ORDINANCE NO. 1175
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF STANTON AMENDING
THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF STANTON AND STANTON 2.0 LLC FOR CERTAIN REAL PROPERTY LOCATED AT 12331-12435
BEACH BOULEVARD WITHIN THE CITY OF STANTON PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 65864 ET SEQ. AND MAKING CEQA FINDINGS IN
CONNECTION THEREWITH
WHEREAS, in November 2020, Chris Segesman representing Bonanni Development, (“Owner”) filed applications for a Site Plan and Design Review SPDR-807, Planned Development Permit PDP 20-04, and Development Agreement DA 20-03, for the development of a 3.75-acre site (“Project Site”), located at 12331-12435 Beach Boulevard (APN: 131-361-14, 131-361-10, and 131-361-03, consolidated by LLA 20-01; Instrument No. 2021000209655) for a new 321 multi-family residential unit development and associated improvements (“Project” or “Cloud House Development”); and WHEREAS, the Owner proposed to develop the Project Site located in the City, more particularly described in Exhibit “A” to Ordinance No. 1105 and incorporated herein by this reference (“Property”) for the Project; and
WHEREAS, pursuant to California Government Code section 65864 et seq., the City is authorized to enter into development agreements providing for the development of land under terms and conditions set forth therein; and
WHEREAS, on September 22, 2020, the City of Stanton (“City”) entered into the Development Agreement No. 20-03 with Owner (Instrument No. 2022000194588, incorporated herein by this reference (“Cloud House Development Agreement”), and adopted Ordinance No. 1105. The Development Agreement was assigned to Stanton 2.0 LLC (“Developer”) in or around May 2022; and
WHEREAS, the Cloud House Development Agreement requires the Cloud House Developer to pay the City development impact fees and certain public impact fees concurrently with the issuance of the certificate of occupancy for the Cloud House Development; and
WHEREAS, on February 25, 2025, City and Developer entered into a First Amendment to the Cloud House Development Agreement to enter into an alternative payment schedule for the public benefits and development impact fees required by the Cloud House Development Agreement in acknowledgement of the financial difficulties of the Project during the global pandemic and to ensure that the City received a reasonable rate of return on the outstanding balance to ensure its financial security; and WHEREAS, the May 2026 GKN Aerospace chemical incident in Garden Grove has placed a new and unanticipated financial burden on Developer in order to comply with State law that requires landlord reimbursement of rent to tenants under mandatory evacuation orders; and
Attachment: A
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ORDINANCE NO. 1175
WHEREAS, in light of this extraordinary situation, City and Developer now desire to temporarily pause the payment schedule for six months to provide relief to Developer and adopt a new payment schedule while ensuring the City still receives financial security during this period (“Second Amendment”); and
WHEREAS, the City Council has found that this Second Amendment to the Cloud House Development Agreement is consistent with the City's General Plan; and WHEREAS, the City Council has determined that by entering into the Second Amendment to the Cloud House Development Agreement, the City will ensure that the City public benefits fees and development impact fees are timely paid to assist with the orderly growth and quality development on the Property in accordance with the goals and policies set forth in the General Plan. Additionally, the Second Amendment to the Cloud House Development Agreement will ensure the City receives financial security through collection of all outstanding fees from Developer with reasonable interest; and WHEREAS, the City and Developer have reached mutual agreement and desire to voluntarily enter into this Second Amendment to the Cloud House Development Agreement to continue development of the Project subject to the conditions and requirements set forth therein; and
WHEREAS, pursuant to Stanton Municipal Code Section 20.510.060, a development agreement may be amended using the same procedure for entering into the agreement and therefore, the Planning Commission is responsible for making a recommendation to the City Council regarding adopting this Ordinance; and WHEREAS, on July 1, 2026, the Planning Commission of the City of Stanton conducted a duly noticed public hearing concerning the request to approve the Second Amendment to the Cloud House Development Agreement, at which hearing members of the public were afforded an opportunity to comment upon the Second Amendment to the Cloud House Development Agreement. At the conclusion of the hearing, the Planning Commission recommended that the City Council adopt proposed Ordinance No. 1175; and
WHEREAS, on September 8, 2026, the City Council of the City of Stanton conducted a duly noticed public hearing concerning the request to approve the Second Amendment to the Cloud House Development Agreement, at which hearing members of the public were afforded an opportunity to comment upon the amendment to the Development Agreement; and
WHEREAS, on September 22, 2026 the City Council of the City of Stanton held a second reading of proposed Ordinance No. 1175 and voted to approve the Second Amendment to the Cloud House Development Agreement; and
ORDINANCE NO. 1175
WHEREAS, the terms and conditions of the Second Amendment to the Cloud House Development Agreement have undergone review by the City Council at a publicly noticed hearing and have been found to be fair, just, and reasonable, and consistent with the General Plan; and
WHEREAS, all other legal prerequisites to the adoption of this Ordinance have occurred.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF STANTON, CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:
SECTION 1: The above recitals are incorporated herein and made a part hereof.
SECTION 2: The City Council finds that the Second Amendment to the Cloud House Development Agreement does not, in any way, affect the previously approved Project, and involves only matters related to administrative activities such as the collection of outstanding fees and issuance of certificates of occupancy. Therefore, the City Council finds that the adoption of the Second Amendment is exempt from the requirements of the California Environmental Quality Act (“CEQA”) pursuant to State CEQA Guidelines sections 5060(c)(2), 5061(b)(3), and 15378(b)(5). Additionally, the City Council previous found that the Project was categorically exempt from environmental review pursuant to State CEQA Guidelines, section 15332. The City Council further found that none of the exceptions to the exemptions outlined in State CEQA Guidelines, section 15300.2 applied to the Project.
SECTION 3: Pursuant to Government Code Section 65867.5(b) and Stanton Municipal Code Sections 20.510.050(D) & 20.510.060, and based on the entire record before the City Council, the City Council hereby makes the following findings:
1. Public Benefit: The Second Amendment to the Cloud House Development Agreement provides benefit to the City because it ensures that the City will still have the ability to collect the outstanding City Facilities Fees, Beautification Fees, and Development Impact Fees associated with the Cloud House Development Agreement through this contract amendment. The City ensures a financial benefit and security for the improvement of public facilities throughout the City because the outstanding public benefit and impact fee amounts will be assessed interest until the balance is paid in full.
2. General Plan, Specific Plan, and Zoning Code Consistency: The Second Amendment to the Cloud House Agreement does not make any changes to the previously approved Project. The Second Amendment solely focuses on ensuring that the City recovers all City Facilities Fees, Beautification Fees, and Development Impact Fees associated with the Cloud House Development Agreement. The Second Amendment ensures financial security for the City and further opportunities for the improvement of public facilities throughout the City, which is consistent with the purpose, intent, goals, policies, programs, and land use designations of the General Plan and any applicable Specific Plan, and this Zoning Code. General Plan goals furthered by this Second Amendment include, but are not limited to:
ORDINANCE NO. 1175
• Goal CD – 2.1: Increase the number of public spaces within the city, as well as the quality of existing and new public spaces.
• Goal ICS – 2.1: Provide adequate linear infrastructure to serve new and existing development within the city of Stanton.
• Goal ICS – 4.1: Create and maintain a system of public parks that are accessible to all residents, and provide a range of recreational amenities and opportunities.
3. Compliance with Development Agreement Statute. The Second Amendment to the Cloud House Development Agreement complies with the requirements of Government Code Sections 65864 through 65869.5 because the amendment does not alter any previously approved provision of the Project. The Cloud House Development Agreement still provides assurance to the applicant for the development of the Project, while the City will ensure the collection of the City Facilities Fees, Beautification Fees, and Development Impact Fees owed under the Cloud House Development Agreement.
SECTION 4: Pursuant to Stanton Municipal Code Section 20.510.060, a development agreement may be amended using the same procedure for entering into the agreement and therefore, the City Council is the approving body for adopting this Ordinance.
SECTION 5: The City Council hereby approves and adopts the Second Amendment to the Cloud House Development Agreement attached hereto as Exhibit "A", entitled, "Second Amendment to Development Agreement between the City of Stanton and Stanton 2.0 LLC".
SECTION 6: The documents related to this Ordinance are on file and available for public review at Stanton City Hall, 7800 Katella Ave., Stanton, California 90680. The City Clerk is the custodian of these documents.
SECTION 7: If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance for any reason is held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.
SECTION 8: This Ordinance shall be effective thirty days after its adoption. The City Clerk shall certify the adoption of this Ordinance and shall cause the same to be posted as required by law. Pursuant to Government Code Section 65868.5, within 10 days following the entering into of the amendment to the Development Agreement, as evidenced by full execution thereof, the City Clerk shall record with the Orange County Recorder a copy of the amendment to the Development Agreement.
ORDINANCE NO. 1175
SECTION 9: The City Council hereby directs staff to prepare and file a Notice of Exemption with the Orange County Clerk within five (5) working days of the approval of the Ordinance.
PASSED, APPROVED, and ADOPTED this 22nd day of September, 2026. ______________________________________
DAVID J. SHAWVER, MAYOR
ATTEST:
______________________________________
PATRICIA A. VAZQUEZ, CITY CLERK
APPROVED AS TO FORM:
___________________________________
HONGDAO NGUYEN, CITY ATTORNEY
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF STANTON )
I, Patricia A. Vazquez, City Clerk of the City of Stanton, California, do hereby certify that the foregoing Ordinance No. 1175 was introduced at a regular meeting of the City Council of the City of Stanton, California, held on the 8th day of September, 2026, and was duly adopted at a regular meeting of the City Council held on the 22nd day of September, 2026, by the following roll-call vote, to wit:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
PATRICIA A. VAZQUEZ, CITY CLERK
ORDINANCE NO. 1175
EXHIBIT “A”
SECOND AMENDMENT TO THE
CITY OF STANTON AND STANTON 2.0 LLC
DEVELOPMENT AGREEMENT
RECORDED AT REQUEST OF
AND WHEN RECORDED RETURN TO:
City of Stanton
7800 Katella Avenue
Stanton, California 90680
Attn: City Clerk
Fee Exempt - Gov’t Code §27383
(Space above for Recorder’s Use)
Second Amendment to the
Development Agreement Between
the City of Stanton and Stanton 2.0 LLC
This Second Amendment is entered into by and between the City of Stanton, a California municipal corporation (“City”), and Stanton 2.0 LLC, a California limited liability company (“Owner”) on September 22, 2026 (“Second Amendment”). The City and Owner are sometimes referred to in this Second Amendment as “Party” and “Parties.” Recitals
A. In November 2020, Chris Segesman representing Bonanni Development, (“Owner”) filed applications for a Site Plan and Design Review SPDR-807, Planned Development Permit PDP 20-04, and Development Agreement DA 20-03, for the development of a 3.75-acre site (“Project Site”), located at 12331-12435 Beach Boulevard (APN: 131-361-14, 131-361-10, and 131-361-03, consolidated by LLA 20-01; Instrument No. 2021000209655) for a new 321 multi-family residential unit development and associated improvements (“Project” or “Cloud House Development”).
B. The Owner proposed to develop the Project Site located in the City, more particularly described in Exhibit “A” to Ordinance No. 1105 and incorporated herein by this reference (“Property”) for the Project.
C. Pursuant to California Government Code section 65864 et seq., the City is authorized to enter into development agreements providing for the development of land under terms and conditions set forth therein.
D. On September 22, 2020, the City of Stanton (“City”) entered into the Development Agreement No. 20-03 with Owner (Instrument No. 2022000194588, incorporated herein by this reference (“Cloud House Development Agreement”), and adopted Ordinance No. 1105. The Development Agreement was assigned to Stanton 2.0 LLC (“Developer”) in or around May 2022.
E. On February 25, 2025, City and Owner entered into a First Amendment to the Cloud House Development Agreement to enter into an alternative payment schedule for the public benefits and development impact fees required by the Cloud House Development Agreement in acknowledgement of the financial difficulties of the Project during the global pandemic and to ensure that the City received a reasonable rate of return on the outstanding balance to ensure its financial security.
F. The May 2026 GKN Aerospace chemical incident in Garden Grove has placed a new and unanticipated financial burden on Owner in order to comply with State law that requires landlord reimbursement of rent to tenants under mandatory evacuation orders.
G. In light of this extraordinary situation, City and Owner now desire to temporarily pause the payment schedule for six months to provide relief to Owner and adopt a new payment schedule while ensuring the City still receives financial security during this period.
H. Pursuant to Stanton Municipal Code Section 20.510.060, a development agreement may be amended using the same procedure for entering into the agreement.
This process and procedure has been satisfied.
Terms
The Parties agree to the following terms:
1. Recitals. The recitals included at the beginning of this Second Amendment are true and correct and are made a part of this Second Amendment
2. Amendment. Section 4.3, “Development Impact Fees,” of the Cloud House Development Agreement is hereby amended in its entirety and restated to read as follows (deletions in strikethrough, and added language double underlined):
“4.3 Development Impact Fees.
4.3.1 Amount of Fee. OWNER shall pay all Development Impact Fees in effect on the Effective Date. As of the Effective Date, the Development Impact Fees are one thousand forty-nine dollars ($1,049) per Unit built in the Project.
4.3.2 Reserved.
4.3.3 Prepayment. In no event shall the prepayment of any Development Impact Fees required hereunder establish a vested right on the part of OWNER or any other owner of the Property or any person or entity with an interest therein to develop the Project or the Property following the expiration, cancellation or termination of the Term of this Agreement. Following the expiration, cancellation or termination of this Agreement, all Development Impact Fees then in effect shall be applicable to the Project and Property notwithstanding any provision of this Agreement and notwithstanding the prepayment of the Development Impact Fees set forth in Exhibit “D”, or any combination thereof.”
4.3.4 Time of Payment for Public Benefits and Development Impact fees.
The fees required pursuant to Subsections 4.2.1, 4.2.2, and 4.3.1 shall begin to be due and payable to CITY twelve (12) months following the issuance of the certificate of occupancy for the Project (“Payment Start Date”) and shall be fully paid by OWNER to CITY within sixty-six (6066) months following the issuance of the certificate of occupancy for the Project. By way of example, only, if the certificate of occupancy was issued by CITY on April 1, 2025, then the Payment Start Date would begin on April 1, 2026, and the Total Fees Amount, with interest, shall be fully paid by OWNER to CITY by April 1, 2030.
The total amount of fees owed pursuant to Subsections 4.2.1, 4.2.2, and 4.3.1 equal One Million, Three Hundred Forty Nine Thousand, Seven Hundred and Twenty Nine Dollars ($1,349,729) (the “Total Fees Amount”).
Upon the CITY’s issuance of the certificate of occupancy, the Total Fees Amount shall immediately begin accruing interest at the rate of Two Percent (2%) simple interest, annually, for a term of five sixty-six years months, until the Total Fees Amount and interest is paid in full. The total interest and total payment amount to be paid over the five sixtysix year month term is Sixty Nine Thousand Seven Hundred Thirty Four Dollars and Fifty Six Cents ($69,734.56), resulting in a total payment amount (including interest) of $1,419,463.56. A outlined in the payment schedule reflecting the payments and interest and is attached hereto and incorporated herein as Attachment “1”.
OWNER’s obligation to pay the Total Fees Amount shall not begin until one (1) year after the issuance of certificate of occupancy. Thereafter, OWNER’s payments shall be made in equal, monthly installments via check made payable to “City of Stanton” by the first day of each month. If OWNER is late on any monthly payment, a late fee in the amount of Ten Percent (10%) of the outstanding monthly balance shall be assessed against OWNER on the tenth (10th) day that OWNER is late. A payment shall be considered late if it is not received by the City on the tenth (10th) from when it was due. If a monthly payment is still late after Ten (10) Days, then that shall constitute a breach of the Agreement.
Notwithstanding the above, no portion of the Total Fees Amount shall be required to be paid for the period of July 1, 2026 through December 31, 2026, and payments will be temporarily paused during that period (“Pause Period”). Interest shall continue to accrue during the Pause Period. Payments shall recommence in accordance with this section, starting January 1, 2027.
Additional changes to the payment schedule in Attachment “1” that do not affect the Total Fees Amount and interest to be paid may be approved by OWNER and the City Manager.”
3. New Payment Schedule. The existing payment schedule attached to the Agreement as Attachment “1” via the First Amendment is hereby replaced with the payment schedule attached to this Second Amendment as Attachment “1”.
4. Remaining Terms. All terms, conditions, and other provisions of the Cloud House Development Agreement, including all exhibits, not affected by this Second Amendment shall remain in full force and effect.
5. Conflicts. If there is any conflict between the terms of this Second Amendment or other Development Approvals and the changes in this Second Amendment, the provisions in this Second Amendment shall govern.
6. Multiple Counterparts. This Second Amendment may be executed in one or more counterparts, each of which is deemed an original, but all of which together constitute one and the same instrument.
7. Severability. If any provision of this Second Amendment, or any other document referred to by this Second Amendment is, for any reason, held to be invalid, illegal, or unenforceable, then to the maximum extent permitted by law, such invalidity, illegality, or unenforceability has no effect on any other provision of this Second Amendment.
8. Cumulative Remedies. All rights and remedies of a Party are cumulative of each other. The exercise of a right or remedy may not prejudice or impair the concurrent exercise of another right or remedy.
9. Representation by Counsel; Equal Construction. In executing this Second Amendment, each Party has been represented by and consulted with counsel of its own choosing. Each Party has carefully read and fully understands this Second Amendment in its entirety. The meaning, intent and legal effect of this Second Amendment have been fully explained to each Party by its respective legal counsel. Each Party represents that it is competent to execute this Second Amendment and that it has executed this Second Amendment free from coercion, duress, or undue influence. Each of the Parties has participated in the review and revision of this Second Amendment and, therefore, neither Party shall be considered the drafting Party for purposes of resolving any alleged ambiguities in this Second Amendment.
The Parties have caused this Second Amendment to be duly executed effective as of the Effective Date first written above.
[Signatures on following page]
SIGNATURE PAGE TO SECOND AMENDMENT TO DEVELOPMENT AGREEMENT BETWEEN CITY OF STANTON AND STANTON 2.0 LLC
STANTON 2.0 LLC,
a California limited liability company
By:
Its:
Date:
and
By:
Its:
Date:
CITY OF STANTON,
a California municipal corporation
By: ____________________________
Hannah Shin-Heydorn
City Manager
Date: ____________________________
Attest:
By: ____________________________
Patricia A. Vazquez
City Clerk, MMC
Date: ___________________________
Approved as to form:
By: ____________________________
Best, Best & Krieger LLP
City Attorney
Date: ____________________________
Attachment 1
Payment Schedule
Payment
Date Status
Beginning
Balance Interest Payment
Principal
Paid Ending Balance
07/01/2026 Paused - No Payment $1,266,152.94 $2,110.25 - - $1,268,263.19 08/01/2026 Paused - No Payment $1,268,263.19 $2,113.77 - - $1,270,376.97 09/01/2026 Paused - No Payment $1,270,376.97 $2,117.29 - - $1,272,494.26 10/01/2026 Paused - No Payment $1,272,494.26 $2,120.82 - - $1,274,615.09 11/01/2026 Paused - No Payment $1,274,615.09 $2,124.36 - - $1,276,739.44 12/01/2026 Paused - No Payment $1,276,739.44 $2,127.90 - - $1,278,867.34 01/01/2027 Payment $1,278,867.34 $2,131.45 $30,168.12 $28,036.67 $1,250,830.67 02/01/2027 Payment $1,250,830.67 $2,084.72 $30,168.12 $28,083.40 $1,222,747.27 03/01/2027 Payment $1,222,747.27 $2,037.91 $30,168.12 $28,130.21 $1,194,617.07 04/01/2027 Payment $1,194,617.07 $1,991.03 $30,168.12 $28,177.09 $1,166,439.98 05/01/2027 Payment $1,166,439.98 $1,944.07 $30,168.12 $28,224.05 $1,138,215.93 06/01/2027 Payment $1,138,215.93 $1,897.03 $30,168.12 $28,271.09 $1,109,944.84 07/01/2027 Payment $1,109,944.84 $1,849.91 $30,168.12 $28,318.21 $1,081,626.63 08/01/2027 Payment $1,081,626.63 $1,802.71 $30,168.12 $28,365.41 $1,053,261.22 09/01/2027 Payment $1,053,261.22 $1,755.44 $30,168.12 $28,412.68 $1,024,848.54 10/01/2027 Payment $1,024,848.54 $1,708.08 $30,168.12 $28,460.04 $996,388.50 11/01/2027 Payment $996,388.50 $1,660.65 $30,168.12 $28,507.47 $967,881.03 12/01/2027 Payment $967,881.03 $1,613.14 $30,168.12 $28,554.98 $939,326.05 01/01/2028 Payment $939,326.05 $1,565.54 $30,168.12 $28,602.57 $910,723.48 02/01/2028 Payment $910,723.48 $1,517.87 $30,168.12 $28,650.24 $882,073.23 03/01/2028 Payment $882,073.23 $1,470.12 $30,168.12 $28,698.00 $853,375.23 04/01/2028 Payment $853,375.23 $1,422.29 $30,168.12 $28,745.83 $824,629.41 05/01/2028 Payment $824,629.41 $1,374.38 $30,168.12 $28,793.74 $795,835.67 06/01/2028 Payment $795,835.67 $1,326.39 $30,168.12 $28,841.72 $766,993.95 07/01/2028 Payment $766,993.95 $1,278.32 $30,168.12 $28,889.79 $738,104.16 08/01/2028 Payment $738,104.16 $1,230.17 $30,168.12 $28,937.94 $709,166.21 09/01/2028 Payment $709,166.21 $1,181.94 $30,168.12 $28,986.17 $680,180.04 10/01/2028 Payment $680,180.04 $1,133.63 $30,168.12 $29,034.48 $651,145.55 11/01/2028 Payment $651,145.55 $1,085.24 $30,168.12 $29,082.87 $622,062.68 12/01/2028 Payment $622,062.68 $1,036.77 $30,168.12 $29,131.35 $592,931.33 01/01/2029 Payment $592,931.33 $988.22 $30,168.12 $29,179.90 $563,751.43 02/01/2029 Payment $563,751.43 $939.59 $30,168.12 $29,228.53 $534,522.90 03/01/2029 Payment $534,522.90 $890.87 $30,168.12 $29,277.25 $505,245.66 04/01/2029 Payment $505,245.66 $842.08 $30,168.12 $29,326.04 $475,919.62 05/01/2029 Payment $475,919.62 $793.20 $30,168.12 $29,374.92 $446,544.70 06/01/2029 Payment $446,544.70 $744.24 $30,168.12 $29,423.88 $417,120.82 07/01/2029 Payment $417,120.82 $695.20 $30,168.12 $29,472.92 $387,647.91 08/01/2029 Payment $387,647.91 $646.08 $30,168.12 $29,522.04 $358,125.87 09/01/2029 Payment $358,125.87 $596.88 $30,168.12 $29,571.24 $328,554.63 10/01/2029 Payment $328,554.63 $547.59 $30,168.12 $29,620.53 $298,934.10 11/01/2029 Payment $298,934.10 $498.22 $30,168.12 $29,669.89 $269,264.21 12/01/2029 Payment $269,264.21 $448.77 $30,168.12 $29,719.34 $239,544.86 01/01/2030 Payment $239,544.86 $399.24 $30,168.12 $29,768.88 $209,775.99 02/01/2030 Payment $209,775.99 $349.63 $30,168.12 $29,818.49 $179,957.50 03/01/2030 Payment $179,957.50 $299.93 $30,168.12 $29,868.19 $150,089.31 04/01/2030 Payment $150,089.31 $250.15 $30,168.12 $29,917.97 $120,171.34 05/01/2030 Payment $120,171.34 $200.29 $30,168.12 $29,967.83 $90,203.51 06/01/2030 Payment $90,203.51 $150.34 $30,168.12 $30,017.78 $60,185.73 07/01/2030 Payment $60,185.73 $100.31 $30,168.12 $30,067.81 $30,117.92 08/01/2030 Payment $30,117.92 $50.20 $30,168.12 $30,117.92 - Total Pause/Resume
Schedule
Total $61,244.23 $1,327,397.17 $1,278,867.34
Payments from 3/1/26 to 6/1/26 $7,717.54 $118,288.60 $110,571.06 Total Including Original Payments $68,961.77 $1,445,685.77 $1,389,438.40 Original Loan Fully Amortized Without
Pause $42,739.20 $1,419,463.20 $1,376,724.00
RESOLUTION N0. 2591
A RESOLUTION OF THE PLANNING COMMISSION OF
THE CITY OF STANTON RECOMMENDING THE CITY
COUNCIL ADOPT ORDINANCE N0. 1175 AMENDING THE
DEVELOPMENT AGREEMENT BETWEEN THE CITY OF
ST ANTON AND ST ANTON 2.O LLC FOR CERT AIN REAL
PROPERTY LOCATED AT 12331-12435 BEACH
BOULEV ARD WITHIN THE CITY OF ST ANTON
WHEREAS, in November 2020, Chris Segesman representing Bonanni Development, ("Owner") filed applications for a Site Plan and Design Review SPDR-807, Planned Development Permit PDP 20-04, and Development Agreement DA 20-03, for the development of a 3.75-acre site ("Project Site"), located at 12331-12435 Beach Boulevard (APN: 131-361-14, 13'l-361-10, and 131-36'l-03, consolidated by LLA 20-01; Instrument No. 2021000209655) for a new 321 multi-family residential unit development and associated improvements ("Project" or "Cloud House Development"); and WHEREAS, the Owner proposed to develop the Project Site located in the City, more particularly described in Exhibit "A" to Ordinance No. "l 105 and incorporated herein by this reference ("Property") for the Project; and
WHEREAS, pursuant to California Government Code section 65864 et seq., the City is authorized to enter into development agreements providing for the development of land under terms and conditions set forth therein; and
WHEREAS, on September 22, 2020, the City of Stanton ("City") entered into the Development Agreement No. 20-03 with Owner (Instrument No. 2022000194588, incorporated herein by this reference ("Cloud House Development Agreement"), and adopted Ordinance No. 1105. The Development Agreement was assigned to Stanton 2.0 LLC ("Developer") in or around May 2022; and
WHEREAS, the Cloud House Development Agreement requires Owner to pay the City development impact fees and certain public impact fees concurrently with the issuance of the certificate of occupancy for the Cloud House Development; and WHEREAS, on February 25, 2025, City and Developer entered into a First Amendment to the Cloud House Development Agreement to enter into an alternative payment schedule for the public benefits and development impact fees required by the Cloud House Development Agreement in acknowledgement of the financial difficulties of the Project during the global pandemic and to ensure that the City received a reasonable rate of return on the outstanding balance to ensure its financial security; and WHEREAS, the May 2026 GKN Aerospace chemical incident in Garden Grove has placed a new and unanticipated financial burden on Developer in order to comply with State law that requires landlord reimbursement of rent to tenants under mandatory evacuation orders; and
Attachment: B
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WHEREAS, in light of this extraordinary situation, City and Developer now desire to temporarily pause the payment schedule for six months to provide relief to Developer and adopt a new payment schedule while ensuring the City still receives financial security during this period ("Second Amendment"); and
WHEREAS, the Planning Commission has found that this Second Amendment to the Cloud House Development Agreement is consistent with the City's General Plan; and WHEREAS, the Planning Commission has determined that by entering into the Second Amendment to the Cloud House Development Agreement, the City will ensure that the City public benefits fees and development impact fees are timely paid to assist with the orderly growth and quality development on the Property in accordance with the goals and policies set forth in the General Plan. Additionally, the Second Amendment to the Cloud House Development Agreement will ensure the City receives financial security through collection of all outstanding fees from Developer with reasonable interest; and WHEREAS, the City and Developer have reached mutual agreement and desire to voluntarily enter into this Second Amendment to the Cloud House Development Agreement to facilitate development of the Project subject to the conditions and requirements set forth therein; and
WHEREAS, pursuant to Stanton Municipal Code Section 20.510.060, a development agreement may be amended using the same procedure for entering into the agreement and therefore, the Planning Commission is responsible for making a recommendation to the City Council regarding adopting this Ordinance; and WHEREAS, on June 18, 2026, the City gave public notice that the Planning Commission would conduct a public hearing to consider the Second Amendment under proposed Ordinance No. 1175 by posting the public notice at three public places and publishing the notice in the Orange County News on June 19, 2026, and the Planning Commission agenda was made available through the agenda posting process; and WHEREAS, on July 1, 2026, the Planning Commission of the City of Stanton conducted a duly noticed public hearing concerning the request to approve the Second Amendment to the Cloud House Development Agreement, at which hearing members of the public were afforded an opportunity to comment upon the amendment to the Cloud House Development Agreement.
NOW, THEREFORE, THE PLANNING COMMISSION OF THE CITY OF
STANTON RESOLVES AS FOLLOWS:
SECTION 1. That the recitals set forth above are found to be true and correct and are incorporated herein by reference.
Resolution No. 2591
July 1, 2026
Page No. 2
SECTION 2. The Planning Commission finds that the Second Amendment to the Cloud House Development Agreement does not, in any way, affect the previousiy approved Project, and involves only matters related to administrative activities such as the collection of outstanding fees and issuance of certificates of occupancy. Therefore, the Planning Commission finds that the adoption of the Second Amendment is exempt from the requirements of the California Environmental Quality Act ("CEQA") pursuant to State CEQA Guidelines sections I 5060(c)(2), I 506'l (b)(3), and 1 5378(b)(5). Additionally, the City Council previously found that the Project was categorically exempt from environmental review pursuant to State CEQA Guidelines, section 15332. The City Council further found that none of the exceptions to the exemptions outlined in State CEQA Guidelines, section 15300.2 applied to the Project.
SECTION 3. This Resolution and its findings are based upon the entire record, including, but not limited to, such things as the staff report, the testimony by staff and the public, and other materials and evidence submitted or provided to the Planning Commission prior to or during the meeting.
SECTION 4. Pursuant to Government Code Section 65867.5(b) and Stanton Municipal Code Sections 20.510.050(D) & 20.510.060, and based on the entire record before the Planning Commission, the Planning Commission hereby makes the following findings:
1. Public Benefit: The Second Amendment to the Cloud House Development Agreement provides benefit to the City because it ensures that the City will still have the ability to collect the outstanding City Facilities Fees, Beautification Fees, and Development Impact Fees associated with the Cloud House Development Agreement through this contract amendment. The City ensures a financial benefit and security for the improvement of public facilities throughout the City because the outstanding public benefit and impact fee amounts will be assessed interest until the balance is paid in full.
2. General Plan, Specific Plan, and Zoninq Code Consistency: The Second Amendment to the Cloud House Agreement does not make any changes to the previously approved Project. The Second Amendment solely focuses on ensuring that the City recovers all City Facilities Fees, Beautifigation Fees, and Development Impact Fees associated with the Cloud Hptise.,Devglopment Agreement. The Second Amendment ensures finaricial*s6curity fo'rltie 'City arlet further opportunities for the improvement of public facilities throughout the City, which is consistent with the purpose, intent, goals, policies, programs, and land use designations of the General Plan and any applicable Specific Plan, and this Zoning Code. General Plan goals furthered by this Second Amendment include, but are not limited to:
* GoalCD-2.1:Increasethenumberofpublicspaceswithinthecity,aswell as the quality of existing and new public spaces.
Resolution No. 2591
July 1, 2026
Page No. 3
* Goal ICS - 2.1: Provide adequate linear infrastructure to serve new and existing development within the city of Stanton. I
j
i
* Goal ICS - 4.1: Create and maintain a system of public parks that are accessible to all residents, and provide a range of recreational amenities and opportunities.
3. Compliance with Development Agreement Statute. The Second Amendment to the Cloud House Development Agreement complies with the requirements of Government Code Sections 65864 through 65869.5 because the Second Amendment does not alter any previously approved provision of the Project. The Cloud House Development Agreement still provides assurance to the applicant for the development of the Project, while the City will ensure the collection of the City Facilities Fees, Beautification Fees, and Development Impact Fees owed under the Cloud House Development Agreement.
SECTION 5. The Planning Commission hereby recommends that the City Council approve and adopt Ordinance No. 'l 175, attached hereto as Exhibit "A." SECTION 6. This Resolution shall become effective upon its adoption.
PASSED, APPROVED, AND ADOPTED at a regular meeting of the Planning Commission on the Ist day of July 2026, by the following vote:
AYES: COMMISSIONERS: Adams, Meza-Saldana, Normand, Frazier, Ash NOES: COMMISSIONERS: None
ABSENT: COMMISSIONERS: None
ABSTAIN: COMMISSIONERS: None
E i'fab Ash, Chaarperson
Stanton Planning Commission
Resolution No. 2591
July 1, 2026
Page No. 4
EXHIBIT "A"
PROPOSEDORDINANCENO. 1175
Resolution No. 2591
July 1, 2026
Page No. 5
ORDIN ANCE N0. 1175
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF STANTON AMENDING
THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF STANTON AND STANTON 2.0 LLC FOR CERTAIN REAL PROPERTY LOCATED AT 12331-'12435 BEACH BOuLEV ARO WITHIN THE CITY OF ST ANTON PuRSu ANTTO CALIFORNIA GOVERNMENT CODE SECTION e58e4 ET SEQ. AND M AKING CEQA FINDINGS IN
CONNECTION THEREWITH
WHEREAS, in November 2020, Chns Segesman representing Bonanni Developmenl, ("Owner') filed applications lay a Sile Pmn and [)esign Review SPDR-807, Planned Development Pemiil PDP 20- € 4, and Development Agreement DA 20-03, JOT the development oTa 3 75-acre site (aPtnjecl Site"), located at 12331-'12435 Beach Boulevard (APN. 131-381-14, 13'l-3(if-TO, and 131-36'l-03, consolidated by LLA20-01 Inslnimeni No 2021000209655) for a new 321 multi-family residential unit development and assoaaled improvemenls ("Pmjecl" or "Cloud House Developmenf') and WHEREAS, Ihe Owner pnoposed to develop Ihe Projeci Siie located in the City, more particularly descrlbed in Exhibit "A" lo Ordinance Nii. 1105 and incorporated herein by this raTetence ("Properly") Toi Ihe Project, and
WHEREAS, pursuant to CaliTomia Govemmenl Code seclion 65864 et seq, the Cily is aulhorized to enter inlo devslopmenl agreements providing lot Ihe development of land under lemng and condilions set Torth therein, and
WHEREAS, on September 22, 2020, the City ok Slanltin ("City") enlered into the Developmenl Agreement No. 20-03 with Owner (lnsliument No. 202200CY94588, incorporated herein by this reference ("Cloud House Development Agreemenla), and adopted Ordinance No j '105 The Development Agreement was assigned to Slanlon 2 0 LLC ["Devaloper) in tit around May 2022, and
WHEREAS, the Cloud House Development Agreement requires the Cloud House Developer to pay the City development impact Teeg and certain public impact lees concurrently mlh the issuance of the cerlfficale of occupancy for Ihe Cloud House Development, end
WHEREAS, on Fsbruary 25, 2025, City and Developer entered into a First Amsndment to the Cloud House Developmenl Agreement lo enter into an allemalive payment schedule lot the public benefits and development impact fees requked by the Cloud House Development Agreement in acknowledgement oT Ihe financial difficulties oT the Project dunng the global pandemic and to ensure that the City received a reasonable raie oT relum on the oulslanding balance to ensure its financial secunty, and WHEREAS, the May 202(i GKN Aerospace chemical incident in Garden Grove has placed )l new and unanlicipaled financial burden on Developer in order to comply with Slate law Ihaf requires landlord reimbuissmen( oT renl to lenanls under mandatory evacuation orders: and
ORDINANCE N0. 1175
Page j oT 7
WHEREAS, the terms and conditions of the Second Amendment to the Cloud House Development Agreement have undergone review by the City Council at s publicly noticed heanng and have been found to be fair, just, and reasonable, and consislenl with the General Plan: and
WHEREAS, all other legal prerequisites to Ihe adoplion of this Ordinance have occuned.
NOW THEREFORE, THE CITY COtlNCIL OF THE CITY OF ST ANTON DOE!i ORDAIN AS FOLLOWS:
The above recitals are incorporated herein and made a part hereof j The Second Amendment to the Cloud House [)evelopment
Agreement provides benefll to the City because it ensures that the City will glill have lhs ability to collect the ouisianding City Faalilies Fees, Besullficalitin Fees, and € evelopmenl Impact Fees associsied mlh the Cloud Htiuse Development Agreemeni through this contract amendment The Ciiy ensures a financial benefit and security for the improvement of publicfacililies Ihroughoul Ihe City because the oulslanding public beneiil and impact Tee amounls will be assessed interest until (he balance is paid in full
2. General Plen, SpeciTlc Plan, and Zoninq Code Consistency The Second Amendment to the Cloud House Agreement does not make any changes lo the previously approved %jecl The Second Amendment solely Tocusss tin ensunng that Ihe City recovers all City Facilities Fees, Beautincation Fees, and Development Impact Fees associated with the Cloud House Development Agreement. The Second Amendment ensures financial security for the City and further opportunities TOTthe improvement oT public ficililies throughout Ihe Cily, which is consistent with the purpose, intent, goals, policies, programs, and land use designations oT the General Plan and any applicable Spetlfic F'lan, and this Zoning Code. General Plan goals furthered by this Second Amendment include, bul ate not limited to
ORDINANCE N0. 1175
WHEREAS, in light oT Ihis exltaordinay silualion, Cily and Developer now deske to temporarily pause Ihe payment schedule lor six monlhs lo provide relief lo Developer and adopt a new paymenl schedule while ensuring Ihe Cily slill receives financial secunly dunng this penod ("Second Amendment"), and
WHEREAS, the City Council has Tound that this Second Amendment to Ihe Cloud House Develtipmen( Agreement is consistent with Ihe Ciiy's General Plan, and WHEREAS, the City Council has dsleimined that by enlenng into the Second Amendment to the Cloud House Development Agreement, the City Wlll enstxe that the City public benenls fees and development impaci fees ate timely paid to assist mlh Ihe orderly giowlh and quality development on Ihe Properiy in accordance with the goals and policies set forlh in the General Plan. Additionally, the Second Amendment to the Cloud House Development Agreement will ensure the Cily receives financial security through collection ol all oulslanding Teas from Developer wllh reasonable interest; and WHEREAS, the City and Developer have reached mulual agrsemenl and dame to volunlanly enter into this Second Amendmenl to the Cloud %use Dsvelopnunt Agreement to continue development of the Project subject to Ihe condilions and requkemenls get forth therein, and
WHEREAS, putsuanl to Slanlon Municipal Code Section 20 510 060, a development agreement may be amended using Ihe same procedure Tar enlsnng into the agteemsnt and therefore, the Planning Commission is responsible lot makingarecommsndalion to the City Council regarding adopting this Ordinance, and WHEREA!i, on July S, 2026, the Planning Commission oT the City of Slanlon conducled a duly noticed public heanng conceming the request to approvs the Sttcond Amendment to the Cloud House Development Agreement, at which heanng members of the public were afforded an oppodunily to comment upon the Second Amendment to the Cloud Houstt Development Agreement At Ihe conclusion ol the hearing, the Planning Commission rsaymmsnded Ihal the City Council adopt proposed Ominance No. 1175, and
WHEREAS, on l 202(i, the City Council of Ihe Ciiy oT Slanlon conduded a duly noticed public hearing conceming the request io approve the Second Amendment to the Cloud House Development Agteemsnl, at which hearing members oT the public wtte afforded an opportunity to comment upon the amendment to the Development Agreement, and
WHEREAS,on ,20261heCilyCtiunciloflheCilyoTSlanlonheldasecond reading of proposed Ordinance No S175 and voted to approve the Second Amendmeni to Ihe Cloud House [)evelopmenl Agneemenl, and
ORDINANCE N0. 1175
Goal CD - 21 ' Increase the number of public spaces wilhin the cily, as well as the quality of exisiing and new public spaces
Goal ICS - 2 l' Provide adequate linear inlrasltuclure to serve new and existing developmen( mlhin the city ol Slanton.
Goal ICS - 4.1. Create and maintain a syslem ol public parks that ate accessible to all residents, and provide a range of recreational amenilies and opporlunilies
3. Compliance with Development Aqreemenl Slaiule The Second Amendment to the Cloud House Development Ag reemenl complies wilh Ihe requiremenis of Govemmenl Code 8eclions 65864 Ihrough 65869 5 because the amendment does not alter any previously approved provision of Ihe Project The Cloud House [)evelopment Agreement still provides assurance lo the appllcanl for the developmenl ol the Proled, while Ihe City will ensure Ihe colleclion of the City Facililies Fees, Beaulification Fees, and Developmenl Impact Fees owed under the Cloud House Dttvelopmenl Ageemenl.
ORDINANCENO 1175
evidenced by full exoculion thereof, Ihe Cily Clerk shall record wilh the Orange County Recorder a copy of the amendment to the Developmen( Agreement ORDINANCE N0. 1175
EXHIBIT a'A"
SECOND AMENDMENT TO THE
CITY OF STANTON AND STANTON 2.0 LLC
DEVELOPMENT AGREEMENT
ORDINANCE N0. 1175
PAS8E1), APPROVED, AND ADOPTED this day oT
DAVID J. SHAWVER, MAYOR
ATTEST.
2026
PATRICIA A VAZQuEZ, CITY CLERK
APPROVED AS TO FORM
HONGDAO NGLIYEN, CITY ATTORNEY
STATE OF CALIFORNIA
COIINTY OF ORANGE
CITY OF ST ANTON
1, Palricia A. Vazqusz, City Clerk ol the City of Slanlon, do hereby cerliTy lhal the foiegoiiig Ordinance No XXXX duly introduced and placed upon iis first reading ai regular meeting oTthe City Council Ihe day of 2026, and Iheieafier, said Ordinance duly adopted and passed at regular meeling ol the City Council the day ol 2028, by Ihe lollomng vole, to w(.
AYES
NOES
COuNClLMEMBER8:
COuNCILMEMBERS:
ABSENT. COuNCILMEMBERS:
ABSTAIN COuNCILMEMBERS:
PATRICIA A VAZQUEZ. CITY CLERK
ORDINANCE NO 1175
RECORDED AT REQuE8T OF
AND WHEN RECORDED RETURN TO:
City of Stanlon
7800 Kalella Ave.
Slanlon, Calilomia 90680
Altn' City Manager
Fee Exempi - Gov'l Code §6103
(Space above {or Recttder's llse)
Second Amendment to the
Development Agreement Betwaen
the City of !itanton and 8tanton 2.O LLC
This Second Amendment is entered into by and between the City of Slanlon, a Calilomia municipal corporation i"Cilya), and 81anton 2 0 LLC, a Calljomia limited liability company ("Ownei') on ,2026 i"Semnd Amendmenla) The City and Owner are sometimes reigned lo in this Second Amendmenl as "Partya and "Parlies.a A In November 2020, Chtis Segesman representing Bonanni Developmeni. ("Owner') filed applicalions lot a Site Plan and Design Review SPDR-807, Planned Developmeni Pemiil PDP 20-04, and Development Agreement DA 20-[)3, for the developmen( oT a 3.75-acre site ("Project Site"), located all2331-12435 Beach Boulevard (APN 131-381-14, 13'l-361-TO, and 131-361-[)3, consolidaled by LLA20-Of,Instrument No 2021[)00209855) JOT a new 321 mulli-family residential unil development and associated improvements ("Pnoject" or "Cloud House Developmenr).
B. The Owner proposed lo dsvelop Ihe Piojed Site localsd in Ihe City, more parliculady descnbed in Exhibit "A" lo Ordinance No. 'NO5 and inco@otaled herein by this rsTetsnce ("Properlya) for Ihe Prolect.
C Pursuant to Calilomia Gow.mmenl Code seclion 65864 s+ seq., the Ciiy is aulhonzed to enler into developmenl agreements providing TOTIhs development of land under terms and conditions sel forth therein.
D. On Seplember 22, 2020, Iha City of Slanlon ("Cilya) sntsred into Ihe Developmenl Agteemenl No 20-03 wilh Owner (Instrument No 2022000194588. incorporaled herein by this reTersnce ("Cloud House Development Agreemenl"), and adopled Ordinance No 1 j 05 The Development Agteemenl was assigned lo Slanlon 2 0 LLC ("Devslopei') in OTaround May 2022
E On February 25, 2025, City and OWT!IT enleted into a First Amendmenl to the Cloud House Developmenl Agreement lo enter into an aliemative payment schedule JOT Ihe public beiiefils and development impact Tees requlted by the Cloud House Development Agreement in acknowledgement oT the financial difficullies of the Project during the global pandemic and to ensure lhal the City recaived a reasonsble rate of relum on the oulslanding balance to ensure ils flnancial secunly.
F. The May 2026 GKN Aerospace chemical incidenl in Garden Giove has placed a new and unanlicipalsd financial burden on Owner in order to comply with Slate law lhal requires lendlord rsimbursemenl of renl lo lenanls under mandeloiy evacualion orders
G In light of this extraordinary situation, City and Owner now deske lo lemporarily pause the payment schedule for six months lo provide relief to Owner and adopt a new payment schedule while ensunng the City still receives Tinancial security dunng Ihis penod
H. Pursuant lo Slanlon Municipal Cods Ssclion 20 5'l0 060, a development agreement may be amended using the ssms procaduie for entering inlo the agreemenl This process and procedure has been satisfied
The Parties agree to the following terms.
J@
S. R The recitals included at the beginning oT this Second Amendment are lnue and correct and are made a part of Ihis Second Amendment 2 Seciion 4.3, 'T)evalopmenl Impact Fees," of the Cloud House Development Agreement is hereby amended in its enliiely and reslafed to read as follows "4.3 [)evelopmttnl Impact Fees
4 31 . OWNER shall pay all Development Impact Fees in
effect on the Effective [)ale. As ol the Effective Date, the Developmenl Impact Fees are one Ihousand forty-nine dollars ($!,049) per Unit built in the Projecl 432E
4 3 3 . In no evenl shall the pnepaymeni of any Development Impact Fees requked hereunder establishavested nghl on the part oT OWNER or any other owner of Ihe Properly or any person or entity with an iiiletesl Ihetein I0 develop the Ptojed OTthe Properly following the expiration, cancellation or termination of the Term oT ihis Agreement Following the expkalion, cancellation OT letminalion ol Ihis Agreement, all Development Impact Fees then in effecl shall be applicable lo the Project and Piopetty notwithstanding any provision ok this Agreement and notwithstanding the prepayment of the Development Impact Fees set forth in Exhibit "D", or any combination thereof." 4 . All terms, conditions, and other provisions oT the Cloud House Development Agreement, ktcluding all exhibits, not aTfecled by this Second Amendment shall remain in lull Torce and effed
:JANtHo:.2,o,?:,:.bly,,,.I
CITY OF 8TANTON,
a Califomia municipal corporation
BVI
IIs i Hannah Shin-Heydom
Date I City Manager
I Date'
-I
I
I:=t.
Its' i PalnciaA.Vazquez
Date' Ii (;117Ull_tK,MM(;
IiDate:
Il::-
Il..,."'-:""'-"""
5 C IT there is any conflict between Ihtt Isrms of this Sectind Amendmenl OT olher Development Approvals and the changes in this Second Amendment, Ihe provisions in Ihis Second Amendment shall govem
6. Multi Is Counter arts This Second Amendment may be execuled in one or more counietparts, each of which is deemed an original, but all oT which logelher constitute one and the same inslrumenl
7. 11 any provision of this Second Amendmenl, OT any other document refened to by this Second Amendment is, for any reason, held to be invalid, illegal, OT unenTorceable, then to the maximum extent permitted by law, such invalidily illegality, or unenforceabilily has no efTecl an any oiher provision oT this Second Amendmen(.
B. Cumulalive Remedies All nqhls and remedies oT a Party ate cumulalive ol each other The exercise ol a nghl OT remedy may not prejudice or impair the concwenl exercise of another nghl OT remedy.
9 Repregsnlalion by Counsel, Equal Conslruclion In executing this Second Amendment, each Party has been represented by and consulled with ctiunsel oT its own choosing Each Parhl has carefully yeadand Tullyunderstands this Second Amendment in its entirely. The meaning, inlem and Isgal effect of this Second Amendment have been fully explained to each Party by its respective legal counsel. Each Party represents lhal it is compelenl lo execute this Second Amendment and that it has executed this Second Amendmenl Tree from coercion, duress, or undue influence Each ol the Parties has panicipaled in the review and revision of this Second Amendment and, therefore, neilhtr Pariy shall be considered Ihe disfling Paity for purposes of resolving any alleged ambiguities in this Second Amendment
The Parties have caused this Second Amendment to be duly sxeculsd eTfective as oL Ihe Effeclive Date Tirsl wnllen above
%Srgnalures on followmg page}
4 3 4 Time oT Paymenl Tor Public Benefits and Development Impact Teas The Tees required putriuanl to Subseciions 4.2.1, 4 2.2, and 4.31 shall begin to be due and payable to CITY twelve (12) months Tollowing the issuance ol the cerliflcale of occupancy for lm. P%jecl ("Paymanl Start Datea) and shsll be jully paid by OWNER to CITY mlhin sixfy (W8J months following the issusnce of the cerliflcate of occupancy Tor the Project. By way of example, only, il the certificate ol occupancy was issued by CITY on Apnl j, 2025, then the Payment Start Dale would begin on Apnll2028, and the Tolal Fees Amount, mlh inlenasl, shall be fully paid by OWNER to CITY by Apnl 1, 2030 The lolal amount of lees owed pssuanl to Subsedions 4.2.1, 4 2 2, and 4.3.1 equal One Million, Three Huntked Forty Nine Thousand, Seven Hundred and Twenty Nine DOIIBTS (!%1,349,729) (the aTolal Fees Amtiunl").
upon the CITY's issuance oT the certificate of occupancy, the Total Fees Amiiunl shall immediately begin accruing inleiesl at the rate of Two %tcenl [2%) simple inletesi, annually, fora term oj !me sj yeaz (y;g, unlil Ihe Total Fees Amounl and inleresl is paid in full. The total interest a d ols a e a ou lo be paid over the rm Jx yeap rmmh Icim ic !:iiit,' )Fno Thousand Savan Ilundiod Thirty Four Dollarc and Fiffy !:iit C+inl: (!11)[),724.51)), noculling in a In(al paymonl amount [including inlorncl) tf peymenl scm.dule reflecting the payments and interest
,s attached herelo and incorpoialed herein as At(achmenl "ja.
OWNER's obligalion to pay Ihe Total Fses Amount shall not begin until one (1) year after the issuance of cerliflcsle ol occupancy. Thereafter, OWNER's payments shall be made in equal, monlhly installments via check made payable to "City of Slanlon" by the fksl day oT sach month. If OWNER is late on any monthly payment, a late fee in the amount oL Ten Percent (10%) of Ihe oulslanding monthly balance shall be agsesssd against OWNER on the lenlh (TO") day that OWNER is late A payment shall be considered laie iT it is not received by the City on the lsnih (TO") from when ilwas due. If a monthly payment is still late affler Ten (TO) Days, lhsn that shall constitute a btsach of the Agreement.
otwilhslandin4 the above, no portion okthe Tolal Fees Amount shall be requked sec o s a ' Ja a 202
Addilional cjianqes to the payment schedule in Attachment "'l" that do not affect hv OWNER hnd the Cilv
3 New Payment 8chedule The existing payment schedule allsched to Ihe Agreement as Attachment '1" via Ihe First Amendment is hereby replaced with the payment schedule allached to this Second Amendment as Allachmenl "1 ".
SIGNATURE PAGE TO SECOND AMENDMENT TO DEVELOPMENT AGREEMENT BETWEEN CITY OF STAN-ON AND STANTON 2.0 LLC
lueuuqopl4y I
1 CITY OF STANTON
REPORT TO CITY COUNCIL
TO: Honorable Mayor and Members of the City Council
DATE: September 8, 2026
SUBJECT: ORANGEWOOD COMPLETE STREETS PROJECT UPDATE AND
REVIEW OF CONCEPTUAL PLANS
REPORT IN BRIEF:
The City Council will review the final conceptual plans for the Orangewood Complete Streets Project. The goals of the Orangewood Complete Streets Project are to implement traffic-calming measures, improve safety, add bike lanes, and enhance ADA accessibility.
RECOMMENDED ACTION:
1. City Council find that this project is exempt from the California Environmental Quality Act (“CEQA”), Class 1, and 15301(c) as repair, maintenance, and minor alteration of existing streets, sidewalks, gutters, and similar facilities; and
2. Approve the conceptual plan for the Orangewood Complete Streets Project.
BACKGROUND:
Orangewood Avenue is a two- and four-lane east–west collector that serves local residents as well as through traffic. It connects with the City of Garden Grove at the eastern boundary and terminates in a neighborhood at Santa Rosalia Street on the west.
Santa Rosalia Street is a two-way north–south local street primarily serving neighborhood traffic. The corridors are identified in the Stanton Active Transportation Plan and Stanton General Plan for bicycle facility enhancements to improve connections with existing local and regional networks.
Planned improvements include a road diet with Class II bike lanes on Orangewood Avenue and a Class III shared-use bike route on Santa Rosalia Street. Additional features will consist of parkway and landscape enhancements, curb bulb-outs, ADA-compliant ramps, high-visibility crosswalks and signage, upgraded street lighting, roadway resurfacing, and minor lighting upgrades to the pedestrian bridge at the north end of Santa Rosalia Street.
Item: 12A
Click here to return to the agenda.
2 In March 2023, both the Parks and Recreation Commission and the City Council were informed of the reprogramming of federal funding from the Orangewood Parkette to traffic calming measures along Orangewood Avenue. The Orangewood Complete Streets Project reflects these adjustments and incorporates a series of multimodal improvements to benefit residents, students, and workers.
On September 12, 2023, the City Council accepted $850,000 in Housing and Urban Development (HUD) Fiscal Year (FY) 2022 Community Project Funding for the Orangewood Complete Streets Project.
On September 23, 2025, PSOMAS was awarded the Professional Services Agreement for the design of the Orangewood Complete Streets Project. Following the award, draft conceptual plans were presented to the Community Services Commission during the March 16, 2026 meeting, where the community provided input into the conceptual design.
The final conceptual plan was presented to the community, following their input and comments, during a Community Update Meeting on May 20, 2026.
ANALYSIS/JUSTIFICATION:
The Final Conceptual Plans were developed following meetings with staff, community input, and the project grant. The design elements include:
• Streetlights upgrade and installation
• Landscaping
• Pavement rehabilitation (mill and overlay)
• Concrete infrastructure rehabilitation (curb ramps and gutters) • Bulb-outs
• Bike lanes
• Upgrade lights on Stanton Storm Channel Bridge
• ADA improvements
Following the City Council’s approval, staff will be finalizing the plans, specifications and cost estimate for procurement and construction.
FISCAL IMPACT:
There is no fiscal impact associated with the recommended action.
ENVIRONMENTAL IMPACT:
This project is exempt from the California Environmental Quality Act (“CEQA”), Class 1, and 15301(c) as repair, maintenance, and minor alteration of existing streets, sidewalks, gutters, and similar facilities.
3 LEGAL REVIEW:
None.
PUBLIC NOTIFICATION:
Notifications and advertisement were performed as prescribed by law.
STRATEGIC GOAL:
Goal 3. Provide quality infrastructure.
Goal 5. Maintain and promote a responsive, high-quality and transparent government.
Prepared by: Han Sol Yoo, P.E., Principal Civil Engineer Reviewed by: Cesar Rangel, P.E., Public Works Director/City Engineer Approved by: Hannah Shin-Heydorn, City Manager