Staff Report
City Council
Item No. {{section.number}}.I
Meeting Date: July 24, 2024
From: John A. Corella, Director of Public Works
Title: Amended Tract 31774 Campanile: Approval of Assignment and Assumption Agreement and Amendment to Subdivision Agreement, with GID Campanile, LLC (Assignor) and WH Campanile 141, LLC (Assignee).
RECOMMENDATION:
To approve the Assignment and Assumption Agreement and Amendment to Subdivision Agreement for Amended Tract 31774, Campanile, between GID Campanile, LLC (Assignor), and WH Campanile 141, LLC (Assignee); and authorize the execution of the agreement and amendment by the City Manager and City Clerk.
BACKGROUND:
Tentative Tract 31774 (Campanile) was originally approved by the City Council in March, 2005 for the development of a Planned Unit Development of 285 residential units, located on the north side of Ramon Road, west of Da Vall Drive. A vicinity map is attached to this staff report.
The original subdivider, Ramon Santoro Group, LLC, built 144 units and most of the interior private streets and infrastructure, as well as improving the frontage streets of Ramon Road and McCallum Way. The remaining 141 vacant lots were sold to GID Campanile, LLC (GID) in 2009. As part of that sale, the remaining improvement obligations of the original subdivision improvement agreement were assumed by GID. No further homes were developed, however, and the vacant lots were sold again by GID to WH Campanile 141, LLC (Williams Homes (WH)) in 2021. WH has since developed and is under construction on 55 of these lots.
DISCUSSION:
As part of its purchase agreement, WH took over the remaining subdivision agreement obligations from GID. An assignment and assumption agreement and amendment to the existing subdivision agreement with GID Campanile has been prepared for this purpose. Both GID and WH have executed the aforementioned documents for Council approval.
The terms of this document require that WH complete all the remaining private improvements within Campanile, including the completion of the paving of the private streets, improvement of the common areas, and completion of the tract’s final monumentation, in accordance with a schedule outlined in Exhibit C to the agreement. Exhibit C requires the completion of these improvements prior to the final building inspections and occupancy permits being issued. It also requires the installation of streetlights along Ramon Road and McCallum Way. The improvements outlined are required to be completed by August 31, 2025. Completion of the streetlights is guaranteed by a $33,480 surety bond posted by WH.
Cash deposits of $45,000 to guarantee final setting of all survey monuments in the tract and $30,000 for PM-10 dust control have been paid by WH. Upon approval of this agreement all present securities and deposits posted by GID will be released and GID will be released from its previous subdivision agreement obligations.
A copy of the executed assignment and assumption agreement and amendment is attached.
Environmental Summary:
Tentative Tract 31774 was originally reviewed and received approval of a Mitigated Negative Declaration in March, 2005. Since the original approval of this map, there have been no substantial changes to the overall project, no new significant environmental effects, no substantial increase in the severity of any previously identified impacts, and no new information of substantial importance which would modify the conclusions reached in the original negative declarations.
FISCAL IMPACT:
N/A
FIVE-YEAR STRATEGIC PLAN:
GOAL C: FISCAL STABILITY AND SUSTAINABILITY
Objective: Cathedral City has economically prospered by facilitating the investment of private dollars in high quality development which benefits the community. We remain financially solvent by instituting prudent fiscal policies and transparent financial practices.
ATTACHMENTS:
1. Vicinity Map
2. Tract 31774 Assignment and Assumption Agreement and Amendment
3. Map of Amended Tract 31774