2022 - 31348 WH La Quinta 29, LLC - Assignment & Assumption & Amended Dev. Imprv. AgrmtMEMORANDUM
DATE:
TO:
FROM:
RE:
Please list the Contracting Party / Vendor Name, type of agreement to be executed, including any change orders or
amendments, and the type of services to be provided. Make sure to list any related Project No. and Project Name.
Authority to execute this agreement is based upon:
___ Approved by City Council on ___________________________________________
___ City Manager’s signing authority provided under the City’s Purchasing Police
[Resolution No. 2019-021] for budget expenditures of $50,000 or less.
___ Department Director’s or Manager’s signing authority provided under the City’s
Purchasing Policy [Resolution No. 2019-021] for budget expenditures of $15,000 and
$5,000, respectively, or less.
Procurement Method (one must apply):
___ Bid ___ RFP ___ RFQ ___ 3 written informal bids
___ Sole Source ___ Select Source ___ Cooperative Procurement
Requesting department shall check and attach the items below as appropriate:
___ Agreement payment will be charged to Account No.: _____________________
___ Agreement term: Start Date ________________ End Date ________________
___ Amount of Agreement, Amendment, Change Order, etc.: $____________________
REMINDER: Signing authorities listed above are applicable on the aggregate Agreement amount,
not individual Amendments or Change Orders!
___ Insurance certificates as required by the Agreement for Risk Manager approval
Approved by: ______________________________ Date: _______________
___ Bonds (originals)as required by the Agreement (Performance, Payment, etc.)
___ Conflict of Interest Form 700 Statement of Economic Interests from Consultant(s)
NOTE: Review the “Form 700 Disclosure for Consultants” guidance to determine if a Form 700 is
required pursuant FPPC regulation 18701(2)
___ Business License No. __________________; Expires: __________________
___ Requisition for a Purchase Order has been prepared (Agreements over $5,000)
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ASSIGNMENT AND ASSUMPTION AGREEMENT
AND
AMENDMENT TO DEVELOPMENT IMPROVEMENT AGREEMENT
AMENDED TRACT MAP NO. 31348
This ASSIGNMENT AND ASSUMPTION AGREEMENT AND AMENDMENT TO
DEVELOPMENT IMPROVEMENT AGREEMENT (“Assignment & Amendment”) is
made and entered into as of the ___ day of __________, 20___, by and among the
CITY OF LA QUINTA, a municipal corporation of the State of California (“City”), POINT
HAPPY LOTS, LLC, a Colorado limited liability company (“Assignor”), and WH LA
QUINTA 29, LLC, a Delaware limited liability company (“Assignee”).
RECITALS
A. City and Assignor entered into that certain Development Improvement
Agreement, dated January 21, 2014 (“Agreement”), pursuant to which City agreed to
make available a portion of the “Bond Fund” defined in the Agreement, to Assignor,
referred to as “PHL” in the Agreement, if Assignor agrees to complete those Punch List
Items for Amended Tract No. 31348 (“Tract”), as more fully described as On-Site
Improvements in Exhibit B and Off-Site Improvements in Exhibit C of the Agreement.
B. Assignor sold its interest in the Tract to Assignee. In conjunction with
such transfer, Assignor desires to assign the Agreement, and all of Assignor’s rights
and obligations thereunder, to Assignee and Assignee desire to assume Assignor’s
position with respect to the Agreement and of Assignor’s rights and obligations under
the Agreement subject to the terms of this Assignment & Amendment.
C. In connection with the foregoing described assignment and assumption,
the City and Assignee have agreed to certain modifications to the Agreement as set
forth herein to be effective upon full execution of this Assignment & Amendment by all
the parties hereto.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing Recitals and the
covenants and promises hereinafter contained, and for good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties
hereto agree as follows:
1. Assignment and Assumption. Assignor hereby transfers and assigns to
Assignee all of the Assignor’s rights, title, and interest in and to, and obligations under,
the Agreement, and Assignee hereby assumes all rights, title, and interest in and to,
and obligations under, the Agreement. City hereby consents to the foregoing
assignment and assumption.
21st July 22
21st July 22
City of La Quinta
CITY COUNCIL MEETING: July 19, 2022
STAFF REPORT
AGENDA TITLE: APPROVE ASSIGNMENT AND ASSUMPTION AGREEMENT
AND AMENDMENT TO DEVELOPMENT IMPROVEMENT AGREEMENT FOR
AMENDED TRACT MAP NO. 31348, ESTATES AT POINT HAPPY, A RESIDENTIAL
DEVELOPMENT LOCATED SOUTH OF HIGHWAY 111 AND WEST OF
WASHINGTON STREET
RECOMMENDATION
Approve Assignment and Assumption Agreement and Amendment to
Development Improvement Agreement for Amended Tract Map No. 31348,
Estates at Point Happy, and authorize the City Manager to execute said
agreement.
EXECUTIVE SUMMARY
x Point Happy Lots, LLC has sold its interest in this tract (Attachment 1)
to WH La Quinta 29, LLC (New Developer) and desires to assign the
Development Improvement Agreement’s rights, interest, and
obligations to the New Developer.
x New Developer requests approval of Assignment and Assumption
Agreement and Amendment to Development Improvement Agreement
(Agreement) (Attachment 2) for Amended Tract Map No. 31348.
FISCAL IMPACT
None. Developer reimbursements will be from settlement funds received from
Surety bond.
BACKGROUND/ANALYSIS
Tract Map No. 31348 is a residential development located south of Highway
111 and west of Washington Street.
In January 2014, Point Happy Lots, LLC entered into a Development
Improvement Agreement for Amended Tract Map No. 31348. The
CONSENT CALENDAR ITEM NO.
65
Development Improvement Agreement allows reimbursements to Point Happy
Lots, LLC from settlement funds received from a Surety bond for the
construction of the punch list items listed in the agreement for the tract. Point
Happy Lots, LLC has sold its interest in this tract to New Developer and desires
to assign the Development Improvement Agreement’s rights, interest, and
obligations to the New Developer.
ALTERNATIVES
Staff does not recommend an alternative.
Prepared by: Amy Yu, Associate Engineer
Approved by: Bryan McKinney, P.E., Public Works Director / City Engineer
Attachments: 1. Vicinity Map
2. Assignment and Assumption Agreement and Amendment
to Development Improvement Agreement
66
TM 31348 THE ESTATES AT POINT HAPPY
V I C I N I T Y M A P
NOT TO SCALE
ATTACHMENT 1
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