AGENDA REPORT
Meeting Date: November 21, 2023
Item Number:
To: Honorable Mayor & City Council
From: Logan Phillippo, Real Property Development Manager Subject: RESOLUTION OF THE COUNCIL OF THE CITY OF BEVERLY HILLS
AUTHORIZING THE CITY MANAGER TO COVENANT AND AGREE
TO HOLD REAL PROPERTY AT 1945 SOUTH LA CIENEGA
BOULEVARD IN LOS ANGELES AND 1959 SOUTH LA CIENEGA
BOULEVARD IN LOS ANGELES AS ONE PARCEL AND MAKING A
DETERMINATION OF EXEMPTION FROM THE CALIFORNIA
ENVIRONMENTAL QUALITY ACT
Attachment: 1. Resolution
RECOMMENDATION
Staff recommends City Council approve a Resolution of the Council of the City of Beverly Hills Authorizing the City Manager to Covenant and Agree to Hold Real Property at 1945 South La Cienega Boulevard in Los Angeles and 1959 South La Cienega Boulevard in Los Angeles as one parcel.
INTRODUCTION
The subject resolution authorizes the City Manager to approve and sign a Covenant and Agreement to Hold Property as One Parcel (“Lot Tie Covenant”) in connection with City of Los Angeles permit requirements for the future demolition of a two-story building located at 1959 S. La Cienega Blvd, Los Angeles, California 90034.
DISCUSSION
In February 2017, the City acquired four parcels on South La Cienega Boulevard in Los Angeles in order to construct a water well. At the time of the acquisition, the property consisted of three buildings: (i) a single-family residential structure that was most recently used as an auxiliary office space by former owners, (ii) an approximately 16,000 square feet two-story office building, and (iii) a smaller approximately 6,000 square feet building that former owners had converted to office use from prior residential and/or motel uses.
Meeting Date: November 21, 2023
The single-family structure was demolished and the water well, which is now in operation, was constructed in its place. The larger office building was leased to an office tenant and renovated. The smaller office building with an occupant load of 25-40 persons depending on use is scheduled for demolition to provide adequate space for (i) future water infrastructure or well reconstruction projects and (ii) additional parking to serve the larger office building when not in use for water infrastructure purposes. Funds for the project were allocated in the Fiscal Year 2022-2023 Capital Improvement Budget.
Although assembled and owned by the City of Beverly Hills, the property consists of four distinct parcels, as described below.
Aerial View of Parcels
ID Parcel Address Description
A 4302-033-270 1945 S. La Cienega Two story building leased to office tenant B 4302-033-271 C 4302-033-272 1959 S. La Cienega Vacant office building to be demolished D 4302-033-273 1956 Chariton Water well LCW-1
Because the City is removing all electrical service to the existing building on Parcel C, electricity serving lights and other ancillary items associated with the parking area on Parcel C will be drawn from electrical service provided to Parcels A and B. City of Los Angeles requires the Lot Tie Covenant to tie Parcels A and B to Parcel C so that Parcel C will, even if later sold, have access to electrical service on Parcels A and B.
Meeting Date: November 21, 2023
Parcels A and B are already required to be held as one parcel per a recorded agreement dated May 8, 2000 (many years prior to the City’s acquisition of the property). The Lot Tie Covenant as required by City of Los Angeles will tie Parcels A, B, and C.
The Lot Tie Covenant will run with each of the three parcels and shall continue in effect until released by the authority of the City of Los Angeles upon submittal of request, applicable fees, and evidence that the Lot Tie Covenant is no longer required by law.
Given (i) the permanence of the existing water well, (ii) the need to use the existing parking areas on Parcels A, B, and C for future water infrastructure or water well LCW-1 reconstruction purposes, and (iii) the ability to “untie” the lots if the building and its infrastructure were to be reconfigured in the future in accordance with requirements set forth by City of Los Angeles, staff recommends proceeding with approval of the Lot Tie Covenant in order to proceed with the demolition of the smaller office building.
ENVIRONMENTAL REVIEW
Approval of the Lot Tie Covenant was assessed in accordance with the authority and criteria contained in the California Environmental Quality Act (CEQA), the State CEQA Guidelines and the environmental regulations of the City. Based on this assessment, the approval appears to qualify for a Class 1 Categorical Exemption (Existing Facilities) pursuant to Section 15301(I)(3) of Title 14 of the California Code of Regulations, which states that the exemption is applicable for a project involving negligible or no expansion of use, including the demolition of small commercial structure designed for an occupant load of 30 persons or less. This exemption applies to the demolition of up to three such commercial buildings in urbanized areas such as the City, thus the exemption extends to demolition projects of one, two or three commercial structures in an urbanized area provided that the cumulative occupant load does not exceed 90 persons1. As such, staff believes this exemption applies because the smaller office building scheduled to be demolished has an occupant load of 25-40 persons depending on use.
Because the City is reducing the amount of building area and providing parking as ancillary to the remaining building, the additional parking appears to qualify as Class 1 Categorical Exemption (Existing Facilities), which states “Class 1 consists of operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.”
Finally, Section 15061(b)(3) of the CEQA Guidelines (the common sense exemption) also appears to apply as it can be “seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.” There are no concrete 1 This interpretation is consistent with the court’s interpretation of CEQA Guidelines Section 15303(c), where the court concluded that “[t]he most plausible reading of Guidelines section 15303(c)…is that a commercial project to be built in an urbanized area may be found to be exempt if it involves the construction of one, two, three, or four commercial buildings on a parcel zoned for such use, so long as the total floor area of the building(s) does not exceed 10,000 square feet. [I]t does not make sense to interpret the exemption as applicable to the construction of four 2,500-square-foot building on a given parcel, but not to one building of 10,000 square feet or less on the same parcel.” Fairbanks v. City of Mill Valley (1999) 75 Cal.App.4th 1243, 1258; see also Walters v. City of Redondo Beach (2016), 1 Cal.App.5th 809, 818.
Meeting Date: November 21, 2023
plans for changes of use of the properties at this time, and therefore it can be seen with certainty that the Lot Tie Covenant will result in no significant effects on the environment.
Based on the foregoing, staff recommends that the City Council find that the project is exempt from CEQA under Class 1 Categorical Exemption and the common sense exemption.
FISCAL IMPACT
There is no fiscal impact associated with the resolution. The project, including any and all permit fees, have been budgeted as part of Capital Improvement Program (CIP) 00349.
Ryan Gohlich
Assistant City Manager
Approved By
Attachment 1
1 RESOLUTION NO. 23-RRESOLUTION OF THE COUNCIL OF THE CITY OF BEVERLY HILLS
AUTHORIZING THE CITY MANAGER TO COVENANT AND AGREE TO
HOLD REAL PROPERTY AT 1945 SOUTH LA CIENEGA BOULEVARD IN LOS ANGELES AND 1959 SOUTH LA CIENEGA BOULEVARD IN LOS
ANGELES AS ONE PARCEL AND MAKING A DETERMINATION OF
EXEMPTION FROM THE CALIFORNIA ENVIRONMENTAL QUALITY
ACT
WHEREAS, the City of Beverly Hills (“City”) is the owner of real property located at 1945-1959 South La Cienega Boulevard in the City of Los Angeles, California 90034 as more particularly described in Exhibit A; and
WHEREAS, the City requires permits from the City of Los Angeles to complete a project to demolish a two-story building with an occupant load of 25-40 persons depending on use located on a portion of the Property, which will provide adequate space for (i) future water infrastructure or well reconstruction projects and (ii) additional parking (collectively, the “Project”).
NOW, THEREFORE, THE CITY COUNCIL HEREBY RESOLVES AS FOLLOWS:
Section 1. The above recitals are hereby declared to be true and correct and are incorporated herein, including that the City is the owner of the real property located at 1945-1959 La Cienega Boulevard in the City of Los Angeles, California 90034 as more particularly described in Exhibit A (the “Property”).
Section 2. The City Manager is authorized to approve and sign the “Covenant and Agreement to Hold Property as One Parcel”, affecting the Property described in Section 1, on behalf of the City, in substantially the form attached in Exhibit DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 2 B, with such changes and additions as may be required by the City of Los Angeles to issue permits for the Project.
Section 3. This Resolution has been reviewed with respect to the applicability of the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) ("CEQA"). Class 1 Categorical Exemption (Existing Facilities) pursuant to Section 15301(l)(3) of Title 14 of the California Code of Regulations states that the exemption is applicable for a project involving negligible or no expansion of use, including the demolition of a small commercial structure designed for an occupant load of 30 persons or less. This exemption applies to the demolition of up to three such commercial buildings in urbanized areas such as the City, thus the exemption extends to demolition projects of one, two, or three commercial structures in an urbanized area provided that the cumulative occupant load does not exceed 90 persons. The City Council hereby finds that the Project qualifies for this exemption because the smaller office building scheduled to be demolished has an occupant load of 25-40 persons depending on use. The City Council also hereby finds that because the City is reducing the amount of building area and providing parking as ancillary to the remaining building, the additional parking falls within a Class 1 Categorical Exemption (Existing Facilities) which states “Class 1 consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.” Finally, Section 15061 (b)(3) of the CEQA Guidelines (common sense exemption) also applies, as it can be "seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment". The City Council hereby finds that activity in question qualifies for DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 3 exemption from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the Guidelines (common sense exemption) because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. There are no concrete plans for changes of use of the properties at this time, and therefore it can be seen with certainty that the Lot Tie Covenant will result in no significant effects on the environment. If in the future there are plans to undertake a project involving the property, that future project will be subject to CEQA review and will be reviewed as appropriate.
Section 3. The City Clerk is directed to file a Notice of Exemption pursuant to CEQA Guidelines Section 15062.
Section 4. The City Clerk shall certify to the adoption of this resolution and shall cause this resolution and their certification to be entered in the Book of Resolutions of the City.
Adopted:
JULIAN A. GOLD, M.D.
Mayor of the City of Beverly Hills
ATTEST:
(SEAL)
HUMA AHMED
City Clerk
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
______________________________ _____________________________ LAURENCE S. WIENER NANCY HUNT-COFFEY
City Attorney City Manager
DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 4 Exhibit A
Description of the Land
All that certain real property situated in the County of Los Angeles, State of California, described as follows:
Parcel A:
That portion of Lot 3 of The Arnaz Property, in the Rancho Rincon De Los Bueyes, in the City of Los Angeles, County of Los Angeles, State of California, as per map recorded in Book 2324 Pages 91 and 93 inclusive of Deeds, in the office of the County Recorder of said County, described as follows:
Beginning at a point in the Westerly line of La Cienega Boulevard, 100 feet wide, as described in the deed to the City of Los Angeles recorded in Book 2889 Page 336 Official Records, distant Southerly thereon 390 feet from the intersection of said Westerly line with the radial line passing through the Southerly terminus of a curve in the Westerly line of said La Cienega Boulevard, described in said deed to the City of Los Angeles, as concave to the West, having a radius of 467.23 feet, and an arc length of 399.65 feet, thence along the Westerly line of said La Cienega Boulevard, South 12° 44' 31" West 50 feet to the Northeasterly corner of the land described in the deed to Walter H. Lowe and wife, recorded in Book 17312 Page 104 Official Records; thence North 77° 08' 53" West along the Northerly line of the land described in the last mentioned deed, 120 feet, more or less to the Easterly line of Tract No. 1250, as per map recorded in Book 18 Pages 46 and 47 of Maps, in the office of the County Recorder of said County; thence Northerly along the Easterly line of said Tract No 1250, to a line which bears North 77° 08' 53" West from the point of beginning, thence South 77° 08' 53" East, 120 feet, more or less, to the point of beginning.
EXCEPT therefrom, all oil, petroleum, gas, asphaltum, and other hydrocarbon substances contained in, on, within and under said land, but without right of entry, as reserved in the deed from Marblehead Land Company, recorded in Book 17709 Page 30 Official Records.
Assessor's Parcel Number: 4302-033-270
Parcel B:
That portion of Lot 3 of The Arnaz Property, in the Rancho Rincon De Los Bueyes, in the City of Los Angeles, County of Los Angeles, State of California, as per map recorded in Book 2324 Pages 91 to 93 inclusive of Deeds, included within the following described boundary lines:
Beginning at a point in the Westerly line of La Cienega Boulevard, 100 feet wide, as described in the deed to the City of Los Angeles, recorded in Book 2889 Page 336 DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 5 Official Records, distant Southerly thereon 440 feet from the Southerly terminus of a curve in the Westerly line of said La Cienega Boulevard, concave to the West, having a radius of 467.23 feet, and a length of 399.65 feet, thence South 12° 44' 31" West, along the said Westerly line of La Cienega Boulevard, 100 feet, thence North 77° 08' 53" West 120 feet, more or less, to the Easterly line of Tract No. 1250, County of Los Angeles, State of California, as per map recorded in Book 18 Pages 46 and 47 of Maps, thence Northerly along the Easterly line of said Tract No 1250, 100 feet more or less to a line which bears North 77° 08' 53" West from the point of beginning, thence South 77° 08' 53" East, 120 feet, more or less, to the point of beginning.
EXCEPT therefrom, all oil, petroleum, asphaltum, gas, and other hydrocarbon substances contained in, on, within and under said land, but without right of entry, as reserved in the deed from Marblehead Land Company, recorded in Book 17312 Page 104 Official Records.
Assessor's Parcel Number: 4302-033-271
Parcel C:
That portion of Lot 3 of the Arnaz property, in the Rancho Rincon de Los Bueyes, in the city of Los Angeles, as per map recorded in Book 2324, Pages 91 to 93 inclusive of Deeds, in the office of the County Recorder of said county. Beginning at a point in the Westerly line of La Cienega boulevard, 100 feet wide, as described in the deed to the city of Los Angeles, recorded in Book 2889, Page 336, Official Records of said county, distant southerly thereon 540 feet from the Southerly terminus of a curve in the Westerly line of said La Cienega Boulevard, concave to the West and having a radius of 467.23 feet and a length of 339.65 feet; said point of beginning being the Southeasterly corner of the land described in the deed to Walter H. Lowe and wife, recorded in book 17312 page 104, official records; thence South 12° 44' 31" West, along the said Westerly line of La Cienega boulevard, 50 feet; thence North 77° 08' 55" West, 120 feet, more or less, to the Easterly line of Tract No. 1250, as per map recorded in Book 18, Pages 46 and 47 of Maps, in the office of the County Recorder of said County; thence Northerly along the Easterly line of said Tract No. 1250, 50 feet, more or less, to the Southwesterly corner of the land described in said deed recorded in book 17312 page 104, official records; thence South 77° 08' 53" East, along the Southerly line of the land described in the last mentioned deed to the point of beginning.
EXCEPT therefrom all oil, petroleum, asphaltum, gas and other hydrocarbon substances contained in, on within and under said land, but without right of entry as reserved in the deed from Marblehead Land Company, recorded in book 17435 page 267, official records.
Assessor's parcel number: 4302-033-272
DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 6 Exhibit B
Form of Covenant and Agreement to Hold Property as one Parcel DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 PC/STR/Aff.22 (9/22/2015) www.ladbs.org
Recorded at the request of and mail to:
_______________________________________________________ (Name)
_______________________________________________________ (Address)
Date of Recording: SPACE ABOVE THIS LINE FOR RECORDER’S USE
COVENANT AND AGREEMENT
TO HOLD PROPERTY AS ONE PARCEL
(Pre-printed text shall not be changed except when done by an authorized Building and Safety employee.) The undersigned hereby certify that we are the owners of real property located in the City of Los Angeles, State of California that is legally described (as follows) (on the attached exhibit(s) ____________________________________):
LOT(S) _________________________________ BLOCK _________________ TRACT ____________________________________________________ LOT(S) _________________________________ BLOCK _________________ TRACT ____________________________________________________ LOT(S) _________________________________ BLOCK _________________ TRACT ____________________________________________________ as recorded in Book_________________, Page____________________, Records of Los Angeles County.
This property is located at and is known by the following ADDRESS:
__________________________________________________________________________________________________________________ We hereby agree and covenant with the City of Los Angeles that the above legally describe real property shall be held as one parcel and no portion shall be sold separately.
This covenant and agreement is executed for the purpose of creating a single building site and) ______________________________________________ _______________________________________________________________________________________________ as regulated by Section 12.03 (and)___________________________________ of the Los Angeles Municipal Code. This covenant and agreement shall run with all of the above described land and shall be binding upon ourselves, and future owners, encumbrances, their successors, heirs or assignees and shall continue in effect until released by the authority of the Superintendent of Building of the City of Los Angeles upon submittal of request, applicable fees and evidence that this Covenant and Agreement is no longer required by law.
CARTOGRAPHER’S USE ONLY
Owner’s Name(s) __________________________________ ___________________________________________ (Please type or print) (Please type or print)
Signature of Owner’s Name(s)
________________________________________________________________________________________ (sign) Two Officers’ Signatures
Required for Corporations ___________________________________________________________________ (sign) Name of Corporation ____________________________________________________________________________ Dated this_____________________ day of _______________________________________ 20 __________
SIGNATURES MUST BE NOTARIZED
(Notary acknowledgement must be attached)
___________________________________________________________________________________________________________________________________________ FOR DEPARTMENT USE ONLY:
MUST BE APPROVED BY the Dept. of Building and Safety prior to recording Covenant for City Department __________________________ To be completed for City-owned property only.
APPROVED BY: __________________________________ Date: ________________________ DocuSign Envelope ID: 771FF5E8-DD8A-43D5-A00C-6483D7EC5628 Certificate Of Completion
Envelope Id: 771FF5E8DD8A43D5A00C6483D7EC5628 Status: Sent Subject: Complete with DocuSign: 231121 - 1945 La Cienega Lot Tie Reso.pdf Source Envelope:
Document Pages: 7 Signatures: 1 Envelope Originator:
Certificate Pages: 2 Initials: 0 Logan Phillippo
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Time Zone: (UTC-08:00) Pacific Time (US & Canada)
455 N. Rexford Drive
Beverly Hills, CA 90210
[email protected]
IP Address: 76.168.110.145
Record Tracking
Status: Original
11/15/2023 6:33:58 PM
Holder: Logan Phillippo
[email protected]
Location: DocuSign
Signer Events Signature Timestamp
Stephanie Cao for
[email protected]
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Signed: 11/16/2023 11:12:39 AM
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Logan Phillippo
[email protected]
Real Property Development Manager
City of Beverly Hills
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Sent: 11/16/2023 11:12:40 AM
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Nancy Hunt-Coffey
[email protected]
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Julian A. Gold
[email protected]
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Huma Ahmed
[email protected]
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