2019-01-09 OTLQ, LLC - Escrow Infota Qa�t&
-- GEM rj'ibc DESERT —
MEMORANDUM
TO: Frank J. Spevacek, City Manager
Karla Campos, Finance Director
FROM: Julie Mignogna, Management Analyst
DATE: January 8, 2019
RE: La Quinta Village Complete Streets Project -Acceptance of Escrow
instructions and request for wired funds for OTLQ, LLC (APN: 770-123-
001 and Escrow NO. S13120113)
Attached for your signature is the document referenced above.
Please sign the attached instructions and return to City Clerk for processing and
distribution.
Requesting department shall check and attach the items below as appropriate:
X Contract payments will be charged to account number: 401-0000-74010 Project Act 151603L
X Amount of Agreement, Amendment, Change Order, etc.: $11,044.00
N/A A Conflict of Interest Form 700 Statement of Economic Interests from Consultant(s) is attached with
no reportable interests in LQ or reportable interests
A Conflict of Interest Form 700 Statement of Economic Interests is not required because this Consultant
does not meet the definition in FPPC regulation 18701(2).
Authority to execute this agreement is based upon:
X Approved by the City Council on September 18, 2018 (Closed Session Item No. 2)
City Manager's signature authority provided under Resolution No. 2018-014 for budgeted expenditures
of $50,000 or less. This expenditure is $ and authorized by [Council, Director, etc]
Initial to certify that 3 written informal bids or proposals were received and considered in selection
The following reauired documents are attached to the aareement:
N/A Insurance certificates as required by the agreement (approved by Risk Manager on date)
N/A Performance bonds as required by the agreement (originals)
N/A City of La Quinta Business License number
N/A A requisition for a Purchase Order has been prepared (amounts over $5,000)
N/A A copy of this Cover Memo has been emailed to Finance (Sandra)
Revised May 2017
CONSENT CALENDAR ITEM NO. 1
CITY COUNCIL
MINUTES
TUESDAY SEPTEMBER 1$ 2018
CALL TO ORDER
A regular meeting of the La Quinta City Council was called to order at 3:00
p.m. by Mayor Evans.
PRESENT: Councilmembers Fitzpatrick, Pena, Radi, Sanchez, Mayor Evans
ABSENT: None
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - None
CONFIRMATION OF AGENDA
City Clerk Radeva requested that the title and motion for Business Session
Item No. 2 be amended to introduce an Ordinance amending Section 6.14.010
and not Chapter 6.14 of the La Quinta Municipal Code pertaining to removal
of liquid waste.
Councilmember Radi said he would like to provide comments on Consent
Calendar Item No. 11.
Councilmember Pena said he will recuse himself from participating in the
discussion on Closed Session Item No. 2 due to a potential conflict of interest
stemming from the proximity of his residence to some of the real properties
under negotiation.
Mayor Evans requested to add two items under Announcements,
Presentations, and Written Communications portion of the agenda:
1. La Quinta's Helen Putnam Award for Leadership and Development
Excellence from the League of California Cities
2. Food in Need of Distribution (FIND) Food Bank presentation
Council concurred.
CLOSED SESSION
1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT
TO GOVERNMENT CODE SECTION 54956.8 FOR PROPERTY
LOCATED AT: SILVERROCK RESORT (APNs 770-200-026; 776-
CITY COUNCIL MINUTES Page 1 of 14 SEPTEMBER 18, 2018
rA
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Enhancing Lives Through Infrastructure
December 20, 2018
Monika Radeva
City Clerk
City of La Quinta
78495 Calle Tampico
La Quinta, CA 92253
VIA HAND DELIVERY
Regarding: La Quinta Village Complete Streets- A Road Diet Project
Request for Funds
Escrow No. SBL20113 / APN: 770-123-001
Owner: OTLQ, LLC
Dear Ms. Radeva:
Please consider this letter as our request for funds in connection with the above -referenced project. In
accordance with the executed Right of Way Contract dated November 21, 2018. The requested funds represents
the full amount for the acquisition plus escrow cost to acquire the interest located at 78100 Calle Tampico, La
Quinta, CA. Attached please find an estimated closing statement and escrow instructions for your review:
Upon your approval, we hereby request funds via -wire or check made payable to:
Lawyers Title Company
Reference: Colleen Graves / Escrow No. SBL20113-LT143-CGC /
Permanent Road Easement APN: 770-123-001
for the amount of $11,044.00
Upon your signature approval, please return all signed documents to my attention in the enclosed envelope with
the FEDEX label provided. If you have any questions please contact John M. Cutler, Senior Project Manager.
Sincerely,
Overland, Pacific & Cutler, LLC
John M. Cutler
Senior Project Manager
Cc:
Enclosures
www.OPCservices.com 12280 Market Street, Suite 200, Riverside, CA 92501
ph 951.683.2353 1 fx 951.683.3901
i IN: Lawyers Title. Escrow Division
625 E. Carnegie Drive, Suite 105
.. San Bernardino, CA 92408
Phone: (909) 963-5588 Fax: (866) 696-3389
Escrow Officer: Colleen Graves
Escrow Officer's e-mail: cgraves@Itic.com
THE ESCROW HOLDER IS LAWYERS TITLE COMPANY WHICH IS LICENSED BY THE CALIFORNIA
DEPARTMENT OF INSURANCE.
ACCEPTANCE ESCROW INSTRUCTIONS
THIS DOCUMENT WILL AFFECT YOUR LEGAL RIGHTS - READ IT CAREFULLY!
TO: Lawyers Title Company
DATE: December 19, 2018
ESCROW NO.: SBL20113
ESCROW OFFICER: Colleen Graves, CSEO, CEI, SASIP
Lawyers Title Company is in receipt of that certain Agreement of Purchase and Sale and Joint
Escrow Instructions, (hereinafter referred to as Agreement), dated November 21, 2018 by and
Between OTLQ, LLC, a Delaware limited liability company (hereinafter referred as seller(s)),
and City of La Quinta, a municipal corporation, (hereinafter referred to as buyer(s)), and
hereby agrees to:
A. Accept the hereinabove referenced Agreement under our Escrow No. SBL20113 be escrow
holder under said instructions; and
B. Be bound by said instructions in the performance of its duties as escrow holder; provided,
however, the undersigned shall have no obligations, liability or responsibility under any
amendment to said instructions unless and until the same be accepted by the undersigned in
writing; and
C. THIS ACCEPTANCE OF ANY AGENCY AS ESCROW HOLDER IS FURTHER CONDITIONED ON THE
FOLLOWING:
1. Escrow holder's General Provisions and Addendum(s) to Escrow Instructions - Handling
of Funds, are incorporated herein by this reference;
2. Escrow holder reserves the right to require mutual instructions in the event this
escrow is terminated, and upon any such termination title and/or escrow charges for
services rendered may be due;
3. Escrow holder reserves the right to require mutual disbursement instructions in the
event such disbursement is to be made pursuant to termination of escrow or liquidated
damage provision contained in said Agreement;
4. Escrow holder reserves the right to require the parties to deliver written approval,
satisfaction or waiver of all conditions precedent to (A) any release of funds and/or (B)
close of this escrow;
5. Any provision for release (payment) of funds prior to the close of escrow is made with
knowledge of the conditions) of escrow and title to the property that is the subject of
this escrow. The escrow holder shall have no responsibility or liability except
compliance with any such release (payment) instructions and any payment so made is
without recourse upon Lawyers Title Company.
PLEASE INITIAL C Page 1 of 8
Escrow No.: SBL20113
6. All parties understand that Lawyers Title Company may not be able to provide
underwriting approval with regard to issuance of policy(ies) of title insurance
requested within a reasonable period of time to review all requirements and
documentation supporting same, MINIMUM OF THREE (3) BUSINESS DAYS. Copies of
draft documentation will be accepted to commence underwriting approval process;
We appreciate this opportunity to serve you. Please notify us immediately in the event there are
changes in terms, documentation or time periods set forth.
Sincerely,
/s/ Colleen Graves
Colleen Graves, CSEO, CEI
Senior Escrow Officer
THE DUTIES AND RESPONSIBILITIES OF THE ESCROW HOLDER HEREUNDER COMMENCE ONLY
UPON RECEIPT OF COPIES OF THIS LETTER SIGNED BY ALL PARTIES. The undersigned do(es)
hereby acknowledge receipt, and agreement with the conditions of acceptance of the escrow
agency as set forth above.
BUYERS
Cit of La Q int
_.L�L -
V: FRANK . PE ACEK, City Manager
City of Quinta, California
SELLERS
OTLQ, LLC, a Delaware limited liability company
By: Marvin Investments Inc., a California
corporation
its Managing Member
By: Marvin Wells, President
LAWYERS TITLE COMPANY GENERAL PROVISIONS
Please read this important information
(Revised November 2011)
1. DEPOSIT OF FUNDS
The law dealing with the disbursement of funds requires that all funds be available for withdrawal as a matter of right by the
title entity's escrow and/or sub escrow account prior to disbursement of any funds. Only cash or wire -transferred funds can
be given immediate availability upon deposit. Cashier's checks, teller's checks and Certified checks, payable to Lawyers_
Title Company which clear through the,California Fedgrall Reserve District 12 may be available one business day
after deposit. All other funds such as personal, corporate or partnership checks and drafts are subject to mandatory holding
periods which may cause material delays in disbursement of funds in this escrow. In order to avoid delays, all fundings
should be wire transfer. Outgoing wire transfers will not be authorized until confirmation of the respective incoming wire
transfer or of availability of deposited checks. Parties are aware and understand the California Insurance Code Section
12413.1 {also known as "Good Funds").
Deposit of funds into oeneraf escrow trust account unless instructed a herwise. You may instruct Escrow Holder to deposit
your funds into an interest bearing account by signing and returning the "Notice of Opportunity to Open Interest Bearing
Account", which has been provided to you. If you do not so instruct us, then all funds received in this escrow shall be
deposited with other escrow funds in one or more general escrow trust accounts, which include both non -interest bearing
demand accounts and other depository accounts of Escrow Holder, in any state or national bank or savings and loan
association insured by the Federal Deposit Insurance Corporation (the "depository institutions") and may be transferred to
any other such escrow trust accounts of Escrow Holder or one of its affiliates, either within or outside the State of California.
A general escrow trust account is restricted and protected against claims by third parties and creditors of Escrow Holder and
its affiliates.
Receiot of benefits by Escrow Holder and affiliates. The parties to this escrow acknowledge that the maintenance of such
general escrow trust accounts with some depository Institutions may result in Escrow Holder or its affiliates being provided
with an array of bank services, accommodations or other benefits by the depository institution. Some or all of these benefits
may be considered interest due you under California Insurance Code Section 12413,5. Escrow Holder or its affiliates also
may elect to enter into other business transactions with or obtain loans for Investment or other purposes from the
PLEASE INITIAL Page 2 of 7
Escrow No.: SBL20113
depository institution. All such services, accommodations, and other benefits shall accrue to Escrow Holder or its affiliates
and Escrow Holder shall have no obligation to account to the parties to this escrow for the value of such services,
accommodations, interest or other benefits.
Said funds will not earn interest unless the instructions otherwise specifically state that funds shall be deposited in an
interest -bearing account. All disbursements shall be made by check of Lawyers Title Company. The principals to this escrow
are hereby notified that the funds deposited herein are insured only to the limit provided by the Federal Deposit Insurance
Corporation. Any instruction for bank wire will provide reasonable time or notice for Escrow Holder's compliance with such
instruction. Escrow Holder's sole duty and responsibility shall be to place said wire transfer instructions with its wiring bank
upon confirmation of (1) satisfaction of conditions precedent or (2) document recordation at close of escrow. Escrow Holder
will NOT be held responsible for lost interest due to wire delays caused by any bank or the Federal Reserve system, and
recommends that all parties make themselves aware of banking regulations with regard to placement of wires.
In the event there Is Insufficient time to place a wire upon any such confirmation or the wires have closed for the day, the
parties agree to provide written instructions for an alternative method of disbursement. WITHOUT AN ALTERNATIVE
DISBURSEMENT INSTRUCTION, FUNDS WILL BE HELD IN TRUST IN A NON -INTEREST BEARING ACCOUNT UNTIL THE NEXT
OPPORTUNITY FOR WIRE PLACEMENT.
2. PRORATIONS AND ADJUSTMENTS
All prorations and/or adjustments called for in this escrow are to be made on the basis of a thirty (30) day month unless
otherwise instructed in writing. You are to use information contained on last available tax statement, rental statement as
provided by the Seller, beneficiary's statement and fire insurance policy delivered into escrow for the prorations provided for
herein.
3. GENERALISPECIAL PROPERTY TAXES, SUPPLEMENTAL TAX BILLS, BONDS AND ASSESSMENTS
General/Special Property Taxes: Escrow holder shall prorate general and special taxes for the current fiscal year, based
on the most recent and available tax bill from the County Assessor's for this subject property.
Supplemental Taxes: Buyer is advised the County Tax Assessor will revalue property which changes ownership or contains
new construction, and this revaluation may result in a supplemental assessment. The supplemental taxes will be assessed
from the date of the change in ownership or completion of construction. In addition, a [fen of supplemental taxes for the
current fiscal year, if any, assessed pursuant to Chapter 3.5 (commencing with Section 75) of the California Revenue and
Taxation Code will be prorated at the close of escrow.
Bonds and Assessments: All existing unpaid bonds and assessments levied or assessed prior to the date of the close of
escrow shall be prorated, based upon the latest available public information. Any assessments made by the Tax Assessor
prior to closing but not part of the public records and not disclosed by the Seller in writing to escrow holder, including but
not limited to: weed abatement and code violations, shall not be the responsibility of escrow holder and will not be included
in any prorations at closing. The parties agree to make any adjustments outside of escrow.
Refunds: Any tax refunds issued to Seller outside of this escrow by the Tax Collectors office which are not of public record
and are not disclosed in writing to escrow holder prior to the close of escrow, shall not be the responsibility of escrow holder
in the proration calculations used for the closing of this transaction. The parties are to make any adjustments OUTSIDE OF
THIS ESCROW and agree the escrow holder shall have no responsibility regarding same. It is the sole responsibility of the
Seller to disclose to the Buyer if such a refund is received.
Any tax bills, supplemental tax bills, bonds and assessments issued, levied or adjusted after the close of this
transaction shall be handled directly between Buyer and Seller, outside of escrow.
4. UTILITIES/POSSESSION
Transfer of utilities and possession of the premises are to be settled by the parties directly and outside escrow.
S. PREPARATION AND RECORDATION OF INSTRUMENTS
Escrow Holder is authorized to prepare, obtain, record and deliver the necessary instruments to carry out the terms and
conditions of this escrow and to order the policy of title insurance to be issued at close of escrow as called for in these
instructions. Close of escrow shall mean the date instruments are recorded.
6. SPECIAL RECORDING; LATE CONFIRMATION OF RECORDING
Seller's proceeds may not be available, and encumbrances may not be paid off, until the first business day following the day
of recording if 1) documents recorded at close of escrow area recorded later in the day than 8:00 a.m. (which is called a
"special recording") or if 2) the County Recorder does not provide confirmation of recording within sufficient time to allow
same -day disbursement of funds by wire or check.
7. AUTHORIZATION TO FURNISH COPIES
You are authorized to furnish copies of these instructions, supplements, amendments, notices of cancellation and closing
statements, to the Real Estate Broker(s) and Lender(s) named in this escrow.
8. FEES PAID IN ADVANCE:
Escrow holder is instructed to use Buyer's funds deposited into escrow to pay any advanced fees required prior to close of
escrow for such items as, but not limited to, charges by a Homeowners Association or their designated management
company for ordering documents, lender's charges for a payoff statement, or city's charge for city reports or inspections
related thereto. You are authorized, at the close of escrow, to charge the appropriate party for any fees advanced. In the
event escrow should cancel, Buyer and Seller agree to handle the exchange of any documents, inspections, reports and/or
funds advanced, outside of this escrow. Escrow holder shall not be held liable or responsible for the reimbursement of funds
advanced or the return of any documentation provided to Buyer.
9. FEES, CHARGES AND MESSENGER FEES
PLEASE INITIAL Page 3 of 7
Escrow No.: SBL20113
Escrow, Title and Overnight Fees are to be charged to the principals' accounts in accordance with the posted rates filed with
the Department of Insurance. The charges which the Company will make for sending documents and/or checks via
overnight services shall be the amount actually billed providing a bill is secured by escrow holder. Special messenger fees
will be charged at the actual cost of the messenger service. Recording charges are to be charged to the principals' accounts
In accordance with customary practices in this County, unless Escrow Holder Is instructed to do otherwise in writing.
10. RIGHT OF CANCELLATION
Any principal instructing you to cancel this escrow shall file notice of cancellation in your office In writing. You shall, within
two (2) working days thereafter, deliver one copy of such notice to each of the other principals at the addresses stated in
this escrow. UNLESS WRITTEN OB3ECTIOH TO CANCELLATION IS FILED IN YOUR OFFICE BY A PRINCIPAL WITHIN TEN (10)
DAYS AFTER DATE OF SUCH MAILING, YOU ARE AUTHORIZED TO COMPLY WITH SUCH NOTICE AND DEMAND PAYMENT OF
YOUR CANCELLATION CHARGES. If written objection is filed, you are authorized to hold all money and Instruments in this
escrow and take no further action until otherwise directed, either by the principals' mutual written instructions, or by final
order of a court of competent jurisdiction.
11. RIGHT OF RESIGNATION
Escrow Holder has the right to resign upon written notice delivered to the principals herein. If such right is exercised, all
funds and documents shall be returned to the party who deposited them and Escrow Holder shall have no liability
hereunder.
12. HAZARD INSURANCE POLICIES
Buyer shall obtain Flre/Hazard Insurance coverage, if applicable, on the subject property prior to the close of escrow, as per
requirements of the new lender. If Buyer has not paid policy premium prior to close of escrow, Escrow Holder is authorized
and instructed to debit Buyer's account with the cost of the annual premium and pay such premium to the insurance agent
and/or company, at the close of escrow, from funds deposited by Buyer. Escrow Holder is instructed to request that the
Insurance company deliver the original policy and copies, as required, to all necessary parties. In the event the property is
covered by a blanket insurance policy, Buyer shall provide Escrow Holder with a Certificate of Insurance. FAILURE TO
PROVIDE FIRE/HAZARD INSURANCE WILL DELAY THE CLOSE OF ESCROW. Escrow Holder has no obligation to obtain fire or
other insurance in the absence of a written instruction to do so.
Further, there shall be no responsibility upon the part of Escrow Holder to renew hazard insurance policy(s) upon expiration
or otherwise keep it in force either during or subsequent to the close of escrow. Cancellation of any existing hazard
insurance policies Is to be handled directly by the principals, and outside of escrow.
13. ACTION IN INTERPLEADER
The principals hereto expressly agree that you, as Escrow Holder, have the absolute right at your election to file an action in
Interpleader requiring the principals to answer and Iitlgate their several claims and rights among themselves and you are
authorized to deposit with the clerk of the court all documents and funds held in this escrow. In the event such action is
filed, the principals jointly and severally agree to pay your cancellation charges and costs, expenses and reasonable
attorney's fees which you are required to expend or incur in such Interpleader action, the amount thereof to be fixed and
judgment therefore to be rendered by the court. Upon the filing of such action, you shall thereupon be fully released and
discharged from all obligations imposed by the terms of this escrow or otherwise.
14. TERMINATION OF AGENCY OBLIGATION
If there is no action taken on this escrow within six (6) months after the "time limit date" as set forth in the escrow
instructions or written extension thereof, your agency obligation shall terminate at your option and all documents, monies
or other items held by you shall be returned to the parties depositing same. In the event of cancellation of this escrow,
whether it be at the request of any of the principals or otherwise, the fees and charges due Lawyers Title Company,
including expenditures incurred and/or authorized shall be borne equally by the parties hereto (unless otherwise agreed to
specifically).
15. CONFLICTING INSTRUCTIONS/DISPUTES
Upon receipt of any conflicting instructions, you are to take no action in connection with this escrow until non -conflicting
instructions are received from all of the principals to this escrow (subject to sections 10. 11, 13 and 14 above].
No notice, demand or change of instruction shall be of any effect in this escrow unless given in writing by all parties affected
thereby. In the event a demand for funds and/or documents deposited with Escrow Holder in connection with this escrow is
made and which is not concurred in by all parties hereto, Escrow bolder, notwithstanding which party made such demand,
may elect to do any of the following:
(i) Take no further action in connection with this escrow and continue to hold such funds and/or documents until
receipt of mutual concurring instructions from all parties to this escrow as to the disposition of such funds and/or
documents;
(ii) Commence an action in interpleader and obtain an order from the court allowing Escrow Holder to deposit such
funds and/or documents with the court, in which case Escrow Holder shall have no further liability or obligations
with respect to this escrow; or
(iii)In the event that any party commences an action against any other party with respect to this escrow, deposit such
funds and/or documents with the court, in which case Escrow Holder shall have no further liability or obligations
with respect to this escrow.
In the event Escrow Haider Interpleads any funds and/or documents with any court pursuant to either subparagraphs (II) or
(iii) above, Escrow Holder shall be entitled to reimbursement of its reasonable attorneys' fees and expenses of litigation in
connection with such action. Escrow holder shall also be entitled to any cancellation fees or cq is incurred as a
result of this transaction.
16. REIMBURSEMENT ATTORNEY FEES/ESCROW HOLDER
PLEASE INITIA(9 � _ Page 4 of 7
Escrow No.: SBL20113
In the event that a suit is brought by any party or parties to these escrow instructions to which the Escrow Holder is named
as a party which results In a judgment in favor of the Escrow holder and against a principal or principals herein, the
principals or principals' agent agree to pay said Escrow Holder all costs, expenses and reasonable attorney's fees which it
may expend or incur in said suit, the amount thereof to be fixed and judgment therefore to be rendered by the court in said
suit.
17. 0ELIVERY/RECEIPT
Delivery to principals as used in these Instructions, unless otherwise stated, shall be by personai delivery to the principal,
regular mail, email or fax to any of the contact Information provided In these instructions. If delivered by regular mail,
receipt is determined to be 72 hours after such mailing. All notices, change of Instructions, communications and documents
addressed to Escrow Holder are to be delivered in writing to the office of Lawyers Title Company at the address as set forth
in these instructions.
18. STATE/FEDERAL COPE NOTIFICATIONS
1099 Regarting. According to Federal Law, the Seller, when applicable, will be required to furnish escrow holder with
sufficient information in order to file a 1099 statement to the Internal Revenue Service.
Pam: Prior to the close of escrow, Buyer may hand Escrow Holder a fully completed and executed "Preliminary
Change of Ownership Report" (POOR) pursuant to the requirements of California Revenue and Taxation Code Section 480.3.
Buyer may elect not to complete and execute said form prior to the close of escrow. Should Buyer choose not to execute the
PCOR or should the County Recorder's office reject the PCOR for any reason, Buyer Is aware that a $20.00 charge will be
assessed by the County Recorder's office and Escrow Holder will charge the account of buyer accordingly. In the event the
PCOR has not been filed at the time the documents record OR the County Tax Assessors office determines that the form has
not been properly completed, Buyer will be responsible for obtaining and completing a new PCOR and any additional
documents that may be required by the Assessor's office. Failure to file a proper PCOR will result in additional penalties in
accordance with Section 480 of the California Revenue and Taxation Code. Escrow Holder's sole duty shalt be the delivery of
the PCOR to the County Recorder at the time of recordation of transfer documents, if it is provided to Escrow Holder. Escrow
Holder assumes no liability or responsibility regarding the proper completion of the PCOR.
NQN-RE5IRENTALIEN MRP� The Foreign Investment in Real Property Tax Act (FIRPTA), Title 26 U.S.C., Section
14.15, and the regulations there under, provide in part, that a transferee (buyer) of a U.S. real property interest from a
foreign person (non-resident alien) must withhold a tax equal to ten percent (10%) of the amount realized on the
disposition, report the transaction and remit the withholding to the Internal Revenue Service within twenty (20) days after
the transfer. Lawyers Title Company has not and will not participate in any determination of whether the FIRPTA tax
provisions are applicable to the subject transaction, nor act as a Qualified Substitute nor furnish tax advice to any party to
the transaction. Lawyers Title Company is not responsible for determining whether the transaction will qualify for an
exception or an exemption and is not responsible for the filing of any tax forms with the Internal Revenue Service as they
relate to FIRPTA. Lawyers Title Company is not the agent for the buyer for the purposes of receiving and analyzing any
evidence or documentation that the Seller in the subject transaction is a U.S. citizen or resident alien. The buyer is advised
they must independently make a determination of whether the contemplated transaction is taxable or non-taxable and the
applicability of the withholding requirement to the subject transaction, and should seek the advice of their attorney or
accountant. Lawyers Title Company is not responsible for the payment of this tax and/or and penalty and/or interest
incurred in connection therewith and such taxes are not a matter covered by the Owner's Policy of Title Insurance to be
issued to the Buyer. The Buyer is advised they bear full responsibility for compliance with the tax withholding requirement if
applicable and/or for payment of any tax, interest, penalties and/or other expenses that may be due on the subject
transaction.
CALIFORNIA WITHHOLDING= In accordance with Section 18662 of the Revenue and Taxation Code, a buyer may be
required to withhold an amount equal to 3 1/3 percent of the sales price or the amount that is specified in a written
certificate executed by the transferor in the case of a disposition of California real property interest by either:
1. A seller who is an individual, trust, or estate or when the disbursement instructions authorize the proceeds to be sent to
a financial intermediary of the seller, OR
2. A corporate seller that has no permanent place of business in California immediately after the transfer of title to the
California real property.
The buyer may become subject to penalty for failure to withhold an amount equal to the greater of 10 percent of the
amount required to be withheld or five hundred dollars ($500).
However, notwithstanding any other provision included in the California statutes referenced above, no buyer will be required
to withhold any amount or be subject to penalty for failure to withhold if:
1. The sales price of the California real property conveyed does not exceed one hundred thousand dollars ($100,000), OR
2. The seller executes a written certificate, under the penalty of perjury, certifying that the seller is a corporation with a
permanent place of business in California, OR
3. The seller, who is an individual, trust, estate or a corporation without a permanent place of business in California
executes a written certificate, under the penalty of perjury, of any of the following:
A. The California real property being conveyed is the seller's or decedent's principal residence (within the meaning of
Section 121 of the Internal Revenue Code).
B. The last use of the property being conveyed was use by the transferor as the transferor's principal residence within
the meaning of Section 121 of the Internal Revenue Code.
C. The California real property being conveyed is or will be exchanged for property of like kind (within the meaning of
Section 1031 of the Internal Revenue Code), but only to the extent of the amount of gain not required to be
recognized for California income tax purposes under Section 1031 of the Internal Revenue Code.
PLEASE INITIAL Page 5 of 7
Escrow No.: SBL20113
D. The California real property has been compulsorily or involuntarily converted (within the meaning of Section 1033
of the Internal Revenue Code) and that the seller intends to acquire property similar or related in service or use so
as to be eligible for nonrecognition of gain for California income tax purposes under Section 1033 of the Internal
Revenue Code.
E. The California real property transaction will result in a loss or a net gain not required to be recognized for California
income tax purposes.
The seller is subject to penalty for knowingly filing a fraudulent certificate for the purpose of avoiding the withholding
requirement.
The California statutes referenced above include provisions which authorize the Franchise Tax Board to grant reduced
withholding and waivers from withholding on a case -by -case basis for corporations or other entities.
Buyer understands that in no event will Escrow Holder undertake to advise Buyer and/or Buyer's representative on the
possible application of the above code sections to this specific transaction. Unless expressly instructed by Seller and Buyer
herein, Buyer understands that Escrow Holder will NOT assist in obtaining a waiver from withholding from the Franchise Tax
Board.
Should Buyer and Seller herein direct Escrow Holder to undertake any activities pursuant to the withholding provisions
under California law, Buyer and Seller agree to cooperate fully in providing necessary information to Escrow Holder. Buyer
and Seller agree to indemnify and hold Escrow Holder harmless in the event of noncompliance resulting from information
supplied by either Buyer and/or Seller. For additional information concerning the withholding provisions under the Bode
sections referenced above, please contact the Franchise Tax Board -Withhold -at -Source Unit at (888) 792-4900, P.O. Box
651, Sacramento, CA 95812-0651. Web address: www.ftb.ca.gov
19. ENCUMBRANCES
Escrow Holder is to act upon any statements furnished by a lienholder or his agent without liability or responsibility for the
accuracy of such statements. Any adjustments necessary because of a discrepancy between the information furnished
Escrow Holder and any amount later determined to be correct shall be settled between the parties direct and outside of
escrow.
You are authorized, without the need for further approval, to debit my account for any fees and charges that I have agreed
to pay in connection with this escrow, and for any amounts that I am obligated to pay to the holder of any lien or
encumbrance to establish the title as insured by the policy of title insurance called for in these instructions. If for any reason
my account is not debited for such amounts at the time of closing, I agree to pay them immediately upon demand, or to
reimburse any other person or entity who has paid them.
20. ENVIRONMENTAL ISSUES
Lawyers Title Company has made no investigation concerning said property as to environmental/toxic waste Issues. Any due
diligence required or needed to determine environmental impact as to forms of toxification, if applicable, will be done
directly and by principals outside of escrow. Lawyers Title Company is released of any responsibility and/or liability in
connection therewith.
21. USURY
Escrow Holder is not to be concerned with any questions of usury in any loan or encumbrance involved in the processing of
this escrow and is hereby released of any responsibility or liability therefore.
22.DISCLOSURE
Escrow Holder's knowledge of matters affecting the property, provided such facts do not prevent compliance with these
instructions, does not create any liability or duty in addition to these instructions.
23. FACSIMILE/ELECTRONIC SIGNATURE
Escrow Holder is authorized and instructed that, in the event any party utilizes a "facsimile" transmitted signed documents
or instructions to Escrow Holder, you are to rely on the same for all escrow instruction purposes and the closing of escrow
as if they bore original signatures. Electronic signatures are not accep-table on recordable documents or an
documents/instructions orenared blyescrow holder. "Electronic Signature" means, as applicable, anelectronic copy or
signature complying with California Law.
24. CLARIFICATION OF DUTIES
Legal Advice: Lawyers Title Company serves ONLY as an Escrow Holder in connection with these instructions and cannot
give legal advice to any party hereto.
SufficiencvlCcrrectness= Escrow Holder is not to be held accountable or liable for the sufficiency or correctness as to form,
manner of execution, or validity of any instrument deposited in this escrow, nor as to the identity, authority or rights of any
person executing the same. Escrow Holder's duties hereunder shall be limited to the proper handling of such money and the
proper safekeeping of such Instruments, or other documents received by Escrow Holder, and for the disposition of same in
accordance with the written instructions accepted by Escrow Holder.
Executed Instructions: The agency and duties of Escrow Holder commence only upon receipt of copies of these Escrow
Instructions executed by all parties.
No Duty if As To OtherTransaction: Escrow Holder shall have no duty or responsibility to notify any party to this
escrow of any sale, resale, loan, exchange or other transaction involving the property which is the subject of this escrow or
any profit realized by any person or entity in connection therewith, notwithstanding that Escrow Holder may act as escrow
holder for such transaction(s) in this or another escrow(s).
PLEASE INITIAL Page 6 of 7
Escrow No.: SBL20113
Record R tentinn. After the closing or cancellation of this escrow, Escrow Holder shall retain the escmo ,j rile(s) pertaining to
this escrow for a minimum of one year, after which time Escrow Holder is authorized to destroy or other viise dispose of such
file(s) without notice or liability to the parties hereto.
Disclosure Rgpor s: Escrow Holder is not to be concerned with disclosures made by the parties to each other. In the event
Escrow Holder receives any disclosure reports requiring signatures or approval by a party, Escrow Holder's only
responsibility will be to forward the report to the appropriate party.
25. FAILURE TO CLOSE TIMELY
If the conditions for closing this escrow have not occurred at the time set forth herein for closing, Escrow Holder is
nevertheless to continue to act hereunder and to close this escrow as soon thereafter as such conditions (except as to time)
shall have been met, unless any party shall have made a written demand on Escrow Holder for cancellation of this escrow
and/or for the return of any funds and/or documents deposited by such party.
26. FUNDS HELD IN ESCROW
When the company has funds remaining in escrow over 90 days after close of escrow or estimated close of escrow, the
Company shall impose a monthly holding fee of $25.00 that is to be charged against the funds held by the Company.
THIS AGREEMENT IN ALL PARTS APPLIES TO, INURES TO THE BENEFIT OF, AND BINDS ALL PARTIES HERETO, THEIR
HEIRS, LEGATEES, DEVISEES, ADMINISTRATORS, EXECUTORS, SUCCESSORS AND ASSIGNS, AND WHENEVER THE
CONTEXT SO REQUIRES THE MASCULINE GENDER INCLUDES THE FEMININE AND NEUTER, AND THE SINGULAR NUMBER
INCLUDES THE PLURAL. THESE INSTRUCTIONS AND ANY OTHER AMENDMENTS MAY BE EXECUTED IN ANY NUMBER OF
COUNTERPARTS, EACH OF WHICH SHALL BE CONSIDERED AS AN ORIGINAL AND BE EFFECTIVE AS SUCH.
MY SIGNATURE HERETO CONSTITUTES INSTRUCTION TO ESCROW HOLDER OF ALL TERMS AND CONDITIONS CONTAINED
IN THIS AND ALL PRECEEDING PAGES AND FURTHER SIGNIFIES THAT I HAVE READ AND UNDERSTAND THESE GENERAL
PROVISIONS.
Lawyers Title Company conducts escrow business under Certificate of Authority No. 281 issued by the
California Department of Insurance.
BUYERS
Cit La Qu' to
FRAN S VA EK, City Manager
City La Qui a, California
SELLERS
OTLQ, LLC, a Delaware limited liability company
By: Marvin Investments Inc., a California
corporation
its Managing Member
By: Marvin Wells, President
PLEASE
Page 7 of 7
SBL20113 As of 12/20/2018 4:05:40 PM
Lawyers Title Company
625 E. Carnegie Drive, Suite 105 San Bernardino CA
`Lavers Title. 92408
Phone: (909) 963-5588
Fax: (909) 963-5589
Escrow Officer: Colleen Graves
Page 1
Buyer's / Borrower's Settlement Statement - Estimated
Property: Vacant Land - 770-123-001 , , CA
Buyer: City of La Quinta
Purchase Price
Purchase Price
Escrow Fees
Escrow Fees to Lawyers Title Company
Recording Fees / Transfer Taxes
CA Affordable Housing Recording Fee
Additional Services
Buyer Funds Held for Final Accounting
Balance Due
Totals:
Closed Date:
Est. Closing Date: 12/31/2018
Loan Number:
Disbursement Date: 12/31/2018
Escrow Number: SBL20113-CGC
Debits Credits
$9,900.00
$630.00
$14.00
$500.00
$11,044.00
$11,044.00 $11,044.00
This is an estimated closing statement and is subject to changes, corrections or additions at the time of final closing.
Si ned on this a day of
City uinta
By: FRANK J. SP! A K, 'ty Manager
City of La Qu nta, li ornia
Lawyers Tide
Escrow Number:
SBL20113 - LT143 - CGC
Property Address:
Vacant Land , CA,
Escrow Officer:
Colleen Graves
For Credit To:
City of La Quinta
Escrow Division
625 E. Carnegie Drive, Suite 105
San Bernardino, CA 92408
Phone: (909) 963-5588 Fax: (866) 696-3389
Escrow Officer: Colleen Graves
Escrow Officer's e-mail: cgraves@ltic.com
Date: December 19, 2018
WIRE TRANSFER INSTRUCTIONS
The following information is provided to you, per your request, in order to send a WIRE TRANSFER to
Lawyers Title Company
Bank Name/Address:
BANK ROUTING Number:
CREDIT TO:
Branch / Account Number:
For Further Credit to Escrow No
Attention:
City National Bank
555 South Flower St.
17th Floor
Los Angeles, Ca. 90071
122016066
Lawyers Title Company
555295596
SBL20113 - LT143 - CGC
Colleen Graves
All information must be EXACT or a delay in your wired funds may occur,
which may also delay the closing of your escrow transaction.
Funds required for closing are to be sent in the form of a wire transfer ONLY.
Any electronic funds attempted to be sent via Automated Clearing House
("ACH") will be reiected and sent back to the originators account. The
process of rejecting an ACH may take anywhere from 5-10 days, which will
result in the delay of your closing.
Neither Lawyers Title Company, or the bank mentioned above, will
assume any liability for delays in your wire due to incorrect information or
the return of an ACH transfer.
If there are any questions regarding the wire transfer of your funds, please do not hesitate to contact
our office our bank named above.
SBL20113 As of 3/8/2019 11:55:44 AM
Page 1
Lawyers Title Company
E.
t4�ygrsTi�le' Carnegie Drive, Suite 105 San Bernardino CA
Faxn (909) 963 558988 SBL20113-CGC
Escrow Officer: Colleen Graves
Buyer's / Borrower's Settlement Statement - Final
Property: Vacant Land - 770-123-001 , , CA Closed Date: 3/7/2019
Buyer: City of La Quinta
Purchase Price
Purchase Price
Deposits
Deposit by Buyer
Escrow Fees
Escrow Fees to Lawyers Title Company
Title Charges
Owner's Coverage ($9,900) to Lawyers Title Co
Owner's Coverage Credit for pymt recd ($9,900) to Lawyers Title Co
Recording Fees / Transfer Taxes
CA Affordable Housing Recording Fee
Proceeds or Balance Due
Cash From/To Borrower
Balance Due
Totals:
Loan Number:
Disbursement Date: 3/7/2019
Escrow Number: SBL20113-CGC
Save this Statement for Income Tax purposes.
$9,900.00
$630.00
$396.00
$14.00
$500.00
$11, 044.00
$396.00
$0.00
City National Bank
565 South Flower St
17th Floor
16-160t111220 Los Angeles Ca. 90071
La ers Title Company
LT -ban Bernardino Escr
625 E. Carnegie Drive, Suite i05
Escrow #: SBL20173-CGC San Bernardino, CA 92408 Check Number
(909) 963-5588
3/8/2019 1430046333
PAY Five Hundred and 0 /100
TO THE City of La Quinta
ORDER OF
78495 Calle Tampico
La Quinta CA 92253
MEMO
Two
III I4 30046 3 3 3110 1: 12 20 16066i: 5 5 5111 29 5 596III
Escrow ABBL20113-CGC 3/8/2019
Prop Addr: Vacant Land - 770-123-001, CA
Buyer: City of La Quinta
Seller: OTLQ, LLC
City of La Quinta
78495 Calle Tampico
La Quinta CA 92253
$500.00
ESCROW ACCOUNT
�VOIDAFrER19} DAYS
1 1
isi k67 e y �
1430046333
500.00
Z:�A_ OPC
Enhancing Lives Through Infrastructure
March 25, 2019
Julie Mignogna, Management Analyst
Design and Development
City of La Quinta
78495 Calle Tampico
La Quinta, CA 92253
VIA OVERNIGHT MAIL
Regarding: La Quinta Village Complete Streets- A Road Diet Project
Escrow Closing Documents/ Escrow No: SBL20113-CGC
Dear Ms. Mignogna:
Enclosed please find the escrow closing documents in reference to the parcel listed below:
# APN Seller
1 770-123-001 OTLQ
Documents:
1-COPY of Recorded Roadway Easement 03-07-19
1-COPY of Recorded Reconveyance 03-07-19
1-Buyers Escrow Refund check: $500.00 #1430046333
1-Buyers Final Closing Statement
If you have any questions regarding the enclosed, please do not hesitate to call me at (562) 304-2037.
Sincerely,
Ov rland, Pacific & Cutler, LLC
Inez Ga ' I
Project rdinator
Enclosures
www.OPCservices.com 13750 Schaufele Avenue, Suite 150, Long Beach, CA 90808
ph 562.304.2000 1 fx 562.304.2020