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HomeMy WebLinkAboutOrdinance No. 10-O6ORDINANCE NO. 10-06 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF AZUSA, CALIFORNIA ADOPTING AND APPROVING AN AMENDMENT TO THE STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT BETWEEN THE CITY OF AZUSA, THE AZUSA REDEVELOPMENT AGENCY AND JAR UNIVERSITY COMMONS, LLC, GOVERNING CERTAIN REAL PROPERTY LOCATED AT THE SOUTHWEST CORNER OF ALOSTA AVENUE AND CITRUS AVENUE IN AZUSA CALIFORNIA RELATING TO THE CITRUS CROSSING SHOPPING CENTER WHEREAS, the City of Azusa ("City") and City Redevelopment Agency ("Agency") entered into that certain Statutory Development Agreement and Owner Participation Agreement, dated December 4, 2006 for reference purposes and recorded as Document No. 20070410405 on February 26, 2007 in the Official Records of Los Angeles County, ("Agreement") with JAR - University Commons LLC, a California limited liability company ("JAR") to construct a mixed- use commercial and residential development ("Project") on that certain real property located at Southwest Corner of Alosta Avenue and Citrus Avenue ("Property"); and WHEREAS, Citrus Crossing Properties Fee LLC, a Delaware limited liability company ("Developer") acquired fee title to the Property from JAR on July 26, 2007 by recordation of that certain Grant Deed recorded as Document No. 20071767518 on the Official Records of Los Angeles County and became successor -in -interest to JAR; and WHEREAS, under the Agreement, Developer agreed to pay an Annual Developer Payment associated with Local Sales Tax Revenues in advance of each Sales Tax Year with subsequent annual developer payments to be paid within ninety (90) days after commencement of each Sales Tax Year; and WHEREAS, the parties desire to amend the Agreement to defer the required Annual Developer Payment for a period of three (3) years, by extending the Sales Tax Term of the Agreement, to provide the Developer an opportunity to recruit, and further incentivize, a high quality, national chain restaurant to the Property's remaining undeveloped building pad; and WHEREAS, the parties now desire to amend the Agreement, as more particularly set forth herein, ("Amendment") in accordance with Government Code Sections 65868 and 65867.5 and Azusa Municipal Code Chapter 88.53, which provide that a development agreement may be amended and must be approved by an ordinance. The Amendment is attached hereto and incorporated herein as Exhibit A; and WHEREAS, the development of the Property in accordance with the Agreement and this Amendment will provide substantial benefits to the City and will further important policies and goals of the City by: (i) eliminating uncertainty in planning; (ii) providing for the orderly development of the Property; and (iii) generating local sales tax revenues for the City; and 1 WHEREAS, the Amendment is consistent with the objectives, policies, general land uses and programs specified in the General Plan and Azusa Municipal Code Chapter 88.53; and WHEREAS, on July 14, 2010, the City Planning Commission of the City of Azusa conducted a duly noticed public hearing, recommended approval of the Amendment to the City Council and found the Amendment consistent with Azusa Municipal Code Chapter 88.53 and the City General Plan; and WHEREAS, on September 7, 2010, the City Council of the City of Azusa conducted a duly noticed public hearing concerning the Amendment, at which time all persons wishing to testify in connection with the Amendment were heard and the Amendment was comprehensively reviewed; and WHEREAS, all other legal prerequisites to the adoption of this Ordinance have occurred. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AZUSA, CALIFORNIA, DOES ORDAIN AS FOLLOWS: Section 1. The recitals are true and correct and incorporated herein. Based on the findings contained in this Ordinance, the City Council hereby adopts and approves the Amendment attached hereto and incorporated herein. Section 2. The City Council hereby finds and determines, that it can be seen with certainty that adoption of this Ordinance and Amendment will not have a significant adverse effect on the environment. Thus, the adoption of this Ordinance is exempt from the requirements of the California Environmental Quality Act ("CEQA") pursuant to Sections 15061(b)(3) of the CEQA Guidelines. Staff is directed to file a Notice of Exemption with the Los Angeles County Recorder's Office within five (5) working days of adoption of this Ordinance. Section 3. The location and custodianship of the documents and any other material that constitutes the record of proceedings regarding the adoption of this Ordinance by the City Council is as follows: City Clerk, City of Azusa, 213 E. Foothill Blvd., Azusa, California, phone: (626) 812-5238. Section 4. This Ordinance shall take effect 30 days after its final passage. Section 5. The City Clerk shall attest and certify to the passage and adoption of this Ordinance and cause the publication or posting of this Ordinance in accordance with California Government Code Section 36933. Section 6. The City Clerk shall file a certified copy of the Agreement with the Recorder of the County of Los Angeles, State of California, for recording in the official records of said county, no later than ten (10) days following the effective date of this Ordinance. 2 ADOPTED, SIGNED, AND APPROVED this 1st day of November, 2010, by the following vote: AYES: COUNCILMEMBER: GONZALES, CARRILLO, HANKS, MACIAS, ROCHA NAYS: COUNCILMEMBER: NONE ABSENT: COUNCILMEMBER: NONE ABSTAIN: COUNCILMEMBER: NONE /'x/ ,ej Jdseph Rocha, Mayor ATTEST: Vera Mendoza, City APPROVED AS TO FORM: BEST, BEST & KRIEGER LLP EXHIBIT "A" AMENDMENT rd Recorded at request of: City of Azusa When recorded return to: City of Azusa 213 East Foothill Boulevard Azusa, CA 91702-1395 Attention: City Clerk Space Above for Use by Recorder Only Exempt from Recording Fees Per Gov't Code §27353 FIRST AMENDMENT TO STATUTORY DEVELOPMENT AGREEMENT I_ ul OWNER PARTICIPATION AGREEMENT By and between THE CITY OF AZUSA, A California municipal corporation And THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, A public body, corporate and politic And CITRUS CROSSING PROPERTIES FEE LLC, A Delaware limited liability company, successor -in -interest to JAR — UNIVERSITY COMMONS, LLC A California limited liability company w -A This First Amendment to Statutory Development Agreement and Owner Participation Agreement ("Amendment") is entered into as of October 19, 2010, with respect to that certain Statutory Development Agreement and Owner Participation Agreement dated December 4, 2006 for reference purposes and recorded as Document No. 20070410405 on February 26, 2007 in the Official Records of Los Angeles County ("Agreement"), between the City of Azusa, a California municipal corporation ("City'), the Redevelopment Agency of the City of Azusa, a public body, corporate and politic ("Agency"), and Citrus Crossing Properties Fee LLC, a Delaware limited liability company ("Developer"), successor -in -interest to JAR- University Commons LLC, a California limited liability company ("JAR"). The Agreement concerns the real property described in Exhibit "A" attached hereto ("Shopping Center Property"). City, Agency and Developer may be referred to herein individually as "Party" and collectively as "Parties." RECITALS A. The Parties entered into the Agreement to: (i) establish specific development standards to govern the development of the Project on the Property by the Developer in accordance with California Government Code Section 65864 et seq.; (ii) ensure that the Street Improvements necessary for the development of the Shopping Center Project are completed by the Developer; (iii) provide for the Agency's reimbursement to the Developer of the costs and expenses actually incurred and paid by Developer in connection with the design and construction of the Street Improvements and the fair market value of the property interests underlying the Street Improvements; and (iv) provide for the generation of Local Sales Tax Revenues from the Shopping Center Property. B. CityView Citrus Crossing 102, LP, a Delaware limited partnership ("CityView") acquired fee title to all of the Vacant Property on August 14, 2007 by recordation of that certain Grant Deed recorded as Document No. 20071901831 in the Official Records of Los Angeles County, which transfer constituted a Permitted Transfer pursuant to the Agreement. C. Pursuant to the Agreement, Developer agreed to pay the Annual Developer Payment associated with Local Sales Tax Revenues in advance of each Sales Tax Year with subsequent annual developer payments to be paid within ninety (90) days after commencement of each Sales Tax Year. D. The Parties have been working together to recruit a national restaurant anchor to the Property. The Parties desire to amend the Agreement to defer the required Annual Developer Payment for a period of three (3) years, by extending the Sales Tax Term, to provide the Developer an opportunity to recruit, and further incentivize, a high quality, national chain restaurant to the Property's remaining undeveloped building pad. E. The Parties now desire to amend the Agreement, as more particularly set forth herein, in accordance with Government Code Section 65868. F. The City's Planning Commission held a duly noticed public hearing on July 28, 2010, to consider this Amendment. G. The City Council held a duly noticed public hearing on October 18, 2010, to consider this Amendment at which time the City Council found that the provisions of this Amendment are consistent with the general plan and any applicable specific plan. H. The development of the Project on the Property in accordance with the Agreement and this Amendment will provide substantial benefits to the City and Agency and will further important policies and goals of the City and Agency by: (i) eliminating uncertainty in planning, (ii) providing for the orderly development of the Property, (iii) providing for the development of the Street Improvements needed for the Shopping Center Project in conformance with the Redevelopment Plan and the Implementation Plan; and (iv) generating Local Sales Tax Revenues for the City. THEREFORE, pursuant to the authority contained in the Agreement, in consideration of the mutual promises and covenants contained in this Amendment, and for other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, City, Agency and Developer agree as follows: I. Assignment and Assumption. JAR- University Commons LLC, a California limited liability company (for purposes of this paragraph, "Assignor") does hereby acknowledge and agrees and reaffirms that effective July 25, 2007 ("Assignment and Assumption Date") it did sell, transfer, assign, convey and deliver to Citrus Crossing Properties Fee LLC, a Delaware limited liability company (for purposes of this paragraph, "Assignee") all of Assignor's rights, title and interests, to, in and under the Agreement with respect to the Shopping Center Property. Assignee does hereby acknowledge and agrees and reaffirms that, effective as of the Assignment and Assumption Date, it did assume all of Assignor's rights, title and interests to, in and under the Agreement with respect to the Shopping Center Property as well as all responsibilities, liabilities and obligations under the Agreement with respect to the Shopping Center Property. From and following the Assignment and Assumption Date, the term "Developer" as used in the Agreement with respect to the Shopping Center Property, shall mean Citrus Crossing Properties Fee LLC, a Delaware limited liability company. JAR- University Commons LLC, a California limited liability company, is, and from and after the Assignment and Assumption Date, released from all obligations under the Agreement with respect to the Shopping Center Property (the "Developer Release"). Assignor has, since the Assignment and Assumption Date and shall continue to cooperate with Assignee as reasonably necessary for Assignee to perform its obligations under the Agreement. By its execution of this Amendment, the City and Agency hereby agree that this paragraph satisfies the requirement for an express assumption of the duties and obligations of the Developer, under the Agreement in order for Developer to obtain the Developer Release. By its execution of this Amendment, the City and Agency hereby agree that this constitutes a Permitted Transfer and express assumption of the duties and obligations of the Developer with respect to the Shopping Center Property, under the Agreement. 2. Section 1. 1.3 of the Agreement shall be and is hereby amended to read as follows: ""Annual Developer Payment" shall mean the sum of Forty Thousand Dollars ($40,000) to be paid in advance of each Sales Tax Year, except as otherwise specifically set forth herein and subject to reduction by credit on a Sales Tax Year -to -Sales Tax Year basis as provided in Section 5.1." 3. Section 1.139 of the Agreement shall be deleted in its entirety and of no further force or effect, it being understood and acknowledged that Section 1.1.34 shall be the definition of"Sales Tax Year" for all purposes. 4. Section 1.1.41 of the Agreement shall be and -is hereby amended to read as follows: ""Sales Tax Term" shall mean the twenty three (23) Sales Tax Year period commencing on the first day of the First Sales Tax Year and ending on the last day of the twenty third (23rd) Sales Tax Year thereafter." 5. Section 5.1 of the Agreement shall be and is hereby amended to read as follows: "Annual Developer Pavment. On behalf of itself, its successors and assigns to all or anv part of the Shopping Center Property; the Developer covenants and agrees to pay the Annual Developer Payment in advance of each Sales Tax Year within the Sales Tax Tenn as provided in this Section 5.1, except for the first; second and third Sales Tax Year, and except as otherwise specifically set forth herein." 6. Section 5. 1.1 of the Agreement shall be and is hereby amended to read as follows: "First Annual Developer Payment. The Developer shall tender the first Annual Developer Payment in the amount of Forty Thousand Dollars ($40,000) to the City within ninety (90) says of commencement of the fourth Sales Tax Year. Subsequent Annual Developer Payments shall be paid as provided in Section 5.1.2." 7. Section 5.1.2 of the Agreement shall be and is hereby amended to read as follows: "Subsequent Sales Tax Years. The Annual Developer Payments for subsequent Sales Tax Years shall be determined and paid as provided in this Section 5.1.2. The Annual Developer Payments shall not be paid to the City during the first, second and third Sales Tax Year. Within ninety (90) days after commencement of each Sales Tax Year, the City shall provide the Developer in writing the City's determination of the total Local Sales Tax Revenues for the immediately preceding Sales Tax Year on a tenant -by -tenant basis, together with such supporting documentation as the City may legally be permitted to disclose. If the total Local Sales Tax Revenues for such immediately preceding Sales Tax Year commencing with the third Sales Tax Year exceeded the Minimum Annual Sales Tax Revenues applicable to such Sales Tax Year, the City shall reduce the Annual Developer Payment to be paid for the then -current Sales Tax Year by the amount by which the Local Sales Tax Revenue for the immediately prior Sales Tax Year exceeded the Minimum Annual Sales Tax Revenues applicable to such prior Sales Tax Year. The City shall then make written demand upon the Developer for the amount of the Annual Developer Payment for the then -current Sales Tax Year as it may be reduced by operation of the foregoing sentence. The Developer shall tender the amount so demanded within thirty (30) days. Except as otherwise specifically set forth herein, in no event shall the City be obligated to provide the Developer any other data, information or documentation related to the Local Sales Tax Revenues and all other data, information and documentation related to the Local Sales Tax Revenues shall by kept by the City in strict confidence and in compliance with all local, state and federal laws, rules and regulations. In no event shall the City be obligated to pay the Developer any sum if the Local Sales 'Tax Revenues for a particular Sales Tax Year exceeded the applicable Minimum Annual Sales Tax Revenues for such Sales Tax Year by an amount greater than the Annual Developer Payment; in such case, the Annual Developer payment for the then -current Sales Tax Year shall be reduced to zero but the Developer shall have no further right or claim with respect thereto." 8. All defined terms used in this Amendment shall have the same meanings set forth in the Agreement. Except as specifically modified by this Amendment, the Agreement shall remain in full force and effect. To the extent of any inconsistency between the terns and conditions of this Amendment and the Agreement, the terms and conditions of this Amendment shall control. 9. This Amendment may be executed in any number of identical counterparts, each of which shall be deemed to be an original, and all of which together shall be deemed to be one and the same instrument when each party has signed one such counterpart. 10. The Parties hereby consent to the recordation of the Amendment in the Official Records of Los Angeles County, California, by the City Clerk within ten (10) days of the effective date of the Amendment. [Signature pages follow] IN CITY OF AZUSA By: oseph R. Rocha Mayor By: -& _ Francis M. Delach City Manager ATTEST: /1-2,' i0 Dated Dated City Clerk / Dated APPROVED AS TO FORM: SoniCarvalho City ttorney REDEVELOPMENT AGENCY OF CITY OF AZUSA By: r Ild ✓tel _ Jo eph R. Rocha Chair By: ll, _ Francis M. Delach Executive Director ATTEST: By: Agency Secretary /l, z2 -1-d Dated Dated Dated II .-)S-/1, ,MI A CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT State of California County of 405 f k)QeJe S On P/pj'22 �� 0201d before me, _,4 ee name personally appeared who proved to me on the basis of satisfactory evident to be the person whose na e I are subscribed to the within instrument and owledged to me that t�e she/they executed the same i i er/their authorized capacity(ie , and that by i ter/their signatu� on the instrument the person(,, or the entity upon behalf of which th person(Kacted, executed the instru ent. jj I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and officia eal. CANDACE 70SCANo Commission * 1736880 i Notary Public - Calltornla Los Angeles nty Signature of Notary Public (Notary Seal) COf19T1. Cou12,2011 ADDITIONAL OPTIONAL INFORMATION DESCRIPTION OF THE ATTACHED DOCUMENT (Title or description of attached (Title or description of attached document continued) Number of Pages Document Date (Additional information) CAPACITY CLAIMED BY THE SIGNER ❑ Individual (s) ❑ Corporate Officer (Title) ❑ Panner(s) ❑ Attorney -in -Fact ❑ Trustee(s) ❑ Other 2008Version CAPAvl2.10.07800-873-9865 www.NotaryClasses.com INSTRUCTIONS FOR COMPLETING THIS FORM Any acknowledgment completed in California must contain verbiage exactiv as appears above in the notary section or a separate acknowledgment farm must be properly completed and attached to that document. The only exception is if a document is to be recorded outside of California. In such instances. arty alternative acknowledgment verbiage as may be printed on such a document so long as the verbiage does nal require the notary to do something that is illegal for a notary in California (i.e. certifying the authorized capacity of the signer). Please check the document carefully for proper notarial wording and attach thisform ifrequired • State and County information must be the State and County where the document signer(s) personally appeared before the notary public for acknowledgment. • Date of notarization must be the date that the signers) personally appeared which must also be the same date the acknowledgment is completed. • The notary public must print his or her name as it appears within his or her commission followed by a comma and then your tide (notary public). • Print the name(s) of document signer(s) who personally appear at the time of notarization. • Indicate the correct singular or plural forms by crossing off incorrect forms (i.e. pelshe/they- is /are ) or circling the correct forms. Failure to correctly indicate this information may lead to rejection of document recording. • The notary seal impression must be clear and photographically reproducible. Impression must not cover text or lines. If seal impression smudges, re -seal if a sufficient area permits, otherwise complete a different acknowledgment form. • Signature of the notary public must match the signature on file with the office of the county clerk. Additional information is not required but could help to ensure this acknowledgment is not misused or attached to a different document. Indicate title or type of attached document, number of pages and date. Indicate the capacity claimed by the signer. If the claimed capacity is a corporate officer, indicate the ride (i.e. CEO, CFO,5ecretary). • Securely attach this document to the signed document CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT State of California County of 412S t7NGFL �� S On/0Z0/0 before me, ZLIgdZceC /o56,A/10 (Here insert name and personally appeared J Ds�) P (� K Q (�-�L_ r who proved to me on the basis of satisfactory evidence o be the person( whose nam s re subscribed to the within instrument an owledged to me that 1 g4 to/they executed the same in is er/their authorized capacity(ie�, and t}tat by Is er/their signature) on the instrument the person( , or the entity upon behalf of which the person ) acte , executed the instrum tit. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS m hand and officialIse.CANDACE TOSCANO Commission # 1738880 Notary Public - California &��Z_1 i Loa Angeles County (Notary Sea]) Ccrrm 72,2077 Signature of Notary Public `- ADDITIONAL OPTIONAL INFORMATION DESCRIPTION OF THE ATTACHED DOCUMENT (Title or description of attached document) (Title or description of attached document continued) Number of Pages Document Date (Additional information) CAPACITY CLAIMED BY THE SIGNER ❑ Individual (s) ❑ Corporate Officer (Title) ❑ Parmer(s) ❑ Attomey-in-Fact ❑ 'Trustee(s) ❑ Other 2008 Version CAPA vl2.10.07 800.873-9865 www.NotarvClasses.com INSTRUCTIONS FOR COMPLETING THIS FORM Anv acknowledgment completed in California must contain verbiage exactly as appears above in the notary section or a separate acknowledgment form must be properly completed and attached to that document. The only exception is if a document is to be recorded outside of California. In such instances, any alternative acknowledgment verbiage as may be printed on such a document so long as the verbiage does not require the notary to do something that is illegal for a notary in California (i.e. certifying the authorized capacity of the signer). Please check the document carefullyfor proper notarial wording and catch this form ifrequired • State and County information must be the State and County where the document signer(s) personally appeared before the notary public for acknowledgment. • Date of notarization must be the date that the signer(s) personally appeared which must also be the same date the acknowledgment is completed. • The notary public must print his or her name as it appears within his or her commission followed by a comma and then your title (notary public). • Print the name(s) of document signer(s) who personally appear at the time of notarization. • Indicate the correct singular or plum] forms by crossing off incorrect forms (i.e. he/shehhey— is /are I or circling the correct forms. Failure to correctly indicate this information may lead to rejection of document recording. • The notary seal impression must be clear and photographically reproducible. Impression must not cover text or lines. If seal impression smudges, re -seal if a sufficient area permits, otherwise complete a different acknowledgment form. • Signature of the notary public must match the signature on file with the office of the county clerk. Additional information is not required but could help to ensure this acknowledgment is not misused or attached to a different document. Indicate title or type of attached document, number of pages and date. Indicate the capacity claimed by the signer. If the claimed capacity is a corporate officer, indicate the title (i.e. CEO, CFO, Secretary). • Securely attach this document to the signed document CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT State of California County of , O--) LAJ�L,� S On /02 /c beforeme, (Here insert personally appeared f2/�n/Cl5 /'I%. who proved to me on the basis of satisfactory eviden to be the person( whose namKis are subscribed to the within instrument and knowledged to me th hee%'he/they executed the same in/their authorizeda capacity(ii ),and that by is/her/their signatures) on the instrument the person, or the entity upon behalf of which th0 person(s acted, executed the instrument. 1 certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. CANDACETOSCANO Commission # 1738880 WITNESS my hand and official seal. a Notary Public - California Los Angeles county May12,2011 Signature of Notary Public (Notary Seal) ADDITIONAL OPTIONAL INFORMATION DESCRIPTION OF THE ATTACHED DOCUMENT (Title or description of attached document) (Title or description of attached document continued) Number of Pages Document Date information) CAPACITY CLAIMED BY THE SIGNER ❑ Individual (s) ❑ Corporate Officer (Title) ❑ Partner(s) ❑ Attomey-in-Fact ❑ Trustee(s) ❑ Other 2008 Version CAPA v12.10.07 800-873-9865 www_NmaryClasses.com INSTRUCTIONS FOR COMPLETING THIS FORM Any acknowledgment completed in California must contain verbiage exactly as appears above in the notary section or a separate acknowledgment form must be properly completed and attached to that document The only exception is if a document is to be recorded outside of California. In such instances, any alternative acknowledgment verbiage as may be printed on such a document so long as the verbiage does not require the notary, to do something that is illegal far a notary in California (i.e. certifying the authorized capacity of the signer). Please check the document carefullyfor proper notarial wording and attach this form ifrequired. • State and County information must be the State and County where the document signer(s) personally appeared before the notary public for acknowledgment. • Date of notarization must be the date that the signer(s) personally appeared which must also be the same date the acknowledgment is completed. • The notary public must print his or her name at it appears within his or her commission followed by a comma and then your title (notary public). • Print the name(s) of document signer(s) who personalty appear at the time of notarization. • Indicate the correct singular or pluml forms by crossing off incorrect forms (i.e. ke/shchhey, is /are ) or circling the correct forms. Failure to correctly indicate this information may lead to rejection of document recording. • The notary seal impression must be clear and photographically reproducible. Impression must not cover test or lines. If seat impression smudges, re -seal if a sufficient area permits, otherwise complete a different acknowledgment form. • Signature of notary public must match the signature on file with the office of the county clerk. Additional information is not required but could help to ensure this acknowledgment is not misused or attached to a different document. Indicate title or type of attached document, number of pages and date. Indicate the capacity claimed by the signer. If the claimed capacity is a corporate officer, indicate the title (i e. CEO, CFO, Secretary). • Securely attach this document to the signed document CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT State of California County of b)'5 141-40Z S On Ik'(IM31XZ_ j4 , OI,l before me, f1411? (Here insert name and titlerof the officer) personally appeared 61S w, &1 -ai 6lle_ , t who proved to me on the basis of satisfactory evidenc to be the person(s) whose names/ re subscribed to the within instrument and acknowledged to me thshe/they executed the same in is er/their authorized capacity( and that by is er/their signature on the instrument the person{�or the entity upon behalf of which th person( acted, executed the instrum nt. // I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. --------------- CANDACE TOSCANO WITNESS my hand and official eal.Commission # 1738880 Notary Public - California los Angeles County mm. CaEgYesM 2A11 12, Signature ofNotary Public (Notary Sea ADDITIONAL OPTIONAL INFORMATION DESCRIPTION OF THE ATTACHED DOCUMENT (Title or description of attached document) (Title or description ofanached document continued) Number of Pages Document Date (Additional information) CAPACITY CLAIMED BY THE SIGNER ❑ Individual (s) ❑ Corporate Officer (Title) ❑ Partner(s) ❑ Attomey-in-Fact ❑ Trustee(s) ❑ Other 2008Version CAPAv]2.10.07800-873-9865 w ,.NotarvClasses.com INSTRUCTIONS FOR COMPLETING THIS FORM Any acknowledgment completed in California must contain verbiage exactly as appears above in the notary section or a separate acknowledgment form must be properly completed and attached to that document. The only exception is if a document is to be recorded outside of California. In such instances, any alternative acknowledgment verbiage as may be printed on such a document so long as the verbiage does not require the notary to do something that is illegal for a notary in California (i.e. certifying the authorized capacity of the signer). please check the document carefully for proper notarial wording and attach this form ifrequired. • State and County, information must be the State and County where the document signer(s) personally appeared before the notary public for acknowledgment. • Date of notarization must be the date that the signer(s) personal ly appeared which must also be the same date the acknowledgment is completed. • The notary public must print his or her name as it appears within his or her commission followed by a comma and then your title (notary public). • Print the names) of document signer(s) who personally appear at the time of notarization. • Indicate the correct singular or plural forms by crossing off incorrect forms (i.e. he/she/than is /are ) or circling the correct forms. Failure m correctly indicate this information may, lead to rejection of document recording. • The notary seal impression must be clear and photographically reproducible. Impression must not cover text or lines. If seal impression smudges, re -seal if a sufficient area permits, otherwise complete a different acknowledgment forth. • Signature of the notary public must match the signature on file with the office of the county clerk. Additional information is not required but could help to ensure this acknowledgment is not misused or attached to a different document. Indicate title or type of attached document, number of pages and date. Indicate the capacity claimed by the signer, If the claimed capacity is a corporate officer, indicate the title (i.e. CEO, CFO, Secretary). • Securely attach this document to the signed document APPROVED AS TO FORM: Z. Sonia Carvalho Agency Counsel JAR -UNIVERSITY COMMONS, LLC, California limited liability company By: Its: 4 140F64 APPROVED AS TO FORM: - - - N7.A - - - General Counsel it. (6• to Dated CITRUS CROSSING PROPERTIES FEE LLC. a Delaware limited liability company By: Name: Andrew Trachman Its: Manager APPROVED AS TO FORM: - - - N/A - - - General Counsel Dated MS. CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT State of California County of CS On b l7) Cl before me, personally appeared 1 V IT 0 Q l i TrG C� of the officer) who proved to me on the basis of satisfactory evidence to be the person�sfwhose name(/atesubscribed to the within instrument and acknowledged to me that he/ Bey executed the same in his/lzzrk�ir authorized capacity , and that by histiterit&6ir signature(s)-o-n the instrument the persopks)-, 'or the entity upon behalf of which the persop(9facted, executed the instrument. I certify under PENAT�TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and co j Public ANAIT TRDATIAN COMPIllsolen 11878535 al al. Notary Public . California Loa Angeles County (NNMv CommEa. less Fsb 28, 2014 + ADDITIONAL OPTIONAL INFORMATION DESCRIPTION OF THE ATTACHED DOCUMENT (Title or description of attached document) (Title or description of attached document continued) Number of Pages Document Date (Additional information) CAPACITY CLAIMED BY THE SIGNER ❑ Individual (s) ❑ Corporate Officer ❑ Partner(s) ❑ Attomey-in-Fact ❑ Trustee(s) ❑ Other 2008Vcmion CAPAV12.10.07800-873-9865 www.NomrvClasses.com INSTRUCTIONS FOR COMPLETING THIS FORM Any acknowledgment completed in California must contain verbiage exac b, as appears above in the nary section or a separate acknowledgment form must be properly completed and attached to that document. The only exception is if a document is to be recorded outside of California In such instances, an alternative acknowledgment verbiage as may be printed at, such a document so long as the verbiage does not require the notary to do something that is illegal for a notary in California (i.e. certifying the authorized caleacin, of the signer). Please check the document carefulfy f n, proper notoria! wording and attach this form if required. • State and County information must be the State and County where the document signers) personally appeared before the notary public for acknowledgment. • Date of notarization must be the date that the signer(s) personally appeared which must also be the same date the acknowledgment is completed. • The notary public must print his or her name as it appears within his or her commission followed by a comma and then your title (notary public). • Print the name(s) of document signer(s) who personally appear al the time of notarization. • indicate the correct singular or plural forms by crossing off incorrect forms (i.c. Wshehheyr is /ere ) or circling the correct forms. Failure to correctly indicate this information may lead to rejection ofdocument recording. • The notary seal impression must be clear and photographically reproducible. Impression must not cover text or lines. If seal impression smudges, re -seal if a sufficient area permits, otherwise complete a different acknowledgment form. • Signature of the notary public must match the signature on file with the office of the county clerk. Additional information is not required but could help to ensure this acknowledgment is not misused or attached to a different document. Indicate title or type of attached document, number of pages and date. Indicate the capacity claimed by the signer. If the claimed capacity is a corporate officer, indicate the title (i.e. CEO, CFO, Secretary). • Securely attach this document to the signed document CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT State of California County of On i (o p CJ/ l] before me, �f personally appeared e (Here insert name I who proved to me on the basis of satisfactory evidence to be the personhose nam is/pre-<6scribed to the within instrument and acknowledged to me that he/blre�ey executed the same in his/herauthorized capacity nd that by his etr signatur_ (<on the instrument the perso48); or the entity upon behalf of which the person, <acted, executed the instrument. Icertify and NALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true d correct. ANAIT TRDATIAN COM111810n • 1878535 ITNESS nd nd fficia cal. Notary PubOe - California toe Anpeleg County LWW4Comm. Ea fib 26, 201 4 (Notary Seal) ADDITIONAL OPTIONAL INFORMATION DESCRIPTION OF THE ATTACHED DOCUMENT (Title or description of attached document) (Title or description of attached document continued) Number of Pages _ Document Date (Additional information) CAPACITY CLAIMED BY THE SIGNER ❑ Individual (s) ❑ Corporate Officer (Title) ❑ Parmer(s) ❑ Attomey-in-Fact ❑ Trustee(s) ❑ Other 2008 Version CAPA v12.10.07 800-873-9865 www.NotaryClasses.com INSTRUCTIONS FOR COMPLETING THIS FORM Any acknowledgment completed in California must contain verbiage exactfv as appears above in the notary section a, a separate acknowledgment form most be properfv completed and attached to that document The only esceplimr is if a document is to be recorded outside of California. In such instances, any ahernarive acknowledgment verbiage as may be to on such a document so long as fire verbiage does not require the notary to do something that is illegal far a notary in California (i.e. certifying the authorized capacity of the signer). Please check the document carefully for proper notarial wording and attach this./or, if required. • State and County information must be the State and County where the document signers) personally appeared before the notary public for acknowledgment. • Date of notarization must be the date that the signer(s) personally appeared which must also be the same date the acknowledgment is completed. • The notary public must print his or her name as it appears within his or her commission followed by a comma and then your title (notary public). • Print the name(s) of document signer(s) who personally appear at the time of notarization. • Indicate the correct singular or plural forms by crossing off incorrect forms 6.e. helshOgwy, is /are ) or circling the correct forms. Failure to correctly indicate this information may lead to rejection of document recording. • The notary seal impression must be clear and photographically reproducible. Impression must not cover text or lines. If seal impression smudges, re -seal if a sufficient area permits, otherwise complete a different acknowledgment form. • Signature of the notary public must match the signature on file with the office of the county clerk. Additional information is not required but could help to ensure this acknowledgment is not misused or attached to a different document. Indicate title or type of attached document, number of pages and dale. Indicate the capacity claimed by the signer. if the claimed capacity is a corporate officer, indicate the title (i.e. CEO, CFO, Secretary). • Securely attach this document to the signed document EXHIBIT "A" Shopping Center Property That certain real property situated in the City of Azusa, County of Los Angeles, State of California, described as follows: Lots 1 through 11, inclusive, of Tract No. 68355, in the City of Azusa, County of Los Angeles, State of California, as per map recorded in Book I354, Pages 37 through 41, inclusive, of Maps, in the Office of the County Recorder of said County. 0RANGLESKLEINBERG\69331.3 MW RECORDING REQUESTED BY WHEN RECORDED MAIL TO NAME Vera Mendoza City Cleric City of Azusa ADDRESS 213 E. Foothill Blvd. ¢Tr, STATE Azusa, CA IIP CODE 91702 02/26/07 90405 Has not been compared with original. Original will be returned when processing has been cowlated. SPACE ABOVE THIS LINE RESERVED FOR RECORDER'S USE TITLE(S) STATUTORY DEVELOPMENT AGREEMENT. AND OWNER PARTICIPATION AGREEMENT: among the City of Azusa and The Redevelopment Agency of the City of Azusa and Jar -University Commons, LLC, dated December 4, 2006. .... k.Sri, "w7ieh°r�dtU@tlretthn to• .... • . • . •...., 213 Eash)�10,$4W til Azu 5 ye 5s,, 34 2£; k3� 5av'FC Space Above for Use by Recorder Only Exempt from Recording Fees Per Gov't Code §27383 STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT by and among THE CITY OF AZUSA a California municipal corporation and THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA a public body, corporate and politic and JAR - UNIVERSITY COMMONS, LLC a California limited liability company [Dated as of December 4, 2006 for reference purposes only] R I P UB I K VAN&RV 16287.11 STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT This Statutory Development Agreement and Owner ParticipationAgreement reement ("AgreemmfD is entered into as of this 4" day of December, 2006 by and among (i) the City of Azusa, a California municipal corporation ("City's, (u7 the Redevelopment Agency ofthe Cityof Azasa, a public body, corporate and politic ("Agency'), and (iii) JAR- University Commons, LLC, a California limited liabilitycompany ("Developer") with reference to the following recited facts (each, a "Recital'): RECITALS A. The city council of the City ("City Council") approved and adopted the redevelopment plan ("Redevelopment Plan") for the redevelopment project area known as the "Merged Central Business District Redevelopment Project Area" ("Project Area"). B. The governing board of the Agency ("Governing Board") has adopted an implementation plan ("Implementation Plan") for the Redevelopment Plan and is engaged in activities necessary to execute and implement the Redevelopment Plan pursuant to California Community Redevelopment Law (Health and Safety Code Section 33000 of sea.) ("CRL"). C. The Developer owns certain real property within the Project Area that is vacant ("Vacant Property") as more particularly described in Exhibit "A-1" and shown on Exhibit "B-1" attached to this Agreement and incorporated into this Agreement by this reference. The Developer anticipates developing the Vacant Property as a residential project ("Residential Project"). D. The Developer also owns certain real property located within the Project Area adjacent to the Vacant Property that is improved with a shopping center facility commonly known as the "Foothill Shopping Center" ("Shopping Center Property) as more particularly described in Exhibit "A-2" and shown on Exhibit "B-2" attached to this Agreement and incorporated into this Agreement by this reference. The Developer has agreed to rehabilitate the Shopping Center Property ("Shopping Center Project') consistent with the development plan ("Development Plan") attached to this Agreement as Exhibit "C-1" and incorporated into this Agreement by this reference. E. The Vacant Property and the Shopping Center Property are collectively referred to in this Agreement as the "Property" The Residential Project and the Shopping Center Project are collectively referred to in this Agreement as the "Project." F. As one of the regulatory conditions of approval for entitlements related to the Shopping Center Project, the City has required or will require the Developer to construct and dedicate to the City a public road and certain other related street improvements (collectively, "Street Improvements'l. The Street Improvements are described in Exhibit "D-1" and shown on Exhibit "D-2" attached to this Agreement and incorporated into this Agreement by this reference. R fP URWVARNER 1716287.11 G. With the City Council's consent, the Agency is authorized under CRL Sections 33421.1 and 33445 to pay all or part of the cost of constructing the Street Improvements. H. In accordance with CRL Sections 33421.1 and 33445, the Agency desires to reimburse the Developer the sum of the: (i) the third party costs and expenses actually incurred and paid by the Developer in correction with the design and construction of the Street Improvements; and (ii) the fair market value of the property interests underlying the Street Improvements, (i) and (ii) not to exceed One Million Five Hundred Thousand Dollars ($1,500,000) in the aggregate. L The intent of the City, the Agency and the Developer in entering into this Agreement is to: (i) establish specific development standards to govern the development of the Project on the Property by the Developer in accordance with Califomia Government Code Section 65864, et SN.; (ii) ensure that the Street Improvements necessary for the development of the Shopping Center Project are completed bythe Developer, (iii) provide for the Agency's reimbursement to the Developer of the costs and expenses actually incurred and paid by Developer in connection with the design and construction of the Street Improvements and the fair market value of the property interests underlying the Street Improvements pursuant to the limitations and conditions of this Agreement; and (iv) provide for the generation of Local Sales Tax Revenues (as defined below) from the Shopping Center Property, subject to the terms, conditions, covenants and restrictions set forth m this Agreement J. The development of the Project on the Property in accordance with this Agreement will provide substantial benefits to the City and the Agency and will further important policies and goals ofthe City and the Agency by. (i) eliminating uncertainty in planning; (ii) providing for the orderly development of the Property, (iii) providing for the development of the Street Improvements needed for the Shopping Center Project in conformance with the Redevelopment Plan and the Implementation Plan; and (iv) generating Local Sales Tax Revenues for the City. NOW, THEREFORE, IN VIEW OF THE GOALS AND OBJECTIVES OF THE CITY, THE AGENCY AND THE DEVELOPER SET FORTH IN THIS AGREEMENT, THE CITY, THE AGENCY AND THE DEVELOPER AGREE, AS FOLLOWS: ARTICLE I DEFINITIONS 1.1 Definitions. Unless the context otherwise requires, the terms defined in this Section I.1 shall, for all purposes of this Agreement, and of any opinion or report or other document mentioned in this Agreement, have the meanings defined in this Section 1.1. The following definitions are equally applicable to both the singular and plural forms of any of the terms defined in this Section 1.1. 1.1.1 "Agency" shall mean the RedevelopmentAgency of the City ofAzusa, apublic body, corporate and politic, and shall include anynominee, assignee or successor to the Agency's rights, powers and responsibilities. 1.1.2 "Agreement" shall mean this Statutory Development Agreement and Owner Participation Agreement RVPU8WVARNW716187.11 ,r � 1.1.3 "Annual Developer Payment" shall mean the sum of Forty Thousand Dollars (540,000) to be paid in advance of each Sales Tax Year, subject to reduction by credit on a Sales Tax Year-to.- Sales ear-to-Sales Tax Year basis as provided in Section 5.1. 1.1.4 "Approved Street Improvements Cost Estimate" shall mean an estimated statement of the Street Improvements Costs setting forth specific amounts for components of the Street Improvements that has been approved by the Agency and Developer in accordance with the provisions of Section 42.1. 1.1.5 "City" shall mean the City of Azusa, a California municipal corporation, and shall include any nominee, assignee or successor to the City's rights, powers and responsibilities. L L6 "City Council" shall mean the duly elected city council of the City. 1.1.7 "Complete" or "Completion" shall have the meaning set forth in Section 52. 1.1.8 "Core Buildings" shall have the meaning set forth in Section 4.1.1. 1.1.9 "CPI Adjustment Date" shall mean the first anniversary of the first day of the First Sales Tax Year, and each anniversary date thereafter during the Sales Tax Term. 1.1.10 "Developer" shall mean JAR - University Commons, LLC, a California limited liability company and any permitted nominee, assignee or successor to Developer's rights, powers, obligations and responsibilities under this Agreement 1.1.11 "Development Approvals" shall mean all permits and other entitlements for use subj ect to approval or issuance by the City in connection with development of the Property including, but not limited to: (i) specific plans and specific plan amendments; (ii) tentative and final subdivision and parcel maps; (iii) conditional use permits, public use permits and plot plans; (iv) zoning, and (v) grading and building permits. 1.1.12 "Development Exaction" shall mean anyruqurrement of the City in connection with or pursuant to any Land Use Regulations or Development Approvals for the dedication of land, the construction of improvements or public facilities, or the payment of fees in order to lessen, offset, mitigate or compensate for the impacts of development on the environment, public facilities, or otherpublic interests. Without limiting the exclusivity of the foregoing, the term "Development Exactions" excludes fees charged by the City in connection with the issuance of building permits. 1.1.13 "Development Plan" shall mean the plan for development of the Project on the Property as set forth in Exhibit "C-1". 1.1.14 "Dispute Notice" shall have the meaning set forth in Section 9.19. 1.1.15 "Effective Date" shall mean the first date on which all of the following are true: (i) this Agreement has been approved by the City Council following all legally required notices and hearings; (ii) this Agreement has been approved by the Agency Governing Board following all legally required notices and bearings; (iii) this Agreement has been executed by the appropriate authorities of the City, Agency and the Developer, (iv) the City ordinance approving and authorizing this Agreement becomes effective; and (v) the Residential Project Covenants Conditions and Restrictions are recorded against the Vacant Property in a RYP UBV CURNER I n 6287. 11 priority position senior to all other non -statutory liens and encumbrances against the Vacant Property and the Developer has provided documentation evidencing that fact reasonably acceptable to the City. 1.1.16 "Enforced Delays" shall have the meaning set forth in Section 9.10. 1.1.17 "Event of Default" shall have the meaning set forth in Section 6.1. 1.1.18 "Exhibits" shall mean the following documents that are attached to, and by this reference made a part of, this Agreement: Exhibit "A-1" Legal Description of the Vacant Property. Exhibit "A-2" Legal Description of the Shopping Center Property. Exhibit `13-l" Map of the Vacant Property. Exhibit "B-2" Map of the Shopping Center Property. Exhibit "C-1" Development Plan for Project Exhibit 11C-2" Master Phasing Plan Exhibit "D -l" Description of Street Improvements Exhibit "D-2" Map Depicting the Location of Street Improvements Exhibit "E" Covenants, Conditions and Restrictions Related to the Residential Project Exhibit "F-1" Prohibited Land Uses Exhibit "F-2" Restricted Land Uses 1.1.19 "First Sales Tax Year" shall mean the Sales Tax Year commencing immediately following the earlier of (1) the second (2°a) anniversary of the Shopping Center Project Commencement Date, or (2) the third (3"`) anniversary of the Effective Date. 1.1 20 "Generator" shall mean any and all persons, entities or businesses generating Local Sales Tax Revenues at the Shopping Center Property in any Sales Tac Year during the Sales Tax Term. 1.1.21 "Goods" shall mean any and all tangible personal property offered for sale or lease at the Shopping Center Property that is subject to the Sales Tax Law during the Sales Tax Term 1. 1.22 "Governing Board" shall mean the governing board of the Agency. 1.1.23 `Land Use Regulations" shall mean all ordinances, resolutions, codes, rules, regulations and official policies of the City governing the development and use of land, including, without limitation, the permitted use of land, the density or intensity of use, subdivision requirements, the maximum height and size ofpmposed buildings, the provisions for reservation or dedication of land for public purposes, and the design, improvement and construction standards and specifications applicable to the development of the Property. The term "Land Use Regulations" does not include any City ordinance, resolution, code, rule, regulation or official policy, governing. (i) the conduct ofbusinesses, professions, and occupations; (ii) taxes (special or general) and assessments; (iii) the control and abatement of nuisances; (iv) the granting of encroachment permits and the conveyance of rights and interests that provide for the use of or the entry upon public property; or (v) the exercise of the power of eminent domain. 1.1.24 `Local Sales Tac Revenues" means that portion of the Sales Tax, if any, originating RiPUBIKVARNER1716287.11 El from Taxable Sales of Goods consummated by a Generator on the Shopping Center Property which is allocated and paid to City pursuant to the Sales Tax Law. Local Sales Tax Revenues shall not include: (i) Penalty Assessments, (ii) any Sales Tax levied by, collected for or allocated to the State of California, the County of Los Angeles, or a district or any entity (including an allocation to a statewide or countywide pool) other than City, (iii) any administrative fee charged by the SBE, (iv) any Sales Tax subject to any sharing, rebate, offset or other charge imposed pursuant to any applicable provision of federal, state or local (except City's) law, rule or regulation, (v) any Sales Tax attributable to any transaction not consummated within the Sales Tax Term, or (vi) any Sales Tax (or other funds measured by Sales Tax) required by the State of California to be paid over to another public entity (including the State) or set aside andlor pledged to a specific use other than for deposit into or payment from the City's general fund. 1.1.25 "Master Phasing Plan" shall mean the conceptual phasing plan for the future development of the Property in which the final phase meets the Urban Form goals and policies of the General Plan as set forth in Exhibit "C-2". 1.1.26 "Ivfinimum Annual Local Sales Tax Revenue" shall mean Three Hundred Ninety Two Thousand Dollars ($392,000) for the First Sales Tax Yew. On each CPI Adjustment Date, the Minimum Annual Sales Tax Revenues for the then -current Sales Tax Year shall be determined by increasing the Minimum Annual Local Sales Tax Revenue in effect for the immediately preceding Sales Tax Year by the lesser of (i) four percent (4%) of the amount of the Minimum Local Sales Tax Revenue which is applicable in the immediately preceding Sales Tax Year, or (ii) the percentage of increase, if any, shown by the Consumer Price Index for All Urban Consumers (CPI U) (Los Angeles -Anaheim -Riverside) (base years 1982-1984 = 100) (Index), published by the United States Department of Labor, Bureau of Labor Statistics, for the month immediately preceding the CPI Adjustment Date. 1.1.27 "Penalty Assessments" shall mean penalties, assessments, collection costs and other costs, fees or charges resulting from late or underpaid payments of Sales Tax and that are levied, assessed or otherwise collected from Developer. 1.1.28 "Permitted Transfer" means and refers to any ofthe following types of Transfers: (i) any Transfer to a person or entity reasonably approved by the City which expressly assumes the obligations of the Developer under this Agreement in a written instrument satisfactory to the Agency, (ii) any Transfer ofthe Vacant Property or the Residential Project or any part thereof and (iii) any Transfer of stock or equity of the Developer that does not change management or operational control of the Shopping Center Property or the Shopping Center Project; and (iii) any Transfer of any interest in the Developer irrespective of the percentage of ownership to either: (a) any other owner of any interest in the Developer, (b) any affiliate of or other entity related to the Developer, or (c) to any other entity in which any holder of an interest.(including any beneficial interest) in the Developer is a manager or in which any of the aforementioned is a shareholder or member of the Developer. 1.I29 "Project" shall collectively mean the Shopping Center Project and the Residential Project 1.1.30 "Property" shall collectively mean the Shopping Center Property and the Vacant Property. 1.1.31 "Reservation of Rights" shall mean the rights and authority excepted from the assurances and rights provided to the Developer under this Agreement and reserved to the City under Section RVPURWVARNER1716287.11 3.3 of this Agreement 1.1.32 "Residential Project" shall mean the residential project to be constructed on the Vacant Property consistent with the Development Plan. 1.1.33 "Resolution Period" shall have the meaning set forth in Section 9.19 1. 1.34 "Sales Tax Year" shall mean a period of twelve (12) consecutive calendar months commencing on the fust day of a calendar quarter (i.e. January 1, April 1, July 1, or October 1, as applicable) and ending on the last day of the immediately following fourth (4) calendar quartet (i.e. March 31, June 30, September 30, or December 31, as applicable). 1.1.35 "Shopping Center Project Commencement Date" shall have the meaning set forth in Section 4.1.1. 1.1.36 "Shopping Center Project" shall mean the rehabilitation of the building and facilities located on the Shopping Center Property consistent with the Development Plan. 1.1.37 "Shopping Center Property" shall mean the real property described inExhibit"A-2" and shown on Exhibit `B-2" attached to this Agreement 1.1.38 "Sales Tax" shall mean all sales and use taxes levied under the authority of the Sales Tax Law attributable to Taxable Sales occurring upon the Shopping Center Property, excluding Sales Tax that is to be refunded to Generator because of an overpayment of Sales Tax. 1. 1.39 "Sales Tax Year" shall mean the First Sales Tax Year and each of the immediately subsequent nineteen (19) Sales Tax Years. There shall be a total of twenty (20) Sales Tax Years during the Sales Tax Term, including the First Sales Tax Year. 1.1.40 "Sales Tax Law" shall mean (i) California Revenue and Taxation Code Section 6001 gt seg., and any successor law thereto, (ii) any legislation allowing another public agency or entity with jurisdiction in the City to levy any form of Sales Tax on the operations of Developer, any Generator, the Shopping Center Project and/or the Shopping Center Property, and (iii) regulations of the SBE and other binding rulings and interpretations relating to (i) and (ii), above. 1.1.41 "Sales Tax Term" shall mean the twenty (20) Sales Tax Year period commencing on the fast day of the First Sales Tax Year and ending on the last day of the twentieth (20') Sales Tax Year thereafter. 13.42 .42 "SBE" means the California State Board of Equalization and any successor agency. 1.1.43 "Street Improvements" shall mean the public road, utilities and related public improvements that bisect the Shopping Center Property and are imposed bythe City upon the Shopping Center Project as a condition of the City's regulatory approval of the Shopping Center Project and which are to be designed and constructed by the Developer and dedicated to the City in accordance with the City s standard plans for public works construction concerning the same, as more particularly described in Exhibit "D-1" and shown on Exhibit "D-2" attached to this Agreement The Street Improvements shall comply with City UPUBIKPARNEW16287.I1 Standard R-1, except as maybe modified and approved by the City Engineer in his or her reasonable discretion to ensure acceptable access. 1.1.44 "Street Improvements Costs" shall mean the stun of (i) those third patty hard and soft costs and expenses actually incurred and paid by the Developer in connection with the design and construction of the Street Improvements (which shall include, but not be limited to, architectural, engineering, project management, legal, construction and permit and inspection costs); and (ii) an amount equal to One Million Three Hundred Thousand Dollars ($1,300,000) representing the fair market value of the publicly -owned property interests underlying the Street Improvements. 1.1.45 "Street Improvements Reimbursement" shall mean the lesser of (i) the total of the Street Improvements Costs, or (ii) One Million Five Hundred Thousand Dollars ($1,500,000). 1.1.46 `Street Improvements Reimbursement Request" shall have the meaning set for in Section 42.3. 1.1.47 "Taicable Sales" shall mean all sales and leases of Goods by a Generator at the Sbopping Center Property that are: (i) subject to thepayment of Sales Tax pursuant to the Sales Tax Law and (ii) for which the "point of sale" reported to the SBE is the City.. 1.1.48. "Term" shall mean the period of this Agreement commencing on the Effective Date and ending on the last day of the Sales Tax Term. 1.1.49 "Transfer" shall mean any of the following: (i) any total or partial sale, assignment, conveyance, trust, power, or transfer in any other mode or form, by the Developer of more than forty nine percent (49%) interest (or a series of such sales, assignments or the like that, in the aggregate, result in a disposition of more than a forty-nine percent (49"/0) interest) in this Agreement, the Shopping CenterProperty, the Shopping Center Project or any part thereof; or (ii) any total or partial sale, assignment, conveyance, or transfer in any other mode or form, of or with respect to any interest in the Developer (or a series of such sales, assignments or the like that, in the aggregate, result in a disposition of more than a 49% interest); or (iii) any merger, consolidation, sale or lease of all or substantially all of the assets of the Developer (or a series of such sales, assignments or the like that, in the aggregate, result in a disposition of more than a forty nine (49%) interest). The term "Transfer" shall not include any total orpartial sale, assignment, conveyance, trust, power, or transfer in any other mode or form, by the Developer of the Vacant Property, the Residential Projector any part thereof. 1.1.50 "Vacant Property" shall mean the real property described in Exhibit "A-1" and shown on Exhibit "13-1" attached to this Agreement. RiPUBLMRNER171628711 ARTICLE H REPRESENTATIONS AND WARRANTIES; RESTRICTION ON TRANSFER; NOTICES 2.1 Representations and Warranties. 2.1.1 City Representations and Warranties. All representations and warranties contained in this Section 2. 1.1 shall be true and correct as of the Effective Date and the City's liability for misrepresentation or breach of warranty, representation or covenant, wherever contained in this Agreement, shall survive the execution and delivery of this Agreement. The City berebymakes the following representations and warranties and acknowledges that the execution of this Agreement by the Agency and the Developer has been made in material reliance by the Agency and the Developer on such representations and warranties: 2.1.1.1 The City is a California municipal corporation. The City has the legal power, :fight and authority to enter into this Agreement and to execute the instruments and documents referenced in this Agreement and to consummate the transactions contemplated in this Agreement. 2.1.1.2 The City acknowledges and agrees that the Agency's obligations with respect to this Agreement are limited to those obligations set forth in Article IV of this Agreement pertaining to the Street Improvements Reimbursement All representations and warranties made by the City hereunder shall be limited to the actual current knowledge of F. M. Delach (City Manager) as of the Effective Date, without independent investigation and without any duty to do so. 2.1.2 AgencyRemesentations and Warranties. All representations and warranties contained in this Section 2.11 shall be true and correct as of the Effective Date and the Agency's liability for misrepresentation or breach of warranty, representation or covenant, wherever contained in this Agreement, shall survive the execution and delivery of this Agreement. The Agency hereby makes the following representations and warranties and acknowledges that the execution of this Agreement by the City and the Developer has been made in material reliance by the City and the Developer on such representations and warranties: 2.1.2.1 The Agency is a public body, corporate and politic. The Agency has the legal power, right and authority to enter into this Agreement and to execute the instruments and documents referenced in this Agreement and to cousimintate the transactions contemplated in this Agreement 2:1.2.2 The Agency acknowledges and agrees that the Agency's obligations with respect to this Agreement are limited to those obligations set forth in Article IV ofthis Agreement pertaining to the Street Improvements Reimbursement. All representations and warranties made by the Agency hereunder shall be limited to the actual current. knowledge of F. M. Delach (Executive Director) as of the Effective Date, without independent investigation and without any duty to do so. 2.1.3 Developer's Representations and Warranties. All representations and warranties contained in this Section 2.1.3 shall be true and correct as of the Effective Date and the Developer's liability for misrepresentation or breach of warranty, representation or covenant, wherever contained in this Agreement, RMBIUAMER71628711 shall survive the execution and delivery of this Agreement. The Developer hereby makes the following representations, covenants and warranties to the City and the Agency acknowledges that the execution of this Agreement by the City and the Agency has been made in material reliance by the City and the Agency on such covenants, representations and warranties of the Developer. 2.1.3.1 The Developer is a California limited liability company lawfully authorized to do business in the State of California by and in good standing with the California Secretary of State. The Developer has the legal right, power and authority to enter into this Agreement and the instruments and documents referenced m this Agreement and to consummate the transactions contemplated m this Agreement. The persons executing this Agreement and the instruments referenced in this Agreement on behalf of the Developer represent and wan -ant that they have the power, right and authority to bind the Developer to this Agreement. 2.1.3.2 Prior to commencing any work of development on the Shopping Center Project, the Developer will have taken all requisite action and obtained all requisite consents in connection with entering into this Agreement and the instruments and documents referenced in this Agreement and the consummation of the transactions contemplated m this Agreement, and no consent of any other person is required for the Developer's authorization to enter into this Agreement 2.1.33 The execution of this Agreement shall not result in a breach of or constitute a default under any other agreement, document, mstnmment or other obligation to which the Developer is a parry or by which the Developer maybe bound, or under law, statute, ordinance, rule, governmental regulation or any writ, injunction, order or decree of any court or governmental body applicable to the Developer. 2.1.3.4 This Agreement is, and all agreements, instruments and documents to be executed by the Developer pursuant to this Agreement shall be duly executed by and shall be valid and legally binding upon the Developer and enforceable against the Developer in accordance with their respective terms. All representations and warranties made by the Developer bereunder shall be limited to the actual current knowledge of John R Francis as of the Effective Date, without independent investigation and without any duty to do so. 22 Restrictions on Change in Management or Control of the Developer and Assignment or Transfer. 2.2.1 The Developer acknowledges that the qualifications and identity ofthe Developer are of particular importance to the City and the Agency. The Developer further recognizes and acknowledges that the City and the Agency have and are relying on the specific qualifications and identity of the Developer in entering into this Agreement with the Developer and, as a consequence, Transfers are permitted only as expressly provided in this Agreement. 22.2 Except in the event of a Permitted Transfer, the Developer shall promptly notify the City and the Agency in writing of any and all changes whatsoever in the identity of the business entities or individuals either comprising or in control of the Developer, as well as any and all changes in the interest or the degree of control of the Developer by any such entities or individuals, of which information the Developer or any of its partners, members or officers have been notified or may otherwise have knowledge or information. RiPUB4S'MMER1716287.11 2.2.3 This Agreement may be terminated by the City and the Agency if there is any Transfer, whether voluntary or involuntary, in membership, ownership, management or control of the Developer (other than such changes occasioned by the death or incapacity of any individual) that has not been approved in writing by the City and the Agency prior to the time of such Transfer, or the City and the Agency may seek other appropriate relief; provided, however, that (i) the City and the Agency shall first notify the Developer in writing of its intention to terminate this Agreement or to exercise any other remedy, and (ii) the Developer shall have twenty (20) days following its receipt of such written notice to cure the default of the Developer and submit evidence of the initiation and satisfactory completion of such cure to the City and the Agency, in a form and substance reasonably satisfactory to the City and the Agency. 2.2.4 The City and the Agency may, in their reasonable discretion, approve in writing any Transfer requested by the Developer, provided the proposed transferee satisfactorily demonstrates successful experience in the development, ownership, operation, and management of Shopping Center developments of similar size and quality as the Shopping Center Protect and expressly assumes all of the obligations of the Developer under this Agreement, including the Developers obligations set forth in Article V regarding Local Sales Tax Revenues. All instruments and other legal documents proposed to carry out any Transfer shall be submitted to the City and the Agency for review, prior to the Transfer, and the written approval or disapproval of the City and the Agency shall be provided to the Developer within twenty (20) days of the City's and the Agency's receipt of the Developer's request. 2.2.5 The prohibitions on Transfer shall expire and be of no force or effect upon Completion of the Shopping Center Project and the dedication of the Street Improvements to the City. 2.3 Notices. 2.3.1 As used in this Agreement, the term "notice" includes, but is not limited to, the communication of notice, request, demand, approval, statement, report, acceptance, consent, waiver, appointment or other communication required or permitted hereunder. 23.2 All notices shall be in writing and shall be considered given either. (i) when delivered in person to the recipient named below; or (ii) on the date of delivery shown on the return receipt, after deposit in the United States mail in a sealed envelope as either registered or certified mail with return receipt requested, and postage and postal charges prepaid, and addressed to the recipient named below; or (iii) on the date of delivery shown in the records of a national postal service (ie, the United Postal Service or Federal Express) after delivery to the recipient named below. All notices shall be addressed as follows: If to the City. City of Azusa 213 East Foothill Boulevard Azusa, CA 91702 Attention: City Manager Telephone: (626) 812-5239 Facsimile: (626) 334-6358 RVPVBiKYARNER1716287.11 10 r Copy to: Best Best & Krieger, LLP 5 Park Plaza, Suite 1500 Irvine, CA 92614 Attention: Azusa City Attorney Telephone: (949) 263-2600 Facsimile: (949) 260-0972 If to the Agency. Redevelopment Agency of the City of Azusa 213 East Foothill. Boulevard Azusa, CA 91702 Attention: Executive Director Telepbone:(626) 812-5239 Facsimile: (626) 334-6358 Copy to: Best Best & Krieger, LLP 3750 University Avenue Riverside, CA 92501 Attention: Kevin K. Randolph Telephone: (951) 686-1450 Facsimile: (951) 686-3083 If to the Developer. JAR - University Commons, LLC c/o Trachman-Indevco, LLC 1801 Century Park East, Suite 1040 Los Angeles, CA 90067 Attention: Andrew Trackman, President Telephone: (310) 789-3888 Facsimile: (310) 789-3889 Copy to: Francis Property Management, Inc. 501 S. Beverly Drive, Suite 100 Beverly Hills, CA 90212 Attention: John Francis Telephone: (310) 556-2274 Facsimile: (3 10) 552-8485 RVPUBWVAR7VWR7) 6287.11 II Copy to: Friedman & Solomon LLP 9665 Wilshire Boulevard, Suite 810 Beverly Hills, CA 90212 Attention: Andy Friedman, Esq. Telephone: (310) 553-7265 Facsimile: (310) 553-7458 2.3.3 Any parry may, by notice given at anytime, require subsequent notices to be given to another person or entity, whether a party or an officer or representative of a party, or to a different address, or both. Notices given before actual receipt of notice of change shall not be invalidated by the change., ARTICLE III DEVELOPMENT OF THE PROJECT 3.1 Rights to Develop. Subject to the terms of this Agreement including the Reservation of Rights, the Developer shall have a vested right to develop the Project on the Property in accordance with, and to the extent of, this Agreement. Except as expressly provided otherwise herein, the Project shall remain subject to all Land Use Regulations and Development Approvals in effect on the Effective Date that are required to complete the Project on the Property as contemplated by the Development Plan. 3.2 Effect of Agreement on Land Use Regulations. Except as otherwise provided under the terms of this Agreement including the Reservation of Rights, the rules, regulations and official policies governing permitted uses of the Project on the Property, the density and intensity of use of the Project on the Property, the maximum height and size of proposed buildings, and the design, improvement and construction standards and specifications applicable to development of the Project on the Property shall be the Land Use Regulations and Development Approvals in effect on the Effective Date. In connection with any subsequently imposed Development Approvals and except as specifically provided otherwise berein, the City may exercise its discretion in accordance with the Land Use Regulations then in effect, as provided by this Agreement, including, but not limited to, the Reservation of Rights. The City shall accept forprocessing, review and action all applications for subsequent development approvals, and such applications shall be processed in the same manner and the City shall exercise its discretion, when required or authorized to do so; to the same extent it would otherwise be entitled in the absence of this Agreement. 3.3 Reservation of Rights. 3.3.1 Limitations. Reservations and Exceptions. Notwithstandingany other provision ofthis Agreement, the following regulations shall apply to the development of the Project on the Property. 3.3.1.1 Processing fees and charges of every kind and nature imposed bythe City to cover the estimated actual costs to the City of processing applications for Development Approvals or for monitoring compliance with any Development Approvals granted or issued, provided however that the such monitoring fees are limited to One Thousand Dollars ($1,000) per year. 3.3.1.2 Procedural regulations relating to hearing bodies, petitions, applications, notices, findings, records, hearings, reports, recommendations, appeals and any other matter of procedure. RVPURIKVARNER1716187. 11 12 3.3.1.3 Regulations, policies and rules governing engineering and construction standards and specifications applicable to public and private improvements, including, without limitation, all uniform codes adopted by the City and any local amendments to biose codes adopted by the City, including, without limitation, the City's building code, plumbing code, mechanical code, electrical code, fire code and grading code. 3.3.1.4 Regulations that maybe in material conflict with this Agreement but that are reasonably necessary to protect the immediate community from a condition perilous to their health or safety. To the extentpossble, any suchregulatious shall be applied and construed so as to provide the Developer with the rights and assurances provided under this Agreement 3.3.1.5 Regulations that are not in material conflict with this Agreement or the Development Plan. Any regulation, whether adopted by initiative or otherwise, limiting the rate or timing of development of the Property shall be deemed to materially conflict with the Development Plan and,shall therefore not be applicable to the development of the Property. 3.3.1.6 Regulations that are in material conflict with the Development Plan; provided the Developer has given written consent to the application of such regulations to development of that Property in which the Developer has a legal or equitable interest 3.3.1.7 Regulations that impose, levy, alter or amend fees, charges, or Land Use Regulations relating to consumers or end users, including, without limitation, trash can placement, and service charges. 3.3.1.8 Regulations of other public agencies, including development impact fees adopted or imposed by such other public agencies, although collected by the City. 3.3.1.9 Ordinances, resolutions, regulations or policies regarding the permitted uses of the Property, density and intensity of use, maximum height and size of proposed buildings, and provisions for reservation and dedication of land for public purposes. 3.3.1.10 Ordinances, resolutions, regulations or policies which become effective more than five (5) years after the Effective Date of this Agreement that impose, amend, or increase Development Exactions. 3.3.2 Subsequent Development Approvals. This Agreement shall not prevent the City, in acting on subsequent development approvals and to the same extent it would otherwise be authorized to do so absent this Agreement, from applying subsequently adopted or amended Land Use Regulations that do not materially conflict with this Agreement 3.3.3 Modification or Susnension by State or Federal Law. In the event that State or Federal laws or regulations enacted after the Effective Date of this Agreement prevent orpreclude compliance with one or more of the provisions of this Agreement, such provisions of this Agreement shall be modified or suspended as may be necessary to comply with such State or Federal laws or regulations; provided, however, that this Agreement shall remain in full force and effect to the extent it is not inconsistent with such laws or regulations and to the extent such laws or regulations do not render such remaining provisions impractical to enforce. RVPUBtxiARNERV16267.11 13 3.3.4 Intent The City and the Developer acknowledge and agree that the City is restricted in its authority to limit certain aspects of its police power by contract and that the foregoing limitations, reservations and exceptions are intended to reserve to the City all of its police power that cannot be or are not expressly so limited. This Agreement shall be construed, contrary to its statedterms if necessary, to reserve to the City all such power and authority that cannot be or is not by this Agreement's express terms so restricted. 3.4 Reeulation by Other Public Agencies. The City and the Developer acknowledge and agree that other public agencies not within the control of the City possess authority to regulate aspects of the development of the Property and/or Project separately from or jointly with the City and this Agreement does not limit the authority of such other public agencies. 3.5 . Recordation ofResidentialPMectCC&Rs. The Developer shall cause the recordation ofthe Residential Project Covenants, Conditions and Restrictions (in the form attached hereto as Exhibit "E'� against the Vacant Property within thirty (30) days from the Effective Date, subject to approval of the leasing restrictions contained in the project CC&Rs bythe California Department of Real Estate (the "DRE') or in the alternative, such other leasing restrictions as may be approved by the DRE in connection with its issuance of a Final Subdivision Public report in connection with the Residential Project The Parties agree that the Vacant Property shall be subject to such Covenants, Conditions and Restrictions notwithstanding Developer's failure to cause recordation of the same. 3.6 Public Art Component The Developer shall include a public art component within the Shopping Center Project. The form and substance ofthe public art component shall be as approved bythe City Manager in his or her absolute discretion, and may include such items as public murals, items of extraordinary landscaping, public fountains and other gathering places, sculpture, and similar items. The Developer shall submit its proposed public art component to the City Manager for his/her review and approval no less than forty-five (45) days prior to the date that the Developer intends to seek the issuance of the first building permit for the Shopping Center Project The City Manager shall review and either approve or disapprove the proposed public art component within thirty (30) days thereafter. If approved, the public art component shall be automatically deemed to be included within the Development Plan. If the City Manager disapproves the proposed public art component, or if the City Manager fails to act on the proposed public art component by the time that the Developer is prepared to apply for issuance of the first building permit for the Shopping Center Project, then, prior and as a condition to the issuance of such first building permit, the Developer shall pay to the City a public art in lieu fee in the amount of Ten Thousand Dollars ($10,000) which the City shall bold until a public art component acceptable to the City has been approved. 3.7 Marketine of Residential Proi ect to Certain Groups. The Developer shall, for a period no less than forty-five (45) days prior to the marketing of the Residential Project to the general public, advertise and market the Residential Project exclusivelyto City of Azusa public employees, police officers, firefighters, and teachers in a credentialed school located within the geographical boundaries of the Azusa Unified School District The Developer shall make the homes within the Residential Project available for purchase by such persons, provided that such persons are qualified (financially and otherwise) to purchase such homes, no less than forty-five (45) days prior to making such homes available for purchase by the general public. AVPUB i%VAAAM7J 6287. r r 14 ARTICLE IV STREET IMPROVEMENTSREMMURSEMENT 4.1 Developer Covenant to Undertake Street Improvements. The Developer covenants to and for the exclusive benefit ofthe City that, concurrently with the development of the Shopping Center Project on the Shopping Center Property, the Developer develop the Street Improvements and, once complete, shall dedicate the Street Improvements to the City. The Developer covenants and agrees for itself its successors and assigns that the design, development and construction of the Street Improvements shall be undertaken and completed in conformity with this Agreement and all applicable laws, regulations, orders and conditions of any governmental agency with jurisdiction over the Street improvements or the Shopping Center Property. 4.1.1 Shopping Center Proiect Commencement Date. The Developer shall commence construction of the Street Improvements within ninety (90) days after the date ("Shopping Center Project Commencement Date's on which the Developer obtains: (i) a binding unconditional commitment for construction financing for development of the Shopping Center Project, (ii) signed leases for at least seventy percent (70%) in the aggregate of the gross leaseable area of those buildings identified on Exhibit "B-2" as "A", "B", "99 C Store", "CVS", "Shop I", "Shop 2", and the 'Ross" buildings (all ofthe foregoing, collectively, the "Core Buildings"), and (iii) foundation permits sufficient to commence development of the Shopping Center Project Subject to Section 9.10, if the Shopping Center Project Commencement Date fails to occur on or before twelve (12) months following the Effective Date of this Agreement, then, subject to compliance with the provisions of Article VI, either the City or the Agency may terminate this Agreement in its entirety without cost or liability to either the City or the Agency. 4.2 AeencvObligations Regard= Street Improvements Reimbursement Agency agrees topayto the Developer the Street improvements Reimbursement pursuant to this Section 42. The StreetImprovements Reimbursement shall be used for the sole purpose of reimbursing the Developer for the Developer's Street Improvements Costs. 4.2.1 Procedure for Approved Street Improvements Cost Estimate. The Developer shall have the right, but not the obligation, to obtain bids or other estimates for all or individual portions of the Street Improvements and submit the same to the Agency for approval prior to commencing the Street Improvements work. In the event the Developer submits such bids or estimates to the Agency, the Agency agrees to review and approve the same or notify the Developer of any objection to such bids or estimates within ten (10) business days after -receipt thereof. The failure of the Agency to notify the Developer of any objection to the costs shown in the bids or estimates within such ten (10) business day period shall be deemed approval of the same. Upon the Agency's approval of such bids or estimates such amount shall become an Approved Street Improvements Cost Estimate for the work described therein. The Agency and the Developer each acknowledge that an Approved Street Improvements Cost Estimate is subject to subsequent adjustment for changes in the work, changes in the site conditions or subsequently discovered conditions, increases in costs of labor, material, and/or supplies, and other such matters; provided in no event shall such changes increase the Street Improvements Reimbursement amount The Agency agrees to review in good faith any requested changes to an Approved Street Improvements Cost Estimate. 4.21 Four Disbursements of Street Improvements Reimbursement Subject to Conditions Precedent. The Street Improvements Reimbursement shall be disbursed to the Developer in four (4) disbursements as described in this Section 4.2.2 for purposes of reimbursing the Developer (i) the third party costs and expenses actually incurred and paid by the Developer in connection with the design and construction RIPUBLSVARNERl716287.11 15 of the Street Improvements; and (ii) the fair market value of the property interests underlying the Street Improvements, (i) and (ii) not to exceed One Million Five Hundred Thousand Dollars ($1,500,000) in the aggregate. 4.2.2.1 First Disbursement At any time following the Shopping Center Project Commencement Date, and upon the Developer's satisfaction of the following conditions precedent and the Agency's approval of the Street Improvements Reimbursement Request as described in Section 42.3, the Agency shall disburse to the Developer the fust (1') twenty five percent (25%) of the Street Improvements Reimbursement 4.2.2.1.1 there shall exist no condition, event or act which would constitute a material breach or default under this Agreement or which, upon the giving of notice or the passage of time, or both, would constitute such a material breach or default; 42.2.1.2 all representations and warranties ofthe Developer contain in this Agreement shall be true and correct as of the date of any disbursements of the Street Improvement Reimbursement; 4.2.2.1.3 the Developer has submitted to the Agency and the City a complete design plan for the Street Improvements which describes and depicts: (1) the location and placement of the Street Improvements, and (2) the engineering of the Street Improvements; 42.2.1.4 the Developer has submitted to the Agency and the City a phased development schedule for the Street Improvements, including milestones and triggers for the development of the Street Improvements; and 42.2.1.5 the Developerhasobtained ademolitionpermitmamordance with the City's Municipal Code providing for the demolition of Buildings "A" and "B". 4.2.2.2 Second Disbursement At any time following the Shopping Center Project Commencement Date, and upon the Developer's satisfaction of the following conditions precedent and the Agency's approval of -the Street Improvements Reimbursement Request as described in Section 4.2.3, the Agency shall disburse to the Developer the second (2ed) twenty five percent (25%) of the Street Improvements Reimbursement: 4.2.2.2.1 there shall exist no condition, event or act which would constitute a material breach or default under this Agreement or which, upon the giving ofnotice or the passage of time, or both, would constitute such a material breach or default, 42.2.2.2 all representations and warranties ofthe Developer contain in this Ageement shall be true and correct as of the date of any disbursements of the Street Improvement Reimbursement; 4.2.2.2.3 the Developer has submitted to the City applications for permits or any other discretionary or ministerial approvals required for the development of the Street Improvements; and R{PURLI PARNER1716287.11 16 4 2.22.4 the Developer has obtained a building permit (or a series of building permits) for the shell and core improvements of no less than sixty-five percent (65%) of the gross leasable area of the Core Buildings. 4.2.2.3 Third Disbursement. At any time following the Shopping Center Project Commencement Date, and upon the Developer's satisfaction of the following conditions precedent and the Agency's approval of the Street Improvements Reimbursement Request as described in Section 4.2.3, the Agency shall disburse to the Developer the third (3d) twenty five percent (25%) of the Street Improvements Reimbursement: 42.2.3.1 , there shall exist no condition, event or act which would constitute a material breach or default under this Agreement or which, upon the giving of notice or the passage of time, or both, would constitute such a material breach or default; 4.2.2.3.2 all representations and warranties cfthe Develop= contain in this Agreement shall be true and correct as of the date of any disbursements of the Street Improvement Reimbursement; 4.2.2.3.3 the Developer has completed construction of the Street Improvements; and 42.2.3.4 the Developer has received final inspection and approval of the framing and roofing for no less than sixty-five percent (65%) of the gross leasable area of the Core Buildings. 4.2.2.4 Fourth Disbursement. At any time following the Shopping Center Project Commencement Date, and upon the Developer's satisfaction of the following conditions precedent and the Agency's approval of the Street Improvements Reimbursement Request as described in Section 4.2.3, the Agency shall disburse to the Developer the fourth (e) and final twenty five percent (25%) of the Street Improvements Reimbursement: 42.2.4.1 there shall exist no condition, event or act which would constitute a material breach or default under this Agreement or which, upon the giving of notice or the passage of time, or both, would constitute such a material breach or default; 4.2.2.4.2 all representations and warranties of the Developer contain in this Agreement shall be true and correct as of the date of any disbursements of the Street Improvement Reimbursement; 4.2.2.4.3 the Developer has dedicated the Street Improvements to the City and the City has accepted such dedication in accordance with its standard practices for the acceptance of dedicated public improvements; and 4.2.2.4.4 the Developer has Completed the Shopping Center Project 4.2.3 Street Improvements Reimbursement Request. At any time following the Shopping Center Project Commencement Date, and upon the satisfaction of the conditions precedent described in Section 4.22, the Developer may submit to the Agency a written request for any disbursement of the Street Improvements Reimbursement ("Street Improvements Reimbursement Request"). The Street Improvements Reimbursement Requests shall be approved and paid by the Agency as follows: R iPUBWVARNERl71G287.11 17 4.2.3.1 If the Street Improvements Reimbursement Request is for payment for work and amounts which are consistent with an Approved Street Improvements Cost Estimate, then the Agency shall review and pay such Street Improvements Reimbursement Request within thirty (30) days after the receipt of the same provided that Developer has submitted the supporting documentation required by Section 4.2.3.3 below and that such Street hnprovements Reimbursement Request is materially consistent with the Approved Street Improvements Cost Estimate. 4.2.3.2 If the Street Improvements Reimbursement Request includeswork or amounts in addition to or not previously subject to an Approved Street Improvements Cost Estimate, the Agency shall review the Street Improvements Reimbursement Request and, if approved, the Agency shall pay such Street Improvements Reimbursement Request to Developer within thirty (30) days after receipt of the same. The Agency's approval shall be given if the Agency reasonably determines that the Street Improvements Costs set forth on the. Street Improvements Reimbursement Request are reasonable and customary. The Agency's failure to approve or disapprove a Street improvements Reimbursement Request within thirty (30) days from its receipt of such Street Improvements Reimbursement Request (including all reasonably required supporting documentation described in Section 422.3 below) shall constitute the Agency's approval thereof. 4.2.3.3 The Agency's obligation to approve a Street Improvements Reimbursement Request under either Section 4.2.3.1 or Section 4.2.3.2 shall be contingent upon the Agency's receipt and approval, which shall not be unreasonably withheld or delayed, of the following. 4.2.3.3.1 The Street Improvements Reimbursement Request, which shall include a description of the work performed, material supplied and cost incurred or due; 42.3.3.2 Bills, invoices, vouchers, statements and all other documents, which shall be attached to the Street Improvements Reimbursement Request, evidencing the amount paid to third parties, and a certificate firm Developer certifying to Developer's compliance with applicable prevailing wage requirements; 4.2.3.3.3 Waivers and releases ofinechanics' liens, stop notice claims or other lien claim rights; and 4.2.3.3.4 Any other document,requirement, evidence orinformation in the Developer's possession or under the Developer's control that Agency may reasonably request with regard to the Street Improvements or Street Improvements Reimbursement Request- 4.2.3.4 equest 42.3.4 The Developer shall submit accurate and complete Street Improvements Reimbursement Requests. Incomplete and/or inaccurate submittals will be returned to the Developer. The City shall have the same amount of time to review each revised Street Improvements Reimbursement Requests as allowed by this Agreement for the original submittal. For the second and succeeding re - submittals, the Developer shall reimburse the City its actual costs for processing and responding to such revised submittal. 4.3 Agency's Obligations Under Agreem nt The Developer acknowledges and agrees that the Agency's obligations under this Agreement are limited to those obligations set forth in this Article N pertaining to the Street Improvements Reimbursement. RMW KEAMER1716287.11 18 ------------------------ ARTICLE V DEVELOPER COVENANTS 5.1 Annual DevelmarPavment, On behalf ofitsels its successors and assigns to all oranypartof the Shopping Center Property, the Developer covenants and agrees to pay the Annual Developer Payment in advance of each Sales Tax Year within the Sales Tax Term as provided in this Section 5.1. 5.1.1 First Sales Tax Yew. The Developer shall tenderthefirst AnnualDeveloperPayment in the amount of Forty Thousand Dollars ($40,000) to the City no less than fifteen (15) days following commencement of the First Sales Tax Year. Subsequent Annual Developer Payments shall be paid as provided in Section 5.1.2. 5.1.2 Subsequent Sales Tax Years. Annual Developer Payments for the second and subsequent Sales Tax Years shall be determined and paid as provided in this Section 5.1.2. Within ninety (90) . days after commencement of each Sales Tax Year other than the First Sales Tax Year, the City shall provide the Developer in writing the City's determination of the total Local Sales Tax Revenues for the immediately preceding Sales Tax Year on a tenant -by -tenant basis, together with such supporting documentation as the City may legally be permitted to disclose. If the total Local Sales Tax Revenues for such immediately preceding Sales Tax Year exceeded the Minimum Annual Sales Tax Revenues applicable to such Sales Tax Year, the City shall reduce the Annual Developer Payment to be paid for the then -current Sales Tax Year by the amount by which the Local Sales Tax Revenue for the immediately prior Sales Tax Year exceeded the Minimum Annual Sales Tax Revenues applicable to such prior Sales TaxYear. The City shall then make written demand upon the Developer for the amount of the Annual Developer Payment for the then -current Sales Tax Year as it may be reduced by operation of the foregoing sentence. The Developer shall tender the amount so demanded within thirty (30) days following such demand. Except as otherwise specifically set forth herein, in no event shall the City be obligated to provide the Developer any other data, information or documentation related to the Local Sales Tax Revenues and all other data, information and documentation related to the Local Sales Tax Revenues shall by kept by the City in strict confidence and in compliance with all local, state and federal laws, rules and regulations. In no event shall the City be obligated to pay the Developer any sum if the Local Sales Tax Revenues for a particular Sales Tax Year exceeded the applicable Minimum Annual Sales Tax Revenues for such Sales Tax Year by an amount greater than the Annual Developer Payment; in such case, the Annual Developer payment for the then -current Sales Tax Year shall be reduced to zero but the Developer shall have no further right or claim with respect thereto. 5.1.3 ReconciliationFollowing Final Sales Tax Year. Within ninety (90)days foilowingthe end of the last Sales Tax Year, the City shall provide the Developer in writing the City's determination of the total Local Sales Tax Revenues for the final Sales Tax Year on a tenant -by -tenant basis, together with such supporting documentation as the City may legally be permitted to disclose. if the total Local Sales Tax Revenues for such final Sales Tax Year exceeds the Minimum Annual Local Sales Tax Revenues applicable to the final Sales Tax Year, the City shall pay (without interest) to Developer an amount equal to the lesser of. (1) the amount of the Annual Developer Payment paid by the Developer in advance at the beginning of the final Sales Tax Year, or (2) the amount by which the local Sales Tax Revenues for the final Sales Tax Year exceeded the Minimum Annual Sales Tae Revenues applicable to such final Sales Tax Year. Such payment shall be made concurrently with the City's written determination as described in the first sentence of this Section 5.1.3. r'lsV'T-*/1 ✓XMr-Me[I 19 5.1.4 No Cann Forward or Back. Agency and Developer acknowledge and agree that the calculation and determination of all financial components of the City's and the Developer's rights, and obligations under this Article 5 shall be computed on a Sales Tax Year-to-Sales Tax Year basis. Revenues generated in one Sales Tax Year may not be carried forward or back to any prior or future Sales Tax Year, it being the express agreement and understanding of the parties that for each Sales Tax Year the financial obligations of the parties and satisfaction of the conditions precedent to such obligations shall be determined and made independently of any other Sales Tax Year. 5. 1.5 Tem. The covenants of this Section 5.1 shall become effective upon the Effective Date of this Agreement and shall continue in effect thereafter for the entirety of the Sales Tax Term. 5.1.6 Covenants Run With the Land. The covenants set forth in this Section 5.1 touch and concern the Shopping Center Property, and every part thereof; and constitute covenants running with the Shopping Center Property and every part thereof for the full term of each covenant as set forth in this Article V. They may be enforced by the City through all available legal or equitable means, including injunctive relief 52. Completion Covenant On behalf of itself; its successors and assigns to all or any portion of the Shopping Center Property, Developer.covenants and agrees to commence the development ofthe Shopping Center Project within Winery (90) days of the Shopping Center Project Commencement Date and to Complete the Shopping Center Project within twenty four (24) months thereafter, subject to Section 9.10. For purposes of this Agreement, the term "Complete" or "Completion" means (1) as to the "Ross", "CVS", and "990 Store" Buildings, that a final certificate of occupancy (or City-designated equivalent) has been issued, and (2) as to "A" and "B" and "Shop 1" and "Shop 2" Buildings, the completion of all exterior improvements consistent with City requirements; the Developer shall not be required by this Agreement to obtain a certificate of occupancy with respect to any tenant improvements to be constructed within the Shopping Center Project 5.2.1 Term. The covenants of this Section 52 shall become effective upon the Effective Date and shall terminate upon the earlier of (i) the Completion of the Shopping Center Project, or (ii) the fifteenth (15's) anniversary of the Effective Date of this Agreement 5.2.3 Covenants Run With the Land. The covenants set forth in Section 5.2 touch and concern the Shopping Center Property, and every part thereof; and constitute covenants running with the Shopping Center Property and every part thereof for the full term of each covenant as set forth in this Article V. They may be enforced by the City through all available legal or equitable means, including injunctive relief 5.3 Maintenance and Condition Covenant The Developer, for itself, its successors and assigns, hereby covenants and agrees that the exterior areas of the Shopping CenterProperty which are subjectto public view (e.g.: all improvements, paving, walkways, landscaping, and ornamentation) shall be maintained in good repair and a neat, clean and orderly condition, ordinary wear and tear excepted. In the event that at any time during the term of this Section 5.3 there is an occurrence of an adverse condition on any area of the Shopping Center Property which is subject to public view in contravention ofthe general maintenance standard described above (a "Maintenance Deficiency"), then the Agency shall notify the Developer in writing ofthe Maintenance Deficiency and give the Developer, or the then-current owner of the applicable portion of the Shopping Center Property if the Developer is no longer the owner of that portion of the Shopping Center Property which contains the Maintenance Deficiency, thirty (30) days from the date of such notice to cure the Maintenance Deficiency as identified in the notice. The words "Maintenance Deficiency" include, without limitation, the following inadequate or non-confirming property maintenance conditions: RiPUB"ARNRR1716287.11 20 (i) failure to properly maintain the windows, structural elements, and painted exterior surface areas of the commercial structures in a clean and presentable manner, (ii) failure to keep the front and side yard areas of the commercial elements of the Shopping Center Project free of accumulated debris, appliances, inoperable motor vehicles or motor vehicle parts, or free of storage of lumber, building materials or equipment not regularly in use on the Shopping Center Property, and (iii) failure to regularly mow lawn areas or permit grasses planted in lawn areas to exceed nine inches (9'� in height, or failure to otherwise maintain the landscaping of the commercial elements of the Shopping Center Project in a reasonable condition free of weeds and debris. In the event the responsible party fails to cure or commence to cure the Maintenance Deficiency within the time allowed, the Agency may thereafter conduct a public bearing following transmittal of written notice thereof to the Developer, or the then -current owner of the applicable portion ofthe Shopping Center Property if the Developer is no longer the owner of that portion of the Shopping Center Property which contains the Maintenance Deficiency, ten (10) days prior to the scheduled date of such public hearing in order to verify whether a Maintenance Deficiency exists and whether the Developer, or the then -current owner of the applicable portion of the Shopping Center Property if the Developer is no longer the owner of that portion of the Shopping Center Property which contains the Maintenance Deficiency, has failed to comply with the provision of this Section 5.3. lf� upon the conclusion of a public hearing, the Agency makes a finding that a Maintenance Deficiency exists and that there appears to be noncompliance with the general maintenance standard, as described above, thereafter the Agency shall have the right to enter the Shopping Center Property and perform all acts necessary, to cure the Maintenance Deficiency, or to take other action at law or equitythe Agency may then have to accomplish the abatement of the Maintenance Deficiency. Any sum expended by the Agency for the abatement of a Maintenance Deficiency as authorized by this Section 53 shall become a lien on the Shopping Center Property if the Maintenance Deficiency exists on the Shopping Center Property. If the amount of the lien is not paid within thirty (30) days after written demand for payment by the Agency, the Agency shall have the right to enforce the lien in the manner as provided in Section 5.3.1 below. 5.3.1 Lien Rights. The parties hereto further mutually understand and agree that the rights conferred upon the Agency under this Section 5.3 expressly include the powerto establish and enforce alien or other encumbrance against the Sbopping Center Property in the manner provided under Civil Code Sections 2924,2924b and 2924c in the amount as reasonably necessary to cure the Maintenance Deficiency, including attorneys fees and costs of the Agency associated with the abatement of the Maintenance Deficiency or removal of graffiti and the collection of the costs of the Agency in connection with such action. In any legal proceeding for enforcing such alien, the prevailing party shall be entitled to recover its attorneys' fees and costs ofsuit. The provisions of this Section 5.3 shall be enforceable by the Agency in its discretion, cumulative with any other rights or powers granted by the Agency under applicable law. Nothing in the foregoing provisions of this Section 5.3 shall be deemed to preclude any party from making any alterations, additions, or other changes to any structure or improvement or landscaping on the Shopping Cerner Property, provided that such changes comply with the zoning and development regulations of the City and other applicable law. 5.3.2 Term. The covenants of this Section 5.3 shall become effective upon the Effective Date of this Agreement and shall continue in full force and effect thereafter until the twentieth (20") anniversary of the Effective Date. RVPUBWVARNER 1716287.11 21 5.3.3 Covenants Rim With the Land. The covenants set forth in this Section 5.3 touch and concern the Shopping Center Property, and every part thereof and constitute covenants running with the Shopping Center Property and every part thereof for the full term of each covenant as set forth in this Article V. They may be enforced by the City through all available legal or equitable means, including injunctive relief 5.4 Prohibited and Restricted Land Uses. 5.4.1 Prohibited Uses. On behalf of itself, its successors and assigns to all or anyportion of the Shopping Center Property, Developer covenants and agrees that no part or portion of the Shopping Center Project or Property shall be held, used, leased, sold, rented, assigned, transfected, or otherwise alienated to, for, or by any use identified on the attached Exhibit "F-1" (each such use, a "Prohibited Use"). 5.4.2 Non-Retail Restricted Uses. On behalf of itself; its successors and assigns to all or any portion of the Shopping-Center Property, Developer covenants and agrees that no more than ten thousand square feet (10,000 sq. ft) of the gross leaseable area of the Shopping Center Project or Property shall at any one point in time be used, leased, sold, rented, assigned, transfected or otherwise alienated to, for, or by any of the uses set forth on the attached Exhibit "F-2" (each such use, a "Restricted Use "). The foregoing notwithstanding, however, the foregoing limitation shall not apply to any vacant Ieasable space within the Shopping Center Project which satisfies all of the following conditions: (1) such space has been unoccupied for a continuous ninety (90) day period, (2) the proposed use of such space is consistent with all then-current City zoning and other land use requirements, (3) the proposed use is not a Prohibited Use, and (4) the Developer demonstrates to the City s reasonable satisfaction that the Developer has exercised commercially reasonable good faith efforts to lease such space to a use other than a Prohibited Use or a Restricted Use during such ninety (90) day vacancy period at a rental rate no more than the fair market rental rate for, and on terms no less favorable than, similar commercial space within the City. 5.4.3 Existine Leases. Nothing in this Section 5.4 shall require Developer to terminate the tenancy of any lessee of the Shopping Center Property which is (or which may become pursuant to such lessee's lease) a Prohibited Use or Restricted Use but which lawfully occupies its leasebold space pursuant to a written lease which became effective no later than thirty (30) days prior to the Effective Date of this Agreement. The Developer shall not extend any such leasehold term unless such extension maybe unilaterally exercised by the lessee without Developers approval or consent. 5.4.4 Term. The covenants of this Section 5.4 shall become effective upon the Effective Date and shall continue in effect thereafter for the entirety of the Sales Tax Term. 5.4.5 Covenants Rum With the Land The covenants set forth in this Section 5.4 touch and concern the Shopping Center Property, and every part thereot; and constitute covenants running with the Shopping Center Property and every part thereof for the full term of each covenant as set forth in this Article V. They may be enforced by the City through all available legal or equitable means, including injunctive relief. 5.5 Restaurant Completion Covenant The Developer, for itself; its successors and assigns, hereby covenants and agrees that that portion of the Shopping Center Property identified as "Citrus Pad No. I" on the Development Plan, shall as part of the Shopping Center Project, be developed for no purpose other than a sit- down, full-service restaurant containing not less than four thousand (4,000) square feet of gross leasable area As an example, but not in limitation, of the types of prohibited uses, in connection with the development of the Shopping Center Project, Citrus Pad No. 1 shall not be developed as a fast food restaurant (e.g., McDonalds, R M81 RVARNER 1716287.17 22 Burger King) or a "quick serve/fast serve" restaurant (e.g., Farmer Boys). 5.5.1 Term. The covenants of this Section 5.5 shall become effective upon the Effective Date of this Agreement and shall continue in full force and effect thereafter until the twentieth (20m) amuversary of the Effective Date. 5.52 Covenants Run with the Land The covenants set forth in this Section 5.5 touch and concern the Shopping Center Property, and every part thereof; and constitute covenants running with the Shopping Center Property and every part thereof for the full term of each covenant as set forth in this Article V. They may be enforced by the City through all available legal or equitable means, including injunctive relief ARTICLE VI DEFAULT AND REMEDIES 6.1 Event of Default Each of the following shall constitute an "Event of Default": 6.1.1 Failure by a party to comply with and observe any of the conditions, terms, or covenants set forth in this Agreement, if such failure remains uncured thirty (30) days after written notice of such failure from the non -defaulting partyto the defaulting party with respect to a default that cannot be cared within thirty (30) days, if the defaulting party fails to commence such cure within such thirty (30) dayperiod or, thereafter, fails to diligently and continuously proceed with such cure to completion. However, if a different period, notice requirement, or remedy is specified under anyother section of this Agreement, then the specific provision shall control. 6.1.2 Any representation or warranty contained in this Agreement or in any application, financial statement invoice, certificate, or report submitted pursuant to this Agreement proves to have been incorrect in any material respect when made. 6.2 Remedies as Between City and Developer. It is acknowledged by the City and the Developer that the City would not have entered into this Agreement if it was to be liable in monetary damages under this Agreement, or with respect to this Agreement or the application thereof In general, the City and the Developer may pursue any -remedy at law or equity available for the breach of anyprovision of this Agreement, including consequential damages, except that the City shall not be liable in monetary damages to the Developer, or to any successor in interest of the Developer, or to any other person, and the Developer covenants not to sue for damages or claim any damages: 6.2.1 For any breach of this Agreement or for any cause of action that arises out of this Agreement; or 6.22 For the taking, impairment or restriction of any right or interest conveyed orprovided under or pursuant to this Agreement; or 6.2.3 Arising out of or connected with any dispute, controversy or issue regarding the application or interpretation or effect of the provisions of this Agreement- RYPUMVARNER716287.11 23 6.3 Remedies as Between AaencvandDeveloper. The Agency and the Developer maypursueany remedy at law or equity available for the breach of any provision of this Agreement, excluding consequential damages. 6.4 Specific Performance as Between Ciry and Developer. The City and the Developer acknowledge that money damages and remedies at law generally are inadequate and specific performance and other non -monetary relief are particularly appropriate remedies for the enforcement of the City�s and the Developer's respective obligations under this Agreement and should be available to the City and the Developer for the following reasons: 6.4.1 Money damages are generally unavailable against the City. 6.42 Due to the size, nature and scope of the Shopping Center Project, it may not be practical or possible to restore the Shopping Center Property to its natural condition once implementation of this Agreement has begun. After such implementation, the Developer maybe foreclosed from other choices it may have had to utilize the Shopping Center Property or portions thereof. The Developer has invested significant time and resources and performed extensive planning and processing of the Shopping Center Project in agreeing to the terms of this Agreement and will be investing even more significant time and resources in implementing the Shopping Center Project in reliance upon the terms of this Agreement, and it is not possible to determine the sum of money that would adequately compensate the Developer for such efforts. 6.5 Developer Right To Terminate Prior To Receipt of Street Improvements Reimbursement. Prior to the Developer's receipt of any disbursement of the Street Improvements Reimbursement, the Developer shall have the right to terminate this Agreement for convenience without cost, expense or liability to any Party. 6.6 Rights and Remedies Rights and Remedies Not Exclusive. Unless prohibited by law or otherwise provided by a specific term of this Agreement, the rights and remedies of the parties under this Agreement are nonexclusive and all remedies under this Agreement may be exercised individually or cumulatively. Upon any party's Event of Default, in addition to those remedies expressly granted in this Agreement, the parties shall also have the right to seek all other available legal and equitable remedies, including, without implied limitation, general and consequential damages. 6.7 No Cross -Defaults. The Developer's obligations arising out of the Covenants, Conditions and Restrictions are separate and distinct from the obligations arising out of this Agreement, and the Developer's breach of the Covenants, Conditions and Restrictions shall not be deemed a breach or default of this Agreement ARTICLE VII LITIGATION 7.1 Third Party Lineation Concerning Agreement Unless this Agreement is terminated as described below, the Developer shall defend, at its expense, including attorneys' fees, indemnify, and bold harmless the City and the Agency, their agents, officers and employees from any actual or alleged claim, action or proceeding against the City or the Agency, their agents, officers, or employees to attack, set aside, void, or annul the approval of this Agreement or the approval of any entitlement or permit granted pursuant to this Agreement. Within fifteen (15) days from its receipt of formal notice thereof; the City and/or the Agency shall promptly notify the Developer in writing of any such claim, action, or proceeding and the City and the Agency RVPUBIKVARNER1716287.11 24 shall reasonably cooperate in the defense. The City and the Agency may in their discretion participate in the defense of any such claim, action, proceeding or determination. ination. Within fifteen (15) days following its receipt of the above-descnbed City's and/or Agencies notice, the Developer shall notify the City and Agency in writing that the Developer has irrevocably elected to either. (i) undertake its defense and indemnity obligations as herein set forth, or (ii) terminate this Agreement without cost, expense or liability to any Party, provided, however, that if Developer has received any portion ofthe Street Improvements Reimbursement the Developer shall not have the right to terminate this Agreement 7.2 Environmental Assurances. The Developer shall indemnify and hold the City, its officers, agents, and employees free and harmless from any liability, based or asserted, upon any act or omission of the Developer, its officers, agents, employees, subcontractors, predecessors in interest, successors, assigns and independent contractors for any violation of any federal, state or local law, ordinance or regulation relating to industrial hygiene or to environmental conditions on, under or about the real property underlying the Street Improvements that existed as of the date of acceptance of the Street Improvements, including, but not limited to, soil and groundwater conditions, and the Developer shall defend, at its expense, including attorneys' fees, the City, its officers, agents and employees in any action based or asserted upon any such alleged act or omission. The City may in its discretion participate in the defense of any such action. 7.3 Aporoval of Attorn . With respect to Sections 7.1 and 7.2 herein, the City and the Agency reserve, the right to either. (i) approve the attomey(s) that the Developer selects, hires or otherwise engages to defend the indemnified the Agency and/or City hereunder, which approval shall not be unreasonably withheld, or (ii) conduct its own defense; provided, however, that the Developer shall reimburse the Agency and/or City forthwith for any and all reasonable expenses incurred for such defense, including attorneys' fees, upon billing and accounting therefor. 7.4 Survival. The provisions of Sections 7.1 through 7.3; inclusive, shall survive the termination of this Agreement ARTICLE VIII MORTGAGEE PROTECTION 8.1 The parties hereto agree that this Agreement shall not prevent or limit the Developer, in any manner, at the Developer's sole discretion, from encumbering the Shopping Center Property or any portion thereof or any improvement thereon by any mortgage, deed of trust or other security device securing financing with respect to the Shopping Center Property that is junior to Developers obligations under this Agreement The City and the Agency acknowledge that the lenders providing such financing may require certain Agreement interpretations and modifications and agrees upon request, from time to bme,'to meet with the Developer and representatives of such lenders to negotiate in good faith any such request for interpretation or modification. The City and the Agency will not unreasonably withhold their consent to any such requested interpretation or modification provided such interpretation or modification is consistent with the intent and proposes of this Agreement and provided further that no term, condition or covenant of this Agreement is made subordinate to the rights or interests of such lenders. Any mortgagee of the Shopping Center Property shall be entitled to the following rights and privileges: 8.1.1 Neither entering into this Agreement nor a breach of this Agreement shall defeat, reader invalid, diminish or impair the lien of any mortgage on the Shopping Center Property made in good faith and for value, unless otherwise required by law. 25 8.1.2 The mortgagee of any mortgage or deed of trust encumbering the Shopping Center Property, or any part thereof, which mortgagee, has submitted a request in writing to the City and the Agency in the manner specified herein for giving notices, shall be entitled to receive written notification from the City and the Agency of any default by the Developer in the performance of the Developer's obligations under this Agreement 8.1.3 If the City or the Agency timelyreoeives a request from a mortgagee requesting a copy of any notice of default given to the Developer under the terms of this Agreement, the City or the Agency, as the case maybe, shall provide a copy of that notice to the mortgagee within ten (10) days of sending the notice of default to the Developer. The mortgagee shall have the right, but not the obligation, to cure the default during the remaining cure period allowed such party under this Agreement 8.1.4 Any mortgagee who comes into possession of the Shopping Center Property, or any part thereof pursuant to foreclosure of the mortgage or deed of trust, or deed in lieu of such foreclosure, shall take the Shopping Center Property, or part thereof subject to the terms of this Agreement- 8.2 greement 82 Estoppel Certificates. Within thirty (30) days following Developer's written request, the Agency shall execute, acknowledge and deliver to the Developer and/or to any mortgagee, its certificate certifying. (a) that this Agreement is unmodified and in full force and effect (or, if there have been modifications, that this Agreement is in full force and effect, as modified, and stating the modifications), and (b) whether, to the Cit}?s and Agency's actual current knowledge, there are then existing any defaults by the Developer in the performance or observance by the Developer of any agreement, covenant or condition hereof on the part of the Developer to be performed or observed and whether any notice has been given to the Developer of any default which has not been cured (and, if so, specifying the same). Any such certificate may be relied upon by a mortgagee or trustee under a deed of trust encumbering the Shopping Center Property or any part thereof. ARTICLE 1X MISCELLANEOUS PROVISIONS 9.1 Recordation of Aereement. This Agreement and any amendment or cancellation thereof shall be recorded with the Los Angeles County Recorder by the Clerk of the City Council within ten (10) days after the Effective Date. If the parties to this Agreement or their successors in interest amend or cancel this Agreement, or if the City or the Agency terminates or modifies this Agreement as provided herein for failure of the Developer to comply in good faith with the terms and conditions of this Agreement, the City Clerk shall have notice of such action recorded with the Los Angeles County Recorder. 9.2 Enure Agreement This Agreement sets forth and contains the entire understanding and agreement of the parties, and there areno oral or written representations, understandings or ancillarycovenants, undertakings or agreements that are not contained or expressly referred to herein. No testimony or evidence of any such representations, understandings or covenants shall be admissrble in any proceeding of any kind or nature to interpret or determine the terms or conditions of this Agreement 9.3 Severabiiiri. if any term, provision, covenant or condition of this Agreement shall be determined invalid, void or unenforceable, the remainder of this Agreement shall not be affected therebyto the extent such remaining provisions are not rendered impractical to perform taking into consideration the RYPUBIL'YARNER1716257.11 26 purposes of this Agreement Notwithstanding the foregoing, the terms of this Agreement concerning of the Street Improvements and the Local Sales Tax Revenues are essential elements of this Agreement and neither the City or the Agency would not have entered into this Agreement but for such provisions, and therefore in the event such provisions are determined to be invalid, void or unenforceable, this entire Agreement shall be null and void and of no force and effect whatsoever. 9.4 Interpretation and Governing Law. This Agreement and any dispute arising hereunder shall be governed and interpreted in accordance with the procedural and substantive laws of the State of California, without regard for conflict of laws principles. This Agreement shall be construed as a whole according to its fair language and common meaning to achieve the objectives and purposes of the parties hereto, and the Wile of construction to the effect that ambiguities are to be resolved against the draflingparty shall not be employed in interpreting this Agreement, all parties having been represented by counsel in the negotiation and preparation hereof. 9.5 Section Headings. All section beadings and subheadings are inserted for convenience only and shall not affect any construction or interpretation of this Agreement 9.6 Singular and Plural. As used herein, the singular of any word includes the plural. 9.7 Incorporation of Recitals. The Recital set forth in this Agreement are incorporated into this Agreement 9.8 Waiver. Failure by a party to insist upon the strict performance of any of the provisions of this Agreement by the other party, or the failure by a party to exercise its rights upon the default of the other party, shall not constitute a waiver of such patty's right to insist and demand strict compliance by the other party with the terms of this Agreement thereafter. 9.9 No Third Party Beneficiaries. This Agreement is made and entered into for the sole protection and benefit of the parties and their successors and assigns. No other person shall have any right of action based upon any provision of this Agreement. 9.10 Extensions and Delays; No Excuse Due to Economic Changes. Time is of the essence in the performance of the obligations of the City, the Agency and the Developer under this Agreement In addition to specific provisions of this Agreement, providing for extensions of time, times for performance under this Agreement shall be extended where delays in performance are due to war, terrorism, insurrection; any form of labor dispute; lockouts; riots; floods; earthquakes; fires; acts of God or ofthird parties; third party litigation or orders and judgments of courts of competent jurisdiction; acts of a public enemy, acts of governmental authorities; epidemics; quarantine restrictions; and freight embargoes (collectively, "Enforced Delays'; provided, however, that the parry claiming the extension notify the other parties of the nature of the matter causing the default; and, provided further, that the extension of time shall be only for the period of the Enforced Delay. In no event shall any party to this Agreement be deemed to be in default under this Agreement because of an Enforced Delay. The Developer expressly acknowledges and agrees that changes in the general economic conditions or changes in its economic assumptions which may have provided a basis for its entering into this Agreement and undertaking the obligations under this Agreement described, or legislative changes of a similar or dissimilar We are not Enforced Delays and do not provide grounds for asserting the existence of an Enforced Delay. Developerexpressly assumes the risk that changes in general economic conditions, in its economic assumptions relating to the terms and covenants of this Agreement, or of legislative. RVFUBWVARNERVJ 6187.11 27 enactments, could impose an inconvenience or hardship on Developer's continued performance under this Agreement, but that such inconvenience or hardship is not an Enforced Delay and does not excuse Developer's performance under this Agreement THE DEVELOPER EXPRESSLY AGREES THAT ADVERSE CHANGES INECONOMIC CONDITIONS, EITHER OF THE DEVELOPER SPECIFICALLY OR THE ECONOMY GENERALLY, CHANGES IN MARKET CONDITIONS OR DEMANDS, OR ADVERSE LEGISLATIVE ENACTMENTS AFFECTING THE DISTRIBUTION OF SALES TAX REVENUES WITHOUT THE BENEFIT OF OFFSETTING REVENUES SHALL NOT BE AN ENFORCED DELAY OR OPERATE TO EXCUSE OR DELAY THE STRICT AND TRAELYPERFORMANCE OF EACH AND EVERY OBLIGATION AND COVENANT OF DEVELOPER ARISING UNDER THIS AGREEMENT. THE DEVELOPER EXPRESSLY ASSUMES THE RISK OF SUCH ADVERSE ECONOMIC, MARKET OR LEGISLATIVE CHANGES, WHETHER OR NOT IN EXISTENCE OR FORESEEABLE AS OF THE EXECUTION OF THIS AGREEMENT BY THE DEVELOPER. Developer's Initials 9.11 Mutual Cov ants. The covenants contained herein are mutual covenants and also constitute conditions to the concurrent or subsequent performance by the party benefited thereby of the covenants to be performed hereunder by such benefited parry. 9.12 Successors in Interest The burdens of this Agreement shall be binding upon, and the benefits of this Agreement shall inure to, all successors in interest to the parties to this Agreement All provisions of this Agement shall be enforceable as equitable servitudes and constitute covenants running with the land. Each covenant to do or refrain from doing some act hereunder with regard to development of the Shopping Center Property: (i) is for the benefit of and is a burden upon every portion of the Shopping Center Property; (ii) tuns with the Shopping Center Property and each portion thereof; and (iii) is binding upon each party and each successor in interest during ownership of the Shopping Center Property or any portion thereof. 9.13 Execution in Counterparts. Each person executing this Agreement on behalf ofthe Developer warrants and represents that he or she each have the authority to execute this Agreement on behalf of his or her corporation, partnership or business entity and warrants and represents that he or she has the authority to bind the Developer to the performance of its obligations hereunder. This Agreement may be executed in three (3) or more counterparts, each of which shall be deemed an original, and all of which shall constitute but one (1) and the same instrument 9.14 Obligations ofthe City and the Agency are Separate and Distinct The City's obligations and the Agency's obligations under this Agreement are separate and distinct 9.15 Shopping Center Project as a Private Undertaldn . It is specificallyunderstood. and agreed by and between'the parties bereto that the development of the Shopping Center Project is a private development, that no parry to this Agreement is acting as the agent of the other in any respect hereunder, and that each party to this Agreement is an independent endent contracting entity with respect to the terms, covenants and conditions contained in this Agreement No partnership, joint venture or other association of any kind is formed by this Agreement The only relationship between the Cityand the Developer is that of a government entity regulating the development of private property and the owner of such property. RVPUBWVARNEW162S7.11 91 9.16 Further Actions and Instruments. Each of the parties shall cooperate with and provide reasonable assistance to the other to the extent contemplated hereunder in the performance of all obligations under this Agreement and the satisfaction of the conditions of this Agreement. Upon the request ofeitherparty at any time, the other party shall promptly execute, with acknowledgment or affidavit if reasonably required, and file or record such required instrimments and writings and take any actions as may be reasonablynecessary under the terms of this Agreement to carry out the intent and to fulfill the provisions of this Agreement or to evidence or consummate the transactions contemplated by this Agreement. 9.17 Eminent Domain. No provision of this Agreement shall be construed to limit or restrict the exercise by the City or the Agency of their respective powers of eminent domain with respect to the Shopping Center Property or Shopping Center Project or any other property owned by Developer. 9.18 Attorneys' Fees. In the event ofthe bringing of an arbitration, action or suit bya party against another party by reason of anybrea^,h of any of the covenants or agreements or any intentional inaccuracies in any of the representations and warranties on the part of the other parry arising out of this Agreement or any other dispute between the parties concerning this Agreement then, in that event, the prevailing party in such action or dispute, whether by final judgment or arbitration award, shall be entitled to have and recover of and from the other party all costs and expenses of suit or claim, including reasonable attorneys' fees and expert witness fees. Any-judgment, order or award entered in any final judgment or award shall contain a specific provision providing for the recovery of all costs and expenses of suit or claim, including reasonable attorneys' fees and expert witness fees (collectively, "Costs') incurred in enforcing, perfecting and executing such judgment or award. For the purposes of this Section 9.18, Costs shall include, without implied limitation, attorneys' and experts' fees, costs and expenses incurred in the following: (i) post judgment motions and appeals, (ii) contempt proceedings, (iii) garnishment, levy and debtor and third party examination; (iv) discovery, and (v) bankruptcy litigation. This Section 9.19 shall survive any termination of this Agreement. 9.19 Informal Dispute Resolution. The parties shall attempt in good faith to resolve any differences, controversy or claim arising out of or relating to this Agreement promptly by negotiations between senior officials of the parties who have authority to settle the difference or controversy. The disputing party may give the other Party written notice that a dispute exists between them so that the provision of Sections 9.19.1 and 9.19.2 shall apply ("Dispute Notice"). 9.19.1 Within twenty (20) days after receipt of a Dispute Notice, the receiving parry shall submit to the disputing party a written response. The Dispute Notice and response shall include: (i) a statement of each Party's position and a summary of the evidence and arguments supporting its position, and (ii) the name and title of the official who shall represent that party. The senior officials shall meet at a mutually acceptable time and place or by telephone conference within thirty (30) days of the date of the Dispute Notice, and thereafter as often as they reasonably deem necessary to exchange relevant information and to attempt to resolve the dispute. In the event any party fails to provide a response to a Dispute Notice in accordance with this section or fails to cooperate in the scheduling of or to attend, the meetings, described above, to resolve the dispute, then, with respect to that parry, the Resolution Period shall be deemed to have run so that the dispute may immediately be subject to arbitration in accordance with Section 9.19.2. 9.19.2 If the matter has not been resolved pursuant to Section 9.19.1 withinninety (90) days of the date of the Dispute Notice ("Resolution Period"), (which period maybe extended bymutual agreement), or if any party will not participate in such procedure, the dispute shall be submitted to non-binding arbitration in Los Angeles County, California, in accordance with the AAA Rules. Each Party to such dispute shall RiPUBI KYARNER1716287.11 29 appoint an arbitrator, and such arbitrators shall appoint an additional arbitrator. If, within thirty (30) days following the expiration of the Resolution Period, anyparty has not appointed an arbitrator, the AAA shall, at the request of the other party, appoint an arbitrator on that parry's behalf. below. IN WITNESS WHERFOF, the parties hereto have executed this Agreement on the last date set forth .1f [Signatures on Following Pages) 30 SIGNATURE PAGE TO STATUTORY DEVELOPMENT AGREEN ENC AND OWNER PARTICIPATION AGREEMENT "Landlord" JAR -University Commons LLC . a California limited liability company By: Francis -University Commons LLC, Date. 0a c 6? a California limited liability company, Manager RVPUBIEVAP,%Mk716287.11 31 By: Richard B. Francis LLC, A California limited liability company, Manager BY: Name: J Francis Its: anager NOTARY ACKNOWLEDGMENT (Califomia All -Purpose Acknowledgment) STATE OF au / A ) ss. COUNTY OF S S ) On fp ` a oD3 �,, j I� ,t W�7j 2�beforeme, Il � L/47 I iP�/Af'l/,notarypublic, personally appeared 1� i ! Uk 1C , f'7 (%w l� 5 personally known to me (w preyed on o be the person(s) whose name(s) is/a a subscribed to the within instrument and acknowledged to me that helsk Ahey executed the same in his/he ir- authorized capacity(ies), and that by his/beMheir signature(s}on the instrument the petson(4 or the entity upon behalf of which the person(s) acte ecu the instrument. WITNESS my hand Signature ATTACHED TO: RVPUBLCYARNERl716287.11 SIGNATURE PAGE TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT ATTEST: By City Clerk APPROVED AS TO LEGAL FORM: BEST BEST & KRIEGER LLP By j4 yL 2t/ I .6 dllzt.&'w< City Attorney RtPUBXVARNER1716287.11 32 THE CITY OF AZUSA, a California municipal corporation / F. M Delacb City Manager NOTARY ACKNOWLEDGMENT (California All -Purpose Acknowledgment) STATE OF ) ss. COUNTY OF On 200 before mey1/tziC G O Zc i1 D notarypubliq personally appeared t D.�LaCL,Od;WAO�personallylmowntome (or proved to me on the basis of satisfactory evidence) to be the persono whose name ares cnbed to the within instrument and acknowledged to me thatpe she/they executed the same in ier/their authorized capacity( i ), and that by his/her/their signature on the instrument the perso), or the entity upon behalf of which the person(. acted, executed the instrument. WITNESS my hand and official seal. �1"- � Signature of Notary Public AT TO: CANDACE TOSCANO Commisda tf 7417186 -a Notary Pubfio - Ca I rnto Los Angeles County My Comm. Exphes May1 y 2007 RVPUB lKVARNER I X16187.1 l r SIGNATURE PAGE TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT AGENCY: THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public body, corporate and politic Date: G — / /' 0 7 By. Z& ,'F. M. Delach Executive Director ATTEST: 44 BY Agency Secretary ` APPROVED AS TO LEGAL FORM: BEST BEST & KRIEGER LLP By. tel✓ 9• Agency Counsel R IPUBWYARAUM16287.11 33 NOTARY ACKNOWLEDGMENT (California All -Purpose Acknowledgment) STATE OF Oa (FO(2ljtz�- ) } ss. COUN'T'YOFLos NOPItoS ) 7e On rp (? I clt rLa oil . ?AO befr personally appeared t- V( De LE6�-b( EeC2 iQ personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose namei(e subscribed to the within instrument and acknowledged to me tha&she/theyexecuted the same iLhhoher/their authorized capacity(�}`, and that b3(pier/their siguaiurexon the instrument the person�or the entity upon behalf of which the person( aeted, executed the instrument WITNESS my hand and official seal - Signature of Notary Public ATTACHED TO: CANDACETOSCANO ` Commission 9 1417186 -o... Notary Public - calitomio Los Angeles County QMy Comm. Uplres May 12, 2007 R VP VB LCURNal 716287.11 v EXI]IBIT "A-1" TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Legal Description of the Vacant Property) Xju RVPUBLIMAPNERIV 6287.11 PARCEL 2 COMMENCING AT THE NORTHWESTERLY CORNER OF SAID PARCEL 1; THENCE ALONG THE WESTERLY LINE OF SAID PARCEL I SOUTH 46°10'53" EAST A DISTANCE OF 173.26 FEET; THENCE SOUTH 00000'56" EAST A DISTANCE OF 287.99 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID WESTERLY LINE SOUTH 71055'32" EAST A DISTANCE OF 176.87 FEET TO THE BEGINNING OF A 420.0.0 FOOT RADIUS NON -TANGENT CURVE, CONCAVE EASTERLY, A RADIAL TO SAID POINT BEARS NORTH 80110'45" '\VEST; THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 09053'57", AN ARC LENGTH OF 72.56 FEET; THENCE SOUTH 00004'42" EAST A DISTANCE OF 100.10 FEET TO THE BEGINNING OF A 436.00 FOOT RADIUS CURVE, CONCAVE WESTERLY; THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 76035'22", AN ARC LENGTH OF 103.24 FEET, A RADIAL TO SAID POINT BEARS SOUTH 76°30'40" EAST; THENCE NORTH 89°58'40" EAST A DISTANCE OF 55.26 FEET; THENCE SOUTH 7I°51'20" EAST A DISTANCE OF 311.98 FEET; THENCE SOUTH 35°55'40" EAST A DISTANCE OF 69.85 FEET; THENCE SOUTH A DISTANCE OF 23.83 FEET; THENCE SOUTH 06039'32" EAST A DISTANCE OF 102.00 FEET; THENCE SOUTH 00°00' 10" WEST A DISTANCE OF 127.14 FEET TO A POINT ON THE SOUTHERLY LINE OF SAID PARCEL 1 OF PARCEL. MAP 14845; THENCE ALONG SAID SOUTHERLY LINE NORTH 89058'36" WEST A DISTANCE OF 151.63 FEET TO THE SOUTITEASTERLY CORNER OF PARCEL 2 OF SAID PARCEL MAP 14845; THENCE CONTINUING ALONG THE SOUTHERLY LINE OF SAID PARCEL 2 NORTH 89058'36" WEST A DISTANCE OF 402.80 FEET TO THE SOUTHWESTERLY CORNER OF SAID PARCEL 2; THENCE ALONG THE WESTERLY LINE OF SAID PARCEL 2'NORTH 00000'56" NEST A DISTANCE OF 447.38 FEET TO THENORTHWESTERLY CORNER OF SAID PARCEL 2; THENCE CON M,TUING ALONG SAID WESTERLY LINE OF PARCEL 1 NORTH 00°00'56_; WEST A DISTANCE OF 28286 FEET TO THE TRUE POINT OF BEGINNING,:.:~_?.,:;. CONTAINING 5.7773 ACRES GROSS. fjc p(`_ti EXIMIT "A-2" TO - STATUTORY DEVELOPMENT AGREEMEri"P AND OWNER PARTICIPATION AGREEMENT (Legal Description of the Shopping Center Property) EXHIBIT "A-2" RVPUBIKVARNERI 71M 7.11 _ P,40F 1 OF 2 PORTIONS OF PARCELS I AND 2OF PARCEL MAP 14845 RECORDED IN BOOK 153, PAGES I THROUGH 5 OF PARCEL, MAPS, FILED IN THE OFFICES OF THE COUNTY RECORDER OF THE COUNTY OF LOS ANGLES, STATE OF CALIFORNIA, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS AND ILLUSTRATED ON EXHMIT B ATTACHED HERETO AND MADE A PART OF THIS DOCUMENT: PARCEL REGINNMG AT THE NORTHWESTERLY CORNER OF SAID PARCEL 1; THENCE ALONG THE WESTERLY LINE OF SAD) PARCEL 1 SOUTH 46010'53" EAST A DISTANCE OF 173.26 FEET; THENCE SOUTH 00°00'56" EAST A DISTANCE OF 287.99 FEET; THENCE LEAVING SAID WESTERLY LINE SOUTH 71055'32" EAST A DISTANCE OF 176.87 FEET TO THE BEGINNING OF A 420.00 FOOT RADIUS NON -TANGENT CURVE, CONCAVE EASTERLY, A RADIAL TO SAID POINT BEARS NORTH 80°10'45" WEST; THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 09053'57, AN ARC LENGTH OF 72.56 FEET; THENCE SOUTH 00°04'42" EAST A DISTANCE OF 100,10 FEET TO THE BEGINNING OF A 436.00 FOOT RADIUS CURVE, CONCAVE WESTERLY; THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 76°35'22", AN ARC LENGTH OF 103.24 FEET, A RADIAL TO SAID POINT BEARS SOUTH 76°30'40" EAST; THENCE NORTH 89058'40" EAST A DISTANCE OF 55.26 FEET; THENCE SOUTH 71051'20" EAST A DISTANCE OF 311.98 FEET; THENCE SOUTH 35055'40" EAST A DISTANCE OF 69.85 FEET; THENCE SOUTH A DISTANCE OF 23.83 FEET; THENCE SOUTH 06°39'32" EAST A DISTANCE OF 102.00 FEET; THENCE SOUTH 00000'10" WEST A DISTANCE OF 127.14 FEET TO A POINT ON THE SOUTHERLY LINE OF SAID PARCEL 1 OF PARCEL MAP 14845; THENCE ALONG SAID SOUTHERLY LINE SOUTH 89058'36" EAST A DISTANCE OF 476.49 FEET TO THE SOUTHEASTERLY CORNER OF SAID PARCEL 1, SAID POINT LYING ON THE WES"I EY RIGHT-OF-WAY OF CITRUS AVENUE; THENCE ALONG SAID WESTERLY RIGHT-OF-WAY NORTH 00001'24" EAST A DISTANCE OF 779.16 FEET TO THE BEGINNING OF A 15.OD FOOT RADIUS CURVE, CONCAVE SOUTHWESTERLY; THENCE LEAVING SAID WESTERLY RIGHT-OF-WAY NORTHWESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL. ANGLE OF 81014'47", AN ARC LENGTH OF 21.17 FEET TO A POINT ON THE SOUTHERLY RIGHT-OF-WAY OF ALOSTA AVENUE, SAID POINT LYING ON A 2300.00 FOOT RADIUS REVERSE CURVE, CONCAVE NORTHEASTERLY, A RADIAL TO SAID POINT BEARS SOUTH 08°46'3T' WEST; THENCE NORTHWESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 24021'56", AN ARC LENGTH OF 978.10 FEET TO THE BEGINNING OF A 15.00 FOOT RADIUS CURVE, CONCAVE SOUTHWESTERLY, PAGE 2 Of 2 A RADIAL TO SAID POINT BEARS SOUTH 33°08'33" WEST; THENCE LEAVING SAID SOUTHERLY RIGHT-OF-WAY OF ALOSTA AVENUE WESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 33°09'29", AN ARC LENGTH OF 8.68 FEET; THENCE SOUTH 89°59'04" WEST A DISTANCE OF 229.10 FEET TO THE POINT OF BEGINNING. CONTAINING 16.9279 ACRES GROSS. -T.PO.B. - Pa 1 POC -Pa2 5_i30B_iY2VII9 N995904 E 76.46' C4 �� \ 6168' 34 61' LEGAL PESCRIP77ON PARCELS 1 AND 2 AS SHOMV ON PARCEZ MAP 1N BOOK 153 PACES 15 RECORDED IN THE COUNTY OF LOS AN02ES. CURIE TABLE NO. DELTA RA0111S LfNG711 C1 095357" 420.00' 72.55' 02 763522" 436.00' 103.24' C3 242156` 2300.09' 97910' C4 33x929" 1500' 8.69' 05 817447" 1500 21.17' C6 I 31:34' 2250.00' 100240' -T.PO.B. - Pa 1 POC -Pa2 5_i30B_iY2VII9 N995904 E 76.46' C4 �� \ 6168' 34 61' LEGAL PESCRIP77ON PARCELS 1 AND 2 AS SHOMV ON PARCEZ MAP 1N BOOK 153 PACES 15 RECORDED IN THE COUNTY OF LOS AN02ES. LEGEND P.O.C. POINT OF i5'OWM-7VCi5VfWT T.P.O.B. TRUE PO1NT OF BEGINNING c — — — EX/STING PARCLZ L1NE PROPOSED PARCLZ L/A 77.31' Fiahael D. Levii Exp. 6-30-07 73737471 MIMIM-TSa FT. ' IFOF CA1�4�` rPO.B. 16.9179 !, 70MINET AOFES PGY 2 15 8624 -021 -Old O1L; 021 23.54' C5 I 2 = SHEET 2 FOR GENERAL lla�N607_O_AS_ oh \ c� NOTES N f� ` ��` ( EASEMENT 185.37' 184.25' 9 LEGEND ND /6 d 3v QR' A'�i��¢6 3iiy8 o`sy BGY/N0.4RY ,� E�7SlING € ?8 BOUNDARY } PARCEL Z f^ a N06;T9a2%Y 251,659.97 W=1 NET so f7. o � 5 777 MOSSAET AMES I = 8ff2�f-O21-016. MOV070E I /f5>s�' Ij127.14' ZON/NG 189:58361Y 10W..9Z ZONING PER PE CITY O'" AZIISA'S PUMAG &7AFMWT. Zoll, ZONING FOR THIS SITE" IS IN 77C 6 IIERSI7Y DISTRICT 234.22 LINE TABLE NO. BEAR/NG LEMON L1 NB956'40 E 55.26' L2 N355540"W 69.85' L3 NORTH 23.83' 14 N467053"W 173.26' L5 N7155'32"W 176.87 L6 N000442V 100.19' LEGEND P.O.C. POINT OF i5'OWM-7VCi5VfWT T.P.O.B. TRUE PO1NT OF BEGINNING c — — — EX/STING PARCLZ L1NE PROPOSED PARCLZ L/A 77.31' Fiahael D. Levii Exp. 6-30-07 73737471 MIMIM-TSa FT. ' IFOF CA1�4�` rPO.B. 16.9179 !, 70MINET AOFES PGY 2 15 8624 -021 -Old O1L; 021 23.54' C5 I 2 = SHEET 2 FOR GENERAL lla�N607_O_AS_ oh \ c� NOTES N f� ` ��` ( EASEMENT 185.37' 184.25' 9 LEGEND ND /6 d 3v QR' A'�i��¢6 3iiy8 o`sy BGY/N0.4RY ,� E�7SlING € ?8 BOUNDARY } PARCEL Z f^ a N06;T9a2%Y 251,659.97 W=1 NET so f7. o � 5 777 MOSSAET AMES I = 8ff2�f-O21-016. MOV070E I /f5>s�' Ij127.14' ZON/NG 189:58361Y 10W..9Z ZONING PER PE CITY O'" AZIISA'S PUMAG &7AFMWT. Zoll, ZONING FOR THIS SITE" IS IN 77C 6 IIERSI7Y DISTRICT 234.22 Ah zIOU LU 65.95' IOU LU oa• - - —40.00' 284.68' 0 200 400 E30MIT "B-1^ TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Map of the Vacant Properly) RVPUBV:VAIN&R1716287.11 ENGINEERING b VACANT PROPERTY EXHIBIT B-1 EJHMIT `B-2" TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Map of the Shopping Center Property) 11: RYFU8 ),ARNERV16287.11 1�asSHOPPING CENTERS �iarr ENGINEERING B'2 EXMBTT "C -i" TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Development Plan for Shopping Center Project) Tentative Parcel Map No. 68355 Code Amendment ZCA-222 and Z-2006-01 Design Review No. DR 2006-02 and 2006-103 Minor Use No.(s) MUP 2006-27 (offsite sale of liquor - Building "C-) 13:0:1%RIAM1i RVPUBWVARNER1716287.11 4i i 11 z ch m If o) ji z G) in lif 41; mmu mil Y;V; rn Fp , if m G) .......... z ch m If o) ji z G) mmu mil TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Master Phasing Plan) RVPVBI DXRNER {776287.T I EXMIT "D-1" TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Description of Street Improvements) EXHIBIT D -I DESCRIPTION OF STREET IMPROVEMENTS Roadway improvement shall consist of the Engineering, Construction Management and Construction of a dedicated roadway extension of Fenimore Ave. on the south, northerly to and including a join with Alosta Ave. Engineering and construction shall be performed and completed to the approval of the City Engineer. Work shall include but not be limited to the construction of the following: Curb, gutter, sidewalk, asphalt concrete pavement, base material, grading and excavation of the roadway, street ligbts, signage, pavement markings and signage, Sanitary Sewer, Water Distribution, Cas, Eleenieal, Cable TV, street trees, landscaping and other appurtenances for proper development of the Project. Engineering and Construction Criteria: 1. Engineering and Construction shall be performed in accordance with the Standard Specifications for Public Works Construction, latest edition. 2. Standard Plans of the City of Azusa, including R-1, Street Sections. 3, The Standard Plans for Public Works Construction. 4. Roadway width shall be approved by the Los Angeles County Fire Department S. Engineering shall include a smooth transition from existing Fenimore Ave. (46 feet wide curb to curb) on the south to an approved width ( 36 feel wide curb to emt or a width w approved by L.A.Ce. Hire Department). 6. Roadway alignment shall provide for maneuverability and turning radii for trucks servicing the Foothill Center. 7. Signage and traffic striping shall be in accordance with the Manual on Uniform Trnffcc Control Devices. See attached Drawing D-1 A. 4.111 1111 RVPf7BTJ'ARNER17I6287.11 � 1 TO STATUTORY DEVELOPMENT AGREEMENT AND OR'NER PARTICIPATION AGREEMENT (Map Depicting Location of Street Improvements) R VP UB I KT IARNER 171628 7 11 FOOTHILL CENTER R/W R/W 52' .*, Cg May be 30'wf cer'{'ai" 1000410 s —B=3G' if gPPrwed 1n writ r� �y�Jkc°Fp) � f (MAY VARY) (MAY VARY) a Iv 3 y T� TO BE APPROVED BY LOS ANGELES COUNTY FIRE DEPARTMENT PAVEMENT THICKNESS TO BE DETERMINED FROM SO R INVESTIGATION . MINIMUM, 3' ASPHALT CONCRETE OVER 4^ CRUSHED AGGREGATE BASE PROPOSED EXTENSION FENIMORE AVENUE �. EXHIBIT D-tA it REF: CITY STANDARD PLAN R-1 F.Imm env sna�i� EXHIBIT "E" TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Covenants, Conditions & Restrictions) RVPVBWVARNER 1716187.11 Recorded at request of: City of Azusa When recorded return to: City of Azusa 213 East Foothill Boulevard Azusa, CA 91702-1395 Attention: City Clerk Space Above for Use by Recorder Only Exempt from Recording Fees Per Gov't Code §27383 THE CITY OF AZUSA AND THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA DECLARATION OF OR'NER OCCUPANCY COVENANTS, CONDITIONS AND RESTRICTIONS THIS DECLARATION OF OWNER OCCUPANCY COVENANTS, CONDITIONS, AND RESTRICTIONS (this "Declaration") is dated as of J)acmhtr 4,1-006 , and entered into by and among JAR -UNIVERSITY COMMONS, LLC, a California limited liability company ("Developer"), the CITY OF AZUSA, a California municipal corporation ("City') and the REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public body corporate and politic ("Agency"), with reference to the following recited facts (each, a "Recital'): RECITALS A. The city council of the City ("City Council") approved and adopted the redevelopment plan ("Redevelopment Plan') for the redevelopment project area known as the "Merged Central Business District Redevelopment Project Area" ("Project Area"). B. The governing board of the Agency ("Governing Board') has adopted an implementationplan ("Implementation Plan") for the Redevelopment Plan and is engaged in activities necessary to execute and implement the Redevelopment Plan pursuant to California Community Redevelopment Law (Health and Safety Code Section 33000 et seg.) ("CRL"). C. The Developer owns certain real property within the boundaries of the City and within the Project Area that is vacant ("Vacant Property') as more particularly described in Exhibit "A-1" and shown on Exhibit "B-1" attached to this Declaration and incorporated into this Agreement by this reference. The Developer has proposed to develop the Vacant Property as a residential project ("Residential Project'). EXHIBIT "E° RUUMVARNER1716287.11 "------ D. The Developer, the City and the Agency agree that the Vacant Property shall be restricted as specifically provided in:this Declaration for the benefit of the Project Area. NOW, THEREFORE, FOR GOOD AND VALUABLE CONSIDERATION AND THE COVENANTS, CONDITIONS AND RESTRICTIONS SET FORTH IN THIS DECLARATION, THE DEVELOPER, THE CITY AND THE AGENCY AGREE, AS FOLLOWS: 1.1 Covenants to Run with the Land The Developer, the City and the Agency declare their mutual, specific intent that this Declaration firtbers the development of owner -occupied, single family, attached, residential housing within the Project Area The Developer, the City and the Agency also declare their mutual, specific intentthat each and every one of the provisions of this Declarationtouch andwncernthe Vacant Property and shall be covenants mmiting with the land of the Vacant Property that shall pass to and be binding upon the Vacant Property and each successive owner of the Vacant Property for the benefit of the City and the Agency regardless of whether the City or Agency own or continue to own any property in the Project Area The Developer expressly assumes the duty and obligation to perform meb of the covenants and to honor each of the agreements, reservations, restrictions and conditions set forth in this Declaration. If Developer transfers the Vacant Property, then Developer shall thereby be released from any further obligations hereunder arising from and after the date of transfer, provided that the transferee either agrees in writing to be bound, or is otherwise legally obligated to be so bound, by the obligations of"Developer" hereunder arising from and after the transfer date. 1.2 Conditions. Restrictions and Requirements re: Leasing of Units; Parkk no Restrictions. An owner of a residential unit ("Unit') in the Residential Project who desires to lease his/herlits Unit shall be permitted to do so only upon compliance with all of the following:: 1.2.1 No Unit maybe leased for transient, hotel, or dormitorypunposes (ie. for periods less than twelve (12) calendar months). 1.2.2 An owner may only lease its entire Unit and may -not sublease portions of the Unit to separate tenants. No more than two (2) private vehicles belonging to the owner and /or the teoant(s) under any such lease can be parked at the Residential Project in owner designated garages. Parking on Fenimore Avenue, between Haltem Street and Alosta Avenue, shall be restricted to guest parking and subject to time limitations imposed by the City of Azusa from time to time. No paining on Fenimore Avenue, between Halter Street and AlostaAvenue, shall beallowed between the hours of2aim. and 6am. Temporary ovemightparkingshalibe allowed on Fenimore Avenue between Hahem Street and Alosra Avenue with a permit from the Cityof Azusa Police Department Parking for long-term visitors and guests shall be subject to the same restrictions and requirements as owners'henants' parking. 13 Recordation of Declaration. The Developer shall or shall cause the recordation of this Declaration against the Vacant Property, which uvill be senior to all non -statutory liens and encumbrances against the Vacant Property. Each and every contract, deed or other instrument executed regarding the Vacant Property or.any interest in the Vacant Property, following the date of recordation of this Declaration in the official records of the Recorder of the County ofLos Angeles, California, shall conclusively be deemed to have been executed, delivered and accepted subject to this Declaration, regardless of whether this Declaration is set forth in or referenced in such contract, deed or other instrument RVPURTMARNER716287.11 V IA Incorporation of Recitals. The Recitals of fact preceding this Declaration are true and correct and are incorporated into this Declaration in their entirety by this reference. 1.5 Notices. Demands and Communications Between the Parties. 15.1 Any and all notices, demands or communications submitted by any party to another party pursuant to or as required by this Declaration shall be proper, if in writing and dispatched by messenger for immediate personal delivery, by a nationally recognized overnight delivery service or by registered or certified United States Mail, postage prepaid, retwnreceipirequested, to the address oftbe Developer, the City or the Agency, as applicable, as designated in Section 1.5.2. Such written notices, demands or communications may be sent in the same manner to such other addresses as any patty may from time to time designate. Any such notice, demand or communication shall be deemed to be received by the addressee, regardless of whether or when any return receipt is received by the sender or the date set forth on such return receipt, on the day that it is delivered by personal delivery, on the date of delivery by a nationally recognized overnight delivery service or four (4) business days after it is placed in the United States Mail, as provided in this Section 0. 15.2 The following arethe authorized addresses for the submission of notices, demands or communications to the Parties: To Developer: JAR- university Commons, LLC do Trachman Indevco, LLC 1801 Century Park Fast, Suite 1040 Los Angeles, CA 90067 Attention: Andrew Trachman, President To City. The City of Azusa 213 Fast Foothill Boulevard Azusa, CA 91702-1395 Attention: City Manager To Agency: The Redevelopment Agency of Ile City of Azusa 213 East Foothill Boulevard Azusa, CA 91702-1395 Attention: Executive Director 1.6 No Intended Third Party Beneficiaries. The Parties do not intended to create anyrights for, in favor of or on behalf of any person or entityby entering into this Declaration, other than the parties themselves. 1.7 Conflict of interest. No member, official or employee of the Agency having any conflict of interest, direct or indirect, related to this Declaration shall participate in any decision relating to this Declaration. The parties represent and warrant that they do not have knowledge of any such conflict of interest, as of the date of this Declaration. 1.8 Warranty ArrainstPayment ofConsideration for Declaration. The Developer warrants that it has not paid or given, and will not pay or give, any third parry any money or other consideration for obtaining this Declaration. Thiel parties, for the purposes of this Section 1.8, shall notincludepetsonsto-whom fees are paid for professional services, ifreadered,by attorneys, financial consultants, accountants, engineers, architects and the like when such fees are considered necessary by the Developer. EXMIT "E" RVPUB"ARA'ER1716287.11 Ate_ 1.9 GoveminzLbw.. This Declaration shall be governed by the lams of the State of California applicable to contracts made by residents of the State of California and to be performed in the State of California, without application of such laws' conflicts of laws principles. The parties acknowledge and agree that this Declaration has been entered into in the City of Azusa, County of Los Angeles, State of California, is to be performed in such city and relates to real property located in such city. 1.10 Binding on Successors and Assigns. This Declaration shall be binding upon and sball inure to the benefit of the parties and their respective successors and assigns. 1.11 Partial Invalidity Severability. If all or any portion of any term or provision of this Declaration or the application of all or anyportion of any term orprovision of this Declaration to anyperson or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Declaration, or the application of all or any portion of such tern or provision to persons or circ stances, other than those as to which it is held invalid or unenforceable, shall not be affected, and each such term and provision of this Declaration shall be valid and enforced to the fullest extent permitted by law. 1.12 Entire Agreement This Declaration shall be executed in three (3) counterpart originals, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument This Declaration integrates all of the terms and conditions mentioned in this Declaration or incidental to this Declaration, and supersedes all negotiations or previous agreements between the parties with respect to the Vacant Property and the other subjects addressed in this Declaration. None of the terms, covenants, agreements or conditions set forth in this Declaration shall be deemed to be merged with any deed conveying title to the Vacant Property, and this Declaration shall continue in frill force and effect before and atter any such conveyances. All waivers of the provisions of this Declaration and all amendments to this Declaration which materially affect a party's rights or benefits must be in writing and signed by the party waning or amending any right or benefit it has under this Declaration. 1.13 Time of the Essence. For each provision of this Declaration that states a specific amount of time within which the requirements of such provision are to be satisfied, time shall be deemed to be of the essence. THIS DECLARATION is executed by the Developer, the City and the Agency on the dates indicated next to the signature(s) of each of them or their authorized representative(s), below: DEVELOPER-- Date:—)- EVELOPERDate:L ' J! -(J7 By Date: By CITY: Date: Z 2 / ' O By 6 \ C kw n'— Diane Chagnon, Mayor ij AGENCY: EXHIBIT "E" AYPUBTTARNER1716287.11 -""� Date: ( ' By.wt' , [ALL SIGNATURES MUST BE NOTARY ACKNOWLEDGED] EXAIBIT "E" RVPUBIKPdRNERV16187.11 �/' NOTARY ACKNOWLEDGMENT (California All -Purpose Acknowledgment) STATE OF (Ui <M ) ss. COUNTY OF C ) Ono[ ! l -,200PSe�foreme, I ( I @A—j1t*-J otarypublic, personal}yappeared �Ib{ ILS ryc l�jCl S , personallyknowntome4ogpFeued. to be the person(4whose name(s)is/are subscribed to the within instrument and acknowledged to me that h&4he4in executed the samela a hist' authorized capacity(je -) and that by hisim"their siguatare(s�on the instrument the person f S), or the entity upon behalf of which the WITNESS my h, ATTACHED TO: %owl AMM 6�kAyWW:7et. 26,20 ffiPUBWTARNM71b287.11 rpt' NOTARY ACHIVOWLEDGMENT (California All -Purpose Acknowledgment) STATE OF (" a t t�-PPI)t a ) COUNTY OF Ak ) ss. ss. Ong 6eu f ci 20 before m > >7 f �� � � C�ZiLC� Lox�hy>notarypublic, personally appeared DizthP ('Aac umu1 M4,et'L, personallyknowntome(orproved to me on the basis of satisfactory evidence) to be the person whose name(4are subscribed to the within instrument and acknowledged to me that bsh y executed the same in his heir authorized capacity(ie4, and that byhis eir sign;mnr �on the instrument the pwson(p/or the entity upon behalf of which the perso ) acted, executed ((the instrument. / WITNESS my hand and official seal - Signature of Notary Public ATTACHED TO: I�/CQ � G/'! Q/' OGUNe/lL, �C[lfaA/t e��41�'%IGc6; �7�G ' CANDACE TOSCANO ComM=I' # 7 4177 B6 v Not., Public - Catitomia _ ,. LM le County MyComm. ExPhes May 12, 2007 RVPVBEVARATR17J6197.1 J NOTARY ACKNOWLEDGAMW (California All -Repose Acknowledgment) STATE OF( cItrQeOt ( ) COUNTY OF LOS Wh C I S } ss �o- On 20) before me,(I (O�0-14D , notarypublic, personaIiyappeared 'R'f UEt S } fl, �elaei�= personally known tome (orproved to me on the basis of satisfactory evidence) to be the persono whose nameksure subscribed to the within instrument and acknowledged to me "She/they executed the same 'in- erhheir authorized capacity(' , and that b)(ierhheir signature(,�on the instrument the person or the entity upon behalf of which the person acted, executed the instrcmment. WITNESS my hand and official seal. Signature of Notary Public ATTACHED TO:e(�iZr��lUyi LC I� Cde e S iA C_%/Y9 /-YI b I-"5 (� CANDACE7QSCANp Commission 147 71 ad Notary PUNIC • Cantornla . Eos Angeles County - tvtyComm: Exphestrlay 12,2007 RYPUBWYARNERV16297.11 EMMIT A -I TO DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS (Legal Description of Vacant Property) Exhibit A to Declaration of Covenants RVPUBWVARNER1716287.11 PARCEL 2 COMMENCING AT THE NORTHWESTERLY CORNER OF SAID PARCEL 1; THENCE ALONG THE WESTERLY LINE OF SAID PARCEL 1 SOUTH 46010'53" EAST A DISTANCE OF 17326 FEET; THENCE SOUTH 00°00'56" EAST A DISTANCE OF 287.99 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID WESTERLY LINE SOUTH 71055'32" EAST A DISTANCE OF 176.97 FEET TO THE BEGINNING OF A 420-00 FOOT RADIUS NON -TANGENT CURVE, CONCAVE EASTERLY, A RADIAL TO SAID POINT BEARS NORTH 80°10'45" WEST; THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 09053'57", AN ARC LENGTH OF 7256 FEET; THENCE SOUTH 00004'42" EAST A DISTANCE OF 100.10 FEET TO THE BEGINNING OF A 4136.00 FOOT RADIUS CURVE, CONCAVE WESTERLY;, THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 76035'22", AN ARC LENGTH OF 103.24 FEET, A RADIAL TO SAID POINT BEARS SOUTH 76°30'40" EAST; THENCE NORTH 89°58'40" EAST A DISTANCE OF 55.26 FEET; THENCE SOUTH 71°51'20" EAST A DISTANCE OF 311.98 FEET; THENCE SOUTH 35°55'40" EAST A DISTANCE OF 69.85 FEET; THENCE SOUTH A DISTANCE OF 23.83 FEET; THENCE SOUTH 06039'32" EAST A DISTANCE OF 102-00 FEET`, THENCE SOUTH 00°00' 10" WEST A DISTANCE OF 127.14 FEET TO A POINT ON THE SOUTHERLY LINE OF SAID PARCEL i OF PARCEL MAP 14845; THENCE ALONG SAID SOUTHERLY LINE NORTH 89058'36" WEST A DI.STANCE OF 151.63 FEET TO THE SOUTHEASTERLY CORNER OF PARCEL 2 OF SAID PARCEL MAP 14845; THENCE CONTINUING ALONG THE SOUTHERLY LINE OF SAID PARCEL 2 NORTH 89058'36" WEST A DISTANCE OF 402.80 FEET TO THE SOUTHWESTERLY CORNER OF SAID PARCEL 2; THENCE ALONG THE WESTERLY LINL OF SAID PARCEL 2 NORTH 00000'56" WEST A DISTANCE OF 447.38 FEET TO THE NORTHWESTERLY CORNER OF SAID PARCEL 2; THENCE CONTIN'UTNG ALONG SAID WESTERLY LINE OF PARCEL I NORTH 00000'56" WEST A DISTANCE OF 287.86 FEET TO THE TRUE POINT OF BEGiI�R LING =:` CONTAININ17G 5.7773 ACRES GROSS. i EXHIBIT B -I TO DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS (Map of Vacant Property) Exhibit B to Declaration of Covenants RPPUBiLMP. kl716267.11 SCALE: MS AdamsENGINEERING I— - v.nr Ima. n,w . Gljf.e G -fm41 M -915D .XISTING 99¢ VACANT PROPERTY I EXHIBIT B-1 FJOMIT "F -l" TO STATUTORY DEVELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Prohibited Land Uses) 1. Pawn Shops 2. Adult Businesses 3. Retail Sex Shops ('lotions and lace" types) 4. Flea Markets/Swap Meets 5. Laundromats 6. Dry Cleaning Plants 7. Retail Gun Shops 8. Tattoo Parlors 9. Churches and other non-profit organizations wholly or partially exempt from the payment of property takes FaRlIIS RVPUB"AMM716287.11 EXHIBIT "F-2" TO STATUTORY DE4'ELOPMENT AGREEMENT AND OWNER PARTICIPATION AGREEMENT (Restricted Land Uses) 1. Dental and Medical Doctors' Offices 2. All office uses except accessory office use 3. Banks and all uses listed as personal services in the City of Azusa Development Code (barber and beauty shops; clothing rental; dry cleaning pick-up stores with limited equipment; home electronics/small appliance repair, locksmiths; licensed, therapeutic and non -sexual massage business; pet grooming with no boarding; sboe repair shops; tailors; spas; and tanning salons) R VPUBWVARNERI 71628 7. 11