Facilities CFD Application — Finance Committee, September 14, 2026

City of Menifee
Proposed Community Facilities District
Special Funding District Application Packet

Cypress Sands
(Tract No. 39364)

FB Cypress Sands LLC,

August 12 , 2026

City of Menifee
Special Funding District Application Packet

Cypress Sands
(Tract No. 39364)

Cypress Sands LLC,

August 12, 2026

Table of Contents
▪ Special Funding District Application Form
▪ Exhibits
▪ Exhibit 1: Bond Sizing and Total Tax Rate Analysis
▪ Exhibit 2: Facilities List
▪ Exhibit 3: Proposed Special Tax
▪ Exhibit 4: Summary of Acreage, Undeveloped and Backup Special Tax Rates

▪ Exhibit 5: Product Mix and Pricing
▪ Exhibit 6: Absorption Schedule
▪ Exhibit 7: Site Plan
▪ Exhibit 8: Title Report
▪ Exhibit 9: Draft RMA
DEPOSIT REQUIREMENTS
Total Deposit of $70,000 required at time application is submitted. $65,000 will be eligible for reimbursement at time bond proceeds are available. $5,000 is non-refundable.

An additional $7
0,000 will be required for each zone or improvement area.

SPECIAL FUNDING DISTRICT
APPLICATION FORM
Proposed Special District: CFD for Facilities
Proposed Name of Project:

CITY USE ONLY
Date Received: Amount:

Proposed Special District Number:

1. IDENTIFICATION OF SUBJECT PROPERTY
Description of Property (include N, S, E &/or W, borders, acreage & tract number) A. APN(s) and/or Master Parcel Number
Attach Backup (if needed)
Include all Assessor Parcel Numbers to be included in the Special District in their entirety (XXX‐XXX‐XXX‐X)
B. Tract/Tentative Tract Map Number
Enclose copy of map
C. Recorded Lot Line Adjustments
Enclose copy of document(s)
D. Mapping Status □ Approved □ Tentative
E. Environmental Permits Required □ Yes □ No
F. Status of Permits □ Application in Process
G. Conditions of Approval Required □ Yes □ No
By Whom
H. Status of Conditions □ In Process □ Completed
Cypress Sands

9.27 gross acres of vacant land located on the southwest intersection of Chambers Avenue and Antelope Road proposed to be developed into 132 attached town homes. 6 of the proposed 132 units will be affordable units. 344-120-001
TTM No. 39364
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City of Menifee
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✔

Special District Application

Page 2 of 4 ends

2. PROPERTY OWNER INFORMATION (Attach Grant Deed)

3. CONSULTANT/APPLICANT INFORMATION

4. ENGINEERING INFORMATION

5. PROJECT LAND USE (Per Improvement Area or Zone, When Applicable) A. Number of Taxable Units
B. Proposed Product Mix See below
C. Base Sale Price Information See below
D. Number of Taxable Acres
Attach Backup
E. Number of Exempt Acres
Attach Backup
F. Desired Tax Rate Burden %
G. Anticipated Absorption per month
A. Landowner Name(s)
Attach Backup (if needed)
B. Contact Name
C. Title
D. Mailing Information
E. Phone
F. Fax
G. E -Mail
A. Company Name
B. Contact Name
C. Title
D. Mailing Information
E. Phone
F. Fax
G. E -Mail
A. Company Name
B. Contact Name
C. Title
D. Mailing Information
E. Phone
F. Fax
G. E -Mail
FB Cypress Sands LLC, a Delaware limited liability company James P. Walter
Managing Director
151 Kalmus Drive, Unit A202 Costa Mesa, CA 92626
(949) 274- 3526
[email protected]

DPFG, LLC
Manju Pokharel
Senior Manager
26840 Aliso Viejo Parkway, Suite 110, Aliso Viejo, CA 92656 (949) 388-9269 Ext. 1143
(949) 388-9272
[email protected]
Proactive Engineering Consultants
Carlos Moreno, P.E.
200 S. Main Street Suite 300, Corona CA 92882
(951) 280 - 3300
[email protected]
126

4.46 5.26

2.00% See Exhibit 1.
4 per month. See Exhibit 6.

Special District Application

Page 3 of 4 ends

6. COMPOSITION OF DEVELOPABLE ACREAGE
Attach Additional Backup (if needed)
Residential
Commercial-Retail
Business Park
School Site

PROPOSED RESIDENTIAL PRODUCT MIX
Plan Number
Apartment, Attached, or Detached
Number of Units
Average Lot Size
Prices
Square Footage of Living Area
Occupancies (See Table Below)
Quarter & Year Plan 1 Plan 2 Plan 3 Plan 4

7. FINANCING STRUCTURES OFFERED TO HOMEBUYERS
□ FHA □ VA □ VARIABLE
□ OTHER

8. FINANCING MECHANICS
Acreage Commence Occupancy
(Quarter & Year)
1 2 3 4
sq. ft.

A. Preparation of Boundary Map
Attach if possible
B. Preparation of RMA
Attach if possible
C. Proposed JCFAs
Agency Name
Funding Purpose (i.e. fees, facilities)
Name
Contact Name
Mailing Address
Phone
Fax
Email

9.27 Gross Acres.

Q3 2028
Detached
See Exhibit 5
See Exhibit 5
See Exhibit 5
Q3 2028. See Exhibit 6
■
TBD
To be prepared by Spicer Consulting Group, LLC.

See Exhibit 9
Proposed JCFA with Menifee Union School District
Menifee Union School District
School Mitigation Fees
Key Analytics
Jesse Landre
555 Corporate Drive, Suite 100, Ladera Ranch, CA 92694
(949) 272-0970
[email protected] (Consultant)
1,541
Special District Application

Page 4 of 4 ends

Agency Name
Funding Purpose (i.e. fees, facilities)
Name
Contact Name
Mailing Address
Phone
Fax
Email
D. Additional Land Secured Financings Proposed
Agency Name & Backup
E. Overlapping Land Secured Financings List all existing special taxes, assessments, & liens as well as agency name(s)* F. Improvement Area(s)/Zone(s) ☐ Yes ☐ No
G. Basis for Either
H. Initial Levy Fiscal Year
I. Final Levy Fiscal Year (Anticipated)
J. Proposed Capitalized Interest Months
K. Proposed Facilities Costs Breakout Between Improvement Area(s)/Zone(s) & Type of Facility/Agency L. Summary of Proposed Methodology Proposed Land Use Categories & Method of Apportionment Questions? Contact our Special Tax Consultant, Spicer Consulting Group at 866-504-2067. Thank you. * Attach backup as needed
None. See Exhibit 1.
■
Fiscal Year 2027-2028
Fiscal Year 2071-2072
6 See Exhibit 3.

See Exhibit 1.

See Exhibit 2.

EXHIBIT 1

BOND SIZING AND TOTAL TAX RATE ANALYSIS

Fairbrook Communities
Cypress Sands - Townhomes
Bond Sizing and Total Tax Rate Analysis
Proposed City of Menifee CFD with MUSD JCFA
August 12, 2026
I. Home Prices and Combined Tax Rates:

LAND USE INFORMATION TOTAL TAX RATE ANALYSIS
Proposed 0 FY 25/26 Perris Union ESTIMATED Proposed
City Facilities Estimated Ad Valorem Other Fixed High School City of Menifee City of Menifee City of Menifee Total Total Product CFD Home Unit Base Tax Rate Charges & District Maintenance CFD Safety Services CFD Facilities CFD Total Tax Facilities CFD Type Plan Tax Category Size (Sq Ft) Count Sales Price (1.15416%) Assess. CFD 92-1 Special Tax Special Tax Special Tax Taxes Rate Revenues (a) (a) (a) (a) (a) (b) (c) (d) (e) (f) (g)
Market Rate Units
Townhomes 1 < 1,400 1,312 59 450,000$ 5,194 $ 22 $ 190 $ 440 $ 525 $ 2,625 $ 8,996 $ 2.00% 154,875 $ Townhomes 1-E < 1,400 1,312 6 470,000 5,425 22 190 440 525 2,625 9,227 1.96% 15,750 Townhomes 2 1,400 - 1,499 1,423 32 490,000 5,655 22 190 440 525 2,965 9,797 2.00% 94,880 Townhomes 3 > 1,499 1,510 29 510,000 5,886 22 190 440 525 3,135 10,198 2.00% 90,915 Market Rate - Total/ Wtd. Avg. 1,386 126 474,921$ 5,481 $ 22 $ 190 $ 440 $ 525 $ 2,829$ 9,487 $ 2.00% 356,420$ Affordable Units
Townhomes 4 N/A 1,364 6 106,134 1,225 22 190 - - - 1,437 1.35% - Affordable - Total/ Wtd. Avg. 1,364 6 106,134$ 1,225 $ 22 $ 190 $ - $ - $ - $ 1,437$ 1.35% -$ II. Proposed City CFD Bond Sizing & Construction Proceeds: Total Revenue available for Debt Service [(Taxes for Bonding less Admin Expenses of $30,000)/ 110% Debt Service Coverage)] 296,745$ Bond Amount (5.00% Interest, 30 Year Term and 30 Year Amortization, 2.00% Escalating Special Taxes) 5,745,000$ Underwriter Discount (Minimum of $50,000 or 2.0%) (114,900) Reserve Fund (Average Annual Debt Service x 1.25) (501,600) Capitalized Interest (6 months) (143,625)
Incidental Costs (250,000)
Total Net Construction Proceeds 4,734,875$
Per Unit 37,578$
III. Allocation of Net Construction Proceeds: Per Unit Total City of Menifee DIF (100% of $1,895,810 or $15,046 per Unit) 15,046$ 1,895,810$ MUSD Mitigation Payment (100% of $884,232 or $7,018 per Unit) 7,018 884,232 City of Menifee Facilities (82% of $2,375,000 or $18,849 per Unit) 15,515 1,954,833 Total Net Construction Proceeds 37,578$ 4,734,875$ IV. Footnotes:
(a) Product mix and pricing provided by Fairbrook Communities on 7/14/2026. (b) Includes 1.00% plus the following:
- A tax of 0.04712% is charged for fiscal year 2025-2026 by the Perris Union High School District to pay debt service for outst anding bonds within the district. - A tax of 0.00254% is charged for fiscal year 2025-2026 by the Mt. San Jacinto Junior College to pay debt service for outstanding bonds within the district. - A tax of 0.07500% is charged for fiscal year 2025-2026 by the Menifee Union School District to pay debt service for outstandi ng bonds within the district. - A tax of 0.02250% is charged for fiscal year 2025-2026 by the EMWD Improvement District U-6 to pay debt service for outstandi ng bonds within the district. - A tax of 0.00700% is charged for fiscal year 2025-2026 by the Metropolitan Water District to pay debt service for outstanding bonds within the district. (c) Includes the following:
- MWD charges a standby fee at a rate of $6.94 per acre, or $6.94 per parcel if less than an acre. - EMWD charges a standby fee at a rate of $11.00 per acre, or $11.00 per parcel if less than an acre. - Riverside County Flood Control and Water Conservation District annual assessment of $3.74 per unit. (d) Represents the fiscal year 2026-27 assigned special tax for the Perris Union High School District CFD 92-1. This amount escalates by 2% each year. (e)
(f)
(g)
Represents the PRELIMINARY ESTIMATE per client for the special tax of the City of Menifee CFD for the maintenance of the right -of-way landscaping, streetlights, traffic signals, streets, graffiti abatement and other public improvements. This special tax escalates each fiscal year by the greater of 2% or the percentage increase in the CPI for Los An geles-Riverside-Orange County. This ESTIMATE is subject to change until a maintenance exhibit is prepared and a budget is prepared by the City.

Represents the proposed Special Tax for the City of Menifee CFD to finance City DIF, EMWD water and sewer fees, and Menifee Uni on School District fees. Please note that the Ci ty typically requires a premium of 20% of DIF to form a Facilities CFD. Per the 6/17/2026 City Staff Report, the ci ty may consider a waiver/reduction of the premium for requiring the project to annex into the Safety Services CFD No. 2026-S. The analysis above assumes the City will waive the 20% premium, however further discussions with the City are required to confirm if they will allow this.

Represents the ESTIMATED fiscal year 2026-27 maximum special tax for the City of Menifee CFD No. 2026-S to pay for police, fire protection and suppression services, and paramedic services. The maximum special tax escalates each year by 4.00%. Please note that the Conditions of Approval do not require the project to annex into CFD No. 2026 -S. However, per the Amended City Council Po licy CC-20 approved on 6/17/2026, the City will require the project to annex into CFD No. 2026-S as a co ndition to forming the proposed City Facilities CFD.

EXHIBIT 2

FACILITIES LIST

City of Menifee DIF (MF Rate)[1]
Rate Per Units Total
General Government 920 $ DU 132 121,440 $ Fire 506 DU 132 66,792
Law Enforcement 724 DU 132 95,568 Parks and Recreation 1,348 DU 132 177,936 Transportation Impact Fee 3,585 DU 132 473,220 Storm Drain Fee (Zone F_A) 50 DU 132 6,600 Quimby EST.[2]
7,229 DU 132 954,254
Total City Development Impact Fees 14,362 $ 1,895,810 $ Menifee Union School District[3]
Rate Per Units Total
2026 Level I School Fee 3.87$ SF 182,787 707,386 $ Developer Fee Premium (25%) 0.97 SF 182,787 176,846 Total MUSD Mitigation Payment 884,232$
City of Menifee Facilities[4]
Rate Per Units Total
Street Improvements 14,394 $ DU 132 1,900,000 $ Prevailing Wage 3,598 DU 132 475,000
Total City Facilities 17,992 $ 2,375,000 $
Total Fees and Facilities 5,155,043$
Footnotes:
[4] Reflects the estimated cost for Street Improvements. [2] The Quimby fee is calculated per section 7.75.070 of the municipal code and is equal to the average number of persons per attached townhome unit (2.48) x 0.005 acres x the estimated fair market value per acre ($583,000). The fair market value of the land is estimated to be $583,000 based on a currently completed appraisal that was approved by the City.
[3] Per the MUSD CFD consultant, the estimated MUSD mitigation fee is calculated based on 125% of the 2026 Level I school fee of $3.87 per SF. A formal request to MUSD will be required in order to determine the actual mitigation fee amount.

Cypress Sands - Townhomes
Fairbrook Communities
Bond Sizing and Total Tax Rate Analysis
Preliminary List of Authorized Facilities
August 12, 2026
[1] Reflects the City of Menifee Development Impact Fees for Multi-Family units effective as of 7/1/2023. Per the Conditions of Approval, the DIF applicable to the Project is frozen under SB330 at the rates that were in effect at the time of pre-application submittal (4/3/2024). The DIF will remain frozen for a period of 2.5 years from the date of entitlement approval (11/12/2025) and will become null and void on 5/12/2028. Per the City on 7/28/2026, the Multi- Family Development Impact Fee rates are applicable to the project.

EXHIBIT 3

PROPOSED SPECIAL TAX

Fairbrook Communities
Cypress Sands - Townhomes
Proposed City of Menifee CFD with MUSD JCFA
Proposed Special Tax for Developed Property
Land Use Category Taxable Unit
Developed
Floor Area
Proposed
Special Tax
1 - Residential Property DU < 1,400 2,625 $
2 - Residential Property DU 1,400 - 1,499 2,965
3 - Residential Property DU > 1,499 3,135
EXHIBIT 4

SUMMARY OF ACREAGE, UNDEVELOPED PROPERTY AND BACKUP SPECIAL

TAX RATES

Fairbrook Communities
Cypress Sands - Townhomes
Proposed City of Menifee CFD with MUSD JCFA
Summary of Acreage, Undeveloped Property Special Tax Rates I. Calculation of Net Taxable Acres:

No. of Units 126
Gross Acreage 9.27
Less: Other (Streets, Open Space, Park Site, Detention Basin, etc.) 4.81 Net Taxable Acres (Est.) 4.46
II. Calculation of Undeveloped Property Tax Rate:

Total Developed Property Revenues 356,420 $
Net Taxable Acres 4.46
Less: Contingency Factor (10.00%) (0.45)
Net Taxable Acres (Adjusted) 4.01
Undeveloped Property Tax Rate per Acre 88,850 $
EXHIBIT 5

PRODUCT MIX AND PRICING

Fairbrook Communities
Cypress Sands - Townhomes
Proposed City of Menifee CFD with MUSD JCFA
Product and Pricing
Plan Number 1 1-E 2 3
Apartment, Attached, or Detached Attached Attached Attached Attached Number of Market Rate Units 59 6 32 29
Total Number of Units 63 6 33 30
Market Rate Units Pricing 450,000 $ 470,000 $ 490,000 $ 510,000 $ Square Footage of Living Area 1,312 1,312 1,423 1,510 EXHIBIT 6

ABSORPTION SCHEDULE

Plan Number 1 1-E 2 3 Total
Number of Units 59 6 32 29 126 Q1 - - - - - Q2 - - - - - Q3 - - - - - Q4 6 1 3 2 12 Q1 9 1 4 4 18 Q2 9 1 5 3 18 Q3 8 1 4 5 18 Q4 9 - 5 4 18 Q1 8 1 4 5 18 Q2 8 1 5 4 18 Q3 2 - 2 2 6 Q4 - - - - - Q1 - - - - - Q2 - - - - - Q3 - - - - - Q4 - - - - - Q1 - - - - - Q2 - - - - - Q3 - - - - - Q4 - - - - - Plan Number 1 1-E 2 3 Total
Number of Units 59 6 32 29 126 Q1 - - - - - Q2 - - - - - Q3 - - - - - Q4 - - - - - Q1 - - - - - Q2 - - - - - Q3 6 1 3 2 12 Q4 6 1 3 2 12 Q1 6 - 3 3 12 Q2 5 1 3 3 12 Q3 6 - 3 3 12 Q4 5 1 3 3 12 Q1 6 - 3 3 12 Q2 5 1 3 3 12 Q3 5 1 3 3 12 Q4 6 - 3 3 12 Q1 3 - 2 1 6 Q2 - - - - - Q3 - - - - - Q4 - - - - - 2031
Fairbrook Communities
Cypress Sands - Townhomes
Home Closings
2027
2028
2029
Building Permit Issuance
2027
2028
2029
Estimated Absorption Schedule
2030
2031
2030
EXHIBIT 7

SITE PLAN

PROJECT SUMMARY

PROPOSED MEDIUM DENSITY RESIDENTIAL PROJECT
CONSISTING OF 18 TWO STORY ROW TOWNHOME
BUILDINGS (132 UNITS) WITH ASSOCIATED

AMENITY AREAS AND PARKING

EXISTING USE VACANT

ZONEMEDIUM DENSITY RESIDENTIAL (MDR)
A.P.N.333-050-034
# OF UNITS 132
# OF BLDG'S 18
GROSS SITE 8.15 GROSS ACRES
NET SITE 7.34 ACRES
DENSITY 18.0 DU/ACRE

BLDG CODE CALIFORNIA RESIDENTIAL CODE
CONST. TYPE VB
OCCUPANCY R3/U
FIRE SPRINKLERS 13D (PER CRC R313)
BLDG HEIGHT 30' @ RIDGE, 21' @ EAVE (2 STORY)
MAXIMUM BUILDING AREA = 14,970 S.F. (8 PLEX)
FIRE FLOW = 1,625 GPM @ 20 PSI FOR 2 HRS
OFM-01B ITEM 2B, CFC TABLE B105.1(1) AND B105.1(2)
HYDRANT SPACING PER OFM-01B ATTACHMENT 4

PRODUCT SUMMARY
69 - PL 1 1,312 SF 3 BD + LOFT
33 - PL 2 1,423 SF 3 BD + LOFT
30 - PL 31,510 SF4 BD
132 TOTAL UNITS

ACCESSIBLE UNIT SUMMARY
PER CBC SECTION 1102A.3 10% REQUIRED
132 UNITS X 10% = 13.2 OR 14 ADA UNITS
ACCESSIBLE UNITS #'S
(3, 5, 16, 24, 25, 45, 52, 60, 76, 83, 91, 106, 112, 120)

REQUIRED PARKING

DENSITY BONUS
102 U @ 3 BD = 1.5 ST/U 153 STALLS
30 U @ 4 BD = 2.5 ST/U 75 STALLS
TOTAL REQ'D 228 STALLS

PROVIDED PARKING
GARAGE STALLS 264 STALLS
OPEN STALLS 31 STALLS
295 TOTAL
BICYCLE PARKING 15 REQUIRED

ADA PARKING SUMMARY
2% ASSIGNED STALLS = 264 X .02 = 6 STALLS
5% UNASSIGNED STALLS = 31 X .05 = 2 STALLS
REQUIRED ADA STALLS = 8 TOTAL

PROVIDED ADA STALLS
ASSIGNED ACCESSIBLE GARAGES = 14 STALLS
UNASSIGNED OPEN = 2 STALLS
TOTAL ADA STALLS = 16 STALLS

OPEN SPACE SUMMARY
PRIVATE YARDS 39,081 SF (296 SF/UNIT)
COMMON AREA 6,256 SF (47 SF/UNIT)
PASSIVE OPEN 4,002 SF
SLOPE AREA 10,302 SF
WATER QUALITY 10,656 SF
OTHER OPEN 51,994 SF
NET SITE AREA319,824 SF
DRIVES/PARKING 73,129 SF (22.9%)
BLDG. COVERAGE 124,404 SF (38.9%)
(50% ALLOWED)
OPEN SPACE122,291 SF (38.2%)
(30% REQ'D)

UTILITY/SERVICES PROVIDERS
WATER SERVICE: EASTERN MUNICIPAL WATER DISTRICT
SEWER SERVICE: EASTERN MUNICIPAL WATER DISTRICT
GAS:SOUTHERN CALIFORNIA GAS COMPANY
ELECTRICITY: SOUTHERN CALIFORNIA EDISON
TEL./ CABLE: AT&T/ FRONTIER COMMUNICATIONS
SCHOOL DISTRICT: MENIFEE UNION
DEDICATIONS 9' AT ANTELOPE ROAD
6' AT CHAMBERS AVENUE
30' AT TIOGA LANE

LOT 'E'

LOT 'D'

LOT 'C'

LOT 'B'
1 2
6 5
4 3
BLDG 1 - TYPE C (SPANISH)
PL 3
PL 3
7 8
PL 1
PL 2
PL 1
PL 2
PL 1
PL 1
PL 3 PL 3
9 10 11 12 13 14 15 16BLDG 2 - TYPE C-R (COTTAGE)
PL 1PL 1 PL 1PL 2PL 1 PL 2
BLDG 18 - TYPE B (BUNGALOW)
PL 3
PL 2
PL 2
PL 1
PL 1
PL 1
PL 1
129
130
131
132
126
127
128
BLDG 3 - TYPE C (SPANISH)
PL 3 PL 3
2423222120191817
PL 2PL 2 PL 1 PL 1PL 1PL 1
BLDG 16 - TYPE B(R) (COTTAGE)
PL 1
PL 2
PL 1
PL 3
PL 1
PL 1
PL 2
113
114
115
116
117
118
119
BLDG 17 - TYPE A (SPANISH)
PL 3
PL 3
PL 2
PL 1
PL 1
PL 1
125
124
123
122
121
120
BLDG 15 - TYPE B (SPANISH)
PL 1
PL 1
PL 2
PL 3
PL 1
PL 2
PL 1
112
111
110
109
108
107
106
BLDG 14 - TYPE A(R) (BUNGALOW)
PL 3 100
PL 2
PL 3
PL 1
PL 1
PL 1
101
102
103
104
105 BLDG 13 - TYPE C (COTTAGE)
PL 3
PL 399
98 97
96 95
94 93
92 PL 1
PL 1
PL 1
PL 1
PL 2
PL 2
BLDG 12 - TYPE C(R) (BUNGALOW)
PL 3
PL 3
85 84
87 86
89 88
91 90
PL 2
PL 2
PL 1
PL 1
PL 1
PL 1
BLDG 11 - TYPE C (SPANISH)
PL 3
PL 3
82 83
80 81
78 79
76 77
PL 2
PL 2
PL 1
PL 1
PL 1
PL 1
BLDG 10 - TYPE C(R) (BUNGALOW)
PL 3
PL 3
74 75
72 73
70 71
68 69
PL 2
PL 2
PL 1
PL 1
PL 1
PL 1
BLDG 8 - TYPE C(R) (COTTAGE)
PL 3
PL 3
54 53
56 55
58 57
60 59
PL 2
PL 2
PL 1
PL 1
PL 1
PL 1
BLDG 9 - TYPE B (SPANISH)
PL 1
62 61
64 63
66 65
67 PL 1
PL 2
PL 2
PL 1
PL 1
PL 3
BLDG 7 - TYPE C (BUNGALOW)
PL 3
PL 3
51 52
49 50
47 48
45 46
PL 2
PL 2
PL 1
PL 1
PL 1
PL 1
BLDG 6 - TYPE B(R) (COTTAGE)
PL 1
43 44
41 42
39 40
38 PL 2
PL 1
PL 1
PL 3
PL 1
PL 2
BLDG 4 - TYPE A(R) (COTTAGE)
PL 3
PL 3
25 26
27 28
29 30
PL 1
PL 1
PL 2
PL 1
BLDG 5 - TYPE B(R) (SPANISH)
PL 3
PL 1
PL 1
PL 1
PL 2
PL 2
PL 1
31 32
33 34
37 36
35 15.066.4

18.1 25.0

25.0 28.0

25.0 9.7

8.0 9.0

9.0 18.0 25.0

38.0 37.0

23.5 22.1

18.0 18.0

15.0 18.0

18.0 48.5

20.3 7.2

20.3 6.0 8.0 36.0

31.4 38.2

25.0 47.8

47.6 18.1

18.1 18.1

18.1 16.2 14.5

37.0 38.0

38.0 37.0

36.0 38.0

38.038.0

38.0 47.849.3

25.0 39.3

40.4 19.3

19.6 46.428.0

14.9 15.2

33.6 15.9

11.4 10.7

10.7 15.0

14.0 15.0

15.0 7.8

18.0 25.0

9.0 25.0

37.0 38.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0
R48.0
R28.0

25.0 25.0

37.0 38.0

37.0 66.4

18.1 18.1

18.1 43.0

42.0 18.0

9.0 18.0

9.0 10.0 20.0 18.0
6 CHAMBERS AVENUE

CHATHAM LANE

ANTELOPE ROAD

TIOGA LANE

12.018.0

9.0 12.0

38.0 11.7

54.5 2
1 47
8 14
7 3
4 6
1 7
2 7 4 1
7 3
7 1
4 7
7 9
9 6
6 3
5 9
2 6
6 396
9 6
1011
R48.0
R28.0
12 12
12 12
1 2

PROPOSED RIGHT OF WAY
3 4
5 6
7 8

PERIMETER WALL
9 AMENITY AREA
STANDARD PARKING STALL - 9' X 18'
2-STORY TOWNHOME BUILDING
FIRE LANE - DESIGNED TO SUPPORT 80,000 LBS LIVE

LOAD & SURFACED TO PROVIDE ALL-WEATHER

DRIVING CAPABILITIES

LANDSCAPED SLOPE

SITE PLAN KEYNOTES

WATER QUALITY BASIN

WALKWAY

SITE PLAN LEGEND

UNIT NUMBER

UNIT PLAN TYPE

ADA UNIT LOCATION

ADA PATH OF TRAVEL
10ACCESSIBLE PARKING STALL - 9' X 18' W/ 5'

WIDE LOADING ZONE
11 VAN ACCESSIBLE PARKING STALL - 9' X 18' W/ 8'

WIDE LOADING ZONE LOCATED ON

PASSENGER SIDE
12COMMUNITY MAILBOXES REFER TO LANDSCAPE

PLANS FOR DESIGN
NORTH

CONCEPTUAL SITE PLAN
Scale
JULY 22, 20255256 S. Mission Road, Ste. 404
Bonsall, CA 92003
www.summarch.com p.760.724.1198

ARCHITECTURE

CYPRESS SANDS TOWNHOMES MENIFEE
Fairbrook Communities LLC
2280 Wardlow Circle Suite 250
Corona, CA 92878

DATEREVISION DESCRIPTION
0 40 80 120SP1
PL 3
#
PROJECT FIRE NOTES:
·PROJECT IS LOCATED IN A VERY HIGH FIRE SEVERITY ZONE AND SHALL COMPLY WITH CHAPTER 7A OF THE CALIFORNIA
BUILDING CODE AND CHAPTER 49 OF THE CALIFORNIA FIRE
CODE.
·PROJECT SHALL COMPLY WITH TITLE 14 REQUIREMENTS FROM
THE CALIFORNIA BOARD OF FORESTRY AND FIRE PROTECTION.
·FIRE APPARATUS ACCESS ROADS SHALL HAVE AN
UNOBSTRUCTED WIDTH OF NOT LESS THAN 24 FEET AND A
VERTICAL CLEARACNE OF 13 FEET 6 INCHES
MM
DC
DC
APN 333-230-033

LOT 'E' LOT 'D' LOT 'C' LOT 'B'
PARCEL 1 PARCEL 2
PARCEL 3 PARCEL 4
TR. 37409-FUTURE LEGADO DEVELOPMENT
LAND USE: VACANT
ZONE: EDC-MB
LAND USE: VACANT
ZONE: EDC-MB
LAND USE: VACANT
ZONE: LEGADO SP
TR. 27093
LAND USE: SINGLE FAMILY RESIDENTIAL
ZONE: MDR
FH
FHFH
FH
FH
FH
FH
FH
FH
FH
FHFH
N88°30'20"W 529.33'
N88°30'20"W 657.38'
N88°38'04"W 657.39'
N88°38'04"W 549.35'
1480
\A1;59'\A1;21' \A1;32'
\A1;30'\A1;20'\A1;10'
\A1;31' \A1;25'
\A1;10'
\A1;60'
\A1;20'
\A1;30'
\A1;50'\A1;32'\A1;12'
\A1;109'
\A1;30'
\A1;20'\A1;10'
\A1;9'
\A1;110'
\A1;36' \A1;36'
\A1;24'
\A1;50'
\A1;29'
\A1;16' \A1;6'
\A1;12'
\A1;13'
\A1;6'
\A1;30'\A1;12'
1490.51490.01489.61488.81487.51486.91485.21484.61482.91482.31480.3CHATHAM LANE

ANTELOPE ROAD

TIOGA LANE

CHAMBERS AVENUE
16 8
17 17
17 17
18 19
17 17
17 19
19 A
A
17 17
17 17
18 18
19 19
19 1
1 1
1 1
1 1
1 2
2 2
6 6
A
5 5
5 5
4 8
9 9
11 12
12 13
13 13
13 13
13 21
20 =
1 5
'
=
1 5
'
=
15 '
=
1 5
'
=
15 '
=
1 5
'
=
15 '
=
1 5
'
=
1 5
'
=
15 '
=
1 5
'
=
1 5
'
=
1 5
'
=
2 5
'
=
2 5
'
=
2 5
'
=
2 5
'
BLDG. 7BLDG. 8
BLDG. 11
BLDG. 12
BLDG. 2
BLDG. 3
BLDG. 10
BLDG. 13
BLDG. 9
BLDG. 6
BLDG. 15
BLDG. 16
BLDG. 14
BLDG. 17
BLDG. 1
BLDG. 18 BLDG. 4
BLDG. 5
=
1 5
'
=
1 5
'
\A1;25'
\A1;25'
\A1;25'
\A1;25'
\A1;25'\A1;25'
\A1;25'
\A1;25'
\A1;25'
\A1;28'
\A1;25'
\A1;25'\A1;18'
\A1;25'\A1;18'
\A1;25'
\A1;18'\A1;25'
\A1;20.3'REC PARK
1 29
2 2
2 3
5 5
5 4
4 4
4 4
4 14
14WQ/DETENTION
BASIN
17 13
15 15
12 9
18 18
\A1;28'
23 23
23 22
10 10
24 ADAADA
ADA
ADA
ADA
ADA
ADAADA

ADA ADA
ADA
ADA
ADA
ADA
\A1;12'
\A1;9'\A1;8.6'
\A1;20.3'
\A1;20.3'
\A1;15'
\A1;3'
\A1;15'
\A1;15'
\A1;15'
ADA
\A1;18.5'
23 23
3 3
3 3
3 3
3 3
25 25
25 25
25 25
25 25
25 26
26 ASTREET 'A'

STREET 'B'

STREET 'C'

STREET 'D'

STREET 'E'STREET 'F'

STREET 'H'

STREET 'G'

STREET 'I'
\A1;12'
24 24
27 28
29 29
29 29
29 29
29 29
29 29
29 29
11 11
11 40 40 800

SITE PLAN
SHEET NO.
9 SCALE: 1"=40'
SG
Avoid cutting underground
utility lines. It's costly.
1-800-422-4133
OR

ENGINEERING CONSULTANTS
200 South Main Street, Suite 300
Corona, CA 92882 (951) 280-3300

PLANS PREPARED
SCOTT P. GILBERT
R.C.E. #65194
DATE
UNDER THE SUPERVISION OF:

STA TE OF CA FORN
A
NO. 65194
C
R
E
E
N
G
N
E

ANOSSEFORP
DER
E
T
S
G
E
R
S
C
O
T T P. G
BE
R
T
Z:\10.102_CYPRESS SANDS ENTITLEMENT\DRAWINGS\SITE PLAN\001-SP.DWG NO. DESCRIPTION

REVISIONS
DATE BYSHT. APRD
EX
EG
FS
TR
- EXISTING
- EXISTING GRADE
- FINISHED SURFACE
- ASSESSOR'S PARCEL NUMBER
SD

SS - SANITARY SEWER
18100 VON KARMAN AVE
(951) 928-3777x4291
%%USEWER:
(951) 928-3777x4291
(800) 655-4555
(800) 427-2200
(877) 530-0911
26100 MENIFEE ROAD
MENIFEE,CA 92585
1 MENIFEE RD
215
30205 MENIFEE RD.
(951) 672-1851
228
153
295
264
31 0" CURB
1 2
3 4
5 6
8 9
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29

\A1;6'
N'LY
E'LY
S'LY
W'LY
EP

EASEMENTS AND DEDICATIONS
A

SITESCAPES

EXISTING
333-050-034

8.15 AC
246,487 SQ. FT.
06065C2060H, ZONE X
200 SOUTH MAIN STREET
\A1;9'\A1;8'
18100 VON KARMAN AVE
\A1;6'
\A1;9'\A1;9'
4,14 & 17 1-6 PLEX 2

2.5 3 3 4 18 60 45
5,6,9,15, 16 & 18
2 2.5 3 3 4 42 132 105
1,2,3,7,8,10,11,12 & 133-8 PLEX 2

2.5 3 3 4 72 234 180TOTAL
132 426 330
*
*
*
75 \A1;2'
*
*

WASTE MANAGEMENT
(800) 423-9986
MM
DC
DC
CO
FH
FH
FH
FH
FH
U
FH
APN 333-230-033

LOT 'E'

LOT 'D'

LOT 'C'

LOT 'B'
PARCEL 1
PARCEL 2
PARCEL 3
PARCEL 4
TR. 37409-FUTURE LEGADO DEVELOPMENT
LAND USE: VACANT
ZONE: EDC-MB
LAND USE: VACANT
ZONE: EDC-MB
LAND USE: VACANT
ZONE: LEGADO SP
TR. 27093
LAND USE: SINGLE FAMILY RESIDENTIAL
ZONE: MDRCHATHAM LANE

ANTELOPE ROAD

TIOGA LANE

CHAMBERS AVENUE
LOT "1"

STREET 'A'

STREET 'B'

STREET 'C'

STREET 'D'

STREET 'E'

STREET 'F'

STREET 'H'
A
A
A
E
E
E
E
E
E
E
E
E

ESTREET 'G'

STREET 'I'
\A1;60'\A1;30'
\A1;30'
\A1;10'\A1;20'\A1;12'\A1;18'
\A1;109'
1481
1482
1484
1483
1485
1486
1487
1488
1489
1491
1492
1493
1494
1495
1496
1497
1498
1499
1499
1482
1483
1484
1486
1485
1488
1487
1491
1490
1489
1490
1491
1494
1493
1492
1497
1495
1492
1493
1494
1491
1491
1491
1493
1497
1499
1498
1500
1500
1499
1495
1499
1496
1495
1499
1498
1501
1501
1501
1498
1499
1502
1502
1501
1497
1496
1495
1494
1491
1492
1490
1493
1487
1488
1485
1486
1484
1483
1482
1480
1479
1479
1482
1482
1482
1481
1480
1480
1482
1482
1483
1483
1483
1483

33.10'

15.62'
\A1;59' \A1;50'

20.97'
N88%%D38'04"W
1489
N88%%D30'20"W
1496
1497
1484
1486
1485
1488
1487
1490
1489
1493
1492
1491
1494
1495
1496
1495
1494
1491
1492
1493
1489
1490
1487
1488
1485
1486
1484
1483
1484
1486
1485
1488
1487
1490
1489
1493
1492
1491
\A1;32'\A1;12'\A1;30'
\A1;60'\A1;30'
\A1;30'\A1;10'\A1;20'\A1;20'
\A1;10'
\A1;21'
A
SHEET NO.
9 Z:\10.102_CYPRESS SANDS ENTITLEMENT\DRAWINGS\SITE PLAN\002-TTM.DWG SCALE: 1"=40'
SG
Avoid cutting underground
utility lines. It's costly.
1-800-422-4133
OR

ENGINEERING CONSULTANTS
200 South Main Street, Suite 300
Corona, CA 92882 (951) 280-3300

PLANS PREPARED
SCOTT P. GILBERT
R.C.E. #65194
DATE
UNDER THE SUPERVISION OF:

STA TE OF CA FORN
A
NO. 65194
C
R
E
E
N
G
N
E

ANOSSEFORP
DER
E
T
S
G
E
R
S
C
O
T T P. G
BE
R
T
NO. DESCRIPTION

REVISIONS
DATE BYSHT. APRD
2280 WARDLOW CIRCLE
200 SOUTH MAIN STREET
2280 WARDLOW CIRCLE

MENIFEE RD
215
2 STREET 'B', 'C', 'D', 'E', 'G' & 'I'
N.T.S
TENTATIVE TRACT MAP 39364
LEGEND

MAX MAXIMUM

MINIMUMMIN

ELEV ELEVATION
ABINV
FS
SD
EVC
EP
SS
NTS

FINISH SURFACE

FINISH GRADE

SANITARY SEWER

SHEET FLOW RATE

SWALE HIGH POINT
100
100
2%
HP
100.2
S
123.5
F
RW RW
F

DESCRIPTION

FINISHED GRADE

FINISHED SURFACE

SEWER MANHOLE
SEWER

PROPOSED
FG
FL
FS
TC

EXISTING
(FG ELEV)
(FL ELEV)
(FS ELEV)
(TC ELEV)
SD
SS
DWDW
SS
SD
FL
P/LP/L
{PRIVATE
LOT AREA}
2%%%
℄
{PRIVATE
LOT AREA}

STREET 'F'
N.T.S

EASEMENTS AND DEDICATIONS
A
50 25 50 100 1500
E
1 355,072 SF
319,768 SFLOT TABLE:

P/LP/L
{PRIVATE
LOT AREA}
2%%%
℄
{PRIVATE
LOT AREA}
P/LP/L
{PRIVATE
LOT AREA}
2%%%
℄
{PRIVATE
LOT AREA}

STREET 'A' AND 'H'
N.T.S
2%%%
1"=50'
EXHIBIT 8

TITLE REPORT

Commitment
File No.:

FBSC2509156
Property Address:

Vacant Land, Menifee, CA 92585
Title Officer:

John Balassi
Welcome to the new titleLOOK®!
titleLOOK upgrades the traditional title report experience from a static report with large zip files of supporting documents to a real-time interactive title report. With titleLOOK, you'll enjoy:
•
an easy-to-use summary page of your report findings
•
color-coded requirements and exceptions so you can focus on what is important •
hyperlinks directly into the documents referenced on your report •
a transparent and convenient title report experience
When you click on the above button/link to access your titleLOOK report, you will be taken to inHere, our platform designed to transform the experience of buying or selling real estate from the moment a transaction is started all the way through closing. inHere provides a safe and convenient method of delivering documents and information about your real estate transaction.

This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

The use of this Form (or any derivative thereof) is restricted to ALTA licensees and ALTA members in good standing as of the date of use. All other uses are prohibited. Reprinted under license from the American Land Title Association.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 1 ends

ALTA COMMITMENT FOR TITLE INSURANCE
Commitment Number:
issued by:

FBSC2509156
Amendment 2
NOTICE
IMPORTANT - READ CAREFULLY: THIS COMMITMENT IS AN OFFER TO ISSUE ONE OR MORE TITLE INSURANCE POLICIES. ALL CLAIMS OR REMEDIES SOUGHT AGAINST THE COMPANY INVOLVING THE CONTENT OF THIS COMMITMENT OR THE POLICY MUST BE BASED SOLELY IN CONTRACT.

THIS COMMITMENT IS NOT AN ABSTRACT OF TITLE, REPORT OF THE CONDITION OF TITLE, LEGAL OPINION, OPINION OF TITLE, OR OTHER REPRESENTATION OF THE STATUS OF TITLE. THE PROCEDURES USED BY

THE COMPANY TO DETERMINE INSURABILITY OF THE TITLE, INCLUDING ANY SEARCH AND EXAMINATION,

ARE PROPRIETARY TO THE COMPANY, WERE PERFORMED SOLELY FOR THE BENEFIT OF THE COMPANY, AND CREATE NO EXTRACONTRACTUAL LIABILITY TO ANY PERSON, INCLUDING A PROPOSED INSURED.

THE COMPANY'S OBLIGATION UNDER THIS COMMITMENT IS TO ISSUE A POLICY TO A PROPOSED INSURED IDENTIFIED IN SCHEDULE A IN ACCORDANCE WITH THE TERMS AND PROVISIONS OF THIS COMMITMENT.

THE COMPANY HAS NO LIABILITY OR OBLIGATION INVOLVING THE CONTENT OF THIS COMMITMENT TO ANY OTHER PERSON.

COMMITMENT TO ISSUE POLICY
Subject to the Notice; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and the Commitment Conditions, Chicago Title Insurance Company , a Florida corporation (the "Company"), commits to issue the Policy according to the terms and provisions of this Commitment. This Commitment is effective as of the Commitment Date shown in Schedule A for each Policy described in Schedule A, only when the Company has entered in Schedule A both the specified dollar amount as the Proposed Amount of Insurance and the name of the Proposed Insured.

If all of the Schedule B, Part I-Requirements have not been met within one hundred eighty (180) days after the Commitment Date, this Commitment terminates and the Company's liability and obligation end.

Chicago Title Insurance Company
By:

Countersigned By:

Joe Goodman
Authorized Officer or Agent
Michael J. Nolan, President
Attest:

Marjorie Nemzura, Secretary
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 2 ends

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
Transaction Identification Data, for which the Company assumes no liability as set forth in Commitment Condition 5.e.:

ISSUING OFFICE: FOR SETTLEMENT INQUIRIES, CONTACT:

Title Officer: John Balassi
Chicago Title Company
4911 Birch St
Newport Beach, CA 92660
Phone: 949-724-3117 Fax: 951-710-5955
Main Phone: (949)724-3100
Email: [email protected]
Order Number: FBSC2509156
Project Name: //
Property Address: Vacant Land, Menifee, CA 92585

SCHEDULE A

1. Commitment Date: April 3, 2026 at 07:30 AM

2. Policy to be issued:
(a) ALTA Loan Policy 2021
Proposed Insured: West Bay Capital, its successors and/or assigns as their respective interests may appear.

Proposed Amount of Insurance: $2,850,000.00
The estate or interest to be insured: A FEE

3. The estate or interest in the Land at the Commitment Date is:

A FEE

4. The Title is, at the Commitment Date, vested in:

FB CYPRESS SANDS LLC, a Delaware limited liability company

5. The Land is described as follows:

SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART HEREOF

END OF SCHEDULE A
EXHIBIT "A"
Legal Description
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 3 ends

For APN/Parcel ID(s): 333-050-034

THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF MENIFEE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA AND IS DESCRIBED AS FOLLOWS:

PARCEL 4 AS SHOWN BY PARCEL MAP NO. 4736 ON FILE IN BOOK 6, PAGE 16 OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.

EXCEPTING THEREFROM 60 PERCENT OF THE OIL AND MINERAL RIGHTS IN, ON, AND UNDER SAID LAND WITHOUT THE RIGHT OF INGRESS AND EGRESS AS RESERVED IN DEED FROM GEORGE D. NEWPORT AND DOROTHEA K. NEWPORT, HUSBAND AND WIFE, RECORDED NOVEMBER 29, 1957 IN BOOK 2185, PAGE 189 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.

APN: 333-050-034
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 4 ends

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
SCHEDULE B, PART I - Requirements
All of the following Requirements must be met:

1. The Proposed Insured must notify the Company in writing of the name of any party not referred to in this Commitment who will obtain an interest in the Land or who will make a loan on the Land. The Company may then make additional Requirements or Exceptions.

2. Pay the agreed amount for the estate or interest to be insured.

3. Pay the premiums, fees, and charges for the Policy to the Company.

4. Documents satisfactory to the Company that convey the Title or create the Mortgage to be insured, or both, must be properly authorized, executed, delivered, and recorded in the Public Records.

5. The Company will require the following documents for review prior to the issuance of any title insurance predicated upon a conveyance or encumbrance from the entity named below.

Limited Liability Company: FB CYPRESS SANDS LLC, a Delaware limited liability company a. A copy of its operating agreement, if any, and any and all amendments, supplements and/or modifications thereto, certified by the appropriate manager or member. b. If a domestic Limited Liability Company, a copy of its Articles of Organization and all amendment thereto with the appropriate filing stamps.
c. If the Limited Liability Company is member-managed a full and complete current list of members certified by the appropriate manager or member.
d. A current dated certificate of good standing from the proper governmental authority of the state in which the entity was created
e. If less than all members, or managers, as appropriate, will be executing the closing documents, furnish evidence of the authority of those signing.
f. If Limited Liability Company is a Single Member Entity, a Statement of Information for the Single Member will be required.
g. Each member and manager of the LLC without an Operating Agreement must execute in the presence of a notary public the Certificate of California LLC (Without an Operating Agreement) Status and Authority form

6. Prior to the close of escrow, the Company requires a Statement of Information to be completed by the following party(s),
Party(s): All Parties
The Company reserves the right to add additional items or make further requirements after review of the requested Statement of Information.

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
SCHEDULE B, PART I - Requirements
(continued)
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 5 ends

7. Furnish for review a full and complete copy of any unrecorded agreement, contract, license and/or lease together with all supplements, assignments and amendments thereto, prior to the close of this transaction.

The Company reserves the right to add additional items or make further requirements after review of the requested documentation.

8. Unrecorded matters which may be disclosed by an Owner’s Affidavit or Declaration. A form of the Owner’s Affidavit/Declaration is attached to this Preliminary Report/Commitment. This Affidavit/Declaration is to be completed by the record owner of the land and submitted for review prior to the closing of this transaction. Your prompt attention to this requirement will help avoid delays in the closing of this transaction. Thank you.

The Company reserves the right to add additional items or make further requirements after review of the requested Affidavit/Declaration.

END OF REQUIREMENTS

END OF SCHEDULE B, PART I
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 6 ends

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
SCHEDULE B, PART II - Exceptions
Some historical land records contain Discriminatory Covenants that are illegal and unenforceable by law. This Commitment and the Policy treat any Discriminatory Covenant in a document referenced in Schedule B as if each Discriminatory Covenant is redacted, repudiated, removed, and not republished or recirculated. Only the remaining provisions of the document will be excepted from coverage.

The Policy will not insure against loss or damage resulting from the terms and conditions of any lease or easement identified in Schedule A, and will include the following Exceptions unless cleared to the satisfaction of the Company:

A. Property taxes, which are a lien not yet due and payable, including any assessments collected with taxes to be levied for the fiscal year 2026-2027.

B. There were no taxes levied for the fiscal year 2025-2026 as the property was vested in a public entity.

Tax Identification No.: 333-050-034
C. Said property has been declared tax defaulted for non-payment of delinquent taxes for the fiscal year 2024 .

Tax Identification No.: 333-050-034
Amounts to redeem for the above-stated fiscal year (and subsequent years if any) are:

Amount: $49,238.35 by April 30, 2026
Amount: $49,828.32 by May 31, 2026
D. The herein described property lies within the boundaries of a Mello-Roos Community Facilities District (CFD) as follows:

CFD No.: 91-1
For: Perris Union High School District
Disclosed by: Notice of Special Tax Lien
Recording Date: January 25, 1993
Recording No.: Instrument No. 1993-28785 of Official Records This property, along with all other parcels in the CFD, is liable for an annual special tax.

This special tax is included with and payable with the general property taxes of the City of Menifee, County of Riverside. The tax may not be prepaid.

E. The lien of supplemental or escaped assessments of property taxes, if any, made pursuant to the provisions of Chapter 3.5 (commencing with Section 75) or Part 2, Chapter 3, Articles 3 and 4, respectively, of the Revenue and Taxation Code of the State of California as a result of the transfer of title to the vestee named in Schedule A or as a result of changes in ownership or new construction occurring prior to Date of Policy.

1. Water rights, claims or title to water, whether or not disclosed by the public records.

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
SCHEDULE B, PART II - Exceptions
(continued)
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

ALTA Commitment for Title Insurance (07/01/2021) Printed: 04.15.26 @ 11:04 AM

Page 7 ends

2. An irrevocable offer to dedicate an easement over a portion of said Land for Purpose(s): Public road and public utilities
Recording Date: September 27, 1972
Recording No.: as Instrument No. 1972-129309 of Official Records Affects: A portion of said land as more particularly described in said document

3. An irrevocable offer to dedicate an easement over a portion of said Land for Purpose(s): public road and public utilities
Recording Date: September 27, 1972
Recording No.: as Instrument No. 1972-129310 of Official Records Affects: A portion of said land as more particularly described in said document Said offer was accepted by resolution, a certified copy of which was recorded January 17, 2003, as Instrument No. 2003-039755 of Official Records.

4. The Land described herein is included within a project area of the Redevelopment Agency shown below, and that proceedings for the redevelopment of said project have been instituted under the Redevelopment Law (such redevelopment to proceed only after the adoption of the Redevelopment Plan) as disclosed by a document.

Redevelopment Agency: Redevelopment Agency for the County of Riverside Recording Date: May 26, 2006
Recording No.: as Instrument No. 2006-0385207 of Official Records

5. This exception has been intentionally deleted.

6. A deed of trust to secure an indebtedness in the amount shown below, Amount: $1,500,000.00
Dated: February 14, 2024
Trustor/Grantor FB Cypress Sands LLC, a Delaware limited liability company Trustee: Pacific Coast Title Company
Beneficiary: TBG Capital LLC, a Washington limited liability company Recording Date: February 16, 2024
Recording No.: as Instrument No. 2024-0044137 of Official Records

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This Company will require that the original note, the original deed of trust and a properly executed request for full reconveyance together with appropriate documentation (i.e., copy of trust, partnership agreement or corporate resolution) be in this office prior to the close of this transaction if the above-mentioned item is to be paid through this transaction or deleted from a policy of title insurance.

Any demands submitted to us for payoff must be signed by all beneficiaries as shown on said deed of trust, and/or any assignments thereto. In the event said demand is submitted by an agent of the beneficiary(s), we will require the written approval of the demand by the beneficiary(s). Servicing agreements do not constitute approval for the purposes of this requirement.

If no amounts remain due under the obligation a zero balance demand will be required along with the reconveyance documents.

In addition, we require the written approval of said demand by the trustor(s) on said deed of trust or the current owners if applicable.

7. A deed of trust to secure an indebtedness in the amount shown below, Amount: $4,900,000.00
Dated: January 31, 2024
Trustor/Grantor FB Cypress Sands, LLC
Trustee: Chicago Title Company, a California corporation Beneficiary: CES Properties Fund XXXVII (Cypress Sands), LLC Recording Date: May 20, 2024
Recording No.: as Instrument No. 2024-0145773 of Official Records This Company will require that the original note, the original deed of trust and a properly executed request for full reconveyance together with appropriate documentation (i.e., copy of trust, partnership agreement or corporate resolution) be in this office prior to the close of this transaction if the above-mentioned item is to be paid through this transaction or deleted from a policy of title insurance.

If no amounts remain due under the obligation a zero balance demand will be required along with the reconveyance documents.

In addition, we require the written approval of said demand by the trustor(s) on said deed of trust or the current owners if applicable.

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8. Notice of Pendency of Administrative Proceedings No. CE-24-0908, and the lien of any assessment arising therefrom by the Department of Building and Safety of the County of Riverside, in the matter of unlawful or unsafe conditions on the herein described Land.

Property Owner: FB Cypress Sands
Recording Date: October 22, 2024
Recording No.: as Instrument No. 2024-0317328 of Official Records Reference is hereby made to said document for full particulars.

9. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other matters which a correct survey would disclose and which are not shown by the public records.

10. Any easements not disclosed by the public records as to matters affecting title to real property, whether or not said easements are visible and apparent.

11. Matters which may be disclosed by an inspection and/or by a correct ALTA/NSPS Land Title Survey of said Land that is satisfactory to the Company, and/or by inquiry of the parties in possession thereof.

12. Any rights of the parties in possession of a portion of, or all of, said Land, which rights are not disclosed by the public records.

The Company will require, for review, a full and complete copy of any unrecorded agreement, contract, license and/or lease, together with all supplements, assignments and amendments thereto, before issuing any policy of title insurance without excepting this item from coverage.

The Company reserves the right to except additional items and/or make additional requirements after review.

END OF EXCEPTIONS

END OF SCHEDULE B, PART II

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

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INFORMATIONAL NOTES

1. Note: None of the items shown in this report will cause the Company to decline to attach ALTA Endorsement Form 9 to an Extended Coverage Loan Policy, when issued.

2. Notice: Please be aware that due to the conflict between federal and state laws concerning the cultivation, distribution, manufacture or sale of marijuana, the Company is not able to close or insure any transaction involving Land that is associated with these activities.

3. Pursuant to Government Code Section 27388.1, as amended and effective as of 1-1-2018, a Documentary Transfer Tax (DTT) Affidavit may be required to be completed and submitted with each document when DTT is being paid or when an exemption is being claimed from paying the tax. If a governmental agency is a party to the document, the form will not be required. DTT Affidavits may be available at a Tax Assessor-County Clerk-Recorder.

4. Note: The policy of title insurance will include an arbitration provision. The Company or the insured may demand arbitration. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the insured arising out of or relating to this policy, any service of the Company in connection with its issuance or the breach of a policy provision or other obligation. Please ask your escrow or title officer for a sample copy of the policy to be issued if you wish to review the arbitration provisions and any other provisions pertaining to your Title Insurance coverage.

CHICAGO TITLE INSURANCE COMPANY
COMMITMENT NO. FBSC2509156
AMENDMENT 2
(continued)
This page is only a part of a 2021 ALTA ® Commitment for Title Insurance issued by Chicago Title Insurance Company . This Commitment is not valid without the Notice; the Commitment to Issue Policy; the Commitment Conditions; Schedule A; Schedule B, Part I-Requirements; Schedule B, Part II-Exceptions; and a counter-signature by the Company or its issuing agent that may be in electronic form.

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5. The following Exclusion(s) are added to preliminary reports, commitments and will be included as an endorsement in the following policies:

A. 2006 ALTA Owner’s Policy (06-17-06).

6. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members.

B. 2006 ALTA Loan Policy (06-17-06)

8. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members.

9. Any claim of invalidity, unenforceability, or lack of priority of the lien of the Insured Mortgage based on the application of a Tribe’s law resulting from the failure of the Insured Mortgage to specify State law as the governing law with respect to the lien of the Insured Mortgage.

C. ALTA Homeowner’s Policy of Title Insurance (12-02-13) and CLTA Homeowner's Policy of Title Insurance (12-02-13).

10. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members.

D. ALTA Expanded Coverage Residential Loan Policy - Assessments Priority (04-02-15).

12. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the Public Records but that would be disclosed by an examination of any records maintained by or on behalf of a Tribe or on behalf of its members.

13. Any claim of invalidity, unenforceability, or lack of priority of the lien of the Insured Mortgage based on the application of a Tribe’s law resulting from the failure of the Insured Mortgage to specify State law as the governing law with respect to the lien of the Insured Mortgage.

E. CLTA Standard Coverage Policy 1990 (11-09-18).

7. Defects, liens, encumbrances, adverse claims, notices, or other matters not appearing in the public records but that would be disclosed by an examination of any records maintained by or on behalf of a tribe or on behalf of its members.

8. Any claim of invalidity, unenforceability, or lack of priority of the lien of the insured mortgage based on the application of a tribe’s law resulting from the failure of the insured mortgage to specify state law as the governing law with respect to the lien of the insured mortgage.

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5. the lien of the insured mortgage.

6. Note: There are NO conveyances affecting said Land recorded within 24 months of the date of this report.

END OF INFORMATIONAL NOTES

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COMMITMENT CONDITIONS

1. DEFINITIONS
a. "Discriminatory Covenant": Any covenant, condition, restriction, or limitation that is unenforceable under applicable law because it illegally discriminates against a class of individuals based on personal characteristics such as race, color, religion, sex, sexual orientation, gender identity, familial status, disability, national origin, or other legally protected class. b. "Knowledge" or "Known": Actual knowledge or actual notice, but not constructive notice imparted by the Public Records. c. "Land": The land described in Item 5 of Schedule A and improvements located on that land that by State law constitute real property. The term "Land" does not include any property beyond that described in Schedule A, nor any right, title, interest, estate, or easement in any abutting street, road, avenue, alley, lane, right-of-way, body of water, or waterway, but does not modify or limit the extent that a right of access to and from the Land is to be insured by the Policy. d. "Mortgage": A mortgage, deed of trust, trust deed, security deed, or other real property security instrument, including one evidenced by electronic means authorized by law.
e. "Policy": Each contract of title insurance, in a form adopted by the American Land Title Association, issued or to be issued by the Company pursuant to this Commitment.
f. "Proposed Amount of Insurance": Each dollar amount specified in Schedule A as the Proposed Amount of Insurance of each Policy to be issued pursuant to this Commitment.
g. "Proposed Insured": Each person identified in Schedule A as the Proposed Insured of each Policy to be issued pursuant to this Commitment. h. "Public Records": The recording or filing system established under State statutes in effect at the Commitment Date under which a document must be recorded or filed to impart constructive notice of matters relating to the Title to a purchaser for value without Knowledge. The term "Public Records" does not include any other recording or filing system, including any pertaining to environmental remediation or protection, planning, permitting, zoning, licensing, building, health, public safety, or national security matters. i. "State": The state or commonwealth of the United States within whose exterior boundaries the Land is located. The term "State" also includes the District of Columbia, the Commonwealth of Puerto Rico, the U.S. Virgin Islands, and Guam. j. "Title": The estate or interest in the Land identified in Item 3 of Schedule A.

2. If all of the Schedule B, Part I-Requirements have not been met within the time period specified in the Commitment to Issue Policy, this Commitment terminates and the Company's liability and obligation end.

3. The Company's liability and obligation is limited by and this Commitment is not valid without:
a. the Notice;
b. the Commitment to Issue Policy;
c. the Commitment Conditions;
d. Schedule A;
e. Schedule B, Part I-Requirements;
f. Schedule B, Part II-Exceptions; and
g. a counter-signature by the Company or its issuing agent that may be in electronic form.

4. COMPANY'S RIGHT TO AMEND
The Company may amend this Commitment at any time. If the Company amends this Commitment to add a defect, lien, encumbrance, adverse claim, or other matter recorded in the Public Records prior to the Commitment Date, any liability of the Company is limited by Commitment Condition 5. The Company is not liable for any other amendment to this Commitment.

5. LIMITATIONS OF LIABILITY
a. The Company's liability under Commitment Condition 4 is limited to the Proposed Insured's actual expense incurred in the interval between the Company's delivery to the Proposed Insured of the Commitment and the delivery of the amended Commitment, resulting from the Proposed Insured's good faith reliance to:
i. comply with the Schedule B, Part I-Requirements;
ii. eliminate, with the Company's written consent, any Schedule B, Part II-Exceptions; or iii. acquire the Title or create the Mortgage covered by this Commitment. b. The Company is not liable under Commitment Condition 5.a. if the Proposed Insured requested the amendment or had Knowledge of the matter and did not notify the Company about it in writing. c. The Company is only liable under Commitment Condition 4 if the Proposed Insured would not have incurred the expense had the Commitment included the added matter when the Commitment was first delivered to the Proposed Insured. d. The Company's liability does not exceed the lesser of the Proposed Insured's actual expense incurred in good faith and described in Commitment Condition 5.a. or the Proposed Amount of Insurance.

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Commitment Condition 5.a. or the Proposed Amount of Insurance. e. The Company is not liable for the content of the Transaction Identification Data, if any. f. The Company is not obligated to issue the Policy referred to in this Commitment unless all of the Schedule B, Part I-Requirements have been met to the satisfaction of the Company.
g. The Company's liability is further limited by the terms and provisions of the Policy to be issued to the Proposed Insured .

6. LIABILITY OF THE COMPANY MUST BE BASED ON THIS COMMITMENT; CHOICE OF LAW AND CHOICE OF FORUM a. Only a Proposed Insured identified in Schedule A, and no other person, may make a claim under this Commitment. b. Any claim must be based in contract under the State law of the State where the Land is located and is restricted to the terms and provisions of this Commitment. Any litigation or other proceeding brought by the Proposed Insured against the Company must be filed only in a State or federal court having jurisdiction.
c. This Commitment, as last revised, is the exclusive and entire agreement between the parties with respect to the subject matter of this Commitment and supersedes all prior commitment negotiations, representations, and proposals of any kind, whether written or oral, express or implied, relating to the subject matter of this Commitment. d. The deletion or modification of any Schedule B, Part II-Exception does not constitute an agreement or obligation to provide coverage beyond the terms and provisions of this Commitment or the Policy. e. Any amendment or endorsement to this Commitment must be in writing and authenticated by a person authorized by the Company. f. When the Policy is issued, all liability and obligation under this Commitment will end and the Company's only liability will be under the Policy.

7. IF THIS COMMITMENT IS ISSUED BY AN ISSUING AGENT
The issuing agent is the Company's agent only for the limited purpose of issuing title insurance commitments and policies. The issuing agent is not the Company's agent for closing, settlement, escrow, or any other purpose.

8. PRO-FORMA POLICY
The Company may provide, at the request of a Proposed Insured, a pro-forma policy illustrating the coverage that the Company may provide. A pro-forma policy neither reflects the status of Title at the time that the pro-forma policy is delivered to a Proposed Insured, nor is it a commitment to insure.

9. CLAIMS PROCEDURES
This Commitment incorporates by reference all Conditions for making a claim in the Policy to be issued to the Proposed Insured. Commitment Condition 9 does not modify the limitations of liability in Commitment Conditions 5 and 6.

10. CLASS ACTION

ALL CLAIMS AND DISPUTES ARISING OUT OF OR RELATING TO THIS COMMITMENT, INCLUDING ANY SERVICE OR OTHER MATTER IN

CONNECTION WITH ISSUING THIS COMMITMENT, ANY BREACH OF A COMMITMENT PROVISION, OR ANY OTHER CLAIM OR DISPUTE

ARISING OUT OF OR RELATING TO THE TRANSACTION GIVING RISE TO THIS COMMITMENT, MUST BE BROUGHT IN AN INDIVIDUAL CAPACITY. NO PARTY MAY SERVE AS PLAINTIFF, CLASS MEMBER, OR PARTICIPANT IN ANY CLASS OR REPRESENTATIVE PROCEEDING. ANY POLICY ISSUED PURSUANT TO THIS COMMITMENT WILL CONTAIN A CLASS ACTION CONDITION.

11. ARBITRATION
The Policy contains an arbitration clause. All arbitrable matters when the Proposed Amount of Insurance is Two Million And No/100 Dollars ($2,000,000.00) or less may be arbitrated at the election of either the Company or the Proposed Insured as the exclusive remedy of the parties. A Proposed Insured may review a copy of the arbitration rules at http://www.alta.org/arbitration.

END OF CONDITIONS
EXHIBIT 9

DRAFT RMA

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 1

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES FOR
COMMUNITY FACILITIES DISTRICT NO. 2026-XX22-2 (CYPRESS SANDSMCLAUGHLIN VILLAGE)

OF THE CITY OF MENIFEE

A Special Tax (all capitalized terms not otherwise defined herein are defined in Section A, “Definitions”, below) shall be applicable to each Assessor’s Parcel of Taxable Property located within the boundaries of the City of Menifee Community Facilities District No. 202 6-XX2-2 - (Cypress SandsMcLaughlin Village ) ("“CFD No. 202 6-XX2-2"). The amount of Special Tax to be levied in each Fiscal Year on an Assessor’s Parcel shall be determined by the City Council of the City of Menifee, acting in its capacity as the legislative body of CFD No. 2026-XX22-2, by applying the appropriate Special Tax for Developed Property, Approved Property, Undeveloped Property, and Provisional Undeve loped Property that is not Exempt Property as set forth below. All of the real property, unless exempted by law or by the provisions hereof in Section F, shall be taxed for the purposes, to the extent and in the manner herein provided.

A. DEFINITIONS

The terms hereinafter set forth have the following meanings:

"Acre” or “Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor’s Parcel Map, the land area shown on the applicable final map, parcel map, condominium plan, or other record ed County parcel map or instrument. The square footage of an Assessor’s Parcel is equal to the Acreage multiplied by 43,560.

"Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2 of Title 5 of the Government Code of the State of California.

"Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 20 26-XX22-2: the costs of computing the Special Taxes and preparing the Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the City or otherwise); the costs of remitting Special Taxes to the Trustee; the costs of the Trustee (including legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2026-XX22-2 or any designee thereof of complying with arbitrage rebate requirements; the co sts to the City, CFD No. 20 26-XX22-2 or any designee thereof of complying with continuing disclosure requirements of the City, CFD No. 2026-XX22-2 and any major property owner associated with applicable federa l and state securities laws and th e Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 20 26-XX22-2 or any designee thereof related to an appeal of the Special Tax; the costs associated with the release of funds from an escrow account; and the City’s annual administration fees and third party expenses. Ad ministration Expenses shall also include amounts estimated by the CFD Administrator or advanced by the City or CFD No. 20 26-XX22-2 for any other administrative purposes of CFD No. 20 26-XX22-2, including attorney’s fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes.

"Approved Property" means all Assessor’s Parcels of Taxable Property: (i) that are included in a Final Map that was recorded prior to the January 1st preceding the Fiscal Year in which the Special Tax is being levied, (ii) that have an assigned Assessor’s Parcel Number from the County shown on an Assessor’s Parcel Map for the individual lot included on the Final Map, and (iii) that have not been issued a building permit on or before May 1st preceding the Fiscal Year in which the Special Tax is being levied.

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 2

"Assessor’s Parcel" means a lot or parcel of land designated on an Assessor’s Parcel Map with an assigned Assessor’s Parcel Number.

"Assessor’s Parcel Map" means an official map of the Assesso r of the County designating parcels by Assessor’s Parcel Number.

"Assessor’s Parcel Number" means that number assigned to an Assessor’s Parcel by the County for purposes of identification.

"Assigned Special Tax" means the Special Tax of that name described in Section D below.

"Backup Special Tax" means the Special Tax of that name described in Section D below.

"Bonds" means any obligation to repay a sum of money, in cluding obligations in the form of bonds, certificates of participation, long-term leases, loans from government agencies, or loans from banks, other financial institutions, private businesses, or individuals, or long-term contracts, or any refunding thereof, to which the Special Tax of CFD No. 2026-XX22-2 have been pledged.

"Boundary Map" means a recorded map of the CFD which indicates the boundaries of the CFD.

"Building Permit" means the first legal document issued by the City giving official permission for new construction. For purposes of this definition, “Bui lding Permit” may or may not include expired or cancelled building permits, or any subsequent building permit document(s) authorizing new construction on an Assessor’s Parcel that are issued or changed by the City after the first original issuance, as determined by the CFD Administrator, provided that following such determination the Maximum Special Tax that may be levied on all Assessor’s Parcels of Taxable Property will be at least 1.1 times annual debt service on all outstanding Bonds plus the estimated annual Administrative Expenses.

"Building Square Footage" or "BSF" means the square footage of a ssessable internal living space, exclusive of garages or other structures not used as living space, as determined by reference to the Building Permit for such Assessor’s Parcel.

"Calendar Year" means the period commencing January 1 of any year and ending the following December

31. "CFD” or “CFD No. 20 26-XX22-2" means Community Facilities District No. 20 26-XX22-1 ( Cypress SandsMcLaughlin Village) established by the City under the Act.

“CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement, and providing for the levy and collection of the Special Taxes.

“City” means the City of Menifee, State of California.

"City Council" means the City Council of the City of Menif ee, acting as the legislative body of CFD No. 2026-XX22-2.

“Condominium Plan" means a condominium plan purusant to California Civil Code, Section 6624.

"County" means the County of Riverside, State of California.

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 3

"Developed Property" means all Assessor’s Parcels that: (i) are included in a Final Map that was recorded prior to the January 1 st preceding the Fiscal Year in which the Sp ecial Tax is being levied, (ii) have an Assessor’s Parcel Number from the County shown on an Assessor’s Parcel Map for the individual lot included on the Final Map, and (iii) for which a Buil ding Permit for new construction was issued on or before May 1st preceding the Fiscal Year in which the Special Tax is being levied.

"Exempt Property" means all Assessor’s Parcels designated as being exempt from Special Taxes as provided for in Section F.

"Final Map" means a subdivision of property by recordatio n of a final map, parcel map, or lot line adjustment, pursuant to the Subdivision Map Act (Ca lifornia Government Code Section 66410 et seq.) or recordation of a Condominium Plan pursuant to California Civil Code Section 6624 that creates individual lots for which Building Permits may be issued without further subdivision.

"Fiscal Year" means the period commencing on July 1
st of any year and ending the following June 30th.

“Indenture” means the indenture, fiscal agent agreement, resolution or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same.

“Land Use Category” means any of the categories listed in Table 1 of Section D.

"Maximum Special Tax" means for each Assessor’s Parcel, the maximum Special Tax, determined in accordance with Section D below, that can be levied by CFD No. 2026-XX22-2 on such Assessor’s Parcel.

“Multifamily Property” means all Assessor’s Parcels of Develope d Property for which a Building Permit has been issued for the purpose of constructing a building or buildings comprised of attached Residential Units available for rental by the general public, not for sale to an end user, and under common management, as determined by the CFD Administrator.

"Non-Residential Property" means all Assessor's Parc els of Developed Property for which a Building Permit(s) was issued for a non-residential use. The CFD Administrator shall make the determination if an Assessor’s Parcel is Non-Residential Property.

"Partial Prepayment Amount" means the amount required to prepay a portion of the Special Tax obligation for an Assessor’s Parcel, as described in Section G.2.

"Prepayment Amount" means the amount required to prepay the Special Tax obligation in full for an Assessor’s Parcel, as described in Section G.1.

“Proportionately” means for Taxable Property that is (i) Develo ped Property, that the ratio of the actual Special Tax levy to the Assigned Special Tax is the sa me for all Assessor’s Parcels of Developed Property, (ii) Approved Property, that the ratio of the actual Special Tax levy to the Maximum Special Tax is the same for all Assessor’s Parcels of Approved Property, and (iii) Undeveloped Property or Provisional Undeveloped Property, that the ratio of the actual Special Tax levy per Acre to the Maximum Special Tax per Acre is the same for all Assessor’s Parcels of Undeveloped Property or Provisional Undeveloped Property, as applicable.
"Provisional Undeveloped Property" means all Assessor’s Parcels of Taxable Property that would otherwise be classified as Exempt Property pursuan t to the provisions of Section F, but cannot be

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 4

classified as Exempt Property because to do so wo uld be reduce the Acreage of all Taxable Property below the required minimum Acreage set forth in Section F.

"Residential Property" means all Assessor’s Parcels of Develope d Property for which a Building Permit has been issued for purposes of constructing one or more Residential Units.

“Residential Unit” or "RU" means a residential unit that is used or intended to be used as a domicile by one or more persons, as determined by the CFD Administrator.

“RMA" means this Rate and Method of Apportionment of Special Taxes.

“Single Family Residential Property” means all Assessor’s Parcels of Residential Property other than Multifamily Property.

"Special Tax" or “Special Taxes” means any of the special taxes authorized to be levied within CFD No. 2026-XX22-2 pursuant to the Act to fund the Special Tax Requirement.

"Special Tax Requirement " means the amount required in any Fiscal Year to pay: (i) the debt service or the periodic costs on all outstanding Bonds due in the Calendar Year that commences in such Fiscal Year, (ii) Administrative Expenses, (iii) the costs associated with the release of funds from an escrow account, (iv) any amount required to replenish any reserve funds established in association with the Bonds (provided that the same amount was not previously levied), (v) an amount up to any anticipated shortfall due to Special Tax delinquencies and (vi) for the collection or accumulation of funds for the acquisition or construction of facilities authorized by CFD No. 20 26-XX22-2 or the payment of debt service on Bonds anticipated to be issued, provided that the inclusion of such amount does not cause an increase in the levy of Special Tax on Approved Pr operty or Undeveloped Property as set forth in Steps Two or Three of Section E., less (vii) any amounts available to pay de bt service or other peri odic costs on the Bonds pursuant to the Indenture.

"Taxable Property" means all Assessor’s Parcels within CFD No. 20 26-XX22-2, which are not Exempt Property.

“Taxable Unit” means either a Residential Unit or an Acre.

“Trustee” means the trustee, fiscal agent, or paying agent under the Indenture.

"Undeveloped Property" means all Assessor’s Parcels of Taxable Property which are not Developed Property, Approved Property, or Provisional Undeveloped Property.

B. SPECIAL TAX

Commencing Fiscal Year 20 27-202822-2023 and for each subsequent Fiscal Year, the City Council shall levy Special Taxes on all Taxable Property, up to the applicable Maximum Special Tax, to fund the Special Tax Requirement.

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 5

C. ASSIGNMENT TO LAND USE CATEGORY FOR SPECIAL TAX

Each Fiscal Year, beginning with Fiscal Year 20 27-202822-2023, each Assessor’s Parcel within CFD No. 2026-XX22-2 shall be classified as Taxable Property or Exempt Property. In addition, each Assessor’s Parcel of Taxable Property shall be further classified as Developed Property, Approved Property, Undeveloped Property or Provisional Undeveloped Property.

Assessor’s Parcels of Developed Property shall furthe r be classified as Residential Property or Non- Residential Property. Each Assessor’s Parcel of Residential Property shall further be classified as a Single Family Residential Property or Multifamily Property. Each Assessor’s Parcel of Single Family Residential Property shall be further assigned to a Land Use Category based on its Building Square Footage.

In the event that there are Assessor’s Parcel(s) for which one or more Building Permits for Residential Units have been issued and the County has not yet assigned final Assessor’s Parcel Number(s) to such Assessor’s Parcel(s) (in accordance with the Final Map or Condominium Plan), the amount of the Special Tax levy on such Assessor’s Parcel for each Fiscal Year shall be determined as follows: (1) the CFD Administrator shall first determine an amount of the Maximum Special Tax fo r such Assessor’s Parcel, based on the classification of such Assessor’s Parc el as Undeveloped Property; (2) the amount of the Special Tax for the Residential Units on such Assessor’s Parcel for which Building Permits have been issued shall be determined based on the Developed Property Special Tax rates and such amount shall be levied as Developed Property in accordance with Step 1 of Section E below; and (3) the amount of the Special Tax on the Taxable Property in such Assessor’s Parcel not subject to the Special Tax levy in clause (2) shall be equal to: (A) the percentage of the Maximum Special Tax rate levied on Undeveloped Property pursuant to Step 3 of Section E below, multiplied by the total of the amount determined in clause (1), less (B) the amount determined in clause (2).

D. MAXIMUM SPECIAL TAX

1. Developed Property

The Maximum Special Tax for each Assessor’s Parcel of Single Family Residential Property in any Fiscal Year shall be the greater of (i) the Assigned Specia l Tax for such Assessor’s Pa rcel or (ii) the Backup Special Tax.

The Maximum Special Tax for each Assessor’s Parcel of Multifamily Property and Non-Residential Property shall be the applicable Assigned Special Tax described in Table 1 of Section D.

a. Assigned Special Tax

Each Fiscal Year, each Assessor’s Parcel of Single Family Residential Property, Multifamily Property or Non-Residential Property shall be subject to an Assigned Special Tax. The Assigned Special Tax for Fiscal Year 20 27-202822-2023 applicable to an Assessor's Parcel of Developed Property shall be determined pursuant to Table 1 below.

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Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 6

TABLE 1

ASSIGNED SPECIAL TAX FOR DEVELOPED PROPERTY
FISCAL YEAR 20272-20283

Land Use Category
Taxable
Unit Building Square Footage
Assigned
Special Tax Per
Taxable Unit

1. Single Family Residential Property RU
Less than 1,400 sq. ftLess
than 2,100 sq. ft
$2,625.00$2,41

5.00 2. Single Family Residential Property
RU
1,400 sq. ft to 1,499 sq. ft
2,100 sq. ft to 2,300 sq. ft
$2,965.0095$2,
461.00

3. Single Family Residential Property4.

Multifamily Property RUAcre-
Greater than 1,499 sq.
ftN/A
$3,135.00$49,9

79.00 5. Multifamily Property Acre N/A $88,850.00

5. Non-Residential Property Acre N/A
$88,850.00$49,
979.00
On each July 1, commencing July 1, 202823, the Assigned Special Tax rate for Developed Property shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year.

b. Multiple Land Use Categories

In some instances an Assessor’s Parcel of Developed Property may contain more than one Land Use Category. The Maximum Special Tax levied on an As sessor’s Parcel shall be the sum of the Maximum Special Tax for each Taxable Unit for all Land Use Categories located on the Assessor’s Parcel. The CFD Administrator’s allocation to each type of property shall be final.

c. Backup Special Tax
The Backup Special Tax for an Assessor’s Parcel within a Final Map classified as Single Family Residential Property or Approved Property expected to be cla ssified as Single Family Residential Property shall calculated according to the following formula.

B = (U x A) / L

The terms above have the following meanings:

B = Backup Special Tax per Assessor’s Parcel classi fied as Single Family Residential Property or Approved Property expected to be classified as Single Family Residential Property within the Final Map.

U = Maximum Special Tax per Acre of Undeveloped Property per Section D.3 below.

A = Acreage of Single Family Residential Property expected to exist after build out in such Final Map at the time of calculation, as determined by the Administrator

L = Number of Assessor’s Parcels of Single Family Residential Property expected to exist after build out in such Final Map at the time of calculation, as determined by the Administrator.

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In the event any portion of the Final Map is cha nged or modified, the Backup Special Tax for all Assessor’s Parcels within such changed or modified area shall be $88,85049,979 per Acre.

Notwithstanding the foregoing, the Backup Special Tax for an Assessor’s Parcel of Developed Property for which a certificate of occupancy has been granted may not be revised.

In the event any superseding Final Map is recorded as a Final Map within the boundaries of the CFD, the Backup Special Tax for all Assessor’s Parcels within such Final Map shall be $88,85049,979 per Acre.

The Backup Special Tax shall not apply to Multifamily Residential Property or Non-Residential Property.

On each July 1, commencing July 1, 20 2823, the Backup Special Tax rate shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year.

2. Approved Property

The Maximum Special Tax for each Assessor’s Parcel of Approved Property expected to be classified as Single Family Residential Property shall be the Backup Special Tax computed pursuant to Section D.1.c above.

The Maximum Special Tax for each Assessor’s Parcel of Approved Property not expected to be classified as Single Family Residential Property shall be $88,85049,979 per Acre.

On each July 1, commencing July 1, 202320285, the Maximum Special Tax rate for Approved Property shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year.

3. Undeveloped Property and Provisional Undeveloped Property

The Maximum Special Tax for each Assessor’s Parc el of Undeveloped Property and Provisional Undeveloped Property shall be $88,85049,979 per Acre.

On each July 1, commencing July 1, 202823, the Maximum Special Tax rate for Undeveloped Property and Provisional Undeveloped Property shall be increased by two percent (2.00%) of the amount in effect in the prior Fiscal Year.

E. METHOD OF APPORTIONMENT OF THE SPECIAL TAX

Commencing Fiscal Year 20 27-202822-2023 and for each subsequent Fiscal Year, the City Council shall levy Special Taxes on all Taxable Property in accordance with the following steps:

Step One: The Special Tax shall be levied Propor tionately on each Assessor’s Parcel of Developed Property at up to 100% of the applicable A ssigned Special Tax rates in Table 1 to satisfy the Special Tax Requirement.

Step Two: If additional moneys ar e needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Approved Property at up to 100% of the Maximum Special Tax applicable to each such Assessor’s Parcel as needed to satisfy the Special Tax Requirement.

Step Three: If additional moneys are needed to sa tisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax shall be levied Proportionately on each

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 8

Assessor’s Parcel of Undeveloped Property up to 100% of the Maximum Special Tax applicable to each such Assessor’s Parcel as needed to satisfy the Special Tax Requirement.

Step Four: If additional moneys are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the Special Tax levy on each Assessor's Parcel of Developed Property for which the Maximum Sp ecial Tax is the Backup Special Tax shall be increased in equal percentages from the Assigned Special Tax up to 100% of the Backup Special Tax as needed to satisfy the Special Tax Requirement.

Step Five: If additional moneys ar e needed to satisfy the Special Tax Requirement after the first four steps have been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Provisional Undevelo ped Property up to 100% of the Maximum Special Tax applicable to each such Assessor’s Parcel as needed to satisfy the Special Tax Requirement.

Notwithstanding the above, under no circumstances will the Special Taxes levied in any Fiscal Year against any Assessor’s Parcel of Residential Property as a re sult of a delinquency in the payment of the Special Tax applicable to any other Assessor’s Parcel be in creased by more than ten percent (10%) above the amount that would have been levied in that Fiscal Year had there never been any such delinquency or default.

F. EXEMPTIONS

The City shall classify as Exempt Property, in the following order of priority, (i) Assessor’s Parcels which are owned by, irrevocably offered for dedication, encumbered by or restricted in use by the State of California, Federal or other local governments, including school districts, (ii) Assessor’s Parcels which are used as places of worship and are exempt from ad valorem property taxes because they are owned by a religious organization, (iii) Assessor’s Parcels whic h are owned by, irrevocably offered for dedication, encumbered by or restricted in use by a homeowners' association, (iv) Assessor’s Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, (v) Assessor’s Parcels which are privately owned and are encumbered by or restricted solely for public uses, (vi) Assessor’s Parcels which are classified as Non-Residential Property or (vii) Assessor’s Parcels restricted to other types of public uses determined by the City Council, provided that no such classification would reduce the sum of all Taxable Property to less than 4.466.20 Acres.

Notwithstanding the above, the City Council shall not cl assify an Assessor’s Parcel as Exempt Property if such classification would reduce the sum of all Taxable Property to less than 4.466.20 Acres. Assessor's Parcels which cannot be classified as Exempt Prop erty because such classification would reduce the Acreage of all Taxable Property to less than 4.466.20 Acres will be classified as Provisional Undeveloped Property, and will be subject to Special Tax pursuant to Step Five in Section E.

G. PREPAYMENT OF SPECIAL TAX

The following additional definitions apply to this Section G:

“CFD Facilities” means $4,860,000000,0005,800,000 expressed in 20262 dollars, which shall increase by the Construction Inflation Index on July 1, 20273, and on each July 1 thereafter, or such lower amount (i) determined by the City Council as sufficient to provide the facilities under the authorized bonding program

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for CFD No. 20 26-XX22-2, or (ii) determined by the City Council concurrently with a covenant that it will not issue any more Bonds to finance additional facilit ies to be supported by Special Tax levied under this Rate and Method of Apportionment.
“Construction Fund” means an account specifically identified in the Indenture or functionally equivalent to hold funds, which are available for expenditure to acquire or construct facilities eligible to be financed by CFD No. 2026-XX22-2.

“Construction Inflation Index” means the greater of (i) 2% and (ii) the annual percentage change in the Engineering News-Record Building Cost Index for the ci ty of Los Angeles, measured as of the Calendar Year which ends in the previous Fiscal Year. In the event this index ceases to be published, the Construction Inflation Index shall be another index as determined by the City that is reasonably comparable to the Engineering News-Record Building Cost Index for the City of Los Angeles.

“Future Facilities Costs” means the CFD Facilities minus (i) amo unts deposited in the Construction Fund, (ii) amounts deposited in any escrow accounts funded by the Outstanding Bonds and anticipated to fund public facilities costs, and (iii) pub lic facility costs funded by interest earnings on the Construction Fund actually earned prior to the date of prepayment, but in no event shall such amount be less than zero.

“Outstanding Bonds” means all previously issued Bonds issued and secured by the levy of Special Tax which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of Special Tax.

1. Prepayment in Full

The Special Tax obligation may be prepaid and perm anently satisfied for (i) Assessor’s Parcels of Developed Property, (ii) Assessor’s Parcels of Approv ed Property or Undeveloped Property for which a Building Permit has been issued, (iii) Assessor’s Parc els of Approved Property or Undeveloped Property for which a Building Permit has not been issued and (iv) Assessor’s Parcels of Provisional Undeveloped Property. The Special Tax obligation applicable to an Assessor’s Parcel may be fully prepaid and the obligation to pay the Special Tax for such Assessor’s Parcel permanently satisfied as described herein; provided that a prepayment may be made only if th ere are no delinquent Special Taxes with respect to such Assessor’s Parcel at the time of prepayment. An owner of an Assessor’s Parcel intending to prepay the Special Tax obligation for such Assessor’s Parcel shall provide th e CFD Administrator with written notice of intent to prepay, and within 5 business days of receipt of such notice, the CFD Administrator shall notify such owner of the amount of the non-re fundable deposit determined to cover the cost to be incurred by the CFD in calculating the Prepayment Am ount (as defined below) for the Assessor’s Parcel.

Within 15 days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the Prepayment Amount for the Assessor’s Parcel. Prepayment must be made not less than 60 days prior to the redemption date for any Bonds to be redeemed with the proceeds of such prepaid Special Taxes.

The Prepayment Amount shall be calculated as follows (some capitalized terms are defined below):

City of Menifee
Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 10

Bond Redemption Amount
plus Redemption Premium
plus Future Facilities Amount
plus Defeasance Amount
plus Administrative Fees and Expenses
less Reserve Fund Credit
Equals: Prepayment Amount
The Prepayment Amount shall be determined as of the proposed prepayment date as follows:

1. Confirm that no Special Tax delinquen cies apply to such Assessor’s Parcel.

2. For an Assessor’s Parcel of Developed Prop erty, compute the Maximum Special Tax for the Assessor’s Parcel. For an Assessor’s Parcel of Approved Property or Undeveloped Property for which a Building Permit has been issued, compute the Ma ximum Special Tax for the Assessor’s Parcel as though it was already designated as Developed Property, based upon the Building Permit which has been issued for the Assessor’s Parcel. For an Assessor’s Parcel of Approved Property or Undeveloped Property for which a Building Permit has not been issued, or Provisional Undeveloped Property, compute the Maximum Special Tax for the Assessor’s Parcel.

3. Divide the Maximum Special Tax derived pursuant to paragraph 2 by the total amount of Maximum Special Taxes that could be levied assumi ng build out of all Assessor’s Parcels of Taxable Property based on the applicable Maximum Special Tax for Assessor’s Parcels of Developed Property not including any Assessor’s Parcels for which the Special Tax obligation has been previously prepaid.

4. Multiply the quotient derived pursuant to paragraph 3 by the principal amount of the Outstanding Bonds to determine the amount of Outstanding Bonds to be redeemed with the Prepayment Amount (the “Bond Redemption Amount”).

5. Multiply the Bond Redemption Amount by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the “Redemption Premium”).

6. Determine the Future Facilities Costs.

7. Multiply the quotient derived pursuant to paragraph 3 by the amount determined pursuant to paragraph 6 to determine the amount of Future Facilities Costs for the Assessor’s Parcel (the “Future Facilities Amount”).

8. Determine the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds on which Bonds can be redeemed from Special Tax prepayments.

9. Determine the Special Taxes levied on the Asse ssor’s Parcel in the curre nt Fiscal Year which have not yet been paid.

10. Determine the amount the CFD Administrator reasonably expects to derive from the investment of the Bond Redemption Amount and the Redemption Premium from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the Prepayment Amount.

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Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 11

11. Add the amounts derived pursuant to paragra phs 8 and 9 and subtract the amount derived pursuant to paragraph 10 (the “Defeasance Amount”).

12. Verify the administrative fees and expenses of the CFD, the cost to invest the Prepayment Amount, the cost of redeeming the Outstanding Bonds, and the cost of recording notices to evidence the prepayment of the Special Tax obligation for the Assessor’s Parcel and the redemption of Outstanding Bonds (the “Administrative Fees and Expenses”).

13. The reserve fund credit (the “Reserve Fund Cr edit”) shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the prepayme nt from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero.

14. The Prepayment Amount is equal to the sum of the Bond Redemption Amount, the Redemption Premium, the Future Facilities Amount, the Defeas ance Amount and the Administrative Fees and Expenses, less the Reserve Fund Credit.

15. From the Prepayment Amount, the Bond Rede mption Amount, the Redemption Premium, and Defeasance Amount shall be deposited into the appropriate fund as established under the Indenture and be used to redeem Outstanding Bonds or make debt service payments. The Future Facilities Amount shall be deposited into the Construction Fu nd. The Administrative Fees and Expenses shall be retained by the CFD.

The Prepayment Amount may be sufficient to redeem other than a $5,000 increm ent of Bonds. In such event, the increment above $5,000 or an integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next redemption from other Special Tax prepayments of Outstanding Bonds or to make debt service payments.

As a result of the payment of the current Fiscal Year’s Special Tax levy as determined pursuant to paragraph 9 above, the CFD Administrator shall remove the current Fiscal Year’s Special Tax levy for the Assessor’s Parcel from the County tax roll. With respect to any Assessor’s Parcel for which the Special Tax obligation is prepaid, the City Council shall cause a suit able notice to be recorded in compliance with the Act, to indicate the prepayment of Special Tax oblig ation and the release of the Special Tax lien for the Assessor’s Parcel, and the obligation to pay the Special Tax for such Assessor’s Parcel shall cease.

Notwithstanding the foregoing, no Special Tax pr epayment shall be allowed unless the amount of Maximum Special Tax that may be levied on all Assessor’s Parcels of Taxable Property after the proposed prepayment will be at least 1.1 times maximum annua l debt service on the Bonds that will remain outstanding after the prepayment plus the estimated annual Administrative Expenses.

Tenders of Bonds in prepayment of the Special Tax obligation may be accepted upon the terms and conditions established by the City Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the City Council.

2. Prepayment in Part

The Special Tax obligation for an Assessor’s Parcel of Developed Property, Approved Property,

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Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 12

Undeveloped Property, or Provisional Undeveloped Pr operty may be partially prepaid. For purposes of determining the Partial Prepayment Amount, the provisio ns of Section G.1 shall be modified as provided by the following formula:

PP = ((PE – A) x F) + A
These terms have the following meaning:

PP = Partial Prepayment Amount
PE = the Prepayment Amount calculated according to Section G.1 F = the percent by which the owner of the Assessor’s Parcel(s) is partially prepaying the Special Tax obligation
A = the Administrative Fees and Expenses determined pursuant to Section G.1 The owner of an Assessor’s Parcel who desires to partially prepay the Special Tax obligation for the Assessor’s Parcel shall notify the CF D Administrator of (i) such owner’s intent to partially prepay the Special Tax obligation, (ii) the percentage of the Special Tax obligation such owner wishes to prepay, and (iii) the company or agency that will be acting as the escrow agent, if any. Within 5 days of receipt of such notice, the CFD Administrator shall notify such property owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by the CFD in calculating the Partial Prepayment Amount. Within 15 business days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the amount of the Partial Prep ayment Amount for the Assessor’s Parcel. A Partial Prepayment Amount must be made not less than 60 days prior to the redemption date for the Outstanding Bonds to be redeemed with the proceeds of the Partial Prepayment Amount.

With respect to any Assessor’s Parc el for which the Special Tax obligation is partially prepaid, the CFD Administrator shall (i) distribute the Partial Prepayme nt Amount as provided in Paragraph 15 of Section G.1, and (ii) indicate in the records of the CFD that there has been a partial prepayment for the Assessor’s Parcel and that a portion of the Special Tax obligation equal to the remaining percentage (1.00 - F) of the applicable Special Tax will continue to be levied on the Assessor’s Parcel pursuant to Section E.

H. TERMINATION OF SPECIAL TAX

For each Fiscal Year that any Bonds are outstanding the Special Tax shall be levied on all Assessor’s Parcels subject to the Special Tax pursuant to Section E. The Special Tax shall cease not later than the 2071-2072 2064-2065 Fiscal Year, however, Special Taxes will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined (i) that all the required interest and principal payments on the CFD No. 2026-XX22-2 Bonds have been paid; (ii) all authorized facilities of CFD No. 20 26-XX22-2 have been acquired and all reimbursements to the developer have been paid, (iii) no delinquent Special Taxes remain uncollected and (iv) all other obligations of CFD No. 2026-XX22-2 have been satisfied.

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Community Facilities District No. 2026-XX22-2 (Cypress SandsMcLaughlin Village) Page 13

I. MANNER OF COLLECTION

The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that CFD No. 2026-XX22-2 may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor’s Parcels as permitted by the Act.

J. APPEALS OF SPECIAL TAXES

Any taxpayer may file a written appeal of the Special Taxes levied on his/her Assessor’s Parcel(s) with the CFD Administrator, provided that the appellant is curre nt in his/her payments of Special Taxes. During pendency of an appeal, all Special Taxes previously le vied must be paid on or before the payment date established when the levy was made. The appeal mu st specify the reasons why the appellant claims the Special Tax is in error. The CFD Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination. If the CFD Administrator agrees with the appellant, the CFD Administrator shall grant a credit to eliminate or reduce future Special Taxes on the appellant’s Assessor’s Parcel(s). No refunds of previously paid Special Taxes shall be made unless approved by the CFD Administrator.

The CFD Administrator shall interpret this Rate and Method of Apportionment and make determinations relative to the annual levy and administration of the Special Taxes and any taxpayer who appeals, as herein specified.

Finance CommitteeSeptember 14, 2026

Finance Committee
September 14, 2026