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C-505 - Lease Beacon Bay
C • LEASE AGREEMENT Beacon Bay Common Areas (Beacon Bay Community Association) THIS LEASE, made and entered into on the 1st day of January, 1988, by and between the CITY OF NEWPORT BEACH, a chartered municipal corporation, hereinafter "Lessor" and BEACON BAY COMMUNITY ASSOCIATION, a California nonprofit corporation, hereinafter "Lessee." RECITALS A. Lessor holds title to and is the owner of certain tidelands, together with certain uplands abutting said tidelands known as Beacon Bay, and more particularly described in Exhibit nA" attached hereto and made a part hereof by this. reference. Within said tidelands and uplands owned by Lessor are certain streets, walkways, beaches, common landscaped areas and tennis courts, which area is hereinafter referred to as "common areas," identified as Lots A through J and Lot 62 as shown on attached Exhibit "B," attached hereto and incorporated herein by this reference. B. Carroll B. Beek, Barton Beek, Joseph Allan Beek, Jr., and Seymour Beek jointly held a Master Lease to said property dated January 9, 1950, which Master Lease expired on December 31, 1987. C. The "Westerly Portion" of the Beacon Bay property had been divided into individual lots and subleased for residential purposes. D. All of said subleases expired on the same date as the Master Lease, to wit: December 31, 1987. E. City believes it to be in the best interests and welfare of the City: 1. That the common area portions of Beacon Bay which had been leased for common area purposes remain in that character; and 2. To enter into a new Lease Agreement with Lessee under the terms, conditions and for the consideration as hereinafter set forth. F. It is the judgment of City that the leasing of the property hereinafter described is consistent with the trust purposes imposed upon such portions of the common area which may constitute tidelands as authorized by Chapter 74, Statutes of 1978. G. It is further the judgment of City that in entering into this Lease, City is acting pursuant to its proprietary powers. NOW, THEREFORE, IN CONSIDERATION OF THE FOREGOING RECITALS AND THE MUTUAL COVENANTS set forth below, Lessor and Lessee hereby agree as follows: 1. DESCRIPTION OF LEASED PREMISES. Lessor hereby leases, and Lessee hereby accepts this Lease of the real property identified as Lots A though J and Lot 62 as delineated in Exhibit "B" attached hereto and made a part hereof by this reference under the terms and conditions as set forth below (hereinafter the "Common Area"). 2. TERM. Unless terminated sooner as provided herein, the term of this Lease is for a period commencing on the 1st day of January, 1988, and ending on the 1st day of July. 2006. 3. CONSIDERATION, The consideration for this Lease is the guaranteed maintenance and upkeep of said common area which would otherwise be an expense borne by Lessor. Said common areas, with the exception of those common areas on uplands shall be held open by Lessee for use by members of the public. The areas in the common area designated as uplands may be held for the exclusive use and benefit of Lessee and for the use and benefits of the Lessees under Leases between such Lessees and the City of Newport Beach for the residential lots in Beacon Bay. As further consideration for this Lease, and for the benefit of the -2- Lessees of the Beacon Bay residential lots, rental payments by said Lessees to Lessor hereunder constitute a portion of the consideration, over and above the maintenance and upkeep responsibility, of the common area, all for the benefit of Lessor hereunder. 4. SALE. ASSIGNMENT, SUBLEASE. Lessee has no right to sell, assign or sublease any portion of the property hereunder. 5. ENCUMBRANCES. Lessee has no right to encumber said property for any purpose whatsoever and any attempt by Lessee to so encumber the property shall result in the immediate termination hereof. 6. USE. The leased lands hereunder, designated as the common area, shall be used solely and exclusively for vehicular ingress and egress and parking, pedestrian walkway purposes and the property designated as Lot "62" shall be used exclusively for tennis court and park purposes. The property designated as beach property hereunder shall be used exclusively for beach purposes. The use by Lessee of said common area for any other purposes is an express violation of this Lease and may be cause for termination hereof, at the sole discretion of Lessor. 7. TAXES AND UJTILITIES. It is understood by Lessor and Lessee that this Lease may give rise to a possessory interest tax obligation. Lessee shall pay, before delinquent, all utility charges and any general and special taxes, assessments or other governmental charges, if any, which may be levied on the common area including any improvements located thereon or associated therewith, or any possessory interest therein arising out of or based upon the leasehold interest throughout the term hereof. Satisfactory evidence of suchpayment shall be made available to Lessor upon demand. Any lien for unpaid utilities, taxes, assessments or charges shall not attach the leasehold interest but only to improvements thereon. 8. MAINTENANCE AND REPAIR OF COMMON AREA. Lessee shall maintain and repair, in good order, all improvements in or to, or upon or adjoining the leased land, or any structure or -3- other improvement that may be constructed or installed thereon, at its sole cost and expense. 9. INDEMNIFICATION. Lessee agrees that it will hold and save Lessor, its officers, agents and employees harmless from any and all claims or demands of any kind or nature whatsoever arising out of, or incident to, the use and occupancy of the common area and to indemnify Lessor for any costs, liability or expense caused by or arising out of any injury or death of persons or damage to property which may occur upon or about the common area or caused by or arising out of any activities or omissions of Lessee, its agents, employees, licensees, contractors and/or invitees, including, without limitation, injury or death of Lessee, his agents, employees, licensees and invitees and damage to his property or Lessee's property; except for any damage or injury of any kind arising out of negligence of Lessor, his agents or employees. In addition to said hold harmless and indemnification agreement Lessee shall maintain a policy or policies of liability insurance in such forms and amounts as are approved as to amount by the City Manager of Lessor and as to legal adequacy by the City Attorney of Lessor. 10. SURRENDER OF POSSESSION UPON EXPIRATION OR TERMINATION. Upon expiration or termination of this Lease, Lessee agrees to peaceably deliver possession of the common area to Lessor and unconditionally agrees to vacate the common area without contest, legal or otherwise. 11. ATTORNEYS' FEES. Should either Lessor or Lessee be required to employ counsel to enforce the terms, conditions and covenants of this Lease, the prevailing party shall recover all reasonable attorneys' fees (and court costs if applicable) incurred therein, whether or not court proceedings were commenced. 12. NO WAIVER. No delay or omission of the Lessor to exercise any right hereunder which may arise out of any omission, neglect or default of Lessee shall impair any right or power of Lessor thereafter. Any waiver by Lessor of any breach shall not -4- • be construed as a waiver of any succeeding breach of the same or any other term, covenant or condition hereof. 13. NOTICES. It is mutually agreed that any notice or notices provided for in this Lease or by law, to be given or served by Lessee, may be given or served by mail, registered or certified, with postage prepaid, on the City of Newport Beach addressed to the Mayor, City Manager or City Clerk, 3300 Newport Boulevard, Newport Beach, California 92663. Should Lessor be required to serve notice on Lessee, it may be served upon the President of the Beacon Bay Community Association. Lessee shall be obligated during the term hereof to provide Lessor with current information as to the name, resident and business address of the President of Lessee, and resident and business phone number of President, of Lessee. Such service upon Lessor or Lessee shall be deemed complete at the expiration of 48 hours from and after the deposit in the United States mail of such notice, demand or communication. IN WITNESS WHEREOF the parties have caused this Lease to be executed on the day and year first above written. CITY O EWPORT ACH ATTEST: City Clerk BAY COMMUNITY ASSOCIATION OVED AS TO FORM: City Attorney -5- Lessee h-e-%, -a-. -7. 5 e4 LEGAL DESCRIPTION Lots 62 and A through J as shown on that certain Record of Survey filed in Orange County Records as Instrument Number 5383 on February 28, 1939 covering a portion of the Northwest one -quarter (1/4) of Section 35, Township 6 South, Range 10 West, S.B.B.M. EXHIBIT "A" -6- RP HA 1ND IS -37 LOT NUM5CRS AND ITEEETAODRESSES, IF THE SAME; ARE 'SH0WN7NO5 --- 3 ' PARCEL IDENTIFICATION LETTER SIIOwN THUS•^(ffl STREET ADOAiSS Ii IfFERENT THAN LOT NO. IS SHOWN THUS d ----- )1NOTES SETEAGIE LINES. R U.E. DINOIY D W DLIO UTILITY EASEMENTS. S5 L __T TO 56 A: _ J 50 #i L_ 1 47 L - 48. IS- 49i-' J W y 59 —off -J v 60 Y. v 61 15.41 J "-1 r__' II I;. — 11 1l r 7-r 7116119 Notts LOTS A • J AT E OPEN SPACE LOTS. WE OAP Et SALE OISTVICES ARE 5• UNLESS SHOWN OTNEEWISE. LLs\14 STAJSI a 5o L r Lit 51 1st 52 L LOT. H ,`/ARBOR ISLAND DRIVE 42 .1L 43 Al J B 44 )Ia J AL �_, r_,�`•� rf __1 r__-1 I 1 .I I11 IT..J�Txi.,1.Gtl.S.J. LL. I j 1 i iSJ t r1 ZVi 1. 4. 10 1 II 12 1 1 13 1 14 L_J L-J l___..1 Y12C MESH. iu.mD • L.� ui w s 1 II rII 37 1O.1\ 30' r 1.11: p /39/ r 1 N•' 40 •O L BAY I 1 Ls 4 L LJ. 116 i i 17 I 18 ;I, 19 29 nJ ro r i..------- 30 l.: . ILA • li•'3 L--Y.3--------- 33 dj 34 Ili LOT I T U. S. AULKH£A0 L/HE - O:1 rr o ' L 26 a. I ' • 3. J I L f: 1.: r-_ -1 r--1I,...-i,r=^_;lr--f •; Ili �� 1Fs I•Y3 ya+]1 • Lis;it 1 l 20 '1 21. ili 22 Ili I 11; 2 U.S. P/ERNEAO LINE EXHIBIT"' SKETCH SNOWING SETBACK LINOS WEN 1N LOTS I. B B OF R.B.41/4t PARCELS A.E. (, GOP R.S.IIf48 AND L0T6 1.8 Of LASTS IDE ADDITION TO BEACON BAY PIA GOOK 2, PAWED OF OFFICIAL MAPS.' SCALE ELECT ?pMR Bn'41 WNIu04:44 4 p9.0 WHEN RECORDED MAIL,: Cambridge Capital Group 2943 South Pullman Street Santa Ana, California 92705 • Space above line for Recorder's use only CONSENT TO ASSIGNMENT OF AGREEMENT TO LEASE THIS CONSENT is given this 27th day of July, 1981, by the CITY OF NEWPORT BEACH, a Chartered Municipal Corporation (hereinafter the "City") on the following terms and conditions: RECITALS A. The City entered into an Agreement to Lease dated June 30, 1981 (the "Agreement"), with GERALD E. FINSTER and LINDA G. FINSTER AS TRUSTEES OF THE FINSTER INTER VIVOS TRUST DATED JUNE 29, 1981 ("Sublessee") covering certain real property described as Lot 8 in the City of Newport Beach, County of Orange, State of California, as per Record of Survey Map filed in Book 9, Pages 42 and 43 of Record of Surveys, in the Office of the County Recorder of said County (the "Property"). B. Sublessee is currently subleasing the Property from Carroll B. Beek and others under that certain Master Lease with the City covering the area known as Beacon Bay dated January 9, 1950 ( the "Master Lease"). Said sublease (the "Sublease") is dated March 14, 1951, and was recorded on July 16, 1951, in Book 2136, Page 601 of the Official Records of Orange County, California. C. The Sublease expires in 1987. Pursuant to the Agreement, the City has'agreed that, provided Sublessee does not default under the Agreement, it will lease the Property directly to Sublessee for a. term of twenty-five years upon expiration of the Sublease. Said direct lease is to be in the form of Exhibit C to the Agreement (the "Direct Lease"). D. Sublessee has applied to Cambridge Capital Group, a California corporation ("Lenders'), for a $350,000 second trust deed loan to be secured by Sublessee's interest in the Property. Sublessee has also agreed to assign Sublessee's rights under the Agreement. to Lender. As a condition to making such loan, Lender has required that the City (notwithstanding Paragraph 5 of the Agreement) consent to such assignment of the Agreement according to the terms hereof. CONSENT NOW, THEREFORE, the City does hereby consent to the assignment. to Lender of Sublessee's rights under the Agreement and further agrees in favor of Lender as follows: 1. Should Sublesseedefault under the loan described above and Lender foreclose on the subleasehold interest under the Sublease, the City agrees that it shall confirm in writing to Lender or any other purchaser of such subleasehold interest at the foreclosure sale that Lender or such other purchaser has the rights of Sublessee under the Agreement and is entitled to enter into a Direct Lease with the City pursuant to the terms and conditions of the Agreement. The foregoing agreement of the City shall apply with equal force if the subleasehold interest under the Sublease is assigned to Lender in lieu of foreclosure. The amounts to be paid to the City pursuant to the Agreement shall be adjusted pursuant to Section 5 of the Agreement upon the earlier of (a) any transfer by Lenderof the subleasehold interest under the Sublease and the rights of Sublessee under the Agreement, or (b) a date six months after acquisition by Lender of the subleasehold interest under the Sublease by foreclosure or in lieu of foreclosure. 2. Said assignment of the Agreement to Lender and all rights acquired thereunder shall be subject to each and all of the covenants, conditions and restrictions set forth in the Agreement and to all rights and interest of the City thereunder, except as herein otherwise provided. 3. In the event of any conflict between the provisions of the Agreement and the provisions of any such assignment to Lender, the provisions of the Agreement shall control. 4. Lender shall be liable to perform the obligations of Sublessee under the Agreement only so long as Lender holds title to the subleasehold interest under the Sublease. 5. The City agrees that it will not terminate the Agreement' because of any default or breach thereunder on the part of Sublessee if Lender, within sixty (60) days after service of written notice on Lender by the City of its intention to terminate the Agreement for such default or breach, shall: (a) Cure such default or breach if the same can be cured by the payment or expenditure of money provided to be paid under the terms of the Agreement; or (b) If such default or breach is not so curable, cause the Trustee under the Trust Deed securing Lender's loan to Sublessee to commence and thereafter to diligently pursue to completion steps and proceedings for judicial foreclosure, the exercise of the power of sale under and pursuant to said Trust Deed in the manner provided by law, or accept from the Sublessee an assignment in lieu of foreclosure; and . (c) Keep and perform all of the covenants and conditions of the Agreement requiring the payment or expenditure of money by Sublessee until such time as said subleasehold shall be sold upon foreclosure pursuant to said Trust Deed, be released or reconveyed thereunder, sold upon judicial foreclosure or transferred by assignment in lieu of foreclosure; provided., however, if Lender shall fail or refuse to comply with any and all of the conditions of this paragraph, then and thereupon the City shall be released from the covenant of forebearance herein contained. 6. The prior written consent of the City shall not be required: (a) To a further assignment by Lender of its rights under the Agreement in connection with a transfer of the subleasehold interest under the Sublease at foreclosure sale under Lender's Trust Deed, under judicial foreclosure or by an assignment in lieu of foreclosure, or (b) To any subsequent assignment by Lender if Lender is the purchaser at such foreclosure sale; -2- t. • provided that in either such event Lender forthwith gives notice to the City in writing of any such assignment setting forth the name and address of the assignee, the effective date of such assignment and the express agreement of the assignee assuming and agreeing to perform all of the obligations of the Agreement together with a copy of the document by which such assignment was made. Any assignee under the above shall be liable to perform the obligations of Sublessee under the Agreement only so long as such assignee holds title to the subleasehold interest under the Sublease. Any subsequent assignment of the Agreement shall be made subject to the conditions relating thereto as set forth in the Agreement. 7. The City hereby represents and warrants to Lender that there exists no default under the Agreement or the Master Lease by any party thereto. Without limiting the generality of the foregoing sentence, there is no defense or offset to the enforcement of any of the rights of Sublessee under the Agreement and Sublessee is not in default of any of Sublessee's monetary obligations thereunder. 8. All notices and other communications required or permitted under this Consent to Assignment shall be in writing, served personally on, or mailed by certified or registered United States mail to, the party to be charged with receipt thereof. Notices and other communications served by mail shall be deemed given hereunder 48 hours after deposit of such notice or communication in a United States post office in Orange County, California, as certified or registered mail with postage prepaid and duly addressed to the party to whom such notice or communication is to be given, in the case of Lender, at Cambridge Capital Group, 2943 South Pullman, Street, Santa Ana, California 92705, Attn: Loan Servicing, or the City of Newport Beach at 3300 Newport Boulevard, Newport Beach, California 92663, Attn: Mayor, City Manager or City Clerk. Any such party may change said party's address for purposes of this Section 8 by giving to the party intended to be bound hereby, in the manner provided herein, a written notice of such change. 9. The provisions hereof shall be binding upon and inure to the benefit of Lender and its transferee(s). In this context, the City acknowledges that Lender intends to assign its. interest under the Agreement and the loan to Sublessee, and the City consents thereto under the terms hereof. IN WITNESS WHEREOF, the City has executed this Consent as of the day and year firstabove written. ATTEST: Approved as to or ,.•nd content. CITY OF NEWPORT BEACH BY(214ZI Vow City Manager -3- STATE OF CALIFORNIA ) ) ss COUNTY OF ORANGE ) On the 25th day of August, 1981, before me, the undersigned, a Notary Public in and for said State, personally appeared ROBERT L. WYNN, known to me to be the City Manager of the Municipal Corporation that executed the within instrument and acknowledged to me that such Municipal Corporation executed the same. WITNESS my hand and official seal. ++e+14+e +0,04e-sa3a$dh4bdr MISR!. Sat OCIRGT.r:1 i.. PN..'Pi t«MMRKf!'?.Sr.r, Ph1C.s':.1ti:':':cs7 GS,Uinz CCc::a MY Comn:i;;cn G;s:ii 5,1^25 X(J Notary Pg•1ic Assembly Bill No. 1422 CHAPTER 74 An act relating to tide and submerged lands in the City of Newport Beach, and in this connection repealing Chapter 494 of the Statutes of 1919, Chapter 70 of the Statutes of.1927, Chapter 142 of the Statutes of 1929, Chapter 574 of the Statutes of 1929, Chapter 813 of the Statutes of 1929, and Chapter 200 of the Statutes of 1931, and declar- ing the urgency thereof, to take effect immediately. [Approved by Governor April 6, 1978. Filed with Secretary of State April 7, 1978.1 LEGISLATIVE COUNSEL'S DIGEST AB 1422, Cordova. City of Newport Beach• tide and submerged lands. Chapter 494 of the Statutes of 1919 grants to the City of Newport Beach all tide and submerged lands that were within the city's boundaries on July 25, 1919, and bordered upon and were in front of the upland then owned by the city or such other upland as the city might have acquired after that date. Chapter 70 of the Statutes of 1927 grants tide and submerged lands bordering upon, in, and under Newport Bay and not granted to the City of Newport Beach or the County of Orange prior to July 29, 1927, to the city, Both grants are subject to the conditions that (1) the lands be used for a harbor and related facilities, as specified, for the promotion or accommodation of commerce and navigation, (2) the lands may be leased under certain circumstances, (3) the harbor be improved by the city and remain a public harbor, (4) no discrimination be permitted with respect to the harbor,'and related facilities, and (5) public fishing rights be reserved. Chapter 813 of the Statutes. of 1929 grants tide- lands, submerged lands, and filled lands lying within the corporate limits of the city, bordering upon, in, and under the Pacific Ocean, and not granted to the city or county prior to August 14, 1929, to the city subject to the identical conditions. Chapter 574 of the Statutes of 1929 supersedes a grant to the county made by Chapter 526 of the Statutes of 1919 and the grants to the city made by Chapter 494 of the Statutes of 1919 and Chapter 70 of the Statutes of 1927 by author- izing leases for 50, rather than 25, years (Chapter 526, Statutes of 1919, however, was amended by Chapter 575, Statutes of 1929 to provide for such 50-year period). Chapter 142 of the Statutes of 1929 and Chapter 200 of the Statutes of 1931 confirm the line of ordinary high tide in various parts of Newport Bay as established in specified judicial decrees, and Chapter 200 declares that certain lands lying above such line constitute natural accretion to described uplands and belong to and are a part thereof. This bill would repeal all of the foregoing provisions of existing law 95 30 Ch. 74 • — 2 and would grant in trust to the city all tide and submerged lands, whether filled or unfilled, bordering upon and under the Pacific .Ocean or Newport Say, which were within the corporate limits of the city.on July 25, 1919. This grant would be subject to conditions similarto those to which the aforementioned grants of 1919,1927, and 1929 were subject and would also be subject to the following addition- al conditions: (1) The city would be required to use the lands for specified recreational purposes and. facilities and to preserve, maintain, and enhance the lands in their natural state. (2) The city would be authorized to lease specified lots, as de- scribed, with rent therefor to be the fair market rental value of such lots as finished subdivided lots. (3) The city would be authorized to transfer granted lands to the state acting through the State Lands Commission for lease to the . . Department of Fish and Game for anecological reserve er wildlife refuge, or both, and other compatible uses to be undertaken by the department. (4) The city would be required to establish a separate tidelands trust fund and. to manage and expend tidelands revenues in a speci- fied manner. (5) The city's compliance with the terms of the grant would be subject to review by the State .Lands Commission, and the grant would be subject to revocation under certain circumstances. (6) The city would be required to pay to the state all revenues received from the production of oil, gas, and other minerals derived from, or attributable to, specified real property. Whenever practica- ble, the, city would be required to obtain mineral rights in certain real property. Further, the bill would require the: city to establish a city tideland capital fund, into which -revenue from the lots mentioned in (2), above, would be required to be deposited. Such revenues would be available only for the acquisition of real property that will further the purposes of the trust created by the bill and only with the approval of the commission. Further, the bill would release the lands consisting of the described lotygmentioned in (2), above, from the public trust for commerce, navigation, and fisheries upon the city's acquiring or transferring other lands, as approved by the commission, that will further the purpose of the trust:. The bill would also specify that the+Legislature reserves the right to amend, modify, or revoke, in whole or in part tidelands and sub- merged lands granted and conveyed in: trust pursuant to the: bill, provided that the state -would thereupori be required to assume all lawful transactions andobligations related' to such lands. The bill would provide that neither appropriation is made nor obligation created for the reimbursement of the city for apy:costs incurred by it pursuant to. the bill: > 95 60 The bill would take effect immediately as an urgency statute.. : The people of the State of California do enact as follows • SECTION 1. 'There is hereby: granted •to.the City of Newport Beach andits successors allof the'right, title,: and interest of the State<._ of California held by ,the state by virtue of its sovereignty in and to all that portion of the tidelands and submerged lands, whethei filled: • or unfilled, bordering.upon and under the Pacific Ocean or Newport Bay in the County of Orange, which were within the corporate limits of the City of Newport Beach, a municipal corporation, on July 25, 1919; the same to be forever held by the city and its successors in trust , , for the uses and purposes and upon: the following express conditions: (a) That the:lands shall be used by the. city and its successors for purposes in which there is. a general statewide interest, as. follows: (1) For the establishment, improvement; and.conduct of•a public. `.' harbor; and for the construction,.maintenance;-:and ,operation,: thereon of wharves, docks, piers, slips, quays, ways, and streets, and.. other utilities; structures, and appliances necessary or convenient for the promotion or accommodation of commerce and navigation..:• (2) For the establishment; improvement; and conduct of public bathing beaches, public marinas; public aquatic playgrounds; : and similar recreational facilities open to the general public; and for the construction, reconstruction, repair, maintenance, and operation of all works, buildings, facilities, utilities, structures,, and appliances incidental, necessary, or convenient for. the. • promotion and • - accommodation of any such uses; • (3). For the preservation, maintenance,. and enhancement of the lands in their natural state and the reestablishment of the natural... state of the lands sothat they may serve as: ecological units •foi:. scientific study, as open. space, and asenvironments which provide:.: food and.habitat for birds and marine life, and which favorably affect • the: scenery and climate of the area. (b) Except as otherwise provided in. this section; the city or its successors shall not, at any time, grant, convey, give; or alienate the lands, or any part thereof, -to any -individual, firm, or corporation for any .purposes whatever; except,: that the city or its successors may'. grant franchisesthereonfor ar period not exceeding 50• years for • wharves -and other public uses and-purposes'and may lease the lands,(• or any part thereof, for a period not exceeding 50 years for purposes..n:; consistent 'With the trust upon which the lands:are held by the state and 'with the uses specified in this section. . . (c) The lands shall be improired without:expense.to the state; •r• provided, however, that nothing contained in this act -shall: preclude expenditures for :the development of the -lands for: the:purposes authorized ,by this act, by. the- state, or any, board; . agency, or commission thereof, or :expenditures...by the city of: any funds: received for such purpose from the. state orany+board, agency, or 95 100 commission thereof. (d) In the management, conduct, operation, and control of the lands' or any improvements, betterments, or structures thereon, the _ city or its successors shall make no`diserimination in rates, tolls, or ' charges for any use or service in connection therewith. (e) The state shall have the right to use without charge any transportation, landing, or storage improvements, betterments, or • structures constructed upon the lands for any vessel or ;other watercraft or railroad owned or operated by the state. (f) There is hereby reserved to the people of the state the right to fish in the waters on the lands with the right ofconvenient access to the waters over the lands for such purpose, which rights shall be subject, however, to such rules and regulations as•are necessary for the accomplishment of the purposes specified in subdivision :(a) of this section. '(g) Notwithstanding any provision.of this section to the contrary, the city may lease the lots located within Parcels A, 13; arid C described in Section 6 of this act for the purposes set forth in this section and for a period not to exceed 50 years. The consideration to be received by the city for such leases shall be the fair market rental value of such lots as finished subdivided lots with, streets constructed and all utilities installed. The form of such leases and the range of consideration to be received by 1 the city shall be approved by the State Lands Commission prior to the issuance. of any such lease. All money received by the, city from such. existing and future leases, of such lots shall be deposited in the city tideland capital, fund in accordance with the provisions of this act. . (h) With the approval of the State Lands Commission, the city may transfer portions of the lands granted by this act, or held pursuant to this act, to the state aoting by and through the State Lands Commission, for lease to the Department of Fish and Game for an ecologies] reserve or wildlife refuge, or both; and other compatible' uses to be undertaken, by the department; provided; • However, that if at any time the Department of Fish and Gameno longer uses such portions of the lands so transferred by.the'city to the state for such purposes, the lands so transferred shall revert to the city to beheld pursuant to the. provisions of this act. Upon approving such a transfer from the city to the state, the State Lands Commission shall lease the lands so transferredto the Department of Fish and Game. The public benefitshall be. the sole consideration to be received by the State Lands Commission. from the Department of Fish and Game for that lease. Any.,and all income received by the Department of Fish and Game from ',the lands so leased shall be used only in. connection with the department's .improvement.. and administration of the leased lands..; (i)., The city shall establish a separate tidelands trust fund or funds in such manner as may be approved,by the State Lands Commission, and the city shall deposit in the fund or funds all moneys received • 95 130 • • — 5 -- Ch..74 directly from, or indirectly attributable to, the granted tidelandsin the city. (j) In accordance with the provisions of this act, the city, acting either alone or jointly with another local or, state agency, may use revenues accruing from or out of the use of the granted tidelands for any or all of the purposes set forth in this act. Such revenues maybe deposited in one or more reserve funds for use in accordance with the terms and 'conditions set forth in this act. (k) As to the accumulation and expenditure of revenues for any single capital improvement on the granted .lands involving an amount in excessof two hundred fifty thousand dollars ($250,000). in the aggregate, the city shall file.with the State Lands Commission a detailed description of such capital improvement not less than 90 days prior to the time of any disbursement therefor or in connection therewith. Within 90 days after the time of such filing, the State Lands Commission may determine and notify the city that such capital improvement is not in the statewide interest and benefit, or is not authorized by the provisions of subdivision 0) of this section. The State Lands Commission may request the opinion of the Attorney General on the matter; and, if it does so, a copy of such Opinion. shall be delivered to the city with the notice of its determination. In the event the State Lands Commission notifies the city that such capital improvement is riot authorized, the city shall not disburse any revenue for or in connection with such capital improvement unless and until it is determined to be authorized by a final order or judgment of a court of competent jurisdiction. The city is authorized to bring suit against the state for;the purpose of securing such an order or adjudication, which suit shall have priority over all other civil matters. Service of process shall be made upon the Executive Officer of the State Lands Commission and the Attorney General, and the Attorney General shall defend the state in such suit: If judgment be given against the state in such suit, no costs shall be recovered against it. (1) On June:30, 1978, and on: June 30 ofevery third fiscal year. thereafter, -that portion of the city tideland trust revenues in excess of two hundred fifty thousand: dollars .($250,000) remaining after deducting current and accrued, operating costs and expenditures directly related to the operation or maintenance .of tideland trust activities shall be deemed excess revenues. Ho vever, any funds deposited in a reserve fund for future capital expenditures or any Funds used to retire bond issues for the improvementor operation cif the granted lands shall not be'' deemed excess revenue. Capital improvements.of the granted lands' for purposes `authorized by this act, including such improvements on lands transferred to the state pursuant to subdivision (h) of this section and paid for liy the city, may be considered as expenditures for the purpose of determining excess revenues( provided; however; that if made after the effective date of this act they may be so considered only if made in accordance 95 130 r with subdivision (k) • of this section. The • excess revenue,: as determined pursuantto this subdivision, shall be allocated as. follows: 85 percent shall be transmitted to the State Treasurer for deposit in the General Fund in the State. Treasury; and 15 percent shall be retained by the city for deposit in the trust fund for .use for any purpose authorized bystibdivision (j) of this section. •(m) At the request of the city,: the State Lands Commission shall grant an extension of time, not to exceed 30 calendar days,.fof filing any report or statement required by this act, which was not filed due to mistake or inadvertence. (n) In the event that the city fails or refuses to file with the State Lands Commission any report, statement; or document required •by any provision of this act, or anyextension period granted pursuant to this act, or fails or refuses to carry out the, terms of this act; the Attorney. General shall, upon the request of the State Lands Commission, bring such. judicial, proceedings for correction and enforcement as. are appropriate, and shall • act .to protect any improvements to, or assets situated upon, the granted lands or diverted therefrom. The State'Lands Commission shall notify the Chief Clerk of the Assembly and the Secretary of the Senate within 30 days of the occurrence of such failure or refusal and of actions taken as a result thereof. , (o) The State Lands Commission shall, from time to time, recommend to the Legislature such amendments as it may deem necessary in the terms and conditions of this act. (p) The State Lands. Commission shall, from time to time, institute a formal inquiry to determine that the terms and conditions of this act,: and amendments thereto, have. been complied with in good faith. • (q) On. or :before December 31;of each year, the StateLands Commission shall report to the Chief Clerk of the Assembly and to the Secretary of the Senate the hill: details ofany transaction or condition reported to the commission pursuant to this act which it deems in probable conflict with the: requirements of this act or with any other provision of law. Upon: request by resolution of either house of the Legislature, or upon formal request of the .State Lands Commission made only after a noticed public hearing at.wbiohthe city has been given anopportunity.to express fully any disagreement with the commission's findingsorto describe any. extenuating circumstances.causing the violation;-the.Attorney'General shall bring an action in the Superior. Court in the County. of Orange to declare that the grant under which the city .holds such .tidelands -and submerged lands is revoked forgross and. willful violation: of the provisions of this act or any other. provision of law or to compel compliance with the requirements of this act and any other provision of law:• •(r)- The:city.shall cause .to be made;and filed annually with the State : Lands.. Division a, detailed statement of. receipts : and • • ss 18a • • Ch. 74 expenditures by it of all rents; revenues, issues, and profits in any manner arising after the effective date of:this act from the granted I lands or any improvements, betterments, or structures thereon.. (s) The Department of Fish and Caine shall establish the funds and make the deposits required by subdivision (i) of this section and shall prepare and file statements required' by subdivision (r) of this section as to.any lands transferred to the state pursuant to subdivision (h) of this section. (t) The provisions of Chapter 2. (commencing with Section 6701) of Part 2 of Division 6 of the Public Resources Code shall be applicable to this section. The provisions of Section 6359 of the Public Resources Code shallnot be applicable to this section. (u) Notwithstanding any other provision of this act, the city shall pay to the state all revenues received from the production of oil, gas, and other minerals derived from or attributable to the real property described in Section 6 of this act and the real property acquired by the city pursuant to Section 2 of this act. -Whenever practicable; the city shall obtain the mineral rights in.: real property acquired pursuant to Section 2 of this act, SEC. 2: The City of Newport Beach shall establish a city tideland capital fund as one of the funds required by subdivision (i) of Section 1 of this act. All money received by the city pursuant to the provisions of subdivision (g) of Section 1 of this act shall be deposited in the fund. The city may also deposit;such other.. income from the lands granted to the city in trust by this act as the city deems appropriate. All money in the fund shall be used by the: city in conformity with the following terms and conditions: . (a) Expenditures from the :fund may be made only for the acquisition of real property that will further the purposes of the trust created by this act and for capital improvements for such purposes, to be constructed on such real property -so acquired, and the operation and maintenance thereof. (b) The city is authorized to make such acquisitions of • real property by purchase, gift, or other conveyance; including, but not limited to, the transferr of city -owned property held in•a municipal capacity to the trust created by this" act. All such real property shall be held by the city in trust pursuant to the provisions of this act. (c) For purposes of this section, acquisitions of real property by the city for purposes of enhancing the lands: administered by the Department of Fish and Game pursuant to Chapter 415 of the Statutes of 1975 shall be deemed to be in•furtherance of the purposes of the trust created by this act. (d) No capital expenditure ortransfer pursuant.te subdivision (e) of this section may be' made from the fund without the advance approval of the State Lands Commission. (e) The city may expend municipal funds to acquire real property for purposes specified in this section. The city niay transfer amounts from the city tideland capital fund to reimburse municipalfunds for 95 200 55 Ch. 74 such expenditures, together with an appropriate amount of interest .. on such funds advanced, if such expenditures of municipal funds are made after the effective date of this actand the State Lands Commission gives advance approval of such a transaction. SEC. 3.The Legislature makes the following findings and • determinations: (a). By Chapter 70 of the Statutes .of 1927, as amended,. the Legislature conveyed certain tide and submerged lands in trust to the City of Newport Beach for the purposes therein stated, primarily for the promotion and accommodation of commerce and navigation: (b) Certain portions of such tide and submerged lands have been filled and reclaimed as a result of a plan of improvement of the . granted tide and submerged lands, including the development of a harbor facility. Such portions are as described in Section 6 of this act and hereinafter are referred to as Parcels A, B, and C. ' (c) Those portions of Parcels A; B, and C, as described in Section 6 of this act, which are shown as numbered Tots on. the Record of .. Survey recorded in Book 13, Page 42, and the Record of Survey recorded in Book 9, Pages 42 and 43; both in the office of the County Recorder of the County of Orange, together withthose portions of Parcel A, as described in Section 6 of this act, which are shown as numbered lots on the City Map of East Side Addition to Beacon Bay on file in the office of the City Engineer of the City of Newport Beach, being a relatively small portion of such granted tide and submerged lands, have been divided into lots and leased and are. producing income to support the statutory trusts under which such tide and submerged lands are held by the city, and, except for the production of income to support such trusts, are no longer required or needed for the promotion of such trusts. (d) The lots located within Parcels A, B, and C, inclusive, having been filled and reclaimed, are no longer submerged or below the mean high tide line and are no longer needed or required for purposes of navigation, commerce, and fisheries and are freed of the public trust for navigation, commerce, and fisheries, and may continue to be used for those purposes set forth in the existing leases and subleases of suchlots, but shall continue to be held in trust by the City of Newport Beach subject to the other terms and provisions of this act and other laws applicable to the tide and submerged lands included in the grant to the city. Further, such lots shall be so held subject to the condition that the revenues derived from the leasing or administration of such lots shallbe used as provided in this act. Nothing in this subdivision shall operate to terminate the public trust for navigation, commerce, and fisheries over those portions of Parcels A, B, and C which are streets and beaches of Newport Bay. The determination and finding set forth in this subdivision shall become effective as provided in Section 4 of this act. (e) The release of the lots within Parcels A, B, and C, inclusive, . from the public trust for commerce, navigation, and fisheries to the • • extent expressed in subdivision (d) of this section is inthe best interests of the people of the state. . SEC. 4. The findings and determinations in Section 3 of this act terminating the public trust for navigation, commerce, and fisheries over the lots located within Parcels A, B, and C shall become effective upon the city's acquiring or transferring such parcels of real property, pursuant to Section 2 of this act, .as the State- Lands Commission shall determine to be appropriate, taking into consideration the size of the area affected by the termination, the ,trust purposes that can be accomplished by such acquisition or transfer, and the value of the real propertyacquired or transferred and upon the recording of an appropriate document in the Office of the County Recorder of the County of Orange reflecting the State Lands Commission's determination.. SEC. 5. The lands granted pursuant to Section 1 of this act shall beheld by the city subject to the express reservation and condition that the state may at any time in the future use the lands, or any portion thereof, for highway purposes without compensation to the: city, its successors or assigns, or any person, firm, or public or private corporation claiming under it; except that, in the event improvements have been placed upon the property taken by the state for such purposes, compensation shall be made to the person entitled thereto for the value- of, such person's interest in the improvements taken or the damages to sbch. interest. The provisions of this section shall not be applicable to thelots locatedwithin Parcels A, B, and C. SEC. 6. The parcels of real property referred to in this act are prescribed as follows: PARCEL A Beginning. at Station No. 8 in the Line of Mean High. Tide per judgment rendered in Case No. 20436, Superior Court of California, County of Orange, recorded in Book 651, page 72 of Deeds,: records .. of said Orange County, said Station No. 8 being at the easterly terminus of that certain course in said Line of Mean High Tide shown as "North 71° 54' 00" West, 1573.34 Feet'"on a map of Tract No. 4003. recorded in Book 188, pages 13 through 19 of Miscellaneous Maps,., records of said Orange County, said beginning being a 1'/s" iron pipe as shown on said map of Tract No: 4003; thence along said Line of Mean High Tide, South 85° 40' 37" East; 606.01 feet to a point in a line parallel with and 100.00 feet easterly from the easterly line of Lot G asshown on a map filed in Book 9, pages 42 .: . and.43 of Record . of Surveys, records of said Orange County; thence along saidparallel, line South 160.46 feet to a point in the Ordinary High Tide Line per judgment rendered in Case No. 24026, Superior Court of California, County of Orange, recorded in Book 199, page 275 of Official Records of said Orange County, said point being the True Point of Beginning. of this description; thence along said Ordinary High. Tide Line the following courses: North 82° 30' 00" West, 297.66 feet to an angle point 95 270 Ch. 74 therein; thence South 84' 00' 00":.West, 160.00 feet; thence South 57 00' 00" West, 100.00 feet; thence South 32° 52' 00' Fast; 243.24 feet to aline that is parallel witlrand distant 28,00 feet northerly, measured at tight angles; from thei U.S. Bulkhead 'Line,: as shown on U.S. Engineer's;Map of ldarbor Lines of Newport Bay, dated March 20, 1936, and approved April 2a 1936; thence leaving said Ordinary High Tide, Line and along "Said 'parallel line East;, 148;00feet to the southeasterly cornet of Lot 19 as shown ona map filed in Book 9, Pages 42:and a of ltecord of Surveys, records cif said Orange County; thence along the. easterly line of said Lot 19 North 100.00 feet; thence.East40.00 feet; .thence South 100.00 feet; thence East 198.10 feet line parallel with and distant20.00 feet westerly, measured at right angles from that certaita'•.eourse andsoutherly prolongation thereof, 'recited as ,'`South, 460.46 feet";. thence. along said parallel line North' 132,00=feet;.thence:East .20.00 feet; thence North 104:64 feet to -the Tree Point', cif 113eginning of .this description. ' Containing;2.694 acres; rnoreYor less. . PARCEL ,B Beginning 'at U -S: - Bulkhead 'Station No. 200 as shown on snap entitled "Harbor Lines, Newport Bay Harbor, California,' Sheet 1 of o- of File Map No: 958 dated March 20, 1936, and approved April 28, 1936,' and on' --file in the office: of the 'U.S. Engineer, 'Los Angeles, California; also 1$ ing on the: Ordinary High Tide Line per judgment rendered in Case No; 24026;'Superior Court of California; County of, Orange, recorded°i i Book 399 page 275 of:Official Records of said Orange County; said:beginning heing.a 2" iron pipe as shown On a map of Tract 3867, recorded in; Book 301, pages 40 through 46 of Miscellaneaus; Maips, records of'said Orange; County; thence along said OrdinaryHigh Tide Line as'described in said Book 199; page 275 off official Heeords, North 39° 48' 00 West, 36.44:feet to a point in a line that is parallel with and distant 28.00 feet northerly,.ineasured at right angles, from the U.S. Bulkhead Line as shown on said U.S, Engineer's Map; said point also being the True Point of Beginning Of this description; thence continuing along said Ordinary High Tide Line,' North 39°' 48" 1l0"''4Vest;:432,17 feet; thence, leaving said Ordiltary'i3ir£h TideLine; South56" 56' 29" West, 32.24 feet to a point in a nontangent curve, concave northwesterly and having a radius of 171.63 feet; aradial line of said cilrve from said point hears North 67° 48' 00" West; thence'southerlyandsouthwesterly'along said curve 76.60 feet th'r"ough.,acentral angle' of, 25' 34' 20"• to a'' point' of nontang ney:with'a kne'that Is 'parallel with 'and distant 105.32 feet southwesterly, nteasul'ed at -right angles, fr'a u that certain course. recited akiove•'as "North. 39"48' 00" West; 432.17 feet" ;•thence along said parallel., fine South 30° 48' 00" East, 32827 feet to said line d`esetibe'd ' above as 'dieing,' parallel with and distant 28.00 , feet northprly,"area/aired at right'anglei, from the U.S. Bulkhead line,as sh6Wi4 on 'said U.W. Engineer's Map; thence along said parallel brie.^, EJsit; 137 00-feet to'the True Point Of Beginning of'thi§'description. 95 an; • • Containing 0.925 acre, more or. less. PABCEL.0 . Beginning at U.S. 'Bulkhead Station No. 200 as shown on map entitled "Harbor Lines, Newport Bay Harbor, California," Sheet 1 of 2°of File Map No. 958, dated March 20.1936, and approved April.28s' 1936, and on file in the office of the U.S, Engineer, Los Angeles, California, also being on the Ordinary High Tide Line per judgment rendered on Case No. 24026, Superior Court of California, County of Orange, recorded in Book 199, page 275 of Official. Records of said Orange County, said beginning being a 2".iron pipe as shown on a map of Tract No. 3867, recorded in Book 301, pages 40 through 46 of Miscellaneous Maps, records of said Orange County; thence along said Ordinary High Tide Line as described in said Book 199, page 275 of. Official Records, North 39° 48' 00" West, 539.22:.feet to the True Point of Beginning of this description; thence continuing North 39° 48' 00" West,.146.59 feet; thence .South .23°:57'::30" West along the southwesterly prolongation of that•.certain, course'. described in said Case No. 24026 as "North 23° 57' 30" East, 138,90 feet". a distance. of 126.34 feet to a line that is parallel ,with and distant 113.32 feet southwesterly, measured at right angles, from .that certain course recitedabove as "North 39° 48' 00' West, 146.59 feet"; thence along said parallel line, South 39° 48' 00" East, 137.64 feet to a point in a nontangent.curve,,concave northwesterly and having a radius of 131.63 feet,: said 'curve being .concentricwith and 40.00 feet northwesterly, measured radially, from that certain curve described in Parcel B above as having a radius' of.171.63 feet; a radial line of said curve from said point bears . North 39° 28' 52" West thence northeasterly and northerly. along said curve 74.56 feet through.a central angle of 32° 27'. 23"; thence tangent to said: curve, North 18° 03' 45" East; 50.27 feet to the True Point of Beginning: ofthis description: Containing 0.387 acre, more or Jess. SEC. 7. If any provision of this act or the application thereofto any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of this act which can be given effect without the invalid provisioner application; and to this end the provisions of this act are severable( SEC. 8. Chapter 494 of the Statutes of 1919 is repealed. SEC. 9. Chapter 70 of the Statutes of 1927 is repealed. SEC. 10. Chapter 142 of the Statutes of 1929.is repealed. SEC. 11. Chapter 574 of the. Statutes of 1929 is repealed. SEC. 12. Chapter 813 of the Statutes of,1929 is repealed. SEC, 13. Chapter 200 of the Statutes of 1931 is repealed. SEC. 14. No appropriation is made by this act, nor ,is any obligation created thereby under Section 2231 of the Revenue; and Taxation Code, for the reimbursement of the City of Newport Beach forany costs that may be incurred by it in carrying on -any program or performing any service required to be carriedon or performed by 95 320 Ch. 74 —12 — it by this act. SEC. 15. The Legislature reserves the right to amend, modify, or revoke, in whole or in part, the tidelands and submerged lands granted and conveyed in trust pursuant to this act; provided, that the state shall thereupon assume and be bound by all lawful transactions and obligations related to such lands entered into or created by the city during its holding of such lands. SEC. 16. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting such necessity are: In order that certain restrictions pertaining to certain parcels subject to this act may be removed as soon as possible, thereby providing for a more equitable return to the City of Newport Beach from its tidelands and assuring the proper use of such revenue by the city, it is necessary that this act take effect immediately. 95 330• 11K 1 4078 Pe 1429 RECORDING REQUESTED BY THE CITY OF NEWPORT BEACH AND WHEN RECORDED RETURN TO THE CITY OF NEWPORT BEACH 3300 Newport Blvd., Newport Beach, California 92663 No Tax Due TRANSFER OF MUNICIPAL PROPERTY TO CITY OF NEWPORT BEACH TIDELANDS TRUST WHEREAS, the City of Newport Beach Tidelands Trust, Chapter 74 of the Statutes of 1978, hereinafter "the Trust", empowered the City to add real property to the trust as part of a procedure for releasing a relatively small portion of the granted tidelands from the common law public trust; and WHEREAS, by this statute, the City is authorized to make such trust acquisitions of real property by transferring City -owned property held in a Municipal capacity to the trust; and WHEREAS, the City holds in its Municipal capacity a certain parcel of real property overlooking Upper Newport Bay, hereinafter "Subject Property," which it desires to so transfer to the Trust; and WHEREAS, the granting statute requires that the parcel to be transferred be appropriate in terms of its size, value and utility to the Trust; and WHEREAS, a study and investigation has been undertaken 4E,(l•C,bI7- L3 L • 03K 14078 P6 1 430 of the size of the area affected by the termination of the common law public Trust in comparison to the size of the parcel to be transferred to the Trust, the value of the parcel to be transferred, and the Trust purposes that can be accomplished by such a transfer; and WHEREAS, it has been determined that the size of the Subject Parcel, approximately six (6) acres, compares favorably with the size of the parcel to be released from the public Trust approximately four (4) acres; that the value requirement is met; and that the Subject Parcel, in its present condition, would further the purposes of the Trust by serving as a site for passive recreation, an ecological unit for scientific study, as open space, by enhancing the adjacent Department of Fish and Game Wildlife Preserve, and by providing a panoramic vista of Upper Newport Bay for public enjoyment; and WHEREAS, future development of the Subject Parcel will be in conformance with the terms of the Trust; and WHEREAS, on May 11, 1981 , the City Council of the City of Newport Beach approved this transfer of Municipal property to the Tidelands Trust, and the State Lands Commission took the action required by Chapter 74, Statutes of 1978 with respect to the transfer of the Subject Property to the Trust on May 28, 1981 (Ex4jbi re) NOW, THEREFORE, THE CITY, in its Municipal capacity, does hereby, by virtue of Chapter 74 of the Statutes of 1978, transfer, convey and quitclaim to itself in its capacity as Trustee of the Tidelands Trust, that certain parcel of real property situated in the City of Newport Beach, County of Orange, State of California, as more particularly described in "Description of Subject Parcel" attached hereto and by this reference incorporated herein. 2 • BK 1 4078 PG 1 431 IN WITNESS WHEREOF, the Grantor has caused these presents to be executed this 4day of __�, 1981. STATE OF CALIFORNIA 38 COUNTY OF ORANGE CITY OF NEWPORT BEACH BY i. I ��L!%4wu.G.c-- ayo ATTEST By Afaa CI y Cler On this �7dnday of , 1981, before me personally appeared JACQUELINE E. H tHER known to me to be the Mayor of the City of Newport Beach and known to me to be the person authorized to and who did execute the within instrument on behalf of the City of Newport Beach, a Municipal Corporation, and acknowledged to me that said City executed the same pursuant to the authorization of its Resolution No. 10041 adopted by the City Council on May 11, 1981. OFFICIAL SEAL DOROTHY L. PALEN NOTARY PUBLIC - CALIFORNIA PRINCIPAL OFFICE IN ORANGE COUNTY My Commission Expire April 5,1985 3 • B 14078 PG 1 432 . Pursuant to City Council Resolution No. 10041, the City of Newport Beach hereby accepts the right, title and interest in the subject property herein described in its capacity as trustee of the Tidelands Trust granted by Statutes 1978, Chapter 74 and consents to its recordation. Dated thiscne day of ___ , 1981. CITY OF NEWPORT BEACH ATTEST: /4%, City Clerk STATE OF CALIFORNIA ) ss COUNTY OF ORANGE On this 2-7 a ay of , 1981, before me personally appeared JACQUELINE E. ATHER known to me to be the Mayor of the City of Newport Beach and known to me to be the person authorized to and who did execute the within instrument on behalf of the City of Newport Beach, a Municipal Corporation, and acknowledged to me that said City executed the same pursuant to the authorization of its Resolution No. 10041 adopted by the City OFFICIAL SEAL DOROTHY L. PALEN NOTARY PUBLIC - CALIFORNIA PRINCIPAL OFFICE IN ORANGE CONNTY MY Cammmnn Expire Awn 5. 1985 APPROVE STATE STATE B Title Date At. tr Notary Publ D Y O CALIFO IA ANDS CO ISSION STATE OF CALIFORNIA ) 44 COUNTY OF SACRAMENTO ) BK 14078 PG 1433 On .thin v?rl Y-a - day o6 L� , 19F/ be6oxe me, the undenn.igned, a Notary Pub.Ci.c in and bon .the State od Ca L6okn.ia, with pn.incLpa! o66-Lce in the County o6 Sac amento, peneonaLLy appeared `t") ��� known to me to be the C� !. �(� b� -the STATE LANDS COMMISSION, STATE dF iALIFORhVi .the Commizoion .that executed .the within InotAument, known .to. be :the pennon who executed ,the within In6tAument, on behat6 o6 .the Comm,ine.Lon .there named, and acknowledged .to me .that auch Commi a.ion executed .the within .Ln4ijuanent pursuant .to a neeoLwtion o6 .ifin Connt 4ionen.6. WITNESS my hand and ob6.tcitat beat. JANE EVELYN SMITH NOTARY PUBLIC — CALIFORNIA COUNTY OF SACRAMENTO .My Commiaian expires Oct. 1, 1982 NOTARY PUBLIC R'N AyND FOR THE STATE OF CALIFORNIA Ali that .po of Newport Beach Book 1, Page 33, follows: WEST BAY PARK SITE rtion of Blocks 4, 5 a4+d64., , County of Orange, State•of -Miscellaneous Maps, records f# BK 14078.PO 1434 Irvine's Subdivision, in the City California, as per rap filed in of said County, described as • Beginning at the southwesterly terminus.of that certain course in the southeasterly -right-of-way line'of Irvine Avenue shown as North • 40 33'10" East 333.39 feet on Sheet 5 of County Surveyor's Pap 1-72 on file in•the office of the County Speyer. of said County; thence along sad right-of-way line North 40 38'10" East 303..39.feet; thence South 49 22'09" East•160.00 feet to: the beginning. of a•tangent . •curve concave._to the north and-.having•a.. radius of 260.0g feet; thence easterly•along said curve through a central angle.of 64 14'30" a distance of 291:52 feet; thence nontangeSt to said curve South 1922,'51" West 349:97 feet; -thence. South 70 37'09" East 31.97 eet to that certain course having a bearing and length,of.South 53 22'27" West 422.40 feet j the northerly baundary.of that certain. parcel . of land described in -deed to the State'of California'recorded•in Book 11382,.Page'1876 gf Official ..Records of said County; "thanes. along said boundary South 53 24'17 West`338.26 feet;. thence North 36 35'43" West 95.87.feet to a point on a nontangent 175..00 foot radius cure that is concave to the northeast, a radial_ to said point bears South. 1 18'21" East; thence northwesterly along said last mentioned curve, through a central angle .of 72011'59", a distance of 220.5'2 feet to the beginning of•a.reverse curve' concave. to the•.southwest.and having a radius of 175.00 feet; thence northw6sferly along said last mentioned curve, through a central angle of.44.45'00", a distance Of. 136.68 feet; thence North 63 51122" West 23.07'feet to a'point.in the, southeasterly right-of-way line of -said Irvine Avenue; -said point. being•in a 725.00 foot radius curve concave to the southeast, a..radial to said point•bears North 63 51'22" West;' thence no.rthe$s.terly along said last mentioned curve, through a central angle of.14 29'32";•a distance of.183.38 feet to the point of beginning. DESCRIPTION OF SUBJECT PARCEL 1 5 • try \ • as7 •rr 0 '(� a e 0V• CY Cu ,I v 4 << Cc c J/1� ��Aei • TA \V vVV J CI oiP7 ��y��J� • \Ipot ji8 AP. /ISM.: i v .. G= BK 1 4078 P6 1 435 fcf10. f} 1 a etc. J•,./774,`) `27&yz6 P9 it) • •2vr7 /""ls SUM?; )&e ) MEETING OF THE STATE L1NOS COMMISSION - Gf-1' `(/: 7/O Hon, CaliforniaLk4 ail '0" State Capitol A ,6 Sacramento, Ca L KENNETH CORY, STATE CONTROLLER, CHAIRMAN MIKE CURB, LIEUTENANT GOVERNOR, COMMISSIONER MARY ANN GRAVES, DIRECTOR OF FINANCE, COMMISSIONER Thursday - May 28, 1981 10:00 a.m. CONSENT CALENDAR Items shown below are judged to be non -controversial. A written objection with reasons directed to the State Lands Commission's staff, 1807 - 13th Street, Sacramento, California 95814, will be sufficient to remove the item from the consent list. Cl. MR. MAX BADER (APPLICANT); Approval of a 20-year General Permit - Recreational and Residential Use, patented tidelands and State-owned submerged land lying beneath existing facilities at 12 Sandy Beach Road, Vallejo, Solano County. - (Grlmmett; W 22293) C2. JERRY LEVY (APPLICANT); Approval of a 20-year General Permit - Recreational and Residential Use, tide and submerged land located near Black Point, Marin • County. (Crimmett; W 22662) C3. PACIFIC TELEPHONE AND TELEGRAPH COMPANY (APPLICANT); Approval of a Continuous Use plus 1-year General Permit - Right -of -Way Use, tide and submerged land located in Pudding Creek near Fort Bragg, Mendocino County. (Crimmett; W 22713) C4. PACIFIC TELEPHONE AND TELEGRAPH COMPANY (APPLICANT); Approval of a Continuous Use plus 1-year General Permit - Right -of -Way Use, tide and submerged land located in Big River near Mendocino, Mendocino County. (Crimmett; W 22516) C5. PACIFIC TELEPHONE AND TELEGRAPH COMPANY (APPLICANT); Approval of a Continuous Use pies 1-veer General Permit - Right -of -Way Use, tide and submerged lands, located in Middle PEver between Bacotl island and lower Jones Tract, near Stockton, San Joaquin County. (Gordon; W 22735) C6. BAR ALE, COMET FEEDS, INC. (APPLICANT); Approval of a 25-yenr General Permit - Protective Structure Use, tide and submerged land located in the Petaluma River, City of Petaluma, Sonoma County. (Crimmett; W 22660) C7. STATE OF CALIFORNIA, DE?nRTMENT OF FISH AND GAME /:.e.SSEE); Approval c.' :. Amendment to a 66-year Public Agency Lease, PRC 5714.9, tide and submerged lands ac Point Edith, Contra Costa County. (Lewandowski/Townsend; PRC 5714.9/to 22684) C8. HAROLD CLAUDE TAYLOR AND CAROL C. TAYLOR (ASSIGNOR) RECREATION AND MARINA PROPERTIES; INC., JERRY C. GRAHAM AND BETTY A. GRAHAM (ASSIGNEE); Approval of the assignment of a General Lease - Commercial Use, No. 4082.1, tide and submerged lands, located in Whiskey Slough, San Joaquin County. (Gordon; WP 4082) C9. HAROLD C. TAYLOR AND CAROL G. TAYLOR (ASSIGNOR) RECREATION AND MARINA PROPERTIES, INC., JERRY C. GRAHAM AND BETTY A. GRAHAM (ASSIGNEE); Approval of the assignment of a General. Lease - Commercial Use, No. 5792.1, tide and submerged lands located in Whiskey Slough, San Joaquin County. (Gordon; WP 5792) C10. IMPERIAL THERMAL PRODUCTS, INC. (ASSIGNOR) BEAR CREEK MINING COMPANY (ASSIGNEE); Approval of the assignment of a General Lease - Industrial Use, Lease Ho. PRC 3452.1, sovereign :and located at Salton Sea, Imperial County. (Louie; WP 3452) C11. THE HUNTINGTON PARTNERSHIP (LESSEE); Approval of an Amendment to a 42-year General Lease - Commercial Use, tide and submerged land located in Huntington Harbour, Orange County. (Atkins; PRC 3376.1) C12. MILTON A. BLAIR (APPLICANT); Approval of an Amendment to Lease PRC 5008.2 to eliminate the liability insurance provision on State school land in San Bernardino. County. (Childress; W 22031). . C13. CHRISTINE A. FREER; HERMAN C. BARCHET; REINHOLD H. BARCHET (CURRENT LESSEES); Approve the continuation of annual rental for a 10-year General Permit - Recreational Use. (Omand; PRC 4840) C14. PACIFIC CAS AND ELECTRIC COMPANY (CURRENT LESSEE); Approve the continuation of annual rental for a 49-year Ri ghc-oE-Way Lease, tide and submerged lands located in the South Fork of the Mokelumne River, San Joaquin County. (Cordon; PRC 4636) C15. BELARDO COMPANY (CURRENT LESSEE); Approve the continuation of annual rental for a 20-year Non -Commercial Lease, PRC 4632.1, tide and submerged land Located in Cbrce Madera Creek, Marin County. (Lewandowski; UT 4632) C16. ZUCKERMAN - MANDEVILLE, INC. (LESSEE); Approve the setting of a revised rental for a l5-year Right -of -Way Lease, PRC 647.1, tide and submerged lands located in the bed of Middle River between Henning Tract. and Mandeville island, San Joaquin County. (Cordon;.PRC 647) THE UNDERSIGNED. ACTING M THIS BEHALF FOR INC STATE LANDS COMMISSION, HAS HEREBY CERTIFIED. THAT THE ANNEXED IS A -WHOLE. TRUE AND CORRECT Dell OF THE ORIGINAL RECORD COPY. CONSISTING OF -..Y.. PARTS. ON FILE IN THE OFFICE Of THE STATE LANDS COMMISSION, THAT SAID COPY HAS BEEN COM- PARED BY THE UNDERSIGNED WITH THE ORIGINAL. AND IS A CORRECT TRANSCRIPT THEREFROM. IN WITNESS WHEREOF. THE UNDERSIGNED HAS EXECUTED THIS CERTIFICATE AND AFFIXED THE SEAL OF THE STATE LANDS COMMISSION THIS r/, C/ DAT OF e7M A.D. ID er/ 0 a CO V 0 m to ct e- at ach d • BK 14078 Pe 1437 C17. PORT STOCKTON BOATERS, INC. (LESSEE); Approve the setting of a revised rental for a 15-year General Lease - Commercial Use,. PRC 2771.1, partially filled tide • and submerged lands located In the San Joaquin River, San Joaquin County. ' lfjar,(2,jCordon; FRC 2771) - ff4118. HAROLD M. AND REBECCA A. MCCABE (LESSEE); Approve the setting of a revised rental • for a 15-year General Lease - Commerial Use, PRC 301.1, tide and submerged Land located in the Mokelumne River, Sacramento County. (Reese; WP 301) C19. SAN JOAQUIW'DELTA POWER SQUADRON (LESSEE); Approve the setting of a revised rental for a 10-year Non -Commercial Lease, PRC 5212.1, tide and submerged.lands located in the San Joaquin River, San Joaquin County. (Gordon; PRC 5212.1). C20. NOVATO SANITARY DISTRICT (LESSEE); Approval of authorization to change Construction Limiting Dates on a General Permit - Public Agency USE, PRC 5965.9, for construction and maintenance of an effluent force main and power cable across Simons Slough, ' Karin County. (Reese; PRC 5965) C21. UNITED STATES FOREST SERVICE KLAMATH NATIONAL FOREST (TRESPASSER); Authorization . • for the staff of the State Lands Commission co submit a claim for damage to the United States Forest Service for the settlement of the September, 1980 timber •trespass on the NEk, SE%, Section 16, T40N, RIOW, ROM, Siskiyou County. (Bjoraen; W 20316) - C22. 1) Lawrence G. Rouse; 2) Ann M. Wallis; 3) Reuben W. Hills, III; 4) Patricia D. Hagen; 5) Donald G. Penkoff; 6) James H. DeWald; 7) John E. Billings; 8) R. Virgil Allen; 9) V. Irwin Sprague, Jc.; 10) Leland C. Nelson (Applicants); -Approval of 10 Recreational Pier Permits; 3 at Lake Tahoe, Placer County; 1 at Lake Tahoe, El Dorado County; 3 at Huntington Harbour, Orange County; 1' at Whiskey . Slough, San Joaquin County; 1 at Georgiana Slough, Sacramento County; 1 at Sacramento River, Sacramento County. (0mand; WP 3543, WP 3569, WP 3573, WP 3574, WP 3883, WP 4314, WP.4593, WP 5123, WP 5159, W 22601)' REGULAR CALENDAR 23. WESTEC SERVICES, INC. (CONTRACTOR); Approval of contract with Westec Services, Inc. for experimental testing for Dust Storm Abatement determinations, Owens Dry Lake, Inyo County. (Schaefer; W 40174). 24. BRUCE CONN; MARK SCOTT ANNERL; KENNETH BLACK; CHARLES W. LECEMAN (APPLICANTS); Approval of a 40-year General Lease - Commercial Use, filled sovereign land located in the City of Seal Beach at' the intersection cf First Street and Pacific Coast Highway in Orange County. (A. Scott; WP 4432) 25. INDEFENDENt VALLEY ENERGY COMPANY (APPLICANT); Approval of a 20-year General Lease - Right -of -Way Use, sovereign land located in Kern River at Bakersfield, Kern County. (Louie; W 22724) 26. SAN DIEGO GAS & ELECTRIC (LESSEE); Approval of renewal and amendment of Encino Terminal Lease PRC 791.1 to provide for Volumetric Rental and current lease covenants and conditions. (Horn; WP 791) 27: CItY OF NEWPORT BEACH (TRUST GRANTEE) (BEACON BAY); Pursuant to State.'1978, Ch. 74, determine that the transfer to the trust of a certain parcel of city owned real property is appropriate. (Rasmussen; C 09-02.4)' 28. PORTION OF THE COLORADO RIVER; DAVIS LAKE AREA, BODN"ARY LINE AGREEMENT WITH TWENTY-TWO (22) INDIVIDUAL OWNERS REPRESENTED BY 0. M. LLOYD; Approve and authorize the execution of a Boundary Line Agreement (8LA 204) between the State Lands Commission and various upland owners settling title and boundary dtspures on lands located adjarent co a portion of the Colorado River - Davis Lake Area in Section 8, T11S, R22E, 5061, Imperial County. (Scott/Williams; W 20693;102) 29. CALIFORNIA DEPARTMENT OF FORESTRY; Approval of a Management L Elan and authorization for California Department of Forestry to proceed with a forest demonstration project on a 26-acre parcel of State school land near Summit City,'Shaste County. (Shiner; W 22484) • THE UNDERSIGNED. ACTT THIS 9t HALF FOR IRt STATE LANDS COMMISSI 9 HEREBY CERTIFIED, THAT THE ANNEXED IS A LE. TRUE AND CORRECT. CCP&pF THE ORIGINAL RECORD COPY. CONSISJING OF ,,.. PARTS, ON FILE IN THE OFFICE OF THE STATE LANDSCOMMISSION; THAT SAIO COPY HAS BEEN COM- PARED BY THE UNDERSIGNED WITH THE ORIGINAL, AND CALENDAR ITEM 'B A CORRECT TRANSCRIPT THEREFROM. IN WITNESS WHEREOF. THE UNDERSIGNED HAS EXECUTED THIS CERTIFICATE AND AFFIXED THE SEAL Of T11E STATE LAND 1A) 17 • COELMISSION71111131i,MY' .G 1 AI9. 1�CµN• tletiq SUMMARY OF PROPOSED COMPLIANCE WITH STATS. 1978, CH. 74 (BEACON BAY) BY CITY OF NEWPORT BEACH a /81 CD 09-02.4 �► asmussen Co -v 0 HISTORY AND BACKGROUND: The first legislative grant of tide and submerged lands to the City of Newport Beach was made in 1919. Thereafter, in 1927, certain portions of the tidelands were filled and reclaimed as part of a plan of improvement which included the dredging of a channel to navigable waters of Newport Bay and development of a harbor facility. In 1938 a small portion of the filled tidelands, together with adjacent uplands, were leased for, inter alia, residential purposes. Subdivision of the land and the construction of residences followed. This area, known as Beacon Bay, has been a residential community under lease from the city since that time. Questions regarding the private, exclusive use of said filled tidelands for residential purposes were resolved by the Legislature's amendment of the City of Newport Beach tidelands grant in 1978. (Stats. 1978, ch.. 74.) The Legislature therein determined that the filled, leased tidelands, comprising approximately three acres, are a relatively small portion of the city's granted tide and submerged lands, that through the leases the lands are producing income to support the statutory tidelands trusts, and, except for the production of income to support such trusts, the lands are no longer required or needed for the promotion of such trusts or for purposes of commerce, navigation, and fisheries. The Legislaturetherefore found that the filled tidelands were to. be freed of the Common Law Public Trust and couldcontinue to be leased for residential purposes provided that: A 74 S 36 -1- CALEUDAA PAGE MINUTE PAGE 106 1 Co Co (Rev..5/27/81)- • • • •K 1 4078 PG 1439 CALENDAR ITEM N0. 27 (CONTD•) 1. The city acquire or transfer such parcels of real property to the trust as the Commission determines to be appropriate, taking into consideration the size of the area to be freed from the trust and the utility and value of the land to be conveyed to the trust; 2. The Commission's determination regarding the substitute property be reflected in an appropriate document and recorded in the Office of the County Recorder of the County of Orange; 3. If the city chooses to lease the freed tidelands for residential use, the Commission must approve the form of. such leases and the range of consideration (fair market rental value as finished subdivided lots with streets constructed and utilities installed) prior to the issuance of any such lease; 4. The lands freed from the Common Law Public Trust for commerce, navigation, and fisheries shall continue to be'. held in trust by the city subject to the other terms and provisions of the statutory grant to the city and other laws applicable to tide and submerged. lands;. 5. The revenues derived from the leasing or administration of the filled tidelands shall be deposited in a separate city tideland capital fund for the acquisition of real property to further the purposes. of the trust and for capital improvements thereon, and for the operation and maintenance of any acquired property or capital improvements;. 6. The Public Trust for Commerce, Navigation, and Fisheries is.not to be terminated over the streets and beaches of the filled tidelands. TRANSFER OF REAL PROPERTY TO THE TRUST: The City of Newport Beach proposes to comply with the statutory prerequisite that a substitute parcel be conveyed to the trust prior to the filled tidelands being freed from the trust by transferring to the trust CALENDAR PAGE MINUTE PAGE 107 BK 14078 PG 1440 CALENDAR ITEM No. 2 7 (CONTD) a parcel of real property of approximately six acres which it owns in its municipal capacity. The property was granted to the city by the Irvine Company as mitigation for a subdivision approved by the city and is located on a bluff overlooking Upper Newport Bay. Its easterly boundary coincides with the area operated by the State Department of Fish and Game as the Upper Newport Bay Ecological Reserve. Its westerly boundary runs along Irvine Avenue providing more than adequate access to the parcel. The Irvine grant was conditioned upon the property's use only for public park purposes. This coincides with the city's proposal to designate the land as a public park/view area in its present undeveloped condition, thereby taking advantage of its scenic location. The parcel is labeled "Proposed Acquisition Parcel" on Exhibit "A". (A copy of the legal description and map is available in the Office of the State Lands Commission, Sacramento, and incorporated herein by reference.) In reviewing the city's proposal, Commission staff considered the size of the area affected by the termination of the Common Law Public Trust in comparison to the size of the parcel to be transferred to the trust, the trust purposes that can be accomplished by the proposed transfer parcel, and the value of the proposed transfer parcel as is directed in Chapter 74 of the Statutes of 1978. Size: The filled tidelands to be freed from the Common Law Public Trust consist of .the residential lots within three separate parcels labeled A, B, C on Exhibit "A" attached. The residential lots within the three parcels total 2.8 acres more or less, out of an approximate total area of over 12,400 acres of tide and submerged land granted to the City of Newport Beach. Since the proposed acquisition parcel to be transferred to the trust contains approximately six acres,the size comparison between the two is favorable to the public trust. Utility: In its present undeveloped condition, the transfer parcel would further the purposes of the trust by serving as a site for passive 1 -3- (Rev. 5/27/81) CALENDAR PAGE' 1 08 MINUTE PAGE • . 1 4078 PG 1 44 1 CALENDAR ITEM NO. 2 7(CONTD) recreation, an ecological unit for scientific study, as open space, and as a lookout point providing a panoramic vista of Upper Newport Bay for public enjoyment. Moreover, the fact that this parcel is located immediately adjacent to and overlooking the Department of Fish and Game's Upper Newport Bay Ecological Reserve enhances the reserve and also expands the trust utility of the parcel. The development plans for this parcel include a possible Fish and Game interpretive center for the ecologicalreserve and a natural history museum. Thus, the parcel offers opportunities for diverse trust uses and is accessible to the public as well, thereby resulting in considerable utility to the trust. Value: The last area of consideration u� the terms of Chapter 74, the value of the proposed acquisition parcel, was studied in a staff appraisal of the lands. (A copy of the appraisal is in the Office of the State Lands Commission, Sacramento, and is incorporated by reference herein.) The value of the land as developable to its highest and best use (residential) is $280,000 per acre or $1,680,000 total. Restricted to park use, its value is $162.,221 per acre or $973,330 total. Staff believes that tine proposed acquisition parcel would be a valuable asset to the trust. LEASE FORMS AND RANGE OF CONSIDERATION: Section 1(g) of Stats. 1978, ch. 74, allows the city to lease the filled tidelands, portions of Parcels A, B, and C, for residential purposes at fair market rental value as finished subdivided lots with streets con- structed and all utilities installed for a period not to exceed 50 years. Before any lease is issued, however, the statute requires that (1) the form of the leases and (2) the range of consideration be approved by the State Lands Commission. The city has made the decision that it is in its' best interest to so lease all of the lots within the community of Beacon Bay. Not all of the lots are on filled -4- 'CALENDAR PA13E MINUTE PACE 109 •.14078pe 1 442 CALENDAR ITEM N6. 9_7(CONTD) tidelands, however. Some are located on adjacent uplands owned by the city in it's municipal capacity. The Commission is herein concerned only with the filled tidelands lots. In this connection, staff has worked closely with the city to develop forms for the leasing of the former tidelands lots. (These forms will also be used in. the leasing of the upland lots.) The city proposes to lease each residential lot individually and to lease the common areas to the Beacon Bay Community Association. However, the leases cannot begin to run until January 1988 because of a pre-existing lease which does not expire until December 31, 1987 ("Beek Lease"). For this reason, the city has prepared an "Agreement to Lease," running from the date of execution to December 1987, wherein the city will contract with individual Beacon Bay homeowners to lease to them beginning in 1988 and for this promise the city will receive consideration equal to fair market rental value less the amount each homeowner must pay under pre-existing subleases ("Beek Subleases"). In the agreement to lease, the Beacon Bay homeowners will be compensated for entering into this agreement through recognition of their "annualized rental advantage." The leases will run from January 1988 to July 2006. In the opinion of staff, the agreement to lease and lease forms are comprehensive and equitable and adequately protect the public interest. Of particular importance is the express agreement therein contained to hold open the common areas on tidelands to the public. Fair market rental value has been ascertained through an appraisal conducted by George Hamilton Jones, M.A.I., at the request of the city. (A copy of the appraisal and explanatory letters from Mr. Jones dated May 8, 1981 and May 20, 1981 are on file in the Office of the State Lands Commission, Sacramento and are incorporated herein -5- CALENDAR PACE MINUTE PAGE 110 • . 1 4078 PG 1 443 CALENDAR ITEM NO., 2 7(CONTD) by reference.) It should be noted that the rental increases provided for both in the agreement to lease and lease will insure that the rents received by the city will always reflect the prevailing real estate market increases but will never decrease below the initial rental which has as its basis the fair market rental value of the property as of September 1980. Staff has reviewed the appraisal and has found it to be exhaustive, complete and based on sound appraisal principles. Exhibit "0" attached is a list of the fair market rental value for each tideland lot which will constitute the net rent to be received by the city for each lot if an agreement to lease is entered into on or before July 1, 1981. ("Schedule of Rents") Adjustments to this amount to accommodate, inter alia, pre-existing Beek subleases, the later execution of the Agreement to Lease and transfers of interest will be computed as provided in the agreement to lease form. All of the leases will expire on July 1, 2006. The city has determined that greater land management options will thereby be available to the city at the expiration of the residential leases. It is this concern for the ability to reconsider uses of the filled tidelands as well as the uplands that has also led the city to favor a lease term of 25 years. The city believes that a term longer than 25 years is an excessive commitment to residential use and that other uses may be more appropriate in the future. However, the city did study the advisability of a longer term by computing the rental income a longer lease term would provide. This analysis revealed that the city would receive.a 12.4% annual increase in rentalswith a 35-year lease term. When balanced against the ten years' additional commitment to residential use, it was determined not to offset the disadvantage. The city also determined that the value of present dollars outweighed the benefits to be derived from waiting until 1988 to contract with the Beacon Bay homeowners. It should be -6- CALENDAR PAGE MINUTE PAGE BK 14078 PG 1 444 CALENDAR ITEM NO. 2 7 (CONTD) noted that the city charter restricts the city's ability to contract for a term longer than 25 years without voter approval. The transfer of the city owned property to the trust and the lease forms were approved by resolution of the City of Newport City Council on May 11, 1981. Staff considers these resolutions to be reasonable adminis- trative and business judgments wherein the income to the trust is maximized and yet flexibility as to future land use is maintained. (Copies of these resolutions are on file in the Office of the State Lands Commission, Sacramento, and are herein incorporated by reference.) The City will receive approximately $225,000 this year for trust purposes if all parties execute the necessary documents on or before July 1, 1981 (and will increase thereafter) as opposed to the previous annual rental of approximately $5,311 it is presently receiving from this property. EXHIBITS: A. Site Map. B. List of Effective Net Rent to be Received by the City for Each Tideland Lot if the Agreement to lease is Entered into on or before July 1, 1981. ("Schedule of Rents"). IT IS RECOMMENDED THAT THE COMMISSION: 1. FIND THAT IN ACCORDANCE WITH THE LEGISLATURE'S FINDINGS UNDER CHAPTER 74 OF THE STATUTES OF 1978, CERTAIN PORTIONS OF THE TIDE AND SUBMERGED LANDS GRANTED TO THE CITY OF NEWPORT BEACH IDENTIFIED HEREIN AS PARCELS A, B, AND C HAVE BEEN FILLED AND RECLAIMED AS A RESULT OF A PLAN OF IMPROVEMENT OF THE GRANTED TIDE AND SUBMERGED LANDS. 2. FIND THAT IN ACCORDANCE WITH THE FINDINGS OF THE LEGISLATURE IN CHAPTER 74, STATUTES OF 1978, PORTIONS OF PARCELS A, B, AND C, BEING A RELATIVELY SMALL PORTION OF SUCH GRANTED TIDE AND SUBMERGED LANDS, HAVE BEEN DIVIDED INTO RESIDENTIAL LOTS AND LEASED, AND ARE PRODUCING INCOME TO SUPPORT THE STATUTORY TRUSTS UNDER WHICH -7- CALENDAR PAGE MINUTE PAGE 112 • •K 14078 Pe 1445 CALENDAR ITEM 'NO. 2 7 ( CONTD ) SUCH TIDE AND SUBMERGED LANDS ARE HELD BY THE CITY,. AND, EXCEPT FOR THE PRODUCTION OF INCOME TO SUPPORT SUCH TRUSTS, ARE NO LONGER REQUIRED OR NEEDED FOR THE PROMOTION OR PURPOSES OF COMMERCE, NAVIGATION, AND FISHERIES. 3. FIND THAT IN ACCORDANCE WITH THE FINDINGS OF THE LEGISLATURE IN CHAPTER 74, STATUTES OF 1978, THE RESIDENTIAL LOTS LOCATED WITHIN PARCELS A, B, AND C, INCLUSIVE, HAVING BEEN FILLED AND RECLAIMED, ARE NO LONGER SUBMERGED OR BELOW THE MEAN HIGH TIDE LINE AND ARE NO LONGER NEEDED OR REQUIRED FOR PURPOSES OF NAVIGATION, COMMERCE, AND FISHERIES AND ARE FREED OF THE COMMON LAW PUBLIC TRUST FOR NAVIGATION, COMMERCE, AND FISHERIES UPON THE RECORDING OF THE DOCUMENT TRANSFERRING THE PARCEL OF PROPERTY TO THE TRUST DESCRIBED BELOW. SUCH RESIDENTIAL LOTS MAY CONTINUE TO BE USED FOR THOSE PURPOSES SET FORTH IN THE EXISTING LEASES AND SUBLEASES OF SUCH LOTS, BUT SHALL CONTINUE TO BE HELD IN TRUST BY THE CITY OF NEWPORT BEACH AS PROVIDED BY AND. SUBJECT. TO THE OTHER TERMS AND PROVISIONS OF CHAPTER 74 OF THE STATUTES OF 1978, AND OTHER LAWS APPLICABLE TO THE TIDE AND SUBMERGED LANDS INCLUDED IN THE GRANT TO THE CITY. FURTHER, SUCH RESIDENTIAL LOTS SHALL BE SO HELD SUBJECT TO THE CONDITION THAT THE. REVENUES DERIVED FROM THE LEASING OR ADMINISTRATION OF SUCH LOTS SHALL BE USED AS PROVIDED IN CHAPTER 74 OF THE STATUTES OF 1978. NOTHING IN THIS ACTION SHALL OPERATE TO TERMINATE THE PUBLIC TRUST FOR COMMERCE, NAVIGATION AND FISHERIES OVER THOSE PORTIONS OF PARCELS A, B, AND C WHICH ARE STREETS, ALLEYS, WALKS, AND BEACHES OF NEWPORT BAY. 4. FIND THAT THE TRANSFER OF THE PROPOSED ACQUISITION PARCEL TO THE TRUST CREATED BY CHAPTER 74, STATUTES OF 1978 AS A PREREQUISITE FOR THE RELEASE OF THE RESIDENTIAL LOTS WITHIN PARCELS A, B, AND C, INCLUSIVE, FROM THE COMMON LAW PUBLIC TRUST FOR COMMERCE, NAVIGATION, AND FISHERIES IS APPROPRIATE AND IN THE BEST INTERESTS OF THE PEOPLE OF THE STATE OF CALIFORNIA TAKING INTO CONSIDERATION THE SIZE OF THE AREA AFFECTED BY THE TERMINATION, THE TRUST PURPOSES THAT CAN BE ACCOMPLISHED BY SUCH TRANSFER AND THE VALUE OF THE PROPERTY TO BE TRANSFERRED (SAID CONSIDERATIONS BEING MORE FULLY SET FORTH ABOVE). 5. APPROVE THE CITY OF NEWPORT BEACH'S PROPOSAL TO TRANSFER TO THE TRUST THAT PARCEL OF REAL PROPERTY REFERRED TO HEREIN AS THE "PROPOSED ACQUISITION PARCEL" SHOWN ON EXHIBIT "A" HERETO AS FULFILLING THE REQUIREMENTS -8- CAIENDAA PAGE. MINUTE PAGE 113 (Rev. 5/27/81) • gel 4078 Ps 1 446 CALENDAR ITEM NO. 27 (CONTD) OF CHAPTER 74, STATUTES OF 1978, SECTION 4, THEREBY FREEING FROM THE COMMON PUBLIC TRUST FOR COMMERCE, NAVIGATION, AND FISHERIES, THE RESIDENTIAL LOTS LOCATED WITHIN PARCELS A, B, AND C, WHICH ARE DESCRIBED IN CHAPTER 74, STATUTES OF 1978, SECTION 6, UPON THE RECORDING OF AN APPROPRIATE DOCUMENT IN THE OFFICE OF THE COUNTY RECORDER OF THE COUNTY OF ORANGE. 6. FIND THAT THE CITY OF NEWPORT BEACH IS NOT ENTITLED TO REIMBURSEMENT FOR THE COST OF ACQUISITION OF THE PROPOSED ACQUISITION PARCEL AS PROVIDED IN SECTION 2(e) OF CHAPTER 74, STATUTES OF 1978, SINCE NO COSTS WERE INCURRED TO THE CITY IN ACQUIRING SAID PARCEL. 7. APPROVE THE CITY OF NEWPORT BEACH'S PROPOSED "AGREEMENT TO LEASE" AND "LEASE AGREEMENT" FOR THE INDIVIDUAL PARCELS AND FOR THE COMMON AREAS. (ALL OF THE ABOVE DOCUMENTS BEING THOSE APPROVED BY THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ON MAY 11, 1981, WHICH ARE ON FILE IN THE OFFICE OF STATE LANDS COMMISSION, SACRAMENTO, AND INCORPORATED HEREIN BY REFERENCE). 8. APPROVE THE CITY OF NEWPORT BEACH'S SCHEDULE OF RENTS AS PROPOSED IN EXHIBIT "B" HERETO AND APPROVED BY THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ON MAY 11, 1981. 9. AUTHORIZE STAFF OF THE COMMISSION AND THE OFFICE OF ATTORNEY GENERAL TO TAKE ANY AND ALL ACTIONS NECESSARY TO IMPLEMENT THIS ACTION AND THE PROVISION OF CHAPTER 74 OF THE STATUTES OF 1978, INCLUDING BUT NOT LIMITED TO LITIGATION AND EXECUTION OF ALL DOCUMENTS TO ACCOMPLISH THIS MATTER. -9- CALENDAR PAGE MINUTE PAGE • • 14078 Pe 1447 _ _ _',11 raLTT. rI( Jt0_ 'OP gner:. . I-Paa%% 'Nil. Son 1COSTk MESA// ;x% sr i2 rra ier _= Vdc. sr Oy �• ': oe< ' :. Santa AnaJHeights _{lea Sch =. fe Trailer PROPOSED ACQUISITION PARCEL '.'�` ti: Tra din. - mil ••)&.vlly✓� Z' park'=-.,0 '.$ch•1Y�7` • .: c cauathc$Sr ;Trailer Park Park, 9 I i �rr /P 07Rorty leigh EXHIBIT "A" G 09-02r4 • itaik opt 7 Y larpeq, % • Y \(arxne u I ern 7 �.\ 1 CekLp Yg.. Center e-• • ;$ue rih MrF J oT� 34 -•n light 7 P0• Bay 4,, Gc7ney tsfa?Td • Fre Std Balboa . Islazkdj lapc O mp Big r Ca 7 a' Q�+ehco, t fop Go 1 CALENDAR PAGE MINUTE PAGE 115 'BK 1 4078 PB 1 448 "EXHIBIT p" SCHEDULE OF RENTS DISTRIBUTION BETWEEN TIDELANDS AND UPLANDS BEACON BAY $ $ $ LOT % % RENT RENT RENT NO. TIDELANDS UPLANDS TIDELANDS UPLANDS TOTAL A 100 14018.45 B 100 12506.85 C 100 9020.41 1 100 8020.80 2 100 8825.37 3 100 9410.50 4 100 10458.87 5 100 12238.66 6 100 12238.66 7 95 5 9611.66 505.88 8 50 50 4912.49 4912.48 9 5 95 541.23 10283.35 10 100 10727.06 11 100 9020.41 12 100 9020.41 13 100 9020.41 14 100 10312.50 15 20 80 2062.52 8250.07 16 95 5 8083.00 425.42 17 100 8508.42 18 100 8508.42 19 100 10020.02 20 100 8727.84 21 100 8020.80 22 100 8020.80 E-1 100 8020.80 E-2 100 8020.80 E-3 100 3284.33 E-4 100 3021.88 E-5 85 15 2552.75 450.49 E-6 100 2982.91 14018.45 12506.85 9020.41 8020.80 8825.37 9410.50 10458.87 12238.66 12238.66 10117.54 9824.97 10824.58 10727.06 9020.41 9020.41 9020.41 10312.50 10312.59 8508.42 8508.42 8508.42 10020.02 8727.84 8020.80 8020.80 8020.80 8020.80. 3284.33 3021.88 3003.24 2982.91 E-7 100 29 Cal gYDa,9 PAC- E-8 100 3 7 ii33 IMINUN PAGE • • 1 4078 Po 1449 • -2- Schedule of Rents, contd. $ $ $ LOT % % RENT RENT RENT NO. TIDELANDS UPLANDS TIDELANDS UPLANDS TOTAL 23 24 25 26 27 28 29 30 31 32 33 34 35 36 • 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 411 54 55 56 57 58 100 3117.98 100 3380.43 5 95 169.95 3229.12 99 1 3383.53 34.18 100 3436.35 100 4137.66 100 3459.31 100 3551.10 30 70 1070.92 2498.82 100 3588.38 100 3607.02 100 4454.61 100 3776.26 100 3794.90 5 95 178.49 3391.25 99 1 3552.50 35.88 100 3607.02 100 4454.61 100 100 100 100 15 85 577.62 100 100 100 100 100 100 100 100 100 100 100 100 100 3530.76 3794.90 3813.54 3832.18 3273.20 4454.61 3459.31 3774.57 3551.10 3569.74 3588.38 3607.02 4478.99 3344.85 3586.96 3603.91 3117.98 3380.43 3399.07 3417.71 3436.35 4137.66 3459.31 3551.10 3569.74 3588.38 3607.02 4454.61 3776.26 3794.90 3569.74 3588.38 3607.02 4454.61 3530.76 3794.90 3813.54 3832.18 3850.82 4454.61 3459.31 3774.57 3551.10 3569.74 3588.38 3607.02 4478.99 3344.85 3586.96 3603.91 3 1.11SI.I� 3 t�E�S'4a PAGE 3496.5 ' • • ' 1 4078 H450 -3- Schedule of Rents, contd:: $ $ $ LOT % % RENT RENT RENT NO. TIDELANDS UPLANDS TIDELANDS UPLANDS. TOTAL 59 100 3515.24 3515.24 60 100 3533.88 3533.88 61 100 4210.80 4010.80 Total 234,874.99 189,836.19 424,711.18 CALENDAR PAGE "A:NUTE PAGE CONSENT TO ASSIGNMENT The City of Newport Beach, a municipal corporation; as Lessor, under that certain lease. dated January 4th, 1950, between said. City and J. A. Beek, Carroll B. Beek, Barton Beek, and Joseph Allan Beek, Jr., as Lessees,hereby consents to the assignment by The Irvine Company, a West Virginia corpo- ration, to THE IRVINE COMPANY, a Michigan corporation, of all of its right, title and interest, as Lessees, under that certain lease dated February 28th, 1950, by and between J. A. Beek, Carroll B. Beek, Barton Beek, and Joseph Allan Beek, Jr.., as Lessors, recorded on March 13th, 1950, as Instrument Number 12032 in Book 1984, page 480, in the Office of the Recorder of Orange County, which subleasehold interest was assigned to THE IRVINE COMPANY, a West Virginia corporation, by an Assignment dated July 31, 1971 and.recorded as Instrument Number 6670 on August 9, 1971 in Book 9752, page 913. The foregoing Consent to Assignment is given subject to the condition that The Irvine Company, as Assignee, shall be bound by and shall comply with all of the terms of the Master Lease dated January 9th, 1.950 referred to above. The execution of this consent on behalf of the City was authorized by Resolution No. 9151 adopted by the City Council on the llth day of July DATED this %�i, day of , 1977. , 1977. f�ayor of the City of Newport Beach ATTTEEST :4tk r ASSUMPTION AGREEMENT THE IRVINE COMPANY, a Michigan corporation ("Assignee"), hereby assumes and agrees to performand satisfy each and every one of the obligations and duties of the Lessee under the Lease dated February 28, 1950 referred to in the foregoing Consent, whether now due or hereafter accruing, as fully to all intents and purposes as though Assignee was the original Lessee thereunder. Assignee agrees to take and hold Lessee's interest under said Lease subject to each and every one of the terms, provisions and conditions of said Lease and subject to each and every liabilities and disabilities of the Assignee further agrees to take and interest subject to each and and conditions of the Master referred to in the foregoing one of the duties, Lessee thereunder. hold said Lessee's every one of the terms, provisions Lease dated January 9, 1950, Consent, including (without limiting the generality of the foregoing) the waiver of the covenant of quiet enjoyment and the disclaimer of any warranty of title contained in the third full paragraph on page 5 of said Master Lease, said waiver and disclaimer being incorpo- rated by reference into and forming a part of said Lease dated February 28, 1950, and likewise forming a part of this Assumption Agreement. Assignee acknowledges that the persons executing the. foregoing Consent do not, by such execution or otherwise, make any warranties or representations of any nature whatso- ever as to the leased premises, either as to title, easements or encumbrances, correctness of any legal description, or any other matter. THE IRVINE COMPANY, a corporation Dated: )70-3,,,yrj-e4-1 /a , 1977. STATE OF CALIFORNIA ) ) SS. COUNTY OF ORANGE ) On thisjo day of )70-1,....e„yiti , 1977, before me, the undersigned, a Notary Public in and for said State, personally appeared --46f (',��, / , known to me to be the jl¢..¢ u,t of THE IRVINE COMPANY, the corporation that executed the within instrument, known to me to be the person who executed the within instrument on behalf of the corporation therein named, and acknowledged to me that such corporation executed the within instrument pursuant to its by-laws or a resolution of its Board of Directors. WITNESS my hand and official seal. (SEAL) • • OFFICIAL SEAL ♦ imp I. LORRAINE JONES • • • NOTARY PUBLIC - CIO 'FORNIA • ♦ PRINCIPAL OFF,CI iN ♦ ♦ ORANGE COUNTY • s My Commission Expires April 24, 1979 • • Watery public in and r the State of California EXTENSION OF LEASE AGREEMENT It is mutually understood and agreed that the lease between BALBOA YACHT BASIN, INC., a California Corporation, Lessor, and BASIN MARINE, INC., a California Corporation, Lessee, for the period commencing on the first day of October, 1962 and ending on the 30th day of June, 1966, upon the premises used as a Marine and General Hardware Store, is hereby extended for a period commencing on the 30th day of June, 1966 and ending on the 30th day of June, 1971, and that the rental shall be $375.00 per month for the term of this extension. 1 June , 1966 BALBOA YACHT BASIN, INC. BASIN MARINE, INC. BY Lessor Lessee �• EXHIBIT B RECORDING REQUESTED BY THE CITY OF NEWPORT BEACH AND WHEN RECORDED RETURN TO THE CITY OF NEWPORT BEACH TRANSFER OF MUNICIPAL PROPERTY TO CITY OF NEWPORT BEACH TIDELANDS TRUST 1 WHEREAS, the City of Newport Beach Tidelands Trust, Chapter 74 of the Statutes of 1978, hereinafter "the trust", empowered the City to add real property to the trust as part of a procedure for releasing a relatively small portion of the granted tidelands from the common law public trust; and WHEREAS, by this statute, the City is authorized to make such trust acquisitions of real property by transferring City -owned property held in a Municipalcapacity to the trust; and WHEREAS, the City holds.in its .Municipal capacity a certain parcel of real property overlooking Upper Newport Bay, hereinafter "Subject Property," which it desires to so transfer to the Trust; and WHEREAS, the granting statute requires that the parcel to be transferred be appropriate in terms of its size, value and utility to the Trust; and WHEREAS, a study and investigation has been undertaken of the size of the area affected by the termination of the common law public Trust in comparison to the size of the parcel to be December i5, 1955 Security -First NatiQnal Bank Of Los ingele's Pasadena Branch Marengo & Colorado Pasadena 18,- California. he: ?scrow No. 1ir-32973-C• Gentlemen: Please be advised that your letter of November 29, 1955 is in the hands of the City Attorney, Karl Lynn Davis, having been officially referred to him by the Council of the City of Newport Beach at its meeting on December 12, 1955. Mr. Davis will answer the inquiry contained in your letter. Very truly yours, Margery Schrouder City Clerk- Treasurer ma cc Mr. Davis Telephone HArbor 3131 ity of Newport Beak California Margery Schrouder CITY CLERK - TREASURER November 30, 1955 Karl Lynn Davis City Attorney City of Newport Beach California Dear Mr. Davis: A copy of the letter from the Security -First National Bank of Los Angeles, Pasadena Branch, dated November 29, 1955,• is attached hereto. I am also enclosing the City Clerk's entire file on J. A. Beek leaseagreements for the Beacon Bay property. There is also enclosed a list of the documents contained in the file,so that it will be convenient for you to return the entire file when you are through with it. It is requested that you ascertain the status of our present lease agreements with J. A. Beek in regard to the Beacon Bay property and that you write me an opinion so that we may have it for our file. ms encs. Yours very truly, k'-An s City Clerk -Treasurer • SECURITY -FIRST NATIONAL BANK OF Lo S ANGELES SAVINGS COMMERCIAL TRUST PASADENA BRANCH MARENGO & COLORADO PASADENA 18, CALIFORNIA November 29, 1955 City of Newport Beach City Hall Newport.Beach, California Re: Lease between City of Newport Beach, Lessor, and J. A. Beek, Lessee Escrow No. 14-32973-C Gentlemen: A loan escrow has been opened at this branch covering the leasehold estate interest on property known as 49 Ketch Road, Newport Beach, California, described as Lot 49, as shown upon a Record of Survey Map recorded in Book 9, Pages 42 and 43, Records of Surveys, on file in the Office of the Recorder of Orange County, together with certain portions of adjoining lots B and C as shown upon said Map. It is our understa:;ding that there is a lease between the City of Newport Beach, as Lessor, and J. A. Beek, as Lessee, covering the above described property. There is also a lease covering the above described property between J. A. Beek, Lessor, and David S. Vaile and Doris D. Vaile, Lessee. The lease between Mr. Beek and Mr. Vaile contains the following paragraph. "It is further agreed and understood between the parties hereto that if the 3 Lessor (J.A. Beek) hereunder should default in his said lease to the City of qo Newport Beach, that nevertheless said default shall not affect the Lessee (Vaile) " t hereunder, if he shall make his payments hereunder and otherwise perform the s terms and conditions of this lease, directly to the City of Newport Beach, A during the term hereof, and it is therefore agreed and understood between said 1 parties that Lessee hereunder may in cese of default by Lessor to the City of Newporttc c Beach, make his payments hereunder directly to the City of Newport Beach, during 1+, the term hereof." The lender in our escrow has requested that we obtain verificiation of the above 'x paragraph from the City of Newport Beach and that you will accept payments from David S. Vaile in the event of a default on the !::art of Mr. Beek. Your early reply to this letter will be greatly appreciated. Yours very truly, Wanda Conrad Escrow Department we Return Receipt Requested 0" MCA ,j e/�- "RCA 7v`Z1,r7r.: Tr27:71r:77-1. • • . •..KARLL.LYNPJDAvIt . . 7-Tr"1434Er "NtIA'W • 1 suit :P!!vParat':eketcLAT:r Deoembn 16, 1955 ••.,3000-rity4PiriptNational 2ank .•• : •• of •• LoX:1Angslely •' Pendent: Branah.::•'et • - ' 290.:Bastl•ColbradO street,. Pasadone.'-18, Calitornta • •'' Attention' Wanda Conrad Rearms Department Gentlemen% In reply to your letter sittNovistier 29$ 1955, 1 have examined the leases which the City has with Hr. Beek. An amendment to the master lease con- tains a similes, provision which provides, in effect, that if Nt. Beek should default, his tenants may make payment to the City of Newport Beach. X hope that this answers your inquiry. Tours very truly, John1 C. Penney Assistant City Attorney JCP s ma OFFICES AT SOUTH BAY FRONT AT AGATE PHONE HARBOR GE•W AND 003 PARK AVENUE PHONE HARBOR ES OSEPH A. BE. SPECIALIZING IN BALBOA ISLAND PROPERTY 410 SOUTH BAY FRONT BALBOA ISLAND, CALIFORNIA January 12, 1954 Mrs. Florence L. Cooling, Treasurer City of Newport Beach Newport Beach, Califom is Re: Leased tidelands OLDEST REAL ESTATE CONCERN AT BALBOA BALBOA ISLAND HARBOR ISLAND BEACON BAY BEACON HEIGHTS HIDDEN VALLEY Dear Mrs. Cooling: Enclosed find Check No. 9583 for $2939.70,which is in payment of the following;- Rental "Westerly Portion'! $600.00 5% of "Westerly Portion" 539.70 - Rental "Easterly Portion" 350.00 -' 72% of "Easterly Portion" 450.00 Additional rental - Year 1953 1000.00 Mid encls. Kindly sign attached receipt and return. Very truly yours ,ttesfl i/61, OFFICE AT ISLAND BOAT HOUSE PHONE NEWPORT 62-W ,---1KAILIND ADDRESS P. 0. BOX 537 BALBOA. CALIFORNIA 410 SOUTH EAY'FRDNT BALBOA ISLAND, CALIFORNIA •OSEPH A. BEE. BPECIALIZINO IN BALBOA ISLAND PROPERTY AGATE AVE. AND SOUTH BAY BALBOA, CALIFORNIA January 15, 1953 Mrs. Florence L. Cooling, Treasurer City of Newport Beach Newport Beach, California OLDEST REAL ESTATE CONCERN AT BALBOA Dear Mrs. Cooling: Enclosed find Check No. 8872 for $2781.24 which is in payment of the following; - Rental "Westerly Portion" 5% of "Westerly Portion" Rental "Easterly Portion" 7i% of "Easterly Portion" Additional rental - year 1952 $600.00 381.24 350.00 450.00 1000.00 Kindly sign attached receipt and return. Very truly yours, Thntl.,04 PAAJJ aA-4- Secy. to J. A. Beek Mid encl. BALBOA ISLAND HARBOR ISLAND BEACON BAY BEACON HEIGHTS HIDDEN VALLEY ,�/�Yri✓IGw e♦ l/a a41i�r 6 Pose. Int. Improvement Balboa Bay C lub AP- 49-160-1 15,000 120,820 Balboa Yacht Basin 50-210-1 32,290 34,050 Beacon Bay; Community Assn. 50-21,& 22 Durant, Wibinr G. 50-211-8 ' t 0 ,1 Marinucci, Helen E. 00-211-1 820. Dodge, John F. 50-211-2 880. Dinsmoor, A. Hale 50-211-3 810. LeSage, Wilfred L. 50-211-4 830. Pfister, Lawrence J. 50-211-5 850. Emi 53 n, Rich. A. 50-211-6 1,060 Reiter, Francis E. 50-211-7 2,860 - Sohonlaw, Chas. 50-211-9 2,080. Longmoor, Walter M. 50-211-10 2,080. Bruce, Margaret S. 50-211-11 2,860, Fiehback, Chas. B. 50-211-12 1,060. Whitesides, Ralph A. 50-211-13 850. Fleming, Allan H. 50-211-14 830. Wachter, E. J. 50-211-15 810 Jarrett, Dudley F. 50-211-16 790. Cooling, Kenneth G. 50-211-17 800. Smith, Wallace G. 50-212-1 t Gardner H. H. 50-212-2 790' Coopef, Clarence L. 50-212-3 810.' White, Lee. 50-212-4 830. Peacock, J. C. 50-212-5 850. Barrington, Iva C. 50-212-6 940. — 3 3 0 `'. lineman, Paul D. 50-212-7 2,240._... 6,420 Kirby, Wilford H. 50-212-8 2,040..., 4,190 Thomas, Babel H. 50-212-9 2,040 5,160 ... O'Brien,Myrtle & Hakes, Peggy 0 50-212-10 2,080 , _5,_ .___... Graham, Chas. A. 50-212-11 2,230 , 12,380:._.... King, Chas. M. 50-212-12 , 940 .. 5;.6..7.Q..__.. -.. Zerbe, Arthur L. 50-212_14 800, 1i,200. Gustkey, Harry E. 50-212-15 780. 610�..._..... Nicol, Roland W. 50-212-16 820, 3.630 Crane, Theo J. 50-212-17 •850 4,470 Baker, Ralph N. 50-220-2 2,240 • 6,30. _ Denfeety, Reginald 50-220-3 2,240 , »80 Wilson, Adrian C. 50-220-4 1,970 cZ+906" Beek, J. A. 50-221-2 130%, Beek, J. A. 50-221-4 130. Community Assn. 50-221-3 2,000. -750 Humphreys, Kohn D. 50-221-5 2,220 • 3,090 Berke, Babel S. 50-221-6 2,140 6,560 Greene, Grace M. 50-221-7 2,140, 4 810,.,_.,. Yale, Leon E. 50-221-8 2.140. j31+0:_--- Culbertson, Otto 50-221-9 2,740. .4..$20.:..... Keene, Walter M. 50-221-10 2,330. 6 430 Snodgrass, J. D. 50-221-11 2.080 Vanator, Louis C. 50-221-12 2.080 Stanley, Earl W. 50-221-13 2,860. Woolsey, W. H. 50-221-14 1,060.. Schaub, R. A. 50-221-15 850 Wagner, Arthur S. 50-221-16 830 2020 3,.110 4,390• - 2,780.. car- 4,000 3,570 6,370 3. 510 5,890 4,53o 6,580. 5,63o. 4, 67.oC., 3,230 i W-d 3,960. 7.610 2; 7t 4,090. 290 c r' rl fl If • • i • Gibbons, Warren W. Burke, Martin J. Smith, Marion R. Tilden, Henry C. Pick, E. Linwood Hovland, W. L. Logan, Z. W. Voile, David S. Greene, Grace M. Montgomery, Almond R. Thomas, Edward A. Linn, 1. A. Enrol, Lilyan L. Post, Russell E. Barer, Eugene A. Dodge, John R. Sawyer, Stanley P. Burke, Louis H. Hitchman, Millicent McDermott, Allan L. Earhart, Joseph 8. Boyd, Chas. 2. Boyd, Chas. E. 50-221-17 50-221-18 50-221-19 50-221-20 50-221-21 50-222-1 50-222-2 50-222-3 50-222-4 50-222-5 50-222-6 50-222-7 50-222-8 50-222-9 50-222-10 50-222-11 50-222-12 50-222-13 50-222-15 50-222-16 50-222-17 50-222-18 50-222-19 810 , 830 850 goo 7g0. 7g0_ 86o 790 810 830' 850• 1,o6o 2,860 . 2,080 2,080. 2,080 2,860, 1, o6o . 860 830. 800 900 940 L1.1.1.6.92 tes860' 3,4go. 3,164 2,300 3.090 4,55o 3.410, 3, 73 C2,5b0'. 8,270 5,270 . . 5.580 3,9LA"' 3:.Q < 5g0 --c 5.370 ............. r el fir cm OP 11111301? mono • at4 eseperatios Of Os Mot* et canned* et the Sixth Qs, Tomer soda that mete Loam amiotted Jar, b 1.993with 4 A,' mod othavi *a lasses, diem lorehy moseab that a psties 1 ths raids dessabed In odd Leos as the litasherly Portia" raw to odosaot bet the said Tasseos. or by tki, Halm ASA Dugs. esportnereldps edattive odo•loossibto Balboa theiso llookon Conatnr orpssionadp, saint to tits tons oil modittam or add tan tat awn 9, 1994 mere.AL Data thls aday af fievabfre 1993• r/.---evedir 4 A. MM. =LOLL B• M. BARTON Mt atil MIMS BISI lam =dor that oartain Imse essoutod Amon 9, 1.993 OW of thamport, heath as laileirlib sal Isom node that certain =babe ▪ *bed ea the asHtfday of letrooryip 1950 with nigh 1. Raw end Damon B. 111.1141101P Slag hosts so helm Tashi Batado haby sat Vat nisi odetiosses soy mbalot to Balboa Seam Rirdaro Dapaay. a croadartmeradpe a portion et the dodged weeds mosistlat of the sziating beds* la and my — store balding in the mosso of emanation tether with additions thereto* teoetter with parlay at stalbY Mash Provakte himerers that sosts sabeleme stall be entejoat to all of the tors and sortaticos et tie afassureationed lisby sed betas ths City of lbspert Beasts mod 4 Bea and others* and the lease by and Whom 4 A. Boa awl others and Bosh Ir• ay and Dergeret E. Delsingor. Dated this aday et inember• 1993. CASS= Be U SUMS BMX aunt WAN NU. as Of 2 3 4 5 6 7 8 9 10 11 '12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LEASE Painkb41 1aSlgS° THIS LEASE, made and entered into Desentreraii, 19*, by and between the CITY OF NEWPORT BEACH, a Municipal. Corporation of the State of California of the Sixth Class, hereinafter called Lessor, and J, A. BEEK, CARROLL B. BEEK, BARTON BEEK, and JOSEPH ALLEN BEEK, JR, (in equal shares),' of the said City of Newport Beach, hereinafter jointly called Lessee, W I T N E S S E T H: In consideration of the payment of the rents and the performance of thecovenants herein by Lessee at the times and in the manner herein set forth, Lessor does hereby lease to Lessee the property in Orange County, California, hereinafter described, owned by Lessor and containing an aggregate of approx- imately 19 acres, for the term of thirty-eight (38) years, begin- ning January lst, 1950, and ending December 31st, 1987, upon the covenants and for the rentals as follows: Said 19 acres owned by Lessor are in part tidelands and. submerged lands granted to the Lessor by the State of California, and the remainder uplands owned by Lessor abutting on said tide- lands. The "Westerly Portion" of said 19 acres hereby leased is agreed, for the purposes of this lease, to contain twelve acres, and said "Westerly Portion" is described as follows: A parcel of land situated in the Northwest quarter of Section 35, Township 6 South, Range 10 West, S. B. B. & M„ Orange County, California, more par- ticularly described as follows, to -wit: Beginning at the U. S. Bulkhead Station No. 200, as shown upon a.map entitled "Harbor Lines, Newport Bay Harbor, .California", approved May 2nd,,. 1936, by the Secretary of War and on file in the office of .the United States District Engineer at Los Angeles, Cal- ifornia; running thence, West along the U. S. Bulk- head line 147.50 feet to U. S. Station No, 137; thence North 39° 48' West along said Bulkhead line 535.53 feet; thence North 23° 57' 30" East 126.34 feet to an angle point in the ordinary high tide line of the Pacific Ocean in Newport Bay, as de- scribed in Court Case No. 24026 of the Superior Court of the State of California, in and for the 1 .17 18 J. 19 20 21 22. 23 24 25.. 26. 27 .:. -.28 zs 30 31 32. County of Orange; thence South 390 48' East along: said. ordinary high tide line 334.47 feet- to the'r most Westerly corner of that certain parcel of land conveyed to the Clty of Newport Beach by ,the Irvine Company, as described. in deed recorded September_25th,c 1929, in Bock '306,',page 375 of Official Records of Orange County, California;-` thence -North 23* 571 30" East along the .Northwest- erly line of said parcel of land317.57 feet; thence South 71° 541 East along the Northerly line' of' said parcel :of land. 290.24 feet; thence South 85° tilt _ East along the Northerly line of said par- cel of land, ,said Northerly line being the South- erly line ofBayside Drive, 606,91::feet; . thence,,_, South 42471 feet to a point in the U. S. Gout, Bulkhead line between `U.'8.. Stations Nos. 101 and. 200; thence West along said Bulkhead line 784..25 feet to the point of beginning; containngapprou- imatej.y twelve;(12) acre se In the judgment of the governing body oi" Lessor, the use - of' said "Westerly. Portion" for industrial uses IS ant will be inimical to the best interest of such City, of Newport Beach,: 'therefore said "Westerly Portion" ie herebyleased for; said term for residential purposes, and for said *Westerly Portion" "Lessee•. shall and hereby;agrees to pay to Lessor- an annual -rental •for • the first thirteep years of:said term, of :$5 k.00°cash plus five per cent:Of all sums Lessee .shall receive from the use of said "Westerly Portion", or; any, part thereof, from whatsoever source,.: including . all sumsreceived from all sub -tenants, it being agreed that.. said. percentage a all. be .of ,tkiei gross and not of the net.re turns, and .that :such annual; rental: ehall;be due on"January 15th Of : eactiOf said. years beginning January 15th, 1951 and ending• .• January 15th,: The "Easterly` Portion," of said 19 acres hereby leased. Is: agreed, for the, purposes, of this lease, to 'contain seven acres and said •"Ea sterly Portion " is described ae follows: A parcel of land situated in the Northwest quarter .of `Section.35,°Township 6 South, Range 10 West; s.`:B. B. &•.M.,.Orange 'County, Californta,more -Tar tioularly described as follows, -to -wit: Beginning at a; point in the U. S. Bulkhead line .be tween Station No. 200'and .Station No. 101, as shown upon:a map entitled. "Harbor Lines, Newport Bay Harbor, California", approved May.2nd, 1936, by the •16 '18 T9 20: 2J • 22 23. 29 25. 26 27 28 29 -30- 31 32- Beoretary of'liar , and; on file in the office of the',U. S. District Engineer' at Los 'Angeles, Cal. lfornia, said point o,f beginning being ast 784,25 feet of 'said Bulkhead.: Stations No. 200;.running thi'ence'North 424.71 feet 'to a point in-t3e'North - • erly line • of that certain parcel of land.conveyed to the City: of Newport:Beach by the. Irvine. Company, as described in deed recorded. September'25th; 1929, to Book 346, page 375 of Official Records of'Orange County, California; thence South 85° 44;3, East•,772.15 feet .to the Northeasterly, corner of. the last men tinned parcel of land; thence South along the:East- erly, line of the last mentioned parcel of.. land ;' 367.,01 feet to'a point 'in said U. 3.' Bulekheed line between' Station No.,200 and Station No. hat; thence,.: West along said Bulkhead'line 770;.feet,.to the point of :beginning; containing &pproxime:tely seven (;7) acres..,, Said 'Easterly Portion" is hereby leased for said term expiring December:31st,".1987, for induatr al uses, construction.: and maintenance. of wharves, docks•and piers, and for all other laceful purposes,; such uses in the judgment of the City "Council being necessary' for the proper improvement, development'"s.nd use of its water front, and harbor ;facilities and consistent. ;with 'the requirements of commerce and navigation.at and ill Newport Harbor; an& for said. ""Etsterly:Portion° Lessee shall and_ hereby agrees. to pay to Lessor an annual rental for the first.thirteen years of ;said term of'':.0,Q0 each plus seven and one-half'per cent of all sums Lessee shall'receive =from the use of said "Ea:eterly:Per' tions,"or any :,,,part thereat', frost. whatsoever source, including, all" sums received Eros, all'sub-tenants, it being agreed that said percentage -shall. be of. the gross,and not of the net returt.0,1 and `• that such -.annual -rental Shall :be &ue:'.on January -of eaoh:of said; years,. beginning. January 13th, 1951, and ending Janusry'35uh In: addition to the above rents, Lessee shall and hereby`; agrees to .pay Lessor •3'1,000,00 annually during the first thirteen years of said term;. due on Januaryl5th of each of said years, .*be- ginning January'155th, 1951,•and. ending January 1.5th, 1963. Porthe, •last' twenty-five years of said. "term, Lessee shall and hereby agrees to pay Leseor 33 213 per 'tent of all (Pktirty4hree: and ens -third) t • 1 sums Lease shall receive from the use of both the "Westerly Portion" and the 2 "Masterly Portion" of the leased premises, or any part of either of said 3 Portions, from whatsoever source, including all sums received from all sub- 4 tenants, it beingagreed that said percentage shall be of the gross and not 5 of the net Saturn., and that such annual rental shall be due on January 15th 8 of each of said years, beginning January 15th, 1964, and ending January 15th, 7. 1988. 8 Reference 1s made to the existing written lease dated November 9th, 1927, 9 and the amendments and extensions thereof dated March 3rd, 1930. July 18th, 1938, 10 February 6th, 1939, and December 3rd, 1945, between the parties hereto, and 11 to the fact that all covenants, conditions and obligations of the Lessee. there.. 12 under have been performed. (except rent due January 15th, 1950), and it is 13 agreed that this lease suporeedes said former documents. 14 Lessee agrees to keep book accounts of all of his receipts from the 15 property hereby leased, open to Lessor's inspection at reasonable times, and 18 to furnish Lessor with a written summary thereof annually on each January 15th. 17 Lessee covenants and agrees to pay, as and'when due, any all taxes, 18 assessments and levies of every kind and character which may, during the term 19 of this lease, be made against the demised land or Upon any of the improvements 20 thereon. 21 Except as herein provided, Lessee shall not assign their ihterest, er 22 any part thereof, in. to or Under this lease, nor sublet all or any part of 23 the "Easterly Portion' of the demised premises, excepting to the present subs 24 tenants thereof, without the written consent of Lessor first ha&. and obtained. 25 It is agreed that the subtenants of the "Easterly Portion" may lot rooms 26 incidental to their industrial Use thereof. It is provided. however, that 27 Lessee shall have the right, from time to time, to sublease any part of said 28 "Westerly Portion'. Lessee also shall have the right to assign their interest 29 among themselves and to assign an interest to Seymour Beek. 30 Lessor covenants that it shall not withhold its consent to the snb-. 31 letting by Lessee of any part or all of the "Easterly Portion" of said premises 32 provided that: 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 (1) The use to which the premises proposed to'be so sublet by Lessees shall not be of a character more detrimental to the public health, safety and. welfare of the City of Newport Beach than that existing at the time of the proposed subletting. (2) That the rental consideration adorning to Lessees with respect to the premises proposed to be sublet shall not be bass than the rental thereof in the year 1949. (3) That the proposed sublessee shall be financially responsible. Lessee agrees strictly to comply with and observe the laws of the United States, the statutes of the State of California and the ordinances of the City of Newport Beach in all matters affecting this lease and the premises and property herein demised. Leesor makes no warranty of title to the deaised.preaises, express or iaplied, or to any part thereof, and Lessee accepts this leave upon such title as Lessor may presently have or hereafter acquire; and in the event that, by reason of any defect in said title, or invalidity of this lease, Lessor shall be unable to secure to Lessee continued peaceful enjoyment of the premises herein demised and aneh possession shall thereby be disturbed or wholly terminated, Lessee expressly waives all right, claim or demand against Lessor by reason thereof. Lessee covenants to hold Lessor harmless from anj and all claims or demands of every kind and nature whatsoever by reason of the use by Lessee, or any sublessee of the demised premises, excepting claims or demands growing out of the use of streets, sidewalks, alleys, docks, piers, or publicutilities on the leased premises, after such time that the said streets, sidewalks, alleys, dock., piers, or public utilities, or the particular one thereof where liability is claimed to have occurred, belong or belongs to Lessor. In the event that Lessor shall, without its fault, be made a party to any litigation or legal proceedings arising out of the use of said demised premises by the Lessee or by any sublessee, Lessee agrees to hold Lessor harmless and to reimburse Lessor for any costs or expenses incurred in snob litigation or legal proceedings, including attorney's fees. 5 • i /4 1 Lessee and any sublessee shall have the right, prior to the expiration 2 of the tern of this•lease, to remove say buildings or improvements from the- 3 demised premises, excepting that all street improvements, docks, piers and 4 all other installations including public utilities -shall be left in place and 5 shall be the property of Lessor. It is further agreed by Lessee that any sublease hereafter made of any 7 part of the demised premises shall contain a providinn providing for periodic 8 (but not more often than once in five years) readjustment of rentals in 9 accordance with the commodity index, known as the NU. S. Bureau of Labor 10 Statistics Cost of Living Index°, or such other index -as may be agreed uponl between Lessee and sublessees. 11 If Lessee fails to remedy any default in his obligations hereunder 12 within thitty days after notice thereof from Lessor, then Lessor may, at its 13 option, terminate this lease, but in such event such default shall not in any 14 manner affect say sub -tenant provided said sub —tenant shall pay Lessor, and 15he is hereby given the right, of paying to Lessor, the yearly payments provided 16 for in his sublease, and upon said payments being made to Lessor by said sub, 17 tenant, said sublease shall remain in full force and effect during the term 18 thereof, providing said term shall not exceed the term provided for in this 19 lease. 20 Lessor is not obligated hereunder to make any improvements, or repairs, 21 or any other expenditure, respecting the leased property. 22 This lease shall be binding upon and inure to the benefit of Lessee's 23 heirs and assigns. 24 25 IN WITESS WHEREON, the Lessor has executed this contract pursuant to 26 resolution of its City Council dated Mannaiser 9,1 , 1$t , authorising its corporate name and seal to be subscribed and affixed hereto by the Mayor and City lerk of the City of Newport Beach, and the Lessee has hereunto set his hand. CITY OF ET BEACH 30 ` (el4ggi. By'` 31 , Attest eeM (/• 32 /�/� delin� LESSOR. City Clark - c2GG+� $I. 6 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS On this 17th day of January 1950 before me, the undersigned, a Notary Public in and f or said County and State, personally appeared Dick Drake, known to me to be the Mayor, and C. K. Priest, known to me to be the Clerk, respectively, of the City of Newport Beach, the corporation that executed the within lease and known to me to be the persons who executed the within instrument on behalf of said City of Newport Beach, and acknowledged to me that such corporation, said City, executed the same. IN WITNESS WHEREOF I have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. N ary Public in and or said County and State My Commission jan. 15, 195E 14 15 16 17 18 19 20 21 22 23 24 25 26 27 • 28 • 29 30 31 • 32 $180LITIOW10; 4.4W3'761 , - WURIttlt. Vitro bas 14114.411xy been presented. to, the flifl- Goiania of the pity et Ifitnipart Beath a 0ertalh ±leaseodated antra- 9th • 1956; wherein the alit at Newport Nei* is the • , • • • Lessor and J. A. Peek is the Lessee; and. WHERIPM; said.lease anti to into trim' the City to said Lessee dated November 9the 1927. and else writtion-Amendlante to Said Lease dated Ktrah 3rde 1930 July laths -1938e .Itebrusary. isth, 1939, ant.-lervember 3rds 1114,. Which said leases are noW in . . . frill forst and effect; . and . • -• • . . 1/1014043,- the leased premises lateheretofore been t�pi'et W. Said' Inns end the Oity desires toeheeneeet the further eon - striation .of: 7i:eminent improvesteritiupon the deaised .property and' to taxiiher therSaett its revenue, in aW.tiori td..inereiated percents. age rentals. Which in the jtdgment of ths. City .Council will, be best accomplishe4 by the. granting of 'a nest leaSe; and • . . • • WitENTA14 the entire property consists in part of ti:des lands and. in part of, uplands abutting thereon. -and in -the judo*. ... - . ant of the Pity Council of the City of Newport Dna the use et . . the Westerly .portion of maid tidelahts and said uplandsafereSaid for industrial uses is and will be inimical to the best intermits of 'Said. city , and that it •le to the best interests of the City that said Westerly portion be leased for residential InarPoese for a. term of thirty-41;TM years, beginn ing January let, 1950, and ending December 31.att .1987, Upon the following terns, covenants.' Sonditiene.and ratites. to-witi Tor a rental dub on or before January -1,5147 of nob year during said terms to. and including PER ACRE December jlet.' 1962, of .$50,00/per, ittiar; a..nit in addition thereto' Lessee to agree to pay said Gity fivepar sent of all wo ss sins he shall reeelte...during said oeriod from the .use of said Westerly poklon of said leaved. premises*, 41., as in said lease -provi.ded.; HY, •6 " 8 9 12 13 15 16 17 18 18 20 21 22 23 24 25 26 27 28 29 30 31 32 .NNENNAS,Atis for tholooetlottrOtteofthe-NitY tbmt . . . z . ..-4hUltasterli Portion of Said leased oremlies.be.loased for sold period of : -thirty-eight' years foe industrial and other iaeful, uses for a rental up to December 'let, l962, of $50.00 per aerie . . per year; and in addition thereto Lessee to agree te-Bai said City to December Ilst, 1962, foyer' and fivotehthe Per cent (7.5%) of all the gross sums he shall receive from the use of sslA Westerly Pert/on or any part thereof, -ail aa in -said lean more UirticularlY set forth; and in addition to the above rents, . - . Lessee shall and hereby ssrees to OoY Lessor 01..000.00 annually during the thirteen years of said term, dui on.4anuary 15t11... of each of Said Years, biginntng January 13th, 1951.'and ending January 15th, 1963.. For ths last twenty -fivmyearsbfflaid (Thirty-three and. 1/3 %) terme Lessee:Hunan. and hereby agrees to pay.Lessor 31 1/1%. Per cent of,all sums Lessee shall receive from the. vise of both the 'Westerly Poriloe and the nasterliTileitionnof the leased urmises, or any part Of either Of'sqid Portions, from whattoever sourceincluding all sums received rrou all sub -tenants, it bet agreed that sAitt nereentige shallbe of the gross and not of the, • - - net return, ahkthatsoth-annual-rintal shall be dUe onianuary 1.5th of eaeS'of-said yeers, beginning January litho 1964, and ending January 15t4414,88; and 110CMAS. the City Council of -the City of Bewport Beach deems that it is for the best" interests of eaid City of Newport Beach that said lease be entered into with the said J. A. Beek; NOW, THEREFORE„" BE IT REBOLVEDt That the City comma- : mate said lease, and that the Bayer and. City Clerk of the City - of Newport Beach be, 'and they are hereby, directed, instructed and authorized to execute said. lease An the name of and on behalf of the City of Nevport Beach, and that the City Clerk deliver a duly executed copy thereof to the Lessee therein named. 2 2 • 6 7 9 - • 10 11. 12 13 14 -15 16 •17 18 19 20 21 • 22 23 24 25 26 27 •28 29 30 31 32 I:te-reht.eertiti":that the above and 'tangoing ,P«esalutten lie duly and root:art* poised and. ageptial•by the Cats Oatansil'.at • . . . the Gtty of Newport :Beach, . • • • • • . • . • . .. • ..•. uozs; ABSLiT , COIJaC ILME1s :ATTEST: '• , . — — — City :clerk 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF ROLAND THOMPSON 210 SPURGEON BLDG. SANTA ANA. CALIF. LEASE AND AMENDMENT OF FORMER LEASE 411. THIS INDENTURE made and entered into this 3rd day of December, 1945, by and between the OITT OF NEWPORT BEADS, a Huni^� Opal Corporation of the Sixth Blass, the party of the first part and J. A. BEET, of the City of Newport beach, Orange County, Cali forma, the party of the second part, hereinafter palled Lessee, W ITNSSBSTH; Reference is hereby made to the written lease from- .said City as Lessor to said J. A. Beek an Lessee, dated November 9, 1927, covering real preperty d said City of an area of approxi lately nineteen acres, which lease is now, and since its said date has been, in full force and effect, the covenants and cea- ditione therein contained to be performed on the part of said Lessee, including payment of rentals to date hereof, having been performed, and reference is also hereby made to the written amend meat of said lease dated March 3rd, 1930v and that certain amend- ment of said lease dated July 18th. 1938. Said leased premises have been filled and leveled and the Easterly portion, containing approximately eight acres, was further improved by Lessee by oonetruotion thereon of boat land- ings, docks and a yacht basin, and it is now desirable to further improve the hereinafter described Westerly portion of said premix and to increase the City'e revenues under ite percentage rentals under said ,lease.. The said Westerly portion of said premises con lists in part of tide lands granted to said City by the State of California and the remainder' thereof is uplands abutting upon eaid tide lands. Inthe judgment of the City Connell of said City, the use of said Westerly portion of:said tide lands and said uplands abutting thereon for industrial uses is and will be inimical to the best interests of said City, and by reason thereof and in _1_ 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 consideration of the eventuate of Leese herein, said Lase is hereby emended and modified as follows: (a) That said property dssortbed,in said lees be, and the same is hereby leased to Lessee for a term ofmiztson years, eleven months and five days from the date hereof,, and ending November S. 1962. upon the same terms, covenants, conditions and rentals excepting as herein altered and provided. (b) That the Westerly portion of said premises, herein- after referred to as "Said Westerly Portion," described as follows: That certain real property situated in the City of Newport Beadb, County of Orange, State of 0alifor+ t a, described as follows, to -wit: That certain parosl of land situated in the North- west quarter of Section 35, Township 6 South., Range 10 West, S.B.B. 3 X., described as. follows: Beginning at a point which bears Last 6$4.25 fret along the United States Bulkhead line betreen Stations 101 and 200 as shown upon Sheet 1 of a Map of Harbor Lined, Newport Bay Harbor, Gal. approved by the See - Wry of War on Nay Snd, 1936,eo from said Station.300, said point of beginning being the Southeast corner of the land shown on a Licensed Surveyor's Nap filed in Book 9, pages 42 and 43 of Record of Surveys in the office of the County Recorder. of Orange County, Califor- nia; thence Last l00 feet, thence North.424.71 feet to the South line of the 60 foot County Road; thence North.. 86° 43' West 100.28 feet to the West line of Lot'"J" ae shown on said Lioenesd Surveyor's Map; thence South along the east line of the land shown on said Licensed Surveyor's Map 4.32.15 feet to the point of beginning. be and the name is hereby leased to Lessee for park, reorsational, residential oridueational purposes not inconsistent with. .ay trust imposed upon the tide landsby the constitution of the State of California. (.c) That for "Said Westerly Portion", Loose shall pay to the City, on or before the .9th day of November of each and every calendar sear during the said term to and including the 8th day of November, 1947, Forty Dollars ($40.00) per sore per year and from the 9th day of November, 1947. to the end of said term Fifty Dollars ($50.00) per acre per year. In addition to said sues, Lessee agrees to pay said LAW OFFICES OP ROLAND THOMPSON 210 SPURGEON SLOG. SANTA ANA. CALIF. 12- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF ROLAND THOMPSON 210 SPURGEON BLDG, SANTA ANA. CALIF, ©tty., until. November Nth, 1947, two per cent ($), and thereafter during the remainder of said term fide per. .gent (6%), of all Gums he shall receive from the use of a8atd Westerly Porttoa,l Or mg part thereon, from whatsoever source, including all sums reoeived from sub -tenants, and it is understoodand agreed that said per- oentages shall be peroentages of the gross and not of the net.r+r, turner and that payment thereof shall be made on the 15th day of januasy of each and every calendar year,commencing January 15,1946. (d) That for said "Easterly Portion," Lessee shall pay to the City, up to November Nth, 1952, the rental and percen provided for in said lease dated November 9, 1927. and for the remainder of said term shall pay to the City, on or before the 9Ms day of November of each and every calendar pear, Fifty Dollar* ($50..00) per acre per year, and in addition *hereto Lessee agrees to pay said Oity, during the remainder of said term from November Nth, 1952, to November 8th, 1962, seven and five -tenths per Beni: (7.6%) *fall of the gross Sums he shall receive from the use of, said "Easterly Portion", or any part thereof, from whatsoever souroe, including all sums received from sub -tenants, and payment thereto! shall be wade on the 16th day of January of scab and every Calendar year commencing January 15th, 1953. The term •Masterly .Portion• as used herein to intended to describe all of the property con►eyed by the lease dated Noves- bey 8th, 1927, hsreinabove referred to, except that portion of said property hereinabove referred to as "Said Westerly Portion.", and except that portion Westerly of "Said Westerly Portion:" 1l1 provisions of eaid lease dated November 9th,.1927,.n herein amended shall remain in full force and effect. IN wITNES0 *swore the party of the firet part has ezeouted this contract pursuant to resolution of its City CounoU dated Deosmber 3, 1945,1authoriaing its oorporate name and seal to be eubeoribed and affixed hereto by the Mayor and City Clerk —3— 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF . ROLAND TNOMPSON ...210 SPURGEON BLDG. SANTA ANA. CALIF. of the Oity of Newport Reach,and the party of the second part has hereunto set hie hand. CITY OF NEWPORT SEAOH, STATE, 0? OALIFOP.NIA se COUNTY OF ORANGE On this 3rd day of December, 1945, before me.- . A Notary public in and for the said County and State. per- sonally appeared Clyan H. Hall and. Frank L. Rinehart. known to se to be the mayor and City Clerk. reepeotively, of the Oity of Nee-, port Beach, the Oorporation that executed the within Instrument, known to me to be- the persona who executed the within instrument, on behalf of the Oorporation therein named, and aoknanledged to me that snob Corporation executed the same. IN WITNESS WHEREOF, I have bereunto set my hand and affixed my offioial seal the day and year in this oertlfioate first above written. Kota► publhoin County and State. my Omemission expires i9s4 or said"' STATE OF CALIFORNIA) se COUNTY OF ORANGE On this Aid day of December, 1945, before am, P4t4/%4Au.sYa. Notary Public in and for said County and State. per- sonally appeared J.A.Beek, known to me to be the person whose name subscribed to the within Instrument, and acknowledged to us that he executed the same. IN WITNESS WHEREOF, I have :. 5r+ t hand and &f- fixed my official seal the day and y,.ficate first above written. rs m Y TA IIeitC . n . to e e W tar Iha Caaaly al Drtnge. Siam cf Ca:i: rah my Oommissioexpires My commission expires Ang. 1;1949 far -4- Iw/ .• a, LEASE AND AMENDMENT OF FORMER LEASE. (100 Foot Strip) THIS INDENTURE made and entered into this 1st day of May, 1941, by and between the CITY OF NEWPORT BEACH, a Municipal Corpora- tion of the Sixth Class, the party of the first part, and J. A. BEEK, of the City of Newport Beach, Orange County, California, the party of the second part, hereinafter called Lessee, W ITNESSET H: Reference is hereby made to the written lease from said City as Lessor to said J. A. Beek as Lessee, dated November 9th, 1927, covering real property of said City of an area of approximately nine- teen acres, which lease is now, and since its said date has been, in full force and effect, the covenants and conditions therein contained to be performed on the part of said Lessee, including payment of rentals to date hereof, having been performed, and reference is also hereby made to the written amendments of said lease. Said leased premises have been filled and leveled and the Easterly portion, containing approximately eight acres, was further improved by Lessee by construction thereon of boat landings, docks and a yacht basin, and part of the Westerly portion has been improved with streets and residences under the provisions- of the amendment dated July 18, 1938. A strip of land one hundred (100) feet in width (hereinafter described) lies between said yacht basin and the land described in said amendment of July 18, 1938 and it is now desirable to further improve said strip and to increase the City's revenues under its percentage rentals under said lease. Said strip consists • in part of tide lands granted to said City by the State of California and the remainder thereof is uplands abutting upon said tide lands. In the judgment of the City Council of said City, the use of said strip of said tide lands and said uplands abutting thereon for industrial uses is and will be inimical to the best interest of said City, and by reason thereof and in consideration of the • • ! covenants of Lessee herein, said lease is hereby amended and modi- fied as follows: (a) That said property described in said lease be and the same is hereby leased to Lessee for a term of twenty-one years, six months and seven days from the date hereof, and ending November 8th,1962, upon the same terms, covenants, conditions and rentals excepting as herein altered and provided. (b) That the said strip, described as follows: A strip of land one hundred (100) feet in width, East and West, lying adjacent to and Easterly of Beacon Bay Subdivision, as shown on a Record of Survey Map filed in Book 9, pages 42 and 43 in the office of the County Recorder of Orange County, California, said - strip being bounded on the South by the United States Bulkhead line between stations Nos. 101 and 200 and bounded on the north by the north- erly line of the land conveyed to the City of Newport Beach by the Irvine Company, as de- scribed in deed recorded September 25, 1929,; in Book 306, page 375 of Official Records of Orange County, California. be and the same is hereby leased to Lessee for park, recreational, residential or educational purposes not inconsistent with any trust imposed upon the tide lands by the constitution of the State of California. (c) That for said strip hereby leased, Lessee shall pay to the City, on or before the 9th day of November of each and every calendar year during the said term to and including the 8th day of November, 1942, Thirty Dollars (430.00) per acre per year; from the 9th day of November, 1942, to and including the 8th day of November, 1947, Forty Dollars (440.00) per acre per year; and from the 9th day of November, 1947, to the end of said term Fifty Dol- lars (450.00) per acre per year. In addition to said sums, Lessee agrees to pay said City, until November 8th, 1947, two per cent (2%), and thereafter during the remainder of said term five per cent (5%), of all sums he shall receive from the use of said strip hereby leased, or any part thereof, from whatsoever source, including all sums received -2- from sub -tenants, and it is understood and agreed that said percent- ages shall be percentages of the gross and not of the net returns, and that payment thereof shall be made on the 15th day of January of each and every calendar year commencing January 15th, 1942. All provisions of said lease dated November 9th, 1927, not herein amended shall remain in full force and effect. IN WITNESS WHEREOF, the party of the first part has executed this contract pursuant to resolution of its City Council dated May 5, 1941, authorizing its corporate name and seal to be subscribed and affixed hereto by the Mayor and City Clerk of the City of Newport Beach, and the party of the second part has hereunto set his hand. CITY By Atte Party of the First Part. -3- /7 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF . ROLAND THOMPSON 210 SPURGEON BUILDING SANTA ANA. CALIFORNIA AGREEMENT AMENDING LEASE THIS AGREEMENT entered Into this 304j day of October, 1939., between the CITY OF NEWPORT BEACH, a Municipal corporation of the sixth -class of Orange County, California, hereinafter referred to as the City, and J. A. Beek of Balboa Island, in the City of Newport Beach, County of Orange, State of California, hereinafter referred to as the party of the second part. ——— W I T N E S S E T H Reference is hereby made to the "Lease and Amendment of Former Lease" between the parties hereto, datedr"July 18th,; 1938;- recorded March 9th, 1939, in Book 982, page 449 of Official Records of said County, and to the amendment thereto dated February 6th, 1939, recorded March 9th, 1939, in Book 987, page 183 of Official Records of said County. Upon the conditions hereinafter stated, in consideration of the rentals from sub —lessees to the City hereinafter mentioned, and in order to increase the City's revenue under the terms of said lease by qualifying thereof under the requirements of the F. H.A. so that more houses may be erected upon the lands covered by said lease, under subleases thereunder, the term of said lease is hereby extended to. November 9th, 1971. The conditions hereof are: 1. Thi.s extension shall apply only to those lots or the land covered by said lease set aside by said second party for residential purposes, upon which dwellings shall have been constructed or erected or the construction ofwhich shall have been commenced prior to November 9th, 1941, with ingress and egress thereto, which dwellings shall have been approved for loans to be insured by the Federal Housing Administration and financed in whole or in part pursuant to such approval. 1. /V 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF ROLAND THOMPSON 210"SPURGEON BUILDING SANTA ANA. CALIFORNIA 2. That from and after November 8th, 1962, (the end of the original term of said lease) all tentals and other payments there- after payable by sub -lessees under all subleases of said land; which shall qualify under the terms hereof, shall be paid directly to the City by said sub.lessees. The party of the second part hereby waives all claims to said rentals due from said sub- lessees and directs them to pay the same direct to the City, and said second party is hereby released from and after November 8th, 1962, from his obligation for payment of acreage rental and per- centage of gross receipts rentals under said lease, with the said City.. 3. That the annual rentals payable by said sub -lessees to the City from and after November 8th, 1962, during the term of this extension, shall not be less than the annual rent@ provided to be paid for the years prior to November 8th, 1962, under each respective sublease as to which this extension applies. 4. Any lot or parcel of said leased land set aside by. said second party for residential purposes upon which a dwelling shall not have been erected or commenced prior to November 9th, 1941, under the approval of the Federal Housing Administration, shall not be subject to the above extension and in this connection it is specifically understood and agreed between said parties that this extension shall only affect the properties herein mentioned -.- which have to date hereof, or which shall hereafter qualify for . a Federal Housing Administration loan prior to November 9th, 1941. IN WITNESS WHEREOF, the said City of Newport Beach has executed this agreement pursuant to resolution of its City Council dated October' s-& , 1939, authorizingits corporate name and seal to be subscribed and affixed hereto by the Mayor and City Clerk of the City of Newport Beach, and second party has hereunto set his hand this 3o day of October, 1939. CIT T BEACH. �� i Par •.• t:r e secon con part B yor By �l��i> 1 erk a y ot•e irsA part 2. CITY OF NEWPORT BEACH OFFICE OF THE CITY MANAGER June 27, 1977 STUDY SESSION NO. ;)2 TO: MAYOR AND CITY COUNCIL FROM: City Manager SUBJECT: BEACON BAY BILL NO. 1422 As indicated to the Council earlier, Assemblyman Cordova has introduced AB 1422 that resolves the Beacon Bay problem. As members of the Council realize, portions of Beacon Bay are tide- lands and the use of tidelands for permanent residential purposes is improper. The City, for the last three years, has attempted to make the residential use legal, but for one reason or another the bills have failed to pass. The subject bill has the support of the Attorney General's Office, the State Lands Division, the Department of Fish and Game, and passed the Assembly Resources and Energy Conservation Committee Thursday, June 9th without a dissenting vote. This Committee killed a similar bill last year. It appears, therefore, that if the provisions of the bill are satisfactory to the City Council, the bill will have a good chance of passage this year. The bill attached reflects the latest amendments which will be placed in the bill by Mr. Cordova. I do not have a printed copy of the bill showing the latest amendments, so I have typed in these amendments to permit me to discuss the bill at the study session of June 27th. Maps will be available at the study session to illustrate the tidelands affected and assist in the explanation of the subject bill. Attachment ROBERT L. WYNN Z r AMENDED IN ASSEMBLY JUNE 3, 1977 AMENDED IN ASSEMBLY MAY.26, 1977 CALIFORNIA LEGISLATURE--1977 T8 REGULAR SESSION ( ASSEMBLY BILL ' No. 1422 Introduced by Assemblyman Cordova April 6, 1977 REFERRED TO COMMITTEE ON RESOURCES, LAND USE, AND:ENERGY „ An act relating to tide and submerged lands in the City of. Newport Beach, and in thisconnection repealing Chapter 70 of the Statutes. of 1927, Chapter 142 of the Statutes of 1929, Chapter 574 of the Statutes of 1929, Chapter 813 of the Statutes of 1929,and Chapter 200 of the Statutes of 1931.1A31, and declaring ` the urgency thereof, ' to take:. effect immediately. . LEGISLATIVE COUNSELS DIGEST' AB 1422, as amended, Cordova (Res., L.U., & E.). City of Newport Beach: tide and submerged lands. Chapter 70 of the Statutes of 1927 grants tide and sub- merged lands bordering upon, in, and under Newport Bay and not granted to the City of Newport Beach or the County of Orange prior to July 29,1927, to the City of Newport Beach subject to the conditions that (1) the lands be used for a .. harbor and related facilities, as specified, for the promotion or accommodation of commerce and navigation, (2) the lands maybe leased under certain circumstances, (3) the harbor be improved by, the city and remain a public harbor, (4) no discrimination be permitted with respect to the harbor and related facilities, and (5) public fishing .rights be reserved. 10 7 135 21 • -. bBJ422 —2 Chapter 813 of the Statutes of 1929 grants tidelands, sub -- merged lands, and filled lands lying. within the corporate lim- its of the city, bordering upon, in, andunder. the Pacific Ocean, and not granted to the city or county prior to August 14, 1929,. to the city subject to the identical conditions. Chap- ter 574 of the Statutes of 1929 supersedes a grant to the county made by Chapter 526 of the Statutes of 1919 and the grant to the city made by Chapter 70 of the Statutes of 1927 by author- . izing leases for 50, rather than 25, years (Chapter 526, Statutes of 1919, however, was amended.by Chapter 575, Statutes of 1929 to provide for such 50-year period). Chapter 142 of the Statutes 1929 and Chapter 200 of the Statutes of 1931 confirm the line of ordinary high tide in various parts of Newport Bay as established in specified judicial decrees, and Chapter 200 declares that certain lands lying above suchline constitute natural accretion to described uplands and belong to and are a part thereof. • ... -. This •bill would repeal ail of the foregoing provisions of existing law and would. grant in trust to the city all tide and • submerged lands,: whether filled or unfilled, bordering upon and .under the Pacific Ocean or Newport. Bay, which were • within the corporate limits. of the city on July 25, 1919. This grant would be subject to conditions similar to those to which the aforementioned grants of 1927 and-1929 were subject and 'would also be subject to the following additional conditions: (1) The city would.be required to use the lands for speci- fied recreational purposes : and facilities and to preserve, . . maintain, and enhance the lands in their natural state. - (2) The city would be authorized to lease specified lots, as described, with rent therefor to be determined upon the fair market value • of such lots as unimproved subdivided lots, (3) The city would be authorized to .transfer granted lands to the state actingthrough the State Lands Commission for lease to the Department of Fish and Game for an ecological reserve or wildlife refuge; or both, and other compatible uses to be undertaken by the department. • (4} The city would be required to establish a separate tide= lands trust fund and to manage and expend tidelands; reve-. nues'in a specified manner: (5) The city'scompliance with the terms of the grant 9 AB 1422 . ( would be subject to review by the State Lands Commission, • and the grant would be subject to revocation under certain circumstances Further, the bill wouldrequire the city to establish a city • tideland capital ftind, into which revenue from the lots men- • .; tioned in (2), above; would be required to be deposited. Such k. revenues would be available only for. the acquisition of real property that will further the purposes of the trust created by the bill and only with the approval of the commission. Further, the bill would release the lands consisting of the described lots mentioned in. (2); above, from the public' trust for-coniinerce, navigation, and fisheries upon the city% ac- • quiring or transferring other lands, as approved by the coin, mission; that will further the purpose of the trust , • The bill would provide that neither appropriation is made nor obligation created for the reimbursement of the' city for any costs incurred by it. pursuant to the bill.... The bill would take effect immediately as an urgency ,stat- Votet majority- fkApprepriation: no. Fiscal comnnttee. yes. . . The people of the State of California do enact as follows: 1 SECTION 1. -There i.s heieby granted to the City of 2 Newport Beach and its successors all of the right, title,* 3 and interest of the State of California held by the state by 4 virtue of its sovereignty in and to all that portion of the 5 tidelands and submerged , lands, whether filled or 6 unfilled, bordering upon and under the Pacific Ocean or 7 Newport Bay in the •County of Orange, which were 8 within the corporate limits of the City of Newport Beach, 9 a municipal corporation, on July 25, 1919; the same to be ( 10 forever held by the city and its successors in trust for the 11 uses and purposes and upon the following express 12 conditions . 13 (a) That the lands shall be used by the city and its 14 successors for purposes in, which there is a general 15 statewide interest, as follows: ((s_ 16 (1) For the establishment improvement, and conduct 17 of a public harbor; and for the construction, maintenance, • •, • . • :10 7 160 26 • AB 1422 1 and operation thereon of wharves, docks, piers, slips, « 2 quays, ways, and streets, and other utilities, structures, 3 and appliances necessary or convenient for the 4 promotion or accommodationof commerce and 5 navigation. 6'. (2) For the establishment, improvement, and conduct 7 of public bathing beaches, public marinas, public aquatic ( 8 playgrounds, and similar recreational facilities open to 9 the general • public; and for the construction, 10 reconstruction, repair, maintenance, and operation of all 11 works, buildings, facilities, utilities,: structures, and 12 appliances incidental, necessary, orconvenient for the. 13 promotion and accommodation of any such uses. 14.. (3) For the preservation, maintenance, . and 15 enhancement of the lands in their natural state and the 16 reestablishment of the natural state of the lands so that . . 17 they may serve as ecological units for scientific study, as 18 open space, and as environments which provide food and 19 habitat for birds and marine life, and which favorably 20 affect the scenery and: climate of the area. 21 (b) Except as otherwise provided in this section, the 22 city or its successors shall not, at any time, grant, convey, 23 give, or alienate the lands, or any part thereof, to any 24 individual, firm, or' corporation for ' any . purposes 25 'whatever; except, that the city or its successors may grant 26 franchises thereon fora period not exceeding 50 years for • 27 wharves and other public uses and purposes and may 28 lease the lands, or any part thereof,. for a period not 29 exceeding 50 years for purposes consistent with the trust. 30 upon which the lands are held by the state and with the 31 uses specified in this section: 32 (c) The lands shall be improvedwithout expense to 33 the state; provided, however, that nothing contained in 34 this act shall preclude expenditures for the development 35 of the lands for any public purposes, not inconsistent with 'f 36 commerce,navigation, and fishery, by the state, or any 37 board, agency, or commission thereof, or expenditures by 38 the county or city of any funds received for such purpose 39 from the state or any board, agency, or commission. 40 thereof. 10 7 170 28 . (o • • 1 (d) In the management, conduct, operation, and 2 control of the lands or any improvements, betterments, 3 or structures thereon, the city or its successors shall make • 4 no discrimination in rates, tolls, or charges for any use or 5 service in connection therewith. 6 (e) The state shall have the right to use without charge 7 any transportation, landing, or storage improvements, 8 betterments, or structures constructed upon the lands for 9 .any vessel or other watercraft or railroad owned or 10 operated by the state. . 11 (f). There is hereby reserved to the people of the state 12 the right to fish in the waters on the lands with the .right 13 of convenient access to the waters over the lands for such 14purpose, which rights shall be subject, however, to such 15 rules and regulations as are necessary . for • the. 16 accomplishment of the purposes specified in subdivision. 17 (a) of this section. 18 (g) Notwithstanding any provision of this section to .. 19 the contrary, the city may leasethe lots located within 20 Parcels A, B, and C described in Section 6 of this act for: . 21 the purposes set forth in this section and for a period not ' 22 to exceed 50 years. Ybte cotlsiceratiornto lie rekeiv;dd by 23 titre dity cot su¢h IS -es shall b+s d$tternimed?441khe.fair • .. 24 aoarjket vs(hye otsudh iptseas gr[un?royed Sabd/tided lefty ' 25 . shch i¢ases shall lde atoprevect bie the . State LQtrds • 26 ?sr/mission, /nit sdch lenses lha 1 jsot effdctyve,dntil� 27 p dpp7oyedt1 The consideration to be received the City for such Mises shall be the fair market rentafva ue of such oT is as finished subdivided lots with existing streets and utilities. All such leases may be reviewed by the State Lands Commission for compliance with the provisions of this act. I Ail money received by the city from such 2-roxistrng and hiture leases of such lots shall be deposited 29 ` in the city. tideland capital fund in accordance with the 30 provisions of this act.. 31 • (h) With the approval of the State Lands Commission, 32 the city may transfer portions of the lands granted by this 33 act, or held pursuant to this act, to the state acting by and 34 through the State Lands Commission, for lease to the . 35 Department of Fish and Game for an ecological reserve 36 or wildlife refuge, or both, and other compatible uses to 37 be undertaken -by the department; provided, however, 38 that if at any time the Department of Fish and Game no 39 longer uses such portions of the lands so transferred by 40 the city to the .state . for such purposes, the lands so 10 T 180 30 AB 1422 1 transferred shall revert to the city to be held pursuant to �(T. 2 the provisions, of this act. Upon approving such a transfer: 3 from the city to thestate, the State Lands Commission. 4 shall lease the lands sotransferred to the Department of • 5 Fish and Game.: The .,public benefit, shall. be •the sole, 6 consideration to be received. •. by : the -.State Lands 7 Commission from the -Department of Fish and Game for ((L(I 8 that .lease.. Airy and: all income: received by: the . 9 Department of Fish and:.Game from the lands so leased 10 shall be used only in connection with the department's 11 improvement and administration: of the: leased. lands:' 12 . (i) The city shall establish a. separate tidelands trust 13 fund or funds in such manner as may be approved by the. :.. 14 State Lands:.Commissioii, and the city shall deposit in the 15..fund orfunds;all.:.moneys received' -'directly: from, or 16 indirectly attributable>to the granted tidelands in the . 18 (j)' Notwithstanding4any other provision oflaw to the !,19 • contrary;the., city;.;actmg either alone_ or. jointly with 20 another local or state agency, may use revenues. accruing : 21 from or out of the use of the granted tidelands for any or. ' 22 all ofthe 13urpesetiset forth in this act. Such revenues may • 23•. be..deposited:.jn;ooe orh:mbre reserve funds for use in c,7 24'. accordance with the terms and conditions set fortku} this ..25 tract ...T « y 26 (k)- As to ` the ".accumulation and'` expenditure of 27 • rev,enues . for-: any“ -:single: capital improvement; on .the 28granted. lands involving an amount .m excess of two 29: hundred fifty:: thousand dollars : ($250,000). _ in: the 30 aggregate, the "city• shall file . with . the State .Lands 31 Commission a::detailed description of . such : capital .32:: improvementnot less than. 90 days prior to the time. of 33 ' anydisbursement, therefor- or inconnection therewith:: 34 .Within:•90 days after the; time of_such'filing; the State'. 35 Lands; conamissiOn. may,; determine ;and :notifythe city 36 that; such capital improvement 1s not . in the: statewide : 37 interest and benefit or is not authorized by the provisions 38 : of : subdivision,.; (j) of r this ;'section: The,:,State , Lands 39 Commission, may, request the opinion:;of the Attorney (( 40 General on the.:matter, and, if. it .does so, acopy of:such' `4. 10 7:190 32 S —7— f AB 1422 . 1 opinion shall be delivered to the city with the notice of 2 its determination. In the event the State Lands !I 3 Commission notifies the :city that such capital 4 improvement is not authorized, the city shall not disburse • 5 any revenue for • or' in connection with :.such capital 6 improvement • unless and until it is determined . to be ( 7 authorized by • a final order .or. judgment of a court of 8 competent jurisdiction. The city is authorized to bring 9 suit against. the state for the. purpose of securing such an 10 order or adjudication, which suit shall have priority over. . 11 all other civil matters. Service of process shall be made 12 .upon • the Executive. • Officer. . of the State ..Lands 13 Commission and the Attorney General, and the Attorney 14. General shall defend the state in such suit.. If judgment be 15 • given against the state in- such suit; no costs shall be 16:'-recovered against it. - 17C.. (1) On June 30, 1978, and on June 30 of every third 18 .fiscal year thereafter; that .portion of. the city tideland . 19;3 trust revenueslin excess of. two hundred. fifty thousand _ _ - 20 a dollars ($250,000) remaining- after current and accrued 21"operating costs and expenditures directly related to the 221-2 operation or maintenance of tideland trust activities»ai0 23' becn•ade shall be deemed'excess revenues. However,r .. 24 •: any funds deposited in a reserve fund for future' capital.: -_ 25 ' 'expenditures or any funds used to retire bond issues for 26 the improvement or operation of the granted lands shall 27.• not be deemed excess revenue. Capital improvements of .28 . the granted lands for 'purposes authorized by this act, 29 , includin such improvements which maybe. paid..for.by ., 30 • the ci %HM rovJrtuts tjlat.are subjOct tctsubdivis 3tor'rg d . 31 of ttit*segtioNngsy be considered as expenditures .1 32 Rayons:: yons: of • ()ete/mining /NA° ryvenseg;j on lands transferred to the State pursuant to subdivision (h) of this section, may be considered as expenditures for -The -purposes of determining excess revenues; proviaea; 33 ' however, that if made after the effective date of. this act -34 they may be. so considered only if made in accordance ..:. 35 with subdivision • (k) of this section. The excess. revenue, . 36: • as . determined :pursuant to this subdivision,. shall • be 37 allocated as follows: 85 percent shall be transmitted to the • 38 State Treasurer. for deposit in the General Fund in the 39 State Treasury;'and 15 percent. shall be retained by the. . • 40 city for deposit in the trust fund for use. for any purpose • • ' .10 t 200 34 AB 1422 — 8 — 1 authorized by subdivision (j) of this section. 2 (m) At the request of the city; the State Lands 3 Commission shall grant an extension of time, not to 4 exceed 30 calendar days, for, filing any report or 5 statement required by this act, which was not fled due'. 6 to mistake or inadvertence. " 7 . (n) In the event that the city fails or refuses to file with 8 the State Lands. Commission any report, statement, or 9 document requiredby any provision of this act, or any 10 extension period granted pursuant to this act, or fails or. 11 refuses to carry out the terms of this act, the Attorney 12 General shall, upon the request of the State Lands 13. commission, bring such judicial . proceedings for 14 . correction and enforcement as are appropriate and shall, . 15 act to protect any improvementsto, or assets situated 16 upon, the granted lands or diverted therefrom. The State 17 Lands. Commission shall notify the Chief Clerk of the 18 , Assembly and the Secretary of the Senate within 30 days 19 of the occurrence of such failure or refusal and of actions. 20 taken as a result thereof. 21: - (o) The State Lands.: Commission shall,from time to 22; time, recornmend to the Legislature such amendments as 23 it may deem necessary in the terms and conditions of .this 24 act. 25 (p) The State Lands Commission shall; from time to 26 time, institute a formal, inquiry to determine that the 27 terms and conditions, of this act,and amendments 28 thereto, have .been complied with in good faith.... 29. (q) On or before December 31 of each year, the State • 30. Lands Commission shall report to the Chief Clerk of the 31 Assembly and . to the . Secretary of the Senate .the full 32 dbta ]s" of any trafsaction . or condition reported to the 33 commission pursuant. to this act which it deems in (5. 34 probable conflict with the requirements of this act or 35 withany other . provision of law. Upon request by L 36 resolution of either house of the Legislature, or upon 37 formal request of'the State Lands Commission made only '38 after a noticedpublic hearing at which the city has been • 39 given an opportunity to. express fully any.disagreement 40 . with the, commission's findings or to describe .any 10 7 230 40 : 10 —9— AB1422 , 1 extenuating circumstances causing the violation, the 2 Attorney General shall bring an action in the Superior Y3 Court in the County of Orange to declare that the grant 4 under which the city'holds such tidelands and submerged 5 lands is revoked. for' gross and willful violation of the 6 provisions of this actor any other provision of law: or'to y . 7 compel compliance with the requirements of this act and 8 any other provision of law. • 9 (r•) The city shall cause to be made and filed annually 10 with the State Lands Division a detailed statement of 11 receipts and expenditures by it of all rents, revenues, 12 issues, . and profits in any manner arising after the 13 effective date of this act from the granted lands or any 14 improvements, betterments, or structures thereon. 15, (s) The Department of Fish•and Game shall establish 16 the funds and make the deposits required by subdivision Y. 17 (i) of this sectidgand.shall prepare and file statements 18 required by subdivision (r) of this section as to any lands 19 transferred to the state pursuant to subdivision (h) of this 20 section.... " 21- (t) The,provisiciiteoP$hapter 2 (commencing with 22 Section • 6701) of Part. 2 .of Division 6 of. the Public 23 Resources Code shall be applicable tothis section. The 24 provisions of Section 6359 of the Public Resources ,Code 25 shall not be applicable to this section. . 26 SEC. 2. The City of Newport Beach shall establish a 27 city tideland capital fund as one of the funds required by 28 subdivision (i) of Section 1 of this act. All money received 29 by the city pursuant to the provisions of subdivision (g) 30 of Section 1 of this act shall be deposited in the fund. The 31 city may also deposit such other income from the lands 32 granted to the city in trust by this act as the city deems 33 appropriate. All money in the fund shall be used by the 34 city in conformity with the . following terms and 35 conditions: . 36 (a) Expenditures from the fund may be made only for 37 the acquisition. of real property that will further the 38' purposes of the trust created by this act and for capital 39 improvements for such purposes,, to be constructed on . ,.40 such real property so acquired, and, the operation and Y . 107240 42 1I tz AB1422 • 1 .maintenance thereof: - "' (b) The city is authorized to suoh acquisitions of 3 real property by puschase, gift ov-othbr conveyance of .. 4 iact rieal psopektyt tb ale cit et,, the transfer of 5 city-otvned property held its a pwprie aft oapw,city to tine twat cseaterby.tivs.aot.l (b) The City is authorized to make such as:: gjjisitimr�s of_r_a..I property by pu chase, gift, or other conveyance, including but out limited to, the transfer of City -owned prnper_ty held in a mUni!- cipal capacity to —the trust oranted.by th3 Wit. • {All such real property shall be 7 held by the city in trast pursuant to the provisions of this 8.-___act_ 9 • (c) For purposes of this section, -acquisitions of real 10 property by the city for purposes of enhancing the lands 11 administered by the Department of Fish and Game 12• pursuant to Chapter 415 of the Statutes of 1975 shall be 13 deemed to be in furtherance of the purposes of the trust 14.__ctea1ed_by this act • • 15 (d) , nfp edpflditierl.:may be :made frorn the fubid 16 without the advanee approval of tjae State Lanais 17....Qoructi3cion. { .. (d) list capital expenditure ,_r reimbursement transfer. tg City Pursuant to subdivision. CO of this section may be mak trio the fund without.the. advance ea - pal of the Siete Lands •Commission 18 (e) The' city may uce ct4y prreprieteay funds to -acquire 19 real pr'epenty far purposes specified its this section. The• • 20 .city may transfer am'b4rnts from the city tideland capital _ ".( .- 21 frind to. reimburse :cityi"titt$$n,pe%arr hands- for such. '. 22 expenditures, together with an appropriate arnouxt M 23 ittteras op snob fintds aderuiceel, if such expenditures of. 24. citvy ,ir fdrrds are made after the effective 41ate • (e) The City may use City municipal funds to arquire real pre erty fgr purposes specified in this section. The City may transfer amounts from the City Tideland Capital Fund to reimburse City municipal funds f.Qr such expenditures, together with an-apprnpriate aMQ.Unt el interest Gn such funda advancesi, if $uch expenditure Qf City m,na1 funds are made after the effective date 25 of this act and the State Lands Commission gives advance . 26 approval of such a transaction. 27 SEC. 3. • The Legislature makes the following findings 28 and determinations: > • . 29 (a) By Chapter 70 of the Statutes of 1927, as amended, 30 the Legislature conveyed certain. tide and submerged • 31 lands in : trust to the City of Newport Beach for the 32 purposes therein stated, Primarily for the promotion and 33 accommodation of commerce and navigation: ( 34 (b) Certain portions of such tide and submerged lands 35 have been filled and reclaimed as a result ofa plan of 36 improvement of the granted tide and submerged lands, • 37 including the development . of a harbor facility. Such • 38 portions are as described in Section 6 of this act :and Y hereinafter are referred to as Parcels A, B, and C.. ' • C 40 (c) Thole ptrtipns pf Pakcels At B, and C vthith 4fltv (c) Those portions of Parcels A, B, and C which are f 'z —11— AB1422 , �•, 1 sttm'at ,rsd'oks rp Eoek 94 ofIrv+rfe's.Subdivisiorrs r 2 friar find izzeBoag 1,4agaof18, ofMiseellartetus ecoycp'- 3 Dkapj,iwthe officeef the eougkf$ rder f th Cc tfnty , 4 eY , raetelatts boing'nelertively small pertinn 5 i gpantpd tide aged snbnntarged4lanyls, kewve been;fiasea •, ' :- described in Section 6 of this act being a relatively small portion of such granted tide and submerged lands have been divided into lots and.leased, 6 and are producing income to support the statutory trusts 7 . under which such tide and submerged lands are held by 8 the city, and,: except for the production of income to ± support such trusts, are -no longer required or needed for . C C_ 9 10 the promotion of such trusts. . 11 (d) The • lots located within Parcels A; B, and C, . 12 .inclusive, having been filled and reclaimed, are no longer 13 submerged or below the mean high tide line and are no 14 longer needed or required for purposes of navigation, • 15 'commerce, and fisheries and are freed of the public . f• 16 . fgr : navigdtign; cdrw merce, arj) fisiherlieep quit/ sM ll for navigation, commerce, and fisheries, and ma_y continue to! Brused for those purr purposes set forth in tli existing Teases and subleases of.such lots, but which 17 . continue to be held in trust by the City of Newport Beach • — 18 subject to the other terms and provisions of this act and 19 other .Iaws• applicable to the tide and submerged. lands 20 included in the grant to the city, Xlittsubjektlto.go- ' 21.. to tdstion ofr use other /thsn the. vise? set?fctthoir, the 22: pittingleasestand sulllealses pf saclyletss Further, sucft'=' 2,3 .. lots shallbe so held subject to the condition that the 24 • • revenues derived 'from the leasing or administration of 25 such lots shall be used as provided in this act. Nothing in 26 this subdivision shall operate to terminate the public trust 27 . for navigation, commerce, and fisheries' over those 28 portions of Parcels A, B, and C which are streets and 29 'beaches of Newport Bay. The determination and finding' • 30 set forth in this subdivision shall become effective as 31 provided in Section 4 of this act. • 32 • (e) 'The release of the lots within Parcels A; B, and C, 33 inclusive, from the public trust for commerce, navigation, 34 :;and fisheries to the extent expressed in subdivision (d) of 35 .this section is in the best interests of .the people 'of the 37 , SEC. 4. The findings and determinations in Section 3' 38 of this act terminating the public trust for navigation, 39 commerce, and fisheries • over the lots located within 40 Parcels A, B, and C shall become effective upon the city's 3 . AB 1422 -12 — • 1 acquiring or transferring such parcels of real property, 2 pursuant. to Section 2 of this act, as the State Lands 3 Commission shall determine to be appropriate, taking 4 into consideration the size of the. area .affected by the A, Isznination; the trust purposes that can be accomplished 6 by such acowisitior or transfer, andthe value. of the real 7 property acquired or transferred and upon the recording 8 of an appropriate document in the Office of the County 9 Recorder of the County of Orange reflecting the State 10 Lands Commission's determination. 11 SEC. 5. The lands granted pursuant to Section 1 of 12 this act shall be held by the city subject to the express 13 reservation and condition that the state may at any time 14 in the future use the lands, or any portion thereof, for 15 highway purposes without compensation to the city, its 16' successors or assigns, or any. person, firm, or public or 17 private corporation claiming under it; except that, in the 18 event improvements have been placed upon the 19 property taken by the state for . such purposes, 20 compensation shall be made to the person entitled 21 thereto for the Value of snob' person's interest in the i'' 22 improvementstaken or the damages to such interest. The 23 provisions of this section shall not be applicable to the lots 24 located within Parcels A, B, and C. • 25 SEC. 6. The parcels of real property referred to in 26 .this act are prescribed as follows: 27 PARCEL A •28 Beginning at Station No. 8 in the Line of Mean High 29 Tide per judgment rendered in Case No. 20436, Superior 30 Court of California, County of Orange, recorded in Book 31 651, page 72 of Deeds, records of said Orange County, said 32 Station No. 8 being at the easterly terminus of that certain 33 course in said Line of Mean High Tide shown as "North 34 71° 54' 00" West, 1573.34 Feet" on a map of Tract No. 4003 35 recorded in Book 188, pages 13 through 19 of 36 Miscellaneous Maps, records of said Orange County, said 37 beginning being a r4s= lid" iron pipe as shown on said 38 map of Tract No. 4003; thence along said Line of Mean , 39 High Tide, South 85° 40' 37" East, 606.01 feet to a point in 40 a line parallel with and 100.00 feet easterly from the 10 7 290 52 l • iv . —13— . AB1422 1 easterly line of Lot G as shown on a map filed in Book 9, 2 pages 42 and 43 of Record of Surveys, records of said 3 Orange County; thence along said parallel line South 4 160.46 feet to a point in the Ordinary High Tide Line per 5 judgment rendered in Case No. 24026, Superior Court of 6 California, County of Orange, recorded in Book 199, page 7 275 of Official Records of said. Orange County, said point 8 being the True Point of Beginning of this description; 9 thence along said Ordinary High Tide Line the -following 10 courses: North 82° 30' 00" West, 297.66 feet to an angle 11 .point therein; thence South 84° 00' 00" West, 160.00 feet; 12 thence South 57° 00' 00" West, 100.00 feet; thence South 13 32° 52' 00" East, 243.24 feet to a line that is parallel with 14 and distant 28.00 feet northerly, measured at right angles, 15 from the U.S. Bulkhead Line, as shown on U.S. Engineer's 16 Map of Harbor Lines of Newport Bay, dated March 20; 17 1936, and approved April 28, 1936; thence leaving said 18 Ordinary High Tide Line and along said parallel line East, 19 148.00 feet to the southeasterly corner of Lot 19 as shown 20 on.a map filed. in Book 9, pages 42 and 43 of. Record of 21 Surveys, records of said Orange County; thencealong the ., 22 easterly line of said Lot 19 North 100.00 feet; thence East 23 40.00 feet; thence South 100.00 feet; thence East 198.10 24 feet to a line parallel with and distant 20.00 feet westerly, :. 25 measured at right angles from that certain course and 26 . southerly prolongation thereof, recited as; "South, 160.46 27 feet"; thence along said parallel line North 132.00 feet; 28 thence East 20.00 feet; thence North 104.64 feet to the 29 True Point of Beginning of this description. 30 Containing 2.694 acres, more or less 31 PARCEL B . 32 Beginning at U.S. Bulkhead Station No. 200 as shown on 33 map entitled "Harbor Lines, Newport Bay Harbor, 34 California," Sheet 1 of 2 of File Map No. 958, dated March 35 20, 1936, and approved April 28, 1936, and on file in the 36 office of the U.S. Engineer, Los Angeles; California, also 37 being on the Ordinary High Tide Line per judgment 38 rendered in Case No. 24026, Superior Court of California, 39 County of Orange, recorded in Book 199, page 275 of 40 Official Records of said Orange County, said beginning 10 7 300 54 9 15 AB 1422 -14- 1 being a 2" iron pipe as shown on a map of Tract 3867, 2 recordedin .Book 301,:.pages 40 through 46 of 3 Miscellaneous Maps, records of . said Orange County; 4 thence along said. Ordinary High Tide. Line as described 5 in said Book 199, page.275 of Official Records, North 39° 6 48' 00" West, 36.44 feet to a point iri aline that is parallel 7 with and distant 28.00 feet northerly, measured at right 8 angles, from the U.S. Bulkhead Line as shown on said U.S. 9 Engineer's Map, said point also being the True Point of 10 Beginning of thisdescription; thence continuing along 11 said Ordinary High Tide Line, North 39° 48' 00" West, 12 432.17 feet; thence leaving said Ordinary High Tide Line, 13 .South 56° 56' 29" West, 3.24 feet to a point in a nontangent 14 curve, concave northwesterly and having a radius of 15 171.63 feet, a radial line of said curve from said point bears 16 North 67e 48' ' 00" West; thence southerly '. and 17 southwesterly along said curve 76.60 feet through a. 18 central angle of 25° 34' 20" to a point of nontangency with • 19 a line that is parallel. with and distant 105.32 feet 20 southwesterly, measuredatright angles, from that c 21 certain course recited above as "North 39° 48' 00" West, 22 43217 feet"; thence along said parallel line; South 30° 48' 23 00° East, 328.27 feet to said line described above as being 24. parallel line East, 137.09 feet to the True _ Point . of 25 Beginning of this description.. 26 Containing 0.925 acre, more or less. . 27 .. PARCEL C 28 Beginning at U.S. Bulkhead Station No. 200 as shown on 29 map entitled "Harbor Lines, Newport Bay , Harbor, 30 California," Sheet 1 of 2 of File Map No. 958, dated March 31 20, 1936, and approved April 28, 1936, and on file in the 32 office of the U.S. Engineer, Los Angeles, California, also 33 being on the Ordinary High Tide Line per judgment :( 34 rendered on Case No. 24026, Superior Court of California,. 35 County of Orange, recorded in Book 199, page 275 of 36 Official Records •of said Orange County; said beginning • 37 being a 2" iron pipe as shown on a map of Tract No: 3867, 38 recorded in Book 301,.pages 40 thrbugh.`46: of 39 Miscellaneous Maps, records of said Orange:. County;. 40 thence along said Ordinary High Tide Line as described •.20 7 3I0 56 -15 AB 1422 1 in said Book 199, page 275 of Official Records, North 39° 0+ 2 48' 00" West, 539.22 feet to the True Point of Beginning 3 of this description; thence continuing North 39° 48' 00" 4 West, 146.59 feet; thence South 23° 57' 30" West along the 5 southwesterly prolongation of that certain course 6 described in said Case No. 24026 as "North 23° 57' 30" East, 7 138.90 feet" a distance of 126:34 feet to a line that is 8 parallel with and. distant 113.32 feet southwesterly,: 9 measured at right angles, from that certain course recited 10 above as "North 39° 48'. 00" West, 146.59 feet"; thence 11 along said parallel line, south 39° 48' 00" East, 137.64 feet 12. to a point in a nontangent curve, concave northwesterly 13 and having a radius of 131.63 feet, said curve being 14 concentric with and 40.00 feet northwesterly, measured 15 radially, from that certain curve described in Parcel` B 16 above as having a radius of 171.63 feet, a radial line of said • 17 curve from said point bears .North 39° 28' 52" West thence 18. northeasterly and northerly along said curve 74.56 feet:. 19 through a central angle of 32° 27'. 23"; thence tangent to . . C 20 said curve, North 18° 03' 45" East; 50.27 feet to the True 21 Point of Beginning of this description. 22 Containing 0.387 acre, more or less. 23 . SEC: 7. If any provision of this act or the application 24 thereof to any person or circumstances is held invalid, 25 such invalidity shall not affect other provisions or 26 applications of this act which canbe given effect Without 27 the invalid provision or application, and to thisend the 28 provisions of this act are severable. 29 . SEC. 8. Chapter 70 of the Statutes of 1927 is repealed. 30 . SEC. 9. Chapter 142 of the Statutes of 1929 is 31 repealed. 32 SEC. 10. Chapter .574 of the Statutes. of 1929 is 33 repealed. 34 SEC. 11.. Chapter .813 of the Statutes of 1929 is 35 : repealed: 36 SEC. 12. Chapter 200 of the . Statutes of . 1931 is 37 repealed. 38 SEC. 13. No appropriation is made by this act, nor'is 39 any obligation created thereby under Section 2231 of the - .: 40 Revenue and Taxation Code, for the reimbursement of. 17 AB 1422 --- 16 --- 1 the City of Newport Beach for any costs that may be ( • 2 incurred by it in carrying on any program or performing ,1 3 any service required to be carried on or performed by it 4 by this act. 5 SEC. 3. This act is an/urgency statute necessary for (1 6 the immediate preservation of the public peace, health, • 7 or safety within the' meaning of Article IV of the ( 8 Constitutionandshaligointoimmediate effect- The facts 9 constituting such necessity are: • - 10 This act prescribes requirements for the handling of 11 moneys received by the aty of Newport Beach directly 12 from, and indirectly attributable to; tidelands granted to 13 the city and requires an annual statement of financial 14 condition and operations to be submitted to the State 15 Lands COMMISSICM each year by the city on or before 16 September 30 of each year for the preceding fiscal year. 17 In order that this requirement can become effective 18 without delay to ensure proper handling of these moneys 19 and an annual statement of financial condition and 20 operations be required to be submitted to the State Lands 21 Commission by the city on or before September 30, 1977; 22 for the1976-77 fiscalyear,it is necessary that this act take 23 effect immediately. • . (SEC. 3 will be amended, but the amendments have not I been. prepared.) 10 7 32.5 5 9 • .7 • CITOOF NEWPOET BEt MEMORANDUM: From ASSISTANT CITY ATTORNEY 1O DORIS GEORGE, City Clerk RE: Consent to Sublease'of The Irvine Company, a West Virginia Corporation to The Irvine Company, a Michigan:Corporation, Beacon Bay Lease - Balboa Yacht Basin Sublease 7/14/77 19 On July 11, 1977 the City. Council approved and consented to an assignment of sublease of that portion of the Beacon Bay lease known as the Balboa. Yacht Basin from The Irvine Company, a West Virginia Corporation, to the Irvine Company, a Michigan Corporation. To facilitate the assignment, it will be necessary, as it was in.1971, the last time the Balboa Yacht Basin lease was assigned, to have the Mayor execute the consent, which will be attested by the City Clerk. At the request of Rogue Hemley of Latham & Watkins, attorneys for Taubman -Allen -Irvine, Inc., who will acquire the present Irvine Company and thereafter merge itinto the Irvine Company, a Michigan Corporation, it will be necessary for. the Mayor and City Clerk to execute the consent to assignment in triplicate. Therefore, I am sending you three copies of the consent to ), assignment which this office.approves of, to be executed. Upon;,e,.fi execution, please return them to this office and we will forward them to Latham .& Watkins for further processing. Once the consent to assignment is received, a consent, assign- ment and assumption agreement will be executed by The Irvine Company, a West Virginia Corporation, The Irvine Company, a Michigan. Corporation and the Beek. family. They willprovide us with conformed..copies of all of the necessary documents. When they are returned to us:we will send you a conformed copy for your files. Should you have questions regarding this matter, please don't hesitate to contact me. HRC:yz Reply wanted Reply not necessary G Assis•.:nt ity +! to ey By NI•to CI • OF NEWPORT BtACH MEMORANDUM: From Assistant City Attorney Aestetmrt city Manager 8aptsebSt 5. TO Rio Readjustment Of Rents inamannInrit Pursuant to our scent oenvereation„ I am sending gnu copies of the correspondence from 1965 in reference to this natter. As I understand it, an audit will be conducted within the next few months and this matter will be Looked into at that tins. Reply wanted Reply not He-ta eel EfD City Clerk By David R. Oaade Fir. 3. A. Beek 410 South Bay Front Balboa Island, California Dear Mr. Beek: Re: Beaco Bay Lease The City. Council, has directed me to write to you regardieg tha,enforceraent of the rental readjustment clause which eppears.on page 6 of the Bead Bay Master Lease. The clause in question provides in substance that all subleases of the 'Beacon Bay prop-, erty shall contain a provision providing =tt read- justment of the rents payable by the sublessees et least emery five"yeers in accordance with changes in the "Cost of Living Index". Although the required provision was included in all of the subleases, a. readjustment of rentals has never been made. . Ourresearch discloses ttat-the rentals payable under the subleases were subject to adjustment op January 1, 1955, January 1, 1960, and January 1, 1965. The City Council has determined that it will not attenot do claim the:aeditional rental payments whech appare ently would have resulted had rental adjustments been made in 1955 and 1960. However, the Council does request that you proceed to make a.readjustment of the rentals payable under the subleases se efJanuary 1, 1955, in accordance with :the readjustreet provision in the raster lease. Based upon our.preli_nary esti mate we anticipate that the City will receive an addi- tional rental increment of approximately $2,206 for the year 1965 as a result of such readjustment. if you bees any questions regarding this matter, please contact the undersigned or.er. Harvey L. FLi lburt, our City Manager. May I ta?ca this opportunity to thank you for .sending us dies of the Goverre-nt Code provision relating to the -Mr. J. A. Beek May 25, 1965 leasing of tidelands for residential purposes,:our cooperation is most appreciated. Very truly yours, TSS:rec cc -. City Manager ,.'.:. City Clerk:/ Finance Director Tally : R. Seymour.. City Attorney, CITY OF NEWPORT BEACH CITY ATTORNEY DEPARTMENT May 13, 1965 To: The Honorable Mayor and Members of the City Council From: City Attorney Subject: Beacon Bay Lease ---enforcement of clause providing for. adjustment of rental payments in accordance with changes in Cost of Living Index Introduction: In the master lease of Beacon Bay between the.City and various members of the Beek Family dated January 9, 1950, the following provision appears on page 6: "It is further agreed by Lessee that any sublease here- after made of any part of the demised premises shall contain a provision providingfor periodic (but not more than once in five years) readjustment of rentals in accordance with the commodity index, known as the "U.S. Bureau of Labor Statistics Cost of Living Index", or such other index as may be agreed upon between Lessee and sublessees." A cost of living clause was included in the sublease between the Beek Family and the Balboa Yacht Basin dated February 28, 1950, and in each of the subleases of the individual residential lots, approximately 72 in number. In its audit report dated January 29, 1965, Ira N. Frisbee and Company advised the City Council that its test of the subleases indicated that no adjustment of rentals had been made in accord- ance with the cost of living clauses contained therein. Questions: (1) Do the City's lessees (the Beeks) have a duty under their master lease with the City to enforce the cost of living`clauses contained in the subleases? Yes. The only purpose for requiring the inclusion of such clauses. in the subleases was to insure that the City would be protected during subsequent periods of inflation. Although the wording of the requirement in the master lease could have been more explicit, we are of the opinion that the City's lessees are legally obli- gated to makeperiodic adjustments of the rents payable by the sublessees in accordance with the provisions of the subleases. 40 To: The Honorable Mayor and Members of the City Council -2- May 13, 1965 (2) What is the nature of this obligation? In substance the rental readjustment clauses contained in both the Balboa Yacht Basin sublease and the residential subleases provide for periodic readjustment of rentals in accordance with the "Cost of Living Index" at•intervals of five.years, commencing on Janu- ary 1, 1955. The residential subleases further provide that the adjustment shall be made only if there is an increase or decrease of 15%, or more, in the purchasing power of the dollar from its purchasing power on January 1, 1950; the Yacht Basin sublease does not contain such a limitation. In view of the inflationary period that marked the post -Korean War years it seems probable that the City's lessees should have made rental readjustments on January 1, 1955, January 1, 1960, and January 1, 1965. If these readjustments had been made they would undoubtedly have resulted in increased revenues to the City. An accounting analysis would be necessary to determine the dollar amounts involved. • (3) To what extent is the obligation enforceable? As previously mentioned the duty of the City's lessees to readjust the rents payable by the subtenants arose on January 1, 1955, January 1, 1960, and January 1, 1965. Since the obligation is based upon a written instrument the applicable statute of limita- tions is four years [C.C.P. 337 (1)]. Therefore, we conclude that the City may not hold its lessees liable for the loss in revenue suffered by the City resulting from their failure to readjust the rentals in 1955 and 1960. However, the City may enforce the obli- gation as of January 1, 1965. Such a readjustment would be based upon the decrease in purchasing power of the dollar since 1950 which should result in a substantial increase in revenue to the City. Tull H. Sehrrurultd. THS:mec City Attorney cc - City Manager City Clerk Finance Director • JOSEPH A. BEEK SECRETARY OF THE SENATE SENATE CHAMBER SACRAMENTO. CALIFORNIA V / tS' .......... : �� .:ahfornia trgistat tre /ma�yy , r- er: P ldCi. <Ji a/ Hon. Paul J. Gruber Mayor, City of Newport`Beach' Newport Beach, California.. ,Senate Dear Mr. Gruber: RESIDENCE 528 SOUTH BAY FRONT ' BALBOA ISLAND. CALIFORNIA c'11 .1a` The Committee of the Beacon Bay Community Association dealing with the subject'of a proposed extension of their lease have authorized me to submit to your honorable body the following offer: The Beacon Bay Community Association offers to lease the ap- proximately 22 acres comprising Beacon Bay from the City of Newport Beach fora period of 25 years commencing January 1, 1988 and ending December 31, 2013,.at a yearly rental of $50,000 per year, .with.a cost of living escalator clause at the end of the following years, 1998, 2003, and 2008;. For the right to make.. this lease now, the. Associationwill pay the city a bonus of $200,000 atthe rate of $10,000 per year, commencing in 1968 and continuingyearly thereafter until paid. The Committee further suggests that their members, Messta. Imes B. Fredericks and Joe Earhart, would like to join me in a conference with you or such committee as you would appoint to consider this matter. I will be grateful to you should you find it convenient to hold such meeting on aFriday,-Saturday or Sunday for it is difficult for me to get away from Sacramento, on other days. I would be unable to meet with you on April 23, 24 or 25, but any other Friday, Saturday or Sunday you may select would be agreeable to me. Very truly yours, e RESOLUTION NO:9151.. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH CONSENTING TO THE ASSIGNMENT TO THE IRVINE COMPANY, A MICHIGAN CORPORATION, OF ALL RIGHTS, TITLE AND INTEREST OF THE IRVINE COMPANY, A WEST VIRGINIA CORPORATION, THE ASSIGNEE OF HUGH W. HALEY AND MARGARET E. MEISINGER, UNDER THAT CERTAIN LEASE DATED FEBRUARY 28, 1950 BETWEEN J. A. BEEK, CARROLL B. BEEK, BARTON BEEK AND JOSEPH ALLAN BEEK,.JR., AND HUGH W. HALEY AND MARGARET E. MEISINGER, DOING BUSINESS AS BALBOA YACHT BASIN WHEREAS, by lease dated January 9, 1950, the City of Newport Beach as lessor, and J. A. Beek, Carroll B. Beek, Barton Beek and Joseph Allan Beek, Jr, as lessees, leased. certain real property from the City of Newport Beach, which included the property known as the Balboa Yacht Basin property, as hereinafter more particularly described; and WHEREAS, under that certain lease dated February 28, 1950 by and between J. A. Beek, Carroll B. Beek, Barton Beek and Joseph Allan Beek, Jr., as lessors, and Hugh W. Haley and Margaret E. Meisinger, as lessees, the Balboa Yacht Basin. property was leased to Hugh W. Haley and Margaret E. Meisinger for a term of thirty-eight (38) years commencing on February 28, 1950; and WHEREAS, said lease was assigned to The Irvine Company, a West Virginia Corporation, by resolution No. 7475 of the City Council of the City of Newport Beach adopted June 28, 1971; and WHEREAS, a request has been presented to the City Council that it approve an assignment of the interest of The Irvine Company, a West Virginia Corporation, to The Irvine Company, a Michigan Corporation; and • WHEREAS, the City Council has reviewed the terms and circumstances of said proposed assignment and has determined that the proposed assignment would not have an adverse effect upon the interest of the City of Newport Beach; and WHEREAS, the Balboa Yacht Basin is more particularly described as follows: A parcel of land situated in the northwest quarter of Section 35, Township 6 South, Range 10 West, S.B.B. & M., Orange County, California, to wit: Beginning at a point in the U.S. Bulkhead line between Station No. 200 and Station No.. 101 as shown upon a map entitled "Harbor Lines, Newport Bay Harbor, California", approved May 2, 1936 by the Secretary of War, and on file in the office of the United States District Engineer at Los Angeles, -California, said point of beginning :being East 784;25 feet of said Bulkhead Station. No. 20.0;. running thence_North.424.71 feet to a point in the northerly line of that certain parcel of land conveyed to the City of Newport Beach by The Irvine Company, as described in deed recorded September 25, 1929, in Book 306, Page 375 of Official Records of Orange County, California; thence South 85,°43' East 772.15 feet to the Northeasterly corner of the. last mentioned parcel of land; thence South along the Easterly line of the last mentioned parcel of land 367.01 feet to a point in said U.S. Bulkhead line between Station.No. 200 and Station No. 101;. thence West along said Bulkhead line 770 feet to the point of beginning; containing approximately seven (7) acres. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach that consent is hereby given on behalf of the City to the assignment to The. Irvine Company, a Michigan Corporation, of all right, title and interest of The Irvine Company, a West Virginia Corporation, the successor by assignment of the interest of Hugh W. Haley and Margaret E. Meisinger, under that certain lease dated February 28, 1950, by and between J. A. Beek, Carroll B. Beek, Barton Beek and. Joseph Allan Beek, Jr., parties of the first part and Hugh W. Haley and Margaret E. Meisinger, parties of the second part, recorded March 13, 1950, as Instrument No. 12032 in Book 1984, Page 480, in the Office of the Recorder of Orange County, which • sublease hold interest was assigned to The Irvine Company, a West Virginia Corporation, by assignment dated July 31, 1971 and recorded as Instrument No. 6670 on August 9, 1971 in Book .9752, Page 913, in the Office of the Recorder of Orange County, • together with all buildings and other improvements on said land, subject, however, to the terms and conditions of that certain lease dated January 9, 1950, between the City of Newport Beach and J. A. Beek, Carroll B. Beek, Barton Beek and Joseph Allan Beek, Jr. BE IT FURTHER RESOLVED that the Mayor and City Clerk are hereby authorized to execute a consent to assignment in the conformity with the terms and conditions expressed in this resolution. ADOPTED this llthday of July , 1977 ATTEST: CITY CLRC 0:- THE Girt OF NEN' nAci DATE; • • JUL 1 3 l:t7'• HRd:yz 7/6/77 -3- RESOLUTION NO. 747 5 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH CONSENTING TO THE. ASSIGNMENT TO THE IRVINE COMPANY OF ALL RIGHTS, TITLE AND INTEREST OF HUGH W. HALEY.AND MARGARET E. MEISINGER UNDER THAT CERTAIN LEASE DATED FEBRUARY 2-8, 1950 BETWEEN J. A. BEEK, CAROL B. BEEK, BARTON BEEK AND JOSEPH.ALLEN BEEK, JR., AND HUGH W. HALEY AND MARGARET E. MEISINGER, DOING BUSINESS AS BALBOA YACHT BASIN WHEREAS, by a lease dated January 9, 1950, the City of Newport Beach as Lessor, and J. A. Beek, Carol B. Beek, Barton Beek and Joseph Allen Beek, Jr., as Lessees, leased certain real property from the City of Newport Beach which included the property known as the Balboa Yacht Basin property, as hereinafter more particularly described; and WHEREAS, under that certain lease dated February 28, 1950 by and between J. A. Beek, Carol B. Beek, Barton Beek and Joseph Allen Beek, Jr., as Lessors and Hugh W. Haley and Margaret E. Meisinger, as Lessees, the Balboa Yacht Basin property was leased to Hugh W. Haley and Margaret E. Meisinger for a term of thirty-eight (38) years commencing on .February 28, 1950; and WHEREAS, a request has been presented to the City Council that it approve a proposed assignment of the interests of Hugh W. Haley and Margaret E. Meisinger, as Lessees, under the aforesaid lease to The Irvine Company, a.West Virginia corporation; and WHEREAS, this City Council has reviewed the terms and circumstances of said proposed assignment and has deter- mined that the proposed assignment would not have an adverse effect upon the interests of the City of Newport Beach; and WHEREAS, the Balboa Yacht Basin property is more particularly described as follows: -1- G8 • • A parcel of land situated inthe northwest quarter of Section 35, Township 6 South, Range 10 West, S..B.B. & M., Orange County, California, to wit: Beginning at a point in the U.S. Bulkhead line between Station No. 200 and Station No. 101 as shown upon a map entitled"Harbor Lines, Newport Bay Harbor, California", approved May 2, 1936 by the Secretary of War, and on file in the office of the United States District Engineer at Los Angeles, California, saidpoint of beginning being East.784.25 feet of said Bulkhead Station No. 200; running thence North 424.71 feet to a point in the northerly line of that certain parcel of land conveyed to the City of Newport Beach by The Irvine Company, as described in deed recorded September 25, 1929, in Book 306, page 375, of Official Records of Orange County, California; thence South 85° 43' East 772.15 feet to the Northeasterly corner of the last mentioned parcel of land; thence South along the Easterly line of the last mentioned parcel of land 367.01 feet to a point in said U.S. Bulkhead line between. Station. No. 200 and Station No. 101; thence West along said Bulkhead line 770 feet to the point of beginning; containing approximately seven (7) acres. NOW, THEREFORE,BE IT RESOLVED by the City Council of the City of Newport Beach that consent is hereby given on behalf of the City to the assignment to The Irvine Company, a West Virginia corporation, of all rights, title and interest of Hugh W. Haley and Margaret E. Meisinger under that certain lease dated .February 28, 1950, by and between.J. A. Beek, Carol B. Beek, Barton Beek and Joseph Allen Beek, Jr., parties of the first part and Hugh W. Haley and Margaret .E..Meisinger, parties of the second part, recorded on March 13, 1950, as Instrument No. 12032 in Book 1984, page 480, together with all buildings and other improvements on said land, subject, however, to the terms and conditions of that certain lease dated January 9, 1950, between the City of Newport Beach and J. A. Beek, Carol B. Beek, Barton Beek and Joseph, Allen Beek, Jr. -2- BE IT FURTHER RESOLVED that the Mayor and the City Clerk are hereby authorized to execute an assignment in conformity with the terms expressed in this Resolution. ADOPTED this 28th day of: June, 1971. ATTEST: City Clerk -3- Mayor 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ATTEST: 26 27 28 29 30 31 32 CONSENT TO ASSIGNMENT The. City of Newport Beach, a municipal corporation; as Lessor, under that certain lease dated January 9th, 1950 between said City and J.A. Beek, Carroll B. Beek, Barton Beek, and Joseph Allen Beek, Jr., as Lessees, hereby consents to the assignment to the Irvine Company, a West Virginia corporation; of all right, title and interest of Hugh W. Haley and Margaret Meisinger, as Lessees, under that certain lease dated February 28th, 1950, by and between J.A. Beek* Carroll B. Beek, Barton Beek, and Joseph Allen Beek, Jr., as Lessors, recorded on March 13th, 1950, as instrument number 12032 in Book 1984, page 480 in the Office of the Recorder of Orange County. The foregoing Consent to Assignment is given subject to the condition that the Irvine Company, as Assignee, shall be bound by and shall comply with all of the terms of the Master Lease dated January 9th, 1950 referred to above. The execution of this consent on behalf of the City was authorized by Resolution No.7475 adopted by the City Council on the l2th day of"Ally , 1971. DATED this /Srlf day of • vz<7 City Clerk Ttoc1' , 1971. Mayor of the City of Newport Beach STATE OF CALIFORNIA) )ss County of Orange ) On iiti 4'.) , the Ig day of C%QL , 1971, before me the undersigned notary public in and for said state and county, personally. appeared E.F. Hirth and Laura Lagios, known to. me to be the Mayor and City Clerk, respectively of the City of Newport Beach, known to me to be the persons whose names are sub- scribed to the within instrument and acknowledged that they. executed same. WITNESS my hand and official seal. .._M.......................... .DOROTHY L--....N .` notary Public L State a California f Principal Office Jr, Orange County 3! My Commission Expires Feb. 9, 1973 ...... ..«............... ....««...... By: XOE4I Notary Public (Jor the State of California, County of Orange 1 2 3 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 CITY OF NEWPORT BEACH CALIFORNIA July 19, 1971 Harry E. Westover, Esc. Westover & Currey, Attorneys at Law 23521 Paseo de Valencia, Suite 102 Laguna flit i 3, California 92653 Re: Balboa Yacht Basin Dear Mr. Westover: In response to your letter of July 16, 1971, in connection with the escrow proceeding on the above matter, please be Advised that the Beeks are current in their obligation to the City of Newport Beach under the Master Lease dated January 9, 1950. Enclosed herewith are the original and one signed copy of the City's consent to the assignment from the Beeks to .The Irvine Company. We would appreciate receiving an executed copy of the moist for our files. It has been a pleasure to work with you on this matter. Yours very truly, DENNIS O'NEIL Acting City Attorney DO'N:mh Encl. cc: City Clerk 1111fr'' City Manager 119, Enol, • City Manager .„. CITY OF NEWPORT BEACH - CALIFORNIA July IL 1971 ...,„ . < , Flarry 2. Westover, sq. • • Westover & currey Attorneys at Law 23521 :Passo: Laguna-;141.1ii; 'califern$4:::::9*53:..... • Dear Wit: Westovert::::: •In response tp:,your,letter„ot:.staffiy. OOftnectiOnA:141::: 0e1! eASS.‘:ISocieedint ob the above matter, : tpleialaa,his eadefise*Athat:: the Aestkijannictrtint : in their.::abligatiOn,to;thc:Sity of -111inintt:::fteach: • •• Under • the Master': Lease dite4:::!ijannary•‘9o,;:-Igsq,-1 Enclosed herewith. ar the original and ane:Ast4gned: copy:. of the City' s consent to the asnAgnrannt'f to .The Irvine Company. llecirould appreciate: receiving an executed copy of thialissolpsissot for our files. It has been a pleasure to !orb with you on this matter. . • Yours very truly,. DENzt NIS City Attorney .• • a a CITY CLERK ACTING CITY ATNRNEY CITY CLERK BALBOA YACHT BASIN ASSIGNT OF LEASE July 16, 1971 Enclosed are original and one signed copy of the City's Consent to Assignment to The Irvine Company of subject lease. Please transmit to their attorney, Hc. Westover. Please ask Ito. Westover to see that a copy of the executed Assignment is sent to this office for filing. Laura Lagios City Cleric LL:Sc enc. 2 • 172. WESTOVER &CURREY ATTORNEYS AT LAW CHARLES R. CURREY HARRY E. WESTOVER PLEASE REPLY TO: July 12, 1971 500 NEWPORT CENTER DRIVE, SUITE 660 NEWPORT BEACH, CALIFORNIA 92660 TELEPHONE:(714) 644-5292 23521 PASEO DE VALENCIA,SUITE 102 LAGUNA HILLS, CALIFORNIA 92653 TELEPHONE: (714) 830-0190 Mr. Carl Kymla City Councilman City of Newport Beach Newport Beach, California Dear Mr. Kymla: For your review before tonight's meeting, enclosed isa photo- copy of the master Lease of January 9,.1950, between the City of Newport Beach and the Beeks. Your attention is respectfully directed to pages 4 and 5. It is my position that the City's refusal to consent must be based upon one of the three conditions appearing on page 5. I do not believe that the City can "condition" the consent upon the requirement of the assignee giving long term leases. I hope you will have a chance to review this lease before the hearing tonight. Very truly /Cypurs, WESTOVER & CURREY / ; / Harry E. stover HEW:pc Encl. • BASIN MARINE • INCORPORATED DON E. NEW PALMER MARINE ENGINE SALES AND SERVICE A COMPLETE MAIN TENANCt SERVICE 629 SAYSIDE DRIVE • PHONE 073-0260 • NEWPORT REACH. CALIF. July 1, 1 :%; Mr. E. F. Hirth The Honorable Mayor City of Newport Beach 3300 Newport Blvd. Newport Beach, Calif. Dear Mr. Hirths Back in June of 1966, Mr. Don. E. New, President of the Corporation, was ill. Before signing the lease at that time, he asked about the options. In reply, Mr. Carl Hage, Manager of Balboa Yacht Basin, sent Mr. New a small, but important, note, ascertaining that the lease would have its options guaranteed. To my knowledge this note is not included in. the current escrow papers. A copy of this note is enclosed. I would like to tell you a little about Basin. Marine, Inc. and what we doe The Marine Hardware Division is open seven days a week,and serves the area from Reubens, south, including some of the Penninsula. It has an. inventory of over $90,000.00 and handles most of everyone's boating needs. The Shipyard, a separate division, can haul vessels up to 55 ft. in size, and is capable of handling seven boats at a time, with a hoist available for smaller bay draft. We have a paint crew, a complete carpenter shop, a mechanical shop and machine facilities. Page one of two. July 1, 1971 Page two of two Mr. E. F. Hirth The Honorable Mayor City of Newport Beach If it pertains to a boat, we do it, no matter how large or slight the task may be. We have been. "oncall" with the Harbor Master's office for quite a few years to help with emergency situations. Our annual payroll is over $159,000.00, with our employee group fluctuating from 18 to 24, depending upon the season.. May I respectfully request that the above facts be carefully considered whenmaking your decisions involvi g future of our Corporation? Did L. New Vice President BASIN MARINE, INC. DLN.;ht 2 ;. 191 CITY OF NEWPORT BEACH Office of CITY ATTORNEY June 28, 1971 To: The Honorable Mayor and Members of the City Council From: Acting City Attorney Subject: Request for approval of the assignment of the Balboa Yacht Basin sublease INTRODUCTION: By letter dated May 11, 1971, addressed to the City Council, Harry E. Westover, attorney for Hugh Haley and Margaret Meisinger, the sublessees of the Balboa Yacht Basin, requested that the City Council approve a proposed assignment of the sublease of the Balboa Yacht Basin to The Irvine Company. The Balboa Yacht Basin property consists of approximately seven acres, including tidelands and uplands; it was leased to the Beek family in 1950 by the City for a term of thirty-eight years ending on December 31, 1987, which leaves a remaining lease term of approximately seventeen years. The same lease included Beacon Bay. In 1950, shortly after the execution of the lease between the City and the Beek family, a sublease was entered into between the Beek family and Hugh W. Haley and Margaret E. Meisinger, doing business as the Balboa Yacht Basin. The sublease was also for a term of thirty-eight years and will also terminate in approximately seventeen years. The master lease between the City and the Beek family contains the following language: "Except as herein provided, Lessee shall not assign their interest or any part thereof, in, to or under this lease, nor sublet all or any part of the 'Easterly Portion' of the demised premises, excepting to the present subtenants thereof, without the written consent of Lessor first had and obtained." In our opinion, the foregoing quoted language requires the prior consent of the City Council to any assignment of the -1- G 8 i • • Balboa Yacht Basin property by the present sublessees. It should be noted that the master lease also contains the following language: "Lessor covenants that it shall not withhold its consent to the subletting by Lessee of any part or all of the 'Easterly Portion' of said premises provided that: (1) The use to which the premises proposed to be so sublet by Lessees shall not be of a character more detrimental to thepublic health, safety and welfare of the City of Newport Beach than that existing at the time of the proposed subletting. (2) That the rental consideration accruing to lessees with respect to the premises proposed to be sublet shall not be less than the rental thereof in the year 1949. (3) That the proposed sublessee shall be financially responsible." The above quoted language indicates that had this transaction been presented to the Council as a sublease, instead of an assignment, the City Council would have been obligated to approve the transfer of the sublease, since the three above - mentioned criteria would have been satisfied. DISCUSSION: It is suggested that the Council may wish to take into account the following considerations in reaching a decision as to whether to approve the assignment: 1. Legal constraints: There are no legal impediments to the approval of the assignment. Charter Section 420, which limits the power of the Council to approve any contract or lease or extension thereof for a longer period than 25 years without approval of the voters, is not applicable to the proposed assignment since it involves the transfer of an existing lease with a remaining term of seventeen years. Charter Section 1402 prohibits the leasing of City -owned water front or beach property without the prior approval of the voters. -2- This Section is not applicable to the proposed assignment since existing leases are specifically exempted from the limitations contained in such Section. 2. Financial Security: It appears that The Irvine Company would be a financially stable tenant. 3. Continuity: The sublease is presently held by two individuals. In the event of the death of one or both of the subtenants during the remaining seventeen year term of the sublease, their interests under the sublease would be subject to administration as a part of their estates. As a corporation, The Irvine Company would not present any problem of continuity. 4. Severance Damages: On June 8, 1970, the City Council approved the abandonment of Bayside Drive, thus creating a cul-de-sac easterly of the Yacht Basin property. During the discussions and public hearings which preceded the approval by the Council of the abandonment, the attorney for the Yacht Basin stated that in his opinion the sublessees of the Balboa Yacht Basin, and their tenants, would have a claim for damages based upon the theory of inverse con- demnation as a result of the alleged future loss of business to the commercial enterprises located on the Balboa Yacht Basin property, which he claimed would result from the creation of the cul-de-sac. The Council required that The Irvine Company enter into an indemnity agreement to protect the City against any liability or damages which might result from the abandonment and relocation of Bayside Drive and creation of the cul-de-sac. The agreement calls for indemnification of the City against such claims up to a maximum sum of $50,000.00, together with reimbursement for legal fees of up to $5,000.00. The protection afforded by this indemnity agreement was determined to be adequate, based upon the testimony of Cedric White, M.A.I., independent appraiser, who expressed the opinion that the potential damages which might arise were not likely to exceed the amount of the indemnity. If the assignment were approved, it would completely eliminate any question of future severance damages being assessed against the City, although it is unlikely that such damages would exceed the amount of the indemnity agreement. -3- • CONCLUSION: If the City Council determines that it wishes to approve the assignment the appropriate action would be adoption of the resolution consenting to same which appears on the agenda. ASel DENNIS O'NEIL Acting City Attorney -4- • WESTOVER & CURREY ATTOANEYS AT LAW CHARLES M. CURREY HARRY E. WESTOVER May 11, 1971 9 i4Y 500 F WPORT CENTER DRIVE. SUITE 860 NEWPORT BEACH. CALIFORNIA 02660 ELEP,ION E 7:4) 644-5282 REPLY PASEO DE .ALENCIA.SUITE 102 PLEASE�� REPLY TO: LAGUNA HILLS, CALIFORNIA 92653 TELEPHONE'. ',4) 83O-0150 The Honorable E. F. Hirth, Mayor City of Newport Beach 3300 Newport Newport Beach, California Dear Mayor Hirth:. This office represents Hugh Haley and Margaret lessees of the Balboa Yacht Basin.. The Irvine negotiating with the sub -lessees relative to a basin and the parties have come to a financial to the City's consent to the assignment of the Meisinger, sub - Company has been purchase of the agreement, subject lease. As you no doubt know, the property in question is under lease from the City to J. A. Beek, Carroll B. Beek, Barton Beek, and Joseph Allan Beek, Jr. The Beek interests are agreeable to consenting to the assignment and the purpose of this letter is to request that the matter of the City's consent be brought before the council in the appropriate way. By a copy of this letter, I am informing both the City Attorney and the City Manager of our request and am forwarding ten copies to the City Clerk for disbursement to members of the City Council. and to other interested personnel. I believe that there is a substantial advantage to the City in consenting to the assignment of the interest to The Irvine Company. If you will remember, the Irvine Company has indemnified the City relative to severance damages caused to the Balboa Yacht Basin and its tenants due to the severance of Bayside Drive. The undersigned appeared a number of times before the City Council relative to damages caused by this "inverse condemnation" and, if you will remember, an expert witness testified that the damages would be "limited" to $50,000. • The Honorable E. F. Hirth, Mayor Page Two April 2, 1971 The Council approved the severance of Bayside Drive and the development of Promontory Bay upon condition that The Irvine Company indemnify the City to the extent of $50,000, together with reasonable attorneys' fees in the amount of $5,000. If memory serves me correctly, there was one member of the Council voting against the agreement and one member abstaining. A measure of damages advanced by us at the time of the hearing in objecting to the severance of Bayside Drive was based other than upon damages flowing from inverse condemnation. The expert witness who testified based his opinion of damages upon the loss of rental value and not upon the loss of income. Inverse condemnation would be the sole theory of damages if the City and my clients were not in a lessor -sublessee relationship. This contractual relationship can, in my opinion, support all damages proximately caused as the result of the severance of Bayside Drive; and I refer the City Attorney to a case that held that where there is a lessor -lessee relationship and the lessor violated an easement he had granted to the lessee this violation was held to be a tortious act for which the lessor was liable to the lessee for all damages proximately caused by the breach. Thus, it is our position that damages maynot be limited to the usual damages in inverse condemnation (so-called "loss of rental value") but may be all damages. proximately caused, such as the loss of profits from the brokerage, insurance, restaurant, hardware, and boat yard .businesses being maintained upon the premises of the Balboa Yacht Basin. Because of this, it would appear that the City would favor an assignment in that, with The Irvine Company "owning" the property, they could not claim any damages caused by their severance of Bayside Drive. Other advantages to the City's assignment are, also, apparent; as, for example, the possibility in future years to effect a trade of lands with The Irvine Company which, because of lack of landholdings, does not exist with the present tenants. The Honorable E. F. Hirth, Mayor Page Three April 2, 1971 Also, it would appear that the Irvine Company will be in a position to improve the Basin during the remaining term of the lease to a far greater extent than would our clients. This, obviously, would be an advantage to. the City as the City's property would, thus, be enhanced by the improvements. Would you please instruct the City Clerk to calendar this matter for appropriate hearing and inform us of the date so that we can appear and formally request the consent of the City to the assignment of the lessee's interest of Hugh Haley and Margaret Meisinger in the Balboa Yacht Basin to The Irvine Company. Your anticipated cooperation in this matter is greatly appreciated. Very truly yours, WESTcWEE & CURREY Harry E. Westover HEW:pc cc: City Attorney, City of Newport Beach City Manager, City of Newport Beach City Clerk, City of Newport Beach (10 copies) Mr. Hugh Haley Mrs. Margaret Meisinger Charles L. Buchanan, Manager, Land Sales, The Irvine Company Carroll B. Beek Barton Beek Joseph Allan Beek, Jr. H. Seymour Beek 70-et gaej-2,2 70 By tho CT'( COUNCIL CITY OF NiN/PORT BEACH • TO_ Pay Damages. ,il,maiorityot Neti/portBeach eity ebufi- Monday night .voted_to.hold out foe the. Irvine Company to; -pay. the bfl of any severance damages in coin ectien with -the 'Promontory Bay ;development. By a 5 to 2 vote; 'councilmen: turned downa city staff, recommendation they • spendup to $1,000 tohave appraisedthe possible; amount of severance damages to Balboa Yacht Basin bu41nesses. if 'Bay- side Drive is relocated. ., "I think. the 'developer- the Irvine Company). will be curious on: this: item •and I have tlia patience to let Min get.. curious," said Councilman Howard.Rog- The boyfront home and lagoon develop- , meet is propdsed for .the property in: the crock 'of Bayside Drive across from -Bea - a :. a a luff tee Salliva'�ac t a�ab drive -by traffic.. .. City Manager Harvey L. Hurlburt said heliad contacted Irvine Company Seriibf Vice President Ray Watson aboutsharing the $1,000 appraisal cost: on .severance damages and Watson saidilia :. Hurlburt saidhe assumed.Watson fear- ed that would set a-precedentfor sharing actual damages later:. "I take Watson's position.? "saidCoun- eilman Donald McInnis.: "Why should the city set a'precedent?" City Attorney Tully Seymour said a previous' appraisal showed that damages would be minimal and the development of overall; benefit .to ;the city: because of increased exclusiveness of_Beacon Bay. property on city -lease land. "Maybe Beacon Bay will becomea Parkin 15 yeafs when the lease runs out" Counclman Rogerssaid.- Qowtlirnan - Lit y talsons and Map d Huth-voted:te spendthe money on ,Ott appraisal •' arsud loaf; ta{ � to itnd auL hdw` much Mie Balboa Epeht i bes,gross He a(gge$ted the.25,00ft a<n0al-percent- age payment to ,the �citkiiaagt not be ' the full amount it -allele bef .`,'They may havea pretty good thing o .Tor them,,, hs, said May13, .1979.; trscift.trine...::.. Newgart g4 for Daily Pilot, 338:Bay •Street Costa Mesa :;talifornie Dear Terms Nt:doubt, in my position =ids couascilsnan, I make anny.stuPid, itPrtelent and amp teases incotierent'reunrks conceiriing, rsitters whicisratio :before the. council,. hnwever, in`'aur account.of my casts concarning;the sevar.;nce ef•�sys de Drive last;cMonday74ght, :I think you tazv have helpexi me out on a limb wh ch wasn't exactly of isry own :choosing ;:•md 1 would •elks to itte ipt to seat this .r srd straight,•: just between you. weed me acid the Balboa Yacht Basin. what I said, or was attc'ptin$ to.say,, was that .f the:gossiblea aerstance damages against the:city baled an.•the_ relaation of the ne rsinel $6040.per year fee which the City reci#eves as; enreref.. tentak, on thr property as crerri ared witty the, tot•al gross revenues of •the'Balbah o.Yact.Basin, the d'ld be athirst/ The amusi gross xevenuena :of the Basin'are siaepicta calculate, • site one merely has to take the nether of; slips, •tlue.lengt'.f cif the s1ips,..the'number'of,:apart- manta and the sales.tax.totala of;the nub -lessees: ;teat: rip with an approximate:. figure. Nome of us are satisfied with the Citye.s current: annual,; return from• the. operation, but sue realise"that the lease was. nagetiated in geed,' faith:* number • a£ years ago, ani that there] is that -can. be. clone until its expiration in seventeen years. The only way this lease could be' re negotiated .is;:by an cectellsion. I personally would not.wnnt to tiethe hands o£ a future council by attemnpting to anticipate what use the City spy have for .the pro erty seventeen years frnn now.. Since the Balboa -,Sty .Club election defeat,.,I don't boiieve that the citizens Of Newport -Beach are :in a coact to. approve any lease extensions. Certainly ne• one,: in Newport Amach is more aware titan I am concerning the : aggrava= - 'tions and frustrat-ions of your occupation: I Worked for y years under dead- line pressu,ros eyse lf. Therefore,. 1 waouid rather be helpful than critical, so' •I hope in the future- that if I way anything.raorth quoting, -13nt you have any doubt about what x Meent, that: you would pick up -the phone and ask'me.to re -phrase may tva s bcc: Mayor and City o ncil May 13, 1970.. • Beacon Bay Community Association BEACON BAY NEWPORT BEACH. CALIF. 92662 March 28, 1969 Members of the City Council City of Newport Beach, California Dear Madam and Gentlemen: This letter is being written because of the conjecture appear- ing in the local press regarding the Beacon Bay lease and the quotations attributed to a representative of the Balboa Bay Club concerning the individuals of the Beacon Bay Community Association. The Beacon Bay Community Association consists of the 72 individual home owners who occupy the eleven westerly . acres of the Beek master lease. This subject has been thoroughly discussed by the members of the Beacon Bay Community Association over the past four years. Please be advised that the individual members of the Beacon Bay Community Association have been polled and expressed -their opinions regarding the lease. By a nearly unanimous vote the members of the Beacon Bay Community Association have evi- denced an interest in renegotiating the present lease prior to its expiration. They have expressed a.willingness to do so on a basis that would be more favorable to the City of Newport Beach. Representatives of the Community Association have discussed this matter with the Beek family, holders of the prime lease. The Beek family has evidenced a desire to cooperate in the matter of any such renegotiation. Therefore, if a formal request is necessary, please let this letter stand as a request from the Beacon Bay Community Associa- tion to open negotiations on lease revision and extension. It is our understanding that whatever document might be forthcoming from such negotiation would be put to a vote of the citizens of Newport Beach. The members of the Community Association recognize the inequities in the present lease and are desirous of supplanting the present lease with a document fair to all concerned parties and protec- tive of the best interests of the citizens cf Newport Beach. C(!P;ES SENT TO: ,,.:,,r .n_er DirectOq LirP:f:1 cin Olireclor inkier 0 Councilmen, • Beacon Bay Community .Association BEACON BAY NEWPORT BEACN. CALIF. 92662 Members of the City Council March 28, 1969 Page Two With an open mind as to amounts, terms, and conditions, we stand ready to discuss this matter with you or your represent- atives. In order to help us in this regard, we have employed the services of a recognized appraiser and a prominent attorney. Both of these gentlemen are residents and taxpayers of the City of Newport Beach. When a majority of you feel the time is proper, please let us. hear from you. Yours very truly,' 'I W , `t ele CEDRIC A. WHITE, JR., M.A.I. REAL ESTATE APPRAISER 631 SOUTH . HARBOR BOULEVARD • ANAHEIM, CAUFORNIA 92805 • (714) 774.0510 January 29, 1970 • Mr. James DeChaine Assistant City Manager City of Newport Beach 3300 Newport Boulevard Newport Beach, California RE: Appraisal of Beacon Bay Property Dear Mr. DeChaine: This letter constitutes a preliminary discussion of appraisal fee. The property and the general scope of the assignment have been reviewed. A. The fee for an appraisal of the property will be in the bracket of $10,000. B. The fee for a preliminary estimate of the economic impact on Beacon Bay value by reason of the IRVINE ' PROMONTORY POINT project will be $500. The appraisal fee statement assumes that a detailed report must be prepared on the two segments -- area devoted to residential use and area devoted to marina facilities. And, the purpose would be to estimate the market value of the City's interest in the properties. I am not adequately informed on the possible effects on fee caused by the potential upland/tideland exchange. This could complicate the matter and increase the fee. Likewise, if a detailed appraisal report and final specific conclusion are not required, then a reduced fee could be the result. I would suggest that another meeting be arranged. At that time, we can discuss and refine the "scope of assignment" to our mutual understanding. If there are any additional questions at this time, please don't hesitate to ask. CAW•mt Very truly yours, • Cedric A. White, Jr., M.A.I. • CITY OF NEWPORT BEACH OFFICE OF THE CITY MANAGER. TO: CITY MANAGER FRAM: Assistant .City Manager SUBJECT: BEACON BAY PROPERTY January 22, 1970 Attached you will find a preliminary analysis of some of the alternatives available to the city with respect to the future use of the city owned Beacon Bay property. This analysis is intended to be a prelim- inary progress report by Development Research Associates which has been studying this property for the past two months. You will note that in considering these alternatives they have recommended on Page Five of the memorandum that the city retain the services of an appraiser to document the current values of the property as they relate to each of the various parties who have a financial interest in the Beacon Bay community. It is my firm belief that such an appraisal will be necessary before the city is able to take any action regarding the future use and/or disposition of the property. In my opinion this appraisal should not simply be an updating of the George Hamilton Jones appraisal performed in 1967 for the Beacon Bay Community Association, but rather a separate appraisal under- taken as soon as possible by a different appraiser retained by the city. This is particularly desirable in view of the inevitable involvement of the voters in the community who must be asked to decide what the city is to do with this property. I have taken the liberty to check with Cedric White to determine his availability to undertake this assignment and what the probable cost of the appraisal would be. Mr. White has estimated that it would cost in the vicinity of $10,000 to undertake the type of appraisal needed to provide the information needed to assist us with any future consideration of the alter- natives summarized in the DRA progress report. It would be my recommendation that this matter be reviewed with the City Council during the study. session next Monday. While it would take many months to complete this appraisal, Mr. White has indicated that a meaningful determination on the economic impact upon the Beacon Bay property by the development of the Promontory Point property by the Irvine Company could be made within thirty days as a part of this appraisal effort, or at a cost not to exceed $500 under a separate contract. Lefie JAMES P. DeCHAINE JPD:sr Attachment • • DONALD F. SHA V t i ►Y1 RiY�,Ce1d7��tidFf!C ifo4 Mr. Harvey Hurlburt, City Manager City of Newport Beach City Hall 3300 Newport Blvd. Newport Beach, California 92660 Dear Harvey: 1 am not going to waste your time or my breath discussing further a possible extension of the Beacon Bay lease. The citizens of this community earlier, this month pretty well expressed their feelings on the matter. However, if you are still interested in exchanging the Beacon Bat land for a community center location with Irvine Company, 1 may be able to be of some help. In discussing the possibility with some people at Irvine, I find that they would be willing to make such a trade. As a matter of fact, there is some enthusiasm for such a trade. At the same time, there is some apprehension on their part regarding some of the items involved. If you have some time in the next couple of weeks, why don't we discuss it. My office is now located adjacent to the Orange County Airport. My phone number is 540-5045. Please give me a call at your convenience. Yours very truly, I 1901 Blake Avenue o Los Angeles, California 90039, 0 Area Code-213, Telephone: 666-1411 4667 MacArthur Blvd.,.5uite 310 o Newport Beach, California 92660,. o..Area Code-7l4. Telephont 5404045 To: MEMORANDUM The City of Newport Beach January 16,1970 1903.02 Attention: James D. DeChaine Assistant City Manager From: Development Research Associates Subject: ANALYSIS OF THE CITY'S ALTERNATIVES WITH RESPECT TO RESOLVING INHERENT LEASING PROBLEMS ON THE PROPERTY KNOWN AS THEIR BEACON BAY LEASEHOLD METHOD OF APPROACH To determine the various alternatives available to the city with respect to the subject property, the following approach has been taken: o Study and review of the present Beacon Bay lease between the city and the lessee. o Analysis of the 1967 appraisal covering the subject property. o Investigation of the objectives of the Beacon Bay Community Association. o Review of the sections of the City Charter pertinent to the extension of leases on City property. o Review of the sections of the State Constitution in addition to pertinent adjudication relevent to the sale, grant, or trade of tidelands. o Analysis of existing and potential land uses for the property. o Analysis of the subject property as a possible investment for a developer. IAna ll.mu MS fir■ TS . ___u unnn DEVELOPMENT RESEARCH ASSOCIATES Memo to The City of Newport Beach Page Two January 16, 1970 OBJECTIVES AND ALTERNATIVES Our analysis has resulted in the categorization of four distinct groups which have an interest in the subject property. These groups include The City of Newport Beach, The Beek family, The Beacon Bay Community Association, and The Irvine Company. On the basis of preliminary surveys, we have investigated each group's expressed objectives with respect to the property. Table 1 delineates these objectives for the reader. 111 AO mug •�a•.I,ii1111i DEVELOPMENT RESEARCH ASSOCIATES : Hiflhl TABLE 1 OBJECTIVES OF THE GROUPS RELATED TO THE CITY'S BEACON BAY LEASEHOLD Groups Objectives The City 1, As a lessor, realize a fair return on the Beacon Bay Leasehold. 2. As a landowner, realize a maximum return on the property it owns. 3. As a municipality, prevent deterioration and promote the public's welfare in the subject area. The Beeks 1. As the master lessee, maximize profits from subleasing lots in the Beacon Bay leasehold. 2. As an investor, maximize return on invest- ment. Beacon Bay Community Association 1. As individual homeowners, extend the length of the lease so as to qualify for necessary financing. 2. As an association, achieve autonomy by becoming the master lessee, or provide for individual homeowners leases. Irvine Company 1. As a residential developer, gain access to the water for its property directly to the north of the subject property. 2. As a developer, acquire additional land to increase the value and marketability of its present holdings. DEVELOPMENT RESEARCH ASSOCIATES Memo to The City of Newport Beach Page Four January 16, 1970 An analysis of the objectives of each group (see Table 1) assists in an under- standing of their alternatives. The alternatives open to each group, as can be seen in Table 2, act to deter the entire group from arriving at mutual satisfac- tion. TABLE 2 ALTERNATIVES OF THE GROUPS RELATED TO THE CITY'S BEACON BAY LEASEHOLD Grogps Alternatives The City 1. Establish value and proceed to negotiate an extension on all or part of the Beacon Bay leasehold. 2. Let lease expire and subsequently hold, sell or trade subject property. 3. Purchase all or part of the master lessee's interest so as to accelerate control or transfer. The Beeks 1. Maintain status as the master lessee. 2. Establish value of it's interests and completely or partially sell such interest. Beacon Bay Community Association 1. Establish value of the leasehold and proceed to negotiate with the Beacon Bay lessor and/ or the master lessee. 2. Establish value of the master lessee's interests and negotiate a purchase. DEVELOPMENT RESEARCH ASSOCIATES • • Memo to The City of Newport Beach Page Five January 16, 1970 TABLE 2 (Continued) ALTERNATIVES OF THE GROUPS RELATED TO THE CITY'S BEACON BAY LEASEHOLD Grou • s Alternatives Irvine Company 1. Promote condemnation proceedings on the easterlyportion of the Beacon Bay Leasehold so as to subsequently secure access to the water from the City. 2. Purchase or trade for any available land in the subject area. 3. Negotiate with master lessee and the City for water access within the framework of existing leases. ANALYSIS OF ALTERNATIVES We believe an analysis of the City's alternatives to be pivotal in creating mutual satisfaction for all involved. Primarily, the City must determine its course of action. In any event, a new appraisal of the subject property should be undertaken. Recent developments have tended to invalidate the original appraisal analysis. Not only will the appraisal contribute invaluable input in arriving at the disparity between the value of the City's yearly return on the lease and what in fact the City presently receives, but it could serve as a basis for part or all of the subject property's sale or trade. Information especially necessary includes: o Appraisal of City's Position o Westside Addition o Bayfront Sector o Interior Sector o Yacht Basin DEVELOPMENT RESEARCH ASSOCIATES C' • Elam Memo to The City of Newport Beach Page Six January 16, 1970 o Appraisal of Master Lessee's Position (Beek) o Westside Addition o Bayfront Sector o Interior Sector o Yacht Basin o Fee Value of Land o Westside Addition o Bayfront Sector o' Interior Sector o Yacht Basin o Impact on Beacon Bay land value if Bayside Drive is relocated, making existing Bayside Drive into a cul-de-sac. ADDITIONAL CONSIDERATIONS The previously recommended appraisal will provide key data for our analyses of the full range of alternatives open to The City of Newport Beach. However, we believe the following considerations should be stressed at this point; o A trading of tidelands for uplands will be necessary to effect a possible sale of the residential portions of the subject. However we believe that this consideration must be treated as a separate alternative. o Alternatives for renegotiating the current lease should be fully analyzed. o Public usage of the Yacht Basin should be considered. Acquisition of the current lease interest prior to expiration of the lease is a relevant alternative. o Eventual public usage the residential areas should be considered as an alternative. o An equitable lease renegotiation could be effected independently of and prior to any possible sale of all or a portion. MCClark: jg DEVELOPMENT RESEARCH ASSOCIATES C_�o 5 BALBOA YACHT BASIN, INC. 829-13AYSIDE DR. • NEWPORT BEACH, CALIF. 92662 • 673.6282 CO C CALL . >/ r • "- �• ' The Honorable City Council City of Newport Beach Newport Beach, California Gentlemen: California's finest private harbor „ Yadht Brokers,• Marino Insurance April 7, 1969 We would like to go on record as being interested in extending the lease on our property to a maximum of fifty years, if a mutually agreeable rental figure can be arrived upon. CHH:1 Sincerely yours, BALBOA YACHT BASIN, INC. Car F . HMr a Manager ..................... . Y.itl fit Si 11Nyor Nonager Et Auoroey ❑ Pn 9Air Work Direelor CPin,uuinF Director other 0 Councilmen' ❑ , 5- L. 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 AGREEMENT AND AMENDMENT OF LEASE THIS AGREEMENT, made and entered into this L day of Fibtiusill 1939, by and between the City of Newport Beach, a municipal corporation, of the sixth class, of Orange County, California, hereinafter referred to as the party of the first part, and J. A. Beek, of Balboa Island, in the City of Newport Beach, Orange County, California, hereinafter referred to as the party of the second part. W I T N E S S E T H: WHEREAS, the parties hereto did, on the 18th day of July, 1938, enter into an instrument in writing therein designated "Lease and Amendment of Former Lease" which said agreement covered and affected the real property described as follows, to -wit: A parcel of land situated in the Northwest quarter r*i) of Section Thirty-five (35), Township Six South, Range Ten (10) West, S.B.B. & M., Orange County, California, more particularly de- scribed as follows, to -wit: Beginning at U. S. Bulkhead Station No. 200, as shown upon a map entitled "Harbor Lines, Newport Bay Harbor, California,." approved May 2nd, 1936, by the Secretary of War and on file in the office of the United States District Engineer at Los Angeles, California; running thence West along the U. S. Bulkhead line, 147,50 feet to U. S. Station No. 137; thence North 390 48t West along said Bulk- head line, 535,53 feet; thence North 23 57t 30" East, 126.34.feet to an angle point in the ordinary high tide line of the Pacific Ocean in Newport bay, as described in Court Case No. 24026 of the Superior Court of the State of California, in and for the County of Orange; thence South 390 48t East along said ordinary high tide line, 334.47 feet to the most Westerly corner of that certain parcel of land conveyed to the City of Newport Beach by the Irvine Company, as described in deed recorded September 25th, 1929,.in Book 306, page 375 of Official Re - LAW OFFICES OF ROLAND THOMPSON 210 SPURGEON BUILDING SANTA ANA. CALIFORNIA 02.0 Page 1. T. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 cords of Orange County, California; thence North 230 57' 30u East along the Northwesterly line of said parcel of land, 317.57 feet; thence South 710 .54' East along the Northerly line of said parcel of land, 290.24 feet; thence South 859 43'.last along the Northerly line of said parcel of land, said Northerly line being the Southerly line of. Bayside Drive, 505.73 feet; thence, South 432.20 feet to a point in the U. S. Govt. Bulkhead line between U. S. Stations Nos. 101 and 200; thence West along said Bulkhead line., 684.25 feet to the point of beginning, containing approximately eleven (11) aores. That said agreement hereinbefore referred to is here- after designated "Beek's.Lease No. 2" and said Beek's Lease No. 2, is by reference thereto, made apart hereof to the same extent and purpose as if said Beek's Lease No. 2, were set out and incorporated herein word by word; and WHEREAS, the party of the second part intends to subdi- vide into residential lots, a portion or all of said above described property which said above described property is also described in said Beek's Lease No. 2, as aforesaid; and WHEREAS, said second party further proposes to sub -let or sub -lease said above described property so proposed to be subdivided to various individuals for a term of years and upon a yearly rental basis;. and WHEREAS, it is necessary under the plan whereby second party proposes and intends to sub -let and sub -lease said property above described to assure the sub-leasees thereof that they will not, during the term of their sub -leases, lose their said sub -leases by reason of second party's default under the terms of said Beek's Lease No. 2 as aforesaid; and WHEREAS, which sub -letting or sub --leasing of said pro,. perty will materially increase first party's revenue under the terms of said Beek's Lease No. 2 as aforesaid; and WHEREAS, the City Council of the City of Newport Beach, deems that it is for the best interests of said City that LAW OFFICES OF ROLAND TNOMPSON 210 SPURGEON BUILDING SANTA ANA. CALIFORNIA Page 2. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 said Beekts Lease No. 2 be amended in the manner hereinafter set forth. NOW, THEREFORE, THIS AGREEMENT FURTHER WITNESSETH: That for and in consideration of the premises and other valuable considerations, it is mutually agreed between said parties, as follows: That in the event said second party shall default in the making of the payments to be made to the party of the first part as provided for in Beekts Lease No. 2, as aforesaid, that said default shall not in any manner affect any sub- lessee of real property herein desoribed, provided, however, said sub -lessee shall in the event of such default, pay to first party, and he is hereby given the right and privilege of paying to first party the yearly rentals provided for in his said sub -lease, and upon said payments being made to said City by said sub -lessee, said sub -lease shall remain in full force and effect during the term thereof (providing said term thereof shall not exceed the term provided for in said Beekts Lease No. 2). And It is further understood and agreed between said parties that any sub -lessee of property herein described may, at his option, pay his pro-rata of the acreage and percentage rentals provided for in paragraph "(O" of said Beekts Lease No. 2, to first party, and the balance to said second party. Except as said Beekts Lease No. 2 shall have been amended or changed by this agreement, the same shall remain in full force and effect, parties hereto agreeing that said lease has, in all respects, been fully complied with to date hereof. Page 3. LAW OFFICES OF ROLAND THOMPSON 210 SPURGEON BUILDING SANTA ANA. CALIFORNIA 07.2 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 IN WITNESS WHEREOF, the first party has executed this contract pursuant to •esolution of its City Council, dated the AL_ _ day of a , 1939, authorizing its corporate name and seal to be subscribed and affixed hereto, by the Mayor and City Clerk of the City of Newport Beach, and the party of the second part has hereunto set his hand the day and year first above written, CITY OF NEWPORT BEACH,. Party of the first part. y of the second part. Page 4, Mayor City Clerk LAW OFFICES OF ROLAND THOMPSON 210 SPURGEON BUILDING SANTA ANA, CALIFORNIA d3 6 o. e °a ma �3zrc � m O `z G RW2o g La y 2 Z Z 1cbg r 13 14 15 16 17 19 20 21 22. 23 24 25 26.. 27 THIS INDENTURE made and entered into this leth`day of July, 1938, by :and between the CITY OF NEWPORT BEACH; .`a Municipal.Corpo ration of the Sixth Class,' the party ofthe.:first_ part.,, and J. A. BEEK,of the City of Newport Beach, Orange .Oounty,.Calif onia, the party of the second,part,_.hereinafter palledLessee TR LT N E SS E T H: Reference is hereby..mada to the written lease from said City as Lessor to said J. A. Beek as Lessee, dated November 9th, 1927;. covering real property ef> said` City of an area:of:..approximately nineteen acres, which leas.is now,• and since, its said date has been,. an full force and effect, the covenants and conditions there- in contained tb be performed on .the part of.s aid Lessee, .including payment of rentals to date hereof, having been. performed, and ref- erence is also hereby- made to the.. written amendment of said lease dated March 3rd, 1930. Bald leased premised have:.been filled and leveled and the Easterly portion, containing approximately`eight acres, was fur ther improved by Lessee by construction thereon, of boat landings,` docks and a yacht basin, and it is:now desirable 'to f urther im- prove the hereinafter described Westerly portion of s.aid.premises: and to increase the .City ts.revenues under its percentage rentals under said lease., The said Westerly portion of said. premises consi.ats in part of tide lands granted to said City by the State: of California and the.remainder•thereof is uplands abutting upon. said tide lands. In the judgment of the City Council. of said City, the use of 'said Westerly portion of said tide lands and said uplands abutting thereon for industrial uses is and will be inimical.to the best interest:of said City, and by reason thereof: and in consideration 2 7 10 11 12 13 m e °a = 14 J`LL 15 m F J J a z m ° U 16 N W < Q xR z Q 4�x°p4 17 a¢ co 18 19 20 21. 22 23 24 25 26 27 28 29 30 31 32 of the covenants of Lessee herein, said lease is hereby amended. and modified as follows: (a) That said property described in said lease be.and the same is hereby leased to Lessee for a term of twenty-four years, three monthe and twenty days from the date hereof,.and ending November B.th,. 1962, upon the same terms,covenants, conditions and. rental&excepting as herein altered and provided. (b) That the Westerly portion of said premises, herein- after referred to as "Said Westerly Portion," described as follows: A parcel of land situated in the Northwest quarter (NW})'of. Section Thirty-five (35), Township Six (6)..South, Range. Ten .(10) West, 8. B. B. & M., Orange County, California, more particularly de- scribed as follows, to -.wit: Beginning at U. S. Bulkhead Station No. 2OO,.as shown upon a map entitled "Harbor Lines, Newport Bay Harbor, California," approved May 2nd,1936, by the Secretary of War_and on file in the office of the'United States District Engineer at Loa Angeles, California; running thence West along the U..S. Bulkhead line, 147.50 feet to U. S. Station No. 137; thence North 39° 481 West along said Bulk- head'line, 535.53 feet; thence North 23°.571 30" East, 126.34 feet to an angle point in the ordinary high tide line of the Pacific Ocean in Newport Bay, as described in Court Case No. 24026 of the Superior Court of. the State of California, in and for the County of Orange; thence South 39° 481 East along said ordinary high tide line, 334.47 feet to the most Westerly corner of that certain parcel of land conveyed to the City of Newport Beach by the'Irvine .Company, as described in deed recorded September 25th, 1929, in Book 306, page 375 of Official Rec- ords of Orange County, California; thence North 23° 574 30" East along the Northwesterly line of said parcel of land, 317.57 feet; thence South 71° 5411 East along the Northerly line of said parcel of land, .290.24 feet; thence South 85°.431 East along the Northerly line of said parcel of land, said Northerly line being the Southerly. line. of Bayside Drive, 505.73 feet; thence South.432.2O . feet to a point in. the U. S. Govt. Bulkhead line between U. S. Stations Nos. 101 and 200; thence West along said Bulkhead line, 684.25 feet to:the (point of beginning, containing approximately eleven 11) acres; be and the same is hereby leased to Lessee for park, recreational,i residential or educational purposes not inconsistent With any trust imposed upon the tide lands by the constitution of the State 8 10 11 12 19 20 21 22 23 24 25 26 • 27 ,i . 28 29 30 31 32 of . California. (c). That for ."Said westerly::Portion," Lessee:shall pay to the City, on or before the,9th day of November of each and every, calendar year during the- said term to and including the 8th day of November, 1942, Thirty Dollars ($30.00) per.acre per year,; from the 9th day of November, 1942, to and including the 8th day of November, 1947, Forty Dollars ($4000) per acre per year; and from the 9th day of November, 1947, to the end of said term Fifty:Dol lars ($50.00) per acre per year. In addition to said sums, Lessee agrees to -pay said City, until November 8th, 1947,.two per cent:(2%)-,.and thereafter during the remainder of said term five per cent (5%), of all sums he shall receive from the use of "Said Westerly.Portion," or any part thereof, from whatsoever source, inciudi:ng.ail sums received from sub -tenants, and it is understood and agreed that said percentages shall be percentages of the gross and -not of the net returns, and that payment thereof shall be•made on the l5th day of January. of each and every calen(isr year:commencing,January 15th, 1939. (d) That for said "Easterly Portion,." Lessee'shall pay_to . the City, up to November 8th, 1952, the rental and. percentages provided for in said lease dated November.9th,1927, and for the. remainder of said term shall pay to the City, on or before the 9th day of.November::of eaoh and every calendar year, Fifty Dollars, ($50.00) per acre per year:,.and in addition thereto Lessee agrees to.pay.said City,during the:remainder of said term from November 8th,.1952, to November 8th, 1962, seven and five -tenths per cent (7.5%) of all of the gross sums he shall receive from the use of said 'Easterly Portion,":or any part thereof including all sums received from sub -tenants, and paymentthereof shall be made on the 15th day of January of each and every ca.len dar year commencing January 15th,.1953.: from whatsoever source, 7. s 10 11 12 13 14 15 16 The term "Easterly Portion" as used herein is intended to describe all of the property conveyed' by the lease dated November 9th, 1927, hereinabove referred to, except that portion of said property hereinabove referred to as "Said Westerly Portion." All provisions of said lease dated November 9th,"1927, not herein amended shall remain in full force and effect. IN WITNESS WHEREOF, the party ofthe first part has executed this contract pursuant to resolution of its City Council dated July leth, 193t, authorizingits corporate name and seal to be subscribed and affixed: hereto by the Mayor and City Clerk of the City of Newport Beach, and the party of the second part has here- unto set his hand. 2 4- 5 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 Beach, a THIS INDENTURE -=of Agreement•made and entered..i.nto this day of March, 1930 by and between the :City of. Newport municipal corporation of thesixth class, of Orange County, California, hereinafter referredto'as the party ofthe first part , and ,J. .L BEEK and- CARROLL: B. BEEK, his wife;, of the City of Newport Beach., Orange Oounty., California,' hereinafter referred to as: the party of the second part: W I T N E S S E T H---- That for And in of the mutual consent of the parties hereto and the mutual benefits accruing. and to accrue to the,parties hereto, and other valuable considerations,, it is hereby'understood, covenanted and agreed by and between said parties that that certain Indenture of Lease made and enter- ed into the 9th day of November, 1927, by and between the:City of Newport, Beach, a municipal corporation of the sixth class, as party of the first part, and. J.'A.: Beek -of the City of`Newport Beach, Oounty of Orange, State of California, as party of :the second part;: be, and the same is hereby altered and amended as follows, to -wit• It is understood and agreed that that certain paragraph contained on page 1, lines 8 to 15 inclusive, of said. lease,mes tinnedand reading at _follows, to. -.wit "That for and in oonsider-. ation of the payment of the rent and the performance of the cove nants contained herein on the part of the party of the second part and in the manner hereinafter stated, the party of, the first part does hereby lease, demise and let unto the party of the second part for the purposes of commerce and navigation, those certain properties hereinafter described as follows, shall be and. the., same is hereby stricken from said lease , and the following paragraph inserted in lieu and stead thereof, to -wit: ROLAND THOMPSON ATTOnMBT AT LAW .ANTA ANAL CALIF. A8 2 4 5 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 ROLAND THOMPSON ATTOWNIT AT LAW SANTA ANA. CALI/. "That for and in consideration of the payment of the rent and the performance of the covenants contained herei on the part of the party of the second part and in the ma ner hereinafter stated, the party of the first part..does hereby lease, demise and let unto the party of the second partfor the purposesof.commerce :and navigation, and for all other lawful purposes, those certain properties here- inafter described as follows, to -wit :". It is expressly understood and agreed by and between the parties hereto that said lease of Nov.ember.9th, 1927, between said parties aforesaid, as altered and amended shall be and the same is hereby ratified and confirmed by the respective parties hereto. IN WITNESS WHEREOF,. the party.. ofthe first part has. by Resolution of its, City Council dated the 3rd day of March, 1930, authorized its corporate name to be signed and its corporate seal to be affixed by the Mayor and City Clerk of the City of Newport Beach thereunto duly authorized this 3rd day of March, 1930, and the parties of the second part have hereunto set their hands and seals this 3rd day of March, 1930. CITY OF..NEWPORT BEACH, a Municipal corporation, 133771/‘alLeu4 Attest: Clerk - City of Newport Beach Party of the first part Parties of the second part . 7 0 9: 10 5 6:• and J. AiBTfiga:,of the of Newport 'Beach; •OOtintY" • • . , . , „ . " • " • - State of ' Oatifornia party . Of •thef:Oecoxid.;::part„; : • ' ' • " .—.. .. ... • ••• • •4 ••••....„--':;•.,.. ..' . ./ ::..../iii'',.. , • -..-......„--;:.,„:,....,..::„ ... . ..::::.....„......„„ . „ i,1,,,,,.......c.):-...2,.i,...,:,.. . - •-•,•''':<" :';','•.:..., . , '• 1..„ •; '.•,. ',...„ •.......,.. , . •.: ........•,.., •:,..,, ;•:„.:, ..,:„.,...., ,...,.:c.,. .. . it, .';',,...',.':,::-.•- '' . •-...,„.:,..-::„-..--... - , .,:., .- ,,,,:.- .. ...... .• _._ ,, , :-: ,-__ ...,:::-. ' ' ' • ,, -:;:., -••7•',"'.., : '1,,,.'.';':•,, : „..„,....:. ...2 .. .' ..":•-••••••'••••,::: t-,-:•• • : •••:::.•1,,••1:•1:•••21•:•3:2•::::',,-;:•:••.: :::-.-„••••„:„ ::. -.; „. -..•-.-: -..„-..„ ...„ ::„.:-, .. ...i..... : .... „ .,•-„,:,,..•::•„:::„,-..„ ..-::...--..„ •-• ..-.,•••••• • ,„ „ „ ....„ . ' I :„ • .., r. • ..•.' • „ • • . „ .ie . • • . •".... i" • ".. • - : • „ _„ ..„. ......„. .„. : ipe.1 Corporation : of :::the„ OItsifly. the party•of the first part WI 'T-: 3 E. 3 E .;:7.:113f That and in ainii46,1fai!i4kOni:Of :thel;',PaYieentf ef the rent and the perforpanot of the covenant:u.:c ontained horein>.on:Ithe Part of the party Ctill-the secOnd. part .and: :in the • ±minner.:hereinefter:.: Stated* the party of . the first Part does hereby:ilea-4yr, deaise and 13: 'jet unto the party --ef- the Second •p part for the 14 „ ..„ .„. and 'navigation, 'those Oettein properties llereitiafter:1:. des criblodae. • „ • 15 : followo • ••••••::.. • 16 17 18 19 20 21 22 23 24 25 26 27 213 29 30 31 All tid4"lAtOig . and other • real property :::0440.0ent" thereto . . , iizonging:: to the city .-of,,Bewport:, !Batik, lying 'Within:1'0e., felTheist:. • de,sbribed exterior boundary lintel:, • . : :. • Beginning ..at the cOsanOncorner of: Seations"-'26;„•:274. • • • 34 and 35 of Totinship. 6. Routh Range .I0 Weet, San• : •:, *Bernardino Des e and Meridian; thunoe easterly along• • . • the northerly': lihe of the aforesaid aeption.::AO:(bei.a point, whioh point is :eleven -„hundred,„,(1100),, feet • westeriy ofthe northeast: loOrner of the a/or90.01d ••• Section 35; thence • South along a line, Whieht line is eleven hundred (1100) :.feet !::Westeity of and, parallel With the :easterly:line: of the aforesaidsectSon 35, a ::distattoe of ::sixteen: hundred fifty (1650) feet :It . • a point; thence ,weetterly„, along a line, whish4inex.iff; :.•:: sixteen:: hundred fifty: (1650):. feet:: eouther4 of and• :parallel with the northerly line of the :Otte:Oat& Section 35, distance±ofjthirtyttzt hundred::..„(82004 • , feet .to a point; ,ther.10.0 aouthweaterly in a direct Ube." to a point in the westerly line of the efere-.„.... asifseot ion 35, which:point: is twenty-three I2300 Yhandr feet southerly of the northwest :cotter ....Of the.. Section 23; thende, northwesterly • line to the northerly thesulote... ::.• said Section 34, which point :is eight hundred4E300 feet Westerly ' of , the Northeast corner of said 34; thenoe east eight: hnareii: :( soo). feat to the plac.• of beginning. .• :- • • „ . •• „ , for a ter* of twenty-five ( 25 ):::yeare front-the:date hereof, and • H.9. 10 the Oity. of Newport Bosch, on-, or-befere the ninth day of November of each andevery calendar 'year during the: term Of.'llaid.:1434i30:;rent:,: 7 as set forthin the following 1schedule,:::t0ritity ' • - ". : . . : • ,.. 8 From ,the .9th day of November, 1927, to and inohuding the 8th day of November, 1932, .Ten Dollars •($1,0•00): per acre per year.;. From the 9th day .of• November,.1.932‘to and: incilleding the 8th day of November, 1937, Twenty::Doliers.::($.20:00):: per aord per yea From the 9th day of November, 1937, to and Anolad.inethe 13 8th day of November, 1942, -Thirty Dollars .($313:99)• per acre Tor: pes 14 Prom the 9th day of November, 1942, to and including the 15 8th. day of November, 1947, Forty Dp3.1ars ($40;99),•per acre per ,year From the 9th day of November, 1947, to and indluatilg.the - • 16 47 19 20 41 8th day of November, 1952, Fifty Dollars ($bo.po),.per-aore Per'3rear it is farther understood and. agreed. by and between -the parties hereto that the party of the second. part, .his heirs and/or assigns, will pay -to the party of• the first part iii addition.to. the 21 rental specified in theforegoing schedule the following amounts 22 as rentals during. the 11.fe of this , lease: 23 For the .first ten (10) years of said lease a sum equal to 24 2%.of all muse he shall reoeive from the use of said hareinbefore described property,. or any part thereof; regardless of the purposes 'for which said prey/saes shall be Sado' • . . . 2. For :the last fifteen (15) years of said lease *a sum equal . 28 to 570 Of .8.11;enuits he shall 29 receive from the use of said hereinbefo . . • 26 27 , ending on the eighth day - of November,- 1962, -ait the party - • , . second part agrees that as soon as the, property hereiiiaboiv 'dee": .. • 3 aribed shafl have..been surveyed and the 'area thereof ascertained, • 4 that the said Ascend Party; or his hairs or apsigns, shall par to 5 6 30 31 32 described ..property, or. any part •thereof, .regardless of the purpose fOr Which said: premises •ebilliti..weed.,., and. it is anderstood..and agreedthat. the percentages in.this paragraph set . . . : • . . - forth shall be*gross :pen...tentage:a, and no:knot-percentages and that • aid'paysants shall be -made as follcws,.,torwitt• •,©n the fifteenth' day of 'denary of each aid •Tory Seel y ear cementing on the fifteenth.dayof aaamary, 1328. tt is understood and agreed'by•ani bstween.,the pertle% • hereto that untfl the property herainbefore'described •hall have • been surviortd.. andiths area thereof' determined, 'it :shall he. considers for all puxpoeee that 'the. property is of an area of twelve (12) acres •an,6 that the party of the second part shall pay_rent on the„ •9 basis of twelve (12) aerea but that upon completion ofthe purvey 10 of said - land. if it sball be found that said prewiaee;oonsist;;of 11 less than twelve (12) acres; the party of the first part will credit; to the paid d.,A. Beek, the party of the second part herein, such amounts as he may have paid. :'in •posse of the sums actually owet or the foregoing sohedule',and will .apply"the same on fatnre'ren.- tal and that • if ,:said premiaes-ehall have been found to aonsiet.of re than twelve •� (12 ):: 'asrea,• that the party of •the'• asoond part'4411 mmediately upon the completion of•said.snrvey, pay •a000rding.to the o regoing sohednle:auch amount•. as • will oomply,with said schedule. The party of the eeoond part does hereby promise and agree o pay to the party of the first part the •said rent Ind sums herein 21 *Served in the manner'herein.apeoified and it is fanneir agreed 22:thatif any rent shall be duo and unpaid or if tefault•shall be made in any of the covenants herein contained, than it •hall be •lawful 24 for the said party of the first - part. to re-suter.the said premises 25:.and • to remove all'persone therefrom... . 26` It is° further -understood and 'agreed that' the•party of 27 the fira,t.part will supply water for tee upon the. said prenises 28.i°roviditig.a•surplusage-,_esis.ts at :the time required: but that. sash. 29 water will bs;paid for,by the party of the .seeend.part, `hip heirs 30. for aeaigns at the prevailing rate in•the'Oity • of $ewport Beach 31 and `it is further understood and agreed that:a11 piper —lines ahali°be 32 installed. at the expense. and upon -,the responsibility of the party of • , . It is further undsratood and agreed, thatthe party :Of.:the 7 8 9 • 10 11 12 13 14 15 PPttzr • .„ , • the second part and that:ho shall Oriaii. ottwee neeissiir" attendant; upon y eonnectist his said pipe -lines ifith•iht WaterMaine :belonging to -the party Of, the' first part. , - . ,. • ,.. • •• • . . . It is further- understood and agreed by and :between' the , - Parties hereto that the party, ..of• the ascent part shall' make or • • .. caused to be' made •imp:roventents in and. to, the*,said -prAgerty.:aw-fel. . ,•• lows, •'•••••• • • • • ' • ' -• 1. That he wifl and 'hall dredgedrodgs a cb.annel connectingthe herein demised premises with •navigable waters of 'Newport -Herbert' • , 2. That he will 'fill and level the • property cna. premises, • herein demised. in such manner as will meat with the approval of tits proper/authorities of the •party of .the first part. . ••• 3. That he will otinatrUot boat. landings and docks uponthe said 'herein demised. premisee..-'• • • . : ,• 4., That he will -install.: streets, water pipes and other . • . .. .. . . .. .• •• L.:, .. . . ,,. .. 16: saseagary• YOlie •utilltiee •Uloeu 044.-.Y.ielteess. • . ' • T.' , ..• . ," - .- ..-.: . z , 17 ..... • It :i.is understood- and:, aqt.fiii. 4 : that the ,party of the second .•.18 part 'shall- 'oaten°, work upon the, derieliopment work •incumbent Upon '.• . . 19 him .wit441:9,ne..year from the tine...that the"putrey,:hereinbefore- re- .. . . . • • .••••• o . . . •. • .. . • . . . .. ' •,, • . - ?P,.. 'ferredto eha13:hare".baSnOompleted and the aria and. boundaries : • - •, • . ,, ,. • . 21 definitely determined.)and• tbalitle. to the here;,n &smiled; premises : • • ' '. . .,. • • • • • , . • • - - • • • • 22 rested in the party-6*--the first part by filing 'the neoessar3r 23, 26. • 24 25 • ooliveyancei are filed for recOrd• that the party Ol. the .first• pert • .•, .. ••. • ...• ..., • • , . TaYamoes for record and. further more if steak work is not now, , - • '' mewled within tap ( 2 ) :.years from: the 'said time that the nee 'flattery ". • "•:• • - . • ... . . - ... ' • , . .. . .., , .--. . . , . . . . . ...:. May at ltd. oPtion, deislare this lease terminated and re-enter3hp . • • ..,. 27 - • .... . •. _-_ ..-....• premises -•and - remove all parties therefrom. .. ' .... ,, • '•„ ••••• - - ' --I : • 28', . -..,:: •• 29 •A •.. : ...oecond part, ':his heirs aut/orassign* shall•:bc,,Perthittedf.,t01:14, .. 30 rebaild, remote ;0ralter any of the • improvements :Made upon lhar"-etsid 31‘. , • ...releases: during the term of this Wealth, but, that skai' streets, • : . .. . 32 . aidewalks,,',Wator pipes, gas piPos, else -trio' lines and dookle,i-Ohall::::::: be: aurretniered •to . a...party of the first part :Upen'the,, extlireitieii.:Fiz '144; ,n• 3 :04101/Ci 1eaors.' onaH ti°n‘ t h e r eo f in good ooMition i'•-•:,anti.ii".;,14iiaitanatur_H- by: the 03411611t°,, " 2. *ordinary woar it ted. 3 That is agreed that as aimas the 4 • reaging and . . . : , • 4Orei..nbefotO, ootip-10**it.:looit the', abeasearY: „". . • • . •.....• „. • 14.43..titi011i,•••14.1ets34 the aeoon4 part, his h,ira siitior,"assigne .will apply to the governing heady •of the party of r 4 • 71': *liei.:4;dt 'part for: annexation to the Newport . . „.„ 't" • 8 j fu**hartw4diir,0044 agicaettl*Bat.ithe .pa*ty'ef• •:: tiOo.otat Part: shai). not assign tote without the easiest 10 the ga$70toing•;Ody•:Of the party of the :first: part but that the' • 12 13 14 15 • 16 17 18. 19 20. :21 ••• 22. 25 • • • ••• 26 : .27 29 • . '30 L.. 31. i. arty .5f;:lthe••esoOn4::part11.',01$11:batel,:the right to sub -leas, portions et the:ptoper0,•40eoribak.heitela at any time.•1 ' ' " • "‘• • the;:piarties. hereto:,harahereanto:4Set , " : • their heri&W!halaia4kie111*-1-fitetiaharaarittea. " - CITY OF BitaPOBT1 By i iMA A a A I.11452-1C—H, . mayor ' - / Attest • 44(y-zi, ,,,f...z-2.-7.-ric-,.., • dity Clerk. Piz' ty of the First Parts . . • • .. 71) fki ty, of the 3491:10 me?-._x..... i STATE pp cALIPOBBiA 1 1S5 2 'County of Orange ` . a� 3: .Oin ,this day► of .Ba®ember, 1127, before all . z� 4 1 !..a , a Notary Pa.blit in and for ...said, County ana. 5 St_at®, residing therein,' duly 4onamiasioned and sworn, personally 6:' appeared a 11" known: to me to be: the, Mayor in 7' of the Cityof Jewport `Beach,,: and 8 known to mo,to be' the City Clerk of the City of Newport Beach,.e 9 knownto me to be the persona'the emstouted the within instrument-.' 10 on behalf.. of the said City of Newport Beachtherein nested, and 11 they :aeknowedged to me that Said City of Newport :Beach sseoated' 12 the same.- 13 I IN WITNESS tHa m0.F. I hate _hereunto set my hand and af- 14 Ix ed my official seal the day ;and year in this certificate first 15 ,bove written. 16 17 Bo Cry Public' in :and fox�ai ! County and State. 18 19` 20. 21 22. 23 24.. 25 26 27 28' 29 30 31.. 32 1 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 95 AGREEMENT THIS .AGREEMENT, made and entered intp..by and between This IRVtNE COMPANY, a West Virginia.corporation, and the CXTY OF NEtPORT BEACH, a Munioipal Corporation, WITN,$a3ETBS WHEREAS, The, Irvine Company, has granted to the City.of Newport Beach certain easements .for streetpurposes, and in addition thereto has made a grant by deed to said Newport Beach of certain portions of Section 35, in Township 6 .South, Range 10 West, 3.R,B.& Ed., and WHER!I'A3, said The Irvine Company and said City of Newport Beach are the owners of lands adjoining the line of ordinary mean high tide in that portion of Newport Bay lying; Easterly and Northeasterly of Tract - No. 802, as per map.recorded in :look 2k, at page 7 of Mieeellaneoue Maps, Records of Orange County, California, and W1{ERPAS, the development of said .bay in that area last herein - before mentioned will, be benefioie]..to the.City of Newport leaoh and the public, and to The Irvine. Company.. -NOW THEMFORE, in consideration of the grante hereinbefore referred to and of the mutual benefit to flow to the reepeotive pasties hereto from the improvement hereinafter described, IT 15 HEREBY AGREED that the said City of !4ewport Teach will keep and reserve, for a period of not'leee than twenty-five years from the date hereof, the hereinafter described real property for ohannel purposes, and thateaid The Irvine Company may, SUBJECT to ouch regulationsand provisions and requirements as may be enforced by the United States Government enter upon the here- inafter desoribed,lande and dredge the same for channel purposes for public use for navigation, and that said work shall be done, if instituted by ea:id The Irvine Company at its oen oast and expense and without charge against the City of Newport Beach; PROVIDED, however, that said City of Newport .Reach.shall have the right at any time to enter upon said lands and dredge the same for channel and water purposes for public use for navi!ation purposes, all to be aL its own cost and expense and without charge or assessment to said The Irvine Company. Said lands hereinbefore referred to and effeoted.by this agree- ment are more partioularly.desorlbed as.followe, teewill All that partign of Section 35, Township 6 South, Ranee 10 West, San Bernardino base and Meridian, desoribed as follows, Be;inning at a point which point is the following courses and distances from the common corner of Beotione 26, 27, 34 and 35 of the aforesaid Township 6 South, Range 10 West; ;south 45* 411 20" East 1063.73 feet; South 23. 57' 304 west 1381.90 feet, to the above mentioned point of beginning; thence from said point of beginning South 394 481 36 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 East 61 feet to a .fit} tbatee due wee% a distance if 455.56 fps*. to a point; thanes Wei 39° 48' west, a diatom* of. 227..E feet, .toa Point; theme North 23° 574 3011Wit, a distaste. Of 390.22feet. to the place of tN WITNESS WHEREOF„, the ?sapodilla parties bento have dead this instrument to be aueouted: bytheir officers thereunt0 duly authors Sited this t3th day Of April, 1928.. ((CORPORATE gm).) tIMIItt!..•E Goma, TRg'. Jea:ee Irvine,President. W, ge 2te, 860a3tax' `. ((CORPORATE Sir)) CITY OF NEWPoRT BESOt, ar Conrad Biehter, Mayer Attest; Algid Smitb4 Clerk,. STATE or CALIPONNIA, ) )se. County of orange, ) . an this 13th • day of April, . le2d, he re me R+, 0, else, a Now rude in andfor said County and State, residing -therein, . duly ooeemaieeie n ed and morn* Persons slly appeared Jsaee amine, known. to me to be the.President,: and L. 8. Nellie, known to me to he the, Seeretarrof the worporatten described . in andthat exerted the within i:ruitnt,and known to me to be the persona who excouted the within instrument, on behalf of thecorporation therein named, and acknowledged to we that such . ee rPopattten executed' the same. . IN WITNESS WHERFO?, I have heranto set m band.. and &Mad Tor official seal, .the day and year inthis esrtif Bate firs above written. ((SEAL)) M6 A. Miss, Notary Pubiio in . and far said County and :ate. STATE OF GALL IA, ) )act, County of Orange, ) on this 13th day. of : April, 1928,. before we Franklin O, east, a Notary Public' in and for said County and State, residing therein, duly commissioned and Sworn, personally appeared Conrad Richter :known to to be tbe Mayor and Alfred atsifh,,4 knoan'to as:to be the Clerk' of the corporation deperibod in and that executed the within instrument, and known to me to be the persons who executed the within instrument on behalf of the careeratioti therein... named, and aoknow edged tome that such sorporation exsouted the same. . . It's WI LESS w ti RFOT, I have hereunto set mr hand and affixed my official seal, the day and year inthis certificate first above written, ((SEAL)) Franklin G. West, Notary Public in -and for said County and State. Recorded at request of Grantee Deo 21, 1928 at 1H .Sin. ,3j 1 2 3 4 5 6 past 2 Pair. In Book 231, page 96, Official Reoords of Orange. County. Justine Thitney, County Recorder. Italy Lee COMPARED Marguerite Chapman s s 00 0 •PIP Olt Ow .STATE OF CALIFORNIA, County of Orange }53. I HEREBY CERTIFY The foregoing to be a full, true and correct copy of the instrument appearing recorded in Book No 231 of Official Records page 90 Records of Orange County, and that I have carefully compared the same with the original record. IN WITNESS WHEREOF I have hereunto set my hand and affixed my official seal this ljth dayof November /94A1- Ruky McFarland County Recorder By (111a-p-i-n---Cri--Deputy 2500 4-24-40 .... ... 16 17 18 19 20 21 22 23 • 24 25 26 27 28 29 • 30 • 31 32 jy 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF ROLAND THOMPSON .210 SPURGEON SLOG. SANTA ANA. CALIF. RESOLUTION NO. WHEREAS, there has this day been presented to the City Council of the City of Newport Beach a certain Lease and Amendment of Former Lease, dated the 3rd day of December, 1945, wherein the City of Newport Beach is the Party of the First Part and J..A. Beek is the Party of the Second Part; and WHEREAS, said Lease refers to lease from First Party to second party dated November 9, 1927, and also written amendment to said lease dated March 3, 1930, and also written amendment to said lease dated July 18, 1938, which said lease is now in full force and effect; and WHEREAS, the leased premises have heretofore been im- proved by the party of the second part and said party of the seoon part desires to further improve the westerly portion of the leased premises and to increase the city's revenues under its percentage rentals under said lease; and WHEREAS, the westerly portion of said premises oon- sists in part of tide lands granted to the city of Newport Beach by the State of California, and the remainder thereof is uplands abutting upon said tide lands, and in the judgment of the City Counoil of the City of Newport Beach the use of the westerly por- tion of said tide lands and said uplands aforesaid, for industrial uses is and will be inimical to the best interests of said city that said former lease be amended as follows: That the property described in said lease be leased to lessee for a term ofrsixteen years, eleven months and five days from the date of said lease, and ending November 8th, 1962, upon the same terms, covenants and conditions and rentals, except as herein set forth, to -wit: That the westerly portion of said leased premises be leased for park, recreational, residential or educational purposes, to the lessee; that for said westerly portion lessee shall pay"to the city., on or before November 9th of each year during said term to and -1- 2 3 4 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICER OF ROLAND THOMPSON 210 SPUROEON BLDG, including November 8th, 1947, #40.00 per acre per year, and from November 9, 1947, to the end of said. term $50.00 per acre per year; and in addition thereto lessee agrees to pay. said city until Novem- ber 8, 1947, 2%, and thereafter during the remainder of said' term 5% of all awns he shall receive from the use of said Westerly Por- tion of said leased premises, all as in said lease provided; and WHEREAB,'for the Easterly portion ofsaid leased premix Lessee shall'pay to the city up to November 8, 1952, the rental percentages provided for in said:lease dated November 9, 1927, and for the remainder of said • term, shall pay to the City, on or be- fore:.'Novembe.r 9 of each year $50.00 per acre per year, and in addition thereto agrees to pay said city during the remainder of said term from November 8th, 1952, to November 8, 1962, seven and five -tenths percent (7.5%).of all the grope sums he shall receive from the use of said Easterly portion'or any part thereof, all as in said lease more particularly set forth; and WHEREAS, the City Council of the City of Newport Beach deems that it is for the best interests of said City of Newport Beach that said lease be entered into with the said J.. A. Beek; NOW, THEREFORE, BE IT RESOLVED: That the Mayor and City Clark of the City of. Newport. Beach be, and they. are hereby directed, instructed and authorized to execute said lease- in the name of and on behalf of theCity of Newport Beach, and that.the' City Clerk deliver a duly executed copy thereof to the Lessee therein named. I hereby certify that the above and foregoing Resolutio was duly and regularly passed and adopted by the City Council of t City of Newport Beach at a regular meeting thereof held on the 3rd. day of December, 1945, by the following vote, to -wit: AYES, COUNCILMEN: NOES, COUNCILMEN: ABSENT, COUNCILMEN: ATTEST: City .Clerk Mayor I -2- October 28, 1941 Mr. Roland Thompson City Attorney City of Newport Beach Newport Beach, California Dear Mr. Thompson: Under date .of July 29, I addressed a communication to the City Council of the City of Newport Beach, calling attention to a situation existing which affects a portion of Beacon Bay and adja cent property Which I have under lease from the City. The situa tion I refer to is my inability to rent certain lots by reason of the fact that the City Council in 1928 granted a permit to dredge out portions of property it had leased to me in November, 1927. Subsequent to the filing of the communication above re- ferred to with the City Council, I interviewed the representative of the interests holding the, dredging permit hereinabove referred to in an effort to see if. the dredging permit might be waived, a quit claim deed given the City and the City thus relieved from re- sponsibility in the matter. I regret to have to inform you that I was unable to effect.any such agreement and the matter stands just as it did when I wrote the city. I feel that I am entitled to relief from this situation and that responsibility devolves upon the City rather than upon me. Accordingly,.I respectfully request that the matter be given immediate consideration. My feeling that the responsibility is not mine does not, in any measure, lessen my desire to be of any possible assistance in clarifying the situation. Pease assure the City Council that I will. be glad to do anything within reason to effect a settlement. Very truly yours, (signed) J. A. Beek OFFICE AT ISLAND BOAT HOUSE PHONE NE W PORT 82-W JOSEPH A. BEEK • SPECIALIZING IN BALBOA ISLAND PROPERTY AGATE AVE. AND SOUTH BAY BALBOA, CALIFORNIA July 29, 1941 Hon. City Council City Hall Newport Beach, California Gentlemen: OLDEST REAL ESTATE CONCERN AT BALBOA 1BALBOA ISLAND HARBOR ISLAND Under date of November 9, 1927, the City of Newport Beach leased to me all tidelaads and other real property adja- cent thereto belonging to the City of Newport Beach, lying within the following described exterior boundary lines: Beginning at the common corner of Sections 26, 27, 34 and 35, of Township 6 South, Range 10 West, San Bernardino Base and Meridian; thence easterly along the northerly line of the aforesaid Section 35 to a point, which point is eleven hundred (1100) feet westerly of the northeast corner of the aforesaid Section 35; thence South along a line, which line is eleven hundred (1100) feet westerly of and parallel with the easterly line of the aforesaid Section 35, a distance of sixteen hundred fifty (1650) feet to a point; thence westerly along a line which line is sixteen hundred fifty (1650) feet southerly of and parallel with the northerly line of the aforesaid Section 35, a distance of thirty-two hundred (3200) feet to a point; thence southwesterly in a direct line to a point in the westerly line of the afore- said Section 35, which point is twenty-three (2300) hundred feet southerly of the northwest corner of the aforesaid Section 35; thence northwesterly in a direct line to a point in the northerly line of the aforesaid Section 34, which point is eight hundred (800) feet westerly of the Northeast corner of said Section 34; thence east eight hundred (800) feet to the place of beginning. Among the considerations for this lease was an agreement on my part to fill and level the demised property and to dredge a channel connecting it with navigable waters of Newport Bay, also to construct piers, install utilities and pave streets. • Hon. City Council --page 2 July 28, 1941 It was further required that improvement work be started within two years. Within twenty-four hours of the granting of the lease above referred to, work was commenced on the improvements agreed to be made. Approximately five months after the above agreement was entered into, April 13, 1928, the City granted to the Irvine Com- pany a permit to dredge out, fofr channel purposes, a portion of the land granted to me by the lease above.referred to. Such per- mit affected the property described as follows: All that portion of Section 35, Township 6 South, Range 10 West, San Bernardino Base and Meridian, described as follows: Beginning at a point, which point is the following courses and distances from the common cerner•of Sections 26, 27, 34 and 35 of the aforesaid Town- ship 6 South, Range 10 West; South 45° 41' 20" East 1063.73 feet; south 23°.57' 30" West 138.90 feet, to the above mentioned point of. beginning; thence from said point of beginning South 39' 48' East 685.81 feet to a point; thence due West a distance of 455.56 feet, te:a point; thence North 39� 48' West, a distance of 221.66 feet, to a point; thence North 23° 57' 30" East, a distance of 390.22 feet to the place of beginning. This property was contained in the exterior boundaries of that leased to me under date of November 9, 1927. During the elapsed five months it was in my possession and I was paying rental thereon. Also it had been partially improved by dredging a channel adjacent thereto and filling the property. No representative of the City interviewed me with reference to the granting of this permit, nor was I informed that it had been granted. This parcel of land involved lots 1 to 7 of Beacon Bay Tract and portions of lots 8 and 9. It also covers a piece of pro- perty lying northwesterly of the Harbor Island Bridge, which contains about three lots and which was not subdivided at the time Beacon Bay was subdivided due to the request of Mr. Hellis of the Irvine Company that I delay subdividing it pending development of a plan for the subdivision of Irvine property immediately adjacent. Whatever may be the cause of the granting of these conflict- ing rights to this piece of municipal property, the mistake was made by the City of Newport Beach and was due to no failure of mine to live up to my obligations. I am, therefore, calling it to the atten- tion of your Honorable Body with the request that you take the neces- sary steps to remedy the situation. Very truly yours, `1. ' • • 8erkelite*,(4#6!40.Dear Sir: • ,, .4 „.. .;„ •. •" : , •1 reply tc your.: letter Of,/,•44iril, • 3q,,E.- regirii4,14g,:tot./:::$1 '14:the, Bedoore: Sat :•,54bclitislOit.,:itger Lease •Nb. Ric!tvnuld gav that there 'hive:,tioth :ha/ahange oitt.subeequeitt±.$0,:the']., • •• H.••'46;te•;.otcyOur..%;,lease: . 24th1„ . ",1••' 1: tete :gorie aver' ail. ithel,,Beek. leaies , ,• • .• .. cirefui1t an alr of ? are :•:f12„1.1y,,7;',:', • •••13rottiatect, under ,Yot4r:,,lea3e wlth hThi.• •••'•,:-/<- • ;7,Y; ,;•••?-, • ... Very truly yours* ; ", •, ' • . „ • , • • . IVY' AttorheY • W. H. WOOLSEY 871 SPRUCE STREET BERKELEY. CALIFORNIA April S0, 1941 Roland Thompson, City Attorney of Newport Beach, 210 Spurgeon Bldg., Santa Ana, Calif:. Dear sir :- As sub -lessee of Lot 61, Beacon Bay Subdivision under Lease No. 2, City of Newport Beach to J. A. Beek, I expect to build a home on the above property. From all appearances we are fully protected against default by Mr. Beek, but as a last cheek -up, mays I enquire as to whether there have been any changes in Mr. Beek's lease with the City, subsequent to the date of my lease with him as of Aug. 24, 1940. I shall appreciate your prompt reply, for which I enclose return, self-addressed envelop. Very truly yours, W. H. Woo l eey • August 18, 1940 W. H. Woolsey 2085 Allston Way Berkeley, California Dear Sir: Your letter of August 18Sh, 1940, relative to the Beaoon Bay Subdivision received. I am more or less familiar with all the Beek leases in ielation to this subdivision, in faot,• I am quite certain that I prepared portions of the lsase for the protection of the city. It is my firm conviction that if Beek should default ender his master lease that your lease would not be affected. I antioipate that Mr. Beek could mortgage such interest is he might have in the lease but I understand that you will reoeive a policy of title insurance and a lease, and when youhave plaoed this lease of record, such a mortgage could not possibly affect your lease. Hoping that I have satiefaatorily answered your inquiry of recent date, I am Very truly yours,. City Attorney AT:LR W. H. WOOLSEY. AGENT City Attorney, Newport Beech, California.:. Dear sir :-. ES ATE OF ROSA M. WOOLSEY • 2086mtrALLSTON WAY BERKELEY. CALIFORNIA August 15, 1940. PHOH6 BEB.6L6Y 5071 I am a prospective lessee of Lot. 61 in Beacon Bay Subdivision, which is noW under master lease from the City of Newport Beach to J. A. Beek. In studying my lease, I would like to enquire of you the following legal points : 1. If the Lessor ( J.A.Beek) defaults under the master lease, would the Leeeee (.my lease) be affected, so long as I paid to: the City of ,Newport Beach the specified 0110 per year? 2. Can the holder of the master lease mortgage his interest? Can his interest pass by operation of law? And will such mortgage or passing of interest affect ny lease? I will greatly appreciate your prompt reply, as my option on this lot expires in a few date. Thanking you for your courtesy I am Very truly yours, W.H.Woolsey. JOSEPH A. BEEK SECRETARY OF THE SENATE Sacramento, California November 25, 1940 Mr. Roland Thompson Suite 210 Spurgeon Bldg. Santa Ana, California Dear Mr. Thompson: I am forwarding to you herewith copy of a letter I have from Mr. James Irvine in which reference is made to the matter of Beacon Bay and the matter of conferring upon municipal corporations the right to sell water front property. Kindest regards. JAB and Encl. Very truly yours, RESIDENCE BALBDA ISLAND F. O. ED% E97 BALBOA. CALIF. COPY November 19th, 1940 Mr. Joseph A. Beek, P. 0. Box 537, Balboa, Calif. Dear Mr. Beek: - Acknowledging your letter of Sept. 10th, which came here shortly after I left the City and your letter of Oct. 2nd, which arrived quite a while before my return. I have heard nothing further in our matter. What reaction or expression have you had regarding the proposed bill amendment from Messrs. Thomp- son, Mize and Scarborough. Personally, I cannot see why or where there should be any objection. The amendment is really an Enabling Act to overcome a bottle neck now existing under the present law against harbor development. It seems to me the matter of Beacon Bay is largely a legal question as to whether your claim or ours are the proper ones to receive recognition. I scarcely see how the State could lease you something which they did not definitely have at the time. At least they could not dedicate more than they would receive under a general adjustment being made of the entire bay by the establish- ment of high tide lines. We would not agree to the estab- lishment of the harbor lines without preserving the right to dredge to them when we found their proposed location might cut us out from our existing water frontage. How- ever, we will try to cross that bridge when the proper time comes. In the meantime, we can wait the outcome of the proposed amendment. Might it not be desirable to have these same powers granted to the County, as it is not inconceiv- able conditions might arise when they would be confronted with the same difficulty. This present Act seems to refer to Municipal Corporations. Would a county be called such? I am rather in doubt about it. Yours truly, (signed) James Irvine 771,,, "Lt,. '1 • J. D. Snodgrass and Mad' 2301 Iiuntington - ;ri vo, inn. .:Artw, California. Dear yir and Madams The undersi ed..haa beer_ advized that You have .recently leased frou J. A. Seek a porticrtHof certsinH.tide- 1 nds adjacent to iieeport Bay in Crane Ccunty deco oted•ae Lot 7, Bosch _;e Subdivision. . it has recently con t(: the.4ttenticn of the un°:er::i_;_.ed that . caaid pre:aiecs aro o. part of the' tirelanr.s deZcrlbed in that certain asreement dated April 13, 192G, betwecn the. Cuts of .Newport 3each. and. the undcrssi 'ned and corded Deceµher 21, 102a In Pook 199, at NLSo 275, o.' 'f 'icis] 9ecorc:s of ..Orcan;,e County, undtr an:: by w ich azroe:ie.at ti.c acid cit granter_ to the Un4Orzicneit the ri 'Lt, s_urit 'the period of twenty-five yeare from and after • the tkte Of &aid a:'"reemert to enter Upon such ti::.clac;i:3. .: ar..1 t:: Dredge he..oaae for channel purposes for navi{,Y_tIon. • Accor'..i.. ty, jy'.. Fzrc hereby spec fically :totified of tlx aid: r -:roenc t culd .O.f t1 c 1=,- .ta of the underEitned therounusr.in err] te. tl:e zt. i 1a•do leased by you reference being made to t`',e. above cited ,,awiic record for further.p rticul.rs.. . Vexed- truly :cure. cc- Mr. J. A. Beek cc- City of Newport »each" Russell E. Post aand Dorot`•y LPpst,, 2797 Fleur Drive,- `. San .artno, C&iifornia, Lear .3i and 4 pan: The undersigned his been advi ed that you ?live leased"from J./A. Seek a portion of certaa'.n tine lands adjacent to Newport Bay in Orange County designated as Lot 3, Beacon Bay -Subdivision. • • It has. recently corm'to the ai+.:'<.Ent1on of the undersigned that said •premises arc :aa part of 't:.:o tidelands described in that certain atreement dated April ' lay. 1928, betwee.: the City of Newport Beach, and t_.e unc:ersigned and recorded. Lieeethber 21,. 1928 in Book' 199, rat 2tape of ()facial Records of Orange County, under and .by which' a -reeemeht the said it-. ;;r:.nted to the undersicnaec, the ri it, u,arin,c Le period of twenty-five:years front and's.fter 'the ,.:ate of .pads u:;reeiont. to. ©rater: upon tnich tideleaea an: to 'rc,° c "<c par.: fee c altlel pur?,oso5 for na:vi atic:n. • .Accor6.1.:cly, you archerchc 3'.1<.ci. cell's noti fie'. of the:Rita k --reeve t. as :.. 'of tic ri ;i:-.£, .1 tihe�un:'a r- signe:i thereunder in••and to the 'said. . laa.n s leased by ::ou, reference being naile to the.aibove citsc..Inal;l:c reeor. or fssrti-lo:s p::.rt culatrs. Very truly your;,tr'.. VINE 'soaker W.BH/BI!• cc- Mr.. J. A. Beek- cc- City of Newport Beach WNW . October`21, 1940'` James ?E.:Reward and :Beatric:E. 706 Arden Read,. Pasadena, Calif. Dear Sir and rada-nt . The indareigned aaa been.advised. that 7ou.have • recently leased frctn J. A. Beek a pOrtien of certain tads-. • lands. acijac!: nt to .1bewport .Bay in cringe County designated as Lot 3, ioacenson. • • • It has recently cone. to tlic r:ttent<or< of the undersi; iec tat aGt : prcr-ises dire` a part of t*:o ticelanda deseri ed in that .certain a ,reerncint doted•Apr11 13, 1CJ23, between the City of =ewport Doach,..an the undersigned,. and recorded i;eeember. 21, 192E in Bcok .199, at Page 275,• of Official Records. of Oranj County, underand by ,which agreement the said. City granted. to the undersigned the • right,..during the..perigi of twenty-P1ve.yea.s from.anti.a.ter the date of said asgreeraent to enter upon such tidelands and to dredge the 'same °or channel .purpeses for nat 7:aticn. Accor�,in ly, r.W. arc hereby specifically notified of the said a„ree*dent and'of the -rights c; the•undersigned thereunder in an6HtO the aid lands leased by you, reference• being made to' the above .cited public record for further • ..particulars.. Very truly yours, ::ti IVI2i? COY, Manage r .. •i/Bii .. cc- Mr..J. A. Leek cc- City of Newport Peach John E. Glover. and-Maurae . 1823 7rel1in,r tor_ Roads Log An elee., nl!.f.. • Dear Sirape!laden: The uncerei ned has been sdvizod -th tyou- have recently.leased from. J.A. Leek a portion of ccrttin_ tidelands aC.sneer:t tc Newport Iiay In Ora ngo County desig- - natc as LotA, 'deacon °4ay 3ubdlvision. It has recently come tc the- attention of the undersigned that said -premises are a:.'cart Of the- tidet lands describe n-'that certain azreo4ent-dated.Apr'.1.13, 1928, betw-.:en the Cit;° of Newport each, --an: the un<<e - ci zeci and recorded December 21, 1929 in Book 109, :at Page 275, of C_ricisl Records of Oren" o County, under and-'ay -- which . a:-ree:rient the zzai:: C! ty {rrantcd, to -the undersigned the right, _.•:rind the pei local of twc:;'ty-five yea re frc:.a fark s ter the date of .;ald scregiment to enter- upon eucii- tide- - la ids and to dredge the cane for c ....:e1 purposes for niivi- ratten. Aceorc' is'1y, ?ou are hero ou_iel; of.t..o .asd u-roc..:zea':. n.. of the u.::!e. _,1.-rieu thercunLer In a.:: to tie sole. y u, reference be" n, :::ai o to t:ic rc:ccr,: for further particulars. - cc- Mr. J.A. Beek by specifically 7:C ,t3 of the 1a'r10 leased .'Per; truly 'ours, • p?` '' ilVi=+f-:: CCI 1'AirTp .�_ s -. :1y cc- City of Newport Beach/ Manager Torrey H. Vlebb and li^nor !,. Wo5b, C/o Texas Company, 1276 West 7th Street, Los E',ngeles,..Gclif. Lear sir and >"adamt the uncersignec bas been advised that you have recently leased from 3. A.: Te`ck a portion• of certain tide- • lends adjacent to NeePort Say in Orange: County,desicneted as Lots 4 and 5, Beacon :Day tub: ivieior.. It has recently. come to the, attentl ac.t of the under 1F.ned that said pro' ices are Apart or .tad tidelands: described in thtit :cer'tnin a cenont. dated 4pril 13, 1928, between the Citj cf NOV/pport B ach,and the under-lcnod any:. rccor..cc: ;,+ ember 210 IO23 In Book 190, at Pa^e 275., of Off'ictal iteecr s `o`: Oraxn„ e County., Underadze; by.which' errcement the said City.. -granted to:the ie. Uncer:.i acr the ri lit, dur•ints. the period: of..tadnty-five years froi,. and After: the elate of said a arc encnt. to enter upon: auch tidclanda . and to dredge the same for..channel purpo.ac.s for navigation A corC inrly, .y,: a are hereby..spccifioa ly notified: of the-aaid;agreement and. of..t::e: rights of the undersigned thereunder. in and to'the said lands.leesed try au', reference being.;made' to the above cited rablic record. for`ttarther particulars... . Vero truly 'rears, T'. `YL. :CJB?AWY,.. Ur. William J. 'Cngney,, C/o Warner Brothers Studio, Los Anggeles,Callf. The undersignedhas been advised thst Don have recently leased from 3. A. Beek a portion of certain tidelands adjacent to Newport Bay in Orange County designated as Lots 1 and 2, 3eacon Bay :3ubdivision. It has recently cone: to the attent_en of the un..ersigncd=that said premises sit a part of t}2c tidelands described in that certain' agreement dated April 13, 1928, between the City of Icwport Peach,` sl° -tie uudorzigned and recorded i)ooenber` 21,*. 1928 in Book 190, at Pa:. a 275, of Official Records of .Orange County, under and by which agreement the said City granted to the undersigned the right, during the period of twenty-five years from and after the date of said agreement to enter upon such tidelands:. andto dredge the sane for channel purposes for navi;aticn. ' • Accordinly, you:are hereby specifically notified of the.said agreement an :'of the rights•of the undersigned thereunder in' and to the said lams leased .1b; you, re-foronce•being mace to the above cited public • • record for further particulars., very truly yours, ri-21j;T: 4, October 21, 1940 Waltor C!,npicer and Faye S'icer• 74Wy'tdattict-liblrgo Newport'Beach Calif 0" Dear Six' and Nadatu Thi.Undereigned has .been adyited that:you have recently:leased 1 tow3..•A. 13eek & ort100Hottc,talh:tidea-- ••• • lends, gdjacent•tp:Newport Bay .Orange•Cbunt doalglated as Let SoBeacon Bay Sub4ivisicn.: • . . . . • It has come td.the.,attention•biT the :• • Undersigned that easc p491aps.ere a.pertof the:tidelands H-• desoribeddn that certsin-irjieeMent,dated April 13, 1926, tetweentheCCity of.Neaboit Beach*Yand•the..nndereigned - . and recorded Decpmbet 21, 1926 in Book1990 at faze:2754 of Official Records of•Orange Countys-under and by which -Agreement the aaid City granted to. the.undersigned the tight, durini7 thoperied of twenty-fiyo.yearc,from and. sr -et the date or .aaid agteementtc enter upon such tidelande- Lan tbdredge the same for chennelpurpoaes.fornatirretion.... • Accordln:lyi yci inc hereby specifically notifiedof-the said r.,uregment and,ofthe tiii;hts bf:the. underslancdthereuncr in ante tbo aid .lanns leased. . bY 7cu, reference beingmmadeAo the above:cited public moon: for further-particular8J . . Vety tru17 7c.'.1ts• 1”,,7-. TRW.!;I: ViBR -BE cc- Sr. .L A. Beek cc- City of Newport JOSEPH A. BEEK SECRETARY OF THE SENATE Matta*ante September 11, 1940 Mr. Roland Thompson Spurgeon Building Santa Ana, California My dear Roland: In looking up the matter of the prohibition against Municipal Corporations selling their waterfront, I find that it did not originate with the Riley Bill of 1935. I finally traced it back to 1883. It has been in the law ever since. It appears on page 269 of the Statutes of 1883,, section 862, second subdivision. The wording is identical with that of the present law. The Legislative Counsel bureau is helping me in preparation of a bill to make the amendments we desire. I hope to have it ready in a fewdays. and will mail you a copy. HAB:bt Yours very truly h A RESIDENCE BALBOA ISLAND P. O. Box 537 BALBOA. CALIF. 6SEPH A. BEEK SECRETARY OF THE SENATE REEI©ENCE BALBOA ISLAND P. O. BOX EST BALBOA. CALIF. Sacramento, California February 8, 1940 Mr. Roland Thompson Suite 210 Spurgeon Bldg. Santa Ana, California Dear Sir: In reply to your letter to Mr. Beek in reference to the check which was not enclosed -- yes, it is quite possible that his stenographer is at fault but she has not, as yet, been able to trace the error. It is vety likely that I enclosed the check in the letter Mr. Beek wrote to Mr. Mize on the same date and I have written Mr. Mize today. Thank you for calling this to our at- tention and I trust that the matter will be straightened out in the very near future. I regret this inadventency. Very truly yours, vvt-- Secr ary to Mr. Beek Cm..& GGLDED °nit InTERn RTIOnRL ExDO51Tmon d.dresry/B^ /o Do.nwhr2' /9J9 February tth, 1940 Mr. Joseph A. Beek Secretary of the Senate 8aoramento, California Dear Mr. Beek:. S received your letter yesterday, in whioh you stated you were enclosing check fo: S25.00, in payment of statement.,.in re: Deacon Bay Community Association. Roweter, the oheok was not enclosed, whioh was undoubtedly an over- sight on the part of your stenographer. Sincerely pours, RT: LR • JOSEPH A. BEEK SECRETARY OF THE SENATE • %mats titostature Sacramento, California ;; pbruary.;5, 1940 Mr. Roland Thompson Spurgeon Building Santa Ana, California My dear Mr. Thompson: I am enclosing herewith my check in the sum of $25.00 in payment of statement of the first, in refer- ence to By-laws of the Beacon Bay Community Association. You may recall that you rendered m some ser- vice in the matter of the proposed Shoreline Ferry Line in 1938. I am asking Mr. Mize to represent me in the matter of securing the franchise. When that matter is disposed of, if it is agreeable to you, I should like to have your services again in the preparation of Articles of Incorporation, etc. Thanking you for your services in the matter of the Beacon Bay Community Association, I remain Very truly yours, JAB and Encl. RESIDENCE BALBOA ISLAND P. O. BOX BBT BALBOA. CALIF. C wm GOLDED GATE IDTERORTIOITRL ExPOLTIOD %ediva q /9e /a December Per /9J9 February 1, 1940 Joseph A. Beek Balboa Island Oalifornia Dear Mr. Beek: Beacon Bay Community Association in account with Roland Thompson Preparation of By -Laws, in the above enticed matter ---- $ 25.00 • t J. A. LEEK {&`ts' S, rs W k^ LEA a "«",'y5 b"+ x.S �, .. �*S �. ,. E$ti EARL W. STANLEY OLVELOPER amo EPk j�yp�p S SALES MANAGER BUBOIVIOER A,D SOUTH BAY FRONT • BALBOA ISLAND PNCN6 NEWPVT 6$« W AT FERRY LANFIND CALIFORNIA Mr. Roland Thompson Attorney at Law Spurgeon Building Santa Ana, California My dear Mr. Thompson: At your suggestion I asked Mr. Paul Mason for an opinion as to constitutional restrictions upon the use of tidelands. Mr. Mason has given me his opinion on this subject, of which I asked him to prepare several copies, one of which I am enclosing for your files Wishing you a: :happy and successful New Year. Very truly ours JABS Encl. SANDY NOOK LIGHTHOUSE. flea... WILL HE UsEOA STREET SNP PIERLIGHTS AT SEASON BAY Sacramento, California. January 9, 1940 Mr. Joseph A. Beek Balboa, via Newport Beach California Dear Mr. Beek: You have requested my opinion, as an attorney speciali- zing in constitutional matters, as to whether any constitutional restrictions concerning the property leased from the City of Newport Beach by you and which you now propose to subdivide, would interfere with, or in any way restrict, your proposed use of the property as a subdivision. The constitutional restrictions contained in Article XV, Constitution of California, concerning tidelands, relate to naviga- tion and fisheries. The particular question involved appears to me to have been definitely and completely answered in the case of People vs. California Fish Company (1913), 166 Cal. 576, 138 Pac. 79. The' conclusions stated in this case covering the principal point involved, appear on page 596 and page 597 and are as follows: "Our conclusions as to the law on this branch of the case may be summarized as follows: 1. The tide lands are, and from the beginning of our government have been, dedicated to public use for purpo- ses of navigation and fishery. 2. The title to these lands is, by the people, vested in the state in trust for said public uses. The admini- stration and execution of this trust is committed by the constitution to the legislative department, subject to certain expressed reservations and restrictions. 3. The powers of the state as trustee are not expressed. They. are commensurate with the duties of the trust. • Every trustee has the implied power to do everything necessary to the execution and administration of the trust. 4. As the state has the powers necessary to the exe- cution and administration of the trust, it follows that it may dispose of these lands in the administration of the trust in such manner as the interests of navigation may require. One of the duties of the trust is to adapt the _ land to the use for navigation in the best manner. If, • in so adapting the tide lands for this use, it is found necessary or advisable, in aid of the use, to cut off por- tions of it from access to navigable water, so that they "become unavailable for navigation, the state has.power to exclude such portions from the public use and, to that extent, revoke the original dedication. 5. When this has been done in the regular administra- tion of the trust, the land thus excluded from use for navigation may become proprietary land, not subject to the public use, and it may then be alienated irrevocably by the state for private use to private individuals. 6. When the state, in the exercise of its discretion as trustee, has decided that portions of the tide land should be thus excluded from navigation and sold to private use, its determination is conclusive upon the courts; but statutes purporting to authorize an abandon- ment of such public use will be carefully scanned to ascertain whether or not such was the legislative inten- tion, and that intent must be clearly expressed or neces- sarily implied. It will not be implied if any other inference is reasonably possible. And if any interpre- tation of the statute is reasonably possible which would not involve a destruction of the public use or an intention to terminate it in violation of the trust, the courts will give the statute such interpretation." In this particular case the tide lands in question have been filled under propertyauthority, the land filled being back of the bulkhead line established by the United States. With reference to the effect of the bulkhead line, the California Supreme Court, in People vs. California Fish Co., Supra, at page 599, stated as follows: "With regard to the harbor lines fixed by the United States, it is clear that this is the equivalent of a license to the state to fill in the land between them and the shore, either before or after the erection of a wall on the established line." The fact that the particular land has been filled and is no longer available for the use of navigation and•fisheries, appears definitely to have been established by a number of legislative acts, including Chap. 200, Statutes of 1931. This act contains, in the second section, after describing the ordinary high tide line, the following statement: "All lands heretofore described, and belong lying between said ordinary high tide line described, and the uplands heretofore constitute natural accretion to said uplands to and are a part of said uplands." With reference to the right of the state to take the action indicated by the statute cited above, the California Supreme Court, • in People vs. California Fish Co., Supra, on page. 585, states the following principal: fflt is also settled that in the administration of this trust when the plan or, system of improvement or develop- ment adopted by the state for the promotion of navigation and commerce cuts off a part of these tide lands or sub- merged lands from the public channels, so that they are no longer useful for navigation, the state may thereupon sell and dispose of such excluded lands into private ownership or private uses, thereby destroying the public easement in such portion of the lands and giving them over to the grantee, free from public control and use." In the present case, of course, the state has not authorized the sale of the lands, but certainly there is no question of the right of the state even to sell such lands as may be back of Federal bulkhead lines which have been filled and so are no longer physically available for the purposes of navigation or fisheries. The case quoted above cites numerous cases as authority for this principle. From a consideration of the above, it seems to me that no question can exist as to the proper use of the land leased by you from the City of Newport Beach for re -lease for residential purposes. PM: LP Very truly yours, 9t' BY-LAWS By -Laws for the regulation, except as otherwise pro - bided by statute or its articles of incorporation of BEACON BAY COMMUNITY ASSOCIATION ARTICLE' Offices PRINCIPAL OFFICE. The principal offioe for the transaction of the business of the corporation is hereby fixed and located at in the City of Newport Beach, Orange County, California. The board of directors is hereby granted full power and authority to change said principal offioe from one location to another in said county. ARTICLE II Members Section 1. NUMBER OF MEMBERS. The authorized number of members of the corporation shall be sixty-one (61). There shall be no classifiontion of memberships in the corporation. mention 2. QUALIFICATION, LIABILITIES, RIGHTS, ETC. OF MEMBERS. The qualifications of the members, the property, voting and other rights and privileges of the members and the liability of members for dues or assessments shall be.as follows: A - The term "said property" as used in this Article II shall mean, all that certain real property situated in the City of Newport Beaoh, County of Orange, State of California, and known as the Beacon Bay' Subdivision, being Lots 1 to 61 inclusive, as shown on a record of survey map reoorded in Book 9, at pages 42 and 43, Records of Survey, on file in the offioe of the County Reoorder of Orange County, California, together with Lots "A" to "J" inclusive ae shown on said Map, which property is more particularly described as follows, to wit: 1. A parcel ofland situated in the Northwest quarter (N i) of Section 36, Township 6 South, Range 10 west, S. B. B. & M., Orange County, California, more particularly described as follows, to -wit; Beginning at U. B. Bulkhead Station No. 200, as shown upon a map entitled "Harbor Lines, Newport Bay Harbor, California", approved Nay 2nd, 1936, by the Secretary of liar and on file in the office of the United States District Engineer at Los Angeles, California; running thence West along the U. 8. Bulkhead line, 147.50 feet to U. S. Station No. 137; thence North 390 48' Nestalong said Bulk- head line, 536.53 feet; thence North 230 57' 30" East, 126.34 feet to an angle point in the ordinary high tide line of the Pacific Ocean in Newport Bay, as described in Court Case No. 24026 ofthe Superior Court of theftate of California, in and for the County of orange; thence South 390 48' East along said ordinary high tide line, 334.47 feet to the most westerly corner of that certain paroel ofland conveyed to the City of Newport Beach by the Irvine_ Company, as described in deed recorded September 26th, 1929, in Book 306, page 375 of Official Re- oords of Orange County, California; thence North 230 57' 30" East along the Northwesterly line of said parcel of land, 317.57 feet; thence South 710 54' East along the Northerly line of said parcel of land 290.24 feet; thenoe South 850 43' East along the Northerly line of said parcel of land, said Northerly line being the southerly line of Bayside Drive, 505.73 feet; thence south 432.20 feet to a point in the U. S. Govt. Bulkhead line between U. S. Stations Nos. 101 and 200; thenoe West along saidBulkhead line, 684.25 feet to the point of beginning, containing approximately eleven (11) acres. The term "Lot" as used in these by-laws means a lot in said Beacon Bay Subdivision as shown on said map thereof. The term "Parcel" as used in these by-laws means a part of one or more of said lots. The term "Person" as used in this Article II shall include a natural'person, firm, association or oorporation. The term "Lessee" shall include the lessee named in an unoanoelled lease or leasing agreement, for the leasing of any of said lots or parcels, or as the case may be, the assignee of the lessee under such lease or leasing agreement. B - Themembere of the corporation shall be the several persons who shall be eligible, as hereinafter in this Article II provided, for membership and who shall accept a membership oertifioate or certificates issued by the corporation 2. as hereinafter in this Article II provided. Any such member may be the holder of one or more memberships; provided, however, that the total number of memberships shall not exceed sixty-one (61). C - Eligibility for membership in the oorporation shall be as followsa (1) Except as hereinafter otherwise provided eaoh Lessee of any lot or paroel in said property shall, by virtue of being such Lessee, be eligible for a membership in the corpora- tion with respect to such lot or paroel, and, upon the issuanoe to and aooeptanoe by such Lessee of a oertifioate evidencing . such membership, such Lessee shall become vested with such member- ship and with all voting power, privileges anoroperty rights and interests in respect thereto; provided, however, that - (a) No such Lessee shall be admitted to membership in the corporation except with the consent and approval of the board of directors or the oonsent and approval of such persons or committee as may b e designated from time to time for such purpose by said board. (b) The corporation shall not be required to issue a certificate representing the membership withaaspeet to any lot or parcel except upon the condition that the certificate or oertifioates, if any, theretofore issued representing membership represented by such lot or parcel, shall first be surrendered to the corporation for proper ttansfer, and the corporation shall for all purposes be bound to recognise as a member thereof only such person to whom a membership certificate shall have been issued and whose name at the time appears upon its membership register as a member and all rights,.powers and interests of eaoh member shall be limited to the lot or parcel described in the certificate or certificates of membership issued and outstanding in the name of such member and recorded upon the membership register of the m rporati on. s. (2) As to any lot or parcel leased in joint tenancy or tenanby in common, the membership with respect to such lot or parcel, while so leased shall be joint,'and the rights and interests of such membership, including voting power arising therefrom, shall be possessed, exercised and enjoyed only by the joint action of all such tenants, or as the case may be, of all the Lessees of said property. (3) No member shall transfer his membership, or any rights of membership, except to a person who shall have become the Lessee of the lot or parcel to which such membership or right of membership shall relate, and the approval of the board of directors, or such person designated from time to time for that purpose by resolution of the board of directors, shall be a oondition precedent to each transfer of any membership or of any rights and interests in respect of any membership. (4) Anything hereinto the contrary notwithstanding, no person, to whom there shall have been issued a certificate representing the memmberehip with respect to any lot or parcel shall be the holder or owner of, or be entitled to, the membership represented by such certificate, or any powers, rights or interests in respect of such membership, unless suoh person shall at the time be the Lessee in the aboiLdesoribed property. D Eaoh membership in said oorporation shall be possessed, exeroised and enjoyed by the Lessee thereof, subjeot to the duties and obligations imposed on or in respect of euoh membership by the articles of incorporation or the by-laws of the corporation or any action taken by the board of direotors pursuant to such articles or by-laws; no person other than a member shall use or enjoy any beach, recreational area or other facility, or other property, owned or controlled by the corporation, except eubjeet to suoh rules and regulations as may be adopted from time to time by the board of directors or such person or committee as may be designated from time to time for euoh purpose by said board. 4. E - In all matters that toms before the members of the. oorporation and in all corporate matters the voting power of the members shall be unequal, according to the following rules, to -wit: (a) Each membership in the corporation shall amfer upon the member or members holding or owning such membership the right to oast one vote for each lot and its appurtenances, to which such membership shall relate. (b) If the lease under which Lessee shall hold the title to laid property is vested in two or more persons, the several owners of such leasehold interest shall ooilectively be entitled to oast the number of votes represented by the membership which shall relate to such lot or parcel, but said vote or votes shall be cast only by the joint action of all of. euoh Lessees of said lot or parcel. F'.,. The members of the corporation shall be liable for the payment of such dues or assessments as may. from time to time be fixed 'and levied by the Board of Direotors pursuant to the provisions of paragraph'Seventh of Section 1 of Article 1V of these by-laws, and subject to the provisions of said Section the amount of euoh dues or assessments levied upon an individual member or the joint members holding or owning together a membership, shall in no event,. except for the hereinafter mentioned emergenoiee, exceed, as to any one membership, in any one year, one and one-half (1}) Dents per square foot of area of land included in the pr perty to which euoh membership shall relate. Assessments and dues against ali members shall be fixed and levied by the Board of Directors at a uniform rate without distinction or preference of any kind, Such dues or assessments for any year or years may, if the board of direotors of the corporation shall so determine as provided in paragraph Seventh of Section 1 of Article IV of these by-laws, be made liens upon the respective parcels of property represented by the memberships in respect of which such b. dues or assessments shall have been levied. Any labor rendered or materials and supplies used or consumed, or equipment, appliances or power furnished for the maintenance, improvement abd development of the property of this Association or for the general welfare of the members of the Association, or in perform- ing or causing to beperformed any of the duties and powers of this association shall be deemed to have been rendered, furnished and supplied by the Association for the benefit and advantage of each lot and paroel in said Beaoon Bay Subdivision (excepting lots and paroele owned by the Association) and at the special instance and request of the Lessee or Lessees of such lots and paroele, and the Association shall have a lien upon eaoh of such lots and parcels against which the charges or assessments established by the board of directors under these by-laws shall have beoome delinquent as fully as though said labor had been bestowed on and materials, supplies. equipment or power furnished direotly to said lot or lots or parcels, provided that such claim or right of lien must be filed in the office ofthe County Recorder of Orange County within thirty days after suoh charge or assessment shall become delinquent, and that any action to enforce such lien must be commenced in a proper court within ninety days after the olaim or lien has been recorded. G - Each membership in the corporation shall inolude such interest in all the property owned by the corporation as is represented by the ratio that the lot or lots leased by such member bears to the total number of lots leased by all memberships in the corporation, provided, however, that during the term of the existence of the corporation no member of the corporation shall have the right of distribution of any real or personal property held by or in the possession or control of the oorporation, except that in the event .that any property owned by the Corpora- tion shall be condemned by any proceedings in eminent domain, the 6. award, or any portion thereof. received by the corporation, in any such proceedings may, within the dieoretion of the board of directors and when and as determined by the board, be distributed among the members of the corporation in accordance with the above ratio; provided. however. that members of the corporation ifit the time of its dissolution shall, upon suet diesolution, be entitled to distribution, out of the assets of the corporation subjeot to distribution among its members, of their respective pro rata sharea of said assets on the basis of the above mentioned ratio. ARTICLE III Meetings of Members Section 1. PLACE OP MEETINGS. All annual meetings of members shall be held at the principal office of the. corporation, or at such other plane as may be fixed from time to time by resolution of the\board of directors, and all other meetings of members shall be held either at Us principal office or at any other plaoe within or without the State of California, which may be designated either by the board of directors pUreuant to authority hereinafter granted to said board. or by the written consent of all member® entitled to vote thereat, given either before or after the meeting and filed with the secretary of the corporation. Section 2. ANNUAL ME ?ING8. The annual meetings of members shall be held on the first Monday of November of each year, at two o'clock P. M. of said day; provided, that should said day fall upon a legal holiday, then any suoh annual meeting of members shall be held at the same time and plaoe on the next day there- after ensuing which is not a legal holiday. Written notice of each annual meeting shall be given to each member entitled to vote, either personally or by sending a copy of the notice through the mall or by telegraph, charges prepaid, to his address appearing on the books of the corporation 7. or supplied by him to the corporation for the purpose of notioe. If a member supplies no address, notice shall be deemed to have been given him if mailed to the place where the principal office of the corporation is situated, or published at least onoe in some newspaper of general circulation in the county of said principal office. All such notices shall be sent to each member entitled thereto not less than ten (10) days before each annual meeting and shall epeoify the place, the day and the hour of such meeting. Section 3. SPECIAL MEETINGS. Speoial meetings of members, for any purpose or purposes whatsoever, may be called at any time by the president or by•the board of directors, or by any two or more members thereof, or by one or more members holding not lees than one -tenth (1/l0th) of the voting power of the corporation. Except in special cases where other express provision is made by statute, notioe of such special meetings shall be given in the same manner as for annual meetings of members. Notices of any special meeting shall specify in addition to the plane, the day and hour of such meeting, the general nature of the business to be trans- acted. Scotism 4. ADJOURNED MEETINGS AND NOTICE THEREOF. Any member's meeting, annual or special, whether or not a quorum. is present, may be adjourned from Ste to time by the vote of members present or represented at ouch meeting and entitled to oast a majority of votes represented at such meeting, but in the absence of a quorum no other business may be transacted at any such meeting. When any members' meeting, either annual or special is adjourned for thirty (30) days or more, notioe of the adjourned meeting shall be given as in the oaee of an original meeting. Save as aforesaid, it shall not beh eoessary to give any notice of an ,adjourned meeting, other than by announcement at the meeting at which such adjournmfAt is taken. 8. Section 8. ENTRN OF NOTICE. whenever any member entitled to Vote hasbeen absent from any meeting of members, whether annual or special. an entry in the minutes to the effect that notice has been dmly given shall be oonolusive and incontrovertible evidence that due notice of such meeting was given to such member, as required by law and the by-laws of the corporation. Section 6. QUORUM. The presence in person or by proxy of members entitled to oast a majority of votes represented by all members of the corporation shall constitute a quorum for the traneaotion of all business excepting repealing or amending any by-laws. The members present at a duly palled or held meeting at which a quorum is present may continue to do business until adjournment, notwithstanding the withdrawal of enough members to leave less than a quorum. Seotion 7. CONSENT OF ABSENTEES. The transactions of any meeting of members, either annual or special, however palled and noticed, shall be as valid as though had at a meeting duly held after regular call and notice, if a quorum be present either in person or by proxy, and if, either before or after the meeting, each of the members entitled to vote, not present in person or by proxy, sign a written waiver of notice, or a consent to the holding of such meeting, or an approval of the minutes thereof. All suck waivers, consents or approvals shall be filed with the .corporate reoorde or made a part of the minutes of the meeting. Section 8. ACTION elTHOUT.MEETING. Any action which under the provisions of title one of part four of division firet of the California Civil Code may be taken at a meeting of the members, maybe taken without a meeting if authorised by a.writing signed by all of the members who would be entitled to vote at a meeting for much purpose, and filed with the secretary of the corporation. 9. Section 9. PROXIES. Every person entitled to vote or exeoute consents shall have the right•to do so either in person or by an agent or agents authorized by a written proxy executed by such person or his duly authorized agent and filed with the secretary of the corporation; provided that no such proxy shall be valid after the expiration of eleven (11) months from the date of its execution unless the member *flouting it specifies therein the length of time for which such proxy is to continue in force, which in no oase shall exceed seven (7) years from the date of its execution. ARTICLE IY Directors, Section 1. POWERS. Subject to limitations of the articles of incorporation, of the by—laws, and of title one of part four of division first of the California Civil Code as to action to be authorized or approved by the members, and subject to the duties of directors as prescribed by the by—laws, all corporate powers shall be exercised by or under the authority of, and the business and affairs of the corporation shall be controlled by, the board of directors. Without prejudice to such general powers, but subject to the same limitations, it is hereby expressly deolared that the directors shall have the following powers, to —wits Firsts— To select and remove all the other officers, - agents and employees of the corporation, prescribe such powers and duties for them as may not be inconsistent with law, with the articles of incorporation or the by—laws, fix their compensa— tion and require from them security for faithful service. Second:a .To oonduot, manage and control the affairs and business of the corporation,. and to make such rules and regulations therefor not inconsistent with law, with the articles of incorporation or the by-laws, as they may deem best. 10. Thirds To change the principal ofttoe for the tbansaotion of the business of.the corporation from one looation to another within the same county as provided in Article I, Section 1 hereof; to fix and locate from time to time one or more subsidiary offices of the corporation within or without the State of California, as provided in Article I, Section 2 hereof; to designate any place within the State of California for the holding of any members' meeting or meetings, and to adopt, make and ues a corporate seal, and to prescribe the forms of certificates of membership, and to alter the form of euoh seal and of suoh certificates from time to time, as in their judgment they may deem best, provided such seal and such oertifioates shall at all times comply with the provisions of law. Fourths- To authorize the issue of memberships to suoh persons as shall be eligible for membership as in Article II of these by-laws provided. Fifths- To borrow money and incur indebtedness for the purposes of the corporation, and to cause to be executed and delivered therefor, in.the corporate name, promissory notes, bonds debentures, deed8 of trust, mortgages, pledges, hypothecations or other evidenoes of debt and securities therefor, provided, however, no money shall be borrowed and no indebtedness incurred unless first authorised and approved by the vote of holders of memberships .:. entitled to exerciss seventy-five percent (78%) of the voting power. Sixths- To appoint an executive committee, and to delegate to such committee, subject to the control of the board of.direotors, any of the powers and authority of said board sxoept the power to adopt. amend, or repeal the'by-laws.. Such committee shall be composed of members of the board of directors and shall act only in the intervals between meetings of said board and shall be subject at all times to the control thereof. 11. Sevenths- To fix and levy, from time to time, subject to the provisions of Article II of these -by-laws, dues and assessments upon the members of the corporation; to determine and fix the due date for the payment of suoh dues and assessments and the date upon which the came shall become delinquent; to suspend, upon Suchterms and to suoh extent as the directors shall in their absebnle discretion determine, membership privileges and rights of any member if any such dues and assessments so fixed and levied upon such member, oehpon or with respect to the membership of such member, shall not be paid before delinquency; provided, however, that such dues and assessments shall be se fixed and levied only to provide for the payment of eapendiSures made or to be made by the corporation for labor rendered or materials and Supplies used or consumed, or equiprent, appliances or power fumiehed for any or all of the purposes set forth in the Articles of Incorporation under Article Second thereof. Section 2. NUEIER AND QUALIFIOATION.OF DIRECTORS. The board of directors shall consist of the number of directors named in the articles of incorporation until changed by amendment of the articles; provided, however, that if authorised by the articles of incorporation, said nuaher may be changed at any time by an amendment to this Section 2 of Article III of these by-law', fixing or changing much number, adopted by the vote or written assents of members entitled to exercise oeventy-five per cent of the voting power. Only persons who are members shall be qualified to act as direotore and at each election no more than two of the board of directors shall lie qualified to succeed themselves. Section 4. ELECTION AND TERM OF OFFIOEt. The directors shall be elected at each annual meeting of members, but if any such annual meeting is not held, or the direotore are not elected thereat, the directors may be elected at any special meeting of members held for that purpose. All directors shall hold office until their respective Successes are elected. 12. Section 4. VACANCIES. !aoenoies in the board of directors may be filled by a majority of the remaining directors, though less than a quorum, and each director so elected shall hold office until his successor le elected at an annual meeting of members, or at a speoial meeting called for that purpose. A vacancy or vacancies shall be deemed to exist in oase of the death, resignation or removal of any director, or if the sembers shall increase the authorised number Of directors but shall fail at the meeting at which such increase is authorized, or at an adjournment thereof, to elect the additional directors so provided for, or in case the members fail at any time to elect the full number of authorised directors. The members may at any time elect directors to fill any vacancy not filled by the directors, and may elect the additional directors at the meeting at which an amendment of the by-laws is voted authorising an increase in the number of directors. If any director tender his resignation to the board of directors, the board shall have power to elect a suooessor to take office at wuoh time as the resignation shall become effective. NO reduction of the number of direotors shall have the effect of removing any director prior to the expiration of his term of offioe. Section 8. PLACE OF MEETING. All meetings ofthe board of directors shall be held at the principal office ofthe corpora- tion, or at any other place or places within the State of California, designated at any time by resolution ofthe board of directors or by written ooneent of all members of the board. Section 8. ORGANIZATION MEETING. Immediately following each annual meeting of members the board of directors shall hold a regular meeting for the purpose of organisation, election of officers, and the transaction of other business. 13. Notice otfsuch meetings is hereby dispensed with. Section 7. OTHER REGULAR MEETINGS. Other regular meetings of the board of directors may be held without call at such place and day and hour as may be fixed from time to time by resolution of the board of directors; provided, should said day fall upon a legal holiday, then the meeting which otherwise would be held on said day shall be held at the same time on the next - day thereafter ensuing which is not a legal holiday. Notice of all euoh regular meeting of the board of directors is hereby dispensed with. Section 8. SPECIAL MEETINGS. Special meetings of the board of directors for any purpose or purposes shall be oalled at any time by the president or if he is absent or unable Mr refuses to aot, by any vice—president or by any two directors. Written notice ofthe time and plane of speoiai meetings shall be delivered personally to the directors or sent to each director by letter or by telegram, charges prepaid, addressed to him at his address as it is shown upon the records of the corporation, or if it is not so shown on such reoorde or is not readily ascertainable, at the place in which the meetings of the directors are regularly held, In case such notice is mailed or telegraphed, it shall be deposited in the United States mail or delivered to the telegraph company in the place in which the principal office of the corporation is located at least forty—eight (48) hours prior to the time ofthe holding of the meeting. In case such notice le delivered as above provided, it shall be so delivered at least twenty—four (24) hours prior to the time of the holding of the meeting. Such mailing, telegraphing or delivery as above provided shall be due, legal and personal notice to such director. Section 9. NOTICE OF ADJOURNMENT. Notice of.adjourn— ment of any directors' meeting, either regular or special, need 14. not be given to absent direotore, if the time and plane are fixed at the meeting adjourned. Section 10. ENTRY OF NOTICE. Whenever any director has been absent from any special meeting of the board of directors, an entry in the minutes to the effeot that notice hasbeen duly given shall be conclusive and inoontrovertible evidenoe that due notice of such epeoial meeting was given to such director, as required by law and the by—laws of the oorporation. Section 11. WAIVER OF NOTICE. The transactions of any meeting of the board of directors, however called and noticed, or wherever held, shall be as valid as though had at a meeting duly held after regular call and notice, if a quorum be present, and if, either before or after the meeting, each of the directors not present sign a written waiver offiotioe or a oonsent to holding such meeting or,an approval of the minutes thereof. All euoh waivere, consents, or approvals shall be filed with the corporate reoords or made a part of the minutes of the meeting. Section 18. QUORUM. A majority of the number of directors es fixed by the articles or the by—laws shall be necessary to constitute a quorum for the transaction of business, except to adjourn as hereinafter provided. Every aot or decision done or made by a majority of the directors present at a meeting duly held at which a quorum is resent shall be regarded as the act of the board of directors. -8eotion 13. ADJOURNMENT. A quorum of the directors may adjourn any directors' meeting to meet again at a stated day and hour; provided, however, that in the absence of a quorum a majority of the directors present at any directors' meeting, either regular or speoial, may adjourn from time to time until the time fixed for the next regular meeting of the board. 16. Section 14. FEES AND COMPENSATION. No director or officer shall receive any salary for his services as such oftiosr or director but, by resolution of the board of directors, a fee of not exceeding $10.00 may be fixed and paid to each director for his attendance at each meeting of the directors. Nothing herein contained shall be construed to preolude any director or officer from serving the corporation as agent, counsel, or in any capacity other than as such director or officer, and receiving compensation therefor. ARTICLX 1 Officers Section 1. OFFICERS. The officers of the corporation shall be ajresidsnt, a vioe-president, a secretary and a treasurer. The corporation may also have, at the discretion of the board of directors, a chairman of the board, one or more additional vice- presidents, one or more assistant secretaries, one or more assistant treasurers, and. such other officers as way be appointed • in accordance with the provisions of Section 3 of this Article. Officers other than the president, vice-president and the chairman of the board need not be directors. One person may hole two or. more offices, except those of president and secretary. Section 2. ELECTION. The officers opthe corporation, except suoh officers as may be appointed in accordance with the provisions of Section 3 of Section 6 of this Article, shall be chosen annually by the board of directors, and each shall hold hie office until he shall, resign or shall be removed or otherwise dis- qualified to serve, or his successor shall be elected and qualified. Section 3. SUBORDINATE OFFICERS, RTC. The board of directors may appoint such other officers as the business of the corporation may require, eaoh of whom shall hold office for suoh period, have such authority and perform such .duties as are provided in the by-laws or as the board of direotore may from time to time determine. 16. Section 4. REMOVAL AND RESIGNATION. Any officer may be removed, either with or without cause, by a majority of the directors at the time in office, at any regular or special meeting of the board, or, except in case of..an officer chosen by the board of directors, by any officer upon.:whoa such power of removal may be conferred by the board of directors. Any officer may resign at any time by giving written notioe to the board of directors or to the president or to the secretary of the corporation. Any suoh resignation shall take effect at the date of the receipt of such notice or at any later time specified therein; and, unless otherwise specified therein, the aooeptanoe of such resignation shall not be necessary to make it effective. Section 6. VACANCIES. A vacancy in any office because of death, resignation, removal, disqualification or any other cause, shall be filled in the manner prescribed bn the by-laws foriegular appointments to suoh office. Section 6. CHAIRMAN OF THE BOARD. The chairman of the board, if there shall be such an officer, shall, if present, preside at all meetings of the board of directors, and exercise and perform suoh other powers and duties as may be from time to time assigned to him by the board of directors or prescribed by the by-laws. • Seotion 7. PRESIDENT. Subject to such supervisory powers, if any, ae may be given by the board of directors to the chairman of the board, if there be such. an officer, the president shall be the chief executive officer of the corpora- tion and shall, subjeot to the control of the board of directors, have general supervision, direction and oontrol of the business and officers of the corporation. He shall preside at all meetings of the members and in the absenoe of the chairman of the board, or if there be none, at all meetings of the board of direotore. He shall be ex-officio a member of all the standing committees including the executive committee, if any, and shall have the 17. general powers and duties of management usually vested in the office of president of a corporation, and shall have suoh other powers and duties as may be prescribed by the board of directors or the by-laws. Section 8. VICE-PRESIDENT. In the absence or disability of the president, the vies -presidents in order of their rank as fixed by the board of directors, or if not ranked, the vice-president designated by the board of directors, shall perform all the duties of the president, and when so acting shall have all the powers of, and be subject to all the restrictions upon, the president. The vice-presidents shall have such other powers and perform suoh other duties as from time to time may be prescribed for them respectively by the board of directors or the by-laws. Section 9. SECRETARY. The secretary shall keep, or cause to be kept, a book of minutes at the principal office or such other place as the board of directors may order, of all meetings of directors and members, with the time and plaoe of holding, whether regular or special, and if special, how authorised, the notice thereof given, the names of those present at director's meetings, the number of memberships .present or represented at members' meetings and the prooeedings thereof. The secretary shall keep, or cause to be kept, at the principal office or at the office of the corporation's transfer agent a membership register, or a duplicate membership register, showing the names of the members and their addresses, and the property to which soot membership shall relate, the number of memberships held by saoh, the number of votes represented by each membership, the number and date of certificates issued for the sass, and the number and date of oanoeliation of every certificate surrendered for cancellation. 18. The secretary shall give, or cause to be given, notioe *All the meetings of the members and of the board of directors required by the by-laws or by law to be given, and he ahall keep the seal opthe.00rporation in safe custody, and shall have such other powers and perform such other duties as may be prescribed by the board of directors or the by-laws. Section 10. TREASURER. The treasurer shall keep and maintain, or cause to be kept and maintained, adequate and correct a000unts of the properties and business traneaotione of the corporation. The books of a000unt shall at all times be open to inspection by any director. The treasurer shall deposit all moneys and other valuables in the name and to the credit of the corporation with such depositaries as may be designated by the board of direotors. He shall disburse the funds of the corporation as may be ordered by the board of directors, shall render to the president and directors, whenever they request it, an account of all of his transactions as treasurer and of the financial condition of the oorporation,and shall have such other powers and perform suoh other duties as may be preeoribed by the board of directors or the by-laws. ARTICLE VI. «isoelianeous Section 1. RECORD DATE AND CLOSING MEMBERSHIP REGISTER. The board of directors may fix a time, in the future, not exceeding fifteen (16) days preceding the date of any meeting of members, and not exceeding thirty (30) days preoeding the date fixed for the payment of any distribution, as a record date for the determination of the members entitled to notice of and to vote at any such meeting, or entitled to receive any suoh distri- bution, and in suoh case only members of record on the date so fixed shall be entitled to notioe of and to vote at such meeting, 19. or to receive such distribution, as the ease may be, notwith- standing any transfer of any memberships on the books of the corporation after any record date fixed as aforesaid. The board of directors may olose the books of the corporation against transfers of memberships during the whole, or any part, of any such period. Section 2. INSPECTION OF CORPORATE RECORDS. The ftemberehip register or duplicate membership register, the books 1,4 of account, and minutes of proceedings of the members and direct - ore shall be open to inspection upon the written .demand of any member, at any reasonable time, and for a purpose reasonably related to his intereste as a member and shall be produced at any time when required by the demand of members entitled to oast at least ten peroent (1O%) of the votes represented at any members' meeting. Such inspection may be made in person or by an agent or attorney, and shall include the right to make extracts. Demand of inspection other than at a members' meeting shall be made in writing upon the president, secretary or assistant secretary of the corporation. Every such demand, unless granted, shall be referred by such officer to the board.of directors. Section 3. CHECKS, DRAFTS, etc. A11 checks, drafts or other orders for payment of money, notes or other evidences of indebtedness, Issued in the name of or payable to the corporation, shall be signed or endorsed by such person or persons and in such manner as, from time to time, shall be determined by resolution of the board of directors. Section 4. ANNUAL REPORT. Any and all requirements for the submission to members of any financial statement or other report referred to in Section 389 of the California Civil Code are hereby expressly dispensed with. Section S. CONTRACT, ETC. SOW EXECUTED. The board of directors, except as in the byslaws otherwise provided, may 2o. authorise any officer or officers, agent or agents, to enter into any contract or execute any instrument in the name of and on behalf of the corporation, and suoh authority may be general or confined to specific instances; and unless so authorised by the board of directors, no officer, agent or employee shall have any power or authority to bind the corporation by any contract or aggagement or to pledge its credit or to render it liable for any purpose or to any amount. Section 8. Certificates of Meabership. A certificate of oertifioates for membership in the corporation shall be issued to each member. All suoh certifioates shall be signed by the president or a vioe-president and the secretary or an assistant secretary. Section 7. REPRESENTATION OF MEMBERSHIPS IU LD BY OTHER CORPORATIONS. Memberships in the corporation standing in the name of another oorporation may be voted or represented, and all rights incident thereto may be exercised on behalf of suoh other corporation, by any officer thereof authorised so to do by resolution of its board of directors, or by its executive committee, or by its by-laws, or by any person authorised so to do by proxy or power of attorney duly executed by the president or vice-president and secretary or assistant secretary of such other oorporation, or by authority of the board of directors thereof. Section 8. INSPECTION OF BX-LAWS. The corporation shall keep in its principal office for the transaction of business, the original or a copy of the by-laws as amended or otherwise altered to date, certified by the secretary, which shall be open to inspection by the members at all reasonable times during oftioe' hours. ARTICLE VII Amendments Section 1. POWER OF MEMBERS. These by-laws may be 21. • adopted, amended, or repealed either at a meeting by the vote of members entitled to exorcise three -fourths (3/4ths) of the voting power, or by the written assent o9euoh members. Section 2. POWER OF DIRECTORS. The authority to adopt, repeal and amend by-laws may by the vote of members entitled to exercise three -fourths (3/4the) of the voting power, or by the written assent of such members, be delegated to the board of directors subject to the power of the members to adopt, amend or repeal such by-laws or to revobe such delegation of authority in like manner, provided, however, that the power of the members to adopt, repeal or amend the by-laws fixing the number of direetorer may not be so delegated to the directors. CiRTIRCATt of SECRETARY I, the undersigned, do hereby certify; 1. That I am the duly elected and acting asoretary of the BEACON HAY COMMUNITY ASSOCIATION, a California corporation; and 2. That the foregoing by-laws, comprising 23 pages, constitute the by-laws of said corporation as duly adopted at a meeting of the members of said corporation duly held on 1940. IN WITNESS WHER:OF, I have hereunto subscribed my name and affixed the seal of said corporation this day of 1940. cam) Seoreter y 22. t•t 10, The undersigned members hereby approve and agree to the above by-laws. 23. foSEPH A. BEEK SECRETARY OF THE SENATE RESIDENCE BALBOA ISLAND P. O. BOX 587 BALBOA. CALIF. Mr. Roland Thompson Spurgeon Building Santa Ana, California My dear Mr. Thompson: I have gone over the proposed sub -lease, changing the word "lease" to "franchise" and "lessor" and "lessee" to "party of the first part" and'%iarty of the second part" re- spectively except in certain instances wherein I referred to the lessee+as "owner of a franchise" and the lease in certain instances I referred to as "a franchise covering". Mr. Mize sent me a carbon copy of a letter he wrote you suggesting an addition to paragraph 18. I added this as he suggested. You will note a change at the end of paragraph 5. I made this change to make it clear that the holders of these franchises should maintain all exterior improvements rather than simply the exterior improvements of buildings placed upon the lots. In paragraph 8 you will note the date of Febru- ary 6, 1939, is inserted in the blank, referring to the third amendment to the original agreement with the City of Newport Beach. In paragraph 9 "leasehold tax" is changed to "an intangible asset tax". I believe you had some other name for this --a name which has succeeded in escaping my vocabulary. In paragraph 14 wherein I promise to install utilities and pave streets, etc. I have inserted the words "has installed or" before the words "will install" and "has been paved or" before the words "will pave". I did this be- cause we are already providing for making some of these im- provements and'it occurred to me that somebody who gets a co— ! GOLDEn GPTE IDTEPnatIOflRL EXDO4lfilofl 2 b.wa y /BD to December Ss' /9J9 • • Mr. Roland Thompson --page 2 Feb. 9, 1939 lot with improvements already made might assume that there *as further paving to be done, if the lease provided that I would make suet:. improvements. Other than these changes noted, I'believe the en- closed is substantially as you drew it. If you think the use of the words "home owners' franchise,' is satisfactory I will then ascertain as to whether or not there are any objections from: The City of Newport Beach, State Real Estate Commissioner, and The Federal Housing Administration. I have consulted one of the Deputy Real Estate Commissioners on the 'phone and he thinks it is an excellent idea. I should like to be surti that it meets with the appro- val of the other agencies I have mentioned before we decide definitely upon it. I expect to be Balboa Saturday a€tcrnaen and Sunday morning. If, for any reason, you wish to communicate with me, you will be able to reach me at 62-W. Very truly yours, JAB and JOSEPH A. BEEK SECRETARY OF THE SENATE BALBOA. CALIF. *nate California legislature February 8, 1939 Mr. Roland Thompson, Spurgeon Building, Santa Ana, California. My dear Mr. Thompson: Under separate cover I am forwarding tc you a copy of the Statutes of 1927. You will find the bill granting tidelands to the city of Newport Beach on page 125 which I have marked with a paper clip. JB:bbs Very truly yours JOSEPH A. BEEK SECRETARY OF THE SENATE February 8, 1939 REEWERce BALBOA ISLAND P. O. SOX 557 BALBOA, CALIF. Mr. Roland Thompson Spurgeon Building Santa Ana, California Dear Mr. Thompson: The adoption of the amendment by the City Council Monday night leaves only the submission of the tentative lease to meet the requirements of the State Real Estate Department. In thinking over various substitutes for the word "lease", I believe your suggestion of "home owners' franchise" is the best. I like the use of the word "owner" because the people who build these buildings will actually own them and I am satisfied that the thing which people in- stinctively object to in the word "lease" is the suggestion of insecurity. I am sending you herewith my check for A50.00 to apply on account and I want to assure you that I greatly appreciate the high class Of service you have rendered me in the preparation of this lease. These leases will have a long time to run and I want to be sure to start them off right. JAB and Encl. Very truly yours, Comero GOLbEn GRTE If1TERnATIOnPL EXPOSITIOf 2e6xaly /Bn /o Dacem6e. <"S' /939 A.W. RUTAN R.C.MIZE IRA KROESE DAVIO D. FRENCH PHONES 2780 AND 2761 Rune, Mzzn St KROESB. ATTORNEYS -AT CAW-.'.. SIETE BOB FIRST NATIONAL BANK BUILDING SANTA ANA,CALIFORN IA • Roland Thompson, Attorney:at Law, Spurgeon Bldg., Santa Ana, California. February 6, 1938. Re: .Joe Beek Sub -Leases. Dear Mr. Thompson: In order that mortgagee may be more readily secured without objection, I suggest the following clause be added to Paragraph 18. (1) A11 mortgages and deeds of trust made by Lessee, however, shall be at all times paramount and superior liens over all charges, fees and.liene of said association. ? RCM:A Yours truly, RUTAM, MIZE & XBOESZ, By tZ January 33, 1939 Mr. Joseph A. Beek Balboa California Attention; Mr. $tanhOY Dear Mr. Stanley: I am sending you herewith original and copy of Beek lease which you will note has been signed.by. Mr. Beek, and I would Suggest that you take the matter up with some of the members of the City Council and present the same for signature et the next regular meeting thereof, to -wit, the first' Monday in February, 1939. In the meantime, we will have a resolution prepared, aooepting the same. Very truly yours, RT:LR JOSEPH A. BEEK SECRETARY OF THE SENATE Sate manta registaturt January 19, 1939 Mr. Roland Thompson 210 Spurgeon Bldg. Santa Ana, California RESIDENCE . BALBOA ISLAND P. O. BOX 557 BALBOA, CALIF. My dear Roland: I am in receipt of yours of the lath and am more grateful than I can tell you for your ingenuity in arriving at a solution of a difficult problem which was confronting us. I have read the Agreement over carefully and asked Mr. Mason who was sitting by my desk when your letter arrived to look it over with me. He agrees with me that your suggestion provides a solu- tion which should be satisfactory to all parties concerned, including the Real Estate Commissioner. As a matter of fact, I will not default on my pay- ments to the City, nor will I sub -lease scattered lots but I will sub -lease in such a way that property so conveyed will be contiguous. If the Council would like me to give them a memorandum to that effect I will be glad to do so. I am returning the two copies which you sent me and have had prepared copies for my files. I noted a typographi- cal error on line 24 of page 3 wherein the word "paragraph" is misspelled. I did not have my signature to this amendment acknowledged but Mr. Stanley is a notary and is thoroughly familiar with my signature. Thanking you for your attention to this matter, Very truly yours JAB and Encl. P.S. My attention has been directed to the spelling of "sub-leasee". Is that the correct way to spell it, or is it "sub -lessee"? C .e to GGLDEf1 GATE InTERnft,CnRL EN POSITIon 2..1u y /Ego la December z.' ial9 January 18$ 1939 Hon. J. A. Beek Capitol Building 8a0ramento, California Dear Joe: Mr. Stanley was in to see me several days. ago relative to your proposed sale of leases on the westerly portion of your city leased property. He stated to me, in effect, that the Real Estate Commissioner would require an assur- ance from you that a sub -lease® would not lose hie property by reason of any default which may odour in your prinoipal lease. I have attempted to take oars of this situa- tion in the amended agreement which I am sending you herewith. If the same meets with your approval, you might execute it and return it to this office. Very truly yours, Rt:B Encl. xav, 4th, 1929.. ¥r. J. A. Beek, Balboa Island, Newport Beach, Calif. Dear Sirs On behalf of the City of Newport leach and pursuant .to the inttruetions of the Oity Donnell duly giben to the undersigned, 1 bog to advise you that the lands described in that certain lease dated the 9th day of Noveeber, 1927, made between the Oily of Newport Beach, a aunieipal corporation Of the sixth olase, as party of the fiset part, to yourself as pasty of the eeeond part, have been duly .sows ed sad the axon and boundaries have been definitely established by the City Engineer of the Oity of NewportBoeoh, and the title to the dentaed. promisee has been duly Veld is the Dar of Newport Beach by the filing of ail necessary.conveyannes. You are further notified that the annual survey of said premises so linseed by you as aforesaid.of and from the City of Nesport Beach, oontaias 17.032 acres, and under the terms of your said lease with said ally, it will be necessary fox you to pay an. additional rentalas provided for. by the oondlttone and.00*enante of said lease. If you desire a legal description of the property in question as shown by the reoea survey herein mentioned, Mr. Patterson city engineer of the Oity of Newport Bosch, will be glad to furnish the same to you. Vary truly yours, City Attorney of Newport Beat fl:Lva DS OF DEPARTMENTS • • kst- CITY COUNCIL ALFRED SMITH. CLERK AND ASSESSOR J. A. GANT, TREASURER --AUDITOR ROLAND THOMPSON. CITY ATTORNEY R. R. MOOGKINSON, CHIEF OF POLICE. TAX COLLECTORS HARBOR MASTER R. L. PATTERSON. CITY ENGINEER WATER AND STREET SUPT. W. A. LEONARD, CITY JUDGE EUGENE FENELON. BUILDING @ PLUMBING INSPECTOR GEORGE FOLTZ. CITY ELECTRICIAN F. W. CROCKER. FIRE CHIEF OR. G. M. GRUNDY. HEALTH OFFICER & POLICE SURGEON EXECUTIVE OFFICE CITY OF NEWPORT BEACH CALIFORNIA NEWPORT HARBOR 25 MILES WATER LINE Roland Thompson, City Att'y. First National Bank Bldg. Santa Ana, California. Dear Sir: NEWPORT BEACH, CALIFORNIA October 30, 1929. MARCUS J. JOHNSON MAYOR DR. HERMAN HILMER LLOYD CLAIRE HARRY H. WILLIAMSON PAUL B. ELLSWORTH The City Council has referred to•you the lease of pertain tide lands to J. A. Beek. Enclosed herewith is the lease. On page 3, line 4 of the lease, the area of the prop- erty leased is assumed to be 12 acres until the property shall. have been surveyed and the area thereof determined. The actual survey shows the actual area of the property leased to be 17.022 acres. I am also enclosing herewith deed from the Irvine Company for 10.915 acres as shown on the enclosed blue -print. This deed was first recorded on March 13, 1929, after which I found that there was a mistake in a measurement shown in the deed. Mr. Mize had the Irvine Company initial the change in the description and the deed was re -recorded on September 25, 1929. TELEPHONE 52 Referring to page 4, line 17 of the lease, which states that the partrof the second part shall commence work upon the development work incumbent upon him within one year from the time the survey hereinbefore referred to shall have been completed . and the area and boundaries definitely determined, and the title to the herein demised premises vested in the party of the first part by filing the necessary conveyances for record. Mr. Beek should benotified of the date -of the re- cording of the deeds and the exact acreage covered by the lease. • itEj,DS OF DEPARTMENTS CITY COUNCIL ALFRED SMITH. CLERK AND ASSESSOR J. A. GANT. TREASURER -AUDITOR ROLAND THOMPSON, CITY ATTORNEY R. R. HODGKINSON. CHIEF OF POLICE, TAX COLLECTOR & HARBOR MASTER R. L. PATTERSON, CITY ENGINEER WATER AND STREET SUPT. W. A. LEONARD, CITY JUDGE EUGENE FENELON, BUILDING L PLUMBING INSPECTOR GEORGE FOLTZ, CITY ELECTRICIAN F. W. CROCKER. FIRE CHIEF DR. G. M. GRUNDY. HEALTH OFFICER B POLICE SURGEON 2-Roland Thompson EXECUTIVE OFFICE CITY OF NEWPORT BEACH CALIFORNIA NEWPORT HARBOR 25 MILES WATER LINE NEWPORT BEACH. CALIFORNIA October 30, 1929 . MARCUS J. JOHNSON MAYOR DR. HERMAN HILMER LLOYD CLAIRE HARRY H. WILLIAMSON PAUL B. ELLSWORTH The deed from the Irvine Company covers only that portion lying northerly of the mean high tide line. The City acquired title to that area shown as 6.107 acres by Superior Court Decree Case #24026. The description of this area is as follows: All of that certain parcel of land in Section 35, Township 6 South, Range 10 West, S:B.B.& M., in the City of'Newport Beach, County of Orange, State of California, lying between the U. S. Government Bulkhead line between Stations #100 and #101, as said bulkhead line and stations are shown on a map of Newport Bay showing Harbor lines, approved by the War Department January 18, 1917, and the line of ordinary high tide of the Pacific Ocean in Newport Bay, which constitutes a southerly boundary line of the lands described as belonging to the Irvine Company in the decree in that certain action#24026 of the Superior Court of the State of California, in and for the County of Orange, which said decree is recorded in Book of judgments at page , records of Orange County, California, and more particularly described as follows, to -wit:-. Beginning at a point in the said bulkhead line between Stations #100 and #101, which point is the following courses and distances from the common corner of Sections 26, 271, 34 & 35 of the aforesaid township 6 south, range 10 west, south.450 41' 20" east, 1063.73 feet; south 23o 57' 30" west,138.90 feet, south 390 48' east, 685.81 feet; east 384.25 feet to said point of beginning; thence north 320 52' west, 276.57 feet; thence north 570 east, 100.0 feet; thence south TELEPHONE 52 HEADS OF DEPARTMENTS • CITY COUNCIL ALFRED SMITH. CLERK AND ASSESSOR J. A. GANT. TREASURER -AUDITOR ROLAND THOMPSON. CITY ATTORNEY R. R. HODGKINSON. CHIEF OF POLICE. TAX COLLECTOR & HARBOR MASTER R. L. PATTERSON. CITY ENGINEER WATER AND STREET SUPT. W. A. LEONARD, CITY JUDGE EUGENE FENELON, BUILDING & PLUMBING INSPECTOR GEORGE FOLTZ. CITY ELECTRICIAN F. W. CROCKER. FIRE CHIEF DR. G. M. GRUNDY. HEALTH OFFICER a POLICE SURGEON MARCUS J. JOHNSON EXECUTIVE OFFICE MAYOR CITY " OF NEWPORT BEACH CALIFORNIA NEWPORT HARBOR 25 MILES WATER LINE NEWPORT BEACH. CALIFORNIA 3-Roland Thompson. October 30, 1929. DR. HERMAN MILMER LLOYD CLAIRE HARRY H. WILLIAMSON PAUL B. ELLSWORTH 840 east, 160.0 feet; thence south 82° 30' east, 301.06 feet; thence south 74° 30' east, 294.3 feet; thence south 79° 30' east 425.00 feet; thence south 350 30' east 132.77 feet, to a point in the said bulkhead line between Stations #100 and #101; thence west along said bulkhead line between Stations #100 and #101 a distance of 1170.00 feet to the point of beginning, containing 6.107 acres of land. I think that hr. Beek should be furnished with a description of the property that the City now owns within the area described in the lease. Perhaps at some future date the City might acquire additional property in that vicinity and under the terms of the lease I think Probably Mr. Beek would claim that his lease covered it. The description in the lease covers practically all the territory north of Balboa Island. Please check up the book and page numbers of the record of the above described decree. Very truly yours, R. 1. Patterson City Engineer. TELEPHONE 52 RIJP : MB Encl. 1d APPLICATION. Balboa, California. October 10, 1927. Hon. Conrad Richter, Mayor, and Members of the City Council of The City of Newport Beach, Calif. Gentlemen: - I hereby respectfully apply to lease, for pur- poses of commerce and navigation, the tidelands described as follows: A11 tide lands belonging to the City of Newport Beach lying within the following described boundary lines: .Beginning at the common corner of Sections 26, 27, 34 and 35, of Township 6 South, Range 10 West, San Bernardino Base and Meridian; thence easterly along the northerly line of the aforesaid Section 35 to a point, which point is eleven hundred (1100) feet westerly of the northeast corner of the aforesaid Section 35; thence South along a line, which line is eleven hundred (1100) feet westerly of and parallel with the easterly line of the aforesaid Section 35, a distance of sixteen Thsndred fifty (1650) feet to a point; thence westerly along a line, which line is sixteen hundred fifty (1650) feet southerly of and parallel with the northerly line of the aforesaid Section 35, a distance of thirty-two hundred (3200) feet to a point; thence southwesterly in a direet line to.a point in the westerly line of the aforesaid Section 35, which point is twenty-three hundred (2300) feet southerly of the northwest, corner of the aforesaid Section 35; thence northwesterly in a direct line to a point in the northerly line of the aforesaid Section.34, which point is eight hundred (800) feet westerly of the Northwest corner of said Section 34; thence east eight hundred (800) feet to the place of beginning. e -2- In consideration of such lease I will pay the City a yearly rental as follows: 1st five years 5.00 per acre per year, 2nd five years $10.00 per acre per year, 3rd five years $15.00 per acre per year, 4th five years $20.00 per acre per year, 5th.and last five years $25.00 per acre per year. In addition to the above I will pay the City annually 2% of such gross receipts as may accrue to me from conducting an automobile camp on all or any part of the property described above, after such camp shall have been in operation five years. 4 0 JAB VDC h A. Beek. Respectfully submitted, J. A. BEEK LEASES ON PROPERTY KNOWN.. AS BEACON BAY I. LEASE OF NOVEMBER 9, 1927. Description red line on map. Land to be surveyed, tentatively figuring 12 acres. A. Term. For 25 years, ending November 8, 1952. B. Rent. 1. Acreage Rental Payable on November 9th of each calendar year. November 9, 1927 to 8, 1932 $10.00 per acre per year. November 9, 1932 to 8, 1937 $20.00 per acre per year. November acre per November acre per November acre per 9, 1937 to year. 9, 1942 to year. 9, 1947 to year. November November November 8, 1942 $30.00 per November 8; 1947 $40.00 per November 8, 1952 $50.00 per Percentage Rental on Gross Returns Payable on January 15th of each year, commencing January 15,..1928. (a) For first 10 years of lease, 2% of all sums received from use of property. (b) For last 15 years, 5% of all sums received from use of property. C. Right of Re -Entry by Lessor if Breach of Any of the Covenants by Lessee. D. Lessee to Make Certain Improvements: 1. Dredge channel connecting the leased premises with navigable waters of Newport Harbor. 2. Fill and level the property. 3. Construct boat landings and docks upon premises. 4. Install streets, water pipes and necessary public utilities. 5. Lessee permitted to build, re -build, remove or alter any of improvements made upon premises during the term:of this agreement, but all streets, .side- walks, water pipes, gas pipes, electric lines and docks shall be surrendered to City upon expiration of lease or any sooner determination thereof in good condition, ordinary wear and tear excepted. E. Right of Assignment and Sub -Lease. Lessee cannot assign this lease in toto without consent of City, but has the right to sub -lease portions of..said property at any time. F. Purpose. City leased the property for purposes of commerce and navigation. II. AGREEMENT OF MARCH 3, 1930. Amends lease of November 9, 1927. Changes paragraph on page 1, by deleting lines 8 to 15, and inserting following paragraph: "That for and in consideration of the payment of rent.. . . . City leases . . . . - for the purposes of commerce and navigation., and for all other lawful purposes . . . . I.E. Purpose of lease is now not only for commerce and navigation, but also for all other lawful purposes. Authorized by resolution No. 579. III. JULY 18TH, 1938, LEASE AND AMENDMENT OF FORMER LEASE (I.E. 1927 LEASE)_ A. Recites: 1. That "27" Lease covered real property of approximately 19 acres. 2. That leased premises have been filled and leveled, and easterly portion of about 8 acres improved by lessee by construction of boat landings, docks and a yacht basin. 3 That westerly portion of premises consists in part of tide lands granted to City by State and remainder is uplands abutting upon said tide lands. °3 4. That in Judgment of City Council use of westerly.portion of said tide lands and uplands for industrial uses will be inimical to best interest of City. . Amends,.."27" Lease as follows: 1. Term. Property of "27" lease leased for 24 years, 3 months and.20 days from date of July 18, 1938, ending November 8, 1962. 2. Westerly Portion, approximately 11 acres, green line on map. (a) Purpose. Said westerly portion leased to Lessee for park, recreational, resi- dential or educational purposes not in- consistent with any trust imposed upon tide lands . . . . 2. (b) Rent for Westerly Portion. (1) Acreage Rental, payable on or before November 9th of each calendar year. a. $30.00 per acre per year to November 8, 1942. b. From November 9, 1942 to November 8, 1947, $40.00 per acre per year. c. From November 9, 1947 to end $50.00 per acre per year. (2) Percentage Rental on Gross Returns, payable on January 15th of each calendar year commencing January 15, 1939. a. 2% until November 8, 1947 on sums lessee received from "Said Westerly portion". b. 5% until end of Lease on sums lessee receives from use of "Said Westerly Portion". 3. Easterly Portion. (a) Rent. (1) Acreage Rental, payable on or before November 9th of each year. a. Up to November 8, 1952 rent on acreage same as provided in "27" Lease. (2) b. For remainder of term, $50.00 per acre per year. Percentage Rental, payable on January 15th of each year, commencing January 15, 1953. a. Up to November 8, 1952, percentage rent same as provided in "27" Lease. b. For remainder of term, from November 8, 1952 to November 8, 1962 - 7.5% of gross sums received from use of Easterly Portion. Authorized by resolution No. 1371. IV. FEBRUARY 6, 1939, AGREEMENT AND AMENDMENT OF LEASE. A. Covers the Westerly Portion as described in Lease Agreement of July 18, 1938. B. Amends the lease agreement of July 18, 1938, as follows: 3. 1. To provide that if Beek should default in making payments under said Lease Agreement of July 18, 1938, not affect any sub- lessee, if sub -lessee pays to City his yearly rental, provided sub -lessee's term does not exceed term provided in lease agreement of July 18, 193d. 2. Also allows sub -lessee, at his option, to pay his pro rata of the acreage and per- centage rentals as provided in Lease Agree- ment of July 18, 1938, directly. to City and balance to Beek. Authorized by Resolution No. 1505. V. OCTOBER 30, 1939, AGREEMENT AMENDING LEASE. A. Purpose. To increase city revenue by erecting more houses. B. Term. The term of Lease Agreement of July 18, 1938, extended to November 9, 1971, under following conditions: 1. Extension applies only to lots or land covered by said Lease set aside by Lessee for residential purposes, upon which dwellings shall have been constructed or erected, or con- struction commenced prior to November 9, 1941 with ingress and egress thereto, which dwellings shall have been approved for loans to be insured by F.H.A. and financed in whole or in part pur- suantto such approval. 2. From and after November 8, 1962: (a) All rental and payments by sub -lessees, which qualify under terms hereof, shall be paid —directly to City. (b) Beek waives all claims to said rentals due from said sub -lessees. (c) Beek released from and after November 8, 1962 from obligation to acreage and per- centage rentals. 3. Annual rentals paid by sub -lessees to City from and after November 8, 1962 during term of exten- sion, shall not be less than annual rental for years prior to November 8, 1962, under each respec- tive sub -lease to which this extension applies. 4. Extension shall not apply to lots or parcels of land set aside by Beekfbr residential purposes if dwelling not erected or commenced prior to November 9, 1941 under approval of F.H.A. 4. (v. 4 cont.) Extension only applies to properties, as of the date hereof, or shall hereafter qualify for F.H.A. loans prior to November 9, 1941. Resolution No. •VI. MAY 1, 1941, LEASE AND AMENDMENT OF FORMER LEASE .(100 Foot Strip) A. Purpose. To improve land between Yacht Basin and land described in amendment of July 181 1938. Lease contains similar recitals as found in Lease of July 18, 1938 as to purpose and use. B. Amends lease of November 9, 1927 as follows: 1. Term. For 21 years, 6 months and 7 days ending November 8, 1962 upon same terms, conditions as "27" Lease. 2. A 100 foot strip is leased to Beek for park, recreational, residential or educa- tional purposes not inconsistent with any trust imposed upon tide lands. (See diagonal lines on map.) 3. Rent. For 100 foot strip. (a) Acreage Rental, payable on or before November..9th of each year. (1) Up to November 8, 1942 $30.00 per acre per year. (2) From November 9, 1942 to November 8, 1947, $40.00 per acre per year. (3) November 9, 1947 to end of term, $50.00 per acre per year. (b) Percentage Rental of Gross Returns, payable January 15 of each year commencing January 15, 1942. (1) (2) Until November 8, 1947 2% of sums received. Remainder of term, 5% of sums received. Authorized by resolution on May 5, 1941. 5. /40 VII. DECEMBER 3, 1943 LEASE AND AMENDMENT OF FORMER LEASE. Amends Lease (1927 and amendments thereto) as follows: A. Term. 16 years, 11 months and 5 days, ending November 8, 1962. B. "Said Westerly Portion". Incorporates 100 foot strip into westerly portion of Beek's leased property. 1. Purpose. For park, recreational, residential..or educational purposes not inconsistent with any trust imposed upon tide lands. 2. Rent. for said Westerly Portion. (a) Acreage Rental Payable on November 9th of each year To and including November 8, 1947 $40.00 per acre per year. From November 9, 1947 to end of lease $50.00 per acre per year. (b) Percents a Rental of Gross Returns Payable January 15th of each year, commencing January 15, 1946. (1) Until November 8, 1947 2% of all sums received. (2) Remainder of term 5% of all sums received. C. Easterly Portion. (Means all property Under November 9, 1927 Lease except iproperty referred to as "Said Westerly Portion' and except that portion, westerly of "Said Westerly Portion.") 1. Rent for said Easterly Portion. (a) Acreage Rental Payable on or before November 9th of each"year... (1) Up to November 8, 1952, same as provided for in Lease of November 9, 1927. (2) For remainder of term $50.00 per acre per year. (b) Percentage Rental of Gross Returns Payable January 15th of each year commencing January 15th; 1953: (1) Up to November 8, 1952, same as provided for in lease of November 9, 1927. 6. • (2) For remainder of term, from November 8, 1952 to November 8, 1962, 7.5% of all sums received from use of "Easterly Portion". Authorized by Resolution dated December 3, 1945, SUMMARY A. Term. Expiration date of Beekts interest in said leases is November 8, 1962. There is an exception to residence constructed or construction commenced prior to November 9, 1941 and provided that said residence qualified for an F.H.A. loan prior to November 9, 1941, to such residence the expiration date is November 9, 1971. It should be noted that such residences which comply with the aforesaid con- ditions must make payments directly to the City of Newport Beach after November 8, 1962. B. Rental. 1. Westerly Portion (a) Acreage Rental Payable on or before November 9 of each calendar year. $50.00 per acre per year. (b) Percentage Rental Payable on. January 15th. 5% of all sums received. 2, Easterly Portion (a) Acreage Rental Payableon or before November 9 of each calendar year. $50.00 per acre per year. (b) Percentage Rental Payable on January 15th of each year. 7.5% of all sums received. toy (g4-6 7. cr t tied .:14, 'ears b . iad4ito: >e ' s4 ,teent&tlbal,y P9 ;12 A. Tend. *Jr 25 3'carn, endir4 DJOV 8.' : Ren$;. 1. Asr a Rental.; $?ems a e• o : 4cwembir 9th of acti (a).' trovnbor 9,'1)27.tQ OSiettlar etor ps year. Oki v a 9,;1932 to .!teeSteeet 8, 19. ae e.'per jeer. • -(a) Uoy giber , 1237 to • Nva r 8 aei' : per ,ear. .. Otl November Zia to November eft 4947 440,00 acre..;per' :.;rear. (e) Stove b+sx 9, 197 to Ioveeb:8 &Ca :.per': Vest.- ?farcesrtaiga nte1 orn,. 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I.:: 11.:.: argira'•ottati90::'91,4tIrrui.°::.0#:°4ititSt'4°;444.reGteS it' "":1.71!Iltlea; tPlar"StPrri.ande .6r: 7,071 oe. ......:„. .row: rkot 0111,* :Or 44)%tntes : 4;4 .°41114**Skil ii::111Siit-411111°- .,, ......, .. •••• -..-, .: for all..• other 14,174. 14.Pati090021wi*::::.,,,,- :• ',. •-.,:-': , • ::.:.,, ..I.t.. -:::- - I' - : , .., •• ‘. • - : Arithoisroa w'tii0;103.443.96:t4tir 57517:. :::.•,• : :..t.,..-1- .=::": 'it i ' • :. '.: ..... , „ • . •,,,.;:,7,, ,,,:.,:•...-.....111,.. '1: 311"7;;:11441:312:Thit7;144:44..„19141):1444ati:iyHiliE,':.):,:cp:;441::441;04.44.1"11:bieete•i:'..::14:':r.0.1:...t;41,171::43.i::04:01tilition:.41::/1.:',.'_::,..i.:.::::"......-:' , .:.••••••• . ,- -- J . ...., : , - , . „. . , , • • , • • , : „ . „. . r. ,_ -. ••• ,. -±'.-,-4Ti*t0400',7' Hama iiitiOtatise-406;Zi.:401ta"V044,411.-:-;: . .! - - : .,,.•-• r... •••: -.- :1 - - . . I t'll!cea211-77led, :::e.sas :-'i°Y : -;:il e-. g 77 ' • . ' itiS aef cre' I''. ' sr' ,ranted to 'Stitt"! 'in''-aits:• ..,..y..0.14,atar bi. El lands '.'.-::::t..;::::.••••':',' .2.1:::::,'' .. '. It: 3.'• 17mottt'tiki.H;tei-ririele4. ti4°,1: 07::-17ansistsas:ik.to:c1:r:.;.....-..,,... iartds ...,.......,:. ... :_„.y,... :, . , said at& . , ty ion - ' ' z.,:• ittlriat liLor rPlet,„4,As city, ,, . . , ' ' ' '' '''''•••: ' .:cd • --* 1J; wlaC°141 xi, -Wee. _ to bnt t - : ''''' -- • ,--•,•-• - . . , . ' . flnt b. ".' • ta and Si lista an as. • .• . • . • • ••:. , • •:. ,....•••ttollotas . •• • ,.• • ••••. • •• - t.,.. . . . . tto ngn• • „ • .-..itOotoier OW; iet .‘444 t ' t aub- t�� poirs-to GILL 3/4i10-4.4r Itrits 1-m4b-labb*_,11. , * eleittlea0, agre40001! • t•luitibt at his �ptlon, to :•pt.y bis• bort., eit.'• J1..471034( •704$0tat to Pityttitt• - . StagItitleil'ilic,„ 15054.- . A •,) - a %I '1;939' katiada r " t".c. • / • • • • • •• • • ••.• • •: •}•-•.:••: : • • "; • , • '•, • , ... ....... . . ,....... - ,. • .• „ ..„.„ • • - • .;A Pwpoas t vnan ett nnqza bv enotias.-Le•:•• •,•••••••--;•.• • ; .••••:• tita atiat-404•....!0•110400.194 :I.:: 97A 4 .•..4t44ttECF.:4-41atil41C':::1;.:1;1,1'7, • ": .••• • "1'7;1 rar iVietia*iitt*k tit tionaber , :.)i•tnattionon.,.;004trogibed•, • • 1941 fik. 7-7041iiiIlAb*tgiA0**5 by sit Ad 111,4-11Aitincifed;••:-,H• tb.-sbsiT•APP.tlk•-•...•-• • ••• • • • • • . . - • • • ' • ... • •..": • e. • • eee ,.•, ' , • ,.... . • ISO 4 411.:,1*.**51:: 1114441—Va14titr•; inieSetb:staafl • •••••$•:.'Otitt'OrNit4.17;v9/.:4ttr*'•:•:?•-:•:',n-- •:•••••411i; ..: • . „ . .:;•.•••••:•- ' . • • • • • , , • • i'• • .•:..2:?0611:•• PrOliii$01100.1;05.14411:'4.4 :glee* • • • '1•:„ ,": 040 SEE' • A Aiiii14:•041ititi:01". 1•.•E.:. • ., • 7•104:'Prbat:ta:•1147***045:.ia.;:-.1964.i.:1:4440.:J011017c:04411104;k....:::' • tive • 6.04b4400+!•::to St01.1•::,;;44" itt"1111.00.:'1429P40‘.1. • ;.••. :„ • • -...1044 eet"(41,40••;.tir;..soicrci.sturadoinat:.ourtiosiv 12 4114114.14:itiat • :1; ••:. • %••• • 7,„; ••-•J••••••• •flarntIgisen:lattht i ; ulj :"•••••••..,. • • :•• • Itc,•••••: • ;.f:r.' • • • ''.'••••••••rr • • • toriptiilsi:ra.fg...it.1•••:'":4•4:,1:,,,i,::•-: • 4MMMI emAteb SO!.ntsv oaDditicris 141z00441 or men- - esti stop is nakausig nye onsuctrat isseeettatb — t4Ar44illtrtat PflUm:7 n° poo tja : *- liner nSP! - stor als 4141411:at• I a.' ember 9th of ents tiP--t, tor 6 isero y. '1 pot *OPP. ,i,3;4 1a47;-'111,s5X)))er iiiiiniater 9. 194/ to 50.410,,per Mal Per ?42 •rworatiOnor vary 90.1. year. end of turm' year. . , '.014.4)1i,liriete.:::eeseete341Xt:IJIMILI44,11# 1 ::•:? .."•,,.::: :..,,,,, . ,..' •'--.•'•-•,..--, i: ! : .,,:.„,'. I::: J:: , : lc - '!...!:;:::- : ,i't ': : ':!..i• .,., . .., :: '.:.;.: -:,, I ', ' ' -• :_,(4 :ir • ''''.:tY, ::-: • • ".,_ •: .,..., -••:;=;,. , .., '.::•.::::.:1:".: ;•:, ..,:;•• : . " , : '• Slaps ... , --- t " t: • 8 ,-.,.):$7:, ", :,..::...,:,,,Lif,....: -...,:',3,;:,[1.-..,-,.• ('-,:-...-.:.,r',... '2.*:-.:.-...."'....../:.: _ ,:.- -;•- etved (2.) .-..ReriSztiVisterl°r rectot!cru • RJaidWesterly' tartliw"•.'.... Ineoiponatea` 100 'tact strip into rgaterly porttoa of feek'a lessed property. 1. Purp080. Far; park, ra¢reat!Orialy ti eidentiel or edue lio-!t1- purpos a inooflaiatentr with ar.j► truat" i;ipoesd n • :aide landa.,. 2: .t for eait2:¥eaterly Portie , (a) yabi� un 9th at emc 4 T0.. 1441' d.'.cluding Nov nber '8,, .00 ,'per 'ere Per Year. ) ..Pram NoYeeber 9, 1 7 t� end of lease 450.00 !per acregam'., ,. '. Renaaa Hatu ne tinted"; 1S,.oir Mitt Jetra ins ;Ja wary i5, 19464 . • TlntirNov r 8s Y9W sets 'x'ocel . . `minder of; terse 3% of all ; reoattv.d. > Pastsely (Means a►ll property t derr trove ber 94'X . /atke e xo t rem to as, "-Sa 4 We Por o and except that portion wseter.7.y of . '.Skid:': Westerly Portions"): 1. • fait (a):: tp a►tion 0;,:eP !lit rat in end Yeiias�tas 1.1en is a* : s*espti4 ° to 'r si.4041 coraatAiet ci flit' 01.4Tk�t iiek atC `smlasosr: nd prtofi' to :itivena i''9,': 1 i3;.aed prafl4fl'that afld 't tdsud . elitiMd.00a' kser►;P.M.A.:iaaat; o to $o r 9; :' 194t, to such :iswside' ce Ear'; a iD*ttr dote i s lice 9,} ` .971. Zt sho sld b+� :not ':: ti�a►t 4401 1 -I tsid65.00 -*te m eeR1f 1i !with .:t15461,,00$0a1A1t df ttsAs taaait. O p*tent#40,..b�t>a':t. ve .Csi :;q oP '. dater: Doves x' SSeset tal.. .0440 {peryp//41 qq iypy+t alp► fltote *Onsb gt" ::e.t A Q,00' pa11! . �ltat'!t pads' y aha�'.: {b) ' :'pre entpga jai real. Fa yable Hf`'=81�L eum rate.tvea. ree. -:rie;;t*1 taayabie ems' tr b*tan e .c) s 1, dar .ge w. $50.90° pw:` eiwr-a (m) , ,pro*: a tt; 'tz1 Pat als aa: 0444 a]cy '1, th at eacis' yr . <7,5'u, 4 ; s►i2.: 43124/23;` • 27 28 • BAS/A/ ' • . LEQ4-no -- v. 9, / 5 2 7 eQent/ area descripeion, duty /3 /938 portAn of /ease (241(4 12a] Ats y /9 4/ /00 et- 1p K2 DEc. 3, 1.945. /00. re 1'1;0 A7CordPo rated! 141.4, /00r1/0. neettereA /3 /928 • Co, easements to C/ey New/eon? .1141,1 fie SNOW /NO i3EEK Z-EASrS /4/ river b'ewcom BA /9fir,4 0 VC Ce Ay Wde te Enrn'eer ; BEACON BAY Le e/vo Nov. 9; /327 Cleae-a/area descripEta° c/ur. r /8,/938 W%y. F t//Qn /case des M4 y /, /9 4/ /OO' strip Dec. 3, /94S /00' s/ri/b /ncoryeorczie�( n W%y, pa.^/ion .>f.6'-ap"o^ Ar. ie/�3,/ /928 /'v,ne Co,- ea semen es tea City e e Newport' -9.q,Q . J vo w /.,va. et ex .G E-9 s cs J4' 7 v4- .BEACON 13,4 Y : "Me"? LEAg AND AMENDMENT OF FORMFii LOSE WHEREAS, there is on this 11th day of Juns, 1981 in full force and effect a certain lease between J. A. Beek, Lessor, and Mabel 8. Burks, a married woman, Assignee of the original Lesser. dated July 81h. 19444 whereby the Lessor therein leased that certain piece of land described as follows, to -wit: The Westerly 46 feet of Let 8, and the Easterly 10 feet of Lot 1 as shown upon a Record of SurreyNap reworded in Book 9 pages 42.and 43 RECORD OF SURVEYS, on file in the efkioe of the County Recorder, ORANGE doom, CALIFORNIA, together with certain portions of adjoining Lots I and H as shown upon said map and as described more fully is said lease. WHEREAS, It is understood that Lessor does not own said land but has held the same under a lease from the City of Newport Beach, dated November 9th, 1927 and certain amendments thereto which lease has been superseded by a lease from said City, dated January 9th, 1950 to J. A. Beek, Carroll B. Beek,. Barton Beek and Joseph Allan Beek, Jr., covering said land, and other adjacent land, and WHEREAS, it is agreed by all parties oonoerned, that it is desirable that the lease first herein above referred to be amended and extended, now therefore, said lease is hereby ex= tended and a new lease entered into, as follows; to -wit: This lease made In duplicate this 111 day of laner 19d1, by and between J. A. Beek, Carroll B. Beek, Barton Beek and Joseph Allan Beek, Jr., hereinafter designated Lessors, and NAGEL 8. BURKE, a married woman, hereinafter designated Lessee, WITNESSETH In consideration of the covenants and obligations of the Lessee herein contained, the Lessors hereby lease to Lessee upon the terms and conditions hereinafter set forth, that certain piece of land herein above described. This lease is made for a term of thirty eight (38) years commencing January 1st, 1950 and ending Dooember 31st, 1987 for a consideration of Two Hundred Forty Dollars (0 240.00) per year. Rental for the years 1950 and 1951 are payable in advance, receipt of which rent is hereby acknowledged. The Lessee agrees to pay said consideration to the Lessors, in advance, on or before the 1st of January of each year, at Balboa Island, California, or at such other place as Lessors may from time to time direot. It is agreed that the rent for the year 1962 shall be the sum of Fifteen Dollars ($ 15.00 ), Reference is made to the lease between J. A. Beek, Lessor, and H. 8. Clay and W. Ruth Clay Lessee, dated July 8th, 1944 , and it is agreed that the covenants and conditions as set forth in Section 1 to 21 thereof be, and the same are, continued in effect and made a part hereof except as hereinafter amended. IT IS FURTHER AGRE:D, that the installation of utilities and other improvements agreed to be made by the Lessor in the lease dated Jay 8th, 1944 , herein above re- ferred to, have been made. AMENDMENT NO 1 Section 6 is hereby amended to read as follows; "6. It is agreed that the property herein described shall not be leased or occupied by any persons other than the Lessee herein, nor shall this lease be transferred or assign- ed or said premises or any part thereof sublet for a period longer than one month to any one tenant, family or organiza- tion without the prior written consent of the Lessors. In the event of transfer or assignment of this lease and improve- ments situated upon the land herein conveyed for a financial consideration, the Leasors agree to investigate the reputa- tion and character of the proposed assignee before consenting 2 to such assignment, for which service the Lessors then shall be•paid a sum equivalent to two per oent (2%) of the gross consideration for said assignment.° AMENDMENT NC. 2 Section 8 is hereby amended to read as follows; °B. It is understood that Lessors do not own said land, but have the same under a written lease from the City of Newport Beach, dated January 9th, 1950, and the Lessors hereby covenant, warrant and agree, 1. That they have the right and title to make this leasehold on the terms provided herein. 2. That this leasehold is conveyed to the Lessee free of all encumbeaa,ces, charges end liens except as are specifically set forth herein, • It is further understood that said land is leased.sub— jest to all of the provisions and conditions of the aforesaid lease between the City of Newport Beach and the Lessors, and the Lessee accepts this lease subject to any limitations, defect,, or contingencies arising from said city lease.° AMENDMENT NC, Section 9 is hereby amended to read, as follows; °9. Lessee agrees•to pa;;: when due all taxes levied against Lessee's personal property and improvements located on said premises, and also to pay leasehold taxes, which shall bear the same relationship to the total leasehold taxes, if any, assessed against Lessors herein, for that property described as the °westerly Portion° of the property leased to the Lessors by that certain lease between the City of Newport Beech and Lessors herein, dated January 9th, 1950, as the area of said lot hereby leased bears to the total area of the said °Westerly Portion°, which it is agreed is about one seventieth of said area." 3 AlIVDMENT NO. 4 Section 18, paragraph (f) is hereby amended to read as follows; "(f) To establish and levy such charges or fees as may be necessary to carry forth, pay off or otherwise meet the ex- penses of carrying out and performing any and all of the above enumerated powers and duties or the purposes for which said association was formed, provided, that the amount of such charges or fees shall in no event exceed in any one year one and one fourth cents (1 1/4%) per square foot of area of the lot hereby leased, also, to provide. that such charges or fees shall be due or payable on the first Monday in the month of February following the levying and fixing cf said charges or fees and shall become delinquent on the last Monday in March immediately succeeding,' AMENDMENT NO. 5 Section 20 is hereby amended to read as follows; "20. The restrictions, covenants, conditions and reservations herein contained, shall be covenants, conditions and restrict- ions running with the land and shall be in full force and effect only until the 31st day of December, 198?." AMENDMENT NO. 8 Following Section 21 there is hereby added a new section to be numbered 22 to read as follows; "22. On every fifth annual anniversary date of this lease there shall be a readjustment of rentals, and of the fees provided in paragraph (f) of Section 18, for the purpose of stabilizing such rent, and fees, at the same purchasing power as they were on January 1, 1950. Such readjustment shall be made in accordance with the commodity index known as the "U. S. Bureau of Labor Statistics Cost of Living Index" or if such index should not be published then such other U. S. Bureau of Labor Statistics Index as may be agreed upon by the parties hereto, subject to such modifications, ampli- fications, and charges of method in making the same as shall, or may, be made by such Bureau from time to time. In making such readjustments, if the index employed indicates a decrease in the purchasing power of the dollar as compared to January 1, 1950 the rent and fees, shall be increased proportionately, if an increase in the purchasing power ofthe dollar is in- dicated then the rent and fees, shall be decreased propor- tionately. This adjustment shall be made only if such index indicates that there has been a decrease or increase of fifteen per cent (15%), or more, in the purchasing power of the dollar from its purchasing power on January 1, 1950." 4 IN WITNESS WHEREOF, the parties hereto have hereunto set their hands this llth day of Jana �2P( BY J. A. Beek lleck Cerro 1 B. Beek 7 Barton Beek LESSOR -s3 J. A. their AttorneyBeek-in-Fact Lessee STATE OF CALIFORNIA SS Cor ty of Orange ) On this 25th day of June , A.D., 1951 before me, Mildred Stanley , a Notary Pubilo in and fdr said County and State, personally appeared J. A. BEES known to me to be the person whose name is Subscribed to the within Instrument and acknowledged to me that he executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year first above written. in this certificate Notary Public in and for/said County and State. My Commission expires Iwm 9, 1953 STATE OF CALIFORNIA ) SS County of ) On this ko day of > , A. D., 19 5/ before me, {��.c C ;Ataf , a Notary Public in and for said County and State, personally appeared Nagle $. BUM known to me to be the person whose name is subscribed to the within instrument and acknowledged to me that ahs executed the same. WITNESS my hand and seal. —6tAd1 Notary Publio in and for said County and State. * * A * * * * N * * * *My Commission Expires October 31 , 1953 STATE OF CALIFORNIA SS County of ORANGE On this 25th day of June , 1951 , before me, Mildred Stanley , a Notary Public) in and for said County and State, personally appeared J. A. BEER known to me to be the person whose name is subscribed to the within instrument as the Attorney in Fact of Barton Beek and Joseph Allan Beek, Jr. Carroll B. Beek, and acknowledged that _ he subscribed the name of Carroll B. Beek, Barton Beek and Joseph Allan Beek, Jr. thereto as principal and his own name as Attorney in Fact. WITNESS MY HAND AND SEAL. 6 Notary $ublic in and for ,taid County and State. My Camm,sslan ex9ires !:Tie 9, 1953 This indenture, made the 93t day of Pebroary, 1960, between J. A. awfl, CARfioi,L b. PEfl. BARTON BENA and JOSS'S ALLAB B411 M. parties of the first part, and BUGW tl. BALK! and VAaOARtr E. .8.tSZ 'Otis doing business as Balboa ?seat Basin, portion or too second part. fl?f;Sf7Bs That for and in oont deration of the pay- nent of la rents, and the performanot of the oovsnants contained herein, on the part of the said partiot of the second part. and in the *cnsr hereinafter stated. said parties of the first part do hsreb;: lease unto the said parties of the esoond part for a period of thirty-eight (38) years, beginning eitb the first day of January. 1900. that portion of the tideland. end other real property adjseeat thsroto leased to the said parties of the first part by the City of Newport *Soh bsginninip January lst, 1040. doeoritod as rolloass A parcel of land situated in tin Borth - seat quarter (WO) or seotion Thirty --fire (3D). Township Aix (8) South, l ng. t.n (10) West. S.P.D. & U., Orange County, California, more particularly described am foliose. to -wits Beginning et a point In tb. I.S. Bulkhead line between Station No. 200 and Station No. 101 as amen upon a map entitled "furbor Linas, &export Bay Harbor, Calitornis«, aproved Nay 2. 1938 by the Secretary or Tar, and on rile in Aloe anise of the U.s. District Enginser at Loa Angola*. California. said point of beginning being Bast 734.25 feet of Said bulkhead Station No. 300, running Mona North 424.71 toot to a point in the Sorttarty lino of that ssr- tsin parcel or land oonveyad to the City of Bayport Beath by t 0 Irvine Company, as losers.-ed in dad r.00rded Baptiser• bar 26, 1429, in Book 408, Page 374. of ofrioial records of Orange CountQslifornta$ thee Bouts sl5o 430 Bast. 778.1b felt to ththaws s liorths_auterly coouer of this last mention- ed parcel of land: thence South aloe; the ** a terly lino of tit% last mentioned parcel of land 387.01 feet to a point in said U.S. Bulkhead lino batten Station No. 2.)0 and station No. 101; tneaoe Test along said bulkhead line 770 fat to the point of beginning. °obtaining approxisately seven (7) sores. IT I 1 RtW&tt usual -.T)OU, that said property is leased Subject to all of the previsions and conditions of this aforesaid base bottom the City of Bexport Bench and the parties of the 1 first part, and last the said parties • at the second part *sent this leas subject to any llaltet3ona, defsots, or contingencies arising from said mitt lease. Ord the said parties of tans second part in ooneldene tioa of tale pratlsss do bon/by eovesaat, promise end woe to andwith tale said parties of trio first parte FIRST/ To pay to to parties of trio first part la *duffles on or before the :first day of seeh month the sue of Tin Oundred Dollars ($000.00) whisk it le dined shall b• he monthly rental of the property herein demised. OCOlros To maintain the presdass hsnla demised in a clean and orderly condition end to allow no piles of debris or junk to accumulate thereon end to neap all lumbar or other material; In en orderly condition; to ksnP building placid thereon in a stets of good repair, and to do such things ea may fro nsoessary to maintain slips. floats, Oalkbssds. end other appurtenant properties in :pod repair rod sate and usable san- ditiene fltRD, to deposit no oil, sewn* er (Ahoy %mete Fatter in the water.. adjacent to or on the retort on tire property hens in dedissd, and to prevlds at sods oonvscient point a pleas shore oasts oil emu oily Alga %strr`;r may be deposited, *hers the emu shall not get into the waters of Nee orb Says FOURTHS To sonstruot all buildings upon thou prase lees ea as to empty with ordinances of the City of fcwpart Beach, and to r spline half of the caildi:we on the property with new, modern struoturea on or before January let, 1960, and to replace the other halt of the present strooeuwee with sea* warn struotc:res on or borers January lat. 1061) also to rem plea* the fences around the property with attractive +ells, also to blacktop all parkins spaces, plant Eisars and tress in appre- priste places, permit the westerly soation to rsnain open so that realdouts of Seaoon nay subdivision may 000tinue to enjoy the des of the ;sat basin, and to asks diligent effort to maintain the demised property 'lean and attrestive in appearaz►oe. flPfls To par ell taxes and assessments now and hoer after levied *Sinai the property herein leased together with improvements thereon, es the same may teener* due and payable, including sweet nineteeatba (?/ltthsj of any leasehold tax Shield may levied against tbs property oft i parties of the first pert lesasd from the Oity of Jn*port ! sots isnoary tth, 1980. If a Section of said tax on said leasehold estate is segregated by any toting authority to .this eub•leass, then the parties of the second part Agree to pay the Amount of taxes so segregate4 -- $Ixi*s Tba parties of the first part woe to pay all rent -eyed paraentage:required to be paid to the City of Newport Pooh under the tern of the lease between the City of import heanh and the first parties herein, and it is agreed that In the event of any failure of the parties of the first pert to pay such amounts, the parties of the e.sond part May make sucb payments and subtract the amounts so paid from the amount of rent due or next to be paid under the provisions of axis lemma. S:Vhflgs It is further agreed that the parties of Inc second part may be permitted to build, reeballd or alter eny of the improvements made upon the said premises hereby leased during the tern of this agreement end remove the same if not in default hereunder, but that all streets, oidewalkss eater pipes, gas lines, oleatrie lines, bulkheads and cooks shall be surrendered to the parties of the first pert upon expiration of this lease, or any Sooner termination thereof, In good condition, ordinary wear and tsar and damage by the elements exempted. MOM; It is further leveed that the rant'provided to be paid hereunder shellbe subjoot to readjsitsent sentry five years, beginning January let, ltab, to stabilile welt rent at the punbssa lag power of the dollar as of January lit, 1180, such stsbilisata ion to. be based upon tbs DJ. Dorsett of Labor Statistics Cost of Living .Inds. or suet) other index as may is mutually agreed upon, suab rent to bet paid said brat psrtlss herein by slid maenad parties to increase if the purnbasing p*ssr et the dollar des aroma or to darns* if the .purchasing poser of OS dollar lo- srsasN• - IT IS MOMS AMID, that the parties of the ssaand part.:aay permit or have other partly)* Install tanks, pumps, pips lines seed other futilities for the supplying of gasoline, tool oil, lubricating oil, and other oil produota in soannctlon with merino sod sutosnottls sorties stations, and *root building* for use in sonnsstion wttII mete purposs, and all such buildings end taoilitins may be rs>aond entirely or in part at say tiers, IT 28 FIRMS AGRtttpi that should any default Imo node in any *f tbs amounts herein aprss4 to be paid, as said lessors, their went or ottoman, may at their option ty)swiest* this lases end resents, end tail* possession of said property. I? 13 rUST[i8R AaRSED, ttaet should the lamas herein rotors red to bfln the parties of this first pert and the City et Newport knob tin sat.n4sd or a. new loess severing the property herein lea od bet aside, that Um party of the second part shell have sin option to ccattuus or renew this leas* for sue adds• tional or further period ea the tomes and conditions agreed upon in Ibis lease for bhp ported covered by it, rd th the ass*ptisa that it more stringiest se ditfisult or expensive toms are roe gutted by the City of lnport Desch, tits parties of tbs mend part egrets that in case they taky) advantage of ale option they will assume, after the.teratattaa of the tern of this present lean*, the responsibility of meeting the *Mod or more stringent conditions Imposed by the City of Seaport Sena, with respect to tits property herein loosed with tan purposeof leaving tbs obi/genes of parties of for first part, their hairs sr sissies, unchanged with rnspst to the said property. we 4 . • The partiee of the imaged pert Sall not assign their .interests or. any part thereof. into or;undes this sublease without the prior consent of the parties of the first part. The:parties of the second part Covenant to hold the parties of the first part harmless from any and all slates or ds.n ds of ernry kind and nature whatsoever by reason of •tams ems by the parties of the second ,pert sr any sublessee of theaeaised promiass. In the event...tbe parties of the first part shall be made a party to any litigation. or legal proceedings arising out of the use of saiddemised premises by the parties of the second part, or by any sublessee, the .parties of the snood pert agree to hold parties of the first part harmless and to reimburse them for any costs e►r espouses ineurred in sush.litigation or legal preeeedinge,inoluding attorneys fee, in a reasonable sum. All rentals resolved hereunder by parties of the first part *mall belong to then in equal shares. Carroll B. Beek Barton Beek ioseph Allen Beek. Jr By J. A. Ssm Parties or n' raAt•. Hugh W. Haley Margaret B. Reisinger Parties of the second Part 5 5 7 8 9 10 11 12 13 14 15. 16 17 .1S 19 20. 21 22 23 24 25 26 27 1. 28 29 30 31 32 IMPS- sada and patent into Janestry 9*, 19 • • by and between the -OM :pp NENPOST Meat a dunleipal Corperation of the State of California Of the Sixth Class, horeinattor stalled Lessor, and. J. A. SW, CARROLL B. BEN': • aARTON ;tort Alt) Jetszn ALIAN BEES, 0., (in equal ehares)• . of the,said Pity of Newport . Seiteh• tuirtiinifteno:jitlitt.34 called Lessee.; • • . : : : • „. VIE J41[11 31.,3 tate'",:partstnit: et the -rents and the • pertornaitott of the inevonants",:herein by ;ionises at the times and in the !tatter hereinHtt forth,., laseer dose:hereby lease to Lett- • see the property its'104tangeOottaty•"1Califernia, hereinafter dee- eribod• owned by Lessor and "eontaining as aggregate of aPProtiEfos ly 19 sane. :Sir the tore of thitty,-eight (30) years* beginning Janttary.let• 1950• and ending:December 31st, 1987. Upon the oev- enants end for tw rentals': a it follow/It Said 19, ;tone :::awned 'by Lessor are in part tidslauatt.e-and- entivierged lands granted to t:thetmesitior by the State of California, and the :rettaindeslignitda Oined•bt:/oossor 'abettine,: en staid tide- . : ...• • ." . . • • • • The •*Westirly Portion*- of said 19 acres bin relty leased io agreed, for the varposte of this lease, to eiestaintwelve acres, and said 'Westerly P.ortion° is described Al Palatial . ' A parcel of land situated in the Worthesent quarter of. Section 35, Townahip 6 South.; Range 10 Waste B. & L, Orange County. Califernial more par- ticularly described as follows, • to -sit: Beginning at the U. S. Bulkhead Station No. 200, as shown upon a ;nap entitled 'Harbor Lines, Newport .liarbor California, approved Nag 2nd, 1936•' by Secretary or "War and on fits in the office of the United States District rsaginser at Los Angeles,Cal- ifornia; running -theses West along the U. S. /tlk.. bead line 147.50, out to U. S. Station No. 1 thanes North 390 980 *et along sa3A 535.53 feet; tha!we North 230 57$ 30° raft feet to an 4t ogle -paint in the ordinary high tide line of the Pacifie0osen in Wefisport days as de- scribed in Court Case So. .24026 of the Superior Court bt the State of California, in and for the • 12 13 14. 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 .fie'; tlsee t3•ut 2 .. d . ord,iraary line 33 .4 ant Weste>'ly sweet of that •erta n, 3 1seareyeCto the Cityei of$ Iralae , a* $eter bM In re >iMs bor 19 is Book 4 0 fielai: res r+l' Csua r, Ial f retie►►; 5 tbssss 2,3° ' ' 30' Neal along the :oorthiroat- er1y, line saiidl of lara4 li.51..feet s thence sot o16atsnt s tissri4 li es ofsold arse 0f lam, 29G.2 slat��i tbnex cs tth t 3' st ate the flerElnarly ifae gar said paayr- 7 eel, of land, said Sorthariy. 7�e bei1� :tb* N l erly lino Of Sayside Drive, 1, fist;' 8- South 424. feet to a is$ in floe U. a. doves.. Bulkhead Line batwnen S. Stations Seas 101 aM 9, tbenee Vest along said Bulkhead line lnunfl. 10 fern to the peat of begiing; containing laately bootee (12) acres:, In the isdenant of the govertin$ : body rtf';, t sager, the tee Woater'ty i ortlon' fo7' 90dnetr1a1 uses is end will be to :'tine best interest q ` attn n Cite D paax't •f'said s ini$saxl therefore said *Westerly R#rttsa' is ' hereby loomed for 41143.14 ton for residential purposes, Ana tsr said 'Westerly Portions Lessee shall and boron agrees Lca. posy tan Lassos as aansa3 re tat for the ttnt` thirteen :Years of said sere of $600,00 oath Pita five Per sent of all .sues Leases shall roesive from the ussof stastsrly portions, or any part thereof, fraw whatsoever sourest. includingall sues received foss all sub -tenants, it being agreed that said Percent aege shaall be of `tine use and not etthe net re- turns, and that such annual rental shall be duo an Janeery 15 of each of said years be*Ussery 19th, 1951, and ending January 19th, 1963. The 'ltaaterly. Portions of • said 19 sores hereby lea is agreed, for the purpose of this lease, to cantata seven agoras and said egastsrty.Portion' .;it dssaribed as follows" A parcel of land situated la the Northwest quarter of Seetion 35, township 6 South, Lange 10 test, S. S. S.'& S., Orange County, Calttornia, more par tlouiariy' described as follows, to-vit n Beginning at A. point in the b. S . Bulkhead line 'be- tween Station No. 200', and Station So. 101, as shown: up** a map entitled •Harbor, Lines,' flevport say barter, ' California', approved May 2nd, 1936, by the 7 8 10 11 12 13 15 .10 17 18 ' 19 20 21. 22; 23. . 24 .25 .26 27: • . 28 29„ 30 • 31 32' Xet Gccntay •:• 411-462!*--itostimass.,at 1.. ",- • • tonsinsikt •satd potut ef begitaing beingg 14:::•auWee.-::fein to at t ertatn P 4t‘hn : of land oonveyeO Gle;."4,4!PrIz441aanigerataritainaittgetert 044414-110.11",South 4enritkelat'7;;U:ti 172.15 Itl�ne8 panel n ton.....,HOteris et parcel : Ircs, Ilets tpaaftHiho:Oiar:777 eM b. letete Stahr a .suabit appin 61441:a feet It; 111*-:.29021.--,3410-78Lfelt•ser, foot to th. polat [cos, "'aef taintrw. ...• ... • 5414 "gielterir IFE:ittlen,7 helatillesie4 Uteri ; • • expiring 4***Eit 31st, 1957, 1'ipt*Stvat,443, Oen. itsottc;. • • and enintenaheel.at whim pine,Hena fat laitfal; purpose, suoh Inew.:1?1*- the isdireat of ties Citt Owned Wing asaietuitt -far the:. proper • tentateneent, d.ntops.nt and un Ckt its water trent agd-harhoto; feaiiitiet add consistent 'With the noutrnientp af fauna and 7,-rattigation at and:: in. and far paid "Sekaterty Portion* Len Oen : anti hereby agrees 40 pat to Leaeoran iannual -rental far the .tint thirteen years of 044 tent of .350.00 eash,pleo. seven And aner4441: pereent.af all enee 11000i ithati;:irisOal to free) the wee: of Geld tEsteterit . • • ir:4,010%:10.-.11e1Hpattrin art fro fin wtlate":17.144.14"C. 114".34413,-'141' rat receind fn all te, tt being straHed tnat 044 pelteeittaia•ahallc$ of the gross -and. sot of the mtratan's*, and that 0.12. 3,3...pe.dne an ahem" 15tinit:of.e.oh of malt yenta,- • -begthedng".itenuett. 15 th,. 1951, aM 0n4 tut • • • - .Is addttton to the • shove.:,iaatas :Laagea gthafl ;t44: hate*, • . agrOit0 te:.04k Lna�r 41.'000.00 :Aashalit dultitig th*, fttat thti**00* Year*. Of saitiitm, 41Seart.'::151#7st 0.00-w.ef said,:lrearit;. gleMiag:Johttar•Y 15ths • 1951, and enaiag Joahax7 I5ths 1.963 For the lust twenty -fie, years of Sale terms Lease® alai Aug tiara,' agrees to pay -Lessor tiartrarso arid one -thin per *Oat 3 13. 14 15 16 17 18 19 20 21 22 23 24 25:': 26 27 28 29 30 31 32 33. OP-9wt ' R1 bats Lewis s tdl - re t *Westerly Portion' and tits niasterly tert n° on. Ga, ny part(of 'eta of'sad :Po.rti.oins, oourar's, ireolndiag s21Y near resell .titer t said percentage shall be r . tba -"gran and net of the aat.rataras;.and that sash asreaael, rental tba 15t of .&cb ;eef said y .lag ;Januar/ ,15tb,. 195* daterence ioveeber 9th: 19flsand . the astandarants, .4 l isrd► 1930, • Jul kith, 1 eember 3rd, the all ' oave t,s, '; have been perforated (swept rent du is agreed that this /CIO annereedets Le"esee des to keep,' saints fret tlse. at a reasonable ti,Bs, and . to. thereof annuallj on:nab an `aa11 ti which may, during the term of the allied land or upe,u. saay, of, tits i 1A let` al], o tensA tl�rxq�srlC. da3t- yeat,reaary 6tk, 1939, tad Ni- ta tits act Us of the Lessas th, 1950)# t Za at. all of his eta heeared, ' to Lessor's inapeotlen eh Leaheor ra1th s "written w susarg t5 th, part of the 'Easterly P+ alma, esoeptiaai to the preempt written ooneent of Lessorfirst that the,Anbtebbatt dental to their intust tal u>gn that Lessee mil hare the right, Portion. stay part of` -said "Westerly subtenants thereof, wit ►out tk9e. had and obtained.; . It is ag ed. arty Portion* ear let coons Snoi- iaerisesf. It ie providsd, however, t, frost time . to base, to sublease shallsawe that Lessor also n 2 3 4 • Het to assign theft aterstit among therstaves and SO inane, to deynottr Loeser tomesants, that 11 shall sot station- att oeniment to the subletting by Lessee et ap pettier ell et this stasterli Portioa*. et said prentitos prOvidad Sett (1) th. otoO to shish this ommilito proposisi to 7 tat 1L7 Is00.1000 than 41iO et a oltartuster snore detrimental $e a public bestlth, safety and voltart et %be City of dowport Beak that osisting at at Lino or this prepseedi Solitottings 10 (it) 2110 to rental oonsidsrstion asetouteg toessies 11 itith respost Ito the promises -proposed to be outalot to= nfl be 12 loss than Ms rental thereof la the year 112194 is ()). That tho nopotod sublessee shalt $11101011.14. 14 roopeattlas. . /5' lame an, striotly to 'ttemplg via and tiboora .11* 16 J inn of the United Statists this statutes OS the stats 041402)1Stli 17 ang. the oristusin. et the UV of StivOOLO Boot 1* Oth, %SHIM ties. 18 tooting this lease and the notelets sad newt,' heron eattlat. 19 Loeser 'ashes no sarratity of title to the demised prods* 20 express or 1sp3.i4, or tit any port Wend. at Losses .staigtte .01,1. 21 lean upon suit title as Leaser say promently ban or lossiatar 22 suing and in the tent Mut; tiy reason et sal detect la esti title 23 er istell4St/ of this Intent Lesser *bell be oast to ssitDry ts 24 Lessee otaittaucksk peaestin ottjoytent or the preniarestarots dometeni 25aM ma possession shall thereby bet disterbeet er tapli teninate 26 ea• Lessee +annealed.; .settes all right, slain or Ora* agelast 27 Lessor by roasoes thereof. 28 Leone oeyonants Is hold, Lesser wools ire say and .21 29 ignite or demands Or oison tint and sawn othot000tor stout a 30 this use by testes, or say stiblessesor tta donised prold.ree, tnept 31 lag *Was or demende growing out est this tuts of streets* adevalts 32 alloyst 4-otatit. pion, Or cubits atilltietst or as partleular eit0 5 4 5 6 7 8 9 10 . 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26. 27 28 29 30 31 32 • • :/‘-;'"•••••:,i.17-4tr;"1•-t •, . *one: 164143 liability is data* to barn belongs to Lean. la 'the event that Lesser shall, without its fault, be made a party to asty litigation or legal preendings arising out of the use of said demised premises bY the Leas,* er by at/ subs' lessee, Leone times to hold Leaser harmless and to reimburse Lessor far any nets or *weans incurred la Sash litigaigan or local proceedings, intuiting attester e fees. lasses and. any sublessee shall ken the right, prier te the expiration of the tem of this lease, to remove any buildings or Improvements from the itemised premises, exeeptlaS That all a isorevements, &mks, piers and all other installations ineludise 'obits utilities shall be left in place mat *MU be the preperby of Lessor. It is further agreed by Waste that any sublease herr, after made et any panes the donated premises shell. contain a • provision providing for periodis (tmt not more than once fin years) readjustnnt of rentals in socordenee with the stasatabi index, known as thi U. S. Sint= of Labor Statistics most of Live ing Index', or such ether Index as may be agreed upon between -Lessee and frublessites• If Lessee toils to remedy any default in his obligating hereunder within thirty days after notice thereof fro! Lessor, then Lessor may, at its option, terminate this lease, but in mach event such default nett not in any gansier arrest say sebeestant, provided said clubtenant that pay Lessor, and he is hereby gina the t of paying to Lessor the yearly payments provided for is his sublease, and upon said payments being made to Lessor by sad subtenant, Said sublease Shall remain In full fora end effect during the term thereof, providing said term shall not exceed the torn provided for in this lease. Lessor Is not iltdIgatod hereunder to one any tOPPOWS— 6 7 8 10 • 11 12. 13 14 15 16 17 18 19 20 21 22 23 24 25 2. 6 27 28 29 30 31 32 or airs, other OVUM prepertim This SanShell he binding upon and lour* to the •fit of Lowness heirs and assigns. IN wrruss alitRECtel, the Lessor Me ossoutod thss poet Perrault to resolution of Its City Connell eaten January ,th, 1950 Aautherising Its corporate name and seal to be oubatarlbsa am 0. . , y1204 tarsi, by the Mayor and 'city iark of the City ef %Mort ann0h, end the Lessee has hereunto set his ham4. onr or liCUPORT mom Attest • Bovember 23, 1943 Robert Miss Attorney at Law Tint•.National Bank Bldg. Banta Ana, California Dear Bob: Herewith enolosed_plsase find propelled amendment to the Beek Agreement. Y believe that I have prepared it in accordanos with our under* standing, but if not,you are at liberty to make any corrections you may desire. If you will approve or correct the Agree= meat by Monday of nett week, I will present it to the City Counoil for ite approval. AT I MEB Hnols- Very truly yours, City Attorney • RESOLUTION NO..__��,,,__ WHRSLS, there has this day been presented to the City Connell of the Oity of Newport Seaab a certain Lease and Amendment of Formes Lease. dated the and day of December, 1941, wherein the City of Newport Beach is the Party of the First Part and J. a. Seek is the Party of the Second Parisi and RHZREAS. said Lease refers to lease from First Party to second party dated November 9. 1927. and also written amend ent to said lease dated ,March 3, 1930. end also written amendment to said lease dated July 18. 1938, which said Lase is mar in full Serve and effeot.{ and imam. the leased premises have heretofore been Imo proved by the party of the second part and said party of the second part desires to further improve the westerly portion of the leased premises and to iaoreae! the oityre revenues under its percentage rentals under said lease; end WHERZAe. the westerly portion of said premises Bone slats in part of tide lauds glranted to the pity of Newport Beach by the State of California, and the remainder thereof is uplands abutting upon said tide lands, and in the judgment of the Olty Council of the City of Newport Beach the use of the westerly per, Lion of said tide lands and said uplands aforesaid. for industrial uses is and will be inimical to the best interests of said oity that said former lease be amended as follows, That the property described in said lease be based to lessee for a term of sisteen years, eleven months and five days from the date of eau leases and ending November 8th, 1943, upon the same terms. covenants and conditions and rentals, except ae herein set forth, to-witt That the westerly portion of said leased premises be leased for park, recreational, residential or educational purpose', to the lessee; that for said westerly portion lessee shall pay to the pity, east or before November 9th of sash year during said term to and -1- Including November Nth, 1947, $40.00 per *ore per year, and fres November 9, 1947,.to the end of said term $b0.00 per acre per year; and in addition thereto lessee agrees to pay said city untilNevem* Der 8, 1947, 3 and thereafter during the remainder of said term 5% of all gums he shell reasire from the nee of. said Westerly Port tion of said leased premises, all as in said lease proeided; and magus for the .Masterly portion of said lead premises Lessee shall pay to the eity up to Ncvember.8, 1968,the rental and percentages provided for in said lease dated November 9, 19117,.a44 for the remainder of said term, shall pay to the City, on or be- fot* November 9 of each year $5D.00 per acre per year,. and in addition thereto agrees to pay said city during the remainder of said term from November 804 1952, to November 8, 1988, seven and five -tenths percent (7.5%) of all the gross sums he shall.receive from the use of said xasterly portion or any part thereof, all as in said lease more partionlarly set forth; and wnnans, the City Council of the oily of Newport Beach deems that it is for the best interests of said City of .Newport Beach that said lease be entered into with the said J. A. Beek; SON' THEREFORE, BE IT RBSOLflD& That the Mayor and Oafton of the City of Newport Beach be, and they are hereby directed, instructed and authorised to setts said lease in the name of and on behalf of theoity of Newport Beach, and that the City Clerk deliver a duly executed copy thereof to the Lessee therein named. 1 hereby certify that the abo►e and foregoing Reeolutioa was duly and regularly paned and adopted by the City Council of the City of Newport Beach at a regular meeting thereof held on the 3rd day of December, 1945, by the following vote, toswitt AYES, COUNCILMENI NOYB, COUNCILION; ATTEST; ABSENT, COUNCILYllt City alert. kayor -a. LEASE AND AMENDMUT OF FOB WON TEIS /NDENTURE made and entered into this and day of December, 194S, by and between thy. CITY OF NEWPORT UAW, a looms Sipal corporation of the Sixth °lass, the partyif the first: part, and J. A. BAR, of the city of Newport Beach, Orange Onty, Wile forda,the party of the second part, hereinafter called Lessee, VIM SOZT RI Referees is hereby made to the written lease from Mild City as Lessor to said J. A. Beek as Lessee► date¢ Novewber 9, 1927, covering real property of said City of an trait appxo*i- mstely nineteen sores, which lease is now, and since its said date has been, in full force and effect♦ the oevenants and acne«• d'Alene -therein contained to be performed on the part of said Leese*, including payment of rentals to date hereof, having been performed, and refesenas le also hereby sods to the written amends. sent of said leas dated Farah 3rd, 19ao1, and that a main amend- sent of said lease dead July 10th, lsa8. Said leased premises have been filled and leveled and the Easterly portion, containing approximately eight acres, was further improved by Lessee by construction thereon of boat land- ings, docks and a yacht basin, and it is now desirable to further improve the hereinafter desoribed Westerly portion of said psonlose and to increase the atty's revenues der its percentage rentals under said lease. The said Westerly portion of said prsniees con- sists in part of tide lands granted to said Olt/ by the stale of California and the remainder thereof is uplands abutting upon said tide lands. $ the judgment of the City Coned of said Oity, the nes of said Westerly portion of said tide lands and said uplands abutting thereon for industrial uses is and will be inimical to the beat interests of said City, and by reason thereof and it -1- City 'until November 9th, 1947, two per cent (201 and thereafter during the remainder of said term five per cent (5%), of all cams he shall reosive from the use of "Said Westerly Portion,• or any part thereof, from whatsoever source, including all rums rsoeivsd from sub -tenants, and it is understood and agreed that said perm oentagea shall be perosntagss of the gross and not of ihs art roe turns,: and that payment thereof shall be made on the 15th day of„ January of eaa and every oalendar yeas,commencing January 15,1946. (d) That for said "easterly Portion,• Lessee shah .. pay to the Oity, up to November 9th, 1983, the rental and percentsges provided for in said lease dated goremb.r 9, 1937. and for the remainder of said term shall pay to ths Oity, an or before the 9th day of November of each and every valeadar year, Tifty Dollars (95O.00) per acre par year, and in addition thereto Lessee agrees to pay said City,. during the remainder of said team from Novsobsr 9th, 1952, to November 8th, 1963,-sewn and five -tenths per cent (7.5%) of all of the gross sums he shall receive from the Si of said "easterly Portion", or any part thereof, from whatsoever source, including all sums rsoeived from sub-tem nte, and payment thereof shall be made on the 15th day of January of sub and every calendar year oorcmenoing January 15th, 1953. The term "tastsrly Portion" as used herein Is intended to deaoribe all of ths property oonvsysd by the lease dated Nova - bar 9th, 1937, hersinabove referred to, exempt that portion of said property hsreinabove referred to as 'Said Westerly portion." All provisions of said lease dated November 4th, 1937, not herein amended shall remain in full force aad'effsot. IN VITIZOO VBZR&OT, the party of the first part has oxsoated this contract pursuant to resolution of its Oity Council dated Deossber 3, 1945, authorising its corporate name and coal to be eubsoribsd and affixed hereto by the Mayor and city Clerk .g- Of the Oily of Newport Beath, and the pasty of the lotted part has hereunto set his hand. CITY OF NEWPORT BEACH, By Maroc Attests olsrk Party of the first Part Lessee, STATE 08 CALIFORNIA es COUNTY Of ORANGE • On this 3rd day of Deosber, 1945,.before ma, a Notary Public in and for the Said County and State, par!. Banally appeared Clysn H. Hall and Frank L. Rinehart, known to me to be the Mayor and City Clerk, respectively, of the City of Newe port Beach, the Corporation that executed the within Intrust nt, known to me to be the persons who executed the within instrument, on behalf of the Corporation therein named, and acknowledged to me that stioh Corporation eteouted the taste. IN WITNESS boy, 1 have hereunto set my hand and affixed sir official seal the day and year in this certificate first above written. Notary Publlc in and for Said County and State My Otedeeiaw expiree�_ STATE 0r CALITORHXA) es COUNTY of ORANGE On this 34d day Of December, 1948. before me.„ a Notary Publio in and for said County and State, perm tonally appeared J•A.Beek, known to me tO be the person whose nano 1s subscribed to the within Inetsuaent, and acknowledged to is that he executed the same.. I8 AI.TNESS WHEREOF, I hove hereunto set amyy hand and at- fined ny official seal the day and year in this certifioats first above written. Notary Pali' in and for•onid County and State. My.ocosisaion expires County of Orange, State of California: That certain parcel of land situated in the Northwest quarter of Section 35, Township 6 South, Range 10 West, S. B. B. & M., described as follows: Beginning at a point which bears East 684.25 feet along the United States Bulkhead line between Stations 101 and 200 as shown upon Sheet 1 of a Map of Harbor Lines, Newport Bay Harbor, Cal. approved by the Secretary of War on May 2nd, 1936, from said Station 200, said point of beginning being the Southeast corner of the land shown on a Licensed Surveyor's Map filed in Book 9, pages 42 and 43 of Record of Surveys in the office of the County Recorder of Orange County, California; thence East 100 feet, thence North 424.71 feet to the South line of the 60 foot County Road; thence North 85° 43' West 100.28 feet to the East line of Lot "J" as shown on said Licensed Surveyor's Map; thence South along the East line of the land shown on said Licensed Surveyor's Map 432.15 feet to the point of beginning. F_) • /DC 3a-3� id I ":t 9 L :; r1 S £ 101, Tlla A&RV;MiNT entered tnt- this, 1, ,day of oetmber, . 1939, between the CITY' re7 NUflT BEACH, a Muntoipel oorporntion of the sixty: clams; of rr;w e. Ce;until, Cellforele, hereinafter reterre' to °r^ the City, end J. A. Beek cf Balboa Ir-len3, in the City rf New~ art Peach, County of Onnr e, e t ate of California, hereinafter referred to .r the tarty of the second tart. — - - Reference it hereby made to the "Lease and Amendment of Former Leases between the parties hereto, dated July 18th, 1938, recorded larch nth, 1939, In Book 992, page 449 of official Feoordp of said County, and to the amendment thereto dated February 8th, 1939, recorded starch 9th, 1930, in Book 987, pw e 183 of Official Records cf said County. Upon the conditions herein.,fter stated, in contiderstton of the rent:,le from nub—leeto the City herein.fter mentioned, and in order to increase the Gity's revenue under the terms of eeid lase by Qualifying thereof under the requirements of the F. ii.e. eo th:t more houses may be erected upon the lands covered by Reid lease, under Aubieases thereunder, the term of said lease is hereby extended to November 9th, 1971. The conditions hereof are: 1. 'This extension shell aril! ante to those lots or the land covered by s 1.4 lease set aside by said second party for resident's]. purposes, upon which dwellings shall have been constructed or erected or the ocnstruotion ofwhioh shall hive been enm!enced prior to November 9th, 1941, with ingress and egress thereto, which dwellings tall heve been approved for loans to be insured by the Federal Housing \dminietr:tion and financed in whole or in part pursuant to suoh approval. i 2. That from and after Novpmbor 8th, 1962, (the end of the original term of nAid lease) all rentals •ridother payments there- after payable by eub.leeeeee under all subleases of said land, which shall qualify under the terms hereof, shall be paid directly to the City t n.AM sub. osesee. The party of the second par* hereby waives all chime to said rentals due from said sub. lessees %nd directs them to nay the same direct to the City, and eai4 ascend rftrty is hereby released from and after November 8th. 1962,'from hie obligation for paymentof acreage rental and eer- ventage of gross receipts rentals under laid lease, with the .Aid City.. 3. That the annual rentals payable by said sub -lessees to the City from and after November 8th. 1962. during the term of this extension, .shall not be leen than the annual rental provided to he ::sift for the eeaars priorto November eth, 1962, under each respective sublease ar to achioh this extension applies. 4. Any lot or naareel of said leased land set aside by ntid second party for residential purposes upon which a dwelling nhtli not have been erected or commenced prier to November 9th, 1941. under the approval of the Fedornl }(Duping Administration, Shall not be subject to the above extension and in this oonneotion it le epeoifieally understood and agreed between paid parties that this extension obeli only affect the properties herein mentioned •hieh have to date hereof. or which shall hereafter qualify for a Federal Housing :drfinietr.tien loan prior to November Otte, 1941. IN aIThi u eliF.110F, the 6414 City of Aesport Beach has snouted this agreement pursuant to resolution of its City Council dated October , 1939, authorising its oorporate name and seal to be subscribed and affixed hereto try the M yor and City Clerk of the City of Newport Beadily aanl seoond party her hereunto set hie hand this day of October, 1939. CITY OF NEriPOfl REACH By Mayor By Clerk •°arty of the secend part Party of the first part car RESOLUTION No.. WHEREAS, there has this day been presented to the City Council of the city of Newport Beaoh 4 certain agreement amending lease dated this 16th day of October, 1939, between the City of Newport Beach, a Munioipal oorporation of the sixth class, in said agreement referred to as the City, and J. A. Beek In said agreement referred to as the party of the second part; and WHEREAS, said agreement relates to the amendment of a certain lease and amendment of former lease between the said parties dated July 18th, 1938, recorded March 9th, 1939, in Book 982, at page 449, Official Records of Orange County, California, and to the amendment thereto dated February 8th, 1939, recorded March 9th, 1939, in Book 987, page 183, Official Records of said County; and WHEREAS, the City Council of the City of Newport Beaoh deems that it would be for the beat interests and advantage of said city that the amendment to said lease be Executed, and further deems that the consideration offered for said amendment .to said lease le in all respects fair, just and adequate. NOW, THEREFORE, BE IT RESOLVED: That the amendment to said lease be executed on behalf of the city of Newport Beaoh by its Mayor and City Clerk and that naid agreement be executed in duplicate, an original duplicate thereof to be executed by J. A. Beek and filed with the City Clerk of the City of Newport Beaoh. I hereby certify certify that the above and foregoing Resolution was duly and regularly passed and adopted by the Page 1. one IMP .4 City Council of the City of Newport Beaoh at an adjourned regular meeting thereof held on the 16th day of October, 1939, by the following vote, to -wit: AYES, COUNCILMEN: NOES, COUNCILMEN: ABSENT, COUNCILMEN: Mayor - City of Newport Beaoh ATTEST: City Clerk of the City of Newport Beaoh • A . i' 7 RESOLUTION A0. WHEREAS, there has this day been presented to the City aounoil of the city of Newport Beach a pertain Lease and Amendment of Former Lease, dated the 18th day of July, 1938,. wherein the city of Newport Beach is the party of the first. part and J. A. Beek is the party of the second part; and WHEREAS, said Lease refers to lease from first party to second party dated November 9, 1927, and also written amend- ment to said lease dated March 3, 1930, which said lease is now in full force and effeat; and WHEREAS, the leased premises have heretofore been improved by the party of the second part and said party of the second part desires to further improve the westerly portion of the leased premises and to inorease the oity"s revenues under its percentage rentals under said lease; and WHEREAS, the westerly portion of said premises oonsists in part of tide lands granted to the oity of Newport Beach by the state of California, and the remainder thereof is uplands abutting upon said tide lands, and in the judgment of the pity ootmcil of the city of.Newport Beach the use of the westerly portion of said tide lands and said uplands aforesaid, for industrial uses is and will be inimical to the best interests of said city that said former lease be amended as follows: That the property desoribsd in said lease be leased to lessee for a term of twenty-four years, three months and twenty days fromthe date of said lease, and ending November Bth, 1982, upon the same terms, covenants, conditions and rentals, except as hereinafter set forth, to -wit: That the westerly portion of said leased premises be leased for park, recreational, residential or educational purposes, to the lessee; that for said westerly portion lessee shall pay to the oity, on or before 1. November 9th of each year during said term, to and including November 8, 1942, $30.00 per acre per year; from November 9, 1942, to and including November 8th, 1947, 840.00 per acre per year and from November 9, 1947, to the end of said term $50.00 per acre per year; and in addition thereto lessee agrees to pay said city until November 8, 1947, 2% and thereafter during the remainder of said term 5% of all Bums he shall reoeive from the use of said Westerly Portion of said leased premises. all as in said lease provided; and WHEREAS, for the Easterly portion of said leased premises Lessee shall pay to the pity up to November 8. 1952, the rental and peroentagea provided for in said lease dated November 9, 1927.•and for the remainder of said term, shall pay to the oity,, on or before November 9, of each year, $50.00 per acre per year, and in addition thereto agrees to pay said pity during the remainder of said term from November 8th. 1952, to November 8, 1982, seven and five -tenths percent (7.5%) of all the gives sums he shall receive from the use of said Easterly portion or any part thereof, all as in said lease more particularly set forth; and WHEREAS, The City Council of the pity of Newport Beach deems that it is for the best interests of said city of Newport Beach that said lease be entered into with the said J. A. Beek. NOW, THEREFORE. BE IT RESOLVED: That the Mayor and City Clerk of the city of Newport Beach be, and they are hereby directed, inetruoted and authorised to execute said lease in the name of and on behalf of the pity of Newport Beach, and that the City Clerk deliver a duly executed dopy thereof to the Lessee therein named. 2. I hereby certify that the above and foregoing Resolution was duly and regularly passed and adopted by the City'Oounoil of the city of Newport Beach at an adjourned regular meeting thereof held on the 1Bth day of July, 1938, by the following vote, to -wit: AYES, COUNCILMEN: NOES, COUNCILMEN: ABSENT, OOUNOILMEN: ATTEST: City Clerk Mayor of the oity of Newport Beaoh 3. 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 ,10-‘30-3 s( AMREEMENT AMENDING LEASE. 1) THIS AGREEMENT, entered into this 'fib day of October, 1939, between the CITY OF NEWPORT BEACH, a Municipal Corporation of the Sixth Class, of Orange County, California, hereinafter re- ferred to as the City, and J. A. BEEK of Balboa Island in the City of Newport Beach, Orange County, to as second party, W I T N E S S E T H: California, hereinafter referred Reference is hereby made to the "Lease and Amendment of Former Lease" between the parties hereto dated July 18th,.1939, recorded March 9th, 1939, in Book 982, page 449,of official.Ree- cords of said County, and to the amendment therein dated February. 6th, 1939, recorded March 9th, 1939, in Book 987, page 183 of Official Records of Said County. "Open the conditions hereinafter stated, in consideration of the rentals from sub -lessees to the City hereinafter mentioned, 17 and in order to increase the City's revenue under the terms of said lease by qualifying thereof under the requirements of the F. H. A. so that more houses may be erected upon the lands covered by said lease, under subleases thereunder, the term of said lease is hereby extended to November- 9th, 1971. The conditions hereof are: 1. This extension.shall apply only to those lots or the land covered by said lease set aside by sa'dse purposes,,upon which dwellings shall part for residential erectedor the con- structionrof which shall have commenced prior to November 9, 1941, with ingress and egress thereto, which dwellings shall have been ap- proved for loans to be insured by the Federal Housing Administration and financed in whole or in part pursuant to such approval. 2. That from and after November 8th, 1962, (the end of the original term of said lease) all rentals and other payments thereafter payable by sub -lessees under a,1.1 subleases of said land pt shall be paid to the City by said sub -lessees - �A, �'- -eila.,,. a ea Lrtl'9 p�A172g tv�'r�ri unae , and party hereby waives all claims to said rentals due from said sub-le4ssees and directs them to pay the same direct to the City, and said second party is hereby released,from and after November 8th, 1962,.from his obligation for payment of acreageren}}t��jjal end percentage of gross receipts rentals under said) leaseL+-V1 W 3. That the annual rentals payable by said".subrleessseek. 4114 await. November 8th, 1962, steal not be less to the City from and after than the annual rental provided to be paid for the years prior to November 8th,.1962,.under each respective sublease as to which this extension applies. 4. Any lot or parcel of said leased land set aside by said se- cond party for residential purposes upon which a dwelling shall not�l have been erected or commenced prior to November approval of the Federal Housing A t to the a o e extensignkrI `141 IN iITNESS in istrntion Mu OF, the said City has 9, 1941, under the hall not be'subject executed greement/ pursuant to resolution of its City Council dated October , 1939, authorizing its corporate name and see to be sub- scribed and affixed hereto by the Mayor and City Clerk of the City of Newport Beach, and the second party has hereunto set his hand. CITY OF NEWPORT BEACH, By By Mayor Clerk Lessee 4444,11"41 ,Lifir4it-t-4-7s, 4 14 id iow-iti 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICER OF ROLAND THOMPSON 210 SPURGEON BUILDING SANTA ANA. CALIFORNIA AGREEMENT AMENDING LEASE. THIS AGREEMENT entered into this 3)C9 day of October, 1939, between the CITY OF NEWPORT BEACH, a Municipal corporation of the sixth class of Orange County, California, hereinafter referred tows the CITY, and J. A. BEEK of Balboa Island, in the City of Newport Beach, Orange County, California, hereinafterreferred to as the partyof the second part. W I T N E S S E T H— Reference is hereby made to the "Lease and Amendment ofFormer Lease" between the parties hereto dated July 18th, 1938, recorded March 9th, 1939, in Book 982, page 449 of Official Records of said County, and to the amendment thereto dated February 6th, 1939, recorded March 9th, 1939, in Book 987, page 183 of Official Records of said County. Upon the Conditions hereinafter stated, in consideration of the rentals from sub —lessees to the City herein- after mentioned, and in order toinorease the City's revenue under the terms of said lease by qualifying thereof under the require— ments of the F. H. A. so that morehouses may be erected upon the lands covered by said lease, under subleases thereunder, the term of said lease is hereby extended to November 9th, 1971. The conditions hereof are: 1. This extension shall apply only to those lots or the land covered by said Tease set aside by said second party for residential purposes, upon which dwellings shall he fter. l constructed or erected or the construction of which shall bemeafter halt commenced prior to November 9th, 1941,,with ingress and egress thereto, which dwellings shall have been approved for loans tobe insured by the. Federal Housing Administration and financed in whole or in part pursuant to such approval. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 LAW OFFICES OF - ROLAND THOMPSON 310 SPURGEON BUILDING iANTA ANA. CALIFORNIA 2. That from and after November 8th, 1962, (the end of the original term of said lease) all rentals and other payments thereafter payable by sub -lessees under all subleases of said land, which shall qualify under the terms hereof, shall be paid ::-directly.to the City by said sub4l essees. The party of the second part hereby waives all claims to said rentals due from said sub —lessees and directs them to pay the same direct to the City, and said second party is hereby released from and aft November 8th, 1962, from his obligation for payment of acreage rental and percentage of gross receipts rentals under said lease, with the said city. 3. That the annual rentals payable by said sub— lessees to the City from and after November 8th, 1962, during the term of this extension, shall not be less than the annual rental provided to be paid for the years prior to November 8th, 1962, under each respective sublease as to which this extension applies. 4. Any lot or parcel of said leased land set aside by said second party for residential purposes upon which a dwellin shall not hereafter have been erected or commenced prior to November 9, 1941, under the approval of the Federal Housing Administration, shall not be subject to the above extension and in this connection it is specifically understood and agreed between said parties that this extension shall only affect the properties herein mentioned whiehnshall hereafter qualify for a Federal Housing Administration loanw�1�c3x-i� renren IN WITNESS WHEREOF, the said City of Newport Beach has executed this agreement pursuant to resolution of its City Council dated the day of October, 1939, authorizing its corporate name and seal to be subscribed and affixed hereto by the Mayor and City Clerk of the City of Newport Beach, and 2. • 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 the party of the second part has hereunto set his hand this. day of October, 1939. (SEAL) CITY OF NEWPORT BEACH By By Mayor City Clerk Party of the first part Party of the second part LAW,OPPICES OF ROLAND THOMPSON 210 SPURGEON BUILDING SANTA ANA. CALIFORNIA 3. •- 13 14 15 16• 3.7 - 18 • . • . 20, '2-4*25 ' 26 , 29 • - 30 LAW OFFICES OF ROLAND THOMPSON 216 apbRagot:a. CALIFORNIA 1.1 140fliFitiPIT:4MENDIFITIEAW•• .1:THIS AGREZMENT erztered into this day ot:tvy: Ootober,,19394.:1).0.kootthe CITY OF. NPIPP)17:1$ZAQH g01044)14",.:.:1. "K( jct's:150ra tA.On•::',Or,/;b'e:•:. *lath ."-diaB8•1•7!ot:.:.otifingei:r.00aht,;•T0alltoV.Otte m;• ' 7.:bere.taatteV:ratariect...ta as the"' BEEK:,of Ti Balboa Is1and, in the:: Cit3/7•IOD.:•:NeaPart:.:Beadh,Diange County, Galitornia,••••. 3-.a,to1444Eittezi:•,••rata rtiel:;,tOL: B the party of' the second part. • .E•.:111.1f.'".-.;. •,•-••• • •••"• Reforenoe is hereby made to the "Lease 'ind Amendment ofFormer Leaoe" between the parties ratO.i.,4ata04:•44 ...718t.4k...t:4938, recorded • March 9 •-•199; In Book:•.9.82:.••E:Pagai:;*49."•••61'".79Xtina1'•':" •••and to the amendment thereto dat.d••:••••,'" • cc• • •• .0yobrutikry••,..f3t4,•,0a0,--4.440or4,12:margit •00,.::;;-:19.69,±.,71.ri:. Book 987, page• -7 • 183 of offiolal Upon the oondittona: hereinafter in • c on siderat 1.on:7•••••Or, the .7'±i.entala.:<7tVOt: sub -lessees • to the • • altar.•Oaati:ora407•':ank.±tn•••••.pr4ari;'::.-tO:thOreasiti :thei:Gft30.".•7!! revenueunder the '..ri!te„ 04::lease''thei*csf. ' under the #11;121 more houses may be ereoted. upon the Landa oovered by f10411:ItiO, under Of4blaasa a:. thereunder,the term of „. a Id lease is hereby extended to, November : 9t11. •1971. -are: "1. I • •7-•1.::::. This ••;attaneiriii:;,iiial1;57iPPli:6Oly.to:1•thOefi'llot the land covered .by Ba2.d. lease set aside by eald seoond party fl'Or'..!itatildeatlal • pur'ooses,upon whtch dwelllngs thall hereafter• ••• b0::$060atru'Otii4 Or:•:!.areita4V.or the •;,. hereafter have commenced Prir0-r, to •IfNovember 9th, 1941, and.0graat thereto, • been 4PP091red•:,.•:tot.. 3404 *Lig be insured bv the Federal Housing Lecidizilal,irtratl•on and flnanoed in whole or in part pursuan Amoh approval. • .•., T,„ T: . ;. ;T: . ...• • • 8 12. 13 14 15 16 18 19 20.- 22' 23 24 25 "12$' 27 .28 1. 29 30 , • - 32 • , LAW OFFICES OF ROLAND THOMPSON . 210 SPURGEON AUILDING SANTA ANA, CALIFORNIA . ' ,:‘.511,1.•k! 2..::::?:1'hSt.,1146014014ft*r4Otem)710:0*i:1102140'04:„. ot the original term of satd lease) fll rentale ar.d other '-'444MeilliTiheieeftei".peythleybk,:vitab;letteitettAdor'4144nAhliA00H O.f.2.:04•Ad:104';'Hw4Wil$440,44‘11;f7c14040r:thetkOlnereOrs: 44114.117e.Y,PAiitire,ntYYtOthi*,.CittibY6414:61.11$1:4*SeetHi...The • party • ED f.the to said rentals •• due from Hettot,•aeld:•:-=stiblelobeeti•::andy.dtrenttthem to :paythe seat direct ,„:••to the Cjty, and sal.d seoond party Is heret:oy',,r0;casetzHtr.O.ar'and. aft r ••:•Rotcmbefrattti..3.962i..*ctoOt..:bis obligation for payment ot, *opefigicHL, rental and peroentage of t,.iteht4pt s renta1 under eald lease, %;,''• • ':•• • .•-• • ::.•'••• • ''• : y'• •3. That the annual:rents4s.",pakehte by said .." leseees to the Cjty from,and,,after;•,Novezher, 8th, <1982i' priAliv:! • :: th term of thls exteneton, shall not be less than the annut]. re*ter:•pi•ovided • to he veld' for the years Prior ;':t6Soteette/•:'1”134"•;.:f.:,t• 1962, under each:ikelp.eitItt'Shhietee:;stS'ite .„which.th1eeXteh!SIOn '• 4. Any lot or parcel ofRaid leased cpshd..•.,set aside• , ••• • .-.P7...•8idTtle,ea04.;....3".1*,ty ,,•enr.'-u',$.#0.0ht,„Iir1 • PkArtiOA0.1Stipcjo:::;*hic14.Lkt*?:.47s61.41li) enal:1±•.not-SreitftSt:•:-heve:/ been .."'erected or •commenced ilev.ehbeit• .9•;:-.••;-19434: under the the' ,attittyall the ;,F;ediotal,:::Kone Housing ari .• this. eohnecticiri speciti.eally.„-understood„..and.:agreed.TH .... • • • • partiesaffect the •ipznp,ertiet.,.heieih;•th•Snt tohed."•-whi eh ehrtll hereafter qualify •.. • , : • for a Federal 40u.814g...,A4minletszion'Ylpan:,•nnct.:.,•1:707112h: havebeen •. •:•• • grentedlit•teders4-•Whhedr,ig• •Adrp:-Xnist..retion;;14pen-,17etViten.:•;h1I•. ;:••••• ari<1.• • •: •• • • • - • .,, r. • : •. •. . . . "• •-••-IN WITNESS- WHEREOF '.H.tlie:: gaictiCiti of Newriort Beach • „ . ..„ , „,.. .has executed. thtr. .• • . .„. .„ .„ „ ..„ : aRrpement ,pursuant .' to •re...0014t4on..." Counctl dated the • its corporate)itatel'and seal to be suborjbed and afflxed hereto ••- v- •-;.• :::.: • •.: .;:• -•.:. -„:: • • ." • .••• ;. • H.-EH ::, .:: • .; • •.. • by the Mayor and HewprtH.Reaoh4Hfiitoil.;.':?;::1 • - . •: • - . . • .A - • . „.. . -„ " .;• • 23 24 26, • •'• • •"•, • , 31- 32 • „ '• , LBW orvrots OF OLA'N'CI,T!ICI,B1P55/1:4 R 11 RGEON• BUILDING 51:SU NTIT:ANA. '.• • .• „„4„;„ '• • • .17.4 • daST.It6t,'Ootober, 1939. ' ' • , • •• • • „„,„ • „ ' • „ : • •.,:,}"„ • :' ' ,• • ' • , • . „ „, „ , , •• .• %.•••.• • .•• I• '..: •.',:',„ -,,,;•„. •••• - • , • •,..,,,, •.., •,, • , #?. • '• ',;.;::::::-..-."..:..„ .....,-. .. ,....,......y., . -..„... „.„.„.. ..,...,„.. . y :',• ,. , yi: , .,.•,' •,,,' , , ,',• „. : ,y, • , , ,,, , , .. , : • ., ,, . , , ., ., ., ' . . ' ' ' -•/-':' ' ',::::'',., :.,, - :.„,,...,„. : • • ..., , .,•••• • • Party ot the ftrst part • , „ misty of the geoona pert RESOLUTION NO. WHEREAS; there has this day been presented to the City Council of the City of Newrort Beach a certain Agreement Amending Lease, dated the day of October, 1939, by and between City of Newport Beach de first party, and J. A. Beek, as party of the second part; and WHEREAS, said Agreement amending lease, provides that in order to increase the City's revenue and further that more houses may be erected upon the lands covered by lease dated July 18th, 1938, recorded March 9th, 1939, in Book 982, page 449, Official Records of Orange County, and amendment thereto dated February B, 1939, recorded March 9th, 1939, in Book 987, at page 183, Official Records of Orange County, the term of s„id lease is extended to November 9th, 1971; sad WHEREAS, the City Council ofthe City of Newport Beach • deems that it is for the beat interests and advantage of the City of Newport Reach that said extension be granted, and that the terms and conditions thereof are in all respects fair, just and adequate. NOW, THEREFORE, BE IT RESOLVED: That the Mayor and City Clerk ofthe city of Newport Beach be, and they are hereby directed, authorized and instructed to execute said Agreement Amending Lease, in the name of and on behalf of the city of New— port Beach, and that a duly executed Dopy thereof be delivered to J. A. Beek, the party of the second part therein mentioned. I herebycertify that the above and foregoing Resolution was duly and regularly passed and adopted by the City Council of the City of Newport Beach at a 1. regular meeting thereof held en the 1939, by thefollowing vote, to —wit: AYES, COUNCILMEN: day of 4,-;e4(.., , NOES, COUNCILMEN: ABSENT, COUNCILMEN: ATTEST: Mayor of the city of Newport Beach City Clerk AGRE tI ENT AM ENDING LEASE r THIS AGREEMENT entered into this 9" day of October, 1939, between the CITY OF N:TwPORT BEACH, a Municipal corporation of the sixth class of Orange County, California, hereinafter referred to as the CITY, and J. A. BEEK of Balboa Island, in the City of Newport Beach, Orange County, California, hereinafter referred to as the party of the second part. iI I TN3 S o T}i- - - Reference is hereby made to the "Lease and. Amendment ofFormer Lease" between the parties hereto dated July l8th, 1938, recorded March 9th, 1939, in Book 982, pare 449 of Official Records of said County, and to the a;aendment thereto dated February 6th, 1939, recorded 'Parch 9th, 1939, in Hook 98?, page 183 of Official Records of said County. Upon the conditions hereinafter stated, in consideration of the rentals from sub -lessees to the City herein- after mentioned, and in order to increase the. City'e revenue under the terms of raid lease b•.' qualifying thereof under the require- ments of the F. H. A. so that more houses may be erected upon the lands covered by said lease, under subleases thereunder, the term of e.=yid Lease is.hereby extended to November 9th, 1971. The conditions hereof are: 1. This extension shad ap--ly only to thoee lots or the land covered by said lease pet aside by said second party for residential purposes, upon which dwellings shall hereafter - be constructed or erected or the construction of which shall hereafter have commenced prior to November 9th, 1941, with,ingreee and egress thereto, which dwellings shall have been approved for loans to be insured by the Federal Housing Administration and financed in whole or in part pursuant to such approval. 1. 2. That from and after November 8th, 1962, (the end of the original term of said lease) all rentals and other payments thereafter payable by sub -lessees under all subleases of said land, which 'ball qualify under the terms hereof. shall be paid directly to the City by said subelesseee. The party of the second part hereby waives all claims to said rentals due from said sub -lessees and directs them to pay the same direct to the City, and said second party is hereby released from and after November 8th, 1962, from his obligation for payment of acreage rental and percentage of gross receipts rentals under said lease, with the said city. 3. That the annual rentals payable by said sub- lessees to the City from and after November 8th, 1962, during the term of this extension, shall not be less than the annual rental provided Wo be raid for the years 'prior to November 8th, 1962, under each respective sublease as to which this extension applies. 4. Any lot or parcel of said leased land set aside by said second party for residential purposes upon which a dwelling shell not hereafter h,.ve been erected or commenced prior to November 9, 1941, under the approval of the Federal Housing Administration, shall not be subject to the above extension and. in this connection it 1s specifically understood and agreed between s:.<id parties that this extension shill. only affect the properties herein mentioned which sh&11 hereafter qualify for a Federal Housing 'adminintreeien loan and which have been granted a Federal Housing Aeministration lotus between this date and November eth, 1941. IN 'isIlN :;` ':': is qe; the eeld City of Newport Beach has.executed this agreement pursuant to resolution o,' its City Council dated the day of October, 1939, authorizing its corporate name and seal to be subscribed and affixed hereto by the Mayor and City Clerk of the City of Newport Beach, and 2. 4 • • • the party of the second part has hereunto set his hand this da7 of October, 1939. (SEAL) CIT OF NEv;i-ORT By By Mayor City Clerk Party of the first part Party of the second cart 3. .•. . . : •••••.- 3 '• • 5 • 7 8 . • 15.. 116" . • „ . • 18% • " - 19: 20 21 22 -23., 25. : 26 27 28' . 29 30 31 32 LAW OFFICES OF IOLAN D. THOMPSON O GPURGEON BUILDING 1.M1:. ANA:CALIFORNIA. • :14144;:i;. GRIMM AND AILINDICENT 0T LEAS • ,. , .• . • • '• ' . •: ",' • • ' • ,. • . : ' • .., • . . • „ • ,• . • ' 1131-AGREICRE and • entered into this Jt• de& of ' L: .Tartw7, 'and between the City of Newport •Beachl: . • • .• .• . . . Munioipal..corporation4,;Of : the sixth class, of Orange Count:: • . California -hereinafter referred to as the party of the first •- . part, and J. A. Beek; of :Balboa Island. Sat' the City of Newport .' Satoh, .Orsage -County, Cal.ifornia.-Irertinafter referred to as • • : the -party of the second part. ,• • • . . ' . ....• 31::rs T fi $ ETIL : • /".. .• .:•••••••.•-• • • • ••-••- ••-• •-• WHRREAS, the 'Parties hereto- did, on the 1$th day of :.July, • . ' - ,..1938, enterintatan tirittument- "Lease and Anterithiseitt: of 'Former -.40680 whioh said .• sgre anent • .." • •-•bevered :and -:•affeoted the .. -real • property at.•:follows, • • :-- to-wit: • ... A parcel Of 'land situated in the Northwest. quarter ...• : . } 221).. of Section 7birty-five (310 Township' Six • :.• • 6) South, Range Ten (10) !est,. S.B.B.:•84 2.1 • Orange County. California,:more' partioularly doh,- ••• scribed as follows, to -wit: • • - '.••: .• . . . . . . • . . . . . . Beginning at U. 8. Bulkhead Station Nn..-200, as shown upon a- map entitled *Harbor LineastNewport Bay Harbor, California,:";approved May "d. 1936,,: ••.: by• the Secretary of 'tray And on file-Iin. the offic•.. of the United. States District Itilgtaesz at .Loa.' • Angeles California,;. running thrin0e..-Ifeet along tha • : .. • L..• U. S. Bulkhead line 147,80 finit:te U...3. •Stationt.• ••• No.- 137;-- thence Norih 390 48" Petit' along said Bulk• . head' line; 4535.53 feet; thenCe North:. 230 • 57 • 30-N• last 128.34 feet to an. angle potnt itt the ordinary '• •.' • high tide line of the -Per/iris Perren in...Nonsirt•-b117.. •'. •. • as described in -0aUrt 'Oise Na. 24026. of the superior •• Court of the State of California:4 -in and for the . • County of Orange; then.. South 390 484, Past:along •-• • said ordinary high•lide :line, '334.47 :feet ..•• • . . . most--.Weriterly corner -ot.•that.• certain panel :ars:Ind.,- • ••:. oonveyed to the :Oily of Ifertroyt•teaoh'brthi--Trwines, • ComPenr, as described in deed.yrioerdet September . ••• • 25th, 1939, in Book 306,'page .373 of.TOfficial • . . . . :.• . • 13 14 15 • 16 . 17 ],8 " 19 20 21 g2 23 24 ' 25 26 '27. 28 : . : 29 30 31 32. LAW OFFICES OF ROLAND THOMPSON Go SPURGEON BUILDING 5ANTA ANA CALIFORNIA Yar :467,•!. tY, r oorde of Otenge•i000:0144;':OaltfOrnitt.thedoe Sort 230. 57,-..:30, :gist? mitiing,..theTWOrtbwesterly lThe of said parcel ‘Of theruse South:- 710 : • • alangf. the Northerly 134, of said: pare0). • of:-.40•4:soutbJ.80..:41c, rat along the Northerly line Mf- Said passelof lento, satd Northerly line •bating:Ibe southerly lint • of ILLOSAireidc brivei-50;413:01,4ttliehm0#0004.3.2.20[ fat to a point: th thelk:8. Qovt. Bulkhead boliweeaftr: 5. -Station. . Nos. 101 an4;200; thence INS% -taw* said tlinPrheadi:14104, WIC RS • feet to the • , wine of beginning, 4.100"1,161.4:-EIPOrilibnatIOS -01,14rn"*.•-• :•‘11) sores. • •: • - That said agreement hereinbefore referred to is here- after designated "Beek" s Lease /to. 2" and said Beekl's Lease , . • Jo. 3 is by:reference--thersto 0:-.,,..sade apart :bilreOf to tbe sate extent and purpoea es tY.•-• said -Seebo..-s..1..laiM;)10.••2, wsn - set mul-and.ineeipOrated - herein: wardby word; and • • -.• • • • •••• • ..• • :-• -•..-••• • •... . • • . • • ingREAS lo-• the party -etthe: easinii, part intend& to...ssabdi•••;•• _•••• • •• • - • • • vide • into refldsnttal 4.--0:01.114,C• Or of ).0444:::tavirt • • „.- . . „ . -;, • deegribied .prOperty,T,-trhieh:, said, above -described • property •.• • . ..:„. : ••• • .• • .• • • •• laidi?boeb,iiviLelee.,•!a- 2, as aforeeaid;and inarty:;:nr*her,proposes.,..c su ..• i'said,entrye.:TdeecibeveadyPreefi,ceerrt.ytL"iteo propoa*d to • • •••-. • .-•• . • • •. •.. • Edna; or °°13-bdli:idect . • (LH:, be • su . ;basis: and by. seogn uponand .7°•••aritli.iisMeHo • ::;••: • , • ••• •• • • • • • • • •••• •• ...±04.i.ty.P.Oltoposeiv and ititendsi:,:-*C.;91,046*.::::eici. .:S41!40110 . • • . prOperty,•.aCcee]..diefliCed...1t.0•;:aeittits' the •-iliblealsonE:there0t • •• that'. :tharMila•.:notj.:du;Ang:,•tne. :terC,,ofi•their::•..lansee,;•11ote:.• their eald sub4leases;bk.•.:reasna-•of seacini...Par.:*r.ta.defaMlt••,....:•.; • .E• wider •thel:. tere0:."Ot:,,Sait. /3.9010 e •Lease ; No 2 as attic:Said ;, and • : ,;: •,,•, • iin*lett*na or sub -teasing :Of said pro*. • .." pe0p wili materially increaeC::::firet parepte reeentne under • tbe terms ot said "BeelOU, Leal. No. 2 es aforesaid; • and • ., • AYHER104-4110..9.ity 00Uncirot.thcOity Of Newport Bach, • . • deems .020"; It le: for the beat interests of :staid .Otty. that page 2 , 14 15 16 17 18 19 20 21 22. 23 24 25 26 27 28. 29 ROLANO THOMPS'ON- .' 210 OPURGEON'BUILOING •SANTA ANA, CALIFORNIA 575. said Beelr's Lan No.` 2 beamended in the manner hereinafter set forth. N©W, THtRSTORZ, THIS AoRmx1Vt 11 R, nt irgst8%T$3 • That for arid. 1n eoneideration, ,of the: premises and other . valuable' pone ideration/ , it;ie• eutually•agrtot 'between saki parties, ;se followat That in the event; said eeoond party;•ehala dsfault'%iA.:1 making of the payments to be made'to the party of tho:first. part asi provided for.; in Fieek' a ,Lease "No.:; 8,. ae aforesaid, . that said default shell not in any racier'"affeot any eub- lessee of real property herein •described, "provided, however,. .`.. said sub -lessee eha►11 in the event o1 such -default, pay to:..• firet party, and ].her.is hereby given the right and privilege;,`.: of paying to first party the yearly rentals provided for° in his • Said sub -lease,: and upon said ,payments being made. to ,laid •Oity by said sub-leesee,.said sub-].ease.eball remain :in full• fore. azd effect during the tAre:thereof (providing said• tern thereof.;apall,not exceed theterm provided for in.said' Beek'. Leads Ne. $. ',Add rt; ie farther understood and .agse.@Q : between said parties that any sub -lessee: of property herein. describedmay,-at his option, pat •-hie pro=rat8 01 the_aareags,:, and peroentag. reata>ts prow dad 1.or is paragraph ," (0) of . said Beek's„Lease No, 8, to first party,` and the,,balanee to Nxoept as,said:Beek'a Lease lio, 2 shall have been *ended': or ohanged by this, agreement, the:`.same ehail remain in full d. fords, and effect, parties hereto agreeing that said'lease ass, in all. respsaite, been fully:aomplied with to Ste hereof.: I11.IIT$281-1102""00, ibe-firet party bat executed Ishii , oontraot pursuant to regain% ion of ite 01X3r . �otmctl0 dated the • day of 0 1939, authorising its corporate name and ,seal to be substrribed and affixed hereta. by the Mayor and City, Clerk of the City of "airport Beach, and the party of the second part has hereunto set his hand the day . and year first above written. ortt or NOPORT BEAD" Varbr Cit7 Clerk 26 2'7 28 29 30 31 32 looni3OrriCES 01? • ROLAND THOMPSON 210 9PURGEON 31.111_131146 SANTA ANA: CALIFORNIA AGREEMENT AND AMENDMENT 07 LEASH me THIB.AGREEMENT, made and entered into this day of 2a11uiryr, 1939, by and between the City of Newport Beach, a municipal corporation, of the sixth class, of Orange County, California, hereinafter, referredto as: the party of the first part, and J. A. Beek, of Balboa Island, In the City of Newport, Beach, Orange County, California, hereinafter referred to as the party of the second part. .W I T N E 9 9 E T H s WHEREAS, the parties hereto did, on the 18th day of July, 1938, enter into an instrument in writing therein designated "Lease and Amendment of Former Lease" which said agreement covered and affeoted the real property described as follows, to -wits A parcel of land situated in the Northwest quarter ( ao Section Thirty-five ,Six 6) th,angeeen10)WestSB.B.&M. Orange County, California, more partioularly de- scribed as follows, to -wit: Beginning at U. 8. Bulkhead Station No. 300, as shown upon a map entitled "Harbor Lines, Newport Bay Harbor, California," approved May 2nd, 1936, by the Secretary of War and on file in the office of the United states Distriot Engineer at Los Angeles, California; running thence West along the U. 8. Bulkhead line, 147.50 feet to U. 8. Station No. 137; thews North 390 480 West along said Bulk- head line, 535.63 feet; thence North 230 570 30" Met. 126.34 feet to an angle point in the ordinary high tide line of the Pacific Ocean in Newport Bay, as described in Court Case No. 24026 of the superior Court of She State of California in and for the County of Orange; thence South 390 460 East along said ordinary high tide line, 334.47 feet to the most Westerly corner of that certainparoel of land conveyed to the City of Newport Beach by the Irvine Company, as described in deed recorded September nth, 1929, in Book 306, page 375 of Official Re - Pace 1. • • 1 cords of Orange County, California; %hones North 280 57' 30,1 East alOng the Northwesterly line of said parcel of land, 317.57 feet; thence South 710 54' East along the Northerly line of said parcel of lands:290.'24 feet; thence South 250 43' ;WC along the Northerly line of said parcel of land, said Northerly line being the Southerly -line of Bayside Drive. 505.73 feet; thence South'432.20 feet to a point in the U. $. oovt. Bulkhead line between U. S. Stations Nos. 101 and 2004 thence West along said Bulkhead line, 584.22 feet to the point of beginning, containing apProxiaately eleven (11) 40ree- that said agreement hereinbefore referred to is here- after designated oBeek's Leaseyo2* and said Beek's Lan No. 2, is by reference thereto, side apart hereof tcthe same extent and purpose as if• said Beek's Lease No. 2, were getout and inoorporated herein word by word; and SUMAS, the patty of the second part intends tocubdi- vide into residential lota, a portion or all of said above desoribed property which said above described property is also described in said Book's Lease No. 2, as aforesaid; and WHEREAS, said secourparty further proposes to sub -let or sub -lease said above described property so proposed to be subdivided to various individuals for a tern of years and upon a yearly rental basis; and wHEREAS„ it is neoiseary under the plan whereby second party proposes and intends to sub -let and sub-lease.said property above described to assure the sub-leaseee thereof that they will not, during the term of their -wit -lease. lose their said sub -leases by reason of second party's default under the terms of said Beek's Lease No. 2 as aforesaid; and WHEREAS, which sub -letting or sUb-leasing of said pro- perty will materially increase firstpattyli revenue under the terms of said Besk's Lease. No. 2 as aforestaid; and WHEREAS, the City Council of the oity of Newport Beach, deems that it is for the best interests of said City that said Beek's Lease No. 2 be amended in the manner hereinafter set forth. NOW, THEREFORE, THIS AGREEMENT FURTHER WITNESSETHt That for and in oonsideratlon of the premises and other valuable considerations, it is mutually agreed between said parties, as foilowei That in the event said second pasty shall default in the making of the payments to be made to the party of the first part as provided for in Beek's Lease No. 2. as aforesaid, that said default shall not in any manner affect any sub- lessee of real property herein described, provided,. however, said sub -leases shall in the event of such default, pay to first party. and he is hereby given the right and privilege of paying to first party the yearly rentals provided for in his said sub -lease. and upon said payments being made to said Oity by said sub -lease, said sub -lease shall remain in full force and effect during the term thereof (providing said term thereof shall not erased the term provided for in said Beek's Lease No. 2). And It is further understood and agreed between said parties that any sub -lessee of property herein described may, at his option, pay his pro-rata of the acreage and peroentage rentals provided for is paragraph "(c)" of said Beek's Lease No. 3, to first party. and the balance to said eecond party. Except as said Beek's Lease No. 2 shall have been amended or changed by this agreement. the same shall remain in full force and effect, pasties hereto agreeing that said lease has, in all respects, been fully complied with to date hereof. STATE OF CALIFORNIA, ) County of Orange )es. On this 4th dey of March, 1939, befre me, D. D. Paterson, a Notary` Public in and for said County, personally appeared Frederick M. Lang and Bonnie Strayhorn Lang, known to me to be the persons whose names are subscribed to the within instrument, and acknowledged that they executed the name. WITNESS my hand and official seal. ((SEAT.)} D. D. Paterson Notary Public in and for said County and State. The within Document hes been indexed as a Trust Deed, and by Request has been also indexed as an Aaeignment of Rents. J. F. Sidebottom, County Recorder. 6438 Recorded at Request of Security Title insurance & Guarantee Co., at 1 Min. past 9 A.M., Mar. 9, 1939, in Book 982, Page 446, Official Recorde of Orange County, California. J. F. Sidebottom, County Recorder. Helen Allec COMPARED Shirley Phelps LEASE AND. AMENDMENT OF FORMER LEASE. TEIS INDENTURE made and entered into this 18th day of July, 1938, by•aod beteeen- - CITY OF NEWPORT BEACH, a Municipal Corporation of the Sixth Class, the party of the first - - part, and-J. A. BEEF, of the City of Newport Beach, Orange County, California, the party of'_:..':: the senond part, hereinafter called Lessee, WITNE88ETH: - - - - Referenoe Se hereby made to the written lease from said City as Lessor to eaid- J. A•. Beek_as Lessee, dated November 9th, 1927, covering real property of eeid City.of an ®ee- of approximately nineteen acres, which lease is now, and since its said date hoe-been,-tn -full-. force and effect, the Covenants and conditions therein contained to:be performed owthe part _[ of said Lessee, including -payment of rentals to date hereof, having been performed, and. - -- -. reference is also hereby made to the written amendment of said lease deted.Marth-3rd,. 19jkT-• Said leased -premises have been filled and leveled and the Easterly portioa;-oeatalp1.'-, Sng approximately eight acres, was further Improved by Leeeee by oonetructiOn thereon Of- boat_:: - landings, docks and a yacht basin, and lt.1e now desirable to further improvethe-hereinafter+' --described WeirteTly portion of said premises and to increase the Csty's revenue's ender Ate • Percentage rentals under said lease. The said Why portion of said premises eoneieteYn- part -of tide lands granted to eaid City by the State of California and the remainder- thererW-<. is -t tans abutting upon eeid tide lands. - - - - In the Judgment of the -City Council of raid City the nee of,eald treteitteety p. said tide -lands -and said uplande.abutting thereon for industrial uses-iaand will. be inlffdml to the best interest of said. City, and by-reaaon thereof and in consideration of the cove of Lessee herein, said lease iehereby emended and _ as follows: - - (a) That- said property described in said lease be and tke same Se.hereby-1.eased 'a" 'Whseeeff for a -term of twenty-four years, three months and twenty deye lros the data bareaf, ending November- 8th, 1962, upon the same. terms, covenants, :unit/Mona and rentals: exe ..,. ae.herein altered and provided. - (b)1?i t the Westerly portion of :Mad premises,.-hereinafterrefereed to aq; #ep$erly.•Portion,' described as follows: - -A pasoel of:land situated in the_Morthweet-.quarter (NW} mat Sect141,01fl gcWA'ship..Six-. t6).Bouth, :Range•Ten (10) Weat,-B.B..9. & M oresans Et •;r istat ,ti • pemticsA rly•daenribed.as .follows;. t°°°jjjwit: Begtanlbg et'U e. Bulkhea tation No, 200 .es shawa fiPon B eaf �1iti Newport Harbor CRLifordi .approved May 2nd 1936, *.1. tDa"'tke United SL DS strict giegiue'e'&.at ids Wens & 1:e,ft. B 6ulkhead ne 147. W fast-' .g Bnllthead ltn "v3?`33 feet thins to an angle point in the ordinary high tide line of the Pacific Ocean in Newport Bay, as described in Court Case No. 24026 of the Superior Court of the State of California, in and for the County of Orange; thence South 39° 48' East along said ordinary hlgt(tide line, 334,47 feet to the most Westerly corner of that certain parcel of land conveyed to the City of Newport Beech by the Irvine Company, ae described in deed recorded September 25th, 1929, in Book 306, page 375 of Official Records of Orange County, California; thence North 23° 57' 30" East along the Northwesterly line of said parcel of land, 317.57 feet; thence South 71° 54' East along the Northerly line of said parcel of land, 290.24 feet; thence South 85° 43' East along the Northerly line of said parcel of land, said Northerly line being the Southerly line of Bayeide Drive, 505.73 feet; thence South 432.20 feet to a point In the U. 5. Govt. Bulkhead line between C, S. Stations Noe. 101 and 200; thence West along Said Bulkhead line, 684.25 feet to the point of beginning, containing approximately eleven (it) acres; be and the same ie hereby leased to Lessee for park, recreational, reeidentlel or educational purposes not inconsistent with any trust imposed upon the tide lands by the constitution of the State of California. (c) That for "Said Westerly Portion," Lessee shall pay to the City, on or before the; 9th day of November of each and every calendar year during the said term to and Including -the Sth day of November, 1942, Thirty Dollars ($30.00) per acre per year; (ram the 9th day of November, 1942, to and including the Sth day of November, 1947, Forty Dollars ($40.00) par acre per year; and from the 9th day of November, 1947, to the end of said term Fifty Dollars (450.00) per acre per year. In addition to said sums, Lessee agrees to pay said City, until November 8th, 1947, tiro per cent (2%), and thereafter during the remainder of said term five per cent (5%), of all sumo he ahall receive from the use of "Said Westerly Portion,' er any part thereof, from whatsoever source, including all sums reoeived from sub -tenants, and It is understood and agreed that eald percentages shall be percentages of the gross and not of the net returns, and that payment thereof shall be made on the 15th day of January of each and every calendar year commencing January 15th, 1939. (d) That for said "Easterly Portion,' Lessee shall pay to the City, up to November 8tb, 1952, the rental and percentages provided for in said lease dated November 9th, 1927, and 'for the remainder of said term shall pay to the City, on or before the 9th day of November of each and every calendar year, Fifty Dollar(' (S50,00) per sore per year, and in addition theret Lessee agrees to pay said City, during the remainder of said term from November Sth, 1952, to November Sth, 1962, seven and five -tenths per cent (7.5%) of all of the gross sums he shall receive from the use of aaid "Easterly Portion,' or any pert thereof, from whatsoever source, tiding all Bums received from sub -tenants, and payment thereof shall be made on the 15th ?ire January of each and every calendar year commencing January 15th, 1953. The term "Easterly Portion" as used herein.is intended to describe all of the *+property oenveyed by the lease dated November 9th, 1927, hereinabove referred to, exoept that pe,Ptlem at maid property hereinaboie referred to as "Said Westerly Portion." A11 provisions of said lease dated November 9th, 1927, not herein emended shell n in full force and effect. i IN. WITNESS WNENEOP, the party of the first part has executed this °entreat pursuant Ameoletion of ite(Oity Council dated July 18th, 1938, authorising its oorporategame and seal-.. ;:sehear9:lad-and affixed hereto by the Mayor and City Clark of the City of Newport Reach, ..14M ,party of the second part has hereunto set hie.hand. ((ant PeRATE SEAL)) CITY OP NEWPORT REACH, By Harry R. Williamson, Mayer. �;. Attest ?real/ 4. Rinehart, Clerk. Party of therFirst Part.- J. Eileen, L etary blie im. and ter'. thi. talc at SCet.,.. Fra •'. L. %nahePt'i Ntc4,43Ale-the JIs of Newpo t Reaeb, t e terpeapt;oa;: LNl�t 9R �,eho atetts8 tuft?" d to IN WITNESS WHIREC7. the first party has executed this contract pursuant to resolution of its Oity Council. dated the day of . 1939, authorising its corporate name and seal to be subscribed and affixed hereto. by the Mayor and City Clerk of the Oity of Newport Beach. and the party of the second part has hereunto met his hand the day and year first above written. CITY Or NEWPORT BIAOH, By Mayor By City Clerk Party of the first part. Party of the second part. 1 1 STATE OF CALIFORNIA, ) County of Orange )es. On this 8th day of )Larch, A.D., 1939, before me, Eerl. W. Stanley, a Notary Dublin In and for said County and State, personally appeared J. A. Beek, known to me, (or proved to me on the oath of _),to be the person whose name Is subscribed to the within Instrument, and acknowledged to me that he executed the same. IN WITNESS WHEREOF, 1 have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. ((SEAL)) Earl W. Stanley Notary Public in and for said County and State. Notary Public In and for the County of Orange, State of California. My Commission Expires July 31, 1941. RESOLUTION NO. 1371 WHEREAS, there has this day been presented to the City Council of the City of Newport Beach a certain Lease and Amendment of Former Lease, dated the 18th day of July, 1938, wherein the city of Newport Beach is the party of the first part and J. A. Beek Is the party of the second part; and WHEREAS, said Leese refers to lease from first party to seoond party dated November 9, 1927, and also written amendment to said lease dated March 3, 1930, which said lease 1s now in full force and effect; and WHEREAS, the leased premises have heretofore been improved by the party of the seconds part and said party of the second part desires to further improve the westerly portion of the leased premises and to increase the city's revenues under its percentage rentals under said lease; and WHEREAS, the westerly portion of aald premises consists in part of tide lands granted to the city of Newport Beach by the state of California, and the remainder thereof is uplands abutting upon said tide lands, and in the Judgment of the elty Council of the city of Newport Beach the use of the westerly portion of Bald tide lands and said uplands aforesaid, for industrial ueee is and will be inimical to the best Snterestepf said city that said former lease be amended as follows: That the property described in said lease be leased to lessee for a term of twenty-four years, three months and twenty days from the date of said leash, and ending November Nth, 1962, upon the same terms, covenants, conditions and rentals, except ear, hereinafter set forth, to -wit: That the westerly portion of said leased premises be leased for park, recreational, residential or educational purposes, to the lessee; that for said westerly portion lessee shall pay to the city, on or before November 9th of each year during said term, to and including November 8, 1942, $30.00 per acre per year; from November 9, 1942, to and including November 6th, 1947, $40.00 per acre per year and from November 9, 1947, to the end of said term $50.00 per acre per year; and in addition thereto lessee agrees to pay said city until November 8, 1947, 2% and thereafter during the remainder of said term 5% of all sums he Shall receive from the use of said Westerly Portion of said leased premises, all as in said lease provided; and WHEREAS, for the Easterly portion of said leased premises Lessee shall pay to the city up to November 8, 1952, the rental and percentages provided for in said lease dated November 9, 1927, and for the remainder of said term, shall pay to the City, on or before November 9, of each year $50.00 per acre per year, and in addition thereto agrees to pay said city during the remainder of said term trot November 8th, 1952, to November 8, 1962, seven„-,; five -tenths percent (7.5%) of all the gross sums he shall receive from the use of said' portion or any part thereof, all as in said lease more particularly set forth; and WHEREAS, The City Connell of the pity of Newport Beach deems that it is for the - interests of said city of Newport Beach that said lease be entered into with the said J;A3 NOW, THEREFORE, BE IT RESOLVED; That the Mayor and City Clerk of the pity of Newport Beach be, and they are hereby directed, instructed and authorized to eveoute eald lease in thename of and on behalf of the city of Newport Beach, and that the City Clerk delivers,. Fa duly executed copy thereof to the Lessee therein nested. I hereby certify that the above and foregoing Resolution was duly and regular*... Passed and adopted by the City Council of the city of Newport Beach at an adjellefted meeting thereof held on the l5th day of July, 1938, by the following vote, to -site AYES, COUNCILMEN: Cordon, Claire, Whitson, Brown, Williamson. NOES, COUNCILMEN: None. ABSENTi COUNCILMEN: None. ((CORPORATE BEAi)) I, Frank L4 A .. ; ageing to be a Eye.sal STATE OF CALIFORNIA, ) County of Orange )ss. On this 8th day of March, A.D. 1939, before me, Earl W. Stanley, a Notary Public in and for the said County and State, personally appeared Frank L. Rinehart, knnwn to me to be the City Clerk of the City of Newport Bench, the Corporation that executed the within Instrument, known to me to be the person who executed the within instrument, on behalf of the Corporation therein named, and acknowledged to me that such Corporation executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. ((SEAL)) Earl W. Stanley Notary Public in and for said County and State. Notary Public in and for the County of Orange, State of California. My Commission Expires July 31, 1941. 6464 Recorded at Request of Earl W. Stanley, at 2 Min. past 11 A.M., Mar. 9, 1939, in Book 982, Page 449, Offtoial Records of Orange County, California. J. F. Sidebottom,County. Recorder. Helen Allec COMPARED Shirley Phelps 6471 THIS DEED OF TRUST, made this 7th day of February, 1939, between FRED W. BRINKMAN and GRACE M. BRINKMAN, husband and wife, herein called TRUSTOR, ORANGE COUNTY TITLE COMPANY,a corporation, of Santa Ana, California, herein called TRUSTEE, and FIRST FEDERAL SAVINGS AND LOAN ASSOCIATION OF SANTA ANA, a corporation, herein called BENEFICIARY, •WITNEBSETR; That Truetor GRANTS to TRUSTEE IN TRUST, IRREVOCABLY, WITH POWER OF SALE that property in the County of Orange, State of California, described as: The East one-half (14) of Lot Forty-four (44) of Tract No. 57, °California Avocado Orchard Acres, as shown on a map recorded in Book 10, page 3 of Miscellaneous Maps, records of _Orange County, California. including all appurtenances, all easements used in oonneotion therewith, all water and water rights (whether riparian, appropriative,'or otherwise, and whether or not appurtenant) used in ',eonneetion therewith, all shares of stock evidencing the same, pumping stations, engines, aaaahtnery, pipes and ditches, Together With the rents, lames and profits thereof, Subject, �_lowever, to the right, power and authority hereinafter given to and conferred upon Beneficiary . to oolleet and apply such rents, issues and profits. FOR THE PURPOSE OF SECURING (1) Payment of the sun of $850.00 with interest thereon " ording. to the terms of a promisaory.aote or notes of even date herewith, made by Truster, c#laiableTto order of Beneficiary, and extensions or .renewals thereof; (2) Performance of each z;_aemeat of Truetor herein contained; (3) Payment of any and all obligations now or hereafter :!_ fraa_any Trnetor hereunder to Beneficiary and secured by mortgage or deed of trust of reperty, or stated to be secured by this Deed, whether such obligation be (a) joint or ; (b) direst, indirect or -contingent; (o) due or not; (a) payable to or otherwise.' by Beneficiary; (e) evidenced by promissory note or otherwise. • 4: TO PROTECT TES SECURITY OF.THIS DEED OF TRUST, TRUSTOR AGREES: (1)'Properly to Care for and keep the property in good conditioa.and simian ltOetlirremove or demolieh any building or iaprov/nent thereon; 4-400oriets or restore promptly and in geoa and workmanlike. means 'an bniti, .", may be oonetrsoted,.,damaged or dectleyi4._nbereaaend po r` [ an* s or; to commit or permit Haste of tie prgplrty). ,:eompiywith all ,laws, oewrngntw„ Dealt;... 3 4 5 s 7 8 .9. 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 LEASE AND MF24D1 Et°T OF FORMER LEASE. THIS INDENTURE made and entered into this: lath day of,.July, 1938, by and between the CITY OF NEV+PORT BEACH,a Municipal Corpo.-, ration of the Sixth Class, :the party,of the first part, and 3 A. EEIC, of the City of Newport wadi, Orange County, California, the ;party of the second part, hereinafter walled Lessee., 1 W ITNESSET.II: Reference is hereby Made to the written lease from paid Cit las Lessor to said 3. A. Beek as Lessee, dated November 9th, 1927, covering real property of aaid City,of an area orePernOcimateITH. jnineteen acres, which lease is now,,: and mines its said date -has ebeen, in 1'u13 force and effect, the covenants and conditions there- i.in contained to be_ performed. on the part of said. Lessee/ ineluding ;payment of rentale to -date hereof, having been perfor:aed, and ref-: erence is also hereby made to the written amendment of said lease datedreh 3rd, 1930. Said leased pramiees lave been filled and leveled and the• `::asterly.portion, containing approx4mnte17 eight acres, was two. it.her improved by Lessee by construction thereon of boat landings, !docks and.a.yacnt basin, and it is now.oesirable to further.im- prove tie hereinafter described ::'esterl portion of said premises; land: to increase the Citfl revenues under its percentage rental®; ;under said lease. The aaid '=;+esterlT- portion of:said premises 'consists in part of tide lands granted to said City by the State f-California andthe remainder thereof ie:uplands abutting upon said. tide 'lands. In the iudflnent• of the Cit<, Council of aaid Citi, :the use of said Westerly portion Of —said tide lands and said uplands shutting'• std,ereon for induatrial.uses is and will be. inimical.. to the best jinterest of said City, and Ly reason thereof and in consideration 14 15 16. 17 18: 19 20 21 22 23 24 25 26 27 28 28 30 31 of the covenants' of Les and modifiod'es follows: (n) Thatsaid property described. in said lea's ease is 'hereby leased -.to Lessee for 'a; ,term of , twenty-fo,ir veare,- three months and. twenty days from tho.date.hereof, and_ ending *ember E3th,.1062, upon the ease terns,_ covenants, conditions an rentals excepting as herein altered. and provided. (b) That the eeterly portion of.acid premises, herein- referred: to as "Slid '::eaterly ?'ortian," daecribed an. fellows A parcel of:land,eitnated lA the Northwest quarter -- (F^.'j of Section i? hirty-five: (35 ), Township Six (0) Louth, Range Ten (1 ) :.eat, S. P. P. Orange County, California, more parti.oularly de- scribed as follow6, to -wit: naCiinning at Uo.?. ulkhoac' 8tatioh" NO, 200, as: shown upon a map entitled "nether Tires, Newport way Uari,or, California," approved May 2nd, 1936, by the Secretary of ter anc'' on -file in t'28 office of the United ttatesjAetriet -nccineer at Los Angeles, r aliforniaj runningthence ence -West along --the ":ulkheac'. line, 147A50 foot to `J. S. Station ;to. 137; .thence Borth 3A 48' 4eet alone said r;,;slk head line, 635.63 feet; Forth orth 23° 671 30" neat, 126.34 feet tc an angle point in the ordinary hi ;h tide line of t':he 'acific cceen in Newport ray, Se described. in Court Case '- o. 24026 of the S;perior Court of the.State of California, in and -for the County of Oran e; thence South 39° 4€1 East along said ordinary hi _'a tide line, 334.47 feet to the '"lost 'resterly corner of that certain parcel of land conveyed to -the City of ;;;.ewport :'.each by the Irvine company . as .descrit•ed indeed recorded ,,ater,.ber 25th, 1929, in nook 306, page 375 of Of.ft¢ial 'ac- oria of Cringe County, California; thence TiOrth-: 23u 57' 30" East a1orr the `:ort:weaterly lino of !aid parcel of lane', 317.5T fectj thence South 71°-- 541 hest along, the Northerly line of said ::'reel of land, 200. .. fact; t .ends . a:ontfi 85° 43.' `r'aet slo% the "ortherlj,Stne of satd parcel of land, said `,ortrherlr lino bein, the couthorly-line Of. !'aveids Lrive, 505.73' reitj ,thence South 4'W.20 feet to a:ooint in the 7. s. ';:ova. 6ulk"eeed dine `°otwsen U. c:,, Station. °toe. 101 and -200; .thence e?+ alone said u1 2oac],1ine, 504,25 feet to. the point of .he, innin ;, containing, ;awwrorinatel4 eleven (ll) acres; and the:mime is :hereby leveed to Lessee .for perk, recreational idential or educational purposes not inconsistent with any ghat imposed upon the tide .lands by the constitution of the Stet' 2 6 10 '11 12 13 14 15 16 17 16 :19 20 21 22 23 24. 25 26 27 Of -California.. (c) That for "Said Westerly Portion; Lessee shall pay to the City, on or before the 9th day 'of November of each and every calendar year- during the said. term to and including the 8th day of November, 1942, Thirty Dollars (r30.00) per acre per year;-fr the 9th day of November, 1942,.to and Including the 8th day of November, 1947, Forty Dollars (040.00per; acre per year; and fro the 9th. day.of November, 1947, to the end of said term Fifty.Dol. lays (50,00.).per acre per year. In addition to said sums, Lessee.agrees to pay said City, until November 8th, 1947, two per. cent .(2%), and thereafter during the remsinder.of said terra five per cent (5%), of all•sums he shell receive from the use of "Said 'ses.terly:Portion," or any part thereof, from whatsoever source, including; all sums received from. sub -tenants, and. it is understood and agreed that said percentages shall be percentages of the gross and not of the net returns,,, and that payment thereof shall be made on the l5th dey January•.of each and every calondar•year commencing January 15th, 1939. (d) That for said "Easterly 'ortion,"'Lessee shall pay to the City, up to November 8th,.1952, the rental and percentages provided for in said lease dated November 9th, 1927, and for the remainder of.said term shall pay to the City, on or before the 9th day of November of each and every calendar year, Fifty Dollars. �- (�$0.00),per acreper..year, and in addition thereto Lessee agrees. to pay said City, during the remainder of said. term from November II8th, 1952, to November 8th,.,1962, seven and five -tenths per cent (7.5%) of all of the gross sums he shall receive from the use of saic'. "Ea:sterly Portion," or any party thereof, from whatsoever so 29. including all sums received from sub -,tenants, and payment thereof 30 aha11 bq made on the 15th day of January 'of 31 �dar .year commencing; January.15th, 1953. each and every Galen 6 • 6. 9 10 11 •12 13 14 • 16 16 17 18 19 20 21 22 23 24 25 26 27 28 29: 30 31 The.te.. !$asterly Portion":as usedherein is intended to describe:ali of the.,property conveyedby the lease dated November 9th, 1927, horeinabove referred to, except that portion of said property hereinsbove referred to as "said Westerly Portion." Alt provisions of said lease dated November 9th, 1927, not herein amended..shall remnin in full force and effect. IN :$ LTNEr.S VIIEREOF, the party of the first hart has execute thfs..contract pursuantto resolution of its City Council dated July 19th, 40, authorising its corporate name and seal to be subscribed:and affixed hereto by the Mayor and City'Clerk of the City of !ewport.`keaah, and the party of the second part has here unto set his hand. By HARRY f ZI LLIAn SON t,?a7er Attest: FRANK L.dlerk.RT: ti tART P rt * of the "First :'art.. J..A.REEK .. Lessee. i Tate IEZN? iRE of Agree*** Made and. eflbotted intb'this 3 day of March, 1930, by and baleen the ; t ity of Newport Beach, a .maudaipau, oorpanation, of the sixth class, of Orarge County, Oalifoania, hereinafter referred to as the party of the first part, and J. Alt:;10tek.and OABL B. BEE$, his wife, of the City of Newport Beach, orange Oounty. California, hereinafter referred to as the party ofthe sseand pert: That for ind inconsideration of the mutual consort of the parties hereto and the matutal benefite aoareeing anal to. accrue to the parties hereto, and other valuable considerations, it is hereby understood, eovenanted and agreed by and between. said partiesthat that certain In&enture of Lease made and.entor-=. ed into the 9tb.da.y of Novenber,1927) by and between.the City of Newport Beach, a municipal corporation of the sixth alase,aas party of the tint per, and J. A. Beek of the City of Bewpert •Besoht County of Orange. State of oslifoxnia, as party of the seoond part, be, and the saau is hereby altered and .amended as follows, to-wite It is understood and agreed that that oertaia pnagraph contained ort page 1,; lines 8 to 15 inclusive, of said teaase.,t n. tioned and reading as fella*, to -wits 'That far and in consider- ation of the paye>aent of the rent and the psrformaance of the: oovc- nants contained herein on the part of the party of the.asoond part and in the manner hereinafter- stated, the party of .the first part dose hereby laces, demise and let unto the party of the' seoond part for. the purposes of commerce and navigation,': those cert.aai* properties hereina fter described as. follows, to -Mitts., shall be and .the. same is hereby stricken Prom said lease, and the following paragraph inserted in lieu and stead thersof,.:to-wit'E itehat far and in consideration of tie Parweeh et the rent and the perfareance of the eirreasults eontaited herein on the part of the party of the seend part 8.nd in the sane nes hereinafter stated; the party of the first pert does hereby lease, demises aid let lust* the party of the ascend part for the puxpoene of ease and navigatioa; tal for tai. ether 1 purposes, those Gestate properties here- inafter deeoribed as follows; tot -wits". It ie empreesly understood and agreed by arta between the parties hereto that said lease of Noverber Othp between said pastime aforesaid, as altered and amended tall be and the see ie hereby ratified arid confirmed by the respective pasties hereto, IN wzrnas ta2flt07, the party of the first part has by Resolution of its City Catemil dated the 3rd day of March. 1930, authorised its corporate name to be signed and its eorporate seal to be affixed by the Weyer and City Mark of the Oily of Newport Death %hereunto duly authorised this 3rd day of throb; 1930, and thepartiesef the second part have hereunto set their hands and seals this dvd day of iharekt, 19301, OITT Of SPORT SUMS, a Ittatiwipal ecerpotation, Attests Clerk — aitt of Nutty af tratfizat ;tart • \ . A Fs tia_ 0:•le; ,•.: Pisisties:OtTthe.,•seeezil:PartH:.•-..• ••••••• MICAS, ROAM Thompson, city Attorney of the pity: of Newport Beach, hbs, pursuant to ixsrtzuetiona of the city Oauxaoiil of the oitp' of Newport °Beach, prnpaared end presented to said aty bouncell ffl its ooneideration, a certain a grsendent anasading and 'altering as certain lease made and entered into the 9th day of November:, 19t't, by and between the Gity of >,Newport Beath, as party of the tiret pert, and J. A. Beek of Newport esaaah, as party of the second part; ant WHEREAS,said ereemcnt altering and amending said lea having been day oonaidae and it opt -ring that the :sue has been amended in a000rbdawe with the instructions heretofore given by mid City ooaxtatl; NOW, Ti3 RNFORE, BE IT REBOLfD* That said agreement dated this and day of Soh, 1930. by and batmen the Oity of. Newport Beach, as party of the fiaaxt part, and J. A. Beek and Qarroll B. Beek, his IWO, as parties of the second part , emend.. ;. ing and altering that: oertain: agreeaei*oS lease heretofore entered into between said parties and dieted November 9tb, 1927, be, and the same is hereby approved as mitten. BE IT TURTRER MOWED! ! That said contract be, and the same is hereby approved as written, by the Qity council of said City of Newport Beach, and the Mayor of eaid City and the City Clerk of said City shall, and they are hereby authorised to sign the saw ° on, behalf of said Miry, and the Clark le directed to have the paaart¢es of the second part, J. A. Bock end. aanoll Be Beek, hie wife, execute said agreement wtt d t two days from date hereof, and the saidagreement shall there be filed and become a valid agreement as between said parties. heraty tomtit* that the foregitisog itosalution waa duly and ru1at.y passed by the dity Council of tho City of Unoort Beata at a regular notting thereof, held tes the 3rd day of Starob, 1930 by the following vote, to -wit: Alta. COUNCILMAN; NOES, COUNCILMEN: ABSENT, COUNCILMEN! Arrive t (SEAL) Oink of the uity lowport Beach . • • ..• • LEAS S This indenture made and entered into this 9th day of November, 1927, by end between the CITY 0P NEWPORT BEACH, a Nuniois pal Corporation of the sixth class, the party of the first part and J. A. BEEK of the City of Newport Beach, County of Orange, State of California. the party:of the second part; W I T N B S S S T Et That for and in consideration of the payment of the rent and the performance of the covenants contained herein an the part of the party ot:.the second part and in the manner hereinafter stated, the party of the first part does hereby lease, demise and let unto the party of the second part for the purposes of commerce and navigation,. those certain properties hereinafter described as: Pollees, to -wit: All tidelands and other real property adjacent thereto bei:-. longing to the City of Newport Beach, lying within the following des.. Dribs(' exterior boundary lines: Beginning at the coon corner of Sections 26,127, 34 and 35, of Township 6 South, Range 10 Wet, San Bernardino Base and Meridian; thence easterly along the northerly line of the aforesaid Section 35 to 0 point, which pbtnt is eleven hundred (1100) teat westerly of the northeast corner of the aforesaid Section 35 thence South along a line whicis line is hun dred ndred (1100) feet westerly of and parallel with the easterly line of the aforesaid Section 36,. a distance of sixteen hundr,:d fifty (1860) feet to'. a point; thence westerly along a line which line is sixteen hundred fifty (1850) feet southerly of and parallel with the northerly line of the aforesaid. Section 36, a distance of thirty-two hundred (3200) feet to a point; theme southwesterly in * direct line to a point in tie westerly line of the afore- Paid Section 35, which point is twenty-three (2300) hundred feet southerly of the northwest oo*ner of the aforesaid Seotion 35; thence northwesterlrin a direct line to a point in the northerly line of the aforesaid Section 34, which point is eight hundred. (800) feet westerly of the Northeast corner of said Section 34; thence oast eight hundred (800) feet to the place of beginning. for a term of twenty-five (26) years from the date hereof, end ending an the eighth day of November, 1952, and the party of the second part agrees that as soon as the property hereinabove des. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 oribed shall have been surveyed and the area thereof aaaertained, • that the,said second party, or his heirs or assigns, shall pay to the City of Newport Beach, an or before the ninth day of November, of each end every calendar year.during the tern of said lease, rent as set forth in the following aohediale, to -wits From the 9th day of November, 1927, to'and including the 8th day of November, 1932, Ten Dollars (410.00) per acre per fear. From the 9th day of November, 1932, to and including the 8th day of November, 1937, Twenty Dollars (420.00) per acre per year. From the 9th day of November, 1937, to and including the 8th day of November., 1942, Thirty Dollars (430.00) per acre per year. From the 9th day of November, 194$, to and including the 8th day of November. 1947, Forty Dollars (440.00) per acre per year. From the 9th day of November, 1947. to and including the 8th day of November, 1952, Fifty Dollars (450.00) per acre per year.- It:i.a further understood and agreed by and between the parties hereto that the party of the second part, his heirs and/or assigns, will pay to the party of the first part in addition to the rental speoified'in the foregoing schedule the following amounts as'rentals during the lice of this lease' 1. For the first ten (10) years of,said lease a sum equal to 2% of all sums he shall receive from the use of said hereiaaDetore described property, or say part thereof, regardless of the purposes for Which said premises shall be used. 2. For the last fifteen (15) years of said lease a sum equal to 5% of all suss he shall receive from the use of said horinbs- fors described property, or any part thereof, regardlessof_ the purposes for which •aid premises shall be used, and it is under - (stood and agreed that the percentages, as h0reinbetore in this pars. graph est forth shall be iroea percentages and not net percentages and that said payments shall be made, as follows, to -wits 01, 1 On the fifteenth day of January of each and every sal•. 2 endar year commencing on the fifteenthday of January, 1928, 3 It is understood and agreed by and between the parties 4 hereto that until the property hereinbetore.desoribed shall have 5 been surveyed end the area thereof determined it shall be considered 6 for all purposes that the property is of an area of twelve (12) 7 acres and that the party of the second part.shall pay rent on the,. 8 basis of twelve (12) acres but that upon completion of the survey 9 of said land, if it shall be found that said premises consist of. 10 less than twelve (12) acres, the party of the first part will credit 11 to the said J. A. Beek, the party of the second part. herein, Such 12 amounts as he may have paid in ettaess of the sums actually aced 13 •der the foregoing schedule and will apply the same on future rens., 14 tal and that if said premises shall have been found to consist of 15 '°•re than twelve (12.) acres, that the party of the second part will 16 immediately upon the completion of said survey, pay according to 17 the foregoing Schedule such amounts as will comply with said schedule, 18 The party of the second part does hereby promise and agree 19 to pay to the party of the first part the said rent and sums herein 20 ,:served in the sander herein specified and it is further agreed 21 that if any rent Shall be due and unpaid or if default shad be made 22 in any of the covenants herein contained, then it shall be lawful 23 or the said party of the first part to re-enter the said premises 24 and to remove all persons therefrom, 25 It is further understood and agreed that the Party of. 26 he first part will supply water for use upon the said premises 27 welding a surplusage exists at the time required but that such 28 ater will be paid for by the party of the second part, his heirs 29 and/or assigns at the prevailing rate in the City of Newport Beach 30 d it is further understood and agreed that all pipe -lines shall be 31 installed at the expense and upon the responsibility of the party of 32the second part and that he shall pay all charges necessary and 3. 1 2 3 4 5 6 7 8 9 10 11 12. 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 attendant upon connecting his said pips -lines and the water mains belonging to theparty ofthe first part. It is further•understood and agreed by and between the parties hereto that the party of the second part shall make or cause to be made improvements in and to the said property as fol., lows, to -wits 1. That he will and shall dredge a channel connecting the. . herein demised premises with navigable waters of Newport Harbor. 2. That he will fill and level the property:and premises herein demised in such manner as will meet with the approval of the proper authorities of the party of the first part. 3. That he will construct boat landings and docks upon the said herein demised premises. 4, That. he will install streets, water pipes and other necessary public utilities upon said premises. It is understood and agreed that the:party of the second part shall commence work upon the development work incumbent upon him within one year from the time that the survey hereinbefore re» ferred to shall have been completed and the area and boundaries definitely determined and the title to the herein demised premises' vested in the party of the first part by filing the necessary.con veyancea of record and further more that if such work is not. com- menced within two (2) years from the said time that the necessary conveyances are filed for record that the party of the first part may at its option declare this lease terminated and re-enter the premises and remove all parties therefrom. It is further understood and agreed that the psr ty of the second part, his heirs and/or assigns shall be permitted to build, rebuild, remove or alter any of the improvements made, upon the said premises during the term.of this agreement but that all streets, sidewalks, water pipes, gas pipes., electric lines and docks shall be surrendered to the party of the first part upon the expiration 1 2 3 of this lease or any sooner determination thsrso ordinary wear and tear and damage by the -element r 1 1 in good condition, excepted.. That it is agreed that as soon as ths.(dredging and tilling 4!hersinbefore referred to is completed end the necessary public 5utilities installed that the party of the second part.his heirs- 6;aad/or assigns. will apply to the governing body of the party of 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 the first part for annexation to the City of Newport Beach,. It is further understood and agreed that the party of•the second part shall not assign this lease in toto.rithout the consent of the governing body of the party of the first/partbut that the party of the second part shall have the right to sublease portions of the property described herein at any time. I1T '71I TNES3 F. the parties hereto have hereunto set their hands the day and year first above written, CITY OF IMPORT BEACH ATTESTS By Conrjd Richter yo'r Alfred . Smith City Clerk Party of the.Firet Part J. At Beek Party of the 5soc:id fart. I. hereby certify that the foregoing is a true and correct copy of a lease dated the 9th day of November, 1997. and entered into by the City of Newport Boaoh, as party of the first part end J. A. Beek, as party of the second part. Frank L Rineh+yvt City Clerk of the City of Newport Besoh b. 5. 6 9 10. 11 :12 13 H14 - 15 16 17. 18: 24 26 28 27,. 28 29 30. 31 This :indenturemade and entered.into this:9th day of November,.1927, by and between the CITY OF.NEWPORT BEACH; 'a Munle--. ipal Corporation of the sixth`. class,: the party of the first ..part.`. and J: A. BEEK of the City of Newport Beach, County of Orange, State of California_, the party of the:second.part. W I T .N E S. S E.T.H: That for and in consideration of the payment of the rent and the performance of the covenants. -contained herein on. the part • of the party:of the second. part and in the manner hereinafter stated, the party of the first part does hereby lease, demise and let unto the party of the second part.for the purposes- -of commerce and navigation,, those certain properties hereinafter described, as follows, to -wit: Alt tide lands and other real property adjacent thereto belonging to the City of Newport Beach, lying within the following described exterior boundary' lines: Beginning -at the common corner'of Sections 26,.27, 3.4.and .35; of Township 6 South, Range 10 hest, San Bernardino. Base.and.Meridian; thence easterly along the' northerly. line of the aforesaid Section 35 to a point, which point iseleven hundred (1100) feet westerlyof the northeast corner.of the aforesaid Section 35; thence South..along a line, which, .line ,is eleven hundred (1100) feet westerly of .and parallel `with the easterly:line of the aforesaid Section 35, a.distance ofsixteen.; hundred fifty (1650) feet:to a point, thence westerly along a line, whioh.line is sixteen hundred fifty.(1650) feet southerly of and parallel with the northerly: line of the aforesaid. Section 35,'a-distance.of thirty-two hundred (3200) feet_to point;: thence southwesterly in a direct line to. apaint.in.the:westerly line of the aforesaid Section .35_, which point Is twenty-three hundred (2300) feet southerly or:.the northwest corner of the • aforesaid Section 35; thence northwesterly in a direct line to a point ih the northerly line of the afore- said Section 34, which point is.eight.hundred (800) feet westerly of the:Northeast corner of said Section 34;.thence:eas.t.eight hundred (800),feet to the place 'of -beginning: for a. term:. of twenty-five.(25).'Years from.the date hereof, and endingon the eighth day Of, November, 1952.,.and the party of the 2 3 4 5 6 7 8 9 10 11 12 13 14 lb 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 second part agrees that as soon as the property hereinabove des- cribed shall have been surveyed and the area thereof ascertained, that the said second party, or his heirs or assigns, shall pay to the City of"Newport Beach, on or before the ninth day of November of as set From the 9th day 8th day of November, 1932, From the 9th day 8th day of November, 1937, • From the 9th day 8th day of Noaember,.1942, From the 9th day 8th day of November, 1947, From the 9th day 8th day of November, 1952, each and every calendar year during the term of said lease, rent forth in the following'schelule, to -wit: of November, 1927, to and including the Ten Dollars ($10.00) per acre per, year. of November, 1932, to and including the Twenty Dollars (020.00) per acre per yea of November, 1937, to and including the Thirty Dollars (030.00) per acre per yea of November, 1942, to and including the Forty Dollars ($40.00) per acre per year of November, 1947, to and including the Fifty Dollars 050.00) per acre per pear It is further understood and agreed by and between the parties hereto that the party of the second part, his heirs and/ or assigns, will pay to the party of the first part in addition to the rental specified in the foregoing schedule the following amounts as rentals during the life of this lease: 1. For the first ten (10) years of said lease a sum equal to 2% of all sums he shall receive from the use of said hereinbefore described property, or any part thereof, regardless of the pruposes for which said premises shall be used. 2. For the last fifteen (15) years of said lease a sum equal to 5% of all sums he shall receive from the use of said hereinbefor described property, or any part thereof, regardless of the purposes for which said premises shall be used, and it is understood and agreed that the percentages, as hereinbefore in this paragraph set forth shall be gross percentages and not net percentages and that -2- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 16 16 17 18 19 20 21 22 23 24 26 26 27 28 29 30 31 said payments shall be made as follows, to -wit: On the fifteenth day of January of each and every calendar year commencing on the fifteenth day of January, 1928. It is understood and agreed by and between the parties hereto that until the property hereinbefore described shall have been surveyed and the area thereof determined it shall be considere for all purposes that the property is of an area of twelve (12) acres and that the party of the second part shall pay rent on the basis of twelve (12) acres but that upon completion of the survey of said land, if it shall be found that said premises consist of less than twelve (12) acres, the party of the first part will eredi to the said J. A. Beek, the party of the second part herein, such amounts as he may have paid in excess of the sums actually owed under the foregoing schedule and will apply the same on future ren- tal and that if said premises shall have been found to consist of more than twelve (12) acres, that the party of the second part will immediately upon the completion of said survey, pay according to th foregoing schedule such mounts as will comply with said schedule. The party of the second part does hereby promise and agree to pay to the party of the first part the said rent and sums herein reserved in the manner herein specified and it is further agreed t >t if any rent shall be due and unpaid or if default shall be made in any.:df the covenants herein contained, then it shall be lawful for the said party of the first part to re-enter the said premises and to remove all persons therefrom. It is further understood and agreed that the party of the first part till supply water for use upon the said premises providing a surplusage exists at the time required but that such water will be paid for by the party of the second part, his heirs and/or assigns at the prevailing rate in the City of. Newport Beach and it is further understood and agreed that all pipe -lines shall b -3- installed at the expense and: upon the responsibility of the party o the second part and that he shall pay all -charges.: necessary and attendant upof connecting his said pipe -lines with. the. water mains,: belonging to the partyof. the -first part. It is further understood and agreed by. andbetween the parties hereto that the party of .the second part shall make or cause to be made improvements in and to the:said property. as:foliow to -wit: 1. That he will and shall dredge a channel connecting thm.. herein demised premises with navigable waters Of Newport Harbor. 2. That he will„fill and level the property and premises: herein demised in such manner'as will meet: with the approval of the proper authorities of the party of the first: part. 3. That he will construct boat landings and. docks said herein demised:premises.• 4. That he will install streets, water pipes. and..ather, necessary public utilities upon said premises... It is understood and agreed that:the party.: of the second, upon "the. 19 part shall commence work upon the, development work•incunbent.:upen. 20 him within -one year from the•time that; the survey hereinbefore:re 21 ferred to shall have been.completed and the:area,and boundaries 22 definitely determined and'the title to the herein demised premises 23 vested in the party of the first. part by filing, the necessary con-. 24. 25 22 27 28 29 30 31 veyances for record and further more that if such work is noticom- menced within. two (2) years from the said time that the necessary: conveyances are filed. for record that:the party of the"first part. may, at its Option declare this lease terminatedand re-enterthe. premises and remove all parties therefrom:: It is further understood and agreed that.the.party of the. second part, his heirs and/ or assigns maybe permitted to b ui.ld rebuild, remove.;or alter any of the improvements: made. upon the sai 7 9 10 11 le 17 18 19 21 22 23 24 26 premises during the term of his`.agreement but:.that all streets,: sidewalks, water pipes,:gas pipes, electric lines and docks shall. be surrendered to the party of the first part upon the. expiration, of this lease or any sooner:determination.thereof.in good condition ordinary wear and tear and".damage by the.elements excepted. That is agreed that.as.soon as the dredging and filling hereinbefore referred to ;iseomple.t:ed and thp. necessary public utilities installed that the party of the... second. part, his heirs and/or assigns will. apply to. the governing.:body of the.. party.of the first partfor annexation to the City'of Newport Beach. It is further.underst;ood and agreed .that the party of the. second part shall not. assign: this lease.. in toto without the consent' of the governing body al' the party .of the first partbut that -the party of.the second part shall have..the right to.sub-lease portions of the property described herein:at anytime: IN WITNESSWHEREOF, the parties hereto have..hereunto their hands the, day:and.year.tirst above written.: CITY..OF A1EWPORT BEACH 3' Dr...ConradRichter Mayor, Alfred. Smith ` City Clerk.. .Party of the.First J.-A; BEEK.. party of the Second, Part. STATE OF CALIFORNIA..X' )ss COUNTY OF. ORANGE ) . On. this 9th day of November in the year.of our:Lord'one thousand.ni hundred and twenty seven before me; LOUTS.W..BRIGGS,a•Not= Publio'in and for said County and State, residing. therein, -duly co,rmiissioned.and sworn, personally. appeared J. A. BE known to me tobe the persondescribedin and whose:'name.. subscribed, to the within instrument, and he acknowledged me that he executed the same... • IN.WITNESS 'WHEREOF,. I have hereunto °set.my hand and affix my official seal the day and year in,this certificate. fir above: written._ LOUIS IL .BRIGGS': Notary Public in and for said County S ate. 1 2 3 4 6 6 7 8 9 10 11 lz 13 14 16 16 17 18 19 20 21 22 23 24 26 26 27 28 29 30 31 STATE OF CALIFORNIA) ss. County of Orange .) O this 9th day of November, 1927, before me Louis W. Briggs,;A Notary Public in 'and for said County and State; residing therein, duly commissioned and sworn, personally appeared Dr. Conrad Richter, known to me to be the Mayor of the City of New- port Beach, and Alfred Smith known to me to be the City Clerkof the City of Newport Beach, and known to me to be the persons who executed the within instrument on behalf of the said City of Newport. Beach therein named, and they acknowledged to me that said City of Newport Beach executed the same. IN WITNESS TkREOF, I.have hereunto set my hand and af- fixed my offioial seal the day and year in this certificate first above written. LOUIS W. BRIGGS Notary public .in and for said County and State 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 `'HIS I: LEN`_'URE of Agreement made and entered into .this 3rd day of :_arch, 1930, by and between the City of Newport Beach, a municipal corporation of the sixth class, of Orange County, California, hereinafter referredto as the party of the first part, and J. A. BEEK and CARROLL B. B"=L:IC, his wife, of the City of Newport Beach, Oran_;e County, California, hereinafter referred to as the party of the second part: ITNESSETH That for and in consideration of the mutual consent of the ;;arties hereto and the mutual benefits accruing and to accrue to the _,a.rties '_ereto, and other valuable considerations, it is hereby understood, covenanted and agreed by and between said parties that that certain Indenture of Lease made andentere• into the 9th day of November 1927, by and between the City of Newport Beach, a municipal corporation of the sixth class, as party of the first part, and J. A. Beek of the City of Newport Beach, County of Orange, State of California, as Party of the second part, be, and the sar:le is hereby altered and amended as follows, to -wit: It is understood and agreed t'1at that certain paragraph contained on Page 1, lines 8 to 15 inclusive, of said lease men- tioned and reading as follows, to -wit: "That for and in consider- ation of the payment of the rent and the performance of the coven- ants contained herein on t'.e hart of the part7 of the second part and in the sanner hereinafter stated, the party of the first part does hereby lease, der,:ise and, let unto the party of the second part for the p,-rposes of commerce and navigation, those certain pro- perties hereinafter described as follows, to -wit:", shall be and the same is hereby stricken from said lease, and the following paragraph inserted in lieu and stead t:iereof, to -wit: Y "That for 'and in-:c.on`sideration..of'the"payment of'the rent'. and the performance of the covenants; contained` 2;. herein on the part of t ;e'parity of the -second part and in the. manner. hereinafter:stated, the. party. of'the first.. part does 3 hereby lease, demise and let unto 'the: party of the second .,part .for.thepurposes- of`.eo.merce and.navigation,. and for 4 all. other lawful' -purposes, those certain properties here inafter de'scrib.ed as follows, to -wit:". 6 6 It is• expressly: understood and agreed by and between 7 the:paeties hereto that said lease of.November 9th, 1927, between g_. said parties aforesaid, as altered and amended shall be and the 9:. 'same is hereby ratified and confirmed by the respective parties. 10 ... hereto. 11 12 13 14. 16 18' 17 18 119 20 .21 22 23 . 24 25 26. 27 28 :29 30. 31 IN WITNESS WHEREOF, the party of.the first part, has by.Resolution of its City Council dated the 3rd day of March, 1930,..authorized its corporate name to be signed and its corporate.. seal to be affixed by the Mayor and City Clerk of the City of Newport Beach'thereunto fuly authorized this 3rd day of March; 1930, and the parties of thesecond part. have hereunto set their hands -and seals -this 3rd day of March, 1930. CITY Or"N WPORT.BEACH,_a Municipal Corporation, By .MARCUS J. JOHNSON Mayor -ATTEST: ALF{RED' SMITH Clerk City of Newport:Beach- Party of the First Part 3.. A. BEEK CAR ROLL B. BEEK Parties;of.the second part. LIST OF DOCUMENTS CONTAINE➢ IN J. A. BEEK LEASE AGREEMENTS FILE 1. 2 copies o#'J. A. Beek's lease dated November 9, 1927 (7 pages each) 2. 1 letter dated October 10, 1927 to the City Council from7J. A. Beek titled "Application" (2 pages) 3. 1 Resolution No. 579 (2 pages) 4. 1 Resolution No. 1371 (3 pages) 5. 1 letter dated October 30, 1929 from Attorney (3 pages) R. L. Patterson to Roland Thompson, City 6. 1 yellow copy of a letter dated November 4, 1929 (1 page) 7. 1 yellow copy of a letter dated January Building in Sacramento) (1 page) 8. 1 letter dated January 19, 1939 from J. 9. 1 yellow copy of a letter dated January 10. 1 Resolution No. 1505 (2 pages) (1 page) 11. 1 letter dated February 6, 1939 12. 1 letter dated February 8, 1939 13. 1 letter dated February 8, 1939 (1 page) 14. 1 letter dated February 9, 1939 to J. A. Beek from City Attorney 18, 1939 to J. A. Beek (at the Capitol A. Beek to Roland Thompson (1 page) 23, 1939 to Joseph A. Beek (Attn: Mr. Stanley) to Roland to Roland to Roland Thompson from Rutan, Mize and Kroese (1 page) Thompson from J. A. Beek (1 page) Thompson from J. A. Beek (Re: Statutes of 1927) to Roland Thompson from J. A. Beek (2 pages) 15. 1 yellow copy of a letter of By -Laws of the Beacon Bay Community Association (23 pages) 16. 1 letter dated January 9, 1940 to Joseph A. Beek from Paul Mason (3 pages) 17. 1 letter dated January 12, 1940 to Roland Thompson from J. A. Beek (scene of Beacon Bay on letterhead) (1 page) 18. 4 letters dated February 8, 7, 5 and 1, 1940 to Roland Thompson and 2 J. A. Beek from Mr. Beek's secretary (re: missing checks) (4 pages) 19. 1 letter dated September 11, 1940 to Roland Thompson from Joseph A. Beek (1 page) 20. 7 letters dated October 21, 1940 Irvine Company (7 Pages) Also to J. D. Snodgrass and Madge W. Snodgrass from the to: Russell and Dorothy Post James and Beatrice Howard John and Maureen Glover Torrey and Honor Weber William Cagney Walter and Faye Spicer R 111/ J. A. Beek Lease Agreemeile (Cont.) 1 21. 1 letter dated November 19, 1940 to Joseph Beek from James Irvine (1 page) 22. 1 letter dated November 25, 1940 to Roland Thompson from J. A. Beek (1 page) 23. 4 letters dated May 1, 1941; April 30, 1941; August 16, 1940 and August 15, 1940 to: 2 to.W. H. Woolsey, Roland thompson and City Attorney (4 pages) 24. 1 letter dated July 19, 1941 to Hon. City Council from Joseph Beek (2 pages) 25. 1 letter dated October 28, 1941 to Roland Thompson from J. A. Beek (1 page) 26. 1 Resolution - no number but is dated December 3, 1945 (2 pages) 27. 1 Resolution No. 3755-A dated January 9, 1950 with lease (39 pages) 28. 1 list dated July 1, 1952 (Unsecured Roll-1952) (2 pages) 29. 1 letter dated January 15, 1953 to Florence Cooling from Secretary to J. A. Beek (1 page) 30. 1 letter dated January 12, 1954 to Florence Cooling from J. A. Beek (1 page) 31. 4 letters dated December 15,. November 30, November 29 and December 16, 1955 to: 2 to Security -First National, Karl Davis and City Hall (4 pages) 32. 1 letter dated January 12, 1956 to Margery Schrouder.from J.A. Beek (1 page) 33. 1 letter dated January 14, 1957 to Margery Schrouder from Secretary to J. A. Beek (1 page) 34. 1 letter dated November 5, 1964 to Mayor and City Council from Robert Coop (1 page) 35. 1 letter dated December 8, 1964 to City Council from J. A. Beek (1 page) 36. 1 letter dated December 28, 1964 to J. A. Beek from Tully Seymour (1 page) 37. 1 letter dated March 22, 1965 to City Council from Joseph Devlin (3 pages) 38. 1 letter dated May 13, 1965 to City Council from Tully Seymour (2 pages) 39. 1 letter dated May 13, 1965 to City Council from Ira N. Frisbee & Co. (2 pages) 40. 1 letter dated May 17, 1965 to Harvey Hurlbert from George Pappas (1.page) 41. 1 letter dated May 25, 1965 to J. A. Beek from Tully Seymour (2 pages) 42. 1 letter dated July 27, 1965 to City Council from Beacon Bay Committee (1 page) 43. 2 copies of Extension of Lease Agreement (2 pages) 44. 1 letter dated June 28, 1971 to City Council from Dennis O'Neil (4 pages) 45. 1 Resolution No. 7475 (3 pages) 46. 1 letter dated July 1, 1971 to E. F. Hirth from David New (2 pages) 47. 1 letter dated July 12, 1971 to Carl Kymla from Harry Westover (1 page) J. A. Beek Lease Agreilllt File (Cont.) 48. 1 Consent to Assignment dated July 15, 1971 (2 pages) 49. 1 yellow copy dated July 16, 1971 to Acting City Attorney from Laura Lagios (1 page) 50. 1 letter dated July 19, 1971 to Harry Westover from Dennis O'Neil (1 page) 51. 1 letter dated August 2, 1973 to J. A. Beek from Judy Kelsey (1 page) 52. 1 letter dated August 8, 1973 to City Clerk from Mark Gustafson (1 page) 53. 1 Summary of City's Beacon Bay Lease (3 pages) 54. Assumption Agmt (by The Irvine Co./Michigan Corp from The Irvine Co./W. Va. Corp.) 11WC :imec"et 2/6/59 1 I. GENERAL Parties CITY OF NEWPORT BEACH OFFICE OF THE CITY ATTORNEY SUMMARY OF CITY'S BEEK - BEACON BAY LEASE INFORMATION to Lease City of Newport Beach, Lessor J. A. Beek, Carroll B. Beek, Barton Beek and Joseph Allen Beek, Jr., jointly as Lessee Date of Lease January 9, 1950 City Council approval Original lease 3755A (Res. No.) Date Ilopt 7s! 47 J Land Location Source of City's Approximate Area II. LEASE DURATION III. LEASE PROVISIONS BayG� s��e Dr Title Deed from Irvine, dated 4/13/28,-- an S. C. Case No. 24026 /3 k 30 6 / P31S Frontage 19.00 acres a c , . /ater Street 2,363.62' 1,378.16' No. years: 38 From: January 1, 1950, to 19ecember 31, 1987 January 9, 1950 Rental: "Westerly Portion": Annual rental for first 13 years of term, $600.00 cash, plus 5% of all gross returns to Lessee from use thereof, from whatsoever source,. - including income from subtenants, payable on January 15 of each year, beginning January 15, 1951, and end- ing January 15, 1963. "Easterly Portion": Annual rental for first 13 years of term, $350.00 cash, plus 7 of all gross returns to Lessee from use thereof, from whatsoever source, including income from subtenants, payable on January 15 of each year, beginning January 15, 1951, and ending January 15, 1963. In addition to above rents, Lessee to pay Lessor $1,000.00 annually during the first 13 years of said term, due on January 15 of each year, beginning January 15, 1951, and ending January 15, 1963. For the last 25 years of the term, 33 1/3% of all gross returns to Lessee from use of both portions, from whatsoever source, including income from all subtenants, payable January 15 of each year, begin- ning January 15, 1964, and ending January 15, 1988. Purpose: "Westerly Portion" for residential purposes; "Easterly Portion" for industrial uses, construction and main- tenance of wharves, docks and piers. Repairs: Lessor not obligated to make any improvements, repairs, or other expenditure respecting the leased property. Assignability: Lessee not to assign or sublet any of the "East- erly Portion" except to present subtenants without written consent of Lessor; subtenants of "Easterly Portion" may let rooms incidental to their industrial use thereof; Lessee to have right to sublease any part of "Westerly Portion" and also to assign inter- est among themselves and to assign an interest to Seymour Beek. 1. •x+ �1 • SUMMARY OF CITY'S BEEK - BEACON BAY LEASE (Continued) III. LEASE PROVISIONS (Continued) Renewal: No provision. Terms of default: Upon default by Lessee, continuing for 30 days after notice, Lessor may terminate lease, such default not to affect subtenant provided subtenant pays yearly payments provided in his sublease. Taxes: Lessee to pay all taxes, assessments and levies of every kind and character agains' the demised land or improvements. Insurance: No provision therefor, except Lessee to hold Lessor harmless from all claims, etc., by reason of Lessee's use of the premises, except those growing out of use of streets, sidewalks, alleys, docks, piers, or public utilities belonging to Lessor; and Lessee to hold Lessor harmless from litigation, etc., arising from use of premises by Lessee or any sublessee, 2. IIP Policy No GAL 21 76_24 Name Carroll B. Beek Administratrix of the estate of J.A. Beek Insured City of Newport Beach CERTIFICATE OF INSURANCE FOR LEASE OF CITY PROPERTY This is to certify that the Thp Tnenranre Cnmpany of North Ameri CR (Name of Company or Organization) of Santa Ana , California (Address of Company or Organization) has issued to TheBalboa-gs1and Ferry Cn anri Carrn11 R Be k (Name of Insured) 410 South Bay Front, Balboa Island ,California (Address of Insured) The policy of Liability Insurance described herein, which by the attachment of the City Property Endorsement has been changed in accordance with the terms of the Endorsement. Coverages and limits of liability under the policy are not less than: BODILY INJURY PROPERTY DAMAGE 4100,000 each person $50,000 each person 4300,000 each occurrence $50,000 each occurrence CITY PROPERTY ENDORSEMENT This endorsement is attached to the policy described herein to assure compliance by the named insured with the terms and provisions of the lease, rental or other agreement entered into between the insured as Lessee and the City of Newport Beach as Lessor. The Company or Organization amends the policy described herein as follows: 1. If the policy is cancelled or changed so as to affect the coverages, at least fifteen (15) days prior written notice of such cancellation or change will be sent to the Lessor, City of Newport Beach, c/o City Manager, 3300 Newport Boulevard, Newport Beach, California 92660. 2. The Lessor City of Newport Beach, its officers, and employees are hereby declared to be additional insureds in the policy described insofar as they may be held liable for injuries, deaths, or damage to property occuring in or about the leased premises including negligence of the city and the company waives any right of contribution which it may have against any other insurance carriedby the additional insureds. INSURANCE REQUIREMENT Lessee shall, at his own expense, take out and keep in force during the within tenancy, public liability insurance, in a company or companies to be approved by the Lessor, to protect the City of Newport Beach, its officers and employees against any liability, including negligence of the City, to any person incident to the use of, or resulting from injury to, or death of, any person occuring in, or about the demised premises, in the amount of not less than $100,000.00 to insure against the claim of one person; in the amount of not Tess than 4300,000.00 against the claims of two or more persons resulting from any one accident; and $50,000.00 for damage to property. Said policies shall obligate the insurance carriers to notify the Newport Beach City Manager in writing, not less than fifteen (15) days prior to the cancellation thereof, or any other changes affecting the coverage of the policies. Lessee shall furnish as proof of public liability insurance, a fully executed copy of City form, "Certificate of Insurance for Lease of City Property" and "City Property Endorsement." Lessee agrees that, if Lessee does not keep such insurance in full force and effect, Lessor may take out insurance and pay the premiums thereon, and the repayment thereof shall be deemed to be additional rental. This endorsement countersigned by an authorized representative of the Company or Organization becomes applicable endorsement number GAL 21 76 24 Effective Date of Policy: Tan 1 1973 August 6, 1973 Dated: 19 Name of Agent or Broker Marco P. Anich Co. Address of Agent or Broker 1 303 Avocado S ite 170. Newport Beach, Ca .'ifs./ •!/� Expiration Date of Policy. Jan. 1, 1973 Newport Beach , California at (City) (State)' Countersigned By: (Authorize ` epresentative) IMPORTANT — THIS FORM 15 THE ONLY CERTIFICATE OF INSURANCE ACCEPTABLE TO THE CI OFFICE OF THE MANAGER August.1972 ti t [tftLlil-cz., 22I ... IP r A LIST OF DOCUMENTS CONTANED IN IE. A. BEEK LEASE AGREEMENTS FILE 1. Letter from Margaret Douville, Secretary to Ikr. Beek, to`,Mr. Roland Thompson. sa _ C/0/ Gl f s:a, y �za-7+a idee ' .£rs&.. . °,/iij copies ofLease, dated November 9, 1927. 3 copies of Indenture, dated March 3,.i93C A 2. 2 copies of Resolution No. 1371, dated July 18, 1938. 2 copies of Indenture, dated July 18, 1938 3. 3 copies of Agreement andAmehdment of Lease, dated_ February 6, 1939. 1 1 copy of Resolution No. 1505, dated February 6, 1939. ✓ /2--f`,, R- 17f Note 5-1i-76 4. 3 copies 1939. of Agreement amending Lease, dated October 3C, 2 copies of Resolutiot;No. , dated October 16, 1939. Company 5. .Agreement between The Iiy1ne/and the City of Newport Beach, April 13, 19)28. Y A 6. Lease and Amendment of Formhr Lease, (100 foot strip), dated May 1, 19 7. Letter to Robt Mize from Cif Attorney, dated Novem- ber 23, 1'45 2 copies ofALease December 41 1945. and Amendment'Rpf Former Lease, dated 2 copies,of Resolution No. 8. 1 copy/of Lease, dated December 3, 1945. no date and blanks\not filled in. 9. By -taws of the Beacon Bay Community Apsociation. 1G. 4 pages photograph copy re Beacon Bay:`:. 11. 1 copy Home Owners Franchise, no date. • • 12. 2 letters to Florence L. Cooling, Treasurer, from J. A. Beek.,Ddated Jan. 12, 1954, and Jan. 15, 1953. 13. Le ter to Mr. Roland Thompson from J. A. Beek, dated Jan: 12, 1940; also attached is a copy of a letter to Beektrom Paul Mason. 14. Letter b Thompson from R. L. Patterson, dated Oct. 30, 1929 '`� 15. Letter to Th pson from Beek, dated Oct./28, 1941. 16. 4 letters attached regarding correspondence between W. H. Woolsey an City Attorney, datec,/May 1, 1941, April 3C, 1941, August 16, 194C, and l.ugust 15, 1940. 17. Letter to City Counci. from Beek, d ted July 29, 19k1. 18. 2 letters from Beek to Thompson, klated Nov. 25, 1940 and Sept. 11, 1940. r 19. Letter to Beek from James I ine, dated Nov. 19, 1940. 20. 4 letters Thompson; 194C, and 21. Letter to 22. Letter To regarding corres dnd: ce between Beek and dated Feb. 8, 195jb, F.b. 7, 1940, Feb. 5, Feb. 1, 1940 Thompson from /Beek; date. Feb. 9, 1939. Thompson fr, m R. L. Mize, .F=ted Feb. 6, 1939. 23. 3 letters to Thomp:on from Beek, and two dated Feb, 8, 1939. 24. 2 letters to B=-k from Thompson, and Jan. id, '39 25. Unsecured R• 1 - 1952. dated an. 19, 1939, �a. dated Jar%y. 23, 1939 26. Map,sblueprint, Fropt. leased to Beek. -2- aur. quv @atL AaQ. )4/9iY5sd afteriati a., ..2 „tt t= r. 4,19 31 a'" -' 5""Li G, l otT 3 , / 9 if Q - a attet4 ntce zg. if/ .& t- - Cry_ drte cL1J /3, iy * 5- ?at (�. ate,a . a..v, la' /.9.4az - �Ytm !, /9Y/ 0. frt 5T4.. 7. FFory.,,,...e Dgc. , 3, 9VS 1 yv aca-4--0,4 fr 9 ;A r_a14.37 LikA, • dt ()Li LeL^P • / RP' \1/1 , tyti" "7\I 9‘eippi- n) r) - 7 v.. .2 STATE Qf cAllf0MM STATE LANDS COMMISSION 1807 1370 STREET SACRAMENTO, CALIFORNIA 95814 June 6, 1988 Pile Ref: C 09-02.6 Layman, Jones, and Dye Attn: Mr. Josef N. Rodarti 2600 Michelson Drive, Suite 1000 Irvine, California 92715 Dear Mr. Rodarti: This is to acknowledge receipt of your letter dated May 17, 1988, and attached legal description and map for the Beacon Bay Community. Chapter 74 Statutes of 1978 grants in trust to the City of Newport Beach, all tide and submerged lands within the corporate limits of the City on July 25, 1919. The enclosed map (Exhibit "A-1") indicates in red the adjudicated mean high tide line as set forth in Superior Court Case No. 24026 and those lands extending waterward of the line have been granted to the. City of Newport Beach with parcels A, B, and C freed of the public trust forpurposes of navigation, commerce, and fisheries, but held in trust by the City and subject to the provisions of above statute. The statute to the City of Newport and enclosed map should provide you with sufficent information to describe the property lines, also Section 1 of said statute contains the conditions for use of the granted lands. Should you have any questions, contact me at (916) 322-7193. Sincerely, NANCI SMITH Land Agent Enclosure cc: Robert L. Wynn, City Manager .� City. of Newport Beach City Hall 3300 Newport Boulevard Newport Beach, CA 92660 59521