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2006 Nispero Properties, Inc. - Development AgreementRECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk DOC # 2006-0261303 04/ 12/20p06ge08 :0 0 60Fee : NC Recorded in Official Records County of Riverside Larry W. Ward Assessor, County Clerk & Recorder 11111111111111111111111111111111111111111111111111111 MIMM ONE MEN Ur --- L -M I♦ 1111J -X.AV L%JA --A- v --- (Exempt from Recording Fee per Gov't Code § 6103) I DEVELOPMENT AGREEMENT BY AND AMONG THE CITY OF LA QVINTA ("CITY") THE LA QVINTA REDEVELOPMENT AGENCY ("AGENCY") AND NISPERO PROPERTIES, INC. A CALIFORNIA CORPORATION ("DEVELOPER") c 2156/015610-0088 669968.04 a02/09/06 DEVELOPMENT AGREEMENT This Development Agreement (the "Agreement") is entered into as of the.3/�rday of 2006 ("Reference Date"), by and among the CITY OF LA QUINTA, a California municipal corporation and charter city (the "City"), the LA QUINTA REDEVELOPMENT AGENCY, a public body, corporate and politic (the "Agency" and, collectively with the City, the "City Entities") and NISPERO PROPERTIES, INC., a California corporation (the "Developer"), with reference to the following: RECITALS A. Government Code Sections 65864-65869.5 (the "Development Agreement Act") authorize the City to enter into a binding development agreement for the development of real property within its jurisdiction with persons having legal or equitable interest in such real property. B. Pursuant to Section 65865 of the Government Code, the City has adopted its Development Agreement Ordinance (La Quinta Municipal Code Section 9.250.030) establishing procedures and requirements for such development agreements ("Development Agreement Ordinance"). C. Developer owns the 0.72 acre parcel of real property ("Site") located at the northwest corner of Avenida La Fonda and Main Street, in the City of La Quinta, County of Riverside, State of California, which Site is legally described in Exhibit "A" attached hereto, and which is the subject of this Agreement. a D. Prior to the execution of this Agreement, the City approved Village Use Permit CU a No. 2005-032 (the "VUP"), subject to conditions of approval. The VUP provides planning and CCUCU development criteria for a proposed project on the Site (the "Project"). The Project will consist 433 `"' � of the development of the Site with a proposed 19, gross square foot structure intended for general uses, including 935 square feet of space for a coffee bar; the first floor will contain approximately 9,470 square feet of gross floor area as office and coffee bar uses and the second floor will contain 9,963 square feet of gross floor area as general office uses. A 49-space parking lot will occupy the remainder of the Site. The building will be generally situated on the north portion of the Site, with the front of the building facing Avenida La Fonda. The VUP is known as the "Development Plan". E. The City's Municipal Code requires that a total of 68 parking stalls be provided to service the Project. The Site is situated such that only 49 of the 68 required parking stalls are available for the Project. The Project requires an additional 19 parking stalls. To fulfill the remaining parking requirements for the Project, the VUP was conditioned on the Developer entering a development agreement with the City Entities to require the Developer to pay a parking fee in exchange for the City crediting 19 parking stalls in- the Agency -owned parking lot (which lots is located at the northwest corner of Avenida Bermudas and Avenida Montezuma, in the City of La Quinta, County of Riverside, State of California) which parking lot is legally described in Exhibit "B" attached hereto (the "Agency Parking Lots") towards fulfilling the Project's parking obligation of providing 68 parking stalls. The Agency Parking Lot is located in close proximity to the Site and is within close walking distance of the Site. The conditions of the 2156/0.15610-0088 669968.04 a02/09/06 1 VUP further permit the Developer a one -for -one credit for any street parking spaces created on Main Street, pursuant to the City Public Works Department's and Community Development Director's approval of a street improvement plan conforming to City Municipal Code requirements. In the event that on -street parking is created pursuant to an approved street improvement plan, then the number of stalls credited from the Agency Parking Lots will be reduced on a one -for -one basis (i.e., the 19 stalls credited will be reduced on a one -for -one basis against street parking spaces created) and the fee will be reduced to account for the credited street parking spaces. In the event that street parking spaces are provided then the parties shall execute and record the Memorandum of Development Agreement Off -Site Parking Space and Fee Reduction attached hereto as Exhibit H. The parties to this Agreement agree and acknowledge that the Agency is entering this Agreement for the sole and exclusive purposes of providing its consent, as provided in Section 2.4.1, to the crediting of 19 parking stalls on the Agency Parking Lots towards the Project's parking and for no other purpose. Without limiting the City's use of these fees, it is intended that the fees paid by the Developer shall be used to add or provide additional parking in the future. F. The Development Plan also requires, in addition to the fee described above, and as consideration for the City crediting 19 parking stalls in the Agency Parking Lots towards the Project's parking obligation, that the City and Developer enter an agreement providing that the parking stalls located on the Site shall be available for use by the general public during hours when the on -Site businesses are closed. G. Consistent with Section 9.250.030 of the La Quinta Municipal Code, the parties m desire to enter into a binding agreement for purposes of (i) setting forth a per -parking stall up - ,ow m front payment for the Developer's payment to the City of certain fees that the parties agree are Gncu Gn % designed to compensate the City for (A) the crediting of 19 parking stalls located in the Agency It Parking Lot towards fulfilling the Project's parking obligation; and (B) the potential added wear and tear on the municipal infrastructure which will result from the Development Plan and the crediting of the parking stalls in the Agency Parking Lots; (ii) requiring the Developer and its successors -in -interest to provide public parking on the Site; and iii granting Developer a vested p p p g (...) g g p right to develop the Site according to the Development Plan. F. Among other purposes, this Agreement is intended to be, and shall be construed as, a development agreement within the meaning of the Development Agreement Act. This Agreement will eliminate uncertainty in planning for and secure the orderly development of the Project, ensure a desirable and functional community environment, provide effective and efficient development of public facilities, infrastructure, and services appropriate for the development of the Project, and assure attainment of the maximum effective utilization of resources within the City, by achieving the goals and purposes of the Development Agreement Act. In exchange for these benefits to City, Developer desires to receive the assurance that it v may proceed with development of the Project in accordance with the terms and conditions of this Agreement and the Development Plan, all as more particularly set forth herein. G. The City Council has determined that the Project and this Agreement are consistent with the City's General Plan, including the goals and objectives thereof. H. All actions taken by City and Agency have been duly taken in accordance with all applicable legal requirements, including the California Environmental Quality Act (Public 2156/015610-0088 669968.04 a02/09/06 -2- Resources Code Section 21000, et seq.) ("CEQA"), and all other requirements for notice, public hearings, findings, votes and other procedural matters. I. On February 21, 2006, the City Council adopted its Ordinance No. 426 approving this Agreement. On February 21, 2006, the Agency adopted Resolution No. RA 2006-002 approving this Agreement for the sole and exclusive purpose of consenting to the crediting of 19 parking stalls located on the Agency Parking Lots towards fulfilling the Project's parking obligations. AGREEMENT NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein and other good and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the parties do hereby agree as follows: 1.0 GENERAL. l . l Term. The term of this Agreement (the "Term") shall commence on the Effective Date hereof and shall continue for ten (10) years thereafter, unless said term is otherwise terminated, modified, or extended by circumstances set forth in this Agreement or by mutual consent of the VIP 0 0 parties hereto after the satisfaction of all applicable public hearing and related procedural 0 co W a requirements. CD 0 co CU C 1.2 Effective Date. m This Agreement shall be effective, and the obligations of the parties hereunder shall be effective, as of March 20, 20069 which is the date that Ordinance No. 426 takes effect ("Effective Date"). _ 1.3 Amendment or Cancellation. Except as expressly stated to the contrary herein, this Agreement may be amended or canceled in whole or in part only by mutual consent of the parties and in the manner provided for in Government Code Section 65867-65868 and the City's Development Agreement Ordinance. 1.4 Termination. Unless terminated earlier, pursuant to the terms hereof, this Agreement shall automatically terminate and be of no further effect upon the expiration of the Term of this Agreement. Termination of this Agreement, for any reason, shall not, by itself, affect any right or duty arising from entitlements or approvals set forth under the Development Plan, as defined in Section 2.1, below. 1.5 Incorporation of Recitals. The recitals are hereby incorporated into this Agreement. 2156/015610-0088 669968.04 a02/09/06 -3- 2.0 DEVELOPER'S RIGHTS AND LIMITATIONS REGARDING CONSTRUCTION OF THE PROJECT. 2.1 Right to Develop. Subject to the terms, conditions, and covenants of this Agreement, Developer's right to develop the Project in accordance with the Development Plan (and subject to the conditions of approval thereof (the "Conditions of Approval") which, among other conditions of approval associated with future approvals and permits issued by the City, include but are not limited to the conditions of approval set forth in Exhibit "C" attached hereto) shall be deemed vested upon execution of this Agreement, which vesting shall expire upon the earlier of the following occurrences: (a) termination of this Agreement; or (b) an uncured material default by Developer of this Agreement. Except for the expiration set forth in clause (a) of the preceding sentence, the expiration of the vesting right set forth in the preceding sentence shall not terminate the obligations of Developer under this Agreement. Notwithstanding anything in this Agreement to the contrary, the Project shall remain subject to the following, to the same extent it would without this Agreement: (i) all ordinances, regulations, rules, laws, plans, policies, and guidelines of the City and its City Council, Planning Commission, and all other City boards, commissions, and committees existing on the Effective Date of this Agreement (collectively, the "Existing Development Regulations"); cr,IZO 0 (ii) all amendments or modifications to Existing Development Regulations CbC after the Effective Date of this Agreement and all ordinances, regulations, rules, laws, plans, CD � ni policies, and guidelines of the City and its City Council, Planning Commission, and all other 0 City boards, commissions, and committees enacted or adopted after the Effective Date of this Agreement (collectively, "New Laws"), except such New Laws which would prevent or materially impair Developer's ability to develop the Project in accordance with the Development Plan, unless such New Laws are (A) adopted by the City on a City wide -basis and applied to the Site in a non-discriminatory manner, (B) required by a non -City entity to be adopted by or applied by the City (or, if adoption is optional, the failure to adopt or apply such non -City law or regulation would cause the City to sustain a loss of funds or loss of access to funding or other resources), or (C) New Laws the City reserves the right to apply under this Agreement, including, but not limited to, Sections 2.2 and 3.3.4; (iii) all subsequent development approvals and the conditions of approval associated therewith, including but not limited to any further site development permits, tract or parcel maps, and building permits; (iv) the payment of all fees or exactions in the categories and in the amounts as required at the time such fees are due and payable, which may be at the time of issuance of building permits, or otherwise as specified by applicable law, as existing at the time such fees are due and payable; and (v) the reservation or dedication of land for public purposes or payment of fees in lieu thereof as required at the time such reservations or dedications or payments in lieu are required under applicable law to be made or paid. 2156/015610-0088 669968.04 a02/09/06 4 2.2 Additional Applicable Codes and Regulations. Notwithstanding any other provision of this Agreement, the City also reserves the right to apply the following to the development of the Project: 2.2.1 Building, electrical, mechanical, fire and similar building codes based upon uniform codes adopted in, or incorporated by reference into, the La Quinta Municipal Code, as existing on the Effective Date of this Agreement or as may be enacted or amended thereafter, applied to the Project in a nondiscriminatory manner. 2.2.2 In the event of fire or other casualty requiring construction of more than fifty (50%) percent of any building previously constructed hereunder, nothing herein shall prevent the City from applying to such reconstruction, all requirements of the City's Building, Electrical, Mechanical, and similar building codes based upon uniform codes adopted in, or incorporated by reference into, the La Quinta Municipal Code, solely to the extent applicable to all development projects in the City. 2.2.3 This Agreement shall not prevent the City from establishing any new City fees on a City-wide basis and applied to Site in a non-discriminatory manner, including new development impact fees, or increasing any existing City fees, including existing development impact fees, and to apply such new or increased fees to the Project or applicable portion thereof where such new or increased fees may be charged. 2.3 Permitted Density, Height and Use Limitations. The permitted uses, density and intensity of use, location of uses, maximum height and 0 size of proposed buildings, minimum setbacks, and other standards applicable to the Project shall CD� -- �° be those set forth in the Development Plan and this Agreement, whichever is the strictest. Cb%( CD � � 2.4 Credit of Parking Stalls in the Agency Parking Lots. In exchange for the full performance of the Developer's Obligations described in Section 3, the City shall credit the Developer with 19 parking stalls in the Agency Parking Lots, a�� which stalls shall be counted towards fulfilling the Project's parking obligations, subject to the reduction described below in Section 2.4.2 for street parking spaces created pursuant to an approved street improvement plan. This Agreement does not operate to create a conveyance, hypothecation, lease, license, sale or any form of transfer of an interest in the parking spots on public streets or the Agency Parkin Lots or an exclusive right to use parking stalls in the p g Y g Y g p g Agency Parking Lots. Developer shall have the same right to use parking spaces on the public street and in the Agency Parking Lots as members of the general public; provided, however, that Developer shall enforce a policy that encourages Project employees to park their automobiles at the Agency Parking Lots. 2.4.1 Agency Consent. Subject to the obligations of Developer as provided in this Agreement, Agency hereby consents to crediting 19 parking stalls in the Agency Parking Lots towards fulfilling the Project's parking obligations. 2.4.2 Reduction of Credited Parking Spaces. It is contemplated that the Developer's Site design may include the provision of street parking spaces on Main 2156/015610-0088 669968.04 a02/09/06 -5- Street, pursuant to an approved street improvement plan. In the event that street parking spaces are designed pursuant to a street improvement plan approved by the City Public Works Department and Community Development Director then Developer shall receive a one -for -one credit for any street parking spaces created. The number of stalls credited from the Agency Parking Lots will be reduced on a one -for -one basis (i.e., the 19 stalls credited will be reduced on a one -for -one basis against street parking spaces created) and the fee will be reduced to account for the credited street parking spaces. In the event that on -street parking spaces are provided on Main Street, pursuant to this Section 2.4.2 then the parties shall execute and record the Memorandum of Development Agreement Off - Site Parking Space and Fee Reduction attached hereto as Exhibit H. Any parking spaces created on Main Street pursuant to the VUP and an approved street improvement plan shall be unrestricted and available for use by the general public. 3.0 DEVELOPER'S OBLIGATIONS. 3.1 Conditions of Approval. The Developer shall comply with the Conditions of Approval attached hereto as Exhibit "B" as well as all other conditions of approval that have been or may be imposed. Developer acknowledges that additional conditions of approval beyond those set forth in Exhibit "C" may be applicable to the Project if and as associated with future Project approvals. 3.2 Acknowledgement of Satisfied Conditions. Prior to, and as a condition precedent of, the City's issuance of any building permit for the Project, and immediately following payment of the fees detailed in Section 3.3.2, the �IM0 O (D Developer shall submit to the City, obtain approval thereof, and record a memorandum 0 acknowledging the satisfaction of conditions (the "Memorandum") against the Site which, in Cb KZO CU addition to the obligations set forth in the Conditions of Approval, shall (i) acknowledge that cu such fees have been paid and that the parking obligation for the Project is fulfilled by the credit 19 parking stalls in the Agency Parking Lots or credit thereof with off -site parking; (ii) acknowledge that any parking spaces created on Main Street pursuant to an approved street improvement plan shall be unrestricted and available for use by the general public; and (iii) provide for the general public's use of Site parking stalls during times when the on -Site businesses are closed. The Memorandum shall be in a form and substance substantially similar to that of the Memorandum attached hereto as Exhibit "D". 3.3 No Parkin on n Public Library or Senior Center Areas. Developer agrees that it will not permit any of its employees, agents, representatives, invitees, licensees, lessees, or employees or patrons of its lessees to park in the parking areas of the La Quinta Public Library or the La Quinta Senior Center as depicted on Exhibit "G" attached hereto. Developer shall take all necessary actions to ensure compliance with this condition. Developer's breach of this Section 3.3 shall be a default under this Agreement. 2156/015610-0088 669968.04 a02/09/06 -6- 3.4 Payments to City by Developer. 3.4.1 General. During the Term of this Agreement, Developer shall make the payments to City described in this Section 3.4. The payments under this Section 3.4 are not the exclusive development impact fees for the Project, and nothing in this Section 3.4 shall be construed as a limitation on the right of the City to impose, levy, or assess the Site other development fees as permitted by applicable law and this Agreement. 3.4.2 Developer's Payments of Up -Front Parking Fees. Prior to, and as a condition precedent of, the issuance of any building permit for the Site, Developer shall pay or cause to be paid to the City the sum of $12,000.00 per parking space for each of the 19 parking stalls in the Agency Parking Lots being credited towards fulfilling the Project's parking obligations. The total amount of fees due under this provision prior to the issuance of any building permit for the Site shall be $228,000. This fee shall be paid in one lump sum without deduction or offset. However, if on -street parking spaces are provided in accordance with Section 2.4.2 above, then the fee paid pursuant to this section shall be reduced for each street parking space provided on Main Street. 3.4.3 City Parking Fee Study; Effect on Payment of Up -Front Parking Fees. CO0 Independent of Developer's obligations under this Section 3.3.2, the City may choose to Gn 0 W prepare a parking study to determine the per -parking stall parking fee to be applied to 0 0 development in the La Quinta Village area. If the City approves a parking fee within one year of co CU °° the Reference Date and the fee calculated pursuant to this parking study and approved by the {'-' 't City Council is less than $12,000 per parking stall, then the City shall, within a reasonable time 0 after the adoption of the fee by the City Council, reimburse to Developer that portion of the per space fee that exceeds $12,000. If the fee calculated pursuant to the parking study and approved �■ by the City Council is greater than $12,000 per parking stall, the Developer shall have no obligation under this Development Agreement to pay the increased amount. If the City chooses not to adopt a per -parking stall parking fee for the La Quinta Village area, the Developer shall have no right to seek a refund of the payment described in this Section 3.3.2. The City's obligation under this section to reimburse the Developer shall terminate within one year of the Reference Date. 3.4.4 Other Fees and Charges. Nothing set forth in this Agreement is intended or shall be construed to limit or restrict the City's authority to impose its existing, or any new or increased, fees, charges, levies, or assessments for the development of the Site, or to impose or increase, subject to the required procedure, any taxes applicable to the Site; provided nothing set forth herein is intended or shall be construed to limit or restrict whatever right Developer might otherwise have to challenge any fee, charge, levy, assessment, or tax imposed. Developer shall timely pay all applicable fees, charges, levies, assessments, and special and general taxes validly imposed in accordance with the Constitution and laws of the State of California, including without limitation school impact fees in accordance with Government Code §§ 65995, et seq. 2156/015610-0088 669968.04 a02/09/06 -7- 3.5 Dedications and Improvements. Developer shall offer such dedications to the City or other applicable public agency, or complete those public improvements in connection with the Project, as specified in the Development Plan and Conditions of Approval. 3.6 Public Use of Site's Parkin Stalls. Once constructed, the parking stalls located on the Site shall be available to the general public for use at all times that on -Site businesses are closed. Developer shall not erect or maintain entry gates, regulated access barriers or any other driveway barrier. Developer shall not erect or place any signage on the Site prohibiting public parking during times that on -Site businesses are closed. The parking lot on the Site shall be lighted in conformity with the La Quinta Municipal Code between dusk and 11:00 p.m. every day of the week. Additionally, if Developer creates any parking spaces on Main Street pursuant to the VUP and an approved street improvement plan then such spaces shall not be restricted by Developer in any way and shall be available for use by the general public. 3.7 Indemnification. (a) Developer agrees to and shall indemnify, hold harmless, and defend, the City and Agency and their respective officers, officials, members, agents, employees, and representatives (collectively, "the Indemnified Parties"), from liability or claims for death or personal injury and claims for property damage which may arise from the acts, errors, and/or omissions of the Developer or its contractors, subcontractors, agents, employees or other persons acting on its 0(0 behalf in relation to the Project and/or this Agreement, except to the extent that the liability or CU to 0 claims arise from the City's or the Agency's gross negligence or willful misconduct. The KZO% Gn foregoing indemnity applies to all deaths, injuries, and damages, and claims therefor, suffered or CU 0 alleged to have been suffered by reason of the acts, errors, and/or omissions referred to in this paragraph, regardless of whether or not the City prepared, supplied, or approved plans or specifications, or both, and regardless of whether or not any insurance policies are applicable. (b) Developer agrees to and shall indemnify, hold harmless, and defend, the _ Indemnified Parties from any challenge to the validity of this Agreement, the Memorandum , or to the City Entities' implementation of their rights under this Agreement; the Developer shall indemnify, hold harmless, pay all costs and provide defense for the Indemnified Parities in said action or proceeding with counsel chosen by the City. (c) In the event the Indemnified Parties are made a party to any action, lawsuit, or other adversarial proceeding in any way involving claims specified in paragraphs (a) or (b) above, Developer shall provide a defense to the Indemnified Parties, or at the Indemnified Parties' option, reimburse the Indemnified Parties their costs of defense, including attorney's fees, incurred in defense of such claim. The Indemnified Parties shall have the right to select legal counsel of their choice. In addition, Developer shall be obligated to promptly pay any final judgment or portion thereof rendered against the Indemnified Parties. The City Entities shall, at no cost to the City Entities, cooperate with the Developer in any such defense as Developer may reasonably request. 2156/015610-0088 669968.04 a02/09/06 -8- 4.0 CITY'S OBLIGATIONS & ACKNOWLEDGEMENTS. 4.1 Scope of Subsequent Review/Confirmation of Compliance Process. Nothing set forth herein shall impair or interfere with the right of the City to require the processing of building permits as required by law, pursuant to the applicable provisions of the La Quinta Municipal Code and the provisions of City's Fire Codes and ordinances, Health and Safety Codes and ordinances, and Building, Electrical, Mechanical, and similar building codes. Prior to each request for a building permit, Developer shall provide City with a Compliance Certificate ("Certificate"), in substantially the same form as that attached hereto as Exhibit "E", which shall describe how all applicable Conditions of Approval have been fully complied with. The Certificate shall be distributed to the relevant City departments in order. to check the representations made by Developer on the Certificate. 4.2 Project Approvals Independent. All approvals required for the Project which may be or have been granted, and all land use entitlements or approvals generally which have been issued or will be issued, by the City with respect to the Project, constitute independent actions and approvals by the City. If any provision of this Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid or unenforceable, or if this Agreement terminates for any reason, then such invalidity, unenforceability or termination of this Agreement or any part hereof shall not affect the validity or effectiveness of any such Project 2 To approvals or other land use approvals and entitlements. In such cases, such approvals and �, entitlements will remain in effect pursuant to their own terms, provisions, and the Conditions of {� co 4 0 0 Approval. It is understood by the parties to this Agreement that, pursuant to existing law, if this CD CU CD Agreement terminates or is held invalid or unenforceable as described above, such approvals and CU entitlements shall not remain valid for the term of this Agreement, but shall remain valid for the term of such approvals and entitlements. 4.3 Review for Compliance. The City shall review Developer's compliance with the terms of this Agreement at least once during every twelve (12) month period following the Effective Date of this Agreement, in accordance with the City's procedures and standards for such review set forth in the City's Development Agreement Ordinance. During such periodic review by the City, the Developer, upon written request from City, shall be required to demonstrate, and hereby agrees to furnish, evidence of good faith compliance with the terms hereof. The failure of the City to conduct or complete the annual review as provided herein or in accordance with the Development Agreement Act shall not impact the validity of this Agreement. If, at the conclusion of the annual review provided for herein, Developer has been found in compliance with this Agreement, the City, through the City's Community Development Director, shall, at Developer's written request, issue a Certificate of Compliance to Developer stating that (1) this Agreement remains in full force and effect and (2) Developer is in compliance with this Agreement. The Certificate of Compliance shall be in recordable form, and shall contain information necessary to communicate constructive record notice of the finding of compliance. Developer, at its option and sole cost, may record the Certificate of Compliance. 2156/015610-0088 _ n 669968.04 a02/09/06 _7 4.4 Satisfaction of VUP Condition. The City hereby acknowledges and agrees that full compliance with this Agreement, among other things, will constitute Developer's satisfaction and compliance with those portions of Condition 55 of the Conditions of Approval for the VUP approved by the City which relate to Developer's obligation to enter into a development agreement for the payment of parking fees and fulfillment of parking obligations. 5.0 DEFAULT; REMEDIES; DISPUTE RESOLUTION. 5.1 Notice of Default. In the event of failure by either party hereto substantially to perform any material term or provision of this Agreement, the non -defaulting party shall have those rights and remedies provided herein, provided that such non -defaulting party has first provided to the defaulting party a written notice of default in the manner required by Section 8.1 hereof identifying with specificity the nature of the alleged default and the manner in which said default may satisfactorily be cured. Without limiting the scope of what is considered "material," the parties agree that Developer's failure to perform any of the obligations contained in Section 3.0 shall be a material default. 5.2 Cure of Default. Upon the receipt of the notice of default, the alleged defaulting party shall promptly 0 OZO OD W commence to cure, correct, or remedy the identified default at the earliest reasonable time after receipt of the notice of default and shall complete the cure, correction or remedy of such default CbC : not later than five (5) days [or thirty (30) days for non -monetary defaults] after receipt of the CD CU notice of default, or, for such defaults that cannot reasonably be cured, corrected or remedied within five (5) days [or thirty (30) days for non -monetary defaults], such party shall commence to cure, correct, or remedy such default within such five (5) day period [or thirty (30) day period for non -monetary defaults], and shall continuously and diligently prosecute such cure, correction or remedy to completion. 5.3 City Remedies. In the event of an uncured default by Developer of the terms of this Agreement, the City, at its option, may institute legal action in law or in equity to cure, correct, or remedy such default, enjoin any threatened or attempted violation, or enforce the terms of this Agreement. In no event shall the City be entitled to consequential, exemplary or punitive damages for any Developer default. For purposes of this Agreement the term "consequential damages" shall include, but not be limited to, potential loss of anticipated tax revenues from the Project or any portion thereof. Furthermore, the City, in addition to, or as an alternative to, exercising the remedies set forth in this Section 5.3, in the event of a material default by Developer, may give notice of its intent to terminate or modify this Agreement pursuant to the City's Development Agreement Ordinance and/or the Development Agreement Act, in which event the matter shall be scheduled for consideration and review by the City Council in the manner set forth in the City's Development Agreement Ordinance or the Development Agreement Act. 2156/015610-0088 669968.04 a02/09/06 -1 0- 5.4 Developer's Exclusive Remedies. The parties acknowledge that the City Entities would not have entered into this Agreement if they were to be liable in damages under, or with respect to, this Agreement or any of the matters referred to herein including, but not limited to, the Development Plan, Conditions of Approvals, the Existing Development Regulations or any future amendments or enactments thereto, or the Project, except as provided in this Section. Accordingly, Developer covenants on behalf of itself and its successors and assigns, not to sue the City Entities for damages or monetary relief (except for attorneys' fees as provided for by Section 8.22) for any breach of this Agreement by the City Entities or arising out of or connected with any dispute, controversy, or issue between Developer and the City Entities regarding this Agreement or any of the matters referred to herein including but not limited to the application, interpretation, or effect of this Agreement, the Development Plan, the Conditions of Approval, the Existing Development Regulations or any future amendments or enactments thereto, or any land use permits or approvals sought in connection with the development of the Project or any component thereof, or use of a parcel or any portion thereof, the parties agreeing that declaratory and injunctive relief, mandate, and specific performance shall be Developer's sole and exclusive judicial remedies. 6.0 MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE. cr, 6.1 Encumbrances on the Project Site. This Agreement shall not prevent or limit the Developer from encumbering the Site or C "' � any portion thereof or any improvements thereon with any mortgage, deed of trust, sale and leaseback arrangement, or any other form of conveyance in which the Site, or a portion thereof or interest therein, is pledged as security, and contracted for in good faith and fair value (a "Mortgage") securing financing with respect to the construction, development, use or operation of the Project. 6.2 Mortgage Protection. This Agreement shall be superior and senior to the lien of any Mortgage. Notwithstanding the foregoing, no breach of this Agreement shall defeat, render invalid, diminish, or impair the lien of any Mortgage made in good faith and for value, and any acquisition or acceptance of title or any right or interest in or with respect to the Site or any portion thereof by a holder of a beneficial interest under a Mortgage, or any successor or assignee to said holder (a "Mortgagee") [whether pursuant to foreclosure, trustee's sale, deed in lieu of foreclosure, lease termination or otherwise] shall be subject to all of the terms and conditions of this Agreement. 6.3 Mortgagee Not Obligated. No Mortgagee will have any obligation or duty under this Agreement to perform the obligations of the Developer or other affirmative covenants of Developer hereunder, or to guarantee such performance, except that to the extent that any covenant to be performed by the Developer is a condition to the performance of a covenant by the City, the performance thereof shall continue to be a condition precedent to the City's performance hereunder. 2156/015610-0088 669968.04 a02/09/06 -11- 6.4 Notice of Default to Mortgagee; Right of Mortgagee to Cure. City shall, upon written request to the City, deliver to each Mortgagee a copy of any notice of default given to Developer under the terms of this Agreement, at the same time of sending such notice of default to Developer. The Mortgagee shall have the right, but not the obligation, within five (5) days [or thirty (30) days for non -monetary defaults] after the receipt of such notice from the City, to cure, correct, or remedy the default, or, for such defaults that cannot reasonably be cured, corrected, or remedied within five (5) days [thirty (30) days for non - monetary defaults], the Mortgagee shall commence to cure, correct, or remedy the default within such five (5) day period [or thirty (30) day period for non -monetary defaults], and shall continuously and diligently prosecute such cure to completion. If the default is of a nature which can only be remedied or cured by such Mortgagee upon obtaining possession of the Site, such Mortgagee shall have the right to seek to obtain possession with diligence and continuity through foreclosure, a receiver or otherwise, and shall be permitted thereafter to remedy or cure the default within such time as is reasonably necessary to cure or remedy said default but in no event more than thirty (30) days after obtaining possession. If any such default cannot, with diligence, be remedied or cured within such thirty (30) day period, then such period shall be extended to permit the Mortgagee to effect a cure or remedy so long as Mortgagee commences said cure or remedy during such thirty (30) day period, and thereafter diligently pursues and completes such cure. 7.0 TRANSFERS OF INTEREST IN SITE OR AGREEMENT. 7.1 Successors and Assigns. 0 Developer shall have the right to sell, transfer or assign the Site, or any portion thereof CU 0 ° (provided that no such transfer shall violate the Subdivision Map Act, Government Code N ~ 66410 et se to an person, partnership, joint venture, firm or corporation at an time during (ZO�, § � q•) Y p � p p� J � Y g the term of this Agreement; provided, however, that any such sale or transfer shall include, with respect to the Site or the portion thereof sold or transferred, the assignment and assumption, in a fully executed written agreement, in whole or in part, of the rights, duties and obligations of the Developer under the terms of this Agreement. Upon such sale, transfer or assignment, Developer shall, with respect to the Site or the portion thereof sold or transferred, be released from any further obligations under the terms of this Agreement, provided: (a) Developer no longer has any legal or equitable interest in the Site or the portion thereof sold or transferred, as applicable; (b) Developer is not, at the time of the transfer, in default under the terms of this Agreement; and MMMIN (c) Developer has submitted an executed assignment and assumption agreement , in a form set forth in Exhibit F. 2156/015610-0088 669968.04 a02/09/06 -12- 8.0 MISCELLANEOUS. 8.1 Notices. All notices permitted or required hereunder must be in writing and shall be effected by (i) personal delivery, (ii) first class mail, registered or certified, postage fully prepaid, or (iii) reputable same -day or overnight delivery service that provides a receipt showing date and time of delivery, addressed to the following parties, or to such other address as any party may from time to time, designate in writing in the manner as provided herein: To City: City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 Attn: Community Development Director To Agency: La Quinta Redevelopment Agency 78-495 Calle Tampico La Quinta, California 92253 Attn: Executive Director With a copy to: Rutan & Tucker, LLP 611 Anton Boulevard, Suite 1400 Costa Mesa, California 92626 Attn: M. Katherine Jenson To Developer: Robert Hill 1z 1Z Nispero Properties, Inc. OD`° 51-625 Desert Club Dr. CU 0 ° La Quinta, CA 92253 Gn Gn % Telephone: 760.564.4707 CU Facsimile: 760.564.4955 0 Any written notice, demand or communication shall be deemed received immediately if personally delivered or delivered by delivery service, and shall be deemed received on the third day from the date it is postmarked if delivered by registered or certified mail. 8.2 Force Mai eure. In addition to specific provisions of this Agreement, performance by either party hereunder shall not be deemed to be in default where delays or failures to perform are due to war, insurrection, strikes, walk -outs, riots, floods, earthquakes, fires, casualties, acts of God, acts of the public enemy, terrorism, epidemics, quarantine restrictions, freight embargoes, governmental restrictions imposed or mandated by other governmental entities, governmental restrictions or priority, unusually severe weather, inability to secure labor, materials, or tools necessary for the Project, delays of any contractor, subcontractor or supplier; acts of another acts or the failure to act of an public or overnmental agency or entity (except that acts or party, y p g g Y Y( P the failure to act of the City shall not excuse performance by the City) or any other causes beyond the control or without the fault of the party claiming an extension of time to perform. An extension of time for any such cause shall only be for the period of the enforced delay, which 2156/015610-0088 -13 - 669968.04 a02/09/06 period shall commence to run from the time of the commencement of the cause. The City and the Developer may also extend times of performance under this Agreement in writing. Notwithstanding the paragraph above, Developer is not entitled pursuant to this Section 8.2 to an extension of time to perform because of past, present, or future difficulty in obtaining suitable construction or permanent financing for the development of the Site, or because of economic or market conditions. 8.3 Binding Effect. This Agreement, and all of the terms and conditions hereof, shall be binding upon and inure to the benefit of the parties, any subsequent owner of all or any portion of the Project or the Site, and their respective assigns, heirs or successors in interest, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Project or the Site. 8.4 Independent Entity. The parties acknowledge that, in entering into and performing this Agreement, each of the Developer, the City is acting as an independent entity and not as an agent of the other in any respect. 8.5 Agreement Not to Benefit Third Parties. a_ This Agreement is made for the sole benefit of the parties, and no other person shall be deemed to have any privity of contract under this Agreement nor any right to rely on this Agreement to any extent for any purpose whatsoever, nor have any right of action of any kind on this Agreement, nor be deemed to be a third party beneficiary under this Agreement. c cu Notwithstanding the immediately preceding sentence, the Agency shall be an intended third party beneficiary to this Agreement. 8.6 Covenants. The provisions of this Agreement shall constitute mutual covenants which shall run with the land comprising the Site for the benefit thereof, and the burdens and benefits hereof shall bind and inure to the benefit of each of the parties hereto and all successors in interest to the parties hereto for the term of this Agreement. 8.7 Nonliability of City/Agency Officers and Employees. No official, officer, employee, agent or representative of the City or Agency, acting in his/her official capacity, shall be personally liable to Developer, or any successor or assign, for any loss, costs, damage, claim, liability, or judgment, arising out of or connection to this Agreement, or for any act or omission on the part of the City or Agency. 8.8 Covenant Against Discrimination. Developer and City covenant and agree, for themselves and their respective successors and assigns, that there shall be no discrimination against, or segregation of, any person or group 2156/015610-0088 -14- 669968.04 a02/09/06 or persons on account of race, color, creed, religion, sex, marital status, national origin or ancestry, or any other impermissible classification, in the performance of this Agreement. Developer shall comply with the Americans with Disabilities Act of 1990, as amended (42 U.S.C. §§ 12101, et seq.). 8.9 Amendment of Agreement. This Agreement may be amended from time to time by mutual consent of the original parties or such party to which the Developer assigns all or any portion of its interest in this Agreement, in accordance with the provisions of the City's Development Agreement Ordinance and Government Code Sections 65867 and 65868. 8.10 No Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought and referring expressly to this Section. No delay or omission by either party in exercising any right or power accruing upon non-compliance or failure to perform by the other party under any of the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof, except as expressly provided herein. No waiver by either party of any of the covenants or conditions to be performed by the other party shall be construed or deemed a waiver of any succeeding breach or nonperformance of the same or other covenants and conditions hereof. 8.11 Severability. 0 If any term, provision, covenant or condition of this Agreement is held by a court of W a competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall continue in full force and effect, to the extent that the invalidity or unenforceability does not impair the application of this Agreement as intended by the parties. CU 8.12 Cooperation in Carrvina Out Agreement. Each party shall take such actions and execute and deliver to the other all such further instruments and documents as may be reasonably necessary to carry out this Agreement in order to provide and secure to the other party the full and complete enjoyment of its rights and privileges hereunder. 8.13 Estoppel Certificate. Any party hereunder may, at any time, deliver written notice to any other party requesting such party to certify in writing that, to the best knowledge of the certifying party, (i) this Agreement is in full force and effect and a binding obligation of the parties, (ii) this Agreement has not been amended or modified either orally or in writing, or if so amended, identifying the amendments, (iii) the requesting party is not in default in the performance of its obligations under this Agreement, or if in default, describing the nature and amount of any such defaults, and (iv) any other reasonable information requested. A party receiving a request hereunder shall execute and return such certificate within thirty (30) days following receipt of such written request. The City Manager, Assistant City Manager, and Community Development Director are 2156/015610-0088 669968.04 a02/09/06 -15- each authorized to sign and deliver an estoppel certificate on behalf of the City. The City acknowledges that a certificate hereunder may be relied upon by transferees and Mortgagees. 8.14 Construction. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction that might otherwise apply. As used in this Agreement, and as the context may require, the singular includes the plural and vice versa, and the masculine gender includes the feminine and vice versa. 8.15 Recordation. This Agreement shall be recorded with the County Recorder of Riverside County at Developer's cost, if any, within the period required by Government Code Section 65868.5. Amendments approved by the parties, and any cancellation or termination of this Agreement, shall be similarly recorded. 8.16 Captions and References. The captions of the paragraphs and subparagraphs of this Agreement are solely for convenience of reference, and shall be disregarded in the construction and interpretation of this Agreement. Reference herein to a paragraph or exhibit are the paragraphs, subparagraphs and exhibits of this Agreement. 8.17 Time. Time is of the essence in the performance of this Agreement and of each and every term c,0Q 1 r- and condition hereof as to which time is an element. CU 8.18 Recitals & Exhibits Incorporated; Entire Agreement. The Recitals to this Agreement and all of the exhibits and attachments to this Agreement are, by this reference, incorporated into this Agreement and made a part hereof. This Agreement, including all Exhibits attached hereto, constitutes the entire agreement between the parties with respect to the subject matter of this Agreement, and this Agreement supersedes all previous negotiations, discussions and agreements between the parties, and no parole evidence of any prior or other agreement shall be permitted to contradict or vary the terms hereof. 8.19 Exhibits. Exhibits "A" — "H" to which reference is made in this Agreement are deemed appropriated herein in their entirety. Said exhibits are identified as follows: _ A Legal Description of Site B Legal Description of Agency Parking Lots C Conditions of Approval D Memorandum E Compliance Certificate 2156/015610-0088 669968.04 a02/09/06 -16- F General Assignment and Assumption Agreement G Depiction of Library and Senior Center Parking Lots H Memorandum of Development Agreement Off -Site Parking Space and Fee Reduction 8.20 Counterpart Signature Pages. For convenience the parties may execute and acknowledge this agreement in counterparts and when the separate signature pages are attached hereto, shall constitute one and the same complete Agreement. 8.21 Authority to Execute. Developer warrants and represents that (i) it is duly organized and existing, (ii) it is duly authorized to execute and deliver this Agreement, (iii) by so executing this Agreement, Developer is formally bound to the provisions of this Agreement, (iv) Developer's entering into and performance of its obligations set forth in this Agreement do not violate any provision of any other agreement to which Developer is bound, and (v) there is no existing or threatened litigation or legal proceeding of which Developer is aware which could prevent Developer from entering into or performing its obligations set forth in this Agreement. 8.22 Governing Law; Litigation Matters. The internal laws of the State of California shall govern the interpretation and enforcement of this Agreement without regard to conflicts of law principles. Any action at law or in equity brought by any party hereto for the purpose of enforcing, construing, or interpreting CU KZO 0 CD the validity of this Agreement or any provision hereof shall be brought in the Superior Court of co Gn � the State of California in and for the County of Riverside, or such other appropriate court in said county, and the parties hereto waive all provisions of law providing for the filing, removal, or change of venue to any other court. Service of process on City Entities shall be made in accordance with California law. Service of process on Developer shall be made in any manner permitted by California law and shall be effective whether served inside or outside of California. In the event of any action between the parties hereto seeking enforcement of any of the terms of this Agreement or otherwise arising out of this Agreement, the prevailing party in such litigation shall be awarded, in addition to such relief to which such party is entitled, its reasonable attorney's fees, expert witness fees, and litigation costs and expenses. 8.23 No Brokers. Each of the City and the Developer represents to the other party that it has not engaged the services of any finder or broker and that it is not liable for any real estate commissions, broker's fees, or finder's fees which may accrue by means of this Agreement, and agrees to hold harmless the other party from such commissions or fees as are alleged to be due from the party making such representations. 2156/015610-0088 669968.04 a02/09/06 -17- P IN WITNESS WHEREOF, the Developer and the City have executed this Agreement as of the Reference Date. "DEVELOPER" NISPERO PROPERTIES, INC., a California corporation By: Its:r 9 Ito (7 V1 r4 By: Its: "CITY" CITY OF LA QUINTA, a California municipal co oration and charter city By: Y Thomas P. Genovese City Manager ATTEST*" L fah City Clem �} { a APPROVED AST RUTAN & TUCKE LP M. K herine Jenson City Attorney [Signatures continue on next page.] 2156/015610-0088 -1 g- 669968.04 a02/09/06 2006-0261303 04r' 12 2006 08 :1 19 of 60 "AGENCY" LA QUINTA REDEVELOPMENT AGENCY, a public body, corporate d 'tic By. Thomas P. Genovese Executive Director ATTEST: J G ek Agency Clerk APPROVED AS TO FORM RUT &TUC RL$ W Kdtheri* Jenson Agency Counsel 2156/015610-0088 66996804w209.06 -19- II III III III II III III III I II � of m`�`asaa°:aeaa STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. On March 22, 2006 , before me, Regenia Hensley, Notary Public, personally appeared THOMAS P. GENOVESE personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/on subscribed to the within instrument and acknowledged to me that he/ executed the same in his/weir authorized capacity(ies), and that by his/hefithe r signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. (SEAL) ggl RE IA HENSLEY Notary Public / Commission # 1521423 Expiration: October 23, 2008 2156/015610-0088 zo- `6996,a.0`'9/06 I IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII a•�e��6asa� STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. On March 31, 2006 , before me, Regenia Hensley, Notary Public, personally appeared ROBERT M. HILL (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/aye subscribed to the within instrument and acknowledged to me that he/ executed the same in his/ir authorized capacity(ies), and that by his/h eir signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. (SEAL) Am, AS— REG IA HEN SLEY EXHIBIT "A" LEGAL DESCRIPTION OF SITE LOT 68 AND 77 OF DESERT CLUB TRACT UNIT #4, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED NOVEMBER 6, 1946 IN BOOK 21, PAGE(S) 60 OF MISCELLANEOUS MAPS IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 2156/015610-0088 u,g�a�,x,„u„ � IIIIIIIIIIIIIIIIIIIIINIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII a•�a��sa;e�a EXHIBIT "B" LEGAL DESCRIPTION OF AGENCY PARKING LOTS That certain real property located in the City of La Quinta, County of Riverside, State of California, more particularly described as follows: LOTS 71 8, 9, 10, 11, 12, 13, 14 AND 15 IN BLOCK 122 OF SANTA CARMELITA AT VALE LA QUINTA UNIT NUMBER 14, AS SHOWN BY MAP ON FILE IN BOOK 18 PAGES 82 AND 83 OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. ��„v„�,,.�.":".",,, 1111111111111111111111111111111111111111111111111111111 a°'��<ra�� EXHIBIT "C" CONDITIONS OF APPROVAL FOR VILLAGE USE PERMIT 2005-032 ADOPTED FEBRUARY 7, 2006 BY CITY COUNCIL RESOLUTION 2006-013 GENERAL CONDITIONS OF APPROVAL 1. Village Use Permit 2005-032 (VUP 2005-032) shall be developed in compliance with these conditions and all approved site plan, elevation, color, materials and other approved exhibits submitted for this application, and any subsequent amendment(s). In the event of any conflicts, these conditions shall take precedence. In the event the Development Agreement referenced in Condition #55 is not entered into, this Village Use Permit approval is null and void. 2. This approval shall expire two years after its effective date, as determined pursuant to Section 9.200.060.0 of the Zoning Code, unless extended pursuant to the provisions of Section 9.200.080. 3. The applicant agrees to defend, indemnify, and hold harmless the City of La Quinta (the "City"), its agents, officers and employees from any claim, action or proceeding to attack, set aside, void, or annul the approval of this development application or any application thereunder. The City shall have sole discretion in selecting its defense counsel. The City shall promptly notify the developer of any claim, action or proceeding and shall cooperate fully in the defense. 4. Prior to the issuance of any permit by the City, the applicant shall obtain the necessary permits and/or clearances from the following agencies: • Riverside County Fire Marshal • La Quinta Building and Safety Department • La Quinta Public Works Department (Grading/ Improvement/Encroachment Permits) • La Quinta Community Development Department • Riverside County Environmental Health Department • Desert Sands Unified School District • Coachella Valley Water District (CVWD) • Southern California Gas Company • Imperial Irrigation District (IID) • California Water Quality Control Board (CWQCB) 2156/015610-0088 II IIIII IIIIII I IIII IIII III IIIIII II 2AB2of 6e�ees66uweMa..m.�n e.%Seen • Waste Management of the Desert The applicant is responsible for any requirements of the permits or clearances from those jurisdictions. If the requirements include approval of improvement plans, applicant shall furnish proof of said approvals prior to obtaining City approval of the plans. 5. The applicant shall comply with applicable provisions of the City's NPDES stormwater discharge permit, Sections 8.70.010 et seq. (Stormwater Management and Discharge Controls) and 13.24.170 (Clean Air/Clean Water), LQMC; Riverside County Ordinance No. 457; and the State Water Resources Control Board's Order No. 99-08-DWQ. 6. Handicap access and facilities shall be provided in accordance with Federal (ADA), State and local requirements. Handicap accessible parking shall generally conform to the approved exhibits for VUP 2005-032. 7. All parking area civil plans and improvements shall be developed in accordance with the standards set forth in applicable portions of Section 9.150.080 of the Zoning Code, and these conditions, which shall take precedence in the event of any conflicts with said Section. Any on -street parking/street improvement plans for Main Street, if submitted, shall be reviewed and approved by the Public Works Department, as to acceptable design standards. Any deviation from standards as applicable under Section 9.150.080 of the Zoning Code, may be approved by the Community Development and Public Works Departments, as part of the improvement plan review process. PROPERTY RIGHTS 8. Prior to issuance of any permit(s), the applicant shall acquire or confer easements and other property rights necessary for the construction or proper functioning of the proposed development. Conferred rights shall include irrevocable offers to dedicate or grant access easements to the City for emergency services and for maintenance, construction and reconstruction of essential improvements. 9. The applicant shall offer for dedication all public street right-of-ways in conformance with the City's General Plan, Municipal Code, applicable specific plans, and/or as required by the City Engineer. 10. The public street right-of-way offers for dedication required for this development include: 2156/015610-0088 2006-0261303 A. PUBLIC STREETS 1) Avenida La Fonda (Local Street, 60' ROW) — The standard 35 feet from the centerline of Avenida La Fonda for a total 60-foot ultimate developed right of way. 11. The applicant shall offer for dedication those easements necessary for the placement of, and access to, utility lines and structures, drainage basins, mailbox clusters, and common areas shown on the Village Use Permit. 12. Direct vehicular access from any portion of the site with frontage along Avenida La Fonda and Main Street is restricted, except for those access points identified on the approved site plan, or as otherwise conditioned in these conditions of approval. 13. The applicant shall furnish proof of easements or written permission, as appropriate, from owners of any abutting properties on which grading, retaining wall construction, permanent slopes, or other encroachments are to occur. 14. The applicant shall cause no easements to be granted, or recorded, over any portion of the subject property, between the date of approval of this Village Use Permit and the date of final acceptance of the on -site and off -site improvements for this Village Use Permit, unless such easements are approved by the City Engineer. 15. Upon approval of this Village Use Permit, the applicant shall begin right-of- way vacation of the existing remnant public right-of-way at the corner of Avenida La Fonda and Main Street (Avenida Buena Ventura). 16. Applicant shall process a parcel merger, in order to incorporate Lots 68 and 77 into one parcel. The merger shall have been recorded prior to issuance of a permit for the main building. IMPROVEMENT PLANS As used throughout these conditions of approval, professional titles such as "engineer", "surveyor", and "architect" refer to persons currently certified or licensed to practice their respective professions in the State of California. 2156/015610-0088 II III III II I II III III IIII II ew3006'eo6w�eeR 17. Improvement plans shall be prepared by or under the direct supervision of qualified engineers and/or architects, as appropriate, and shall comply with the provisions of Section 13.24.040 (Improvement Plans), LQMC. 18. The following improvement plans shall be prepared and submitted for review and approval by the City. A separate set of plans for each line item specified below shall be prepared. The plans shall utilize the minimum scale specified, unless otherwise authorized by the City Engineer in writing. Plans may be prepared at a larger scale if additional detail or plan clarity is desired. Note: the applicant may be required to prepare other improvement plans not listed here pursuant to improvements required by other agencies and utility purveyors. A. On -Site Rough Grading Plans 1 " = 30' Horizontal B. PM 10 Plan C. SWPPP 1 " = 40' Horizontal 1 if = 40' Horizontal NOTE: A through C to be submitted concurrently. D.On-Site Precise Grading Plans (Commercial Development) ill = 30' Horizontal Other engineered improvement plans prepared for City approval that are not listed above shall be prepared in formats approved by the City Engineer prior to commencing plan preparation. On -Site Precise Grading Plans shall normally include all on -site surface improvements including but not necessarily limited to finish grades for curbs & gutters, sidewalks, building floor elevations, parking lot improvements and ADA requirements for the parking lot and access to the building; and showing the existing street improvements out to at least the center lines of adjacent existing streets, including ADA accessibility route to surrounding buildings, parking facilities and public streets. 19. The City maintains standard plans, details and/or construction notes for elements of construction on the Public Works Online Engineering Library at the City website (www.la-quinta.org). Navigate to the Public Works Department home page and look for the Online Engineering Library hyperlink. 20. The applicant shall furnish a complete set of the AutoCAD files of all approved improvement plans on a storage media acceptable to the City Engineer. The files shall be saved in a standard AutoCAD format so they may be fully retrievable through a basic AutoCAD program. 2156/015610-0088 vemwew o cam -4- IIIIIIIIIIIIII IIII III IIII IIIII IIIIIII III a°�be sof 6ee At the completion of construction, and prior to the final acceptance of the improvements by the City, the applicant shall update the AutoCAD files in order to reflect the as -built conditions. Where the improvement plans were not produced in a standard AutoCAD format, or a file format that can be converted to an AutoCAD format, the City Engineer will accept raster -image files of the plans r;RAnlNG 21. Prior to occupancy of the project site for any construction, or other purposes, the applicant shall obtain a grading permit approved by the City Engineer. 22. To obtain an approved grading permit, the applicant shall submit and obtain approval of all of the following: A. A precise grading plan prepared by a qualified engineer or architect, B. A preliminary geotechnical ("soils") report prepared by a qualified engineer, C. A Fugitive Dust Control Plan prepared in accordance with Chapter 6.16 (Fugitive Dust Control), LQMC. All grading shall conform to the recommendations contained in the Preliminary Soils Report, and shall be certified as being adequate by a soils engineer, or by an engineering geologist. The applicant shall furnish security, in a form acceptable to the City, and in an amount sufficient to guarantee compliance with the approved Fugitive Dust Control Plan provisions as submitted with its application for a grading permit. 23. The applicant shall maintain all open graded, undeveloped land to prevent wind and water erosion of soils. All such land shall be planted with interim landscaping or provided with other erosion control measures as approved by the Public Works Departments under the Fugitive Dust Control Plan. 24. Prior to issuance of the main building permit, the applicant shall provide a lot pad certification, stamped and signed by qualified engineers or surveyor. nRAiNAr;F 25. Nuisance water shall be retained onsite and disposed of in a manner acceptable to the City Engineer. -156/015610-0088 wrxmm wnc �, II III III IIII II III III IIIII II zzswie eeea� I ITII ITIFS 26. The applicant shall obtain the approval of the City Engineer for the location of all utility lines within the right of way and all above -ground utility structures including, but not limited to, traffic signal cabinets, electrical vaults, water valves, and telephone stands, to ensure optimum placement -for practical and aesthetic purposes. 27. Underground utilities shall be installed prior to overlying hardscape. For installation of utilities in existing, improved streets, the applicant shall comply with trench restoration requirements maintained or required by the City Engineer. The applicant shall provide certified reports of all utility trench compaction for approval of the City Engineer. 28. Prior to issuance of any building permit, the applicant shall provide evidence to the Public Works Department, of vacation of the existing 10-foot PUE along the common lot line of lots 68 and 77, along with any relocated easement(s) as may be required. Any in -ground utilities shall be relocated to the satisfaction of the purveyor of record, and the City Engineer STREET AND TRAFFIC IMPROVEMENTS 29. The applicant shall comply with the provisions of Sections 13.24.060 (Street Improvements), 13.24.070 (Street Design - Generally) & 13.24.100 (Access For Individual Properties And Development), LQMC for public streets. 30. No additional street improvements are required, except for: A. Avenida La Fonda 1) A five-foot wide sidewalk next to the curb along the property boundary with corner improvements and curb ramp per Standard 250 — Case A. B. Main Street 11 A minimum five-foot wide sidewalk next to the curb along the property boundary, to consist of enhanced design materials (e.g. colored/stamped concrete, pavers, etc.) and to include provision for landscaped areas. The sidewalk design shall provide for minimum clearances of 4 feet for ADA accessibility. It is acknowledged that the applicant may submit street improvement plans for Main Street, to accommodate on -street parking along the inside curve (west side), but is not required to 2156/015610-0088 669968.04 o mar 6_ li IIIIII IIIIIII I II III III I II � 6weoe a�a do so. Any such improvement plans shall be subject to review and approval by the Community Development and Public Works Departments, as specified in Condition 7. Generally, said plans shall be based on a 4-foot curb inset to the west from existing curb line along Main Street, for an 18-foot half -width pavement section, as measured from centerline to gutter flow line, along the project frontage. PARKING LOTS AND ACCESS POINTS 31. The applicant shall conform to LQMC Chapter 9.150, relating to drive isle width, parking stall dimensions, and parking stall marking design requirements. Parking space markings shall be double four inch wide hairpin stripes as specified in LQMC Chapter 9.150. Exceptions to parking lot development standards shall be as shown on the plans and as set forth in these Conditions, which shall take precedence. 32. The applicant shall design street pavement sections using Caltrans' design procedure (20-year life) and site -specific data for soil strength and anticipated traffic loading (including construction traffic). Minimum structural sections shall be as follows (or approved equivalents for alternate materials) : Parking Areas 3.0" a.c./4.0" c.a.b. 33. The applicant shall submit current mix designs (less than two years old at the time of construction) for base, asphalt concrete and Portland cement concrete. The submittal shall include test results for all specimens used in the mix design procedure. For mix designs over six months old, the submittal shall include recent (less than six months old at the time of construction) aggregate gradation test results confirming that design gradations can be achieved in current production. The applicant shall not schedule construction operations until mix designs are approved. 34. General access points and turning movements of traffic are limited to the proposed access driveways on Main Street and Avenida La Fonda. All turn movements are permitted. 35. The entry driveway throat and parking aisle shall be permitted to be constructed as designed on the approved plans, at the depths as shown and 26 feet in width rather than the required 28 feet, as permitted under Section 9.65.030.A.3.a, in order to retain the parking space count of 49 on -site spaces. Use of wheel stops is not permitted. 2156/015610-0088 d IIII IIIIII III III IIIIIIIIIII III IIII IIII II 194/e�e6e�en 36. A total space count of 49 parking stalls, including handicapped parking spaces, shall be provided. A minimum of 16 spaces shall be maintained as covered parking, to be designed and located as required under Section 9.150.080.B.5, LQMC. 37. Design and final location of the two trash enclosures shall be reviewed and approved by Waste Management., with the written and/or stamped plan approval to be submitted during the building plan check process. No permits for these facilities shall be issued without said approval. 38. A minimum four -foot high screen wall shall be provided at the west property line. The wall design shall be consistent with the materials and colors used on the main structure, subject to review and approval by Community Development This shall be shown on the civil and landscape plans as submitted for plan check. LANDSCAPING 39. On -site and off -site (streetscape) landscape, landscape lighting and irrigation plans shall be submitted for approval by the Community Development Department. Plans shall be in substantial conformance with the conceptual landscaping as approved for the project by Planning Commission. When plan checking is complete, the applicant shall obtain the signatures of CVWD and the Riverside County Agricultural Commissioner prior to submitting for final acceptance by the Community Development Department. 40. The Silk trees located along the west property line shall be replaced with a non -deciduous (evergreen) variety, to be approved as part of the landscape plan check process. 41. The Phoenix Dactylifera species (Date Palms) to be used shall be purchased from within the Coachella Valley, per the requirement of the Riverside County Agricultural Commissioner. QUALITY ASSURANCE 42. The applicant shall employ construction quality -assurance measures which meet the approval of the City Engineer. 43. The applicant shall employ or retain qualified engineers, surveyors, or other appropriate professionals as are required to provide the expertise with which to prepare and sign accurate record drawings, and to provide adequate construction supervision. 2156/015610-0088 en un4n nsry R_ '. 11111111111111111111111111111111111111111111111.11111111 ea�izpea6e 44. The applicant shall arrange for, and bear the cost of, all measurement, sampling and testing procedures not included in the City's inspection program but required by the City as evidence that construction materials and methods employed comply with plans, specifications and other applicable regulations. 45. Upon completion of construction, the applicant shall furnish the City with reproducible record drawings of all improvement plans which were approved by the City. Each sheet shall be clearly marked "Record Drawing," "As -Built" or "As -Constructed" and shall be stamped and signed by the engineer or surveyor certifying to the accuracy and completeness of the drawings. The applicant shall have all AutoCAD or raster -image files previously submitted to the City revised to reflect the as -built conditions. FEES AND DEPOSITS 46. The applicant shall pay the City's established fees for plan checking and construction inspection. Fee amounts shall be those in effect when the applicant makes application for plan checking and permits. 47. Provisions shall be made to comply with the terms and requirements of the City's adopted Art in Public Places program in effect at the time of issuance of building permits. 48. Permit(s) issued under this approval shall be subject to the provisions of the Development Impact Fee program in effect at the time said permit(s) are issued. 49. Prior to the issuance of any building permit for the Site, the applicant shall pay the up -front parking fees, in the manner and amount as specified in the Development Agreement for Village Use Permit 2005-032. FIRE PROTECTION 50. Specific fire protection requirements will be determined when final building plans are submitted for review. Final conditions will be addressed when building plans are submitted. A plan check fee must be paid to the Fire Department at the time building plans are submitted. MISCELLANEOUS 2156/015610-0088 6.996e 0n 0209ae �- I IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII e.=00=3eof ���eea 51. The applicant shall submit a detailed project area lighting plan. Parking lot lighting is required, and shall meet the criteria set forth in Section 9.150.080.K, LQMC. All pole -mounted light standards shall conform to lighting standards as in effect when plans are reviewed. Under canopy lighting for building areas shall incorporate flush lens caps or similar recessed ceiling lighting. The lighting plan shall be submitted for review at the time construction plan check for the permanent building permit is made to Building and Safety. 52. A comprehensive sign program shall be submitted for review and approval by the Planning Commission prior to establishment of any individual tenant signs for the project. Provisions of the sign program shall be in compliance with applicable sections of Chapter 9.160 of the Zoning Code. No signs shall be permitted to be placed on any portion of the roof projections or balcony railings along Main Street, and the west elevation. 53. All roof -mounted mechanical equipment must be internal to the roof design, or screened as an integral part of the roof structure, in a manner so as not to be visible from surrounding properties and streets. Working drawings showing all such equipment and locations shall be submitted to the Building and Safety Department along with the construction plan submittal for building permits. The method and design must be approved by the Community Development Department, prior to any issuance of the main structural building permit. 54. The building plans submitted for plan check shall incorporate the following revisions: A. The west elevation for the coffee shop portion of the building shall be modified to lower the stone veneer work, and add arched windows, and/or similar detailing, compatible with the main building. B. Wrought iron railings used on the project shall reflect more of a hand- crafted detailing, similar to the photo exhibit examples in the approved plan set, as opposed to the standard appearance of railings as represented in the architectural renderings and elevations. C. The proposed sign monument shall be reviewed as part of the sign program, as required by Condition 52. The monument shall be similar in design to the photo exhibit example of the fountain, contained in the approved plan exhibits. 55. It is understood by the Applicant that Nispero Properties, Inc, by payment of a deposit in the amount of $5,000 on 12/21 /05, has entered into an Agreement with the City relating to preparation and possible approval of a Development Agreement for the purpose of clarifying the applicant's parking RB6 026 A3 111111 IIIIIII IIIIIII IIII IIIII IIIIII III IIII IIIIIII eai1zi3fesa08 obligations associated with development of Village Use Permit 2005-032. This Village Use Permit shall not be effective unless and until the Development Agreement has been approved by the City Council and recorded; the applicant further understands that the City Council may choose to reject entering the Development Agreement or modify its contents. While this approval will not be effective until such time as a Development Agreement may become effective, the time limits associated with approval of VUP 2005-032 shall be in effect with respect to expiration, as stated under Condition #2. 56. The permitted office and coffee bar uses shall be limited to those of a general intensity, consistent with the parking ratios of 1 space per 250 s.f. of office and 1 space per 150 s.f. of retail food with ancillary seating. This precludes use of any office space as a medical office use, and retail food with ancillary seating space for sit-down restaurant use, unless shared parking or tenant space reductions are determined to maintain the approved parking ratios for this building, or the Development Agreement is amended to allow payment of per -space fees to increase any use intensity for the project. 57. Use of the coffee bar lease space may be relocated to an alternate ground floor space, oriented toward the center of the main building proximate to the pedestrian entrance from Main Street. Limited unreserved ancillary outdoor seating for coffee bar patrons may be provided in the entry courtyard, whether or not the coffee bar space is relocated. 2156/015610-0088 -1 1- 669968.04 a02/09/06 II III III III II III III III II ea 20A6026e35 of sae �aeen II II IIII III III III II IIII III II III II a�200x19 of �awean EXHIBIT "D" MEMORANDUM 669968.042156/015610-0088 .o..ue.rv� III II III III IIIII II IIIII III IIII II a��0�=6a sew RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code § 6103) MEMORANDUM ACKNOWLEDGING SATISFACTION OF CONDITIONS THIS MEMORANDUM ACKNOWLEDGING SATISFACTION OF CONDITIONS ("Memorandum") is made and entered into as of ("Effective Date"), by and between NISPERO PROPERTIES, INC., a California corporation ("Developer") and the CITY OF LA QUINTA, a California municipal corporation and charter city (the "City"), the LA QUINTA REDEVELOPMENT AGENCY, a public body, corporate and politic (the "Agency" and, collectively with the City, the "City Entities"), with reference to the following Recitals. 1. Purpose: Developer owns the 0.72 acre parcel of real property ("Site") located in the City of La Quinta, County of Riverside, State of California, which Site is legally described in Exhibit "A" attached hereto, and which is the subject of this Memorandum. In connection with the Site, the City approved Village Use Permit No. 2005-032 (the "VUP"), subject to conditions of approval, which provides planning and development criteria for a project commonly known as Sun Vista Plaza (the "Project"). The parties have entered that certain Development Agreement 0 (the "Development Agreement which agreement is referenced here and was recorded as o � Instrument No. in Official Records of Riverside County. Third parties are referred CUU� Q to the Development Agreement for a full version of its contents. Capitalized terms have the CU IZO CU definition attributed to them in the Development Agreement. The purpose of this Memorandum CU 0 is to acknowledge that such parking fees required by the Development Agreement have been paid and that the parking obligation for the Project is fulfilled by the credit of _ parking stalls in the Agency Parking Lots and _ on -street parking spaces pursuant to the approved street improvement plan for Main Street parking; and to provide for the general public's use of Site parking stalls during times when the on -Site businesses are closed. The Development Agreement further prohibits the Developer or any person using the Site from using the La Quinta Library or La Quinta Senior Center parking areas as parking for the Project. 2. Acknowledgement of Payment and Credit of Parking Stalls Located on the Agency Parking Lot. In connection with the Project, the City has credited the Developer with parking stalls in the Agency Parking Lots, and these stalls are counted towards fulfilling the Proj ect's parking obligations to provide 68 parking stalls for the Project. In connection with this credit, Developer has paid the City a parking fee in the amount of $12,000 for each parking stall in the Agency Parking Lots credited towards the Project's parking obligation. This Memorandum does not operate to create a conveyance, hypothecation, lease, license, sale or any form of transfer of an interest in the parking spots on public streets or the Agency Parking Lots or any exclusive right to use parking spots on public streets or parking stalls in the Agency 2156/015610-0088 669968.04 a02/09/06 1 Parking Lots. Developer shall have the same right to use parking spots on public streets and parking spaces in the Agency Parking Lots as members of the general public; provided, however, that Developer shall enforce a policy that encourages Project employees to park their automobiles at the Agency Parking Lots. 3. Use of Site Parking Lot by General Public. The parking stalls located on the Site shall be available to the general public for use at all times that on -Site businesses are closed. Developer shall not erect or maintain entry gates, regulated access barriers or any other driveway barrier. Developer shall not erect or place any signage on the Site prohibiting public parking during times that on -Site businesses are closed. The parking lot on the Site shall be lighted in conformity with the La Quinta Municipal Code between dusk and 11:00 p.m. every day of the week. Additionally, if Developer creates any parking spaces on Main Street pursuant to the VUP and an approved street improvement plan then such spaces shall not be restricted by Developer in any way and shall be available for use by the general public. 4. Indemnification. The indemnification provisions contained in Section 3.7 of the Development Agreement are incorporated herein by this reference as if reprinted in full. 5. Run with the Land; Binding on Successors and Assigns. The covenants, conditions, reservations and restrictions herein shall run with the Site and shall be binding upon Developer and each successive owner, lessee, licensee and other occupant of all or any portion of the Site, and shall benefit the City and be enforceable by the City and its successors and assigns. Every person or entity who now or hereafter owns or acquires any right, title or interest in or to any portion of the Site is and shall be conclusively deemed to have consented and agreed to every covenant, condition, reservation and restriction contained herein whether or not any reference to this Memorandum is contained in the instrument by which such person or entity acquired an interest in the Site. 6. Term; Amendment and Termination. This Memorandum may be validly terminated, amended or modified, in whole or in part, only by recordation with the Riverside County Recorder of a proper instrument duly executed and acknowledged by (a) City, or, as applicable, its successors and assigns, and (b) the owner(s) of the fee interest in the portion of the Site that is directly affected by such termination, amendment or modification. 7. Recording. This Memorandum shall be recorded on the Site described in Exhibit "A" in the Office of the County Recorder, Riverside County, California. 8. Authority of Signatories to Bind Principals. The persons executing this Memorandum on behalf of their respective principals represent that (i) they have been authorized to do so and that they thereby bind the principals to the terms and conditions of this Memorandum and (ii) their respective principals are properly and duly organized and existing under the laws of, and permitted to do business in, the State of California. 9. Counterparts. This Memorandum may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which counterparts taken together shall constitute but one and the same instrument. 2156/015610-0088 -2- 669968.04 a02/09/06 2006-0261303 04/12/2006 63:00A 39 of 60 IN WITNESS WHEREOF, this Memorandum has been executed by the parties as of the date set forth above. "DEVELOPER" NISPERO PROPERTIES, INC., a California corporation Bv: Its: By: Its: "CITY" CITY OF LA QUINTA, a California municipal corporation and charter city By: Thomas P. Genovese City Manager ATTEST: June Greek 0-0 0 City Clerk CO( CD APPROVED AS TO FORM 00 "m % Z,� RUTAN & TUCKER, LLP m- RAJ% Ick M. Katherine Jenson City Attorney 2156/015610-0088 669968.04 a02/09/06 -3 STATE OF CALIFORNIA ) ss COUNTY OF ) On , before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] STATE OF CALIFORNIA ) ss COUNTY OF On , before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] 2156/015610-0088 _ 669968.04 a02/09/06 _4 EXHIBIT "A" LEGAL DESCRIPTION OF SITE LOT 68 AND 77 OF DESERT CLUB TRACT UNIT #41 IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED NOVEMBER 6, 1946 IN BOOK 21, PAGE(S) 60 OF MISCELLANEOUS MAPS IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 669968.04 nzon.ar IIIIIIIIIIIIIII����I�IIIIIIIIIIIIIIIIIIII�III�III�I�III a��0/eeaee�aen EXHIBIT "E" COMPLIANCE CERTIFICATE 2286 026 A3 i.rw�ew wz.,cnve I IIIIIII IIIIIII IIIII IIII 1111 lull 1111111111111111111 wi�viwofee�een COMPLIANCE CERTIFICATE (NISPERO PROPERTIES, INC. DEVELOPMENT AGREEMENT) The undersigned, NISPERO PROPERTIES, INC., a California corporation ("Developer"), pursuant to Section 4.1 of that certain Development Agreement dated , 2006, (the "Development Agreement"), by and among Developer, the CITY OF LA QUINTA, a California municipal corporation and charter city (the "City") and the LA QUINTA REDEVELOPMENT AGENCY, a public body, corporate and politic (the "Agency"), by its signature below hereby certifies to the City, for the City's reliance that: 1. Capitalized terms not defined herein shall have the same meaning as set forth in the Development Agreement; 2. The undersigned is familiar with the certifications and representations set forth in this Compliance Certificate; 3. Developer has performed and complied with its obligations under the Development Agreement to be performed or complied with by it on or prior to the date hereof. Developer has also performed all Conditions of Approval to be performed or complied with by it on or prior to the date hereof. Not by way of limitation of the foregoing, the Developer warrant and represents that: (1) the Memorandum required by Section 3.2 of the Development Agreement has been approved by the City and recorded against the Site; (2) all payments required pursuant to Section 3.3.2 of the Development Agreement have been paid; and (3) all Conditions of Approval to be performed or complied with as of the date hereof have been satisfied in the manner set forth in Schedule 1, which schedule identifies all applicable Conditions of Approval and a description of how the condition has been satisfied. IN WITNESS WHEREOF, this Compliance Certificate is executed effective the day of , under penalty of perjury under the laws of California. NISPERO PROPERTIES, INC., a California corporation By: Its: By: Its: 2156/015610-0088 669968.04 a02/09/06 -1- a_ 'Zo 0 ro03co cuV- (Zo� c SCHEDULE I CONDITIONS OF APPROVAL [DEVELOPER SHALL ATTACH A FULL AND COMPLETE LIST OF ALL CONDITIONS OF APPROVAL THAT ARE APPLICABLE TO THE PROJECT TO DATE AND A DESCRIPTION OF HOW EACH CONDITION OF APPROVAL HAS BEEN SATISFIED.] 2156/015610-0088 669968.04 a02/09/06 -2- EXHIBIT "F" GENERAL ASSIGNMENT AND ASSUMPTION AGREEMENT 669968.04.m.w�. 'IIIIIIIIIIIIII IIIIIIIII IIII IIIIII IIIIII III IIIIII IIIIIII e�P0066�of �ee�een RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code § 6103) ASSIGNMENT AND ASSUMPTION AGREEMENT THIS ASSIGNMENT AND ASSUMPTION AGREEMENT (the "Assignment") is made and entered into as of ("Effective Date"), by and between NISPERO PROPERTIES, INC., a California corporation (the "Developer" or "Assignor") and [ASSIGNEE] ("Assignee"), with reference to the following Recitals. Recitals A. Assignor is the developer of 0.72 acres of real property located in the City of La Quinta, County of Riverside, State of California (the "Site"), which is legally described in Exhibit "A" attached here. B. Capitalized terms not defined herein shall have the same meaning as set forth in the Development Agreement. 0 C. Assignor, as "Developer," the City of La Quinta, a California municipal CD z03 4 corporation ("City") and the La Quinta Redevelopment Agency, a public body, corporate and 01 � politic ("Agency"), have entered into that certain Development Agreement dated ,( , 2006 (the "Development Agreement"), for purposes of, among other things, (i) setting forth a per -parking stall up -front payment for the Developer's payment to the City of certain fees that the parties agree are designed to compensate the City for (A) the crediting of — parking stalls located in the Agency Parking Lots and _ street parking spaces created pursuant to the approved street improvement plan for Main Street, towards fulfilling the Project's parking obligation; and (B) the potential added wear and tear on the municipal infrastructure which will result from the Development Plan and the crediting of the parking stalls in the Agency Parking Lots; (ii) requiring the Developer and its successors -in -interest to provide public parking on the ■� Site; and (iii) granting Developer a vested right to develop the Site according to the Development Plan. D. Concurrently with the Effective Date, Assignor shall have conveyed to Assignee the Site [or the portion thereof described on Exhibit B attached hereto (the "Designated Site")]. E. In accordance with Section 7.1 of the Development Agreement, Assignor now ■� desires to assign all of its obligations and its right, title, and interest in and to the Development 2156/015610-0088 669968.04 a02/09/06 1 Agreement [as to the Designated Site] to Assignee, and Assignee desires to accept such assignment on, and subject to, the terms and conditions set forth in this Assignment. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: Agreement 1. Assignment. From and after the Effective Date, Assignor hereby assigns, conveys, transfers and delivers to Assignee all of Assignor's right, title, interest, and obligation in, to and under the Development Agreement [as the same applies to the Designated Site], and Assignee hereby accepts such assignment and agrees to assume performance of all terms, covenants and conditions occurring or arising under the Development Agreement [as the same applies to the Designated Site] from and after the date of this Assignment. 2. Assumption of Obligations. By acceptance of this Assignment, Assignee hereby agrees to assume all of Assignor's right, title, interest and obligation in, to and under the Development Agreement [as the same applies to the Designated Site], and Assignee agrees to timely discharge, perform or cause to be performed and to be bound by all of the liabilities, duties and obligations imposed in connection with the Development Agreement [as the same applies to the Designated Site], from and after the date of this Assignment to the same extent as if Assignee had been the original party thereto. 3. Successors and Assigns. This Assignment shall be binding upon and shall inure to the benefit of the successors and assigns of the respective parties hereto. 4. Governing Law. This Assignment shall be governed by and construed in 0 accordance with the laws of the State of California. coo 0 O 5. Further Assurances. The parties covenant and agree that they will execute such CU other and further instruments and documents as are or may become necessary or convenient to CU effectuate and carry out this Assignment. 6. Authority of Signatories to Bind Principals. The persons executing this Assignment on behalf of their respective principals represent that (i) they have been authorized to do so and that they thereby bind the principals to the terms and conditions of this Assignment and (ii) their respective principals are properly and duly organized and existing under the laws of, and permitted to do business in, the State of California. 7. Interpretation. The paragraph headings of this Assignment are for reference and convenience only and are not part of this Assignment. They have no effect upon the construction or interpretation of any part hereof. The provisions of this Assignment shall be construed in a reasonable manner to effect the purposes of the parties and of this Assignment. 8. Counterparts. This Assignment may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which counterparts taken together shall constitute but one and the same instrument. 2156/015610-0088 669968.04 a02/09/06 2 X 0 4� CV) OCO w0 t,. c� (D 0 1 0m C� �% (ZO� MLJ� It 0 . IN WITNESS WHEREOF, this Assignment has been executed by the parties as of the date set forth above. "Assignor" NISPERO PROPERTIES, INC., a California corporation By: Its: By: Its: "Assignee" [INSERT ASSIGNEE SIGNATURE BLOCK] 2156/015610-0088 669968.04 a02/09/06 -3- STATE OF CALIFORNIA ) ss COUNTY OF ) On , before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] STATE OF CALIFORNIA ) ss COUNTY OF ) On , before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] 2156/015610-0088 669968.04 a02/09/06 -4- EXHIBIT "A" LEGAL DESCRIPTION OF SITE LOT 68 AND 77 OF DESERT CLUB TRACT UNIT 44, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED NOVEMBER 6, 1946 IN BOOK 21, PAGE(S) 60 OF MISCELLANEOUS MAPS IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. µreni�eio-ooee �06-0261�J _ ri�ew..e+ue.o� ', IIIIIIIIIIIIIIIIIIIIIII IIIIIIIIII IIIIIIIII IIIIIIIIIII eenzis� �eze ea EXHIBIT "G" DEPICTION OF LIBRARY AND SENIOR CENTER PARKING AREAS 2156/015610-0088 669968.04 a02/09/06 .. � ee 41 3 � r 6 q. r% III IIIIIII II II II III III IIIII II a.2A52 %of 6aseeen EXHIBIT "H" RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk Space Above This Line for Recorders use (Exempt from Recording Fee per Gov't Code § 6103) MEMORANDUM OF DEVELOPMENT AGREEMENT OFF SITE PARKING AND FEE REDUCTION THIS MEMORANDUM OF DEVELOPMENT AGREEMENT OFF SITE PARKING AND FEE REDUCTION ("Memorandum") is made and entered into as of ("Effective Date"), by and between NISPERO PROPERTIES, INC., a California corporation (the "Developer") and the CITY OF LA QUINTA, a California municipal corporation and charter city (the "City"), the LA QUINTA REDEVELOPMENT AGENCY, a public body, corporate and politic (the "Agency" and, collectively with the City, the "City Entities"), with reference to the following Recitals. Recitals � 0 A. Developer is the developer of 0.72 acres of real property located in the City of La W Q Quinta, County of Riverside, State of California (the "Site"), which is legally described in 10 �� Exhibit "A" attached here. CD% CD B. Capitalized terms not defined herein shall have the same meaning as set forth in the Development Agreement. C. Developer and the City Entities, have entered into that certain Development Agreement dated 2006 (the "Development Agreement"), for purposes of, among other things, (i) setting forth a per -parking stall up -front payment for the Developer's payment to the City of certain fees that the parties agree are designed to compensate the City for (A) the crediting of 19 parking stalls located in the Agency Parking Lots towards fulfilling the Project's parking obligation; and (B) the potential added wear and tear on the municipal infrastructure which will result from the Development Plan and the crediting of the parking stalls in the Agency Parking Lots; (ii) requiring the Developer and its successors -in -interest to provide public parking on the Site; and (iii) granting Developer a vested right to develop the Site according to the Development Plan. D. The Development Agreement provided that the Developer's Site design could include the provision of a certain number of on -street parking spaces on Main Street, pursuant to p 2156/015610-0088 _ 669968.04 a02/09/06 -1 an approved street improvement plan, and that said on -street parking spaces would count on a one -for -one basis to reduce the number of Agency Parking Lots parking spaces credited and to reduce the fee paid to the City. E. The City has approved a street improvement plan for Main Street that includes — street parking spaces. Therefore, the parties now desire to record this Memorandum to evidence the one -for -one reduction in credited Agency Parking Lots parking stalls and to reduce the fee paid to the City accordingly. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: Agreement 1. Reduction of Agency Parking_ Lots Parking Stalls Credit. (—) on -street parking spaces have been designed pursuant to a street improvement plan for Main Street, approved by the City Public Works Department and Community Development Director then Developer. These spaces are hereby credited on a one -for -one basis to the Developer's parking obligation. The number of stalls credited from the Agency Parking Lots is hereby reduced on a one -for -one basis such that the Developer shall now be credited (_—) parking stalls in the Agency Parking Lots towards its parking obligations. The Developer shall be credited (_) Agency Parking Lots parking spaces. 2. Reduction of Parking Fees. The parking fee paid pursuant to Section 3.4 of the Development Agreement is hereby reduced to account for the credited street parking spaces. Pursuant to Section 3.4. 3. No Modification. Except as specifically provided herein, the Development Agreement is not amended, altered or modified and remains in full force and effect. CU0� 0 4. Successors and Assigns. This Memorandum shall be binding upon and shall inure OJ in C to the benefit of the successors and assigns of the respective parties hereto. CU% V- 5. Governing Law. This Memorandum shall be governed by and construed in accordance with the laws of the State of California. 8. Counterparts. This Memorandum may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which counterparts taken together shall constitute but one and the same instrument. 2156/015610-0088 669968.04 a02/09/06 2 IN WITNESS WHEREOF, this Memorandum has been executed by the parties as of the date set forth above. ATTEST: June Greek City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP M. Katherine Jenson City Attorney "DEVELOPER" NISPERO PROPERTIES, INC., a California corporation By: Its: By: Its: "CITY" CITY OF LA QUINTA, a California municipal corporation and charter city Thomas P. Genovese City Manager [Signatures continue on next page.] "AGENCY" LA QUINTA REDEVELOPMENT AGENCY, 2156/015610-0088 669968.04 a02/09/06 -3- 0 cr, 0 � OD OW {� a 0 �CU m ATTEST: June Greek Agency Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP M. Katherine Jenson Agency Counsel a public body, corporate and politic Thomas P. Genovese Executive Director 2156/015610-0088 669968.04 a02/09/06 In O �' CUU0CD 4 C6 CUto �% �CU C m STATE OF CALIFORNIA ) ss COUNTY OF ) On , before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] STATE OF CALIFORNIA ) ss COUNTY OF ) On before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal Notary Public [SEAL] 2156/015610-0088 669968.04 a02/09/06 -5- CE � �0 �GD(D cu0e cm r (Zocu c� nr 0 EXHIBIT "A" LEGAL DESCRIPTION OF SITE LOT 68 AND 77 OF DESERT CLUB TRACT UNIT #4, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED NOVEMBER 6, 1946 IN BOOK 21, PAGE(S) 60 OF MISCELLANEOUS MAPS IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 2156/015610-0088 669968.04 a02/09/06 -1- 1.0 GENERAL........................................................................................................................ 1.1 Term...................................................................................................................... 3 1.2 Effective Date....................................................................................................... 3 1.3 Amendment or Cancellation................................................................................. 3 1.4 Termination...........................................................................................................3 1.5 Incorporation of Recitals....................................................................................... 3 2.0 DEVELOPER'S RIGHTS AND LIMITATIONS REGARDING CONSTRUCTION OF THE PROJECT...........................................................................4 2.1 Right to Develop...................................................................................................4 2.2 Additional Applicable Codes and Regulations..................................................... 5 2.3 Permitted Density, Height and Use Limitations................................................... 5 2.4 Credit of Parking Stalls in the Agency Parking Lots ............................................ 5 2.4.1 Agency Consent........................................................................................ 5 2.4.2 Reduction of Credited Parking Spaces ..................................................... 5 3.0 DEVELOPER'S OBLIGATIONS.................................................................................... 6 3.1 Conditions of Approval......................................................................................... 6 3.2 Acknowledgement of Satisfied Conditions..........................................................6 3.3 No Parking on Public Library or Senior Center Areas.........................................6 3.4 Payments to City by Developer............................................................................7 3.4.1 General......................................................................................................7 3.4.2 Developer's Payments of Up -Front Parking Fees .................................... 7 3.4.3 City Parking Fee Study; Effect on Payment of Up -Front Parking Fees........................................................................................................... 7 3.4.4 Other Fees and Charges............................................................................ 7 3.5 Dedications and Improvements............................................................................. 8 3.6 Public Use of Site's Parking Stalls....................................................................... 8 3.7 Indemnification..................................................................................................... 8 4.0 CITY'S OBLIGATIONS & ACKNOWLEDGEMENTS................................................9 4.1 Scope of Subsequent Review/Confirmation of Compliance Process...................9 4.2 Project Approvals Independent.............................................................................9 4.3 Review for Compliance........................................................................................9 4.4 Satisfaction of VUP Condition.............................................................................9 5.0 DEFAULT; REMEDIES; DISPUTE RESOLUTION....................................................10 5.1 Notice of Default.................................................................................................10 5.2 Cure of Default...................................................................................................10 5.3 City Remedies.....................................................................................................10 5.4 Developer's Exclusive Remedies....................................................................... I I 6.0 MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE.................................11 6.1 Encumbrances on the Project Site.......................................................................11 6.2 Mortgage Protection............................................................................................11 6.3 Mortgagee Not Obligated...................................................................................11 6.4 Notice of Default to Mortgagee; Right of Mortgagee to Cure ............................ I I 7.0 TRANSFERS OF INTEREST IN SITE OR AGREEMENT.........................................12 7.1 Successors and Assigns.......................................................................................12 8.0 MISCELLANEOUS.......................................................................................................12 8.1 Notices.................................................................................................................12 8.2 Force Majeure.....................................................................................................13 8.3 Binding Effect.....................................................................................................14 8.4 Independent Entity..............................................................................................14 8.5 Agreement Not to Benefit Third Parties.............................................................14 8.6 Covenants............................................................................................................14 8.7 Nonliability of City/Agency Officers and Employees........................................14 8.8 Covenant Against Discrimination.......................................................................14 8.9 Amendment of Agreement..................................................................................14 8.10 No Waiver...........................................................................................................15 8.11 Severability.........................................................................................................15 8.12 Cooperation in Carrying Out Agreement............................................................15 8.13 Estoppel Certificate.............................................................................................15 8.14 Construction........................................................................................................16 8.15 Recordation.........................................................................................................16 8.16 Captions and References.....................................................................................16 8.17 Time....................................................................................................................16 8.18 Recitals & Exhibits Incorporated; Entire Agreement.........................................16 8.19 Exhibits...............................................................................................................16 8.20 Counterpart Signature Pages...............................................................................16 8.21 Authority to Execute............................................................ .............................17 8.22 Governing Law; Litigation Matters....................................................................17 8.23 No Brokers..........................................................................................................17 2006-0261303 60 of Go