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2013/09/24 D.R. Horton Los Angeles Holding Company, Inc. Model Home Complex TR 28206-1 CITY OF MENIFEE Planning Division Community Development Department Model Home Complex Agreement for Tract Map No. 28206-1 This agreement ("Agreement") is made this 24`" day of September, 2013, by and between the City of Menifee ("City") and D.R. Horton Los Angeles Holding Company Inc., ("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 (APN: 372-502-005, -006, and -007) (31874 Rouge Lane and 28283 and 28297 Sunglow Run Lane, respectively), known as Lot Nos. 55, 56 and 57 of Tract No. 28206-1 (the "Tract" or"Tract Map"), respectively, upon completion of the terms and conditions set forth in this Agreement. The Tract is presently zoned One Family Dwellings (R-1), with a General Plan Designation of Medium Density Residential (MDR), within the City of Menifee, and is the property of D.R. Horton. 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 two (2) 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 herein 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. 28206-1 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. 28206-1, 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 $36,900 for the express purpose of the removal/modifications/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. 28206-1 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 instrumentality 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 No. 28206-1. Lot No. 55—(31874 Rouge Lane)—Plan No. (N/A) Parking Lot Lot No. 56— (28283 Sunglow Run Lane)— Plan No. 3.3114AR Lot No. 57— (28297 Sunglow Run Lane)—Plan No. 1.2583CR Itemized list of removal, amendment, modification or reconstruction required by this Agreement and associated anticipated costs for surety purposes. 1. Removal of plantings and irrigation within the driveways of the 2 remaining units; $2,500.00 2. Installation of driveways; $4,000.00 Page 3 of 4 Model Home Complex Agreement for Tract No. 28206-1 3. Removal of all model home signage; $300.00 4. Removal of parking lots; $5,000.00 5. Clean up of any painted curbs; $100.00 6. Removal of sales office, Replacement of storefront windows on garage for standard garage door; $10,000.00 7. Removal of all other ancillary items not incidental of a typical single-family resident unit. $15,000.00 Total: $36,900 Deposit(Returnable upon proof of completion of all items listed) This Agreement represents the full and entire agreement of the parties and shall be effective as of the date first set forth above. COMPANY NAME I n , CITY OF ME IFEE BY �L� By Barbara M. Murakami, Assistant Vice President Robert hnson, City Manager D.R. Horton Los Angeles Holding Company Inc. BY Approved as to Form: Diane Lyttle, Secretary J e ayward iggs, City Attorney D.R. Horton Los Angeles Holding Company Inc. Date: L� f 2013 Date 2013 Page 4 of 4 ACKNOWLEDGMENT State of California County of Riverside ) on October 1, 2013 before me, Jennifer L. O'Leary, Notary Public (insert name and title of the officer) personally appeared Barbara M. Murakami and Diane Lyttle who proved to me on the basis of satisfactory evidence to be the person(s)whose name(s)Ware subscribed to the within instrument and acknowledged to me that 4e/slae/they executed the same in k s44edtheir authorized capacity(ies), and that by bisdger/their signature(s)on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ] JENNI�FER L. O LEARY r 3 Commission# 1001923 Notary Public-California - Riverside County M Comm.Ex Tres Mar 23,2014 Si at a (Seal) SUBDIVISION BOND Bond No.CMS269765 KNOW ALL MEN BY THESE PRESENTS,that we D.R. Horton Los Angeles Holding Company Inc. 2280 Wardlow Circle, Suite 100 Corona CA 92880-1794 as Principal,and RLI Insurance Companv authorized to do business in the State of CA as Surety,are held and firmly bound unto City of Menifee as Obligee,in the penal sum of Thirty Six Thousand Nine Hundred Dollars and No Cents {$ 36,900.00 j DOLLARS,lawful money of the united States of America, for the payment of which well and truly to be made, we bind ourselves, our heirs, executors, administrators,successors and assigns,jointly and severally,firmly by these presents. WHEREAS, D.R. Horton Los Angeles Holding Company Inc. has agreed to construct in Mosaic the following improvements: Permit for Model Home Complex-Tract No. 28206-1 - Removal modification & reconstruction NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, that if the said Principal shall construct, or have constructed, the improvements herein described and shall save the Obligee harmless from any loss, cast or damage by reason of its failure to complete said work, then this obligation shall be null and void; otherwise to remain in full force and effect. Signed,scaled and dated this 26th day of September 2013 D.R. Horton kosAngeles Holding Company, Inc. Principal By: RLI In Mnce C pany By: Anett Cardinale Attorney-in-Fact 53684fGEEF 2f4a C/O WILLIS OF FLORIDA 0000 BAYPORT DRIVE,#300 TAMPA,FL 33607 INCUIMES:(313)281-2m California AlF.PurposeAelmowledgesrnent State of Califo 'a} County of uj yyy��� p///yyy Z - On (/L � ® / /A1 before me, D!/ r L . G a Notary Public personally appeared �QJ__,Q�__// �r�'/`'�/77/ JENNIIFER L. O'LEARY who proved to me on the basis of satisfactory evidence COmmiss100 S 1881923 to be the persono whose name(4 Wave subscribed to otary Public-California z the within instrument and acknowledged to me that 4ke/ Riverside County she/they^executed the sane in his/her/their authorized M�N Comm.Ex Tres Mar 23,2014 car aci res and that b his/her/their signature(s) on es ar� P tyC ), y the instrument the person(s), or the entity upon behalf -�;uT'-,;° JENNIFER L,O'LEARY r of which the person(s)acted,executed the instrument. Commisslon N 1881923 s[ 1 certify under PENALTY OF PER.iURY under the laws w Notary Public.California of the State of California that the foregoing paragraph Riverside County is true and correct. �MxC+o�mm�Ex Ires Mar 23,2014 WL SSmy hand and of '4Iseal. Notary Public Seal totaiyic Sign [ re OPTIONAL Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s)Other than Named Above: Capacity(ies) Claimed by Signer(s) Q Individual FA Individual Corporate Officer: U Corporate Officer: CY Partner- CI Urmited❑General ❑Partner- CI Lhnited❑General Ci Attorney-in-.Fact ❑Attorney-m-Fact ❑Trustee ❑Trustee U Guardian or Conservator Q Guardian or Conservator ❑Other: _ D Other: Signer is Representing: Signer is Representing:_- ACKNOWLEDGEMENT BY SURETY STATE OF FLORIDA COUNTY OF HILLSBOROUGH I SS. On this 26th day of September, 2013 before me, personally came Anett Cardinale, who is personally known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed the within Instrument as Attorney-In-Fact on behalf of RLI Insurance Company, and acknowledged to me that he/she executed the within instrument on behalf of said surety company and was duly authorized to do. In witness whereof, I have signed and affixed my official seal on the date in this certificate first above written. Signature �ii' < << - .r,C( ✓i���� 'r` < < '� r� Marianella Barnola MARIANELLABARNOLA ' Commission#EE 170165 Expires May 5,2016 :,pF n4•° BontleJ Thm imy Fain lnsuance E0638..... This area for Official Notarial Seal RLI® ALfSarety POWER OF ATTORNEY P.O.Box 3967 1 Peoria,IL 61612-3967 Phone:(800)645-2402 1 Fax:(309)689-2036 RLI Insurance Company www.rlicotp.com Know All Men by These Presents: That this Power of Attorney is not valid or in effect unless attached to the bond which it authorizes executed, but may be detached by the approving officer if desired. That RLI Insurance Company,an Illinois corporation,does hereby make,constitute and appoint: David H.Carr.Anett Cardinale,Carol H.Hermes,Margaret A.Ginem Linda Horn Eileen C Heard jointly or severally in the City of Tampa State of Florida its true and lawful Agent and Attorney in Fact, with full power and authority hereby conferred, to sign, execute, acknowledge and deliver for and on its behalf as Surety, the following described bond. Any and all bonds provided the bond penalty does not exceed Twenty Five Million Dollars($25,000,000.00). The acknowledgment and execution of such bond by the said Attorney in Fact shall be as binding upon this Company as if such bond had been executed and acknowledged by the regularly elected officers of this Company. The RLI Insurance Company further certifies that the following is a true and exact copy of the Resolution adopted by the Board of Directors of RLI Insurance Company,and now in force to-wit: "All bonds,policies,undertakings,Powers of Attorney or other obligations of the corporation shall be executed in the corporate name of the Company by the President,Secretary,any Assistant Secretary,Treasurer,or any Vice President,or by such other officers as the Board of Directors may authorize. The President, any Vice President, Secretary, any Assistant Secretary, or the Treasurer may appoint Attorneys in Fact or Agents who shall have authority to issue bonds,policies or undertakings in the name of the Company. The corporate seal is not necessary for the validity of any bonds,policies,undertakings,Powers of Attorney or other obligations of the corporation. The signature of any such officer and the corporate seal may be printed by facsimile." IN WITNESS WHEREOF, the RLI Insurance Company has caused these presents to be executed by its Vice President with its corporate seal affixed this 17th day of June 2013 riceO'• RLI Insurance Company COPOMTp;3t SEAL ' ' By: Roy C.Di Vice President State of Illinois ) I.NO�°;0°�"",,,` } County of Peoria J SS CERTIFICATE On this 17th day of June 2013 before me, a Notary Public, I, the undersigned officer of RLI Insurance Company, a stock personally appeared Roy C. Die . who being by me duly swom, corporation of the State of Illinois, do hereby certify that the attached acknowledged that he signed the above Power of Attorney as the aforesaid Power of Attorney is in full force and effect and is irrevocable; and officer of the RLI Insurance Company and acknowledged said instrument to furthermore, that the Resolution of the Company as set forth in the be the voluntary act and deed of said corporation. Power of Attorney, is now in force. In testimony whereof, I have hereunto set my hand and the seal of the RLI Insurance Company this 26th day of September 2013 By: Jacque Le M.Bockler Notary Public RLI Insurance Company ff "OFFICIAL SEAL"ACOUELINE M.BOCKLER By:oaaiasioN E%PIRES OYI&1A Roy C.Di Vice President 09359150202/2 A0058707