HomeMy WebLinkAboutC-5803 - Beacon Bay, 48 - Termination of Leasehold 2014C�
PFCORDTNG REQUEMD BY
FIR.;; A61F.PICAR TITLE COMPANY
RESIDENTIAL DM510N
Recording Requested By
and When Recorded Return To:
City of Newport Beach
100 Civic Center Drive
P.O. Box 1768
Newport Beach, California 92658-8915
Attn: City Clerk
Recorded in Official Records, Orange County
Hugh Nguyen, Clerk -Recorder
II II II 111 II I II III III III I II NO FEE
*$ R 0 0 0 6 6 4 4 8 2 S$
2014000151012 3:37 pm 04121114
53 Sec2 T03 4
0.00 0.00 0.00 0.00 9.00 0.00 0.00 0.00
(Exempt From Recording Fees Pursuant to Government Code § 27383)
14-57-J6
70— IM -1-31 (SPACE ABOVE THIS LINE FOR RECORDER'S USE)
TERMINATION OF LEASEHOLD
This Termination of Leasehold is made this 21 day of April, 2014, by and
between the CITY OF NEWPORT BEACH, hereinafter called "Lessor", and David M.
Harris, Administrator of the Estate of Jeffrey Michael Harris, deceased, hereinafter
called "Lessee".
RECITALS
A. Lessor and Lessee executed a lease on June 25, 2010, for which a
Memorandum of Lease was recorded June 30, 2010, by the County Recorder of
Orange County, California as Instrument No. 10-311344. By the terms of the Lease,
the following described property was leased to Lessee until July°1, 2044.
Lot 48 as shown on the map filed in Book 9, Pages 42 and 43 of Record
of Surveys in the Office of the County Recorder, County of Orange, State
of California.
B. Lessee desires to terminate said Lease and all rights to the possession of
the Lease premises and to release Lessor from its obligations under the Lease, and
Lessor desires to accept said termination and to release Lessee from his obligations
under the Lease.
AGREEMENT
Lessee agrees to terminate the Lease as described herein above as of April
Zl , 2014, and Lessor agrees to accept such termination, and Lessor and Lessee
agree to discharge and release each other from all obligations under the Lease as of
said date.
ry
PAGE]
[SIGNATURES ON NEXT
R AMRICAN TITLE COMPANY
RESIDENTAL MASON
Recording Requested By
and When Recorded Return To:
City of Newport Beach
100 Civic Center Drive
P.O. Box 1768
Newport Beach, California 92658-8915
Attn: City Clerk
(Exempt From Recording Fees Pursuant to Government Code § 27383)
6 12 (SPACE ABOVE THIS LINE FOR RECORDER'S USE)
TERMINATION OF LEASEHOLD
This Termination of Leasehold is made this Zts� day of April, 2014, by and
between the CITY OF NEWPORT BEACH, hereinafter called "Lessor", and David M.
Harris, Administrator of the Estate of Jeffrey Michael Harris, deceased, hereinafter
called "Lessee".
RECITALS
A. Lessor and Lessee executed a lease on June 25, 2010, for which a
Memorandum of Lease was recorded June 30, 2010, by the County Recorder of
Orange County, California as Instrument No. 10-311344. By the terms of the Lease,
the following described property was leased to Lessee until July 1, 2044.
Lot 48 as shown on the map filed in Book 9, Pages 42 and 43 of Record
of Surveys in the Office of the County Recorder, County of Orange, State
of California.
B. Lessee desires to terminate said Lease and all rights to the possession of
the Lease premises and to release Lessor from its obligations under the Lease, and
Lessor desires to accept said termination and to release Lessee from his obligations
under the Lease.
AGREEMENT
Lessee agrees to terminate the Lease as described herein above as of April
Zls , 2014, and Lessor agrees to accept such termination, and Lessor and Lessee
agree to discharge and release each other from all obligations under the Lease as of
said date.
[SIGNATURES ON NEXT PAGE]
1
IN WITNESS WHEREOF, the Parties have caused this Termination of
Leasehold to be executed on the dates written below.
APPROVED AS TO FORM: CITY OF NEWPORT BEACH,
OFFICE OF THE CITY ATTORNEY A California municipal corporation
Date: - (� - j +-� Date: It) 14114
By: r By:
V.
Aaron Harp David Kiff
City Attorney City Manager
ATTEST: / ,j LESSEE
Date: Date:
C
By. By.
Leilani I. Brown
City Clerk
orz14%�'-
David M. Harris,
Administrator for the Estate of Jeffrey
Michael Harris
N
CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT
STATE OF CALIFORNIA }
} S.S.
COUNTY OF ORANGE }
On H- 3 - � O 1 V before me, L. R. Walin a Notary Public in and for said state,
personally appeared _ b'%y 6 y_
who proved
to the on the basis of satisfactory evidence to be the persons) whose name(&&) is/are subscribed to the within
instrument and acknowledged to me that he/sheAhey executed the same in his/hef4heir authorized capacity(ies), and
that by his/hen4eir signature(-&) on the instrument the person(&), or the entity upon behalf of which the person(&)
acted, executed the instrument.
I certify under PENALTY of PERJURY under the laws of the State of California that the foregoing paragraph is true
and correct.
WITNESS my hand and official seal.
Signature
L. R. W�ALIN
7 = NOTARY PUBLIC - CALIFORNIA
y = COMMISSION# 2036941
ORANGE COUNTY
M Comm. Ex . Au uet 23, _
This area for official notarial seal.
OPTIONAL SECTION
CAPACITY CLAIMED BY SIGNER
Though statute does not require the Notary to fill in the data below, doing so may prove invaluable to persons
relying on the document.
[ ] INDIVIDUAL
[ ] CORPORATE OFFICER(S) TITLE(S)
[ ]
PARTNER(S) — [ ] LIMITED [ ] GENERAL
[ ] ATTORNEY-IN-FACT
[ ]
TRUSTEE(S)
[ ] GUARDIAN/CONSERVATOR
[ ] OTHER
SIGNER IS REPRESENTING:
Name of Person or Entity
Name of Person or Entity
OPTIONAL SECTION
THIS CERTIFICATE MUST BE ATTACHED TO THE DOCUMENT DESCRIBED BELOW
TITLE OR TYPE OF DOCUMENT: Te sc h. a cod. Q � Le 4r c "c ld
NUMBER OF PAGES -I- DATE OF DOCUMENT
SIGNER(S) OTHER THAN NAMED ABOVE
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
CIVIL CODE § 1189
State of California
County of C) 2'At
On \U , 20 1 before me,J6NNFC—IQ— Kk(UN TUL-VEJ (\iDiAP`( j06Lt�_
Date Here Insert Name and Title of the Officer
personally appeared
JENNIFER ANNA MULMEY
Commission # 2045022
Z ;AFS Notary Public - California
Orange County
My Comm. Expires Oct 12, 2017!
Place Notary Seal Above
Names) of Signer(s)
who proved to me on the basis of satisfactory
evidence to be the person(o whose name(4 is/ap
subscribed to the within instrument and acknowledged
to me that he/sXe/tIaey executed the same in
his/her/,their authorized capacity(igs), and that by
his/her/ttpir signature(s) on the instrument the
person( or the entity upon behalf of which the
person(]i acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph
is true and correct.
WITNESS my hagd and official seal.
Signature:
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❑ Corporate Officer — Title(s):
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❑ Individual ❑ Attorney in Fact
❑ Trustee ❑ Guardian or Conservator
❑ Other:
Signer Is Representing:
Signer's Name:
document or
❑ Corporate Officer — Title(s):
❑ Partner — ❑ Limited ❑ General
❑ Individual ❑ Attorney in Fact
❑ Trustee ❑ Guardian or Conservator
❑ Other:
Signer Is Representing:
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RECORDING REQUESTED BY
TICOR TITLE
TUSTIN-ORAN E CO. BRANCH
a-5 Q 1 S -1 �.,
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
City Manager's Office
City of Nswport Reach
3300 Net ,_,cit Boulevard
Newport Beach, CA 92663
This Document was electronically recorded by
Zang Recording Services GG -13
Recorded in Official Records, Orange County
Tom Daly, Clerk -Recorder
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2010000311344 04:30pm 06/30/10
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C tk cF New Grr� MEMORANDUM OF LEASE Tr�0.►�sfit r '{"
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THIS MEMORANDUM OF LEASE is made and entered into by and between THE CITY OF
NEWPORT BEACH, a chartered municipal corporation, herein called "Lessor", and JEFFERY
MICHAEL HARRIS, a single man, herein called "Lessee", to witness that:
Lessor hereby leases to Lessee, commencing on Juni- a X0 and ending on July 1,
2044, on the terms and conditions set forth in that certain lease by and between the parties
hereto dated tItAk e, 133.010 , all the terms and conditions of which lease are made a
part hereof as though fulIV set forth herein, all those certain premises in the County of Orange,
State of California, described as follows:
t- of � A �CLj, Vl�c y,
Lot 48 as shown on the map filed in Book 9, Pages 42 and 43 of Record of Surveys in
the Office of the County Recorder, County of Orange, State of California.
EXECUTED onJ U -3 M*W, at Newport Beach, Orange County, California.
ATTEST:
QR{ CITY CLERK
APPROVED AS TO FORM:
CITY ATTORNE
LESSOR
THE CITY OF NEWPORT BEACH
N
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
State of California
County of (d
On A before me, AjibLl
to Here .Here Insert Name And rolle of the Officer
__�j �
personally appeared \( i
L, WASHINGTON
commission 1840150
Notary pubile calffornia
Orange County
201
MY Oomm 1-9 - _ _91
who proved to me on the basis of satisfactory
evidence to be the person*) whose names) is/afe
subscribed to the within instrument and acknowledged
to me that he/s#eAhey executed the same in
NsAie&ffieir authorized capacity(ies), and that by
his4mTffimir signaturefs) on the instrument the
person(&), or the entity upon behalf of which the
person(.&) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the
laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my ha nd official seal.
Place Notary Seal ancVor Stamp Above Sig ure:
k _
SignaWre of Nat ry Public
OPTION)
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17-': Corporate Officer— Title(s): [73 Corporate Officer — Title(s):
Individual
Limited General Top of thumb here
Partner — D T
Attorney in Fact
_J Trustee 77
1
_1, Guardian or Conservator
Other:
Signer Is Representing:
Individual
•
Partner Limited 1'.M General Top of thumb here
7 Attorney in Fact
E Trustee
'--" Guardian or Conservator
7_3 Other:
Signer Is Representing:
02008 National Notary Association - 9350 be Soto Ave., P.O. Box 2402 -Chatsworth.. CA 91313.2402• www,NationaiNotary.org Item #5907 Reorder Call Toll -Free 1-800-876-6827
CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT
STATE OF CALIFORNIA }
} S.S.
COUNTY OF }
On u ru I G lS'� Hca t r� before me, L 4 4-j n,
said state, personally appeared J -c �y
Notary Public in and for
` , who proved
to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and
that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s)
acted, executed the instrument.
I certify under PENALTY of PERJURY under the laws of the State of California that the foregoing paragraph is true
and correct.
WITNESS my hand and official seal.
Signature 1.1Aja _
ActtttD+tettttuuett►tntutinttettr
L. R. WAUN
�u Comm, #18&2353
NoWyRM-GWm t
a Mf tkKcxn Ex4r2�59
'ittnaf to of
This area for official notarial seal.
OPTIONAL SECTION
CAPACITY CLAIMED BY SIGNER
Though statute does not require the Notary to fill in the data below, doing so may prove invaluable to persons
relying on the document.
[ ] INDIVIDUAL
[ ] CORPORATE OFFICER(S) TITLE(S)
[ ] PARTNER(S) — [ ] LIMITED [ ] GENERAL
[ ] ATTORNEY-IN-FACT
] TRUSTEE(S)
[ ] GUARDIAN/CONSERVATOR
[ ] OTHER
SIGNER IS REPRESENTING:
Name of Person or Entity
Name of Person or Entity
OPTIONAL SECTION
THIS CERTIFICATE MUST BE ATTACHED TO THE DOCUMENT DESCRIBED BELOW
TITLE OR TYPE OF DOCUMENT:
NUMBER OF PAGES DATE OF DOCUMENT
SIGNER(S) OTHER THAN NAMED ABOVE
LEGAL DESCRIPTION
4A"
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE COUNTY OF ORANGE, STATE OF CALIFORNIA,
AND IS
_DE5.CRISED AS FOLLOWS:
LOT 48.. OF BEACON BAY SUBDIVISION, IN THE CITY OF NEWPORT BEACH, COUNTY OF ORANGE, STATE OF
CALIFORNIA, AS PER MAP RECORDED IN BOOK 9, PAGE(S) 42 AND 43 OF RECORD OF SURVEYS, IN THE
OFFICE OF THE COUNTY RECORDER OF SAID COUNTY.
LEASE
i ( THIS LEASE is made and entered into as of the M*day of J UnP. . 2010, by and between the CITY
OF NEWPORT BEACH, a Charter City and municipal corporation ("Lessor"), and Jeffery Michael Harris, a
single man ("Lessee"), regarding the real property commonly referred to as Beacon Bay Lot 48.
RECITALS
A. The City of Newport Beach, by virtue of a 1978 legislative grant found in Chapter 74 of the
C� Statutes of 1978 (the "Beacon Bay Bili"), holds the right, title and interest to certain tidelands and uplands
�J commonly known as Beacon Bay and generally described in Exhibit A attached hereto and incorporated
by reference.
B. The Beacon Bay Bill frees the "Westerly portion" of the filled tidelands from the public trust and
specifically authorizes the lease of the property for residential purposes subject to certain express
statutory conditions.
C. Beacon Bay, including the "Westerly Portion" thereof, has been divided into individual lots, with
each lot leased by the City for residential purposes until December 31, 2005.
D. On November 3, 1987, a majority of electors of the City approved a measure which authorized
the City Council to enter into new leases of residential lots in Beacon Bay for a period not to exceed fifty
(50) years,
E. On November 3, 1992, a majority of electors of the City approved Measure M which authorized
the City Council to lease tidelands and waterfront property consistent with the provisions of state law.
F. The City Council, pursuant to the authority conferred by the electors, entered into negotiations
with current lessees and the parties have agreed on the terms and conditions of a new lease with a fifty
(50) year term, provision for adjustments in lease payments to reflect changes in the value of Beacon Bay
leaseholds, and a recalculation of lease payments in the event of a transfer of the Lease by the Current
Lessee or any Subsequent Lessee (as defined herein),
G. Lessee acknowledges that the terms and conditions of this Lease may result in Lessee paying
substantially more or less than another Lessee for similar property depending upon the date this Lease is
executed, the date of any subsequent transfer, and the consideration paid for transfers of similarly
situated property.
H. Lessee acknowledges that accurate and complete reporting to the City of all consideration paid
for the transfer of this Lease is vitally important to the City in that failure to fully report all consideration
could materially reduce the amount of rent received by the City from other Beacon Bay Lessees.
I. Lessor and Lessee acknowledge that the City has agreed to a fifty (50) year term and limited
lease payment increases in consideration of provisions which require payment of rent approximating fair
market rental value, without regard to any advantage maintained by Current Lessees, upon transfer by
Current Lessees and payment of deferred rent in the event the Lease is not signed on or before. the
Effective Date (as defined herein).
J. The California State Lands Commission has reviewed the form of this Lease and determined that
it is in conformance with the provisions of relevant statutes, rules and regulations, including, without
limitation, the Beacon Bay Bill.
K, Lessor has determined that this Lease is consistent with provisions of the Beacon Bay Bill, the
Charter, General Pian and Zoning Ordinance of the City of Newport Beach, and of all other applicable
state and local laws.
N B 1-18787 t. V2 0 5/2 4194
L, Lessor has determined it is in the best interests of the citizens of Newport Beach to maintain the
residential character of Beacon Bay and to enter into new leases with Current Lessees under the terms
and conditions specified in this agreement.
NOW, THEREFORE, in consideration of the foregoing recitals and the covenants in this lease, the parties
agree as follows:
1. LEASED LAND.
Lessor hereby leases to Lessee the real property commonly known as Beacon Bay Lot 48 (the "Leased
Land"), which is more particularly described in Exhibit B, and generally depicted on Exhibit A, each
attached hereto and Incorporated by reference, subject to the limitations on use specified in Sectlon 6.
As used in this Lease, the term "Premises" shall refer to the Leased Land and any improvements
constructed thereon,
Lessor expressly reserves all oil, oil rights, gas, minerals, mineral rlghts, natural gas rights and other
hydrocarbon substances in and under the Leased Land and the right to grant and transfer the same,
together with all necessary and convenient rights to explore for, develop, produce and extract and take
the same, subject to the express limitation that any and all operations for the exploration, development,
production, extraction and taking of any such substance shall be carried on at levels below the depth of
five hundred feet (500') from the surface of the land by means of wells, derricks and other equipment from
surface locations on adjoining or neighboring land, and subject further to all restrictions and regulations
concerning the drilling for, and production of, oil, gas, minerals, petroleum and other hydrocarbon
substances specified in the Newport Beach City Charter or the Newport Beach Municipal Code.
2. TERM.
The term of this Lease shall commence on the Execution Date, but in no event prior to the Effective Date,
and shall expire on the date fifty (50) years following the Effective Date, unless earlier terminated as
provided in this Lease.
3. RENTAL.
A. Definitions, For the purposes of this Lease, the following terms shall be defined as
specified in this paragraph. In certain cases, the definition of the term contains operative
language that affects the rights of the parties:
(1) "Actual Sales Value" shall mean the total of all consideration paid for the
non-exempt transfer of this Lease or the Pre-existing Lease, including the improvements
on the Leased Land, from the Current Lessee, or Subsequent Lessee, to another person,
excluding any consideration paid for the transfer of personal property in connection with
such transaction.
(2) "Average Actual Sales Value Rent" shall mean two and one-half percent (2.5
%) of the mean of the Actual Sales Value of the non-exempt transfer of a similarly
situated (waterfront or interior) Beacon Bay parcels as specified in this subparagraph.
Average Actual Sales Value Rent shall be the mean of the Actual Sales Value of the
three similarly situated parcels most recently transferred, Exempt transfers, as defined In
Paragraph 3.13(3), shall not be used to calculate Average Actual Sales Value rent.
(3) "CPI" shall mean the Consumer Price index - Los Angeles -Anaheim -Riverside
Area, All Urban Consumers, All Items, published by the United States Department of
Labor, Bureau of Labor Statistics (1982-1984=100), if the 1982-1984 base of said
Consumer Price Index should hereafter be changed, then the new base shall be
converted to the 1982-1984 base and the base as so converted shall be used. In the
event that the Consumer Price Index, as now compiled and published, shall cease to be
published, then the successor Index shall be used provided that an appropriate
conversion from the old Index to the new index can feasibly be made. If such conversion
cannot be made, or if no such index is published, then another Index most nearly
comparable thereto recognized as authoritative shall be substituted by agreement.
(4) "Current Lessee" shall mean the person or persons who, as of April 1, 1994 (the
"Cut-off Date"), was or were the Lessee under the Pre-existing Lease.
(5) "Deferred Rent" shall mean the total rent that a Current Lessee would have paid
had this Lease been executed on the Effective Date, through and including the date on
which this Lease was first executed, less the rent actually paid pursuant to the Pre-
existing Lease, together with interest at the rate of eight percent (8%) per annum
calculated on the balance due at the end of each Lease Year or portion thereof.
(6) "Effective Date" shall mean July 1, 1994.
(7) "Execution Date" shall mean the date when this Lease is executed by Lessee.
(8) "Initial Rent" shall mean the effective net rent for the Leased Land as
determined by the appraisal of George Hamilton Jones, with due consideration to the
leasehold advantage created by the Pre-existing Lease, all as shown on Exhibit C
attached hereto and incorporated herein by reference.
(9) "Person" shall mean any natural person or natural person(s) and does not
Include any corporation, association, or business entity in any form except a financial
institution or other bona fide lender acting in the capacity of a lender or an inter vivos or
living trust.
(10) "Pre-existing Lease" shall mean the Lease for the Leased Land which was
effective on January 1, 1988, and would, absent this Lease, expire on July 1, 2006.
(11) "Transferred" shall mean any sale, assignment, sublease or other transaction,
other than an exempt transfer as defined in Paragraph 3.13(3), pursuant to which the right
to possession of the premises and the right to sign a new lease identical to this Lease is
transferred to another person.
B. Rental Payments.
Lessee shall pay annual rent in the sum of Twenty-five thousand two hundred and fifty and
00/100s (25,250.00}, payable at the rate of Two thousand one hundred four and 00/17s
($2,104.17 per month. Lessee shall also pay, if applicable, deferred rent in the sum of (N/A)
upon execution of this Lease.
Rent shall be adjusted every seven (7) years after the date of transfer in accordance with the
provisions of Paragraph 3.13(4). Annual rent, deferred rent, and periodic adjustments are based
upon the following:
(1) Execution Before Effective Date.
In the event this Lease is executed by the Lessee on or before the Effective Date, Rent
shall be paid as follows:
(a) Current Lessee: Current Lessee shall pay annual rent equal to Initial
Rent as specified in Exhibit C. Thereafter, so long as there has been no transfer
of this Lease by the Current Lessee (other than an exempt transfer as set forth in
Paragraph 3.13(3), rent shall remain as specified in this subparagraph
notwithstanding the provisions of Paragraph 3.13(4).
(b) In the event of any transfer of this Lease to a Subsequent Lessee, the
Subsequent Lessee shalt pay annual rent equal to two and one-half percent
(2.5%) of the Actual Sales Value determined as of the date of the transfer in
accordance with the provisions of paragraph 3.A(t). Thereafter, rent shall be
adjusted every seven years after the date of the transfer in accordance with the
provisions of paragraph 3.13(4).
(c) In the event of any transfer of this Lease to a Subsequent Lessee In a
transaction other than an arm's length assignment of this Lease, and sale of the
improvements on the Leased Land, if any, such as a gift or transfer by
inheritance other than an exempt transfer under Paragraph 3.13(3), the
Subsequent Lessee shall pay annual rent equal to the Average Actual Sales
Value Rent calculated as of the date of the transfer in accordance with the
provisions of Paragraph 3.A(2).
(2) Execution After the Effective Date.
In the event this Lease Is first executed after the Effective Date, rent shall be determined
and paid as follows:
(a) Current LesseeAAAthin Five Years After Effective Date: In the event this
Lease is executed by the Current Lessee within five (5) years after the Effective
Date, the Current Lessee shall pay annual rent equal to Initial Rent plus a sum
calculated by multiplying the difference between Initial Rent and Average Actual
Sales Value Rent by a fraction equal to the number of months between the
Effective Date and Execution Date, divided by sixty. The Current Lessee shall
also pay all Deferred Rent concurrent with the execution of this Lease.
Thereafter, so long as there has been no transfer of this Lease by the Current
Lessee, rent shall remain as specified in this subparagraph, notwithstanding the
provisions of Paragraph 3.13(4).
(b) Current Lessee/More Than Five Years After Effective Date: In the event
this Lease is executed by the Current Lessee more than five (5) years after the
Effective Date, the Current Lessee shall pay annual rent equal to Average Actual
Sales Value Rent calculated as of the date of execution in accordance with the
provisions of Paragraph 3.A(2). The Current Lessee shall also pay all Deferred
Rent concurrent with the execution of this Lease. Thereafter, rent shall be
adjusted every seven (7) years after the date of execution in accordance with the
provisions of Paragraph 3.13(4).
(c) Subsequent Lessee: In the event the Current Lessee transfers the Pre-
existing Lease to a Subsequent Lessee who wishes to sign this Lease after the
Cut-off Date, the Subsequent Lessee shall pay annual rent equal to two and
one-half percent (2.5%) of Actual Sales Value determined as of the date of
execution and in accordance with Paragraph 3.A('(). The Subsequent Lessee
shall also pay all Deferred Rent concurrent with the execution of this Lease. The
annual rent shall be adjusted every seven (7) years following the Execution Date
in accordance with the provisions of Paragraph 3.13(4).
(d) Subsequent Lessee: In the event of any transfer of this Lease to a
Subsequent Lessee who wished to sign this Lease after the Cut-off Date in a
transaction other than an arm's length assignment of this Lease, and sale of the
improvements on the Leased Land, if any, such as a gift or transfer by
Inheritance other than an exempt transfer under Paragraph 3.13(3), the
Subsequent Lessee shall pay annual rent equal to the Average Actual Sales
Value Rent calculated as of the date of the transfer in accordance with the
provisions of Paragraph 3.A(2). The Subsequent Lessee shall also pay all
Deferred Rent concurrent with the execution of this Lease. The annual rent shall
4
be adjusted every seven (7) years following the Execution Date in accordance
with the provisions of Paragraph 3.13(4),
(3) Exempt Transfers.
The provisions of Paragraph 3,13 regarding transfers shall not operate to increase rent if:
(a) Lessee is assigning an interest in this Lease to a trustee under a deed of
trust for the benefit of a lender;
(b) the transfer is caused by the death of a spouse and the full interest of the
deceased spouse is transferred to a surviving spouse;
(c) the transfer of an interest in this Lease is between or among tenants in
common or joint tenants in ownership of the leasehold estate created by this
Lease, and such tenants in common or joint tenants first acquired their
respective interests in this Lease simultaneously;
(d) the transfer or assignment is by a bona fide lender acquiring title by
foreclosure or deed in lieu of foreclosure of a trust deed; or
(e) the transfer is a sublease of the premises for three years or less;
provided, however, that in determining the term of a sublease, any options or
rights to renew or extend the sublease shall be considered part of the term
whether or not exercised;
(f) the transfer is caused by the dissolution of the marriage of Lessee and
the full interest of one of the spouses is transferred to the other spouse;
(g) the transfer is to an inter vivos trust, living trust or other similar estate
planning arrangement of Lessee; provided, however, that the provisions of
Paragraph 3,C shall apply upon the death of such Lessee if the beneficiary of
such trust or other arrangement is other than the surviving spouse or a tenant in
common or joint tenant in ownership of the leasehold estate created by this
Lease, and such tenants In common or joint tenants first acquired their
respective interests in this Lease simultaneously; or
(h) the transfer is to a guardian or custodian of Lessee appointed due to the
physical or mental incapacity of Lessee; provided, however, that the provisions of
Paragraph 3.0 shall apply upon the death of such Lessee unless the transferee
is the surviving spouse or a tenant in common or joint tenant in ownership of the
leasehold estate created by this Lease, and such tenants in common or joint
tenants first acquired their respective interests in this Lease simultaneously.
(4) Rent Adjustments.
(a) Except as provided in Paragraphs 3.B(I)(a), 3.13(2)(a) and 3.B(3), on the
seventh (7th) anniversary of the Execution Date of this Lease, or the seventh
(7th) anniversary of the date of any transfer of this Lease by any Current or
Subsequent Lessee, rent shall be adjusted to reflect any Increase or decrease in
the cost of living, which adjustment shall be determined as set forth hereinafter.
The most recently published CPI figure shall be determined as of the date ninety
(90) days prior to the adjustment date, and rent payable during the ensuing
seven (7) year period shall be determined by increasing or decreasing the then
current rent by a percentage equal to the percentage Increase or decrease, if
any, in the CPI as of the Execution Date, or the date of the most recent rental
adjustment, or the date of any transfer of this Lease by any Current or
Subsequent Lessee, whichever is later. in no event shall rent be increased or
decreased by a sum greater than forty percent (40%) of the rent paid by Lessee
as of the later of (i) the Execution Date, or (ii) the last rental adjustment date.
Lessor shall endeavor to notify Lessee of rental adjustments at least forty-five
(45) days prior to the end of each seventh (7th) lease year; provided, however,
failure of Lessor to give forty-five (45) days' notice does not relieve Lessee from
the obligation to pay increased rent or the right to pay less rent in the event of a
decrease in the CPI; and, provided further, that Lessee shall have no obligation
to pay rent Increases which apply to any period greater than ninety (90) days
prior to the receipt by Lessee of Lessor's notice of an Increase in rent.
(b) In the event Lessee is two or more persons owning the leasehold estate
created hereby as tenants in common or joint tenants, and less than all of such
persons transfer their interest in this Lease to a person other than to an existing
tenant In common or joint tenant, the rent adjustment shall be prorated to reflect
the percentage interest being transferred to a third party. For example, if two
persons are the Lessee as tenants in common as to equal one-half interests, and
one of such persons transfers his/her 50% interest to a third party, the rent shall
be adjusted as provided in Paragraph 3.13(2)(c), and thereafter as provided in
Paragraph 3.13(4)(a), and the resultant rental increase multiplied by the
percentage transferred (50%) to determine the rental increase; provided,
however, that any subsequent transfer of an interest in this Lease to such third
party shall not be exempt under subparagraph 3.B(3).
(5) Installment Payments/Grace Period.
Lessee shall pay rent in equal monthly installments, in advance, with payment due on or
before the first day of the month for which rent is paid. Rent shall be prorated during any
month when a transaction which Increases rent becomes effective other than the first day
of that month. No late payment charge applies to payments received by Lessor on or
before 5:00 P.M. on the fifteenth (15th) day of the month for which the payment is made
("Grace Period") . If a rent payment, or any portion thereof, is received by Lessor after
expiration of the Grace Period, Lessee shall pay Lessor a late payment charge equal to
four percent (4%) of each late payment, or portion thereof. Rent payments shall be
payable to the City of Newport Beach and sent, or delivered, to the Finance Director at
the address specified for service of notices. Rent shall be payable by Lessee to Lessor
in such coin or currency to the United States as at the time of payment is legal tender for
public and private debts, Lessor and Lessee agree that late charges specified in this
paragraph represent a fair and reasonable estimate of the cost Lessor will incur by
reason of any late payment by Lessee. Any late or missed payment of rent constitutes a
default pursuant to paragraph 13 of this Lease. Any failure by Lessor to declare a default
and initiate termination of this Lease due to a late or missed payment shall not be
considered a waiver of the right of Lessor to do so for that or any other late or missed
payment.
C. Credit to Tidelands Fund. In calculating Initial Rent under this Lease, a credit was
given to certain of the Current Lessees equal to the annual amortization of the present value of
the additional property tax to be paid by such lessees during the remaining period of the Pre-
existing Lease. This credit, commonly referred to as the "tax advantage", is shown on Exhibit D
for each affected lot. This credit was extended by Lessor to Current Lessees as consideration for
entering into this Lease. As a consideration in its approval of this Lease, the California State
Lands Commission required Lessor to credit its State supervised Tidelands Trust Fund by an
amount equivalent to the tax advantage derived from those lots in Beacon Bay comprising
tidelands. This amount is shown on Exhibit D for each affected lot comprising tidelands.
Accordingly, Lessor has unilaterally agreed to annually calculate the amount of such tax
advantage derived from the tidelands parcels in Beacon Bay and to credit an equivalent amount
as revenue to the State supervised Tidelands Trust Fund. This provision is included in this Lease
to acknowledge the agreement of Lessor with the California State Lands Commission, and does
not affect the rights and obligations of Lessor or Lessee under this Lease,
4. TRANSFERS.
A. Conditions Precedent to Transfer. Lessee may transfer this Lease subject to the prior
written consent of Lessor, which consent shall not be unreasonably withheld, delayed or
conditioned. Lessor shall consent to any transfer when Lessee and the proposed transferee
have complied with the following:
(1) Lessee shall furnish Lessor with executed copies of each and every document
used to effect the transfer.
(2) Lessee or the proposed transferee shall pay to Lessor a transfer fee of one
hundred dollars ($100.00);
(3) Lessee shall execute a "Termination of Leasehold Interest" far recordation; and
(4) The proposed transferee shall execute a new lease and execute a
"Memorandum of Lease" for recordation, which lease shall be identical to this Lease and
have a term equal to the remaining term of this Lease at the time of the transfer.
B. Transfer Information. The parties to any non-exempt transfer of this Lease shall
provide Lessor with all information relevant to a determination of the total consideration paid for
the transfer, as well as all documents which are relevant to the total consideration paid for the
transfer. Lessee and the proposed transferee shall provide this information not later than forty-
five (45) days prior to the proposed effective date of the transfer of this Lease. Lessor shall have
the right, at its sole discretion, to commission an appraisal of the fair market value of this Lease
and improvements thereon as of the date of transfer. Any such appraisal shall be completed not
later than thirty (30) days after receipt by Lessor of the aforementioned information from the
Lessee. If the value determined by the appraiser commissioned by Lessor exceeds the stated
total consideration to be paid based on the information received from the Lessee by more than
ten percent (10%), Lessor shall so notify the Lessee and provide Lessee with a full copy of such
appraisal report, and said value shall be deemed the Actual Sales Value for purposes of
calculating Average Actual Sales Value Rent and rental payments unless within fifteen (15) days
after receiving such notice and the report the Lessee notifies Lessor that Lessee elects to cause
an appraisal of the fair market value of this Lease and improvements thereon as of the date of
transfer to be conducted by an independent appraiser. In such event, Lessee cause such
appraisal to be completed no later than thirty (30) days after the notice to Lessor and shall
provide Lessor with a full copy of the appraisal upon completion. The Actual Sales Value for
purposes of calculating Average Actual Sales Value Rent and rental payments shall be the
greater of (1) the stated consideration for the transfer, or (ii) the average of the two appraisals.
Any appraisal commissioned by Lessor or Lessee under this Paragraph 4.13 shall be conducted
by an MAI appraiser licensed to conduct business in the State of California and experienced in
residential appraisals in Southern California.
C. Exempt Transfer Information. Lessor's consent is not required for the "exempt
transfers" referenced in Paragraph 3,13(3); provided, however, Lessee shall furnish Lessor with
copies of all documents used to effect any exempt transfer.
D. Audit of Subleases. It is the intent of the parties that transfers referred to in Section
3.13(3)(e) shall only be exempt from the further provisions of Paragraph 3.8 (in respect of rental
adjustments) if such subleases are not substantially equivalent to, do not have substantially the
same economic effect as, or are intended to disguise, a transfer by the then Lessee of all or
substantially all of his/her interest in this Lease to the putative sublessee. Lessor shall at all
times have the right, upon written request to the Lessee, to receive copies of all written
agreements, and to be advised in full of all oral agreements, between the Lessee and any
sublessee of the Leased Land. Any purported sublease of the premises which is determined to
be substantially equivalent to, or have substantially the same economic effect as, or is intended
to disguise, a transfer by the then Lessee of all or substantially all of his/her interest in this Lease
to the putative sublessee shall be void and of no force or effect, and such attempted or purported
sublease shall, at the option of Lessor, (i) be an event of default by the Lessee under this Lease,
or (ii) permit Lessor to treat such sublease as a transfer of this Lease subject to the provisions of
Section 3.13,
b. ENCUMBRANCES.
A. Right to Encumber. Lessee may encumber this Lease by deed of trust, mortgage, or
similar instrument, in favor of any bona fide lender ("Lender") in a bona fide loan transaction for
any purpose without the consent of Lessor. To determine whether a loan is a bona fide lending
transaction, and not an arrangement for transfer of the possession or title to the Premises to the
putative lender, Lessee and the lender agree to provide Lessor with all documentation executed
between Lessee and the lender concerning the loan upon request of Lessor. Neither Lessee nor
Lessor shall have the power to encumber Lessor's interest in the Leased Land, Any
encumbrance shall be subject to all covenants, conditions and restrictions in this Lease and to all
rights and interests of Lessor except as otherwise expressly provided in this Lease. Lessee shall
give Lessor prior written notice of any encumbrance.
B. Notice to Lender. Lessor shall have no obligation to give any Lender any written notice
pursuant to this Lease unless the Lender has given Lessor written notice of Its name, address,
and nature of encumbrance ("Complying Lender") . Lessor shall give all Complying Lenders a
copy of any written notice of default, notice of termination or other notice which may affect
Lessee's rights under this Lease. Notice shall be deemed given by Lessor to Lender five (5) days
following deposit in the United States mail, certified and return receipt requested, postage
prepaid, and sent to Lender at the address furnished In writing by Lender.
C. Modification. Lessor and Lessee agree that they will not modify, surrender or cancel
this Lease by mutual agreement without the prior written consent of Lender.
D. Rights of Lender. Any Lender holding or the beneficiary of a security Interest or lien on
this Lease and the leasehold estate created hereby shall have the right, during the term of the
Lease, to:
(1) perform any act required of Lessee pursuant to this Lease;
(2) transfer this Lease to the purchaser at any foreclosure sale, the assignee in the
event of an assignment in lieu of foreclosure, or to acquire the interest of Lessee
pursuant to foreclosure or assignment and thereafter transfer this Lease to the Lender's
successor.
Lender shall have no right to transfer this Lease unless and until Lender has cured all defaults
requiring the payment or expenditure of money by Lessee.
E. Right of Lender to Cure Default. Lessor shall give written notice of any default or
breach of this Lease by Lessee to Lender and afford Lender the opportunity, after notice, to:
(1) cure the breach or default within ten (10) days after expiration of the time period
granted to Lessee for curing the default if the default can be cured by payment of money;
(2) cure the breach or default within thirty (30) days after expiration of the time
period granted to Lessee for curing the default when the breach or default can be cured
within that period of time; or
(3) cure the breach or default in a reasonable time when something other than
money is required to cure the breach or default and cannot be performed within thirty (30)
days after expiration of the time period granted to Lessee for curing the default, provided
the acts necessary to cure the breach are commenced within thirty (30) days and
thereafter diligently pursued to completion by Lender.
F. Foreclosure in Lieu of Cure. Lender may forestall termination of this Lease for a
default or breach by Lessee by commencing foreclosure proceedings subject to strict compliance
with the following:
(1) proceedings are commenced within thirty (30) days after the later of (i) expiration
of the time period granted to Lessee for curing the default, or (ii) service on Lender of the
notice describing the breach or default;
(2) the proceedings are diligently pursued to completion in the manner authorized by
law; and
(3) Lender performs all of the terms, covenants and conditions of this Lease
requiring the payment or expenditure of money by Lessee until the proceedings are
complete or are discharged by redemption, satisfaction, payment or conveyance of this
Lease to Lender.
G. New Lease. Notwithstanding any other provision of this Lease, should this Lease
terminate or be terminated because of any default or breach by Lessee, Lessor shall enter into a
new lease with Lender as lessee provided:
(1) the written request for the new lease is served on Lessor by Lender within thirty
(30) days after the termination of this Lease.
(2) the new lease contains the same terms and conditions as this Lease except for
those which have already been fulfilled or are no longer applicable.
(3) on execution of the new lease by Lessor, Lender shall pay any and all sums that
would be due upon execution of the new lease, but for its termination, and shall fully
remedy, or agree In writing to remedy, any other default or breach committed by Lessee
that can reasonably be remedied by Lender.
(4) Lender shall, upon execution of the new lease, pay all reasonable costs and
expenses (including attorney's fees) incurred in terminating this Lease, recovering
possession of the premises from Lessee, in preparing the new lease.
H. Miscellaneous. The following provisions shall apply to Lessor, Lessee and any Lender:
(f } Any Lender shall be liable to perform the obligations of the Lessee under this
Lease only so long as the Lender holds title to this Lease;
(2) Lessee shall, within ten (10) days after the recordation of any trust deed or other
security instrument, record, at Lessee's sole expense, Lessor's written request for a copy
of any notice of default and/or notice of sale under any deed of trust as provided by state
law.
6. USE AND MAINTENANCE.
A. Use of Leased Land. The Leased Land shall be solely for residential purposes. Lessee
may demolish, construct, remodel, reconstruct and maintain structures on the Leased Land for
residential purposes so long as the structures and construction are authorized by appropriate City
permit and fully comply with all City ordinances, resolutions, regulations, policies, and plans.
Lessee shall also obtain permission to construct and/or maintain structures from the California
Coastal Commission and any other state agency if required by law.
B. Maintenance of Improvements. Lessor shall not be required to make any changes,
alterations, additions, improvements, or repairs in on or about all or part of the Premises. Lessee
shall, at all times during the term of this Lease and without any cost or expense to Lessor, keep
and maintain, the Premises, including, without limitation, all structures, facilities, walks, curbs,
parkways and other improvements, in good order and repair and in a clean, safe, sanitary and
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orderly condition. Lessee shall repair or reconstruct any improvements on the Leased Land
following any damage or destruction thereof, unless the improvements are being destroyed in
conjunction with remodeling or reconstruction and Lessor has consented, in writing, to the
damage or destruction. Lessee shall cause to be constructed, maintained and repaired all
utilities, pipes, walls, sewers, drains, and other improvements on the Premises to the extent
required by law or as necessary to maintain the improvement in good order and repair and safe
and sanitary condition.
C. Compliance with Laws. Lessee shall make, or cause to be made, any additions,
alterations or repairs to any structure or improvement on the Premises which may be required by,
and Lessee shall otherwise observe and comply with, any law, statute, ordinance, plan,
resolution or policy applicable to the Premises. Lessee shall indemnify, defend and hold Lessor
harmless from and against any loss, liability, action, claim or damage, arising out of, or in any
way related, to Lessee's failure to comply with, and perform pursuant to, provisions of this
subparagraph C. All repairs, additions, and alterations to the structures or improvements on the
Premises shall conform to all applicable laws, ordinances, regulations, plans, policies and
resolutions and all work shall be performed with reasonable diligence, completed within a
reasonable time, and performed at the sole cost and expense of Lessee.
D. As Is Condition of Premises. Lessee expressly accepts the Premises "as is" and
acknowledges that Lessor has made no representations or warranties as to the suitability of the
property or any construction or improvement. Lessee shall conduct all tests necessary to
determine the suitability of the property for any proposed construction or improvement, including,
without limitation, the amount and extent of any fill, and related factors. Lessee expressly
acknowledges that Lessor shall not be liable for any damage or loss resulting from any
subsurface or soil condition in, on, or under the Premises or adjacent property. Lessee expressly
acknowledges that, while the legislature of the State of California has purportedly removed the
public trust restrictions on use of the Property pursuant to the Beacon Bay Bill, the Leased Land
may constitute filled tidelands, and Lessor has made no representation or warranty relative to the
validity of the Beacon Bay Bill or the power of the legislature of the State of California to remove
public trust restrictions on tidelands through legislation. Notwithstanding the foregoing, in the
event of any challenge to the right and power of Lessor to lease the Leased Land for the
purposes provided in this Lease, Lessor agrees, at its sole cost and expense, to use all
reasonable efforts to resist and defend against such challenge and to seek a ruling or judgment
affirming and upholding the right and power of Lessor to lease the Leased Land for the purposes
provided in this Lease.
7. TAXES AND UTILITIES.
It is understood by Lessor and Lessee that this Lease shall give rise to a possessory interest tax
obligation and that the execution of this Lease will constitute a reassessment event which may give rise
to a material increase in the possessory interest tax currently payable by Lessee under the Pre-existing
Lease. 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 Leased Land, and/or any
improvements, Including, without limitation, any possessory interest tax. Any lien for unpaid utilities,
taxes, assessments or charges shall not attach to the leasehold interest but only to improvements located
on the Leased Land.
S. USE AND MAINTENANCE OF COMMON AREA.
Lessee shall have the right to use the streets, beaches, walkways, tennis courts, docks, piers, and
common landscaped areas in Beacon Bay (as depicted on Exhibit A) and which are leased to the
Beacon Bay Community Association by Lessor in consideration of the maintenance thereof by such
Association and rent to be paid by individual Lessees under their respective leases.
9. MAINTENANCE AND IMPROVEMENT OF INFRASTRUCTURE.
Lessor has no obligation to install, improve, repair, or maintain streets, curbs, gutters, water lines, sewer
lines, drainage facilities, street lighting or other facilities used by the residents of Beacon Bay
(Infrastructure). Notwithstanding Section 8 above, Lessor reserves the right, after a five (5) year period
following the Effective Date and upon approval by the Lessees representing a majority of the lots in
Beacon Bay, to improve and maintain streets, curbs, gutters, water lines, sewer lines', drainage facilities,
street lighting, telephone and electricity lines and other Infrastructure facilities in Beacon Bay at its initial
cost and to assess Lessee for a pro rata share of such costs, and to collect such costs from Lessee in the
form of rent over the remaining term of this Lease.
10. COMMUNITY ASSOCIATION.
A. Membership In Association. As a material part of the consideration of this Lease, and
as an express condition to the continuance of any of the rights of Lessee pursuant to this
Agreement, Lessee agrees to become, and during the term of this Lease to remain, a member in
good standing of the Beacon Bay Community Association.
B. Compliance with Rules and Regulations. Lessee agrees to abide by the Articles of
Incorporation, bylaws, and ail rules and regulations of the Association, and to pay to the
Association, before delinquency, all valid dues, fees, assessments and other charges properly
levied or assessed by the Association. Lessee's failure to comply with the provisions of
Paragraph A and this Paragraph B shall constitute a material breach of this Lease.
C. Lessor Maintenance of Common Areas. In addition to the rights reserved to Lessor
pursuant to the provisions of Section 9, if the Community Association fails or ceases to maintain
community facilities, Lessor may, at Its option and without obligation, assume the obligations of
the Community Association to maintain, repair, install or improve community facilities. In such
event, Lessee shall pay a pro rata share of Lessor's reasonable expenses In maintaining and
operating the community facilities, including a reasonable management fee or the fee charged by
a management agent. Lessee's pro rata share shall be determined by dividing Lessor's costs by
the number of residential lots within Beacon Bay (currently seventy-two lots) , Lessee's pro rata
share of the annual costs incurred by Lessor shall be paid within thirty (30) days after written
notice of the amount due, and any failure to pay shall constitute a material breach of this Lease.
The costs of maintaining and operating community facilities shall be determined annually and
solely from the financial records of Lessor.
11. COVENANTS, CONDITIONS AND RESTRICTIONS.
Lessee agrees to abide and be bound by all covenants, conditions, restrictions and reservations as
contained in Exhibit E attached hereto and incorporated herein by this reference. Said covenants,
conditions and restrictions shall run with the Leased Land and shall be binding on Lessee and Lessee's
successors in interest.
12. INDEMNIFICATION.
Lessee shall Indemnify, defend and hold harmless Lessor, its City Council, Boards and Commissions,
officers, agents, servants and employees from and against any and all actions, causes of action,
obligations, costs, damages, losses, claims, liabilities and demands of any nature whatsoever, including
reasonable attorneys' fees, regardless of the merit or outcome of any such claim or suit, arising out of, or
in any way related, to the condition of the Premises, or the use or possession of the Premises by Lessee,
or Lessee's employees, agents, representatives, guests or invitees, as well as any activity, work or things
which may be permitted or suffered by Lessee in or on the Premises, Lessee shall indemnify, defend and
hold harmless Lessor, its City Council, Boards and Commissions, officers, agents, servants and
employees from and against any and all actions, causes of action, obligations, costs, damages, losses,
claims, liabilities, and demands of any nature whatsoever, including reasonable attorneys' fees, accruing
or resulting to any and all persons, firms or corporations furnishing or supplying work, services, materials,
equipment or supplies arising from or in any manner connected to the use or possession of the Premises
by Lessee or from any activity, work or things which may be permitted or suffered by Lessee in or about
the Premises. Without limiting the generality of the foregoing, Lessee hereby assumes all risk of damage
to property or injury to persons in or about the Premises from any cause except for damage or injury
resulting from the negligence or willful, fraudulent or criminal conduct by Lessor and/or its officers,
11
employees, agents and representatives, and Lessee hereby waives all claims in respect thereof against
Lessor.
13, INSURANCE.
A. General Conditions. All insurance required to be carried pursuant to this Section 13
shall be obtained from reputable carriers licensed to conduct business In the State of California.
Each policy required to be carried pursuant to this Section 13 shall name Lessee and Lessor as
additional named insureds, and shall provide that the policy may not be surrendered, cancelled or
terminated, or coverage reduced, without not less than twenty (20) days prior written notice to
Lessor.
B. Fire Insurance. Lessee shall, during the term of this Lease, insure all structures and
improvements on the Leased Land against loss or damage by fare or other risk for residential
structures. The insurance shall provide coverage to at least ninety percent (90%) of the full
insurable replacement value of all improvements on the Leased Land, .with the loss payable to
Lessee unless this Lease is terminated by Lessor for default of Lessee in which case the
proceeds of Insurance shall be paid to Lessor,
C. Liability Insurance. Lessee shall, at Lessee's sole cost and expense, procure and
maintain during the term of this Lease, a broad form comprehensive coverage policy of public
liability insurance which insures Lessee and Lessor against any loss or liability caused by, or in
any way related to, the condition, for Lessee's use and occupation, of the premises in amounts
not less than:
(1) $500,000 per occurrence for injury to, or death of, one person;
(2) $100,000 for damage to or destruction of property.
14. DEFAULT.
A. Events of Default. The occurrence of any one or more of the following events shall
constitute a material default and breach of this Lease by Lessee:
(1) the abandonment of the Premises by Lessee;
(2) the failure by Lessee to make any payment of rent when due if the failure
continues for three (3) days after written notice has been given to Lessee. in the event
that Lessor serves Lessee with a Notice to Pay Rent or Quit pursuant to applicable
unlawful detainer statutes, such Notice to Pay Rent or Quit shall also constitute the notice
required by this paragraph;
(3) the failure by Lessee to perform any of the provisions of this Lease and any
Exhibits attached hereto to be performed by Lessee, other than described in Paragraph
14.A(2) above, if the failure to perform continues for a period of thirty (30) days after
written notice thereof has been given to Lessee. If the nature of Lessee's default is such
that more than thirty (30) days are reasonably required for its cure, then Lessee shall not
be In default if Lessee commences the cure within said thirty (30) day period and
thereafter diligently prosecutes the cure to completion; or
(4) the failure of Lessee to provide Lessor with all relevant information regarding the
total consideration paid in conjunction with any transfer of this Lease;
(5) the making by Lessee of any general assignment, or general arrangement for the
benefit of creditors; the filing by or against Lessee of a petition to have Lessee adjudged
a bankrupt or a petition for reorganization or arrangement of any law relating to
bankruptcy unless the same is dismissed within sixty (60) days; the appointment of a
trustee or receiver to take possession of substantially all of Lessee's assets located at
the Premises or of Lessee's interest in the Lease, where possession Is not restored to
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Lessee within thirty (30) days; or the attachment, execution or other judicial seizure of
substantially all of Lessee's assets located at the Premises or of Lessee's interest in the
Lease, where such seizure is not discharged within thirty (30) days.
Notices given under this Paragraph 14.A shall specify the alleged default and the applicable
lease provisions, and shall demand that Lessee perform the provisions of this Lease or pay the
rent that is In arrears, as the case may be, within the applicable period of time. No such notice
shall be deemed a forfeiture or a termination of this Lease unless Lessor so elects In the Notice.
B. Landlord's Remedies. In the event of any default by Lessee as defined in Paragraph
14.A, Lessor may, in addition to any rights or remedies permitted by law, do the following:
(1) Terminate Lessee's right to possession of the Leased Premises by any lawful
means, in which case this Lease shall terminate and Lessee shall immediately surrender
possession of the Premises to Lessor. In such event, Lessor shall be entitled to recover
from Lessee all amounts to which Lessor is entitled pursuant to Section 1951.2 of the
California Civil Code, or any other provision of law, including, without limitation, the
following:
(a) The worth at the time of award of the amount by which the unpaid rent
and additional rent for the balance of the term after the time of award exceeds
the amount of the loss than Lessee proves could be reasonably avoided; and
(b) any other amount necessary to compensate Lessor for all detriment
proximately caused by Lessee's failure to perform obligations pursuant.to this
Lease or which In the ordinary course of things would be likely to result from the
breach, Including, without limitation, the cost of recovering possession, expenses
of reletting (including necessary repair, renovation and alteration) reasonable
attorneys' fees, and any other reasonable costs.
The "worth at the time of award" of all rental amounts other than that referred to in clause
(i) above shall be computed by allowing interest at the rate of ten percent (10%) per
annum from the date amounts accrue to Lessor. The worth at the time of award of the
amount referred to in clause (i) shall be computed by discounting such amount at one
percentage point above the discount rate of the Federal Reserve Sank of San Francisco
at the time of award.
(2) Without terminating or affecting the forfeiture of this Lease or, in the absence of
express written notice of Lessor's election to do so, relieving Lessee of any obligation
pursuant to this Lease, Lessor may, but need not, relet all or a portion of the Premises at
any time, or from time to time, and on such terms and conditions as Lessor, at its sole
discretion, deems appropriate, Whether or not the Premises are relet, Lessee shall pay
all amounts required by this Lease up to the date that Lessor terminates Lessee's right to
possession of the Premises. Lessee shall make such payments at the time specified in
the Lease and Lessor need not wait until termination of the Lease to recover sums due
by legal action. If Lessor relets all or a portion of the Premises, the reletting shall not
relieve Lessee of any obligation pursuant to this Lease; provided, however, Lessor shall
apply the rent or other proceeds actually collected by virtue of the reletting against
amounts due from Lessee. Lessor may execute any agreement reletting all or a portion
of the leased premises and Lessee shall have no right to collect any proceeds due
Lessor by virtue of any reletting. Lessor shall not, by any reentry or reletting or other act,
be deemed to:
(a) Have accepted any surrender by Lessee of this
Lease or the leased premises;
(b) have terminated this Lease; or
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(c) have relieved Lessee of any obligation pursuant to this Lease unless
Lessor has given Lessee express written notice of Lessor's election to do so.
(3) Lessor may terminate this Lease by express written notice to Lessee of its
election to do so. The termination shall not relieve Lessee of any obligation which has
accrued prior to the date of termination. In the event of termination, Lessor shall be
entitled to recover the amount specified in Paragraph 14.13(1),
G, Default By Lessor. Lessor shall not be in default unless Lessor fails to perform
obligations required of Lessor within a reasonable time, but in no event later than thirty (30) days
after written notice by Lessee to Lessor specifying wherein Lessor has failed to perform such
obligation. If the nature of Lessor's obligation is such that more than thirty (30) days are required
for performance, then Lessor shall not be in default if Lessor commences performance within
such thirty (30) day period and thereafter diligently prosecutes the same to completion.
D. Stay of Obligations, Neither party shall be under any obligation to perform or comply
with its obligations pursuant to this Lease after the date of any default by the other party,
E. Determination of Rental Value. In any action or unlawful detainer commenced by
Lessor, the reasonable rental value of the Leased Land shall be deemed to be the amount of rent
and additional rent (such as reimbursement for costs of Infrastructure improvements or the
payment of taxes or assessments) for the period of the unlawful detainer, unless Lessor/Lessee
shall prove to the contrary by competent evidence.
F, Waiver of Rights. The failure or delay of either party to exercise any right or remedy
shall not be construed as a waiver of such right or remedy or any default by the other party,
Lessor's acceptance of any rent shall not be considered a waiver of any preexisting breach of
default by Lessee other than the failure to pay the particular rent accepted regardless of Lessors
knowledge of the preexisting breach of default at the time rent is accepted.
G. Waiver of Right of Redemption. Lessee waives any right of redemption or relief from
forfeiture pursuant to Code of Civil Procedure Sections 1174 and 1179 and/or pursuant to any
existing or future statutory or decisional law in the event Lessee is evicted or Lessor takes
possession of the Premises by reason of Lessee's default.
15. SURRENDER OF POSSESSION UPON EXPIRATION OR TERMINATION.
A. Surrender of Premises. Upon the expiration or termination of this Lease, Lessee
agrees to peaceably deliver possession of, and agrees to vacate without contest, legal or
otherwise, the Leased Land. Lessor, at its sole discretion, may record a document evidencing
the expiration or termination of the leasehold interest, Lessee waives any right to receive
relocation assistance or similar form of payment.
B. Removal of Improvements. Upon the expiration of the term of this Lease, and on
condition that Lessee is not then in default of any of the provisions of this Lease, Lessee shall
have the right to remove from the Leased Land all buildings and improvements built or installed
on the Leased Land. Removal of any building or improvement shall be at the sole cost and
expense of Lessee and removal must be complete no later than ninety (90) days after expiration
of the term of this Lease. Lessee shall fill all excavations and remove all foundations, debris and
other parts of the buildings or improvements remaining after removal and surrender possession
of the Premises to Lessor in a clean and orderly condition. In the event any of the buildings and
improvements are not removed within the time provided in this Paragraph 15,13, they shall
become the property of Lessor without the payment of any consideration.
14
1s. EMINENT DOMAIN.
A. Definitions of Terms.
(1) The term "total taking" as used in this Section 16 shall mean the taking of the
entire Premises under the power of eminent domain or the taking of so much of the
Leased Land as to prevent or substantially impair the use thereof by Lessee for the
residential purposes.
(2) The term "partial taking" shall mean the taking of a portion only of the Premises
which does not constitute a total taking as defined above,
(3) The term "taking" shall include a voluntary conveyance by Lessor to an agency,
authority or public utility under threat of a taking under the power of eminent domain in
lieu of formal proceedings.
(4) The term "date of taking" shall be the date upon which title to the Premises or
portion thereof passes to and vests in the condemnor.
B. Effect of Taking. If, during the term hereof, there shall be a total taking or partial taking
under the power of eminent domain, then the leasehold estate of the Lessee in and to the Leased
Land or the portion thereof taken shall cease and terminate as of the date of taking of said
Leased Land. If this Lease is so terminated in whole or in part, all rentals and other charges
payable by Lessee to Lessor hereunder and attributable to the Leased Land or portion thereof
taken shall be paid by Lessee up to the date of taking by the condemnor, and the parties shall
thereupon be released from all further liability in relation thereto.
C. Allocation of Award - Total Taking. All compensation and damages awarded for the
total taking of the Premises and Lessee's leasehold interest therein shall be allocated as follows:
(1) The Lessor shall be entitled to an amount equal to the sum of the following;
(a) The fair market value of the Premises as improved (exclusive of the
dwelling and appurtenances to such dwelling) as of the date of taking,
discounted by multiplying such fair market value by the factor for the present
worth of one dollar ($1.00) at nine percent (9%) per annum compound interest
for the number of years remaining from the date of taking to the date of the
expiration of the term of this Lease; and
(b) The present worth of rents due during the period from the date of taking
to the date of the expiration of the term of this Lease, computed by multiplying
the annual rent then payable by the factor for the present worth of one dollar
($1.00) per annum at nine percent (9%) per annum compound interest (Inwood
Coefficient) for the number of years in such period,
(2) The Lessee shall be entitled to the amount remaining of the total award after
deducting therefrom the sums to be paid to Lessor as hereinafter provided.
D. Allocation of Award - Partial Taking. All compensation and damages awarded for the
taking of a portion of the Leased Premises shall be allocated and divided as follows;
(1) The Lessor shall be entitled to an amount equal to the sum of the following:
(a) The proportionate reduction of the fair market value of the Premises as
improved (exclusive of the dwelling and appurtenances to such dwelling) as of
the date of taking, discounted by multiplying such proportionate reduction in fair
market value by the factor for the present worth of one dollar ($1,00) at nine
percent (9%) per annum compound interest for the number of years remaining
from the date of taking to the date of expiration of the term of this Lease; and
15
(b) The present worth of the amount by which the rent is reduced computed
by multiplying the amount by which the annual rent is reduced by the factor for
the present worth of $1.00 per annum at 9% per annum compound interest
(Inwood Coefficient) for the number of years remaining from the date of taking to
the date of expiration of the term of this Lease.
(2) The Lessee shall be entitled to the amount remaining of the total award after
deducting therefrom the sums to be paid to Lessor as hereinabove provided,
E. Reduction of Rent on Partial Taking. In the event of a partial taking, the rent payable
by Lessee hereunder shall be adjusted from the date of taking to the date of the expiration of the
term of this Lease, Such rental adjustment will be made by reducing the basic rental payable by
Lessee in the ratio that the Fair Market Rental Value of the Premises at the date of taking bears
to the Fair Market Rental Value of the Premises immediately thereafter,
17. ATTORNEYS' FEES.
Should either party 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 charges (and court costs if
applicable) incurred therein, whether or not court proceedings were commenced.
18. REMEDIES CUMULATIVE.
The rights, powers, elections and remedies of the Lessor or Lessee contained in this Lease shall be
construed as cumulative and no one of them shall be considered exclusive of the other or exclusive of
any rights or remedies allowed by law, and the exercise of one or more rights, powers, elections or
remedies shall not impair or be deemed a waiver of Lessor's or Lessee's rights to exercise any other.
19. NO WAIVER.
No delay or omission of either party to exercise any right or power arising from any omission, neglect or
default of the other party shall impair any such right or power or shall be construed as a waiver of any
such omission, neglect or default on the part of the other party or any acquiescence therein,
No waiver of any breach of any of the terms, covenants, agreements, restrictions or conditions of this
Lease shall be construed as a waiver of any succeeding breach of the same or of any of the terms,
covenants, agreements, restrictions or conditions of this Lease.
20. COMPLIANCE WITH LAWS.
Lessee covenants and agrees to comply with all rules, regulations, statutes, ordinances and laws of the
State of California, County of Orange, City of Newport Beach, or any other governmental body or agency
having lawful jurisdiction over the Leased Land,
21. NOTICES.
Any notice or notices provided for by 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, P.O. Box 1768, Newport Beach,
California 92659-1768, or at such other address as may be hereafter furnished to Lessee in writing. If
notice is intended to be served by Lessor on Lessee, it may be served either:
A. By delivering a copy to the Lessee personally; or
B, By depositing the Notice in the United States Mail, registered or certified, with postage
prepaid, to the residence or business address furnished by Lessee; or
lig
C. If the Lessee is absent from the Leased Land by leaving a copy with some person of
suitable age and discretion who may be occupying the Leased Land; or
Q. If no one can be found, then by affixing a copy of the notice in a conspicuous place on
the.Premises and also sending a copy through the mail addressed to the Lessee.
Such service upon Lessor or Lessee shall be deemed complete upon the earlier of (i) actual delivery, or
(i€) the expiration of seventy-two (72) hours from and after the deposit in the United States mail of such
notice, demand or communication.
22. HOLDING OVER.
This Lease shall terminate and become null and void without further notice upon the expiration of the
term of this Lease, Any holding over by Lessee after expiration of the term shall not constitute a renewal
of this Lease or give Lessee any rights in or to the Premises except as expressly provided in this Section.
The parties agree this Lease cannot be renewed, extended, or in any manner modified except in a writing
signed by all parties. However, if Lessee, or anyone claiming under Lessee, shall remain in possession
of the Premises after expiration of the term of this Lease without any agreement in writing between the
parties and Lessor accepts rent from Lessee, then Lessee shall be deemed a tenant from
month-to-month subject to the provisions of this Lease insofar as they may be applicable to a
month-to-month tendency. The month-to-month tendency may be terminated by Lessor or Lessee upon
thirty (30) days' prior written notice to the other.
23. QUIET ENJOYMENT.
Lessor covenants and agrees that Lessee, upon paying the rent set forth herein and observing and
keeping all covenants and agreements to be observed or kept by Lessor hereunder, shall quietly have
and enjoy the Leased Land during the term of this Lease without hindrance or molestation by anyone
claiming by or through Lessor.
24. SEVERABILITY.
If any term or provision of this Lease shall, to any extent be invalid or unenforceable, the remainder of this
Lease shall not be affected thereby, and each term and provision of this Lease shall remain valid and
enforceable to the fullest extent permitted by law.
25. MISCELLANEOUS,
A. Representations. Lessee agrees that no representations as to the Premises have been
made by Lessor or by any person or agent acting for Lessor. Lessor and Lessee agrees and
acknowledges that this document contains the entire agreement of the parties, that there are no
verbal agreements" representations, warranties or other understandings affecting this agreement,
and Lessor and Lessee, as a material part of the consideration of this Lease, waives all claims
against the other for recision, damages, or otherwise by reason of any alleged covenant,
agreement or understanding not contained in this Lease.
B. Inurement. Each and all of the covenants, conditions and agreements herein contained
shall,' in accordance with the context, inure to the benefit of Lessor and Lessee and apply to and
bind Lessor and Lessee, as the case may be, their respective heirs, legatees, devisees,
executors and administrators, successors, assigns, licensees, permittees, or any person who
may come into possession or occupancy of said Leased Land or any part thereof in any manner
whatsoever. Nothing in this paragraph shall in any way alter the provisions herein contained
against assignment or subletting.
C. Joint Several Liability. If Lessee consists of more than one person, the covenants,
obligations and liabilities of Lessee pursuant to this Lease shall be the joint and several
covenants, obligations and liabilities of such persons.
17
D. Captions. The section and paragraph captions used in this Lease are for the
convenience of the parties and shall not be considered in the construction or interpretation of any
provision.
E. Gender. In this Lease, the masculine gender includes the feminine and neuter and the
singular number includes the plural whenever the context so requires.
IN WITNESS WHEREOF, the parties have caused this Lease to be executed as of the date first
above written.
LESSOR:
CITY OF NEWPORT BEACH,
By: � ;-, 26)
Title: CITY MANAGER
LESSEE:
Harris
ATTES
<,
r
h ,
C
CITY CLERK���
APPROVED AS TO FORM:
c
CITY ATTORNEY
18
t. t • t ta" • Olt'{
519 � � .rr tG .Kp'rt
ah
Cli
ds� i3� tT'1� •_ "sa
�. �• � .'�.;�° cit ° . ' �' Pt- "`r' �',• i '"6e ''+'" ��� ti .
T w
t '*
1p
16
164
`4
( 'S. is . }4� tf
i. ��' �
yff
q, zt
ok
tA
.t .i � � b� 4 •ri1 .re�A° �j.� �'pp• ,. t'�A �l!` �..�1�.� �R.
ID r y fit"
440
ay`
Exhibit A
C'• �1�. �(�;, gib. �S.fsliac 1
h4 .Ott '✓PrdY' • w �w : � tt. �'" �S:Ct
► t" 'Std• � `+ ,�'+^ `�
EXHIBIT B
Beacon Bay Lot 48 described as follows:
Lot 48 as shown on the map filed in Book 9, Pages 42 and 43 of Record of
Surveys in the Office of the County Recorder, County of Orange, State of
California.
SUVUVLARY OF SALIENT FACTS AND CONCLUSIONS - coralnued
SMOCkRY 16Z VALUE MICAMNS',
Existing
(I st yew)
Unencumbered
Vair Mwk%.
Cbrim. t
wecdve
Lot No.
Fee Lot Value
Rental Value
Rent
Na -Rent
Water Prost Lots
A
$1,330;=
$0XQ
$23,125,09
$31,940.00
B
$1.20%000
W,3*20.
$12,506.85:
$22,270,0
C
$lionow
$37,560
W=04
$22,480.00
i
$947,000
W,200
$8t020M
$15,050.00
2
$4�131,DW
$41,640
U.,925A0
$111910,00
3
*.1,263,0M
$46,920
$24)250.08
$31,56GM
.4
$1,318,000
$49,120
$1-01458-96
$2-1,26D.00
S.
-s1,341,900
$50,120.
120,01.2,04
$28)$40,00
6
$1I3841000
$51,680.
$2510010.00
-$-34,260.00
7
$1,210,000
$44,800
$24,999.96
$31,970,00
S
$ 1,17700
$41j48o
$43,750.*00
$43,490,00
9
$1,298,000
$471840
$42„50,0.04
$44,350.00
ID
$1,342,000
$49,600
$24499.M
$33,540.0.0
11
$1,12-4000
$4.1,280
$9,020.52
$17,020.00
12
$1,100,000
$40,400
$14,250.00
M.1;#0;00
11
$415,40.9
$.23,625.00
$2-04MO0
14
$1,243,000
$45,649
$10,312.56
$19,690.00
15
$1,265,000
$46,520
$10,836.47:
$W,240,00
115
$1,06-7j000
$3-91Q80
$8,3Q8-.48
$16,480.00
17
$1,00,000
$39A01
$16;250:04
$21,750.00
2.
$1*0,67,000
$39.1090
$8,509.0
$16
19,
1,243,00(2
$45,640
$MQ20-02
T19,500,00
20*
$1,147,000
$42,320
. $9,.727.84
$17,910.00
21
$1,0.5000
$38,760
$20,224.50
$26,660M
22
-
$37,8t0
$41,25010.0
$$37;880,00
E$ I
$1,03-7,000
$37,880
$29,749:96
$31,920.00
Es 2
$1,037,000
-.07'R0
$24,6245i13.0
$29,220-00
Subtotals,
V-I,M,000
$..I,160,640
$519t90,08
005-i'22o.,00
Exhibit C - Page 1
SUNCvLARY OF SALIENT FACTS AND CONCLUSIONS - eontinued
Existhig gstyAnr)
Unenwmbefed Fair Market cooma Effoedve
Lot'No.. FeOL-ovvalue- Rental Value Rent Not Rent
IwIflor Lots
4
24
25
26
27
79
29
30
3l
32
33
34
35
3.6
37
40
'41
42'
43
44
45
46
47
4.8
49
50.
52
54
55
.56
57
58"
59
60'
.$478,000
$14,487
$2,782.32
$6,297.00
$501,000
$15:237
$6,125.04
$8;'997.-00
ssomw
$15,537
$3,390.x.2
$6,977.00
$511.io40
-$15,612
$3,417,7.2
$6,942.00
S5.19'040
$15,912
$3,436.44
M102,00
$542,000
$16i*775
$4,137.72
$7,785,00
$zl:B,ow
$154511
$15,3-75X0
$15,47144
-$510;000
$15,462
$3,551.16
0,102.00
$517,000
$15,.725
$8,750.00
st%515.00
Mol000
$1-5,837
$1,588.49.
$7,217.00
mom.
$589,000
$18,200
$4,454454
$8,49100.
$559,000
$17,DOO
$3,77-6.28
$7,M :
7$M40-
$5.48PO
$548P0
$10462:
$3,79.5,00
$7,02,00
$517,000
$15)325
S14,625,90
$1.50005M
$, =�,OW
$!5,837
$317n..36
$7,967.00
$52:8,000
$16,1.137
$9-j25.04
$17.,55,7.00
$5189P00
$11,_162
$11,133..6.0
$13,572.00
Ssllimo,
$75,500
$3,719.6.4
$1,300.00
$548,000
$16,662
$3,795,'00
$7,672.00
-$556,000
$16,9162
$11,256,60.
$13,232..00
$55%ow
$17,037
$3,83'2:241
VM7.00
$565,00D
$1.71300
$4j056184
$71990i110
$58.8X0
$18,162
$4,454.64
$M92.00
$539X0
$-16,475
$3,459.36
VXSM
$55 1,04711
$16J75
$6,249,S6:
$9,305,00
$520,000
$1.5,937
$31$0 .16
t7,197-00
$523,000
$01950
$5,569.76
V,24O-00
MO.=
S14j837
$3,780.36
$7,95.7;00
W$i000
$16,137.
$14750t010
W,9.27,00
$588,000
$18,162
$4t4.7. -9..W
$3j4912.0.0
$moj000
$15,987
$3,344.8.8
$7=-.00
$559,DDQ
$1.7415
V0P-625.04
$12,865,00
$56710(10
$17.,375
$3,603.96
$7;915-00
$546,000
$16,737
$3,551.16
$ 7,427.00
$52$,000
$16,137
$16,750.00
$101007.00
$525,000
$16,025
$10,125.00
$12,175.00
$533,000
$16,325
$3,533.88
$7.315.00
Exhibit C - Page 2
SUNQJ-ARY OF SALIB N'Ir FACTS.AND CONCLUSIONS -4= hued
Exhibit C - Page 3
Existing
(16(year)
Unencumbered
fair Watet
conbmt
Effi!cltive
LOt N*.
Fee Lot Value
Rental. Value
Rent
Not Rent
InWrIot LM - wndiWed
61
$-1-8,162
$$,482,00
FS I q
$414,400
314=5
ES- 4
$467,000
$13,962
159. s
-$470,000
$14,07,5
$10,000.08
ES 6
$141000
$2,982.96
$6,310,00
ES 7
$461,WO.
$13,737
$2,966.04
$6,657..00
Es 8
$471,000.
$13,925
njfsos
$6-,455.00
Sub,total Int,,,
$23,79.6.iOOD
$724,637
$254,617.16:
$397,807.00
So,,btota w.r-..-
$31,563-X0
$1,160,640
$519,983,09
$705,220.00,
GrandToWi,
W,349,000
$1,985,277.
$-7.74,600.24
$1,103,MIX0
v
Exhibit C - Page 3
Lm 140,
:amrfrontLots
A
B
c
1
2
4
5
6
7
8
9
11
12
13
14
is
1,6
17
.18
10
20
21
22
ES I
Es 2:
llraftlronc
;bNotaL
DisW.bucfon.6FRenu.RndTkx Advantap between Tidelands and Uplmids*
(Ist year) Propordonate- Proportlom-aW Annual AMOM -rjdahn64
Effeetift. % % . Peht Rent of PV of Tax Tax
Net T�era Tidelands Uplands Tide ds UpWcjs Advantage Advantage
$31j940.00
IWO
0%
$0
$22,270,00
10M
0%
S22M0
$0
$930
$22,490.00
loo 910
OW
$=4W
$0
$1,410
$13,030,00
100%
0%
$15,030
$0
$2,080
$17,950M
100%
0%
$17,950
$0
.$345.60,00
I.DD%
Oko
$31,50
$0
$50
$21;2.60.00
100%
0%a.
;2.1,260
$0
$2,610
I Doro.
0%
$28,840
$o
$1,620
$34,260,00
100%.
0%
$34,260
$0
$0
$31,870.00
5%
$30,276
$4.3,480QDD.
30%-
SOTP
ULM
$21474.0.
to
$44,350.00
590
.95%
$2,217
$4. ink
, Z
V
$33,54 Uq
atk
I 009al
$0
133,$40
$o
$17;020,00 ,
0%
$17,020
$27,190.00
0%
S22,19.0
$29,450,00
0%
1009a
$19,650. -OD
0%
$-MO . 0-
$20,140.00
20%
80%.
$4,048
$16,192
$2,080
$16,480.00
95%.
5%
$15,656
$824
$2,640
$21,750.00
100%
0%
X21,,750
$0
$2,420
$16,480.OD
100%
0%
$0
$2,640
$1915M.00a
100%
0910
$19,500 00
-$0
Mgso:
$17i910,00
10090,
0%
$17,910
$0
$2; 7.0
$26,660.00
IW%
0%
$261660
$0
$O
0%
$37,880
$0
$0
$31,920,00
1 OCfTQ
D%
$3020
$0
$29,220,00
100%
0%
$29,220
$0
$0
$54948
-$2104,372
$34,710
Beacon Bay &6/94 -P -a
Page I
$0
$9,30
$1,410
$2,090
$2,2.60
$560
$240
$1,624
$0
$0
$0
$0
$2,420
$2,040
$2,880
$Z470
$0
$0
$0
$24,984
Eihf:bit D - Page
Distribution of Dents and Tax Advantage between Tidelands and Uplands*
Beacon Bay .616194 -Page 2
Exhibit D - Page 2
(TA'yW)
Proportionate Proportionate
Annual Ammt
Tidelands
Emotive.
%
Rent
Relit
of FV of Tax
Tax
of NO.
Net Rent
Tkidma
Uplm&
rldelzds
Vplods
Advantage
Advantage.
-.flor Lots
23,
$6,297M
0%.
IOD%
$0
$6,297
$550
$0
24
$8,897.00
0%
:100%
$0.
$8,897
$390
75
16r977.00
5%
95%
$349
$6j629
$630
26
$6,942.00
.99%
1%
$6,873
$6.9
$1.10
$703
27
$7,102.00
IW%
0C/0
$7,102
$0
m
$660
28
$7,785.00
100%
OVO
$7,795
040
$740
29
$15,470,0.0*.
096
100%
$D
$:15,4.70
.$0
$0
3.0
$7,102,00
Q%
100%
$O
$7,102
.$58*.0
$o
31.
$2.0 515.E10
30%
*%
$3,154
$7,36-1.
$660
$108
32
$J,117.00
IOD%
0%
$7,217
$0
$620
3.1.
$7,307.00
100%
0%.
V=
$0
$650
$650
34
$x,490.00
106%
0170
sgjoo
$0
$730
$730
55
VJSOM'
0%
IM%
$0
$7,780
$580
$0
36
$7,672.D0:
00/0
10670
$0
$71.672
$590
$0
37
$15,005.00
5%
95%
$760
$14,255
$0
$0
39
$7,967-00
99%
1%
$7,887
$90
$0
$0
39
#
$-1 1,5!.Oo
1000/0
0%
$11,557
$0
$o
$0
40
.$-13,512;00
100%
0%
$13,572
$o
$or
$0
41
$7,300A
0%
100%
$4
$7,340
$s-1.0
$0*
42
$7
6%
p;m
$590
$0
43
$1.3j2.3100
0%
100%
So
$:M.232
$O
$0.
44
$7,787.00
Q_%
00%
'$0
$7,7$7
$00
$.0
45
$7'990400
15%
95%
$4198
$A.752
$650
46
$8.492,00.
{1%
100%.
$0
U -$SS
$720
$0
47
VX5.0.0
0%..
3.00%
$0
17,365
$610
$0
49
$91,305-00
fto
100%
$0
$9,305
M
$0
49
$71197100
0%
IOD%
.$0
$7,197
$ma
$0
SO
$7,740.00
0%
IOD%
:so
.$7,240
$00
$0
51
$7,857.0.0
0%
100%
$0
$7,857
$1.10
$0
52
$151927M
0%
IL)D%
$0
$13,927
$0
$0
53
$8,492,00
D%
100%
$0
:$$,492
$730
so
54
$7;227.00
0%
IOD%
$0
$7,227
$500
$0
55
$1,2,963;00
0%
100%
$6
la.
$Q
56
$7,515.00
0%
IW%
$0
.$7,915
$470
$0
57
$7,427.00
D%
100%
$0
V,427
$700
$0
58
$1007.00
()%
1.000/0
$0
$10,007
$0
$0
59
$12,175M
0%
Iowa
$0
$12,175
$.0
$0
60.
$7,315.00
C%
100%
$0
$7,315
$660
$0
Beacon Bay .616194 -Page 2
Exhibit D - Page 2
Dist b.udon of Rents and Tax 4dvamap between Tidelands -md Tjplands*
(Istyeai)
Id Wateifront $705,220.00
-md: Toml: $1,101,027,09
of Total.,
.V. -
Effecde
%
Lot No.
Net Rent
Tidelands
,rior Lots - continued
of PV of Tax
61r
$8,482,00
0%
ES 3
SIO.3250
100%
SS 4
$613=100
100%
ES 5
$11,415,00
0%
,ES 6
$6,310.00
$320
$320
$6,057.00
0%
$0
$$,8540
0%
mnor Uts
V,M
$4712
i b total:
$397,80100
Id Wateifront $705,220.00
-md: Toml: $1,101,027,09
of Total.,
.V. -
affective Net Rom wnsider = advmtage, DiPcountrate for presentv4ue of armilal
:vanlap it 6%, Rate for amnlzuiul of advantage is 7%, Rent and advantage
;LLrcs am from 10/8193 apprais.d. Lot 3,.7.j and 21 nmcontrm- I mat real estate taxes,
Beacon Bay 61604 - Page 3 Exhibit D - Page 3
Propordonate Proportionate
Annual AmOrL
Tjde[ands
Rent
Rent
of PV of Tax
Tax
Uplands
Tidelands
TiPjands
Advantage
Advantage
100%
$0
$8,42
$720
$0
0%
$10,325
$0
$320
$320
0%
$6j=
$0
$500
$500
15,70
V,M
$4712
so
$0
$6,31
$Soo
$0
$6,05?
;,550
$0.
100%
$0
'$6;455
W -O
$289,215
$0,930
$500,848
$2041372
$34,710
$249184
W0,440
$491.587
$54,640
-30235
55%
affective Net Rom wnsider = advmtage, DiPcountrate for presentv4ue of armilal
:vanlap it 6%, Rate for amnlzuiul of advantage is 7%, Rent and advantage
;LLrcs am from 10/8193 apprais.d. Lot 3,.7.j and 21 nmcontrm- I mat real estate taxes,
Beacon Bay 61604 - Page 3 Exhibit D - Page 3
(1) Exhibit E
DECLARATI-ON' OF
COVENANTS:, CONDITIONSAND RESTRICTIONS
:BEACON BAY C0101UNITY ASSOCIATION
Table. of Contents
Article
pqe
I
VVINITIONS
1 - Architectural Committee
2
2 - Articles and Bylaws
2
3 - Ass.essments
2
4 - Association
5 - Association. RU les
6 - Board
3
7 - CitY
3
8 - Common Expenses
3
9 - Common Arzea
4
4
1.0- Covered Property
11" Declarant
4
4
1.2- Exhibit
13- Member
4-see
14- Les
4
15- Res:Wence-
setback
5
1
,2 Tzansf er
5
5
3 Vot.jng Rights
4 Classes of Voting ttombership
5
5 Approval Of Members
11.1:
COVENANT FOR MAINTENANCE ASSESSMENTS
6
1 - C.reatjo.n of the Lien and Personal
ObIlgation of Assessments
6
2 - Purpose of Assessments
- Regular Assessments
4 - Uniform Assessment
5 - spez,tal A'ssessments
No. 01,fset.s.
Reserves
7
IV
N�101,pj'PAIB4ENT OF ASStSSMENTS
7
1 - 17elinquency
7
- Notice of Lien
8
- poreclosure Sale
8
(1) Exhibit E
4
Relationabip with Mortgage Liens
8
5
Curi'ng of Default
0
V
ARCHITECTURAL
CONTROL
9
I
Appointment of Arcbitectural Committee
9
2
Ccaneral Provisions
9:
3
Approval and Cbhformity, of pja
10
4
Nonliability for Approval of Plans
10
VI
DUT'IZS
AND POWERS OF 'SHE ASSOCIATION
10
1 -
General Duties; 'and Powets
10:
2 -
(;-eneral Duties 6f this As-sos!-atjlon
11
3 -
aeneral Powers of the Assoclationon.
11
4 -
Association Rules
11
VII
REEPAIR. AND MAINTENANCE
12
1 -
Repair aT*ld Maintenance by AsOciation
12
2 -
Repair a' Lessee
and Maintenance by
12
3 -
Maintenance of, Public Tltillties
12
VIII
USE
RSSTRICT16NS-.
12
I
Comm-er-Cial Use
2
SI-ga-s
3
Nuisance
13
4
An:iMals-
13
5
Ca.1 if orn.i a' Vehicle 'Code
13
IK
RIGHTS Or- ENJOY14ENT
I . 3
I -
Kember$' Right of Enjoyment
13
2 -
Delegation of use
14
3 -
Waiver of Use
14
X
UNIERAL PROVISIONS
1.4
1
En f a r cement
14
2
No Waiver
is
.3
cumulative Remedies -
,
15
A
severabbiiity -
15,
5
Covenahtg to Run with the Land7 Term
15
6
H-ead-Ing
15
7
Singolar I=luaes Plural
15
-8
Attorneys' Fees
16
9
No ti res.
16
iv_
Effect of Declaration
16
11-
Perspn.al CoveAna.nt
16
12-
Noel iability of Officials
17
-Subleas-es
17
ime,ndmen,Ls
DZCXARATION Or,
COVENANTS, CONDITIONS MND RESTRICTIONS
BEACON BAY COMMUNITY ASSOCIATION
ORAINGE COUMT, CALIFORNTA
THM DRATIQN is made. this dray of
by the City of Rewport teach
a chapter. munidipal c0rpbration. Said corporation,, its
suo.oes'or's and tissigris, mall h,ar"*fter he refe.rred to at
IlDeclarant. 11
R E C I T A L 9
A. Declarant is the fee Owner of the real property
desticibe-d :in Exhibit A to this Declaration, which sball be
the covered Property under this -Declaration. This
Declaration is being impo-sed by Declarant upon the Covered
Pr.operty,
B. DealzirAnt ha.8 deemed it desirable to e-stablish
t:ovenants, condition t and restrictic�ns Upon the Covered
Prr,,pertyand each and every portion tbereofj which wil,.L
Constitute ia. genera.3- scheme for the ma-nag8m.ont of the
Covered. Property, and for the use, occupancy and en ' joyment
therecxk, all for .the: purpose of enhancing and prot'ectkng
the value, desirability and attracti.ven-es-s of the Coveted
Pro13airty and en-haricing 'the quality of j.-jf*e Witbit the
CovereOt Property,
C'. it is desirabile% for the efficaen.t management of
theCovaze4 -Property and the. pxeservation of *the- value,
desirability and attractiveness of the Covered Property to
deleqatte and asaigned the powers of managing the Cov exed
Property, maintaining and administering the Coimon Area
and adminIstering and, enforcing these covenants,
cona-,Uors and restrictions and collecting and disbursing
funds ;)uw*--.s=uant to the assessment and charges hereina-fter
� �ind r e f h
creates , ecrad to an -a to perform such -other aots. as
shall generally benefit the Covered Property to the Beacon
Bay C--,m--,-,nasty Assocation, a California honprofit
corpo::S-Iion .
D, Decl.:arant will hereafter bold
all of th,--- Covered Froperty subjeat to
Covenants, conditions and restrict ons
Beacon B-ztv
9/20/79
title to and lease
cert -Alin protective
hereafter set forth.
Rev. 9/24/79
NOW, THEREFOR E, !)eclar.ant hereby covenants, agrees and
declares that all of .its interest as the same may from
time to time appear in the Covered P-roperty shall be held
rind conveyed subj-ect to the E-ollowing covenants-,
conditions, rest.tictions and easements which are hereby
declared to be for the bene-flt of said interests ;tri t:he
Covercid Property, a -td the -Owners of said interests, their
successors and zesi,qns. These coVerizints, conditions,
reszrictions and eas ' ements shall turi, with said interests
and
- shall.be. binding upon all parties having or acquIrIng
any right or title in said interests or any -pavt thereof,
and s:hall inure to the benefit or each owner thereof and
Ar.e imposed upon said interests and ever ' y part thereof as
a a
servitu4e in favor of each and every of said interests
as the domin-Ant tenement or tenements.
ARMICM I
D,EFTN1T,1'OLq$
UnIers the context -clearly indicates otherwise, the
f 01. 11�! . a . N:ing terms used in this ueclar4tion are defined: as
EbIlbvs; z
Section 1. "Architectural Committee" shall Mean and refer
to the coramittee. or committees provided for in the. Artiole
hereof entitled "Architectural 'Control".
Sect".Q1D 2 rfArticle-Wl and "Bylaws" shall. mean and refer
lon and Bylaws of th6
to�� he S corpotat
Association as the same ift.ay from time. to tiMe be duly
an, ended -
Section 3. "Assesszents-:" The following meanings shall
be g4ven to the Assessments hereinafter defined:
"Regu.,Iar Assessmeats: shall mean the amount wbicft is to be.
paid by each memher -of the 4.".oci.at-icin Por, Common Expenses.
shall me -an a charge ag-aipat a
Pa ri I tab!
Lessee a -n-& bis Resideneep ditect-ly att bu. e
a r Les',
to 'Che LrPssee,to re Mb-6i:se t:.I�e Assaoclao
tion for coasts
in bri . n-9,ing the Z#o,"e and his Residence into
co,T.?7_.L'.-Ance with th-e proy isions 0.f this Declar,at,i.Qn-, 'the
Articles, Bylaws or A$soci*ation Rules,, Qr any other chargo
-d e s I g;, t. ed as a Special Assessment, together with
at,C.O,:neysl fees and other charges payablet plus interest
tbe:eon as. provided for in this Declaration.
Beacon Bay
9/20/-19 2 RdV. 9/24/79
S��;.tion 4. "Association" shall mean and refer to Beacon
Bay Community Assocation, a nonprof it.. Corporation,
incorporated under the laws of the State of Cali,forrila,
its S.tiore;saoes and asaij.h.s.
j Section 5. "Assoalatlpn Rulesif shall mean ruled adopted
by the Association -p�irsuant to the Article hereof entitled
"Duties and Powers of the Assmiation."
Be.d.tion 6. "ZO.&t4l' shall mean the Board Of Directors of
the Assoc_jat.ion. 9 1
Section 7. "City" shall mean and -refer to the City of
Newport Beach, Califotni-aj a municipal corporation of the
State of California.
Lection "C'dmmon, Expenses" shall mean and refer to the
actual and estimated costs of;
(a) matntenancel: management, operation., rispair and
replacement of the Citmmon Area and all other areas on the
Covered Property Which are, maintainedby the Association;
(b) maintenance by the Associ-ation .of areas within
the public right -,of -way of public str.ee.t*s in the vicinity
of the Covered Property as prow: ded in th.ts Declatati,on or
pursuant to agreements with the City-
( -.C) , costs of management and adminiz.tratloii of the
AssociatIon, inclading, bat not 11mit.e, to.-,. compe
I �.d nzation
:paid by the Assacia-tim to managers, accountants,
attorneys and emlalpye-es;
(d) the casts of utilities, g4r:dening and other
services WhIch grenerAlly benefit and . enhance -the value: and
de s i r a -b i I i t.y P � * the Community' Vadiii t i L. S ;
(e) the c6SL8 of fire.t easuatlty, 11ability, workman's
compen,sati.on and other insurance covering the Common Area;
t f) the costs of any other insurance obtainad by the
As -socia tion;
(5) reao*onable reserves as deemed appropriate by the
Board*f,
( h) the costs of bonding of the members of the Board,
any prz)fessional managing agent or any other person
bandying the funds of' the Association,
Beacor -Bay
9,/20/79 3 Rev. 9/24/79
ti) taxes paid by the Assoc iat-Ion;
(j) amounts paid by the AssociAtion for discharge of
any ii.en or encumbrance levied against the Common Area or
port -ions thereof;
(k) costs incurr-ed by the Arch itecttir al. Committee or
other committee established by the Board'; and
(1) other expenses incurred by the, X-qsociation for
any reason whatsoever in connection with the Comma: Areas
or the costs of any other item or items. designated -Y this
neclaration, the. Ar.tioleat Syla;vs or Association Ruiesr. or
in. furtherance of the purposes of the - A-asociation or in
the discharge of ai!y duties or powers of the Assooiation.
�,Jon- _q. "fir mon Area." s.ba.11 mean all streets,, beaches,
w.a 1 k•�i. ay s , tennis courts, dock.s., piers, and common
land-scaped areas, in,clud-ing but not limited to Lots A
thr.�ugb j I nclu:si-ye as shown on. -Exbib it, ` V
section 10.. .,,Covered property" sha'11 mean and refer to
I the: -real ptoperty described. on Exhibit "I'.
Se<;Ik-_iqn 11. "Declarant." shall -mean and -refer to the City
Beach,
S.ec!tjo-,j 12. "Exhibit" sball mean and refer to those
docs rents so designated herein and attached hereto and
—
each. of suoh Exhii its is by this reference incorporate,:.I in
this Declaration,
sec.tioi 13. ,Member_,,, zb al 1 meati and refer to every person
n t it y who: qua1if jes for m�mbership j5brsuant to the
Article of this Declaration entitled 11Membeirsbip,"
Seq.tion, '14-- "Lessee" shall mean and refer to one or more
person,s or entilt-iias who are alone or collectively the
je$S.-zes of a Resi.d(nce.
15. IResidericell shall. mean and refer to a
lot shot -in On the Record of Survey Map of Reacon
v is or, recora'c-d in Book 9 , pages 42. and 43
Records of Stirv�!y, on filo in the Office of, the county
Orange Countyl California; provided, however,
f;haIj not inci-ade any Comman Area.
shall include the residantial. dwelling unit
B.Oavr;z !Day
/2G,/;.' 4 rNev.
together with garages, structures and other improvements
on the same lot or parcel.
Section 16, "Setbac*kll shall'mean and refer to thoz�e
internal distances from the l property _ 1--ine Of each. . ch. lot as
shown on Exhibit
ARTIcLE ii
section, .1. Every Lessee shall: be
a Member
but there shall. one. MeMbership, per Residence- The
term and pro fQr.th in this Declaration:, which
-are binding -upon all. Les.se.es are not:e-XcIbsiv s;
as Lessee
sha-11,,in additIU
on, be subject to he I I e
terms ani provisions
of the Articles, Byvla.,�:sand As"800ii.tion. Rules tor the
extitnt the provi8ionz thereof are not in conflict with
this Declaration., Membarg-hip of Lessees ah'all be
appu,rtenant ,to . a.rja may not be separated: from the interest
of such Lessee �.n any . Resid-orioe. Ownersli-.ip of a Reside e
shall be the sole
-qUalifi:catiOh f0r'Meba r Sh
ip; provid.ed,howevar a Member's
vot.i'ng rights zay, be regulatad, or
SUZPend6d Wes provid.c.0 In this Declaration, the laylaVs or
the ,Association Rules -
.Section 2 - Transfer. The meiAbers.hip h.eld key any ,Lessee
.r-ap-sferred, Fledged :or alieaat.d in any cq.ay,
awapt, that such membership shall a"Litomatically be
trainsfe%rre4, to the tran:sfor!r4.o.Acxf the Interest required for.
memba-rah1p.. Any attempt, to make a Probib-Ited transfer -is
void *and' will not be re.lected upo
the backs anti r cords
of the Associatio.n. The Assooiatio�j sba.13, have the ri.qht
,to record the transfer upon th-t books of the As 'on
r consent by the transferring
Withaut- -any fuarth6 action ol
Lessee.
Section 3 - VP All voting rig' ht Shall be
subjqct to the restrictions anti limitations provided
here,,;" and ia the Articles, Bylaws and Assoicjation )Rtlles.
4 - claqsaz of v2oLt
MembershaR. The As I tion
sba-11 SOO a
cl-a f
e. Q voting:Membershi
I
Approval of Mpmb.(,,r.s.'. Unl-es-s elE�ewhere
0 S pe c i f
L,Ca1lY ProvJ.06d in this ]Declaration or the
BY -'
any PrOvis�3.On 01 th:is Declara-t!On Or the Bylaws
Bc..Icon 1.Ly
9/20/79
Rev. 9/24/79
which requires the vote or written assent of the voting
power of the Association shall be deemed sattistied by the
f 0 114 aw i niq :
(a) The vote in person or by proxy of the specified
percentage at tL meeting duly qaIled and noticed pursuant
to the pro -visions of the Bylaws dealing with anriu-41 or
spacial meetings af the MeTab.ers..
{b.} Written consents signed by the specified
percentage of Membars as provided in the By-laws..
ARTICLE XXX
2t LVEDTANT FOR MAINTFNANCE ASSESSMENTS
Sectigh I,w-. Creation -d.f the: Lin and Pergonal. Ohligajion
of &5sessment$. Each Lessee is deemed to covenant and
agree to pay to the A8so&lation: Regtilar and special
Assessments, such AsSegstdentS to be fixed, established and
co.Ilected from time to time as provided in this
Declaration. The Assossmentso tog.etber with interest
thereon, late charges, attornevslfees and court costs/
and other 'c4asts Of collection thereof, as hereinafter
provited, shall be a conti-nuipq lien upon the Resickence
4g.ai.hst which each such As.0-pasHieft is made and shall 41so
be the persp.P&I ot)ligation at the Lessee of such. Residence
At the time .t,qb%en the Ass.as:sment becomes du.e.
Not w i t h s, t a r4ing the foregoing'I the Ns-sessment lien shall.
not affect thie ptiority of any, oth:ar, existing liens.
SectionR."..Pur2ose q
X Asses. %: ts. TheAss-essments
levied - by the Asso.ciation shall be used exclusively to
defray Common Expenses,
Sect: do Ragular..,Assesqmen-tz, Each year the Board
shall detemine the. amount of the Regular Assessm-ent to be
paid- by each Member. Th, Regular &gvessment. ihajj be dUe
and payable on such. dates as the Board may establish.
Ea ah tMe-mber. shall -be seat written notice of the Ragtilar
Asseastent and shall thereafter pay th-e�_. Assoc Lation. in
inst.--al-Im-ents as established by the Board.
Secticzj. 4 - D.Til,form Asse,s,5merit, Regular Assessments shall
be f:`6xed at an equal amount fat each Residence.
S'ect,'cn 5 Spec, i a 1, Assessments.., Spec''i'al Assessments may
be ierT by the goprd from time to time.
Beacon Bay
9/20/79 6 Rev. 9/24/79
SeCtiot 6 - No Offsets, 'All ASSeSSMe.ntg shall be pay -able
in E55 amount specified by the Assessment and no offsets
aga.inst such amount shall be permittedfor any reason,
including, without. limitat.ion, a claim. that (i) the
As,zociation is, not properly exercising its duties and
powers as provided in th'i:s*Declar.ati.ov.n.,- or (ii) a member
has made and elects to make no use of the Common Areas.
Section .7 - Reserves. The Regular Assessments may include
reasonable amounts determined by the Board colleated as
reserves for the future periodica maintenance, repair or
replacement of all or a pa tion of the Common Area, or any
igg other purpose as determined by the Board. All amounts
colletteO as reserves, whether purs-uant to this S-ectiori or
otherwisef shall be deposited by. the Board in a se-paratiD
bank account to .b -e held in tru'st for the, pt;rposes for
wbi,ch they are collected and are to be segregated from and
shat commingled'with any other funds of the Association.
Such reserve's shall be deented a contribution to the
capital aacount of th.e:. AsS-baiatiQn by the Member,
ARTICLE IV
,AY-MENT OF- ASSIS-SoMENTS
Sect on.I - Del ift-guenoy. Any aspo.asment provided for '!n
this De.c,14,.rati-on which is not. pa -j -d when. due ghall, be
delinquent on said date (the 11die1inqpenoy slat 11 any
such Ass.e.-sEment is not paid' vitbin ten, (10) days, aft -or
die-Iivety of notiaoof s.Ucb delinquency from the
Asis:oa-iationi a la,terahatge as establi-aboa by the Board
shall. be levied and the Assessment iholl bear interest
from the delinquency -date at the rate of ten percent (10%.)
per annum. The Association may at its option, and: vithout
wa:ivinq 'the rig.bt to judicially 'foreclose its. lien against
the Fesidence., pursue any available rem dies, including,
without, limitation, brin-4ing an action at law against the
Member personally obligated to pay the same a6d./or iipon
compliance with the notice provisions set forth I
* n the
Seo, -.;on -ehtitled: 111�otiae of Lien:" of this Article to
foreclose the liian against. the Residence. If action is
C ix! L -f. e z I c ed., there shall be added to thb- -aluount of such.
Ase' s,mt-ht -:the late oharger interests the costs of su*ch
actiom, Z.Tnd attorneys' fees inaur.r.ed in connection with
S _U
.Lx,,. action; and. in the event a fudgment is obtained, such
jud,--ment sh6ll include said latt, charge, interest and a
r c-,,& �
zxona�ble attorney's fee, tagether with the costs of
action. Each Me%ber vasts: in 'the Xssl:�ci. tionr 'or its
.as-Sianaf the rig!ht and power. to bring all actions at law
Beacon Bay
9/20/79 7 Rev. 9/24/79
or lien foredlosure against such Member or other Members
for the collection of such delinquent Assessments.
Section 2 - Notice of Lien, No -action shall be brought to
said Assessment -lien or to proceed under the
power of sale herein provi-ded. qn-til thir.ty (30) days : after
the date a nott:qe og claim pf lien is -sited In the
Uni-ted States. mail, certified or req . iateired, postage
prepaid,., -to the Lessee of said Resi-dence, and a copy
thexeoE*is rocorded by the Association in the office of
the Coutity Recorder of the Co.qnty.7 said notice of cla.im of
liien Must reOte _za good and suffl-cient legal description
of any such Residence, the record Lessee or reputed Lessee
thereof, the amount claime�d which shall linclude interest.
on -the unpaid Assessment at the rate '-of tern percent tjOW)
per annum, a late charge as established by the Hoard; plus
neas.ona4le attorneys' f,*-ees and expenses of collection in
connection with the debt secured 1?y a -aid lien, and the
name and address of theclaimant.
Section 3 -- Vd-rer-10sure Sal,. Said Assessment lien may be
en.torced by-'7ZI-i�by th�A�_si000iation.' its attorney or any
other person authorl.zed by the Board to make the sale
afte..t failure of the Lessee to make the payments specifted
in the notice of dlalm of lien within said thirty. (30) dAY
period. Aty such sale provided for above is to be
conducted 1n aclo',ordance with the p.r.ovisions of Sac�tjonp
2924, 212-4b 2924c 2924f
F .2$ g and 2924h of, the Civil
Code of the State of, Calitornl%a as. said statqtes may from
tirnR to time be amended., app,Ucable to the exercise of
powers of sale in mortgaget and deeds of trust, or in any
O4h6r: manner. Permitted
itted or provided by jay.. Tipon the
affirmative vote of 4, maj:crrity of the Voting power of the
Association, the Association, through its duly aJith-orized
agents,shall have the power to. b1a-::Qn the nesiderj4d.e.
r
using As:$ociatlon funds Qr Et ds borrowed'for succi
p4rpme, at the sale, and t.b'aaquire and bol:d , lease,
mortgage and convey the same.
Section 4 Relationship: with Mortgage LLeap.
(a) The lien provided. for, J -n the Article hereof
en ti tl G! °NonpayZe%nt of Assessments 11 for the payment of
Assessm-::.nts shall be subordinate to the lien of any
11-lortca-e which was radorded prior to the date atiy suab
Assessment becomes due.
(b) If any Residence subject to a monetary lien
creat -7d y any provision hereof shall be subject to the
lien 0z" 6 Mortgage, t1) the foreclosur'a of any lien
cr-eatc,� by anything set. forth in thil: a Declaration shall
Bea,Qon Hay
9/20/75 Rev. 9/24/79
not operate to affact or impair the lien of such Mortgage;
and (2) the for:eclosure of the: lien of said Mortgage, or
:Eh.e sale under a Power of sale i-ncludec3,., in such Mortgage
(souch events being hereinafter referred to as "Events of
Foreclosure") shall not operate to affector impair the
lien hereof., expept that any persons Who obtain an
interest through any of the: Events of Foreclosure, and the
successors ini interest, shall take title free of the lien
h-ereof or any personal obligation for said charges as
shall have accrued :up to the time of Any of the Events. of
Foreclosure, but subject to the lien hereof for all said
charges that shall accrue sub-s4quent to the Events of
Foreclosure,
Scotian 5, - Curing 9,1 Default. Upon the timely payment or
.ac Ion. 0
other s4ti6f t` F_.-I_a)a1I di.l.inquent. Ass:e6sments
specified in the h.0ti.ce of claim of lien,, (b) all, other
Assessm-eats whi.c.h have beipome due and pay,4b3 e with respezct
to thia Residence as to wbiph, such notice of dlaim of lipen
was recorded, cnd (c) inter -,eat-; late :chArgia�s:t attorneys'
feeF, and other: costa of collection pursuant to this
Decla.ratl and thevs,* notice of clait 0� lien which ha'vs
on
aGcruec, -Offjcers:. og the 'Associ.ati*n or any other ..persons
designiated by the..Baard. are hereby authortted to file or
rec6r.dj as the case May. be, an appropriate rel -ease of such
nq.,tir,.ej, upon payment by the defaulting Lessee of a fee, to
be.deberail.ned by the Association,. but not to exceed Fifty
Dollars, to cover the dostsof preparIng and
filing or rLico;dlng such release.
ARTICLE V
ARCHIT. CTURAL C2NT t91,
SAct-1-on. I .-Ap'Ooi.ntmen.t_ of Architec-tu. al CoMmittee•, The
A_r_chie.ctural Coltaittee sh.zill consist of not lets than
three (3) rips more than five (5) persons as fixed from
time to time by resolution 69 the Board.
The Boar"d shall have the. right to appo,.knt the members of
the Ar_-Uitectural Committee. Raroons appointed by the
Board.. to the ArdbitectUral Committee, however, must be
mem hel-S..
Sectio- _2 - Gtner-al Provisions.
(a) The Architectural Committee may est.4blish
reasonab'Ce proQedural *rules and assess a fee in connection
with r��f�iaw of plans and spacjfjaatior��. including, without
limitat,_'on, the number of sets of plans to be submitted;
Beziuon Llay
9/20/79 9 ReV4 9/24/79
however, the -A.rch-itectural Committee may delegate its plan
review responsibilites to one or more members. of such
Architectural Committee. Upon suob delegation, the
appr:Qval or disapproval. of plans and specifications by
such perto" shall be. equivalent to approval or
disapproval
isapproval by the entire Ardbitectural Committee..
(b) in the event the Axchitectural Committee failo
s t
approve or disapprove such plans and speclfica�ions within
thirty (30) dig 41ter the same have been sub. .teed in
accordance with any xules regarding such submission
adopted by the Architect al. Ca*Tdt,tee, such plans and
specifications will. be deemed V�p-rpv;e.d'
(c): Notbtng in th-is Declaration or In the
Aszociat-ionls Art.tcles, Byi.aws or Rules -sMll be construed
or amoncled to allow the Architectural Caomittee to modify
or eliminate the Setback requirements shown on the -Beacon
Bav Subdivision Survey Zapf and any attempt to do So shall
have no qffect.
section 3 -�pr ov.41. .and Confo;rmitv of Plats.. No
bull4inq, fence wall. �Fr othex structure shall be
commenced, erected or majn-ta:'Jlned uport the Covered
.property, nor shall there beany a6il.tion to or change to
the ox-teriar of any Residtnce, structure or other
improvement exa.ept in, :compliance with plarss and
specifications therefor which have been: s0mitted to and
appr-6%'red by the Aroh4tectara . 1. �;bmmittee as to harmony of
external: desiqn and locatiOn in. relatLon to suzrounding
st.r.uCtures and topog.rI :ap h
y.
SL-r,tloq 4 Non.146'bilit:Y fOr . AUrpvRl of Pjans, Plans and
a n ArrhTteoturai
spec s -shall be approved by the
C.cmmitteeas to style, exterior design., �ppoarance and
location,., Abd are not approved for. englneering design or
for C011, pjj&nce. W. I th -zort.ing and bdil-ding ord.itrance s, and by
appzoving such plan$: and specifications neither the
Arcbitectural Committee, the members tbelreof, the
4sgocaiation:, the Mam-bers., the Board _nor Deolaxant, assumes
J.jabilil;v ox respons.1--hility therefor,. or for any, -defect in.
any &t..-u.:tUro constructed from such plans and
spec ifications.
ARTICLE VI
pEV 1E,§
L AND MMRS OF THE ASS2CIATION
sectic,n l w General OLi-Hes and Ppw6rs. In addition to the
---Articles and Bylawgr
ET-1-07-7--1-31`po—wers enumerated in its
Beacon Bay
9/20-/79 10 Rev. $1/24/75
Or elsOwhe,-L- provided for hereln, and wit.hout I.im
-i-ting t -he
generality thrreot, the Association shall have the
SPeClfiC duties and powers specified in. this Article.
Seotion 2 General Duties of the Association. The
KS �Clat_ion through the Boand shall ha�Te_the _ 841ty ana
obligation to:
(a) enforce the provisions of this Declaration, the
Articles, Bylaws, and Association Rules, by appropriate
means and carry out the obligations of the Association
hereunder,
N maintain and otheryse manage the Common Area;
(c) Pad' any r0a.1 and PerS0.j.;(1 `Property taxes and
�theAw ch-arges ass�ssed to or r4y�:ble by the AS-Sociation-
and
(d) obtain and continiae in effect during the. tern, o.f
Of the lease, in its ovin. name a comprehensive policy Of public
liability insurance proving 00'Ve-ra(,Je for the common area, and
a policy of fire and casualty insuranca with co gage as the
Board deems. &-pproprjat-e,
Stdtion 3 - Ge -neral Rq_?rersi of the Asgociation. The
Ai_S"ow_iaE1_Un__tTrOugh theme shall have thi;, 'power but not
the obligation to:;
(a) employ a. manager or other Persons and contras -t
with i,ndepenrlent co.rit _,actots 0_ -agents to
all sir any P managing Perform
4rt 0;. the duties and responsi-bilities of the
A'sSociation;
:borrow mo,,ey as, may be receded in connection with
the of the : Assoc. iatioftIs pavers ai6d duties,- and
W e.-,tabllsh and m4intain a WO-tkilig capital and
continge.,ncY f and in an aimound 'to be determine. -
.t. I by the
204T6. Said fund z7hall be used by the-`Boar4l as it deem*s
fid to carry out the objectives and purposes of the
A ss o L-� I' 1-.j �D
Assoc ztlon .1Zu.je$. Phe Board:shall have the
FNpt. a7-,iend, and repeal such. rules and
r e ('thy* "Assoc iat-J01-1
in tae event of f ally conflict betw,een ally such
AS, $ 0 t Ru 1, C., a n: d a n y other provisions of . this
or t1le ArtLclos or Bylaws, t -be provisions. of
the IzOlcs shall be. deemed. to be superseded by
the -of this Declrtixation, the Articles or the
.L %_
PIY'�aWt _-�. thQ extant Of any SUCh conflict.
Rev. 9/24/79
5/4/81
ARTICLE VII
,REPAIR AND MAINTEUANCE
Section I Reoairv lation. The
and. Maintenance b.Assoc
._
Association shall itiave t au; ty t6:
(a) maintain, repair, restore, replace and make
necessary improvements, to the Commbn. Area;
(b) maintain all other facilities? equ.ipme.rit,
services or aesthetic Components of whatsoever nature as
May from time to time be requested by the vote or written
consent of -a majority of the voti
ng power of the Members;
(c) pay out of the: general funds of the Association
the costa of any maintenance and, repair made pursuant to
this section, excep:t as otherwise herein -specified as
payable by particuilar Lessees:. *
'Socti,on 2 - Re�.41.r and Mai..qten4 Qeby, Lessem, Except as
the Apsociatiorf shall be obligated to maintain and repair
as: may be provided in this Declara-ti6h., every Lessee §ball:
(ay. T6aintain al,� portions of the exterior of his.
Residence, Lncludiaq Without 1-imit-Ation:-, . the walls, fences
-and roof of Such Residence In good condi.' ion and rvpa.lir;
and w
(b) install and :there-aftor maintain in atttac�tive
cond'iti,on 'yard- landscaping in atcordance W'ktli thie -
provisions o - f this A.rticle.
Septitq 3 - Md.intena.n.ce Of Public Utilj.tleg. Nothing
contalhed herein shail red ire or obl,,::9'ata., the Assoc-iatl*.on
to. maintain, replaoe or restore the undergrolAnd, ' .ac iil- 1' ties
or public utilities which are Located within easements in
the Corn -mon Area owned by su * ab. public utilities. However,
the Associati.-On shall take Svucb steps as are necessary or
convenient to ensure that such faciliti.e.gare properly
miaintained,, replaced or restored by such Public utiljtjes.
ARTICtE V-r.i.i
USZ RESTR1CTXQN$
1 - C-onmercial use. No part -of a Residence -shall
be us_G' 5
Or any buso-n-ess, commetcAai, or nonresidential
Beacon --C-1
9/20/79 12 Rev. 9/24/79
Sect.ion 2 - Si ns. No sign or billboard of any kind shall
be displa—yed to the public View on any portion of the
Covered Property; provided, however, that a Member may
display on his Residesnoe, a si-9n advertising its saleor
lease 030 long as such sign shell comply with any customary
and reasonable standards promulgated by the Board,
Section 3 Nuisance.-
NO noxious or:Of -fensive, activity be Oar_ri�i upon any Residence, or an' -,Y Part of the
-Covered Property 49; shall anyth-ing be done thereon which
May �bef or may become an annoyance or nuisance to the
neighborhood, or 'Which sha.11 in any way interfere with the
quiet enjoyment of each Of the Lessees of bis respe.o.ti
(a) The right at the Association to limit the number
of gueats of Members and to *I -i -mit the use of the Common.
Area by persons not in possession of a Residence, but
.. _
owning a portion of the interest in a Resid.ence. required
.for m6mbers-hip_
.(b) Th -e right.
iqht 04 the Assoclation to establish
reasonable rules and regulations pertainitig to the Use of
the Common Area.
Section .2 Oeltg
V-te;., Any Mwber may delegate
his riot of en]oyment to t ei C-ommon Areas to the members
of h -is, family or h.is tenants Who reside on his Residence,
or to his guests, subject to tbo rules and regulations
adop'ted by the Board.. In the. e.Vent and for so long as a
Lessee deleq-�tes said righti3 of -o-rijo ftent to his t.�enants,
said .Lessee 'sha.11 not be entitled tosaid r4ghta. unless
both he' and the tenant reside on the Residenve in separate
dwelling units- which conform to all applicable municipal
laws and r:eqalations.
.SIC, i2n3 Waiver of Use. No member may 'exervt himself
tr.Om.' personal liabill—EY-For assessments
IY levi-adby the
Association l -e
-lation or reaoe 'PF.,n,.
the -ResIdence ed by: b:im. from
the liens, ,s, charg-es and othe'r pprovi-sions. -of this-
Deolarati0n, the Articles, Bylaws and Association Rules,
by waive�r of the u%se and tnfoyment 01" the 06nimon Area, -or
the tbandonment ;eFf his R"idence.
lqaforcement. The Asnociation,, pr any Lesl;se.el,
shall have the 'right f0d enforce by proceedings at law or
ire equityf all rest ri ot iong., <,40nditions, covenants and
reSaxvV,;,6hs', now or hereaft-4-r' imposed by the Provisions
of: thl's. Declaration or arty- amend.
Ment the're-to, including
the ri�ht- tQ.,Vxevent the violation of such restrictions,
conditions, covenants, or reservations and the right to
recover diema�aqes or other dues for such vioiation., . The
,Ass6ciation or any Lessee :8ball also have the right to
enfores by proce.edings at law' or in equity the provlsAons
of the -P%riioles or Bylaws and any amendments thereta_
Wit'n :zeaaect to architectural control and A*Ss0ciatj�or)
RuliRa, r. -he Association shall have the -exc)-usive rjght to
tM- enf-rcement thezebf unless the As.s6ciation refuses or
is unable to effectuate such enforcement, in which case
any Lassie who otherwise has start.din'g shall. have the right
to uncle take' such enforcement. With respect, to Assessm"ent
Beacon Sav
9/20/79 r 14 Rev. 9/24/79
Liens, the Association shall have the exclusive right to
the enforcemeent thereof.
Secy2 - -No Waiver. Failure by the Association or by
any vlember to enforce any covenant, condition, or
restriction, herein con'tained, or the Articles, Byla44s, or
Association Rules-, in any oertain i-n-stance or on any
partlel:i1ar occasion shall not be deemLz4 a. waiver 6,fsuch
right an any siAch future breach of the same or any other
covenant, condition or res-triction...
St._,��tion 3 - CUMUlative Remedies, All rights,, '9pt*
ions and
remedies of Declarant, the Association, or. the Lessees
un.der this Declaration are cumulative', and no one of them
shall bO exclusive of any other, and Declarant.. the
Asaociation, and the Les-sees shall have the right to
'pursue any one or all of such rights`o ptions .and remedies
Jaz any, other remady, or relief whicibmaybe provid-e;d by ..
la-w,, �hethe:r .,:'r-.not stateo zn this
Declarati.on.
Lection 4 - S everab*ij,ty, lnva,�Jjd
aticn of any
one or a
portion ot these covenants, con.ditions orrestrictions by
j:udgment car court order shall
Provisions whichIn no way affect any oth-er
shall remain in full force and effect.
Section 5 - ,Cove nan.ts to Run vith the Land; Term. The
cavena'at's., cortclztac ns
:1111CI restrictions of this DecIaration
shall run with end bind the, Covered:.Property and shall
inure to the beheifit of and be enforce,able by the
As8ociati:On or any lessee,
essee,. their-respective legal
representatives, heirs, succeSs'bts and assigns, for a term0f twent-Y five (25� '
years from tine date this Dec-laration
is reaOttTed, after vihiiuh t#Plo said
and restrictions shall be au.tomatioally ek,teIndled forl
successive periods bf' ten (1,0) years, =101-s an
in-st.-r-1-up...ent, signed by the Declarantand- a majord,ty of the. he.
tbeo Les-sees,, fiz-s been razarded at- I-east, one, year
prior to the end of a4Y' such, Period, agrees to change
said covenants, conditf . o.n%s and restrictions in whole .or in
parte
The 'Artiole and Section headings
have beery inserted. for convenience oilly, and shall. not be
Considered -or referred to in 'resol-wing questions of
interpretation or Construction.
Section 7 Sinquiar I�ncludez Rjirrai . Whenever the
con-E—exto-z'ER—Ist e.claration r guires: same, the singular
.9hall include the Plural and. the Masculine shall ir dude
the feMInine and the -neuter,
Beacon. Bay
9./20/79 is ReV. 5/24/79
Section 8 - Attorney.sl. Fees:. Tn the event action is
I ri s t ITut ey-
to entorce any of the provisions contained in
thi.s, Declaration, the party prevailing in such action
shall be entitled to recover from the other party thereto
as part of the Judgment., reasonable attorneys' fees an.d
costs of such suit.
'Section 9 Nctices. Any noticeto be giver) hereunder
-
8hall -be _writing and may be delivered as follows.:
(a) Notice to a Lessee shall be deemed to have, been
Properly delivered when deliv'ered to the Lessee's
Res , idence, or placed in the first class United 8-tates
mai. 1, postage prepaid, to the mott- recent address
furnished by such Zea.iee in waiting to the As4ociation for
the pbrpose of giv.i:hq,* notice, or if no such. address -s-h-all
have been furnis.h.ed.., - then to the street address of such
Les:S,Ws Rezidence. Any notice so'. deposited in: tall: mail
wit"hin the City' shall be deemed. dellvered forty-eight (48:,)
hours after such d6pos.it. In .thyzase of co -Lessees any
such notice may be dell . vered or sent to any one of the
co -Lessees on, behalf crf::al.l co"Lessees and shall be doe ed
delivery ob all such co-Leasees.,
(b).. Notice to the Association shall bt deemed to have
been properly delivered when placed in th6. first class,
U I , 1�.ted States mlatlr pos.,tage prepaid, to the address
fqrn-lished by the Association or the addxess of its
principal pla;c* of business.
(c.) The. affidavit of an, officer or authorized agent
of the Asgociatiorf deplAr1bg undet'jury that
Penalty of perj`
a notice has be -en mati-ed to any 'Lessee or Ljas:s.ees, or to
all Members, to thead'clre;5s or- addresses ab.dwn on the
records of the Association, shall be doemed -conclUsIvb
proof of such mai-ling, whether or not such notices ,are.
actually received.
Section: , 10-- Effect of Declaration. This Declaration is
made for the purposes set forth in the Recitals to this
Dec,Iaration and Declarant makes no warranties or
represebntations., express or implied as to the blnd�jng
eff-ect or OnfaroOabilitY of. all orr any, portion of this
Decl.a.-a'tlorv, 'or as to the compliaiice. of any of these
Provi.sions w.,th public laws, or'dInan-ce'-s and r Ulations-
applicable thereto.
SectioP- 1l - Personal. Covenant. To theextent the
aqcept.ance or cpnveyance of a Residenee creates a personal
ceven.ant: between the Lessee of such Residence and
Declarant or other Lessees, such personal Covenant shall
t-eacon
9/20/79 15 Rev. 9/24/79
terminate and be of no further force or effect from or
after the -date wben a person: ct� entity ceases to be an
Lo -rice trxcept to the extent this Declaration may provide
otherwise with respect to the payment of money to the
Association.
Se.ction 12 - 0onliability. of 0 ftzials. To the fullest
extent perinitted*by law, neither -th.e Board, the
Architectural Committee.,, and other committees of the
A.ssoclation or any meitber of su-ch Board or committ'ge• aball
be liable to any MMbdr or tbe A8soci�tio
n for Cix-ly damage,
i.oss or prejudice suffered- or claimed. ant of any
accoua
decision, approval or disapproval of tplans ' or *
spec-ificatlds (:whether or not defy t-ive),. coarsef of
action, act, oinissirnr, error, .negligence or the like made
in good -falth within wbich .such �bard --ommit.hees or
persons reasonably believed to be- the zq(�,p.e of thejr
duties.
Seotion IS - S.ublta-ses. Any agreement for the subleasing
or rental of R69 ence (hereinafter in this Section
re-ferred to as a "leas -ell) shall grovide that the terms of
s uch lease shall be subject in all reppects to the
provisions of this Declaration, th.e Articles., the Bylaws
and the. Associatiort. RuIes. Said lea.se sball, further
provlc� 'that any tailure by the, lessee the-reunder to
comply w1th the terms of the .�-.oregolnq -documents shall be
a default ander the lease. All leases shall be iA
writing, Any. Lessee who, -shall lease his Residence shall
be responsi.ble for ae-suriTig com-pliame fry. such Latssee. f s
lessee wi-th tb,is D6.claxation, the Attidles, th4�, Bylaws and
the Asi.§oqiation RuIe$:.
Section .14. " Amendnaeats. subjecrtto the other provisions
of this this Declaration may. be amended as
(a) Any amendment or, Modification of the Articles
hexeof entitled "Covenant. :for Maintenance Assessments
"Nonpaynent of Assessments," "Architect -ural Control," and
"Repair and Maintenance," Or Of th'i't Sectii= shall require
the affirrzAtive vote or written a.pproval of, not less than
sixty Percent (6.0%) of the Members.
(b.) Any amendment or modification of any Articie
other th:aln those specified in sul�paragraph (a!} above rhall
require the affirmative -vote or written approval of a
majority of the mem-bivrs.
( c) An -"amendment or modification that requires the
vote and written assent of the Members as hereinabove
Beacon Eay
9/20/79 17 Rev. 9/24/79
provided shall be effective when executed by the President
and Secretary of the Atsoc.iatic)n. who:shall certify that
the amendment or modificatio.n has been approved as
hereinabove provided, and when recorded in the Official
Records of the County. The notarized signatu-res of the
Members shall not be required to effectuate an Amendment
of this Declaiation.
(.d.) Notwit.h.standin.g the' foregoing, any provizion Of
thd-s Declaration, or the Articles, B)4'a'48 or Association
Rud -es which expressly req- alres the approval- olf a specified
percentage of the voting. piower of the Association for
action to be taken :under said P.Z.OvIsion can be amended
only wzi-th *the affix-mative vote or written assent of. hot
less than the same percentage -of the Voting Power of the
Assw. i -at ion.
IN WITNESS � M.RtOF, r)ecl.arant has e:XeCUted this
trIstrumen't the: day and year first hex.0-11n above wrjtt.e-n,
ATTUT:
CITY OF NEWJ?.QRT-UACH,,,
a chartered::muakaipal corryakation
Kayor
City Clerk
APPROVED AS TO FORM-.
ty
Beacon P'ay
9/20/79 l8 Rev. 9/24/79
STATE OF
COUNTY OF
.On before me the undersigned, a
Notary -Public in an' for said State, personally
appeared
the. known to me to tae
64. the corporation that
execuTed Zh; wltFT instru-fnent, known to Me to be the Per -son who
ex e Cu 'I- eM :the within Instrument -on b6half of the corporation
therein named, and acknowledged to me that such carporation
executed the within instrument pursuant <to *its bylaws or- a
resDlution og its .board of directors.
WIT ESS my hand and official seal.
Notary Put�l is
[Seal]
Beacon Bey
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