Loading...
2008 09 16 RDA&# 4 4 adja Redevelopment Agency agendas are available on the City' web page @ www.la-quinta.org REDEVELOPMENT AGENCY AGENDA CITY COUNCIL CHAMBERS 78-495 Calle Tampico La Quinta, California 92253 Regular Meeting TUESDAY, SEPTEMBER 16, 2008 3:00 P.M. Closed Session / 4:00 P.M. Open Session Beginning Resolution No. RA 2008-006 CALL TO ORDER Roll Call: Agency Board Members: Adolph, Henderson, Osborne, Sniff, and Chairman Kirk PUBLIC COMMENT At this time, members of the public may address the Redevelopment Agency on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CLOSED SESSION NOTE: Time permitting the Redevelopment Agency Board may conduct Closed Session discussions during the dinner recess. In addition, persons identified as negotiating parties are not invited into the Closed Session meeting when acquisition of real property is considered. 1. CONFERENCE WITH AGENCY'S REAL PROPERTY NEGOTIATOR, DOUGLAS R. EVANS, PURSUANT TO GOVERNMENT CODE SECTION 54956.8 x/ CONCERNING POTENTIAL TERMS AND CONDITIONS OF ACQUISITION AND/OR DISPOSITION OF REAL PROPERTY LOCATED AT THE SOUTHEAST CORNER OF MILES AVENUE AND WASHINGTON STREET. PROPERTY OWNERS/NEGOTIATORS: CP DEVELOPMENT LA QUINTA, LLC, RICHARD OLIPHANT, AND DOLPHIN LA QUINTA, LLC, KEVIN PITTS. """' 001 Redevelopment Agency Agenda 1 September 16, 2008 2. CONFERENCE WITH AGENCY'S REAL PROPERTY NEGOTIATOR, DOUGLAS R. EVANS, PURSUANT TO GOVERNMENT CODE SECTION 54956.8 CONCERNING POTENTIAL TERMS AND CONDITIONS OF ACQUISITION AND/OR DISPOSITION OF A PORTION OF 525± ACRES LOCATED AT THE SOUTHWEST CORNER OF AVENUE 52 AND JEFFERSON STREET. PROPERTY OWNER/NEGOTIATOR: LOD SILVERROCK, LLC., THEODORE R. LENNON. JR. 3. CONFERENCE WITH AGENCY'S REAL PROPERTY NEGOTIATOR, DOUGLAS R. EVANS, PURSUANT TO GOVERNMENT CODE SECTION 54956.8 CONCERNING POTENTIAL TERMS AND CONDITIONS OF ACQUISITION AND/OR DISPOSITION OF REAL PROPERTY IDENTIFIED AS APN: 770-124- 009. PROPERTY OWNER/NEGOTIATOR: NISPERO PROPERTIES, MICHAEL C. MEADE. RECESS TO CLOSED SESSION RECONVENE AT 4:00 P.M. 4:00 P.M. PUBLIC COMMENT At this time members of the public may address the Redevelopment Agency on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CONFIRMATION OF AGENDA APPROVAL OF MINUTES 1. APPROVAL OF MINUTES OF AUGUST 5, 2008. CONSENT CALENDAR NOTE: Consent Calendar items are considered to be routine in nature and will be approved by one motion. 1. APPROVAL OF DEMAND REGISTERS DATED AUGUST 19, SEPTEMBER 2, AND SEPTEMBER 16, 2008. 002 Redevelopment Agency Agenda 2 September 16, 2008 2. RECEIVE AND FILE TREASURER'S REPORTS DATED JUNE 30 AND JULY 31, 2008. 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORTS DATED JUNE 30 AND JULY 31, 2008. 4. CONSENT TO AN ASSIGNMENT AND ASSUMPTION AGREEMENT BY AND BETWEEN CP DEVELOPMENT LA QUINTA, LLC, AND DOLPHIN LA QUINTA, LLC, FOR PROPERTY LOCATED AT THE SOUTHEAST CORNER OF WASHINGTON STREET AND MILES AVENUE. 5. APPROVAL OF A RESIDENTIAL PURCHASE AGREEMENT AND JOINT ESCROW INSTRUCTIONS BETWEEN THE LA QUINTA REDEVELOPMENT AGENCY AND RICARDO A. AND LISA H. MARTINEZ. 6. APPROVAL TO REJECT ALL BIDS FOR PROJECT NO. 2008-07, PM-10 CONTROL AND TEMPORARY PARKING LOT AT SILVERROCK RESORT, AND AUTHORIZATION TO RE -ADVERTISE FOR BID. BUSINESS SESSION 1. CONSIDERATION TO APPROVE A PARKING LICENSE AGREEMENT WITH THE LA QUINTA ARTS FOUNDATION. A. MINUTE ORDER ACTION STUDY SESSION - NONE CHAIR AND BOARD MEMBERS' ITEMS - NONE PUBLIC HEARINGS - NONE �. 003 Redevelopment Agency Agenda 3 September 16, 2008 ADJOURNMENT The next regular meeting of the Redevelopment Agency will be held on October 7, 2008, commencing with closed session at 3:00 p.m. and open session at 4:00 p.m. in the City Council Chambers, 78-495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Veronica Montecino, City Clerk of the City of La Quinta, do hereby declare that the foregoing agenda for the La Quinta Redevelopment Agency meeting of September 16, 2008, was posted on the outside entry to the Council Chamber at 78-495 Calle Tampico and on the bulletin boards at 51-321 Avenida Bermudas and 78-630 Highway 111, on September 12, 2008. DATED-- September 12 2008 VERONICA J. ONTECINO, City Clerk City of La Quinta, California Public Notice Any writings or documents provided to a majority of the Redevelopment Agency regarding any item on this agenda will be made available for public inspection at the City Clerk counter at City Hall located at 78-495 Calls Tampico, La Quinta, California, 92253, during normal business hours. »- 004 Redevelopment Agency Agenda 4 September 16, 2008 AGENDA CATEGORY: COUNCILIRDA MEETING DATE: August 19, 2008 BUSINESS SESSION ITEM TITLE: Demand Register Dated CONSENT CALENDAR August 19, 2008 STUDY SESSION PUBLIC HEARING RECOMMENDATION: It is recommended the Redevelopment Agency Board: Receive and File the Demand Register Dated August 19, 2008 of which $474,541.02 represents Redevelopment Agency Expenditures PLEASE SEE CONSENT CALENDAR ITEM NUMBER 1 ON CITY COUNCIL AGENDA 0.05 r AGENDA CATEGORY: COUNCIL/RDA MEETING DATE: September 2, 2008 BUSINESS SESSION ITEM TITLE: Demand Register Dated CONSENT CALENDAR September 2, 2008 STUDY SESSION [OW " NJ I I WA "I larl i RECOMMENDATION: It is recommended the Redevelopment Agency Board: Receive and File the Demand Register Dated September 2, 2008 of which $387,144.85 represents Redevelopment Agency Expenditures PLEASE SEE CONSENT CALENDAR ITEM NUMBER 1 ON CITY COUNCIL AGENDA N• 006 O� O w cFMOF T19 AGENDA CATEGORY: COUNCIL/RDA MEETING DATE: September 16, 2008 BUSINESS SESSION ITEM TITLE: Demand Register Dated CONSENT CALENDAR September 16, 2008 STUDY SESSION PUBLIC HEARING RECOMMENDATION: It is recommended the Redevelopment Agency Board: Receive and File the Demand Register Dated September 16, 2008 of which $11,303,568.52 represents Redevelopment Agency Expenditures PLEASE SEE CONSENT CALENDAR ITEM NUMBER 1 ON CITY COUNCIL AGENDA �.. 007 �¢ Xrouau"cu V F cFM OF'CKF'� AGENDA CATEGORY: COUNCIL/RDA MEETING DATE: September 16, 2008 BUSINESS SESSION: ITEM TITLE: Receive and File Transmittal of Treasurer's CONSENT CALENDAR: Reports as of June 30, 2008 and July 31, 2008 STUDY SESSION: PUBLIC HEARING: RECOMMENDATION: It is recommended the Redevelopment Agency Board: Receive and file. PLEASE SEE RELATED BUSINESS SESSION ITEM ON CITY COUNCIL AGENDA •• 008 4 maw 4��CFM OF'CKQ'� AGENDA CATEGORY: COUNCIL/RDA MEETING DATE: September 16, 2008 BUSINESS SESSION: ITEM TITLE: Receive and File Transmittal of Revenue CONSENT CALENDAR: �J and Expenditure Report dated June 30, 2008 and July 31 , 2008 STUDY SESSION: PUBLIC HEARING: Receive and File FISCAL IMPLICATIONS: None. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Receive and File Transmittal of the June 30, 2008 and July 31, 2008 Statements of Revenue and Expenditures for the La Quinta Redevelopment Agency. Respectfully submitted, John M. Falconer, Finance Director Approved for submission b Thomas P. Genovese, Executive Director Attachments: 1. Revenue and Expenditures Report for June 30, 2008 2. Revenue and Expenditures Report for July 31, 2008 '.• 009 LA OUINTA REDEVELOPMENT AGENCY REVENUE SUMMARY PROJECT AREA NO. 1: 0710112007 - 0613012008 REMAINING % BUDGET RECEIVED BUDGET RECEIVED ATTACHMENT 7 LOWIMODERATE BOND FUND: Allocated Interest Home Sale Proceeds Non Allocated Interest Transfer In TOTAL LOWIMOD BOND LOWIMODERATE TAX FUND: Tax Increment Allocated Interest Non Allocated Interest Miscellaneous revenue Non Allocated Interest LORP-Rent Revenue Home Sales Proceeds Sale of Land Sewer Subsidy Reimbursements Rehabilitation Loan Repayments 2nd Trust Deed Repayment Transfer In TOTAL LOWIMOD TAX DEBT SERVICE FUND: Tax Increment Allocated Interest Non Allocated Interest Interest - County Loan Interest Advance Proceeds Transfers In TOTAL DEBT SERVICE 0.00 000 0.00 0000% 0.00 0.00 0.00 0.000% 000 000 ODD 0000% 0.00 0.00 0.00 0.000% 000 0.00 000 0,000% 11,166,237.D0 10,869,077.94 297,159.06 97.340% 404,800.00 (20,68897) 425,48897 5.110% 0.00 1,448.89 (1,448,89) 0.000% 125,OD0.00 125,000.00 0.00 100.OD0% 0.00 D.00 0.00 0ODD% 252,000 DO 275,66515 (23,665.15) 109390% 150,00000 158.06085 (8,060.85) 105370% 0.00 0.00 0.00 0 000% 4,00000 6,580.59 (2,580.59) 164,510% 000 (0.35) 0.35 0000%. 350,000.00 340,230.48 9,769.52 97.210% 313,15600 313,15600 0.00 100,000% 12,765,193.00 12,068,530.58 696,662.42 94.540% 44,664,94900 43,476,31187 1,188,63713 97340% 596.10000 698,24804 (102,14804) 117140% 0.00 000 000 0.000% 0.00 000 000 0000% 0.00 000 0.00 0.000% 4,557,990.00 4,557,989.74 0.26 100.000% 49,819,039.00 48,732,549.65 1,086,489.35 97820% CAPITAL IMPROVEMENT FUND - NON-TAXABLE Pooled Cash Allocated Interest 337,900.00' 770,586.95 (432,686.95) 228.050% Non Allocated Interest 750,000 00 641,112 98 108,887 02 B5.480% Developer Agreement Funding 0.00 201,379.00 (201,37900) 0.000% Sale of Lend Proceeds 000 000 000 0 D00% Rental Income 000 0 DO 000 0 000 % Transfers In 25,180,355.D0 25,180,355.00 000 100.000% TOTAL CAPITAL IMPROVEMENT 26,268,255.00 26,793,433.93 (525,17693) 102 ODD% CAPITAL IMPROVEMENT FUND -TAXABLE Pooled Cash Allocated Interest coo 0.00 0.00 0 000% Non Allocated Interest 000 0.00 0.00 0 DOD% Litigation Settlement Revenue 0.00 0.00 0.00 0.000% Bond proceeds 000 0.00 0.00 0,000% Rental Income 000 000 000 0000% Transfers In 0.00 000 000 0000% TOTAL CAPITAL IMPROVEMENT 0 DO 000 000 0 000% „. 010 2 LA OUINTA REDEVELOPMENT AGENCY EXPENDITURE SUMMARY PROJECT AREA NO. 1: LOW/MODERATE BOND FUND LOW/MODERATE TAX FUND: 07/01/2007 - 06/30/2008 REMAINING BUDGET EXPENDITURES ENCUMBERED BUDGET PERSONNEL 000 000 0.00 000 SERVICES 000 000 000 000 REIMBURSEMENT TO GEN FUND 000 000 000 000 HOUSING PROJECTS 0.00 000 000 0.00 TRANSFERS OUT 0.00 000 0.00 0.00 TOTAL LOW/MOD BONG PERSONNEL 1,100.D0 805.15 000 294.65 SERVICES 396.09900 341,606.15 000 54,490.85 BUILDING HORIZONS 000 0.00 000 0.00 LQ RENTAL PROGRAM 229.00000 209,30959 0,00 19,69041 2nd TRUST DEED PROGRAM 225,000.00 191,05000 000 33,95000 LAND ACQUISITION 10,276,12700 5,904,673.83 0.00 4,371,453.17 LOW MOD HOUSING PROJECTS 000 18,13480 0.00 (18.13480) FORECLOSURE 425,000.00 86,95281 000 338,D47.19 REIMBURSEMENT TO GEN FUND 652,471 00 652,469.76 0 00 1.24 TRANSFERS OUT 4,557990.00 4,557,98974 0.00 0.26 TOTAL LOW/MOD TAX DEBT SERVICE FUND: SERVICES 457,30000 386,073.09 000 71,226.91 BOND PRINCIPAL 3,514.57900 2,795,000.00 000 719,57900 BONDINTEREST 7,500,55300 7,500,553.26 000 (0.26) INTEREST CITY ADVANCE 1,020,00000 1,027,72877 000 (7,72877) PASS THROUGH PAYMENTS 23,952,641.00 24,264,84945 000 (312,20845) ERAF SHIFT 000 0.00 000 000 TRANSFERS OUT 2897096000,U83 28,970.960 20 0.00 0 20( ) TOTAL DEBT SERVICE 0SSiS,00 BT,9AS,T83li^ DD)d70U5296 CAPITAL IMPROVEMENT FUND: PERSONNEL 1,10000 B0515 000 294.85 SERVICES 1,015,979.00 674,590.87 000 341,388.13 LAND ACQUISITION 0.00 000 0.00 0.00 ASSESSMENT DISTRICT 0.00 0.00 0.00 0.00 ADVERTISING -ECONOMIC DEV 0.00 000 0.00 0.00 ECONOMIC DEVELOPMENT 0.00 000 0.00 000 BOND ISSUANCE COSTS 000 000 0.00 000 CAPITAL -BUILDING 10,00000 0.00 000 10,000.00 REIMBURSEMENT TO GEN FUND 311,033.00 311,031 84 0.00 1 16 TRANSFERS OUT 63171,46800 3823183.90 000 595482941 TOTAL CAPITAL IMPROVEMENT0 Do CAPITAL IMPROVEMENT FUNDRAXABLE BOND BOND ISSUANCE COSTS 0.00 0.00 0.00 0.00 TRANSFERS OUT 0.00 000 0.00 000 TOTAL CAPITAL IMPROVEMENT 011 LA OUINTA REDEVELOPMENT AGENCY 0710112007 - 0613012008 REMAINING % REVENUE SUMMARY BUDGET RECEIVED BUDGET RECEIVED PROJECT AREA NO.2: LOWIMODERATE BOND FUND: Allocated Interest 000 000 0.00 0000% Non Allocated Interest 000 000 000 0000% Bond proceeds (net) 0.00 000 000 0.000% Transfer In 0.00 ODD 000 0.000% TOTAL LOWIMOD BOND 0.00 0.00 0.00 0.000% LOWIMODERATE TAX FUND: Tax Increment 5,701,660.00 5,771,93750 (70,277.50) 101,230% Allocated Interest 400,00000 501,137.22 (101,137.22) 125280-A Non Allocated Interest 000 000 0.00 0000% Developer funding 0.00 0.00 000 0000% Vista Dunes MHP Rental Rev 000 000 0.00 0000% 2nd Trost Deed Repayment 75,000 00 59,219 00 15,781 00 78,960% ERAF Shift - Interest 0.00 0.00 000 0.D00% Sale of Land 352,687.00 352,687.00 0.00 100.000% Wrallores Note Repayment 52,200.00 56.198.00 (3,998 DO) 107.660% Transfer In 9,378,966.00 9,378,96600 000 100,000% TOTAL LOWIMOD TAX 15,960,51300 16,120,14472 (159,631,72) 101,000% 2004 LOWIMODERATE BOND FUND: Allocated Interest 0.00 000 000 0.000% Home Sale Proceeds 0.00 0.00 000 0.0D0% Non Allocated Interest 2,000,00000 1,602,16867 397,831.33 80.110% Transferin 0.00 0.00 0.00 0000% TOTAL LOWIMOD BOND 2,000,000.00 1,602,16867 397.831.33 80,110% DEBT SERVICE FUND: Tax Increment 22,806,64000 23,087,749.99 (281,10999) 101230% Allocated Interest 300,00000 477,357.04 (177,357.04) 159A20% Non Allocated Interest 0.00 000 0.00 0.000% Interest Advance Proceeds 0.00 000 0.00 0.000% Transfer In 1,955,846.00 1,955,846.05 (005) 100.000% TOTAL DEBT SERVICE 25,062,486.00 25.520,95308 (458,467.08) 101,830% CAPITAL IMPROVEMENT FUND: Allocated Interest 80,00000 105,90728 (25,907,28) 132.380% Non Allocated Interest 000 000 0.00 0.000% Developer Agreement 000 000 0.00 0,000% Transfers In 312,000 00 312 000.00 000 100 000% TOTAL CAPITAL IMPROVEMENT 392,00000 417,907.26 (25,90728) 106.610% 012 4 LA OUINTA REDEVELOPMENT AGENCY EXPENDITURE SUMMARY PROJECT AREA NO. 2: 07/01/2007 - 06/3012008 REMAINING BUDGET EXPENDITURES ENCUMBERED BUDGET LOWIMODERATE BOND FUND LOWIMODERATE TAX FUND: 2n0 TRUST DEEDS 0.00 0.00 0.00 000 LAND 0.00 000 0.00 000 BOND ISSUANCE COSTS 0.00 000 0.00 000 TRANSFERS OUT 000 0.00 0.00 0.00 TOTAL LOWIMOD BONG PERSONNEL 700.00 48724 0.00 212.76 SERVICES 664,082.00 394,79759 0.00 269,284.41 2ND TRUST DEEDS 000 0.00 000 0.00 LOW MOD HOUSING PROJECTS 12,012.00 12,012.00 0.00 0.00 FORECLOSURE ACQUISITION 100,00000 0.00 000 100,000.00 WATERCOLOR COURT HOMES 4,500.000.00 4.500.00000 0.00 000 LANDACQUISITION 333,55500 38,79800 000 294,757.00 REIMBURSEMENT TO GEN FUND 356,505 00 356,503.92 0.00 1 08 TRANSFERS OUT 6,865,94400 4,360,827.67 000 2485116.33 TOTAL LOWIMOD TAX49 2004 LOW/MODERATE BOND FUND HOUSING PROGRAMS 3.200,00000 147,200.00 000 3.052.80000 LAND 0.00 0.00 0.00 000 TRANSFERS OUT 33,684,23600 21,294,03C08 000 12,390,201.92 TOTAL LOWIMOD BONG DEBT SERVICE FUND: CAPITAL IMPROVEMENT FUND: SERVICES 176,10000 202,08140 0.00 (25,981.40) BOND PRINCIPAL 260,000.00 260,00000 000 0.00 BONDINTEREST 310,135.00 310,135.00 0.00 000 INTEREST CITY ADVANCE 1,350,00000 1,375,91501 0.00 (25,91501) PASS THROUGH PAYMENTS 18,538,40600 19,403,597.85 000 (865,191.85; TRANSFERS OUT 11 .334.812 00 11.334.812.05 000 f0051 PERSONNEL 700.00 486.96 0.00 213.04 SERVICES 242,094.00 131,46180 000 110,632.20 ADVERTISING -ECONOMIC DEV 000 000 000 0.00 ECONOMIC DEVELOPMENT ACTIVITY 000 0.00 000 0.00 REIMBURSEMENT TO GEN FUND 25,291.00 25,290.48 0.00 052 TRANSFERS OUT g73,004.00 324,79176 0.00 148212.24 TOTAL CAPITAL IMPROVEMENT _ _ 013 :7 ATTAGHMENIZ LA OUINTA REDEVELOPMENT AGENCY REVENUE SUMMARY PROJECT AREA NO. 1: LOWIMODERATE BOND FUND: Allocated Interest Home Sale Proceeds Non Allocated Interest Transfer In TOTAL LOWIMOD BOND LOWIMODERATE TAX FUND: Tax Increment Allocated Interest Non Allocated Interest Miscellaneous revenue Non Allocated Interest LORP-Rem Revenue Home Sales Proceeds Sale of Land Sevier Subsidy Reimbursements Rehabilitation Loan Repayments 2nd Trust Deed Repayment Transfer In TOTAL LOW/MOD TAX DEBT SERVICE FUND: Tax Increment Allocated Interest Non Allocated Interest [Merest - County Loan Interest Advance Proceeds Transfers In TOTAL DEBT SERVICE 07101/2008 - 0713112008 REMAINING % BUDGET RECEIVED BUDGET RECEIVED 0.00 0.00 000 0 000% 0.00 000 000 0000% 0.00 0.00 000 0 000 % 0.00 000 000 0.000% 0.00 0.00 000 0.000% 11,501,20000 1,248.47 11,499,95153 0.010% 53,000 00 000 53,000 00 0.000% 000 7429 (74 29) 0.000% 000 O.Oo 000 0.000% 000 000 0.00 0.000 % 225,00000 21,496.00 203,504.00 9.550% 150,000 00 0.00 150,000 00 0.000% 0 DO 0.00 0.00 0 000 % 0.00 2,72565 (2,72565) 0.000% 0.00 0.00 000 0 000 % 0.00 0.00 000 0.000% 000 0.00 000 0.000% 11,929,20000 25,544.41 11,903.65559 0210% 46,004,900.00 4,99386 45,999,90614 0010% 173,600.00 0.00 173,600 00 0 000% 000 0.00 0.00 0 000% 000 000 0.00 0.000% 000 000 0.00 0.000% 4,444,47900 000 4,444,479.00 0.000% 50,622,979 00 4,99366 50,617,985.14 0.010% CAPITAL IMPROVEMENT FUND - NON-TAXABLE Pooled Cash Allocated Interest 000 0DO 0.00 0.000% Non Allocated Interest 300,000.00 9,449.22 290,55078 3150% Developer Agreement Funding )AO 0.00 000 0ODD% Sale of Land Proceeds 3,894,600.00 000 3,894,600.00 0.OD0% Rental Income 0.00 0.00 000 0 000% Transfers In 15 000 000.00 000 15,000,000.00 0 000% TOTAL CAPITAL IMPROVEMENT 19,194,600.00 9,449.22 19,185,15078 0050% CAPITAL IMPROVEMENT FUND - TAXABLE Pooled Cash Allocated Interest 0.00 0.00 000 0 000% Non Allocated Interest 000 0 00 000 0.000% Litigation Settlement Revenue 000 0.00 000 0.000% Bond proceeds 000 000 000 0.000% Rental Income 000 000 0.00 0.000% Transfers In 000 000 0.00 0.000 % TOTAL CAPITAL IMPROVEMENT 000 000 0.00 0.000% 014 0 LA QUINTA REDEVELOPMENT AGENCY 07/0112008 - 07/3112008 REMAINING EXPENDITURE SUMMARY BUDGET EXPENDITURES ENCUMBERED BUDGET PROJECT AREA NO. 1: LOWIMODERATE BOND FUND PERSONNEL 000 000 0.00 0.00 SERVICES 0.00 000 0.00 0.00 REIMBURSEMENT TO GEN FUND 000 000 000 0.00 HOUSING PROJECTS 0.00 0.00 0.00 000 TRANSFERS OUT 0.00 0.00 000 000 TOTAL LOWIMOD BOND LOW/MODERATE TAX FUND: PERSONNEL 1,10000 0.00 000 1,10000 SERVICES 308,760.00 10,02553 0.00 298,73447 BUILDING HORIZONS 000 000 000 000 LQ RENTAL PROGRAM 275,00000 0.00 000 275,000.00 SLIDING HORIZONS 250,000.00 0.00 0.00 250,000.00 LAND ACQUISITION 14,040.00 0.00 (14,040.00) LOW MOD HOUSING PROJECTS 0.00 0.00 0.00 0.00 FORECLOSURE 150,000.00 000 0.00 150,000.00 REIMBURSEMENT TO GEN FUND 706,27100 58,85609 0.00 647,414.91 TRANSFERS OUT 4,444.479 00 000 000 4,444,479.00 TOTAL LOWIMOD TAX DEBT SERVICE FUND: SERVICES 403,200.00 1.53000 0.00 401,67000 BOND PRINCIPAL 2,960,00000 000 000 2,960,000.00 BONDINTEREST 7,330,169.00 0.00 000 7,330,18900 INTEREST CITY ADVANCE 1,020,000.00 85,00000 000 935,000.00 PASS THROUGH PAYMENTS 25,404,68000 391,24173 000 25,013,438.27 ERAF SHIFT 000 0.00 000 000 TRANSFERS OUT 18,966,396.00 0.00 0.00 18,966 396.00 TOTAL DEBT SERVICE CAPITAL IMPROVEMENT FUND: _27 PERSONNEL 1,10000 000 0.00 1,100.00 SERVICES 902.86500 13,499.14 000 889,385.86 LAND ACQUISITION 000 0.00 000 000 ASSESSMENT DISTRICT 0.00 0.00 0.00 000 ADVERTISING -ECONOMIC DEV 0.00 0.00 0.00 0.00 ECONOMIC DEVELOPMENT 0.00 0.00 000 000 BOND ISSUANCE COSTS 0.00 000 0.00 0.00 CAPITAL -BUILDING 9,00000 0.00 000 9,00000 REIMBURSEMENT TO GEN FUND 294,883.00 24,57367 0.00 270,30933 TRANSFERS OUT 59,521,81500 59,49724 000 59,462,317.76 TOTAL CAPITAL IMPROVEMENT CAPITAL IMPROVEMENT FUND/TAXABLE BOND BOND ISSUANCE COSTS 0.00 000 000 0.00 TRANSFERS OUT 000 0.00 0.00 000 TOTAL CAPITAL IMPROVEMENT 015 LA OUINTA REDEVELOPMENT AGENCY 0710112008. 07/31/2008 REMAINING % REVENUE SUMMARY BUDGET RECEIVED BUDGET RECEIVED PROJECT AREA NO.2: LOWIMODERATE BOND FUND: Allocated Interest 000 0.00 0.00 0,000% Non Allocated Interest 0.00 0 DO 0.00 0 000% Band proceeds (net) 0.00 000 0.00 0000% Transfer In 000 0.00 000 0.000% TOTAL LOWMOD BOND 000 0.00 0.00 0.000% LOWIMODERATE TAX FUND: Tax Increment 5,872,70000 1,23105 5,871,46895 0020% Allocated Interest 380,500 00 0.00 380,500 00 0.000% Non Allocated Interest 0.00 000 O.00 0.000 % Developerfunding 000 O.OD 0.00 0,000% Vista Dunes MHP Ramat Rev 0.00 000 0.00 0 000 % 2nd Trust Deed Repayment 000 coo 000 0 000 % ERAF Shift - Interest 000 0.00 000 0.000% Sale of Land 0.00 0.00 0 OD 0.000% Mirallores Note Repayment 0.00 0.00 0.00 0000% Transfer In 000 000 0.00 0000% TOTAL LOWMOD TAX 6,253,20000 1,23105 6,251,968.95 0020% 20D4 LOW/MODERATE BOND FUND: Allocated Interest 0.00 000 0.00 0000% Home Sale Proceeds 000 0.00 000 0.000% Non Allocated Interest 102,00000 51.40739 50,592.61 50A00% Transfer In 0.00 0.00 coo 0.000% TOTAL LOW/MOD BOND 102,00000 51,407.39 50.59261 50400% DEBT SERVICE FUND: Tax Increment 23,490.800.00 4,924.21 23,485,87579 0.020% Allocated Interest 0.00 000 0.00 0000% Non Allocated Interest 0.00 coo 000 0.000% Interest Advance Proceeds 0.00 0 00 0.00 0.000% Transfer In 1,953,59800 0.00 195359800 0000% TOTAL DEBT SERVICE 25,444,398.D0 4,924.21 25,439,473.79 0020% CAPITAL IMPROVEMENT FUND: Allocated Interest 84,00000 000 84,000.00 O.D00% Non Allocated Interest 000 0.00 0.00 0 000 % Developer Agreement 0 00 0 OD 0.00 0 000 % Transfers In 0.00 0.00 000 0000%. TOTAL CAPITAL IMPROVEMENT 84,000.00 0.00 84,000 00 0,000% 016 93 LA QUINTA REDEVELOPMENT AGENCY 07/01/2008 - 07/3112008 REMAINING EXPENDITURE SUMMARY PROJECT AREA NO. 2: BUDGET EXPENDITURES ENCUMBERED BUDGET LOWIMODERATE BOND FUND 2nd TRUST DEEDS 0.00 000 000 000 LAND 000 000 000 000 BOND ISSUANCE COSTS 000 000 0.00 0.00 TRANSFERS OUT 000 0.00 000 0.00 TOTAL LOW/MOD BOND LOWIMODERATE TAX FUND: PERSONNEL 700.00 000 000 70000 SERVICES 367.54000 3,57221 0.00 363,96779 2ND TRUST DEEDS 0.00 000 0.00 0.00 LOW MOD HOUSING PROJECTS 0.00 000 0.00 000 FORECLOSURE ACQUISITION 100,00000 000 000 100,000.00 VISTA DUNES PARK 60,000.00 000 0.00 50,00000 LAND ACQUISITION 0.00 0.00 0.00 0.00 REIMBURSEMENT TO GEN FUND 360,604.00 30.050 41 0.00 330,553 59 TRANSFERS OUT 4,46871400 -o,3453640�37' (227740) 000 447099140 TOTAL LOW/MOD TAX S'3Tg3T2 2004 LOWIMODERATE BOND FUND HOUSING PROGRAMS 000 280,000 00 0.00 (280,000 00) LAND 0.00 0.00 0.00 0.00 TRANSFERS OUT 12,390,202 00 0.00 12,390 202.00 TOTAL LOWIMOD BONDOu 010001 DEBT SERVICE FUND: SERVICES 209,30000 000 000 209.30000 BOND PRINCIPAL 115,000.00 000 0.00 115,00000 BOND INTEREST 305,184.00 0.00 0.00 305,184.00 INTEREST CITY ADVANCE 1,656,528.00 138,044.00 000 1,518,484.00 PASS THROUGH PAYMENTS 19.248,787.00 2,01146 0.00 19,246.775 54 TRANSFERS OUT 1,953.59800 000 000 1953,598.00 TOTAL DEBT SERVICE CAPITAL IMPROVEMENT FUND: PERSONNEL 70000 000 000 SERVICES 179.64500 11,162.47 0.00 CAPITAL 9,000.00 0.00 000 ECONOMIC DEVELOPMENT ACTIVITY 000 0.00 000 REIMBURSEMENT TO GEN FUND 60,74100 5,061.83 000 TRANSFERS OUT 74,896.00 1583 000 TOTAL CAPITAL IMPROVEMENT _ o11 NJ Tit(f 44Q COUNCIL/RDA MEETING DATE: September 16, 2008 ITEMTITLE: Consent to an Assignment and Assumption Agreement by and Between CP Development La Quinta, LLC, and Dolphin La Quinta, LLC for Property Located at the Southeast Corner of Washington Street and Miles Avenue RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Consent to an Assignment and Assumption Agreement by and Between CP Development La Quinta, LLC, and Dolphin La Quinta, LLC for property located at the southeast corner of Washington Street and Miles Avenue, and authorize the City Manager to execute a consent to the agreement. FISCAL IMPLICATIONS: None for this action. BACKGROUND AND OVERVIEW: On December 18, 2003, the La Quinta Redevelopment Agency entered into a Disposition and Development Agreement ("DDA") with CP Development La Quinta, LLC for the sale and development of approximately 50 acres located at the southeast corner of Washington Street and Miles Avenue. The approved Specific Plan includes a multi -use commercial and residential project consisting of the following: a medical office/surgical facility; two sit-down restaurants; a mid -price suites hotel; sanctuary villas; resort -style condominium/casitas development; and two single-family residential developments• with forty (40) homes restricted for sale to eligible buyers at an affordable housing cost. To date, the Homewood Suites Hotel has opened; 44 casitas units have been constructed by Lennar; Eisenhower Medical Center is under construction on its first medical office building; Applebee's Restaurant has opened; and 018 Hibachi Restaurant has purchased the other restaurant parcel for its second Coachella Valley location. In May 2008, Dolphin La Quinta, LLC ("Dolphin") purchased Lennar's holdings within the Centre Pointe development. This transaction included the completed 44-unit casitas development (40 units east of the Homewood Suites, and four units northwest of the Homewood Suites), and another vacant parcel along Miles Avenue. Dolphin is conducting a "land swap" transaction with CP Development wherein CP Development would obtain a portion of the Lennar site that is approved for 16 units and developed with a four -unit single story condominium hotel building ("Parcel A" shown on Attachment 1) and transfer to Dolphin the 2.18 acre residential parcel located southwest of the Miles Avenue and Seeley drive intersection ("Parcel 3" shown on Attachment 1). This transaction is scheduled to close on or about September 30, 2008. This transaction requires an Assignment and Assumption Agreement (Attachment 2), wherein the City and Agency consent to assign all current DDA and DA rights and obligations specific to these parcels to Dolphin. Dolphin is working with staff on a development program for its holdings within Centre Pointe, which may require Disposition and Development Agreement, Development Agreement, and Specific Plan amendments if the new development program differs from the program within the existing DDA and DA. The parcels are zoned Tourist Commercial, and the Specific Plan calls for resort casitas. Dolphin's proposed development program and possible amendments will come before the City Council and Agency Board at a later date. CP Development has indicated that it plans to market Parcel A for restaurant or retail uses once the "land swap" is complete. In order to do this, the DDA, DA, and Specific Plan will need to be amended. The General Plan and Zoning designation for Parcel A is Tourist Commercial. This designation allows for uses such as small retail outlets (less than 10,000 square feet); general services (e.g., salons, travel agencies, etc.); restaurants and small food outlets (e.g., yogurt shops, coffee houses, pastry shops, etc.); galleries, including schools that teach fine arts; dance studios; theaters (live and movie); as well as hotel/motel, and resort residential. The Specific Plan also designates resort casitas for this parcel; a change in use will require a Specific Plan amendment. FINDINGS AND ALTERNATIVES: The alternatives available to the Agency Board include: 019 1. Consent to an Assignment and Assumption Agreement by and Between the City of La Quinta, the La Quinta Redevelopment Agency, CP Development La Quinta, LLC, and Dolphin La Quinta, LLC for property located at the southeast corner of Washington Street and Miles Avenue, and authorize the City Manager to execute a consent to the agreement; or 2. Do not consent to an Assignment and Assumption Agreement by and Between the City of La Quinta, the La Quinta Redevelopment Agency, CP Development La Quinta, LLC, and Dolphin La Quinta, LLC for Property Located at the Southeast Corner of Washington Street and Miles Avenue; or 3. Provide staff with alternative direction. Respectfully submitted, �cs- Douglas R. Evans Assistant City Manager — Development ervices Approved for submission by: Thomas P. Genovese, Executive Director Attachments: 1. Parcel Map 2. Assignment and Assumption Agreement N 020 ATTACHMENT 1 I1• m OAMW CL N I I � TM .07•,BZ.� N) ' J d N � � J N .SS I.SS a J y 4�\��j a� U� R 6 R ,y 882/015610-0107 - 94503204e09/05108 -16- '°°„ 021 ATTACHMENT 2 REQUESTED BY AND WHEN RECORDED MAIL TO: La Quinta Redevelopment Agency 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Manager Recording Fee Pursuant to Govemment Code § 27383 ASSIGNMENT AND ASSUMPTION AGREEMENT This Assignment and Assumption Agreement ( "Assignment") is entered into this day of September, 2008 by and between CP DEVELOPMENT LA QUINTA, LLC, a California limited liability company ("CP") and DOLPHIN LA QUINTA, LLC, a California limited liability company ("Dolphin") with reference to the following: A. WHEREAS, Dolphin is the owner in fee simple of certain real property located at the southeast corner of Miles Avenue and Washington Street in the City of La Quinta, California, as more particularly described on Exhibit "A" attached hereto and incorporated herein by this reference (the "Dolphin Property'). B. WHEREAS, CP is the owner in fee simple of certain real property located adjacent to the Dolphin Property, as more particularly described on Exhibit "B" attached hereto and incorporated herein by this reference (the "CP Property'). For reference purposes, a diagram from Parcel Map Number 31116 referred to in Exhibits A and B which delineates the boundaries of the Dolphin Property and the CP Property is attached hereto and incorporated herein as Exhibit "C" (identified thereon as Parcel "2" and Parcel "3" respectively). C. WHEREAS, CP acquired the CP Property, the Dolphin Property (presently owned by Dolphin), and certain other adjacent real property from the La Quinta Redevelopment Agency, a public body, corporate and politic ("A en ") pursuant to the terms of that certain Disposition and Development Agreement dated on or about December 18, 2003, and as further amended over time through a series of six amendments on or about the following dates: October 28, 2004; December 7, 2004; November 2, 2005; October 20, 2006; August 23, 2007; March 19, 2008 (hereinafter collectively referred to as the "DDA"). D. WHEREAS, on December 18, 2003, the City of La Quinta ("C") and CP entered into that certain Development Agreement which was recorded in the Official Records of the County Recorder for the County of Riverside on January 5, 2004 as Instrument No. 2004-0005256, and amended by that certain Amendment No. 1 to Development Agreement executed on or about October 28, 2004 and recorded in the Official Records of the County Recorder for the County of Riverside on November 8, 2004 as Instrument No. 2004-0885063, by that certain Amendment No. 2 tc 182/015610-0107 945032 04 a09/05/08 -1- 022 Development Agreement executed on or about November 17, 2005 and recorded in the Official Records of the County Recorder for the County of Riverside on December 19, 2005 as Instrument No. 2005-1045418, and by that certain Amendment No. 3 to Development Agreement executed on or about May 6, 2008 and recorded in the Official Records of the County Recorder for the County of Riverside on June 4, 2008 as Instrument No. 2008-0303530 (hereinafter collectively referred to as the "DA"). E. WHEREAS, subsequent to CP's purchase from the Agency of the Dolphin Property, CP sold the Dolphin Property to Lennar Homes of California ("Lennar") pursuant to an assignment and assumption agreement consented to by the Agency and the City. Pursuant to the DDA, the DA, and the entitlements previously issued by the City, a total of one hundred thirty-two (132) condom in ium/casitas units are required to be developed on the Dolphin Property (the "Dolphin Property Casitas Development"). As of the Effective Date, on the Dolphin Property forty (40) condominium/casitas units have been constructed by Lennar and have received certificates of occupancy by the City, and another four (4) condominium/casitas units have been partially constructed by Lennar. F. WHEREAS, subsequent to Lennar's purchase from CP of the Dolphin Property, Lennar sold the Dolphin Property to Dolphin and transferred all of Lennar's rights and obligations with respect to the Dolphin Property and the Dolphin Property Casitas Development to Dolphin pursuant to an assignment and assumption agreement consented to by the Agency and the City. In connection with Dolphin's acquisition of the Dolphin Property from Lennar, Dolphin deposited Four Hundred Thousand Dollars ($400,000.00) ("Performance Deposit") into an escrow pursuant to an Agreement for Deposit of Funds dated May 22, 2008, by and among the Agency, the City, Lennar, and Dolphin (the "Deposit Agreement"). Under the Deposit Agreement at paragraph I.a.ii, the Performance Deposit shall be disbursed to Dolphin if prior to September 30, 2008, CP and Dolphin close an escrow providing for the conveyance to CP of the "Transfer Parcel" (as defined in Recital H below) and CP conveying to Dolphin the CP Property. G. WHEREAS, pursuant to the DDA, and DA, and the entitlements previously issued by the City, a total of thirty-two (32) condominium/casitas units are required to be developed on the CP Property (the "CP Property Casitas Development"). As of the Effective Date, no condominium/casitas units have been developed on the CP Property. H. WHEREAS, Dolphin and CP have entered into mutual exchange agreements both originally dated as of June 23, 2008, and both subsequently amended on July 28, 2008, and August 7, 2008 (collectively the "Exchange Agreement") pursuant to which Dolphin would transfer to CP a portion of the Dolphin Property (the "Transfer Parcel"), and CP would transfer to Dolphin the entire CP Property. As a closing condition to the Exchange Agreement, Dolphin is processing through the City, Lot Line Adjustment No. 2008-495 (the "Lot Line Adjustment") the boundaries of which are more fully detailed on the proposed certificate for the Lot Line Adjustment attached hereto and incorporated herein as Exhibit "D". The Lot Line Adjustment would have the effect of combining all portions of the Dolphin Property (other than the Transfer Parcel) 882/015610-0107 945032 04 a09/05/08 -2- - 023 with the CP Property as a single parcel (identified on Exhibit D as Parcel "B") and establishing the Transfer Parcel as a new parcel (identified on Exhibit D as Parcel "A"). Following the City's approval of the Lot Line Adjustment, legal descriptions for the Transfer Parcel (i.e., Parcel "A" on Exhibit D) and the combined Dolphin Property (excepting the Transfer Parcel) with the CP Property (i.e., Parcel `B" on Exhibit D) shall be substantially in the form reflected on attached and incorporated Exhibit "E", respectively. I. WHEREAS, the portion of the Dolphin Property Casitas Development required to be constructed on the Transfer Parcel (the "Transfer Parcel Casitas Development") includes the required construction of: (i) sixteen (16) condominium/casitas units, (ii) parking, and (iii) associated amenities. As of the Effective Date, on the Transfer Parcel four (4) condominium/casitas units have been almost completely constructed by Lennar but none of such units have been issued certificates of occupancy, and construction of the required parking and associated amenities has not yet commenced. J. WHEREAS, upon the closing under the Exchange Agreement (i) Dolphin desires to transfer and assign to CP the Transfer Parcel, and concurrently therewith, to transfer and assign to CP all of Dolphin's rights and responsibilities under the DDA and the DA with respect to the Transfer Parcel and the Transfer Parcel Casitas Development; and (ii) CP desires to transfer and assign to Dolphin the CP Property, and concurrently therewith, to transfer and assign to Dolphin all of CP's rights and responsibilities under the DDA and the DA with respect to the CP Property and the CP Property Casitas Development. K. WHEREAS, the Agency and the City require Dolphin and CP execute this Assignment to memorialize acknowledgement of the rights and development obligations of the Dolphin Property and the CP Property as further detailed in the DDA and DA and to provide for the assumption of such obligations. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. Dolphin Transfer to CP. a. Dolphin hereby assigns to CP all of Dolphin's rights and responsibilities under the terms of the DDA and the DA with respect to the Transfer Parcel and the Transfer Parcel Casitas Development from and after the "Effective Date" (as that term is defined in Section 4 below) of this Assignment. b. CP hereby accepts the foregoing assignment and agrees to be bound by the terms of the DDA and the DA with respect to the Transfer Parcel and the Transfer Parcel Casitas Development from and after the Effective Date. 882/015610-0I07 945032 04 a09/05/08 -3- u' 024 c. The parties hereto acknowledge and agree that CP shall not be responsible for any of the obligations of the DDA or the DA which arise from ownership of the Transfer Parcel existing prior to the Effective Date hereof. As such, a default by Dolphin under either the DDA or the DA with respect to the Transfer Parcel prior to the Effective Date hereof shall not be deemed a default by CP, and Dolphin shall indemnify, defend and hold harmless CP from any and all losses, claims or liability, including without limitation reasonable attorneys' fees and costs, arising from any such default by Dolphin. A default by CP under either the DDA or the DA with respect to the Transfer Parcel after the Effective Date hereof shall not be deemed a default by Dolphin, and CP shall indemnify, defend and hold harmless Dolphin from any and all losses, claims or liability, including without limitation reasonable attorneys' fees and costs, arising from any such default by CP. 2. CP Transfer to Dolphin. a. CP hereby assigns to Dolphin all of CP's rights and responsibilities under the terms of the DDA and the DA with respect to the CP Property and the CP Property Casitas Development from and after the Effective Date of this Assignment. b. Dolphin hereby accepts the foregoing assignment and agrees to be bound by the terms of the DDA and the DA with respect to the CP Property and the CP Property Casitas Development from and after the Effective Date. c. The parties hereto acknowledge and agree that Dolphin shall not be responsible for any of the obligations of the DDA or the DA which arise from ownership of the CP Property existing prior to the Effective Date hereof. As such, a default by CP under either the DDA or the DA with respect to the CP Property prior to the Effective Date hereof shall not be deemed a default by Dolphin, and CP shall indemnify, defend and hold harmless Dolphin from any and all losses, claims or liability, including without limitation reasonable attorneys' fees and costs, arising from any such default by CP. A default by Dolphin under either the DDA or the DA with respect to the CP Property after the Effective Date hereof shall not be deemed a default by CP, and Dolphin shall indemnify, defend and hold harmless CP from any and all losses, claims or liability, including without limitation reasonable attorneys' fees and costs, arising from any such default by Dolphin. 3. Requirement for Amendments to DDA DA and Center Point Specific Plan. CP acknowledges and agrees that prior to CP commencing any development on the Transfer Parcel CP shall be required to process through the City amendments to the DDA, DA, and Center Point Specific Plan (SP2001-055) that permit the development contemplated on the Transfer Parcel by CP. Dolphin acknowledges 882/00610-0107. 945032 04 a09/05/08 -4- «... 025 and agrees that prior to Dolphin commencing any development on the CP Property Dolphin shall be required to process through the City amendments to the DDA, DA, and Center Point Specific Plan (SP2001-055) that permit the development contemplated on the CP Property by Dolphin. 4. Effective Date. This Assignment shall be deemed effective (the "Effective Date") upon the last of the following events to occur: (a) the written consent to this Assignment by the City with respect to the assigned rights and obligations arising under the DA, (b) the written consent to this Assignment by the Agency with respect to the assigned rights and obligations arising under the DDA, (c) conveyance of the CP Property to Dolphin and the Transfer Parcel to CP at the closing under the Exchange Agreement, as evidenced by the recording of the grant deeds therefor in the Official Records of the County Recorder for the County of Riverside, California and (d) the recordation of the Lot Line Adjustment in the Official Records of the County of Riverside. 5. Recording of Documents. This Assignment and four (4) other documents are to be recorded in the Official Records of the County Recorder for the County of Riverside, California at the closing as further detailed in the Exchange Agreement. The order and description of documents to be recorded pursuant to the Exchange Agreement are: (a) first, a grant deed from CP to Dolphin conveying the CP Property; (b) second, the Lot Line Adjustment; (c) third, a grant deed (e.g., `perfecting' deed) from Dolphin to Dolphin for the entire property covered by the Lot Line Adjustment (inserting the new lot boundaries into the chain of title); (d) fourth, a grant deed from Dolphin to CP conveying the Transfer Parcel; and (e) fifth, this Assignment. Upon completion of steps one through four [(a)-(d)] herein, escrow will be in a position to disburse the Performance Deposit to Dolphin. Notwithstanding the foregoing, in the event that the fully executed and notarized deeds described herein (collectively "Deeds") are tendered to escrow prior to September 30, 2008, to be held in trust for recording pursuant to the Exchange Agreement, but escrow is not in a position to close prior to September 30, 2008 due to either (i) a cause that is not the fault of Dolphin and is beyond Dolphin's control (such as a backlog or other conditions experienced by escrow or the County Recorder, but not including Dolphin's or CP's inability or unwillingness to proceed with the closing), or (ii) the City has delayed the finalization of the Lot Line Adjustment due to no fault of Dolphin, then escrow shall be permitted to disburse the Performance Deposit to Dolphin following recording of the Deeds. 6. Corporate Authority. Except as otherwise described in paragraph 3 above, the parties hereto each warrant and represent that they have taken all necessary corporate action to authorize the execution and performance of this Assignment and that the individuals executing this document on behalf of the parties are authorized to do so, and by doing so, create binding obligations as described herein of the party represented. 882/015610-0107 945032 04 a09/05108 -5- 026 Governing Law. This Assignment shall be governed by the internal laws of the State of California, without regard to conflict of law principles. 8. Counterparts. This Assignment may be executed in counterparts, and counterpart signature pages may be combined into one or more fully executed original for recording purposes. [Signature pages follow] 892/015610-0107 945032 04 a09/05/08 -6- 021 WHEREFOR, the parties hereto have executed this Assignment on the date first written above. «CP„ CP DEVELOPMENT LA QUINTA, LLC a California limited liability company By: Oliphant Family Trust Its: Member By: Richard R. Oliphant Its: Trustee By: Oliphant Enterprises, Inc. Its: Manager By: Richard R. Oliphant Its: President "Dolphin" DOLPHIN LA QUINTA, LC a California limited lia ilit con By: Dolphin Parti InQ!, a corporation Its: Manager By: Kevin S. 5tts Its: Presi t 882/015610-0107 945032.04 a09/05108 '7- 028 State of California ) County of ) On before me, Public, Notary (here insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose names) 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. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) State of California ) County of i ' cA ) On P4 5 % k i , before me, Notary Public, personally appeared who proved to me on the basis of satisfa (here insert name and title of the officer) evidence to be the personW whose Mire subscribed to the within instrument, and acknowledged to the that he/sheAhey executed the same in his/her/their authorized capacity(ies),- and that by his/her/their signature(sl on the instrument the person(s), or the entity upon behalf of which the person(s acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. P ®® t7ptj 61041 lttr Ptao - Cowardo ' � pMM40 t0ec2%20/1 Signature L�l' i� �.E_ Jam' i�� (seal) 882/013610-0107 945032 04 a09/05108 -8- q- 029 CONSENT By execution below, the Agency and City hereby (i) consent to the foregoing Assignment; (ii) release CP from any further obligations under the DA or DDA with respect to the CP Property and the CP Casitas Development; and (iii) release Dolphin from any further obligations under the DA or DDA with respect to the Transfer Parcel and the Transfer Parcel Casitas Development. Further, upon recordation in the Official Records of the County of Orange of (a) the Deeds, and (b) the Lot Line Adjustment, the City and Agency hereby authorize the disbursement of the Performance Deposit to Dolphin. Notwithstanding the foregoing, in the event that the fully executed and notarized Deeds are tendered to escrow prior to September 30, 2008, to be held in trust for recording pursuant to the Exchange Agreement, but escrow is not in a position to close prior to September 30, 2008 due to either (1) a cause that is not the fault of Dolphin and is beyond Dolphin's control (such as a backlog or other conditions experienced by escrow or the County Recorder, but not including Dolphin's or CP's inability or unwillingness to proceed with the closing), or (2) the City has delayed the finalization of the Lot Line Adjustment due to no fault of Dolphin, then escrow shall be permitted to disburse the Performance Deposit to Dolphin following recording of the Deeds, even if such recording takes place on or after September 30, 2008. Agency and City agree to provide any additional authorizations or instructions that may be necessary to facilitate such disbursement. LA QUINTA REDEVELOPMENT AGENCY, a public body, corporate and politic By: Its: Executive Director ATTEST: Agency Secretary APPROVED AS TO FORM: RUTAN & TUCKER, LLP Agency Counsel 882/01561M10'/ 945032 04 a09/05/08 -9- 030 CITY OF LA QUINTA, a California municipal corporation and charter city organized and existing under the laws of the State of California By: Its: City Manager ATTEST: City Clerk APPROVED AS TO FORM: RUTAN & TUCKER, LLP City Attorney 882/015610-0107 W5032 04 .09/05/08 - t Q- 03I State of California ) County of ) On before me, , Notary Public, (here insert name and title of the officer) personally appeared who 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. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) 032 882/. 0 0 e,2/17,07 EXHIBIT "A" LEGAL DESCRIPTION OF THE DOLPHIN PROPERTY THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF RIVERSIDE, DESCRIBED AS FOLLOWS: PARCEL 2 OF PARCEL MAP NO. 31116, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN ON THE PARCEL MAP FILED ON APRIL 4, 2005, IN BOOK 212 OF PARCEL MAPS, AT PAGES 60-66, AS INSTRUMENT NO. 2005-0262238, IN THE OFFICE OF THE COUNTY RECORDER OF RIVERSIDE COUNTY. 882/015610 l07 945032 04 a09/05108 033 EXHIBIT `B" LEGAL DESCRIPTION OF CP PROPERTY THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF RIVERSIDE, DESCRIBED AS FOLLOWS: PARCEL 3 OF PARCEL MAP NO. 31116, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN ON THE PARCEL MAP FILED ON APRIL 4, 2005, IN BOOK 212 OF PARCEL MAPS, AT PAGES 60-66, AS INSTRUMENT NO. 2005-0262238, IN THE OFFICE OF THE COUNTY RECORDER OF RIVERSIDE COUNTY. 882/015610-0107 -12- 945032 04 a09/05/08 " 034 882/015610-0109 945032 04 ¢09/05108 EXHIBIT "C" BOUNDARY DIAGRAM FROM PARCEL MAP NO. 31116 (PAGE 63 OF PARCEL MAP. NO. 31116) [See following page] 13- 035 4- :- 882/0 3 G Q® I� ■ ■ h! y g `|�\\ , § \ \ �• |§§�\ • �! * 036 EXHIBIT "D" EXHIBIT `B'- CERTIFICATE OF LOT LINE ADJUSTMENT NO. 2008-495 CITY OF LA QUINTA, COUNTY OF RIVERSIDE, CALIFORNIA [See following pages] 882/015610-0107 -15- 945032 04 a09/05108 " C37 p4 Oto r 0 � N I � Z8Ll -vNi ti zz I.. < !Wc O V/rp p C LL .S9 O JO m w gr0� 9 LU 4 Z -(AA..04,9ZA0) n In to zz J v ZQ C N6Z Z a a Uu00ia 11 # %�ZS 1° Q rn a $ 11 J IW �L n lu z J � � • w �tz� m ,951.59 J Vdi a 12 nn Zti > �o (v / 9 pK QF yw N / LS i �'yoaa 0 S "2/015510-0109 945032 04 •09/05/08 16- �'•' - 038 la §OD 2 § o! |# ` 2$ W § � m44# 990-7R � \ 2 § _ §- �, � | / ) j Q ILo ; § k },n); \ ) §@ b» § --------------- ( \,\q\\an,,a\\\\, k _mom m �� �039 EXHIBIT "E" LEGAL DESCRIPTIONS FOR NEW PARCELS "A" AND "B" (EXHIBIT `A' - LOT LINE ADJUSTMENT NO. 2008-495) CITY OF LA QUINTA, COUNTY OF RIVERSIDE, CALIFORNIA [See following pages] 882/015610-0102 -18- 945032.04 a09/05/08 040 40 hr.. . EXHIBIT "A" LOT LINE ADJUSTMENT NO. 2008 - 495 PARCEL "A"; IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, THAT PORTION OF PARCEL 2 OF PARCEL MAP NO. 31116, AS SHOWN BY MAP ON FILE IN BOOK 212, AT PAGES 60 THROUGH 66, INCLUSIVE, OF PARCEL MAPS, OFFICIAL RECORDS OF SAID RIVERSIDE COUNTY, ALSO BEING IN THE SOUTH HALF OF SECTION 19, TOWNSHIP 5 SOUTH, RANGE 7 EAST, S.B.M., MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWEST CORNER OF SAID PARCEL 2; THENCE ALONG THE NORTHERLY LINE OF SAID PARCEL 2 THE FOLLOWING THREE (3) COURSES: (1) THENCE NORTH 88-08*53" EAST A DISTANCE OF 203.25 FEET; (2) THENCE NORTH 89"31'23" EAST A DISTANCE OF 124.81 FEET; (3) THENCE NORTH 89"3T22" EAST A DISTANCE OF 220.92 FEET; THENCE LEAVING SAID NORTHERLY LINE SOUTH 19"25'33" EAST A DISTANCE OF 64.30 FEET; THENCE SOUTH 14033'39" WEST A DISTANCE OF 67.86 FEET; THENCE NORTH 75026'21" WEST A DISTANCE OF 24,01 FEET; THENCE SOUTH 14033'39" WEST A DISTANCE OF 42.63 FEET TO AN ANGLE POINT ON THE WESTERLY LINE OF SAID PARCEL 2, ALSO BEING THE NORTHEAST CORNER OF PARCEL 4 OF SAID PARCEL MAP NO, 31116; THENCE ALONG SAID WESTERLY LINE OF PARCEL 2 THE FOLLOWING SIX (6) COURSES: (1) THENCE NORTH 78"26'24" WEST A DISTANCE OF 179.86 FEET; (2) THENCE SOUTH 71 "26'37" WEST A DISTANCE OF 51.11 FEET; (3) THENCE SOUTH 57"38'20" WEST A DISTANCE OF 203.09 FEET; (4) THENCE SOUTH 53"12'25" WEST A DISTANCE OF 88.76 FEET TO THE BEGINNING OF A NON -TANGENT CURVE, CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 2,114.98 FEET, A RADIAL LINE PASSING THROUGH SAID POINT BEARS NORTH 53044'23" EAST; PAGE 1 OF 5 182/015610-0107 - 19- 945032 04 "09/05/08 041 EXHIBIT "A" LOT UNE ADJUSTMENT NO. 2008 - 495 (5) THENCE ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 02014'19", AN ARC DISTANCE OF 82.64 FEET; (6) THENCE NON -TANGENT TO SAID CURVE NORTH 00°26'38" WEST A DISTANCE OF 228.66 FEET TO THE POINT OF BEGINNING. SUBJECT TO EXISTING EASEMENTS, COVENANTS, RIGHTS AND RIGHTS - OF -WAY OF RECORD. CONTAINING 102,510 SQUARE FEET OR 2.353 ACRES, MORE OR LESS. PAGE 2 OF 5 882/015610-0109 945032 04 A09/05108 -20- 6PONp,L LANp' dig BONY D. MHO L IL 4T8 E:NN /30/DB 1 n 0,42 EXHIBIT "A" LOT LINE ADJUSTMENT NO. 2008 - 495 PARCEL "B": IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, THAT PORTION OF PARCEL 2 TOGETHER WITH PARCEL 3 OF PARCEL MAP NO. 31116, AS SHOWN BY MAP ON FILE IN BOOK 212, AT PAGES 60 THROUGH 66, INCLUSIVE, OF PARCEL MAPS, OFFICIAL RECORDS OF SAID RIVERSIDE COUNTY, ALSO BEING IN THE SOUTH HALF OF SECTION 19, TOWNSHIP 5 SOUTH, RANGE 7 EAST, S.B.M., MORE PARTICULARLY DESCRIBED AS A WHOLE AS FOLLOWS: COMMENCING AT THE NORTHWEST CORNER OF SAID PARCEL 2; THENCE ALONG THE NORTHERLY LINE OF SAID PARCEL 2 THE FOLLOWING THREE (3) COURSES: (1) THENCE NORTH 88"08-53" EAST A DISTANCE OF 203.25 FEET; (2) THENCE NORTH 89"31-23" EAST A DISTANCE OF 124.81 FEET; (3)THENCE NORTH 89"33-22- EAST A DISTANCE OF 220.92 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID NORTHERLY LINE SOUTH 19"25'33" EAST A DISTANCE OF 64.30 FEET; THENCE SOUTH 14033'39" WEST A DISTANCE OF 67.86 FEET; THENCE NORTH 75"26'21" WEST A DISTANCE OF 24.01 FEET; THENCE SOUTH 14"33'39' WEST A DISTANCE OF 42.63 FEET TO AN ANGLE POINT ON THE WESTERLY LINE OF SAID PARCEL 2, ALSO BEING THE NORTHEAST CORNER OF PARCEL 4 OF SAID PARCEL MAP NO. 31116; THENCE ALONG SAID WESTERLY LINE OF PARCEL 2 THE FOLLOWING SIX (6) COURSES: (1) THENCE SOUTH 11'3V36" WEST A DISTANCE OF 149.37 FEET TO THE BEGINNING OF A NON -TANGENT CURVE, CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 139.50 FEET, A RADIAL LINE PASSING THROUGH SAID POINT BEARS NORTH 20"15'25' WEST; (2) THENCE SOUTHWESTERLY ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 64"48'59", AN ARC DISTANCE OF 157.81 FEET; PAGE 3 OF 5 882/015610-0107 945032 04 a09/05/08 -21- 043 EXHIBIT "A" LOT LINE ADJUSTMENT NO. 2008.495 (3) THENCE SOUTH 27"44'50" WEST A DISTANCE OF 60.73 FEET; (4) THENCE SOUTH 62"15'10" EAST A DISTANCE OF 167.46 FEET; (5) THENCE NORTH 60°31'08" EAST A DISTANCE OF 43.98 FEET; (6) THENCE SOUTH 29040'27" EAST A DISTANCE OF 36.75 FEET TO THE SOUTHERLY LINE OF SAID PARCEL 2 AND THE BEGINNING OF A NON - TANGENT CURVE, CONCAVE SOUTHERLY, HAVING A RADIUS OF 890,00 FEET, A RADIAL LINE PASSING THROUGH SAID POINT BEARS NORTH 26"35'27" WEST; THENCE LEAVING SAID WESTERLY LINE AND ALONG THE SOUTHERLY AND SOUTHEASTERLY LINES OF SAID PARCELS 2 AND 3 THE FOLLOWING FOUR (4) COURSES: (1) THENCE EASTERLY ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 19°00'25% AN ARC DISTANCE OF 295.24 FEET TO THE BEGINNING OF A REVERSE CURVE, CONCAVE NORTHERLY, HAVING A RADIUS OF 760.00 FEET, A RADIAL LINE PASSING THROUGH SAID POINT BEARS SOUTH 07035'02" EAST; (2) THENCE EASTERLY ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 17936'50", AN ARC DISTANCE OF 233.64 FEET TO THE BEGINNING OF A COMPOUND CURVE, CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 360.00 FEET, A RADIAL LINE PASSING THROUGH SAID POINT BEARS SOUTH 25'11'52" EAST; (3) THENCE NORTHEASTERLY ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 65-14'46", AN ARC DISTANCE OF 409.95 FEET; (4) THENCE NORTH 00°26'38" WEST A DISTANCE OF 90.92 FEET TO A POINT IN THE NORTHERLY LINE OF SAID PARCEL 3; THENCE LEAVING SAID SOUTHEASTERLY LINE NORTH 45026'38" WEST ALONG SAID NORTHERLY LINE A DISTANCE OF 4.24 FEET; THENCE CONTINUING ALONG SAID NORTHERLY LINES OF PARCEL 3 AND PARCEL 2 SOUTH 89033'22" WEST A DISTANCE OF 733.35 FEET TO THE TRUE POINT OF BEGINNING. PAGE 4 OF 5 $82/015610-0107 945032 04 "09/05/08 -22- 044 EXHIBIT 64A" LOT LINE ADJUSTMENT NO. 2008 - 495 SUBJECT TO EXISTING EASEMENTS, COVENANTS, RIGHTS AND RIGHTS - OF -WAY OF RECORD. CONTAINING 367,958 SQUARE FEET o�ptLE OR 8.447 ACRES, MORE OR LESS. c ^Ny u. R CF CN-¢!f/#+' PAGE 5 OF 5 882/01561 M107 -23- 945032 04.09/05/08 045 Titf 4 4 a" AGENDA CATEGORY: COUNCIL/RDA MEETING DATE: September 16, 2008 ITEM TITLE: Approval Of a Residential Purchase BUSINESS SESSION:5 Agreement and Joint Escrow Instructions Between the CONSENT CALENDAR: La Quinta Redevelopment Agency and Ricardo A. and Lisa H. Martinez STUDY SESSION: PUBLIC HEARING: RECOMMENDATION: Approve the Residential Purchase Agreement and Joint Escrow Instructions, and authorize the Executive Director to execute the required documents. FISCAL IMPACT: This action will result in the expenditure of $165,000 of Low -and Moderate -Income Housing Fund monies. These funds are budgeted in the current budget. BACKGROUND AND OVERVIEW: In December, 2005, the Ricardo A. Martinez and Lisa H. Martinez purchased this single family home with a La Quinta Redevelopment Agency's Second Trust Deed Loan. Mr. Martinez subsequently has relocated to secure employment elsewhere. After initially working to sell the home, Mr. and Mrs. Martinez inquired as to whether or not the Agency desired to purchase this property in order to secure its moderate -income affordability covenant. The recommended action approves the Residential Purchase Agreement and Joint Escrow Instructions (Attachment 1), and facilitates the sale to the Agency. The purchase price is $190,000, which reflects the current market value for this dwelling (confirmed by reviewing single family home sales comparables). Since the Agency has a Second Trust Deed Loan of $25,000 on this property, the net purchase cost to the Agency is $165,000. When acquired, staff recommends that the dwelling be sold to a low- or moderate - income household, and that the Agency provide a second trust deed loan to facilitate 046 the sale. If current market conditions do not support selling the dwelling, it will be then rented to a low-income household until a sale can be consummated. FINDINGS AND ALTERNATIVES: The alternatives available to the Agency Board include: 1. Approve the Residential Purchase Agreement and Joint Escrow Instructions and authorize the Executive Director to execute the required documents; or 2. Do not Approve the Residential Purchase Agreement and Joint Escrow Instructions; or 3. Provide staff with alternative direction. Respectfully submitted, A�X4r Douglas R. Evans Assistant City Manager - Development Services Approved for submission by: Thomas P. Genovese, Executive Director Attachment: 1. Residential Purchase Agreement and Joint Escrow Instructions 047 ATTACHMENT �- CAL 1 F O R N I A CALIFORNIA ® A S S O C I A T I O N RESIDENTIAL PURCHASE AGREEMENT AND JOINT ESCROW INSTRUCTIONS ®w OF RE A LT O RS a For Use With Single Family Residential Property —Attached or Detached if (CA.R. Forrn RPACA, Revised 11107) Date Aumast 1x. 2008 ,at La Quints 1. OFFER: A. THIS IS AN OFFER FROM La r>.•+ata Redevelopment Ameacv B. THE REAL PROPERTY TO BE ACQUIRED is described as 51395 Ca11e H411ma, La Quints CA , California. _("Buyer'). , Assessors Parcel No. 770-166-019 , snumeo In Let Ouinta , County of Riverside , California, ("Property"). C. THE PURCHASE PRICE offered is One Hundred Ninety Thousand - Dollare $ 190 000. 00 D. CLOSE OF ESCROW shall occur on September 15 2008 (date) (or ❑ Days After Acceptance). 2. FINANCE TERMS: Obtaining the loans below is a contingency of this Agreement unless: (1) either 2K or 2L is checked below; or (11) otherwise agreed in writing. Buyer shall ad diligently and in good faith to obtain the designated loans. Obtaining deposit, down payment and dosing costs is not a contingency. Buyer represents that funds will be good when deposited with Escrow Holder. A. INITIAL DEPOSIT: Buyer has given a deposit in the amount of ........................... .............. $ to the agent submitting the offer (or to ❑ ), by personal Check (or ❑ , ), made payable to which shall be held uncashed until Acceptance and then deposited within 3 business days after Acceptance (or ❑ ), with Escrow Holder, (or[] into Brokers bust account). B. INCREASED DEPOSIT: Buyer shall deposit with Escrow Holder an increased deposit in the amount of ..... $ within Days After Acceptance, or C] C. FIRST LOAN IN THE AMOUNT OF ......................................................$ (1) NEW First Deed of Trust in favor of lender, encumbering the Property, securing a note payable at maximum interest of %fixed rate, or % initial adjustable rate with a maximum interest rate Of %, balance due in years, amortized over years. Buyer shall pay loan fees/points not to exceed . (These terms apply whether the designated loan is conventional, FHA or VA) (2) ❑ FHA ❑ VA: (The following terms only apply to the FHA or VA loan that is checked.) Seller shall pay % discount points. Seller shall pay other fees not allowed to be paid by Buyer, ❑ not to exceed $ . Seller shall pay the cost of lender required Repairs (including those for wood destroying pest) not otherwise provided for in this Agreement, ❑ not to exceed $ . (Actual loan amount may increase 8 mortgage insurance premiums, funding fees or closing costs are financed.) D. ADDITIONAL FINANCING TERMS: ❑Seller financing (C.A.R. Form SFA),, ❑ secondary financing, ........... $ (CAR Form PAA paragraph 4A)• ❑ assun a financng (G.A.R. Form PAA paragrap 4B) E. BALANCE OF PURCHASE PRICE (not Including Costs of obtaining loans and other dosing costs) in the amount of .. $ 190, 000. 00 to be deposited with Escrow Holder within sufficient time to dose escrow. F. PURCHASE PRICE (TOTAL): ....... ............. ...................... ...................... $ 190, 000. 00 G. LOAN APPLICATIONS: Within 7 (or ❑ ) Days After Acceptance, Buyer shall provide Seller a letter from lender or mortgage loan broker stating that, based on a review of Buyers written application and credit report, Buyer is prequalified or preapproved for the NEW loan specified in 2C above. H. VERIFICATION OF DOWN PAYMENT AND CLOSING COSTS: Buyer (or Buyers lender or loan broker pursuant to 2G) shall, within 7 (or ❑ ) Days After Acceptance, provide Seller written verification of Buyers down payment and closing costs. I. LOAN CONTINGENCY REMOVAL: (1) Within 17 (or ❑ ) Days After Acceptance, Buyer shall, as specified in paragraph 14, remove the loan contingency or cancel this Agreement; OR (11) (if checked) ❑ the loan contingency shall remain in effect until the designated loans are funded. J. APPRAISAL CONTINGENCY AND REMOVAL: This Agreement is (OR, H checked, ❑ is NOT) contingent upon the Property appraising at no less than the specified purchase price. If there is a loan contingency, at the time the loan contingency is removed (or, if Checked, ❑ within 17 (or ) Days After Acceptance), Buyer shall, as specified in paragraph 14B(3), remove the appraisal contingency or cancel this Agreement. If there is no loan contingency, Buyer shall, as specified in paragraph 14B(3), remove the appraisal contingency within 17 (or ) Days After Acceptance. K. ® NO LOAN CONTINGENCY (If checked): Obtaining any ban In paragraphs 2C, 2D or elsewhere in this Agreement is NOT a contingency of this Agreement. If Buyer does not obtain the loan and as a result Buyer does not purchase the Property, Seller may be entitled to Buyers deposit or other legal remedies. L. ® ALL CASH OFFER (If checked): No loan is needed to purchase the Property. Buyer shall, within 7 (or ❑ I Days After Acceptance, provide Seller written verification of sufficient funds to dose this transaction. 3. CLOSING AND OCCUPANCY: A. Buyer intends (or ❑ does not intend) to occupy the Property as Buyers primary residence. B. Seller-occupled or vacant property: Occupancy shall be delivered to Buyer at a: 00 ❑ AM M PM, ❑ on the date of Close Of Escrow; ❑ on ; or ❑ no, later than Days After Close Of Escrow. (CA.R. Form PAA, paragraph 2.) If transfer of title and occupancy do not occur at the some time, Buyer and Seller are advised to: (1) enter into a written occupancy ement and (It) consu8 with their insurance and legal advisors. Buyers Initials ( ) The capydgit mwe w 9e United Stems (nnle 17 U.S. Cade) forbid tha wa illut d repodu�m of mm corm, or cry padbn diaegf, by puotcm msa m «any wear Sellers Initials ( ( ) maw, ncYdFg mcsimile a compNyized fameta Cq*W 0 1911 CALIFORNIA ASSOCIATION OF REALTORSe, INC. ALL RIGHTS RESERVED. R9VleWed by arre*aM� RPA-CA REVISED 11707 (PAGE 1 OF S) CAI 1Fr1RMIA RESIDENTIAL PURCHASE AGREEMENT (RPACA PAGE 1 OF 81 lM Palms Real Estate Co 61-001 Eisenhower Drive _ Le Quints - CA 92263 51395 Caller Kalima Property Address: La Quints CA 92253 Dade: August 13, 2008 C. Tenantoccupled property: (1) Property shall be vacant at least 5 (or ❑ ) Days Prior to Close Of Escrow, unless otherwise agreed in writing. Note to Seller: If you are unable to deliver Property vacant In accordance with rent control and other applicable Law, you may be In breach of this Agreement. OR (11) (if checked) ❑ Tenant to remain in possession. The attached addendum is incorporated into this Agreement (C.A.R. Form PAA, paragraph 3.); OR (Ili) (if checked) ❑ This Agreement is contingent upon Buyer and Seller entering into a written agreement regarding occupancy of the Property within the time specified in paragraph 148(1). If no written agreement is reached within this time, either Buyer or Seller may cancel this Agreement in writing. D. At Close Of Escrow, Seller assigns to Buyer any assignable warranty rights for Items included in the sale and shall provide any available Copies of such warranties. Brokers cannot and will not determine the assignability of any warranties. E. At Close Of Escrow, unless otherwise agreed in writing, Seller shall provide keys and/or means to operate all locks, mailboxes, security systems, alarms and garage door openers. If Property is a condominium or located in a common interest subdivision, Buyer may be required to pay a deposit to the Homeowners' Association ("HOA") to obtain keys to accessible HOA facilities. 4. ALLOCATION OF COSTS (If checked): Unless otherwise specified here, this paragraph only determines who Is to pay for the report, inspection, test or service mentioned. if not specified here or elsewhere in this Agreement, the determination of who is to pay for any work recommended or identified by any such report, inspection, test or service shall be by the method specified in paragraph 14B(2). A. WOOD DESTROYING PEST INSPECTION: (1) ❑ Buyer ❑ Seller shall pay for an inspection and report for wood destroying pests and organisms ("Report") which shall be prepared by , a registered structural pest control company. The Report shall cover the accessible areas of the main building and attached structures and, if checked: ❑ detached garages and carports, ❑ detached decks, ❑ the following other structures or areas . The Report shall not include roof coverings. If Property is a condominium or located in a common interest subdivision, the Report shall include only the separate interest and any exclusive -use areas being transferred and shall not include common areas, unless otherwise agreed. Water tests of shower pans on upper level units may not be performed without consent of the owners of property below the shower. OR (2) ❑ (If checked) The attached addendum (C.A.R. Form WPA) regarding wood destroying pest Inspection and allocation of cost is incorporated into this Agreement. B. OTHER INSPECTIONS AND REPORTS: (1) ❑ Buyer ❑ Seller shall pay to have septic or private sewage disposal systems Inspected (2) ❑ Buyer ❑ Seller shall pay to have domestic wells tested for water potability and productivity (3) ® Buyer ❑ Seller shall pay for a natural hazard zone disclosure report prepared by Buiva+•s Choice (4) ❑ Buyer ❑ Seller shall pay for the following inspection or report (5) ❑ Buyer ❑ Seller shall pay for the following inspection or report C. GOVERNMENT REQUIREMENTS AND RETROFIT: (1) ❑ Buyer ® Seller shall pay for smoke detector installation and/or water heater bracing, 5 required by Law. Prior to Close Of Escrow, Seller shall provide Buyer a written statement of compliance in accordance with state and local Law, unless exempt. (2) ❑ Buyer ❑ Seller shall pay the cost of compliance with any other minimum mandatory government retrofit standards, inspections and reports If required as a condition of dosing escrow under any taw. D. ESCROW AND TITLE: (1) ® Buyer ® Seller shall pay escrow fee Sach their own Escrow Holder shall be Fideli tv Escrow. Cathy Boyd (2) ❑ Buyer ® Seller shall pay for owners title Insurance policy specified in paragraph 12E Owners title policy to be issued by Fidelity National Title (Buyer shall pay for any title insurance policy insuring Buyers lender, unless otherwise agreed in writing.) E. OTHER COSTS: (1) ❑ Buyer ® Seller shall pay County transfer tax or transfer fee (2) ❑ Buyer ❑ Seller shall pay City transfer tax or transfer fee (3) ❑ Buyer ❑ Seller shall pay HOA transfer fee (4) ❑ Buyer ❑ Seller shall pay HOA document preparation fees (5) ❑ Buyer ❑ Seller shall pay the cost, not to exceed $ , of a one-year home warranty plan, issued by with the following optional coverage: (6) ❑ Buyer ❑ Seller shall pay for (7) ❑ Buyer ❑ Seller shall pay for 5. STATUTORY DISCLOSURES (INCLUDING LEAD -BASED PAINT HAZARD DISCLOSURES) AND CANCELLATION RIGHTS: A. (1) Seller shall, within the time specified in paragraph 14A, deliver to Buyer, if required by Law: (1) Federal Lead -Based Paint Disclosures and pamphlet ('Lead Disclosures'); and (11) disclosures or notices required by sections 1102 at. seq. and 1103 at. seq. of the California Civil Code ("Statutory Disclosures"). Statutory Disclosures include, but are not limited to, a Real Estate Transfer Disclosure Statement ('TDSjNatural Hazard Disclosure Statement ('NHD"), notice or actual knowledge of release of illegal controlled substance, notice of special tax and/or assessments (or, If allowed, substantially equivalent notice regarding the Mello -Roos Community Facilities Act and Improvement Bond Ad of 1915) and, if Seller has actual knowledge, an Industrial use and military ordinance location disclosure (C.A.R. Form SSD). (2) Buyer shall, within the time specified in paragraph 1413(1), return Signed Copies of the Statutory and Lead Disclosures to Seller. (3) In the event Seller, prior to Close Of Escrow, becomes aware of adverse conditions materially affecting the Property, or any material inaccuracy in disclosures, information or representations previously provided to Buyer of which Buyer is otherwise unaware, Seller shall promptly provide a subsequent or amended disclosure or notice, in writing, covering those items. However, a subsequent or amended disclosure shall not be required for conditions and material inaccuracies disclosed In reports o red and paid for try or. Buyers Initials ( ) Sellers Initials ( T( Copyright SO ®1991-2007, CALIFORNIAASCUITION OF REALTORM, INC. RPA-CA REVISED 11107 (PAGE 2 OF 8) Reviewed by a avoxi CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT (RPA-CA PAGE 2 OF 6) Agency-manO 4 9 51395 calla Xaliara Property Address: La Quints CA 92253 Date: Aumzst 13, 2008 (4) If any disclosure or notice specified in 5A(t), or subsequent or amended disclosure or notice is delivered to Buyer after the offer is Signed, Buyer shall have the right to cancel this Agreement within 3 Days After delivery in person, or 5 Days After delivery by deposit in the mail, by giving written notice of cancellation to Seller or Sellers agent. (Lead Disclosures sent by mail must be sent certified mail or batter.) (5) Note to Buyer and Seller: Waiver of Statutory and Lead Disclosures Is prohibited by Law. B. NATURAL AND ENVIRONMENTAL HAZARDS: Within the time specified in paragraph 14A, Seller shall, if required by Law: (1) deliver to Buyer earthquake guides (and questionnaire) and environmental hazards booklet; (II) even If exempt from the obligation to provide a NHD, disclose if the Property is located in a Special Flood Hazard Area; Potential Flooding (Inundation) Area; Very High Fire Hazard Zone; State Fire Responsibility Area; Earthquake Fault Zone; Seismic Hazard Zone; and (III) disclose any other zone as required by Law and provide any other information required for those zones. C. MEGAN'S LAW DATABASE DISCLOSURE: Notice: Pursuant to Section 290.46 of the Penal Code, information about specified registered sex offenders is made available to the public via an Internet Web site maintained by the Department of Justice at www.meganslaw.ce.gov. Depending on an offenders criminal history, this information will include either the address at which the offender resides or the community of residence and ZIP Code in which he or she resides, (Neither Seller nor Brokers are required to check this webshe. If Buyer wants further information, Broker recommends that Buyer obtain information from this website during Buyers Inspection contingency period. Brokers do not have expertise in this area.) 6. CONDOMINIUMIPLANNED UNIT DEVELOPMENT DISCLOSURES: A. SELLER HAS: 7 (or ❑ ) Days After Acceptance to disclose to Buyer whether the Property is a condominium, or is located in a planned unit development or other common Interest subdivision (CA.R. Form SSD). B. If the Property is a condominium or is located in a planned unit development or other common interest subdivision, Seller has 3 (or ❑ ) Days After Acceptance to request from the HOA (CA.R. Form HOA): (1) Copies of any documents required by Law; (icy disclosure of any pending or anticipated claim or litigation by or against the HOA; (III) a statement containing the location and number of designated parking and storage spaces; (iv) Copies of the most recent 12 months of HOA minutes for regular and special meetings; and (v) the names and contact information of all HOAs governing the Property (collectively, 'Cl Disclosures). Seller shall itemize and deliver to Buyer all Cl Disclosures received from the HOA and any Cl Disclosures in Sellers possession. Buyers approval of Cl Disclosures is a contingency of this Agreement as specified in paragraph 14B(3). 7. CONDITIONS AFFECTING PROPERTY: A. Unless otherwise agreed: (1) the Property Is sold (a) in he PRESENT physical condition as of the date of Acceptance and (b) subject to Buyer's Investigation rights; (it) the Property, including pool, spa, landscaping and grounds, is to be maintained in substantially the same condition as on the date of Acceptance; and (ill) all debris and personal property not included in the sale shall be removed by Close Of Escrow. B. SELLER SHALL, within the time specified in paragraph 14A, DISCLOSE KNOWN MATERIAL FACTS AND DEFECTS affecting the Property, Including known Insurance claims within the past five years, AND MAKE OTHER DISCLOSURES REQUIRED BY LAW (CA.R. Form SSD). C. NOTE TO BUYER: You are strongly advised to conduct investigations of the entire Properly in order to determine its present condition since Seller may not be aware of all defects affecting the Property or other factors that you consider Important. Property Improvements may not be bulk according to code, in compliance with current Law, or have had permits Issued. D. NOTE TO SELLER: Buyer has the right to Inspect the Property and, as specified In paragraph 14B, based upon Information discovered In those Inspections: (1) cancel this Agreement; or (11) request that you make Repairs or take other action. S. ITEMS INCLUDED AND EXCLUDED: A. NOTE TO BUYER AND SELLER: Items listed as included or excluded In the MLS, flyers or marketing materials are not included in the purchase price or excluded from the sale unless specified in 8B or C. B. ITEMS INCLUDED IN SALE: (1) All EXISTING fixtures and fittings that are attached to the Property; (2) Existing electrical, mechanical, lighting, plumbing and heating fixtures, ceiling fans, fireplace inserts, gas logs and grates, solar systems, built-in appliances, window and door screens, awnings, shutters, window coverings, attached floor coverings, television antennas, satellite dishes, private integrated telephone systems, air coolerskonditioners, pooyapa equipment garage floor openerstremote controls, mailbox, in -ground landscaping, tmeslshrubs, water softeners, water purifiers, security systemslalamms; and (3) The following items: (4) Seller represents that all items included in the purchase price, unless otherwise specified, are owned by Seller. (5) All hems included shall be transferred free of liens and without Seller warranty. C. ITEMS EXCLUDED FROM SALE: 9. BUYER'S INVESTIGATION OF PROPERTY AND MATTERS AFFECTING PROPERTY: A. Buyers acceptance of the condition of, and any other matter affecting the Property, is a contingency of this Agreement as speed in this paragraph and paragraph 14B. Within the time speed in paragraph 14B(1), Buyer shall have the right at Buyers expense unless otherwise agreed, to conduct inspections, investigations, tests, surveys and other studies ('Buyer Investigations), including, but not limited to, the right to: (I) inspect for lead -based paint and other lead -based paint hazards; (11) inspect for wood destroying pests and organisms; (M) review the registered sex offender database; (iv) confirm the insurability of Buyer and the Properly, and (v) satisfy Buyer as to any matter specified in the attached Buyers Inspection Advisory (C.A.R. Form BIA). Without Sellers prior written consent, Buyer shall neither make nor cause to be made: (1) invasive or destructive Buyer Investigations; or (II) inspections by any governmental building or zoning inspector or government employee, unless required by Law. B. Buyer shall complete Buyer Investigations and, as specified in paragraph 14B, remove the contingency or cancel this Agreement Buyer shall give Seller, at no cost, complete Copies of all Buyer Investigation reports obtained by Buyer. Seller shall make the Property available for all Buyer Investigations. Seller shall have water, gas, electricity and all operable pilot lights on for Buyer's Investig R ons and through the da possession is made available to Buyer. Buyers Initials ( ) Sellers Iniials ( >101 Copyright 01991-2007, CALIFORNIA ASSOCIATION OF REALTORSO, INC. RPA-CA REVISED 11107 (PAGE 3 OF 8) Reviewed by ate era* CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT(RPA-CA PAGE 30F8) Agentj- Marti 050 51395 Calle Xallnus Property Address: La Quints CA 92253 Dale: Auguat 13, 2008 10. REPAIRS:Repairs shall be completed prior to final verification of condition unless otherwise agreed in writing. Repairs to be performed at Seller's expense may be performed by Seller or through others, provided that the work complies with applicable Law, including governmental permit, inspection and approval requirements. Repairs shall be performed in a good, skillful manner with materials of quality and appearance comparable to existing materials. it is understood that exact restoration of appearance or cosmetic items following all Repairs may not be possible. Seller shall: (I) obtain receipts for Repairs performed by others; (II) prepare a written statement indicating the Repairs performed by Seller and the date of such Repairs; and (111) provide Copies of receipts and statements to Buyer prior to final verification of condition. 11. BUYER INDEMNITY AND SELLER PROTECTION FOR ENTRY UPON PROPERTY: Buyer shall: (1) keep the Property free and dear of liens; (II) Repair all damage arising from Buyer Investigations; and (ill) indemnity and hold Seller harmless from all resulting liability, claims, demands, damages and costs. Buyer shall carry, or Buyer shall require anyone acting on Buyer's behalf to tarry, policies of liability, workers' compensation and other applicable insurance, defending and protecting Seller from liability for any Injuries to persons or property occurring during any Buyer Investigations or work done on the Property at Buyers direction prior to Close Of Escrow. Seller is advised that certain protections may be afforded Seller by recording a "Notice of Non -responsibility (CAR. Form NNR) for Buyer Investigations and work done on the Property at Buyers direction. Buyer's obligations under this paragraph shall survive the termination of this Agreement 12. TITLE AND VESTING: A. Within the time specified in paragraph 14. Buyer shall be provided a current preliminary (title) report, which tt only an offer by the title insurer to Issue a policy of title Insurance and may not contain every item affecting title. Buyers review of the preliminary report and any other matters which may affect title are a contingency of this Agreement as specified in paragraph 14B. B. Title is taken in its present condition subject to all encumbrances, easements, covenants, conditions, restrictions, rights and other matters, whether of record or not, as of the date of Acceptance except: (1) monetary liens of record unless Buyer is assuming those obligations or taking the Property subject to those obligations; and (11) those matters which Seller has agreed to remove In writing. C. Within the time specified in paragraph 14A, Seller has a duty to disclose to Buyer all matters known to Seller affecting title, whether of record or not D. At Close Of Escrow, Buyer shall receive a grant deed conveying title (or, for stock cooperative or long-term lease, an assignment of stock certificate or of Sellers leasehold interest), including oil, mineral and water rights If currently owned by Seller. Title shall vest as designated In Buyers supplemental escrow Instructions. THE MANNER OF TAKING TITLE MAY HAVE SIGNIF)CANr LEGAL AND TAX CONSEQUENCES. CONSULT AN APPROPRIATE PROFESSIONAL. E. Buyer shall receive a CLTA/ALTA Homeowners Policy of Title Insurance. A tide company, at Buyers request, can provide information about the availability, desirability, coverage, and cost of various title insurance coverages and endorsements. If Buyer desires title coverage other than that required by this paragraph. Buyer shall instruct Escrow Holder in writing and pay any Increase in cost. 13. SALE OF BUYER'S PROPERTY: A. This Agreement is NOT contingent upon the sale of any property owned by Buyer. OR B. ❑ (If checked): The attached addendum (CAR. Form COP) regarding the contingency for the sale of property owned by Buyer is incorporated into this Agreement. 14. TIME PERIODS; REMOVAL OF CONTINGENCIES; CANCELLATION RIGHTS: The following time periods may only be extended, altered, modified or changed by mutual written agreement. Any removal of contingencies or cancellation under this paragraph must be in writing (CAP- Form CR). A. SELLER HAS: 7 (or ❑ ) Days After Acceptance to deliver to Buyer all reports, disclosures and information for which Seller is responsible under paragraphs 4, 5A and B, 6A, 7B and 12. B. (1) BUYER HAS: 17 (or ❑ ) Days After Acceptance, unless otherwise agreed in writing, to: (1) complete all Buyer Investigations; approve all disclosures, reports and other applicable information, which Buyer receives from Salley, and approve all matters affecting the Property (including lead -based paint and lead -based paint hazards as well as other information specified In paragraph 5 and insurability of Buyer and the Property); and (I1) return to Seller Signed Copies of Statutory and Lead Disclosures delivered by Seller in accordance with paragraph 5A. (2) Within the time specified in 14B(1), Buyer may request that Seller make repairs or take any other action regarding the Property (CA.R. Form RR). Seller has no obligation to agree to or respond to Buyers requests. (3) By the end of the time specified in 14B(t) (or 21 for loan contingency or 2J for appraisal contingency), Buyer shall, in writing, remove the applicable contingency (CAR. Form CR) or cancel this Agreement. However, if (1) government -mandated inspections/ reports required as a condition of closing; or (11) Common Interest Disclosures pursuant to paragraph 6B are not made within the time specified In 14A, then Buyer has 5 (or ❑ ) Days After receipt of any such items, or the time specified in 14B(1), whichever Is later, to remove the applicable contingency or Cancel this Agreement in writing. C. CONTINUATION OF CONTINGENCY OR CONTRACTUAL OBLIGATION; SELLER RIGHT TO CANCEL: (1) Seller right to Cancel; Buyer Contingencies: Seller, after first giving Buyer a Notice to Buyer to Perform (as specified below), may Cancel this Agreement in writing and authorize return of Buyers deposit if, by the time specified in this Agreement, Buyer does not remove in writing the applicable contingency or cancel this Agreement Once all contingencies have been removed, failure of either Buyer or Seller to close escrow on time may be a breach of this Agreement. (2) Continuation of Contingency: Even after the expiration of the time specified in 14B, Buyer retains the right to make requests to Seller, remove in writing the applicable contingency or cancel this Agreement until Seller cancels pursuant to 14C(i). Once Seller receives Buyers written removal of all contingencies, Seller may not Cancel this Agreement pursuant to 14C(1). (3) Seller right to Cancel; Buyer Contract Obligations: Seller, after first giving Buyer a Notice to Buyer to Perform (as specified below), may cancel this Agreement in writing and authorize return of Buyers deposit for any of the following reasons: (I) if Buyer fails to deposit funds as required by 2A or 2B; (ii) 6 the funds deposited pursuant to 2A or 2B are not good when deposited; (Ill) B Buyer fails to provide a letter as required by 2G; (iv) if Buyer fails to provide verification as required by 2H or 2L; (v) if Seller reasonably disapproves of the verification provided by 2H or 2L; (vi) If Buyer fails to return Statutory and Lead Disclosures as required by paragraph 5A(2); or (vii) if Buyer fails to sign or initial a separate liquidated damage form for an increased deposit as required by paragraph 16. Seller Is not required to give Buyer a Notice to Perform regarding Close of Escrow. (4) Notice To Buyer To Perform: The Notice to Buyer to Perform (CAR. Form NBP) shall: (1) be in writing; (11) be signed by Seller; and (Ili) give Buyer at least 24 (or ❑ ) hours (or until the time specified in the applicable paragraph, whi ever occurs last) to take the applicable action. A Notice to Buyer to Perform may not be given any saner than 2 Days Prior to the expiration f he applicable time for Buyer to remove a contingency or cancel this Agreement or meet a 14C(3) obligation. Buyers Initials ( ) ( ) Sellers Initials ( ) ( ) Copyright 01891-2007, CALIFORNIA ASSOCIATION OF REALTORS9. INC. Revlavetl by to RPA-CA REVISED 11107 (PAGE 4 OF 8) CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT (RPA-CA PAGE 4 OF BY Ageety. Marti 051 31395 Calls Kali= Property Address: La Quints CA 92253 Date: August 13, 2008 D. EFFECT OF BUYER'S REMOVAL OF CONTINGENCIES: If Buyer removes, in writing, any contingency or cancellation rights, unless otherwise specified in a separate written agreement between Buyer and Seller, Buyer shall conclusively be deemed to have: (1) completed all Buyer Investigations, and review of reports and other applicable information and disclosures pertaining to that contingency or cancellation right; (If) elected to proceed with the transaction; and (Ili) assumed all liability, responsibility and expense for Repairs or corrections pertaining to that contingency or cancellation right, or for Inability to obtain financing. E. EFFECT OF CANCELLATION ON DEPOSITS: If Buyer or Seller gives written notice of cancellation pursuant to rights duly exercised under the terms of this Agreement, Buyer and Seller agree to Sign mutual instructions to cancel the sale and escrow and release deposits to the party entitled to the funds, less fees and costs incurred by that party. Fees and mats may be payable to service providers and vendors for services and products provided during escrow. Release of funds will require mutual Signed release instructions from Buyer and Seller, judicial decision or arbitration award. A party may be subject to a civil penalty of up to $1,000 for refusal to sign such Instnrctione if no good faith dispute exists as to who is entitled to the deposited funds (Civil Coda §1067.3). 15. FINAL VERIFICATION OF CONDITION: Buyer shall have the right to make a final inspection of the Property within 5 (or ) Days Prior to Close Of Escrow, NOT AS A CONTINGENCY OF THE SALE, but solely to confirm: (1) the Property Is maintained pursuant to paragraph 7A; (it) Repairs have been completed as agreed; and (III) Seller has complied with Seller's other obligations under this Agreement. 16. LIQUIDATED DAMAGES: If Buyer falls to complete this purchase because of Buyer's default, Seller shall retain, as liquidated damages, the deposit actually paid. If the Property )a a dwelling with no more than four units, one of which Buyer Intends to occupy, then the amount retained shall be no more than 3% of the purchase price. Any excess shall be returned to Buyer. Release of funds will require mutual, Signed release instructions from both Buyer and Seller, judicial decision or arbitration award. � BUYER AND SELLER SHALL SIGN A SEPARATE LIQUIDATED DAMAGES PROVISION FORT'p 1y I�ZEASEE DEPOSIT, (C.A.R. FORM RID) Buyer's Initials f sellers Initials I V1 I AM I 17. DISPUTE RESOLUTION: v r A. MEDIATION: Buyer and Seller agree to mediate any dispute or claim arising between them out of this Agreement, or any reulting transaction, before resorting to arbitration or court action. Paragraphs 17B(2) and (3) below apply to mediation whether or not the Arbrbation provision is Initialed. Mediation fees, if any, shall be divided equally among the parties involved. If, for any dispute or claim to which this paragraph applies, any party commences an action without first attempting to resolve the matter through mediation, or refuses to mediate after a request has been made, then that party shall not be entitled to recover attorney fees, even if they would otherwise be available to that party in any such action, THIS MEDIATION PROVISION APPLIES WHETHER OR NOT THE ARBITRATION PROVISION IS INITIALED. B. ARBITRATION OF DISPUTES: (1) Buyer and Seller agree that any dispute or claim in Law or equity arising between them out of this Agreement or any resulting transaction, which Is not settled through mediation, shall be decided by neutral, binding arbitration, including and subject to paragraphs 178(2) and (3) below. The arbitrator shall be a retired judge or justice, or an attorney with at least 5 years of residential real estate Law experience, unless the parties mutually agree to a different arbitrator, who shall render an award in accordance with substantive Citljfornla Law. The parties shall have the right to discovery In accordance with California Code of Civil Procedure §1283.05. In all other respects, the arbitration shall be conducted in accordance with Title 9 of Part III of the California Code of Civil Procedure. Judgment upon the award of the arbitrators) may be entered into any court having jurisdiction. Interpretation of this agreement to arbitrate shall be governed by the Federal Arbitration Act. (2) EXCLUSIONS FROM MEDIATION AND ARBITRATION: The following matters are excluded from mediation and arbitration: (1) a judicial or nonquelklal foreclosure or other action or proceeding to enforce a deed of trust, mortgage or installment land sale contract as defined In Califomla CMI Code §2985; (ii) an unlawful Aetalner action; (III) the filing or enforcement of a mechanic's Ilan; and (Iv) any matter that is within the jurisdiction of a probate, small claims or bankruptcy court The filing of a court action to enable the recording of a notice of pending action, for order of attachment, receivership, Injunction, or other provisional remedies, shall not constitute a waiver of the mediation and arbitration provisions. (3) BROKERS: Buyer and Seller agree to mediate and arbitrate disputes or claims involving either or both Brokers, consistent with 17A and B, provided either or both Brokers shall have agreed to such mediation or arbitration prior to, or within a reasonable time after, the dispute or claim Is presented to Brokers. Any election by either or bath Brokers to participate In mediation or arbitration shall not result In Brokers being deemed parties to the Agreement. "NOTICE: BY INITIALING IN THE SPACE BELOW YOU ARE AGREEING TO HAVE ANY DISPUTE ARISING OUT OF THE MATTERS INCLUDED IN THE 'ARBITRATION OF DISPUTES' PROVISION DECIDED BY NEUTRAL ARBITRATION AS PROVIDED BY CALIFORNIA LAW AND YOU ARE GIVING UP ANY RIGHTS YOU MIGHT POSSESS TO HAVE THE DISPUTE LITIGATED IN A COURT OR JURY TRIAL. BY INITIALING IN THE SPACE BELOW YOU ARE GIVING UP YOUR JUDICIAL RIGHTS TO DISCOVERY AND APPEAL, UNLESS THOSE RIGHTS ARE SPECIFICALLY INCLUDED IN THE 'ARBITRATION OF DISPUTES' PROVISION. IF YOU REFUSE TO SUBMIT TO ARBITRATION AFTER AGREEING TO THIS PROVISION, YOU MAY BE COMPELLED TO ARBITRATE UNDER THE AUTHORITY OF THE CALIFORNIA CODE OF CIVIL PROCEDURE. YOUR AGREEMENT TO THIS ARBITRATION PROVISION IS VOLUNTARY." "WE HAVE READ AND UNDERSTAND THE FOREGOING AND AGREE TO SUBMIT UTES ARISI G OUT OF THE MATTERS INCLUDED IN THE 'ARBITRATION OF DISPUTES' PROVIS TO E L ARBITRATION." Buyers initials sefilites Initials lef Buyer's Initials ( ) ( ) Sellers Initials ( ) ( ) Copyright 01991-2007, CALIFORNIA ASSOCIATION OF REALTORSS, INC. RPA-CA REVISED 11A07 (PAGE 5 OF 8) Reviewed by OP°rew TMYT CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT(RPA-CA PAGE 50F Agency - Marti 1. 052 51395 Calle Kalima Property Address: La Quints CA 92253 Date: August 13, 2008 18. PRORATIONS OF PROPERTY TAXES AND OTHER ITEMS: Unless otherwise agreed in writing, the following items shall be PAID CURRENT and prorated between Buyer and Seller as of Close Of Escrow: real property taxes and assessments, interest, rents, HOA regular, special, and emergency dues and assessments imposed prior to Close Of Escrow, premiums on insurance assumed by Buyer, payments on bonds and assessments assumed by Buyer, and payments on Mello -Roos and other Special Assessment District bonds and assessments that are now a lien. The following items shall be assumed by Buyer WITHOUT CREDIT toward the purchase price: prorated payments on Mello -Roos and other Special Assessment District bonds and assessments and HOA special assessments that are now a lien but not yet due. Property will be reassessed upon change of ownership. Any supplemental tax bills shall be paid as follows: (1) for periods after Close Of Escrow, by Buyer; and (11) for periods prior to Close Of Escrow, by Seller. TAX BILLS ISSUED AFTER CLOSE OF ESCROW SHALL BE HANDLED DIRECTLY BETWEEN BUYER AND SELLER. Proration shall be made based on a 30-day month. 19. WITHHOLDING TAXES: Seller and Buyer agree to execute any instrument, affidavit, statement or instruction reasonably necessary to comply with federal (FIRPTA) and California withholding Law, if required (C.A.R. Forms AS and AB). 20. MULTIPLE LISTING SERVICE ("MLS"): Brokers are authorized to report to the MLS a pending sale and, upon Close Of Escrow, the terms of this transaction to be published and disseminated to persons and entities authorized to use the information on terms approved by the MLS. 21. EQUAL HOUSING OPPORTUNITY: The Property is sold In compliance with federal, state and local anti -discrimination Laws. 22. ATTORNEY FEES: In any action, proceeding, or arbitration between Buyer and Seller arising out of this Agreement, the prevailing Buyer or Seller shall be entitled to reasonable attorney fees and costs from the non -prevailing Buyer or Seller, except as provided in paragraph 17A. 23. SELECTION OF SERVICE PROVIDERS: If Brokers refer Buyer or Seller to persons, vendors, or service or product providers CProvidersl, Brokers do not guarantee the performance of any Providers. Buyer and Seller may select ANY Providers of their own choosing. 24. TIME OF ESSENCE; ENTIRE CONTRACT; CHANGES: Time is of the essence. All understandings between the parties are incorporated in this Agreement. Its terms are intended by the parties as a final, complete and exclusive expression of their Agreement with respect to its subject matter, and may not be contradicted by evidence of any prior agreement or contemporaneous oral agreement. If any provision of this Agreement is held to be ineffective or invalid, the remaining provisions will nevertheless be given full force and effect. Neither this Agreement nor any provision in it may be extended, amended, modified, altered or changed, except In writing Signed by Buyer and Seller. 26. OTHER TERMS AND CONDITIONS, including attached supplements: A. 0 Bu er's Ins ection Advisory C.A.R. Form BIA e, Q Purchase Agreement Addendum CAR Form PAA paragraph numbers: ) C. ❑ Statewide Buyer and Seller Advisory (CARForm SSSA) D. ❑ Seller shall Provide Buyer with a comolsted Seller Proi)erly Questionnaire (C.A.R. form SPO) within the time specified In paragraph 14A E. 26. DEFINITIONS: As used in this Agreement: A. "Acceptance" means the time the offer or final counter offer is accepted in writing by a party and is delivered to and personally received by the other party or that party's authorized agent in accordance with the terms of this offer or a final counter offer. B. "Agreement' means the terms and conditions of this accepted California Residential Purchase Agreement and any accepted counter offers and addenda. C. "C.A.R, Form" means the specific forth referenced or another comparable form agreed to by the parties. D. "Close Of Escrow" means the date the grant deed, or other evidence of transfer of titre, is recorded. If the scheduled dose of escrow falls on a Saturday. Sunday or legal holiday, then close of escrow shall be the next business day after the scheduled dose of escrow date. E. "Copy" means copy by any means including photocopy, NCR, facsimile and electronic. F. "Days" means calendar days, unless otherwise required by Law. G. "Days After" means the specified number of calendar days after the occurrence of the event specified, not counting the calendar date on which the specified event occurs, and ending at 11:59PM on the final day. H. "Days Prior" means the specified number of calendar days before the occurrence of the event speed, not counting the calendar date on which the specified event is scheduled to occur. I. "Electronic Copy" or "Electronic Signature" means, as applicable, an electronic copy or signature complying with California Law, Buyer and Seller agree that electronic means will not be used by either party to modify or alter the content or integrity of this Agreement without the knowledge and consent of the other. J. "Law" means any taw, code, statute, ordinance, regulation, rule or order, which is adopted by a controlling city, county, state or federal legislative, judicial or executive body or agency. K. "Notice to Buyer to Perform" means a document (C.A.R. Form NBP), which shall be in writing and Signed by Seller and shall give Buyer at least 24 hours (or as otherwise specked In paragraph 14C(4)) to remove a contingency or perform as applicable. L "Repairs" means any repairs (including pest control), alterations, replacements, modifications or retrofitting of the Property provided for under this Agreement. M. "Signed" means either a handwritten or electronic signature on an original document, Copy or any counterpart. N. Singular and Plural terms each include the other, when appropriate, Buyers Initials ( ) Sellers Initials Copyright a 1991-2007, CALIFORNIA ASSOCKTION OF REALTORS@, INC. to RReviewed by PA -CA REVISED 11107 (PAGE 6 OF 8) � 7 CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT (RPA-CA PAGE 6 OF 8 Agmcy - Marti r... 053 51395 Ca21e Ka2ima Property Address: La Quints, CA 92253 Date: August 13, 2008 27. AGENCY: A. DISCLOSURE: Buyer and Seller each acknowledge prior receipt of C.A.R. Form AD "Disclosure Regarding Real Estate Agency Relationships." B. POTENTIALLY COMPETING BUYERS AND SELLERS: Buyer and Seller each acknowledge receipt of a disclosure of the possibility of multiple representation by the Broker representing that principal. This disclosure may be part of a listing agreement, buyer -broker agreement or separate document (C.A.R. Form DA). Buyer understands that Broker representing Buyer may also represent other potential buyers, who may consider, make offers on or ultimately acquire the Property. Seiler understands that Broker representing Seller may also represent other sellers with competing properties of interest to this Buyer. C. CONFIRMATION: The following agency relationships are hereby confirmed for this transaction: Listing Agent La Quints Balms Realty (Print Firm Name) is the agent of (check one): ❑ the Seller exclusively; or ® both the Buyer and Seller. Selling Agent (Print Firm Name) (d not same as Listing Agent) is the agent of (check one): ❑ the Buyer exclusively; or ❑ the Seller exclusively; or ❑ both the Buyer and Seller. Real Estate Brokers are not parties to the Agreement between Buyer and Seller. 28. JOINT ESCROW INSTRUCTIONS TO ESCROW HOLDER: A. The following paragraphs, or applicable portions thereof, of this Agreement constitute the joint escrow instructions of Buyer and Seller to Escrow Holder, which Escrow Holder is to use along with any related counter offers and addenda, and any additional mutual instructions to case the escrow: 1, 2, 4, 12, 13B, 14E, 18, 19, 24, 25B and 25D, 26, 28, 29, 32A, 33 and paragraph D of the section titled Real Estate Brokers on page S. If a Copy of the separate compensation agreement(s) provided for in paragraph 29 or 32A, or paragraph D of the section titled Real Estate Brokers on page 8 is deposited with Escrow Holder by Broker, Escrow Holder shall accept such agreement(s) and pay out from Buyer's or Seller's funds, or both, as applicable, the Broker's compensation provided for in such agreement(s). The terms and conditions of this Agreement not set forth in the specified paragraphs are additional matters for the information of Escrow Holder, but about which Escrow Holder need not be concerned. Buyer and Seller will receive Escrow Holder's general provisions directly from Escrow Holder and will execute such provisions upon Escrow Holder's request. To the extent the general provisions are inconsistent or conflict with this Agreement, the general provisions will control as to the duties and obligations of Escrow Holder only. Buyer and Seller will execute additional instructions, documents and forms provided by Escrow Holder that are reasonably necessary to close the escrow. B. A Copy of this Agreement shall be delivered to Escrow Holder within 3 business days after Acceptance (or ❑ ). Buyer and Seller authorize Escrow Holder to accept and rely on Copies and Signatures as defined in this Agreement as originals, to open escrow and for other purposes of escrow. The validity of this Agreement as between Buyer and Seller is not affected by whether or when Escrow Holder Signs this Agreement. C. Brokers are a party to the escrow for the sole purpose of compensation pursuant to paragraphs 29, 32A and paragraph D of the section titled Real Estate Brokers on page 8. Buyer and Seller irrevocably assign to Brokers compensation specified in paragraphs 29 and 32A, respectively, and irrevocably instruct Escrow Holder to disburse those funds to Brokers at Close Of Escrow or pursuant to any other mutually executed cancellation agreement. Compensation Instructions can be amended or revoked only with the written consent of Brokers. Escrow Holder shall immediately notify Brokers: (1) if Buyer's initial or any additional deposit is not made pursuant to this Agreement, or is not good at time of deposit with Escrow Holder, or (11) if Buyer and Seller instruct Escrow Holder to cancel escrow. D. A Copy of any amendment that affects any paragraph of this Agreement for which Escrow Holder is responsible shall be delivered to Escrow Holder within 2 business days after mutual execution of the amendment. 29. BROKER COMPENSATION FROM BUYER: If applicable, upon Close Of Escrow, Buyer agrees to pay compensation to Broker as specified in a separate written agreement between Buyer and Broker. 30. TERMS AND CONDITIONS OF OFFER: This is an offer to purchase the Property on the above terms and conditions. All paragraphs with spaces for initials by Buyer and Seller are incorporated in this Agreement only if initialed by all parties. If at least one but not all parties initial, a counter offer is required until agreement is reached. Seller has the right to continue to offer the Property for sale and to accept any other offer at any time prior to notification of Acceptance. Buyer has read and acknowledges receipt of a Copy of the offer and agrees to the above confirmation of agency relationships. If this offer is accepted and Buyer subsequently defaults, Buyer may be responsible for payment of Brokers' compensation. This Agreement and any supplement, addendum or modification, including any Copy, may be Signed in two or more counterparts, all of which shall constitute one and the same writing. Buyer's Initials ( ( ) Seller's Initials Copyright®1991-2007, CALIFORNIA ASSOCIATION OF REALTORS9, INC. RPA-CA REVISED 11107 (PAGE 7 OF 8) Reviewed by to w omwiry CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT (RPA-CA PAGE 7 OF 8) ABmcy - Marti 054 C A L I F O A N I A REAL ESTATE TRANSFER DISCLOSURE STATEMENT ASSOCIATION OF AEALTOASO (CALIFORNIA CIVIL CODE §1102, ET SEQ) (CA.R. Form TOS, Revised 10103) THIS DISCLOSURE STATEMENT CONCERNS THE REAL PROPERTY SITUATED IN THE CITY OF Is Quinta , COUNTY OF Riverside , STATE OF CALIFORNIA, DESCRIBED AS 51395 Calle Ralitna La Ouinta CA 92253 _ THIS STATEMENT IS A DISCLOSURE OF THE CONDITION OF THE ABOVE DESCRIBED PROPERTY IN COMPLIANCE WITH SECTION 1102 OF THE CIVIL CODE AS OF (date) . IT IS NOT A WARRANTY OF ANY KIND BY THE SELLER(S) OR ANY AGENT(S) REPRESENTING ANY PRINCIPAL(S) IN THIS TRANSACTION, AND IS NOT A SUBSTITUTE FOR ANY INSPECTIONS OR WARRANTIES THE PRINCIPAL(S) MAY WISH TO OBTAIN. 1. COORDINATION WITH OTHER DISCLOSURE FORMS This Real Estate Transfer Disclosure Statement is made pursuant to Section 1102 of the Civil Code. Other statutes require disclosures, depending upon the details of the particular real estate transaction (for example: special study zone and purchase -money liens on residential property). Substituted Disclosures: The following disclosures and other disclosures required by law, including the Natural Hazard Disclosure ReportlStatement that may include airport annoyances, earthquake, fire, flood, or special assessment information, have or will be made in connection with this real estate transfer, and are intended to satisfy the disclosure obligations on this form, where the subject matter is the same: ❑ Inspection reports completed pursuant to the contract of sale or receipt for deposit. ❑ Additional inspection reports or disclosures: IL SELLER'S INFORMATION The Seller discloses the following Information with the knowledge that even though this is not a warranty, prospective Buyers may rely on this information in deciding whether and on what terms to purchase the subject property. Seller hereby authorizes any agent(s) representing any prindpal(s) in this transaction to provide a copy of this statement to any person or entity in connection with any actual or anticipated sale of the property. THE FOLLOWING ARE REPRESENTATIONS MADE BY THE SELLER(S) AND ARE NOT THE REPRESENTATIONS OF THE AGENT(S), IF ANY. THIS INFORMATION IS A DISCLOSURE AND IS NOT INTENDED TO BE PART OF ANY CONTRACT BETWEEN THEVsblect AND SELLER Selleis not occupying the property. A. Tproperty has the items checked below (read across) tinge en k:roweve rshwesher ❑ Trash Compactor arbage Disposal asherlDryer Hookups ❑ sin Gutters urglar Alarms moke Detectors) ,Wire Alarm ❑ T.V. Antenna 8ffiellite Dish ❑ Intercem $Central Heating Cemral Air Conditioning ❑ Evaporator Coolers) ❑ WalWilindow, Air Conditioning ❑ Sprinklers -*&Fublic Sewer System ❑ Septic Tank ❑ Sump Pump ❑ Water Softener ❑ Patio0eeking ❑ Built-in Barbecue ❑ Gazebo ❑ Sauna ❑ Hot Tub ❑ Locking Safety Cover" ❑ P 1 ❑ Child Resistant Barrier" ❑ Spa ❑ Locking Safety Cover! ❑ Security, gate(s)�tomatic Garage Door Openegs)• ❑ Number Remote Controls Garage%%%Attached ❑ Not Attached ❑ Carport Pool/Spa Heater. ❑ Gas 0 Splar ❑ Electric Water Heater''k1Co �GGas ater Heater Anchored, Braced, or Strapped' Water SupplY:2Rpty ❑ Well ❑ Private Utility oG Gas Supply: ❑ Utility ❑ Bottled >;:*indow Screens ❑ Window Security Bars ❑ Quick Release ehanism n Bedroom Windows• Exhaust Fans) in 220 Volt Wirin$ In �T Fireptace(s) in o0(v\ ❑ Gas Starter ❑ Roogs): Type: i i 4 e: _.ci pprox.) ❑ Other. Are there, to the best of your (Seller's) knowledge, any of the above that are not in operating condition? ❑ Yes Wo. If yes, then describe. (Attach additional sheets if necessary): rase footnote on page 2) The copyright Laws of the United States (Trtle 17 U.S. Code) forbid the Buyers Initials ( f( ) unauthorized reproduction of this form, or any potion thereof, by photocopy sellers Initiels ( ) ( ) machine or any other means, including facsimile or computerized formats. Copyright O 1091-2003, CALIFORNIA ASSOCIATION OF REALTORSO, Rev bit by Date INC. ALL RIGHTS RESERVED. 12, TDS REVISED 10/03 (PAGE 1 OF 3) owor»m REAL ESTATE TRANSFER DISCLOSURE STATEMENT (TDS PAGE 1 OF 3) La Quinta Palms Real Estate Co 51.001 Eisenhower Drive , La Quints CA 92253 99 51395 Calle Ralima Property Address: La Ouinta CA 92253 Date: August 13, 200S 31. EXPIRATION OF OFFER: This offer shall be deemed revoked and the deposit shall be returned unless the offer Is Signed by Seller and a Copy of the Signed offer Is personalty received by Buyer, or by , who Is authorized to receive it by 5:00 PM on the third Day after this offer is signed by Buyer (or, If checked, ❑ by (date), at ❑ AM ❑ PM). Date _ BUYER Date _ BUYER La Cuinta Reda"lormaat Aaenw OR name) (Print name) (Address) 32. BROKER COMPENSATION FROM SELLER: A. Upon Close Of Escrow, Seller agrees to pay compensation to Broker as specified in a separate written agreement between Seller and Broker. B. If escrow does not dose, compensation is payable as specified in that separate written agreement. 33. ACCEPTANCE OF OFFER: Seller warrants that Seller is the owner of the Property, or has the authority to execute this Agreement. Seller accepts the above offer, agrees to sell the Property on a above terms and conditions, and agrees to the above confirmation of agency relationships. Seller has read and acknowledges receipt of a Copy ff NIS A8g,, sment, and authorizes Broker to deliver a Signed Copy to Buyer. ❑ (If checked) SUBJECT TO ATi9CHVUNTI R O ER, DATED Date ' 7�7 ' Date OPS SELLER SELLER Ricazdo A Martinez Lisa B Martinez (Print name) (Print name) k���,o•ar CONFIRMATION OF ACCEPTANCE: A Copy of Signed Acceptance was personally received by Buyer or Buyers authorized ( / ) agent on (date) at ❑ AM ❑ PM. A binding Agreement Is created when (initiaTsj— a Copy of Signed Acceptance is personally received by Buyer or Buyer's authorized agent whether or not confirmed in this document Completion of this confirmation is not legally required In order to create a binding Agreement; It is solely Intended to evidence the date that Confirmation of Acceptance has occurred. REAL ESTATE BROKERS: A. Real Estate Brokers are not parties to the Agreement between Buyer and Seller. B. Agency relationships are confirmed as stated In paragraph 27. C. If specified in paragraph 2A, Agent who submitted the offer for Buyer acknowledges receipt of deposit D. COOPERATING BROKER COMPENSATION: Listing Broker agrees to pay Cooperating Broker (Selling Firm) and Cooperating Broker agrees to accept, out of Listing Brokers proceeds in escrow, (1) the amount specified in the MLS, provided Cooperating Broker Is a Participant of the MILS in which the Property is offered for sale or a reciprocal MLS; or (11) ❑ Cif checked) the amount specified in a separate written agreement (CAR. Form CBC) between Listing Broker and Cooperating Broker. Real Estate Broker (Selling Firm) ORE Lic. # By ORE LID. # Date Address City State Zip Telephone Fax E-mail Real Estate Broker (Listing Firm) La tat Raa1 License # 00915271 By lf7akg2W Jim Cathcart License # 00833400 Date Auoust 13, 2008 Address 51-001 Eisenhorrer Dr. City La Ouinta State CA ZIP 92253 Telephone f7601564-4104 Fax (564)564-0344 E-mail%gal ty, cm ESCROW HOLDER ACKNOWLEDGMENT: Escrow Holder acknowledges receipt of a Copy of this Agreement, (If checked, ❑ a deposit in the amount of $ ), counter offer numbers and , and agrees to act as Escrow Holder subject to paragraph 28 of this Agreement, any supplemental escrow instructions and the terms of Escrow Holders general provisions. Escrow Holder Is advised that the date of Confirmation of Acceptance of the Agreement as between Buyer and Seller is Escrow Holder Fidelity EacroTr Cathy Boyd Escrow# By Date Address Phone/Fax/E-mail Escrow Holder is licensed by the California Department of ❑ Corporations,❑ Insurance,❑ Real Estate. License # (—/_ I REJECTION OF OFFER: No counter offer is being made. This offer was reviewed and rejected by Seller on (Sellers Initials) (Date) THIS FORM HAS SEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORSO (CAR) NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ADEQUACY OF ANY PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL This faze is available far M by me enee reel mists WUSI Y n W fiat IIrlalaed to kiantay Its user as a REALTOM REALTOM Is a mosteed wlla @ members p mark of may be uw0 only by memk.. a an NATIONAL ASSOCIATION OF REALTORS9.how ilx to fro Co &Edina. Published and Distributed by: e REAL ESTATE BUSINESS SERVICES, INC. a a subsidiary of the Ca0lomia Assodatbn ofREALTORS® 121 • 525 South Virgil Avenue, Los Angeles, California 90o20 Reviewed by Datean'w'r'Y RPA-CA REVISED 11107 (PAGE 8 OF 8) CALIFORNIA RESIDENTIAL PURCHASE AGREEMENT (RPA-CA PAGE 8 OF 8) Agency - Marti 056 Property Address: --Date:. B. Are you (Seller) aware of any significant defects/malfunctions in any 0f the following? ❑ Yes lo. If yes, check appropriate specials) below. ❑ Interior Walls ❑ Ceilings ❑ Floors ❑ Exterior Walls ❑ Insulation ❑ Roof(s) ❑ Windows ❑ Doors ❑ Foundation ❑ Slab(s) ❑ Driveways ❑ Sidewalks ❑ Walls/Fences ❑ Electrical Systems ❑ Piumbing/SeweralSeptics ❑ Other Structural Components (Describe: If any of the above is checked, explain. (Attach additional sheets if necessary): 'This garage door opener or child resistant pool barrier may not be in compliance with the safety standards relating to automatic reversing devices as set forth in Chapter 12.5 (commencing with Section 19890) of Part 3 of Division 13 of, or with the pool safety standards of Article 2.5 (commencing with Section 115920) of Chapter 5 of Pert 10 of Division 104 of, the Health and Safety Code. The water heater may not be anchored, braced, or strapped in accordance with Sekfion 19211 of the Health and Safety Code. Window security bars may not have quick release mechanisms in compliance with the 1995 Edition of the California Building Standards Code. C. Are you (Seller) aware of any the following: 1. Substances, materials, or products which may be an environmental hazard such as, but not limited to, asbestos, formaldehyde, radon gas, lead -based paint, mold, fuel or chemical storage tanks, and contaminated soil or water on the subject property .......................................................... []Yes DOD 2. Features of the property shared in common with adjoining landowners, such as walls, fences, and driveways, whose use or responsibility for maintenance may have an effect on the subject property ................. ❑ Yes o 3. Any encroachments, easements or similar matters that may affect your Interest in the subject property ......... 4. Room additions, structural modifications, or other alterations or repairs made without necessary permits....... 5. Room additions, structural modifications, or other alterations or repairs not In compliance with building codes.... ❑ Yes o ❑ Yes )KNo ❑ Yes,<No 6. Fill (compacted or otherwise) on the property or any portion thereof .................................... ❑ Yes VO 7. Any settling from any cause, or slippage, sliding. or other soil problems ................................. 8. Flooding, drainage or grading problems......................................................... 9. Major damage to the property or any of the structures from fire, earthquake, floods, or landslides ............. ❑ YesmNo ❑ Yes X�No [I Yes XNO 10. Any zoning violations, nonconforming uses, violations of "setback' requirements ......................... ❑ Yes Z'No 11. Neighborhood noise problems or other nuisances ........................................... 12. CC&R's or other deed restrictions or obligations ............................................ ❑ Yes Poo ❑ Yes 1910 13. Homeowners' Association which has any authority over the subject property ............................ ❑ Yes MNNo 14. Any "common area" (facilities such as pools, tennis courts, walkways, or other areas crowned in undivided interest with others)................................................................ 15. Any notices of abatement or citations against the property ........................................... ❑ YesliIIJ�o ❑ Yes''RJ�No 16. Any lawsuits by or against the seller threatening to or affecting this real property, Including any lawsuits alleging a defect or deficiency In this real property or "common areas" (facilities such as pools, tennis courts, walkways, or other areas, co -owned in undivided interest with others) ............................................ ❑ Yes)No If the answer to any of these is yes, explain. (Attach additional sheets if necessary): Seller certifies that the information herein Is a an,cofnld to the hest of the Settees knowledge as of the d e sig d Seller. T Seller Date Jr UO ALcardo A Men Seller Date Zdsa a s Buyers Initials ( ) ( ) CoWightO 1991-2003, CALIFORNIA ASSOCIATION OF REALTORSS, INC. Reviesed by Date aimrvwry TDS REVISED 10103 (PAGE 2 OF 3) n REAL ESTATE TRANSFER DISCLOSURE STATEMENT (TDS PAGE 2 OF 3) 057 Property Address: 51395 Calls RalimisLa Qcinta Ca 92253 Date: III. AGENT'S INSPECTION DISCLOSURE (To be completed only if the Seller is represented by an agent in this transaction.) THE UNDERSIGNED, BASED ON THE ABOVE INQUIRY OF THE SELLER(S) AS TO THE CONDITION OF THE PROPERTY AND BASED ON A REASONABLY COMPETENT AND DILIGENT VISUAL INSPECTION OF THE ACCESSIBLE AREAS OF THE PROPERTY IN CONJUNCTION WITH THAT INQUIRY, STATES THE FOLLOWING: ❑ Agent notes no Items for disclosure. ❑ Agent notes the following items: _ Agent (Broker Representing Seller) La Quintet Palma Realty By Date (Please Print) (Associate Licensee or Broker Signature) Jim Cathcart IV. AGENTS INSPECTION DISCLOSURE (To be completed only if the agent who has obtained the offer is other than the agent above.) THE UNDERSIGNED, BASED ON A REASONABLY COMPETENT AND DILIGENT VISUAL INSPECTION OF THE ACCESSIBLE AREAS OF THE PROPERTY, STATES THE FOLLOWING: ❑ Agent notes no items for disclosure. ❑ Agent notes the following Items: Agent (Broker Obtaining the Offer) By Date (Please Print) (Associate Licensee or Broker Signature) V. BUYER(S) AND SELLER(S) MAY WISH TO OBTAIN PROFESSIONAL ADVICE AND/OR INSPECTIONS OF THE PROPERTY AND TO PROVIDE FOR APPROPRIATE PROVISIONS IN A CONTRACT BETWEEN BUYER AND SELLER(S) WIT/ RESPECT TO ANY ADVICE/INSPECTIONS/DEFECTS. I/WE ACKN DG RECEIPT OF A COPY OF THIS SWEMENT. Seller / Date �)1 Buyer Date Ricardo A D nn La guinta Redevelopment Agency SellerSW Date fJ—�� Buyer Date Agent (Broker Representing Seller) Lis Qalnt Palma Realty By Date (Please Print) (Associate Licensee or Broker Signature) Jim Cathcart Agent (Broker Obtaining the Offer) By Date (Please Print) (Associate Licensee or Broker Signature) SECTION 1102.3 OF THE CIVIL CODE PROVIDES A BUYER WITH THE RIGHT TO RESCIND A PURCHASE CONTRACT FOR AT LEAST THREE DAYS AFTER THE DELIVERY OF THIS DISCLOSURE IF DELIVERY OCCURS AFTER THE SIGNING OF AN OFFER TO PURCHASE. IF YOU WISH TO RESCIND THE CONTRACT, YOU MUST ACT WITHIN THE PRESCRIBED PERIOD. A REAL ESTATE BROKER IS QUALIFIED TO ADVISE ON REAL ESTATE. IF YOU DESIRE LEGAL ADVICE, CONSULT YOUR ATTORNEY. THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORS& (CAR.). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ADEQUACY OF ANY PROVISION IN ANY SPECIFIC TRANSACTION A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL The berm a watiebls far use by the entire met "teas IrdAty. B is nat mterd d to IEnRIry the user as a REALTORA REALTOR® Is a regiueretl W NCUw mamWMh1P Me k wN& mey bet used oNy by members of the NATIONAL ASSOCIATION OF REALTORSe who a =]I,s m M Code of Eth x AL Published by the 12, Ties 110 rBuaars• California Association of REALTORS@ Reviewed by Date WFUHUMITY TDS REVISED 10103 (PAGE 3 OF 3) REAL ESTATE TRANSFER DISCLOSURE STATEMENT (TDS PAGE 3 OF 3) Agency - Marti 058 ! CAT-IF 0 -NIA SUPPLEMENTALSTATUTORY ATIO® OF REACTORS AND CONTRACTUAL DISCLOSURES � OF REA � (CA.R. Form SSO, Revised 4106) 1. Seller makes the following disclosures with regard to the real property or manufactured home described as 51395 Calls Xalima , Assessor's Parcel No. 770-166-019 situated in La Quints County of Riverside , California, ("Property"). 2. THE FOLLOWING ARE REPRESENTATIONS MADE BY THE SELLER AND ARE NOT THE REPRESENTATIONS OF THE AGENT(S), IF ANY. THIS DISCLOSURE STATEMENT IS NOT A WARRANTY OF ANY KIND BY THE SELLER OR ANY AGENT(S) AND IS NOT A SUBSTITUTE FOR ANY INSPECTIONS OR WARRANTIES THE PRINCIPAL(S) MAY WISH TO OBTAIN. A REAL ESTATE BROKER IS QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF SELLER OR BUYER DESIRE LEGAL ADVICE, CONSULT AN ATTORNEY. 3. Are you (Seller) aware of any of the following? (Explain any "yes" answers below.) A. Within the last 3 years, the death of an occupant of the Property upon the Property .............. ❑ Yes �o B. An Order from a government health official identifying the Property as being contaminated by methamphetamine (if yes attach a copy of the Order) .................................. ❑ Yes o C. Whether the Property is located in or adjacent to an "industrial use" zone ............... ❑ Yes No (In general, a zone or district allowing manufacturing, commercial or airport uses.) D. Whether the Property is affected by a nuisance created by an "industrial use" zone ........ ❑ YesW.No E. Whether the Property is located within 1 mile of a former federal or state ordnance location .. ❑ Yet�'No (In general, an area once used for military training purposes that may contain potentially explosive munitions.) F. Whether the Property is a condominium or located in a planned unit development or other / common interest subdivision ................................................. ❑ Yes ffi No G. Insurance claims affecting the Property within the past 5 years ....................... ❑ YesJR.. No H. Matters affecting title of the Property ........................................... ❑ Yes 0 I. Material facts or defects affecting the Property not otherwise disclosed to Buyer ................ ❑ Yes o Explanation, or ❑ (if checked) see attached: 4. Seller represents that the information h re is true and correct to the best of Seller's knowledge as of the date signed by Seller. Seller hereby authorizes any a en s) presenting any principal(s) in this transaction to provide a Copy of this statement to any person or entity in co tin any actual or anticipated sale of the Property. Seller Ricardo A Martinez Date Seller Lisa H Martinez Date 5. By signing below, Buyer ac owledges uyer has read, understands and received a copy of this Supplemental Statutory and Contractual Disclosures. Buyer La Ouinta Redevelopment Acenev Date Buyer Date Agent (Broker Representing Seller) La Quints palms Realty By Jim Cathcart Date (Associate -Licensee or Broker Signature) Agent (Broker Obtaining the Offer) By Date (Associate -Licensee or Broker Signature) The copyright laws of the United States Mile 17 U.S. Code) forbid the unauthorized reproduction of this form, or any portion thereof, by photocopy machine or any other means, including facatmile or compuledzed formats. Copyright 02002-2008, CALIFORNIA ASSOCIATION OF REALTORSO, INC. ALL RIGHTS RESERVED. THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORSO (CAR.). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ADEQUACY OF ANY PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULTAN APPROPRIATE PROFESSIONAL. This form is available for use by the entire real estate industry. It b not Intended to identify the user as a REALTORO. REALTORO is a registered collechve membership mark which may be used only by members of the NATIONAL ASSOCIATION OF REALTORS& who subscribe to its Code of Ethics. Published and Distributed by: .. REAL ESTATE BUSINESS SERVICES, INC. a subsidiary of the Califomia Association ofREAL TORSO 121 r Nose 525 South Virgil Avenue, Los Angeles, California 90020 1 Reviewed by Date wpa iu'� SSD REVISED 4108 (PAGE 1 OF 1) Agent. La QuiMa Palms Realty Phone: (760) 664.41104 Fax: (760) 664-03" Prepared using WINForms® software Broker: La Quints Palms Real Estate Co 61.001 Eisenhower Drive La Quints CA 92263 M CAL I F O P N I A WATER HEATER AND SMOKE DETECTOR ASSOCIATION STATEMENT OF COMPLIANCE ®� OF FLE A L T O ELS® (C.A.R. Form WHSD, Revised 11107) PropertyAddress: 51395 Calls Kalima La Quints CA 92253 NOTE:A seller who is not required to provide one of the following statements of compliance is not necessarily exempt from the obligation to provide the other statement of compliance. WATER HEATER STATEMENT OF COMPLIANCE 1. STATE LAW: California Law requires that all new and replacement water heaters and existing residential water heaters be braced, anchored or strapped to resist falling or horizontal displacement due to earthquake motion. "Water heater" means any standard water heater with a capacity of no more than 120 gallons for which a pre-engineered strapping kit is readily available. (Health and Safety Code §19211d). Although not specifically stated, the statue requiring a statement of compliance does not appear to apply to a properly Installed and bolted tankless water heater for the following reasons: There is no tank that can overturn; Pre-engineered strapping kits for such devices are not readily available; and Bolting already exists that would help avoid displacement or breakage in the event of an earthquake. 2. LOCAL REQUIREMENTS: Some local ordinances impose more stringent water heater bracing, anchoring or strapping requirements then does California Law. Therefore, it is important to check with local city or county building and safety departments regarding the applicable water heater bracing, anchoring or strapping requirements for your property. 3. TRANSFEROR'S WRITTEN STATEM : California Health and Safety Code §19211 requires the seller of any real property containing a water heater to certify, in. that the seller is in compliance with California State Law. 4. CERTIFICATION: Seller represents th t th Prop as of the Close Of Escrow, will be in compliance with Health and Safety Code §19211 by having the water heaters) ra an o or strapped in place, in accordance with those requirements. �i /✓�� Seller Ricardo A Martinez Date O �r (IgnaWre) %(Print Name) 'cZ 13�� Seller Lisa X Martinez Date The undersigned hereby acknowledges receipt of a copy of this document. Buyer La Quints Redeyelolpment A4eacy Date (Signature) (Print Name) Buyer Date (Signature) (Print Name) SMOKE DETECTOR STATEMENT OF COMPLIANCE 1. STATE LAW: California Law requires that every single-family dwelling and factory built housing unit sold on or after January 1,1986, must have an operable smoke detector, approved and listed by the State Fire Marshal, installed in accordance with the State Fire Marshal's regulations. (Health and Safety Code §13113.8). 2. LOCAL REQUIREMENTS: Some local ordinances impose more stringent smoke detector requirements than does California Law. Therefore, it is important to check with local city or county building and safety departments regarding the applicable smoke detector requirements for your property. 3. TRANSFEROR'S WRITTEN STATEMENT: California Health and Safety Code §13113.8(b) requires every transferor of any real property containing a single-famil( dwelling, whether the transfer is made by sale, exchange, or real property sales contract (installment sales contract), to deliver to the transferee a written statement indicating that the transferor Is in compliance with Callfomia State Law concerning smoke detectors. 4. EXCEPTIONS: Generally, a written statement of smoke detector compliance is not required for transactions for which the Seller is exempt from providing a transfer disclosure statement. 5. CERTIFICATION: Seller represents tha a Property, as of the Close Of Escrow, will be in compliance with Health and Safety Code §13113.8 by having operable smoked a r(s) ppraved and listed by the State Fire Marshal installed in accordance with the State Fire Marshals regulations and in acco wl applicable local ordinance(s). ? � Seller Ricardo A Martinez Date UX (Signature) (Pant Name) 5-13--CJ� Seller Lisa X Martinez Date Signature) (Print Name) The undersigned hereby acknowledge(s) receipt of a copy of this document Buyer La Quiata Redevelopment Agency Date (Signature) (Print Naaw) Buyer Data (Signature) (Print Name) The copyright laws or the United States (Title 17 U.S. Code) forbid the unauthorized repproduction of this form, or arty portion thereof, by pnoltocc machine or any other neans, inducting facelmlle or computerized femlats. Copynght 0 1991 .2007 CALIFORNIA ASSOCIATION OF REALTORS®, INC. ALL RIGHTS RESERVED. THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORSO (CAR). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ADEQUACY OF ANY PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE, BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. This form is available for use try the entire real estate industry. It is not Intended to identify the user as a REALTOR& RFALTORM is a registered collective membership mark which may be used only by members of the NATIONAL ASSOCIATION OF REALTORSO who subscribe to Its Code of Ethics. Pubrshe0 and Dis916uted by. REAL ESTATEBUSINESS SERVICES, INC E. asubsidierydWCAUFORNIAASSOCIATIONOFREALTORSe 525 South Vrgr Avenue, Lee Angeles, CabWMReviewed illy Data a 90020 _, WHSD REVISED 11107 (PAGE 1 OF 1) tgent• La Quints Palms Realty Phone: (700) 684d104 Fax: (760) 6S"3" Prepared using WINFomts® software ...0 i s n,n.wn Rnlma Rml Fefate C. 91-001 Flannhewer Drive . La Ouinta CA 92259 060 0 Fidelity National Title Company 73733 Fred Wring or Suite 210 a Palm Desert, CA 92260 (760) 776-5770 • FAx (760) 779-0394 PURCHASE AGREEMENT AND JOINT ESCROW INSTRUCTIONS ARE HEREBY AMENDED AND/OR SUPPLEMENTED IN THE FOLLOWING PARTICULARS ONLY: To: Fidelity National Title Company Date: August 19, 2008 Escrow No: 415305-CB Property Address: 51395 Calla Kalima, La Quints, CA 92253 The instructions in this escrow are hereby modified, amended and/or supplemented in the following particulars only: Acknowledgement: All parties (Sellers and Buyer) have acknowledged receipt of Escrow Holder's executed Acceptance and that all agreements, counter offers and any addendum have been deposited with Escrow Holder and that there are no other outstanding agreements, counter offers and/or addendums which effect the closing of this transaction. Fidelity National Title Company is relieved of any and all responsibility/liability and will be held harmless as it relates to said documents not deposited to escrow. 1. Approval of Legal Description for Subject PrODerty: Seller(s) signature(s) on the conveying Grant Deed, and Buyer(s) approval of the Preliminary Report, shall be deemed as each party's approval of the legal description contained therein as the exact description for the subject property of this escrow and Escrow Holder may rely upon such approval in processing this transaction. 2. An ALTA Homeowners Policy of Title Insurance will be issued by Fidelity National Title Insurance Company at the close of escrow. 3. The undersigned Buyer hands you herewith Preliminary Change of Ownership Report as provided for In Section 480.34 of the Revenue and Taxation Code, State of California which you are to cause to be filed concurrently with the Deed in our favor. If form is rejected by the County, a surcharge may be imposed by said County and is to be paid by buyer herein. 4. Purchase Price: The purchase price for the subject property is $190,000.00. 5. Close of Escrow: Close of escrow to be on or before September 15. 2008, or thereafter, unless revoked by written demand on you by the undersigned. 6. Acceptance Date: Parties agree that the acceptance date is deemed to be August 13, 2008. 7. Legal Description: Lot 7, Block 2 of Desert Club Tract Unit #2, as per map recorded in Book 20. Page 6 of Maps, in the Office of the County Recorder of said County. GENERAL INSTRUCTIONS: 1. Seller is aware that interest on the existing loan(s) does not stop accruing at close of escrow, but continues until the actual day of receipt of the payoff by Lender. Seller is aware that interest will accrue through weekends or holidays. Seller is aware he/she/they are responsible for payment of all of such interest and will indemnify and hold Escrow Holder harmless in connection with the payment of such interest. 2. In accordance with Section 18662 of the Revenue and Taxation Code, a buyer may be required to withhold an amount equal to 31I3 percent of the sale price or an alternative withholding amount certified by the seller in the case of a disposition of California real property interest by either: 1. A seller who is an individual, trust, estate, or when the disbursement instructions authorize the proceeds to be sent to a financial intermediary of the seller, OR 2. A corporate seller that has no permanent place of business in California Immediately after the transfer of title to the California property. The buyer may become subject to penalty for failure to withhold an amount equal to the greater of 10 percent of the amount required to be withheld or five hundred dollars 0500). ...- e6l Date: August 19, 2008 Escrow No: 415305-CB Page 2 However, notwithstanding any other provision Included in the California statutes referenced above, no buyer will be required to withhold any amount or be subject to penalty for failure to withhold if any of the following apply: 1. The sale price of the California real property conveyed does not exceed one hundred thousand dollars 14100,000). 2. The seller executes a written certificate, under the penalty of perjury, certifying that the seller is a corporation with a permanent place of business In California. 3. The seller, who is an individual, trust, estate or a corporation without a permanent place of business in California, executes a written certificate, under the penalty of perjury, of any of the following: A. The California real property being conveyed is the seller's or decedent's principal residence (within the meaning of Section 121 of the Internal Revenue Code). B. The last use of the property being conveyed was use by the transferor as the transferor's principal residence within the meaning of Section 121 of the Internal Revenue Code. C. The California real property being conveyed is or will be exchanged for property of like kind (within the meaning of Section 1031 of the Internal Revenue Code), but only to the extent of the amount of gain not required to be recognized for California income tax purposes under Section 1031 of the Internal Revenue Code. D. The California real property has been compulsorily or Involuntarily converted Iwithin the meaning of Section 1033 of the Internal Revenue Code) and that the seller intends to acquire property similar or related In service or use so as to be eligible for non recognition of gain for California income tax purposes under Section 1033 of the Internal Revenue Code. E. The California real property transaction will result in a loss or net gain not required to be recognized for California income tax purposes. The seller is subject to penalty for knowingly filing a fraudulent certificate for the purpose of avoiding the withholding requirement. THE PARTIES TO THIS TRANSACTION SHOULD SEEK THE PROFESSIONAL ADVICE AND COUNSEL OF AN ATTORNEY, ACCOUNTANT OR OTHER TAX SPECIALIST'S OPINION CONCERNING THE EFFECT OF THIS LAW ON THIS TRANSACTION AND SHOULD NOT ACT ON ANY STATEMENTS MADE OR OMITTED BY THE ESCROW OR CLOSING OFFICER. 3. Checks to be issued at Close of Escrow: I1We the undersigned Buyer/Borrower/Seller hereby acknowledge that we are aware the Fidelity National Title Company will issue a check payable to the undersigned in payment of Seller's proceedsBorrower's proceeds or Buyer's excess deposit refund. I/We further acknowledge and agree that said check will be presented to the bank for deposit as soon Be possible after receipt, and collection and payment of the funds will only be done through the regular banking channels. In addition, in the event there are liens to be paid on the undersigned's behalf, we hereby also acknowledge that 1/we will not use the Day -by -phone electronic system to pay/collect the funds as Fidelity National Title Company will not honor such payments. The parties herein agree to be responsible for any stop payment and reissue charges and/or losses that may be Incurred in connection with any and all electronic debits to Fidelity National Title Company's Trust Accounts. 4. Facsimile Signature: Escrow Holder is hereby authorized and instructed that, in the event any parry utilizes 'facsimile' transmitted signed documents or instructions to Escrow Holder, you are to rely on the same for all escrow instruction purposes and the closing of escrow as if they bore original signatures. Each party shall make every effort to provide to the other party and to Escrow Holder, within 72 hours after transmission, duplicate original documents or instructions bearing the original signatures. Each party further acknowledges and agrees that documents with non -original signatures may not be accepted for recording by the County Recorder, therefore no closing or recording may take place without the submission of the original documents. S. Buyer acknowledges deposit of balance of funds to close escrow to be in the form of wire transfer, certified check cashier's check or teller's check payable to Fidelity National Title Company pursuant to the "Deposit of Funds', Paragraph 1 contained in the General Provisions attached hereto and made a part hereof. 6. The undersigned hereby authorize and instruct Escrow Holder to charge each party to the escrow for their respective Federal Express and/or special mail handling/courier fees. Unless specified In writing by the undersigned, Escmw Holder is authorized to select special mail/delivery or courier service to be used. 062 Date: August 19, 2008 Page 3 Escrow No: 415305-CB _ GENERAL PROVISIONS 1. DEPOSIT OF FUNDS S. PREPARATION AND RECORDATION OF INSTRUMENTS The law dealing with the disbursement of funds requaee Escrow Holder is authorized to prepare, obtain, record and that all funds he available for withdrawal as a matter of right by the deliver the necessary Instruments to carry out the terms and this entity's escrow and/or sub escrow amount prior to disbursement of any funds. Only cash or Wks tranvfarrad fund. can be given conditions of this escrow, and to order the policy of title insurance to be Issued" close of escrow as called for in these Instructions. Close Immediate availability upon deposit. Cashier'. cheeks, lellw's checks of escrow shall mean the data Instruments we recorded. and Certified checks may be available one business clay after deposit. 6. AUTHORIZATION TO FURNISH COPIES All other funds such " personal, corporate or partnership checks and You we authorized to furnish copies of Masse Instructions, draft we subject to mandatory holding periods which may cause materiel delays In disbursement of funds in this escrow. In order to supplements, amendments, notleas of cancellation and closing statements, to the Real Estate Brokers) and Lsnderu) named in this avoid delays, all fundings should be wire transfer. Outgoing wire escrow. transfers will not be authorized until confrmatom of the respective incoming Wks transfer or of avalablity of deposited checks. 7. RIGHT OF CANCELLATION Any principal Instructing you to cancel this escrow shall fie Deposit of funds Into general escrow account unless notloe of cancellation In your office in writing. You shag, within two Instructed Otherwise. You may instruct Escrow Hoarier to deposit (2) waking day. thereafter, deliver, one copy of such notice to each your funds Into an Interest bearing account by signing and recurring the *Notice of Opportunity to Opan Interest Bearing AOomnt",which of the other principals at the add, .... I stated In this escrow. UNLESS WRITTEN OBJECTION TO CANCELLATION IS FILED IN has been provided W you. It you do not so how at us, then all funds received in this escrow shall be deposited with other sawow funds YOUR OFFICE BYA PRINCIPAL WITHIN TEN 110) DAYS AFTER DATE OF SUCH MAILING, YOU ARE AUTHORIZED TO COMPLY WITH In one or more general ..raw most ..... me, which Include both SUCH NOTICE AND DEMAND PAYMENT OF YOUR CANCELLATION non -Interest bearing demand amounts and other depository accounts CHARGES. If wrktn objection Is tiled, you we authorized to hold all of Escrow Holder, In any state or national bank or savings and loan money and Instruments In this escrow and take no further action until association In .... d by the Federal Deposit Insurance Corporation(the otherwise directed, either by the principals' mutual written instructions, or by final Order of a court of competent jurisdiction. "daposiory InstkNbne1 and may be transferred to other much escrow bust accounts of Escrow Holder or one of Its affhistes, either 8. PERSONAL PROPERTY within or outside the State of Celtornle. A general escrow trust =wont is restricted and protected against claims by third partles and No examination or Insurance me to the amount or payment of personal property to.. Is required unless specificallyrequested. creditors of Escrow Holder and its affiliates. The By signing theme General Provisions, the parties to the hereby acknowledge that they are indemnifying the Escrow Receipt of benefits by Escrow Holder and affiliates. parties to this escrow acknowledge that the maintenance of much escrow Holder against any and all matters relating to any "Bulk Sale." general escrow trust accounts with some depository Institutions may requkements, and Instruct Escrow Agent to proceed with the closing result In Escrow Holder or its athletes being provided with an array of escrow without any consideration of matter of any nature regarding 'Bulk Sales' being handled through ascrow. of bank services,accommodations or other benefits by the depository whatsoever Institution. Some or cog of thus bansfhs may be considered hrtereat due you under California Insurance Code Section 12413.5. Escrow 9. RIGHT OF RESIGNATION Escrow Hold" has the right to resign upon ten (10) days Holder or Its affliatn also may elect to enter Into other business written notice delivered to the principals herein. If much right Is all fundsand rimumanLshall be r.wInedto the party who transaction. with or obtain loan. far Investment a other purposes from the depository In"hutlon. All much service., acc.mmodetims, exercised, deposited them and Escrow Holder shall have no liability hereunder. other benefits shall accrue to Escrow Holder or its affiliates and 10. AUTHORIZATION TO EXECUTE ASSIGNMENT OF HAZARD Eentl Escrow Holder shall hove no obligation to account to the penis. to this .earow for the value of such services, accommodation., interest INSURANCE POLICIES Either Sell" and/or Lander may had you the or that benefits. insurance agent's name and Insurance policy Information, and you are behalf of the principals hereto, form assignments of Said fund. will not .ern Interest unless the Instructions to execute, on Interest In any Insurance policy lother than title Insurance) oalled for Otherwise specifically suite that funds shall be deposited in an ntarest,bearing=count. All disbursements Mall be made by cheek in this escrow, forward assignment and policy to the insurance agent, of Fidelity National Tide Company. The principals to this escrow are requesting that the intoner commit to much transfer wdfar ati a and/or such other endorsements as may be hereby notified that the funds deposited herein we insured Only to the limit provided by the Federal Deposit Insurance Corporation. Any loss payable clause required, and formed such policy(.) to the principals andtled thereto. instruction for bank wire will provide reasonable time or notice for It Is not your responsibility to verify the informatim handed you or the of sold Insurance. Your sole duty Is to forward sold Escrow Holder's compliance with such Instruction. Escrow Holder's sole duty and responsibility shall be to place said who transfer assignability request to Insurance agent in close of escrow. instruiona with its wiring bank upon confirmation of U) satisf=tion c Further, there shall be no responsibility upon the pert of Escrow Holder to renew hazard inaulence Polioy(s) upon expk"lon or of conditlona precedent or (2) document recordation at close of Escrow Holder will NOT be held responsible for lost Interest otherwise keep it in force either during or subsequent to the close of escrow, due to wits delays caused by any bank or the Federal Reserve escrow. Cwoell"bn of any existing hazard Insurance policies Is to be handled directly by the Principal., and outside of escrow. System, and recommends that all parties make themselves aware of who regard to placement of whoa. 11. ACTION IN INTERPLEADER banking regulations In the event there Is Insufficient time to place o wke upon The principal. hereto expressly agree that you, e. E+orow Holder, have the absolute right st your election to fie an action In any such confirmation or the wire. have closed for the day, the intupleader requiring the principal, to answer and litigate their partisan We. to provide written Instructions for an alternative method WITHOUT AN ALTERNATIVE DISBURSEMENT several olakns end rights among themselves and you we author¢ad of disbursement. INSTRUCTION, FUNDS WILL BE HELD IN TRUST IN A NON -INTEREST to deposit with the clerk of the own all documents and funds held In this escrow. In the event such action is filed, the principals jointly BEARING ACCOUNT UNTIL THE NEXT OPPORTUNITY FOR WIRE and severally agree to pay your cancellation charges and costs, PLACEMENT. 2. PRORATIO14S AND ADJUSTMENTS expenses and reasonable attomsy'e tees which you we required t, hour in much Interplgader action, the amont thereof to be All Flotations and/or adjustments called for in this escrow "a to be made on the basis of a thkty (30) day month unless expand or fixed and Judgment therefor to be rondared by the court. Won the shell thereupon be fully released and otherwise instructed in writing. You .. to use information omtolnet on last available tax "Haman, rate] muitement as provided by the filing of such action, you discharged from all obligations, imposed by the terms of the escrow Seger, bansficiary's statement and fire insurance policy delivered Into or the iee. 12. TERMINATION OF AGENCY OBLIGATION me orta for the proration* provided for heroin. a If there Is no action taken on this escrow within six 161 SUPPLEMENTAL TAXES 3.The within described property may be subject to months after the "tine limit date" a. set forth in the escrow thermal, your agency obligation hall supplemental reel property texas due to the change of owners Any supplemental reel property instruction. or mitt..9snslon termites at your mean and all dosuments, monies Orr other Items taking place through this escrow. taxes arising as a result of the transfer of the property to Buyer shall held by you well be returned to the parties depositing same. In the cancellation of this escrow, whether it be "the request of be the sole responsibility of Buyer and any supplemental red property aunt of the or otherwise, the isea and charges due Fidelity taxes wising Prior to the closing data shelf be the sole responsibility Seller. TAX BILLS ISSUED AFTER CLOSE OF ESCROW SHALL any of principals NationalThlCompany, Including ditto.sIncurred of the BE HANDLED DIRECTLY BETWEEN BUYER AND SELLER. shall equally by thepartiea heeo lwilloe be homeicelyl. 4. UITLITIES/POSSESSION Transfer of utl Iles and possession of the pramiaes are to otherwise agreed 13. CONFLICTING INSTRUCTIONS you are to take of any cmfllctng instructions, Y be settled by the parties directly and outside escrow. Upon receipt in connection with this escrow until non-cunflictng no action Instruotlone are received from all of the principals to this escrow (subject to sections 7, 9, 11 and 12 above). Continued on following page Initial.• 1-' 6 3 Date: August 19, 2008 Escrow No: 415305-CB Page 4 14. REIMBURSEMENT ATTORNEY FEESIESCROW HOLDER In the event that a wit is brought by any party or parties to these escow Instructions to which the Escrow Holder I. named ae a Ferry which results in a judgment In favor of the Escrow Holder and against a principal or principals heron, the principals or principal$' agent agree to pay said Escrow Holder all cosh, expanses and reeeoneble attorney'. fees which it may emend or In.ur in said suit, the amount thereof to be fixed andjudgment therefore to be rendered by the court in said suit. 15. DEUVERYIRECEIPT Delivery to principals as used In these instructions unless otherwise sated herein to to be by regular mail, and receipt to determined to be 72 hours otter such maili g. All documents, balance. and statements due to the undersigned are to be mailed to the address shown herein. 16. STATEIFEDERAL CODE NOTIFICATIONS Attesting to Federal Law, the Seller, when applicable, will be required to complete a gales activity report that will be utilized to generate a 1099 statement to the Internal Revenue Service. Pursuant to State Lew, prior to the close of escrow, Buyer will provide Escrow Holder with a Preliminary Change of Ownership Report. In the event said report is not handed to Escrow Holder for submission to the County in which subjeot property is located, upon recording of the Grant Deed, Buyers acknowledge that the applicable fee will be..."sod by said County and Escrow Holder shall debit the account of Buyer for same at close of escrow. Buyer and Seller herein represent and warrant thatihey will seek and obtain Independent legal advice and counsel relative to their obligations under the "Foreign Investors In Red Property Act", and any other applicable federal end/or auto laws rseceding same, and will take all steps necessary In order to comply with such reclukaments and hereby hold you harmless relative to they compll... a therewith. 17. ENCUMBRANCES Escrow Holder ihi to act upon any statements furnished by e penholder or his agent without liability m responsibility for the acourt" of such statements. Any adjustment$ necessary because of a discrepancy between the information furnished Escrow Holder and any amount later determined to be correct shall be settled between the parties direct and outside of escrow. You are authmm,cl, without the need for further approval, to debh my account for any fees and charges that I have agreed to pay In connection with this escrow, and for any mounts that I am obligated to pay to the holder of any Ilan or encumbrance to establish the title a. Insured by the policy of tilde insurance called for In these nsauotiona. R for any reason my account Is not debited for such amounts at the time of dosing, I agree to pay them immediately upon demand, or to rebnbmee any other person or entity who has paid them. 18. ENVIRONMENTAL ISSUES Fidelity National Time Company has made no investigation ...coming sold property as to anvkonmentalhexic waste issues. Any due diligence required or needed to determine environmental Impact as to forms of toxRication, If applicable, will be time directly and by Principals outside of escrow. Fidelity National Title Company Is released of any responsibility and/or liability in connection therewith. 1B. USURY Escrow Holder Is not to be concerned with any questions of usury In any loan or encumbrance Involved In the processing of this escrow and o hereby released of any responsibility or liability therefore. 20. DISCLOSURE Escrow Holder's knowledge of matters affecting the property, provided such fact. do not prevent compliance with Nose in.truotlons, doe. not create any IlabaM or duty in or dhian to these instuctons. 21. FACSIMILE SIGNATURE Escrow Holder Is hereby authorized and Instructed that, In the event any Perry utilizes wfacsimile' transmitted signed documents or Instructions to Escrow Holder, you are to rely on the acme for all escrow Instruction purpose. and the closing of escrow es if they bore original signatures. 22. CLARIFICATION OF DUTIES Fidelity National Title Company serves ONLY m an Escrow Holder In connection with these instructions and cannot give legal advke to any party hereto. Escrow Holder is not to be held accountable or liable for the sufficiency or correctness as to form, manner of execution, or vdli ity of any Instrument deposited In this escrow, nor as to the Identity, authority or rights of any person executing the some. Escrow Holder's duties hereunder shag be limited to the Proper handling of such money and the Proper safekeeping of such instruments, or other documents received by Escrow Holder, and for the disposition of some In accordance with the written instruction. accepted by Escrow Holder. The agency and duties of Escrow Holder commence only upon receipt of copies of these Escrow Instructions executed by all panto.. 23. FUNDS HELD IN ESCROW When the compeer, heat fund. remaining h escrow over 90 days $her close of ..mow or estimated close of escrow, the Company shall impose a monthly holding fee of 626.00 that Is to be charged against the funds held by the Company. THIS AGREEMENT IN ALL PARTS APPLIES TO, INURES TO THE BENEFIT OF, AND BINDS ALL PARTIES HERETO, THEIR HEIRS, LEGATEES, DEVISEES, ADMINISTRATORS, EXECUTORS, SUCCESSORS AND ASSIGNS, AND WHENEVER THE CONTEXT SO REQUIRES THE MASCULINE GENDER INCLUDES THE FEMININE AND NEUTER, AND THE SINGULAR NUMBER INCLUDES THE PLURAL, THESE INSTRUCTIONS AND ANY OTHER AMENDMENTS MAY BE EXECUTED IN ANY NUMBER OF COUNTERPARTS, EACH OF WHICH SHALL BE CONSIDERED AS AN ORIGINAL AND BE EFFECTIVE AS SUCH. MY SIGNATURE HERETO CONSTITUTES INSTRUCTION TO ESCROW HOLDER OF ALL TERMS AND CONDITIONS CONTAINED IN THIS AND ALL PRECEDING PAGES AND FURTHER SIGNIFIES THAT I HAVE READ AND UNDERSTAND THESE GENERAL PROVISIONS. FIDELITY NATIONAL TITLE COMPANY CONDUCTS ESCROW BUSINESS UNDER CERTIFICATE OF AUTHORITY NO. 2597.3 ISSUED BY THE CALIFORNIA DEPARTMENT OF INSURANCE. All other terms and conditions remain the same. La Qylnts Redevelopment Agency, a public body Corporate and Politic By* Ricardo A. Martinez Lisa H. Martinez r64 Effective Date: 5/1/2008 Fidelity National Financial, Inc. Privacy Statement Fidelity National Financial, Inc. and its subsidiaries ("FNF") respect the privacy and security of your non- public personal information ("Personal Information") and protecting your Personal Information is one of our top priorities. This Privacy Statement explains FNF's privacy practices, including how we use the Personal Information we receive from you and from other specified sources, and to whom it may be disclosed. FNF follows the privacy practices described in this Privacy Statement and, depending on the business performed, FNF companies may share information as described herein. Personal Information Collected We may collect Personal Information about you from the following sources: • Information we receive from you on applications or other forms, such as your name, address, social security number, tax identification number, asset information, and income information; • Information we receive from you through our Internet websites, such as your name, address, email address, Internet Protocol address, the website links you used to get to our websites, and your activity while using or reviewing our websites; • Information about your transactions with or services performed by us, our affiliates, or others, such as information concerning your policy, premiums, payment history, information about your home or other real property, information from lenders and other third parties involved in such transaction, account balances, and credit card information; and • Information we receive from consumer or other reporting agencies and publicly recorded documents. Disclosure of Personal Information We may provide your Personal Information (excluding information we receive from consumer or other credit reporting agencies) to various individuals and companies, as permitted by law, without obtaining your prior authorization. Such laws do not allow consumers to restrict these disclosures. Disclosures may include, without limitation, the following: • To insurance agents, brokers, representatives, support organizations, or others to provide you with services you have requested, and to enable us to detect or prevent criminal activity, fraud, material misrepresentation, or nondisclosure in connection with an insurance transaction; • To third -party contractors or service providers for the purpose of determining your eligibility for an insurance benefit or payment and/or providing you with services you have requested; • To an insurance regulatory authority, or a law enforcement or other governmental authority, in a civil action, in connection with a subpoena or a governmental investigation; • To companies that perform marketing services on our behalf or to other financial institutions with which we have joint marketing agreements and/or • To lenders, lien holders, judgment creditors, or other parties claiming an encumbrance or an interest in title whose claim or interest must be determined, settled, paid or released prior to a title or escrow closing. We may also disclose your Personal Information to others when we believe, in good faith, that such disclosure is reasonably necessary to comply with the law or to protect the safety of our customers, employees, or property and/or to comply with a judicial proceeding, court order or legal process. Page 1 of 2 r65 Effective Date: 5/1/2008 Disclosure to Affiliated Companies - We are permitted by law to share your name, address and facts about your transaction with other FNF companies, such as insurance companies, agents, and other real estate service providers to provide you with services you have requested, for marketing or product development research, or to market products or services to you. We do not, however, disclose information we collect from consumer or credit reporting agencies with our affiliates or others without your consent, in conformity with applicable law, unless such disclosure is otherwise permitted by law. Disclosure to Nonaffiliated Third Parties - We do not disclose Personal Information about our customers or former customers to nonaffiliated third parties, except as outlined herein or as otherwise permitted by law. Confidentiality and Security of Personal Information We restrict access to Personal Information about you to those employees who need to know that information to provide products or services to you. We maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard Personal Information. Access To Personal Information/ Requests for Correction, Amendment, or Deletion of Personal Information As required by applicable law, we will afford you the right to access your Personal Information, under certain circumstances to find out to whom your Personal Information has been disclosed, and request correction or deletion of your Personal Information. However, FNF's current policy is to maintain customers' Personal Information for no less than Your state's required record retention requirements for the purpose of handling future coverage claims. For your protection, all requests made under this section must be in writing and must include your notarized signature to establish Your identity. Where permitted by law, we may charge a reasonable fee to cover the costs incurred in responding to such requests. Please send requests to: Chief Privacy Officer Fidelity National Financial, Inc. 601 Riverside Avenue Jacksonville, FL 32204 Changes to this Privacy Statement This Privacy Statement may be amended from time to time consistent with applicable privacy laws. When we amend this Privacy Statement, we will post a notice of such changes on our website. The effective date of this Privacy Statement, as stated above, indicates the last time this Privacy Statement was revised or materially changed. Page 2 of 2 ....; 066 SOE-502-A REV. 800-05) PRELIMINARY CHANGE OF OWNERSHIP REPORT [To be completed by transferee (buyer) prior to transfer of subject property in accordance with section 480.3 of the Revenue and Taxation Code.l A Preliminary Change of Ownership Report must be filed with each conveyance in the County Recorder's office for the county where the property Is located; this particular form may be used in all 58 counties of California. THIS REPORT IS NOT A PUBLIC DOCUMENT ESCROW #: 415305-CB ORDER #: SELLERlrRANSFEROR: Ricardo A. Martinez and Lisa H. Martinez BUYERITRANSFEREE: La Quinta Redevelopment Agency, a public body Corporate and and Politic ASSESSOR'S PARCEL NUMBERjS): 770-166-019-6 PROPERTY ADDRESS OR LOCATION: 51395 Calle Kalima, La Quints, CA 92253 MAIL TAX INFORMATION TO: Ms. Becky Caha 309 W. 4th Street Santa Ana, CA 92701 Phone Number IS a.m. - 5 p.m.) ( ) FOR RECORDER'S USE ONLY nvr n.c: m lien Tor property saxes applies To your property on January I or seen year Tor me taxes owing in the ?oil owing tiscal year, July T through June 30. One-half of these taxes is due November 1, and one-half Is due February 1. The first installment becomes delinquent on December 10, and the second installment becomes delinquent on April 10. One tax bill is mailed before November 1 to the owner of record. You may be responsible for the current or upcoming property taxes even If you do not receive the tax bill. The property which you acquired may be subject to a supplement assessment in an amount to be determined by the Riverside County Assessor. For further information on your supplemental roll obligation, please call the Riverside County Assessor's Office. PART I: TRANSFER INFORMATION /please answer all questions) A. Is this transfer solely between husband and wife (addition of a spouse, death of a spouse, divorce settlement, etc.)? _464 B. Is this transaction only a correction of the name(s) of the person(s) holding title to the property (for example, a name change upon marriage)? Please explain _yam C. is this document recorded to create, terminate, or reconvey a lender's Interest in t property D. Is this transaction recorded only as a requirement for financing purposes or to create, terminate, or reconvey a security interest (e.g., cosigner)? Please explain E. Is this document recorded to substitute a trustee under a deed of trust, mortgage, or of er similar ocument. F. Did this transfer result in the creation of a joint tenancy in which the seller (transferor) remains as one of the joint tenants? _�L G. Does this transfer return property to the person who created the joint tenancy (original transferor)? H. Is this transfer of property: 1. to a revocable trust that may be revoked by the transferor and is for the benefit of the transferor transferor's spouse? .2. to a trust that may be revoked by the Creator/Grantor who is also a joint tenant, and which names the other joint tenant(s) as beneficiaries when the Creator/Grantor dies? 3. to an Irrevocable trust for the benefit of the Creator/Grantor and/or Grantor's spouse? 4. to an Irrevocable trust from which the property reverts to the Creator/Grantor within 12 years? I. If this property is subject to a lease, is the remaining lease term 35 years or more including written options? —1L ` J. Is this transfer between parent(s) and child(ren)? _ or from grandparent(s) to grandchild(ren)? �� • K. Is this transaction to reprce a principal residence by a person 55 years of age or older? Within the same county? Yes No 1 • L. Is this transaction to replace a principal residence person who is severely disabled as defined by Revenue and Taxation Code section 69.5? Within the same county? Yes No M. Is this transfer solely between domestic partners currently register with the Cali oT cola Secretary of State? VIFyou c eo ed yes to J, K or L, you may quality for a property tax reassessment exclusion, which may result in lower taxes on your property. If you do not file a claim, your property will be reassessed. Please provide any other information that will help the Assessor to understand the nature of the transfer. If the conveying document constitutes an exclusion from a change in ownership as defined in section 62 of the Revenue and Taxation Code for any reason other than those listed above, Set forth the specific exclusions claimed: B. Ty of transfer (please check appropriate box : Purchase Foreclosure Gift _ Trade or Exchange _ Merger, Stock, or Partnership Acquisition — Contract of -Sale - Date of ontract Inheritance - Date of Death ter (p ease explain): — Creation of Lease _Assignment of a ease _ Termination of a Lease a e ease ac Date lease began Original term in years (including written options Remaining term in years (including written options Monthly Payment He a n ng Term C. Was only a partial interest in the property trans errs es No If Yea. indicate the percentage transferred (PCORSB.WPF)(02-06) a., , , 067 SOE-502-A REV. 8110-05) Please answer, to the best of your knowtedge, all applicable questions, sign and data. If a question doss not apply, indicate with 'N/A.' PART III: PURCHASE PRICE AND TERMS OF SALE A. CASH DOWN PAYMENT OR value of trade or exchange (excluding closing costs) Amount 8 B. FIRST DEED OF TRUST @ % Interest for `years. Pymts./Mo.=B (Prin. & Int. only) Amount 8 _ FHA �_ Discount Points) _ Fixed rate _ New loan _ Conventional _ Variable rate _ Assumed existing loan balance _ VA 1 Discount Points) _ All Inclusive D.T. (8 Wrapped) _ Bank or savings & loan _ Cal -Vet _ Loan carried by seller _ Finance company Balloon payment _Yes _ No Due Date Amount 8 C. SECOND DEED OF TRUST @ _% interest for _ years. Pymts./Mo.= 9 (Prin. & Int. only) Amount 8 _ Bank or savings & loan _ Fixed rate _ New loan _ Loan carried by seller _ Variable rate _ Assumed existing loan balance Balloon payment Yes _No Due Date Amount 8 D. OTHER FINANCING: Is other financing involved not covered in (b) or (c) above? _ Yes _ No Amount 8 Type @ _% interest for _ years. Pymts./Mo.=9 (Prin. & Int. only) _ Bank or savings & loan _ Fixed rate _ New loan _ Loan carried by seller _ Variable rate _ Assumed existing loan balance Balloon payment _ Yes _ No Due Date Amount 8 E. WAS AN IMPROVEMENT BOND ASSUMED BY THE BUYER? _ Yes _ No Outstanding Balance: Amount 8 F. TOTAL PURCHASE PRICE for acquisition price, if traded or exchanged, include real estate commission if paid/ TOTAL ITEMS A THROUGH E 8 /�%��, (-Zy) G. PROPERTY PURCHASED _ Through a broker _ Direct from seller _ From a family member _ Other fplesse explain) > If purchased through a broker, provide broker's name and phone number: Please explain any special terms, seller concessions, or financing and any other Information that would help the Assessor understand the purchase price and terms of sale: Y� Single-family residence _ Agricultural _ Timeshare _ Multiple -family residence (no. of units: 1 _ Co-op/Own-your-own _ Manufactured home _ Commercial/Industrial _ Condominium _ Unimproved lot _ Other (Description: i.e., timber, mineral, water rights, etc. ) IS THIS PROPERTY INTENDED AS YOUR PRINCIPAL RESIDENCE? _ Yes No If yes, enter date of occupancy /,20 or intended occupancy / ,20 /monthl fdsyl tyear) fmonml (day) fyearl C IS PERSONAL PROPERTY INCLUDED IN THE PURCHASE PRICE (i.e., furniture, farm equipment, machinery, etc.) (other than a manufactured home subject to local property tax)? _Yes _V No If yes, enter the value of the personal property included in the purchase price 8 fAttach itemized list ofpersonal property.) qs IS A MANUFACTURED HOME INCLUDED IN PURCHASE PRICE? Yes No _ If yes, how much of the purchase price is allocated to the manufactured home? 8 Is the manufactured home subject to local property tax? _ Yea _ No What Is the decal number? E. DES THE PROPERTY PRODUCE INCOME? _ Yes X- No If yes, is the income from: Lease/Rent _ Contract _ Mineral rights _ Other !please expleinl: F. HAT WAS TJ1E CONDITION OF THE PROPERTY AT THE TIME OF SALE? —Good _X_ Average _ Fair _ Poor r'Please explain the physical condition of the property and provide any other Information (such as restrictions, etc.) that would assist the Assessor in determining the value of the property: CERTIFICATION OWNERSHIP TYPE W) ';-P P&r rsMp — l certify that the foregoing is true, correct and complete to the best of my know/edge and belief. P.nx .H corp.ne.n — This dec/aradon Is b/nding on each and every co-owner and/or partner. other yr. NAPUF NEW OWNEfl/CORPOMTE OFFICER TITLE SIG"TURE OF NEW OW E CO TE OFFICLK P or ✓LtIN V ' T' 1 I UM 7 ADO s Mpd L ,`eo ,A ou (V • cA q2rMAIL ADDREaS (6KIONAL)DA (NOTE: The Assessor may contact you for additional Information.) If a document evidencing a change of ownership is presented to the recorder for recordation without the conourrem filing of a preliminary change of ownership report, the recorder may charge an additional recording fee of twenty dollars (820). (PCORSB.WPF)(02-06) r 6 8 0 Fidelity National Title Company 73733 Red Warng Dr Suhe 210 • Pelm Deeert, CA 32260 (7601 776-5770 • FAx 1760) 779-0394 BUYER'S ESCROW INFORMATION SHEET Escrow No.: 415305-CS PLEASE FILL OUT THIS FORM COMPLETELY AND RETURN TO OUR OFFICE AS SOON AS POSSIBLE AS IT WILL ASSIST U, S IN THE ADMINISTRATION OF YOUR TRANSACTION. LA �. Buyer(s): niAinta %e eU2lD0mkj FF �'t pd Work Phone Number: 1711eN "I'I"7 -`lOOO ? Buyerlsl Current Mailing Address: %S�i�4Q.S l'nllG 'iIl1MI7LP Ai I11 owifiA cFF A2253 2. Buyer(s) Mailing Address After Close Of Escrow: y ag n u as 2{arr-`_ 3. Buyer(s) Vesting To Be Placed On Grant Deed, Please Print Your Name Exactly As You Wish q It To Appear Of Record: LA Gllttvl+A Redep-lo�wLt-pf It Puhltr loud � .up2 afc, Arvi 1?!1 c Please mark appropriate box: Husband and Wife Unmarried Man A Single Man (Never Married) Unmarried Woman _ A Single Woman (Never Married) A Widower A Widow Registered Domestic Partners Other As: Community Property Community Property with Rights of Survivorship Joint Tenants Tenants In Common (Please Give Interest Amounts) -�_ Sole and Separate Property (If Married or Domestic Partnership. an Intempousal Grant 1 Deed, A Quitclaim Deed, Statement Of Information and Appropriate Instructions Will Need To Be Submitted.) Partnership (Limited Or General) F N Corporation (California Or Other State _ Other '2 4. Social Security Number: 06 Ilk YJ 5. New Loanls) Buyer(s) Are Applying For; ` Name Of Lender: Address: Agent's Name umber: ( I Name Of Lender: Address: Agents Name Ph umber: ( I 6. New Insurance: Agent's Name Phone Number: ( I Agent's Address: Insurance Company: Please place any additional information that you feel we may require on the reverse side of this form. La Quinta Redevelopment Agency, a public body Corporate and Politic 0*kSE,,QQ IPLETE.SDME, SIGN,ANP tE1—U Fidallty Nation/ Insurance Services can provide a free; no obligation homeowner insurance quote that meets all your mortgage requirements. Call today at toll free I8881 333-2120 to avoid any delays in your property's closing. Information Sheet- 9uyar lboYinfo.wp0101.061 V V V Twyl 4 aCP Q9&Z COUNCIL/RDA MEETING DATE: September 16, 2008 ITEM TITLE: Approval to Reject All Bids for Project No. 2008-07, PM-10 Control and Temporary Parking Lot at SilverRock Resort and Authorization to Re - Advertise for Bids RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Approval to reject all bids for Project No. 2008-07, PM-10 Control and Temporary Parking Lot at SilverRock Resort and authorization to re -advertise for bids. FISCAL IMPLICATIONS: The Fiscal Year 2008/2009 Operating Budget (Account No. 405-9001-702.32-15) includes $400,000 for the PM10 Maintenance at SilverRock Resort. A portion of this budget is used for ongoing PM10 stabilization by Environmental Products & Applications who are responsible for daily water truck operations as well as 6- month chemical stabilization for the hotel pads and perimeter slopes. BACKGROUND AND OVERVIEW: The SilverRock Resort consists of 525 acres. Approximately 290 acres of the property remain undeveloped. From the beginning of construction, PM10 measures have been in place for dust control and Air Quality Management District (AQMD) compliance by the Agency and various contractors working on the project. Since golf course construction was completed in 2005, the Agency has been responsible for overall dust control at SilverRock. On September 6, 2005, City Council approved the SilverRock Resort Soil Stabilization, Project No. 2002-07M to include a combination of vegetative stabilization, water truck service, and chemical stabilization. This option gave the greatest flexibility for future development of SilverRock Resort while providing cost effective dust control to the site. 70 On March 29, 2006, a Notice to Proceed was issued to Precision Landleveling for the planting of vegetative stabilization (barley and Sudan grass). The original contract amount was $185,000. Three Contract Change Order's were approved for additional work including: clearing additional weeds and debris on the property along Jefferson Street (CCO #1), plowing costs and additional Sudan grass seed (CCO #2), and removing the tamarisk trees from around the village lakes and mowing the property along the west side of Jefferson Street (CCO #3). The final revised contract amount with Contract Change Order Nos. 1 through 3 is $225,292. The Agency accepted the completion of Project 202-07M on September 19, 2006. On October 12, 2007, a contract (Project No. 2007-14) was awarded for the vegetative stabilization of approximately 40 acres located at the northwest corner of SilverRock. It was also utilized as a Temporary Parking Lot, as per the June 6, 2007 Amended Use Agreement between Desert Classic Charities, The Bob Hope Chrysler Classic, and the City of La Quinta. The City Council also adopted a Resolution Making Certain Findings Pursuant to Health and Safety Code Section 33445(a) on -October 16, 2007. In December 2007, over 130,000 tons of top soil was imported onto the SilverRock property from the Vista Dunes project. The imported material will be needed for the future development of the SilverRock site. The imported soil was stabilized with a six- month chemical stabilization, but the material caused an infestation of tumble weeds. Planting vegetative stabilization provides long term effectiveness and cost savings over chemical stabilization. Additionally, vegetative stabilization helps reduce the infestation of unwanted weeds such as tumble weeds. Even with vegetative stabilization, chemical stabilization will need to continue for the engineered building pads and perimeter slopes. Project No.2008-07 will remove tumble weeds throughout the property, replant the Temporary Parking Lot at SilverRock Resort (40 acres of rye grass) for the Bob Hope Chrysler Classic, and plant barley over the 130,000 tons of imported soil (50 acres). Add Alternate Item No. 1 will be considered to plant 73 acres of barley on the property between SilverRock Way and the driving range. On August 5, 2008, the Agency approved the Plans and Specifications and authorized staff to advertise for bids the PM10 Control and Temporary Parking Lot at SilverRock Resort, Project No. 2008-07. On September 8, 2008, seven bids were received for Project No. 2008-07. The Bid Comparison Summary (Attachment 1) shows the Base Bid and Add Alternate No. 1 item prices from each bidder. The lowest bid is from Natures Image with a bid amount of $228,296.83. 1 Staff contacted Natures Image and found their bid was based on watering the temporary parking lot and barley area with water trucks. This gave Natures Image a substancially lower bid over the other six bidders who based their bids on the use of temporary irrigation lines. Furthermore, Natures Image did not understand the planting of the Temporary Parking Lot was to be used for parking in January. The project specifications indicate that the work shall include providing temporary irrigation. Water trucks will damage the temporary parking lot during grow -in and they do not qualify as temporary irrigation and are more a function of dust control. Natures Images believes they bid accordingly to the specification and refuse to withdraw their bid. Staff is requesting to reject all bids and authorization to re -advertise for bids with the specifications requiring the use of temporary irrigation pipe. FINDINGS AND ALTERNATIVES: The alternatives available to the Agency include: 1. Approval to reject all bids for Project No. 2008-07, PM-10 Control and Temporary Parking Lot at SilverRock Resort and authorization to re -advertise for bids; or 2. Do not approval to reject all bids for Project No. 2008-07, PM-10 Control and Temporary Parking Lot at SilverRock Resort and authorization to re - advertise for bids; or 3. Provide staff with alternative direction. Respectfully submitted, Edie'Hylldn Community Services Director Approved for submission by: Ar-l-pa-e& -4r Thomas P. Genovese, Executive Director Attachment: 1. Bid Comparison Summary ATTACHMENT G § §ggq)J 4 z ° § §M_� m �f;t N&a-=� E;: LU 0 mW `sEEm 0 > z (,,,,_ ( § ` r ! p a §)�§ § m k'E N cl Wci mW `2EE ;;;�� z /,,,,o ( � W -i Lq 073 T4ht 4 4 Q" COUNCIL/RDA MEETING DATE: September 16, 2008 ITEM TITLE: Consideration to Approve of a Parking License Agreement with the La Quinta Arts Foundation RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: / CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Approve the Parking License Agreement with the La Quinta Arts Foundation (Foundation) for the SilverRock Resort temporary parking lot. FISCAL IMPLICATIONS: There is currently not a fee schedule established for the rental of this temporary parking lot. The Foundation is requesting use of the temporary parking lot for a one-year agreement to reduce traffic in the Village neighborhood during the Festival. CHARTER CITY IMPLICATIONS: 1► alm BACKGROUND AND OVERVIEW: The Foundation has requested the use of the temporary parking lot at the SilverRock Resort property located near Avenue 52 and Jefferson Street. This property is used by the Bob Hope Chrysler Classic for parking during the event. The Foundation is requesting the use of this property to reduce the parking in the Village associated with the Festival (Attachment 1). Each year City staff and the Foundation are challenged to manage the parking problems in the adjacent neighborhoods. Attachment 2 is a proposed Agreement in which the Foundation would be granted use of the temporary parking lot for the festival. The Foundation will be responsible for clean-up and will make all necessary repairs and replacements, if any, to the parking lot. 074 FINDINGS AND ALTERNATIVES: The alternatives available to the Agency include: 1. Approve the Parking License Agreement with the La Quinta Arts Foundation for the SilverRock Resort temporary parking lot; or 2. Approve the Parking License Agreement with the La Quinta Arts Foundation with modifications for the use of the SilverRock Resort temporary parking lot; or 3. Do not approve the Parking License Agreement with the La Quinta Arts Foundation for the SilverRock Resort temporary parking lot; or 4. Provide staff with alternative direction. Respectfully submitted, XM�6 Edie Hyltp Community Services Director Approved for submission by: Thomas P. Genovese, Executive Director Attachments: 1. June 6, 2008 Letter 2. Parking License Agreement 975 F) ATTACHMENT r c aim o June 6, 2008 ,p o � The Honorable Don Adolph and 3 La Quinta City Council Members W A R T S U° Lee Osborne, Tom I(irk, Stanley Sniff, Terry Henderson City of La Quinta P. O. Box 1504 La Quinta, CA 92253 Honorable Mayor and Council, Further to LQAF's previous communications dated April 16, 2008, this correspondence attempts to further detail LQAF's request for FY 2008-09. In conjunction with June 19f" City budget hearings we are asking Council's consideration of the following: 1.) Contract Services Agreement for $100,000 for production and promotion of the 27"h annual La Quinta Arts Festival, March 12-15, 2009 with City of La Quinta as Premier Sponsor 2.) Renewal of Facilities Use Agreement for 5 years. Waiver of // associated rental fees for term of contract_ ✓3.) Consideration to park at SilverRock Resort, La Quinta Arts Festival, March 12-15, 2009 without imposed fees. Parking at SilverRock would be advertised as free to the public with a free shuttle service. The cost of the shuttle service will be borne by LQAF and LQAF will be responsible to manage the parking with a professional service. 4.) Possible use of Civic Center Campus for 2n° annual Blues, Brews & BBQ (see b. below) 5.) Contract Services Agreement for $25,000 for Blues, Brews & BBQ. We would like to make the Council aware of collaborative activities planned for the benefit of La Quinta residents and visitors during FY08/09 that are in addition to La Quinta Arts Festival, LQAF's docent program in the elementary schools and the Visual Arts Scholarship program. a. Art Culture Nighd ife at Old Town La Quinta — Three days (one weekend) each month, July, August, and September 2008. b. Blues, Brews & BBQ — November 1, 2008. We continue negotiations with CVRPD for possible use of La Quinta Community Park for this event. While use of the park was granted, the conditions imposed of not allowing vehicles or trailers on the ball field incapacitate the event as designed. We continue to work with the staff and board hopefully toward a mutual agreement If the request is granted by CVRPD, LQAF will retract request number 4. above. 076 c. La Quinfa community Services Excursions • 9-20-08 Georgia O'Keeffe Exhibit, San Diego Museum of Art • 10-1-08 Terra Cotta Warriors Exhibit at Bowers Museum • TBD Jazz at Thornton Winery, Temecula • TBD Musicals at Pantages Theatre d. La Quinta Museum Exhibits • 12-11-08 thru 2-1-09 Desert Plein Air - a collaboration between LQAF, City of Palm Desert Community Gallery and LQ Museum. • 1-10-09 thru 3-8 M Teapots — Ceramic Exhibition with potential fundraising activities for LQ Historical Society, Friends of LQ Museum, and LOAF • 5-15-09 thru 7-15-09 LQAF Scholarship Exhibit e. Art Under the Un irellas at Old Town • Six Saturdays from October 2008 through April 2009 featuring art, demonstrations, live music and additional amenities, free to the public. Attached find draft budgets and supporting collateral for the listed activities. Thank you for your continued consideration. Christi Salarnone Executive Director c. Tom Genovese, City Manager Edie Hylton, Community Services Director 077 ATTACHMENT 2 PARKING LICENSE AGREEMENT THIS PARKING LICENSE AGREEMENT (the "Agreement") is made effective this day of September 2008, by and between the La Quinta Redevelopment Agency ("Agency") and La Quinta Arts Foundation ("Contractor"). RECITALS WHEREAS, Agency is the owner of certain real property located in the City of La Quinta, California, as depicted on Exhibit "A" attached hereto (the "License Property"); and WHEREAS, Contractor is producing the La Quinta Arts Festival which is open to the public March 12 through 15, 2009 at the Civic Center Campus in the City of La Quinta (the "Festival") in close proximity to the License Property; and WHEREAS, in order for Contractor to better manage the Festival parking, Contractor desires to use a portion of the License Property as a parking and staging area for shuttle service to the Festival for use by the public, artists, vendors, and volunteers; and WHEREAS, subject to the terms, covenants and conditions of this Agreement, Agency is willing to grant Contractor permission of access for ingress and egress over the License Property owned by Agency, and permission to use the License Property for the limited purpose of a public parking area for vehicles and as a shuttle stop for transportation services to the Festival (the "Parking Service") in consideration of certain undertakings with respect to the License Property by Contractor. NOW THEREFORE, in consideration of the Recitals, the mutual promises and obligations contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 1. GRANT; LIMITATION OF RIGHTS. Agency hereby grants to Contractor a non-exclusive, revocable license for access, ingress and egress over the License Property during the term. Contractor hereby warrants and represents to Agency that Contractor shall return the License Property to substantially the same condition as existed on the date that this Agreement is executed, which condition is subject to the approval of the Agency. 2. TERM. The "Term" of this Agreement shall begin on March 10, 2009 at 12:00 a.m. and shall terminate on March 16, 2009 at 11:59 p.m. Contractor's obligations shall continue beyond the term of this Agreement until fully performed. O18 Page 1 of 7 3. USE OF THE LICENSE PROPERTY. The parties acknowledge and agree that Contractor may access the License Property in conjunction with the Parking Services for Festival. In this regard, during the license period only, Contractor shall have a temporary revocable license to enter upon the License Property for the purposes of furthering the Parking Services for Festival including setting up and taking down any necessary equipment. In addition, Contractor agrees not to conduct or cause to be conducted on the License Property any repair, maintenance and/or refueling of any vehicles or equipment. Contractor agrees that it will coordinate its use of the License Property with Agency's designated representative, Steve Howlett, at (760) 777-7026, and will not disturb, damage, or contaminate the License Property or interfere in any manner with other activities on the License Property or at SilverRock Resort. 4. CONTRACTOR'S DUTIES/PERMITTED ACTIVITIES. (a) Contractor agrees to be fully responsible for any damage or injury to the License Property and/or to any person or property which may arise in connection with this Agreement and/or the Festival. (b) Contractor shall thoroughly clean and make all necessary repairs and replacements, if any, to the License Property, including, but not limited to, turf, landscaping, irrigation equipment, and soil stabilization measures and generally surrender the License Property to Agency at the expiration of the Agreement in such condition as Agency or its representatives deem to be acceptable. (c) Contractor agrees to be responsible for the clean-up of any environmental contamination, which occurs as a result of, or arises in connection with, any activities conducted by Contractor, its employees, agents, subcontractors or representatives, under this Agreement and to indemnify and hold Agency and the City of La Quinta harmless from and against any and all claims, losses, damages and injuries of any nature whatsoever resulting from or arising out of Contractor's activities under this Agreement, except to the extent resulting form the gross negligence or willful misconduct of Agency, its employees, agents, contractors or representatives. Contractor's obligation to observe and perform this covenant shall survive the expiration or other termination of this Agreement. If any toxic or chemical Hazardous Materials attributable to Contractor, its agents, employees, on -site subcontractors, or invitees, or the activities of any of them, are found in the soil, air, surface or ground water on, under or about the License Property, Contractor, at its sole expense, shall promptly take any and all actions necessary to return the License Property to the condition existing prior to the introduction of such Hazardous Materials to 070 Page 2 of 7 the License Property in accordance with applicable laws and the requirements of all governmental agencies with jurisdiction, provided that Agency's approval of such actions shall first be obtained, which approval shall not be unreasonably withheld. If Contractor causes or permits a significant release of Hazardous Materials or is in material noncompliance with any applicable law or requirement of this Section, Agency may make a reasonable demand for action upon Contractor. If Contractor does not respond within thirty (30) days (unless there is an emergency, in which case Contractor shall be required to respond as soon as practicable), Agency may, at its option, take reasonable actions to remedy the release or noncompliance at Contractor's sole expense, which sums shall be immediately due and payable to Agency as additional compensation. At any time during the term of this Agreement, Contractor shall, if required by any governmental agency, promptly take whatever steps are necessary to investigate and remedy any contamination by Hazardous Materials caused by Contractor, its agents, employees, on -site subcontractors or invitees. (d) Contractor shall be responsible for obtaining all permits and approvals from all applicable governmental authorities necessary in connection with the Parking Service on the License Property. (e) Contractor agrees that any and all costs incurred with regard to the Parking Service and/or use of the License Property or any claims of third parties for liens, personal injury or property damage with respect to the use of the License Property shall be borne by Contractor at Contractor's sole cost and expense. (f) In the event that Contractor, or its subcontractors, breach any of the foregoing covenants regarding the License Property and/or any facilities or systems located on the License Property, Contractor agrees to be responsible for all damages caused by such breach, including but not limited to compensatory, consequential and incidental damages and attorney's fees and court costs associated therewith. Contractor acknowledges and agrees that consequential damages shall include any damages actually caused by Contractor's breach, regardless of whether such damages were foreseeable at the time that this Agreement was executed. By way of example only, and not by limitation, consequential damages include damages resulting from environmental contamination and economic losses resulting from damage to irrigation systems. 5. INSURANCE and LICENSES. At all times during the Term of this Agreement, Contractor, its successors or assigns, shall carry and maintain, in full force and effect, at their sole cost and expense, the following insurance policies with insurance companies satisfactory to Agency. Such policies shall include a Page 3 of 7 provision requiring a minimum of thirty (30) days notice to Agency of any change or cancellation. The Agency and the City of La Quinta, their officers, employees and agents, shall be named as additional insureds on the policies listed in Subsections 5(a) and (b) as their interests may appear. (a) Comprehensive general liability insurance in an occurrence format in an amount of one million dollars ($1,000,000.00) per occurrence, including the following coverages: personal injury, broad form property damage, and environmental contamination or accidental discharge.. (b) Business auto coverage form insurance on all vehicles used in connection with this License and/or on the License Property in an amount of five million dollars ($5,000,000.00) combined single limits for bodily injury and property damage per occurrence. (c) Workers' Compensation insurance in accordance with the provisions of the Workers' Compensation Act of the State of California for all employees, subcontractors and any subcontractor's employees engaged in connection with this Agreement. (d) Contractor agrees to provide Agency with certificates of insurance and endorsements evidencing the policies listed above upon execution of this License as a condition to commencing any of the activities contemplated by this Agreement. 6. INDEMNITY. (a) The Contractor shall defend, indemnify and hold harmless the Agency and the City of La Quinta, their officers, officials, employees, representatives and agents ("Indemnified Parties"), from and against any and all actions, suits, proceedings, claims, demands, losses, costs, and expenses, including legal costs and attorneys' fees, for injury to or death of person(s), for damage to property (including property owned by the Agency or City) and for errors and omissions committed by Contractor, its officers, anyone directly or indirectly employed by Contractor, any subcontractor, and agents or anyone for whose acts any of them may be liable, arising directly or indirectly out of or related to Contractor's performance under this Agreement, except to the extent of such loss as may be caused by Agency's or City's own active negligence, sole negligence or willful misconduct, or that of its officers or employees. In the event the Agency or City Indemnified Parties are made a party to any action, lawsuit, or other adversarial proceedings in any way involving such Claims, Contractor shall provide a defense to the Agency or City Indemnified Parties, or at the Agency's or City's option, reimburse the Agency or City Indemnified Parties 081 Page 4 of 7 their costs of defense, including reasonable attorney's fees, incurred in defense of such claim. In addition contractor shall be obligated to promptly pay any final judgment or portion thereof rendered against the Agency or City Indemnified Parties. (b) In the event any portion of the activities is performed by a subcontractor, Contractor warrants that all such subcontractors shall abide by all the terms and conditions of this Agreement, including, without limitation, furnishing the insurance coverages as provided for in Section 6. (c) The provisions of this section shall not be read to limit in any respect whatsoever Contractor's obligations as provided in Section 4 above. 7. TERMINATION. Either party shall have the right to terminate this Agreement at any time with or without cause by giving the other party twenty-four (24) hours written notice. 8. NOTICES. Any notice to be given to Agency or Contractor shall be in writing and shall be deemed to have been properly delivered when directed to such addressee as follows: To Agency: La Quinta Redevelopment Agency 78-495 Calle Tampico La Quinta, CA 92253 Attn: Steve Howlett Facsimile: (760) 777-1231 To Contractor: La Quinta Arts Foundation 78-150 Calle Tampico, Suite 215 La Quinta, CA 92253 Attn: Christi Salamone Facsimile: (760) 564-6884 Any party may change the address to which such communications are to be directed to it by giving a written notice to the other party in the manner provided in this paragraph. Any notice given pursuant to this paragraph shall be deemed to be delivered when addressed to the addressee as set forth therein, (i) at the time a written notice by mail is deposited in the United States mail, postage prepaid, or (ii) the time any other written notice, including facsimile, telegram or other electronic mail message, is personally delivered to the recipient or is delivered to a common carrier for transmission or actually transmitted by the person giving the notice by electronic means, to the recipient. 082 Page 5 of 7 9. ASSIGNMENT. This Agreement shall not be assignable by Contractor. 10. MISCELLANEOUS. (a) Except as herein otherwise provided, no amendment, alteration, modification of or addition to this Agreement shall be valid or binding unless expressed in writing and signed by the party or parties to be bound thereby. (b) The covenants, conditions and agreements contained in this Agreement shall bind and inure to the benefit of Agency and Contractor and their respective heirs, executors, administrators, successors and assigns. (c) This Agreement shall be governed by and interpreted in accordance with the laws of the State of California. (d) This Agreement contains the entire agreement and understanding between the parties and there are no terms, covenants or conditions which exist other than those contained herein. (e) If any party hereto shall bring any suit or action against another for relief, declaratory or otherwise, arising out of this Agreement, the prevailing party shall have and record against the other party, in addition to all court costs and disbursements, such sum as the court may adjudge to be reasonable attorney's fees. [SIGNATURES ON FOLLOWING PAGE] Page 6 of 7 083 IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates stated below. Dated: ATTEST: Veronica J. Montecino, City Clerk APPROVED AS TO FORM: M. Katherine Jenson, City Attorney Dated: CITY OF LA QUINTA: THOMAS P. GENOVESE, City Manager LA QUINTA ARTS FOUNDATION: 0 Name: Title: 084 Page 7 of 7