in
conformance with the approved plans and must be maintained in a usable condition
throughout the terms of this agreement.
4. Adequate surface and sub -surface drainage devices must be installed within all
phases to ensure that the project site drains properly and will not adversely impact
adjacent properties. The engineer of record must provide a drainage and erosion
control plan based on the approved grading plan for Phase I and the "as graded"
condition of the remaining phases. The erosion control plan must be submitted to
the city by September 15, 1993 and the erosion control devices must be installed in
conformance with the approved plan by October 15, 1993.
Page 1 of 3
0
EXHIBIT A
0
GRANITEX CONSTRUCTION CO. INC.
4500 Campus Dr. # 215
Newport Beach, CA 92660
MARBELLA SCHEDULE
1. Surveying & Engineering
2. Cut/Fill
3. Repair Emergency Access Road
4. Underground Utilities
5. Surface Drains (P -I. & P -II)
6. Retaining Walls
7. Curbs & Gutters
8. Paving
9. Street Lighting
10. Equestrian Trail Fencing
11. Landscaping
Page 2 of 3
21
June
- 3 July
1
July -
23 Sept.
19
July
- 2 Aug.
2
Aug. -
25 Oct.
20
Sept.
- 13 Dec.
16
Aug.
- 11 Oct.
25
Oct.
- 6. Dec.
6 Dec. - 27 Jan.
27 Jan. - 27 Feb.
30 Aug. - 22 Nov.
27 Jan.. - 26 Mar.
Exhibi&A
Completion Agreement
Marbella Crest
TR 13846
r�
I CANTABRIA�
Ii0i p
' Phase
Lots
Notes: Phase I development includes
improvements within Phase II lot
area as described in the Completion
Agreement executed by Capital
Financial Consultants and the City
of San Juan Capistrano.
0
0
COMPLETION AGREEMENT
EXHIBIT A
MARBELLA CREST ESTATES
TRACT 13846
SAN JUAN CAPISTRANO, CALIFORNIA
The following elements are to be included in the Scope of Work as a part of the
Completion Agreement between the City of San Juan Capistrano and Capital Financial
Consultants, Inc. for the completion of improvements within Tract 13846 in the City of
San Juan Capistrano, know as Marbella Crest Estates:
1. All public improvements within Phase I must be completed in conformance with the
approved plans or the approved revised plans including streets, sewers, waterlines,
erosion control measures, surface and subsurface drainage systems, access drives,
retaining walls and landscaping. The area of the project as defined as Phase I must
stand alone and be fully functional for use and occupancy of potential buyers and
developers of the lots.
2. The equestrian trail as delineated in the approved plans throughout the entire
project must be completed within the Phase I development.
3. The emergency access road to the Hunt Club Estates must be completed in
conformance with the approved plans and must be maintained in a usable condition
throughout the terms of this agreement.
4. Adequate surface and sub -surface drainage devices must be installed within all
phases to ensure that the project site drains properly and will not adversely impact
adjacent properties. The engineer of record must provide a drainage and erosion
control plan based on the approved grading plan for Phase I and the "as graded"
condition of the remaining phases. The erosion control plan must be submitted to
the city by September 15, 1993 and the erosion control devices must be installed in
conformance with the approved plan by October 15, 1993.
Page 1 of 3
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
0
EXHIBIT A
GRANITEX CONSTRUCTION CO. INC.
4500 Campus Dr. # 215
Newport Beach, CA 92660
rw" *,V1216w.11 &TO],1211P0
Surveying & Engineering
Cut/Fill
Repair Emergency Access Road
Underground Utilities
Surface Drains (P -I. & P -II)
Retaining Walls
Curbs & Gutters
Paving
Street Lighting
Equestrian Trail Fencing
Landscaping
Page 2 of 3
21 June
- 3 July
1 July -
23 Sept.
19 July
- 2 Aug.
2 Aug. -
25 Oct.
20 Sept.
- 13 Dec.
16 Aug.
- 11 Oct.
25 Oct.
- 6. Dec.
6 Dec. - 27 Jan.
27 Jan. - 27 Feb.
30 Aug. - 22 Nov.
27 Jan.. - 26 Mar.
ExhibiA
Completion Agreement
Marbella Crest `
TR 13846
40
Phase I Lots
Phase II Lots
Notes: Phase I development includes
improvements within Phase II lot
area as described in the Completion
Agreement executed by Capital
Financial Consultants and the City
of San Juan Capistrano.
9
July 12, 1993
Jwou �
lo�ro,�m
I�nnnlo 1961
1776
Mr. Douglas McCrea, Executive Vice President
Capital Financial Consultants, Inc.
30448 Rancho Viejo Road, Suite 210
San Juan Capistrano, California 92675
Re: Agreement for Completion of Tract 13846 (Marbellaof 'Tract 13846 (Marbella Crest)
Dear Mr. McCrea:
MEMBERS OF THE CITY COUNCIL
COLLENE CAMPBELL
GARY L. HAUSOORFER
GILJONES
CAROLYN NASH
-EFF VASQUEZ
CITY MANAGER
GEORGESCARBOROUGH
At their meeting of July 6, 1993, the City Council of the City of San Juan Capistrano ratified
their action following Closed Session on June 15, 1993, to approve the Completion
Agreement with your company for Marbella Crest, Tract 13846. A fully -executed copy of
the Agreement is enclosed for your records.
Thank you for your cooperation. If we can be of any further assistance, please call.
Very truly yours,
Cheryl Johnson
City Clerk
Enclosure
cc: Director of Engineering and Building (with copy of agreement)
32400 PASEO ADELANTO, SAN JUAN CAPISTRANO. CALIFORNIA 92675 0 (714) 493-1171
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Mercado de Capistrano was awarded to the lowest responsible bidder, Signal Maintenance, Inc., in the
amount of 514,580. All other bids were rejected. The Mayor and City Clerk were authorized to execute
the contract on behalf of the City.
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As set forth in the Report dated July 6, 1993, from the Director of Community Services, the Agreement
for Carnival Services to provide professional carnival services for the Community Services Department's
annual fall carnival, to be held November 4.8, 1993, was awarded to Carnival Time Shows, Inc. for a
two-year period ending June 30, 1995. All other bids were rejected. The Mayor and City Clerk were
authorized to execute the contract on behalf of the City. The City will receive 20% of the gross ticket
sales and $50 for each game and food booth.
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As set forth in the Report dated July 6, 1993, from the City Clerk, staff was directed to revise
Administrative Policy No. 305 to require that audio tapes of all City Council and Planning Commission
meetings be retained for a period of four years.
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As set forth in the Report dated July 6, 1993, from the Director of Engineering and Building, the
following Resolution was adopted accepting the hiking and equestrian easement within the Creekside
Equestrian Center and approving the Land Use Restriction for the section of perimeter rail along the
most westerly property line between San Juan Creek and San Juan Creek Road.
RESOLUTION NO, 9377-6-1_ ACCEPTANCE OF HIKING/EQL�STRLAN TRntt-
EASEMENTS AND APPROVAL OF LAND USE RESTRICTION.
ARCHITECTURAL CONTROL 88-5 (CREEKSIDE EQUESTRIAN
CENTER/GATES) - A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF SAN JUAN CAPISTRANO, CALIFORNIA, ACCEPTING A
HIKING/EQUESTRIAN TRAIL EASEMENT DEED AND APPROVING A LAND
USE RESTRICTION FOR ARCHITECTURAL CONTROL 88-5 (CREEKSIDE
EQUESTRIAN/GATES)
The Resolution authorized the City Manager to execute the Land Use Agreement and directed the City
Clerk to forward the Deed and the Agreement to the County Recorder.
As set forth in the Report dated July 6, 1993, from the Director of Engineering and Building, the
Completion Agreement between the City and Capital Financial Corporation, which was approved
following the Council's Closed Session on June 6, 1993, was ratified, allowing Capital Financial
Corporation to complete Tract 13846, Marbclla Crest in two phases.
City Council Minutes -3- 7/6/93
AGENDA ITEM July 6, 1993
TO: George Scarborough, City Manager
FROM: William M. Huber, Director of Engineering & Building
SUBJECT: Ratification of Council Action Regarding Completion Agreement -
Tract 13846, Marbella Crest
RECOMMENDATION
It is recommended that City Council ratify its previous action approving the Completion
Agreement between the City and Capital Financial Corporation.
SITUATION
A. Summary and Recommendation
Staff has been working with Capital Financial Corporation in developing an
agreement to allow them to proceed with completion of Tract 13846, Marbella
Crest. The attached agreement addresses the necessary issues of work and financial
surety to complete the project in two phases. Council, at its closed session meeting
of June 6, approved the agreement. Staff is, therefore, recommending Council
ratify this previous approval.
B. Background
Since the assumption of Tract 13846, Marbella Crest, by Capital Financial
Corporation (CFC) this past March, Staff has been working to develop a workable
agreement to permit the new owners to proceed with completion of the project and
provide the City with adequate surety and resources should they fail.
The attached agreement provides for a number of issues, the most significant of
which are the following:
o The City has received $448,000 t in bond proceeds from the previous surety
company. This money will be added to funds from CFC to complete the
work. The fund will be an all cash account with City control over the
disbursement of funds. The City's funds will be spent after CFC's share is
expended.
o The project will be developed in two phases with Phase I being development of
the eight lots off Paseo Elegancia, completion of the equestrian trail and
improvement of Phase II to put it into storage. Phase 11 will be development of
the remaining lots after completion and sale of Phase I.
o The City will deed restrict all lots in Phase II to prevent their sale prior to
completion.
FOR CITY COUNCIL AGEN I ,
AGENDA ITEM •
July 6, 1993
Page 2
o The City will retain a portion of the bond funds to provide erosion control,
should the owners fail to provide it. The City will also reimburse itself for this
past winter erosion control expenses, approximately $40,000.
Staff believes the agreement provides the necessary assurances and controls to allow
CFC to proceed with the project, City Council concurred during its June 6 closed
session meeting. It is, however, necessary to ratify this previous action during the
open Council session.
COMMISSION/BOARD REVIEW RECOMMENDATIONS
None.
FINANCIAL CONSIDERATIONS
All costs for this project are from the owner, CFC and proceeds from the previous
developer's bonds.
PUBLIC NOTIFICATION
Capital Financial Corp.
ALTERNATE ACTIONS
1. Do not approve the agreement.
2. Return to Staff for further information.
3. Approve agreement subject to modifications.
RECOMMENDATION
It is recomnended that City Council ratify its previous action approving the
Completion Agreement between the City and Capital Financial Corporation.
Respectfully
illiaW m M. Huber, P
W MH:ssg
Attachments: Location Map
Completion Agreement
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COMPLETION AGREEMENT
EXHIBIT A
MARBELLA CREST ESTATES
TRACT 13846
SAN JUAN CAPISTRANO, CALIFORNIA
The following elements are to be included in the Scope of Work as a part of the
Completion Agreement between the City of San Juan Capistrano and Capital Financial
Consultants, Inc. for the completion of improvements within Tract 13846 in the City of
San Juan Capistrano, know as Marbella Crest Estates:
1. All public improvements within Phase I must be completed in conformance with the
approved plans or the approved revised plans including streets, sewers, waterlines,
erosion control measures, surface and subsurface drainage systems, access drives,
retaining walls and landscaping. The area of the project as defined as Phase I must
stand alone and be fully functional for use and occupancy of potential buyers and
developers of the lots.
2. The equestrian trail as delineated in the approved plans throughout the entire
project must be completed within the Phase I development.
3. The emergency access road to the Hunt Club Estates must be completed in
conformance with the approved plans and must be maintained in a usable condition
throughout the terms of this agreement.
4. Adequate surface and sub -surface drainage devices must be installed within all
phases to ensure that the project site drains properly and will not adversely impact
adjacent properties. The engineer of record must provide a drainage and erosion
control plan based on the approved grading plan for Phase I and the "as graded"
condition of the remaining phases. The erosion control plan must be submitted to
the city by September 15, 1993 and the erosion control devices must be installed in
conformance with the approved plan by October 15, 1993.
Page 1 of 3
•
EXHIBIT A
GRANITEX CONSTRUCTION CO. INC.
4500 Campus Dr. # 215
Newport Beach, CA 92660
MARBELLA SCHEDULE
1. Surveying & Engineering
2. Cut/Fill
3. Repair Emergency Access Road
4. Underground Utilities
5. Surface Drains (P -I. & P -II)
6. Retaining Walls
7. Curbs & Gutters
8. Paving
9. Street Lighting
10. Equestrian Trail Fencing
11. Landscaping
Page 2 of 3
21 June - 3 July
1 July - 23 Sept.
19 July - 2 Aug.
2 Aug. - 25 Oct.
20 Sept. - 13 Dec.
16 Aug. - 11 Oct.
25 Oct. - 6. Dec.
6
Dec. -
27 Jan.
27
Jan.
- 27 Feb.
30
Aug.
- 22 Nov.
27
Jan..
- 26 Mar.
Exhib' A
Completion greement
Marbella Crest
TR 13846
•
Phase I Lots
Phase II Lots
Notes: Phase I development includes
improvements within Phase II lot
area as described in the Completion
Agreement executed by Capital
Financial Consultants and the City
of San Juan Capistrano.
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per Government Code Section 54956.8 regarding 26832 Ortega Highway (Darnold, et al), the City Clerk being
excused therefrom, and reconvened at 10:00 p.m.
COUNCIL ACTION
1. MARBELLA CREST (420.40)
It was moved by Council Member Campbell, seconded by Council Member Hausdorfer, and
unanimously carried that the Settlement Agreement with Capitol Financial regarding Marbella Crest be
approved in concept. The Mayor was authorized to execute the Agreement on behalf of the City,
subject to the approval by the City Attorney.
ADJOURNMENT
There being no further business before the Council, the meeting was adjourned at 10:00 p.m. to the next regular
meeting date of Tuesday, July 6, 1993, at 7:00 p.m. in the Council Chamber.
Respectfully submitted,
CHERYL JOHNSON, CITY CLERK
ATTEST:
GIL JONES, MAYOR
City Council Minutes -17- 6/15/93