ATTACHMENT NO. 1
RESOLUTION NO. 25-52
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NORWALK
APPROVING THE SECOND AMENDMENT TO A GROUND LEASE BY
AND BETWEEN THE CITY OF NORWALK AND PRIMESTOR
NORWALK ENTERTAINMENT, LLC; AN EASEMENT AGREEMENT ;
AND COVENANTS, CONDITIONS, AND RESTRICTIONS
WHEREAS, the City entered into that certain ground lease agreement by and between the City of Norwalk and Primestor Norwalk Entertainment, LLC (“Developer”) dated December 19, 2022 (the “Original Agreement”), as amended by that First Amendment to Ground Lease dated as of March 31, 2025 (“First Amendment”) and together with the Original Agreement collectively referred to as the “Original Ground Lease”) to facilitate the development thereof with a mixed use development consistent with the Norwalk Entertainment District – Civic Center Specific Plan (the “Project”); and
WHEREAS, in accordance with Section 2.6 of the Original Ground Lease, Developer assigned to Residences at the Walk, LP (“Affordable Housing Developer”) all of Developer’s rights, title, and interests in, to and under the Ground Lease with respect to the portion of the premises identified as Parcel 7 (the “Affordable Housing Parcel”), in order to facilitate the development of the Affordable Housing Parcel with a fifty -six (56) unit multifamily housing development consisting of not less than fifty-three (53) income restricted residential units plus one (1) manager’s unit (the “Affordable Housing Project”); and
WHEREAS, City and Affordable Housing Developer executed that certain Restricted Residential Ground Lease (the “Affordable Housing Ground Lease”), pursuant to which City leases the Affordable Housing Parcel to Affordable Housing Developer for the development of the Affordable Housing Project;
WHEREAS, Developer will develop the portion of the Premises under the Original Ground Lease with a community serving plaza, plus all sidewalks, driveways, landscaping, and other improvements from time to time existing upon the exterior portions of the Plaza Parcel, but excluding all Buildings;
WHEREAS, the City desires to enter into the Declaration of C ovenants, Conditions, and Restrictions, which establish easements for the benefit of the Project and creates a plan for the maintenance, operation, and governance of the common plaza areas of the Project (“CC&R”);
WHEREAS, pursuant to Article 28 of the Original Ground Lease, City has notified Tenant of its decision to lease a portion of the City Hall Parcel measuring approximately 5,615 square feet , as depicted on Exhibit A (the “City Hall Adjacent Area”), and Tenant has notified City of its election to lease a portion of the City Hall Parcel from City, on the terms and conditions set forth in the Ground Lease;
WHEREAS, the City also desires to grant to Developer certain non- exclusive easement rights in, on, over, under, across, and through the City Hall Parcel, but excluding Resolution No. 25-52 Page 2 of 8
the City Hall Building itself to develop certain improvements on the City Hall Parcel and to provide for certain maintenance obligations and responsibilities, as depicted in Exhibit B (“City Hall Parcel Easement”);
WHEREAS, p ursuant to Section 4 of the ENA (as defined in the Original Ground Lease), Tenant has submitted Entitlement Cost Invoices to City evidencing Entitlement Costs incurred by Primestor Development, Inc., a Nevada corporation, an affiliate of Developer and City desires to reimburse Developer a portion of the Entitlement Cost Invoices consistent with the ENA as by applying a credit against Developer’s obligation to pay Base Rent for the First Rent Year and Second Rent Year;
WHEREAS, the Developer desires to utilize State Density Bonus Law, which allows developers to build more housing units than normally permitted by local zoning laws if they include a certain percentage of affordable housing units within their development; and
WHEREAS, the Parties now desire to amend the Original Ground Lease in order to:
(i) acknowledge and confirm that the Affordable Housing Parcel has been released from the Premises under the Ground Lease; (ii) increase the area of the Premises under the Ground Lease to include the City Hall Adjacent Area; (iii) apply the Rent Credit against Base Rent for the First Rent Year and Second Rent Year; and (iv) make such other modifications and amendments to the Original Ground Lease.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF NORWALK HEREBY DETERMINES, FINDS, AND RESOLVES AS FOLLOWS:
Section 1. The foregoing recitals are true and correct and are hereby incorporated as substantive findings in this Resolution.
Section 2. The City Council certified the Final EIR for the Project on October 4 , 2022, through City Council Resolution No. 22-57 (“FEIR”), which evaluated the environmental impacts associated with development and implementation of the Project . The Second Amendment to the Ground Lease, Easement Agreement, and the CC&R are actions associated with the implementation of the Project and are within the scope of the FEIR and none of the conditions set forth under CEQA Guidelines Section 15162 requiring the preparation of a subsequent EIR have been met. Therefore, pursuant to CEQA Guidelines Sections 15162 and 15168(c)(2), no further environmental review is required.
Section 3. The City Council hereby finds that the Second Amendment to the Ground Lease, Easement Agreement, and the CC&R are consistent the overall policies, goals, and objectives of the City’s General Plan, adopted specific plans, and the Norwalk Municipal Code based on the facts and findings set forth City Council Resolution No. 22 -58, which are incorporated and made a part of herein. In addition, the Second Amendment to the Ground Lease, Easement Agreement, and the CC&R are consistent with the goals and policies of the City’s Housing Element by facilitating: (1) the development of market -rate and affordable housing supply to meet the needs projected for the City ; (2) p rovide a variety of housing opportunities for all income groups of the City; (3) attain a housing market where all families can find adequate housing within their financial means ; and (4) achieve an assisted housing supply that provides a full range of affordable ownership and rental housing opportunities.
Resolution No. 25-52 Page 3 of 8
Section 4. The City Council further finds Second Amendment to the Ground Lease, Easement Agreement, and the CC&R assist in maximizing local economic development and housing goals as follows: (i) creation of local, well-paid, and skilled and trained construction jobs at prevailing rates in connection with the Residential and Commercial Projects, (ii) creation of well -paid new commercial retail jobs once the Project is completed; (iii) the generation of new property and sales tax revenue and lease rent that may be used to provide vital City services for the residents of the City , businesses and their employees, and visitors to the City, (iv) generate provide new amenities for the residents of the City and serve as a regional commercial destination in the southeast Los Angeles County area as well as an economic node and priority opportunity site, (v) assist meeting the City’s regional housing goals through the construction of the residential units consisting of affordable and market rate units, and (vi) creation of improved, publicly accessible open space for gatherings.
Section 5. The City Council hereby approves (i) Second Amendment to the Ground Lease, (ii) the Easement Agreement, and (iii) the CC&R. The City Manager or designee are hereby authorized and directed to execute Second Amendment to the Ground Lease, Easement Agreement, and the CC&R along with any side letters or agreements necessary to effectuate the intent of the any of the approved agreements set forth under this Resolution and such amendments, revisions, insertions, and omissions therein as the City Manager or his designee may require consistent with the intent of this Resolution and in a form approved by the City Attorney.
Section 6. The City Council further authorizes the City Manager or his designee prepare, execute, or record (or cause to be recorded) any and all ancillary documents, agreements, instruments, certificates, or amendments, in a form approved by the City Attorney, related to the Second Amendment to the Ground Lease, Easement Agreement, and the CC&R consistent with the intent of this Resolution.
Section 7. The City Clerk shall certify the adoption of this Resolution and it shall go into effect immediately upon its adoption.
Section 8. The Mayor, or presiding officer, is hereby authorized to affix his signature to this Resolution sign ifying its adoption by the City Council of the City of Norwalk and the City Clerk, or her duly appointed assistant, is directed to attest thereto.
APPROVED AND ADOPTED by the City Council of the City of Norwalk this 4th day of November 2025.
______________________________
TONY AYALA
MAYOR
ATTEST:
_______________________________
THERESA DEVOY, CMC
CITY CLERK
949.474.1960
15535 Sand Canyon Ave, Suite 100
Irvine, California 92618
fuscoe.com
Legal Description and Map of City Hall Adjacent Area
Exhibit A
Resolution No. 25-52
EASEMENT
LEGAL DESCRIPTION
M:\Mapping\1321\008\Legals\Const Esmt\1321-008constesmt_exA.docx THAT PORTION OF LOT IV (4), IN SECTION 18, TOWNSHIP 3 SOUTH, RANGE 11 WEST, IN
THE RANCHO SANTA GERTUDES, IN THE CITY OF NORWALK, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 1 AT PAGE 502 OF
MISCELLANEOUS RECORDS, ON FILE IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS:
BEGINNING AT THE CENTERLINE INTERSECTION OF IMPERIAL HIGHWAY AND NORWALK BOULEVARD AS SHOWN ON RECORD OF SURVEY FILED IN BOOK 257, PAGE 95, ON FILE IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY; THENCE ALONG THE CENTERLINE OF SAID NORWALK BOULEVARD SOUTH 00°19'23" EAST, 378.10 FEET;
THENCE LEAVING SAID CENTERLINE, NORTH 89°40'37" EAST, 50.00 FEET TO THE
EASTERLY RIGHT-OF-WAY LINE OF SAID NORWALK BOULEVARD, ALSO BEING THE WESTERLY LINE OF THAT GRANT DEED RECORDED MAY 3, 2013, AS INSTRUMENT NUMBER 20130668029 OF OFFICIAL RECORDS OF SAID COUNTY RECORDER AND A POINT ON THE SOUTHERLY LINE OF PARCEL 9 OF GRANT OF WAIVER AND CERTIFICATE OF COMPLIANCE CC NO. 2025-0001 RECORDED MAY 28, 2025 AS INSTRUMENT NO. 20250353813 OF OFFICIAL RECORDS OF SAID COUNTY SHOWN AS “S89°51'55"E 324.85’” ON SAID SOUTHERLY LINE ALSO BEING THE TRUE POINT OF BEGINNING;
THENCE SOUTH 89°51'55" EAST, 49.78 FEET;
THENCE SOUTH 00°19'05" EAST, 100.81 FEET;
THENCE SOUTH 89°39'15" WEST, 19.72 FEET;
THENCE SOUTH 00°19'05" EAST, 31.44 FEET;
THENCE NORTH 89°39'15" EAST, 19.72 FEET;
THENCE SOUTH 00°19'05" EAST, 96.54 FEET;
THENCE NORTH 89°39'15" EAST, 95.80 FEET;
THENCE SOUTH 00°19'05" EAST, 16.97 FEET;
THENCE NORTH 89°39'15" EAST, 129.25 FEET;
THENCE SOUTH 00°19'05" EAST, 42.39 FEET TO THE SOUTHERLY LINE OF SAID GRANT DEED;
THENCE ALONG SAID SOUTHERLY LINE, SOUTH 89°39'59" WEST, 58.84 FEET; THENCE NORTH 00°19'05" WEST, 25.44 FEET;
Resolution No. 25-52
EASEMENT
LEGAL DESCRIPTION
M:\Mapping\1321\008\Legals\Const Esmt\1321-008constesmt_exA.docx THENCE SOUTH 89°39'15" WEST, 44.31 FEET;
THENCE SOUTH 00°19'05" EAST, 1.32 FEET;
THENCE SOUTH 89°39'15" WEST, 63.57 FEET;
THENCE NORTH 00°19'05" WEST, 1.43 FEET;
THENCE SOUTH 89°39'15" WEST, 30.23 FEET;
THENCE SOUTH 00°19'05" EAST, 25.52 FEET TO THE SOUTHERLY LINE OF SAID GRANT DEED;
THENCE ALONG SAID SOUTHERLY LINE, SOUTH 89°39'59" WEST, 77.85 FEET TO SAID
EASTERLY RIGHT -OF-WAY LINE AND THE WESTERLY RIGHT -OF-WAY LINE OF SAID GRANT DEED;
THENCE ALONG SAID EASTERLY RIGHT-OF-WAY LINE AND SAID WESTERLY RIGHT-OF- WAY LINE NORTH 00°19'23" WEST, 288.51 FEET TO THE TRUE POINT OF BEGINNING.
THE ABOVE DESCRIBED PARCEL CONTAINS 21,458 SQUARE FEET OR 0.453 ACRES, MORE OR LESS.
AS SHOWN ON PLAT OF EASEMENT , ATTACHED HERETO AND BY THIS REFERENCE MADE A PART HEREOF.
THIS DESCRIPTION WAS PREPARED BY ME, OR UNDER MY DIRECTION, IN CONFORMANCE WITH THE PROFESSIONAL LAND SURVEYORS’ ACT.
J. MARTY SMITH, P.L.S. 8070
DATE PREPARED: 10/08/2025
Resolution No. 25-52
LICENSED LAND SURVEYOR
STATE OF CALIFORNIA8070
J. MARTY
SMITH
949.474.1960
15535 Sand Canyon Ave, Suite 100
Irvine, California 92618
fuscoe.com
Resolution No. 25-52
949.474.1960
15535 Sand Canyon Ave, Suite 100
Irvine, California 92618
fuscoe.com
Resolution No. 25-52