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01696 - AFCOM CVHC COYOTE RUN SANTIAGO SAN RAFAEL SUNRISE LOW INCOME HOUSING LEASE
DATE: February* 1992 TO: Redevelopment - Attention: Amy Parker FROM: City Clerk COYOTE RUN APARTMENTS/CVHC Attached are copies of the face sheet of the recorded documents which have been returned to me, i .e. : City Grant Deed Agency Grant Deed Regulatory Agr & Dec] of C&R Deed of Trust (CRA beneficiary) Subordination Agr Apparently, the CRA Res 838 was attached to the City' s grant deed and recorded as a part of that document. Also attached to that document is a copy of a "Quitclaim Deed" to evidence the cancellation and termin- ation of Lease Agreement between the City and Fredricks Development Corp. , and cancellation and termination of CCRs both executed by Fredricks Development Corp. , and both recorded in 1982. I do not have either of the recorded documents referred to in the quitclaim, although the numbers and dates are referred to in other document, and it raises the following questions to fill in some holes in the record: By what Council action was the City's "lease agreement" terminated? The Council Resolution 17707 on 12-19-91 only authorized acceptance of the quitclaim, and Resolution 17706 authorize doing whatever was necessary to consummate amendment to the ODA. If that is construed as terminating the "Fredricks lease" - which of the following is it terminating, and how does the quitclaim effect: Agr 1696, originally dated 3-18-81 (portion assgined to AFCOM Mobilehome Parks, Ltd and portion/and participation to Fredricks) Agr 1779, originally dated November 1, 1981, and substituted and restated March 1, 1982 (60 ac Fredricks) Separate CCR document dated March 1, 1982, notarized February 22, 1983. Agr had 2 amend- ments between March 1982 and February, 1983. Agr 1843, originally dated September 3, 1982 (Fredricks to develop 30 mobile home spaces) Agr 1878, originally dated November 18, 1982 (Agreement and consent to assignment and encumbrance of lease refers to Agr 1696, and Fredricks as substitute lessee) Agr 1895, originally dated February 2, 1983 - recorded Feb 15, 1983 as #28930 - between City and State Dept of Housing, provides enforcement provisions in event of default of Agr 1779. Although the quitclaim deed was an attachment to the City's grant deed, when was the original of it actually recorded, and where is the original ? The above documents refer to either a metes & bounds description, or Lot 1, or Lots 8 and 9 of Tract 17642-1. The newly recorded documents refer to Lot 1 Tract 26943-1. Is Tract 27943-1 a resubdivision of a portion of 17642-1? Who now owns, or leases the mobilehome/mod housing project, and if it is leased by other than Santiago (assigned from Fredricks) by what authority? Do legal descriptions in the above agreements need to be changed? Which of the above agreements does the County Assessor need to know are still in effect - cancelled, for possessory leasehold tax purposes? 0 2-5-92 - Redev. , Parker Page 2 Coyote Run/CVHC The Reg. & Subord. agreements, and Deed of Trust, will be filed with the DDA (City Agr 2935/CRA A261C) , and the grant deed incorporated into each entities ' deed records. No changes will be given to the Assessor until the above questions are answered, or clarified. A copy of this memo will be placed in each of the above agreement files. There is no current "lessee" insurance certificate on the mobilehome/mod hsg project site. JUDITH SUMICH City Clerk Attached cc: City Attorney AMENDMENT NO. 2. Lease Agreement WITH AFCOM PARTNERS, LTD., subsequently assigned to AFCOM Mobile Homes Parks, LTD., a Limited Partnership AND FREDRICKS DEVELOPMENT CORPORATION WHEREAS the City Council approved Amendment No. 1 to Lease Agreement No. 1696 with AFCOM PARTNERS, LTD; and WHEREAS the City Council approved Resolution 13975 which acknowledged the participation of Fredricks Development Corporation in the AFCOM affordable housing venture; and WHEREAS the City Council approved certain letter commitments from AFCOM and Fredricks Development Corporation assuring certain understandings for completion of the housing project; and WHEREAS the City Council approved Resolution 14061 which designated parts of the premises as a mobile home park portion and a manufactured single family subdivison portion between AFCOM Mobile Homes Parks, LTD., a limited partnership, and Fredricks Development Corporation respectively; and WHEREAS the parties to said lease agreement mutually desire to amend the agreement, NOW THEREFORE the parties to the lease agreement mutually agree as follows: Section 1. Paragraph C of Recitals on page 1 is deleted. Section 2. Article I - TERM, on page 2 of the Fredricks Development Corporation assigned portion of the lease agreement is amended to hereafter read as follows: The term of the leasehold estate will be fifty (50) years, commencing March 1, 1982 and ending at 12:01 a.m. Pacific Coast Time on March 1, 2032. Section 3. Article I, subparagraphs A and B on page 2 and page 3 are deleted. Section 4. Article XIII - ASSIGNMENT, on page 20 of the portion of the lease agreement assigned to Fredricks Development Corporation, second paragraph, fifth line after the sentence ending ". . . . . and Restrictions." and before the sentence beginning "On or before . . . . ." amend by adding a paragraph to hereafter read as follows: "After the assignment of the Lots by Grantor, any subsequent assignment or transfer must be approved in writing by the City on the transfer document which is to be recorded. The City's approval shall not be unreasonably withheld. However, the City may refuse to approve the sale or transfer if the City has not approved the sales price as required by the Declaration of Covenants, Conditions and Restrictions. If any transfer occurs without the City's consent and the transferor receives an amount in excess of the Maximum Allowable Sales Price, the City and/or the transferee shall have the right, in addition to any other rights or remedies available to the City and/or the transferee, to receive from the transferor all amounts received by the transferor in excess of the Maximum Allowable Sales Price. If the City and/or the transferee is required to institute legal proceedings or arbitration to collect those monies, the prevailing party shall be entitled to recover all expenses and costs incurred in the action including, without limitation, attorney's fees, in addition to damages, taxable costs and injunctive or other relief." i Amendment No. 2 Page 2 Section 5. Except as expressly modified herein, all terms covenants and conditions contained in said lease agreements are hereby ratified and shall remain in full force and effect. AT EST: CITY OF PALM SPRINGS, CALIFORNIA By n ate% City Clerk City ManjAger REVIEWED &APPROVED: STATE OF CALIFORNIA) )as. COUNTY OF RIVERSIDE) On February 18 19 82 before me, the undersigned, a Notary Public in to be City Manger and for said state, personally appeared NORMAN R. RING mown to me_ k. of. THE CITY OF PALM SPRINGS and known to Tie to be the person who executed the within instrument on behalf of the CITY OF PALM SPRINGS, and acknowledged to me that the CITY OF PALM SPRINGS executed the same. WITNESS my hand and official seal. OLIVE S. MARSHALL -NOTARY PUBLIC OFFICIAL SEAL T.._j. OLIVE S. MARSHALL NOTARY PUBLIC - CAI_IFOR NIA u�a RIVERSIDE COUNTY 69y comet. expires JUN 10, J322J CHARLOTTE i DER, LESSEE ✓ Assistant14ecretary STATE OF CALIFORNIA c COUNTY OF range �as. 1 E On February 10, 1982 U before me, the undersigned, a Notary Public in and for o said State, personally appeared Wade Cable known to me to be the A President, and Charlotte Yoder known to me to be the Assistant ' `u Secretary of the corporation that executed the within instrument, E and known to me to be the Persons who executed the within LLinstrument on behalf of the corporation therein named, and ac-' o knowled9ed to me that such corporation executed the within ^�'°`°'• T" o �I, (fig•';:is OFFICIAL SEAL u instrument pursuant to its by-laws or a resolution of its board of 5"ice, `-"Y a ;... :` OOR11:z M. FOWLER a directors. NOTARY PUBLICCALIFORMIA V PRINCIPAL OFFICE IN ORANGE COUNTY . ..- n.,, o rnaa STATE Or CALEFORNIA, OFFICIAL"SEAi; -- -------- - JUDYJOHNS ss. .NOTARY PUBLIC-CALIF'ORNIA County of SAN DIEGO " ' SRN WEGG MUNIY .. MY COMM. expires NOY 4, 1985 �� . O-N Tills16th day of February �( r, A.D. I9 82 , before me, a Notary Public in and for said Cortnt an _ w� d S ZZ ' y Stat e e m personally T. Dawson General Partner p on¢lly appeared -, Sonia Son 'u General Partner and , known to me, to be one of the partners of the partnership that executed th. _ and acknowledged to me that such partnership e within instrument,execzated tics same. 1 j Iv W" Ess IVIIEProF, Z have hereunto set my hand and affixed my oyzcial seal the day and year in this cery first above wtztteh YOta ACKNOWLEDGMENT— PARTNERSHIP — `' rF/�PabtlC�tR and f6r Safd linty and State. WOLCOTT$ Fonts 236 .— "a RESOLUTION NO. 14155 OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING CHANGES TO THE EXISTING AFCOM/ FREDRICKS DEVELOPMENT CORPORATION LEASE ARRANGE- MENTS FOR APPROXIMATELY 100 ACRES OF LAND LOCATED ON THE NORTHWEST CORNER OF SUNRISE WAY AND SAN RAFAEL DRIVE. WHEREAS the City Council approved Amendment No. 1 to Lease Agreement No. 1696 with AFCOM PARTNERS, LTD.; and WHEREAS the City Council approved Resolution 13975, which acknowledged the partici- pation of Fredricks Development Corporation in the AFCOM affordable housing venture; and WHEREAS the City Council approved certain letter commitments from AFCOM and Fredricks Development Corporation insuring certain understanding for completion of the housing project; and WHEREAS the City Council approved Resolution 14061, which assigned parts of the lease into a mobile home park portion and a manufactured single family subdivision portion between AFCOM Mobile Home Parks, LTD., a limited partnership, and Fredricks Development Corporation respectively; and WHEREAS AFCOM and Fredricks require changes to the Lease Agreement to proceed with the development, NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs as follows: Section 1. The assignment of the leasehold interest in a portion of the property from AFCOM Partners, LTD., a limited partnership, to AFCOM Mobile Homes Parks, LTD., a limited partnership, is hereby approved. Section 2. Execution of a corrected Memorandum of Lease (deleting reference to Lot 7 of Tract 17642-1) is hereby approved. Section 3. Amendment No. 2 to Lease Agreement No. 1696 between the City of Palm Springs and AFCOM PARTNERS, LTD. subsequently assigned to AFCOM Mobile Homes Parks, LTD., a limited partnership, and Fredricks Develop- ment Corporation is hereby approved. ADOPTED this 17th day of February 19B2. AYES: Councilmembers Field, Ortner, Rose and Mayor Doyle NOES: None ABSENT: None ATTEST: CITY OF PALM SPRINGS, CALIFORNIA By /s/ Jeanne C. Mentzer /s/ Norman R. King Deputy City Clerk City Manager REVIEWED & APPROVED: WP 8 b F PAL/,q S >O A"Pi N City of Palm springs CAL. I PORN ! A oil1F0RN\P P.O. BOX 1786, PALM SPRINGS, CALIFORNIA 92263 714/323-8246 DEPARTMENT OF COMMUNITY DEVELOPMENT July 14, 1982 Mr. William Dawson AFCOM 1700 Catalina Seal Beach, California 90790 Dear Bill : Our City Clerk is attempting to get her records in order on the various agree- ments we have with AFCOM. In review of our documentation we discovered we did not have a correct set of assignments. I 've attached a November 18, 1981 , add a February 17, 1982, City Council resolution which outline the assignment actions we need. Specifically we need one assignment from AFCOM PARTNERS, LTD. , a limit- ed partnership, to AFCOM MOBILE HOMES PARKS, LTD. , a limited partnership, and an assignment of the leasehold interest in a portion of the property by AFCOM MOBILE HOMES PARKS, LTD. , to Fredricks Development Corporation. We did find a November 17, 1981 , assignment from AFCOM PARTNERS, LTD. , to Sun- rise Village Mobile Home Park, Ltd. , to be formed, however this action is not consistent with the later resolutions of the City Council . Could you please for- ward the correct assignments as soon as possible. Thank you for your continued cooperation. Very truly yours, TH OAS LYNCH Economic Development and Housing Director TEL:jcs Enc. Recording Requested By: r oV w CITY OF PALM SPRINGS, CALIFORNIA [:.x� .it l When Recorded, Return To: u o ! �g a CD v^ CITY OF PALM SPRINGS it n s-U 4 Palm Springs, California 92262 f°y a w $ Attn: City Manager MEMORANDUM OF LEASE This memorandum of lease is made August �, 1982, between c' the CITYOF PALM SPRINGS, CALIFORNIA, a California municipal corporation ("Lessor") . AFCOM PARTNERS, LTD. , a California limited partnership ( "Lessee") . and AFCOM MOBILE HOME PARKS, LTD. , a California limited partnership ("Substitute Lessee") , who agree as follows: -' 1. Pursuant to the terms of Lease Agreement No. 1696, as amended and modified, Lessor has leased to Lessee, and Lessee has leased from Lessor, the real property located in the County of s 'v Riverside, State of California, which is described in Exhibit A attached hereto, for a term of fifty (50) years, commencing on or about July 15, 1981. The provisions of the Lease Agreement and the amendments and modifications thereto are incorporated herein - n by reference. = ! r , ; re 2 . V L-1 Lessor ' s express written consent, Lessee has = r assigned its entire right, title, and interest in and to the Lease t2 Agreement, as amended and modified, so far as it relates to the real property described in Exhibit A, to Substitute Lessee. 3 . This memorandum of lease is prepared- for the purpose of recordation, and it in no way modifies the provisions of the Lease ry C Agreement, as amended and modified, or the agreements among the parties hereto. 4 VJ S„1 CITY OF PALM SPRINGS, /1CALIFORNIA City Manager ATTEST: ByCity Clerk Reviewed and Approved: AFCOM MOBILE HOME PARLCS, LTD. , a Calirforni7llimited partnership r r" By:— William T. Dawson, General Partner B > - Sonia Son-j""a, General Partner AFCOM PARTNERS, LTD. , a California limited partnership By: AFCOM, a ,California corporation Generale Partner By: William T. Dawson, President CORPORATE ACKNOWLEDGMENT STATE OF CALIFORNIA ) F, ) SS. t i COUNTY OF 1'I c ) C� On August7 , 1982 before me, the undersigned, a Notary Public in and for said State, personally appeared William T. Dawson, known to me to be the President, and Sonia Sonja, known to me to be the Secretary of AFCOM, a California corporation, that executed the within Instrument, known to me to be the persons who executed the. within Instrument on behalf of the corporation therein named, and acknowledged to me that such corporation executed the within instrument pursuant to its by-laws or a resolution of its board of directors. - - - - - - - - - - - - - - - - -- - WITNESS my hand and official seal. W OFFICIAL SEAL PICH'ARO CUTH8ERTSON OTARY ru{I.IC - CALIFORNIALGS ANGELES COUNTY MY a�mm. expires APR 1, 19i'3 Signature `- F irtFJ:_(_J-�/6� J Name (Typed or Printed) OFFICIAL SEAL RICHARD CUTHBERTSON NOTARY PUOLIC-CALiKORNIA LOS ANGELES C01lNiV M1 amm. expires APR 1, 1911 PARTNERSHIP ACKNOWLEDGMENT' n, T� STATE OF CALIFORNIA ) SS. COUNTY OF On August 'z7 , 1982 , befor.e me, the undersigned, a Notary Public in and for said State, personally appeared William T. Dawson, known to me to be a General Partner and Sonia Sonja, known to me to be a General Partner of AFCOM MOBILE HOME PARKS, LTD. , a limited partnership, that executed the within Instrument, &nown to me to be the partners of the partnership that executed the within instrument , and acknowledged to me that such partnership executed the same. WITNESS my hand and official seal. OFFICIAL SEAL �'� 1� RICHA�RD C1ITHDERTSON Signature NOTARY PUPLIC - CALIFORNIA n LOS ANGELES COUNTY c.At\-,�6-.� tl.,-r.•�-�'�L=-L���3�/ MY amm. expires APR 1, 1983 Name (Typed or Printed) Nib- EXHIBIT A t"q TO Cat t-d MEMORANDUM TO LEASE C�2 That approximately forty ( 40) acre tract of land in the City of Palm Springs, County of Riverside, State of California described as Lot 1 of Tract 17642-1, as shown on the Map recorded on November 18, 1981 , in Book 122 , Page 88 , 89 and 90 , in the Office of the Riverside County Recorder. ASSIGNMENT OF LESSEES INTEREST IN LEASE AGREEMENT WHEREAS, AFCOM PARTNERS , LTD. , a California Limited Partnership, as lessee, entered into that certain Lease Agreement dated March 18 , 1981, with the City of Palm Springs, California, a Municipal Corpor- ation, as lessor, covering approximately 100 acres located in the City of Palm Springs, County of Riverside, State of California, (the "Lease Agreement") as amended by amendment No. 1 entered into on or about August 11, 1981. NOW, THEREFORE, for valuable consideration, receipt of which is hereby acknowledged, AFCOM PARTNERS, LTD. does hereby assign, transfer and convey all of its right, title, and interest in and to said Lease Agreement, as amended, to the following assignees, with respect to that portion of the real property covered by the Lease Agreement set forth hereinafter. A. That portion of the real property which relates to the mobile home park referred to in said Lease Agreement, constituting 36 acres plus or minus, is hereby assigned to William T. Dawson and Sonia T. Sonju, and/or to a California Limited Partnership to be formed under the name of Sunrise Village Mobile Home Park, Ltd. , of which William T. Dawson and Sonia T. Sonju shall be the General Partners. B. The balance of the real property covered by said Lease Agreement, constituting that portion to be used as a "For Sale Development" as hereby assigned and transferred to Fredricks Development Corporation. C. This assignment is subject to appropriate approval and consent from the City of Palm Springs, and subject to new leases being entered into in forms mutually satisfactory to the aforesaid assignees and the City of Palm Springs, with appropriate legal description as to the portions of the real property being covered by the leases with each assignee. D. The assignment being made herein shall include an assignment and transfer of all rights that the undersigned may have in any development agreement, option agreement, or other agreements by and between the undersigned and the City of Palm Springs, or any other party, insofar as they relate to the real property covered by the aforesaid Lease Agreement, as amended. IN WITNESS WHEREOF, the undersigned has executed this assignment as of this 17th day of November, 1981. AFCOM PARTNERS, LTD. , A CALIFORNIA LIMITED PARTNERSHIP BY: AFCOM A CALIFORNIA CORPORATION GENERAL PARTNER BY: nia 4TStju, President RELEASE Fuqua Industries , Inc . ("Fuqua") as itself and as a limited partner in AFCOM Partners , Ltd. , a California limited partnership , acknowledges and understands that Fredricks Development Corporation, a California corporation, ("Fred- ricks") has entered into a Construction and Development Agreement (the "Agreement") with AFCOM, a California corpora- tion, for development of one hundred (100)_ acres owned by the City of Palm Springs , California, and located on the northwest corner of Sunrise, Way and San Raphael Street in the City of Palm Springs . Fuqua for itself and as a limited partner of AFCOM Partners , Ltd. , and on behalf of Fuqua ' s subsidiaries and related companies including , but not limited to, Fuqua Homes, Inc . , hereby releases. all right, title and interest in, or to, any and all leases or agreements concerning , or relating to , the development of the property subject to, the Agreement referred to above . Fuqua makes this release with the understanding that Fredricks will be developing approximately sixty (60) acres of the property as a planned unit development for modular housing units and that Fredricks will be building and supplying those modular housing units . This Release shall be of no force and effect unless and until the Amendment between the City of Palm Springs , California and AFCOM Partners , Ltd. attached hereto as Exhibit A, the Amendment dated October 9, 1981 between Fuqua Homes , Inc . and AFCOM Partners , Ltd. attached hereto as Exhibit B and the Release dated October 9 , 1981 from AFCOM Partners , Ltd. to Fuqua Homes , Inc . attached hereto as Exhibit C have been executed and returned to Fuqua . Dated: October 9 , 1981 FUQUA INDUSTRIES, INC . BY John C. DicCune , Vice President ..F I i L.YY.11la RELEASE For and in consideration of the payment to the other of valuable consideration, receipt of which is hereby acknow- ledged, FUQUA HOMES, INC. ("Fuqua") and AFCOM Partners, Ltd. ("Partners") do each of them hereby release and forever discharge the other, worldwide, for all time, and its succes- sors and assigns, from any and all actions , causes of action, claims, demands, damages, costs , expenses and compensation on account of, or in any way growing out of the Contract of Sale of Manufactured Housing Units for Palm Springs Project dated December 11, 1980 (the "Contract") . It is further understood and agreed that this is a full and complete release of all obligations, rights and liabili- ties of Fuqua and Partners under the Contract. It is also understood and agreed that this Release is entered into as a result of the amendment to the Contract of even date herewith (the "Amendment") and that the Amendment and this Release are being entered into for the benefit of both parties, their successors and assigns . Both parties hereto voluntarily and with knowledge forever waive the provisions of California Civil Code Section 1542 which provides as follows: "A general release does not' extend to claims which the creditor does not know or suspect to exist in his favor at the _ r ? Initial / Page 1 of 2 pages KW:MH 9/22/81:2 # A" a time of executing the release which if known by him must have materially affected his settlement with the debtor. " Los Angeles, California DATED: October �, 1981 AFCOM PARTNERS, LTD. By: AFCOM, General Partner By ,�- William T. Dawson, President FUQUA HOMES , INC . B �-�' y � � 2 RESOLUTION NO, 14061 OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA APPROVING CHANGES TO t, THE EXISTING AFCOM LEASE ARRANGEMENTS FOR APPROXIMATELY 100 ACRES OF LAND LOCATED ON THE NORTHWEST CORNER OF SUNRISE AND SAN RAFAEL WHEREAS the City Council approved Amendment No. 1 to Lease Agreement No. 1696 with AFCOM PARTNERS, LTD. ; and WHEREAS the City Council approved Resolution No. 13975, which acknowl- edged the participation of Fredricks Development Corporation in the AFCOM affordable housing venture; and WHEREAS the City Council approved certain letter commitments from AFCOM and Fredricks Development Corporation insuring certain under- standing for completion of the housing project; and WHEREAS the City agreed to negotiate cooperatively and reasonably with AFCOM and Fredricks Development Corporation to make modifications to the Lease Agreement or other documents as necessary to secure Fredricks Development Corporation' s position in the venture; and WHEREAS AFCOM and Fredricks require changes in the Lease Agreement to proceed with the development, NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs, as follows: Section 1 . The assignment of the existing lease with AFCOM PARTNERS, LTD. , a limited partnership, to AFCOM MOBILE HOME PARK, LTD. , a California Corporation is here- by approved. Section 2. The assignment of the leasehold interest in a portion of the property by AFCOM MOBILE HOME PARK, LTD. , to Fredricks Development Corporation is hereby approved. Section 3. The separate substituted lease agreement with Fredricks Development Corporation for the development of a manufactured housing subdivision on the portion of the leased premises assigned to Fredricks Development Corporation is hereby approved. 1 Resolution 14061 Section 4. The Construction and Development Agree- ment between and among AFCOM, a Califor- nia Corporation, Fredricks Development Corporation and the City of Palm Springs is hereby approved. Adopted this 13th day of November 1981 AYES: Councilmembers Beirich, Field, Ortner, Rose and Mayor Doyle. NOES: None ABSENT: None ATTEST: CITY OF PALM SPRINGS, CALIFORNIA BY (�_ f �� ✓Y� �� City Clerk City Manage- REVIEWED AND APPROVED ` � FREDRICKS DEVELOPMENT CORPORATION 18 BROOKHOLLOW DRIVE - SANTA ANA, CALIFORNIA 92705 (714) 549-4877 WADE CABLE Executive Vice-President September 8, 1981 City Council City of Palm Springs c/o Mr. Norman King City Manager 3200 East Tahquitz McCallum Road Palm Springs, CA 92263 Gentlemen: The purpose of this letter is to summarize the basis upon which Fredricks Development Corporation is willing to commit to the development of the first phase of the Mobile Home Park at the N.W. corner of Sunrise Way and San Rafael Streets. We are prepared to begin site construction within five working days from the date we receive all signed plans and permits from the City. We will use our best efforts to complete construction by November 22, 1981, but are unable, due to the uncertainty of the starting date and the ability of the necessary public utility companies (Southern California Edison Co. , Southern California Gas Co. , Pacific Telephone Co. and the local cable television company) to complete their improvements, to guarantee completion. We are undertaking the development of the first phase of the Mobile Home Park on the basis of the City's commitment to the following: 1. The development of the 341 modular units is in no way tied to the development of the remaining phases of the Mobile Home Park, and unless the proposed UDAG grant is successful, a H.U.D. Section Eight new construction financing commitment is obtained, or a subsidy is obtained for increased sales prices of the modular homes, we will not be committed to its completion. 2. The City is willing to pursue available AB 333 funds in the amount of $525,000 to facilitate the sale of the first 100 or so houses. 3. The City has committed $581,000 in Community Development Block Grant (CDBG) funds to the project. 4. The City agrees to apply City General Funds in the amount of $400,000 to cover cost of the Mobile Home project. 5. The City agrees to use its best efforts to facilitate the modifica- tion of the tract maps necessary to facilitate the phasing of the project and the bonding of the related project improvements. A SUBSIDIARY OF PACIFIC LIGHTING CORPORATION 0 City Council, City of Palm Springs Page 2 6. The City has agreed to use its best efforts to obtain tax-free municipal bonds (AB 1355) to finance the modular units. The City has further agreed to grant a priority to the project for any such bonds. 7. The City agrees that the lease of the nine-acre parcel for the interim mobile home park shall not be a violation of the State Subdivision Map Act. S. The City agrees to amend the lease and all applicable approvals re- lating to this project to substitute Fredricks Development Corpora tion for Fuqua Homes, thereby creating a partnership of Fredricks Development Corporation and AFCOM. 9. The City agrees that there should be no limitation of the sales prices of the 341 modular units, except that they shall be made available to persons whose incomes do not exceed 120% of the County of Riverside's median income. I hope the City Council can appreciate the difficulty in organizing and com- pleting such a complex project in such a short time frame. Despite these difficulties we are willing to dedicate our best efforts to the task based on the criteria outlined above. I trust that the items outlined in this letter accurately reflect our mutual understanding of the goals of this project and we look forward to its success- ful completion. Very truly yours, FREDRICKS DEVELOPMENT CORPORATION 4,�,uJr Wade Cable Executive Vice President WC:df M AFFORDABLE COMMUNITIES September 8, 1981 Mr, Norman King, City Manager 3200 E. Tahquitz McCellumn Road Palm Springs, CA 92263 Dear Mr. King: The purpose of this letter is to update the City Council with respect to development of the AFCOM project. The proposed Lessee of the City land provided for the project- was AFCOM Partners , Ltd. , a California limited partnership, in Which AFCOM is the general partner and Fuqua Industries (Fuqua) the limited partner. Fuqua's wholly owned subsidiary, Fuqua Homes , was to build the 341 manufactured houses for the project. Fuqua Industries , as the financial partner, was to provide the financing. On August 6 , 1981, Fuqua' s representative informed AFCOM that Fuqua had agreed in principal to sell its Fuqua Homes sub- sidiary to Kaufman and Broad. The nature of the negotiations was complicated by New York Stock Exchange and SEC requirements for confidentiality, since both firms are Big Board members . On August 10 , 1981, a meeting was held with Fuqua and IZaufman and Broad, and it was learned that neither party was any longer interested in pursuing the Palm Springs project, which they regarded as philanthropic in nature. Since we at AFCOM had relied on Fuqua' s assurances , we were stunned at their withdrawal from the project. While Fuqua 's initial interest was confined to the houses to be manufactured and sold in the project, as you know, AFCOM and the City of Palm Springs were primarily motivated by the plight of the tenants being evicted from the four existing trailer parks in the City. Although sworn to secrecy by the aforementioned SEC and NYSE requirements , the urgent need for an interim relocation site for the December 1 evictees from the Rancho park made it necessary to locate a replacement for Fuqua immediately. 505 Lomas Santa Fe Drive,Solana Beach,Ca.92075(714)4815593 Norman King September 8, 1981 Page 2 Fortunately, two old corporate friends of AFCOM were standing by. Lancer Homes , whose plant adjoins the Fuqua Homes plant in Corona, and Fredricks Development were immediately joined into negotiations. All the time these developments were occuring, the necessity to complete the final UDAG grant application was a burning issue. AFCOM, working with Tom Lynch, Dallas Flichek, the staff of the County of Riverside and their consultant, Sheldon Ganz:, was bent on completing a more competitive application in order to maximize the chances for success. The ,solution agreed upon by the parties involves several elements : 1. Fredricks Development will immediately construct the Southwest quadrant of the mobile home park for AFCOM in order to meet the November 20 , 1981 deadline. 2 . AFCOM will assign all its interest in the housing project to Fredricks . 3. Fredricks and Lancer will manufacture the 341 houses . 4 . Fredricks will construct the balance of the mobile home park for AFCOM. 5. The UDAG grant application will be amended to reduce the size of the grant from $2,300 ,000 to the minimum amount required to get the job done , in order to be as competitive as possible. 6 „ Fredricks will add the required amount to the price of the houses in order to complete the subsidy of the mobile home park and achieve the desired rent levels. 7 . The entire cost of the mobile home park will be provided by the total of the UDAG grant and the Fredricks grant which will be repaid to the City in the form of a permanent loan on the park. The City will thus recapture the cost, - approximately $3 , 400 ,000 , in principal, plus interest at 5% per annum, an additional $3, 170 , 000 , together with ground rent totaling $4 ,230 ,000, or a total of $10 ,800 ,000 over the next 30 years . This income, averaging $360 , 000 annually, may be used to deal with housing needs in other areas of the City. It is hoped that the Council will recognize the dramatic impact of the events outlined above on the staffs of AFCOM and your City. Without the experience of the past two years in working together, it would have been impossible to rise to this challange. Norman King September 8 , 1981 Page 3 I believe that our joint project will be hailed as the finest example of a working relationship between government and private industry. While there is much to be accomplished in the future, it is the spirit of that relationship which will provide the platforms for success . Sincerely, VL-a�� William T. Dawson WTD:jj cc : Wade Cable Abe Reider Tom Lynch Sheldon Ganz John Davis City Council RESOLUTION NO. 13975 OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, ACKNOWLEDGING PARTICI- PATION OF FREDRICKS DEVELOPMENT CORPORATION IN AFCOM AFFORDABLE HOUSING VENTURE. WHEREAS the City and AFCOM have entered into several agreements , all relating to the development of low and moderate income housing, including but not limited to mobile home spaces , to be situated upon city owned land to be leased to AFCOM, and WHEREAS one of the objectives of the venture has been to provide prepared sites for relocation of mobile homes from their present location in mobile home parks within the City , being closed or soon to be closed, the first of which is the Rancho Trailer Park , and WHEREAS AFCOM has now made and. is making arrangements with Fredricks Development Corporation , a California corporation, a subsidiary of Pacific Lighting Corporation, relating to construc- tion, development and financing of said low and moderate income housing venture , including immediate construction of a portion of the mobile home park, as contemplated by Amendment No. 1 to Lease Agreement No. 1696 , as approved by Resolution No. 13945 on August 11, 1981. NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs as follows : 1. Section 23 of Amendment No. 1 of Lease Agreement No. 1696 , with AFCOM Partners , Ltd. , which required Lessee to provide Lessor with assurances of funding commitment, in form accept- able to Lessor' s staff , no later than August 26 , 1981 , is hereby waived. 2 . The City Council acknowledges that AFCOM is working in con- junction with Fredricks Development Corporation to assure obtaining of necessary financing and funding to permit con- struction of the portion of the mobile home park necessary for relocation of the Rancho Trailer Park tenants, pursuant to interim development standards , in an expeditious manner, with the objective of completion of such portion of the venture in time to permit tenants displaced from Rancho Trailer Park to be relocated. 3. The City Council agrees to negotiate cooperatively and reason- ably with AFCOM and with Fredricks Development Corporation , as appropriate to make such modifications of the Lease Agreement or other documents as necessary to secure Fredricks Development Corporation' s position in the venture, provided that AFCOM and Fredricks Development Corporation assure the City Council that they will proceed in a diligent manner and prosecute to timely completion said portion of the mobile home park , and to that end assure that construction will commence within five (5) days of the issuance of permits by the City. The agreement contained Res. No. 13975 Page 2 in this paragraph to negotiate or modify the Lease Agree- ment and other documents is not intended, and shall not have the effect, of committing the City to the expenditure of any funds not heretofore contemplated in connection with said venture, or the waiver or foregoing of any fees , rentals , pay- ments or benefits of any kind other or different from the arrangements heretofore made with AFCOM Partners, Ltd. 4. The City Council acknowledges receipt of a letter of commit- ment dated September 8 , 1981, from Fredricks Development Corporation. The City Council accepts the terms and conditions stated therein, subject to the understandings stated in this paragraph, and directs the City Manager and his staff to in- corporate such terms in any modifications of the Lease Agree- ment or other appropriate documents pursuant to Section 3 here- of. It is the understanding of the City Council in accepting and agreeing to the terms of said letter: a) Upon sale of each modular unit, Fredricks Development Corporation will donate to the City of Palm Springs the sum of $5 ,000 , to be used by City to fund a loan for construction of all or part of the balance of the mobile home park, in excess of the initial phase. b) The modular housing units will be priced at such level that said units will be affordable to persons whose in- come does not exceed 1200 of the median income in the County of Riverside, in accordance with the City' s covenant control mechanism as expressed in Resolution No. 13614 (adopted December 4 , 1980) . c) The $5 ,000 per unit donation referred to in sub- paragraph (a) above shall not result in a price of each unit greater than the price permitted by subparagraph (b) above. d) Any offsite improvements required for the project (including but not limited to completing of offsite improve- ments constructed to lesser interim standards) , in excess of the $581, 855 committed by City, as referred to in paragraph number 3 of said Fredricks Development Corporation letter, shall be provided at Fredricks ' expense. 5. In amending the Lease Agreement, as contemplated in the fore- going paragraphs , provision should be made for release of any portion of the demised premises which shall not be developed within a reasonable time , to be agreed upon, to enable City to arrange alternative uses for such undeveloped portion of the land. 6 . Section 3 of Resolution No. 13945 , dealing with merger of Amendment No. 1 into Lease Agreement No. 1696 , is hereby amended to read as follows : "At such time as Lessee shall apply for necessary permits to proceed with any phase or portion of the pro- ject other than construction of the initial 85 units of the mobile home park , or at such earlier time as shall be mutually agreed by and between Lessee and the City Manager of Lessor, Amendment No. 1 shall become merged with Lease Agreement No. 1696 and said Lease according to its original terms shall supersede the amendment, except that Section 3 and Sections 18 , 19 and 20 concerning arbitration shall survive in any event. " Res. No. 13975 Page 3 ADOPTED this 8th day of September 1981. AYES: Councilmembers Beirich, Rose and Mayor Doyle NOES : Councilmembers Field and Ortner ABSENT: None ATTEST: CITY OF PALM SPRINGS , CALIFORNIA By s/J. Sumich s/Norman R. Ring City Clerk City Manager REVIEWED & APPROVED ,17 LEGAL DESCRIPTION FOR AFCOM That portion of the Southeast 1 of Section 35, Township 3 South, Range 4 East, San Bernardino base and meridian, in the City of Palm Springs, County of Riverside, State of California, described as follows: Commencing at the Southeas corner of said Section 35; thence North 89046' 28" West, (Record North 89 46' 27 7" West) , along the South line of said Section 30, a distance of 2082. 00 feet; thence North 0 15' 14" East, a dis- Ance of 44.00 feet to the true point of beginning; thencg continuing North 0 15' 14" East, a distance of 733.50 feet; thence South 89 46' 28" West, parallel wbth the South line of said Section 35, a distance of 566. 50 feet; thence South 0 15' 14" West, a distance of 733. 50 feet to a point on a line that is parallel with and 44. 00 feet Northernly of the Southerly line of said Section 35; thence North 89°46' 28" West, along said parallel line, a distance of 566.50 feet to the true point of beginning. Reserving therefrom an easement for a wind buffer zone over the Westerly 50. 00 feet thereof. AMENDMENT NO. 1 LEASE AGREEMENT WITH AFCOM PARTNERS, LTD. , A CALIFORNIA LIMITED PARTNERSHIP WHEREAS, the City of Palm Springs and AFCOM Partners Limited, a Cali- fornia limited partnership, entered into a lease agreement dated March 18, 1981 upon the terms, covenants, conditions and for consideration therein expressed; and WHEREAS, Lessee has requested interim development standards to construct an 85 space mobile home park prior to commencing the full site development plan; and WHEREAS, Lessee has requested deferment of all City fees for this 85 space phase until such time as the entire site is developed; and WHEREAS, Lessor seeks assurances from Lessee in a form acceptable to the Lessor's staff that Lessee has obtained a firm funding commitment for the 85 unit development; and WHEREAS, the parties to said lease agreement mutually desire to amend the agreement; NOW THEREFORE the parties to the lease agreement mutually agree as follows: SECTION 1 . Paragraph A on page 1 is amended to read hereafter as follows: Lessor owns the property described in detail in Exhibit "A" and is in escrow for the property described in Exhibit "B", which escrow is scheduled to close on or before August 31 , 1981 . SECTION 2. Article 1 , paragraph A, subparagraph 2 on page 3 is amended to hereafter read as follows: 2. Building Permits. The issuance by Lessor and any other governmental agency with jurisdiction over Lessee's proposed development of all building and other permits required for the construction of approximately 85 mobile home park spaces. SECTION 3. Article 1 , paragraph 3, on page 3 is amended to hereafter read as follows: The approval by the United States Department of Housing and Urban Development, (HUD) of Urban Development Action Grant funding, or the sale of mortgage revenue bonds, or other financing which will result in the provision of low and moderate income housing to meet HUD affordability criteria. SECTION 4. Article II on page 4 is amended to hereafter read as follows: Lessor hereby grants Lessee the right and privilege to construct, and thereafter operate, a mobile home park, including trailer pads for mobile homes, for the benefit of low and moderate income persons in accordance with plans and specifications approved by Lessor. However, no part of the premises may be used for any purpose tending to injure the reputation thereof, unreasonably disturb either the neighborhood or occupants of the neighboring property, or constitute a nuisance. Lessee and all persons using or occupying any part of the premises will comply with all relevant public laws, ordinances and regulations. Lessee shall , on the demised premises, have the right to and shall rent mobile home pads, and may provide other services incidental to services which are normally provided by such a development. It is specifically understood by Lessee that the rights and privileges granted herein are granted for purposes of operating a mobile home park for occupancy and benefit of low and moderate income persons and to be held for sublease to persons of low and moderate income and for'such purposes only. SECTION 5. Article III , paragraph A on page 4 is hereafter amended to read as follows: A. General Specifications. Lessee shall without cost to Lessor and wt to a tme perio s prescribed herein commence and complete construction of a mobile home park. The design of the development shall be approved by the Lessor. Lessee shall provide adequate automobile parking spaces as required by the standards of Lessor for this project. SECTION 6. Article III, paragraph B on page 5 is amended to hereafter read as follows: B. Submission of Plans and Specifications. It is understood that Lessee F-as--s-515-m-Taed pans anci specs ica tons for the mobile home park to Lessor prior to the execution of this agreement. Lessee's plans and specifications for building shall be subject to such approvals by Lessor as are currently required by applicable statues and ordinances. Such approvals shall not be unreasonably withheld. It is specifically understood and agreed by Lessee, however, that the improvements as allowed hereinabove shall be a mobile home park. SECTION 7. Article III, paragraph D. subparagraph 1 , on page 7 A is amended to hereafter read as follows: D. Construction Schedule/Default 1 . Within thirty (30) days following execution of this agreement, Lessee shall commence construction under interim construction standards which construction shall be completed no later than November 20, 1981 , plus the aggregate of any extensions granted by Lessor from the date of commencement of construction. It is expressly understood by Lessee that said date coincide with the closure of the Rancho Trailer Park and that this 85 unit development is intended for the benefit of those individuals displaced by the closure of said park. Therefore, time is of the essence. SECTION 8. Article IV, subparagraph J, on page 11 is amended by deleting the words "or any single family home." SECTION 9. Article IV, subparagraph K, on page 12 is amended to hereafter read as follows: K. Lessee agrees to waive all profit on the development phase of the mobile home park and to limit its overhead charge to three and one- half D W percent of its cost. SECTION 10. Article IV, page 12 is amended by adding paragraph N to read as follows: N. Lessee will pay or cause to be paid all development related fees originated by Lessor, however, said fees incurred by this 85 unit development and any proportionate common area related thereto, shall be deferred until such time as the entire project is completed as contemplated by Lease Agreement No. 1696 -2- SECTION 11. Article V, subparagraph B, on page 12 is amended to hereafter read as follows: B. Rent during the first two .yearsfollowing the effective date of this Lease (as defined in Article I, B. ) shall be on a graduated scale, starting at $40 for the first month, then increasing $20 per month for the second through twelfth month, to a total of $260 for the twelfth month. Rental for the thirteenth month shall be $270 per month, then increasing $30 per month for the fourteenth through the twenty-fourth months, to a total of $600 for the twenty-fourth month. The foregoing schedule notwithstanding, in the event that the mobile home park shall be completed prior to the twenty-fourth month, the scheduled rents shall accelerate to $600 per month starting on the 1st day of the following month. SECTION 12. Article V, paragraph C, subparagraph 1 on page 13 is amended to hereafter read as follows: 1 ) The base rent shall be the sum of $500 per month. SECTION 13. Article V, paragraph 7 on page 14 is amended to hereafter read as follows: 7) In no event shall the monthly rental for the twenty-fifth month or any succeeding months of this lease be less than $500 per month. SECTION 14. Article X, paragraph A, subparagraph 2, on page 23 is amended to hereafter read as follows: 2. If the Lessee shall abandon and discontinue the conduct and operation of said mobile home park for a period of six (6) months or more. SECTION 15. Article XI on page 24 is amended by deleting the words "and/or the single family residences thereon: and "and residential facilities." SECTION 16. Article XII, paragraph A on page 25 is amended to hereafter read as follows" A. Lessee may assign this Lease provided that it has satisfied the follow- ing conditions: SECTION 17. Article XII, paragraph A. subparagraph (2) is amended to here- after read as follows: (2) Lessor and the assignee of Lessee enter into a separate mobile home lease in a form acceptable to Lessor; SECTION 18. Article XII, paragraph B, and its subsections are deleted. SECTION 19. Article XVI on page 29 is amended to hereafter read as follows: Any controversy or claim arising out of or relating to this Agreement or the breach thereof, shall be settled by resort to arbitration upon the demand of either party hereto. Judgement upon the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. SECTION 20. Article XVI, paragraph C on page 29 is amended to hereafter read as follows: The parties each agree to request that an award be made within thirty (30) days after the close of the hearings. The provisions of Title 9 (Arbitra- tion) of Part 3 of the California Code of Civil Procedure are hereby ex- pressly wiaved by both parties. Should either party be dissatisfied with the award, it may seek a trial de novo provided that said trial de novo -3- subject to California Code of Civil Procedure Sections 1141 .20, 1141 .21 , 1141 .22, 1141 .23, 1141 .24, 1141 .25, 1141 .26, 1141 .27, and 1141 .28. SECTION 21 . Article XVL, paragrpahs D, E, F, and G. are added to hereafter read as follows: D. Arbitration shall take place at the offices provided by the Riverside Superior Court, Indio Branch, Indio, California. E. Discovery under the provisions of the California Code of Civil Procedure shall be available to the parties until thirty (30) days prior to the arbitration hearing, except that depositions shall not be taken unless both parties consent thereto at the time any such deposition is requested. F. The arbitration may proceed in the absence of any party who, after due notice fails to obtain an adjournment. G. This arbitration clause shall survive the recession of the agreement. SECTION 22. Article XVII, subparagraph J on pages 31 and 32 is deleted. SECTION 23. Article XVII, paragraph K, page 32, amended by adding subparagraph (6) to hereafter read as follows: (6) Notwithstanding the above, Lessee shall provide Lessor with assurances in a form acceptable to Lessor's staff by no later than August 26, 1981 that Lessee has obtained a firm funding commitment for the 85 unit develop- ment. SECTION 24. Except as expressly modified herein, all terms covenants, and conditions contained in said lease agreement are hereby ratified and shall remain in full force and effect. ATTEST: CITY OF PALM SPRINGS, CALIFORNIA BY i lr` a P Y i Y er City manager LESSOR REVIEWED & APPROVED r AFCOM PARTNERS LTD. , A CALIFORNIA LIMITED PARTNERSHIP By AFCOM, A California Corporation General Par r onia Soniu, President F,rse Nc0 13< fl -4- RESOLUTION NO. 13945 OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING AMENDMENT NO. 1 TO LEASE AGREEMENT NO. 1696 , AFCOM PARTNERS, LTD. WHEREAS the City of Palm Springs and AFCOM PARTNERS, LTD. , on March 18, 1981 entered into Lease Agreement No. 1696 upon the terms, covenants, conditions, and for the con- sideration therein expressed; and WHEREAS the parties to this base Agreement No. 1696, as heretofore amended, mutually desire to further amend said agreement, NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs as follows: Section 1. Amendment No. 1 to Lease Agreement No. 1696 between the City of Palm Springs and AFCOM PARTNERS, LTD. is hereby adopted. Section 2. Except as modified by the above stated amend- ments, Lease Agreement No. 1696 shall remain in full force and effect. Section 3. At such time as the 85 unit mobile home pads are completed, Amendment No. 1 shall become merged with Lease Agreement No. 1696 and said lease by its original terms shall supercede the amendment except that Section 3 and Sec- tions 18, 19 and 20 concerning arbitration shall survive in any event. ADOPTED this llth day of August 1981. AYES: Councilmembers Field, Ortner, Rose and Mayor Doyle NOES: None ABSENT: Councilmember Beirich ATTEST: CITY OF PALM SPRINGS , CALIFORNIA By s/J. Sumich s/Norman R. King Deputy City Clerk City Manager REVIEWED & APPROVED AFCOM Partners,Ltd. - Lease approx 100 acres in Sec 35 mobile home park & low cost housing San Rafael/Sunrise AGREEMENT #1696(orig 3-18-81) LEASE AGREEMENT Res 13749,_ 3-18-81 _ THIS LEASE, made and entered into this 17"�_day of 1981 by and between the CITY OF PALM SPRINGS, CALIFORNIA, a Municipal Corporation, here- inafter referred to as LESSOR, and AFCOM PARTNERS, LTD. , a California limited partnership, hereinafter referred to as LESSEE. RECITALS A. Lessor owns the property described in detail in Exhibit "A" , attached hereto and made a part hereof, located in the City of Palm Springs , County of Riverside, State of California, and B. Lessor wishes to enter into the lease of said property in the interest of furthering and carrying out its public purpose; and C. Lessee proposes to make certain improvements on the land leased hereunder which improvements contemplate that the Lessee shall construct upon the leased premises (1 ) a mobile home park develop- ment and related facilities and improvements and to thereafter operate the same for the occupancy and benefit of low and moderate income persons and (2) a single family home development to be held for sub-letting to persons of low and moderate income. NOW THEREFORE, in consideration of the rents, covenants , and agreements con- tained herein and other valuable considerations, Lessor hereby rents, leases to Lessee and Lessee hires, leases and takes from Lessor on the terms and conditions hereinafter set forth, a tract of land in the City of Palm Springs, County of Riverside, State of California, consisting of 100 acres , more or less, more particularly described in the description attached hereto as Exhibit "A" and made a part hereof for all purposes. Agr. No. Page 2 ARTICLE I - TERM The term of the leasehold estate will be fifty (50) years , commencing as set forth in Section "A" below, and ending at 12:01 a.m. Pacific Coast Time on the 50th calendar anniversary of the commencement date. A. Commencement. The Lease will commence when the following conditions or events have been satisfied or have occurred: 1 . Title Insurance. (a) Issuance by a title insurer reasonably acceptable to Lessee, on or before July 1 , 1981 , of an extended coverage ALTA leasehold policy of title insurance, in favor of Lessee, in an amount of not less than $ 600,000 insuring to Lessee that title to the leasehold estate created hereunder is vested in Lessee, subject only to covenants, restrictions, easements and other matters acceptable to Lessee, as hereinafter provided. (b) The premium for the title insurance policy will be paid by Lessee. (c) Lessee will cause the title insurer to prepare and issue a preliminary title report covering the Premises promptly following execution of this Lease. (d) Lessee will notify Lessor in writing of any objections to the state of title within fifteen (15) days following Lessee's receipt of the preliminary title report and copies of all relevant underlying documents . Lessee will be considered to have approved the title with respect to any matter to which no objection has been raised. (e) Lessor will endeavor in good faith to remove, or cause to be removed, from the title any matter objected to by Lessee. If Lessor is unable to remove or cause to be removed the objectional matters from title to the Premises within ninety (90) calendar days after the notice of objection, Lessee may MEMORANDUM DATE : TO : FROM SUBJECT : - p p i c / y7 ry i CITY OF PALM SPRINGS ATE(MN1/DD/YY) vAK:%lC. ._.0 RTIFItl.,,cA "'— O L11ABU k '! . 1NS4.1 RAv'CE 47L?QT21-I D05/21/97 T PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE- Gallagher Alliance Insurance HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR 7600 DT. l6 th St. , Suite 201 / p/. ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. Phoenix AZ 85020-4447 (� \\,1 COMPANIES AFFORDING COVERAGE COMPANY PgpRa No. G02-996-7600 Fax No, / A American Modern Home INSURED \� COMPANY f� �n J'a' `^�"" B Santiago Management Co. , Inc.Inc. COMPANY 0/0 Richard Simonian C_ P.O. Box 11927 COMPANY ^- Santa kna CA 92711 D COVERAGES THIS IS TO CERTIFY TI-IAT TI1E POLICIES Or INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED,NOTWITI ISTANDING ANY REQUIREMENT, FERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICI I THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. CO TYPE OF INSURANCE POLICY NUMBER POLICY EFFCCFIVE POLICV EXPIRATION LIMITS ITR DATE IMNI/DD/YY) DATE IMM/DD/YY) GENERAL LIABILITY GENERAL AGGREGATE 52,000,000 A, X COMMERCIAL GENERAL LIABILITY BP23905000 04/30/97 04/30/96 PRODUCTS-COMP/OP ADD 5I, 000,000 -- The limits of liability sh Wn -" CLAIMS MADE f X.]OCCUR reflect the limits at ince tion. PERSONAL F ADV INJURY S1_000,000 OWNERS&COP]TRACTOR'S PROT Arthur J. Gallagher & Cu. I Des EACH OCCURRENCE $ 1,000,000 not assume any responsibil ty FIRE DAMAGE IAm/mle[,,.I $ ]„00,000 for notification in the ev ml: of --- -- deuletion of the aggregate MEDEXPIAnYOR.P,soR) 5 5,000_ ADTOMOLILE LIABILII"Y COMBINED SINGLE LIMIT s1,000,000 ANY AUTO BINDER 04/30/97 04/30/98 ALL OWNED AUTOS BODILY INJURY A _X SCHEDULED AUTOS IPcr Parsonl A X HIRED AUTOS BODILY INJURY A X NON OWNED AUTOS IPe,acciJenO S --------- PROPERTY DAMAGE S GARAGE LIABILITY .r AUTO ONLY-EA ACCIDENT 5 ANY AU"I'0 OTI IER THAN AUTO ONLY: EACH ACCIDENT AGGREGATE 5 EXCESS LIABILITY EACH OCCURRENCE $ 5,000,000 B X UMBREIAAFORM 79736649 01/30/97 04/30/98 AGGREGATE 45,000,000_ Ol'I IER THAN UMBRELLA FORM $ WORI(ERS COMPENSATION AND WC BTATIJ- OlH- EMPLOYERS'LIABILITY TORY LIMITS ER EL EACH ACCIOEIRT $ THE PROPRIETOR/ I IPICL EL DISEASE-POLICY LIMIT S PARTNERS/EXECUTIVE 1 -OFFICERS ARE EXCL El.DISEASE [AEMPLOYEE $ —_ OTHER A PERS PROP BP23905000 04/30/97 04/30/9B 100% Coin, DESCRIPTION OF OPERATIONS/LOCATIONSIVT:IIICLCS/SPECIAI.ITEMS A \ 1500 E. San Rafael St. , Palm Springs, CA J Sunrise Village MHP CERTIFICATE HOLDER CANCELLATION CI`L•YC•PC SHOULD ANY OFIHE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF,THE ISSUING COMPANY WILL A Eff(AP I A MAIL 10 DAYS WHI17EN NOTICE TO TUC CERTIFICATE HOLDER NAMED TO THE LEFT, City Cleric - City o£ Palm T fl ry 1 IhnL ° r }�° OrT. IAf3INr SpJ:ings d I Ic��j �r "F,all,I dya u`' �rfiak ./�L�/�!� P.O. Box 193924 P _ ALIN IORIZED REPRESENTATIVE Palm Springs CA 9226.7. /.� ACORD 25.5 (1/95) /� �"• � l ©ACO�D CYYR,O4RATION '1988 sP P.O. BOX 807, SAN FRANC1SCO,CA 94101-0807 C01POPIENSATION INS 1_11 R AN CE CERTIFICATE OF WOFIKER& COMPENSATION INSURANCE POLICY NUMBER: 4SO-97 UNIT 0000030 ISSUE. DATE: 07-01-97 CERTIFICATE EXPIRES- 07-01-98 CITY OF PALM SPRINGS JOI ALL OPERATIONS LEASING DIVISION ATTN: TRICIA SANDER 3200 EAST TAHQUITZ MCCALLUM WAY PALM SPRINGS, CA 92262 This is to certify that we have issued a valid Workers' Compensation insurance policy in a form approved by the California Insurance Commissioner to the employer named beiaw for the policy period indicated. This policy is not subject to cancellation by the Fund except upon 10days' advance written notice to the employer We will also give you lo days' advance notice should this policy be cancelled prior to its normal expiration. This certificate of insurance is not an insurance policy and does not amend, extend or alter the coverage afforded by the policies listed herein. Notwithstanding any requirement, term, or condition of any contract or other document with respect to which this certificate of insurance may he issued or may pertain, the insurance afforded by the policies described herein is subject to all the terms, exclusions and conditions of such policies. PRESIDENT EMPLOYER'S LIAKLITY LIMIT INCLUDING DEFENSE COSTS: $1,0o0,000.00 PER OCCURRENCE. EMPLOYER LEGAL ,NAME. SANTIAGO MANAGEMENT CO, INC. SANTIAGO MANAGEMENT COMPANY INC. AND/OR P 0 BOX 11927 SANrIAGO HOMES INC SANTA ANA CA 82711 �TQ %- ASSOCIATED ELECTRIC & GAS INSURANCE SERVICES LIMITED Hamilton, Bermuda CERTIFICATE OF INSURANCE The undersigned hereby certify that the following described insurance is in force at this date with Associated Electric & Gas Insurance Services Limited. NAME OF INSURED: Pacific Lighting Corporation and its Non-Utility Related Subsidiaries Fredricks Development Corporation, 18 Brookhollow-Dr. , Santa Ana, CA PRINCIPAL ADDRESS: 810 South Flower Street Los Angeles, California 90017 POLICY NUMBER: 191A POLICY PERIOD: 12:01 A.M. FROM: September 1, 1981 TO: September 1, 1984 LIMIT OF LIABILITY: $15,000,000. DESCRIPTION OF COVERAGE: Excess Liability above the following retentions: $ 100,000. any one occurrence -- General Liability $ 100,000. any one occurrence -- Automobile Liability $ 100,000. any one occurrence -- Workers' Compensation $ 100,000. any one occurrence -- Employers' Liability and Employers' Liability for Occupational Disease $ 10,000,000„ any one occurrence -- Aircraft Liability Annual aggregate of $500,000 applicable Additional Interest Insured: CITY OF PALM SPRINGS As Respects: .AFCOM - 1600 San Rafael, NW Corner of San Rafa01 & Sunrise Sob No. 8107.01 This document is furnished to you as a matter of information only. The issuance of this document does not make the person or organization to whom it is issued an additional assured, nor does it modify in any manner'the contracts of insurance between the Insured and the Insurers. Any amendment, change or extension of such contracts can only be effected by specific endorsement attached thereto. Should the above mentioned contract of insurance be cancelled, assigned or changed during the above named policy period in such manner as to affect this document, we will W31d >a tk to give notice to the holder of this document.. * 30 days *I£ time limitation on notice is necessary. DATED: September 15 , 1981 ISSUED TO: CITY OF PALM SPRINGS ADDRESS: P. 0. Box 1786 Palm Springs CA Attn: Tom Lynch ASSOCIATED COMPANY MANAGEMENT OF EBASCO LIMITED BY: " 1 / At Hamilton, Bermuda AEGIS 2 81