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2014/05/22 Lennar Homes of California, Inc. Model Home Complex Agreement TR 31582-1 CITY OF MENIFEE Planning Division Community Development Department Model Home Complex Agreement for Tract Map No. 31582-1 This agreement("Agreement") is made this 1211?4l,day of May, 2014, by and between the City of Menifee ("City") and Lennar Homes ("Developer") (collectively the "Parties") in exchange for good and valuable consideration receipt of which is hereby acknowledged. City agrees to issue Building Permits for a Model Home Complex and associated facilities (the "Model Home Complex") as set forth on Exhibit "A" to this Agreement on property located at APNs 333-631-003 to -009, also known as Lot Nos. 3 through 9, respectively, of Tract Map No. 31582-1-2 (the "Tract" or"Tract Map") upon completion of the terms and conditions set forth in this Agreement. The Tract is presently zoned Specific Plan No. 158, Planning Area 3-7 (refers back to One Family Dwellings zone of Ordinance No. 348), with a General Plan Designation of Specific Plan (SP), within the City of Menifee, and is the property of Lennar Homes. Such zoning and General Plan designation allows the construction and sale of individual single-family dwellings, one per recorded lot, with City approval and recordation of a Tract Map as provided under the State of California Subdivision Map Act. The Developer has requested approval to construct five (5) model homes and associated facilities within the Model Home Complex for the display of .home product types and the sale of homes ("Sales Office") in the Tract. Because the Model Home Complex will contain dwellings that possess atypical features from those of a standard home, such as office accommodations, storefront windows instead of garage door,trap fencing, grass in lieu of a finished driveway, the City agrees to allow construction and operation of such atypical features under this Model Home Complex Agreement, for a period not to exceed three (3) years unless extended in writing as provided heroin and subject to the requirements and Stipulations set forth in this Agreement. It is understood and agreed that all physical public infrastructure improvements required for the safe ingress and egress to the Model Home Complex from existing, improved and accepted public rights-of-way shall be in place to the satisfaction of the City's Engineering Department, regardless of whether such improvements have been finally approved and accepted by the City prior to opening the Model Home Complex to the public. Developer shall ensure the physical safety of customers/clients that may visit the Model Home Complex approved under this Agreement. While phasing of development shall be allowed, each phase must be approved by the City and constructed in such a manner as to assure the safety of customers/clients, as well Model Home Complex Agreement for Tract No. 31582-1 as new home owners and all construction shall be in compliance with all state and federal regulations, including without limitation, compliance with the Americans with Disabilities Act. Developer agrees to remove, amend, modify or reconstruct, or cause the removal, amendment, modification or reconstruction of the individual dwellings within the Model Home Complex to the level and degree necessary to ensure that such structures are clearly identifiable as a typical home within the surrounding neighborhood of the dwelling units upon full occupancy, but in no case more than six (6) months from the close of escrow from the last previous dwelling sold by Developer within Tract No. 31582-1, unless otherwise agreed to in writing by the City. At a minimum, Developer shall remove any trap fencing, all signage or other displays, attraction or directional devices used to direct Individuals to the Model Home Complex, remove any parking surface utilized as a parking lot for the Model Home Complex, and shall remove/modify/reconstruct the Sales Office to a standard garage, infill any access ways within block walls or fences to the Model Home Complex, remove any landscaping/associated irrigation and install City required driveway surfaces where needed, and remove all other ancillary items atypical of a single-family residential dwelling. The above-noted removal, amendment, modification or reconstruction of the individual dwellings within the Model Home Complex shall be completed within thirty (30) days from the close of escrow of the final dwelling within the approved Tract, or by the close of escrow of any dwelling within the Model Home Complex, whichever comes first, unless otherwise mutually agreed in writing by and between the City and Developer. In no case, however, shall the modifications agreed to under this Agreement remain in place beyond three (3) years from the date of this Agreement, unless otherwise extended by mutual agreement of the Parties in writing. The location of the dwellings subject to this Model Home Complex Agreement is lot specific and the approvals granted herein shall not be transferable between lots. This limitation, however, does not preclude the City and property owner from amending this Agreement, in writing, to establish alternative location(s) for the Model Home Complex, or individual dwellings within a Model Home Complex. A surety, in a form acceptable to the City Manager of the City of Menifee, is herewith provided in the sum of $44,400 for the express purpose of the removaVmodifications/reconstruction of the Model Home Complex as detailed below, and which shall be provided prior to and as an integral part of entering into this Agreement. Developer shall notify City of completion of any removal/modification/reconstruction undertaken pursuant to the terms of this Agreement and City shall inspect and review the Model Home Complex within thirty(30) days of receipt of such notification. If the City determines and is satisfied that Developer has removed, amended, modified or reconstructed, or caused the removal, amendment, modification or reconstruction of the individual dwellings within the Model Home Complex to the level and degree necessary to assure to assure that such structures are clearly identifiable as typical homes within the surrounding neighborhood of the dwelling units, any surety, cash deposit or release of bonds in the possession of the City directly associated with the Model Home Complex following such removal, amendment, modification or reconstruction shall be returned to the undersigned within thirty (30) days of the written notification by the property owner or his/her representative of the completion of such work. If the property owner, or a representative, or agent thereof, fails to remove, amend, modify or reconstruct, or cause the removal, amendment, modification or reconstruction of the individual dwellings within the Model Home Complex to the satisfaction of the City, the undersigned Page 2 of 4 Model Home Complex Agreement for Tract No. 31582-1 authorizes the City, its employees, representatives or agents, to enter the property, physically remove, amend, modify or reconstruct, the dwellings within the Model Home Complex to a level and degree necessary to assure compliance with the terms of this Agreement. Any and all costs incurred by the City, including any fees from agencies other than the City, including attorney fees, for said removal, amendment, modification or reconstruction shall be deducted from the surety noted above and provided by the property owner. Any costs incurred by the City in excess of the surety established herein and on file with the City shall be reimbursed to the City within thirty (30) days of the written notification of the completion of such work. Neither a Certificate of Occupancy nor Final Inspection shall be issued or conducted upon the dwellings subject to this Model Home Complex Agreement until such reimbursement has been provided to the City. Any excess surety, cash deposit or release of bonds still in the position of the City following any removal, amendment, modification or reconstruction of the above noted dwellings shall be returned to the undersigned within thirty(30)days of the completion of such work. No Certificate of Occupancy or Final Inspection shall be requested or granted for any individual dwelling subject to this Model Home Complex Agreement prior to the conversion of the dwellings within the Model Home Complex until such time as the dwellings are removed, amended, modified or reconstructed, as identified herein. A temporary Certificate of Occupancy may be issued to allow the furnishing, preparation of work for display, display and use as office space of the Model Homes to potential buyers. The Developer shall indemnify, protect, defend, and hold harmless, the City and any agency or instnimentality thereof, and/or any of its officers, employees and agents from any and all claims, actions, demands, and liabilities arising or alleged to arise as the result of the applicant's performance or failure to perform under this approval, or from any proceedings against or brought against the City, or any agency or instrumentality thereof, or any of their officers, employees and agents, to attack, set aside, void, annul, or seek monetary damages resulting from an action by the City, or any agency or instrumentality thereof, advisory agency, appeal board or legislative body including actions approved by the voters of the City, concerning this approval. In compliance with the above, the Developer shall reimburse the City, its agents, officers or employees for any judgment, court costs and attorney's fees which the City, its agents, officers or employees may be required to pay as a result of such action. The City may, in its sole discretion, participate at its own expense in the defense of any such action, but such participation shall not relieve the undersigned of its obligations under this requirement. This agreement is in reference to the lots, and dwellings constructed thereon, listed below within Tract Map No. 31582-1. Lot No. 3—(APN: 333-631-003)—Plan No. 3404B Lot No.4--(APN: 333-631-004)—Plan No. 2686C Lot No. 5—(APN; 333-631-005)—Plan No. 3105E Lot No, 6—(APN: 333-631-006) — Plan No. 2809A Lot No. 7—(APN: 333-631-007) —Plan No. 2033C Lot No. 8—(APN: 333-631-008)—Plan No. (N/A) (Parking Lot) Lot No. 9—(APN: 333-631-009)—Plan No. (N/A) (Parking Lot) Itemized list of removal, amendment, modification or reconstruction required by this Agreement and associated anticipated costs for surety purposes. Page 3 of 4 Model Home Complex Agreement for Tract No. 31582-1 1. Removalof plantings and irrigation within the driveways of Lot Nos. 8 and 9 of TR 31582-1; $5,000.00 2. Installation of driveway of Lot No.7; $4,000.00 3. Removal of all model home signage;$300.00 4. Removalof parking lot; $10,000.00 5. Clean up of any painted curbs; $100.00 6. Removalof sales office and replacement of storefront windows on garage for standard garage door; $10,000.00 7. Removalof all-other ancillary hems not incidental of a typical single-family resident unit. $15,000.00 Total: $44,400 Deposit(Returnable upon proof of completion of all items listed) This Agreement represents the full and entire agreement of the parties and shall be effective as of the date first set forth above. COMPANY NAME CRY OF ENIF BY BY Jeffrey T70Lrfieng Robert Jo son, City Manager Vice President BY Approved as to Form: 'In� Mark'tomes Julia Hayward ggs '7tttorney Vice President Date: /.;?- 2014 Date:,2014 Page 4 of 4