CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
To: Honorable Mayor and Council Members
FROM: Jonathan Orduna, Community Development Director
DATE: October 17, 2023
SUBJECT: Resolution to Initiate the Procedures to Exchange an Access Driveway Easement Over a Minor Portion of Crown Valley Park for an Easement Over Adjacent Private Property (The Village Shopping Center) for Overflow Parking for Park Users and to Conditionally Approve a Reciprocal Easement Agreement, and finding said action exempt from CEQA pursuant to State CEQA Guidelines Section 15301 (Existing Facilities).
RECOMMENDATION
Staff recommends that the City Council:
1. Adopt Resolution 2023-1450 to initiate the discontinuance of the use of a minor portion of Crown Valley Park that currently serves as a landscape border, in exchange for an easement for non-exclusive use of up to five parking spaces at 30001 Crown Valley Parkway, Laguna Niguel, California, by users of Crown Valley Park and to call a public hearing on December 5, 2023, regarding the proposed minor exchange of park land, and finding that such action is exempt from CEQA pursuant to State CEQA Guidelines Section 15301 (Existing Facilities);
2. Upon completion of the procedures necessary to discontinue the applicable portion of Crown Valley Park, approve a reciprocal easement agreement between the City of Laguna Niguel and MV/The Village, LLC, regarding the proposed minor exchange of park land ("Easement Agreement");
3. Direct the City Clerk to cause Resolution 2023-1450 to be published and circulated in accordance with Government Code Section 38445; and
4. Call a public hearing on the proposed minor exchange of park land.
BACKGROUND
Summary
MV/The Village, LLC ("MVTV"), property owner of The Village shopping center, is requesting an easement exchange with the City. Specifically, an easement over a minor portion of perimeter landscaping at Crown Valley Park to accommodate a drive-aisle relocation in exchange for the non-exclusive parking rights for five parking spaces located within the center's parking lot. The Village and Crown Valley Park are adjoining and share a common boundary property line.
The Village - Site History & Remodel
The Village is a two-acre neighborhood shopping center consisting of approximately 14,500 square feet of existing commercial building area, parking facilities, and site landscaping. The center is generally located northwest of the Crown Valley Parkway and Niguel Road intersection, adjacent to Crown Valley Park (vicinity map included for reference as Attachment A). The center was originally constructed in the 1960s. The Village is dated in appearance and suffers from deferred maintenance; most of the tenant shops are presently vacant
For the last several years, City staff has been working with MVTV and their design team on a planned comprehensive center remodel, which was recently approved by the Community Development Department on August 23, 2023. The new design features a modern architecture with well-articulated building elevations and quality design finishes and details. The project also includes renovating and expanding site landscaping to add greater curb appeal and elevate the project's appearance. Please refer to Attachment B for a street frontage photo of the existing center and a rendering of the renovated center.
As part of the redesign process, the owner was encouraged to activate tenant shops with the inclusion of outdoor seating opportunities to attract quality restaurants. As an outgrowth, the owner proposed expanding Tenant Suite No. 10. This also included a considerable enhancement to the building elevation that is visually prominent from both Crown Valley Parkway and Crown Valley Park that consists of a windowless masonry wall adjoining the parking lot. As part of the renovation, this area of the building is an architectural focal point featuring an expansive storefront window system and metal canopy awnings that wrap two sides of the building that then leads to an outdoor seating area with landscaping. To accommodate the building expansion requires the shifting of an existing drive-aisle approximately 14 feet onto adjoining City park property, which requires an easement from the City.
Easement Exchange
The City land area' subject to the proposed easement (approximately 1,900 square feet in area consists of existing boundary landscaping within a parking lot of Crown Valley Park. The easement would not impact useable park space (e.g., playground area, sports fields, parking, trails, or other recreational amenities). In exchange, MVTV is proposing an easement over five parking spaces located within the center's parking lot for park patrons should there be a parking shortage at the park during peak times. The easement With the Governments ide procedures 32-20 here he City Coul wig coman adoption of a Reciprocal Easement Agreement similar in form to the Agreement attached as Exhibit 1 of Resolution No. 2023-1450 (Attachment C).
ANALYSIS
Government Code Section 38440 et seq. sets forth the applicable procedures municipalities must adhere to when conveying portions of park land. Pursuant to Government Code Section 38441:
Without a special election, the legislative body may convey a minor portion of such a park in exchange for an equal or greater area or value of privately owned land contiguous to the park after:
(a) Notice and a public hearing pursuant to this article. (b) Determination that the exchange is in the public interest. (c) Adoption of a resolution of discontinuance.
City staff recommends a City Council determination that the proposed exchange of park land is in the public interest because the City would receive the following benefits:
1. The easement rights to the land area to be received by the City is greater than easement rights to land area to be received by the MVTV (approximately 2,300 square feet and 1,900 square feet, respectively).
2. The land value of the easement rights for the improved parking spaces on the commercial property to be gained by the City significantly exceeds the land value of easement rights over the minor portion of park area (perimeter landscaping) to be gained by MVTV as verified by Keyser Marston Associates, City third-party real estate consultant (assessment memo prepared by Keyser Marston Associates is included as Exhibit 2 of Attachment C).
3. Public access to five overflow parking spaces on the adjacent parking lot within The Village for park patrons.
' MVTV intends to utilize the easement for the purpose of (1) vehicular and pedestrian access, installing, constructing, maintaining, repairing, and replacing paving, facilities, improvements, utilities, and pipelines for water, sewage, storm drainage, underground storm drainage, and surface drainage purposes, and (2) performing required maintenance obligations of said easements.
4. The exchange results in no loss of active park space because the subject land is merely used as a landscape border between the park and the adjacent property (The Village).
5. The exchange facilitates a drive-aisle relocation that is a part of a comprehensive remodel to The Village shopping center, which is struggling with tenant vacancy.
The substantial financial investment in the renovation to elevate both the appearance and quality of businesses in the center is expected to add economic activity and increased sales and property tax benefits for the City. The center redesign may also serve as a redevelopment catalyst for other aging centers in the Surrounding area to complement the recently completed community building at Crown Valley Park and the approved Laguna Niguel City Center (mixed-use development neighboring City Hall).
To comply with Government Code Sections 38441(a) and 38444(d), City staff is requesting that the City Council direct the City Clerk to cause Resolution No. 2023-1450 to be published and circulated in accordance with Section 38445, adopt a resolution of intention to hold a public hearing on December 5, 2023, regarding the discontinuance of park use for a minor portion of Crown Valley Park in exchange for the City's non-exclusive use of five parking spaces at The Village (30001 Crown Valley Parkway, Laguna Niguel, California).
ALTERNATIVES CONSIDERED
The City Council may choose not to proceed with the land easement exchange. City staff does not recommend this option, as doing so would preclude adoption of the Easement Agreement and the remodeling of The Village, as approved, and the opportunity to acquire overflow parking for Crown Valley Park patrons.
FISCAL REVIEW
There is no fiscal impact associated with the adoption of Resolution No. 2023-1450 or with setting the public hearing.
LEGAL REVIEW
The City Attorney's Office has reviewed the Resolution and has approved this report as to form.
ENVIRONMENTAL REVIEW
The easement exchange qualifies for a categorical exemption from the California Environmental Quality Act ("CEQA") under Section 15301, Class 1 (Existing Facilities), of the CEQA Guidelines. This exemption applies to a class of projects that consist 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. The proposal consists of an exchange of easement rights over minor portions of land to accommodate the relocation of an existing drive-aisle over ornamental boundary landscaping and reciprocal access to existing parking stalls. This exchange involves negligible or no expansion of existing uses.
CONCLUSION
City staff recommends that the City Council adopt Resolution 2023-1450 to discontinue use of a minor portion of park land at Crown Valley Parkway, conditionally approve the current draft of the Easement Agreement between the City and MTV, subject to compliance with the procedures described herein, direct the City Clerk to cause the resolution to be published and circulated in accordance with applicable law, and call a public hearing on December 5, 2023.
Famous SAtorneau
Tamara S. Letourneau Scott C. Smith
City Manager City Attorney
salla Glen
Jonathan Orduna John Morgan
Community Development Director Deputy Community Development Director
ATTACHMENTS
Vicinity Map
Photo of The Village and Remodel Rendering
Resolution No. 2023-1450
Exhibit 1: Draft Easement Agreement (City of Laguna Niguel and MV/The Village, LLC)
Exhibit 2: Keyser Marston Associates Memo - Easement Value Assessment
ATTACHMENT A
Crown Valley Park and
Community Center
The Village
Vicinity Map
ATTACHMENT B
THE VILLAGE (EXISTING)
Crown Valley Parkway
THE VILLAGE (RENDERED REMODEL)
Relocated Drivev
ATTACHMENT C
RESOLUTION NO. 2023-1450
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA NIGUEL,
CALIFORNIA, TO INITIATE THE PROCEDURES TO DISCONTINUE FOR PUBLIC
PARK PURPOSES A MINOR PORTION OF AN AREA COMMONLY REFERRED TO
AS CROWN VALLEY PARK TO EXCHANGE AN ACCESS DRIVEWAY EASEMENT
FOR AN EASEMENT OVER ADJACENT PRIVATE PROPERTY (THE VILLAGE
SHOPPING CENTER) FOR OVERFLOW PARKING FOR PARK USERS IN ACCORDANCE WITH CALIFORNIA GOVERNMENT CODE SECTION 38441,
CONDITIONALLY APPROVING A RECIPROCAL EASEMENT AGREEMENT
BETWEEN THE CITY AND MV/THE VILLAGE, LLC, AND FINDING SAID ACTION EXEMPT FROM CEQA PURSUANT TO STATE CEQA GUIDELINES SECTION 15301 (EXISTING FACILITIES)
WHEREAS, City is the owner of the Crown Valley Park located at 29751 Crown Valley Parkway in the City of Laguna Niguel described in Exhibit 1 ("Easement Agreement") attached hereto;
WHEREAS, MV/The Village LLC ("MVTV") owns certain real property located at 30001 Crown Valley Parkway within the City of Laguna Niguel (commonly referred to as The Village shopping center) described in Exhibit 1 attached hereto and contiguous to the Crown Valley Park;
WHEREAS, California Government Code Section 38441 allows a general law city to convey by resolution a minor portion of a public park in exchange for an equal or greater area or value of privately owned land contiguous to the park after (a) notice and a public hearing pursuant to Article 2, Chapter 9, Part 2, Division 3 of Title 4 of the Government Code, (b) a determination that the exchange is in the public interest, and (c) adoption of a resolution of discontinuance;
WHEREAS, the City Council desires to initiate proceedings to discontinue and abandon that portion of Crown Valley Park described herein as Exhibit 1; WHEREAS, the City Council intends to consider the exchange of an easement over a minor portion of Crown Valley Park in exchange for a parking easement on private land contiguous to the Crown Valley Park owned by MVTV;
WHEREAS, the portion of Crown Valley Park that is proposed to be discontinued and exchanged does not contain any active park features and is merely a boundary landscape between the adjacent property owned by MVTV;
WHEREAS, for the reasons set forth herein, the City Council declares that the discontinuance of the minor portion of park land so that it can be exchanged for additional parking spaces in the adjacent privately-owned parking lot owned by MVTV and to permit alternative access points on the adjacent property is in the public interest; Resolution No. 2023-1450 Page 2
WHEREAS, the easement rights to the land area to be received by the City is greater than easement rights to land area to be received by the MVTV (approximately 2,300 square feet and 1,900 square feet, respectively); WHEREAS, the land value of the easement rights for the improved parking spaces on the commercial property to be gained by the City exceeds the land value of easement rights over the minor portion of park area (perimeter landscaping) to be gained by MVTV as verified by the City's third-party real estate consultant in Exhibit 2; WHEREAS, the City Council believes that granting an easement for a minor portion of Crown Valley Park in exchange for the aforementioned parking spaces aligns with the City's broader goal of enhancing overall community well-being and preserving the vitality of the Crown Valley Park as a cherished public amenity;
WHEREAS, the City Council recognizes the benefit of overflow parking opportunities for the Laguna Niguel community driven by the continued offering of recreational programs, sports fields, and activities at Crown Valley Park;
WHEREAS, the easement exchange facilitates a drive-aisle relocation that is a part of a comprehensive remodel to The Village shopping center, which is struggling with tenant vacancy. The substantial financial investment in the renovation to elevate both the appearance and quality of businesses in the center is expected to add economic activity and increased sales and property tax benefits for the City. The center redesign may also serve as a redevelopment catalyst for other aging centers in the surrounding area to complement the recently completed community building at Crown Valley Park and the approved Laguna Niguel City Center (mixed-use development neighboring City Hall); WHEREAS, the City Council intends to hold a public hearing on such discontinuance of the aforementioned minor portion of the Crown Valley Park pursuant to Article 2, Chapter 9, Part 2, Division 3 of Title 4 of the Government Code due to the exchange being in the public's best interest; and
WHEREAS, after holding the required public hearing and abandoning the use of that minor portion of Crown Valley Park described herein, the City Council will consider the approval of the current draft of the Reciprocal Easement Agreement or an Agreement similar in form to effectuate this exchange of easements.
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Laguna Niguel finds as follows:
That the foregoing recitals are true and correct and are incorporated herein by reference.
2. That a description of the lands to be discontinued for park use are depicted on Exhibit 1, attached hereto and incorporated herein by reference.
That the common name of the park from which the lands will be exchanged is Crown Valley Park.
Resolution No. 2023-1450 Page 3
4. That the City desires to initiate proceedings to discontinue and abandon that portion of Crown Valley Park described herein.
5. That, subject to conducting the necessary proceedings in accordance with Government Code Section 38440 et seq., the City Council proposes to grant an easement over a minor portion of Crown Valley Park (consisting of approximately 1,900 square feet of land area currently used for perimeter landscaping) for the purpose of vehicular and pedestrian access, installing, constructing, maintaining, repairing, and replacing paving, facilities, improvements, utilities, and pipelines for water, sewage, storm drainage, underground storm drainage, and surface drainage purposes, and the performance of MVTV's required maintenance obligations of said easement.
In exchange, the City acquires non-exclusive parking rights for five existing parking spaces (consisting of approximately 2,300 square feet of land area located on the contiguous parcel of land, at 30001 Crown Valley Parkway, Laguna Niguel, California. Said exchange is in the public interest or convenience because it results in the expansion of public parking for users of Crown Valley Park and increases opportunities for economic development near Crown Valley Park, as described in the Recitals of this Resolution, while resulting in no loss of active park space at the Crown Valley Park.
6. That based on the City's receipt of a number of parking spaces for public use on MVTV's property, the value and size of the easement received by the City is greater than the minor area of park land it is exchanging with MVTV.
7. That the public hearing on this proposed discontinuance is fixed at 7:00 P.M on December 5, 2023, at the City of Laguna Niguel Council Chambers, 30111 Crown Valley Parkway, Laguna Niguel, California 92677. The public and any persons interested in said matter may protest the proposed discontinuance or to the extent thereof, in writing by delivering the protest to the City Clerk before the hearing or by appearing in person at the time of the hearing.
8. That the City Clerk shall publish this resolution twice in the Laguna Niguel News. Publication shall be completed at least 20 days before December 5, 2023.
That the Parks & Recreation Director shall cause at least three notices of adoption of this resolution to be posted conspicuously not more than 300 feet apart along the exterior boundaries of the area to be discontinued. Posting shall be completed at least twenty days prior to December 5, 2023.
10. That, upon completion of the procedures necessary to discontinue the applicable portion of Crown Valley Park, the City Council will consider the approval of a reciprocal easement agreement between the City of Laguna Niguel and MV/The Village, LLC, regarding the proposed minor exchange of park land in a form similar to the Agreement attached as Exhibit 1.
Resolution No. 2023-1450 Page 4
11. The easement exchange qualifies for a categorical exemption from the California Environmental Quality Act ("CEQA") under Section 15301, Class 1 (Existing Facilities), of the CEQA Guidelines. This exemption applies to a class of projects that consist 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. The proposal consists of an exchange of easement rights over minor portions of land to accommodate the relocation of an existing drive-aisle over ornamental boundary landscaping and reciprocal access to existing parking stalls. This exchange involves negligible or no expansion of existing uses.
PASSED, APPROVED AND ADOPTED this 17th day of October, 2023.
Kelly Jennings, Mayor
1, Marissa Asistin, City Clerk of the City of Laguna Niguel, do hereby certify that the foregoing resolution was adopted at a regular meeting of the City Council held on the 17th day of October, 2023 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAINED:
ATTEST:
Marissa Asistin
City Clerk
Resolution No. 2023-1450 Page 5
EXHIBIT 1
Current Draft Easement Agreement
Recorded at the request of and when recorded
return to:
MV/The Village LLC
c/o CCH Management LLC
30001 Crown Valley Parkway, Suite P
aguna Niguel, California 92677
Attention: Aaron Pelus
SPACE ABOVE THIS LINE RESERVED FOR RECORDER'S USE
EASEMENT AGREEMENT
This EASEMENT AGREEMENT ("Agreement"), is made effective as of this _ day of → 2023 ("Effective Date"), between THE CITY OF LAGUNA NIGUEL, a ("City"), and MV/THE VILLAGE LLC, a California limited
liability company ("MVTV"). For the purposes of this Agreement, a "Party" means MVTV or City and the "Parties" means both of them.
RECITALS
A. City and MVTV own property as depicted on Exhibit A attached hereto and made a part hereof.
B. City owns certain real property in Orange County, California located at 29751 Crown Valley Parkway, Laguna Niguel California described and depicted on Exhibits B and B-1 attached hereto and made a part hereof (the "City Real Property").
C. MVTV owns certain real property (the "MVTV Real Property") in Orange County, California located at 30001 Crown Valley Parkway, Laguna Niguel California, more particularly described and depicted on Exhibits C and C-1 attached hereto and made a part hereof on which a commercial building and appurtenances are located.
D. MVTV in connection with certain redevelopment work on the MVTV Real Property pursuant to plans submitted to the City (the "Project"), MVTV desires to obtain, for the benefit of the MVTV Real Property, easements for ingress and egress, utilities, pipelines and drainage all as more particularly described herein, across a portion of the City Real Property on the terms and conditions set out in this Agreement.
E. City desires to obtain, for the benefit of the City Real Property, easements for parking, ingress and egress all as more particularly described herein, across a portion of the MVTV Real Property on the terms and conditions set out in this Agreement.
F. In consideration of the mutual promises set out in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which is acknowledged and hereby agreed to, City and MVTV agree to be bound by the terms of this Agreement as set forth below.
5364131.10
26048-930 1
AGREEMENT
GRANT
1.1 Grant by City. City hereby grants to MVTV and its successors, assigns, agents, employees, tenants, subtenants and invitees (each a "Permittee", and collectively, the "Permittees"), a perpetual nonexclusive easement on, under and over a portion of the City Real Property as described and described and depicted on Exhibits D and D-1 for the purpose of (a) providing, vehicular and pedestrian ingress and egress to and from the MVTV Real Property, (b) installing, constructing, maintaining, repairing and replacing paving, utilities and pipelines for water, sewage and storm drain purposes, and (c) as necessary, for the pertormance of any required maintenance obligations of MVTV. This easement is sometimes collectively referred to herein as the "MVTV Easement Area". The various i overtin, vil tes Agreeines the IS Easement are are collectively referred to herein as the "Improvements and Facilities". Notwithstanding anything to the contrary herein, the foregoing grant of the MVTV Easement Area to MVTV may be terminated by City upon the occurrence of any of the following as determined by City in its sole discretion: (i) physical construction of the Project has not commenced within three (3) years of the recordation of this Agreement; provided, however, as long as MVTV is diligently pursuing permits and entitlements for the physical construction of the Property, MVTV shall have the right to extend such three (3) year period for two (2) successive one (1) year periods upon delivery of notice to City, (ii) a different project is developed on the MVIV Real Property which does not require the Improvements and Facilities as conditions of such project, (iii) the MVTV Real Property is abandoned or unoccupied for a period of one (1) year, unless such unoccupied condition is a result of ongoing construction or repair due to casualty or condemnation or is in connection with development of the MVTV Land or the initial completion of the Project, (iv) for commercial purposes; or (vi) MVTV fails, after written notice from City and expiration of a ten (10) day cure period, to maintain the insurance coverages set forth in Section 4, below. In the event of such termination, the reciprocal easement provided in Section 1.2, below, is subject to termination at the sole discretion of MVTV.
1.2 Grant by MVTV. MVTV hereby grants to City a perpetual nonexclusive easement over the MVTV Real Property for parking in the Parking Easement Area as described and depicted on Exhibits E and E-1 and vehicular and pedestrian ingress and egress to and from the Parking Easement Area from the adjacent public street right of way. This easement is sometimes referred to herein as the "City Easement Area." Notwithstanding anything to the contrary herein, the foregoing grant of easement to the City may be terminated by MVTV upon the occurrence of: (i) the City Real Property no longer being owned in its entirety by the City, (ii) the City 5364131.10
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Real Property no longer being used in its entirety for park and recreational purposes, or (iii) MVTV abandoning the use of the MVTV Easement Area. In the event of such termination, the reciprocal easement provided in section 1.1, above, is subject to termination at the sole discretion of City.
1.3 Construction Workspace/Timing. During the period of initial construction and installation of the Improvements and Facilities the rights granted hereunder shall include temporary workspace ("Construction Workspace") reasonably required by MVTV to complete the Improvements and Facilities and subject to the prior written consent of City which consent shall not unreasonably be withheld, conditioned or delayed. The use of the Construction Workspace shall be undertaken in a manner so as to minimize any interference with City's use and enjoyment of the City Real Property. After initial construction and installation of the Improvements and Facilities has been completed, the rights granted hereunder shall no longer include the Construction Workspace.
1.4 No Title or Mineral Rights. This Agreement does not convey, nor will it be construed as conveying any part of the fee title to the City Real Property or the MVTV Real Property, respectively, nor to any other rights or interests in such land including, without limitation, any rights or interests to water, oil, gas or othe nineral rights on or underlving said lands
1.5 Use by MVTV Agents. The rights granted to MVTV under this Agreement may be used under the supervision of MVTV by the employees and agents of MVIV, including its contractors, subcontractors, and other persons performing work or services in connection with MVTV's rights hereunder.
OPERATIONS AND TERM
2.1 Operations.
(A) All Improvements and Facilities installed or constructed by or on behalf of MVTV shall be installed, constructed, maintained, repaired and removed at the sole cost, expense and liability of MVTV. For avoidance of doubt, any damage or destruction to any portion of the Improvements and Facilities oi to any of the City's facilities and improvements caused by MVTV or its employees, agents or contractors shall be the sole responsibility of MVI\ regardless of the cause of such damage or destruction, except to the extent misconduct of City or its employees, agents or contractors. (B) MVTV shall be solely responsible for: (i) repairing and replacing all surface concrete and/or asphalt work damaged or disturbed as a result of MVTV's construction in, and use of, the City Real Property; (ii) repairing and replacing any damage done to landscaping and irrigation lines resulting from MVTV's construction in, and use of, the City Real Property; and (ili) implementing all necessary safety and security measures during its 5364131.10
26048-930 3
construction, including, without limitation, placing trench plates over any open trenches, temporary fencing/rails and/or other safety measures required by applicable law.
(C) MVTV shall, at its sole cost and expense, maintain and keep the improvements located on the MVIV Easement Area in good condition and state of repair. MVTV shall periodically inspect, maintain, repair, and reconstruct any improvements on the MVIV Easement Area to ensure the safe, lawful and reasonable use of the MVTV Easement Area for its intended purpose.
2.2 No Obstructions. City agrees not to build, construct, or create, nor permit others to build, construct, create, or use any building, structure, engineering works, or other personal property or improvements on the City Real Property that will impair or interfere with the rights granted to MVTV under this Agreement. MVTV agrees not to build, construct, or create, nor permit others to build, construct, create, or use any building, structure, engineering works, or other personal property or improvements on the MVTV Real Property that will impair or interfere with the rights granted to City under this Agreement.
2.3 Term of Grant. Subject to the limitations in Sections 1.1 and 1.2, the easements and rights granted hereby are granted in perpetuity commencing on the Effective Date ("Term"). The easements and the rights granted under this Agreement shall not be deemed abandoned or forfeited due to the temporary idling, non-use, abandonment or removal of any or all the Improvements and Facilities unless (i) such temporary idling, non-use, abandonment or removal exceeds a period of one (1) year, and (ii) such temporary idling, non-use, abandonment or removal is not a result of ongoing construction or repair due to casualty or condemnation or is not in connection with development of the MVTV Land or the initial completion of the Project. In the event of a termination pursuant to Section 1.1, MVTV shall, and its sole expense and, to the reasonable satisfaction of the City, restore the surface of the City Real Property substantially to its condition as it existed on the date of this Agreement's recordation unless otherwise agreed to by City in writing.
OWNERSHIP OF LAND AND FACILITIES.
Each Party represents that it is the sole fee title owner of the MVTV Real Property and City Real Property, respectively and has the capacity to grant the easements and rights granted hereby.
4. INSURANCE AND INDEMNITY
4.1 Insurance. MVTV shall maintain Commercial General Liability Insurance with minimum limits of $2,000,000 per occurrence. Such policy shall waive all rights of subrogation in favor of City. Additionally, MVTV shall at all times maintain in effect Workers Compensation Insurance as required by applicable law and saic olicy shall waive all rięhts of subrogation in favor of City. Certificates indicating 5364131.10
26048-930 4
the foregoing required insurance shall be provided by MVTV to City upon request.
MVTV may self-insure all of the insurance requirements above.
4.2 Indemnification. To the fullest extent permitted by law, MVTV hereby agrees to defend, indemnify, and hold the City Real Property, the City, and the City's agents, officers, employees, tenants, subtenants, contractors, licensees, invitees, successors and assigns harmless from and against all claims, demands, causes of action, costs, expenses, (including, without limitation, attorneys' fees and costs), liability, loss, damage or injury, in law or equity, to property or persons, including death, injury to persons, person (including an employee of MVTV or City), natural resources or property in any manner arising from MVIV, its employees, agents, or contractors violation of the terms of this Agreement or out of or incident to any actual or alleged acts, omissions or willful misconduct by MVTV or its employees, agents or contractors, including attachments, liens or claims of materialmen or laborers, or for environmental damage, including all claims and reasonable attorneys' fees, relating to any of the foregoing. This indemnity shall not apply where such claim, demand, cause of action, cost, expense, liability, loss, damage or injury is the direct result of the negligence or willful misconduct of the City or of a person or entity over which the City has control or authority. MVTV further agrees to indemnify, defend and hold the City harmless from and against all claims challenging the City's right to grant of the easements provided for in this Agreement.
5. GOVERNING LAW AND RESOLUTION OF DISPUTES
5.1 Governing Law. This Agreement is governed by and interpreted under the laws of the State of California, without regard to its choice of law rules. Venue shall be in Orange County.
5.2 Resolution of Disputes. If any dispute arises out of or in relation to this Agreement and such dispute cannot be settled within a reasonable time by direct negotiations, either Party may initiate mediation. If the Parties fail to settle the dispute within thirty (30) days of notice of mediation, either Party may initiate litigation to finally settle the dispute. The Parties will share equally the cost of the mediator.
5.3 Legal Fees. In the event any arbitration or proceeding is instituted by a Party related to, or to enforce, this Agreement, the prevailing Party in such action (as determined by the arbitrator, judge, agency or other authority before which such proceeding is commenced), shall be entitled to such reasonable attorneys' fees (including, without limitation, reasonable outside counsel fees and in-house paralegals' and attorneys' time computed at similar rates), costs and expenses as
GENERAL PROVISIONS
6.1 Notice. All notices and other communications required under this Agreement shall be in writing, and delivered personally, sent certified mail return receipt request or 5364131.10
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by a nationally recognized courier service (such as Federal Express or UPS) to the address of the receiving Party set out in the signature page to this Agreement.
Notice will be deemed effective when received. Any change in address may be accomplished by delivery of notice in compliance with this Section.
6.2 Assignment. The rights of either Party may be assigned in whole or in part. The terms of this Agreement will be binding upon and inure to the benefit of the Parties and their heirs, successors and assigns. No change of ownership will operate to enlarge the obligations or diminish the rights of the Parties.
6.3 Entire Agreement. This Agreement comprises the complete and exclusive agreement between the Parties regarding the subject matter of this Agreement, and supersedes all oral and written communications, negotiations, representations or agreements in relation to the subject matter hereof made or entered into before the Effective Date.
6.4 Amendment. No amendment to this Agreement shall be effective unless made in writing and signed by each Party or its authorized representative and recorded in the Official Records of Orange County, California.
6.5 Waiver. A Party's failure to pursue remedies for breach of this Agreement shall not constitute a waiver by such Party of any breach of this Agreement by the other arty or raise any defense against claims against the other Party for breach of thi:
Agreement. The waiver or failure to require the performance of any covenant o obligation contained in this Agreement or pursue remedies for breach of this Agreement does not waive a later breach of that covenant or obligation.
6.6 Severability. Each provision of this Agreement is severable and if any provision is determined to be invalid, unenforceable or illegal under any existing or future law by a court or arbitrator of competent jurisdiction or by operation of any applicable law, such invalidity, unenforceability or illegality shall not impair the operation of or affect those portions of this Agreement that are valid, enforceable and legal, unless deletion of the invalid, unenforceable or illegal provision or provisions would result in such a material change as to cause the purpose of this Agreement to be considered unreasonably unfair to either Party or its fundamental terms and conditions to be considered to be unreasonable.
6.7 Survival. Despite termination of this Agreement for any reason, all provisions in this Agreement containing representations, warranties, releases and indemnities, and all provisions relating to limitations of liability, dispute resolution and governing law, and all causes of action which arose prior to termination, survive indefinitely until, by their respective terms, they are no longer operative or are otherwise limited by an applicable statute of limitations.
6.8 Counterparts. This Agreement may be executed in any number of counterparts, each of which will be deemed an original of this Agreement, and which together will constitute one and the same instrument; provided, however, that neither Party 5364131.10
26048-930 6
will be bound to this Agreement unless and until both Parties have executed and exchanged counterparts hereof.
6.9 Authorized Representatives. Each Party represents and warrants that this Agreement has been duly executed and delivered by it or its authorized officer or other representative and constitutes its legal, valid and binding obligation, enforceable in accordance with the terms of this Agreement and that no consent or approval of any other person is required in connection with the execution, delivery and performance of this Agreement.
6.10 Exhibits. All of the Recitals on page 1 hereof are an integral part of this Agreement and are incorporated by reference into this Agreement. All of the exhibits that are attached to the body of this Agreement are an integral part of this Agreement and are incorporated by reference into this Agreement. If a conflict exists between the body of this Agreement and any exhibit, the body prevails to the extent of the conflict.
6.11 Compliance with Laws. The Parties shall comply with all present and future laws, rules, orders, ordinances, resolutions, regulations, statutes, requirements, codes, and executive orders of any and all governmental authorities now existing or hereafter created with jurisdiction over the easements, or the development, design, construction, installation, use, repair, maintenance or improvement thereof.
The Parties have executed this Agreement, effective the day and year first above written, as evidenced by the following signatures of the Parties or authorized representatives of the Parties. [SIGNATURES ON FOLLOWING PAGEJ
5364131.10
26048-930 7
CITY: MVTV:
THE CITY OF LAGUNA NIGUEL, MV/THE VILLAGE LLC,
a a California limited liability company
By: By:
Name: Name: Aaron Peluso
Title: Title: Manager
By:
Name: Milena Imhof
Title: Manager
ADDRESS FOR NOTICES: ADDRESS FOR NOTICES:
MV/The Village LLC
c/o CCH Management LLC
30001 Crown Valley Parkway, Suite P
Attn: Laguna Niguel, California 92677
Attention: Aaron Peluso
5364131.10
26048-930 1
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document.
ACKNOWLEDGMENT
STATE OF CALIFORNIA
COUNTY OF
On_ 2023 before me,
the undersigned Notary Public, personally appeared _ who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument, the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
Witness my official hand and seal. [SEAL]
Form per California Government Code §1189
5364131.10
26048-930 2
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document.
ACKNOWLEDGMENT
STATE OF CALIFORNIA )
) SS.
COUNTY OF
On 2023, before me,
the undersigned Notary Public, personally appeared _ who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument, the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
Witness my official hand and seal. [SEAL]
Form per California Government Code §1189
5364131.10
26048-930
EXHIBIT A
To Easement Agreement dated , 2023
TRUST NO. 7532
BERNARATE OF SORESTON JNSTHUDENI 19. L0800 CROWN VALLEY PARKWAY* LO13
shall ses/ester
PORTION OF
HE NEL
RAWOND LEGEND:
CENTER LINE STREET
EASEMENT LINE
3 NIGUEL EXISTING LOT LINES
SUBJECT LOT LINE
EASEMENT AREA
SCALE 1'=250'
5364131.10
26048-930 EXHIBIT A
EXHIBIT B
To Easement Agreement dated → 2023
CITY REAL PROPERTY
LEGAL DESCRIPTION
A PARCEL OF LAND IN THE CITY OF LAGUNA NIGUEL, COUNTY OF ORANGE, STATE OI
CALIFORNIA, MORE PARTICULARLY DESCRIBED AS FOLLOWS
LOT 3 OF TRACT NO. 7622, AS SHOWN ON A MAP RECORDED IN BOOK 358, PAGES 21 TO 24
OF MISCELLANEOUS MAPS, AMENDED PURSUANT TO THAT CERTAIN CERTIFICATE OF CORRECTION RECORDED SEPTEMBER 8, 1980 AS INSTRUMENT NO. 10544 IN BOOK 13735, PAGE 97 RECORDS OF ORANGE COUNTY, CALIFORNIA.
APN: 654-091-03
SUBJECT TO ALL COVENANTS, CONDITIONS, RESTRICTIONS, RESERVATIONS, RIGHTS, RIGHTS OF WAY AND EASEMENTS OF RECORD, IF ANY.
SEE EXHIBIT "B-I" ATTACHED HERETO AND BY
THIS REFERENCE MADE A PART HEREOF.
THIS DOCUMENT CONSISTING OF EXHIBITS "B" AND "B-I" WAS PREPARED BY ME OR UNDER MY SUPERVISION.
RON
MIEDEMA
PREPARED BY: Run ereca *
No. 4653
RON MIEDEMA L.S. 4653
REGISTRATION EXPIRES: 9-30-2023 STATE
CALIFORNIN
DATE: 9/14/2023 OF
5364131.10
26048-930 EXHIBIT
EXHIBIT B-1
CITY REAL PROPERTY
N 54°28'29" ₩ 793.40'
L4
CI
13 L2
C2 LEGEND:
L5 iSa"
EXISTING LOT LINES
SUBJECT LOT LINE
C3< TRACT NO.752
CENTER LINE STREET
L6
C4 LINE BEARING DISTANCE
L1 N 61°47'47" E 13.38'
N 54°28'29" W 216.62'
C5-
CERTIFICATE OF GORRECTION L9 50 2 L3 186.22'
INSTRUMENT NO, 10544 L4 N 75°55'12" W 19.91'
L ,10 L5 N 14°04'48" E 232.26'
1.12 L6 N 26°09'00" E 118.51'
N 31913'34" E 1562.24'
CROWN VALLEY PARK WAY L7 N 18°35'44" E 85.62'
L13
L8 N 22°02'29" E 13.00'
L9 0675731W 2.00*
L10 N 22°02'29" E 143.00'
LOTS L11 N 64°31'07" W 24.47'
L12 N 43°22'41" W 107.45'
D= 13°24'29" L=433.86* R=1854° L13 N 46937'19' E 55.00' L14 N 00°47'08" E 41.80'
L15 N 31°32'28" E 90.02'
L16 M4144'42 166.92'
L17 N 13°48'03" E 29.35'
/ L18 N622057' 74.54'
MM, 333/2400 DELTA ANGLE RADIUS
CURVE ARC LENGTH
C1 38°35'41" 229.03' 340°
D=10°58'49'* C2 43°00'54" 15.02' 20°
L=334.61* R=1746' 12°04'12" 42.13' 200'
C3
N 02°42'00" E L18 C4 7°33'16" 26.37 200'
KLI7 C5 36°12'23" 31.60' 50°
54j C6 32°45'38" 28.59 50'
L16
152%
5364131.10
26048-930 EXHIBIT
EXHIBIT C
To Easement Agreement dated _ 2023
MTV REAL PROPERTY
LEGAL DESCRIPTION
A PARCEL. OF LAND IN THE CITY OF LAGUNA NIGUEL, THE COUNTY OF ORANGE, STATE OF CALIFORNIA, AND MORE PARTICULARLY DESCRIBED AS FOLLOWS:
THAT PORTION OF THE NIGUEL RANCHO, IN THE CITY OF LAGUNA NIGUEL, COUNTY OF ORANGE, STATE OF CALIFORNIA.
AS SHOWN ON A MAP RECORDED JUNE 30, 1877, IN BOOK 2, PAGE 230 AND 231 OI: PATENTS, RECORDS OF LOS ANGELES COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS:
EGINNING AT THE MOST SOUTHERLY CORNER OF I.OT 50 OF TRACT NO. 5434, AS PER MAP RECORDED IN BOOK 20 AGES 18 TO 22 INCLUSIVE OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNT' THENCE ALONG THE BOUNDARY OF SAID TRACT NO. 5434, NORTH 43°05'00" EAST 221.00 FEET AND NORTH 50°12'00" EAST 242.00 FEET: THENCE SOUTH 62°21'00" EAST 74.54 FEET; THENCE SOUTH 13°48'00" WEST 29.35 FEET; THENCE SOUTHI 41°44'45" EAST 168.93 FEET TO A POINT IN THE NORTHWESTERLY LINE OF THAT CERTAIN 104.00 FEET STRIP OF LAND DESCRIBED IN DEED RECORDED JUNE 2, 1964 IN BOOK 7071 PAGE 303. OF OFFICIAL RECORDS IN THE OFFICE OF THE
COUNTY RECORDER OF SAID COUNTY, SAID LAST MENTIONED POINT BEING ON A CURVE CONCAVE NORTHWESTERLY WITH A RADIUS OF 1748.00 FEET A RADIAL LINE TO WHICH BEARS SOUTI 47°28 22" EAST: THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL. ANGLE OF 14°19'42" A DISTANCE OF 437.13 FEET; THENCE NORTH 71°35'27" WEST 38.48 FEET TO A POINT IN THE NORTHEASTERLY LINE OF THAT CERTAIN 100.00 FEET STRIP OF LAND DESCRIBED IN DEED RECORDED IN BOOK 7077 PAGE 477, OF OFFICIAL RECORDS OF SAID ORANGE COUNTY, SAID LAST MENTIONED POINT BEING ON A CURVE CONCAVE SOUTHWESTERLY WITH A RADIUS OF 850.00 FEET A RADIAL LINE TO WHICH BEARS NORTH 52°24 40" EAST: THENCE NORTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 13'28 40" A DISTANCE OF 199.95 FEET TO THE POINT OF BEGINNING.
EXCEPT THAT PORTION THEREOF DESCRIBED AS FOLLOWS:
BEGINNING AT THE VORTHEASTERLY TERMINUS OF THE CENTER LINE OF CROWN VALLEY PARKWAY 104.00 FEET WIDE.
AS DESCRIBED IN PARCEL. "B" OF A DEED RECORDED IN BOOK 6563 PAGE 80. OF OFFICIAL RECORDS OF ORANGE COUNTY.
CALIFORNIA, SAID NORTHEASTERLY TERMINUS BEING ON A CURVE CONCAVE NORTIWESTERLY AND HAVING A RADIUS OF 1800.00 FEET, A RADIAL. TO SAID POINT BEARS SOUTH 32"19'54" EAST: THENCE NORTHEASTERLY ALONG THE
CONTINUATION OF SAID CURVE BEING ALSO THE WESTERLY BOUNDARY OF THE LAND DESCRIBED IN A DEED RECORDED MARCH 22, 1963 IN BOOK 6476 PAGE 877, OF OFFICIAL RECORDS OF SAID ORANGE COUNTY, THROUGH A CENTRAL ANGLE OF 0°48'46" AN ARC DISTANCE OF 25.53 FEET: THENCE RADIAL TO SAID CURVE NORTH 33908'40" WEST
52.00 FEET TO THE TRUE POINT OF BEGINNING; THENCE NORTH 71"35'27" WEST 38.48 FEET TO A POINT ON A NON-TANGENT CURVE, CONCAVE SOUTHWESTERLY WITH A RADIUS OF 850.00 FEET, A RADIAL LINE TO SAID POINT BEARS NORTH 52°24'40" EAST: THENCE NORTHWESTERLY ALONG SAID CURVE TO A POINT NORTHWESTERLY 140.00 FEET: MEASURED ALONG SAID CURVE AND THE SOUTHEASTERLY PROLONGATION THEREOF FROM A LINE CONCENTRIC WITH AND VORTHWESTERLY 52.00 FEET FROM SAID WESTERLY BOUNDARY; THENCE NORTHEASTERLY 150.00 FEET ON DIRECT LINE TO A POINT VORTHWESTERLY |10.00 FEET. MEASURED ALONG A DIRECT LINE FROM A POINT ON SAID CONCENTRIC LINE NORTHEASTERLY 150.00: MEASURED ALONG SAID CONCENTRIC LINE FROM SAID SOUTHEASTERLY PROI.ONGATION; THENCE SOUTHEASTERLY 140.00 FEET ON A DIRECT LINE TO SAID LAST MENTIONED POINT; THENCE SOUTHWESTERLY ALONG SAID CONCENTRIC LINE TO THE TRUE POINT OF BEGINNING.
ALSO EXCEPT ALL WATER AND WATER RIGHTS IN OR UNDER SAID LAND OR WHICI MAY BE APPURTENANT TO SAID LAND, AS RESERVED IN DEED FROM LAGUNA NIGUEL CORPORATION RECORDED JANUARY 5. 196S IN BOOK 7368 PAGE 915, OF OFFICIAL RECORDS
APN: 654-051-27
SUBJECT TO ALL COVENANTS, CONDITIONS, RESTRICTIONS, RESERVATIONS, RIGHTS, RIGHTS OF WAY AND EASEMENTS OF RECORD, IF ANY.
SEE EXHIBIT "C-I" ATTACHED HERETO AND BY
THIS REFERENCE MADE A PART HEREOF.
RON
THIS DOCUMENT CONSISTING OF EXHIBITS "C" AND "C-" WAS PREPARED BY ME OR MIEDEMA
UNDER MY SUPERVISION
No. 4653
PREPARED BY: Pon Mielea
ON MIEDEMA L.S. 465
EGISTRATION EXPIRES: 9-30-2021 STATE OF CALIFORNIN
DATE: 9/14/2023
5364131.10
26048-930 EXHIBIT
EXHIBIT C-1
MTV REAL PROPERTY
LEGAL DESCRIPTION
LEGEND:
EXISTING LOT LINES
SCALE 1=70
SUBJECT LOT LINE
CENTER LINE STREET
TRACT NO. 3184 SLM. 201/1300
POINT OF
BEGINNING
N50° 12'00"E 242.00
N43°05'00"E 221.00'
*D-6°04'01" R- 850.00 L. =90.00
NIGUEL ROAD PORTION OF THE
N55°03'31"E 150.00' FIGUEL RANCHO
N40°|5'18"W 140.00 S4194445 E 168.93
D-10°08'13"
R=1,748.00
L=309.26'
CROWN VALLEY PARKWAY
LINE BEARING DISTANCE
LI S1348'00 29.35
L2 S62°21'00"E 74.54'
5364131.10
26048-930 EXHIBIT C-1
EXHIBIT D
To Easement Agreement dated _ 2023
MVTV EASEMENT AREA
LEGAL DESCRIPTION
THAT PORTION OF LOT 3 OF TRACT NO. 7622. IN THE CITY OF LAGUNA NIGUEL.
COUNTY OF ORANGE, STATE OF CALIFORNIA, AS SHOWN ON A MAP RECORDED IN BOOK 358, PAGES 21 TO 24 OF MISCELLANEOUS MAPS, AMENDED PURSUANT TO THAT CERTAIN CERTIFICATE OF CORRECTION RECORDED SEPTEMBER 8, 1980 AS INSTRUMENT NO. 10544 IN BOOK 13735, PAGE 97 RECORDS OF ORANGE COUNTY, CALIFORNIA MORE PARTICULARLY DESCRIBED AS FOLLOWS:
COMMENCING AT THE SOUTHWESTERLY CORNER OF SAID LOT 3 THENCE NORTH 41'44'42" WEST ALONG THE SOUTHWESTERLY LINE OF SAID LOT 3 A DISTANCE OF
11.96 FEET TO THE BEGINNING OF A NON-TANGENT CURVE CONCAVE SOUTHWESTERLY AND HAVING A RADIUS OF 10.00 FEET, A RADIAL LINE TO SAID BEGINNING BEARS SOUTH 48°24'46" WEST, SAID BEGINNING ALSO BEING THE TRUE POINT OF BEGINNING; THENCE 6.76 FEET ALONG SAID CURVE THROUGH A CENTRAL. ANGLE OF 38°43'19"; THENCE NORTH 03°12'06" EAST A DISTANCE OF
11.15 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE
SOUTHEASTERLY AND HAVING A RADIUS OF 12.50 FEET, A RADIAL LINE TO SAID CURVE BEARS SOUTH 86°47'54" EAST; THENCE 9.75 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 44°42'27"; THENCE NORTH 41°30'21" WEST A DISTANCE OF 92.58 FEET TO THE BEGINNING OF A NON-TANGENT CURVE CONCAVE NORTHEASTERLY AND HAVING A RADIUS OF 12.50 FEET, A RADIAL LINE TO SAID CURVE BEARS NORTH 48°32'30" EAST; THENCE 7.84 FEET ALONG SAJD CURVE THROUGH A CENTRAL ANGLE OF 35°5700"; THENCE NORTH 77°24'30" WEST A DISTANCE OF 20.21 FEET TO THE SOUTHWESTERLY PROPERTY LINE OF SAID LOT 3: THENCE ALONG THE SOUTHWESTERLY PROPERTY LINE OF SAID LOT 3 SOUTH 41°44'42" EAST A DISTANCE OF 139.27 FEET TO THE TRUE POINT OF SUBJECT TO ALL COVENANTS. CONDITIONS, RESTRICTIONS, RESERVATIONS,
RIGHTS, RIGITS OF WAY AND EASEMENTS OF RECORD, IF ANY
SEE EXHIBIT "D-I" CONTINUED ATTACHED HERETO AND BY
THIS REFERENCE MADE A PART HEREOF.
THIS DOCUMENT CONSISTING OF EXHIBIT "D" AND EXHIBIT "D-I", WAS PREPARED BYME OR UNDER MY SUPERVISION.
LICENSED LAND SURVFIOR RON
PREPARED BY: Pen Meter. MIEDEMA
‹ON MIEDEMA L.S. 4653
REGISTRATION EXPIRES: 9-30-202: No. 4653
DATE: 9/14/2023 HAT I CAL ONE
5364131.10
26048-930 EXHIBIT D
EXHIBIT D-1
LEGEND:
CENTER LINE STREET
- to EASEMENT LINE
TRACT NO. 752 EXISTING LOT LINES
SUBJECT LOT LINE
SCALE 1"=30'
EASEMENT AREA
L3
•C3
LOTS
OWNERE
LASUNA NIGUEL MMl. 353/21-243
coMMUNIY
SERVICES DISTRICT
PORTION OF
THE MIGUEL
S 41º44'42" E 166.92' 139.27 N 41°30'21" W 92.58' LINE BEARING DISTANCE RANCHO N 41°44'42" W
LI 11.96'
L2 N 03°12'06" E 11.15'
L3 N 77°24'30" W 20.21'
CURVE DELTA ANGLE ARC LENGTH RADIUS
DYNER: C1 38°43'19" 6.76 10.00'
МУ/THE C2 44°42'27" 2.75 12.50$
C3 35°57'00" 7.84° 12.50'
VILLAGE LLG
1.2 - CI
TRUE POINT - L1
OF BEGINNING
*POINT
OF BEGINNING
CROWN VALLEY PARKWAY
-E
5364131.10
26048-930 EXHIBIT D-1
EXHIBIT E
CITY EASEMENT AREA
LEGAL DESCRIPTION
A STRIP OF LAND 43 FEET IN WIDTH OVER THAT PORTION OF THE LAND IN THE CITY OF LAGUNA NIGUEL, THE COUNTY OF ORANGE, STATE OF CALIFORNIA.
DESCRIBED AS THAT PORTION OF THE NIGUEL RANCHO, AS SHOWN ON A MAP RECORDED JUNE 30, 1877, IN BOOK 2, PAGE 230 AND 231 OF PATENTS, RECORDS OF LOS ANGELES COUNTY, CALIFORNIA, LYING 21.5 FEET ON EACH SIDE OF THE FOLLOWING DESCRIBED CENTERLINE:
COMMENCING AT THE SOUTHEASTERLY CORNER OF SAID PARCEL OF LAND, THENCE NORTH 41°44'42" WEST A DISTANCE OF 137.62 FEET ALONG THE EASTERLY PROPERTY LINE OF SAID PARCEL OF LAND; THENCE SOUTH 48°32'30" WEST A DISTANCE OF 30.02 FEET TO THE TRUE POINT OF BEGINNING; THENCE SOUTH 48°32'30" WEST 54.80 FEET.
SUBJECT TO ALL COVENANTS, CONDITIONS, RESTRICTIONS, RESERVATIONS, RIGHTS, RIGHTS OF WAY AND EASEMENTS OF RECORD, IF ANY.
SEE EXHIBIT "E-I" ATTACHED HERETO AND BY
THIS REFERENCE MADE A PART HEREOF.
THIS DOCUMENT CONSISTING OF EXHIBIT "E" AND EXHIBIT "E-I", WAS PREPARED BY ME OR UNDER MY SUPERVISION.
RON
MIEDEMA
PREPARED BY: Pen Medea
No. 4653
RON MIEDEMA L.S. 4653
REGISTRATION EXPIRES: 9-30-2023
STATE OF CALIFORNIN
DATE: 9/14/2023
5364131.10
26048-930 EXHIBIT E
EXHIBIT E-1
PORTION OF
THE NIGUEL
RANCHO
SCAI.F I"=30" N 48°32'30" E 54.80'
779777777
TAT S4832'30WS4.80 LI
sis- TELL BONING P
N 48°32'30" E 54.80*
LINE BEARING DISTANCE LOT 3
S 48°32'30" W 30.02'
L2 N41927'30 43.00'
BLANKET EASEMENT
RESERVED FOR INGRESS
AND EGRESS PURPOSES S 41°44'42" E 137.62'
OWNERS
LEGEND: LAGUNA NIGUEL
CENTER LINE STREET OWNERS COMMUNITY
EASEMENT LINE MY/THE SERVICES
EXISTING LOT LINE VILLAGE LLE DISTRICT
SUBJECT LOT LINE
EASEMENT AREA
...
*POINT
OF BEGINNING
CROWN VALLEY PARKWAY
- -€ - -
5364131.10
26048-930 EXHIBIT E-1
za gan
NIGUEL ROAD
Biti tive
LEGEND
DESCRLPZION 1, 000 P rAM
(12345) ( MrAS TEEVATTONS
REC BRG B DISTI
CROWN VALLEY PARKWAY
SRAIENBNY +DZE TANGENIS CARMOD
ATURA: GRAD IE NE BECALO S LE SL AFT CHERCE TO EE TE, ME E SP13 AY NO INIEONIML ROES IN FAVOR OF CONIY OF UANCE.
OVER POLE
AIER METES
FINISI 11 DOR EEE F AE STE NE IL PLENO S ERMT SANIADN BSTRET MS IE CF GARAGE FLOOR -UFFSE:S
CONCRETE
FINISH SURFACE
MAN-HOLE e =
PROPOSC) MAIES TRACES UTILITY ANE WASATEMANEE ASEMAR IN FAVOR DE MUES
TOP-GRATE EA AE R VELE ORES IN TANDA D SENIN CAICNI COISON COARAT, PECCASCE RdM SURVEYING INC. TOPOGRAPHIC SURVEY STWNS PU LEGAL DESCRIPTION MENDE MARS ADDRESS UF PROJECI- CCH Corporallun County of Dronge
Bencn Mora # 3U 50-91 30001 CROWN VALLEY PARK WAY
JOB 18-100 DATE 1-11-I8 Parcel Man No eu-cu
Elevation = 267759 novd 88 dosum LAGUNA NIGUEL
Resolution No. 2023-1450 Page 6
EXHIBIT 2
Easement Value Assessment
EYEBRATIN
50 YEARS
Founded 1973
KEYSER MARSTON ASSOCIATES
MEMORANDUM
ADVISORS IN:
Real Estate
Affordable Housing
Economic Development
To: John Morgan, Development Services Manager
BERKELEY
A. Jerry Keyser City of Laguna Niguel
Timothy C. Kelly
Debbie M. Kern
David Doezema From: Kevin Engstrom
OS ANGEL
athleen H. He Date: January 20, 2023
James A. Rabe
Subject: Village Project Easement Exchange
ulie L. Rome
Tim R. Bret
SAN DIEGO
Pursuant to your request, Keyser Marston Associates, Inc. (KMA) evaluated a proposed easement exchange between the City of Laguna Niguel (City) and the Village commercial project located at 30001 Crown Valley Parkway (Project).
UNDERSTANDING OF THE SITUATION
As KMA understands the situation, the Project is looking to proceed with a major remodel. Included in the remodel is the expansion of a portion of the Project's building footprint to accommodate a new restaurant tenant space. The Project is immediately adjacent to Crown Valley Community Park (Park). To accommodate the building expansion, the Project owner (Owner) requires an easement from the City over a section of the Park's landscaping boundary to relocate a drive-aisle that leads to the back of the building (required by the Fire Authority and needed for access to parking for tenants and customers). The land area required to relocate the drive aisle in the Park is 1,658 square feet. This land area is not included in the active Park space or parking spaces in the adjacent Park parking lot and is instead a passive section of the Park's boundary landscaping.
777 SOUTH FIGUEROA STREET, SUITE 2555 - LOS ANGELES, CALIFORNIA 90017 - PHONE 213.622.8095 2301012:LGN:kee
WWW.KEYSERMARSTON.COM| 15150.009.002
John Morgan, City of Laguna Niguel January 20, 2023
Village Project Easement Exchange Page 2
To provide the easement over 1,658 square feet of boundary landscaping, the City is requiring the Owner provide an equal or greater land area or land value of privately owned land contiguous to the Park. To that end, the Owner and City have reached an agreement for the Owner to provide Park patrons the benefit of five improved parking spaces, which cover 1,872 square feet under a reciprocal parking agreement. These spaces would provide a public benefit by serving as overflow parking for the Park during peak times (e.g., soccer tournaments at the Park). To that end, the City requested KMA review the proposed transaction and consider whether the easement received by the City equals or exceeds the value of the easement provided to the Owner.
EVALUATION
The analysis conducted hereunder considers the value of the City's and Owner's position in the properties subject to the easement agreement. The KMA analysis examines the potential value of the parking lot land and improvements compared to the Park boundary land based on its potential use. To provide an understanding of these values, KMA examined comparable sales within the market area for land zoned as commercial and open space.
As shown in Table 1, KMA reviewed land sale transactions in the market area since 2021, identifying a total of nine transactions for land zoned as commercial.' The transactions averaged a sales price of $40 per square foot, with prices ranging from $7.00 to $340.00 per square foot. Among these sales was a transaction for a 15.4-acre parcel on the northeast corner of Stonehill Drive and the San Juan Creek Trail. The sales price for this site was $7.45 per square foot; however, this price included numerous offsets to reflect extraordinary topographic and infrastructure concerns, thus diminishing its value significantly. When this comparable sale is removed from the collection of properties, then the average sales price increases to $71 per square foot.
During this same period, no sales occurred of land zoned as open space. To that end, KMA changed the timeframe to begin in 2000. With this adjustment, there was one transaction with a sales price of $.60 per square foot in 2007. For additional context, KMA also pulled comparable sales for recreational space (e.g. golf courses) in the market area and found that these sales prices range from $.20 to $10 per square foot. * Includes land in following CoStar Submarkets: Laguna Niguel/Laguna Beach, Laguna Hills/Aliso Viejo and San Juan Capistrano/San Clemente/Dana Point/Capistrano Beach. 2301012:LGN:kee
15150.009.002
John Morgan, City of Laguna Niguel January 20, 2023
Village Project Easement Exchange Page 3
The average sales price for these transactions was $3.60 per square foot, when adjusted for inflation the average price increases to $4.90 per square foot.
FINDINGS
The KMA analysis indicates the following:
1. Commercial land values in the market area are significantly higher than property zoned for open space and/or recreational space.
2. The easement received by the City is already improved as a surface parking lot.
Typically, construction costs are approximately $5,000 per space for surface lots, further enhancing the value of the commercial property.
3. The easement to be provided the Owner does not utilize active Park space, instead it covers a portion of its passive boundary landscaping.
4. The easement to be received by the City covers 1,872 square feet of land, which is 214 square feet greater than the 1,658 square foot easement received by the Owner.
Based on the foregoing factors, it is KMA's opinion that the value of the land to be received as an easement by the City exceeds the value of the easement to be received by the Owner.
2301012:LGN:kee
15150.009.002
TABLE 1
LAND SALES COMPARABLES
VIILAGE EASEMENT EXCHANGE
LAGUNA NIGUEL, CALIFORNIA
No. Description Address City Sale Date Size (SF) Sales Price Price Per SE Commercial 400-600 Freedom Li August-21 4.97 216,493 $10,400,000 $48.04 Commercial 100-130 Avenida Ros September-21 0.21 9,148 $1,100,000 $120.25 Commercial Calle Frontera September-22 2.53 110,207 $9,250,000 $83.93 Commercial 26852 Calle Hermosa October-21 0.16 6,970 $680,000 $97.57 Commercial 31825 Los Rios St December-21 5.69 247,856 $9,000,000 $36.31 Commercial 34311 Pacific Coast Highway September-22 1.43 62,291 $13,904,929 $223.23 Commercial 234 Avenida Granada August-22 0.11 4,792 $1,616,080 $337.27 Commercial 25325 Dana Point Harbor Dr September-22 49,658 $4,460,071 $89.82 9 Commercial NEC Stonehill Dr July-21 670,824 $5,000,000 $7.45 10 Open Space Laguna Cyn Rd November-07 2,543,904 $1,500,000 $0.59 11 Golf Course 200 Avenida La Pata 6,664,680 $18,000,000 $2.70 12 Golf Course 30800 Golf Club Dr January-19 1,927,094 $20,000,000 $10.38 Commercial Weighted Average $40.20
Adjusted Commercial Average $71.26
Open Space/Golf Course Weighted Average $3.55
Source: Costar 1/2023. Indudes land in the Laguna Niguel/Laguna Beach, Laguna His/Aliso Viejo and San Juan Capistrano/San Clemente/Dana Point/Capistrano Beach submarkets.