PC Resolution 2024-017 Bravo Estates DA2024-0001 & SDP 2024-0001PLANNING COMMISSION RESOLUTION 2024 - 017
A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY
OF LA QUINTA, CALIFORNIA, RECOMMENDING THAT THE CITY
COUNCIL APPROVE A SITE DEVELOPMENT PERMIT AND
DEVELOPMENT AGREEMENT TO CONSTRUCT 14 SINGLE-
FAMILY RESIDENTIAL UNITS LOCATED ON THE NORTHWEST
CORNER OF AVENUE 52 AND MADISON STREET AND FIND THAT
THE PROJECT IS CONSISTENT WITH ENVIRONMENTAL
ASSESSMENT 2003-495
CASE NUMBERS:
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
APPLICANT: DESERT LUXURY PROPERTIES, LLC
WHEREAS, the Planning Commission of the City of La Quinta, California did, on
November 12, 2024, hold a duly noticed Public Hearing to consider a request by Desert
Luxury Properties, LLC, for approval of a Site Development Permit and a Development
Agreement for 14 single family residential units on 8.4 acres located on the northwest
corner of Avenue 52 and Madison Street, more particularly described as:
APNs: 777-470-001 THROUGH -014
WHEREAS, the Design and Development Department published a public hearing
notice in The Desert Sun newspaper on November 1, 2024, as prescribed by the
Municipal Code. Public hearing notices were also mailed to all property owners within 500
feet of the site and emailed or mailed to all interested parties who have requested
notification relating to the project; and
WHEREAS, the Design and Development Department determined that the project
is consistent with the Mitigated Negative Declaration adopted on August 17, 2004
(Environmental Assessment 2003-495), and no further environmental review is required
under the California Environmental Quality Act. The Planning Commission considered
this determination prior to their recommendation to the City Council; and
Site Development Permit 2024-0001
WHEREAS, at said Public Hearing, upon hearing and considering all testimony
and arguments, if any, of all interested persons desiring to be heard, said Planning
Commission did make the following mandatory findings pursuant to Section 9.210.010 of
the Municipal Code to justify approval of said Site Development Permit:
PLANNING COMMISSION RESOLUTION 2024-017
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
LOCATION: NORTHWEST CORNER OF AVENUE 52 AND MADISON STREET
ADOPTED: NOVEMBER 12, 2024
PAGE 2 OF 4
The proposed development is consistent with the General Plan land use
designation of Very Low Density Residential. The project consists of high -
quality design that complements and enhances the City.
2. The proposed development, as conditioned, is consistent with the development
standards of the City's Zoning Code in terms of architectural style and
landscaping. The project design utilizes varying roof lines and wall depths,
along with a complementary color palette.
3. The Design and Development Department has determined that this project has
been previously studied under, and is consistent with, Environmental
Assessment 2003-495, and no further environmental review is required.
4. The architecture and layout of the project are compatible with, and not
detrimental to, the existing surrounding residential land uses and are consistent
with the development standards in the Municipal Code.
5. The site design of the project is compatible with surrounding development and
with the quality of design prevalent in the city.
6. The proposed project is consistent with the landscaping standards and plant
palette and implements the standards for landscaping and aesthetics
established in the General Plan and Zoning Code. The landscape palette is
consistent with the City's drought -tolerant landscaping requirements.
Development Agreement 2024-0001
WHEREAS, at said Public Hearing, upon hearing and considering all testimony
and arguments, if any, of all interested persons desiring to be heard, said Planning
Commission did make the following mandatory findings pursuant to Section 9.250.020 of
the Municipal Code to justify approval of said Development Agreement [Exhibit A]:
The Development Agreement is consistent with the applicable objectives, policies,
general land uses, and programs of the La Quinta General Plan as follows:
a. Policy LU-6.3: Support and encourage the expansion of the resort industry
as a key component of the City's economic base.
b. Policy LU-3.1: Encourage the preservation of neighborhood character and
assure a consistent and compatible land use pattern.
c. Goal ED-1: A balanced and varied economic base serving both the City's
residents and the region.
d. Goal ED-2: The continued growth of the tourism and resort industries in the City.
PLANNING COMMISSION RESOLUTION 2024-017
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
LOCATION: NORTHWEST CORNER OF AVENUE 52 AND MADISON STREET
ADOPTED: NOVEMBER 12, 2024
PAGE 3 OF 4
2. The Development Agreement is compatible with the uses authorized and the
regulations prescribed for the land use district in which the real property is located.
The properties are available and must be used for residential purposes, and may
be the residents' primary residence or secondary residences, and/or may be used
for short-term vacation rentals, which residential use is consistent with the
permissible uses of the land use district the property is located in. This is
appropriate for the area, given the proximity to surrounding residential and polo
fields to the east of Madison Street.
3. The Development Agreement is in conformity with the public necessity, public
convenience, general welfare, and good land use practices. The project may be
used as residences, which is consistent with the surrounding area and extends
residential development along Madison Street in the project area.
4. The Development Agreement will not be detrimental to the health, safety, and
general welfare. The project may be used as residences, which is consistent with
the surrounding area.
5. The Development Agreement will not adversely affect the orderly development of
property or the preservation of property values in that it facilitates the development
of high -quality homes and extends residential development along Madison Street
in the project area.
6. The Development Agreement will have a positive fiscal impact on the City in that
implementation of the Development Agreement will produce revenues through
payment of certain development impact fees, increased property taxes, and
transient occupancy taxes when units are rented on a short-term basis.
NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the
City of La Quinta, California, as follows:
SECTION 1. That the above recitations are true and constitute the Findingsof the
Planning Commission in this case.
SECTION 2. That the above project is consistent with Environmental Assessment 2003-
495.
SECTION 3. That it does hereby recommend that the City Council approve Site
Development Permit 2024-0001, and Development Agreement 2024-0001 for the
reasons set forth in this Resolution and subject to the attached Conditions of Approval
[Exhibit B].
PLANNING COMMISSION RESOLUTION 2024-017
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
LOCATION. NORTHWEST CORNER OF AVENUE 52 AND MADISON STREET
ADOPTED: NOVEMBER 12, 2024
PAGE 4 OF 4
PASSED, APPROVED, and ADOPTED at a regular meeting of the City of
La Quinta Planning Commission, held on November 12, 2024, by the following vote:
AYES: Commissioners Guerrero, Hernandez, Hundt, McCune, Tyerman, and
Chairperson Hassett
NOES: None
ABSENT: Commissioner Nieto
ABSTAIN: None
DOUG HAS TT, Chal person
City of La Quinta, California
ATTEST:
DANNY CASTRO,'Design and Development Director
City of La Quinta, California
PLANNING COMMISSION RESOLUTION 2024-017
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO
City of La Quinta
78-495 Calle Tampico
La Quinta, CA 92253
Attn: Citv Clerk
698/015610-0183
21420197.1 al1/05/24
EXHIBIT A
Space Above This Line for Recorder's Use
(Exempt from Recording Fee per Gov't Code §6103
and §27383)
DEVELOPMENT AGREEMENT BY AND BETWEEN
THE
CITY OF LA QUINTA
AND
DESERT LUXURY PROPERTIES LLC
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
DEVELOPMENT AGREEMENT
This Development Agreement (the "Agreement") is entered into as of the day of
, 202_ ("Reference Date"), by and between the CITY OF LA QUINTA, a California
municipal corporation and charter city organized and existing under the Constitution of the State
of California ("City"), and DESERT LUXURY PROPERTIES LLC, a California limited liability
company, ("Developer"), with reference to the following:
RECITALS:
A. Government Code Section 65864 et seq. ("Development Agreement Act")
authorizes City to enter into a binding development agreement for the development of real property
within its jurisdiction with persons having legal or equitable interest in such real property.
B. Pursuant to Government Code Section 65865, City has adopted its Development
Agreement Ordinance (La Quinta Municipal Code Section 9.250.020 or successor provisions)
establishing procedures and requirements for such development agreements ("Development
Agreement Ordinance").
C. Developer is the owner of certain real property in the City of La Quinta, County of
Riverside, State of California consisting of fee title to fourteen (14) vacant residential (numbered)
lots with Assessor Parcel Numbers 777-470-001 through 777-470-014, and easement rights with
respect to certain lettered lots within Tract No. 31852 that are appurtenant to and benefit the
residential (numbered) lots, all as more particularly described in the legal description in Exhibit A
attached hereto and incorporated herein by this reference (collectively, the "Property" and each
individual residential (numbered) lot may be referred to herein as "One of the Properties"), and
more particularly depicted with corresponding APNs on the Site Map attached hereto as Exhibit B
and incorporated herein by this reference.
D. Developer has duly submitted an application for a development agreement and
environmental assessment for the development of the Property and/or improvements to previously
improved portions of the Property, to use as a residential community that includes and would allow
for the development, permitting, operation and use of fourteen (14) residences constructed or to
be constructed on the Property as short-term vacation rentals pursuant to the Short -Term Vacation
Rental Restrictions (defined below) (briefly summarized here as the "Project" and more fully
defined below in this Agreement). (For reference purposes only, a copy of Chapter 3.25, as that
chapter exists on the Effective Date, is attached to this Agreement as Exhibit E.) The Project is
more fully described in, and subject to (i) this Agreement, (ii) the City's General Plan, (iii) Final
Tract Map No. 31852, and any conditions of approval appurtenant thereto (the "Tract Map")
(iv) any applicable Specific Plan that includes the Property, in effect as of the Effective Date, and
any conditions of approval appurtenant thereto, (v) Site Development Permit No. SDP2024-0001,
and any conditions of approval appurtenant thereto (the "SDP," and, collectively the foregoing
clauses (i)-(v) are referred to herein as the "Vested Approvals"), (vi) any future discretionary or
ministerial approvals and/or permits, including future site development permit(s), issued for the
Property or Project; and (vii) any future subdivision maps approved for the Property or Project
(collectively the foregoing clauses (vi)-(vii) are referred to herein as the "Future Approvals"). The
Vested Approvals and the Future Approvals are collectively referred to herein as the "Project
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Approvals," and are, or when approved or issued shall be, on file with the City Clerk's Office and
available for inspection during regular business hours at La Quinta City Hall located at 78495
Calle Tampico, La Quinta, CA 92253.
E. As of the Effective Date of this Agreement, Developer owns fee simple title to the
14 residential lots within the Property and easement rights to the lettered lots within the Property,
and by their execution of this Agreement, City and Developer consent to recordation of this
Agreement against the Property, including, without limitation, each One of the Properties.
F. Consistent with Section 9.250.020 of the La Quinta Municipal Code, City and
Developer desire to enter into a binding agreement that shall be construed as a development
agreement within the meaning of the Development Agreement Act. This Agreement will eliminate
uncertainty in planning for and secure the orderly development of the Project, ensure a desirable
and functional community environment, provide effective and efficient development of public
facilities, infrastructure, and services appropriate for the development of the Project, and assure
attainment of the maximum effective utilization of resources within the City, by achieving the
goals and purposes of the Development Agreement Act. In exchange for these benefits to City,
Developer desires to receive the assurance that it may proceed with development of the Project in
accordance with the terms and conditions of this Agreement and the Project Approvals, all as more
particularly set forth herein.
G. The Planning Commission and the City Council have determined that the Project
and this Agreement are consistent with the City's General Plan, including the goals and objectives
thereof.
H. All actions taken by City have been duly taken in accordance with all applicable
legal requirements, including the California Environmental Quality Act ("CEQA"), and all other
requirements for notice, public hearings, findings, votes and other procedural matters.
I. On 202_, the City Council adopted its Ordinance No. approving
this Agreement.
AGREEMENT:
NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated
herein by this reference, the mutual covenants and agreements contained herein, and other good
and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the
Parties do hereby agree as follows:
GENERAL
1.1 Definitions. In addition to the defined words and terms set forth elsewhere in this
Agreement, the following defined words and terms shall apply:
1.1.1 "Affiliated Party" shall mean (i) any person or entity that
directly or indirectly owns or has voting or management rights of Developer or its members or
managers, or (ii) any entity that is directly or indirectly owned, controlled or managed by
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Developer or its members or managers, or such members' or managers' shareholders. City shall
have the right to review and confirm any person or entity purported to be an "Affiliated Parry" for
purposes of this Agreement.
1.1.2 "Agreement" means this Development Agreement and all
amendments and modifications thereto.
1.1.3 "Applicable Rules" means the following rules, regulations,
ordinances and officially adopted policies of the City of La Quinta in full force and effect as of the
Effective Date of this Agreement: the City's General Plan, the Tract Map, the SDP, any applicable
Specific Plan and City of La Quinta Zoning Code provisions in Title 9 of the La Quinta Municipal
Code that includes the Property, and the Short -Term Vacation Rental Regulations subject to the
provisions as set forth in this Agreement. Additionally, notwithstanding the language of this
Section or any other language in this Agreement: (a) all specifications, standards, and policies
regarding the design and construction of public works facilities required with respect to the Project,
if any, shall be those that are in effect at the time any of said Project applications and plans are being
processed for approval and/or under construction; (b) payments for all development impact fees,
mitigation fees, application and processing fees, and any other fees and exactions relating to the
development of the Project, shall be those that are in effect at the time said Project applications
and plans are being processed for approval and subject to payment pursuant to Section 2.2.1 of
this Agreement; and (c) all Short -Term Vacation Rental Regulations shall be those that are in effect
at the time of the submittal of an application for a short-term vacation rental permit and in effect
at the time a duly -issued permit is held, including amendments to the Short -Term Vacation Rental
Regulations following the Effective Date that do not otherwise prevent the use of One of the
Properties for short-term vacation rentals.
1.1.4 "Assignment and Assumption Agreement" shall have the
meaning set forth in Section 1.8.1 of this Agreement.
1.1.5
of this Agreement.
"CC&Rs" shall have the meaning set forth in Section 3.1
1.1.6 "CEQA" means the California Environmental Quality Act
(Cal. Public Resources Code Sections 21000 et seq. or successor provisions) and the State CEQA
Guidelines (Cal. Code of Regs., Title 14, Sections 15000 et seq. or successor provisions).
1.1.7 "City" means the City of La Quinta, a charter city and
municipal corporation, including each and every agency, department, board, commission,
authority, employee, and/or official acting under the authority of the City, including without
limitation the City Council and the Planning Commission.
1.1.8 "City Council" means the City Council of the City and the
legislative body of the City pursuant to California Government Code Section 65867.
1.1.9 "Claims" shall have the meaning set forth in Section 3.6 of
this Agreement.
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1.1.10 "Compliance Certificate" shall have the meaning set forth
in Section 4.1 of this Agreement.
1.1.11 "Davis -Stirling Act" means the Davis -Stirling Common
Interest Development Act, California Civil Code Section 4000 et seq. (or successor provisions).
1.1.12 "Development Director" means the Director of the City's
Design and Development Department, or his or her designee.
1.1.13 "Developer" means the Developer identified in the
preamble of this Agreement.
1.1.14 "Development Agreement Act" means Section 65864 et
seq., of the California Government Code.
1.1.15 "Development Agreement Ordinance" shall have the
meaning set forth in Recital B.
1.1.16 "Discretionary Action" means an action which requires
the exercise of judgment, deliberation or a decision on the part of City, including any board,
commission, committee, or department or any officer or employee thereof, in the process of
approving or disapproving a particular activity, as distinguished from an activity which merely
requires City, including any board, commission or department or any officer or employee thereof,
to determine whether there has been compliance with statutes, ordinances, regulations, or other
adopted policies.
1.1.17 "Effective Date" shall have the meaning set forth in Section
1.3 of this Agreement.
1.1.18 "Force Majeure" shall have the meaning set forth in
Section 8.2 of this Agreement.
Recital D.
1.1.19 "Future Approvals" shall have the meaning set forth in
1.1.20 "General Plan" means the General Plan of the City.
1.1.21 "Indemnitee" shall have the meaning set forth in Section
3.6 of this Agreement.
1.1.22 "Insubstantial Modification" shall have the meaning set
forth in Section 1.6(a) of this Agreement.
1.1.23 "Mortgage" shall have the meaning set forth in Section 7.2
of this Agreement.
1.1.24 "Mortgagee" shall have the meaning set forth in Section
7.2 of this Agreement.
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1.1.25 "MND" and "Mitigated Negative Declaration" shall have
the meaning set forth in Section 1.5 of this Agreement.
1.1.26 "New Laws" means amendments or modifications to the
Applicable Rules, and all ordinances, resolutions, initiatives, regulations, rules, laws, plans,
policies, and guidelines of the City and its City Council, Planning Commission, and all other City
boards, commissions, departments, agencies, and committees enacted or adopted after the
Effective Date.
1.1.27 "Notice" shall have the meaning set forth in Section 8.1 of
this Agreement.
1.1.28 "One of the Properties" shall have the meaning set forth
in Recital C.
1.1.29 "Parties" means collectively Developer and City. Each
shall be referred to in the singular as a "Party".
1.1.30 "Performance Schedule" shall mean the performance
schedule for the Project attached hereto as Exhibit D and incorporated herein by reference, and as
further described in Section 3.3.
1.1.31 "Planning Commission" means the City Planning
Commission and the planning agency of the City pursuant to California Government Code Section
65867.
1.1.32 "Project" means the development, improvement, use and
operation of the Property as set forth in more detail in Section 3.1.
Recital D.
1.1.33 "Project Approvals" shall have the meaning set forth in
1.1.34 "Property" shall have the meaning set forth in Recital C.
1.1.35 "Recorder's Office" shall mean the Office of Official
Records for Riverside County, California
1.1.36 "Request for Notice of Default" shall have the meaning
set forth in Section 7.3 of this Agreement.
1.1.37 "Reserved Powers" means the rights and authority
excepted from this Agreement's restrictions on City's police powers and which are instead
reserved to City, its City Council, Planning Commission, and all other City boards, commissions,
departments, agencies, and committees. The Reserved Powers include the powers to enact or adopt
New Laws or take future Discretionary Actions after the Effective Date of this Agreement that
may be in conflict with the Applicable Rules and Project Approvals, except such New Laws which
would prevent, or materially impair Developer's ability to develop the Project and/or use the
Property in accordance with the Project Approvals and this Agreement; provided, however, that
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with respect to such New Laws which would conflict with this Agreement or prevent, or materially
impair Developer's ability to develop or use the Project in accordance with the Project Approvals,
such New Laws shall apply to the Project and the Property only if such New Laws are: (1)
necessary to protect the public health and safety, and are generally applicable on a City-wide basis
in furtherance of the identified public health and safety concern (except in the event of natural
disasters as found by the City Council such as floods, earthquakes and similar acts of God, which
shall apply even if not applicable on a City-wide basis); (2) amendments to Uniform Codes, as
adopted by City, and/or the La Quinta Municipal Code, as applicable, regarding the construction,
engineering and design standards for private and public improvements to be constructed on the
Property; (3) required by a non -City governmental entity to be adopted by or applied by the City
(or, if adoption is optional, the failure to adopt or apply such non -City law or regulation would
cause the City to sustain a material loss of funds or material loss of access to funding or other
resources, with "material loss" in this clause (3) meaning Seventy Five Thousand Dollars
($75,000.00) or more, as such minimum threshold amount of $75,000 may be adjusted as of
January 1 of each calendar year (the "Adjustment Date") during the Term of this Agreement by
any increases in the Consumer Price Index for All Urban Consumers for the Riverside -San
Bernardino -Ontario, California areas (1982-84=100) from the Effective Date to the applicable
Adjustment Date), (4) necessary to comply with state or federal laws and regulations (whether
enacted previous or subsequent to the Effective Date of this Agreement), or (5) adopted by the
City on a City wide basis and applied to the Property (and each One of the Properties) in a non-
discriminatory manner that does not prevent or materially impair Developer's ability to develop
the Project and/or operate or use the Property and Project in accordance with the Project Approvals
and this Agreement.
1.1.38 "SDP" shall have the meaning set forth in Recital D.
1.1.39 "Short -Term Vacation Rental Regulations" means all
provisions of the La Quinta Municipal Code related to short-term vacation rentals as the same may
be amended from time to time, including specifically Chapter 3.24 or successor provisions related
to transient occupancy tax and Chapter 3.25 related to short-term vacation rentals, except to the
extent any provision directly conflicts with the vested rights in Section 5 of this Agreement.
1.1.40 "Site Map" means the map that shows the location of the
site and immediately adjacent properties, which is attached hereto as Exhibit B.
1.1.41 "Term" means the period of time for which the Agreement
shall be effective in accordance with Section 1.2 herein.
1.1.42 "Tract Map" shall have the meaning set forth in Recital D.
1.1.43 "Uniform Codes" means those building, electrical,
mechanical, plumbing, fire and other similar regulations of a City-wide scope which are based on
recommendations of a multi -state professional organization and become applicable throughout the
City, such as, but not limited to, the Uniform Building Code, the Uniform Electrical Code, the
Uniform Mechanical Code, the Uniform Plumbing Code, or the Uniform Fire Code (including
those amendments to the promulgated uniform codes which reflect local modification to
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implement the published recommendations of the multi -state organization and which are
applicable City-wide).
1.1.44 "Vested Approvals" shall have the meaning set forth in
Recital D.
1.1.45 "Zoning Ordinance" means Title 9 of the La Quinta
Municipal Code or successor title or provisions.
1.2 Term.
The term of this Agreement shall commence on the Effective Date and shall continue for
fifty (50) years thereafter, unless said term is otherwise terminated, modified, or extended by
circumstances set forth in this Agreement or by mutual consent of the Parties after the satisfaction
of all applicable public hearing and related procedural requirements.
1.3 Effective Date.
This Agreement shall be effective, and the obligations of the Parties hereunder shall be
effective, as of ("Effective Date"), which is the date that Ordinance
No. takes effect. This Agreement shall be recorded in the Recorder's Office no later
than thirty (30) days after the Effective Date.
1.4 Statement of Benefits and Consideration.
The Parties have determined that a development agreement is appropriate for the
construction and operation of the Project due to the substantial benefits to be derived therefrom.
City finds and determines that the Project is in the best interests of the health, safety and
general welfare of City and its residents, and that entering into this Agreement constitutes a valid,
present exercise of its police power. City has undertaken the necessary proceedings, has found and
determined that this Agreement is consistent with the General Plan, and has adopted the Ordinance
referenced in Recital I above approving this Agreement. As a result of the development of the
Project in accordance with this Agreement, City will receive substantial benefits.
In consideration of the substantial benefits, commitments, and consideration to be provided
by Developer pursuant to this Agreement, and in order to strengthen the public planning process
and reduce the economic costs of development, City hereby provides Developer assurance that
Developer can proceed with the construction and use of the Project at the Property for the Term of
this Agreement pursuant to the Applicable Rules and this Agreement. Developer would not enter
into this Agreement or agree to provide the public benefits, commitments and consideration
described in this Agreement if it were not for the certainty provided by this Agreement that the
Project and the Property can be constructed and used during the Term of this Agreement in
accordance with the Applicable Rules and this Agreement.
1.5 CEQA Requirements.
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The Project has been reviewed for environmental impacts in accordance with the
provisions of CEQA and has adopted a Mitigated Negative Declaration per Environmental
Assessment 2003-495 for Tentative Tract Map 31852 ("MND") as its CEQA review document for
the Project. City has given consideration to such environmental review prior to its approval of this
Agreement and the Project, and has undertaken all actions necessary to comply with CEQA when
approving this Agreement. Developer shall develop the Project in a manner complying with all
design features, mitigation measures, and other terms and conditions required by the MND.
1.6 Modification or Amendment of this Agreement.
Except as expressly stated to the contrary herein, this Agreement may be modified or
amended from time to time, in whole or in part, only by mutual written consent of the Parties or
their successors in interest, consistent with Government Code Sections 65867 through 65868 (or
successor provisions, the Development Agreement Ordinance, and the following terms:
(a) Insubstantial Modifications. The Parties acknowledge that refinements and
further development of the Project may demonstrate that minor changes are appropriate with
respect to the details of the Project development and the performance of the Parties. The Parties
desire to retain a certain degree of flexibility with respect to the details of the Project development
and with respect to those items covered in general terms under this Agreement, and thus desire to
provide a streamlined method of approving insubstantial modifications to this Agreement.
Therefore, any minor modification to this Agreement which does not modify (i) the Term of this
Agreement; (ii) permitted uses of the Property, (iii) maximum density or intensity of use, except
as specifically allowed in the Project Approvals, (iv) provisions for the reservation or dedication
of land, (v) conditions, terms, restrictions or requirements for Reserved Powers, Discretionary
Actions, or subsequent Discretionary Actions, or (vi) monetary obligations of Developer
(hereinafter an "Insubstantial Modification"), and that can be processed under CEQA either as not
a "project" under CEQA or as exempt from CEQA, and that does not require a public hearing prior
to the Parties executing a modification to this Agreement. Either Party may propose an
Insubstantial Modification, consent to which shall not be unreasonably withheld, conditioned, or
delayed by the other Party. Upon the written request of Developer for a modification to this
Agreement, the City Manager or his/her designee shall determine, in his/her sole discretion: (1)
whether, in his/her reasonable judgment, the requested modification constitutes an "Insubstantial
Modification," as defined herein; (2) whether the requested modification is consistent with
Applicable Rules (other than that portion of this Agreement sought to be modified); and (3)
whether, in his/her reasonable judgment, the requested modification tends to promote the goals of
this Agreement. If the City Manager or his/her designee determines that the requested modification
is an "Insubstantial Modification" that is consistent with Applicable Rules and tends to promote
the goals of this Agreement, the proposed modification will be approved by the City as an
Insubstantial Modification, and a written modification will be executed by the Parties and attached
to this Agreement. Any such Insubstantial Modification shall not be deemed an "amendment" to
this Agreement under Government Code Section 65858. Any amendment or other agreement
memorializing an approved Insubstantial Modification shall be recorded in the Recorder's Office
no later than thirty (30) days after complete execution of said amendment or other agreement.
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(b) Substantial Amendments. Except as otherwise described in Section 1.6(a)
of this Agreement, amendments to this Agreement shall be "Substantial Amendments" which
require notice and a public hearing pursuant to California Government Code Section 65868.
(c) Parties Required to Amend. Where a portion of Developer's rights or
obligations have been transferred, assigned, and assumed pursuant to Section 1.8 of this
Agreement, the signature of the person or entity to whom such rights or obligations have been
assigned shall not be required to amend this Agreement unless such amendment would materially
alter the rights or obligations of such transferee/assignee hereunder.
(d) Effect of Amendment. Any amendment to this Agreement shall be operative
only as to those specific portions of this Agreement expressly subject to the amendment, and all
other terms and conditions of this Agreement shall remain in full force and effect without
interruption.
1.7 Termination: Annlicable to All of the Prone
Unless terminated earlier, pursuant to the terms hereof, this Agreement shall automatically
terminate and be of no further effect upon the expiration of the Term of this Agreement as set forth
in Section 1.2. Termination of this Agreement, for any reason, shall not, by itself, affect any right
or duty arising from entitlements or approvals set forth under the Project Approvals. Any
termination of this Agreement shall affect each and every One of the Properties and the entire
Property, and no owner of any One of the Properties may apply for a termination or terminate this
Agreement with respect to that owner's One of the Properties unless all of the owners of the
Property and each and every One of the Properties apply for and seek to terminate this Agreement
for the entire Property and every One of the Properties. In explanation of the foregoing, this
Agreement shall apply to each One of the Properties for the entire duration of the Term, and no
One of the Properties may be released from or excused for performance under this Agreement by
way of terminating this Agreement for that One of the Properties, unless all of the Property and
every One of the Properties are released from this Agreement.
1.8 Assignment of Interests, Rights and Obligations.
Developer may transfer or assign all or any portion of its interests, rights or obligations
under this Agreement to third parties acquiring an interest or estate in any One of the Properties,
or the Property, or any portion thereof, including, without limitation, purchasers or ground
lessee(s) of lots, parcels or facilities, subject to the following:
1.8.1 Assignment and Assumption Agreements.
(a) In connection with the transfer or assignment by Developer of all or
any portion of the Property (other than a transfer or assignment by Developer to a Mortgagee,
defined below), Developer and the transferee shall enter into a written agreement (an "Assignment
and Assumption Agreement") regarding the respective interests, rights and obligations of
Developer and the transferee in and under this Agreement. Such Assignment and Assumption
Agreement may: (i) release Developer from obligations under this Agreement pertaining to that
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portion of the Property being transferred, as described in the Assignment and Assumption
Agreement, provided that the transferee expressly assumes such obligations; (ii) transfer to the
transferee vested rights to develop and/or improve and use that portion of the Property being
transferred; and (iii) address any other matter deemed by Developer to be necessary or appropriate
in connection with the transfer or assignment.
(b) Developer shall obtain City's prior written consent to any
Assignment and Assumption Agreement (other than a transfer or assignment by Developer to a
Mortgagee defined below, and other than to a bone fide purchaser for value of the fee interest or
long-term ground lease of One of the Properties provided said purchaser, as transferee, has
obtained and will maintain title insurance insuring the purchaser's easement rights to use the
certain lettered lots in the Tract Map as common area in compliance with Section 1.8.4, below),
which consent shall not be unreasonably withheld, conditioned or delayed. Failure by City to
respond within thirty (30) days to any request made by Developer for such consent shall be deemed
to be City's refusal of the Assignment and Assumption Agreement in question. City may refuse to
give its consent if such transferee has failed to provide sufficient evidence of financial resources
and/or if such transferee would not, in City's reasonable opinion, be able to perform the obligations
proposed to be assumed by such transferee. Such determination shall be made by the City Manager
in consultation with the City Attorney and is appealable by Developer directly to the City Council.
(c) An Assignment and Assumption Agreement shall be binding on
Developer, City and the transferee provided (i) Developer is not then in default under this
Agreement, (ii) Developer has provided notice to City of such transfer, and City has approved the
transfer, and (iii) the transferee executes and delivers to City a written agreement in which (a) the
name and address of the transferee is set forth and (b) the transferee expressly and unconditionally
assumes each and every obligation of Developer under this Agreement with respect to the Property,
or portion thereof, being transferred (to the extent Developer has not retained a continuing
obligation), (c) Developer no longer has any legal or equitable interest in the Property or the
portion thereof sold or transferred, as applicable, and (d) City has, in the exercise of its reasonable
discretion, satisfied itself of the transferee's ability to assume those Developer obligations under
this Agreement being assigned. Upon recordation of any Assignment and Assumption Agreement
in the Recorder's Office, Developer shall automatically be released from those obligations
assumed by the transferee therein, and said transferee shall thereafter be deemed the "Developer"
under this Agreement for those transferred and assumed obligations. The Assignment and
Assumption Agreement shall be recorded in the Recorder's Office no later than thirty (30) days
after the complete execution thereof by Developer, City, and transferee.
(d) In further explanation of Subdivision 1.8.1(c) above, Developer
shall be free from any and all liabilities accruing on or after the date of any assignment or transfer
with respect to those obligations assumed by a transferee pursuant to an Assignment and
Assumption Agreement approved by City pursuant to this Agreement. No breach or default
hereunder by any person succeeding to any portion of Developer's obligations under this
Agreement shall be attributed to Developer, nor may Developer's rights hereunder be canceled or
diminished in any way by any breach or default by any such person following Developer's release
of obligations under the Project Approvals pursuant to an Assignment and Assumption Agreement
assigning Developer's obligations to that successor.
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(e) The City may assign or transfer any of its rights or obligations under
this Agreement with the approval of the Developer, which approval shall not be unreasonably
withheld.
1.8.2 Transfers for Morwaizes.
Any transfers or assignments for any Mortgagee (defined below) shall be subject to the
provisions in Article 7 of this Agreement.
1.8.3 Transfers to Affiliated Parties.
Developer may at any time and without City's prior consent, transfer all or any portion of
its rights and obligations under this Agreement to any Affiliated Party and, in connection with the
transfer of any such obligations by Developer to an Affiliated Party in accordance with this
Agreement, shall be released from such obligations assumed by the Affiliated Parry. Developer
shall deliver to City, no later than ten (10) days after such transfer an Assignment and Assumption
Agreement in recordable format memorializing the transfer of Developer's rights and obligations
under this Agreement to an Affiliated Party, along with evidence sufficient for City, in its
reasonable discretion, to review and confirm the transferee is an Affiliated Party of Developer, and
that Affiliated Parry's contact information for notices to be delivered pursuant to this Agreement.
The Assignment and Assumption Agreement shall be recorded in the Recorder's Office no later
than thirty (30) days after the effective date of the assignment and assumption of said rights and
obligations to the Affiliated Party. In the event a purported transferee is not an Affiliated Party, or
Developer does not provide sufficient evidence, in City's reasonable discretion, to review and
confirm the purported transferee is an Affiliated Party, any such transfer shall be void and of no
force and effect.
1.8.4 Obligation to Continuously Insure Easement Rights and
Common Areas for all Properties.
Developer represents and warrants that Developer has and will maintain title insurance for
the Property, including insurance for the easement rights with respect to certain lettered lots to be
used as common area and identified in the Tract Map, which are appurtenant to and benefit the
residential (numbered) lots. Any transfer or assignment by Developer, including a transfer of One
of the Properties by sale or ground lease and/or a sale to a bone fide purchaser for value of the fee
interest or ground lease interest of One of the Properties, shall require the transferee or assignee or
bone fide purchaser to have obtained and maintain title insurance insuring the transferee's or
assignee's or bone fide purchaser's easement right to use the certain lettered lots in the Tract Map
as common area, so that any transferee or assignee of Developer that owns all or any portion of
the numbered lots (One of the Properties) in the Tract Map likewise shall have insured rights to
the easements in the letter lots that serve as the common area for the Property. For reference
purposes, a template from Developer's title insurance policy, with terms that identify the common
area parcels (lettered lots) covered under the owner's policy for One of the Properties (residential
numbered lot) in a manner that is consistent with this Section 1.8.4, is attached hereto as Exhibit F.
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2. AGREEMENTS AND ASSURANCES
2.1 Agreement and Assurance on the Part of Develoner.
In consideration for City entering into this Agreement, and as an inducement for City to
obligate itself to carry out the covenants and conditions set forth in this Agreement, and in order
to effectuate the purposes and intentions set forth in the Recitals of this Agreement, Developer
hereby agrees that the terms and conditions of this Agreement, including the Project Approvals
incorporated herein, shall govern development and operation of the Property for the Term of this
Agreement.
2.2 Agreement and Assurances on the Part of the Citv.
In consideration for Developer entering into this Agreement, and as an inducement for
Developer to obligate itself to carry out the covenants and conditions set forth in this Agreement,
and in order to effectuate the purposes and intentions set forth in this Agreement, City hereby
agrees as follows:
2.2.1 Vested Entitlement to Develop.
Developer has the vested right to develop, improve, operate and use the Property and
Project subject to the terms and conditions of this Agreement, the Applicable Rules, Project
Approvals and the Reserved Powers. It is the intent of City and Developer that the vesting of
development rights of Developer shall include the permitted land uses, densities, and intensities of
use of the Property, timing or phasing of development, zoning, provisions for the reservation or
dedication of land for public purposes, and the location and size of public improvements, as well
as those other terms and conditions of development of the Project as set forth in this Agreement
and the other Project Approvals. Developer's vested rights under this Agreement shall also include,
without limitation, the right to remodel, renovate, rehabilitate, rebuild or replace all improvements
on the Property or within the Project (or any portion thereof) throughout the applicable Term for
any reason, including, without limitation, in the event of damage, destruction or obsolescence of
the existing development or the Project or any portion thereof, subject to the terms and conditions
of this Agreement, the Applicable Rules, Project Approvals and the Reserved Powers. Such
vesting shall expire upon the earlier of the following occurrences: (a) termination of this
Agreement, or (b) expiration of the Term of this Agreement. Except for the expiration set forth in
clause (b) of the preceding sentence, the expiration of the vesting right set forth in the preceding
sentence shall not terminate any obligations of Developer under this Agreement that (x) have
accrued prior to termination of this Agreement or (y) that expressly survive the termination of this
Agreement, such as indemnification obligations. Notwithstanding anything in this Agreement to
the contrary, the Project shall remain subject to the following, to the same extent it would without
this Agreement:
(i) all Applicable Rules, unless modified by or in conflict with the provisions
of this Agreement;
(ii) subject to Article 5 of this Agreement, the right to develop, improve, and
use the Property (and each One of the Properties) for short-term vacation
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rentals, provided that any and all short-term vacation rentals shall be subject
to the Short -Term Vacation Rental Regulations;
(iii) all New Laws applied to Developer through the City's Reserved Powers;
(iv) all subsequent development approvals and the conditions of approval
associated therewith, including but not limited to any further Future
Approvals, site development permits, tract maps, and building permits;
(v) the payment of all fees or exactions in the categories and in the amounts as
required at the time such fees are due and payable, which may be at the time
of issuance of building permits, or otherwise as specified by applicable law,
as existing at the time such fees are due and payable; and
(vi) the reservation or dedication of land for public purposes or payment of fees
in lieu thereof as required at the time such reservations or dedications or
payments in lieu are required under applicable law to be made or paid.
2.2.2 Changes in Applicable Rules.
(A) Nonapplication of Changes in Applicable Rules.
Any change in, or addition to, the Applicable Rules (as defined in this Agreement and in
effect as of the Effective Date), including, without limitation, any such change by means of
ordinance, City Charter amendment, initiative, referendum, resolution, motion, policy, order or
moratorium, initiated or instituted for any reason whatsoever and adopted by the City, City
Council, Planning Commission or any other board, commission, department or agency of the City,
or any officer or employee thereof, or by the electorate, as the case may be, which change would,
absent this Agreement, otherwise be applicable to the Property and/or to the Project and which
change would either (i) conflict in any way with the Applicable Rules, Project Approvals, or this
Agreement, or (ii) reduce the development rights or allowances set forth in the Applicable Rules,
Project Approvals, or this Agreement, shall not be applied to the Property (or any One of the
Properties) or Project unless such changes represent an exercise of City's Reserved Powers, or are
otherwise agreed to in this Agreement. It is expressly understood and agreed that Developer has
the right to develop, improve, and use the Property (and each One of the Properties) for short-term
vacation rentals subject to Article 5 of this Agreement and compliance with all Short -Term Rental
Regulations. The right to apply for a new or renewal permit, and the City's ability to review and
issue a new or renewal permit, for short-term vacation rentals on the Property (or any One of the
Properties) or Project, shall be allowed and authorized by this Agreement.
Notwithstanding the foregoing paragraph, Developer may, in its sole discretion, consent in
writing to the application to the Property (which shall mean each One of the Properties) and/or
Project of any change in the Applicable Rules.
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(B) Changes in Uniform Codes.
Notwithstanding any provision of this Agreement to the contrary, development and use of
the Property and Project shall be subject to changes which may occur from time to time in the
Uniform Codes, as such Codes are adopted by the City of La Quinta.
(C) Changes Mandated by Federal or State Law.
This Agreement shall not preclude the application to the Property and Project of changes
in, or additions to, the Applicable Rules, including rules, regulations, ordinances and official
policies, to the extent that such changes or additions are mandated to be applied to developments
such as this Project by state or federal regulations, pursuant to the Reserved Powers. In the event
state or federal laws or regulations prevent or preclude compliance with one or more provisions of
this Agreement, such provisions shall be modified or suspended only to the extent necessary to
comply with such state or federal laws or regulations.
2.2.3 Subsequent Development Review.
Except as expressly reserved in this Agreement (including the right to apply for a new or
renewal permit, and the City's review and issuance of a new or renewal permit, for short-term
vacation rentals), nothing shall impair or interfere with the right of City to require the processing
of permits as required by law pursuant to the applicable provisions of the La Quinta Municipal
Code and the provisions of Uniform Codes.
2.2.4 Effective Development Standards.
City agrees that it is bound to permit the uses, intensities of use, and densities of
development on the Property (and each One of the Properties) which are permitted by this
Agreement and the Project Approvals, insofar as this Agreement and the Project Approvals so
provide or as otherwise set forth in the Applicable Rules. City hereby agrees that it will not
unreasonably withhold, delay or condition any approvals and/or permits which must be issued by
City in order for the Project to proceed and for the Property to be used for the authorized uses
herein, provided that Developer reasonably and satisfactorily complies with all applicable
procedures for processing applications for such approvals and/or permits.
3. DEVELOPER'S OBLIGATIONS
3.1 Development of the Project; Planned Development.
Developer intends to own and operate the entire Project as a short-term rental project rather
than as a planned development in which Developer would sell to bone fide purchasers for value
individual residential (numbered) lots to members of the public pursuant to the Davis -Stirling Act.
In the event that, prior to the date that is one (1) year prior to the expiration date of the Term of
this Agreement, Developer elects to sell to bone fide purchasers for value the individual residential
(numbered) lots in the Project to the public (as opposed to a bulk sale of lots in the Project to a
builder or subsequent developer in accordance with this Agreement), Developer shall fully comply
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with the requirements of the Davis -Stirling Act and shall ensure that the Project constitutes a
"planned development" as defined in California Civil Code Section 4175 (or successor provision)
pursuant to the Davis -Stirling Act, which, among other requirements, shall require the recording
by Developer of a declaration of covenants, conditions, and restrictions that, at a minimum, meets
the requirements of a "declaration" as defined and described in the Davis -Stirling Act and to
memorialize specified conditions of approval that are part of the Project Approvals (the
"CC&Rs"). If, prior to the 1-year date of expiration of the Term of this Agreement, Developer has
not previously elected to sell to bone fide purchasers for value the individual residential
(numbered) lots in the Project to the public, then Developer shall, prior to the expiration of the
Term, fully comply with the requirements of the Davis -Stirling Act and shall ensure that the
Project constitutes a "planned development" as defined in California Civil Code Section 4175 (or
successor provision) with a "declaration" as defined and described in the Davis -Stirling Act and
to memorialize specified conditions of approval in the CC&Rs.
Developer shall provide to City, no less than ninety (90) days prior to the submission of
the CC&Rs to the California Department of Real Estate (the "DRE"), a copy of the proposed final
draft of the CC&Rs for review and approval, not to be unreasonably withheld or conditioned, by
the City Manager and City Attorney. Further, following approval of the CC&Rs by the DRE,
Developer shall provide to City, no less than thirty (30) days prior the anticipated date of recording,
a copy of the DRE approved CC&Rs for review and approval so that the City Manager and City
Attorney can insure that there have been no material adverse changes from the prior approved draft
of the CC&Rs. If and when the Project is converted to a planned development under the
Subdivided Lands Act and Davis -Stirling Act, it shall have an "association" as defined and
described in the Davis -Stirling Act.
Developer shall construct the Project on the Property only in accordance with the Project
Approvals. As depicted in the Project Approvals, as the same may be updated or amended from
time to time consistent with the terms hereof, the Project shall consist of a residential single-family
development specifically developed and available for residential purposes, and may be the
residents' primary residence or secondary residences, and/or may be used for short-term vacation
rentals, with the following components:
(A) Annual permitting fees to be consistent with the City's fee program;
(B) Any rental or occupancy of 30 nights or less to be subject to the
City's then -current transient occupancy tax ("TOT") for short-term vacation rentals;
(C) Rental or occupancy agreements, and material renter or occupant
information, shall be retained for a minimum of three (3) years (or other retention period as may
be approved by City policy or code) by the Developer or Developer's authorized management
company for the short-term vacation rentals at the Property;
(D) The Project shall comply with all Applicable Rules, including
occupancy limits set forth in the La Quinta Municipal Code; and
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(E) All residences at the Property (and on each One of the Properties)
shall allow for transient occupancy, which means occupancy for thirty (30) days or less subject to
the Applicable Rules.
3.2 Compliance with Government Code Section 66473.7
Developer shall comply with the provisions of Government Code Section 66473.7 with
respect to any tract maps prepared for the Project.
3.3 Performance Schedule
Developer shall plan, design and construct the Project in a timely manner in accordance
with the Performance Schedule attached hereto as Exhibit D. The Parties acknowledge and agree
that the Performance Schedule is a general sequencing of the phases of the Project, and such
sequencing may be modified by Developer to effectuate construction and end -use efficiencies. If
Developer, in its good faith discretion, anticipates or decides a phase of the Project may need to
be removed or an additional phase of the Project should be added, or the timing for completion of
phases should be revised, the Performance Schedule may be amended by mutual written agreement
of the Parties. The City may approve or deny a requested amendment to the Performance Schedule
in its reasonable discretion, provided that such approval shall not be unreasonably withheld or
delayed. In evaluating a Developer request for an amendment to the Performance Schedule, the
City shall give strong consideration and latitude to Developer in the Developer's good faith
exercise of business judgement based on market conditions and other factors Developer deems
appropriate in connection with the requested amendment. If an amendment(s) to the Performance
Schedule is determined to be an Insubstantial Modification pursuant to this Agreement, the City
Manager is individually authorized to sign such amendments on behalf of the City.
3.4 Funding. Fees. Permits. and Approvals.
3.4.1 No Funding. Developer acknowledges that the City is not providing any
funding for the Project.
3.4.2 Fees, Permits, and Approvals Governed by Municipal Code. Subject to
Article 5 of this Agreement, all permitting and processing fees (including for the permitting and
processing of short-term vacation rentals), and all permits and approvals for the Property, and
Project, shall be governed by the provisions of the La Quinta Municipal Code and shall be paid
and performed in accordance therewith and any and all applicable ordinances, resolutions, and
policies relating thereto. All such fees and applications submitted to the City shall be processed in
accordance with the then -current La Quinta Municipal Code and any and all applicable ordinances,
resolutions, and policies relating thereto, including the timing provisions therein, and shall not be
accorded separate treatment pursuant to this Agreement. All City -imposed fees, including the fees
for short-term vacation rental permitting, shall be in the amount prescribed by the La Quinta
Municipal Code or duly adopted City Council ordinances, resolutions, and policies in effect at the
time the fee is imposed.
3.4.3 Imposition of Existing and Future Fees. Nothing set forth in this Agreement
is intended to or shall be construed to limit or restrict the City's authority to impose its existing, or
any new or increased, Citywide fees, charges, levies, or assessments for the development of the
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Property or Project, or to impose or increase, subject to the required procedure, any taxes
applicable to the Property or Project, including but not limited to transient occupancy taxes (TOT).
Developer shall timely pay all applicable fees, charges, levies, assessments, and special and
general taxes validly imposed in accordance with the Constitution and laws of the State of
California, including without limitation school impact fees in accordance with Government
Code §§ 65995 et seq.
3.5 Dedications and Improvements; Improvement Security.
In connection with the recordation of any final subdivision map for the Project, Developer
shall, through the execution of a subdivision improvement agreement with the City, provide to the
City, in a form reasonably acceptable to the City Attorney, improvement security as provided in
the La Quinta Municipal Code (and any and all applicable ordinances, resolutions, and policies
relating thereto) to secure the faithful performance of Developer's obligations under this
Agreement to construct the on -site and off -site improvements identified on that map. The terms,
amounts and provisions for release of the improvement security shall be as set forth in the La
Quinta Municipal Code (and any and all applicable ordinances, resolutions, and policies relating
thereto).
3.6 Indemnification.
Developer shall protect, defend, indemnify and hold harmless City and City's officers,
officials, members, employees, volunteers, agents, and representatives (any of the foregoing shall
be known individually as "Indemnitee" and collectively as "Indemnitees"), and each of them,
jointly and severally, against and from any and all claims, demands, causes of action, damages,
costs, expenses, losses and liabilities, at law or in equity, of every kind or nature whatsoever,
including reasonable attorneys' fees and expert witness fees, arising out of or directly relating to
construction-, development, use- and operations -related activities on the Property and Project by
Developer, including, without limitation, matters related to the use or the inability to use any
common area in the Project (such as, and without limitation, inability of Developer or any
transferee, assignee, owner or occupant of One of the Properties to use certain lettered lots in the
Tract Map as common area; and/or the failure by Developer or any transferee or assignee to
procure and maintain title insurance covering the right to use the certain lettered lots in the Tract
Map as common area appurtenant easements to the Property and/or any One of the Properties;
and/or any failure by Developer or any transferee or assignee to procure and maintain title
insurance covering the right to use the certain lettered lots in the Tract Map as common area
appurtenant easements to the Property and/or any One of the Properties), and including, without
limitation, injury to or death of any person or persons and damage to or destruction of any property,
threatened, brought or instituted ("Claims"), excluding those claims proven by a court of
competent jurisdiction to be resulting from the gross negligence or willful misconduct of City. In
the event of any action, litigation, or other adversarial proceeding in any way involving the Claims
specified in this section, City agrees, at no cost to City, to cooperate with Developer. Developer
shall have the obligation to provide the defense of City in the action, litigation, or other adversarial
proceeding, either by providing for legal counsel or, at City's option, timely paying the legal costs
incurred by City in the defense of litigation, even though negligence or gross negligence of
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Developer or its contractors, subcontractors, agents, employees or other persons acting on its
behalf has not been established at the time that the defense is provided. In addition, Developer
shall be obligated to promptly pay any final judgment or portion thereof rendered against the
Indemnitee or Indemnitees.
In the event of any court action or proceeding challenging the validity of this Agreement
or the Project Approvals (including related CEQA analysis), Developer shall indemnify, hold
harmless, pay all costs and provide defense for City in said action or proceeding with counsel
chosen by Developer and reasonably approved by City. City shall, at no cost to City, cooperate
with Developer in any such defense as Developer may reasonably request. In the event Developer
fails or refuses to provide such defense of any challenge to this Agreement or the Project
Approvals, or any component thereof, City shall have the right not to defend such challenge, and
to resolve such challenge in any manner it chooses in its sole discretion, including terminating this
Agreement. In the event of such termination, Developer, upon written request of City, shall
immediately execute a termination document or other document reasonably required by a reputable
title company to remove this Agreement as a cloud on title.
3.7 Recording of Agreement.
This Agreement shall be valid and binding as of the Effective Date; provided, however,
that the terms and conditions set forth in this Agreement affecting the vested rights and ability to
develop and use the Property and Project as set forth herein, shall be contingent upon this
Agreement being recorded in the Recorder's Office.
3.8 Management.
During the term of this Agreement, Developer agrees that Developer shall not designate
more than two (2) third party management companies at any one time for purposes of managing
the day-to-day operations of the Property or any One of the Properties and ensuring compliance
with the terms of this Agreement. For the avoidance of doubt, the immediately foregoing sentence
shall not restrict Developer from self -managing (or designating an affiliated property management
company to manage) the Property or any One of the Properties.
4. CITY' S OBLIGATIONS
4.1 Scope of Subsequent Review/Confirmation of Compliance Process.
Nothing set forth herein shall impair or interfere with the right of City to require the
processing of building permits as required by law pursuant to the applicable provisions of the La
Quinta Municipal Code, and the provisions of City's Fire Codes and ordinances, Health and Safety
Codes and ordinances, and Building, Electrical, Mechanical, and similar building codes..
Prior to each request for a building permit, Developer shall provide City with a Compliance
Certificate ("Compliance Certificate"), in substantially the same form as that attached hereto as
Exhibit C. The Compliance Certificate shall be distributed to the relevant City departments in order
to check the representations made by Developer on the Compliance Certificate.
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4.2 Proiect Approvals Indenendent.
All approvals required for the Project which may be or have been granted, and all land use
entitlements or approvals generally which have been issued or will be issued by City with respect
to the Project, constitute independent actions and approvals by City. If any provision of this
Agreement or the application of any provision of this Agreement to a particular situation is held
by a court of competent jurisdiction to be invalid or unenforceable, or if this Agreement terminates
for any reason, then such invalidity, unenforceability or termination of this Agreement or any part
hereof shall not affect the validity or effectiveness of any such Project Approvals or other land use
approvals and entitlements. In such cases, such approvals and entitlements will remain in effect
pursuant to their own terms and provisions. It is understood by the Parties that pursuant to existing
law, if this Agreement terminates or is held invalid or unenforceable as described above, such
approvals and entitlements shall not remain valid for the Term of this Agreement, but shall remain
valid for the term of such approvals and entitlements.
4.3 Review for Compliance.
City shall review Developer's compliance with the terms of Agreement at least once during
every twelve (12) month period following the Effective Date of this Agreement, in accordance
with City's procedures and standards for such review. During such periodic review by City,
Developer, upon written request from City, shall be required to demonstrate, and hereby agrees to
furnish, evidence of good faith compliance with the terms hereof. The failure of City to conduct
or complete the annual review as provided herein or in accordance with the Development
Agreement Ordinance shall not impact the validity of this Agreement. If, at the conclusion of the
annual review provided for herein, Developer has been found in compliance with this Agreement,
City, through the Development Director, shall, at Developer's written request, issue an estoppel
certificate to Developer stating that (1) this Agreement remains in full force and effect, (2)
Developer is in compliance with this Agreement and (3) any other qualifying information as may
be consistent with such estoppel certificate pursuant to Section 8.12 of this Agreement.
5. SHORT TERM VACATION RENTALS/TRANSIENT OCCUPANCY TAXES
5.1 Short Term Vacation Rentals as a Permitted Use.
This Agreement does hereby provide that short-term vacation rentals are a permitted use
within all portions of the Project, the Property, and each One of the Properties that allow residential
uses, and the rights to such permitted use are hereby vested pursuant to the terms of this
Agreement, and this vested right shall inure to the benefit of Developer and all owners of each
portion of the Property or each One of the Properties. As such, the rights and obligations under
this Section 5.1 shall survive the sale of each One of the Properties to a third -party homebuyer.
Except to the extent expressly provided otherwise in this Agreement, the City shall not
impose on or apply to the Project (whether by action of the City Council, or other legislative body,
or by initiative, referendum, or other measure) any ordinance, resolution, standard, directive,
condition, or other measure that is in conflict with this Section 5.1 or that would materially interfere
with the right to apply for and, upon compliance with the City's ministerial permitting process and
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approval, operate short-term vacation rentals in all residential units within the Project. Such short-
term vacation rentals within the Project shall be subject to the Short -Term Vacation Rental
Regulations, including but not limited to all operational requirements, noise restrictions,
occupancy limits, provisions for violations and penalties, provisions for the payment of transient
occupancy tax, and all other requirements.
For reference only, a copy of Chapter 3.25 of the La Quinta Municipal Code in effect as of
the Effective Date is attached to this Agreement as Exhibit E. In the event Chapter 3.25 is repealed
in its entirety and is not replaced with a successor provision that would grant Developer the vested
rights granted by this Section 5.1, then the latest version of Chapter 3.25 (or successor provision)
that did allow the vested rights granted by this Section 5.1 shall apply. In the event Chapter 3.24
is repealed in its entirety and is not replaced with a successor provision that would grant Developer
the vested rights granted by this Section 5.1, then the latest version of Chapter 3.24 (or successor
provision) that did allow the vested rights granted by this Section 5.1 shall apply.
5.2 Covenants. Conditions. and Restrictions.
All CC&Rs recorded pursuant to Section 3.1 of this Agreement on any property within the
Project where residential uses are allowed shall expressly authorize short-term vacation rentals for
all residential units. All such CC&Rs shall state the operational requirements and standard
conditions (such as, and without limitation, maximum occupancy, outdoor use limitations, and
other requirements or conditions for the residential (numbered) lots in the Project) applicable to
short-term rentals in that tract or planning area of the Project. Until such date as the CC&Rs are
recorded against the Property and the Project (see Section 3.1, above), such operational
requirements and standard conditions shall be set forth in rules and regulations or a similar
document ("STR Rules") which shall be provided to all persons who rent residential (numbered)
lots in the Project on a short-term rental basis.
5.3 Short -Term Vacation Rental Centralized Management.
In order to ensure the timely collection and reporting of the applicable transient occupancy
taxes, and compliance with the applicable operational requirements and conditions set forth in the
Short -Term Vacation Rental Regulations, Developer or its successor or assignee shall be the
"authorized agent or representative" (as that term is defined in the Short -Term Vacation Rental
Regulations, or, if the definition is removed during the Term of this Agreement, as defined in
Chapter 3.25 as of the Effective Date of this Agreement) for all short-term vacation rentals and
short-term vacation rental permits within the Project, including but not limited to applying for and
managing all short-term vacation rental permits, making all reservations and payments, and
ensuring compliance with all other requirements of the Short -Term Vacation Rental Regulations,
and shall do so exclusively through a central rental operator pursuant to Sections 5.2 and this 5.3
of this Agreement, which shall be confirmed at the issuance and renewal of each short-term
vacation rental permit; provided, however, that the "residence owner" (in this context, means the
owner of a residential unit with a short-term vacation rental permit, as that term is defined in the
Short -Term Vacation Rental Regulations, or, if the definition is removed during the Term of this
Agreement, as defined in Chapter 3.25 as of the Effective Date of this Agreement, and hereinafter
defined as "residence owner") shall remain ultimately obligated as the holder of the short-term
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vacation rental permit for any and all remedial actions necessary for compliance with the Short -
Term Vacation Rental Regulations and this Agreement, including but not limited to the payment
of any fines or recorded liens or any other violations for non-compliance; and, provided further,
that the residence owner shall have a process available, through an independent arbitrator or neutral
decision -maker designated by the residence owner or homeowner's association ("HOA") of which
the residence owner is a member, to petition for a change of that residence owner's "authorized
agent or representative" because the residence owner demonstrates, with a preponderance of
evidence, that the "authorized agent or representative," designated by the Developer or its
successor or assignee, has failed to perform its duty to ensure compliance with all other
requirements of the Short -Term Vacation Rental Regulations for that residence owner's short-term
vacation rental unit. The CC&Rs as described in Section 5.2 of this Agreement shall include the
terms and conditions, and detailed specifics for process and decision, whenever a residence owner
may petition the HOA for a change in that residence owner's "authorized agent or representative"
as required by this Section 5.3; the City Manager and City Attorney shall review and approve, in
their reasonable discretion and not to be unreasonably delayed or denied, said terms and conditions
in the CC&Rs that would apply if a residence owner were to petition the HOA for a change in that
residence owner's "authorized agent or representative" as required by this Section 5.3.
Developer shall be responsible for ensuring that, for the Term of this Agreement, one or
more contract(s) shall be in effect at all times which provide opportunities to the residence owners
of residential units to have the ability to make their units available for short-term rentals permitted
by this Agreement and the CC&Rs. The contract or contracts may, but are not required to, be with
an on -site rental management agent. Developer may assign this obligation in accordance with this
Agreement.
6. DEFAULT: REMEDIES: DISPUTE RESOLUTION.
6.1 Notice of Default.
In the event of failure by either Party substantially to perform any material term or
provision of this Agreement, the non -defaulting Party shall have those rights and remedies
provided herein, provided that such non -defaulting Party has first provided to the defaulting Party
a written notice of default in the manner required by Section 8.1 hereof identifying with specificity
the nature of the alleged default and the manner in which said default may satisfactorily be cured.
6.2 Cure of Default.
Upon the receipt of the notice of default, the alleged defaulting Party shall promptly
commence to cure, correct, or remedy the identified default at the earliest reasonable time after
receipt of the notice of default and shall complete the cure, correction or remedy of such default
not later than thirty (30) days after receipt of the notice of default, or, for such defaults that cannot
reasonably be cured, corrected or remedied within thirty (30) days, such Party shall commence to
cure, correct, or remedy such default within such thirty (30) day period, and shall continuously
and diligently prosecute such cure, correction or remedy to completion.
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6.3 City Remedies.
In the event of an uncured default by Developer of the terms of this Agreement, City, at its
option, may institute legal action in law or in equity to cure, correct, or remedy such default, enjoin
any threatened or attempted violation, or enforce the terms of this Agreement; provided, however,
that in no event shall City be entitled to consequential, punitive or exemplary damages for any
Developer default. For purposes of this Agreement the term "consequential damages" shall
include, but not be limited to, potential loss of anticipated tax revenues from the Project or any
portion thereof. Furthermore, City, in addition to or as an alternative to exercising the remedies set
forth in this Section 6.3, in the event of a material uncured default by Developer, may give notice
of its intent to terminate or modify this Agreement pursuant to City's Development Agreement
Ordinance and/or the Development Agreement Act, in which event the matter shall be scheduled
for consideration and review by the City Council in the manner set forth in the City's Development
Agreement Ordinance or the Development Agreement Act. Notwithstanding anything to the
contrary herein, the City agrees that it shall not institute a legal action, terminate, or modify this
Agreement under this Section 6.3 to the extent any holder of a mortgage or deed of trust has an
unexpired right, pursuant to Section 7.4, to cure or remedy or to commence a cure or remedy of
any uncured Developer default.
6.4 Developer's Exclusive Remedies.
The Parties acknowledge and agree that the City would not have entered into this
Agreement if it were to be liable for damages under, or with respect to, this Agreement or any of
the matters referred to herein including, but not limited to, the Project Approvals (including any
CEQA analysis therefor), the Applicable Rules, any anticipated development and use of the
Property (including but not limited to the ability to develop and use the Property for the Project
and separate legal residential parcels for residential purposes and/or short-term vacation rentals),
or any future amendments or enactments thereto. Accordingly, Developer covenants on behalf of
itself and its successors and assigns, not to sue the City for damages or monetary relief (except for
attorneys' fees as provided for by Section 8.22) for any breach of this Agreement by City or arising
out of or connected with any dispute, controversy, or issue between Developer and City regarding
this Agreement or any of the matters referred to herein including but not limited to the application,
interpretation, or effect of this Agreement, the Project Approvals, the Applicable Rules, any
anticipated development and use of the Property for the Project (including but not limited to the
ability to develop and use the Property and separate legal residential parcels for residential
purposes and/or short-term vacation rentals), or any future amendments or enactments thereto, or
the Project, or any land use permits or approvals sought in connection with the development of the
Project or any component thereof, or use of the Property and/or any separate legal parcel or any
portion thereof, the Parties agreeing that declaratory and injunctive relief, mandate, and specific
performance shall be Developer's sole and exclusive judicial remedies.
7. MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE
7.1 Encumbrances on the Project Site.
This Agreement shall not prevent or limit Developer from encumbering the Property or
any portion thereof or any improvements thereon with any mortgage, deed of trust, sale and
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leaseback arrangement, or any other form of conveyance in which the Property, or a portion thereof
or interest therein, is pledged as security, and contracted for in good faith and fair value (a
"Mortgage") securing financing with respect to the construction, development, use or operation of
the Project.
7.2 Mortgage Protection.
This Agreement shall be superior and senior to the lien of any Mortgage. Notwithstanding
the foregoing, no breach of this Agreement shall defeat, render invalid, diminish, or impair the lien
of any Mortgage made in good faith and for value, and any acquisition or acceptance of title or
any right or interest in or with respect to the Property or any portion thereof or any improvements
thereon by a holder of a beneficial interest under a Mortgage, or any successor or assignee to said
holder (a "Mortgagee") [whether pursuant to foreclosure, trustee's sale, deed in lieu of foreclosure,
lease termination or otherwise] shall be subject to all of the terms and conditions of this Agreement.
7.3 Mortgagee Not Obligated, Request for Notice of Default on Mortgagee.
No Mortgagee will have any obligation or duty under this Agreement to perform the
obligations of the Developer or other affirmative covenants of Developer hereunder, or to
guarantee such performance, except that (i) the Mortgagee shall have no right to develop or operate
the Property or Project, or any portion thereof without the written consent of the City, and (ii) to
the extent that any covenant to be performed by the Developer is a condition to the performance
of a covenant by the City, the performance thereof by Mortgagee shall continue to be a condition
precedent to the City's performance hereunder. Any Mortgagee that intends to take possession of
or intends to acquire title to the Property, or any purchaser that intends to take possession of or
intends to acquire the Property at a foreclosure sale or as a recipient of a deed -in -lieu of foreclosure
resulting from a Mortgage held by a Mortgagee, shall have the right, at such party's election, to
develop and operate the Property pursuant to this Agreement, provided that such Mortgagee,
purchaser or recipient shall (i) no later than ninety (90) days prior to taking possession of, or
acquiring title to, the Property, deliver written notice to the City that such Mortgagee, purchaser,
or recipient intends to take possession of or acquire title to the Property, and such written notice
includes its contact information for notices to be delivered pursuant to this Agreement, (ii) such
Mortgagee, purchaser, or recipient assumes in writing the obligations of Developer under this
Agreement with respect to the Property arising from and after the date of possession or acquisition
of title, as applicable, pursuant to an Assignment and Assumption Agreement, and (iii) such
Mortgagee, purchaser, or recipient, as applicable, received written consent of City to develop or
operate the Property or Project or any portion thereof. Furthermore, if any Mortgagee that takes
possession of or acquires title to the Property does not elect in writing to assume the obligations
of Developer under this Agreement, such Mortgagee shall have no rights under this Agreement.
Developer may assign its rights, obligations, and duties under this Agreement to a Mortgagee
pursuant to Section 1.8 of this Agreement.
In the event any Mortgagee delivers to Developer (or authorized transferee) a notice of
default under any Mortgage recorded against the Property or Project (or any portion thereof),
Developer shall deliver to City, no later than five (5) business days after receipt by Developer, a
copy of said notice of default from the Mortgagee. Failure by Developer to cure, pursuant to any
Mortgage from which the notice of default from Mortgagee had been issued, may be deemed by
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City to be a default by Developer under this Agreement; provided, however, that such default by
Developer for failure to perform under any Mortgage shall not defeat any rights and remedies that
said Mortgagee may have under the Mortgage or as set forth in this Agreement. The preceding
sentence does not apply to the mortgage of an owner who is a bone fide purchaser for value of the
fee interest or long-term ground lease of One of the Properties, including, without limitation, a
mortgage in connection with that owner's loan to purchase the fee interest or long-term ground
lease of the residential (numbered) lot, or to refinance same, or for a home equity loan.
Additionally, City shall have the right to execute and record a Request for Notice of Default
substantially in the form and as authorized pursuant to California Civil Code Section 2924b (or
successor provision) ("Request for Notice of Default"), and Developer shall have the obligation to
deliver to City written notice of any Mortgagee with a Mortgage recorded against the Property or
Project (or any portion thereof) within five (5) business days of recording of said Mortgage.
Developer shall have the obligation to cooperate with City to facilitate the execution, notarizing,
and recording of any Request for Notice of Default pursuant to this paragraph.
7.4 Notice of Default to Mortgagee; Right of Mortgagee to Cure.
With respect to any mortgage or deed of trust granted by Developer, whenever City may
deliver any notice or demand to Developer with respect to any breach or default by Developer in
completion of construction of the Project or any component of the Project, Developer shall at the
same time deliver a copy of such notice or demand to each holder of record of any Mortgage or
Mortgagee which has previously requested such notice in writing. Each such holder shall (insofar
as the rights granted by City are concerned) have the right, at its option, within sixty (60) days
after the receipt of the notice, to cure or remedy or commence to cure or remedy and thereafter to
pursue with due diligence the cure or remedy of any such default and to add the cost thereof to the
Mortgage debt and the lien of its Mortgage. It is understood that a holder of the Mortgage shall be
deemed to have satisfied the sixty (60) daytime limit set forth above for commencing to cure or
remedy a Developer default which requires title and/or possession of the Property or Project (or
portion thereof) if and to the extent any such holder has within such sixty (60) day period
commenced proceedings to obtain title and/or possession and thereafter the holder diligently
pursues such proceedings to completion and cures or remedies the default in accordance with this
Agreement. City agrees that each holder of a mortgage or deed of trust encumbering the Property
that has rights under this Section 7.4 shall be entitled to exercise such rights without the
requirement of obtaining the written consent of City. Furthermore, if requested in writing by any
holder of record of any Mortgage or Mortgagee, then whenever City delivers a written notice of
default to Developer under this Agreement, City shall deliver a copy of such notice to each holder
of record of any Mortgage or Mortgagee that has previously requested such notice in writing no
later than three (3) business days after said notice is delivered to Developer.
MISCELLANEOUS
8.1 Notices. Demands and Communications Between the Parties.
Any approval, disapproval, demand, document or other notice ("Notice") which either
Party may desire to give to the other Party under this Agreement must be in writing and shall be
sufficiently given if (i) delivered by hand, (ii) delivered by reputable same -day or overnight
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messenger service that provides a receipt showing date and time of delivery, or (iii) dispatched by
registered or certified mail, postage prepaid, to the principal offices of City and Developer at the
addresses specified below, or at any other address as that Party may later designate by Notice.
To City: City of La Quinta
78-495 Calle Tampico
La Quinta, California 92253
Attn: City Clerk
With a copy to: Rutan & Tucker, LLP
18575 Jamboree Road, 9th Floor
Irvine, California 92612
Attn: William H. Ihrke
To Developer: Desert Luxury Properties LLC
72877 Dinah Shore Dr., Ste. 103
Rancho Mirage, California 92270
Attn: Claudio Bravo
With copies to: Nethery/Mueller/Olivier LLP
41750 Rancho Las Palmas Dr.
Suite H-1
Rancho Mirage, CA 92270
Attn: Daniel Olivier
Any written notice, demand or communication shall be deemed received immediately if personally
delivered or delivered by delivery service and shall be deemed received on the third day from the
date it is postmarked if delivered by registered or certified mail.
8.2 Force Ma'el ure.
In addition to specific provisions of this Agreement, performance by either Party hereunder
shall not be deemed to be in default, and all performance and other dates specified in this
Agreement shall be extended, where delays or defaults are due to causes beyond the control or
without the fault of the Party claiming an extension of time to perform, which may include the
following (each, a "Force Majeure"): war; insurrection; acts of terrorism; strikes; lockouts; riots;
floods; earthquakes; fires; casualties; acts of God; acts of the public enemy; epidemics; quarantine
restrictions; freight embargoes; lack of transportation; governmental restrictions or priority
imposed or mandated by other governmental entities; unusually severe weather; inability to secure
necessary labor, materials or tools; delays of any contractor, subcontractor or supplier; acts or
omissions of the other Party; or acts or failures to act of any public or governmental agency or
entity (other than the acts or failures to act of City which shall not excuse performance by City),
or any other causes beyond the control or without the fault of the party claiming an extension of
time to perform. Notwithstanding anything to the contrary in this Agreement, an extension of time
for any such cause shall only be for the period of the enforced delay and shall commence to run
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from the time of the commencement of the cause, if notice by the Party claiming such extension
is sent to the other Party within thirty (30) days of the commencement of the cause. Times of
performance under this Agreement may also be extended in writing by the mutual agreement of
City and Developer.
Notwithstanding the paragraph above, Developer is not entitled pursuant to this Section
8.2 to an extension of time to perform because of past, present, or future difficulty in obtaining
suitable construction or permanent financing for the development of the Property, or because of
economic or market conditions.
8.3 BindingEffect.
ffect.
This Agreement, and all of the terms and conditions hereof, shall be binding upon and inure
to the benefit of the Parties, any subsequent owner of all or any portion of the Project or the
Property, and their respective assigns, heirs or successors in interest, whether or not any reference
to this Agreement is contained in the instrument by which such person acquired an interest in the
Project or the Property.
8.4 Independent Entity.
The Parties acknowledge that, in entering into and performing this Agreement, each of
Developer and City is acting as an independent entity and not as an agent of the other in any
respect.
8.5 Agreement Not to Benefit Third Parties.
This Agreement is made for the sole benefit of the Parties, and no other person shall be
deemed to have any privity of contract under this Agreement nor any right to rely on this
Agreement to any extent for any purpose whatsoever, nor have any right of action of any kind on
this Agreement nor be deemed to be a third -party beneficiary under this Agreement.
8.6 Covenants.
The provisions of this Agreement shall constitute mutual covenants which shall run with
the land comprising the Property for the benefit thereof, and for the benefit of City, and the burdens
and benefits hereof shall bind and inure to the benefit of each of the Parties hereto and all
successors in interest to the Parties hereto for the term of this Agreement.
8.7 Non-liabili . of City Officers and Employ
No official, officer, employee, agent or representative of City, acting in his/her official
capacity, shall be personally liable to Developer, or any successor or assign, for any loss, costs,
damage, claim, liability, or judgment, arising out of or connection to this Agreement, or for any
act or omission on the part of City.
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8.8 Covenant Against Discrimination.
Developer and City covenant and agree, for themselves and their respective successors and
assigns, that there shall be no discrimination against, or segregation of, any person or group or
persons on account of race, color, creed, religion, sex, marital status, national origin or ancestry,
or any other impermissible classification, in the performance of this Agreement. Developer shall
comply with the Americans with Disabilities Act of 1990, as amended (42 U.S.C. §§ 12101, et
seq.).
8.9 No Waiver.
No waiver of any provision of this Agreement shall be effective unless in writing and
signed by a duly authorized representative of the Party against whom enforcement of a waiver is
sought and referring expressly to this Section. No delay or omission by either Parry in exercising
any right or power accruing upon non-compliance or failure to perform by the other Party under
any of the provisions of this Agreement shall impair any such right or power or be construed to be
a waiver thereof, except as expressly provided herein. No waiver by either Party of any of the
covenants or conditions to be performed by the other Party shall be construed or deemed a waiver
of any succeeding breach or nonperformance of the same or other covenants and conditions hereof.
8.10 Severability.
If any term, provision, covenant or condition of this Agreement is held by a court of
competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this
Agreement shall continue in full force and effect, to the extent that the invalidity or
unenforceability does not impair the application of this Agreement as intended by the Parties.
8.11 Cooperation in Carrying Out Agreement.
Each Party shall take such actions and execute and deliver to the other all such further
instruments and documents as may be reasonably necessary to carry out this Agreement in order
to provide and secure to the other Party the full and complete enjoyment of its rights and privileges
hereunder.
8.12 Estoppel Certificate.
Either Party may, at any time, deliver written notice to any other Party requesting such
Party to certify in writing that, to the best knowledge of the certifying Party, (i) this Agreement is
in full force and effect and a binding obligation of the Parties, (ii) this Agreement has not been
amended or modified either orally or in writing, or if so amended, identifying the amendments,
(iii) the requesting Party is not in default in the performance of its obligations under this
Agreement, or if in default, describing the nature and amount of any such defaults, and (iv) any
other reasonable information requested. A Party receiving a written request hereunder shall
execute and return such requested certificate within twenty (20) days following receipt of such
request. The form of the requested estoppel certificate shall be reasonably approved by the
receiving party. The City Manager is authorized to sign and deliver an estoppel certificate on behalf
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of City. City acknowledges that a certificate hereunder may be relied upon by transferees and
Mortgagees.
8.13 Construction.
The terms of this Agreement shall be construed in accordance with the meaning of the
language used and shall not be construed for or against either Parry by reason of the authorship of
this Agreement or any other rule of construction that might otherwise apply. As used in this
Agreement, and as the context may require, the singular includes the plural and vice versa, and the
masculine gender includes the feminine and vice versa.
8.14 Recordation.
This Agreement shall be recorded with the Recorder's Office at Developer's cost, if any,
within the period required by Government Code Section 65868.5. Amendments approved by the
Parties, and any cancellation or termination of this Agreement, shall be similarly recorded.
8.15 Captions and References.
The captions of the paragraphs and subparagraphs of this Agreement are solely for
convenience of reference, and shall be disregarded in the construction and interpretation of this
Agreement. Reference herein to a paragraph or exhibit are the paragraphs, subparagraphs and
exhibits of this Agreement.
8.16 Time.
Time is of the essence in the performance of this Agreement and of each and every term
and condition hereof as to which time is an element.
8.17 Recitals & Exhibits Incorporated; Entire Agreement.
The Recitals to this Agreement and all of the exhibits and attachments to this Agreement
are, with the exception of Exhibit E by this reference, incorporated into this Agreement and made
a part hereof. This Agreement, including all Exhibits attached hereto with the exception of Exhibit
E, constitutes the entire agreement between the Parties with respect to the subject matter of this
Agreement, and this Agreement supersedes all previous negotiations, discussions and agreements
between the Parties, and no parole evidence of any prior or other agreement shall be permitted to
contradict or vary the terms hereof.
8.18 Exhibits.
Exhibits A -D to which reference is made in this Agreement are deemed incorporated
herein in their entirety, whether or not such exhibits are attached hereto in full. Exhibits E and F
are attached for reference purposes only and is not incorporated herein. Said exhibits are identified
as follows:
A Legal Description of the Property
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B Site Map
C. Compliance Certificate
D. Performance Schedule
E. Chapter 3.25 of the La Quinta Municipal Code (for reference purposes only)
F. Example Title Insurance Policy Terms Showing Common Area Lettered -
Lots in Tract Map Covered Under Numbered -Lot Owner Policy, To Assist
with Compliance with Section 1.8.4 (for reference purposes only)
8.19 Countemart Signature Pages.
For convenience the Parties may execute and acknowledge this agreement in counterparts
and when the separate signature pages are attached hereto, shall constitute one and the same
complete Agreement.
8.20 Authority to Execute; Representations and Warranties.
Developer warrants and represents that (i) it is duly organized and existing, (ii) it is duly
authorized to execute and deliver this Agreement, (iii) by so executing this Agreement, Developer
is formally bound to the provisions of this Agreement, (iv) Developer's entering into and
performance of its obligations set forth in this Agreement do not violate any provision of any other
agreement to which Developer is bound, and (v) there is no existing or threatened litigation or
legal proceeding of which Developer is aware which could prevent Developer from entering into
or performing its covenants and obligations set forth in this Agreement. City warrants and
represents that the person or persons executing this Agreement on its behalf have been duly
authorized to execute this Agreement and bind City to all covenants and obligations set forth in
this Agreement.
8.21 CityApprovals and Actions.
Whenever a reference is made in this Agreement to an action or approval to be undertaken
by City, or for any amendment, interpretation, or implementing documents required under this
Agreement, the City Manager or his or her authorized designee is authorized to act on behalf of
City unless specifically provided otherwise in this Agreement or the law otherwise requires.
8.22 Governing Law; Litigation Matters.
The internal laws of the State of California shall govern the interpretation and enforcement
of this Agreement without regard to conflicts of law principles. Any action at law or in equity
brought by either Party hereto for the purpose of enforcing, construing, or interpreting the validity
of this Agreement or any provision hereof shall be brought in the Superior Court of the State of
California in and for the County of Riverside, or such other appropriate court in said county, and
the Parties hereto waive all provisions of law providing for the filing, removal, or change of venue
to any other court. Service of process on City shall be made in accordance with California law.
Service of process on Developer shall be made in any manner permitted by California law and
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shall be effective whether served inside or outside of California. In the event of any action between
the Parties hereto seeking enforcement of any of the terms of this Agreement or otherwise arising
out of this Agreement, the prevailing Party in such litigation shall be awarded, in addition to such
relief to which such Party is entitled, its reasonable attorney's fees, expert witness fees, and
litigation costs and expenses.
8.23 No Brokers.
Each of the City and the Developer represents to the other party that it has not engaged the
services of any finder or broker and that it is not liable for any real estate commissions, broker's
fees, or finder's fees which may accrue by means of this Agreement and agrees to hold harmless
the other party from such commissions or fees as are alleged to be due from the party making such
representations.
[signatures on next page]
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IN WITNESS WHEREOF, Developer and City have executed this Agreement as of the
Reference Date.
ATTEST:
Monika Radeva
City Clerk
APPROVED AS TO FORM
RUTAN & TUCKER, LLP
William H. Ihrke
City Attorney
"DEVELOPER"
DESERT LUXURY PROPERTIES LLC, a
California limited liability company
M.
Its:
"CITY"
CITY OF LA QUINTA, a California municipal
corporation
By:
Name: Jon McMillen
Title: City Manager
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EXHIBIT "A"
LEGAL DESCRIPTION OF PROPERTY
[attached]
698/015610-0183
21420197.1 a11/05/24 EXHIBIT A
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LEGAL DESCRIPTION
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF LA
QUINTA, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AND IS
DESCRIBED AS FOLLOWS:
PARCEL 1:
LOTS 1 THROUGH 14, INCLUSIVE OF TRACT NO. 31852, IN THE CITY OF LA QUINTA,
COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN
BOOK 402, PAGES 38 THROUGH 41, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE
COUNTY, CALIFORNIA.
PARCEL 2:
AN EASEMENT FOR "PRIVATE USE" FOR THE SOLE BENEFIT OF THE LOT
OWNER(S) AND INDICATED AS "PRIVATE STREET" OVER LOT "A" OF TRACT NO.
31852, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402, PAGES 38 THROUGH 41,
INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.
PARCEL 3:
AN EASEMENT FOR "PRIVATE USE" FOR THE SOLE BENEFIT OF THE LOT
OWNER(S) AND INDICATED AS "LANDSCAPE" OVER LOTS "C" THROUGH "F" OF
TRACT NO. 31852, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402, PAGES 38 THROUGH 41,
INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.
PARCEL 4:
AN EASEMENT FOR "PRIVATE USE" FOR THE SOLE BENEFIT OF THE LOT
OWNER(S) AND INDICATED AS "DRAINAGE AND RETENTION PURPOSES" OVER
LOT "G" OF TRACT NO. 31852, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE,
STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402, PAGES 38
THROUGH 41, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY,
CALIFORNIA.
APN: 777-470-001 THROUGH 777-470-014
698/015610-0183
21420197.1 a11/05/24 EXHIBIT A
1
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
EXHIBIT `B"
SITE MAP
(Vicinity of Project)
21,480 SF
20.038 SF
20.038 S
20.478 SF
w! VwF Access
23,087 SF 19,602 SF Lot D
Em
19,602 SF '
14
19,602 SF
[continued on next page]
698/015610-0183
21420197.1 a11/05/24 EXHIBIT B
20.038 SF �T-
rmiON 7
LOT G
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
SITE MAP
(Number Lots and Common Area Street)
LOT 4 LOT 3 i LOT 2 I LOT 1 �I
ti
LOT 5 FS
--
LOT 13 LOT 14 w
Ir
LOT 6
_- �- - LOT 12 LOT 11 J'
LOT 7
I fir" LOT 10 I '�
LOT 8 # LOT 9 r r
RE'1`. BASIN '
f � r ,
SITE MAP
SCALE: 1 "=100'
698/015610-0183
21420197.1 a11/05/24 EXHIBIT B
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
EXHIBIT "C"
COMPLIANCE CERTIFICATE
(DESERT LUXURY PROPERTIES LLC DEVELOPMENT AGREEMENT)
The undersigned, Desert Luxury Properties LLC, a California limited liability company
("Developer"), pursuant to that certain Development Agreement dated 1202,
(the "Development Agreement"), by and between Developer and the City of La Quinta, a
California municipal corporation and charter city (the "City") by its signature below hereby
certifies to City, for City's reliance that:
1. Capitalized terms not defined herein shall have the same meaning as set
forth in the Development Agreement;
2. The undersigned is familiar with the certifications and representations set
forth in this Compliance Certificate;
3. Developer has performed and complied with its obligations under the
Development Agreement to be performed or complied with by it on or prior to the date hereof.
4. [CITY MAY INSERT ANY ADDITIONAL CONDITIONS UNDER THE
DEVELOPMENT AGREEMENT TO BE SATISFIED PRIOR TO ISSUING BUILDING
PERMIT].
IN WITNESS WHEREOF, this Compliance Certificate is executed effective the
day of , under penalty of perjury under the laws of California.
DESERT LUXURY PROPERTIES LLC, a
California limited liability company
By:
Its:
EXHIBIT C
698/015610-0183
21420197.1 al1/05/24 -1-
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
EXHIBIT "D"
PERFORMANCE SCHEDULE
Item of Performance
Start
Completion
TR 31852
Permitting
Grading and Engineering Permits
Apply by
September 30,
2025
Within 90 days of
application
Building Permits
Apply by
September 30,
2025
Within 90 days off
application
Construction of Project Components
Construct off -site electrical improvements required by
IID to provide electrical service to the Tract
September 1, 2026
December 31, 2026
Construct, repair or replace all on -site improvements
(finish grade, walls, street, storm drain, water, sewer, dry
utilities, and landscaping)
October 31, 2025
March 30, 2026
Place monuments
October 31, 2025
June 30, 2026
Begin construction of 14 residential units
October 31, 2025
Completion of construction of 14 residential units
April 30, 2028
Obtain Certificate of Occupancy for 14 residential units
April 30, 2028
July 1, 2028
EXHIBIT D
698/015610-0183
21420197.1 al 1/05/24 -1-
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
EXHIBIT "E"
CHAPTER 3.25 OF LA QUINTA MUNICIPAL CODE AS OF EFFECTIVE DATE
(for reference only)
[to be attachedl
698/015610-0183
21420197.1 a11/05/24 EXHIBIT E
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
EXHIBIT "F"
Example Title Insurance Policy Terms and Conditions
(for reference only)
[Example Title Insurance Policy Terms Showing Common Area Lettered -Lots in Tract Map
Covered Under Numbered -Lot Owner Policy, To Assist with Compliance with Section 1.8.4]
[attached]
698/015610-0183
21420197.1 a11/05/24 EXHIBIT F
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
Title Insurance Company
SCHEDULE A
This is a [ Pro Forma ] Policy. It does not reflect the present state of the Title and is not a commitment to (i)
insure the Title or (ii) issue any of the attached endorsements. Any such commitment must be an express
written undertaking on appropriate forms of the Company.
Name and Address of Title Insurance Company: Title Company, [ ADDRESS ]
Address Reference: Lots 1 thru 14, Tract 31852, La Quinta, CA
Amount of Insurance: $
Date of Policy:
1. Name of Insured:
[ Owner of Property ]
2. The estate or interest in the Land that is insured by this policy is:
A FEE as to PARCEL 1;
EASEMENT as to PARCELS 2,3 and 4
3. Title is vested in:
[ Same as Insured / Owner of Property ]
4. The Land referred to in this policy is described as follows:
See Exhibit A attached hereto and made a part hereof.
[See next page]
698/015610-0183
21420197.1 a11/05/24 EXHIBIT F
Premium: $
DRAFT VERSION
PLANNING COMMISSION PUBLIC HEARING DRAFT
[ EXHIBIT A to SCHEDULE A ]
[ Template Legal Description ]
[ Parcel 1 Must Be Modified to Match Property Insured ]
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF LA QUINTA, IN THE COUNTY
OF RIVERSIDE, STATE OF CALIFORNIA, AND IS DESCRIBED AS FOLLOWS:
PARCELI:
LOT(s) OF TRACT NO. 31852, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF
CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402, PAGES 38 THROUGH 41, INCLUSIVE OF
MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.
17� Zy�11I►.>G
AN EASEMENT FOR "PRIVATE USE" FOR THE SOLE BENEFIT OF THE LOT OWNER(S) AND INDICATED
AS "PRIVATE STREET" OVER LOT "A" OF TRACT NO. 31852, IN THE CITY OF LA QUINTA, COUNTY OF
RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402, PAGES 38 THROUGH
41, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.
AN EASEMENT FOR "PRIVATE USE" FOR THE SOLE BENEFIT OF THE LOT OWNER(S) AND INDICATED
AS "LANDSCAPE" OVER LOTS "C" THROUGH "F" OF TRACT NO. 31852, IN THE CITY OF LA QUINTA,
COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402, PAGES
38 THROUGH 41, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.
PARCEL 4:
AN EASEMENT FOR "PRIVATE USE" FOR THE SOLE BENEFIT OF THE LOT OWNER(S) AND INDICATED
AS "DRAINAGE AND RETENTION PURPOSES" OVER LOT "G" OF TRACT NO. 31852, IN THE CITY OF LA
QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 402,
PAGES 38 THROUGH 41, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.
APN(s):
698/015610-0183
21420197.1 a11/05/24 EXHIBIT F
PLANNING COMMISSION RESOLUTION 2024-017 EXHIBIT B
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 1 OF 14
,'lid01IdGL\N
The applicant agrees to defend, indemnify, and hold harmless the City of La Quinta
("City"), its agents, officers, and employees from any claim, action, or proceeding to
attack, set aside, void, or annul the approval of this Site Development Permit. The
City shall have sole discretion in selecting its defense counsel.
The City shall promptly notify the applicant of any claim, action, or proceeding and
shall cooperate fully in the defense.
Site Development Permit 2024-0001 shall comply with all applicable conditions
and/or mitigation measures for the following related approval:
Tentative Tract Map 31852
2. This Site Development Permit shall expire two years after the date of approval
unless the permit is established and/or a time extension is granted, per La Quinta
Municipal Code Section 9.200.080.
3. In the event of any conflict(s) between approval conditions and/or provisions of
these approvals, the Design and Development Director shall adjudicate the conflict
by determining the precedence.
4. Prior to the issuance of any grading, construction, or building permit by the City, the
applicant shall obtain any necessary clearances and/or permits from the following
agencies, if required:
• Riverside County Fire Marshal
• La Quinta Public Works Department (Grading Permit, Green Sheet (Public
Works Clearance) for Building Permits, Water Quality Management Plan
(WQMP) Exemption Form — Whitewater River Region, Improvement Permit)
• Design & Development Department — Planning and Building Divisions
• Riverside Co. Environmental Health Department
• Coachella Valley Unified School District
• Coachella Valley Water District (CVWD)
• Imperial Irrigation District (IID)
• California Water Quality Control Board (CWQCB)
• State Water Resources Control Board
• SunLine Transit Agency
• SCAQMD Coachella Valley
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 2 OF 14
The applicant is responsible for all requirements of the permits and/or clearances
from the above -listed agencies. When these requirements include approval of
improvement plans, the applicant shall furnish proof of such approvals when
submitting those improvement plans for City approval.
5. Coverage under the State of California Construction General Permit must be
obtained by the applicant, who then shall submit a copy of the Regional Water
Quality Control Board's ("RWQCB") acknowledgment of the applicant's Notice of
Intent ("NOI") and Waste Discharge Identification (WDID) numberto the City priorto
the issuance of a grading or building permit.
6. The applicant shall comply with applicable provisions of the City's NPDES
stormwater discharge permit, LQMC Sections 8.70.010 et seq. (Stormwater
Management and Discharge Controls), and 13.24.170 (Clean Air/Clean Water);
Riverside County Ordinance No. 457; the California Regional Water Quality Control
Board — Colorado River Basin Region Board Order No. R7-2013-0011 and the State
Water Resources Control Board's Order No. 2009-0009-DWQ and Order No. 2012-
0006-DWQ.
A. For construction activities including clearing, grading, or excavation of land
that disturbs one (1) acre or more of land or that disturbs less than one (1)
acre of land but which is part of a construction project that encompasses
more than one (1) acre of land, the Permittee shall be required to submit a
Storm Water Pollution Protection Plan ("SWPPP") to the State Water
Resources Control Board.
The applicant or design professional can obtain the California Stormwater
Quality Association SWPPP template at www.cabmphandbooks.com for use
in their SWPPP preparation.
B. The applicant shall ensure that the required SWPPP is available for
inspection at the project site at all times through and including acceptance of
all improvements by the City.
C. The applicant's SWPPP shall include provisions for all of the following Best
Management Practices ("BMPs") (LQMC Section 8.70.020 (Definitions)):
1) Temporary Soil Stabilization (erosion control).
2) Temporary Sediment Control.
3) Wind Erosion Control.
4) Tracking Control.
5) Non -Storm Water Management.
6) Waste Management and Materials Pollution Control.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 3 OF 14
D. All erosion and sediment control BMPs on an Erosion Control Plan proposed
by the applicant shall be approved by the City Engineer prior to any onsite or
offsite grading, pursuant to this project.
E. The SWPPP and BMPs shall remain in effect for the entire duration of project
construction until all improvements are completed and accepted by the City
Council.
F. The inclusion in the Homeowners' Association (HOA) Conditions, Covenants,
and Restrictions (CC&Rs), a requirement for the perpetual maintenance and
operation of all post -construction BMPs as required and the applicant shall
execute and record an agreement that provides for the perpetual
maintenance and operation of all post -construction BMPs as required.
7. Developer shall reimburse the City, within thirty (30) days of presentment of the
invoice, all costs and actual attorney's fees incurred by the City Attorney to review,
negotiate and/or modify any documents or instruments required by these conditions,
if Developer requests that the City modify or revise any documents or instruments
prepared initially by the City to effect these conditions. This obligation shall be paid
in the time noted above without deduction or offset and Developer's failure to make
such payment shall be a material breach of the Conditions of Approval.
8. Developer shall reimburse the City, within thirty (30) days of presentment of the
invoice, all costs and actual attorney's fees incurred by the City Attorney to review,
negotiate, amend and/or modify Development Agreement 2024-0001, including if
Developer requests implementing agreements or documents relating to the
Development Agreement. This obligation shall be paid in the time noted above
without deduction or offset and Developer's failure to make such payment shall be a
material breach of the Conditions of Approval.
9. Developer shall reimburse the City, within thirty (30) days of presentment of the
invoice, all costs and actual consultant's fees incurred by the City for engineering
and/or surveying consultants to review and/or modify any documents or instruments
required by this project. This obligation shall be paid in the time noted above
without deduction or offset and Developer's failure to make such payment shall be a
material breach of the Conditions of Approval.
PROPERTY RIGHTS
10. Prior to issuance of any permit(s), the applicant shall acquire or confer easements
and other property rights necessary for the construction or proper functioning of the
proposed development. Conferred rights shall include irrevocable offers to dedicate
or grant access easements to the City for emergency services and for maintenance,
construction and reconstruction of essential improvements.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 4 OF 14
11. Pursuant to the aforementioned condition, conferred rights shall include approvals
from the master developer or the HOA over easements and other property rights
necessary for construction and proper functioning of the proposed development, not
limited to access rights over proposed and/or existing private streets that access
public streets and open space/drainage facilities of the master development.
12. The applicant shall offer for dedication all public street rights -of -way in conformance
with the City's General Plan, Municipal Code, applicable specific plans, and/or as
required by the City Engineer.
13. The applicant shall retain for private use all private street rights -of -way in
conformance with the City's General Plan, Municipal Code, applicable specific plans,
and/or as required by the City Engineer.
IMPROVEMENT PLANS
As used throughout these Conditions of Approval, professional titles such as "engineer,"
"surveyor," and "architect" refer to persons currently certified or licensed to practice their
respective professions in the State of California.
14. Improvement plans shall be prepared by or under the direct supervision of qualified
engineers and/or architects, as appropriate, and shall comply with the provisions of
LQMC Section 13.24.040 (Improvement Plans).
15. The following improvement plans shall be prepared and submitted for review and
approval by the Public Works Department. A separate set of plans for each line item
specified below shall be prepared. The plans shall utilize the minimum scale
specified unless otherwise authorized by the City Engineer in writing. Plans may be
prepared at a larger scale if additional detail or plan clarity is desired. Note that the
applicant may be required to prepare other improvement plans not listed here
pursuant to improvements required by other agencies and utility purveyors.
A. Off -Site Street Improvements Plan 1" = 40' Horizontal, 1"= 4' Vertical
0
The street improvement plans shall include permanent traffic control and
separate plan sheet(s) (drawn at 20 scale) that show the meandering
sidewalk, mounding, and berming design in the combined parkway and
landscape setback area.
On -Site Street Improvements/Signing & Striping
1" = 40' Horizontal, 1"= 4' Vertical
C. On -Site Rough Grading / Storm Drain Plans 1" = 40' Horizontal
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 5 OF 14
D. PM-10 Plan 1" = 40' Horizontal
E. Erosion Control Plan 1" = 40' Horizontal
F. Final WQMP (Plan submitted in Report Form)
NOTE: A through F to be submitted concurrently
(Separate Storm Drain Plans if applicable)
G. On -Site Residential Precise Grading Plan 1" = 30'
Horizontal
Other engineered improvement plans prepared for City approval that are not listed
above shall be prepared in formats approved by the City Engineer prior to
commencing plan preparation.
"On -Site Precise Grading" plan is required to be submitted for approval by the
Building Official, Planning Manager, and the City Engineer.
All On -Site Signing & Striping Plans shall show, at a minimum; Stop Signs, Limit
Lines and Legends, No Parking Signs, Raised Pavement Markers (including Blue
RPMs at fire hydrants), and Street Name Signs per Public Works Standard Plans
and/or as approved by the City Engineer.
Grading plans shall normally include perimeter walls with Top Of Wall & Top Of
Footing elevations shown. All footings shall have a minimum of 1 foot of cover or
sufficient cover to clear any adjacent obstructions.
"On -Site Precise Grading Plan" plans shall normally include all on -site surface
improvements, including but not limited to finish grades for curbs & gutters, building
floor elevations, wall elevations, parking lot improvements, and accessible
requirements.
16. The City maintains standard plans, detail sheets, and/or construction notes for
elements of construction, which can be accessed via the Public Works Development
"Plans, Notes and Design Guidance" section of the City website
(www.laquintaca.gov). Please navigate to the Public Works home page and look for
the Standard Drawings hyperlink.
17. Upon completion of construction, and prior to final acceptance of the improvements
by the City, the applicant shall furnish the City with reproducible record drawings of
all improvement plans which were approved by the City. Each sheet shall be clearly
marked "Record Drawing" and shall be stamped and signed by the engineer or
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 6 OF 14
surveyor certifying to the accuracy and completeness of the drawings. The
applicant shall have all approved mylars previously submitted to the City, revised to
reflect the as -built conditions. The applicant shall employ or retain the Engineer of
Record (EOR) during the construction phase of the project so that the FOR can
make site visits in support of preparing "Record Drawing". However, if subsequent
approved revisions have been approved by the City Engineer and reflect said
"Record Drawing" conditions, the FOR may submit a letter attesting to said fact to
the City Engineer in lieu of mylar submittal.
IMPROVEMENT SECURITY AGREEMENTS
18. Prior to grading permit issuance, the applicant shall furnish a fully secured and
executed Subdivision Improvement Agreement ("SIA") guaranteeing the
construction of such on -site and off -site improvements and the satisfaction of its
obligations for same related to this Site Development Permit, Tract Map, and
Development Agreement.
19. Any Subdivision Improvement Agreement ("SIA") entered into by and between the
applicant and the City of La Quinta for the purpose of guaranteeing the completion
of any improvements related to this Site Development Permit, Tract Map, and
Development Agreement shall comply with the provisions of LQMC Chapter 13.28
(Improvement Security).
20. Improvements to be made, or agreed to be made, shall include the removal of any
existing structures or other obstructions which are not a part of the proposed
improvements and shall provide for the setting of the final survey monumentation.
When improvements are phased through a "Phasing Plan" or an administrative
approval (e.g., Site Development Permits), all off -site improvements and common
on -site improvements (e.g., backbone utilities, retention basins, perimeter walls,
landscaping, and gates) shall be constructed, or secured through a SIA, prior to the
issuance of any permits in the first phase of the development, or as otherwise
approved by the City Engineer.
Improvements and obligations required of each subsequent phase shall either be
completed or secured through an SIA prior to the completion of homes or the
occupancy of permanent buildings within such latter phase or as otherwise
approved by the City Engineer.
In the event the applicant fails to construct the improvements for the development or
fails to satisfy its obligations for the development in a timely manner, pursuant to the
approved phasing plan, the City shall have the right to halt the issuance of all
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 7 OF 14
permits, and/or final inspections, withhold other approvals related to the
development of the project, or call upon the surety to complete the improvements.
21. Depending on the timing of the development of this Site Development Permit and
the status of the off -site improvements at the time, the applicant may be required to:
A. Construct certain off -site improvements.
B. Construct additional off -site improvements, subject to reimbursement of costs
by others.
C. Reimburse others for those improvements previously constructed that are
considered to be an obligation of this site development permit.
D. Secure the costs for future improvements that are to be made by others.
E. To agree to any combination of these actions, as the City may require.
Off -site improvements should be completed on a first -priority basis. The applicant
shall complete Off -Site Improvements in the first phase of construction or by the
issuance of the 20% Building Permit.
In the event that any of the improvements required for this development are
constructed by the City, the applicant shall, prior to the approval of the Final Map or
the issuance of any permit related thereto, reimburse the City for the costs of such
improvements.
22. For the Subdivision Improvement Agreement ("SIX), the applicant shall submit
detailed construction cost estimates for all proposed on -site and off -site
improvements, including an estimate for the final survey monumentation, for
checking and approval by the City Engineer. Such estimates shall conform to the
unit cost schedule as approved by the City Engineer.
Estimates for improvements under the jurisdiction of other agencies shall be
approved by those agencies and submitted to the City along with the applicant's
detailed cost estimates.
23. Should the applicant fail to construct the improvements forthe development orfail to
satisfy its obligations for the development in a timely manner, the City shall have the
right to halt the issuance of building permits and/or final building inspections,
withhold other approvals related to the development of the project, or call upon the
surety to complete the improvements.
GRADING
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 8 OF 14
24. The applicant shall comply with the provisions of LQMC Section 13.24.050 (Grading
Improvements).
25. Prior to occupancy of the project site for any construction or other purposes, the
applicant shall obtain a grading permit approved by the City Engineer.
26. To obtain an approved grading permit, the applicant shall submit and obtain
approval of all of the following:
A. A grading plan prepared by a civil engineer registered in the State of
California,
B. A preliminary geotechnical ("soils") report prepared by a professional
registered in the State of California,
C. A Fugitive Dust Control Plan prepared in accordance with LQMC Chapter
6.16 (Fugitive Dust Control), and
D. An Erosion Control Plan with Best Management Practices prepared in
accordance with LQMC Sections 8.70.010 and 13.24.170 (NPDES
Stormwater Discharge Permit and Storm Management and Discharge
Controls).
E. A Final WQMP prepared by an authorized professional registered in the
State of California.
All grading shall conform with the recommendations contained in the Preliminary
Soils Report and shall be certified as being adequate by a soil engineer or
engineering geologist registered in the State of California.
The applicant shall furnish security in a form acceptable to the City and in an
amount sufficient to guarantee compliance with the approved Fugitive Dust Control
Plan provisions as submitted with its application for a grading permit. Additionally,
the applicant shall replenish said security if expended by the City of La Quinta to
comply with the Plan as required by the City Engineer.
27. The applicant shall maintain all open graded, undeveloped land in order to prevent
wind and/or water erosion of such land. All open graded, undeveloped land shall
either be planted with interim landscaping or stabilized with such other erosion
control measures as were approved in the Fugitive Dust Control Plan.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 9 OF 14
28. Grading within the perimeter setback and parkway areas shall have undulating
terrain and shall conform with the requirements of LQMC Section 9.60.240(F)
except as otherwise modified by this condition. The maximum slope shall not
exceed 3:1 anywhere in the landscape setback area, except for the backslope (i.e.,
the slope at the back of the landscape lot), which shall not exceed 2:1 if fully planted
with ground cover. The maximum slope in the first six (6) feet adjacent to the curb
shall not exceed 4:1 when the nearest edge of the sidewalk is within six feet (6') of
the curb, otherwise, the maximum slope within the right of way shall not exceed 3:1.
All unpaved parkway areas adjacent to the curb shall be depressed one and one-
half inches (1.5") in the first eighteen inches (18") behind the curb.
29. Building pad elevations on the rough grading plan submitted for City Engineer's
approval shall conform with pad elevations shown on the preliminary grading plan
unless the pad elevations have other requirements imposed elsewhere in these
Conditions of Approval.
30. The applicant shall minimize the differences in elevation between the adjoining
properties and the lots within this development.
Where compliance within the above -stated limits is impractical, the City may
consider alternatives that are shown to minimize safety concerns, maintenance
difficulties, and neighboring owner dissatisfaction with the grade differential.
31. Prior to any site grading or regrading that will raise or lower any portion of the site by
more than plus or minus half of a foot (05) from the elevations shown on the
approved Site Development Permit Preliminary Grading Plan, the applicant shall
submit the proposed grading changes to the City Engineer for a substantial
conformance review.
32. Prior to the issuance of a building permit for any building lot, the applicant shall
provide a lot of pad certification stamped and signed by a qualified engineer or
surveyor with applicable compaction tests and over -excavation documentation.
Each pad certification shall list the pad elevation as shown on the approved grading
plan, the actual pad elevation, and the difference between the two, if any. Such pad
certification shall also list the relative compaction of the pad soil. The data shall be
organized by lot number and listed cumulatively if submitted at different times.
nRAINA(-,F
33. Stormwater handling shall conform with the approved hydrology and drainage report
for Tract Map 31852. Nuisance water shall be disposed of in an approved manner.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 10 OF 14
34. The applicant shall comply with the provisions of LQMC Section 13.24.120
(Drainage), Retention Basin Design Criteria, Engineering Bulletin No. 06-16 —
Hydrology Report with Preliminary Hydraulic Report Criteria for Storm Drain
Systems and Engineering Bulletin No. 06-015 - Underground Retention Basin
Design Requirements. More specifically, stormwater falling on -site during the 100-
year storm shall be retained within the development unless otherwise approved by
the City Engineer. The design storm shall be either the 1 hour, 3 hour, 6 hour or 24
hour event producing the greatest total run off.
35. Nuisance water shall be retained on site. Nuisance water shall be disposed of per
approved methods contained in Engineering Bulletin No. 06-16 — Hydrology Report
with Preliminary Hydraulic Report Criteria for Storm Drain Systems and Engineering
Bulletin No. 06-015 - Underground Retention Basin Design Requirements.
36. In the design of retention facilities, the maximum percolation rate shall be two inches
per hour. The percolation rate will be considered to be zero unless the applicant
provides site -specific data indicating otherwise and as approved by the City
Engineer.
37. The project shall be designed to accommodate purging and blowoff water (through
underground piping and/or retention facilities) from any on -site or adjacent well sites
granted or dedicated to the local water utility authority as a requirement for
the development of this property.
38. No fence or wall shall be constructed around any retention basin unless approved
by the Design and Development Director and the City Engineer.
39. For on -site above -ground common retention basins, retention depth shall be
according to Engineering Bulletin No. 06-16 — Hydrology Report with Preliminary
Hydraulic Report Criteria for Storm Drain Systems. Side slopes shall not exceed 3:1
and shall be planted with maintenance -free ground cover. Additionally, retention
basin widths shall be not less than 20 feet at the bottom of the basin.
40. Stormwater may not be retained in landscaped parkways or landscaped setback
lots. Only incidental storm water (precipitation which directly falls onto the setback)
will be permitted to be retained in the landscape setback areas. The perimeter
setback and parkway areas in the street right-of-way shall be shaped with berms
and mounds, pursuant to LQMC Section 9.100.040(B)(7).
41. The design of the development shall not cause any increase in flood boundaries and
levels in any area outside the development.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 11 OF 14
42. The development shall be graded to permit storm flow in excess of retention
capacity to flow out of the development through a designated overflow and into the
historic drainage relief route.
43. Storm drainage historically received from adjoining property shall be received and
retained or passed through into the historic downstream drainage relief route.
44. The applicant shall comply with applicable provisions for post -construction runoff per
the City's NPDES stormwater discharge permit, LQMC Sections 8.70.010 et seq.
(Stormwater Management and Discharge Controls), and 13.24.170 (Clean Air/Clean
Water); Riverside County Ordinance No. 457; and the California Regional Water
Quality Control Board — Colorado River Basin (CRWQCB-CRB) Region Board
Order No. R7-2013-0011 and the State Water Resources Control Board's Order No.
2009-0009-DWQ and Order No. 2010-0014-DWQ.
A. For post -construction urban runoff from New Development and
Redevelopments Projects, the applicant shall implement requirements of the
NPDES permit for the design, construction, and perpetual operation and
maintenance of BMPs per the approved Water Quality Management Plan
(WQMP) for the project as required by the California Regional Water Quality
Control Board — Colorado River Basin (CRWQCB-CRB) Region Board Order
No. R7-2013-0011.
B. The applicant shall implement the WQMP Design Standards per (CRWQCB-
CRB) Region Board Order No. R7-2013-0011 utilizing BMPs approved by the
City Engineer. A project -specific WQMP shall be provided which incorporates
Site Design and Treatment BMPs utilizing first flush infiltration as a preferred
method of NPDES Permit Compliance for Whitewater River receiving water,
as applicable.
C. The developer shall execute and record a Stormwater Management/BMP
Facilities Agreement that provides for the perpetual maintenance and
operation of stormwater BMPs.
UTILITIES
45. The applicant shall comply with the provisions of LQMC Section 13.24.110 (Utilities).
46. The applicant shall obtain the approval of the City Engineer for the location of all
utility lines within any right-of-way and all above -ground utility structures, including,
but not limited to, traffic signal cabinets, electric vaults, water valves, and telephone
stands, to ensure optimum placement for practical and aesthetic purposes.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 12 OF 14
47. Existing overhead utility lines within or adjacent to the proposed development and all
proposed utilities shall be installed underground.
All existing utility lines attached to joint -use 92 KV transmission power poles are
exempt from the requirement to be placed underground.
48. Underground utilities shall be installed prior to the overlying hardscape. For
installation of utilities in existing improved streets, the applicant shall comply with
trench restoration requirements maintained or required by the City Engineer.
The applicant shall provide certified reports of all utility trench compaction for
approval by the City Engineer.
CONSTRUCTION
49. The City will conduct final inspections of habitable buildings only when the buildings
have improved street and (if required) sidewalk access to publicly -maintained
streets. The improvements shall include required traffic control devices, pavement
markings, and street name signs. If on -site streets in residential developments are
initially constructed with partial pavement thickness, the applicant shall complete the
pavement prior to final inspections of the last ten percent of homes within the
development or when directed by the City, whichever comes first.
LANDSCAPE AND IRRIGATION
50. The applicant shall comply with LQMC Sections 13.24.130 (Landscaping Setbacks)
& 13.24.140 (Landscaping Plans).
51. The applicant shall provide landscaping in the required setbacks, retention basins,
and common lots.
52. All new landscape areas shall have landscaping and permanent irrigation
improvements in compliance with the City's Water Efficient Landscape regulations
contained in LQMC Section 8.13 (Water Efficient Landscape).
53. The applicant shall submit final landscape plans for review, processing, and
approval to the Design and Development Department in accordance with the Final
Landscape Plan application process. Design and Development Director approval of
the final landscape plans is required prior to issuance of the first building permit
unless the Director determines extenuating circumstances exist which justify an
alternative processing schedule.
NOTE: Plans are not approved for construction until signed by the appropriate City
official, including the Design and Development Director.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 13 OF 14
Prior to final approval of the installation of landscaping, the Landscape Architect of
record shall provide the Design and Development Department with a letter stating
he/she has personally inspected the installation and that it conforms with the final
landscaping plans as approved by the City.
If staff determines during the final landscaping inspection that adjustments are
required in order to meet the intent of the Planning Commission's approval, the
Design and Development Director shall review and approve any such revisions to
the landscape plan.
MAINTENANCE
54. The applicant shall comply with the provisions of LQMC Section 13.24.160
(Maintenance).
55. The applicant shall make provisions for the continuous and perpetual maintenance
of common areas, perimeter landscaping up to the curb, access drives, sidewalks,
and stormwater BMPs.
56. The applicant shall comply with Development Agreement 2024-0001 (see, e.g.,
Section 3.1 therein) with respect to the timing of, and preparation, review, and
approval by the City and other state regulatory authorities, a declaration of
covenants, conditions, and restrictions (CC&Rs) to ensure compliance of Conditions
of Approval No. 54 and 55 (above) by a duly formed homeowners association; the
applicant shall ensure full compliance with the requirements of the Davis -Stirling Act
to ensure that the Project constitutes a "planned development" as defined in
California Civil Code Section 4175 (or successor provision) pursuant to the Davis -
Stirling Act, which, among other requirements, shall require the recording by
Developer of CC&Rs that, at a minimum, meets the requirements of a "declaration"
as defined and described in the Davis -Stirling Act and to memorialize specified
conditions of approval that are part of the Project Approvals.
FIRE DEPARTMENT
57. Fire Apparatus Access and Water Supply: Prior to building permit issuance for new
construction, an inspection of the fire hydrant system shall be performed, and
construction of the access road shall be confirmed.
58. Driveway Gate Access: All electronically operated gates shall be provided with Knox
key switches and automatic sensors for access.
PLANNING COMMISSION RESOLUTION 2024-017
CONDITIONS OF APPROVAL - RECOMMENDED
SITE DEVELOPMENT PERMIT 2024-0001
DEVELOPMENT AGREEMENT 2024-0001
PROJECT: BRAVO ESTATES
ADOPTED: NOVEMBER 12, 2024
PAGE 14 OF 14
59. Residential fire sprinklers are required in all one and two-family dwellings per the
California Residential Code (CRC). Plans must be submitted to the Office of the Fire
Marshal for review and be approved prior to installation. Reference CRC 313.2
FEES AND DEPOSITS
60. Permits issued under this approval shall be subject to the provisions of the
Development Impact Fee and Transportation Uniform Mitigation Fee programs in
effect at the time of issuance of building permit(s).
61. The applicant shall comply with the provisions of LQMC Section 13.24.180 (Fees
and Deposits). These fees include all deposits and fees required by the City for plan
checking and construction inspection. Deposits and fee amounts shall be those in
effect when the applicant makes an application for plan check and permits.