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HomeMy WebLinkAboutORD 606 . 256,566 gI Ili RECORDING REQUESTED BY, AND cc?) N a� WHEN RECORDED MAIL TO: 11%k+7. City Clerk's Office b r! s il �, City of Palm Desert R J 73-510 Fred Waring Drive lid = °G ", s`\� Palm Desert, CA 92260; < N � 1 UP FOR THE BENEFIT OF THE In CITY OF PALM DESERT N NO FEE 6103 OF THE GOVT. CODE (1) ORDINANCE O. 606 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF PALM DESERT AND WILLIAM E. B(WAR AND WILLIAM T. POWERS TO ALLOW CONSTRUCTION OF A 15 UNIT SENIOR HOUSING PROJECT AT SANTA ROSA WAY. C/, CASE NO. DEVELOPMENT AGREEMENT T FOR CUP 90-4 WHEREAS, the City Council of the City of Palm Desert, California, did on the 10th day of May, 1990, hold a duly noticed public hearing to consider the request of WEBCO PACIFIC to consider the above mentioned project; and WHEREAS, at said public hearing, upon hearing and considering all testimony and arguments, if any, of all interested persons ciPsiring to be heard, said city council did find the following: 1. That the development agreement provide for the development to make affordable two units to lower incase senior households and one unit to moderate incc ne senior households. NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Palm Desert, California, as follows: 1. That the above recitations are true and correct and constitute the findings of the city council in this case. 2. That the City Council does hereby approve the Development Agreement, Exhibit "A", for Case No. CUP 90-4 between the City of Palm Desert and William E. Bcnnar and William T. Powers. PASSED, APPROVED and ADOPTED at a regular meeting of the Palm Desert City Council, held on this 24th day of May, 1990, by the following vote, to wit: AYES: BENSON, KELLY, SNYDER, WILSON, CRITES NOES: NONE ABSENT: NONE ABSTAIN: NCB RD A. CRITES, BY: WALTER H. SNYDER, YOR PRO-TEMPORE ATTES EACH DOCUMENT TO WHICH THIS CERTIFICATE IS ATTACHED. IS CERTIFIED TO BE A Fat. TRUE A SHEILP► R. GIhLI City Cl CORRECT COPY OF THE ORIGINAL ON FILE AND ON City of Palm , Cali a RECORD IN MY OFFICE. CSibn Dated: O RctC) SHEILA R. GILLIGAN. City Clerk City of 'Vee California B r r ri 256566 ORDINANCE NO. 606 EXHIBIT "A" SENIOR HOUSING DEVELOPMENT AGREEMENT =VEEN THE CITY OF PALM DESERT AND WILLIAM E. BONNAR AND WILLIAM T. POWERS THIS AGREEMENT is entered into this 20th, day of June, 1990, between William E. Bonnar and William T. Powers, (hereinafter "Property Owner" ) and the City of Palm Desert, (hereinafter "City" ), a municipal corporation organized and existing under the laws of the State of California. RECITALS This Agreement is predicated upon the following facts: A. Government Code Sections 65864-65869.5 authorize the City to enter into binding development agreements with persons having legal or equitable interests in real property for the development of such property; B. Property Owner has requested the City to consider entering into a development agreement and proceedings have been taken in accordance with Government Code Sections 65864-65869.5; C. The City Council of City has found that the development agreement is consistent with the general plan (and the Palma Village Specific Plan); and D. On My 10, 1990, the City Council of City adapted Ordinance Np. 606 approving the development agreement with Property Owner and the ordinance thereafter took effect an June 9, 1990. 2 ORDINANCE M). 606 2565CG NOW, 'ICE, the parties agree: 1. Definitions. In this Agreement, unless the context otherwise requires: (a) "City" is the City of Palm Desert. (b) "Project" is the development proposed to be approved by the City pursuant to Conditional Use Permit 90-4. (c) "Property Owner" means the person having a legal or equitable interest in the real property as ciccribed in paragraph (3) and incluc the Property Owner's successor in interest; (d) "Real property" is the real property referred to in paragraph (3). (e) "Useful Life of the Project" is the greater of thirty (30) years or the period of time which the Project remains habitable, with reasonable care and maintenance, as determined by City. (f) "Senior Citizen Household" means a maximum two person household of which all members are 62 years of age or older. (g) "Lower Income Senior Citizen Household" means senior citizen households whose gross income does not exceed 80% of the median income for one and two person households for Riverside County based upon financial and demographic data received from the United States Department of Housing and Community Development (HUD) or its successor agency. This information is included in Exhibit "B" and shall be updated automatically as current data is obtained from MUD. If in the future more relevant data is made available 3 ORDINANCE NO. 606 256566 specifically applicable to senior citizens by (HUD) or other officially recognized agencies, such data shall became the basis of this Agreement. (h) "Moderate Income Senior Citizen Household" means senior citizen households whose incase does not exceed 100% of the median income. 2. Exhibits. The following documents are referred to in this Agreement, attached and made a part by this reference: Exhibit Designation Description A Real property B Palm Desert Affordable Hausing Thome and Rent Schedule, January 1990 C Caxlitic nal Use Permit 90-4 3. Description of real property. The real property which is the subject of this Agreement is described in Exhibit A. 4. Interest of Property Owner. Property Owner represents that he has a full legal and equitable interest in the real property and that all other persons holding legal or equitable interests in the property are to be bound by the agreement. 5. Assignment. The rights of the Property Owner Linder this Agreement may not be transferred or assigned unless the written consent of the City if first obtained. 6. Binding effect of Agreement. The burdens of this Agreement bind and the benefits of the Agreement inure to the successors in interest to the parties to it. 7. Relationship of parties. It is understood that the contractual 4 ORDINANCE O. 606 2 565C6 relationship between the City and Property Owner is such that the owner is an independent contractor and not the agent of the City. 8. Agreements by City. City dAsires to make the Project affordable to lower and moderate income senior households and desires to implement City's general plan housing goals. In consideration of the agreements set forth herein, the City ayiPec: (a) Proceedings. City shall conduct, in a timely manner, those proceedings necessary to consider Developer's application for all necessary approvals, including but not limited to a precise plan, for the Project. (b) Certificate of Completion. PiLin Lly after completion of the Project, City shall provide Property Owner with an instnattent ( "Certification of Completion") so certifying. The Certificate of Ccleticn shall be the conclusive determination that the obligation of Property Owner with respect to construction of the Project has been met. The Certificate of Completion shall be in such form as will enable it to be recorded in the official records of the County of Riverside. 9. Agreements by Property Owner. In consideration of the agreements by City contained in this Agreement, Property Owner agrees: (a) Property Owner shall reserve of the total units for rent two (2) unit for a Ions; Income, Senior Household and one (1) unit for a Moderate Income Senior Housetcld. Such units shall be referred to as "Affordable Units" for purposes of this Agreement.. (b) Monthly rents for these Affordable Units shall not exceed thirty percent (30%) of the maximum gross monthly income as shown for the respective 5 ORDINANCE NO. 606 256566 units in Exhibit "B". Rents in Exhibit "B" shall include a utility adjustment as determined by the Riverside County Dousing Authority. (c) The maximum initial rents charged, the maximum incarie levels and the unit mix for the Affordable Units, during the first twelve (12) months following completion of the Project, shall be as follows: Maximum Maxinun # of Annual Initial Unit Type Units Income Mazthly Rent 1 Bedroan (499.7 sq. ft. ) 2 $20,600 (Lower) $366 1 Bedroan (499.7 sq. ft. ) 1 $25,750 (Moderate) $478 (d) The Affordable Units shall be of a quality and design indistinguishable from the market units, and shall be evenly distributed throughout the Project. The Affordable Units shall be periodically rotated as vacancies permit. (e) Developer or its assigned management agent shall be responsible for determining the eligibility of prospective_ tenants. Prior to opening the apartment project, Developer shall submit for approval a plan to City describing the procedure for determining and enforcing eligibility requirements. This plan shall include annual qualification by all eligible households and shall be subject to review and approval by City. The City or its assigned agent may request an audit to determine oanpliance with all affordable housing provisions of this Agreement. Audit shall be requested as the City deems necessary and shall be at the property owner's expense. 6 ORDINANCE O. 606 (f) The initial rents as described in subsection (c) may be adjusted annually in accordance with the percentage increase shown in the most current applicable lower and moderate income limits for Riverside County published by the United States Department of Housing and Urban Development or any successor agency, adjusted for changes in the Riverside County Housing Authority utility allowance and as verified by the applicable City of Palm Desert Affordable Housing Inane and Rent Schedule. (g) Developer shall not discriminate on the basis of race, color or creed, sex, or national origin. (h) Developer or its successors in interest shall reserve the Affordable Units as set forth in this Agreement for the Useful Life of the Project and Project owner shall not sell or otherwise change the use of the Project without prior written consent of City. (i) Age limits. The minimun age for all Project occupants shall be 62 years old. (j ) Beginning construction. Property Owner agrees to begin the Project within two (2) years after the execution of this Agreement. City Council, at its discretion and for good cause shown, may grant up to three (3) one-year time extensions. 10. Change in project. No change, modification, revision or alteration may be made in the approved precise plan without review and approval by those agencies of the City approving the plan in the first instance. A change, modification, revision or alteration in the approved precise plan is not effective until the parties amend this Agreement to incorporate it. 7 ORDINANCE NO. 606 2565G6 11. Hold Harmless. Property Owner agrees to and shall hold the City, its officers, agents, employees and representatives harmless from liability for damage or claims for damage for personal injury including death and claims for property damage which may arise from the direct or indirect operations of the Property Owner or those of his contractor, subcontractor, agent, employee or other person acting on his behalf which relate to the Project. Property Owner agrees to and shall defend the City and its officers, agents, employees and representatives from actions for damages caused or alleged to have been caused by reason of Property Owner's activities in connection with the Project. This hold harmless agreement applies to all damages and claims for damages suffered or alleged to have been suffered by reason of the operations referred to in this paragraph, regardle s of whether or not the City prepared, supplied, or approved plans or specifications or both for the Project. Property Owner further agrees to indemnify, hold harmless, pay all costs and provide a defense for City in any action challenging the validity of the Development Agreement. 12. Periodic Review of Compliance With Agreement. (a) City Planning Commission shall review this Development Agreement whenever substantial evidence exists to indicate a possible breach of the teams of this Agreement. (b) At least once each year, Property Owner shall demonstrate good faith compliance with the terms of this Development Agreement. Property Owner agrees to furnish such evidence of good faith compliance as City, in the exercise of its discretion, may require. City shall have the right to audit 8 ORDINANCE NO. 606 2565C}6 the books and records of Property Owner or its management company that apply to the Project at Property Owner's cost and expense upon request and at least annually. 13. Amen invent or Cancellation of Agreement. This Development Agreement may be amended or cancelled in whole or in part by mutual ant of the parties and in the manner provided for in Government Code, sections 65868, 65867 and 65867.5. 14. Enforcement. Unless amended or cancelled as provided in paragraph 13, this Development Agreement is enforceable by any party to it notwithstanding a change in the applicable general or specific plan, zoning, subdivision or building regulations adopted by City which alter or amend the rules, regulations or policies governing permitted uses of the land, density, design, improvement and construction standards and specifications. 15. Events of default. Property Owner is in default under this Agreement upon the happening of ane or more of the following events or conditions: (a) If a warranty, representation or statan nt made or furnished by Property Owner to City is false or proves to have been false in any material respect when it was made; (b) A finding and determination by City made following a periodic review under the procedure provided for in Goverment Code, section 65865.1, that upon therhesis of substantial evidence Property Owner has rot complied in good faith with any of the terms or condition of this Agreement. (c) Property Owner's failure to maintain the Real Property in substantially the same condition as it existed cn the date that City issued the 9 ORDINANCE O. 606 256566 Certificate of Occupancy with respect to the Project or to restore promptly in good and workmanlike manner any building which may be damaged or destroyed. (d) Property Owner's failure to appear in and defend any action or proceeding purporting to effect the rights or powers of City under the terms of this Development Agreement, and to pay all costs and expenses, including attorney's fees in a reasonable sum, in any such action or proceeding in which City may appear. 16. Procedure upon default. If, as a result of periodic review, or other review of this Agreement, the Planning Commission or City finds and determines, on the basis of substantial evidence, that Property Owner has not complied with the terms or conditions of this Agreement, the Cannissian shall notify the Property Owner or successor in interest as to the specific nature of noncompliance, and describe the remedies required to achieve compliance. Property Owner has thirty (30) days upon receipt of ratification to take remedial actions. If Property Owner fails to take remedial action within thirty (30) days, the Planning Catmissicn of City shall reoannerxi to the City Council of City that this Development Agreement be modified, terminated, or that the remedies set forth in this paragraph be exercised by the City. If the City Council of City concurs with the recommendation of the City's Planning Commission, the City oil may modify this Development Agreement, terminate this Development Agreement, or may employ one or more of the remedies set forth in this paragraph. Proceedings before the City Council shall be by noticed public hearing pursuant to Chapter 25.86 of the Municipal Code of the City of 10 ORDINANCE NO. 606 256566 Palm Desert. In the event of a default, City may employ are or more of the following remedies, in its sole discretion: (i) City may revoke all previous approvals, entitlements and permits granted by the City to Property Owner with respect to this Project and the subject Real Property. (ii) City may pursue all other legal or equitable remedies City may have under California law or as set forth in this Development Agreement and City shall be entitled to specific performance and enforcement of each and every term, condition and covenant set forth herein. 17. Damages upon cancellation, termination of Agreement. In no event shall Property Owner be entitled to any damages against the City upon modification, termination of this Development Agreement or exercise by City of its rights under this Development Agreement. 18. Attorneys fees and costs. If legal action by either party is brought because of breach of this Agreement or to enforce a provision of this Agreement, the prevailing party is entitled to reasonable attorneys foec and court costs. 19. Notices. All notices required or provided for under this Development Agreement shall be in writing and delivered in person or sent by certified mail, postage prepaid. Notice required to be given to City shall be addressed as follows: City of Palm Desert, 73-510 Fred Waring Drive, Palm Desert, California 92260. Notices required to be given to Property Owner shall be addressed as follows: Webco Pacific, 73-010 El Paseo, Palm Desert, California 92260. 11 ORDINANCE NO. 606 2.7F)U ) U, A party may change the address by giving notice in writing to the other party and therefore notices shall be addressed and transmitted to the new address. 20. Rules of construction and miscellaneous terms. (a) The singular inchicis the plural; the masculine gender includPq the feminize; "shall" is mandatory, "may" is permissive. (b) If a part of this Agreement is held to be invalid, the remainder of this Agreement is not affected. (c) If there is more than one signer of this Agreement their obligations are joint and several. (d) The time limits set forth in this Agreement may be extended by mutual consent of the parties in accordance with the procedures for adoption of an agreement. 21. Duration of Agreement. This Agreement shall expire only upon total destruction of the apartment project which is the subject of this Development Agreement. 22. Applicable Law. This Agreement shall be ccnstrued according to the laws of the State of California. 23. Severability. If any portion of this Agreement is for any reason held to be unenforceable, such deteiminaticn shall not effect the validity of the remaining portions. 24. Authority. Each of the parties hereto covenant and agrees that it has the legal riparity to enter into this Agreement contained herein, that each 12 2565GG aEDIiArCE NO. 606 agreement is binding upon that party and that this Agreanent is executed by a duly authorized official acting in his official capacity. IN WITNESS WHEREOF this Development Agreement has been executed by the parties on the day and year first above written. Approved as to form: CITY OF PALM DESERT A Municipal Corporation By: /4,1 KA�Y IEE ?,1ALTER ?i. - L"Ft Deputy Attorney MAYOR p.0-T2!O_ A /Z/ (//trz, SH_.ILA R. s WILLIAM E. BONNAR and, 'y WILLIAM T. POWERS BY:74 -e?4,4„-/7. STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) Cn this day of , 1990, before me, a Notary Public in and for said State, personally appeared , known to me or proved to me an the basis of satisfactory evidence to be the person who executed the within instxunent an behalf of , and ackna.gledged to me that executed the same. 13 I co COL.-- OF CALIFORNIA (�\ L(ZS C I' 25656G .. �l o On Z, -►J�_ Q-O \cl�d before the undersigned,a Notary Public in and for 0 said State,personally appeared_? L.t--kPr Yl -personallyTzi known to me(or proved to me on the basis of satis- r 76 factory evidence)to be the persons)whose name(s)is/are sub OFFICIAL SEAL scribed to the within instrument and acknowledged to me that % "' NOAR:SPICE FRAZIER ,< <� NOTARYBCv '.l�'�i�J' CORUANFORNIAc he/she/they executed the same. _i; NOTABPJD FILED IN"CRIV COUNTY N co WITNESS my hand and official seal. MY Commission Expires July 23, 1990 co TS 1 C. c' Signatur f ` (This area for official notarial seal) c STATE OF CALIFO 1IA, Iss. c° COUNTY OF '\V C'( \� I a o On `\ L-`( 61\c\c\o before me. the undersigned,a Notary Public in and for Ec said State,personally appeared \ L-L• \ R}'m E . `�' (v. NNZ P A U E a LL personally known to me(or proved to me on the basis of satis-r .: •, OFFICIAL SEAL Tofactory evidence)to be the person(s)whose name(s)is/are sub- ,. I-'._� a r R;+• FRAZIER 3 scribed to the within instrument and acknowledged to me that 1: - `'-_`-) No-Ar:Y PL'ELIC—r AtJFOR.NIA tl- "3� `3{,' NOTARY SONIC FILED IN RIVERSIDE COUNTY he/she/they executed the same. Its=_. E F My C:mrniGs cn Expiros July 23, 1990 °D WITNESS my hand and official seal. ti m C') Signature t�;�k C- ,� -N (This area for official notarial seal) `J 2565136 ORDINANCE NO. 606 • EXHIBIT A LEGAL DESCRIPTION: The West cne-half of lot 10, Palma ` tllage Groves, as per map recorded in book 20, page 51 of maps, Rocords of Riverside County, excepting there fran the East one-half of the West one-half of said '_^y 10. OWNERSHIP: (Present) Phyllis E. Gadrii s and Marjorie A. Tuomi 721 Venice Way #2 Inglewood, CA 90302 (After March 7, 1990) William E. Bonnar and William T. Pavers 73030 El Paseo Palm Desert, CA 92260 14 i (Tr! 1 1 ; W ifr el'b CoiT og Pa�� o ese '��'°i9�yf�.�e 73-510 FRED WARING DRIVE, PALM DESERT,CALIFORNIA 92260 TELEPHONE(619)346-0611 I August 9 , 1990 Mr . A . J . Wiggins Webco Pacific 73-020 El Paseo Palm Desert , California 92260 Dear Mr . Wiggins : Subject : Development Agreement - Construction of a 15-Unit Senior Housing Project at Santa Rosa Way Enclosed for your records is a fully-executed copy of Ordinance No . 606 . approving a Development Agreement between the City of Palm Desert , William E . Bonnar , and William T. Powers to allow construction of a 15-unit senior housing project at Santa Rosa Way. This ordinance and development agreement were approved by the City Council on May 24 , 1990 , and officially recorded by the County of Riverside on July 12 , 1990 , as Instrument No . 256566 . If you have any questions or require any additional information , please do not hesitate to contact me . Sincerely, - T SHEILA R . GILLIGAN CITY CLERK/PUBLIC INFORMATION OFFICER SRG :mpf Enclosure ( as noted) cc : Planning Department Building Department Public Works Department ORDINANCE E ND. 606 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM utzznr, CALIFORNIA, APPROVING A DEVELOPMENT AGREE ENT BETWEEN THE CITY OF PALM utat.r i AND WILLIAM E. BONNAR AND WILLIAM T. POWERS TO ALLOW CCNSTRUCIION OF A 15 UNIT SENIOR HOUSING PROJECT AT SANrA ROSA WAY. CASE NO. DEVELOPMENT AGREEMENT FOR CUP 90-4 WHEREAS, the City Council of the City of Palm Desert, California, did on the loth day of May, 1990, hold a duly noticed public hearing to consider the request of WEBCO PACIFIC to consider the above menticred project; and WHEREAS, at said public hearing, upon hearing and considering all testimony and arguments, if any, of all interested desiring to be heard, said city council did find the following: 1. That the development a.woc.u.irA.I. provide for the development to make affordable two units to lower income senior households and one unit to moderate incase senior households. NOW, inrrir,rvn., BE IT ORDAINED by the City Council of the City of Palm Desert, California, as follows: 1. That the above recitations are true and c,"�i.a,t and constitute the findings of the city council in this case. 2. That the City Council does hereby ovvm.wv.v the Development Ayi.=ai�.t, Exhibit "A", for Case No. QJP 90-4 between the City of Palm Desert and William E. Bonner and William T. Powers. PASSED, APPROVED and .•iwurit.W at a regular meeting of the Palm Desert City Council, held on this 24th day of Mom, 1990, by the following vote, to wit: AYES: BE ON, TELLY, SNYDER, WILSON, CRITES NOES: NONE ABSENT: NONE ABSTAIN: NONE RD A. CRITES, BY: WALTER H. SNYDER, AYOR PRO-TEMPORE ATTES l'! SHE/LA R. GILLI City of Palm Cs/tm ORDINANCE NO. 606 r_y u a "A" ai uL HOUSING NG DEVELOPMENT AGREE243tiP BETWEEN THE CITY OF PAIN .z +maxi APD WILLIAM E. B T1 R AM) WILLIAM T. r.x a THIS ACC is entered into this 20th, day of June, 1990, between William E. Bonner and William T. Powers, (hereinafter "Property Owner") and the City of Palm Desert, (hereinafter "City"), a municipal w�M,,ation organized and existing under the laws of the State of California. RECITAL S This A cc... .L is predicated upon the following facts: A. Government Code Sections 65864-65869.5 authorize the City to enter into binding devel„leu.L with o r..o having legal or equitable interests in real b ...,r0 L1 for the development of such Ly; B. Pi.w ,im Lj Owner has requested the City to consider entering into a development ayiv,ea.a.L and proceedings have been taken in accordance with Gcn, , m.c.,.t Code Sections 65864-65869.5; C. The City Council of City has found that the development ay.c,c.....L is consistent with the general plan (and the Palma Village Specific Plan); and D. On Mey 10, 1990, the City Cancil of City adopted Ordinance Np. 606 approving the devel..k...c...L oy�r+a..m.L with Pam. L1 Owner and the ordinance thereafter took effect an June 9, 1990. 2 ORDDANCE O. 606 NOW, ltscnLewnc, the parties agree: 1. Definitions. In this Agreement, unless the context otherwise requires: (a) "City" is the City of Palm Desert. (b) "Project" is the development1 to be approved by the City pursuant to Conditional Use Permit 90-4. (c) "Property Owner" means the person having a legal or equitable interest in the real r..,., .. Lr as described in paragraph (3) and includes the Property Owner's in interest; (d) "Real Ly " is the real L. referred to in ro.at.l i (3). (e) "Useful Life of the Project" is the greater of thirty (30) years or the period of time which the Project remains habitable, with reasonable care and maintenance, as determined by City. (f) "Senior Citizen Household" means a maximum two person household of which all ..c..Lou.0 are 62 years of age or older. (g) "Lower Income Senior Citizen Huusehold" mean senior citizen households whose gross income does not exceed 80% of the median income for ore and two person households for Riverside County based upon financial and demographic data received from the United Status of Housing and Comumuhity D (HUD) or its su.,..rss..,.. &yam...4 . This information is included in hkdhibit "B" and shall be updated autanatically as current data is obtained from HUD. If in the future more relevant data is made available 3 ORDINANCE ND. 606 specifically applicable to senior citizens by (HUD) or other officially recognized agencies, such data shall bean the ha_aiS of this A , aL. (h) "Moderate Inane Senior Citizen Household" means senior citizen households whose income does not exceed 100% of the median inccme. 2. Exhibits. The following documents are referred to in this Agreement, attached and made a part by this reference: Exhibit Designation Description A Real, L.t B Palm Desert Affordable Housing Income and Rent Schedule, January 1990 C Conditional Use Permit 90-4 3. Description of real yw. L,'. The real v.Lwr.mu Ll which is the subject of this A.y..6Cl,:,,,AL is described in Exhibit A. 4. Interest of 12,%dp.mh.Ly Owner. F4.%4A0J L, Owner that he has a full legal and equitable interest in the real t.a..+Lr and that all other holding legal or equitable in the are to be bound by the agreement. ram,,., 1,,. t* /� under r this ,. 5. Assiyarn.ea.L. the rights of the i A.%Jvc..L1 Owner under t is Agreement ' may not be transferred or assigned unless the written consent of the City if first obtained. 6. Binding effect of Agreement. The burdens of this bind and the benefits of the Ass.: a,, :,,,1, inure to the su..‘,in interest to the parties to it. 7. Relationship of parties. It is understood that the contractual 4 ORDINANCE ND. 606 relationship between the City and FL L.2 Owner is such that the owner is an independent and not the agent of the City. 8. by City. City desires to make the Project affordable to lower and moderate income senior households and desires to implement City's general plan housing goals. In consideration of the ov,= ., .L0 set forth herein, the City agrees: (a) Proceeding!. City shall conduct, in a timely manner, those proceedings necessary to consider Developer's application for all necessary approvals, including but not limited to a precise plan, for the Project. (b) Certificate of Completion. Promptly after completion of the Project, City shall provide Property Owner with an instrument ("Certification of Completion") so certifying. The Certificate of Completion shall be the conclusive determination that the obligation of Property Owner with to construction of the Project has been met. The Certificate of Completion shall be in such form as will enable it to be in the official of the County of Riverside. 9. A,� �c...r..Lo by FLupw.LL4 Owner. In consideration of the .;.G►.L. by City contained in this AA C a : ,.,L, FLx Lys Owner agrees: (a) P,...,v0A.L1 Owner shall V VJ of the total units for rent two (2) unit for a Lager Income Senior Household and one (1) unit for a tviddic,c.L0 Incase Senior Household. Such units shall be referred to as "Affordable Units" for purposes of this (b) Monthly rents for these Affordable Units shall not exceed thirty (30%) of the maximum gross monthly income as shown for the a.,8.,'..ive 5 ORDINANCE NO. 606 units in Exhibit "B". Rents in Exhibit "B" shall include a utility adjustment as determined by the Riverside County Housiryg Authority. (c) The maximum initial rents charged, the maximum incase levels and the unit mix for the Affordable Units, during the first twelve (12) months following completion of the Project, shall be as follows: Maximum Maximum # of Annual Initial Unit Type Units Inane rtrthly Rent 1 B=.iA.w. .« (499.7 sq. ft.) 2 $20,600 (Lower) $366 1 Ba.i..,,.. (499.7 sq. ft.) 1 $25,750 (I Lc . a Le) $478 (d) The Affordable Units shall be of a quality and design indistinguishable from the market wits, and shall be evenly distributed throughout the Project. The Affordable Units shall be periodically rotated as vacancies permit. (e) Developer or its assigned management agent shall be responsible for determining the eligibility of Wvc Live_ tenants. Prior to opening the apartment project, Developer shall submit for approval a plan to City describing the procedure for determining and enforcing eligibility requi,. t...:..L.b. This plan shall include annual qualification by all eligible households and shall be subject to review and am.......v01 by City. The City or its assigned agent may request an audit to determine compliance with all affordable housing provisions of this Audit shall be requested as the City deems necessary and shall be at the owner's expense. 6 ORDINANCE NO. 606 (f) The initial rents as described in subsection (c) may be adjusted annually inwith the „ea,Layc increase shown in the most current applicable lower and «..mate income limits for Riverside County published by the United States Department of Housing and Urban Development or any successor agency, adjusted for changes in the Riverside County Housing Authority utility allowance and as verified by the applicable City of Palm Desert Affordable Housing Income and Rent Schedule. (g) Developer shall not discriminate on the basis of race, color or creed, sex, or national origin. (h) Developer or its successors in interest shall reserve the Affordable Units as set forth in this Agreement for the Useful Life of the Project and Project owner shall not sell or otherwise change the use of the Project without prior written ..,....st.,l of City. (i) Age limits. The minimum age for all Project occupants shall be 62 years old. (j) Beginning construction. FLU L2 Owner agrees to begin the Project within two (2) years after the execution of this AL. City Council, at its discretion and for good cause shown, may grant up to three (3) one-year time extensions. 10. Chanoe in project. No change, modification, revision or alteration may be made in the .J precise plan without review and ....val by those agencies of the City approving the plan in the first instance. A change, modification, revision or alteration in the eiv ...ry .3 precise plan is not effective until the parties amend this Agreement to it. 7 ORDINANCE NO. 606 11. Hold Harmless. PJ.wv.w.ly Owner agrees to and shall hold the City, its officers, agents, employees and representatives harmless from liability for damage or claims for damage for =,..awl injury including death and claims for rlL ly damage which may arise from the direct or indirect operations of the FLu ly Owner or those of his contractor, subcontractor, agent, employee or other s..,.. acting an his behalf which relate to the Project. FA.ly Owner agrees to and shall defend the City and its officers, agents, employees and representatives from actions for damages caused or alleged to have been caused by reason of Property Owner's activities in cornecticn with the Project. This hold harmless agreement applies to all damages and claims for damages suffered or alleged to have been suffered by reason of the operaticns referred to in this paragraph, regardless of whether or not the City0=d, supplied, or approved plans or specifications or both for the Project. PA.wyma.Ly Owner further agrees to indam ify, hold harmless, pay all costs and provide a defense for City in any action challenging the validity of the Development Agreement. 12. Periodic Review of Compliance With A.0.0c.c..1. (a) City Planning Commission shall view this Development A,y&=c.,.:..I whenever substantial evidence exists to indicate a possible breach of the terns of this (b) At least once each year, F.,.. IY Owner shall good faith compliance with the terms of this Development PA I1 owner agrees to furnish such evidence of good faith compliance as City, in the exercise of its discretion, may require. City shall have the right to audit 8 ORDIIIANCE ND. 606 the books and records of FL. L1 Owner or its management company that apply to the Project at F4A.,v0.A.LY Owner's cost and expense upon request and at least annually. 13. Amendment or Cancellation of AvAQ.«„L. This Development Ayl�.t LL may be amended or cancelled in whole or in part by mutual consent of the parties and in the ,, .annul provided for in G.,vrx,..c.,L Code, sections 65868, 65867 and 65867.5. 14. Fn.L4..,c.«,t. Unless amended or cancelled as provided in paragraph 13, this Development Agreement is enforceable by any party to it notwithstanding a change in the applicable general or specific plan, zoning, subdivision or building regulaticns adopted by City which alter or amend the rules, regulations or policies governing permitted uses of the land, density, design, improvement and ..,...0 L. ucticn standards and specifications. 15. Events of default. FA.ww.L2 Owner is in default under this A .,.c4,L upon the happening of one or more of the following events or conditions: (a) If a wai.60,4 y, aOt..c L.=Lion or statanent made or furnished by F,., Owner to City is false or.,,,:z, to have been false in any material when it was made; (b) A finding and determination by City made following a periodic review under tiler 40,.,. g 3. G provided for in Cbde, section 65865.1, that upon thip bests of substantial evidence P c i. Ly Owner has not complied in good faith with any of the, terms or conditions of this A,..:: „ : L. (c) Property Owner's failure to maintain the Real Fiji L1 in substantially the same condition as it existed on the date that City issued the 9 ORDINANCE O. 606 Certificate of Occupancy with ..wwr.4..L to the Project or to �a,La, ..�,Lly in good and woriananlike ma.u,a,. any building which may be damaged or destroyed. (d) F. Ly Owner's failure to appear in and defend any acticn or proceeding purporting to effect the rights or powers of City under the terms of this Development Agreement, and to pay all oasts and r...i.a..x� including al. L... avy' s fees in a rea_scnable sum, in any such acticn or in which City may appear• 16. Procedure upon default. If, as a result of periodic review, or other review of this Aj.,aa...u..L, the Planning Commission or City finds and determines, on the basis of substantial evidence, that FA.LLB Owner has not complied with the terms or c editions of this the Carmission shall notify the Property Owner or successor in interest as to the specific nature of noncompliance, and describe the remedies required to achieve compliance. PL .LI Owner has thirty (30) days upon receipt of ratification to take remedial actions. If FLU LL Owner fails to take remedial action within thirty (30) days, the Planning Camtissicn of City shall c.,,.....c...cl to the City Council of City that this Devel.,b...a`YL be modified, terminated, or that the remedies set forth in this paragraph be exercised by the City. If the City Council of City concurs with the of the City's Planning Carmissian, the City Council may modify this : , ,L, terminate this Development A. L., or may employ one ar move of the remedies set forth in thisProceedings before the City Council shall be by noticed public hearing pursuant to Chapter 25.86 of the Municipal Code of the City of 10 ORDINANCE NO. 606 Palm Desert. In the event of a default, City may employ one or more of the following remedies, in its sole discretion: (i) City may revoke all previous approvals, entitlements and permits granted by the City to Pl L1 Owner with L=.p,L to this Project and the subject Real Property. (ii) City may pursue all other legal or equitable remedies City may have under California law or as set forth in this Development Aal.�,',ea,t and City shall be entitled to specific performance and enforcement of each and every term, condition and covenant set forth herein. 17. Damages upon cancellation, termination of Agreement. In no event shall FL"10�L1 Owner be entitled to any damages against the City upon modification, termination of this Development A•diCICSIOCAlit.. or exercise by City of its rights under this Devel"t...t..L Aa�..�..L. 18. Attorneys fees and costs. If legal action by either party is brought because of breach of this Agreement or to enforce a provisicn of this Psy,=egucALL, the prevailing party is entitled to reasonable aLL,u.,.curs fees and court costs. 19. Notices. All notices required or provided for under this Development A.oc...m.L shall be in writing and delivered in person or sent by certified mail, prepaid. Notice required to be given to City shall be addressed as follows: City of Palm Desert, 73-510 Fred Waring Drive, Palm Desert, California 92260. Notices required to be given to 174..L1 Owner shall be ad�1 as follows: Weboo Pacific, 73-010 El Paseo, Palm Desert, California 92260. 11 ORDINANCE O. 606 A party may change the address by giving notice in writing to the other party and therefore notices shall be addressed and transmitted to the new address. 20. Rules of construction and miscellaneous terms. (a) The singular includes the plural; the masculine gender includes the feminine; "shall" is mandatory, "may" is permissive. (b) If a part of this Ay...c..L is held to be invalid, the remainder of this Ay.c.c.,.L is not affected. (c) If there is more than one signer of this A. ciiu .,L their obligations are joint and several. (d) The time limits set forth in this may be extended by mutual consent of the parties inwith thefor adoption of an agreement. 21. Duration of This Ay..oe...ral., shall expire only upon total destruction of the at,a. L ibi.L project which is the subject of this Development AyLow�'• aL. 22. 4!!pplicable Law. This 1, a.1o..L shall be construed a....ding to the laws of the State of California. 23. Severability. If any portion of this is for any reason held to be unenforceable, such determination shall not effect the validity of the remaining poc'tia . 24. Authority. Eadz of the parties hereto covenant and agrees that it has the legal capar{ty to enter into this Agreement contained herein, that each 12 CRDINANCE AD. 606 ayac,c.caaL is binding upon that party and that this is executed by a drily authorized official acting in his official rapari ty. IN WITS WHEREOF this Development Aya �c.uc. aL has been executed by the parties an the day and year first above written. Avvat,VC.d as to form: STATE OF CALIFORNIA ) COMITY OF RIVERSIDE ) On this Notary Public in evidence an behalf of CITY OF PALM umrai A Municipal C.a.a. ..aLion WALTER H. •• YIjc'`L MAYOR PT.O-T ?O STrILA R. s1LLI( A`1 CITY CL?R /'_'.i.0. WILLIAM E. BONNAR and WILLIAM T. POWERS By day of , 1990, before me, a and for said State, personally appeared , known to me or proved to ms an the basis of to be the ems.... who executed the within instilment , and acknowledc,�ed to me that do,: ..,.Lod the sane. 13 ORDINANCE C. 606 r•.wr+rn.a A LEGAL DESCRIPTION: The West one-half of lot 10, Palma `Itllage Groives, as per map in book 20, page 51 of maps, Records of Riverside County, excepting there from the East one-half of the West onehalf of said "_^} 10. CriesIERSI-11P: (Ph.o. . L) Phyllis E. Gamic and Marjorie A. Tucmi 721 Venice Way #2 Inglewood, CA 90302 (After March 7, 1990) William E. Bonnar and William T. Powers 73030 El Paseo Palm Desert, CA 92260 14 3001 (6/8?) (Individual) First American Title Company 3001 (6/82) (Individual) First American Tine Company STATE OF CALIFORNIA, COUNTY OF On \ L 4 j .\C\C\O said State, personally appeared L-L� \. - _ ' �'r+`n iss. hefore me, the undersigned, a Notary Public in and for EtiNru7 personally known to me (or proved to me on the basis of satis- factory evidence) to be the person(s) whose name(s) is/are sub- scribed to the within instrument and acknowledged to me that he/she/they executed the same. WITNESS my hand and official seal. Signature I �t �\ �CK-1\--k--j `J STATE OF CALIFORNIA t��ta-.5 `� COUNTY OF On Z L t•• �O \ \c..\ said State, personally appeared t_-- ;ss. OFFICIAL SEAL N.";ARY P. FRAZIER ` „•: NoTArY F CLIC—CAI-IFO?NIA NC`TA Y ECNC FLED IN ESSIDE COUNTY My C:mmins°en Expirs July 23, 1990 (This area for official notarial seal) before me, the undersigned, a Notary Public in and for i _ �� Lv 12S personally known to me (or proved to me on the basis of satis- factory evidence) to be the person(s) whose name(s) is/are sub- scribed to the within instrument and acknowledged to me that he/she/they executed the same. WITNESS my hand and official seal. Signatures �\ ........................................... . OFFICIAL SEAL MARY P. FRAZIER NOTARY PUBLIC—CALIFORNIA NOTARY EOND FILED IN RIVERSICE COUNTY MY Commission Expires July 23, 9 90 (This area for official notarial seal)