HomeMy WebLinkAboutC31290 Joint Access Agreement With Westin Desert Willow Villas at DWGRCITY OF PALM DESERT
STAFF REPORT
REQUEST: APPROVE A JOINT ACCESS AGREEMENT BETWEEN THE
CITY AND WESTIN DESERT WILLOW VILLAS AT DESERT
WILLOW GOLF RESORT (Contract No. C31290)
SUBMITTED BY: Martin Alvarez, Redevelopment Manager
PARTY: Westin Desert Willow Villas
75 Willow Ridge
Palm Desert, CA 92260
DATE: October 27, 2011
CONTENTS: Joint Access Agreement
Site Plan
Recommendation
By Minute Motion:
1. Approve a joint access agreement between the City and Westin Desert
Willow Villas at Desert Willow Golf Resort; and
2. Authorize the Mayor to execute the agreement.
Background
The Westin Desert Willow Villas (WDWV) timeshare project is located adjacent the
Desert Willow Golf Resort. The WDWV opened the first phase in February 2010, which
includes five buildings totaling 74 timeshare units and a clubhouse. WDWV is currently
under construction of the sixth building consisting of 22 units.
The WDWV timeshare project has been a beneficial project to both the City and to
Desert Willow Golf Resort (DWGR). WDWV generates annual transient occupancy tax
and project amenity fees to the City. In addition, Westin timeshare owners routinely
frequent Desert Willow's two golf courses and utilize the clubhouse amenities and
dining opportunities.
Access Agreement
City and WDWV staff have worked together to develop a joint access agreement that
would facilitate golf cart transportation of Westin's timeshare owners to the Desert
Willow Clubhouse. In order to establish a connection between the two properties, a new
Staff Report
Joint Access Agreement with Westin Desert Willow Villas at DW
Page 2 of 2
October 27, 2011
10 foot wide by 45 foot long golf cart path is proposed adjacent to Desert Willow's
Mountain View Golf Course Hole No. 18 (see attached exhibit). It is envisioned that the
proposed golf cart connection will allow Westin's staff to deliver their guests via golf cart
to the Desert Willow Clubhouse though Desert Willow's existing golf cart paths. After
playing golf or enjoying our clubhouse amenities, Desert Willow staff will return Westin
timeshare guests to their clubhouse.
The mutual access agreement is beneficial to both Westin's guests and to the City
through increased tee time reservations and food/beverage revenues. Staff
recommends that the City execute a Joint Access Agreement with Westin Desert Willow
Villas and authorize staff to construct the 450 square foot concrete golf cart path
between both properties.
Fiscal Analysis
The proposed golf cart path connection is estimated at $6,000. The cost will be shared
equally by the City and Westin. No appropriation is required; funding for the golf cart
path is available in Desert Willow's FY 2011/2012 Operating Budget.
Submitted By:
rtin Alvarez, Redevelopment Manager
Department Head:
Paul S. Gibson, Director of Finance
CITY COUNCILACTWN'
APPROVED ✓ 01"NIF0
RECEIVED __. i 3 9 1I V,R
MEETING DATE. LC `")A G
AYES: hC\eC±U nnrN-Ki
NOES: LL
ABSENT: NCne--_--
ABSTAIN:
VERIFIED BY: f
Original on File with City Clerk's -'Office
\\srv-fi12k3\groups\rda\Martin Alvarez\2011\Staff Reports\102711 DW-Westin Access Agr..doc
Contract No. C31290
RECIPROCAL LICENSE AGREEMENT
This RECIPROCAL LICENSE AGREEMENT (the "Agreement") is entered into as of
November , 2011 (the "Effective Date"), by and between the CITY OF PALM DESERT, a
municipal corporation (the "City") and WVC Rancho Mirage, Inc., a Delaware corporation
("Westin").
RECITALS
A. The City is the owner of that certain real property in Palm Desert, California
known as APN 620420009 and identified on Exhibit "A" as the "City Parcel." The City Parcel
is improved with a publicly owned and operated golf course known as the Desert Willow Golf
Course (the "Golf Course").
B. Westin is the owner of the adjacent land known as APN 620421082 and identified
on Exhibit "A" as the "Westin Parcel", which is improved with a time share residence project
(the "Villas").
C. The parties wish to improve the City Parcel with an approximately 10' x 45'
roadway to connect to an existing concrete path on the Westin Parcel and establish reciprocal
rights of access in the areas shown on Exhibit A (together, the "License Areas") in order to
facilitate transportation of residents and guests of the Villas to the clubhouse on the Golf Course,
on the terms and conditions set forth below.
NOW, THEREFORE, in consideration of the mutual promises contained herein and for
other valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the
parties agree as follows:
AGREEMENT
Grant of License to Ci
(a) City License Area. Westin hereby grants to the City, for use by the City
and its employees, agents, contractors, licensees, and invitees (collectively, "City Permittees"), a
non exclusive license over and across the portion of the Westin Parcel identified more particularly
on Exhibit "A" as the "City License" for the purpose of transporting guests to and from the Golf
Course.
(b) Maintenance. Westin shall maintain the area subject to the City License in
a safe and clean condition at all times. Notwithstanding the rights of City pursuant to section I
(a) above, the City shall have no obligation to enter the Westin Parcel and undertake maintenance
activities there.
(c) Use Restriction. The City acknowledges and agrees that the City License
may only be used for transportation of guests who are accompanied by employees of City or
City's contracted Golf Course manager, which is currently Kemper Sports ("Kemper"). No
Error! Unknown document property name.
Contract No. C31290
generalized public access rights are granted or created hereunder. The parties shall annually agree
upon hours of operation and other reasonable usage rules for the transportation of guests via the
City License.
2. Grant of License to Westin.
(a) Westin License Area. City hereby grants to Westin, for use by Westin and
its employees, agents, contractors, licensees, and invitees (collectively, the "Westin Permittees"),
a non exclusive license over and across the portion of the City Parcel identified more particularly
on Exhibit "A" as the "Westin License" for the purpose of transporting guests to and from the
Golf Course. Westin shall not use the Westin License until the concrete path has been
constructed by the City pursuant to paragraph 2 (b) below.
(b) Construction of Concrete Path. City shall construct an approximately 10' x
45' paved roadway on the area subject to the Westin License. The costs of the construction of the
concrete path shall be shared equally by City and Westin. Prior to commencement of
construction, City shall provide the estimated construction costs for Westin's approval, which
shall not be unreasonably withheld. If Westin does not respond to the estimated costs within ten
(10) days, said costs shall be deemed approved. Westin shall reimburse City for its share of the
approved costs within thirty (30) days of the date of an invoice from City for same. In addition,
Westin shall provide a light bollard in the concrete path area and pay related utility costs.
(c) Maintenance. City shall maintain the area subject to the Westin License in
a safe and clean condition at all times. Notwithstanding the rights of Westin pursuant to section 2
(a) above, Westin shall have no obligation to enter the City Parcel and undertake maintenance
activities there. The parties shall be jointly responsible for landscaping maintenance and shall
cooperate to develop an efficient and cost effective plan for implementing such maintenance.
(d) Use Restriction. Westin acknowledges and agrees that the Westin License
may only be used for transportation of guests who are accompanied by employees or contractors
of Westin. No generalized public access rights or rights for residents or guests of the Villas are
granted or created hereunder. The parties shall annually agree upon hours of operation and other
reasonable usage rules for the transportation of guests via the Westin License.
3. Term.
The initial term of the licenses granted hereunder shall be for one (1) year from
the Effective Date (the "Initial Term"), unless terminated earlier due to default. Upon the end of
the Initial Term, the license shall be extended for an additional one (1) year unless until either
party provides notice to the other party not less than thirty (30) days before the end of the initial
term that it does not wish to extend the licenses and this Agreement, or unless terminated earlier
due to default. At the end of the second one (1) year term, if any, City and Westin shall meet to
conduct a review of operations under this Agreement and to determine whether its term shall be
further extended.
Error! Unknown document property name.
Contract No. C31290
4. Indemnity Each party (the "Indemnifying Party") agrees to indemnity, defend,
protect, and hold harmless the other party (the "Indemnified Party") and its officers, directors,
owners and employees from and against any and all claims, demands, actions, lawsuits,
proceedings, damages, liabilities, judgments, penalties, fines, attorneys' fees, costs, and expenses
arising out of (i) any act or omission to the extent caused by the negligence or willful misconduct
by the Indemnifying Party or any officer, director, owner, employee or agent of the Indemnifying
Party, (ii) claims by third parties against the Indemnified Party arising from any other actions or
omissions of the Indemnifying Party, its officers, directors, owners, employees or agents, (iii)
claims which result from any other act or omission not enumerated above constituting the
negligence or willful misconduct by Indemnifying Party or any officer, director, owner,
employee or agent of Indemnifying Party, or (iv) any breach of this Agreement. Such
indemnification will include reasonable attorney's fees and costs, whether or not suit is brought,
with counsel reasonably acceptable to the Indemnified Party. The foregoing provisions, and all
other liabilities of the Indemnified Parties hereunder, shall survive the termination of this
Agreement
5. Insurance. Westin shall procure or cause to be procured, at its sole cost and
expense, and shall keep in effect from the date of this Agreement and at all times until the end of
the term, Commercial General Liability Insurance applying to the use of the License Areas.
Such insurance shall not include any contractual obligations other than those found in a standard
commercial general liability coverage form and shall not be subject to any deductible. Such
coverage shall have a minimum combined single limit of liability of at least One Million Dollars
($1,000,000) per occurrence and Two Million Dollars ($2,000,000) in the aggregate. All such
policies shall be written to apply to all bodily injury, property damage, personal injury, and other
covered loss, however occasioned, occurring during the policy term. The Commercial General
Liability insurance shall be in force prior to any use of the License Areas.
The Insurance certificate shall also provide for waiver of subrogation in favor of the
additional insured. The General Liability Policy shall be primary and non-contributing insurance
or endorsed to be primary and non-contributing insurance. Each Party shall maintain employer's
liability and workers' compensation insurance as required by law. City shall maintain general
liability insurance with limits of at least One Million Dollars ($1,000,000) per occurrence and
Two Million Dollars ($2,000,000) in the aggregate and provide Westin with an Evidence of
Coverage letter adding Westin, Starwood Vacation Ownership, Inc., and its affiliates and/or
subsidiaries, as additional insureds. Westin shall provide City with a Certificate of Insurance
evidencing an endorsement to such policy naming City, the Redevelopment Agency of the City
of Palm Desert, Kemper and their respective council members, board members, directors,
officers, employees and agents (as applicable) as additional insureds. Each party shall also
maintain automobile liability insurance containing a $1,000,000 combined single limit for bodily
injury and property damage and covering all owned, non -owned and hired vehicles.
6. Default and Remedies. An event of default shall occur under this Agreement if
either party shall fail to comply with any of its obligations hereunder and does not cure such
failure within thirty (30) days of written notice from the other party. Upon the occurrence of
such an event of default, the non -defaulting party shall have the right to terminate this
Agreement upon written notice.
Error! Unknown document property name.
Contract No. C31290
7. Miscellaneous.
(a) Notices. Any notice, consent or approval required or permitted to be given
under this Agreement shall be in writing and shall be deemed to have been given upon (i) hand
delivery, (ii) one (1) "Business Day" (as defined below) after being deposited with federal express
or another reliable overnight courier service for next day delivery, (iii) upon facsimile
transmission (except that if the date of such transmission is not a Business Day, then such notice
shall be deemed to be given on the first Business Day following such transmission), or (iv) two
(2) Business Days after being deposited in the United States mail, registered or certified mail,
postage prepaid, return receipt required, and addressed as follows:
If to Westin:
,CA
Phone:
Fax:
If to City:
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, California 92260
Attention:
Tel: (760) 346-0611
Fax: (760) 341-6372
(b) Assignment, Successors and Assigns. This Agreement shall be binding
upon, and shall inure to the benefit of, each party, its successors, assigns and successors -in -
interest.
(c) Governing Law. This Agreement shall be governed by and interpreted
under the laws of the State of California.
(d) Severability. If any provision of this Agreement shall for any reason be
held to be invalid, illegal or unenforceable by any court of competent jurisdiction, the validity of
the other provisions of this Agreement shall in no way be affected thereby. '
(e) Singular and Plural, Gender. Whenever the singular number is used in this
Agreement and the context requires, the same shall include the plural. Further, when used in this
Agreement and the context requires, the neuter gender shall include the feminine and masculine,
the masculine shall include the feminine and neuter, the feminine shall include the masculine and
neuter, and each shall include any reference to a corporation, partnership, trust, or other legal
entity.
Error! Unknown document property name.
Contract No. C31290
(f) Entire Agreement. This Agreement and all documents referred to herein:
(i) constitute and are intended as a final expression and a complete and exclusive statement of the
understanding and the agreement between the parties hereto with respect to the subject matter
hereof, (ii) supersede all prior or simultaneous understandings, correspondence, letters of intent,
negotiations, or agreements, whether oral or in writing, between the parties respecting the subject
matter of this Agreement; and (iii) may not be modified, amended or otherwise changed in any
manner except by a writing specifically setting forth such modification, amendment or change
and executed by each of the parties hereto. All exhibits attached hereto are incorporated herein by
this reference.
(g) Jurisdiction, Venue. In the event any matter between the parties related to
the subject matter of this Agreement is required to be heard by a court, the parties consent to
jurisdiction in the State of California, County of Riverside. Subject to Section (d) above, the
parties acknowledge and agree that the Superior Court of the State of California in and for the
County of Riverside, and the associated federal and appellate courts, are the appropriate venues to
hear and decide any issue, dispute, or controversy arising from or related to this Agreement and
such courts shall have exclusive jurisdiction to so hear and decide any such issue, dispute, or
controversy.
(h) Counterparts. This Agreement may be executed in any number of identical
counterparts, each of which shall be deemed an original, but all of which shall constitute one and
the same instrument.
(i) Further Acts. Each of the parties shall execute such other and further
documents and do such further acts as may be reasonably required to effectuate the intent of the
parties and carry out the terms of this Agreement.
0) Headings. The headings used in this Agreement are for convenience only
and shall not be used to aid in the interpretation of this Agreement.
(k) Attorneys' Fees. If any action shall be commenced to enforce the terms of
this Agreement or to declare the rights of the parties hereunder, the prevailing party shall be
entitled to recover all of its costs and expenses (including, but not limited to, its actual attorneys'
fees) from the nonprevailing party. In addition to the foregoing award of attorneys' fees and other
litigation costs to the prevailing party, the prevailing party in any lawsuit on this Agreement shall
be entitled to its attorneys' fees and other litigation costs incurred in any post judgment
proceedings to collect or enforce the judgment. This provision is separate and several and shall
survive the merger of this Agreement into any judgment on this Agreement. This provision shall
survive the termination of this Agreement.
[Signatures appear on next page.]
Error! Unknown document property name.
Contract No. C31290
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date
first above written.
ATTEST:
(SEAL)
City Clerk
Approved as to form:
City Attorney
WESTIN:
[WESTIN DESERT WILLOW, a
By: _
Name:
Title:
CITY:
CITY OF PALM DESERT, a municipal corporation
By:
Name:
Title:
Error! Unknown document property name.
Contract No. C31290
EXHIBIT "A"
CITY PARCEL, WESTIN PARCEL AND LOCATION OF LICENSES
Error! Unknown document property name. A-1
ILI M
PORTOLA AVENUE
01 It
01
10
Ok
05
a 04
ink
mim
M M
4 C
o III
V
,S E 5.WT
V
m
0
PHASE I
TRANSITION AREA PLANTING
to
MAINTENANCE SURVEY AGREEMENT
b>
9
"K)16CTI
WESTIN DESERT WILLOW
PALM DESERT, CA
PM