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HomeMy WebLinkAboutDeed 1498 1498 /7/EA_An c L✓0 DECLARATION OF REDEVELOPMENT COVENANTS RECORDING REQUESTED BY: ) DOC # 2013-0405365 ) 08/20/2013 08:49A Fee:NC Page 1 of 12 Recorded in Official Records THE CITY OF CATHEDRAL CITY County of Riverside ) Larry W. Ward AND WHEN RECORDED RETURN TO: ) Assessor, County Clerk & Recorder ) j IIIIIIIIIII IIIlllillllllllllllllll IIIIIIIilll# ) THE CITY OF CATHEDRAL CITY ) 68-700 Avenida Lalo Guerrero ) S R U PAGE SIZE DA MISC LONG RFD COPY Cathedral City, CA 92234 ) is Attn: Agency Secretary ) M A L 465 426 PCOR NCOR SMF NCHG, EXAM APN: ) _� Q no dncrc G IT: CTY UNI goo 800 (Space Above for Recorder's Use) Exempt from Recording Fees Per Government Code Section 27383 DECLARATION OF REDEVELOPMENT COVENANTS THIS DECLARATION OF REDEVELOPMENT COVENANTS (this "Declaration") is made on /1010d /c4 , 2013, by the City of Cathedral City as Successor Housing Agency to the former Redevelopment Agency of the City of Cathedral City, an incorporated city, ("Declarant") with respect to certain real property located in the City of Cathedral City, County of Riverside, California, as more fully described in Exhibit "A" attached hereto and incorporated herein by this reference (the "Property") . WHEREAS, Declarant is the fee simple owner of the Property; and WHEREAS, as of February 1, 2012, the former Redevelopment Agency of the City of Cathedral City ("Agency") was dissolved by virtue of Health & Safety Code Section 34172, and its rights, powers, duties and obligations with respect to the Agency' s housing assets and functions, were transferred to the City of Cathedral City as the Successor Housing Agency (Declarant) under Health & Safety Code Section 34176. As the Successor Housing Agency, Declarant is vested with all authority, rights, powers, duties and obligations previously vested in the former Agency, except to the extent repealed, restricted or revised pursuant to Assembly Bill xl 26; and B - 1 WHEREAS, the Property was a housing asset of the Agency which has been transferred to Declarant as the Successor Housing Agency; and WHEREAS, as a former housing asset of the Agency, the Property shall be used for affordable housing purposes in accordance with the community redevelopment law, and is therefore subject to certain affordability covenants; and WHEREAS, Pursuant to the terms and conditions of the Property Transfer Agreement ("Agreement") between the Declarant and Thermal Land, LLC a California Corporation ("Developer") , entered into , 2013, and providing for the transfer of the Property from Declarant to Developer, the Developer has agreed to develop the Project (as defined in the Agreement) on the Property subject to certain covenants thereupon, including said affordability covenants; and WHEREAS, Declarant desires this Declaration to serve as the instrument to impose said covenants . NOW THEREFORE, Declarant declares that the Property described above is held and will be held, transferred, encumbered, used, sold, conveyed, leased and occupied subject to the covenants, restrictions and limitations set forth in this Declaration, all of which are in accordance with the requirements of the Agreement and the Community Redevelopment Law. All of the restrictions, covenants and limitations will run with the land and will be binding on all parties having or acquiring any right, title or interest in the Property described above or any part thereof, and to any improvements located thereon, and will inure to the benefit of the Declarant and to the City of Cathedral City in its role as the city rather than as the Successor Housing Agency (in its city role, the City of Cathedral City will be referred to herein as "Cathedral City") . Each grantee of a conveyance or purchaser under a contract or agreement of sale covering any right, title or interest in any part of the Property, by accepting a deed or a contract of sale or agreement of purchase, accepts the document subject to, and agrees to be bound by, any and all of the restrictions, covenants and limitations set forth in this Declaration. 1 . Capitalized Terms. All capitalized terms not otherwise defined herein shall have the same meaning ascribed to them by the Agreement, unless the context clearly indicates a different meaning. B - 2 II VIIIIIIIIIIVIIIIIIIVIIIVIIIIIIIIIIIIVIIIUIIIIII 08/20/23 120 of 12 49A 2 . Redevelopment Covenants . The covenants which shall bind the Property and the improvements thereon are as follows : (a) The work of the development of the Property or part or parts thereof as provided in the Agreement shall be implemented at the times and in the manner as intended by the Agreement. (b) Developer covenants and agrees for itself, its successors, its assigns, and every successor in interest to the Property, or any part thereof, that Developer, such successors and such assigns shall maintain in good condition the improvements on the Property, shall keep the Property free from any accumulation of debris or waste material, subject to normal construction job-site conditions, and shall maintain in a neat, orderly, healthy and good condition the landscaping of the Property. The Developer shall include similar obligations in any lease of the Project. In the event Developer, or its successors or assigns, fails to perform the maintenance as required herein, Declarant and/or Cathedral City shall have the right, but not the obligation, to enter the Property and undertake such maintenance activities . In such event, Developer shall reimburse Declarant and/or Cathedral City for all reasonable sums incurred by it for such maintenance activities. (c) After the satisfactory completion of the Project in compliance with the Agreement, the Property shall be devoted to the uses specified in the Agreement, and approved by Cathedral City, and shall not, in whole or in part, be devoted to any other use or used for any other purposes except as may be approved by Declarant or Cathedral City in writing in advance. (d) Pursuant to the community redevelopment law, and specifically California Health and Safety Code Section 33413, Developer covenants and agrees for itself, its successors, its assigns, and every successor in interest to the Property, or any portion thereof, that upon completion of construction, Developer shall maintain Project dwelling units at affordable housing cost for at least fifty-five (55) years . At least fifteen percent (15%) of all Project dwelling units developed shall be available at affordable housing cost to, and occupied by, persons and families of moderate income, for at least fifty-five (55) years . Thus, of the sixty-nine (69) residential units proposed to be developed by the Project, at least eleven (11) units shall be available to moderate income B - 3 IIIIII lllUI 1 VIII IIII VIII VIII II1I III VIII IIII IIII G8 20 20£3 n 49A households, at affordable rent, in accordance with and as those terms are defined in the California Health and Safety Code. (e) After a Certificate of Completion is issued for the Project, the Declarant and Cathedral City acknowledge and agree that Developer may sell the Property, or any portion thereof, subject to this Declaration and any terms contained in the Grant Deed. (f) Developer covenants and agrees for itself, its successors, its assigns and every successor in interest to the Property or any part thereof, 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 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 Government Code, or on the basis of domestic partnership status or residential arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Property; nor shall Developer, itself or any person claiming under or through it, 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, subtenants, sublessee or vendees of the Property. Declarant declares that the covenants set forth in this subparagraph (f) shall bind Declarant, for itself and its successors and assigns, and all subsequent holders of any interest in the Properties. The covenants set forth in this subparagraph (f) shall be covenants running with the land and shall consist of the following: (1) In deeds : "The grantee herein covenants by and for itself, its successors 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 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 Government Code, or on the basis of domestic partnership status or residential arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through the grantee, establish or B - 4 8111111111111111011111 082611 n49F1 permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land. (2) In leases: "The Lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, 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 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 Government Code or on the basis of domestic partnership status or residential arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through the grantee, 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, subtenants, sublessee, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land. (3) In contracts: "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 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 Government Code or on the basis of domestic partnership status or residential arrangement, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through the grantee, 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, subtenants, sublessee, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land. The foregoing provisions of subparagraph 2 (f). shall be binding upon and shall obligate the contracting party B - 5 IlifiIIIIIIIVIIIIIIIVIIIVIIIIIIIIIIIIVIIIIIIIIIII 08/20/213 150of�02. or parties and any subcontracting party or parties, or other transferees under the instrument, and shall remain in effect in perpetuity. (g) After the satisfactory completion of the Project in compliance with the Agreement, Developer recognizes and acknowledges that the construction of the Project may create a new demand for Cathedral City services, which Cathedral City lacks the ability to fund. For that reason, Declarant declares that all successors in title to the Properties shall be bound to the covenants as set forth herein below. (1) Cathedral City is or will be reviewing the creation of a landscape and lighting district in the area where the Project is to be located, or, alternatively, the annexation of the Property into an existing Cathedral City district. Such a district would assist Cathedral City in paying for the lighting and landscaping in the area, thus enabling it to install and maintain such amenities to the general benefit of the area and the specific benefit of the Project . Such a district would equitably apportion the costs among the benefitted land owners . Declarant covenants and agrees, for itself and its successors and assigns, including Developer, that it will participate in such a district for the life of the district, will vote in favor of its formation, or for annexation into an existing district, as applicable, if a vote is required, will otherwise support and not oppose the formation of the district or the annexation, and will pay when due the assessments apportioned to it. (2) Cathedral City also is or will be reviewing the formation of a business improvement district in the area where the Project is to be located. Such a district would provide assistance to all businesses within the district for a variety of purposes, each of which would be designed to generate patronage for such businesses. Such a district would assess business owners in the district on an equitable basis for its share of the costs expended for the mutual benefit of the businesses in the area. Declarant covenants and agrees, for itself and its successors and assigns, including Developer, that it will participate in such a district for the life of the district, will vote in favor of its formation if a vote is required, will otherwise support and not oppose the formation of the district and will pay when due the assessments apportioned to it. B - 6 111E11 1111111 V1111111111 11111 1111 1111 08 20/201£05365 (h) All leases, rental agreements or similar conveyances of a real property interest in the Property or any portion thereof shall include the terms and conditions (as applicable) set forth herein unless expressly relieved of said covenant in writing by Declarant or Cathedral City. (i) All of the covenants contained in this Section 2 shall remain in force and effect, and enforceable against any and all persons or entities having any interest in the Property or Project for the following periods: 1 . Five (5) years : subparagraph 2 (a) ; 2 . Fifty-five (55) years : subparagraphs 2 (b) , 2 (c) , 2 (d) and 2 (g) and any covenant or covenants in Section 2 not otherwise assigned a duration; and 3 . In perpetuity: subparagraphs 2 (e) , 2 (f) and 2 (h) . 3. Effect of Covenants . (a) All of the foregoing agreements and covenants shall run with the land, and shall inure to the benefit of and be enforceable by Declarant, Cathedral City, and their respective successors and assigns. (b) It is the intent hereof that the provisions of this Declaration shall survive the termination of the other operative provisions of the Agreement and the issuance and/or recordation of the Certificate of Completion. The covenants set forth hereinabove shall run in favor of Declarant and/or Cathedral City for the entire period during which such covenants are to remain in force in accordance with the foregoing, and shall be in effect without regard to whether Declarant and/or Cathedral City has at any time been, remains, or is an owner of any land or interest therein to which these covenants relate. In the event of any breach of these covenants, Declarant and/or Cathedral City shall have the right to exercise all the rights and remedies available at law or in equity to enforce the curing of such breach. 4 . Events of Default; Enforcement. In the event of a default in the performance or observance of any covenant, agreement or obligation as set forth in this Declaration and, if such default remains uncured for a period of thirty (30) days B - 7 11111111111111111111111111 w11;7499 after notice thereof shall have been given by Declarant and/or Cathedral City, or their successors, or such longer period as may be approved by Declarant in writing in its sole discretion, then the Declarant and/or Cathedral City may declare that an Event of Default has occurred hereunder and may take any one or more of the following steps, at its option: (a) By mandamus or other suit, action or proceeding at law or in equity, require Developer or its successors in interest to perform its obligations and covenants hereunder, or enjoin any acts or things which may be unlawful or in violation of the rights of Declarant hereunder; and (b) Take whatever other action at law or in equity may appear necessary or desirable to enforce the obligations, covenants and agreements hereunder; and (c) No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right against or recover for the continuation or repetition of such breach or violation or any similar breach or violation thereof at any later time or times . 5 . Attorneys' Fees . In any legal proceeding to enforce the terms of or restrain a violation of this Declaration, the prevailing party or parties shall be entitled to reimbursement of attorneys' fees from the other party or parties in an amount fixed by the court in the proceeding. 6. Amendments. This Declaration may only be amended in writing by an instrument signed by the authorized representative of Declarant or Cathedral City. 7 . Severability. If any provision of this Declaration shall be invalid, inoperative or unenforceable as applied in any particular case, in any jurisdiction or jurisdictions or in all jurisdictions, or in all cases because it conflicts with any other provision or provisions hereof or any Constitution or Statute or rule of public policy, or for any other reason, such circumstances shall not have the effect of rendering the provisions in question inoperative or unenforceable in any other case or circumstance, or of rendering any other provision or provisions herein contained invalid, inoperative, or unenforceable to any extent whatsoever. B - 8 1111111111111111111111111111111111111111111111111111 08e 2O13-8 0495365 /20(2013 The invalidity of any one or more phrases, sentences, clauses or sections contained in this Declaration shall not affect the remaining portions of this Declaration or any part hereof. 8 . Headings. The section headings are not part of this Declaration and will not affect the interpretation of any provisions hereof. 9. Time of the Essence. In each provision of this Declaration which states a specific amount of time within which the requirements thereof are to be satisfied or are to persist, time shall be deemed to be of the essence. 10 . Notices. Any notice required to be given hereunder shall be given by personal delivery or by registered or certified mail at the addresses specified below or at such other addresses as may be specified in writing by the parties hereto: To Declarant The City of Cathedral City & Cathedral City: Civic Center 68-700 Avenida Lalo Guerrero Cathedral City, California 92234 Attn: City Manager With a copy to: Green, de Bortnowsky and Quintanilla 23801 Calabasas Road, Suite 1015 Calabasas, California 91302 Attn: Charles R. Green Notice shall be deemed given three (3) business days after the date of mailing, or, if personally delivered, when received. A party' s address for notice may be changed by giving notice to the other party in the manner set forth above and indicating the new address for notice . IN WITNESS WHEREOF, Declarant has executed this Declaration on the date first written above, B - 9 I IIIIII 1111111 VIII IIII 11111 VIII IIDI II1IIft © 2 l 90 f06 26 e 49E "DECLARANT" CITY OF CATHEDRAL CITY AS SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF CATHEDRAL CITY By: 41,11 City Ma ger CATH\0025-58\DOC\01.04 - Decl. of Redev. Covenants 7_30_13 redline B - 10 111 11111111111 III 08/29/201398 10 365 EXHIBIT "A" LEGAL DESCRIPTION OF PROPERTY In the City of Cathedral City, County of Riverside, State of California: Lots 127 through 131, inclusive, together with Lots 142 through 147, inclusive of Cathedral City, as per map filed in Book 13, at Pages 24 through 26, inclusive, of Maps, Records of said Riverside County. Together with any underlying fee interest in that portion of Grove Street, shown as Lot "II" on said map, abutting said lots. Containing 1.722 acres gross, or 1.998 acres gross including the abutting portion of Grove Street. (Assessor Parcels 687-196-001 through 006, and 687-198-001 through 006) V )IIIIIII 98/29/2013 1of 12 8R 687-196-002 687-196-003 687-196-004 687-196-005 687-196-006 687-198-002 687-198-003 687-198-004 687-198-005 687-198-006 ACKNOWLEDGMENT State of California County of RIVERSIDE ) On August 14, 2013 before me, AnnMarie J. Quintanilla-Garcia, Notary Public (insert name and title of the officer) personally appeared Gary Andrew Hall who proved to me on the basis of satisfactory evidence to be the personkS)whose name(,%] is/w6 subscribed to the within instrument and acknowledged to me that he%Y(e/tpr executed the same in his/hff/tlir authorized capacity(jee), and that by his/ r/tltir signature(,%)on the instrument the persons,%), or the entity upon behalf of which the person( 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. ;4 +, ANN MARIE J.at11NTANILLA-GARCIA �,ti.,G Commission#1939072 G� �.a� Notary Public-California z Riverside County - • / M Comm.Exeres Ma_t29,2015 SignaturAr `L■ BY- (Seal) P ��!I 1E1I IIIII 1111 111111111 111111 111111111 III 1111 08/2 012�0 �08649R