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HomeMy WebLinkAboutR11-Economic Development Agency o o o ~ ~ ..J.. JL ~ -- , - o o IEVBlDHal' IZPARJHBtl'1' or 'mB Cl'l'! or SIll IIERlQRDDI) RElOOEST I'OR IY'MUTAAtclfltnmr!TT. AC'l'ICB Fran: I<DlNElH J. HENIERSCN Elcecutive Director SUbject: MERIc:g !lM'ICtIAL c:g CDIPAllY Date: May 14, 1991 SyDopsis of PreYious ClaIIIIissiCIII/n.o-~ l/ClaIIIIittee klt!OIU Q1 JaJ'lI.Iary 24, 1991, the Redsvel_/t Call1dttee CCI'ISidered this matter am re- quested staff to IU-~ as New -....-rded. Q1 April 15, 1991, the l'ronM..uty Devel_.t """"~-im ~ the deal points am authorized 1qIn::y o:.mseJ. to prepare an ~lIWlu.alt bebllllElll the lhmI..uty IlBYe- lcpaent ,..",..i_im am 1lDmican National Can ~ny. RAlo ...-....-4 MotiOllI '''''''''l1'li'' tv Develll- .._M t'nmft4..im' 'lHAT '!HE ElCEXDl'lVE ~lOK OF '!HE DEVELOHmfl' IEPARIHml' BE AI1IHlUZED '10 EXEa11'E '!HE A'lTAaIED CMNER PARl'ICIPATIaf AGRP>>IENl' (CPA) AND StX:H IXXUCENlS AS ARE RE- (JJIRED I'OR ITS ~, ~.LnER Wl'lH N::ti-8lJBS'mNI'1VE 0fANZS, AS APPRl\1ED BY ~ CXXlNSEL. ~d.--- C'c:ntact Persal: Ken --....,,......../11'....,, J- Hla1e: 5065: 5081 six (6\ Project Area (.) : Northwest: lNW'l Ward(.) : SU(:p:lrtin;J Data Attadled: FUNDIOO ~: staff ~L: CPA Amount: S 603.750.00 1!qen:f sewer Capacity SOJrce: RiahtslTax I1.c..-......t r_.......... bIT Proiect aldqet Authority: ClaIIIIissiCIII/o:NIIcil Notesl IOH: lab: 4350 CXHmlSICIf MBE:l'DIJ HeetJ..nq Datel OS/20/1991 ~ Item No: / J o - .w - <ill. ~ - o o IEYBIDBIBtr.l' IEPARDIBlrr IIDin ~ ...Y"Il"..Aft Hat.itlNl1 AnI 1"\.._.'19 OR since Oc::t:ctier of 1990, staff has bean in ocntact with l~ S.;1jtatives frail Ameri- can Natialal can C<:oIpmy (ANCC) regardin;J the acquisitiat of land in the Northwest Rsdevel........ut Project Area IMustrial Park and the devel~,t; of an ANCC carHIIak- in; facility. American Natialal can ~ has prev1CUlly l'YWNII1....iCl'llld soils and related rests frail local fim and en April 24, 1991, exercised ita q:tia1 to p1r- c:i1ase ~tely twenty-five (25) acres where the ~~ facility will be located. Follcwin;J is a ..,1IlIM>y of the pl~eed project: '!he pl'..,osed plan walld be awraximately 220,000 square feet in site. '!he ZCIUn1 is m. Ib.-.L ~ in the Devel............t. Qlde will allw the cx:nJt:r\x:tia1 of a metal b1ildin1 withcut the filin; of a 00Ildit.ia1al Use Pe%lIdt (alP) awlicatiat. '!he plant waUd be a twenty-four (24) haJrjt:h.ree-hurm'e, sixty-two (362) day a year cperatiat. 'lhe OCIIpleted devel~.t. value is estimated at $55,000,000, lIUcb will gene- rate awroximately $550,000 a year in tax inc.........t., of lIU.cb $363,000 (sixty-six peroeI,t; (66%)) walld 0CIIl8 to the Department. '!he plant walld have its own interna1 wastewater treatment plan and wuld uss ~tely 75,000 gallaw of water par day. '!he plant waUd also be a significant CXIl8UIIl8l' of electricity. 6. ~tely aw hI.lnd1..,d, twenty (120) jcils will be generated, with add1- t.ia1al jcils to be geneIated as a result of future explln8ia1. at April 15, 1991, the n-.m.nti.ty Devel............t n--i....ia1 ~ deal points with American Natialal can ~ny, as follows: 1. Devel"i......uL Dapartment to carant ClM hllrlCb...cl (100) &eWltr ""'P"city ric;lhts va- lued at $226,000 to ANCC as partial. payment of the $603,750.00. 2. Devel............t Department to finllnoe with IbUcipaJ. water Department differeJloe of $377,000.00 aver five (5) years. 'lbese payments wuld be 1III!Ide as the pr0- perty tax .i1.c...........jt is qenerated by the project. 3. Devel...........,t; Department to facilitats, to the extent possible, the acquisitien by ANCC of Job 'l'rainirq and Partnership Act (JTPA) assistance frail the san Bernardino Enployment and '1'rainin;J Iqercr. ~ of the deal points by the n,m.i ....ien allows the City to gain in a mmi:ler of bqxlrt:ant ways, as follows: 1. Increasin; of our tax base. 1. 2. 3. 4. 0 5. o KJH: lab: 4350 CXIIaSSICB :au:z.~r.uG JIeet:iDq Date: OS/20/111 o o - J:IEVBlDllMI!2r IZPARDIE:Nl' A.. IU5&'UIU' J\meriClllll IJIltiCMl can ~"'Y OPA P:tIlpare4I May 14, 1ll1l1 Paqe -2- o 2. Generation of cne-hurmed, twenty (120) new jdJs. 3. Generation of additional tax increlOEl11t for the Northwest R8devel""""",IL Pr0- ject Area (sorely ~ in light of assistarx:le package for West side Plaza) . 4. Significant water USllg8 tmic:h greatly assists cashflow of Ilmic:ipal Water Department. 5. Significant payer of utility tax, thereby assistin;J City General !Und. 6. Increases lIaIIelib.1m for additional devel"""",,,lt in Northwest and state COllege In::iustrial. Parks. !la<J9d upon the above infomation, 1qercf Camsel has prepared the attadled OWner Participation A::l............Jt (OPA), tmic:h is llCIW sul:IIIitted for n......i ....1.cn OCI'lSidera- tiat. staff reo ....-rx3s adqltion of the fom m:ltion. ........~ -..-- Dw8l~ L 4C:> ~:lab:43S0 n(HIISSJ:(5 1'II5I!i".....uG IfeetiDq Datel OS/20/91 o () o o 00 AmeriClln "" Nationa' Can APR 3 _1991 DEVELOPIIEN1' DEPARTMENT April 1, 1991 1Ir. Kenneth Henderson Executive Dir.ctor Development Department City of San Bernardino 300 N. D str..t San Bernardino, CA 92418 Dear K.n: popowing up on our conversation of today, I am pl.ased to report that American National Can has d.cid.d to purcha.. the .it. identified at 5715 Industrial Parkway, in the San Bernardino Northw..t Industrial Park, and to build a new .tat. of the art beverage can plant. 'l'hb deciaion b condition.d on r.c.iving confination from you that th. financial a..i.tanc. package of $603,750 d..cribed in your l.tter of January 8, has be.n approved at all l.v.ls, which I understand .hould be forthcoming v.ry .oon. It b alao condition.d on receiving city grading peraita within the next f.w day., which are n.eded in order to perfon the nece..ary environmental cl.anup of the .it., allowing till. to take and evaluate new .oil testa before our option. on the land expire on April 30. W. appr.ciat. any a.sistance you can provide in expediting this proc.... As.uming th... two isau.s are resolved in DOrt order, we will plan to exerci.. our optiona on th. land and proce.d with construction of th. plant. We look forward to bringing thb n.w operation on-line and . entering into a long tera, autually beneficial relation.hip with the community of San Bernardino. I appreciate all the interest and a.s!atance provided by you, Bob Temple, your .taff and the Community Development C01IIDbaion. As we move further into the development and con.truction process, w. will plan to work closely with the Employment and Training Agency towards qualifying for and receiving the training financial assi.tanc. which we under.tand will be available to us, and will plan to take advantage of the help you offer.d in facilitating our obtaining this as.istance. Fred Langmaier.and our engineering group also look forward to any help you can provide in facilitating the development plan and construction permit process once we get started. American National C.n Comp,onv 1770 Will Bryn Mawr Avenue ChicllllO, IlIInoll eoa1-3S42 13121 399.3000 I;;"" - ~ lJil . . o o Mr. Kenneth HAnd.r.on Page 2 4:) April 1, 1"1 I look forward to hearing from you .oon to confira the financial a..i8tance package and the i8.uance of the grading perait.. Very truly your., ,~ (J~- -. Te~;';' ~au...n A..i.tent Trea.urer TAR/k. (C 4:) _.~ o o o o o 1 OWNER PARTICIPATION AGREEMENT 2 THIS AGREEMENT IS ENTERED INTO THIS day of 3 1991, by and between the REDEVELOPMENT AGENCY OF THE CITY OF SAN 4 BERNARDINO (the "Agency"), and AMERICAN NATIONAL CAN COMPANY, a 5 Delaware Corporation (the "Participant"). Agency and 6 Participant hereby agree as follows: 7 8 I. [100] SUBJECT OF AGREEMENT [101] A. Purpose of Agreement 9 The purpose of this Agreement is to effectuate 10 the Redevelopment Plan for the Northwest Redevelopment Project 11 (the "Project") by providing for the development of the Site, 13 12 which is situated within the Northwest Redevelopment Project Area (the "Project Area") of the Project. This Agreement is 14 entered into for the purpose of developing the Site and not for 15 speculation in land holding. The completion of the development 16 of the Site pursuant to this Agreement is in the vital and best 17 interest of the City of San Bernardino, California (the "City") 18 and the health, safety and welfare of its residents, and in 19 accord with the public purposes and provisions of applicable 20 state and local laws and requirements under which the Project has 21 been undertaken. 22 B. [102] The Redevelopment Plan 23 The Redevelopment Plan was approved and adopted on 24 July 6, 1982, by Ordinance No. MC-189 of the Common Council of 25 the City of San Bernardino: said ordinance and the Redevelopment 26 Plan as so approved (the "Redevelopment Plan") are incorporated 27 herein by reference. 28 DAB/ses/American.agr May 15, 1991 1 _.-- o 8 9 10 o o 1 2 C. [103] The Site The Site is that certain real property designated 3 on the Site Map (Attachment No.1) and described in the "Legal 4 Description of the Site", which is attached hereto as Attachment 5 No. 2 and is incorporated herein by this reference. 6 The Site is that certain real property, title to 7 which is held by the Participant. O. [104] Parties to the Agreement 1. [105] The Agency The Agency is a public body, corporate and 11 pOlitic, exercising governmental functions and powers and 12 organized and existing under Chapter 2 of the Community 13 Redevelopment Law of the State of California (Health and Safety 14 Code Section 33020 et seg.). The principal office of the Agency o 15 16 92418. is located at 300 North "0" Street, San Bernardino, California 17 "Agency., as used in this Agreement, includes the 18 Redevelopment Agency of the City of San Bernardino, and any 19 assignee of or successor to its rights, powers and 20 responsibilities. 21 22 2. [106] The Participant The Participant is American National Can Company,' 23 a Delaware Corporation. The principal office and mailing address 24 of the Participant for purposes of this Agreement is 8770 West 25 Bryn Mawr Avenue, Chicago, IL 60631-3542. 26 27 o 28 / / / / / / OAB/ses/American.agr May 15, 1991 2 o o Q - o 0 1 The Participant qualifies as an owner participant 2 pursuant to the Redevelopment Plan and rules promulgated 3 pursuant thereto pertaining to owner participation. 4 3. [107] Prohibition Against Change in Ownership, Management and Control of the Participant 5 . 6 The qualifications and identity of the 7 Participant are of particular concern to the City and the 8 Agency. It is because of those qualifications and identity that 9 the Agency has entered into this Agreement with the Participant. 10 No voluntary or involuntary successor in interest of the 11 Participant shall acquire any rights or powers under this 12 Agreement except as expressly set forth herein. 13 The Participant shall not assign all or any part 14 of this Agreement or any rights hereunder without the prior 15 written approval of the Agency, which approval the Agency may 16 grant, withhold or deny at its discretion. In the event of such 17 transfer or assignment: (1) the assignee shall expressly assume 18 the obligations of the Participant pursuant to this Agreement in 19 writing satisfactory to the Agency; (2) the original Participant 20 shall remain fully responsible for the performance and liable for 21 the obligations of the Participant pursuant to this Agreement; 22 and (3) any guarantees provided to assure the performance of the 23 Participant's obligations under this Agreement shall remain in 24 full force and effect. 25 In the absence of specific written agreement by 26 the Agency, no such transfer, assignment or approval by the 27 28 Agency, shall be deemed to relieve the Participant or any other DAB/ses/American.agr 3 May 15, 1991 o o J!!1 14 15 - ~ ~ - - ..:J o o 1 party from any obligation under this Agreement. 2 All of the terms, covenants and conditions of 3 this Agreement shall be binding upon and shall inure to the 4 benefit of the Participant and the permitted successors and 5 assigns of the Participant. Whenever the term "Participant" is 6 used herein, such term shall include any other permitted 7 successors and assigns as herein provided. 8 The restrictions of this Section 107 shall 9 terminate and be of no further force and effect upon the issuance 10 by the Agency of a Certificate of Completion in the form attached 11 hereto as Attachment No. 5 as provided in Section 324 upon 12 completion of the Participant Improvements described in Section 13 302 of this Agreement and Attachment No.4. II. [200] CONDITION OF THE SITE A. [201] Vesting of Title to the Site 16 As of the date of this Agreement Title to the Site is 17 vested in Participant. B. [202] Condition of the Site 18 19 Participant assumes all risk and responsibility for 20 any demolition and clearance of the Site as necessary for the 21 provision of Participant Improvements. Participant assumes all 23 22 risk and responsibility as to the suitability of the Site for the proposed development. Agency makes no representations or 24 warranties concerning the Site, its suitability for the use 25 intended by the Participant, or the surface or subsurface conditions of the Site. If the soil or other surface or 26 27 subsurface conditions of the Site are not in all respects o 28 DAB/ses/American.agr May 15, 1991 4 ,\,:-." () o () ~: - - JW ..11. II - - o o 1 entirely suitable for the use or uses to which the Site will be 2 3 put as of the date of this Agreement, Participant shall not be excused from further performance under this Agreement and it 4 shall be the responsibility and obligation of Participant and 5 not Agency to take such action as may be necessary to place the 6 Site in a condition entirely suitable for the commencement, 7 development, and completion of the Participant Improvements. 8 9 III. [300] DEVELOPMENT. [301] A. Development by Participant 10 Participant and Agency agree that the central purpose . 11 of this Agreement is to provide for the development of the Site 12 in a manner consistent with the Redevelopment Plan. Participant 13 shall develop on the Site a beverage can plant of at least 14 220,000 square feet, with an assessed value of at least 15 16 $55,000,000. 1. [302] Scope of Development 17 The Site shall be developed by Participant as 18 provided in the "Scope of Development", which is attached hereto 19 as Attachment No. 4 and is incorporated herein. 20 The development shall include any plans and 21 specifications submitted to Agency for approval, and shall 22 incorporate or show compliance with all applicable mitigation 24 23 measures and entitlements. 2. [303] Design Concept Drawings 25 By the respective times set forth therefor in the 26 Schedule of Performance (Attachment No.3), Participant shall 27 prepare and submit to the City of San Bernardino ("The City") for 28 DAB/ses/American.agr May 15, 1991 5 ..........--____-,.. _ '.__ __ H ---.-.-. '... ....w;.. ____ _.._n_.. _.~ __.____ __~_____~_...._. _. -0- _,.._.. ~c Q o o 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 - 4 t - o o 1 its approval Design Concept Drawings and related documents 2 containing .the overall plan for development of the Site. The 3 Site shall be developed as established in this Agreement and such 4 documents, except as changes may be mutually agreed upon between 5 Participant and Agency. Any such changes shall be within the 6 limitations of the Scope of Development (Attachment No.4). 3. [304] Construction Drawings and Related Documents By the time set forth therefor in the Schedule of Performance (Attachment No.3), Participant shall prepare and submit to the City, construction drawings, landscape plan, and related documents for development of the Property for architectural review and written approval. The landscaping and finish grading plans shall be prepared by a professional landscape architect who may be the same firm as Participant's landscape architect. During the preparation of all drawings and plans, staff of Agency and Participant shall hold regular progress meetings to coordinate the preparation of, submission to, and review of drawings, plans and related documents. The staff of Agency and Participant shall communicate and consult informally as frequently as is necessary to insure that the formal submittal of any documents to Agency can receive prompt and complete consideration. 4. [305] Cost of Construction The cost of developing the Property and constructing all Participant Improvements thereon shall be borne by Participant except as provided in Section 315. DAB/ses/American.agr May 15, 1991 6 "'"~" o o o 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 o o 1 2 5. [306] Construction Schedule Participant shall promptly begin and thereafter 3 diligently prosecute to completion the construction of the 4 Participant Improvements and the development of the Property. 5 Participant shall begin and complete all construction and 6 development of the Participant Improvements within the times 7 specified in the Schedule of Performance (Attachment NO.3). 8 Participant shall strictly conform to all time requirements and 9 limitations set forth in this Agreement. 6. [307] Bodily Injury and Property Damage Insurance Participant shall defend, assume all responsibility for and hold the Agency, the City, and their respective officers, agents and employees, harmless from, all claims or suits for, and damages to, property and injuries to persons, including accidental death (including attorneys fees and costs), which may be caused by any of Participant's activities under this Agreement, whether such activities or performance thereof be by the Participant or anyone directly or indirectly employed or contracted with by Participant and whether such damage shall accrue or be discovered before or after termination of this Agreement. Participant shall take out and maintain a comprehensive liability and property damage policy in the amount of One Million Dollars ($1,000,000) combined single limit policy, including contractual public liability, as shall protect Participant, City and Agency from claims for such damages until two (2) years after the issuance of a Certificate of Completion for all of the Participant Improvements. DAB/ses/American.agr May 15, 1991 7 o o o -- 14 . 1 1 - o 0 1 Par~icipant shall furnish a certificate of 2 insurance countersigned by an authorized agent of the insurance 3 carrier on a form of the insurance carrier setting forth the 4 general provisions of the insurance coverage. This countersigned 5 certificate shall name the City and Agency and their respective 6 officers, agents, and employees as additional insureds under the 7 policy. The certificate by the insurance carrier shall contain a 8 statement of obligation on the part of the carrier to notify City 9 and the Agency of any material change, cancellation or 10 termination of the coverage at least thirty (30) days in advance 11 of the effective date of any such material change, cancellation 12 or termination. Coverage provided hereunder by Participant shall 13 be primary insurance and not contributing with any insurance maintained by Agency or City, and the policy shall contain such 15 an endorsement. The insurance policy or the certificate of 16 insurance shall contain a waiver of subrogation for the benefit 17 of the City and Agency. 18 Participant shall also furnish or cause to be 19 furnished to Agency evidence satisfactory to Agency that any 20 contractor with whom it has contracted for the performance of 21 work on the Site or otherwise pursuant to this Agreement carries 22 workers' compensation insurance as required by law. 23 24 25 26 27 28 7. [308] City and Other Governmental Agency Permits Before commencement of the Participant Improvements or other construction or development of any buildings, structures or other works of improvement upon the Site, Participant shall, at its own expense, secure or cause to DAB/ses/American.agr May 15, 1991 8 () o Q -"- . - o o 1 be secured any and all permits which may be required by the City 2 3 4 or any other governmental agency affected by such construction,. development or work. 8. [309] Rights of Access 5 For the purpose of assuring compliance with this 6 Agreement, representatives of Agency and the City shall have the 7 right of access to the Site, without charges or fees, at normal 8 construction hours during the period of construction for the 9 purposes of this Agreement, including, but not limited to, the 10 inspection of the work being performed in constructing the 11 improvements, so long as they comply with all safety rules. Such 12 representatives of Agency or of the City shall be those who are 13 so identified in writing by the Executive Director of Agency. 14 Agency shall hold the Participant harmless from any bod~ly injury 15 16 or related damages arising out of the activities of Agency and the City as referred to in this Section 309 and resulting from 17 the gross negligence or willful misconduct of the City or Agency. 18 This Section 309 shall not be deemed to diminish or limit any 19 rights which the City or Agency may have by operation of law 21 20 irrespective of this Agreement. 9. [310] Local, State and Federal Laws 22 Participant shall carry out the construction of 23 the Participant Improvements and all related activities on the 24 Site in conformity with all applicable laws, including all- 25 applicable federal and state labor standards; provided, however, 26 participant and its contractors, successors, assigns, 27 transferees, and lessees are not waiving their rights to contest DABfsesfAmerican.agr May 15, 1991 9 28 _. ,_ .__.________'__.......~..--H.--..--.~.." " ___. .__. ,_ ___~._ _.. ______ 0- _.~_~....__---...__._,...__________~__~-__._ Q o o o o 1 any such laws, rules or standards. 2 3 10. [311] Antidiscrimination During Construction Participant, for itself and successors and 4 assigns, agrees that in the construction of the improvements 5 provided for in this Agreement, Participant shall not 6 discriminate against any employee or applicant for employment 7 because of race, color, creed, religion, age, sex, marital 8 status, handicap, national origin or ancestry. 9 [312] B. Taxes, Assessments, Encumbrances and Liens 10 Prior to issuance of a Certificate of Completion with 11 respect to all of the Participant Improvements pursuant to this 12 Agreement, Participant shall not place or allow to be placed on 13 the Site or any part thereof any mortgage, trust deed, 14 encumbrance or lien other than as expressly allowed by this 15 Agreement. Participant shall remove or have removed any levy or 16 attachment made on any of the Site or any part thereof, or 17 assure the satisfaction thereof within a reasonable time but in 18 any event prior to a sale thereunder. 19 20 C. [313] Prohibition Against Transfer of the Site, the Buildings or Structures Thereon and Assignment of Agreement 21 Prior to the issuance by the Agency of a Certificate 22 of Completion as to any building or structure, Participant shall 23 not, except as permitted by this Agreement, without the prior 24 written approval of Agency, make any total or partial sale, 25 transfer, conveyance, assignment or lease of whole or any part of 26 the Site or of the buildings or structures on the Site. This 27 prohibition shall not be deemed to prevent a transfer expressly 28 DAB/ses/American.agr May 15, 1991 10 o o () 15 16 o o 1 permitted pursuant to Section 107 of this Agreement, or the 2 granting of temporary or permanent easements or permits to 3 facilitate the development of the Site. This Section 313 shall 4 not be construed to restrict or limit the lease of individual 5 buildings or portions thereof by Participant in the ordinary 6 course of business. 7 8 D. [314] Sewer Capacity Charge 1. [315] Sewer Capacity Rights 9 To partially offset the sewer capacity charge 10 anticipated to be imposed on the project by the Water Department 11 of the City of San Bernardino in the amount of Six Hundred Three 12 Thousand, Seven Hundred Fifty Dollars ($603,750.00), Agency shall 13 grant to participant One Hundred (100) sewer capacity rights 14 valued at Two Hundred Twenty Six Thousand Dollars ($226,000.00) by the execution of a transfer document substantially in the form of Attachment No.6. Such document shall be executed and 17 the transfer made when payment of the sewer capacity charge is 18 required by the Water Department. 19 2. [316] Payment of Remainder 20 Agency shall pay the remainder of the one time 21 sewer capacity charge to be imposed on the project, anticipated 22 by the parties to be Three Hundred Seventy Seven Thousand, Seven 23 Hundred Fifty Dollars ($377,750.00) but in no event shall the 24 Agency pay more than Four Hundred Thousand Dollars ($400,000.00). 25 A~ency may by separate agreement or understanding with the Water 26 Department, finance this payment over a periOd of years. 27 28 / / / DAB/ses/American.agr May 15,1991 11 o o o 15 16 17 18 19 20 21 22 23 24 25 26 27 28 - J I o o 1 E. [317] Mortgage, Deed of Trust, Sale and Lease-Back Financing; Rights of Holders 1. [318] No Encumbrances Except Mortgages, Deeds of Trust, or Sale and Lease-Back for Development Except as otherwise provided in this Agreement, 2 3 4 5 6 7 8 9 mortgages, deeds of trust and sales and leases-back are to be permitted before completion of the construction of the Participant Improvements, but only for the purpose of securing loans of funds to be used for financing the construction of the 10 Participant Improvements or other improvements on the Site, and 11 12 13 any other purposes necessary and appropriate in connection with development under this Agreement, and only if the instruments effecting such mortgages, deeds of trust and sales and leases- 14 back contain the provisions of Sections 321 and 322 of this Agreement. Participant shall notify Agency in advance of any mortgage, deed of trust or sale and lease-back financing. The words "mortgage" and "trust deed" as used hereinafter shall include sale and lease-back. Participant shall not enter into any such conveyance for financing without the prior written approval of Agency, which approval Agency agrees to give if any such conveyance for financing is given to a bank, savings and loan association, or other similar lending institution and such lender shall be deemed approved unless rejected in writing by the Agency within fifteen (15) days after written notice thereof is received by the Agency. The form of approval by Agency shall be in writing which references this Section 318, executed by the Executive Director of the Agency. / / / DAB/ses/Arnerican.agr May 15, 1991 12 o o o 1 2 3 4 5 6 7 8 9 10 11 12 . - o 0 2. [319] Holder Not Obligated to Construct Improvements The holder of any mortgage or deed of trust authorized by this Agreement shall not be obligated by the provisions of this Agreement to construct or complete the Participant Improvements or to guarantee such construction or completion. Nothing in this Agreement shall be deemed to construe, permit or authorize any such hOlder to devote the Site to any uses or to construct any improvements thereon, other than those uses or Participant Improvements provided for or authorized by this Agreement. 3. [320] Notice of Default to Mortgagee or Deed or Trust HOlders: Right to Cure 13 With respect to any mortgage or deed of trust 14 granted by Participant as provided herein, whenever Agency shall deliver any notice or demand to Participant with respect to any breach or default by Participant in completion of construction of 17 the Participant Improvements, Agency shall at the same time 18 deliver to each holder of record of any mortgage or deed of trust 19 authorized by this Agreement a copy of such notice or demand. 20 Each such holder shall (inSOfar as the rights of Agency are 21 concerned) have the right, at its option, within thirty (30) days 22 after the receipt of the notice, to cure or remedy or commence to 24 23 cure or remedy any such default and to add the cost thereof to the mortgage debt and the lien of its mortgage. Nothing 15 16 25 contained in this Agreement shall be deemed to permit or 26 authorize such holder to undertake or continue the construction 27 or completion of the Participant Improvements (beyond the extent 28 DAB/ses/American.agr May 15, 1991 13 - -,-..,-.~-..-.....- ......... -. ~~-- .,.-'..-.-..... ....- _.- _. -,.." -- ._---.'-- . _--0 .."... '__'.~"._~___'."_'._ -,..._ ___. '._._.__.........._.....__. .__....__ ~_._ _____. o o 15 16 17 18 19 20 21 o 22 23 24 25 26 27 28 o o 1 necessary to conserve or protect the Participant Improvements or 2 construction already made) without first having expressly assumed 3 the Participant's obligations to Agency by written agreement 4 satisfactory to Agency. The hOlder, in that event, must agree to 5 complete, in the manner provided in this Agreement, the 6 Participant Improvements to which the lien or title of such 7 hOlder relates, and submit evidence satisfactory to Agency that 8 it has the qualifications and financial responsibility necessary 9 to perform such obligations. Any such holder properly completing 10 such Participant Improvements shall be entitled, upon compliance 11 with the requirements of Section 324 of this Agreement, to a 12 Certificate of Completion (as therein defined). 13 4. [321] Failure of Holder to Complete Improvements 14 In any case where, thirty (30) days after default by the Participant in completion of construction of Participant Improvements under this Agreement, the holder of any mortgage or deed of trust creating a lien or encumbrance upon the Site or any part thereof has not exercised the option to construct, or if it has exercised the option and has not proceeded diligently with construction, Agency may purchase the mortgage or deed of trust by payment to the hOlder of the amount of the unpaid mortgage or deed of trust debt, including principal and interest and all other sums secured by the mortgage or deed of trust. If the ownership of the Site or any part thereof has vested in the holder, Agency, if it so desires, shall be entitled to a conveyance from the holder to Agency upon payment to the hOlder of an amount equal to the sum of the following: DABjsesjAmerican.agr May 15, 1991 14 o o o 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 o o 1 a. The unpaid mortgage or deed of trust debt at the time 2 title became vested in the hOlder (less all 3 appropriate credits, including those resulting from collection and application of rentals and other income received during foreclosure proceedings); b. All expenses with respect to foreclosure; c. The net expense, if any (exclusive of general overhead), incurred by the hOlder as a direct result of the subsequent management of the Site or part thereof; d. The costs of any Participant Improvements made by such hOlder; and An amount equivalent to the interest that would have e. accrued on the aggregate of such amounts had all such amounts become part of the mortgage or deed of trust debt and such debt had continued in existence to the f. date of payment by Agency; less Any income derived by the lender from operations 19 conducted on the Site (the receipt of principal and 20 interest payments in the ordinary course of business 21 shall not constitute income for the purposes of this 22 subsection (f)). 23 The foregoing portion of this Section 321 shall 24 be in addition to and shall not limit rights or remedies 25 available to Agency by virtue of its ownership of the Site. 26 27 28 5. [322] Right of the Agency to Cure Mortgage or Deed of Trust Default In the event of a mortgage or deed of trust DAB/ses/Arnerican.agr 15 May 15, 1991 o o o 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 - o o 1 default or breach by Participant prior to the completion of any 2 part thereof and the hOlder of any mortgage or deed of trust has 3 not exercised its option to construct, Agency may cure the 4 default. In such event, Agency shall be entitled to 5 reimbursement from Participant of all proper costs and expenses 6 incurred by Agency in curing such default, and such costs and 7 expenses shall be included as part of the loan proceeds under 8 Section 315. F. [323] Right of Agency to Satisfy Other Liens on the Site Prior to the completion of construction of the Participant Improvements, and after Participant has had written notice and has failed after a reasonable time, but in any event not less than thirty (30) days, to challenge, cure, adequately bond against, or satisfy any liens or encumbrances on the Site which are not otherwise permitted under this Agreement, Agency shall have the right but not the obligation to satisfy any such liens or encumbrances and to include the cost thereof as part of the loan proceeds under Section 315. G. [324] Certificate of COmpletion Promptly after completion of all Participant Improvements in conformity with this Agreement and the issuance by the City of San Bernardino of Certificates of Occupancy for all buildings on the Site, Agency shall furnish Participant with a Certificate of Completion (Attachment NO.5) upon written request therefor by Participant. Agency shall not unreasonably withhold any such Certificate of Completion. The Executive Director may execute such Certificate of COmpletion on behalf of DAB/Ses/American.agr May IS, 1991 16 o Q o 15 - o o 1 Agency. Such Certificate of Completion shall be a conclusive 2 determination of satisfactory completion of the construction 3 required by this Agreement upon the Site and the Certificate of 4 Completion shall so state. Agency may also furnish Participant 5 with a Certificate of Completion for portions of the improvements 6 upon the Site as they are properly completed and ready to use if 7 Participant is not in default under this Agreement. After 8 recordation of such Certificate of Completion, any party then 9 owning or thereafter purchasing, leasing or otherwise acquiring 10 any interest in the Site or the Participant Improvements shall 11 not (because of such ownership, purchase, lease or acquisition), 12 incur any obligation or liability under this Agreement except 13 that such party shall be bound by any covenants contained in the 14 documents establishing covenants on the Site in accordance with 16 applicable according to its terms. the provisions of Section 401 of this Agreement which shall be 17 If the Agency refuses or fails to furnish a 18 Certificate of Completion for the Site, or part thereof, after 19 written request from Participant, the Agency shall, within thirty .20 (30) days of written request therefor, provide Participant with a 21 written statement of the reasons Agency refused or failed to 22 furnish a Certificate of Completion. The statement shall also 23 contain Agency's opinion of the actions that Participant must 24 take to obtain a Certificate of Completion. If the reason for 25 such refusal is confined to the immediate availability of 26 specific items of materials for landscaping, Agency will issue 27 its Certificate of Completion upon the posting of a bond by the 28 DAB/ses/American.agr May 15, 1991 17 o o () 14 15 16 o o 1 Participant with Agency in an amount representing the value of 2 the work not yet completed. If Agency shall have failed to 3 provide such written statement within said thirty (30) day 4 period, Participant shall be deemed entitled to the Certificate 5 of Completion. 6 Such Certificate of Completion shall not constitute 7 evidence of compliance with or satisfaction of any obligation of 8 the Participant to any holder of any mortgage, or any insurer of 9 a mortgage securing money loaned to finance the Participant 10 Improvements, or any part thereof. Such Certificate of 11 Completion is not a notice of completion as referred to in the 12 California Civil COde, Section 3093. 13 G. [325] Conditions, Covenants and Restrictions Prior to the issuance of the Certificate of Completion Participant shall prepare, and following approval by Agency shall record conditions, covenants and restrictions affecting the Site 17 which shall, among other things, contain the nondiscrimination 18 provisions of Section 401. III. [400] USE OF THE SITE 19 20 21 A. [401] Uses 22 successors, its assigns, and every successor in interest to the Participant covenants and agrees for itself, its 23 Site or any part thereof, that during construction and 24 thereafter, Participant and such successors and such assignees, 25 shall devote the Site to the uses specified in the Redevelopment 26 Plan as may be amended from time to time for the periods of time 27 28 specified therein. The Participant further covenants and DABjsesjAmerican.agr May 15, 1991 18 '---~~...... #", -.... -----. .-..".-.-..,_.------ . - ...-'-:-----. --. ~.. _... o Q o o 1 warrants that Participant shall develop improvements on the Site 2 in accordance with the Scope of Development (Attachment No.4). 3 Participant covenants to develop and operate the Site (or cause 4 it to be operated) in conformity with all applicable laws. The 5 foregoing covenants shall run with the land. 6 Participant covenants by and for itself and any 7 successors in interest that there shall be no discrimination 8 against or segregation of any person or group of persons on 9 account of race, color, creed, religion, sex, marital status, 10 age, handicap, national origin or ancestry in the sale, lease, 11 sublease, transfer, use, occupancy, tenure or enjoyment of the 12 Site, nor shall Participant itself or any person claiming under 13 or through it establish or permit any such practice or practices 14 of discrimination or segregation with reference to the selection, 15 16 location, number, use or occupancy of tenants, lessees, subtenants, sub1essees or vendees of the Site. The foregoing 17 covenants shall run with the land. 18 Participant shall refrain from restricting the rental, 19 sale or lease of the Site on the basis of race, color, creed, 21 20 religion, sex, marital status, handicap, national origin or ancestry of any person. All such deeds, leases or contracts 22 shall contain or be subject to substantially the following 24 23 nondiscrimination or non-segregation clauses: 25 26 27 <<:> 28 1. In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no DAB/ses/American.agr May 15, 1991 19 o 10 11 12 13 o 14 15 16 17 18 19 20 21 22 23 24 o 25 26 27 28 - a ~ - o o 1 2 3 4 5 6 7 8 9 discrimination against or segregation of, any person or group of persons on account of race, cOlor, creed, religion, sex, marital status, age, handicap, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the land herein conveyed. The foregoing covenants shall run with the land." 2. In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: "There shall be no discrimination against or segregation of any person or group of persons on account of race, color, creed, religion, sex, marital status, handicap, age, ancestry or national origin in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or DAB/ses/American.agr May 15, 1991 20 o o o 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 - ~ - o o 1 permit any such practice or practices of discrimination or segregation with reference to the 2 3 selection, location, number, use or occupancy of 4 tenants, lessees, sublessees, subtenants or vendees in the premises herein leased." 3. In contracts: "There shall be no discrimination against or segregation of, any person, or group of persons on account of race, color, creed, religion, sex, marital status, age, handicap, ancestry or national origin, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the transferee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the premises." B.. [402] Maintenance of the Site 20 Participant shall maintain the Participant 21 Improvements and all other improvements on the Site and shall 22 keep the Property free from any accumulation of debris or waste 23 materials. 24 Participant further agrees to maintain the Site in a 25 neat and attractive manner until construction of the improvements 26 described in this Agreement is complete so as not to, in the 27 28 reasonable determination of an appropriate officer of the City, DAB/ses/American.agr May 15, 1991 21 () () o 15 16 - .4 ~ ~ ~ J.. o o 1 be a public nuisance, or be detrimental to the health, safety and 2 3 welfare, or impair value of property within one thousand (1,000) feet of the Site, and agrees that in the event Participant fails 4 to do so, Agency may enter upon the Site for the purposes of 5 performing necessary and desirable maintenance, that Participant 6 will be responsible for the cost of any such maintenance 7 undertaken by Agency, which shall be paid within thirty (30) days 8 after receipt by Participant of written demand therefor. 9 Participant agrees to prepare and record Covenants, Conditions 10 and Restrictions approved by Agency, consistent with this Section 11 402 including the maintenance responsibilities outlined in this 12 Agreement which may not be amended nor revoked without the 13 approval of Agency. 14 Participant shall also maintain the landscaping required to be planted under the Scope of Development (Attachment NO.4) in a healthy condition. If, at any time, Participant 17 fails to maintain said landscaping, and said condition is not 18 corrected after expiration of thirty (30) days from date of 19 written notice from Agency, Agency may perform the necessary 20 landscape maintenance and Participant shall pay such costs as are 21 reasonably incurred for such maintenance. 22 Issuance of a Certificate of Completion by Agency 23 shall not affect Participant's obligations under this Section. 24 C. [403] Rights of Access 25 Participant hereby grants to Agency, for itself and> 26 for the City and other public agencies, at their sole risk and 27 expense, the right to enter the Site or any part thereof at all 28 DAB/ses/American.agr May 15, 1991 22 o o o 10 11 o o 1 reasonable times for the purpose of construction, 2 reconstruction, maintenance, repair or service of any public 3 improvements or public facilities located on the Site. Any such 4 entry shall be made only after reasonable notice to Participant, 5 and Agency shall indemnify and hold Participant harmless from any 6 costs, claims, damages or liabilities pertaining to any entry.. 7 This Section 403 shall not be deemed to diminish or limit any 8 rights which the City or Agency may have by operation of law 9 irrespective of this Agreement. D. [404] Effect of Violation of the Terms and provisions of this Agreement After Completion of Construction 12 The covenants established in this Agreement shall, 13 without regard to technical classification and designation, be 14 15 binding for the benefit and in favor of Agency, its successors and assigns, as to those covenants which are for its benefit. 16 The covenants contained in this Agreement shall remain in effect 17 until the termination date of the Redevelopment Plan. The 18 covenants against racial discrimination shall remain in 19 perpetuity. 20 Agency is deemed the beneficiary of the terms and 21 provisions of this Agreement and of the covenants running with 22 the land, for and in its own rights and for the purposes of 23 protecting the interests of the community and other parties, 24 public or private, in whose favor and for whose benefit this 25 Agreement and the covenants running with the land have been 26 provided. The Agreement and the covenants shall run in favor of 27 28 Agency, without regard to whether Agency has been, remains or is DAB/ses/American.agr 23 May 15, 1991 o o c 411 IIIL 15 16 17 18 19 20 21 22 23 24 25 26 27 28 o 0 1 an owner of any land or interest therein in the Site or in the 2 3 Project Area. Agency shall have the right, if the Agreement or covenants are breached, to exercise all rights and remedies, and 4 to maintain any actions or suits at law or in equity or other 5 proper proceedings to enforce the curing of such breaches to 6 which it or any other beneficiaries of this Agreement and 7 covenants may be entitled. 8 9 10 [500] V. GENERAL PROVISIONS [501] A. Notices, Demands and Communications Between the Parties 11 Written notices, demands and communications between 12 13 14 Agency and Participant shall be sufficiently given if delivered by hand (and a receipt therefor is obtained or is refused to be given) or dispatched by registered or certified mail, postage prepaid, return receipt requested, to the principal offices of Agency and Participant. Such written notices, demands and communications may be sent in the same manner to such other addresses as such party may from time to time designate by mail as provided in this Section 501. Any written notice, demand or communication shall be deemed received immediately if delivered by hand and shall be deemed received on the tenth day from the date it is postmarked if delivered by registered or certified mail. B. [502] Conflicts of Interest; Nonliability No member, official or employee of Agency shall have any personal interest, direct or indirect, in this Agreement. No member, official or employee shall participate in any decision relating to the Agreement which affects his personal interests or DAB/ses/American.agr 24 May 15, 1991 .........-......-....--.---- -- ~_. -----~~- - _._-----_.~.- - ---~ - - - --- o o o .- - il - L. o o 1 the interests of any corporation, partnership or association in 2 which he is directly or indirectly interested. No member, 3 official or employee of Agency shall be personally liable to 4 Participant, or any successor in interest, in the event of any 5 default or breach by Agency or Participant, or for any amount 6 which may become due to Participant or its successor or on any 7 obligations under the terms of this Agreement. 8 Participant represents and warrants that it has not 9 paid or given, and shall not payor give, any third party any 10 money or other oonsideration for obtaining this Agreement. 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C" [503] Enforoed Delay; Extension of Times of Performance In addition to specifio provisions of this Agreement, performanoe by either party hereunder shall not be deemed to be in default, and all performance and other dates speoified in this Agreement shall be extended, where delays or defaults are due to: war; insurrection; floods; earthquakes; fires; oasua1ties; acts of God; aots of the pub1io enemy; freight embargoes; governmental restrictions or priority; litigation; unusually severe weather; acts or omissions of another party; acts or failures to aot of the City of San Bernardino or any other public or governmental agency or entity (other than the acts or failures to act of Agency which shall not excuse performance by Agency); or any other causes beyond the control or without the fault of the party olaiming an extension of time to perform. Notwithstanding anything to the contrary in this Agreement, an extension of time for any such cause shall be for the period of the enforced delay and shall oommence to run from the time of the DAB/ses/American.agr May 15, 1991 25 -,.'-. ~.- ~.-.........~~- - "-',".. ...._~,..............._.....--~-------....' ---- ~ ---. -_.~-.-..7~.n::+'-.... -~.-...,~....-...-r---.,...~._......-~. o o o o o 1 commencement of the cause, if notice by the party claiming such 2 extension is sent to the other party within thirty (30) days of 3 the commencement of the cause. Times of performance under this 4 Agreement may also be extended in writing by the mutual agreement 5 of Agency and Participant. 6 Participant is not entitled pursuant to this Section 7 503 to an extension of time to perform because of past, present, 8 or future difficulty in obtaining suitable temporary or permanent 9 financing for the development of the Site. 10 [504] D. Inspection of Books and Records 11 Agency has the right at all reasonable times to 12 inspect the books and records of Participant pertaining to the 13 Site as pertinent to the purposes of this Agreement. Participant 14 has the right at all reasonable times to inspect the public 15 16 purposes of the Agreement. records of Agency pertaining to the Property as pertinent to the 17 18 19 VI. [600] DEFAULTS AND REMEDIES A. [601] Defaults - - General Subject to the extensions of time set forth in Section 20 503, failure or delay by any party to perform any term or 22 21 provision of this Agreement constitutes a default under this Agreement. The party who so fails or delays must immediately 23 commence to cure, correct, or remedy such failure or delay, and 24 shall complete such cure, correction or remedy with diligence. 25 The injured party shall give written notice of default 26 to the party in default, specifying the default complained of by 27 28 the injured party. Except as required to protect against further DAB/ses/American.agr 26 May 15, 1991 o o o o o 1 damages, and except for Sections 319 and 321 of this Agreement, 2 3 the injured party may not institute proceedings against the party in default until thirty (30) days after giving such notice. 4 Failure or delay in giving such notice shall not constitute a 5 waiver of any default, nor shall it change the time of default. 6 [602] B. Legal Actions 7 [603] 1. Institution of Legal Actions 8 In addition to any other rights or remedies 9 hereunder, Agency or Participant may institute legal action to 10 cure, correct or remedy any default, to recover damages for any 11 default, or to obtain any other remedy consistent with the 12 purpose of this Agreement. Any legal actions initiated pursuant 13 to this Agreement or otherwise with respect to its subject matter 14 must be instituted in the Superior Court of the County of San 15 16 17 Bernardino, State of California, or in an appropriate municipal court in that county. 2. [604] Applicable Law 18 The laws of the State of California shall govern 19 the interpretation and enforcement of this Agreement. 3. [605] Acceptance of Service of Process 20 21 In the event that any legal action is commenced 22 by Participant against Agency, service of process on Agency shall 23 be made by personal service upon the Executive Director or in 24 such other manner as may be provided by law. 25 In the event that any legal action is commenced 26 by any party against Participant, service of process on such 27 party shall be made by personal service upon Participant or in 28 DAB/ses/American.agr May 15, 1991 27 ---- ...- .~>-----....-----..._-------..----:"-._..,..--- '".'.. ""~_r__~____..._,_ ___,,~.' _ _.. .~.__ . ++ ..---,.....-'?o_._,.. .-__.... ..~. --- o o o 18 - - ~ - - - o o 1 such other manner as may be provided by law, and shall be valid 2 whether made within or without the state of California. 3 C. [606] Rights and Remedies Are Cumulative 4 Except as otherwise expressly stated in this 5 Agreement, the rights and remedies of the parties are cumulative, 6 and the exercise by any party of one or more of such rights or 7 remedies shall not preclude the exercise by it, at the same or 8 different times, of any other rights or remedies for the same 9 default or any other default by any other party. 10 D. [607] Inaction Not a Waiver of Default 11 Any failures or delays by any party in asserting any 12 of its rights and remedies as to any default shall not operate as 13 a waiver of any default or of any such rights or remedies, or 14 deprive any party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, 15 16 assert or enforce any such rights or remedies. 17 [608] E. Remedies and Rights of Termination 1. [609] Damages 19 Prior to the recordation of a Certificate of 20 Completion with respect to all of the Participant Improvements, 21 if either Participant or Agency defaults with regard to any of 22 the provisions of this Agreement, the non-defaulting party shall 23 serve written notice of such default upon the defaulting party. 24 If the default is not cured by the defaulting party within thirty 25 (30) days after service of the notice of default, the defaulting 26 party shall be liable to the other for any damages caused by such 27 28 default. DAB/ses/American.agr 28 May 15, 1991 o o o 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ~ 1 , o o 1 2. [610] Action for Specific Performance 2 If either Participant or Agency defaults under 3 any of the provisions of this Agreement prior to the recordation 4 of a Certificate of Completion for the Participant Improvements 5 to be made thereon, the non-defaulting party shall serve written 6 notice of such default upon the defaulting party with a copy to 7 the remaining party. If the default is not commenced to be cured 8 by the defaulting party within thirty (30) days after service of 9 the notice of default, the non-defaulting party at its option may 10 institute an action for specific performance of the terms of this 11 Agreement. 12 VII. [700] SPECIAL PROVISIONS 13 [701] A. Submission of Documents to Agency for Approval. 14 Whenever this Agreement requires Participant to submit plans, drawings or other documents to Agency for approval, which shall be deemed approved if not acted on by Agency within the specified time, said plans, drawings or other documents shall be accompanied by a letter stating that they are being submitted and will be deemed approved unless rejected by Agency within the stated time. If there is not a time specified herein for such Agency action, Participant may submit a letter requiring Agency approval or rejection of documents within thirty (30) days after submission to Agency or such documents shall be deemed approved. B. [702] Successors In Interest The terms, covenants, conditions and restrictions of this Agreement shall extend to and shall be binding upon and inure to the benefit of the heirs, executors, administrators, DAB/ses/American.agr May 15, 1991 29 o o o o o 1 successors and assigns of Participant. 2 Upon the termination of the restrictions imposed by 3 Section 107 of this Agreement, which terminate upon the issuance 4 by Agency of a Certificate of Completion with respect to all of 5 the Participant Improvements pursuant to this Agreement, all of 6 the terms, covenants, conditions and restrictions of this 7 Agreement which do not terminate upon the issuance of such 8 Certificate of Completion shall be deemed to be, and shall, 9 constitute terms, covenants, conditions and restrictions running 10 with the land. 11 12 VIII. [800] ENTIRE AGREEMENT, WAIVERS This Agreement is executed in four (4) duplicate 13 originals, each of which is deemed to be an original. This 14 Agreement includes pages 1 through 34 and Attachments 1 through 15 6, which constitute the entire understanding and agreement of the 16 parties. 17 No private entity shall be deemed to be a third party 18 beneficiary with respect to any provisions of this Agreement. 19 This Agreement integrates all of the terms and 20 conditions mentioned herein or incidental hereto, and supersedes 21 all negotiations or previous agreements among the parties or 22 their predecessors in interest with respect to all or any part of 23 the subject matter hereof. 24 All waivers of the provisions of this Agreement must 25 be in writing by the appropriate authorities of Agency and 26 Participant, and all amendments hereto must be in writing by the 27 appropriate authorities of Agency and Participant. 28 DAB/ses/American.agr May 15, 1991 30 o 1 o o 2 Each individual signing below represents and warrants that he has the authority to execute this Agreement on behalf of 4 / / / / / / / / / / / / / / IX. 3 and bind the party he purports to represent. [900] TIME FOR ACCEPTANCE OF AGREEMENT BY AGENCY 5 This Agreement, when executed by Participant and delivered 6 to Agency, must be authorized, executed and delivered by Agency 7 on or before sixty (60) days after signing and delivery of this 8 Agreement by Participant or this Agreement shall be void, except 9 to the extent that Participant shall consent in writing to a 10 further extension of time for the authorization, execution and 11 delivery of this Agreement. The date of this Agreement shall be 12 the date when it shall have been signed by the Agency as 13 evidenced by the date first above shown. / / / / / / / / / / / / / / / / / / / / / / / / / / / / o 14 15 16 17 18 19 20 o 21 22 23 24 25 26 27 28 DAB/ses/American.agr May 15, 1991 31 o o () 4' 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 ~ ~ - - o o 1 IN WITNESS WHEREOF, Agency, and Participant have executed this Agreement on the day and date first above shown. "Agency" REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO By: Executive Director "Participant" AMERICAN NATIONAL CAN COMPANY By: By: APPROVED AS TO PROGRAM: By: APPROVED AS TO FORM 17 AND LEGAL CONTENT: 18 19 20 21 22 23 24 25 26 27 28 DAB/ses/American.agr May 15, 1991. 32 '. o 10 11 12 13 14 o 15 16 Q 17 18 19 20 21 22 23 24 25 26 27 28 ~ . ~ - - - o o 1 2 3 STATE OF CALIFORNIA ) )ss. ) COUNTY OF SAN BERNARDINO 4 On this day of , in the year , before me, the undersigned, a Notary Public in and for 5 the State of California, personally appeared Kenneth J. Henderson personally known to me (or proved to me on the basis of 6 satisfactory evidence) t<;> be the person who executed this instrument as the Executive Director of the REDEVELOPMENT AGENCY 7 OF THE CITY OF SAN BERNARDINO and acknowledged to me said Agency executed it. 8 9 Signature of Notary Public (SEAL) DAB/ses/American.agr May 15, 1991 33 o () o 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 - o o 1 STATE OF CALIFORNIA ) )ss. ) 2 3 4 5 6 7 8 9 COUNTY OF SAN BERNARDINO On undersigned, a appeared personally satisfactory who executed before me, the Notary Public in and for said State, personally , known to me or proved to me on the basis of evidence to be the person the within instrument as the President and the of the corporation that executed the within instrument, and acknowledged to me that such corporation executed the same. WITNESS my hand and official seal. DAB/ses/American.agr 34 May 15, 1991 Attachment 1 () o o - LEGAL DESCRIPTION J. - o o I All that land situated in the State of California, County of San 2 3 Bernardino, described as follows: 4 PARCEL NO.1: 5 6 Parcel 2 of Parcel Map No. 4202, as shown by Map on file in Book 40, 7 page(s) 45 and 46 of Parcel Maps, records of San Bernardino County, 8 California. 9 10 PARCEL llO. 2: 11 12 An easement. 80 feet wide for road purposes over a portion of Sections 12 13 and 13, Township 1 North, Range 5 West, San Bernardino Base and Meridian, 14 15 16 according to the extension of the lines of the Official Government Survey extended into Rancho Muscupiabe, described as follows: 17 Being 40 feet on either side of the center line which is described as 18 follows: 19 20 (The 40 foot lines being lengthened or shortened to intersect the 21 Southeasterly line of Palm Avenue and the Westerly lines of the property 22 conveyed to San Bernardino County Flood Control District, by deed 23 recorded July 27, 1948, in Book 2268, page 146, Official Records of San 24 Bernardino County, California). 25 26 27 28 ATTACHMENT NO. 2 .Page 1 of 3 o o o . 4l. - o o 1 Beginning at the Southwest corner of that certain parcel of land as 2 conveyed to the State of California, by deed recorded October 25, 1955 in 3 Book 3772, page 93, of Official Records, and described as Parcel "C" in 4 the above mentioned deed, said Southwest corner being on the Easterly 5 line of Palm Avenue, 40 feet wide, as it now exists; thence South 27 6 degrees 15 minutes 41 sections West, 642.71 feet to the true point of i beginning of said center line; thence South 38 degrees 55 minutes 29 8 seconds East, 1366.00 feet to a tangent curve concave to the Northeast, 9 having a radius of 464.00 feet and a central angle of 61 degrees 22 10 minutes 04 seconds; thence Southeasterly and Easterly along the center 11 line of said curve a distance of 496.98 feet to a tangent line; thence 12 North 79 degrees 42 minutes 27 seconds East, 354.26 feet to a tangent 13 curve concave to the South, having a radius of 286.00 feet, and a central 14 angle of 61 degrees 34 minutes; thence Easterly and Southeasterly along 15 the center line of said curve a distance of 307.32 feet to a tangent 16 line; thence South 38 degrees 43 minutes 33 seconds East, 780.25 feet to 17 a tangent curve concave to the Southwest, having a radius of 1986.00 18 feet, and a central angle of 11 degrees 29 minutes 20 seconds; thence 19 Southeasterly 398.23 feet along the center line of said curve to a 20 tangent line; thence South 27 degrees 14 minutes 13 seconds East, 1207.52 21 feet along said line to a point in a tangent curve concave to the 22 Northeast and having a radius of 300.00 feet; thence Southeasterly and 23 Easterly along said curve a distance of 471.24 feet to a point in a 24 tangent line; thence North 62 degrees 45 minutes 47 seconds East along 25 said line a distance of 120.00 feet to a point in a tangent curve concave 26 27 28 to the Southeast and having a radius of 640.00 feet; thence Northeasterly and Easterly along said curve a distance of 245.56 feet to a point of ATTACHMENT NO. 2 .Page 2 of 3 o o o 2 .. 8 9 10 11 12 13 14 15 16 Ii 18 19 20 21 22 23 24 25 26 27 28 l. L .J o o termination in said right-of-way, of the San Bernardino County Flood Control DIstrict. (Shown as Industrial Parkway (private) on said Parcel 3 Maps. ) 5 Except any portion lying within Parcell. 6 i JH:kak:3916H ATTACHMENT NO. 2 Page 3 of 3 o o o o 1 2 3. Execution of Agreement by Agency. Agency shall 4 approve and execute this Agreement, and shall 5 deliver one (1) copy thereof to Participant. 6 2. Obtain Design Review Approval. Agency and 8 City approve Design Concept Drawings 9 (sufficient time should be allowed for possible 10 initial denial by either Agency or City). 11 l:a. Sub m i t Com p 1 e t e d Construction and 13 g r a din g p 1 a n s . Participant will submit 14 completed construction and grading plans and 15 all other plans and documents required by 16 Section 304. 17 4. 18 19 20 21 22 6. 23 24 25 26 27 28 Obtain plan check approval, obtain building permits and commence construction, Participant shall obtain necessary plan check approval, obtain all building permits and begin construction. Complete Construction Participant shall complete construction and obtain a Certi- ficate of Completion. DAB/ses/American.agr May 15, 1991 o ATTACHMENT NO. 3 SCHEDULE OF PERFORMANCE Not later than sixty (60) days after the date of execution and submission of two (2) copies of this Agreement to Agency by Participant. Not later than one hundred twenty (120) days after the effective date of this Agreement. Not later than one hundred fifty (150) days after the effective date of this Agreement. Not later than two hundred ten (210) days after the effective date of this Agreement. Not later than nineteen (19) calendar months from the effective date of this Agreement. o o o Jl - - o o 1 ATTACHMENT NO. 4 2 3 SCOPE OF DEVELOPMENT I. GENERAL DESCRIPTION 4 The Site is specifically delineated on the Site Map (Attachment No.1) and the Legal Description (Attachment No.2) 5 pursuant to Section 103 of this Agreement. 6 II. DEVELOPMENT 7 Participant shall develop the Site with a beverage can plant consisting of at least 220,000 square feet, having a 8 completed assessed value of at least $55,000,000. 9 Participant shall complete all of the improvements set forth in this Scope of Development (Attachment No.4) to be 10 constructed in one phase. All of the improvements to be provided by the Participant on the Site constitute the "Basic Participant 11 Improvements." The Basic Participant Improvements and all those off-sit~ improvements, which are required in connection with this 12 development (if any), and which are required to be provided by the Participant (the "Off-Site Improvements") together 13 constitute the "Participant Improvements". 14 15 16 17 18 The Participant shall commence and complete the Participant Improvements by the respective times established therefor in the Schedule of Performance (Attachment No.3). The Participant shall provide parking in conformity with all applicable City requirements. III. DEVELOPMENT STANDARDS The following development standards shall apply to the 19 Participant Improvements: 20 A. Setbacks. Minimum setbacks shall conform to the San Bernardino Municipal Code (the "City Code"); and the 21 Redevelopment Plan. 22 B. Vehicular Access. The placement of vehicular driveways shall be coordinated with the needs of proper street 23 traffic flow. In the interest of minimizing traffic congestion, Agency will control the number and location of curb breaks for 24 access to the Property for off-street parking and truck loading. 25 C. Loading. Adequate loading and unloading space shall be provided. Loading spaces visible from streets shall be 26 landscaped or screened to prevent an unsightly or barren 27 28 Page 1 of 3 DAB/ses/American.agr May 15, 1991 ~: ...... .. - -.--->'.-.....--..-...--....- . o 10 - a - o o 1 appearance. Code. Said requirements shall also conform to the City 2 D. Signs. Signs shall be limited in size, subdued and 3 otherwise designed to contribute positively to the environment. Signs identifying the use will be permitted, but their height, 4 size, location, color, lighting and design will be subject to Agency and City approval, and signs must conform to the City 5 Code. 6 E. Screening. All outdoor storage of materials or equipment shall be enclosed or screened to the extent and in the 7 manner required by Agency and the City. 8 F. Landscaping. The Participant shall provide and maintain landscaping within the public rights-of-way and within 9 setback area along all street frontages and conforming with the Design COncept Drawings as approved by Agency. Landscaping shall consist of trees, shrubs and 11 installation of an automatic irrigation system adequate to maintain such plant material. The type and size of trees to be 12 planted, together with a landscaping plan, shall be subject to approval by the City's Planning Department prior to planting. 13 o 14 15 16 17 18 19 20 G. utilities. Sewer drainage and utility lines, conduits or systems shall not be constructed or maintained above the ground level of the Property unless such installations are within approv~4 enclosed structures, and shall conform to requirements of the City of San Bernardino or other applicable governmental or private agency having jurisdiction of the work. Storm drainage for all hard surfaced areas shall be drained or may be sheet flowed to storm sewers. No drainage shall flow across public sidewalks. All non polluted waste water, such as waste air conditioning water, shall be drained to the storm or sanitary drainage systems as permitted by local codes. IV. PUBLIC IMPROVEMENTS AND UTILITIES Participant, at its own cost and expense, shall provide or 21 cause to be provided the following public impro~ements within the time set forth for the completion of the Participant Improvements 22 in the Schedule of Performance (Attachment No.3): 23 24 o 25 26 27 28 1. Improvement as required by the City by resurfacing, rebuilding or new construction of the existing streets, alleys or other public rights-of-way (inCluding catch basins, curbs and gutters, drive and curb cuts, and drives between the property line of the Property and the public rights-of-way) abutting on the Property. No street widening is anticipated in connection with the Property. Page 2 of 3 DAB/ses/American.agr May 15, 1991 o o o 6 7 8 9 10 11 12 13 14 15 16 o o 1 2. Installation of street lighting, signs and fire hydrants in connection wi th the Property as may be required. Installation of public sidewalks along the frontage of the pUblic streets abutting on the Property or within the rights-of-way lines of such public streets, and appropriate street landscaping which Agency or City might require. 2 3 4 3. 5 4. Installation or relocation by the public utility companies of such sewers, drains, water and gas distribution lines, electric, telephone and telegraph lines, and all other public utility lines, installations and facilities as are necessary to be installed or relocated on or in connection with the Property by reason of the redevelopment contemplated by the Redevelopment Plan and the development of the Property. Agency shall not be responsible for, nor bear any portion of the cost of, installing the necessary utility connections within the boundaries of the Property between the improvements to be constructed by Participant and the water, sanitary sewer, and storm drains, mains or other publiC utilities owned by the City or by any public utility company within or without such boundaries, or electric, gas, telephone or other public lines owned by a public utility company within or without such boundaries, and Participant shall secure any permits required for any such installation without expense to Agency. 17 Those of the improvements required to be provided pursuant to this Part IV of the Scope of Development (Attachment No.4) 18 constitute the "Off-Site Improvements." 19 V. DEMOLITION AND SOILS 20 Participant assumes all responsibility for surface and subsurface conditions at the Property, and the suitability of the 21 Property for the Participant Improvements. If the surface and subsurface conditions are not entirely suitable for such 22 development and use, Participant shall at its cost take all actions necessary to render the Property entirely suitable for 23 such development. Participant has undertaken all investigation of the Property it has deemed necessary and has not received or 24 relied upon any representations of Agency, the City, or their respective officers, agents and employees. Participant shall 25 undertake at its cost all demolition required in connection with the development of Participant Improvements. Page 3 of 3 DAB/ses/American.agr May 15, 1991 -.,.-..-._--..~-..--,.---._.~-._- -"~-'.' 26 27 28 o o Q o Attachment No. 5 o 1 2 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: ) ) ) ) ) ) ) ) ) [Space above for Recorder.] 3 4 5 6 CERTIFICATE OF COMPLETION FOR 7 CONSTRUCTION AND DEVELOPMENT 8 WHEREAS, pursuant to that certain Owner's Participation Agreement entered into between the Agency, and American National 9 Can Company ("Participant-) dated as of ("OPA"), the Participant is entitled to the issuance of a 10 Certificate of Completion upon the completion of those improvements required by the OPA to be developed by the 11 Participant, (the "Participant Improvements"): and 12 WHEREAS, such certificate shall be conclusive determination of satisfactory completion of the construction required by the 13 OPA: and 14 15 WHEREAS, the Agency has conclusively determined that the construction on the above described Property required by the OPA has been satisfactorily completed: 16 NOW THEREFORE, 17 1. The Agency does hereby certify that the construction of the Participant Improvements has been fully and satisfactorily 18 performed and completed. 19 2. Nothing contained in this instrument shall modify in any other way other provisions of the OPA. All executory 20 obligations of the Participant pursuant to the OPA shall remain in full force and effect. 21 IN WITNESS WHEREOF, the Agency has executed this 22 certificate this day of , 19 23 REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO 24 25 26 27 28 By: Executive Director Page 1 of 3 DAB/ses/American.agr May 15, 1991 o l 10 11 12 13 14 o 15 o 16 17 18 19 20 21 22 23 24 25 26 27 28 lIlf II. 1II .d o o 1 2 3 STATE OF CALIFORNIA ) )ss. ) COUNTY OF SAN BERNARDINO 4 On this day of ,19 before me, the undersigned, a Notary Public in and for-slaid State, 5 personally appeared , known to me (or proved to me on the basis of 6 satisfactory evidence) to be the person who executed this instrument as the Executive Director of the Redevelopment Agency 7 of the City of San Bernardino and acknowledged to me that the Redevelopment Agency of the City of San Bernardino executed it. 8 9 Signature of Notary Public SEAL Page 2 of 3 DAB/ses/American.agr May 15, 1991 1 - - L 0 0 1 EXHIBIT 1 2 0 3 (DESCRIPTION) 4 5 6 7 8 9 10 11 12 13 14 0 15 16 17 18 19 20 21 22 23 24 25 26 27 Page 3 of 3 0 28 DAB/ses/American.agr May 15, 1991 Contract No. \,'A TER DEPARTME~O'T o CITY HALL 100 N. "0" STREET 92401 . P. O. BOX 710 92402 SAN BERNARDINO. CALIFORNIA (714) 383.5141 Assignment No. ^ BOARD OF' WATER COMMIS.IONERS ..., PRESIDENT MARGARET H. CHANDLER COMMI.SIONIRS ROBERT BIVENS EMILIA GARCIA JAMES H. URATA HAROLD W. WJLLIS if". e.~.. o .~ ~ . ~ _ z ~.:o. - 0 . . .t: .~. "l'tR ott HERBERT .. WESSEL aI:H."AL MANAGEII .JOSEPH F. STEJSKAL Dlltl!eTOIt. ENGINEERING. CONSTRUCTION.MAINTENANCE BERNARD C. KERSEY DIItIl:CTOIII, ADMINISTRATION . FINANe. hereby assigns III right, title Ind Interest for capecity right(sl purchased in Iccordenee with the terms Ind conditions of the Purchase Agreement or the Term Purchlse Agreement for sewer cepecity rights between the City of Son Bernardino Ind the undersigned to: (II The City of Son Bernerdino for the purpose of resele by the City. (bl The City of Son Bernerdino, in setisflction of the sewer connection fee pursuent to Section 13.08.05O(B) of the Code of Ordinlnces, City of Son Bernerdlno, Celifornil, or the City of Loml Linde or EISt Viney Wiler District in sltisflCtion of the sewer connection fee due to the City of Son Bernerdino pursuent to their Ipplicable ordinlnces. (c) Nlme Address in conjunction with the sele of eertlln rell property described In Exhibit "A" which is Itteched to this Assignment Form. This Issignment is not effective until the close of escrow for the sele of the Exhibit "A" property. (d) Name o Address which is I qUllified finlnelll Institution Ind which provided In, or I portion of tha funds with which this sewer Clpecity right WIS purchlSed. Assignor Icknowledges thlt the City of Son Bernardino shill not be held IIlble for Iny legal or other consequences of this ISslgnment. Assignor further Icknowledges thll thl City of Son Bernardino is not privy to any contract or egreement with any other perty Ind to the extent that this assignment is mlde pursuant to, or in derogation of, any contract or Igreement, or in accordence with any obli. gllion of the Assignor, by acceptance of this Assignment the City of Son Bernardino Issumes no liability for demages or loss resulting from any breach of seid contract or agreement. ASSIGNOR: Compeny (Type Or Print) Dete: By: Title INDIVIDUAL ASSIGNOR: OIIe: Slgnlture Print or Type Nlme Qlte: ACCEPTED: CITY OF SAN BERNARDINO By: Title Attachment 6