2019/09/30 KB Home Coastal, Inc. Model Home Complex TR Map 29835-1CITY OF MENIFEE
Planning Division
Community Development Department
Model Home Complex Agreement for
Tract Map No. 29835-1
This agreement ("Agreement") is made this ?dlfr aav otfuWzo19, by and between the
City of Menifee ("City") and KB Home Costal lnc., a California Corporation, ("Develope/')
(collectively the "Parties") in exchange for good and valuable consideration receipt of which is
hereby acknowledged.
The City agrees to issue Building Permits for a model home complex and associated facilities (the
"Model Home Complex") as set forth on Exhibit L of PP2O18-294 to this Agreement on property
located as Lot 41 and Lot 42 (Models) and Lot 40 (Temporary Parking) within Salerno within the
Underwood Development (APNS 333-070-036), within Tract No. 29835-1 (the "Tract" or "Tract
Map") upon completion of the terms and conditions set forth in this Agreement.
The Tract is presently zoned Planned Residential (R-4). The Property's land use designation
under the General Plan is 5.1-8 du/ac Residential (2.1-5 R) and Rural Residential 'l dwelling unity
per Acre (RR5). 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. Developer has
requested approval to construct two (2) model homes and associated facilities within the lvlodel
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 Agreement, for a period not to
exceed three (3) years unless, extended in writing as provided herein and sub.lect 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 assure 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 as new home
'MENTFEE
Model Home Complex Agreement for Tract No. 29835-1
owners and all construction shall be in compliance with all state and federal regulations, including
without limitation, compliance with the Americans with Disabilities Act.
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 Iimitation, 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 wilhin 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 as detailed below for the express purpose of the removal/modifications/reconstruction
of the Model Home Complex as in this Agreement, shall be provided prior to and as an integral
part of entering into this Agreement. Developer shall notify the City of completion of any
removal/modification/reconstruction undertaken pursuant to the terms of this Agreement and the
City shall inspect and review the Model Home Complex within thirty (30) days of receipt of such
notification. lf 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 that such structures are clearly identifiable as typical homes within the surrounding
neighborhood ofthe dwelling units, any surety, cash deposit or release ofbonds 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.
lf Developer, 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 authorizes the City, its
employees, representatives or agents, to enter the tract, physically remove, amend, modify or
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 assure 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 dwelling sold by Developer
within Tract No. 29835-1, 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 lhe
Sales Office to a standard garage, infill any access ways within or through 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 otheMise mutually agreed in
writing by and between the City and Developer. ln 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 e)dended by mutual agreement of the Parties in writing.
Page 2 of 5
Model Home Complex Agreement for Tract No. 29835-1
reconslruct, 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 noled above and
provided by Developer. Any costs incurred by the City in excess of the surety established herein
and on file with the City shall be reimbursed by Developer to the City within thirty (30) days of the
written notification of the completion of such work. Neither a Certificate of Occupancy nor Final
lnspection 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 lnspection 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.
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 ("lndemnors"), or arising from Developer's
reckless or willful misconduct, or arising from Developer's or lndemnors' 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 iudgment 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.
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 the performance of or failure to perform the Agreement, operation or activities of
Developer hereunder, Developer agrees to pay to City, its offlcers, agents, or employees, any
and all costs and expenses incurred by Cily, 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.
Page 3 of 5
This Agreement is in reference to the lots, and dwellings constructed thereon, listed below within
Tract No. 29835-1.
Lot No. 42 - Plan 3CR
Lot No. 41 - Plan 2A
Lot No. 40 - Plan No. (N/A) Temporary Parking
Itemized list of removal, amendment, modification or reconstruclion required by this Agreement
and associated anticipated costs for surety purposes.
1. Remove Plans/lrrigation $2,500.002. Driveways $2,000.00
3. Removal of all model home signage; $350.004. Removal of parking lots; $5,854.80
5. Clean up ofany painted curbs; $4006. Removal of sales office; $10,000.00 (per sales office)
7. Replace garage door $'1,666.00
8. Removal Miscellaneous ltems $6,000.00
9. Contingency, $2,877 .OB
Total: $31,647.88 Deposit (Returnable upon proof of completion of all items listed)
Page 4 of 5
Model Home Complex Agreement for Tract No. 29835-1
Model Home Complex Agreement for Tract No. 29835-1
This Agreement represents the full and entire agreement of the parties and shall be
effective as of the date first set forth above.
KB Home Costal lnc.
("Developer")
\1 By
(Signature for P resr en other Category 1 Officer)
V.r^rallull,or^r
(Print Name)
i)r,,.'lN
(Title)
By
For".ror,^> Pln^n i*,2
(Signature for Secretary or other Category 2 Officer)
(Print Name)
(Title)
(Title)
CITY OF IVENIFEE
("City")
By I
App as to Form
J T ching
City Attorney
ryl Kitze
Commun ent Director
Page 5 of 5
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