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HomeMy WebLinkAbout2007 CON PA County of San Diego - Option to Purchase AgreementOPTION TO PURCHASE AGREEMENT (Open Space Easement on 15.08-acre parcel Sweetwater Road, National City, CA) THIS OPTION TO PURCHASE AGREEMENT ("Option Agreement") is made as of April 3, 2007 ("Effective Date"), by and between the COUNTY OF SAN DIEGO, a political subdivision of the State of California ("County"), and buyer, PARKING AUTHORITY of the CITY of NATIONAL CITY, a public body corporate and politic created pursuant to the Parking Law of 1949, ("Optionee"). RECITALS A. Optionee owns a 15.08-acre parcel of land at the southwest corner of Sweetwater Road and Bonita Center Road in National City, California identified as County Assessor's Parcel Number 564-471-11 and more particularly described in Exhibit A ("Property"). B. In 1978 Optionee conveyed to County an easement for open space and park purposes ("Easement") over this 15.08-acre parcel. A copy of the deed conveying the Easement is attached hereto as Exhibit B. C. Optionee wishes to purchase the Easement from County and to convey to County title to a strip of land along the south end of the parcel that contains a trail/walkway. D. Except for the trail/walkway along the south end of the parcel, the 15.08- acre parcel has not been improved with park or recreational facilities and remains undeveloped. County has determined that the Easement is not required for County use. E. County is willing to grant to Optionee an exclusive option to purchase the Easement from County pursuant to the terms and conditions set forth in this Option to Purchase Agreement ("Option Agreement"). AGREEMENT NOW, THEREFORE, the parties hereto agree as follows: 1. Option. County hereby grants to Optionee the right and option to purchase the Easement from County subject to all of the terms and conditions set forth in this Option Agreement. 2. Term. The term ("Term") of this Option shall be from the Effective Date through December 31, 2007, or through December 31, 2008 if Optionee gives notice of a legal challenge pursuant to paragraph 9D. 3. Option Consideration. 1 A. Within 10 days of the Effective Date, Optionee shall pay to County $100 as consideration for this Option. B. The payment shall be made payable to the County of San Diego and sent or delivered to: Director, Department of General Services c/o Real Estate Services Division 5555 Overland Avenue, Suite 210 Building 2, Room 110 San Diego, CA 92123-1294 4. Conditions Precedent. Optionee may exercise this Option to purchase the Easement only after all of the following conditions have been met: A. Optionee has completed and certified an environmental impact report ("EIR") for a commercial development project on the 15.08-acre parcel that is subject to the Easement. Optionee has prepared the EIR as the lead agency under the California Environmental Quality Act, Public Resources Code Section 21000, et seq. County, a responsible agency under CEQA, has fulfilled its duties as a responsible agency as set forth in CEQA Guidelines section 15096 by, among other things, approving the sale of the Easement after County considers the EIR for the commercial development project; B. Optionee has provided County with a copy of the final EIR, the action certifying the EIR for the commercial development project (CEQA Guidelines section 15090), the findings of significant effects for the project (CEQA Guidelines section 15091), and the Statement of Overriding Considerations, if any (CEQA Guidelines section 15093); C. Optionee has provided County with a letter confirming that the City of National City changed the General Plan land use designation on the Property to a commercial designation, that the sale of the Easement is consistent with the City's open -space plan and that the transfer of title to the Walkway Area is consistent with National City's General Plan; and D. Optionee has sent via certified mail a copy of the Notice of Determination (consistent with CEQA Guidelines section 15094) to the Director of General Services at the address listed in paragraph 3B, and, at its next reasonably available meeting, as determined by County, the Board of Supervisors has confirmed that Optionee completed and certified an EIR for a commercial 2 development project on the Property, which confirmation will not be unreasonably withheld. 5. Purchase Price. During the Term of this Option Agreement, Optionee herein shall have the exclusive right and option to purchase the Easement from County for the price listed below, subject to the conditions precedent listed in paragraph 4. The purchase price is $3 million. Optionee may, at its sole discretion, either pay the $3 million in full upon conveyance of the Easement to Optionee or pay pursuant to the terms set forth below: A. $2 million to be paid upon conveyance of the Easement to Optionee; B. $1 million to be paid within four years after County conveys the Easement to Optionee, $500,000 of which shall be paid within the first two years. The remaining $500,000 plus all interest due shall be paid within the second two years; and C. The outstanding balance of the $1 million specified in subparagraph B above shall accrue simple interest at the rate of 5% per year starting on the date County conveys the Easement to Optionee. All payments shall be made as specified in paragraph 3B. 6. Enhancements and/or Improvements to Sweetwater Regional Park. County agrees to use the $3 million paid for the Easement for enhancements, expansion, and/or improvements to the Sweetwater Regional Park, including bicycle/recreational trails adjacent to the Park and within one mile of the Park that serve the Park (collectively, "Sweetwater Improvements"), to provide recreational opportunities consistent with open space and park uses. County agrees that use of the monies for the Sweetwater Improvements is consistent with the County's intent in accepting the Easement in 1978 for open space and park purposes. County agrees that the Sweetwater Improvements would serve the purpose of lessening any incompatibility between the Plaza Bonita Shopping Center and the Sweetwater Regional Park, and that the Sweetwater Improvements to provide passive and/or active recreational uses would serve the region in a manner similar to that originally intended by the conveyance of the Easement on the 15.08-acre parcel. 7. Buffer for Walkway. A. A trail/walkway is located on the south side of the Property. Optionee shall install or cause to be installed a vegetated buffer along the north side of the trail/walkway to screen it from the parking lot for the proposed commercial development on the Property. The buffer shall be fully installed/planted before the 3 proposed commercial development is open to the public. The vegetated buffer shall meet the following specifications: 1. The vegetated buffer shall be at least five feet wide and shall consist of a combination of distance and low-level screening to separate the walkway from the adjacent parking lot and commercial development. 2. Vegetation shall be of sufficient height and density to provide a visual barrier between the trail and the adjacent parking lot and commercial development. 3. Vegetation in the buffer shall consist of a combination of drought tolerant vegetation and native plant material. 4. Optionee shall provide a copy of the proposed planting plan to the County's Department of Parks and Recreation for its review and written approval before Optionee plants vegetation in the buffer. 5. The vegetated buffer shall include an irrigation system with water provided by Optionee. B. The parties will execute the Right of Entry Agreement attached hereto as Exhibit C to allow the Parking Authority or its agents, assigns, contractors or successors in interest to enter the Walkway Area to install the vegetated buffer as required by this paragraph 7, to install, monitor and maintain the retaining wall, and to monitor and remove graffiti from the retaining wall. C. If Optionee exercises this Option and Escrow closes as specified subparagraph 9C (6), this paragraph 7 shall survive the termination of this Agreement. D. A retaining wall may be constructed adjacent to the vegetated buffer as part of the proposed commercial development. Any such retaining wall will be located on the property proposed for commercial development. The retaining wall and vegetated buffer will be constructed so that plants in the buffer, such as vines, will grow on the wall. If a retaining wall is constructed, the owner of the property on which the wall is located will be responsible for maintaining the wall and removing any graffiti. Optionee shall ensure that the permit for the proposed commercial development includes a condition that requires the developer to identify a graffiti removal contractor who will be responsible for removing any and all graffiti from the retaining wall within 24-hours of its observance and/or notification by the City of National City Code Enforcement Officer. In addition, it is unlawful for property in the City of National City to remain defaced with graffiti. Specifically, Municipal Code section 10.54.050 states, in relevant part, that "it is unlawful for any responsible party to permit property which is defaced with graffiti to remain so defaced for a period of seventy- two hours after notice of same by the city ..." 8. Transfer Title to Walkway Area to County. As part of the conveyance described in paragraph 9 below, Optionee shall transfer to County title to the area along the south end of the Property that contains the walkway and buffer ("Walkway Area"). The description of the Walkway Area is in Exhibit D attached hereto. 9. Exercise of Option. Prior to the expiration of the Term and subject to the conditions precedent in paragraph 4, Optionee may exercise the Option by taking the following actions: A. Exercise of Option. Optionee shall provide written notice of Optionee's exercise of this Option to the Director, Department of General Services at the address specified herein. Within 10 business days after receiving the written notice from Optionee, the Director of General Services shall determine whether all conditions precedent to the exercise of this Option, as set forth in paragraph 4 above, have been fulfilled. Upon the Director's determination that all conditions precedent have been fulfilled, he shall execute a deed conveying the Easement to the Optionee on behalf of County, and shall deposit the deed with the Escrow Holder as specified below. B. Failure to Exercise Option. In the event Optionee does not exercise the Option prior to the expiration or earlier termination of the Term, or any extension thereof, or if Optionee cancels Escrow or Escrow does not close, Optionee shall execute, acknowledge, and deliver to County, within thirty (30) days after County makes demand therefor, a good and sufficient quitclaim deed whereby all right, title, and interest of Optionee in the Easement is quitclaimed to County. Should Optionee fail or refuse to deliver said quitclaim deed to County, County may prepare and record a notice reciting the failure of Optionee to execute, acknowledge, and deliver such deed, and said notice shall be conclusive evidence of the termination of this Option and all right of Optionee or those claiming under Optionee in and to the Easement. C. Conveyance. 1) Opening of Escrow. Within five (5) business days after the Director makes the determination specified in paragraph 9A above, County and Optionee shall open an escrow ("Escrow") with First American Title Company, Escrow Division, or such other escrow company as may be 5 mutually approved in writing by County and Optionee ("Escrow Holder") for the conveyance of the Easement by County to Optionee and the Walkway Area by Optionee to County. Escrow shall be deemed opened on the date that a fully executed copy of this Option Agreement is delivered to Escrow Holder ("Opening of Escrow"). Escrow Holder shall notify County and Optionee in writing of the date of the Opening of Escrow promptly following the opening of Escrow. 2) Close of Escrow; Closing Date. Escrow shall close either on or before the date that is ninety (90) days after the Opening of Escrow, or five (5) business days after Optionee's notice to County and escrow company requesting to close escrow , whichever is sooner, ("Close of Escrow" or "Closing Date"),provided that: (i) Optionee has not given written notice pursuant to paragraph 9D rescinding the exercise of the Option and cancelling Escrow; and (ii) the Closing Date shall occur before the expiration of the Term. The terms "Close of Escrow" and/or "Closing Date" shall mean the date the deeds conveying title to the Easement and title to the Walkway Area are recorded in the Office of the County Recorder of the County of San Diego, California. 3) Tscrow Instructions. This Option Agreement, together with a standard instruction of Escrow Holder, mutually acceptable to County and Optionee, shall constitute the joint escrow instructions of County and Optionee to Escrow Holder, as well as an agreement between County and Optionee. In the event of any conflict between the provisions of this Option Agreement and Escrow Holder's standard instructions, this Option Agreement shall prevail. 4) Escrow Fees, Title Charges, and Closing Costs. Optionee shall be responsible for any and all escrow fees, recording fees, and any other costs and expenses of escrow. As a condition to the closing of this transaction, Optionee may obtain an ALTA extended owners policy of title insurance in form and substance acceptable to Optionee ("Title Policy"). Optionee shall pay for the ALTA policy. 5) Deposits into Escrow. On or before 1:00 p.m. on the last business day preceding the scheduled Closing Date, Optionee shall deposit or cause to be deposited with Escrow Holder the following: (i) funds as provided in 6 paragraph 5 hereof; (ii) any and all escrow fees and closing costs; (iii) a promissory note for $1 million with payment and interest terms as specified in paragraph 5B and C above in a form approved by County, if full payment is not made; (iv) an executed and acknowledged deed conveying title to the Walkway Area to County in a form approved by County ("Walkway Deed"); and (v) any and all additional instruments or other documents required from Optionee (executed and acknowledged if appropriate) as may be necessary in order to effect the transfer of the Easement to Optionee and the Walkway Area to County. On or before 1:00 p.m. on the last business day preceding the scheduled Closing Date, County shall deposit or cause to be deposited with Escrow Holder the following: (i) an executed and acknowledged deed conveying the Easement to Optionee in a form approved by Optionee ("Quitclaim Deed"); and (ii) any additional instruments or other documents required from County (executed and acknowledged if appropriate), as may be necessary in order to effect the transfer of the Easement to Optionee and the Walkway Area to County. 6) Closing, Recording and Disbursement. On or before the Closing Date, and when Escrow Holder has received all of the documents and funds listed in subparagraph 5) immediately above, and Escrow Holder is in a position to cause the Title Policy referred to in subparagraph 4) above to be issued to Optionee, Escrow Holder shall close the Escrow by taking the following actions: (1) recording the Quitclaim Deed and Walkway Deed in the Office of the Official Records of the County of San Diego, California, and delivering the recorded Quitclaim Deed to Optionee and the Walkway Deed to County; (ii) causing the Title Policy to be issued to Optionee; (iii) delivering the Purchase Price as provided in paragraph 5 hereof to County; and delivering the $1 million promissory note described above to County, if the Purchase Price is to be paid over time. D. Legal Challenges. If a legal challenge to this Option Agreement, to the EIR for the commercial development of the 15.08-acre parcel or to any other approval related to the commercial development of the 15.08-acre parcel is filed, Optionee may: (i) give written notice to County of the legal challenge, whereupon the Term shall be deemed to be extended to December 31, 2008; and (ii) by written notice to County rescind the exercise of the Option and cancel Escrow. If Optionee rescinds the Option and cancels Escrow, Optionee shall be entitled to a refund of all funds Optionee deposited in Escrow without penalty. Any time thereafter, but before the expiration of the Term, Optionee may re - exercise the Option by again providing the notice specified in paragraph 9A above. If Optionee re -exercises the Option, the parties shall comply with paragraphs 9A, 9B and 9C above. 10. Mitigation. County shall not be responsible for mitigating any impact related to the commercial development of the Property that is identified in the EIR for the commercial development, including any impact for the loss of open space, if any, or any impact to biological resources, if any. 11. Defense and Indemnity. Optionee shall defend and indemnify County and its agents, officers and employees (collectively, "County Parties") from any claim, action, liability or proceeding against County Parties to attack, set aside, void or annul this Option Agreement or any proceedings, acts or determinations taken, done or made pursuant to this Option Agreement. Optionee's obligation to defend and indemnify County Parties shall apply to any claim, lawsuit, action .or challenge against County Parties alleging failure to comply with the California Environmental Quality Act or failure to comply with any other federal, state or local laws. Optionee's obligation to defend and indemnify County Parties shall include, but not be limited to, payment of all court costs and attorneys' fees, judgments and awards against County Parties, and/or settlement costs, which arise out of or are related to County's approval of this Option Agreement and/or any proceedings, acts or determinations related thereto. County shall promptly notify Optionee of any such claim, lawsuit, action or challenge and shall cooperate fully in the defense. 12. Property Disclosures by County and Optionee. County is selling this Easement in an "as -is" condition, but hereby declares to Optionee that County has no knowledge of the presence of hazardous materials, soil contamination, or underground storage tanks on the Property. Optionee is transferring title to the Walkway Area in an "as -is" condition, but hereby declares to County that Optionee has no knowledge of the presence of hazardous materials, soil contamination, or underground storage tanks on the Walkway Area. 13. General Provisions. 13.1 Administration. This Option Agreement shall be administered on behalf of County by the Director, Department of General Services, and on behalf of Optionee by the Executive Director of the Community Development Commission of the City of National City. 13.2 Assignment. Optionee shall not voluntarily or involuntarily assign, mortgage, encumber, or otherwise transfer all or any portion of Optionee's interest in this Option without County's prior written consent. To be effective, the assignee or transferee must assume Optionee's obligations hereunder. 8 13.3 Binding Effect. Subject to any provisions concerning assignment contained in this Option Agreement, this Option Agreement shall be binding upon and inure to the benefit of the respective heirs, personal representatives, successors and assigns of the parties hereto. 13.4 Brokers and Finders. Neither County nor Optionee has engaged the services of a real estate broker, and neither shall be required to pay a brokerage commission or finder's fee with regard to the execution of this Option Agreement. Neither County nor Optionee has been represented in this transaction by a Broker or finder (collectively, "Brokers") in connection with this Option Agreement, and neither has acted in a way that would entitle any Brokers to any commission. Optionee and County agree to defend, indemnify and hold each other harmless from all claims, losses, damages, costs and expenses, including reasonable attorneys' fees, arising from or related to any assertion by any Broker contrary to the foregoing clauses where the assertion is based on the acts or alleged acts of the other party. 13.5 Entire Agreement. This Option Agreement, including Exhibits A, B, C and D and, if Optionee pays over time, the related $1 million promissory note, contain the entire agreement between the parties relating to the transactions contemplated hereby and all prior or contemporaneous agreements, understandings, representations and statements, oral or written, are merged herein. 13.6 Governing Law. The Option Agreement shall be construed and enforced in accordance with the laws of the State of California. 13.7 Notices. Unless otherwise specifically provided herein, any notice or notices required or permitted to be given pursuant to this Option Agreement, may be (i) personally served on the other party by the party giving notice, in which event it shall be deemed delivered at the time of personal service; (ii) may be served by regular mail, in which event it shall be deemed delivered three (3) business clays after delivery to the United States postal carrier; or (iii) may be served by overnight courier, in which case it shall be deemed delivered the next business day. Any such notices shall be delivered to the addresses set forth below: To County: Director, Department of General Services c/o Real Estate Services Division County of San Diego 5555 Overland Avenue, Suite 210 Building 2, Room 110 San Diego, CA 92123-1294 To Optionee: Executive Director Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-3312 13.8 Time of Essence. Optionee and County hereby acknowledge and agree that TIME IS STRICTLY OF THE ESSENCE with respect to each and every term, condition, obligation and provision herein and the Option relating hereto, and the failure 9 to TIMELY AND FULLY perform or satisfy any of the terms, conditions, obligations or provisions of this Option Agreement shall constitute a non -curable default hereunder. 13.9 Further Assurances. County and Optionee agree to execute such other documents and take such further actions as may be needed or required to effectuate the terms, conditions, covenants, and provisions of this Option Agreement. As a responsible agency, County will, in good faith: (a) review and comment on the EIR for the commercial development project; and (b) work with Optionee to resolve any differences the parties may have as to the adequacy of the EIR, its findings, conclusions, mitigation measures and statement of overriding considerations, if any. IN WITNESS WHEREOF, the parties hereto have executed this Option Agreement effective as of the day and year first above written. Approved as to form and legality City Ao ey By: Senior Assistan Cit Attorney Approved as to form and legality County Counsel By: 'Senior Deputy RON MORRISON, Chairman Parking Authority of the City of National City B COUNTY OF SAN DIEGO By: 30HN4- GH-1E ector Department of General Services APRIL F. HEINZE, P.E., Director 10 7 • • • • EXHIBIT A DESCRIPTION OF REAL PROPERTY Being a portion of Quarter Section 109, Rancho De La Nacion, Map No. 166.in the City of National City, County of San Diego, State of California, said portion being more particularly described as follows: Beginning at the most Northerly corner of Parcel 1 of Parcel Map . No. 6149 on file in the Office of the Recorder of said County; thence along the Northeasterly boundary of said Parcel Map South 66°00'06" East (South 65°55'21",East per Parcel Map 6149) 544.06 feet to the beginning of a tangent 20.00 foot radius curve concave Westerly; thence leaving said Northeasterly boundary Southerly along said curve through a central angle of 101°26'37" an arc distance of 35.41 feet to a point of compound curvature with a 295.00 foot radius curve concave. Northwesterly; thence South- westerly along said curve through a central angle of 53°21'00" an arc distance of 274.68 feet; thence along a nontangent line South 85°23'37" West 101.21 feet to the beginning of a nontangent 499.00 foot radius curve concave Southeasterly, a radial line to said point bears North 01°12'29" West; thence Southwesterly along said curve through a central angle of 26"44'40" an arc distance of 232.92 feet to a point of compound curvature with a 849.00 foot radius curve concave. Southeasterly; thence Southwesterly along said curve through a central angle of 24°00'00" an arc distance of 355.63 feet to a point of compound curvature with a 419.13 foot radius curve compound Easterly; thence Southerly along said curve through a central angle of 78°50'07" an arc distance of 576.70 feet; thence tangent to said curve South 40°47'16" East 339.82 feet; thence North 45°25'10" West 109.80 feet to the beginning of a tangent 1205.00 foot radius curve concave Southwesterly; thence Northwesterly along said curve through a central angle of 38°45'55" an arc distance of 815.28 feet to a point in the Westerly boundary of said Parcel Map No. 6149; thence along said Westerly and Northwesterly boundary of said Parcel t4ap the following courses; North 16°48'32" West (North 17°18'45" West record) 286.06 feet to a point in the arc of a nontangent 637.00 foot radius curve concave Southeasterly, a radial line to said point bears North 65°24'02" West; thence Northeasterly along said curve through a central angle of 30°35'03" an arc distance of 340.03 feet; thence tangent to said curve North 55°11'01" East (North 54°40'48" East record) 582.29 feet; thence North 84°24'59" East (North 83°54'46" East record) 75.49 feet; thence North 01°09'59" West (North 01'40'12" West record) 32.85 feet; thence North 56°38'16" East (North 56°08'03" East record) 246.33 feet to the Point of Beginning. Containing 15.080 acres. s. RECORDING REQUESTED AY 1820 ♦NO W4.:N ALCONO. 0 NAIL TMIS OLYU AMn, ors CNYgiL {MOWN UCL•)a', MAIL TAX •)rar..MrNTA TO. N.., a,..r, AnM.., C.T. T,. County 'of San Diego Real Property Department 5555 Overland Avenue San Diego, California Till. Order \n. E,cr.w Sn. Tax Awe •I No EXHIBIT S' • RCuouny 01SenUDw o01 ptp ilmaat of MCProppty • OCT 35 I SAN DIGLO CCA;hif, This ;parr for ttreonler s u to )10 FEE GRANT DEED' T.HF: CR.ANTOR(n) DECLARE(g) DOCUMENTARY TRANSFER TAX is a..-. ttI C onno.uted on full value of property conveyed, or «.;tested .n fun ,mluo lure vnlur of lien.. Of encumbrances remaining at time of sale. 0 Unlncorpervted Am, a city 1.r._ Natione.l._la,�y,,___ anti FOR. A N.:U.UAf:LE CONSIDERATION. receipt. of ericch ft hereby acknowledged, THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY he:•cby GRA1T(S) to The County of SanrDiegol an easement for open space and park purposes over the following described real property In tho City of State of Califorcio: National City ,CountyofSan Diego. The property described on Exhibit rA" hereof, and as shown as Parcel "A" on Exhibit "B" hereo'f, subject to the conditions as set forth on Exhibit "C" hereof,. rw(1. 4 eIt.2S 197$_ STATIC OF CALIFORNIA. —`1 covert OF�SIeL.—�'aLG�f f Cm ,s L'C.r{,1Lc_r>_ _43 r._ brfora me, the under signed, a Notary Pubiie in anti for said County and Stall) TCraotu. ily ;PaDses red .X%�r._�L1,y_� a �• • known Lo nu!' to be the person 1__yhosr :ubseribed to Ih- within Instrument and acknowledged thit 'C•jf;,t!.•xeout!d the sane. Signattint of Notary FOR NOTARY SEAL OR STAMP se sat. w. orrrwL DAVID L SIIELDON rotas: r e'•UrORmA itt :•Al. D.LO:I COUNTY My CeeN.:asion Etpitr, /Of. Ii, 19e0 MAL TAX STATEMENTS TO PARTY SWIM OM FDUD11IIMC LIME: IF AO PAAIY?30 SHOWN. NMI. AS DIRECTED MOW Nagle • City a State t e• 0114.4,1•."s•.r..nw.•....r.w..rw••.w0104:14.1110N1.cNrrrAa1.104.401e111.1‘r•4ew.,1 w..w a..r..01...+r"+.a mil Snug Address' •fi '�IitslRR�tea 'd4 TY rT1 •'t GRANT DEED RECORDING REQUESTED AY 1820 ANp W_IIN Rr.0011747 Mali. TNIj Oef.D A40. UNLrsf. OT,1L"WIt,' %_OWN 1,1 LOW. MAIL TA% .T.TO1L1Tre TC•: Nam[ 4rerrr ArTIOrL4 C'T.• Lr.Tc A. County of San Diego Real Property Department 5555 Overland Avenue San Diego, California Title Or,S,•r N. 'Escrow W.. Tax Parcel No 11111111111.wn1R111111w. fltr1.!!c'17 �C£18%%9 ?S. REC )'.'C S fFSanFgU Uego E:T of toiyo pputn enl of Rail Prepare/ OCT i •'lb S;.N I1E:J CL'JAC ,, :A61F, 'thin spas• for Rccnpl✓r's or+ Ido FEE THE 1:NIU•:FSICXF.h GRANTOR(rl ID1:CLAItei(sl nOCI:atE\TA RI' TRANSFER TAX is i.... computed on furl value of proem ' L•aevcyOli, on 0 computed on full rotor teats value of liens or eneurebntt ees rentninitm at time of twit, G tinincorpnnuted Ara / City of National City ___..........._,And FOP, a V. L1'AIII.L CONSIDERATION, receipt of tvhiei is hereby acknowledged. THE PARKING AUTHORITY OF THE CITY OF NATICINAL CITY hereby GRANT (Si to The County of San Diego • an easement for open space and park purposes over i the fo1Iwing dcscribed rea property in th City of National Ci ty State t{f California: I The property described on Exhibit "A" hereof, and as shown as Parcel "A" on Exhibit "B".hereof, :subject to the conditiors as set forth on Exhibit "CII hereof. . County of San Diego, This is to certify that theknterest in real property conveyed by the • 1821 foregoing deed or grant to the County of San Diego, a political corporation, is hereby accepted on behalf [of the Board of Supervisors of said Cuuoty of Zan Diego !pursuant to authority conferred by • Resolution of said Board adopted on October 12', 1976 and the Grantee i consents to recordation thereof by its du i4y authorized officer, Date OCTOde`i17 ^ /571 By 2�i/j /% «?e• �� pt.rvisin Real Pr r A eat quisitfon and Re ocat on Divis•:on Department of Real Property i Flo fNTEI!DF CALIFORNIA ) ss.'' Ilfr! �OF SA1( DIEGO ) I i ,� == of � ref � � 1978, before m+3, the A &is s..£_ day O undersigned; a Notary ti11ic in anffor said County and State, personally appeared KIL 1i1jRGAN m Aen to me to be CHA N and A. "IrTER n.N known to au :o be the SECRETARY of the • Parking —Authority . of the City of National city, California, a public body corporate and politic, the public body that executed the within instrument and known to me to be the persa.ls who executed the same on behalf of said public body and acknowledged tolme that said :ublic body executed the same, pursuant to its bylaws or a resolution of its board of directors. I 1 IN }.UTNESS NHEREOF, I have hereunto set my hand and affixed my notarial seal, the day two L MOW; and year in j !this I> 1 SEAL' NQTAw ►uattc rice no. 4---...�' mow! •a1M 94C6 coum et; otar Public in a or said County mad Stitt WI sleep sowtrf : y Coa►aiva, Lopaa Asa 2t, lea 1 41•04+«•. • -1111111111 822 ' PARCEL ."A" - OPEN SPACE EASEMENT TO COUNTY OF SAN'DIEGO ' Being a portion of Quarter Section 109, Rancho De Le Nation, Map No. 166 i.n the City of National City, County'of San Diego, State of California, said portion being more partixularly described as follows::• Beginning at the most Northerly corner of PPa'rce. 1 of Parcel Map No. 6149 on file in the Office o the Recorder of said County; thence along the Northeasterly boundary of said Parcel Map South f•6°00'06" East (South 65°55'21" East per :Paricel Map 6149) 54.4.06 feet to the beginning of a tangent 20.00 foot radius curve concave Westerly; thence leaving said Northeasterlyjboundary Southerly along said curve through a central angle ofk101'26'37" an one distance of 35.41 feet to a point of compound curvature witti a 2.95.00 foot radius curve concave: Northwesterly; thence South- westerlyialong said curve through a central angle of 53°21'00" an arc distance of 274.68 feet; thence along a nontangent line South 85123'37" West 101.21 feet.to the beginning of a nontangent 499.00 foot radius curve concave, Southeasterly, a radial line to said point boars North 01°12'29",West; thence Southwesterlylalong said curve through a central angle of 26"44'40".an arc distance of 232.92 feet to a point of compound curvature with a 849.00 foot radius curve concave Southeasterly; thence Southwesterly • along said curve through a central angle of 24°00'009 an arc distance of 355.63 feet to a point of compound curvature with a 419.13 foot radius curve compound Easterly; thence Southerly along said curve through a central angle of'.78'50'07" an arc distance&of 576.70 feet; thence'tangent to said curve South 40'47'16" East 339.82 feet; thence North 45°25'10" West 109;80 feet to the beginning of a tangent 1205.00 foot radius curve corcove Southweaterly: thence Northwesterly.alcng said curve through a central angle of 38'45'55" an arc distance of 815.28 feet to oIpoint in the Westerly boundary of. said Parcel MapiNo. 6149; thence along said Westerly and Northwesterly boundary of sa_d Parcel Map the following courses; North 16'48'32" West (North 17'18'45" !vest record) 236.06 feet to a point in the are: of a nontangent 637.00footradius curve. concave Southeasterly, a radial line to said point bears North 65°.24'02" West; thence Northeasterly along said curve through a central angle of 3p°35'03" an arc distance of 340.03 fect;ithence tangent to said curve North 55°11'O1" East (North 54.40'43"East record) 582.29 feet; thence North 84°24'59" East (North 83°,54'46" Eastrecord) 75.49 feet; thence North 01°09'59" West (North 01'40'1.2" West record) 12.85 feet; thence North 56'38'16" East (North 56°08'03" East record) 246.33 feet to the Point of Beginning. Containing 15.080 acres_ i ��....IM.,M, Who-,,........ .... �........� r , • E HIBIT "Ai" 41. "5- Cse a.• _ . . ••• ,....„. . ;4...._;;"'".. ..,... N....v.„ RICK ENGINEERING COMPANY •• 68779 . 12,4V047.:;1- ;00-7.41,71 14- ....WV ...PI Are erre PM— — *ft •;., PLAT OF OPEN SPACE EASEMENT & DEDICATION REGIONAL PARK . EEN NATIONAL CITY & COUNTY OF SAN DIEGO • .. . EX/419:T a" . . . • 1824 PARCEL "A", EASEMENT FOR OPEN SPACE AiID PARK PURPOSES CONDITIONS OF EASEMENT WHEREAS,' i. T'e PARKING AUTHORITY OF THE CITY OF. NATIONAL CITY, CALIFORNIA warrants that it is the owner ofjthe'FEE SIMPLE ESTATE in and to the land in the County of San Diego, State of California, described in Exhibit "A" attached hereto ("The Subject Land"); which•estate is or may be subject to real estate taxes, assessments, conditions, restrictions and easements all as the same may be of record, and I. • 2. It is the desire of the Grantor andIthe County of San Diego, a political subdivision of the Stateiof California (hereinafter referred to as "COUNTY"), that the Subject Land remain OPEN and/or PARK and RECREATIONAL (SPACE. : I ! NOW, THEREFORE, 1. The GRA TOR grants to the County, (A) A perpetual easement for OPEN SPACE and/or PARK and RECREATIONAL purposes over, upon, across and under the Subject Land, and no building, structure or other thing whatsoever shall be constructed, erected, placec or maintained on the Subject Land except as;exists. Grantor however reserves the right to grade Subject Land and to develop Subject Land for public park and recreational purposes subject.to County approval of such development'prier to the construction thereof by Grantor. (B) The perpetual right, but not the obligation to enter upon the Subject Land and remove any buildings; structures or other things whatsoever constructed, erected, placed or maintained on the Subject Land contrary to any term, covenant or condition of this easement and to do any work necessary to eliminate the effects of any excavation or placement of sand, soil, rock or gravel or any other materiel done or placed on the Subject Land contrary to any term, covenant or conditions of this easement. . 2. GRANTOR covenants and agrees for himself and his successors and assigns as:follows: (A) That he shall not erect, construct, place or maintain, or permit the erection, construction, placement or maintenance of any building or structure or other thing whatsoever on the Subject Land other than such buildings, structures and other thing as may be permitted pursuant to paragraph 1.(A) immediately hereinabove. (8) That he shall not use the Sutiject Land for any purpose except as OPEN SPACE end/or PARK and RECREATIONALIpurposes. (C) That he shall not excavate o. grade or permit any excavating or grading to be done, or place or allow to be placed any sand, soil, rock, gravel or other material whatsoever)on the Subject Land without the written permission of the County or its successors or assigns: provided, however, that Grantor may excavate, grade or place sand, soil, rock. gravel or 'otter material on the Subject Land as may be permitted by the•Countw 'pursuant to paragraph 1.(A) hereinabove. ' • i (0) That the terms, covenants and conditions set forth herein may be • specifically enforced or enjoined by proceedings in the Superior Court of the State of California. • This Easement•sha11 bind the Grantor and his successors and assigns. ,�N Executed this:N. day of OGTQIJEit . 1978. • PARKING AUTHOR NAT;611tL CYT't' CALIFORNIA • J i EST:r;o ?...7. :11:4CW. Secretary F THE CITY OF EXEIBIT "Ca • •o 1rreaeIMMw ! - L EXHIBIT C RIGHT OF ENTRY AGREEMENT This Right of Entry Agreement ("Agreement") is effective this of 20_, by and between the COUNTY OF SAN DIEGO, ("County"), a political subdivision of the State of California, and the PARKING AUTHORITY OF THE CITY OF NATIONAL CITY, a public body corporate and politic created pursuant to the Parking Law of 1949, ("Parking Authority") with reference to the following facts: RECITALS A. County owns a strip of land just west of Bonita Center Road in National City, California that includes a trail/walkway. B. Parking Authority is obligated to install, or cause to be installed, a vegetated buffer along the north side of the trail/walkway adjacent to a retaining wall that will be installed as part of the commercial development to be constructed just north of the trail/walkway. C. To allow Parking Authority or its agents, assigns, contractors or successors in interest, to enter onto County property to install the and monitor the buffer and to monitor and repair the retaining wall and to remove graffiti from it, County and Parking Authority are entering into this Agreement. NOW, THEREFORE, FOR VALUABLE CONSIDERATION, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Authority to Enter. Subject to the terms and conditions set forth below, the County hereby grants Parking Authority a right of entry over that property defined as a portion of Assessor's Parcel Number 564-471-111 as further described in Exhibit "1" attached hereto ("Walkway Area"), solely for the following purposes: a. To install, monitor and repair a vegetated buffer on the north side of the trail/walkway as specified in paragraph 7 of the Option to Purchase Agreement between the County and the Parking Authority of the City of National City; h. To monitor the retaining wall and, if necessary, repair it; and c. To remove graffiti from the retaining wall. 2. Strict Construction. This Agreement shall be strictly construed, and no work other than that specifically stated herein is authorized. This Agreement is not transferable. 3. Term. This Agreement shall commence , 20_, and shall terminate on , 20_. The Assistant Director of the Department of General Services may extend the Term of this Agreement at any time by giving written notice to Parking Authority. 4. Notice Prior to Starting Work. Before starting to install the vegetated buffer, Parking Authority shall notify the Assistant Director, Department of General Services or designee in writing. Such notice shall be given at least three days in advance of the date the work is to commence. 5. Permit on Site. This Agreement shall be kept at the work site and must be shown on demand to any representative of the Department of General Services. 6. Permits From Other Agencies. Parking Authority shall secure all other permits and approvals, if any, needed to install the vegetated buffer. 7. Access. Parking Authority shall not unreasonably obstruct the flow of pedestrians or others using the Walkway Area or impede access to the Walkway Area. 8. Supervision of County. All work associated with this Agreement shall be done subject to the supervision of, and to the satisfaction of, the County. 9. Compliance With Stormwater Laws. Parking Authority's entry on to the Walkway Area is subject to federal, state and local laws regarding the discharge into the stormwater conveyance system of pollutants. Compliance with these laws may require Parking Authority to develop, install, implement and maintain pollution prevention measures, source control measures and Best Management Practices ("BMPs"). BMPs can include operational practices; water or pollutant management practices; physical site features; or devices to remove pollutants from stormwater, to affect the flow of stormwater or to infiltrate stormwater to the ground. BMPs applicable to Parking Authority's work on the Walkway Area may include a requirement that all materials, wastes or equipment with the potential to pollute urban runoff be stored in a manner that either prevents contact with rainfall and stormwater, or contains contaminated runoff for treatment and disposal. Parking Authority shall use, operate, maintain, develop, redevelop and retrofit the property, as necessary, in accordance with all applicable federal, state and local laws restricting the discharge 2 of non-stormwater at or from the property; and all such laws, regulations, or local guidance requiring pollution prevention measures, source control measures, or the installation or use of BMPs. Parking Authority shall develop, install, implement and/or maintain at Parking Authority's sole cost and expense, any BMPs or similar pollution control devices required by federal, state and/or local law and any implementing regulations or guidance. Parking Authority understands and acknowledges that the stormwater and non- stormwater requirements applicable to Parking Authority's work on the Walkway Area may be changed from time to time by federal, state and/or local authorities, and that additional requirements may become applicable based on changes in Parking Authority's activities or development or redevelopment by Parking Authority or County. Parking Authority shall develop, install, implement, and maintain such additional BMPs and/or other pollution control practices at the Walkway Area at Parking Authority's sole cost and expense. To the extent there is a conflict between any federal, state or local law, Parking Authority shall comply with the more restrictive provision. If County receives any fine or fines from any regulatory agency as a result of Parking Authority's failure to comply with applicable stormwater laws as set forth in this Agreement, Parking Authority shall reimburse County for the entire fine amount. 10. Care of Drainage. If the proposed work interferes with the established drainage, ample provision shall be made by Parking Authority to provide for the drainage as may be directed by the County. 11. Repair. Parking Authority shall ensure that access through and work in the Walkway Area is done in a safe and prudent manner. Parking Authority shall promptly repair and make good any damage Parking Authority causes to any portion of the Walkway Area. 12. Insurance. Parking Authority is fully self -insured for damage resulting from liability of Parking Authority or any of Parking Authority's agents or employees. If Parking Authority ceases to be self -insured during the Term of this Agreement, Parking Authority shall furnish to County proof of insurance in a form and amounts satisfactory to County. The County's requirements shall be reasonable, but shall be designed to insure protection from risks that exist when Parking Authority ceases to be self -insured. If Parking Authority enters into a contract to have any of the work that is listed in paragraph 1 above done by a third party, Parking Authority shall require the third party to have in effect for the duration of the project: (a) Commercial General Liability Insurance written on an "occurrence basis" in an amount of at least $1 million per occurrence and $2 million aggregate with the County of San Diego 3 named as an "additional insured;" and (b) statutory amount of workers' compensation insurance for the benefit of the third party's employees. 13. Defense and Indemnity. a. The County shall defend and indemnify the Parking Authority, its agents, officers and employees (collectively, referred to in this paragraph as "Parking Authority"), from any claim, action or proceeding against Parking Authority, arising solely out of the acts or omissions of County in relation to this Agreement. At its sole discretion, Parking Authority may participate at its own expense in the defense of any claim, action or proceeding, but such participation shall not relieve County of any obligation imposed by this Agreement. Parking Authority shall notify County promptly of any claim, action or proceeding and cooperate fully in the defense. b. The Parking Authority shall defend and indemnify the County, its agents, officers and employees (collectively referred to in this paragraph as "County") from any claim, action or proceeding against County, arising solely out of the acts or omissions of the Parking Authority in relation to this Agreement. At its sole discretion, County may participate at its own expense in the defense of any such claim, action or proceeding, but such participation shall not relieve Parking Authority of any obligation imposed by this Agreement. County shall notify Parking Authority promptly of any claim, action or proceeding and cooperate fully in the defense. c. The County shall defend itself, and the Parking Authority shall defend itself, from any claim, action or proceeding arising out of the concurrent acts or omissions of County and Parking Authority. In such cases, County and Parking Authority agree to retain their own legal counsel, bear their own defense costs, and waive their right to seek reimbursement of such costs, except as provided in subparagraph e below. d. Notwithstanding subparagraph c above, in cases where County and Parking Authority agree in writing to a joint defense, County and Parking Authority may appoint joint defense counsel to defend the claim, action or proceeding arising out of the concurrent acts or omissions of County and Parking Authority. Joint defense counsel shall be selected by mutual agreement of County and Parking Authority. County and Parking Authority agree to share the costs of such joint defense and any agreed settlement in equal amounts, except as provided in subparagraph e below. County and Parking Authority further agree that neither party may bind the other to a settlement agreement 4 without the written consent of both County and Parking Authority. e. Where a trial verdict or arbitration award allocates or determines the comparative fault of the parties, County and Parking Authority may seek reimbursement and/or reallocation of defense costs, settlement payments, judgments and awards, consistent with such comparative fault. 14. Hazardous Substances. Parking Authority shall be solely responsible for fully complying with all present or future rules, regulations, restrictions, ordinances, statutes, laws and orders of any governmental entity regarding contaminated soils, hazardous materials or environmental clean-up, regardless of whether or not the obligation to comply is on the land owner. If any hazardous substance spills, leaks or is discharged from any equipment or facility that Parking Authority brings to or installs, parks or drives on to the Walkway Area, Parking Authority shall immediately make all repairs necessary to prevent further spills, leaks or discharges and shall immediately clean up and promptly dispose of the spilled hazardous substance and any soil contaminated by the spill. if the Parking Authority fails to make the required repairs, to clean up the spill or to properly dispose of any contaminated soil, County may after written notice to Parking Authority take all steps County deems necessary to make the necessary repairs, to clean up the spill and to dispose of any contaminated soil. The Parking Authority shall reimburse the County for the cost of all repair and clean up work that the County does. The Parking Authority shall reimburse the County for this expense within 30 days of receiving a bill for this work from the County. The Parking Authority shall be solely responsible for paying all fines, damages and penalties imposed by any governmental agency regarding the Parking Authority's production, storage, distribution, processing, handling, disposing, spilling, leaking or discharging of any hazardous substance on the Walkway Area. Parking Authority shall indemnify, defend, reimburse and hold harmless County, its employees, officers and agents from any and all liability, claims, damages or injuries to any person, including injury to the County or any of County's employees, officers, agents, representatives, guests, licensees, invitees, patrons, or of any other person whomsoever, and all expenses of investigating and defending against same, arising from or alleged to have arisen from or in connection with hazardous or toxic materials or waste Parking Authority brings to or spills or discharges on the Walkway Area or migrating to or from the Walkway Area or arising in any manner whatsoever out of the violation of any governmental regulation pertaining to hazardous or toxic materials or waste which condition exists after the execution of 5 this Agreement. 15. No Implied Easement. Nothing in this Agreement shall be construed to grant Parking Authority an easement by implication, prescription, or other operation of law, or to extend the Term of the Agreement past its expiration date as stated herein. 16. Effective. This Agreement shall not be effective until it is signed by Parking Authority in the space provided below and executed by the Assistant Director, Department of General Services, of the County of San Diego. Date: PARKING AUTHORITY OF THE CITY OF NATIONAL PARKING Date: By: Name Title COUNTY OF SAN DIEGO By: Ken Bitar, Assistant Director, Department of General Services 6 EXHIBIT "D" NATIONAL CITY PARCEL LEGAL DESCRIPTION PAGE 1 OF 3 THE LAND DESCRIBED HEREIN IS A PORTION OF LOT 14 OF THE NATIONAL CITY TRACT OF THE PLAZA BONITA SHOPPING CENTER, ACCORDING TO MAP THEREOF NO. 10337 FILED IN THE OFFICE OF THE SAN DIEGO COUNTY RECORDER FEBRUARY 24, 1982, LOCATED IN THE CITY OF NATIONAL CITY, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWESTERLY MOST CORNER OF SAID LOT 14, THENCE ALONG THE GENERAL WESTERLY BOUNDARY THEREOF NORTH 16°48'07" WEST 2.46 FEET TO TIIE BEGINNING OF A NON -TANGENT CURVE, CONCAVE SOUTHERLY, HAVING A RADIUS OF 1085.00 FEET, A LINE RADIAL TO SAID POINT BEARS NORTH 00°13'26" EAST; THENCE LEAVING SAID WESTERLY BOUNDARY, EASTERLY ALONG SAID CURVE 267.27 FEET THROUGH A CENTRAL ANGLE OF 14°06'49"; THENCE SOUTH 75°39'45" EAST 27.25 FEET TO THE BEGINNING OF A CURVE, CONCAVE SOUTHERLY, RAVING A RADIUS OF 760.17 FEET; THENCE EASTERLY ALONG SAID CURVE 45.05 PET THROUGH A CENTRAL ANGLE OF 3°23'44" TO THE BEGINNING OF A NON -TANGENT CURVE, CONCAVE SOUTHERLY, HAVING A RADIUS OF 675.00 FEET, A LINE RADIAL TO SAID POINT BEARS NORTH 11 °24'49" EAST; THENCE EASTERLY ALONG SAID CURVE 141.91 FEET THROUGH A CENTRAL ANGLE OF 12°02'46" TO A POINT OF NON -TANGENCY, A RADIAL LINE TO SAID POINT BEARS NORTH 23°27'35" EAST; THENCE NORTH 69°50'11" EAST 56.68 FEET TO THE GENERAL NORTHEASTERLY BOUNDARY OF SAID LOT 14 AND THE GENERAL SOUTHWESTERLY RIGHT-OF-WAY OF PLAZA BONITA ROAD, 98.00 FEET WIDE, SAID POINT BEING THE BEGINNING OF A NON - TANGENT CURVE, CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 419.13 FEET, A LINE RADIAL TO SAID POINT BEARS SOUTH 63°30'11" WEST; THENCE SOUTHEASTERLY ALONG SAID CURVE 104.50 FEET THROUGH A CENTRAL ANGLE OF 14° 17'05"; THENCE SOUTH 40°46'54" EAST 339.82 FEET; THENCE NORTH 45°24'52" WEST 109.80 FEET TO TIIE BEGINNING OF A CURVE, CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 1205.00 FEET; THENCE NORTHWESTERLY ALONG SAID CURVE 814.87 FEET THROUGII A CENTRAL ANGLE OF 38°44'45" TO A POINT OF NON -TANGENCY, A RADIAL LINE TO SAID POINT BEARS NORTH 05°50'23" EAST, SAID POINT BEING THE POINT OF BEGINNING. CONTAINS 26,103 SQUARE FEET OR 0.5992 ACRES OF LAND, MORE OR LESS. APRIL F. HEINZE, P.E. Director (858) 694-2527 FAX (858) 594-8929 May 24, 2007 Gaunt of 4ttii !iiu DEPARTMENT OF GENERAL SERVICES 5555 OVERLAND AVE., STE. 2240, SAN DIEGO, CA 92123-1294 Mike Dalla, CMC City Clerk CITY OF NATIONAL CITY 1243 National City Boulevard National City, Ca. 91950-4229 FACILITIES OPERATIONS (558) I1145110 FLEET MANAGEMENT (151) 654-28T5 AWL SERVICES (858) 1943011 PROJECT MANAGEMENT (151) 59441110 REAL ESTATE SERVICES (855)6942211 ti> J C) —1 —4. •/ N OPTION AGREEMENT FOR THE SALE OF 15.08-ACRE OPEN SPACE EASEMENT TO THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY, Mike, Attached is one original copy of the Option Agreement for the sale of the open space casement that was executed by the Director of General Services on April 17, 2007. 1 am also attaching the Statement of Proceedings for the Board of Supervisors meeting of March 21, 2007 where this item proved. Carl W. Real Estate Project Manager Real Estate Services Attachments: Option Agreement Statement of Proceedings (#9) 3/21/07 cc: Mark Mead, Senior Deputy County Counsel Claudia Silva, City Attorney, City of National City fLSS/UA': 7b pru .lde cr�s/ y�eaive, JJficicrtt, {tio;t yt(ttltl): and t(nlvly Support .' 'rrices n� ('rxtntt d(zpnrnnenrs. _g,oup.s and agencies BOARD OF SUPERVISORS STATEMENT OF PROCEEDINGS MARCH 21, 2007 9. SUBJECT: APPROVAL OF OPTION AGREEMENT TO SELL A 15.08-ACRE OPEN SPACE EASEMENT ACROSS FROM PLAZA BONITA SHOPPING CENTER TO THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY (DISTRICT: 1) OVERVIEW: On October 17, 1978 (78), the Board of Supervisors accepted an easement for open space and/or park and recreational purposes from the Parking Authority of the City of National City on 15.08 acres of land at the southwest corner of Sweetwater Road and Bonita Center Road in thc City of National City (Thomas Guide Page 1310, C3). This easement was granted in accordance with a Cooperation Agreement between the City of National City and the County for the development of the Plaza Bonita Shopping Center and the funding of improvements to portions of Sweetwater Regional Park. The Parking Authority of the City of National City wishes to purchase the open space easement for $3 million so the property can be developed for commercial purposes. This proposed action would approve an option agreement and authorize thc Director of General Services to cxecute it. Revenue derived from this sale would be used for improvements to and, possibly, land acquisitions for Sweetwater Regional Park. FISCAL IMPACT: The Parking Authority of the City of National City must complete and certify an Environmental Impact Report (EIR) for the proposed commercial development of the property as a condition of the Option Agreement. After the EIR is certified, the Board must consider the EIR for commercial development and approve the sale before the option can be exercised. The Parking Authority of the City of National City will pay the County, after exercise of the option and close of escrow, a total of $3 million for the open space easement. An initial payment of $2 million will be paid at the close of escrow of the option with the balance of S1 million to be paid over four years with $500,000 due the first two years and thc outstanding balance accruing 5% interest. National City would also have the option of paying the $3 million in one lump sum. All sale proceeds and accrued interest will be used to make improvements to or land acquisitions for the Sweetwater Regional Park. RECOMMENDATION: CHIEF ADMINISTRATIVE OFFICER 1. Find that the open space easement on County Parcel 2004-0083-A is not required for County use. 2. Approve the Option to Purchase Agreement for the sale of this open space easement to the Parking Authority of the City of National City for $3 million. (4 VOTES) 3. Authorize the Director of General Services to execute the Option to Purchase Agreement. ACTION: Noting for the record that there is a modification to paragraph 6 in the Option to Purchase Agreement, ON MOTION of Supervisor Slater -Price, seconded by Supervisor Cox, the Board took action as recommended, on Consent. AYES: Cox, Jacob, Slater -Price, Roberts, Horn RESOLUTION NO. 2007 — 5 RESOLUTION OF THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE AN OPTION AGREEMENT WITH THE COUNTY OF SAN DIEGO TO PURCHASE AN EASEMENT FOR A 15.08-ACRE PARCEL FOR COMMERCIAL DEVELOPMENT (COSTCO PROJECT) AT A PRICE OF $3,000,000 WHEREAS, the Parking Authority of the City of National City (Parking Authority) owns a 15.08-acre parcel of land at the southwest corner of Sweetwater Road and Bonita Center Road (Parcel No. 564-471-11); and WHEREAS, in 1978, the Parking Authority conveyed an easement to the County of San Diego ("County") for open space and park purposes ("Easement") over this 15-08-acre parcel; and WHEREAS; the Parking Authority desires to purchase the Easement from the County, and to convey to the County the title to a strip of land along the south end of the parcel that contains a trial/walkway; and WHEREAS, except for the trial/walkway along the south end of the parcel, the 15.08-acre parcel has not been improved with park or recreational facilities, and remains undeveloped. The County has determined that the Easement is not required for County use; and WHEREAS, the County is willing to grant to the Parking Authority an exclusive option to purchase the Easement from the County for the price of $3,000,000, pursuant to the terms and conditions set forth in the Option to Purchase Agreement; and WHEREAS, pursuant to a separate agreement, the Parking Authority will be reimbursed for said amount by Costco, the developer of the land on which the easement is located. NOW, THEREFORE, BE IT RESOLVED that the Parking Authority of the City of National City hereby authorizes the Chairman to execute an Option Agreement with the County of San Diego to purchase an easement for a 15.08-acre parcel for commercial development (Costco Project) at a price of $3,000,000. Said Agreement is on file in the office of the City Clerk. ATTEST: PASSED and ADOPTED this 20th day of March Ron Morrison, Chairman APPROVED AS TO FORM: Brad Raulsto7.% tary George H. eser, III Legal Counsel Passed and adopted by the Parking Authority of the City of National City, California, on March 20, 2007, by the following vote, to -wit: Ayes: Boardmembers Morrison, Natividad, Parra, Ungab, Zarate. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: RON MORRISON Chairman, Parking Authority Sec By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2007-5 of the Parking Authority of the City of National City, California, passed and adopted on March 20, 2007. Secretary, Parking Authority By: Deputy yob- 3 - 1 City of National City, California PARKING AUTHORITY AGENDA STATEMENT MEETING DATE March 20, 2007 AGENDA ITEM NO. 2 1ITEM TITLE RESOLUTION OF THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE AN OPTION AGREEMENT WITH THE COUNTY OF SAN DIEGO TO PURCHASE AN EASEMENT FOR A 15.08-ACRE PARCEL FOR COMMERCIAL DEVELOPMENT (COSTCO PROJECT) AT A PRICE OF $3,000,000 PREPARED BY Claudia Gacitua Sil (Ext. 4222) EXPLANATION DEPARTMENT City Attorney This Option Agreement provides the Parking Authority the option to purchase from the County of San Diego the current open -space easement attached to the 15.08-acre parcel that is part of the proposed Costco project. This would remain open until December 31, 2007, or until December 31, 2008, in the event of a challenge to the project. The exercise of the option requires certain conditions to first be met, such as enviornmental review of the Costco Project. In additon, this Agreement provides that any monies paid for this easement will be used in the Sweetwater Regional Park to provide for recreational opportunities consistent with open space and park uses. Concurrent with this Agreement is an amendment to the Disposition and Development Agreement between the Parking Authority and Costco. Pursuant to a separate agreement, the Parking Authority will be reimbursed for $3,000,000 purchase price by Costco, the developer of the land on which the easement is located. Environmental Review v N/A Financial Statement N/A Approved By: Finance Director Account No. STAFF RECOMMENDATION Adopt Resolution BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below ) Option Agreement Resolution Resolution No. A-200 (9/99) City of National City Y\ Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Michael R. Della, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 March 28, 2007 Mr. Mark Mead Sr. Deputy Counsel Office of County Counsel County Administration Center 1600 Pacific Highway, Room 355 San Diego, CA 92101 Dear Mr. Mead , On March 20, 2007, Resolution No. 2007-5 was passed and adopted by the Parking Authority of National City, authorizing execution of an option agreement with the County of San Diego. We are forwarding a certified copy of the above Resolution and three partially executed original agreements. Please return one fully executed original agreement to us for our files. Sincerely, 4 ,% Michael R. Dal a, CMC City Clerk Enclosures ® Recycled Paper