BACKGROUND:
Conditional Use Permit 18-020 (CUP 18-020) and Tentative Tract 37555 (TT 37555) were approved by Planning Commission on November 7, 2018, for the conversion of the existing building at 68945 Perez Road, into a commercial Condominium Project.
The Commission approved the CUP 18-020 and TT 37555, subject to various Conditions of Approval, which included some street, driveway, parking lot and parkway improvements.
Ultimately, a final one-lot Subdivision Map for condominium purposes was approved by Council and was recorded. The Developer, Cat City 2, LLC, also recorded Covenants, Conditions and Restrictions (CC&Rs) on the property for the Condominium Project, and an air-space condominium plan was recorded. The developer executed a Subdivision Agreement on October 23, 2019, secured by a $59,540 Faithful Performance Bond and a $29,770 Labor & Materials Bond.
But the Condominium Project did not go forward, and none of the required public improvements were ever completed.
The property owners decided instead to end the Condominium Project, and to continue the previous leasing and rental structure of the units. Subsequently, a new Conditional Use Permit CUP 20-010 was submitted for a cannabis business in one of the building units, which was approved by the Planning Commission on April 20, 2022.
DISCUSSION:
The recorded Condominium Map, CC&Rs, and other documents still remain on title.
Therefore, in order to un-wind the Condominium Project, certain actions are required which were made as a Condition of Approval of the new CUP 20-010, more specifically as contained in Engineering Condition No. 4.13, approved on April 20, 2022:
The CUP’s Parcel (APN 687-330-027) has a recorded tract map, Tract 37555, recorded in Map Book 470/26-28, approved for condominium purposes; a related condominium Plan, recorded on June 10, 2020, as Document #2020-0247057, in Book 271 of Condominium Plans, at Pages 145-157; Covenants, Conditions and Restrictions (CC&Rs) recorded June 10, 2020, as Document #2020-0247058, and a recorded Subdivision Agreement, secured by surety bonds, recorded on January 29, 2020, as Document #2020-0043152, all in Official Records of Riverside County, California.
Prior to the issuance of a Temporary Certificate of Occupancy (TCO) or a Certificate of Occupancy (COO) whichever comes first, the property owner must complete the following items, and provide evidence of their completion to the Director of Engineering, all in a form as approved by the City Attorney:
1. Record an Amended Map of Tract 37555 eliminating the condominium status of the tract, pursuant to Government Code Section 66472.1 and City Ordinance No. 830, after an advertised hearing and approval of the amended map by the City Planning Commission.
2. Record a revocation of the condominium plan, pursuant to California Civil Code Sec. 6628.
3. Record a document terminating the recorded CC&Rs pursuant to Sec. 15.2.2 of the CC&Rs.
Prior to the issuance of a TCO or COO, the City Council will be requested to release the obligations of the existing Subdivision Agreement for Tract 37555, and release all bonds and securities now held with that agreement, all subject to the above items.
The new conditions of approval include the same improvement conditions as contained in the prior Conditional Use Permit, including street, driveway, parking lot and parkway improvements. These improvements are covered in the existing Subdivision Agreement, so that work will be done prior to issuance of a TCO or COO for the new Conditional Use Permit.
The City Council will also need to rescind the Subdivision Agreement for Tract No. 37555, executed on October 23, 2019, located at 68945 Perez Road, and release all related Subdivision Agreement securities and bonds, contingent upon the completion of above cited Condition of Approval No. 4.13 for Conditional Use Permit No. 20-10, a substitute Project for the same parcel, approved by the Planning Commission on April 20, 2022.
At such time as the conditions are completed, and certified, then the Director of Engineering will formally notify the surety of the Subdivision Agreement bond releases and record an instrument showing the rescission of the Subdivision Agreement.
FISCAL IMPACT:
There is no fiscal impact as a result of approving this item.