FALLONCREST DEVELOPMENT AGREEMENT
ANNUAL MONITORING REPORT
JUNE 2023
In accordance with section 12.1 of the “Development Agreement by and between City of Chino and Loyola Properties 1, L.P. a California Limited Partnership and Ronald C. Pietersma and Kristine B.
Pietersma, Trustees of the Pietersma Family Trust, dated February 15, 1992” known as the “FallonCrest DA”, this document shall meet the compliance requirement and Owner requests a Certificate of Agreement Compliance in accordance with Section 12.4.
General Information:
• Recording Number: 2021-0440320
• Effective Date: August 5, 2021 (30 days after 2nd reading at City Council (July 7, 2021) • Term: 20th Anniversary of the effective Date = August 5, 2041 Current Status of Site & remaining Entitlements:
• Currently, and consistent with the DA update last year, Owner has sold and closed several tracts to homebuilders (KB – TTM 19979/TTM 20399 & TriPointe Homes (TPH) – TTM 20312-1). The majority of the site is vacant and the dairy operations are winding down, in anticipation of future sales of the TTM 20312-2 & -3 Tracts. Copies of the Development Agreement were provided to homebuilders and any related rights/obligations have been assigned. o KB has completed grading and its improvements to E. Preserve Loop, Bickmore and Pine are underway. The Tentative “B” map (TTM 20399) has been approved. o TPH also has an approved Tentative “B” Map (TTM 20446). o TTM 20312-2 is currently being marketed for sale/development. When a sale is completed and development of the -2 parcel begins, it will result in the closure of dairy operations.
o Owner obtained approval of the “FallonCrest” Design Guidelines from the City Planning Commission on October 17, 2022. These guidelines were distributed to KB and TPH, and are included in all marketing packages for future potential buyers.
Development Agreement Obligations:
• Section 2.4 – Development of all phases has not yet occurred, however, 10 more years still remain for this obligation to be met.
• Section 2.6.1 – Phasing Plan – Sales of parcels to homebuilders is progressing according to the phasing plan.
• Section 2.7 – Water Supply – Phase 1 “Water DIF” will be paid by TPH on or prior to the first anniversary of the effective date. This payment was made by TPH on July 21, 2022, completing this obligation.
• Section 2.8 – Public & Private Parks – TPH has included the 0.4 acre park within their approved B Map, and constructing approximately 7 acres of the 10.7 acre park in accordance with the Park phasing plan. The balance of the 10.7 acre park shall be constructed with phase 3 (TTM 20312- 3) as required by the DA.
• Section 2.9 – SCE Easement Improvements – TPH will be constructing the portion of the SCE easement within their tract (TTM 20312-1) and will be seeking fee credit per this section.
Remaining sections will be constructed by phase per the phasing plan. • Section 2.10 – Affordable Housing – all builders should be paying affordable housing fees per section 2.10.3, while Owner plans and designs a potential location for the 82 affordable housing units within Phase 3 (TTM 20312-3). Owner is currently working with Jamboree Housing and has been coordinating with City staff the funding, design and location of the potential 82 units. • Section 2.11 – Pine Improvements – Owner has entered into a Pine Ave DIF Pre-Payment agreement and has paid to the City the approx. $1.8M owed and the $30k maintenance obligation. Owner has coordinated with staff to assign portions of the DIF credits for the approx. $1.8M DIF pre-payment to Homebuilders.
• Section 2.12 & 2.13 – Maintenance HOA’s – Each homebuilder will form their own HOA and enter the PMMC.
• Section 2.14 – CFD – Each homebuilder will form their own CFD and in some cases, may cooperate with each other.
• Section 3.4 – Right of Way and Improvements – Per the development agreement phasing plan, right of way will be dedicated and improvements will be constructed by each individual homebuilder.
o Section 3.4.3 – Traffic Fair Share Payment – All Traffic Fair Share payments (City of Chino and other Cities identified in the Traffic Study) have been made to the City of Chino. • Section 12.4 – Certificate of Agreement Compliance – Owner hereby requests from City a Certificate of Agreement Compliance, based on this document.