ADMINISTRATIVE REPORT
MEETING DATE: April 23, 2025 AGENDA CATEGORY: Consent – Agreements TO: Honorable Mayor and City Council
FROM: Zachary Meyer, Public Works Director
DATE: April 7, 2025
SUBJECT: Final Map and agreements with Palmetto Estates, LLC for Tract 7186, Phase 2.
Developer is requesting to enter into an Improvement Agreement and a Restrictive Covenant and Bond Agreement in order for its final map for Tract 7186 Phase 2 located west of Allen Road and north of Olive Drive be approved and recorded (Ward 4).
RECOMMENDATION:
Staff recommends approval of the final map and agreements.
BACKGROUND:
Per Bakersfield Municipal Code Chapter 16, “Subdivisions," Tentative Tract) Map 7186 was conditioned by the Planning Commission to require the construction of certain improvements within and adjacent to the tentative tract map, which include, but are not limited to, streets, sewer, walls, and storm drain on or adjacent to the property being subdivided. If these improvements are not completed when the developer, Palmetto Estates, LLC (“Developer”) wishes to record a portion of the tentative tract map (through a final map), the developer must execute an improvement agreement through which the developer agrees to complete the construction of the improvements within one year of the date the agreement is executed. The City Engineer may extend the time to comple te the improvements upon request. Certificates of Occupancy or final inspections will not be allowed for any building within the bounds of the final map until these required improvements are completed and accepted by the City of Bakersfield and a Notice of Completion for the improvements is recorded.
The Public Works Department has completed the review of the final map submitted by the Developer and is recommending that the Council approve the map. In addition, the Improvement Agreement outlining the De veloper’s responsibilities for onsite infrastructure improvements, which typically accompanies approval of the final map, is also included and recommended for approval.
While an Improvement Agreement is part of the normal course and process of City Counci l approving a Final Map, Tract 7186, Phase 2 presents unique circumstances that require an additional Restrictive Covenant and Bond Agreement. When the tentative map for Tract 7186 was initially approved in 2009, both Tract 7186 and Tract 7093 were entire ly owned by the same entity, V. Lions Holdings, LLC (“Prior Owner”). At that time, the tracts were designed to be separated by King Ranch Drive, with Phase 2 of Tract 7186 located on the north side and Phase 1 of Tract 7093 on the south side. Although both tracts share King Ranch Drive, the condition of approval requiring construction of King Ranch Drive was only imposed on Tract 7093, Phase 1, even though Lots 1–6 of Tract 7186, Phase 2 also face said street.
Subsequently, the Prior Owner sold certain phases of Tracts 7186 and 7093 to different developers. As a result, the land designated as Phases 1, 2, and 4 of Tract 7093 is now owned by BN Bakersfield 1, LP. Under the conditions of approval for Tract 7093 and the City of Bakersfield (“CITY”)-approved improvement plans
submitted by the Prior Owner, the obligation to construct King Ranch Drive applies only to Tract 7093, Phase 1.
Currently, Developer is ready to record its final map. However, Lots 1–6 lack access because BN Bakersfield 1, LP has not yet constructed the street, as required under the conditions of approval for Tract 7093, Phase
1. For this reason, City is willing to allow the recordation of the map for Tract 7186, Phase 2 provided that a restrictive covenant is recorded on each of Lots 1–6. These covenants will prohibit the sale, construction, and development of these lots until King Ranch Drive is completed to the City’s satisfaction and meets all public access requirements. The only exception is that Lots 1 –6 can be sold to either to the Prior Owner or to the adjoining developer, BN Bakersfield 1, LLC (or its successor), but no construction or development may occur until the road is built in compliance with CITY’s approval conditions.
To facilitate this arrangement, the Developer is entering into a Restrictive Covenant and Bond Agreement with the City, that includes the restrictive covenants for each of Lots 1-6 and has provided bonds for each of the said lots. These bonds will not be released until King Ranch Drive is fully constructed as conditioned by Tract 7093 Phase 1 . If approved, both the Improvement and Restrictive Covenant and Bond Agreements will be recorded concurrently.
FISCAL IMPACT:
There will be no financial impact to the City. Proposed street improvements are being bonded for and included within the proposed improvement agreement.
COUNCIL GOAL:
The proposed map and agreement support City Council Goal # 3 Reliable Infrastructure.
ATTACHMENTS:
1. Tract 7186-2 – Final Map
2. Tract 7186-2 – Improvement Agreement
3. Tract 7186-2 – Restrictive Covenant and Bond Agreement
4. Tract 7186 – Vicinity Map
5. Tract 7186-2 - Covenants