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2021/04/28 KB Home Coastal, Inc. TR 29835-2 Building AgreementCITY OF MENIFEE Gommunity Development Department Building Agreement for Unrecorded Tract Map (Tract No.29835-2) THE FOLLOWING IS AGREED TO FOR THE CONSIDERATION IN ISSUING BUILDING PERMITS FOR THE DWELLINGS LISTED BELOW, DWELLINGS TO BE BUILT WITHIN A MODEL HOME COMPLEX PRIOR TO THE FORMAL RECORDATION OF TRACT NO. 29835.2 The property is within the City of Menifee ("City") and is owned by KB Home Coastal, lnc. a California Corporation ("Developer"). The property is located at APN(s) 333-070-030 and 333- 070-031 located north of McCall Boulevard, south of Rouse Road, and east of Antelope Road, west of Palomar Road and has a zoning designation of Planned Development Overlay (PDO-1) and a mixed Land Use of 2.1-5 du/ac Residential (2.1-5 R), 5.1-8 du/acre Residential (5.1-8R) and Rural Residential 5 acre minimum (RR5) per the City of Menifee's General Plan. Such zoning and General Plan designation allows the construction of one (1) single family dwelling per recorded lot, with a subordinate second residential unit under the provisions of "Accessory Dwelling Units" as defined by State Law and the City of Menifee Municipal Code. The Developer is proposing to construct two (2) model homes and associated facilities (temporary parking lot, sales office) for the display of home product type and the sale of homes in the as yet unrecorded Tract No. 29835-2. The Developer agrees to remove all of the model homes and associated facilities (including parking lot) within one year (April 8,202'l) of the approval of this agreement if Tract Map No. 29835-2 is not recorded by said date. However, if prior to April 8, 2021, the Developer obtains all City approvals to convert the model homes into single family dwellings with accompanying Accessory Dwelling Units, as permitted by the City of Menifee Municipal Code, the Developer may convert the model homes. A surety, in a form acceptable to the City Manager of the City of Menifee, is herewith provided in the sum of $20,000.00 (amount at $10,000.00 per model home to be removed), which is provided, and Developer authorizes the City of Menifee, its employees, representatives or agents, to enter the property/tract, physically demolish and remove all model homes per recorded lot if Tract Map No. 29835-2 is not recorded on or before Apr'n 8,2021, if Developer has not already caused such removal by this date or Developer has not obtained all appropriate approvals to have the model homes converted into single family dwellings and/or accompanying Accessory Dwelling Units. DocuSign Envelope ID: 48330432-C192-4226-ACC4-3B07513407E0 It is understood and agreed that all physical public infrastructure improvements required for the safe ingress and egress to the model homes 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 homes to the public. Developer shall assure the physical safety of customers/clients that may visit the model homes 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 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. No Certificate of Occupancy shall be requested or granted prior to recordation of the map. A temporary Certificate of Occupancy may be issued to allow the furnishing, preparation work for display and display of the model homes to potential buyers. To the full extent permitted by law, Developer agrees to indemnify, defend, and hold harmless the City, its officers, employees, agents, and volunteers ("lndemnified Parties") from and against any and all actions, either judicial, administrative, arbitration, or regulatory, damages to persons or property, losses, costs, penalties, obligations, errors, omissions, or liabilities whether actual or threatened ("Claims or Liabilities") that may be asserted or claimed by any person, firm, or entity arising out of or in connection with the performance of this Agreement, operations, or activities provided herein of Developer, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Developer is legally liable ("lndemnitors"), or arising from Developer's reckless or willful misconduct, or arising from Developer's or lndemnitors' negligent performance of or failure to perform any term, provision, covenant, or condition of this Agreement, and in connection therewith: Developer shall defend (with counsel selected by City) any action or actions filed in connection with any of said Claims or Liabilities and will pay all costs and expenses, including legal costs and attorneys' fees incurred in connection therewith. Developer will promptly pay any judgment rendered against City, its officers, agents, or employees for any such Claims or Liabilities arising out of or in connection with the performance of or failure to perform under this Agreement, operations or activities of Developer hereunder; and Developer agrees to save and hold City, its officers, agents, and employees harmless therefrom. Any and all costs, including any fees from agencies other than the City, including aftorney fees, for said demolition which exceed the $20,000.00 surety shall be reimbursed by Developer to the City of Menifee within thirty (30) days of such demolition. A Certificate of Occupancy, nor Final lnspection shall be issued or conducted upon the dwelling and Accessory Dwelling Unit 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 for the above noted dwellings shall be returned to Developer within thirty (30) days of the demolition noted. Any surety, cash deposit or release of bonds in the position of the City following the recordation of Tract Map No. 29835-2 shall be returned to Developer within thirty (30) days of the date the City receives written verification of said recordation. DocuSign Envelope ID: 48330432-C192-4226-ACC4-3B07513407E0 ln the event City, its officers, agents, or employees is made a party to any action or proceeding filed or prosecuted against Developer for such damages or other claims arising out of or in connection with lhe performance of or failure to perform the Agreement, operation or activities of Developer hereunder, Developer agrees to pay to City, its officers, agents, or employees, any and all costs and expenses incurred by City, its officers, agents, or employees in such action or proceeding, including but not limited to, legal costs and attorneys'fees. This Agreement shall be binding upon the heirs, executors, administrators, successors, and assigns of the Parties. This Agreement is in reference to the lots listed below within the yet to be recorded Tract 29835- 2. Lot No. 5 - Lot No. 4 - Lot No. 3 - Plan 3C Plan 28 Plan No. (N/A) Parking Lot KB Home Coastal, lnc. ("Develope/') Dated:t2 202 |By (Signature for President or other Category 1 Officer) 5<"1-f (Print Name) ?. For,^:C*vp (Title) oDn DocuSign Envelope ID: 48330432-C192-4226-ACC4-3B07513407E0 Dated: CIry OF MENIFEE ("City") Dated Approved as to Form: LoLl By >l By (Signature for Secretary or other Category 2 Officer) v<rrrl€lI L",,1[r ov^S (Print Name) D,r Fa'.r,ovo Ptann, ", (Title) Cheryl Kitze Community Development Director Jeffrey T. Melching City Attorney DocuSign Envelope ID: 48330432-C192-4226-ACC4-3B07513407E0