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HomeMy WebLinkAboutRes OB-175 (2)STAFF REPORT OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY ECONOMIC DEVELOPMENT DEPARTMENT DATE: May 7, 2018 PREPARED BY: Martin Alvarez, Director of Economic Development REQUEST: Authorization to execute a Purchase and Sale Agreement (PSA) with the City of Palm Desert to sell the Successor Agency to the Palm Desert Redevelopment Agency's (SARDA) property located at the northeast corner of Country Club Drive and Desert Willow Drive, also known as Site 12(e) on the Long Range Property Management Plan (LRPMP) Recommendation Waive further reading and adopt Resolution No. OB - 175 , authorizing execution of a Purchase and Sale Agreement with the City of Palm Desert for property located at the northeast corner of Country Club Drive and Desert Willow Drive, Palm Desert (APN 620-370-002, -003, -004, -017, -018, -020, -033, -043), Property No. 12(e) of the Long- Range Property Management Plan, and taking related actions. (contra�t tvo. SA36970) Backqround On June 2, 2014, the SARDA's Long Range Property Management Plan (LRPMP) was approved by the State Department of Finance. The subject parcels are identified as Site 12(e) on the LRPMP and require disposition at or above fair market value. The subject site is located at the northeast corner of Country Club Drive and Desert Willow Drive and consists of nine parcels totaling 11.16 acres. The parcels are designated Suburban Retail in the City's General Plan and are zoned Neighborhood Commercial. The property is bisected by an access road that starts at Desert Willow Drive and runs east into the adjacent Ralph's Shopping Center. Discussion With the dissolution of the Redevelopment Agency and the approval of the LRPMP, the SARDA is tasked with selling Site 12(e). In anticipation of the sale of the property, SARDA staff contracted with Capital Realty Analyst (CRA) to conduct a fair market appraisal of the 11.16-acre site. CRA's appraised value for the site is $2,670,000 based Oversight Board Staff Report Authorize Purchase/Sale Agreement Site 12(e) LRPMP May 7, 2018 Page 2 of 2 on its current zoning of Neighborhood Commercial. CRA's appraisal complies with the reporting requirements set forth in the Uniform Standards of Professional Appraisal Practice, under Standard Rule 2-2(a) (see attached appraisal). Consistent with the approved LRPMP, SARDA staff has prepared a PSA that will sell Site 12(e) to the City of Palm Desert. The attached PSA authorizes the sale of the property to the City of Palm Desert for the appraised value. Staff recommends that the Executive Director be authorized to finalize and execute the attached PSA, once the State Department of Finance grants approval. Fiscal Analysis Site 12(e) is listed on the LRPMP to be sold for fair market value. The LRPMP requires that all proceeds of the sale be distributed as property taxes to the affected taxing entities, in accordance with the terms of the California Health and Safety Code, Section 34191.5 (c)(2)(B). Each taxing entity including the City will receive a portion of the proceeds based on their respective tax rate. LEGAL REVIEW Approved as to Form �� �� Robert W. Hargreaves City Attorney DEPT. REVIEW Martin Alvarez Economic Development Director FINANCIAL REVIEW CITY MANAGER VENDOR ATTACH M E NTS �.�1. � � C�'�'����C.-�-� �J�iet Moore Csrector of Finance � � �� _ r� � Lauri Aylaian City Manager/Executive Director N/A (5-0, � �.�,�i�n�.,-� PSA .1BY OVERSIGHi BOARL� flb�S6nl'r) Property Appraisal ON �.� — Q�1 —�� VERIFIED B Original on file with City Clerl�s Offic G\Econ Development\Martin Alvarez\SA Property Sales\Desert Willow Lot Pads\Lot Pad E\OSB SR-Lot Pad E- OS-07-18 doc Oversight Board Staff Report Appraisal Contracts May 1, 2018 Page 3 of 3 Fiscal Analvsis Funds to cover the costs of the appraisals completed are available in the State Department of Finance (DOF) approved ROPS 2017/2018B, costs associated with disposition of assets line item 190. Funds to cover the four remaining LRPMP sites are available in the DOF approved ROPS 2018/2019A/B, costs associated with disposition of assets line item 190. LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW EXECUTIVE DIRECTOR NIA Robert W. Hargreaves Martin Alvarez City Attorney Director of Economic Development Attachments: Resolution NO. OB - 176 � / � ������� ,�"et Moore Director of Finance � ��� '� ' �� 2 Lauri Aylaian Executive Director � n^,� (5-c�, � ��o �J� �t �`� � BY OVERSIGHT SOAF t '�DS6r1`Z', ()N o��— �� — � ( X VERIFIET3 �'� � S'c��_ Original on file with City Cierl�s O�ice G.\Econ Development\Martin Alvarez�2018\OSB\OB Appraisals doc RESOLUTION NO. OB- 175 A RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY AUTHORIZING THE EXECUTION OF A PURCHASE AND SALE AGREEMENT FOR PROPERTY LOCATED AT NORTHEAST CORNER tJF COUNTRY CLUB DRIVE AND DESERT WILLOW DRIVE, PALM DESERT, CA (APN 620-370-002, 003, 004, 017, 018, 020, 033, 043, PROPERTY 12e OF THE LONG RANGE PROPERTY MANAGEMENT PLAN WITH THE CITY OF PALM DESERT RECITALS: A. Pursuant to AB X1 26 (enacted in June 2011), as modified by the California Supreme Court's decision in California Redevelopment Association, et al. v. Ana Matosantos, et al., 53 Cal. 4th 231 (2011), the Palm Desert Redevelopment Agency (the "Former Agency") was dissolved as of February 1, 2012 and the Successor Agency was established, and the Oversight Board to the Successor Agency (the "Oversight Board") was constituted. B. AB 1484 (enacted June 2012) amended and supplemented AB X1 26 (AB X1 26 and AB 1484, together, being referred to below as the "Dissolution Act"). C. Pursuant to the Dissolution Act, the Successor Agency is tasked with winding down the affairs of the Former Agency. D. Pursuant to Section 34175(b) of the California Health and Safety Code ("HSC"), all real properties of the Former Agency transferred to the control of the Successor Agency by operation of law. E. On May 5, 2014, the Oversight Board adopted Resolution No. OB-073, approving a long-range property management plan (the "LRPMP") which addresses the disposition of the real properties owned by the Successor Agency. F. As indicated in the Department of Finance's (DOF) letter dated June 2, 2014, the DOF has approved the LRPMP. G. Pursuant to HSC Section 34191.3, the DOF approved LRPMP shall govern, and supersede all other provisions of the Dissolution Act relating to, the disposition and use of the real property assets of the Former Agency. H. Pursuant to the approved LRPMP, the Oversight Board authorizes the execution of a Purchase and Sale Agreement (see Exhibit A) with The City of Palm Desert for Property 12e of the LRPMP (APN 620-370-002, 003, 004, 017, 018, 020, 033, 043) in the amount of $2,670,000.00 (fair market value). I. In accordance with the terms of California Health and Safety Code Section 34191.5(c)(2)(B), the proceeds of this property sale will distributed as property taxes to the affected taxing entities. � RESOLDTION N0. OB - 175 J. The Oversight Board is adopting this Resolution to direct the execution of the Purchase and Sale Agreement (see Exhibit A) with The City of Palm Desert for fair market value as directed by the approved LRPMP. K. Notice of the proposed action presented in this Resolution was posted on the Successor Agency's website (being a page on the City's website) and at three public places: beginning on April 26 , 2018. NOW, THEREFORE, THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: Section 1. The above recitals, and each of them, are true and correct. Section 2. The Oversight Board hereby authorizes and directs the Successor Agency to complete the execution of the Purchase and Sale Agreement (see Exhibit A) with The City of Palm Desert for fair market value as directed by the approved LRPMP. The Executive Director of the Successor Agency is hereby authorized to execute the Purchase and Sale Agreement to comp{ete the disposition of the properties. Section 3. The members of the Oversight Board and officers and staff of the Successor Agency are hereby authorized and directed, jointly and severally, to do any and all things which they may deem necessary or advisable to effectuate this Resolution. Section 4. This Resolution shall become effective in accordance with HSC Section 34181(�. APPROVED and ADOPTED this day of , 2018. AYES: NOES: ABSENT: ABSTAIN: SUSAN MARIE WEBER, CHAIR ATTEST: RACHELLE D. KLASSEN, SECRETARY OVERSIGHT BOARD FOR THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY -z- RESOLUTION NO. OB - 175 EXHIBIT A OVERSfGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY PURCHASE AND SALE AGREEMENT FOR PROPERTY LOCATED AT NORTHEAST CORNER OF COUNTRY CLUB DRIVE AND DESERT WiLLOW DRIVE, PALM DESERT, CA (APN 620-370-002, 003, 004, 017, 018, 020, 033, 043, PROPERTY 12e OF THE LONG RANGE ROPERTY MANAGEMENT PLAN WITH THE CITY OF PALM DESERT -3- RESOLIITION NO. OB — 175 AGREEMENT OF PURCHASE AND SALE AND ESCROW INSTRUCTIONS CONTRACT NO. SA36970 Foresite Escrow Escrow No.: 41-995 Boardwalk, Suite G-2 Palm Desert, CA 92211 Attention: Esther Lopez, Escrow Officer ("Escrow Holder") THIS AGREEMENT OF PURCHASE AND SALE AND ESCROW INSTRUCTIONS ("Agreement") is dated for reference purposes as of this day of , 2018 (the "Effective Date"), by and between the SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY, a public entity ("Seller"), and CITY OF PALM DESERT, a California municipal corporation ("Buyer"). The Seller and Buyer are hereinafter sometimes individually referred to as a"party" and collectively referred to as the "parties". This Agreement is made with reference to the following facts: RECfTALS A. Seller is the owner of certain real property located in the City of Palm Desert, Riverside County, California, commonly known as APNs: 620-370-002, 003, 004, 017. 018, 020, 033 and 043 and more particularly described in Exhibit A attached hereto ("Property"}. Reference herein to the Property includes all of Seller's right, title and interest in and to any and all improvements, fixtures, rights-of-way, utility rights, entitlements, claims or other benefits in any way connected with the Property. B. Buyer desires to purchase the Property from Seller and Seller desires to sell the Property to Buyer pursuant to the terms and conditions set forth in this Agreement. THE PARTIES AGREE AS FOLLOWS: 1. Purchase and Sale of Property. Upon the terms and conditions described below, Buyer agrees to purchase and Seller agrees to sell and convey the Property to Buyer. 2. Purchase Price. The purchase price for the Property will be an amount equal to Two Million Six Hundred Seventy Thousand Dollars ($2,670,000.00} ("Purchase Price"). The Purchase Price shall be paid in cash, and this Agreement is not subject to any financing contingency. 3. Pavment of Purchase Price. Not later than two (2) business day prior to Closing, Buyer shall deposit with Escrow Holder in immediately available funds the Purchase Price, together with such other amounts as may be required in order to pay Buyer's share of closing costs and prorations. -1- I2812-0001�2f 7139�v2.doc RESOLUTION NO. OB - 175 4. Title. CONTRACT NO. SA36970 4.1 Preliminary Title Report. Upon execution of this Agreement by both parties, Seller will order from Lawyer's Title Company, 3480 Vine Street, Suite 300, Riverside, California 92507 ("Title Company") a preliminary title report, together with legible copies of ali title exception documents described therein (collectively the "Report"). Within five (5) business days after Buyer's receipt of the Report, Buyer may object, by written notice to Seller, to any titie exceptions which Buyer determines are unacceptable, in Buyer's sole discretion. Seller may thereafter elect, at its option and at its sole cost and expense, either to eliminate such title objections prior to or at the Close of Escrow, or not to do so. If Seller is unable or unwilling to eliminate any such title objections, Buyer may elect to terminate this Agreement. Alternatively, Buyer may elect to waive any such title objections and accept title to the Property subject to such matters. 4.2 Title Policv. At Close of Escrow, Seller will convey good and marketable title to the Property to Buyer as evidenced by a CLTA Standard Form Owners Policy of Title Insurance, or at Buyer's election and expense, an ALTA Extended Owner's Policy of Title Insurance, issued by the Title Company in an amount equal to the Purchase Price, and containing such endorsements (the "Endorsements") as Buyer may, at Buyer's expense, reasonably require ("Title Policy"). 5. [Intentionally Omitted]. 6. As Is Acceptance of Property. Buyer acknowledges that prior to Close of Escrow, it will have had the opportunity to conduct such tests and evaluations as it deems reasonably necessary in order to investigate the condition of the Property, including its environmental status. Buyer acknowledges that it is acquiring the Property in its "as is" condition with no warranty or representation from Seiler regarding the physical condition of the Property, its environmental condition or its suitability for Buyer's intended purposes. Buyer acknowledges that it is acquiring the Property based solely in reliance on its own inspections and examination and its own evaluation of the Property. Buyer agrees that no representations, statements or warranties have at any time been made by Seller or its agents regarding the physicai condition of the Property except as may be contained in this Agreement. Buyer acknowledges that there may be conditions affecting the Property unknown to Buyer that may adversely affect its value or use for Buyer's intended purposes. Buyer nevertheless waives any rights or recourse it may have with respect to such unknown conditions and any damage, loss, costs or expense related thereto, including rights accruing under California Civil Code § 1542, which provides� "A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor." -2- 12812-0001�217139�v2 doc RESOLUTION NO. OB — 175 CONTRACT NO. SA36970 Buyer acknowledges that it has either consulted with or had an opportunity to consult with legal counsei regarding the above waiver. The provisions of this Section 6 will survive Close of Escrow. Buyer's Initiais 7. Escrow. 7.1 Escrow instructions. This Agreement shall constitute instructions of Buyer and Seller to Escrow Holder. The parties agree to execute such additional pro forma instructions as Escrow Holder may reasonably require, however, in the event of a conflict, the terms and provisions of this Agreement shall govern. 7.2 Openinq of Escrow. Upon execution of this Agreement, Buyer and Seller shall cause an escrow to be opened with Escrow Holder by depositing with Escrow Holder a fully executed copy of this Agreement. Escrow shall be deemed opened as of the date this Agreement is deposited with Escrow Hoider ("Escrow Opening"). 7.3 Close of Escrow; Closinq Date. "Close of Escrow" shall mean the date on which the Grant Deed conveying title from Seller to Buyer is recorded in the Official Records of the County Recorder of Riverside County, California. The form of the Grant Deed will be as set forth in Exhibit B attached hereto. Provided that this Agreement is not earlier terminated pursuant to the terms and provisions hereof, and provided that all of the conditions precedent to the Close of Escrow set forth in this Agreement have been approved or waived as herein provided, Escrow shall close on or before thirty (30) days following the Escrow Opening ("Closing Date"). Seller may terminate this Agreement if Seller has performed its obligations hereunder, and failure to close Escrow results from a materiaf defauit by Buyer. Buyer may terminate this Agreement if Buyer has performed its obligations hereunder, and failure to close Escrow results from a material default by Seller. By causing the Close of Escrow to occur, Escrow Holder shall be deemed to have irrevocably committed to cause the Title Company to issue the Title Policy to Buyer. If the County Recorder of Riverside County, California is closed on the last day for closing Escrow, then the parties agree that Escrow Holder shall have until the next day the Recorder is open to record the Grant Deed and close Escrow. 7.4 Documents and Funds from Buver. Not later than two (2) business days prior to the Closing Date, Buyer will deliver or will assure that the following documents and funds have been delivered to Escrow Holder: (a) Purchase Price. The Purchase Price, as described in Section 2 above. (b) Preliminary Chanqe of Ownership Statement. A Preliminary Change of Ownership Statement or in lieu thereof, the appropriate fee, to be provided to the Recorder's office at Close of Escrow. -3- 12812-0001�2171395v2.doc RESOLDTION N0. OB — 175 CONTRACT N0. SA96970 (c) Other Sums and Documents. All other sums and documents required by Escrow Holder according to this Agreement to carry out and close the Escrow. 7.5 Documents and Funds from Seller. Not later than two (2) business day prior to the Closing Date, Seller will deliver or will assure that the following documents and funds have been delivered to Escrow Holder: (a) Grant Deed. The Grant Deed, duly executed and acknowledged by the Buyer and Seller, conveying a fee simple interest in the Property to Buyer. (b) FIRPTA Affidavit. The Seller's affidavit as contemplated by California Revenue and Taxation Code Section 18662. (c) Other Sums and Documents. All other documents and sums required by Escrow Holder according to this Agreement to carry out the Escrow and to issue the Title Policy to Buyer in the form required by Buyer. 7.6 Conditions to the Close of Escrow. Close of Escrow shall not take pface unless and until: (a) Seiler's Obiiqation. Seller's obligation to sell the Property to Buyer is contingent on the following: (i} Buyer shall have delivered the Purchase Price, less any credits described in this Agreement, for the Property. (ii) Buyer shall have timely performed all other obligations of Buyer under this Agreement. In the event that any of the foregoing conditions have not occurred or been satisfied or waived by the Closing Date, Se{ler shafl be entitled to terminate this Agreement and, subject to the provisions of Section 7.9 below, any funds deposited by Buyer and any interest thereon will be returned to Buyer. (b) Buver's Obliqation. Buyer's obligation to purchase the Property is contingent on the following: (i) Buyer shall have approved or shall be deemed to have approved the Report for the Property pursuant to Section 4.1. (ii) Seller shall have delivered insured title to the Property on the terms required by Section 4. (iii) No loss or damage to the Property shall have occurred which would permit Buyer to terminate this Agreement pursuant to the provisions herein below. C� I 28 I 2-000 l�217 I 395 v2. doc RESOLDTION NO. OB — 175 CONTRACT NO. SE�697Q (iv) Seller shal{ have performed all of its other obligations under this Agreement. In the event that any of the foregoing conditions have not occu�red or been satisfied or waived by the date(s) specified, Buyer shall be entitled to terminate this Agreement and, subject to the provisions of Section 7.9 below, any funds deposited by Buyer, and any interest thereon will be returned to Buyer. (c) Delivery of Sums and Documents. Both parties have deposited with Escrow Holder all sums and documents required by this Agreement. (d) Title Policv. The Title Company is prepared to issue the Title Policy to Buyer with title as described in Section 4 above. 7.7 Closinq Procedure. Upon receipt of all funds and instruments described in this Section 7, and upon satisfaction or waiver of all contingencies and conditions set forth in this Agreement, Escrow Holder shall: (a) Record the Grant Deed. Record the Grant Deed in the Official Records of Riverside County, California. (b) Title Policy. Cause the Title Policy to be issued. (c) Purchase Price. Deliver the Purchase Price to Seller, less any costs and expenses shown on the closing statements approved by Seller and Buyer, which costs and expenses shall be disbursed as instructed by Seller and Buyer in escrow instructions delivered to Escrow Agent prior to the Closing Date. 7.8 ElectronicJCounterpart Documents. ln the event Buyer or Seller utilizes "facsimile" or other electronically transmitted signed documents, the parties hereby agree to accept and instruct Escrow Holder to rely upon such documents as if they bore originaf signatures. Buyer and Seller hereby agree to provide to Escrow Holder such documents bearing the original signatures within seventy-two (72) hours after transmission. Buyer and Seller further acknowledge and agree that electronically transmitted documents bearing non-original signatures will not be accepted for recording. Escrow Holder is authorized to utilize documents which have been signed by Buyer and Seller in counterparts. 7.9 Costs of Escrow. Buyer and Seller agree that Seller will pay all closing costs. Additionally, (i) Buyer agrees to pay pay one-half ('/z) of Escrow Holder's fee, and any additional costs and charges customarily charged to buyers in accordance with common escrow practices in Riverside County and (ii) Seller shall pay one-half ('/z) of Escrow Hoider's fee, the costs and expenses associated with the issuance of the Title Policy as described in Section 4, and any additional costs and charges customarily charged to sellers in accordance with common escrow practices in Riverside County. -5- 12R12-0001�2171395v2 doc RESOLIITION N0. OB — 175 CONTRACT N0. SA36970 7.10 Propertv Taxes and Assessments. Under Seller's ownership, the Property has not been subject to real property taxes or assessments. At the Close of Escrow, Buyer will become liable for all real property taxes and assessments (including any supplemental assessments) ailocable to the Property after the Close of Escrow. 7.11 Brokers' Commissions. Neither party has had any contact or dealings regarding the Property, or any communication in connection with the subject matter of this transaction, through any real estate broker or other person who can claim a right to a commission or finder's fee in connection with the sale contemplated herein. If any other broker or finder perfects a claim for a commission or finder's fee based upon any such contact, dealings or communication, then the party through whom such person makes its claim shall indemnify, hold harmless and defend the other party (the "Indemnified Party") from any and all costs, damages, claims, liabilities, losses, or expenses, (including without limitation, reasonable attorneys' fees and disbursements) incurred by the Indemnified Party in defending against the claim. The provisions of this Section shall survive termination of this Agreement and the Close of Escrow. 7.12 Possession. Possession of the Property shall be surrendered to Buyer at the Close of Escrow. 7.13 Report to IRS. After Close of Escrow and prior to the last date on which such report is required to be filed with Internal Revenue Service ("IRS"), and if such report is required pursuant to Section 6045(e) of the Internal Revenue Code, Escrow Holder shal{ report the gross proceeds of the purchase and safe of the Property to the IRS on Form 1099-B, W-9 or such other form(s) as may be specified by the IRS pursuant to said Section 6045(e). Concurrently with such filing, Escrow Holder shall deliver a copy thereof to Buyer and Seller. 8. Remedies for Default. If Se{ler defaults under this Agreement, Buyer may, at its option, terminate this Agreement or initiate an action for specific performance of this Agreement. 9. Notices. Any and all notices required or permitted to be given hereunder shall be in writing and shall be (i) personally delivered, or (ii) sent by recognized overnight delivery service, mailed by certified or registered mail, return receipt requested, postage prepaid. Any such notice or communication shall be effective when received by the addressee or upon refusal of such delivery to the parties at the addresses indicated befow: To Seller: Successor Agency of the Palm Desert Redevelopment Agency c/o City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 Attn: Executive Director �'� 12812-0001�2171395v2 doc RESOLUTION NO. OB — 175 To Buyer: City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 Attn: City Manager CONTRACT N0. SA36970 Any party may change its address by a notice given to the other party in the manner set forth above. 10. Miscellaneous. 10.1 Inteqration. This Agreement supersedes all prior agreements and understandings between the parties relating to the subject matter hereof. Neither of the parties has relied upon any oral or written representation or oral or written information given to it by any representative of the other party. 10.2 Bindinq Effect. This Agreement shall bind and inure to the benefit of the parties, their respective heirs, successors and assigns. 10.3 Amendment/Modification. No change or modification of the terms or provisions of this Agreement shall be deemed valid unless in writing and signed by both parties. 10.4 Governinq LawNenue. This Agreement shali be construed, interpreted and applied in accordance with the laws of the State of California. Any litigation or arbitration regarding the Property or this Agreement will be brought in Riverside County Superior Court or conducted in Riverside County. 10.5 Business Days. Reference herein to "business days" means any day excluding Saturday, Sunday and any day which is a legal holiday under the laws of the State of California or in the City of Palm Desert. 10.6 Waiver. No waiver of any breach or default shall be construed as a continuing waiver of any provision or as a waiver of any other or subsequent breach of any provision contained in this Agreement. 10.7 Attorneys' Fees. In the event of any action or proceeding to enforce or construe any of the provisions of this Agreement, the prevailing party in any such action or proceeding shall be entitled to reasonable attorneys' fees and costs. 10.8 Assiqnabilitv. Any assignment of Buyer's rights under this Agreement shall require the prior written consent of Seller, which Seller may grant or withhold in its sole discretion. 10.9 Time of the Essence. Time is of the essence of this Agreement. 10.10 Escrow Aqent. Escrow Agent shall conduct the Close of Escrow in accordance with the terms and provisions of the escrow instructions to be given to Escrow Agent by the parties in a form consistent with this Agreement. To the extent of any conflict -7- 12812-0001�2171395v2 doc RESOLUTION N0. OB - 175 CONTRACT NO. SA36970 or inconsistency between the terms and provisions of this Agreement and the escrow instructions, the terms of this Agreement shall control. 10.11 Exhibits. All Exhibits which are referred to herein and which are attached hereto or bound separately and initia{ed by the parties are expressly made and constitute a pa�t of this Agreement. 10.12 Counterparts. This Agreement may be executed simultaneously in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. : 12812-0001�217139�v2 doc RESOLDTION INQ. OB — 175 SELLER: SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY, a public entity By: Name: Lauri Aylaian Its: Executive Director BUYER: CITY OF PALM DESERT, a California municipal corporation By: Name: Lauri Aylaian Its: City Manager ATTEST: Rachelfe D. Klassen, City Clerk � CONTRA.CT N0. SA36970 APPROVED AS TO FORM: Richards, Watson & Gershon, By: J. Grayson APPROVED AS TO LEGAL FORM: BEST BEST & KRIEGER LLP Robert W. Hargreaves, City Attorney 12812-0001�2171395v2 doc RESOLDTION N0. OB - 175 CONTRACT NO. SA36970 CONSENT AND ACKNOWLEDGMENT OF ESCROW HOLDER Escrow Holder hereby agrees to (i) accept the foregoing Agreement, (ii) act as the Escrow Holder under said Agreement and (iii) be bound by said Agreement in the performance of its duties as Escrow Holder. Escrow Holder acknowledges receipt on the date hereof of originals or counterparts of the foregoing Agreement fully executed by Seller and Buyer. Escrow Holder advises the parties that the date of the Opening of Escrow is , 2018. Dated: I L� _ , 2018 � FORESITE ESCROW I By: I its: I Escrow Officer i i �il� 12812-0001�2171395v2.doc RE6IQLUTION NO. OB - 175 EXHIBIT A CONi[1RACT N0. SA36970 LEGAL DESCRIPTION OF PROPERTY EXHIBIT ��A" File No: 618640708 All [hat certa�r real property s�tuated in the Coun[y of Riverside, Sta[e o` CzhFomia, descnbed as follows: PARCEL 1: (�PN 620-370-0�1�) Parcel A, as shown on Exhibi[ "B" attached to Certrficate of ComR��ance {Warver cf Parcef Map PMW 07-1:) recorded June 1, 2D07 as Instrument No 20070364240 of O`f�c�al 4ecords of Rive�side County, Cal�fornia and descnbed as foflows That certa�n Parcel o` land s�t�atcd in the City of �alm DeSert, County o` R�verside, Sta[e of Cali°orria, beinq port�ons of Pa•cels 16 and 1S as shown on Parcel Man No 27400. filed in Book 183, Paqes 38 throuqh 41, of Parcel Maps, in the U`fice of the CourtY Recorder, of said CourtY of Rrvers�de, more part�cularly descr�bed as a whole as fellows: Beqinning at che Northwest corner of sa,d Parcel 19; Thence aiong the Northerly Ime oi said Parcel 19 ,\orth 89°45'OS" Ezs[ 634.42; 'hence leav�rg said Northerly lirc South 0'_°11':0" West 100 SO feet to a po�nt on the Northerly I�ne of said Parcel i6; 'hence Sou[h 00°00'15" Eas[ 235.00 feet to a po�nt on the Northerly right of way lir�e of Courtry Club Drive as shown on said Parcel Map No. 27�100 and the Sou[herly line of said Parcel 16; Thence along [he boundary lines of said parcels 16 and :9 through the `ollowing four courses: South 89'45'08" West 13Z 98 fee[; Thence NoKh UU°14'S2" West 235 UO feet; 'hcnce South 89°45'a8" West 318.61 feet; Thence South 00°14'S2" East 235.00 fee[ to a point on the Nor[herly ngh[ of way hne o� Co�ntry Club Drive as showr on said oarcel Mao No. 27400; Thence alorg said Easterly right ot way I�ne tnro�gh the `oilowing [wo courses; South 89°45'08" bVest 90.25 feet; Thence North 50°47'21" West 34 96 feet to a point on a non-[argent curve concave 5outhwesterly ard having a radius of 354 15 feet, a radial Iine of said curve from said point bears South 88°OS'07" West, sa�d point lies on the Easterly right of way line of Desert WiUow Drive shown as Uesert Springs Drive en said Parcel Mzp No. 27400; i hence alorg said Easterly right of way line thro�gh the `ollow�ng two courses: qlong said curve Northerly 147.:5 feet through a central angle of 23°48'25" to a point o` reverse curvature h�ith a curve mncave Easterly and having a radws cf 310.00 feet, a radial hre of said curve from said po�nt bears North 64°16'43" East; Thence along said curve 'Vortherly 1�5.83 feet throu9h a ceniral argle of 32`29'S4" to the poir.t of beginning. CLTA Prelirninary Repor[ Form - �Medified (11-17-06) Page 3 � 12812-0001\2171395v2 doc RESOLDTION N0. OB - 175 PARCEL 2: (APN G�D-37-033) CONTRACT NO. 61A36970 File No: 61861070A Parcel C, as shown on Ezhibit "B" attached to Ccrt�ficate of Compharce (Waiver of Parcel Map PMW 07-10) recorded ]une 1, 2007 as jps r�m n No. 0070"� �4 "�8 of Off�cial Records of Riverside [ounty, Cal�for�ia and descnbed as follows: That certain Garcel of land situa[ed in the C�ty of �alm Desert, Co�ety of Rrverside, Sta.e ot Cal�forr�a, be�ng portions of Parcels 5 and 6 as shown on Parcel •�1ap No. 27400, f�led in Book 1&3, Paqes 38 throuqh 42. of aarcel Maos, in the Office of the Co�ntv Recorder, o° said Co�ntv of Rivers�de, more particularly descnbed as a whole as follews: tieginning at [he Sou[hwest corner o` said Parcel 5; The�ce alorg the Westerly I�re of said Parcels 5 and 6[hrough the following four courses Nor,h 01°12'12" East 227.82 teet; Thencc North 18'27'42" West 94.48 feet; Thence North 71°32'13" East 8.00 fcet; 'hence North 18°27'47" Y✓est 148.00 feet to a point on the Southerly right of way I�ne of Market Place as shown on said Parcel .Hao No. 27•400; Thence alorg Said Southerly right of way line North 71°32'13" East 75.87 feet to a po�nt on a �on- [argen[ curve corcave Southwesterly and hav�ng a rzdius o` 25 00 feet a rad�zl hne o` said ccrve from said point bears South 18°27'47" East; Ther�ce leaving said Southerly righ[ of way line alon9 sa�d curve Eas[erry and Southeasterty 47.85 fect through a central angle of 109`39'3i" Thence tanger[ From said curve Scuth G1°11'44" West 16G.4E feet to the be9inning o` a cangert curvP conr.ave Northeasterly and having a radws of 53.0(1 `eet; Therce aleng said curve Southeasterly 50.34 feet through a central argle o` 54°25'OS"; Thence tangent from said curve South 53° 13'20" East 60.33 feet; Thence Sou;h O1°:1'10" tiNest 211.19 fce[; Chence tvorth 8H°4?'48' \Nest 102 11 feet to Lhe poirt ef beginr,ing. PARCEL 3: (APN 620-37-033) Parcel D, as shown on ExhibR "9" a[tached to Cer[iiicate of Compliance (Waiver of Parcel Map PM�V 07 10) recorded June 1, 2007 as Instrument No. 20070364238 of Official Records of Rrverside County, Cai�fornia and descr�bed as foilows: That certain Parcel o` land s�[urted �n the City o( Palm Desert, County of Riverside, State of Cal�`orr�a, being portions of Parcels 5 and 6 as Shown on Parcel Mao No. 27400, filed in Book 183, Paoes 38 thro��nh a� nf Par�Pl Maos. ie fhe Ufhce of fhp Courtv Recorder. o` said CounN of Rivers�de, more particularly described as a whole as follows: Eieg�nning at [he Sou[hwes[ corner of Parcel 5 as shown on ?arcel Mao Vo. 27400; Thence alorg the boundary I�ne o` sa�d Parcel 1 through the `ollowing s�x courses: South 73°57'23" West 159.49 fee[; ��Tq Prel�minary Repor, Form - Hcdi°ied (11-I/-OE) Peye. 4 -A-2- 12812-0001�2171395v2 doc RESOLIITION NO. OB - 175 Thence North IB°27'47" West 246.90 teet; Ther.ce North 71°3�'13" Eas[ 10.04 feet; ?hence North :8'27'47" West 20.0a feet; �hence NoRh 71°32'? 3" East 1 i0 33 Feet; CONTRACT NO. SA36970 File Na: 618G40708 Thence North 18°27'47" WeSt 178 67 f22t to a point on [he SOuthPrly right ot way I'ine of Market PlaCe as showr on said Parcel MaD No. 21400; ThencP along said Snutherly right o` way I�nF South 7:°32'13" West 291 .41 feet; Thence South 13°59'2:" West 25 09 feet to a point on a non-tangent curve concave Wes[erly and having a radius of 440.00 `ect, a radial I�ne of said curve from said poir.t bears South 76°33'3:" West, said po�nt also being Iocated or the Eas[eriy r�ght of way line o` Desert tVillow Drive, sl-own as Desert Springs Drive on saiA ParrPl M�n No. 27400; Thence alorg sa�d curve and [asterly right of way I�ne Sou[herly 310.58 feet through a central angle of 40°26'36" to the beg�nning o` a reverse curve concave Southeasterly and having a rad�us of 310.00 `eet, a radial hne o° said curve from said begirnirg of reverse curve bears Sou[h 62°54'S3" East; Thence contir.uing along sa�d right o.` way I�ne and along said curve Southerly :09.43 feet through z:entral angle of �0' 13'31" to the Sou[hwest corner of said Parcel 1; Thence non-[angent from said curve alorg the Southerly line of said Parcel 1 horth 89°45'08" Eas[ 634.42 tect; Thence leavirq 5aid SOutherly I�nF North 01'l l'10"' East 99 90 feCt; Thence North 88°47'48" West 102.11 feet to tl-e pcint of be9�nning. Excepting [herefrom Parcel 2 as shown on sa�d Parcel Map No 27400, �n Rnok 1A3 ?aaes 38 through 42, of Parcel Maps, in the O`f�ce of the County Recorder of szid Co�nty ot Riverside PARCEL 4: Parcels 2, 3, 4 17 ard 18 as shown or Parcel Mao No. 27400, filed in Book 1i33. Paaes 38 through 42, of Parcel Maps, in [he Office of the Courry Recorder, of said County of Riverside, Cahfornia. Assessor's ParcelNo: 620 370 002; 620-370-003; 620-370 004; 620 370-017; 620-370 018 CLTA Prel�m�nary Repor, form - Mod�fied (11-17-OE) Pagc 5 -A-3- 12812-OOOi'�217139�v2.doc RESOLDTION NO. OB — 175 EXHIBIT B CONTRACT N0. SA36970 FORM OF GRANT DEED RECORDING REQUESTED BY� Successor Agency to The Palm Desert Redevelopment Agency AND WHEN RECORDED RETURN TO: The City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 Attention: City Manager With a copy to: Richards, Watson & Gershon 355 South Grand Ave., 40th Floor Los Angeles, CA 90071 Attention: Jim G. Grayson, Esq. APN's: 620-370-002; 003; 004; 017; 018; 020; 033 and 043 Space Above This Line For Recorder's Use This Grant Deed is exempt from Recording Fees pursuant to California Government Code Sections 6103 and 27383 GRANT DEED THE UNDERSiGNED GRANTOR DECLARES: FOR VALUABLE CONSIDERATION, the receipt of which is hereby acknowledged, the SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY, a public entity (the "Grantor"), hereby grants to THE CITY OF PALM DESERT, a Cafifornia municipal corporation (the "Grantee"), that certain real property described in Exhibit A attached hereto (the "Site") and incorporated herein by this reference, together with all improvements located thereon and all of Grantor's right title and interest in and to all easements, privileges and rights appurtenant to the Site. � 12812-0001�21�139�v2 doc RESOLIITION NO..OB — 175 CONTRACT NO. SA�6970 The Site is conveyed further subject to al! easements, rights of way, covenants, conditions, restrictions, reservations and all other matters of record, and the following conditions, covenants and agreements. 1. The Grantee covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the California Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the California Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises herein conveyed, nor shall the Grantee himself or herself, or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the premises herein conveyed. Notwithstanding the immediately preceding paragraph, with respect to familial status, said paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the California Government Code. With respect to familial status, nothing in said paragraph shall be construed to affect Sections 51.2, 51.3, 51.4, 51.10, 51.11, and 799.5 of the California Civil Cade, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the California Civil Code and subdivisions (n), (o) and (p) of Section 12955 of the California Government Code shall apply to said paragraph. 2. All deeds, leases or contracts entered into with respect to the Property shall contain or be subject to substantially the following nondiscrimination/nonsegregation clauses: (a) In deeds: "The Grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the California Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the California Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises herein conveyed, nor shall the Grantee himself or herself, or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the premises herein conveyed. The foregoing covenants shall run with the land, Notwithstanding the immediately preceding paragraph, with respect to familial status, said paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the California Government Code. With respect to familial : 12812-0001\2171395v2 doc RESOLUTION NO. OB - 175 CONTRACT N0. 64A36970 status, nothing in said paragraph shall be construed to affect Sections 51.2, 51.3. 51.4, 51.10, 51.11, and 799.5 of the California Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the California Civil Code and subdivisions (n), (o) and (p} of Section 12955 of the Cafifornia Government Code shall apply to said paragraph." (b) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the California Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the California Government Code, in the leasing, subleasing, transferring, use or occupancy, tenure or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the premises herein leased. Notwithstanding the immediately preceding paragraph, with respect to familial status, said paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the California Government Code. With respect to familiai status, nothing in said paragraph shal{ be construed to affect Sections 51.2, 51.3, 51.4, 51.10, 51.11, and 799.5 of the Cafifornia Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the California Civil Code and subdivisions (n), (o) and (p) of Section 12955 of the California Government Code shall apply to said paragraph." (c) In contracts: "The contracting party or parties hereby covenant by and for himself or herself and their respective successors and assigns, that there shall be no discrimination against or segregation of any person or group af persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the California Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the California Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the contracting party or parties, any subcontracting party or parties, or their respective assigns or transferees, establish or permit any such practice or practices of discrimination or segregation. Notwithstanding the immediately preceding paragraph, with respect to familial status, said paragraph shall not be construed to apply to housing for older persons, as defined in Section 12955.9 of the California Government Code. With respect to familial status, nothing in said paragraph shall be construed to affect Sections 51.2, 51.3, 51.4, 51.10, 51.11, and 799.5 of the California Civil Code, relating to housing for senior citizens. Subdivision (d) of Section 51 and Section 1360 of the California Civil Code and : 12812-0001�2171395v2 doc RESOLDTION NO. OB — 175 CONTRACT N0. SA36970 subdivisions (n), (o) and (p) of Section 12955 of the California Government Code shall apply to said paragraph." 3. All covenants and agreements contained in this Grant Deed shall run with the land and shall be binding for the benefit of Grantor and its successors and assigns and such covenants shall run in favor of the Grantor and for the entire period during which the covenants shall be in force and effect, without regard to whether the Grantor is or remains an owner of any land or interest therein to which such covenants relate. The Grantor, in the event of any breach of any such covenants, shall have the right to exercise all of the rights and remedies provided herein or otherwise available, and to maintain any actions at law or suits in equity or other property proceedings to enforce the curing of such breach. The covenants contained in this Grant Deed shall be for the benefit of and shall be enforceable only by the Grantor and its successors and assigns. 4. The covenants contained in Paragraphs 1 and 2 of this Grant Deed shall remain in effect in perpetuity except as otherwise expressly set forth therein. 5. This Grant Deed may be executed simultaneously in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. IN WITNESS WHEREOF, Grantor and Grantee have caused this Grant Deed to be executed and notarized as of this day of , 2018. GRANTOR: SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY, a public entity By: Name Title: ATTEST: Secretary GRANTEE: Lauri Aylaian Executive Director THE C1TY OF PALM DESERT, a California municipal corporation By: Name Title: Lauri Aylaian City Manager -B-4- 12812-0001�2171395v2.doc RESOLDTION NO. OB — 175 CONTRACT N0. SA36970 CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT A �otar�� Public or other ofticer compicting this certificatc verifies only the identity of the individual who siened thc document to which this certiticate is attached, and not thc truthfulness, accuracy, or validity of that dacument State of California ) County of Riverside ) C�7i1 , before me, (insert name and title of the o�cer) Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) -B-S- 12812-0001�2171395v2.doc RESOLUTION N0. OB — 175 CONTRACT NO. 61A36970 CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT A Notary Public or other officer complrung this certi(icate verifics only the identity of tlic indioidual �vho signcd the document to «hich this cenilicate is attached. and not thc truth(ulness, accurac�, or valtdit� of that document State of Caiifornia ) County of Riverside ) On , before me, (insert name and title of the o�cer) Notary Public, personaliy appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) isiare subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature -f3-6- (Seal) I 28 I 2-000 I�2 I 7 I 395 v2. doc RESOLUTION NO. OB — 175 CONTItACT N0. SA36970 LEGAL DESCRIPT{ON OF PROPERTY EXHIBIT "A" File No: 61A640J08 All [hat certain real property situated in the County of Riverside, State of Cahfomia, descnbed as follows: PARCEL 1: (APN G20-370-043) Parcel A, as shown on Exhibit "B" attached to Certificate of Compliance {Waiver of Parcel Map PMW 07-11) recorded lune 1, 2007 as instr�,ment No. 20070364240 of Ofiicial Records of Riverside Coun[y, Cal�fornia and described as follows: That certain Parcel of land situated in the City of aalm Desert, County of Riverside, State of Cal�fornia, being portions of Parcels 16 antl 19 as shown on Parcel Mao No. 27�00, filed in Book 183, Paqes 38 throuah 42, of Parcel Maps, in the Uffice of the Countv Recorder, of sz�d Courtv o` Rivers�de, more part�cularly described as a whole as follows: BEginning at th2 NOrthw25t COr�Er Of SAid ParcEl 19; Thence along the Northerly line of said aarcel 19 VoRh 89°45'08" East 634.42; Thence leav�ng said Northerly line South O1°1 i':0" West 100.50 feet [o a po�nt on the Northerly line of said Parcel :6; 7hence South 00°00'15" East 235.o0 feet to a point on the Northerly righ[ of way line of Country Club Drive as shown on said oarcel Map No Z7400 ard the Southerly line of said Parcel 16, Thence alor.g the boundary lines of said Parcels 16 and 19 through the following four courses: Sou[h 89°AS'08" 1Nest 132.98 ieet; Ihence North 00°14'S2" West 235.OU fee[; Thence South 89°45'08" West 318.61 feet; Thence South 00°14'S2" East 235.00 Feet tc a point on the NertherlY righ[ of way line of Country Club Drive as shown on said Parcel Mao No. 27400; 7hence atong said Easterly riqht ot way I�ne thro�gh the `ollow�ng two courses; South 89'45'08" West 90.25 fcet; Thence North SU°47'21" West 34.96 feet to a point on a non-tangent curve concave Southwesterly and having a redius of 354 15 feet, a radial lire of said curve from sa�d point bears South 88°OS'07" West, said point lies on the Easterly right of way line of Desert OVillow Drive shown as DeseK Springs �rive on said Parcel Map No. 27400; Thence alor.g said Easteriy right cf way line through the following two courses: Along said curve Northerly 147.15 fee[ throuqh a central a�gle of 23°48'25" to a poirt of reverse curvature with a curve concave Easterly and having a radius of 310.00 feet, a radial line of said curve from said po�n[ bears North 64°16'43" East; Thence along said curve Yor[herly 175.83 feet through a central angle of 32°29'S4" to the poirt of beginning. CLTA Preliminary Report Form - Modified (1i-17-06) Page 3 -�-%- 12812-0001�2171395v2 doc RESOLUTION N0. OB — 175 PARCEL 2: (APN F7(1-�7-114'i) CONTRACT NO. SA36970 file No: 618640708 Parcel C, as shown on Exhibit "8" attached to Cert�ficate of Compliarce (Waiver of Parcel Map P,HW 07-10) recorded June 1, 2007 as Instrument No. 2�0703G4238 of O`��cial Records of Riverside Counly, Cal�forn�a and Aescribed as follows: That certain Parcel of land sduated in the City of �alm Desert, County ef Rrverside, State of Cal�forn�a, being portions of Parcels 5 and 6 as shown on Parcel Mao No. 27�00, f�led in Book 183, Paqes 38 th�ouqh 42, of Parcel Maps, in the Offtce o` the CounkV Recprder, of sdid COUntY of Rwerside, more parti[ularly described as a whole as follows: E3eginning at the Southwest corner of said Parcel 5; Thence along [he Westerly lire of said Parcels 5 and 6 through the followin9 four courses: North O1° 12'12" East 722.82 feet; Thence North 18°27'42" West 94.48 feet; Thence North 71°32'13" East 8.00 feet; Thence North :B°27'47" West 148.00 feet to a point on the Southerly right of way line of Market Place as shown on said Parcel Mao No. 27400; Thence alorg sa�d Southerly right of way line North 71°32'13" East 75.87 `eet to a poirt on a non- tangent curve concave Southwesterly and having a radius o' 25.00 feet a radial line of said c�rve from said point bears South 18°27'47" East; Thence Ieaving said Southerly righ[ of way lire along said curve Easterly and Southeasterly 47.85 feet [hrough a cPntfal an91e of 109°39'3:" Thence tangent from sa�d curve South O1°11'44" West 166.46 feet to the beglnning of a tangent curve corcave N�rtheasterly and having a radius of 53.00 `eet; Thence along said curve Southeasterly 50.34 feet through a central argle o` 5�°25'OS"; Thence tangent from said curve South 53°13'ZO" East G0.33 feet; Thence South D1°11'10" West 211.19 feet; Thence NoKh 88°41'48' 1Nest 1U1.11 feet to the point of beginning PARCEL 3: (APN 620-37-033) Parcel D, as shown on Exhibit "B" at[ached to Certificate ot Compliance (Waiver of Parcel Map PMW 07 10) recorded June 1, 2007 as Instrument No. 20070364235 of Of icial Records of Riverside County, Califomia and descrihed as follows: That certain Parcel of land si[uated in tl-e City of 7alm Desert, Co�nty of Rrverside, State of Califomia, being portions of Parcels 5 and 6 as shown on Parcel Mao No_ 27400, filed in Book 183, Paoes .7R thr��;nh 47 �f oarrPl Manc �� rha nfs�ra nf [he �ountv R rord r. o` said Countv of Rrverside, more particufarly descnbed as a whole as follows: Beginn�ng at the Southwest corner o` Parcel S as shown on Parcel Mao ho. 27400; Thence along the boundarY line of said Parcel 1 throu9h the follow�ng s�x co�rses: South 73°57'23" West 159.49 feet; CITA �rel�minary Report Form - Modified (11-17-OE) Page 4 i i I 2812-0001 �2171395v2.doc RESOLDTION N0. OB - 175 Thence North 18°27'47" West 246.90 feet; Thence North 71°32'13" East 10.00 feet; Thence North 18°27'47" West 20.0a feet; Thence North 71°32'i3" East 1:0 33 feet; CONTRACT NO. SA36970 file No: G18G40708 Thence North 18°27'�7" Wes[ 176.67 feet to a point on the S�u[h�rly right of way line of Market Place as shown on said Parcel Mao No. 27400; Thence along said Southerly right of way line South 71°32'13" West 291 41 feet; Thence South 23°59'21" West 25.09 feet to a point on a non-tangent curve concave Westerly and having a radius of 440.00 feet, a radial iine oF said curve from said point bears South 76°33'3:" West, said point also being located on the Easterly r�ght of way line o` Desert �Villow Dr�ve, shown as �esert Sprinqs Drive on said Parcel Mao N�. 27440; Thence along sa�d curve and Easterly nght of way I�ne Southerly 310.58 feet through a centrat an91e of 40°26'36" to the beginning o� a reverse curve concave SoutFeas[erly and having a radius of 310.00 feet, a radial line of said curve from said beginring of reverse curve bears South 62°59'S3" East; Thence continuing along said right o! way line and along said curve Southerly 109 43 fee[ through a central angle of 20° 13'31" to the Southwest corner of said Parcel 1; Thence non-tangent from said curve alorg the Southerly line of said Parcel 1 horth 89°45"08" Eas[ 634.42 feet; The.nce leaving said Southerly linP North Q1°11'10" East 99.90 feet; Thence North 88°47'48" West 102.11 feet to the point of beginning. Excepting there'rom Parcel 2 as shown on said Parcel Mao No. 27400, �n Book 183. Paoes 36 through 42, of Parcel Maps, m tl-e Office of the County Recorder o'said Co�nty of Rrverside. PARCEL 4: Parcels 2, 3, 4 17 and 18 as shown or parcel Ma� No. 27400, filed in Book 183. Paoes 38 through 42, of Parcel Maps, in [he Office of the Courty Recorder, of said County of Rrverside, California. Assessor's ParcelNo: 620-370-002; 620-370 003; 620-370-404; 620 37q-017; 620-370-018 CLTA �reliminary Repor[ Form - Mod�fied (11-17-06) Page 5 -F3-9- I 2812-0001 \217139Sv2.doc RE6IULDTION NO. OB — 175 �her,ce North 18°27'47" Wes[ 246.90 fcet; Thence Nortn 71°37'13" East 10.00 feet; Thence M1orth :8°27'q7" West 20.00 feet; Thence NOKh 71°32'13" East 1:0 33 fee[; CONTRACT NO. SA36970 Fiie No: 618640708 �hpnce North 18'27'47" West 178.67 feet to a point on the S�utherly riqht of way line of Market Piace as shown on sa�d Parcel �Mao No. 27400; Thence along sa�A Snutherly right of way line South 71°32'13" VJest 291.41 Feet; Thence South 23°S9'2i" �Yest 25.U9 feet [o a point on a non-tangent curve concave Westerly and having a radius of 440.00 `ect, a radial I�ne of said curve from said point bcars So�th 76°33'3:" West, said point also be�rg loca[ed or the casterly r�ght o° way lire oF Desert �Villow Drive, shown zs DesPrt Sprinqs Drive on sa�d P,�rrPl ht�� N^.� 77400, ?hence alorg sa�d curve and Easterly right of way I�ne Southerly 310 58 feet through a cen[ral angle o` 40°2fi36" [o the bPg�nning Of a reverse curve concave Southeasterly and having a radius of 310.00 !ee[, z radial line of said curve from said begirnirg of reverse curve bears South 62°59'S3" East; Therce con[ir,uirg along said right of wzy Iine and along said curve Southcrly � 09 43 feet through z cer[ral angle of 20° 13'31" to the Sou[hwest corner of sa�d Parcel 1; Thence norn[angert !rom said curve alorg [he Southerly hne of said Parcel 1 i�orth 89°45'08" Ezst 634 42 feet; ThencP leavirg said Southerly line North O1'l l'10" Fast 99.9� feet; Then:e NoRh 88°47'48" Wes[ 102.11 fcet to the point of beg�nning. Exrepting there�rom Parcel 2 as shown on sa�d Parcel Mao No. 27400, in Book 183. Paoes 36 [hro�gh 42, o` Parcel Maps, in the O`f�ce of the County Recorder o` said Co�rty of Rivers�de PARCEL 4: Parcels 2, 3, 4 17 and 18 as shown on Parcel Mao No. 27400, fited �n R�nk � R"t Pa�es 3g thro�gh 42, of Parcel htzps, ir. [he Of ice of [he Cour[y Recorder, of said County of Rwerside, Cahfomiz. l�ssessor's Parccl No: E20 370-002; 620-370-003; 620 370 004; 620 370 017; 620 370 018 CLTA �reliminary Repor� �orr-i - Mr,difieA (1]-17-OE) Paye 5 -8-10- I 28 I 2-�OG l'�217139; � 2.duc y � r j , „ Gr/ir, rr,rr��i rr / r rc/ y i�i r r / �� r r � �(li /s✓ HG � ✓�iF oUyr �/ d l r�,�r�r,,/,�rri, ,,,, �ili�f(rUJnni�,eilr,/uiJ�awr yrHr,,,��%�A�+l�s�/�/,/��y�,riui✓yay�9��%%/NN+�r�r%�riii 777, 21"P2, Lsa G.7, 9,2 � H 101 -OFF07 73-510 Fred Waring Drive Palm Desert, CA 92260 RE: 11.14-Acres of Vacant Land; Located at the NEC of Country Club Drive and Desert Willol Drive, Palm Desert, CA. Otherwise Known as aNs: 620-370-002, 3, 4, 17, 18, 20, 33, M. Riverside County, CA. E��� At your request and authorization, we have prepared this appraisal report, setting forth our opinion of the market value of the fee simple estate of the subject property as of September 29, 2017. Per your request, the following market value estimates are provided: Market Value "As Is" The intended use of the report is for internal use. The intended user is the Client. No other use or users are intended. Our report identifies the subject property and its market area, and presents the market data and analilsis to the requirements of the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. The appraisal report is intended to comply with the appraisal guidelines of Title XI of the Financial Institutions Reform, Recovery and Enforcement Act of 1898 ("FIRREA"), and the Uniform Standards of Appraisal Practice ("USPAP"), adopted by the Appraisal Standards Board of the Appraisal Foundation, TdT-w--,#re1 N797 T-M-77=47('T sliject property. He have located and reviewed current sales and listings of comparable properties in the subject neighborhood and competing areas, and have analyzed the data in order to arrive at our estimate of market value, "As Is". Based upon the available data, we conclude that the market value "As Is" of the fee simple estate in the subject property as of September 29, 2017 is as follows: $2,670,000 Two Million Six Hundred Seventy Thousand Dollars The market value estimate in this appraisal report is based upon the following Extraordinary Assumptions, Hypothetical Conditions, and Jurisdictional Exceptions: Jurisdictional Exceptions liik None The use of the above captioned Extraordinary Assumptions, Hypothetical Conditions, and Jurisdictional Exceptions, if any, might have affected the assignment results. The undersigned no fee received or to be received for the employment of our services is in any way contingent upon the opinions reported herein. We hope you find the details of the appraisal report relevant to your decisions. Thank you for the opportunity to be of service. MsEmff�� CAPITM, REM,'n, ANALYSTS #461e�zl Michael A. Scarcella, MAI 78100 Main Street, Suite 202 La Quinta, CA 92253 , A'uL—, (760) 564-6222 Ext. 1 161g@ ty,8A,�isor.corn _Rg�aft State Certification No. AG019463 Expiration Date: October 24, 2019 Michael A. Scarcella 78100 Main Street, Suite 202 La Quinta, CA 92253 (760) 564-6222 Ext. 4 Mic a I Rea r,corn . ,dal kyA�L o--n State Certification No. AT3004172 Expiration Date: November 29, 2018 Part I - Summary of Important Facts and Conclusions TableofContents--............. ...... —.... --- .............. —...... ........ ... ---- ............. --.......... 4 Certification.... ............. -----............... —.... ..... .......... ----....... ----....... 5 Part|—SunnmoaryVf|rnporhsntFactsand Conclusions ..... --------------.................. 6 Summary QfImportant Facts and Conclusions— —_-----_—........... —_----........... 6 Introduction.... ...... —....—_—_—...__...... --................... --~............ ---`^'~. 8 Aerial photo of the subject property viewing Mfrom Sof the site. ....... ...... —........ ---.8 Part 11 — Identification of the Appraisal Problem and the Scope of Work........... ..... ....... Identification of Client and Intended Users------- ..... ----_........ --...... ---11 Statement of Intended Uae—... --_—_—_--_—....... --- ....... ------...... ----�2l Identification ofthe Subject Real Estate ... -------........ --......... _----........ 2 PropertyRights Appraised ... ---............... --...... ........ —_---........... --..... ... --..II Definition ofMarket Value --.......... -----.......... ....... --...... _----......... ---.1l Effective Date OfValue Opinion ..... --- ................ ---- ...... ........ -----_------.... 22 Extraordinary AgsunnmdOnS—... —......... -------......... ... ---- ......... _--_----.12 Hypothetical [ondki0ns--...... .......... ................ ---... ........ ----...... --......... —l2 Jurisdictional Exceptions ... ... —........ -------......... ------------_------12 General Assumptions and Limiting CVmdbions........ ---------.......... ---...... —.I2 ScopeofWork ..... ----........ .................... —.................. ---.......... _--....... ---- 13 Part III — Presentation ofData ..... ...... —........... --------....... .............. ---- ............ —15 Personal Property or Other Items that are Not Real Property. ..... —.... ....... ...... ---- ..... ... I5 History, Including Prior Sales and Current Offers or Listings. ......... ---- ...... ---.............. l5 Market Area, City, Neighborhood, andLocation0ata--------------------.15 RegionalAnalysis ............. ........... --........... ------......... ---- ....... ...... ..... ....... —..15 City Analysis — Palm Desert, CA --- ........ --....... ---........... ---......... ----_—.I9 LandDescription .............. ....... --....... ........ ------_----........ ....... --.—........ 23 FloodK4 ap................. —....... .............. ---- ....... _...... ____........ _________...... .2g Improvement Deschption—... —......... --------_-----_--......... ---....... --- 3Q Taxes and Assessment Data ....... ------........ ------------...... --.......... —3Q Part |V—Analysis of Data and Conclusions .... ... —........ ------...... --............. ----.. 31 MarketAna|ysis—............ —.......... ... .............. ..... --- ... ....... —................ .......... --... 3I Highest and Best Use ......... —........... ---........ -------........ --------... 34 Sales Comparison Approach —... ...... ---- ........... ----...... ---- ......... ---_---.... 37 Comparable Land Sales Data Sheets ... ... ............ ----........ —.......... ---...... —.... 5O WN15-M-00 *Capital Realty Analysts, 2017 Page 2 Certification VVecertify tmthe best ofour knowledge and belief: '446The statements mffact contained inthis report are true and correct. '9� �� The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. �� �A, We have no present or prospective interest in property that is the subject of this report and no personal interest with respect tothe parties involved. �� �= We have performed no services as appraisers or in any other capacity regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment. 10� �� We have no bias with respect to the property that is the subject of this report or to the parties invoUved with this assignment. 9� �� Our engagernent in this assignment was not contingent upon developing or reporting predetermined results. 144 �* Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of stipulated result, or the occurrence of subsequent event directly related to the intended use of this appraisal. �� �& Our analyses, opinions, and conclusions were developed, and this report has been prepared in conformity with the Uniform Standards ofProfessional Appraisal Practice. �� �� We have made a partial personal inspection of the property that is the subject of this report. I� �� Michael A. 8caroeUa]r, license NuAT30O4172, provided significant professional appraisal assistance to the person signing the certification. Ifi,4 * The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. � �� 1� The use ofthis report issubject tothe requirements ofthe Appraisal Institute relating toreview by its duly authorized representatives. a� �� As of this report, Michael A. Scarcd|a, K4A| has completed the continuing education program of the Appraisal Institute. Michael A.Scarce\1a, K4Ai 7810DMain Street, Suite 202 L8 QWiMt3, CA92253 ^--~~^--~ (750)564-6222 Ext. 1 Mike@Rea|iyAdvi5Or.corn State Certification Wo.AGOl9463 Expiration Date: October 24,2019 Michael A. ScarceUa 781DOMain Street, Suite 202 La Quinta, CA 92253 /76O\564-6222Ext. 4 K4ichae|@RealtvA6visor.mmnn State Certification No. AT3O04172 Expiration Date: November 29,ZO18 (OCapital Realty Analysts, 2017 Pages Client: Successor Agency to the Palm Desert RDA Attn: Ms. Lauri Aylaian, Executive Director 73-510 Fred Waring Drive Palm Desert, CA 92260 Intended Successor Agency to the Palm Desert RDA Users: Attn: Ms. Lauri Aylaian, Executive Director 73-510 Fred Waring Drive Palm Desert, CA 92260 Property Type: Vacant land Location: NEC of Country Club Drive and Desert Willow Drive, City of Palm Desert, Riverside Country, CA, An Assessor's Plat Map is located in the Site Analysis section of this report. Identification: APNs: 620-370-002, 3, 4, 17, 18, 20, 33, 43: Riverside County, CA Zoning: According to the Zoning Map of the City of Palm Desert, the subject property is zoned P.C.-(2), Planned Commercial, A zoning map is included in the Site Data section of this report. General Plan: According to the General Plan Map of the City of Palm Desert, the subject parcel has a general plan designation of Suburban Retail Center. A general plan map is included in the Site Data section of this report, @Capital Realty Analysts, 2017 Page 6 Part I - Summary of Important Facts and Conclusions Site Description: According to the Riverside County Assessor's Plat Map, the site size of the subject property is as follows.- 1 620-370-002 0.20 8,712 2 620-370-003 0.20 8,712 3 620-370-004 1.56 67,954 4 620-370-017 0.69 30,056 5 620-370-018 1.02 44,431 6 620-370-020 3.61 157,252 7 620-370-033 0.94 40,946 8 620-370-043 2.92 127,195 Totals 11.14 485,258 Improvement The subject property is improved with some paving and perimeter Description: landscaping. Highest and Hold for investment until such time as speculative commercial development Best Use As becomes financially feasible. Vacant: Highest and Remain as Improved Best Use As Improved: Property Rights Fee Simple Estate Appraised: @Capital Realty Analysts, 2017 Page 7 Aerial photo of the subject property viewing N from S of the site. The subject property consists of 11.14-acres of vacant land, located at the NEC of Country Club Drive and Desert Willow Drive, Palm Desert, CA. The property has been held by the current owner, the Successol-Agency to the City of Palm Desert Redevelopment Agency, and/or affiliated entities since at least 6/1/2007. According to the Desert Area MLS, the property is not currently listed for sale. The entire property has a lease to the Marriott for parking, The lease rate is $1 per year. The lease may be cancelled by either party with 30-day's notice; hence the lease has no impact on the fee value of the property. Currently, the Successor Agency is seeking a current market value estimate for the subject property, which generated the requirement for this analysis, This Appraisal Report format -'enerall-kvi follows the retort format s e s t e d b LN Th e A wx ra is a / o I R e EM I !'-#10#Tj#,,V im 31.2, p. 658). The following photos of the subject property were taken by the appraisers on the iate of value, unless otherwise noted, @Capital Realty Analysts, 2017 Pagel The subject property viewing S from near the N line • the site I mm #I MOM M my* in Street scene viewing S along Desert Willow Drive; subject at L I= Part 11 — Identification of the Appraisal Problem and the Scope of Work Identification of Client and Intended Users The Client and Intended Users of this report are as follows: Successor Agency to the Palm Desert RDA Attn: Ms. Lauri Aylaian, Executive Director 73-510 Fred Waring Drive Palm Desert, CA 92260 Statement of Intended Use The intended use of the report is for internal use Identification of the Subject Real Estate APNs: 620-370-002, 3, 4, 17, 18, 20, 33, 43: Riverside County, Property Rights Appraised The property rights appraised for this analysis are those of the Fee Simple Estate. The definition of Fee Simple Estate (interest) for this appraisal is as follows: "Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat,"' - Definition of Market Value The definition of market value for this appraisal is as follows: "The most probable price that property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby; '4w Buyer and seller are typically motivated; 114Both parties are well informed or well advised, and acting in what they consider their best interests, 11° A reasonable time is allowed for exposure in the open market; 'Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th ed. (Chicago: Appraisal Institute, 2015) @Capital Realty Analysts, 2017 Page 11, PartIdentification of the Appraisal Problem and the Scope of Worl '14v° Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and ,y4* The price represents the normal consideration forthe property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale."' Effective Date of Value Opinion September 29, 2017 Extraordinary Assumptions This appraisal report has been prepared based upon the following extraordinary assumptions: Hypothetical Conditions This appraisal report has been prepared based upon the following hypothetical conditions: F Jurisdictional Exceptions This appraisal report has been prepared based upon the following jurisdictional exceptions: General Assumptions and Limng Condons This appraisal has been made with the following general assumptions; 146 No responsibility is assumed for the legal description provided or for matters pertaining to legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated. 14w The property is appraised free and clear of any or all liens or encumbrances unless otherwise stated. 44� Responsible ownership and competent property management are assumed. 146, information furnished by others is believed to be reliable but no warranty is given for its accuracy. `4w All engineering studies are assumed to be correct. The plot plans and illustrative material in this report are included only to help the reader visualize the property. 446 It is assumed that there're no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such !, 1111-3 DW 111971111�..�� @Capital Realty Analysts, 2017 Page 11 Part 11 — Identifica tion of the Appraisal Problem and the Scope of Work conditions or for obtaining the engineering studies that may be required to discover them. 'w It is assumed that the property is in full compliance with all applicable federal, state, and local environmental regulations and laws unless the lack of compliance stated in the appraisal report, Aik It is assumed that the property conforms to all applicable zoning and use regulations and restrictions unless a nonconformity has been described in the appraisal report, "4W It this assumed that all required licenses, certificates of occupancy, consents, other legislative or administrative authority from any local, state, or national government or private entity or organization have or can be obtained or renewed for any use on which the opinion of value contained in this report is based. 4w It is assumed that the use of the land and improvements is confined within the boundaries for property lines of the property described that there is no encroachment or trespass unless noted in the report, Unless otherwise stated in this report, the existence of hazardous materials, which may or may not be present on the property, was not observed by the appraiser. The appraiser has no knowledge of the existence of such materials on or in the property. The appraiser, however, is not qualified to detect such substances, The presence of substances such as asbestos, urea — formaldehyde foam insulation, and other potentially hazardous materials may affect the value of the property. The value estimated is predicated on the assumption that there is no such material on or in the property that would cause a loss in value. No responsibility is assumed for such conditions or for any expertise or engineering knowledge required to discover them, The intended user is urged to retain an expert in this field, if desired. '� The forecasts, projections, or operating estimates contained herein are based on current market conditions, anticipated short-term supply and demand factors, and a continued stable economy. These forecasts are, therefore, subject to changes with future conditions. =4111111 I III 111111AII III IIIIIIIIIIII AW Any allocation of the total value is estimated in this appraisal report between the land and improvements applies only under the stated program of utilization. The separate values allocated to the land and buildings must not be used in conjunction with any other appraisal and/or invalid if they are. Scope of or The Scope of work for this appraisal assignment required three steps. These are as follows, @Capital Realty Analysts, 2017 Page 13 Part 11 — Identification of the Appraisal Problem and the Scope of Work 2. Determine and perform the scope of work necessary to develop credible assignment results; and 3. Disclose the scope of work in the report. For this analysis, each of the required steps is described separately as follows: Appraisal Problem In this case, the subject property consists of an 11.14-acre vacant land parcel. Although the property has a comparatively strong location, current demand is relatively weak, and consequently, there have been few sales of larger, locationally equivalent commercial parcels of this type in the regional market area. in light of the foregoing, the main appraisal problem we encountered was to acquire a sufficient amount of market data to render credible assignment results. We were able to expand the location and time parameters in our data search, which allowed us to overcome this issue. Otherwise, we encountered no atypical appraisal problems. 1 111 11111pill I •IT 11111 11 r t 11 1 111�1�1� We collected factual data from the client and other public and private data sources; Michael A. Scarcella, MAI inspected the subject property on September 29, 2017; 134We searched for comparable sales data from both public and private data sources; We interviewed the key brokers who work in the subject market area; 14We interviewed personnel at the City of Palm Desert; 1, We inspected and analyzed the data collected; 1116 We performed the relevant approaches to value; 14� We prepared a written appraisal report detailing factual information about the subject property, the comparable data applied, the analysis of the data and the reconciled final value estimate for the subject property; "Alk We transmitted the appraisal report to the client. @Capital Realty Analysts, 2017 Page 10 I , 2-matl=* - -I , 0 1 I-W-Weal ,-n4mr+y None History, Including Prior Sales and Current Offers or Listings In terms of history, the subject property has been held by the current owner, the Successor Regional Analysis The subject property is located in the Coachella Valley regional area. The following is a map of the regional area: The Coachella Valley region is located in southern California. The regional area extends for approximately 45 miles in Riverside County, southeast from the San Bernardino Mountains to the northern shore of the Salton Sea. The Coachella Valley is the northernmost extent of the vast trough; which includes the Salton Sea, the Imperial Valley and the Gulf of California. It is approximately 15 miles wide along most of its length. The • is bounded on the west by the @Capital Realty Analysts, 2017 Page 15 San Jacinto and Santa Rosa Mountains, and in the north and east by the Little San Bernardino Mountains. The San Andreas Fault crosses the valley frorn the Chocolate Mountains in the southeast corner of the region. The fault is easily visible along its northern leg as a strip of greenery against an otherwise barren Mountain. The Coachella Valley connects with the greater Los Angeles area to the west via San Gorgonio Pass, a major transportation corridor that includes interstate 10 and the Union Pacific Railroad. Populated by nearly 600,000 people, the Coachella Valley is part of the 13th largest metropolitan area in the United States, the Inland Empire. The following table shows the population growth trends of the Coachella Valley and the rest of Riverside County (source: California Department of Finance/US Census Bureau): Coacheha VaHey Pop,flabon Trend 0, 000 3)(),ow OF 360,000 ?, ", 0, 0 0 0 340,000 330,000 320,000 2007 2008 2009 2010 2011 2012 l,"O 13 20u4 2015 201.6 The regional area generally attracts a high percentage of retirees due to the favorable climate in the fall, winter, and spring seasons. Summers are hot, resulting in a seasonal population base. Development has generally been moving from west to east through the region. Consequently, the eastern cities in the region has the highest growth rates over the past several years. The following table shows the o east: WD 77,146 8D,962 92,325 75,122 77,165 78,065 79,298 9,5,663 $6,683, 99,059 10,912 L41% cathedral Cky 52,115 51,972 52,508 51,037 51,603 51,952 52,108 53,437 53,859 54,261 2,146 OA1% Palm Desert 49,752 50,686 51,570 48,132 49,111 49,471 49,619 51,ZD2 48,835 49,335 1417) 408% Palm Springs 46,958 47,019 47,653 44,385 45,002 45,2719 4,5,414 46,6,54 46,204 46,654 (204) -0,44% Coache#a 38,486 40,317 42,043 40,464 41,502 41,904 42,030 44,132 45,001 45,407 6,921 110% La QuMta 41,092 42,743 43,,930 37,307 37,936 39,,075 38,190 39,964 39,311 39,977 (1,115) m0,27% Desert Hot Springs 23_W 25,939 26,584 25,952 27,383 27,638 27,721 28,164 29,794 29,,048 5,,504 2.34% Rancho Krage 16,944 16,975 16„9,39 17,168 17,463 17,504 17,556 17,982 17,920 19,070 1,126 0166% dndkan Wells 4,942 5,000 SdO99 4941 SAIO 5,035 5,050 5,219 5,336 5,412 470 0.95% @Capital Realty Analysts, 2017 Page 16 Desert Hot Springs and Coachella has the highest overall growth rates and the lowest median housing prices, reflecting the generally poor economic conditions that have prevailed in the region over the past several years, Tourism, retail, healthcare, construction and agriculture are the main industries in the Coachella Valley. The following table shows the employment distribution by sector: CA MMIIAWAAMf RMUO, (241% ,J �,00) HOO/Amw (JJU4h:,, 19,,712) O#@,*fth004N,, 13,667) 0ow !W"tcos (a, 9"of" - 11"fMWW') AV r4twe (92%,,VZOW As shown, retail hotel with their related services historically have been the driving force in the local econom�. Close drivi r o x i m i I %,/ t o L o s A n ae te yields over 3.5 million tourists per year, The area attracts a significant retiring base; yielding a high percentage of healthcare employment, Historically, the Coachella Valley tended to underperform the Inland Empire's economy in bad times; and outperform it in good times, Thus, the areas job growth was negative in the early 1990s recession, but grew faster than the region in the late 1990s recovery. It was slower in the 2001 recession but was faster to recover in the mid-2000's. In 2007 the pattern reversed due to the severe recession. This is largely due to the increased prominence of the local construction sector. Thus, the Valley grew slower than the Inland region in 2005 -- 2006 boom years, and matched it during the 2007 — 2009 recession. It fell much more than the Inland region in 201.0 (-3.3% versus -1.5%). In 2011 both grew slightly. @Capital Realty Analysts, 2017 Page 17 Absorbtioamp Trends 5"000 4,000 3,()0() 0 .................. —ft"Ift-M --------- 1 0 11 U) 0, CD , q N ff'I Ln �D CID M C) "4 N) :I, L' M 0 0 M 0 C) I'D CD C_0 C", M CD CJ10'7 CD CD 0 0 � 1--i q , C r'� IN F, I n4 (14 C "4) P'4 F'�� rcl;I -1111—Attached Unts Unis aw,­ Shown in table above, regional new -home absorption declined sharply in 2005 through 2008. Small optics in 2011 and 2012 were followed by a comparatively strong showing in 2014. Although absorption has tapered off, the Coachella Valley appears to have a general positive outlook, at least in the short run. Employment has almost fully recovered to its pre -recession peak. Comparatively speaking, unemployment rates for the regional area are fairly low. As a result, income levels look good and poised to get better. Conclusion, Regional Analysis The Coachella Valley economy has historically been seasonal, tied to the Winter/Spring influx of tourists and seasonal residents. Additionally, the Coachella Valley has historically attracted the baby boomer and relatively affluent retiree segments. The region is projected to continue to grow rapidly in relation to neighboring regions over the next few decades as the large baby boomer demographic Is now entering retirement age. The region continues to enhance its appeal with this demographic by configuring shopping, entertainment venues, planned housing developments ranging from upper middle to high end products geared to the segment. The regional economy is now trending up after several years of difficult economic conditions. This trend is likely to continue through the short term; with some potential for stronger midterm growth as the current economic cycle continues to mature. lysts, 2017 Page J. City Analysis — Palm Desert, CA The subject property is located in the City of Palm Desert. The following map shows the subject City; Introduction Palm Desert California is located in the central portion of the Coachella Valley region. The city is bounded by Indian Wells to the east, Rancho Mirage to the west, the Santa Rosa Mountains to the south and Interstate 10 to the north. Access to Palm Desert is considered good via Monterey Ave., Cook Street and Washington Street: direct routes to the Interstate 10 freeway, State Highway 111, the major commercial corridor in the region roughly bisects the city of Palm Desert, running from west to east. Palm Springs International Airport is the nearest regional airport, located approximately 18 miles west of the city in the city of Palm Springs. Bermuda Dunes Airport, a general aviation facility is located immediately east of the city in an unincorporated area known as Bermuda Dunes. Although Southern Pacific operates rail facilities parallel to the interstate 10 freeway along the northern border of the city, rail spur access is not available within the city limits, The city was incorporated in 1973, and includes a total land area @Capital Realty Analysts, 2017 Page 19 of 26.96 mi.'. Historically, Palm Desert has had a reputation and one is as one of the best run cities in the subject region. Several good -quality master -planned communities have been developed in Palm Desert. Some of these include Bighorn, Ironwood, Desert Falls, Palm Valley and Indian Ridge. In addition, Palm Desert has attracted high quality retail development. El Paseo is the region's premier pedestrian retail core door, generally attracting the highest retail rents in the region. Tenants on El Paseo include Sak's, Tiffany's, Coach, Tommy Bahamas and designers such as Louis Vuitton, Gucci, and Ralph Lauren. Westfield Shoppingtown (formerly known as the Palm Desert Town Center), a regional mail located in Palm Desert sold in 1999. This facility is the largest in both size and sales volume among the four regional malls in the Coachella Valley region. The facility completed a major renovation in the mid-2000's and again in 2014, which brought in new retailers and food court tenants. Population As shown in the tables in the Regional Analysis, the population of Palm Desert has grown approximately 90% in the past decade, to over 50,000 permanent residents. Current estimates put the seasonal population of the city at over 70,000. The city's growth has been enhanced with quality developments, including the City's Desert Willow project Marriott's Desert Springs resort and a number of excellent quality retail projects. The northern part of the city includes hundreds of acres available for new residential and commercial development. Business and Economy The fact the Palm Desert has a substantial retail and service -based economy makes for a comparatively high percentage of year-round population. As shown in the chart on the following page the absorption rate for homes sales remains relatively weak; although the median price has been trending up. @Capital Realty Analysts, 2017 Page 23 Overall unemployment has been comparatively low in Palm Desert, and is trending down as of the date of value. The following chart shows a 13-year trend through 2014: .... . ............. Unemployment by ywr 10 . . ..... @Capital Realty Analysts, 2017 Page 21 Like the other Coachella Valley cities, Palm Desert's economic base is the tourism, construction and retail industries, Palm Desert has the largest destination resort in the Coachella Valley. The Marriott's Desert Springs resort represents almost 50% of the cities over 1800 hotel rooms. A 400% increase in hotel room sales has occurred since 1986 to over approximately $80 million. The recession and subsequent housing downturn impacted the construction industry in Palm Desert. The following table shows the permit trend in the city: morbo, of PWMft PW 10,000 06*nft IM 2CA VrN XJI MIP xi^ m I lColl 1110" 24017 POO 4KII Lo" I,= 2002 2004 JON RON NIQ 2614 W m Otsen CKY IN, carAw*A Ows" Vy"I As shown, permit activity is near a historical low. However, the average permit value is comparatively high, and trending up. Conclusion Palm Desert has been one of the top economic performers in the regional area. Well -managed growth and a realistic municipal approach, combined with relatively wide economic diversity have created a comparatively stable community. The city administration has done a good job of anticipating and adjusting to changes occurring through its own growth and the growth of the surrounding communities. These trends are projected to continue through at least the midterm. @Capital Realty Analysts, 2017 Page 21 IWA @Capital Realty Analysts, 2017 Page 23 Location: NEC of Country Club Drive and Desert Willow Drive, City of Palm Desert, Riverside Country, CA. Site Size: According to the Riverside County Assessor's Plat Map, the site size of the subject property is as follows: 2 3 4 5 6 7 8 Totals Irregular Iff- =1110=* Frontage: According to the Riverside County Assessor's Plat Map, the subject property has approximately 485' of frontage along the N side of Country Club Drive, and approximately 775' of frontage along the E side of Desert Willow Drive, Palm Desert, CA Topography: Generally level at curb grade Flood Zone: According to the Flood Insurance Rate Map, Community Panel No. 06065C1615G, dated 8/28/08, the subject is located in Flood Zone X. Flood Zone X is defined as follows: WroTOT# # 311111.ftl . •so with average cleptils 01 Ie.,!, LIIdH 1 10 A dUlagt-darMad U 1 square mile; and areas protected by levees from 1% annual chance flood." ,-ault Zone: The subject property is not located within Y2 mile of a known fault. (DCapital Realty Analysts, 2017 Page 24 11 iquefaction Moderate lotential: Access: The subject property has average access via the N side of Country Club Drive, and via the east side of Desert Willow Drive, Soils: We were not provided with a soil report for the subject property. Our physical inspection of the subject property did not reveal any obvious evidence of toxic waste or atypical hazardous materials on the subject property. This report assumes that no toxic or hazardous materials are present upon the subject property. The appraisers are not qualified to make a determination as to the existence or nonexistence of hazardous materials on the subject property, and recommend a qualified engineer be consulted, if required. Utilities: Electricity: Southern California Edison: (800)-655-4555 Gas: Southern California Gas Company: (800)-427-2200 Water: Coachella Valley Water District: (760)-391-4038 Sewer: Coachella Valley Water District: (760)-398-2651 Telephone: Frontier Communication: (844)-334-8465 Hazards: Our physical inspection of the subject property did not reveal any atypical hazards. We are not qualified to evaluate the site for toxic waste or hazardous substances. This report assumes that there are no hidden or apparent conditions to, or on the soil or subsoil that render the property more or less valuable. Zoning: According to the Zoning Map of the City of Palm Desert, the subject property is zoned P.C.-(2), Planned Commercial. General Plan: According to the General Plan Map of the City of Palm Desert, the subject parcel has a general plan designation of Suburban Retail Center. Special The course of normal data gathering and analysis and a visual inspection Resources: of the subject did not reveal any evidence of natural, cultural, recreational or scientific resources present on the subject site, @Capital Realty Analysts, 2017 Page 25 Easements A preliminary title report for the subject property was not submitted or Encumbrances: examined. It is assumed there are no atypical easements or encumbrances that may have a negative impact on the marketability or market value of the subject property. Functional Typical Adequacy of the Site: Relationship North: Desert Willow to Adjoining South: Marriott Desert Springs Resort Properties: East: Desert Springs Marketplace West: Desert Willow Units of The market typically applies a price per ft2 as the metric to value land such as Comparison: the subject property. The price per f,t2 will be applied as the unit of comparison to value the site for this analysis. @Capital Realty Analysts, 2017 Page 26 K)Capital Realty Analysts, 2017 Page 27 NET, N" (DCapital Realty Analysts, 2017 Page 21 (DCapital Realty Analysts, 2017 Page 29 Improvement Description The subject property is improved with some paved areas and some perimeter landscaping. The existing paving has no functional utility other than to keep dust down with parking. The existing paving would be removed if the property were to be developed with a commercial center and consequently, the existing paving has no contributory value. The perimeter landscaping would be required if the property were to be developed, Consequently, the perimeter landscaping does enhance the market value of the property, but to a comparat�ively small degree as the cost to do this work is a small fraction of the total property value. Taxes and Assessment Data I Real property taxation in the state of California is governed by Proposition 13, which was pass by the voters in June 1978. The basic elements of proposition 13 are as follows: I 1. The tax rate was limited to 1% of the assessed value plus an additional Y4% to cover the payment of debts previously approved by voters. Ft. The assessed value of the property purchased prior to March 1, 1975 was fixed at that property's marketvalue as of March 1, 1975. For a property purchase after March 1, 1975, the law requires the assessment to be based on the market value at the time of sale. 3. All assessed values can increase no more than 2% per year for inflation. The subject property is currently held in fee by a tax-exempt entity. Consequently, I have no basis for estimating the reasonableness of the assessed value or effective tax rate. @Capital Realty Analysts, 2017 Page 3Z Part IV —Analysis of Data and Conclusions ww en-rdUrf, D. . I u I 11. ect market area. The subject property is an 11.14-acre vacant land parcel, located at the NEC of Country Club Drive and Desert Willow Drive, Palm Desert, CA. The property is located in a market area known as the North Sphere of Palm Desert. The property is located immediately east of the Ralph's anchored, Desert Springs Marketplace. The land to the north and west has been developed with Desert Willow, a municipal golf facility with vacant pads remaining for resort residential development. The land to the south has been developed with the J. W. Marriott Desert Springs Resort, in light of the adjacent uses, the subject's commercial zoning and general plan designations are appropriate. The market area originally developed around the several high -quality country club projects located along Country Club Drive. Development of a freeway interchange at Cook Street opened up the Cook Street corridor to new development north of Frank Sinatra Drive. This area includes the UCR and Cal State San Bernardino campus facilities, located at the SEC of Cook Street and Gerald Ford Drive. A significant amount of commercial development also exists at the NWC of the market area surrounding the Super Wal-Mart at the SEC of Monterey Avenue and Dinah Shore Drive. This area also includes much of the vacant land in the neighborhood remaining for development. @Capital Realty Analysts, 2017 Page 31 Part IV —Analysis of Data and Conclusions In the immediate area of the subject property, Desert Willow and the Marriott Desert Springs Resort are the 2 major developments. The Marriott is among the region's largest and most successful resort properties. Desert Willow is a City of Palm Desert project that includes 2 golf courses surrounded by resort residential building pads. While some existing development has taken place, a significant amount of vacant land remains within Desert Willow for future resort residential development. The subject property is among the very few commercially zoned parcels remaining for development in the southern part of the market area. The fact that the property is located immediately adjacent to an existing neighborhood center has both positive and negative connotations. The positive elements include the fact that the existing center already provides a draw to the property. However, the subject is sized for a neighborhood center, and as a grocery anchor already exists in this location, the subject may encounter difficulty in attracting a complimentary, ,I[ land sales activity, the table at right shows the current trends: E $60 uvF $40 $ 20 $01MIA &I 12 13 14 15 is 17 $300,00 As shown, sales volume is likely to be lower in 2017 13 14 15 16 17 as compared to 2015/2016, Alternatively, the average price ft.2 is trending up slightly. This is partly Average SW* Prim Per Land SF a function of higher value parcels trading in the $6 market. Considering only the data from the 111 2 quarter of 2015 through the date of value, ft.pricing $4 has been trending down after a spike in the 11' quarter of 2017. The current quarter average ft.' $2 price is approximately $2.35. Part of the reason for the current marginal performance on land sales $0 activity is that overall market vacancy in the retail segment remains at approximately 12.4%; which is well above the historical regional average of approximately 10%. However, regional vacancy rates are still trending down from a high of 14.5% in 2014. The average retail rental rate peaked in 2016 at $1.46 ft.'. The current average retail rental rate is approximately $1.37 ft.'. While the immediate area of the subject commands higher retail rental rates, the average retail rental rate remains well below feasibility rent; at which point new construction would be expected. The chart on the following page shows the data: @Capital Realty Analysts, 2017 Page 32 Vacancy & Rental Rates 15.5% 15,0% 14.5% 15 14.0% C 13.5% 13,0 % 12,5% 2013 2014 2015 2016 2017 $1,20 Conclusion The subject property has a comparatively strong location, adjacent to an existing neighborhood center, and opposite the region's (arguably) best performing resort. Clearly, the Marriott attracts significant group business, which would seem to support feasible development of some restaurant and other resort oriented uses on the subject property. Alternatively, there are 3 high quality restaurants already operational in the Desert Springs Marketplace (Morton's, Cork Tree, & City Wok). In light of the existing competitive landscape, it seems likely that the subject would be most attractive to a speculator, as demand for current development on the property may not exist for some time. However, when sufficient demand returns TWIN . I of the subject would likely be comparatively strong as the property would be viewed as a key location due to its proximity to existing resort oriented uses, @Capital Realty Analysts, 2017 Page 33 Part IV —Analysis of Data and Conclusions Highest and Best Use Highest and best use is defined as follows: 1. The reasonably probable use of the property that results in the highest value. The four criteria that the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum productivity. 2. The use of an asset that maximizes its potential and that is possible, legally permissible, and financially feasible. The highest and best use may be for continuation of an assets existing use or for some alternative use. This is determined by the use that a market participant would have in mind for the asset when formulating the price that it would be willing to bid. (IVS) 3. The highest and most profitable use for which the property is adaptable and needed or likely to be needed in the reasonably near future. (Uniform Appraisal Standards for Federal Land Acquisitions)3 implied in this definition, and the definitions of highest and best use as vacant, and highest and best use as improved, is that the determination of the highest and best use takes into account the contribution of a specific use to the community and community development goals as well as the benefits of that use to individual property owners, Hence, in certain situations, the highest and best use of land may be for parks, green belts, preservation, conservation, wildlife habitats, and the like. The four stages of analysis are further described as follows: '04* Legally Permissible: What uses are permitted by zoning and deed restriction for the subject site? '4,06 Physically Possible: What are the physically possible uses for the subject site? '49, Financially Feasible: What physically possible and legally permissible uses will produce a net return to the owner of the site? A& Maximally Productive: Among the financially feasible uses, which use will produce the highest net return or the highest present worth? These four tests are applying the subject property in the asked vacant condition, as well as the as improved condition. The following describe the analysis: 3 Source: Appraisal Institute, The Dictionary of Real Estate Appraisal, 6 th ed. (Chicago: Appraisal Institute, 2015) @Capital Realty Analysts, 2017 Page 31 Highest and Best Use of Land or Site as Though Vacant The highest and best use of land or a site as though vacant is defined as follows: "Among all reasonable, alternative uses, that use that yields the highest present value, after payments are made for labor, capital, and coordination." 4 Legally Permissible — As Vacant The legal restrictions that apply to the subject are the public restrictions of the City of Palm Desert's P.C.-(2), Planned Commercial zoning, and Suburban Retail Center General Plan designation. These designations allow for a wide variety of commercial uses. Other commercial centers been constructed on similar zoned parcels with no apparent legal constraints. The subject's zoning is considered reasonable and appropriate, and would not impair development of the site to its highest and best use, if it were vacant on the date of value, Physically Possible — As Vacant The subject property is a typical commercial parcel located along Country Club Drive, a major regional artery in the subject neighborhood. The property is surrounded by existing development, and all essential utilities are available to the property. The topographical conditions are level at curb grade, and perimeter landscaping has been installed, as are the majority of likely offsite improvements. Based upon the available data, we conclude that the physical aspects of the subject property are typical and would not impair the potential for it to be developed to its highest and best use if it were vacant on the date of value. Financially Feasible — As Vacant The legally permissible and physically possible qualities of the subject lend it to commercial development. Financial feasibility for development of this type is typically estimated with a simple comparison of costs and benefits. If the cost to construct a prospective development exceeds the present value of the cash flows (including the reversion, if applicable), estimated for the proposed use, the proposed use is not considered feasible. Alternatively, if the present value of the expected income stream exceeds the cost to produce the proposed development, the use is considered financially feasible. Clearly, rental rates are insufficient to support financially feasible new speculative commercial development as of the date of value, Evidence is supplied by the fact that only a limited number of lenders and developers are currently risking new debt and equity on new speculative for -lease commercial projects in the subject market. Consequently, we conclude that development of the subject parcel with speculative 4 Source: Appraisal Institute, The Dictionary of Real Estate Appraisal, 5 th ed. (Chicago: Appraisal Institute, 2010) @Capital Realty Analysts, 2017 Page 35 commercial building improvements would not prove financially feasible asofthe date 0f value. Maximally Productive — As Vacant the physically possible and legally permissible uses for the subject property are present in the subject region. Other commercial properties in the subject region have been myorwiN ever, lacking current financial feasibilitjv�, it is our opinion that the market perception is that the most maximally productive use of the subject property "As Vacant" is to hold for future commercial development. Highest and Best Use of the Property As Improved WeSt Use of Vie -oroitertv as improved is defined as follows: "The use that should be made of the property as it exists. An existing improvement should be renovated or retained as is so long as it continues to contribute to the total market value of the property, or until the return from the new improvement would more than offset the cost of demolishing the existing building and constructing a new one." The subject property is not improved and consequently, there is no highest and best use as improved analysis. Appraisal Process As the subject property lacks improvements with an associated cost, income earning potential, and/or contributory value, the Cost Approach and the Income Approaches to value are not considered relevant. The Sales Comparison Approach is applied exclusively to estimate the market value of the fee simple estate in the subject property in the as is condition. *Capital Realty Analysts, 2017 Page 3-6 Sales Comparison Approach 'The sales comparison r► is • as follows "The process of deriving a value indication for the subject property by comparing sales of similar properties to the property being appraised, identifying appropriate units of comparison, and making adjustments to the sale • (or unit prices, as appropriate) • the comparable properties based on relevant, market — derived elements of comparison. The sales comparison approach may be used to value improved properties, vacant land, • land being considered as though vacant when an adequate supply of comparable sales is available."' A field investigation was made in order to obtain data on recent, comparable sales transactions, The • selection criteria for the comparable sales applied in this analysis are as follows; current sales, similar locational quality, similar physical • etc. The typical unit of com anson• ii"W' -, 'K�TITWIIEOI lip, Land Sales Map Land Sales Grid Land Sales Analysis 14& Land Sales Adjustment Matrix A& Reconciliation and Conclusion 5 Source: Appraisal Institute, The Dictionary of Real Estate Appraisal, 6 1h ed. (Chicago: Appraisal Institute, 2015) @Capital Realty Analysts, 2017 Page 37 Part IV —Analysis of Data and Conclusions Land Sales Map & Grid 1 NVV[ofHighway 1I1& Mirage Cove Drive Rancho Mirage, CA 2 NSide ofDr. [arremn8|vd, VV ofMonroe Street Indio, [4 3 NEC ofHighway Ill & Miles Avenue Indian Wells, CA 4 ESide ofMonterey Avenue, WofGerald Ford Drive Palm Desert, L4 Subject NEC ofCountry Club Drive & Desert Willow Drive Palm Desert, CA Comparable Sale No. 1 Comparable sale number one is the March 2016 sale of a 10.70-acre land parcel, located at the NWC of Highway Ill and Mirage Cove Drive, Rancho Mirage, CA. The sale price of $4,375,000 equates to an otherwise unadjusted sale price of $9,39 ft.'. This data item was selected for comparison to demonstrate the higher end of the applicable market for the subject. This property, known as Carlton Canyon is so -named for the Ritz Carlton Resort; which is located southwest of the property, The buyer is planning a mixed -use project that includes a 3.5-acre hotel site, which is currently listed for sale for $3,940,300. The following is a site plan for the proposed project: Comparable Sale No. 2 Comparable sale number two is the July 2017 sale of a 7,96-acre land parcel, located along the north side of Dr. Carreon Blvd., west of Monroe Street, Indio, CA. The sale price of $2,000,ON equates to an unadjusted sale price of $5.77 ft.'. This data item was selected for comparison to demonstrate a smaller parcel sale, in an off -Highway 111 location, in close proximity to a major draw (JFK Hospital); and immediately adjacent to a lar @Capital Realty Analysts, 2017 Page 39 Part IV — Analysis of Data and Conclusions The buyer is planning a mixed -use project for the site. Overall comparability is considered average. Comparable Sale No. 3 Comparable sale number three is the March 2014 sale of 14.74-acres of vacant land, located at the NEC of Highway 111 and Miles Avenue, Indian Wells, CA. The sale price of $2,940,000 equates to an otherwise unadjusted price of $4.58 ft2 . This data item was selected for comparison to demonstrate a larger parcel sale, which may be useful in isolating a size adjustment, if any. The proposed project for this site, known as One Indian Wells, includes retail, office and hotel uses. The following is a proposed site plan for the project: SITE PILAN The total site area, now 15.40-acres, is listed for sale for $6,200,000, or $9.24 ft.'. Although the property has approximately 2,000of frontage along Highway 111, the property backs to the storm channel; which may create additional offsite improvement cost exposure. Overall comparability is considered average. Comparable Listing No. 4 Comparable listing number four is the current listing of an 8.53-acre vacant land parcel, located along the east side of Monterey Avenue, north of Gerald Ford Drive, Palm Desert, CA. The listing price of $3,591,084 equates to an unadjusted listing price of $9.66 ft.I.This data item is included for comparison as there are no current comparable sale transactions located within the City of Palm Desert. Consequently, we selected this listing; which is the closest comparable to the subject, currently being offered on the open market. As the property has not sold, the adjusted listing price should represent the top of the market for the subject property. Overall comparability is considered fair as the property has not sold in the market. @Capital Realty Analysts, 2017 Page 44 Adjustments Adjustments to each of the sales are required for significant differences that affect value, The appraiser adheres to a sequence of adjustments in all sales comparison analysis. Using the sequence, the appraiser obtains intermediate price figures and applies succeeding adjustments to each previously adjusted sale price. The adjustments applied to the price of a comparable property reflect the comparable sales superiority or inferiority in regard to the real property rights conveyed, financing, conditions of sale, market conditions, locational and physical characteristics. A common method of extracting adjustments among the comparable sales is a technique called matched pairs analysis. The goal of matched pairs analysis is to obtain market - based adjustments, The basic premise of matched pairs is to isolate a particular adjustment feature among two or more ♦.. where the difference in adjusted prices would yield the market's value perception for that feature. Generally, the appraiser follows the sequence of adjustments, attempting to isolate market -based adjustments from intermediate adjusted sale prices. In many cases, adjustment features cannot be isolated. Limited comparable data, unique property traits orother factors may cause this, When adjustment features cannot be isolated, matched pairs analysis is supplemented with other techniques to adjust the comparable data. These other techniques typically include cost - based adjustments, adjustments based upon a market survey, adjustments based upon published data, and subjective adjustments. The following is a discussion of the relevant adjustment features: Property Rights Conveyed Among this data set, all of the sales were fee simple estates. Consequently, no adjustments for property rights conveyed are required of this clataset, Financing Terms All of the sales were reported to be cash equivalent sales with no indication of any non -market or beneficial financing that would warrant a cash equivalency adjustment. No adjustments for financing terms are required among this data set. Conditions of Sale Sales 1-3 were reported to be arms -length sales with no atypical conditions. No adjustments for conditions of sale are required among these sales. Data No. 4 is a current listing. In light of the fact that the property has not sold in the market, a downward adjustment of 10% is applied to reflect the likelihood of a sale price slightly below the listing price; which is typical in the market. (OCapital Realty Analysts, 2017 Page 41 Part IV —Analysis of Data and Conclusions Adjustments for market conditions reflect a change in the prices paid for real property due to changes in markets over time. This adjustment line item proved to be among the more challenging in this assignment due to the lack of similarly sized commercial land sales in the City of Palm Desert over the past approximately 4-years. Lacking the ability to isolate time as an adjustment feature among the sales selected for direct comparison, we interviewed the brokers who work the subject market area, and ran some time -based data tests via Costar analytics. Among the brokers interviewed for this analysis, the consensus of opinion is that land values f the larger commercial parcels have remained relatively flat since 2014. Alternativel marketability may be trending up slightly. The following table, constructed from data acquir via Costar Analytics, shows the trend in regional commercial land values over time: I Average Sale Price Per Land SF ft Y tY ;L All $14 a 07 08 0,9, 10 11 12 As shown, values appear to have bottomed in 2013/2014; increased sharply in 2015/2016, then dropped off in 2017 to date. However, the 2017 ytd average is slightly higher than the current average, suggesting an overall upward adjustment may be applicable to Sale 3, the 201-,�- transaction. However, the 2017 ytd average is below the 2016 average, suggesting small downward adjustment may be applicable to Sales 1 and 2, the 2016 sales. The sales are adjusted accordingly. @Capital Realty Analysts, 2017 Page Is The locational *uAily gf—t�—ufjoj 1111111C`#.1dLC1J ITU5L 91 d rxaipn s-ancnore-a neighborhood center (Desert Springs Marketplace). The north and west lines of the Subject abut the Desert Willow project area, and the Marriott Desert Springs Resort is located immediately South of the subject, While the locational quality of the subject seems comparatively strong, the existing resort retail and restaurant facilities that already exist appear to satisfy existing demand, suggesting that feasibility for current development on the subject does not exist as of the date of value, Alternatively, as the market continues to mature through the current cycle, demand for feasible s,Q,eculative d eve I ow m due to the strong resort draws located on 3 sides of the site. Sale 1 is located along the Highway 111 corridor in Rancho Mirage. The traffic count is high in this location, and the property is likely closer to becorning ripe for development as compared to the subject, For these reasons, the locational quality of Sale I is considered superior to the locational quality of the subject and downward adjustment is applied to Sale 1 for location. Sale 2 is located near the JFK Hospital in Indio, A the traffic count is much lower in this location, prospects for feasible medical related development is significantly higher as compared to the subject. However, these features are not offsetting, as rental rates are lower in the Indio sub - market, Consequently, the locational quality of Sale 2 is considered inferior to the locational quality of the subject and upward adjustment is applied to Sale 2 for location. Sale 3 is located along the Highway 111 corridor in Indian Wells, CA, This property has approximately 2,000' of frontage along Highway 111, and would be considered a premier mixed - use project site, However, the north line of the property abuts the Whitewater River Channel and consequently, the offsite development cost is higher in this location than typical. Additionally, mMI re than 1 broker suggested that permitting a project in Indian Wells may prove tirne- consuming, difficult and costly, However, the property is located in close proximity to thousands of hotel rooms and the Indian Wells Tennis Garden, Overall, the more costly wash location is considered offset by the superior Indian Wells address and frontage, and no adjustment is applied to Sale 3 for location. Listing 4 is located immediately North of the Lowe's in Palm Desert, While there are no large resort or other draws located in the immediate area of this property, the Monterey Avenue location is near the 1-10 / Monterey Interchange, and a high traffic count exists in this location, As in Sale 3, these features are considered offsetting and no adjustment for location is required of Listing, 4. Size Size adjustments are typically based upon the concept of marginal utility. Marginal utility is defined as follows: @Capital Realty Analysts, 2017 Page 43 "The increment of total utility added by the last unit of a good at any given point of consumption. in general, the greater the number of items, the lower the marginal utility, 1. E., A greater supply of an item or product lowers the value of each item."' The concept of marginal utility typically holds true for parcels in the subject's sub -market area. Among this data set, Sale 3, the largest parcel sale did have the lowest ft.2 sale price; suggest�ing that the concept of marginal utility is valid. Alternatively, Sale 2, the smallest sale did not have the highest ft.2 sale price; providing a conflict�ing indication. Sale 1 and Listing 4 did provide positive indications. In light of the fact that 3 of the 4 pairings yielded a positive correilation �_,avwmlize and xvrice the smaller sales are a&sted downward for size; while the larger parcel is adjusted upwards for size. Other Physical Attributes in terms ofother physical attributes, the subject and Data |ternS 1-4 are considered sufficiently similar that nofurther adjustments are required. Conclusion, Market Value As Is The following table shows the adjustment matrix applied to the comparable sales, to yield ft.' 6 Source: Appraisal Institute, The Dictionary of Real Estate Appraisal, 6 th ed, (Chicago: Appraisal Institute, 2015) I a , Sale Price $4,375,000 $2,000,000 $2,940,000 $3,591,084 Size (AC) 11.14 10.70 7.96 14.74 8.53 Unit of Comparison $/PSF $/PSF $/PSF $/PSF $/PSF Sale Price SF $939 $5.77 $4.58 $9.66 Property Rights Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Adjustment $- $- $- $_ Terms Cash Cash Cash Cash Cash Equivalency $- $- $.- $- am MM 9/29/17 Arm's-Length Arm's-Length Arm's-Length 3/31/16 7/11/16 3/7/14 --$0.47 -$0.29 $0.23 $8.92 $5.48 $4.81 Average Superior -.$1.34 11.14 10.70 Inferior Similar $0.55 $- 7.96 14.74 -$0.55 $0,24 M Listing M Similar M Other Physical Typical Similar Similar Similar Similar Adjustment $- $- $.- $_ value Indications PSF $7.58 $5.48 $5M $7.83 As shown, the adjusted value range is from $5.05 ft.2 to $7.83 ft.2. As expected, the listing that has yet to sell in the market bracketed the high end of the range. Net of this listing, the range narrows 'to $5.05 ft.2 to $7.58 ft.2. With 2 of the 3 indications in the mid-$5 ft.2 range, the preponderance of evidence suggests a ft.2 value estimate at the lower end of the range. Based upon the available data, we conclude that the market value of the fee simple estate in the subject property as of 9/29/17 is as follows: $5.50 ft.2 x 485,258 ft.2= $7,668,919 $2,670,000 (Rounded) Two Million Six Hundred Seventy Thousand Dollars Exposure Time Exposure time is defined as follows; -ty# VR� r i ne esTITTf_dTe__II#Iff_r the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; a retrospective estimate based upon an analysis of past events assuming a competitive and open market." The exposure time of the comparables was reported at 2-months to 6-months. Costar Analytics reports the average exposure time in the subject's sub -market area at 8.5-months. Based upon the available data, we conclude that the appropriate exposure time for the subject is 8-mont�hs. MarketingTime . i_P_ffJ_P4 2S'1*llQAVS: ? i mated market value level during the period immediately after the effective date of an appraisal" Marketing times for this property type are trending down as historic highs in stock market are adding perceived risk. Consequently, investment dollars are now slowly starting to flow from securities to commercial real estate. This trend is expected to continue through the short term '? "t" wr;rpP."4kr*- h e rn a r k e t i n ��_fune_A#x ected to be A r than the exposure time estimate. Based upon the available data, we conclude that the appropriate exposure time for the subject is correlated at 12-months at market value. @Capital Realty Analysts, 2017 Page 10 Education Bachelor of Science, Business, University of Nevada, Las Vegas — 1982 All required appraisal Institute sponsored courses required tQattain the KAA| designation, along with appraisal Institute sponsored courses, seminars and online forums required for continuing education. Professional Organizations/Licensing Member of the Appraisal Institute, MAI member number 11072 State of California certified general real estate aL)Qraiser, AG 0194 General Experience 1997 Current — Capital Realty Analysts, President 1991-1996 Mackenzie and Associates, staff appraiser Qualified as an expert real estate witness, United States Bankruptcy Court Qualified as an expert real estate witness, Riverside County Superior Court Public Sector Private Sector Institutional United States ofAmerica Trust for Public Land Bari kofArne ,ica 8LKx Annenberg Foundation Wells Fargo Bank B|x C8Commeoia| Pacific Western Bank po|[ remmn Washington Mutual Bank Dept. of Justice Bechtel Corporation Home Savings Bank State ofCalifornia n6LRecreation Corp. Bank Midwest State ofArizona United State Filter Corp, Pacific National Bank niverside[ounty Sunrise Company Pacific Premie,Bank City ofPalm Springs Price Waterhouse Sterling Bank City ofCoachella Mojave Desert Land Trust Pacific Mercantile Batik City ofDesert Hot Springs Habitat for Humanity Banc One City ofCathedral city Lennarnumes Fidelity Federal Bank City ofRancho Mirage "Temple Construction Bankers rrustCompany City ofPa|mDesert Takenaka[orpomt|on Northern Trust Batik City ufIndian Wells Betty Ford Center First Batik City nfIndio ocartInstitute ofthe Desert Commerce Federal Savings City of|aOwima Basic Capital Management Great American Batik Palm Springs USD Estate ofFrank Sinatra Mitsubishi Bank Desert Sands Unified SD Merrill Lynch First Citizens Bank Coachella Valley Unified SD VVeoman Development E|Paseo Bank Various Public Utilities Attorneys Community Valley Bank [VAG Developers Bank Six Eisenhower Memorial Hsp. Accountants Alliance Batik Desert Hospital Education Associates in Arts, Liberal Arts, College of the Desert, Palm Desert, CA — 2009-2011 Completed Real Estate Appraisal Courses 14w Basic Appraisal Principles "A* Basic Appraisal Procedures Supervisory Appraiser/Trainee Appraiser Course Residential Report Writing and Case Studies Residential Market Analysis and Highest and Best Use (v2) Residential Appraiser Site Valuation and Cost Approach (0) Residential Sales Comparison and Income Approaches (0) '041� 2016-2017 15 Hour Equivalent USPAP Course Professional Organizations/Licensing State of California appraiser trainee, 3004172 General Experience 2016 - Current — Capital Realty Analysts, staff appraiser 2007 — 2016 - Hotel, Restaurant/Front of house service staff @Capital Realty Analysts, 2017 Page 48 X M @Capital Realty Analysts, 2017 Page 49 Comparable Land Sales Data Sheets EE= Date of Sale: March 31, 2011 Grantor: Home Tech Visions,M ICTF. rt M- 01011BUKOTINUfflueml Financing: Cash to Seller K)Capital Realty Analysts, 2017 Page 5M Fff Site Size: 10. 70--acres, or 466,092 f I I Miff =- I . 0, 4, 10, min MIN my= Nesent Use: The property is vacant, Site N/A, the property is vacant, Improvements: Highest & Best Hold for investment Use: Topography: Generally level, approximately 1' below street grade Lot Dimensions: See Plat Map Legal Access: W side of Highway 111, N side of Mirage Cove Drive Verification: Steve Lyle, listing/selling broker 760-772-6400 History: The seller acquired this property in 2013 for an unknown sale price. The prior sale occurred on 12/7/01 for $2,007,000, Comments- This property was acquired for future development of a mixed -use project, @Capital Realty Analysts, 2017 Page 51 if h l �lrow"' ' fm yet 1/ � Intel 46 F r / / l irk ' � �,//iih f➢ t 9/„ ti+� ,ir '� 1 ,. , �h �.,/�i - Comparable Land Sales Data Sheets General Plan: Regional Commercial, Indio, CA Flood Zone: Zone X: "Areas of 0.2% annual chance flood; areas of 1% annual chance flood with average depths of less than I foot or with drainage areas less than 1 square mile; and areas protected by levees from 1% annual chance flood," Site Size: 7.96-acres or 346,6738 f t' Utilities: All available to the site Minerals: NoneKnown Present Use: Vacantland M11IM11=1 Topography: Level at curb grade Lot Dimensions: Irregular, See Plat Map Legal Access: N side of Dr. Carreon Blvd. History: This property was originally developed as the clubhouse for the Indian Springs Golf Club. Comments: The seller acquired the property on 5/20/16 via foreclosure. The prior sale occurred on 9/25/14 for $1,000,000. e G/ is cy;' rrr ' i i !//�d /i �✓ j iii //l'; % % %/i1%' y' 4 Am" a / ix ' , y Comparable Land Sales Data Sheets General Plan: Community Commercial Flood Zone: Zone X: "Areas determined to be outside the 0,2% annual chance floodplain." Site Size: 14.74-acres, or 642,135 ft2 Price Per SF: $4.58 Utilities: All available Site Position: Corn(M Minerals: NoneKnown �Iresent Use: The property is vacarz, Site N/A, the property is vacant. Improvements: Highest & Best Hold for investment Use: Legal Access: N side of Highway 111, E side of Miles Avenue Verification: John Bilger, listing broker (858) 523-2090 History: Unknown Comments: This property is currently listed for sale for $6,200,000, .................................. @Capital Realty Analysts, 2017 Page 55 k i+ �N � k ��« rs sr u� /1�f�rrr,�;a�,r 711�✓mwSNvixfv i��r l �a(%yQ��'f,� �� ;j' Comparable Land Sales Data Sheets Zoning: P,C. — (2), Planned Commercial General Plan: C-R, Regional Commercial Flood Zone: Zone X: "Areas of 0.2% annual chance flood; areas of 1% annual chance flood with average depths of less than 1 foot or with drainage areas less than 1. square mile, and areas protected by levees from 1% annual chance flood," Site Size: 8.53-acres, 371,567 Sq. Ft. Utilities: All available Minerals: None Known V'resent Use: The property is vacant. Site N/A, the property is vacant. Improvements: Highest & Best Hold for investment Use - Topography: Chiefly level at curb grade Leg-a-1 Access: E side of Monterey Avenue Verification: Michael Borman, Listing broker (310) 451-81,71 History: The property was acquired by the current owner over 10-years prior to the date of value. Comments: 'This property was surplus to the Lowe's store located immediately South of the site. @Capital Realty Analysts, 201.7 Page 57 =METROSCAN PROPERTY PROFILE= Riverside (CA) A A A 0 A k A k A A * * + A A K k* W * * k A A A I k A A * K k A * A A A A Ae A A A A S 4 k A * A k A A k * k A A * A k A & A k k * & 4 * A I A h * I k I * A * k* * 4 k * " A <<< OWNERSHIP INFORMATION Parcel Number :620 370 002 Bldg # of Ref Parcel Nbr :000 000 000 S: T: It: Pus Enterest,: Owrier. Name :Redevelopment Agency City of Pa Lm Desert... CoOwn er Site Address :*no Site Address' Mail Address SALES AND LOAN INFORMATTON k. Transferred :06/01/2007 Loan Amount Document # :426227 Muiti-Parcel Lendor Sale Price loan Type Deed Type :Grant Deed Tnteyest Rate 1 Owned :100 Vesting Type A. k <<< ASSESSMENT AND TAX INFORMATION L, a n d Exempt Type Structure Exempt Amount::. k. Other Tax Rate Area :18-074 Total 16-11 Taxes I Improved <<< PROPERTY DESCRIPTION >>> Map Grid Census :Tract:449.19 BJock:4 Land Use :C24 Ceara, Vacant Commercial Zoning: Legs 1 :.20 ACRES IN PAR 2 PM 183/038 PM :27400 Sub/Plat Book Page: TractNum : Lot :2 Block Ag Prsry <0< PROPERTY CHARACTERISTICS >>> * Bedrooms Pool :No Lot Acres:.20 AS DITIONALS * BathFull RoofType: Lot SqFt :8,712 1CmAdd1TTe,res :No * Bath3Qtr YearBlt Elect Svc: AddtISqFt * BathHalf Storkes Gas Svc : AddtlGrgTyp k * BathTotal: Units WaterSrce: Addt]PkqSqFt: * Cntrl Ht :No Bldg SF SewerType: * Cntrl A/C:No Grg Type: StreetTyp: -A Fiieplace :No Grg SF view MiscImprl:None MiscImpr2:None A A k * I A k A * * A * k A * A I k A* k k A A A 4 A k* k k r k A * A * k k A A li!16)-mation compiledfi-oin 17¢Xrious s(wirces. Curel,ogic makes no representations or warreinties as to the accuracy or coatoleteness of atftwination conlouied in this re1wri. 14 1j i7 R C) i; C it Iq 1> R 0 P E R T Y P R 0 F X L E Riverside (CA) H. <<< OWNERSHIP INFORMATION >>> Parcel Number :620 310 003 Bldg # of Ref Parcel Nbr :000 000 000 S: T: R: Q: Pos Et nezest: Owner Name :Redevelopment Agency City of Palm Desert coowner Site Address :*no Site Address' Mail Address <<< SALES AND LOAN INFORMATION >>> Transferred :06/01/200/ Loan Amount Doc-'Lonent # :426227 MuLti-Parcel Lender Sale Price Loan Type Deed Type :Grant Deed Interest Rate Z Owned :100 Vesting Type Ac <<< ASSESSMENT AND TAX INFORMATION Land Exempt Type Structure Exempt Amount Othr-,s Tax Rate Area :18-OV4 Total 16-17 Taxes 1 Improved 4 <<0 PROPERTY DESCRIPTION >>,> A Map Grid Census :Trace :449.19 1.',lock:4 Land Use :C24 Com,Vacant Commorcia] Zoning: Legal :.20 ACRES IN PAR 3 PM 183/038 PM F. 27400 Sub/Plat A Book Page: TractNum : Lot 3 Block Ay Prsry <<< PROPERTY CHARACTERISTICS Bedrooms Pool :No Lot Acres:.20 ADDITIONALS A BathFull RoofType: Lot SqFt :8,/12 RTT1KCJT-T-Ti :No "��"T7 Brat h3Qtr YearHlL Elect Svc: AddtlSqFt BathHalf Stories Gas Svc : AddtlGrgTyp BathTotal: Units WaterSrce: Add tlPkgSqFt: A Cntrl Ht :No B1dq SF SewerType: Cntrl A/C:No Gry Type: StreetTyp: FLreplace:No Grg SP view rr MiscTmprl:None MiscImpr2:None A A k A ^k * * * * is * * k * * * k * k k * A A A 4 A A A h?16rmation eompiledtrom various sourcvs. CoreLogic makes no representations or warranfies as to the m.,(.wraey or completeness qf iqlbrmafion eontefined in this report =METROSCAN PROPERTY PROFILE= Riverside (CA) k A * A k A A A * k A + A + A k 4 4 -------------- <<< OWNERSHIP INFORMATION Parcel Number :620 370 004 Bldg # Ref Parcel Nbr :000 000 000 S: T: R: Q: Pea Interest: Owner Name :Redevelopment Agency City of Palm Desert CoOwner Site Address :'no Site Address* Mail Address <<< SALES AND LOAN INFURMATTON Transferred :06/01/2007 Loan Amount Document # :426227 Multi-ParceJ Lender Sale Price Loan Type Deed Type :Grant Deed Lnterest Rate Owned :200 Vesting Type p. ?o< ASSESSMENT AND TAX INFORMATION Land Exenpt Type StrucLure Exempt Amuuni. 01-ner Tax Rate Aiea :18-074 Total 16-17 Taxes Q ImProved n<< PROPERTY DESCRIPT10N Map Grid Census :Tract:449.19 Block:4 Land Use :C24 Com,Vacant Commorcia-1 Zoning: Legal :1.56 ACRES IN PAR 4 PM 183/038 PM :27400 M. Sub/Plat Jr Book Page: TractNum : Lot :4 Block Ag Prsry A. <<< PROPERTY CHARACTERISTICS >>> Bedrooms Pool :No Lot Acres:1.rya 6 ADDITION ALS BathFull RoofType: Lot SqFt :67,944 RmAdditi s :No Bath3Qtr YearBlt Elect Svc: AddtlSqFt BathHalf Stories Gas Svc : AddtlGrgTyp * BathTotal: Units Water Srce: AddtlPkqSqFt: * Cntrl Ht :No Bldg SF SewerType: * Cntrl A/C:No Grg Type: St reetTyp: * Fireplace:No E. SF View MiscImprl:None MiscImpr2:None k k A A * A A * * k A * * * k * * A k * k * * * Jr * ^k * * k A * k A * I A A * A lqforntalion c�otnpdedftotn wirtous soinves. Corel,ogic makes no representations or warranties as to the oe(:,tinw., y or compleleness of itifinw?u1ion eontamed in this report. ==141197ROSCAIV PROPER T1 PROFILE= Riverside (CA) <<< OWNERSHIP INFORMATION ­ --------- Pcer = ---------------- arl Number.. :620 310 017 Bldg of, A ROE Parcel Nbr :000 000 000 S: T: R: Fos Interest: Owner. Name Qedevelopment Agency City of Palm Desert CoOwr�cr Site Address :"no Site Address,, MdiJ Address 4 <<< SALES AND LOAN INFORMATION A Transferred :06/01/200/ loan Amount Do(...'u.irient R :426227 Multi -Parcel Lender Sale Price Loan Type Doed Type :Grant Deed Interest Rate Z Owned Q00 Vesting Type ------------ <<< ASSESSMENT AND TAX INFORMATION Land Exempt Type Structure Exempt Amount Other Tax Rate Area :18-074 k ToLal 16-17 Taxes A 1 Improved Ar <on PROPERTY DESCRIPTION Map Grid A. Census :Tract:449.19 Block:4 Land Use :C24 Com,Vacant_ Commercial Zoning: Legal :.69 ACRES IN PAR 17 PM 183/038 PM :27400 k. Sub/Plat A Book Page: TractNum : A, Lot K/ k Block Ag Prsry <<< PROPERTY CHARACTERISTICS >>> Bedrooms Pool :No Lot Acres:.69 ADDITIONALS BaLhFull RoofType: Lot SqFt :30,Ob6 RmARITART :No Bath3Qtr » YearBlt Elect Svc: AddtlSqPt BaLhHalf Stories Gas Svc : AddtIGrqTyp BathTotal: Units » WaterSrce: AddtiPkgSqFt: Cntri HL :No Bldg SF SewerType: Cntrl A/C:No Grg Type: StreetTyp: Fireplace:% Gig SP view Misclmprl:None MiscImpr2:None k A k * 4 k A A * k A k k k A A k kAr A k AA A * k* * k * A A * I * * * A * * * A k * A * * * * * A k * A AA *A. A hp(ormation comptled,ftoin varion,y sourees Corel,ogicmakes no rLI..)re,wntolions or warranties as io the aecnracy or ewnpleteness qfittl6rmation contained in this report, =METROSCAN PROPERTY PROFILE= Riverside (CA) k * * k A A A k A & 4 * * k k A * * A N 4 A A * * k k 0 A * * k A A A k A A 4 4 A k•k I A A k q * * A * A " A A * A # * A 4 * * A k A 0 A k A I k A A A 4 A * A A * * A k 4 4 * <<< OWNERSHIP INFORMATION Parcel Number :620 370 018 Bldq # of Ref Parcel Nbr :000 000 000 S: T: R: Q: Pos Interest: Owner Name :Redevelopment Agoncy City oF Palm Desert CoOwr1E-",r Site Address :*no Site Address' Mail Address <<< SALES AND 11AN INIURMATION k. Transferred :06/01/2007 loan Amount Document # :426227 Multi-ParceL Lender Sale Price Loan Type Deed Type :Grant Deed Interest, Rate k. 1 Owned :100 Vesting Type <<< ASSESSMENT AND TAX INFORMATION La n d Exempt Type ke Structure 1,-,.xem.pl-. Amount Other Tax Rate Area :Q-074 Total 16-17 Taxes A Improved ITIO>v> N <<< PROPERTY DESCRP kr k. Map Grid Census :Tract:449.19 Black:4 Land Use :C24 Com,Vacant Commercial Zoninq: Legal :1.02 ACRES IN PAR 18 PM 183/038 PPI 27400 Sub/Plat k. Book Page: TractNum : Lot :18 B 1 a C,, k Ag Prsry <<< PROPERTY CHARACTERISTICS >>> * Bedrooms Pool :N(,,,) Lot Acres:1.02 ADDITIONALS k. k BathFull RoofType: hnt SqFt :44,431 RmAddi"Gons :No k Bath3Qtr YearBlt Elect Svc: AddtiSqFt A BathHalf Stories Gas Svc : AddtlGrgTyp 4 BathTotal: Units WaterSrce: AddtlPkgSqFt: * Cntrl Ht :No Bldg SE SewerType: * CntrL A/C:No Grg Type: StreetTyp: * Fireplace :No Grg SF View k MiscImprl0one k MiscImpr2:None A A it k k A * * k * k A A k* 'k..* * k k * k * A * * k * k* k k k A 4 k k k hi/brmation comptIccIftont various sourees. CoreLogic makes no representations or warranties as to the accuracy or eompletenvss of oiftwinevion (,vntained in this report. 97ROS CAN PROPER TY PROFILE= Riverside (CA) k k A k k - - - - - - - - - - - - <<< OWNERSHIP INFORMATION ie Parcel Number :62) 370 020 Bldg # of A Ret Parcel Nbr :009 618 782 S: T: R: Q: Pas Tnterest:l on Prcl Owner Name Qedevelopment Agency City of Palm Desert. CoOwne r Site Address :*no Site Address' MaLl Address A. <<< SALES AND LOAN INFORMATION >>> k Transferred :06/01/200/ Loan Amount A Document # :364239 Lender A Sale Price Loan Type 4 Dead Type :Correction Interest Rate 2 Owned :100 Vesting Type A. k <<O ASSESSMENT AND TAX INFORMATION land :$1,863,863 Exeupt Type Structure Exempt Amount Othe'l, Tax Rate Area :18-074 Total 01,863,863 16-11 Taxes Y Improved <<< PROPERTY DESCRIPTION 41 Map Grid k Census :Tract:449.19 Block:4 Land Use :C24 Com,Vacant Connerciai Zonl-ng: 4 legal :3.61 ACRES M/h IN POR PAR I PM 4- 183/038 PM 27400 Sub/Piat Book Page: TractNum Lo 1, Block Ag Prsry <<< PROPERTY CHARACTERISTICS >>> ---------- Bedrooms Pool :No Lot Acres:3.61 ADDITIONALS BathFuil RoofType: Lot SqFt :lb'7,252 No Bath3Q-tr YearBIL Elect Svc: AddtISqFt Rathlialf Stories Gas Svc : AddtlGrgTyp A BathTolzal: Units WaterSrce: AddtlPkgSqFt: A, CnLcl Ht :No Bldg SF SewerType: k Untri A/C:No Org Type: StreetTyp: A Fireplace:% Cry SF View Misclmprl :None Misc-lmprWone A k k kk A A k k k A * k A k F. A A k k A k A * * A * * * * * * * * 4 1 * * * * A * k I A k A k A A A k * A A A A btfivnianon coniptiedfi-oin va.rzous sources. CoreLogninakes no representations or ivarrannes (is to the acvuracy or completeness iV niformation contained in this report = M E T R O S CAN PROPERTY PROFILE= Riverside (CA) k k * * * I * * * * * A k * * * a A * * * a * A * k * * A A A k * k A A A * k 4 4 k A A k * k * A A * * k I k A * 'A'** k * k k * * * * k * k A * * k k * * * * A * k * 4 *'k A <e< OWNERSHIP INFORMATION >V',, Parcel Number :620 370 033 BLdg 0 of Ref Parcel Nbr :000 000 000 S: T: R: Q- Pos Interest: Owner Name :Redevelopment Agency City of Palm r Deset k. CoOwner Site Address : 4 n o Site Address' Mail Address <<" SALES AND LOAN INFORMATION of Transferred :06/01/2007 Luan Amount Document # :364238 Lender Sale Price Loan Type Deed Type :Mis(c Interest Rato k. V Owned :100 Vesting Type <<< ASSESSMENT AND TAX INFORMATION Land :$480,372 Exempt Type Structure Exempt Amount Other Tax RaLe Area :18-074 k. Total :$480,372 16-IV Taxes 1 Tmproved <<< PROPERTY DESCRIPTION Map Grid Census :Tract:449.19 B1_ock:4 Land Use :r24 Com,Vacant Commercial Zoning: Legal :.94 ACRES M/L IN PAR PARS 9 & 6 PM :183/038 PM 27400 Sub/pint Book Page: TractNum Lot Block Ag Prsry k. ee< PROPERTY CHARACTERISTICS >>> Bedrooms Pool :No Lot Acres:.94 ADD ITIONALS BathFull RoofType: Lot SqFt :40,946 AMATO :No Bath3Qtr YearBlt Elect Svc: AddtISqFt Bat hHalf Stories Gas Svc : AddtlGrgTyp BathTatal: Units WaterSrce: AddtlPkqSqFt: Cntri Ht :No Bldg SF SewerType: Cntrl A/C:No Grg Type: St reet.'Iyp: Fireplace:% Grg SF 'View MiscImprI:None MiscImpr2:None * * * * * * k k * * * * * * * * * A * k k A * * * k 4 A A A k h A 4 ('oiL,LO,,,ici�itike,4'norel)f,eseti.tci.tiolis w- warranties cm to the acctwac), or cony,)Ietetiess qj"bilormation contained in this report. "11917ROSCAIT PROPER TY PROFILE= Riverside (CA) kk A A * A* k *.k. A * A + k k * A A k k A k A k * 4 k 4 A I k k k k * A * k A k k A * A * k k A k. 4 k A kkk A k j A 4 k A A Ar ---- --- --- --- OWNERSHTP TNFORMATTON >>> Parcel Number :620 370 043 Bldg # C7f. Ref Parcel Nbr, :000 000 000 S: T : R k. Pus Interest: Owner Name :RedeveLn.)Ment Agency City , Palm Desert o 0 w n. e r Site Address :'no Site Address Mail Address <<< SALES AND LOAN INEURMATION ------------- Transferred :06/01/2007 Loan Amount Document A :364240 Lender Sale Price Loan Type Doed Type Wsc Inn erest Rate A k A Owned :1-00 Vesting Type <<< ASSESSMENT AND TAX INFORMAT10N >>> Land :$1,505,043 Exempt Type Structure Exempt Amount 0 t h e r Tax Rate Area :18-00 Total :$1,505,043 16-17 Taxes k W Improved k ---------- <<< PROPERTY DESCRIPTION >>.> Map Grid A Census :Tract:449.19 131ock:4 Land Use :C24 Com,Vacant Com-mercial. Zoning: Legal :2.92 ACRES M/L IN POR PARS 16 & 19 :PM 183/038 PM 21400 Sub/Plat Book Page: TractNum : Lot : 1 6 Block Act Prsry ----------- <<< PROPERTY CHARACTERISTICS >>> Bedrooms Pool Lot Acres:2.92 ADDITIONALS '-- - -7- " BathFOIJ o RofType: Lot SqFL :127,195 J. No Hath3Qtr YearRlt Elect Svc: Add t1SqFt RathHaif Stories Gas Svc : AddtlGrgTyp HathTotaL: Units WatexSrce: AddLlPkgSqFt: A CntrJ 1-It :No Bldg SF SewerType: Cntri A/C:No (:trig Type: StreetTyp: Fileplace:No Grg SF View Misclmprl:None A MiscImpr2:None 'A k k k k * k k A k A k * k A A k A k A k * * * * * I * k * * * A k * * * 4 * k A * * A * k A k k •k k Ittfi)nnalion, compiledfi-om varioussources. CoreLogic makes no representations or warrunfies as to the occurocy or completeness q1 tit4brtnation contained in this report,